[Congressional Record (Bound Edition), Volume 147 (2001), Part 14]
[House]
[Pages 20037-20196]
[From the U.S. Government Publishing Office, www.gpo.gov]



        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2002

  Mr. STUMP. Mr. Speaker, I ask unanimous consent to take from the 
Speaker's table the Senate bill (S. 1438) to authorize appropriations 
for fiscal year 2002 for military activities of the Department of 
Defense, for military construction, and for defense activities of the 
Department of Energy, to prescribe personnel strengths for such fiscal 
year for the Armed Forces, and for other purposes, and ask for its 
immediate consideration in the House.
  The Clerk read the title of the Senate bill.
  The SPEAKER pro tempore (Mr. Simpson). Is there objection to the 
request of the gentleman from Arizona?
  There was no objection.
  The Clerk read the Senate bill, as follows:

                                S. 1438

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Defense 
     Authorization Act for Fiscal Year 2002''.

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

       (a) Divisions.--This Act is organized into three divisions 
     as follows:
       (1) Division A--Department of Defense Authorizations.
       (2) Division B--Military Construction Authorizations.
       (3) Division C--Department of Energy National Security 
     Authorizations and Other Authorizations.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.
Sec. 4. Applicability of report of Committee on Armed Services of the 
              Senate.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical agents and munitions destruction, Defense.
Sec. 107. Defense health programs.

                       Subtitle B--Army Programs

                               (Reserved)

                       Subtitle C--Navy Programs

Sec. 121. Virginia class submarine program.
Sec. 122. Multiyear procurement authority for F/A-18E/F aircraft 
              engines.
Sec. 123. V-22 Osprey aircraft program.
Sec. 124. Additional matter relating to V-22 Osprey aircraft.

                     Subtitle D--Air Force Programs

Sec. 131. Multiyear procurement authority for C-17 aircraft.

[[Page 20038]]

                       Subtitle E--Other Matters

Sec. 141. Extension of pilot program on sales of manufactured articles 
              and services of certain Army industrial facilities 
              without regard to availability from domestic sources.
Sec. 142. Procurement of additional M291 skin decontamination kits.

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

              Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.
Sec. 203. Authorization of additional funds.
Sec. 204. Funding for Special Operations Forces Command, Control, 
              Communications, Computers, and Intelligence Systems 
              Threat Warning and Situational Awareness program.

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. F-22 aircraft program.
Sec. 212. C-5 aircraft reliability enhancement and reengining.
Sec. 213. Review of alternatives to the V-22 Osprey aircraft.
Sec. 214. Joint biological defense program.
Sec. 215. Report on V-22 Osprey aircraft before decision to resume 
              flight testing.
Sec. 216. Big Crow Program and Defense Systems Evaluation program.

                       Subtitle C--Other Matters

Sec. 231. Technology Transition Initiative.
Sec. 232. Communication of safety concerns between operational testing 
              and evaluation officials and program managers.
Sec. 233. Supplemental Authorization of Appropriations for Fiscal Year 
              2001 for Research, Development, Test, and Evaluation 
              Defense-wide.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Assistance to local educational agencies that benefit 
              dependents of members of the Armed Forces and Department 
              of Defense civilian employees.
Sec. 305. Amount for impact aid for children with severe disabilities.
Sec. 306. Improvements in instrumentation and targets at Army live fire 
              training ranges.
Sec. 307. Environmental Restoration, Formerly Used Defense Sites.
Sec. 308. Authorization of additional funds.
Sec. 309. Funds for renovation of Department of Veterans Affairs 
              facilities adjacent to Naval Training Center, Great 
              Lakes, Illinois.

                  Subtitle B--Environmental Provisions

Sec. 311. Establishment in environmental restoration accounts of sub-
              accounts for unexploded ordnance and related 
              constituents.
Sec. 312. Assessment of environmental remediation of unexploded 
              ordnance and related constituents.
Sec. 313. Department of Defense energy efficiency program.
Sec. 314. Extension of pilot program for sale of air pollution emission 
              reduction incentives.
Sec. 315. Reimbursement of Environmental Protection Agency for certain 
              response costs in connection with Hooper Sands Site, 
              South Berwick, Maine.
Sec. 316. Conformity of surety authority under environmental 
              restoration program with surety authority under 
              superfund.
Sec. 317. Procurement of alternative fueled and hybrid electric light 
              duty trucks.

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

Sec. 321. Rebate agreements with producers of foods provided under the 
              special supplemental food program.
Sec. 322. Reimbursement for use of commissary facilities by military 
              departments for purposes other than commissary sales.
Sec. 323. Public releases of commercially valuable information of 
              commissary stores.

                       Subtitle D--Other Matters

Sec. 331. Codification of authority for Department of Defense support 
              for counterdrug activities of other governmental 
              agencies.
Sec. 332. Exclusion of certain expenditures from limitation on private 
              sector performance of depot-level maintenance.
Sec. 333. Repair, restoration, and preservation of Lafayette Escadrille 
              Memorial, Marnes la-Coquette, France.
Sec. 334. Implementation of the Navy-Marine Corps Intranet contract.
Sec. 335. Revision of authority to waive limitation on performance of 
              depot-level maintenance.
Sec. 336. Reauthorization of warranty claims recovery pilot program.
Sec. 337. Funding for land forces readiness-information operations 
              sustainment.
Sec. 338. Defense Language Institute Foreign Language Center expanded 
              Arabic language program.
Sec. 339. Consequence management training.
Sec. 340. Critical infrastructure protection initiative of the Navy.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Authorized daily average active duty strength for Navy 
              enlisted members in pay grade E-8.

                       Subtitle B--Reserve Forces

Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the 
              reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2002 limitation on non-dual status technicians.
Sec. 415. Limitations on numbers of reserve personnel serving on active 
              duty or full-time National Guard duty in certain grades 
              for administration of reserve components.
Sec. 416. Strength and grade limitation accounting for reserve 
              component members on active duty in support of a 
              contingency operation.

              Subtitle C--Authorization of Appropriations

Sec. 421. Authorization of appropriations for military personnel.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. General officer positions.
Sec. 502. Reduction of time-in-grade requirement for eligibility for 
              promotion of first lieutenants and lieutenants (junior 
              grade).
Sec. 503. Promotion of officers to the grade of captain in the Army, 
              Air Force, or Marine Corps or to the grade of lieutenant 
              in the Navy without selection board action.
Sec. 504. Authority to adjust date of rank.
Sec. 505. Extension of deferments of retirement or separation for 
              medical reasons.
Sec. 506. Exemption from administrative limitations of retired members 
              ordered to active duty as defense and service attaches.
Sec. 507. Certifications of satisfactory performance for retirements of 
              officers in grades above major general and rear admiral.
Sec. 508. Effective date of mandatory separation or retirement of 
              regular officer delayed by a suspension of certain laws 
              under emergency authority of the President.
Sec. 509. Detail and grade of officer in charge of the United States 
              Navy Band.

             Subtitle B--Reserve Component Personnel Policy

Sec. 511. Reauthorization and expansion of temporary waiver of the 
              requirement for a baccalaureate degree for promotion of 
              certain reserve officers of the Army.
Sec. 512. Status list of reserve officers on active duty for a period 
              of three years or less.
Sec. 513. Equal treatment of Reserves and full-time active duty members 
              for purposes of managing deployments of personnel.
Sec. 514. Modification of physical examination requirements for members 
              of the Individual Ready Reserve.
Sec. 515. Members of reserve components afflicted while remaining 
              overnight at duty station within commuting distance of 
              home.
Sec. 516. Retirement of reserve personnel without request.
Sec. 517. Space-required travel by Reserves on military aircraft.

                   Subtitle C--Education and Training

Sec. 531. Improved benefits under the Army College First program.
Sec. 532. Repeal of limitation on number of Junior Reserve Officers' 
              Training Corps units.
Sec. 533. Acceptance of fellowships, scholarships, or grants for legal 
              education of officers participating in the funded legal 
              education program.
Sec. 534. Grant of degree by Defense Language Institute Foreign 
              Language Center.
Sec. 535. Authority for the Marine Corps University to award the degree 
              of master of strategic studies.
Sec. 536. Foreign persons attending the service academies.
Sec. 537. Expansion of financial assistance program for health-care 
              professionals in reserve components to include students 
              in programs of education leading to initial degree in 
              medicine or dentistry.

[[Page 20039]]

Sec. 538. Pilot program for Department of Veterans Affairs support for 
              graduate medical education and training of medical 
              personnel of the Armed Forces.
Sec. 539. Transfer of entitlement to educational assistance under 
              Montgomery GI Bill by members of the Armed Forces with 
              critical military skills.
Sec. 540. Participation of regular members of the Armed Forces in the 
              Senior Reserve Officers' Training Corps.

           Subtitle D--Decorations, Awards, and Commendations

Sec. 551. Authority for award of the Medal of Honor to Humbert R. 
              Versace for valor during the Vietnam War.
Sec. 552. Review regarding award of Medal of Honor to certain Jewish 
              American war veterans.
Sec. 553. Issuance of duplicate and replacement Medals of Honor.
Sec. 554. Waiver of time limitations for award of certain decorations 
              to certain persons.
Sec. 555. Sense of Senate on issuance of Korea Defense Service Medal.
Sec. 556. Retroactive Medal of Honor special pension.

                    Subtitle E--Funeral Honors Duty

Sec. 561. Active duty end strength exclusion for Reserves on active 
              duty or full-time National Guard duty for funeral honors 
              duty.
Sec. 562. Participation of retirees in funeral honors details.
Sec. 563. Benefits and protections for members in a funeral honors duty 
              status.
Sec. 564. Military leave for civilian employees serving as military 
              members of funeral honors detail.

             Subtitle F--Uniformed Services Overseas Voting

Sec. 571. Sense of the Senate regarding the importance of voting by 
              members of the uniformed services.



Sec. 572. Standard for invalidation of ballots cast by absent uniformed 
              services voters in Federal elections.
Sec. 573. Guarantee of residency for military personnel.
Sec. 574. Extension of registration and balloting rights for absent 
              uniformed services voters to State and local elections.
Sec. 575. Use of single application as a simultaneous absentee voter 
              registration application and absentee ballot application.
Sec. 576. Use of single application for absentee ballots for all 
              Federal elections.
Sec. 577. Electronic voting demonstration project.
Sec. 578. Federal voting assistance program.
Sec. 579. Maximization of access of recently separated uniformed 
              services voters to the polls.
Sec. 580. Governors' reports on implementation of Federal voting 
              assistance program recommendations.

                       Subtitle G--Other Matters

Sec. 581. Persons authorized to be included in surveys of military 
              families regarding Federal programs.
Sec. 582. Correction and extension of certain Army recruiting pilot 
              program authorities.
Sec. 583. Offense of drunken operation of a vehicle, aircraft, or 
              vessel under the Uniform Code of Military Justice.
Sec. 584. Authority of civilian employees to act as notaries.
Sec. 585. Review of actions of selection boards.
Sec. 586. Acceptance of voluntary legal assistance for the civil 
              affairs of members and former members of the uniformed 
              services and their dependents.
Sec. 587. Extension of Defense Task Force on Domestic Violence.
Sec. 588. Transportation to annual meeting of next-of-kin of persons 
              unaccounted for from conflicts after World War II.
Sec. 589. Report on health and disability benefits for pre-accession 
              training and education programs.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2002.
Sec. 602. Basic pay rate for certain reserve commissioned officers with 
              prior service as an enlisted member or warrant officer.
Sec. 603. Reserve component compensation for distributed learning 
              activities performed as inactive-duty training.
Sec. 604. Clarifications for transition to reformed basic allowance for 
              subsistence.
Sec. 605. Increase of basic allowance for housing in the United States.
Sec. 606. Clarification of eligibility for supplemental subsistence 
              allowance.
Sec. 607. Correction of limitation on additional uniform allowance for 
              officers.
Sec. 608. Payment for unused leave in excess of 60 days accrued by 
              members of reserve components on active duty for one year 
              or less.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonuses and special pay authorities for 
              reserve forces.
Sec. 612. Extension of certain bonuses and special pay authorities for 
              nurse officer candidates, registered nurses, and nurse 
              anesthetists.
Sec. 613. Extension of special pay and bonus authorities for nuclear 
              officers.
Sec. 614. Extension of authorities relating to payment of other bonuses 
              and special pays.
Sec. 615. Hazardous duty pay for members of maritime visit, board, 
              search, and seizure teams.
Sec. 616. Submarine duty incentive pay rates.
Sec. 617. Career sea pay.
Sec. 618. Modification of eligibility requirements for Individual Ready 
              Reserve bonus for reenlistment, enlistment, or extension 
              of enlistment.
Sec. 619. Accession bonus for officers in critical skills.
Sec. 620. Modification of the nurse officer candidate accession program 
              restriction on students attending civilian educational 
              institutions with Senior Reserve Officers' Training 
              Programs.
Sec. 621. Eligibility for certain career continuation bonuses for early 
              commitment to remain on active duty.
Sec. 622. Hostile fire or imminent danger pay.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Eligibility for temporary housing allowance while in travel 
              or leave status between permanent duty stations.
Sec. 632. Eligibility for payment of subsistence expenses associated 
              with occupancy of temporary lodging incident to reporting 
              to first permanent duty station.
Sec. 633. Eligibility for dislocation allowance.
Sec. 634. Allowance for dislocation for the convenience of the 
              Government at home station.
Sec. 635. Travel and transportation allowances for family members to 
              attend the burial of a deceased member of the uniformed 
              services.
Sec. 636. Family separation allowance for members electing 
              unaccompanied tour by reason of health limitations of 
              dependents.
Sec. 637. Funded student travel for foreign study under an education 
              program approved by a United States school.
Sec. 638. Transportation or storage of privately owned vehicles on 
              change of permanent station.

    Subtitle D--Matters Relating to Retirement and Survivor Benefits

Sec. 651. Payment of retired pay and compensation to disabled military 
              retirees.
Sec. 652. SBP eligibility of survivors of retirement-ineligible members 
              of the uniformed services who die while on active duty.

                       Subtitle E--Other Matters

Sec. 661. Education savings plan for reenlistments and extensions of 
              service in critical specialties.
Sec. 662. Commissary benefits for new members of the Ready Reserve.
Sec. 663. Authorization of transitional compensation and commissary and 
              exchange benefits for dependents of commissioned officers 
              of the Public Health Service and the National Oceanic and 
              Atmospheric Administration who are separated for 
              dependent abuse.

             Subtitle F--National Emergency Family Support

Sec. 681. Child care and youth assistance.
Sec. 682. Family education and support services.

                         TITLE VII--HEALTH CARE

               Subtitle A--TRICARE Benefits Modernization

Sec. 701. Requirement for integration of benefits.
Sec. 702. Domiciliary and custodial care.
Sec. 703. Long term care.
Sec. 704. Extended benefits for disabled beneficiaries.
Sec. 705. Conforming repeals.
Sec. 706. Prosthetics and hearing aids.
Sec. 707. Durable medical equipment.
Sec. 708. Rehabilitative therapy.
Sec. 709. Mental health benefits.
Sec. 710. Effective date.

[[Page 20040]]

                       Subtitle B--Other Matters

Sec. 711. Repeal of requirement for periodic screenings and 
              examinations and related care for members of Army Reserve 
              units scheduled for early deployment.
Sec. 712. Clarification of eligibility for reimbursement of travel 
              expenses of adult accompanying patient in travel for 
              specialty care.
Sec. 713. TRICARE program limitations on payment rates for 
              institutional health care providers and on balance 
              billing by institutional and noninstitutional health care 
              providers.
Sec. 714. Two-year extension of health care management demonstration 
              program.
Sec. 715. Study of health care coverage of members of the Selected 
              Reserve.
Sec. 716. Study of adequacy and quality of health care provided to 
              women under the defense health program.
Sec. 717. Pilot program for Department of Veterans Affairs support for 
              Department of Defense in the performance of separation 
              physical examinations.
Sec. 718. Modification of prohibition on requirement of nonavailability 
              statement or preauthorization.
Sec. 719. Transitional health care to members separated from active 
              duty.

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

         Subtitle A--Procurement Management and Administration

Sec. 801. Management of procurements of services.
Sec. 802. Savings goals for procurements of services.
Sec. 803. Competition requirement for purchases pursuant to multiple 
              award contracts.
Sec. 804. Risk reduction at initiation of major defense acquisition 
              program.
Sec. 805. Follow-on production contracts for products developed 
              pursuant to prototype projects.

         Subtitle B--Defense Acquisition and Support Workforce

Sec. 811. Report on implementation of recommendations of the 
              Acquisition 2005 Task Force.
Sec. 812. Moratorium on reduction of the defense acquisition and 
              support workforce.
Sec. 813. Revision of acquisition workforce qualification requirements.

                  Subtitle C--Use of Preferred Sources

Sec. 821. Applicability of competition requirements to purchases from a 
              required source.
Sec. 822. Consolidation of contract requirements.
Sec. 823. Codification and continuation of Mentor-Protege Program as 
              permanent program.
Sec. 824. Hubzone small business concerns.

Subtitle D--Amendments to General Contracting Authorities, Procedures, 
                          and Related Matters

Sec. 831. Amendments to conform with administrative changes in 
              acquisition phase and milestone terminology and to make 
              related adjustments in certain requirements applicable at 
              milestone transition points.
Sec. 832. Inapplicability of limitation to small purchases of miniature 
              or instrument ball or roller bearings under certain 
              circumstances.
Sec. 833. Insensitive munitions program.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                Subtitle A--Organization and Management

Sec. 901. Deputy Under Secretary of Defense for Personnel and 
              Readiness.
Sec. 902. Responsibility of Under Secretary of the Air Force for 
              acquisition of space launch vehicles and services.
Sec. 903. Sense of Congress regarding the selection of officers for 
              assignment as the Commander in Chief, United States 
              Transportation Command.
Sec. 904. Organizational realignment for Navy Director for 
              Expeditionary Warfare.
Sec. 905. Revised requirements for content of annual report on joint 
              warfighting experimentation.
Sec. 906. Suspension of reorganization of engineering and technical 
              authority policy within the Naval Sea Systems Command.
Sec. 907. Conforming amendments relating to change of name of Air 
              Mobility Command.

      Subtitle B--Organization and Management of Space Activities

Sec. 911. Establishment of position of Under Secretary of Defense for 
              Space, Intelligence, and Information.
Sec. 912. Responsibility for space programs.
Sec. 913. Major force program category for space programs.
Sec. 914. Assessment of implementation of recommendations of Commission 
              To Assess United States National Security Space 
              Management and Organization.
Sec. 915. Grade of commander of Air Force Space Command.
Sec. 916. Sense of Congress regarding grade of officer assigned as 
              Commander of United States Space Command.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. Transfer authority.
Sec. 1002. Reduction in authorizations of appropriations for Department 
              of Defense for management efficiencies.
Sec. 1003. Authorization of supplemental appropriations for fiscal year 
              2001.
Sec. 1004. United States contribution to NATO common-funded budgets in 
              fiscal year 2002.
Sec. 1005. Clarification of applicability of interest penalties for 
              late payment of interim payments due under contracts for 
              services.
Sec. 1006. Reliability of Department of Defense financial statements.
Sec. 1007. Financial Management Modernization Executive Committee and 
              financial feeder systems compliance process.
Sec. 1008. Combating Terrorism Readiness Initiatives Fund for combatant 
              commands.
Sec. 1009. Authorization of additional funds.
Sec. 1010. Authorization of 2001 Emergency Supplemental Appropriations 
              Act for recovery from and response to terrorist attacks 
              on the United States.

                      Subtitle B--Strategic Forces

Sec. 1011. Repeal of limitation on retirement or dismantlement of 
              strategic nuclear delivery systems.
Sec. 1012. Bomber force structure.
Sec. 1013. Additional element for revised nuclear posture review.

                   Subtitle C--Reporting Requirements

Sec. 1021. Information and recommendations on congressional reporting 
              requirements applicable to the Department of Defense.
Sec. 1022. Report on combating terrorism.
Sec. 1023. Revised requirement for Chairman of the Joint Chiefs of 
              Staff to advise Secretary of Defense on the assignment of 
              roles and missions to the Armed Forces.
Sec. 1024. Revision of deadline for annual report on commercial and 
              industrial activities.
Sec. 1025. Production and acquisition of vaccines for defense against 
              biological warfare agents.
Sec. 1026. Extension of times for Commission on the Future of the 
              United States Aerospace Industry to report and to 
              terminate.
Sec. 1027. Comptroller General study and report on interconnectivity of 
              National Guard Distributive Training Technology Project 
              networks and related public and private networks.

                Subtitle D--Armed Forces Retirement Home

Sec. 1041. Amendment of Armed Forces Retirement Home Act of 1991.
Sec. 1042. Definitions.
Sec. 1043. Revision of authority establishing the Armed Forces 
              Retirement Home.
Sec. 1044. Chief Operating Officer.
Sec. 1045. Residents of Retirement Home.
Sec. 1046. Local boards of trustees.
Sec. 1047. Directors, Deputy Directors, and staff of facilities.
Sec. 1048. Disposition of effects of deceased persons and unclaimed 
              property.
Sec. 1049. Transitional provisions.
Sec. 1050. Conforming and clerical amendments and repeals of obsolete 
              provisions.
Sec. 1051. Amendments of other laws.

                       Subtitle E--Other Matters

Sec. 1061. Requirement to conduct certain previously authorized 
              educational programs for children and youth.
Sec. 1062. Authority to ensure demilitarization of significant military 
              equipment formerly owned by the Department of Defense.
Sec. 1063. Conveyances of equipment and related materials loaned to 
              State and local governments as assistance for emergency 
              response to a use or threatened use of a weapon of mass 
              destruction.
Sec. 1064. Authority to pay gratuity to members of the Armed Forces and 
              civilian employees of the United States for slave labor 
              performed for Japan during World War II.

[[Page 20041]]

Sec. 1065. Retention of travel promotional items.
Sec. 1066. Radiation Exposure Compensation Act mandatory 
              appropriations.
Sec. 1067. Leasing of Navy ships for University National Oceanographic 
              Laboratory System.
Sec. 1068. Small business procurement competition.
Sec. 1069. Chemical and biological protective equipment for military 
              and civilian personnel of the Department of Defense.
Sec. 1070. Authorization of the sale of goods and services by the Naval 
              Magazine, Indian Island.
Sec. 1071. Assistance for firefighters.
Sec. 1072. Plan to ensure embarkation of civilian guests does not 
              interfere with operational readiness and safe operation 
              of Navy vessels.
Sec. 1073. Modernizing and enhancing missile wing helicopter support--
              study and plan.
Sec. 1074. Sense of the Senate that the Secretary of the Treasury 
              should immediately issue savings bonds, to be designated 
              as ``Unity Bonds'', in response to the terrorist attacks 
              against the United States on September 11, 2001.
Sec. 1075. Personnel pay and qualifications authority for Department of 
              Defense Pentagon Reservation civilian law enforcement and 
              security force.
Sec. 1076. Waiver of vehicle weight limits during periods of national 
              emergency.

       TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL POLICY

                   Subtitle A--Intelligence Personnel

Sec. 1101. Authority to increase maximum number of positions in the 
              Defense Intelligence Senior Executive Service.
Sec. 1102. Continued applicability of certain civil service protections 
              for employees integrated into the National Imagery and 
              Mapping Agency from the Defense Mapping Agency.

               Subtitle B--Matters Relating to Retirement

Sec. 1111. Federal employment retirement credit for nonappropriated 
              fund instrumentality service.
Sec. 1112. Improved portability of retirement coverage for employees 
              moving between civil service employment and employment by 
              nonappropriated fund instrumentalities.
Sec. 1113. Repeal of limitations on exercise of voluntary separation 
              incentive pay authority and voluntary early retirement 
              authority.

                       Subtitle C--Other Matters

Sec. 1121. Housing allowance for the chaplain for the Corps of Cadets 
              at the United States Military Academy.
Sec. 1122. Study of adequacy of compensation provided for teachers in 
              the Department of Defense overseas dependents' schools.
Sec. 1123. Pilot program for payment of retraining expenses incurred by 
              employers of persons involuntarily separated from 
              employment by the Department of Defense.
Sec. 1124. Participation of personnel in technical standards 
              development activities.
Sec. 1125. Authority to exempt certain health care professionals from 
              examination for appointment in the competitive civil 
              service.
Sec. 1126. Professional credentials.

              TITLE XII--MATTERS RELATING TO OTHER NATIONS

  Subtitle A--Cooperative Threat Reduction With States of the Former 
                              Soviet Union

Sec. 1201. Specification of Cooperative Threat Reduction programs and 
              funds.
Sec. 1202. Funding allocations.
Sec. 1203. Chemical weapons destruction.
Sec. 1204. Management of Cooperative Threat Reduction programs and 
              funds.
Sec. 1205. Additional matter in annual report on activities and 
              assistance under Cooperative Threat Reduction programs.

                       Subtitle B--Other Matters

Sec. 1211. Support of United Nations-sponsored efforts to inspect and 
              monitor Iraqi weapons activities.
Sec. 1212. Cooperative research and development projects with NATO and 
              other countries.
Sec. 1213. International cooperative agreements on use of ranges and 
              other facilities for testing of defense equipment.
Sec. 1214. Clarification of authority to furnish nuclear test 
              monitoring equipment to foreign governments.
Sec. 1215. Participation of government contractors in chemical weapons 
              inspections at United States Government facilities under 
              the Chemical Weapons Convention.
Sec. 1216. Authority to transfer naval vessels to certain foreign 
              countries.
Sec. 1217. Acquisition of logistical support for security forces.
Sec. 1218. Personal services contracts to be performed by individuals 
              or organizations abroad.
Sec. 1219. Allied defense burdensharing.
Sec. 1220. Release of restriction on use of certain vessels previously 
              authorized to be sold.

         TITLE XIII--CONTINGENT AUTHORIZATION OF APPROPRIATIONS

Sec. 1301. Authorization of appropriations contingent on increased 
              allocation of new budget authority.
Sec. 1302. Reductions.
Sec. 1303. Reference to Concurrent Resolution on the Budget for Fiscal 
              Year 2002.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title.

                            TITLE XXI--ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
              2001 projects.

                            TITLE XXII--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
              2001 projects.
Sec. 2206. Modification of authority to carry out fiscal year 2000 
              project.

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
              projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Modification of authority to carry out certain fiscal year 
              2001 project.

                      TITLE XXIV--DEFENSE AGENCIES

Sec. 2401. Authorized Defense Agencies construction and land 
              acquisition projects.
Sec. 2402. Energy conservation projects.
Sec. 2403. Authorization of appropriations, Defense Agencies.
Sec. 2404. Cancellation of authority to carry out certain fiscal year 
              2001 projects.
Sec. 2405. Cancellation of authority to carry out additional fiscal 
              year 2001 project.
Sec. 2406. Modification of authority to carry out certain fiscal year 
              2000 projects.
Sec. 2407. Modification of authority to carry out certain fiscal year 
              1999 project.
Sec. 2408. Modification of authority to carry out certain fiscal year 
              1995 project.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

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

            TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

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

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
              specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1999 
              projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1998 
              projects.
Sec. 2704. Effective date.

                    TITLE XXVIII--GENERAL PROVISIONS

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

Sec. 2801. Increase in thresholds for certain unspecified minor 
              military construction projects.
Sec. 2802. Unforeseen environmental hazard remediation as basis for 
              authorized cost variations for military construction and 
              family housing construction projects.
Sec. 2803. Repeal of requirement for annual reports to Congress on 
              military construction and military family housing 
              activities.

[[Page 20042]]

Sec. 2804. Authority available for lease of property and facilities 
              under alternative authority for acquisition and 
              improvement of military housing.
Sec. 2805. Funds for housing allowances of members assigned to military 
              family housing under alternative authority for 
              acquisition and improvement of military housing.
Sec. 2806. Amendment of Federal Acquisition Regulation to treat 
              financing costs as allowable expenses under contracts for 
              utility services from utility systems conveyed under 
              privatization initiative.

        Subtitle B--Real Property and Facilities Administration

Sec. 2811. Availability of proceeds of sales of Department of Defense 
              property from closed military installations.
Sec. 2812. Pilot efficient facilities initiative.
Sec. 2813. Demonstration program on reduction in long-term facility 
              maintenance costs.

                      Subtitle C--Land Conveyances

Sec. 2821. Land conveyance, Engineer Proving Ground, Fort Belvoir, 
              Virginia.
Sec. 2822. Modification of authority for conveyance of Naval Computer 
              and Telecommunications Station, Cutler, Maine.
Sec. 2823. Land transfer and conveyance, Naval Security Group Activity, 
              Winter Harbor, Maine.
Sec. 2824. Conveyance of segment of Loring Petroleum Pipeline, Maine, 
              and related easements.
Sec. 2825. Land conveyance, petroleum terminal serving former Loring 
              Air Force Base and Bangor Air National Guard Base, Maine.
Sec. 2826. Land conveyance, Naval Weapons Industrial Reserve Plant, 
              Toledo, Ohio.
Sec. 2827. Modification of land conveyance, Mukilteo Tank Farm, 
              Everett, Washington.
Sec. 2828. Land conveyances, Charleston Air Force Base, South Carolina.
Sec. 2829. Land conveyance, Fort Des Moines, Iowa.
Sec. 2830. Land conveyances, certain former Minuteman III ICBM 
              facilities in North Dakota.
Sec. 2831. Land acquisition, Perquimans County, North Carolina.
Sec. 2832. Land conveyance, Army Reserve Center, Kewaunee, Wisconsin.
Sec. 2832. Treatment of amounts received.

                       Subtitle D--Other Matters

Sec. 2841. Development of United States Army Heritage and Education 
              Center at Carlisle Barracks, Pennsylvania.
Sec. 2842. Repeal of limitation on cost of renovation of Pentagon 
              Reservation.
Sec. 2843. Naming of Patricia C. Lamar Army National Guard Readiness 
              Center, Oxford, Mississippi.
Sec. 2844. Construction of parking garage at Fort DeRussy, Hawaii.
Sec. 2845. Acceptance of contributions to repair or establishment 
              memorial at Pentagon Reservation.

            TITLE XXIX--DEFENSE BASE CLOSURE AND REALIGNMENT

           Subtitle A--Modifications of 1990 Base Closure Law

Sec. 2901. Authority to carry out base closure round in 2003.
Sec. 2902. Base Closure Account 2003.
Sec. 2903. Additional modifications of base closure authorities.
Sec. 2904. Technical and clarifying amendments.

           Subtitle B--Modification of 1988 Base Closure Law

Sec. 2911. Payment for certain services provided by redevelopment 
              authorities for property leased back by the United 
              States.

 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 restoration and waste management.
Sec. 3103. Other defense activities.
Sec. 3104. Defense environmental management privatization.
Sec. 3105. Defense nuclear waste disposal.

                Subtitle B--Recurring General Provisions

Sec. 3121. Reprogramming.
Sec. 3122. Limits on minor construction projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
              activities.
Sec. 3127. Funds available for all national security programs of the 
              Department of Energy.
Sec. 3128. Availability of funds.
Sec. 3129. Transfer of defense environmental management funds.
Sec. 3130. Transfer of weapons activities funds.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

Sec. 3131. Limitation on availability of funds for weapons activities 
              for facilities and infrastructure.
Sec. 3132. Limitation on availability of funds for other defense 
              activities for national security programs administrative 
              support.
Sec. 3133. Nuclear Cities Initiative.
Sec. 3134. Construction of Department of Energy operations office 
              complex.

Subtitle D--Matters Relating to Management of National Nuclear Security 
                             Administration

Sec. 3141. Establishment of position of Deputy Administrator for 
              Nuclear Security.
Sec. 3142. Responsibility for national security laboratories and 
              weapons production facilities of Deputy Administrator of 
              National Nuclear Security Administration for Defense 
              Programs.
Sec. 3143. Clarification of status within the Department of Energy of 
              administration and contractor personnel of the National 
              Nuclear Security Administration.
Sec. 3144. Modification of authority of Administrator for Nuclear 
              Security to establish scientific, engineering, and 
              technical positions.

                       Subtitle E--Other Matters

Sec. 3151. Improvements to Energy Employees Occupational Illness 
              Compensation Program.
Sec. 3152. Department of Energy counterintelligence polygraph program.
Sec. 3153. One-year extension of authority of Department of Energy to 
              pay voluntary separation incentive payments.
Sec. 3154. Additional objective for Department of Energy defense 
              nuclear facility work force restructuring plan.
Sec. 3155. Modification of date of report of Panel to Assess the 
              Reliability, Safety, and Security of the United States 
              Nuclear Stockpile.
Sec. 3156. Reports on achievement of milestones for National Ignition 
              Facility.
Sec. 3157. Support for public education in the vicinity of Los Alamos 
              National Laboratory, New Mexico.
Sec. 3158. Improvements to Corral Hollow Road, Livermore, California.
Sec. 3159. Annual assessment and report on vulnerability of Department 
              of Energy facilities to terrorist attack.

            Subtitle F--Rocky Flats National Wildlife Refuge

Sec. 3171. Short title.
Sec. 3172. Findings and purposes.
Sec. 3173. Definitions.
Sec. 3174. Future ownership and management.
Sec. 3175. Transfer of management responsibilities and jurisdiction 
              over Rocky Flats.
Sec. 3176. Continuation of environmental cleanup and closure.
Sec. 3177. Rocky Flats National Wildlife Refuge.
Sec. 3178. Comprehensive conservation plan.
Sec. 3179. Property rights.
Sec. 3180. Rocky Flats Museum.
Sec. 3181. Report on funding.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Authority to dispose of certain materials in the National 
              Defense Stockpile.
Sec. 3302. Revision of limitations on required disposals of cobalt in 
              the National Defense Stockpile.
Sec. 3303. Acceleration of required disposal of cobalt in the National 
              Defense Stockpile.
Sec. 3304. Revision of restriction on disposal of manganese ferro.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

     SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

       For purposes of this Act, the term ``congressional defense 
     committees'' means--
       (1) the Committee on Armed Services and the Committee on 
     Appropriations of the Senate; and
       (2) the Committee on Armed Services and the Committee on 
     Appropriations of the House of Representatives.

     SEC. 4. APPLICABILITY OF REPORT OF COMMITTEE ON ARMED 
                   SERVICES OF THE SENATE.

       Senate Report 107-62, the report of the Committee on Armed 
     Services of the Senate

[[Page 20043]]

     to accompany the bill S. 1416, 107th Congress, 1st session, 
     shall apply to this Act with the exception of the portions of 
     the report that relate to sections 221 through 224.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

     SEC. 101. ARMY.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Army as follows:
       (1) For aircraft, $2,123,391,000.
       (2) For missiles, $1,807,384,000.
       (3) For weapons and tracked combat vehicles, 
     $2,276,746,000.
       (4) For ammunition, $1,187,565,000.
       (5) For other procurement, $4,024,486,000.

     SEC. 102. NAVY AND MARINE CORPS.

       (a) Navy.--Funds are hereby authorized to be appropriated 
     for fiscal year 2002 for procurement for the Navy as follows:
       (1) For aircraft, $8,169,043,000.
       (2) For weapons, including missiles and torpedoes, 
     $1,503,475,000.
       (3) For shipbuilding and conversion, $9,522,121,000.
       (4) For other procurement, $4,293,476,000.
       (b) Marine Corps.--Funds are hereby authorized to be 
     appropriated for fiscal year 2002 for procurement for the 
     Marine Corps in the amount of $981,724,000.
       (c) Navy and Marine Corps Ammunition.--Funds are hereby 
     authorized to be appropriated for fiscal year 2002 for 
     procurement of ammunition for the Navy and the Marine Corps 
     in the amount of $476,099,000.

     SEC. 103. AIR FORCE.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Air Force as follows:
       (1) For aircraft, $10,892,957,000.
       (2) For ammunition, $885,344,000.
       (3) For missiles, $3,286,136,000.
       (4) For other procurement, $8,081,721,000.

     SEC. 104. DEFENSE-WIDE ACTIVITIES.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for Defense-wide procurement in the amount of 
     $1,594,325,000.

     SEC. 105. DEFENSE INSPECTOR GENERAL.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Inspector General of the 
     Department of Defense in the amount of $2,800,000.

     SEC. 106. CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, DEFENSE.

       There is hereby authorized to be appropriated for the 
     Office of the Secretary of Defense for fiscal year 2002 the 
     amount of $1,153,557,000 for--
       (1) the destruction of lethal chemical agents and munitions 
     in accordance with section 1412 of the Department of Defense 
     Authorization Act, 1986 (50 U.S.C. 1521); and
       (2) the destruction of chemical warfare materiel of the 
     United States that is not covered by section 1412 of such 
     Act.

     SEC. 107. DEFENSE HEALTH PROGRAMS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the Department of Defense for procurement for 
     carrying out health care programs, projects, and activities 
     of the Department of Defense in the total amount of 
     $267,915,000.

                       Subtitle B--Army Programs

                               (Reserved)

                       Subtitle C--Navy Programs

     SEC. 121. VIRGINIA CLASS SUBMARINE PROGRAM.

       Section 123(b)(1) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-25) is amended--
       (1) by striking ``five Virginia class submarines'' and 
     inserting ``seven Virginia class submarines''; and
       (2) by striking ``through 2006'' and inserting ``2007''.

     SEC. 122. MULTIYEAR PROCUREMENT AUTHORITY FOR F/A-18E/F 
                   AIRCRAFT ENGINES.

       Beginning with the 2002 program year, the Secretary of the 
     Navy may, in accordance with section 2306b of title 10, 
     United States Code, enter into a multiyear contract for the 
     procurement of engines for F/A-18E/F aircraft.

     SEC. 123. V-22 OSPREY AIRCRAFT PROGRAM.

       The production rate for V-22 Osprey aircraft may not be 
     increased above the minimum sustaining production rate for 
     which funds are authorized to be appropriated by this Act 
     until the Secretary of Defense certifies to Congress that 
     successful operational testing of the aircraft demonstrates 
     that--
       (1) the solutions to the problems regarding the reliability 
     of hydraulic system components and flight control software 
     that were identified by the panel appointed by the Secretary 
     of Defense on January 5, 2001, to review the V-22 aircraft 
     program are adequate to achieve low risk for crews and 
     passengers aboard V-22 aircraft that are operating under 
     operational conditions;
       (2) the V-22 aircraft can achieve reliability and 
     maintainability levels that are sufficient for the aircraft 
     to achieve operational availability at the level required for 
     fleet aircraft;
       (3) the V-22 aircraft will be operationally effective--
       (A) when employed in operations with other V-22 aircraft; 
     and
       (B) when employed in operations with other types of 
     aircraft; and
       (4) the V-22 aircraft can be operated effectively, taking 
     into consideration the downwash effects inherent in the 
     operation of the aircraft, when the aircraft--
       (A) is operated in remote areas with unimproved terrain and 
     facilities;
       (B) is deploying and recovering personnel--
       (i) while hovering within the zone of ground effect; and
       (ii) while hovering outside the zone of ground effect; and
       (C) is operated with external loads.

     SEC. 124. ADDITIONAL MATTER RELATING TO V-22 OSPREY AIRCRAFT.

       Not later than 30 days before the recommencement of flights 
     of the V-22 Osprey aircraft, the Secretary of Defense shall 
     submit to Congress notice of the waiver, if any, of any item 
     capability or any other requirement specified in the Joint 
     Operational Requirements Document for the V-22 Osprey 
     aircraft, including a justification of each such waiver.

                     Subtitle D--Air Force Programs

     SEC. 131. MULTIYEAR PROCUREMENT AUTHORITY FOR C-17 AIRCRAFT.

       Beginning with the 2002 program year, the Secretary of the 
     Air Force may, in accordance with section 2306b of title 10, 
     United States Code, enter into a multiyear contract for the 
     procurement of up to 60 C-17 aircraft.

                       Subtitle E--Other Matters

     SEC. 141. EXTENSION OF PILOT PROGRAM ON SALES OF MANUFACTURED 
                   ARTICLES AND SERVICES OF CERTAIN ARMY 
                   INDUSTRIAL FACILITIES WITHOUT REGARD TO 
                   AVAILABILITY FROM DOMESTIC SOURCES.

       Section 141(a) of the National Defense Authorization Act 
     for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 4543 note) 
     is amended by striking ``through 2001'' and inserting 
     ``through 2002''.

     SEC. 142. PROCUREMENT OF ADDITIONAL M291 SKIN DECONTAMINATION 
                   KITS.

       (a) Increase in Authorization of Appropriations for 
     Defense-Wide Procurement.--(1) The amount authorized to be 
     appropriated by section 104 for Defense-wide procurement is 
     hereby increased by $2,400,000, with the amount of the 
     increase available for the Navy for procurement of M291 skin 
     decontamination kits.
       (2) The amount available under paragraph (1) for 
     procurement of M291 skin decontamination kits is in addition 
     to any other amounts available under this Act for procurement 
     of M291 skin decontamination kits.
       (b) Offset.--The amount authorized to be appropriated by 
     section 201(4) for research, development, test, and 
     evaluation, Defense-wide, is hereby decreased by $2,400,000, 
     with the amount to be derived from the amount available for 
     the Technical Studies, Support and Analysis program.

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

              Subtitle A--Authorization of Appropriations

     SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Department of Defense for 
     research, development, test, and evaluation as follows:
       (1) For the Army, $6,899,170,000.
       (2) For the Navy, $11,134,806,000.
       (3) For the Air Force, $14,459,457,000.
       (4) For Defense-wide activities, $14,099,702,000, of which 
     $221,355,000 is authorized for the Director of Operational 
     Test and Evaluation.
       (5) For the Defense Health Program, $65,304,000.

     SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

       (a) Fiscal Year 2002.--Of the amounts authorized to be 
     appropriated by section 201, $5,093,605,000 shall be 
     available for basic research and applied research projects.
       (b) Basic Research and Applied Research Defined.--For 
     purposes of this section, the term ``basic research and 
     applied research'' means work funded in program elements for 
     defense research and development under Department of Defense 
     category 6.1 or 6.2.

     SEC. 203. AUTHORIZATION OF ADDITIONAL FUNDS.

       (a) Authorization.--The amount authorized to be 
     appropriated in section 201(1) is increased by $2,500,000 in 
     PE62303A214 for Enhanced Scramjet Mixing.
       (b) Offset.--The amount authorized to be appropriated by 
     section 301(5) is reduced by $2,500,000.

     SEC. 204. FUNDING FOR SPECIAL OPERATIONS FORCES COMMAND, 
                   CONTROL, COMMUNICATIONS, COMPUTERS, AND 
                   INTELLIGENCE SYSTEMS THREAT WARNING AND 
                   SITUATIONAL AWARENESS PROGRAM.

       (a) Increased Authorization of Appropriations for Research, 
     Development, Test, and Evaluation, Defense-Wide.--The amount 
     authorized to be appropriated by section 201(4) for research, 
     development, test, and evaluation, Defense-wide, is hereby 
     increased by $2,800,000.
       (b) Availability.--Of the amount authorized to be 
     appropriated by section 201(4), as increased by subsection 
     (a), $2,800,000 may be available for the Special Operations 
     Forces Command, Control, Communications, Computers, and 
     Intelligence Systems Threat Warning and Situational Awareness 
     (PRIVATEER) program (PE1160405BB).
       (c) Offset.--The amount authorized to be appropriated by 
     section 301(5) for operation and maintenance for Defense-wide 
     activities is hereby reduced by $2,800,000.

[[Page 20044]]



    Subtitle B--Program Requirements, Restrictions, and Limitations

     SEC. 211. F-22 AIRCRAFT PROGRAM.

       (a) Repeal of Limitations on Total Cost of Engineering and 
     Manufacturing Development.--The following provisions of law 
     are repealed:
       (1) Section 217(a) of the National Defense Authorization 
     Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1660).
       (2) Section 8125 of the Department of Defense 
     Appropriations Act, 2001 (Public Law 106-259; 114 Stat. 702).
       (3) Section 219(b) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-38).
       (b) Conforming Amendments.--(1) Section 217 of the National 
     Defense Authorization Act for Fiscal Year 1998 (Public Law 
     105-85; 111 Stat. 1660) is amended--
       (A) in subsection (c)--
       (i) by striking ``limitations set forth in subsections (a) 
     and (b)'' and inserting ``limitation set forth in subsection 
     (b)''; and
       (ii) by striking paragraph (3); and
       (B) in subsection (d)(2), by striking subparagraphs (D) and 
     (E).
       (2) Section 131 of the National Defense Authorization Act 
     for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 536) is 
     amended--
       (A) in subsection (a), by striking paragraph (2) and 
     inserting the following:
       ``(2) That the production phase for that program can be 
     executed within the limitation on total cost applicable to 
     that program under section 217(b) of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85; 
     111 Stat. 1660).''; and
       (B) in subsection (b)(3), by striking ``for the remainder 
     of the engineering and manufacturing development phase and''.

     SEC. 212. C-5 AIRCRAFT RELIABILITY ENHANCEMENT AND 
                   REENGINING.

       The Secretary of the Air Force shall ensure that 
     engineering manufacturing and development under the C-5 
     aircraft reliability enhancement and reengining program 
     includes kit development for an equal number of C-5A and C-5B 
     aircraft.

     SEC. 213. REVIEW OF ALTERNATIVES TO THE V-22 OSPREY AIRCRAFT.

       (a) Requirement for Review.--The Under Secretary of Defense 
     for Acquisition, Technology, and Logistics shall conduct a 
     review of the requirements of the Marine Corps and the 
     Special Operations Command that the V-22 Osprey aircraft is 
     intended to meet in order to identify the potential 
     alternative means for meeting those requirements if the V-22 
     Osprey aircraft program were to be terminated.
       (b) Matters To Be Included.--The requirements reviewed 
     shall include the following:
       (1) The requirements to be met by an aircraft replacing the 
     CH-46 medium lift helicopter.
       (2) The requirements to be met by an aircraft replacing the 
     MH-53 helicopter.
       (c) Funding.--Of the amount authorized to be appropriated 
     by section 201(2), $5,000,000 shall be available for carrying 
     out the review required by this section.

     SEC. 214. JOINT BIOLOGICAL DEFENSE PROGRAM.

       Section 217(a) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-36) is amended by 
     striking ``funds authorized to be appropriated by this Act 
     may not'' and inserting ``no funds authorized to be 
     appropriated to the Department of Defense for fiscal year 
     2002 may''.

     SEC. 215. REPORT ON V-22 OSPREY AIRCRAFT BEFORE DECISION TO 
                   RESUME FLIGHT TESTING.

       Not later than 30 days before the planned date to resume 
     flight testing of the V-22 Osprey aircraft, the Under 
     Secretary of Defense for Acquisition, Technology, and 
     Logistics shall submit to Congress a report containing the 
     following:
       (1) A comprehensive description of the status of the 
     hydraulics system and flight control software of the V-22 
     Osprey Aircraft, including--
       (A) a description and analysis of any deficiencies in the 
     hydraulics system and flight control software of the V-22 
     Osprey aircraft; and
       (B) a description and assessment of the actions taken to 
     redress such deficiencies.
       (2) A description of the current actions, and any proposed 
     actions, of the Department of Defense to implement the 
     recommendations of the Panel to Review the V-22 Program.
       (3) An assessment of the recommendations of the National 
     Aeronautics and Space Administration in its report on 
     tiltrotor aeromechanics.

     SEC. 216. BIG CROW PROGRAM AND DEFENSE SYSTEMS EVALUATION 
                   PROGRAM.

       (a) Increase in Authorization of Appropriations for 
     Research, Development, Test, and Evaluation, Defense-Wide.--
     The amount authorized to be appropriated by section 201(4) 
     for research, development, test, and evaluation, Defense-
     wide, is hereby increased by $6,500,000, with the amount of 
     the increase to be available for operational test and 
     evaluation (PE605118D).
       (b) Availability of Funds.--Of the amount authorized to be 
     appropriated by section 201(4), as increased by subsection 
     (a)--
       (1) $5,000,000 may be available for the Big Crow program; 
     and
       (2) $1,500,000 may be available for the Defense Systems 
     Evaluation (DSE) program.
       (c) Offset.--The amount authorized to be appropriated by 
     section 301(5) for operation and maintenance for Defense-wide 
     activities is hereby reduced by $6,500,000.

                       Subtitle C--Other Matters

     SEC. 231. TECHNOLOGY TRANSITION INITIATIVE.

       (a) Establishment and Conduct.--Chapter 139 of title 10, 
     United States Code, is amended by inserting after section 
     2354 the following new section 2355:

     ``Sec. 2355. Technology Transition Initiative

       ``(a) Requirement for Program.--The Secretary of Defense 
     shall carry out a Technology Transition Initiative to 
     facilitate the rapid transition of new technologies from 
     science and technology programs of the Department of Defense 
     into acquisition programs for the production of the 
     technologies.
       ``(b) Objectives.--The objectives of the Initiative are as 
     follows:
       ``(1) To successfully demonstrate new technologies in 
     relevant environments.
       ``(2) To ensure that new technologies are sufficiently 
     mature for production.
       ``(c) Management.--(1) The Secretary of Defense shall 
     designate a senior official in the Office of the Secretary of 
     Defense to manage the Initiative.
       ``(2) In administering the Initiative, the Initiative 
     Manager shall report directly to the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics.
       ``(3) The Initiative Manager shall--
       ``(A) in consultation with the Commander of the Joint 
     Forces Command, identify promising technologies that have 
     been demonstrated in science and technology programs of the 
     Department of Defense;
       ``(B) identify potential sponsors in the Department of 
     Defense to undertake the transition of such technologies into 
     production;
       ``(C) work with the science and technology community and 
     the acquisition community to develop memoranda of agreement, 
     joint funding agreements, and other cooperative arrangements 
     to provide for the transition of the technologies into 
     production; and
       ``(D) provide funding support for selected projects as 
     provided under subsection (d).
       ``(d) Jointly Funded Projects.--(1) The senior procurement 
     executive of each military department shall select technology 
     projects of the military department to recommend for funding 
     support under the Initiative and shall submit a list of the 
     recommended projects, ranked in order of priority, to the 
     Initiative Manager. The projects shall be selected, in a 
     competitive process, on the basis of the highest potential 
     benefits in areas of interest identified by the Secretary of 
     that military department.
       ``(2) The Initiative Manager, in consultation with the 
     Commander of the Joint Forces Command, shall select projects 
     for funding support from among the projects on the lists 
     submitted under paragraph (1). The Initiative Manager shall 
     provide funds, out of the Technology Transition Fund, for 
     each selected project. The total amount provided for a 
     project shall be an amount that equals or exceeds 50 percent 
     of the total cost of the project.
       ``(3) The senior procurement executive of the military 
     department shall manage each project selected under paragraph 
     (2) that is undertaken by the military department. Memoranda 
     of agreement, joint funding agreements, and other cooperative 
     arrangements between the science and technology community and 
     the acquisition community shall be used in carrying out the 
     project if the senior procurement executive determines that 
     it is appropriate to do so to achieve the objectives of the 
     project.
       ``(e) Technology Transition Fund.--(1) There is established 
     in the Treasury of the United States a fund to be known as 
     the `Technology Transition Fund'.
       ``(2) Subject to the authority, direction, and control of 
     the Secretary of Defense, the Initiative Manager shall 
     administer the Fund consistent with the provisions of this 
     section.
       ``(3) Amounts appropriated for the Initiative shall be 
     deposited in the Fund.
       ``(4) Amounts in the Fund shall be available, to the extent 
     provided in appropriations Acts, for carrying out the 
     Initiative.
       ``(5) The President shall specify in the budget submitted 
     for a fiscal year pursuant to section 1105(a) of title 31 the 
     amount provided in that budget for the Initiative.
       ``(f) Definitions.--In this section:
       ``(1) The term `Initiative' means the Technology Transition 
     Initiative carried out under this section.
       ``(2) The term `Initiative Manager' means the official 
     designated to manage the Initiative under subsection (c).
       ``(3) The term `Fund' means the Technology Transition Fund 
     established under subsection (e).
       ``(4) The term `senior procurement executive', with respect 
     to a military department, means the official designated as 
     the senior procurement executive for that military department 
     under section 16(3) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 414(3)).''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is

[[Page 20045]]

     amended by inserting after the item relating to section 2354 
     the following new item:

``2355. Technology Transition Initiative.''.

     SEC. 232. COMMUNICATION OF SAFETY CONCERNS BETWEEN 
                   OPERATIONAL TESTING AND EVALUATION OFFICIALS 
                   AND PROGRAM MANAGERS.

       Section 139 of title 10, United States Code, is amended by 
     adding at the end the following new subsection:
       ``(c) The Director shall ensure that safety concerns 
     developed during the operational test and evaluation of a 
     weapon system under a major defense acquisition program are 
     timely communicated to the program manager for consideration 
     in the acquisition decisionmaking process.''.

     SEC. 233. SUPPLEMENTAL AUTHORIZATION OF APPROPRIATIONS FOR 
                   FISCAL YEAR 2001 FOR RESEARCH, DEVELOPMENT, 
                   TEST, AND EVALUATION DEFENSE-WIDE.

       Section 201(4) of Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-32) is amended by 
     striking ``$10,873,712,000'' and inserting 
     ``$10,874,712,000''.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

     SEC. 301. OPERATION AND MAINTENANCE FUNDING.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     expenses, not otherwise provided for, for operation and 
     maintenance, in amounts as follows:
       (1) For the Army, $21,134,982,000.
       (2) For the Navy, $26,927,931,000.
       (3) For the Marine Corps, $2,911,339,000.
       (4) For the Air Force, $25,993,582,000.
       (5) For Defense-wide activities, $12,482,532,000.
       (6) For the Army Reserve, $1,803,146,000.
       (7) For the Naval Reserve, $1,000,369,000.
       (8) For the Marine Corps Reserve, $142,956,000.
       (9) For the Air Force Reserve, $2,029,866,000.
       (10) For the Army National Guard, $3,697,659,000.
       (11) For the Air National Guard, $4,037,161,000.
       (12) For the Defense Inspector General, $149,221,000.
       (13) For the United States Court of Appeals for the Armed 
     Forces, $9,096,000.
       (14) For Environmental Restoration, Army, $389,800,000.
       (15) For Environmental Restoration, Navy, $257,517,000.
       (16) For Environmental Restoration, Air Force, 
     $385,437,000.
       (17) For Environmental Restoration, Defense-wide, 
     $23,492,000.
       (18) For Environmental Restoration, Formerly Used Defense 
     Sites, $190,255,000.
       (19) For Overseas Humanitarian, Disaster, and Civic Aid 
     programs, $49,700,000.
       (20) For Drug Interdiction and Counterdrug Activities, 
     Defense-wide, $860,381,000.
       (21) For the Kaho'olawe Island Conveyance, Remediation, and 
     Environmental Restoration Trust Fund, $60,000,000.
       (22) For the Defense Health Program, $17,546,750,000.
       (23) For Cooperative Threat Reduction programs, 
     $403,000,000.
       (24) For Overseas Contingency Operations Transfer Fund, 
     $2,844,226,000.
       (25) For Support for International Sporting Competitions, 
     Defense, $15,800,000.

     SEC. 302. WORKING CAPITAL FUNDS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     providing capital for working capital and revolving funds in 
     amounts as follows:
       (1) For the Defense Working Capital Funds, $1,917,186,000.
       (2) For the National Defense Sealift Fund, $506,408,000.

     SEC. 303. ARMED FORCES RETIREMENT HOME.

       (a) Amount for Fiscal Year 2002.--There is hereby 
     authorized to be appropriated for fiscal year 2002 from the 
     Armed Forces Retirement Home Trust Fund the sum of 
     $71,440,000 for the operation of the Armed Forces Retirement 
     Home, including the United States Soldiers' and Airmen's Home 
     and the Naval Home.
       (b) Amounts Previously Authorized.--Of amounts appropriated 
     from the Armed Forces Retirement Home Trust Fund for fiscal 
     years before fiscal year 2002 by Acts enacted before the date 
     of the enactment of this Act, an amount of $22,400,000 shall 
     be available for those fiscal years, to the same extent as is 
     provided in appropriation Acts, for the development and 
     construction of a blended use, multicare facility at the 
     Naval Home and for the acquisition of a parcel of real 
     property adjacent to the Naval Home, consisting of 
     approximately 15 acres, more or less.

     SEC. 304. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT 
                   BENEFIT DEPENDENTS OF MEMBERS OF THE ARMED 
                   FORCES AND DEPARTMENT OF DEFENSE CIVILIAN 
                   EMPLOYEES.

       (a) Continuation of Department of Defense Program for 
     Fiscal Year 2002.--Of the amount authorized to be 
     appropriated by section 301(5) for operation and maintenance 
     for Defense-wide activities, $35,000,000 shall be available 
     only for the purpose of providing educational agencies 
     assistance (as defined in subsection (d)(1)) to local 
     educational agencies.
       (b) Notification.--Not later than June 30, 2002, the 
     Secretary of Defense shall notify each local educational 
     agency that is eligible for educational agencies assistance 
     for fiscal year 2002 of--
       (1) that agency's eligibility for educational agencies 
     assistance; and
       (2) the amount of the educational agencies assistance for 
     which that agency is eligible.
       (c) Disbursement of Funds.--The Secretary of Defense shall 
     disburse funds made available under subsection (a) not later 
     than 30 days after the date on which notification to the 
     eligible local educational agencies is provided pursuant to 
     subsection (b).
       (d) Definitions.--In this section:
       (1) The term ``educational agencies assistance'' means 
     assistance authorized under section 386(b) of the National 
     Defense Authorization Act for Fiscal Year 1993 (Public Law 
     102-484; 20 U.S.C. 7703 note).
       (2) The term ``local educational agency'' has the meaning 
     given that term in section 8013(9) of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

     SEC. 305. AMOUNT FOR IMPACT AID FOR CHILDREN WITH SEVERE 
                   DISABILITIES.

       Of the amount authorized to be appropriated under section 
     301(5), $5,000,000 shall be available for payments under 
     section 363 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-77).

     SEC. 306. IMPROVEMENTS IN INSTRUMENTATION AND TARGETS AT ARMY 
                   LIVE FIRE TRAINING RANGES.

       (a) Increase in Authorization of Appropriations for 
     Operation and Maintenance, Army.--The amount authorized to be 
     appropriated by section 301(1) for the Army for operation and 
     maintenance is hereby increased by $11,900,000 for 
     improvements in instrumentation and targets at Army live fire 
     training ranges.
       (b) Offset.--The amount authorized to be appropriated by 
     section 302(1) for the Department of Defense for the Defense 
     Working Capital Funds is hereby decreased by $11,900,000, 
     with the amount of the decrease to be allocated to amounts 
     available under that section for fuel purchases.

     SEC. 307. ENVIRONMENTAL RESTORATION, FORMERLY USED DEFENSE 
                   SITES.

       Of the funds authorized to be appropriated for section 301, 
     $230,255,000 shall be available for Environmental 
     Restoration, Formerly Used Defense Sites.

     SEC. 308. AUTHORIZATION OF ADDITIONAL FUNDS.

       Of the amount authorized to be appropriated by section 
     301(5), $2,000,000 may be available for the replacement and 
     refurbishment of air handlers and related control systems at 
     Air Force medical centers.

     SEC. 309. FUNDS FOR RENOVATION OF DEPARTMENT OF VETERANS 
                   AFFAIRS FACILITIES ADJACENT TO NAVAL TRAINING 
                   CENTER, GREAT LAKES, ILLINOIS.

       (a) Availability of Funds for Renovation.--Subject to 
     subsection (b), of the amount authorized to be appropriated 
     by section 301(2) for operations and maintenance for the 
     Navy, the Secretary of the Navy may make available to the 
     Secretary of Veterans Affairs up to $2,000,000 for relocation 
     of Department of Veterans Affairs activities and associated 
     renovation of existing facilities at the North Chicago 
     Department of Veterans Affairs Medical Center.
       (b) Limitation.--The Secretary of the Navy may make funds 
     available under subsection (a) only after the Secretary of 
     the Navy and the Secretary of Veterans Affairs enter into an 
     appropriate agreement for the use by the Secretary of the 
     Navy of approximately 48 acres of real property at the North 
     Chicago Department of Veterans Affairs property referred to 
     in subsection (a) for expansion of the Naval Training Center, 
     Great Lakes, Illinois.

                  Subtitle B--Environmental Provisions

     SEC. 311. ESTABLISHMENT IN ENVIRONMENTAL RESTORATION ACCOUNTS 
                   OF SUB-ACCOUNTS FOR UNEXPLODED ORDNANCE AND 
                   RELATED CONSTITUENTS.

       Section 2703 of title 10, United States Code, is amended--
       (1) by redesignating subsections (b) through (f) as 
     subsections (c) through (g), respectively; and
       (2) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Sub-Accounts for Unexploded Ordnance and Related 
     Constituents.--There is hereby established within each 
     environmental restoration account established under 
     subsection (a) a sub-account to be known as the 
     `Environmental Restoration Sub-Account, Unexploded Ordnance 
     and Related Constituents', for the account concerned.''.

     SEC. 312. ASSESSMENT OF ENVIRONMENTAL REMEDIATION OF 
                   UNEXPLODED ORDNANCE AND RELATED CONSTITUENTS.

       (a) Report Required.--The report submitted to Congress 
     under section 2706(a) of

[[Page 20046]]

     title 10, United States Code, in 2002 shall include, in 
     addition to the matters required by such section, a 
     comprehensive assessment of the extent of unexploded ordnance 
     and related constituents at current and former facilities of 
     the Department of Defense.
       (b) Elements.--The assessment included under subsection (a) 
     in the report referred to in that subsection shall include, 
     at a minimum--
       (1) an estimate of the aggregate projected costs of the 
     remediation of unexploded ordnance and related constituents 
     at all active facilities of the Department;
       (2) an estimate of the aggregate projected costs of the 
     remediation of unexploded ordnance and related constituents 
     at all installations that are being, or have been, closed or 
     realigned under the base closure laws as of the date of the 
     report under subsection (a);
       (3) an estimate of the aggregate projected costs of the 
     remediation of unexploded ordnance and related constituents 
     at all formerly used defense sites;
       (4) a comprehensive plan for addressing the unexploded 
     ordinance and related constituents referred to in paragraphs 
     (1) through (3), including an assessment of the funding 
     required and the period of time over which such funding will 
     be provided; and
       (5) an assessment of the technology available for the 
     remediation of unexploded ordnance and related constituents, 
     an assessment of the impact of improved technology on the 
     cost of remediation of such ordnance and constituents, and a 
     plan for the development and utilization of such improved 
     technology.
       (c) Requirements for Estimates.--(1) The estimates of 
     aggregate projected costs under each of paragraphs (1), (2), 
     and (3) of subsection (b) shall--
       (A) be stated as a range of aggregate projected costs, 
     including a low estimate and a high estimate;
       (B) set forth the differing assumptions underlying each 
     such low estimate and high estimate, including--
       (i) any public uses for the facilities, installations, or 
     sites concerned that will be available after the remediation 
     has been completed;
       (ii) the extent of the cleanup required to make the 
     facilities, installations, or sites concerned available for 
     such uses; and
       (iii) the technologies to be applied to utilized this 
     purpose; and
       (C) include, and identify separately, an estimate of the 
     aggregate projected costs of the remediation of any ground 
     water contamination that may be caused by unexploded ordnance 
     and related constituents at the facilities, installations, or 
     sites concerned.
       (2) The high estimate of the aggregate projected costs for 
     facilities and installations under paragraph (1)(A) shall be 
     based on the assumption that all unexploded ordnance and 
     related constituents at such facilities and installations 
     will be addressed, regardless of whether there are any 
     current plans to close such facilities or installations or 
     discontinue training at such facilities or installations.
       (3) The estimate of the aggregate projected costs of 
     remediation of ground water contamination under paragraph 
     (1)(C) shall be based on a comprehensive assessment of the 
     risk of such contamination and of the actions required to 
     protect the ground water supplies concerned.

     SEC. 313. DEPARTMENT OF DEFENSE ENERGY EFFICIENCY PROGRAM.

       (a) In General.--The Secretary of Defense shall carry out a 
     program to significantly improve the energy efficiency of 
     Department of Defense facilities through 2010.
       (b) Responsible Officials.--The Secretary shall designate a 
     senior official of the Department of Defense to be 
     responsible for managing the program for the Department and a 
     senior official of each military department to be responsible 
     for managing the program for such department.
       (c) Energy Efficiency Goals.--The goal of the program shall 
     be to achieve reductions in energy consumption by Department 
     facilities as follows:
       (1) In the case of industrial and laboratory facilities, 
     reductions in the average energy consumption per square foot 
     of such facilities, per unit of production or other 
     applicable unit, relative to energy consumption in 1990--
       (A) by 20 percent by 2005; and
       (B) by 25 percent by 2010.
       (2) In the case of other facilities, reductions in average 
     energy consumption per gross square foot of such facilities, 
     relative to energy consumption per gross square foot in 
     1985--
       (A) by 30 percent by 2005; and
       (B) by 35 percent by 2010.
       (d) Strategies for Improving Energy Efficiency.--In order 
     to achieve the goals set forth in subsection (c), the 
     Secretary shall, to the maximum extent practicable--
       (1) purchase energy-efficient products, as so designated by 
     the Environmental Protection Agency and the Department of 
     Energy, and other energy-efficient products;
       (2) utilize energy savings performance contracts, utility 
     energy-efficiency service contracts, and other contracts 
     designed to achieve energy conservation;
       (3) use life-cycle cost analysis, including assessment of 
     life-cycle energy costs, in making decisions about 
     investments in products, services, construction, and other 
     projects;
       (4) conduct energy efficiency audits for approximately 10 
     percent of all Department of Defense facilities each year;
       (5) explore opportunities for energy efficiency in 
     industrial facilities for steam systems, boiler operation, 
     air compressor systems, industrial processes, and fuel 
     switching; and
       (6) retire inefficient equipment on an accelerated basis 
     where replacement results in lower life-cycle costs.
       (e) Reports.-- Not later than January 1, 2002, and annually 
     thereafter through 2010, the Secretary shall submit to the 
     congressional defense committees a report on progress made 
     toward achieving the goals set forth in subsection (c). Each 
     report shall include, at a minimum--
       (1) the percentage reduction in energy consumption 
     accomplished as of the date of such report by the Department, 
     and by each of the military departments, in facilities 
     covered by the goals set forth in subsection (c)(1);
       (2) the percentage reduction in energy consumption 
     accomplished as of the date of such report by the Department, 
     and by each of the military departments, in facilities 
     covered by the goals set forth in subsection (c)(2); and
       (3) the steps taken by the Department, and by each of the 
     military departments, to implement the energy efficiency 
     strategies required by subsection (d) in the preceding 
     calendar year.

     SEC. 314. EXTENSION OF PILOT PROGRAM FOR SALE OF AIR 
                   POLLUTION EMISSION REDUCTION INCENTIVES.

       Section 351(a)(2) of the National Defense Authorization Act 
     for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 2701 note) 
     is amended by striking ``September 30, 2001'' and inserting 
     ``September 30, 2003''.

     SEC. 315. REIMBURSEMENT OF ENVIRONMENTAL PROTECTION AGENCY 
                   FOR CERTAIN RESPONSE COSTS IN CONNECTION WITH 
                   HOOPER SANDS SITE, SOUTH BERWICK, MAINE.

       (a) Authority To Reimburse.--Using amounts specified in 
     subsection (c), the Secretary of the Navy may pay $1,005,478 
     to the Hooper Sands Special Account within the Hazardous 
     Substance Superfund established by section 9507 of the 
     Internal Revenue Code of 1986 (26 U.S.C. 9507) to reimburse 
     the Environmental Protection Agency for the response costs 
     incurred by the Environmental Protection Agency for actions 
     taken between May 12, 1992, and July 31, 2000, pursuant to 
     the Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980 (42 U.S.C. 9601 et seq.) at the Hooper 
     Sands site in South Berwick, Maine, in accordance with the 
     Interagency Agreement entered into by the Department of the 
     Navy and the Environmental Protection Agency in January 2001.
       (b) Treatment of Reimbursement.--Payment of the amount 
     authorized by subsection (a) shall be in full satisfaction of 
     amounts due from the Department of the Navy to the 
     Environmental Protection Agency for the response costs 
     described in that subsection.
       (c) Source of Funds.--Payment under subsection (a) shall be 
     made using amounts authorized to be appropriated by section 
     301(15) to the Environmental Restoration Account, Navy, 
     established by section 2703(a)(3) of title 10, United States 
     Code.

     SEC. 316. CONFORMITY OF SURETY AUTHORITY UNDER ENVIRONMENTAL 
                   RESTORATION PROGRAM WITH SURETY AUTHORITY UNDER 
                   SUPERFUND.

       Section 2701(j)(1) of title 10, United States Code, is 
     amended by striking ``or after December 31, 1999''.

     SEC. 317. PROCUREMENT OF ALTERNATIVE FUELED AND HYBRID 
                   ELECTRIC LIGHT DUTY TRUCKS.

       (a) Defense Fleets Not Covered by Requirement in Energy 
     Policy Act of 1992.--(1) The Secretary of Defense shall 
     coordinate with the Administrator of General Services to 
     ensure that only hybrid electric vehicles are procured by the 
     Administrator for the Department of Defense fleet of light 
     duty trucks that is not in a fleet of vehicles to which 
     section 303 of the Energy Policy Act of 1992 (42 U.S.C. 
     13212) applies.
       (2) The Secretary, in consultation with the Administrator, 
     may waive the policy regarding the procurement of hybrid 
     electric vehicles in paragraph (1) to the extent that the 
     Secretary determines necessary--
       (A) in the case of trucks that are exempt from the 
     requirements of section 303 of the Energy Policy Act of 1992 
     (42 U.S.C. 13212) for national security reasons under 
     subsection (b)(3)(E) of such section, to meet specific 
     requirements of the Department of Defense for capabilities of 
     light duty trucks;
       (B) to procure vehicles consistent with the standards 
     applicable to the procurement of fleet vehicles for the 
     Federal Government; or
       (C) to adjust to limitations on the commercial availability 
     of light duty trucks that are hybrid electric vehicles.
       (3) This subsection applies with respect to procurements of 
     light duty trucks in fiscal year 2005 and subsequent fiscal 
     years.
       (b) Requirement To Exceed Requirement in Energy Policy Act 
     of 1992.--(1) The Secretary of Defense shall coordinate with 
     the Administrator of General Services to ensure

[[Page 20047]]

     that, of the light duty trucks procured in fiscal years after 
     fiscal year 2004 for the fleets of light duty vehicles of the 
     Department of Defense to which section 303 of the Energy 
     Policy Act of 1992 (42 U.S.C. 13212) applies--
       (A) five percent of the total number of such trucks that 
     are procured in each of fiscal years 2005 and 2006 are 
     alternative fueled vehicles or hybrid electric vehicles; and
       (B) ten percent of the total number of such trucks that are 
     procured in each fiscal year after fiscal year 2006 are 
     alternative fueled vehicles or hybrid electric vehicles.
       (2) Light duty trucks acquired for the Department of 
     Defense that are counted to comply with section 303 of the 
     Energy Policy Act of 1992 (42 U.S.C. 13212) for a fiscal year 
     shall be counted to determine the total number of light duty 
     trucks procured for the Department of Defense for that fiscal 
     year for the purposes of paragraph (1), but shall not be 
     counted to satisfy the requirement in that paragraph.
       (c) Report on Plans for Implementation.--At the same time 
     that the President submits the budget for fiscal year 2003 to 
     Congress under section 1105(a) of title 31, United States 
     Code, the Secretary shall submit to Congress a report 
     summarizing the plans for carrying out subsections (a) and 
     (b).
       (d) Definitions.--In this section:
       (1) The term ``hybrid electric vehicle'' means a motor 
     vehicle that draws propulsion energy from onboard sources of 
     stored energy that are both--
       (A) an internal combustion or heat engine using combustible 
     fuel; and
       (B) a rechargeable energy storage system.
       (2) The term ``alternative fueled vehicle'' has the meaning 
     given that term in section 301 of the Energy Policy Act of 
     1992 (43 U.S.C. 13211).

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

     SEC. 321. REBATE AGREEMENTS WITH PRODUCERS OF FOODS PROVIDED 
                   UNDER THE SPECIAL SUPPLEMENTAL FOOD PROGRAM.

       Section 1060a(b) of title 10, United States Code, is 
     amended--
       (1) by striking ``(b) Funding Mechanism.--'' and inserting 
     ``(b) Funding.--(1); and
       (2) by adding at the end the following new paragraph:
       ``(2)(A) In the administration of the program under this 
     section, the Secretary of Defense may enter into a contract 
     with a producer of a particular brand of food that provides 
     for--
       ``(i) the Secretary of Defense to procure that particular 
     brand of food, exclusive of other brands of the same or 
     similar food, for the purpose of providing the food in 
     commissary stores of the Department of Defense as a 
     supplemental food under the program; and
       ``(ii) the producer to rebate to the Department of Defense 
     amounts equal to agreed portions of the amounts paid by the 
     department for the procurement of that particular brand of 
     food for the program.
       ``(B) The Secretary shall use competitive procedures under 
     chapter 137 of this title for entering into contracts under 
     this paragraph.
       ``(C) The period covered by a contract entered into under 
     this paragraph may not exceed one year. No such contract may 
     be extended by a modification of the contract, by exercise of 
     an option, or by any other means. Nothing in this 
     subparagraph prohibits a contractor under a contract entered 
     into under this paragraph for any year from submitting an 
     offer for, and being awarded, a contract that is to be 
     entered into under this paragraph for a successive year.
       ``(D) Amounts rebated under a contract entered into under 
     subparagraph (A) shall be credited to the appropriation 
     available for carrying out the program under this section in 
     the fiscal year in which rebated, shall be merged with the 
     other sums in that appropriation, and shall be available for 
     the program for the same period as the other sums in the 
     appropriation.''.

     SEC. 322. REIMBURSEMENT FOR USE OF COMMISSARY FACILITIES BY 
                   MILITARY DEPARTMENTS FOR PURPOSES OTHER THAN 
                   COMMISSARY SALES.

       (a) Requirement.--Chapter 147 of title 10, United States 
     Code, is amended by inserting after section 2482a the 
     following new section:

     ``Sec. 2483. Commissary stores: reimbursement for use of 
       commissary facilities by military departments

       ``(a) Payment Required.--The Secretary of a military 
     department shall pay the Defense Commissary Agency the amount 
     determined under subsection (b) for any use of a commissary 
     facility by the military department for a purpose other than 
     commissary sales or operations in support of commissary 
     sales.
       ``(b) Amount.--The amount payable under subsection (a) for 
     use of a commissary facility by a military department shall 
     be equal to the share of depreciation of the facility that is 
     attributable to that use, as determined under regulations 
     prescribed by the Secretary of Defense.
       ``(c) Covered Facilities.--This section applies with 
     respect to a commissary facility that is acquired, 
     constructed, converted, expanded, installed, or otherwise 
     improved (in whole or in part) with the proceeds of an 
     adjustment or surcharge applied under section 2486(c) of this 
     title.
       ``(d) Crediting of Payments.--The Director of the Defense 
     Commissary Agency shall credit amounts paid under this 
     section for use of a facility to an appropriate account to 
     which proceeds of an adjustment or surcharge referred to in 
     subsection (c) are credited.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 2482a the following new item:

``2483. Commissary stores: reimbursement for use of commissary 
              facilities by military departments.''.

     SEC. 323. PUBLIC RELEASES OF COMMERCIALLY VALUABLE 
                   INFORMATION OF COMMISSARY STORES.

       (a) Limitations and Authority.--Section 2487 of title 10, 
     United States Code, is amended to read as follows:

     ``Sec. 2487. Commissary stores: release of certain 
       commercially valuable information to the public

       ``(a) Authority To Limit Release.--(1) The Secretary of 
     Defense may limit the release to the public of any 
     information described in paragraph (2) if the Secretary 
     determines that it is in the best interest of the Department 
     of Defense to limit the release of such information. If the 
     Secretary determines to limit the release of any such 
     information, the Secretary may provide for limited release of 
     such information in accordance with subsection (b).
       ``(2) Paragraph (1) applies to the following:
       ``(A) Information contained in the computerized business 
     systems of commissary stores or the Defense Commissary Agency 
     that is collected through or in connection with the use of 
     electronic scanners in commissary stores, including the 
     following information:
       ``(i) Data relating to sales of goods or services.
       ``(ii) Demographic information on customers.
       ``(iii) Any other information pertaining to commissary 
     transactions and operations.
       ``(B) Business programs, systems, and applications 
     (including software) relating to commissary operations that 
     were developed with funding derived from commissary 
     surcharges.
       ``(b) Release Authority.--(1) The Secretary of Defense may, 
     using competitive procedures, enter into a contract to sell 
     information described in subsection (a)(2).
       ``(2) The Secretary of Defense may release, without charge, 
     information on an item sold in commissary stores to--
       ``(A) the manufacturer or producer of that item; or
       ``(B) the manufacturer or producer's agent when necessary 
     to accommodate electronic ordering of the item by commissary 
     stores.
       ``(3) The Secretary of Defense may, by contract entered 
     into with a business, grant to the business a license to use 
     business programs referred to in subsection (a)(2)(B), 
     including software used in or comprising any such program. 
     The fee charged for the license shall be based on the costs 
     of similar programs developed and marketed by businesses in 
     the private sector, determined by means of surveys.
       ``(4) Each contract entered into under this subsection 
     shall specify the amount to be paid for information released 
     or a license granted under the contract, as the case may be.
       ``(c) Form of Release.--Information described in subsection 
     (a)(2) may not be released, under subsection (b) or 
     otherwise, in a form that identifies any customer or that 
     provides information making it possible to identify any 
     customer.
       ``(d) Receipts.--Amounts received by the Secretary under 
     this section shall be credited to funds derived from 
     commissary surcharges, shall be merged with those funds, and 
     shall be available for the same purposes as the funds with 
     which merged.
       ``(e) Definitions.--In this section, the term `commissary 
     surcharge' means any adjustment or surcharge applied under 
     section 2486(c) of this title.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 147 of such title is amended to read as 
     follows:

``2487. Commissary stores: release of certain commercially valuable 
              information to the public.''.

                       Subtitle D--Other Matters

     SEC. 331. CODIFICATION OF AUTHORITY FOR DEPARTMENT OF DEFENSE 
                   SUPPORT FOR COUNTERDRUG ACTIVITIES OF OTHER 
                   GOVERNMENTAL AGENCIES.

       (a) Authority.--(1) Chapter 18 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 383. Additional support for counterdrug activities of 
       other agencies

       ``(a) Support to Other Agencies.--The Secretary of Defense 
     may provide support for the counterdrug activities of any 
     other department or agency of the Federal Government or of 
     any State, local, or foreign law enforcement agency for any 
     of the purposes set forth in subsection (b) if such support 
     is requested--
       ``(1) by the official who has responsibility for the 
     counterdrug activities of the department or agency of the 
     Federal Government, in the case of support for the department 
     or agency;

[[Page 20048]]

       ``(2) by the appropriate official of a State or local 
     government, in the case of support for the State or local law 
     enforcement agency; or
       ``(3) by an appropriate official of a department or agency 
     of the Federal Government that has counterdrug 
     responsibilities, in the case of support for a foreign law 
     enforcement agency.
       ``(b) Types of Support.--The purposes for which the 
     Secretary may provide support under subsection (a) are the 
     following:
       ``(1) The maintenance and repair of equipment that has been 
     made available to any department or agency of the Federal 
     Government or to any State or local government by the 
     Department of Defense for the purposes of--
       ``(A) preserving the potential future utility of such 
     equipment for the Department of Defense; and
       ``(B) upgrading such equipment to ensure compatibility of 
     that equipment with other equipment used by the Department of 
     Defense.
       ``(2) The maintenance, repair, or upgrading of equipment 
     (including computer software), other than equipment referred 
     to in subparagraph (A) for the purpose of--
       ``(A) ensuring that the equipment being maintained or 
     repaired is compatible with equipment used by the Department 
     of Defense; and
       ``(B) upgrading such equipment to ensure the compatibility 
     of that equipment with equipment used by the Department of 
     Defense.
       ``(3) The transportation of personnel of the United States 
     and foreign countries (including per diem expenses associated 
     with such transportation), and the transportation of supplies 
     and equipment, for the purpose of facilitating counterdrug 
     activities within or outside the United States.
       ``(4) The establishment (including an unspecified minor 
     military construction project) and operation of bases of 
     operations or training facilities for the purpose of 
     facilitating counterdrug activities of the Department of 
     Defense or any Federal, State, or local law enforcement 
     agency within or outside the United States or counterdrug 
     activities of a foreign law enforcement agency outside the 
     United States.
       ``(5) Counterdrug related training of law enforcement 
     personnel of the Federal Government, of State and local 
     governments, and of foreign countries, including associated 
     support expenses for trainees and the provision of materials 
     necessary to carry out such training.
       ``(6) The detection, monitoring, and communication of the 
     movement of--
       ``(A) air and sea traffic within 25 miles of and outside 
     the geographic boundaries of the United States; and
       ``(B) surface traffic outside the geographic boundary of 
     the United States and within the United States not to exceed 
     25 miles of the boundary if the initial detection occurred 
     outside of the boundary.
       ``(7) Construction of roads and fences and installation of 
     lighting to block drug smuggling corridors across 
     international boundaries of the United States.
       ``(8) Establishment of command, control, communications, 
     and computer networks for improved integration of law 
     enforcement, active military, and National Guard activities.
       ``(9) The provision of linguist and intelligence analysis 
     services.
       ``(10) Aerial and ground reconnaissance.
       ``(c) Limitation on Counterdrug Requirements.--The 
     Secretary of Defense may not limit the requirements for which 
     support may be provided under subsection (a) only to 
     critical, emergent, or unanticipated requirements.
       ``(d) Contract Authority.--In carrying out subsection (a), 
     the Secretary of Defense may acquire services or equipment by 
     contract for support provided under that subsection if the 
     Department of Defense would normally acquire such services or 
     equipment by contract for the purpose of conducting a similar 
     activity for the Department of Defense.
       ``(e) Limited Waiver of Prohibition--Notwithstanding 
     section 376 of this title, the Secretary of Defense may 
     provide support pursuant to subsection (a) in any case in 
     which the Secretary determines that the provision of such 
     support would adversely affect the military preparedness of 
     the United States in the short term if the Secretary 
     determines that the importance of providing such support 
     outweighs such short-term adverse effect.
       ``(f) Conduct of Training or Operation to Aid Civilian 
     Agencies.--In providing support pursuant to subsection (a), 
     the Secretary of Defense may plan and execute otherwise valid 
     military training or operations (including training exercises 
     undertaken pursuant to section 1206(a) of the National 
     Defense Authorization Act for Fiscal Years 1990 and 1991 
     (Public Law 101-189; 103 Stat. 1564; 10 U.S.C. 124 note)) for 
     the purpose of aiding civilian law enforcement agencies.
       ``(g) Relationship to Other Laws.--(1) The authority 
     provided in this section for the support of counterdrug 
     activities by the Department of Defense is in addition to, 
     and except as provided in paragraph (2), not subject to the 
     requirements of any other provision of this chapter.
       ``(2) Support under this section shall be subject to the 
     provisions of section 375 and, except as provided in 
     subsection (e), section 376 of this title.
       ``(h) Congressional Notification of Facilities Projects.--
     (1) When a decision is made to carry out a military 
     construction project described in paragraph (2), the 
     Secretary of Defense shall submit to the committees of 
     Congress named in paragraph (3) a written notice of the 
     decision, including the justification for the project and the 
     estimated cost of the project. The project may be commenced 
     only after the end of the 21-day period beginning on the date 
     on which the written notice is received by the committees.
       ``(2) Paragraph (1) applies to an unspecified minor 
     military construction project that--
       ``(A) is intended for the modification or repair of a 
     Department of Defense facility for the purpose set forth in 
     subsection (b)(4); and
       ``(B) has an estimated cost of more than $500,000.
       ``(3) The committees referred to in paragraph (1) are as 
     follows:
       ``(A) The Committee on Armed Services and the Committee on 
     Appropriations of the Senate.
       ``(B) The Committee on Armed Services and the Committee on 
     Appropriations of the House of Representatives.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``383. Additional support for counterdrug activities of other 
              agencies.''.

       (b) Repeal of Superseded Provision.--Section 1004 of the 
     National Defense Authorization Act for Fiscal Year 1991 
     (Public Law 101-510; 10 U.S.C. 374 note) is repealed.
       (c) Savings Provision.--The repeal of section 1004 of the 
     National Defense Authorization Act for Fiscal Year 1991 by 
     subsection (b) shall not affect any support provided under 
     that section that is ongoing as of the date of the enactment 
     of this Act. The support may be continued in accordance with 
     section 383 of title 10, United States Code, as added by 
     subsection (a).

     SEC. 332. EXCLUSION OF CERTAIN EXPENDITURES FROM LIMITATION 
                   ON PRIVATE SECTOR PERFORMANCE OF DEPOT-LEVEL 
                   MAINTENANCE.

       (a) Amounts Excluded.--Amounts expended out of funds 
     described in subsection (b) for the performance of a depot-
     level maintenance and repair workload by non-Federal 
     Government personnel at a Center of Industrial and Technical 
     Excellence designated pursuant to section 2474(a) of title 
     10, United States Code, shall not be counted for purposes of 
     section 2466(a) of such title if the personnel are provided 
     by private industry pursuant to a public-private partnership 
     undertaken by the Center under section 2474(b) of such title.
       (b) Funds for Fiscal Years 2002 through 2004.--The funds 
     referred to in subsection (a) are funds available to the 
     military departments for depot-level maintenance and repair 
     workloads for fiscal years 2002, 2003, and 2004.

     SEC. 333. REPAIR, RESTORATION, AND PRESERVATION OF LAFAYETTE 
                   ESCADRILLE MEMORIAL, MARNES LA-COQUETTE, 
                   FRANCE.

       (a) Authority To Make Grant.--The Secretary of the Air 
     Force may, using amounts specified in subsection (d), make a 
     grant to the Lafayette Escadrille Memorial Foundation, Inc., 
     for purposes of the repair, restoration, and preservation of 
     the structure, plaza, and surrounding grounds of the 
     Lafayette Escadrille Memorial in Marnes la-Coquette, France.
       (b) Grant Amount.--The amount of the grant under subsection 
     (a) may not exceed $2,000,000.
       (c) Use of Grant.--Amounts from the grant under this 
     section shall be used solely for the purposes described in 
     subsection (a). None of such amounts may be used for 
     remuneration of any entity or individual associated with 
     fundraising for any project for such purposes.
       (d) Funds for Grant.--Funds for the grant under this 
     section shall be derived from amounts authorized to be 
     appropriated by section 301(4) for operation and maintenance 
     for the Air Force for fiscal year 2002.

     SEC. 334. IMPLEMENTATION OF THE NAVY-MARINE CORPS INTRANET 
                   CONTRACT.

       (a) Additional Phase-In Authority.--Subsection (b) of 
     section 814 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398; 114 Stat. 1654A-215) is amended by adding at the 
     end the following new paragraphs:
       ``(5)(A) The Secretary of the Navy may, before the 
     submittal of the joint certification referred to in paragraph 
     (3)(D), contract for one or more additional increments of 
     work stations under the Navy-Marine Corps Intranet contract, 
     with the number of work stations to be ordered in each 
     additional increment to be determined by the Under Secretary 
     of Defense for Acquisition, Technology, and Logistics.
       ``(B) Upon determining the number of work stations in an 
     additional increment for purposes of subparagraph (A), the 
     Under Secretary of Defense for Acquisition, Technology, and 
     Logistics shall submit to the congressional defense 
     committees a report, current as of the date of such 
     determination, on the following:

[[Page 20049]]

       ``(i) The number of work stations operating on the Navy-
     Marine Corps Intranet.
       ``(ii) The status of testing and implementation of the 
     Navy-Marine Corps Intranet program.
       ``(iii) The number of work stations to be contracted for in 
     the additional increment.
       ``(C) The Under Secretary of Defense for Acquisition, 
     Technology, and Logistics may not make a determination to 
     order any number of work stations to be contracted for under 
     subparagraph (A) in excess of the number permitted under 
     paragraph (2) until--
       ``(i) the completion of a three-phase contractor test and 
     user evaluation, observed by the Department of Defense, of 
     the work stations operating on the Navy-Marine Corps Intranet 
     at the first three sites under the Navy-Marine Corps Intranet 
     program; and
       ``(ii) the Chief Information Officer of the Navy has 
     certified to the Secretary of the Navy and the Chief 
     Information Officer of the Department of Defense that the 
     results of the test and evaluation referred to in clause (i) 
     are acceptable.
       ``(D) The Under Secretary of Defense for Acquisition, 
     Technology, and Logistics may not make a determination to 
     order any number of work stations to be contracted for under 
     subparagraph (A) in excess of the number provided for under 
     subparagraph (C) until--
       ``(i) there has been a full transition of not less than 
     20,000 work stations to the Navy-Marine Corps Intranet;
       ``(ii) the work stations referred to in clause (i) have met 
     service-level agreements specified in the Navy-Marine Corps 
     Intranet contract for not less than 30 days, as determined by 
     contractor performance measurement under oversight by the 
     Department of the Navy; and
       ``(iii) the Chief Information Officer of the Department of 
     Defense and the Assistant Secretary of Defense for Command, 
     Control, Communications, and Intelligence jointly certify to 
     the congressional defense committees that the results of 
     testing of the work stations referred to in clause (i) are 
     acceptable.''.
       (b) Definitions.--Subsection (f) of that section is amended 
     to read as follows:
       ``(f) Definitions.--In this section:
       ``(1) The term `Navy-Marine Corps Intranet contract' means 
     a contract providing for a long-term arrangement of the 
     Department of the Navy with the commercial sector that 
     imposes on the contractor a responsibility for, and transfers 
     to the contractor the risk of, providing and managing the 
     significant majority of desktop, server, infrastructure, and 
     communication assets and services of the Department of the 
     Navy.
       ``(2) The term `provide', in the case of a work station 
     under the Navy-Marine Corps Intranet contract, means transfer 
     of the legacy information infrastructure and systems of the 
     user of the work station to Navy-Marine Corps Intranet 
     infrastructure and systems of the work station under the 
     Navy-Marine Corps Intranet contract and performance thereof 
     consistent with the service-level agreements specified in the 
     Navy-Marine Corps Intranet contract.''.

     SEC. 335. REVISION OF AUTHORITY TO WAIVE LIMITATION ON 
                   PERFORMANCE OF DEPOT-LEVEL MAINTENANCE.

       (a) In General.--Section 2466(c) of title 10, United States 
     Code, is amended to read as follows:
       ``(c) Waiver of Limitation.--(1) The Secretary of Defense 
     may waive the limitation in subsection (a) for a fiscal year 
     if--
       ``(A) the Secretary of Defense determines that the waiver 
     is necessary for reasons of national security; and
       ``(B) the Secretary of Defense submits to Congress a 
     notification of the waiver together with the reasons for the 
     waiver; and
       ``(2) The Secretary of Defense may not delegate the 
     authority to exercise the waiver authority under paragraph 
     (1).''.
       (b) Report.--The Secretary of Defense shall provide a 
     report to Congress not later than January 31, 2002 that 
     outlines the Secretary's strategy regarding the operations of 
     the public depots.

     SEC. 336. REAUTHORIZATION OF WARRANTY CLAIMS RECOVERY PILOT 
                   PROGRAM.

       (a) Extension of Authority.--Subsection (f) of section 391 
     of the National Defense Authorization Act for Fiscal Year 
     1998 (Public Law 105-85; 111 Stat. 1716; 10 U.S.C. 2304 note) 
     is amended by striking ``September 30, 1999'' and inserting 
     ``September 30, 2003''.
       (b) Reporting Requirements.--Subsection (g) of such section 
     is amended--
       (1) in paragraph (1), by striking ``January 1, 2000'' and 
     inserting ``January 1, 2003''; and
       (2) in paragraph (2), by striking ``March 1, 2000'' and 
     inserting ``March 1, 2003''.

     SEC. 337. FUNDING FOR LAND FORCES READINESS-INFORMATION 
                   OPERATIONS SUSTAINMENT.

       Of the amount authorized to be appropriated by section 
     301(6), $5,000,000 may be available for land forces 
     readiness-information operations sustainment.

     SEC. 338. DEFENSE LANGUAGE INSTITUTE FOREIGN LANGUAGE CENTER 
                   EXPANDED ARABIC LANGUAGE PROGRAM.

       Of the amount authorized to be appropriated by section 
     301(1) for operation and maintenance for the Army, $650,000 
     may be available for the Defense Language Institute Foreign 
     Language Center (DLIFLC) for an expanded Arabic language 
     program.

     SEC. 339. CONSEQUENCE MANAGEMENT TRAINING.

       Of the amount authorized to be appropriated by section 
     301(5), $5,000,000 may be available for the training of 
     members of the Armed Forces (including reserve component 
     personnel) in the management of the consequences of an 
     incident involving the use or threat of use of a weapon of 
     mass destruction.

     SEC. 340. CRITICAL INFRASTRUCTURE PROTECTION INITIATIVE OF 
                   THE NAVY.

       Of the amount authorized to be appropriated by section 
     301(2), $6,000,000 shall be available for the critical 
     infrastructure protection initiative of the Navy.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

     SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

       The Armed Forces are authorized strengths for active duty 
     personnel as of September 30, 2002, as follows:
       (1) The Army, 480,000.
       (2) The Navy, 376,000.
       (3) The Marine Corps, 172,600.
       (4) The Air Force, 358,800.

     SEC. 402. AUTHORIZED DAILY AVERAGE ACTIVE DUTY STRENGTH FOR 
                   NAVY ENLISTED MEMBERS IN PAY GRADE E-8.

       (a) In General.--Section 517(a) of title 10, United States 
     Code, is amended by inserting ``or the Navy'' after ``in the 
     case of the Army''.
       (b) Applicability.--The amendment made by subsection (a) 
     shall take effect on October 1, 2001, and shall apply with 
     respect to fiscal years beginning on or after that date.

                       Subtitle B--Reserve Forces

     SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

       (a) In General.--The Armed Forces are authorized strengths 
     for Selected Reserve personnel of the reserve components as 
     of September 30, 2002, as follows:
       (1) The Army National Guard of the United States, 350,000.
       (2) The Army Reserve, 205,000.
       (3) The Naval Reserve, 87,000.
       (4) The Marine Corps Reserve, 39,558.
       (5) The Air National Guard of the United States, 108,400.
       (6) The Air Force Reserve, 74,700.
       (7) The Coast Guard Reserve, 8,000.
       (b) Adjustments.--The end strengths prescribed by 
     subsection (a) for the Selected Reserve of any reserve 
     component shall be proportionately reduced by--
       (1) the total authorized strength of units organized to 
     serve as units of the Selected Reserve of such component 
     which are on active duty (other than for training) at the end 
     of the fiscal year; and
       (2) the total number of individual members not in units 
     organized to serve as units of the Selected Reserve of such 
     component who are on active duty (other than for training or 
     for unsatisfactory participation in training) without their 
     consent at the end of the fiscal year.

     Whenever such units or such individual members are released 
     from active duty during any fiscal year, the end strength 
     prescribed for such fiscal year for the Selected Reserve of 
     such reserve component shall be proportionately increased by 
     the total authorized strengths of such units and by the total 
     number of such individual members.

     SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN 
                   SUPPORT OF THE RESERVES.

       Within the end strengths prescribed in section 411(a), the 
     reserve components of the Armed Forces are authorized, as of 
     September 30, 2002, the following number of Reserves to be 
     serving on full-time active duty or full-time duty, in the 
     case of members of the National Guard, for the purpose of 
     organizing, administering, recruiting, instructing, or 
     training the reserve components:
       (1) The Army National Guard of the United States, 23,698.
       (2) The Army Reserve, 13,406.
       (3) The Naval Reserve, 14,811.
       (4) The Marine Corps Reserve, 2,261.
       (5) The Air National Guard of the United States, 11,591.
       (6) The Air Force Reserve, 1,437.

     SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS (DUAL 
                   STATUS).

       The minimum number of military technicians (dual status) as 
     of the last day of fiscal year 2002 for the reserve 
     components of the Army and the Air Force (notwithstanding 
     section 129 of title 10, United States Code) shall be the 
     following:
       (1) For the Army Reserve, 6,249.
       (2) For the Army National Guard of the United States, 
     23,615.
       (3) For the Air Force Reserve, 9,818.
       (4) For the Air National Guard of the United States, 
     22,422.

     SEC. 414. FISCAL YEAR 2002 LIMITATION ON NON-DUAL STATUS 
                   TECHNICIANS.

       (a) Limitation.--The number of non-dual status technicians 
     employed by the reserve components of the Army and the Air 
     Force as of September 30, 2002, may not exceed the following:
       (1) For the Army Reserve, 1,095.
       (2) For the Army National Guard of the United States, 
     1,600.

[[Page 20050]]

       (3) For the Air Force Reserve, 0.
       (4) For the Air National Guard of the United States, 350.
       (b) Non-Dual Status Technicians Defined.--In this section, 
     the term ``non-dual status technician'' has the meaning given 
     the term in section 10217(a) of title 10, United States Code.

     SEC. 415. LIMITATIONS ON NUMBERS OF RESERVE PERSONNEL SERVING 
                   ON ACTIVE DUTY OR FULL-TIME NATIONAL GUARD DUTY 
                   IN CERTAIN GRADES FOR ADMINISTRATION OF RESERVE 
                   COMPONENTS.

       (a) Officers.--The text of section 12011 of title 10, 
     United States Code, is amended to read as follows:
       ``(a) Limitations.--(1) Of the total number of members of a 
     reserve component who are serving on full-time reserve 
     component duty at the end of any fiscal year, the number of 
     those members who may be serving in each of the grades of 
     major, lieutenant colonel, and colonel may not, as of the end 
     of that fiscal year, exceed the number determined in 
     accordance with the following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers of that reserve component who may be
                                                                        serving in the grade of:
   ``Total number of members of a reserve component    ---------------------------------------------------------
     serving on full-time reserve component duty:                              Lieutenant
                                                              Major             Colonel             Colonel
----------------------------------------------------------------------------------------------------------------
Army Reserve:
10,000................................................              1,390                740             230
11,000................................................              1,529                803             242
12,000................................................              1,668                864             252
13,000................................................              1,804                924             262
14,000................................................              1,940                984             272
15,000................................................              2,075              1,044             282
16,000................................................              2,210              1,104             291
17,000................................................              2,345              1,164             300
18,000................................................              2,479              1,223             309
19,000................................................              2,613              1,282             318
20,000................................................              2,747              1,341             327
21,000................................................              2,877              1,400             336

Army National Guard:
20,000................................................              1,500                850             325
22,000................................................              1,650                930             350
24,000................................................              1,790              1,010             370
26,000................................................              1,930              1,085             385
28,000................................................              2,070              1,160             400
30,000................................................              2,200              1,235             405
32,000................................................              2,330              1,305             408
34,000................................................              2,450              1,375             411
36,000................................................              2,570              1,445             411
38,000................................................              2,670              1,515             411
40,000................................................              2,770              1,580             411
42,000................................................              2,837              1,644             411

Marine Corps Reserve:
1,100.................................................                106                 56              20
1,200.................................................                110                 60              21
1,300.................................................                114                 63              22
1,400.................................................                118                 66              23
1,500.................................................                121                 69              24
1,600.................................................                124                 72              25
1,700.................................................                127                 75              26
1,800.................................................                130                 78              27
1,900.................................................                133                 81              28
2,000.................................................                136                 84              29
2,100.................................................                139                 87              30
2,200.................................................                141                 90              31
2,300.................................................                143                 92              32
2,400.................................................                145                 94              33
2,500.................................................                147                 96              34
2,600.................................................                149                 98              35

Air Force Reserve:
500...................................................                 83                 85              50
1,000.................................................                155                165              95
1,500.................................................                220                240             135
2,000.................................................                285                310             170
2,500.................................................                350                369             203
3,000.................................................                413                420             220
3,500.................................................                473                464             230
4,000.................................................                530                500             240
4,500.................................................                585                529             247
5,000.................................................                638                550             254
5,500.................................................                688                565             261
6,000.................................................                735                575             268
7,000.................................................                770                595             280
8,000.................................................                805                615             290
10,000................................................                835                635             300

Air National Guard:
5,000.................................................                333                335             251
6,000.................................................                403                394             260
7,000.................................................                472                453             269
8,000.................................................                539                512             278
9,000.................................................                606                571             287
10,000................................................                673                630             296
11,000................................................                740                688             305
12,000................................................                807                742             314
13,000................................................                873                795             323
14,000................................................                939                848             332
15,000................................................              1,005                898             341
16,000................................................              1,067                948             350
17,000................................................              1,126                998             359
18,000................................................              1,185              1,048             368
19,000................................................              1,235              1,098             377
20,000................................................              1,283              1,148              380.
----------------------------------------------------------------------------------------------------------------


[[Page 20051]]

       ``(2) Of the total number of members of the Naval Reserve 
     who are serving on full-time reserve component duty at the 
     end of any fiscal year, the number of those members who may 
     be serving in each of the grades of lieutenant commander, 
     commander, and captain may not, as of the end of that fiscal 
     year, exceed the number determined in accordance with the 
     following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers who may be serving in the grade of:
 ``Total number of members of Naval Reserve serving on ---------------------------------------------------------
           full-time reserve component duty:                Lieutenant
                                                            commander          Commander            Captain
----------------------------------------------------------------------------------------------------------------
10,000................................................                807                447             141
11,000................................................                867                467             153
12,000................................................                924                485             163
13,000................................................                980                503             173
14,000................................................              1,035                521             183
15,000................................................              1,088                538             193
16,000................................................              1,142                555             203
17,000................................................              1,195                565             213
18,000................................................              1,246                575             223
19,000................................................              1,291                585             233
20,000................................................              1,334                595             242
21,000................................................              1,364                603             250
22,000................................................              1,384                610             258
23,000................................................              1,400                615             265
24,000................................................              1,410                620              270.
----------------------------------------------------------------------------------------------------------------

       ``(b) Determinations by Interpolation.--If the total number 
     of members of a reserve component serving on full-time 
     reserve component duty is between any two consecutive numbers 
     in the first column of the appropriate table in paragraph (1) 
     or (2) of subsection (a), the corresponding authorized 
     strengths for each of the grades shown in that table for that 
     component are determined by mathematical interpolation 
     between the respective numbers of the two strengths. If the 
     total number of members of a reserve component serving on 
     full-time reserve component duty is more or less than the 
     highest or lowest number, respectively, set forth in the 
     first column of the appropriate table in paragraph (1) or (2) 
     of subsection (a), the Secretary concerned shall fix the 
     corresponding strengths for the grades shown in that table at 
     the same proportion as is reflected in the nearest limit 
     shown in the table.
       ``(c) Reallocations to Lower Grades.--Whenever the number 
     of officers serving in any grade for duty described in 
     subsection (a) is less than the number authorized for that 
     grade under this section, the difference between the two 
     numbers may be applied to increase the number authorized 
     under this section for any lower grade.
       ``(d) Secretarial Waiver.--Upon determining that it is in 
     the national interest to do so, the Secretary of Defense may 
     increase for a particular fiscal year the number of reserve 
     officers that may be on full-time reserve component duty for 
     a reserve component in a grade referred to in a table in 
     subsection (a) by a number that does not exceed the number 
     equal to 5 percent of the maximum number specified for the 
     grade in that table.
       ``(e) Full-Time Reserve Component Duty Defined.--In this 
     section, the term `full-time reserve component duty' means 
     the following duty:
       ``(1) Active duty described in sections 10211, 10302, 
     10303, 10304, 10305, 12310, or 12402 of this title.
       ``(2) Full-time National Guard duty (other than for 
     training) under section 502(f) of title 32.
       ``(3) Active duty described in section 708 of title 32.''.
       (b) Senior Enlisted Members.--The text of section 12012 of 
     title 10, United States Code, is amended to read as follows:
       ``(a) Limitations.--(1) Of the total number of members of a 
     reserve component who are serving on full-time reserve 
     component duty at the end of any fiscal year, the number of 
     those members in each of pay grades of 
     E-8 and E-9 who may be serving on active duty under section 
     10211 or 12310, or on full-time National Guard duty under the 
     authority of section 502(f) of title 32 (other than for 
     training) in connection with organizing, administering, 
     recruiting, instructing, or training the reserve components 
     or the National Guard may not, as of the end of that fiscal 
     year, exceed the number determined in accordance with the 
     following table:


------------------------------------------------------------------------
                                     Number of members of that reserve
  ``Total number of members of a    component who may be serving in the
reserve component serving on full-               grade of:
   time reserve component duty:   --------------------------------------
                                          E-8                 E-9
------------------------------------------------------------------------
Army Reserve:
10,000...........................              1,052             154
11,000...........................              1,126             168
12,000...........................              1,195             180
13,000...........................              1,261             191
14,000...........................              1,327             202
15,000...........................              1,391             213
16,000...........................              1,455             224
17,000...........................              1,519             235
18,000...........................              1,583             246
19,000...........................              1,647             257
20,000...........................              1,711             268
21,000...........................              1,775             278

Army National Guard:
20,000...........................              1,650             550
22,000...........................              1,775             615
24,000...........................              1,900             645
26,000...........................              1,945             675
28,000...........................              1,945             705
30,000...........................              1,945             725
32,000...........................              1,945             730
34,000...........................              1,945             735
36,000...........................              1,945             738
38,000...........................              1,945             741
40,000...........................              1,945             743
42,000...........................              1,945             743

Naval Reserve:
10,000...........................                340             143
11,000...........................                364             156
12,000...........................                386             169
13,000...........................                407             182
14,000...........................                423             195
15,000...........................                435             208
16,000...........................                447             221
17,000...........................                459             234
18,000...........................                471             247
19,000...........................                483             260
20,000...........................                495             273
21,000...........................                507             286
22,000...........................                519             299
23,000...........................                531             312
24,000...........................                540             325

Marine Corps Reserve:
1,100............................                 50              11
1,200............................                 55              12
1,300............................                 60              13
1,400............................                 65              14
1,500............................                 70              15
1,600............................                 75              16
1,700............................                 80              17
1,800............................                 85              18
1,900............................                 89              19
2,000............................                 93              20
2,100............................                 96              21
2,200............................                 99              22
2,300............................                101              23
2,400............................                103              24
2,500............................                105              25
2,600............................                107              26

Air Force Reserve:
500..............................                 75              40
1,000............................                145              75
1,500............................                208             105
2,000............................                270             130
2,500............................                325             150
3,000............................                375             170
3,500............................                420             190
4,000............................                460             210
4,500............................                495             230
5,000............................                530             250
5,500............................                565             270
6,000............................                600             290
7,000............................                670             330
8,000............................                740             370
10,000...........................                800             400

Air National Guard
5,000............................              1,020             405
6,000............................              1,070             435
7,000............................              1,120             465
8,000............................              1,170             490
9,000............................              1,220             510
10,000...........................              1,270             530
11,000...........................              1,320             550
12,000...........................              1,370             570
13,000...........................              1,420             589
14,000...........................              1,470             608
15,000...........................              1,520             626
16,000...........................              1,570             644
17,000...........................              1,620             661
18,000...........................              1,670             678
19,000...........................              1,720             695
20,000...........................              1,770              712.
------------------------------------------------------------------------

       ``(b) Determinations by Interpolation.--If the total number 
     of members of a reserve component serving on full-time 
     reserve component duty is between any two consecutive numbers 
     in the first column of the appropriate table in paragraph (1) 
     or (2) of subsection (a), the corresponding authorized 
     strengths for each of the grades shown in that table for that 
     component are determined by mathematical interpolation 
     between the respective numbers of the two strengths. If the 
     total number of members of a reserve component serving on 
     full-time reserve component duty is more or less than the 
     highest or lowest number, respectively, set forth in the 
     first column of the table in

[[Page 20052]]

     subsection (a), the Secretary concerned shall fix the 
     corresponding strengths for the grades shown in the table at 
     the same proportion as is reflected in the nearest limit 
     shown in the table.
       ``(c) Reallocations to Lower Grade.--Whenever the number of 
     officers serving in pay grade E-9 for duty described in 
     subsection (a) is less than the number authorized for that 
     grade under this section, the difference between the two 
     numbers may be applied to increase the number authorized 
     under this section for pay grade E-8.
       ``(d) Secretarial Waiver.--Upon determining that it is in 
     the national interest to do so, the Secretary of Defense may 
     increase for a particular fiscal year the number of reserve 
     enlisted members that may be on active duty or full-time 
     National Guard duty as described in subsection (a) for a 
     reserve component in a pay grade referred to in a table in 
     subsection (a) by a number that does not exceed the number 
     equal to 5 percent of the maximum number specified for that 
     grade and reserve component in the table.
       ``(e) Full-Time Reserve Component Duty Defined.--In this 
     section, the term `full- time reserve component duty' has the 
     meaning given the term in section 12011(e) of this title.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2001.

     SEC. 416. STRENGTH AND GRADE LIMITATION ACCOUNTING FOR 
                   RESERVE COMPONENT MEMBERS ON ACTIVE DUTY IN 
                   SUPPORT OF A CONTINGENCY OPERATION.

       (a) Active Duty Strength Accounting.--Section 115(c)(1) of 
     title 10, United States Code, is amended to read as follows:
       ``(1) increase the end strength authorized pursuant to 
     subsection (a)(1)(A) for a fiscal year for any of the armed 
     forces by--
       ``(A) a number equal to not more than 1 percent of that end 
     strength; and
       ``(B) the number (if any) of the members of the reserve 
     components that, as determined by the Secretary, are on 
     active duty under section 12301(d) of this title in support 
     of a contingency operation.''.
       (b) Limitation on Authorized Daily Average for Members in 
     Pay Grades E-8 and E-9 on Active Duty.--Section 517 of such 
     title is amended by adding at the end the following new 
     paragraph:
       ``(d) The Secretary of Defense may increase the authorized 
     daily average number of enlisted members on active duty in an 
     armed force in pay grade E-8 or 
     E-9 in a fiscal year, as determined under subsection (a), by 
     the number (if any) of enlisted members of a reserve 
     component of that armed force in that pay grade who, as 
     determined by the Secretary, are on active duty under section 
     12301(d) of this title in support of a contingency 
     operation.''.
       (c) Limitation on Authorized Strengths for Commissioned 
     Officers in Pay Grades O-4, O-5, and O-6 on Active Duty.--
     Section 523(b) of such title is amended--
       (1) in paragraphs (1) and (2) of subsection (a), by 
     striking ``Except as provided in subsection (c)'' and 
     inserting ``Except as provided in subsections (c) and (e)''; 
     and
       (2) by adding at the end the following new subsection:
       ``(e) The Secretary of Defense may increase the limitation 
     on the total number of commissioned officers of an armed 
     force authorized to be serving on active duty at the end of 
     any fiscal year in the grade of O-4, O-5, or 
     O-6, determined under subsection (a), by the number (if any) 
     of commissioned officers of a reserve component of that armed 
     force in that grade who, as determined by the Secretary, are 
     serving on active duty under section 12301(d) of this title 
     in support of a contingency operation.''.
       (d) Limitation on Authorized Strengths for General and Flag 
     Officers on Active Duty.--Section 526(a) of such title is 
     amended--
       (1) by striking ``Limitations.--The'' and inserting 
     ``Limitations.--(1) Except as provided in paragraph (2), 
     the'';
       (2) by redesignating paragraphs (1), (2), (3), and (4) as 
     subparagraphs (A), (B), (C), and (D), respectively; and
       (3) by adding at the end the following new paragraph (2):
       ``(2) The Secretary of Defense may increase the limitation 
     on the number of general and flag officers on active duty, 
     determined under paragraph (1), by the number (if any) of 
     reserve component general and flag officers who, as 
     determined by the Secretary, are serving on active duty under 
     section 12301(d) of this title in support of a contingency 
     operation.''.

              Subtitle C--Authorization of Appropriations

     SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY 
                   PERSONNEL.

       There is hereby authorized to be appropriated to the 
     Department of Defense for military personnel for fiscal year 
     2002 a total of $82,396,900,000. The authorization in the 
     preceding sentence supersedes any other authorization of 
     appropriations (definite or indefinite) for such purpose for 
     fiscal year 2002.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

     SEC. 501. GENERAL OFFICER POSITIONS.

       (a) Increased Grade for Vice Chief of National Guard 
     Bureau.--Section 10505(c) of title 10, United States Code, is 
     amended by striking ``major general'' and inserting 
     ``lieutenant general''.
       (b) Increased Grade for Heads of Nurse Corps of the Armed 
     Forces.--(1) Section 3069(b) of title 10, United States Code, 
     is amended by striking ``brigadier general'' in the second 
     sentence and inserting ``major general''.
       (2) The first sentence of section 5150(c) of such title is 
     amended--
       (A) by inserting ``rear admiral (upper half) in the case of 
     an officer in the Nurse Corps or'' after ``for promotion to 
     the grade of''; and
       (B) by inserting ``in the case of an officer in the Medical 
     Service Corps'' after ``rear admiral (lower half)''.
       (3) Section 8069(b) of such title is amended by striking 
     ``brigadier general'' in the second sentence and inserting 
     ``major general''.
       (c) Appointment and Grade of Chief of Army Veterinary 
     Corps.--(1) Chapter 307 of title 10, United States Code, is 
     amended by inserting after section 3070 the following new 
     section 3071:

     ``Sec. 3071. Veterinary Corps: composition; Chief and 
       assistant chief; appointment; grade

       ``(a) Composition.--The Veterinary Corps consists of the 
     Chief and assistant chief of that corps and other officers in 
     grades prescribed by the Secretary of the Army.
       ``(b) Chief.--The Secretary of the Army shall appoint the 
     Chief from the officers of the Regular Army in that corps 
     whose regular grade is above lieutenant colonel and who are 
     recommended by the Surgeon General. An appointee who holds a 
     lower regular grade shall be appointed in the regular grade 
     of brigadier general. The Chief serves during the pleasure of 
     the Secretary, but not for more than four years, and may not 
     be reappointed to the same position.
       ``(c) Assistant Chief.--The Surgeon General shall appoint 
     the assistant chief from the officers of the Regular Army in 
     that corps whose regular grade is above lieutenant colonel. 
     The assistant chief serves during the pleasure of the Surgeon 
     General, but not for more than four years and may not be 
     reappointed to the same position.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     3070 the following new item:

``3071. Veterinary Corps: composition; Chief and assistant chief; 
              appointment; grade.''.

       (d) Exclusions From Limitation of Active Duty Officers in 
     Grades Above Major General.--Section 525(b) of title 10, 
     United States Code, is amended--
       (1) in paragraph (2)(B), by striking ``16.2 percent'' and 
     inserting ``17.5 percent'';
       (2) in paragraph (3)--
       (A) by inserting ``(A)'' after ``(3)''; and
       (B) by adding at the end the following new subparagraph:
       ``(B) An officer while serving as the Senior Military 
     Assistant to the Secretary of Defense, if serving in the 
     grade of general or lieutenant general, or admiral or vice 
     admiral, is in addition to the number that would otherwise be 
     permitted for his armed force for that grade under paragraph 
     (1) or (2).''; and
       (3) by striking paragraph (6) and inserting the following:
       ``(6)(A) An officer while serving in a position named in 
     subparagraph (B) is in addition to the number that would 
     otherwise be permitted for that officer's armed force for 
     officers serving on active duty in grades above major general 
     under paragraph (1).
       ``(B) Subparagraph (A) applies with respect to the 
     following positions:
       ``(i) Chief of the National Guard Bureau.
       ``(ii) Vice Chief of the National Guard Bureau.''.
       (e) Repeal of Limitation on Number of Officers on Active 
     Duty in the Grades of General or Admiral.--(1) Section 528 of 
     title 10, United States Code, is repealed.
       (2) The table of sections at the beginning of chapter 32 of 
     such title is amended by striking the item relating to 
     section 528.

     SEC. 502. REDUCTION OF TIME-IN-GRADE REQUIREMENT FOR 
                   ELIGIBILITY FOR PROMOTION OF FIRST LIEUTENANTS 
                   AND LIEUTENANTS (JUNIOR GRADE).

       Paragraph (1) of section 619(a) of title 10, United States 
     Code, is amended by striking ``the following period of 
     service'' and all that follows through the end of the 
     paragraph and inserting ``eighteen months of service in the 
     grade in which he holds a permanent appointment.''.

     SEC. 503. PROMOTION OF OFFICERS TO THE GRADE OF CAPTAIN IN 
                   THE ARMY, AIR FORCE, OR MARINE CORPS OR TO THE 
                   GRADE OF LIEUTENANT IN THE NAVY WITHOUT 
                   SELECTION BOARD ACTION.

       (a) Active-Duty List Promotions.--(1) Section 611(a) of 
     title 10, United States Code, is amended by striking 
     ``Under'' and inserting ``Except in the case of promotions 
     recommended under section 624(a)(3) of this title, under''.
       (2) Section 624(a) of such title is amended by adding at 
     the end the following new paragraph (3):
       ``(3) The President may, upon a recommendation of the 
     Secretary of the military department concerned approved by 
     the President, promote to the grade of captain (for officers 
     of the Regular Army, Regular

[[Page 20053]]

     Air Force, or Regular Marine Corps) or lieutenant (for 
     officers of the Regular Navy) all fully qualified officers on 
     the active-duty list in the permanent or temporary grade of 
     first lieutenant or lieutenant (junior grade), respectively, 
     who would be eligible for consideration for promotion to the 
     next higher grade by a selection board convened under section 
     611(a) of this title. The Secretary of a military department 
     may make such a recommendation whenever the Secretary 
     determines that all such officers are needed in the next 
     higher grade to accomplish mission objectives. Promotions 
     under this paragraph shall be effectuated under regulations 
     prescribed by the Secretary of the military department 
     concerned.''.
       (3) Section 631 of such title is amended by adding at the 
     end the following new subsection (d):
       ``(d) For the purposes of this chapter--
       ``(1) a recommendation made by the Secretary of the 
     military department concerned under section 624(a)(3) of this 
     title that is approved by the President shall be treated in 
     the same manner as a report of a promotion selection board 
     convened under section 611(a) of this title that is approved 
     by the President; and
       ``(2) an officer of the Regular Army, Regular Air Force, or 
     Regular Marine Corps who holds the regular grade of first 
     lieutenant, and an officer of the Regular Navy who holds the 
     regular grade of lieutenant (junior grade), shall be treated 
     as having failed of selection for promotion if the Secretary 
     of the military department concerned determines that the 
     officer would be eligible for consideration for promotion to 
     the next higher grade by a selection board convened under 
     section 611(a) of this title but is not fully qualified for 
     promotion when recommending for promotion under section 
     624(a)(3) of this title all fully qualified officers of the 
     officer's armed force in such grade who would be eligible for 
     such consideration.''.
       (b) Reserve Active-Status List Promotions.--(1) Section 
     14101(a) of such title is amended by striking ``Whenever'' 
     and inserting ``Except in the case of promotions recommended 
     under section 14308(b)(4) of this title, whenever''.
       (2) Section 14308(b) of such title is amended by adding at 
     the end the following new paragraph (4):
       ``(4) The President may, upon a recommendation of the 
     Secretary of the military department concerned approved by 
     the President, promote to the grade of captain (for officers 
     of a reserve component of the Army, Air Force, or Marine 
     Corps) or lieutenant (for officers of the Naval Reserve) all 
     fully qualified officers on the reserve active-status list in 
     the permanent grade of first lieutenant or lieutenant (junior 
     grade), respectively, who would be eligible for consideration 
     for promotion to the next higher grade by a selection board 
     convened under section 14101(a) of this title. The Secretary 
     of a military department may make such a recommendation 
     whenever the Secretary determines that all such officers are 
     needed in the next higher grade to accomplish mission 
     objectives. Promotions under this paragraph shall be 
     effectuated under regulations prescribed by the Secretary of 
     the military department concerned.''.
       (3) Section 14504 of such title is amended by adding at the 
     end the following new subsection (c):
       ``(c) For the purposes of this chapter--
       ``(1) a recommendation made by the Secretary of the 
     military department concerned under section 14308(b)(4) of 
     this title that is approved by the President shall be treated 
     the same as a report of a promotion selection board convened 
     under section 14101(a) of this title that is approved by the 
     President; and
       ``(2) an officer on a reserve active-status list who holds 
     the grade of first lieutenant (in the case of an officer in a 
     reserve component of the Army, Air Force, or Marine Corps) or 
     the grade of lieutenant (junior grade) (in the case of an 
     officer of the Naval Reserve) shall be treated as having 
     failed of selection for promotion if the Secretary of the 
     military department concerned determines that the officer 
     would be eligible for consideration for promotion to the next 
     higher grade by a selection board convened under section 
     14101(a) of this title but is not fully qualified for 
     promotion when recommending for promotion under section 
     14308(b)(4) of this title all fully qualified officers of 
     that officer's reserve component in such grade who would be 
     eligible for such consideration.''.

     SEC. 504. AUTHORITY TO ADJUST DATE OF RANK.

       (a) Active Duty Officers.--Subsection 741(d) of title 10, 
     United States Code, is amended, by adding at the end the 
     following new paragraph (4):
       ``(4)(A) The Secretary concerned may adjust the date of 
     rank of an officer appointed to a higher grade under section 
     624(a) of this title if the appointment is to a grade below 
     O-7 and is delayed by reason of unusual circumstances that 
     cause an unintended delay in the processing or approval of--
       ``(i) a report of a selection board recommending the 
     appointment of the officer to that grade; or
       ``(ii) the promotion list established on the basis of that 
     report.
       ``(B) The adjusted date of rank applicable to the grade of 
     an officer under subparagraph (A) shall be consistent with 
     the officer's position on the promotion list for that grade 
     and competitive category when additional officers in that 
     grade and competitive category were needed and shall also be 
     consistent with compliance with the applicable authorized 
     strengths for officers in that grade and competitive 
     category.
       ``(C) The adjusted date of rank applicable to the grade of 
     an officer under subparagraph (A) shall be the effective date 
     for the officer's pay and allowances for the grade and for 
     the officer's position on the active-duty list.
       ``(D) In the case of an officer whose appointment to a 
     higher grade under this section is made by and with the 
     advice and consent of the Senate, the Secretary concerned 
     shall transmit to the Committee on Armed Services of the 
     Senate a notification of any adjustment of a date of rank for 
     the appointment of an officer to a higher grade under 
     subparagraph (A) to a date that is prior to the date of the 
     advice and consent of the Senate on the appointment. The 
     notification shall include the name of the officer and a 
     discussion of the reasons for the adjustment.''.
       (b) Reserve Officers.--Section 14308(c) of such title is 
     amended--
       (1) by redesignating paragraph (2) as paragraph (3);
       (2) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2)(A) The Secretary concerned may adjust the date of 
     rank of an officer appointed to a higher grade under this 
     section if the appointment is to a grade below O-7 and is 
     delayed by reason of unusual circumstances that cause an 
     unintended delay in the processing or approval of--
       ``(i) a report of a selection board recommending the 
     appointment of the officer to that grade; or
       ``(ii) the promotion list established on the basis of that 
     report.
       ``(B) The adjusted date of rank applicable to the grade of 
     an officer under subparagraph (A) shall be consistent with 
     the officer's position on the promotion list for that grade 
     and competitive category when additional officers in that 
     grade and competitive category were needed and shall also be 
     consistent with compliance with the applicable authorized 
     strengths for officers in that grade and competitive 
     category.
       ``(C) The adjusted date of rank applicable to the grade of 
     an officer under subparagraph (A) shall be the effective date 
     for the officer's pay and allowances for the grade and for 
     the officer's position on the active-duty list.
       ``(D) In the case of an officer whose appointment to a 
     higher grade under this section is made by and with the 
     advice and consent of the Senate, the Secretary concerned 
     shall transmit to the Committee on Armed Services of the 
     Senate a notification of any adjustment of a date of rank for 
     the appointment of an officer to a higher grade under 
     subparagraph (A) to a date that is prior to the date of the 
     advice and consent of the Senate on the appointment. The 
     notification shall include the name of the officer and a 
     discussion of the reasons for the adjustment.''; and
       (3) in paragraph (3), as redesignated by paragraph (1), by 
     inserting ``provided in paragraph (2) or as otherwise'' after 
     ``Except as''.

     SEC. 505. EXTENSION OF DEFERMENTS OF RETIREMENT OR SEPARATION 
                   FOR MEDICAL REASONS.

       Section 640 of title 10, United States Code, is amended--
       (1) by inserting ``(a) Deferment.--'' before ``The 
     Secretary''; and
       (b) by adding at the end the following new subsection:
       ``(b) Authority To Extend.--In the case of an officer whose 
     retirement or separation under any of sections 632 through 
     638, or section 1251, of this title is deferred under 
     subsection (a), the Secretary of the military department 
     concerned may extend the deferment by an additional period of 
     not more than 30 days following the completion of the 
     evaluation of the officer's physical condition if the 
     Secretary determines that continuation of the officer would 
     facilitate the officer's transition to civilian life.''.

     SEC. 506. EXEMPTION FROM ADMINISTRATIVE LIMITATIONS OF 
                   RETIRED MEMBERS ORDERED TO ACTIVE DUTY AS 
                   DEFENSE AND SERVICE ATTACHES.

       (a) Limitation of Period of Recalled Service.--Section 
     688(e)(2) of title 10, United States Code, is amended by 
     adding at the end the following new subparagraph (D):
       ``(D) An officer who is assigned to duty as a defense 
     attache or service attache for the period of active duty to 
     which ordered.''.
       (b) Limitation on Number of Recalled Officers on Active 
     Duty.--Section 690(b)(2) of such title is amended by adding 
     at the end the following new subparagraph (E):
       ``(E) An officer who is assigned to duty as a defense 
     attache or service attache for the period of active duty to 
     which ordered.''.
       (c) Applicability.--The amendments made by subsections (a) 
     and (b) shall apply with respect to officers serving on 
     active duty as a defense attache or service attache on or 
     after the date of the enactment of this Act.

[[Page 20054]]



     SEC. 507. CERTIFICATIONS OF SATISFACTORY PERFORMANCE FOR 
                   RETIREMENTS OF OFFICERS IN GRADES ABOVE MAJOR 
                   GENERAL AND REAR ADMIRAL.

       Section 1370(c) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(3)(A) The Secretary of Defense may delegate authority to 
     make a certification for an officer under paragraph (1) to 
     the Under Secretary of Defense for Personnel and Readiness or 
     the Deputy Under Secretary of Defense for Personnel and 
     Readiness. The certification authority may not be delegated 
     to any other official.
       ``(B) If an official to whom authority is delegated under 
     subparagraph (A) determines in the case of an officer that 
     there is potentially adverse information on the officer and 
     that the information has not previously been reported to the 
     Senate in connection with the action of the Senate on a 
     previous appointment of that officer under section 601 of 
     this title, the official may not exercise the authority in 
     that case, but shall refer the case to the Secretary of 
     Defense. The Secretary of Defense shall personally issue or 
     withhold a certification for an officer under paragraph (1) 
     in any case referred to the Secretary under the preceding 
     sentence.''.

     SEC. 508. EFFECTIVE DATE OF MANDATORY SEPARATION OR 
                   RETIREMENT OF REGULAR OFFICER DELAYED BY A 
                   SUSPENSION OF CERTAIN LAWS UNDER EMERGENCY 
                   AUTHORITY OF THE PRESIDENT.

       Section 12305 of title 10, United States Code, is amended 
     by adding at the end the following new subsection (c):
       ``(c) In the case of an officer of the Regular Army, 
     Regular Navy, Regular Air Force, or Regular Marine Corps 
     whose mandatory separation or retirement under section 632, 
     633, 634, 635, 636, 637, or 1251 of this title is delayed by 
     reason of a suspension under this section, the separation or 
     retirement of the officer upon termination of the suspension 
     shall take effect on the date elected by the officer, but not 
     later than 90 days after the date of the termination of the 
     suspension.''.

     SEC. 509. DETAIL AND GRADE OF OFFICER IN CHARGE OF THE UNITED 
                   STATES NAVY BAND.

       Section 6221 of title 10, United States Code, is amended--
       (1) by inserting ``(a) Establishment.--''; and
       (2) by adding at the end the following new subsection:
       ``(b) Officer in Charge.--(1) An officer serving in a grade 
     above lieutenant may be detailed as Officer in Charge of the 
     United States Navy Band.
       ``(2) While serving as Officer in Charge of the United 
     States Navy Band, an officer holds the grade of captain if 
     appointed to that grade by the President, by and with the 
     advice and consent of the Senate, notwithstanding the 
     limitation in section 5596(d) of this title.''.

             Subtitle B--Reserve Component Personnel Policy

     SEC. 511. REAUTHORIZATION AND EXPANSION OF TEMPORARY WAIVER 
                   OF THE REQUIREMENT FOR A BACCALAUREATE DEGREE 
                   FOR PROMOTION OF CERTAIN RESERVE OFFICERS OF 
                   THE ARMY.

       (a) Reauthorization.--Subsection (b) of section 516 of the 
     Strom Thurmond National Defense Authorization Act for Fiscal 
     Year 1999 (Public Law 105-261; 112 Stat. 2008; 10 U.S.C. 
     12205 note) is amended by striking ``September 30, 2000'' and 
     inserting ``September 30, 2003''.
       (b) Expansion of Eligibility.--Subsection (a) of such 
     section is amended by striking ``before the date of the 
     enactment of this Act''.

     SEC. 512. STATUS LIST OF RESERVE OFFICERS ON ACTIVE DUTY FOR 
                   A PERIOD OF THREE YEARS OR LESS.

       (a) Clarification.--Section 641(1)(D) of title 10, United 
     States Code, is amended to read as follows:
       ``(D) on active duty under section 12301(d) of this title, 
     other than as provided under subparagraph (C), under a call 
     or order to active duty specifying a period of three years or 
     less and continuation (pursuant to regulations prescribed by 
     the Secretary concerned) on the reserve active-status 
     list;''.
       (b) Retroactive Adjustments.--(1) The Secretary of the 
     military department concerned--
       (A) may place on the active-duty list of the armed force 
     concerned any officer under the jurisdiction of the Secretary 
     who was placed on the reserve active-status list under 
     subparagraph (D) of section 641(1) of title 10, United States 
     Code, as added by section 521(2) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted into law by Public Law 106-398; 114 Stat. 1654A-108); 
     and
       (B) for the purposes of chapter 36 of such title (other 
     than section 640 of such title and, in the case of a warrant 
     officer, section 628 of such title), shall treat an officer 
     placed on the active-duty list under subparagraph (A) as 
     having been on the active-duty list continuously from the 
     date on which the officer was placed on the reserve active-
     status list as described in that subparagraph.
       (2) The Secretary of the military department concerned may 
     place on the reserve active-status list of the armed force 
     concerned, effective as of the date of the enactment of this 
     Act, any officer who was placed on the active-duty list 
     before that date and after October 29, 1997, while on active 
     duty under section 12301(d) of title 10, United States Code, 
     other than as described under section 641(1)(C) of such 
     title, under a call or order to active duty specifying a 
     period of three years or less.

     SEC. 513. EQUAL TREATMENT OF RESERVES AND FULL-TIME ACTIVE 
                   DUTY MEMBERS FOR PURPOSES OF MANAGING 
                   DEPLOYMENTS OF PERSONNEL.

       (a) Residence of Reserves at Home Station.--Section 
     991(b)(2) of title 10, United States Code, is amended to read 
     as follows:
       ``(2) In the case of a member of a reserve component who is 
     performing active service pursuant to orders that do not 
     establish a permanent change of station, the housing referred 
     to in paragraph (1) is any housing (which may include the 
     member's residence) that the member usually occupies for use 
     during off-duty time when on garrison duty at the member's 
     permanent duty station or homeport, as the case may be.''.
       (b) Effective Date.--This section and the amendment made by 
     this section shall take effect on October 1, 2001, and shall 
     apply with respect to duty performed on or after that date.

     SEC. 514. MODIFICATION OF PHYSICAL EXAMINATION REQUIREMENTS 
                   FOR MEMBERS OF THE INDIVIDUAL READY RESERVE.

       Section 10206 of title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) in the first sentence--
       (i) by striking ``Ready Reserve'' and inserting ``Selected 
     Reserve''; and
       (ii) by striking ``his'' and inserting ``the member's''; 
     and
       (B) in the second sentence, by striking ``Each Reserve'' 
     and inserting the following:
       ``(c) Each Reserve'';
       (2) by redesignating subsection (b) as subsection (d); and
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) A member of the Individual Ready Reserve or inactive 
     National Guard shall be examined for physical fitness as 
     necessary to determine the member's physical fitness for 
     military duty or for promotion, attendance at a school of the 
     armed forces, or other action related to career 
     progression.''.

     SEC. 515. MEMBERS OF RESERVE COMPONENTS AFFLICTED WHILE 
                   REMAINING OVERNIGHT AT DUTY STATION WITHIN 
                   COMMUTING DISTANCE OF HOME.

       (a) Medical and Dental Care for Members.--Section 
     1074a(a)(3) of title 10, United States Code, is amended by 
     inserting before the period at the end the following: ``or if 
     the member remained overnight for another reason authorized 
     under applicable regulations''.
       (b) Medical and Dental Care for Dependents.--Section 
     1076(a)(2)(C) of title 10, United States Code, is amended by 
     inserting before the period at the end the following: ``or if 
     the member remained overnight for another reason authorized 
     under applicable regulations''.
       (c) Eligibility for Disability Retirement or Separation.--
     (1) Section 1204(2)(B)(iii) of title 10, United States Code, 
     is amended by inserting before the semicolon at the end the 
     following: ``or if the member remained overnight for another 
     reason authorized under applicable regulations''.
       (2) Section 1206(2)(A)(iii) of title 10, United States 
     Code, is amended by inserting before the semicolon the 
     following: ``or if the member remained overnight for another 
     reason authorized under applicable regulations''.
       (d) Recovery, Care, and Disposition of Remains.--Section 
     1481(a)(2)(D) of title 10, United States Code, is amended by 
     inserting before the semicolon at the end the following: ``or 
     if the member remained overnight for another reason 
     authorized under applicable regulations''.
       (e) Entitlement to Basic Pay.--Section 204 of title 37, 
     United States Code, is amended--
       (1) in subsection (g)(1)(D), by inserting before the 
     semicolon the following: ``or if the member remained 
     overnight for another reason authorized under applicable 
     regulations''; and
       (2) in subsection (h)(1)(D), by inserting before the 
     semicolon the following: ``or if the member remained 
     overnight for another reason authorized under applicable 
     regulations''.
       (f) Compensation for Inactive-Duty Training.--Section 
     206(a)(3)(C) of title 37, United States Code, is amended by 
     inserting before the period at the end the following: ``or if 
     the member remained overnight for another reason authorized 
     under applicable regulations''.

     SEC. 516. RETIREMENT OF RESERVE PERSONNEL WITHOUT REQUEST.

       (a) Retired Reserve.--Section 10154(2) of title 10, United 
     States Code, is amended by striking ``upon their request''.
       (b) Retirement for Failure of Selection of Promotion.--(1) 
     Paragraph (2) of section 14513 of such title is amended by 
     striking ``, if the officer is qualified and applies for such 
     transfer'' and inserting ``if the officer is qualified for 
     the transfer and does not request (in accordance with 
     regulations prescribed by the Secretary concerned) not to be 
     transferred to the Retired Reserve''.

[[Page 20055]]

       (2)(A) The heading for such section is amended to read as 
     follows:

     ``Sec. 14513. Transfer, retirement, or discharge for failure 
       of selection of promotion''.

       (B) The item relating to such section in the table of 
     sections at the beginning of chapter 1407 of title 10, United 
     States Code, is amended to read as follows:

``14513. Transfer, retirement, or discharge for failure of selection 
              for promotion.''.
       (c) Retirement for Years of Service or After Selection for 
     Early Removal.--Section 14514 of such title is amended--
       (1) in paragraph (1), by striking ``, if the officer is 
     qualified and applies for such transfer'' and inserting ``if 
     the officer is qualified for the transfer and does not 
     request (in accordance with regulations prescribed by the 
     Secretary concerned) not to be transferred to the Retired 
     Reserve''; and
       (2) by striking paragraph (2) and inserting the following:
       ``(2) be discharged from the officer's reserve appointment 
     if the officer is not qualified for transfer to the Retired 
     Reserve or has requested (in accordance with regulations 
     prescribed by the Secretary concerned) not to be so 
     transferred.''.
       (d) Retirement for Age.--Section 14515 of such title is 
     amended--
       (1) in paragraph (1), by striking ``, if the officer is 
     qualified and applies for such transfer'' and inserting ``if 
     the officer is qualified for the transfer and does not 
     request (in accordance with regulations prescribed by the 
     Secretary concerned) not to be transferred to the Retired 
     Reserve''; and
       (2) by striking paragraph (2) and inserting the following:
       ``(2) be discharged from the officer's reserve appointment 
     if the officer is not qualified for transfer to the Retired 
     Reserve or has requested (in accordance with regulations 
     prescribed by the Secretary concerned) not to be so 
     transferred.''.
       (e) Discharge or Retirement of Warrant Officers for Years 
     of Service or Age.--(1) Chapter 1207 of such title is amended 
     by adding at the end the following new section:

     ``Sec. 12244. Warrant officers: discharge or retirement for 
       years of service or for age

       ``Each reserve warrant officer of the Army, Navy, Air 
     Force, or Marine Corps who is in an active status and has 
     reached the maximum years of service or age prescribed by the 
     Secretary concerned shall--
       ``(1) be transferred to the Retired Reserve if the warrant 
     officer is qualified for the transfer and does not request 
     (in accordance with regulations prescribed by the Secretary 
     concerned) not to be transferred to the Retired Reserve; or
       ``(2) be discharged if the warrant officer is not qualified 
     for transfer to the Retired Reserve or has requested (in 
     accordance with regulations prescribed by the Secretary 
     concerned) not to be so transferred.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``12244. Warrant officers: discharge or retirement for years of service 
              or for age.''.

       (f) Discharge or Retirement of Enlisted Members for Years 
     of Service or Age.--(1) Chapter 1203 of title 10, United 
     States Code, is amended by adding at the end the following 
     new section:

     ``Sec. 12108. Enlisted members: discharge or retirement for 
       years of service or for age

       ``Each reserve enlisted member of the Army, Navy, Air 
     Force, or Marine Corps who is in an active status and has 
     reached the maximum years of service or age prescribed by the 
     Secretary concerned shall--
       ``(1) be transferred to the Retired Reserve if the member 
     is qualified for the transfer and does not request (in 
     accordance with regulations prescribed by the Secretary 
     concerned) not to be transferred to the Retired Reserve; or
       ``(2) be discharged if the member is not qualified for 
     transfer to the Retired Reserve or has requested (in 
     accordance with regulations prescribed by the Secretary 
     concerned) not to be so transferred.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``12108. Enlisted members: discharge or retirement for years of service 
              or for age.''.

       (g) Effective Date.--This section and the amendments made 
     by this section shall take effect on the first day of the 
     first month that is more than 180 days after the date of the 
     enactment of this Act.

     SEC. 517. SPACE-REQUIRED TRAVEL BY RESERVES ON MILITARY 
                   AIRCRAFT.

       (a) Correction of Impairment to Authorized Travel With 
     Allowances.--Section 18505(a) of title 10, United States 
     Code, is amended by striking ``annual training duty or'' each 
     place it appears.
       (b) Conforming Amendments.--(1) The heading for such 
     section is amended to read as follows:

     ``Sec. 18505. Reserves traveling for inactive-duty training: 
       space-required travel on military aircraft''.

       (2) The item relating to such section in the table of 
     contents at the beginning of chapter 1805 of title 10, United 
     States Code, is amended to read as follows:

``18505. Reserves traveling for inactive-duty training: space-required 
              travel on military aircraft.''.

                   Subtitle C--Education and Training

     SEC. 531. IMPROVED BENEFITS UNDER THE ARMY COLLEGE FIRST 
                   PROGRAM.

       (a) Increased Maximum Period of Delayed Entry.--Section 573 
     of the National Defense Authorization Act for Fiscal Year 
     2000 (Public Law 106-65; 113 Stat. 623; 10 U.S.C. 513 note) 
     is amended--
       (1) in subsection (b)--
       (A) by striking the matter preceding paragraph (1) and 
     inserting the following:
       ``(b) Delayed Entry With Allowance for Higher Education.--
     Under the pilot program, the Secretary may--
       ``(1) exercise the authority under section 513 of title 10, 
     United States Code--'';
       (B) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively, and realigning those 
     subparagraphs four ems from the left margin;
       (C) in subparagraph (A), as so redesignated, by inserting 
     ``and'' after the semicolon; and
       (D) in subparagraph (B), as so redesignated, by striking 
     ``two years after the date of such enlistment as a Reserve 
     under paragraph (1)'' and inserting ``the maximum period of 
     delay determined for the person under subsection (c)''; and
       (2) in subsection (c)--
       (A) by striking ``paragraph (2)'' and inserting ``paragraph 
     (1)(B)'';
       (B) by striking ``two-year period'' and inserting ``30-
     month period''; and
       (C) by striking ``paragraph (1)'' and inserting ``paragraph 
     (1)(A)''.
       (b) Allowance Eligibility and Amount.--(1) Such section is 
     further amended--
       (A) in subsection (b), by striking paragraph (3) and 
     inserting the following:
       ``(2) subject to paragraph (2) of subsection (d) and except 
     as provided in paragraph (3) of such subsection, pay an 
     allowance to the person for each month of that period during 
     which the member is enrolled in and pursuing such a 
     program''; and
       (B) in subsection (d)--
       (i) by redesignating paragraph (2) as paragraph (4);
       (ii) by striking paragraph (1) and inserting the following 
     new paragraphs:
       ``(1) The monthly allowance paid under subsection (b)(2) 
     shall be equal to the amount of the subsistence allowance 
     provided for certain members of the Senior Reserve Officers' 
     Training Corps under section 209(a) of title 37, United 
     States Code.
       ``(2) An allowance may not be paid to a person under this 
     section for more than 24 months.
       ``(3) A member of the Selected Reserve of a reserve 
     component may be paid an allowance under this section only 
     for months during which the member performs satisfactorily as 
     a member of a unit of the reserve component that trains as 
     prescribed in section 10147(a)(1) of title 10, United States 
     Code, or section 502(a) of title 32, United States Code. 
     Satisfactory performance shall be determined under 
     regulations prescribed by the Secretary.''
       (2) The heading for such subsection is amended by striking 
     ``Amount of''.
       (c) Ineligibility for Loan Repayments.--Such section is 
     further amended--
       (1) by redesignating subsections (e), (f), and (g) as 
     subsections (g), (h), and (i), respectively; and
       (2) by inserting after subsection (d) the following new 
     subsection:
       ``(e) Ineligibility for Loan Repayments.--A person who has 
     received an allowance under this section is not eligible for 
     any benefits under chapter 109 of title 10, United States 
     Code.
       (d) Recoupment of Allowance.--Such section, as amended by 
     subsection (c), is further amended by inserting after 
     subsection (e) the following new subsection:
       ``(f) Recoupment of Allowance.--(1) A person who, after 
     receiving an allowance under this section, fails to complete 
     the total period of service required of that person in 
     connection with delayed entry authorized for the person under 
     section 513 of title 10, United States Code, shall repay the 
     United States the amount which bears the same ratio to the 
     total amount of that allowance paid to the person as the 
     unserved part of the total required period of service bears 
     to the total period.
       ``(2) An obligation to repay the United States imposed 
     under paragraph (1) is for all purposes a debt owed to the 
     United States.
       ``(3) A discharge of a person in bankruptcy under title 11, 
     United States Code, that is entered less than five years 
     after the date on which the person was, or was to be, 
     enlisted in the regular Army pursuant to the delayed entry 
     authority under section 513 of title 10, United States Code, 
     does not discharge that person from a debt arising under 
     paragraph (1).
       ``(4) The Secretary of the Army may waive, in whole or in 
     part, a debt arising under paragraph (1) in any case for 
     which the Secretary determines that recovery would be against 
     equity and good conscience or would be contrary to the best 
     interests of the United States.''.
       (e) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2001, and shall apply with 
     respect to

[[Page 20056]]

     persons who, on or after that date, are enlisted as described 
     in subsection (a) of section 513 of title 10, United States 
     Code, with delayed entry authorized under that section.

     SEC. 532. REPEAL OF LIMITATION ON NUMBER OF JUNIOR RESERVE 
                   OFFICERS' TRAINING CORPS UNITS.

       Section 2031(a)(1) of title 10, United States Code, is 
     amended by striking the second sentence.

     SEC. 533. ACCEPTANCE OF FELLOWSHIPS, SCHOLARSHIPS, OR GRANTS 
                   FOR LEGAL EDUCATION OF OFFICERS PARTICIPATING 
                   IN THE FUNDED LEGAL EDUCATION PROGRAM.

       (a) FLEP Detail.--Section 2004 of title 10, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(g) Acceptance of a fellowship, scholarship, or grant as 
     financial assistance for training described in subsection (a) 
     in accordance with section 2603(a) of this title does not 
     disqualify the officer accepting it from also being detailed 
     at a law school for that training under this section. Service 
     obligations incurred under subsection (b)(2)(C) and section 
     2603(b) of this title with respect to the same training shall 
     be served consecutively.''.
       (b) Fellowships, Scholarships, or Grants.--Section 2603 of 
     such title is amended by adding at the end the following new 
     subsection:
       ``(c) A detail of an officer for training at a law school 
     under section 2004 of this title does not disqualify the 
     officer from also accepting a fellowship, scholarship, or 
     grant under this section as financial assistance for that 
     training. Service obligations incurred under subsection (b) 
     and section 2004(b)(2)(C) of this title with respect to the 
     same training shall be served consecutively.''.

     SEC. 534. GRANT OF DEGREE BY DEFENSE LANGUAGE INSTITUTE 
                   FOREIGN LANGUAGE CENTER.

       (a) Authority.--Chapter 108 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2167. Defense Language Institute: associate of arts

       ``Under regulations prescribed by the Secretary of Defense, 
     the Commandant of the Foreign Language Center of the Defense 
     Language Institute may confer an associate of arts degree in 
     foreign language upon graduates of the Institute who fulfill 
     the requirements for the degree, as certified by the Provost 
     of the Institute.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``2167. Defense Language Institute: associate of arts.''.

     SEC. 535. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD 
                   THE DEGREE OF MASTER OF STRATEGIC STUDIES.

       (a) Authority.--(1) Subsection (a) of section 7102 of title 
     10, United States Code, is amended to read as follows:
       ``(a) Authority.--Upon the recommendation of the Director 
     and faculty of a college of the Marine Corps University, the 
     President of the Marine Corps University may confer a degree 
     upon graduates of the college who fulfill the requirements 
     for the degree, as follows:
       ``(1) For the Marine Corps War College, the degree of 
     master of strategic studies.
       ``(2) For the Command and Staff College, the degree of 
     master of military studies.''.
       (2)(A) The heading for such section is amended to read as 
     follows:

     ``Sec. 7102. Marine Corps University: masters degrees''.

       (B) The item relating to such section in the table of 
     sections at the beginning of chapter 609 of title 10, United 
     States Code, is amended to read as follows:

``7102. Marine Corps University: masters degrees.''.
       (b) Condition for Initial Exercise of Authority.--(1) The 
     President of the Marine Corps University may exercise the 
     authority provided under section 7102(a)(1) of title 10, 
     United States Code, only after the Secretary of Education has 
     notified the Secretary of the Navy of a determination made 
     under paragraph (2) that the requirements established by the 
     Marine Corps War College of the Marine Corps University for 
     the degree of master of strategic studies are in accordance 
     with the requirements typically imposed for awards of the 
     degree of master of arts by institutions of higher education 
     in the United States.
       (2) The Secretary of Education shall review the 
     requirements established by the Marine Corps War College of 
     the Marine Corps University for the degree of master of 
     strategic studies, determine whether the requirements are in 
     accordance with the requirements typically imposed for awards 
     of the degree of master of arts by institutions of higher 
     education in the United States, and notify the Secretary of 
     the Navy of the determination.

     SEC. 536. FOREIGN PERSONS ATTENDING THE SERVICE ACADEMIES.

       (a) United States Military Academy.--(1) Subsection (a)(1) 
     of section 4344 of title 10, United States Code, is amended 
     by striking ``not more than 40 persons'' and inserting ``not 
     more than 60 persons''.
       (2) Subsection (b) of such section is amended--
       (A) in paragraph (2), by striking ``unless a written waiver 
     of reimbursement is granted by the Secretary of Defense'' in 
     the first sentence; and
       (B) by striking paragraph (3) and inserting the following:
       ``(3) The Secretary of Defense may waive, in whole or in 
     part, the requirement for reimbursement of the cost of 
     instruction for a cadet under paragraph (2). In the case of a 
     partial waiver, the Secretary shall establish the amount 
     waived.''.
       (b) United States Naval Academy.--(1) Subsection (a)(1) of 
     section 6957 of such title is amended by striking ``not more 
     than 40 persons'' and inserting ``not more than 60 persons''.
       (2) Subsection (b) of such section is amended--
       (A) in paragraph (2), by striking ``unless a written waiver 
     of reimbursement is granted by the Secretary of Defense'' in 
     the first sentence; and
       (B) by striking paragraph (3) and inserting the following:
       ``(3) The Secretary of Defense may waive, in whole or in 
     part, the requirement for reimbursement of the cost of 
     instruction for a midshipman under paragraph (2). In the case 
     of a partial waiver, the Secretary shall establish the amount 
     waived.''.
       (c) United States Air Force Academy.--(1) Subsection (a)(1) 
     of section 9344 of such title is amended by striking ``not 
     more than 40 persons'' and inserting ``not more than 60 
     persons''.
       (2) Subsection (b) of such section is amended--
       (A) in paragraph (2), by striking ``unless a written waiver 
     of reimbursement is granted by the Secretary of Defense'' in 
     the first sentence; and
       (B) by striking paragraph (3) and inserting the following:
       ``(3) The Secretary of Defense may waive, in whole or in 
     part, the requirement for reimbursement of the cost of 
     instruction for a cadet under paragraph (2). In the case of a 
     partial waiver, the Secretary shall establish the amount 
     waived.''.
       (d) Applicability.--The amendments made by this section 
     shall apply with respect to academic years that begin after 
     October 1, 2001.

     SEC. 537. EXPANSION OF FINANCIAL ASSISTANCE PROGRAM FOR 
                   HEALTH-CARE PROFESSIONALS IN RESERVE COMPONENTS 
                   TO INCLUDE STUDENTS IN PROGRAMS OF EDUCATION 
                   LEADING TO INITIAL DEGREE IN MEDICINE OR 
                   DENTISTRY.

       (a) Medical and Dental Student Stipend.--Section 16201 of 
     title 10, United States Code, is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following new 
     subsection (e):
       ``(e) Programs Leading to Initial Medical or Dental 
     Degree.--(1) Under the stipend program under this chapter, 
     the Secretary of the military department concerned may enter 
     into an agreement with a person who--
       ``(A) is eligible to be appointed as an officer in a 
     reserve component of the armed forces; and
       ``(B) is enrolled or has been accepted for enrollment in an 
     accredited medical or dental school in a program of education 
     and training that results in an initial degree in medicine or 
     dentistry.
       ``(2) Under the agreement--
       ``(A) the Secretary of the military department concerned 
     shall agree to pay the participant a stipend, in the amount 
     determined under subsection (f), for the period or the 
     remainder of the period that the student is satisfactorily 
     progressing toward an initial degree in medicine or dentistry 
     in a program of an accredited medical or dental school;
       ``(B) the participant shall not be eligible to receive such 
     stipend before appointment, designation, or assignment as an 
     officer for service in the Ready Reserve;
       ``(C) the participant shall be subject to such active duty 
     requirements as may be specified in the agreement and to 
     active duty in time of war or national emergency as provided 
     by law for members of the Ready Reserve; and
       ``(D) the participant shall agree--
       ``(i) to complete the program of education and training in 
     which enrolled or accepted for enrollment as described in 
     paragraph (1)(B);
       ``(ii) to accept an appointment or designation in the 
     participant's reserve component, if tendered, based upon the 
     participant's health profession, following satisfactory 
     completion of the educational and internship components of 
     the program of education and training;
       ``(iii) if required by regulations prescribed by the 
     Secretary of Defense, to apply for (if eligible) and accept 
     (if offered) residency training in a health profession skill 
     that has been designated by the Secretary of Defense as a 
     skill critically needed by the armed forces in wartime; and
       ``(iv) to serve in the Selected Reserve, upon successful 
     completion of the program, for the period of service 
     applicable under paragraph (3).
       ``(3)(A) Except as provided in subparagraph (B), the 
     minimum period for which a participant shall serve in the 
     Selected Reserve

[[Page 20057]]

     under the agreement pursuant to paragraph (2)(D)(iv) shall be 
     one year in the Selected Reserve for each six months, or part 
     thereof, for which the participant is provided a stipend 
     pursuant to the agreement.
       ``(B) If a participant referred to in subparagraph (A) 
     enters into an agreement under subsection (b) and, after 
     completing a program of education and training for which a 
     stipend was provided under this subsection, successfully 
     completes residency training in the specialty covered by the 
     agreement, the minimum period for which the participant shall 
     serve in the Selected Reserve under that agreement and the 
     agreement under this subsection shall be one year for each 
     year, or part thereof, for which a stipend was provided under 
     this chapter.''.
       (b) Amount of Stipend.--Subsection (f) of such section, as 
     redesignated by subsection (a), is amended by striking ``or 
     (c)'' and inserting ``, (c), or (e)''.
       (c) Eligibility for Assistance for Graduate Medical or 
     Dental Training.--Subsection (b) of such section is amended--
       (1) by striking ``Specialties.--'' and inserting ``Wartime 
     Specialties.--''; and
       (2) in paragraph (1)(B), by inserting ``, or has been 
     appointed,'' after ``assignment''.
       (d) Service Obligation for Stipend for Other Professional 
     Programs.--(1) Subsection (b)(2)(D) of such section by 
     striking ``agree to serve, upon successful completion of the 
     program, two years in the Ready Reserve for each year,'' and 
     inserting ``agree (subject to subsection (e)(3)(B)) to serve, 
     upon successful completion of the program, one year in the 
     Ready Reserve for each six months,''.
       (2) Subsection (c)(2)(D) of such section is amended by 
     striking ``two years in the Ready Reserve for each year,'' 
     and inserting ``one year in the Ready Reserve for each six 
     months,''.
       (e) Conforming Amendments.--(1) Subsection (a) of such 
     section is amended--
       (A) in the first sentence--
       (i) by inserting ``in health professions and'' after 
     ``qualified''; and
       (ii) by striking ``training in such'' and inserting 
     ``education and training in such professions and''; and
       (B) in the second sentence, by striking ``training in 
     certain'' and inserting ``education and training in certain 
     health professions and''.
       (2) Subsections (b)(2)(A) and (c)(2)(A) of such section are 
     amended by striking ``subsection (e)'' and inserting 
     ``subsection (f)''.

     SEC. 538. PILOT PROGRAM FOR DEPARTMENT OF VETERANS AFFAIRS 
                   SUPPORT FOR GRADUATE MEDICAL EDUCATION AND 
                   TRAINING OF MEDICAL PERSONNEL OF THE ARMED 
                   FORCES.

       (a) Requirement for Program.--The Secretary of Defense and 
     the Secretary of Veterans Affairs may jointly carry out a 
     pilot program of graduate medical education and training for 
     medical personnel of the Armed Forces.
       (b) Department of Veterans Affairs Medical Centers.--Under 
     any pilot program carried out under this section, the 
     Secretary of Defense and the Secretary of Veterans Affairs 
     shall provide for medical personnel of the Armed Forces to 
     pursue one or more programs of graduate medical education and 
     training in one or more medical centers of the Department of 
     Veterans Affairs.
       (c) Agreement.--The Secretary of Defense and the Secretary 
     of Veterans Affairs shall enter into an agreement for 
     carrying out any pilot program under this section. The 
     agreement shall provide a means for the Secretary of Defense 
     to defray the costs incurred by the Secretary of Veterans 
     Affairs in providing the graduate medical education and 
     training in, or the use of, the facility or facilities of the 
     Department of Veterans Affairs participating in the pilot 
     program.
       (d) Use of Existing Authorities.--To carry out the pilot 
     program, the Secretary of Defense and the Secretary of 
     Veterans Affairs shall exercise authorities provided to the 
     Secretaries, respectively, under other laws relating to the 
     furnishing or support of medical education and the 
     cooperative use of facilities.
       (e) Period of Program.--Any pilot program carried out under 
     this section shall begin not later than August 1, 2002, and 
     shall terminate on July 31, 2007.
       (f) Annual Report.--(1) Not later than January 31, 2003, 
     and January 31 of each year thereafter, the Secretary of 
     Defense and the Secretary of Veterans Affairs shall jointly 
     submit to Congress a report on the conduct of any pilot 
     program carried out under this section. The report shall 
     cover the preceding year and shall include the Secretaries' 
     assessment of the efficacy of providing for medical personnel 
     of the Armed Forces to pursue programs of graduate medical 
     education and training in medical centers of the Department 
     of Veterans Affairs.
       (2) The reporting requirement under this subsection shall 
     terminate upon the submittal of the report due on January 31, 
     2008.

     SEC. 539. TRANSFER OF ENTITLEMENT TO EDUCATIONAL ASSISTANCE 
                   UNDER MONTGOMERY GI BILL BY MEMBERS OF THE 
                   ARMED FORCES WITH CRITICAL MILITARY SKILLS.

       (a) Authority To Transfer to Family Members.--(1) 
     Subchapter II of chapter 30 of title 38, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 3020. Transfer of entitlement to basic educational 
       assistance: members of the Armed Forces with critical 
       military skills

       ``(a) In General.--Subject to the provisions of this 
     section, each Secretary concerned may, for the purpose of 
     enhancing recruitment and retention of members of the Armed 
     Forces with critical military skills and at such Secretary's 
     sole discretion, permit an individual described in subsection 
     (b) who is entitled to basic educational assistance under 
     this subchapter to elect to transfer, in whole or in part, up 
     to 18 months of such individual's entitlement to such 
     assistance to the dependents specified in subsection (c).
       ``(b) Eligible Individuals.--An individual referred to in 
     subsection (a) is any member of the Armed Forces who, at the 
     time of the approval by the Secretary concerned of the 
     member's request to transfer entitlement to basic educational 
     assistance under this section--
       ``(1) has completed six years of service in the Armed 
     Forces;
       ``(2) either--
       ``(A) has a critical military skill designated by the 
     Secretary concerned for purposes of this section; or
       ``(B) is in a military specialty designated by the 
     Secretary concerned for purposes of this section as requiring 
     critical military skills; and
       ``(3) enters into an agreement to serve at least four more 
     years as a member of the Armed Forces.
       ``(c) Eligible Dependents.--An individual approved to 
     transfer an entitlement to basic educational assistance under 
     this section may transfer the individual's entitlement as 
     follows:
       ``(1) To the individual's spouse.
       ``(2) To one or more of the individual's children.
       ``(3) To a combination of the individuals referred to in 
     paragraphs (1) and (2).
       ``(d) Limitation on Months of Transfer.--The total number 
     of months of entitlement transferred by an individual under 
     this section may not exceed 18 months.
       ``(e) Designation of Transferee.--An individual 
     transferring an entitlement to basic educational assistance 
     under this section shall--
       ``(1) designate the dependent or dependents to whom such 
     entitlement is being transferred and the percentage of such 
     entitlement to be transferred to each such dependent; and
       ``(2) specify the period for which the transfer shall be 
     effective for each dependent designated under paragraph (1).
       ``(f) Time for Transfer; Revocation and Modification.--(1) 
     Subject to the time limitation for use of entitlement under 
     section 3031 of this title, an individual approved to 
     transfer entitlement to basic educational assistance under 
     this section may transfer such entitlement at any time after 
     the approval of individual's request to transfer such 
     entitlement without regard to whether the individual is a 
     member of the Armed Forces when the transfer is executed.
       ``(2)(A) An individual transferring entitlement under this 
     section may modify or revoke at any time the transfer of any 
     unused portion of the entitlement so transferred.
       ``(B) The modification or revocation of the transfer of 
     entitlement under this paragraph shall be made by the 
     submittal of written notice of the action to both the 
     Secretary concerned and the Secretary of Veterans Affairs.
       ``(g) Commencement of Use.--A dependent to whom entitlement 
     to basic educational assistance is transferred under this 
     section may not commence the use of the transferred 
     entitlement until the following:
       ``(1) In the case of entitlement transferred to a spouse, 
     the completion by the individual making the transfer of 6 
     years of service in the Armed Forces.
       ``(2) In the case of entitlement transferred to a child, 
     both--
       ``(A) the completion by the individual making the transfer 
     of 10 years of service in the Armed Forces; and
       ``(B) either--
       ``(i) the completion by the child of the requirements of a 
     secondary school diploma (or equivalency certificate); or
       ``(ii) the attainment by the child of 18 years of age.
       ``(h) Additional Administrative Matters.--(1) The use of 
     any entitlement to basic educational assistance transferred 
     under this section shall be charged against the entitlement 
     of the individual making the transfer at the rate of one 
     month for each month of transferred entitlement that is used.
       ``(2) Except as provided under subsection (e)(2) and 
     subject to paragraphs (4) and (5), a dependent to whom 
     entitlement is transferred under this section is entitled to 
     basic educational assistance under this subchapter in the 
     same manner and at the same rate as the individual from whom 
     the entitlement was transferred.
       ``(3) The death of an individual transferring an 
     entitlement under this section shall not affect the use of 
     the entitlement by the individual to whom the entitlement is 
     transferred.
       ``(4) Notwithstanding section 3031 of this title, a child 
     to whom entitlement is transferred under this section may not 
     use any

[[Page 20058]]

     entitlement so transferred after attaining the age of 26 
     years.
       ``(5) The administrative provisions of this chapter 
     (including the provisions set forth in section 3034(a)(1) of 
     this title) shall apply to the use of entitlement transferred 
     under this section, except that the dependent to whom the 
     entitlement is transferred shall be treated as the eligible 
     veteran for purposes of such provisions.
       ``(6) The purposes for which a dependent to whom 
     entitlement is transferred under this section may use such 
     entitlement shall include the pursuit and completion of the 
     requirements of a secondary school diploma (or equivalency 
     certificate).
       ``(i) Overpayment.--(1) In the event of an overpayment of 
     basic educational assistance with respect to a dependent to 
     whom entitlement is transferred under this section, the 
     dependent and the individual making the transfer shall be 
     jointly and severally liable to the United States for the 
     amount of the overpayment for purposes of section 3685 of 
     this title.
       ``(2) Except as provided in paragraph (3), if an individual 
     transferring entitlement under this section fails to complete 
     the service agreed to by the individual under subsection 
     (b)(3) in accordance with the terms of the agreement of the 
     individual under that subsection, the amount of any 
     transferred entitlement under this section that is used by a 
     dependent of the individual as of the date of such failure 
     shall be treated as an overpayment of basic educational 
     assistance under paragraph (1).
       ``(3) Paragraph (2) shall not apply in the case of an 
     individual who fails to complete service agreed to by the 
     individual--
       ``(A) by reason of the death of the individual; or
       ``(B) for a reason referred to in section 
     3011(a)(1)(A)(ii)(I) of this title.
       ``(j) Approvals of Transfer Subject to Availability of 
     Appropriations.--The Secretary concerned may approve 
     transfers of entitlement to basic educational assistance 
     under this section in a fiscal year only to the extent that 
     appropriations for military personnel are available in the 
     fiscal year for purposes of making deposits in the Department 
     of Defense Education Benefits Fund under section 2006 of 
     title 10 in the fiscal year to cover the present value of 
     future benefits payable from the Fund for the Department of 
     Defense portion of payments of basic educational assistance 
     attributable to increased usage of benefits as a result of 
     such transfers of entitlement in the fiscal year.
       ``(k) Regulations.--The Secretary of Defense shall 
     prescribe regulations for purposes of this section. Such 
     regulations shall specify the manner and effect of an 
     election to modify or revoke a transfer of entitlement under 
     subsection (f)(2), and shall specify the manner of the 
     applicability of the administrative provisions referred to in 
     subsection (h)(5) to a dependent to whom entitlement is 
     transferred under this section.
       ``(l) Annual Reports.--(1) Not later than January 31, 2003, 
     and each year thereafter, each Secretary concerned shall 
     submit to the Committees on Armed Services of the Senate and 
     House of Representatives a report on the transfers of 
     entitlement to basic educational assistance under this 
     section that were approved by such Secretary during the 
     preceding year.
       ``(2) Each report shall set forth--
       ``(A) the number of transfers of entitlement under this 
     section that were approved by such Secretary during the 
     preceding year; or
       ``(B) if no transfers of entitlement under this section 
     were approved by such Secretary during that year, a 
     justification for such Secretary's decision not to approve 
     any such transfers of entitlement during that year.
       ``(m) Secretary Concerned Defined.--Notwithstanding section 
     101(25) of this title, in this section, the term `Secretary 
     concerned' means--
       ``(1) the Secretary of the Army with respect to matters 
     concerning the Army;
       ``(2) the Secretary of the Navy with respect to matters 
     concerning the Navy or the Marine Corps;
       ``(3) the Secretary of the Air Force with respect to 
     matters concerning the Air Force; and
       ``(4) the Secretary of the Defense with respect to matters 
     concerning the Coast Guard, or the Secretary of 
     Transportation when it is not operating as a service in the 
     Navy.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     3019 the following new item:

``3020. Transfer of entitlement to basic educational assistance: 
              members of the Armed Forces with critical military 
              skills.''.
       (b) Treatment Under Department of Defense Education 
     Benefits Fund.--Section 2006(b)(2) of title 10, United States 
     Code, is amended by adding at the end the following:
       ``(D) The present value of future benefits payable from the 
     Fund for the Department of Defense portion of payments of 
     educational assistance under subchapter II of chapter 30 of 
     title 38 attributable to increased usage of benefits as a 
     result of transfers of entitlement to basic educational 
     assistance under section 3020 of that title during such 
     period.''.
       (c) Plan for Implementation.--Not later than June 30, 2002, 
     the Secretary of Defense shall submit to Congress a report 
     describing the manner in which the Secretaries of the 
     military departments and the Secretary of Transportation 
     propose to exercise the authority granted by section 3020 of 
     title 38, United States Code, as added by subsection (a). The 
     report shall include the regulations prescribed under 
     subsection (k) of that section for purposes of the exercise 
     of the authority.
       (d) Funding for Fiscal Year 2002.--Of the amount authorized 
     to be appropriated to the Department of Defense for military 
     personnel for fiscal year 2002 by section 421, $30,000,000 
     may be available in fiscal year 2002 for deposit into the 
     Department of Defense Education Benefits Fund under section 
     2006 of title 10, United States Code, for purposes of 
     covering payments of amounts under subparagraph (D) of 
     section 2006(b)(2) of title 10, United States Code (as added 
     by subsection (b)), as a result of transfers of entitlement 
     to basic educational assistance under section 3020 of title 
     38, United States Code (as added by subsection (a)).

     SEC. 540. PARTICIPATION OF REGULAR MEMBERS OF THE ARMED 
                   FORCES IN THE SENIOR RESERVE OFFICERS' TRAINING 
                   CORPS.

       (a) Eligibility.--Section 2104(b)(3) of title 10, United 
     States Code, is amended by inserting ``the regular component 
     or'' after ``enlist in''.
       (b) Pay Rate While on Field Training or Practice Cruise.--
     Section 209(c) of title 37, United States Code, is amended by 
     inserting before the period at the end the following: ``, 
     except that the rate for a cadet or midshipmen who is a 
     member of the regular component of an armed force shall be 
     the rate of basic pay applicable to the member under section 
     203 of this title''.
       (c) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

           Subtitle D--Decorations, Awards, and Commendations

     SEC. 551. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO 
                   HUMBERT R. VERSACE FOR VALOR DURING THE VIETNAM 
                   WAR.

       (a) Waiver of Time Limitations.--Notwithstanding the time 
     limitations specified in section 3744 of title 10, United 
     States Code, or any other time limitation with respect to the 
     awarding of certain medals to persons who served in the 
     military service, the President may award the Medal of Honor 
     under section 3741 of that title to Humbert R. Versace for 
     the acts of valor referred to in subsection (b).
       (b) Action Described.--The acts of valor referred to in 
     subsection (a) are the actions of Humbert R. Versace between 
     October 29, 1963, and September 26, 1965, while interned as a 
     prisoner of war by the Vietnamese Communist National 
     Liberation Front (Viet Cong) in the Republic of Vietnam.

     SEC. 552. REVIEW REGARDING AWARD OF MEDAL OF HONOR TO CERTAIN 
                   JEWISH AMERICAN WAR VETERANS.

       (a) Review Required.--The Secretary of each military 
     department shall review the service records of each Jewish 
     American war veteran described in subsection (b) to determine 
     whether or not that veteran should be awarded the Medal of 
     Honor.
       (b) Covered Jewish American War Veterans.--The Jewish 
     American war veterans whose service records are to be 
     reviewed under subsection (a) are the following:
       (1) Any Jewish American war veteran who was previously 
     awarded the Distinguished Service Cross, the Navy Cross, or 
     the Air Force Cross.
       (2) Any other Jewish American war veteran whose name is 
     submitted to the Secretary concerned for such purpose by the 
     Jewish War Veterans of the United States of America before 
     the end of the one-year period beginning on the date of the 
     enactment of this Act.
       (c) Consultations.--In carrying out the review under 
     subsection (a), the Secretary of each military department 
     shall consult with the Jewish War Veterans of the United 
     States of America and with such other veterans service 
     organizations as the Secretary considers appropriate.
       (d) Recommendation Based on Review.--If the Secretary 
     concerned determines, based upon the review under subsection 
     (a) of the service records of any Jewish American war 
     veteran, that the award of the Medal of Honor to that veteran 
     is warranted, the Secretary shall submit to the President a 
     recommendation that the President award the Medal of Honor to 
     that veteran.
       (e) Authority To Award Medal of Honor.--A Medal of Honor 
     may be awarded to a Jewish American war veteran in accordance 
     with a recommendation of the Secretary concerned under 
     subsection (d).
       (f) Waiver of Time Limitations.--An award of the Medal of 
     Honor may be made under subsection (e) without regard to--
       (1) section 3744, 6248, or 8744 of title 10, United States 
     Code, as applicable; and
       (2) any regulation or other administrative restriction on--
       (A) the time for awarding the Medal of Honor; or
       (B) the awarding of the Medal of Honor for service for 
     which a Distinguished Service

[[Page 20059]]

     Cross, Navy Cross, Air Force Cross, or any other decoration 
     has been awarded.
       (g) Jewish American War Veteran Defined.--In this section, 
     the term ``Jewish American war veteran'' means any person who 
     served in the Armed Forces during World War II or a later 
     period of war and who identified himself or herself as Jewish 
     on his or her military personnel records.

     SEC. 553. ISSUANCE OF DUPLICATE AND REPLACEMENT MEDALS OF 
                   HONOR.

       (a) Army.--(1)(A) Chapter 357 of title 10, United States 
     Code, is amended by inserting after section 3747 the 
     following new section:

     ``Sec. 3747a. Medal of honor: issuance of duplicate

       ``(a) Issuance.--Upon written application by a person to 
     whom a medal of honor has been awarded under this chapter, 
     the Secretary of the Army may issue to the person one 
     duplicate medal of honor, with ribbons and appurtenances. No 
     charge may be imposed for the issuance of the duplicate 
     medal.
       ``(b) Special Marking.--A duplicate medal of honor issued 
     under this section shall be marked as a duplicate or for 
     display purposes only. The Secretary shall prescribe the 
     manner in which the duplicate medal is marked.
       ``(c) Issuance Not To Be Considered Additional Award.--The 
     issuance of a duplicate medal of honor under of this section 
     may not be considered an award of more than one medal of 
     honor prohibited by section 3744(a) of this title.''.
       (B) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     3747 the following:

``3747a. Medal of honor: issuance of duplicate.''.
       (2) Section 3747 of title 10, United States Code, is 
     amended by striking ``lost'' and inserting ``stolen, lost,''.
       (b) Navy and Marine Corps.--(1)(A) Chapter 567 of such 
     title is amended by inserting after section 6253 the 
     following new section:

     ``Sec. 6253a. Medal of honor: issuance of duplicate

       ``(a) Issuance.--Upon written application by a person to 
     whom a medal of honor has been awarded under this chapter, 
     the Secretary of the Navy may issue to the person one 
     duplicate medal of honor, with ribbons and appurtenances. No 
     charge may be imposed for the issuance of the duplicate 
     medal.
       ``(b) Special Marking.--A duplicate medal of honor issued 
     under this section shall be marked as a duplicate or for 
     display purposes only. The Secretary shall prescribe the 
     manner in which the duplicate medal is marked.
       ``(c) Issuance Not To Be Considered Additional Award.--The 
     issuance of a duplicate medal of honor under this section may 
     not be considered an award of more than one medal of honor 
     prohibited by section 6247 of this title.''.
       (B) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     6253 the following:

``6253a. Medal of honor: issuance of duplicate.''.
       (2) Section 6253 of title 10, United States Code, is 
     amended by striking ``lost'' and inserting ``stolen, lost,''.
       (c) Air Force.--(1)(A) Chapter 857 of such title is amended 
     by inserting after section 8747 the following new section:

     ``Sec. 8747a. Medal of honor: issuance of duplicate

       ``(a) Issuance.--Upon written application by a person to 
     whom a medal of honor has been awarded under this chapter, 
     the Secretary of the Air Force may issue to the person one 
     duplicate medal of honor, with ribbons and appurtenances. No 
     charge may be imposed for the issuance of the duplicate 
     medal.
       ``(b) Special Marking.--A duplicate medal of honor issued 
     under this section shall be marked as a duplicate or for 
     display purposes only. The Secretary shall prescribe the 
     manner in which the duplicate medal is marked.
       ``(c) Issuance Not To Be Considered Additional Award.--The 
     issuance of a duplicate medal of honor under this section may 
     not be considered an award of more than one medal of honor 
     prohibited by section 8744(a) of this title.''.
       (B) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     8747 the following:

``8747a. Medal of honor: issuance of duplicate.''.
       (2) Section 8747 of title 10, United States Code, is 
     amended by striking ``lost'' and inserting ``stolen, lost,''.

     SEC. 554. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN 
                   DECORATIONS TO CERTAIN PERSONS.

       (a) Waiver.--Any limitation established by law or policy 
     for the time within which a recommendation for the award of a 
     military decoration or award must be submitted shall not 
     apply to awards of decorations described in this section, the 
     award of each such decoration having been determined by the 
     Secretary concerned to be warranted in accordance with 
     section 1130 of title 10, United States Code.
       (b) Silver Star.--Subsection (a) applies to the award of 
     the Silver Star to Wayne T. Alderson, of Glassport, 
     Pennsylvania, for gallantry in action from March 15 to March 
     18, 1945, while serving as a member of the Army.
       (c) Distinguished Flying Cross.--Subsection (a) applies to 
     the award of the Distinguished Flying Cross for service 
     during World War II (including multiple awards to the same 
     individual) in the case of each individual concerning whom 
     the Secretary of the Navy (or an officer of the Navy acting 
     on behalf of the Secretary) submitted to the Committee on 
     Armed Services of the House of Representatives and the 
     Committee on Armed Services of the Senate, during the period 
     beginning on October 30, 2000, and ending on the day before 
     the date of the enactment of this Act, a notice as provided 
     in section 1130(b) of title 10, United States Code, that the 
     award of the Distinguished Flying Cross to that individual is 
     warranted and that a waiver of time restrictions prescribed 
     by law for recommendation for such award is recommended.

     SEC. 555. SENSE OF SENATE ON ISSUANCE OF KOREA DEFENSE 
                   SERVICE MEDAL.

       It is the sense of the Senate that the Secretary of Defense 
     should consider authorizing the issuance of a campaign medal, 
     to be known as the Korea Defense Service Medal, to each 
     person who while a member of the Armed Forces served in the 
     Republic of Korea, or the waters adjacent thereto, during the 
     period beginning on July 28, 1954, and ending on such date 
     after that date as the Secretary considers appropriate.

     SEC. 556. RETROACTIVE MEDAL OF HONOR SPECIAL PENSION.

       (a) Entitlement.--Notwithstanding any other provision of 
     law, Robert R. Ingram of Jacksonville, Florida, who was 
     awarded the Medal of Honor pursuant to Public Law 105-103 
     (111 Stat. 2218), shall be entitled to the special pension 
     provided for under section 1562 of title 38, United States 
     Code (and antecedent provisions of law), for months that 
     begin after March 1966.
       (b) Amount.--The amount of special pension payable under 
     subsection (a) for a month beginning before the date of the 
     enactment of this Act shall be the amount of special pension 
     provided for by law for that month for persons entered and 
     recorded in the Army, Navy, Air Force, and Coast Guard Medal 
     of Honor Roll (or antecedent Medal of Honor Roll required by 
     law).

                    Subtitle E--Funeral Honors Duty

     SEC. 561. ACTIVE DUTY END STRENGTH EXCLUSION FOR RESERVES ON 
                   ACTIVE DUTY OR FULL-TIME NATIONAL GUARD DUTY 
                   FOR FUNERAL HONORS DUTY.

       Section 115(d) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(10) Members of reserve components on active duty or 
     full-time National Guard duty to prepare for and to perform 
     funeral honors functions under section 1491 of this title.''.

     SEC. 562. PARTICIPATION OF RETIREES IN FUNERAL HONORS 
                   DETAILS.

       (a) Authority.--(1) Subsection (b)(2) of section 1491 of 
     title 10, United States Code, is amended by inserting ``, 
     members or former members of the armed forces in a retired 
     status,'' in the second sentence after ``members of the armed 
     forces''.
       (2) Subsection (h) of such section is amended to read as 
     follows:
       ``(h) Definitions.--In this section:
       ``(1) The term `retired status', with respect to a member 
     or former member of the armed forces, means that the member 
     or former member--
       ``(A) is on a retired list of an armed force;
       ``(B) is entitled to receive retired or retainer pay; or
       ``(C) except for not having attained 60 years of age, would 
     be entitled to receive retired pay upon application under 
     chapter 1223 of this title.
       ``(2) The term `veteran' means a decedent who--
       ``(A) served in the active military, naval, or air service 
     (as defined in section 101(24) of title 38) and who was 
     discharged or released therefrom under conditions other than 
     dishonorable; or
       ``(B) was a member or former member of the Selected Reserve 
     described in section 2301(f) of title 38.''.
       (b) Funeral Honors Duty Allowance.--Section 435(a) of title 
     37, United States Code, is amended--
       (1) by inserting ``(1)'' after ``(a) Allowance 
     Authorized.--''; and
       (2) by adding at the end the following new paragraph:
       ``(2)(A) The Secretary concerned may authorize payment of 
     an allowance to a member or former member of the armed forces 
     in a retired status (as defined in section 1491(h) of title 
     10) for participating as a member of a funeral honors detail 
     under section 1491 of title 10 for a period of at least two 
     hours, including time for preparation.
       ``(B) An allowance paid to a member or former member under 
     subparagraph (A) shall be in addition to any retired or 
     retainer pay or other compensation to which the member or 
     former member is entitled under this title or title 10 or 
     38.''.

     SEC. 563. BENEFITS AND PROTECTIONS FOR MEMBERS IN A FUNERAL 
                   HONORS DUTY STATUS.

       (a) Funeral Honors Duty Defined.--Section 101(d) of title 
     10, United States Code, is

[[Page 20060]]

     amended by adding at the end the following new paragraph:
       ``(8) The term `funeral honors duty' means duty under 
     section 12503 of this title or section 115 of title 32.''.
       (b) Applicability of Uniform Code of Military Justice.--
     Section 802 of title 10, United States Code, is amended--
       (1) in subsection (a)(3), by inserting ``or engaged in 
     funeral honors duty'' after ``on inactive-duty training''; 
     and
       (2) in subsection (d)(2)(B), by inserting ``or engaged in 
     funeral honors duty'' after ``on inactive-duty training''.
       (c) Commissary Stores Privileges for Dependents of a 
     Deceased Reserve Component Member.--Section 1061(b) of such 
     title is amended--
       (1) in paragraph (1)--
       (A) by striking ``or'' the first place it appears; and
       (B) by inserting ``, or funeral honors duty'' before the 
     semicolon; and
       (2) in paragraph (2)--
       (A) by striking ``or'' the third place it appears; and
       (B) by inserting ``, or funeral honors duty'' before the 
     period.
       (d) Payment of a Death Gratuity.--(1) Section 1475(a) of 
     such title is amended--
       (A) in paragraph (2), by inserting ``or while engaged in 
     funeral honors duty'' after ``Public Health Service)''; and
       (B) in paragraph (3)--
       (i) by striking ``or inactive duty training'' the first 
     place it appears and inserting ``inactive-duty training'';
       (ii) by inserting ``or funeral honors duty,'' after 
     ``Public Health Service),''; and
       (iii) by striking ``or inactive duty training'' the second 
     place it appears and inserting ``, inactive-duty training, or 
     funeral honors duty''.
       (2) Section 1476(a) of such title is amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``or'';
       (ii) in subparagraph (B), by striking the period at the end 
     and inserting ``; or''; and
       (iii) by adding at the end the following new subparagraph:
       ``(C) funeral honors duty.''; and
       (B) in paragraph (2)(A), by striking ``or inactive-duty 
     training'' and inserting ``, inactive-duty training, or 
     funeral honors duty''.
       (e) Military Authority for Members of the Coast Guard 
     Reserve.--(1) Section 704 of title 14, United States Code, is 
     amended by striking ``or inactive-duty training'' in the 
     second sentence and inserting ``, inactive-duty training, or 
     funeral honors duty''.
       (2) Section 705(a) of such title is amended by inserting 
     ``on funeral honors duty,'' after ``on inactive-duty 
     training,''.
       (f) Veterans Benefits.--Section 101(24) of title 38, United 
     States Code, is amended--
       (1) by striking ``and'' at the end of subparagraph (B);
       (2) by striking the period at the end of subparagraph 
     (C)(ii) and inserting ``; and''; and
       (3) by adding at the end the following new subparagraph 
     (D):
       ``(D) any period of funeral honors duty (as defined in 
     section 101(d) of title 10) during which the individual 
     concerned was disabled or died from an injury incurred or 
     aggravated in line of duty.''.
       (g) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

     SEC. 564. MILITARY LEAVE FOR CIVILIAN EMPLOYEES SERVING AS 
                   MILITARY MEMBERS OF FUNERAL HONORS DETAIL.

       Section 6323(a) of title 5, United States Code, is 
     amended--
       (1) in the first sentence of paragraph (1), by striking 
     ``active duty, inactive duty training'' and all that follows 
     through ``National Guard'' and inserting ``military duty or 
     training described in paragraph (4)''; and
       (2) by adding at the end the following new paragraph:
       ``(4) The entitlement under paragraph (1) applies to the 
     performance of duty or training as a Reserve of the armed 
     forces or member of the National Guard, as follows:
       ``(A) Active duty.
       ``(B) Inactive duty training (as defined in section 101 of 
     title 37).
       ``(C) Field or coast defense training under sections 502 
     through 505 of title 32.
       ``(D) Funeral honors duty under section 12503 of title 10 
     or section 115 of title 32.''.

             Subtitle F--Uniformed Services Overseas Voting

     SEC. 571. SENSE OF THE SENATE REGARDING THE IMPORTANCE OF 
                   VOTING BY MEMBERS OF THE UNIFORMED SERVICES.

       (a) Sense of the Senate.--It is the sense of the Senate 
     that each administrator of a Federal, State, or local 
     election should--
       (1) be aware of the importance of the ability of each 
     uniformed services voter to exercise their right to vote; and
       (2) perform their duties with the intent to ensure that--
       (A) each uniformed services voter receives the utmost 
     consideration and cooperation when voting;
       (B) each valid ballot cast by such a voter is duly counted; 
     and
       (C) all eligible American voters, regardless of race, 
     ethnicity, disability, the language they speak, or the 
     resources of the community in which they live should have an 
     equal opportunity to cast a vote and have that vote counted.
       (b) Uniformed Services Voter Defined.--In this section, the 
     term ``uniformed services voter'' means--
       (1) a member of a uniformed service (as defined in section 
     101(a)(5) of title 10, United States Code) in active service;
       (2) a member of the merchant marine (as defined in section 
     107 of the Uniformed and Overseas Citizens Absentee Voting 
     Act (42 U.S.C. 1973ff-6)); and
       (3) a spouse or dependent of a member referred to in 
     subparagraph (A) or (B) who is qualified to vote.

     SEC. 572. STANDARD FOR INVALIDATION OF BALLOTS CAST BY ABSENT 
                   UNIFORMED SERVICES VOTERS IN FEDERAL ELECTIONS.

       (a) In General.--Section 102 of the Uniformed and Overseas 
     Citizens Absentee Voting Act (42 U.S.C. 1973ff-1) is 
     amended--
       (1) by striking ``Each State'' and inserting ``(a) In 
     General.--Each State''; and
       (2) by adding at the end the following:
       ``(c) Standards for Invalidation of Certain Ballots.--
       ``(1) In general.--A State may not refuse to count a ballot 
     submitted in an election for Federal office by an absent 
     uniformed services voter solely--
       ``(A) on the grounds that the ballot lacked a notarized 
     witness signature, an address, other than on a Federal write-
     in absentee ballot (SF186) or a postmark: Provided, That 
     there are other indicia that the vote was cast in a timely 
     manner; or
       ``(B) on the basis of a comparison of signatures on 
     ballots, envelopes, or registration forms unless there is a 
     lack of reasonable similarity between the signatures.
       ``(2) No effect on filing deadlines under state law.--
     Nothing in this subsection may be construed to affect the 
     application to ballots submitted by absent uniformed services 
     voters of any ballot submission deadline applicable under 
     State law.''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall apply with respect to ballots described in section 
     102(c) of the Uniformed and Overseas Citizens Absentee Voting 
     Act (as added by such subsection) that are submitted with 
     respect to elections that occur after the date of enactment 
     of this Act.

     SEC. 573. GUARANTEE OF RESIDENCY FOR MILITARY PERSONNEL.

       Article VII of the Soldiers' and Sailors' Civil Relief Act 
     of 1940 (50 U.S.C. App. 590 et seq.) is amended by adding at 
     the end the following:
       ``Sec. 704. (a) For purposes of voting for any Federal 
     office (as defined in section 301 of the Federal Election 
     Campaign Act of 1971 (2 U.S.C. 431)) or a State or local 
     office, a person who is absent from a State in compliance 
     with military or naval orders shall not, solely by reason of 
     that absence--
       ``(1) be deemed to have lost a residence or domicile in 
     that State, without regard to whether or not the person 
     intends to return to that State;
       ``(2) be deemed to have acquired a residence or domicile in 
     any other State; or
       ``(3) be deemed to have become a resident in or a resident 
     of any other State.
       ``(b) In this section, the term `State' includes a 
     territory or possession of the United States, a political 
     subdivision of a State, territory, or possession, and the 
     District of Columbia.''.

     SEC. 574. EXTENSION OF REGISTRATION AND BALLOTING RIGHTS FOR 
                   ABSENT UNIFORMED SERVICES VOTERS TO STATE AND 
                   LOCAL ELECTIONS.

       (a) In General.--Section 102 of the Uniformed and Overseas 
     Citizens Absentee Voting Act (42 U.S.C. 1973ff-1), as amended 
     by section 572(a)(1), is further amended by inserting after 
     subsection (a) the following new subsection:
       ``(b) Elections for State and Local Offices.--Each State 
     shall--
       ``(1) permit absent uniformed services voters to use 
     absentee registration procedures and vote by absentee ballot 
     in general, special, primary, and runoff elections for State 
     and local offices; and
       ``(2) accept and process, with respect to any election 
     described in paragraph (1), any otherwise valid voter 
     registration application from an absent uniformed services 
     voter if the application is received by the appropriate State 
     election official not less than 30 days before the date of 
     the election.''.
       (b) Conforming Amendment.--The heading for title I of such 
     Act is amended by striking ``FOR FEDERAL OFFICE''.

     SEC. 575. USE OF SINGLE APPLICATION AS A SIMULTANEOUS 
                   ABSENTEE VOTER REGISTRATION APPLICATION AND 
                   ABSENTEE BALLOT APPLICATION.

       Subsection (a) of section 102 of the Uniformed and Overseas 
     Citizens Absentee Voting Act (42 U.S.C. 1973ff-1), as 
     redesignated by section 572(a)(1), is amended--
       (1) by striking ``and'' at the end of paragraph (2);
       (2) by striking the period at the end of paragraph (3) and 
     inserting a semicolon; and
       (3) by inserting after paragraph (3) the following new 
     paragraph (4):
       ``(4) accept and process the official post card form 
     (prescribed under section 101) as a simultaneous absentee 
     voter registration application and absentee ballot 
     application; and''.

[[Page 20061]]



     SEC. 576. USE OF SINGLE APPLICATION FOR ABSENTEE BALLOTS FOR 
                   ALL FEDERAL ELECTIONS.

       Subsection (a) of section 102 of the Uniformed and Overseas 
     Citizens Absentee Voting Act (42 U.S.C. 1973ff-1), as amended 
     by section 575, is further amended by inserting after 
     paragraph (4) the following new paragraph (5):
       ``(5) accept and process, with respect to all general, 
     special, primary, and runoff elections for Federal office 
     occurring during a year, any otherwise valid absentee ballot 
     application from an absent uniformed services voter or 
     overseas voter if a single application for any such election 
     is received by the appropriate State election official not 
     less than 30 days before the first election for Federal 
     office occurring during the year.''.

     SEC. 577. ELECTRONIC VOTING DEMONSTRATION PROJECT.

       (a) Establishment of demonstration project.--
       (1) In general.--Subject to paragraph (2), the Secretary of 
     Defense shall carry out a demonstration project under which 
     absent uniformed services voters (as defined in section 
     107(1) of the Uniformed and Overseas Citizens Absentee Voting 
     Act (42 U.S.C. 1973ff-6(1))) are permitted to cast ballots in 
     the regularly scheduled general election for Federal office 
     for November 2002, through an electronic voting system.
       (2) Authority to delay implementation.--If the Secretary of 
     Defense determines that the implementation of the 
     demonstration project under paragraph (1) with respect to the 
     regularly scheduled general election for Federal office for 
     November 2002 may adversely affect the national security of 
     the United States, the Secretary may delay the implementation 
     of such demonstration project until the regularly scheduled 
     general election for Federal office for November 2004. The 
     Secretary shall notify the Armed Services Committees of the 
     Senate and the House of Representatives of any decision to 
     delay implementation of the demonstration project.
       (b) Coordination With State Election Officials.--To the 
     greatest extent practicable, the Secretary of Defense shall 
     carry out the demonstration project under this section 
     through cooperative agreements with State election officials.
       (c) Report to Congress.--Not later than June 1, 2003, the 
     Secretary of Defense shall submit a report to Congress 
     analyzing the demonstration project conducted under this 
     section, and shall include in the report any recommendations 
     the Secretary of Defense considers appropriate for continuing 
     the project on an expanded basis for absent uniformed 
     services voters during the next regularly scheduled general 
     election for Federal office.

     SEC. 578. FEDERAL VOTING ASSISTANCE PROGRAM.

       (a) In General.--The Secretary of Defense shall promulgate 
     regulations to require each of the Armed Forces to ensure 
     their compliance with any directives issued by the Secretary 
     of Defense in implementing the Federal Voting Assistance 
     Program (referred to in this section as the ``Program'') or 
     any similar program.
       (b) Review and Report.--(1) The Inspector General of each 
     of the Armed Forces shall--
       (A) conduct an annual review of the effectiveness of the 
     Program or any similar program;
       (B) conduct an annual review of the compliance with the 
     Program or any similar program of the branch; and
       (C) submit an annual report to the Inspector General of the 
     Department of Defense on the results of the reviews under 
     subparagraphs (A) and (B).
       (2) Not later than March 31, 2003, and annually thereafter, 
     the Inspector General of the Department of Defense shall 
     submit a report to Congress on--
       (A) the effectiveness of the Program or any similar 
     program; and
       (B) the level of compliance with the Program or any similar 
     program of the branches of the Armed Forces.

     SEC. 579. MAXIMIZATION OF ACCESS OF RECENTLY SEPARATED 
                   UNIFORMED SERVICES VOTERS TO THE POLLS.

       (a) Absentee Registration.--For purposes of voting in any 
     primary, special, general, or runoff election for Federal 
     office (as defined in section 301 of the Federal Election 
     Campaign Act of 1971 (2 U.S.C. 431)), each State shall, with 
     respect to any uniformed services voter (as defined in 
     section 571(b)) requesting to vote in the State accept and 
     process, with respect to any primary, special, general, or 
     runoff election, any otherwise valid voter registration 
     application submitted by such voter.
       (b) Voting by Recently Separated Uniformed Services 
     Voters.--Each State shall permit each recently separated 
     uniformed services voter to vote in any election for which a 
     voter registration application has been accepted and 
     processed under subsection (a) if that voter--
       (1) has registered to vote under such subsection; and
       (2) is eligible to vote in that election under State law.
       (c) Definitions.--In this section:
       (1) The term ``State'' means a State of the United States, 
     the District of Columbia, the Commonwealth of Puerto Rico, or 
     a territory or possession of the United States.
       (2) The term ``recently separated uniformed services 
     voter'' means any individual who was a uniformed services 
     voter (as defined in section 571(b)) on the date that is 60 
     days before the date on which the individual seeks to vote 
     and who--
       (A) presents to the election official Department of Defense 
     form 214 evidencing their former status as such a voter, or 
     any other official proof of such status; and
       (B) is no longer such a voter; and
       (C) is otherwise qualified to vote.

     SEC. 580. GOVERNORS' REPORTS ON IMPLEMENTATION OF FEDERAL 
                   VOTING ASSISTANCE PROGRAM RECOMMENDATIONS.

       (a) Reports.--Not later than 90 days after the date on 
     which a State receives a legislative recommendation, the 
     State shall submit a report on the status of the 
     implementation of that recommendation to the Presidential 
     designee and to each Member of Congress that represents that 
     State.
       (b) Period of Applicability.--This section applies with 
     respect to legislative recommendations received by States 
     during the period beginning on the date of enactment of this 
     Act and ending three years after such date.
       (c) Definitions.--In this section:
       (1) The term ``legislative recommendation'' means a 
     recommendation of the Presidential designee suggesting a 
     modification in the laws of a State for the purpose of 
     maximizing the access to the polls of absent uniformed 
     services voters and overseas voters, including each 
     recommendation made under section 104 of the Uniformed and 
     Overseas Citizens Absentee Voting Act (42 U.S.C. 1973ff-3).
       (2) The term ``Presidential designee'' means the head of 
     the executive department designated under section 101 of the 
     Uniformed and Overseas Citizens Absentee Voting Act (42 
     U.S.C. 1973ff).

                       Subtitle G--Other Matters

     SEC. 581. PERSONS AUTHORIZED TO BE INCLUDED IN SURVEYS OF 
                   MILITARY FAMILIES REGARDING FEDERAL PROGRAMS.

       (a) Addition of Certain Family Members and Survivors.--
     Subsection (a) of section 1782 of title 10, United States 
     Code, is amended to read as follows:
       ``(a) Authority.--The Secretary of Defense may conduct 
     surveys of persons to determine the effectiveness of Federal 
     programs relating to military families and the need for new 
     programs, as follows:
       ``(1) Members of the armed forces on active duty or in an 
     active status.
       ``(2) Retired members of the armed forces.
       ``(3) Members of the families of such members and retired 
     members of the armed forces (including surviving members of 
     the families of deceased members and deceased retired 
     members).''.
       (b) Federal Recordkeeping Requirements.--Subsection (c) of 
     such section is amended to read as follows:
       ``(c) Federal Recordkeeping Requirements.--With respect to 
     a survey authorized under subsection (a) that includes a 
     person referred to in that subsection who is not an employee 
     of the United States or is not considered an employee of the 
     United States for the purposes of section 3502(3)(A)(i) of 
     title 44, the person shall be considered as being an employee 
     of the United States for the purposes of that section.''.

     SEC. 582. CORRECTION AND EXTENSION OF CERTAIN ARMY RECRUITING 
                   PILOT PROGRAM AUTHORITIES.

       (a) Contract Recruiting Initiatives.--Subsection (d)(2) of 
     section 561 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-130) is amended--
       (1) in subparagraphs (A) and (D), by inserting ``and Army 
     Reserve'' after ``Regular Army''; and
       (2) in subparagraph (B), by striking ``and chain of 
     command''.
       (b) Extension of Authority.--Subsection (e) of such section 
     is amended by striking ``December 31, 2005'' and inserting 
     ``September 30, 2007''.
       (c) Extension of Time for Reports.--Subsection (g) of such 
     section is amended by striking ``February 1, 2006'' and 
     inserting ``February 1, 2008''.

     SEC. 583. OFFENSE OF DRUNKEN OPERATION OF A VEHICLE, 
                   AIRCRAFT, OR VESSEL UNDER THE UNIFORM CODE OF 
                   MILITARY JUSTICE.

       (a) Lower Standard of Alcohol Concentration.--Section 911 
     of title 10, United States Code (article 111 of the Uniform 
     Code of Military Justice), is amended by striking ``0.10 
     grams'' both places it appears in paragraph (2) and inserting 
     ``0.08 grams''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on the date of the enactment of this Act 
     and shall apply to acts described in paragraph (2) of section 
     911 of title 10, United States Code, that are committed on or 
     after that date.

     SEC. 584. AUTHORITY OF CIVILIAN EMPLOYEES TO ACT AS NOTARIES.

       (a) Clarification of Status of Civilian Attorneys Eligible 
     To Act as Notaries.--Subsection (b) of section 1044a of title 
     10, United States Code, is amended by striking ``legal 
     assistance officers'' in paragraph (2) and inserting ``legal 
     assistance attorneys''.

[[Page 20062]]

       (b) Other Civilian Employees Designated To Act as Notaries 
     Abroad.--Such subsection is further amended by adding at the 
     end the following new paragraph:
       ``(5) For the performance of notarial acts at locations 
     outside the United States, all employees of a military 
     department or the Coast Guard who are designated by 
     regulations of the Secretary concerned or by statute to have 
     those powers for exercise outside the United States.''.

     SEC. 585. REVIEW OF ACTIONS OF SELECTION BOARDS.

       (a) In General.--(1) Chapter 79 of title 10, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 1558. Exclusive remedies in cases involving selection 
       boards

       ``(a) Correction of Military Records.--The Secretary 
     concerned may correct a person's military records in 
     accordance with a recommendation made by a special board. Any 
     such correction shall be effective, retroactively, as of the 
     effective date of the action taken on a report of a previous 
     selection board that resulted in the action corrected in the 
     person's military records.
       ``(b) Relief Associated With Corrections of Certain 
     Actions.--(1) The Secretary concerned shall ensure that a 
     person receives relief under paragraph (2) or (3), as the 
     person may elect, if the person--
       ``(A) was separated or retired from an armed force, or 
     transferred to the retired reserve or to inactive status in a 
     reserve component, as a result of a recommendation of a 
     selection board; and
       ``(B) becomes entitled to retention on or restoration to 
     active duty or active status in a reserve component as a 
     result of a correction of the person's military records under 
     subsection (a).
       ``(2)(A) With the consent of a person referred to in 
     paragraph (1), the person shall be retroactively and 
     prospectively restored to the same status, rights, and 
     entitlements (less appropriate offsets against back pay and 
     allowances) in the person's armed force as the person would 
     have had if the person had not been selected to be separated, 
     retired, or transferred to the retired reserve or to inactive 
     status in a reserve component, as the case may be, as a 
     result of an action corrected under subsection (a). An action 
     under this subparagraph is subject to subparagraph (B).
       ``(B) Nothing in subparagraph (A) shall be construed to 
     permit a person to be on active duty or in an active status 
     in a reserve component after the date on which the person 
     would have been separated, retired, or transferred to the 
     retired reserve or to inactive status in a reserve component 
     if the person had not been selected to be separated, retired, 
     or transferred to the retired reserve or to inactive status 
     in a reserve component, as the case may be, in an action of a 
     selection board that is corrected under subsection (a).
       ``(3) If the person does not consent to a restoration of 
     status, rights, and entitlements under paragraph (2), the 
     person shall receive back pay and allowances (less 
     appropriate offsets) and service credit for the period 
     beginning on the date of the person's separation, retirement, 
     or transfer to the retired reserve or to inactive status in a 
     reserve component, as the case may be, and ending on the 
     earlier of--
       ``(A) the date on which the person would have been so 
     restored under paragraph (2), as determined by the Secretary 
     concerned; or
       ``(B) the date on which the person would otherwise have 
     been separated, retired, or transferred to the retired 
     reserve or to inactive status in a reserve component, as the 
     case may be.
       ``(c) Finality of Unfavorable Action.--If a special board 
     makes a recommendation not to correct the military records of 
     a person regarding action taken in the case of that person on 
     the basis of a previous report of a selection board, the 
     action previously taken on that report shall be considered as 
     final as of the date of the action taken on that report.
       ``(d) Regulations.--(1) The Secretary concerned may 
     prescribe regulations to carry out this section (other than 
     subsection (e)) with respect to the armed force or armed 
     forces under the jurisdiction of the Secretary.
       ``(2) The Secretary may prescribe in the regulations the 
     circumstances under which consideration by a special board 
     may be provided for under this section, including the 
     following:
       ``(A) The circumstances under which consideration of a 
     person's case by a special board is contingent upon 
     application by or for that person.
       ``(B) Any time limits applicable to the filing of an 
     application for consideration.
       ``(3) Regulations prescribed by the Secretary of a military 
     department under this subsection shall be subject to the 
     approval of the Secretary of Defense.
       ``(e) Judicial Review.--(1) A person challenging for any 
     reason the action or recommendation of a selection board, or 
     the action taken by the Secretary concerned on the report of 
     a selection board, is not entitled to relief in any judicial 
     proceeding unless the person has first been considered by a 
     special board under this section or the Secretary concerned 
     has denied such consideration.
       ``(2) A court of the United States may review a 
     determination by the Secretary concerned not to convene a 
     special board in the case of any person. In any such case, a 
     court may set aside the Secretary's determination only if the 
     court finds the determination to be arbitrary or capricious, 
     not based on substantial evidence, or otherwise contrary to 
     law. If a court sets aside a determination not to convene a 
     special board, it shall remand the case to the Secretary 
     concerned, who shall provide for consideration of the person 
     by a special board.
       ``(3) A court of the United States may review a 
     recommendation of a special board or an action of the 
     Secretary concerned on the report of a special board convened 
     for consideration of a person. In any such case, a court may 
     set aside the recommendation or action, as the case may be, 
     only if the court finds that the recommendation or action was 
     contrary to law or involved a material error of fact or a 
     material administrative error. If a court sets aside the 
     recommendation of a special board, it shall remand the case 
     to the Secretary concerned, who shall provide for 
     reconsideration of the person by another special board. If a 
     court sets aside the action of the Secretary concerned on the 
     report of a special board, it shall remand the case to the 
     Secretary concerned for a new action on the report of the 
     special board.
       ``(4)(A) If, not later than six months after receiving a 
     complete application for consideration by a special board in 
     any case, the Secretary concerned has not convened a special 
     board and has not denied consideration by a special board in 
     that case, the Secretary shall be deemed to have denied the 
     consideration of the case for the purposes of this 
     subsection.
       ``(B) If, not later than one year after the convening of a 
     special board in any case, the Secretary concerned has not 
     taken final action on the report of the special board, the 
     Secretary shall be deemed to have denied relief in such case 
     for the purposes of this subsection.
       ``(C) Under regulations prescribed under subsection (d), 
     the Secretary concerned may waive the applicability of 
     subparagraph (A) or (B) in a case if the Secretary determines 
     that a longer period for consideration of the case is 
     warranted. The Secretary of a military department may not 
     delegate authority to make a determination under this 
     subparagraph.
       ``(f) Exclusivity of Remedies.--Notwithstanding any other 
     provision of law, but subject to subsection (g), the remedies 
     provided under this section are the only remedies available 
     to a person for correcting an action or recommendation of a 
     selection board regarding that person or an action taken on 
     the report of a selection board regarding that person.
       ``(g) Existing Jurisdiction.--(1) Nothing in this section 
     limits the jurisdiction of any court of the United States 
     under any provision of law to determine the validity of any 
     statute, regulation, or policy relating to selection boards, 
     except that, in the event that any such statute, regulation, 
     or policy is held invalid, the remedies prescribed in this 
     section shall be the sole and exclusive remedies available to 
     any person challenging the recommendation of a special board 
     on the basis of the invalidity.
       ``(2) Nothing in this section limits authority to correct a 
     military record under section 1552 of this title.
       ``(h) Inapplicability to Coast Guard.--This section does 
     not apply to the Coast Guard when it is not operating as a 
     service in the Navy.
       ``(i) Definitions.--In this section:
       ``(1) The term `special board'--
       ``(A) means a board that the Secretary concerned convenes 
     under any authority to consider whether to recommend a person 
     for appointment, enlistment, reenlistment, assignment, 
     promotion, retention, separation, retirement, or transfer to 
     inactive status in a reserve component instead of referring 
     the records of that person for consideration by a previously 
     convened selection board which considered or should have 
     considered that person;
       ``(B) includes a board for the correction of military or 
     naval records convened under section 1552 of this title, if 
     designated as a special board by the Secretary concerned; and
       ``(C) does not include a promotion special selection board 
     convened under section 628 or 14502 of this title.
       ``(2) The term `selection board'--
       ``(A) means a selection board convened under section 
     573(c), 580, 580a, 581, 611(b), 637, 638, 638a, 14101(b), 
     14701, 14704, or 14705 of this title, and any other board 
     convened by the Secretary concerned under any authority to 
     recommend persons for appointment, enlistment, reenlistment, 
     assignment, promotion, or retention in the armed forces or 
     for separation, retirement, or transfer to inactive status in 
     a reserve component for the purpose of reducing the number of 
     persons serving in the armed forces; and
       ``(B) does not include--
       ``(i) a promotion board convened under section 573(a), 
     611(a), or 14101(a) of this title;
       ``(ii) a special board;
       ``(iii) a special selection board convened under section 
     628 of this title; or
       ``(iv) a board for the correction of military records 
     convened under section 1552 of this title.''.

[[Page 20063]]

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

``1558. Exclusive remedies in cases involving selection boards .''.
       (b) Special Selection Boards.--Section 628 of such title is 
     amended--
       (1) by redesignating subsection (g) as subsection (j); and
       (2) by inserting after subsection (f) the following:
       ``(g) Judicial Review.--(1) A court of the United States 
     may review a determination by the Secretary concerned under 
     subsection (a)(1) or (b)(1) not to convene a special 
     selection board in the case of an officer or former officer 
     of the armed forces. If the court finds the determination to 
     be arbitrary or capricious, not based on substantial 
     evidence, or otherwise contrary to law, it shall remand the 
     case to the Secretary concerned, who shall provide for 
     consideration of the officer or former officer by a special 
     selection board under this section.
       ``(2) A court of the United States may review the action of 
     a special selection board convened under this section upon 
     the request of an officer or former officer of the armed 
     forces and any action taken by the President on the report of 
     the board. If the court finds that the action was contrary to 
     law or involved a material error of fact or a material 
     administrative error, it shall remand the case to the 
     Secretary concerned, who shall provide for reconsideration of 
     the officer or former officer by another special selection 
     board.
       ``(3)(A) For the purposes of this subsection, the Secretary 
     concerned shall be deemed to have determined not to convene a 
     special selection board under subsection (a)(1) or (b)(1) in 
     the case of an officer or former officer of the armed forces 
     upon a failure of the Secretary to make a determination on 
     the convening of a special selection board in that case 
     within six months after receiving a properly completed 
     request to convene a special selection board under that 
     authority in that case.
       ``(B) Under regulations prescribed by the Secretary 
     concerned, the Secretary may waive the applicability of 
     subparagraph (A) in the case of a request for the convening 
     of a special selection board if the Secretary determines that 
     a longer period for consideration of the request is 
     warranted. The Secretary concerned may not delegate authority 
     to make a determination under this subparagraph.
       ``(h) Limitations of Other Jurisdiction.--(1) No official 
     or court of the United States may, with respect to a claim 
     based to any extent on the failure of an officer or former 
     officer of the armed forces to be selected for promotion by a 
     promotion board--
       ``(A) consider the claim unless the officer or former 
     officer has first been referred by the Secretary concerned to 
     a special selection board convened under this section and 
     acted upon by that board and the report of the board has been 
     approved by the President; or
       ``(B) except as provided in subsection (g), grant any 
     relief on the claim unless the officer or former officer has 
     been selected for promotion by a special selection board 
     convened under this section to consider the officer for 
     recommendation for promotion and the report of the board has 
     been approved by the President.
       ``(i) Existing Jurisdiction.--(1) Nothing in this section 
     limits the jurisdiction of any court of the United States 
     under any provision of law to determine the validity of any 
     statute, regulation, or policy relating to selection boards, 
     except that, in the event that any such statute, regulation, 
     or policy is held invalid, the remedies prescribed in this 
     section shall be the sole and exclusive remedies available to 
     any person challenging the recommendation of a selection 
     board on the basis of the invalidity.
       ``(2) Nothing in this section limits authority to correct a 
     military record under section 1552 of this title.''.
       (c) Effective Date and Applicability.--(1) The amendments 
     made by this section shall take effect on the date of the 
     enactment of this Act and, except as provided in paragraph 
     (2), shall apply with respect to any proceeding pending on or 
     after that date without regard to whether a challenge to an 
     action of a selection board of any of the Armed Forces being 
     considered in such proceeding was initiated before, on, or 
     after that date.
       (2) The amendments made by this section shall not apply 
     with respect to any action commenced in a court of the United 
     States before the date of the enactment of this Act.

     SEC. 586. ACCEPTANCE OF VOLUNTARY LEGAL ASSISTANCE FOR THE 
                   CIVIL AFFAIRS OF MEMBERS AND FORMER MEMBERS OF 
                   THE UNIFORMED SERVICES AND THEIR DEPENDENTS.

       (a) Authority.--Subsection (a) of section 1588 of title 10, 
     United States Code, is amended by adding at the end the 
     following new paragraph:
       ``(5) Legal services voluntarily provided as legal 
     assistance under section 1044 of this title.''.
       (b) Defense of Legal Malpractice.--Subsection (d)(1) of 
     that section is amended by adding at the end the following 
     new subparagraph:
       ``(E) Section 1054 of this title (relating to legal 
     malpractice), for a person voluntarily providing legal 
     services accepted under subsection (a)(5), as if the person 
     were providing the services as an attorney of a legal staff 
     within the Department of Defense.''.

     SEC. 587. EXTENSION OF DEFENSE TASK FORCE ON DOMESTIC 
                   VIOLENCE.

       Section 591(j) of the National Defense Authorization Act 
     for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 641, 10 
     U.S.C. 1562 note) is amended by striking ``three years after 
     the date of the enactment of this Act'' and inserting ``April 
     24, 2003''.

     SEC. 588. TRANSPORTATION TO ANNUAL MEETING OF NEXT-OF-KIN OF 
                   PERSONS UNACCOUNTED FOR FROM CONFLICTS AFTER 
                   WORLD WAR II.

       (a) In General.--(1) Chapter 157 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2647. Transportation to annual meeting of next-of-kin 
       of persons unaccounted for from conflicts after World War 
       II

       ``The Secretary of Defense may provide transportation for 
     the next-of-kin of persons who are unaccounted for from the 
     Korean conflict, the Cold War, Vietnam War era, or the 
     Persian Gulf War to and from those annual meetings sanctioned 
     by the Department of Defense in the United States. Such 
     transportation shall be provided under such regulations as 
     the Secretary of Defense may prescribe.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``2647. Transportation to annual meeting of next-of-kin of persons 
              unaccounted for from conflicts after World War II.''.
       (b) Effective Date.--Section 2647 of title 10, United 
     States Code, as added by subsection (a), shall take effect on 
     October 1, 2001, or the date of the enactment of this Act, 
     whichever is later.

     SEC. 589. REPORT ON HEALTH AND DISABILITY BENEFITS FOR PRE-
                   ACCESSION TRAINING AND EDUCATION PROGRAMS.

       (a) Study.--The Secretary of Defense shall conduct a review 
     of the health and disability benefit programs available to 
     recruits and officer candidates engaged in training, 
     education, or other types of programs while not yet on active 
     duty and to cadets and midshipmen attending the service 
     academies. The review shall be conducted with the 
     participation of the Secretaries of the military departments.
       (b) Report.--Not later than March 1, 2002, the Secretary 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the findings of the review. The 
     report shall include the following with respect to persons 
     described in subsection (a):
       (1) A statement of the process and detailed procedures 
     followed by each of the Armed Forces under the jurisdiction 
     of the Secretary of a military department to provide health 
     care and disability benefits to all such persons injured in 
     training, education, or other types of programs conducted by 
     the Secretary of a military department.
       (2) Information on the total number of cases of such 
     persons requiring health care and disability benefits and the 
     total number of cases and average value of health care and 
     disability benefits provided under the authority for each 
     source of benefits available to those persons.
       (3) A discussion of the issues regarding health and 
     disability benefits for such persons that are encountered by 
     the Secretary during the review, to include discussions with 
     individuals who have received those benefits.
       (4) A statement of the processes and detailed procedures 
     followed by each of the Armed Forces under the jurisdiction 
     of the Secretary of a military department to provide recruits 
     and officer candidates with succinct information on the 
     eligibility requirements (including information on when they 
     become eligible) for health care benefits under the Defense 
     health care program, and the nature and availability of the 
     benefits under the program.
       (5) A discussion of the necessity for legislative changes 
     and specific legislative proposals needed to improve the 
     benefits provided those persons.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

     SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2002.

       (a) Waiver of Section 1009 Adjustment.--The adjustment to 
     become effective during fiscal year 2002 required by section 
     1009 of title 37, United States Code, in the rates of monthly 
     basic pay authorized members of the uniformed services shall 
     not be made.
       (b) Increase in Basic Pay.--Effective on January 1, 2002, 
     the rates of monthly basic pay for members of the uniformed 
     services within each pay grade are as follows:

[[Page 20064]]

       

                        COMMISSIONED OFFICERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-10 \2\........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   7,180.20   7,415.40   7,571.10   7,614.90    7,809.30
O-7.............   5,966.40   6,371.70   6,371.70   6,418.20    6,657.90
O-6.............   4,422.00   4,857.90   5,176.80   5,176.80    5,196.60
O-5.............   3,537.00   4,152.60   4,440.30   4,494.30    4,673.10
O-4.............   3,023.70   3,681.90   3,927.60   3,982.50    4,210.50
O-3 \3\.........   2,796.60   3,170.40   3,421.80   3,698.70    3,875.70
O-2 \3\.........   2,416.20   2,751.90   3,169.50   3,276.30    3,344.10
O-1 \3\.........   2,097.60   2,183.10   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-10 \2\........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   8,135.10   8,210.70   8,519.70   8,608.50    8,874.30
O-7.............   6,840.30   7,051.20   7,261.80   7,472.70    8,135.10
O-6.............   5,418.90   5,448.60   5,448.60   5,628.60    6,305.70
O-5.............   4,673.10   4,813.50   5,073.30   5,413.50    5,755.80
O-4.............   4,395.90   4,696.20   4,930.20   5,092.50    5,255.70
O-3 \3\.........   4,070.10   4,232.40   4,441.20   4,549.50    4,549.50
O-2 \3\.........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1 \3\.........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-10 \2\........      $0.00  11,601.90  11,659.20  11,901.30   12,324.00
O-9.............       0.00  10,147.50  10,293.60  10,504.80   10,873.80
O-8.............   9,259.50   9,614.70   9,852.00   9,852.00    9,852.00
O-7.............   8,694.90   8,694.90   8,694.90   8,694.90    8,738.70
O-6.............   6,627.00   6,948.30   7,131.00   7,316.10    7,675.20
O-5.............   5,919.00   6,079.80   6,262.80   6,262.80    6,262.80
O-4.............   5,310.60   5,310.60   5,310.60   5,310.60    5,310.60
O-3 \3\.........   4,549.50   4,549.50   4,549.50   4,549.50    4,549.50
O-2 \3\.........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1 \3\.........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for commissioned officers in pay grades 0-7
  through O-10 may not exceed the rate of pay for level III of the
  Executive Schedule and the actual rate of basic pay for all other
  officers may not exceed the rate of pay for level V of the Executive
  Schedule.
\2\ Subject to the preceding footnote, while serving as Chairman or Vice
  Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
  Chief of Naval Operations, Chief of Staff of the Air Force, Commandant
  of the Marine Corps, or Commandant of the Coast Guard, the rate of
  basic pay for this grade is $13,598.10, regardless of cumulative years
  of service computed under section 205 of title 37, United States Code.
\3\ This table does not apply to commissioned officers in pay grade O-1,
  O-2, or O-3 who have been credited with over 4 years of active duty
  service as an enlisted member or warrant officer.


  COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN
                   ENLISTED MEMBER OR WARRANT OFFICER
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-3E............      $0.00      $0.00      $0.00   3,698.70    3,875.70
O-2E............       0.00       0.00       0.00   3,276.30    3,344.10
O-1E............       0.00       0.00       0.00   2,638.50    2,818.20
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-3E............   4,070.10   4,232.40   4,441.20   4,617.00    4,717.50
O-2E............   3,450.30   3,630.00   3,768.90   3,872.40    3,872.40
O-1E............   2,922.30   3,028.50   3,133.20   3,276.30    3,276.30
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-3E............   4,855.20   4,855.20   4,855.20   4,855.20    4,855.20
O-2E............   3,872.40   3,872.40   3,872.40   3,872.40    3,872.40
O-1E............   3,276.30   3,276.30   3,276.30   3,276.30    3,276.30
------------------------------------------------------------------------


                          WARRANT OFFICERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   2,889.60   3,108.60   3,198.00   3,285.90   3,437.10
W-3..............   2,638.80   2,862.00   2,862.00   2,898.90   3,017.40
W-2..............   2,321.40   2,454.00   2,569.80   2,654.10   2,726.40
W-1..............   2,049.90   2,217.60   2,330.10   2,402.70   2,511.90
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   3,586.50   3,737.70   3,885.30   4,038.00   4,184.40
W-3..............   3,152.40   3,330.90   3,439.50   3,558.30   3,693.90
W-2..............   2,875.20   2,984.40   3,093.90   3,200.40   3,318.00
W-1..............   2,624.70   2,737.80   2,850.00   2,963.70   3,077.10
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
W-5..............      $0.00   4,965.60   5,136.00   5,307.00   5,478.60
W-4..............   4,334.40   4,480.80   4,632.60   4,782.00   4,935.30
W-3..............   3,828.60   3,963.60   4,098.30   4,233.30   4,368.90
W-2..............   3,438.90   3,559.80   3,680.10   3,801.30   3,801.30
W-1..............   3,189.90   3,275.10   3,275.10   3,275.10   3,275.10
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for warrant officers may not exceed the rate
  of pay for level V of the Executive Schedule.


[[Page 20065]]


                          ENLISTED MEMBERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
E-9 \2\..........      $0.00      $0.00      $0.00      $0.00      $0.00
E-8..............       0.00       0.00       0.00       0.00       0.00
E-7..............   1,986.90   2,169.00   2,251.50   2,332.50   2,417.40
E-6..............   1,701.00   1,870.80   1,953.60   2,033.70   2,117.40
E-5..............   1,561.50   1,665.30   1,745.70   1,828.50   1,912.80
E-4..............   1,443.60   1,517.70   1,599.60   1,680.30   1,752.30
E-3..............   1,303.50   1,385.40   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............        \3\   1,105.50   1,105.50   1,105.50   1,105.50
                    1,105.50
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
E-9 \2\..........      $0.00  $3,423.90   3,501.30   3,599.40   3,714.60
E-8..............   2,858.10   2,940.60   3,017.70   3,110.10   3,210.30
E-7..............   2,562.90   2,645.10   2,726.40   2,808.00   2,892.60
E-6..............   2,254.50   2,337.30   2,417.40   2,499.30   2,558.10
E-5..............   2,030.10   2,110.20   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
E-9 \2\..........  $3,830.40   3,944.10   4,098.30   4,251.30   4,467.00
E-8..............   3,314.70   3,420.30   3,573.00   3,724.80   3,937.80
E-7..............   2,975.10   3,057.30   3,200.40   3,292.80   3,526.80
E-6..............   2,602.80   2,602.80   2,602.80   2,602.80   2,602.80
E-5..............   2,193.30   2,193.30   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for enlisted members may not exceed the rate
  of pay for level V of the Executive Schedule.
\2\ Subject to the preceding footnote, while serving as Sergeant Major
  of the Army, Master Chief Petty Officer of the Navy, Chief Master
  Sergeant of the Air Force, Sergeant Major of the Marine Corps, or
  Master Chief Petty Officer of the Coast Guard, basic pay for this
  grade is $5,382.90, regardless of cumulative years of service computed
  under section 205 of title 37, United States Code.
\3\ In the case of members in pay grade E-1 who have served less than 4
  months on active duty, the rate of basic pay is $1,022.70.

     SEC. 602. BASIC PAY RATE FOR CERTAIN RESERVE COMMISSIONED 
                   OFFICERS WITH PRIOR SERVICE AS AN ENLISTED 
                   MEMBER OR WARRANT OFFICER.

       (a) Service Credit.--Section 203(d) of title 37, United 
     States Code, is amended--
       (1) by inserting ``(1)'' after ``(d)'';
       (2) by striking ``active service as a warrant officer or as 
     a warrant officer and an enlisted member'' and inserting 
     ``service described in paragraph (2)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) Service to be taken into account for purposes of 
     computing basic pay under paragraph (1) is as follows:
       ``(A) Active service as a warrant officer or as a warrant 
     officer and an enlisted member, in the case of--
       ``(i) a commissioned officer on active duty who is paid 
     from funds appropriated for active-duty personnel; or
       ``(ii) a commissioned officer on active Guard and Reserve 
     duty.
       ``(B) In the case of a commissioned officer (not referred 
     to in subparagraph (A)(ii)) who is paid from funds 
     appropriated for reserve personnel, service as a warrant 
     officer, or as a warrant officer and enlisted member, for 
     which at least 1,460 points have been credited to the officer 
     for the purposes of section 12732(a)(2) of title 10.''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on October 1, 2001, and shall apply with 
     respect to months beginning on or after that date.

     SEC. 603. RESERVE COMPONENT COMPENSATION FOR DISTRIBUTED 
                   LEARNING ACTIVITIES PERFORMED AS INACTIVE-DUTY 
                   TRAINING.

       (a) Compensation Authorized.--Section 206(d) of title 37, 
     United States Code, is amended to read as follows:
       ``(d)(1) Compensation is payable under this section to a 
     member in a grade below E-7 for a period of instruction or 
     duty in pursuit of the satisfaction of educational 
     requirements imposed on members of the uniformed services by 
     law or regulations if--
       ``(A) the particular activity in pursuit of the 
     satisfaction of such requirements is an activity approved for 
     that period of instruction or duty by the commander who 
     prescribes the instruction or duty for the member for that 
     period; and
       ``(B) the member attains the learning objectives required 
     for the period of instruction or duty, as determined under 
     regulations prescribed by the Secretary concerned.
       ``(2) Acceptable means of pursuit of the satisfaction of 
     educational requirements for the purposes of compensation 
     under this section include any means (which may include 
     electronic, documentary, or distributed learning) that is 
     authorized for the attainment of educational credit toward 
     the satisfaction of those requirements in regulations 
     prescribed by the Secretary concerned.''.
       (b) Definition of Inactive-Duty Training.--Section 101(22) 
     of title 37, United States Code, is amended by striking ``but 
     does not include work or study in connection with a 
     correspondence course of a uniformed service''.

     SEC. 604. CLARIFICATIONS FOR TRANSITION TO REFORMED BASIC 
                   ALLOWANCE FOR SUBSISTENCE.

       (a) Baseline Amount for Calculating Allowance for Enlisted 
     Members.--For the purposes of section 402(b)(2) of title 37, 
     United States Code, the monthly rate of basic allowance for 
     subsistence that is in effect for an enlisted member for the 
     year ending December 31, 2001, is $233.
       (b) Rate for Enlisted Members When Messing Facilities Not 
     Available.--(1) Notwithstanding section 402 of title 37, 
     United States Code, the Secretary of Defense, or the 
     Secretary of Transportation with respect to the Coast Guard 
     when it is not operating as a service in the Navy, may 
     prescribe a rate of basic allowance for subsistence to apply 
     to enlisted members of the uniformed services when messing 
     facilities of the United States are not available. The rate 
     may be higher than the rate of basic allowance for 
     subsistence that would otherwise be applicable to the members 
     under that section, but may not be higher than the highest 
     rate that was in effect for enlisted members of the uniformed 
     services under those circumstances before the date of the 
     enactment of this Act.
       (2) Paragraph (1) shall cease to be effective on the first 
     day of the first month for which the basic allowance for 
     subsistence calculated for enlisted members of the uniformed 
     services under section 402 of title 37, United States Code, 
     exceeds the rate of the basic allowance for subsistence 
     prescribed under that paragraph.
       (c) Date for Early Termination of BAS Transitional 
     Authority.--Section 603(c) of the Floyd D. Spence National 
     Defense Authorization Act for Fiscal Year 2001 (as enacted 
     into law by Public Law 106-398; 114 Stat. 1654A-145) is 
     amended by striking ``October 1, 2001,'' and inserting 
     ``January 1, 2002,''.

     SEC. 605. INCREASE IN BASIC ALLOWANCE FOR HOUSING IN THE 
                   UNITED STATES.

       (a) Acceleration of Increase.--Subsection 403(b)(1) of 
     title 37, United States Code, is amended by adding at the end 
     the following: ``After September 30, 2002, the rate 
     prescribed for a grade and dependency status for a military 
     housing area in the United States may not be less than the 
     median cost of adequate housing for members in that grade and 
     dependency status in that area, as determined on the basis of 
     the costs of adequate housing determined for the area under 
     paragraph (2).''.
       (b) Fiscal Year 2002 Rates.--(1) Subject to subsection 
     (b)(3) of section 403 of title 37, United States Code, in the 
     administration of such section 403 for fiscal year 2002, the 
     monthly amount of a basic allowance for

[[Page 20066]]

     housing for an area of the United States for a member of a 
     uniformed service shall be equal to 92.5 percent of the 
     monthly cost of adequate housing in that area, as determined 
     by the Secretary of Defense, for members of the uniformed 
     services serving in the same pay grade and with the same 
     dependency status as the member.
       (2) In addition to the amount determined by the Secretary 
     of Defense under section 403(b)(3) of title 37, United States 
     Code, to be the total amount to be paid during fiscal year 
     2002 for the basic allowance for housing for military housing 
     areas inside the United States, $232,000,000 of the amount 
     authorized to be appropriated by section 421 for military 
     personnel may be used by the Secretary to further increase 
     the total amount available for the basic allowance for 
     housing for military housing areas inside the United States.

     SEC. 606. CLARIFICATION OF ELIGIBILITY FOR SUPPLEMENTAL 
                   SUBSISTENCE ALLOWANCE.

       Section 402a(b)(1) of title 37, United States Code, is 
     amended by inserting ``with dependents'' after ``a member of 
     the armed forces''.

     SEC. 607. CORRECTION OF LIMITATION ON ADDITIONAL UNIFORM 
                   ALLOWANCE FOR OFFICERS.

       Section 416(b)(1) of title 37, United States Code, is 
     amended by striking ``$200'' and inserting ``$400''.

     SEC. 608. PAYMENT FOR UNUSED LEAVE IN EXCESS OF 60 DAYS 
                   ACCRUED BY MEMBERS OF RESERVE COMPONENTS ON 
                   ACTIVE DUTY FOR ONE YEAR OR LESS.

       (a) Eligibility.--Section 501(b)(5) of title 37, United 
     States Code, is amended by--
       (1) striking ``or'' at the end of subparagraph (B);
       (2) striking the period at the end of subparagraph (C) and 
     inserting ``; or''; and
       (3) adding at the end the following new subparagraph:
       ``(D) by a member of a reserve component while serving on 
     active duty, full-time National Guard duty, or active duty 
     for training for a period of more than 30 days but not in 
     excess of 365 days.''.
       (b) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001, and 
     shall apply with respect to periods of active duty that begin 
     on or after that date.

           Subtitle B--Bonuses and Special and Incentive Pays

     SEC. 611. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY 
                   AUTHORITIES FOR RESERVE FORCES.

       (a) Special Pay for Health Professionals in Critically 
     Short Wartime Specialties.--Section 302g(f) of title 37, 
     United States Code, is amended by striking ``December 31, 
     2001'' and inserting ``December 31, 2002''.
       (b) Selected Reserve Reenlistment Bonus.--Section 308b(f) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.
       (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (d) Special Pay for Enlisted Members Assigned to Certain 
     High Priority Units.--Section 308d(c) of such title is 
     amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2002''.
       (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (f) Ready Reserve Enlistment and Reenlistment Bonus.--
     Section 308h(g) of such title is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (g) Prior Service Enlistment Bonus.--Section 308i(f) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (h) Repayment of Education Loans for Certain Health 
     Professionals Who Serve in the Selected Reserve.--Section 
     16302(d) of title 10, United States Code, is amended by 
     striking ``January 1, 2002'' and inserting ``January 1, 
     2003''.


     SEC. 612. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY 
                   AUTHORITIES FOR NURSE OFFICER CANDIDATES, 
                   REGISTERED NURSES, AND NURSE ANESTHETISTS.

       (a) Nurse Officer Candidate Accession Program.--Section 
     2130a(a)(1) of title 10, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (b) Accession Bonus for Registered Nurses.--Section 
     302d(a)(1) of title 37, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (c) Incentive Special Pay for Nurse Anesthetists.--Section 
     302e(a)(1) of title 37, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.

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

       (a) Special Pay for Nuclear-Qualified Officers Extending 
     Period of Active Service.--Section 312(e) of such title is 
     amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2002''.
       (b) Nuclear Career Accession Bonus.--Section 312b(c) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (c) Nuclear Career Annual Incentive Bonus.--Section 312c(d) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.

     SEC. 614. EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF 
                   OTHER BONUSES AND SPECIAL PAYS.

       (a) Aviation Officer Retention Bonus.--Section 301b(a) of 
     title 37, United States Code, is amended by striking 
     ``December 31, 2001,'' and inserting ``December 31, 2002,''.
       (b) Reenlistment Bonus for Active Members.--Section 308(g) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.
       (c) Bonus for Enlistment for Two or More Years.--Section 
     309(e) of such title is amended by striking ``December 31, 
     2001'' and inserting ``December 31, 2002''.
       (d) Retention Bonus for Members With Critical Skills.--
     Section 323(i) of such title is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.

     SEC. 615. HAZARDOUS DUTY PAY FOR MEMBERS OF MARITIME VISIT, 
                   BOARD, SEARCH, AND SEIZURE TEAMS.

       (a) Eligibility.--Section 301(a) of title 37, United States 
     Code, is amended--
       (1) by striking ``or'' at the end of paragraph (10);
       (2) by striking the period at the end of paragraph (11) and 
     inserting ``; or''; and
       (3) by inserting at the end the following new paragraph:
       ``(12) involving regular participation as a member of a 
     team conducting visit, board, search, and seizure operations 
     aboard vessels in support of maritime interdiction 
     operations.''.
       (b) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

     SEC. 616. SUBMARINE DUTY INCENTIVE PAY RATES.

       (a) Authority.--Section 301c of title 37, United States 
     Code, is amended by striking subsection (b) and inserting the 
     following:
       ``(b) The Secretary of the Navy shall prescribe the monthly 
     rates of submarine duty incentive pay. The maximum monthly 
     rate may not exceed $1,000.''.
       (b) Conforming Amendments.--(1) Subsection (a) of such 
     section is amended--
       (A) by striking ``in the amount set forth in subsection 
     (b)'' in paragraphs (1) and (2); and
       (B) in paragraph (4), by striking ``that pay in the amount 
     set forth in subsection (b)'' and inserting ``submarine duty 
     incentive pay''.
       (2) Subsection (d) of such section is amended by striking 
     ``monthly incentive pay authorized by subsection (b)'' and 
     inserting ``monthly submarine duty incentive pay 
     authorized''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2002.

     SEC. 617. CAREER SEA PAY.

       (a) In General.--Section 305a(d) of title 37, United States 
     Code, is amended by adding at the end the following: ``Under 
     no circumstances shall a member of the uniformed services be 
     excluded from this entitlement by virtue of his or her rank, 
     no matter how junior, or subjected to a minimum time in 
     service or underway in order to rate this entitlement.''.
       (b) Effective Date and Applicability.--The amendment made 
     by subsection (a) shall take effect on October 1, 2001, and 
     shall apply with respect to pay periods beginning on or after 
     that date.

     SEC. 618. MODIFICATION OF ELIGIBILITY REQUIREMENTS FOR 
                   INDIVIDUAL READY RESERVE BONUS FOR 
                   REENLISTMENT, ENLISTMENT, OR EXTENSION OF 
                   ENLISTMENT.

       (a) Eligibility Based on Qualifications in Critically Short 
     Wartime Skills or Specialties.--Section 308h(a) of title 37, 
     United States Code, is amended to read as follows:
       ``(a)(1) The Secretary concerned may pay a bonus as 
     provided in subsection (b) to an eligible person who 
     reenlists, enlists, or voluntarily extends an enlistment in a 
     reserve component of an armed force for assignment to an 
     element (other than the Selected Reserve) of the Ready 
     Reserve of that armed force if the reenlistment, enlistment, 
     or extension is for a period of three years, or for a period 
     of six years, beyond any other period the person is obligated 
     to serve.
       ``(2) A person is eligible for a bonus under this section 
     if the person--
       ``(A) is or has been a member of an armed force;
       ``(B) is qualified in a skill or specialty designated by 
     the Secretary concerned as a critically short wartime skill 
     or critically short wartime specialty, respectively; and
       ``(C) has not failed to complete satisfactorily any 
     original term of enlistment in the armed forces.
       ``(3) For the purposes of this section, the Secretary 
     concerned may designate a skill or specialty as a critically 
     short wartime skill or critically short wartime specialty, 
     respectively, for an armed force under the jurisdiction of 
     the Secretary if the Secretary determines that--
       ``(A) the skill or specialty is critical to meet wartime 
     requirements of the armed force; and
       ``(B) there is a critical shortage of personnel in that 
     armed force who are qualified in that skill or specialty.''.
       (b) Regulations.--The Secretaries of the military 
     departments shall prescribe the regulations necessary for 
     administering section

[[Page 20067]]

     308h of title 37, United States Code, as amended by this 
     section, not later than the effective date determined under 
     subsection (c)(1).
       (c) Effective Date.--This section and the amendments made 
     by this section--
       (1) shall take effect on the first day of the first month 
     that begins more than 180 days after the date of the 
     enactment of this Act; and
       (2) shall apply with respect to reserve component 
     reenlistments, enlistments, and extensions of enlistments 
     that are executed on or after the first day of that month.

     SEC. 619. ACCESSION BONUS FOR OFFICERS IN CRITICAL SKILLS.

       (a) In General.--(1) Chapter 5 of title 37, United States 
     Code, is amended by inserting after section 323 the following 
     new section:

     ``Sec. 324. Special pay: critical officer skills accession 
       bonus

       ``(a) Accession Bonus Authorized.--A person who executes a 
     written agreement to accept a commission as an officer of an 
     armed force and serve on active duty in a designated critical 
     officer skill for the period specified in the agreement may 
     be paid an accession bonus upon acceptance of the written 
     agreement by the Secretary concerned.
       ``(b) Designation of Critical Officer Skills.--(1) The 
     Secretary of Defense, or the Secretary of Transportation with 
     respect to the Coast Guard when it is not operating as a 
     service in the Navy, shall designate the critical officer 
     skills for the purposes of this section. The Secretary of 
     Defense may so designate a skill for any one or more of the 
     armed forces.
       ``(2) A skill may be designated as a critical officer skill 
     for an armed force for the purposes of this section if--
       ``(A) in order to meet requirements of the armed force, it 
     is critical for the armed force to have a sufficient number 
     of officers who are qualified in that skill; and
       ``(B) in order to mitigate a current or projected 
     significant shortage of personnel in the armed force who are 
     qualified in that skill, it is critical to access into that 
     armed force in sufficient numbers persons who are qualified 
     in that skill or are to be trained in that skill.
       ``(c) Amount of Bonus.--The amount of a bonus paid with 
     respect to a critical officer skill shall be determined under 
     regulations jointly prescribed by the Secretary of Defense 
     and the Secretary of Transportation, but may not exceed 
     $20,000.
       ``(d) Limitation on Eligibility for Bonus.--An individual 
     may not be paid a bonus under subsection (a) if the 
     individual has received, or is receiving, an accession bonus 
     for the same period of service under section 302d, 302h, or 
     312b of this title.
       ``(e) Payment Method.--Upon acceptance of a written 
     agreement referred to in subsection (a) by the Secretary 
     concerned, the total amount payable pursuant to the agreement 
     under this section becomes fixed and may be paid by the 
     Secretary in either a lump sum or installments.
       ``(f) Repayment for Failure To Complete Obligated 
     Service.--(1) A person who, after having received all or part 
     of the bonus under this section pursuant to an agreement 
     referred to in subsection (a), fails to accept an appointment 
     as a commissioned officer or to commence or complete the 
     total period of active duty service in a designated critical 
     officer skill as provided in the agreement shall refund to 
     the United States the amount that bears the same ratio to the 
     total amount of the bonus authorized for such person as the 
     unserved part of the period of agreed active duty service in 
     a designated critical officer skill bears to the total period 
     of the agreed active duty service, but not more than the 
     amount that was paid to the person.
       ``(2) Subject to paragraph (3), an obligation to reimburse 
     the United States imposed under paragraph (1) is for all 
     purposes a debt owed to the United States.
       ``(3) The Secretary concerned may waive, in whole or in 
     part, a refund required under paragraph (1) if the Secretary 
     concerned determines that recovery would be against equity 
     and good conscience or would be contrary to the best 
     interests of the United States.
       ``(4) A discharge in bankruptcy under title 11 that is 
     entered less than five years after the termination of a 
     written agreement entered into under subsection (a) does not 
     discharge the person signing the agreement from a debt 
     arising under such agreement or under paragraph (1).
       ``(g) Termination of Authority.--No bonus may be paid under 
     this section with respect to an agreement entered into after 
     December 31, 2002.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     323 the following new item:

``324. Special pay: critical officer skills accession bonus.''.
       (b) Effective Date.--Section 324 of title 37, United States 
     Code (as added by subsection (a)), shall take effect on 
     October 1, 2001.

     SEC. 620. MODIFICATION OF THE NURSE OFFICER CANDIDATE 
                   ACCESSION PROGRAM RESTRICTION ON STUDENTS 
                   ATTENDING CIVILIAN EDUCATIONAL INSTITUTIONS 
                   WITH SENIOR RESERVE OFFICERS' TRAINING 
                   PROGRAMS.

       Section 2130a of title 10, United States Code, is amended--
       (1) in subsection (a)(2), by striking ``that does not have 
     a Senior Reserve Officers' Training Program established under 
     section 2102 of this title''; and
       (2) in subsection (b)(1), by striking ``that does not have 
     a Senior Reserve Officers' Training Program established under 
     section 2102 of this title'' and inserting ``and, in the case 
     of a student so enrolled at a civilian institution that has a 
     Senior Reserve Officers' Training Program established under 
     section 2102 of this title, is not eligible to participate in 
     the Senior Reserve Officers' Training Program''.

     SEC. 621. ELIGIBILITY FOR CERTAIN CAREER CONTINUATION BONUSES 
                   FOR EARLY COMMITMENT TO REMAIN ON ACTIVE DUTY.

       (a) Aviation Officers.--Section 301b(b)(4) of title 37, 
     United States Code, is amended by striking ``has completed'' 
     and inserting ``is within one year of the completion of''.
       (b) Surface Warfare Officers.--Section 319(a)(3) of title 
     37, United States Code, is amended by striking ``has 
     completed'' and inserting ``is within one year of the 
     completion of''.

     SEC. 622. HOSTILE FIRE OR IMMINENT DANGER PAY.

       (a) In General.--Chapter 59, Subchapter IV of title 5, 
     United States Code, is amended by adding at the end the 
     following new section:

     ``Sec. 5949 Hostile fire or imminent danger pay

       ``(a) The head of an Executive agency may pay an employee 
     special pay at the rate of $150 for any month in which the 
     employee, while on duty in the United States--
       ``(1) was subject to hostile fire or explosion of hostile 
     mines;
       ``(2) was in an area of the Pentagon in which the employee 
     was in imminent danger of being exposed to hostile fire or 
     explosion of hostile mines and in which, during the period on 
     duty in that area, other employees were subject to hostile 
     fire or explosion of hostile mines;
       ``(3) was killed, injured, or wounded by hostile fire, 
     explosion of a hostile mine, or any other hostile action; or
       ``(4) was in an area of the Pentagon in which the employee 
     was subject to the threat of physical harm or imminent danger 
     on the basis of civil insurrection, civil war, terrorism, or 
     wartime conditions.
       ``(b) An employee covered by subsection (a)(3) who is 
     hospitalized for the treatment of his injury or wound may be 
     paid special pay under this section for not more than three 
     additional months during which the employee is so 
     hospitalized.
       ``(c) For the purpose of this section, ``United States'' 
     means the several States, the District of Columbia, the 
     Commonwealth of Puerto Rico, the Commonwealth of the Northern 
     Mariana Islands, and the territories and possessions of the 
     United States.
       ``(d) An employee may be paid special pay under this 
     section in addition to other pay and allowances to which 
     entitled. Payments under this section may not be considered 
     to be part of basic pay of an employee.''.
       (b) Technical Amendment.--The table of sections at the 
     beginning of chapter 59 of such title is amended by inserting 
     at the end the following new item:

``5949. Hostile fire or imminent danger pay.''.
       (c) Effective Date.--This provision is effective as if 
     enacted into law on September 11, 2001, and may be applied to 
     any hostile action that took place on that date or 
     thereafter.

            Subtitle C--Travel and Transportation Allowances

     SEC. 631. ELIGIBILITY FOR TEMPORARY HOUSING ALLOWANCE WHILE 
                   IN TRAVEL OR LEAVE STATUS BETWEEN PERMANENT 
                   DUTY STATIONS.

       (a) Personnel in Grades Below E-4.--Section 403(i) of title 
     37, United States Code, is amended by striking ``who is in a 
     pay grade E-4 (4 or more years of service) or above''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on October 1, 2001.

     SEC. 632. ELIGIBILITY FOR PAYMENT OF SUBSISTENCE EXPENSES 
                   ASSOCIATED WITH OCCUPANCY OF TEMPORARY LODGING 
                   INCIDENT TO REPORTING TO FIRST PERMANENT DUTY 
                   STATION.

       (a) Officer Personnel.--Section 404a(a)(2)(C) of title 37, 
     United States Code, is amended by striking ``an enlisted 
     member'' and inserting ``a member''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on October 1, 2001.

     SEC. 633. ELIGIBILITY FOR DISLOCATION ALLOWANCE.

       (a) Members With Dependents When Ordered to First Duty 
     Station.--Section 407 of title 37, United States Code, is 
     amended--
       (1) in subsection (a)(2), by adding at the end the 
     following new subparagraph:
       ``(F) A member whose dependents actually move from the 
     member's place of residence in connection with the 
     performance of orders for the member to report to the 
     member's first permanent duty station if the move--
       ``(i) is to the permanent duty station or a designated 
     location; and

[[Page 20068]]

       ``(ii) is an authorized move.''; and
       (2) in subsection (e), by inserting ``(except as provided 
     in subsection (a)(2)(F))'' after ``first duty station''.
       (b) Married Members Without Dependents Assigned to 
     Government Family Quarters.--Subsection (a) of such section, 
     as amended by subsection (a), is further amended--
       (1) by adding at the end of paragraph (2) the following new 
     subparagraph:
       ``(G) Each of two members married to each other who--
       ``(i) is without dependents;
       ``(ii) actually moves with the member's spouse to a new 
     permanent duty station; and
       ``(iii) is assigned to family quarters of the United States 
     at or in the vicinity of the new duty station.''; and
       (2) by adding at the end of the subsection the following 
     new paragraph:
       ``(4) If a primary dislocation allowance is payable to two 
     members described in subparagraph (G) of paragraph (2) who 
     are married to each other, the amount of the allowance 
     payable to such members shall be the amount otherwise payable 
     under this subsection to the member in the higher pay grade, 
     or to either member if both members are in the same pay 
     grade. The allowance shall be paid jointly to both 
     members.''.
       (c) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

     SEC. 634. ALLOWANCE FOR DISLOCATION FOR THE CONVENIENCE OF 
                   THE GOVERNMENT AT HOME STATION.

       (a) Authority.--(1) Chapter 7 of title 37, United States 
     Code is amended by inserting after section 407 the following 
     new section:

     ``Sec. 407a. Travel and transportation: allowance for 
       dislocation for the convenience of the Government at home 
       station

       ``(a) Authority.--Under regulations prescribed by the 
     Secretary concerned, a member of the uniformed services may 
     be paid a dislocation allowance under this section when 
     ordered, for the convenience of the Government and not 
     pursuant to a permanent change of station, to occupy or to 
     vacate family housing provided by the Department of Defense, 
     or by the Department of Transportation in the case of the 
     Coast Guard.
       ``(b) Amount.--(1) Subject to paragraph (2), the amount of 
     a dislocation allowance paid under this section is $500.
       ``(2) Effective on the same date that the monthly rates of 
     basic pay for members of the uniformed services are increased 
     under section 1009 of this title or by a law increasing those 
     rates by a percentage specified in the law, the amount of the 
     dislocation allowance provided under this section shall be 
     increased by the percentage by which the monthly rates of 
     basic pay are so increased.
       ``(c) Advance Payment.--A dislocation allowance payable 
     under this section may be paid in advance.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     407 the following new item:

``407a. Travel and transportation: allowance for dislocation for the 
              convenience of the Government at home station.''.
       (b) Effective Date.--Section 407a of title 37, United 
     States Code, shall take effect on October 1, 2001.

     SEC. 635. TRAVEL AND TRANSPORTATION ALLOWANCES FOR FAMILY 
                   MEMBERS TO ATTEND THE BURIAL OF A DECEASED 
                   MEMBER OF THE UNIFORMED SERVICES.

       (a) Consolidation of Authorities.--Section 411f of title 
     37, United States Code, is amended--
       (1) in subsection (a)--
       (A) by inserting ``Allowances Authorized.--(1)'' after 
     ``(a)'';
       (B) by striking ``the dependents of a member'' and 
     inserting ``eligible members of the family of a member of the 
     uniformed services'';
       (C) by striking ``such dependents'' and inserting ``such 
     persons''; and
       (D) by inserting at the end the following new paragraph:
       ``(2) An attendant accompanying a person provided travel 
     and transportation allowances under this section for travel 
     to the burial ceremony for a deceased member may also be 
     provided under the uniform regulations round trip travel and 
     transportation allowances for travel to the burial ceremony 
     if--
       ``(A) the accompanied person is unable to travel unattended 
     because of age, physical condition, or other justifiable 
     reason, as determined under the uniform regulations; and
       ``(B) there is no other eligible member of the family of 
     the deceased member traveling to the burial ceremony who is 
     eligible for travel and transportation allowances under this 
     section and is qualified to serve as the attendant.'';
       (2) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking ``(1) Except as provided in paragraph (2)'' 
     and inserting ``Limitations.--(1) Except as provided in 
     paragraphs (2) and (3)''; and
       (ii) by inserting before the period at the end the 
     following: ``and the time necessary for such travel'';
       (B) in paragraph (2), by striking ``be extended to 
     accommodate'' and inserting ``not exceed the rates for 2 days 
     and''; and
       (C) by adding at the end the following new paragraph:
       ``(3) If a deceased member is interred in a cemetery 
     maintained by the American Battle Monuments Commission, the 
     travel and transportation allowances authorized under this 
     section may be provided to and from such cemetery and may not 
     exceed the rates for 2 days and the time necessary for such 
     travel.''; and
       (3) by striking subsection (c) and inserting the following:
       ``(c) Eligible Members of Family.--The following members of 
     the family of a deceased member of the uniformed services are 
     eligible for the travel and transportation allowances under 
     this section:
       ``(1) The surviving spouse (including a remarried surviving 
     spouse) of the deceased member.
       ``(2) The unmarried child or children of the deceased 
     member referred to in section 401(a)(2) of this title.
       ``(3) If no person described in paragraphs (1) and (2) is 
     provided travel and transportation allowances under this 
     section, the parent or parents of the deceased member (as 
     defined in section 401(b)(2) of this title).
       ``(4) If no person described in paragraphs (1), (2), and 
     (3) is provided travel and transportation allowances under 
     this section, then--
       ``(A) the person who directs the disposition of the remains 
     of the deceased member under section 1482(c) of title 10, or, 
     in the case of a deceased member whose remains are commingled 
     and buried in a common grave in a national cemetery, the 
     person who would have been designated under such section to 
     direct the disposition of the remains if individual 
     identification had been made; and
       ``(B) up to two additional persons closely related to the 
     deceased member who are selected by the person referred to in 
     subparagraph (A).
       ``(d) Definitions.--In this section:
       ``(1) The term `burial ceremony' includes the following:
       ``(A) An interment of casketed or cremated remains.
       ``(B) A placement of cremated remains in a columbarium.
       ``(C) A memorial service for which reimbursement is 
     authorized under section 1482(d)(2) of title 10.
       ``(D) A burial of commingled remains that cannot be 
     individually identified in a common grave in a national 
     cemetery.
       ``(2) The term `member of the family' includes a person 
     described in section 1482(c)(4) of title 10 who, except for 
     this paragraph, would not otherwise be considered a family 
     member.''.
       (b) Repeal of Superseded Laws.--(1) Section 1482 of title 
     10, United States Code, is amended by striking subsection (d) 
     and redesignating subsections (e), (f), and (g) as 
     subsections (d), (e), and (f), respectively.
       (2) The Funeral Transportation and Living Expense Benefits 
     Act of 1974 (Public Law 93-257; 88 Stat. 53; 37 U.S.C. 406 
     note) is repealed.
       (c) Applicability.--The amendments made by this Act shall 
     apply with respect to deaths that occur on or after the later 
     of--
       (1) October 1, 2001; or
       (2) the date of the enactment of this Act.

     SEC. 636. FAMILY SEPARATION ALLOWANCE FOR MEMBERS ELECTING 
                   UNACCOMPANIED TOUR BY REASON OF HEALTH 
                   LIMITATIONS OF DEPENDENTS.

       (a) Eligibility.--Section 427(c) of title 37, United States 
     Code, is amended--
       (1) in the first sentence, by striking ``A member who 
     elects'' and inserting ``(1) Except as provided in paragraph 
     (2), a member who elects'';
       (2) in the second sentence, by striking ``The Secretary 
     concerned may waive the preceding sentence'' and inserting 
     the following:
       ``(3) The Secretary concerned may waive paragraph (1)''; 
     and
       (3) by inserting after paragraph (1) (as designated by the 
     amendment made by paragraph (1) of this section) the 
     following new paragraph:
       ``(2) The prohibition in the first sentence of paragraph 
     (1) does not apply in the case of a member who elects to 
     serve a tour of duty unaccompanied by his dependents at the 
     member's permanent station because a dependent cannot 
     accompany the member to or at that permanent station for 
     medical reasons certified by a health care professional in 
     accordance with regulations prescribed for the administration 
     of this section.''.
       (b) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

     SEC. 637. FUNDED STUDENT TRAVEL FOR FOREIGN STUDY UNDER AN 
                   EDUCATION PROGRAM APPROVED BY A UNITED STATES 
                   SCHOOL.

       (a) Authority.--Section 430 of title 37, United States 
     Code, is amended--
       (1) in subsection (a)(3)--
       (A) by striking ``attending'' and inserting ``enrolled 
     in''; and
       (B) by inserting before the comma at the end the following: 
     ``and is attending that

[[Page 20069]]

     school or is participating in a foreign study program 
     approved by that school and, pursuant to that program, is 
     attending a school outside the United States for a period of 
     not more than one year''; and
       (2) in subsection (b)--
       (A) in the first sentence of paragraph (1), by striking 
     ``each unmarried dependent child,'' and all that follows 
     through ``the school being attended'' and inserting ``each 
     unmarried dependent child (described in subsection (a)(3)) of 
     one annual trip between the school being attended by that 
     child''; and
       (B) by adding at the end the following new paragraph:
       ``(3) The transportation allowance paid under paragraph (1) 
     for an annual trip of a dependent child described in 
     subsection (a)(3) who is attending a school outside the 
     United States may not exceed the transportation allowance 
     that would be paid under this section for the annual trip of 
     that child between the child's school in the continental 
     United States and the member's duty station outside the 
     continental United States and return.''.
       (b) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001, and 
     shall apply with respect to travel that originates outside 
     the continental United States (as defined in section 430(f) 
     of title 37, United States Code), on or after that date.

     SEC. 638. TRANSPORTATION OR STORAGE OF PRIVATELY OWNED 
                   VEHICLES ON CHANGE OF PERMANENT STATION.

       (a) Advance Payment of Storage Costs.--Section 2634(b) of 
     title 10, United States Code, is amended by adding at the end 
     the following new paragraph:
       ``(4) Storage costs payable under this subsection may be 
     paid in advance.''.
       (b) Shipment in Permanent Change of Station Within CONUS.--
     Subsection (h)(1) of such section is amended--
       (1) by striking ``includes'' in the second sentence and all 
     that follows and inserting ``includes the following:''; and
       (2) by adding at the end the following subparagraphs:
       ``(A) An authorized change in home port of a vessel.
       ``(B) A transfer or assignment between two permanent 
     stations in the continental United States when--
       ``(i) the member cannot, because of injury or the 
     conditions of the order, drive the motor vehicle between the 
     permanent duty stations; or
       ``(ii) the Secretary concerned determines that it is 
     advantageous and cost-effective to the Government for one 
     motor vehicle of the member to be transported between the 
     permanent duty stations.''.
       (c) Effective Date.--This section and the amendments made 
     by this section shall take effect on October 1, 2001.

    Subtitle D--Matters Relating to Retirement and Survivor Benefits

     SEC. 651. PAYMENT OF RETIRED PAY AND COMPENSATION TO DISABLED 
                   MILITARY RETIREES.

       (a) Restoration of Retired Pay Benefits.--Chapter 71 of 
     title 10, United States Code, is amended by adding at the end 
     the following new section:

     ``Sec. 1414. Members eligible for retired pay who have 
       service-connected disabilities: payment of retired pay and 
       veterans' disability compensation

       ``(a) Payment of Both Retired Pay and Compensation.--Except 
     as provided in subsection (b), a member or former member of 
     the uniformed services who is entitled to retired pay (other 
     than as specified in subsection (c)) and who is also entitled 
     to veterans' disability compensation is entitled to be paid 
     both without regard to sections 5304 and 5305 of title 38.
       ``(b) Special Rule for Chapter 61 Career Retirees.--The 
     retired pay of a member retired under chapter 61 of this 
     title with 20 years or more of service otherwise creditable 
     under section 1405 of this title at the time of the member's 
     retirement is subject to reduction under sections 5304 and 
     5305 of title 38, but only to the extent that the amount of 
     the member's retired pay under chapter 61 of this title 
     exceeds the amount of retired pay to which the member would 
     have been entitled under any other provision of law based 
     upon the member's service in the uniformed services if the 
     member had not been retired under chapter 61 of this title.
       ``(c) Exception.--Subsection (a) does not apply to a member 
     retired under chapter 61 of this title with less than 20 
     years of service otherwise creditable under section 1405 of 
     this title at the time of the member's retirement.
       ``(d) Definitions.--In this section:
       ``(1) The term `retired pay' includes retainer pay, 
     emergency officers' retirement pay, and naval pension.
       ``(2) The term `veterans' disability compensation' has the 
     meaning given the term `compensation' in section 101(13) of 
     title 38.''.
       (b) Repeal of Special Compensation Program.--Section 1413 
     of such title is repealed.
       (c) Clerical Amendments.--The table of sections at the 
     beginning of such chapter is amended--
       (1) by striking the item relating to section 1413; and
       (2) by adding at the end the following new item:

``1414. Members eligible for retired pay who have service-connected 
              disabilities: payment of retired pay and veterans' 
              disability compensation.''.
       (d) Effective Date.--(1) The amendments made by this 
     section shall take effect on October 1, 2002.
       (2) No benefits may be paid to any person by reason of 
     section 1414 of title 10, United States Code, as added by the 
     amendment made by subsection (a), for any period before the 
     effective date under paragraph (1).

     SEC. 652. SBP ELIGIBILITY OF SURVIVORS OF RETIREMENT-
                   INELIGIBLE MEMBERS OF THE UNIFORMED SERVICES 
                   WHO DIE WHILE ON ACTIVE DUTY.

       (a) Surviving Spouse Annuity.--Section 1448(d) of title 10, 
     United States Code, is amended by striking paragraph (1) and 
     inserting the following:
       ``(1) Surviving spouse annuity.--The Secretary concerned 
     shall pay an annuity under this subchapter to the surviving 
     spouse of--
       ``(A) a member who dies while on active duty after--
       ``(i) becoming eligible to receive retired pay;
       ``(ii) qualifying for retired pay except that the member 
     has not applied for or been granted that pay; or
       ``(iii) completing 20 years of active service but before 
     the member is eligible to retire as a commissioned officer 
     because the member has not completed 10 years of active 
     commissioned service; or
       ``(B) a member not described in subparagraph (A) who dies 
     in line of duty while on active duty.''.
       (b) Computation of Survivor Annuity.--Section 1451(c)(1) of 
     title 10, United States Code, is amended--
       (1) in subparagraph (A)--
       (A) by striking ``based upon his years of active service 
     when he died.'' and inserting ``based upon the following:''; 
     and
       (B) by adding at the end the following new clauses:
       ``(i) In the case of an annuity payable under section 
     1448(d) of this title by reason of the death of a member in 
     line of duty, the retired pay base computed for the member 
     under section 1406(b) or 1407 of this title as if the member 
     had been retired under section 1201 of this title on the date 
     of the member's death with a disability rated as total.
       ``(ii) In the case of an annuity payable under section 
     1448(d)(1)(A) of this title by reason of the death of a 
     member not in line of duty, the member's years of active 
     service when he died.
       ``(iii) In the case of an annuity under section 1448(f) of 
     this title, the member's years of active service when he 
     died.''; and
       (2) in subparagraph (B)(i), by striking ``if the member or 
     former member'' and all that follows and inserting ``as 
     described in subparagraph (A).''.
       (c) Conforming Amendments.--(1) The heading for subsection 
     (d) of section 1448 of such title is amended by striking 
     ``Retirement-Eligible''.
       (2) Subsection (d)(3) of such section is amended by 
     striking ``1448(d)(1)(B) or 1448(d)(1)(C)'' and inserting 
     ``clause (ii) or (iii) of section 1448(d)(1)(A)''.
       (d) Extension and Increase of Objectives for Receipts From 
     Disposals of Certain Stockpile Materials Authorized for 
     Several Fiscal Years Beginning With Fiscal Year 1999.--
     Section 3303(a) of the Strom Thurmond National Defense 
     Authorization Act for Fiscal Year 1999 (Public Law 105-261; 
     112 Stat. 2262; 50 U.S.C. 98d note) is amended--
       (1) by striking ``and'' at the end of paragraph (3);
       (2) in paragraph (4)--
       (A) by striking ``$720,000,000'' and inserting 
     ``$760,000,000''; and
       (B) by striking the period at the end and inserting ``; 
     and''; and
       (3) by adding at the end the following new paragraph:
       ``(5) $770,000,000 by the end of fiscal year 2011.''.
       (e) Effective Date and Applicability.--This section and the 
     amendments made by this section shall take effect as of 
     September 10, 2001, and shall apply with respect to deaths of 
     members of the Armed Forces occurring on or after that date.

                       Subtitle E--Other Matters

     SEC. 661. EDUCATION SAVINGS PLAN FOR REENLISTMENTS AND 
                   EXTENSIONS OF SERVICE IN CRITICAL SPECIALTIES.

       (a) Establishment of Savings Plan.--(1) Chapter 5 of title 
     37, United States Code, is amended by adding at the end the 
     following new section:

     ``Sec. 324. Incentive bonus: savings plan for education 
       expenses and other contingencies

       ``(a) Benefit and Eligibility.--The Secretary concerned may 
     purchase United States savings bonds under this section for a 
     member of the armed forces who is eligible as follows:
       ``(1) A member who, before completing three years of 
     service on active duty, enters into a commitment to perform 
     qualifying service.
       ``(2) A member who, after completing three years of service 
     on active duty but not more than nine years of service on 
     active duty, enters into a commitment to perform qualifying 
     service.

[[Page 20070]]

       ``(3) A member who, after completing nine years of service 
     on active duty, enters into a commitment to perform 
     qualifying service.
       ``(b) Qualifying Service.--For the purposes of this 
     section, qualifying service is service on active duty in a 
     specialty designated by the Secretary concerned as critical 
     to meet requirements (whether or not such specialty is 
     designated as critical to meet wartime or peacetime 
     requirements) for a period that--
       ``(1) is not less than six years; and
       ``(2) does not include any part of a period for which the 
     member is obligated to serve on active duty under an 
     enlistment or other agreement for which a benefit has 
     previously been paid under this section.
       ``(c) Forms of Commitment to Additional Service.--For the 
     purposes of this section, a commitment means--
       ``(1) in the case of an enlisted member, a reenlistment; 
     and
       ``(2) in the case of a commissioned officer, an agreement 
     entered into with the Secretary concerned.
       ``(d) Amounts of Bonds.--The total of the face amounts of 
     the United States savings bonds authorized to be purchased 
     for a member under this section for a commitment shall be as 
     follows:
       ``(1) In the case of a purchase for a member under 
     paragraph (1) of subsection (a), $5,000.
       ``(2) In the case of a purchase for a member under 
     paragraph (2) of subsection (a), the amount equal to the 
     excess of $15,000 over the total of the face amounts of any 
     United States savings bonds previously purchased for the 
     member under this section.
       ``(3) In the case of a purchase for a member under 
     paragraph (3) of subsection (a), the amount equal to the 
     excess of $30,000 over the total of the face amounts of any 
     United States savings bonds previously purchased for the 
     member under this section.
       ``(e) Total Amount of Benefit.--The total amount of the 
     benefit authorized for a member when United States savings 
     bonds are purchased for the member under this section by 
     reason of a commitment by that member shall be the sum of--
       ``(1) the purchase price of the United States savings 
     bonds; and
       ``(2) the amounts that would be deducted and withheld for 
     the payment of individual income taxes if the total amount 
     computed under this subsection for that commitment were paid 
     to the member as a bonus.
       ``(f) Amount Withheld for Taxes.--The total amount payable 
     for a member under subsection (e)(2) for a commitment by that 
     member shall be withheld, credited, and otherwise treated in 
     the same manner as amounts deducted and withheld from the 
     basic pay of the member.
       ``(g) Repayment for Failure To Complete Obligated 
     Service.--(1) If a person fails to complete the qualifying 
     service for which the person is obligated under a commitment 
     for which a benefit has been paid under this section, the 
     person shall refund to the United States the amount that 
     bears the same ratio to the total amount paid for the person 
     (as computed under subsection (e)) for that particular 
     commitment as the uncompleted part of the period of 
     qualifying service bears to the total period of the 
     qualifying service for which obligated.
       ``(2) Subject to paragraph (3), an obligation to reimburse 
     the United States imposed under paragraph (1) is for all 
     purposes a debt owed to the United States.
       ``(3) The Secretary concerned may waive, in whole or in 
     part, a refund required under paragraph (1) if the Secretary 
     concerned determines that recovery would be against equity 
     and good conscience or would be contrary to the best 
     interests of the United States.
       ``(4) A discharge in bankruptcy under title 11 that is 
     entered less than five years after the termination of an 
     enlistment or other agreement under this section does not 
     discharge the person signing such reenlistment or other 
     agreement from a debt arising under the reenlistment or 
     agreement, respectively, or this subsection.
       ``(h) Relationship to Other Special Pays.--The benefit 
     authorized under this section is in addition to any other 
     bonus or incentive or special pay that is paid or payable to 
     a member under any other provision of this chapter for any 
     portion of the same qualifying service.
       ``(i) Regulations.--This section shall be administered 
     under regulations prescribed by the Secretary of Defense for 
     the armed forces under his jurisdiction and by the Secretary 
     of Transportation for the Coast Guard when the Coast Guard is 
     not operating as a service in the Navy.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``324. Incentive bonus: savings plan for education and other 
              contingencies.''.
       (b) Effective Date.--Section 324 of title 37, United States 
     Code (as added by subsection (a)), shall take effect on 
     October 1, 2001, and shall apply with respect to 
     reenlistments and other agreements for qualifying service 
     (described in that section) that are entered into on or after 
     that date.
       (c) Funding For Fiscal Year 2002.--Of the amount authorized 
     to be appropriated to the Department of Defense for military 
     personnel for fiscal year 2002 by section 421, $20,000,000 
     may be available in that fiscal year for the purchase of 
     United States savings bonds under section 324 of title 37, 
     United States Code (as added by subsection (a)).

     SEC. 662. COMMISSARY BENEFITS FOR NEW MEMBERS OF THE READY 
                   RESERVE.

       (a) Eligibility.--Section 1063 of title 10, United States 
     Code, is amended--
       (1) by redesignating subsections (b) and (c) as subsections 
     (c) and (d), respectively; and
       (2) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Eligibility of New Members.--(1) The Secretary 
     concerned shall authorize a new member of the Ready Reserve 
     to use commissary stores of the Department of Defense for a 
     number of days accruing at the rate of two days for each 
     month in which the member participates satisfactorily in 
     training required under section 10147(a)(1) of this title or 
     section 502(a) of title 32, as the case may be.
       ``(2) For the purposes of paragraph (1), a person shall be 
     considered a new member of the Ready Reserve upon becoming a 
     member and continuing without a break in the membership until 
     the earlier of--
       ``(A) the date on which the member becomes eligible to use 
     commissary stores under subsection (a); or
       ``(B) December 31 of the first calendar year in which the 
     membership has been continuous for the entire year.
       ``(3) A new member may not be authorized under this 
     subsection to use commissary stores for more than 24 days for 
     any calendar year.''.
       (b) Required Documentation.--Subsection (d) of such 
     section, as redesignated by subsection (a)(1), is amended by 
     adding at the end the following: ``The regulations shall 
     specify the required documentation of satisfactory 
     participation in training for the purposes of subsection 
     (b).''.
       (c) Conforming Amendment.--Subsection (c) of such section, 
     as redesignated by subsection (a)(1), is amended by striking 
     ``Subsection (a)'' and inserting ``Subsections (a) and (b)''.
       (d) Clerical Amendments.--(1) The heading for such section 
     is amended to read as follows:

     ``Sec. 1063. Use of commissary stores: members of Ready 
       Reserve''.

       (2) Subsection (a) of such section is amended by striking 
     ``of Ready Reserve'' and inserting ``With 50 or More 
     Creditable Points''.
       (3) The item relating to such section in the table of 
     sections at the beginning of chapter 54 of title 10, United 
     States Code, is amended to read as follows:

``1063. Use of commissary stores: members of Ready Reserve.''.

     SEC. 663. AUTHORIZATION OF TRANSITIONAL COMPENSATION AND 
                   COMMISSARY AND EXCHANGE BENEFITS FOR DEPENDENTS 
                   OF COMMISSIONED OFFICERS OF THE PUBLIC HEALTH 
                   SERVICE AND THE NATIONAL OCEANIC AND 
                   ATMOSPHERIC ADMINISTRATION WHO ARE SEPARATED 
                   FOR DEPENDENT ABUSE.

       (a) Commissioned Officers of the Public Health Service.--
     Section 221(a) of the Public Health Service Act (42 U.S.C. 
     213a(a)) is amended by adding at the end the following new 
     paragraph:
       ``(17) Section 1059, Transitional compensation and 
     commissary and exchange benefits for dependents of members 
     separated for dependent abuse.''.
       (b) Commissioned Officers of the National Oceanic and 
     Atmospheric Administration.--Section 3(a) of the Act entitled 
     ``An Act to revise, codify, and enact into law, title 10 of 
     the United States Code, entitled `Armed Forces', and title 32 
     of the United States Code, entitled `National Guard' '', 
     approved August 10, 1956 (33 U.S.C. 857a(a)), is amended by 
     adding at the end the following new paragraph:
       ``(17) Section 1059, Transitional compensation and 
     commissary and exchange benefits for dependents of members 
     separated for dependent abuse.''.

             Subtitle F--National Emergency Family Support

     SEC. 681. CHILD CARE AND YOUTH ASSISTANCE.

       (a) Authority.--The Secretary of Defense may provide 
     assistance for families of members of the Armed Forces 
     serving on active duty during fiscal year 2002, in order to 
     ensure that the children of such families obtain needed child 
     care and youth services.
       (b) Appropriate Primary Objective.--The assistance 
     authorized by this section should be directed primarily 
     toward providing needed family support, including child care 
     and youth services for children of such personnel who are 
     deployed, assigned, or ordered to active duty in connection 
     with operations of the Armed Forces under the national 
     emergency.

     SEC. 682. FAMILY EDUCATION AND SUPPORT SERVICES.

        During fiscal year 2002, the Secretary of Defense is 
     authorized to provide family education and support services 
     to families of members of the Armed Services to the same 
     extent that these services were provided during the Persian 
     Gulf War.

[[Page 20071]]



                         TITLE VII--HEALTH CARE

               Subtitle A--TRICARE Benefits Modernization

     SEC. 701. REQUIREMENT FOR INTEGRATION OF BENEFITS.

       (a) In General.--The Secretary of Defense shall--
       (1) terminate the Individual Case Management Program 
     carried out under section 1079(a)(17) of title 10, United 
     States Code (as in effect on September 30, 2001); and
       (2) integrate the beneficiaries under that program, and the 
     furnishing of care to those beneficiaries, into the TRICARE 
     program as modified pursuant to the amendments made by this 
     subtitle.
       (b) Repeal of Separate Authority.--Section 1079 of title 
     10, United States Code, is amended by striking paragraph 
     (17).
       (c) Savings Provision.--Nothing in this subtitle or the 
     amendments made by this subtitle shall be construed--
       (1) to modify any eligibility requirement for any person 
     receiving benefits under the Individual Case Management 
     Program before October 1, 2001; or
       (2) to terminate any benefits available under that program 
     before that date.
       (d) Consultation Requirement.--The Secretary of Defense 
     shall consult with the other administering Secretaries 
     referred to in section 1072(3) of title 10, United States 
     Code, in carrying out this section.

     SEC. 702. DOMICILIARY AND CUSTODIAL CARE.

       Section 1072 of title 10, United States Code, is amended by 
     adding at the end the following new paragraphs:
       ``(8) The term `domiciliary care' means treatment or 
     services involving assistance with the performance of 
     activities of daily living that is provided to a patient in a 
     home-like setting because--
       ``(A) the treatment or services are not available, or are 
     not suitable to be provided, to the patient in the patient's 
     home; or
       ``(B) no member of the patient's family is willing to 
     provide the treatment or services.
       ``(9) The term `custodial care'--
       ``(A) means treatment or services that--
       ``(i) could be provided safely and reasonably by a person 
     not trained as a physician, nurse, paramedic, or other health 
     care provider; or
       ``(ii) are provided principally to assist the recipient of 
     the treatment or services with the performance of activities 
     of daily living; and
       ``(B) includes any treatment or service described in 
     subparagraph (A) without regard to--
       ``(i) the source of any recommendation to provide the 
     treatment or service; and
       ``(ii) the setting in which the treatment or service is 
     provided.''.

     SEC. 703. LONG TERM CARE.

       (a) Limitation.--Chapter 55 of title 10, United States 
     Code, is amended by inserting after section 1074i the 
     following new section:

     ``Sec. 1074j. Long term care benefits program

       ``(a) Requirement for Program.--The Secretary of Defense 
     shall provide long term health care benefits under the 
     TRICARE program in an effective and efficient manner that 
     integrates those benefits with the benefits provided on a 
     less than a long term basis under the TRICARE program.
       ``(b) Authorized Care.--The types of health care authorized 
     to be provided under this section shall include the 
     following:
       ``(1) The types of health care authorized to be acquired by 
     contract under section 1079 of this title.
       ``(2) Extended care services.
       ``(3) Post-hospital extended care services.
       ``(4) Comprehensive intermittent home health services.
       ``(c) Duration of Post-Hospital Extended Care Services.--
     The post-hospital extended care services provided in a 
     skilled nursing facility to a patient during a spell of 
     illness under subsection (b)(3) shall continue for as long as 
     is medically necessary and appropriate. The limitation on the 
     number of days of coverage under subsections (a)(2) and 
     (b)(2)(A) of section 1812 of the Social Security Act (42 
     U.S.C. 1395d) shall not apply with respect to the care 
     provided that patient.
       ``(d) Regulations.--The Secretary of Defense shall, after 
     consultation with the other administering Secretaries, 
     prescribe regulations to carry out this section.
       ``(e) Definitions.--In this section:
       ``(1) The term `extended care services' has the meaning 
     given the term in subsection (h) of section 1861 of the 
     Social Security Act (42 U.S.C. 1395x).
       ``(2) The term `post-hospital extended services' has the 
     meaning given the term in subsection (i) of section 1861 of 
     the Social Security Act (42 U.S.C. 1395x).
       ``(3) The term `home health services' has the meaning given 
     the term in subsection (m) of section 1861 of the Social 
     Security Act (42 U.S.C. 1395x).
       ``(4) The term `skilled nursing facility' has the meaning 
     given the term in section 1819(a) of the Social Security Act 
     (42 U.S.C. 1395i-3(a)).
       ``(5) The term `spell of illness' has the meaning given the 
     term in subsection (a) of section 1861 of the Social Security 
     Act (42 U.S.C. 1395x).''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 1074i the following new item:

``1074j. Long term care benefits program.''.

     SEC. 704. EXTENDED BENEFITS FOR DISABLED BENEFICIARIES.

       Section 1079 of title 10, United States Code, is amended by 
     striking subsections (d), (e), and (f) and inserting the 
     following:
       ``(d)(1) The health care benefits contracted for under this 
     section shall include extended benefits for dependents 
     referred to in the first sentence of subsection (a) who have 
     any of the following qualifying conditions:
       ``(A) Moderate or severe mental retardation.
       ``(B) A serious physical disability.
       ``(C) Any extraordinary physical or psychological 
     condition.
       ``(2) The extended benefits under paragraph (1) may include 
     comprehensive health care, including services necessary to 
     maintain function, or to minimize or prevent deterioration of 
     function, of the patient, and case management services, to 
     the extent not otherwise provided under this chapter with 
     respect to a qualifying condition, as follows:
       ``(A) Diagnosis.
       ``(B) Inpatient, outpatient, and comprehensive home health 
     supplies and services.
       ``(C) Training and rehabilitation, including special 
     education and assistive technology devices.
       ``(D) Institutional care in private nonprofit, public, and 
     State institutions and facilities and, when appropriate, 
     transportation to and from such institutions and facilities.
       ``(E) Any other services and supplies determined 
     appropriate under regulations prescribed under paragraph (9).
       ``(3) The extended benefits under paragraph (1) may also 
     include respite care for the primary caregiver of a dependent 
     eligible for extended benefits under this subsection.
       ``(4) Home health supplies and services may be provided to 
     a dependent under paragraph (2)(B) as other than part-time or 
     intermittent services (as determined in accordance with the 
     second sentence of section 1861(m) of the Social Security Act 
     (42 U.S.C. 1395x(m)) only if--
       ``(A) the provision of such supplies and services in the 
     home of the dependent is medically appropriate; and
       ``(B) the cost of the provision of such supplies and 
     services to the dependent is equal to or less than the cost 
     of the provision of similar supplies and services to the 
     dependent in a skilled nursing facility.
       ``(5) Subsection (a)(13) shall not apply to the provision 
     of care and services determined appropriate to be provided as 
     extended benefits under this subsection.
       ``(6) Subject to paragraph (7), a member of the uniformed 
     services shall pay a share of the cost of any care and 
     services provided as extended benefits to any of the 
     dependents of the member under this subsection as follows:
       ``(A) In the case of a member in the lowest enlisted pay 
     grade, the first $25 of the cumulative costs of all care 
     furnished to one or more dependents of the member in a month.
       ``(B) In the case of a member in the highest commissioned 
     pay grade, the first $250 of the cumulative costs of all care 
     furnished to one or more dependents of the member in a month.
       ``(C) In the case of a member in any other pay grade, a 
     fixed amount of the cumulative costs of all care furnished to 
     one or more dependents of the member in a month, as 
     prescribed for that pay grade in regulations prescribed under 
     paragraph (9).
       ``(7)(A) In the case of extended benefits provided under 
     subparagraph (C) or (D) of paragraph (2) to a dependent of a 
     member of the uniformed services--
       ``(i) the Government's share of the total cost of providing 
     such benefits in any month shall not exceed $2,500, except 
     for costs that a member is exempt from paying under 
     subparagraph (B); and
       ``(ii) the member shall pay (in addition to any amount 
     payable under paragraph (6)) the amount, if any, by which the 
     amount of such total cost for the month exceeds the 
     Government's maximum share under clause (i).
       ``(B) A member of the uniformed services who incurs 
     expenses under subparagraph (A) for a month for more than one 
     dependent shall not be required to pay for the month under 
     clause (ii) of that subparagraph an amount greater than the 
     amount the member would otherwise be required to pay under 
     that clause for the month if the member were incurring 
     expenses under that subparagraph for only one dependent.
       ``(8) To qualify for extended benefits under subparagraph 
     (C) or (D) of paragraph (2), a dependent of a member of the 
     uniformed services shall be required to use public facilities 
     to the extent such facilities are available and adequate, as 
     determined under joint regulations of the administering 
     Secretaries.
       ``(9) The Secretary of Defense, in consultation with the 
     other administering Secretaries, shall prescribe regulations 
     to carry out this subsection.''.

     SEC. 705. CONFORMING REPEALS.

       The following provisions of law are repealed:
       (1) Section 703 of the National Defense Authorization Act 
     for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 682; 10 
     U.S.C. 1077 note).
       (2) Section 8118 of the Department of Defense 
     Appropriations Act, 2000 (Public Law 106-79; 113 Stat. 1260).

[[Page 20072]]

       (3) Section 8100 of the Department of Defense 
     Appropriations Act, 2001 (Public Law 106-259; 114 Stat. 696).

     SEC. 706. PROSTHETICS AND HEARING AIDS.

       Section 1077 of title 10 United States Code, is amended--
       (1) in subsection (a), by adding at the end the following:
       ``(16) A hearing aid, but only for a dependent of a member 
     of the uniformed services on active duty and only if the 
     dependent has a profound hearing loss, as determined under 
     standards prescribed in regulations by the Secretary of 
     Defense in consultation with the administering 
     Secretaries.'';
       (2) in subsection (b)(2), by striking ``Hearing aids, 
     orthopedic footwear,'' and inserting ``Orthopedic footwear''; 
     and
       (3) by adding at the end the following new subsection:
       ``(f)(1) Authority to provide a prosthetic device under 
     subsection (a)(15) includes authority to provide the 
     following:
       ``(A) Any accessory or item of supply that is used in 
     conjunction with the device for the purpose of achieving 
     therapeutic benefit and proper functioning.
       ``(B) Services necessary to train the recipient of the 
     device in the use of the device.
       ``(C) Repair of the device for normal wear and tear or 
     damage.
       ``(D) Replacement of the device if the device is lost or 
     irreparably damaged or the cost of repair would exceed 60 
     percent of the cost of replacement.
       ``(2) An augmentative communication device may be provided 
     as a voice prosthesis under subsection (a)(15).
       ``(3) A prosthetic device customized for a patient may be 
     provided under this section only by a prosthetic practitioner 
     who is qualified to customize the device, as determined under 
     regulations prescribed by the Secretary of Defense in 
     consultation with the administering Secretaries.''.

     SEC. 707. DURABLE MEDICAL EQUIPMENT.

       (a) Items Authorized.--Section 1077 of title 10, United 
     States Code, as amended by section 706, is further amended--
       (1) in subsection (a)(12), by striking ``such as 
     wheelchairs, iron lungs, and hospital beds,'' and inserting 
     ``which''; and
       (2) by adding at the end the following new subsection:
       ``(g)(1) Items that may be provided to a patient under 
     subsection (a)(12) include the following:
       ``(A) Any durable medical equipment that can improve, 
     restore, or maintain the function of a malformed, diseased, 
     or injured body part, or can otherwise minimize or prevent 
     the deterioration of the patient's function or condition.
       ``(B) Any durable medical equipment that can maximize the 
     patient's function consistent with the patient's 
     physiological or medical needs.
       ``(C) Wheelchairs.
       ``(D) Iron lungs,
       ``(E) Hospital beds.
       ``(2) In addition to the authority to provide durable 
     medical equipment under subsection (a)(12), any customization 
     of equipment owned by the patient that is durable medical 
     equipment authorized to be provided to the patient under this 
     section or section 1079(a)(5) of this title, and any 
     accessory or item of supply for any such equipment, may be 
     provided to the patient if the customization, accessory, or 
     item of supply is essential for--
       ``(A) achieving therapeutic benefit for the patient;
       ``(B) making the equipment serviceable; or
       ``(C) otherwise assuring the proper functioning of the 
     equipment.''.
       (b) Provision of Items on Rental Basis.--Paragraph (5) of 
     section 1079(a) of such title is amended to read as follows:
       ``(5) Durable equipment provided under this section may be 
     provided on a rental basis.''.

     SEC. 708. REHABILITATIVE THERAPY.

       Section 1077(a) of title 10, United States Code, as amended 
     by section 706(1), is further amended by inserting after 
     paragraph (16) the following new paragraph:
       ``(17) Any rehabilitative therapy to improve, restore, or 
     maintain function, or to minimize or prevent deterioration of 
     function, of a patient when prescribed by a physician.''.

     SEC. 709. MENTAL HEALTH BENEFITS.

       (a) Requirement for Study.--The Secretary of Defense shall 
     carry out a study to determine the adequacy of the scope and 
     availability of outpatient mental health benefits provided 
     for members of the Armed Forces and covered beneficiaries 
     under the TRICARE program.
       (b) Report.--Not later than March 31, 2002, the Secretary 
     shall submit to the Committees on Armed Services of the 
     Senate and the House of Representatives a report on the 
     study, including the conclusions and any recommendations for 
     legislation that the Secretary considers appropriate.

     SEC. 710. EFFECTIVE DATE.

       This subtitle and the amendments made by this subtitle 
     shall take effect on October 1, 2001.

                       Subtitle B--Other Matters

     SEC. 711. REPEAL OF REQUIREMENT FOR PERIODIC SCREENINGS AND 
                   EXAMINATIONS AND RELATED CARE FOR MEMBERS OF 
                   ARMY RESERVE UNITS SCHEDULED FOR EARLY 
                   DEPLOYMENT.

       Section 1074a of title 10, United States Code, is amended--
       (1) by striking subsection (d); and
       (2) by redesignating subsection (e) as subsection (d).

     SEC. 712. CLARIFICATION OF ELIGIBILITY FOR REIMBURSEMENT OF 
                   TRAVEL EXPENSES OF ADULT ACCOMPANYING PATIENT 
                   IN TRAVEL FOR SPECIALTY CARE.

       Section 1074i of title 10, United States Code, is amended 
     by inserting before the period at the end the following: 
     ``and, when accompaniment by an adult is necessary, for a 
     parent or guardian of the covered beneficiary or another 
     member of the covered beneficiary's family who is at least 21 
     years of age''.

     SEC. 713. TRICARE PROGRAM LIMITATIONS ON PAYMENT RATES FOR 
                   INSTITUTIONAL HEALTH CARE PROVIDERS AND ON 
                   BALANCE BILLING BY INSTITUTIONAL AND 
                   NONINSTITUTIONAL HEALTH CARE PROVIDERS.

       (a) Institutional Providers.--Section 1079(j) of title 10, 
     United States Code, is amended--
       (1) in paragraph (2)(A)--
       (A) by striking ``(A)''; and
       (B) by striking ``may be determined under joint 
     regulations'' and inserting ``shall be determined under joint 
     regulations'';
       (2) by redesignating subparagraph (B) of paragraph (2) as 
     paragraph (4), and, in such paragraph, as so redesignated, by 
     striking ``subparagraph (A),'' and inserting ``this 
     subsection,''; and
       (3) by inserting before paragraph (4), as redesignated by 
     paragraph (2), the following new paragraph (3):
       ``(3) A contract for a plan covered by this section shall 
     include a clause that prohibits each provider of services 
     under the plan from billing any person covered by the plan 
     for any balance of charges for services in excess of the 
     amount paid for those services under the joint regulations 
     referred to in paragraph (2), except for any unpaid amounts 
     of deductibles or copayments that are payable directly to the 
     provider by the person.''.
       (b) Noninstitutional Providers.--Section 1079(h)(4) of such 
     title is amended--
       (1) by inserting ``(A)'' after ``(4)''; and
       (2) by adding at the end the following new subparagraph:
       ``(B) The regulations shall include a restriction that 
     prohibits an individual health care professional (or other 
     noninstitutional health care provider) from billing a 
     beneficiary for services for more than the amount that is 
     equal to--
       ``(i) the excess of the limiting charge (as defined in 
     section 1848(g)(2) of the Social Security Act (42 U.S.C. 
     1395w-4(g)(2))) that would be applicable if the services had 
     been provided by the professional (or other provider) as an 
     individual health care professional (or other 
     noninstitutional health care provider) on a nonassignment-
     related basis under part B of title XVIII of such Act over 
     the amount that is payable by the United States for those 
     services under this subsection, plus
       ``(ii) any unpaid amounts of deductibles or copayments that 
     are payable directly to the professional (or other provider) 
     by the beneficiary.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2001.

     SEC. 714. TWO-YEAR EXTENSION OF HEALTH CARE MANAGEMENT 
                   DEMONSTRATION PROGRAM.

       (a) Extension.--Subsection (d) of section 733 of the Floyd 
     D. Spence National Defense Authorization Act for Fiscal Year 
     2001 (as enacted by Public Law 106-398; 114 Stat. 1654A-191) 
     is amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2003''.
       (b) Report.--Subsection (e) of that section is amended--
       (1) by striking ``Reports.--'' and inserting ``Report.--''; 
     and
       (2) by striking ``March 15, 2002'' and inserting ``March 
     15, 2004''.

     SEC. 715. STUDY OF HEALTH CARE COVERAGE OF MEMBERS OF THE 
                   SELECTED RESERVE.

       (a) Requirement for Study.--The Comptroller General shall 
     carry out a study of the needs of members of the Selected 
     Reserve of the Ready Reserve of the Armed Forces and their 
     families for health care benefits.
       (b) Report.--Not later than March 1, 2002, the Comptroller 
     General shall submit to Congress a report on the study under 
     subsection (a). The report shall include the following 
     matters:
       (1) An analysis of how members of the Selected Reserve 
     currently obtain coverage for health care benefits when not 
     on active duty, together with statistics on enrollments in 
     health care benefits plans, including--
       (A) the percentage of members of the Selected Reserve who 
     are not covered by an employer health benefits plan;
       (B) the percentage of members of the Selected Reserve who 
     are not covered by an individual health benefits plan; and
       (C) the percentage of members of the Selected Reserve who 
     are not covered by any health insurance or other health 
     benefits plan.
       (2) An assessment of the disruptions in health benefits 
     coverage that a mobilization of members of the Selected 
     Reserve has caused for the members and their families.

[[Page 20073]]

       (3) An assessment of the cost and effectiveness of various 
     options for preventing or reducing disruptions described in 
     paragraph (2), including--
       (A) providing health care benefits to all members of the 
     Selected Reserve and their families through TRICARE, the 
     Federal Employees Health Benefits Program, or otherwise;
       (B) revising and extending the program of transitional 
     medical and dental care that is provided under section 1074b 
     of title 10, United States Code, for members of the Armed 
     Forces upon release from active duty served in support of a 
     contingency operation;
       (C) requiring the health benefits plans of members of the 
     Selected Reserve, including individual health benefits plans 
     and group health benefits plans, to permit members of the 
     Selected Reserve to elect to resume coverage under such 
     health benefits plans upon release from active duty in 
     support of a contingency operation;
       (D) providing financial assistance for paying premiums or 
     other subscription charges for continuation of coverage by 
     private sector health insurance or other health benefits 
     plans; and
       (E) any other options that the Comptroller General 
     determines advisable to consider.

     SEC. 716. STUDY OF ADEQUACY AND QUALITY OF HEALTH CARE 
                   PROVIDED TO WOMEN UNDER THE DEFENSE HEALTH 
                   PROGRAM.

       (a) Requirement for Study.--The Comptroller General shall 
     carry out a study of the adequacy and quality of the health 
     care provided to women under chapter 55 of title 10, United 
     States Code.
       (b) Specific Consideration.--The study shall include an 
     intensive review of the availability and quality of 
     reproductive health care services.
       (c) Report.--The Comptroller General shall submit a report 
     on the results of the study to Congress not later than April 
     1, 2002.

     SEC. 717. PILOT PROGRAM FOR DEPARTMENT OF VETERANS AFFAIRS 
                   SUPPORT FOR DEPARTMENT OF DEFENSE IN THE 
                   PERFORMANCE OF SEPARATION PHYSICAL 
                   EXAMINATIONS.

       (a) Authority.--The Secretary of Defense and the Secretary 
     of Veterans Affairs may jointly carry out a pilot program for 
     the performance of the physical examinations required in 
     connection with the separation of members of the uniformed 
     services. The requirements of this section shall apply to a 
     pilot program, if any, that is carried out under the 
     authority of this subsection.
       (b) Performance of Physical Examinations by Department of 
     Veterans Affairs.--Under the pilot program, the Secretary of 
     Veterans Affairs shall perform the physical examinations of 
     members of the uniformed services separating from the 
     uniformed services who are in one or more geographic areas 
     designated for the pilot program by the Secretaries.
       (c) Reimbursement.--The Secretary of Defense shall provide 
     for reimbursing the Secretary of Veterans Affairs for the 
     cost incurred by the Secretary of Veterans Affairs in 
     performing, under the pilot program, the items of physical 
     examination that are required by the Secretary concerned in 
     connection with the separation of a member of a uniformed 
     service. Reimbursements shall be paid out of funds available 
     for the performance of separation physical examinations of 
     members of that uniformed service in facilities of the 
     uniformed services.
       (d) Agreement.--(1) The Secretary of Defense and the 
     Secretary of Veterans Affairs shall enter into an agreement 
     for carrying out a pilot program established under this 
     section. The agreement shall specify the geographic area in 
     which the pilot program is carried out and the means for 
     making reimbursement payments.
       (2) The other administering Secretaries shall also enter 
     into the agreement to the extent that the Secretary of 
     Defense determines necessary to apply the pilot program, 
     including the requirement for reimbursement, to the uniformed 
     services not under the jurisdiction of the Secretary of a 
     military department.
       (e) Consultation Requirement.--In developing and carrying 
     out the pilot program, the Secretary of Defense shall consult 
     with the other administering Secretaries.
       (f) Period of Program.--Any pilot program established under 
     this section shall begin not later than July 1, 2002, and 
     terminate on December 31, 2005.
       (g) Reports.--(1) Not later than January 31, 2004, the 
     Secretary of Defense and the Secretary of Veterans Affairs 
     shall jointly submit to Congress an interim report on the 
     conduct of the pilot program.
       (2) Not later than March 1, 2005, the Secretary of Defense 
     and the Secretary of Veterans Affairs shall jointly submit to 
     Congress a final report on the conduct of the pilot program.
       (3) Each report under this subsection shall include the 
     Secretaries' assessment, as of the date of such report, of 
     the efficacy of the performance of separation physical 
     examinations as provided for under the pilot program.
       (h) Definitions.--In this section:
       (1) The term ``administering Secretaries'' has the meaning 
     given the term in section 1072(3) of title 10, United States 
     Code.
       (2) The term ``Secretary concerned'' has the meaning given 
     the term in section 101(5) of title 37, United States Code.

     SEC. 718. MODIFICATION OF PROHIBITION ON REQUIREMENT OF 
                   NONAVAILABILITY STATEMENT OR PREAUTHORIZATION.

       (a) Clarification of Covered Beneficiaries.--Subsection (a) 
     of section 721 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted in Public 
     Law 106-398; 114 Stat. 1654A-184) is amended by striking 
     ``covered beneficiary under chapter 55 of title 10, United 
     States Code, who is enrolled in TRICARE Standard,`` and 
     inserting ``covered beneficiary under TRICARE Standard 
     pursuant to chapter 55 of title 10, United States Code,''.
       (b) Repeal of Requirement for Notification Regarding Health 
     Care Received From Another Source.--Subsection (b) of such 
     section is repealed.
       (c) Waiver Authority.--Such section, as so amended, is 
     further amended by striking subsection (c) and inserting the 
     following:
       ``(b) Waiver Authority.--The Secretary may waive the 
     prohibition in subsection (a) if--
       ``(1) the Secretary--
       ``(A) demonstrates that significant costs would be avoided 
     by performing specific procedures at the affected military 
     medical treatment facility or facilities;
       ``(B) determines that a specific procedure must be provided 
     at the affected military medical treatment facility or 
     facilities to ensure the proficiency levels of the 
     practitioners at the facility or facilities; or
       ``(C) determines that the lack of nonavailability statement 
     data would significantly interfere with TRICARE contract 
     administration;
       ``(2) the Secretary provides notification of the 
     Secretary's intent to grant a waiver under this subsection to 
     covered beneficiaries who receive care at the military 
     medical treatment facility or facilities that will be 
     affected by the decision to grant a waiver under this 
     subsection;
       ``(3) the Secretary notifies the Committees on Armed 
     Services of the House of Representatives and the Senate of 
     the Secretary's intent to grant a waiver under this 
     subsection, the reason for the waiver, and the date that a 
     nonavailability statement will be required; and
       ``(4) 60 days have elapsed since the date of the 
     notification described in paragraph (3).''.
       (d) Delay of Effective Date.--Subsection (d) of such 
     section is amended--
       (1) by striking ``take effect on October 1, 2001'' and 
     inserting ``be effective beginning on the date that is two 
     years after the date of the enactment of the National Defense 
     Authorization Act for Fiscal Year 2002''; and
       (2) by redesignating the subsection as subsection (c).
       (e) Report.--Not later than March 1, 2002, the Secretary of 
     Defense shall submit to the Committees on Armed Services of 
     the House of Representatives and the Senate a report on the 
     Secretary's plans for implementing section 721 of the Floyd 
     D. Spence National Defense Authorization Act for Fiscal Year 
     2001, as amended by this section.

     SEC. 719. TRANSITIONAL HEALTH CARE TO MEMBERS SEPARATED FROM 
                   ACTIVE DUTY.

       (a) Permanent Authority for Involuntarily Separated Members 
     and Mobilized Reserves.--Subsection (a) of section 1145 of 
     title 10, United States Code, is amended--
       (1) in paragraph (1), by striking ``paragraph (2), a 
     member'' and all that follows through ``of the member),'' and 
     inserting ``paragraph (3), a member of the armed forces who 
     is separated from active duty as described in paragraph 
     (2)'';
       (2) by redesignating paragraph (2) as paragraph (3);
       (3) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) This subsection applies to the following members of 
     the armed forces:
       ``(A) A member who is involuntarily separated from active 
     duty.
       ``(B) A member of a reserve component who is separated from 
     active duty to which called or ordered in support of a 
     contingency operation if the active duty is active duty for a 
     period of more than 30 days.
       ``(C) A member who is separated from active duty for which 
     the member is involuntarily retained under section 12305 of 
     this title in support of a contingency operation.
       ``(D) A member who is separated from active duty served 
     pursuant to a voluntary agreement of the member to remain on 
     active duty for a period of less than one year in support of 
     a contingency operation.''; and
       (4) in paragraph (3), as redesignated by paragraph (2), is 
     amended by striking ``involuntary'' each place it appears.
       (b) Conforming Amendments.--Such section 1145 is further 
     amended--
       (1) in subsection (c)(1), by striking ``during the period 
     beginning on October 1, 1990, and ending on December 31, 
     2001''; and
       (2) in subsection (e), by striking the first sentence.
       (c) Repeal of Superseded Authority.--(1) Section 1074b of 
     title 10, United States Code, is repealed.
       (2) The table of sections at the beginning of chapter 55 of 
     such title is amended by striking the item relating to 
     section 1074b.

[[Page 20074]]

       (d) Transition Provision.--Notwithstanding the repeal of 
     section 1074b of title 10, United States Code, by subsection 
     (c), the provisions of that section, as in effect before the 
     date of the enactment of this Act, shall continue to apply to 
     a member of the Armed Forces who is released from active duty 
     in support of a contingency operation before that date.

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

         Subtitle A--Procurement Management and Administration

     SEC. 801. MANAGEMENT OF PROCUREMENTS OF SERVICES.

       (a) Responsibility of Under Secretary of Defense for 
     Acquisition, Technology, and Logistics.--Section 133(b) of 
     title 10, United States Code, is amended--
       (1) by striking ``and'' at the end of paragraph (4);
       (2) by redesignating paragraph (5) as paragraph (6); and
       (3) by inserting after paragraph (4) the following new 
     paragraph (5):
       ``(5) managing the procurements of services for the 
     Department of Defense; and''.
       (b) Requirement for Management Structure.--(1) Chapter 137 
     of such title is amended by inserting after section 2328 the 
     following new section:

     ``Sec. 2330. Procurements of services: management structure

       ``(a) Requirement for Management Structure.--The Under 
     Secretary of Defense for Acquisition, Technology, and 
     Logistics shall establish a structure for the management of 
     procurements of services for the Department of Defense.
       ``(b) Delegation of Authority.--(1) The management 
     structure shall provide for a designated official in each 
     Defense Agency, military department, and command to exercise 
     the responsibility for the management of the procurements of 
     services for the official's Defense Agency, military 
     department, or command, respectively.
       ``(2) For the exercise of the responsibility under 
     paragraph (1), a designated official shall report, and be 
     accountable, to--
       ``(A) the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics; and
       ``(B) such other officials as the Under Secretary may 
     prescribe for the management structure.
       ``(3) Paragraph (2) shall not affect the responsibility of 
     a designated official for a military department who is not 
     the Secretary of that military department to report, and be 
     accountable, to the Secretary of the military department.
       ``(c) Contracting Responsibilities of Designated 
     Officials.--The responsibilities of an official designated 
     under subsection (b) shall include, with respect to the 
     procurements of services for the Defense Agency, military 
     department, or command of that official, the following:
       ``(1) Ensuring that the services are procured by means of 
     contracts or task orders that are in the best interests of 
     the Department of Defense and are entered into or issued and 
     managed in compliance with the applicable statutes, 
     regulations, directives, and other requirements, regardless 
     of whether the services are procured through a contract of 
     the Department of Defense or through a contract entered into 
     by an official of the United States outside the Department of 
     Defense.
       ``(2) Establishing within the Department of Defense 
     appropriate contract vehicles for use in the procurement of 
     services so as to ensure that officials of the Department of 
     Defense are accountable for the procurement of the services 
     in accordance with the requirements of paragraph (1).
       ``(3) Analyzing data collected under section 2330a of this 
     title on contracts that are entered into for the procurement 
     of services.
       ``(4) Approving, in advance, any procurement of services 
     that is to be made through the use of--
       ``(A) a contract or task order that is not a performance-
     based contract or task order; or
       ``(B) a contract entered into, or a task order issued, by 
     an official of the United States outside the Department of 
     Defense.
       ``(d) Definition.--In this section, the term `performance-
     based', with respect to a contract or a task order means that 
     the contract or task- order, respectively, includes the use 
     of performance work statements that set forth contract 
     requirements in clear, specific, and objective terms with 
     measurable outcomes.''.
       (2) Not later than 180 days after the date of the enactment 
     of this Act, the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics shall issue guidance for officials 
     in the management structure established under section 2330 of 
     title 10, United States Code (as added by paragraph (1)), 
     regarding how to carry out their responsibilities under that 
     section. The guidance shall include, at a minimum, the 
     following:
       (A) Specific dollar thresholds, approval levels, and 
     criteria for advance approvals under subsection (c)(4) of 
     such section 2330.
       (B) A prohibition on the procurement of services through 
     the use of a contract entered into, or a task order issued, 
     by an official of the United States outside the Department of 
     Defense that is not a performance-based contract or task 
     order, unless an appropriate official in the management 
     structure established under such section 2330 determines in 
     writing that the use of that means for the procurement is 
     justified on the basis of exceptional circumstances as being 
     in the best interests of the Department of Defense.
       (c) Tracking of Procurements of Services.--Chapter 137 of 
     title 10, United States Code, as amended by subsection (b), 
     is further amended by inserting after section 2330 the 
     following new section:

     ``Sec. 2330a. Procurements of services: tracking

       ``(a) Data Collection Required.--The Secretary of Defense 
     shall establish a data collection system to provide 
     management information with regard to each purchase of 
     services by a military department or Defense Agency in excess 
     of the simplified acquisition threshold, regardless of 
     whether such a purchase is made in the form of a contract, 
     task order, delivery order, military interdepartmental 
     purchase request, or any other form of interagency agreement.
       ``(b) Data To Be Collected.--The data required to be 
     collected under subsection (a) includes the following:
       ``(1) The services purchased.
       ``(2) The total dollar amount of the purchase.
       ``(3) The form of contracting action used to make the 
     purchase.
       ``(4) Whether the purchase was made through--
       ``(A) a performance-based contract, performance-based task 
     order, or other performance-based arrangement that contains 
     firm fixed prices for the specific tasks to be performed;
       ``(B) any other performance-based contract, performance-
     based task order, or performance-based arrangement; or
       ``(C) any contract, task order, or other arrangement that 
     is not performance based.
       ``(5) In the case of a purchase made through an agency 
     other than the Department of Defense--
       ``(A) the agency through which the purchase is made; and
       ``(B) the reasons for making the purchase through that 
     agency.
       ``(6) The extent of competition provided in making the 
     purchase (including the number of offerors).
       ``(7) whether the purchase was made from--
       ``(A) a small business concern;
       ``(B) a small business concern owned and controlled by 
     socially and economically disadvantaged individuals; or
       ``(C) a small business concern owned and controlled by 
     women.
       ``(c) Compatibility With Data Collection System for 
     Information Technology Purchases.--To the maximum extent 
     practicable, a single data collection system shall be used to 
     collect data under this section and information under section 
     2225 of this title.
       ``(d) Definitions.--In this section:
       ``(1) The term `performance-based', with respect to a 
     contract, task order, or arrangement, means that the 
     contract, task order, or arrangement, respectively, includes 
     the use of performance work statements that set forth 
     contract requirements in clear, specific, and objective terms 
     with measurable outcomes.
       ``(2) The definitions set forth in section 2225(f) of this 
     title for the terms `simplified acquisition threshold', 
     `small business concern', `small business concern owned and 
     controlled by socially and economically disadvantaged 
     individuals', and `small business concern owned and 
     controlled by women' shall apply.''.
       (d) Requirement for Program Review Structure.--(1) Not 
     later than 180 days after the date of the enactment of this 
     Act, the Secretary of Defense shall issue and implement a 
     policy that applies to the procurement of services by the 
     Department of Defense a program review structure that is 
     similar to the one developed for and applied to the 
     procurement of systems by the Department of Defense.
       (2) The program review structure for the procurement of 
     services shall, at a minimum, include the following:
       (A) Standards for determining which procurements should be 
     subject to review by either the senior procurement executive 
     of a military department or the senior procurement executive 
     of the Department of Defense under such section, including 
     criteria based on dollar thresholds, program criticality, or 
     other appropriate measures.
       (B) Appropriate milestones at which those reviews should 
     take place.
       (C) A description of the specific matters that should be 
     reviewed.
       (e) Comptroller General Review.--Not later than 90 days 
     after the date on which the Secretary issues the policy 
     required by subsection (d) and the Under Secretary of Defense 
     for Acquisition, Technology, and Logistics issues the 
     guidance required by subsection (b)(2), the Comptroller 
     General shall submit to the Committees on Armed Services of 
     the Senate and the House of Representatives an assessment of 
     the compliance with the requirements of this section and the 
     amendments made by this section.
       (f) Definitions.--In this section:
       (1) The term ``senior procurement executive'' means the 
     official designated as the senior procurement executive under 
     section 16(3) of the Office of Federal Procurement Policy Act 
     (41 U.S.C. 414(3)).

[[Page 20075]]

       (2) The term ``performance-based'', with respect to a 
     contract or a task order means that the contract or task 
     order, respectively, includes the use of performance work 
     statements that set forth contract requirements in clear, 
     specific, and objective terms with measurable outcomes.
       (g) Clerical Amendments.--(1) The heading for section 2331 
     of title 10, United States Code, is amended to read as 
     follows:

     ``Sec. 2331. Procurements of services: contracts for 
       professional and technical services''.

       (2) The table of sections at the beginning of chapter 137 
     of such title is amended by striking the item relating to 
     section 2331 and inserting the following new items:

``2330. Procurements of services: management structure.
``2330a. Procurements of services: tracking.
``2331. Procurements of services: contracts for professional and 
              technical services.''.

     SEC. 802. SAVINGS GOALS FOR PROCUREMENTS OF SERVICES.

       (a) Goals.--(1) It shall be an objective of the Department 
     of Defense to achieve savings in expenditures for 
     procurements of services through the use of--
       (A) performance-based services contracting;
       (B) competition for task orders under services contracts; 
     and
       (C) program review, spending analyses, and improved 
     management of services contracts.
       (2) In furtherance of that objective, the Department of 
     Defense shall have goals to use improved management practices 
     to achieve, over 10 fiscal years, reductions in the total 
     amount that would otherwise be expended by the Department for 
     the procurement of services (other than military 
     construction) in a fiscal year by the amount equal to 10 
     percent of the total amount of the expenditures of the 
     Department for fiscal year 2000 for procurement of services 
     (other than military construction), as follows:
       (A) By fiscal year 2002, a three percent reduction.
       (B) By fiscal year 2003, a four percent reduction.
       (C) By fiscal year 2004, a five percent reduction.
       (D) By fiscal year 2011, a ten percent reduction.
       (b) Annual Report.--Not later than March 1, 2002, and 
     annually thereafter through March 1, 2006, the Secretary of 
     Defense shall submit to the congressional defense committees 
     a report on the progress made toward meeting the objective 
     and goals established in subsection (a). Each report shall 
     include, at a minimum, the following information:
       (1) A summary of the steps taken or planned to be taken in 
     the fiscal year of the report to improve the management of 
     procurements of services.
       (2) A summary of the steps planned to be taken in the 
     following fiscal year to improve the management of 
     procurements of services.
       (3) An estimate of the amount that will be expended by the 
     Department of Defense for procurements of services in the 
     fiscal year of the report.
       (4) An estimate of the amount that will be expended by the 
     Department of Defense for procurements of services in the 
     following fiscal year.
       (5) An estimate of the amount of savings that, as a result 
     of improvement of the management practices used by the 
     Department of Defense, will be achieved for the procurement 
     of services by the Department in the fiscal year of the 
     report and in the following fiscal year.
       (c) Review and Report by Comptroller General.--The 
     Comptroller General shall review each report submitted by the 
     Secretary pursuant to subsection (b), and within 90 days 
     after the date of the report, submit to Congress a report 
     containing the Comptroller General's assessment of the extent 
     to which the Department of Defense has taken steps necessary 
     to achieve the objective and goals established by subsection 
     (a). In each report the Comptroller General shall, at a 
     minimum, address--
       (1) the accuracy and reliability of the estimates included 
     in the Secretary's report; and
       (2) the effectiveness of the improvements in management 
     practices that have been taken, and those that are planned to 
     be taken, in the Department of Defense to achieve savings in 
     procurements of services by the Department.

     SEC. 803. COMPETITION REQUIREMENT FOR PURCHASES PURSUANT TO 
                   MULTIPLE AWARD CONTRACTS.

       (a) Regulations Required.--Not later than 180 days after 
     the date of the enactment of this Act, the Secretary of 
     Defense shall promulgate in the Department of Defense 
     Supplement to the Federal Acquisition Regulation regulations 
     requiring competition in the purchase of products and 
     services by the Department of Defense pursuant to multiple 
     award contracts.
       (b) Content of Regulations.--The regulations required by 
     subsection (a) shall provide, at a minimum, that each 
     individual procurement of products and services in excess of 
     $50,000 that is made under a multiple award contract shall be 
     made on a competitive basis unless a contracting officer of 
     the Department of Defense--
       (1) waives the requirement on the basis of a determination 
     that one of the circumstances described in paragraphs (1) 
     through (4) of section 2304(c) of title 10, United States 
     Code, applies to such individual procurement; and
       (2) justifies the determination in writing.
       (c) Reporting Requirement.--The Secretary shall submit to 
     the congressional defense committees each year a report on 
     the use of the waiver authority provided in the regulations 
     prescribed under subsection (b). The report for a year shall 
     include, at a minimum, for each military department and each 
     Defense Agency, the following:
       (1) The number of the waivers granted.
       (2) The dollar value of the procurements for which the 
     waivers were granted.
       (3) The bases on which the waivers were granted.
       (d) Definitions.--In this section:
       (1) The term ``individual procurement'' means a task order, 
     delivery order, or other purchase.
       (2) The term ``multiple award contract'' means--
       (A) a contract that is entered into by the Administrator of 
     General Services under the multiple award schedule program 
     referred to in section 2302(2)(C) of title 10, United States 
     Code;
       (B) a multiple award task order contract or delivery order 
     contract that is entered into under the authority of sections 
     2304a through 2304d of title 10, United States Code, or 
     sections 303H through 303K of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 253h through 
     253k); and
       (C) any other indeterminate delivery, indeterminate 
     quantity contract that is entered into by the head of a 
     Federal agency with two or more sources pursuant to the same 
     solicitation.
       (3) The term ``competitive basis'', with respect to an 
     individual procurement of products or services under a 
     multiple award contract, means procedures that--
       (A) require fair notice to be provided to all contractors 
     offering such products or services under the multiple award 
     contract of the intent to make that procurement; and
       (B) afford all such contractors a fair opportunity to make 
     an offer and have that offer fully and fairly considered by 
     the official making the procurement.
       (4) The term ``Defense Agency'' has the meaning given that 
     term in section 101(a)(11) of title 10, United States Code.
       (e) Applicability.--The regulations promulgated by the 
     Secretary pursuant to subsection (a) shall take effect not 
     later than 180 days after the date of the enactment of this 
     Act and shall apply to all individual procurements that are 
     made under multiple award contracts on or after the effective 
     date, without regard to whether the multiple award contracts 
     were entered into before, on, or after such effective date.

     SEC. 804. RISK REDUCTION AT INITIATION OF MAJOR DEFENSE 
                   ACQUISITION PROGRAM.

       (a) Standard for Technological Maturity.--(1) Chapter 144 
     of title 10, United States Code, is amended by inserting 
     after section 2431 the following new section:

     ``Sec. 2431a. Risk reduction at program initiation

       ``(a) Requirement for Demonstration of Critical 
     Technologies.--Each critical technology that is to be used in 
     production under a major defense acquisition program shall be 
     successfully demonstrated in a relevant environment, as 
     determined in writing by the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics.
       ``(b) Prohibition.--Neither of the following actions may be 
     taken in a major defense acquisition program before the 
     requirement of subsection (a) has been satisfied for the 
     program:
       ``(1) Milestone B approval.
       ``(2) Initiation of the program without a Milestone B 
     approval.
       ``(c) Waiver.--The Under Secretary of Defense for 
     Acquisition, Technology, and Logistics may waive the 
     prohibition in subsection (b) with respect to a major defense 
     acquisition program if the Milestone Decision Authority for 
     the program certifies to the Under Secretary that exceptional 
     circumstances justify proceeding with an action described in 
     that subsection for the program before compliance with 
     subsection (a).
       ``(d) Annual Report on Waivers.--(1) The Secretary of 
     Defense shall submit to the Committees on Armed Services and 
     on Appropriations of the Senate and the House of 
     Representatives each year the justification for any waiver 
     granted with respect to a major defense acquisition program 
     under subsection (c) during the fiscal year covered by the 
     report.
       ``(2) The report for a fiscal year shall be submitted with 
     the submission of the weapons development and procurement 
     schedules under section 2431 of this title and shall cover 
     the fiscal year preceding the fiscal year in which submitted.
       ``(e) Definitions.--In this section:
       ``(1) The term `Milestone B approval' means approval to 
     begin integrated system development and demonstration.
       ``(2) The term `Milestone Decision Authority' means the 
     official of the Department of Defense who is designated in 
     accordance with criteria prescribed by the Secretary of 
     Defense to approve entry of a major defense acquisition 
     program into the next phase of the acquisition process.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after

[[Page 20076]]

     the item relating to section 2431 the following:

``2431a. Risk reduction at program initiation.''.
       (b) Effective Date and Applicability.--(1) Section 2431a of 
     title 10, United States Code (as added by subsection (a)), 
     shall take effect on the date of the enactment of this Act 
     and shall apply to--
       (A) any major defense acquisition program that is initiated 
     on or after that date without a Milestone B approval having 
     been issued for the program; and
       (B) any major defense acquisition program that is initiated 
     more than 6 months after that date with a Milestone B 
     approval having been issued for the program before the 
     initiation of the program.
       (2) In paragraph (1):
       (A) The term ``major defense acquisition program'' has the 
     meaning given the term in section 2430 of title 10, United 
     States Code.
       (B) The term ``Milestone B approval'' has the meaning given 
     the term under section 2431a(d) of title 10, United States 
     Code (as added by subsection (a)).

     SEC. 805. FOLLOW-ON PRODUCTION CONTRACTS FOR PRODUCTS 
                   DEVELOPED PURSUANT TO PROTOTYPE PROJECTS.

       Section 845 of the National Defense Authorization Act for 
     Fiscal Year 1994 (10 U.S.C. 2371 note) is amended--
       (1) by redesignating subsection (f) as subsection (g); and
       (2) by inserting after subsection (e) the following new 
     subsection (f):
       ``(f) Follow-On Production Contracts.--(1) A transaction 
     entered into under this section for a prototype project that 
     satisfies the conditions set forth in subsection (d)(1)(B)(i) 
     may provide for the award of a follow-on production contract 
     to the participants in the transaction for a specific number 
     of units at specific target prices. The number of units 
     specified in the transaction shall be determined on the basis 
     of a balancing of the level of the investment made in the 
     project by the participants other than the Federal Government 
     with the interest of the Federal Government in having 
     competition among sources in the acquisition of the product 
     or products prototyped under the project.
       ``(2) A follow-on production contract provided for in a 
     transaction under paragraph (1) may be awarded to the 
     participants in the transaction without the use of 
     competitive procedures, notwithstanding the requirements of 
     section 2304 of title 10, United States Code, if--
       ``(A) competitive procedures were used for the selection of 
     parties for participation in the transaction;
       ``(B) the participants in the transaction successfully 
     completed the prototype project provided for in the 
     transaction;
       ``(C) the number of units provided for in the follow-on 
     production contract does not exceed the number of units 
     specified in the transaction for such a follow-on production 
     contract; and
       ``(D) the prices established in the follow-on production 
     contract do not exceed the target prices specified in the 
     transaction for such a follow-on production contract.''.

         Subtitle B--Defense Acquisition and Support Workforce

     SEC. 811. REPORT ON IMPLEMENTATION OF RECOMMENDATIONS OF THE 
                   ACQUISITION 2005 TASK FORCE.

       (a) Requirement for Report.--Not later than March 1, 2002, 
     the Secretary of Defense shall submit to the Committees on 
     Armed Services of the Senate and the House of Representatives 
     a report on the extent of the implementation of the 
     recommendations set forth in the final report of the 
     Department of Defense Acquisition 2005 Task Force, entitled 
     ``Shaping the Civilian Acquisition Workforce of the Future''.
       (b) Content of Report.--The report shall include the 
     following:
       (1) For each recommendation in the final report that is 
     being implemented or that the Secretary plans to implement--
       (A) a summary of all actions that have been taken to 
     implement the recommendation; and
       (B) a schedule, with specific milestones, for completing 
     the implementation of the recommendation.
       (2) For each recommendation in the final report that the 
     Secretary does not plan to implement--
       (A) the reasons for the decision not to implement the 
     recommendation; and
       (B) a summary of any alternative actions the Secretary 
     plans to take to address the purposes underlying the 
     recommendation.
       (3) A summary of any additional actions the Secretary plans 
     to take to address concerns raised in the final report about 
     the size and structure of the acquisition workforce of the 
     Department of Defense.
       (c) Comptroller General Review.--Not later than 60 days 
     after the date on which the Secretary submits the report 
     required by subsection (a), the Comptroller General shall--
       (1) review the report; and
       (2) submit to the committees referred to in subsection (a) 
     the Comptroller General's assessment of the extent to which 
     the report--
       (A) complies with the requirements of this section; and
       (B) addresses the concerns raised in the final report about 
     the size and structure of the acquisition workforce of the 
     Department of Defense.

     SEC. 812. MORATORIUM ON REDUCTION OF THE DEFENSE ACQUISITION 
                   AND SUPPORT WORKFORCE.

       (a) Prohibition.--Notwithstanding any other provision of 
     law, the defense acquisition and support workforce may not be 
     reduced, during fiscal years 2002, 2003, and 2004, below the 
     level of that workforce as of September 30, 2001, determined 
     on the basis of full-time equivalent positions.
       (b) Waiver Authority.--The Secretary of Defense may waive 
     the prohibition in subsection (a) and reduce the level of the 
     defense acquisition and support workforce upon submitting to 
     Congress the Secretary's certification that the defense 
     acquisition and support workforce, at the level to which 
     reduced, will be able efficiently and effectively to perform 
     the workloads that are required of that workforce consistent 
     with the cost-effective management of the defense acquisition 
     system to obtain best value equipment and with ensuring 
     military readiness.
       (c) Defense Acquisition and Support Workforce Defined.--In 
     this section, the term ``defense acquisition and support 
     workforce'' means Armed Forces and civilian personnel who are 
     assigned to, or are employed in, an organization of the 
     Department of Defense that is--
       (1) an acquisition organization specified in Department of 
     Defense Instruction 5000.58, dated January 14, 1992; or
       (2) an organization not so specified that has acquisition 
     as its predominant mission, as determined by the Secretary of 
     Defense.

     SEC. 813. REVISION OF ACQUISITION WORKFORCE QUALIFICATION 
                   REQUIREMENTS.

       (a) Special Requirements for Members of a Contingency 
     Contracting Force.--(1) Subchapter II of chapter 87 of title 
     10, United States Code, is amended by inserting after section 
     1724 the following new section:

     ``Sec. 1724a. Contingency contracting force: qualification 
       requirements

       ``(a) Contingency Contracting Force.--The Secretary of 
     Defense may identify as a contingency contracting force the 
     acquisition positions described in subsections (a) and (b) of 
     section 1724 of this title that involve duties requiring the 
     personnel in those positions to deploy to perform contracting 
     functions in support of a contingency operation or other 
     Department of Defense operation.
       ``(b) Qualification Requirements.--The Secretary of Defense 
     shall prescribe the qualification requirements for a person 
     appointed to a position in any contingency contracting force 
     identified under subsection (a). The requirements shall 
     include requirements that the person--
       ``(1) either--
       ``(A) have completed the credits of study as described in 
     section 1724(a)(3)(B) of this title;
       ``(B) have passed an examination considered by the 
     Secretary of Defense to demonstrate that the person has 
     skills, knowledge, or abilities comparable to that of a 
     person who has completed the credits of study described in 
     such section; or
       ``(C) through a combination of having completed some of the 
     credits of study described in such section and having passed 
     an examination, have demonstrated that the person has skills, 
     knowledge, or abilities comparable to that of a person who 
     has completed all of the credits of study described in such 
     section; and
       ``(2) have satisfied such additional requirements for 
     education and experience as the Secretary may prescribe.''.
       (2) The table of sections at the beginning of such 
     subchapter is amended by inserting after the item relating to 
     section 1724 the following new item:

``1724a. Contingency contracting force: qualification requirements.''.
       (b) Exceptions to Generally Applicable Qualification 
     Requirements.--Subsection (c) of such section is amended to 
     read as follows:
       ``(c) Exceptions.--(1) The requirements imposed under 
     subsection (a) or (b) of this section shall not apply to a 
     person for either of the following purposes:
       ``(A) In the case of an employee, to qualify to serve in 
     the position in which the employee was serving on October 1, 
     1993, or in any other position in the same or lower grade and 
     involving the same or lower level of responsibilities as the 
     position in which the employee was serving on such date.
       ``(B) To qualify to serve in an acquisition position in any 
     contingency contracting force identified under section 1724a 
     of this title.
       ``(2) Subject to paragraph (3), the requirements imposed 
     under subsection (a) or (b) shall not apply to a person who, 
     before October 1, 2000, served--
       ``(A) as a contracting officer in an executive agency with 
     authority to award or administer contracts in excess of the 
     simplified acquisition threshold (referred to in section 
     2304(g) of this title); or
       ``(B) in a position in an executive agency either as an 
     employee in the GS-1102 occupational series or as a member of 
     the armed forces in a similar occupational specialty.
       ``(3) For the exception in subparagraph (A) or (B) of 
     paragraph (2) to apply to an employee with respect to the 
     requirements imposed under subsection (a) or (b), the 
     employee must--

[[Page 20077]]

       ``(A) before October 1, 2000--
       ``(i) have received a baccalaureate degree as described in 
     subparagraph (A) of subsection (a)(3);
       ``(ii) have completed credits of study as described in 
     subparagraph (B) of subsection (a)(3);
       ``(iii) have passed an examination considered by the 
     Secretary of Defense to demonstrate skills, knowledge, or 
     abilities comparable to that of a person who has completed 
     credits of study as described in subparagraph (B) of 
     subsection (a)(3); or
       ``(iv) have been granted a waiver of the applicability of 
     the requirements imposed under subsection (a) or (b), as the 
     case may be; or
       ``(B) on October 1, 1991, had at least 10 years of 
     experience in one or more acquisition positions in the 
     Department of Defense, comparable positions in other 
     government agencies or the private sector, or similar 
     positions in which an individual obtains experience directly 
     relevant to the field of contracting.''.
       (c) Clarification of Applicability of Waiver Authority to 
     Members of the Armed Forces.--Subsection (d) of such section 
     is amended by striking ``employee or member of'' in the first 
     sentence and inserting ``employee of, or a member of an armed 
     force in,''.
       (d) Office of Personnel Management Approval of Generally 
     Applicable Discretionary Requirements.--Section 1725 of title 
     10, United States Code, is amended--
       (1) in subsection (a), by striking ``section 1723 or under 
     section 1724(a)(4) of this title'' in the first sentence and 
     inserting ``section 1723, 1724(a)(4), or 1724a(b)(2)''; and
       (2) in subsection (b), by striking ``subsection (a)(3) or 
     (b) of section 1724 of this title'' in the first sentence and 
     inserting ``subsection (a)(3), (b), or (c)(3)(A)(iii) of 
     section 1724 of this title or under subparagraph (B) or (C) 
     of section 1724a(b)(1) of this title''.
       (e) Technical Corrections.--Sections 1724(a)(3)(B) and 
     1732(c)(2) of such title are amended by striking ``business 
     finance'' and inserting ``business, finance''.

                  Subtitle C--Use of Preferred Sources

     SEC. 821. APPLICABILITY OF COMPETITION REQUIREMENTS TO 
                   PURCHASES FROM A REQUIRED SOURCE.

       (a) Conditions for Competition.--(1) Chapter 141 of title 
     10, United States Code, is amended by adding at the end the 
     following:

     ``Sec. 2410n. Products of Federal Prison Industries: 
       procedural requirements

       ``(a) Market Research Before Purchase.--Before purchasing a 
     product listed in the latest edition of the Federal Prison 
     Industries catalog under section 4124(d) of title 18, the 
     Secretary of Defense shall conduct market research to 
     determine whether the Federal Prison Industries product is 
     comparable in price, quality, and time of delivery to 
     products available from the private sector.
       ``(b) Limited Competition Requirement.--If the Secretary 
     determines that a Federal Prison Industries product is not 
     comparable in price, quality, and time of delivery to 
     products available from the private sector, the Secretary 
     shall use competitive procedures for the procurement of the 
     product. In conducting such a competition, the Secretary 
     shall consider a timely offer from Federal Prison Industries 
     for award in accordance with the specifications and 
     evaluation factors specified in the solicitation.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following:

``2410n. Products of Federal Prison Industries: procedural 
              requirements.''.
       (b) Applicability.--Section 2410n of title 10, United 
     States Code (as added by subsection (a)), shall apply to 
     purchases initiated on or after October 1, 2001.

     SEC. 822. CONSOLIDATION OF CONTRACT REQUIREMENTS.

       (a) Amendment to Title 10.--(1) Chapter 141 of title 10, 
     United States Code, is amended by inserting after section 
     2381 the following new section:

     ``Sec. 2382. Consolidation of contract requirements: policy 
       and restrictions

       ``(a) Policy.--The Secretary of Defense shall require the 
     Secretary of each military department, the head of each 
     Defense Agency, and the head of each Department of Defense 
     Field Activity to ensure that the decisions made by that 
     official regarding consolidation of contract requirements of 
     the department, agency, or activity as the case may be, are 
     made with a view to providing small business concerns with 
     appropriate opportunities to participate in Department of 
     Defense procurements as prime contractors and appropriate 
     opportunities to participate in such procurements as 
     subcontractors.
       ``(b) Limitation on Use of Acquisition Strategies Involving 
     Consolidation.--(1) An official of a military department, 
     Defense Agency, or Department of Defense Field Activity may 
     not execute an acquisition strategy that includes a 
     consolidation of contract requirements of the military 
     department, agency, or activity with a total value in excess 
     of $5,000,000, unless the senior procurement executive 
     concerned first--
       ``(A) conducts market research;
       ``(B) identifies any alternative contracting approaches 
     that would involve a lesser degree of consolidation of 
     contract requirements; and
       ``(C) determines that the consolidation is necessary and 
     justified.
       ``(2) A senior procurement executive may determine that an 
     acquisition strategy involving a consolidation of contract 
     requirements is necessary and justified for the purposes of 
     paragraph (1) if the benefits of the acquisition strategy 
     substantially exceed the benefits of each of the possible 
     alternative contracting approaches identified under 
     subparagraph (B) of that paragraph. However, savings in 
     administrative or personnel costs alone do not constitute, 
     for such purposes, a sufficient justification for a 
     consolidation of contract requirements in a procurement 
     unless the total amount of the cost savings is expected to be 
     substantial in relation to the total cost of the procurement.
       ``(3) Benefits considered for the purposes of paragraphs 
     (1) and (2) may include cost and, regardless of whether 
     quantifiable in dollar amounts--
       ``(A) quality;
       ``(B) acquisition cycle;
       ``(C) terms and conditions; and
       ``(D) any other benefit.
       ``(c) Definitions.--In this section:
       ``(1) The terms `consolidation of contract requirements' 
     and `consolidation', with respect to contract requirements of 
     a military department, Defense Agency, or Department of 
     Defense Field Activity, mean a use of a solicitation to 
     obtain offers for a single contract or a multiple award 
     contract to satisfy two or more requirements of that 
     department, agency, or activity for goods or services that 
     have previously been provided to, or performed for, that 
     department, agency, or activity under two or more separate 
     contracts smaller in cost than the total cost of the contract 
     for which the offers are solicited.
       ``(2) The term ``multiple award contract'' means--
       ``(A) a contract that is entered into by the Administrator 
     of General Services under the multiple award schedule program 
     referred to in section 2302(2)(C) of this title;
       ``(B) a multiple award task order contract or delivery 
     order contract that is entered into under the authority of 
     sections 2304a through 2304d of this title or sections 303H 
     through 303K of the Federal Property and Administrative 
     Services Act of 1949 (41 U.S.C. 253h through 253k); and
       ``(C) any other indeterminate delivery, indeterminate 
     quantity contract that is entered into by the head of a 
     Federal agency with two or more sources pursuant to the same 
     solicitation.
       ``(3) The term `senior procurement executive concerned' 
     means--
       ``(A) with respect to a military department, the official 
     designated under section 16(3) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 414(3)) as the senior 
     procurement executive for the military department; or
       ``(B) with respect to a Defense Agency or a Department of 
     Defense Field Activity, the official so designated for the 
     Department of Defense.
       ``(4) The term `small business concern' means a business 
     concern that is determined by the Administrator of the Small 
     Business Administration to be a small-business concern by 
     application of the standards prescribed under section 3(a) of 
     the Small Business Act (15 U.S.C. 632(a)).''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     2381 the following new item:

``2382. Consolidation of contract requirements: policy and 
              restrictions.''.

       (b) Data Review.--(1) The Secretary of Defense shall revise 
     the data collection systems of the Department of Defense to 
     ensure that such systems are capable of identifying each 
     procurement that involves a consolidation of contract 
     requirements within the department with a total value in 
     excess of $5,000,000.
       (2) The Secretary shall ensure that appropriate officials 
     of the Department of Defense periodically review the 
     information collected pursuant to paragraph (1) in 
     cooperation with the Small Business Administration--
       (A) to determine the extent of the consolidation of 
     contract requirements in the Department of Defense; and
       (B) to assess the impact of the consolidation of contract 
     requirements on the availability of opportunities for small 
     business concerns to participate in Department of Defense 
     procurements, both as prime contractors and as 
     subcontractors.
       (3) In this subsection:
       (A) The term ``bundling of contract requirements'' has the 
     meaning given that term in section 3(o)(2) of the Small 
     Business Act (15 U.S.C. 632(o)(2)).
       (B) The term ``consolidation of contract requirements'' has 
     the meaning given that term in section 2382(c)(1) of title 
     10, United States Code, as added by subsection (a).
       (c) Evaluation of Bundling Effects.--Section 15(h)(2) of 
     the Small Business Act (15 U.S.C. 644(h)(2)) is amended--
       (1) in subparagraph (C), by inserting ``, and whether 
     contract bundling played a role in the failure,'' after 
     ``agency goals''; and
       (2) by adding at the end the following:

[[Page 20078]]

       ``(G) The number and dollar value of consolidations of 
     contract requirements with a total value in excess of 
     $5,000,000, including the number of such consolidations that 
     were awarded to small business concerns as prime 
     contractors.''.
       (d) Reporting Requirement.--Section 15(p) of the Small 
     Business Act (15 U.S.C. 644(p)) is amended to read as 
     follows:
       ``(p) Reporting Requirement.--
       ``(1) In general.--The Administrator shall conduct a study 
     examining the best means to determine the accuracy of the 
     market research required under subsection (e)(2) for each 
     bundled contract, to determine if the anticipated benefits 
     were realized, or if they were not realized, the reasons 
     there for.
       ``(2) Provision of information.--A Federal agency shall 
     provide to the appropriate procurement center representative 
     a copy of market research required under subsection (e)(2) 
     for consolidations of contract requirements with a total 
     value in excess of $5,000,000, upon request.
       ``(3) Report.--Not later than 270 days after the date of 
     enactment of the National Defense Authorization Act for 
     Fiscal Year 2002, the Administrator shall submit a report to 
     the Committee on Small Business and Entrepreneurship of the 
     Senate and the Committee on Small Business of the House of 
     Representatives on the results of the study conducted under 
     this subsection.''.

     SEC. 823. CODIFICATION AND CONTINUATION OF MENTOR-PROTEGE 
                   PROGRAM AS PERMANENT PROGRAM.

       (a) In General.--(1) Chapter 141 of title 10, United States 
     Code, is amended by inserting after section 2402 the 
     following new section:

     ``Sec. 2403. Mentor-Protege Program

       ``(a) Establishment of Program.--The Secretary of Defense 
     shall carry out a program known as the `Mentor-Protege 
     Program'.
       ``(b) Purpose.--The purpose of the program is to provide 
     incentives for major Department of Defense contractors to 
     furnish eligible small business concerns (as defined in 
     subsection (l)(2)) with assistance designed to enhance the 
     capabilities of eligible small business concerns to perform 
     as subcontractors and suppliers under Department of Defense 
     contracts and other contracts and subcontracts in order to 
     increase the participation of such business concerns as 
     subcontractors and suppliers under Department of Defense 
     contracts, other Federal Government contracts, and commercial 
     contracts.
       ``(c) Program Participants.--(1) A business concern meeting 
     the eligibility requirements set out in subsection (d) may 
     enter into agreements under subsection (e) and furnish 
     assistance to eligible small business concerns upon making 
     application to the Secretary of Defense and being approved 
     for participation in the program by the Secretary. A business 
     concern participating in the program pursuant to such an 
     approval shall be known, for the purposes of the program, as 
     a `mentor firm'.
       ``(2) An eligible small business concern may obtain 
     assistance from a mentor firm upon entering into an agreement 
     with the mentor firm as provided in subsection (e). An 
     eligible small business concern may not be a party to more 
     than one agreement to receive such assistance at any time. An 
     eligible small business concern receiving such assistance 
     shall be known, for the purposes of the program, as a 
     `protege firm'.
       ``(3) In entering into an agreement pursuant to subsection 
     (e), a mentor firm may rely in good faith on a written 
     representation of a business concern that such business 
     concern is a small business concern described in subsection 
     (l)(2)(A). The Administrator of the Small Business 
     Administration shall determine the status of such business 
     concern as such a small business concern in the event of a 
     protest regarding the status of the business concern. If at 
     any time the business concern is determined by the 
     Administrator not to be such a small business concern, 
     assistance furnished to the business concern by the mentor 
     firm after the date of the determination may not be 
     considered assistance furnished under the program.
       ``(d) Mentor Firm Eligibility.--Subject to subsection 
     (c)(1), a mentor firm eligible for award of Federal contracts 
     may enter into an agreement with one or more protege firms 
     under subsection (e) and provide assistance under the program 
     pursuant to that agreement if--
       ``(1) during the fiscal year preceding the fiscal year in 
     which the mentor firm enters into the agreement, the total 
     amount of the Department of Defense contracts awarded such 
     mentor firm and the subcontracts awarded such mentor firm 
     under Department of Defense contracts was equal to or greater 
     than $100,000,000; or
       ``(2) the mentor firm demonstrates the capability to assist 
     in the development of protege firms, and is approved by the 
     Secretary of Defense pursuant to criteria specified in the 
     regulations prescribed pursuant to subsection (k).
       ``(e) Mentor-Protege Agreement.--Before providing 
     assistance to a protege firm under the program, a mentor firm 
     shall enter into a mentor-protege agreement with the protege 
     firm regarding the assistance to be provided by the mentor 
     firm. The agreement shall include the following:
       ``(1) A developmental program for the protege firm, in such 
     detail as may be reasonable, including--
       ``(A) factors to assess the protege firm's developmental 
     progress under the program; and
       ``(B) the anticipated number and type of subcontracts to be 
     awarded the protege firm.
       ``(2) A program participation term for any period of not 
     more than three years, except that the term may be a period 
     of up to five years if the Secretary of Defense determines in 
     writing that unusual circumstances justify a program 
     participation term in excess of three years.
       ``(3) Procedures for the protege firm to terminate the 
     agreement voluntarily and for the mentor firm to terminate 
     the agreement for cause.
       ``(f) Forms of Assistance.--A mentor firm may provide a 
     protege firm the following:
       ``(1) Assistance, by using mentor firm personnel, in--
       ``(A) general business management, including organizational 
     management, financial management, and personnel management, 
     marketing, business development, and overall business 
     planning;
       ``(B) engineering and technical matters such as production, 
     inventory control, and quality assurance; and
       ``(C) any other assistance designed to develop the 
     capabilities of the protege firm under the developmental 
     program referred to in subsection (e).
       ``(2) Award of subcontracts on a noncompetitive basis to 
     the protege firm under the Department of Defense or other 
     contracts.
       ``(3) Payment of progress payments for performance of the 
     protege firm under such a subcontract in amounts as provided 
     for in the subcontract, but in no event may any such progress 
     payment exceed 100 percent of the costs incurred by the 
     protege firm for the performance.
       ``(4) Advance payments under such subcontracts.
       ``(5) Loans.
       ``(6) Cash in exchange for an ownership interest in the 
     protege firm, not to exceed 10 percent of the total ownership 
     interest.
       ``(7) Assistance obtained by the mentor firm for the 
     protege firm from one or more of the following:
       ``(A) Small business development centers established 
     pursuant to section 21 of the Small Business Act (15 U.S.C. 
     648).
       ``(B) Entities providing procurement technical assistance 
     pursuant to chapter 142 of this title.
       ``(C) A historically Black college or university or a 
     minority institution of higher education.
       ``(g) Incentives for Mentor Firms.--(1) The Secretary of 
     Defense may provide to a mentor firm reimbursement for the 
     total amount of any progress payment or advance payment made 
     under the program by the mentor firm to a protege firm in 
     connection with a Department of Defense contract awarded the 
     mentor firm.
       ``(2)(A) The Secretary of Defense may provide to a mentor 
     firm reimbursement for the costs of the assistance furnished 
     to a protege firm pursuant to paragraphs (1) and (7) of 
     subsection (f) as provided for in a line item in a Department 
     of Defense contract under which the mentor firm is furnishing 
     products or services to the Department, subject to a maximum 
     amount of reimbursement specified in such contract. The 
     preceding sentence does not apply in a case in which the 
     Secretary of Defense determines in writing that unusual 
     circumstances justify reimbursement using a separate 
     contract.
       ``(B) The determinations made in annual performance reviews 
     of a mentor firm's mentor-protege agreement under subsection 
     (j)(2) shall be a major factor in the determinations of 
     amounts of reimbursement, if any, that the mentor firm is 
     eligible to receive in the remaining years of the program 
     participation term under the agreement.
       ``(C) The total amount reimbursed under this paragraph to a 
     mentor firm for costs of assistance furnished in a fiscal 
     year to a protege firm may not exceed $1,000,000, except in a 
     case in which the Secretary of Defense determines in writing 
     that unusual circumstances justify a reimbursement of a 
     higher amount.
       ``(3)(A) Costs incurred by a mentor firm in providing 
     assistance to a protege firm that are not reimbursed pursuant 
     to paragraph (2) shall be recognized as credit in lieu of 
     subcontract awards for purposes of determining whether the 
     mentor firm attains a subcontracting participation goal 
     applicable to such mentor firm under a Department of Defense 
     contract, under a contract with another executive agency, or 
     under a divisional or company-wide subcontracting plan 
     negotiated with the Department of Defense or another 
     executive agency.
       ``(B) The amount of the credit given a mentor firm for any 
     such unreimbursed costs shall be equal to--
       ``(i) four times the total amount of such costs 
     attributable to assistance provided by entities described in 
     subsection (f)(7);
       ``(ii) three times the total amount of such costs 
     attributable to assistance furnished by the mentor firm's 
     employees; and
       ``(iii) two times the total amount of any other such costs.
       ``(C) Under regulations prescribed pursuant to subsection 
     (k), the Secretary of Defense

[[Page 20079]]

     shall adjust the amount of credit given a mentor firm 
     pursuant to subparagraphs (A) and (B) if the Secretary 
     determines that the firm's performance regarding the award of 
     subcontracts to eligible small business concerns has declined 
     without justifiable cause.
       ``(4) A mentor firm shall receive credit toward the 
     attainment of a subcontracting participation goal applicable 
     to such mentor firm for each subcontract for a product or 
     service awarded under such contract by a mentor firm to a 
     business concern that, except for its size, would be a small 
     business concern owned and controlled by socially and 
     economically disadvantaged individuals, but only if--
       ``(A) the size of such business concern is not more than 
     two times the maximum size specified by the Administrator of 
     the Small Business Administration for purposes of determining 
     whether a business concern furnishing such product or service 
     is a small business concern; and
       ``(B) the business concern formerly had a mentor-protege 
     agreement with such mentor firm that was not terminated for 
     cause.
       ``(h) Relationship to Small Business Act.--(1) For purposes 
     of the Small Business Act, no determination of affiliation or 
     control (either direct or indirect) may be found between a 
     protege firm and its mentor firm on the basis that the mentor 
     firm has agreed to furnish (or has furnished) to its protege 
     firm pursuant to a mentor-protege agreement any form of 
     developmental assistance described in subsection (f).
       ``(2) Notwithstanding section 8 of the Small Business Act 
     (15 U.S.C. 637), the Small Business Administration may not 
     determine an eligible small business concern to be ineligible 
     to receive any assistance authorized under the Small Business 
     Act on the basis that such business concern has participated 
     in the Mentor-Protege Program or has received assistance 
     pursuant to any developmental assistance agreement authorized 
     under such program.
       ``(3) The Small Business Administration may not require a 
     firm that is entering into, or has entered into, an agreement 
     under subsection (e) as a protege firm to submit the 
     agreement, or any other document required by the Secretary of 
     Defense in the administration of the Mentor-Protege Program, 
     to the Small Business Administration for review, approval, or 
     any other purpose.
       ``(i) Participation in Mentor-Protege Program Not To Be a 
     Condition for Award of a Contract or Subcontract.--A mentor 
     firm may not require a business concern to enter into an 
     agreement with the mentor firm pursuant to subsection (e) as 
     a condition for being awarded a contract by the mentor firm, 
     including a subcontract under a contract awarded to the 
     mentor firm.
       ``(j) Reports and Reviews.--(1) The mentor firm and protege 
     firm under a mentor-protege agreement shall submit to the 
     Secretary of Defense an annual report on the progress made by 
     the protege firm in employment, revenues, and participation 
     in Department of Defense contracts during the fiscal year 
     covered by the report. The requirement for submission of an 
     annual report applies with respect to each fiscal year 
     covered by the program participation term under the agreement 
     and each of the two fiscal years following the expiration of 
     the program participation term. The Secretary shall prescribe 
     the timing and form of the annual report.
       ``(2)(A) The Secretary shall conduct an annual performance 
     review of each mentor-protege agreement that provides for 
     reimbursement of costs. The Secretary shall determine on the 
     basis of the review whether--
       ``(i) all costs reimbursed to the mentor firm under the 
     agreement were reasonably incurred to furnish assistance to 
     the protege firm in accordance with the requirements of this 
     section and applicable regulations; and
       ``(ii) the mentor firm and protege firm accurately reported 
     progress made by the protege firm in employment, revenues, 
     and participation in Department of Defense contracts during 
     the program participation term covered by the mentor-protege 
     agreement and the two fiscal years following the expiration 
     of the program participation term.
       ``(B) The Secretary shall act through the Commander of the 
     Defense Contract Management Command in carrying out the 
     reviews and making the determinations under subparagraph (A).
       ``(k) Regulations and Policies.--(1) The Secretary of 
     Defense shall prescribe regulations to carry out the Mentor-
     Protege Program. The regulations shall include the following:
       ``(A) The requirements set forth in section 8(d) of the 
     Small Business Act (15 U.S.C. 673(d)).
       ``(B) Procedures by which mentor firms may terminate 
     participation in the program.
       ``(2) The Department of Defense policy regarding the 
     Mentor-Protege Program shall be published and maintained as 
     an appendix to the Department of Defense Supplement to the 
     Federal Acquisition Regulation.
       ``(l) Definitions.--In this section:
       ``(1) The term `small business concern' means a business 
     concern that meets the requirements of section 3(a) of the 
     Small Business Act (15 U.S.C. 632(a)) and the regulations 
     promulgated pursuant thereto.
       ``(2) The term `eligible small business concern' is a small 
     business concern that--
       ``(A) is either--
       ``(i) a disadvantaged small business concern; or
       ``(ii) a small business concern owned and controlled by 
     women; and
       ``(B) is eligible for the award of Federal contracts.
       ``(3) The term `disadvantaged small business concern' 
     means--
       ``(A) a small business concern owned and controlled by 
     socially and economically disadvantaged individuals, as 
     defined in section 8(d)(3)(C) of the Small Business Act (15 
     U.S.C. 637(d)(3)(C));
       ``(B) a business entity owned and controlled by an Indian 
     tribe as defined by section 8(a)(13) of the Small Business 
     Act (15 U.S.C. 637(a)(13));
       ``(C) a business entity owned and controlled by a Native 
     Hawaiian Organization as defined by section 8(a)(15) of the 
     Small Business Act (15 U.S.C. 637(a)(15)); or
       ``(D) a qualified organization employing the severely 
     disabled.
       ``(4) The term `small business concern owned and controlled 
     by women' has the meaning given such term in section 
     8(d)(3)(D) of the Small Business Act (15 U.S.C. 
     637(d)(3)(D)).
       ``(5) The term `historically Black college and university' 
     means any of the historically Black colleges and universities 
     referred to in section 2323 of this title.
       ``(6) The term `minority institution of higher education' 
     means an institution of higher education with a student body 
     that reflects the composition specified in paragraphs (3), 
     (4), and (5) of section 312(b) of the Higher Education Act of 
     1965 (20 U.S.C. 1058(b)), as in effect on September 30, 1992.
       ``(7) The term `subcontracting participation goal', with 
     respect to a Department of Defense contract, means a goal for 
     the extent of the participation by eligible small business 
     concerns in the subcontracts awarded under such contract, as 
     established pursuant to section 2323 of this title and 
     section 8(d) of the Small Business Act (15 U.S.C. 637(d)).
       ``(8) The term `qualified organization employing the 
     severely disabled' means a business entity operated on a for-
     profit or nonprofit basis that--
       ``(A) uses rehabilitative engineering to provide employment 
     opportunities for severely disabled individuals and 
     integrates severely disabled individuals into its workforce;
       ``(B) employs severely disabled individuals at a rate that 
     averages not less than 20 percent of its total workforce;
       ``(C) employs each severely disabled individual in its 
     workforce generally on the basis of 40 hours per week; and
       ``(D) pays not less than the minimum wage prescribed 
     pursuant to section 6 of the Fair Labor Standards Act of 1938 
     (29 U.S.C. 206) to those employees who are severely disabled 
     individuals.
       ``(9) The term `severely disabled individual' means an 
     individual who has a physical or mental disability which 
     constitutes a substantial handicap to employment and which, 
     in accordance with criteria prescribed by the Committee for 
     Purchase From People Who Are Blind or Severely Disabled 
     established by the first section of the Javits-Wagner-O'Day 
     Act (41 U.S.C. 46), is of such a nature that the individual 
     is otherwise prevented from engaging in normal competitive 
     employment.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     2402 the following new item:

``2403. Mentor-Protege Program.''.

       (b) Repeal of Superseded Law.--Section 831 of the National 
     Defense Authorization Act for Fiscal Year 1991 (10 U.S.C. 
     2302 note) is repealed.
       (c) Continuation of Temporary Reporting Requirement.--(1) 
     Not later than six months after the end of each of fiscal 
     years 2001 through 2004, the Secretary of Defense shall 
     submit to Congress an annual report on the Mentor-Protege 
     Program for that fiscal year.
       (2) The annual report for a fiscal year shall include, at a 
     minimum, the following:
       (A) The number of mentor-protege agreements that were 
     entered into during the fiscal year.
       (B) The number of mentor-protege agreements that were in 
     effect during the fiscal year.
       (C) The total amount reimbursed during the fiscal year to 
     mentor firms pursuant to section 2403(g) of title 10, United 
     States Code (as added by subsection (a)), or section 831(g) 
     of the National Defense Authorization Act for fiscal year 
     1991 (as in effect on the day before the date of the 
     enactment of this Act).
       (D) Each mentor-protege agreement, if any, that was 
     approved during the fiscal year in accordance with section 
     2403(e)(2) of title 10, United States Code (as added by 
     subsection (a)), or section 831(e)(2) of the National Defense 
     Authorization Act for Fiscal Year 1991 (as in effect on the 
     day before the date of the enactment of this Act) to provide 
     a program participation term in excess of three years, 
     together with the justification for the approval.
       (E) Each reimbursement of a mentor firm in excess of the 
     limitation in subsection

[[Page 20080]]

     (g)(2)(C) of section 2403 of title 10, United States Code (as 
     added by subsection (a)), or subsection (g)(2)(C) of section 
     831 of the National Defense Authorization Act for Fiscal Year 
     1991 (as in effect on the day before the date of the 
     enactment of this Act) that was made during the fiscal year 
     pursuant to an approval granted in accordance with that 
     subsection, together with the justification for the approval.
       (F) Trends in the progress made in employment, revenues, 
     and participation in Department of Defense contracts by the 
     protege firms participating in the program during the fiscal 
     year and the protege firms that completed or otherwise 
     terminated participation in the program during the preceding 
     two fiscal years.
       (d) Continuation of Requirement for GAO Study and Report.--
     Nothing in this section shall be construed as modifying the 
     requirements of section 811(d)(3) of the National Defense 
     Authorization Act for Fiscal Year 2000 (Public Law 106-65; 
     113 Stat. 709).
       (e) Savings Provisions.--(1) All orders, determinations, 
     rules, regulations, contracts, privileges, and other 
     administrative actions that--
       (A) have been issued, made, granted, or allowed to become 
     effective under the pilot Mentor-Protege Program under 
     section 831 of the National Defense Authorization Act for 
     Fiscal Year 1991, as in effect on the day before the date of 
     the enactment of this Act, including any such action taken by 
     a court of competent jurisdiction, and
       (B) are in effect at the end of such day, or were final 
     before the date of the enactment of this Act and are to 
     become effective on or after that date,

     shall continue in effect according to their terms until 
     modified, terminated, superseded, set aside, or revoked in 
     accordance with law by the Secretary of Defense or a court of 
     competent jurisdiction or by operation of law.
       (2) This section and the amendments made by this section 
     shall not affect any proceedings, including notices of 
     proposed rulemaking, that are pending before the Department 
     of Defense as of the date of the enactment of this Act, with 
     respect to the administration of the pilot Mentor-Protege 
     Program under section 831 of the National Defense 
     Authorization Act for Fiscal Year 1991, as in effect on the 
     day before that date, but such proceedings and applications 
     shall be continued. Orders shall be issued in such 
     proceedings, appeals shall be taken therefrom, and payments 
     shall be made pursuant to such orders, as if this section had 
     not been enacted, and orders issued in any such proceedings 
     shall continue in effect until modified, terminated, 
     superseded, or revoked by a duly authorized official, by a 
     court of competent jurisdiction, or by operation of law. 
     Nothing in this section shall be deemed to prohibit the 
     discontinuance or modification of any such proceeding under 
     the same terms and conditions and to the same extent that 
     such proceeding could have been discontinued or modified if 
     this section had not been enacted.
       (3) The amendment made by subsection (a)(1), and the repeal 
     of section 831 of the National Defense Authorization Act for 
     Fiscal Year 1991 by subsection (b), shall not be construed as 
     modifying or otherwise affecting the requirement in section 
     811(f)(2) of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 113 Stat. 709).

     SEC. 824. HUBZONE SMALL BUSINESS CONCERNS.

       Section 3(p) of the Small Business Act (15 U.S.C. 632(p)) 
     is amended--
       (1) by redesignating paragraphs (4) through (7) as 
     paragraphs (5) through (8), respectively; and
       (2) by inserting after paragraph (3) the following:
       ``(4) Rule of construction relating to citizenship.--
       ``(A) In general.--A small business concern described in 
     subparagraph (B) meets the United States citizenship 
     requirement of paragraph (3)(A) if, at the time of 
     application by the concern to become a qualified HUBZone 
     small business concern for purposes of any contract and at 
     such times as the Administrator shall require, no non-citizen 
     has filed a disclosure under section 13(d)(1) of the 
     Securities Exchange Act of 1934 (15 U.S.C. 78m(d)(1)) as the 
     beneficial owner of more than 10 percent of the outstanding 
     shares of that small business concern.
       ``(B) Concerns described.--A small business concern is 
     described in this subparagraph if the small business 
     concern--
       ``(i) has a class of securities registered under section 12 
     of the Securities Exchange Act of 1934 (15 U.S.C. 78l); and
       ``(ii) files reports with the Securities and Exchange 
     Commission as a small business issuer.''.
       ``(C) Non-citizens.--In this paragraph, the term `non-
     citizen' means
       ``(i) an individual that is not a United States citizen; 
     and
       ``(ii) any other person that is not organized under the 
     laws of any State or the United States.''.

Subtitle D--Amendments to General Contracting Authorities, Procedures, 
                          and Related Matters

     SEC. 831. AMENDMENTS TO CONFORM WITH ADMINISTRATIVE CHANGES 
                   IN ACQUISITION PHASE AND MILESTONE TERMINOLOGY 
                   AND TO MAKE RELATED ADJUSTMENTS IN CERTAIN 
                   REQUIREMENTS APPLICABLE AT MILESTONE TRANSITION 
                   POINTS.

       (a) Acquisition Phase Terminology.--The following 
     provisions of title 10, United States Code, are amended by 
     striking ``engineering and manufacturing development'' each 
     place it appears and inserting ``system development and 
     demonstration'': sections 2366(c) and 2434(a), and 
     subsections (b)(3)(A)(i), (c)(3)(A), and (h)(1) of section 
     2432.
       (b) Milestone Transition Points.--(1) Section 811(c) of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted into law by Public Law 106-398; 114 
     Stat. 1654A-211), is amended by striking ``Milestone I 
     approval, Milestone II approval, or Milestone III approval 
     (or the equivalent) of a major automated information system'' 
     and inserting ``approval of a major automated information 
     system at Milestone B or C or for full rate production, or an 
     equivalent approval,''.
       (2) Department of Defense Directive 5000.1, as revised in 
     accordance with subsection (b) of section 811 of such Act, 
     shall be further revised as necessary to comply with 
     subsection (c) of such section, as amended by paragraph (1), 
     within 60 days after the date of the enactment of this Act.
       (c) Adjustments to Requirement for Determination of 
     Quantity for Low-Rate Initial Production.--Section 2400(a) of 
     title 10, United States Code, is amended--
       (1) by striking ``milestone II'' each place it appears in 
     paragraphs (1)(A), (2), (4) and (5) and inserting ``milestone 
     B''; and
       (2) in paragraph (2), by striking ``engineering and 
     manufacturing development'' and inserting ``system 
     development and demonstration''.
       (d) Adjustments to Requirements for Baseline Description 
     and the Related Limitation.--Section 2435 of title 10, United 
     States Code, is amended--
       (1) in subsection (b), by striking ``engineering and 
     manufacturing development'' and inserting ``system 
     development and demonstration''; and
       (2) in subsection (c)--
       (A) in paragraph (1), by striking ``demonstration and 
     validation'' and inserting ``system development and 
     demonstration'';
       (B) in paragraph (2), by striking ``engineering and 
     manufacturing development'' and inserting ``production and 
     deployment''; and
       (C) in paragraph (3), by striking ``production and 
     deployment'' and inserting ``full rate production''.

     SEC. 832. INAPPLICABILITY OF LIMITATION TO SMALL PURCHASES OF 
                   MINIATURE OR INSTRUMENT BALL OR ROLLER BEARINGS 
                   UNDER CERTAIN CIRCUMSTANCES.

       Section 2534(g)(2) of title 10, United States Code, is 
     amended--
       (1) by striking ``contracts'' and inserting ``a contract'';
       (2) by striking the period at the end and inserting 
     ``unless the head of the contracting activity determines 
     that--''; and
       (3) by adding at the end the following:
       ``(A) the amount of the purchase does not exceed $25,000;
       ``(B) the precision level of the ball or roller bearings to 
     be procured under the contract is rated lower than the rating 
     known as Annual Bearing Engineering Committee (ABEC) 5 or 
     Roller Bearing Engineering Committee (RBEC) 5, or an 
     equivalent of such rating;
       ``(C) at least two manufacturers in the national technology 
     and industrial base that are capable of producing the ball or 
     roller bearings have not responded to a request for quotation 
     issued by the contracting activity for that contract; and
       ``(D) no bearing to be procured under the contract has a 
     basic outside diameter (exclusive of flange diameters) in 
     excess of 30 millimeters.''.

     SEC. 833. INSENSITIVE MUNITIONS PROGRAM.

       (a) Requirement for Program.--Chapter 141 of title 10, 
     United States Code, is amended by inserting after section 
     2404 the following new section 2405:

     ``Sec. 2405. Insensitive munitions program

       ``(a) Requirement for Program.--The Secretary of Defense 
     shall carry out a program to ensure, to the extent 
     practicable, that munitions under development or in 
     procurement are safe throughout development and fielding when 
     subjected to unplanned stimuli.
       ``(b) Content of Program.--The program shall include safety 
     criteria, safety procedures, and requirements to conform to 
     those criteria and procedures.
       ``(c) Reporting Requirement.--At the same time that the 
     budget for a fiscal year is submitted to Congress under 
     section 1105(a) of title 31, the Secretary shall submit to 
     Congress a report on the insensitive munitions program. The 
     report shall include the following matters:
       ``(1) The waivers of requirements referred to in subsection 
     (b) that have been granted under the program during the 
     fiscal year preceding fiscal year in which the report is 
     submitted, together with a discussion of the justifications 
     for the waivers.
       ``(2) Identification of the funding proposed for the 
     program in that budget, together with an explanation of the 
     proposed funding.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is

[[Page 20081]]

     amended by inserting after the item relating to section 2404 
     the following new item:

``2405. Insensitive munitions program.''.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                Subtitle A--Organization and Management

     SEC. 901. DEPUTY UNDER SECRETARY OF DEFENSE FOR PERSONNEL AND 
                   READINESS.

       (a) Establishment of Position.--(1) Chapter 4 of title 10, 
     United States Code, is amended by inserting after section 136 
     the following new section:

     ``Sec. 136a. Deputy Under Secretary of Defense for Personnel 
       and Readiness

       ``(a) There is a Deputy Under Secretary of Defense for 
     Personnel and Readiness, appointed from civilian life by the 
     President, by and with the advice and consent of the Senate.
       ``(b) The Deputy Under Secretary of Defense for Personnel 
     and Readiness shall assist the Under Secretary of Defense for 
     Personnel and Readiness in the performance of the duties of 
     that position. The Deputy Under Secretary of Defense for 
     Personnel and Readiness shall act for, and exercise the 
     powers of, the Under Secretary when the Under Secretary is 
     absent or disabled.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     136 the following new item:

``136a. Deputy Under Secretary of Defense for Personnel and 
              Readiness.''.

       (b) Executive Level IV.--Section 5315 of title 5, United 
     States Code, is amended by inserting after ``Deputy Under 
     Secretary of Defense for Policy.'' the following:
       ``Deputy Under Secretary of Defense for Personnel and 
     Readiness.''.
       (c) Reduction in Number of Assistant Secretaries of 
     Defense.--(1) Section 138(a) of title 10, United States Code, 
     is amended by striking ``nine'' and inserting ``eight''.
       (2) Section 5315 of title 5, United States Code, is amended 
     by striking ``Assistant Secretaries of Defense (9).'' and 
     inserting the following:
       ``Assistant Secretaries of Defense (8).''.

     SEC. 902. RESPONSIBILITY OF UNDER SECRETARY OF THE AIR FORCE 
                   FOR ACQUISITION OF SPACE LAUNCH VEHICLES AND 
                   SERVICES.

       Section 8015(b) of title 10, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(b)''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Under Secretary shall be responsible for planning 
     and contracting for, and for managing, the acquisition of 
     space launch vehicles and space launch services for the 
     Department of Defense and the National Reconnaissance 
     Office.''.

     SEC. 903. SENSE OF CONGRESS REGARDING THE SELECTION OF 
                   OFFICERS FOR ASSIGNMENT AS THE COMMANDER IN 
                   CHIEF, UNITED STATES TRANSPORTATION COMMAND.

       (a) Findings.--Congress makes the following findings:
       (1) The Goldwater-Nichols Department of Defense 
     Reorganization Act of 1986 envisioned that an officer would 
     be assigned to serve as the commander of a combatant command 
     on the basis of being the best qualified officer for the 
     assignment rather than the best qualified officer of the 
     armed force that has historically supplied an officer to 
     serve in that assignment.
       (2) In order to provide for greater competition among the 
     Armed Forces for selection of officers for assignment as the 
     commanders of the combatant commands and assignment to 
     certain other joint positions in the grade of general or 
     admiral, Congress provided temporary relief from the 
     limitation on the number of officers serving on active duty 
     in the grade of general or admiral in section 405 of the 
     National Defense Authorization Act for Fiscal Year 1995 and 
     thereafter extended that relief until September 30, 2003, but 
     has also required that the Secretary of Defense be furnished 
     the name of at least one officer from each of the Armed 
     Forces for consideration for appointment to each such 
     position.
       (3) Most of the positions of commanders of the combatant 
     commands have been filled successively by officers of more 
     than one of the Armed Forces since the enactment of the 
     Goldwater-Nichols Department of Defense Reorganization Act of 
     1986.
       (4) However, general officers of the Air Force with only 
     limited experience in the transportation services have 
     usually filled the position of Commander in Chief of the 
     United States Transportation Command.
       (5) The United States Transportation Command and its 
     component commands could benefit from the appointment of an 
     officer selected from the two armed forces that are the 
     primary users of their transportation resources, namely the 
     Army and the Marine Corps.
       (b) Sense of Congress.-- In light of the findings set forth 
     in subsection (a), it is the sense of Congress that the 
     Secretary of Defense should, when considering officers for 
     recommendation to the President for appointment as the 
     Commander in Chief, United States Transportation Command, 
     give careful consideration to recommending an officer of the 
     Army or the Marine Corps.

     SEC. 904. ORGANIZATIONAL REALIGNMENT FOR NAVY DIRECTOR FOR 
                   EXPEDITIONARY WARFARE.

       Section 5038(a) of title 10, United States Code, is amended 
     by striking ``Office of the Deputy Chief of Naval Operations 
     for Resources, Warfare Requirements, and Assessments'' and 
     inserting ``Office of the Deputy Chief of Naval Operations 
     for Warfare Requirements and Programs''.

     SEC. 905. REVISED REQUIREMENTS FOR CONTENT OF ANNUAL REPORT 
                   ON JOINT WARFIGHTING EXPERIMENTATION.

       Section 485(b) of title 10, United States Code, is 
     amended--
       (1) by inserting before the period at the end of paragraph 
     (1) the following: ``, together with a specific assessment of 
     whether there is a need for a major force program for funding 
     joint warfighting experimentation and for funding the 
     development and acquisition of any technology the value of 
     which has been empirically demonstrated through such 
     experimentation''; and
       (2) in paragraph (4)(E)--
       (A) by inserting ``(by lease or by purchase)'' after 
     ``acquire''; and
       (B) by inserting ``(including any prototype)'' after ``or 
     equipment''.

     SEC. 906. SUSPENSION OF REORGANIZATION OF ENGINEERING AND 
                   TECHNICAL AUTHORITY POLICY WITHIN THE NAVAL SEA 
                   SYSTEMS COMMAND.

       (a) Suspension.--During the period specified in subsection 
     (b), the Secretary of the Navy may not commence or continue 
     any change in engineering or technical authority policy for 
     the Naval Sea Systems Command or its subsidiary activities.
       (b) Duration.--Subsection (a) applies during the period 
     beginning on the date of enactment of this Act and ending 60 
     days after the date on which the Secretary submits to the 
     congressional defense committees a report that sets forth in 
     detail the Navy's plans and justification for the 
     reorganization of engineering and technical authority policy 
     within the Naval Sea Systems Command.

     SEC. 907. CONFORMING AMENDMENTS RELATING TO CHANGE OF NAME OF 
                   AIR MOBILITY COMMAND.

       (a) Title 10, United States Code.--Title 10, United States 
     Code, is amended--
       (1) by striking ``Military Airlift Command'' in sections 
     2554(d) and 2555(a) and inserting ``Air Mobility Command''; 
     and
       (2) in section 8074, by striking subsection (c).
       (b) Title 37, United States Code.--Sections 430(c) and 
     432(b) of title 37, United States Code, are amended by 
     striking ``Military Airlift Command'' and inserting ``Air 
     Mobility Command''.

      Subtitle B--Organization and Management of Space Activities

     SEC. 911. ESTABLISHMENT OF POSITION OF UNDER SECRETARY OF 
                   DEFENSE FOR SPACE, INTELLIGENCE, AND 
                   INFORMATION.

       (a) Authority of Secretary of Defense To Establish 
     Position.--Upon the direction of the President, the Secretary 
     of Defense may, subject to subsection (b), establish in the 
     Office of the Secretary of Defense the position of Under 
     Secretary of Defense for Space, Intelligence, and 
     Information. If the position is so established, the Under 
     Secretary of Defense for Space, Intelligence, and Information 
     shall perform duties and exercise powers as set forth under 
     section 137 of title 10, United States Code, as amended by 
     subsection (d).
       (b) Deadline for Exercise of Authority.--The Secretary may 
     not exercise the authority in subsection (a) after December 
     31, 2003.
       (c) Notice of Exercise of Authority.--If the authority in 
     subsection (a) is exercised, the Secretary shall immediately 
     notify Congress of the establishment of the position of Under 
     Secretary of Defense for Space, Intelligence, and 
     Information, together with the date on which the position is 
     established.
       (d) Nature of Position.--
       (1) In general.--Effective as of the date provided for in 
     paragraph (7), chapter 4 of title 10, United States Code, is 
     amended--
       (A) by redesignating section 137 as section 139a and by 
     transferring such section (as so redesignated) within such 
     chapter so as to appear after section 139; and
       (B) by inserting after section 136 the following new 
     section 137:

     ``Sec. 137. Under Secretary of Defense for Space, 
       Intelligence, and Information

       ``(a) There is an Under Secretary of Defense for Space, 
     Intelligence, and Information, appointed from civilian life 
     by the President, by and with the advice and consent of the 
     Senate.
       ``(b) Subject to the authority, direction, and control of 
     the Secretary of Defense, the Under Secretary of Defense for 
     Space, Intelligence, and Information shall perform such 
     duties and exercise such powers relating to the space, 
     intelligence, and information programs and activities of the 
     Department of Defense as the Secretary of Defense may 
     prescribe. The duties and powers prescribed for the Under 
     Secretary shall include the following:
       ``(1) In coordination with the Under Secretary of Defense 
     for Policy, the establishment of policy on space.
       ``(2) In coordination with the Under Secretary of Defense 
     for Acquisition, Technology, and Logistics, the acquisition 
     of space systems.

[[Page 20082]]

       ``(3) The deployment and use of space assets.
       ``(4) The oversight of research, development, acquisition, 
     launch, and operation of space, intelligence, and information 
     assets.
       ``(5) The coordination of military intelligence activities 
     within the Department.
       ``(6) The coordination of intelligence activities of the 
     Department and the intelligence community in order to meet 
     the long-term intelligence requirements of the United States.
       ``(7) The coordination of space activities of the 
     Department with commercial and civilian space activities.
       ``(c) The Secretary of Defense shall designate the Under 
     Secretary of Defense for Space, Intelligence, and Information 
     as the Chief Information Officer of the Department of Defense 
     under section 3506(a)(2)(B) of title 44.
       ``(d) The Under Secretary of Defense for Space, 
     Intelligence, and Information takes precedence in the 
     Department of Defense after the Under Secretary of Defense 
     for Personnel and Readiness.''.
       (2) Additional assistant secretary of defense.--Section 
     138(a) of that title is amended by striking ``nine Assistant 
     Secretaries of Defense'' and inserting ``ten Assistant 
     Secretaries of Defense''.
       (3) Duties of assistant secretaries of defense for space, 
     intelligence, and information.--Section 138(b) of that title 
     is amended by adding at the end the following new paragraph:
       ``(7) Two of the Assistant Secretaries shall have as their 
     principal duties supervision of activities relating to space, 
     intelligence, and information. The Assistant Secretaries 
     shall each report to the Under Secretary of Defense for 
     Space, Intelligence, and Information in the performance of 
     such duties.''.
       (4) Conforming amendments.--Section 131(b) of that title is 
     amended--
       (A) by redesignating paragraphs (6) through (11) as 
     paragraphs (7) through (12), respectively; and
       (B) by inserting after paragraph (5) the following new 
     paragraph (6):
       ``(6) The Under Secretary of Defense for Space, 
     Intelligence, and Information.''.
       (5) Pay levels.--(A) Section 5314 of title 5, United States 
     Code, is amended by inserting after ``Under Secretary of 
     Defense for Personnel and Readiness'' the following:
       ``Under Secretary of Defense for Space, Intelligence, and 
     Information.''.
       (B) Section 5315 of title 5, United States Code, is amended 
     in the item relating to Assistant Secretaries of Defense by 
     striking ``(9)'' and inserting ``(10)''.
       (6) Clerical amendments.--The table of sections at the 
     beginning of chapter 4 of title 10, United States Code, is 
     amended--
       (A) by striking the item relating to section 137 and 
     inserting the following new item:

``137. Under Secretary of Defense for Space, Intelligence, and 
              Information.''; and

       (B) by inserting after the item relating to section 139 the 
     following new item:

``139a. Director of Defense Research and Engineering.''.

       (7) Effective date.--The amendments made by this subsection 
     shall take effect as of the date specified in the 
     notification provided by the Secretary of Defense to Congress 
     under subsection (c) of the exercise of the authority in 
     subsection (a).
       (e) Report.--(1) Not later than 30 days before an exercise 
     of the authority provided in subsection (a), the President 
     shall submit to Congress a report on the proposed 
     organization of the office of the Under Secretary of Defense 
     for Space, Intelligence, and Information.
       (2) If the Secretary of Defense has not exercised the 
     authority granted in subsection (a) on the date that is one 
     year after the date of the enactment of this Act, the 
     Secretary shall submit to the Committees on Armed Services of 
     the Senate and the House of Representatives on that date a 
     report describing the actions taken by the Secretary to 
     address the problems in the management and organization of 
     the Department of Defense for space activities that are 
     identified by the Commission To Assess United States National 
     Security Space Management and Organization in the report of 
     the Commission submitted under section 1623 of the National 
     Defense Authorization Act for Fiscal Year 2000 (Public Law 
     106-65; 113 Stat. 815).

     SEC. 912. RESPONSIBILITY FOR SPACE PROGRAMS.

       (a) In General.--Part IV of subtitle A of title 10, United 
     States Code, is amended by inserting after chapter 134 the 
     following new chapter:

                     ``CHAPTER 135--SPACE PROGRAMS

``Sec.
``2271. Responsibility for space programs.

     ``Sec. 2271. Responsibility for space programs

       ``(a) Responsibility of Secretary of Air Force as Executive 
     Agent.--The Secretary of the Air Force shall be the executive 
     agent of the Department of Defense for functions of the 
     Department designated by the Secretary of Defense with 
     respect to the following:
       ``(1) Planning for the acquisition programs, projects, and 
     activities of the Department that relate to space.
       ``(2) Efficient execution of the programs, projects, and 
     activities.
       ``(b) Responsibility of Under Secretary of Air Force as 
     Acquisition Executive.--The Under Secretary of the Air Force 
     shall be the acquisition executive of the Department of the 
     Air Force for the programs, projects, and activities referred 
     to in subsection (a).
       ``(c) Responsibility of Under Secretary of Air Force as 
     Director of NRO.--The Under Secretary of the Air Force shall 
     act as the Director of the National Reconnaissance Office.
       ``(d) Coordination of Duties of Under Secretary of Air 
     Force.--In carrying out duties under subsections (b) and (c), 
     the Under Secretary of the Air Force shall coordinate the 
     space programs, projects, and activities of the Department of 
     Defense and the programs, projects, and activities of the 
     National Reconnaissance Office.
       ``(e) Space Career Field.--(1) The Under Secretary of the 
     Air Force shall establish and implement policies and 
     procedures to develop a cadre of technically competent 
     officers with the capability to develop space doctrine, 
     concepts of space operations, and space systems for the 
     Department of the Air Force.
       ``(2) The Secretary of the Air Force shall assign to the 
     commander of Air Force Space Command primary responsibility 
     for--
       ``(A) establishing and implementing education and training 
     programs for space programs, projects, and activities of the 
     Department of the Air Force; and
       ``(B) management of the space career field under paragraph 
     (1).
       ``(f) Joint Program Management.--The Under Secretary of the 
     Air Force shall take appropriate actions to ensure that, to 
     maximum extent practicable, Army, Navy, Marine Corps, and Air 
     Force personnel are assigned, on a joint duty assignment 
     basis, as follows:
       ``(1) To carry out the space development and acquisition 
     programs of the Department of Defense; and
       ``(2) To the Office of the National Security Space 
     Architect.''.
       (b) Clerical Amendment.--The tables of chapters at the 
     beginning of such subtitle and at the beginning of part IV of 
     such subtitle are amended by inserting after the item 
     relating to chapter 134 the following new item:

``135. Space Programs.......................................2271''.....

     SEC. 913. MAJOR FORCE PROGRAM CATEGORY FOR SPACE PROGRAMS.

       (a) Requirement.--The Secretary of Defense shall create a 
     major force program category for space programs for purposes 
     of the future-years defense program under section 221 of 
     title 10, United States Code.
       (b) Commencement.--The category created under subsection 
     (a) shall be included in each future-years defense program 
     submitted to Congress under section 221 of title 10, United 
     States Code, in fiscal years after fiscal year 2002.

     SEC. 914. ASSESSMENT OF IMPLEMENTATION OF RECOMMENDATIONS OF 
                   COMMISSION TO ASSESS UNITED STATES NATIONAL 
                   SECURITY SPACE MANAGEMENT AND ORGANIZATION.

       (a) Comptroller General Assessment.--The Comptroller 
     General shall carry out an assessment of the progress made by 
     the Department of Defense in implementing the recommendations 
     of the Commission To Assess United States National Security 
     Space Management and Organization as contained in the report 
     of the Commission submitted under section 1623 of the 
     National Defense Authorization Act for Fiscal Year 2000 
     (Public Law 106-65; 113 Stat. 815).
       (b) Reports.--Not later than February 15 of each of 2002 
     and 2003, the Comptroller General shall submit to the 
     Committees on Armed Services of the Senate and House of 
     Representatives a report on the assessment carried out under 
     subsection (a). Each report shall set forth the results of 
     the assessment as of the date of such report.

     SEC. 915. GRADE OF COMMANDER OF AIR FORCE SPACE COMMAND.

       (a) In General.--Chapter 845 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 8584. Commander of Air Force Space Command

       ``(a) Grade.--The officer serving as commander of the Air 
     Force Space Command shall, while so serving, have the grade 
     of general.
       ``(b) Limitation on Concurrent Command Assignments.--The 
     officer serving as commander of the Air Force Space Command 
     may not, while so serving, serve as commander-in-chief of the 
     United States Space Command (or any successor combatant 
     command with responsibility for space) or as commander of the 
     United States element of the North American Air Defense 
     Command.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``8584. Commander of Air Force Space Command.''.

     SEC. 916. SENSE OF CONGRESS REGARDING GRADE OF OFFICER 
                   ASSIGNED AS COMMANDER OF UNITED STATES SPACE 
                   COMMAND.

       It is the sense of Congress that the Secretary of Defense 
     should assign the best

[[Page 20083]]

     qualified officer of the Army, Marine Corps, or Air Force 
     with the grade of general, or of the Navy with the grade of 
     admiral, to the position of Commander of the United States 
     Space Command.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

     SEC. 1001. TRANSFER AUTHORITY.

       (a) Authority To Transfer Authorizations.--(1) Upon 
     determination by the Secretary of Defense that such action is 
     necessary in the national interest, the Secretary may 
     transfer amounts of authorizations made available to the 
     Department of Defense in this division for fiscal year 2002 
     between any such authorizations for that fiscal year (or any 
     subdivisions thereof). Amounts of authorizations so 
     transferred shall be merged with and be available for the 
     same purposes as the authorization to which transferred.
       (2) The total amount of authorizations that the Secretary 
     may transfer under the authority of this section may not 
     exceed $2,000,000,000.
       (b) Limitations.--The authority provided by this section to 
     transfer authorizations--
       (1) may only be used to provide authority for items that 
     have a higher priority than the items from which authority is 
     transferred; and
       (2) may not be used to provide authority for an item that 
     has been denied authorization by Congress.
       (c) Effect on Authorization Amounts.--A transfer made from 
     one account to another under the authority of this section 
     shall be deemed to increase the amount authorized for the 
     account to which the amount is transferred by an amount equal 
     to the amount transferred.
       (d) Notice to Congress.--The Secretary shall promptly 
     notify Congress of each transfer made under subsection (a).

     SEC. 1002. REDUCTION IN AUTHORIZATIONS OF APPROPRIATIONS FOR 
                   DEPARTMENT OF DEFENSE FOR MANAGEMENT 
                   EFFICIENCIES.

       Notwithstanding any other provision of this Act, the total 
     amount authorized to be appropriated for the Department of 
     Defense by divisions A and B of this Act is hereby reduced by 
     $1,630,000,000, to reflect savings to be achieved through 
     implementation of the provisions of title VIII and other 
     management efficiencies and business process reforms.

     SEC. 1003. AUTHORIZATION OF SUPPLEMENTAL APPROPRIATIONS FOR 
                   FISCAL YEAR 2001.

       Amounts authorized to be appropriated to the Department of 
     Defense for fiscal year 2001 in the Floyd D. Spence National 
     Defense Authorization Act for Fiscal Year 2001 (as enacted 
     into law by Public Law 106-398) are hereby adjusted, with 
     respect to any such authorized amount, by the amount by which 
     appropriations pursuant to such authorization were increased 
     (by a supplemental appropriation) or decreased (by a 
     rescission), or both, in title I of the Supplemental 
     Appropriations Act, 2001 (Public Law 107-20).

     SEC. 1004. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED 
                   BUDGETS IN FISCAL YEAR 2002.

       (a) Fiscal Year 2002 Limitation.--The total amount 
     contributed by the Secretary of Defense in fiscal year 2002 
     for the common-funded budgets of NATO may be any amount up 
     to, but not in excess of, the amount specified in subsection 
     (b) (rather than the maximum amount that would otherwise be 
     applicable to those contributions under the fiscal year 1998 
     baseline limitation).
       (b) Total Amount.--The amount of the limitation applicable 
     under subsection (a) is the sum of the following:
       (1) The amounts of unexpended balances, as of the end of 
     fiscal year 2001, of funds appropriated for fiscal years 
     before fiscal year 2002 for payments for those budgets.
       (2) The amount specified in subsection (c)(1).
       (3) The amount specified in subsection (c)(2).
       (4) The total amount of the contributions authorized to be 
     made under section 2501.
       (c) Authorized Amounts.--Amounts authorized to be 
     appropriated by titles II and III of this Act are available 
     for contributions for the common-funded budgets of NATO as 
     follows:
       (1) Of the amount provided in section 201(1), $708,000 for 
     the Civil Budget.
       (2) Of the amount provided in section 301(1), $175,849,000 
     for the Military Budget.
       (d) Definitions.--For purposes of this section:
       (1) Common-funded budgets of nato.--The term ``common-
     funded budgets of NATO'' means the Military Budget, the 
     Security Investment Program, and the Civil Budget of the 
     North Atlantic Treaty Organization (and any successor or 
     additional account or program of NATO).
       (2) Fiscal year 1998 baseline limitation.--The term 
     ``fiscal year 1998 baseline limitation'' means the maximum 
     annual amount of Department of Defense contributions for 
     common-funded budgets of NATO that is set forth as the annual 
     limitation in section 3(2)(C)(ii) of the resolution of the 
     Senate giving the advice and consent of the Senate to the 
     ratification of the Protocols to the North Atlantic Treaty of 
     1949 on the Accession of Poland, Hungary, and the Czech 
     Republic (as defined in section 4(7) of that resolution), 
     approved by the Senate on April 30, 1998.

     SEC. 1005. CLARIFICATION OF APPLICABILITY OF INTEREST 
                   PENALTIES FOR LATE PAYMENT OF INTERIM PAYMENTS 
                   DUE UNDER CONTRACTS FOR SERVICES.

       Section 1010(d) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-251) is amended by 
     inserting before the period at the end of the first sentence 
     the following: ``, and shall apply with respect to interim 
     payments that are due on or after such date under contracts 
     entered into before, on, or after that date''.

     SEC. 1006. RELIABILITY OF DEPARTMENT OF DEFENSE FINANCIAL 
                   STATEMENTS.

       (a) Annual Report on Reliability.--(1) Not later than July 
     1 of each year, the Secretary of Defense shall submit to the 
     recipients referred to in paragraph (3) a report on the 
     reliability of the Department of Defense financial 
     statements, including the financial statements of each 
     component of the department that is required to prepare a 
     financial statement under section 3515(c) of title 31, United 
     States Code.
       (2) The annual report shall contain the following:
       (A) A conclusion regarding whether the policies and 
     procedures of the Department of Defense, and the systems used 
     within the Department of Defense, for the preparation of 
     financial statements allow the achievement of reliability in 
     the financial statements.
       (B) For each of the financial statements prepared for the 
     Department of Defense for the fiscal year in which the report 
     is submitted, a conclusion regarding the expected reliability 
     of the financial statement (evaluated on the basis of Office 
     of Management and Budget guidance on financial statements), 
     together with a discussion of the major deficiencies to be 
     expected in the statement.
       (C) A summary of the specific sections of the annual 
     Financial Management Improvement Plan of the Department of 
     Defense, current as of the date of the report, that--
       (i) detail the priorities, milestones, and measures of 
     success that apply to the preparation of the financial 
     statements;
       (ii) detail the planned improvements in the process for the 
     preparation of financial statements that are to be 
     implemented within 12 months after the date on which the plan 
     is issued; and
       (iii) provide an estimate of when each financial statement 
     will convey reliable information.
       (3) The annual report shall be submitted to the following:
       (A) The Committee on Armed Services and the Committee on 
     Governmental Affairs of the Senate.
       (B) The Committee on Armed Services and the Committee on 
     Government Reform of the House of Representatives.
       (C) The Director of the Office of Management and Budget.
       (D) The Secretary of the Treasury.
       (E) The Comptroller General of the United States.
       (4) The Secretary of Defense shall make a copy of the 
     annual report available to the Inspector General of the 
     Department of Defense.
       (b) Minimization of Use of Resources for Unreliable 
     Financial Statements.--(1) With respect to each financial 
     statement for a fiscal year that the Secretary of Defense 
     assesses as being expected to be unreliable in the annual 
     report under subsection (a), the Under Secretary of Defense 
     (Comptroller) or the Assistant Secretary (Financial 
     Management and Comptroller) of the military department 
     concerned shall take appropriate actions to minimize the 
     resources, including contractor support, that are used to 
     develop, compile, and report the financial statement.
       (2)(A) With the annual budget justifications for the 
     Department of Defense submitted to Congress each year, the 
     Under Secretary of Defense (Comptroller) shall submit, with 
     respect to the fiscal year in which submitted, the preceding 
     fiscal year, and the following fiscal year, the following 
     information:
       (i) An estimate of the resources that the Department of 
     Defense is saving or expects to save as a result of actions 
     taken and to be taken under paragraph (1) with respect to the 
     preparation of financial statements.
       (ii) A discussion of how the resources saved as estimated 
     under clause (i) have been redirected or are to be redirected 
     from the preparation of financial statements to the 
     improvement of systems underlying financial management within 
     the Department of Defense and to the improvement of financial 
     management policies, procedures, and internal controls within 
     the Department of Defense.
       (B) The Assistant Secretaries (Financial Management and 
     Comptroller) of the Army, Navy, and Air Force shall provide 
     the Under Secretary of Defense (Comptroller) with the 
     information necessary for making the estimate required by 
     subparagraph (A)(i).
       (c) Information to Auditors.--Not later than October 31 of 
     each year, the Under Secretary of Defense (Comptroller) and 
     the Assistant Secretaries (Financial Management and 
     Comptroller) of the Army, Navy, and Air Force shall each 
     provide to the auditors of the financial statement of that 
     official's department for the fiscal year ending during

[[Page 20084]]

     the preceding month the official's preliminary management 
     representation, in writing, regarding the expected 
     reliability of the financial statement. The representation 
     shall be consistent with guidance issued by the Director of 
     the Office of Management and Budget and shall include the 
     basis for the reliability assessment stated in the 
     representation.
       (d) Limitation on Inspector General Audits.--(1) On each 
     financial statement that an official asserts is unreliable 
     under subsection (b) or (c), the Inspector General of the 
     Department of Defense shall only perform the audit procedures 
     required by generally accepted government auditing standards 
     consistent with any representation made by management.
       (2)(A) With the annual budget justifications for the 
     Department of Defense submitted to Congress each year, the 
     Under Secretary of Defense (Comptroller) shall submit, with 
     respect to the fiscal year in which submitted, the preceding 
     fiscal year, and the following fiscal year, information which 
     the Inspector General shall report to the Under Secretary, as 
     follows:
       (i) An estimate of the resources that the Inspector General 
     is saving or expects to save as a result of actions taken and 
     to be taken under paragraph (1) with respect to the auditing 
     of financial statements.
       (ii) A discussion of how the resources saved as estimated 
     under clause (i) have been redirected or are to be redirected 
     from the auditing of financial statements to the oversight 
     and improvement of systems underlying financial management 
     within the Department of Defense and to the oversight and 
     improvement of financial management policies, procedures, and 
     internal controls within the Department of Defense.
       (e) Period of Applicability.--(1) Except as provided in 
     paragraph (2), the requirements of this section shall apply 
     with respect to financial statements for fiscal years after 
     fiscal year 2000 and before fiscal year 2006 and to the 
     auditing of those financial statements.
       (2) If the Secretary of Defense certifies to the Inspector 
     General of the Department of Defense that the financial 
     statement for the Department of Defense, or a financial 
     statement for a component of the Department of Defense, for a 
     fiscal year is reliable, this section shall not apply with 
     respect to that financial statement or to any successive 
     financial statement for the department or that component, as 
     the case may be, for any later fiscal year.

     SEC. 1007. FINANCIAL MANAGEMENT MODERNIZATION EXECUTIVE 
                   COMMITTEE AND FINANCIAL FEEDER SYSTEMS 
                   COMPLIANCE PROCESS.

       (a) Establishment of Financial Management Modernization 
     Executive Committee.--(1) The Secretary of Defense shall 
     establish a Financial Management Modernization Executive 
     Committee.
       (2) The Committee shall be composed of the Under Secretary 
     of Defense (Comptroller), the Under Secretary of Defense 
     (Acquisition, Technology, and Logistics), the Under Secretary 
     of Defense (Personnel and Readiness), the chief information 
     officer of the Department of Defense, and other key managers 
     of the Department of Defense (including key managers in 
     Defense Agencies and military departments) who are designated 
     by the Secretary.
       (3) The Under Secretary of Defense (Comptroller) shall be 
     the Chairman of the Committee.
       (4) The Committee shall be accountable to the Senior 
     Executive Council composed of the Secretary of Defense, the 
     Deputy Secretary of Defense, the Under Secretary of Defense 
     for Acquisition, Technology, and Logistics, the Secretary of 
     the Army, the Secretary of the Navy, and the Secretary of the 
     Air Force.
       (b) Duties.--The Financial Management Modernization 
     Executive Committee shall have the following duties:
       (1) To establish a financial and feeder systems compliance 
     process that ensures that each critical accounting, financial 
     management, and feeder system of the Department of Defense is 
     compliant with applicable Federal financial management and 
     reporting requirements.
       (2) To develop a management plan for the implementation of 
     the financial and feeder systems compliance process.
       (3) To supervise and monitor the actions that are necessary 
     to implement the management plan, as approved by the 
     Secretary of Defense.
       (4) To ensure that a Department of Defense financial 
     management enterprise architecture is development and 
     maintained in accordance with--
       (A) the overall business process transformation strategy of 
     the Department; and
       (B) the Command, Control, Communications, Computers, 
     Intelligence, Surveillance, and Reconnaissance Architecture 
     Framework of the Department.
       (5) To ensure that investments in existing or proposed 
     financial management systems for the Department comply with 
     the overall business practice transformation strategy of the 
     Department and the financial management enterprise 
     architecture developed under paragraph (4).
       (6) To provide an annual accounting of all financial and 
     feeder system investment technology projects to ensure that 
     such projects are being implemented at acceptable cost and 
     within a reasonable schedule, and are contributing to 
     tangible, observable improvements in mission performance.
       (c) Management Plan for Implementation of Financial Feeder 
     Systems Compliance Process.--The management plan developed 
     under subsection (b)(2) shall include among its principal 
     elements at least the following elements:
       (1) A requirement to establish and maintain a complete 
     inventory of all budgetary, accounting, finance, and feeder 
     systems that support the transformed business processes of 
     the Department and produce financial statements.
       (2) A phased process for improving systems that provides 
     for mapping financial data flow from sources to cognizant 
     Department business functions (as part of the overall 
     business process transformation strategy of the Department) 
     and financial statements before other actions are initiated.
       (3) Periodic submittal to the Secretary of Defense, the 
     Deputy Secretary of Defense, the Senior Executive Council, or 
     any combination thereof, of reports on the progress being 
     made in achieving financial management transformation goals 
     and milestone included in the annual financial management 
     improvement plan in 2002 in accordance with subsection (e).
       (4) Documentation of the completion of each phase--
     Awareness, Evaluation, Renovation, Validation, and 
     Compliance--of improvements made to each accounting, finance, 
     and feeder system.
       (5) Independent audit by the Inspector General of the 
     Department, the audit agencies of the military department, 
     private sector firms contracted to conduct validation audits, 
     or any combination thereof, at the validation phase for each 
     accounting, finance, and feeder system.
       (d) Annual Financial Management Improvement Plan.--(1) 
     Subsection (a) of section 2222 of title 10, United States 
     Code, is amended to read as follows:
       ``(a) Annual Plan Required.--The Secretary of Defense shall 
     submit to Congress an annual strategic plan for the 
     improvement of financial management within the Department of 
     Defense. The plan shall be submitted not later than September 
     30 each year.''.
       (2)(A) The section heading of such section is amended to 
     read as follows:

     ``Sec. 2222. Annual financial management improvement plan''.

       (B) The table of sections at the beginning of chapter 131 
     of such title is amended by striking the item relating to 
     section 2222 and inserting the following new item:

``2222. Annual financial management improvement plan.''.

       (e) Additional Elements for Financial Management 
     Improvement Plan in 2002.--In the annual financial management 
     improvement plan submitted under section 2222 of title 10, 
     United States Code (as amended by subsection (d)), in 2002, 
     the Secretary shall include the following:
       (1) Measurable annual performance goals for improvement of 
     the financial management of the Department.
       (2) Performance milestones for initiatives under the plan 
     for transforming the financial management operations of the 
     Department and for implementing a financial management 
     architecture for the Department.
       (3) An assessment of the anticipated annual cost of any 
     plans for transforming the financial management operations of 
     the Department and for implementing a financial management 
     architecture for the Department.
       (4) A discussion of the following:
       (A) The roles and responsibilities of appropriate 
     Department officials to ensure the supervision and monitoring 
     of the compliance of each accounting, finance, and feeder 
     system of the Department with the business practice 
     transformation strategy of the Department, the financial 
     management architecture of the Department, and applicable 
     Federal financial management systems and reporting 
     requirements.
       (B) A summary of the actions taken by the Financial 
     Management Modernization Executive Committee to ensure that 
     such systems comply with the business practice transformation 
     strategy of the Department, the financial management 
     architecture of the Department, and applicable Federal 
     financial management systems and reporting requirements.
       (f) Additional Elements for Financial Management 
     Improvement Plan After 2002.--In each annual financial 
     management improvement plan submitted under section 2222 of 
     title 10, United States Code (as amended by subsection (d)), 
     after 2002, the Secretary shall include the following:
       (1) A description of the actions to be taken in the fiscal 
     year beginning in the year in which the plan is submitted to 
     implement the goals and milestones included in the financial 
     management improvement plan in 2002 under paragraphs (1) and 
     (2) of subsection (e).
       (2) An estimate of the amount expended in the fiscal year 
     ending in the year in which the plan is submitted to 
     implement the financial management improvement plan in

[[Page 20085]]

     such preceding calendar year, set forth by system.
       (3) If an element of the financial management improvement 
     plan submitted in the fiscal year ending in the year in which 
     the plan is submitted was not implemented, a justification 
     for the lack of implementation of such element.

     SEC. 1008. COMBATING TERRORISM READINESS INITIATIVES FUND FOR 
                   COMBATANT COMMANDS.

       (a) Funding for Initiatives.--Chapter 6 of title 10, United 
     States Code, is amended by inserting after section 166a the 
     following new section:

     ``Sec. 166b. Combatant commands: funding for combating 
       terrorism readiness initiatives

       ``(a) Combating Terrorism Readiness Initiatives Fund.--From 
     funds made available in any fiscal year for the budget 
     account in the Department of Defense known as the `Combating 
     Terrorism Readiness Initiatives Fund', the Chairman of the 
     Joint Chiefs of Staff may provide funds to the commander of a 
     combatant command, upon the request of the commander, or, 
     with respect to a geographic area or areas not within the 
     area of responsibility of a commander of a combatant command, 
     to an officer designated by the Chairman of the Joint Chiefs 
     of Staff for such purpose. The Chairman may provide such 
     funds for initiating any activity named in subsection (b) and 
     for maintaining and sustaining the activity for the fiscal 
     year in which initiated and one additional fiscal year.
       ``(b) Authorized Activities.--Activities for which funds 
     may be provided under subsection (a) are the following:
       ``(1) Procurement and maintenance of physical security 
     equipment.
       ``(2) Improvement of physical security sites.
       ``(3) Under extraordinary circumstances--
       ``(A) physical security management planning;
       ``(B) procurement and support of security forces and 
     security technicians;
       ``(C) security reviews and investigations and vulnerability 
     assessments; and
       ``(D) any other activity relating to physical security.
       ``(c) Priority.--The Chairman of the Joint Chiefs of Staff, 
     in considering requests for funds in the Combating Terrorism 
     Readiness Initiatives Fund, should give priority 
     consideration to emergency or emergent unforeseen high-
     priority requirements for combating terrorism.
       ``(d) Relationship to Other Funding.--Any amount provided 
     by the Chairman of the Joint Chiefs of Staff for a fiscal 
     year out of the Combating Terrorism Readiness Initiatives 
     Fund for an activity referred to in subsection (b) shall be 
     in addition to amounts otherwise available for that activity 
     for that fiscal year.
       ``(e) Limitation.--Funds may not be provided under this 
     section for any activity that has been denied authorization 
     by Congress.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 166a the following new item:

``166b. Combatant commands: funding for combating terrorism readiness 
              initiatives.''.

     SEC. 1009. AUTHORIZATION OF ADDITIONAL FUNDS.

       (a) Authorization.--$1,300,000,000 is hereby authorized, in 
     addition to the funds authorized elsewhere in division A of 
     this Act, for whichever of the following purposes the 
     President determines to be in the national security interests 
     of the United States--
       (1) research, development, test and evaluation for 
     ballistic missile defense; and
       (2) activities for combating terrorism.

     SEC. 1010. AUTHORIZATION OF 2001 EMERGENCY SUPPLEMENTAL 
                   APPROPRIATIONS ACT FOR RECOVERY FROM AND 
                   RESPONSE TO TERRORIST ATTACKS ON THE UNITED 
                   STATES.

       (a) Authorization.--Amounts authorized to be appropriated 
     to the Department of Defense for fiscal year 2001 in the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted into law by Public Law 106-398) are 
     hereby adjusted by the amounts of appropriations made 
     available to the Department of Defense pursuant to the 2001 
     Emergency Supplemental Appropriations Act for Recovery from 
     and Response to Terrorist Attacks on the United States.
       (b) Quarterly Report.--(1) Promptly after the end of each 
     quarter of a fiscal year, the Secretary of Defense shall 
     submit to the Committees on Armed Services of the Senate and 
     the House of Representatives a report on the use of funds 
     made available to the Department of Defense pursuant to the 
     2001 Emergency Supplemental Appropriations Act for Recovery 
     from and Response to Terrorist Attacks on the United States.
       (2) The first report under paragraph (1) shall be submitted 
     not later than January 2, 2002.
       (c) Proposed Allocation and Plan.--The Secretary of Defense 
     shall submit to the Committees on Armed Services of the 
     Senate and the House of Representatives, not later than 15 
     days after the date on which the Director of the Office of 
     Management and Budget submits to the Committees on 
     Appropriations of the Senate and House of Representatives the 
     proposed allocation and plan required by the 2001 Emergency 
     Supplemental Appropriations Act for Recovery from and 
     Response to Terrorist Attacks on the United States, a 
     proposed allocation and plan for the use of the funds made 
     available to the Department of Defense pursuant to that Act.

                      Subtitle B--Strategic Forces

     SEC. 1011. REPEAL OF LIMITATION ON RETIREMENT OR 
                   DISMANTLEMENT OF STRATEGIC NUCLEAR DELIVERY 
                   SYSTEMS.

       Section 1302 of the National Defense Authorization Act for 
     Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1948) is 
     repealed.

     SEC. 1012. BOMBER FORCE STRUCTURE.

       (a) Limitation.--None of the funds available to the 
     Department of Defense for fiscal year 2002 may be obligated 
     or expended for retiring or dismantling any of the 93 B-1B 
     Lancer bombers in service as of June 1, 2001, or for 
     transferring or reassigning any of those aircraft from the 
     unit or facility to which assigned as of that date, until 30 
     days after the latest of the following:
       (1) The date on which the President transmits to Congress 
     the national security strategy report required in 2001 
     pursuant to section 108(a)(1) of the National Security Act of 
     1947 (50 U.S.C. 404a(a)(1)).
       (2) The date on which the Secretary of Defense submits to 
     the Committee on Armed Services of the Senate and the 
     Committee on Armed Services of the House of Representatives 
     the Quadrennial Defense Review (QDR) under section 118 of 
     title 10, United States Code, that is required to be 
     submitted under that section not later than September 30, 
     2001.
       (3) The date on which the Secretary of Defense submits to 
     the committees referred to in paragraph (2) a report that 
     sets forth--
       (A) the changes in national security considerations from 
     those applicable to the air force bomber studies conducted 
     during 1992, 1995, and 1999 that warrant changes in the 
     current configuration of the bomber fleet;
       (B) the role of manned bomber aircraft appropriate to meet 
     the requirements of the national security strategy referred 
     to in paragraph (1);
       (C) the amount and type of bomber force structure in the 
     United States Air Force appropriate to meet the requirements 
     of the national security strategy referred to in paragraph 
     (1);
       (D) the results of a comparative analysis of the cost of 
     basing, maintaining, operating, and upgrading the B-1B Lancer 
     bomber fleet in the active force of the Air Force with the 
     cost of basing, maintaining, operating, and upgrading the B-
     1B Lancer bomber fleet in a mix of active and reserve 
     component forces of the Air Force; and
       (E) the plans of the Department of Defense for assigning 
     new missions to the National Guard units that currently fly 
     B-1 aircraft and for the transition of those units and their 
     facilities from the current B-1 mission to such new missions.
       (4) The date on which the Secretary of Defense submits to 
     Congress the report on the results of the Revised Nuclear 
     Posture Review conducted under section 1042 of the Floyd D. 
     Spence National Defense Authorization Act for Fiscal Year 
     2001 (as enacted into law by Public Law 106-398; 114 Stat. 
     1654A-262), as amended by section 1013 of this Act.
       (b) GAO Study and Report.--The Comptroller General of the 
     United States shall conduct a study on the matters specified 
     in subsection (a)(3). The Comptroller General shall submit to 
     Congress a report containing the results of the study not 
     later than January 31, 2002.
       (c) Amount and Type of Bomber Force Structure Defined.--In 
     this section, the term ``amount and type of bomber force 
     structure'' means the required numbers of B-2 aircraft, B-52 
     aircraft, and B-1 aircraft consistent with the requirements 
     of the national security strategy referred to in subsection 
     (a)(1).

     SEC. 1013. ADDITIONAL ELEMENT FOR REVISED NUCLEAR POSTURE 
                   REVIEW.

       Section 1041(b) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398; 114 Stat. 1654A-262) is amended by adding at the 
     end the following new paragraph:
       ``(7) The possibility of deactivating or dealerting nuclear 
     warheads or delivery systems immediately, or immediately 
     after a decision to retire any specific warhead, class of 
     warheads, or delivery system or systems.''.

                   Subtitle C--Reporting Requirements

     SEC. 1021. INFORMATION AND RECOMMENDATIONS ON CONGRESSIONAL 
                   REPORTING REQUIREMENTS APPLICABLE TO THE 
                   DEPARTMENT OF DEFENSE.

       (a) Compilation of Reporting Requirements.--The Secretary 
     of Defense shall compile a list of all provisions of law in 
     effect on the date of the enactment of this Act that require 
     or request the President, with respect to the national 
     defense functions of the Federal Government, or any officer 
     or employee of the Department of Defense, to submit a report, 
     notification, or study to Congress or any committee of 
     Congress. The preceding sentence does not apply to a 
     provision of law that requires or requests only one report, 
     notification, or study.
       (b) Submittal of Compilation.--(1) The Secretary shall 
     submit the list compiled

[[Page 20086]]

     under subsection (a) to Congress not later than 60 days after 
     the date of the enactment of this Act.
       (2) In submitting the list, the Secretary shall specify for 
     each provision of law compiled in the list--
       (A) the date of the enactment of such provision of law and 
     a current citation in law for such provision of law; and
       (B) the Secretary's assessment of the continuing utility of 
     any report, notification, or study arising under such 
     provision of law, both for the executive branch and for 
     Congress.
       (3) The Secretary may also include with the list any 
     recommendations that the Secretary considers appropriate for 
     the consolidation of reports, notifications, and studies 
     under the provisions of law described in subsection (a), 
     together with a proposal for legislation to implement such 
     recommendations.

     SEC. 1022. REPORT ON COMBATING TERRORISM.

       (a) Requirement for Report.--The Secretary of Defense shall 
     submit to Congress a report on the Department of Defense 
     policies, plans, and procedures for combating terrorism.
       (b) Content.--(1) The Secretary shall identify and explain 
     in the report the Department of Defense structure, strategy, 
     roles, relationships, and responsibilities for combating 
     terrorism.
       (2) The report shall also include a discussion of the 
     following matters:
       (A) The policies, plans, and procedures relating to how the 
     Assistant Secretary of Defense for Special Operations and Low 
     Intensity Conflict and the Joint Task Force-Civil Support of 
     the Joint Forces Command are to perform, and coordinate the 
     performance of, their functions for combating terrorism 
     with--
       (i) the various teams in the Department of Defense that 
     have responsibilities to respond to acts or threats of 
     terrorism, including--
       (I) the weapons of mass destruction civil support teams 
     when operating as the National Guard under the command of the 
     Governor of a State, the Governor of Puerto Rico, or the 
     Commanding General of the District of Columbia National 
     Guard, as the case may be; and
       (II) the weapons of mass destruction civil support teams 
     when operating as the Army National Guard of the United 
     States or the Air National Guard of the United States under 
     the command of the President;
       (ii) the Army's Director of Military Support;
       (iii) the various teams in other departments and agencies 
     of the Federal Government that have responsibilities to 
     respond to acts or threats of terrorism;
       (iv) the organizations outside the Federal Government, 
     including any private sector entities, that are to function 
     as first responders to acts or threats of terrorism; and
       (v) the units and organizations of the reserve components 
     of the Armed Forces that have missions relating to combating 
     terrorism.
       (B) Any preparedness plans to combat terrorism that are 
     developed for installations of the Department of Defense by 
     the commanders of the installations and the integration of 
     those plans with the plans of the teams and other 
     organizations described in subparagraph (A).
       (C) The policies, plans, and procedures for using and 
     coordinating the Joint Staff's integrated vulnerability 
     assessment teams inside the United States and outside the 
     United States.
       (D) The missions of Fort Leonard Wood and other 
     installations for training units, weapons of mass destruction 
     civil support teams and other teams, and individuals in 
     combating terrorism.
       (3) The report shall also include the Secretary's views on 
     the appropriate number and missions of the Department of 
     Defense teams referred to in paragraph (2)(A)(i).
       (c) Time for Submittal.--The Secretary shall submit the 
     report under this section not later than 180 days after the 
     date of the enactment of this Act.

     SEC. 1023. REVISED REQUIREMENT FOR CHAIRMAN OF THE JOINT 
                   CHIEFS OF STAFF TO ADVISE SECRETARY OF DEFENSE 
                   ON THE ASSIGNMENT OF ROLES AND MISSIONS TO THE 
                   ARMED FORCES.

       (a) Assessment During Defense Quadrennial Review.--
     Subsection 118(e) of title 10, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(e) CJCS Review.--''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Chairman shall include in the assessment 
     submitted under paragraph (1), the Chairman's assessment of 
     the assignment of functions (or roles and missions) to the 
     armed forces together with any recommendations for changes in 
     assignment that the Chairman considers necessary to achieve 
     the maximum efficiency of the armed forces. In making the 
     assessment, the Chairman should consider (among other 
     matters) the following:
       ``(A) Unnecessary duplication of effort among the armed 
     forces.
       ``(B) Changes in technology that can be applied effectively 
     to warfare.''.
       (b) Repeal of Requirement for Triennial Report on 
     Assignment of Roles and Missions.--Section 153 of such title 
     is amended by striking subsection (b).
       (c) Conforming Amendment.--Subsection (a) of such section 
     153 is amended by striking ``(a) Planning; Advice; Policy 
     Formulation.--''.

     SEC. 1024. REVISION OF DEADLINE FOR ANNUAL REPORT ON 
                   COMMERCIAL AND INDUSTRIAL ACTIVITIES.

       Section 2461(g) of title 10, United States Code, is amended 
     by striking ``February 1'' and inserting ``June 30''.

     SEC. 1025. PRODUCTION AND ACQUISITION OF VACCINES FOR DEFENSE 
                   AGAINST BIOLOGICAL WARFARE AGENTS.

       (a) Government Facility.--(1) Subject to the availability 
     of funds appropriated and authorized to be appropriated for 
     such purposes, the Secretary of Defense may--
       (A) design, construct, and operate on an installation of 
     the Department of Defense a facility for the production of 
     vaccines described in subsection (b)(1);
       (B) qualify and validate the facility for the production of 
     vaccines in accordance with the requirements of the Food and 
     Drug Administration; and
       (C) contract with a private sector source for the 
     production of vaccines in that facility.
       (2) The Secretary shall use competitive procedures under 
     chapter 137 of title 10, United States Code, to enter into 
     contracts to carry out subparagraphs (A) and (C) of paragraph 
     (1).
       (b) Plan.--(1) The Secretary of Defense shall develop a 
     long-range plan to provide for the production and acquisition 
     of vaccines to meet the requirements of the Department of 
     Defense to prevent or mitigate the physiological effects of 
     exposure to biological warfare agents.
       (2) The plan shall include the following:
       (A) An evaluation of the need for one or more vaccine 
     production facilities that are specifically dedicated to 
     meeting the requirements of the Department of Defense and 
     other national interests.
       (B) An evaluation of the alternative options for the means 
     of production of the vaccines, including--
       (i) use of public facilities, private facilities, or a 
     combination of public and private facilities; and
       (ii) management and operation of the facilities by the 
     Federal Government, one or more private persons, or a 
     combination of the Federal Government and one or more private 
     persons.
       (C) The means for producing the vaccines that the Secretary 
     determines most appropriate.
       (3) The Secretary shall ensure that the plan is consistent 
     with the requirement for safe and effective vaccines approved 
     by the Food and Drug Administration.
       (4) In preparing the plan, the Secretary shall--
       (A) consider and, as the Secretary determines appropriate, 
     include the information compiled and the analyses developed 
     in meeting the reporting requirements set forth in sections 
     217 and 218 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-36 and 1654A-37); and
       (B) consult with the heads of other appropriate departments 
     and agencies of the Federal Government.
       (c) Report.--Not later than February 1, 2002, the Secretary 
     of Defense shall submit to the congressional defense 
     committees a report on the plan for the production of 
     vaccines required by subsection (b). The report shall 
     include, at a minimum, the plan and the following matters:
       (1) A description of the policies and requirements of the 
     Department of Defense regarding acquisition and use of the 
     vaccines.
       (2) The estimated schedule for the acquisition of the 
     vaccines in accordance with the plan.
       (3) A discussion of the options considered for production 
     of the vaccines under subsection (b)(2)(B).
       (4) The Secretary's recommendations for the most 
     appropriate course of action to meet the requirements 
     described in subsection (b)(1), together with the 
     justification for the recommendations and the long-term cost 
     of implementing the recommendations.

     SEC. 1026. EXTENSION OF TIMES FOR COMMISSION ON THE FUTURE OF 
                   THE UNITED STATES AEROSPACE INDUSTRY TO REPORT 
                   AND TO TERMINATE.

       (a) Submittal of Report.--Subsection (d) of section 1092 of 
     the Floyd D. Spence National Defense Authorization Act for 
     Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
     114 Stat. 1654A-302) is amended by striking ``Not later than 
     March 1, 2002,'' and inserting ``Not later than one year 
     after the date of its first meeting,''.
       (b) Termination.--Subsection (g) of such section is amended 
     by striking ``30 days'' and inserting ``60 days''.

     SEC. 1027. COMPTROLLER GENERAL STUDY AND REPORT ON 
                   INTERCONNECTIVITY OF NATIONAL GUARD 
                   DISTRIBUTIVE TRAINING TECHNOLOGY PROJECT 
                   NETWORKS AND RELATED PUBLIC AND PRIVATE 
                   NETWORKS.

       (a) Study Required.--The Comptroller General of the United 
     States shall conduct a study of the interconnectivity between 
     the

[[Page 20087]]

     voice, data, and video networks of the National Guard 
     Distributive Training Technology Project (DTTP) and other 
     Department of Defense, Federal, State, and private voice, 
     data, and video networks, including the networks of the 
     distance learning project of the Army known as Classroom XXI, 
     networks of public and private institutions of higher 
     education, and networks of the Federal Emergency Management 
     Agency and other Federal, State, and local emergency 
     preparedness and response agencies.
       (b) Purposes.--The purposes of the study under subsection 
     (a) are as follows:
       (1) To identify existing capabilities, and future 
     requirements, for transmission of voice, data, and video for 
     purposes of operational support of disaster response, 
     homeland defense, command and control of premobilization 
     forces, training of military personnel, training of first 
     responders, and shared use of the networks of the 
     Distributive Training Technology Project by government and 
     members of the networks.
       (2) To identify appropriate connections between the 
     networks of the Distributive Training Technology Project and 
     networks of the Federal Emergency Management Agency, State 
     emergency management agencies, and other Federal and State 
     agencies having disaster response functions.
       (3) To identify requirements for connectivity between the 
     networks of the Distributive Training Technology Project and 
     other Department of Defense, Federal, State, and private 
     networks referred to in subsection (a) in the event of a 
     significant disruption of providers of public services.
       (4) To identify means of protecting the networks of the 
     Distributive Training Technology Project from outside 
     intrusion, including an assessment of the manner in which so 
     protecting the networks facilitates the mission of the 
     National Guard and homeland defense.
       (5) To identify impediments to interconnectivity between 
     the networks of the Distributive Training Technology Project 
     and such other networks.
       (6) To identify means of improving interconnectivity 
     between the networks of the Distributive Training Technology 
     Project and such other networks.
       (c) Particular Matters.--In conducting the study, the 
     Comptroller General shall consider, in particular, the 
     following:
       (1) Whether, and to what extent, national security concerns 
     impede interconnectivity between the networks of the 
     Distributive Training Technology Project and other Department 
     of Defense, Federal, State, and private networks referred to 
     in subsection (a).
       (2) Whether, and to what extent, limitations on the 
     technological capabilities of the Department of Defense 
     impede interconnectivity between the networks of the 
     Distributive Training Technology Project and such other 
     networks.
       (3) Whether, and to what extent, other concerns or 
     limitations impede interconnectivity between the networks of 
     the Distributive Training Technology Project and such other 
     networks.
       (4) Whether, and to what extent, any national security, 
     technological, or other concerns justify limitations on 
     interconnectivity between the networks of the Distributive 
     Training Technology Project and such other networks.
       (5) Potential improvements in National Guard or other 
     Department technologies in order to improve interconnectivity 
     between the networks of the Distributive Training Technology 
     Project and such other networks.
       (d) Report.--Not later than 180 days after the date of the 
     enactment of this Act, the Comptroller General shall submit 
     to the Committees on Armed Services of the Senate and the 
     House of Representatives a report on the study conducted 
     under subsection (a). The report shall describe the results 
     of the study, and include any recommendations that the 
     Comptroller General considers appropriate in light of the 
     study.

                Subtitle D--Armed Forces Retirement Home

     SEC. 1041. AMENDMENT OF ARMED FORCES RETIREMENT HOME ACT OF 
                   1991.

       Except as otherwise expressly provided, whenever in this 
     subtitle an amendment or repeal is expressed in terms of an 
     amendment to, or a repeal of, a section or other provision, 
     the reference shall be considered to be made to a section or 
     other provision of the Armed Forces Retirement Home Act of 
     1991 (title XV of Public Law 101-510; 24 U.S.C. 401 et seq.).

     SEC. 1042. DEFINITIONS.

       Section 1502 (24 U.S.C. 401) is amended--
       (1) by striking paragraphs (1), (2), (3), (4), and (5), and 
     inserting the following:
       ``(1) The term `Retirement Home' includes the institutions 
     established under section 1511, as follows:
       ``(A) The Armed Forces Retirement Home--Washington.
       ``(B) The Armed Forces Retirement Home--Gulfport.
       ``(2) The term `Local Board' means a Local Board of 
     Trustees established under section 1516.
       ``(3) The terms `Armed Forces Retirement Home Trust Fund' 
     and `Fund' mean the Armed Forces Retirement Home Trust Fund 
     established under section 1519(a).'';
       (2) by redesignating paragraphs (6), (7), and (8) as 
     paragraphs (4), (5), and (6); and
       (3) in paragraph (5), as so redesignated--
       (A) in subparagraph (C), by striking ``, Manpower and 
     Personnel'' and inserting ``for Personnel''; and
       (B) in subparagraph (D), by striking ``with responsibility 
     for personnel matters'' and inserting ``for Manpower and 
     Reserve Affairs''.

     SEC. 1043. REVISION OF AUTHORITY ESTABLISHING THE ARMED 
                   FORCES RETIREMENT HOME.

       Section 1511 (24 U.S.C. 411) is amended to read as follows:

     ``SEC. 1511. ESTABLISHMENT OF THE ARMED FORCES RETIREMENT 
                   HOME.

       ``(a) Independent Establishment.--The Armed Forces 
     Retirement Home is an independent establishment in the 
     executive branch.
       ``(b) Purpose.--The purpose of the Retirement Home is to 
     provide, through the Armed Forces Retirement Home--Washington 
     and the Armed Forces Retirement Home--Gulfport, residences 
     and related services for certain retired and former members 
     of the Armed Forces.
       ``(c) Facilities.--(1) Each facility of the Retirement Home 
     referred to in paragraph (2) is a separate establishment of 
     the Retirement Home.
       ``(2) The United States Soldiers' and Airmen's Home is 
     hereby redesignated as the Armed Forces Retirement Home--
     Washington. The Naval Home is hereby redesignated as the 
     Armed Forces Retirement Home--Gulfport.
       ``(d) Operation.--(1) The Chief Operating Officer of the 
     Armed Forces Retirement Home is the head of the Retirement 
     Home. The Chief Operating Officer is subject to the 
     authority, direction, and control of the Secretary of 
     Defense.
       ``(2) Each facility of the Retirement Home shall be 
     maintained as a separate establishment of the Retirement Home 
     for administrative purposes and shall be under the authority, 
     direction, and control of the Director of that facility. The 
     Director of each facility of the Retirement Home is subject 
     to the authority, direction, and control of the Chief 
     Operating Officer.
       ``(e) Property and Facilities.--(1) The Retirement Home 
     shall include such property and facilities as may be acquired 
     under paragraph (2) or accepted under section 1515(f) for 
     inclusion in the Retirement Home.
       ``(2) The Secretary of Defense may acquire, for the benefit 
     of the Retirement Home, property and facilities for inclusion 
     in the Retirement Home.
       ``(3) The Secretary of Defense may dispose of any property 
     of the Retirement Home, by sale, lease, or otherwise, that 
     the Secretary determines is excess to the needs of the 
     Retirement Home. The proceeds from such a disposal of 
     property shall be deposited in the Armed Forces Retirement 
     Home Trust Fund. No such disposal of real property shall be 
     effective earlier than 120 days after the date on which the 
     Secretary transmits a notification of the proposed disposal 
     to the Committees on Armed Services of the Senate and the 
     House of Representatives.
       ``(f) Department of Defense Support.--The Secretary of 
     Defense may make available from the Department of Defense to 
     the Retirement Home, on a nonreimbursable basis, 
     administrative support and office services, legal and policy 
     planning assistance, access to investigative facilities of 
     the Inspector General of the Department of Defense and of the 
     military departments, and any other support necessary to 
     enable the Retirement Home to carry out its functions under 
     this title.
       ``(g) Accreditation.--The Chief Operating Officer shall 
     endeavor to secure for each facility of the Retirement Home 
     accreditation by a nationally recognized civilian accrediting 
     organization, such as the Continuing Care Accreditation 
     Commission and the Joint Commission for Accreditation of 
     Health Organizations.
       ``(h) Annual Report.--The Secretary of Defense shall 
     transmit to Congress an annual report on the financial and 
     other affairs of the Retirement Home for each fiscal year.''.

     SEC. 1044. CHIEF OPERATING OFFICER.

       (a) Establishment and Authority of Position.--Section 1515 
     (24 U.S.C. 415) is amended to read as follows:

     ``SEC. 1515. CHIEF OPERATING OFFICER.

       ``(a) Appointment.--(1) The Secretary of Defense shall 
     appoint the Chief Operating Officer of the Retirement Home. 
     The Secretary of Defense may make the appointment without 
     regard to the provisions of title 5, United States Code, 
     governing appointments in the civil service.
       ``(2) The Chief Operating Officer shall serve at the 
     pleasure of the Secretary of Defense.
       ``(3) The Secretary of Defense shall evaluate the 
     performance of the Chief Operating Officer at least once each 
     year.
       ``(b) Qualifications.--To qualify for appointment as the 
     Chief Operating Officer, a person shall--
       ``(1) be a continuing care retirement community 
     professional;
       ``(2) have appropriate leadership and management skills; 
     and
       ``(3) have experience and expertise in the operation and 
     management of retirement homes and in the provision of long-
     term medical care for older persons.
       ``(c) Responsibilities.--(1) The Chief Operating Officer 
     shall be responsible to the Secretary of Defense for the 
     overall direction,

[[Page 20088]]

     operation, and management of the Retirement Home and shall 
     report to the Secretary on those matters.
       ``(2) The Chief Operating Officer shall supervise the 
     operation and administration of the Armed Forces Retirement 
     Home--Washington and the Armed Forces Retirement Home--
     Gulfport, including the Local Boards of those facilities.
       ``(3) The Chief Operating Officer shall perform the 
     following duties:
       ``(A) Issue, and ensure compliance with, appropriate rules 
     for the operation of the Retirement Home.
       ``(B) Periodically visit, and inspect the operation of, the 
     facilities of the Retirement Home.
       ``(C) Periodically examine and audit the accounts of the 
     Retirement Home.
       ``(D) Establish any advisory body or bodies that the Chief 
     Operating Officer considers to be necessary.
       ``(d) Compensation.--(1) The Secretary of Defense may 
     prescribe the pay of the Chief Operating Officer without 
     regard to the provisions of title 5, United States Code, 
     governing classification and pay, except that the basic pay, 
     including locality pay, of the Chief Operating Officer may 
     not exceed the limitations established in section 5307 of 
     such title.
       ``(2) In addition to basic pay and any locality pay 
     prescribed for the Chief Operating Officer, the Secretary may 
     award the Chief Operating Officer, not more than once each 
     year, a bonus based on the performance of the Chief Operating 
     Officer for the year. The Secretary shall prescribe the 
     amount of any such bonus.
       ``(e) Administrative Staff.--(1) The Chief Operating 
     Officer may, subject to the approval of the Secretary of 
     Defense, appoint a staff to assist in the performance of the 
     Chief Operating Officer's duties in the overall 
     administration of the Retirement Home.
       ``(2) The Chief Operating Officer shall prescribe the rates 
     of pay applicable to the members of the staff appointed under 
     paragraph (1), without regard to the provisions of title 5, 
     United States Code, regarding classification and pay, except 
     that--
       ``(A) a staff member who is a member of the Armed Forces on 
     active duty or who is a full-time officer or employee of the 
     United States may not receive additional pay by reason of 
     service on the administrative staff; and
       ``(B) the limitations in section 5373 of title 5, United 
     States Code, relating to pay set by administrative action, 
     shall apply to the rates of pay prescribed under this 
     paragraph.
       ``(f) Acceptance of Gifts.--(1) The Chief Operating Officer 
     may accept gifts of money, property, and facilities on behalf 
     of the Retirement Home.
       ``(2) Monies received as gifts, or realized from the 
     disposition of property and facilities received as gifts, 
     shall be deposited in the Armed Forces Retirement Home Trust 
     Fund.''.
       (b) Transfer of Authorities.--(1) The following provisions 
     are amended by striking ``Retirement Home Board'' each place 
     it appears and inserting ``Chief Operating Officer'':
       (A) Section 1512 (24 U.S.C. 412), relating to eligibility 
     and acceptance for residence in the Armed Forces Retirement 
     Home.
       (B) Section 1513(a) (24 U.S.C. 412(a)), relating to 
     services provided to residents of the Armed Forces Retirement 
     Home.
       (C) Section 1518(c) (24 U.S.C. 418(c)), relating to 
     inspection of the Armed Forces Retirement Home.
       (2) Section 1519(c) (24 U.S.C. 419(c)), relating to 
     authority to invest funds in the Armed Forces Retirement Home 
     Trust Fund, is amended by striking ``Director'' and inserting 
     ``Chief Operating Officer''.
       (3) Section 1521(a) (24 U.S.C. 421(a)), relating to payment 
     of residents for services, is amended by striking ``Chairman 
     of the Armed Forces Retirement Board'' and inserting ``Chief 
     Operating Officer''.
       (4) Section 1522 (24 U.S.C. 422), relating to authority to 
     accept certain uncompensated services, is amended--
       (A) in subsection (a)--
       (i) by striking ``Chairman of the Retirement Home Board or 
     the Director of each establishment'' and inserting ``Chief 
     Operating Officer or the Director of a facility''; and
       (ii) by striking ``unless'' and all that follows through 
     ``Retirement Home Board'';
       (B) in subsection (b)(1)--
       (i) by striking ``Chairman of the Retirement Home Board or 
     the Director of the establishment'' and inserting ``Chief 
     Operating Officer or the Director of a facility''; and
       (ii) by inserting ``offering the services'' after ``notify 
     the person'';
       (C) in subsection (b)(2), by striking ``Chairman'' and 
     inserting ``Chief Operating Officer'';
       (D) in subsection (c), by striking ``Chairman of the 
     Retirement Home Board or the Director of an establishment'' 
     and inserting ``Chief Operating Officer or the Director of a 
     facility''; and
       (E) in subsection (e)--
       (i) by striking ``Chairman of the Retirement Board or the 
     Director of the establishment'' in the first sentence and 
     inserting ``Chief Operating Officer or the Director of a 
     facility''; and
       (ii) by striking ``Chairman'' in the second sentence and 
     inserting ``Chief Operating Officer''.
       (5) Section 1523(b) (24 U.S.C. 423(b)), relating to 
     preservation of historic buildings and grounds at the Armed 
     Forces Retirement Home--Washington, is amended by striking 
     ``Chairman of the Retirement Home Board'' and inserting 
     ``Chief Operating Officer''.

     SEC. 1045. RESIDENTS OF RETIREMENT HOME.

       (a) Repeal of Requirement of Resident To Reapply After 
     Substantial Absence.--Subsection (e) of section 1512 (24 
     U.S.C. 412) is repealed.
       (b) Fees Paid by Residents.--Section 1514 (24 U.S.C. 414) 
     is amended to read as follows:

     ``SEC. 1514. FEES PAID BY RESIDENTS.

       ``(a) Monthly Fees.--The Director of each facility of the 
     Retirement Home shall collect a monthly fee from each 
     resident of that facility.
       ``(b) Deposit of Fees.--The Directors shall deposit fees 
     collected under subsection (a) in the Armed Forces Retirement 
     Home Trust Fund.
       ``(c) Fixing Fees.--(1) The Chief Operating Officer, with 
     the approval of the Secretary of Defense, shall from time to 
     time prescribe the fees required by subsection (a). Changes 
     to such fees shall be based on the financial needs of the 
     Retirement Home and the ability of the residents to pay. A 
     change of a fee may not take effect until 120 days after the 
     Secretary of Defense transmits a notification of the change 
     to the Committees on Armed Services of the Senate and the 
     House of Representatives.
       ``(2) The fee shall be fixed as a percentage of the monthly 
     income and monthly payments (including Federal payments) 
     received by a resident. The fee shall be subject to a 
     limitation on maximum monthly amount. The percentage shall be 
     the same for each facility of the Retirement Home. The 
     Secretary of Defense may make any adjustment in a percentage 
     or limitation on maximum amount that the Secretary determines 
     appropriate.
       ``(d) Transitional Fee Structures.--(1) Until different 
     fees are prescribed and take effect under subsection (c), the 
     percentages and limitations on maximum monthly amount that 
     are applicable to fees charged residents of the Retirement 
     Home are (subject to any adjustment that the Secretary of 
     Defense determines appropriate) as follows:
       ``(A) For months beginning before January 1, 2002--
       ``(i) for a permanent health care resident, 65 percent 
     (without limitation on maximum monthly amount); and
       ``(ii) for a resident who is not a permanent health care 
     resident, 40 percent (without limitation on maximum monthly 
     amount).
       ``(B) For months beginning after December 31, 2001--
       ``(i) for an independent living resident, 35 percent, but 
     not to exceed $1,000 each month;
       ``(ii) for an assisted living resident, 40 percent, but not 
     to exceed $1,500 each month; and
       ``(iii) for a long-term care resident, 65 percent, but not 
     to exceed $2,500 each month.
       ``(2) Notwithstanding the limitations on maximum monthly 
     amount prescribed under subsection (c) or set forth in 
     paragraph (1)(B), until an independent living resident or 
     assisted living resident of the Armed Forces Retirement 
     Home--Gulfport occupies a renovated room at that facility, as 
     determined by the Secretary of Defense, the limitation on 
     maximum monthly amount applicable to the resident for months 
     beginning after December 31, 2001, shall be--
       ``(A) in the case of an independent living resident, $800; 
     and
       ``(B) in the case of an assisted living resident, $1,300.

     SEC. 1046. LOCAL BOARDS OF TRUSTEES.

       Section 1516 (24 U.S.C. 416) is amended to read as follows:

     ``SEC. 1516. LOCAL BOARDS OF TRUSTEES.

       ``(a) Establishment.--Each facility of the Retirement Home 
     shall have a Local Board of Trustees.
       ``(b) Duties.--The Local Board for a facility shall serve 
     in an advisory capacity to the Director of the facility and 
     to the Chief Operating Officer.
       ``(c) Composition.--(1) The Local Board for a facility 
     shall consist of at least 11 members who (except as otherwise 
     specifically provided) shall be appointed by the Secretary of 
     Defense in consultation with each of the Secretaries of the 
     military departments concerned. At least one member of the 
     Local Board shall have a perspective that is oriented toward 
     the Retirement Home overall. The Local Board for a facility 
     shall consist of the following members:
       ``(A) One member who is a civilian expert in nursing home 
     or retirement home administration and financing from the 
     geographical area of the facility.
       ``(B) One member who is a civilian expert in gerontology 
     from the geographical area of the facility.
       ``(C) One member who is a service expert in financial 
     management.
       ``(D) One representative of the Department of Veterans 
     Affairs regional office nearest in proximity to the facility, 
     who shall be designated by the Secretary of Veterans Affairs.
       ``(E) One representative of the resident advisory committee 
     or council of the facility, who shall be a nonvoting member.
       ``(F) One enlisted representative of the Services' Retiree 
     Advisory Council.

[[Page 20089]]

       ``(G) The senior noncommissioned officer of one of the 
     Armed Forces.
       ``(H) One senior representative of the military hospital 
     nearest in proximity to the facility.
       ``(I) One senior judge advocate from one of the Armed 
     Forces.
       ``(J) The Director of the facility, who shall be a 
     nonvoting member.
       ``(K) One senior representative of one of the chief 
     personnel officers of the Armed Forces.
       ``(L) Other members designated by the Secretary of Defense 
     (if the Local Board is to have more than 11 members).
       ``(2) The Secretary of Defense shall designate one member 
     of a Local Board to serve as the chairman of the Local Board 
     at the pleasure of the Secretary of Defense.
       ``(d) Terms.--(1) Except as provided in subsections (e), 
     (f), and (g), the term of office of a member of a Local Board 
     shall be five years.
       ``(2) Unless earlier terminated by the Secretary of 
     Defense, a person may continue to serve as a member of the 
     Local Board after the expiration of the member's term until a 
     successor is appointed or designated, as the case may be.
       ``(e) Early Expiration of Term.--A member of a Local Board 
     who is a member of the Armed Forces or an employee of the 
     United States serves as a member of the Local Board only for 
     as long as the member is assigned to or serving in a position 
     for which the duties include the duty to serve as a member of 
     the Local Board.
       ``(f) Vacancies.--(1) A vacancy in the membership of a 
     Local Board shall be filled in the manner in which the 
     original appointment or designation was made, as the case may 
     be.
       ``(2) A member appointed or designated to fill a vacancy 
     occurring before the end of the term of the predecessor of 
     the member shall be appointed or designated, as the case may 
     be, for the remainder of the term for which the predecessor 
     was appointed.
       ``(3) A vacancy in a Local Board shall not affect its 
     authority to perform its duties.
       ``(g) Early Termination.--The Secretary of Defense may 
     terminate the appointment of a member of a Local Board before 
     the expiration of the member's term for any reason that the 
     Secretary determines appropriate.
       ``(h) Compensation.--(1) Except as provided in paragraph 
     (2), a member of a Local Board shall--
       ``(A) be provided a stipend consistent with the daily 
     government consultant fee for each day on which the member is 
     engaged in the performance of services for the Local Board; 
     and
       ``(B) while away from home or regular place of business in 
     the performance of services for the Local Board, be allowed 
     travel expenses (including per diem in lieu of subsistence) 
     in the same manner as a person employed intermittently in 
     Government under sections 5701 through 5707 of title 5, 
     United States Code.
       ``(2) A member of a Local Board who is a member of the 
     Armed Forces on active duty or a full-time officer or 
     employee of the United States shall receive no additional pay 
     by reason of serving a member of a Local Board.''.

     SEC. 1047. DIRECTORS, DEPUTY DIRECTORS, AND STAFF OF 
                   FACILITIES.

       Section 1517 (24 U.S.C. 417) is amended to read as follows:

     ``SEC. 1517. DIRECTORS, DEPUTY DIRECTORS, AND STAFF OF 
                   FACILITIES.

       ``(a) Appointment.--The Secretary of Defense shall appoint 
     a Director and a Deputy Director for each facility of the 
     Retirement Home.
       ``(b) Director.--The Director of a facility shall--
       ``(1) be a member of the Armed Forces serving on active 
     duty in a grade above lieutenant colonel or commander;
       ``(2) have appropriate leadership and management skills; 
     and
       ``(3) be required to pursue a course of study to receive 
     certification as a retirement facilities director by an 
     appropriate civilian certifying organization, if the Director 
     is not so certified at the time of appointment.
       ``(c) Duties of Director.--(1) The Director of a facility 
     shall be responsible for the day-to-day operation of the 
     facility, including the acceptance of applicants to be 
     residents of that facility.
       ``(2) The Director of a facility shall keep accurate and 
     complete records of the facility.
       ``(d) Deputy Director.--(1) The Deputy Director of a 
     facility shall--
       ``(A) be a civilian with experience as a continuing care 
     retirement community professional or a member of the Armed 
     Forces serving on active duty in a grade above major or 
     lieutenant commander; and
       ``(B) have appropriate leadership and management skills.
       ``(2) The Deputy Director of a facility shall--
       ``(A) be appointed without regard to the provisions of 
     title 5, United States Code, governing appointments in the 
     competitive service; and
       ``(B) serve at the pleasure of the Secretary of Defense, 
     without regard to the provisions of title 5, United States 
     Code.
       ``(e) Duties of Deputy Director.--The Deputy Director of a 
     facility shall, under the authority, direction, and control 
     of the Director of the facility, perform such duties as the 
     Director may assign.
       ``(f) Staff.--(1) The Director of a facility may, subject 
     to the approval of the Chief Operating Officer, appoint and 
     prescribe the pay of such principal staff as the Director 
     considers appropriate to assist the Director in operating the 
     facility.
       ``(2) The principal staff of a facility shall include 
     persons with experience and expertise in the operation and 
     management of retirement homes and in the provision of long-
     term medical care for older persons.
       ``(3) The Director of a facility may exercise the authority 
     under paragraph (1) without regard to the provisions of title 
     5, United States Code, governing appointments in the 
     competitive service, classification, and pay, except that the 
     limitations in section 5373 of such title (relating to pay 
     set by administrative action) shall apply to the rates of pay 
     prescribed under this paragraph.
       ``(g) Annual Evaluation of Directors.--(1) The Chief 
     Operating Officer shall evaluate the performance of each of 
     the Directors of the facilities of the Retirement Home each 
     year.
       ``(2) The Chief Operating Officer shall submit to the 
     Secretary of Defense any recommendations regarding a Director 
     that the Chief Operating Officer determines appropriate 
     taking into consideration the annual evaluation.''.

     SEC. 1048. DISPOSITION OF EFFECTS OF DECEASED PERSONS AND 
                   UNCLAIMED PROPERTY.

       (a) Legal Representation for Retirement Home.--Subsection 
     (b)(2)(A) of section 1520 (24 U.S.C. 420) is amended by 
     inserting ``who is a full-time officer or employee of the 
     United States or a member of the Armed Forces on active 
     duty'' after ``may designate an attorney''.
       (b) Correction of Reference.--Subsection (b)(1)(B) of such 
     section is amended by inserting ``Armed Forces'' before 
     ``Retirement Home Trust Fund''.

     SEC. 1049. TRANSITIONAL PROVISIONS.

       Part B is amended by striking sections 1531, 1532, and 1533 
     and inserting the following:

     ``SEC. 1531. TEMPORARY CONTINUATION OF ARMED FORCES 
                   RETIREMENT HOME BOARD.

       ``Until the Secretary of Defense appoints the first Chief 
     Operating Officer after the enactment of the National Defense 
     Authorization Act for Fiscal Year 2002, the Armed Forces 
     Retirement Home Board, as constituted on the day before the 
     date of the enactment of that Act, shall continue to serve 
     and shall perform the duties of the Chief Operating Officer.

     ``SEC. 1532. TEMPORARY CONTINUATION OF DIRECTOR OF THE ARMED 
                   FORCES RETIREMENT HOME--WASHINGTON.

       ``The person serving as the Director of the Armed Forces 
     Retirement Home--Washington on the day before the enactment 
     of the National Defense Authorization Act for Fiscal Year 
     2002 may continue to serve as the Director of that facility 
     until April 2, 2002.

     ``SEC. 1533. TEMPORARY CONTINUATION OF INCUMBENT DEPUTY 
                   DIRECTORS.

       ``A person serving as the Deputy Director of a facility of 
     the Retirement Home on the day before the enactment of the 
     National Defense Authorization Act for Fiscal Year 2002 may 
     continue to serve, at the pleasure of the Secretary of 
     Defense, as the Deputy Director until the date on which a 
     Deputy Director is appointed for that facility under section 
     1517, except that the service in that position may not 
     continue under this section after December 31, 2004.''.

     SEC. 1050. CONFORMING AND CLERICAL AMENDMENTS AND REPEALS OF 
                   OBSOLETE PROVISIONS.

       (a) Conforming Amendments.--(1) Section 1513(b) (24 U.S.C. 
     413(b)), relating to services provided to residents of the 
     Armed Forces Retirement Home, is amended by striking 
     ``maintained as a separate establishment'' in the second 
     sentence.
       (2) The heading for section 1519 (24 U.S.C. 419) is amended 
     to read as follows:

     ``SEC. 1519. ARMED FORCES RETIREMENT HOME TRUST FUND.''.

       (3) Section 1520 (24 U.S.C. 420), relating to disposition 
     of effects of deceased persons and unclaimed property, is 
     amended--
       (A) in subsection (a), by striking ``each facility that is 
     maintained as a separate establishment'' and inserting ``a 
     facility'';
       (B) in subsection (b)(2)(A), by striking ``maintained as a 
     separate establishment''; and
       (C) in subsection (e), by striking ``Directors'' and 
     inserting ``Director of the facility''.
       (4)(A) Section 1523 (24 U.S.C. 423), relating to 
     preservation of historic buildings and grounds at the Armed 
     Forces Retirement Home--Washington, is amended by striking 
     ``United States Soldiers' and Airmen's Home'' each place it 
     appears and inserting ``Armed Forces Retirement Home--
     Washington''.
       (B) The heading for such section is amended to read as 
     follows:

[[Page 20090]]



     ``SEC. 1523. PRESERVATION OF HISTORIC BUILDINGS AND GROUNDS 
                   AT THE ARMED FORCES RETIREMENT HOME--
                   WASHINGTON.''.

       (5) Section 1524 (24 U.S.C. 424), relating to conditional 
     supervisory control of the Retirement Home Board, is 
     repealed.
       (b) Repeal of Obsolete Provisions.--The following 
     provisions are repealed:
       (1) Section 1512(f) (24 U.S.C. 412(f)), relating to the 
     applicability of certain eligibility requirements.
       (2) Section 1519(d) (24 U.S.C. 419(d)), relating to 
     transitional accounts in the Armed Forces Retirement Home 
     Trust Fund.
       (3) Part C, relating to effective date and authorization of 
     appropriations.
       (c) Addition of Table of Contents.--Title XV of the 
     National Defense Authorization Act for Fiscal Year 1991 
     (Public Law 101-510; 104 Stat. 1722) is amended by inserting 
     after the heading for such title the following:

``Sec. 1501. Short title.
``Sec. 1502. Definitions.

        ``Part A--Establishment and Operation of Retirement Home

``Sec. 1511. Establishment of the Armed Forces Retirement Home.
``Sec. 1512. Residents of Retirement Home.
``Sec. 1513. Services provided residents.
``Sec. 1514. Fees paid by residents.
``Sec. 1515. Chief Operating Officer.
``Sec. 1516. Local Boards of Trustees.
``Sec. 1517. Directors, Deputy Directors, and staff of facilities.
``Sec. 1518. Inspection of Retirement Home.
``Sec. 1519. Armed Forces Retirement Home Trust Fund.
``Sec. 1520. Disposition of effects of deceased persons; unclaimed 
              property.
``Sec. 1521. Payment of residents for services.
``Sec. 1522. Authority to accept certain uncompensated services.
``Sec. 1523. Preservation of historic buildings and grounds at the 
              Armed Forces Retirement Home--Washington.

                   ``Part B--Transitional Provisions

``Sec. 1531. Temporary Continuation of Armed Forces Retirement Home 
              Board.
``Sec. 1532. Temporary Continuation of Director of the Armed Forces 
              Retirement Home--Washington.
``Sec. 1533. Temporary Continuation of Incumbent Deputy Directors.''.

     SEC. 1051. AMENDMENTS OF OTHER LAWS.

       (a) Employee Performance Appraisals.--Section 4301(2) of 
     title 5, United States Code, is amended--
       (1) by striking ``or'' at the end of subparagraph (G);
       (2) by striking ``and'' at the end of subparagraph (H) and 
     inserting ``or''; and
       (3) by inserting at the end the following new subparagraph:
       ``(I) the Chief Operating Officer and the Deputy Directors 
     of the Armed Forces Retirement Home; and''.
       (b) Exclusion of Certain Officers From Certain Limitations 
     Applicable to General and Flag Officers on Active Duty.--(1) 
     Section 525 of title 10, United States Code, is amended by 
     adding at the end the following new subsection:
       ``(e) An officer while serving as a Director of the Armed 
     Forces Retirement Home, if serving in the grade of major 
     general or rear admiral, is in addition to the number that 
     would otherwise be permitted for that officer's armed force 
     for that grade under subsection (a).''.
       (2)(A) Section 526 of such title is amended by adding at 
     the end the following new subsection:
       ``(e) Exclusion of Directors of Armed Forces Retirement 
     Home.--The limitations of this section do not apply to a 
     general or flag officer while the officer is assigned as the 
     Director of a facility of the Armed Forces Retirement 
     Home.''.
       (B) Subsection (d) of such section is amended by inserting 
     ``Reserve Component'' after ``Exclusion of Certain''.
       (3) Section 688(e)(2) of such title is amended by adding at 
     the end the following new subparagraph:
       ``(D) A general officer or flag officer assigned as the 
     Director of a facility of the Armed Forces Retirement Home 
     for the period of active duty to which ordered.''.
       (4) Section 690 of title 10, United States Code, is 
     amended--
       (A) in subsection (a)--
       (i) by striking the second sentence and inserting the 
     following: ``The following officers are not counted for the 
     purposes of this subsection:''; and
       (ii) by adding at the end the following:
       ``(1) A retired officer ordered to active duty for a period 
     of 60 days or less.
       ``(2) A general or flag officer who is assigned as the 
     Director of a facility of the Armed Forces Retirement Home 
     for the period of active duty to which ordered.''; and
       (B) in subsection (b), by adding at the end of paragraph 
     (2) the following new subparagraph:
       ``(E) A general officer or flag officer assigned as the 
     Director of a facility of the Armed Forces Retirement Home 
     for the period of active duty to which ordered.''.

                       Subtitle E--Other Matters

     SEC. 1061. REQUIREMENT TO CONDUCT CERTAIN PREVIOUSLY 
                   AUTHORIZED EDUCATIONAL PROGRAMS FOR CHILDREN 
                   AND YOUTH.

       (a) National Guard Challenge Program.--Section 509(a) of 
     title 32, United States Code, is amended by striking ``The 
     Secretary of Defense may'' and inserting ``The Secretary of 
     Defense shall''.
       (b) STARBASE Program.--Section 2193b(a) of title 10, United 
     States Code, is amended by striking ``The Secretary of 
     Defense may'' and inserting ``The Secretary of Defense 
     shall''.

     SEC. 1062. AUTHORITY TO ENSURE DEMILITARIZATION OF 
                   SIGNIFICANT MILITARY EQUIPMENT FORMERLY OWNED 
                   BY THE DEPARTMENT OF DEFENSE.

       (a) Prohibition.--It is unlawful for any person to possess 
     significant military equipment formerly owned by the 
     Department of Defense unless--
       (1) the military equipment has been demilitarized in 
     accordance with standards prescribed by the Secretary of 
     Defense;
       (2) the person is in possession of the military equipment 
     for the purpose of demilitarizing the equipment pursuant to a 
     Federal Government contract; or
       (3) the person is specifically authorized by law or 
     regulation to possess the military equipment.
       (b) Referral to Attorney General.--The Secretary of Defense 
     shall notify the Attorney General of any potential violation 
     of subsection (a) of which the Secretary becomes aware.
       (c) Authority To Require Demilitarization.--(1) The 
     Attorney General may require any person who, in violation of 
     subsection (a), is in possession of significant military 
     equipment formerly owned by the Department of Defense--
       (A) to demilitarize the equipment;
       (B) to have the equipment demilitarized by a third party; 
     or
       (C) to return the equipment to the Federal Government for 
     demilitarization.
       (2) When the demilitarization of significant military 
     equipment is carried out pursuant to subparagraph (A) or (B) 
     of paragraph (1), an officer or employee of the United States 
     designated by the Attorney General shall have the right to 
     confirm, by inspection or other means authorized by the 
     Attorney General, that the equipment has been demilitarized.
       (3) If significant military equipment is not demilitarized 
     or returned to the Federal Government for demilitarization as 
     required under paragraph (1) within a reasonable period after 
     the Attorney General notifies the person in possession of the 
     equipment of the requirement to do so, the Attorney General 
     may request that a court of the United States issue a warrant 
     authorizing the seizure of the military equipment in the same 
     manner as is provided for a search warrant. If the court 
     determines that there is probable cause to believe that the 
     person is in possession of significant military equipment in 
     violation of subsection (a), the court shall issue a warrant 
     authorizing the seizure of such equipment.
       (d) Demilitarization of Equipment.--(1) The Attorney 
     General shall transfer any military equipment returned to the 
     Federal Government or seized pursuant to subsection (c) to 
     the Department of Defense for demilitarization.
       (2) If the person in possession of significant military 
     equipment obtained the equipment in accordance with any other 
     provision of law, the Secretary of Defense shall bear all 
     costs of transportation and demilitarization of the equipment 
     and shall either--
       (A) return the equipment to the person upon completion of 
     the demilitarization; or
       (B) reimburse the person for the cost incurred by that 
     person to acquire the equipment if the Secretary determines 
     that the cost to demilitarize and return the property to the 
     person would be prohibitive.
       (e) Establishment of Demilitarization Standards.--(1) The 
     Secretary of Defense shall prescribe regulations regarding 
     the demilitarization of military equipment.
       (2) The regulations shall be designed to ensure that--
       (A) the equipment, after demilitarization, does not 
     constitute a significant risk to public safety and does not 
     have--
       (i) a significant capability for use as a weapon; or
       (ii) a uniquely military capability; and
       (B) any person from whom private property is taken for 
     public use under this section receives just compensation for 
     the taking of the property.
       (3) The regulations shall, at a minimum, define--
       (A) the classes of significant military equipment requiring 
     demilitarization before disposal; and
       (B) what constitutes demilitarization for each class of 
     significant military equipment.
       (f) Definition of Significant Military Equipment.--In this 
     section, the term ``significant military equipment'' means 
     equipment that has a capability described in clause (i) or 
     (ii) of subsection (e)(2) and--
       (1) is a defense article listed on the United States 
     Munitions List maintained under section 38 of the Arms Export 
     Control Act (22 U.S.C. 2778) that is designated on that list 
     as significant military equipment; or
       (2) is designated by the Secretary of Defense under the 
     regulations prescribed under

[[Page 20091]]

     subsection (e) as being equipment that it is necessary in the 
     interest of public safety to demilitarize before disposal by 
     the United States.

     SEC. 1063. CONVEYANCES OF EQUIPMENT AND RELATED MATERIALS 
                   LOANED TO STATE AND LOCAL GOVERNMENTS AS 
                   ASSISTANCE FOR EMERGENCY RESPONSE TO A USE OR 
                   THREATENED USE OF A WEAPON OF MASS DESTRUCTION.

       Section 1412(e) of the Defense Against Weapons of Mass 
     Destruction Act of 1996 (title XIV of Public Law 104-201; 110 
     Stat. 2718; 50 U.S.C. 2312(e)) is amended by adding at the 
     end the following new paragraph:
       ``(5) A conveyance of ownership of United States property 
     to a State or local government, without cost and without 
     regard to subsection (f) and title II of the Federal Property 
     and Administrative Services Act of 1949 (or any other 
     provision of law relating to the disposal of property of the 
     United States), if the property is equipment, or equipment 
     and related materials, that is in the possession of the State 
     or local government on the date of the enactment of the 
     National Defense Authorization Act for Fiscal Year 2002 
     pursuant to a loan of the property as assistance under this 
     section.''.

     SEC. 1064. AUTHORITY TO PAY GRATUITY TO MEMBERS OF THE ARMED 
                   FORCES AND CIVILIAN EMPLOYEES OF THE UNITED 
                   STATES FOR SLAVE LABOR PERFORMED FOR JAPAN 
                   DURING WORLD WAR II.

       (a) Payment of Gratuity Authorized.--The Secretary of 
     Veterans Affairs may pay a gratuity to a covered veteran or 
     civilian internee, or to the surviving spouse of a covered 
     veteran or civilian internee, in the amount of $20,000.


       (b) Covered Veteran or Civilian Internee Defined.--In this 
     section, the term ``covered veteran or civilian internee'' 
     means any individual who--
       (1) was a member of the Armed Forces, a civilian employee 
     of the United States, or an employee of a contractor of the 
     United States during World War II;
       (2) served in or with United States combat forces during 
     World War II;
       (3) was captured and held as a prisoner of war or prisoner 
     by Japan in the course of such service; and
       (4) was required by the Imperial Government of Japan, or 
     one or more Japanese corporations, to perform slave labor 
     during World War II.
       (c) Relationship to Other Payments.--Any amount paid a 
     person under this section for activity described in 
     subsection (b) is in addition to any other amount paid such 
     person for such activity under any other provision of law.

     SEC. 1065. RETENTION OF TRAVEL PROMOTIONAL ITEMS.

       (a) In General.--To the extent provided in subsection (b), 
     a Federal employee, member of the foreign service, member of 
     a uniformed service, any family member or dependent of such 
     an employee or member, or other individual traveling at 
     Government expense who receives a promotional item (including 
     frequent flyer miles, upgrades, or access to carrier clubs or 
     facilities) as a result of using travel or transportation 
     services procured by the United States or accepted under 
     section 1353 of title 31, United States Code, may retain the 
     promotional item for personal use if the promotional item is 
     obtained under the same terms as those offered to the general 
     public and at no additional cost to the Government.
       (b) Applicability to Executive Branch Only.--Subsection 
     (a)--
       (1) applies only to travel that is at the expense of the 
     executive branch; and
       (2) does not apply to travel by any officer, employee, or 
     other official of the Government outside the executive 
     branch.
       (c) Conforming Amendment.--Section 6008 of the Federal 
     Acquisition Streamlining Act of 1994 (Public Law 103-355; 5 
     U.S.C. 5702 note) is amended by adding at the end the 
     following new subsection:
       ``(d) Inapplicability to Executive Branch.--The guidelines 
     issued under subsection (a) and the requirement under 
     subsection (b) shall not apply to any agency of the executive 
     branch or to any Federal employee or other personnel in the 
     executive branch.''.
       (d) Applicability.--This section shall apply with respect 
     to promotional items received before, on, or after the date 
     of enactment of this Act.

     SEC. 1066. RADIATION EXPOSURE COMPENSATION ACT MANDATORY 
                   APPROPRIATIONS.

       Section 3(e) of the Radiation Exposure Compensation Act (42 
     U.S.C. 2210 note) is amended to read as follows:
       ``(e) Appropriation.--
       ``(1) In general.--Subject to the limits in paragraph (2), 
     there are appropriated, out of any money in the Treasury not 
     otherwise appropriated, for the fiscal year 2002, and each 
     fiscal year thereafter through 2011, such sums as may be 
     necessary to the Fund for the purpose of making payments to 
     eligible beneficiaries under this Act.
       ``(2) Limitation.--Amounts appropriated pursuant to 
     paragraph (1) may not exceed--
       ``(A) in fiscal year 2002, $172,000,000;
       ``(B) in fiscal year 2003, $143,000,000;
       ``(C) in fiscal year 2004, $107,000,000;
       ``(D) in fiscal year 2005, $65,000,000;
       ``(E) in fiscal year 2006, $47,000,000;
       ``(F) in fiscal year 2007, $29,000,000;
       ``(G) in fiscal year 2008, $29,000,000;
       ``(H) in fiscal year 2009, $23,000,000;
       ``(I) in fiscal year 2010, $23,000,000; and
       ``(J) in fiscal year 2011, $17,000,000.''.

     SEC. 1067. LEASING OF NAVY SHIPS FOR UNIVERSITY NATIONAL 
                   OCEANOGRAPHIC LABORATORY SYSTEM.

       Subsection (g) of section 2667 of title 10, United States 
     Code (section 1061, National Defense Authorization Act, 1998, 
     P.L. 105-85) is amended by adding a new paragraph at the end 
     as follows:
       ``(3) The requirements of paragraph (1) shall not apply to 
     renewals or extensions of a lease with a selected institution 
     for operation of a ship within the University National 
     Oceanographic Laboratory System, if--
       ``(A) use of the ship is restricted to federally supported 
     research programs and non- Federal uses under specific 
     conditions with approval by the Secretary of the Navy;
       ``(B) because of the anticipated value to the Navy of the 
     oceanographic research and training that will result from the 
     ship's operation, no monetary lease payments are required 
     from the lessee under the initial lease or under any renewals 
     or extensions; and
       ``(C) the lessee is required to maintain the ship in a good 
     state of repair readiness, and efficient operating 
     conditions, conform to all applicable regulatory 
     requirements, and assume full responsibility for the safety 
     of the ship, its crew, and scientific personnel aboard.''.

     SEC. 1068. SMALL BUSINESS PROCUREMENT COMPETITION.

       (a) Definition of Covered Contracts.--Section 15(e)(4) of 
     the Small Business Act (15 U.S.C. 644(e)(4)) is amended--
       (1) by inserting after ``bundled contract'' the following: 
     ``, the aggregate dollar value of which is anticipated to be 
     less than $5,000,000, or any contract, whether or not the 
     contract is a bundled contract, the aggregate dollar value of 
     which is anticipated to be $5,000,000 or more'';
       (2) by striking ``In the'' and inserting the following:
       ``(A) In general.--In the''; and
       (3) by adding at the end the following:
       ``(B) Contracting goals.--
       ``(i) In general.--A contract award under this paragraph to 
     a team that is comprised entirely of small business concerns 
     shall be counted toward the small business contracting goals 
     of the contracting agency, as required by this Act.
       ``(ii) Preponderance test.--The ownership of the small 
     business that conducts the preponderance of the work in a 
     contract awarded to a team described in clause (i) shall 
     determine the category or type of award for purposes of 
     meeting the contracting goals of the contracting agency.''.
       (b) Proportionate Work Requirements for Bundled 
     Contracts.--
       (1) Section 8.--Section 8(a)(14)(A) of the Small Business 
     Act (15 U.S.C. 637(a)(14)(A)) is amended--
       (A) in clause (i), by striking ``and'' at the end;
       (B) in clause (ii), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(iii) notwithstanding clauses (i) and (ii), in the case 
     of a bundled contract--
       ``(I) the concern will perform work for at least 33 percent 
     of the aggregate dollar value of the anticipated award;
       ``(II) no other concern will perform a greater proportion 
     of the work on that contract; and
       ``(III) no other concern that is not a small business 
     concern will perform work on the contract.''.
       (2) Qualified hubzone small business concerns.--Section 
     3(p)(5)(A)(i)(III) of the Small Business Act (15 U.S.C. 
     632(p)(5)(A)(i)(III)) is amended--
       (A) in item (bb), by striking ``and'' at the end;
       (B) by redesignating item (cc) as item (dd); and
       (C) by inserting after item (bb) the following:
       ``(cc) notwithstanding items (aa) and (bb), in the case of 
     a bundled contract, the concern will perform work for at 
     least 33 percent of the aggregate dollar value of the 
     anticipated award, no other concern will perform a greater 
     proportion of the work on that contract, and no other concern 
     that is not a small business concern will perform work on the 
     contract; and''.
       (3) Section 15.--Section 15(o)(1) of the Small Business Act 
     (15 U.S.C. 644(o)(1)) is amended--
       (A) in subparagraph (A), by striking ``and'' at the end;
       (B) in subparagraph (B), by striking the period at the end 
     and inserting ``; and''; and
       (C) by adding at the end the following:
       ``(C) notwithstanding subparagraphs (A) and (B), in the 
     case of a bundled contract--
       ``(i) the concern will perform work for at least 33 percent 
     of the aggregate dollar value of the anticipated award;
       ``(ii) no other concern will perform a greater proportion 
     of the work on that contract; and
       ``(iii) no other concern that is not a small business 
     concern will perform work on the contract.''.

[[Page 20092]]

       (c) Small Business Procurement Competition Pilot Program.--
       (1) Definitions.--In this subsection--
       (A) the term ``Administrator'' means the Administrator of 
     the Small Business Administration;
       (B) the term ``Federal agency'' has the same meaning as in 
     section 3 of the Small Business Act (15 U.S.C. 632);
       (C) the term ``Program'' means the Small Business 
     Procurement Competition Program established under paragraph 
     (2);
       (D) the term ``small business concern'' has the same 
     meaning as in section 3 of the Small Business Act (15 U.S.C. 
     632); and
       (E) the term ``small business-only joint ventures'' means a 
     team described in section 15(e)(4) of the Small Business Act 
     (15 U.S.C. 644(e)(4)) comprised of only small business 
     concerns.
       (2) Establishment of program.--The Administrator shall 
     establish in the Small Business Administration a pilot 
     program to be known as the ``Small Business Procurement 
     Competition Program''.
       (3) Purposes of program.--The purposes of the Program are--
       (A) to encourage small business-only joint ventures to 
     compete for contract awards to fulfill the procurement needs 
     of Federal agencies;
       (B) to facilitate the formation of joint ventures for 
     procurement purposes among small business concerns;
       (C) to engage in outreach to small business-only joint 
     ventures for Federal agency procurement purposes; and
       (D) to engage in outreach to the Director of the Office of 
     Small and Disadvantaged Business Utilization and the 
     procurement officer within each Federal agency.
       (4) Outreach.--Under the Program, the Administrator shall 
     establish procedures to conduct outreach to small business 
     concerns interested in forming small business-only joint 
     ventures for the purpose of fulfilling procurement needs of 
     Federal agencies, subject to the rules of the Administrator, 
     in consultation with the heads of those Federal agencies.
       (5) Regulatory authority.--The Administrator shall 
     promulgate such regulations as may be necessary to carry out 
     this subsection.
       (6) Small business administration database.--The 
     Administrator shall establish and maintain a permanent 
     database that identifies small business concerns interested 
     in forming small business-only joint ventures, and shall make 
     the database available to each Federal agency and to small 
     business concerns in electronic form to facilitate the 
     formation of small business-only joint ventures.
       (7) Termination of program.--The Program (other than the 
     database established under paragraph (6)) shall terminate 3 
     years after the date of enactment of this Act.
       (8) Report to congress.--Not later than 60 days before the 
     date of termination of the Program, the Administrator shall 
     submit a report to Congress on the results of the Program, 
     together with any recommendations for improvements to the 
     Program and its potential for use Governmentwide.
       (9) Relationship to other laws.--Nothing in this subsection 
     waives or modifies the applicability of any other provision 
     of law to procurements of any Federal agency in which small 
     business-only joint ventures may participate under the 
     Program.

     SEC. 1069. CHEMICAL AND BIOLOGICAL PROTECTIVE EQUIPMENT FOR 
                   MILITARY AND CIVILIAN PERSONNEL OF THE 
                   DEPARTMENT OF DEFENSE.

       (a) Report Required.--(1) Not later than 120 days after the 
     date of the enactment of this Act, the Secretary of Defense 
     shall submit to Congress a report on the requirements of the 
     Department of Defense, including the reserve components, for 
     chemical and biological protective equipment.
       (2) The report shall set forth the following:
       (A) A description of any current shortfalls in requirements 
     for chemical and biological protective equipment, whether for 
     individuals or units, for military personnel.
       (B) A plan for providing appropriate chemical and 
     biological protective equipment for all military personnel 
     and for all civilian personnel of the Department of Defense.
       (C) An assessment of the costs associated with carrying out 
     the plan under subparagraph (B).
       (b) Sense of Congress.--It is the sense of Congress that 
     the Secretary of Defense should consider utilizing funds 
     available to the Secretary for chemical and biological 
     defense programs, including funds available for such program 
     under this Act and funds available for such programs under 
     the 2001 Emergency Supplemental Appropriations Act for 
     Recovery from and Response to Terrorist Attacks on the United 
     States, to provide an appropriate level of protection from 
     chemical and biological attack, including protective 
     equipment, for all military personnel and for all civilian 
     personnel of the Department of Defense who are not currently 
     protected from chemical or biological attack.

     SEC. 1070. AUTHORIZATION OF THE SALE OF GOODS AND SERVICES BY 
                   THE NAVAL MAGAZINE, INDIAN ISLAND.

       The Secretary of the Navy may sell to a person outside the 
     Department of Defense articles and services provided by the 
     Naval Magazine, Indian Island facility that are not available 
     from any United States commercial source: Provided, That a 
     sale pursuant to this section shall conform to the 
     requirements of section 2563 (c) and (d) of title 10, United 
     States Code: Provided further, That the proceeds from the 
     sales of articles and services under this section shall be 
     credited to operation and maintenance funds of the Navy, that 
     are current when the proceeds are received.

     SEC. 1071. ASSISTANCE FOR FIREFIGHTERS.

       Section 33(e) of the Federal Fire Prevention and Control 
     Act of 1974 (15 U.S.C. 2229(e)) is amended by striking 
     paragraph (2) and inserting the following new paragraphs:
       ``(2) $600,000,000 for fiscal year 2002.
       ``(3) $800,000,000 for fiscal year 2003.
       ``(4) $1,000,000,000 for fiscal year 2004.''.

     SEC. 1072. PLAN TO ENSURE EMBARKATION OF CIVILIAN GUESTS DOES 
                   NOT INTERFERE WITH OPERATIONAL READINESS AND 
                   SAFE OPERATION OF NAVY VESSELS.

       (a) Plan.--The Secretary of the Navy shall, not later than 
     February 1, 2002, submit to Congress a plan to ensure that 
     the embarkation of selected civilian guests does not 
     interfere with the operational readiness and safe operation 
     of Navy vessels. The plan shall include, at a minimum--
       (1) procedures to ensure that guest embarkations are 
     conducted only within the framework of regularly scheduled 
     operations and that underway operations are not conducted 
     solely to accommodate nonofficial civilian guests,
       (2) guidelines for the maximum number of guests that can be 
     embarked on the various classes of Navy vessels,
       (3) guidelines and procedures for supervising civilians 
     operating or controlling any equipment on Navy vessels,
       (4) guidelines to ensure that proper standard operating 
     procedures are not hindered by activities related to hosting 
     civilians,
       (5) any other guidelines or procedures the Secretary shall 
     consider necessary or appropriate.
       (b) Definition.--For the purposes of this section, civilian 
     guests are defined as civilians invited to embark on Navy 
     ships solely for the purpose of furthering public awareness 
     of the Navy and its mission. It does not include civilians 
     conducting official business.

     SEC. 1073. MODERNIZING AND ENHANCING MISSILE WING HELICOPTER 
                   SUPPORT--STUDY AND PLAN.

       (a) Report and Recommendations.--With the submission of the 
     fiscal year 2003 budget request, the Secretary of Defense 
     shall provide to the congressional defense committees a 
     report and the Secretary's recommendations on options for 
     providing the helicopter support missions for the ICBM wings 
     at Minot AFB, North Dakota; Malmstrom AFB, Montana; and F.E. 
     Warren AFB, Wyoming, for as long as these missions are 
     required.
       (b) Options.--Options to be reviewed include--
       (1) the Air Force's current plan for replacement or 
     modernization of UH-1N helicopters currently flown by the Air 
     Force at the missile wings;
       (2) replacement of the UH-1N helicopters currently flown by 
     the Air Force with UH-60 Black Hawk helicopters, the UH-1Y, 
     or another platform;
       (3) replacement of UH-1N helicopters with UH-60 helicopters 
     and transition of the mission to the Army National Guard, as 
     detailed in a November 2000 Air Force Space Command/Army 
     National Guard plan, ``ARNG Helicopter Support to Air Force 
     Space Command'';
       (4) replacement of UH-1N helicopters with UH-60 helicopters 
     or another platform, and establishment of composite units 
     combining active duty Air Force and Army National Guard 
     personnel; and
       (5) other options as the Secretary deems appropriate.
       (c) Factors.--Factors to be considered in this analysis 
     include--
       (1) any implications of transferring the helicopter support 
     missions on the command and control of and responsibility for 
     missile field force protection;
       (2) current and future operational requirements, and the 
     capabilities of the UH-1N, the UH-60 or other aircraft to 
     meet them;
       (3) cost, with particular attention to opportunities to 
     realize efficiencies over the long run;
       (4) implications for personnel training and retention; and
       (5) evaluation of the assumptions used in the plan 
     specified in subsection (b)(3).
       (d) Consideration.--The Secretary shall consider carefully 
     the views of the Secretary of the Army, Secretary of the Air 
     Force, Commander in Chief of the United States Strategic 
     Command, and the Chief of the National Guard Bureau.

     SEC. 1074. SENSE OF THE SENATE THAT THE SECRETARY OF THE 
                   TREASURY SHOULD IMMEDIATELY ISSUE SAVINGS 
                   BONDS, TO BE DESIGNATED AS ``UNITY BONDS'', IN 
                   RESPONSE TO THE TERRORIST ATTACKS AGAINST THE 
                   UNITED STATES ON SEPTEMBER 11, 2001.

       (a) Findings.--The Senate finds that--
       (1) a national tragedy occurred on September 11, 2001, 
     whereby enemies of freedom

[[Page 20093]]

     and democracy attacked the United States of America and 
     injured or killed thousands of innocent victims;
       (2) the perpetrators of these reprehensible attacks 
     destroyed brick and mortar buildings, but the American spirit 
     and the American people have become stronger as they have 
     united in defense of their country;
       (3) the American people have responded with incredible acts 
     of heroism, kindness, and generosity;
       (4) the outpouring of volunteers, blood donors, and 
     contributions of food and money demonstrates that America 
     will unite to provide relief to the victims of these cowardly 
     terrorist acts;
       (5) the American people stand together to resist all 
     attempts to steal their freedom; and
       (6) united, Americans will be victorious over their 
     enemies, whether known or unknown.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) the Secretary of the Treasury should--
       (A) immediately issue savings bonds, to be designated as 
     ``Unity Bonds''; and
       (B) report quarterly to Congress on the revenue raised from 
     the sale of Unity Bonds; and
       (2) the proceeds from the sale of Unity Bonds should be 
     directed to the purposes of rebuilding America and fighting 
     the war on terrorism.

     SEC. 1075. PERSONNEL PAY AND QUALIFICATIONS AUTHORITY FOR 
                   DEPARTMENT OF DEFENSE PENTAGON RESERVATION 
                   CIVILIAN LAW ENFORCEMENT AND SECURITY FORCE.

       Section 2674(b) of title 10, United States Code, is 
     amended--
       (1) by inserting ``(1)'' before the text in the first 
     paragraph of that subsection;
       (2) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively; and
       (3) by adding at the end the following new paragraph:
       ``(2) For positions whose permanent duty station is the 
     Pentagon Reservation, the Secretary, in his sole and 
     exclusive discretion, may without regard to the pay 
     provisions of title 5, fix the rates of basic pay for such 
     positions occupied by civilian law enforcement and security 
     personnel appointed under the authority of this section so as 
     to place such personnel on a comparable basis with other 
     similar Federal law enforcement and security organizations 
     within the vicinity of the Pentagon Reservation, not to 
     exceed basic pay for personnel performing similar duties in 
     the Uniformed Division of the Secret Service or the Park 
     Police.

     SEC. 1076. WAIVER OF VEHICLE WEIGHT LIMITS DURING PERIODS OF 
                   NATIONAL EMERGENCY.

       Section 127 of title 23, United States Code, is amended by 
     adding at the end the following:
       ``(h) Waiver for a Route in State of Maine During Periods 
     of National Emergency.--
       ``(1) In general.--Notwithstanding any other provision of 
     this section, the Secretary, in consultation with the 
     Secretary of Defense, may waive or limit the application of 
     any vehicle weight limit established under this section with 
     respect to the portion of Interstate Route 95 in the State of 
     Maine between Augusta and Bangor for the purpose of making 
     bulk shipments of jet fuel to the Air National Guard Base at 
     Bangor International Airport during a period of national 
     emergency in order to respond to the effects of the national 
     emergency.
       ``(2) Applicability.--Emergency limits established under 
     paragraph (1) shall preempt any inconsistent State vehicle 
     weight limits.''.

       TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL POLICY

                   Subtitle A--Intelligence Personnel

     SEC. 1101. AUTHORITY TO INCREASE MAXIMUM NUMBER OF POSITIONS 
                   IN THE DEFENSE INTELLIGENCE SENIOR EXECUTIVE 
                   SERVICE.

       Section 1606(a) of title 10, United States Code, is amended 
     by striking ``517.'' and inserting the following: ``517, 
     except that the Secretary may increase such maximum number by 
     one position for each Senior Intelligence Service position in 
     the Central Intelligence Agency that is permanently 
     eliminated by the Director of Central Intelligence after the 
     date of the enactment of the National Defense Authorization 
     Act for Fiscal Year 2002. In no event may the number of 
     positions in the Defense Intelligence Senior Executive 
     Service exceed 544.''.

     SEC. 1102. CONTINUED APPLICABILITY OF CERTAIN CIVIL SERVICE 
                   PROTECTIONS FOR EMPLOYEES INTEGRATED INTO THE 
                   NATIONAL IMAGERY AND MAPPING AGENCY FROM THE 
                   DEFENSE MAPPING AGENCY.

       Section 1612(b) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(4)(A) If not otherwise applicable to an employee 
     described in subparagraph (B), subchapters II and IV of 
     chapter 75 of title 5 shall continue to apply to the employee 
     for as long as the employee serves on and after October 1, 
     1996, without a break in service, as an employee of the 
     Department of Defense in any position, or successively in two 
     or more positions, in the National Imagery and Mapping 
     Agency.
       ``(B) This paragraph applies to a person who--
       ``(i) on September 30, 1996, was employed as an employee of 
     the Department of Defense in a position in the Defense 
     Mapping Agency to whom subchapters II and IV of title 5 
     applied; and
       ``(ii) on October 1, 1996, became an employee of the 
     National Imagery and Mapping Agency under paragraph 1601(a) 
     of this title.''.

               Subtitle B--Matters Relating to Retirement

     SEC. 1111. FEDERAL EMPLOYMENT RETIREMENT CREDIT FOR 
                   NONAPPROPRIATED FUND INSTRUMENTALITY SERVICE.

       (a) Civil Service Retirement System.--(1) Section 8332(b) 
     of title 5, United States Code, is amended--
       (A) by striking ``and'' at the end of paragraph (15);
       (B) by striking the period at the end of paragraph (16) and 
     inserting ``; and'';
       (C) by inserting after paragraph (16) the following new 
     paragraph:
       ``(17) service performed by any individual as an employee 
     of a nonappropriated fund instrumentality of the Department 
     of Defense or the Coast Guard described in section 2105(c) of 
     this title that is not covered by paragraph (16), if the 
     individual elects (in accordance with regulations prescribed 
     by the Office) at the time of separation from service to have 
     such service credited under this paragraph.'';
       (D) in the last sentence, by inserting ``or (17)'' after 
     ``service of the type described in paragraph (16)''; and
       (E) by inserting after the last sentence the following: 
     ``Service credited under paragraph (17) may not also be 
     credited under any other retirement system provided for 
     employees of a nonappropriated fund instrumentality.''.
       (2) Section 8334 of such title is amended by adding at the 
     end the following new subsection:
       ``(o) Notwithstanding subsection (c), no deposit may be 
     made with respect to service credited under section 
     8332(b)(17) of this title.''.
       (3) Section 8339 of such title is amended by adding at the 
     end the following new subsection:
       ``(u) The annuity of an employee retiring under this 
     subchapter with service credited under section 8332(b)(17) of 
     this title shall be reduced to the maximum amount necessary 
     to ensure that the present value of the annuity payable to 
     the employee is actuarially equivalent to the present value 
     of the annuity that would be payable to the employee under 
     this subchapter if it were computed on the basis of service 
     that does not include service credited under section 
     8332(b)(17) of this title. The amount of the reduction shall 
     be computed under regulations prescribed by the Office of 
     Personnel Management for the administration of this 
     subsection.''.
       (b) Federal Employees' Retirement System.--(1) Section 8411 
     of such title is amended--
       (A) in subsection (b)--
       (i) by striking ``and'' at the end of paragraph (4);
       (ii) by striking the period at the end of paragraph (5) and 
     inserting ``; and''; and
       (iii) by inserting after paragraph (5) the following new 
     paragraph:
       ``(6) service performed by any individual as an employee of 
     a nonappropriated fund instrumentality of the Department of 
     Defense or the Coast Guard described in section 2105(c) of 
     this title, if the individual elects (in accordance with 
     regulations prescribed by the Office) at the time of 
     separation from service to have such service credited under 
     this paragraph.''; and
       (B) by adding at the end the following new subsection:
       ``(k)(1) The Office of Personnel Management shall accept, 
     for the purposes if this chapter, the certification of the 
     head of a nonappropriated fund instrumentality of the United 
     States concerning service of the type described in subsection 
     (b)(6) that was performed for such nonappropriated fund 
     instrumentality.
       ``(2) Service credited under subsection (b)(6) may not also 
     be credited under any other retirement system provided for 
     employees of a nonappropriated fund instrumentality.''.
       (2)(A) Section 8422 of such title is amended by adding at 
     the end the following new subsection:
       ``(g) No deposit may be made with respect to service 
     credited under section 8411(b)(6) of this title.''.
       (B) The heading for such section is amended to read as 
     follows:

     ``Sec. 8422. Deductions from pay; contributions for other 
       service''.

       (C) The item relating to such section in the table of 
     contents at the beginning of chapter 84 of title 5, United 
     States Code, is amended to read as follows:

``8422. Deductions from pay; contributions for other service.''.
       (3) Section 8415 of such title is amended by adding at the 
     end the following new subsection:
       ``(j) The annuity of an employee retiring under this 
     chapter with service credited under section 8411(b)(6) of 
     this title shall be reduced to the maximum amount necessary 
     to ensure that the present value of the annuity payable to 
     the employee under this subchapter is actuarially equivalent 
     to the

[[Page 20094]]

     present value of the annuity that would be payable to the 
     employee under this subchapter if it were computed on the 
     basis of service that does not include service credited under 
     section 8411(b)(6) of this title. The amount of the reduction 
     shall be computed under regulations prescribed by the Office 
     of Personnel Management for the administration of this 
     subsection.''.
       (c) Applicability.--The amendments made by this section 
     shall apply only to separations from service as an employee 
     of the United States on or after the date of the enactment of 
     this Act.

     SEC. 1112. IMPROVED PORTABILITY OF RETIREMENT COVERAGE FOR 
                   EMPLOYEES MOVING BETWEEN CIVIL SERVICE 
                   EMPLOYMENT AND EMPLOYMENT BY NONAPPROPRIATED 
                   FUND INSTRUMENTALITIES.

       (a) Civil Service Retirement System.--Section 8347(q) of 
     title 5, United States Code, is amended--
       (1) in paragraph (1)--
       (A) by inserting ``and'' at the end of subparagraph (A);
       (B) by striking subparagraph (B); and
       (C) by redesignating subparagraph (C) as subparagraph (B); 
     and
       (2) in paragraph (2)(B)--
       (A) by striking ``vested''; and
       (B) by striking ``, as the term'' and all that follows 
     through ``such system''.
       (b) Federal Employees' Retirement System.--Section 8461(n) 
     of such title is amended--
       (1) in paragraph (1)--
       (A) by inserting ``and'' at the end of subparagraph (A);
       (B) by striking subparagraph (B); and
       (C) by redesignating subparagraph (C) as subparagraph (B); 
     and
       (2) in paragraph (2)(B)--
       (A) by striking ``vested''; and
       (B) by striking ``, as the term'' and all that follows 
     through ``such system''.

     SEC. 1113. REPEAL OF LIMITATIONS ON EXERCISE OF VOLUNTARY 
                   SEPARATION INCENTIVE PAY AUTHORITY AND 
                   VOLUNTARY EARLY RETIREMENT AUTHORITY.

       Section 1153(b) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-323) is amended--
       (1) in paragraph (1), by striking ``Subject to paragraph 
     (2), the'' and inserting ``The'';
       (2) by striking paragraph (2); and
       (3) by redesignating subparagraphs (A) and (B) as 
     paragraphs (1) and (2), respectively.

                       Subtitle C--Other Matters

     SEC. 1121. HOUSING ALLOWANCE FOR THE CHAPLAIN FOR THE CORPS 
                   OF CADETS AT THE UNITED STATES MILITARY 
                   ACADEMY.

       Section 4337 of title 10, United States Code, is amended by 
     striking the second sentence and inserting the following: 
     ``The chaplain is entitled to a housing allowance equal to 
     the basic allowance for housing that is applicable for an 
     officer in pay grade O-5 at the Academy under section 403 of 
     title 37, and to fuel and light for quarters in kind.''.

     SEC. 1122. STUDY OF ADEQUACY OF COMPENSATION PROVIDED FOR 
                   TEACHERS IN THE DEPARTMENT OF DEFENSE OVERSEAS 
                   DEPENDENTS' SCHOOLS.

       (a) Requirement for Study.--The Comptroller General shall 
     carry out a study of the adequacy of the pay and other 
     elements of the compensation provided for teachers in the 
     defense dependents' education system established under the 
     Defense Dependents' Education Act of 1978 (20 U.S.C. 921 et 
     seq.).
       (b) Specific Considerations.--In carrying out the study, 
     the Comptroller General shall consider the following issues:
       (1) Whether the compensation is adequate for recruiting and 
     retaining high quality teachers.
       (2) Whether any revision of the Defense Department Overseas 
     Teachers Pay and Personnel Practices Act (20 U.S.C. 901 et 
     seq) or the regulations under that Act is advisable to 
     address any problems identified with respect to the 
     recruitment and retention of high quality teachers or for 
     other purposes.
       (c) Report.--The Comptroller General shall submit a report 
     on the results of the study to Congress not later than March 
     1, 2002. The report shall include the following:
       (1) The Comptroller General's conclusions on the issues 
     considered.
       (2) Any recommendations for actions that the Comptroller 
     General considers appropriate.

     SEC. 1123. PILOT PROGRAM FOR PAYMENT OF RETRAINING EXPENSES 
                   INCURRED BY EMPLOYERS OF PERSONS INVOLUNTARILY 
                   SEPARATED FROM EMPLOYMENT BY THE DEPARTMENT OF 
                   DEFENSE.

       (a) Authority.--The Secretary of Defense may carry out a 
     pilot program in accordance with this section to facilitate 
     the reemployment of employees of the Department of Defense 
     who are being separated as described in subsection (b) by 
     providing employers outside the Federal Government with 
     retraining incentive payments to encourage those employers to 
     hire, train, and retain such employees.
       (b) Covered Employees.--A retraining incentive payment may 
     be made under subsection (c) with respect to a person who--
       (1) has been involuntarily separated from employment by the 
     United States due to--
       (A) a reduction in force (within the meaning of chapter 35 
     of title 5, United States Code); or
       (B) a relocation resulting from a transfer of function 
     (within the meaning of section 3503 of title 5, United States 
     Code), realignment, or change of duty station; and
       (2) when separated--
       (A) was employed without time limitation in a position in 
     the Department of Defense;
       (B) had been employed in such position or any combination 
     of positions in the Department of Defense for a continuous 
     period of at least one year;
       (C) was not a reemployed annuitant under subchapter III of 
     chapter 83 of title 5, United States Code, chapter 84 of such 
     title, or another retirement system for employees of the 
     Federal Government;
       (D) was not eligible for an immediate annuity under 
     subchapter III of chapter 83 of title 5, United States Code, 
     or subchapter II of chapter 84 of such title; and
       (E) was not eligible for disability retirement under any of 
     the retirement systems referred to in subparagraph (C).
       (c) Retraining Incentive.--(1) Under the pilot program, the 
     Secretary may pay a retraining incentive to any person 
     outside the Federal Government that, pursuant to an agreement 
     entered into under subsection (d), employs a former employee 
     of the United States referred to in subsection (b).
       (2) For employment of a former employee that is continuous 
     for one year, the amount of any retraining incentive paid to 
     the employer under paragraph (1) shall be the lesser of--
       (A) the amount equal to the total cost incurred by the 
     employer for any necessary training provided to the former 
     employee in connection with the employment by that employer, 
     as determined by the Secretary taking into consideration a 
     certification by the employer under subsection (d); or
       (B) $10,000.
       (3) For employment of a former employee that terminates 
     within one year after the employment begins, the amount of 
     any retraining incentive paid to the employer under paragraph 
     (1) shall be equal to the amount that bears the same ratio to 
     the amount computed under paragraph (2) as the period of 
     continuous employment of the employee by that employer bears 
     to one year.
       (4) The cost of the training of a former employee of the 
     United States for which a retraining incentive is paid to an 
     employer under this subsection may include any cost incurred 
     by the employer for training that commenced for the former 
     employee after the former employee, while still employed by 
     the Department of Defense, received a notice of the 
     separation from employment by the United States.
       (5) Not more than one retraining incentive may be paid with 
     respect to a former employee under this subsection.
       (d) Employer Agreement.--Under the pilot program, the 
     Secretary shall enter into an agreement with an employer 
     outside the Federal Government that provides for the 
     employer--
       (1) to employ a person described in subsection (b) for at 
     least one year for a salary or rate of pay that is mutually 
     agreeable to the employer and such person; and
       (2) to certify to the Secretary the cost incurred by the 
     employer for any necessary training provided to such person 
     in connection with the employment of the person by that 
     employer.
       (e) Necessary Training.--For the purposes of this section, 
     the necessity of training provided a former employee of the 
     Department of Defense shall be determined under regulations 
     prescribed by the Secretary of Defense for the administration 
     of this section.
       (f) Termination of Pilot Program.--No retraining incentive 
     may be paid under this section for training commenced after 
     September 30, 2005.

     SEC. 1124. PARTICIPATION OF PERSONNEL IN TECHNICAL STANDARDS 
                   DEVELOPMENT ACTIVITIES.

       Subsection (d) of section 12 of the National Technology 
     Transfer and Advancement Act of 1995 (109 Stat. 783; 15 
     U.S.C. 272 note) is amended--
       (1) by redesignating paragraph (4) as paragraph (5); and
       (2) by inserting after paragraph (3) the following new 
     paragraph (4):
       ``(4) Expenses of government personnel.--Section 5946 of 
     title 5, United States Code, shall not apply with respect to 
     any activity of an employee of a Federal agency or department 
     that is determined by the head of that agency or department 
     as being an activity undertaken in carrying out this 
     subsection.''.

     SEC. 1125. AUTHORITY TO EXEMPT CERTAIN HEALTH CARE 
                   PROFESSIONALS FROM EXAMINATION FOR APPOINTMENT 
                   IN THE COMPETITIVE CIVIL SERVICE.

       (a) Authority To Exempt.--Chapter 81 of title 10, United 
     States Code, is amended by adding at the end the following 
     new section:

     ``Sec. 1599d. Appointment in competitive civil service of 
       certain health care professionals: exemption from 
       examination

       ``(a) Authority To Exempt.--The Secretary of Defense may 
     appoint in the competitive civil service without regard to 
     the provisions of subchapter I of chapter 33 of title 5 
     (other than sections 3303, 3321, and 3328 of such title) an 
     individual who has a recognized degree or certificate from an 
     accredited institution in a covered health-care profession or 
     occupation.

[[Page 20095]]

       ``(b) Covered Health-Care Profession or Occupation.--For 
     purposes of subsection (a), a covered health-care profession 
     or occupation is any of the following:
       ``(1) Physician.
       ``(2) Dentist.
       ``(3) Podiatrist.
       ``(4) Optometrist.
       ``(5) Pharmacist.
       ``(6) Nurse.
       ``(7) Physician assistant.
       ``(8) Audiologist.
       ``(9) Expanded-function dental auxiliary.
       ``(10) Dental hygienist.
       ``(c) Preferences in Hiring.--In using the authority 
     provided by this section, the Secretary shall apply the 
     principles of preference for the hiring of veterans and other 
     persons established in subchapter I of chapter 33 of title 
     5.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1599d. Appointment in competitive civil service of certain health 
              care professionals: exemption from examination.''.

     SEC. 1126. PROFESSIONAL CREDENTIALS.

       (a) In General.--Chapter 57 of title 5, United States Code, 
     as amended by this Act, is amended by adding at the end the 
     following:

     ``Sec. 5758. Expenses for credentials

       ``(a) An agency may use appropriated or other available 
     funds to pay for--
       ``(1) employee credentials, including professional 
     accreditation, State-imposed and professional licenses, and 
     professional certifications; and
       ``(2) examinations to obtain such credentials.
       ``(b) No authority under subsection (a) may be exercised on 
     behalf of any employee occupying or seeking to qualify for 
     appointment to any position which is excepted from the 
     competitive service because of its confidential, policy-
     determining, policy-making, or policy-advocating 
     character.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 57 of title 5, United States Code, is 
     amended by adding at the end the following:

``5758. Expenses for credentials.''.

              TITLE XII--MATTERS RELATING TO OTHER NATIONS

  Subtitle A--Cooperative Threat Reduction With States of the Former 
                              Soviet Union

     SEC. 1201. SPECIFICATION OF COOPERATIVE THREAT REDUCTION 
                   PROGRAMS AND FUNDS.

       (a) Specification of CTR Programs.--For purposes of section 
     301 and other provisions of this Act, Cooperative Threat 
     Reduction programs are the programs specified in section 
     1501(b) of the National Defense Authorization Act for Fiscal 
     Year 1997 (Public Law 104-201; 110 Stat. 2731; 50 U.S.C. 2362 
     note).
       (b) Fiscal Year 2002 Cooperative Threat Reduction Funds 
     Defined.--As used in this title, the term ``fiscal year 2002 
     Cooperative Threat Reduction funds'' means the funds 
     appropriated pursuant to the authorization of appropriations 
     in section 301 for Cooperative Threat Reduction programs.
       (c) Availability of Funds.--Funds appropriated pursuant to 
     the authorization of appropriations in section 301 for 
     Cooperative Threat Reduction programs shall be available for 
     obligation for three fiscal years.

     SEC. 1202. FUNDING ALLOCATIONS.

       (a) Funding for Specific Purposes.--Of the $403,000,000 
     authorized to be appropriated to the Department of Defense 
     for fiscal year 2002 in section 301(23) for Cooperative 
     Threat Reduction programs, not more than the following 
     amounts may be obligated for the purposes specified:
       (1) For strategic offensive arms elimination in Russia, 
     $133,405,000.
       (2) For strategic nuclear arms elimination in Ukraine, 
     $51,500,000.
       (3) For weapons of mass destruction infrastructure 
     elimination in Ukraine, $6,024,000.
       (4) For weapons of mass destruction infrastructure 
     elimination in Kazakhstan, $6,000,000.
       (5) For weapons transportation security in Russia, 
     $9,500,000.
       (6) For weapons storage security in Russia, $56,000,000.
       (7) For implementation of a cooperative program with the 
     Government of Russia to eliminate the production of weapons 
     grade plutonium at Russian reactors, $41,700,000.
       (8) For biological weapons proliferation prevention 
     activities in the former Soviet Union, $17,000,000.
       (9) For chemical weapons destruction in Russia, 
     $50,000,000.
       (10) For activities designated as Other Assessments/ 
     Administrative Support, $13,221,000.
       (11) For defense and military contacts, $18,650,000.
       (b) Report on Obligation or Expenditure of Funds for Other 
     Purposes.--No fiscal year 2002 Cooperative Threat Reduction 
     funds may be obligated or expended for a purpose other than a 
     purpose listed in paragraphs (1) through (11) of subsection 
     (a) until 30 days after the date that the Secretary of 
     Defense submits to Congress a report on the purpose for which 
     the funds will be obligated or expended and the amount of 
     funds to be obligated or expended. Nothing in the preceding 
     sentence shall be construed as authorizing the obligation or 
     expenditure of fiscal year 2002 Cooperative Threat Reduction 
     funds for a purpose for which the obligation or expenditure 
     of such funds is specifically prohibited under this title or 
     any other provision of law.
       (c) Limited Authority To Vary Individual Amounts.--(1) 
     Subject to paragraph (2), in any case in which the Secretary 
     of Defense determines that it is necessary to do so in the 
     national interest, the Secretary may obligate amounts 
     appropriated for fiscal year 2002 for a purpose listed in any 
     of the paragraphs in subsection (a) in excess of the amount 
     specifically authorized for such purpose.
       (2) An obligation of funds for a purpose stated in any of 
     the paragraphs in subsection (a) in excess of the specific 
     amount authorized for such purpose may be made using the 
     authority provided in paragraph (1) only after--
       (A) the Secretary submits to Congress notification of the 
     intent to do so together with a complete discussion of the 
     justification for doing so; and
       (B) 15 days have elapsed following the date of the 
     notification.
       (3) The Secretary may not, under the authority provided in 
     paragraph (1), obligate amounts for the purposes stated in 
     paragraph (7), (10) or (11) of subsection (a) in excess of 
     115 percent of the amount specifically authorized for such 
     purposes.

     SEC. 1203. CHEMICAL WEAPONS DESTRUCTION.

       Section 1305 of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 113 Stat. 794; 22 U.S.C. 
     5952 note) is amended--
       (1) by inserting ``(a) Limitation.--'' before ``No fiscal 
     year'';
       (2) in subsection (a), as so designated, by inserting 
     before the period at the end the following: ``until the 
     Secretary of Defense submits to Congress a certification that 
     there has been--
       ``(1) full and accurate disclosure by Russia of the size of 
     its existing chemical weapons stockpile;
       ``(2) a demonstrated annual commitment by Russia to 
     allocate at least $25,000,000 to chemical weapons 
     elimination;
       ``(3) development by Russia of a practical plan for 
     destroying its stockpile of nerve agents;
       ``(4) enactment of a law by Russia that provides for the 
     elimination of all nerve agents at a single site;
       ``(5) an agreement by Russia to destroy or convert its 
     chemical weapons production facilities at Volgograd and 
     Novocheboksark; and
       ``(6) a demonstrated commitment from the international 
     community to fund and build infrastructure needed to support 
     and operate the facility.''; and
       (3) by adding at the end the following new subsection:
       ``(b) Omission of Certain Information.--The Secretary may 
     omit from the certification under subsection (a) the matter 
     specified in paragraph (1) of that subsection, and the 
     certification with the matter so omitted shall be effective 
     for purposes of that subsection, if the Secretary includes 
     with the certification notice to Congress of a determination 
     by the Secretary that it is not in the national security 
     interests of the United States for the matter specified in 
     that paragraph to be included in the certification, together 
     with a justification of the determination.''.

     SEC. 1204. MANAGEMENT OF COOPERATIVE THREAT REDUCTION 
                   PROGRAMS AND FUNDS.

       (a) Authority over Management.--The Secretary of Defense 
     shall have authority, direction, and control over the 
     management of Cooperative Threat Reduction programs and the 
     funds for such programs.
       (b) Implementing Agent.--The Defense Threat Reduction 
     Agency shall be the implementing agent of the Department of 
     Defense for the functions of the Department relating to 
     Cooperative Threat Reduction programs.
       (c) Specification of Funds in Department of Defense 
     Budget.--The budget justification materials submitted to 
     Congress in support of the budget of the Department of 
     Defense for each fiscal year (as submitted with the budget of 
     the President under section 1105(a) of title 31, United 
     States Code) shall include amounts, if any, requested for 
     such fiscal year for Cooperative Threat Reduction programs.

     SEC. 1205. ADDITIONAL MATTER IN ANNUAL REPORT ON ACTIVITIES 
                   AND ASSISTANCE UNDER COOPERATIVE THREAT 
                   REDUCTION PROGRAMS.

       Section 1308(c) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (at enacted by Public 
     Law 106-398; 114 Stat. 1654A-341) is amended by adding at the 
     end of the following new paragraph:
       ``(6) A description of the amount of the financial 
     commitment from the international community, and from Russia, 
     for the chemical weapons destruction facility located at 
     Shchuch'ye, Russia, for the fiscal year beginning in the year 
     in which the report is submitted.''.

[[Page 20096]]



                       Subtitle B--Other Matters

     SEC. 1211. SUPPORT OF UNITED NATIONS-SPONSORED EFFORTS TO 
                   INSPECT AND MONITOR IRAQI WEAPONS ACTIVITIES.

       (a) Limitation on Amount of Assistance in Fiscal Year 
     2002--The total amount of the assistance for fiscal year 2002 
     that is provided by the Secretary of Defense under section 
     1505 of the Weapons of Mass Destruction Control Act of 1992 
     (22 U.S.C. 5859a) as activities of the Department of Defense 
     in support of activities under that Act may not exceed 
     $15,000,000.
       (b) Extension of Authority To Provide Assistance.--
     Subsection (f) of section 1505 of the Weapons of Mass 
     Destruction Control Act of 1992 (22 U.S.C. 5859a) is amended 
     by striking ``2001'' and inserting ``2002''.

     SEC. 1212. COOPERATIVE RESEARCH AND DEVELOPMENT PROJECTS WITH 
                   NATO AND OTHER COUNTRIES.

       (a) Eligibility of Friendly Foreign Countries.--Section 
     2350a of title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) by inserting ``(1)'' after ``(a) Authority To Engage in 
     Cooperative R&D Pro-
     jects.--'';
       (B) by striking ``major allies of the United States or NATO 
     organizations'' and inserting ``countries or organizations 
     referred to in paragraph (2)''; and
       (C) by adding at the end the following new paragraph:
       ``(2) The countries and organizations with which the 
     Secretary may enter into a memorandum of agreement (or other 
     formal agreement) under paragraph (1) are as follows:
       ``(A) The North Atlantic Treaty Organization.
       ``(B) A NATO organization.
       ``(C) A member nation of the North Atlantic Treaty 
     Organization.
       ``(D) A major non-NATO ally.
       ``(E) Any other friendly foreign country.'';
       (2) in subsection (b), by striking ``its major non-NATO 
     allies'' and inserting ``a country or organization referred 
     to in subsection (a)(2)'';
       (3) in subsection (d)--
       (A) in paragraph (1), by striking ``the major allies of the 
     United States'' and inserting ``countries and organizations 
     referred to in subsection (a)(2)''; and
       (B) in paragraph (2)--
       (i) by striking ``major ally of the United States'' and 
     inserting ``country or organization referred to in subsection 
     (a)(2)''; and
       (ii) by striking ``ally's'' and inserting ``country's or 
     organization's'';
       (4) in subsection (e)(2)--
       (A) in subparagraph (A), by striking ``one or more of the 
     major allies of the United States'' and inserting ``any 
     country or organization referred to in subsection (a)(2)'';
       (B) in subparagraph (B), by striking ``major allies of the 
     United States or NATO organizations'' and inserting 
     ``countries and organizations referred to in subsection 
     (a)(2)'';
       (C) in subparagraph (C), by striking ``major allies of the 
     United States'' and inserting ``countries and organizations 
     referred to in subsection (a)(2)''; and
       (D) in subparagraph (D), by striking ``major allies of the 
     United States'' and inserting ``countries and organizations 
     referred to in subsection (a)(2)'';
       (5) paragraphs (1)(A) and (4)(A) of subsection (g), by 
     striking ``major allies of the United States and other 
     friendly foreign countries'' and inserting ``countries 
     referred to in subsection (a)(2)''; and
       (6) in subsection (i)--
       (A) in paragraph (1), by striking ``major allies of the 
     United States or NATO organizations'' and inserting 
     ``countries and organizations referred to in subsection 
     (a)(2)'';
       (B) by striking paragraph (2); and
       (C) by redesignating paragraph (4) as paragraph (2), and by 
     transferring that paragraph, as so redesignated, within that 
     subsection and inserting the paragraph after paragraph (1).
       (b) Delegation of Authority To Determine Eligibility of 
     Projects.--Subsection (b)(2) of such section is amended by 
     striking ``or the Under Secretary of Defense for Acquisition 
     and Technology'' and inserting ``and to one other official of 
     the Department of Defense''.
       (c) Revision of Requirement for Annual Report on Eligible 
     Countries.--Subsection (f)(2) of such section is amended to 
     read as follows:
       ``(2) Not later than January 1 of each year, the Secretary 
     of Defense shall submit to the Committees on Armed Services 
     and on Foreign Relations of the Senate and to the Committees 
     on Armed Services and on International Relations of the House 
     of Representatives a report specifying--
       ``(A) the countries that are eligible to participate in a 
     cooperative project agreement under this section; and
       ``(B) the criteria used to determine the eligibility of 
     such countries.''.
       (d) Conforming Amendments.--(1) The heading of such section 
     is amended to read as follows:

     ``Sec. 2350a. Cooperative research and development 
       agreements: NATO and foreign countries''.

       (2) The item relating to such section in the table of 
     sections at the beginning of subchapter II of chapter 138 of 
     title 10, United States Code, is amended to read as follows:

``2350a. Cooperative research and development agreements: NATO and 
              foreign countries.''.

     SEC. 1213. INTERNATIONAL COOPERATIVE AGREEMENTS ON USE OF 
                   RANGES AND OTHER FACILITIES FOR TESTING OF 
                   DEFENSE EQUIPMENT.

       (a) Authority.--Chapter 138 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2350l. Cooperative use of ranges and other facilities 
       for testing of defense equipment: agreements with foreign 
       countries and international organizations

       ``(a) Authority.--The Secretary of Defense, with the 
     concurrence of the Secretary of State, may enter into a 
     memorandum of understanding (or other formal agreement) with 
     a foreign country or international organization to provide 
     reciprocal access by the United States and such country or 
     organization to each other's ranges and other facilities for 
     testing of defense equipment.
       ``(b) Payment of Costs.--A memorandum or other agreement 
     entered into under subsection (a) shall include provisions 
     for charging a user of a range or other facility for test and 
     evaluation services furnished by the officers, employees, or 
     governmental agencies of the supplying country or 
     international organization under the memorandum or other 
     agreement. The provisions for charging a user shall conform 
     to the following pricing principles:
       ``(1) The user shall be charged the amount equal to the 
     direct costs incurred by the country or international 
     organization to supply the services.
       ``(2) The user may also be charged indirect costs of the 
     use of the range or other facility, but only to the extent 
     specified in the memorandum or other agreement.
       ``(c) Retention of Funds Collected by the United States.--
     Amounts collected from the user of a range or other facility 
     of the United States under a memorandum of understanding or 
     other formal agreement entered into under subsection (a) 
     shall be credited to the appropriation from which the costs 
     incurred by the United States in providing support for the 
     use of the range or other facility by that user were paid.
       ``(d) Delegation of Authority.--The Secretary of Defense 
     may delegate only to the Deputy Secretary of Defense and to 
     one other official of the Department of Defense authority to 
     determine the appropriateness of the amount of indirect costs 
     charged the United States under a memorandum or other 
     agreement entered into under subsection (a).
       ``(e) Definitions.--In this section:
       ``(1) The term `direct cost', with respect to testing and 
     evaluation under a memorandum or other agreement entered into 
     under subsection (a)--
       ``(A) means any item of cost that--
       ``(i) is easily and readily identified to a specific unit 
     of work or output within the range or other facility where 
     the testing and evaluation occurred under the memorandum or 
     other agreement; and
       ``(ii) would not have been incurred if the testing and 
     evaluation had not taken place; and
       ``(B) may include costs of labor, materials, facilities, 
     utilities, equipment, supplies, and any other resources of 
     the range or other facility that are consumed or damaged in 
     connection with--
       ``(i) the conduct of the test and evaluation; or
       ``(ii) the maintenance of the range or other facility for 
     the use of the country or international organization under 
     the memorandum or other agreement.
       ``(2) The term `indirect cost', with respect to testing and 
     evaluation under a memorandum or other agreement entered into 
     under subsection (a)--
       ``(A) means any item of cost that cannot readily be 
     identified directly to a specific unit of work or output; and
       ``(B) may include general and administrative expenses for 
     such activities as supporting base operations, manufacturing, 
     supervision, procurement of office supplies, and utilities 
     that are accumulated costs allocated among several users.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``2350l. Cooperative use of ranges and other facilities for testing of 
              defense equipment: agreements with foreign countries and 
              international organizations.''.

     SEC. 1214. CLARIFICATION OF AUTHORITY TO FURNISH NUCLEAR TEST 
                   MONITORING EQUIPMENT TO FOREIGN GOVERNMENTS.

       (a) Redesignation of Existing Authority.--(1) Section 2555 
     of title 10, United States Code, as added by section 1203 of 
     the Floyd D. Spence National Defense Authorization Act for 
     Fiscal Year 2001 (as enacted by Public Law 106-398; 114 Stat. 
     1654A-324), is redesignated as section 2565 of that title.
       (2) The table of sections at the beginning of chapter 152 
     of that title is amended by striking the item relating to 
     section 2555, as so added, and inserting the following new 
     item:

``2565. Nuclear test monitoring equipment: furnishing to foreign 
              governments.''.


[[Page 20097]]


       (b) Clarification of Authority.--Section 2565 of that 
     title, as so redesignated by subsection (a), is further 
     amended--
       (1) in subsection (a)--
       (A) by striking ``Convey or'' in the subsection heading and 
     inserting ``Transfer Title to or Otherwise'';
       (B) in paragraph (1)--
       (i) by striking ``convey'' and inserting ``transfer 
     title''; and
       (ii) by striking ``and'' at the end;
       (C) by striking the period at the end of paragraph (2) and 
     inserting ``; and''; and
       (D) by adding at the end the following new paragraph:
       ``(3) inspect, test, maintain, repair, or replace any such 
     equipment.''; and
       (2) in subsection (b)--
       (A) by striking ``conveyed or otherwise provided'' and 
     inserting ``provided to a foreign government'';
       (B) by inserting ``and'' at the end of paragraph (1);
       (C) by striking ``; and'' at the end of paragraph (2) and 
     inserting a period; and
       (D) by striking paragraph (3).

     SEC. 1215. PARTICIPATION OF GOVERNMENT CONTRACTORS IN 
                   CHEMICAL WEAPONS INSPECTIONS AT UNITED STATES 
                   GOVERNMENT FACILITIES UNDER THE CHEMICAL 
                   WEAPONS CONVENTION.

       (a) Authority.--Section 303(b)(2) of the Chemical Weapons 
     Convention Implementation Act of 1998 (22 U.S.C. 6723(b)(2)) 
     is amended by inserting after ``designation of employees of 
     the Federal Government'' the following: ``(and, in the case 
     of an inspection of a United States Government facility, the 
     designation of contractor personnel who shall be led by an 
     employee of the Federal Government)''.
       (b) Credentials.--Section 304(c) of such Act (22 U.S.C. 
     6724(c)) is amended by striking ``Federal government'' and 
     inserting ``Federal Government (and, in the case of an 
     inspection of a United States Government facility, any 
     accompanying contractor personnel)''.

     SEC. 1216. AUTHORITY TO TRANSFER NAVAL VESSELS TO CERTAIN 
                   FOREIGN COUNTRIES.

       (a) Transfers by Grant.--The President is authorized to 
     transfer vessels to foreign countries on a grant basis under 
     section 516 of the Foreign Assistance Act of 1961 (22 U.S.C. 
     2321j) as follows:
       (1) Poland.--To the Government of Poland, the OLIVER HAZARD 
     PERRY class guided missile frigate WADSWORTH (FFG 9).
       (2) Turkey.--To the Government of Turkey, the KNOX class 
     frigates CAPODANNO (FF 1093), THOMAS C. HART (FF 1092), 
     DONALD B. BEARY (FF 1085), McCANDLESS (FF 1084), REASONER (FF 
     1063), and BOWEN (FF 1079).
       (b) Transfers by Sale.--The President is authorized to 
     transfer vessels to foreign governments and foreign 
     governmental entities on a sale basis under section 21 of the 
     Arms Export Control Act (22 U.S.C. 2761) as follows:
       (1) Taiwan.--To the Taipei Economic and Cultural 
     Representative Office in the United States (which is the 
     Taiwan instrumentality designated pursuant to section 10(a) 
     of the Taiwan Relations Act), the KIDD class guided missile 
     destroyers KIDD (DDG 993), CALLAGHAN (DDG 994), SCOTT (DDG 
     995), and CHANDLER (DDG 996).
       (2) Turkey.--To the Government of Turkey, the OLIVER HAZARD 
     PERRY class guided missile frigates ESTOCIN (FFG 15) and 
     SAMUEL ELIOT MORISON (FFG 13).
       (c) Additional Congressional Notification Not Required.--
     Except as provided in subsection (d), the following 
     provisions do not apply with respect to transfers authorized 
     by this section:
       (1) Section 516(f) of the Foreign Assistance Act of 1961 
     (22 U.S.C. 2321j(f)).
       (2) Section 524 of the Foreign Operations, Export 
     Financing, and Related Programs Appropriation Act, 2001 (as 
     enacted by Public Law 106-429; 114 Stat. 1900A-30) and any 
     similar successor provision.
       (d) Grants Not Counted in Annual Total of Transferred 
     Excess Defense Articles.--The value of a vessel transferred 
     to another country on a grant basis under section 516 of the 
     Foreign Assistance Act of 1961 (22 U.S.C. 2321j) pursuant to 
     authority provided by subsection (a) shall not be counted for 
     the purposes of subsection (g) of that section in the 
     aggregate value of excess defense articles transferred to 
     countries under that section in any fiscal year.
       (e) Costs of Transfers on Grant Basis.--Any expense 
     incurred by the United States in connection with a transfer 
     authorized by this section shall be charged to the recipient 
     (notwithstanding section 516(e)(1) of the Foreign Assistance 
     Act of 1961 (22 U.S.C. 2321j(e)(1))) in the case of a 
     transfer authorized to be made on a grant basis under 
     subsection (a).
       (f) Repair and Refurbishment in United States Shipyards.--
     To the maximum extent practicable, the President shall 
     require, as a condition of the transfer of a vessel under 
     this section, that the country to which the vessel is 
     transferred have such repair or refurbishment of the vessel 
     as is needed, before the vessel joins the naval forces of 
     that country, performed at a shipyard located in the United 
     States, including a United States Navy shipyard.
       (g) Expiration of Authority.--The authority to transfer a 
     vessel under this section shall expire at the end of the 2-
     year period beginning on the date of the enactment of this 
     Act.

     SEC. 1217. ACQUISITION OF LOGISTICAL SUPPORT FOR SECURITY 
                   FORCES.

       Section 5 of the Multinational Force and Observers 
     Participation Resolution (22 U.S.C. 3424) is amended by 
     adding at the end the following new subsection:
       ``(d)(1) The United States may use contractors to provide 
     logistical support to the Multinational Force and Observers 
     under this section in lieu of providing such support through 
     a logistical support unit composed of members of the United 
     States Armed Forces.
       ``(2) Notwithstanding subsections (a) and (b) and section 
     7(b), support by a contractor under this subsection may be 
     provided without reimbursement whenever the President 
     determines that such action enhances or supports the national 
     security interests of the United States.''.

     SEC. 1218. PERSONAL SERVICES CONTRACTS TO BE PERFORMED BY 
                   INDIVIDUALS OR ORGANIZATIONS ABROAD.

       Section 2 of the State Department Basic Authorities Act of 
     1956 (22 U.S.C. 2669) is amended by adding at the end the 
     following:
       ``(n) exercise the authority provided in subsection (c), 
     upon the request of the Secretary of Defense or the head of 
     any other department or agency of the United States, to enter 
     into personal service contracts with individuals to perform 
     services in support of the Department of Defense or such 
     other department or agency, as the case may be.''.

     SEC. 1219. ALLIED DEFENSE BURDENSHARING.

       It is the sense of the Senate that--
       (1) the efforts of the President to increase defense 
     burdendsharing by allied and friendly nations deserve strong 
     support;
       (2) host nations support agreements with those nations in 
     which United States military personnel are assigned to 
     permanent duty ashore should be negotiated consistent with 
     section 1221(a)(1) of the National Defense Authorization Act 
     for Fiscal Year 1998 (P.L. 105-85) which sets forth a goal of 
     obtaining financial contributions from host nations that 
     amount to 75 percent of the nonpersonnel costs incurred by 
     the United States Government for stationing military 
     personnel in those nations.

     SEC. 1220. RELEASE OF RESTRICTION ON USE OF CERTAIN VESSELS 
                   PREVIOUSLY AUTHORIZED TO BE SOLD.

       Section 3603(a) of the Strom Thurmond National Defense 
     Authorization Act for Fiscal Year 1999 (Public Law 105-261; 
     112 Stat. 2273) is amended by striking ``for full use as an 
     oiler''.

         TITLE XIII--CONTINGENT AUTHORIZATION OF APPROPRIATIONS

     SEC. 1301. AUTHORIZATION OF APPROPRIATIONS CONTINGENT ON 
                   INCREASED ALLOCATION OF NEW BUDGET AUTHORITY.

       (a) In General.--Notwithstanding any other provision of 
     this Act, the total amounts authorized to be appropriated 
     under subtitle A of title I, sections 201, 301, and 302, and 
     division B are authorized to be appropriated in accordance 
     with those provisions without reduction under section 1302 
     only if--
       (1) the Chairman of the Committee on the Budget of the 
     Senate--
       (A) determines, for the purposes of section 217(b) of the 
     Concurrent Resolution on the Budget for Fiscal Year 2002, 
     that the appropriation of all of the amounts specified in 
     section 1302 would not, when taken together with all other 
     previously enacted legislation (except for legislation 
     enacted pursuant to section 211 of such concurrent 
     resolution) reduce the on-budget surplus below the level of 
     the Medicare Hospital Insurance Trust Fund surplus in any 
     fiscal year covered by the concurrent resolution; and
       (B) increases the allocation of new budget authority for 
     defense spending in accordance with section 217(a) of the 
     Concurrent Resolution on the Budget for Fiscal Year 2002; or
       (2) the Senate--
       (A) by a vote of at least three-fifths of the Members of 
     the Senate duly chosen and sworn, waives the point of order 
     under section 302(f) of the Congressional Budget and 
     Impoundment Control Act of 1974 with respect to an 
     appropriation bill or resolution that provides new budget 
     authority for the National Defense major functional category 
     (050) in excess of the amount specified for the defense 
     category in section 203(c)(1)(A) of the Concurrent Resolution 
     on the Budget for Fiscal Year 2002; and
       (B) approves the appropriation bill or resolution.
       (b) Full or Partial Authorization.--(1) If the total amount 
     of the new budget authority allocated or available for the 
     National Defense major functional category (050) for fiscal 
     year 2002 is increased as described in subsection (a) by at 
     least $18,448,601,000 over the amount of the new budget 
     authority allocated for that category for fiscal year 2002 by 
     the Concurrent Resolution on the Budget for Fiscal Year 2002, 
     the reductions under section 1302 shall not be made.
       (2) If the total amount of new budget authority allocated 
     or available for the National Defense major functional 
     category (050) for fiscal year 2002 is increased as described 
     in subsection (a) by less than $18,448,601,000 over the 
     amount of the new

[[Page 20098]]

     budget authority allocated for that category for fiscal year 
     2002 by the Concurrent Resolution on the Budget for Fiscal 
     Year 2002, each of the total amounts referred to in section 
     1302 shall be reduced by a proportionate amount of the 
     difference between $18,448,601,000 and the amount of the 
     increase in the allocated new budget authority.

     SEC. 1302. REDUCTIONS.

       Until such time as the amount of the new budget authority 
     allocated or available for the National Defense major 
     functional category (050) for fiscal year 2002 is increased 
     as described in section 1301(a), the total amounts authorized 
     to be appropriated by provisions of this Act are reduced as 
     follows:
       (1) For the total amount authorized to be appropriated for 
     procurement by subtitle A of title I, the reduction is 
     $2,100,854,000.
       (2) For the total amount authorized to be appropriated for 
     research, development, test and evaluation by section 201, 
     the reduction is $3,033,434,000.
       (3) For the total amount authorized to be appropriated for 
     operation and maintenance by section 301, the reduction is 
     $8,737,773,000.
       (4) For the total amount authorized to be appropriated for 
     working capital and revolving funds by section 302, the 
     reduction is $1,018,394,000.
       (5) For the total amount authorized to be appropriated by 
     division B, the reduction is $348,065,000.

     SEC. 1303. REFERENCE TO CONCURRENT RESOLUTION ON THE BUDGET 
                   FOR FISCAL YEAR 2002.

       For the purposes of this title, a reference to the 
     Concurrent Resolution on the Budget for Fiscal Year 2002 is a 
     reference to House Concurrent Resolution 83 (107th Congress, 
     1st session).

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

     SEC. 2001. SHORT TITLE.

       This division may be cited as the ``Military Construction 
     Authorization Act for Fiscal Year 2002''.

                            TITLE XXI--ARMY

     SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(1), the Secretary of the Army may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:


                                         Army: Inside the United States
----------------------------------------------------------------------------------------------------------------
                      State                                 Installation or location                 Amount
----------------------------------------------------------------------------------------------------------------
Alabama.........................................  Anniston Army Depot........................         $5,150,000
                                                  Fort Rucker................................        $11,400,000
                                                  Redstone Arsenal...........................         $7,200,000
Alaska..........................................  Fort Richardson............................       $115,000,000
                                                  Fort Wainwright............................        $27,200,000
Arizona.........................................  Fort Huachuca..............................         $6,100,000
Colorado........................................  Fort Carson................................        $66,000,000
District of Columbia............................  Fort McNair................................        $11,600,000
Georgia.........................................  Fort Benning...............................        $23,900,000
                                                  Fort Gillem................................        $34,600,000
                                                  Fort Gordon................................        $34,000,000
                                                  Fort Stewart/Hunter Army Air Field.........        $39,800,000
Hawaii..........................................  Navy Public Works Center, Pearl Harbor.....        $11,800,000
                                                  Pohakuloa Training Facility................         $6,600,000
                                                  Wheeler Army Air Field.....................        $50,000,000
Illinois........................................  Rock Island Arsenal........................         $3,500,000
Kansas..........................................  Fort Riley.................................        $10,900,000
Kentucky........................................  Fort Campbell..............................        $88,900,000
                                                  Fort Knox..................................        $11,600,000
Louisiana.......................................  Fort Polk..................................        $21,200,000
Maryland........................................  Aberdeen Proving Ground....................        $58,300,000
                                                  Fort Meade.................................         $5,800,000
Missouri........................................  Fort Leonard Wood..........................         $7,850,000
New Jersey......................................  Fort Monmouth..............................        $20,000,000
New Mexico......................................  White Sands Missile Range..................         $7,600,000
New York........................................  Fort Drum..................................        $37,850,000
North Carolina..................................  Fort Bragg.................................        $21,300,000
                                                  Sunny Point Military Ocean Terminal........        $11,400,000
Oklahoma........................................  Fort Sill..................................        $40,100,000
South Carolina..................................  Fort Jackson...............................        $62,000,000
Texas...........................................  Fort Hood..................................        $86,200,000
                                                  Fort Sam Houston...........................         $2,250,000
Virginia........................................  Fort Belvoir...............................        $35,950,000
                                                  Fort Eustis................................        $34,650,000
                                                  Fort Lee...................................        $23,900,000
Washington......................................  Fort Lewis.................................       $238,200,000
                                                                                              ------------------
                                                    Total:...................................     $1,279,500,000
----------------------------------------------------------------------------------------------------------------

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

                     Army: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Area Support Group,         $36,000,000
                                  Bamberg.
                                 Area Support Group,         $13,500,000
                                  Darmstadt.
                                 Baumholder.............      $9,000,000
                                 Hanau..................      $7,200,000
                                 Heidelberg.............     $15,300,000
                                 Mannheim...............     $16,000,000
                                 Wiesbaden Air Base.....     $26,300,000
Korea..........................  Camp Carroll...........     $16,593,000
                                 Camp Casey.............      $8,500,000
                                 Camp Hovey.............     $35,750,000
                                 Camp Humphreys.........     $14,500,000
                                 Camp Jackson...........      $6,100,000
                                 Camp Stanley...........     $28,000,000
Kwajalein......................  Kwajalein Atoll........     $11,000,000
                                                         ---------------
                                   Total:...............    $243,743,000
------------------------------------------------------------------------

       (c) Unspecified Worldwide.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(3), the Secretary of the Army may acquire real 
     property and carry out military construction projects for the 
     installation and location, and in the amount, set forth in 
     the following table:

[[Page 20099]]



                       Army: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,000,000
------------------------------------------------------------------------

     SEC. 2102. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2104(a)(6)(A), the Secretary of the Army may 
     construct or acquire family housing units (including land 
     acquisition) at the installations, for the purposes, and in 
     the amounts set forth in the following table:

                                              Army: Family Housing
----------------------------------------------------------------------------------------------------------------
            State or county              Installation or location             Purpose                 Amount
----------------------------------------------------------------------------------------------------------------
Alaska................................  Fort Wainwright..........  32 Units.....................     $12,000,000
Arizona...............................  Fort Huachuca............  72 Units.....................     $10,800,000
Kansas................................  Fort Leavenworth.........  40 Units.....................     $20,000,000
Texas.................................  Fort Bliss...............  76 Units.....................     $13,600,000
                                        Fort Sam Houston.........  80 Units.....................     $11,200,000
Korea.................................  Camp Humphreys...........  54 Units.....................     $12,800,000
                                                                                                 ---------------
                                          Total:.................  .............................     $80,400,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(6)(A), the Secretary of the Army may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of family housing units in an amount not to 
     exceed $12,702,000.

     SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2104(a)(6)(A), the Secretary of 
     the Army may improve existing military family housing units 
     in an amount not to exceed $220,750,000.

     SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Army in the total amount of $3,068,303,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2101(a), $1,027,300,000.
       (2) For military construction projects outside the United 
     States authorized by section 2101(b), $243,743,000.
       (3) For military construction projects at unspecified 
     worldwide locations authorized by section 2101(c), 
     $4,000,000.
       (4) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $18,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $142,198,000.
       (6) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $313,852,000.
       (B) For support of military family housing (including the 
     functions described in section 2833 of title 10, United 
     States Code), $1,108,991,000.
       (7) For the Homeowners Assistance Program, as authorized by 
     section 2832 of title 10, United States Code, $10,119,000, to 
     remain available until expended.
       (8) For the construction of the Cadet Development Center, 
     United States Military Academy, West Point, New York, 
     authorized in section 2101(a) of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2182), $37,900,000.
       (9) For the construction of a Barracks Complex--Tagaytay 
     Street Phase 2C, Fort Bragg, North Carolina, authorized in 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (division B of Public Law 106-65; 
     113 Stat. 824), $17,500,000.
       (10) For the construction of a Barracks Complex--Wilson 
     Street, Phase 1C, Schofield Barracks, Hawaii, authorized in 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (113 Stat. 824), $23,000,000.
       (11) For construction of a Basic Combat Training Complex 
     Phase 2, Fort Leonard Wood, Missouri, authorized in section 
     2101(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (division B of the Floyd D. Spence National 
     Defense Authorization Act for Fiscal Year 2001 (as enacted by 
     Public Law 106-398); 114 Stat. 1654A-389), $27,000,000.
       (12) For the construction of the Battle Simulation Center 
     Phase 2, Fort Drum, New York, authorized in section 2101(a) 
     of the Military Construction Authorization Act for Fiscal 
     Year 2001 (114 Stat. 1654A-389), $9,000,000.
       (13) For the construction of a Barracks Complex--Bunter 
     Road Phase 2, Fort Bragg, North Carolina, authorized in 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (114 Stat. 1654A-389), $49,000,000.
       (14) For the construction of a Barracks Complex--Longstreet 
     Road Phase 2, Fort Bragg, North Carolina, authorized in 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (114 Stat. 1654A-389), $27,000,000.
       (15) For the construction of a Multipurpose Digital 
     Training Range, Fort Hood, Texas, authorized in section 
     2101(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (114 Stat. 1654A-389), $13,000,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2101 of this Act may not exceed--
       (1) the total amount authorized to be appropriated under 
     paragraphs (1), (2), and (3) of subsection (a);
       (2) $52,000,000 (the balance of the amount authorized under 
     section 2101(a) for Barracks Complex D Street Phase at Fort 
     Richardson, Alaska);
       (3) $41,000,000 (the balance of the amount authorized under 
     section 2101(a) for Barracks Complex--Nelson Boulevard (Phase 
     I) at Fort Carson, Colorado);
       (4) $36,000,000 (the balance of the amount authorized under 
     section 2101(a) for Basic Combat Training Complex (Phase I) 
     at Fort Jackson, South Carolina);
       (5) $102,000,000 (the balance of the amount authorized 
     under section 2101(a) for Barracks Complex--17th & B Street 
     (Phase I) at Fort Lewis, Washington); and
       (6) $21,500,000 (the balance of the amount authorized under 
     section 2101(a) for Consolidated Logistics Complex (Phase I) 
     at Fort Sill, Oklahoma).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (7) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs reduced by $3,300,000, which 
     represents savings resulting from adjustments to foreign 
     currency exchange rates for military family housing 
     construction and military family housing support outside the 
     United States.

     SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECTS.

       (a) Modification.--The table in section 2101(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001 
     (division B of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398); 114 Stat. 1654A-389) is amended--
       (1) in the item relating to Fort Leonard Wood, Missouri, by 
     striking ``$65,400,000'' in the amount column and inserting 
     ``$69,800,000'';
       (2) in the item relating to Fort Drum, New York, by 
     striking ``$18,000,000'' in the amount column and inserting 
     ``$21,000,000'';
       (3) in the item relating to Fort Hood, Texas, by striking 
     ``$36,492,000'' in the amount column and inserting 
     ``$39,492,000''; and
       (4) by striking the amount identified as the total in the 
     amount column and inserting ``$626,374,000''.
       (b) Conforming Amendments.--Section 2104 of that Act (114 
     Stat. 1654A-391) is amended--
       (1) in subsection (a), in the matter preceding paragraph 
     (1), by striking ``$1,925,344,000'' and inserting 
     ``$1,935,744,000''; and
       (2) in subsection (b)--
       (A) in paragraph (2), by striking ``$22,600,000'' and 
     inserting ``$27,000,000'';
       (B) in paragraph (3), by striking ``$10,000,000'' and 
     inserting ``$13,000,000''; and
       (C) in paragraph (6), by striking ``$6,000,000'' and 
     inserting ``$9,000,000''.

[[Page 20100]]



                            TITLE XXII--NAVY

     SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(1), the Secretary of the Navy may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:

                     Navy: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                       location             Amount
------------------------------------------------------------------------
Arizona........................  Marine Corps Air            $22,570,000
                                  Station, Yuma.
California.....................  Marine Air-Ground Task      $75,125,000
                                  Force Training Center,
                                  Twentynine Palms.
                                 Marine Corps Air             $4,470,000
                                  Station, Camp
                                  Pendleton.
                                 Marine Corps Base, Camp     $96,490,000
                                  Pendleton.
                                 Naval Air Facility, El      $23,520,000
                                  Centro.
                                 Naval Air Station,          $10,010,000
                                  Lemoore.
                                 Naval Air Warfare           $13,730,000
                                  Center, Point Mugu,
                                  San Nicholas Island.
                                 Naval Amphibious Base,       $8,610,000
                                  Coronado.
                                 Naval Construction          $12,400,000
                                  Battalion Center, Port
                                  Hueneme.
                                 Naval Construction           $3,780,000
                                  Training Center, Port
                                  Hueneme.
                                 Naval Station, San          $47,240,000
                                  Diego.
District of Columbia...........  Naval Air Facility,          $9,810,000
                                  Washington.
Florida........................  Naval Air Station, Key      $11,400,000
                                  West.
                                 Naval Air Station,           $3,700,000
                                  Pensacola.
                                 Naval Air Station,           $2,140,000
                                  Whiting Field, Milton.
                                 Naval Station, Mayport.     $16,420,000
Hawaii.........................  Marine Corps Base,          $24,920,000
                                  Kaneohe.
                                 Naval Magazine,              $6,000,000
                                  Lualualei.
                                 Naval Shipyard, Pearl       $20,000,000
                                  Harbor.
                                 Naval Station, Pearl        $54,700,000
                                  Harbor.
                                 Navy Public Works           $16,900,000
                                  Center, Pearl Harbor.
Illinois.......................  Naval Training Center,      $82,260,000
                                  Great Lakes.
Indiana........................  Naval Surface Warfare        $5,820,000
                                  Center, Crane.
Maine..........................  Naval Air Station,          $67,395,000
                                  Brunswick.
                                 Naval Shipyard, Kittery-    $14,620,000
                                  Portsmouth.
Maryland.......................  Naval Air Warfare            $2,260,000
                                  Center, Patuxent River.
                                 Naval Explosive              $1,250,000
                                  Ordinance Disposal
                                  Technology Center,
                                  Indian Head.
Mississippi....................  Naval Construction          $21,660,000
                                  Battalion Center,
                                  Gulfport.
                                 Naval Air Station,           $3,370,000
                                  Meridian.
                                 Naval Station,               $4,680,000
                                  Pascagoula.
Missouri.......................  Marine Corp Support          $9,010,000
                                  Activity, Kansas City.
Nevada.........................  Naval Air Station,           $6,150,000
                                  Fallon.
New Jersey.....................  Naval Weapons Station,       $4,370,000
                                  Earle.
North Carolina.................  Marine Corps Air             $4,050,000
                                  Station, New River.
                                 Marine Corps Base, Camp     $67,070,000
                                  LeJeune.
Rhode Island...................  Naval Station, Newport.     $15,290,000
                                 Naval Undersea Warfare       $9,370,000
                                  Center, Newport.
South Carolina.................  Marine Corps Air             $8,020,000
                                  Station, Beaufort.
                                 Marine Corps Recruit         $5,430,000
                                  Depot, Parris Island.
Tennessee......................  Naval Support Activity,      $3,900,000
                                  Millington.
Texas..........................  Naval Air Station,           $6,160,000
                                  Kingsville.
Virginia.......................  Marine Corps Air             $3,790,000
                                  Facility, Quantico.
                                 Marine Corps Combat          $9,390,000
                                  Development Command,
                                  Quantico.
                                 Naval Station, Norfolk.    $139,270,000
Washington.....................  Naval Air Station,           $7,370,000
                                  Whidbey Island.
                                 Naval Station, Everett.      $6,820,000
                                 Strategic Weapons            $3,900,000
                                  Facility, Bangor.
                                                         ---------------
                                   Total:...............    $996,610,000
------------------------------------------------------------------------

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

                     Navy: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Greece.........................  Naval Support Activity      $12,240,000
                                  Joint Headquarters
                                  Command, Larissa.
                                 Naval Support Activity,      $3,210,000
                                  Souda Bay.
Guam...........................  Naval Station, Guam....      $9,300,000
                                 Navy Public Works           $14,800,000
                                  Center, Guam.
Iceland........................  Naval Air Station,           $2,820,000
                                  Keflavik.
Italy..........................  Naval Air Station,           $3,060,000
                                  Sigonella.
Spain..........................  Naval Station, Rota....      $2,240,000
                                                         ---------------
                                   Total:...............     $47,670,000
------------------------------------------------------------------------

     SEC. 2202. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2204(a)(5)(A), the Secretary of the Navy may 
     construct or acquire family housing units (including land 
     acquisition) at the installations, for the purposes, and in 
     the amounts set forth in the following table:

                                              Navy: Family Housing
----------------------------------------------------------------------------------------------------------------
           State or country              Installation or location             Purpose                 Amount
----------------------------------------------------------------------------------------------------------------
Arizona...............................  Marine Corps Air Station,  51 Units.....................      $9,017,000
                                         Yuma.
California............................  Marine Air-Ground Task     74 Units.....................     $16,250,000
                                         Force Training Center,
                                         Twentynine Palms.
Hawaii................................  Marine Corps Base,         172 Units....................     $55,187,000
                                         Kaneohe.
                                        Naval Station, Pearl       70 Units.....................     $16,827,000
                                         Harbor.
Mississippi...........................  Naval Construction         160 Units....................     $23,354,000
                                         Battalion Center,
                                         Gulfport.
Italy.................................  Naval Air Station,         10 Units.....................      $2,403,000
                                         Sigonella.
                                                                                                 ---------------
                                                                     Total:.....................    $123,038,000
----------------------------------------------------------------------------------------------------------------


[[Page 20101]]

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(5)(A), the Secretary of the Navy may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $6,499,000.

     SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2204(a)(5)(A), the Secretary of 
     the Navy may improve existing military family housing units 
     in an amount not to exceed $183,054,000.

     SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Navy in the total amount of $2,377,634,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2201(a), $963,370,000.
       (2) For military construction projects outside the United 
     States authorized by section 2201(b), $47,670,000.
       (3) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $10,546,000.
       (4) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $35,752,000.
       (5) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $312,591,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $918,095,000.
       (6) For replacement of a pier at Naval Station, San Diego, 
     California, authorized in section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Floyd D. Spence National Defense Authorization Act 
     for Fiscal Year 2001 (as enacted by Public Law 106-398); 114 
     Stat. 1654A-395), $17,500,000.
       (7) For replacement of Pier Delta at Naval Station, 
     Bremerton, Washington, authorized in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001, 
     $24,460,000.
       (8) For construction of the Commander-in-Chief 
     Headquarters, Pacific Command, Camp Smith, Hawaii, authorized 
     in section 2201(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (division B of Public Law 106-65; 
     113 Stat. 828), $37,580,000.
       (9) For construction of an Advanced Systems Integration 
     Facility, phase 6, at Naval Air Warfare Center, Patuxent 
     River, Maryland, authorized in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 1993 
     (division B of Public Law 102-484; 106 Stat. 2590), 
     $10,770,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2201 of this Act may not exceed--
       (1) the total amount authorized to be appropriated under 
     paragraphs (1) and (2) of subsection (a); and
       (2) $33,240,000 (the balance of the amount authorized under 
     section 2201(a) for Pier Replacement (Increment I), Naval 
     Station, Norfolk, Virginia).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (5) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs reduced by $700,000, which 
     represents savings resulting from adjustments to foreign 
     currency exchange rates for military family housing 
     construction and military family housing support outside the 
     United States.

     SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECTS.

       The table in section 2201(a) of the Military Construction 
     Authorization Act for Fiscal Year 2001 (division B of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted by Public Law 106-398); 114 Stat. 
     1654A-395) is amended--
       (1) in the item relating to Naval Shipyard, Bremerton, 
     Puget Sound, Washington, by striking ``$100,740,000'' in the 
     amount column and inserting ``$98,740,000'';
       (2) in the item relating to Naval Station, Bremerton, 
     Washington, by striking ``$11,930,000'' in the amount column 
     and inserting ``$1,930,000''; and
       (3) by striking the amount identified as the total in the 
     amount column and inserting ``$799,497,000''.

     SEC. 2206. MODIFICATION OF AUTHORITY TO CARRY OUT FISCAL YEAR 
                   2000 PROJECT.

       (a) Modification.--The table in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2000 
     (division B of Public Law 106-65; 113 Stat. 828) is amended--
       (1) in the item relating to Camp Smith, Hawaii, by striking 
     ``$86,050,000'' in the amount column and inserting 
     ``$89,050,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$820,230,000''.
       (b) Conforming Amendment.--Section 2204(b)(3) of that Act 
     (113 Stat. 831) is amended by striking ``$70,180,000'' and 
     inserting ``$73,180,000''.

                         TITLE XXIII--AIR FORCE

     SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(1), the Secretary of the Air Force may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:

                   Air Force: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                       location             Amount
------------------------------------------------------------------------
Alabama........................  Maxwell Air Force Base.     $34,400,000
Alaska.........................  Eareckson Air Force          $4,600,000
                                  Base.
                                 Elmendorf Air Force         $32,200,000
                                  Base.
Arizona........................  Davis-Monthan Air Force     $17,300,000
                                  Base.
Arkansas.......................  Little Rock Air Force       $18,100,000
                                  Base.
California.....................  Edwards Air Force Base.     $16,300,000
                                 Los Angeles Air Force       $23,000,000
                                  Base.
                                 Travis Air Force Base..     $16,400,000
                                 Vandenberg Air Force        $11,800,000
                                  Base.
Colorado.......................  Buckley Air Force Base.     $23,200,000
                                 Schriever Air Force         $19,000,000
                                  Base.
                                 United States Air Force     $25,500,000
                                  Academy.
Delaware.......................  Dover Air Force Base...      $7,300,000
District of Columbia...........  Bolling Air Force Base.      $2,900,000
Florida........................  Cape Canaveral Air           $7,800,000
                                  Force Station.
                                 Eglin Air Force Base...     $11,400,000
                                 Hurlburt Field.........     $10,400,000
                                 MacDill Air Force Base.     $10,000,000
                                 Tyndall Air Force Base.     $15,050,000
Georgia........................  Moody Air Force Base...      $8,600,000
                                 Robins Air Force Base..     $14,650,000
Idaho..........................  Mountain Home Air Force     $14,600,000
                                  Base.
Louisiana......................  Barksdale Air Force          $5,000,000
                                  Base.
Maryland.......................  Andrews Air Force Base.     $19,420,000
Massachusetts..................  Hanscom Air Force Base.      $9,400,000
Mississippi....................  Columbus Air Force Base      $5,000,000
                                 Keesler Air Force Base.     $28,600,000
Montana........................  Malmstrom Air Force          $4,650,000
                                  Base.
Nebraska.......................  Offet Air Force Base...     $10,400,000
Nevada.........................  Nellis Air Force Base..     $31,600,000
New Jersey.....................  McGuire Air Force Base.     $36,550,000
New Mexico.....................  Cannon Air Force Base..      $9,400,000
                                 Kirtland Air Force Base     $15,500,000
North Carolina.................  Pope Air Force Base....     $17,800,000

[[Page 20102]]


North Dakota...................  Grand Forks Air Force        $7,800,000
                                  Base.
Ohio...........................  Wright-Patterson Air        $24,850,000
                                  Force Base.
Oklahoma.......................  Altus Air Force Base...     $20,200,000
                                 Tinker Air Force Base..     $21,400,000
                                 Vance Air Force Base...      $4,800,000
South Carolina.................  Shaw Air Force Base....      $5,800,000
South Dakota...................  Ellsworth Air Force         $12,000,000
                                  Base.
Tennessee......................  Arnold Air Force Base..     $24,400,000
Texas..........................  Lackland Air Force Base     $12,800,000
                                 Laughlin Air Force Base     $12,000,000
                                 Sheppard Air Force Base     $37,000,000
Utah...........................  Hill Air Force Base....     $14,000,000
Virginia.......................  Langley Air Force Base.     $47,300,000
Washington.....................  Fairchild Air Force          $2,800,000
                                  Base.
                                 McChord Air Force Base.     $20,700,000
Wyoming........................  F.E. Warren Air Force       $10,200,000
                                  Base.
                                                         ---------------
                                   Total:...............    $811,370,000
------------------------------------------------------------------------

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

                  Air Force: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Ramstein Air Force Base     $42,900,000
                                 Spangdahlem Air Base...      $8,700,000
Guam...........................  Andersen Air Force Base     $10,150,000
Italy..........................  Aviano Air Base........     $11,800,000
Korea..........................  Kunsan Air Base........     $12,000,000
                                 Osan Air Base..........    $101,142,000
Oman...........................  Masirah Island.........      $8,000,000
Turkey.........................  Eskisehir..............      $4,000,000
United Kingdom.................  Royal Air Force,            $11,300,000
                                  Lakenheath.
                                 Royal Air Force,            $22,400,000
                                  Mildenhall.
Wake Island....................  Wake Island............     $25,000,000
                                                         ---------------
                                   Total:...............    $257,392,000
------------------------------------------------------------------------

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

                    Air Force: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,458,000
------------------------------------------------------------------------

     SEC. 2302. FAMILY HOUSING.

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

                                            Air Force: Family Housing
----------------------------------------------------------------------------------------------------------------
           State or country              Installation or location             Purpose                 Amount
----------------------------------------------------------------------------------------------------------------
Arizona...............................  Luke Air Force Base......  120 Units....................     $15,712,000
California............................  Travis Air Force Base....  118 Units....................     $18,150,000
Colorado..............................  Buckley Air Force Base...  55 Units.....................     $11,400,000
Delaware..............................  Dover Air Force Base.....  120 Units....................     $18,145,000
District of Columbia..................  Bolling Air Force Base...  136 Units....................     $16,926,000
Hawaii................................  Hickam Air Force Base....  102 Units....................     $25,037,000
Louisiana.............................  Barksdale Air Force Base.  56 Units.....................      $7,300,000
South Dakota..........................  Ellsworth Air Force Base.  78 Units.....................     $13,700,000
Virginia..............................  Langley Air Force Base...  4 Units......................      $1,200,000
Portugal..............................  Lajes Field, Azores......  64 Units.....................     $13,230,000
                                                                                                 ---------------
                                                                     Total:.....................    $140,800,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(6)(A), the Secretary of the Air Force may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $24,558,000.

     SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2304(a)(6)(A), the Secretary of 
     the Air Force may improve existing military family housing 
     units in an amount not to exceed $375,379,000.

     SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Air Force in the total amount of $2,587,791,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2301(a), $816,070,000.
       (2) For military construction projects outside the United 
     States authorized by section 2301(b), $257,392,000.
       (3) For the military construction projects at unspecified 
     worldwide locations authorized by section 2301(c), 
     $4,458,000.
       (4) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $11,250,000.
       (5) For architectural and engineering services and 
     construction design under section

[[Page 20103]]

     2807 of title 10, United States Code, $90,419,000.
       (6) For military housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $542,381,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $869,121,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2301 of this Act may not exceed the 
     total amount authorized to be appropriated under paragraphs 
     (1), (2), and (3) of subsection (a).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (6) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs reduced by $3,300,000, which 
     represents savings resulting from adjustments to foreign 
     currency exchange rates for military family housing 
     construction and military family housing support outside the 
     United States.

     SEC. 2305. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECT.

       The table in section 2302(a) of the Military Construction 
     Authorization Act for Fiscal Year 2001 (division B of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted by Public Law 106-398); 114 Stat. 
     1654A-400) is amended in the item relating to Mountain Home 
     Air Force Base, Idaho, by striking ``119 Units'' in the 
     purpose column and inserting ``46 Units''.

                      TITLE XXIV--DEFENSE AGENCIES

     SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2403(a)(1), the Secretary of Defense may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:

               Defense Agencies: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Defense Education Activity.....  Laurel Bay, South           $12,850,000
                                  Carolina..............
                                 Marine Corps Base, Camp      $8,857,000
                                  LeJeune, North
                                  Carolina..............
Defense Logistics Agency.......  Defense Distribution        $30,000,000
                                  Depot Tracy,
                                  California............
                                 Defense Distribution        $19,900,000
                                  Depot, Susquehanna,
                                  New Cumberland,
                                  Pennsylvania..........
                                 Eielson Air Force Base,      $8,800,000
                                  Alaska................
                                 Fort Belvoir, Virginia.        $900,000
                                 Grand Forks Air Force        $9,110,000
                                  Base, North Dakota....
                                 Hickam Air Force Base,      $29,200,000
                                  Hawaii................
                                 McGuire Air Force Base,      $4,400,000
                                  New Jersey............
                                 Minot Air Force Base,       $14,000,000
                                  North Dakota..........
                                 Philadelphia,                $2,429,000
                                  Pennsylvania..........
                                 Pope Air Force Base,         $3,400,000
                                  North Carolina........
Special Operations Command.....  Aberdeen Proving             $3,200,000
                                  Ground, Maryland......
                                 Fort Benning, Georgia..      $5,100,000
                                 Fort Bragg, North           $33,562,000
                                  Carolina..............
                                 Fort Lewis, Washington.      $6,900,000
                                 Hurlburt Field, Florida     $13,400,000
                                 MacDill Air Force Base,     $12,000,000
                                  Florida...............
                                 Naval Station, San          $13,650,000
                                  Diego, California.....
                                 CONUS Classified.......      $2,400,000
TRICARE Management Activity....  Andrews Air Force Base,     $10,250,000
                                  Maryland..............
                                 Dyess Air Force Base,        $3,300,000
                                  Texas.................
                                 F.E. Warren Air Force        $2,700,000
                                  Base, Wyoming.........
                                 Fort Hood, Texas.......     $12,200,000
                                 Fort Stewart/Hunter         $11,000,000
                                  Army Air Field,
                                  Georgia...............
                                 Holloman Air Force           $5,700,000
                                  Base, New Mexico......
                                 Hurlburt Field, Florida      $8,800,000
                                 Marine Corps Base, Camp     $15,300,000
                                  Pendleton, California.
                                 Marine Corps Logistics       $5,800,000
                                  Base, Albany, Georgia.
                                 Naval Air Station,           $6,600,000
                                  Whidbey Island,
                                  Washington............
                                 Naval Hospital,              $1,600,000
                                  Twentynine Palms,
                                  California............
                                 Naval Station, Mayport,     $24,000,000
                                  Florida...............
                                 Naval Station, Norfolk,     $21,000,000
                                  Virginia..............
                                 Schriever Air Force          $4,000,000
                                  Base, Colorado........
Washington Headquarters          Pentagon Reservation,       $25,000,000
 Services.                        Virginia..............
                                                         ---------------
                                   Total:...............    $391,308,000
------------------------------------------------------------------------

       (b) Outside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2403(a)(2), the Secretary of Defense may acquire real 
     property and carry out military construction projects for the 
     installations and locations outside the United States, and in 
     the amounts, set forth in the following table:

               Defense Agencies: Outside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Defense Education Activity.....  Aviano Air Base, Italy.      $3,647,000
                                 Geilenkirchen, Germany.      $1,733,000
                                 Heidelberg, Germany....      $3,312,000
                                 Kaiserslautern, Germany      $1,439,000
                                 Kitzingen, Germany.....      $1,394,000
                                 Landstuhl, Germany.....      $1,444,000
                                 Ramstein Air Base,           $2,814,000
                                  Germany...............
                                 Royal Air Force,            $22,132,000
                                  Feltwell, United
                                  Kingdom...............
                                 Vogelweh Annex, Germany      $1,558,000
                                 Wiesbaden Air Base,          $1,378,000
                                  Germany...............
                                 Wuerzburg, Germany.....      $2,684,000
Defense Logistics Agency.......  Andersen Air Force          $20,000,000
                                  Base, Guam............
                                 Camp Casey, Korea......      $5,500,000
                                 Naval Station, Rota,         $3,000,000
                                  Spain.................
                                 Yokota Air Base, Japan.     $13,000,000
Office of Secretary of Defense.  Comalapa Air Base, El       $12,577,000
                                  Salvador..............
TRICARE Management Activity....  Heidelberg, Germany....     $28,000,000
                                 Lajes Field, Azores,         $3,750,000
                                  Portugal..............
                                 Thule, Greenland.......     $10,800,000
                                                         ---------------
                                   Total:...............    $140,162,000
------------------------------------------------------------------------


[[Page 20104]]

     SEC. 2402. ENERGY CONSERVATION PROJECTS.

       Using amounts appropriated pursuant to the authorization of 
     appropriations in section 2405(a)(6), the Secretary of 
     Defense may carry out energy conservation projects under 
     section 2865 of title 10, United States Code, in the amount 
     of $35,600,000.

     SEC. 2403. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of 
     Defense (other than the military departments), in the total 
     amount of $1,492,956,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2401(a), $391,308,000.
       (2) For military construction projects outside the United 
     States authorized by section 2401(b), $140,162,000.
       (3) For unspecified minor construction projects under 
     section 2805 of title 10, United States Code, $24,492,000.
       (4) For contingency construction projects of the Secretary 
     of Defense under section 2804 of title 10, United States 
     Code, $10,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $87,382,000.
       (6) For energy conservation projects authorized by section 
     2402 of this Act, $35,600,000.
       (7) For base closure and realignment activities as 
     authorized by the Defense Base Closure and Realignment Act of 
     1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 
     2687 note), $592,200,000.
       (8) For military family housing functions:
       (A) For improvement of military family housing and 
     facilities, $250,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $43,762,000 of which not more than $37,298,000 
     may be obligated or expended for the leasing of military 
     family housing units worldwide.
       (C) For credit to the Department of Defense Family Housing 
     Improvement Fund established by section 2883(a)(1) of title 
     10, United States Code, $2,000,000.
       (9) For construction of the Ammunition Demilitarization 
     Facility Phase 6, Pine Bluff Arsenal, Arkansas, authorized in 
     section 2401(a) of the Military Construction Authorization 
     Act for Fiscal Year 1995 (division B of Public Law 103-337; 
     108 Stat. 3040), as amended by section 2407 of the Military 
     Construction Authorization Act for Fiscal Year 1996 (division 
     B of Public Law 104-106; 110 Stat. 538), section 2408 of the 
     Military Construction Authorization Act for Fiscal Year 1998 
     (division B of Public Law 105-85; 111 Stat. 1982), section 
     2406 of the Military Construction Authorization Act for 
     Fiscal Year 1999 (division B of Public Law 105-261; 112 Stat. 
     2197), and section 2408 of this Act, $26,000,000.
       (10) For construction of the Ammunition Demilitarization 
     Facility Phase 3, Pueblo Army Depot, Colorado, authorized in 
     section 2401(a) of the Military Construction Authorization 
     Act for Fiscal Year 1997 (division B of Public Law 104-201; 
     110 Stat. 2775), as amended by section 2406 of the Military 
     Construction Authorization Act for Fiscal Year 2000 (division 
     B of Public Law 106-65; 113 Stat. 839), $11,000,000.
       (11) For construction of the Ammunition Demilitarization 
     Facility Phase 4, Newport Army Depot, Indiana, authorized in 
     section 2401(a) of the Military Construction Authorization 
     Act for Fiscal Year 1999 (division B of Public Law 105-261; 
     112 Stat. 2193), $66,000,000.
       (12) For construction of the Ammunition Demilitarization 
     Facility phase 4, Aberdeen Proving Ground, Maryland, 
     authorized in section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 1999 (112 Stat. 2193), as 
     amended by section 2407 of this Act, $66,500,000.
       (13) For construction of the Ammunition Demilitarization 
     Facility Phase 2, Blue Grass Army Depot, Kentucky, authorized 
     in section 2401(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (division B of Public Law 106-65; 
     113 Stat. 835), as amended by section 2406 of this Act, 
     $3,000,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2401 of this Act may not exceed the 
     total amount authorized to be appropriated under paragraphs 
     (1) and (2) of subsection (a).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (8) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs reduced by $1,700,000, which 
     represents savings resulting from adjustments to foreign 
     currency exchange rates for military family housing 
     construction and military family housing support outside the 
     United States.

     SEC. 2404. CANCELLATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECTS.

       (a) Cancellation of Projects at Camp Pendleton, 
     California.--(1) The table in section 2401(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Floyd D. Spence National Defense Authorization Act 
     for Fiscal Year 2001 (as enacted by Public Law 106-398); 114 
     Stat. 1654A-402) is amended--
       (A) by striking the item relating to Marine Corps Base, 
     Camp Pendleton, California, under the heading TRICARE 
     Management Activity; and
       (B) by striking the amount identified as the total in the 
     amount column and inserting ``$242,756,000''.
       (2) Of the amount authorized to be appropriated by section 
     2403(a) of that Act (114 Stat. 1654A-404), and paragraph (1) 
     of that section, $14,150,000 shall be available for purposes 
     relating to construction of the Portsmouth Naval Hospital, 
     Virginia, as authorized by section 2401(a) of the Military 
     Construction Authorization Act for Fiscal Years 1990 and 1991 
     (division B of Public Law 101-189). Such amount is the amount 
     authorized to be appropriated by section 2403(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001 
     for purposes authorized in section 2401(a) of that Act 
     relating to Marine Corps Base, Camp Pendleton, California.
       (b) Conforming Amendments.--Section 2403(a) of that Act is 
     amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``$1,883,902,000'' and inserting ``$1,828,902,000''; and
       (2) in paragraph (3), by striking ``$85,095,000'' and 
     inserting ``$30,095,000''.

     SEC. 2405. CANCELLATION OF AUTHORITY TO CARRY OUT ADDITIONAL 
                   FISCAL YEAR 2001 PROJECT.

       (a) Cancellation of Authority.--Section 2401(c) the 
     Military Construction Authorization Act for Fiscal Year 2001 
     (division B of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398); 114 Stat. 1654A-404) is amended by striking 
     ``$451,135,000'' and inserting ``$30,095,000''.
       (b) Conforming Amendments.--Section 2403 of that Act is 
     amended--
       (1) in subsection (a)--
       (A) in the matter preceding paragraph (1), by striking 
     ``$1,883,902,000'' and inserting ``$1,828,902,000''; and
       (B) in paragraph (3), by striking ``$85,095,000'' and 
     inserting ``$30,095,000''; and
       (2) in subsection (b), by striking ``may not exceed--'' and 
     all that follows through the end of the subsection and 
     inserting ``may not exceed the total amount authorized to be 
     appropriated under paragraphs (1) and (2) of subsection 
     (a).''.

     SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2000 PROJECTS.

       (a) Modification.--The table in section 2401(a) of the 
     Military Construction Authorization Act for Fiscal Year 2000 
     (division B of Public Law 106-65; 113 Stat. 835) is amended--
       (1) in the item under the heading Chemical Demilitarization 
     relating to Blue Grass Army Depot, Kentucky, by striking 
     ``$206,800,000'' and inserting ``$254,030,000'';
       (2) under the heading relating to TRICARE Management 
     Agency--
       (A) in the item relating to Fort Wainwright, Alaska, by 
     striking ``$133,000,000'' and inserting ``$215,000,000''; and
       (B) by striking the item relating to Naval Air Station, 
     Whidbey Island, Washington; and
       (3) by striking the amount identified as the total in the 
     amount column and inserting ``$711,950,000''.
       (b) Conforming Amendments.--Section 2405(b) of that Act 
     (113 Stat. 839) is amended--
       (1) in paragraph (2), by striking ``$115,000,000'' and 
     inserting ``$197,000,000''; and
       (2) in paragraph (3), by striking ``$184,000,000'' and 
     inserting ``$231,230,000''.
       (c) Treatment of Authorization of Appropriations for 
     Canceled Project.--Of the amount authorized to be 
     appropriated by section 2405(a) of that Act (113 Stat. 837), 
     and paragraph (1) of that section, $4,700,000 shall be 
     available for purposes relating to construction of the 
     Portsmouth Naval Hospital, Virginia, as authorized by section 
     2401(a) of the Military Construction Authorization Act for 
     Fiscal Years 1990 and 1991 (division B of Public Law 101-
     189). Such amount is the amount authorized to be appropriated 
     by section 2405(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 for purposes authorized in section 
     2401(a) of that Act relating to Naval Air Station, Whidbey 
     Island, Washington.

     SEC. 2407. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 1999 PROJECT.

       (a) Modification.--The table in section 2401(a) of the 
     Military Construction Authorization Act for Fiscal Year 1999 
     (division B of Public Law 105-261; 112 Stat. 2193) is 
     amended--
       (1) in the item under the agency heading Chemical 
     Demilitarization relating to Aberdeen Proving Ground, 
     Maryland, by striking ``$186,350,000'' in the amount column 
     and inserting ``$223,950,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$727,616,000''.
       (b) Conforming Amendment.--Section 2404(b)(3) of that Act 
     (112 Stat. 2196) is amended by striking ``$158,000,000'' and 
     inserting ``$195,600,000''.

[[Page 20105]]



     SEC. 2408. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 1995 PROJECT.

       The table in section 2401 of the Military Construction 
     Authorization Act for Fiscal Year 1995 (division B of Public 
     Law 103-337; 108 Stat. 3040), as amended by section 2407 of 
     the Military Construction Authorization Act for Fiscal Year 
     1996 (division B of Public Law 104-106; 110 Stat. 539), 
     section 2408 of the Military Construction Authorization Act 
     for Fiscal Year 1998 (division B of Public Law 105-85; 111 
     Stat. 1982), and section 2406 of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2197), is further amended under the 
     agency heading relating to Chemical Weapons and Munitions 
     Destruction in the item relating to Pine Bluff Arsenal, 
     Arkansas, by striking ``$154,400,000'' in the amount column 
     and inserting ``$177,400,000''.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

     SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       The Secretary of Defense may make contributions for the 
     North Atlantic Treaty Organization Security Investment 
     program as provided in section 2806 of title 10, United 
     States Code, in an amount not to exceed the sum of the amount 
     authorized to be appropriated for this purpose in section 
     2502 and the amount collected from the North Atlantic Treaty 
     Organization as a result of construction previously financed 
     by the United States.

     SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

       Funds are hereby authorized to be appropriated for fiscal 
     years beginning after September 30, 2001, for contributions 
     by the Secretary of Defense under section 2806 of title 10, 
     United States Code, for the share of the United States of the 
     cost of projects for the North Atlantic Treaty Organization 
     Security Investment program authorized by section 2501, in 
     the amount of $162,600,000.

            TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

     SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       There are authorized to be appropriated for fiscal years 
     beginning after September 30, 2001, for the costs of 
     acquisition, architectural and engineering services, and 
     construction of facilities for the Guard and Reserve Forces, 
     and for contributions therefor, under chapter 1803 of title 
     10, United States Code (including the cost of acquisition of 
     land for those facilities), the following amounts:
       (1) For the Department of the Army--
       (A) for the Army National Guard of the United States, 
     $365,240,000; and
       (B) for the Army Reserve, $111,404,000.
       (2) For the Department of the Navy, for the Naval and 
     Marine Corps Reserve, $33,641,000.
       (3) For the Department of the Air Force--
       (A) for the Air National Guard of the United States, 
     $227,232,000; and
       (B) for the Air Force Reserve, $53,732,000.

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

     SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED 
                   TO BE SPECIFIED BY LAW.

       (a) Expiration of Authorizations After Three Years.--Except 
     as provided in subsection (b), all authorizations contained 
     in titles XXI through XXVI for military construction 
     projects, land acquisition, family housing projects and 
     facilities, and contributions to the North Atlantic Treaty 
     Organization Security Investment program (and authorizations 
     of appropriations therefor) shall expire on the later of--
       (1) October 1, 2004; or
       (2) the date of the enactment of an Act authorizing funds 
     for military construction for fiscal year 2005.
       (b) Exception.--Subsection (a) shall not apply to 
     authorizations for military construction projects, land 
     acquisition, family housing projects and facilities, and 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program (and authorizations of 
     appropriations therefor) for which appropriated funds have 
     been obligated before the later of--
       (1) October 1, 2004; or
       (2) the date of the enactment of an Act authorizing funds 
     for fiscal year 2005 for military construction projects, land 
     acquisition, family housing projects and facilities, or 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program.

     SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 
                   1999 PROJECTS.

       (a) Extension.--Notwithstanding section 2701 of the 
     Military Construction Authorization Act for Fiscal Year 1999 
     (division B of Public Law 105-261; 112 Stat. 2199), 
     authorizations set forth in the tables in subsection (b), as 
     provided in section 2302 or 2601 of that Act, shall remain in 
     effect until October 1, 2002, or the date of the enactment of 
     an Act authorizing funds for military construction for fiscal 
     year 2003, whichever is later.
       (b) Tables.--The tables referred to in subsection (a) are 
     as follows:

                               Air Force: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Delaware..............................  Dover Air Force Base.....  Replace Family Housing (55         $8,998,000
                                                                    units).
Florida...............................  Patrick Air Force Base...  Replace Family Housing (46         $9,692,000
                                                                    units).
New Mexico............................  Kirtland Air Force Base..  Replace Family Housing (37         $6,400,000
                                                                    units).
Ohio..................................  Wright-Patterson Air       Replace Family Housing (40         $5,600,000
                                         Force Base.                units).
----------------------------------------------------------------------------------------------------------------


                          Army National Guard: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Massachusetts.........................  Westfield................  Army Aviation Support              $9,274,000
                                                                    Facility.
South Carolina........................  Spartanburg..............  Readiness Center.............      $5,260,000
----------------------------------------------------------------------------------------------------------------

     SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 
                   1998 PROJECTS.

       (a) Extension.--Notwithstanding section 2701 of the 
     Military Construction Authorization Act for Fiscal Year 1998 
     (division B of Public Law 105-85; 111 Stat. 1984), 
     authorizations set forth in the tables in subsection (b), as 
     provided in section 2102, 2202, or 2302 of that Act and 
     extended by section 2702 of the Military Construction 
     Authorization Act for Fiscal Year 2001 (division B of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted by Public Law 106-398; 114 Stat. 1654A-
     408)), shall remain in effect until October 1, 2002, or the 
     date of the enactment of an Act authorizing funds for 
     military construction for fiscal year 2003, whichever is 
     later.
       (b) Tables.--The tables referred to in subsection (a) are 
     as follows:

                                  Army: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Maryland..............................  Fort Meade...............  Family Housing Construction        $7,900,000
                                                                    (56 units).
----------------------------------------------------------------------------------------------------------------


                                 Navy: Extension of 1998 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
California............................  Naval Complex, San Diego.  Replacement Family Housing        $13,500,000
                                                                    Construction (94 units).
California............................  Marine Corps Air Station,  Family Housing Construction       $28,881,000
                                         Miramar.                   (166 units).

[[Page 20106]]


Louisiana.............................  Naval Complex, New         Replacement Family Housing        $11,930,000
                                         Orleans.                   Construction (100 units).
Texas.................................  Naval Air Station, Corpus  Family Housing Construction       $22,250,000
                                         Christi.                   (212 units).
----------------------------------------------------------------------------------------------------------------


                               Air Force: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
New Mexico............................  Kirtland Air Force Base..  Replace Family Housing (180       $20,900,000
                                                                    units).
----------------------------------------------------------------------------------------------------------------

     SEC. 2704. EFFECTIVE DATE.

       Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take 
     effect on the later of--
       (1) October 1, 2001; or
       (2) the date of the enactment of this Act.

                    TITLE XXVIII--GENERAL PROVISIONS

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

     SEC. 2801. INCREASE IN THRESHOLDS FOR CERTAIN UNSPECIFIED 
                   MINOR MILITARY CONSTRUCTION PROJECTS.

       (a) Projects Requiring Advance Approval of Secretary 
     Concerned.--Subsection (b)(1) of section 2805 of title 10, 
     United States Code, amended by striking ``$500,000'' and 
     inserting ``$750,000''.
       (b) Projects Using Amounts for Operation and Maintenance.--
     Subsection (c)(1) of that section is amended--
       (1) in subparagraph (A), by striking ``$1,000,000'' and 
     inserting ``$1,500,000''; and
       (2) in subparagraph (B), by striking ``$500,000'' and 
     inserting ``$750,000''.

     SEC. 2802. UNFORESEEN ENVIRONMENTAL HAZARD REMEDIATION AS 
                   BASIS FOR AUTHORIZED COST VARIATIONS FOR 
                   MILITARY CONSTRUCTION AND FAMILY HOUSING 
                   CONSTRUCTION PROJECTS.

       Subsection (d) of section 2853 of title 10, United States 
     Code, is amended to read as follows:
       ``(d) The limitation on cost increases in subsection (a) 
     does not apply to the following:
       ``(1) The settlement of a contractor claim under a 
     contract.
       ``(2) The cost of any environmental hazard remediation 
     required by law, including asbestos removal, radon abatement, 
     and lead-based paint removal or abatement, if such 
     remediation could not have reasonably been anticipated at the 
     time the project was approved originally by Congress.''.

     SEC. 2803. REPEAL OF REQUIREMENT FOR ANNUAL REPORTS TO 
                   CONGRESS ON MILITARY CONSTRUCTION AND MILITARY 
                   FAMILY HOUSING ACTIVITIES.

       (a) Repeal.--Section 2861 of title 10, United States Code 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of subchapter III of chapter 169 of such title is 
     amended by striking the item relating to section 2861.

     SEC. 2804. AUTHORITY AVAILABLE FOR LEASE OF PROPERTY AND 
                   FACILITIES UNDER ALTERNATIVE AUTHORITY FOR 
                   ACQUISITION AND IMPROVEMENT OF MILITARY 
                   HOUSING.

       (a) Lease Authorities Available.--Section 2878 of title 10, 
     United States Code, is 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) Lease Authorities Available.--(1) The Secretary 
     concerned may use any authority or combination of authorities 
     available under section 2667 of this title in leasing 
     property or facilities under this section to the extent such 
     property or facilities, as the case may be, are described by 
     subsection (a)(1) of such section 2667.
       ``(2) The limitation in subsection (b)(1) of section 2667 
     of this title shall not apply with respect to a lease of 
     property or facilities under this section.''.
       (b) Conforming Amendment.--Subsection (e) of that section, 
     as redesignated by subsection (a) of this section, is further 
     amended--
       (1) by striking paragraph (1); and
       (2) by redesignated paragraphs (2), (3), and (4) as 
     paragraphs (1), (2), and (3), respectively.
       (c) Technical Amendment.--Paragraph (3) of subsection (e) 
     of that section, as redesignated by this section, is further 
     amended by striking ``Stewart B. McKinney Homeless Assistance 
     Act'' and inserting ``McKinney-Vento Homeless Assistance 
     Act''.

     SEC. 2805. FUNDS FOR HOUSING ALLOWANCES OF MEMBERS ASSIGNED 
                   TO MILITARY FAMILY HOUSING UNDER ALTERNATIVE 
                   AUTHORITY FOR ACQUISITION AND IMPROVEMENT OF 
                   MILITARY HOUSING.

       (a) In General.--Subchapter IV of chapter 169 of title 10, 
     United States Code, is amended by inserting after section 
     2883 the following new section:

     ``Sec. 2883a. Funds for housing allowances of members of the 
       armed forces assigned to certain military family housing 
       units

       ``To the extent provided in advance in appropriations Acts, 
     the Secretary of Defense may, during the fiscal year in which 
     a contract is awarded for the acquisition or construction of 
     military family housing units under this subchapter that are 
     not to be owned by the United States, transfer from 
     appropriations available for support of military housing for 
     the armed force concerned for that fiscal year to 
     appropriations available for pay and allowances of military 
     personnel of that armed force for that fiscal year amounts 
     equal to any additional amounts payable during that fiscal 
     year to members of that armed force assigned to such housing 
     units as basic allowance for housing under section 403 of 
     title 37 that would not otherwise have been payable to such 
     members if not for assignment to such housing units.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of that subchapter is amended by inserting after 
     the item relating to section 2883 the following new item:

``2883a. Funds for housing allowances of members of the armed forces 
              assigned to certain military family housing units.''.

     SEC. 2806. AMENDMENT OF FEDERAL ACQUISITION REGULATION TO 
                   TREAT FINANCING COSTS AS ALLOWABLE EXPENSES 
                   UNDER CONTRACTS FOR UTILITY SERVICES FROM 
                   UTILITY SYSTEMS CONVEYED UNDER PRIVATIZATION 
                   INITIATIVE.

       (a) Determination of Advisability of Amendment.--Not later 
     than 90 days after the date of the enactment of this Act, the 
     Secretary of Defense shall determine whether or not it is 
     advisable to modify the Federal Acquisition Regulation in 
     order to provide that a contract for utility services from a 
     utility system conveyed under section 2688(a) of title 10, 
     United States Code, may include terms and conditions that 
     recognize financing costs, such as return on equity and 
     interest on debt, as an allowable expense when incurred by 
     the conveyee of the utility system to acquire, operate, 
     renovate, replace, upgrade, repair, and expand the utility 
     system.
       (b) Report.--If as of the date that is 180 days after the 
     date of the enactment of this Act, the Federal Acquisition 
     Regulatory Council has not modified the Federal Acquisition 
     Regulation to provide that a contract described in subsection 
     (a) may include terms and conditions described in that 
     subsection, or otherwise taken action to provide that a 
     contract referred to in that subsection may include terms and 
     conditions described in that subsection, the Secretary shall 
     submit to Congress on that date a report setting forth a 
     justification for the failure to take such actions.

        Subtitle B--Real Property and Facilities Administration

     SEC. 2811. AVAILABILITY OF PROCEEDS OF SALES OF DEPARTMENT OF 
                   DEFENSE PROPERTY FROM CLOSED MILITARY 
                   INSTALLATIONS.

       Section 204(h)(2) of the Federal Property and 
     Administrative Services Act of 1949 (40 U.S.C. 485(h)(2)) is 
     amended by striking subparagraphs (A) and (B) and inserting 
     the following new subparagraphs:
       ``(A) In the case of property located at a military 
     installation that is closed, such amount shall be available 
     for facility maintenance and repair or environmental 
     restoration by the military department that had jurisdiction 
     over such property before the closure of the military 
     installation.
       ``(B) In the case of property located at any other military 
     installation--
       ``(i) 50 percent of such amount shall be available for 
     facility maintenance and repair or environmental restoration 
     at the military installation where such property was located 
     before it was disposed of or transferred; and
       ``(ii) 50 percent of such amount shall be available for 
     facility maintenance and repair and for environmental 
     restoration by the military department that had jurisdiction 
     over such property before it was disposed of or 
     transferred.''.

[[Page 20107]]



     SEC. 2812. PILOT EFFICIENT FACILITIES INITIATIVE.

       (a) Initiative Authorized.--The Secretary of Defense may 
     carry out a pilot program for purposes of determining the 
     potential for increasing the efficiency and effectiveness of 
     the operation of military installations. The pilot program 
     shall be known as the ``Pilot Efficient Facilities 
     Initiative'' (in this section referred to as the 
     ``Initiative'').
       (b) Designation of Participating Facilities.--(1) The 
     Secretary may designate up to two installations of each 
     military department for participation in the Initiative.
       (2) The Secretary shall transmit to the Committees on Armed 
     Services of the Senate and the House of Representatives a 
     written notification of each installation proposed to be 
     included in the Initiative not less than 30 days before 
     taking any action to carry out the Initiative at such 
     installation.
       (3) The Secretary shall include in the notification 
     regarding an installation designated for participation in the 
     Initiative a management plan for the Initiative at the 
     installation. Each management plan for an installation shall 
     include the following:
       (A) A description of--
       (i) each proposed lease of real or personal property 
     located at the installation;
       (ii) each proposed disposal of real or personal property 
     located at the installation;
       (iii) each proposed leaseback of real or personal property 
     leased or disposed of at the installation;
       (iv) each proposed conversion of services at the 
     installation from Federal Government performance to non-
     Federal Government performance, including performance by 
     contract with a State or local government or private entity 
     or performance as consideration for the lease or disposal of 
     property at the installation; and
       (v) each other action proposed to be taken to improve 
     mission effectiveness and reduce the cost of providing 
     quality installation support at the installation.
       (B) With respect to each proposed action described under 
     subparagraph (A)--
       (i) an estimate of the savings expected to be achieved as a 
     result of the action;
       (ii) each regulation not required by statute that is 
     proposed to be waived to implement the action; and
       (iii) each statute or regulation required by statute that 
     is proposed to be waived to implement the action, including--
       (I) an explanation of the reasons for the proposed waiver; 
     and
       (II) a description of the action to be taken to protect the 
     public interests served by the statute or regulation, as the 
     case may be, proposed to be waived in the event of the 
     waiver.
       (C) A description of the steps taken by the Secretary to 
     consult with employees at the facility, and communities in 
     the vicinity of the facility, regarding the Initiative at the 
     installation.
       (D) Measurable criteria for the evaluation of the effects 
     of the actions to be taken pursuant to the Initiative at the 
     installation.
       (c) Waiver of Statutory Requirements.--The Secretary of 
     Defense may waive any statute or regulation required by 
     statute for purposes of carrying out the Initiative only if 
     specific authority for the waiver of such statute or 
     regulation is provided in an Act that is enacted after the 
     date of the enactment of this Act.
       (d) Installation Efficiency Project Fund.--(1) There is 
     established on the books of the Treasury a fund to be known 
     as the ``Installation Efficiency Project Fund'' (in this 
     subsection referred to as the ``Fund'').
       (2) There shall be deposited in the Fund all cash rents, 
     payments, reimbursements, proceeds and other amounts from 
     leases, sales, or other conveyances or transfers, joint 
     activities, and other actions taken under the Initiative.
       (3) To the extent provided in advance in authorization Acts 
     and appropriations Acts, amounts in the Fund shall be 
     available to the Secretary concerned for purposes of managing 
     capital assets and providing support services at 
     installations participating in the Initiative. Amounts in the 
     Fund may be used for such purposes in addition to, or in 
     combination with, other amounts authorized to appropriated 
     for such purposes. Amounts in the Fund shall be available for 
     such purposes for five years.
       (4) Subject to applicable financial management regulations, 
     the Secretary of Defense shall structure the Fund, and 
     provide administrative policies and procedures, in order 
     provide proper control of deposits in and disbursements from 
     the Fund.
       (e) Termination.--The authority of the Secretary to carry 
     out the Initiative shall terminate four years after the date 
     of the enactment of this Act.
       (f) Report.--Not later than three years after the date of 
     the enactment of this Act, the Secretary shall submit to the 
     committees of Congress referred to in subsection (b)(2) a 
     report on the Initiative. The report shall contain a 
     description of the actions taken under the Initiative and 
     include such other information, including recommendations, as 
     the Secretary considers appropriate in light of the 
     Initiative.

     SEC. 2813. DEMONSTRATION PROGRAM ON REDUCTION IN LONG-TERM 
                   FACILITY MAINTENANCE COSTS.

       (a) Authority To Carry Out Program.--Subject to the 
     provisions of this section, the Secretary of the Army may 
     conduct a demonstration program to assess the feasibility and 
     desirability of including facility maintenance requirements 
     in construction contracts for military construction projects. 
     The purpose of the demonstration program is to determine 
     whether or not such requirements facilitate reductions in the 
     long-term facility maintenance costs of the military 
     departments.
       (b) Contracts.--(1) The demonstration program shall cover 
     contracts entered into on or after the date of the enactment 
     of this Act.
       (2) Not more than three contracts entered into in any year 
     may contain requirements referred to in subsection (a) for 
     the purpose of the demonstration program.
       (c) Effective Period of Requirements.--The effective period 
     of a requirement referred to in subsection (a) that is 
     included in a contract for the purpose of the demonstration 
     program shall be any period elected by the Secretary not in 
     excess of five years.
       (d) Reports.--(1) Not later than January 31, 2003, and 
     annually thereafter until the year following the cessation of 
     effectiveness of any requirements referred to in subsection 
     (a) in contracts under the demonstration program, the 
     Secretary shall submit to the congressional defense 
     committees a report on the demonstration program.
       (2) Each report under paragraph (1) shall include, for the 
     year covered by such report, the following:
       (A) A description of the contracts entered into during the 
     year that contain requirements referred to in subsection (a) 
     for the purpose of the demonstration program.
       (B) The experience of the Secretary during the year with 
     respect to any contracts containing requirements referred to 
     in subsection (a) for the purpose of the demonstration 
     program that were in force during the year.
       (3) The final report under this subsection shall include, 
     in addition to the matters required under paragraph (2), an 
     evaluation of the demonstration program and any 
     recommendations, including recommendations for the 
     termination, continuation, or expansion of the demonstration 
     program, that the Secretary considers appropriate.
       (e) Expiration.--The authority under subsection (a) to 
     include requirements referred to in that subsection in 
     contracts under the demonstration program shall expire on 
     September 30, 2006.
       (f) Funding.--Amounts authorized to be appropriated for the 
     Army for a fiscal year for military construction shall be 
     available for the demonstration program under this section in 
     such fiscal year.

                      Subtitle C--Land Conveyances

     SEC. 2821. LAND CONVEYANCE, ENGINEER PROVING GROUND, FORT 
                   BELVOIR, VIRGINIA.

       (a) Conveyance Authorized.--The Secretary of the Army may 
     convey to the Commonwealth of Virginia (in this section 
     referred to as the ``Commonwealth'') all right, title, and 
     interest of United States in and to two parcels of real 
     property, including any improvements thereon, located at the 
     Engineer Proving Ground, Fort Belvoir, Virginia, as follows:
       (1) The parcel, consisting of approximately 170 acres, that 
     is to be used for a portion of the Fairfax County Parkway, 
     including for construction of that portion of the parkway.
       (2) The parcel, consisting of approximately 11.45 acres, 
     that is subject to an easement previously granted to the 
     Commonwealth as Army easement DACA 31-3-96-440 for the 
     construction of a portion of Interstate Highway 95.
       (b) Consideration.--As consideration for the conveyance 
     under subsection (a), the Commonwealth shall--
       (1) design and construct, at its expense and for public 
     benefit, the portion of the Fairfax County Parkway through 
     the Engineer Proving Ground;
       (2) provide a conceptual design for eventual incorporation 
     and construction by others of access into the Engineer 
     Proving Ground at the Rolling Road Interchange from Fairfax 
     County Parkway as specified in Virginia Department of 
     Transportation Project #R000-029-249, C514;
       (3) provide such easements or rights of way for utilities 
     under or across the Fairfax County Parkway as the Secretary 
     considers appropriate for the optimum development of the 
     Engineer Proving Ground; and
       (4) pay the United States an amount, jointly determined by 
     the Secretary and the Commonwealth, appropriate to cover the 
     costs of constructing a replacement building for building 
     5089 located on the Engineer Proving Ground.
       (c) Responsibility for Environmental Cleanup.--The 
     Secretary shall retain liability under the Comprehensive 
     Environmental Response, Compensation, and Liability Act of 
     1980 (42 U.S.C. 9601 et seq.), and any other applicable 
     environmental statute or regulation, for any environmental 
     hazard on the property conveyed under subsection (a) as of 
     the date of the conveyance under that subsection.
       (d) Acceptance and Disposition of Funds.--(1) The Secretary 
     of the Army may accept the funds paid by the Commonwealth as 
     consideration under subsection (b)(4) and

[[Page 20108]]

     shall credit the accepted funds to the appropriation or 
     appropriations that are appropriate for paying the costs of 
     the replacement of Building 5089, located on the Engineer 
     Proving Ground, Fort Belvoir, Virginia, consistent with 
     paragraphs (2) and (3) of this subsection.
       (2) Funds accepted under paragraph (1) shall be available, 
     until expended, for the replacement of Building 5089.
       (3) Funds appropriated pursuant to the authorization of 
     appropriations in section 301(1), and funds appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(4), shall be available in accordance with section 
     2805 of title 10, United States Code, for the excess, if any, 
     of the cost of the replacement of Building 5089 over the 
     amount available for such project under paragraph (2).
       (e) Description of Property.--(1) The exact acreage and 
     legal description of the real property to be conveyed under 
     subsection (a)(1) shall be determined by a survey 
     satisfactory to the Secretary. The cost of the survey shall 
     be borne by the Commonwealth.
       (2) The exact acreage and legal description of the real 
     property to be conveyed under subsection (a)(2) are as set 
     forth in Army easement DACA 31-3-96-440.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 2822. MODIFICATION OF AUTHORITY FOR CONVEYANCE OF NAVAL 
                   COMPUTER AND TELECOMMUNICATIONS STATION, 
                   CUTLER, MAINE.

       Section 2853(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (division B of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398); 114 Stat. 1654A-430) is 
     amended by inserting ``any or'' before ``all right''.

     SEC. 2823. LAND TRANSFER AND CONVEYANCE, NAVAL SECURITY GROUP 
                   ACTIVITY, WINTER HARBOR, MAINE.

       (a) Transfer of Administrative Jurisdiction.--(1) The 
     Secretary of the Navy may transfer to the Secretary of the 
     Interior administrative jurisdiction of a parcel of real 
     property, including any improvements thereon and 
     appurtenances thereto, consisting of approximately 26 acres 
     as generally depicted as Tract 15-116 on the map entitled 
     ``Acadia National Park Schoodic Point Area'', numbered 123/
     80,418 and dated May 2001. The map shall be on file and 
     available for inspection in the appropriate offices of the 
     National Park Service.
       (2) The transfer authorized by this subsection shall occur, 
     if at all, concurrently with the reversion of administrative 
     jurisdiction of a parcel of real property consisting of 
     approximately 71 acres, as depicted as Tract 15-115 on the 
     map referred to in paragraph (1), from the Secretary of the 
     Navy to the Secretary of the Interior as authorized by Public 
     Law 80-260 (61 Stat. 519) and to be executed on or about June 
     30, 2002.
       (b) Conveyance Authorized.--The Secretary of the Navy may 
     convey, without consideration, to the State of Maine, any 
     political subdivision of the State of Maine, or any tax-
     supported agency in the State of Maine, all right, title, and 
     interest of the United States in and to any of the parcels of 
     real property, including any improvements thereon and 
     appurtenances thereto, consisting of approximately 485 acres 
     and comprising the former facilities of the Naval Security 
     Group Activity, Winter Harbor, Maine, located in Hancock 
     County, Maine, less the real property described in subsection 
     (a)(1), for the purpose of economic redevelopment.
       (c) Transfer of Personal Property.--The Secretary of the 
     Navy may transfer, without consideration, to the Secretary of 
     the Interior in the case of the real property transferred 
     under subsection (a), or to any recipient of such real 
     property in the case of real property conveyed under 
     subsection (b), any or all personal property associated with 
     such real property so transferred or conveyed, including any 
     personal property required to continue the maintenance of the 
     infrastructure of such real property (including the 
     generators for an uninterrupted power supply in building 154 
     at the Corea site).
       (d) Maintenance of Property Pending Conveyance.--(1) The 
     Secretary of the Navy shall maintain any real property, 
     including any improvements thereon, appurtenances thereto, 
     and supporting infrastructure, to be conveyed under 
     subsection (b) in accordance with the protection and 
     maintenance standards specified in section 101-47.4913 of 
     title 41, Code of Federal Regulations, until the earlier of--
       (A) the date of the conveyance of such real property under 
     subsection (b); or
       (B) September 30, 2003.
       (2) The requirement in paragraph (1) shall not be construed 
     as authority to improve the real property, improvements, and 
     infrastructure referred to in that paragraph so as to bring 
     such real property, improvements, or infrastructure into 
     compliance with any zoning or property maintenance codes or 
     to repair any damage to such improvements and infrastructure 
     through an Act of God.
       (e) Interim Lease.--(1) Until such time as any parcel of 
     real property to be conveyed under subsection (b) is conveyed 
     by deed under that subsection, the Secretary of the Navy may 
     lease such parcel to any person or entity determined by the 
     Secretary to be an appropriate lessee of such parcel.
       (2) The amount of rent for a lease under paragraph (1) 
     shall be the amount determined by the Secretary to be 
     appropriate, and may be an amount less than the fair market 
     value of the lease.
       (3) Notwithstanding any other provision of law, the 
     Secretary shall credit any amount received for a lease of 
     real property under paragraph (1) to the appropriation or 
     account providing funds for the operation and maintenance of 
     such property or for the procurement of utility services for 
     such property. Amounts so credited shall be merged with funds 
     in the appropriation or account to which credited, and shall 
     be available for the same purposes, and subject to the same 
     conditions and limitations, as the funds with which merged.
       (f) Reimbursement for Environmental and Other 
     Assessments.--(1) The Secretary of the Navy may require each 
     recipient of real property conveyed under subsection (b) to 
     reimburse the Secretary for the costs incurred by the 
     Secretary for any environmental assessment, study, or 
     analysis carried out by the Secretary with respect to such 
     property before completing the conveyance under that 
     subsection.
       (2) The amount of any reimbursement required under 
     paragraph (1) shall be determined by the Secretary, but may 
     not exceed the cost of the assessment, study, or analysis for 
     which reimbursement is required.
       (3) Section 2695(c) of title 10, United States Code, shall 
     apply to any amount received by the Secretary under this 
     subsection.
       (g) Description of Property.--The exact acreage and legal 
     description of the real property transferred under subsection 
     (a), and each parcel of real property conveyed under 
     subsection (b), shall be determined by a survey satisfactory 
     to the Secretary of the Navy. The cost of any survey under 
     the preceding sentence for real property conveyed under 
     subsection (b) shall be borne by the recipient of the real 
     property.
       (h) Additional Terms and Conditions.--The Secretary of the 
     Navy may require such additional terms and conditions in 
     connection with any conveyance under subsection (b), and any 
     lease under subsection (e), as the Secretary considers 
     appropriate to protect the interests of the United States.

     SEC. 2824. CONVEYANCE OF SEGMENT OF LORING PETROLEUM 
                   PIPELINE, MAINE, AND RELATED EASEMENTS.

       (a) Conveyance Authorized.--The Secretary of the Air Force 
     may convey, without consideration, to the Loring Development 
     Authority, Maine (in this section referred to as the 
     ``Authority''), all right, title, and interest of the United 
     States in and to the segment of the Loring Petroleum (POL) 
     Pipeline, Maine, consisting of approximately 27 miles in 
     length and running between the Searsport terminal and Bangor 
     Air National Guard Base.
       (b) Related Easements.--As part of the conveyance 
     authorized by subsection (a), the Secretary may convey to the 
     Authority, without consideration, all right, title, and 
     interest of the United States in and to any easements or 
     rights-of-way necessary for the operation or maintenance of 
     the segment of pipeline conveyed under that subsection.
       (c) Reimbursement for Costs of Conveyance.--(1) The 
     Authority shall reimburse the Secretary for the costs 
     incurred by the Secretary for any environmental assessment, 
     study, or analysis, or for any other expense incurred by the 
     Secretary, for a conveyance authorized by this section.
       (2) The amount of the reimbursement under paragraph (1) for 
     an activity shall be determined by the Secretary, but may not 
     exceed the cost of the activity.
       (3) Section 2695(c) of title 10, United States Code, shall 
     apply to any amount received by the Secretary under this 
     subsection.
       (d) Description of Property.--The exact acreage and legal 
     description of the segment of pipeline conveyed under 
     subsection (a), and of any easements or rights-of-way 
     conveyed under subsection (b), shall be determined by surveys 
     and other means satisfactory to the Secretary. The cost of 
     any survey or other services performed at the direction of 
     the Secretary under the preceding sentence shall be borne by 
     the Authority.
       (e) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyances under this section as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 2825. LAND CONVEYANCE, PETROLEUM TERMINAL SERVING FORMER 
                   LORING AIR FORCE BASE AND BANGOR AIR NATIONAL 
                   GUARD BASE, MAINE.

       (a) Conveyance Authorized.--(1) The Secretary of the Air 
     Force may convey to the Maine Port Authority of the State of 
     Maine (in this section referred to as the ``Authority'') all 
     right, title, and interest of the United States in and to the 
     Petroleum Terminal (POL) at Mack Point, Searsport, Maine, 
     which served former Loring Air Force Base and Bangor Air 
     National Guard Base, Maine.
       (2) The conveyance under paragraph (1) may include the 
     following:
       (A) A parcel of real property, including any improvements 
     thereon, consisting of approximately 20 acres and comprising 
     a portion of the Petroleum Terminal.

[[Page 20109]]

       (B) Any additional fuel tanks, other improvements, and 
     equipment located on the 43-acre parcel of property adjacent 
     to the property described in subparagraph (A), and currently 
     leased by the Secretary, which constitutes the remaining 
     portion of the Petroleum Terminal.
       (b) Condition of Conveyance.--The Secretary may not make 
     the conveyance under subsection (a) unless the Authority 
     agrees to utilize the property to be conveyed under that 
     subsection solely for economic development purposes.
       (c) Consideration.--(1) As consideration for the conveyance 
     under subsection (a), the Authority shall lease to the Air 
     Force approximately one acre of the real property conveyed 
     under that subsection, together with any improvements 
     thereon, that constitutes the Aerospace Fuels Laboratory 
     (also known as Building 14).
       (2) The real property leased under this subsection shall 
     include the parking lot, outbuildings, and other improvements 
     associated with the Aerospace Fuels Laboratory and such 
     easements of ingress and egress to the real property, 
     including easements for utilities, as are required for the 
     operations of the Aerospace Fuels Laboratory.
       (3) As part of the lease of real property under this 
     subsection, the Authority shall maintain around the real 
     property for the term of the lease a zone, not less than 75 
     feet in depth, free of improvements or encumbrances.
       (4) The lease under this subsection shall be without cost 
     to the United States.
       (5) The term of the lease under this subsection may not 
     exceed 25 years. If operations at the Aerospace Fuels 
     Laboratory cease before the expiration of the term of the 
     lease otherwise provided for under this subsection, the lease 
     shall be deemed to have expired upon the cessation of such 
     operations.
       (d) Conveyance Contingent on Expiration of Lease of Fuel 
     Tanks.--The Secretary may not make the conveyance under 
     subsection (a) until the expiration of the lease referred to 
     in paragraph (2)(B) of that subsection.
       (e) Environmental Remediation.--The Secretary may not make 
     the conveyance under subsection (a) until the completion of 
     any environmental remediation required by law with respect to 
     the property to be conveyed under that subsection.
       (f) Reimbursement for Costs of Conveyance.--(1) The 
     Authority shall reimburse the Secretary for the costs 
     incurred by the Secretary for any environmental assessment, 
     study, or analysis, or for any other expense incurred by the 
     Secretary, for the conveyance authorized by subsection (a).
       (2) The amount of the reimbursement under paragraph (1) for 
     an activity shall be determined by the Secretary, but may not 
     exceed the cost of the activity.
       (3) Section 2695(c) of title 10, United States Code, shall 
     apply to any amount received by the Secretary under this 
     subsection.
       (g) Description of Property.--The exact acreage and legal 
     description of the real property conveyed under subsection 
     (a) shall be determined by a survey satisfactory to the 
     Secretary. The cost of the survey shall be borne by the 
     Authority.
       (h) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a), and the lease under 
     subsection (c), as the Secretary considers appropriate to 
     protect the interests of the United States.

     SEC. 2826. LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL RESERVE 
                   PLANT, TOLEDO, OHIO.

       (a) Conveyance Authorized.--(1) The Secretary of the Navy 
     may convey, without consideration, to the Toledo-Lucas County 
     Port Authority, Ohio (in this section referred to as the 
     ``Port Authority''), any or all right, title, and interest of 
     the United States in and to a parcel of real property, 
     including any improvements thereon, consisting of 
     approximately 29 acres and comprising the Naval Weapons 
     Industrial Reserve Plant, Toledo, Ohio.
       (2) The Secretary may include in the conveyance under 
     paragraph (1) such facilities, equipment, fixtures, and other 
     personal property located or based on the parcel conveyed 
     under that paragraph, or used in connection with the parcel, 
     as the Secretary determines to be excess to the Navy.
       (b) Lease Authority.--Until such time as the real property 
     described in subsection (a)(1) is conveyed by deed, the 
     Secretary may lease such real property, and any personal 
     property described in subsection (a)(2), to the Port 
     Authority in exchange for such security, fire protection, and 
     maintenance services as the Secretary considers appropriate.
       (c) Conditions of Conveyance.--The conveyance under 
     subsection (a), and any lease under subsection (b), shall be 
     subject to the conditions that the Port Authority--
       (1) accept the real and personal property concerned in 
     their condition at the time of the conveyance or lease, as 
     the case may be; and
       (2) except as provided in subsection (d), use the real and 
     personal property concerned, whether directly or through an 
     agreement with a public or private entity, for economic 
     development or such other public purposes as the Port 
     Authority considers appropriate.
       (d) Subsequent Use.--(1) The Port Authority may, following 
     entry into a lease under subsection (b) for real property, 
     personal property, or both, sublease such property for a 
     purpose set forth in subsection (c)(2) if the Secretary 
     approves the sublease of such property for that purpose.
       (2) The Port Authority may, following the conveyance of 
     real property under subsection (a), lease or reconvey such 
     real property, and any personal property conveyed with such 
     real property under that subsection, for a purpose set forth 
     in subsection (c)(2).
       (e) Reimbursement for Costs of Conveyance and Lease.--(1) 
     The Port Authority shall reimburse the Secretary for the 
     costs incurred by the Secretary for any environmental 
     assessment, study, or analysis, or for any other expense 
     incurred by the Secretary, for the conveyance authorized by 
     subsection (a) or any lease authorized by subsection (b).
       (2) The amount of the reimbursement under paragraph (1) for 
     an activity shall be determined by the Secretary, but may not 
     exceed the cost of the activity.
       (3) Section 2695(c) of title 10, United States Code, shall 
     apply to any amount received by the Secretary under this 
     subsection.
       (f) Description of Property.--The exact acreage and legal 
     of the real property to be conveyed under subsection (a)(1), 
     and an appropriate inventory or other description of the 
     personal property to be conveyed under subsection (a)(2), 
     shall be determined by a survey and other means satisfactory 
     to the Secretary.
       (g) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a)(1), and any lease 
     under subsection (b), as the Secretary considers appropriate 
     to protect the interests of the United States.

     SEC. 2827. MODIFICATION OF LAND CONVEYANCE, MUKILTEO TANK 
                   FARM, EVERETT, WASHINGTON.

       (a) Modification.--Section 2866 of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Floyd D. Spence National Defense Authorization Act 
     for Fiscal Year 2001 (as enacted by Public Law 106-398); 114 
     Stat. 436) is amended--
       (1) in subsection (a), by striking ``22 acres'' and 
     inserting ``20.9 acres'';
       (2) by redesignating subsections (b), (c), (d), and (e) as 
     subsections (c), (d), (e), and (f), respectively; and
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Transfer of Jurisdiction.--(1) At the same time the 
     Secretary of the Air Force makes the conveyance authorized by 
     subsection (a), the Secretary shall transfer to the Secretary 
     of Commerce administrative jurisdiction over a parcel of real 
     property, including improvements thereon, consisting of 
     approximately 1.1 acres located at the Mukilteo Tank Farm and 
     including the National Marine Fisheries Service Mukilteo 
     Research Center facility.
       ``(2) The Secretary of Commerce may, with the consent of 
     the Port, exchange with the Port all or any portion of the 
     property received under paragraph (1) for a parcel of real 
     property of equal area at the Mukilteo Tank Farm that is 
     owned by the Port.
       ``(3) The Secretary of Commerce shall administer the 
     property under the jurisdiction of the Secretary under this 
     subsection through the Administrator of the National Oceanic 
     and Atmospheric Administration as part of the Administration.
       ``(4) The Administrator shall use the property under the 
     jurisdiction of the Secretary of Commerce under this 
     subsection as the location of a research facility, and may 
     construct a new facility on the property for such research 
     purposes as the Administrator considers appropriate.
       ``(5)(A) If after the 12-year period beginning on the date 
     of the enactment of the National Defense Authorization Act 
     for Fiscal Year 2002, the Administrator is not using any 
     portion of the real property under the jurisdiction of the 
     Secretary of Commerce under this subsection, the 
     Administrator shall convey, without consideration, to the 
     Port all right, title, and interest in and to such portion of 
     the real property, including improvements thereon.
       ``(B) The Port shall use any real property conveyed to the 
     Port under this paragraph for the purpose specified in 
     subsection (a).''.
       (b) Conforming Amendment.--The section heading for that 
     section is amended to read as follows:

     ``SEC. 2866. LAND CONVEYANCE AND TRANSFER, MUKILTEO TANK 
                   FARM, EVERETT, WASHINGTON.''.

     SEC. 2828. LAND CONVEYANCES, CHARLESTON AIR FORCE BASE, SOUTH 
                   CAROLINA.

       (a) Conveyance to State of South Carolina Authorized.--The 
     Secretary of the Air Force may convey, without consideration, 
     to the State of South Carolina (in this section referred to 
     as the ``State''), all right, title, and interest of the 
     United States in and to a portion (as determined under 
     subsection (c)) of the real property, including any 
     improvements thereon, consisting of approximately 24 acres at 
     Charleston Air Force Base, South Carolina, and comprising the 
     Air Force Family Housing Annex. The purpose of the conveyance 
     is to facilitate the Remount Road Project.
       (b) Conveyance to City of North Charleston Authorized.--The 
     Secretary may convey, without consideration, to the

[[Page 20110]]

     City of North Charleston, South Carolina (in this section 
     referred to as the ``City''), all right, title, and interest 
     of the United States in and to a portion (as determined under 
     subsection (c)) of the real property, including any 
     improvements thereon, referred to in subsection (a). The 
     purpose of the conveyance is to permit the use of the 
     property by the City for municipal purposes.
       (c) Determination of Portions of Property To Be Conveyed.--
     (1) Subject to paragraph (2), the Secretary, the State, and 
     the City shall jointly determine the portion of the property 
     referred to in subsection (a) that is to be conveyed to the 
     State under subsection (a) and the portion of the property 
     that is to be conveyed to the City under subsection (b).
       (2) In determining under paragraph (1) the portions of 
     property to be conveyed under this section, the portion to be 
     conveyed to the State shall be the minimum portion of the 
     property required by the State for the purpose specified in 
     subsection (a), and the portion to be conveyed to the City 
     shall be the balance of the property.
       (d) Limitation on Conveyances.--The Secretary may not carry 
     out the conveyance of property authorized by subsection (a) 
     or subsection (b) until the completion of an assessment of 
     environmental contamination of the property authorized to be 
     conveyed by such subsection for purposes of determining 
     responsibility for environmental remediation of such 
     property.
       (e) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsections (a) and (b) shall be determined by surveys 
     satisfactory to the Secretary. The cost of the survey for the 
     property to be conveyed under subsection (a) shall be borne 
     by the State, and the cost of the survey for the property to 
     be conveyed under subsection (b) shall be borne by the City.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyances under subsections (a) and (b) as the 
     Secretary considers appropriate to protect the interests of 
     the United States.

     SEC. 2829. LAND CONVEYANCE, FORT DES MOINES, IOWA.

       (a) Conveyance Authorized.--The Secretary of the Army may 
     convey, without consideration, to Fort Des Moines Memorial 
     Park, Inc., a nonprofit organization (in this section 
     referred to as the ``Memorial Park''), all right, title, and 
     interest of the United States in and to a parcel of real 
     property, including improvements thereon, consisting of 
     approximately 4.6 acres located at Fort Des Moines United 
     States Army Reserve Center, Des Moines, Iowa, for the purpose 
     of the establishment of the Fort Des Moines Memorial Park and 
     Education Center.
       (b) Condition of Conveyance.--The conveyance under 
     subsection (a) shall be subject to the condition that the 
     Memorial Park use the property for museum and park purposes.
       (c) Reversion.--If the Secretary determines at any time 
     that the real property conveyed under subsection (a) is not 
     being used for museum and park purposes, all right, title, 
     and interest in and to the real property, including any 
     improvements thereon, shall revert to the United States, and 
     the United States shall have the right of immediate entry 
     thereon.
       (d) Reimbursement for Costs of Conveyance.--(1) The 
     Memorial Park shall reimburse the Secretary for the costs 
     incurred by the Secretary for any environmental assessment, 
     study, or analysis, or for any other expenses incurred by the 
     Secretary, for the conveyance authorized in (a).
       (2) The amount of the reimbursement under paragraph (1) for 
     any activity shall be determined by the Secretary, but may 
     not exceed the cost of such activity.
       (3) Section 2695(c) of title 10 United States Code, shall 
     apply to any amount received under this subsection.
       (e) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) shall be determined by survey satisfactory to 
     the Secretary. The cost of the survey shall be borne by the 
     Memorial Park.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 2830. LAND CONVEYANCES, CERTAIN FORMER MINUTEMAN III 
                   ICBM FACILITIES IN NORTH DAKOTA.

       (a) Conveyances Required.--(1) The Secretary of the Air 
     Force may convey, without consideration, to the State 
     Historical Society of North Dakota (in this section referred 
     to as the ``Historical Society'') all right, title, and 
     interest of the United States in and to parcels of real 
     property, together with any improvements thereon, of the 
     Minuteman III ICBM facilities of the former 321st Missile 
     Group at Grand Forks Air Force Base, North Dakota, as 
     follows:
       (A) The parcel consisting of the launch facility designated 
     ``November-33''.
       (B) The parcel consisting of the missile alert facility and 
     launch control center designated ``Oscar-O''.
       (2) The purpose of the conveyance of the facilities is to 
     provide for the establishment of an historical site allowing 
     for the preservation, protection, and interpretation of the 
     facilities.
       (b) Consultation.--The Secretary shall consult with the 
     Secretary of State and the Secretary of Defense in order to 
     ensure that the conveyances required by subsection (a) are 
     carried out in accordance with applicable treaties.
       (c) Historic Site.--The Secretary may, in cooperation with 
     the Historical Society, enter into one or more cooperative 
     agreements with appropriate public or private entities or 
     individuals in order to provide for the establishment and 
     maintenance of the historic site referred to in subsection 
     (a)(2).

     SEC. 2831. LAND ACQUISITION, PERQUIMANS COUNTY, NORTH 
                   CAROLINA.

       The Secretary of the Navy may, using funds previously 
     appropriated for such purpose, acquire any and all right, 
     title, and interest in and to a parcel of real property, 
     including improvements thereon, consisting of approximately 
     240 acres, or any portion thereof, in Perquimans County, 
     North Carolina, for purposes of including such parcel in the 
     Harvey Point Defense Testing Activity, Hertford, North 
     Carolina.

     SEC. 2832. LAND CONVEYANCE, ARMY RESERVE CENTER, KEWAUNEE, 
                   WISCONSIN.

       (a) Conveyance Required.--The Administrator of General 
     Services may convey, without consideration, to the City of 
     Kewaunee, Wisconsin (in this section referred to as the 
     ``City''), all right, title, and interest of the United 
     States in and to a parcel of Federal real property, including 
     improvements thereon, that is located at 401 5th Street in 
     Kewaunee, Wisconsin, and contains an excess Army Reserve 
     Center. After such conveyance, the property may be used and 
     occupied only by the City, or by another local or State 
     government entity approved by the City.
       (b) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) shall be determined by a survey satisfactory 
     to the Administrator. The cost of the survey shall be borne 
     by the City.
       (c) Reversionary Interest.--During the 20-year period 
     beginning on the date the Administrator makes the conveyance 
     under subsection (a), if the Administrator determines that 
     the conveyed property is not being used and occupied in 
     accordance with such subsection, all right, title, and 
     interest in and to the property, including any improvements 
     thereon, shall revert to the United States. Upon reversion, 
     the United States shall immediately proceed to a public sale 
     of the property.
       (d) Additional Terms and Conditions.--(1) The property 
     shall not be used for commercial purposes.
       (2) The Administrator may require such additional terms and 
     conditions in connection with the conveyance under subsection 
     (a) as the Administrator considers appropriate to protect the 
     interests of the United States.

     SEC. 2833. TREATMENT OF AMOUNTS RECEIVED.

       Any net proceeds received by the United States as payment 
     under subsection (c) of section 2832 shall be deposited into 
     the Land and Water Conservation Fund.

                       Subtitle D--Other Matters

     SEC. 2841. DEVELOPMENT OF UNITED STATES ARMY HERITAGE AND 
                   EDUCATION CENTER AT CARLISLE BARRACKS, 
                   PENNSYLVANIA.

       (a) Authority To Enter into Agreement.--(1) The Secretary 
     of the Army may enter into an agreement with the Military 
     Heritage Foundation, a not-for-profit organization, for the 
     design, construction, and operation of a facility for the 
     United States Army Heritage and Education Center at Carlisle 
     Barracks, Pennsylvania.
       (2) The facility referred to in paragraph (1) is to be used 
     for curation and storage of artifacts, research facilities, 
     classrooms, and offices, and for education and other 
     activities, agreed to by the Secretary, relating to the 
     heritage of the Army. The facility may also be used to 
     support such education and training as the Secretary 
     considers appropriate.
       (b) Design and Construction.--The Secretary may, at the 
     election of the Secretary--
       (1) accept funds from the Military Heritage Foundation for 
     the design and construction of the facility referred to in 
     subsection (a); or
       (2) permit the Military Heritage Foundation to contract for 
     the design and construction of the facility.
       (c) Acceptance of Facility.--(1) Upon satisfactory 
     completion, as determined by the Secretary, of the facility 
     referred to in subsection (a), and upon the satisfaction of 
     any and all financial obligations incident thereto by the 
     Military Heritage Foundation, the Secretary shall accept the 
     facility from the Military Heritage Foundation, and all 
     right, title, and interest in and to the facility shall vest 
     in the United States.
       (2) Upon becoming property of the United States, the 
     facility shall be under the jurisdiction of the Secretary.
       (d) Use of Certain Gifts.--(1) Under regulations prescribed 
     by the Secretary, the Commandant of the Army War College may, 
     without regard to section 2601 of title 10, United States 
     Code, accept, hold, administer, invest, and spend any gift, 
     devise, or bequest

[[Page 20111]]

     of personnel property of a value of $250,000 or less made to 
     the United States if such gift, devise, or bequest is for the 
     benefit of the United States Army Heritage and Education 
     Center.
       (2) The Secretary may pay or authorize the payment of any 
     reasonable and necessary expense in connection with the 
     conveyance or transfer of a gift, devise, or bequest under 
     this subsection.
       (e) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the agreement authorized to be entered into by 
     subsection (a) as the Secretary considers appropriate to 
     protect the interest of the United States.

     SEC. 2842. REPEAL OF LIMITATION ON COST OF RENOVATION OF 
                   PENTAGON RESERVATION.

       Section 2864 of the Military Construction Authorization Act 
     for Fiscal Year 1997 (division B of Public Law 104-201; 110 
     Stat. 2806) is repealed.

     SEC. 2843. NAMING OF PATRICIA C. LAMAR ARMY NATIONAL GUARD 
                   READINESS CENTER, OXFORD, MISSISSIPPI.

       (a) Designation.--The Oxford Army National Guard Readiness 
     Center, Oxford, Mississippi, shall be known and designated as 
     the ``Patricia C. Lamar Army National Guard Readiness 
     Center''.
       (b) Reference to Readiness Center.--Any reference to the 
     Oxford Army National Guard Readiness Center, Oxford, 
     Mississippi, in any law, regulation, map, document, record, 
     or other paper of the United States shall be considered to be 
     a reference to the Patricia C. Lamar Army National Guard 
     Readiness Center.

     SEC. 2844. CONSTRUCTION OF PARKING GARAGE AT FORT DERUSSY, 
                   HAWAII.

       (a) Authority To Enter Into Agreement for Construction.--
     The Secretary of the Army may authorize the Army Morale, 
     Welfare, and Recreation Fund, a non-appropriated fund 
     instrumentality of the Department of Defense (in this section 
     referred to as the ``Fund''), to enter into an agreement with 
     a governmental, quasi-governmental, or commercial entity for 
     the construction of a parking garage at Fort DeRussy, Hawaii.
       (b) Form of Agreement.--The agreement under subsection (a) 
     may take the form of a non-appropriated fund contract, 
     conditional gift, or other agreement determined by the Fund 
     to be appropriate for purposes of construction of the parking 
     garage.
       (c) Use of Parking Garage by Public.--The agreement under 
     subsection (a) may permit the use by the general public of 
     the parking garage constructed under the agreement if the 
     Fund determines that use of the parking garage by the general 
     public will be advantageous to the Fund.
       (d) Treatment of Revenues of Fund Parking Garages at Fort 
     DeRussy.--Notwithstanding any other provision of law, amounts 
     received by the Fund by reason of operation of parking 
     garages at Fort DeRussy, including the parking garage 
     constructed under the agreement under subsection (a), shall 
     be treated as non-appropriated funds, and shall accrue to the 
     benefit of the Fund or its component funds, including the 
     Armed Forces Recreation Center-Hawaii (Hale Koa Hotel).

     SEC. 2845. ACCEPTANCE OF CONTRIBUTIONS TO REPAIR OR 
                   ESTABLISHMENT MEMORIAL AT PENTAGON RESERVATION.

       (a) Authority To Accept Contributions.--The Secretary of 
     Defense may accept contributions made for the purpose of 
     establishing a memorial or assisting in the repair of the 
     damage caused to the Pentagon Reservation by the terrorist 
     attack that occurred on September 11, 2001.
       (b) Deposit of Contributions.--The Secretary shall deposit 
     contributions accepted under subsection (a) in the Pentagon 
     Reservation Maintenance Revolving Fund established by section 
     2674(e) of title 10, United States Code.

            TITLE XXIX--DEFENSE BASE CLOSURE AND REALIGNMENT

           Subtitle A--Modifications of 1990 Base Closure Law

     SEC. 2901. AUTHORITY TO CARRY OUT BASE CLOSURE ROUND IN 2003.

       (a) Commission Matters.--
       (1) Appointment.--Section 2902(c)(1) of the Defense Base 
     Closure and Realignment Act of 1990 (part A of title XXIX of 
     Public Law 101-510; 10 U.S.C. 2687 note) is amended--
       (A) in subparagraph (B)--
       (i) by striking ``and'' at the end of clause (ii);
       (ii) by striking the period at the end of clause (iii) and 
     inserting ``; and''; and
       (iii) by adding at the end the following new clause:
       ``(iv) by no later than January 24, 2003, in the case of 
     members of the Commission whose terms will expire at the end 
     of the first session of the 108th Congress.''; and
       (B) in subparagraph (C), by striking ``or for 1995 in 
     clause (iii) of such subparagraph'' and inserting ``, for 
     1995 in clause (iii) of that subparagraph, or for 2003 in 
     clause (iv) of that subparagraph''.
       (2) Meetings.--Section 2902(e) of that Act is amended by 
     striking ``and 1995'' and inserting ``1995, and 2003''.
       (3) Funding.--Section 2902(k) of that Act is amended by 
     adding at the end the following new paragraph (4):
       ``(4) If no funds are appropriated to the Commission by the 
     end of the second session of the 107th Congress for the 
     activities of the Commission in 2003, the Secretary may 
     transfer to the Commission for purposes of its activities 
     under this part in that year such funds as the Commission may 
     require to carry out such activities. The Secretary may 
     transfer funds under the preceding sentence from any funds 
     available to the Secretary. Funds so transferred shall remain 
     available to the Commission for such purposes until 
     expended.''.
       (4) Termination.--Section 2902(l) of that Act is amended by 
     striking ``December 31, 1995'' and inserting ``December 31, 
     2003''.
       (b) Procedures.--
       (1) Force-structure plan.--Section 2903(a) of that Act is 
     amended--
       (A) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively;
       (B) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2)(A) As part of the budget justification documents 
     submitted to Congress in support of the budget for the 
     Department of Defense for fiscal year 2003, the Secretary 
     shall include a force-structure plan for the Armed Forces 
     based on the assessment of the Secretary in the quadrennial 
     defense review under section 118 of title 10, United States 
     Code, in 2001 of the probable threats to the national 
     security during the twenty-year period beginning with fiscal 
     year 2003.
       ``(B) The Secretary may revise the force-structure plan 
     submitted under subparagraph (A). If the Secretary revises 
     the force-structure plan, the Secretary shall submit the 
     revised force-structure plan to Congress as part of the 
     budget justification documents submitted to Congress in 
     support of the budget for the Department of Defense for 
     fiscal year 2004.''; and
       (C) in paragraph (3), as redesignated by subparagraph (A) 
     of this paragraph--
       (i) in the matter preceding subparagraph (A), by striking 
     ``Such plan'' and inserting ``Each force-structure plan under 
     this subsection''; and
       (ii) in subparagraph (A), by striking ``referred to in 
     paragraph (1)'' and inserting ``on which such force-structure 
     plan is based''.
       (2) Selection criteria.--Section 2903(b) of that Act is 
     amended--
       (A) in paragraph (1), by inserting ``and by no later than 
     December 31, 2001, for purposes of activities of the 
     Commission under this part in 2003,'' after ``December 31, 
     1990,''; and
       (B) in paragraph (2)(A)--
       (i) in the first sentence, by inserting ``and by no later 
     than February 15, 2002, for purposes of activities of the 
     Commission under this part in 2003,'' after ``February 15, 
     1991,''; and
       (ii) in the second sentence, by inserting ``, or enacted on 
     or before March 31, 2002, in the case of criteria published 
     and transmitted under the preceding sentence in 2001'' after 
     ``March 15, 1991''.
       (3) Department of defense recommendations.--Section 
     2903(c)(1) of that Act is amended by striking ``and March 1, 
     1995'' and inserting ``March 1, 1995, and March 14, 2003''.
       (4) Commission review and recommendations.--Section 2903(d) 
     of that Act is amended--
       (A) in paragraph (2)(A), by inserting ``or by no later than 
     July 7 in the case of recommendations in 2003,'' after 
     ``pursuant to subsection (c),'';
       (B) in paragraph (4), by inserting ``or after July 7 in the 
     case of recommendations in 2003,'' after ``under this 
     subsection,''; and
       (C) in paragraph (5)(B), by inserting ``or by no later than 
     May 1 in the case of such recommendations in 2003,'' after 
     ``such recommendations,''.
       (5) Review by president.--Section 2903(e) of that Act is 
     amended--
       (A) in paragraph (1), by inserting ``or by no later than 
     July 22 in the case of recommendations in 2003,'' after 
     ``under subsection (d),'';
       (B) in the second sentence of paragraph (3), by inserting 
     ``or by no later than August 18 in the case of 2003,'' after 
     ``the year concerned,''; and
       (C) in paragraph (5), by inserting ``or by September 3 in 
     the case of recommendations in 2003,'' after ``under this 
     part,''.
       (c) Relationship to Other Base Closure Authority.--Section 
     2909(a) of that Act is amended by striking ``December 31, 
     1995,'' and inserting ``December 31, 2003,''.

     SEC. 2902. BASE CLOSURE ACCOUNT 2003.

       (a) Establishment.--The Defense Base Closure and 
     Realignment Act of 1990 (part A of title XXIX of Public Law 
     101-510; 10 U.S.C. 2687 note) is amended by inserting after 
     section 2906 the following new section:

     ``SEC. 2906A. BASE CLOSURE ACCOUNT 2003.

       ``(a) In General.--(1) There is hereby established on the 
     books of the Treasury an account to be known as the 
     `Department of Defense Base Closure Account 2003' (in this 
     section referred to as the `Account'). The Account shall be 
     administered by the Secretary as a single account.
       ``(2) There shall be deposited into the Account--
       ``(A) funds authorized for and appropriated to the Account;
       ``(B) any funds that the Secretary may, subject to approval 
     in an appropriation Act, transfer to the Account from funds 
     appropriated to the Department of Defense for any purpose, 
     except that such funds may be

[[Page 20112]]

     transferred only after the date on which the Secretary 
     transmits written notice of, and justification for, such 
     transfer to the congressional defense committees; and
       ``(C) except as provided in subsection (d), proceeds 
     received from the lease, transfer, or disposal of any 
     property at a military installation that is closed or 
     realigned under this part pursuant to a closure or 
     realignment the date of approval of which is after September 
     30, 2003.
       ``(3) The Account shall be closed at the time and in the 
     manner provided for appropriation accounts under section 1555 
     of title 31, United States Code. Unobligated funds which 
     remain in the Account upon closure shall be held by the 
     Secretary of the Treasury until transferred by law after the 
     congressional defense committees receive the final report 
     transmitted under subsection (c)(2).
       ``(b) Use of Funds.--(1) The Secretary may use the funds in 
     the Account only for the purposes described in section 2905 
     with respect to military installations the date of approval 
     of closure or realignment of which is after September 30, 
     2003.
       ``(2) When a decision is made to use funds in the Account 
     to carry out a construction project under section 2905(a) and 
     the cost of the project will exceed the maximum amount 
     authorized by law for a minor military construction project, 
     the Secretary shall notify in writing the congressional 
     defense committees of the nature of, and justification for, 
     the project and the amount of expenditures for such project. 
     Any such construction project may be carried out without 
     regard to section 2802(a) of title 10, United States Code.
       ``(c) Reports.--(1)(A) No later than 60 days after the end 
     of each fiscal year in which the Secretary carries out 
     activities under this part using amounts in the Account, the 
     Secretary shall transmit a report to the congressional 
     defense committees of the amount and nature of the deposits 
     into, and the expenditures from, the Account during such 
     fiscal year and of the amount and nature of other 
     expenditures made pursuant to section 2905(a) during such 
     fiscal year.
       ``(B) The report for a fiscal year shall include the 
     following:
       ``(i) The obligations and expenditures from the Account 
     during the fiscal year, identified by subaccount, for each 
     military department and Defense Agency.
       ``(ii) The fiscal year in which appropriations for such 
     expenditures were made and the fiscal year in which funds 
     were obligated for such expenditures.
       ``(iii) Each military construction project for which such 
     obligations and expenditures were made, identified by 
     installation and project title.
       ``(iv) A description and explanation of the extent, if any, 
     to which expenditures for military construction projects for 
     the fiscal year differed from proposals for projects and 
     funding levels that were included in the justification 
     transmitted to Congress under section 2907(1), or otherwise, 
     for the funding proposals for the Account for such fiscal 
     year, including an explanation of--
       ``(I) any failure to carry out military construction 
     projects that were so proposed; and
       ``(II) any expenditures for military construction projects 
     that were not so proposed.
       ``(2) No later than 60 days after the termination of the 
     authority of the Secretary to carry out a closure or 
     realignment under this part with respect to military 
     installations the date of approval of closure or realignment 
     of which is after September 30, 2003, and no later than 60 
     days after the closure of the Account under subsection 
     (a)(3), the Secretary shall transmit to the congressional 
     defense committees a report containing an accounting of--
       ``(A) all the funds deposited into and expended from the 
     Account or otherwise expended under this part with respect to 
     such installations; and
       ``(B) any amount remaining in the Account.
       ``(d) Disposal or Transfer of Commissary Stores and 
     Property Purchased With Nonappropriated Funds.--(1) If any 
     real property or facility acquired, constructed, or improved 
     (in whole or in part) with commissary store funds or 
     nonappropriated funds is transferred or disposed of in 
     connection with the closure or realignment of a military 
     installation under this part the date of approval of closure 
     or realignment of which is after September 30, 2003, a 
     portion of the proceeds of the transfer or other disposal of 
     property on that installation shall be deposited in the 
     reserve account established under section 204(b)(7)(C) of the 
     Defense Authorization Amendments and Base Closure and 
     Realignment Act (10 U.S.C. 2687 note).
       ``(2) The amount so deposited shall be equal to the 
     depreciated value of the investment made with such funds in 
     the acquisition, construction, or improvement of that 
     particular real property or facility. The depreciated value 
     of the investment shall be computed in accordance with 
     regulations prescribed by the Secretary of Defense.
       ``(3) The Secretary may use amounts in the account (in such 
     an aggregate amount as is provided in advance in 
     appropriation Acts) for the purpose of acquiring, 
     constructing, and improving--
       ``(A) commissary stores; and
       ``(B) real property and facilities for nonappropriated fund 
     instrumentalities.
       ``(4) In this subsection, the terms `commissary store 
     funds', `nonappropriated funds', and `nonappropriated fund 
     instrumentality' shall have the meaning given those terms in 
     section 2906(d)(4).
       ``(e) Account Exclusive Source of Funds for Environmental 
     Restoration Projects.--Except as provided in section 2906(e) 
     with respect to funds in the Department of Defense Base 
     Closure Account 1990 under section 2906 and except for funds 
     deposited into the Account under subsection (a), funds 
     appropriated to the Department of Defense may not be used for 
     purposes described in section 2905(a)(1)(C). The prohibition 
     in this subsection shall expire upon the closure of the 
     Account under subsection (a)(3).''.
       (b) Conforming Amendments.--Section 2906 of that Act is 
     amended--
       (1) in subsection (a)(2)(C), by inserting ``the date of 
     approval of closure or realignment of which is before 
     September 30, 2003'' after ``under this part'';
       (2) in subsection (b)(1), by inserting ``with respect to 
     military installations the date of approval of closure or 
     realignment of which is before September 30, 2003,'' after 
     ``section 2905'';
       (3) in subsection (c)(2)--
       (A) in the matter preceding subparagraph (A), by inserting 
     ``with respect to military installations the date of approval 
     of closure or realignment of which is before September 30, 
     2003,'' after ``under this part''; and
       (B) in subparagraph (A), by inserting ``with respect to 
     such installations'' after ``under this part'';
       (4) in subsection (d)(1), by inserting ``the date of 
     approval of closure or realignment of which is before 
     September 30, 2003'' after ``under this part''; and
       (5) in subsection (e), by striking ``Except for'' and 
     inserting ``Except as provided in section 2906A(e) with 
     respect to funds in the Department of Defense Base Closure 
     Account 2001 under section 2906A and except for''.
       (c) Clerical Amendment.--The section heading of section 
     2906 of that Act is amended to read as follows:

     ``SEC. 2906. BASE CLOSURE ACCOUNT 1990.''.

     SEC. 2903. ADDITIONAL MODIFICATIONS OF BASE CLOSURE 
                   AUTHORITIES.

       (a) Increase in Members of Commission.--Section 
     2902(c)(1)(A) of the Defense Base Closure and Realignment Act 
     of 1990 (part A of title XXIX of Public Law 101-510; 10 
     U.S.C. 2867 note) is amended by striking ``eight members'' 
     and inserting ``nine members''.
       (b) Selection Criteria.--Section 2903(b) of that Act is 
     amended by adding at the end the following new paragraphs:
       ``(3) The selection criteria shall ensure that military 
     value is the primary consideration in the making of 
     recommendations for the closure or realignment of military 
     installations under this part.
       ``(4) Any selection criteria proposed by the Secretary 
     relating to the cost savings or return on investment from the 
     proposed closure or realignment of a military installation 
     shall take into account the effect of the proposed closure or 
     realignment on the costs of any other Federal agency that may 
     be required to assume responsibility for activities at the 
     military installation.''.
       (c) Department of Defense Recommendations to Commission.--
     Section 2903(c) of that Act is amended--
       (1) by redesignating paragraphs (1), (2), (3), (4), (5), 
     and (6) as paragraphs (2), (3), (4), (6), (7), and (8), 
     respectively;
       (2) by inserting before paragraph (2), as so redesignated, 
     by the following new paragraph (1):
       ``(1) The Secretary shall carry out a comprehensive review 
     of the military installations of the Department of Defense 
     inside the United States based on the force-structure plan 
     submitted under subsection (a)(2), and the final criteria 
     transmitted under subsection (b)(2), in 2002. The review 
     shall cover every type of facility or other infrastructure 
     operated by the Department of Defense.'';
       (3) in paragraph (4), as so redesignated--
       (A) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively;
       (B) by inserting after subparagraph (A) the following new 
     subparagraph (B):
       ``(B) In considering military installations for closure or 
     realignment under this part in any year after 2001, the 
     Secretary shall consider the anticipated continuing need for 
     and availability of military installations worldwide. In 
     evaluating the need for military installations inside the 
     United States, the Secretary shall take into account current 
     restrictions on the use of military installations outside the 
     United States and the potential for future prohibitions or 
     restrictions on the use of such military installations.''; 
     and
       (C) in subparagraph (D), as so redesignated, by striking 
     ``subparagraph (B)'' and inserting ``subparagraph (C)'';
       (4) by inserting after paragraph (4), as so redesignated, 
     the following new paragraph (5):
       ``(5)(A) In making recommendations to the Commission under 
     this subsection in any year after 2001, the Secretary shall 
     consider any notice received from a local government in the 
     vicinity of a military installation that

[[Page 20113]]

     the government would approve of the closure or realignment of 
     the installation.
       ``(B) Notwithstanding the requirement in subparagraph (A), 
     the Secretary shall make the recommendations referred to in 
     that subparagraph based on the force-structure plan and final 
     criteria otherwise applicable to such recommendations under 
     this section.
       ``(C) The recommendations made by the Secretary under this 
     subsection in any year after 2001 shall include a statement 
     of the result of the consideration of any notice described in 
     subparagraph (A) that is received with respect to an 
     installation covered by such recommendations. The statement 
     shall set forth the reasons for the result.''; and
       (5) in paragraph (8), as so redesignated--
       (A) in the first sentence, by striking ``paragraph (5)(B)'' 
     and inserting ``paragraph (7)(B)''; and
       (B) in the second sentence, by striking ``24 hours'' and 
     inserting ``48 hours''.
       (d) Commission Changes in Recommendations of Secretary.--
     Section 2903(d)(2) of that Act is amended--
       (1) in subparagraph (B), by striking ``if'' and inserting 
     ``only if'';
       (2) in subparagraph (C)--
       (A) in clause (iii), by striking ``and'' at the end;
       (B) in clause (iv), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following new clause:
       ``(v) invites the Secretary to testify at a public hearing, 
     or a closed hearing if classified information is involved, on 
     the proposed change.'';
       (3) by redesignating subparagraph (E) as subparagraph (F); 
     and
       (4) by inserting after subparagraph (D) the following new 
     subparagraph (E):
       ``(E) In the case of a change not described in subparagraph 
     (D) in the recommendations made by the Secretary, the 
     Commission may make the change only if the Commission--
       ``(i) makes the determination required by subparagraph (B);
       ``(ii) determines that the change is consistent with the 
     force-structure plan and final criteria referred to in 
     subsection (c)(1); and
       ``(iii) invites the Secretary to testify at a public 
     hearing, or a closed hearing if classified information is 
     involved, on the proposed change.''.
       (e) Privatization in Place.--Section 2904(a) of that Act is 
     amended--
       (1) by redesignating paragraphs (3) and (4) as paragraphs 
     (4) and (5), respectively; and
       (2) by inserting after paragraph (2) the following new 
     paragraph (3):
       ``(3) carry out the privatization in place of a military 
     installation recommended for closure or realignment by the 
     Commission in each such report after 2001 only if 
     privatization in place is a method of closure or realignment 
     of the installation specified in the recommendation of the 
     Commission in such report and is determined by the Commission 
     to be the most-cost effective method of implementation of the 
     recommendation;''.
       (f) Implementation.--
       (1) Payment for certain services for property leased back 
     by the united states.--Section 2905(b)(4)(E) of that Act is 
     amended--
       (1) in clause (iii), by striking ``A lease'' and inserting 
     ``Except as provided in clause (v), a lease''; and
       (2) by adding at the end the following new clause (v):
       ``(v)(I) Notwithstanding clause (iii), a lease under clause 
     (i) may require the United States to pay the redevelopment 
     authority concerned, or the assignee of the redevelopment 
     authority, for facility services and common area maintenance 
     provided for the leased property by the redevelopment 
     authority or assignee, as the case may be.
       ``(II) The rate charged the United States for services and 
     maintenance provided by a redevelopment authority or assignee 
     under subclause (I) may not exceed the rate charged non-
     Federal tenants leasing property at the installation for such 
     services and maintenance.
       ``(III) For purposes of this clause, facility services and 
     common area maintenance shall not include municipal services 
     that the State or local government concerned is required by 
     law to provide without direct charge to landowners, or 
     firefighting or security-guard functions.''.
       (2) Transfers in connection with payment of environmental 
     remediation.--Section 2905(e) of that Act is amended--
       (A) in paragraph (1)(B), by adding at the end the following 
     new sentence: ``The real property and facilities referred to 
     in subparagraph (A) are also the real property and facilities 
     located at an installation approved for closure or 
     realignment under this part after 2001 that are available for 
     purposes other than to assist the homeless.'';
       (B) in paragraph (2)(A), by striking ``to be paid by the 
     recipient of the property or facilities'' and inserting 
     ``otherwise to be paid by the Secretary with respect to the 
     property or facilities'';
       (C) by striking paragraph (6);
       (D) by redesignating paragraphs (3), (4), and (5) as 
     paragraphs (4), (5), (6), respectively; and
       (E) by inserting after paragraph (2) the following new 
     paragraph (3):
       ``(3) In the case of property or facilities covered by a 
     certification under paragraph (2)(A), the Secretary may pay 
     the recipient of such property or facilities an amount equal 
     to the lesser of--
       ``(A) the amount by which the costs incurred by the 
     recipient of such property or facilities for all 
     environmental restoration, waste, management, and 
     environmental compliance activities with respect to such 
     property or facilities exceed the fair market value of such 
     property or facilities as specified in such certification; or
       ``(B) the amount by which the costs (as determined by the 
     Secretary) that would otherwise have been incurred by the 
     Secretary for such restoration, management, and activities 
     with respect to such property or facilities exceed the fair 
     market value of such property or facilities as so 
     specified.''.
       (3) Scope of indemnification of transferees in connection 
     with payment of environmental remediation.--Paragraph (6) of 
     section 2905(e) of that Act, as redesignated by paragraph (1) 
     of this subsection, is further amended by inserting before 
     the period the following: ``, except in the case of releases 
     or threatened releases not disclosed pursuant to paragraph 
     (4)''.

     SEC. 2904. TECHNICAL AND CLARIFYING AMENDMENTS.

       (a) Commencement of Period for Notice of Interest in 
     Property for Homeless.--Section 2905(b)(7)(D)(ii)(I) of the 
     Defense Base Closure and Realignment Act of 1990 (part A of 
     title XXIX of Public Law 101-510; 10 U.S.C. 2867 note) is 
     amended by striking ``that date'' and inserting ``the date of 
     publication of such determination in a newspaper of general 
     circulation in the communities in the vicinity of the 
     installation under subparagraph (B)(i)(IV)''.
       (b) Other Clarifying Amendments.--(1) That Act is further 
     amended by inserting ``or realignment'' after ``closure'' 
     each place it appears in the following provisions:
       (A) Section 2905(b)(3).
       (B) Section 2905(b)(5).
       (C) Section 2905(b)(7)(B)(iv).
       (D) Section 2905(b)(7)(N).
       (E) Section 2910(10)(B).
       (2) That Act is further amended by inserting ``or 
     realigned'' after ``closed'' each place it appears in the 
     following provisions:
       (A) Section 2905(b)(3)(C)(ii).
       (B) Section 2905(b)(3)(D).
       (C) Section 2905(b)(3)(E).
       (D) Section 2905(b)(4)(A).
       (E) Section 2905(b)(5)(A).
       (F) Section 2910(9).
       (G) Section 2910(10).
       (3) Section 2905(e)(1)(B) of that Act is amended by 
     inserting ``, or realigned or to be realigned,'' after 
     ``closed or to be closed''.

           Subtitle B--Modification of 1988 Base Closure Law

     SEC. 2911. PAYMENT FOR CERTAIN SERVICES PROVIDED BY 
                   REDEVELOPMENT AUTHORITIES FOR PROPERTY LEASED 
                   BACK BY THE UNITED STATES.

       Section 204(b)(4) of the Defense Authorization Amendments 
     and Base Closure and Realignment Act of (Public Law 100-526; 
     10 U.S.C. 2687 note) is amended by adding at the end the 
     following new subparagraph (J):
       ``(J)(i) The Secretary may transfer real property at an 
     installation approved for closure or realignment under this 
     title (including property at an installation approved for 
     realignment which will be retained by the Department of 
     Defense or another Federal agency after realignment) to the 
     redevelopment authority for the installation if the 
     redevelopment authority agrees to lease, directly upon 
     transfer, one or more portions of the property transferred 
     under this subparagraph to the Secretary or to the head of 
     another department or agency of the Federal Government. 
     Subparagraph (B) shall apply to a transfer under this 
     subparagraph.
       ``(ii) A lease under clause (i) shall be for a term of not 
     to exceed 50 years, but may provide for options for renewal 
     or extension of the term by the department or agency 
     concerned.
       ``(iii) Except as provided in clause (v), a lease under 
     clause (i) may not require rental payments by the United 
     States.
       ``(iv) A lease under clause (i) shall include a provision 
     specifying that if the department or agency concerned ceases 
     requiring the use of the leased property before the 
     expiration of the term of the lease, the remainder of the 
     lease term may be satisfied by the same or another department 
     or agency of the Federal Government using the property for a 
     use similar to the use under the lease. Exercise of the 
     authority provided by this clause shall be made in 
     consultation with the redevelopment authority concerned.
       ``(v)(I) Notwithstanding clause (iii), a lease under clause 
     (i) may require the United States to pay the redevelopment 
     authority concerned, or the assignee of the redevelopment 
     authority, for facility services and common area maintenance 
     provided for the leased property by the redevelopment 
     authority or assignee, as the case may be.
       ``(II) The rate charged the United States for services and 
     maintenance provided by a redevelopment authority or assignee 
     under subclause (I) may not exceed the rate charged non-
     Federal tenants leasing property at the installation for such 
     services and maintenance.
       ``(III) For purposes of this clause, facility services and 
     common area maintenance shall

[[Page 20114]]

     not include municipal services that the State or local 
     government concerned is required by law to provide without 
     direct charge to landowners, or firefighting or security-
     guard functions.''.

 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.

       (a) In General.--Subject to subsection (b), funds are 
     hereby authorized to be appropriated to the Department of 
     Energy for fiscal year 2002 for the activities of the 
     National Nuclear Security Administration in carrying out 
     programs necessary for national security in the amount of 
     $7,351,721,000, to be allocated as follows:
       (1) Weapons activities.--For weapons activities, 
     $5,481,795,000, to be allocated as follows:
       (A) For stewardship operation and maintenance, 
     $4,687,443,000, to be allocated as follows:
       (i) For directed stockpile work, $1,016,922,000.
       (ii) For campaigns, $2,137,300,000, to be allocated as 
     follows:

       (I) For operation and maintenance, $1,767,328,000.
       (II) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $369,972,000, to be allocated as follows:

       Project 01-D-101, distributed information systems 
     laboratory, Sandia National Laboratories, Livermore, 
     California, $5,400,000.
       Project 00-D-103, terascale simulation facility, Lawrence 
     Livermore National Laboratory, Livermore, California, 
     $22,000,000.
       Project 00-D-105, strategic computing complex, Los Alamos 
     National Laboratory, Los Alamos, New Mexico, $11,070,000.
       Project 00-D-107, joint computational engineering 
     laboratory, Sandia National Laboratories, Albuquerque, New 
     Mexico, $5,377,000.
       Project 98-D-125, tritium extraction facility, Savannah 
     River Plant, Aiken, South Carolina, $81,125,000.
       Project 96-D-111, national ignition facility (NIF), 
     Lawrence Livermore National Laboratory, Livermore, 
     California, $245,000,000.
       (iii) For readiness in technical base and facilities, 
     $1,533,221,000, to be allocated as follows:

       (I) For operation and maintenance, $1,356,107,000.
       (II) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $177,114,000, to be allocated as follows:

       Project 02-D-101, microsystems and engineering sciences 
     applications (MESA), Sandia National Laboratories, 
     Albuquerque, New Mexico, $39,000,000.
       Project 02-D-103, project engineering and design (PE&D), 
     various locations, $31,130,000.
       Project 02-D-107, electrical power systems safety 
     communications and bus upgrades, Nevada Test Site, Nevada, 
     $3,507,000.
       Project 01-D-103, preliminary project design and 
     engineering, various locations, $16,379,000.
       Project 01-D-124, highly enriched uranium (HEU) materials 
     storage facility, Y-12 Plant, Oak Ridge, Tennessee, $0.
       Project 01-D-126, weapons evaluation test laboratory, 
     Pantex Plant, Amarillo, Texas, $7,700,000.
       Project 01-D-800, sensitive compartmented information 
     facility, Lawrence Livermore National Laboratory, Livermore, 
     California, $12,993,000.
       Project 99-D-103, isotope sciences facilities, Lawrence 
     Livermore National Laboratory, Livermore, California, 
     $4,400,000.
       Project 99-D-104, protection of real property (roof 
     reconstruction, phase II), Lawrence Livermore National 
     Laboratory, Livermore, California, $2,800,000.
       Project 99-D-106, model validation and system certification 
     center, Sandia National Laboratories, Albuquerque, New 
     Mexico, $4,955,000.
       Project 99-D-108, renovation of existing roadways, Nevada 
     Test Site, Nevada, $2,000,000.
       Project 99-D-125, replace boilers and controls, Kansas City 
     Plant, Kansas City, Missouri, $300,000.
       Project 99-D-127, stockpile management restructuring 
     initiative, Kansas City Plant, Kansas City, Missouri, 
     $22,200,000.
       Project 99-D-128, stockpile management restructuring 
     initiative, Pantex Plant, Amarillo, Texas, $3,300,000.
       Project 98-D-123, stockpile management restructuring 
     initiative, tritium facility modernization and consolidation, 
     Savannah River Plant, Aiken, South Carolina, $13,700,000.
       Project 98-D-124, stockpile management restructuring 
     initiative, Y-12 Plant consolidation, Oak Ridge, Tennessee, 
     $6,850,000.
       Project 97-D-123, structural upgrades, Kansas City Plant, 
     Kansas City, Missouri, $3,000,000.
       Project 96-D-102, stockpile stewardship facilities 
     revitalization, Phase VI, various locations, $2,900,000.
       (B) For secure transportation asset, $77,571,000, to be 
     allocated for operation and maintenance.
       (C) For safeguards and security, $448,881,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $439,281,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $9,600,000, to be allocated as follows:

       Project 99-D-132, stockpile management restructuring 
     initiative, nuclear material safeguards and security upgrade 
     project, Los Alamos National Laboratory, Los Alamos, New 
     Mexico, $9,600,000.

       (D) For facilities and infrastructure, $267,900,000.
       (2) Defense nuclear nonproliferation.--For other nuclear 
     security activities, $872,500,000, to be allocated as 
     follows:
       (A) For nonproliferation and verification research and 
     development, $258,161,000, to be allocated as follows:
       (i) For operation and maintenance, $222,355,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $35,806,000, to be allocated as follows:

       Project 00-D-192, nonproliferation and international 
     security center (NISC), Los Alamos National Laboratory, Los 
     Alamos, New Mexico, $35,806,000.

       (B) For arms control, $138,000,000.
       (C) For international materials protection, control, and 
     accounting, $143,800,000.
       (D) For highly enriched uranium transparency 
     implementation, $13,950,000.
       (E) For international nuclear safety, $19,500,000.
       (F) For fissile materials control and disposition, 
     $299,089,000, to be allocated as follows:
       (i) For United States surplus fissile materials 
     disposition, $233,089,000, to be allocated as follows:

       (I) For operation and maintenance, $130,089,000.
       (II) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $103,000,000, to be allocated as follows:

       Project 01-D-142, immobilization and associated processing 
     facility, (Title I and II design), Savannah River Site, 
     Aiken, South Carolina, $0.
       Project 01-D-407, highly enriched uranium blend-down, 
     Savannah River Site, Aiken, South Carolina, $24,000,000.
       Project 99-D-141, pit disassembly and conversion facility 
     (Title I and II design), Savannah River Site, Aiken, South 
     Carolina, $16,000,000.
       Project 99-D-143, mixed oxide fuel fabrication facility 
     (Title I and II design), Savannah River Site, Aiken, South 
     Carolina, $63,000,000.
       (ii) For Russian fissile materials disposition, 
     $66,000,000.
       (3) Naval reactors.--For naval reactors, $688,045,000, to 
     be allocated as follows:
       (A) For naval reactors development, $665,445,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $652,245,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $13,200,000, to be allocated as follows:

       Project 01-D-200, major office replacement building, 
     Schenectady, New York, $9,000,000.
       Project 90-N-102, expended core facility dry cell project, 
     Naval Reactors Facility, Idaho, $4,200,000.

       (B) For program direction, $22,600,000.
       (4) Office of administrator for nuclear security.--For the 
     Office of the Administrator for Nuclear Security, and for 
     program direction for the National Nuclear Security 
     Administration (other than for naval reactors), $380,366,000.
       (b) Adjustments.--The amount authorized to be appropriated 
     by subsection (a) is hereby reduced by $70,985,000, as 
     follows:
       (1) The amount authorized to be appropriated by paragraph 
     (1) of that subsection is hereby reduced by $28,985,000, 
     which is to be derived from offsets and use of prior year 
     balances.
       (2) The amount authorized to be appropriated by paragraph 
     (2) of that subsection is hereby reduced by $42,000,000, 
     which is to be derived from use of prior year balances.

     SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE 
                   MANAGEMENT.

       (a) In General.--Subject to subsection (b), funds are 
     hereby authorized to be appropriated to the Department of 
     Energy for fiscal year 2002 for environmental restoration

[[Page 20115]]

     and waste management activities in carrying out programs 
     necessary for national security in the amount of 
     $6,047,617,000, to be allocated as follows:
       (1) Closure projects.--For closure projects carried out in 
     accordance with section 3143 of the National Defense 
     Authorization Act for Fiscal Year 1997 (Public Law 104-201; 
     110 Stat. 2836; 42 U.S.C. 7277n), $1,080,538,000.
       (2) Site/project completion.--For site completion and 
     project completion in carrying out environmental management 
     activities necessary for national security programs, 
     $943,196,000, to be allocated as follows:
       (A) For operation and maintenance, $919,030,000.
       (B) For plant projects (including maintenance, restoration, 
     planning, construction, acquisition, modification of 
     facilities, and the continuation of projects authorized in 
     prior years, and land acquisition related thereto), 
     $24,166,000, to be allocated as follows:
       Project 02-D-402, Intec cathodic protection system 
     expansion, Idaho National Engineering and Environmental 
     Laboratory, Idaho Falls, Idaho, $3,256,000.
       Project 01-D-414, preliminary project engineering and 
     design (PE&D), various locations, $6,254,000.
       Project 99-D-402, tank farm support services, F&H areas, 
     Savannah River Site, Aiken, South Carolina, $5,040,000.
       Project 99-D-404, health physics instrumentation 
     laboratory, Idaho National Engineering and Environmental 
     Laboratories, Idaho Falls, Idaho, $2,700,000.
       Project 98-D-453, plutonium stabilization and handling 
     system for plutonium finishing plant, Richland, Washington, 
     $1,910,000.
       Project 96-D-471, chlorofluorocarbon heating, ventilation, 
     and air conditioning and chiller retrofit, Savannah River 
     Site, Aiken, South Carolina, $4,244,000.
       Project 92-D-140, F&H canyon exhaust upgrades, Savannah 
     River Site, Aiken, South Carolina, $0.
       Project 86-D-103, decontamination and waste treatment 
     facility, Lawrence Livermore National Laboratory, Livermore, 
     California, $762,000.
       (3) Post-2006 completion.--For post-2006 completion in 
     carrying out environmental restoration and waste management 
     activities necessary for national security programs, 
     $3,245,201,000, to be allocated as follows:
       (A) For operation and maintenance, $1,955,979,000.
       (B) For plant projects (including maintenance, restoration, 
     planning, construction, acquisition, modification of 
     facilities, and the continuation of projects authorized in 
     prior years, and land acquisition related thereto), 
     $6,754,000, to be allocated as follows:
       Project 93-D-187, high-level waste removal from filled 
     waste tanks, Savannah River Site, Aiken, South Carolina, 
     $6,754,000.
       (C) For the Office of River Protection in carrying out 
     environmental restoration and waste management activities 
     necessary for national security programs, $862,468,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $322,151,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $540,317,000, to be allocated as follows:

       Project 01-D-416, waste treatment and immobilization plant, 
     Richland, Washington, $500,000,000.
       Project 97-D-402, tank farm restoration and safe 
     operations, Richland, Washington, $33,473,000.
       Project 94-D-407, initial tank retrieval systems, Richland, 
     Washington, $6,844,000.

       (4) Science and technology development.--For science and 
     technology development in carrying out environmental 
     restoration and waste management activities necessary for 
     national security programs, $216,000,000.
       (5) Excess facilities.--For excess facilities in carrying 
     out environmental restoration and waste management activities 
     necessary for national security programs, $1,300,000.
       (6) Safeguards and security.--For safeguards and security 
     in carrying out environmental restoration and waste 
     management activities necessary for national security 
     programs, $205,621,000.
       (7) Program direction.--For program direction in carrying 
     out environmental restoration and waste management activities 
     necessary for national security programs, $355,761,000.
       (b) Adjustment.--The total amount authorized to be 
     appropriated by subsection (a) is the sum of the amounts 
     authorized to be appropriated by paragraphs (2) through (7) 
     of that subsection, reduced by $42,161,000, to be derived 
     from offsets and use of prior year balances.

     SEC. 3103. OTHER DEFENSE ACTIVITIES.

       (a) In General.--Subject to subsection (b), funds are 
     hereby authorized to be appropriated to the Department of 
     Energy for fiscal year 2002 for other defense activities in 
     carrying out programs necessary for national security in the 
     amount of $512,195,000, to be allocated as follows:
       (1) Intelligence.--For intelligence, $40,844,000.
       (2) Counterintelligence.--For counterintelligence, 
     $46,389,000.
       (3) Security and emergency operations.--For security and 
     emergency operations, $247,565,000, to be allocated as 
     follows:
       (A) For nuclear safeguards and security, $121,188,000.
       (B) For security investigations, $44,927,000.
       (C) For program direction, $81,450,000.
       (4) Independent oversight and performance assurance.--For 
     independent oversight and performance assurance, $14,904,000.
       (5) Environment, safety, and health.--For the Office of 
     Environment, Safety, and Health, $114,600,000, to be 
     allocated as follows:
       (A) For environment, safety, and health (defense), 
     $91,307,000.
       (B) For program direction, $23,293,000.
       (6) Worker and community transition assistance.--For worker 
     and community transition assistance, $20,000,000, to be 
     allocated as follows:
       (A) For worker and community transition, $18,000,000.
       (B) For program direction, $2,000,000.
       (7) Office of hearings and appeals.--For the Office of 
     Hearings and Appeals, $2,893,000.
       (8) National security programs administrative support.--For 
     national security programs administrative support, 
     $25,000,000.
       (b) Adjustments.--
       (1) Security and emergency operations, for program 
     direction.--The amount authorized to be appropriated pursuant 
     to subsection (a)(3)(B) is reduced by $712,000 to reflect an 
     offset provided by user organizations for security 
     investigations.
       (2) Other.--The total amount authorized to be appropriated 
     pursuant to paragraphs (1), (2), (4), (5), (6), (7), and (8) 
     of subsection (a) is hereby reduced by $10,000,000 to reflect 
     use of prior year balances.

     SEC. 3104. DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION.

       Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2002 for privatization 
     initiatives in carrying out environmental restoration and 
     waste management activities necessary for national security 
     programs in the amount of $157,537,000, to be allocated as 
     follows:
       Project 02-PVT-1, Paducah disposal facility, Paducah, 
     Kentucky, $13,329,000.
       Project 02-PVT-2, Portsmouth disposal facility, Portsmouth, 
     Ohio, $2,000,000.
       Project 98-PVT-2, spent nuclear fuel dry storage, Idaho 
     Falls, Idaho, $49,332,000.
       Project 98-PVT-5, environmental management/waste management 
     disposal, Oak Ridge, Tennessee, $26,065,000.
       Project 97-PVT-2, advanced mixed waste treatment project, 
     Idaho Falls, Idaho, $56,000,000.
       Project 97-PVT-3, transuranic waste treatment, Oak Ridge, 
     Tennessee, $10,826,000.

     SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

       Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2002 for payment to the 
     Nuclear Waste Fund established in section 302(C) of the 
     Nuclear Waste Policy Act of 1982 (42 U.S.C. 10222(c)) in the 
     amount of $250,000,000.

                Subtitle B--Recurring General Provisions

     SEC. 3121. REPROGRAMMING.

       (a) In General.--Until the Secretary of Energy submits to 
     the congressional defense committees the report referred to 
     in subsection (b) and a period of 30 days has elapsed after 
     the date on which such committees receive the report, the 
     Secretary may not use amounts appropriated pursuant to this 
     title for any program--
       (1) in amounts that exceed, in a fiscal year--
       (A) 110 percent of the amount authorized for that program 
     by this title; or
       (B) $2,000,000 more than the amount authorized for that 
     program by this title; or
       (2) which has not been presented to, or requested of, 
     Congress.
       (b) Report.--(1) The report referred to in subsection (a) 
     is a report containing a full and complete statement of the 
     action proposed to be taken and the facts and circumstances 
     relied upon in support of the proposed action.
       (2) In the computation of the 30-day period under 
     subsection (a), there shall be excluded any day on which 
     either House of Congress is not in session because of an 
     adjournment of more than 3 days to a day certain.
       (c) Limitations.--(1) In no event may the total amount of 
     funds obligated pursuant to this title exceed the total 
     amount authorized to be appropriated by this title.
       (2) Funds appropriated pursuant to this title may not be 
     used for an item for which Congress has specifically denied 
     funds.

     SEC. 3122. LIMITS ON MINOR CONSTRUCTION PROJECTS.

       (a) In General.--The Secretary of Energy may carry out any 
     minor construction project using operation and maintenance 
     funds, or facilities and infrastructure funds, authorized by 
     this title.
       (b) Annual Report.--The Secretary shall submit to the 
     congressional defense committees on an annual basis a report 
     on each exercise of the authority in subsection (a) during 
     the preceding year. Each report shall

[[Page 20116]]

     give a brief description of each minor construction project 
     covered by such report.
       (c) Minor Construction Project Defined.--In this section, 
     the term ``minor construction project'' means any plant 
     project not specifically authorized by law if the approved 
     total estimated cost of the plant project does not exceed 
     $5,000,000.

     SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

       (a) In General.--(1) Except as provided in paragraph (2), 
     construction on a construction project may not be started or 
     additional obligations incurred in connection with the 
     project above the total estimated cost, whenever the current 
     estimated cost of the construction project, authorized by 
     3101, 3102, or 3103, or which is in support of national 
     security programs of the Department of Energy and was 
     authorized by any previous Act, exceeds by more than 25 
     percent the higher of--
       (A) the amount authorized for the project; or
       (B) the amount of the total estimated cost for the project 
     as shown in the most recent budget justification data 
     submitted to Congress.
       (2) An action described in paragraph (1) may be taken if--
       (A) the Secretary of Energy has submitted to the 
     congressional defense committees a report on the actions and 
     the circumstances making such action necessary; and
       (B) a period of 30 days has elapsed after the date on which 
     the report is received by the committees.
       (3) In the computation of the 30-day period under paragraph 
     (2), there is excluded any day on which either House of 
     Congress is not in session because of an adjournment of more 
     than 3 days to a day certain.
       (b) Exception.--Subsection (a) does not apply to a 
     construction project with a current estimated cost of less 
     than $5,000,000.

     SEC. 3124. FUND TRANSFER AUTHORITY.

       (a) Transfer to Other Federal Agencies.--The Secretary of 
     Energy may transfer funds authorized to be appropriated to 
     the Department of Energy pursuant to this title to other 
     Federal agencies for the performance of work for which the 
     funds were authorized. Funds so transferred may be merged 
     with and be available for the same purposes and for the same 
     time period as the authorizations of the Federal agency to 
     which the amounts are transferred.
       (b) Transfer Within Department of Energy.--(1) Subject to 
     paragraph (2), the Secretary of Energy may transfer funds 
     authorized to be appropriated to the Department of Energy 
     pursuant to this title between any such authorizations. 
     Amounts of authorizations so transferred may be merged with 
     and be available for the same purposes and for the same 
     period as the authorization to which the amounts are 
     transferred.
       (2) Not more than 5 percent of any such authorization may 
     be transferred between authorizations under paragraph (1). No 
     such authorization may be increased or decreased by more than 
     5 percent by a transfer under such paragraph.
       (c) Limitations.--The authority provided by this subsection 
     to transfer authorizations--
       (1) may be used only to provide funds for items relating to 
     activities necessary for national security programs that have 
     a higher priority than the items from which the funds are 
     transferred; and
       (2) may not be used to provide funds for an item for which 
     Congress has specifically denied funds.
       (d) Notice to Congress.--The Secretary of Energy shall 
     promptly notify the Committees on Armed Services of the 
     Senate and House of Representatives of any transfer of funds 
     to or from authorizations under this title.

     SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.

       (a) Requirement of Conceptual Design.--(1) Subject to 
     paragraph (2) and except as provided in paragraph (3), before 
     submitting to Congress a request for funds for a construction 
     project that is in support of a national security program of 
     the Department of Energy, the Secretary of Energy shall 
     complete a conceptual design for that project.
       (2) If the estimated cost of completing a conceptual design 
     for a construction project exceeds $3,000,000, the Secretary 
     shall submit to Congress a request for funds for the 
     conceptual design before submitting a request for funds for 
     the construction project.
       (3) The requirement in paragraph (1) does not apply to a 
     request for funds--
       (A) for a minor construction project the total estimated 
     cost of which is less than $5,000,000; or
       (B) for emergency planning, design, and construction 
     activities under section 3126.
       (b) Authority for Construction Design.--(1) Within the 
     amounts authorized by this title, the Secretary of Energy may 
     carry out construction design (including architectural and 
     engineering services) in connection with any proposed 
     construction project if the total estimated cost for such 
     design does not exceed $600,000.
       (2) If the total estimated cost for construction design in 
     connection with any construction project exceeds $600,000, 
     funds for that design must be specifically authorized by law.

     SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND 
                   CONSTRUCTION ACTIVITIES.

       (a) Authority.--The Secretary of Energy may use any funds 
     available to the Department of Energy pursuant to an 
     authorization in this title, including funds authorized to be 
     appropriated for advance planning, engineering, and 
     construction design, and for plant projects, under sections 
     3101, 3102, 3103, and 3104 to perform planning, design, and 
     construction activities for any Department of Energy national 
     security program construction project that, as determined by 
     the Secretary, must proceed expeditiously in order to protect 
     public health and safety, to meet the needs of national 
     defense, or to protect property.
       (b) Limitation.--The Secretary may not exercise the 
     authority under subsection (a) in the case of any 
     construction project until the Secretary has submitted to the 
     congressional defense committees a report on the activities 
     that the Secretary intends to carry out under this section 
     and the circumstances making those activities necessary.
       (c) Specific Authority.--The requirement of section 
     3125(b)(2) does not apply to emergency planning, design, and 
     construction activities conducted under this section.

     SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS 
                   OF THE DEPARTMENT OF ENERGY.

       Subject to the provisions of appropriation Acts and section 
     3121, amounts appropriated pursuant to this title for 
     management and support activities and for general plant 
     projects are available for use, when necessary, in connection 
     with all national security programs of the Department of 
     Energy.

     SEC. 3128. AVAILABILITY OF FUNDS.

       (a) In General.--Except as provided in subsection (b), when 
     so specified in an appropriations Act, amounts appropriated 
     for operation and maintenance or for plant projects may 
     remain available until expended.
       (b) Exception for Program Direction Funds.--Amounts 
     appropriated for program direction pursuant to an 
     authorization of appropriations in subtitle A shall remain 
     available to be expended only until the end of fiscal year 
     2004.

     SEC. 3129. TRANSFER OF DEFENSE ENVIRONMENTAL MANAGEMENT 
                   FUNDS.

       (a) Transfer Authority for Defense Environmental Management 
     Funds.--The Secretary of Energy shall provide the manager of 
     each field office of the Department of Energy with the 
     authority to transfer defense environmental management funds 
     from a program or project under the jurisdiction of the 
     office to another such program or project.
       (b) Limitations.--(1) Not more than three transfers may be 
     made to or from any program or project under subsection (a) 
     in a fiscal year.
       (2) The amount transferred to or from a program or project 
     under in any one transfer under subsection (a) may not exceed 
     $5,000,000.
       (3) A transfer may not be carried out by a manager of a 
     field office under subsection (a) unless the manager 
     determines that the transfer is necessary to address a risk 
     to health, safety, or the environment or to assure the most 
     efficient use of defense environmental management funds at 
     the field office.
       (4) Funds transferred pursuant to subsection (a) may not be 
     used for an item for which Congress has specifically denied 
     funds or for a new program or project that has not been 
     authorized by Congress.
       (c) Exemption From Reprogramming Requirements.--The 
     requirements of section 3121 shall not apply to transfers of 
     funds pursuant to subsection (a).
       (d) Notification.--The Secretary, acting through the 
     Assistant Secretary of Energy for Environmental Management, 
     shall notify Congress of any transfer of funds pursuant to 
     subsection (a) not later than 30 days after such transfer 
     occurs.
       (e) Definitions.--In this section:
       (1) The term ``program or project'' means, with respect to 
     a field office of the Department of Energy, any of the 
     following:
       (A) A program referred to or a project listed in paragraph 
     (2) or (3) of section 3102(a).
       (B) A program or project not described in subparagraph (A) 
     that is for environmental restoration or waste management 
     activities necessary for national security programs of the 
     Department, that is being carried out by the office, and for 
     which defense environmental management funds have been 
     authorized and appropriated before the date of the enactment 
     of this Act.
       (2) The term ``defense environmental management funds'' 
     means funds appropriated to the Department of Energy pursuant 
     to an authorization for carrying out environmental 
     restoration and waste management activities necessary for 
     national security programs.
       (f) Duration of Authority.--The managers of the field 
     offices of the Department may exercise the authority provided 
     under subsection (a) during the period beginning on October 
     1, 2001, and ending on September 30, 2002.

     SEC. 3130. TRANSFER OF WEAPONS ACTIVITIES FUNDS.

       (a) Transfer Authority for Weapons Activities Funds.--The 
     Secretary of Energy

[[Page 20117]]

     shall provide the manager of each field office of the 
     Department of Energy with the authority to transfer weapons 
     activities funds from a program or project under the 
     jurisdiction of the office to another such program or 
     project.
       (b) Limitations.--(1) Not more than three transfers may be 
     made to or from any program or project under subsection (a) 
     in a fiscal year.
       (2) The amount transferred to or from a program or project 
     in any one transfer under subsection (a) may not exceed 
     $5,000,000.
       (3) A transfer may not be carried out by a manager of a 
     field office under subsection (a) unless the manager 
     determines that the transfer is necessary to address a risk 
     to health, safety, or the environment or to assure the most 
     efficient use of weapons activities funds at the field 
     office.
       (4) Funds transferred pursuant to subsection (a) may not be 
     used for an item for which Congress has specifically denied 
     funds or for a new program or project that has not been 
     authorized by Congress.
       (c) Exemption From Reprogramming Requirements.--The 
     requirements of section 3121 shall not apply to transfers of 
     funds pursuant to subsection (a).
       (d) Notification.--The Secretary, acting through the 
     Administrator for Nuclear Security, shall notify Congress of 
     any transfer of funds pursuant to subsection (a) not later 
     than 30 days after such transfer occurs.
       (e) Definitions.--In this section:
       (1) The term ``program or project'' means, with respect to 
     a field office of the Department of Energy, any of the 
     following:
       (A) A program referred to or a project listed in 3101(1).
       (B) A program or project not described in subparagraph (A) 
     that is for weapons activities necessary for national 
     security programs of the Department, that is being carried 
     out by the office, and for which weapons activities funds 
     have been authorized and appropriated before the date of the 
     enactment of this Act.
       (2) The term ``weapons activities funds'' means funds 
     appropriated to the Department of Energy pursuant to an 
     authorization for carrying out weapons activities necessary 
     for national security programs.
       (f) Duration of Authority.--The managers of the field 
     offices of the Department may exercise the authority provided 
     under subsection (a) during the period beginning on October 
     1, 2001, and ending on September 30, 2002.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

     SEC. 3131. LIMITATION ON AVAILABILITY OF FUNDS FOR WEAPONS 
                   ACTIVITIES FOR FACILITIES AND INFRASTRUCTURE.

       Not more than 50 percent of the funds authorized to be 
     appropriated by section 3101(a)(1)(D) for the National 
     Nuclear Security Administration for weapons activities for 
     facilities and infrastructure may be obligated or expended 
     until the Administrator for Nuclear Security submits to the 
     congressional defense committees a report setting forth the 
     following:
       (1) Criteria for the selection of projects to be carried 
     out using such funds.
       (2) Criteria for establishing priorities among projects so 
     selected.
       (3) A list of the projects so selected, including the 
     priority assigned to each such project.

     SEC. 3132. LIMITATION ON AVAILABILITY OF FUNDS FOR OTHER 
                   DEFENSE ACTIVITIES FOR NATIONAL SECURITY 
                   PROGRAMS ADMINISTRATIVE SUPPORT.

       Not more than $5,000,000 of the funds authorized to be 
     appropriated by section 3103(a)(8) for other defense 
     activities for national security programs administrative 
     support may be obligated or expended until the later of the 
     following:
       (1) The date on which the Secretary of Energy submits to 
     Congress a report setting forth the purposes for which such 
     funds will be obligated and expended.
       (2) The date on which the Administrator for Nuclear 
     Security submits to Congress the future-years nuclear 
     security program for fiscal year 2002 required by section 
     3253 of the National Nuclear Security Administration Act 
     (title XXXII of Public Law 106-35; 50 U.S.C. 2453).

     SEC. 3133. NUCLEAR CITIES INITIATIVE.

       (a) Limitations on Use of Funds.--No funds authorized to be 
     appropriated for the Nuclear Cities Initiative after fiscal 
     year 2001 may be obligated or expended with respect to more 
     than three nuclear cities, or more than two serial production 
     facilities in Russia, until 30 days after the Administrator 
     for Nuclear Security submits to the appropriate congressional 
     committees an agreement signed by the Russian Federation on 
     access under the Nuclear Cities Initiative to the ten closed 
     nuclear cities and four serial production facilities of the 
     Nuclear Cities Initiative.
       (b) Annual Report.--(1) Not later than the first Monday in 
     February each year, the Administrator shall submit to the 
     appropriate congressional committees a report on financial 
     and programmatic activities with respect to the Nuclear 
     Cities Initiative during the preceding fiscal year.
       (2) Each report shall include, for the fiscal year covered 
     by such report, the following:
       (A) A list of each project that is or was completed, 
     ongoing, or planned under the Nuclear Cities Initiative 
     during such fiscal year.
       (B) For each project listed under subparagraph (A), 
     information, current as of the end of such fiscal year, on 
     the following:
       (i) The purpose of such project.
       (ii) The budget for such project.
       (iii) The life-cycle costs of such project.
       (iv) Participants in such project.
       (v) The commercial viability of such project.
       (vi) The number of jobs in Russia created or to be created 
     by or through such project.
       (vii) Of the total amount of funds spent on such project, 
     the percentage of such amount spent in the United States and 
     the percentage of such amount spent overseas.
       (C) A certification by the Administrator that each project 
     listed under subparagraph (A) did contribute, is 
     contributing, or will contribute, as the case may be, to the 
     downsizing of the nuclear weapons complex in Russia, together 
     with a description of the evidence utilized to make such 
     certification.
       (c) Definitions.--In this section:
       (1) Appropriate congressional committees.--The term 
     ``appropriate congressional committees means'' the Committee 
     on Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives.
       (2) Nuclear cities initiative.--The term ``Nuclear Cities 
     Initiative'' means the initiative arising pursuant to the 
     March 1998 discussion between the Vice President of the 
     United States and the Prime Minister of the Russian 
     Federation and between the Secretary of Energy of the United 
     States and the Minister of Atomic Energy of the Russian 
     Federation.
       (3) Nuclear city.--The term ``nuclear city'' means any of 
     the nuclear cities within the complex of the Russia Ministry 
     of Atomic Energy (MINATOM) as follows:
       (A) Sarov (Arzamas-16 and Avangard).
       (B) Zarechnyy (Penza-19).
       (C) Novoural'sk (Sverdlovsk-44).
       (D) Lesnoy (Sverdlovsk-45).
       (E) Ozersk (Chelyabinsk-65).
       (F) Snezhinsk (Chelyabinsk-70).
       (G) Trechgornyy (Zlatoust-36).
       (H) Seversk (Tomsk-7).
       (I) Zhelenznogorsk (Krasnoyarsk-26).
       (J) Zelenogorsk (Krasnoyarsk-45).

     SEC. 3134. CONSTRUCTION OF DEPARTMENT OF ENERGY OPERATIONS 
                   OFFICE COMPLEX.

       (a) Authority for Design and Construction.--Subject to 
     subsection (b), the Secretary of Energy may provide for the 
     design and construction of a new operations office complex 
     for the Department of Energy in accordance with the 
     feasibility study regarding such operations office complex 
     conducted under the National Defense Authorization Act for 
     Fiscal Year 2000.
       (b) Limitation.--The Secretary may not exercise the 
     authority in subsection (a) until the date on which the 
     Secretary certifies to Congress that the feasibility study 
     referred to in subsection (a) is consistent with the plan 
     submitted under section 3153(a) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398; 114 Stat. 1654A-465).
       (c) Basis of Authority.--The design and construction of the 
     operations office complex authorized by subsection (a) shall 
     be carried out through one or more energy savings performance 
     contracts (ESPC) entered into under this section and in 
     accordance with the provisions of title VIII of the National 
     Energy Policy Conservation Act (42 U.S.C. 8287 et seq.).
       (d) Payment of Costs.--Amounts for payments of costs 
     associated with the construction of the operations office 
     complex authorized by subsection (a) shall be derived from 
     energy savings and ancillary operation and maintenance 
     savings that result from the replacement of a current 
     Department of Energy operations office complex (as identified 
     in the feasibility study referred to in subsection (a)) with 
     the operations office complex authorized by subsection (a).

Subtitle D--Matters Relating to Management of National Nuclear Security 
                             Administration

     SEC. 3141. ESTABLISHMENT OF POSITION OF DEPUTY ADMINISTRATOR 
                   FOR NUCLEAR SECURITY.

       (a) Establishment of Position.--Subtitle A of the National 
     Nuclear Security Administration Act (title XXXII of Public 
     Law 106-65; 50 U.S.C. 2401 et seq.) is amended--
       (1) by redesignating section 3213 as section 3219 and 
     transferring such section, as so redesignated, to the end of 
     the subtitle; and
       (2) by inserting after section 3212 the following new 
     section 3213:

     ``SEC. 3213. DEPUTY ADMINISTRATOR FOR NUCLEAR SECURITY.

       ``(a) In General.--There is in the Administration a Deputy 
     Administrator for Nuclear Security, who is appointed by the 
     President, by and with the advice and consent of the Senate.
       ``(b) Duties.--(1) The Deputy Administrator shall be the 
     principal assistant to the Administrator in carrying out the 
     responsibilities of the Director under this title, and

[[Page 20118]]

     shall act for, and exercise the powers and duties of, the 
     Administrator when the Administrator is disabled or there is 
     no Administrator for Nuclear Security.
       ``(2) Subject to the authority, direction, and control of 
     the Administrator, the Deputy Administrator shall perform 
     such duties, and exercise such powers, relating to the 
     functions of the Administration as the Administrator may 
     prescribe.''.
       (b) Pay Level.--Section 5314 of title 5, United States 
     Code, is amended in the item relating to the Deputy 
     Administrators of the National Nuclear Security 
     Administration--
       (1) by striking ``(3)'' and inserting ``(4)''; and
       (2) by striking ``(2)'' and inserting ``(3)''.

     SEC. 3142. RESPONSIBILITY FOR NATIONAL SECURITY LABORATORIES 
                   AND WEAPONS PRODUCTION FACILITIES OF DEPUTY 
                   ADMINISTRATOR OF NATIONAL NUCLEAR SECURITY 
                   ADMINISTRATION FOR DEFENSE PROGRAMS.

       Section 3214 of the National Nuclear Security 
     Administration Act (title XXXII of Public Law 106-65; 113 
     Stat. 959; 50 U.S.C. 2404) is amended by striking subsection 
     (c).

     SEC. 3143. CLARIFICATION OF STATUS WITHIN THE DEPARTMENT OF 
                   ENERGY OF ADMINISTRATION AND CONTRACTOR 
                   PERSONNEL OF THE NATIONAL NUCLEAR SECURITY 
                   ADMINISTRATION.

       Section 3219 of the National Nuclear Security 
     Administration Act, as redesignated and transferred by 
     section 3141(a)(1) of this Act, is further amended--
       (1) in subsection (a), by striking ``Administration--'' and 
     inserting ``Administration, in carrying out any function of 
     the Administration--''; and
       (2) in subsection (b), by striking ``shall'' and inserting 
     ``, in carrying out any function of the Administration, 
     shall''.

     SEC. 3144. MODIFICATION OF AUTHORITY OF ADMINISTRATOR FOR 
                   NUCLEAR SECURITY TO ESTABLISH SCIENTIFIC, 
                   ENGINEERING, AND TECHNICAL POSITIONS.

       (a) Increase in Authorized Number of Positions.--Section 
     3241 of the National Nuclear Security Administration Act 
     (title XXXII of Public Law 106-65; 113 Stat. 964; 50 U.S.C. 
     2441) is amended--
       (1) by inserting ``(a) In General--'' before ``The 
     Administrator''; and
       (2) in subsection (a), as so designated, by striking 
     ``300'' and inserting ``500''.
       (b) Designation of Existing Provisions on Treatment of 
     Authority.--That section is further amended--
       (1) by designating the second sentence as subsection (b);
       (2) aligning the margin of that subsection, as so 
     designated, so as to indent the text two ems; and
       (3) in that subsection, as so designated, by striking 
     ``Subject to the limitations in the preceding sentence,'' and 
     inserting ``(b) Treatment of Authority.--Subject to the 
     limitations in subsection (a),''.
       (c) Treatment of Positions.--That section is further 
     amended by adding at the end the following new subsection:
       ``(c) Treatment of Positions.--A position established under 
     subsection (a) may not be considered a Senior Executive 
     Service position (as that term is defined in section 
     3132(a)(2) of title 5, United States Code), and shall not be 
     subject to the provisions of subchapter II of chapter 31 of 
     that title, relating to the Senior Executive Service.''.

                       Subtitle E--Other Matters

     SEC. 3151. IMPROVEMENTS TO ENERGY EMPLOYEES OCCUPATIONAL 
                   ILLNESS COMPENSATION PROGRAM.

       (a) Certain Leukemia as Specified Cancer.--Section 3621(17) 
     of the Energy Employees Occupational Illness Compensation 
     Program Act of 2000 (title XXXVI of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398); 114 Stat. 1654A-502), as 
     amended by section 2403 of the Supplemental Appropriations 
     Act, 2001 (Public Law 107-20), is further amended by adding 
     at the end the following new subparagraph:
       ``(D) Leukemia (other than chronic lymphocytic leukemia), 
     if initial occupation exposure occurred before 21 years of 
     age and onset occurred more than two years after initial 
     occupational exposure.''.
       (b) Additional Members of Special Exposure Cohort.--Section 
     3626(b) of that Act (114 Stat. 1654A-505) is amended in the 
     matter preceding paragraph (1) by inserting after 
     ``Department of Energy facility'' the following: ``, or at an 
     atomic weapons employer facility,''.
       (c) Establishment of Chronic Silicosis.--Section 
     3627(e)(2)(A) of that Act (114 Stat. 1654A-506) is amended by 
     striking ``category 1/1'' and inserting ``category 1/0''.
       (d) Survivors.--
       (1) In general.--Subsection (e) of section 3628 of that Act 
     (114 Stat. 1654A-506) is amended to read as follows:
       ``(e) Survivors.--(1) If a covered employee dies before 
     accepting payment of compensation under this section, whether 
     or not the death is the result of the covered employee's 
     occupational illness, the survivors of the covered employee 
     who are living at the time of payment of compensation under 
     this section shall receive payment of compensation under this 
     section in lieu of the covered employee as follows:

       ``(A) If such living survivors of the covered employee 
     include a spouse and one or more children--
       ``(i) the spouse shall receive one-half of the amount of 
     compensation provided for the covered employee under this 
     section; and
       ``(ii) each child shall receive an equal share of the 
     remaining one-half of the amount of the compensation provided 
     for the covered employee under this section.
       ``(B) If such living survivors of the covered employee 
     include a spouse or one or more children, but not both a 
     spouse and one or more children--
       ``(i) the spouse shall receive the amount of compensation 
     provided for the covered employee under this section; or
       ``(ii) each child shall receive an equal share of the 
     amount of the compensation provided for the covered employee 
     under this section.
       ``(C) If such living survivors of the covered employee do 
     not include a spouse or any children, but do include one or 
     both parents, one or more grandparents, one or more 
     grandchildren, or any combination of such individuals, each 
     such individual shall receive an equal share of the amount of 
     the compensation provided for the covered employee under this 
     section.
       ``(2) For purposes of this subsection, the term `child', in 
     the case of a covered employee, means any child of the 
     covered employee, including a natural child, adopted child, 
     or step-child who lived with the covered employee in a 
     parent-child relationship.''.
       (2) Uranium employees.--Subsection (e) of section 3630 of 
     that Act (114 Stat. 1654A-507) is amended to read as follows:
       ``(e) Survivors.--(1) If a covered uranium employee dies 
     before accepting payment of compensation under this section, 
     whether or not the death is the result of the covered uranium 
     employee's occupational illness, the survivors of the covered 
     uranium employee who are living at the time of payment of 
     compensation under this section shall receive payment of 
     compensation under this section in lieu of the covered 
     uranium employee as follows:
       ``(A) If such living survivors of the covered uranium 
     employee include a spouse and one or more children--
       ``(i) the spouse shall receive one-half of the amount of 
     compensation provided for the covered uranium employee under 
     this section; and
       ``(ii) each child shall receive an equal share of the 
     remaining one-half of the amount of the compensation provided 
     for the covered uranium employee under this section.
       ``(B) If such living survivors of the covered uranium 
     employee include a spouse or one or more children, but not 
     both a spouse and one or more children--
       ``(i) the spouse shall receive the amount of compensation 
     provided for the covered uranium employee under this section; 
     or
       ``(ii) each child shall receive an equal share of the 
     amount of the compensation provided for the covered uranium 
     employee under this section.
       ``(C) If such living survivors of the covered uranium 
     employee do not include a spouse or any children, but do 
     include one or both parents, one or more grandparents, one or 
     more grandchildren, or any combination of such individuals, 
     each such individual shall receive an equal share of the 
     amount of the compensation provided for the covered uranium 
     employee under this section.
       ``(2) For purposes of this subsection, the term `child', in 
     the case of a covered uranium employee, means any child of 
     the covered employee, including a natural child, adopted 
     child, or step-child who lived with the covered employee in a 
     parent-child relationship.''.
       (3) Repeal of superseded provision.--Paragraph (18) of 
     section 3621 of that Act (114 Stat. 1654A-502) is repealed.
       (4) Effective date.--The amendments made by this subsection 
     shall take effect on July 1, 2001.
       (e) Dismissal of Pending Suits.--Section 3645(d) of that 
     Act (114 Stat. 1654A-510) is amended by striking ``the 
     plaintiff shall not'' and all that follows through the end 
     and inserting ``and was not dismissed as of the date of the 
     enactment of the National Defense Authorization Act for 
     Fiscal Year 2002, the plaintiff shall be eligible for 
     compensation or benefits under subtitle B only if the 
     plaintiff dismisses such case not later than December 31, 
     2003.''.
       (f) Attorney Fees.--Section 3648 of that Act (114 Stat. 
     1654A-511) is amended--
       (1) in subsection (b)--
       (A) in paragraph (1), by striking ``and'' at the end;
       (B) in paragraph (2), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following new paragraph (3):
       ``(3) 10 percent of any compensation paid under the claim 
     for assisting with or representing a claimant seeking such 
     compensation by the provision of services other than, or in 
     addition to, services in connection with the filing of an 
     initial claim covered by paragraph (1).'';
       (2) by redesignating subsection (c) and subsection (d); and

[[Page 20119]]

       (3) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) Inapplicability to Services Provided After Award of 
     Compensation.--This section shall not apply with respect to 
     any representation or assistance provided to an individual 
     awarded compensation under subtitle B after the award of 
     compensation.''.
       (g) Study of Residual Contamination of Facilities.--(1) The 
     National Institute for Occupational Safety and Health shall, 
     with the cooperation of the Department of Energy and the 
     Department of Labor, conduct a study on the following:
       (A) Whether or not significant contamination remained in 
     any atomic weapons employer facility or facility of a 
     beryllium vendor after such facility discontinued activities 
     relating to the production of nuclear weapons.
       (B) If so, whether or not such contamination could have 
     caused or substantially contributed to the cancer of a 
     covered employee with cancer or a covered beryllium illness, 
     as the case may be.
       (2)(A) Not later than 180 days after the date of the 
     enactment of this Act, the National Institute for 
     Occupational Safety and Health shall submit to the 
     congressional defense committees a report on the progress 
     made as of the date of the report on the study under 
     paragraph (1).
       (B) Not later than one year after the date of the enactment 
     of this Act, the National Institute shall submit to the 
     congressional defense committees a final report on the study 
     under paragraph (1).
       (3) Amounts for the study under paragraph (1) shall be 
     derived from amounts authorized to be appropriated by section 
     3614(a) of the Energy Employees Occupational Illness 
     Compensation Program Act of 2000 (114 Stat. 1654A-498).
       (4) In this subsection:
       (A) The terms ``atomic weapons employer facility'', 
     ``beryllium vendor'', ``covered employee with cancer'', and 
     ``covered beryllium illness'' have the meanings given those 
     terms in section 3621 of the Energy Employees Occupational 
     Illness Compensation Program Act of 2000 (114 Stat. 1654A-
     498).
       (B) The term ``contamination'' means the presence of any 
     material exposure to which could cause or substantially 
     contribute to the cancer of a covered employee with cancer or 
     a covered beryllium illness, as the case may be.

     SEC. 3152. DEPARTMENT OF ENERGY COUNTERINTELLIGENCE POLYGRAPH 
                   PROGRAM.

       (a) Interim Counterintelligence Polygraph Program.--(1) Not 
     later than 120 days after the date of enactment of this Act, 
     the Secretary of Energy shall submit to the congressional 
     defense committees a plan for conducting, as part of the 
     Department of Energy personnel assurance programs, an interim 
     counterintelligence polygraph program consisting of polygraph 
     examinations of Department of Energy employees, or contractor 
     employees, at Department facilities. The purpose of 
     examinations under the interim program is to minimize the 
     potential for release or disclosure of classified data, 
     materials, or information until the program required under 
     subsection (b) is in effect.
       (2) The Secretary may exclude from examinations under the 
     interim program any position or class of positions (as 
     determined by the Secretary) for which the individual or 
     individuals in such position or class of positions--
       (A) either--
       (i) operate in a controlled environment that does not 
     afford an opportunity, through action solely by the 
     individual or individuals, to inflict damage on or impose 
     risks to national security; and
       (ii) have duties, functions, or responsibilities which are 
     compartmentalized or supervised such that the individual or 
     individuals do not impose risks to national security; or
       (B) do not have routine access to top secret Restricted 
     Data.
       (3) The plan shall ensure that individuals who undergo 
     examinations under the interim program receive protections as 
     provided under part 40 of title 49, Code of Federal 
     Regulations.
       (4) To ensure that administration of the interim program 
     does not disrupt safe operations of a facility, the plan 
     shall insure notification of the management of the facility 
     at least 14 days in advance of any examination scheduled 
     under the interim program for any employees of the facility.
       (5) The plan shall include procedures under the interim 
     program for--
       (A) identifying and addressing so-called ``false positive'' 
     results of polygraph examinations; and
       (B) ensuring that adverse personnel actions not be taken 
     against an individual solely by reason of the individual's 
     physiological reaction to a question in a polygraph 
     examination, unless reasonable efforts are first made to 
     independently determine through alternative means the 
     veracity of the individual's response to the question.
       (b) New Counterintelligence Polygraph Program.--(1) Not 
     later than six months after obtaining the results of the 
     Polygraph Review, the Secretary shall prescribe a proposed 
     rule containing requirements for a counterintelligence 
     polygraph program for the Department of Energy. The purpose 
     of the program is to minimize the potential for release or 
     disclosure of classified data, materials, or information.
       (2) The Secretary shall prescribe the proposed rule under 
     this subsection in accordance with the provisions of 
     subchapter II of chapter 5 of title 5, United States Code 
     (commonly referred to as the Administrative Procedures Act).
       (3) In prescribing the proposed rule under this subsection, 
     the Secretary may include in requirements under the proposed 
     rule any requirement or exclusion provided for in paragraphs 
     (2) through (5) of subsection (a).
       (4) In prescribing the proposed rule under this subsection, 
     the Secretary shall take into account the results of the 
     Polygraph Review.
       (c) Repeal of Existing Polygraph Program.--Section 3154 of 
     the Department of Energy Facilities Safeguards, Security, and 
     Counterintelligence Enhancement Act of 1999 (subtitle D of 
     title XXXI of Public Law 106-65; 42 U.S.C. 7383h) is 
     repealed.
       (d) Report on Further Enhancement of Personnel Security 
     Program.--(1) Not later than December 31, 2002, the 
     Administrator for Nuclear Security shall submit to Congress a 
     report setting forth the recommendations of the Administrator 
     for any legislative action that the Administrator considers 
     appropriate in order to enhance the personnel security 
     program of the Department of Energy.
       (2) Any recommendations under paragraph (1) regarding the 
     use of polygraphs shall take into account the results of the 
     Polygraph Review.
       (e) Definitions.--In this section:
       (1) The term ``Polygraph Review'' means the review of the 
     Committee to Review the Scientific Evidence on the Polygraph 
     of the National Academy of Sciences.
       (2) The term ``Restricted Data'' has the meaning given that 
     term in section 11 y. of the Atomic Energy Act of 1954 (42 
     U.S.C. 2014(y)).

     SEC. 3153. ONE-YEAR EXTENSION OF AUTHORITY OF DEPARTMENT OF 
                   ENERGY TO PAY VOLUNTARY SEPARATION INCENTIVE 
                   PAYMENTS.

       Section 3161(a) of the National Defense Authorization Act 
     for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 942; 5 
     U.S.C. 5597 note) is amended by striking ``January 1, 2003'' 
     and inserting ``January 1, 2004''.

     SEC. 3154. ADDITIONAL OBJECTIVE FOR DEPARTMENT OF ENERGY 
                   DEFENSE NUCLEAR FACILITY WORK FORCE 
                   RESTRUCTURING PLAN.

       Section 3161(c) of the National Defense Authorization Act 
     for Fiscal Year 1993 (Public Law 102-484; 42 U.S.C. 7274h(c)) 
     is amended by adding at the end the following new paragraph:
       ``(7) The Department of Energy should provide assistance to 
     promote the diversification of the economies of communities 
     in the vicinity of any Department of Energy defense nuclear 
     facility that may, as determined by the Secretary, be 
     affected by a future restructuring of its work force under 
     the plan.''.

     SEC. 3155. MODIFICATION OF DATE OF REPORT OF PANEL TO ASSESS 
                   THE RELIABILITY, SAFETY, AND SECURITY OF THE 
                   UNITED STATES NUCLEAR STOCKPILE.

       Section 3159(d) of the Strom Thurmond National Defense 
     Authorization Act for Fiscal Year 1999 (Public Law 105-261; 
     42 U.S.C. 2121 note) is amended by striking ``of each year, 
     beginning with 1999,'' and inserting ``of 1999 and 2000, and 
     not later than February 1, 2002,''.

     SEC. 3156. REPORTS ON ACHIEVEMENT OF MILESTONES FOR NATIONAL 
                   IGNITION FACILITY.

       (a) Notification of Achievement.--The Administrator for 
     Nuclear Security shall notify the congressional defense 
     committees when the National Ignition Facility (NIF), 
     Lawrence Livermore National Laboratory, California, achieves 
     each Level one milestone and Level two milestone for the 
     National Ignition Facility.
       (b) Report on Failure of Timely Achievement.--Not later 
     than 10 days after the date on which the National Ignition 
     Facility fails to achieve a Level one milestone or Level two 
     milestone for the National Ignition Facility in a timely 
     manner, the Administrator shall submit to the congressional 
     defense committees a report on the failure. The report on a 
     failure shall include--
       (1) a statement of the failure of the National Ignition 
     Facility to achieve the milestone concerned in a timely 
     manner;
       (2) an explanation for the failure; and
       (3) either--
       (A) an estimate when the milestone will be achieved; or
       (B) if the milestone will not be achieved--
       (i) a statement that the milestone will not be achieved;
       (ii) an explanation why the milestone will not be achieved; 
     and
       (iii) the implications for the overall scope, schedule, and 
     budget of the National Ignition Facility project of not 
     achieving the milestone.
       (c) Milestones.--For purposes of this section, the Level 
     one milestones and Level two milestones for the National 
     Ignition Facility are as established in the August 2000 
     revised National Ignition Facility baseline document.

[[Page 20120]]



     SEC. 3157. SUPPORT FOR PUBLIC EDUCATION IN THE VICINITY OF 
                   LOS ALAMOS NATIONAL LABORATORY, NEW MEXICO.

       (a) Support in Fiscal Year 2002.--From amounts authorized 
     to be appropriated or otherwise made available to the 
     Secretary of Energy by this title--
       (1) $6,900,000 shall be available for payment by the 
     Secretary for fiscal year 2002 to the Los Alamos National 
     Laboratory Foundation, a not-for-profit educational 
     foundation chartered in accordance with section 3167(a) of 
     the National Defense Authorization Act for Fiscal Year 1998 
     (Public Law 105-85; 111 Stat. 2052); and
       (2) $8,000,000 shall be available for extension of the 
     contract between the Department of Energy and the Los Alamos 
     Public Schools through fiscal year 2002.
       (b) Support through Fiscal Year 2004.--Subject to the 
     availability of appropriations for such purposes, the 
     Secretary may--
       (1) make a payment for each of fiscal years 2003 and 2004 
     similar in amount to the payment referred to in subsection 
     (a)(1) for fiscal year 2002; and
       (2) provide for a contract extension through fiscal year 
     2004 similar to the contract extension referred to in 
     subsection (a)(2), including the use of an amount for that 
     purpose in each of fiscal years 2003 and 2004 similar to the 
     amount available for that purpose in fiscal year 2002 under 
     that subsection.
       (c) Use of Funds.--The Los Alamos National Laboratory 
     Foundation shall--
       (1) use funds provided the Foundation under this section as 
     a contribution to the endowment fund of the Foundation; and
       (2) use the income generated from investments in the 
     endowment fund that are attributable to payments made under 
     this section to fund programs to support the educational 
     needs of children in public schools in the vicinity of Los 
     Alamos National Laboratory.
       (d) Report.--Not later than March 1, 2003, the 
     Administrator for Nuclear Security shall submit to the 
     congressional defense committees a report setting for the 
     following:
       (1) An evaluation of the requirements for continued 
     payments after fiscal year 2004 into the endowment fund of 
     the Los Alamos Laboratory Foundation to enable the Foundation 
     to meet the goals of the Department of Energy to support the 
     recruitment and retention of staff at the Los Alamos National 
     Laboratory.
       (2) Recommendations regarding the advisability of any 
     further direct support after fiscal year 2004 for the Los 
     Alamos Public Schools.

     SEC. 3158. IMPROVEMENTS TO CORRAL HOLLOW ROAD, LIVERMORE, 
                   CALIFORNIA.

       Of the amounts authorized to be appropriated by section 
     3101, not more than $325,000 shall be available to the 
     Secretary of Energy for safety improvements to Corral Hollow 
     Road adjacent to Site 300 of Lawrence Livermore National 
     Laboratory, California.

     SEC. 3159. ANNUAL ASSESSMENT AND REPORT ON VULNERABILITY OF 
                   DEPARTMENT OF ENERGY FACILITIES TO TERRORIST 
                   ATTACK.

       (a) In General.--Part C of title VI of the Department of 
     Energy Organization Act (42 U.S.C. 7251 et seq.) is amended 
     by adding at the end the following new section:


   ``annual assessment and report on vulnerability of facilities to 
                            terrorist attack

       ``Sec. 663. (a) The Secretary shall, on an annual basis, 
     conduct a comprehensive assessment of the vulnerability of 
     Department facilities to terrorist attack.
       ``(b) Not later than January 31 each year, the Secretary 
     shall submit to Congress a report on the assessment conducted 
     under subsection (a) during the preceding year. Each report 
     shall include the results of the assessment covered by such 
     report, together with such findings and recommendations as 
     the Secretary considers appropriate.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of that Act is amended by inserting after the item 
     relating to section 662 the following new item:

``Sec. 663. Annual assessment and report on vulnerability of facilities 
              to terrorist attack.''.

            Subtitle F--Rocky Flats National Wildlife Refuge

     SEC. 3171. SHORT TITLE.

       This subtitle may be cited as the ``Rocky Flats National 
     Wildlife Refuge Act of 2001''.

     SEC. 3172. FINDINGS AND PURPOSES.

       (a) Findings.--Congress finds the following:
       (1) The Federal Government, through the Atomic Energy 
     Commission, acquired the Rocky Flats site in 1951 and began 
     operations there in 1952. The site remains a Department of 
     Energy facility. Since 1992, the mission of the Rocky Flats 
     site has changed from the production of nuclear weapons 
     components to cleanup and closure in a manner that is safe, 
     environmentally and socially responsible, physically secure, 
     and cost-effective.
       (2) The site has generally remained undisturbed since its 
     acquisition by the Federal Government.
       (3) The State of Colorado is experiencing increasing growth 
     and development, especially in the metropolitan Denver Front 
     Range area in the vicinity of the Rocky Flats site. That 
     growth and development reduces the amount of open space and 
     thereby diminishes for many metropolitan Denver communities 
     the vistas of the striking Front Range mountain backdrop.
       (4) Some areas of the site contain contamination and will 
     require further response action. The national interest 
     requires that the ongoing cleanup and closure of the entire 
     site be completed safely, effectively, and without 
     unnecessary delay and that the site thereafter be retained by 
     the United States and managed so as to preserve the value of 
     the site for open space and wildlife habitat.
       (5) The Rocky Flats site provides habitat for many wildlife 
     species, including a number of threatened and endangered 
     species, and is marked by the presence of rare xeric 
     tallgrass prairie plant communities. Establishing the site as 
     a unit of the National Wildlife Refuge System will promote 
     the preservation and enhancement of those resources for 
     present and future generations.
       (b) Purposes.--The purposes of this subtitle are--
       (1) to provide for the establishment of the Rocky Flats 
     site as a national wildlife refuge following cleanup and 
     closure of the site;
       (2) to create a process for public input on refuge 
     management before transfer of administrative jurisdiction to 
     the Secretary of the Interior; and
       (3) to ensure that the Rocky Flats site is thoroughly and 
     completely cleaned up.

     SEC. 3173. DEFINITIONS.

       In this subtitle:
       (1) Cleanup and closure.--The term ``cleanup and closure'' 
     means the response actions and decommissioning activities 
     being carried out at Rocky Flats by the Department of Energy 
     under the 1996 Rocky Flats Cleanup Agreement, the closure 
     plans and baselines, and any other relevant documents or 
     requirements.
       (2) Coalition.--The term ``Coalition'' means the Rocky 
     Flats Coalition of Local Governments established by the 
     Intergovernmental Agreement, dated February 16, 1999, among--
       (A) the city of Arvada, Colorado;
       (B) the city of Boulder, Colorado;
       (C) the city of Broomfield, Colorado;
       (D) the city of Westminster, Colorado;
       (E) the town of Superior, Colorado;
       (F) Boulder County, Colorado; and
       (G) Jefferson County, Colorado.
       (3) Hazardous substance.--The term ``hazardous substance'' 
     means--
       (A) any hazardous substance, pollutant, or contaminant 
     regulated under the Comprehensive Environmental Response, 
     Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et 
     seq.); and
       (B) any--
       (i) petroleum (including any petroleum product or 
     derivative);
       (ii) unexploded ordnance;
       (iii) military munition or weapon; or
       (iv) nuclear or radioactive material;

     not otherwise regulated as a hazardous substance under any 
     law in effect on the date of enactment of this Act.
       (4) Pollutant or contaminant.--The term ``pollutant or 
     contaminant'' has the meaning given the term in section 101 
     of the Comprehensive Environmental Response, Compensation, 
     and Liability Act of 1980 (42 U.S.C. 9601).
       (5) Refuge.--The term ``refuge'' means the Rocky Flats 
     National Wildlife Refuge established under section 3177.
       (6) Response action.--The term ``response action'' has the 
     meaning given the term ``response'' in section 101 of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980 (42 U.S.C. 9601) or any similar 
     requirement under State law.
       (7) RFCA.--The term ``RFCA'' means the Rocky Flats Cleanup 
     Agreement, an intergovernmental agreement, dated July 19, 
     1996, among--
       (A) the Department of Energy;
       (B) the Environmental Protection Agency; and
       (C) the Department of Public Health and Environment of the 
     State of Colorado.
       (8) Rocky flats.--
       (A) In general.--The term ``Rocky Flats'' means the Rocky 
     Flats Environmental Technology Site, Colorado, a defense 
     nuclear facility, as depicted on the map entitled ``Rocky 
     Flats Environmental Technology Site'', dated July 15, 1998, 
     and available for inspection in the appropriate offices of 
     the United States Fish and Wildlife Service.
       (B) Exclusions.--The term ``Rocky Flats'' does not 
     include--
       (i) land and facilities of the Department of Energy's 
     National Wind Technology Center; or
       (ii) any land and facilities not within the boundaries 
     depicted on the map identified in subparagraph (A).
       (9) Rocky flats trustees.--The term ``Rocky Flats 
     Trustees'' means the Federal and State of Colorado entities 
     that have been identified as trustees for Rocky Flats under 
     section 107(f)(2) of the Comprehensive Environmental 
     Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
     9607(f)(2)).
       (10) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.

[[Page 20121]]



     SEC. 3174. FUTURE OWNERSHIP AND MANAGEMENT.

       (a) Federal Ownership.--Except as expressly provided in 
     this subtitle or any Act enacted after the date of enactment 
     of this Act, all right, title, and interest of the United 
     States, held on or acquired after the date of enactment of 
     this Act, to land or interest therein, including minerals, 
     within the boundaries of Rocky Flats shall be retained by the 
     United States.
       (b) Lindsay Ranch.--The structures that comprise the former 
     Lindsay Ranch homestead site in the Rock Creek Reserve area 
     of the buffer zone, as depicted on the map referred to in 
     section 3173(8), shall be permanently preserved and 
     maintained in accordance with the National Historic 
     Preservation Act (16 U.S.C. 470 et seq.).
       (c) Prohibition on Annexation.--Neither the Secretary nor 
     the Secretary of the Interior shall allow the annexation of 
     land within the refuge by any unit of local government.
       (d) Prohibition on Through Roads.--Except as provided in 
     subsection (e), no public road shall be constructed through 
     Rocky Flats.
       (e) Transportation Right-of-Way.--
       (1) In general.--
       (A) Availability of land.--On submission of an application 
     meeting each of the conditions specified in paragraph (2), 
     the Secretary, in consultation with the Secretary of the 
     Interior, shall make available land along the eastern 
     boundary of Rocky Flats for the sole purpose of 
     transportation improvements along Indiana Street.
       (B) Boundaries.--Land made available under this paragraph 
     may not extend more than 300 feet from the west edge of the 
     Indiana Street right-of-way, as that right-of-way exists as 
     of the date of enactment of this Act.
       (C) Easement or sale.--Land may be made available under 
     this paragraph by easement or sale to 1 or more appropriate 
     entities.
       (D) Compliance with applicable law.--Any action under this 
     paragraph shall be taken in compliance with applicable law.
       (2) Conditions.--An application for land under this 
     subsection may be submitted by any county, city, or other 
     political subdivision of the State of Colorado and shall 
     include documentation demonstrating that--
       (A) the transportation project is constructed so as to 
     minimize adverse effects on the management of Rocky Flats as 
     a wildlife refuge; and
       (B) the transportation project is included in the regional 
     transportation plan of the metropolitan planning organization 
     designated for the Denver metropolitan area under section 
     5303 of title 49, United States Code.

     SEC. 3175. TRANSFER OF MANAGEMENT RESPONSIBILITIES AND 
                   JURISDICTION OVER ROCKY FLATS.

       (a) In General.--
       (1) Memorandum of understanding.--
       (A) In general.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary and the Secretary of the 
     Interior shall publish in the Federal Register a draft 
     memorandum of understanding under which--
       (i) the Secretary shall provide for the subsequent transfer 
     of administrative jurisdiction over Rocky Flats to the 
     Secretary of the Interior; and
       (ii) the Secretary of the Interior shall manage natural 
     resources at Rocky Flats until the date on which the transfer 
     becomes effective.
       (B) Required elements.--
       (i) In general.--Subject to clause (ii), the memorandum of 
     understanding shall--

       (I) provide for the division of responsibilities between 
     the Secretary and the Secretary of the Interior necessary to 
     carry out the proposed transfer of land;
       (II) for the period ending on the date of the transfer--

       (aa) provide for the division of responsibilities between 
     the Secretary and the Secretary of the Interior; and
       (bb) provide for the management of the land proposed to be 
     transferred by the Secretary of the Interior as a national 
     wildlife refuge, for the purposes provided under section 
     3177(d)(2);

       (III) provide for the annual transfer of funds from the 
     Secretary to the Secretary of the Interior for the management 
     of the land proposed to be transferred; and
       (IV) subject to subsection (b)(1), identify the land 
     proposed to be transferred to the Secretary of the Interior.

       (ii) No reduction in funds.--The memorandum of 
     understanding and the subsequent transfer shall not result in 
     any reduction in funds available to the Secretary for cleanup 
     and closure of Rocky Flats.
       (C) Deadline.--Not later than 18 months after the date of 
     enactment of this Act, the Secretary and Secretary of the 
     Interior shall finalize and implement the memorandum of 
     understanding.
       (2) Exclusions.--The transfer under paragraph (1) shall not 
     include the transfer of any property or facility over which 
     the Secretary retains jurisdiction, authority, and control 
     under subsection (b)(1).
       (3) Condition.--The transfer under paragraph (1) shall 
     occur--
       (A) not earlier than the date on which the Administrator of 
     the Environmental Protection Agency certifies to the 
     Secretary and to the Secretary of the Interior that the 
     cleanup and closure and all response actions at Rocky Flats 
     have been completed, except for the operation and maintenance 
     associated with those actions; but
       (B) not later than 30 business days after that date.
       (4) Cost; improvements.--The transfer--
       (A) shall be completed without cost to the Secretary of the 
     Interior; and
       (B) may include such buildings or other improvements as the 
     Secretary of the Interior has requested in writing for refuge 
     management purposes.
       (b) Property and Facilities Excluded From Transfers.--
       (1) In general.--The Secretary shall retain jurisdiction, 
     authority, and control over all real property and facilities 
     at Rocky Flats that are to be used for--
       (A) any necessary and appropriate long-term operation and 
     maintenance facility to intercept, treat, or control a 
     radionuclide or any other hazardous substance, pollutant, or 
     contaminant; and
       (B) any other purpose relating to a response action or any 
     other action that is required to be carried out at Rocky 
     Flats.
       (2) Consultation.--
       (A) Identification of property.--
       (i) In general.--The Secretary shall consult with the 
     Secretary of the Interior, the Administrator of the 
     Environmental Protection Agency, and the State of Colorado on 
     the identification of all property to be retained under this 
     subsection to ensure the continuing effectiveness of response 
     actions.
       (ii) Amendment to memorandum of understanding.--

       (I) In general.--After the consultation, the Secretary and 
     the Secretary of the Interior shall by mutual consent amend 
     the memorandum of understanding required under subsection (a) 
     to specifically identify the land for transfer and provide 
     for determination of the exact acreage and legal description 
     of the property to be transferred by a survey mutually 
     satisfactory to the Secretary and the Secretary of the 
     Interior.
       (II) Council on environmental quality.--In the event the 
     Secretary and the Secretary of the Interior cannot agree on 
     the land to be retained or transferred, the Secretary or the 
     Secretary of the Interior may refer the issue to the Council 
     on Environmental Quality, which shall decide the issue within 
     45 days of such referral, and the Secretary and the Secretary 
     of the Interior shall then amend the memorandum of 
     understanding required under subsection (a) in conformity 
     with the decision of the Council on Environmental Quality.

       (B) Management of property.--
       (i) In general.--The Secretary shall consult with the 
     Secretary of the Interior on the management of the retained 
     property to minimize any conflict between the management of 
     property transferred to the Secretary of the Interior and 
     property retained by the Secretary for response actions.
       (ii) Conflict.--In the case of any such conflict, 
     implementation and maintenance of the response action shall 
     take priority.
       (3) Access.--As a condition of the transfer under 
     subsection (a), the Secretary shall be provided such 
     easements and access as are reasonably required to carry out 
     any obligation or address any liability.
       (c) Administration.--
       (1) In general.--On completion of the transfer under 
     subsection (a), the Secretary of the Interior shall 
     administer Rocky Flats in accordance with this subtitle 
     subject to--
       (A) any response action or institutional control at Rocky 
     Flats carried out by or under the authority of the Secretary 
     under the Comprehensive Environmental Response, Compensation, 
     and Liability Act of 1980 (42 U.S.C. 9601 et seq.); and
       (B) any other action required under any other Federal or 
     State law to be carried out by or under the authority of the 
     Secretary.
       (2) Conflict.--In the case of any conflict between the 
     management of Rocky Flats by the Secretary of the Interior 
     and the conduct of any response action or other action 
     described in subparagraph (A) or (B) of paragraph (1), the 
     response action or other action shall take priority.
       (3) Continuing actions.--Except as provided in paragraph 
     (1), nothing in this subsection affects any response action 
     or other action initiated at Rocky Flats on or before the 
     date of the transfer under subsection (a).
       (d) Liability.--
       (1) In general.--The Secretary shall retain any obligation 
     or other liability for land transferred under subsection (a) 
     under--
       (A) the Comprehensive Environmental Response, Compensation, 
     and Liability Act of 1980 (42 U.S.C. 9601 et seq.); or
       (B) any other applicable law.
       (2) Response actions.--
       (A) In general.--The Secretary shall be liable for the cost 
     of any necessary response actions, including any costs or 
     claims asserted against the Secretary, for any release, or 
     substantial threat of release, of a hazardous substance, if 
     the release, or substantial threat of release, is--
       (i) located on or emanating from land--

       (I) identified for transfer by this section; or
       (II) subsequently transferred under this section;

       (ii)(I) known at the time of transfer; or

[[Page 20122]]

       (II) subsequently discovered; and
       (iii) attributable to--

       (I) management of the land by the Secretary; or
       (II) the use, management, storage, release, treatment, or 
     disposal of a hazardous substance on the land by the 
     Secretary.

       (B) Recovery from third party.--Nothing in this paragraph 
     precludes the Secretary, on behalf of the United States, from 
     bringing a cost recovery, contribution, or other action 
     against a third party that the Secretary reasonably believes 
     may have contributed to the release, or substantial threat of 
     release, of a hazardous substance.

     SEC. 3176. CONTINUATION OF ENVIRONMENTAL CLEANUP AND CLOSURE.

       (a) Ongoing Cleanup and Closure.--
       (1) In general.--The Secretary shall--
       (A) carry out to completion cleanup and closure at Rocky 
     Flats; and
       (B) conduct any necessary operation and maintenance of 
     response actions.
       (2) No restriction on use of new technologies.--Nothing in 
     this subtitle, and no action taken under this subtitle, 
     restricts the Secretary from using at Rocky Flats any new 
     technology that may become available for remediation of 
     contamination.
       (b) Rules of Construction.--
       (1) No relief from obligations under other law.--
       (A) In general.--Nothing in this subtitle, and no action 
     taken under this subtitle, relieves the Secretary, the 
     Administrator of the Environmental Protection Agency, or any 
     other person from any obligation or other liability with 
     respect to Rocky Flats under the RFCA or any applicable 
     Federal or State law.
       (B) No effect on rfca.--Nothing in this subtitle impairs or 
     alters any provision of the RFCA.
       (2) Required cleanup levels.--
       (A) In general.--Except as provided in subparagraph (B), 
     nothing in this subtitle affects the level of cleanup and 
     closure at Rocky Flats required under the RFCA or any Federal 
     or State law.
       (B) No effect from establishment as national wildlife 
     refuge.--
       (i) In general.--The requirements of this subtitle for 
     establishment and management of Rocky Flats as a national 
     wildlife refuge shall not reduce the level of cleanup and 
     closure.
       (ii) Cleanup levels.--The Secretary shall conduct cleanup 
     and closure of Rocky Flats to the levels established for 
     soil, water, and other media, following a thorough review, by 
     the parties to the RFCA and the public (including the United 
     States Fish and Wildlife Service and other interested 
     government agencies), of the appropriateness of the interim 
     levels in the RFCA.
       (3) No effect on obligations for measures to control 
     contamination.--Nothing in this subtitle, and no action taken 
     under this subtitle, affects any long-term obligation of the 
     United States, acting through the Secretary, relating to 
     funding, construction, monitoring, or operation and 
     maintenance of--
       (A) any necessary intercept or treatment facility; or
       (B) any other measure to control contamination.
       (c) Payment of Response Action Costs.--Nothing in this 
     subtitle affects the obligation of a Federal department or 
     agency that had or has operations at Rocky Flats resulting in 
     the release or threatened release of a hazardous substance or 
     pollutant or contaminant to pay the costs of response actions 
     carried out to abate the release of, or clean up, the 
     hazardous substance or pollutant or contaminant.
       (d) Consultation.--In carrying out a response action at 
     Rocky Flats, the Secretary shall consult with the Secretary 
     of the Interior to ensure that the response action is carried 
     out in a manner that--
       (1) does not impair the attainment of the goals of the 
     response action; but
       (2) minimizes, to the maximum extent practicable, adverse 
     effects of the response action on the refuge.

     SEC. 3177. ROCKY FLATS NATIONAL WILDLIFE REFUGE.

       (a) Establishment.--Not later than 30 days after the 
     transfer of jurisdiction under section 3175(a), the Secretary 
     of the Interior shall establish at Rocky Flats a national 
     wildlife refuge to be known as the ``Rocky Flats National 
     Wildlife Refuge''.
       (b) Composition.--The refuge shall consist of the real 
     property subject to the transfer of administrative 
     jurisdiction under section 3175(a)(1).
       (c) Notice.--The Secretary of the Interior shall publish in 
     the Federal Register a notice of the establishment of the 
     refuge.
       (d) Administration and Purposes.--
       (1) In general.--The Secretary of the Interior shall manage 
     the refuge in accordance with applicable law, including this 
     subtitle, the National Wildlife Refuge System Administration 
     Act of 1966 (16 U.S.C. 668dd et seq.), and the purposes 
     specified in that Act.
       (2) Refuge purposes.--At the conclusion of the transfer 
     under section 3175(a)(3), the refuge shall be managed for the 
     purposes of--
       (A) restoring and preserving native ecosystems;
       (B) providing habitat for, and population management of, 
     native plants and migratory and resident wildlife;
       (C) conserving threatened and endangered species (including 
     species that are candidates for listing under the Endangered 
     Species Act of 1973 (16 U.S.C. 1531 et seq.)); and
       (D) providing opportunities for compatible, wildlife-
     dependent environmental scientific research.
       (3) Management.--In managing the refuge, the Secretary 
     shall ensure that wildlife-dependent recreation and 
     environmental education and interpretation are the priority 
     public uses of the refuge.

     SEC. 3178. COMPREHENSIVE CONSERVATION PLAN.

       (a) In General.--Not later than 180 days after the date of 
     enactment of this Act, in developing a comprehensive 
     conservation plan in accordance with section 4(e) of the 
     National Wildlife Refuge System Administration Act of 1966 
     (16 U.S.C. 668dd(e)), the Secretary of the Interior, in 
     consultation with the Secretary, the members of the 
     Coalition, the Governor of the State of Colorado, and the 
     Rocky Flats Trustees, shall establish a comprehensive 
     planning process that involves the public and local 
     communities.
       (b) Other Participants.--In addition to the entities 
     specified in subsection (a), the comprehensive planning 
     process shall include the opportunity for direct involvement 
     of entities not members of the Coalition as of the date of 
     enactment of this Act, including the Rocky Flats Citizens' 
     Advisory Board and the cities of Thornton, Northglenn, 
     Golden, Louisville, and Lafayette, Colorado.
       (c) Dissolution of Coalition.--If the Coalition dissolves, 
     or if any Coalition member elects to leave the Coalition 
     during the comprehensive planning process under this 
     section--
       (1) the comprehensive planning process under this section 
     shall continue; and
       (2) an opportunity shall be provided to each entity that is 
     a member of the Coalition as of September 1, 2000, for direct 
     involvement in the comprehensive planning process.
       (d) Contents.--In addition to the requirements under 
     section 4(e) of the National Wildlife Refuge System 
     Administration Act of 1966 (16 U.S.C. 668dd(e)), the 
     comprehensive conservation plan required by this section 
     shall address and make recommendations on the following:
       (1) The identification of any land described in section 
     3174(e) that could be made available for transportation 
     purposes.
       (2) The potential for leasing any land in Rocky Flats for 
     the National Renewable Energy Laboratory to carry out 
     projects relating to the National Wind Technology Center.
       (3) The characteristics and configuration of any perimeter 
     fencing that may be appropriate or compatible for cleanup and 
     closure, refuge, or other purposes.
       (4) The feasibility of locating, and the potential location 
     for, a visitor and education center at the refuge.
       (5) Any other issues relating to Rocky Flats.
       (e) Report.--Not later than 3 years after the date of 
     enactment of this Act, the Secretary of the Interior shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Resources of the House of Representatives--
       (1) the comprehensive conservation plan prepared under this 
     section; and
       (2) a report that--
       (A) outlines the public involvement in the comprehensive 
     planning process; and
       (B) to the extent that any input or recommendation from the 
     comprehensive planning process is not accepted, clearly 
     states the reasons why the input or recommendation is not 
     accepted.

     SEC. 3179. PROPERTY RIGHTS.

       (a) In General.--Except as provided in subsection (c), 
     nothing in this subtitle limits any valid, existing property 
     right at Rocky Flats that is owned by any person or entity, 
     including, but not limited to--
       (1) any mineral right;
       (2) any water right or related easement; and
       (3) any facility or right-of-way for a utility.
       (b) Access.--Except as provided in subsection (c), nothing 
     in this subtitle affects any right of an owner of a property 
     right described in subsection (a) to access the owner's 
     property.
       (c) Reasonable Conditions.--
       (1) In general.--The Secretary or the Secretary of the 
     Interior may impose such reasonable conditions on access to 
     property rights described in subsection (a) as are 
     appropriate for the cleanup and closure of Rocky Flats and 
     for the management of the refuge.
       (2) No effect on applicable law.--Nothing in this subtitle 
     affects any other applicable Federal, State, or local law 
     (including any regulation) relating to the use, development, 
     and management of property rights described in subsection 
     (a).
       (3) No effect on access rights.--Nothing in this subsection 
     precludes the exercise of any access right, in existence on 
     the date of enactment of this Act, that is necessary to 
     perfect or maintain a water right in existence on that date.
       (d) Purchase of Mineral Rights.--
       (1) In general.--The Secretary shall seek to acquire any 
     and all mineral rights at

[[Page 20123]]

     Rocky Flats through donation or through purchase or exchange 
     from willing sellers for fair market value.
       (2) Funding.--The Secretary and the Secretary of the 
     Interior--
       (A) may use for the purchase of mineral rights under 
     paragraph (1) funds specifically provided by Congress; but
       (B) shall not use for such purchase funds appropriated by 
     Congress for the cleanup and closure of Rocky Flats.
       (e) Utility Extension.--
       (1) In general.--The Secretary or the Secretary of the 
     Interior may allow not more than one extension from an 
     existing utility right-of-way on Rocky Flats, if necessary.
       (2) Conditions.--An extension under paragraph (1) shall be 
     subject to the conditions specified in subsection (c).
       (f) Easement Surveys.--
       (1) In general.--Subject to paragraph (2), until the date 
     that is 180 days after the date of enactment of this Act, an 
     entity that possesses a decreed water right or prescriptive 
     easement relating to land at Rocky Flats may carry out such 
     surveys at Rocky Flats as the entity determines are necessary 
     to perfect the right or easement.
       (2) Limitation on conditions.--An activity carried out 
     under paragraph (1) shall be subject only to such conditions 
     as are imposed--
       (A) by the Secretary of Energy, before the date on which 
     the transfer of management responsibilities under section 
     3175(a)(3) is completed, to minimize interference with the 
     cleanup and closure of Rocky Flats; and
       (B) by the Secretary of the Interior, on or after the date 
     on which the transfer of management responsibilities under 
     section 3175(a)(3) is completed, to minimize adverse effects 
     on the management of the refuge.

     SEC. 3180. ROCKY FLATS MUSEUM.

       (a) Museum.--In order to commemorate the contribution that 
     Rocky Flats and its worker force provided to the winning of 
     the Cold War and the impact that the contribution has had on 
     the nearby communities and the State of Colorado, the 
     Secretary may establish a Rocky Flats Museum.
       (b) Location.--The Rocky Flats Museum shall be located in 
     the city of Arvada, Colorado, unless, after consultation 
     under subsection (c), the Secretary determines otherwise.
       (c) Consultation.--The Secretary shall consult with the 
     city of Arvada, other local communities, and the Colorado 
     State Historical Society on--
       (1) the development of the museum;
       (2) the siting of the museum; and
       (3) any other issues relating to the development and 
     construction of the museum.
       (d) Report.--Not later than three years after the date of 
     enactment of this Act, the Secretary, in coordination with 
     the city of Arvada, shall submit to the Committee on Armed 
     Services of the Senate and the appropriate committee of the 
     House of Representatives a report on the costs associated 
     with the construction of the museum and any other issues 
     relating to the development and construction of the museum.

     SEC. 3181. REPORT ON FUNDING.

       At the time of submission of the first budget of the United 
     States Government submitted by the President under section 
     1105 of title 31, United States Code, after the date of 
     enactment of this Act, and annually thereafter, the Secretary 
     and the Secretary of the Interior shall report to the 
     Committee on Armed Services and the Committee on 
     Appropriations of the Senate and the appropriate committees 
     of the House of Representatives on--
       (1) the costs incurred in implementing this subtitle during 
     the preceding fiscal year; and
       (2) the funds required to implement this subtitle during 
     the current and subsequent fiscal years.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

     SEC. 3201. AUTHORIZATION.

       There are authorized to be appropriated for fiscal year 
     2002, $18,500,000 for the operation of the Defense Nuclear 
     Facilities Safety Board under chapter 21 of the Atomic Energy 
     Act of 1954 (42 U.S.C. 2286 et seq.).

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

     SEC. 3301. AUTHORITY TO DISPOSE OF CERTAIN MATERIALS IN THE 
                   NATIONAL DEFENSE STOCKPILE.

       (a) Disposal Required.--Subject to the conditions specified 
     in subsection (b), the President may dispose of obsolete and 
     excess materials currently contained in the National Defense 
     Stockpile provided for in section 4 of the Strategic and 
     Critical Materials Stock Piling Act (50 U.S.C. 98c). The 
     materials subject to disposal under this subsection and the 
     quantity of each material authorized to be disposed of by the 
     President are set forth in the following table:


                     Authorized Stockpile Disposals
------------------------------------------------------------------------
           Material for disposal                      Quantity
------------------------------------------------------------------------
Bauxite...................................  40,000 short tons
Chromium Metal............................  3,512 short tons
Iridium...................................  25,140 troy ounces
Jewel Bearings............................  30,273,221 pieces
Manganese Ferro HC........................  209,074 short tons
Palladium.................................  11 troy ounces
Quartz Crystal............................  216,648 pounds
Tantalum Metal Ingot......................  120,228 pounds contained
Tantalum Metal Powder.....................  36,020 pounds contained
Thorium Nitrate...........................  600,000 pounds.
------------------------------------------------------------------------

       (b) Minimization of Disruption and Loss.--The President may 
     not dispose of materials under subsection (a) to the extent 
     that the disposal will result in--
       (1) undue disruption of the usual markets of producers, 
     processors, and consumers of the materials proposed for 
     disposal; or
       (2) avoidable loss to the United States.
       (c) Relationship to Other Disposal Authority.--The disposal 
     authority provided in subsection (a) is new disposal 
     authority and is in addition to, and shall not affect, any 
     other disposal authority provided by law regarding the 
     materials specified in such subsection.

     SEC. 3302. REVISION OF LIMITATIONS ON REQUIRED DISPOSALS OF 
                   COBALT IN THE NATIONAL DEFENSE STOCKPILE.

       (a) Public Law 105-261.--Section 3303 of the Strom Thurmond 
     National Defense Authorization Act for Fiscal Year 1999 (112 
     Stat. 2263; 50 U.S.C. 98d note) is amended--
       (1) in subsection (a), by striking ``the amount of--'' and 
     inserting ``total amounts not less than--''; and
       (2) in subsection (b)(2), by striking ``receipts in the 
     amounts specified in subsection (a)'' and inserting 
     ``receipts in the total amount specified in such subsection 
     (a)(4)''.
       (b) Public Law 105-85.--Section 3305 of the National 
     Defense Authorization Act for Fiscal Year 1998 (111 Stat. 
     2057; 50 U.S.C. 98d note) is amended--
       (1) in subsection (a), by striking ``amounts equal to--'' 
     and inserting ``total amounts not less than--''; and
       (2) in subsection (b)(2)--
       (A) by striking ``may not dispose of cobalt under this 
     section'' and inserting ``may not, under this section, 
     dispose of cobalt in the fiscal year referred to in 
     subsection (a)(5)''; and
       (B) by striking ``receipts in the amounts specified in 
     subsection (a)'' and inserting ``receipts during that fiscal 
     year in the total amount specified in such subsection 
     (a)(5)''.
       (c) Public Law 104-201.--Section 3303 of the National 
     Defense Authorization Act for Fiscal Year 1997 (110 Stat. 
     2855; 50 U.S.C. 98d note) is amended--
       (1) in subsection (a), by striking ``amounts equal to--'' 
     and inserting ``total amounts not less than--''; and
       (2) in subsection (b)(2)--
       (A) by striking ``may not dispose of materials under this 
     section'' and inserting ``may not, under this section, 
     dispose of materials during the 10-fiscal year period 
     referred to in subsection (a)(2)''; and
       (B) by striking ``receipts in the amounts specified in 
     subsection (a)'' and inserting ``receipts during that period 
     in the total amount specified in such subsection (a)(2)''.

     SEC. 3303. ACCELERATION OF REQUIRED DISPOSAL OF COBALT IN THE 
                   NATIONAL DEFENSE STOCKPILE.

       Section 3305(a) of the National Defense Authorization Act 
     for Fiscal Year 1998 (111 Stat. 2057; 50 U.S.C. 98d note) is 
     amended--
       (1) in paragraph (1), by striking ``2003'' and inserting 
     ``2002'';
       (2) in paragraph (1), by striking ``2004'' and inserting 
     ``2003'';
       (3) in paragraph (1), by striking ``2005'' and inserting 
     ``2004'';
       (4) in paragraph (1), by striking ``2006'' and inserting 
     ``2005''; and
       (5) in paragraph (1), by striking ``2007'' and inserting 
     ``2006''.

     SEC. 3304. REVISION OF RESTRICTION ON DISPOSAL OF MANGANESE 
                   FERRO.

       Section 3304 of the National Defense Authorization Act for 
     Fiscal Year 1996 (Public Law 104-106; 110 Stat. 629) is 
     amended--
       (1) in subsection (a)--
       (A) by striking ``(a) Disposal of Lower Grade Material 
     First.--The President'' and inserting ``During fiscal year 
     2002, the President''; and
       (B) in the first sentence, by striking ``, until completing 
     the disposal of all manganese ferro in the National Defense 
     Stockpile that does not meet such classification''; and
       (2) by striking subsections (b) and (c).

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

     SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

       (a) Authorization of Appropriations.--There is hereby 
     authorized to be appropriated to the Secretary of Energy 
     $17,371,000 for fiscal year 2002 for the purpose of carrying 
     out activities under chapter 641 of title 10, United States 
     Code, relating to the naval petroleum reserves (as defined in 
     section 7420(2) of such title).
       (b) Availability.--The amount authorized to be appropriated 
     by subsection (a) shall remain available until expended.


                      Motion Offered by Mr. Stump

  Mr. STUMP. Mr. Speaker, I offer a motion.
  The Clerk read as follows:

       Mr. Stump moves to strike all after the enacting clause of 
     the bill, S. 1438 and to insert in lieu thereof the 
     provisions of H.R. 2586 as passed by the House.

  The text of H.R. 2586 is as follows:

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

[[Page 20124]]



     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Defense 
     Authorization Act for Fiscal Year 2002''.

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

       (a) Divisions.--This Act is organized into three divisions 
     as follows:
       (1) Division A--Department of Defense Authorizations.
       (2) Division B--Military Construction Authorizations.
       (3) Division C--Department of Energy National Security 
     Authorizations and Other Authorizations.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

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

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical demilitarization program.
Sec. 107. Defense health programs.
Sec. 108. Additional amount for shipbuilding and conversion, Navy.

                       Subtitle B--Army Programs

Sec. 111. Extension of multiyear contract for Family of Medium Tactical 
              Vehicles.
Sec. 112. Repeal of limitations on bunker defeat munitions program.

                     Subtitle C--Air Force Programs

Sec. 121. Responsibility of Air Force for contracts for all defense 
              space launches.
Sec. 122. Multi-year procurement of C-17 aircraft.

               Subtitle D--Chemical Munitions Destruction

Sec. 141. Destruction of existing stockpile of lethal chemical agents 
              and munitions.

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

              Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Cooperative Department of Defense-Department of Veterans 
              Affairs medical research program.
Sec. 212. Advanced Land Attack Missile program.
Sec. 213. Collaborative program for development of advanced radar 
              systems for naval applications.
Sec. 214. Cost limitation applicable to F-22 aircraft program 
              engineering and manufacturing development.
Sec. 215. C-5 aircraft modernization.

                 Subtitle C--Ballistic Missile Defense

Sec. 231. Transfer of responsibility for procurement for missile 
              defense programs from Ballistic Missile Defense 
              Organization to military departments.
Sec. 232. Repeal of program element requirements for ballistic missile 
              defense programs.
Sec. 233. Support of ballistic missile defense activities of the 
              Department of Defense by the national defense 
              laboratories of the Department of Energy.
Sec. 234. Missile defense testing initiative.
Sec. 235. Missile Defense System Test Bed Facilities.

                       Subtitle D--Other Matters

Sec. 241. Establishment of unmanned aerial vehicle joint operational 
              test bed system.
Sec. 242. Demonstration project to increase small business and 
              university participation in Office of Naval Research 
              efforts to extend benefits of science and technology 
              research to fleet.
Sec. 243. Management responsibility for Navy mine countermeasures 
              programs.
Sec. 244. Program to accelerate the introduction of innovative 
              technology in defense acquisition programs.

   Subtitle E--Air Force Science and Technology for the 21st Century

Sec. 251. Short title.
Sec. 252. Science and technology investment and development planning.
Sec. 253. Study and report on effectiveness of Air Force science and 
              technology program changes.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.

                  Subtitle B--Environmental Provisions

Sec. 311. Inventory of explosive risk sites at former military ranges.
Sec. 312. National security impact statements.
Sec. 313. Reimbursement for certain costs in connection with Hooper 
              Sands site, South Berwick, Maine.
Sec. 314. River mitigation studies.
Sec. 315. Elimination of annual report on contractor reimbursement for 
              costs of environmental response actions.

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

Sec. 321. Reserve component commissary benefits.
Sec. 322. Reimbursement for noncommissary use of commissary facilities.
Sec. 323. Civil recovery for nonappropriated fund instrumentality costs 
              related to shoplifting.

                 Subtitle D--Workforce and Depot Issues

Sec. 331. Workforce review limitations.
Sec. 332. Applicability of core logistics capability requirements to 
              nuclear aircraft carriers.
Sec. 333. Continuation of contractor manpower reporting system in 
              Department of the Army.
Sec. 334. Limitation on expansion of Wholesale Logistics Modernization 
              Program.
Sec. 335. Pilot project for exclusion of certain expenditures from 
              limitation on private sector performance of depot-level 
              maintenance.
Sec. 336. Protections for purchasers of articles and services 
              manufactured or performed by working-capital funded 
              industrial facilities of the Department of Defense.

                Subtitle E--Defense Dependents Education

Sec. 341. Assistance to local educational agencies that benefit 
              dependents of members of the Armed Forces and Department 
              of Defense civilian employees.
Sec. 342. Availability of auxiliary services of defense dependents' 
              education system for dependents who are home school 
              students.
Sec. 343. Report regarding compensation for teachers employed in 
              teaching positions in overseas schools operated by the 
              Department of Defense.

                       Subtitle F--Other Matters

Sec. 351. Availability of excess defense personal property to support 
              Department of Veterans Affairs initiative to assist 
              homeless veterans.
Sec. 352. Continuation of limitations on implementation of Navy-Marine 
              Corps Intranet contract.
Sec. 353. Completion and evaluation of current demonstration programs 
              to improve quality of personal property shipments of 
              members.
Sec. 354. Expansion of entities eligible for loan, gift, and exchange 
              of documents, historical artifacts, and obsolete combat 
              materiel.
Sec. 355. Sense of Congress regarding security to be provided at the 
              2002 Winter Olympic Games.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.

                       Subtitle B--Reserve Forces

Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the 
              reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2002 limitation on non-dual status technicians.
Sec. 415. Limitations on numbers of Reserve personnel serving on active 
              duty or full-time National Guard duty in certain grades 
              for administration of Reserve components.

       Subtitle C--Other Matters Relating to Personnel Strengths

Sec. 421. Increase in percentage by which active component end 
              strengths for any fiscal year may be increased.
Sec. 422. Active duty end strength exemption for National Guard and 
              reserve personnel performing funeral honors functions.
Sec. 423. Increase in authorized strengths for Air Force officers on 
              active duty in the grade of major.

              Subtitle D--Authorization of Appropriations

Sec. 431. Authorization of appropriations for military personnel.

[[Page 20125]]

                   TITLE V--MILITARY PERSONNEL POLICY

          Subtitle A--General Personnel Management Authorities

Sec. 501. Enhanced flexibility for management of senior general and 
              flag officer positions.
Sec. 502. Original appointments in regular grades for Academy graduates 
              and certain other new officers.
Sec. 503. Temporary reduction of time-in-grade requirement for 
              eligibility for promotion for certain active-duty list 
              officers in grades of first lieutenant and lieutenant 
              (junior grade).
Sec. 504. Increase in senior enlisted active duty grade limit for Navy, 
              Marine Corps, and Air Force.
Sec. 505. Authority for limited extension of medical deferment of 
              mandatory retirement or separation.
Sec. 506. Authority for limited extension on active duty of members 
              subject to mandatory retirement or separation.
Sec. 507. Clarification of disability severance pay computation.
Sec. 508. Officer in charge of United States Navy Band.
Sec. 509. One-year extension of expiration date for certain force 
              management authorities.

             Subtitle B--Reserve Component Personnel Policy

Sec. 511. Placement on active-duty list of certain reserve officers on 
              active duty for a period of three years or less.
Sec. 512. Expanded application of Reserve special selection boards.
Sec. 513. Exception to baccalaureate degree requirement for appointment 
              of reserve officers to grades above first lieutenant.
Sec. 514. Improved disability benefits for certain reserve component 
              members.
Sec. 515. Time-in-grade requirement for reserve component officers with 
              a nonservice connected disability.
Sec. 516. Reserve members considered to be deployed for purposes of 
              personnel tempo management.
Sec. 517. Funeral honors duty performed by Reserve and Guard members to 
              be treated as inactive-duty training for certain 
              purposes.
Sec. 518. Members of the National Guard performing funeral honors duty 
              while in non-Federal status.
Sec. 519. Use of military leave for funeral honors duty by Reserve 
              members and National Guardsmen.
Sec. 520. Preparation for, participation in, and conduct of athletic 
              competitions by the National Guard and members of the 
              National Guard.

 Subtitle C--Joint Specialty Officers and Joint Professional Military 
                               Education

Sec. 521. Nominations for joint specialty.
Sec. 522. Joint duty credit.
Sec. 523. Retroactive joint service credit for duty in certain joint 
              task forces.
Sec. 524. Revision to annual report on joint officer management.
Sec. 525. Requirement for selection for joint specialty before 
              promotion to general or flag officer grade.
Sec. 526. Independent study of joint officer management and joint 
              professional military education reforms.
Sec. 527. Professional development education.
Sec. 528. Authority for National Defense University to enroll certain 
              private sector civilians.
Sec. 529. Continuation of reserve component professional military 
              education test.

              Subtitle D--Military Education and Training

Sec. 531. Defense Language Institute Foreign Language Center.
Sec. 532. Authority for the Marine Corps University to award degree of 
              master of strategic studies.
Sec. 533. Increase in number of foreign students authorized to be 
              admitted to the service academies.
Sec. 534. Increase in maximum age for appointment as a cadet or 
              midshipman in Senior Reserve Officer Training Corps 
              scholarship programs.
Sec. 535. Active duty participation as a cadet or midshipman in Senior 
              ROTC advanced training.
Sec. 536. Authority to modify the service obligation of certain ROTC 
              cadets in military junior colleges receiving financial 
              assistance.
Sec. 537. Modification of nurse officer candidate accession program 
              restriction on students attending educational 
              institutions with Senior Reserve Officers' Training 
              programs.
Sec. 538. Repeal of limitation on number of Junior Reserve Officers' 
              Training Corps (JROTC) units.
Sec. 539. Reserve health professionals stipend program expansion.
Sec. 540. Housing allowance for the Chaplain for the Corps of Cadets, 
              United States Military Academy.

           Subtitle E--Decorations, Awards, and Commendations

Sec. 541. Authority for award of the medal of honor to Humbert R. 
              Versace for valor during the Vietnam War.
Sec. 542. Review regarding award of medal of honor to certain Jewish 
              American and Hispanic American war veterans.
Sec. 543. Authority to issue duplicate medal of honor.
Sec. 544. Authority to replace stolen military decorations.
Sec. 545. Waiver of time limitations for award of Navy Distinguished 
              Flying Cross to certain persons.
Sec. 546. Korea Defense Service medal.
Sec. 547. Cold War Service medal.
Sec. 548. Option to convert award of Armed Forces Expeditionary Medal 
              awarded for Operation Frequent Wind to Vietnam Service 
              Medal.
Sec. 549. Sense of Congress on new medal to recognize civilian 
              employees of the Department of Defense killed or wounded 
              as a result of hostile action.

                 Subtitle F--Matters Relating to Voting

Sec. 551. Voting assessments and assistance for members of the 
              uniformed services.
Sec. 552. Electronic voting demonstration project.

  Subtitle G--Matters Relating to Military Spouses and Family Members

Sec. 561. Improved financial and other assistance to military spouses 
              for job training and education.
Sec. 562. Authority to conduct surveys of dependents and survivors of 
              military retirees.
Sec. 563. Clarification of treatment of classified information 
              concerning persons in a missing status.
Sec. 564. Transportation to annual meeting of next-of-kin of persons 
              unaccounted for from conflicts after World War II.
Sec. 565. Amendments to charter of Defense Task Force on Domestic 
              Violence.

             Subtitle H--Military Justice and Legal Matters

Sec. 571. Requirement that courts-martial consist of not less than 12 
              members in capital cases.
Sec. 572. Right of convicted accused to request sentencing by military 
              judge.
Sec. 573. Codification of requirement for regulations for delivery of 
              military personnel to civil authorities when charged with 
              certain offenses
Sec. 574. Authority to accept voluntary legal services for members of 
              the Armed Forces.

                       Subtitle I--Other Matters

Sec. 581. Shipment of privately owned vehicles when making permanent 
              change of station moves within United States.
Sec. 582. Payment of vehicle storage costs in advance.
Sec. 583. Permanent authority for use of military recruiting funds for 
              certain expenses at Department of Defense recruiting 
              functions.
Sec. 584. Clarification of military recruiter access to secondary 
              school directory information about students.
Sec. 585. Repeal of requirement for final Comptroller General report 
              relating to Army end strength allocations.
Sec. 586. Posthumous Army commission in the grade of captain in the 
              Chaplains Corps to Ella E. Gibson for service as chaplain 
              of the First Wisconsin Heavy Artillery regiment during 
              the Civil War.
Sec. 587. National Guard Challenge Program.
Sec. 588. Payment of FEHBP premiums for certain Reservists called to 
              active duty in support of contingency operations.
Sec. 589. 18-month enlistment pilot program.
Sec. 590. Per diem allowance for lengthy or numerous deployments.
Sec. 591. Congressional review period for change in ground combat 
              exclusion policy.
Sec. 592. Report on health and disability benefits for pre-accession 
              training and education programs.
Sec. 593. Requirement to provide appropriate articles of clothing as a 
              civilian uniform for civilians participating in funeral 
              honor details for veterans upon showing of financial 
              need.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2002.

[[Page 20126]]

Sec. 602. Basic pay rate for certain reserve commissioned officers with 
              prior service as an enlisted member or warrant officer.
Sec. 603. Subsistence allowances.
Sec. 604. Eligibility for basic allowance for housing while between 
              permanent duty stations.
Sec. 605. Uniform allowance for officers.
Sec. 606. Family separation allowance for certain members electing to 
              serve unaccompanied tour of duty.

           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 nurse officer candidates, registered 
              nurses, and nurse anesthetists.
Sec. 613. One-year extension of other bonus and special pay 
              authorities.
Sec. 614. Conforming accession bonus for dental officers authority with 
              authorities for other special pay and bonuses.
Sec. 615. Additional type of duty resulting in eligibility for 
              hazardous duty incentive pay.
Sec. 616. Equal treatment of reservists performing inactive-duty 
              training for receipt of aviation career incentive pay.
Sec. 617. Secretarial discretion in prescribing submarine duty 
              incentive pay rates.
Sec. 618. Imposition of critical wartime skill requirement for 
              eligibility for Individual Ready Reserve bonus.
Sec. 619. Installment payment authority for 15-year career status 
              bonus.
Sec. 620. Accession bonus for new officers.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Minimum per diem rate for travel and transportation allowance 
              for travel performed upon a change of permanent station 
              and certain other travel.
Sec. 632. Payment or reimbursement of temporary subsistence expenses.
Sec. 633. Increased weight allowance for transportation of baggage and 
              household effects for junior enlisted members.
Sec. 634. Reimbursement of members for mandatory pet quarantine fees 
              for household pets.
Sec. 635. Availability of dislocation allowance for married member, 
              whose spouse is a member, assigned to military family 
              housing.
Sec. 636. Elimination of prohibition on receipt of dislocation 
              allowance by members ordered to first duty station.
Sec. 637. Partial dislocation allowance authorized for housing moves 
              ordered for Government convenience.
Sec. 638. Allowances for travel performed in connection with members 
              taking authorized leave between consecutive overseas 
              tours.
Sec. 639. Funded student travel as part of school-sponsored exchange 
              programs.

          Subtitle D--Retirement and Survivor Benefit Matters

Sec. 641. Contingent authority for concurrent receipt of military 
              retired pay and veterans' disability compensation.

                       Subtitle E--Other Matters

Sec. 651. Funeral honors duty allowance for retired members.

                   TITLE VII--HEALTH CARE PROVISIONS

                      Subtitle A--TRICARE Program

Sec. 701. Implementing cost-effective payment rates under the TRICARE 
              program.
Sec. 702. Waiver of nonavailability statement or preauthorization 
              requirement.
Sec. 703. Improvements in administration of the TRICARE program.
Sec. 704. Sub-acute and long-term care program reform.
Sec. 705. Reimbursement of travel expenses of a parent, guardian, or 
              responsible family member of a minor covered beneficiary.

                       Subtitle B--Other Matters

Sec. 711. Prohibition against requiring military retirees to receive 
              health care solely through the Department of Defense.
Sec. 712. Trauma and medical care pilot program.
Sec. 713. Enhancement of medical product development.
Sec. 714. Repeal of obsolete report requirement.
Sec. 715. Clarifications and improvements regarding the Department of 
              Defense Medicare-Eligible Retiree Health Care Fund.

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

             Subtitle A--Acquisition Policy and Management

Sec. 801. Acquisition milestones.
Sec. 802. Acquisition workforce qualifications.
Sec. 803. Two-year extension of program applying simplified procedures 
              to certain commercial items.
Sec. 804. Contracts for services to be performed outside the United 
              States.
Sec. 805. Codification and modification of ``Berry Amendment'' 
              requirements.
Sec. 806. Increase of assistance limitation regarding procurement 
              technical assistance programs.
Sec. 807. Study of contract consolidations.

                Subtitle B--Erroneous Payments Recovery

Sec. 811. Short title.
Sec. 812. Identification of errors made by executive agencies in 
              payments to contractors and recovery of amounts 
              erroneously paid.
Sec. 813. Disposition of recovered funds.
Sec. 814. Sources of recovery services.
Sec. 815. Management improvement programs.
Sec. 816. Reports.
Sec. 817. Relationship to authority of inspectors general.
Sec. 818. Privacy protections.
Sec. 819. Definition.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

Sec. 901. Further reductions in defense acquisition and support 
              workforce.
Sec. 902. Sense of Congress on establishment of an Office of 
              Transformation in the Department of Defense.
Sec. 903. Revised joint report on establishment of national 
              collaborative information analysis capability.
Sec. 904. Elimination of triennial report by Chairman of the Joint 
              Chiefs of Staff on roles and missions of the Armed 
              Forces.
Sec. 905. Repeal of requirement for semiannual reports through March 
              2003 on activities of Joint Requirements Oversight 
              Council.
Sec. 906. Correction of references to Air Mobility Command.
Sec. 907. Organizational alignment change for Director for 
              Expeditionary Warfare.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Limitation on funds for Bosnia and Kosovo peacekeeping 
              operations for fiscal year 2002.
Sec. 1004. Increase in limitations on administrative authority of the 
              Navy to settle admiralty claims.

                       Subtitle B--Naval Vessels

Sec. 1011. Revision in types of excess naval vessels for which approval 
              by law is required for disposal to foreign nations.

                  Subtitle C--Counter-Drug Activities

Sec. 1021. Extension of reporting requirement regarding Department of 
              Defense expenditures to support foreign counter-drug 
              activities.
Sec. 1022. Authority to transfer Tracker aircraft currently used by 
              Armed Forces for counter-drug purposes.
Sec. 1023. Authority to transfer Tethered Aerostat Radar System 
              currently used by Armed Forces for counter-drug purposes.
Sec. 1024. Assignment of members to assist Immigration and 
              Naturalization Service and Customs Service.

                          Subtitle D--Reports

Sec. 1031. Requirement that Department of Defense reports to Congress 
              be accompanied by electronic version.
Sec. 1032. Report on Department of Defense role in homeland security 
              matters.
Sec. 1033. Revision of annual report to Congress on National Guard and 
              reserve component equipment.

                       Subtitle E--Other Matters

Sec. 1041. Department of Defense gift authorities.
Sec. 1042. Termination of referendum requirement regarding continuation 
              of military training on island of Vieques, Puerto Rico, 
              and imposition of additional conditions on closure of 
              live-fire training range.
Sec. 1043. Repeal of limitation on reductions in Peacekeeper ICBM 
              missiles.
Sec. 1044. Transfer of Vietnam Era F-4 aircraft to nonprofit museum.
Sec. 1045. Bomber force structure.
Sec. 1046. Technical and clerical amendments.
Sec. 1047. Leasing of Navy ships for University National Oceanographic 
              Laboratory System.

[[Page 20127]]

Sec. 1048. Sense of Congress regarding continued United States 
              commitment to restoring Lafayette Escadrille Memorial, 
              Marnes La-Coguette, France.
Sec. 1049. Designation of firefighter assistance program in honor of 
              Floyd D. Spence, a former Member of the House of 
              Representatives, and sense of Congress on need to 
              continue the program.
Sec. 1050. Sense of Congress on implementation of fuel efficiency 
              reforms in Department of Defense.
Sec. 1051. Plan for securing Russia's nuclear weapons, material, and 
              expertise.
Sec. 1052. Two-year extension of advisory panel to assess domestic 
              response capabilities for terrorism involving weapons of 
              mass destruction.
Sec. 1053. Action to promote national defense features program.
Sec. 1054. Amendments relating to Commission on the Future of the 
              United States Aerospace Industry.
Sec. 1055. Authority to accept monetary contributions for repair and 
              reconstruction of pentagon reservation.

                      TITLE XI--CIVILIAN PERSONNEL

Sec. 1101. Undergraduate training program for employees of the National 
              Imagery and Mapping Agency.
Sec. 1102. Pilot program for payment of retraining expenses.
Sec. 1103. Payment of expenses to obtain professional credentials.
Sec. 1104. Retirement portability elections for certain Department of 
              Defense and Coast Guard employees.
Sec. 1105. Removal of requirement that granting civil service 
              compensatory time be based on amount of irregular or 
              occasional overtime work.
Sec. 1106. Applicability of certain laws to certain individuals 
              assigned to work in the Federal Government.
Sec. 1107. Limitation on premium pay.
Sec. 1108. Use of common occupational and health standards as a basis 
              for differential payments made as a consequence of 
              exposure to asbestos.
Sec. 1109. Authority for designated civilian employees abroad to act as 
              a notary.
Sec. 1110. ``Monroney amendment'' restored to its prior form.

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

Sec. 1201. Clarification of authority to furnish nuclear test 
              monitoring equipment to foreign governments.
Sec. 1202. Acquisition of logistical support for security forces.
Sec. 1203. Report on the sale and transfer of military hardware, 
              expertise, and technology from States of the former 
              Soviet Union to the People's Republic of China.
Sec. 1204. Limitation on funding for Joint Data Exchange Center.
Sec. 1205. Extension of authority to provide assistance under Weapons 
              of Mass Destruction Act for support of United Nations-
              sponsored efforts to inspect and monitor Iraqi weapons 
              activities.
Sec. 1206. Repeal of requirement for reporting to Congress on military 
              deployments to Haiti.
Sec. 1207. Report by Comptroller General on provision of defense 
              articles, services, and military education and training 
              to foreign countries and international organizations.
Sec. 1208. Limitation on number of military personnel in Colombia.
Sec. 1209. Authority for employees of Federal Government contractors to 
              accompany chemical weapons inspection teams at 
              Government-owned facilities.

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

Sec. 1301. Specification of Cooperative Threat Reduction programs and 
              funds.
Sec. 1302. Funding allocations.
Sec. 1303. Prohibition against use of funds until submission of 
              reports.
Sec. 1304. Report on use of revenue generated by activities carried out 
              under Cooperative Threat Reduction programs.
Sec. 1305. Prohibition against use of funds for second wing of fissile 
              material storage facility.
Sec. 1306. Prohibition against use of funds for construction or 
              refurbishment of certain fossil fuel energy plants.
Sec. 1307. Reports on activities and assistance under Cooperative 
              Threat Reduction programs.
Sec. 1308. Report on responsibility for carrying out Cooperative Threat 
              Reduction programs.
Sec. 1309. Chemical weapons destruction.

                TITLE XIV--DEFENSE SPACE REORGANIZATION

Sec. 1401. Short title.
Sec. 1402. Authority to establish position of Under Secretary of 
              Defense for Space, Intelligence, and Information.
Sec. 1403. Authority to designate Under Secretary of the Air Force as 
              acquisition executive for space of the Department of 
              Defense.
Sec. 1404. Major force program category for space programs.
Sec. 1405. Comptroller General assessment of implementation of 
              recommendations of Space Commission.
Sec. 1406. Commander of Air Force Space Command.
Sec. 1407. Authority to establish separate career field in the Air 
              Force for space.
Sec. 1408. Relationship to authorities and responsibilities of Director 
              of Central Intelligence.

                TITLE XV--ACTIVITIES TO COMBAT TERRORISM

           Subtitle A--Increased Funding to Combat Terrorism

Sec. 1501. Increased funding.
Sec. 1502. Treatment of transferred amounts.

       Subtitle B--Policy Matters Relating to Combating Terrorism

Sec. 1511. Assessment of Department of Defense ability to respond to 
              terrorist attacks.
Sec. 1512. Report on Department of Defense ability to protect the 
              United States from airborne threats.
Sec. 1513. Establishment of combating terrorism as a national security 
              mission.
Sec. 1514. Department of Defense coordination with FEMA and FBI.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title; definition.

                            TITLE XXI--ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
              2001 projects.

                            TITLE XXII--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of Appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
              2000 project.

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
              projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Modification of authority to carry out certain fiscal year 
              2001 project.

                      TITLE XXIV--DEFENSE AGENCIES

Sec. 2401. Authorized defense agencies construction and land 
              acquisition projects.
Sec. 2402. Energy conservation projects.
Sec. 2403. Authorization of appropriations, defense agencies.
Sec. 2404. Modification of authority to carry out certain fiscal year 
              2001 project.
Sec. 2405. Modification of authority to carry out certain fiscal year 
              2000 projects.
Sec. 2406. Modification of authority to carry out certain fiscal year 
              1999 project.
Sec. 2407. Modification of authority to carry out certain fiscal year 
              1995 project.
Sec. 2408. Prohibition on expenditures to develop forward operating 
              location on Aruba for United States Southern Command 
              counter-drug detection and monitoring flights.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

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

[[Page 20128]]

                TITLE XXVI--GUARD AND RESERVE FACILITIES

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

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
              specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1999 
              projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1998 
              projects.
Sec. 2704. Effective date.

                    TITLE XXVIII--GENERAL PROVISIONS

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

Sec. 2801. Increase in certain unspecified minor military construction 
              project thresholds.
Sec. 2802. Exclusion of unforeseen environmental hazard remediation 
              from limitation on authorized cost variations.
Sec. 2803. Repeal of annual reporting requirement on military 
              construction and military family housing activities.
Sec. 2804. Permanent authorization for alternative authority for 
              acquisition and improvement of military housing.

        Subtitle B--Real Property and Facilities Administration

Sec. 2811. Use of military installations for certain recreational 
              activities.
Sec. 2812. Base efficiency project at Brooks Air Force Base, Texas.
Sec. 2813. Use of buildings on military installations and reserve 
              component facilities as polling places.

            Subtitle C--Defense Base Closure and Realignment

Sec. 2821. Lease back of base closure property.

                      Subtitle D--Land Conveyances

                        Part I--Army Conveyances

Sec. 2831. Modification of land exchange, Rock Island Arsenal, 
              Illinois.
Sec. 2832. fication of land conveyances, Fort Dix, New Jersey.
Sec. 2833. Lease authority, Fort DeRussy, Hawaii.
Sec. 2834. Land exchange and consolidation, Fort Lewis, Washington.
Sec. 2835. Land conveyance, Whittier-Anchorage Pipeline Tank Farm, 
              Anchorage, Alaska.

                       Part II--Navy Conveyances

Sec. 2841. Transfer of jurisdiction, Centerville Beach Naval Station, 
              Humboldt County, California.
Sec. 2842. Land conveyance, Naval Weapons Industrial Reserve Plant, 
              Toledo, Ohio.
Sec. 2843. Modification of authority for conveyance of Naval Computer 
              and Telecommunications Station, Cutler, Maine.
Sec. 2844. Modification of land conveyance, former United States Marine 
              Corps Air Station, Eagle Mountain Lake, Texas.
Sec. 2845. Land transfer and conveyance, Naval Security Group Activity, 
              Winter Harbor, Maine.

                    Part III--Air Force Conveyances

Sec. 2851. Water rights conveyance, Andersen Air Force Base, Guam.
Sec. 2852. Reexamination of land conveyance, Lowry Air Force Base, 
              Colorado.
Sec. 2853. Land conveyance, defense fuel support point, Florida.

                       Subtitle E--Other Matters

Sec. 2861. Transfer of jurisdiction for development of Armed Forces 
              recreation facility, Park City, Utah.
Sec. 2862. Selection of site for United States Air Force Memorial and 
              related land transfers for the improvement of Arlington 
              National Cemetery, Virginia.
Sec. 2863. Management of the Presidio of San Francisco.
Sec. 2864. Effect of limitation on construction of roads or highways, 
              Marine Corps Base, Camp Pendleton, California.
Sec. 2865. Establishment of World War II memorial at additional 
              location on Guam.
Sec. 2866. Additional extension of demonstration project for purchase 
              of fire, security, police, public works, and utility 
              services from local government agencies.
Sec. 2867. Conveyance of avigation easements, former Norton Air Force 
              Base, California.
Sec. 2868. Report on options to promote economic development in 
              community adjacent to United States Military Academy, New 
              York.

            TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

Sec. 2901. Short title.
Sec. 2902. Withdrawal and reservation of lands for National Training 
              Center.
Sec. 2903. Map and legal description.
Sec. 2904. Management of withdrawn and reserved lands.
Sec. 2905. Water rights.
Sec. 2906. Environmental compliance and environmental response 
              requirements.
Sec. 2907. West Mojave Coordinated Management Plan.
Sec. 2908. Release of wilderness study areas.
Sec. 2909. Training activity separation from utility corridors.
Sec. 2910. Duration of withdrawal and reservation.
Sec. 2911. Extension of initial withdrawal and reservation.
Sec. 2912. Termination and relinquishment.
Sec. 2913. Delegation of authority.

 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 restoration and waste management.
Sec. 3103. Other defense activities.
Sec. 3104. Defense environmental management privatization.
Sec. 3105. Defense nuclear waste disposal.
Sec. 3106. Increased amount for nonproliferation and verification.

                Subtitle B--Recurring General Provisions

Sec. 3121. Reprogramming.
Sec. 3122. Limits on general plant projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
              activities.
Sec. 3127. Funds available for all national security programs of the 
              Department of Energy.
Sec. 3128. Availability of funds.
Sec. 3129. Transfers of defense environmental management funds at field 
              offices of the Department of Energy.
Sec. 3130. Transfers of weapons activities funds at national security 
              laboratories and nuclear weapons production facilities.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

Sec. 3131. Termination date of Office of River Protection, Richland, 
              Washington.
Sec. 3132. Organizational modifications for National Nuclear Security 
              Administration.
Sec. 3133. Consolidation of Nuclear Cities Initiative program with 
              Initiatives for Proliferation Prevention program.
Sec. 3134. Disposition of surplus defense plutonium at Savannah River 
              Site, Aiken, South Carolina.
Sec. 3135. Support for public education in the vicinity of Los Alamos 
              National Laboratory, New Mexico.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
Sec. 3303. Disposal of obsolete and excess materials contained in 
              national defense stockpile.
Sec. 3304. Expedited implementation of authority to dispose of cobalt 
              from National Defense Stockpile.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

                  TITLE XXXV--MARITIME ADMINISTRATION

Sec. 3501. Authorization of appropriations for fiscal year 2002.
Sec. 3502. Define ``war risks'' to vessels to include confiscation, 
              expropriation, nationalization, and deprivation of the 
              vessels.
Sec. 3503. Holding obligor's cash as collateral under title XI of 
              Merchant Marine Act, 1936.

     SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

       For purposes of this Act, the term ``congressional defense 
     committees'' means--
       (1) the Committee on Armed Services and the Committee on 
     Appropriations of the Senate; and
       (2) the Committee on Armed Services and the Committee on 
     Appropriations of the House of Representatives.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

     SEC. 101. ARMY.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Army as follows:
       (1) For aircraft, $1,987,491,000.
       (2) For missiles, $1,097,286,000.
       (3) For weapons and tracked combat vehicles, 
     $2,367,046,000.

[[Page 20129]]

       (4) For ammunition, $1,208,565,000.
       (5) For other procurement, $4,143,986,000.

     SEC. 102. NAVY AND MARINE CORPS.

       (a) Navy.--Funds are hereby authorized to be appropriated 
     for fiscal year 2002 for procurement for the Navy as follows:
       (1) For aircraft, $8,337,243,000.
       (2) For weapons, including missiles and torpedoes, 
     $1,476,692,000.
       (3) For shipbuilding and conversion, $9,321,121,000.
       (4) For other procurement, $4,157,313,000.
       (b) Marine Corps.--Funds are hereby authorized to be 
     appropriated for fiscal year 2002 for procurement for the 
     Marine Corps in the amount of $1,025,624,000.
       (c) Navy and Marine Corps Ammunition.--Funds are hereby 
     authorized to be appropriated for fiscal year 2002 for 
     procurement of ammunition for the Navy and the Marine Corps 
     in the amount of $463,507,000.

     SEC. 103. AIR FORCE.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Air Force as follows:
       (1) For aircraft, $10,705,687,000.
       (2) For missiles, $3,226,336,000.
       (3) For ammunition, $871,344,000.
       (4) For other procurement, $8,250,821,000.

     SEC. 104. DEFENSE-WIDE ACTIVITIES.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for Defense-wide procurement in the amount of 
     $2,267,346,000.

     SEC. 105. DEFENSE INSPECTOR GENERAL.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for procurement for the Inspector General of the 
     Department of Defense in the amount of $1,800,000.

     SEC. 106. CHEMICAL DEMILITARIZATION PROGRAM.

       There is hereby authorized to be appropriated for fiscal 
     year 2002 the amount of $1,078,557,000 for--
       (1) the destruction of lethal chemical agents and munitions 
     in accordance with section 1412 of the Department of Defense 
     Authorization Act, 1986 (50 U.S.C. 1521); and
       (2) the destruction of chemical warfare materiel of the 
     United States that is not covered by section 1412 of such 
     Act.

     SEC. 107. DEFENSE HEALTH PROGRAMS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the Department of Defense for procurement for 
     carrying out health care programs, projects, and activities 
     of the Department of Defense in the total amount of 
     $267,915,000.

     SEC. 108. ADDITIONAL AMOUNT FOR SHIPBUILDING AND CONVERSION, 
                   NAVY.

       (a) Increase in SCN Amount.--The amount provided in section 
     102(a)(3) for shipbuilding and conversion for the Navy is 
     hereby increased by $57,100,000, to be available for the 
     U.S.S. Eisenhower (CVN-69) Refueling Complex Overhaul 
     program.
       (b) Offset.--The amount provided in section 301(5) is 
     hereby reduced by $57,100,000, to be derived from amounts for 
     consulting services.

                       Subtitle B--Army Programs

     SEC. 111. EXTENSION OF MULTIYEAR CONTRACT FOR FAMILY OF 
                   MEDIUM TACTICAL VEHICLES.

       In order to ensure that an adequate number of vehicles of 
     the ``A1'' variant of the Family of Medium Tactical Vehicles 
     program continue to be fielded to the Army, the Secretary of 
     the Army may extend for one additional year the existing 
     multiyear procurement contract, authorized by section 112(b) 
     of the National Defense Authorization Act for Fiscal Year 
     1998 (Public Law 105-85; 111 Stat. 1648) and awarded on 
     October 14, 1998, for procurement of vehicles under that 
     program (notwithstanding the maximum period for such 
     contracts otherwise applicable under section 2306b(k) of 
     title 10, United States Code) if the Secretary determines 
     that it is necessary to do so in order to prevent a break in 
     production of those vehicles.

     SEC. 112. REPEAL OF LIMITATIONS ON BUNKER DEFEAT MUNITIONS 
                   PROGRAM.

       Section 116 of the National Defense Authorization Act for 
     Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2682) is 
     repealed.

                     Subtitle C--Air Force Programs

     SEC. 121. MULTI-YEAR PROCUREMENT OF C-17 AIRCRAFT.

       If the Secretary of Defense certifies to the congressional 
     defense committees before the enactment of this Act that it 
     is in the interest of the Department of Defense to proceed 
     with a follow-on multi-year procurement of additional C-17 
     aircraft, then the Secretary may, in accordance with section 
     2306b of title 10, United States Code, enter into a new 
     multi-year procurement contract or extend the current multi-
     year procurement contract beginning in fiscal year 2002 to 
     procure up to 60 additional C-17 aircraft in order to meet 
     the Department's airlift requirements.

               Subtitle D--Chemical Munitions Destruction

     SEC. 141. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL 
                   CHEMICAL AGENTS AND MUNITIONS.

       Section 152 of the National Defense Authorization Act for 
     Fiscal Year 1996 (Public Law 104-106; 50 U.S.C. 1521 note) is 
     amended--
       (1) in subsection (b)--
       (A) by inserting ``for that site'' after ``in place''; and
       (B) by adding at the end the following new paragraphs:
       ``(4) Emergency preparedness and response capabilities have 
     been established at the site and in the surrounding 
     communities to respond to emergencies involving risks to 
     public health or safety that are identified by the Secretary 
     of Defense as being risks resulting from the storage or 
     destruction of lethal chemical agents and munitions at the 
     site.
       ``(5) The Under Secretary of Defense for Acquisition, 
     Technology, and Logistics recommends initiation of 
     destruction at the site after considering the recommendation 
     by the board established by subsection (g).''; and
       (2) by adding at the end the following new subsection:
       ``(g) Oversight Boards.--(1) The Under Secretary of Defense 
     for Acquisition, Technology, and Logistics shall convene, for 
     each site at which the chemical munitions stockpile is 
     stored, an independent oversight board composed of--
       ``(A) the Secretary of the Army;
       ``(B) the Director of the Federal Emergency Management 
     Agency;
       ``(C) the Administrator of the Environmental Protection 
     Agency;
       ``(D) the President of the National Academy of Sciences;
       ``(E) the Governor of the State in which the site is 
     located; and
       ``(F) one individual designated by the Under Secretary from 
     a list of three local representatives of the area in which 
     the site is located, prepared jointly by the Member of the 
     House of Representatives who represents the Congressional 
     District in which the site is located and the Senators 
     representing the State in which the site is located.
       ``(2) Not later than six months after each such board is 
     convened, the board shall make a recommendation to the Under 
     Secretary whether the destruction of the chemical munitions 
     stockpile should be initiated at the site.
       ``(3) The Under Secretary may not recommend initiation of 
     destruction of the chemical munitions stockpile at a site 
     after considering a negative recommendation of the board 
     until 90 days after the Under Secretary provides notice to 
     Congress of the intent to recommend initiation of 
     destruction.''.

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

              Subtitle A--Authorization of Appropriations

     SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Department of Defense for 
     research, development, test, and evaluation as follows:
       (1) For the Army, $6,749,025,000.
       (2) For the Navy, $10,863,274,000.
       (3) For the Air Force, $14,455,653,000.
       (4) For Defense-wide activities, $15,591,978,000, of which 
     $217,355,000 is authorized for the Director of Operational 
     Test and Evaluation.

     SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

       (a) Fiscal Year 2002.--Of the amounts authorized to be 
     appropriated by section 201, $4,973,843,000 shall be 
     available for basic research and applied research projects.
       (b) Basic Research and Applied Research Defined.--For 
     purposes of this section, the term ``basic research and 
     applied research'' means work funded in program elements for 
     defense research and development under Department of Defense 
     category 6.1 or 6.2.

    Subtitle B--Program Requirements, Restrictions, and Limitations

     SEC. 211. COOPERATIVE DEPARTMENT OF DEFENSE-DEPARTMENT OF 
                   VETERANS AFFAIRS MEDICAL RESEARCH PROGRAM.

       Of the funds authorized to be appropriated by section 
     201(4), $5,000,000 shall be available for the cooperative 
     Department of Defense/Department of Veterans Affairs medical 
     research program. The Secretary of Defense shall transfer 
     such amount to the Secretary of Veterans Affairs for such 
     purpose not later than 30 days after the date of the 
     enactment of this Act.

     SEC. 212. ADVANCED LAND ATTACK MISSILE PROGRAM.

       (a) Program Required.--The Secretary of Defense shall 
     establish a competitive program for the development of an 
     advanced land attack missile for the DD-21 land attack 
     destroyer and other naval combatants.
       (b) Report.--The Secretary of Defense shall submit to the 
     congressional defense committees, with the submission of the 
     budget request for the Department of Defense for fiscal year 
     2003, a report providing the program plan for the Advanced 
     Land Attack Missile program, the schedule for that program, 
     and funding required for that program.
       (c) Funding.--Of the amount authorized to be appropriated 
     under section 201(2) for research, development, test, and 
     evaluation for the Navy, $20,000,000 shall be available in PE 
     0603795N for the Advanced Land Attack Missile program.

     SEC. 213. COLLABORATIVE PROGRAM FOR DEVELOPMENT OF ADVANCED 
                   RADAR SYSTEMS FOR NAVAL APPLICATIONS.

       (a) Program Required.--The Secretary of Defense shall carry 
     out a program to develop and demonstrate advanced 
     technologies and concepts leading to advanced radar systems 
     for naval and other applications.
       (b) Description of Program.--The program under subsection 
     (a) shall be carried

[[Page 20130]]

     out collaboratively pursuant to a memorandum of agreement to 
     be entered into by the Director of Defense Research and 
     Engineering, the Secretary of the Navy, and the Director of 
     the Defense Advanced Research Projects Agency. The program 
     shall include the following activities:
       (1) Activities needed to develop and deploy advanced 
     electronics materials, including specifically wide band gap 
     electronics components needed to extend the range and 
     sensitivity of naval radars.
       (2) Identification of acquisition systems for use of the 
     new technology.
       (c) Report.--Not later than January 31, 2002, the Director 
     of Defense Research and Engineering, the Secretary of the 
     Navy, and the Director of the Defense Advanced Research 
     Projects Agency shall submit to the congressional defense 
     committees a joint report on the implementation of the 
     program under subsection (a). The report shall include the 
     following:
       (1) A description of the memorandum of agreement referred 
     to in subsection (b).
       (2) A schedule for the program.
       (3) Identification of the funding required for fiscal year 
     2003 and for the future-years defense program to carry out 
     the program.
       (4) A list of program capability goals and objectives.
       (d) Funding.--(1) Of the amount authorized to be 
     appropriated for Defense-wide activities by section 201(4) 
     for the Defense Advanced Research Projects Agency, 
     $41,000,000 shall be available for applied research and 
     maturation of high frequency and high power wide band gap 
     semiconductor electronics technology to carry out the program 
     under subsection (a).
       (2) Of the amount authorized to be appropriated by section 
     201(2) for the Department of the Navy, $15,500,000 shall be 
     available to carry out the program under subsection (a).

     SEC. 214. COST LIMITATION APPLICABLE TO F-22 AIRCRAFT PROGRAM 
                   ENGINEERING AND MANUFACTURING DEVELOPMENT.

       Section 217(c)(3) of the National Defense Authorization Act 
     for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1660) is 
     amended by inserting ``plus $250,000,000'' after ``and 
     (2))''.

     SEC. 215. C-5 AIRCRAFT MODERNIZATION.

       (a) Increase in Air Force RDTE Amount.--The amount provided 
     in section 201(3) for Research, Development, Test, and 
     Evaluation for the Air Force is hereby increased by 
     $30,000,000, to be available for Re-engining and Avionics 
     Modernization for the C-5 aircraft.
       (b) Offset.--The amount provided in section 301(5) is 
     hereby reduced by $30,000,000, to be derived from amounts for 
     consulting services.

                 Subtitle C--Ballistic Missile Defense

     SEC. 231. TRANSFER OF RESPONSIBILITY FOR PROCUREMENT FOR 
                   MISSILE DEFENSE PROGRAMS FROM BALLISTIC MISSILE 
                   DEFENSE ORGANIZATION TO MILITARY DEPARTMENTS.

       (a) Budgeting of Missile Defense Procurement Authority.--
     (1) Subsection (a) of section 224 of title 10, United States 
     Code is amended by striking ``procurement'' both places it 
     appears and inserting ``research, development, test, and 
     evaluation''.
       (2) Such section is further amended by striking subsections 
     (b) and (c) and inserting the following:
       ``(b) Covered Programs.--Subsection (a) applies to any 
     ballistic missile defense program for which research, 
     development, test, and evaluation is carried out by the 
     Ballistic Missile Defense Organization.''.
       (3)(A) The heading of that section is amended to read as 
     follows:

     ``Sec. 224. Ballistic missile defense programs: display of 
       amounts for research, development, test, and evaluation''.

       (B) The item relating to section 224 in the table of 
     sections at the beginning of chapter 9 of such title is 
     amended to read as follows:

``224. Ballistic missile defense programs: display of amounts for 
              research, development, test, and evaluation.''.
       (b) Transfer Criteria.--The Secretary of Defense shall 
     establish, and submit to the congressional defense 
     committees, criteria for the transfer of ballistic missile 
     defense programs from the Ballistic Missile Defense 
     Organization to the military departments. Those criteria 
     shall, at a minimum, address technical maturity of the 
     program, availability of facilities for production, and 
     service commitment to procurement funding.
       (c) Notification of Transfer.--Before responsibility for a 
     ballistic missile defense program is transferred from the 
     Ballistic Missile Defense Organization to the Secretary of a 
     military department, the Secretary of Defense shall submit to 
     the congressional defense committees notice in writing of the 
     Secretary's intent to make that transfer. The Secretary shall 
     include with such notice a certification that the program has 
     met the criteria established under subsection (b) for such a 
     transfer. The transfer may then be carried out after the end 
     of the 60-day period beginning on the date of such notice.

     SEC. 232. REPEAL OF PROGRAM ELEMENT REQUIREMENTS FOR 
                   BALLISTIC MISSILE DEFENSE PROGRAMS.

       (a) Repeal.--Section 223 of title 10, United States Code, 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 9 of such title is amended by striking 
     the item relating to section 223.

     SEC. 233. SUPPORT OF BALLISTIC MISSILE DEFENSE ACTIVITIES OF 
                   THE DEPARTMENT OF DEFENSE BY THE NATIONAL 
                   DEFENSE LABORATORIES OF THE DEPARTMENT OF 
                   ENERGY.

       (a) Funds To Carry Out Certain Ballistic Missile Defense 
     Activities.--Of the amounts authorized to be appropriated to 
     the Department of Defense pursuant to section 201(4), 
     $25,000,000 shall be available, subject to subsection (b) and 
     at the discretion of the Director of the Ballistic Missile 
     Defense Organization, for research, development, and 
     demonstration activities at the national laboratories of the 
     Department of Energy in support of the missions of the 
     Ballistic Missile Defense Organization, including the 
     following activities:
       (1) Technology development, concept demonstration, and 
     integrated testing to enhance performance, reduce risk, and 
     improve reliability in hit-to-kill interceptors for ballistic 
     missile defense.
       (2) Support for science and engineering teams to assess 
     critical technical problems and prudent alternative 
     approaches as agreed upon by the Director of the Ballistic 
     Missile Defense Organization and the Administrator for 
     Nuclear Security.
       (b) Requirement for Matching Funds From NNSA.--Funds shall 
     be available as provided in subsection (a) only if the 
     Administrator for Nuclear Security makes available matching 
     funds for the activities referred to in subsection (a).
       (c) Memorandum of Understanding.--The activities referred 
     to in subsection (a) shall be carried out under the 
     memorandum of understanding entered into by the Secretary of 
     Energy and the Secretary of Defense for the use of national 
     laboratories for ballistic missile defense programs, as 
     required by section 3131 of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85; 
     111 Stat. 2034) and modified pursuant to section 3132 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-455) to provide for jointly funded projects.

     SEC. 234. MISSILE DEFENSE TESTING INITIATIVE.

       (a) Testing Infrastructure.--(1) The Secretary of Defense 
     shall ensure that each annual budget request of the 
     Department of Defense--
       (A) is designed to provide for comprehensive testing of 
     ballistic missile defense programs during early stages of 
     development; and
       (B) includes necessary funding to support and improve test 
     infrastructure and provide adequate test assets for the 
     testing of such programs.
       (2) The Secretary shall ensure that ballistic missile 
     defense programs incorporate, to the greatest possible 
     extent, operationally realistic test configurations (referred 
     to as ``test bed'' configurations) to demonstrate system 
     performance across a broad range of capability and, during 
     final stages of operational testing, to demonstrate reliable 
     performance.
       (3) The Secretary shall ensure that the test infrastructure 
     for ballistic missile defense programs is capable of 
     supporting continued testing of ballistic missile defense 
     systems after deployment.
       (b) Requirements for Early Stages of System Development.--
     In order to demonstrate acceptable risk and developmental 
     stability, the Secretary of Defense shall ensure that any 
     ballistic missile defense program incorporates, to the 
     maximum extent practicable, the following elements during the 
     early stages of system development:
       (1) Pursuit of parallel conceptual approaches and 
     technological paths for all critical problematic components 
     until effective and reliable solutions can be demonstrated.
       (2) Comprehensive ground testing in conjunction with 
     flight-testing for key elements of the proposed system that 
     are considered to present high risk, with such ground testing 
     to make use of existing facilities and combinations of 
     facilities that support testing at the highest possible 
     levels of integration.
       (3) Where appropriate, expenditures to enhance the 
     capabilities of existing test facilities, or to construct new 
     test facilities, to support alternative complementary test 
     methodologies.
       (4) Sufficient funding of test instrumentation to ensure 
     accurate measurement of all critical test events and, where 
     possible, incorporation of mobile assets to enhance 
     flexibility in test configurations.
       (5) Incorporation into the program of sufficient schedule 
     flexibility and expendable test assets, including missile 
     interceptors and targets, to ensure that failed or aborted 
     tests can be repeated in a prudent, but expeditious manner.
       (6) Incorporation into flight-test planning for the 
     program, where possible, of--
       (A) methods referred to as ``campaign testing'' and ``test 
     through failure'' and other appropriate test methods in order 
     to reduce costs per test event;
       (B) events to demonstrate engagement of multiple targets, 
     ``shoot-look-shoot'', and other planned operational concepts; 
     and

[[Page 20131]]

       (C) exploitation of opportunities to facilitate early 
     development and demonstration of ``family of systems'' 
     concepts.
       (c) Specific Requirements for Ground-Based Mid-Course 
     Interceptor Systems.--For ground-based mid-course interceptor 
     systems, the Secretary of Defense shall initiate steps during 
     fiscal year 2002 to establish a flight-test capability of 
     launching not less than three missile defense interceptors 
     and not less than two ballistic missile targets to provide a 
     realistic test infrastructure.

     SEC. 235. MISSILE DEFENSE SYSTEM TEST BED FACILITIES.

       (a) Authority To Acquire or Construct Facilities.--(1) The 
     Secretary of Defense, using funds appropriated to the 
     Department of Defense for research, development, test, and 
     evaluation for fiscal years after fiscal year 2001 that are 
     available for programs of the Ballistic Missile Defense 
     Organization, may carry out construction projects, or 
     portions of construction projects, including projects for the 
     acquisition, improvement, or construction of facilities of 
     general utility, to establish and operate the Missile Defense 
     System Test Bed Facilities.
       (2) The authority provided in paragraph (1) may be used to 
     acquire, improve, or construct facilities at a total cost not 
     to exceed $500,000,000.
       (b) Authority To Provide Assistance to Local Communities.--
     (1) Subject to paragraph (2), the Secretary of Defense, using 
     funds appropriated to the Department of Defense for research, 
     development, test, and evaluation for fiscal years after 
     fiscal year 2001 that are available for programs of the 
     Ballistic Missile Defense Organization, may provide 
     assistance, by grant or otherwise, to local communities to 
     meet the need for increased municipal or community services 
     or facilities resulting from the construction, installation, 
     or operation of the Missile Defense System Test Bed 
     Facilities.
       (2) Assistance may be provided to a community under 
     paragraph (1) only if the Secretary of Defense determines 
     that there is an immediate and substantial increase in the 
     need for municipal or community services or facilities as a 
     direct result of the construction, installation, or operation 
     of the Missile Defense System Test Bed Facilities.

                       Subtitle D--Other Matters

     SEC. 241. ESTABLISHMENT OF UNMANNED AERIAL VEHICLE JOINT 
                   OPERATIONAL TEST BED SYSTEM.

       (a) Establishment of Test Bed System.--The commander of the 
     United States Joint Forces Command shall establish a 
     capability (referred to as a ``test bed'') within the 
     facilities and resources of that command to evaluate and 
     ensure joint interoperability of unmanned aerial vehicle 
     systems. That capability shall be independent of the military 
     departments and shall be managed directly by the Joint Forces 
     Command.
       (b) Required Transfer of Predator UAV Assets.--The 
     Secretary of the Navy shall transfer to the commander of the 
     Joint Forces Command the two Predator unmanned aerial 
     vehicles currently undergoing operational testing by the 
     Navy, together with associated payloads and antennas and the 
     associated tactical control system (TCS) ground station.
       (c) Use by Joint Forces Command.--The items transferred 
     pursuant to subsection (a) may be used by the commander of 
     the United States Joint Forces Command only through the 
     independent joint operational test bed system established 
     pursuant to subsection (a) for testing of those items, 
     including further development of the associated tactical 
     control system (TCS) ground station, other aspects of 
     unmanned aerial vehicle interoperability, and participation 
     in such experiments and exercises as the commander considers 
     appropriate to the mission of that command.
       (d) Deadline for Transfers.--The transfers required by 
     subsection (b) shall be completed not later than 90 days 
     after the date of the enactment of this Act.
       (e) Transfer When No Longer Required by Joint Forces 
     Command.--Upon a determination by the commander of the United 
     States Joint Forces Command that any of the items transferred 
     pursuant to subsection (a) are no longer needed by that 
     command for use as provided in subsection (c), those items 
     shall be transferred to the Secretary of the Air Force.

     SEC. 242. DEMONSTRATION PROJECT TO INCREASE SMALL BUSINESS 
                   AND UNIVERSITY PARTICIPATION IN OFFICE OF NAVAL 
                   RESEARCH EFFORTS TO EXTEND BENEFITS OF SCIENCE 
                   AND TECHNOLOGY RESEARCH TO FLEET.

       (a) Project Required.--The Secretary of the Navy, acting 
     through the Chief of Naval Research, shall carry out a 
     demonstration project to increase access to Navy facilities 
     of small businesses and universities that are engaged in 
     science and technology research beneficial to the fleet.
       (b) Project Elements.--In carrying out the demonstration 
     project, the Secretary shall--
       (1) establish and operate a Navy Technology Extension 
     Center at a location to be selected by the Secretary;
       (2) permit participants in the Small Business Innovation 
     Research Program (SBIR) and Small Business Technology 
     Transfer Program (STTR) that are awarded contracts by Office 
     of Naval Research to acccess and use Navy facilities without 
     charge for purposes of carrying out such contracts; and
       (3) permit universities, institutions of higher learning, 
     and Federally Funded Research and Development Centers (FFRDC) 
     collaborating with SBIR and STTR participants to use Navy 
     facilities.
       (c) Report.--Not later than February 1, 2004, the Secretary 
     shall submit to Congress a report on the demonstration 
     project. The report shall include a description of the 
     activities carried out under the demonstration project and 
     any recommendations for the improvement or expansion of the 
     demonstration project that the Secretary considers 
     appropriate.

     SEC. 243. MANAGEMENT RESPONSIBILITY FOR NAVY MINE 
                   COUNTERMEASURES PROGRAMS.

       Section 216(a) of the National Defense Authorization Act 
     for Fiscal Years 1992 and 1993 (Public Law 102-190; 105 Stat. 
     1317), as most recently amended by section 211 of the Strom 
     Thurmond National Defense Authorization Act for Fiscal Year 
     1999 (Public Law 105-261; 112 Stat. 1946), is amended by 
     striking ``through 2003'' and inserting ``through 2008''.

     SEC. 244. PROGRAM TO ACCELERATE THE INTRODUCTION OF 
                   INNOVATIVE TECHNOLOGY IN DEFENSE ACQUISITION 
                   PROGRAMS.

       (a) Program Required.--The Secretary of Defense shall carry 
     out a program to provide opportunities for the increased 
     introduction of innovative and cost-saving technology in 
     acquisition programs of the Department of Defense. The 
     program, to be known as the Challenge Program, shall provide 
     an individual or activity within or outside the Department of 
     Defense with the opportunity to propose alternatives, to be 
     known as challenge proposals, at the component, subsystem, or 
     system level of an existing Department of Defense acquisition 
     program that would result in improvements in performance, 
     affordability, manufacturability, or operational capability 
     at the component, subsystem, or system level of that 
     acquisition program.
       (b) Panel.--(1) In carrying out the Challenge Program, the 
     Secretary of Defense shall establish a panel of highly 
     qualified scientists and engineers (hereinafter in this 
     section referred to as the ``Panel'') under the auspices of 
     the Under Secretary of Defense for Acquisition, Technology, 
     and Logistics. The duty of the Panel shall be to carry out 
     review and evaluation of challenge proposals under subsection 
     (c).
       (2) A member of the Panel may not participate in any review 
     and evaluation of a challenge proposal under subsection (c) 
     if at any time within the previous five years that member 
     has, in any capacity, participated in or been affiliated with 
     the Department of Defense program for which the challenge 
     proposal is proposed.
       (c) Review and Evaluation of Challenge Proposals.--(1) 
     Under procedures prescribed by the Secretary, an individual 
     or activity within or outside the Department of Defense may 
     submit challenge proposals to the Panel.
       (2) The Panel shall carry out an expedited evaluation of 
     each challenge proposal submitted under paragraph (1) to 
     determine whether a prima facie case has been made that the 
     challenge proposal will result in improvements in 
     performance, affordability, manufacturability, or operational 
     capability at the component, subsystem, or system level of 
     the applicable acquisition program. If the Panel determines 
     that such a case has not been made, the Panel may turn down 
     the challenge proposal. In any other case, the Panel shall 
     provide for a full review of the challenge proposal under 
     paragraph (3).
       (3) In carrying out a full review of a challenge proposal, 
     the Panel shall ensure the following:
       (A) Any incumbent that would be displaced by the 
     implementation of the challenge proposal is provided notice 
     of the challenge proposal and a full opportunity to 
     demonstrate why the challenge proposal should not be 
     implemented.
       (B) Notice of the full review of the challenge proposal is 
     published in one or more appropriate commercial publications 
     of national circulation.
       (C) If one or more other challenge proposals are submitted 
     on matters relating to the challenge proposal being reviewed, 
     the Panel shall, to the maximum extent practicable, carry out 
     a full review of those other challenge proposals together 
     with the full review of the original challenge proposal.
       (4) The Secretary of Defense shall ensure that the Panel, 
     in carrying out review and evaluation of challenge proposals 
     under this subsection, has the authority to call upon the 
     technical resources of the laboratories, research, 
     development, and engineering centers, test and evaluation 
     activities, and other elements of the Department.
       (d) Findings of Substantial Superiority.--If, after the 
     full review of a challenge proposal is completed, the Panel 
     finds that the challenge proposal will result in improvements 
     in performance, affordability, manufacturability, or 
     operational capability at the component, subsystem, or system 
     level of the applicable acquisition program that are 
     substantially superior to that of the

[[Page 20132]]

     incumbent, the Panel shall submit that finding to the Under 
     Secretary.
       (e) Action Upon Findings.--Upon receiving a finding under 
     subsection (d), the Under Secretary shall carry out a plan to 
     acquire and implement the challenge proposal with respect to 
     which the finding was made. The Secretary shall carry out 
     such plan--
       (1) after canceling the contract of any incumbent that 
     would be displaced by the implementation of the challenge 
     proposal; or
       (2) after an appropriate program milestone (such as the 
     expiration of such a contract) has been reached.
       (f) Elimination of Conflicts of Interest.--In carrying out 
     each review and evaluation under subsection (c), the 
     Secretary shall ensure the elimination of conflicts of 
     interest.
       (g) Funding.--Of the funds authorized to be appropriated by 
     section 201(4) for Defense-wide research, development, test, 
     and evaluation for fiscal year 2002, $40,000,000 shall be 
     available in PE 63826D8Z for the Challenge Program required 
     by this section.
       (h) Report.--The Secretary shall submit to Congress, with 
     the submission of the budget request for the Department of 
     Defense for each fiscal year beginning with fiscal year 2003, 
     a report on the implementation of this section. The report 
     shall include the number and scope of challenge proposals 
     submitted, reviewed and evaluated, found to be substantially 
     superior, and implemented.

   Subtitle E--Air Force Science and Technology for the 21st Century

     SEC. 251. SHORT TITLE.

       This subtitle may be cited as the ``Air Force Science and 
     Technology for the 21st Century Act''.

     SEC. 252. SCIENCE AND TECHNOLOGY INVESTMENT AND DEVELOPMENT 
                   PLANNING.

       (a) Sense of Congress.--It is the sense of Congress that 
     the Secretary of the Air Force should carry out each of the 
     following:
       (1) Continue and improve efforts to ensure that--
       (A) the Air Force science and technology community is 
     represented, and the recommendations of that community are 
     considered, at all levels of program planning and budgetary 
     decisionmaking within the Air Force;
       (B) advocacy for science and technology development is 
     institutionalized across all levels of Air Force management 
     in a manner that is not dependent on individuals; and
       (C) the value of Air Force science and technology 
     development is made increasingly apparent to the warfighters, 
     by linking the needs of those warfighters with decisions on 
     science and technology development.
       (2) Complete and adopt a policy directive that provides for 
     changes in how the Air Force makes budgetary and nonbudgetary 
     decisions with respect to its science and technology 
     development programs and how it carries out those programs.
       (3) At least once every five years, conduct a review of the 
     long-term challenges and short-term objectives of the Air 
     Force science and technology programs that is consistent with 
     the review specified in section 252 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-46).
       (4) Ensure that development and science and technology 
     planning and investment activities are carried out for future 
     space warfighting systems and for future nonspace warfighting 
     systems in an integrated manner.
       (5) Elevate the position within the Office of the Secretary 
     of the Air Force that has primary responsibility for budget 
     and policy decisions for science and technology programs.
       (b) Reinstatement of Development Planning.--(1) The 
     Secretary of the Air Force shall reinstate and implement a 
     revised development planning process that provides for each 
     of the following:
       (A) Coordinating the needs of Air Force warfighters with 
     decisions on science and technology development.
       (B) Giving input into the establishment of priorities among 
     science and technology programs.
       (C) Analyzing Air Force capability options for the 
     allocation of Air Force resources.
       (D) Developing concepts for technology, warfighting 
     systems, and operations with which the Air Force can achieve 
     its critical future goals.
       (E) Evaluating concepts for systems and operations that 
     leverage technology across Air Force organizational 
     boundaries.
       (F) Ensuring that a ``system-of-systems'' approach is used 
     in carrying out the various Air Force capability planning 
     exercises.
       (G) Utilizing existing analysis capabilities within the Air 
     Force product centers in a collaborative and integrated 
     manner.
       (2) Not later than one year after the date of the enactment 
     of this Act, the Secretary of the Air Force shall submit to 
     Congress a report on the implementation of the planning 
     process required by paragraph (1). The report shall include 
     the annual amount that the Secretary considers necessary to 
     carry out paragraph (1).

     SEC. 253. STUDY AND REPORT ON EFFECTIVENESS OF AIR FORCE 
                   SCIENCE AND TECHNOLOGY PROGRAM CHANGES.

       (a) Requirement.--The Secretary of the Air Force, in 
     cooperation with the National Research Council of the 
     National Academy of Sciences, shall carry out a study to 
     determine how the changes to the Air Force science and 
     technology program implemented during the past two years 
     affect the future capabilities of the Air Force.
       (b) Matters Studied.--(1) The study shall independently 
     review and assess whether such changes as a whole are 
     sufficient to ensure the following:
       (A) That the concerns about the management of the science 
     and technology program that have been raised by the Congress, 
     the Defense Science Board, the Air Force Science Advisory 
     Board, and the Air Force Association have been adequately 
     addressed.
       (B) That appropriate and sufficient technology is available 
     to ensure the military superiority of the United States and 
     counter future high-risk threats.
       (C) That the science and technology investments are 
     balanced to meet the near-, mid-, and long-term needs of the 
     Air Force.
       (D) That technologies are made available that can be used 
     to respond flexibly and quickly to a wide range of future 
     threats.
       (E) That the Air Force organizational structure provides 
     for a sufficiently senior level advocate of science and 
     technology to ensure an ongoing, effective presence of the 
     science and technology community during the budget and 
     planning process.
       (2) In addition, the study shall independently assess the 
     specific changes to the Air Force science and technology 
     program as follows:
       (A) Whether the biannual science and technology summits 
     provide sufficient visibility into, and understanding and 
     appreciation of, the value of the science and technology 
     program to the senior level of Air Force budget and policy 
     decisionmakers.
       (B) Whether the applied technology councils are effective 
     in contributing the input of all levels beneath the senior 
     leadership into the coordination, focus, and content of the 
     science and technology program.
       (C) Whether the designation of the commander of the Air 
     Force Materiel Command as the science and technology budget 
     advocate is effective to assure that an adequate budget top 
     line is set.
       (D) Whether the revised development planning process is 
     effective to aid in the coordination of the needs of the Air 
     Force warfighters with decisions on science and technology 
     investments and the establishment of priorities among 
     different science and technology programs.
       (E) Whether the implementation of section 252 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-46) is effective to identify the basis for the 
     appropriate science and technology program top line and 
     investment portfolio.
       (c) Report.--Not later than 60 days after the date on which 
     the study required by subsection (a) is completed, the 
     Secretary of the Air Force shall submit to Congress the 
     results of the study.
       (d) Funding.--Of the amount made available pursuant to 
     section 201(3) for research, development, test, and 
     evaluation for the Air Force, $950,000 shall be available 
     only to carry out this section.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

     SEC. 301. OPERATION AND MAINTENANCE FUNDING.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     expenses, not otherwise provided for, for operation and 
     maintenance, in amounts as follows:
       (1) For the Army, $21,015,280,000.
       (2) For the Navy, $26,587,962,000.
       (3) For the Marine Corps, $2,898,114,000.
       (4) For the Air Force, $25,811,462,000.
       (5) For Defense-wide activities, $11,922,131,000.
       (6) For the Army Reserve, $1,814,246,000.
       (7) For the Naval Reserve, $1,003,690,000.
       (8) For the Marine Corps Reserve, $144,023,000.
       (9) For the Air Force Reserve, $2,017,866,000.
       (10) For the Army National Guard, $3,705,359,000.
       (11) For the Air National Guard, $3,967,361,000.
       (12) For the Defense Inspector General, $152,021,000.
       (13) For the United States Court of Appeals for the Armed 
     Forces, $9,096,000.
       (14) For Environmental Restoration, Army, $389,800,000.
       (15) For Environmental Restoration, Navy, $257,517,000.
       (16) For Environmental Restoration, Air Force, 
     $385,437,000.
       (17) For Environmental Restoration, Defense-wide, 
     $23,492,000.
       (18) For Environmental Restoration, Formerly Used Defense 
     Sites, $190,255,000.
       (19) For Overseas Humanitarian, Disaster, and Civic Aid 
     programs, $49,700,000.
       (20) For Drug Interdiction and Counter-drug Activities, 
     Defense-wide, $820,381,000.
       (21) For the Kaho'olawe Island Conveyance, Remediation, and 
     Environmental Restoration Trust Fund, $25,000,000.
       (22) For Defense Health Program, $17,570,750,000.

[[Page 20133]]

       (23) For Cooperative Threat Reduction programs, 
     $403,000,000.
       (24) For Overseas Contingency Operations Transfer Fund, 
     $2,844,226,000.
       (25) Support for International Sporting Competitions, 
     Defense, $15,800,000.

     SEC. 302. WORKING CAPITAL FUNDS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     providing capital for working capital and revolving funds in 
     amounts as follows:
       (1) For the Defense Working Capital Funds, $1,951,986,000.
       (2) For the National Defense Sealift Fund, $407,708,000.

     SEC. 303. ARMED FORCES RETIREMENT HOME.

       There is hereby authorized to be appropriated for fiscal 
     year 2002 from the Armed Forces Retirement Home Trust Fund 
     the sum of $71,440,000 for the operation of the Armed Forces 
     Retirement Home, including the United States Soldiers' and 
     Airmen's Home and the Naval Home.

     SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE 
                   TRANSACTION FUND.

       (a) Transfer Authority.--To the extent provided in 
     appropriations Acts, not more than $150,000,000 is authorized 
     to be transferred from the National Defense Stockpile 
     Transaction Fund to operation and maintenance accounts for 
     fiscal year 2002 in amounts as follows:
       (1) For the Army, $50,000,000.
       (2) For the Navy, $50,000,000.
       (3) For the Air Force, $50,000,000.
       (b) Treatment of Transfers.--Amounts transferred under this 
     section--
       (1) shall be merged with, and be available for the same 
     purposes and the same period as, the amounts in the accounts 
     to which transferred; and
       (2) may not be expended for an item that has been denied 
     authorization of appropriations by Congress.
       (c) Relationship to Other Transfer Authority.--The transfer 
     authority provided in this section is in addition to the 
     transfer authority provided in section 1001.

                  Subtitle B--Environmental Provisions

     SEC. 311. INVENTORY OF EXPLOSIVE RISK SITES AT FORMER 
                   MILITARY RANGES.

       (a) Inventory Required.--(1) Chapter 160 of title 10, 
     United States Code, is amended by adding at the end the 
     following new section:

     ``Sec. 2710. Former military ranges: inventory of explosive 
       risk sites; use of inventory; public safety issues

       ``(a) Definitions.--In this section:
       ``(1) The term `former military range' means a military 
     range presently located in the United States that--
       ``(A) is or was owned by, leased to, or otherwise possessed 
     or used by the Federal Government;
       ``(B) is designated as a closed, transferred, or 
     transferring military range (rather than as an active or 
     inactive range); or
       ``(C) is or was used as a site for the disposal of military 
     munitions or for the use of military munitions in training or 
     research, development, testing, and evaluation.
       ``(2) The term `abandoned military munitions' means 
     unexploded ordnance and other abandoned military munitions, 
     including components thereof and chemical weapons materiel, 
     that pose a threat to human health or safety.
       ``(3) The term `State' includes the District of Columbia, 
     the Commonwealth of Puerto Rico, and the territories and 
     possessions.
       ``(4) The term `United States', in a geographic sense, 
     includes the Commonwealth of Puerto Rico and the territories 
     and possessions.
       ``(b) Inventory Required.--(1) The Secretary of Defense 
     shall develop and maintain an inventory of former military 
     ranges that are known or suspected to contain abandoned 
     military munitions.
       ``(2) The information for each former military range in the 
     inventory shall include, at a minimum, the following:
       ``(A) A unique identifier for the range and its current 
     designation as either a closed, transferred, or transferring 
     range.
       ``(B) An appropriate record showing the location, 
     boundaries, and extent of the range, including identification 
     of the State and political subdivisions of the State in which 
     the range is located and any Tribal lands encompassed by the 
     range.
       ``(C) Known persons and entities, other than a military 
     department, with any current ownership interest or control of 
     lands encompassed by the range.
       ``(D) Any restrictions or other land use controls currently 
     in place that might affect the potential for public and 
     environmental exposure to abandoned military munitions.
       ``(c) Site Prioritization.--(1) With respect to each former 
     military range included on the inventory, the Secretary of 
     Defense shall assign the range a relative priority for 
     response activities based on the overall conditions at the 
     range. The level of response priority assigned the range 
     shall be included with the information required by subsection 
     (b)(2) to be maintained for the range.
       ``(2) In assigning the response priority for a former 
     military range, the Secretary of Defense shall primarily 
     consider factors relating to safety and environmental hazard 
     potential, such as the following:
       ``(A) Whether there are known, versus suspected, abandoned 
     military munitions on all or any portion of the range and the 
     types of munitions present or suspected to be present.
       ``(B) Whether public access to the range is controlled, and 
     the effectiveness of these controls.
       ``(C) The potential for direct human contact with abandoned 
     military munitions at the range and evidence of people 
     entering the range.
       ``(D) Whether a response action has been or is being 
     undertaken at the range under the Formerly Used Defense Sites 
     program or other programs.
       ``(E) The planned or mandated dates for transfer of the 
     range from military control.
       ``(F) The extent of any documented incidents involving 
     abandoned military munitions at or from the range. In this 
     subparagraph, the term `incidents' means any or all of the 
     following: explosions, discoveries, injuries, reports, and 
     investigations.
       ``(G) The potential for drinking water contamination or the 
     release of weapon components into the air.
       ``(H) The potential for destruction of sensitive ecosystems 
     and damage to natural resources.
       ``(d) Updates and Availability.--(1) The Secretary of 
     Defense shall annually update the inventory and site 
     prioritization list to reflect new information that becomes 
     available. The inventory shall be available in published and 
     electronic form.
       ``(2) The Secretary of Defense shall work with adjacent 
     communities to provide information concerning conditions at 
     the former military range and response activities, and shall 
     respond to inquiries. At a minimum, the Secretary shall 
     notify immediately affected individuals, appropriate State, 
     local, tribal, and Federal officials, and, when appropriate, 
     civil defense or emergency management agencies.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``2710. Former military ranges: inventory of explosive risk sites; use 
              of inventory; public safety issues.''.
       (b) Initial Inventory.--The inventory required by section 
     2710 of title 10, United States Code, as added by subsection 
     (a), shall be completed and made available not later than one 
     year after the date of the enactment of this Act.

     SEC. 312. NATIONAL SECURITY IMPACT STATEMENTS.

       (a) Evaluation of National Security Impacts Required.--(1) 
     Chapter 160 of title 10, United States Code, is amended by 
     inserting after section 2710, as added by section 311, the 
     following new section:

     ``Sec. 2711. Environmental impact statements and 
       environmental assessments: evaluation of national security 
       impacts of proposed action and alternatives

       ``(a) Agency Action.--Whenever an environmental impact 
     statement or environmental assessment is required under 
     section 102 of the National Environmental Policy Act of 1969 
     (42 U.S.C. 4332) to be prepared in connection with a proposed 
     Department of Defense action, the Secretary of Defense shall 
     include as a part of the environmental impact statement or 
     environmental assessment a detailed evaluation of the impact 
     of the proposed action, and each alternative to the proposed 
     action considered in the statement or assessment, on national 
     security, including the readiness, training, testing, and 
     operations of the armed forces.
       ``(b) Agency Input.--The Secretary of Defense shall also 
     include the evaluation required by subsection (a) in any 
     input provided by the Department of Defense as a cooperating 
     agency to a lead agency preparing an environmental impact 
     statement or environmental assessment.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``2711. Environmental impact statements and environmental assessments: 
              evaluation of national security impacts of proposed 
              action and alternatives.''.
       (b) Effective Date.--Section 2711 of title 10, United 
     States Code, as added by subsection (a), shall take effect on 
     the date of the enactment of this Act and apply with respect 
     to any environmental impact statement or environmental 
     assessment prepared by the Secretary of Defense that has not 
     been released in final form as of that date.

     SEC. 313. REIMBURSEMENT FOR CERTAIN COSTS IN CONNECTION WITH 
                   HOOPER SANDS SITE, SOUTH BERWICK, MAINE.

       Using amounts authorized to be appropriated by section 
     301(15) for environmental restoration for the Navy, the 
     Secretary of the Navy may pay $1,005,478 to the Hooper Sands 
     Special Account within the Hazardous Substance Superfund 
     established by section 9507 of the Internal Revenue Code of 
     1986 (26 U.S.C. 9507) to reimburse the Environmental 
     Protection Agency in full for certain response costs incurred 
     by the Environmental Protection Agency for actions taken 
     pursuant to the Comprehensive Environmental Response, 
     Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et 
     seq.) at the Hooper Sands site in South Berwick, Maine, 
     pursuant to an interagency agreement entered

[[Page 20134]]

     into by the Department of the Navy and the Environmental 
     Protection Agency in January 2001.

     SEC. 314. RIVER MITIGATION STUDIES.

       (a) Port of Orange, Sabine River.--The Secretary of Defense 
     may conduct a study regarding mitigation needs in connection 
     with protruding structures and submerged objects remaining 
     from the World War II Navy ship building industry located at 
     the former Navy installation in Orange, Texas, which create 
     navigational hazards along the Sabine River and surrounding 
     the Port of Orange.
       (b) Philadelphia Naval Shipyard, Delaware River.--The 
     Secretary of Defense may conduct a study regarding mitigation 
     needs in connection with floating and partially submerged 
     debris possibly relating to the Philadelphia Naval Shipyard 
     in that portion of the Delaware River from Philadelphia to 
     the mouth of the river which create navigational hazards 
     along the river.
       (c) Use of Existing Information.--In conducting the studies 
     authorized by this section, the Secretary shall take into 
     account any information available from other studies 
     conducted in connection with the same navigation channels.
       (d) Consultation.--The Secretary shall conduct the studies 
     authorized by this section in consultation with appropriate 
     State and local government entities and Federal agencies.
       (e) Report on Study Results.--Not later than April 30, 
     2002, the Secretary of Defense shall submit to the Committee 
     on Armed Services of the House of Representatives and the 
     Committee on Armed Services of the Senate a report that 
     summarizes the results of the studies conducted under this 
     section.
       (f) Cost Sharing.--Nothing in this section is intended to 
     require non-Federal cost sharing of the costs incurred by the 
     Secretary of Defense to conduct the studies authorized by 
     this section.
       (g) Removal Authority.--Consistent with existing laws, 
     using funds authorized to be appropriated for these purposes, 
     and after providing notice to Congress, the Secretary of 
     Defense may work with the other Federal, State, local, and 
     private entities--
       (1) to remove the protruding structures and submerged 
     objects along the Sabine River and surrounding the Port of 
     Orange that resulted from the abandonment of the ship 
     building industry and Navy installation in Orange, Texas; and
       (2) to remove floating and partially submerged debris in 
     the portion of the Delaware River subject to the study under 
     subsection (b).
       (h) Relation to Other Laws and Agreements.--This section is 
     not intended to modify any authorities provided to the 
     Secretary of the Army by the Water Resources Development Act 
     of 1986 (33 U.S.C. 2201 et seq.), nor is it intended to 
     modify any non-Federal cost-sharing responsibilities outlined 
     in any local cooperation agreements.

     SEC. 315. ELIMINATION OF ANNUAL REPORT ON CONTRACTOR 
                   REIMBURSEMENT FOR COSTS OF ENVIRONMENTAL 
                   RESPONSE ACTIONS.

       Section 2706 of title 10, United States Code, is amended by 
     striking subsection (c).

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

     SEC. 321. RESERVE COMPONENT COMMISSARY BENEFITS.

       (a) Eligibility for Commissary Benefits.--Section 1063 of 
     title 10, United States Code, is amended--
       (1) by striking subsection (a);
       (2) by redesignating subsections (b) and (c) as subsections 
     (d) and (e), respectively; and
       (3) by inserting after the section heading the following 
     new subsections:
       ``(a) Eligibility.--Subject to subsection (c), the 
     Secretary concerned shall authorize members of the Ready 
     Reserve described in subsection (b) to have 24 days of 
     eligibility to use commissary stores of the Department of 
     Defense for any calendar year.
       ``(b) Covered Members.--Subsection (a) applies with respect 
     to the following members of the Ready Reserve:
       ``(1) A member of the Selected Reserve who is 
     satisfactorily participating in required training as 
     prescribed in section 10147(a)(1) of this title or section 
     502(a) of title 32 in that calendar year.
       ``(2) A member of the Ready Reserve (other than a member 
     described in paragraph (1)) who satisfactorily completes 50 
     or more points credible under section 12732(a)(2) of this 
     title in that calendar year.
       ``(c) Reduced Number of Commissary Visits for New 
     Members.--The number of commissary visits authorized for a 
     member of the Selected Reserve described in subsection (b)(1) 
     who enters the Selected Reserve after the beginning of the 
     calendar year shall be equal to twice the number of full 
     months remaining in the calendar year.''.
       (b) Clerical Amendments.--(1) The heading of such section 
     is amended to read as follows:

     ``Sec. 1063. Use of commissary stores: members of Ready 
       Reserve''.

       (2) The table of sections at the beginning of chapter 54 of 
     such title is amended by striking the item relating to 
     section 1063 and inserting the following new item:

``1063. Use of commissary stores: members of Ready Reserve.''.

     SEC. 322. REIMBURSEMENT FOR NONCOMMISSARY USE OF COMMISSARY 
                   FACILITIES.

       Section 2685 of title 10, United States Code, is amended by 
     adding at the end the following new subsection:
       ``(f) Reimbursement for Noncommissary Use of Commissary 
     Facilities.--(1) If the Secretary concerned uses for 
     noncommissary purposes a commissary facility whose 
     construction was financed (in whole or in part) using the 
     proceeds of adjustments or surcharges authorized by 
     subsection (a) or revenues referred to in subsection (e), the 
     Secretary concerned shall reimburse the commissary surcharge 
     account for the depreciated value of the investment made with 
     such proceeds and revenues.
       ``(2) In paragraph (1), the term `construction' has the 
     meaning given such term in subsection (d)(2).''.

     SEC. 323. CIVIL RECOVERY FOR NONAPPROPRIATED FUND 
                   INSTRUMENTALITY COSTS RELATED TO SHOPLIFTING.

       Section 3701(b)(1)(B) of title 31, United States Code, is 
     amended by inserting before the comma at the end the 
     following: ``, including actual and administrative costs 
     related to shoplifting, theft detection, and theft 
     prevention''.

                 Subtitle D--Workforce and Depot Issues

     SEC. 331. WORKFORCE REVIEW LIMITATIONS.

       (a) Limitation Pending GAO Report.--No more than 50 percent 
     of the workforce reviews planned during fiscal year 2002 may 
     be initiated before the date that is the earlier of (1) May 
     1, 2002, or (2) the date on which the Comptroller General 
     submits to Congress the report required by section 832 of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted by Public Law 106-398; 114 Stat. 1654A-
     221), regarding policies and procedures governing the 
     transfer of commercial activities from Government personnel 
     to Federal contractors.
       (b) Required Cost Savings Level for Change.--(1) A 
     commercial or industrial type function of the Department of 
     Defense may not be changed to performance by the private 
     sector as a result of a workforce review unless, as a result 
     of the cost comparison examination required as part of the 
     review that employed the most efficient organization process 
     described in Office of Management and Budget Circular A-76 or 
     any successor administrative regulation or policy, at least a 
     10-percent cost savings would be achieved by performance of 
     the function by the private sector over the term of the 
     contract.
       (2) The cost savings requirement specified in paragraph (1) 
     does not apply to any contracts for special studies and 
     analyses, construction services, architectural services, 
     engineering services, medical services, scientific and 
     technical services related to (but not in support of) 
     research and development, and depot-level maintenance and 
     repair services.
       (3) The Secretary of Defense may waive the cost savings 
     requirement if--
       (A) the written waiver is prepared by the Secretary of 
     Defense, or the relevant Assistant Secretary or agency head; 
     and
       (B) the written waiver is accompanied by a detailed 
     determination that national security interests are so 
     compelling as to preclude compliance with the requirement for 
     a cost comparison examination.
       (C) The Secretary of Defense shall publish a copy of the 
     waiver in the Federal Register.
       (c) Workforce Review Defined.--In this section, the term 
     ``workforce review'' with respect to a function of the 
     Department of Defense performed by Department of Defense 
     civilian employees, means a review conducted under Office of 
     Management and Budget Circular A-76 (or any successor 
     administrative regulation or policy).

     SEC. 332. APPLICABILITY OF CORE LOGISTICS CAPABILITY 
                   REQUIREMENTS TO NUCLEAR AIRCRAFT CARRIERS.

       Section 2464(a)(3) of title 10, United States Code, is 
     amended by striking ``nuclear aircraft carriers'' and 
     inserting ``nuclear refueling of aircraft carriers''.

     SEC. 333. CONTINUATION OF CONTRACTOR MANPOWER REPORTING 
                   SYSTEM IN DEPARTMENT OF THE ARMY.

       Section 343 of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 113 Stat. 569) is 
     amended--
       (1) by striking subsection (a) and inserting the following 
     new subsection (a):
       ``(a) Reporting Requirement for Department of the Army.--
     (1) Not later than March 1 of each fiscal year, the Secretary 
     of the Army shall submit to Congress a report describing the 
     use during the previous fiscal year of non-Federal entities 
     to provide services to the Department of the Army.
       ``(2) The data collection required to prepare the report is 
     deemed to be in compliance with the requirements of chapter 
     35 of title 44, United States Code, commonly known as the 
     Paperwork Reduction Act.
       ``(3) The report required by this section is needed to 
     comply with sections 115a and 129a of title 10, United States 
     Code, and is not a procurement action.'';
       (2) by striking ``Department of Defense'' each place it 
     appears and inserting ``Department of the Army''; and
       (3) by adding at the end the following new subsection:

[[Page 20135]]

       ``(d) GAO Evaluation.--Not later than 60 days after the 
     Secretary submits to Congress the report required under 
     subsection (a) for a fiscal year, the Comptroller General 
     shall submit to Congress an evaluation of the report.''.

     SEC. 334. LIMITATION ON EXPANSION OF WHOLESALE LOGISTICS 
                   MODERNIZATION PROGRAM.

       (a) Limitation.--The Secretary of the Army may not 
     authorize the expansion of the Wholesale Logistics 
     Modernization Program beyond the original legacy systems 
     included in the scope of the contract awarded in December 
     1999 until the Secretary certifies to Congress that the 
     original legacy systems have been successfully replaced.
       (b) GAO Evaluation.--Not later than 60 days after the 
     Secretary of the Army submits to Congress the certification 
     required under subsection (a), the Comptroller General shall 
     submit to Congress an evaluation of the certification.

     SEC. 335. PILOT PROJECT FOR EXCLUSION OF CERTAIN EXPENDITURES 
                   FROM LIMITATION ON PRIVATE SECTOR PERFORMANCE 
                   OF DEPOT-LEVEL MAINTENANCE.

       Section 2474 of title 10, United States Code, is amended by 
     adding at the end the following new subsection:
       ``(g) Pilot Project for the Exclusion of Certain 
     Expenditures From Limitation on Private Sector Performance of 
     Depot-Level Maintenance.--
       ``(1) Amounts excluded.--Amounts expended out of funds 
     described in paragraph (2) for the performance of a depot-
     level maintenance and repair workload by non-Federal 
     Government personnel at a Center of Industrial and Technical 
     Excellence named in paragraph (4) shall not be counted for 
     the purposes of section 2466(a) of this title if the 
     personnel are provided by private industry pursuant to a 
     public-private partnership undertaken by the Center under 
     subsection (b).
       ``(2) Funds for fiscal years 2002 through 2006.--The funds 
     referred to in paragraph (1) are funds available to the Air 
     Force for depot-level maintenance and repair workloads for 
     fiscal year 2002, 2003, 2004, 2005, or 2006, and shall not 
     exceed 10 percent of the total funds available in any single 
     year.
       ``(3) Reporting requirements.--All funds covered by 
     paragraph (1) shall be included as a separate item in the 
     reports required under paragraphs (1), (2), and (3) of 
     section 2466(e) of this title.
       ``(4) Covered centers.--(A) The Centers of Industrial and 
     Technical Excellence referred to in paragraph (1) are the 
     following:
       ``(i) Oklahoma City Air Logistics Center, Oklahoma.
       ``(ii) Ogden Air Logistics Center, Utah.
       ``(iii) Warner-Robins Air Logistics Center, Georgia.
       ``(B) The Secretary of the Air Force shall designate as a 
     Center of Industrial and Technical Excellence under this 
     section any of the air logistics centers named in 
     subparagraph (A) that have not previously been so designated 
     and shall specify the core competencies for which the 
     designation is made.''.

     SEC. 336. PROTECTIONS FOR PURCHASERS OF ARTICLES AND SERVICES 
                   MANUFACTURED OR PERFORMED BY WORKING-CAPITAL 
                   FUNDED INDUSTRIAL FACILITIES OF THE DEPARTMENT 
                   OF DEFENSE..

       (a) General Rule.--Section 2563(c) of title 10, United 
     States Code, is amended--
       (1) in paragraph (1)(B), by striking ``in any case of 
     willful misconduct or gross negligence'' and inserting ``as 
     provided in paragraph (3)''; and
       (2) by adding at the end the following new paragraph:
       ``(3) Paragraph (1)(B) does not apply in any case of 
     willful misconduct or gross negligence or in the case of a 
     claim by a purchaser of articles or services under this 
     section that damages or injury arose from the failure of the 
     Government to comply with quality, schedule, or cost 
     performance requirements in the contract to provide the 
     articles or services.''.
       (b) Conforming Amendment.--Section 2474(e)(2)(B)(i) of such 
     title is amended by striking ``in a case of willful conduct 
     or gross negligence'' and inserting ``under the circumstances 
     described in section 2563(c)(3) of this title''.

                Subtitle E--Defense Dependents Education

     SEC. 341. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT 
                   BENEFIT DEPENDENTS OF MEMBERS OF THE ARMED 
                   FORCES AND DEPARTMENT OF DEFENSE CIVILIAN 
                   EMPLOYEES.

       (a) Continuation of Department of Defense Program for 
     Fiscal Year 2002.--Of the amount authorized to be 
     appropriated pursuant to section 301(5) for operation and 
     maintenance for Defense-wide activities--
       (1) $30,000,000 shall be available only for the purpose of 
     providing educational agencies assistance to local 
     educational agencies; and
       (2) $1,000,000 shall be available only for the purpose of 
     making payments to local educational agencies to assist such 
     agencies in adjusting to reductions in the number of military 
     dependent students as a result of the closure or realignment 
     of military installations, as provided in section 386(d) of 
     the National Defense Authorization Act for Fiscal Year 1993 
     (Public Law 102-484; 20 U.S.C. 7703 note).
       (b) Notification.--Not later than June 30, 2002, the 
     Secretary of Defense shall notify each local educational 
     agency that is eligible for assistance or a payment under 
     subsection (a) for fiscal year 2002 of--
       (1) that agency's eligibility for the assistance or 
     payment; and
       (2) the amount of the assistance or payment for which that 
     agency is eligible.
       (c) Disbursement of Funds.--The Secretary of Defense shall 
     disburse funds made available under subsection (a) not later 
     than 30 days after the date on which notification to the 
     eligible local educational agencies is provided pursuant to 
     subsection (b).
       (d) Definitions.--In this section:
       (1) The term ``educational agencies assistance'' means 
     assistance authorized under section 386(b) of the National 
     Defense Authorization Act for Fiscal Year 1993 (Public Law 
     102-484; 20 U.S.C. 7703 note).
       (2) The term ``local educational agency'' has the meaning 
     given that term in section 8013(9) of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

     SEC. 342. AVAILABILITY OF AUXILIARY SERVICES OF DEFENSE 
                   DEPENDENTS' EDUCATION SYSTEM FOR DEPENDENTS WHO 
                   ARE HOME SCHOOL STUDENTS.

       Section 1407 of the Defense Dependents' Education Act of 
     1978 (20 U.S.C. 926) is amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following new 
     subsection:
       ``(d) Auxiliary Services Available to Home School 
     Students.--(1) A dependent who is educated in a home school 
     setting, but who is eligible to enroll in a school of the 
     defense dependents' education system, shall be permitted to 
     use or receive auxiliary services of that school without 
     being required to either enroll in that school or register 
     for a minimum number of courses offered by that school. The 
     dependent may be required to satisfy other eligibility 
     requirements applicable to students actually enrolled in that 
     school who use or receive the same auxiliary services.
       ``(2) For purposes of paragraph (1), the term `auxiliary 
     services' includes registration in individual courses, use of 
     academic resources, access to the library of the school, 
     after hours use of school facilities, and participation in 
     music, sports, and other extracurricular and interscholastic 
     activities.''.

     SEC. 343. REPORT REGARDING COMPENSATION FOR TEACHERS EMPLOYED 
                   IN TEACHING POSITIONS IN OVERSEAS SCHOOLS 
                   OPERATED BY THE DEPARTMENT OF DEFENSE.

       Not later than 180 days after the date of the enactment of 
     this Act, the Secretary of Defense shall submit to Congress a 
     report evaluating the method currently used by the Secretary 
     to fix the basic compensation for teachers and teaching 
     positions in the Department of Defense under the Defense 
     Department Overseas Teachers Pay and Personnel Practices Act 
     (20 U.S.C. 901 et seq.). The report shall include the 
     recommendations of the Secretary regarding a proposal to 
     increase such compensation to reflect the average of the 
     range of rates of basic compensation for similar teaching 
     positions of a comparable level of duties and 
     responsibilities for teachers employed in public schools in 
     the District of Columbia metropolitan area, which includes 
     the District of Columbia Public Schools, Arlington Public 
     Schools, Alexandria City Public Schools, Fairfax County 
     Public Schools, Montgomery County Public Schools, and Prince 
     George's County Public Schools.

                       Subtitle F--Other Matters

     SEC. 351. AVAILABILITY OF EXCESS DEFENSE PERSONAL PROPERTY TO 
                   SUPPORT DEPARTMENT OF VETERANS AFFAIRS 
                   INITIATIVE TO ASSIST HOMELESS VETERANS.

       (a) Transfer Authority.--Section 2557(a) of title 10, 
     United States Code, is amended--
       (1) by striking ``The Secretary'' and inserting ``(1) The 
     Secretary''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Secretary of Defense may make excess clothing, 
     shoes, sleeping bags, and related nonlethal excess supplies 
     available to the Secretary of Veterans Affairs for 
     distribution to homeless veterans and programs assisting 
     homeless veterans. The transfer of nonlethal excess supplies 
     to the Secretary of Veterans Affairs under this paragraph 
     shall be without reimbursement.''.
       (b) Clerical Amendments.--(1) The heading of such section 
     is amended to read as follows:

     ``Sec. 2557. Excess nonlethal supplies: availability for 
       homeless veteran initiatives and humanitarian relief''.

       (2) The table of sections at the beginning of chapter 152 
     of such title is amended by striking the item relating to 
     section 2557 and inserting the following new item:

``2557. Excess nonlethal supplies: availability for homeless veteran 
              initiatives and humanitarian relief.''.

     SEC. 352. CONTINUATION OF LIMITATIONS ON IMPLEMENTATION OF 
                   NAVY-MARINE CORPS INTRANET CONTRACT.

       (a) Exclusion of Marine Corps.--Subsection (c) of section 
     814 of the Floyd D. Spence National Defense Authorization Act 
     for Fiscal Year 2001 (as enacted by Public Law 106-398; 114 
     Stat. 1654A-215) is amended--

[[Page 20136]]

       (1) by striking ``Prohibition on Increase of Rates 
     Charged.--'' and inserting ``Prohibitions.--(1)'';
       (2) by striking ``fiscal year 2001'' and inserting ``fiscal 
     year 2002''; and
       (3) by adding at the end the following new paragraph:
       ``(2) The Navy Intranet contract may not include any 
     activities of the Marine Corps.''.
       (b) Limitation on Phased Implementation.--Subsection (b)(4) 
     of such section is amended--
       (1) by striking ``fiscal year 2001'' both places it appears 
     and inserting ``fiscal year 2002''; and
       (2) by striking ``Marine Corps, the naval shipyards, or'' 
     both places it appears and inserting ``naval shipyards or''.

     SEC. 353. COMPLETION AND EVALUATION OF CURRENT DEMONSTRATION 
                   PROGRAMS TO IMPROVE QUALITY OF PERSONAL 
                   PROPERTY SHIPMENTS OF MEMBERS.

       (a) Completion.--The Secretary of Defense shall conduct to 
     completion all demonstration programs in the Department of 
     Defense that were designed to improve the movement of 
     household goods of members of the Armed Forces and were being 
     conducted or authorized as of October 1, 2000,
       (b) Evaluation.--Not later than August 31, 2002, the 
     Secretary of Defense shall submit to Congress a report 
     evaluating whether the demonstration programs referred to in 
     subsection (a), as implemented, satisfy the goals (as 
     contained in the General Accounting Report NSIAD 97-49) for 
     such demonstration programs previously agreed upon between 
     the Department of Defense and representatives of private 
     sector entities involved in the transportation of household 
     goods for members of the Armed Forces.
       (c) Interim Reports.--Not later than January 15, 2002, and 
     April 15, 2002, the Secretary shall submit to Congress 
     interim reports regarding the progress of the demonstration 
     programs referred to in subsection (a).

     SEC. 354. EXPANSION OF ENTITIES ELIGIBLE FOR LOAN, GIFT, AND 
                   EXCHANGE OF DOCUMENTS, HISTORICAL ARTIFACTS, 
                   AND OBSOLETE COMBAT MATERIEL.

       Section 2572(a)(1) of title 10, United States Code, is 
     amended by inserting before the period at the end the 
     following: ``, county, or other political subdivision of a 
     State''.

     SEC. 355. SENSE OF CONGRESS REGARDING SECURITY TO BE PROVIDED 
                   AT THE 2002 WINTER OLYMPIC GAMES.

       It is the sense of Congress that the Secretary of Defense 
     should provide essential and appropriate public safety and 
     security support for the 2002 Winter Olympic Games in Salt 
     Lake City, Utah.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

     SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

       The Armed Forces are authorized strengths for active duty 
     personnel as of September 30, 2002, as follows:
       (1) The Army, 480,000.
       (2) The Navy, 376,000.
       (3) The Marine Corps, 172,600.
       (4) The Air Force, 358,800.

     SEC. 402. REVISION IN PERMANENT END STRENGTH MINIMUM LEVELS.

       (a) Revised End Strength Floors.--Section 691(b) of title 
     10, United States Code, is amended--
       (1) in paragraph (2), by striking ``372,000'' and inserting 
     ``376,000''; and
       (2) in paragraph (4), by striking ``357,000'' and inserting 
     ``358,800''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on October 1, 2001, or the date of the 
     enactment of this Act, whichever is later.

                       Subtitle B--Reserve Forces

     SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

       (a) In General.--The Armed Forces are authorized strengths 
     for Selected Reserve personnel of the reserve components as 
     of September 30, 2002, as follows:
       (1) The Army National Guard of the United States, 350,000.
       (2) The Army Reserve, 205,000.
       (3) The Naval Reserve, 87,000.
       (4) The Marine Corps Reserve, 39,558.
       (5) The Air National Guard of the United States, 108,400.
       (6) The Air Force Reserve, 74,700.
       (7) The Coast Guard Reserve, 8,000.
       (b) Adjustments.--The end strengths prescribed by 
     subsection (a) for the Selected Reserve of any reserve 
     component shall be proportionately reduced by--
       (1) the total authorized strength of units organized to 
     serve as units of the Selected Reserve of such component 
     which are on active duty (other than for training) at the end 
     of the fiscal year; and
       (2) the total number of individual members not in units 
     organized to serve as units of the Selected Reserve of such 
     component who are on active duty (other than for training or 
     for unsatisfactory participation in training) without their 
     consent at the end of the fiscal year.

     Whenever such units or such individual members are released 
     from active duty during any fiscal year, the end strength 
     prescribed for such fiscal year for the Selected Reserve of 
     such reserve component shall be proportionately increased by 
     the total authorized strengths of such units and by the total 
     number of such individual members.

     SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN 
                   SUPPORT OF THE RESERVES.

       Within the end strengths prescribed in section 411(a), the 
     reserve components of the Armed Forces are authorized, as of 
     September 30, 2002, the following number of Reserves to be 
     serving on full-time active duty or full-time duty, in the 
     case of members of the National Guard, for the purpose of 
     organizing, administering, recruiting, instructing, or 
     training the reserve components:
       (1) The Army National Guard of the United States, 22,974.
       (2) The Army Reserve, 13,108.
       (3) The Naval Reserve, 14,811.
       (4) The Marine Corps Reserve, 2,261.
       (5) The Air National Guard of the United States, 11,591.
       (6) The Air Force Reserve, 1,437.

     SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS (DUAL 
                   STATUS).

       The minimum number of military technicians (dual status) as 
     of the last day of fiscal year 2002 for the reserve 
     components of the Army and the Air Force (notwithstanding 
     section 129 of title 10, United States Code) shall be the 
     following:
       (1) For the Army National Guard of the United States, 
     23,128.
       (2) For the Army Reserve, 5,999.
       (3) For the Air National Guard of the United States, 
     22,422.
       (4) For the Air Force Reserve, 9,818.

     SEC. 414. FISCAL YEAR 2002 LIMITATION ON NON-DUAL STATUS 
                   TECHNICIANS.

       (a) Limitation.--The number of non-dual status technicians 
     employed by the reserve components of the Army and the Air 
     Force as of September 30, 2002, may not exceed the following:
       (1) For the Army Reserve, 1,095.
       (2) For the Army National Guard of the United States, 
     1,600.
       (3) For the Air Force Reserve, 90.
       (4) For the Air National Guard of the United States, 350.
       (b) Non-Dual Status Technicians Defined.--In this section, 
     the term ``non-dual status technician'' has the meaning given 
     that term in section 10217(a) of title 10, United States 
     Code.

     SEC. 415. LIMITATIONS ON NUMBERS OF RESERVE PERSONNEL SERVING 
                   ON ACTIVE DUTY OR FULL-TIME NATIONAL GUARD DUTY 
                   IN CERTAIN GRADES FOR ADMINISTRATION OF RESERVE 
                   COMPONENTS.

       (a) Officers.--The text of section 12011 of title 10, 
     United States Code, is amended to read as follows:
       ``(a) Limitations.--(1) Of the total number of members of a 
     reserve component who are serving on full-time reserve 
     component duty at the end of any fiscal year, the number of 
     those members who may be serving in each of the grades of 
     major, lieutenant colonel, and colonel may not, as of the end 
     of that fiscal year, exceed the number determined in 
     accordance with the following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers of that reserve component who may be
                                                                        serving in the grade of:
   ``Total number of members of a reserve component    ---------------------------------------------------------
     serving on full-time reserve component duty:                              Lieutenant
                                                              Major             Colonel             Colonel
----------------------------------------------------------------------------------------------------------------
Army Reserve:
10,000................................................              1,390                740             230
11,000................................................              1,529                803             242
12,000................................................              1,668                864             252
13,000................................................              1,804                924             262
14,000................................................              1,940                984             272
15,000................................................              2,075              1,044             282
16,000................................................              2,210              1,104             291
17,000................................................              2,345              1,164             300
18,000................................................              2,479              1,223             309
19,000................................................              2,613              1,282             318
20,000................................................              2,747              1,341             327

[[Page 20137]]


21,000................................................              2,877              1,400              336

Army National Guard:
20,000................................................              1,500                850             325
22,000................................................              1,650                930             350
24,000................................................              1,790              1,010             370
26,000................................................              1,930              1,085             385
28,000................................................              2,070              1,160             400
30,000................................................              2,200              1,235             405
32,000................................................              2,330              1,305             408
34,000................................................              2,450              1,375             411
36,000................................................              2,570              1,445             411
38,000................................................              2,670              1,515             411
40,000................................................              2,770              1,580             411
42,000................................................              2,837              1,644             411

Marine Corps Reserve:
1,100.................................................                106                 56              20
1,200.................................................                110                 60              21
1,300.................................................                114                 63              22
1,400.................................................                118                 66              23
1,500.................................................                121                 69              24
1,600.................................................                124                 72              25
1,700.................................................                127                 75              26
1,800.................................................                130                 78              27
1,900.................................................                133                 81              28
2,000.................................................                136                 84              29
2,100.................................................                139                 87              30
2,200.................................................                141                 90              31
2,300.................................................                143                 92              32
2,400.................................................                145                 94              33
2,500.................................................                147                 96              34
2,600.................................................                149                 98              35

Air Force Reserve:
500...................................................                 83                 85              50
1,000.................................................                155                165              95
1,500.................................................                220                240             135
2,000.................................................                285                310             170
2,500.................................................                350                369             203
3,000.................................................                413                420             220
3,500.................................................                473                464             230
4,000.................................................                530                500             240
4,500.................................................                585                529             247
5,000.................................................                638                550             254
5,500.................................................                688                565             261
6,000.................................................                735                575             268
7,000.................................................                770                595             280
8,000.................................................                805                615             290
10,000................................................                835                635             300

Air National Guard:
5,000.................................................                333                335             251
6,000.................................................                403                394             260
7,000.................................................                472                453             269
8,000.................................................                539                512             278
9,000.................................................                606                571             287
10,000................................................                673                630             296
11,000................................................                740                688             305
12,000................................................                807                742             314
13,000................................................                873                795             323
14,000................................................                939                848             332
15,000................................................              1,005                898             341
16,000................................................              1,067                948             350
17,000................................................              1,126                998             359
18,000................................................              1,185              1,048             368
19,000................................................              1,235              1,098             377
20,000................................................              1,283              1,148              380.
----------------------------------------------------------------------------------------------------------------

       ``(2) Of the total number of members of the Naval Reserve 
     who are serving on full-time reserve component duty at the 
     end of any fiscal year, the number of those members who may 
     be serving in each of the grades of lieutenant commander, 
     commander, and captain may not, as of the end of that fiscal 
     year, exceed the number determined in accordance with the 
     following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers who may be serving in the grade of:
 ``Total number of members of Naval Reserve serving on ---------------------------------------------------------
           full-time reserve component duty                 Lieutenant
                                                            commander          Commander            Captain
----------------------------------------------------------------------------------------------------------------
10,000................................................                807                447             141
11,000................................................                867                467             153
12,000................................................                924                485             163
13,000................................................                980                503             173
14,000................................................              1,035                521             183
15,000................................................              1,088                538             193
16,000................................................              1,142                555             203
17,000................................................              1,195                565             213
18,000................................................              1,246                575             223
19,000................................................              1,291                585             233
20,000................................................              1,334                595             242
21,000................................................              1,364                603             250

[[Page 20138]]


22,000................................................              1,384                610             258
23,000................................................              1,400                615             265
24,000................................................              1,410                620              270.
----------------------------------------------------------------------------------------------------------------

       ``(b) Determinations by Interpolation.--If the total number 
     of members of a reserve component serving on full-time 
     reserve component duty is between any two consecutive numbers 
     in the first column of the appropriate table in paragraph (1) 
     or (2) of subsection (a), the corresponding authorized 
     strengths for each of the grades shown in that table for that 
     component are determined by mathematical interpolation 
     between the respective numbers of the two strengths. If the 
     total number of members of a reserve component serving on 
     full-time reserve component duty is more or less than the 
     highest or lowest number, respectively, set forth in the 
     first column of the appropriate table in paragraph (1) or (2) 
     of subsection (a), the Secretary concerned shall fix the 
     corresponding strengths for the grades shown in that table at 
     the same proportion as is reflected in the nearest limit 
     shown in the table.
       ``(c) Reallocations to Lower Grades.--Whenever the number 
     of officers serving in any grade for duty described in 
     subsection (a) is less than the number authorized for that 
     grade under this section, the difference between the two 
     numbers may be applied to increase the number authorized 
     under this section for any lower grade.
       ``(d) Secretarial Waiver.--(1) Upon determining that it is 
     in the national interest to do so, the Secretary of Defense 
     may increase for a particular fiscal year the number of 
     reserve officers that may be on full-time reserve component 
     duty for a reserve component in a grade referred to in a 
     table in subsection (a) by a number that does not exceed the 
     number equal to 5 percent of the maximum number specified for 
     the grade in that table.
       ``(2) Whenever the Secretary exercises the authority 
     provided in paragraph (1), the Secretary shall submit to the 
     Committee on Armed Services of the Senate and the Committee 
     on Armed Services of the House of Representatives notice in 
     writing of the adjustment made.
       ``(e) Full-Time Reserve Component Duty Defined.--In this 
     section, the term `full-time reserve component duty' means 
     the following duty:
       ``(1) Active duty described in sections 10211, 10302, 
     10303, 10304, 10305, 12310, or 12402 of this title.
       ``(2) Full-time National Guard duty (other than for 
     training) under section 502(f) of title 32.
       ``(3) Active duty described in section 708 of title 32.''.
       (b) Senior Enlisted Members.--The text of section 12012 of 
     title 10, United States Code, is amended to read as follows:
       ``(a) Limitations.--Of the total number of members of a 
     reserve component who are serving on full-time reserve 
     component duty at the end of any fiscal year, the number of 
     those members in each of pay grades of E-8 and E-9 who may be 
     serving on active duty under section 10211 or 12310, or on 
     full-time National Guard duty under the authority of section 
     502(f) of title 32 (other than for training) in connection 
     with organizing, administering, recruiting, instructing, or 
     training the reserve components or the National Guard may 
     not, as of the end of that fiscal year, exceed the number 
     determined in accordance with the following table:


------------------------------------------------------------------------
                                   Number of members          E-8
  ``Total number of members of a    of that reserve  -------------------
reserve component serving on full- component who may
   time reserve component duty:    be serving in the          E-9
                                       grade of:
------------------------------------------------------------------------
Army Reserve:
10,000...........................              1,052             154
11,000...........................              1,126             168
12,000...........................              1,195             180
13,000...........................              1,261             191
14,000...........................              1,327             202
15,000...........................              1,391             213
16,000...........................              1,455             224
17,000...........................              1,519             235
18,000...........................              1,583             246
19,000...........................              1,647             257
20,000...........................              1,711             268
21,000...........................              1,775             278

Army National Guard:
20,000...........................              1,650             550
22,000...........................              1,775             615
24,000...........................              1,900             645
26,000...........................              1,945             675
28,000...........................              1,945             705
30,000...........................              1,945             725
32,000...........................              1,945             730
34,000...........................              1,945             735
36,000...........................              1,945             738
38,000...........................              1,945             741
40,000...........................              1,945             743
42,000...........................              1,945             743

Naval Reserve:
10,000...........................                340             143
11,000...........................                364             156
12,000...........................                386             169
13,000...........................                407             182
14,000...........................                423             195
15,000...........................                435             208
16,000...........................                447             221
17,000...........................                459             234
18,000...........................                471             247
19,000...........................                483             260
20,000...........................                495             273
21,000...........................                507             286
22,000...........................                519             299
23,000...........................                531             312
24,000...........................                540             325

Marine Corps Reserve:
1,100............................                 50              11
1,200............................                 55              12
1,300............................                 60              13

[[Page 20139]]


1,400............................                 65              14
1,500............................                 70              15
1,600............................                 75              16
1,700............................                 80              17
1,800............................                 85              18
1,900............................                 89              19
2,000............................                 93              20
2,100............................                 96              21
2,200............................                 99              22
2,300............................                101              23
2,400............................                103              24
2,500............................                105              25
2,600............................                107              26

Air Force Reserve:
500..............................                 75              40
1,000............................                145              75
1,500............................                208             105
2,000............................                270             130
2,500............................                325             150
3,000............................                375             170
3,500............................                420             190
4,000............................                460             210
4,500............................                495             230
5,000............................                530             250
5,500............................                565             270
6,000............................                600             290
7,000............................                670             330
8,000............................                740             370
10,000...........................                800             400Air National Guard:
5,000............................              1,020             405
6,000............................              1,070             435
7,000............................              1,120             465
8,000............................              1,170             490
9,000............................              1,220             510
10,000...........................              1,270             530
11,000...........................              1,320             550
12,000...........................              1,370             570
13,000...........................              1,420             589
14,000...........................              1,470             608
15,000...........................              1,520             626
16,000...........................              1,570             644
17,000...........................              1,620             661
18,000...........................              1,670             678
19,000...........................              1,720             695
20,000...........................              1,770              712.
------------------------------------------------------------------------

       ``(b) Determinations by Interpolation.--If the total number 
     of members of a reserve component serving on full-time 
     reserve component duty is between any two consecutive numbers 
     in the first column of the table in subsection (a), the 
     corresponding authorized strengths for each of the grades 
     shown in that table for that component are determined by 
     mathematical interpolation between the respective numbers of 
     the two strengths. If the total number of members of a 
     reserve component serving on full-time reserve component duty 
     is more or less than the highest or lowest number, 
     respectively, set forth in the first column of the table in 
     subsection (a), the Secretary concerned shall fix the 
     corresponding strengths for the grades shown in the table at 
     the same proportion as is reflected in the nearest limit 
     shown in the table.
       ``(c) Reallocations to Lower Grade.--Whenever the number of 
     officers serving in pay grade E-9 for duty described in 
     subsection (a) is less than the number authorized for that 
     grade under this section, the difference between the two 
     numbers may be applied to increase the number authorized 
     under this section for pay grade E-8.
       ``(d) Secretarial Waiver.--(1) Upon determining that it is 
     in the national interest to do so, the Secretary of Defense 
     may increase for a particular fiscal year the number of 
     reserve enlisted members that may be on active duty or full-
     time National Guard duty as described in subsection (a) for a 
     reserve component in a pay grade referred to in a table in 
     subsection (a) by a number that does not exceed the number 
     equal to 5 percent of the maximum number specified for that 
     grade and reserve component in the table.
       ``(2) Whenever the Secretary exercises the authority 
     provided in paragraph (1), the Secretary shall submit to the 
     Committee on Armed Services of the Senate and the Committee 
     on Armed Services of the House of Representatives notice in 
     writing of the adjustment made.
       ``(e) Full-Time Reserve Component Duty Defined.--In this 
     section, the term `full-time reserve component duty' has the 
     meaning given the term in section 12011(e) of this title.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2001, or the date of the 
     enactment of this Act, whichever is later.

       Subtitle C--Other Matters Relating to Personnel Strengths

     SEC. 421. INCREASE IN PERCENTAGE BY WHICH ACTIVE COMPONENT 
                   END STRENGTHS FOR ANY FISCAL YEAR MAY BE 
                   INCREASED.

       (a) Increase.--Section 115(c)(1) of title 10, United States 
     Code, is amended by striking ``1 percent'' and inserting ``2 
     percent''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on October 1, 2001, or the date of the 
     enactment of this Act, whichever is later.

     SEC. 422. ACTIVE DUTY END STRENGTH EXEMPTION FOR NATIONAL 
                   GUARD AND RESERVE PERSONNEL PERFORMING FUNERAL 
                   HONORS FUNCTIONS.

       Section 115(d) of title 10, United States Code, is amended 
     by adding at the end the following new paragraphs:
       ``(10) Members of reserve components on active duty to 
     prepare for and to perform funeral honors functions for 
     funerals of veterans in accordance with section 1491 of this 
     title.
       ``(11) Members on full-time National Guard duty to prepare 
     for and perform funeral honors functions for funerals of 
     veterans in accordance with section 1491 of this title.''.

     SEC. 423. INCREASE IN AUTHORIZED STRENGTHS FOR AIR FORCE 
                   OFFICERS ON ACTIVE DUTY IN THE GRADE OF MAJOR.

       The table in section 523(a)(1) of title 10, United States 
     Code, is amended by striking the figures under the heading 
     ``Major'' in the portion of the table relating to the Air 
     Force and inserting the following:


[[Page 20140]]


            ``9,861
            10,727
            11,593
            12,460
            13,326
            14,192
            15,058
            15,925
            16,792
            17,657
            18,524
            19,389
            20,256
            21,123
            21,989
            22,855
            23,721
            24,588
            25,454''.

              Subtitle D--Authorization of Appropriations

     SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY 
                   PERSONNEL.

       There is hereby authorized to be appropriated to the 
     Department of Defense for military personnel for fiscal year 
     2002 a total of $82,279,101,000. The authorization in the 
     preceding sentence supersedes any other authorization of 
     appropriations (definite or indefinite) for such purpose for 
     fiscal year 2002.

                   TITLE V--MILITARY PERSONNEL POLICY

          Subtitle A--General Personnel Management Authorities

     SEC. 501. ENHANCED FLEXIBILITY FOR MANAGEMENT OF SENIOR 
                   GENERAL AND FLAG OFFICER POSITIONS.

       (a) Repeal of Limit on Number of Officers on Active Duty in 
     Grades of General and Admiral.--Section 528 of title 10, 
     United States Code, is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 32 of such title is amended by striking 
     the item relating to section 528.

     SEC. 502. ORIGINAL APPOINTMENTS IN REGULAR GRADES FOR ACADEMY 
                   GRADUATES AND CERTAIN OTHER NEW OFFICERS.

       (a) Repeal of Requirement for One Year of Active Duty in a 
     Reserve Grade.--Section 532(e) of title 10, United States 
     Code, is repealed.
       (b) Military Academy Graduates.--Section 4353(b) of such 
     title is amended to read as follows:
       ``(b) A cadet who completes the prescribed course of 
     instruction, is qualified for an original appointment in a 
     regular component under section 532 of this title, and meets 
     such other criteria for appointment as a commissioned officer 
     in the Army as may be prescribed by the Secretary of the Army 
     shall, upon graduation, be appointed a second lieutenant in 
     the Regular Army under section 531 of this title, unless 
     appointed under that section in a regular component of one of 
     the other armed forces in accordance with section 541 of this 
     title.''.
       (c) Naval Academy Graduates.--Section 6967 of such title is 
     amended--
       (1) by inserting ``(a)'' before ``Under regulations''; and
       (2) by adding at the end the following:
       ``(b) A midshipman who completes the prescribed course of 
     instruction, is qualified for an original appointment in a 
     regular component under section 532 of this title, and meets 
     such other criteria for appointment as a commissioned officer 
     in the naval service as may be prescribed by the Secretary of 
     the Navy shall, upon graduation, be appointed an ensign in 
     the Regular Navy or a second lieutenant in the Regular Marine 
     Corps under section 531 of this title, unless appointed under 
     that section in a regular component of one of the other armed 
     forces in accordance with section 541 of this title.''.
       (d) Air Force Academy Graduates.--Section 9353(b) of such 
     title is amended to read as follows:
       ``(b) A cadet who completes the prescribed course of 
     instruction, is qualified for an original appointment in a 
     regular component under section 532 of this title, and meets 
     such other criteria for appointment as a commissioned officer 
     in the Air Force as may be prescribed by the Secretary of the 
     Air Force shall, upon graduation, be appointed a second 
     lieutenant in the Regular Air Force under section 531 of this 
     title, unless appointed under that section in a regular 
     component of one of the other armed forces in accordance with 
     section 541 of this title.''.
       (e) ROTC Distinguished Graduates.--Section 2106(a) of such 
     title is amended by adding at the end the following new 
     sentence: ``However, a member of the program selected for an 
     appointment under this section who, under regulations 
     prescribed by the Secretary of the military department 
     concerned, is designated or selected as a Distinguished 
     Graduate (or the equivalent) shall be appointed as a regular 
     officer.''.
       (f) Other Commissioning Programs.--(1) Chapter 33 of such 
     title is amended by adding at the end the following new 
     section:

     ``Sec. 542. Distinguished Graduates of officer commissioning 
       programs other than service academies and ROTC

       ``A person who is selected for an original appointment as a 
     commissioned officer in the Army, Navy, Air Force, or Marine 
     Corps as a result of satisfactory completion of an officer 
     commissioning program other than the course of instruction at 
     one of the service academies named in section 541 of this 
     title or the Senior Reserve Officers' Training Corps program 
     and who, under regulations prescribed by the Secretary of the 
     military department concerned, is designated or selected as a 
     Distinguished Graduate of that program (or the equivalent) 
     shall be appointed as a regular officer.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``542. Distinguished Graduates of officer commissioning programs other 
              than service academies and ROTC.''.

       (g) Effective Date.--The amendments made by this section 
     shall take effect on May 1, 2002.

     SEC. 503. TEMPORARY REDUCTION OF TIME-IN-GRADE REQUIREMENT 
                   FOR ELIGIBILITY FOR PROMOTION FOR CERTAIN 
                   ACTIVE-DUTY LIST OFFICERS IN GRADES OF FIRST 
                   LIEUTENANT AND LIEUTENANT (JUNIOR GRADE).

       (a) Authority.--Subsection (a) of section 619 of title 10, 
     United States Code, is amended--
       (1) in paragraph (1)(B), by inserting before the period at 
     the end the following: ``, or such shorter period as may be 
     in effect under paragraph (6)''; and
       (2) by adding at the end the following new paragraph:
       ``(6)(A) When the needs of the service require, the 
     Secretary of the military department concerned may reduce to 
     eighteen months the period of service in grade applicable for 
     purposes of paragraph (1)(B) in the case of officers who are 
     serving in a position that is authorized for officers in the 
     grade of captain or, in the case of the Navy, lieutenant.
       ``(B) If the Secretary of the military department concerned 
     uses the authority provided in subparagraph (A), the number 
     of captains or, in the case of the Navy, lieutenants on the 
     active-duty list may not exceed the number of positions for 
     which officers in that grade are authorized by more than one 
     percent.
       ``(C) The authority under subparagraph (A) and the 
     limitation under subparagraph (B) expire on September 30, 
     2005.''.
       (b) Stylistic Amendments.--Such section is further amended 
     as follows:
       (1) Subsection (a) is amended by striking ``(a)(1)'' and 
     inserting ``(a) Time-in-Grade Requirements.--(1)''.
       (2) Subsection (b) is amended by striking ``(b)(1)'' and 
     inserting ``(b) Continued Eligibility for Consideration for 
     Promotion of Officers Who Have Previously Failed of 
     Selection.--(1)''.
       (3) Subsection (c) is amended by striking ``(c)(1)'' and 
     inserting ``(c) Officers To Be Considered by Promotion 
     Boards.--(1)''.
       (4) Subsection (d) is amended by inserting ``Certain 
     Officers Not To Be Considered.--'' after ``(d)''.
       (c) Technical Amendment.--Subsection (a)(4) of such section 
     is amended by striking ``clause (A)'' and inserting 
     ``subparagraph (A)''.

     SEC. 504. INCREASE IN SENIOR ENLISTED ACTIVE DUTY GRADE LIMIT 
                   FOR NAVY, MARINE CORPS, AND AIR FORCE.

       (a) Members in Pay Grade E-8.--Section 517(a) of title 10, 
     United States Code, is amended by striking ``2 percent (or, 
     in the case of the Army, 2.5 percent)'' and inserting ``2.5 
     percent''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on October 1, 2001, or the date of the 
     enactment of this Act, whichever is later.

     SEC. 505. AUTHORITY FOR LIMITED EXTENSION OF MEDICAL 
                   DEFERMENT OF MANDATORY RETIREMENT OR 
                   SEPARATION.

       The text of section 640 of title 10, United States Code, is 
     amended to read as follows:
       ``(a) If the Secretary of the military department concerned 
     determines that the evaluation of the physical condition of 
     an officer and determination of the officer's entitlement to 
     retirement or separation for physical disability require 
     hospitalization or medical observation and that such 
     hospitalization or medical observation cannot be completed 
     with confidence in a manner consistent with the member's well 
     being before the date on which the officer would otherwise be 
     required to retire or be separated under this title, the 
     Secretary may defer the retirement or separation of the 
     officer under this title.
       ``(b) A deferral of retirement or separation under 
     subsection (a) may not extend for more than 30 days after 
     completion of the evaluation requiring hospitalization or 
     medical observation.''.

     SEC. 506. AUTHORITY FOR LIMITED EXTENSION ON ACTIVE DUTY OF 
                   MEMBERS SUBJECT TO MANDATORY RETIREMENT OR 
                   SEPARATION.

       (a) Section 12305 Stop-Loss Authority.--Section 12305 of 
     title 10, United States Code, is amended by adding at the end 
     the following new subsection:
       ``(c) Upon the termination of a suspension made under the 
     authority of subsection (a) of a provision of law otherwise 
     requiring the separation or retirement of officers on active 
     duty because of age, length of service or length of service 
     in grade, or failure of selection for promotion, the 
     Secretary concerned shall extend by up to 90 days the 
     otherwise

[[Page 20141]]

     required separation or retirement date of any officer covered 
     by the suspended provision whose separation or retirement 
     date, but for the suspension, would have been before the date 
     of the termination of the suspension or within 90 days of the 
     date of such termination.''.
       (b) Section 123 Stop-Loss Authority.--Section 123 of such 
     title is amended by adding at the end the following new 
     subsection:
       ``(d) Upon the termination of a suspension made under the 
     authority of subsection (a) of a provision of law otherwise 
     requiring the separation or retirement of officers on active 
     duty because of age, length of service or length of service 
     in grade, or failure of selection for promotion, the 
     Secretary concerned shall extend by up to 90 days the 
     otherwise required separation or retirement date of any 
     officer covered by the suspended provision whose separation 
     or retirement date, but for the suspension, would have been 
     before the date of the termination of the suspension or 
     within 90 days of the date of such termination.''.

     SEC. 507. CLARIFICATION OF DISABILITY SEVERANCE PAY 
                   COMPUTATION.

       (a) Clarification.--Section 1212(a)(2) of title 10, United 
     States Code, is amended by striking ``for promotion'' in 
     subparagraph (C) and the first place it appears in 
     subparagraph (D).
       (b) Effective Date.--The amendments made by subsection (a) 
     shall apply with respect to members separated under section 
     1203 or 1206 of title 10, United States Code, on or after 
     date of the enactment of this Act.

     SEC. 508. OFFICER IN CHARGE OF UNITED STATES NAVY BAND.

       (a) Detail and Grade.--Section 6221 of title 10, United 
     States Code, is amended to read as follows:

     Sec. 6221. United States Navy Band; officer in charge

       ``(a) There is a Navy band known as the United States Navy 
     Band.
       ``(b) An officer of the Navy designated for limited duty 
     under section 5589 or 5596 of this title who is serving in a 
     grade not below lieutenant commander may be detailed by the 
     Secretary of the Navy as Officer in Charge of the United 
     States Navy Band. While so serving, an officer so detailed 
     shall hold the grade of captain if recommended by the 
     Secretary of the Navy for appointment to that grade and 
     appointed to that grade by the President, by and with the 
     advice and consent of the Senate. Such an appointment may be 
     made notwithstanding section 5596(d) of this title.''.
       (b) Clerical Amendment.--The item relating to section 6221 
     in the table of sections at the beginning of chapter 565 of 
     such title is amended to read as follows:

``6221. United States Navy Band; officer in charge.''.

     SEC. 509. ONE-YEAR EXTENSION OF EXPIRATION DATE FOR CERTAIN 
                   FORCE MANAGEMENT AUTHORITIES.

       (a) Early Retirement Authority for Active Force Members.--
     Section 4403(i) of the National Defense Authorization Act for 
     Fiscal Year 1993 (10 U.S.C. 1293 note) is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (b) SSB and VSI.--Sections 1174a(h)(1) and 1175(d)(3) of 
     title 10, United States Code, are amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (c) Selective Early Retirement Boards.--Section 638a(a) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (d) Time-in-Grade Requirement for Retention of Grade Upon 
     Voluntary Retirement.--Section 1370 of such title is amended 
     by striking ``December 31, 2001'' in subsections (a)(2)(A) 
     and (d)(5) and inserting ``December 31, 2002''.
       (e) Minimum Commissioned Service for Voluntary Retirement 
     as an Officer.--Sections 3911(b), 6323(a)(2), and 8911(b) of 
     such title are amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (f) Travel, Transportation, and Storage Benefits.--Sections 
     404(c)(1)(C), 404(f)(2)(B)(v), 406(a)(2)(B)(v), and 
     406(g)(1)(C) of title 37, United States Code, and section 
     503(c)(1) of the National Defense Authorization Act for 
     Fiscal Year 1991 (37 U.S.C. 406 note) are amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (g) Educational Leave for Public and Community Service.--
     Section 4463(f) of the National Defense Authorization Act for 
     Fiscal Year 1993 (10 U.S.C. 1143a note) is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (h) Transitional Health Benefits.--Subsections (a)(1), 
     (c)(1), and (e) of section 1145 of title 10, United States 
     Code, are amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (i) Transitional Commissary and Exchange Benefits.--Section 
     1146 of such title is amended by striking ``December 31, 
     2001'' both places it appears and inserting ``December 31, 
     2002''.
       (j) Transitional Use of Military Housing.--Paragraphs (1) 
     and (2) of section 1147(a) of such title are amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (k) Continued Enrollment of Dependents in Defense 
     Dependents' Education System.--Section 1407(c)(1) of the 
     Defense Dependents' Education Act of 1978 (20 U.S.C. 
     926(c)(1)) is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (l) Force Reduction Transition Period Defined for Certain 
     Guard and Reserve Benefits.--Section 4411 of the National 
     Defense Authorization Act for Fiscal Year 1993 (10 U.S.C. 
     12681 note) is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (m) Retired Pay for Non-Regular Service.--Sections 12731(f) 
     and 12731a(b) of title 10, United States Code, are amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (n) Affiliation With Guard and Reserve Units; Waiver of 
     Certain Limitations.--Section 1150(a) of such title is 
     amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2002''.
       (o) Reserve Montgomery GI Bill.--Section 16133(b)(1)(B) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.

             Subtitle B--Reserve Component Personnel Policy

     SEC. 511. PLACEMENT ON ACTIVE-DUTY LIST OF CERTAIN RESERVE 
                   OFFICERS ON ACTIVE DUTY FOR A PERIOD OF THREE 
                   YEARS OR LESS.

       (a) Clarification of Exemption.--Section 641(1)(D) of title 
     10, United States Code, is amended to read as follows:
       ``(D) on active duty under section 12301(d) of this title, 
     other than as provided under subparagraph (C), if the call or 
     order to active duty, under regulations prescribed by the 
     Secretary concerned, specifies a period of three years or 
     less and continued placement on the reserve active-status 
     list;''.
       (b) Retroactive Application.--(1) The Secretary of the 
     military department concerned may provide that an officer who 
     was excluded from the active-duty list under section 
     641(1)(D) of title 10, United States Code, as amended by 
     section 521 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-108), shall be 
     considered to have been on the active-duty list during the 
     period beginning on the date on which the officer was so 
     excluded and ending on the date of the enactment of this Act.
       (2) The Secretary of the military department concerned may 
     provide that a Reserve officer who was placed on the active-
     duty list on or after October 30, 1997, shall be placed on 
     the reserve active-status list if the officer otherwise meets 
     the conditions specified in section 641(1)(D) of title 10, 
     United States Code, as amended by subsection (a).

     SEC. 512. EXPANDED APPLICATION OF RESERVE SPECIAL SELECTION 
                   BOARDS.

       (a) Special Selection Board for Below-the-Zone 
     Consideration.--Section 14502 of title 10, United States 
     Code, is amended--
       (1) in subsection (a)(1), by striking ``from in or above 
     the promotion zone'';
       (2) in subsection (a)(3), by inserting ``for selection for 
     promotion from in or above the promotion zone'' after ``for 
     consideration''; and
       (3) in subsection (b)(1), by striking ``from in or above 
     the promotion zone''.
       (b) Technical Amendment.--Subsection (b)(1) of such section 
     is amended by striking ``under this chapter by a selection 
     board'' and inserting ``by a promotion board convened under 
     section 14101(a) of this title''.
       (c) Effective Date.--The amendments made by subsection (a) 
     shall apply to any Reserve officer who was not considered for 
     promotion because of administrative error, or was considered 
     for promotion but not selected because of material error, 
     under part III of subtitle E of title 10, United States Code, 
     on or after October 1, 1996.

     SEC. 513. EXCEPTION TO BACCALAUREATE DEGREE REQUIREMENT FOR 
                   APPOINTMENT OF RESERVE OFFICERS TO GRADES ABOVE 
                   FIRST LIEUTENANT.

       Section 12205(b) of title 10, United States Code, is 
     amended--
       (1) by redesignating paragraphs (4) and (5) as paragraphs 
     (5) and (6), respectively; and
       (2) by inserting after paragraph (3) the following new 
     paragraph (4):
       ``(4) The appointment to a grade in the Army Reserve of a 
     person whose original appointment as an officer in the Army 
     Reserve was through the Officer Candidate School program and 
     who immediately before that original appointment was an 
     enlisted member on active duty.''.

     SEC. 514. IMPROVED DISABILITY BENEFITS FOR CERTAIN RESERVE 
                   COMPONENT MEMBERS.

       (a) Medical and Dental Care.--Sections 1074a(a)(3) and 
     1076(a)(2)(C) of title 10, United States Code, are each 
     amended by striking ``, if the'' and all that follows through 
     ``member's residence''.
       (b) Eligibility for Disability Retirement or Separation.--
     Sections 1204(2)(B)(iii) and 1206(2)(B)(iii) of title 10, 
     United States Code, are each amended by striking ``, if the'' 
     and all that follows through ``member's residence''.
       (c) Recovery, Care, and Disposition of Remains.--Section 
     1481(a)(2)(D) of title 10, United States Code, is amended by 
     striking ``, if the site is outside reasonable commuting 
     distance from the member's residence''.
       (d) Pay.--Sections 204(g)(1)(D), 204(h)(1)(D), and 
     206(a)(3)(C) of title 37, United States

[[Page 20142]]

     Code, are each amended by striking ``, if the site is outside 
     reasonable commuting distance from the member's residence''.

     SEC. 515. TIME-IN-GRADE REQUIREMENT FOR RESERVE COMPONENT 
                   OFFICERS WITH A NONSERVICE CONNECTED 
                   DISABILITY.

       Section 1370(d)(3)(B) of title 10, United States Code, is 
     amended to read as follows:
       ``(B) A person covered by subparagraph (A) who has 
     completed at least six months of satisfactory service in 
     grade may be credited with satisfactory service in the grade 
     in which serving at the time of transfer or discharge, 
     notwithstanding failure of the person to complete three years 
     of service in that grade, if that person--
       ``(i) is transferred from an active status or discharged as 
     a reserve commissioned officer solely due to the requirements 
     of a nondiscretionary provision of law requiring that 
     transfer or discharge due to the person's age or years of 
     service; or
       ``(ii) is retired under chapter 1223 of this title because 
     the person no longer meets the qualification for membership 
     in the Ready Reserve solely because of a physical disability, 
     as determined, at a minimum, by a medical evaluation 
     board.''.

     SEC. 516. RESERVE MEMBERS CONSIDERED TO BE DEPLOYED FOR 
                   PURPOSES OF PERSONNEL TEMPO MANAGEMENT.

       Section 991(b) of title 10, United States Code, is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting ``active'' before ``service''; and
       (B) by adding at the end the following: ``For the purpose 
     of applying the preceding sentence to a member of a reserve 
     component performing active service, the housing in which the 
     member resides when on garrison duty at the member's 
     permanent duty station or homeport, as the case may be, shall 
     be considered to be either the housing the member normally 
     occupies when on garrison duty or the member's permanent 
     civilian residence.'';
       (2) by striking paragraph (2);
       (3) by redesignating paragraphs (3) and (4) as paragraphs 
     (2) and (3), respectively; and
       (4) in paragraph (3) (as so redesignated), by striking ``in 
     paragraphs (1) and (2)'' and inserting ``in paragraph (1)''.

     SEC. 517. FUNERAL HONORS DUTY PERFORMED BY RESERVE AND GUARD 
                   MEMBERS TO BE TREATED AS INACTIVE-DUTY TRAINING 
                   FOR CERTAIN PURPOSES.

       (a) Reserve Members.--Section 12503(a) of title 10, United 
     States Code, is amended by adding at the end the following 
     new sentence: ``Performance of funeral honors duty by a 
     Reserve not on active duty shall be treated as inactive-duty 
     training (including with respect to travel to and from such 
     duty) for purposes of any provision of law other than 
     sections 206 and 435 of title 37.''.
       (b) National Guard Members.--Section 115(a) of title 32, 
     United States Code, is amended by adding at the end the 
     following new sentence: ``Performance of funeral honors duty 
     by such a member not on active duty or full-time National 
     Guard duty shall be treated as inactive-duty training 
     (including with respect to travel to and from such duty) for 
     purposes of any provision of law other than sections 206 and 
     435 of title 37.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to funeral honors duty performed on or after 
     October 30, 2000.

     SEC. 518. MEMBERS OF THE NATIONAL GUARD PERFORMING FUNERAL 
                   HONORS DUTY WHILE IN NON-FEDERAL STATUS.

       Section 1491(b) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(3) A member of the Army National Guard of the United 
     States or the Air National Guard of the United States who 
     serves as a member of a funeral honors detail while in a duty 
     status authorized under State law shall be considered to be a 
     member of the armed forces for the purposes of the first 
     sentence of paragraph (2).''.

     SEC. 519. USE OF MILITARY LEAVE FOR FUNERAL HONORS DUTY BY 
                   RESERVE MEMBERS AND NATIONAL GUARDSMEN.

       Section 6323(a)(1) of title 5, United States Code, is 
     amended by inserting ``funeral honors duty (as described in 
     section 12503 of title 10 and section 115 of title 32),'' 
     after ``(as defined in section 101 of title 37),''.

     SEC. 520. PREPARATION FOR, PARTICIPATION IN, AND CONDUCT OF 
                   ATHLETIC COMPETITIONS BY THE NATIONAL GUARD AND 
                   MEMBERS OF THE NATIONAL GUARD.

       (a) Athletic and Small Arms Competitions.--Section 504 of 
     title 32, United States Code, is amended by adding at the end 
     the following new subsection:
       ``(c) Conduct of and Participation in Certain 
     Competitions.--(1) Under regulations prescribed by the 
     Secretary of Defense, members and units of the National Guard 
     may conduct and compete in a qualifying athletic competition 
     or a small arms competition so long as--
       ``(A) the conduct of, or participation in, the competition 
     does not adversely affect the quality of training or 
     otherwise interfere with the ability of a member or unit of 
     the National Guard to perform the military functions of the 
     member or unit;
       ``(B) National Guard personnel will enhance their military 
     skills as a result of conducting or participating in the 
     competition; and
       ``(C) the conduct of or participation in the competition 
     will not result in a significant increase in National Guard 
     costs.
       ``(2) Facilities and equipment of the National Guard, 
     including military property and vehicles described in section 
     508(c) of this title, may be used in connection with the 
     conduct of or participation in a qualifying athletic 
     competition or a small arms competition under paragraph 
     (1).''.
       (b) Other Matters.--Such section is further amended by 
     adding after subsection (c), as added by subsection (a) of 
     this section, the following new subsections:
       ``(d) Availability of Funds.--(1) Subject to paragraph (2) 
     and such limitations as may be enacted in appropriations Acts 
     and such regulations as the Secretary of Defense may 
     prescribe, amounts appropriated for the National Guard may be 
     used to cover--
       ``(A) the costs of conducting or participating in a 
     qualifying athletic competition or a small arms competition 
     under subsection (c); and
       ``(B) the expenses of members of the National Guard under 
     subsection (a)(3), including expenses of attendance and 
     participation fees, travel, per diem, clothing, equipment, 
     and related expenses.
       ``(2) Not more than $2,500,000 may be obligated or expended 
     in any fiscal year under subsection (c).
       ``(e) Qualifying Athletic Competition Defined.--In this 
     section, the term `qualifying athletic competition' means a 
     competition in athletic events that require skills relevant 
     to military duties or involve aspects of physical fitness 
     that are evaluated by the armed forces in determining whether 
     a member of the National Guard is fit for military duty.''.
       (c) Stylistic Amendments.--Such section is further 
     amended--
       (1) in subsection (a), by inserting ``Authorized 
     Activities.--'' after ``(a)''; and
       (2) in subsection (b), by inserting ``Authorized 
     Locations.--'' after ``(b)''.
       (d) Conforming and Clerical Amendments.--(1) Subsection (a) 
     of such section is amended--
       (A) in paragraph (1), by inserting ``and'' after the 
     semicolon;
       (B) in paragraph (2), by striking ``; or'' and inserting a 
     period; and
       (C) by striking paragraph (3).
       (2) The heading of such section is amended to read as 
     follows:

     ``Sec. 504. National Guard schools; small arms competitions; 
       athletic competitions''.

       (3) The item relating to section 504 in the table of 
     sections at the beginning of chapter 5 of title 10, United 
     States Code, is amended to read as follows:

``504. National Guard schools; small arms competitions; athletic 
              competitions.''.

 Subtitle C--Joint Specialty Officers and Joint Professional Military 
                               Education

     SEC. 521. NOMINATIONS FOR JOINT SPECIALTY.

       Paragraph (2) of section 661(b) of title 10, United States 
     Code, is amended by striking ``The Secretaries'' and all that 
     follows through ``officers--'' and inserting ``Each officer 
     on the active-duty list on the date of the enactment of the 
     National Defense Authorization Act for Fiscal Year 2002 who 
     has not before that date been nominated for the joint 
     specialty by the Secretary of a military department, and each 
     officer who is placed on the active-duty list after such 
     date, who meets the requirements of subsection (c) shall 
     automatically be considered to have been nominated for the 
     joint specialty. From among those officers considered to be 
     nominated for the joint specialty, the Secretary may select 
     for the joint specialty only officers--''.

     SEC. 522. JOINT DUTY CREDIT.

       Paragraph (4) of section 664(i) of title 10, United States 
     Code, is amended--
       (1) in subparagraph (E), by striking ``The'' and inserting 
     ``Except as provided in subparagraph (F), the''; and
       (2) by adding at the end the following new subparagraph:
       ``(F) Service in a temporary joint task force assignment 
     not involved in combat or combat-related operations may not 
     be credited for the purposes of joint duty, unless, and only 
     if--
       ``(i) the service of the officer and the nature of the 
     joint task force not only meet all criteria of this section, 
     except subparagraph (E), but also any additional criteria the 
     Secretary may establish;
       ``(ii) the Secretary has specifically approved the 
     operation conducted by the joint task force as one that 
     qualifies for joint service credit, and notifies Congress 
     upon each approval, providing the criteria that led to that 
     approval; and
       ``(iii) the operation is conducted by the joint task force 
     in an environment where an extremely fragile state of peace 
     and high potential for hostilities coexist.''.

     SEC. 523. RETROACTIVE JOINT SERVICE CREDIT FOR DUTY IN 
                   CERTAIN JOINT TASK FORCES.

       (a) Authority.--In accordance with section 664(i) of title 
     10, United States Code, as

[[Page 20143]]

     amended by section 522, the Secretary of Defense may award 
     joint service credit to any officer who served on the staff 
     of a United States joint task force headquarters in an 
     operation and during the period set forth in subsection (b) 
     and who meets the criteria specified in such section. To 
     determine which officers qualify for such retroactive credit, 
     the Secretary shall undertake a case-by-case review of the 
     records of officers.
       (b) Eligible Operations.--Service in the following 
     operations, during the specified periods, may be counted for 
     credit under subsection (a):
       (1) Operation Northern Watch, during the period beginning 
     on August 1, 1992, and ending on a date to be determined.
       (2) Operation Southern Watch, during the period beginning 
     on August 27, 1992, and ending on a date to be determined.
       (3) Operation Able Sentry, during the period beginning on 
     June 26, 1993, and ending on February 28, 1999.
       (4) Operation Joint Endeavor, during the period beginning 
     on December 25, 1995, and ending on December 19, 1996.
       (5) Operation Joint Guard, during the period beginning on 
     December 20, 1996, and ending on June 20, 1998.
       (6) Operation Desert Thunder, beginning on January 24, 
     1998, and ending on December 15, 1998.
       (7) Operation Joint Forge, beginning on June 20, 1998, and 
     ending on June 10, 1999.
       (8) Operation Noble Anvil, beginning on March 24, 1999, and 
     ending on July 20, 1999.
       (9) Operation Joint Guardian, beginning on June 11, 1999, 
     and ending on a date to be determined.
       (c) Report.--Not later than one year after the date of the 
     enactment of this Act, the Secretary of Defense shall submit 
     to Congress a report of the numbers, by service, grade, and 
     operation, of the officers given joint service credit in 
     accordance with this section.

     SEC. 524. REVISION TO ANNUAL REPORT ON JOINT OFFICER 
                   MANAGEMENT.

       Section 667 of title 10, United States Code, is amended--
       (1) in paragraph (1)--
       (A) by inserting ``(A)'' after ``(1)''; and
       (B) by adding at the end the following new subparagraph:
       ``(B) The number of officers who meet the criteria for 
     selection for the joint specialty but were not selected, 
     together with the reasons why.'';
       (2) by amending paragraph (2) to read as follows:
       ``(2) The number of officers with the joint specialty, 
     shown by grade and branch or specialty and by education.'';
       (3) in paragraph (3)--
       (A) in subparagraph (A) and (B), by striking ``nominated'' 
     and inserting ``selected'';
       (B) by inserting ``and'' at the end of subparagraph (D);
       (C) by striking subparagraph (E); and
       (D) by redesignating subparagraph (F) as subparagraph (E);
       (4) in paragraph (4)(A), by striking ``nominated'' and 
     inserting ``selected'';
       (5) in paragraph (14)--
       (A) by inserting ``(A)'' after ``(14)''; and
       (B) by adding at the end the following new subparagraph:
       ``(B) An assessment of the extent to which the Secretary of 
     each military department is assigning personnel to joint duty 
     assignments in accordance with this chapter and the policies, 
     procedures, and practices established by the Secretary of 
     Defense under section 661(a) of this title.''; and
       (6) in paragraph (16), by striking ``section 664(i)'' in 
     the matter preceding subparagraph (A) and in subparagraph (B) 
     and inserting ``subparagraphs (E) and (F) of section 
     664(i)(4)''.

     SEC. 525. REQUIREMENT FOR SELECTION FOR JOINT SPECIALTY 
                   BEFORE PROMOTION TO GENERAL OR FLAG OFFICER 
                   GRADE.

       (a) Requirement.--Subsection (a) of section 619a of title 
     10, United States Code, is amended by striking ``unless'' and 
     all that follows and inserting ``unless--
       ``(1) the officer has completed a full tour of duty in a 
     joint duty assignment (as described in section 664(f) of this 
     title); and
       ``(2) for appointments after September 30, 2007, the 
     officer has been selected for the joint specialty in 
     accordance with section 661 of this title.''.
       (b) Waiver Authority.--Subsection (b) of that section is 
     amended by striking ``may waive subsection (a) in the 
     following circumstances:'' and inserting ``may waive 
     paragraph (1) or paragraph (2) of subsection (a), or both 
     paragraphs (1) and (2) of subsection (a), in the following 
     circumstances (except that paragraph (2) of subsection (a) 
     may not be waived by reason of paragraph (4)):''.
       (c) Proposed Legislative Changes.--Not later than December 
     1, 2002, the Secretary of Defense shall submit to Congress a 
     draft proposal for such legislative changes as the Secretary 
     considers needed to implement the amendment made by 
     subsections (a) and (b).

     SEC. 526. INDEPENDENT STUDY OF JOINT OFFICER MANAGEMENT AND 
                   JOINT PROFESSIONAL MILITARY EDUCATION REFORMS.

       (a) Study.--The Secretary of Defense shall provide for an 
     independent study of the joint officer management system and 
     the joint professional military education system. The 
     Secretary shall ensure that the entity conducting the study 
     is provided such information and support as required. The 
     Secretary shall include in the contract for the study a 
     requirement that the entity conducting the study submit a 
     report to Congress on the study not later than June 30, 2002.
       (b) Matters To Be Included With Respect to Joint Officer 
     Management.--With respect to the joint officer management 
     system, the entity conducting the independent study shall 
     provide for the following:
       (1) Assessment of implications for joint officer education, 
     development, and management that would result from proposed 
     joint organizational operational concepts (such as standing 
     joint task forces) and from emerging officer management and 
     personnel reforms (such as longer careers and more 
     stabilization), that are under consideration by the Secretary 
     of Defense.
       (2) Assessment of the effectiveness of the current joint 
     officer management system to develop and use joint specialty 
     qualified officers in meeting both current and future 
     requirements for joint specialty officers.
       (3) Recommendations, based on empirical and other data, to 
     improve the effectiveness of the joint officer management 
     system, especially with regard to the following:
       (A) The proper mix and sequencing of education assignments 
     and experience assignments (to include, with respect to both 
     types of assignments, consideration of the type and quality, 
     and the length, of such assignments) to qualify an officer as 
     a joint specialty officer, as well as the implications of 
     adopting a variable joint duty tour length and the 
     advisability and implications of a system of qualifying 
     officers as joint specialty officers that uses multiple 
     shorter qualification tracks to selection as a joint 
     specialty officer than are now codified.
       (B) The system of using joint specialty officers, including 
     the continued utility of such measures as--
       (i) the required fill of positions on the joint duty 
     assignment list, as specified in paragraphs (1) and (4) of 
     section 661(d) of title 10, United States Code;
       (ii) the fill by such officers of a required number of 
     critical billets, as prescribed by section 661(d)(2) of such 
     title;
       (iii) the mandated fill by general and flag officers of a 
     minimum number of critical billets, as prescribed by section 
     661(d)(3) of such title; and
       (iv) current promotion policy objectives for officers with 
     the joint specialty, officers serving on the Joint Staff, and 
     officers serving in joint duty assignment list positions, as 
     prescribed by section 662 of such title.
       (C) Changes in policy and law required to provide officers 
     the required joint specialty qualification before promotion 
     to general or flag officer grade.
       (D) A determination of the number of reserve component 
     officers who would be qualified for designation as a joint 
     specialty officer by reason of experience or education if the 
     standards of existing law, including waiver authorities, were 
     applied to them, and recommendations for a process for 
     qualifying and employing future reserve component officers as 
     joint specialty officers.
       (c) Matters To Be Included With Respect to Joint 
     Professional Military Education.--With respect to the joint 
     professional military education system, the entity conducting 
     the independent study shall provide for the following:
       (1) The number of officers who under the current system (A) 
     qualified as joint specialty officers by attending joint 
     professional military education programs before their first 
     joint duty assignment, (B) qualified as joint specialty 
     officers after arriving at their first joint duty assignment 
     but before completing that assignment, and (C) qualified as 
     joint specialty officers without any joint professional 
     military education.
       (2) Recommended initiatives (include changes in officer 
     personnel management law, if necessary) to provide incentives 
     and otherwise facilitate attendance at joint professional 
     military education programs before an officer's first joint 
     duty assignment.
       (3) Recommended goals for attendance at the Joint Forces 
     Staff College en route to a first joint duty assignment.
       (4) An assessment of the continuing utility of statutory 
     requirements for use of officers following joint professional 
     military education, as prescribed by section 662(d) of title 
     10, United States Code.
       (5) Determination of whether joint professional military 
     education programs should remain principally an in-resident, 
     multi-service experience and what role non-resident or 
     distributive learning can or should play in future joint 
     professional military education programs.
       (6) Examination of options for the length of and increased 
     capacity at Joint Forces Staff College, and whether other in-
     resident joint professional military education sources should 
     be opened, and if opened, how they might be properly 
     accredited and overseen to provide instruction at the level 
     of the program designated as ''joint professional military 
     education''.
       (d) Chairman of Joint Chiefs of Staff.--With respect to the 
     roles of the Secretary of Defense and the Chairman of the 
     Joint Chiefs of Staff, the entity conducting the independent 
     study shall--

[[Page 20144]]

       (1) provide for an evaluation of the current roles of the 
     Secretary of Defense, the Chairman of the Joint Chiefs of 
     Staff, and joint staff in law, policy, and implementation 
     with regard to establishing and maintaining oversight of 
     joint officer management, career guidelines, and joint 
     professional military education; and
       (2) make recommendations to improve and strengthen those 
     roles.
       (e) Requirements for Study Entity.--In providing for the 
     independent study required by subsection (a), the Secretary 
     of Defense shall ensure that the entity conducting the 
     study--
       (1) is not a Department of Defense organization; and
       (2) shall, at a minimum, involve in the study, in an 
     integral way, the following persons:
       (A) The Chairman of the Joint Chiefs of Staff and available 
     former Chairmen of the Joint Chiefs of Staff.
       (B) Members and former members of the Joint Staff, the 
     Armed Forces, the Congress, and congressional staff who are 
     or who have been significantly involved in the development, 
     implementation, or modification of joint officer management 
     and joint professional military education.
       (C) Experts in joint officer management and education from 
     civilian academic and research centers.

     SEC. 527. PROFESSIONAL DEVELOPMENT EDUCATION.

       (a) Executive Agent for Funding.--(1) Effective beginning 
     with fiscal year 2003, the Secretary of Defense shall be the 
     executive agent for funding professional development 
     education operations of all components of the National 
     Defense University, including the Joint Forces Staff College. 
     The Secretary may not delegate the Secretary's functions and 
     responsibilities under the preceding sentence to the 
     Secretary of a military department.
       (2) Nothing in this subsection affects policies in effect 
     on the date of the enactment of this Act with respect to--
       (A) the reporting of the President of the National Defense 
     University to the Chairman of the Joint Chiefs of Staff; or
       (B) provision of logistical and base operations support for 
     components of the National Defense University by the military 
     departments.
       (b) Preparation of Budget Requests.--Section 2162(b) of 
     title 10, United States Code, is amended--
       (1) by redesignating paragraph (2) as paragraph (3); and
       (2) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) As executive agent for funding professional 
     development education at the National Defense University, 
     including the Joint Forces Staff College, the Secretary of 
     Defense, with the advice of the Chairman of the Joint Chiefs 
     of Staff, shall prepare the annual budget for professional 
     development education operations at the National Defense 
     University and set forth that request as a separate budget 
     request in the materials submitted to Congress in support of 
     the budget request for the Department of Defense. Nothing in 
     the preceding sentence affects policies in effect on the date 
     of the enactment of this paragraph with respect to budgeting 
     for the funding of logistical and base operations support for 
     components of the National Defense University through the 
     military departments.''.
       (c) Funding Source.--(1) Section 2165 of title 10, United 
     States Code, is amended by adding at the end the following 
     new subsection:
       ``(d) Source of Funds for Professional Development 
     Education Operations.--Funding for the professional 
     development education operations of the National Defense 
     University shall be provided from funds made available to the 
     Secretary of Defense from the annual appropriation `Operation 
     and Maintenance, Defense-wide'.''.
       (2) Subsection (d) of section 2165 of title 10, United 
     States Code, as added by paragraph (1), shall become 
     effective beginning with fiscal year 2003.

     SEC. 528. AUTHORITY FOR NATIONAL DEFENSE UNIVERSITY TO ENROLL 
                   CERTAIN PRIVATE SECTOR CIVILIANS.

       (a) In General.--(1) Chapter 108 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2167. National Defense University: admission of 
       private sector civilians to professional military education 
       program

       ``(a) Authority for Admission.--The Secretary of Defense 
     may permit eligible private sector employees who work in 
     organizations relevant to national security to receive 
     instruction at the National Defense University in accordance 
     with this section. No more than 10 full-time equivalent 
     private sector employees may be enrolled at any one time. 
     Upon successful completion of the course of instruction in 
     which enrolled, any such private sector employee may be 
     awarded an appropriate diploma or degree under section 2165 
     of this title.
       ``(b) Eligible Private Sector Employees.--For purposes of 
     this section, an eligible private sector employee is an 
     individual employed by a private firm that is engaged in 
     providing to the Department of Defense or other Government 
     departments or agencies significant and substantial defense-
     related systems, products, or services or whose work product 
     is relevant to national security policy or strategy. A 
     private sector employee admitted for instruction at the 
     National Defense University remains eligible for such 
     instruction only so long as that person remains employed by 
     the same firm.
       ``(c) Annual Certification by Secretary of Defense.--
     Private sector employees may receive instruction at the 
     National Defense University during any academic year only if, 
     before the start of that academic year, the Secretary of 
     Defense determines, and certifies to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives, that providing instruction to 
     private sector employees under this section during that year 
     will further national security interests of the United 
     States.
       ``(d) Program Requirements.--The Secretary of Defense shall 
     ensure that--
       ``(1) the curriculum for the professional military 
     education program in which private sector employees may be 
     enrolled under this section is not readily available through 
     other schools and concentrates on national security relevant 
     issues; and
       ``(2) the course offerings at the National Defense 
     University continue to be determined solely by the needs of 
     the Department of Defense.
       ``(e) Tuition.--The President of the National Defense 
     University shall charge students enrolled under this section 
     a rate--
       ``(1) that is at least the rate charged for employees of 
     the United States outside the Department of Defense, less 
     infrastructure costs, and
       ``(2) that considers the value to the school and course of 
     the private sector student.
       ``(f) Standards of Conduct.--While receiving instruction at 
     the National Defense University, students enrolled under this 
     section, to the extent practicable, are subject to the same 
     regulations governing academic performance, attendance, norms 
     of behavior, and enrollment as apply to Government civilian 
     employees receiving instruction at the university.
       ``(g) Use of Funds.--Amounts received by the National 
     Defense University for instruction of students enrolled under 
     this section shall be retained by the university to defray 
     the costs of such instruction. The source, and the 
     disposition, of such funds shall be specifically identified 
     in records of the university.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``2167. National Defense University: admission of private sector 
              civilians to professional military education program.''.
       (b) Effective Date.--Section 2167 of title 10, United 
     States Code, as added by subsection (a), shall take effect on 
     January 1, 2002.

     SEC. 529. CONTINUATION OF RESERVE COMPONENT PROFESSIONAL 
                   MILITARY EDUCATION TEST.

       (a) Continuation of Concept Validation Test.--During fiscal 
     year 2002, the Secretary of Defense shall continue the 
     concept validation test of Reserve component joint 
     professional military education that was begun in fiscal year 
     2001 at the National Defense University.
       (b) Pilot Program.--If the Secretary of Defense determines 
     that the results of the concept validation test referred to 
     in subsection (a) warrant conducting a pilot program of the 
     concept that was the subject of the test, the Secretary shall 
     conduct such a pilot program during fiscal year 2003.
       (c) Funding.--The Secretary shall provide funds for the 
     concept validation test under subsection (a) and for any 
     pilot program under subsection (b) from funds appropriated to 
     the Secretary of Defense in addition those appropriated for 
     operations of the National Defense University.

              Subtitle D--Military Education and Training

     SEC. 531. DEFENSE LANGUAGE INSTITUTE FOREIGN LANGUAGE CENTER.

       (a) Authority To Confer Associate of Arts Degree.--Chapter 
     108 of title 10, United States Code, is amended by adding 
     after section 2167, as added by section 528(a)(1), the 
     following new section:

     ``Sec. 2168. Defense Language Institute Foreign Language 
       Center: degree of Associate of Arts in foreign language

       ``(a) Subject to subsection (b), the Commandant of the 
     Defense Language Institute may confer an Associate of Arts 
     degree in a foreign language upon any graduate of the Foreign 
     Language Center of the Institute who fulfills the 
     requirements for that degree.
       ``(b) A degree may be conferred upon a student under this 
     section only if the Provost of the Center certifies to the 
     Commandant that the student has satisfied all the 
     requirements prescribed for the degree.
       ``(c) The authority provided by subsection (a) shall be 
     exercised under regulations prescribed by the Secretary of 
     Defense.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding after the item 
     relating to section 2167, as added by section 528(a)(2), the 
     following new item:


[[Page 20145]]


``2168. Defense Language Institute Foreign Language Center: degree of 
              Associate of Arts in foreign language.''.

     SEC. 532. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD 
                   DEGREE OF MASTER OF STRATEGIC STUDIES.

       (a) Marine Corps War College Degree.--Section 7102 of title 
     10, United States Code, is amended--
       (1) by redesignating subsection (b) as subsection (c); and
       (2) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Marine Corps War College.--Upon the recommendation of 
     the Director and faculty of the Marine Corps War College of 
     the Marine Corps University, the President of the Marine 
     Corps University may confer the degree of master of strategic 
     studies upon graduates of the Marine Corps War College who 
     fulfill the requirements for that degree.''.
       (b) Conforming Amendments.--(1) Subsection (a) of such 
     section is amended by striking ``upon graduates'' and all 
     that follows and inserting ``upon graduates of the Command 
     and Staff College who fulfill the requirements for that 
     degree.''.
       (2) Subsection (c) of such section, as redesignated by 
     subsection (a)(1), is amended by striking ``subsection (a)'' 
     and inserting ``subsections (a) and (b)''.
       (3)(A) The heading of such section is amended to read as 
     follows:

     ``Sec. 7102. Marine Corps University: masters degrees; board 
       of advisors''.

       (B) The item relating to such section in the table of 
     sections at the beginning of chapter 609 of such title is 
     amended to read as follows:

``7102. Marine Corps University: masters degrees; board of advisors.''.
       (c) Codification of Requirement for Board of Advisors.--(1) 
     Section 7102 of title 10, United States Code, as amended by 
     subsections (a) and (b), is further amended by adding at the 
     end the following new subsection:
       ``(d) Board of Advisors.--The Secretary of the Navy shall 
     establish a board of advisors for the Marine Corps 
     University. The Secretary shall ensure that the board is 
     established so as to meet all requirements of the appropriate 
     regional accrediting association.''.
       (2) Section 912 of the National Defense Authorization Act 
     for Fiscal Year 1995 (Public Law 103-337; 10 U.S.C. 7102 
     note) is repealed.
       (d) Effective Date.--The authority to confer the degree of 
     master of strategic studies under section 7102(b) of title 
     10, United States Code (as added by subsection (a)) may not 
     be exercised until the Secretary of Education determines, and 
     certifies to the President of the Marine Corps University, 
     that the requirements established by the Marine Corps War 
     College of the Marine Corps University for that degree are in 
     accordance with generally applicable requirements for a 
     degree of master of arts. Upon receipt of such a 
     certification, the President of the University shall promptly 
     transmit a copy of the certification to the Committee on 
     Armed Services of the Senate and Committee on Armed Services 
     of the House of Representatives.

     SEC. 533. INCREASE IN NUMBER OF FOREIGN STUDENTS AUTHORIZED 
                   TO BE ADMITTED TO THE SERVICE ACADEMIES.

       (a) United States Military Academy.--(1) Subsection (a)(1) 
     of section 4344 of title 10, United States Code, is amended 
     by striking ``40 persons'' and inserting ``60 persons''.
       (2) Subsection (b) of such section is amended--
       (A) by inserting ``some or all'' in paragraph (2) after 
     ``unless a written waiver of''; and
       (B) by striking paragraph (3).
       (3) The amendments made by paragraph (2) shall not apply 
     with respect to any person who entered the United States 
     Military Academy to receive instruction under section 4344 of 
     title 10, United States Code, before the date of the 
     enactment of this Act.
       (b) United States Naval Academy.--(1) Subsection (a)(1) of 
     section 6957 of title 10, United States Code, is amended by 
     striking ``40 persons'' and inserting ``60 persons''.
       (2) Subsection (b) of such section is amended--
       (A) by inserting ``some or all'' in paragraph (2) after 
     ``unless a written waiver of''; and
       (B) by striking paragraph (3).
       (3) The amendments made by paragraph (2) shall not apply 
     with respect to any person who entered the United States 
     Naval Academy to receive instruction under section 6957 of 
     title 10, United States Code, before the date of the 
     enactment of this Act.
       (c) United States Air Force Academy.--(1) Subsection (a)(1) 
     of section 9344 of title 10, United States Code, is amended 
     by striking ``40 persons'' and inserting ``60 persons''.
       (2) Subsection (b) of such section is amended--
       (A) by inserting ``some or all'' in paragraph (2) after 
     ``unless a written waiver of''; and
       (B) by striking paragraph (3).
       (3) The amendments made by paragraph (2) shall not apply 
     with respect to any person who entered the United States Air 
     Force Academy to receive instruction under section 9344 of 
     title 10, United States Code, before the date of the 
     enactment of this Act.

     SEC. 534. INCREASE IN MAXIMUM AGE FOR APPOINTMENT AS A CADET 
                   OR MIDSHIPMAN IN SENIOR RESERVE OFFICER 
                   TRAINING CORPS SCHOLARSHIP PROGRAMS.

       (a) General ROTC Scholarship Program.--Section 2107(a) of 
     title 10, United States Code, is amended--
       (1) by striking ``27 years of age on June 30'' and 
     inserting ``35 years of age on December 31''; and
       (2) by striking ``, except that'' and all that follows 
     through ``on such date'' the second place it appears.
       (b) Army Reserve and Army National Guard ROTC Scholarship 
     Program.--Section 2107a(a) of such title is amended--
       (1) by striking ``27 years of age on June 30'' and 
     inserting ``35 years of age on December 31''; and
       (2) by striking ``, except that'' and all that follows 
     through ``on such date'' the second place it appears.

     SEC. 535. ACTIVE DUTY PARTICIPATION AS A CADET OR MIDSHIPMAN 
                   IN SENIOR ROTC ADVANCED TRAINING.

       (a) Senior Reserve Officer Training Corps.--Section 
     2104(b)(3) of title 10, United States Code, is amended by 
     striking ``a reserve component of'' ''.
       (b) Basic Pay.--Section 209(c) of title 37, United States 
     Code, is amended by inserting ``unless the cadet or 
     midshipman is serving on active duty'' before the period at 
     the end.

     SEC. 536. AUTHORITY TO MODIFY THE SERVICE OBLIGATION OF 
                   CERTAIN ROTC CADETS IN MILITARY JUNIOR COLLEGES 
                   RECEIVING FINANCIAL ASSISTANCE.

       (a) Authority To Modify Agreements.--Subsection (b) of 
     section 2107a of title 10, United States Code, is amended--
       (1) by inserting ``(1)'' after ``(b)'';
       (2) by redesignating paragraphs (1), (2), (3), (4), (5), 
     and (6) as subparagraphs (A), (B), (C), (D), (E), and (F), 
     respectively;
       (3) by designating the sentence following subparagraph (F), 
     as so redesignated, as paragraph (2); and
       (4) by adding at the end the following new paragraph:
       ``(3) In the case of a cadet under this section at a 
     military junior college, the Secretary may, at any time and 
     with the consent of the cadet concerned, modify an agreement 
     described in paragraph (1)(F) submitted by the cadet to 
     reduce or eliminate the troop program unit service obligation 
     specified in the agreement and to establish, in lieu of that 
     obligation, an active duty service obligation. Such a 
     modification may be made only if the Secretary determines 
     that it is in the best interests of the United States to do 
     so.''.
       (b) Retroactive Application.--The authority of the 
     Secretary of Defense under section 2107a(b)(3) of title 10, 
     United States Code, as added by subsection (a), may be 
     exercised with regard to any agreement described in 
     subsection (b)(1)(F) (including agreements related to 
     participation in the Advanced Course of the Army Reserve 
     Officers' Training Corps at a military college or civilian 
     institution) entered into during the period beginning on 
     January 1, 1991 and ending on July 12, 2000.
       (c) Technical Amendment.--Subsection (h) of such section is 
     amended by striking ``military college'' in the second 
     sentence and inserting ``military junior college''.

     SEC. 537. MODIFICATION OF NURSE OFFICER CANDIDATE ACCESSION 
                   PROGRAM RESTRICTION ON STUDENTS ATTENDING 
                   EDUCATIONAL INSTITUTIONS WITH SENIOR RESERVE 
                   OFFICERS' TRAINING PROGRAMS.

       Section 2130a of title 10, United States Code, is amended--
       (1) in subsection (a)(2), by striking ``that does not have 
     a Senior Reserve Officers' Training Program established under 
     section 2102 of this title''; and
       (2) in subsection (b)(1), by inserting before the semicolon 
     at the end ``or that has a Senior Reserve Officers' Training 
     Program for which the student is ineligible''.

     SEC. 538. REPEAL OF LIMITATION ON NUMBER OF JUNIOR RESERVE 
                   OFFICERS' TRAINING CORPS (JROTC) UNITS.

       Section 2031(a)(1) of title 10, United States Code, is 
     amended by striking the second sentence.

     SEC. 539. RESERVE HEALTH PROFESSIONALS STIPEND PROGRAM 
                   EXPANSION.

       (a) Purpose of Program.--Subsection (a) of section 16201 of 
     title 10, United States Code, is amended--
       (1) by striking ``specialties critically needed in 
     wartime'';
       (2) by striking ``training in such specialties'' and 
     inserting ``training that leads to a degree in medicine or 
     dentistry or training in a health professions specialty that 
     is critically needed in wartime''; and
       (3) by striking ``training in certain health care 
     specialties'' and inserting ``health care education and 
     training''.
       (b) Medical and Dental Student Stipend.--Such section is 
     further amended--
       (1) by redesignating subsections (b), (c), (d), and (e) as 
     subsections (c), (d), (e), and (f), respectively; and
       (2) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Medical and Dental School Students.--(1) Under the 
     stipend program under this chapter, the Secretary of the 
     military department concerned may enter into an agreement 
     with a person who--
       ``(A) is eligible to be appointed as an officer in a 
     reserve component;

[[Page 20146]]

       ``(B) is enrolled or has been accepted for enrollment in an 
     institution in a course of study that results in a degree in 
     medicine or dentistry;
       ``(C) signs an agreement that, unless sooner separated, the 
     person will--
       ``(i) complete the educational phase of the program;
       ``(ii) accept a reappointment or redesignation within the 
     person's reserve component, if tendered, based upon the 
     person's health profession, following satisfactory completion 
     of the educational and intern programs; and
       ``(iii) participate in a residency program; and
       ``(D) if required by regulations prescribed by the 
     Secretary of Defense, agrees to apply for, if eligible, and 
     accept, if offered, residency training in a health profession 
     skill which has been designated by the Secretary of Defense 
     as a critically needed wartime skill.
       ``(2) Under the agreement--
       ``(A) the Secretary of the military department concerned 
     shall agree to pay the participant a stipend, in the amount 
     determined under subsection (f), for the period or the 
     remainder of the period the student is satisfactorily 
     progressing toward a degree in medicine or dentistry while 
     enrolled in an accredited medical or dental school;
       ``(B) the participant shall not be eligible to receive such 
     stipend before appointment, designation, or assignment as an 
     officer for service in the Ready Reserve;
       ``(C) the participant shall be subject to such active duty 
     requirements as may be specified in the agreement and to 
     active duty in time of war or national emergency as provided 
     by law for members of the Ready Reserve; and
       ``(D) the participant shall agree to serve, upon successful 
     completion of the program, one year in the Selected Reserve 
     for each six months, or part thereof, for which the stipend 
     is provided. In the case of a participant who enters into a 
     subsequent agreement under subsection (c) and successfully 
     completes residency training in a specialty designated by the 
     Secretary of Defense as a specialty critically needed by the 
     military department in wartime, the requirement to serve in 
     the Selected Reserve may be reduced to one year for each 
     year, or part thereof, for which the stipend was provided 
     while enrolled in medical or dental school.''.
       (c) Wartime Critical Skills.--Subsection (c) of such 
     section (as redesignated by subsection (b)(1)) is amended--
       (1) by inserting ``Wartime'' after ``Critical'' in the 
     heading; and
       (2) by inserting ``or has been appointed as a medical or 
     dental officer in the Reserve of the armed force concerned'' 
     in paragraph (1)(B) before the semicolon at the end.
       (d) Service Obligation Requirement.--Paragraph (2)(D) of 
     subsection (c) of such section (as redesignated by subsection 
     (b)(1)) and paragraph (2)(D) of subsection (d) of such 
     section (as so redesignated) are amended by striking ``two 
     years in the Ready Reserve for each year,'' and inserting 
     ``one year in the Ready Reserve for each six months,''.
       (e) Cross-Reference.--Paragraph (2)(A) of subsection (c) of 
     such section (as redesignated by subsection (b)(1)) and 
     paragraph (2)(A) of subsection (d) of such section (as so 
     redesignated) are amended by striking ``subsection (e)'' and 
     inserting ``subsection (f)''.

     SEC. 540. HOUSING ALLOWANCE FOR THE CHAPLAIN FOR THE CORPS OF 
                   CADETS, UNITED STATES MILITARY ACADEMY.

       (a) Authority.--The second sentence of section 4337 of 
     title 10, United States Code, is amended to read as follows: 
     ``Notwithstanding any other provision of law, the chaplain is 
     entitled to the same basic allowance for housing allowed to a 
     lieutenant colonel, and to fuel and light for quarters in 
     kind.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on the first day of the first month 
     beginning on or after the date of the enactment of this Act.


           Subtitle E--Decorations, Awards, and Commendations

     SEC. 541. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO 
                   HUMBERT R. VERSACE FOR VALOR DURING THE VIETNAM 
                   WAR.

       (a) Waiver of Time Limitation.--Notwithstanding the time 
     limitations specified in section 3744 of title 10, United 
     States Code, or any other time limitation with respect to the 
     awarding of certain medals to persons who served in the 
     military service, the President may award the Medal of Honor 
     under section 3741 of that title to Humbert R. Versace for 
     the acts of valor referred to in subsection (b).
       (b) Action Described.--The acts of valor referred to in 
     subsection (a) are the actions of Humbert R. Versace between 
     October 29, 1963, and September 26, 1965, while interned as a 
     prisoner-of-war by the Vietnamese Communist National 
     Liberation Front (Viet Cong) in the Republic of Vietnam.

     SEC. 542. REVIEW REGARDING AWARD OF MEDAL OF HONOR TO CERTAIN 
                   JEWISH AMERICAN AND HISPANIC AMERICAN WAR 
                   VETERANS.

       (a) Review Required.--The Secretary of each military 
     department shall review the service records of each Jewish 
     American war veteran or Hispanic American war veteran 
     described in subsection (b) to determine whether that veteran 
     should be awarded the Medal of Honor.
       (b) Covered Jewish American War Veterans and Hispanic 
     American War Veterans.--The Jewish American war veterans and 
     Hispanic American war veterans whose service records are to 
     be reviewed under subsection (a) are the following:
       (1) Any Jewish American war veteran or Hispanic American 
     war veteran who was awarded the Distinguished Service Cross, 
     the Navy Cross, or the Air Force Cross before the date of the 
     enactment of this Act.
       (2) Any other Jewish American war veteran or Hispanic 
     American war veteran whose name is submitted to the Secretary 
     concerned for such purpose before the end of the one-year 
     period beginning on the date of the enactment of this Act.
       (c) Consultations.--In carrying out the review under 
     subsection (a), the Secretary of each military department 
     shall consult with the Jewish War Veterans of the United 
     States of America and with such other veterans service 
     organizations as the Secretary considers appropriate.
       (d) Recommendation Based on Review.--If the Secretary 
     concerned determines, based upon the review under subsection 
     (a) of the service records of any Jewish American war veteran 
     or Hispanic American war veteran, that the award of the Medal 
     of Honor to that veteran is warranted, the Secretary shall 
     submit to the President a recommendation that the President 
     award the Medal of Honor to that veteran.
       (e) Authority To Award Medal of Honor.--A Medal of Honor 
     may be awarded to a Jewish American war veteran or Hispanic 
     American war veteran in accordance with a recommendation of 
     the Secretary concerned under subsection (a).
       (f) Waiver of Time Limitations.--An award of the Medal of 
     Honor may be made under subsection (e) without regard to--
       (1) section 3744, 6248, or 8744 of title 10, United States 
     Code, as applicable; and
       (2) any regulation or other administrative restriction on--
       (A) the time for awarding the Medal of Honor; or
       (B) the awarding of the Medal of Honor for service for 
     which a Distinguished Service Cross, Navy Cross, or Air Force 
     Cross has been awarded.
       (g) Definition.--For purposes of this section, the term 
     ``Jewish American war veteran'' means any person who served 
     in the Armed Forces during World War II or a later period of 
     war and who identified himself or herself as Jewish on his or 
     her military personnel records.

     SEC. 543. AUTHORITY TO ISSUE DUPLICATE MEDAL OF HONOR.

       (a) Army.--(1) Chapter 357 of title 10, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 3754. Medal of honor: duplicate medal

       ``A person awarded a medal of honor shall, upon written 
     application of that person, be issued, without charge, one 
     duplicate medal of honor with ribbons and appurtenances. Such 
     duplicate medal of honor shall be marked, in such manner as 
     the Secretary of the Army may determine, as a duplicate or 
     for display purposes only.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``3754. Medal of honor: duplicate medal.''.
       (b) Navy.--(1) Chapter 567 of title 10, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 6256. Medal of honor: duplicate medal

       ``A person awarded a medal of honor shall, upon written 
     application of that person, be issued, without charge, one 
     duplicate medal of honor with ribbons and appurtenances. Such 
     duplicate medal of honor shall be marked, in such manner as 
     the Secretary of the Navy may determine, as a duplicate or 
     for display purposes only.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``6256. Medal of honor: duplicate medal.''.
       (c) Air Force.--(1) Chapter 857 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 8754. Medal of honor: duplicate medal

       ``A person awarded a medal of honor shall, upon written 
     application of that person, be issued, without charge, one 
     duplicate medal of honor with ribbons and appurtenances. Such 
     duplicate medal of honor shall be marked, in such manner as 
     the Secretary of the Air Force may determine, as a duplicate 
     or for display purposes only.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``8754. Medal of honor: duplicate medal.''.
       (d) Coast Guard.--(1) Chapter 13 of title 14, United States 
     Code, is amended by inserting after section 503 the following 
     new section:

     ``Sec. 504. Medal of honor: duplicate medal

       ``A person awarded a medal of honor shall, upon written 
     application of that person, be issued, without charge, one 
     duplicate medal of honor with ribbons and appurtenances. Such 
     duplicate medal of honor shall be marked, in such manner as 
     the Secretary may determine, as a duplicate or for display 
     purposes only.''.

[[Page 20147]]

       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     503 the following new item:

``504. Medal of honor: duplicate medal.''.
       (e) Definition of Medal of Honor for Purposes of Federal 
     Unauthorized-Use Crime.--Section 704(b)(2)(B) of title 18, 
     United States Code, is amended to read as follows:
       ``(B) As used in this subsection, `Congressional Medal of 
     Honor' means--
       ``(i) a medal of honor awarded under section 3741, 6241, or 
     8741 of title 10 or section 491 of title 14;
       ``(ii) a duplicate medal of honor issued under section 
     3754, 6256, or 8754 of title 10 or section 504 of title 14; 
     or
       ``(iii) a replacement of a medal of honor provided under 
     section 3747, 6253, or 8747 of title 10 or section 501 of 
     title 14.''.

     SEC. 544. AUTHORITY TO REPLACE STOLEN MILITARY DECORATIONS.

       (a) Army, Navy, and Air Force.--Sections 3747, 6253, and 
     8747 of title 10, United States Code, are each amended by 
     striking ``lost or destroyed'' and inserting ``stolen, lost, 
     or destroyed''.
       (b) Coast Guard.--Section 501 of title 14, United States 
     Code, is amended by inserting ``stolen,'' before ``lost,''.

     SEC. 545. WAIVER OF TIME LIMITATIONS FOR AWARD OF NAVY 
                   DISTINGUISHED FLYING CROSS TO CERTAIN PERSONS.

       (a) Waiver.--Any limitation established by law or policy 
     for the time within which a recommendation for the award of a 
     military decoration or award must be submitted shall not 
     apply to awards of decorations described in this section, the 
     award of each such decoration having been determined by the 
     Secretary concerned to be warranted in accordance with 
     section 1130 of title 10, United States Code.
       (b) Distinguished Flying Cross.--Subsection (a) applies to 
     the award of the Distinguished Flying Cross for service 
     during World War II or Korea (including multiple awards to 
     the same individual) in the case of each individual 
     concerning whom the Secretary of the Navy (or an officer of 
     the Navy acting on behalf of the Secretary) submitted to the 
     Committee on Armed Services of the House of Representatives 
     and the Committee on Armed Services of the Senate, during the 
     period beginning on October 31, 2000, and ending on the day 
     before the date of the enactment of this Act, a notice as 
     provided in section 1130(b) of title 10, United States Code, 
     that the award of the Distinguished Flying Cross to that 
     individual is warranted and that a waiver of time 
     restrictions prescribed by law for recommendation for such 
     award is recommended.

     SEC. 546. KOREA DEFENSE SERVICE MEDAL.

       (a) Army.--(1) Chapter 357 of title 10, United States Code, 
     as amended by section 543(a)(1), is further amended by adding 
     at the end the following new section:

     ``Sec. 3755. Korea Defense Service Medal

       ``(a) The Secretary of the Army shall issue a campaign 
     medal, to be known as the Korea Defense Service Medal, to 
     each person who while a member of the Army served in the 
     Republic of Korea or the waters adjacent thereto during the 
     KDSM eligibility period and met the service requirements for 
     the award of that medal prescribed under subsection (c).
       ``(b) In this section, the term `KDSM eligibility period' 
     means the period beginning on July 28, 1954, and ending on 
     such date after the date of the enactment of this section as 
     may be determined by the Secretary of Defense to be 
     appropriate for terminating eligibility for the Korea Defense 
     Service Medal.
       ``(c) The Secretary of the Army shall prescribe service 
     requirements for eligibility for the Korea Defense Service 
     Medal. Those requirements shall not be more stringent than 
     the service requirements for award of the Armed Forces 
     Expeditionary Medal for instances in which the award of that 
     medal is authorized.''.
       (2) The table of sections at the beginning of such chapter, 
     as amended by section 543(a)(2), is further amended by adding 
     at the end the following new item:

``3755. Korea Defense Service Medal.''.
       (b) Navy and Marine Corps.--(1) Chapter 567 of title 10, 
     United States Code, as amended by section 543(b)(1), is 
     further amended by adding at the end the following new 
     section:

     ``Sec. 6257. Korea Defense Service Medal

       ``(a) The Secretary of the Navy shall issue a campaign 
     medal, to be known as the Korea Defense Service Medal, to 
     each person who while a member of the Navy or Marine Corps 
     served in the Republic of Korea or the waters adjacent 
     thereto during the KDSM eligibility period and met the 
     service requirements for the award of that medal prescribed 
     under subsection (c).
       ``(b) In this section, the term `KDSM eligibility period' 
     means the period beginning on July 28, 1954, and ending on 
     such date after the date of the enactment of this section as 
     may be determined by the Secretary of Defense to be 
     appropriate for terminating eligibility for the Korea Defense 
     Service Medal.
       ``(c) The Secretary of the Navy shall prescribe service 
     requirements for eligibility for the Korea Defense Service 
     Medal. Those requirements shall not be more stringent than 
     the service requirements for award of the Armed Forces 
     Expeditionary Medal for instances in which the award of that 
     medal is authorized.''.
       (2) The table of sections at the beginning of such chapter, 
     as amended by section 543(b)(2), is further amended by adding 
     at the end the following new item:

``6257. Korea Defense Service Medal.''.
       (c) Air Force.--(1) Chapter 857 of title 10, United States 
     Code, as amended by section 543(c)(1), is further amended by 
     adding at the end the following new section:

     ``Sec. 8755. Korea Defense Service Medal

       ``(a) The Secretary of the Air Force shall issue a campaign 
     medal, to be known as the Korea Defense Service Medal, to 
     each person who while a member of the Air Force served in the 
     Republic of Korea or the waters adjacent thereto during the 
     KDSM eligibility period and met the service requirements for 
     the award of that medal prescribed under subsection (c).
       ``(b) In this section, the term `KDSM eligibility period' 
     means the period beginning on July 28, 1954, and ending on 
     such date after the date of the enactment of this section as 
     may be determined by the Secretary of Defense to be 
     appropriate for terminating eligibility for the Korea Defense 
     Service Medal.
       ``(c) The Secretary of the Air Force shall prescribe 
     service requirements for eligibility for the Korea Defense 
     Service Medal. Those requirements shall not be more stringent 
     than the service requirements for award of the Armed Forces 
     Expeditionary Medal for instances in which the award of that 
     medal is authorized.''.
       (2) The table of sections at the beginning of such chapter, 
     as amended by section 543(c)(2), is further amended by adding 
     at the end the following new item:

``8755. Korea Defense Service Medal.''.
       (d) Award for Service Before Date of Enactment.--The 
     Secretary of the military department concerned shall take 
     appropriate steps to provide in a timely manner for the 
     issuance of the Korea Defense Service Medal, upon application 
     therefor, to persons whose eligibility for that medal is by 
     reason of service in the Republic of Korea or the waters 
     adjacent thereto before the date of the enactment of this 
     Act.

     SEC. 547. COLD WAR SERVICE MEDAL.

       (a) Authority.--Chapter 57 of title 10, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 1134. Cold War service medal

       ``(a) Medal Authorized.--The Secretary concerned shall, 
     upon application, issue the Cold War service medal to a 
     person eligible to receive that medal. The Cold War service 
     medal shall be of an appropriate design approved by the 
     Secretary of Defense, with ribbons, lapel pins, and other 
     appurtenances.
       ``(b) Eligibility.--(1) A person is eligible to receive the 
     Cold War service medal if the person--
       ``(A) served on active duty during the Cold War;
       ``(B) has not been released from active duty with a 
     characterization of service less favorable than honorable and 
     has not received a discharge less favorable than an honorable 
     discharge; and
       ``(C) except as provided under paragraph (3), meets the 
     service requirements of paragraph (2).
       ``(2) The service requirements of this paragraph are--
       ``(A) in the case of a person who served on active duty 
     during the Cold War as an enlisted member, that the person 
     have completed that person's initial term of enlistment and 
     after the end of that initial term of enlistment have 
     reenlisted for an additional term of enlistment or have been 
     appointed as an officer; and
       ``(B) in the case of a person who served on active duty 
     during the Cold War as an officer, that the person have 
     completed that person's initial service obligation as an 
     officer and have served in the armed forces after completing 
     that initial service obligation.
       ``(3) The Secretary concerned, under regulations prescribed 
     under this section, may waive the service requirements of 
     paragraph (2)--
       ``(A) in the case of any person discharged or released from 
     active duty for a disability incurred or aggravated in line 
     of duty;
       ``(B) in the case of any person discharged for hardship 
     under section 1173 of this title; and
       ``(C) under any other circumstance for which the Secretary 
     determines that such a waiver is warranted.
       ``(c) One Award Authorized.--Not more than one Cold War 
     service medal may be issued to any person.
       ``(d) Issuance to Representative of Deceased.--If a person 
     who is eligible for the Cold War service medal dies before 
     being issued that medal, the medal may, upon application, be 
     issued to the person's representative, as designated by the 
     Secretary concerned.
       ``(e) Replacement.--Under regulations prescribed by the 
     Secretary concerned, a Cold War service medal that is lost, 
     destroyed, or rendered unfit for use without fault or neglect 
     on the part of the person to whom it was issued may be 
     replaced without charge.
       ``(f) Uniform Regulations.--The Secretary of Defense shall 
     ensure that regulations prescribed by the Secretaries of the 
     military departments under this section are uniform so far as 
     is practicable.

[[Page 20148]]

       ``(g) Cold War Defined.--In this section, the term `Cold 
     War' means the period beginning on September 2, 1945, and 
     ending at the end of December 26, 1991.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1134. Cold War service medal.''.

     SEC. 548. OPTION TO CONVERT AWARD OF ARMED FORCES 
                   EXPEDITIONARY MEDAL AWARDED FOR OPERATION 
                   FREQUENT WIND TO VIETNAM SERVICE MEDAL.

       (a) In General.--The Secretary of the military department 
     concerned shall, upon the application of an individual who is 
     an eligible Vietnam evacuation veteran, award that individual 
     the Vietnam Service Medal, notwithstanding any otherwise 
     applicable requirements for the award of that medal. Any such 
     award shall be made in lieu of the Armed Forces Expeditionary 
     Medal awarded the individual for participation in Operation 
     Frequent Wind.
       (b) Eligible Vietnam Evacuation Veteran.--For purposes of 
     this section, the term ``eligible Vietnam evacuation 
     veteran'' means a member or former member of the Armed Forces 
     who was awarded the Armed Forces Expeditionary Medal for 
     participation in military operations designated as Operation 
     Frequent Wind arising from the evacuation of Vietnam on April 
     29 and 30, 1975.

     SEC. 549. SENSE OF CONGRESS ON NEW MEDAL TO RECOGNIZE 
                   CIVILIAN EMPLOYEES OF THE DEPARTMENT OF DEFENSE 
                   KILLED OR WOUNDED AS A RESULT OF HOSTILE 
                   ACTION.

       (a) Findings.--Congress makes the following findings:
       (1) The role and importance of civilian nationals of the 
     United States as Federal employees and contractors in support 
     of operations of the Armed Forces worldwide has continued to 
     expand.
       (2) The expanded role performed by those civilians, both in 
     the United States and overseas, has greatly increased the 
     risk to those civilians of injury and death from hostile 
     actions taken against United States Armed Forces, as 
     demonstrated by the terrorist attack on the Pentagon on 
     September 11, 2001, in which scores of Department of Defense 
     civilian and contractor personnel were killed or wounded.
       (3) No decoration exists for the recognition of civilian 
     nationals of the United States who, while serving under 
     competent authority in any capacity with the Armed Forces, 
     are killed or wounded in the line of duty under circumstances 
     which, if they were members of the Armed Forces, would 
     qualify them for the award of the Purple Heart.
       (4) Both the Congress and the Secretary of Defense have 
     previously agreed to the need for such a decoration.
       (5) On September 20, 2001, the Deputy Secretary of Defense 
     approved the creation of a new award, a medal for the defense 
     of freedom, to be awarded to civilians employed by the 
     Department of Defense who are killed or wounded as a result 
     of hostile action and at the same time directed that a 
     comprehensive review be conducted to develop a more uniform 
     approach to the award of decorations to military and civilian 
     personnel of the Department of Defense.
       (b) Commendation of Creation of New Award.--Congress 
     commends the decision announced by the Deputy Secretary of 
     Defense on September 20, 2001, to approve the creation of a 
     new award, a medal for the defense of freedom, to be awarded 
     to civilians employed by the Department of Defense who are 
     killed or wounded as a result of hostile action.
       (c) Sense of Congress.--It is the sense of Congress that 
     the Secretary of Defense--
       (1) should move expeditiously to produce and award the new 
     medal referred to in subsection (b); and
       (2) should develop a more comprehensive, uniform policy for 
     the award of decorations to military and civilian personnel 
     of the Department of Defense.

                 Subtitle F--Matters Relating to Voting

     SEC. 551. VOTING ASSESSMENTS AND ASSISTANCE FOR MEMBERS OF 
                   THE UNIFORMED SERVICES.

       (a) In General.--Chapter 80 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 1566. Voting assistance: compliance assessments and 
       assistance

       ``(a) Inspector General Assessments.--(1) The Department of 
     Defense Inspector General shall each calendar year conduct a 
     random and unannounced assessment at a minimum of 15 
     Department of Defense installations of the compliance at 
     those installations with--
       ``(A) the requirements of the Uniformed and Overseas 
     Citizens Absentee Voting Act (42 U.S.C. 1973ff et seq.);
       ``(B) Department of Defense regulations regarding that Act 
     and the Federal Voting Assistance Program carried out under 
     that Act; and
       ``(C) other requirements of law regarding voting by members 
     of the armed forces.
       ``(2) Each assessment under paragraph (1) shall include a 
     review of such compliance--
       ``(A) within units to which are assigned, in the aggregate, 
     not less than 20 percent of the personnel assigned to duty at 
     that installation;
       ``(B) within a representative survey of members of the 
     armed forces assigned to that installation and their 
     dependents; and
       ``(C) within unit voting assistance officers to measure 
     program effectiveness.
       ``(b) Regular Military Department Assessments.--The 
     Secretary of each military department shall include in the 
     set of issues and programs to be reviewed during any 
     management effectiveness review or inspection an assessment 
     of compliance with the Uniformed and Overseas Citizens 
     Absentee Voting Act (42 U.S.C. 1973ff et seq.) and with 
     Department of Defense regulations regarding the Federal 
     Voting Assistance Program.
       ``(c) Voting Assistance Officers.--Voting assistance 
     officers appointed or assigned under Department of Defense 
     regulations regarding the Federal Voting Assistance Program 
     shall be appointed or assigned with the expectation of 
     serving in that capacity for a minimum of 30 months. A member 
     of the armed forces assigned to such a position may not be 
     assigned other duties that would not be considered part of 
     the member's primary military duties, except when a unit 
     commander determines that insufficient personnel are 
     available to fulfill all additional duty requirements. 
     Performance evaluation reports pertaining to a member who has 
     been assigned to serve as a voting assistance officer shall 
     comment on the performance of the member as a voting 
     assistance officer.
       ``(d) Delivery of Mail From Overseas Preceding Federal 
     Elections.--(1) During the four months preceding a general 
     Federal election month, the Secretary of Defense shall 
     periodically conduct surveys of all overseas locations and 
     vessels at sea with military units responsible for collecting 
     mail for return shipment to the United States and all port 
     facilities in the United States and overseas where military-
     related mail is collected for shipment to overseas locations 
     or to the United States. The purpose of each survey shall be 
     to determine if voting materials are awaiting shipment at any 
     such location and, if so, the length of time that such 
     materials have been held at that location. During the fourth 
     and third months before a general Federal election month, 
     such surveys shall be conducted biweekly. During the second 
     and first months before a general Federal election month, 
     such surveys shall be conducted weekly.
       ``(2) The Secretary shall ensure that voting materials are 
     transmitted expeditiously by military postal authorities at 
     all times.
       ``(3) In this section, the term `general Federal election 
     month' means November in an even-numbered year.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1566. Voting assistance: compliance assessments and assistance.''.

     SEC. 552. ELECTRONIC VOTING DEMONSTRATION PROJECT.

       (a) Demonstration Project.--The Secretary of Defense shall 
     carry out a demonstration project to examine voting in 
     Federal elections by absent uniformed services voters through 
     a long-distance electronic voting system. The demonstration 
     project shall be carried out for voting in the regularly 
     scheduled general election for Federal office in November 
     2002. Under the demonstration project, absent uniformed 
     services voters participating in the project shall be 
     provided a means, with the cooperation and assistance of 
     State election officials of States that agree to participate 
     in the project, to cast their ballots in that election 
     through a long-distance electronic voting method.
       (b) Scope of Project.--The Secretary shall determine the 
     scope of the demonstration project under this section, 
     including the absent uniformed services voters authorized to 
     participate in the project. The project shall be carried out 
     with participation of sufficient numbers of absent uniformed 
     services voters so that the results are statistically 
     relevant.
       (c) Coordination With State Election Officials.--The 
     Secretary shall carry out the demonstration project under 
     this section through cooperative agreements with State 
     election officials of States that agree to participate in the 
     project.
       (d) Report to Congress.--Not later than June 1, 2003, the 
     Secretary shall submit to Congress a report analyzing the 
     demonstration project conducted under this section. The 
     Secretary shall include in the report any recommendations the 
     Secretary considers appropriate for continuing the project on 
     an expanded basis during the next regularly scheduled general 
     election for Federal office.
       (e) Absent Uniformed Services Voter Defined.--In this 
     section, the term ``absent uniformed services voter'' has the 
     meaning given that term in section 107(1) of the Uniformed 
     and Overseas Citizens Absentee Voting Act (42 U.S.C. 1973ff-
     6(1)).
       (f) State Defined.--In this section, the term ``State'' 
     includes the District of Columbia, the Commonwealth of Puerto 
     Rico, Guam, the Virgin Islands, and American Samoa.

[[Page 20149]]



  Subtitle G--Matters Relating to Military Spouses and Family Members

     SEC. 561. IMPROVED FINANCIAL AND OTHER ASSISTANCE TO MILITARY 
                   SPOUSES FOR JOB TRAINING AND EDUCATION.

       (a) Examination of Existing Employment Assistance 
     Programs.--(1) The Secretary of Defense shall examine 
     existing Department of Defense and other Federal, State, and 
     nongovernmental programs with the objective of improving 
     retention of military personnel by increasing the 
     employability of military spouses and assisting those spouses 
     in gaining access to financial and other assistance for job 
     training and education.
       (2) In conducting the examination, the Secretary shall give 
     priority to facilitating and increasing access of military 
     spouses to existing Department of Defense, Federal, State, 
     and nongovernmental sources for the types of financial 
     assistance set forth in paragraph (3), but shall also 
     specifically assess whether the Department of Defense should 
     begin a program for direct financial assistance to military 
     spouses for some or all of those types of assistance and 
     whether such a program of direct financial assistance would 
     enhance retention.
       (3) In conducting the examination pursuant to paragraph 
     (1), the Secretary should focus on financial assistance for 
     military spouses for one or more of the following purposes:
       (A) Career-related education.
       (B) Certification and license fees for employment-related 
     purposes.
       (C) Apprenticeships and internships.
       (D) Technical training.
       (E) Training to improve job skills.
       (F) Career counseling.
       (G) Skills assessment.
       (H) Job-search skills.
       (I) Job-related transportation.
       (J) Child care.
       (K) Any additional employment-related purpose specified by 
     the Secretary for the purposes of the examination under 
     paragraph (1).
       (4) Not later than March 30, 2002, the Secretary of Defense 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the results of the examination 
     under paragraph (1).
       (b) Review of Department of Defense Policies.--(1) The 
     Secretary of Defense shall review Department of Defense 
     policies that affect employment and education opportunities 
     for military spouses in the Department of Defense in order to 
     further expand those opportunities. The review shall include 
     the consideration of providing, to the extent authorized by 
     law, separate spouse preferences for employment by 
     appropriated and nonappropriated fund operations.
       (2) Not later than March 30, 2002, the Secretary of Defense 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the results of the review under 
     paragraph (1).
       (c) Spouse Employment Assistance.--Section 1784 of title 
     10, United States Code, is amended by adding at the end the 
     following new subsections:
       ``(d) Space-Available Use of Facilities for Spouse Training 
     Purposes.--Under regulations prescribed by the Secretary of 
     Defense, the Secretary of a military department may make 
     available to a non-Department of Defense entity space in non-
     excess facilities controlled by that Secretary for the 
     purpose of the non-Department of Defense entity providing 
     employment-related training for military spouses.
       ``(e) Employment by Other Federal Agencies.--The Secretary 
     of Defense shall work with the Director of the Office of 
     Personnel Management and the heads of other Federal 
     departments and agencies to expand and facilitate the use of 
     existing Federal programs and resources in support of 
     military spouse employment.
       ``(f) Private-Sector Employment.--The Secretary of 
     Defense--
       ``(1) shall seek to develop partnerships with firms in the 
     private sector to enhance employment opportunities for 
     spouses of members of the armed forces and to provide for 
     improved job portability for such spouses, especially in the 
     case of the spouse of a member of the armed forces 
     accompanying the member to a new geographical area because of 
     a change of permanent duty station of the member; and
       ``(2) shall work with the United States Chamber of Commerce 
     and other appropriate private-sector entities to facilitate 
     the formation of such partnerships.
       ``(g) Employment With DOD Contractors.--The Secretary of 
     Defense shall examine and seek ways for incorporating hiring 
     preferences for qualified spouses of members of the armed 
     forces into contracts between the Department of Defense and 
     private-sector entities.''.

     SEC. 562. AUTHORITY TO CONDUCT SURVEYS OF DEPENDENTS AND 
                   SURVIVORS OF MILITARY RETIREES.

       (a) Extension of Survey Authority.--Subsection (a) of 
     section 1782 of title 10, United States Code, is amended to 
     read as follows:
       ``(a) Authority.--The Secretary of Defense, in order to 
     determine the effectiveness of Federal programs relating to 
     military families and the need for new programs, may conduct 
     surveys of--
       ``(1) members of the armed forces who are on active duty, 
     in an active status, or retired;
       ``(2) family members of such members; and
       ``(3) survivors of retired members.''.
       (b) Conforming Amendment.--Subsection (c) of such section 
     is amended by striking ``family members'' and all that 
     follows through ``armed forces'' the second place it appears 
     and inserting ``persons covered by subsection (a)''.

     SEC. 563. CLARIFICATION OF TREATMENT OF CLASSIFIED 
                   INFORMATION CONCERNING PERSONS IN A MISSING 
                   STATUS.

       Section 1506(b)(2) of title 10, United States Code, is 
     amended--
       (1) by inserting ``(A)'' after ``(2)'';
       (2) by striking the period at the end and inserting ``of 
     all missing persons from the conflict or period of war to 
     which the classified information pertains.''; and
       (3) by adding at the end the following new subparagraph:
       ``(B) For purposes of subparagraph (A), information shall 
     be considered to be made reasonably available if placed in a 
     separate and distinct file that is available for review by 
     persons specified in subparagraph (A) upon the request of any 
     such person either to review the separate file or to review 
     the personnel file of the missing person concerned.''.

     SEC. 564. TRANSPORTATION TO ANNUAL MEETING OF NEXT-OF-KIN OF 
                   PERSONS UNACCOUNTED FOR FROM CONFLICTS AFTER 
                   WORLD WAR II.

       (a) In General.--(1) Chapter 157 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2647. Transportation to annual meeting of next-of-kin 
       of persons unaccounted for from conflicts after World War 
       II

       ``The Secretary of Defense may provide transportation for 
     the next-of-kin of persons who are unaccounted for from the 
     Korean conflict, the Cold War, Vietnam War era, or the 
     Persian Gulf War to and from an annual meeting in the United 
     States. Such transportation shall be provided under such 
     regulations as the Secretary of Defense may prescribe.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``2647. Transportation to annual meeting of next-of-kin of persons 
              unaccounted for from conflicts after World War II.''.
       (b) Effective Date.--Section 2647 of title 10, United 
     States Code, as added by subsection (a), shall take effect on 
     October 1, 2001, or the date of the enactment of this Act, 
     whichever is later.

     SEC. 565. AMENDMENTS TO CHARTER OF DEFENSE TASK FORCE ON 
                   DOMESTIC VIOLENCE.

       (a) Members Appointed From Private Sector.--Subsection 
     (h)(1) of section 591 of the National Defense Authorization 
     Act for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 639; 
     10 U.S.C. 1562 note) is amended--
       (1) by inserting ``who is a member of the Armed Forces or 
     civilian officer or employee of the United States'' after 
     ``Each member of the task force'';
       (2) by striking ``, but shall'' and all that follows and 
     inserting a period; and
       (3) by adding at the end the following new sentence: 
     ``Other members of the task force shall be appointed in 
     accordance with, and subject to, section 3161 of title 5, 
     United States Code.''.
       (b) Extension of Termination Date.--Subsection (j) of such 
     section is amended by striking ``three years after the date 
     of the enactment of this Act'' and inserting ``on April 24, 
     2003''.

             Subtitle H--Military Justice and Legal Matters

     SEC. 571. REQUIREMENT THAT COURTS-MARTIAL CONSIST OF NOT LESS 
                   THAN 12 MEMBERS IN CAPITAL CASES.

       (a) Classification of General Court-Martial in Capital 
     Cases.--Section 816(1)(A) of title 10, United States Code 
     (article 16(1)(A) of the Uniform Code of Military Justice) is 
     amended by inserting after ``five members'' the following: 
     ``or, in a case in which the accused may be sentenced to a 
     penalty of death, the number of members determined under 
     section 825a of this title (article 25a)''.
       (b) Number of Members Required.--(1) Chapter 47 of title 
     10, United States Code (the Uniform Code of Military 
     Justice), is amended by inserting after section 825 (article 
     25) the following new section:

     ``Sec. 825a. Art. 25a. Number of members in capital cases

       ``In a case in which the accused may be sentenced to a 
     penalty of death, the number of members shall be not less 
     than 12, unless 12 members are not reasonably available 
     because of physical conditions or military exigencies, in 
     which case the convening authority shall specify a lesser 
     number of members not less than five, and the court may be 
     assembled and the trial held with not less than the number of 
     members so specified. In such a case, the convening authority 
     shall make a detailed written statement, to be appended to 
     the record, stating why a

[[Page 20150]]

     greater number of members were not reasonably available.''.
       (2) The table of sections at the beginning of subchapter V 
     of such chapter is amended by inserting after the item 
     relating to section 825 (article 25) the following new item:

``825a. 25a. Number of members in capital cases.''.
       (c) Absent and Additional Members.--Section 829(b) of such 
     title (article 29 of the Uniform Code of Military Justice) is 
     amended--
       (1) by inserting ``(1)'' after ``(b)'';
       (2) by striking ``five members'' both places it appears and 
     inserting ``the applicable minimum number of members''; and
       (3) by adding at the end the following new paragraph:
       ``(2) In this section, the term `applicable minimum number 
     of members' means five members or, in a case in which the 
     death penalty may be adjudged, the number of members 
     determined under section 825a of this title (article 25a).''.
       (d) Applicability.--The amendments made by this section 
     shall apply with respect to offenses committed after the date 
     of the enactment of this Act.

     SEC. 572. RIGHT OF CONVICTED ACCUSED TO REQUEST SENTENCING BY 
                   MILITARY JUDGE.

       (a) Sentencing by Judge.--(1) Chapter 47 of title 10, 
     United States Code (the Uniform Code of Military Justice), is 
     amended by inserting after section 852 (article 52) the 
     following new section:

     ``Sec. 852a. Art. 52a. Right of accused to request sentencing 
       by military judge rather than by members

       ``(a) In the case of an accused convicted of an offense by 
     a court-martial composed of a military judge and members, the 
     sentence shall be tried before and adjudged by the military 
     judge rather than the members if, after the findings are 
     announced and before evidence in the sentencing proceeding is 
     introduced, the accused, knowing the identity of the military 
     judge and after consultation with defense counsel, requests 
     orally on the record or in writing that the sentence be tried 
     before and adjudged by the military judge rather than the 
     members.
       ``(b) This section shall not apply with respect to an 
     offense for which the death penalty may be adjudged unless 
     the case has been previously referred to trial as a 
     noncapital case.''.
       (2) The table of sections at the beginning of subchapter 
     VII of such chapter is amended by inserting after the item 
     relating to section 852 (article 52) the following new item:

``852a. 52a. Right of accused to request sentencing by military judge 
              rather than by members.''.
       (b) Effective Date.--Section 852a of title 10, United 
     States Code (article 52a of the Uniform Code of Military 
     Justice), as added by subsection (a), shall apply with 
     respect to offenses committed after the date of the enactment 
     of this Act.

     SEC. 573. CODIFICATION OF REQUIREMENT FOR REGULATIONS FOR 
                   DELIVERY OF MILITARY PERSONNEL TO CIVIL 
                   AUTHORITIES WHEN CHARGED WITH CERTAIN OFFENSES

       (a) Codification of Existing Provisions.--Section 814 of 
     title 10, United States Code (article 14 of the Uniform Code 
     of Military Justice), is amended by adding at the end the 
     following new subsection:
       ``(c) The Secretary of Defense shall ensure that the 
     Secretaries of the military departments prescribe regulations 
     under subsection (a) and that those regulations are uniform 
     throughout the armed forces under the jurisdiction of the 
     Secretary of Defense. Those regulations shall--
       ``(1) specifically provide for the delivery to the 
     appropriate civil authority for trial, in any appropriate 
     case, of a member accused by civil authority of parental 
     kidnapping or a similar offense, including criminal contempt 
     arising from any such offense or from child custody matters; 
     and
       ``(2) specifically address the special needs for the 
     exercise of the authority contained in this section (article) 
     in a case in which a member of the armed forces assigned 
     overseas is accused of an offense by civil authority.''.
       (b) Repeal of Codified Provisions.--Section 721 of the 
     National Defense Authorization Act, Fiscal Year 1989 (Public 
     Law 100-456; 10 U.S.C. 814 note), is repealed.

     SEC. 574. AUTHORITY TO ACCEPT VOLUNTARY LEGAL SERVICES FOR 
                   MEMBERS OF THE ARMED FORCES.

       (a) Authority.--Subsection (a) of section 1588 of title 10, 
     United States Code, is amended by adding at the end the 
     following new paragraph:
       ``(5) Voluntary legal assistance services under section 
     1044 of this title.''.
       (b) Applicable Federal Laws.--Subsection (d)(1) of such 
     section is amended by adding at the end the following new 
     subparagraph:
       ``(E) Section 1054 of this title (relating to defense of 
     certain suits arising out of legal malpractice), in the case 
     of persons providing voluntary legal assistance services 
     under subsection (a)(5).''.

                       Subtitle I--Other Matters

     SEC. 581. SHIPMENT OF PRIVATELY OWNED VEHICLES WHEN MAKING 
                   PERMANENT CHANGE OF STATION MOVES WITHIN UNITED 
                   STATES.

       Section 2634(h)(1) of title 10, United States Code, is 
     amended by inserting ``or when the Secretary concerned 
     determines that the transport of a vehicle upon such a 
     transfer is advantageous and cost-effective to the United 
     States'' before the period at the end.

     SEC. 582. PAYMENT OF VEHICLE STORAGE COSTS IN ADVANCE.

       Section 2634(b) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(4) Storage costs payable under this subsection may be 
     paid in advance.''.

     SEC. 583. PERMANENT AUTHORITY FOR USE OF MILITARY RECRUITING 
                   FUNDS FOR CERTAIN EXPENSES AT DEPARTMENT OF 
                   DEFENSE RECRUITING FUNCTIONS.

       (a) Repeal of Termination Provision.--Section 520c of title 
     10, United States Code, is amended by striking subsection 
     (c).
       (b) Technical Amendments.--Subsection (a) of such section 
     is amended--
       (1) in paragraph (4), by striking ``recruiting events'' and 
     inserting ``recruiting functions''; and
       (2) in paragraph (5), by striking ``recruiting efforts'' 
     the first place it appears and inserting ``recruiting 
     functions''.

     SEC. 584. CLARIFICATION OF MILITARY RECRUITER ACCESS TO 
                   SECONDARY SCHOOL DIRECTORY INFORMATION ABOUT 
                   STUDENTS.

       (a) Access to Directory Information.--Section 503(c)(1) of 
     title 10, United States Code, is amended by striking 
     ``purposes,'' and all that follows and inserting the 
     following: ``purposes--
       ``(A) the same access to secondary school students as is 
     provided generally to post-secondary educational institutions 
     or to prospective employers of those students; and
       ``(B) the same access to directory information concerning 
     those students as is provided to a post-secondary educational 
     institution upon an indication by a secondary school student 
     that the student seeks to enroll or intends to enroll at that 
     institution.''.
       (b) Enhanced Recruiter Access.--Section 503(c)(5) of such 
     title is amended by striking ``do not apply to--'' and all 
     that follows through ``(B)'' and inserting ``do not apply 
     to''.
       (c) Effective Date.--The amendments made by subsections (a) 
     and (b) shall take effect on July 1, 2002, immediately after 
     the amendment to section 503(c) of title 10, United States 
     Code, made, effective that date, by section 563(a) of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted into law by Public Law 106-398; 114 
     Stat. 1654A-131).

     SEC. 585. REPEAL OF REQUIREMENT FOR FINAL COMPTROLLER GENERAL 
                   REPORT RELATING TO ARMY END STRENGTH 
                   ALLOCATIONS.

       Section 552 of the National Defense Authorization Act for 
     Fiscal Year 1996 (Public Law 104-106; 110 Stat. 319; 10 
     U.S.C. 115 note) is repealed.

     SEC. 586. POSTHUMOUS ARMY COMMISSION IN THE GRADE OF CAPTAIN 
                   IN THE CHAPLAINS CORPS TO ELLA E. GIBSON FOR 
                   SERVICE AS CHAPLAIN OF THE FIRST WISCONSIN 
                   HEAVY ARTILLERY REGIMENT DURING THE CIVIL WAR.

       The President is authorized and requested to posthumously 
     appoint Ella E. Gibson to the grade of captain in the 
     Chaplains Corps of the Army, the commission to issue as of 
     the date of her appointment as chaplain to the First 
     Wisconsin Heavy Artillery regiment during the Civil War and 
     to be considered to have been in effect during the time 
     during which she faithfully performed the services of a 
     chaplain to that regiment and for which Congress by law 
     (Private Resolution 31 of the 40th Congress, approved March 
     3, 1869) previously provided for her to be paid the full pay 
     and emoluments of a chaplain in the United States Army as if 
     she had been regularly commissioned and mustered into 
     service.

     SEC. 587. NATIONAL GUARD CHALLENGE PROGRAM.

       (a) Termination of Limitation on Federal Expenditures.--
     Subsection (b)(2)(A) of section 509 of title 32, United 
     States Code, is amended by striking ``in a fiscal year'' and 
     inserting ``in fiscal year 2001 or 2002''.
       (b) Matching Funds Requirements.--Subsection (d) of such 
     section is amended by striking paragraphs (1) through (4) and 
     inserting the following new paragraphs:
       ``(1) for fiscal years 2001 and 2002, 60 percent of the 
     costs of operating the State program during that fiscal year; 
     and
       ``(2) for fiscal year 2003 and each subsequent fiscal year, 
     75 percent of the costs of operating the State program during 
     that fiscal year.''.
       (c) Repeal of Contingent Funding for JROTC.--(1) Section 
     2033 of title 10, United States Code, is repealed.
       (2) The table of sections at the beginning of chapter 102 
     of such title is amended by striking the item relating to 
     section 2033.
       (3) The amendments made by this subsection shall take 
     effect on October 1, 2002.

     SEC. 588. PAYMENT OF FEHBP PREMIUMS FOR CERTAIN RESERVISTS 
                   CALLED TO ACTIVE DUTY IN SUPPORT OF CONTINGENCY 
                   OPERATIONS.

       (a) In General.--Subsection (e) of section 8906 of title 5, 
     United States Code, is amended by adding at the end the 
     following new paragraph:

[[Page 20151]]

       ``(3)(A) An employing agency may pay both the employee and 
     Government contributions, and any additional administrative 
     expenses otherwise chargeable to the employee, with respect 
     to health care coverage for an employee described in 
     subparagraph (B) and the family of such employee.
       ``(B) An employee referred to in subparagraph (A) is an 
     employee who--
       ``(i) is enrolled in a health benefits plan under this 
     chapter;
       ``(ii) is a member of a reserve component of the armed 
     forces;
       ``(iii) is called or ordered to active duty in support of a 
     contingency operation (as defined in section 101(a)(13) of 
     title 10);
       ``(iv) is placed on leave without pay or separated from 
     service to perform active duty; and
       ``(v) serves on active duty for a period of more than 30 
     consecutive days.
       ``(C) Notwithstanding the one-year limitation on coverage 
     described in paragraph (1)(A), payment may be made under this 
     paragraph for a period not to exceed 18 months.''.
       (b) Conforming Amendment.--The matter preceding paragraph 
     (1) in subsection (f) of such section is amended to read as 
     follows:
       ``(f) The Government contribution, and any additional 
     payments under subsection (e)(3)(A), for health benefits for 
     an employee shall be paid--''.
       (c) Applicability.--The amendments made by this section 
     apply with respect to employees called to active duty on or 
     after December 8, 1995, and an agency may make retroactive 
     payments to such employees for premiums paid on or after such 
     date.

     SEC. 589. 18-MONTH ENLISTMENT PILOT PROGRAM.

       (a) In General.--(1) Chapter 333 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 3264. 18-month enlistment pilot program

       ``(a) During the pilot program period, the Secretary of the 
     Army shall carry out a pilot program with the objective of 
     increasing participation of prior service persons in the 
     Selected Reserve and providing assistance in building the 
     pool of participants in the Individual Ready Reserve.
       ``(b) Under the program, the Secretary may, notwithstanding 
     section 505(c) of this title, accept persons for original 
     enlistment in the Army for a term of enlistment consisting of 
     18 months service on active duty, to be followed by three 
     years of service in the Selected Reserve and then service in 
     the Individual Ready Reserve to complete the military service 
     obligation.
       ``(c) No more than 10,000 persons may be accepted for 
     enlistment in the Army through the program under this 
     section.
       ``(d) A person enlisting in the Army through the program 
     under this section is eligible for an enlistment bonus under 
     section 309 of title 37, notwithstanding the enlistment time 
     period specified in subsection (a) of that section.
       ``(e) For purposes of the program under this section, the 
     pilot program period is the period beginning on October 1, 
     2003, and ending on December 31, 2007.
       ``(f) Not later than December 31, 2007, and December 31, 
     2012, the Secretary of the Army shall submit to the Committee 
     on Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives a report on the 
     program under this section. In each such report, the 
     Secretary shall set forth the views of the Secretary on the 
     success of the program in meeting the objectives stated in 
     subsection (a) and whether the program should be continued 
     and, if so, whether it should be modified or expanded.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``3264. 18-month enlistment pilot program.''.
       (b) Implementation Report.--The Secretary of the Army shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Armed Services of the House of 
     Representatives a report on the Secretary's plan for 
     implementation of section 3264 of title 10, United States 
     Code, as added by subsection (a). Such report shall be 
     submitted not later than March 1, 2002.

     SEC. 590. PER DIEM ALLOWANCE FOR LENGTHY OR NUMEROUS 
                   DEPLOYMENTS.

       (a) Funding Source for Allowance.--Section 436(a) of title 
     37, United States Code, is amended by adding at the end the 
     following new sentence: ``The Secretary shall pay the 
     allowance from appropriations available for operation and 
     maintenance for the armed force in which the member 
     serves.''.
       (b) Expanded Report Regarding Management of Individual 
     Member Deployments.--Section 574(d) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398; 114 Stat. 1654A-138) is 
     amended in the second sentence by striking paragraphs (1) and 
     (2) and inserting the following new paragraphs:
       ``(1) a discussion of the experience in tracking and 
     recording the deployments of members of the Armed Forces and 
     the payment of the per diem allowance for lengthy or numerous 
     deployments in accordance with section 436 of title 37, 
     United States Code;
       ``(2) specific comments regarding the effect of section 991 
     of title 10, United States Code, and section 436 of title 37, 
     United States Code, on the readiness of the Navy and Marine 
     Corps given the deployment intensive mission of these 
     services; and
       ``(3) any recommendations for revision of section 991 of 
     title 10, United States Code, or section 436 of title 37, 
     United States Code, that the Secretary considers 
     appropriate.''.

     SEC. 591. CONGRESSIONAL REVIEW PERIOD FOR CHANGE IN GROUND 
                   COMBAT EXCLUSION POLICY.

       Section 542(b) of the National Defense Authorization Act 
     for Fiscal Year 1994 (Public Law 103-160; 10 U.S.C. 113 note) 
     is amended--
       (1) in paragraph (1)--
       (A) by striking ``not less than 90 days''; and
       (B) by adding at the end the following new sentence: ``Such 
     a change may then be implemented only after the end of a 
     period of 60 days of continuous session of Congress 
     (excluding any day on which either House of Congress is not 
     in session) following the date on which the report is 
     received.''; and
       (2) by adding at the end the following new paragraph:
       ``(5) For purposes of this subsection, the continuity of a 
     session of Congress is broken only by an adjournment of the 
     Congress sine die.''.

     SEC. 592. REPORT ON HEALTH AND DISABILITY BENEFITS FOR PRE-
                   ACCESSION TRAINING AND EDUCATION PROGRAMS.

       (a) Study.--The Secretary of Defense shall conduct a review 
     of the health and disability benefit programs available to 
     recruits and officer candidates engaged in training, 
     education, or other types of programs while not yet on active 
     duty and to cadets and midshipmen attending the service 
     academies. The review shall be conducted with the 
     participation of the Secretaries of the military departments.
       (b) Report.--Not later than March 1, 2002, the Secretary 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the findings of the review. The 
     report shall include the following with respect to persons 
     described in subsection (a):
       (1) A statement of the process and detailed procedures 
     followed by each of the Armed Forces under the jurisdiction 
     of the Secretary of a military department to provide health 
     care and disability benefits to all such persons injured in 
     training, education, or other types of programs conducted by 
     the Secretary of a military department.
       (2) Information on the number of total cases of such 
     persons requiring health care and disability benefits and the 
     total number of cases and average value of health care and 
     disability benefits provided under the authority for each 
     source of benefits available to those persons.
       (3) A discussion of the issues regarding health and 
     disability benefits for such persons that are encountered by 
     the Secretary during the review, to include discussions with 
     individuals who have received those benefits.
       (4) A discussion of the necessity for legislative changes 
     and specific legislative proposals needed to improve the 
     benefits provided those persons.

     SEC. 593. REQUIREMENT TO PROVIDE APPROPRIATE ARTICLES OF 
                   CLOTHING AS A CIVILIAN UNIFORM FOR CIVILIANS 
                   PARTICIPATING IN FUNERAL HONOR DETAILS FOR 
                   VETERANS UPON SHOWING OF FINANCIAL NEED.

       Section 1491(d) of title 10, United States Code, is 
     amended--
       (1) by inserting ``(1)'' before ``To provide'';
       (2) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively; and
       (3) by adding at the end the following:
       ``(2)(A) Upon a showing of financial need and subject to 
     subparagraph (B), the Secretary of a military department 
     shall provide articles of clothing described in subparagraph 
     (C) to an organization referred to in subsection (b)(2) or to 
     members of such an organization who participate in funeral 
     honors details. Any such showing of financial need shall be 
     made in such manner as the Secretary may require.
       ``(B) The Secretary concerned may provide articles of 
     clothing to an organization (or members of an organization) 
     under this paragraph only if the Secretary determines that 
     participation of that organization or its members in the 
     funeral honors mission is advantageous to the performance of 
     that mission and meets the performance standards set by the 
     Secretary for that mission.
       ``(C) Articles of clothing covered by subparagraph (A) are 
     articles of clothing determined by the Secretary concerned to 
     be appropriate as a civilian uniform for persons 
     participating in a funeral honors detail who are not 
     authorized to wear the uniform of any of the armed forces.''.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

     SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2002.

       (a) Waiver of Section 1009 Adjustment.--The adjustment to 
     become effective during fiscal year 2002 required by section 
     1009 of title 37, United States Code, in the rates of monthly 
     basic pay authorized members of the uniformed services shall 
     not be made.
       (b) Increase in Basic Pay.--Effective on January 1, 2002, 
     the rates of monthly basic

[[Page 20152]]

     pay for members of the uniformed services within each pay 
     grade are as follows:
       

                        COMMISSIONED OFFICERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-10 \2\........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   7,180.20   7,415.40   7,571.10   7,614.90    7,809.30
O-7.............   5,966.40   6,371.70   6,371.70   6,418.20    6,657.90
O-6.............   4,422.00   4,857.90   5,176.80   5,176.80    5,196.60
O-5.............   3,537.00   4,152.60   4,440.30   4,494.30    4,673.10
O-4.............   3,023.70   3,681.90   3,927.60   3,982.50    4,210.50
O-3 \3\.........   2,796.60   3,170.40   3,421.80   3,698.70    3,875.70
O-2 \3\.........   2,416.20   2,751.90   3,169.50   3,276.30    3,344.10
O-1 \3\.........   2,097.60   2,183.10   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-10 \2\........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   8,135.10   8,210.70   8,519.70   8,608.50    8,874.30
O-7.............   6,840.30   7,051.20   7,261.80   7,472.70    8,135.10
O-6.............   5,418.90   5,448.60   5,448.60   5,628.60    6,305.70
O-5.............   4,673.10   4,813.50   5,073.30   5,413.50    5,755.80
O-4.............   4,395.90   4,696.20   4,930.20   5,092.50    5,255.70
O-3 \3\.........   4,070.10   4,232.40   4,441.20   4,549.50    4,549.50
O-2 \3\.........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1 \3\.........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-10 \2\........      $0.00  $11,601.9  $11,659.2  $11,901.3  $12,324.00
                                     0          0          0
O-9.............       0.00  10,147.50  10,293.60  10,504.80   10,873.80
O-8.............   9,259.50   9,614.70   9,852.00   9,852.00    9,852.00
O-7.............   8,694.90   8,694.90   8,694.90   8,694.90    8,738.70
O-6.............   6,627.00   6,948.30   7,131.00   7,316.10    7,675.20
O-5.............   5,919.00   6,079.80   6,262.80   6,262.80    6,262.80
O-4.............   5,310.60   5,310.60   5,310.60   5,310.60    5,310.60
O-3 \3\.........   4,549.50   4,549.50   4,549.50   4,549.50    4,549.50
O-2 \3\.........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1 \3\.........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for commissioned officers in pay grades 0-7
  through O-10 may not exceed the rate of pay for level III of the
  Executive Schedule and the actual rate of basic pay for all other
  officers may not exceed the rate of pay for level V of the Executive
  Schedule.
\2\ Subject to the preceding footnote, while serving as Chairman or Vice
  Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
  Chief of Naval Operations, Chief of Staff of the Air Force, Commandant
  of the Marine Corps, or Commandant of the Coast Guard, the rate of
  basic pay for this grade is $13,598.10, regardless of cumulative years
  of service computed under section 205 of title 37, United States Code.
\3\ This table does not apply to commissioned officers in pay grade O-1,
  O-2, or O-3 who have been credited with over 4 years of active duty
  service as an enlisted member or warrant officer.


  COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN
                   ENLISTED MEMBER OR WARRANT OFFICER
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-3E............      $0.00      $0.00      $0.00  $3,698.70   $3,875.70
O-2E............       0.00       0.00       0.00   3,276.30    3,344.10
O-1E............       0.00       0.00       0.00   2,638.50    2,818.20
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-3E............  $4,070.10  $4,232.40  $4,441.20  $4,617.00   $4,717.50
O-2E............   3,450.30   3,630.00   3,768.90   3,872.40    3,872.40
O-1E............   2,922.30   3,028.50   3,133.20   3,276.30    3,276.30
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-3E............  $4,855.20  $4,855.20  $4,855.20  $4,855.20   $4,855.20
O-2E............   3,872.40   3,872.40   3,872.40   3,872.40    3,872.40
O-1E............   3,276.30   3,276.30   3,276.30   3,276.30    3,276.30
------------------------------------------------------------------------


                          WARRANT OFFICERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   2,889.60   3,108.60   3,198.00   3,285.90   3,437.10
W-3..............   2,638.80   2,862.00   2,862.00   2,898.90   3,017.40
W-2..............   2,321.40   2,454.00   2,569.80   2,654.10   2,726.40
W-1..............   2,049.90   2,217.60   2,330.10   2,402.70   2,511.90
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   3,586.50   3,737.70   3,885.30   4,038.00   4,184.40
W-3..............   3,152.40   3,330.90   3,439.50   3,558.30   3,693.90
W-2..............   2,875.20   2,984.40   3,093.90   3,200.40   3,318.00
W-1..............   2,624.70   2,737.80   2,850.00   2,963.70   3,077.10
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
W-5..............      $0.00  $4,965.60  $5,136.00  $5,307.00  $5,478.60
W-4..............   4,334.40   4,480.80   4,632.60   4,782.00   4,935.30

[[Page 20153]]
W-3..............   3,828.60   3,963.60   4,098.30   4,233.30   4,368.90
W-2..............   3,438.90   3,559.80   3,680.10   3,801.30   3,801.30
W-1..............   3,189.90   3,275.10   3,275.10   3,275.10   3,275.10
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for warrant officers may not exceed the rate
  of pay for level V of the Executive Schedule.


                          ENLISTED MEMBERS \1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
E-9 \2\..........      $0.00      $0.00      $0.00      $0.00      $0.00
E-8..............       0.00       0.00       0.00       0.00       0.00
E-7..............   1,986.90   2,169.00   2,251.50   2,332.50   2,417.40
E-6..............   1,701.00   1,870.80   1,953.60   2,033.70   2,117.40
E-5..............   1,561.50   1,665.30   1,745.70   1,828.50   1,912.80
E-4..............   1,443.60   1,517.70   1,599.60   1,680.30   1,752.30
E-3..............   1,303.50   1,385.40   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............        \3\   1,105.50   1,105.50   1,105.50   1,105.50
                    1,105.50
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
E-9 \2\..........      $0.00  $3,423.90  $3,501.30  $3,599.40  $3,714.60
E-8..............   2,858.10   2,940.60   3,017.70   3,110.10   3,210.30
E-7..............   2,562.90   2,645.10   2,726.40   2,808.00   2,892.60
E-6..............   2,254.50   2,337.30   2,417.40   2,499.30   2,558.10
E-5..............   2,030.10   2,110.20   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
E-9 \2\..........  $3,830.40  $3,944.10  $4,098.30  $4,251.30  $4,467.00
E-8..............   3,314.70   3,420.30   3,573.00   3,724.80   3,937.80
E-7..............   2,975.10   3,057.30   3,200.40   3,292.80   3,526.80
E-6..............   2,602.80   2,602.80   2,602.80   2,602.80   2,602.80
E-5..............   2,193.30   2,193.30   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
------------------------------------------------------------------------
\1\ Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for enlisted members may not exceed the rate
  of pay for level V of the Executive Schedule.
\2\ Subject to the preceding footnote, while serving as Sergeant Major
  of the Army, Master Chief Petty Officer of the Navy, Chief Master
  Sergeant of the Air Force, Sergeant Major of the Marine Corps, or
  Master Chief Petty Officer of the Coast Guard, basic pay for this
  grade is $5,382.90, regardless of cumulative years of service computed
  under section 205 of title 37, United States Code.
\3\ In the case of members in pay grade E-1 who have served less than 4
  months on active duty, the rate of basic pay is $1,022.70.

     SEC. 602. BASIC PAY RATE FOR CERTAIN RESERVE COMMISSIONED 
                   OFFICERS WITH PRIOR SERVICE AS AN ENLISTED 
                   MEMBER OR WARRANT OFFICER.

       Section 203(d) of title 37, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(d)'';
       (2) by striking ``who is credited'' and all that follows 
     through ``and enlisted member'' and inserting ``is described 
     in paragraph (2)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) Paragraph (1) applies with respect to a commissioned 
     officer in pay grade O-1, O-2, or O-3 who--
       ``(A) is credited with a total of over four years' active 
     service as warrant officer or as a warrant officer and 
     enlisted member; or
       ``(B) earned a total of more than 1,460 points credited 
     under section 12732(a)(2) of title 10 while serving as a 
     warrant officer or enlisted member.''.

     SEC. 603. SUBSISTENCE ALLOWANCES.

       (a) Basic Allowance for Subsistence.--Section 402 of title 
     37, United States Code, is amended--
       (1) in subsection (b), by adding at the end the following 
     new paragraph:
       ``(4) For purposes of implementing paragraph (2), the 
     monthly rate of basic allowance for subsistence that was in 
     effect for an enlisted member for calendar year 2001 shall be 
     deemed to be $233.''; and
       (2) by striking subsection (d) and inserting the following 
     new subsection:
       ``(d) Special Rule for Enlisted Members Who Mess 
     Separately.--The Secretary of Defense may prescribe a basic 
     allowance for subsistence for enlisted members at a rate 
     higher than the rate provided for in subsection (b) when 
     messing facilities of the United States are not available for 
     the members.''.
       (b) Termination of BAS Transitional Authority.--Effective 
     as of October 1, 2001, section 603(c) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398; 114 Stat. 1654A-145) is 
     amended by striking ``October 1, 2001'' and inserting 
     ``January 1, 2002''.
       (c) Family Subsistence Supplemental Allowance for Low-
     Income Members of the Armed Forces.--Section 402a(b)(1) of 
     title 37, United States Code, is amended by inserting ``with 
     dependents'' after ``a member of the armed forces''.

     SEC. 604. ELIGIBILITY FOR BASIC ALLOWANCE FOR HOUSING WHILE 
                   BETWEEN PERMANENT DUTY STATIONS.

       (a) Repeal of Pay Grade Limitation.--Section 403(i) of 
     title 37, United States Code, is amended by striking ``who is 
     in a pay grade E-4 (4 or more years of service) or above''.
       (b) Effective Date; Application.--The amendment made by 
     this section shall take effect on January 1, 2003, and apply 
     to members of the uniformed services in a travel or leave 
     status between permanent duty stations on or after that date.

     SEC. 605. UNIFORM ALLOWANCE FOR OFFICERS.

       (a) Relation to Initial Uniform Allowance.--Section 
     416(b)(1) of title 37, United States Code, is amended by 
     striking ``$200'' and inserting ``$400''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect as of October 1, 2000.

     SEC. 606. FAMILY SEPARATION ALLOWANCE FOR CERTAIN MEMBERS 
                   ELECTING TO SERVE UNACCOMPANIED TOUR OF DUTY.

       (a) Availability of Allowance.--Section 427(c) of title 37, 
     United States Code, is amended--
       (1) by striking ``A member'' in the first sentence and 
     inserting ``(1) Except as provided in paragraph (2) or (3), a 
     member'';
       (2) by redesignating the second sentence as paragraph (3); 
     and
       (3) by inserting after the first sentence the following new 
     paragraph:
       ``(2) A member who elects to serve an unaccompanied tour of 
     duty because the movement of a dependent of the member to the 
     permanent station is denied for certified medical reasons is 
     entitled to an allowance under subsection (a)(1)(A).''.
       (b) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2002. Paragraph 
     (2) of section 427(c) of title 37, United States Code, as 
     added by subsection (a), shall apply with respect to pay 
     periods beginning on or after that date for a member of the 
     uniformed services covered by such paragraph regardless of 
     the date on which the member first

[[Page 20154]]

     made the election to serve an unaccompanied tour of duty.

           Subtitle B--Bonuses and Special and Incentive Pays

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

       (a) Special Pay for Health Professionals in Critically 
     Short Wartime Specialties.--Section 302g(f ) of title 37, 
     United States Code, is amended by striking ``December 31, 
     2001'' and inserting ``December 31, 2002''.
       (b) Selected Reserve Reenlistment Bonus.--Section 308b(f ) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.
       (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (d) Special Pay for Enlisted Members Assigned to Certain 
     High Priority Units.--Section 308d(c) of such title is 
     amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2002''.
       (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (f ) Ready Reserve Enlistment and Reenlistment Bonus.--
     Section 308h(g) of such title is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (g) Prior Service Enlistment Bonus.--Section 308i(f ) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (h) Repayment of Education Loans for Certain Health 
     Professionals Who Serve in the Selected Reserve.--Section 
     16302(d) of title 10, United States Code, is amended by 
     striking ``January 1, 2002'' and inserting ``January 1, 
     2003''.

     SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
                   AUTHORITIES FOR NURSE OFFICER CANDIDATES, 
                   REGISTERED NURSES, AND NURSE ANESTHETISTS.

       (a) Nurse Officer Candidate Accession Program.--Section 
     2130a(a)(1) of title 10, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (b) Accession Bonus for Registered Nurses.--Section 
     302d(a)(1) of title 37, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.
       (c) Incentive Special Pay for Nurse Anesthetists.--Section 
     302e(a)(1) of title 37, United States Code, is amended by 
     striking ``December 31, 2001'' and inserting ``December 31, 
     2002''.

     SEC. 613. ONE-YEAR EXTENSION OF OTHER BONUS AND SPECIAL PAY 
                   AUTHORITIES.

       (a) Aviation Officer Retention Bonus.--Section 301b(a) of 
     title 37, United States Code, is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.
       (b) Reenlistment Bonus for Active Members.--Section 308(g) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.
       (c) Enlistment Bonus for Active Members.--Section 309(e) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (d) Special Pay for Nuclear-Qualified Officers Extending 
     Period of Active Service.--Section 312(e) of such title is 
     amended by striking ``December 31, 2001'' and inserting 
     ``December 31, 2002''.
       (e) Nuclear Career Accession Bonus.--Section 312b(c) of 
     such title is amended by striking ``December 31, 2001'' and 
     inserting ``December 31, 2002''.
       (f) Nuclear Career Annual Incentive Bonus.--Section 312c(d) 
     of such title is amended by striking ``December 31, 2001'' 
     and inserting ``December 31, 2002''.
       (g) Retention Bonus for Members With Critical Military 
     Skills.--Section 323(i) of such title is amended by striking 
     ``December 31, 2001'' and inserting ``December 31, 2002''.

     SEC. 614. CONFORMING ACCESSION BONUS FOR DENTAL OFFICERS 
                   AUTHORITY WITH AUTHORITIES FOR OTHER SPECIAL 
                   PAY AND BONUSES.

       Section 302h(a)(1) of title 37, United States Code, is 
     amended by striking ``the date of the enactment of this 
     section, and ending on September 30, 2002'' and inserting 
     ``September 23, 1996, and ending on December 31, 2002''.

     SEC. 615. ADDITIONAL TYPE OF DUTY RESULTING IN ELIGIBILITY 
                   FOR HAZARDOUS DUTY INCENTIVE PAY.

       (a) Performance of Maritime Board and Search Operations.--
     Section 301(a) of title 37, United States Code, is amended--
       (1) in paragraph (10), by striking ``or'' at the end;
       (2) by redesignating paragraph (11) as paragraph (12); and
       (3) by inserting after paragraph (10) the following new 
     paragraph:
       ``(11) involving regular participation as a member of a 
     team conducting visit, board, search, and seizure operations 
     aboard vessels in support of maritime interdiction 
     operations; or''.
       (b) Monthly Amount.--Subsection (c) of such section is 
     amended--
       (1) in paragraph (1), by striking ``(10)'' and inserting 
     ``(11)''; and
       (2) in paragraph (2)(A), by striking ``(11)'' and inserting 
     ``(12)''.
       (c) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2002, and apply 
     to duty described in the amendment made by subsection (a)(2) 
     on or after that date.

     SEC. 616. EQUAL TREATMENT OF RESERVISTS PERFORMING INACTIVE-
                   DUTY TRAINING FOR RECEIPT OF AVIATION CAREER 
                   INCENTIVE PAY.

       (a) Incentive Pay Equity for Reservists.--Subsection (d) of 
     section 301a of title 37, United States Code, is amended to 
     read as follows:
       ``(d) Members Performing Inactive-Duty Training.--Under 
     regulations prescribed by the President and to the extent 
     provided for by appropriations, in the case of a member of a 
     reserve component of a uniformed service, or of the National 
     Guard, who is entitled to compensation under section 206 of 
     this title, and who performs, under orders, duty described in 
     subsection (a), the member is also entitled to monthly 
     incentive pay under subsection (b) for the performance of 
     that duty in the same manner as a member with corresponding 
     years of aviation service who is entitled to basic pay. Such 
     member is entitled to the incentive pay for as long as the 
     member remains qualified for it, as provided in subsection 
     (a). This subsection does not apply to a member who is 
     entitled to basic pay under section 204 of this title.''.
       (b) Effective Date; Application.--The amendment made by 
     this section shall take effect on January 1, 2002, and apply 
     to duty described in the amendment made by subsection (a)(2) 
     on or after that date.

     SEC. 617. SECRETARIAL DISCRETION IN PRESCRIBING SUBMARINE 
                   DUTY INCENTIVE PAY RATES.

       (a) Authority of Secretary of the Navy; Maximum Rate.--
     Section 301c of title 37, United States Code, is amended by 
     striking subsection (b) and inserting the following new 
     subsection:
       ``(b) Monthly Rates.--(1) Subject to paragraph (2), a 
     member who meets the requirements prescribed in subsection 
     (a) is entitled to monthly submarine duty incentive pay in an 
     amount prescribed by the Secretary of the Navy.
       ``(2) The monthly amount of submarine duty incentive pay 
     may not exceed $1,000.''.
       (b) Conforming Amendments.--Such section is further 
     amended--
       (1) in subsection (a), by striking ``set forth in'' each 
     place it appears and inserting ``prescribed pursuant to''; 
     and
       (2) in subsection (d), by striking ``authorized by'' and 
     inserting ``prescribed pursuant to''.
       (c) Effective Date; Transition.--The amendments made by 
     this section shall take effect on January 1, 2002. The tables 
     set forth in subsection (b) of section 301c of title 37, 
     United States Code, as in effect on December 31, 2001, shall 
     continue to apply until the Secretary of the Navy prescribes 
     new submarine duty incentive pay rates as authorized by the 
     amendment made by subsection (a).

     SEC. 618. IMPOSITION OF CRITICAL WARTIME SKILL REQUIREMENT 
                   FOR ELIGIBILITY FOR INDIVIDUAL READY RESERVE 
                   BONUS.

       Section 308h(a)(1) of title 37, United States Code, is 
     amended--
       (1) by striking ``and who'' and inserting ``, who is 
     qualified in a skill or speciality designated by the 
     Secretary concerned as critically short to meet wartime 
     requirements, and who''; and
       (2) by striking ``a combat or combat support skill of''.

     SEC. 619. INSTALLMENT PAYMENT AUTHORITY FOR 15-YEAR CAREER 
                   STATUS BONUS.

       (a) Member Election.--Section 322(d) of title 37, United 
     States Code, is amended--
       (1) in paragraph (1), by striking ``paid in a single lump 
     sum of'' and inserting ``equal to'';
       (2) by redesignating paragraph (2) as paragraph (4), and in 
     such paragraph, by striking ``The bonus'' and inserting ``The 
     lump sum payment of the bonus, and the first installment 
     payment in the case of members who elect to receive the bonus 
     in installments,''; and
       (3) by inserting after paragraph (1) the following new 
     paragraphs:
       ``(2) A member electing to receive the bonus under this 
     section shall elect one of the following payment options:
       ``(A) A single lump sum of $30,000.
       ``(B) Two installments of $15,000 each.
       ``(C) Three installments of $10,000 each.
       ``(D) Four installments of $7,500 each.
       ``(E) Five installments of $6,000 each.
       ``(3) If a member elects installment payments under 
     paragraph (2), the second installment (and subsequent 
     installments, as applicable) shall be paid on the earlier of 
     the following dates:
       ``(A) The annual anniversary date of the payment of the 
     first installment.
       ``(B) January 15 of each succeeding calendar year.''.
       (c) Effective Date; Application.--The amendments made by 
     this section shall take effect on the date of the enactment 
     of this Act. The Secretary concerned (as defined in section 
     101(5) of title 37, United States Code) shall extend to each 
     member of the uniformed services who has executed the written 
     agreement required by subsection (a)(2) of section 322 of 
     such title before that date,

[[Page 20155]]

     but who has not received the lump sum payment by that date, 
     an opportunity to make the election authorized by subsection 
     (d) of such section, as amended by subsection (a) of this 
     section.

     SEC. 620. ACCESSION BONUS FOR NEW OFFICERS.

       (a) Bonus Authorized.--Chapter 5 of title 37, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 324. Special pay: accession bonus for new officers

       ``(a) Accession Bonus Authorized.--Under regulations 
     prescribed by the Secretary concerned, a person who executes 
     a written agreement to accept a commission as an officer of 
     the armed forces and serve on active duty for the period 
     specified in the agreement may, upon acceptance of the 
     agreement by the Secretary concerned, be paid an accession 
     bonus in an amount determined by the Secretary concerned.
       ``(b) Limitation on Amount of Bonus.--The amount of an 
     accession bonus under subsection (a) may not exceed $100,000.
       ``(c) Payment Method.--Upon acceptance of a written 
     agreement under subsection (a) by the Secretary concerned, 
     the total amount of the accession bonus payable under the 
     agreement becomes fixed. The agreement shall specify whether 
     the accession bonus will be paid by the Secretary in a lump 
     sum or installments.
       ``(d) Relation to Other Accession Bonus Authority.--An 
     individual may not receive a accession bonus under this 
     section and section 302d, 302h, 302j, or 312b of this title 
     for the same period of service.
       ``(e) Repayment.--(1) If an individual who has entered into 
     an agreement under subsection (a) and has received all or 
     part of the accession bonus under the agreement fails to 
     accept a commission as an officer or to commence or complete 
     the total period of active duty service specified in the 
     agreement, the Secretary concerned may require the individual 
     to repay the United States, on a pro rata basis and to the 
     extent that the Secretary determines conditions and 
     circumstances warrant, any or all of the amount paid to the 
     individual under the agreement.
       ``(2) An obligation to repay the United States imposed 
     under paragraph (1) is for all purposes a debt owed to the 
     United States.
       ``(3) A discharge in bankruptcy under title 11 that is 
     entered less than five years after the termination of a 
     written agreement entered into under subsection (a) does not 
     discharge the individual signing the agreement from a debt 
     arising under such agreement or under paragraph (1).''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``324. Special pay: accession bonus for new officers.''.

            Subtitle C--Travel and Transportation Allowances

     SEC. 631. MINIMUM PER DIEM RATE FOR TRAVEL AND TRANSPORTATION 
                   ALLOWANCE FOR TRAVEL PERFORMED UPON A CHANGE OF 
                   PERMANENT STATION AND CERTAIN OTHER TRAVEL.

       (a) Establishment of Rate.--Section 404(d) of title 37, 
     United States Code, is amended by adding at the end the 
     following new paragraph:
       ``(5) The per diem rates established under paragraph (2)(A) 
     for travel performed in connection with a change of permanent 
     station or for travel described in paragraph (2) or (3) of 
     subsection (a) shall be equal to the standard per diem rates 
     established in the Federal travel regulation for travel 
     within the continental United States of civilian employees 
     and their dependents, unless the Secretaries concerned 
     determines that a higher rate for members is more 
     appropriate.''.
       (b) Effective Date; Application.--The amendment made by 
     this section shall take effect on January 1, 2003, and apply 
     to travel covered by such amendment that is performed on or 
     after that date by members of the uniformed services and 
     their dependents.

     SEC. 632. PAYMENT OR REIMBURSEMENT OF TEMPORARY SUBSISTENCE 
                   EXPENSES.

       (a) Inclusion of Officers.--Subsection (a)(2)(C) of section 
     404a of title 37, United States Code, is amended by striking 
     ``an enlisted member'' and inserting ``a member''.
       (b) Increase in Maximum Daily Authorized Rate.--Subsection 
     (e) of such section is amended by striking ``$110'' and 
     inserting ``$180''.
       (c) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2002, and apply 
     with respect to an order in connection with a change of 
     permanent station issued on or after that date.

     SEC. 633. INCREASED WEIGHT ALLOWANCE FOR TRANSPORTATION OF 
                   BAGGAGE AND HOUSEHOLD EFFECTS FOR JUNIOR 
                   ENLISTED MEMBERS.

       (a) Increased Weight Allowances.--The table in section 
     406(b)(1)(C) of title 37, United States Code, is amended--
       (1) by striking the two footnotes; and
       (2) by striking the items relating to pay grade E-1 through 
     E-4 and inserting the following new items:
 ``E-4.............................................      7,000      8,000
``E-3.............................................      5,000      8,000
``E-2.............................................      5,000      8,000
``E-1.............................................      5,000   8,000''.
       (b) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2003, and apply 
     with respect to an order in connection with a change of 
     temporary or permanent station issued on or after that date.

     SEC. 634. REIMBURSEMENT OF MEMBERS FOR MANDATORY PET 
                   QUARANTINE FEES FOR HOUSEHOLD PETS.

       Section 406(a)(1) of title 37, United States Code, is 
     amended in the last sentence by striking ``$275'' and 
     inserting ``$675''.

     SEC. 635. AVAILABILITY OF DISLOCATION ALLOWANCE FOR MARRIED 
                   MEMBER, WHOSE SPOUSE IS A MEMBER, ASSIGNED TO 
                   MILITARY FAMILY HOUSING.

       (a) Allowance Available.--Section 407(a)(2) of title 37, 
     United States Code, is amended by adding at the end the 
     following new subparagraph:
       ``(F) A member married to another member, both of whom are 
     without other dependents, who actually moves to a new 
     permanent duty station where the member is assigned to family 
     housing provided by the United States, except that only one 
     dislocation allowance may be paid to the married couple with 
     respect to the move.''.
       (b) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2003, and apply 
     with respect to an order to move for a member of a uniformed 
     service issued on or after that date.

     SEC. 636. ELIMINATION OF PROHIBITION ON RECEIPT OF 
                   DISLOCATION ALLOWANCE BY MEMBERS ORDERED TO 
                   FIRST DUTY STATION.

       (a) Allowance Available.--Section 407(e) of title 37, 
     United States Code, is amended--
       (1) by striking ``First or Last Duty'' and inserting 
     ``Effect of Order From Last Duty Station''; and
       (2) by striking ``from the member's home to the member's 
     first duty station or''.
       (b) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2003, and apply 
     with respect to an order to move for a member of a uniformed 
     service issued on or after that date.

     SEC. 637. PARTIAL DISLOCATION ALLOWANCE AUTHORIZED FOR 
                   HOUSING MOVES ORDERED FOR GOVERNMENT 
                   CONVENIENCE.

       (a) Authorization of Partial Dislocation Allowance.--
     Section 407 of title 37, United States Code is amended--
       (1) by redesignating subsections (f) and (g) as subsections 
     (g) and (h), respectively; and
       (2) by inserting after subsection (e) the following new 
     subsection:
       ``(f) Partial Dislocation Allowance.--(1) Under regulations 
     prescribed by the Secretary concerned, a member ordered to 
     occupy or vacate family housing provided by the United States 
     to permit the privatization or renovation of housing or for 
     any other reason (other than pursuant to a permanent change 
     of station) may be paid a partial dislocation allowance of 
     $500.
       ``(2) Effective on the same date that the monthly rates of 
     basic pay for all members are increased under section 1009 of 
     this title or another provision of law, the Secretary of 
     Defense shall adjust the rate of the partial dislocation 
     allowance authorized by this subsection by the percentage 
     equal to the average percentage increase in the rates of 
     basic pay.
       ``(3) Subsections (c) and (d) do not apply to the partial 
     dislocation allowance authorized by this subsection.''.
       (b) Effective Date; Application.--The amendments made by 
     this section shall take effect on January 1, 2002, and apply 
     with respect to an order to move for a member of a uniformed 
     service issued on or after that date.

     SEC. 638. ALLOWANCES FOR TRAVEL PERFORMED IN CONNECTION WITH 
                   MEMBERS TAKING AUTHORIZED LEAVE BETWEEN 
                   CONSECUTIVE OVERSEAS TOURS.

       Section 411b(a)(1) of title 37, United States Code, is 
     amended by striking ``, or his designee, or to a place no 
     farther distant than his home of record''.

     SEC. 639. FUNDED STUDENT TRAVEL AS PART OF SCHOOL-SPONSORED 
                   EXCHANGE PROGRAMS.

       (a) Recognition of Temporary Exchange Programs.--Section 
     430 of title 37, United States Code, is amended--
       (1) in subsection (a)(3), by inserting before the comma at 
     the end the following: ``or is attending a school outside the 
     continental United States, if the dependent is attending the 
     school outside the continental United States for less than 
     one year under a program approved by the school in the 
     continental United States at which the dependent is 
     enrolled''; and
       (2) in subsection (b)(1), by striking ``in the continental 
     United States for the purpose of obtaining a formal 
     education'' in the first sentence and inserting ``described 
     in subsection (a)(3)''.
       (b) Limitation on Amount of Allowance.--Subsection (b) of 
     such section is

[[Page 20156]]

     amended by adding at the end the following new paragraph:
       ``(3) The transportation allowance under paragraph (1) for 
     a dependent child who is attending a school outside the 
     continental United States for less than one year under a 
     program approved by the school in the continental United 
     States at which the dependent is enrolled shall not exceed 
     the allowance the member would be paid for a trip between the 
     school in the continental United States and the member's duty 
     station outside the continental United States and return.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on January 1, 2002.

          Subtitle D--Retirement and Survivor Benefit Matters

     SEC. 641. CONTINGENT AUTHORITY FOR CONCURRENT RECEIPT OF 
                   MILITARY RETIRED PAY AND VETERANS' DISABILITY 
                   COMPENSATION.

       (a) Restoration of Retired Pay Benefits.--Chapter 71 of 
     title 10, United States Code, is amended by adding at the end 
     the following new section:

     ``Sec. 1414. Members eligible for retired pay who have 
       service-connected disabilities: payment of retired pay and 
       veterans' disability compensation; contingent authority

       ``(a) Payment of Both Retired Pay and Compensation.--
     Subject to subsection (b), a member or former member of the 
     uniformed services who is entitled to retired pay (other than 
     as specified in subsection (c)) and who is also entitled to 
     veterans' disability compensation is entitled to be paid both 
     without regard to sections 5304 and 5305 of title 38, subject 
     to the enactment of qualifying offsetting legislation as 
     specified in subsection (f).
       ``(b) Special Rule for Chapter 61 Career Retirees.--The 
     retired pay of a member retired under chapter 61 of this 
     title with 20 years or more of service otherwise creditable 
     under section 1405 of this title at the time of the member's 
     retirement is subject to reduction under sections 5304 and 
     5305 of title 38, but only to the extent that the amount of 
     the member's retired pay under chapter 61 of this title 
     exceeds the amount of retired pay to which the member would 
     have been entitled under any other provision of law based 
     upon the member's service in the uniformed services if the 
     member had not been retired under chapter 61 of this title.
       ``(c) Exception.--Subsection (a) does not apply to a member 
     retired under chapter 61 of this title with less than 20 
     years of service otherwise creditable under section 1405 of 
     this title at the time of the member's retirement.
       ``(d) Definitions.--In this section:
       ``(1) The term `retired pay' includes retainer pay, 
     emergency officers' retirement pay, and naval pension.
       ``(2) The term `veterans' disability compensation' has the 
     meaning given the term `compensation' in section 101(12) of 
     title 38.
       ``(e) Effective Date.--If qualifying offsetting legislation 
     (as defined in subsection (f)) is enacted, the provisions of 
     subsection (a) shall take effect on--
       ``(1) the first day of the first month beginning after the 
     date of the enactment of such qualifying offsetting 
     legislation; or
       ``(2) the first day of the fiscal year that begins in the 
     calendar year in which such legislation is enacted, if that 
     date is later than the date specified in paragraph (1).
       ``(f) Effectiveness Contingent on Enactment of Offsetting 
     Legislation.--(1) The provisions of subsection (a) shall be 
     effective only if--
       ``(A) the President, in the budget for any fiscal year, 
     proposes the enactment of legislation that, if enacted, would 
     be qualifying offsetting legislation; and
       ``(B) after that budget is submitted to Congress, there is 
     enacted qualifying offsetting legislation.
       ``(2) For purposes of this subsection:
       ``(A) The term `qualifying offsetting legislation' means 
     legislation (other than an appropriations Act) that includes 
     provisions that--
       ``(i) offset fully the increased outlays to be made by 
     reason of the provisions of subsection (a) for each of the 
     first 10 fiscal years beginning after the date of the 
     enactment of such legislation;
       ``(ii) expressly state that they are enacted for the 
     purpose of the offset described in clause (i); and
       ``(iii) are included in full on the PayGo scorecard.
       ``(B) The term `PayGo scorecard' means the estimates that 
     are made by the Director of the Congressional Budget Office 
     and the Director of the Office of Management and Budget under 
     section 252(d) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (2 U.S.C. 902(d)) with respect to the ten 
     fiscal years following the date of the enactment of the 
     legislation that is qualifying offsetting legislation for 
     purposes of this section.''.
       (b) Conforming Termination of Special Compensation 
     Program.--Section 1413(a) of such title is amended by adding 
     at the end the following new sentence: ``If the provisions of 
     subsection (a) of section 1414 of this title become effective 
     in accordance with subsection (f) of that section, payments 
     under this section shall be terminated effective as of the 
     month beginning on the effective date specified in subsection 
     (e) of that section.''.
       (c) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1414. Members eligible for retired pay who have service-connected 
              disabilities: payment of retired pay and veterans' 
              disability compensation; contingent authority.''.
       (d) Prohibition of Retroactive Benefits.--If the provisions 
     of subsection (a) of section 1414 of title 10, United States 
     Code, becomes effective in accordance with subsection (f) of 
     that section, no benefit may be paid to any person by reason 
     of those provisions for any period before the effective date 
     specified in subsection (e) of that section.

                       Subtitle E--Other Matters

     SEC. 651. FUNERAL HONORS DUTY ALLOWANCE FOR RETIRED MEMBERS.

       (a) Allowance Authorized.--Subsection (a) of section 435 of 
     title 37, United States Code, is amended--
       (1) by inserting ``(1)'' before ``The Secretary''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Secretary concerned may also authorize payment of 
     an allowance under this section to a retired member of the 
     armed forces who performs at least two hours of duty 
     preparing for or performing honors at the funeral of a 
     veteran.''.
       (b) Relation to Other Compensation.--Such section is 
     further amended by adding at the end the following new 
     subsection:
       ``(c) Concurrent Payment.--Notwithstanding any other 
     provision of law, the allowance paid to a retired member of 
     the armed forces under this section shall be in addition to 
     any other compensation to which the retired member may be 
     entitled under this title or titles 10 or 38.''.

                   TITLE VII--HEALTH CARE PROVISIONS

                      Subtitle A--TRICARE Program

     SEC. 701. IMPLEMENTING COST-EFFECTIVE PAYMENT RATES UNDER THE 
                   TRICARE PROGRAM.

       Not later than January 1, 2002, the Secretary of Defense 
     shall, with respect to categories of health care providers or 
     services for which the Secretary has not already done so and 
     to the extent that the Secretary determines is practicable--
       (1) implement the payment rates used under medicare, or 
     similar rates based on medicare payment methods, to pay for 
     health care services provided by institutional and 
     noninstitutional providers under the TRICARE program; and
       (2) as a condition of participation in the TRICARE program, 
     prohibit balance billing of covered beneficiaries by 
     institutional providers and limit balance billing by 
     noninstitutional providers (subject to any exceptions the 
     Secretary determines appropriate) consistent with the 
     limiting charge percentage under medicare.

     SEC. 702. WAIVER OF NONAVAILABILITY STATEMENT OR 
                   PREAUTHORIZATION REQUIREMENT.

       (a) In General.--Section 721 of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted in Public Law 106-398; 114 Stat. 1654A-184) is 
     amended--
       (1) in the matter preceding paragraph (1) in subsection 
     (a), by striking ``new'';
       (2) by striking subsection (c) and inserting the following:
       ``(c) Exceptions.--(1) Subject to paragraph (2), the 
     Secretary may provide that subsection (a) shall not apply for 
     a period of up to one year if--
       ``(A) the Secretary--
       ``(i) demonstrates significant costs would be avoided by 
     performing specific procedures at the affected military 
     medical treatment facility or facilities;
       ``(ii) determines that a specific procedure must be 
     provided at the affected military medical treatment facility 
     or facilities to ensure the proficiency levels of the 
     practitioners at the facility or facilities; or
       ``(iii) determines that the lack of nonavailability 
     statement data would significantly interfere with TRICARE 
     contract administration;
       ``(B) the Secretary provides notification of the 
     Secretary's intent to make an exception under this subsection 
     to covered beneficiaries who receive care at the military 
     medical treatment facility or facilities that will be 
     affected by the decision to make an exception under this 
     subsection;
       ``(C) the Secretary provides notification to the Committees 
     on Armed Services of the House of Representatives and the 
     Senate of the Secretary's intent to make an exception under 
     this subsection, the reason for making an exception, and the 
     date that a nonavailability statement will be required; and
       ``(D) 60 days have elapsed since the date of the 
     notification described in subparagraph (C).
       ``(2)(A) Except as provided in subparagraph (B), the 
     Secretary may make an exception under this subsection with 
     respect to--
       ``(i) one or more services performed at a military medical 
     treatment facility or facilities; or
       ``(ii) one or more services performed in a TRICARE region.
       ``(B) With respect to maternity care, the Secretary may 
     make an exception under this

[[Page 20157]]

     subsection with respect to a military medical treatment 
     facility.
       ``(3) In the case of health care provided in conjunction 
     with a graduate medical education program, the period of 
     nonapplicability described in paragraph (1) shall be, instead 
     of one year, the period for which a residency review 
     committee has approved the program.''; and
       (3) in subsection (d), by striking ``October 1, 2001'' and 
     inserting ``two years after the date of the enactment of the 
     National Defense Authorization Act for Fiscal Year 2002''.
       (b) Report.--Not later than March 1, 2002, the Secretary of 
     Defense shall submit to the Committees on Armed Services of 
     the House of Representatives and the Senate a report on the 
     Secretary's plans for implementing such section.

     SEC. 703. IMPROVEMENTS IN ADMINISTRATION OF THE TRICARE 
                   PROGRAM.

       (a) Expansion of TRICARE Program.--Section 1072(7) of title 
     10, United States Code, is amended by striking ``the 
     competitive selection of contractors to financially 
     underwrite''.
       (b) Reduction of Contract Start-Up Time.--Section 1095c(b) 
     of such title is amended--
       (1) in paragraph (1)--
       (A) by striking ``The'' and inserting ``Except as provided 
     in paragraph (3), the''; and
       (B) by striking ``contract.'' and all that follows through 
     ``as soon as practicable after the award of the''; and
       (2) by adding at the end the following new paragraph:
       ``(3) The Secretary may reduce the nine-month start-up 
     period required under paragraph (1) if--
       ``(A) the Secretary--
       ``(i) determines that a shorter period is sufficient to 
     ensure effective implementation of all contract requirements; 
     and
       ``(ii) submits notification to the Committees on Armed 
     Services of the House of Representatives and the Senate of 
     the Secretary's intent to reduce the nine-month start-up 
     period; and
       ``(B) 60 days have elapsed since the date of such 
     notification.''.

     SEC. 704. SUB-ACUTE AND LONG-TERM CARE PROGRAM REFORM.

       (a) In General.--(1) Chapter 55 of title 10, United States 
     Code, is amended by inserting after section 1074i the 
     following new section:

     ``Sec. 1074j. Sub-acute care program

       ``(a) Establishment.--The Secretary of Defense shall 
     establish an effective, efficient, and integrated sub-acute 
     care benefits program under this chapter (hereinafter 
     referred to in this section as the `program'). Except as 
     otherwise provided in this section, the types of health care 
     authorized under the program shall be the same as those 
     provided under section 1079 of this title. The Secretary, 
     after consultation with the other administering Secretaries, 
     shall promulgate regulations to carry out this section.
       ``(b) Benefits.--(1) The program shall include a uniform 
     skilled nursing facility benefit that shall be provided in 
     the manner and under the conditions described in section 
     1861(h) and (i) of the Social Security Act (42 U.S.C. 
     1395x(h) and (i)), except that the limitation on the number 
     of days of coverage under section 1812(a) and (b) of such Act 
     (42 U.S.C. 1395d(a) and (b)) shall not be applicable under 
     the program. Skilled nursing facility care for each spell of 
     illness shall continue to be provided for as long as 
     medically necessary and appropriate.
       ``(2) In this subsection:
       ``(A) The term `skilled nursing facility' has the meaning 
     given such term in section 1819(a) of the Social Security Act 
     (42 U.S.C. 1395i-3(a)).
       ``(B) The term `spell of illness' has the meaning given 
     such term in section 1861(a) of such Act (42 U.S.C. 
     1395x(a)).
       ``(3) The program shall include a comprehensive, 
     intermittent home health care benefit that shall be provided 
     in the manner and under the conditions described in section 
     1861(m) of the Social Security Act (42 U.S.C. 1395x(m)).''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     1074i the following new item:

``1074j. Sub-acute care program.''.
       (b) Extended Benefits for Certain Dependents.--Section 1079 
     of such title is amended by striking subsections (d), (e), 
     and (f) and inserting the following new subsections:
       ``(d)(1) The Secretary of Defense shall establish a program 
     to provide extended benefits for eligible dependents, which 
     may include the provision of comprehensive health care 
     services, including case management services, to assist in 
     the reduction of the disabling effects of a qualifying 
     condition of an eligible dependent. Registration shall be 
     required to receive the extended benefits.
       ``(2) The Secretary of Defense, after consultation with the 
     other administering Secretaries, shall promulgate regulations 
     to carry out this subsection.
       ``(3) In this subsection:
       ``(A) The term `eligible dependent' means a dependent of a 
     member of the uniformed services on active duty for a period 
     of more than 30 days, as described in subparagraph (A), (D), 
     or (I) of section 1072(2) of this title, who has a qualifying 
     condition.
       ``(B) The term `qualifying condition' means the condition 
     of a dependent who is moderately or severely mentally 
     retarded, has a serious physical disability, or has an 
     extraordinary physical or psychological condition.
       ``(e) Extended benefits for eligible dependents under 
     subsection (d) may include comprehensive health care services 
     with respect to the qualifying condition of such a dependent, 
     and include, to the extent such benefits are not provided 
     under provisions of this chapter other than under this 
     section, the following:
       ``(1) Diagnosis.
       ``(2) Inpatient, outpatient, and comprehensive home health 
     care supplies and services.
       ``(3) Training, rehabilitation, and special education.
       ``(4) Institutional care in private nonprofit, public, and 
     State institutions and facilities and, if appropriate, 
     transportation to and from such institutions and facilities.
       ``(5) Custodial care, notwithstanding the prohibition in 
     section 1077(b)(1) of this title.
       ``(6) Respite care for the primary caregiver of the 
     eligible dependent.
       ``(7) Such other services and supplies as determined 
     appropriate by the Secretary, notwithstanding the limitations 
     in subsection (a)(13).
       ``(f) Members shall be required to share in the cost of any 
     benefits provided to their dependents under subsection (d) as 
     follows:
       ``(1) Members in the lowest enlisted pay grade shall be 
     required to pay the first $25 incurred each month, and 
     members in the highest commissioned pay grade shall be 
     required to pay the first $250 incurred each month. The 
     amounts to be paid by members in all other pay grades shall 
     be determined under regulations to be prescribed by the 
     Secretary of Defense in consultation with the administering 
     Secretaries.
       ``(2) A member who has more than one dependent incurring 
     expenses in a given month under a plan covered by subsection 
     (d) shall not be required to pay an amount greater than would 
     be required if the member had only one such dependent.''.
       (c) Definitions of Custodial Care and Domiciliary Care.--
     Section 1072 of title 10, United States Code, is amended by 
     adding at the end the following new paragraphs:
       ``(8) The term `custodial care' means treatment or 
     services, regardless of who recommends such treatment or 
     services or where such treatment or services are provided, 
     that--
       ``(A) can be rendered safely and reasonably by a person who 
     is not medically skilled; or
       ``(B) is or are designed mainly to help the patient with 
     the activities of daily living.
       ``(9) The term `domiciliary care' means care provided to a 
     patient in an institution or homelike environment because--
       ``(A) providing support for the activities of daily living 
     in the home is not available or is unsuitable; or
       ``(B) members of the patient's family are unwilling to 
     provide the care.''.
       (d) Conforming Amendment.--Section 1079 of title 10, United 
     States Code, is amended in subsection (a) by striking 
     paragraph (17).
       (e) Continuation of Individual Case Management Services for 
     Certain Eligible Beneficiaries.--(1) Notwithstanding the 
     termination of the Individual Case Management Program by 
     subsection (d), the Secretary of Defense shall, in any case 
     in which the Secretary makes the determination described in 
     paragraph (2), continue to provide payment as if such program 
     were in effect for home health care or custodial care 
     services provided to an eligible beneficiary that would 
     otherwise be excluded from coverage under regulations 
     implementing chapter 55 of title 10, United States Code.
       (2) The determination referred to in paragraph (1) is a 
     determination that discontinuation of payment for services 
     not otherwise provided under such chapter would result in the 
     provision of services inadequate to meet the needs of the 
     eligible beneficiary and would be unjust to such beneficiary.
       (3) For purposes of this subsection, ``eligible 
     beneficiary'' means a covered beneficiary (as that term is 
     defined in section 1072 of title 10, United States Code) who, 
     before the effective date of this section, was provided 
     custodial care services under the Individual Case Management 
     Program for which the Secretary provided payment.
       (f) Report on Initiatives Regarding Long-Term Care.--The 
     Secretary of Defense shall, not later than April 1, 2002, 
     submit to Congress a report on the feasibility and 
     desirability of establishing new initiatives, taking into 
     account chapter 90 of title 5, United States Code, to improve 
     the availability of long-term care for members and retired 
     members of the uniformed services and their families.
       (g) Reference in Title 10 to Long-Term Care Program in 
     Title 5.--(1) Chapter 55 of title 10, United States Code, is 
     amended by inserting after section 1074j (as added by 
     subsection (a)) the following new section:

     ``Sec. 1074k. Long-term care insurance

       ``Provisions regarding long-term care insurance for members 
     and certain former members of the uniformed services and 
     their families are set forth in chapter 90 of title 5.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after

[[Page 20158]]

     the item relating to section 1074j (as added by subsection 
     (a)) the following new item:

``1074k. Long-term care insurance.''.
       (h) Effective Date.--This section, and the amendments made 
     by this section, shall take effect on October 1, 2001.

     SEC. 705. REIMBURSEMENT OF TRAVEL EXPENSES OF A PARENT, 
                   GUARDIAN, OR RESPONSIBLE FAMILY MEMBER OF A 
                   MINOR COVERED BENEFICIARY.

       Section 1074i of title 10, United States Code, is amended 
     by adding at the end the following new sentence: ``In any 
     case in which reimbursement of travel expenses of a covered 
     beneficiary who is a minor and dependent is required under 
     this section, the Secretary also shall provide reimbursement 
     for reasonable travel expenses of the parent or guardian of, 
     or the family member responsible for, such covered 
     beneficiary.''.

                       Subtitle B--Other Matters

     SEC. 711. PROHIBITION AGAINST REQUIRING MILITARY RETIREES TO 
                   RECEIVE HEALTH CARE SOLELY THROUGH THE 
                   DEPARTMENT OF DEFENSE.

       No provision of law (whether enacted before or after this 
     Act) may be construed as authorizing the Secretary of Defense 
     to take any action that would require, or have the effect of 
     requiring, a member or former member of the Armed Forces who 
     is entitled to retired or retainer pay to enroll to receive 
     health care from the Federal Government only through the 
     Department of Defense. This section may not be superseded by 
     a subsequent Act unless that Act--
       (1) specifically refers to this section; and
       (2) specifically states that such provision of law 
     supersedes the provisions of this section.

     SEC. 712. TRAUMA AND MEDICAL CARE PILOT PROGRAM.

       (a) Requirement To Conduct Pilot Program.--The Secretary of 
     Defense shall conduct a pilot program under which the Brooke 
     Army Medical Center and the Wilford Hall Air Force Medical 
     Center in San Antonio, Texas, may charge civilians who are 
     not covered beneficiaries under chapter 55 of title 10, 
     United States Code, fees representing the actual costs of 
     trauma and other medical care provided to such civilians 
     using private sector itemized rates.
       (b) Use of Fees Collected.--(1) The Brooke Army Medical 
     Center and the Wilford Hall Air Force Medical Center may use 
     the amounts collected under the pilot program for--
       (A) trauma consortium activities;
       (B) administrative, operating, and equipment costs; and
       (C) readiness training.
       (2) The operating budgets of those medical centers shall 
     not be reduced as a result of fees collected under the pilot 
     program.
       (c) Efficient Practices.--Under the pilot program, the 
     commander of the Brooke Army Medical Center or Wilford Hall 
     Air Force Medical Center may authorize the use of funds 
     appropriated to the Department of Defense for medical care 
     for trauma and other medical care provided at such center to 
     civilians described in subsection (a).
       (d) Length of Pilot Program.--The pilot program under this 
     section shall commence on October 1, 2001, and be conducted 
     for a period of three years.
       (e) Reports.--The Secretary of Defense shall submit to 
     Congress not later than October 1st of each of 2002 through 
     2004 a report describing the progress and effectiveness of 
     the pilot program carried out under this section.

     SEC. 713. ENHANCEMENT OF MEDICAL PRODUCT DEVELOPMENT.

       Section 980 of title 10, United States Code, is amended--
       (1) by inserting ``(a)'' before ``Funds''; and
       (2) by adding at the end the following new subsection:
       ``(b) The Secretary of Defense may waive the prohibition in 
     this section with respect to a specific research project to 
     advance the development of a medical product necessary to the 
     armed forces if the research project is carried out in 
     accordance with all other applicable laws.''.

     SEC. 714. REPEAL OF OBSOLETE REPORT REQUIREMENT.

       Section 701 of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 10 U.S.C. 1074g note) is 
     amended by striking subsection (d).

     SEC. 715. CLARIFICATIONS AND IMPROVEMENTS REGARDING THE 
                   DEPARTMENT OF DEFENSE MEDICARE-ELIGIBLE RETIREE 
                   HEALTH CARE FUND.

       (a) Clarification Regarding Coverage.--Subsection (b) of 
     section 1111 of title 10, United States Code, is amended to 
     read as follows:
       ``(b) In this chapter:
       ``(1) The term `Department of Defense retiree health care 
     programs' means the provisions of this title or any other 
     provision of law creating an entitlement to or eligibility 
     for health care under a Department of Defense or uniformed 
     service program for a member or former member of a 
     participating uniformed service who is entitled to retired or 
     retainer pay, and an eligible dependent under such program.
       ``(2) The term `eligible dependent' means a dependent (as 
     such term is defined in section 1072(2) of this title) 
     described in section 1076(a)(2) (other than a dependent of a 
     member on active duty), 1076(b), 1086(c)(2), or 1086(c)(3).
       ``(3) The term `medicare-eligible', with respect to any 
     person, means entitled to benefits under part A of title 
     XVIII of the Social Security Act (42 U.S.C. 1395c et seq.).
       ``(4) The term `participating uniformed service' means the 
     Army, Navy, Air Force, and Marine Corps, and any other 
     uniformed service that is covered by an agreement entered 
     into under subsection (c).''.
       (b) Participation of Other Uniformed Services.--(1) Section 
     1111 of such title is further amended by adding at the end 
     the following new subsection:
       ``(c) The Secretary of Defense may enter into an agreement 
     with any other administering Secretary (as defined in section 
     1072(3)) for participation in the Fund by a uniformed service 
     under the jurisdiction of that Secretary. Any such agreement 
     shall require that Secretary to make contributions to the 
     Fund on behalf of the members of the uniformed service under 
     the jurisdiction of that Secretary comparable to the 
     contributions to the Fund made by the Secretary of Defense 
     under section 1116, and such administering Secretary may make 
     such contributions.''.
       (2) Section 1112 of such title is amended by adding at the 
     end the following new paragraph:
       ``(4) Amounts paid into the Fund pursuant to section 
     1111(c).''.
       (3) Section 1115 of such title is amended--
       (A) in subsection (a), by inserting ``participating'' 
     before ``uniformed services'';
       (B) in subparagraphs (A)(ii) and (B)(ii) of subsection 
     (b)(1), by inserting ``under the jurisdiction of the 
     Secretary of Defense'' after ``uniformed services'';
       (C) in subsection (b)(2), by inserting ``(or to the other 
     executive department having jurisdiction over the 
     participating uniformed service)'' after ``Department of 
     Defense''; and
       (D) in subparagraphs (A) and (B) of subsection (c)(1), by 
     inserting ``participating'' before ``uniformed services''.
       (4) Section 1116(a) of such title is amended in paragraphs 
     (1)(B) and (2)(B) by inserting ``under the jurisdiction of 
     the Secretary of Defense'' after ``uniformed services''.
       (c) Clarification of Payments From the Fund.--(1) 
     Subsection (a) of section 1113 of such title is amended to 
     read as follows:
       ``(a) There shall be paid from the Fund amounts payable for 
     the costs of all Department of Defense retiree health care 
     programs for the benefit of members or former members of a 
     participating uniformed service who are entitled to retired 
     or retainer pay and are medicare eligible, and eligible 
     dependents described in section 1111(b)(3) who are medicare 
     eligible.''.
       (2) Such section is further amended by adding at the end 
     the following new subsections:
       ``(c)(1) In carrying out subsection (a), the Secretary of 
     Defense may transfer periodically from the Fund to applicable 
     appropriations of the Department of Defense, or to applicable 
     appropriations of other departments or agencies, such amounts 
     as the Secretary determines necessary to cover the costs 
     chargeable to those appropriations for Department of Defense 
     retiree health care programs for beneficiaries under those 
     programs who are medicare-eligible. Such transfers may 
     include amounts necessary for the administration of such 
     programs. Amounts so transferred shall be merged with and be 
     available for the same purposes and for the same time period 
     as the appropriation to which transferred. Upon a 
     determination that all or part of the funds transferred from 
     the Fund are not necessary for the purposes for which 
     transferred, such amounts may be transferred back to the 
     Fund. This transfer authority is in addition to any other 
     transfer authority that may be available to the Secretary.
       ``(2) A transfer from the Fund under paragraph (1) may not 
     be made to an appropriation after the end of the second 
     fiscal year after the fiscal year that the appropriation is 
     available for obligation. A transfer back to the Fund under 
     paragraph (1) may not be made after the end of the second 
     fiscal year after the fiscal year that the appropriation to 
     which the funds were originally transferred is available for 
     obligation.
       ``(d) The Secretary of Defense shall by regulation 
     establish the method or methods for calculating amounts to be 
     transferred under subsection (c). Such method or methods may 
     be based (in whole or in part) on a proportionate share of 
     the volume (measured as the Secretary determines appropriate) 
     of health care services provided or paid for under Department 
     of Defense retiree health care programs for beneficiaries 
     under those programs who are medicare-eligible in relation to 
     the total volume of health care services provided or paid for 
     under Department of Defense health care programs.
       ``(e) The regulations issued by the Secretary under 
     subsection (d) shall be provided to the Comptroller General 
     not less than 60 days before such regulations become 
     effective. The Comptroller General shall, not later than 30 
     days after receiving such regulations, report to the 
     Secretary of Defense and Congress on the adequacy and 
     appropriateness of the regulations.
       ``(f) If the Secretary of Defense enters into an agreement 
     with another administering Secretary pursuant to section 
     1111(c), the Secretary of Defense may take actions comparable 
     to those described in subsections (c),

[[Page 20159]]

     (d), and (e) to effect comparable activities in relation to 
     the beneficiaries and programs of the other participating 
     uniformed service.''.
       (d) Source of Funds for Monthly Accrual Payments Into the 
     Fund.--Section 1116 of such title is further amended--
       (1) in subsection (a)(2)(B) (as amended by subsection 
     (b)(7)), by striking the sentence beginning ``Amounts paid 
     into''; and
       (2) by adding at the end the following new subsection:
       ``(c) Amounts paid into the Fund under subsection (a) shall 
     be paid from funds available for the health care programs of 
     the participating uniformed services under the jurisdiction 
     of the respective administering Secretaries.''.
       (e) Limitation on Total Amount Contributed During a Fiscal 
     Year.--Section 1116 of such title is further amended by 
     adding at the end the following new subsection:
       ``(d) In no case may the total amount of monthly 
     contributions to the Fund during a fiscal year under 
     subsection (a) exceed the amount paid from the Fund during 
     such fiscal year under section 1113.''.
       (f) Technical Amendments.--(1) The heading for section 1111 
     of such title is amended to read as follows:

     ``Sec. 1111. Establishment and purpose of Fund; definitions; 
       authority to enter into agreements''.

       (2) The item relating to section 1111 in the table of 
     sections at the beginning of chapter 56 of such title is 
     amended to read as follows:

``1111. Establishment and purpose of Fund; definitions; authority to 
              enter into agreements.''.
       (3) Section 1115(c)(1)(B) of such title is amended by 
     inserting an open parenthesis before ``other than for 
     training)''.
       (g) Effective Date.--The amendments made by this section 
     shall take effect as if included in the enactment of chapter 
     56 of title 10, United States Code, by section 713(a)(1) of 
     the Floyd D. Spence National Defense Authorization Act for 
     Fiscal Year 2001 (Public Law 106-398; 114 Stat. 1654A-179).
       (h) First Year Contributions.--With respect to 
     contributions under section 1116(a) of title 10, United 
     States Code, for the first year that the Department of 
     Defense Medicare-Eligible Retiree Health Care Fund is 
     established under chapter 56 of such title, if the Board of 
     Actuaries is unable to execute its responsibilities with 
     respect to such section, the Secretary of Defense may make 
     contributions under such section using methods and 
     assumptions developed by the Secretary.

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

             Subtitle A--Acquisition Policy and Management

     SEC. 801. ACQUISITION MILESTONES.

       (a) Title 10, U.S.C.--Title 10, United States Code, is 
     amended--
       (1) in section 2366(c), subsections (b)(3)(A), (c)(3)(A), 
     and (h)(1) of section 2432, and section 2434(a), by striking 
     ``engineering and manufacturing development'' each place such 
     words appear and inserting ``system development and 
     demonstration'';
       (2) in section 2400--
       (A) in subsection (a)(2), by striking ``engineering and 
     manufacturing development'' and inserting ``system 
     development and demonstration''; and
       (B) in subsections (a)(1)(A), (a)(2), (a)(4) and (a)(5), by 
     striking ``milestone II'' each place such term appears and 
     inserting ``milestone B''; and
       (3) in section 2435--
       (A) in subsection (b), by striking ``engineering and 
     manufacturing development'' and inserting ``system 
     development and demonstration'';
       (B) in subsection (c)(1), by striking ``demonstration and 
     validation'' and inserting ``system development and 
     demonstration'';
       (C) in subsection (c)(2), by striking ``engineering and 
     manufacturing development'' and inserting ``production and 
     deployment''; and
       (D) in subsection (c)(3), by striking ``production and 
     deployment'' and inserting ``full rate production''.
       (b) Other Laws.--(1) Section 811(c) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted in Public Law 106-398; 114 Stat. 1654A-211) is 
     amended--
       (A) by striking ``Milestone I'' and inserting ``Milestone 
     B'';
       (B) by striking ``Milestone II'' and inserting ``Milestone 
     C''; and
       (C) by striking ``Milestone III'' and inserting ``full rate 
     production''.
       (2) Section 8102(b) of the Department of Defense 
     Appropriations Act, 2001 (Public Law 106-259; 114 Stat. 696) 
     is amended--
       (A) by striking ``Milestone I'' and inserting ``Milestone 
     B'';
       (B) by striking ``Milestone II'' and inserting ``Milestone 
     C''; and
       (C) by striking ``Milestone III'' and inserting ``full rate 
     production''.

     SEC. 802. ACQUISITION WORKFORCE QUALIFICATIONS.

       (a) Qualifications.--Section 1724 of title 10, United 
     States Code, is amended--
       (1) in subsection (a)--
       (A) by striking the matter preceding paragraph (1) and 
     inserting the following:
       ``(a) Contracting Officers.--The Secretary of Defense shall 
     require that, in order to qualify to serve in an acquisition 
     position as a contracting officer with authority to award or 
     administer contracts for amounts above the simplified 
     acquisition threshold referred to in section 2304(g) of this 
     title, an employee of the Department of Defense or member of 
     the armed forces (other than the Coast Guard) must, except as 
     provided in subsections (c) and (d)--'';
       (B) in paragraph (1)--
       (i) by striking ``mandatory''; and
       (ii) by striking ``at the grade level'' and all that 
     follows and inserting ``(A) in the case of an employee, 
     serving in the position within the grade of the General 
     Schedule in which the employee is serving, and (B) in the 
     case of a member of the armed forces, in the member's 
     grade;''; and
       (C) in paragraph (3)(A), by inserting a comma after 
     ``business'';
       (2) by striking subsection (b) and inserting the following 
     new subsection:
       ``(b) GS-1102 Series Positions and Similar Military 
     Positions.--(1) The Secretary of Defense shall require that 
     in order to qualify to serve in a position in the Department 
     of Defense that is in the GS-1102 occupational series an 
     employee or potential employee of the Department of Defense 
     meet the requirements set forth in paragraph (3) of 
     subsection (a). The Secretary may not require that in order 
     to serve in such a position an employee or potential employee 
     meet any of the requirements of paragraphs (1) and (2) of 
     that subsection.
       ``(2) The Secretary of Defense shall require that in order 
     for a member of the armed forces to be selected for an 
     occupational specialty within the armed forces that (as 
     determined by the Secretary) is similar to the GS-1102 
     occupational series a member of the armed forces meet the 
     requirements set forth in paragraph (3) of subsection (a). 
     The Secretary may not require that in order to be selected 
     for such an occupational specialty a member meet any of the 
     requirements of paragraphs (1) and (2) of that subsection.''; 
     and
       (3) by striking subsections (c) and (d) inserting the 
     following new subsections:
       ``(c) Exceptions.--The qualification requirements imposed 
     by the Secretary of Defense pursuant to subsections (a) and 
     (b) shall not apply to an employee of the Department of 
     Defense or member of the armed forces who--
       ``(1) served as a contracting officer with authority to 
     award or administer contracts in excess of the simplified 
     acquisition threshold on or before September 30, 2000;
       ``(2) served, on or before September 30, 2000, in a 
     position either as an employee in the GS-1102 series or as a 
     member of the armed forces in similar occupational specialty;
       ``(3) is in the contingency contracting force; or
       ``(4) is described in subsection (e)(1)(B).
       ``(d) Waiver.--The acquisition career program board 
     concerned may waive any or all of the requirements of 
     subsections (a) and (b) with respect to an employee of the 
     Department of Defense or member of the armed forces if the 
     board certifies that the individual possesses significant 
     potential for advancement to levels of greater responsibility 
     and authority, based on demonstrated job performance and 
     qualifying experience. With respect to each waiver granted 
     under this subsection, the board shall set forth in a written 
     document the rationale for its decision to waive such 
     requirements. Such document shall be submitted to and 
     retained by the Director of Acquisition Education, Training, 
     and Career Development.
       ``(e) Developmental Opportunities.--(1) The Secretary of 
     Defense may--
       ``(A) establish or continue one or more programs for the 
     purpose of recruiting, selecting, appointing, educating, 
     qualifying, and developing the careers of individuals to meet 
     the requirements in subparagraphs (A) and (B) of subsection 
     (a)(3);
       ``(B) appoint individuals to developmental positions in 
     those programs; and
       ``(C) separate from the civil service after a three-year 
     probationary period any individual appointed under this 
     subsection who, as determined by the Secretary, fails to 
     complete satisfactorily any program described in subparagraph 
     (A).
       ``(2) To qualify for any developmental program described in 
     paragraph (1)(A), an individual shall have--
       ``(A) been awarded a baccalaureate degree from an 
     accredited institution of higher education authorized to 
     grant baccalaureate degrees; or
       ``(B) completed at least 24 semester credit hours or the 
     equivalent of study from an accredited institution of higher 
     education in any of the disciplines of accounting, business, 
     finance, law, contracts, purchasing, economics, industrial 
     management, marketing, quantitative methods, or organization 
     and management.
       ``(f) Contingency Contracting Force.--The Secretary shall 
     establish qualification requirements for the contingency 
     contracting force consisting of members of the armed forces 
     whose mission is to deploy in support of contingency 
     operations and other operations of the Department of Defense, 
     including--
       ``(1) completion of at least 24 semester credit hours or 
     the equivalent of study from

[[Page 20160]]

     an accredited institution of higher education or similar 
     educational institution in any of the disciplines of 
     accounting, business, finance, law, contracts, purchasing, 
     economics, industrial management, marketing, quantitative 
     methods, or organization and management; or
       ``(2) passage of an examination that demonstrates skills, 
     knowledge, or abilities comparable to that of an individual 
     who has completed at least 24 semester credit hours or the 
     equivalent of study in any of the disciplines described in 
     paragraph (1).''.
       (b) Clerical Amendment.--Section 1732(c)(2) of such title 
     is amended by inserting a comma after ``business''.

     SEC. 803. TWO-YEAR EXTENSION OF PROGRAM APPLYING SIMPLIFIED 
                   PROCEDURES TO CERTAIN COMMERCIAL ITEMS.

       Section 4202(e) of the Clinger-Cohen Act of 1996 (divisions 
     D and E of Public Law 104-106; 110 Stat. 654; 10 U.S.C. 2304 
     note) is amended by striking ``January 1, 2002'' and 
     inserting ``January 1, 2004''.

     SEC. 804. CONTRACTS FOR SERVICES TO BE PERFORMED OUTSIDE THE 
                   UNITED STATES.

       (a) In General.--Chapter 141 of title 10, United States 
     Code, is amended by inserting after section 2381 the 
     following new section:

     ``Sec. 2382. Contracts for services to be performed outside 
       the United States

       ``The Secretary of Defense may enter into contracts to 
     employ individuals or organizations to perform services in 
     countries other than the United States without regard to laws 
     regarding the negotiation, making, and performance of 
     contracts and performance of work in the United States. 
     Individuals employed by contract to perform such services 
     shall not by virtue of such employment be considered to be 
     employees of the United States Government for purposes of any 
     law administered by the Office of Personnel Management, but 
     the Secretary may determine the applicability to such 
     individuals of any other law administered by the Secretary 
     concerning the employment of such individuals in countries 
     other than the United States.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 2381 the following new item:

``2382. Contracts for services to be performed outside the United 
              States.''.

     SEC. 805. CODIFICATION AND MODIFICATION OF ``BERRY 
                   AMENDMENT'' REQUIREMENTS.

       (a) Berry Amendment Requirements.--(1) Chapter 148 of title 
     10, United States Code, is amended by inserting after section 
     2533 the following new section:

     ``Sec. 2533a. Requirement to buy certain articles from 
       American sources; exceptions

       ``(a) Requirement.--Except as provided in subsections (c) 
     through (g), funds appropriated or otherwise available to the 
     Department of Defense may not be used for the procurement of 
     an item described in subsection (b) if the item is not grown, 
     reprocessed, reused, or produced in the United States.
       ``(b) Covered Items.--An item referred to in subsection (a) 
     is any of the following:
       ``(1) An article or item of--
       ``(A) food;
       ``(B) clothing;
       ``(C) tents, tarpaulins, parachutes, or covers;
       ``(D) cotton and other natural fiber products, woven silk 
     or woven silk blends, spun silk yarn for cartridge cloth, 
     synthetic fabric or coated synthetic fabric (including all 
     textile fibers and yarns that are for use in such fabrics), 
     canvas products, or wool (whether in the form of fiber or 
     yarn or contained in fabrics, materials, or manufactured 
     articles); or
       ``(E) any item of individual equipment manufactured from or 
     containing such fibers, yarns, fabrics, or materials.
       ``(2) Specialty metals, including stainless steel flatware.
       ``(3) Hand or measuring tools.
       ``(c) Exception.--The Secretary of Defense or the Secretary 
     of the military department concerned may waive the 
     requirement in subsection (a) if--
       ``(1) such Secretary determines that satisfactory quality 
     and sufficient quantity of any such article or item described 
     in subsection (b)(1) or specialty metals (including stainless 
     steel flatware) grown, reprocessed, reused, or produced in 
     the United States cannot be procured as and when needed at 
     United States market prices;
       ``(2) such Secretary has provided notice to the public 
     regarding the waiver;
       ``(3) such Secretary has notified the Committees on 
     Appropriations, Armed Services, and Small Business of the 
     House of Representatives and the Senate regarding the waiver 
     and provided a justification to such committees for the 
     waiver; and
       ``(4) 30 days have elapsed since the date of the 
     notification of such committees.
       ``(d) Exception for Certain Procurements Outside the United 
     States.--Subsection (a) does not apply to the following:
       ``(1) Procurements outside the United States in support of 
     combat operations.
       ``(2) Procurements by vessels in foreign waters.
       ``(3) Emergency procurements or procurements of perishable 
     foods by an establishment located outside the United States 
     for the personnel attached to such establishment.
       ``(e) Exception for Specialty Metals and Chemical Warfare 
     Protective Clothing.--Subsection (a) does not preclude the 
     procurement of specialty metals or chemical warfare 
     protective clothing produced outside the United States if--
       ``(1) such procurement is necessary--
       ``(A) to comply with agreements with foreign governments 
     requiring the United States to purchase supplies from foreign 
     sources for the purposes of offsetting sales made by the 
     United States Government or United States firms under 
     approved programs serving defense requirements; or
       ``(B) in furtherance of agreements with foreign governments 
     in which both such governments agree to remove barriers to 
     purchases of supplies produced in the other country or 
     services performed by sources of the other country; and
       ``(2) any such agreement with a foreign government 
     complies, where applicable, with the requirements of section 
     36 of the Arms Export Control Act (22 U.S.C. 2776) and with 
     section 2457 of this title.
       ``(f) Exception for Certain Foods.--Subsection (a) does not 
     preclude the procurement of foods manufactured or processed 
     in the United States.
       ``(g) Exception for Small Purchases.--Subsection (a) does 
     not apply to purchases for amounts not greater than the 
     simplified acquisition threshold referred to in section 
     2304(g) of this title.
       ``(h) Applicability to Contracts and Subcontracts for 
     Procurement of Commercial Items.--This section is applicable 
     to contracts and subcontracts for the procurement of 
     commercial items notwithstanding section 34 of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 430).
       ``(i) Geographic Coverage.--In this section, the term 
     `United States' includes the commonwealths, territories, and 
     possessions of the United States.
       ``(j) Exception for Commissaries, Exchanges, and Other 
     Nonappropriated Fund Instrumentalities.--Subsection (a) does 
     not apply to items purchased for resale purposes in 
     commissaries, military exchanges, or nonappropriated fund 
     instrumentalities operated by the military departments or the 
     Department of Defense.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     2533 the following new item:

``2533a. Requirement to buy certain articles from American sources; 
              exceptions.''.
       (b) Repeal of Source Provisions.--The following provisions 
     of law are repealed:
       (1) Section 9005 of the Department of Defense 
     Appropriations Act, 1993 (Public Law 102-396; 10 U.S.C. 2241 
     note).
       (2) Section 8109 of the Department of Defense 
     Appropriations Act, 1997 (as contained in section 101(b) of 
     Public Law 104-208; 110 Stat. 3009-111; 10 U.S.C. 2241 note).

     SEC. 806. INCREASE OF ASSISTANCE LIMITATION REGARDING 
                   PROCUREMENT TECHNICAL ASSISTANCE PROGRAMS.

       Section 2414(a)(1) of title 10, United States Code, is 
     amended by striking ``$300,000'' and inserting ``$600,000''.

     SEC. 807. STUDY OF CONTRACT CONSOLIDATIONS.

       The Secretary of Defense, in consultation with the 
     Comptroller General of the United States, shall develop a 
     database to track contract consolidations which consolidate 2 
     or more contracts previously awarded by the Department of 
     Defense to small business concerns. The database shall 
     contain, at a minimum, the names and addresses of the 
     businesses to which the contracts that were consolidated were 
     previously awarded, the rationale for consolidating the 
     contracts, and the monetary benefit projected to be realized 
     by the contract consolidation. Not later than December 1st of 
     each year, the Secretary of Defense shall submit a report 
     regarding the information contained in such database to the 
     Committees on Armed Services of the House of Representatives 
     and the Senate, the Committee on Small Business of the House 
     of Representatives, and the Committee on Small Business and 
     Entrepreneurship of the Senate.

                Subtitle B--Erroneous Payments Recovery

     SEC. 811. SHORT TITLE.

       This subtitle may be cited as the ``Erroneous Payments 
     Recovery Act of 2001''.

     SEC. 812. IDENTIFICATION OF ERRORS MADE BY EXECUTIVE AGENCIES 
                   IN PAYMENTS TO CONTRACTORS AND RECOVERY OF 
                   AMOUNTS ERRONEOUSLY PAID.

       (a) Program Required.--The head of each executive agency 
     that enters into contracts with a total value in excess of 
     $500,000,000 in a fiscal year shall carry out a cost-
     effective program for identifying any errors made in paying 
     the contractors and for recovering any amounts erroneously 
     paid to the contractors.
       (b) Recovery Audits and Activities.--A program of an 
     executive agency under subsection (a) shall include recovery 
     audits and recovery activities. The head of the executive 
     agency shall determine, in accordance with guidance provided 
     under subsection (c), the classes of contracts to which 
     recovery

[[Page 20161]]

     audits and recovery activities are appropriately applied.
       (c) OMB Guidance.--The Director of the Office of Management 
     and Budget shall issue guidance for the conduct of programs 
     under subsection (a). The guidance shall include the 
     following:
       (1) Definitions of the terms ``recovery audit'' and 
     ``recovery activity'' for the purposes of the programs.
       (2) The classes of contracts to which recovery audits and 
     recovery activities are appropriately applied under the 
     programs.
       (3) Protections for the confidentiality of--
       (A) sensitive financial information that has not been 
     released for use by the general public; and
       (B) information that could be used to identify a person.
       (4) Policies and procedures for ensuring that the 
     implementation of the programs does not result in duplicative 
     audits of contractor records.
       (5) Policies regarding the types of contracts executive 
     agencies may use for the procurement of recovery services, 
     including guidance for use, in appropriate circumstances, of 
     a contingency contract pursuant to which the head of an 
     executive agency may pay a contractor an amount equal to a 
     percentage of the total amount collected for the United 
     States pursuant to that contract.
       (6) Protections for a contractor's records and facilities 
     through restrictions on the authority of a contractor under a 
     contract for the procurement of recovery services for an 
     executive agency--
       (A) to require the production of any record or information 
     by any person other than an officer, employee, or agent of 
     the executive agency;
       (B) to establish, or otherwise have, a physical presence on 
     the property or premises of any private sector entity for the 
     purposes of performing the contract; or
       (C) to act as agents for the Government in the recovery of 
     funds erroneously paid to contractors.
       (7) Policies for the appropriate types of management 
     improvement programs authorized by section 815 that executive 
     agencies may carry out to address overpayment problems and 
     the recovery of overpayments.

     SEC. 813. DISPOSITION OF RECOVERED FUNDS.

       (a) Availability of Funds for Recovery Audits and 
     Activities Program.--Funds collected under a program carried 
     out by an executive agency under section 812 shall be 
     available to the executive agency, in such amounts as are 
     provided in advance in appropriations Acts, for the following 
     purposes:
       (1) To reimburse the actual expenses incurred by the 
     executive agency in the administration of the program.
       (2) To pay contractors for services under the program in 
     accordance with the guidance issued under section 812(c)(5).
       (b) Funds Not Used for Program.--Any amounts erroneously 
     paid by an executive agency that are recovered under such a 
     program of an executive agency and are not used to reimburse 
     expenses or pay contractors under subsection (a)--
       (1) shall be credited to the appropriations from which the 
     erroneous payments were made that remain available for 
     obligation as of the time such amounts were collected, shall 
     be merged with other amounts in those appropriations, and 
     shall be available for the purposes and period for which such 
     appropriations are available; or
       (2) if no such appropriation remains available for 
     obligation at that time, shall be disposed of as provided in 
     subsection (c).
       (c) Other Dispositions.--Of the total amount collected 
     under such a program of an executive agency that is to be 
     disposed of under this subsection--
       (1) up to 25 percent of such amount may be expended by the 
     head of the executive agency for carrying out any management 
     improvement program of the executive agency under section 
     815; and
       (2) the remainder of that total amount, including any 
     amount not expended under paragraph (1), shall be deposited 
     in the Treasury as miscellaneous receipts.
       (d) Priority of Other Authorized Dispositions.--
     Notwithstanding subsections (b) and (c), the authority under 
     such subsections may not be exercised to use, credit, or 
     deposit funds collected under such a program as provided in 
     those subsections to the extent that any other provision of 
     law requires or authorizes the crediting of such funds to a 
     nonappropriated fund instrumentality, revolving fund, 
     working-capital fund, trust fund, or other fund or account.

     SEC. 814. SOURCES OF RECOVERY SERVICES.

       (a) Consideration of Available Recovery Resources.--(1) In 
     carrying out a program under section 812, the head of an 
     executive agency shall consider all resources available to 
     that official to carry out the program.
       (2) The resources considered by the head of an executive 
     agency for carrying out the program shall include the 
     resources available to the executive agency for such purpose 
     from the following sources:
       (A) The executive agency.
       (B) Other departments and agencies of the United States.
       (C) Private sector sources.
       (b) Compliance With Applicable Law and Regulations.--Before 
     entering into a contract with a private sector source for the 
     performance of services under a program of the executive 
     agency carried out under section 812, the head of an 
     executive agency shall comply with--
       (1) any otherwise applicable provisions of Office of 
     Management and Budget Circular A-76; and
       (2) any other applicable provision of law or regulation 
     with respect to the selection between employees of the United 
     States and private sector sources for the performance of 
     services.

     SEC. 815. MANAGEMENT IMPROVEMENT PROGRAMS.

       In accordance with guidance provided by the Director of the 
     Office of Management and Budget under section 812, the head 
     of an executive agency required to carry out a program under 
     section 812 may carry out a program for improving management 
     processes within the executive agency--
       (1) to address problems that contribute directly to the 
     occurrence of errors in the paying of contractors of the 
     executive agency; or
       (2) to improve the recovery of overpayments due to the 
     agency.

     SEC. 816. REPORTS.

       (a) Requirement for Reports.--Not later than 30 months 
     after the date of the enactment of this Act, and annually for 
     each of the first two years following the year of the first 
     report, the Director of the Office of Management and Budget 
     shall submit to the Committee on Government Reform of the 
     House of Representatives and the Committee on Governmental 
     Affairs of the Senate, a report on the implementation of this 
     subtitle.
       (b) Content.--Each report shall include--
       (1) a general description and evaluation of the steps taken 
     by the heads of executive agencies to carry out the programs 
     under this subtitle, including any management improvement 
     programs carried out under section 815;
       (2) the costs incurred by executive agencies to carry out 
     the programs under this subtitle; and
       (3) the amounts recovered under the programs under this 
     subtitle.

     SEC. 817. RELATIONSHIP TO AUTHORITY OF INSPECTORS GENERAL.

       Nothing in this subtitle shall be construed as impairing 
     the authority of an Inspector General under the Inspector 
     General Act of 1978 or any other provision of law.

     SEC. 818. PRIVACY PROTECTIONS.

       (a) Prohibition.--Any nongovernmental entity that, in the 
     course of recovery auditing or recovery activity under this 
     subtitle, obtains information that identifies an individual 
     or with respect to which there is a reasonable basis to 
     believe that the information can be used to identify an 
     individual, may not disclose the information for any purpose 
     other than such recovery auditing or recovery activity and 
     governmental oversight of such activity, unless disclosure 
     for that other purpose is authorized by the individual to the 
     executive agency that contracted for the performance of the 
     recovery auditing or recovery activity.
       (b) Liability.--Any person that violates subsection (a) 
     shall be liable for any damages (including nonpecuniary 
     damages), costs, and attorneys fees incurred by the 
     individual as a result of the violation.

     SEC. 819. DEFINITION.

       In this subtitle, the term ``executive agency'' has the 
     meaning given that term in section 4(1) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 403(1)).

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

     SEC. 901. FURTHER REDUCTIONS IN DEFENSE ACQUISITION AND 
                   SUPPORT WORKFORCE

       (a) Reduction of Defense Acquisition and Support 
     Workforce.--The Secretary of Defense shall accomplish 
     reductions in defense acquisition and support personnel 
     positions during fiscal year 2002 so that the total number of 
     such personnel as of October 1, 2002, is less than the total 
     number of such personnel as of October 1, 2001, by at least 
     13,000.
       (b) Defense Acquisition Workforce Defined.--For purposes of 
     this section, the term ``defense acquisition and support 
     personnel'' has the meaning given that term in section 931(d) 
     of the Strom Thurmond National Defense Authorization Act for 
     Fiscal Year 1999 (Public Law 105-261; 112 Stat. 2106).

     SEC. 902. SENSE OF CONGRESS ON ESTABLISHMENT OF AN OFFICE OF 
                   TRANSFORMATION IN THE DEPARTMENT OF DEFENSE.

       (a) Findings.--Congress finds the following:
       (1) The Armed Forces should give careful consideration to 
     implementating transformation to meet operational challenges 
     and exploit opportunities resulting from changes in the 
     threat environment and the emergence of new technologies.
       (2) A 1999 Defense Science Board report on transformation 
     concluded that there was no overall Department of Defense 
     vision for transformation, no road map, no metrics to measure 
     progress, and little sense of urgency.
       (3) Historic case studies have shown that within the 
     military, as well as commercial enterprises, successful 
     transformation must be directed from the highest levels of an 
     organization.
       (b) Sense of Congress on Establishment of Office of 
     Transformation.--It is the

[[Page 20162]]

     sense of Congress that the Secretary of Defense should 
     consider the establishment of an Office of Transformation 
     within the Office of the Secretary of Defense to advise the 
     Secretary on--
       (1) development of force transformation strategies to 
     ensure that the military of the future is prepared to 
     dissuade potential military competitors and, if that fails, 
     to fight and win decisively across the spectrum of future 
     conflict;
       (2) ensuring a continuous and broadly focused 
     transformation process;
       (3) service and joint acquisition and experimentation 
     efforts, funding for experimentation efforts, promising 
     operational concepts and technologies, and other 
     transformation activities, as appropriate; and
       (4) development of service and joint operational concepts, 
     transformation implementation strategies, and risk management 
     strategies.
       (c) Sense of Congress on Funding.--It is the sense of 
     Congress that the Secretary of Defense should consider 
     providing funding adequate for sponsoring selective 
     prototyping efforts, wargames, and studies and analyses and 
     for appropriate staffing, as recommended by the director of 
     an Office of Transformation as described in subsection (b).

     SEC. 903. REVISED JOINT REPORT ON ESTABLISHMENT OF NATIONAL 
                   COLLABORATIVE INFORMATION ANALYSIS CAPABILITY.

       (a) Revised Report.--At the same time as the submission of 
     the budget for fiscal year 2003 under section 1105 of title 
     31, United States Code, the Secretary of Defense and the 
     Director of Central Intelligence shall submit to the 
     congressional defense committees and the congressional 
     intelligence committees a revised report assessing 
     alternatives for the establishment of a national 
     collaborative information analysis capability.
       (b) Matters Included.--The revised report shall cover the 
     same matters required to be included in the DOD/CIA report, 
     except that the alternative architectures assessed in the 
     revised report shall be limited to architectures that include 
     the participation of all Federal agencies involved in the 
     collection of intelligence. The revised report shall also 
     include a draft of legislation sufficient to carry out the 
     preferred architecture identified in the revised report.
       (c) Officials To Be Consulted.--The revised report shall be 
     prepared after consultation with all appropriate Federal 
     officials, including the following:
       (1) The Secretary of the Treasury.
       (2) The Secretary of Commerce.
       (3) The Secretary of State.
       (4) The Attorney General.
       (5) The Director of the Federal Bureau of Investigation.
       (6) The Administrator of the Drug Enforcement 
     Administration.
       (7) The Director of the Defense Threat Reduction Agency.
       (8) The Director of the Defense Information Systems Agency.
       (d) DOD/CIA Report Defined.--In this section, the term 
     ``DOD/CIA report'' means the joint report required by section 
     933 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-237).

     SEC. 904. ELIMINATION OF TRIENNIAL REPORT BY CHAIRMAN OF THE 
                   JOINT CHIEFS OF STAFF ON ROLES AND MISSIONS OF 
                   THE ARMED FORCES.

       (a) Repeal of Requirement for Separate Report by Chairman 
     of the Joint Chiefs of Staff.--Section 153 of title 10, 
     United States Code, is amended by striking subsection (b).
       (b) Roles and Missions Considered as Part of Defense 
     Quadrennial Review.--Subsection 118(e) of such title is 
     amended--
       (1) by inserting ``(1)'' before ``Upon the completion'';
       (2) by designating the second and third sentences as 
     paragraph (3); and
       (3) by inserting after paragraph (1), as designated by 
     paragraph (1) of this subsection, the following new 
     paragraph:
       ``(2) As part of his assessment under paragraph (1), the 
     Chairman shall provide his assessment of the assignment of 
     functions (or roles and missions) to the armed forces and 
     such recommendations for changes thereto as the Chairman 
     considers necessary to achieve maximum efficiency of the 
     armed forces. In preparing such assessment, the Chairman 
     shall consider (among other matters) the following:
       ``(A) Unnecessary duplication of effort among the armed 
     forces.
       ``(B) Changes in technology that can be applied effectively 
     to warfare.''.

     SEC. 905. REPEAL OF REQUIREMENT FOR SEMIANNUAL REPORTS 
                   THROUGH MARCH 2003 ON ACTIVITIES OF JOINT 
                   REQUIREMENTS OVERSIGHT COUNCIL.

       Section 916 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-231) is repealed.

     SEC. 906. CORRECTION OF REFERENCES TO AIR MOBILITY COMMAND.

       (a) References in Title 10, United States Code.--Sections 
     2554(d) and 2555(a) of title 10, United States Code, are each 
     amended by striking ``Military Airlift Command'' and 
     inserting ``Air Mobility Command''.
       (b) Repeal of Obsolete Provision.--Section 8074 of such 
     title is amended by striking subsection (c).
       (c) References in Title 37, United States Code.--Sections 
     430(c) and 432(b) of title 37, United States Code, are each 
     amended by striking ``Military Airlift Command'' and 
     inserting ``Air Mobility Command''.

     SEC. 907. ORGANIZATIONAL ALIGNMENT CHANGE FOR DIRECTOR FOR 
                   EXPEDITIONARY WARFARE.

       Section 5038(a) of title 10, United States Code, is amended 
     by striking ``Office of the Deputy Chief of Naval Operations 
     for Resources, Warfare Requirements, and Assessments'' and 
     inserting ``office of the Deputy Chief of Naval Operations 
     with responsibility for warfare requirements and programs''.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

     SEC. 1001. TRANSFER AUTHORITY.

       (a) Authority To Transfer Authorizations.--(1) Upon 
     determination by the Secretary of Defense that such action is 
     necessary in the national interest, the Secretary may 
     transfer amounts of authorizations made available to the 
     Department of Defense in this division for fiscal year 2002 
     between any such authorizations for that fiscal year (or any 
     subdivisions thereof). Amounts of authorizations so 
     transferred shall be merged with and be available for the 
     same purposes as the authorization to which transferred.
       (2) The total amount of authorizations that the Secretary 
     may transfer under the authority of this section may not 
     exceed $2,000,000,000.
       (b) Limitations.--The authority provided by this section to 
     transfer authorizations--
       (1) may only be used to provide authority for items that 
     have a higher priority than the items from which authority is 
     transferred; and
       (2) may not be used to provide authority for an item that 
     has been denied authorization by Congress.
       (c) Effect on Authorization Amounts.--A transfer made from 
     one account to another under the authority of this section 
     shall be deemed to increase the amount authorized for the 
     account to which the amount is transferred by an amount equal 
     to the amount transferred.
       (d) Notice to Congress.--The Secretary shall promptly 
     notify Congress of each transfer made under subsection (a).

     SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.

       (a) Status of Classified Annex.--The Classified Annex 
     prepared by the Committee on Armed Services of the House of 
     Representatives to accompany its report on the bill H.R. 2586 
     of the One Hundred Seventh Congress and transmitted to the 
     President is hereby incorporated into this Act.
       (b) Construction With Other Provisions of Act.--The amounts 
     specified in the Classified Annex are not in addition to 
     amounts authorized to be appropriated by other provisions of 
     this Act.
       (c) Limitation on Use of Funds.--Funds appropriated 
     pursuant to an authorization contained in this Act that are 
     made available for a program, project, or activity referred 
     to in the Classified Annex may only be expended for such 
     program, project, or activity in accordance with such terms, 
     conditions, limitations, restrictions, and requirements as 
     are set out for that program, project, or activity in the 
     Classified Annex.
       (d) Distribution of Classified Annex.--The President shall 
     provide for appropriate distribution of the Classified Annex, 
     or of appropriate portions of the annex, within the executive 
     branch of the Government.

     SEC. 1003. LIMITATION ON FUNDS FOR BOSNIA AND KOSOVO 
                   PEACEKEEPING OPERATIONS FOR FISCAL YEAR 2002.

       (a) Limitation.--Of the amounts authorized to be 
     appropriated by section 301(24) for the Overseas Contingency 
     Operations Transfer Fund--
       (1) no more than $1,315,600,000 may be obligated for 
     incremental costs of the Armed Forces for Bosnia peacekeeping 
     operations; and
       (2) no more than $1,528,600,000 may be obligated for 
     incremental costs of the Armed Forces for Kosovo peacekeeping 
     operations.
       (b) Presidential Waiver.--The President may waive the 
     limitation in subsection (a)(1), or the limitation in 
     subsection (a)(2), after submitting to Congress the 
     following:
       (1) The President's written certification that the waiver 
     is necessary in the national security interests of the United 
     States.
       (2) The President's written certification that exercising 
     the waiver will not adversely affect the readiness of United 
     States military forces.
       (3) A report setting forth the following:
       (A) The reasons that the waiver is necessary in the 
     national security interests of the United States.
       (B) The specific reasons that additional funding is 
     required for the continued presence of United States military 
     forces participating in, or supporting, Bosnia peacekeeping 
     operations, or Kosovo peacekeeping operations, as the case 
     may be, for fiscal year 2002.
       (C) A discussion of the impact on the military readiness of 
     United States Armed Forces of the continuing deployment of 
     United States military forces participating

[[Page 20163]]

     in, or supporting, Bosnia peacekeeping operations, or Kosovo 
     peacekeeping operations, as the case may be.
       (4) A supplemental appropriations request for the 
     Department of Defense for such amounts as are necessary for 
     the additional fiscal year 2002 costs associated with United 
     States military forces participating in, or supporting, 
     Bosnia or Kosovo peacekeeping operations.
       (c) Peacekeeping Operations Defined.--For the purposes of 
     this section:
       (1) The term ``Bosnia peacekeeping operations'' has the 
     meaning given such term in section 1004(e) of the Strom 
     Thurmond National Defense Authorization Act for Fiscal Year 
     1999 (Public Law 105-261; 112 Stat. 2112).
       (2) The term ``Kosovo peacekeeping operations''--
       (A) means the operation designated as Operation Joint 
     Guardian and any other operation involving the participation 
     of any of the Armed Forces in peacekeeping or peace 
     enforcement activities in and around Kosovo; and
       (B) includes, with respect to Operation Joint Guardian or 
     any such other operation, each activity that is directly 
     related to the support of the operation.

     SEC. 1004. INCREASE IN LIMITATIONS ON ADMINISTRATIVE 
                   AUTHORITY OF THE NAVY TO SETTLE ADMIRALTY 
                   CLAIMS.

       (a) Admiralty Claims Against the United States.--Section 
     7622 of title 10, United States Code, is amended--
       (1) in subsections (a) and (b), by striking ``$1,000,000'' 
     and inserting ``$15,000,000''; and
       (2) in subsection (c), by striking ``$100,000'' and 
     inserting ``$1,000,000''.
       (b) Admiralty Claims by the United States.--Section 7623 of 
     such title is amended--
       (1) in subsection (a)(2), by striking ``$1,000,000'' and 
     inserting ``$15,000,000''; and
       (2) in subsection (c), by striking ``$100,000'' and 
     inserting ``$1,000,000''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to any claim accruing on or after 
     February 1, 2001.

                       Subtitle B--Naval Vessels

     SEC. 1011. REVISION IN TYPES OF EXCESS NAVAL VESSELS FOR 
                   WHICH APPROVAL BY LAW IS REQUIRED FOR DISPOSAL 
                   TO FOREIGN NATIONS.

       (a) Revision in Vessel Threshold.--Section 7307 of title 
     10, United States Code, is amended--
       (1) in subsection (a), by striking ``A naval vessel'' and 
     inserting ``Except as provided in subsection (b), a combatant 
     naval vessel'';
       (2) by redesignating subsection (b) as subsection (c);
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Treatment of Vessels Held by Foreign Nations by Loan 
     or Lease.--Subsection (a) shall not apply to the disposal to 
     another nation of a vessel described in that subsection that, 
     at the time of the disposal, is held by the nation to which 
     the disposal is to be made pursuant to a loan or lease 
     arrangement made under section 61 of the Arms Export Control 
     Act (22 U.S.C. 2796) or any other provision of law.''; and
       (4) by adding after subsection (c), as redesignated by 
     paragraph (2), the following new subsection:
       ``(d) Inapplicability of Vessel Disposals to Aggregate 
     Annual Value Limitations.--The value of a vessel transferred 
     to another country under an applicable provision of law as 
     described in subsection (c) shall not be counted for the 
     purposes of any aggregate limit on the value of articles 
     transferred to other countries under that provision of law 
     during any year (or other applicable period of time).''.
       (b) Technical Amendments.--Subsection (a) of such section 
     is further amended--
       (1) by striking ``Larger or Newer'' in the subsection 
     heading and inserting ``Certain Combatant; and
       (2) by striking ``approved by law enacted after August 5, 
     1974'' and inserting ``specifically approved by law''.

                  Subtitle C--Counter-Drug Activities

     SEC. 1021. EXTENSION OF REPORTING REQUIREMENT REGARDING 
                   DEPARTMENT OF DEFENSE EXPENDITURES TO SUPPORT 
                   FOREIGN COUNTER-DRUG ACTIVITIES.

       Section 1022 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398; 114 Stat. 1654A-255) is amended--
       (1) by inserting ``and April 15, 2002,'' after ``January 1, 
     2001,''; and
       (2) by striking ``fiscal year 2000'' and inserting ``the 
     preceding fiscal year''.

     SEC. 1022. AUTHORITY TO TRANSFER TRACKER AIRCRAFT CURRENTLY 
                   USED BY ARMED FORCES FOR COUNTER-DRUG PURPOSES.

       (a) Transfer Authority.--The Secretary of Defense may 
     transfer to the administrative jurisdiction and operational 
     control of another Federal agency all Tracker aircraft in the 
     inventory of the Department of Defense.
       (b) Effect of Failure To Transfer.--If the transfer 
     authority provided by subsection (a) is not exercised by the 
     Secretary of Defense by September 30, 2002, any Tracker 
     aircraft remaining in the inventory of the Department of 
     Defense may not be used by the Armed Forces for counter-drug 
     purposes after that date.

     SEC. 1023. AUTHORITY TO TRANSFER TETHERED AEROSTAT RADAR 
                   SYSTEM CURRENTLY USED BY ARMED FORCES FOR 
                   COUNTER-DRUG PURPOSES.

       (a) Transfer Authority.--The Secretary of Defense may 
     transfer to the administrative jurisdiction and operational 
     control of another Federal agency the Tethered Aerostat Radar 
     System currently used by the Armed Forces in maritime, air, 
     and land counter-drug detection and monitoring.
       (b) Effect of Failure To Transfer.--If the transfer 
     authority provided by subsection (a) is not exercised by the 
     Secretary of Defense by September 30, 2002, the Tethered 
     Aerostat Radar System may not be used by the Armed Forces for 
     counter-drug purposes after that date.

     SEC. 1024. ASSIGNMENT OF MEMBERS TO ASSIST IMMIGRATION AND 
                   NATURALIZATION SERVICE AND CUSTOMS SERVICE.

       (a) Assignment Authority of Secretary of Defense.--Chapter 
     18 of title 10, United States Code, is amended by inserting 
     after section 374 the following new section:

     ``Sec. 374a. Assignment of members to assist border patrol 
       and control

       ``(a) Assignment Authorized.--Upon submission of a request 
     consistent with subsection (b), the Secretary of Defense may 
     assign members of the Army, Navy, Air Force, and Marine Corps 
     to assist--
       ``(1) the Immigration and Naturalization Service in 
     preventing the entry of terrorists and drug traffickers into 
     the United States; and
       ``(2) the United States Customs Service in the inspection 
     of cargo, vehicles, and aircraft at points of entry into the 
     United States to prevent the entry of weapons of mass 
     destruction, components of weapons of mass destruction, 
     prohibited narcotics or drugs, or other terrorist or drug 
     trafficking items.
       ``(b) Request for Assignment.--The assignment of members 
     under subsection (a) may occur only if--
       ``(1) the assignment is at the request of the Attorney 
     General, in the case of an assignment to the Immigration and 
     Naturalization Service, or the Secretary of the Treasury, in 
     the case of an assignment to the United States Customs 
     Service; and
       ``(2) the request of the Attorney General or the Secretary 
     of the Treasury (as the case may be) is accompanied by a 
     certification by the President that the assignment of members 
     pursuant to the request is necessary to respond to a threat 
     to national security posed by the entry into the United 
     States of terrorists or drug traffickers.
       ``(c) Training Program Required.--The Attorney General or 
     the Secretary of the Treasury (as the case may be), together 
     with the Secretary of Defense, shall establish a training 
     program to ensure that members receive general instruction 
     regarding issues affecting law enforcement in the border 
     areas in which the members may perform duties under an 
     assignment under subsection (a). A member may not be deployed 
     at a border location pursuant to an assignment under 
     subsection (a) until the member has successfully completed 
     the training program.
       ``(d) Conditions of Use.--(1) Whenever a member who is 
     assigned under subsection (a) to assist the Immigration and 
     Naturalization Service or the United States Customs Service 
     is performing duties at a border location pursuant to the 
     assignment, a civilian law enforcement officer from the 
     agency concerned shall accompany the member.
       ``(2) Nothing in this section shall be construed to--
       ``(A) authorize a member assigned under subsection (a) to 
     conduct a search, seizure, or other similar law enforcement 
     activity or to make an arrest; and
       ``(B) supersede section 1385 of title 18 (popularly known 
     as the `Posse Comitatus Act').
       ``(e) Establishment of Ongoing Joint Task Forces.--(1) The 
     Attorney General or the Secretary of the Treasury may 
     establish ongoing joint task forces when accompanied by a 
     certification by the President that the assignment of members 
     pursuant to the request to establish a joint task force is 
     necessary to respond to a threat to national security posed 
     by the entry into the United States of terrorists or drug 
     traffickers.
       ``(2) When established, any joint task force shall fully 
     comply with the standards as set forth in this section.
       ``(f) Notification Requirements.--The Attorney General or 
     the Secretary of the Treasury (as the case may be) shall 
     notify the Governor of the State in which members are to be 
     deployed pursuant to an assignment under subsection (a), and 
     local governments in the deployment area, of the deployment 
     of the members to assist the Immigration and Naturalization 
     Service or the United States Customs Service (as the case may 
     be) and the types of tasks to be performed by the members.
       ``(g) Reimbursement Requirement.--Section 377 of this title 
     shall apply in the case of members assigned under subsection 
     (a).
       ``(h) Termination of Authority.--No assignment may be made 
     or continued under subsection (a) after September 30, 
     2004.''.
       (b) Commencement of Training Program.--The training program 
     required by

[[Page 20164]]

     subsection (b) of section 374a of title 10, United States 
     Code, shall be established as soon as practicable after the 
     date of the enactment of this Act.
       (c) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 374 the following new item:

``374a. Assignment of members to assist border patrol and control.''.

                          Subtitle D--Reports

     SEC. 1031. REQUIREMENT THAT DEPARTMENT OF DEFENSE REPORTS TO 
                   CONGRESS BE ACCOMPANIED BY ELECTRONIC VERSION.

       (a) In General.--Chapter 23 of title 10, United States 
     Code, is amended by inserting after the table of sections the 
     following new section:

     ``Sec. 480. Department of Defense reports: submission in 
       electronic form

       ``(a) Requirement.--Whenever the Secretary of Defense or 
     any other official of the Department of Defense is required 
     by law to submit a report to Congress (or any committee of 
     either House of Congress), the Secretary or other official 
     shall provide to Congress (or each such committee) a copy of 
     the report in an electronic medium.
       ``(b) Exception.--Subsection (a) does not apply to a report 
     submitted in classified form.
       ``(c) Definition.--In this section, the term `report' 
     includes any certification, notification, or other 
     communication in writing.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting before the 
     item relating to section 481 the following new item:

``480. Department of Defense reports: submission in electronic form.''.

     SEC. 1032. REPORT ON DEPARTMENT OF DEFENSE ROLE IN HOMELAND 
                   SECURITY MATTERS.

       The Secretary of Defense shall conduct a study on the 
     appropriate role for the Department of Defense in homeland 
     security matters. The Secretary shall submit to the Congress 
     a report on the results of that study at the same time that 
     the budget of the President for fiscal year 2003 is submitted 
     to Congress.

     SEC. 1033. REVISION OF ANNUAL REPORT TO CONGRESS ON NATIONAL 
                   GUARD AND RESERVE COMPONENT EQUIPMENT.

       The text of section 10541 of title 10, United States Code, 
     is amended to read as follows:
       ``(a) Requirement.--The Secretary of Defense shall submit 
     to Congress each year, not later than March 1, a written 
     report concerning the equipment of the National Guard and the 
     reserve components of the armed forces. Each such report 
     shall cover the current fiscal year and the three succeeding 
     years.
       ``(b) Matters To Be Included in Report.--Each report under 
     this section shall include the following (shown in the 
     aggregate and separately for each reserve component):
       ``(1) A list of major items of equipment required and on-
     hand in the inventories of the reserve components.
       ``(2) A list of major items of equipment that are expected 
     to be procured from commercial sources or transferred from 
     the active component to the reserve components.
       ``(3) A statement of major items of equipment in the 
     inventories of the reserve components that are substitutes 
     for a required major item of equipment.
       ``(4) A narrative explanation of the plan of the Secretary 
     concerned to equip each reserve component, including an 
     explanation of the plan to equip units of the reserve 
     components that are short major items of equipment at the 
     outset of war or a contingency operation.
       ``(5) A narrative discussing the current status of the 
     compatibility and interoperability of equipment between the 
     reserve components and the active forces and the effect of 
     that level of compatibility or interoperability on combat 
     effectiveness, together with a plan to achieve full equipment 
     compatibility and interoperability.
       ``(6) A narrative discussing modernization shortfalls and 
     maintenance backlogs within the reserve components and the 
     effect of those shortfalls on combat effectiveness.
       ``(7) A narrative discussing the overall age and condition 
     of equipment currently in the inventory of the reserve 
     components.
       ``(c) Major Items of Equipment.--In this section, the term 
     `major items of equipment' includes ships, aircraft, combat 
     vehicles, and key combat support equipment.
       ``(d) Format and Level of Detail.--Each report under this 
     section shall be expressed in the same format and with the 
     same level of detail as the information presented in the 
     Future-Years Defense Program Procurement Annex prepared by 
     the Department of Defense.''.

                       Subtitle E--Other Matters

     SEC. 1041. DEPARTMENT OF DEFENSE GIFT AUTHORITIES.

       (a) Additional Items Authorized To Be Donated by Secretary 
     of the Navy.--Section 7545 of title 10, United States Code, 
     is amended--
       (1) in subsection (a)--
       (A) by striking ``Subject to'' and all that follows through 
     ``by him,'' and inserting ``Authority To Make Loans and 
     Gifts.--The Secretary of the Navy'';
       (B) by striking ``captured, condemned,'' and all that 
     follows through ``to--'' and inserting ``items described in 
     subsection (b) that are not needed by the Department of the 
     Navy to any of the following:''
       (C) by capitalizing the first letter after the paragraph 
     designation in each of paragraphs (1) through (12);
       (D) by striking the semicolon at the end of paragraphs (1) 
     through (10) and inserting a period;
       (E) by striking ``; or'' at the end of paragraph (11) and 
     inserting a period;
       (F) in paragraph (5), by striking ``World War I or World 
     War II'' and inserting ``a foreign war'';
       (G) in paragraph (6), by striking ``soldiers' monument'' 
     and inserting ``servicemen's monument''; and
       (H) in paragraph (8), by inserting ``or memorial'' after 
     ``a museum'';
       (2) by redesignating subsections (b) and (c) as subsections 
     (d) and (e), respectively;
       (3) by inserting after subsection (a) the following new 
     subsections:
       ``(b) Items Eligible for Disposal.--This section applies to 
     the following types of property held by the Department of the 
     Navy:
       ``(1) Captured, condemned, or obsolete ordnance material.
       ``(2) Captured, condemned, or obsolete combat or shipboard 
     material.
       ``(c) Regulations.--A loan or gift made under this section 
     shall be subject to regulations prescribed by the Secretary 
     of the Navy and to regulations under section 205 of the 
     Federal Property and Administrative Services Act of 1949 (40 
     U.S.C. 486).'';
       (4) in subsection (d) (as redesignated by paragraph (2)), 
     by inserting ``Maintenance of the Records of the 
     Government.--'' after the subsection designation;
       (5) in subsection (e) (as redesignated by paragraph (2)), 
     by inserting ``Alternative Authorities To Make Gifts or 
     Loans.--'' after the subsection designation; and
       (6) by adding at the end the following new subsection:
       ``(f) Authority To Transfer a Portion of a Vessel.--The 
     Secretary may lend, give, or otherwise transfer any portion 
     of the hull or superstructure of a vessel stricken from the 
     Naval Vessel Register and designated for scrapping to a 
     qualified organization specified in subsection (a). The terms 
     and conditions of an agreement for the transfer of a portion 
     of a vessel under this section shall include a requirement 
     that the transferee will maintain the material conveyed in a 
     condition that will not diminish the historical value of the 
     material or bring discredit upon the Navy.''.
       (b) Conforming Amendments.--Section 2572(a) of such title 
     is amended--
       (1) in paragraph (2), by striking ``soldiers' monument'' 
     and inserting ``servicemen's monument''; and
       (2) in paragraph (4), by inserting ``or memorial'' after 
     ``An incorporated museum''.

     SEC. 1042. TERMINATION OF REFERENDUM REQUIREMENT REGARDING 
                   CONTINUATION OF MILITARY TRAINING ON ISLAND OF 
                   VIEQUES, PUERTO RICO, AND IMPOSITION OF 
                   ADDITIONAL CONDITIONS ON CLOSURE OF LIVE-FIRE 
                   TRAINING RANGE.

       (a) In General.--Title XV of the Floyd D. Spence National 
     Defense Authorization Act for Fiscal Year 2001 (as enacted by 
     Public Law 106-398; 114 Stat. 1654A-348) is amended by 
     striking sections 1503, 1504, and 1505 and inserting the 
     following new sections:

     ``SEC. 1503. CONDITIONS ON CLOSURE OF VIEQUES NAVAL TRAINING 
                   RANGE.

       ``(a) Required Certification.--The Secretary of the Navy 
     may close the Vieques Naval Training Range on the island of 
     Vieques, Puerto Rico, and discontinue live-fire training at 
     that range only if--
       ``(1) the Chief of Naval Operations and the Commandant of 
     the Marine Corps jointly certify that there is an alternative 
     training facility that provides an equivalent or superior 
     level of training for units of the Navy and the Marine Corps 
     stationed or deployed in the eastern United States; and
       ``(2) the new facility is available and fully capable of 
     supporting such training immediately upon cessation of live-
     fire training on Vieques.
       ``(b) Equivalent or Superior Level of Training Defined.--In 
     this section, the term `equal or superior level of training' 
     refers to an ability by the Armed Forces to conduct at a 
     single location coordinated live-fire training, including 
     simultaneous large-scale tactical air strikes, naval surface 
     fire support and artillery, and amphibious landing 
     operations, as was conducted at Vieques Naval Training Range 
     before April 19, 1999.

     ``SEC. 1504. NAVY RETENTION OF CLOSED VIEQUES NAVAL TRAINING 
                   RANGE.

       ``(a) Retention.--If the conditions specified in section 
     1503(a) are satisfied and the Secretary of the Navy 
     terminates all Navy and Marine Corps training operations on 
     the island of Vieques, the Secretary of the Navy shall retain 
     administrative jurisdiction over the Live Impact Area and all 
     other Department of Defense real properties on the eastern 
     side of the island for possible reactivation for training 
     use, including live-fire training, in the event a national 
     emergency.
       ``(b) Administration.--The Secretary of the Navy may enter 
     into a cooperative

[[Page 20165]]

     agreement with the Secretary of the Interior to provide for 
     management of the property described in subsection (a), 
     pending reactivation for training use, by appropriate 
     agencies of the Department of the Interior as follows:
       ``(1) Management of the Live Impact Area as a wilderness 
     area under the Wilderness Act (16 U.S.C. 1131 et seq.), 
     including a prohibition on public access to the area.
       ``(2) Management of the remaining property as wildlife 
     refuges under the National Wildlife Refuge System 
     Administration Act of 1966 (16 U.S.C. 668dd et seq.).
       ``(c) Live Impact Area Defined.--In this section, the term 
     `Live Impact Area' means the parcel of real property, 
     consisting of approximately 900 acres (more or less), on the 
     island of Vieques that is designated by the Secretary of the 
     Navy for targeting by live ordnance in the training of forces 
     of the Navy and Marine Corps.''.
       (b) Conforming Amendment.--Section 1507(c) of such Act is 
     amended by striking ``the issuance of a proclamation 
     described in section 1504(a) or''.

     SEC. 1043. REPEAL OF LIMITATION ON REDUCTIONS IN PEACEKEEPER 
                   ICBM MISSILES.

       Subsection (a)(1) of section 1302 of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85) is 
     amended by striking subparagraph (D).

     SEC. 1044. TRANSFER OF VIETNAM ERA F-4 AIRCRAFT TO NONPROFIT 
                   MUSEUM.

       (a) Authority To Convey.--The Secretary of the Air Force 
     may convey, without consideration, to the nonprofit National 
     Aviation Museum and Foundation of Oklahoma (in this section 
     referred to as the ``museum''), all right, title, and 
     interest of the United States in and to one surplus F-4 
     aircraft that is flyable or that can be readily restored to 
     flyable condition. The conveyance shall be made by means of a 
     conditional deed of gift.
       (b) Condition of Aircraft.--(1) The Secretary may not 
     convey ownership of an aircraft under subsection (a) until 
     the Secretary determines that the museum has altered the 
     aircraft in such manner as the Secretary determines necessary 
     to ensure that the aircraft does not have any capability for 
     use as a platform for launching or releasing munitions or any 
     other combat capability that it was designed to have.
       (2) The Secretary is not required to repair or alter the 
     condition of the aircraft before conveying ownership of the 
     aircraft.
       (c) Reverter Upon Breach of Conditions.--The Secretary 
     shall include in the instrument of conveyance of the 
     aircraft--
       (1) a condition that the museum not convey any ownership 
     interest in, or transfer possession of, the aircraft to any 
     other party without the prior approval of the Secretary;
       (2) a condition that the museum operate and maintain the 
     aircraft in compliance with all applicable limitations and 
     maintenance requirements imposed by the Administrator of the 
     Federal Aviation Administration; and
       (3) a condition that if the Secretary determines at any 
     time that the museum has conveyed an ownership interest in, 
     or transferred possession of, the aircraft to any other party 
     without the prior approval of the Secretary, or has failed to 
     comply with the condition set forth in paragraph (2), all 
     right, title, and interest in and to the aircraft, including 
     any repair or alteration of the aircraft, shall revert to the 
     United States, and the United States shall have the right of 
     immediate possession of the aircraft.
       (d) Conveyance at No Cost to the United States.--The 
     conveyance of the aircraft under subsection (a) shall be made 
     at no cost to the United States. Any costs associated with 
     the conveyance, costs of determining compliance with 
     subsection (b), and costs of operation and maintenance of the 
     aircraft conveyed shall be borne by the museum.
       (e) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with a conveyance under this section as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 1045. BOMBER FORCE STRUCTURE.

       (a) Limitation.--None of the funds available to the 
     Department of Defense for fiscal year 2002 may be obligated 
     or expended for retiring or dismantling any of the 93 B-1B 
     Lancer bombers in service as of June 1, 2001, or for 
     transferring or reassigning any of those aircraft from the 
     unit or the facility to which assigned as of that date, until 
     each of the following has occurred:
       (1) The President transmits to Congress a national security 
     strategy report under section 108 of the National Security 
     Act of 1947 (50 U.S.C. 4040) as required by subsection (a)(3) 
     of that section.
       (2) The Secretary of Defense submits to the Committee on 
     Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives the Quadrennial 
     Defense Review (QDR) under section 118 of title 10, United 
     States Code, that under that section is required to be 
     submitted not later than September 30, 2001.
       (3) The Secretary of Defense submits to the Committee on 
     Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives a report that 
     provides--
       (A) the changes in national security considerations from 
     those applicable to the air force bomber studies conducted 
     during 1992 and 1995 that warrant changes in the current 
     configuration of the bomber fleet; and
       (B) the plans of the Department of Defense for assigning 
     new missions to the National Guard units that currently fly 
     B-1 aircraft and for the transition of those units and their 
     facilities from the current B-1 mission to their future 
     missions.
       (4) The Secretary of Defense submits to Congress the annual 
     report of the Secretary for 2001 required by section 113(c) 
     of title 10, United States Code.
       (5) The Secretary of Defense submits to Congress a report 
     on the results of the Revised Nuclear Posture Review 
     conducted under section 1042 of the Floyd D. Spence National 
     Defense Authorization Act for Fiscal Year 2001 (as enacted 
     into law by Public Law 106-398; 114 Stat. 1654A-262), as 
     required by subsection (c) of that section.
       (6) The Secretary of Defense conducts, and submits to the 
     Committee on Armed Services of the Senate and Committee on 
     Armed Services of the House of Representatives a report on 
     the results of, a comprehensive study to determine--
       (A) the role of manned bomber aircraft appropriate to meet 
     the requirements derived from the National Security Strategy 
     report referred to in paragraph (1);
       (B) the amount and type of bomber force structure in the 
     United States Air Force appropriate to meet the requirements 
     derived from the National Security Strategy report referred 
     to in paragraph (1); and
       (C) the most cost effective allocation of bomber force 
     structure, factoring in use of the reserve components of the 
     Air Force consistent with the requirements of the National 
     Security Strategy report referred to in paragraph (1).
       (b) GAO Study and Report.--The Comptroller General of the 
     United States shall conduct a study on the same matters as 
     specified in subparagraphs (A), (B), and (C) of subsection 
     (a)(6). The Comptroller General shall submit to Congress a 
     report containing the results of that study not later than 
     180 days after the date of the submission of the report 
     referred to in subsection (a)(6)
       (c) Definitions.--For purposes of this section:
       (1) Amount and type of bomber force structure.--The term 
     ``amount and type of bomber force structure'' means the 
     required numbers of B-2 aircraft, B-52 aircraft, and B-1 
     aircraft consistent with the requirements of the National 
     Security Strategy referred to in subsection (a)(1).
       (2) Cost effective allocation of bomber force structure.--
     The term ``cost effective allocation of bomber force 
     structure'' means the lowest cost for stationing, 
     maintaining, and operating the bomber fleet fully consistent 
     with the requirements of the National Security Strategy 
     referred to in subsection (a)(1).

     SEC. 1046. TECHNICAL AND CLERICAL AMENDMENTS.

       (a) Title 10, United States Code.--Title 10, United States 
     Code, is amended as follows:
       (1) The tables of chapters at the beginning of subtitle A, 
     and at the beginning of part II of subtitle A, are each 
     amended by striking the period after ``1111'' in the item 
     relating to chapter 56.
       (2) Section 119(g)(2) is amended by striking ``National 
     Security Subcommittee'' and inserting ``Subcommittee on 
     Defense''.
       (3) Section 130c(b)(3)(C) is amended by striking 
     ``subsection (f)'' and inserting ``subsection (g)''.
       (4) Section 176(a)(3) is amended by striking ``Chief 
     Medical Director'' and inserting ``Under Secretary for 
     Health''.
       (5)(A) Section 503(c) is amended in paragraph (6)(A)(i) by 
     striking ``14101(18)'' and ``8801(18)'' and inserting 
     ``14101'' and ``8801'', respectively.
       (B) The amendment made by subparagraph (A) shall take 
     effect on July 1, 2002, immediately after the amendment to 
     such section effective that date by section 563(a) of the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001 (as enacted by Public Law 106-398; 114 Stat. 131).
       (6) Section 663(e) is amended--
       (A) by striking ``Armed Forces Staff College'' in paragraph 
     (1) and inserting ``Joint Forces Staff College''; and
       (B) by striking ``Armed Forces Staff College'' and 
     inserting ``Joint Forces Staff College''.
       (7) Section 667(17) is amended by striking ``Armed Forces 
     Staff College'' both places it appears and inserting ``Joint 
     Forces Staff College''.
       (8) Section 874(a) is amended by inserting after ``a 
     sentence of confinement for life without eligibility for 
     parole'' the following: ``that is adjudged for an offense 
     committed after October 29, 2000''.
       (9) Section 1056(c)(2) is amended by striking ``, not later 
     than September 30, 1991,''.
       (10) The table of sections at the beginning of chapter 55 
     is amended by transferring the item relating to section 
     1074i, as inserted by section 758(b) of the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted by Public Law 106-398; 114 Stat. 1654A-200), so as to 
     appear after the item relating to section 1074h.
       (11) Section 1097a(e) is amended by striking ``section 
     1072'' and inserting ``section 1072(2)''.

[[Page 20166]]

       (12) Sections 1111(a) and 1114(a)(1) are each amended by 
     striking ``hereafter'' and inserting ``hereinafter''.
       (13) Section 1116 is amended--
       (A) in subsection (a)(2)(B), by inserting an open 
     parenthesis before ``other than for training''; and
       (B) in subsection (b)(2)(D), by striking ``section 
     111(c)(4)'' and inserting ``section 1115(c)(4)''.
       (14) The heading for subchapter II of chapter 75 is 
     transferred within that chapter so as to appear before the 
     table of sections at the beginning of that subchapter (as if 
     the amendment made by section 721(c)(1) of the National 
     Defense Authorization Act for Fiscal Year 2000 (Public Law 
     106-65; 113 Stat. 694) had inserted that heading following 
     section 1471 instead of before section 1475).
       (15) Section 1611(d) is amended by striking ``with''.
       (16) Section 2166(e)(9) is amended by striking ``App. 2'' 
     and inserting ``App.''.
       (17) Section 2323(a)(1)(C) is amended--
       (A) by striking ``section 1046(3)'' and inserting ``section 
     365(3)'';
       (B) by striking ``20 U.S.C. 1135d-5(3)'' and inserting ``20 
     U.S.C. 1067k''; and
       (C) by striking ``, which, for the purposes of this 
     section'' and all that follows through the period at the end 
     and inserting a period.
       (18) Section 2375(b) is amended by inserting ``(41 U.S.C. 
     430)'' after ``section 34 of the Office of Federal 
     Procurement Policy Act''.
       (19) Section 2376(1) is amended by inserting ``(41 U.S.C. 
     403)'' after ``section 4 of the Office of Federal Procurement 
     Policy Act''.
       (20) Section 2410f(a) is amended by inserting after 
     ``inscription'' the following: ``, or another inscription 
     with the same meaning,''.
       (21) Section 2461a(a)(2) is amended by striking 
     ``effeciency'' and inserting ``efficiency''.
       (22) Section 2467 is amended--
       (A) in subsection (a)(2)--
       (i) by striking ``, United States Code'' in subparagraph 
     (A); and
       (ii) by striking ``such'' in subparagraphs (B) and (C); and
       (B) in subsection (b)(2)(A), by striking ``United States 
     Code,''.
       (23) Section 2535 is amended--
       (A) in subsection (a)--
       (i) by striking ``intent of Congress'' and inserting 
     ``intent of Congress--'';
       (ii) by realigning clauses (1), (2), (3), and (4) so that 
     each such clause appears as a separate paragraph indented two 
     ems from the left margin; and
       (iii) in paragraph (1), as so realigned, by striking 
     ``Armed Forces'' and inserting ``armed forces'';
       (B) in subsection (b)(1)--
       (i) by striking ``in this section, the Secretary is 
     authorized and directed to--'' and inserting ``in subsection 
     (a), the Secretary of Defense shall--''; and
       (ii) by striking ``defense industrial reserve'' in 
     subparagraph (A) and inserting ``Defense Industrial 
     Reserve''; and
       (C) in subsection (c)--
       (i) by striking paragraph (1);
       (ii) by redesignating paragraph (2) as paragraph (1) and in 
     that paragraph--

       (I) by striking ``means'' and inserting ``means--'';
       (II) by realigning clauses (A), (B), and (C) so that each 
     such clause appears as a separate subparagraph indented four 
     ems from the left margin; and
       (III) by inserting ``and'' at the end of subparagraph (B), 
     as so realigned; and

       (iii) by redesignating paragraph (3) as paragraph (2).
       (24) Section 2541c is amended by striking ``subtitle'' both 
     places it appears in the matter preceding paragraph (1) and 
     inserting ``subchapter''.
       (25) The second section 2555, added by section 1203(a) of 
     the Floyd D. Spence National Defense Authorization Act for 
     Fiscal Year 2001 (as enacted by Public Law 106-398; 114 Stat. 
     1654A-324), is redesignated as section 2565, and the item 
     relating to that section in the table of sections at the 
     beginning of chapter 152 is revised to conform to such 
     redesignation.
       (26) The second section 2582, added by section 1(a) of 
     Public Law 106-446 (114 Stat. 1932), is redesignated as 
     section 2583, and the item relating to that section in the 
     table of sections at the beginning of chapter 153 is revised 
     to conform to such redesignation.
       (27)(A) Section 2693(a) is amended--
       (i) in the matter preceding paragraph (1), by inserting 
     ``of Defense'' after ``Secretary''; and
       (ii) in paragraph (3)--
       (I) by inserting ``to the Secretary of Defense'' after 
     ``certifies'';
       (II) by inserting ``(42 U.S.C. 3762a)'' after ``of 1968''; 
     and
       (III) by striking ``to the public agencies referred to in 
     section 515(a)(1) or 515(a)(3) of title I of such Act'' and 
     inserting ``to a public agency referred to in paragraph (1) 
     or (3) of subsection (a) of such section''.
       (B)(i) The heading of such section is amended to read as 
     follows:

     ``Sec. 2693. Conveyance of certain property: Department of 
       Justice correctional options program''.

       (ii) The item relating to such section in the table of 
     sections at the beginning of chapter 159 is amended to read 
     as follows:

``2693. Conveyance of certain property: Department of Justice 
              correctional options program.''.

       (28) Section 3014(f)(3) is amended by striking ``the number 
     equal to'' and all that follows and inserting ``67.''.
       (29) Section 5014(f)(3) is amended by striking ``the number 
     equal to'' and all that follows and inserting ``74.''.
       (30) Section 8014(f)(3) is amended by striking ``the number 
     equal to'' and all that follows and inserting ``60.''.
       (31) Section 9783(e)(1) is amended by striking 
     ``40101(a)(2)'' and inserting ``40102(a)(2)''.
       (32) Section 12741(a)(2) is amended by striking 
     ``received'' and inserting ``receive''.
       (b) Amendments Relating to Change in Title of Under 
     Secretary of Defense for Acquisition, Technology, and 
     Logistics.--Title 10, United States Code, is further amended 
     as follows:
       (1) Section 133a(b) is amended by striking ``shall assist 
     the Under Secretary of Defense for Acquisition and 
     Technology'' and inserting ``shall assist the Under Secretary 
     of Defense for Acquisition, Technology, and Logistics''.
       (2) The following provisions are each amended by striking 
     ``Under Secretary of Defense for Acquisition and Technology'' 
     and inserting ``Under Secretary of Defense for Acquisition, 
     Technology, and Logistics'': sections 139(c), 139(f), 
     171(a)(3), 179(a)(1), 1702, 1703, 1707(a), 1722(a), 
     1722(b)(2)(B), 1735(c)(1), 1737(c)(1), 1737(c)(2)(B), 
     1741(b), 1746(a), 1761(b)(4), 1763, 2302c(a)(2), 
     2304(f)(1)(B)(iii), 2304(f)(6)(B), 2311(c)(1), 2311(c)(2)(B), 
     2350a(b)(2), 2350a(e)(1)(A), 2350a(e)(2)(B), 2350a(f)(1), 
     2399(b)(3), 2435(b), 2435(d)(2), 2521(a), and 2534(i)(3).
       (3)(A) The heading for section 1702 is amended to read as 
     follows:

     ``Sec. 1702. Under Secretary of Defense for Acquisition, 
       Technology, and Logistics: authorities and 
       responsibilities''.

       (B) The item relating to section 1702 in the table of 
     sections at the beginning of subchapter I of chapter 87 is 
     amended to read as follows:

``1702. Under Secretary of Defense for Acquisition, Technology, and 
              Logistics: authorities and responsibilities.''.

       (4) Section 2503(b) is amended by striking ``Under 
     Secretary of Defense for Acquisition'' and inserting ``Under 
     Secretary of Defense for Acquisition, Technology, and 
     Logistics''.
       (c) Amendments To Substitute Calendar Dates for Date-of-
     Enactment References.--Title 10, United States Code, is 
     further amended as follows:
       (1) Section 130c(d)(1) is amended by striking ``the date of 
     the enactment of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001'' and inserting 
     ``October 30, 2000,''.
       (2) Section 184(a) is amended by striking ``the date of the 
     enactment of this section,'' and inserting ``October 30, 
     2000,''.
       (3) Section 986(a) is amended by striking ``the date of the 
     enactment of this section,'' and inserting ``October 30, 
     2000,''.
       (4) Section 1074g(a)(8) is amended by striking ``the date 
     of the enactment of this section'' and inserting ``October 5, 
     1999,''.
       (5) Section 1079(h)(2) is amended by striking ``the date of 
     the enactment of this paragraph'' and inserting ``February 
     10, 1996,''.
       (6) Section 1206(5) is amended by striking ``the date of 
     the enactment of the National Defense Authorization Act for 
     Fiscal Year 2000,'' and inserting ``October 5, 1999,''.
       (7) Section 1405(c)(1) is amended by striking ``the date of 
     the enactment of the National Defense Authorization Act for 
     Fiscal Year 1995,'' and inserting ``October 5, 1994,''.
       (8) Section 1407(f)(2) is amended by striking ``the date of 
     the enactment of this subsection--'' and inserting ``October 
     30, 2000--''.
       (9) Section 1408(d)(6) is amended by striking ``the date of 
     the enactment of this paragraph'' and inserting ``August 22, 
     1996,''.
       (10) Section 1511(b) is amended by striking ``the date of 
     the enactment of this chapter.'' and inserting ``February 10, 
     1996.''.
       (11) Section 2461a(b)(1) is amended by striking ``the date 
     of the enactment of this section,'' and inserting ``October 
     30, 2000,''.
       (12) Section 4021(c)(1) is amended by striking ``the date 
     of the enactment of this section.'' and inserting ``November 
     29, 1989.''.
       (13) Section 6328(a) is amended by striking ``the date of 
     the enactment of this section'' and inserting ``February 10, 
     1996,''.
       (14) Section 7439 is amended--
       (A) in subsection (a)(2), by striking ``one year after the 
     date of the enactment of this section,'' and inserting 
     ``November 18, 1998,'';
       (B) in subsection (b)(1), by striking ``the date of the 
     enactment of this section,'' and inserting ``November 18, 
     1997,'';
       (C) in subsection (b)(2), by striking ``the end of the one-
     year period beginning on the date of the enactment of this 
     section.'' and inserting ``November 18, 1998.''; and
       (D) in subsection (f)(2), by striking ``the date of the 
     enactment of this section'' and inserting ``November 18, 
     1997,''.
       (15) Section 12533 is amended--
       (A) in each of subsections (b) and (c)(1), by striking 
     ``the date of the enactment of this section.'' and inserting 
     ``November 18, 1997.''; and

[[Page 20167]]

       (B) in each of subsections (c)(2) and (d), by striking 
     ``the date of the enactment of this section'' and inserting 
     ``November 18, 1997,''.
       (16) Section 12733(3) is amended--
       (A) in subparagraph (B), by striking ``the date of the 
     enactment of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001;'' and inserting 
     ``October 30, 2000;''; and
       (B) in subparagraph (C), by striking ``the date of the 
     enactment of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001'' and inserting 
     ``October 30, 2000,''.
       (d) Amendments Relating to Change in Title of McKinney-
     Vento Homeless Assistance Act.--The following provisions are 
     each amended by striking ``Stewart B. McKinney Homeless 
     Assistance Act'' and inserting ``McKinney-Vento Homeless 
     Assistance Act'':
       (1) Sections 2814(j)(2), 2854a(d)(2), and 2878(d)(4) of 
     title 10, United States Code.
       (2) Sections 2905(b)(6)(A) and 2910(11) of the Defense Base 
     Closure and Realignment Act of 1990 (part A of title XXIX of 
     Public Law 101-510; 10 U.S.C. 2687 note).
       (3) Section 204(b)(6)(A) of the Defense Authorization 
     Amendments and Base Closure and Realignment Act (Public Law 
     100-526; 10 U.S.C. 2687 note).
       (4) Section 2915(c)(10) of the National Defense 
     Authorization Act for Fiscal Year 1994 (10 U.S.C. 2687 note).
       (5) Section 2(e)(4)(A) of the Base Closure Community 
     Redevelopment and Homeless Assistance Act of 1994 (Public Law 
     103-421; 10 U.S.C. 2687 note).
       (6) Section 1053(a) of the National Defense Authorization 
     Act for Fiscal Year 1997 (110 Stat. 2650).
       (e) Amendments To Repeal Obsolete Provisions.--Title 10, 
     United States Code, is further amended as follows:
       (1) Section 1144 is amended--
       (A) in subsection (a)(3), by striking the second sentence; 
     and
       (B) by striking subsection (e).
       (2) Section 1581(b) is amended--
       (A) by striking ``(1)'' and all that follows through ``The 
     Secretary of Defense shall deposit'' and inserting ``The 
     Secretary of Defense shall deposit''; and
       (B) by striking ``on or after December 5, 1991,''.
       (3) Subsection (e) of section 1722 is repealed.
       (4) Subsection 1732(a) is amended by striking the second 
     sentence.
       (5) Section 1734 is amended--
       (A) in subsection (b)(1)(B), by striking ``on and after 
     October 1, 1991,''; and
       (B) in subsection (e)(2), by striking the last sentence.
       (6)(A) Section 1736 is repealed.
       (B) The table of sections at the beginning of subchapter 
     III of chapter 87 is amended by striking the item relating to 
     section 1736.
       (7)(A) Sections 1762 and 1764 are repealed.
       (B) The table of sections at the beginning of subchapter V 
     of chapter 87 is amended by striking the items relating to 
     sections 1762 and 1764.
       (8) Section 2112(a) is amended by striking ``, with the 
     first class graduating not later than September 21, 1982''.
       (9) Section 2218(d)(1) is amended by striking ``for fiscal 
     years after fiscal year 1993''.
       (10)(A) Section 2468 is repealed.
       (B) The table of sections at the beginning of chapter 146 
     is amended by striking the item relating to section 2468.
       (11) Section 2832 is amended--
       (A) by striking ``(a)'' before ``The Secretary of 
     Defense''; and
       (B) by striking subsection (b).
       (12) Section 7430(b)(2) is amended--
       (A) by striking ``at a price less than'' and all that 
     follows through ``the current sales price'' and inserting 
     ``at a price less than the current sales price'';
       (B) by striking ``; or'' and inserting a period; and
       (C) by striking subparagraph (B).
       (f) Public Law 106-398.--Effective as of October 30, 2000, 
     and as if included therein as enacted, the Floyd D. Spence 
     National Defense Authorization Act for Fiscal Year 2001 (as 
     enacted into law by Public Law 106-398) is amended as 
     follows:
       (1) Section 525(b)(1) (114 Stat. 1654A-109) is amended by 
     striking ``subsection (c)'' and inserting ``subsections (a) 
     and (b)''.
       (2) Section 1152(c)(2) (114 Stat. 1654A-323) is amended by 
     inserting ``inserting'' after ``and''.
       (g) Public Law 106-65.--Effective as of October 5, 1999, 
     and as if included therein as enacted, the National Defense 
     Authorization Act for Fiscal Year 2000 (Public Law 106-65) is 
     amended as follows:
       (1) Section 531(b)(2)(A) (113 Stat. 602) is amended by 
     inserting ``in subsection (a),'' after ``(A)''.
       (2) Section 549(a)(2) (113 Stat. 611) is amended by 
     striking ``such chapter'' and inserting ``chapter 49 of title 
     10, United States Code,''.
       (3) Section 576(a)(3) (10 U.S.C. 1501 note; 113 Stat. 625) 
     is amended by adding a period at the end.
       (4) Section 577(a)(2) (113 Stat. 625) is amended by 
     striking ``bad conduct'' in the first quoted matter and 
     inserting ``bad-conduct''.
       (5) Section 811(d)(3)(B)(v) (10 U.S.C. 2302 note; 113 Stat. 
     709) is amended by striking ``Mentor-Protegee'' and inserting 
     ``Mentor-Protege''.
       (6) Section 1052(b)(1) (113 Stat. 764) is amended by 
     striking `` `The Department'' and inserting ``the 
     `Department''.
       (7) Section 1053(a)(5) (10 U.S.C. 113 note; 113 Stat. 764) 
     is amended by inserting ``and'' before ``Marines''.
       (8) Section 1402(f)(2)(A) (22 U.S.C. 2778 note; 113 Stat. 
     799) is amended by striking ``3201 note'' and inserting 
     ``6305(4)''.
       (9) Section 2902(d) (10 U.S.C. 111 note; 113 Stat. 882) is 
     amended by striking ``section 2871(b)'' and inserting 
     ``section 2881(b)''.
       (h) Public Law 102-484.--The National Defense Authorization 
     Act for Fiscal Year 1993 (Public Law 102-484) is amended as 
     follows:
       (1) Section 3161(c)(6)(C) (42 U.S.C. 7274h(c)(6)(C)) is 
     amended by striking ``title IX of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3241 et seq.)'' 
     and inserting ``title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.)''.
       (2) Section 4416(b)(1) (10 U.S.C. 12681 note) is amended by 
     striking ``force reduction period'' and inserting ``force 
     reduction transition period''.
       (3) Section 4461(5) (10 U.S.C. 1143 note) is amended by 
     adding a period at the end.
       (i) Other Laws.--
       (1) Section 1083(c) of the National Defense Authorization 
     Act for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 113 
     note) is amended by striking ``Names'' and inserting 
     ``Name''.
       (2) Section 845(d)(1)(B)(ii) of the National Defense 
     Authorization Act for Fiscal Year 1994 (Public Law 103-160; 
     10 U.S.C. 2371 note) is amended by inserting a closed 
     parenthesis after ``41 U.S.C. 414(3))''.
       (3) Section 1123(b) of the National Defense Authorization 
     Act for Fiscal Years 1990 and 1991 (Public Law 101-189; 103 
     Stat. 1556) is amended by striking ``Armed Forces Staff 
     College'' each place it appears and inserting ``Joint Forces 
     Staff College''.
       (4) Section 1412(g)(2)(C)(vii) of the Department of Defense 
     Authorization Act, 1986 (50 U.S.C. 1521(g)(2)(C)(vii)) is 
     amended by striking ``(c)(3)'' and inserting ``(c)(4)''.
       (5) Section 8336 of title 5, United States Code, is 
     amended--
       (A) in subsection (d)(2), by striking ``subsection (o)'' 
     and inserting ``subsection (p)''; and
       (B) by redesignating the second subsection (o), added by 
     section 1152(a)(2) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted by Public 
     Law 106-398; 114 Stat. 1654A-320), as subsection (p).
       (6) Section 9001(3) of title 5, United States Code, is 
     amended by striking ``and'' at the end of subparagraph (A) 
     and inserting ``or''.
       (7) Section 318(h)(3) of title 37, United States Code, is 
     amended by striking ``subsection (a)'' and inserting 
     ``subsection (b)''.
       (8) Section 3695(a)(5) of title 38, United States Code, is 
     amended by striking ``1610'' and inserting ``1611''.
       (9) Section 13(b) of the Peace Corps Act (22 U.S.C. 
     2512(b)) is amended by striking ``, subject to section 5532 
     of title 5, United States Code''.
       (10) Section 127(g)(6) of the Trade Deficit Review 
     Commission Act (19 U.S.C. 2213 note), as amended by section 
     311(b) of the Legislative Branch Appropriations Act, 2000 
     (Public Law 106-57; 113 Stat. 428), is amended--
       (A) by striking ``authorities.--'' and all that follows 
     through ``An individual'' and inserting ``authorities.--An 
     individual''; and
       (B) by striking subparagraph (B).
       (11) Section 28 of the Atomic Energy Act of 1954 (42 U.S.C. 
     2038) is amended in the last sentence by striking '', subject 
     to'' and all that follows through the period at the end and 
     inserting a period.
       (12) Section 3212 of the National Nuclear Security 
     Administration Act (50 U.S.C. 2402) is amended by 
     redesignating the second subsection (e), added by section 
     3159(a) of the Floyd D. Spence National Defense Authorization 
     Act for Fiscal Year 2001 (as enacted by Public Law 106-398; 
     114 Stat. 1654A-469), as subsection (f).

     SEC. 1047. LEASING OF NAVY SHIPS FOR UNIVERSITY NATIONAL 
                   OCEANOGRAPHIC LABORATORY SYSTEM.

       Subsection (g) of section 2667 of title 10, United States 
     Code, is amended by adding at the end the following new 
     paragraph:
       ``(3) Paragraph (1) does not apply to a renewal or 
     extension of a lease by the Secretary of the Navy with a 
     selected institution for operation of a ship within the 
     University National Oceanographic Laboratory System if, under 
     the lease, each of the following applies:
       ``(A) Use of the ship is restricted to federally supported 
     research programs and to non-Federal uses under specific 
     conditions with approval by the Secretary of the Navy.
       ``(B) Because of the anticipated value to the Navy of the 
     oceanographic research and training that will result from the 
     ship's operation, no monetary lease payments are required 
     from the lessee under the initial lease or under any renewal 
     or extension.
       ``(C) The lessee is required to maintain the ship in a good 
     state of repair, readiness, and efficient operating 
     condition, conform to all applicable regulatory requirements, 
     and assume full responsibility for the safety of the ship, 
     its crew, and scientific personnel aboard.''.

[[Page 20168]]



     SEC. 1048. SENSE OF CONGRESS REGARDING CONTINUED UNITED 
                   STATES COMMITMENT TO RESTORING LAFAYETTE 
                   ESCADRILLE MEMORIAL, MARNES LA-COGUETTE, 
                   FRANCE.

       (a) Findings.--Congress finds the following:
       (1) The Lafayette Escadrille, an aviation squadron within 
     the French Lafayette Flying Corps, was formed April 16, 1916.
       (2) The Lafayette Escadrille consisted of aviators from the 
     United States who volunteered to fight for the people of 
     France during World War I.
       (3) 265 volunteers from the United States served in the 
     Lafayette Flying Corps, completing 3,000 combat sorties and 
     amassing nearly 200 victories.
       (4) The Lafayette Escadrille won 4 Legions of Honor, 7 
     Medailles Militaires, and 31 citations, each with a Croix de 
     Guerre.
       (5) In 1918, command of the Lafayette Escadrille was 
     transferred to the United States, where the Lafayette 
     Escadrille became the combat air force of the United States.
       (6) In 1921, a Franco-American committee was organized to 
     locate a final resting place for the 68 United States 
     aviators who lost their lives flying for France during World 
     War I.
       (7) The Lafayette Escadrille Memorial was dedicated on July 
     4, 1928, in honor of all United States aviators who flew for 
     France during World War I.
       (8) The Lafayette Escadrille Memorial Foundation, located 
     in the United States and in France, was founded by Nelson 
     Cromwell in 1930 and endowed with a $1,500,000 trust for the 
     maintenance and upkeep of the Lafayette Escadrille Memorial.
       (9) Environmental conditions have contributed to structural 
     damage to, and the overall degradation of, the Lafayette 
     Escadrille Memorial, preventing the holding of memorial 
     services inside the crypt.
       (10) The French Government has pledged funds to support a 
     restoration of the Lafayette Escadrille Memorial.
       (11) The Lafayette Escadrille Memorial should be restored 
     to its original beauty to honor all the United States 
     aviators who flew for France during World War I and to 
     demonstrate the respect of the United States for the 
     sacrifices made by all Americans who have served our Nation 
     and our allies.
       (b) Sense of Congress.--It is the sense of Congress that 
     the United States should continue to honor its commitment to 
     the United States aviators who lost their lives flying for 
     France during World War I by appropriating sufficient funds 
     to restore the Lafayette Escadrille Memorial in Marnes La-
     Coguette, France.

     SEC. 1049. DESIGNATION OF FIREFIGHTER ASSISTANCE PROGRAM IN 
                   HONOR OF FLOYD D. SPENCE, A FORMER MEMBER OF 
                   THE HOUSE OF REPRESENTATIVES, AND SENSE OF 
                   CONGRESS ON NEED TO CONTINUE THE PROGRAM.

       (a) Designation.--Section 33(b)(2)(A) of the Federal Fire 
     Prevention and Control Act of 1974 (15 U.S.C. 2229(b)(2)(A)) 
     is amended--
       (1) by inserting ``and designation'' after 
     ``Establishment''; and
       (2) by adding at the end the following new sentence: ``The 
     program of firefighter assistance administered by the Office 
     shall be known as the `Floyd D. Spence Memorial Domestic 
     Defenders Initiative'.''.
       (b) Sense of Congress.--The firefighters assistance grant 
     program authorized by section 33 of the Federal Fire 
     Prevention and Control Act of 1974 (15 U.S.C. 2229) is 
     recognized as having served as an effective device in 
     Congress' ongoing effort to address the needs of America's 
     fire service, and it is the sense of Congress that the 
     program should be reauthorized for fiscal year 2003 and 
     subsequent fiscal years at a higher level of funding.

     SEC. 1050. SENSE OF CONGRESS ON IMPLEMENTATION OF FUEL 
                   EFFICIENCY REFORMS IN DEPARTMENT OF DEFENSE.

       (a) Findings.--Congress finds the following:
       (1) The Federal Government is the largest single energy 
     user in the United States, and the Department of Defense is 
     the largest energy user among all Federal agencies.
       (2) The Department of Defense consumed 595,000,000,000,000 
     BTUs of petroleum in fiscal year 1999, while all other 
     Federal agencies combined consumed 56,000,000,000,000 BTUs of 
     petroleum.
       (3) The total cost of petroleum to the Department of 
     Defense amounted to $3,600,000,000 in fiscal year 2000.
       (4) Increased fuel efficiency would reduce the cost of 
     delivering fuel to military units during operations and 
     training and allow a corresponding percentage of defense 
     dollars to be reallocated to logistic shortages and other 
     readiness needs.
       (5) Increased fuel efficiency would decrease the time 
     needed to assemble military units, would increase unit 
     flexibility, and would allow units to remain in the field for 
     a longer period of time.
       (b) Sense of Congress.--It is the sense of Congress that 
     the Secretary of Defense should work to implement fuel 
     efficiency reforms, as recommended by the Defense Science 
     Board report, which allow for investment decisions based on 
     the true cost of delivered fuel, strengthen the linkage 
     between warfighting capability and fuel logistics 
     requirements, provide high-level leadership encouraging fuel 
     efficiency, target fuel efficiency improvements through 
     science and technology investment, and include fuel 
     efficiency in requirements and acquisition processes.

     SEC. 1051. PLAN FOR SECURING RUSSIA'S NUCLEAR WEAPONS, 
                   MATERIAL, AND EXPERTISE.

       (a) Plan for Nonproliferation Programs With Russia.--Not 
     later than June 15, 2002, the President shall submit to 
     Congress a plan--
       (1) for cooperation with Russia on disposition as soon as 
     practicable of nuclear weapons and weapons-usable nuclear 
     material in Russia that Russia does not retain in its nuclear 
     arsenal; and
       (2) to prevent the outflow from Russia of scientific 
     expertise that could be used for developing nuclear weapons 
     or other weapons of mass destruction, including delivery 
     systems.
       (b) Content of Plan.--The plan required by subsection (a) 
     shall include the following:
       (1) Specific goals and measurable objectives for the 
     programs that are designed to carry out the objectives 
     specified in paragraphs (1) and (2) of subsection (a).
       (2) Criteria for success for those programs and a strategy 
     for eventual termination of United States contributions to 
     those programs and assumption of the ongoing support of those 
     programs by Russia.
       (3) A description of any administrative and organizational 
     changes necessary to improve the coordination and 
     effectiveness of the programs to be implemented under the 
     plan.
       (4) An estimate of the cost of carrying out those programs.
       (c) Consultation With Russia.--In developing the plan 
     required by subsection (a), the President shall consult with 
     Russia regarding the practicality of various options.
       (d) Consultation With Congress.--In developing the plan 
     required by subsection (a), the President shall consult with 
     the majority and minority leadership of the appropriate 
     committees of Congress.

     SEC. 1052. TWO-YEAR EXTENSION OF ADVISORY PANEL TO ASSESS 
                   DOMESTIC RESPONSE CAPABILITIES FOR TERRORISM 
                   INVOLVING WEAPONS OF MASS DESTRUCTION.

       Section 1405 of the Strom Thurmond National Defense 
     Authorization Act for Fiscal Year 1999 (50 U.S.C. 2301 note) 
     is amended--
       (1) in subsection (h)(2), by striking ``2001'' and 
     inserting ``2003''; and
       (2) in subsection (l), by striking ``three years'' and 
     inserting ``five years''.

     SEC. 1053. ACTION TO PROMOTE NATIONAL DEFENSE FEATURES 
                   PROGRAM.

       (a) Findings.--The Congress finds the following:
       (1) The National Defense Features program, which is funded 
     from the National Defense Sealift Fund established by section 
     2218 of title 10, United States Code, is a constituent 
     element of the defense policy of the United States intended 
     to provide essential sealift capacity in emergencies, 
     strengthen the national shipbuilding base, and maintain a 
     resource of highly trained merchant seamen.
       (2) Implementation of the National Defense Features program 
     would provide significant benefits both for the United States 
     and for allied nations during military contingencies.
       (3) For the United States and nations allied with the 
     United States to realize these benefits, it is essential that 
     vessels built under that program enjoy commercial 
     opportunities in peacetime on trade routes between the United 
     States and allied nations and that those vessels not be 
     excluded from such opportunities through restrictive trade 
     practices.
       (4) The failure of vessels built, or to be built, under the 
     National Defense Features program to obtain employment as 
     common carriers or contract carriers in the particular sector 
     of any trade route in the foreign commerce of the United 
     States for which they are designed to operate, together with 
     long-term domination of that sector of the trade route by 
     citizens of an allied nation, evidences the existence of 
     restrictive trade practices.
       (b) Action to Promote Program.--In any case in which the 
     Secretary of Defense finds the existence of the conditions 
     determined by subsection (a)(4) to prove the existence of 
     restrictive trade practices, the Secretary shall certify the 
     csae to the Federal Maritime Commission, which thereupon, in 
     consultation with the Secretary, shall take action to 
     counteract such practices, utilizing all remedies available 
     under section 10002(e)(1) of the Foreign Shipping Practices 
     Act of 1988 (46 U.S.C. App. 1710a).

     SEC. 1054. AMENDMENTS RELATING TO COMMISSION ON THE FUTURE OF 
                   THE UNITED STATES AEROSPACE INDUSTRY.

       (a) Deadline for Report.--Subsection (d)(1) of section 1092 
     of the Floyd D. Spence National Defense Authorization Act for 
     Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
     114 Stat. 1654A-302) is amended by striking ``March 1, 2002'' 
     and inserting ``one year after the date of the first official 
     meeting of the Commission''.
       (b) Termination of Commission.--Subsection (g) of such 
     section is amended by striking ``30 days'' and inserting ``60 
     days''.

[[Page 20169]]



     SEC. 1055. AUTHORITY TO ACCEPT MONETARY CONTRIBUTIONS FOR 
                   REPAIR AND RECONSTRUCTION OF PENTAGON 
                   RESERVATION.

       Section 2674(e) of title 10, United States Code, is 
     amended--
       (1) by redesignating paragraph (2) as paragraph (3);
       (2) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) The Secretary of Defense may accept monetary 
     contributions made for the purpose of assisting to finance 
     the repair and reconstruction of the Pentagon Reservation 
     following the terrorist attack that occurred on September 11, 
     2001. The Secretary shall deposit such contributions in the 
     Fund.''; and
       (3) in paragraph (3), as redesignated, by inserting at the 
     end the following new sentence: ``However, contributions 
     accepted under paragraph (2) shall be available for 
     expenditure only for the purpose specified in such 
     paragraph.''.

                      TITLE XI--CIVILIAN PERSONNEL

     SEC. 1101. UNDERGRADUATE TRAINING PROGRAM FOR EMPLOYEES OF 
                   THE NATIONAL IMAGERY AND MAPPING AGENCY.

       (a) Authority To Carry Out Training Program.--Subchapter 
     III of chapter 22 of title 10, United States Code, is amended 
     by adding at the end the following new section:

     ``Sec. 462. Undergraduate training program

       ``(a) Authority To Carry Out Program.--The Secretary of 
     Defense may authorize the Director of the National Imagery 
     and Mapping Agency to establish an undergraduate training 
     program under which civilian employees of the National 
     Imagery and Mapping Agency may be assigned as students at 
     accredited professional, technical, and other institutions of 
     higher learning for training at the undergraduate level in 
     skills critical to effective performance of the mission of 
     the National Imagery and Mapping Agency. Such training may 
     lead to the award of a baccalaureate degree.
       ``(b) Purpose.--The purpose of the program authorized by 
     subsection (a) is to facilitate the recruitment of 
     individuals, particularly minority high school students, with 
     a demonstrated capability to develop skills critical to the 
     mission of the National Imagery and Mapping Agency, including 
     skills in mathematics, computer science, engineering, and 
     foreign languages.
       ``(c) Requirements.--(1) To be eligible for assignment 
     under subsection (a), an employee of the National Imagery and 
     Mapping Agency must agree in writing--
       ``(A) to continue in the service of the National Imagery 
     and Mapping Agency for the period of the assignment and to 
     complete the educational course of training for which the 
     employee is assigned;
       ``(B) to continue in the service of the National Imagery 
     and Mapping Agency following completion of the assignment for 
     a period of one-and-a-half years for each year of the 
     assignment or part thereof;
       ``(C) to reimburse the United States for the total cost of 
     education (excluding the employee's pay and allowances) 
     provided under this section to the employee if, before the 
     employee's completing the educational course of training for 
     which the employee is assigned, the assignment or the 
     employee's employment with the National Imagery and Mapping 
     Agency is terminated either by the National Imagery and 
     Mapping Agency due to misconduct by the employee or by the 
     employee voluntarily; and
       ``(D) to reimburse the United States if, after completing 
     the educational course of training for which the employee is 
     assigned, the employee's employment with the National Imagery 
     and Mapping Agency is terminated either by the National 
     Imagery and Mapping Agency due to misconduct by the employee 
     or by the employee voluntarily, before the employee's 
     completion of the service obligation period described in 
     subparagraph (B), in an amount that bears the same ratio to 
     the total cost of the education (excluding the employee's pay 
     and allowances) provided to the employee as the unserved 
     portion of the service obligation period described in 
     subparagraph (B) bears to the total period of the service 
     obligation described in subparagraph (B).
       ``(2) Subject to paragraph (3), the obligation to reimburse 
     the United States under an agreement described in paragraph 
     (1), including interest due on such obligation, is for all 
     purposes a debt owing the United States.
       ``(3)(A) A discharge in bankruptcy under title 11, United 
     States Code, shall not release a person from an obligation to 
     reimburse the United States required under an agreement 
     described in paragraph (1) if the final decree of the 
     discharge in bankruptcy is issued within five years after the 
     last day of the combined period of service obligation 
     described in subparagraphs (A) and (B) of paragraph (1).
       ``(B) The Secretary of Defense may release a person, in 
     whole or in part, from the obligation to reimburse the United 
     States under an agreement described in paragraph (1) when, in 
     his discretion, the Secretary determines that equity or the 
     interests of the United States so require.
       ``(C) The Secretary of Defense shall permit an employee 
     assigned under this section who, before commencing a second 
     academic year of such assignment, voluntarily terminates the 
     assignment or the employee's employment with the National 
     Imagery and Mapping Agency, to satisfy his obligation under 
     an agreement described in paragraph (1) by reimbursing the 
     United States according to a schedule of monthly payments 
     which results in completion of reimbursement by a date five 
     years after the date of termination of the assignment or 
     employment or earlier at the option of the employee.
       ``(d) Disclosure Required.--(1) When an employee is 
     assigned under this section to an institution, the Secretary 
     shall disclose to the institution to which the employee is 
     assigned that the National Imagery and Mapping Agency employs 
     the employee and that the National Imagery and Mapping Agency 
     funds the employee's education.
       ``(2) Efforts by the Secretary to recruit individuals at 
     educational institutions for participation in the 
     undergraduate training program established by this section 
     shall be made openly and according to the common practices of 
     universities and employers recruiting at such institutions.
       ``(e) Appropriation of Funds Required.--The Secretary may 
     pay, directly or by reimbursement to employees, expenses 
     incident to assignments under subsection (a), in any fiscal 
     year only to the extent that appropriated funds are available 
     for such purpose.
       ``(f) Inapplicability of Certain Laws.--Chapter 41 of title 
     5 and subsections (a) and (b) of section 3324 of title 31 
     shall not apply with respect to this section.
       ``(g) Regulations.--The Secretary of Defense may prescribe 
     such regulations as may be necessary to implement this 
     section.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such subchapter is amended by adding at the end 
     the following new item:

``462. Undergraduate training program.''.

     SEC. 1102. PILOT PROGRAM FOR PAYMENT OF RETRAINING EXPENSES.

       (a) Authority To Carry Out Pilot Program.--(1) The 
     Secretary of Defense may establish a pilot program to 
     facilitate the reemployment of eligible employees of the 
     Department of Defense who are involuntarily separated due to 
     a reduction in force, relocation as a result of a transfer of 
     function, realignment, or change of duty station. Under the 
     pilot program, the Secretary may pay retraining incentives to 
     encourage non-Federal employers to hire and retain such 
     eligible employees.
       (2) Under the pilot program, the Secretary may enter into 
     an agreement with a non-Federal employer under which the 
     employer agrees--
       (A) to employ an eligible employee for at least 12 months 
     at a salary that is mutually agreeable to the employer and 
     the eligible employee; and
       (B) to certify to the Secretary the amount of costs 
     incurred by the employer for any necessary training (as 
     defined by the Secretary) provided to such eligible employee 
     in connection with the employment.
       (3) The Secretary may pay a retraining incentive to the 
     non-Federal employer upon the employee's completion of 12 
     months of continuous employment with that employer. The 
     Secretary shall determine the amount of the incentive, except 
     that in no event may such amount exceed the amount certified 
     with respect to such eligible employee under paragraph 
     (2)(A), or $10,000, whichever is greater.
       (4) In a case in which an eligible employee does not remain 
     employed by the non-Federal employer for at least 12 months, 
     the Secretary may pay to the employer a prorated amount of 
     what would have been the full retraining incentive if the 
     eligible employee had remained employed for such 12-month 
     period.
       (b) Eligible Employees.--For purposes of this section, an 
     eligible employee is an employee of the Department of 
     Defense, serving under an appointment without time 
     limitation, who has been employed by the Department for a 
     continuous period of at least 12 months and who has been 
     given notice of separation pursuant to a reduction in force, 
     relocation as a result of a transfer of function, 
     realignment, or change of duty station, except that such term 
     does not include--
       (1) a reemployed annuitant under the retirement systems 
     described in subchapter III of chapter 83 of title 5, United 
     States Code, or chapter 84 of such title, or another 
     retirement system for employees of the Federal Government;
       (2) an employee who, upon separation from Federal service, 
     is eligible for an immediate annuity under subchapter III of 
     chapter 83 of such title, or subchapter II of chapter 84 of 
     such title; or
       (3) an employee who is eligible for disability retirement 
     under any of the retirement systems referred to in paragraph 
     (1).
       (c) Duration.--No incentive may be paid under the pilot 
     program for training commenced after September 30, 2005.
       (d) Definitions.--In this section:
       (1) The term ``non-Federal employer'' means an employer 
     that is not an Executive agency, as defined in section 105 of 
     title 5, United States Code, or an entity in the legislative 
     or judicial branch of the Federal Government.
       (2) The term ``reduction in force'' has the meaning of that 
     term as used in chapter 35 of such title 5.

[[Page 20170]]

       (3) The term ``realignment'' has the meaning given that 
     term in section 2910 of the Defense Base Closure and 
     Realignment Act of 1990 (title XXIX of Public Law 101-510; 10 
     U.S.C. 2687 note).

     SEC. 1103. PAYMENT OF EXPENSES TO OBTAIN PROFESSIONAL 
                   CREDENTIALS.

       (a) In General.--Chapter 57 of title 5, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 5757. Payment of expenses to obtain professional 
       credentials

       ``(a) An agency may use appropriated funds or funds 
     otherwise available to the agency to pay for--
       ``(1) expenses for employees to obtain professional 
     credentials, including expenses for professional 
     accreditation, State-imposed and professional licenses, and 
     professional certification; and
       ``(2) examinations to obtain such credentials.
       ``(b) The authority under subsection (a) may not be 
     exercised on behalf of any employee occupying or seeking to 
     qualify for appointment to any position that is excepted from 
     the competitive service because of the confidential, policy-
     determining, policy-making, or policy-advocating character of 
     the position.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``5757. Payment of expenses to obtain professional credentials.''.

     SEC. 1104. RETIREMENT PORTABILITY ELECTIONS FOR CERTAIN 
                   DEPARTMENT OF DEFENSE AND COAST GUARD 
                   EMPLOYEES.

       (a) Civil Service Retirement System.--Section 8347(q) of 
     title 5, United States Code, is amended--
       (1) in paragraph (1)(B), by striking ``has 5 or more years 
     of civilian service creditable under'' and inserting ``is 
     employed subject to''; and
       (2) in paragraph (2)(B)--
       (A) by striking ``vested''; and
       (B) by striking ``, as the term `vested participant' is 
     defined by such system''.
       (b) Federal Employees' Retirement System.--Section 8461(n) 
     of such title is amended--
       (1) in paragraph (1)(B), by striking ``has 5 or more years 
     of civilian service creditable under'' and inserting ``is 
     employed subject to''; and
       (2) in paragraph (2)(B)--
       (A) by striking ``vested''; and
       (B) by striking ``, as the term `vested participant' is 
     defined by such system''.

     SEC. 1105. REMOVAL OF REQUIREMENT THAT GRANTING CIVIL SERVICE 
                   COMPENSATORY TIME BE BASED ON AMOUNT OF 
                   IRREGULAR OR OCCASIONAL OVERTIME WORK.

       Section 5543 of title 5, United States Code, is amended by 
     striking ``irregular or occasional'' in each place such words 
     appear.

     SEC. 1106. APPLICABILITY OF CERTAIN LAWS TO CERTAIN 
                   INDIVIDUALS ASSIGNED TO WORK IN THE FEDERAL 
                   GOVERNMENT.

       Section 3374(c)(2) of title 5, United States Code, is 
     amended by inserting ``the Ethics in Government Act of 1978, 
     section 1043 of the Internal Revenue Code of 1986, section 27 
     of the Office of Federal Procurement Policy Act,'' after 
     ``chapter 73 of this title,''.

     SEC. 1107. LIMITATION ON PREMIUM PAY.

       Section 5547 of title 5, United States Code, is amended--
       (1) by striking subsections (a) and (b) and inserting the 
     following new subsections:
       ``(a) An employee may be paid premium pay under sections 
     5542, 5545 (a), (b), and (c), 5545a, and 5546 (a) and (b) of 
     this title only to the extent that the aggregate of such 
     employee's basic pay and premium pay under those provisions 
     would, in any calendar year, exceed the maximum rate payable 
     for GS-15 in effect at the end of such calendar year.
       ``(b) Subsection (a) shall not apply to any employee of the 
     Federal Aviation Administration or the Department of Defense 
     who is paid premium pay under section 5546a of this title.''; 
     and
       (2) in subsection (c)--
       (A) in paragraph (1), by striking ``Subsections (a) and 
     (b)'' and inserting ``Subsection (a)''; and
       (B) in paragraph (2), by striking ``pay period'' and 
     inserting ``calendar year''.

     SEC. 1108. USE OF COMMON OCCUPATIONAL AND HEALTH STANDARDS AS 
                   A BASIS FOR DIFFERENTIAL PAYMENTS MADE AS A 
                   CONSEQUENCE OF EXPOSURE TO ASBESTOS.

       (a) Prevailing Rate Systems.--Section 5343(c)(4) of title 
     5, United States Code, is amended by inserting before the 
     semicolon the following: ``(and for any hardship or hazard 
     related to asbestos, such differentials shall be determined 
     by applying occupational safety and health standards 
     consistent with the permissible exposure limit promulgated by 
     the Secretary of Labor under the Occupational Safety and 
     Health Act of 1970)''.
       (b) General Schedule Pay Rates.--The first sentence of 
     section 5545(d) of such title is amended by inserting before 
     the period the following: ``(and for any hardship or hazard 
     related to asbestos, such differentials shall be determined 
     by applying occupational safety and health standards 
     consistent with the permissible exposure limit promulgated by 
     the Secretary of Labor under the Occupational Safety and 
     Health Act of 1970)''.
       (c) Applicability.--Any administrative or judicial 
     determination made after the date of the enactment of this 
     Act concerning differential back payments related to asbestos 
     under section 5343(c)(4) or 5545(d) of such title shall be 
     based on the occupational safety and health standards 
     described in such section, respectively.

     SEC. 1109. AUTHORITY FOR DESIGNATED CIVILIAN EMPLOYEES ABROAD 
                   TO ACT AS A NOTARY.

       (a) In General.--Paragraph (4) of section 1044a(b) of title 
     10, United States Code, is amended--
       (1) by inserting ``and, when outside the United States, all 
     civilian employees of the Department of Defense,'' after 
     ``duty status,''; and
       (2) by inserting ``or the Department of Defense'' before 
     ``or by statute''.
       (b) Clarification of Status of Civilian Attorneys Acting as 
     a Notary.--Paragraph (2) of such section is amended by 
     striking ``legal assistance officers'' and inserting ``legal 
     assistance attorneys''.

     SEC. 1110. ``MONRONEY AMENDMENT'' RESTORED TO ITS PRIOR FORM.

       Paragraph (2) of section 5343(d) of title 5, United States 
     Code, is amended to read as such paragraph last read before 
     the enactment of section 1242 of the Department of Defense 
     Authorization Act, 1986 (Public Law 99-145; 99 Stat. 735).

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

     SEC. 1201. CLARIFICATION OF AUTHORITY TO FURNISH NUCLEAR TEST 
                   MONITORING EQUIPMENT TO FOREIGN GOVERNMENTS.

       Section 2565 of title 10, United States Code, as 
     redesignated by section 1047(a)(25), is amended--
       (1) in subsection (a)--
       (A) by striking ``Convey or'' in the subsection heading and 
     inserting ``Transfer Title to or Otherwise'';
       (B) in paragraph (1)--
       (i) by striking ``convey'' and inserting ``transfer 
     title''; and
       (ii) by striking ``and'' after ``equipment;'';
       (C) by striking the period at the end of paragraph (2) and 
     inserting ``; and''; and
       (D) by adding at the end the following new paragraph:
       ``(3) inspect, test, maintain, repair, or replace any such 
     equipment.''; and
       (2) in subsection (b)--
       (A) by striking ``conveyed or otherwise provided'' and 
     inserting ``provided to a foreign government'';
       (B) by inserting ``and'' at the end of paragraph (1);
       (C) by striking ``; and'' at the end of paragraph (2) and 
     inserting a period; and
       (D) by striking paragraph (3).

     SEC. 1202. ACQUISITION OF LOGISTICAL SUPPORT FOR SECURITY 
                   FORCES.

       Section 5 of the Multinational Force and Observers 
     Participation Resolution (22 U.S.C. 3424) is amended by 
     adding at the end the following new subsection:
       ``(d)(1) The United States may use contractors to provide 
     logistical support to the Multinational Force and Observers 
     under this section in lieu of providing such support through 
     a logistical support unit comprised of members of the United 
     States Armed Forces.
       ``(2) Notwithstanding subsections (a) and (b) and section 
     7(b), support by a contractor under this subsection may be 
     provided without reimbursement, whenever the President 
     determines that such action enhances or supports the national 
     security interests of the United States.''.

     SEC. 1203. REPORT ON THE SALE AND TRANSFER OF MILITARY 
                   HARDWARE, EXPERTISE, AND TECHNOLOGY FROM STATES 
                   OF THE FORMER SOVIET UNION TO THE PEOPLE'S 
                   REPUBLIC OF CHINA.

       Section 1202 of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 113 Stat. 781; 10 U.S.C. 
     113 note) is amended by adding at the end the following new 
     subsection:
       ``(d) Report on Sales and Transfers From States of the 
     Former Soviet Union to China.--(1) The report to be submitted 
     under this section not later than March 1, 2002, shall 
     include in a separate section a report describing the sales 
     and transfer of military hardware, expertise, and technology 
     from states of the former Soviet Union to the People's 
     Republic of China. The report shall set forth the history of 
     such sales and transfers since 1990, forecast possible future 
     sales and transfers, and address the implications of those 
     sales and transfers for the security of the United States and 
     its friends and allies in Asia.
       ``(2) The report shall include analysis and forecasts of 
     the following matters related to military cooperation between 
     states of the former Soviet Union and the People's Republic 
     of China:
       ``(A) The policy of each of those states with respect to 
     arms sales to, and military

[[Page 20171]]

     cooperation with, the People's Republic of China.
       ``(B) Any laws or regulations of those states that could 
     prohibit or limit such sales or cooperation.
       ``(C) The extent in each of those states of government 
     knowledge, cooperation, or condoning of sales or transfers of 
     military hardware, expertise, or technology to the People's 
     Republic of China.
       ``(D) An itemization of sales or transfers of military 
     hardware, expertise, or technology from any of those states 
     to the People's Republic of China that have taken place since 
     1990, with a particular focus on command, control, 
     communications, and intelligence systems.
       ``(E) A description of any sale or transfer of military 
     hardware, expertise, or technology from any of those states 
     to the People's Republic of China that is currently under 
     negotiation or contemplation through the end of 2005.
       ``(F) Identification of Chinese defense industries in which 
     technicians from states of the former Soviet Union are 
     working and of defense industries of those states in which 
     Chinese technicians are working and a description in each 
     case of the extent and the nature of the work performed by 
     such technicians.
       ``(G) The extent of assistance by any of those states to 
     key research and development programs of China, including 
     programs for development of weapons of mass destruction and 
     delivery vehicles for such weapons, programs for development 
     of advanced conventional weapons, and programs for 
     development of unconventional weapons.
       ``(H) The extent of assistance by any of those states to 
     information warfare or electronic warfare programs of China.
       ``(I) The extent of assistance by any of those states to 
     manned and unmanned space operations of China.
       ``(J) The extent to which arms sales by any of those states 
     to the People's Republic of China are a source of funds for 
     military research and development or procurement programs in 
     the selling state.
       ``(3) The report under paragraph (1) shall include, with 
     respect to each area of analysis and forecasts specified in 
     paragraph (2)--
       ``(A) an assessment of the military effects of such sales 
     or transfers to entities in the People's Republic of China;
       ``(B) an assessment of the ability of the People's 
     Liberation Army to assimilate such sales or transfers, mass 
     produce new equipment, or develop doctrine for use; and
       ``(C) the potential threat of developments related to such 
     effects on the security interests of the United States and 
     its friends and allies in Asia.''.

     SEC. 1204. LIMITATION ON FUNDING FOR JOINT DATA EXCHANGE 
                   CENTER.

       (a) Limitation.--Funds made available to the Department of 
     Defense for fiscal year 2002 may not be obligated or expended 
     for any activity associated with the Joint Data Exchange 
     Center in Moscow, Russia, until--
       (1) the United States and the Russian Federation enter into 
     a cost-sharing agreement as described in subsection (d) of 
     section 1231 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-329);
       (2) the United States and the Russian Federation enter into 
     an agreement or agreements exempting the United States and 
     any United States person from Russian taxes, and from 
     liability under Russian laws, with respect to activities 
     associated with the Joint Data Exchange Center;
       (3) the Secretary of Defense submits to the Committee on 
     Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives a copy of each 
     agreement referred to in paragraphs (1) and (2); and
       (4) a period of 30 days has expired after the date of the 
     final submission under paragraph (3).
       (b) Joint Data Exchange Center.--For purposes of this 
     section, the term ``Joint Data Exchange Center'' means the 
     United States-Russian Federation joint center for the 
     exchange of data to provide early warning of launches of 
     ballistic missiles and for notification of such launches that 
     is provided for in a joint United States-Russian Federation 
     memorandum of agreement signed in Moscow in June 2000.

     SEC. 1205. EXTENSION OF AUTHORITY TO PROVIDE ASSISTANCE UNDER 
                   WEAPONS OF MASS DESTRUCTION ACT FOR SUPPORT OF 
                   UNITED NATIONS-SPONSORED EFFORTS TO INSPECT AND 
                   MONITOR IRAQI WEAPONS ACTIVITIES.

       (a) Limitation on Amount of Assistance in Fiscal Year 
     2002.--The total amount of the assistance for fiscal year 
     2002 that is provided by the Secretary of Defense under 
     section 1505 of the Weapons of Mass Destruction Control Act 
     of 1992 (22 U.S.C. 5859a) as activities of the Department of 
     Defense in support of activities under that Act may not 
     exceed $15,000,000. Such assistance may be provided for 
     fiscal year 2002 only to support activities of an 
     organization established for the purpose of (or otherwise 
     given the mission of providing) a comprehensive accounting 
     for all items, facilities, and capabilities in Iraq related 
     to weapons of mass destruction.
       (b) Extension of Authority To Provide Assistance.--
     Subsection (f) of section 1505 of the Weapons of Mass 
     Destruction Control Act of 1992 (22 U.S.C. 5859a) is amended 
     by striking ``2001'' and inserting ``2002''.
       (c) Change of Quarterly Report Requirement to Annual 
     Report.--(1) Subsection (e)(1) of such section is amended--
       (A) by striking ``quarter of a'' in the first sentence; and
       (B) by striking ``(for the preceding quarter and 
     cumulatively)'' and inserting ``for the preceding fiscal 
     year''.
       (2) The amendments made by subsection (a) shall take effect 
     on November 1, 2001, or the date of the enactment of this 
     Act, whichever is later.

     SEC. 1206. REPEAL OF REQUIREMENT FOR REPORTING TO CONGRESS ON 
                   MILITARY DEPLOYMENTS TO HAITI.

       Section 1232(b) of the National Defense Authorization Act 
     for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 788) is 
     repealed.

     SEC. 1207. REPORT BY COMPTROLLER GENERAL ON PROVISION OF 
                   DEFENSE ARTICLES, SERVICES, AND MILITARY 
                   EDUCATION AND TRAINING TO FOREIGN COUNTRIES AND 
                   INTERNATIONAL ORGANIZATIONS.

       (a) Study.--The Comptroller General shall conduct a study 
     of the following:
       (1) The benefits derived by each foreign country or 
     international organization from the receipt of defense 
     articles, defense services, or military education and 
     training provided after December 31, 1989, pursuant to the 
     drawdown of such articles, services, or education and 
     training from the stocks of the Department of Defense under 
     section 506, 516, or 552 of the Foreign Assistance Act of 
     1961 (22 U.S.C. 2318, 2321j, or 2348a) or any other provision 
     of law.


       (2) Any benefits derived by the United States from the 
     provision of defense articles, defense services, and military 
     education and training described in paragraph (1).
       (3) The affect on the readiness of the Armed Forces as a 
     result of the provision by the United States of defense 
     articles, defense services, and military education and 
     training described in paragraph (1).
       (4) The cost to the Department of Defense with respect to 
     the provision of defense articles, defense services, and 
     military education and training described in paragraph (1).
       (b) Reports.--(1) Not later than April 15, 2002, the 
     Comptroller General shall submit to Congress an interim 
     report containing the results to that date of the study 
     conducted under subsection (a).
       (2) Not later than August 1, 2002, the Comptroller General 
     shall submit to Congress a final report containing the 
     results of the study conducted under subsection (a).

     SEC. 1208. LIMITATION ON NUMBER OF MILITARY PERSONNEL IN 
                   COLOMBIA.

       (a) Limitation.--None of the funds available to the 
     Department of Defense may be used to support or maintain more 
     than 500 members of the Armed Forces on duty in the Republic 
     of Colombia at any time.
       (b) Exceptions.--There shall be excluded from counting for 
     the purposes of the limitation in subsection (a) the 
     following:
       (1) A member of the Armed Forces in the Republic of 
     Colombia for the purpose of rescuing or retrieving United 
     States military or civilian Government personnel, except that 
     the period for which such a member may be so excluded may not 
     exceed 30 days unless expressly authorized by law.
       (2) A member of the Armed Forces assigned to the United 
     States Embassy in Colombia as an attache, as a member of the 
     security assistance office, or as a member of the Marine 
     Corps security contingent.
       (3) A member of the Armed Forces in Colombia to participate 
     in relief efforts in responding to a natural disaster.
       (4) Nonoperational transient military personnel.

     SEC. 1209. AUTHORITY FOR EMPLOYEES OF FEDERAL GOVERNMENT 
                   CONTRACTORS TO ACCOMPANY CHEMICAL WEAPONS 
                   INSPECTION TEAMS AT GOVERNMENT-OWNED 
                   FACILITIES.

       (a) Authority To Conduct Inspections.--Section 303 of the 
     Chemical Weapons Convention Implementation Act of 1998 (as 
     contained in Public Law 105-277; 112 Stat. 2681-873; 22 
     U.S.C. 6723) is amended in subsection (b)(2) by inserting 
     ``(and in the case of inspection of Federal Government-owned 
     facilities, such designation may include employees of a 
     contractor with the Federal Government)'' after ``Federal 
     Government''.
       (b) Procedures For Inspections.--Section 304 of such Act 
     (22 U.S.C. 6724) is amended in subsection (c) by inserting 
     ``or contractor with the Federal Government'' after ``Federal 
     Government''.

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

     SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION 
                   PROGRAMS AND FUNDS.

       (a) Specification of CTR Programs.--For purposes of section 
     301 and other provisions of this Act, Cooperative Threat 
     Reduction programs are the programs specified in section 
     1501(b) of the National Defense Authorization Act for Fiscal 
     Year 1997 (Public Law 104-201; 110 Stat. 2731; 50 U.S.C. 2362 
     note).
       (b) Fiscal Year 2002 Cooperative Threat Reduction Funds 
     Defined.--As used in this title, the term ``fiscal year 2002 
     Cooperative Threat Reduction funds'' means the funds

[[Page 20172]]

     appropriated pursuant to the authorization of appropriations 
     in section 301 for Cooperative Threat Reduction programs.
       (c) Availability of Funds.--Funds appropriated pursuant to 
     the authorization of appropriations in section 301 for 
     Cooperative Threat Reduction programs shall be available for 
     obligation for three fiscal years.

     SEC. 1302. FUNDING ALLOCATIONS.

       (a) Funding for Specific Purposes.--Of the $403,000,000 
     authorized to be appropriated to the Department of Defense 
     for fiscal year 2002 in section 301(23) for Cooperative 
     Threat Reduction programs, not more than the following 
     amounts may be obligated for the purposes specified:
       (1) For strategic offensive arms elimination in Russia, 
     $133,400,000.
       (2) For strategic nuclear arms elimination in Ukraine, 
     $51,500,000.
       (3) For nuclear weapons transportation security in Russia, 
     $9,500,000.
       (4) For nuclear weapons storage security in Russia, 
     $56,000,000.
       (5) For biological weapons proliferation prevention 
     activities in the former Soviet Union, $17,000,000.
       (6) For activities designated as Other Assessments/ 
     Administrative Support, $13,200,000.
       (7) For defense and military contacts, $18,700,000.
       (8) For activities related to the construction of a 
     chemical weapons destruction facility in Russia, $35,000,000.
       (9) For elimination of chemical weapons production 
     facilities in Russia, $15,000,000.
       (10) For weapons of mass destruction infrastructure 
     elimination activities in Kazakhstan, $6,000,000.
       (11) For weapons of mass destruction infrastructure 
     elimination activities in Ukraine, $6,000,000.
       (12) For activities to assist Russia in the elimination of 
     plutonium production reactors, $41,700,000.
       (b) Report on Obligation or Expenditure of Funds for Other 
     Purposes.--No fiscal year 2002 Cooperative Threat Reduction 
     funds may be obligated or expended for a purpose other than a 
     purpose listed in paragraphs (1) through (12) of subsection 
     (a) until 30 days after the date that the Secretary of 
     Defense submits to Congress a report on the purpose for which 
     the funds will be obligated or expended and the amount of 
     funds to be obligated or expended. Nothing in the preceding 
     sentence shall be construed as authorizing the obligation or 
     expenditure of fiscal year 2002 Cooperative Threat Reduction 
     funds for a purpose for which the obligation or expenditure 
     of such funds is specifically prohibited under this title or 
     any other provision of law.
       (c) Limited Authority To Vary Individual Amounts.--(1) 
     Subject to paragraphs (2) and (3), in any case in which the 
     Secretary of Defense determines that it is necessary to do so 
     in the national interest, the Secretary may obligate amounts 
     appropriated for fiscal year 2002 for a purpose listed in any 
     of the paragraphs in subsection (a) in excess of the amount 
     specifically authorized for such purpose.
       (2) An obligation of funds for a purpose stated in any of 
     the paragraphs in subsection (a) in excess of the specific 
     amount authorized for such purpose may be made using the 
     authority provided in paragraph (1) only after--
       (A) the Secretary submits to Congress notification of the 
     intent to do so together with a complete discussion of the 
     justification for doing so; and
       (B) 15 days have elapsed following the date of the 
     notification.
       (3) The Secretary may not, under the authority provided in 
     paragraph (1), obligate amounts for the purposes stated in 
     subsection (a)(3) or any of paragraphs (5) through (12) of 
     subsection (a) in excess of 115 percent of the amount 
     specifically authorized for such purposes.

     SEC. 1303. PROHIBITION AGAINST USE OF FUNDS UNTIL SUBMISSION 
                   OF REPORTS.

       No fiscal year 2002 Cooperative Threat Reduction funds may 
     be obligated or expended until 30 days after the date of the 
     submission of--
       (1) the report required to be submitted in fiscal year 2001 
     under section 1308(a) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted in Public 
     Law 106-398; 114 Stat. 1654A-341); and
       (2) the multiyear plan required to be submitted for fiscal 
     year 2001 under section 1308(h) of such Act.

     SEC. 1304. REPORT ON USE OF REVENUE GENERATED BY ACTIVITIES 
                   CARRIED OUT UNDER COOPERATIVE THREAT REDUCTION 
                   PROGRAMS.

       Not later than 60 days after the date of the enactment of 
     this Act, the Secretary of Defense shall submit to Congress a 
     report describing how the Secretary plans to monitor the use 
     of revenue generated by activities carried out under 
     Cooperative Threat Reduction programs in Russia and Ukraine.

     SEC. 1305. PROHIBITION AGAINST USE OF FUNDS FOR SECOND WING 
                   OF FISSILE MATERIAL STORAGE FACILITY.

       (a) Prohibition.--No funds authorized to be appropriated 
     for Cooperative Threat Reduction programs for any fiscal year 
     may be used for the design, planning, or construction of a 
     second wing for a storage facility for Russian fissile 
     material.
       (b) Conforming Amendment.--Section 1304 of the Floyd D. 
     Spence National Defense Authorization Act for Fiscal Year 
     2001 (as enacted in Public Law 106-398; 114 Stat. 1654A-341) 
     is amended to read as follows:

     ``SEC. 1304. LIMITATION ON USE OF FUNDS FOR FISSILE MATERIAL 
                   STORAGE FACILITY.

       Out of funds authorized to be appropriated for Cooperative 
     Threat Reduction programs for fiscal year 2001 or any other 
     fiscal year, not more than $412,600,000 may be used for 
     planning, design, or construction of the first wing for the 
     storage facility for Russian fissile material referred to in 
     section 1302(a)(5).''.

     SEC. 1306. PROHIBITION AGAINST USE OF FUNDS FOR CONSTRUCTION 
                   OR REFURBISHMENT OF CERTAIN FOSSIL FUEL ENERGY 
                   PLANTS.

       Section 1307 of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted in Public 
     Law 106-398; 114 Stat. 1654A-341) is amended--
       (1) by striking the heading and inserting the following new 
     heading:

     ``SEC. 1307. PROHIBITION AGAINST USE OF FUNDS FOR 
                   CONSTRUCTION OR REFURBISHMENT OF FOSSIL FUEL 
                   ENERGY PLANTS; REPORT.'';

     and
       (2) by striking subsection (a) and inserting the following 
     new subsection:
       ``(a) Prohibition.--No funds appropriated for Cooperative 
     Threat Reduction programs for any fiscal year may be used for 
     the construction or refurbishment of a fossil fuel energy 
     plant intended to provide power to local communities that 
     receive power from nuclear energy plants that produce 
     plutonium.''.

     SEC. 1307. REPORTS ON ACTIVITIES AND ASSISTANCE UNDER 
                   COOPERATIVE THREAT REDUCTION PROGRAMS.

       Section 1308(c)(4) of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted in Public 
     Law 106-398; 114 Stat. 1654A-342) is amended--
       (1) in the matter preceding subparagraph (A)--
       (A) by striking ``audits'' and all that follows through 
     ``conducted'' and inserting ``means (including program 
     management, audits, examinations, and other means) used''; 
     and
       (B) by striking ``and that such assistance is being used 
     for its intended purpose'' and inserting ``, that such 
     assistance is being used for its intended purpose, and that 
     such assistance is being used efficiently and effectively'';
       (2) in subparagraph (C), by inserting ``and an assessment 
     of whether the assistance being provided is being used 
     effectively and efficiently'' before the semicolon; and
       (3) in subparagraph (D), by striking ``audits, 
     examinations, and other''.

     SEC. 1308. REPORT ON RESPONSIBILITY FOR CARRYING OUT 
                   COOPERATIVE THREAT REDUCTION PROGRAMS.

       Not later than March 15, 2002, the Secretary of Defense 
     shall submit to Congress a report describing--
       (1) the rationale for executing Cooperative Threat 
     Reduction programs under the auspices of the Department of 
     Defense and the justification for maintaining responsibility 
     for any particular project carried out through Cooperative 
     Threat Reduction programs with the Department of Defense;
       (2) options for transferring responsibility for carrying 
     out Cooperative Threat Reduction programs to an executive 
     agency (or agencies) other than the Department of Defense, if 
     appropriate; and
       (3) how such a transfer might be carried out.

     SEC. 1309. CHEMICAL WEAPONS DESTRUCTION.

       Section 1305 of the National Defense Authorization Act for 
     Fiscal Year 2000 (Public Law 106-65; 113 Stat. 794) is 
     amended by inserting before the period at the end the 
     following: ``until the Secretary of Defense submits to 
     Congress a certification that there has been--
       ``(1) full and accurate disclosure by Russia of the size of 
     its existing chemical weapons stockpile;
       ``(2) a demonstrated annual commitment by Russia to 
     allocate at least $25,000,000 to chemical weapons 
     elimination;
       ``(3) development by Russia of a practical plan for 
     destroying its stockpile of nerve agents;
       ``(4) enactment of a law by Russia that provides for the 
     elimination of all nerve agents at a single site; and
       ``(5) an agreement by Russia to destroy its chemical 
     weapons production facilities at Volgograd and 
     Novocheboksark''.

                TITLE XIV--DEFENSE SPACE REORGANIZATION

     SEC. 1401. SHORT TITLE.

       This title may be cited as the ``Defense Space 
     Reorganization Act of 2001''.

     SEC. 1402. AUTHORITY TO ESTABLISH POSITION OF UNDER SECRETARY 
                   OF DEFENSE FOR SPACE, INTELLIGENCE, AND 
                   INFORMATION.

       (a) Authority To Establish Position.--The President may 
     establish in the Department of Defense the position of Under 
     Secretary of Defense for Space, Intelligence, and 
     Information. If that position is so established, the Under 
     Secretary of Defense for

[[Page 20173]]

     Space, Intelligence, and Information shall perform duties and 
     exercise powers as set forth in section 137 of title 10, 
     United States Code, as added by subsection (e).
       (b) Deadline for Exercise of Authority.--The authority 
     provided in subsection (a) may not be exercised after 
     December 31, 2003.
       (c) Notice of Exercise of Authority.--(1) If the authority 
     provided in subsection (a) is exercised, the President shall 
     immediately submit to Congress notification in writing of the 
     establishment of the position of Under Secretary of Defense 
     for Space, Intelligence, and Information, together with the 
     date as of which the position is established. If the 
     President declines to exercise the authority provided in 
     subsection (a), the President shall, before the date 
     specified in subsection (b), submit to Congress a report on 
     how the President has implemented the recommendations of the 
     report of the Space Commission with respect to the Department 
     of Defense.
       (2) For purposes of paragraph (1), the term ``report of the 
     Space Commission'' means the report of the Commission To 
     Assess United States National Security Space Management and 
     Organization, dated January 11, 2001, and submitted to 
     Congress under section 1623 of the National Defense 
     Authorization Act for Fiscal Year 2000 (Public Law 106-65; 
     113 Stat. 815).
       (d) Contingent Enactment of U.S. Code Amendments.--If the 
     position of Under Secretary of Defense for Space, 
     Intelligence, and Information is established under the 
     authority provided in subsection (a), then the amendments set 
     forth in subsections (e) and (f) shall be executed, effective 
     as of the date specified in the notice submitted under the 
     first sentence of subsection (c)(1). Otherwise, those 
     amendments shall not be executed.
       (e) Appointment, Duties, Etc., of Under Secretary.--(1) 
     Subject to subsection (d), chapter 4 of title 10, United 
     States Code, is amended--
       (A) by redesignating section 137 as section 139a and 
     transferring such section (as so redesignated) within such 
     chapter so as to appear after section 139; and
       (B) by inserting after section 136 the following new 
     section 137:

     ``Sec. 137. Under Secretary of Defense for Space, 
       Intelligence, and Information

       ``(a) There is an Under Secretary of Defense for Space, 
     Intelligence, and Information, appointed from civilian life 
     by the President, by and with the advice and consent of the 
     Senate.
       ``(b) Subject to the authority, direction, and control of 
     the Secretary of Defense, the Under Secretary of Defense for 
     Space, Intelligence, and Information shall perform such 
     duties and exercise such powers relating to the space, 
     intelligence, and information programs and activities of the 
     Department of Defense as the Secretary of Defense may 
     prescribe.
       ``(c) The Secretary of Defense shall designate the Under 
     Secretary of Defense for Space, Intelligence, and Information 
     as the Chief Information Officer of the Department of Defense 
     under section 3506(a)(2)(B) of title 44.
       ``(d) The Under Secretary of Defense for Space, 
     Intelligence, and Information takes precedence in the 
     Department of Defense after the Under Secretary of Defense 
     for Personnel and Readiness.''.
       (2) Subject to subsection (d), section 131(b) of that title 
     is amended--
       (A) by redesignating paragraphs (6) through (11) as 
     paragraphs (7) through (12), respectively; and
       (B) by inserting after paragraph (5) the following new 
     paragraph (6):
       ``(6) The Under Secretary of Defense for Space, 
     Intelligence, and Information.''.
       (3) Subject to subsection (d), the table of sections at the 
     beginning of chapter 4 of such title is amended--
       (A) by striking the item relating to section 137 and 
     inserting the following new item:

``137. Under Secretary of Defense for Space, Intelligence, and 
              Information.'';
     and
       (B) by inserting after the item relating to section 139 the 
     following new item:

``139a. Director of Defense Research and Engineering.''.
       (f) Assistant Secretaries of Defense.--Subject to 
     subsection (d), section 138 of such title is amended--
       (1) in subsection (a), by striking ``nine'' and inserting 
     ``eleven''; and
       (2) in subsection (b), by inserting after paragraph (2) the 
     following new paragraph:
       ``(3) Not more than three of the Assistant Secretaries may 
     be assigned duties under the authority of the Under Secretary 
     of Defense for Space, Intelligence, and Information and shall 
     report to that Under Secretary.''.
       (g) Report.--Not later than 30 days before exercising the 
     authority provided in subsection (a), the President shall 
     submit to Congress a report on the proposed organization of 
     the office of the Under Secretary of Defense for Space, 
     Intelligence, and Information. If such a report has not been 
     submitted as of April 15, 2002, the President shall submit to 
     Congress a report, not later than that date, setting forth 
     the President's view as of that date of the desirability of 
     establishing the position of Under Secretary of Defense for 
     Space, Intelligence, and Information in the Department of 
     Defense.

     SEC. 1403. AUTHORITY TO DESIGNATE UNDER SECRETARY OF THE AIR 
                   FORCE AS ACQUISITION EXECUTIVE FOR SPACE OF THE 
                   DEPARTMENT OF DEFENSE.

       (a) Executive Agent.--Part IV of subtitle A of title 10, 
     United States Code, is amended by inserting after chapter 134 
     the following new chapter:

                     ``CHAPTER 135--SPACE PROGRAMS

``Sec.
``2271. Executive agent.

     ``Sec. 2271. Executive agent

       ``(a) Secretary of the Air Force.--The Secretary of the Air 
     Force may be designated as the executive agent of the 
     Department of Defense--
       ``(1) for the planning of the acquisition programs, 
     projects, and activities of the Department that relate to 
     space; and
       ``(2) for the execution of those programs, projects, and 
     activities.
       ``(b) Acquisition Executive.--The Secretary may designate 
     the Under Secretary of the Air Force as the acquisition 
     executive of the Air Force for the programs, projects, and 
     activities referred to in subsection (a).''.
       (b) Clerical Amendment.--The tables of chapters at the 
     beginning of such subtitle and the beginning of part IV of 
     such subtitle are amended by inserting after the item 
     relating to chapter 134 the following new item:

``135. Space Programs.......................................2271''.....

     SEC. 1404. MAJOR FORCE PROGRAM CATEGORY FOR SPACE PROGRAMS.

       (a) Requirement.--The Secretary of Defense may create a 
     major force program category for space programs for purposes 
     of the future-years defense program under section 221 of 
     title 10, United States Code.
       (b) Commencement.--If the category under subsection (a) is 
     created, such category shall be included in each future-years 
     defense program submitted to Congress under section 221 of 
     title 10, United States Code, in fiscal years after fiscal 
     year 2002.

     SEC. 1405. COMPTROLLER GENERAL ASSESSMENT OF IMPLEMENTATION 
                   OF RECOMMENDATIONS OF SPACE COMMISSION.

       (a) Assessment.--(1) The Comptroller General shall carry 
     out an assessment through February 15, 2003, of the actions 
     taken by the Secretary of Defense in implementing the 
     recommendations in the report of the Space Commission that 
     are applicable to the Department of Defense.
       (2) For purposes of paragraph (1), the term ``report of the 
     Space Commission'' means the report of the Commission To 
     Assess United States National Security Space Management and 
     Organization, dated January 11, 2001, and submitted to 
     Congress under section 1623 of the National Defense 
     Authorization Act for Fiscal Year 2000 (Public Law 106-65; 
     113 Stat. 815).
       (b) Reports.--Not later than February 15 of each of 2002 
     and 2003, the Comptroller General shall submit to the 
     Committee on Armed Services of the Senate and the Committee 
     on Armed Services of the House of Representatives a report on 
     the assessment carried out under subsection (a). Each report 
     shall set forth the results of the assessment as of the date 
     of such report.

     SEC. 1406. COMMANDER OF AIR FORCE SPACE COMMAND.

       (a) In General.--Chapter 845 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 8584. Commander of Air Force Space Command

       ``The Secretary of Defense may require that the officer 
     serving as commander of the Air Force Space Command not serve 
     simultaneously as commander of the United States Space 
     Command (or any successor combatant command with 
     responsibility for space) or as commander of the United 
     States element of the North American Air Defense Command.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``8584. Commander of Air Force Space Command.''.

     SEC. 1407. AUTHORITY TO ESTABLISH SEPARATE CAREER FIELD IN 
                   THE AIR FORCE FOR SPACE.

       The Secretary of the Air Force, acting through the Under 
     Secretary of the Air Force, may establish and implement 
     policies and procedures to develop a cadre of technically 
     competent officers with the capability to develop space 
     doctrine, concepts of space operations, and management of 
     space systems for the Air Force.

     SEC. 1408. RELATIONSHIP TO AUTHORITIES AND RESPONSIBILITIES 
                   OF DIRECTOR OF CENTRAL INTELLIGENCE.

       Nothing in this title or the amendments made by this title 
     shall modify, alter, or supersede the authorities and 
     responsibilities of the Director of Central Intelligence.

                TITLE XV--ACTIVITIES TO COMBAT TERRORISM

           Subtitle A--Increased Funding to Combat Terrorism

     SEC. 1501. INCREASED FUNDING.

       (a) In General.--The amount provided in section 301(5) for 
     Operation and Maintenance, Defense-wide Activities, is hereby 
     increased by $400,000,000, to be available as follows:

[[Page 20174]]

       (1) Intelligence programs.--For increased situational 
     awareness and upgrades to intelligence programs to enhance 
     United States security posture, $100,000,000.
       (2) Anti-terrorism initiatives.--For enhanced anti-
     terrorism and force protection initiatives to reduce 
     vulnerabilities at United States military installations and 
     facilities in the United States and worldwide, $150,000,000.
       (3) Counter-terrorism initiatives.--For offensive counter-
     terrorism initiatives, $100,000,000.
       (4) Consequence management activities.--For consequence 
     management activities, $50,000,000.
       (b) Transfer Authority.--The amounts specified in 
     subsection (a) are available for transfer to other current 
     accounts of the Department of Defense, as determined by the 
     Secretary of Defense.
       (c) Offsetting Reductions.--
       (1) The amount provided in section 201(4) for Research, 
     Development, Test, and Evaluation, Defense-Wide is hereby 
     reduced by $265,000,000, to be derived from amounts for the 
     Ballistic Missile Defense Organization, of which--
       (A) $145,000,000 shall be derived from the Mid-Course 
     Defense Segment program element (PE603882C); and
       (B) $120,000,000 shall be derived from the Boost Phase 
     Defense Segment program element (PE603883C) for space-based 
     activities.
       (2) The amount provided in section 301(5) for Operation and 
     Maintenance, Defense-wide Activities, is hereby reduced by 
     $135,000,000, to be derived from amounts for consulting 
     services.

     SEC. 1502. TREATMENT OF TRANSFERRED AMOUNTS.

       Funds transferred under authority of section 1501(a) shall 
     be merged with, and shall be available for the same time 
     period as, the appropriations to which transferred. The 
     transfer authority under that section is in addition to the 
     transfer authority provided by section 1001.

       Subtitle B--Policy Matters Relating to Combating Terrorism

     SEC. 1511. ASSESSMENT OF DEPARTMENT OF DEFENSE ABILITY TO 
                   RESPOND TO TERRORIST ATTACKS.

       (a) Assessment.--The Secretary of Defense shall conduct an 
     assessment of the ability of the Department of Defense to 
     provide support for the consequence management activities of 
     other Federal, State, and local agencies, directly taking 
     into account the terrorist attacks on the United States on 
     September 11, 2001, and the changed situation regarding 
     terrorism.
       (b) Recommendations.--The Secretary of Defense shall submit 
     to the President and Congress a report providing 
     recommendations for ways to enhance the ability of the 
     Department of Defense to provide support described in 
     subsection (a). The report shall address the recommendations 
     made by the Vice President in his report to the President on 
     the development of a coordinated national effort to improve 
     national preparedness, including efforts to combat terrorism, 
     as directed by the President in May 2001. The report shall be 
     submitted not later than 60 days after the date on which the 
     Vice President submits to the President the report under the 
     preceding sentence.

     SEC. 1512. REPORT ON DEPARTMENT OF DEFENSE ABILITY TO PROTECT 
                   THE UNITED STATES FROM AIRBORNE THREATS.

       Not later than 120 days after the date of the enactment of 
     this Act, the Secretary of Defense shall submit to Congress a 
     report on the ability of the Department of Defense to protect 
     the United States from airborne threats, including threats 
     originating from within the borders of the United States. The 
     report shall identify improvements that can be made to 
     enhance the security of the American people against these 
     threats and shall recommend actions, including legislative 
     proposals, designed to address and overcome existing 
     vulnerabilities.

     SEC. 1513. ESTABLISHMENT OF COMBATING TERRORISM AS A NATIONAL 
                   SECURITY MISSION.

       Section 108(b)(2) of the National Security Act of 1947 (50 
     U.S.C. 404a(b)(2)) is amended by inserting ``, including acts 
     of terrorism,'' after ``aggression''.

     SEC. 1514. DEPARTMENT OF DEFENSE COORDINATION WITH FEMA AND 
                   FBI.

       The Secretary of Defense shall seek an agreement with the 
     Director of the Federal Bureau of Investigation and the 
     Director of Federal Emergency Management Agency that 
     clarifies the roles of Department of Defense Weapons of Mass 
     Destruction Civil Support Teams in relation to both agencies 
     with respect to coordination of the roles and missions of 
     those teams in support of crisis management and consequence 
     management efforts.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

     SEC. 2001. SHORT TITLE; DEFINITION.

       (a) Short Title.--This division may be cited as the 
     ``Military Construction Authorization Act for Fiscal Year 
     2002''.
       (b) Definition of Fiscal Year 2001 Defense Authorization 
     Act.--In this division, the term ``Spence Act'' means the 
     Floyd D. Spence National Defense Authorization Act for Fiscal 
     Year 2001, as enacted into law by Public Law 106-398 (114 
     Stat. 1654).

                            TITLE XXI--ARMY

     SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(1), the Secretary of the Army may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:


                     Army: Inside the United States
------------------------------------------------------------------------
                                    Installation or
             State                      location             Amount
------------------------------------------------------------------------
Alabama........................  Anniston Army Depot..        $5,150,000
                                 Fort Rucker..........       $11,400,000
                                 Redstone Arsenal.....        $7,200,000
Alaska.........................  Fort Richardson......       $97,000,000
                                 Fort Wainwright......       $27,200,000
Arizona........................  Fort Huachuca........        $6,100,000
                                 Yuma Proving Ground..        $3,100,000
California.....................  Defense Language             $5,900,000
                                  Institute.
                                 Fort Irwin...........       $23,000,000
Colorado.......................  Fort Carson..........       $66,000,000
District of Columbia...........  Fort McNair..........       $11,600,000
Georgia........................  Fort Benning.........       $23,900,000
                                 Fort Gillem..........       $43,600,000
                                 Fort Gordon..........       $34,000,000
                                 Fort Stewart/Hunter         $39,800,000
                                  Army Air Field......
Hawaii.........................  Navy Public Works           $11,800,000
                                  Center, Pearl Harbor
                                 Pohakuloa Training           $5,100,000
                                  Facility.
                                 Wheeler Army Air            $50,000,000
                                  Field.
Kansas.........................  Fort Riley...........       $10,900,000
Kentucky.......................  Fort Campbell........       $88,900,000
Louisiana......................  Fort Polk............       $21,200,000
Maryland.......................  Aberdeen Proving            $58,300,000
                                  Ground.
                                 Fort Meade...........        $5,800,000
                                 Fort Leonard Wood....       $12,250,000
New Jersey.....................  Fort Monmouth........       $20,000,000
                                 Picatinny Arsenal....       $10,200,000
New Mexico.....................  White Sands Missile          $7,600,000
                                  Range.
New York.......................  Fort Drum............       $59,350,000
North Carolina.................  Fort Bragg...........       $21,300,000
                                 Sunny Point Military        $11,400,000
                                  Ocean Terminal......
Oklahoma.......................  Fort Sill............        $5,100,000
South Carolina.................  Fort Jackson.........        $3,650,000
Texas..........................  Corpus Christi Army         $10,400,000
                                  Depot.
                                 Fort Sam Houston.....        $9,650,000
                                 Fort Bliss...........        $5,000,000
                                 Fort Hood............      $104,200,000
Virginia.......................  Fort Belvoir.........       $35,950,000
                                 Fort Eustis..........       $24,750,000

[[Page 20175]]

 
                                 Fort Lee.............       $23,900,000
Washington.....................  Fort Lewis...........      $238,200,000
                                                       -----------------
                                   Total:.............    $1,300,710,000
------------------------------------------------------------------------


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


                     Army: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Area Support Group,         $36,000,000
                                  Bamberg...............
                                 Area Support Group,         $13,500,000
                                  Darmstadt.............
                                 Baumholder.............      $9,000,000
                                 Hanau..................      $7,200,000
                                 Heidelberg.............     $15,300,000
                                 Mannheim...............     $16,000,000
                                 Wiesbaden Air Base.....     $26,300,000
Korea..........................  Camp Carroll...........     $16,593,000
                                 Camp Casey.............      $8,500,000
                                 Camp Hovey.............     $35,750,000
                                 Camp Humphreys.........     $14,500,000
                                 Camp Jackson...........      $6,100,000
                                 Camp Stanley...........     $28,000,000
Kwajalein......................  Kwajalein Atoll........     $11,000,000
                                                         ---------------
                                   Total:...............    $243,743,000
------------------------------------------------------------------------

       (c) Unspecified Worldwide.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(3), the Secretary of the Army may acquire real 
     property and carry out military construction projects for the 
     installation and location, and in the amount set forth in the 
     following table:


                       Army: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,000,000
------------------------------------------------------------------------

     SEC. 2102. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2104(a)(6)(A), the Secretary of the Army may 
     construct or acquire family housing units (including land 
     acquisition) at the installations, for the purposes, and in 
     the amounts, set forth in the following table:


                                              Army: Family Housing
----------------------------------------------------------------------------------------------------------------
            State or Country                Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Alaska..................................  Fort Wainwright............  32 Units...................   $12,000,000
Arizona.................................  Fort Huachuca..............  72 Units...................   $10,800,000
Georgia.................................  Fort Stewart...............  160 Units..................    $2,500,000
Kansas..................................  Fort Leavenworth...........  40 Units...................   $10,000,000
Texas...................................  Fort Bliss.................  76 Units...................   $13,600,000
Korea...................................  Camp Humphreys.............  54 Units...................   $12,800,000
                                                                                                   -------------
                                                                         Total:...................   $61,700,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(6)(A), the Secretary of the Army may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of family housing units in an amount not to 
     exceed $11,592,000.

     SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2104(a)(6)(A), the Secretary of 
     the Army may improve existing military family housing units 
     in an amount not to exceed $220,750,000.

     SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Army in the total amount of $3,018,077,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2101(a), $1,089,416,000.
       (2) For military construction projects outside the United 
     States authorized by section 2101(b), $243,743,000.
       (3) For a military construction project at an unspecified 
     worldwide location authorized by section 2101(c), $4,000,000.
       (4) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $18,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $163,676,000.
       (6) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $294,576,000.
       (B) For support of military family housing (including the 
     functions described in section 2833 of title 10, United 
     States Code), $1,102,732,000.
       (7) For the construction of a cadet development center at 
     the United States Military Academy, West Point, New York, 
     authorized by section 2101(a) of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261, 112 Stat. 2182), $37,900,000.
       (8) For the construction of phase 2C of a barracks complex, 
     Tagaytay Street, at Fort Bragg, North Carolina, authorized by 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (division B of Public Law 106-65; 
     113 Stat. 825), $17,500,000.
       (9) For the construction of phase 1C of a barracks complex, 
     Wilson Street, at Schofield Barracks, Hawaii, authorized by 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2000 (division B of Public Law 106-65, 
     113 Stat. 825), $23,000,000.
       (10) For construction of phase 2 of a basic combat training 
     complex at Fort Leonard Wood, Missouri, authorized by section 
     2101(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
     1654A-389), as amended by section 2105 of this Act, 
     $27,000,000.
       (11) For the construction of phase 2 of a battle simulation 
     center at Fort Drum, New

[[Page 20176]]

     York, authorized by section 2101(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Spence Act; 114 Stat. 1654A-389), as amended by 
     section 2105 of this Act, $9,000,000.
       (12) For the construction of phase 1 of a barracks complex, 
     Butner Road, at Fort Bragg, North Carolina, authorized by 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (division B of the Spence Act; 114 
     Stat. 1654A-389), $49,000,000.
       (13) For the construction of phase 1 of a barracks complex, 
     Longstreet Road, at Fort Bragg, North Carolina, authorized by 
     section 2101(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (division B of the Spence Act; 114 
     Stat. 1654A-389), $27,000,000.
       (14) For the construction of a multipurpose digital 
     training range at Fort Hood, Texas, authorized by section 
     2101(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
     1654A-389), as amended by section 2105 of this Act, 
     $13,000,000.
       (15) For the homeowners assistance program, as authorized 
     by section 2832(a) of title 10, United States Code, 
     $10,119,000, to remain available until expended.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2101 of this Act may not exceed--
       (1) The total amount authorized to be appropriated under 
     paragraphs (1), (2), (3) of subsection (a);
       (2) $52,000,000 (the balance of the amount authorized under 
     section 2201 (a) for construction of a barracks complex, D 
     Street, at Fort Richardson, Alaska);
       (3) $41,000,000 (the balance of the amount authorized under 
     section 2201 (a) for construction of phase 1 of a barracks 
     complex, Nelson Blvd, at Fort Carson, Colorado);
       (4) $36,000,000 (the balance of the amount authorized under 
     section 2201 (a) for construction of phase 1 of a basic 
     combat training complex at Fort Jackson, South Carolina); and
       (5) $102,000,000 (the balance of the amount authorized 
     under section 2201 (a) for construction of a barracks 
     complex, 17th & B Streets, at Fort Lewis, Washington).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (15) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs, reduced by--
       (1) $36,168,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military construction outside the United 
     States; and
       (2) $75,417,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military family housing construction and 
     military family housing support outside the United States.

     SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECTS.

       (a) Modification.--The table in section 2101(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001 
     (division B of the Spence Act; 114 Stat. 1654A-389) is 
     amended--
       (1) in the item relating to Fort Leonard Wood, Missouri, by 
     striking ``$65,400,000'' in the amount column and inserting 
     ``$69,400,000'';
       (2) in the item relating to Fort Drum, New York, by 
     striking ``$18,000,000'' in the amount column and inserting 
     ``$21,000,000'';
       (3) in the item relating to Fort Hood, Texas, by striking 
     ``$36,492,000'' in the amount column and inserting 
     ``$39,492,000''; and
       (4) by striking the amount identified as the total in the 
     amount column and inserting ``$623,074,000''.
       (b) Conforming Amendments.--Section 2104 of that Act (114 
     Stat. 1654A-391) is amended--
       (1) in subsection (a), in the matter preceding paragraph 
     (1), by striking ``$1,925,344,000'' and inserting 
     ``$1,935,744,000'';
       (2) in subsection (b)(2), by striking ``$22,600,000'' and 
     inserting ``$27,000,000'';
       (3) in subsection (b)(3), by striking ``$10,000,000'' and 
     inserting ``$13,000,000''; and
       (4) in subsection (b)(6), by striking ``$6,000,000'' and 
     inserting ``$9,000,000''.

                            TITLE XXII--NAVY

     SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(1), the Secretary of the Navy may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:


                     Navy: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                      location              Amount
------------------------------------------------------------------------
Arizona........................  Marine Corps Air            $22,570,000
                                  Station, Yuma........
California.....................  Marine Air-Ground Task      $75,125,000
                                  Force Training
                                  Center, Twentynine
                                  Palms................
                                 Marine Corps Air             $4,470,000
                                  Station, Camp
                                  Pendleton............
                                 Marine Corps Air             $3,680,000
                                  Station, Miramar.....
                                 Marine Corps Base,          $96,490,000
                                  Camp Pendleton.......
                                 Naval Air Facility, El      $23,520,000
                                  Centro...............
                                 Naval Air Station,          $10,010,000
                                  Lemoore..............
                                 Naval Air Warfare           $30,200,000
                                  Center, China Lake...
                                 Naval Air Warfare           $13,730,000
                                  Center, Point Mugu,
                                  San Nicholas Island..
                                 Naval Amphibious Base,       $8,610,000
                                  Coronado.............
                                 Naval Construction          $12,400,000
                                  Battalion Center,
                                  Port Hueneme.........
                                 Naval Construction           $3,780,000
                                  Training Center, Port
                                  Hueneme..............
                                 Naval Station, San          $47,240,000
                                  Diego.
District of Columbia...........  Naval Air Facility,          $9,810,000
                                  Washington...........
Florida........................  Naval Air Station, Key      $11,400,000
                                  West.
                                 Naval Air Station,           $2,140,000
                                  Whiting Field, Milton
                                 Naval Station, Mayport      $16,420,000
                                 Naval Station,               $3,700,000
                                  Pensacola.
Hawaii.........................  Marine Corps Base,          $24,920,000
                                  Kaneohe..............
                                 Naval Magazine               $6,000,000
                                  Lualualei.
                                 Naval Shipyard, Pearl       $20,000,000
                                  Harbor.
                                 Naval Station, Pearl        $40,600,000
                                  Harbor.
                                 Navy Public Works           $16,900,000
                                  Center, Pearl Harbor.
Illinois.......................  Naval Training Center,      $82,260,000
                                  Great Lakes..........
Indiana........................  Naval Surface Warfare       $14,930,000
                                  Center, Crane........
Maine..........................  Naval Air Station,          $67,395,000
                                  Brunswick.
Maryland.......................  Naval Air Warfare            $2,260,000
                                  Center, Patuxent
                                  River................
                                 Naval Air Warfare            $5,100,000
                                  Center, St. Inigoes..
                                 Naval Explosive              $1,250,000
                                  Ordinance Disposal
                                  Technology Center,
                                  Indian Head..........
Mississippi....................  Naval Construction          $21,660,000
                                  Battalion Center,
                                  Gulfport.............
                                 Naval Air Station,           $3,400,000
                                  Meridian.
Missouri.......................  Marine Corps Support         $9,010,000
                                  Activity, Kansas City
North Carolina.................  Marine Corps Air             $4,050,000
                                  Station, New River...
                                 Marine Corps Base,          $67,070,000
                                  Camp Lejeune.........
Pennsylvania...................  Naval Foundry and           $14,800,000
                                  Propeller Center,
                                  Philadelphia.........
Rhode Island...................  Naval Station, Newport      $15,290,000
South Carolina.................  Marine Corps Air             $8,020,000
                                  Station, Beaufort....
                                 Marine Corps Recruit         $5,430,000
                                  Depot, Parris Island.
                                 Naval Hospital,              $7,600,000
                                  Beaufort.
Tennessee......................  Naval Support                $3,900,000
                                  Activity, Millington.
Texas..........................  Naval Air Station,           $9,060,000
                                  Joint Reserve Base,
                                  Ft. Worth............
Virginia.......................  Marine Corps Air             $3,790,000
                                  Facility, Quantico...
                                 Marine Corps Combat          $9,390,000
                                  Dev Com..............
                                 Naval Amphibious Base,       $9,090,000
                                  Little Creek.........
                                 Naval Station, Norfolk     $139,270,000
Washington.....................  Naval Air Station,           $3,470,000
                                  Whidbey Island.......

[[Page 20177]]

 
                                 Naval Shipyard,             $14,000,000
                                  Bremerton.
                                 Naval Station, Everett       $6,820,000
                                 Strategic Weapons            $3,900,000
                                  Facility, Bangor.....
                                                        ----------------
                                   Total:..............   $1,038,920,000
------------------------------------------------------------------------


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


                     Navy: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Greece.........................  Naval Support Activity      $12,240,000
                                  Joint Headquarters
                                  Command, Larissa......
                                 Naval Support Activity,      $3,210,000
                                  Souda Bay.............
Guam...........................  Naval Station, Guam....      $9,300,000
                                 Navy Public Works           $14,800,000
                                  Center, Guam.
Iceland........................  Naval Air Station,           $2,820,000
                                  Keflavik.
Italy..........................  Naval Air Station,           $3,060,000
                                  Sigonella.
Spain..........................  Naval Station, Rota....      $2,240,000
                                                         ---------------
                                   Total:...............     $47,670,000
------------------------------------------------------------------------

     SEC. 2202. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2204(a)(5)(A), the Secretary of the Navy may 
     construct or acquire family housing units (including land 
     acquisition) at the installations, for the purposes, and in 
     the amounts set forth in the following table:


                                              Navy: Family Housing
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location            Purpose                 Amount
----------------------------------------------------------------------------------------------------------------
Arizona...............................  Marine Corps Air Station,   51 Units.................         $9,017,000
                                         Yuma.
California............................  Marine Air-Ground Task      74 Units.................        $16,250,000
                                         Force Training Center,
                                         Twentynine Palms.
Hawaii................................  Marine Corps Base, Kaneohe  172 Units................        $46,996,000
                                        Naval Station, Pearl        70 Units.................        $16,827,000
                                         Harbor.
Mississippi...........................  Naval Construction          160 Units................        $23,354,000
                                         Battalion Center,
                                         Gulfport.
Virginia..............................  Marine Corps Combat         81 Units.................        $10,000,000
                                         Development Command,
                                         Quantico.
Italy.................................  Naval Air Station,          10 Units.................         $2,403,000
                                         Sigonella.
                                                                                              ------------------
                                                                      Total:.................       $124,847,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(5)(A), the Secretary of the Navy may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $6,499,000.

     SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2204(a)(5)(A), the Secretary of 
     the Navy may improve existing military family housing units 
     in an amount not to exceed $201,834,000.

     SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Navy in the total amount of $2,389,605,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2201(a), $980,018,000.
       (2) For military construction projects outside the United 
     States authorized by section 2201(b), $47,670,000.
       (3) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $10,546,000.
       (4) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $35,392,000.
       (5) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $332,352,000.
       (B) For support of military housing (including functions 
     described in section 2833 of title 10, United States Code), 
     $913,823,000.
       (6) For construction of phase 6 of a large anachoic chamber 
     facility at the Patuxent River Naval Air Warfare Center, 
     Maryland, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 1993 (division 
     B of Public Law 102-484; 106 Stat. 2590), $10,770,000.
       (7) For construction of the Commander-in-Chief 
     Headquarters, Pacific Command, Camp H.M. Smith, Hawaii, 
     authorized by section 2201(a) of the Military Construction 
     Authorization Act for Fiscal Year 2000 (division B of Public 
     Law 106-65; 113 Stat. 828), as amended by section 2205, 
     $37,580,000.
       (8) For repair of a pier at Naval Station, San Diego, 
     California, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Spence Act; 114 Stat. 1654A-396), $17,500,000.
       (9) For replacement of a pier at Naval Shipyard, Bremerton, 
     Washington, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Spence Act; 114 Stat. 1654A-396), $24,460,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2201 of this Act may not exceed--
       (1) the total amount authorized to be appropriated under 
     paragraphs (1) and (2) of subsection (a);
       (2) $33,240,000 (the balance of the amount authorized under 
     section 2201(a) for replacement of a pier, increment I, at 
     Naval Station, Norfolk, Virginia; and
       (3) $20,100,000 (the balance of the amount authorized under 
     section 2201(a) for a combined propulsion and explosives lab 
     at Naval Air Warfare Center, China Lake, California).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (9) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs, reduced by--
       (1) $6,854,000, which represents the combination of savings 
     resulting from adjustments to foreign currency exchange rates 
     for military construction outside the United States; and
       (2) $13,652,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military family housing construction and 
     military family housing support outside the United States.

     SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2000 PROJECT.

       (a) Modification.--The table in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2000 
     (division B of Public Law 106-65; 113 Stat. 828) is amended--
       (1) in the item relating to Camp H.M. Smith, Hawaii, by 
     striking ``$86,050,000'' in the amount column and inserting 
     ``$89,050,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$820,230,000''.

[[Page 20178]]

       (b) Conforming Amendments.--Section 2204 of that Act (113 
     Stat. 830) is amended--
       (1) in subsection (a), in the matter preceding paragraph 
     (1), by striking ``$2,108,087,000'' and inserting 
     ``$2,111,087,000''; and
       (2) in subsection (b)(3), by striking ``$70,180,000'' and 
     inserting ``$73,180,000''.

                         TITLE XXIII--AIR FORCE

     SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(1), the Secretary of the Air Force may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:

                   Air Force: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                       location             Amount
------------------------------------------------------------------------
Alabama........................  Maxwell Air Force Base.     $34,400,000
Alaska.........................  Eareckson Air Force          $4,600,000
                                  Base.
                                 Elmendorf Air Force         $32,200,000
                                  Base.
Arizona........................  Davis-Monthan Air Force     $23,500,000
                                  Base..................
                                 Luke Air Force Base....      $4,500,000
Arkansas.......................  Little Rock Air Force       $10,600,000
                                  Base..................
California.....................  Beale Air Force Base...      $7,900,000
                                 Edwards Air Force Base.     $21,300,000
                                 Los Angeles Air Force       $23,000,000
                                  Base.
                                 Travis Air Force Base..     $10,100,000
                                 Vandenberg Air Force        $11,800,000
                                  Base.
Colorado.......................  Buckley Air Force Base.     $23,200,000
                                 Schriever Air Force         $30,400,000
                                  Base.
                                 United States Air Force     $25,500,000
                                  Academy...............
District of Columbia...........  Bolling Air Force Base.      $2,900,000
Florida........................  Cape Canaveral Air           $7,800,000
                                  Force Station.........
                                 Eglin Air Force Base...     $11,400,000
                                 Hurlburt Field.........     $10,400,000
                                 MacDill Air Force Base.     $10,000,000
                                 Tyndall Air Force Base.     $20,350,000
Georgia........................  Moody Air Force Base...      $4,900,000
                                 Robins Air Force Base..     $14,650,000
Hawaii.........................  Hickman Air Force Base.      $6,300,000
Idaho..........................  Mountain Home Air Force     $14,600,000
                                  Base.
Kansas.........................  McConnell Air Force          $5,100,000
                                  Base.
Maryland.......................  Andrews Air Force Base.     $19,420,000
Massachusetts..................  Hanscom Air Force Base.      $9,400,000
Mississippi....................  Keesler Air Force Base.     $28,600,000
Nevada.........................  Nellis Air Force Base..     $12,600,000
New Jersey.....................  McGuire Air Force Base.     $36,550,000
New Mexico.....................  Cannon Air Force Base..      $9,400,000
                                 Kirtland Air Force Base     $19,800,000
North Carolina.................  Pope Air Force Base....     $17,800,000
North Dakota...................  Grand Forks Air Force        $7,800,000
                                  Base.
Ohio...........................  Wright-Patterson Air         $5,800,000
                                  Force Base............
Oklahoma.......................  Altus Air Force Base...     $20,200,000
                                 Tinker Air Force Base..     $17,700,000
South Carolina.................  Shaw Air Force Base....     $24,400,000
Tennessee......................  Arnold Air Force Base..     $24,400,000
Texas..........................  Lackland Air Force Base     $12,800,000
                                 Laughlin Air Force Base     $15,600,000
                                 Sheppard Air Force Base     $45,200,000
Utah...........................  Hill Air Force Base....     $44,000,000
Virginia.......................  Langley Air Force Base.     $47,300,000
Washington.....................  Fairchild Air Force          $2,800,000
                                  Base.
                                 McChord Air Force Base.     $20,700,000
Wyoming........................  F E Warren Air Force        $10,200,000
                                  Base.
                                                         ---------------
                                   Total:...............    $822,320,000
------------------------------------------------------------------------

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

                  Air Force: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Ramstein Air Force Base     $42,900,000
                                 Spangdahlem Air Base...      $8,700,000
Greenland......................  Thule..................     $19,000,000
Guam...........................  Andersen Air Force Base     $10,150,000
Italy..........................  Aviano Air Base........     $11,800,000
Korea..........................  Kunsan Air Base........     $12,000,000
                                 Osan Air Base..........    $101,142,000
Turkey.........................  Eskisehir..............      $4,000,000
United Kingdom.................  Royal Air Force,            $11,300,000
                                  Lakenheath.
                                 Royal Air Force,            $22,400,000
                                  Mildenhall.
Wake Island....................  Wake Island............     $25,000,000
                                                         ---------------
                                   Total:...............    $268,392,000
------------------------------------------------------------------------

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

                    Air Force: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,458,000
------------------------------------------------------------------------


[[Page 20179]]

     SEC. 2302. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2304(a)(7)(A), the Secretary of the Air Force may 
     construct or acquire family housing units (including land 
     acquisition) at the installations, for the purposes, and in 
     the amounts, set forth in the following table:

                                            Air Force: Family Housing
----------------------------------------------------------------------------------------------------------------
                 State                     Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Arizona................................  Luke Air Force Base........  120 Units.................     $15,712,000
California.............................  Travis Air Force Base......  118 Units.................     $18,150,000
Colorado...............................  Buckley Air Force Base.....  55 Units..................     $11,400,000
Delaware...............................  Dover Air Force Base.......  120 Units.................     $18,145,000
District of Columbia...................  Bolling Air Force Base.....  136 Units.................     $16,926,000
Hawaii.................................  Hickam Air Force Base......  102 Units.................     $25,037,000
Louisiana..............................  Barksdale Air Force Base...  56 Units..................      $7,300,000
South Dakota...........................  Ellsworth Air Force Base...  78 Units..................     $13,700,000
Virginia...............................  Langley Air Force Base.....  4 Units...................      $1,200,000
Portugal...............................  Lajes Field, Azores........  64 Units..................     $13,230,000
                                                                                                 ---------------
                                                                        Total:..................    $140,800,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(7)(A), the Secretary of the Air Force may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $24,558,000.

     SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2304(a)(7)(A), the Secretary of 
     the Air Force may improve existing military family housing 
     units in an amount not to exceed $370,879,000.

     SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of the 
     Air Force in the total amount of $2,526,034,000 as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2301(a), $806,020,000.
       (2) For military construction projects outside the United 
     States authorized by section 2301(b), $268,392,000.
       (3) For the military construction projects at unspecified 
     worldwide locations authorized by section 2301(c), 
     $4,458,000.
       (4) For unspecified minor construction projects authorized 
     by section 2805 of title 10, United States Code, $11,250,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $84,630,000.
       (6) For military housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $536,237,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $866,171,000.
       (7) $12,600,000 for construction of an air freight terminal 
     and base supply complex at McGuire Air Force Base, New 
     Jersey, authorized by section 2301(a) of the Military 
     Construction Authorization Act for Fiscal Year 2001 (division 
     B of the Spence Act; 114 Stat. 1654A-399), as amended by 
     section 2305.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2301 of this Act may not exceed--
       (1) the total amount authorized to be appropriated under 
     paragraphs (1), (2), and (3) of subsection (a); and
       (2) $12,000,000 (the balance of the amount authorized under 
     section 2301(a) for a maintenance depot hanger at Hill Air 
     Force Base, Utah).
       (c) Adjustment.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (7) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs, reduced by--
       (1) $15,846,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military construction outside the United 
     States; and
       (2) $47,878,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military family housing construction and 
     military family housing support outside the United States.

     SEC. 2305. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECT.

       (a) Modification.--The table in section 2301(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001 
     (division B of the Spence Act; 114 Stat. 1654A-399) is 
     amended--
       (1) in the item relating to McGuire Air Force Base, New 
     Jersey, by striking ``$29,772,000'' in the amount column and 
     inserting ``$32,972,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$748,955,000''.
       (b) Conforming Amendments.--Section 2304(b)(2) of that Act 
     (114 Stat. 1654A-402) is amended by striking ``$9,400,000'' 
     and inserting ``$12,600,000''.

                      TITLE XXIV--DEFENSE AGENCIES

     SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2403(a)(1), the Secretary of Defense may acquire real 
     property and carry out military construction projects for the 
     installations and locations inside the United States, and in 
     the amounts, set forth in the following table:

               Defense Agencies: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Chemical Demilitarization......  Blue Grass Army Depot,      $47,220,000
                                  Kentucky..............
Defense Education Activity.....  Laurel Bay, South           $12,850,000
                                  Carolina..............
                                 Marine Corps Base, Camp      $8,857,000
                                  LeJeune, North
                                  Carolina..............
Defense Logistics Agency.......  Defense Distribution        $30,000,000
                                  Depot Tracy,
                                  California............
                                 Defense Distribution        $19,900,000
                                  New Cumberland,
                                  Pennsylvania..........
                                 Eielson Air Force Base,      $8,800,000
                                  Alaska................
                                 Fort Belvoir, Virginia.        $900,000
                                 Grand Forks Air Force        $9,110,000
                                  Base, North Dakota....
                                 Hickam Air Force Base,      $29,200,000
                                  Hawaii................
                                 McGuire Air Force Base,      $4,400,000
                                  New Jersey............
                                 Minot Air Force Base,       $14,000,000
                                  North Dakota..........
                                 Philadelphia,                $2,429,000
                                  Pennsylvania..........
                                 Pope Air Force Base,         $3,400,000
                                  North Carolina........
Special Operations Command.....  Aberdeen Proving             $3,200,000
                                  Ground, Maryland......
                                 Fort Benning, Georgia..      $5,100,000
                                 Fort Bragg, North           $35,962,000
                                  Carolina..............
                                 Fort Lewis, Washington.      $6,900,000
                                 Hurlburt Field, Florida     $13,400,000
                                 MacDill Air Force Base,     $12,000,000
                                  Florida...............
                                 Naval Station, San          $13,650,000
                                  Diego, California.....
TRICARE Management Activity....  Andrews Air Force Base,     $10,250,000
                                  Maryland..............
                                 Dyess Air Force Base,        $3,300,000
                                  Texas.................

[[Page 20180]]

 
                                 F. E. Warren Air Force       $2,700,000
                                  Base, Wyoming.........
                                 Fort Hood, Texas.......     $12,200,000
                                 Fort Stewart/Hunter         $11,000,000
                                  Army Air Field,
                                  Georgia...............
                                 Holloman Air Force           $5,700,000
                                  Base, New Mexico......
                                 Hurlburt Field, Florida      $8,800,000
                                 Marine Corps Base, Camp      $1,150,000
                                  Pendleton, California.
                                 Marine Corps Logistics       $5,800,000
                                  Base, Albany, Georgia.
                                 Naval Air Station,           $1,900,000
                                  Whidbey Island,
                                  Washington............
                                 Naval Hospital,              $1,600,000
                                  Twentynine Palms,
                                  California............
                                 Naval Station, Mayport,     $24,000,000
                                  Florida...............
                                 Naval Station, Norfolk,     $21,000,000
                                  Virginia..............
                                 Schriever Air Force          $4,000,000
                                  Base, Colorado........
Washington Headquarters          Pentagon Reservation,       $25,000,000
 Services......................   Virginia..............
                                                         ---------------
                                   Total:...............    $325,228,000
------------------------------------------------------------------------

       (b) Outside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2403(a)(2), the Secretary of Defense may acquire real 
     property and carry out military construction projects for the 
     installations and locations outside the United States, and in 
     the amounts, set forth in the following table:

               Defense Agencies: Outside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Defense Education Activity.....  Aviano Air Base, Italy.      $3,647,000
                                 Geilenkirchen AB,            $1,733,000
                                  Germany...............
                                 Heidelberg, Germany....      $3,312,000
                                 Kaiserslautern, Germany      $1,439,000
                                 Kitzingen, Germany.....      $1,394,000
                                 Landstuhl, Germany.....      $1,444,000
                                 Ramstein Air Force           $2,814,000
                                  Base, Germany.........
                                 Royal Air Force,            $22,132,000
                                  Feltwell, United
                                  Kingdom...............
                                 Vogelweh Annex, Germany      $1,558,000
                                 Wiesbaden Air Base,          $1,378,000
                                  Germany...............
                                 Wuerzburg, Germany.....      $2,684,000
Defense Logistics Agency.......  Anderson Air Force          $20,000,000
                                  Base, Guam............
                                 Camp Casey, Korea......      $5,500,000
                                 Naval Station, Rota,         $3,000,000
                                  Spain.................
                                 Yokota Air Base, Japan.     $13,000,000
Office Secretary of Defense....  Comalapa Air Base, El       $12,577,000
                                  Salvador..............
TRICARE Management Activity....  Heidelberg, Germany....     $28,000,000
                                 Lajes Field, Azores,         $3,750,000
                                  Portugal..............
                                 Thule, Greenland.......     $10,800,000
                                                         ---------------
                                   Total:...............    $140,162,000
------------------------------------------------------------------------

     SEC. 2402. ENERGY CONSERVATION PROJECTS.

       Using amounts appropriated pursuant to the authorization of 
     appropriations in section 2403(a)(6), the Secretary of 
     Defense may carry out energy conservation projects under 
     section 2865 of title 10, United States Code, in the amount 
     of $35,600,000.

     SEC. 2403. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2001, for military construction, land acquisition, and 
     military family housing functions of the Department of 
     Defense (other than the military departments), in the total 
     amount of $1,421,319,000 as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2401(a), $370,164,000.
       (2) For military construction projects outside the United 
     States authorized by section 2401(b), $140,162,000.
       (3) For unspecified minor construction projects under 
     section 2805 of title 10, United States Code, $24,492,000.
       (4) For contingency construction projects of the Secretary 
     of Defense under section 2804 of title 10, United States 
     Code, $10,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $74,496,000.
       (6) For energy conservation projects authorized by section 
     2402 of this Act, $35,600,000.
       (7) For base closure and realignment activities as 
     authorized by the Defense Base Closure and Realignment Act of 
     1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 
     2687 note), $532,200,000.
       (8) For military family housing functions:
       (A) For improvement of military family housing and 
     facilities, $250,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $43,762,000, of which not more than $37,298,000 
     may be obligated or expended for the leasing of military 
     family housing units worldwide.
       (C) For credit to the Department of Defense Family Housing 
     Improvement Fund established by section 2883(a)(1) of title 
     10, United States Code, $2,000,000.
       (9) For the construction of phase 6 of an ammunition 
     demilitarization facility at Pine Bluff Arsenal, Arkansas, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 1995 (division B of Public 
     Law 103-337; 108 Stat. 3040), as amended by section 2407 of 
     the Military Construction Authorization Act for Fiscal Year 
     1996 (division B of Public Law 104-106; 110 Stat. 539), 
     section 2408 of the Military Construction Authorization Act 
     for Fiscal Year 1998 (division B of Public Law 105-85; 111 
     Stat. 1982), section 2406 of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2197), and section 2407 of this Act, 
     $26,000,000.
       (10) For the construction of phase 3 of an ammunition 
     demilitarization facility at Pueblo Army Depot, Colorado, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 1997 (division B of Public 
     Law 104-201; 110 Stat. 2775), as amended by section 2406 of 
     the Military Construction Authorization Act for Fiscal Year 
     2000 (division B of Public Law 106-65; 113 Stat. 839), 
     $11,000,000.
       (11) For construction of phase 4 of an ammunition 
     demilitarization facility at Newport Army Depot, Indiana, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2193), $66,000,000.
       (12) For construction of phase 4 of an ammunition 
     demilitarization facility at Aberdeen Proving Ground, 
     Maryland, authorized by section 2401(a) of the Military 
     Construction Authorization Act for Fiscal Year 1999 (division 
     B of Public Law 105-261; 112 Stat. 2193), as amended by 
     section 2406 of this Act, $66,500,000.
       (13) For construction of a hospital at Fort Wainwright, 
     Alaska, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2000 (division 
     B of Public Law 106-65; 113 Stat. 836), $18,500,000.
       (14) For construction of an aircrew water survival training 
     facility at Naval Air Station, Whidbey Island, Washington, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 2000 (division B of Public 
     Law 106-65; 113 Stat. 836), as amended by section 2405 of 
     this Act, $6,600,000.
       (15) For the construction of phase 2 of an ammunition 
     demilitarization facility at Blue Grass Army Depot, Kentucky, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 2000 (division B of Public 
     Law 106-65, 113 Stat. 836), as amended by section 2405, 
     $3,000,000.

[[Page 20181]]

       (16) For construction of FHOTC Support Facilities at Camp 
     Pendleton, California, authorized by section 2401(a) of the 
     Military Construction Authorization Act for Fiscal Year 2001 
     (division B of the Spence Act; 114 Stat.1654A-402), as 
     amended by section 2404 of this Act, $3,150,000.
       (17) For replacement of a Medical/Dental Clinic, Las 
     Flores, at Camp Pendleton, California, authorized by section 
     2401(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (division B of the Spence Act; 114 
     Stat.1654A-402), as amended by section 2404 of this Act, 
     $3,800,000.
       (18) For replacement of a Medical/Dental Clinic, Las 
     Pulgas, at Camp Pendleton, California, authorized by section 
     2401(a) of the Military Construction Authorization Act for 
     Fiscal Year 2001 (division B of the Spence Act; 114 
     Stat.1654A-402), as amended by section 2404 of this Act, 
     $4,050,000.
       (19) For replacement of a Medical/Dental Clinic, Horno, at 
     Camp Pendleton, California, authorized by section 2401(a) of 
     the Military Construction Authorization Act for Fiscal Year 
     2001 (division B of the Spence Act; 114 Stat.1654A-402), as 
     amended by section 2404 of this Act, $4,300,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2401 of this Act may not exceed the 
     total amount authorized to be appropriated under paragraphs 
     (1) and (2) of subsection (a).
       (c) Adjustments.--The total amount authorized to be 
     appropriated pursuant to paragraphs (1) through (19) of 
     subsection (a) is the sum of the amounts authorized to be 
     appropriated in such paragraphs, reduced by--
       (1) $17,857,000, which represents the combination of 
     savings resulting from adjustments to foreign currency 
     exchange rates for military construction outside the United 
     States; and
       (2) $10,250,000, which represents the combination of 
     project savings in military construction resulting from 
     favorable bids, reduced overhead charges, and cancellations 
     due to force structure changes.

     SEC. 2404. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2001 PROJECT.

       The table in section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 2001 (division B of the 
     Spence Act; 114 Stat. 1654A-402) is amended--
       (1) under the agency heading relating to TRICARE Management 
     Activity, in the item relating to Marine Corps Base, Camp 
     Pendleton, California, by striking ``$14,150,000'' and 
     inserting ``$15,300,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$258,056,000''.

     SEC. 2405. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2000 PROJECTS.

       (a) Modification.--The table in section 2401(a) of the 
     Military Construction Authorization Act for Fiscal Year 2000 
     (division B of Public Law 106-65; 113 Stat. 836) is amended--
       (1) under the agency heading relating to TRICARE Management 
     Activity, in the item relating to Naval Air Station, Whidbey 
     Island, Washington, by striking ``$4,700,000'' inserting 
     ``$6,600,000'';
       (2) under the agency heading relating to Chemical 
     Demilitarization, in the item relating to Blue Grass Army 
     Depot, Kentucky, by striking ``$206,800,000'' in the amount 
     column and inserting ``$254,030,000''; and
       (3) by striking the amount identified as the total in the 
     amount column and inserting ``$636,550,000''.
       (b) Conforming Amendment.--Section 2405(b)(3) of that Act 
     (113 Stat. 839) is amended by striking ``$184,000,000'' and 
     inserting ``$231,230,000''.

     SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 1999 PROJECT.

       The table in section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2193) is amended--
       (1) under the agency heading relating to Chemical 
     Demilitarization, in the item relating to Aberdeen Proving 
     Ground, Maryland, by striking ``$186,350,000'' in the amount 
     column and inserting ``$223,950,000''; and
       (2) by striking the amount identified as the total in the 
     amount column and inserting ``$727,616,000''.
       (b) Conforming Amendments.--Section 2404(b)(3) of that Act 
     (112 Stat. 2196) is amended by striking ``$158,000,000'' and 
     inserting ``$195,600,000''.

      SEC. 2407. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 1995 PROJECT.

       The table in section 2401 of the Military Construction 
     Authorization Act for Fiscal Year 1995 (division B of Public 
     Law 103-337; 108 Stat. 3040), as amended by section 2407 of 
     the Military Construction Authorization Act for Fiscal Year 
     1996 (division B of Public Law 104-106; 110 Stat. 539), 
     section 2408 of the Military Construction Authorization Act 
     for Fiscal Year 1998 (division B of Public Law 105-85; 111 
     Stat. 1982), and section 2406 of the Military Construction 
     Authorization Act for Fiscal Year 1999 (division B of Public 
     Law 105-261; 112 Stat. 2197), is amended under the agency 
     heading relating to Chemical Agents and Munitions 
     Destruction, in the item relating to Pine Bluff Arsenal, 
     Arkansas, by striking ``$154,400,000'' in the amount column 
     and inserting ``$177,400,000''.

     SEC. 2408. PROHIBITION ON EXPENDITURES TO DEVELOP FORWARD 
                   OPERATING LOCATION ON ARUBA FOR UNITED STATES 
                   SOUTHERN COMMAND COUNTER-DRUG DETECTION AND 
                   MONITORING FLIGHTS.

       None of the funds appropriated under the heading ``military 
     construction, defense-wide'' in chapter 3 of title III of the 
     Emergency Supplemental Act, 2000 (Public Law 106-246; 114 
     Stat. 579), may be used by the Secretary of Defense to 
     develop any forward operating location on the island of Aruba 
     to serve as a location from which the United States Southern 
     Command could conduct counter-drug detection and monitoring 
     flights.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

     SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       The Secretary of Defense may make contributions for the 
     North Atlantic Treaty Organization Security Investment 
     Program as provided in section 2806 of title 10, United 
     States Code, in an amount not to exceed the sum of the amount 
     authorized to be appropriated for this purpose in section 
     2502 and the amount collected from the North Atlantic Treaty 
     Organization as a result of construction previously financed 
     by the United States.

     SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

       Funds are hereby authorized to be appropriated for fiscal 
     years beginning after September 30, 2001, for contributions 
     by the Secretary of Defense under section 2806 of title 10, 
     United States Code, for the share of the United States of the 
     cost of projects for the North Atlantic Treaty Organization 
     Security Investment Program authorized by section 2501, in 
     the amount of $162,600,000.

                TITLE XXVI--GUARD AND RESERVE FACILITIES

     SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) In General.--There are authorized to be appropriated 
     for fiscal years beginning after September 30, 2001, for the 
     costs of acquisition, architectural and engineering services, 
     and construction of facilities for the Guard and Reserve 
     Forces, and for contributions therefor, under chapter 1803 of 
     title 10, United States Code (including the cost of 
     acquisition of land for those facilities), the following 
     amounts:
       (1) For the Department of the Army--
       (A) for the Army National Guard of the United States, 
     $304,915,000; and
       (B) for the Army Reserve, $173,017,000.
       (2) For the Department of the Navy, for the Naval and 
     Marine Corps Reserve, $53,291,000.
       (3) For the Department of the Air Force--
       (A) for the Air National Guard of the United States, 
     $197,472,000; and
       (B) for the Air Force Reserve, $79,132,000.

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

     SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED 
                   TO BE SPECIFIED BY LAW.

       (a) Expiration of Authorizations After Three Years.--Except 
     as provided in subsection (b), all authorizations contained 
     in titles XXI through XXVI for military construction 
     projects, land acquisition, family housing projects and 
     facilities, and contributions to the North Atlantic Treaty 
     Organization Security Investment program (and authorizations 
     of appropriations therefor) shall expire on the later of--
       (1) October 1, 2004; or
       (2) the date of the enactment of an Act authorizing funds 
     for military construction for fiscal year 2005.
       (b) Exception.--Subsection (a) shall not apply to 
     authorizations for military construction projects, land 
     acquisition, family housing projects and facilities, and 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program (and authorizations of 
     appropriations therefor) for which appropriated funds have 
     been obligated before the later of--
       (1) October 1, 2004; or
       (2) the date of the enactment of an Act authorizing funds 
     for fiscal year 2005 for military construction projects, land 
     acquisition, family housing projects and facilities, or 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program.

     SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 
                   1999 PROJECTS.

       (a) Exception.--Notwithstanding section 2701 of the 
     Military Construction Authorization Act for Fiscal Year 1999 
     (division B of Public Law 105-261; 112 Stat. 2199), 
     authorizations set forth in the tables in subsection (b), as 
     provided in section 2302 or 2601 of that Act, shall remain in 
     effect until October 1, 2002, or the date of the enactment of 
     an Act authorizing funds for military construction for fiscal 
     year 2003, whichever is later.
       (b) Tables.--The tables referred to in subsection (a) are 
     as follows:

[[Page 20182]]



                               Air Force: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Delaware..............................  Dover Air Force Base.....  Family Housing Replacement         $8,998,000
                                                                    (55 Units)..................
Florida...............................  Patrick Air Force Base...  Family Housing Replacement         $9,692,000
                                                                    (46 Units)..................
New Mexico............................  Kirtland Air Force Base..  Family Housing Replacement         $6,400,000
                                                                    (37 Units)..................
Ohio..................................  Wright-Patterson Air       Family Housing Replacement         $5,600,000
                                         Force Base..............   (40 Units)..................
----------------------------------------------------------------------------------------------------------------


                          Army National Guard: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Massachusetts.........................  Westfield................  Army Aviation Support              $9,274,000
                                                                    Facility....................
South Carolina........................  Spartanburg..............  Readiness Center.............      $5,260,000
----------------------------------------------------------------------------------------------------------------

     SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 
                   1998 PROJECTS.

       (a) Extension.--Notwithstanding section 2701 of the 
     Military Construction Authorization Act for Fiscal Year 1998 
     (division B of Public Law 105-85; 111 Stat. 1984), 
     authorizations set forth in the tables in subsection (b), as 
     provided in section 2102, 2202, or 2302 of that Act and 
     extended by section 2702 of the Military Construction 
     Authorization Act for Fiscal Year 2001 (division B of the 
     Spence Act; 114 Stat. 1654A-408), shall remain in effect 
     until October 1, 2002, or the date of the enactment of an Act 
     authorizing funds for military construction for fiscal year 
     2003, whichever is later.
       (b) Tables.--The tables referred to in subsection (a) are 
     as follows:

                                  Army: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Maryland..............................  Fort Meade...............  Family Housing Construction        $7,900,000
                                                                    (56 units)..................
----------------------------------------------------------------------------------------------------------------


                                 Navy: Extension of 1998 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
California............................  Naval Complex, San Diego.  Family Housing Replacement        $13,500,000
                                                                    (94 units)..................
California............................  Marine Corps Air Station,  Family Housing Construction       $28,881,000
                                         Miramar.................   (166 units).................
Louisiana.............................  Naval Complex, New         Family Housing Replacement        $11,930,000
                                         Orleans.................   (100 units).................
Texas.................................  Naval Air Station, Corpus  Family Housing Construction       $22,250,000
                                         Christi.................   (212 units).................
----------------------------------------------------------------------------------------------------------------


                               Air Force: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
New Mexico............................  Kirtland Air Force Base..  Family Housing Replacement        $20,900,000
                                                                    (180 units).................
----------------------------------------------------------------------------------------------------------------

     SEC. 2704. EFFECTIVE DATE.

       Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take 
     effect on the later of--
       (1) October 1, 2001; or
       (2) the date of the enactment of this Act.

                    TITLE XXVIII--GENERAL PROVISIONS

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

     SEC. 2801. INCREASE IN CERTAIN UNSPECIFIED MINOR MILITARY 
                   CONSTRUCTION PROJECT THRESHOLDS.

       Section 2805 of title 10, United States Code, is amended--
       (1) in subsection (b)(1), by striking ``$500,000'' and 
     inserting ``$750,000'';
       (2) in subsection (c)(1)(A), by striking ``$1,000,000'' and 
     inserting ``$1,500,000''; and
       (3) in subsection (c)(1)(B), by striking ``$500,000'' and 
     inserting ``$750,000''.

     SEC. 2802. EXCLUSION OF UNFORESEEN ENVIRONMENTAL HAZARD 
                   REMEDIATION FROM LIMITATION ON AUTHORIZED COST 
                   VARIATIONS.

       Subsection (d) of section 2853 of title 10, United States 
     Code, is amended to read as follows:
       ``(d) The limitation on cost increases in subsection (a) 
     does not apply--
       ``(1) to the settlement of a contractor claim under a 
     contract; or
       ``(2) to the costs associated with the required remediation 
     of an environmental hazard in connection with a military 
     construction project or military family housing project, such 
     as asbestos removal, radon abatement, lead-based paint 
     removal or abatement, or any other legally required 
     environmental hazard remediation, if the required remediation 
     could not have reasonably been anticipated at the time the 
     project was approved originally by Congress.''.

     SEC. 2803. REPEAL OF ANNUAL REPORTING REQUIREMENT ON MILITARY 
                   CONSTRUCTION AND MILITARY FAMILY HOUSING 
                   ACTIVITIES.

       (a) Repeal.--Section 2861 of title 10, United States Code, 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of subchapter III of chapter 169 of such title is 
     amended by striking the item relating to section 2861.

     SEC. 2804. PERMANENT AUTHORIZATION FOR ALTERNATIVE AUTHORITY 
                   FOR ACQUISITION AND IMPROVEMENT OF MILITARY 
                   HOUSING.

       (a) Repeal of Termination Provision.--Section 2885 of title 
     10, United States Code, is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of subchapter IV of chapter 169 of such title is 
     amended by striking the item relating to section 2885.

        Subtitle B--Real Property and Facilities Administration

     SEC. 2811. USE OF MILITARY INSTALLATIONS FOR CERTAIN 
                   RECREATIONAL ACTIVITIES.

       Section 2671 of title 10, United States Code, is amended--
       (1) by transferring subsection (b) to the end of the 
     section and redesignating such subsection, as so transferred, 
     as subsection (e); and
       (2) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Subsection (a) shall not apply with respect to all or 
     certain specified hunting, fishing, or trapping at a military 
     installation or facility if the Secretary of Defense 
     determines that the application of the State or Territory 
     fish and game laws to such hunting, fishing, or trapping 
     without modification could result in undesirable consequences 
     for public safety or adverse effects on morale, welfare, or 
     recreation activities at the installation or facility. The 
     Secretary may not waive or modify the requirements under 
     subsection (a)(2) regarding a license for such hunting, 
     fishing, or trapping or any fee imposed by a State or 
     Territory to obtain such a license.''.

[[Page 20183]]



     SEC. 2812. BASE EFFICIENCY PROJECT AT BROOKS AIR FORCE BASE, 
                   TEXAS.

       (a) Indemnification of Transferees.--Section 136 of the 
     Military Construction Appropriations Act, 2001 (division A of 
     Public Law 106-246; 114 Stat. 520), is amended--
       (1) by striking subsection (n);
       (2) by redesignating subsection (m) as subsection (n); and
       (3) by inserting after subsection (l) the following new 
     subsection:
       ``(m) Indemnification of Transferees.--(1) With respect to 
     the disposal of real property under subsection (e) at the 
     Base as part of the Project, the Secretary shall hold 
     harmless, defend, and indemnify in full the Community and 
     other persons and entities described in paragraph (2) from 
     and against any suit, claim, demand or action, liability, 
     judgment, cost or other fee arising out of any claim for 
     personal injury or property damage (including death, illness, 
     or loss of or damage to property or economic loss) that 
     results from, or is in any manner predicated upon, the 
     release or threatened release of any hazardous substance, 
     pollutant or contaminant, or petroleum or petroleum 
     derivative as a result of Department of Defense activities at 
     the Base.
       ``(2) The persons and entities referred to in paragraph (1) 
     are the following:
       ``(A) The Community (including any officer, agent, or 
     employee of the Community) that acquires ownership or control 
     of any real property at the Base as described in paragraph 
     (1).
       ``(B) The State of Texas or any political subdivision of 
     the State (including any officer, agent, or employee of the 
     State or political subdivision) that acquires such ownership 
     or control.
       ``(C) Any other person or entity that acquires such 
     ownership or control.
       ``(D) Any successor, assignee, transferee, lender, or 
     lessee of a person or entity described in subparagraphs (A) 
     through (C).
       ``(3) To the extent the persons and entities described in 
     paragraph (2) contributed to any such release or threatened 
     release, paragraph (1) shall not apply.
       ``(4) No indemnification may be afforded under this 
     subsection unless the person or entity making a claim for 
     indemnification--
       ``(A) notifies the Department of Defense in writing within 
     two years after such claim accrues or begins action within 
     six months after the date of mailing, by certified or 
     registered mail, of notice of final denial of the claim by 
     the Department of Defense;
       ``(B) furnishes to the Department of Defense copies of 
     pertinent papers the entity receives;
       ``(C) furnishes evidence or proof of any claim, loss, or 
     damage covered by this subsection; and
       ``(D) provides, upon request by the Department of Defense, 
     access to the records and personnel of the entity for 
     purposes of defending or settling the claim or action.
       ``(5) In any case in which the Secretary determines that 
     the Department of Defense may be required to make 
     indemnification payments to a person under this subsection 
     for any suit, claim, demand or action, liability, judgment, 
     cost or other fee arising out of any claim for personal 
     injury or property damage referred to in paragraph (1), the 
     Secretary may settle or defend, on behalf of that person, the 
     claim for personal injury or property damage. If the person 
     to whom the Department of Defense may be required to make 
     indemnification payments does not allow the Secretary to 
     settle or defend the claim, the person may not be afforded 
     indemnification with respect to that claim under this 
     subsection.
       ``(6) For purposes of paragraph (4)(A), the date on which a 
     claim accrues is the date on which the plaintiff knew (or 
     reasonably should have known) that the personal injury or 
     property damage referred to in paragraph (1) was caused or 
     contributed to by the release or threatened release of a 
     hazardous substance, pollutant or contaminant, or petroleum 
     or petroleum derivative as a result of Department of Defense 
     activities at the Base.
       ``(7) Nothing in this subsection shall be construed as 
     affecting or modifying in any way section 120(h) of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980 (42 U.S.C. 9620(h)).
       ``(8) In this subsection, the terms `facility', `hazardous 
     substance', `release', and `pollutant or contaminant' have 
     the meanings given such terms in section 101 of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980, respectively (42 U.S.C. 9601).''.
       (b) Definitions.--Paragraph (9) of subsection (n) of such 
     section, as redesignated by subsection (a)(2), is amended by 
     striking ``, who shall be a civilian official of the 
     Department appointed by the President with the advice and 
     consent of the Senate''.

     SEC. 2813. USE OF BUILDINGS ON MILITARY INSTALLATIONS AND 
                   RESERVE COMPONENT FACILITIES AS POLLING PLACES.

       (a) Use of Military Installations Authorized.--Section 2670 
     of title 10, United States Code, is amended by adding at the 
     end the following new subsection:
       ``(b) Use as Polling Places.--(1) Notwithstanding chapter 
     29 of title 18 (including sections 592 and 593 of such 
     title), the Secretary of a military department may make a 
     building located on a military installation under the 
     jurisdiction of the Secretary available for use as a polling 
     place in any Federal, State, or local election for public 
     office.
       ``(2) Once a military installation is made available as the 
     site of a polling place with respect to a Federal, State, or 
     local election for public office, the Secretary shall 
     continue to make the site available for subsequent elections 
     for public office unless the Secretary provides to Congress 
     advance notice in a reasonable and timely manner of the 
     reasons why the site will no longer be made available as a 
     polling place.
       ``(3) In this subsection, the term `military installation' 
     has the meaning given the term in section 2687(e) of this 
     title.''.
       (b) Use of Reserve Component Facilities.--(1) Section 18235 
     of such title is amended by adding at the end the following 
     new subsection:
       ``(c) Pursuant to a lease or other agreement under 
     subsection (a)(2), the Secretary may make a facility covered 
     by subsection (a) available for use as a polling place in any 
     Federal, State, or local election for public office 
     notwithstanding chapter 29 of title 18 (including sections 
     592 and 593 of such title). Once a facility is made available 
     as the site of a polling place with respect to an election 
     for public office, the Secretary shall continue to make the 
     facility available for subsequent elections for public office 
     unless the Secretary provides to Congress advance notice in a 
     reasonable and timely manner of the reasons why the facility 
     will no longer be made available as a polling place.''.
       (2) Section 18236 of such title is amended by adding at the 
     end the following new subsection:
       ``(e) Pursuant to a lease or other agreement under 
     subsection (c)(1), a State may make a facility covered by 
     subsection (c) available for use as a polling place in any 
     Federal, State, or local election for public office 
     notwithstanding chapter 29 of title 18 (including sections 
     592 and 593 of such title).''.
       (c) Conforming and Clerical Amendments.--(1) section 2670 
     of such title is further amended--
       (A) by striking ``Under'' and inserting ``(a) Use by Red 
     Cross.--Under''; and
       (B) by striking ``this section'' and inserting ``this 
     subsection''.
       (2) The heading of such section is amended to read as 
     follows:

     ``Sec. 2670. Buildings on military installations: use by 
       American National Red Cross and as polling places''.

       (3) The item relating to such section in the table of 
     sections at the beginning of chapter 159 of such title is 
     amended to read as follows:

``2670. Buildings on military installations: use by American National 
              Red Cross and as polling places.''.

            Subtitle C--Defense Base Closure and Realignment

     SEC. 2821. LEASE BACK OF BASE CLOSURE PROPERTY.

       (a) 1988 Law.--Section 204(b)(4) of the Defense 
     Authorization Amendments and Base Closure and Realignment Act 
     (Public Law 100-526; 10 U.S.C. 2687 note) is amended--
       (1) by redesignating subparagraphs (E), (F), (G), (H), and 
     (I) as subparagraphs (F), (G), (H), (I), and (J), 
     respectively; and
       (2) by inserting after subparagraph (D) the following new 
     subparagraph (E):
       ``(E)(i) The Secretary may transfer real property at an 
     installation approved for closure or realignment under this 
     title (including property at an installation approved for 
     realignment which will be retained by the Department of 
     Defense or another Federal agency after realignment) to the 
     redevelopment authority for the installation if the 
     redevelopment authority agrees to lease, directly upon 
     transfer, one or more portions of the property transferred 
     under this subparagraph to the Secretary or to the head of 
     another department or agency of the Federal Government. 
     Subparagraph (B) shall apply to a transfer under this 
     subparagraph.
       ``(ii) A lease under clause (i) shall be for a term of not 
     to exceed 50 years, but may provide for options for renewal 
     or extension of the term by the department or agency 
     concerned.
       ``(iii) A lease under clause (i) may not require rental 
     payments by the United States.
       ``(iv) A lease under clause (i) shall include a provision 
     specifying that if the department or agency concerned ceases 
     requiring the use of the leased property before the 
     expiration of the term of the lease, the remainder of the 
     lease term may be satisfied by the same or another department 
     or agency of the Federal Government using the property for a 
     use similar to the use under the lease. Exercise of the 
     authority provided by this clause shall be made in 
     consultation with the redevelopment authority concerned.
       ``(v) Notwithstanding clause (iii) or chapter 137 of title 
     10, United States Code, if a lease under clause (i) involves 
     a substantial portion of the installation, the department or 
     agency concerned may obtain facility services for the leased 
     property and common area maintenance from the redevelopment 
     authority or the redevelopment authority's assignee as a 
     provision of the lease. The facility services and common area 
     maintenance shall be provided at a rate no higher than the 
     rate charged to non-Federal tenants of the transferred 
     property. Facility services

[[Page 20184]]

     and common area maintenance covered by the lease shall not 
     include--
       ``(I) municipal services that a State or local government 
     is required by law to provide to all landowners in its 
     jurisdiction without direct charge; or
       ``(II) firefighting or security-guard functions.''.
       (b) 1990 Law.--Section 2905(b)(4)(E) of the Defense Base 
     Closure and Realignment Act of 1990 (part A of title XXIX of 
     Public Law 101-510; 10 U.S.C. 2687 note) is amended by adding 
     at the end the following new clause:
       ``(v) Notwithstanding clause (iii) or chapter 137 of title 
     10, United States Code, if a lease under clause (i) involves 
     a substantial portion of the installation, the department or 
     agency concerned may obtain facility services for the leased 
     property and common area maintenance from the redevelopment 
     authority or the redevelopment authority's assignee as a 
     provision of the lease. The facility services and common area 
     maintenance shall be provided at a rate no higher than the 
     rate charged to non-Federal tenants of the transferred 
     property. Facility services and common area maintenance 
     covered by the lease shall not include--
       ``(I) municipal services that a State or local government 
     is required by law to provide to all landowners in its 
     jurisdiction without direct charge; or
       ``(II) firefighting or security-guard functions.''.

                      Subtitle D--Land Conveyances

                        PART I--ARMY CONVEYANCES

     SEC. 2831. MODIFICATION OF LAND EXCHANGE, ROCK ISLAND 
                   ARSENAL, ILLINOIS.

       (a) Additional Conveyance Authorized.--Subsection (a) of 
     section 2832 of the Military Construction Authorization Act 
     for Fiscal Year 2000 (division B of Public Law 106-65; 113 
     Stat. 857) is amended--
       (1) by inserting ``(1)'' before ``The Secretary''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Secretary may convey to the City all right, 
     title, and interest of the United States in and to an 
     additional parcel of real property, including improvements 
     thereon, at the Rock Island Arsenal consisting of 
     approximately .513 acres.''.
       (b) Consideration.--Subsection (b) of such section is 
     amended--
       (1) by inserting ``(1)'' before ``As consideration'';
       (2) by striking ``subsection (a)'' both places it appears 
     and inserting ``subsection (a)(1)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) As consideration for the conveyance under subsection 
     (a)(2), the City shall convey to the Secretary all right, 
     title, and interest of the City in and to a parcel of real 
     property consisting of approximately .063 acres and construct 
     on the parcel, at the City's expense, a new access ramp to 
     the Rock Island Arsenal.''.

     SEC. 2832. MODIFICATION OF LAND CONVEYANCES, FORT DIX, NEW 
                   JERSEY.

       Section 2835(c) of the Military Construction Authorization 
     Act for Fiscal Year 1998 (division B of Public Law 105-85; 
     111 Stat. 2004) is amended by adding at the end the following 
     new paragraph:
       ``(3) Notwithstanding paragraphs (1) or (2), the Borough 
     and Board may exchange between each other, without the 
     consent of the Secretary, all or any portion of the property 
     conveyed under subsection (a) so long as the property 
     continues to be used by the grantees for economic development 
     or educational purposes.''.

     SEC. 2833. LEASE AUTHORITY, FORT DERUSSY, HAWAII.

       Notwithstanding section 809 of the Military Construction 
     Authorization Act, 1968 (Public Law 90-110; 81 Stat. 309) and 
     section 2814(b) of the Military Construction Authorization 
     Act, 1989 (Public Law 100-456; 102 Stat. 2117), the Secretary 
     of the Army may enter into a lease with the City of Honolulu, 
     Hawaii, for the purpose of making available to the City a 
     parcel of real property at Fort DeRussy, Hawaii, for the 
     construction of a parking facility.

     SEC. 2834. LAND EXCHANGE AND CONSOLIDATION, FORT LEWIS, 
                   WASHINGTON.

       (a) Exchange Authorized.--(1) The Secretary of the Army may 
     convey to the Nisqually Tribe, a federally recognized Indian 
     tribe whose tribal lands are located within the State of 
     Washington, all right, title, and interest of the United 
     States in and to two parcels of real property, including any 
     improvements thereon, consisting of approximately 138 acres 
     at Fort Lewis, Washington, in exchange for the real property 
     described in subsection (b).
       (2) The property authorized for conveyance under paragraph 
     (1) does not include Bonneville Power Administration 
     transmission facilities or the right of way described in 
     subsection (c).
       (b) Consideration.--As consideration for the conveyance 
     under subsection (a), the Nisqually Tribe shall--
       (1) acquire from Thurston Country, Washington, several 
     parcels of real property consisting of approximately 416 
     acres that are owned by the county, are within the boundaries 
     of Fort Lewis, and are currently leased by the Army, and
       (2) convey fee title over the acquired property to the 
     Secretary.
       (c) Right-of-Way for Bonneville Power Administration.--The 
     Secretary may use the authority provided in section 2668 of 
     title 10, United States Code, to convey to the Bonneville 
     Power Administration a right-of-way that authorizes the 
     Bonneville Power Administration to use real property at Fort 
     Lewis as a route for the Grand Coulee-Olympia and Olympia-
     White River electric transmission lines and appurtenances to 
     facilitate the removal of such transmission lines from tribal 
     lands of the Nisqually Tribe.
       (d) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) and acquired under subsection (b) shall be 
     determined by a survey satisfactory to the Secretary and the 
     Nisqually Tribe. The cost of the survey shall be borne by the 
     recipient of the property.
       (e) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyances under this section as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 2835. LAND CONVEYANCE, WHITTIER-ANCHORAGE PIPELINE TANK 
                   FARM, ANCHORAGE, ALASKA.

       (a) Conveyance Authorized.--The Secretary of the Army may 
     convey, without consideration, to the Port of Anchorage, an 
     entity of the Municipality of Anchorage, Alaska, all right, 
     title, and interest of the United States in and to two 
     adjoining parcels of real property, including any 
     improvements thereon, consisting of approximately 48 acres in 
     Anchorage, Alaska, which are known as of the Whittier-
     Anchorage Pipeline Tank Farm, for the purpose of permitting 
     the Port of Anchorage to use the parcels for economic 
     development.
       (b) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) shall be determined by a survey satisfactory 
     to the Secretary. The cost of the survey shall be borne by 
     the recipient of the real property.
       (c) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under this section (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

                       PART II--NAVY CONVEYANCES

     SEC. 2841. TRANSFER OF JURISDICTION, CENTERVILLE BEACH NAVAL 
                   STATION, HUMBOLDT COUNTY, CALIFORNIA.

       (a) Transfer Authorized.--The Secretary of the Navy may 
     transfer, without reimbursement, to the administrative 
     jurisdiction of the Secretary of the Interior the real 
     property, including any improvements thereon, consisting of 
     the closed Centerville Beach Naval Station in Humboldt 
     County, California, for the purpose of permitting the 
     Secretary of the Interior to manage the real property as open 
     space or for other public purposes.
       (b) Legal Description.--The exact acreage and legal 
     description of the real property to be transferred under this 
     section shall be determined by a survey satisfactory to the 
     Secretary of the Navy. The cost of the survey shall be borne 
     by the Secretary of the Interior.
       (c) Additional Terms and Conditions.--The Secretary of the 
     Navy may require such additional terms and conditions in 
     connection with the transfer under this section as the 
     Secretary of the Navy considers appropriate to protect the 
     interests of the United States.

     SEC. 2842. LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL RESERVE 
                   PLANT, TOLEDO, OHIO.

       (a) Conveyance Authorized.--(1) The Secretary of the Navy 
     may convey, without consideration, to the Toledo-Lucas County 
     Port Authority, Ohio (in this section referred to as the 
     ``Port Authority''), all right, title, and interest of the 
     United States in and to a parcel of real property consisting 
     of approximately 29 acres, including any improvements 
     thereon, and comprising the Naval Weapons Industrial Reserve 
     Plant, Toledo, Ohio.
       (2) The Secretary may include in the conveyance under 
     paragraph (1) such facilities, equipment, fixtures, and other 
     personal property located or based on the parcel conveyed 
     under that paragraph, or used in connection with the parcel, 
     as the Secretary determines to be not required by the Navy 
     for other purposes.
       (b) Lease Authority.--Until such time as the real property 
     described in subsection (a)(1) is conveyed by deed, the 
     Secretary may lease the real property, together with any 
     improvements, facilities, equipment, fixtures, and other 
     personal property thereon, to the Port Authority in exchange 
     for security services, fire protection services, and 
     maintenance services provided by the Port Authority for the 
     real property.
       (c) Conditions of Conveyance.--(1) The conveyance under 
     subsection (a), and any lease under subsection (b), shall be 
     subject to the conditions that the Port Authority--
       (A) accept the parcel, and any improvements, facilities, 
     equipment, fixtures, and other personal property thereon, in 
     their condition at the time of the conveyance or lease, as 
     the case may be; and
       (B) except as provided in paragraph (2), use the parcel, 
     and any improvements, facilities,

[[Page 20185]]

     equipment, fixtures, and other personal property thereon, 
     whether directly or through an agreement with a public or 
     private entity, for economic development, redevelopment, or 
     retention purposes, including the creation or preservation of 
     jobs and employment opportunities, or such other public 
     purposes as the Port Authority determines appropriate.
       (2) The Port Authority may at any time convey, lease, or 
     sublease, as the case may be, the parcel, and any 
     improvements, facilities, equipment, fixtures, and other 
     personal property thereon, to a public or private entity for 
     purposes described in paragraph (1)(B).
       (d) Inspection.--The Secretary may permit the Port 
     Authority to review and inspect the improvements, facilities, 
     equipment, fixtures, and other personal property located on 
     the parcel described in subsection (a)(1) for purposes of the 
     conveyance authorized by that subsection and the lease 
     authorized by subsection (b).
       (e) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a)(1), and of any facilities, equipment fixtures, 
     or other personal property to be conveyed under subsection 
     (a)(2), shall be determined by a survey and other means 
     satisfactory to the Secretary. The cost of any activities 
     under the preceding sentence shall be borne by the Port 
     Authority.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a)(1), and any lease 
     under subsection (b), as the Secretary considers appropriate 
     to protect the interests of the United States.

     SEC. 2843. MODIFICATION OF AUTHORITY FOR CONVEYANCE OF NAVAL 
                   COMPUTER AND TELECOMMUNICATIONS STATION, 
                   CUTLER, MAINE.

       Section 2853(a) of the Military Construction Authorization 
     Act for Fiscal Year 2001 (division B of the Spence Act; 114 
     Stat. 1654A-430) is amended by inserting ``any or'' before 
     ``all right''.

     SEC. 2844. MODIFICATION OF LAND CONVEYANCE, FORMER UNITED 
                   STATES MARINE CORPS AIR STATION, EAGLE MOUNTAIN 
                   LAKE, TEXAS.

       Section 5 of Public Law 85-258 (71 Stat. 583) is amended by 
     inserting before the period at the end the following: ``or 
     for the protection, maintenance, and operation of other Texas 
     National Guard facilities''.

     SEC. 2845. LAND TRANSFER AND CONVEYANCE, NAVAL SECURITY GROUP 
                   ACTIVITY, WINTER HARBOR, MAINE.

       (a) Transfer of Jurisdiction of Schoodic Point Property 
     Authorized.--(1) The Secretary of the Navy may transfer, 
     without consideration, to the Secretary of the Interior 
     administrative jurisdiction of a parcel of real property, 
     including any improvements thereon and appurtenances thereto, 
     consisting of approximately 26 acres as generally depicted as 
     Tract 15-116 on the map entitled ``Acadia National Park 
     Schoodic Point Area'', numbered 123/80,418 and dated May 
     2001. The map shall be on file and available for inspection 
     in the appropriate offices of the National Park Service.
       (2) The transfer authorized by this subsection shall occur, 
     if at all, concurrently with the reversion of administrative 
     jurisdiction of a parcel of real property consisting of 
     approximately 71 acres, as depicted as Tract 15-115 on the 
     map referred to in paragraph (1), from the Secretary of the 
     Navy to the Secretary of the Interior as authorized by Public 
     Law 80-260 (61 Stat. 519) and to be executed on or about June 
     30, 2002.
       (b) Conveyance of Corea and Winter Harbor Properties 
     Authorized.--The Secretary of the Navy may convey, without 
     consideration, to the State of Maine, any political 
     subdivision of the State of Maine, or any tax-supported 
     agency in the State of Maine, all right, title, and interest 
     of the United States in and to any of the parcels of real 
     property, including any improvements thereon and 
     appurtenances thereto, consisting of approximately 485 acres 
     and comprising the former facilities of the Naval Security 
     Group Activity, Winter Harbor, Maine, located in Hancock 
     County, Maine, except for the real property described in 
     subsection (a)(1).
       (c) Transfer of Personal Property.--The Secretary of the 
     Navy shall transfer, without consideration, to the Secretary 
     of the Interior in the case of the real property transferred 
     under subsection (a), or to any recipient of such real 
     property in the case of real property conveyed under 
     subsection (b), any or all personal property associated with 
     such real property so transferred or conveyed, including--
       (1) the ambulances and any fire trucks or other 
     firefighting equipment; and
       (2) any personal property required to continue the 
     maintenance of the infrastructure of such real property, 
     including the generators and an uninterrupted power supply in 
     building 154 at the Corea site.
       (d) Maintenance of Property Pending Conveyance.--The 
     Secretary of the Navy shall maintain any real property, 
     including any improvements thereon, appurtenances thereto, 
     and supporting infrastructure, to be conveyed under 
     subsection (b) until the earlier of--
       (1) the date of the conveyance of such real property under 
     subsection (b); or
       (2) September 30, 2003.
       (e) Interim Lease.--(1) Until such time as any parcel of 
     real property to be conveyed under subsection (b) is conveyed 
     by deed under that subsection, the Secretary of the Navy may 
     lease such parcel to any person or entity determined by the 
     Secretary to be an appropriate lessee of such parcel.
       (2) The amount of rent for a lease under paragraph (1) 
     shall be the amount determined by the Secretary to be 
     appropriate, and may be an amount less than the fair market 
     value of the lease.
       (f) Reimbursement for Environmental and Other 
     Assessments.--(1) The Secretary of the Navy may require each 
     recipient of real property conveyed under subsection (b) to 
     reimburse the Secretary for the costs incurred by the 
     Secretary for any environmental assessment, study, or 
     analysis carried out by the Secretary with respect to such 
     property before completing the conveyance under that 
     subsection.
       (2) The amount of any reimbursement required under 
     paragraph (1) shall be determined by the Secretary, but may 
     not exceed the cost of the assessment, study, or analysis for 
     which reimbursement is required.
       (3) Section 2695(c) of title 10, United States Code, shall 
     apply to any amount received by the Secretary under this 
     subsection.
       (g) Description of Property.--The exact acreage and legal 
     description of the real property transferred under subsection 
     (a), and each parcel of real property conveyed under 
     subsection (b), shall be determined by a survey satisfactory 
     to the Secretary of the Navy. The cost of any survey under 
     the preceding sentence for real property conveyed under 
     subsection (b) shall be borne by the recipient of the real 
     property.
       (h) Additional Terms and Conditions.--The Secretary of the 
     Navy may require such additional terms and conditions in 
     connection with any conveyance under subsection (b), and any 
     lease under subsection (e), as the Secretary considers 
     appropriate to protect the interests of the United States.

                    PART III--AIR FORCE CONVEYANCES

     SEC. 2851. WATER RIGHTS CONVEYANCE, ANDERSEN AIR FORCE BASE, 
                   GUAM.

       (a) Authority To Convey.--In conjunction with the 
     conveyance of the water supply system for Anderson Air Force 
     Base, Guam, under the authority of section 2688 of title 10, 
     United States Code, and in accordance with all the 
     requirements of that section, the Secretary of the Air Force 
     may convey all right, title, and interest of the United 
     States, or such lesser estate as the Secretary considers 
     appropriate to serve the interests of the United States, in 
     the water rights related to the following Air Force 
     properties located on Guam:
       (1) Andy South, also known as the Andersen Administrative 
     Annex.
       (2) Marianas Bonins Base Command.
       (3) Andersen Water Supply Annex, also known as the Tumon 
     Water Well or the Tumon Maui Well.
       (b) Additional Requirements.--The Secretary may exercise 
     the authority contained in subsection (a) only if--
       (1) the Secretary determines that adequate supplies of 
     potable groundwater exist under the main base and northwest 
     field portions of Andersen Air Force Base to meet the current 
     and long-term requirements of the installation for water;
       (2) the Secretary determines that such supplies of 
     groundwater are economically obtainable; and
       (3) the Secretary requires the conveyee of the water rights 
     under subsection (a) to provide a water system capable of 
     meeting the water supply needs of the main base and northwest 
     field portions of Anderson Air Force Base, as determined by 
     the Secretary.
       (c) Interim Water Supplies.--If the Secretary determines 
     that it is in the best interests of the United States to 
     transfer title to the water rights and utility systems at 
     Andy South and Andersen Water Supply Annex before placing 
     into service a replacement water system and well field on 
     Andersen Air Force Base, the Secretary may require that the 
     United States have the primary right to all water produced 
     from Andy South and Andersen Water Supply Annex until the 
     replacement water system and well field is placed into 
     service and operates to the satisfaction of the Secretary. In 
     exercising the authority provided by this subsection, the 
     Secretary may retain a reversionary interest in the water 
     rights and utility systems at Andy South and Andersen Water 
     Supply Annex until such time as the new replacement water 
     system and well field is placed into service and operates to 
     the satisfaction of the Secretary.
       (d) Sale of Excess Water Authorized.--(1) As part of the 
     conveyance of water rights under subsection (a), the 
     Secretary may authorize the conveyee of the water system to 
     sell to public or private entities such water from Andersen 
     Air Force Base as the Secretary determines to be excess to 
     the needs of the United States. In the event the Secretary 
     authorizes the conveyee to resell water, the Secretary shall 
     negotiate a reasonable return to the United States of the 
     value of such excess water sold by the conveyee, which return 
     the Secretary may receive in the form of reduced charges for 
     utility services provided by the conveyee.
       (2) If the Secretary cannot meet the requirements of 
     subsection (b), and the Secretary determines to proceed with 
     a water utility system conveyance under section 2688

[[Page 20186]]

     of title 10, United States Code, without the conveyance of 
     water rights, the Secretary may provide in any such 
     conveyance that the conveyee of the water system may sell to 
     public or private entities such water from Andy South and 
     Andersen Water Supply Annex as the Secretary determines to be 
     excess to the needs of the United States. The Secretary shall 
     negotiate a reasonable return to the United States of the 
     value of such excess water sold by the conveyee, which return 
     the Secretary may receive in the form of reduced charges for 
     utility services provided by the conveyee.
       (e) Treatment of Water Rights.--For purposes of section 
     2688 of title 10, United States Code, the water rights 
     referred to in subsection (a) shall be considered as part of 
     a utility system (as that term is defined in subsection 
     (h)(2) of such section).

     SEC. 2852. REEXAMINATION OF LAND CONVEYANCE, LOWRY AIR FORCE 
                   BASE, COLORADO.

       The Secretary of the Air Force shall reevaluate the terms 
     and conditions of the pending negotiated sale agreement with 
     the Lowry Redevelopment Authority for certain real property 
     at Lowry Air Force Base, Colorado, in light of changed 
     circumstances regarding the property, including changes in 
     the flood plain designations affecting some of the property, 
     to determine whether the changed circumstances warrant a 
     reduction in the amount of consideration otherwise required 
     under the agreement or other modifications to the agreement.

     SEC. 2853. LAND CONVEYANCE, DEFENSE FUEL SUPPORT POINT, 
                   FLORIDA.

       (a) Conveyance Authorized.--The Secretary of the Air Force 
     may convey, without consideration, to Florida State 
     University, all right, title and interest of the United 
     States in and to a parcel of real property known as ``Defense 
     Fuel Support Point'', including any improvements thereon, 
     located in Lynn Haven, Florida, and consisting of 
     approximately 200 acres for the purpose of establishing a 
     National Coastal Research Center.
       (b) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) shall be determined by a survey satisfactory 
     to the Secretary. The cost of the survey shall be borne by 
     the Secretary.
       (c) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

                       Subtitle E--Other Matters

     SEC. 2861. TRANSFER OF JURISDICTION FOR DEVELOPMENT OF ARMED 
                   FORCES RECREATION FACILITY, PARK CITY, UTAH.

       (a) Transfer Required.--(1) The Secretary of the Interior 
     shall transfer, without reimbursement, to the administrative 
     jurisdiction of the Secretary of the Air Force a parcel of 
     real property in Park City, Utah, including any improvements 
     thereon, that consists of approximately 35 acres, is located 
     in township 2 south, range 4 east, Salt Lake meridian, and is 
     designated as parcel 3 by the Bureau of Land Management.
       (2) The transfer shall be subject to existing rights, 
     except that the Secretary of the Interior shall terminate any 
     lease with respect to the parcel issued under the Act of June 
     14, 1926 (commonly known as the Recreation and Public 
     Purposes Act; 43 U.S.C. 689 et seq.), and still in effect as 
     of the date of the enactment of this Act.
       (3) The transfer required by this subsection shall be 
     completed not later than one year after the date of the 
     enactment of this Act.
       (b) Use of Transferred Land.--(1) The Secretary of the Air 
     Force may use the real property transferred under subsection 
     (a) as the location for an armed forces recreation facility 
     to be developed using nonappropriated funds.
       (2) The Secretary of the Air Force may return the 
     transferred property (or property acquired in exchange for 
     the transferred property under subsection (c)) to the 
     administrative jurisdiction of the Secretary of the Interior 
     at any time upon certifying that development of the armed 
     forces recreation facility would not be in the best interests 
     of the Government.
       (c) Subsequent Conveyance Authority.--(1) In lieu of 
     developing the armed forces recreation facility on the real 
     property transferred under subsection (a), the Secretary of 
     the Air Force may convey or lease the property to the State 
     of Utah, a local government, or a private entity in exchange 
     for other property to be used as the site of the facility.
       (2) The values of the properties exchanged by the Secretary 
     under this subsection either shall be equal, or if they are 
     not equal, the values shall be equalized by the payment of 
     money to the grantor or to the Secretary as the circumstances 
     require. The conveyance or lease shall be on such other terms 
     as the Secretary of the Air Force considers to be 
     advantageous to the development of the facility.
       (d) Alternative Development Authority.--The Secretary of 
     the Air Force may lease the real property transferred under 
     subsection (a), or any property acquired pursuant to 
     subsection (c), to another party and may enter into a 
     contract with the party for the design, construction, and 
     operation of the armed forces recreation facility. The 
     Secretary of the Air Force may authorize the contractor to 
     operate the facility as both a military and a commercial 
     operation if the Secretary determines that such an 
     authorization is a necessary incentive for the contractor to 
     agree to design, construct, and operate the facility.
       (e) Legal Description.--The exact acreage and legal 
     description of the real property to be transferred under 
     subsection (a) shall be determined by a survey. The cost of 
     the survey shall be borne by the Secretary of the Air Force.

     SEC. 2862. SELECTION OF SITE FOR UNITED STATES AIR FORCE 
                   MEMORIAL AND RELATED LAND TRANSFERS FOR THE 
                   IMPROVEMENT OF ARLINGTON NATIONAL CEMETERY, 
                   VIRGINIA.

       (a) Definitions.--In this section:
       (1) The term ``Arlington Naval Annex'' means the parcel of 
     Federal land located in Arlington County, Virginia, that is 
     subject to transfer to the administrative jurisdiction of the 
     Secretary of the Army under section 2881 of the Military 
     Construction Authorization Act for Fiscal Year 2000 (division 
     B of Public Law 106-65; 113 Stat. 879).
       (2) The term ``Foundation'' means the Air Force Memorial 
     Foundation, which was authorized in Public Law 103-163 (107 
     Stat. 1973; 40 U.S.C. 1003 note) to establish a memorial in 
     the District of Columbia or its environs to honor the men and 
     women who have served in the United States Air Force and its 
     predecessors.
       (3) The term ``Air Force Memorial'' means the United States 
     Air Force Memorial to be established by the Foundation.
       (4) The term ``Arlington Ridge tract'' means the parcel of 
     Federal land in Arlington County, Virginia, known as the 
     Nevius Tract and transferred to the Department of the 
     Interior in 1953, that is bounded generally by--
       (A) Arlington Boulevard (United States Route 50) to the 
     north;
       (B) Jefferson Davis Highway (Virginia Route 110) to the 
     east;
       (C) Marshall Drive to the south; and
       (D) North Meade Street to the west.
       (5) The term ``Section 29'' means a parcel of Federal land 
     in Arlington County, Virginia, that is currently administered 
     by the Secretary of the Interior within the boundaries of 
     Arlington National Cemetery and is identified as ``Section 
     29''.
       (b) Offer of Portion of Arlington Naval Annex as Site for 
     Air Force Memorial.--Within 60 days after the date of the 
     enactment of this Act, the Secretary of Defense shall offer 
     to the Foundation an option to use, without reimbursement, up 
     to three acres of the Arlington Naval Annex as the site 
     within which the Foundation will construct the Air Force 
     Memorial. The offered acreage shall include the promontory 
     adjacent to, and the land underlying, Wing 8 of Federal 
     Office Building #2 in the northeast quadrant of the Arlington 
     Naval Annex.
       (c) Acceptance or Rejection of Offer.--
       (1) Deadline.--Within 90 days after the date on which the 
     Secretary of Defense makes the offer required by subsection 
     (b), the Foundation shall provide written notice to the 
     Secretary of the decision of the Foundation to accept or 
     decline the offer.
       (2) Effect of acceptance.--Subject to subsection (d), if 
     the Foundation accepts the offer of the Secretary of Defense, 
     the Foundation shall relinquish all claims to the previously 
     approved location for the Air Force Memorial. No other 
     commemorative work may thereafter be established on the 
     Arlington Naval Annex property.
       (3) Effect of rejection.--If the Foundation declines the 
     offer of the Secretary of Defense, the Foundation may resume 
     its efforts to construct the Air Force Memorial on the 
     Arlington Ridge tract from the farthest point of progress. 
     Any administrative record compiled during previous 
     proceedings related to the siting of the memorial on the 
     Arlington Ridge tract pursuant to Public Law 103-163 (40 
     U.S.C. 1003 note), shall be preserved, and all deadlines 
     tolled, while the Foundation is considering the offer of a 
     site for the memorial within the Arlington Naval Annex.
       (d) Preparation for and Construction of Air Force 
     Memorial.--
       (1) Preparation for construction.--Not later than two years 
     after the date on which the Foundation accepts the offer made 
     under subsection (b) and has available sufficient funds to 
     construct the Air Force Memorial, the Secretary of Defense, 
     in coordination with the Foundation, shall remove all 
     structures and prepare the Arlington Naval Annex site for use 
     as may be necessary to permit construction of the memorial 
     and appropriate access.
       (2) Construction of memorial.--Upon the removal of 
     structures and preparation of the property for use as 
     required by paragraph (1), the Secretary of Defense shall 
     permit the Foundation to commence construction of the Air 
     Force Memorial on the Arlington Naval Annex site.
       (3) Relation to other transfer authority.--Nothing in this 
     section alters the deadline for transfer of the Arlington 
     Naval Annex to the Secretary of the Army and remediation of 
     the transferred land for use as

[[Page 20187]]

     part of Arlington National Cemetery, as required by section 
     2881 of the Military Construction Authorization Act for 
     Fiscal Year 2000.
       (4) Oversight.--The Secretary of Defense shall have 
     exclusive authority in all matters relating to approval of 
     the siting and design of the Air Force Memorial on the 
     Arlington Naval Annex site, and the siting, design, and 
     construction of the memorial on such site shall not be 
     subject to the requirements of the Commemorative Works Act 
     (40 U.S.C. 1001 et seq.).
       (e) Access and Management of Resulting Air Force 
     Memorial.--The Secretary of the Army may enter into a 
     cooperative agreement with the Foundation to provide for 
     management of the Air Force Memorial constructed on the 
     Arlington Naval Annex site and to guarantee public access to 
     the memorial.
       (f) Land Transfer, Arlington Ridge Tract.--
       (1) Transfer required.--Within 30 days after the date of 
     the enactment of this Act, the Secretary of the Interior 
     shall transfer, without reimbursement, to the Secretary of 
     the Army administrative jurisdiction over the Arlington Ridge 
     tract.
       (2) Use of land.--The Secretary of the Army shall 
     incorporate the Arlington Ridge tract into Arlington National 
     Cemetery and may designate and use up to 15 acres of that 
     portion of the tract east of the Netherlands Carillon and 
     Marine Corps Memorial as new in-ground burial sites, for both 
     full casket and cremated remains, for the burial of eligible 
     individuals in Arlington National Cemetery. Burial sites 
     shall not be developed within 50 feet of the pathway, in 
     existence as of the date of the enactment of this Act, that 
     connects the Netherlands Carillon and the Marine Corps 
     Memorial or the existing roadway that circles the Marine 
     Corps Memorial. No other structures shall be permitted on the 
     Arlington Ridge tract.
       (3) Access and management of existing memorials.--The 
     Secretary of the Army and the Secretary of the Interior shall 
     enter into a cooperative agreement to continue National Park 
     Service management of the Netherlands Carillon and the Marine 
     Corps Memorial and to guarantee public access to these 
     locations.
       (g) Land Transfer, Section 29.--
       (1) Transfer required.--Within 30 days after the date of 
     the enactment of this Act, the Secretary of the Interior 
     shall transfer, without reimbursement, to the Secretary of 
     the Army administrative jurisdiction over that portion of 
     Section 29 located more than 50 feet from Sherman Drive and 
     located between Ord and Weitzel Drive and the southern 
     boundary of Section 29.
       (2) Use of land.--The Secretary of the Army shall use the 
     transferred property only for the development of in-ground 
     burial sites and columbarium which are designed to meet the 
     contours of Section 29. The Secretary of the Army shall 
     preserve the natural setting of the parcel and the mature 
     trees on the parcel to the greatest extent practicable while 
     providing for its efficent use as burial space.
       (3) Management of remainder.--The Secretary of the Army and 
     the Secretary of the Interior shall enter into a cooperative 
     agreement to continue National Park Service management of 
     that portion of Section 29 that is not transferred under this 
     subsection to provide a natural setting and visual buffer for 
     Arlington House, the Robert E. Lee Memorial.
       (h) Removal of Arlington Naval Annex as Possible National 
     Military Museum Site.--
       (1) Existing navy annex transfer.--Section 2881 of the 
     Military Construction Authorization Act for Fiscal Year 2000 
     (division B of Public Law 106-65; 113 Stat. 879) is amended--
       (A) in subsection (b)--
       (i) by striking ``(1) Subject to paragraph (2), the'' and 
     inserting ``The''; and
       (ii) by striking paragraph (2);
       (B) by striking subsections (d), (e), and (f); and
       (C) by redesignating subsections (g) and (h) as subsections 
     (d) and (e), respectively.
       (2) Commission on National Military Museum.--Section 2902 
     of the Military Construction Authorization Act for Fiscal 
     Year 2000 (division B of Public Law 106-65; 113 Stat. 881; 10 
     U.S.C. 111 note) is amended by striking subsection (d) and 
     inserting the following new subsection:
       ``(d) Prohibition on Consideration of Arlington Naval 
     Annex.--The Commission may not consider any portion of the 
     Navy Annex property described in section 2881 as a possible 
     site for a national military museum.''.

     SEC. 2863. MANAGEMENT OF THE PRESIDIO OF SAN FRANCISCO.

       (a) Authority to Lease Certain Housing Units for Use as 
     Army Housing.--Title I of division I of the Omnibus Parks and 
     Public Lands Management Act of 1996 (Public Law 104-333; 16 
     U.S.C. 460bb note) is amended by adding at the end the 
     following new section:

     ``SEC. 107. CONDITIONAL AUTHORITY TO LEASE CERTAIN HOUSING 
                   UNITS WITHIN THE PRESIDIO.

       ``(a) Availability of Housing Units for Long-Term Army 
     Lease.--Subject to subsection (c), the Trust shall make 
     available for lease, to those persons designated by the 
     Secretary of the Army and for such length of time as 
     requested by the Secretary of the Army, 22 housing units 
     located within the Presidio that are under the administrative 
     jurisdiction of the Trust and specified in the agreement 
     between the Trust and the Secretary of the Army in existence 
     as of the date of the enactment of this section.
       ``(b) Lease Amount.--The monthly amount charged by the 
     Trust for the lease of a housing unit under this section 
     shall be equivalent to the monthly rate of the basic 
     allowance for housing that the occupant of the housing unit 
     is entitled to receive under section 403 of title 37, United 
     States Code.
       ``(c) Condition on Continued Availability of Housing 
     Units.--Effective after the end of the four-year period 
     beginning on the date of the enactment of this section, the 
     Trust shall have no obligation to make housing units 
     available under subsection (a) unless, during that four-year 
     period, the Secretary of the Treasury purchases new 
     obligations of at least $80,000,000 issued by the Trust under 
     section 104(d)(2). In the event that this condition is not 
     satisfied, the existing agreement referred to in subsection 
     (a) shall be renewed on the same terms and conditions for an 
     additional two years.''.
       (b) Increased Borrowing Authority and Technical 
     Corrections.--Paragraphs (2) and (3) of section 104(d) of 
     title I of division I of the Omnibus Parks and Public Lands 
     Management Act of 1996, as amended by section 334 of appendix 
     C of Public Law 106-113 (113 Stat. 1501A-199) and amended and 
     redesignated by section 101(13) of Public Law 106-176 (114 
     Stat. 25), are amended--
       (1) in paragraph (2), by striking ``including a review of 
     the creditworthiness of the loan and establishment of a 
     repayment schedule,'' the second place it appears; and
       (2) in paragraph (3)--
       (A) by striking ``$50,000,000'' and inserting 
     ``$150,000,000''; and
       (B) by striking ``paragraph (3) of''.

     SEC. 2864. EFFECT OF LIMITATION ON CONSTRUCTION OF ROADS OR 
                   HIGHWAYS, MARINE CORPS BASE, CAMP PENDLETON, 
                   CALIFORNIA.

       Section 2851 of the Military Construction Authorization Act 
     for Fiscal Year 1999 (division B of Public Law 105-261; 112 
     Stat. 2219), as amended by section 2881 of the Spence Act 
     (114 Stat. 1654A-438), is amended by adding at the end the 
     following new subsection:
       ``(g) Limitation on Construction of Roads or Highways.--If 
     a State law enacted after January 1, 2001, directly or 
     indirectly prohibits or restricts the construction or 
     approval of a road or highway within the easement granted 
     under this section, the State law shall not be effective with 
     respect to such construction or approval.''.

     SEC. 2865. ESTABLISHMENT OF WORLD WAR II MEMORIAL AT 
                   ADDITIONAL LOCATION ON GUAM.

       Section 2886 of the Military Construction Authorization Act 
     for Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
     1654A-441) is amended--
       (1) in subsection (a), by inserting ``, and on Federal 
     lands near Yigo,'' after ``Fena Caves'';
       (2) in the heading of subsection (b), by striking 
     ``Memorial'' and inserting ``Memorials''; and
       (3) in subsections (b) and (c), by striking ``memorial'' 
     each place it appears and inserting ``memorials''.

     SEC. 2866. ADDITIONAL EXTENSION OF DEMONSTRATION PROJECT FOR 
                   PURCHASE OF FIRE, SECURITY, POLICE, PUBLIC 
                   WORKS, AND UTILITY SERVICES FROM LOCAL 
                   GOVERNMENT AGENCIES.

       Section 816(c) of the National Defense Authorization Act 
     for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2820), as 
     added by section 2873 of the Strom Thurmond National Defense 
     Authorization Act for Fiscal Year 1999 (Public Law 105-261; 
     112 Stat. 2225), is amended by inserting before the period at 
     the end the following: ``, with regard to fire-fighting and 
     police services, and September 30, 2003, with regard to other 
     services described in under subsection (a)''.

     SEC. 2867. CONVEYANCE OF AVIGATION EASEMENTS, FORMER NORTON 
                   AIR FORCE BASE, CALIFORNIA.

       The Administrator of General Services shall convey, without 
     consideration, to the Inland Valley Development Agency (the 
     redevelopment authority for former Norton Air Force Base, 
     California) two avigation easements (identified as APN 289-
     231-08 and APN 289-232-08) held by the United States.

     SEC. 2868. REPORT ON OPTIONS TO PROMOTE ECONOMIC DEVELOPMENT 
                   IN COMMUNITY ADJACENT TO UNITED STATES MILITARY 
                   ACADEMY, NEW YORK.

       (a) Report Required.--Not later than February 1, 2002, the 
     Secretary of the Army shall submit to Congress a report 
     evaluating various options by which the Secretary may promote 
     economic development in the Village of Highland Falls, New 
     York, which is located adjacent to the United States Military 
     Academy.
       (b) Specific Consideration of Certain Options.--Among the 
     options evaluated under subsection (a), the Secretary shall 
     specifically address the following:
       (1) The fee simple conveyance of real property under the 
     jurisdiction of the Secretary

[[Page 20188]]

     in the Town of Highlands, New York, to the Village, without 
     consideration, for the purpose of permitting the Village to 
     use the property to promote economic development.
       (2) Use by the Secretary of the authority under section 
     2667 of title 10, United States Code, to make non-excess real 
     property under the jurisdiction of the Secretary available to 
     the Village for such purpose.

            TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

     SEC. 2901. SHORT TITLE.

       This title may be cited as the ``Fort Irwin Military Land 
     Withdrawal Act of 2001''.

     SEC. 2902. WITHDRAWAL AND RESERVATION OF LANDS FOR NATIONAL 
                   TRAINING CENTER.

       (a) Withdrawal.--Subject to valid existing rights and 
     except as otherwise provided in this title, all public lands 
     and interests in lands described in subsection (c) are hereby 
     withdrawn from all forms of appropriation under the general 
     land laws, including the mining laws and mineral and 
     geothermal leasing laws, and jurisdiction over such lands and 
     interests in lands withdrawn and reserved by this title is 
     hereby transferred to the Secretary of the Army.
       (b) Reservation.--The lands withdrawn under subsection (a) 
     are reserved for use by the Secretary of the Army for the 
     following purposes:
       (1) The conduct of combined arms military training at the 
     National Training Center.
       (2) The development and testing of military equipment at 
     the National Training Center.
       (3) Other defense-related purposes consistent with the 
     purposes specified in paragraphs (1) and (2).
       (4) Conservation and related research purposes.
       (c) Land Description.--The public lands and interests in 
     lands withdrawn and reserved by this section comprise 
     approximately 110,000 acres in San Bernardino County, 
     California, as generally depicted as ``Proposed Withdrawal 
     Land'' on the map entitled ``National Training Center--
     Proposed Withdrawal of Public Lands for Training Purposes,'' 
     dated September 21, 2000, and filed in accordance with 
     section 2903.
       (d) Changes in Use.--The Secretary of the Army shall 
     consult with the Secretary of the Interior before using the 
     lands withdrawn and reserved by this section for any purpose 
     other than those purposes identified in subsection (b).
       (e) Indian Tribes.--Nothing in this title shall be 
     construed as altering any rights reserved for tribal use by 
     treaty or Federal law. The Secretary of the Army shall 
     consult with federally recognized Indian tribes in the 
     vicinity of the lands withdrawn under subsection (a) before 
     taking action affecting rights or cultural resources 
     protected by treaty or Federal law.

     SEC. 2903. MAP AND LEGAL DESCRIPTION.

       (a) Preparation of Map and Legal Description.--As soon as 
     practicable after the date of the enactment of this Act, the 
     Secretary of the Interior shall--
       (1) publish in the Federal Register a notice containing the 
     legal description of the lands withdrawn and reserved by this 
     title; and
       (2) file a map and legal description of the lands withdrawn 
     and reserved by this title with the Committee on Energy and 
     Natural Resources of the Senate and the Committee on 
     Resources of the House of Representatives.
       (b) Legal Effect.--The map and legal description shall have 
     the same force and effect as if included in this title, 
     except that the Secretary of the Interior may correct 
     clerical and typographical errors in the map and legal 
     description.
       (c) Availability.--Copies of the map and the legal 
     description shall be available for public inspection in the 
     following offices:
       (1) The offices of the California State Director, 
     California Desert District Office, and Riverside and Barstow 
     Field Offices of the Bureau of Land Management.
       (2) The Office of the Commander, National Training Center 
     and Fort Irwin.
       (d) Costs.--The Secretary of the Army shall reimburse the 
     Secretary of the Interior for the costs incurred by the 
     Secretary of the Interior in implementing this section.

     SEC. 2904. MANAGEMENT OF WITHDRAWN AND RESERVED LANDS.

       (a) General Management Authority.--During the period of the 
     withdrawal and reservation made by this title, the Secretary 
     of the Army shall manage the lands withdrawn and reserved by 
     this title for the purposes specified in section 2902.
       (b) Temporary Prohibition on Certain Use.--Military use of 
     the lands withdrawn and reserved by this title that result in 
     ground disturbance, as determined by the Secretary of the 
     Army and the Secretary of the Interior, are prohibited until 
     the Secretary of the Army and the Secretary of the Interior 
     certify to Congress that there has been full compliance with 
     respect to such lands with the appropriate provisions of this 
     title, the Endangered Species Act of 1973 (16 U.S.C. 1531 et 
     seq.), the National Environmental Policy Act of 1969 (42 
     U.S.C. 4321 et seq.), and other applicable laws.
       (c) Access Restrictions.--
       (1) In general.--If the Secretary of the Army determines 
     that military operations, public safety, or national security 
     require the closure to the public of any road, trail, or 
     other portion of the lands withdrawn and reserved by this 
     title, the Secretary may take such action as the Secretary 
     determines necessary or desirable to effect and maintain such 
     closure.
       (2) Limitation.--Any closure under paragraph (1) shall be 
     limited to the minimum areas and periods that the Secretary 
     of the Army determines are required for the purposes 
     specified in such paragraph.
       (3) Notice.--Immediately preceding and during any closure 
     under paragraph (1), the Secretary of the Army shall post 
     appropriate warning notices and take other steps, as 
     necessary, to notify the public of the closure.
       (d) Integrated Natural Resources Management Plan.--The 
     Secretary of the Army shall prepare and implement, in 
     accordance with title I of the Sikes Act (16 U.S.C. 670 et 
     seq.), an integrated natural resources management plan for 
     the lands withdrawn and reserved by this title. In addition 
     to the elements required under the Sikes Act, the integrated 
     natural resources management plan shall include the 
     following:
       (1) A requirement that any hunting, fishing, and trapping 
     on the lands withdrawn and reserved by this title be 
     conducted in accordance with section 2671 of title 10, United 
     States Code.
       (2) A requirement that the Secretary of the Army take 
     necessary actions to prevent, suppress, and manage brush and 
     range fires occurring within the boundaries of Fort Irwin and 
     brush and range fires occurring outside the boundaries of 
     Fort Irwin that result from military activities at Fort 
     Irwin.
       (e) Firefighting.--Notwithstanding section 2465 of title 
     10, United States Code, the Secretary of the Army may 
     obligate funds appropriated or otherwise available to the 
     Secretary of the Army to enter into a memorandum of 
     understanding, cooperative agreement, or contract for fire 
     fighting services to carry out the requirements of subsection 
     (d)(2). The Secretary of the Army shall reimburse the 
     Secretary of the Interior for costs incurred by the Secretary 
     of the Interior to assist in carrying out the requirements of 
     such subsection.
       (f) Consultation With National Aeronautics and Space 
     Administration.--In preparing and implementing any plan, 
     report, assessment, survey, opinion, or impact statement 
     regarding the lands withdrawn and reserved by this title, the 
     Secretary of the Army shall consult with the Administrator of 
     the National Aeronautics and Space Administration whenever 
     proposed Army actions have the potential to affect the 
     operations or the environmental management of the Goldstone 
     Deep Space Communications Complex. The requirement for 
     consultation shall apply, at a minimum, to the following:
       (1) Plans for military training, military equipment 
     testing, or related activities that have the potential of 
     impacting communications between Goldstone Deep Space 
     Communications Complex and space flight missions or other 
     transmission or receipt of signals from outer space by the 
     Goldstone Deep Space Communications Complex.
       (2) The integrated natural resources management plan 
     required by subsection (d).
       (3) The West Mojave Coordinated Management Plan referred to 
     in section 2907.
       (4) Any document prepared in compliance with the Endangered 
     Species Act of 1973, the National Environmental Policy Act of 
     1969, and other laws applicable to the lands withdrawn and 
     reserved by this title.
       (g) Use of Mineral Materials.--Notwithstanding any other 
     provision of this title or the Act of July 31, 1947 (commonly 
     known as the Materials Act of 1947, 30 U.S.C. 601 et seq.), 
     the Secretary of the Army may use sand, gravel, or similar 
     mineral material resources of the type subject to disposition 
     under such Act from the lands withdrawn and reserved by this 
     title if the use of such resources is required for 
     construction needs of the National Training Center.

     SEC. 2905. WATER RIGHTS.

       (a) No Reserved Water Right Established.--Nothing in this 
     title shall be construed--
       (1) to establish a reservation in favor of the United 
     States with respect to any water or water right on the lands 
     withdrawn and reserved by this title; or
       (2) to authorize the appropriation of water on such lands 
     by the United States after the date of the enactment of this 
     Act, except in accordance with applicable State law.
       (b) Effect on Previously Acquired or Reserved Water 
     Rights.--This section shall not be construed to affect any 
     water rights acquired or reserved by the United States before 
     the date of the enactment of this Act, and the Secretary of 
     the Army may exercise any such previously acquired or 
     reserved water rights.

     SEC. 2906. ENVIRONMENTAL COMPLIANCE AND ENVIRONMENTAL 
                   RESPONSE REQUIREMENTS.

       (a) Agreement Concerning Environment and Public Health.--
     The Secretary of the Army and the Secretary of the Interior 
     may enter into such agreements concerning the environment and 
     public health as are necessary, appropriate, and in the 
     public interest to carry out the purposes of this title.
       (b) Relation to Other Environmental Laws.--Nothing in this 
     section shall be construed to alter the rights, 
     responsibilities,

[[Page 20189]]

     and obligations of the Secretary of the Army or the Secretary 
     of the Interior under the Comprehensive Environmental 
     Response, Compensation and Liability Act of 1980 (42 U.S.C. 
     9601 et seq.) or other environmental laws applicable to the 
     lands withdrawn and reserved by this title.

     SEC. 2907. WEST MOJAVE COORDINATED MANAGEMENT PLAN.

       (a) Completion.--The Secretary of the Interior shall make 
     every effort to complete the West Mojave Coordinated 
     Management Plan not later than two years after the date of 
     the enactment of this Act.
       (b) Consideration of Withdrawal and Reservation Impacts.--
     The Secretary of the Interior shall ensure that the West 
     Mojave Coordinated Management Plan considers the impacts of 
     the availability or nonavailability of the lands withdrawn 
     and reserved by this title on the plan as a whole.
       (c) Consultation.--The Secretary of the Interior shall 
     consult with the Secretary of the Army and the Administrator 
     of the National Aeronautics and Space Administration in the 
     development of the West Mojave Coordinated Management Plan.

     SEC. 2908. RELEASE OF WILDERNESS STUDY AREAS.

       Congress hereby finds and directs that lands withdrawn and 
     reserved by this title have been adequately studied for 
     wilderness designation pursuant to section 603(c) of the 
     Federal Land Policy and Management Act of 1976 (43 U.S.C. 
     1782(c)), and are no longer subject to the requirement of 
     such section pertaining to the management of wilderness study 
     areas in a manner that does not impair the suitability of 
     such areas for preservation as wilderness.

     SEC. 2909. TRAINING ACTIVITY SEPARATION FROM UTILITY 
                   CORRIDORS.

       (a) Required Separation.--All military ground activity 
     training on the lands withdrawn and reserved by this title 
     shall remain at least 500 meters from any utility system, in 
     existence as of the date of the enactment of this Act, in 
     Utility Planning Corridor D, as described in the California 
     Desert Conservation Area Plan, dated 1980 and subsequently 
     amended.
       (b) Exception.--Subsection (a) does not modify the use of 
     any lands used, as of the date of the enactment of this Act, 
     by the National Training Center for training or alter any 
     right of access granted by interagency agreement.

     SEC. 2910. DURATION OF WITHDRAWAL AND RESERVATION.

       (a) Termination Date.--Unless extended pursuant to section 
     2911, unless relinquishment is postponed by the Secretary of 
     the Interior pursuant to section 2912(b), and except as 
     provided in section 2912(d), the withdrawal and reservation 
     made by this title shall terminate 25 years after the date of 
     the enactment of this Act.
       (b) Limitation on Subsequent Availability for 
     Appropriation.--At the time of termination of the withdrawal 
     and reservation made by this title, the previously withdrawn 
     lands shall not be open to any forms of appropriation under 
     the general land laws, including the mining laws and the 
     mineral and geothermal leasing laws, until the Secretary of 
     the Interior publishes in the Federal Register an appropriate 
     order that shall state the date upon which such lands shall 
     be restored to the public domain and opened.

     SEC. 2911. EXTENSION OF INITIAL WITHDRAWAL AND RESERVATION.

       (a) Notification Requirement.--Not later than three years 
     before the termination date specified in section 2910(a), the 
     Secretary of the Army shall notify Congress and the Secretary 
     of the Interior concerning whether the Army will have a 
     continuing military need, beyond the termination date, for 
     all or any portion of the lands withdrawn and reserved by 
     this title.
       (b) Process for Extension of Withdrawal and Reservation.--
       (1) Consultation and application.--If the Secretary of the 
     Army determines that there will be a continuing military need 
     after the termination date for any of the lands withdrawn and 
     reserved by this title, the Secretary of the Army shall--
       (A) consult with the Secretary of the Interior concerning 
     any adjustments to be made to the extent of, or to the 
     allocation of management responsibility for, such needed 
     lands; and
       (B) file with the Secretary of the Interior, within one 
     year after the notice required by subsection (a), an 
     application for extension of the withdrawal and reservation 
     of such needed lands.
       (2) Application requirements.--Notwithstanding any general 
     procedure of the Department of the Interior for processing 
     Federal land withdrawals, an application for extension of the 
     land withdrawal and reservation made by this title shall be 
     considered to be complete if the application includes the 
     information required by section 3 of Public Law 85-337 
     (commonly known as the Engle Act; 43 U.S.C. 157), except that 
     no information shall be required concerning the use or 
     development of mineral, timber, or grazing resources unless, 
     and only to the extent, the Secretary of the Army proposes to 
     use or develop such resources during the period of extension.
       (c) Submission of Proposed Extension to Congress.--The 
     Secretary of the Interior and the Secretary of the Army may 
     submit to Congress a legislative proposal for the extension 
     of the withdrawal and reservation made by this title. The 
     legislative proposal shall be accompanied by an appropriate 
     analysis of environmental impacts associated with the 
     proposal, as required by section 102(2)(C) of the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).

     SEC. 2912. TERMINATION AND RELINQUISHMENT.

       (a) Notice of Termination.--During the first 22 years of 
     the withdrawal and reservation made by this title, if the 
     Secretary of the Army determines that there is no continuing 
     military need for the lands withdrawn and reserved by this 
     title, or any portion of such lands, the Secretary of the 
     Army shall submit to the Secretary of the Interior a notice 
     of intent to relinquish jurisdiction over such lands. The 
     notice shall specify the proposed date of relinquishment.
       (b) Acceptance of Jurisdiction.--The Secretary of the 
     Interior may accept jurisdiction over any lands covered by a 
     notice under subsection (a) if the Secretary of the Interior 
     determines that the Secretary of the Army has taken or will 
     take all environmental response and restoration activities 
     required under applicable laws and regulations.
       (c) Notice of Acceptance.--If the Secretary of the Interior 
     decides to accept jurisdiction over lands covered by a notice 
     under subsection (a) before the termination date of the 
     withdrawal and reservation, the Secretary shall publish in 
     the Federal Register an appropriate order that shall--
       (1) terminate the withdrawal and reservation of such lands 
     under this title;
       (2) constitute official acceptance of administrative 
     jurisdiction over the lands by the Secretary of the Interior; 
     and
       (3) state the date upon which such lands shall be opened to 
     the operation of the general land laws, including the mining 
     laws and the mineral and geothermal leasing laws, if 
     appropriate.
       (d) Retained Army Jurisdiction.--Notwithstanding the 
     termination date specified in section 2910, unless and until 
     the Secretary of the Interior accepts jurisdiction of land 
     proposed for relinquishment pursuant to this section, such 
     land shall remain withdrawn and reserved for the Secretary of 
     the Army for the limited purposes of environmental response 
     and restoration actions under section 2906 and continued land 
     management responsibilities pursuant to the integrated 
     natural resources management plan required under section 
     2904, until such environmental response and restoration 
     activities on those lands are completed.
       (e) Severability of Functions.--All functions described 
     under this section, including transfers, relinquishments, 
     extensions, and other determinations, may be made on a 
     parcel-by-parcel basis.

     SEC. 2913. DELEGATION OF AUTHORITY.

       (a) Secretary of the Army.--The Secretary of the Army may 
     delegate to officials in the Department of the Army such 
     functions as the Secretary of the Army may determine 
     appropriate to carry out this title.
       (b) Secretary of the Interior.--The functions of the 
     Secretary of the Interior under this title may be delegated, 
     except that the order described in section 2912(c) may be 
     approved and signed only by the Secretary of the Interior, 
     the Deputy Secretary of the Interior, or an Assistant 
     Secretary of the Department of the Interior.

 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.

       Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2002 for the activities 
     of the National Nuclear Security Administration in carrying 
     out programs necessary for national security in the amount of 
     $6,859,895,000, to be allocated as follows:
       (1) Weapons activities.--For weapons activities, 
     $5,369,488,000, to be allocated as follows:
       (A) For stewardship operation and maintenance, 
     $4,527,192,000, to be allocated as follows:
       (i) For directed stockpile work, $1,043,791,000.
       (ii) For campaigns, $2,036,413,000, to be allocated as 
     follows:

       (I) For operation and maintenance, $1,653,441,000.
       (II) For construction, $382,972,000, to be allocated as 
     follows:

       Project 01-D-101, distributed information systems 
     laboratory, Sandia National Laboratories, Livermore, 
     California, $5,400,000.
       Project 00-D-103, terascale simulation facility, Lawrence 
     Livermore National Laboratory, Livermore, California, 
     $20,000,000.
       Project 00-D-105, strategic computing complex, Los Alamos 
     National Laboratory, Los Alamos, New Mexico, $11,070,000.
       Project 00-D-107, joint computational engineering 
     laboratory, Sandia National Laboratories, Albuquerque, New 
     Mexico, $5,377,000.
       Project 98-D-125, tritium extraction facility, Savannah 
     River Plant, Aiken, South Carolina, $81,125,000.

[[Page 20190]]

       Project 98-D-126, accelerator production of tritium (APT), 
     various locations, $15,000,000.
       Project 96-D-111, national ignition facility (NIF), 
     Lawrence Livermore National Laboratory, Livermore, 
     California, $245,000,000.
       (iii) For readiness in technical base and facilities, 
     $1,446,988,000, to be allocated as follows:

       (I) For operation and maintenance, $1,292,324,000.
       (II) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $154,664,000, to be allocated as follows:

       Project 02-D-101, microsystems and engineering sciences 
     applications (MESA), Sandia National Laboratories, 
     Albuquerque, New Mexico, $2,000,000.
       Project 02-D-103, project engineering and design (PED), 
     various locations, $9,180,000.
       Project 02-D-107, electrical power systems safety 
     communications and bus upgrades, Nevada Test Site, Nevada, 
     $3,507,000.
       Project 01-D-103, preliminary project design and 
     engineering, various locations, $45,379,000.
       Project 01-D-124, highly enriched uranium (HEU) materials 
     storage facility, Y-12 Plant, Oak Ridge, Tennessee, 
     $9,500,000.
       Project 01-D-126, weapons evaluation test laboratory, 
     Pantex Plant, Amarillo, Texas, $7,700,000.
       Project 01-D-800, sensitive compartmented information 
     facility, Lawrence Livermore National Laboratory, Livermore, 
     California, $12,993,000.
       Project 99-D-103, isotope sciences facilities, Lawrence 
     Livermore National Laboratory, Livermore, California, 
     $4,400,000.
       Project 99-D-104, protection of real property (roof 
     reconstruction, phase II), Lawrence Livermore National 
     Laboratory, Livermore, California, $2,800,000.
       Project 99-D-106, model validation and system certification 
     center, Sandia National Laboratories, Albuquerque, New 
     Mexico, $4,955,000.
       Project 99-D-125, replace boilers and controls, Kansas City 
     Plant, Kansas City, Missouri, $300,000.
       Project 99-D-127, stockpile management restructuring 
     initiative, Kansas City plant, Kansas City, Missouri, 
     $22,200,000.
       Project 99-D-128, stockpile management restructuring 
     initiative, Pantex Plant, Amarillo, Texas, $3,300,000.
       Project 98-D-123, stockpile management restructuring 
     initiative, tritium facility modernization and consolidation, 
     Savannah River Plant, Aiken, South Carolina, $13,700,000.
       Project 98-D-124, stockpile management restructuring 
     initiative, Y-12 consolidation, Oak Ridge, Tennessee, 
     $6,850,000.
       Project 97-D-123, structural upgrades, Kansas City Plant, 
     Kansas City, Missouri, $3,000,000.
       Project 96-D-102, stockpile stewardship facilities 
     revitalization, Phase VI, various locations, $2,900,000.
       (B) For facilities and infrastructure, $50,600,000.
       (C) For secure transportation asset, $121,800,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $77,571,000.
       (ii) For program direction, $44,229,000.
       (D) For safeguards and security, $448,881,000, to be 
     allocated as follows:
       (i) For operations and maintenance, $439,281,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $9,600,000, to be allocated as follows:

       Project 99-D-132, stockpile management restructuring 
     initiative, nuclear material safeguards and security upgrades 
     project, Los Alamos National Laboratory, Los Alamos, New 
     Mexico, $9,600,000.

       (E) For program direction, $250,000,000.
       (F) The total amount authorized by this paragraph is the 
     sum of the amounts authorized to be appropriated by 
     subparagraphs (A) through (E), reduced by $28,985,000, to be 
     derived from a security charge for reimbursable work.
       (2) Defense nuclear nonproliferation.--For other nuclear 
     security activities, $773,700,000, to be allocated as 
     follows:
       (A) For nonproliferation and verification research and 
     development, $206,102,000, to be allocated as follows:
       (i) For operation and maintenance, $170,296,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $35,806,000, to be allocated as follows:

       Project 00-D-192, nonproliferation and international 
     security center (NISC), Los Alamos National Laboratory, Los 
     Alamos, New Mexico, $35,806,000.

       (B) For arms control, $101,500,000.
       (C) For international materials protection, control, and 
     accounting, $138,800,000.
       (D) For highly enriched uranium transparency 
     implementation, $13,950,000.
       (E) For international nuclear safety, $10,800,000.
       (F) For fissile materials control and disposition, 
     $293,089,000, to be allocated as follows:
       (i) For United States surplus fissile materials 
     disposition, $236,089,000, to be allocated as follows:

       (I) For operation and maintenance, $130,089,000.
       (II) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $106,000,000, to be allocated as follows:

       Project 01-D-407, highly enriched uranium blend-down, 
     Savannah River Site, Aiken, South Carolina, $24,000,000.
       Project 99-D-141, pit disassembly and conversion facility, 
     Savannah River Site, Aiken, South Carolina, $16,000,000.
       Project 99-D-143, mixed oxide fuel fabrication facility, 
     Savannah River Site, Aiken, South Carolina, $63,000,000.
       Project 99-D-142, immobilization and associated processing 
     facility, Savannah River Site, Aiken, South Carolina, 
     $3,000,000.
       (ii) For Russian surplus fissile materials disposition, 
     $57,000,000, to be allocated as follows:

       (I) For Russian plutonium disposition, and support and 
     oversight in the United States, $56,000,000.
       (II) For advanced reactor technology, $1,000,000.

       (G) For program direction, $51,459,000.
       (H) The total amount authorized by this paragraph is the 
     sum of the amounts authorized to be appropriated by 
     subparagraphs (A) through (G), reduced by $42,000,000, to be 
     derived from offsets and use of prior year balances.
       (3) Naval reactors.--For naval reactors, $688,045,000, to 
     be allocated as follows:
       (A) For naval reactors development, $665,445,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $652,245,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $13,200,000, to be allocated as follows:

       Project 01-D-200, major office replacement building, 
     Schenectady, New York, $9,000,000.
       Project 90-N-102, expended core facility dry cell project, 
     Naval Reactors Facility, Idaho, $4,200,000.

       (B) For program direction, $22,600,000.
       (4) Defense nuclear counterintelligence.--For defense 
     nuclear counterintelligence, $13,662,000.
       (5) Office of administrator for nuclear security.--For the 
     Office of the Administrator for Nuclear Security, for program 
     direction, $15,000,000.

     SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE 
                   MANAGEMENT.

       (a) In General.--Funds are hereby authorized to be 
     appropriated to the Department of Energy for fiscal year 2002 
     for environmental restoration and waste management activities 
     in carrying out programs necessary for national security in 
     the amount of $4,646,427,000, to be allocated as follows:
       (1) Closure projects.--For closure projects carried out in 
     accordance with section 3143 of the National Defense 
     Authorization Act for Fiscal Year 1997 (Public Law 104-201; 
     110 Stat. 2836; 42 U.S.C. 7277n), $1,050,538,000.
       (2) Site/project completion.--For site completion and 
     project completion in carrying out environmental management 
     activities necessary for national security programs, 
     $920,196,000, to be allocated as follows:
       (A) For operation and maintenance, $872,030,000.
       (B) For plant projects (including maintenance, restoration, 
     planning, construction, acquisition, modification of 
     facilities, and the continuation of projects authorized in 
     prior years, and land acquisition related thereto), 
     $48,166,000, to be allocated as follows:
       Project 02-D-420, FB line plutonium stabilization and 
     packaging, Savannah River Site, Aiken, South Carolina, 
     $20,000,000.
       Project 01-D-402, Intec cathodic protection system 
     expansion, Idaho National Engineering and Environmental 
     Laboratory, Idaho Falls, Idaho, $3,256,000.
       Project 01-D-414, preliminary project, engineering and 
     design (PE&D), various locations, $10,254,000.
       Project 99-D-402, tank farm support services, F&H areas, 
     Savannah River Site, Aiken, South Carolina, $5,040,000.
       Project 99-D-404, health physics instrumentation 
     laboratory, Idaho National Engineering and Environmental 
     Laboratory, Idaho Falls, Idaho, $2,700,000.
       Project 98-D-453, plutonium stabilization and handling 
     system for plutonium finishing plant, Richland, Washington, 
     $1,910,000.
       Project 96-D-471, chlorofluorocarbon heating, ventilation, 
     and air conditioning and chiller retrofit, Savannah River 
     Site, Aiken, South Carolina, $4,244,000.
       Project 86-D-103, decontamination and waste treatment 
     facility, Lawrence Livermore National Laboratory, Livermore, 
     California, $762,000.

[[Page 20191]]

       (3) Post-2006 completion.--For post-2006 completion in 
     carrying out environmental restoration and waste management 
     activities necessary for national security programs, 
     $3,021,201,000, to be allocated as follows:
       (A) For operation and maintenance, $1,761,979,000.
       (B) For plant projects (including maintenance, restoration, 
     planning, construction, acquisition, modification of 
     facilities, and the continuation of projects authorized in 
     prior years, and land acquisition related thereto), 
     $6,754,000, to be allocated as follows:
       Project 93-D-187, high-level waste removal from filled 
     waste tanks, Savannah River Site, Aiken, South Carolina, 
     $6,754,000.
       (C) For the Office of River Protection in carrying out 
     environmental restoration and waste management activities 
     necessary for national security programs, $832,468,000, to be 
     allocated as follows:
       (i) For operation and maintenance, $272,151,000.
       (ii) For plant projects (including maintenance, 
     restoration, planning, construction, acquisition, 
     modification of facilities, and the continuation of projects 
     authorized in prior years, and land acquisition related 
     thereto), $560,317,000, to be allocated as follows:

       Project 01-D-416, waste treatment and immobilization plant, 
     Richland, Washington, $520,000,000.
       Project 97-D-402, tank farm restoration and safe 
     operations, Richland, Washington, $33,473,000.
       Project 94-D-407, initial tank retrieval systems, Richland, 
     Washington, $6,844,000.

       (4) Science and technology development.--For science and 
     technology development in carrying out environmental 
     restoration and waste management activities necessary for 
     national security programs, $196,000,000.
       (5) Excess facilities.--For excess facilities in carrying 
     out environmental restoration and waste management activities 
     necessary for national security programs, $1,300,000.
       (6) Safeguards and security.--For safeguards and security 
     in carrying out environmental restoration and waste 
     management activities necessary for national security 
     programs, $205,621,000.
       (7) Program direction.--For program direction in carrying 
     out environmental restoration and waste management activities 
     necessary for national security programs, $355,761,000.
       (b) Adjustment.--The total amount authorized to be 
     appropriated by subsection (a) is the sum of the amounts 
     authorized to be appropriated by paragraphs (1) through (7) 
     of that subsection, reduced by $53,652,000, to be derived 
     from offsets and use of prior year balances.

     SEC. 3103. OTHER DEFENSE ACTIVITIES.

       (a) In General.--Funds are hereby authorized to be 
     appropriated to the Department of Energy for fiscal year 2002 
     for other defense activities in carrying out programs 
     necessary for national security in the amount of 
     $502,099,000, to be allocated as follows:
       (1) Intelligence.--For intelligence, $40,844,000.
       (2) Counterintelligence.--For counterintelligence, 
     $32,727,000.
       (3) Security and emergency operations.--For security and 
     emergency operations, $269,250,000, to be allocated as 
     follows:
       (A) For nuclear safeguards and security, $121,188,000.
       (B) For security investigations, $44,927,000.
       (C) For corporate management information programs, 
     $20,000,000.
       (D) For program direction, $83,135,000.
       (4) Independent oversight and performance assurance.--For 
     independent oversight and performance assurance, $14,904,000.
       (5) Environment, safety, and health.--For the Office of 
     Environment, Safety, and Health, $105,293,000, to be 
     allocated as follows:
       (A) For environment, safety, and health (defense), 
     $84,500,000.
       (B) For program direction, $20,793,000.
       (6) Worker and community transition assistance.--For worker 
     and community transition assistance, $21,900,000, to be 
     allocated as follows:
       (A) For worker and community transition, $19,000,000.
       (B) For program direction, $2,900,000.
       (7) Office of hearings and appeals.--For the Office of 
     Hearings and Appeals, $2,893,000.
       (8) National security programs administrative support.--For 
     national security programs administrative support, 
     $25,000,000.
       (b) Adjustment.--The amount authorized to be appropriated 
     pursuant to subsection (a) is the total of the amounts 
     authorized to be appropriated by paragraphs (1) through (8) 
     of that subsection, reduced by $10,712,000, of which 
     $10,000,000 is to reflect an offset provided by use of prior 
     year balances and $712,000 is to reflect an offset provided 
     by user organizations for security investigations.

     SEC. 3104. DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION.

       Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2002 for privatization 
     initiatives in carrying out environmental restoration and 
     waste management activities necessary for national security 
     programs in the amount of $126,208,000, to be allocated as 
     follows:
       Project 98-PVT-2, spent nuclear fuel dry storage, Idaho 
     Falls, Idaho, $49,332,000.
       Project 97-PVT-2, advanced mixed waste treatment project 
     Idaho Falls, Idaho, $40,000,000.
       Project 97-PVT-3, transuranic waste treatment, Oak Ridge, 
     Tennessee, $10,826,000.
       Project 98-PVT-5, environmental management/waste management 
     disposal, Oak Ridge, Tennessee, $26,050,000.

     SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

       Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2002 for payment to the 
     Nuclear Waste Fund established in section 302(c) of the 
     Nuclear Waste Policy Act of 1982 (42 U.S.C. 10222(c)) in the 
     amount of $310,000,000.

     SEC. 3106. INCREASED AMOUNT FOR NONPROLIFERATION AND 
                   VERIFICATION.

       (a) National Nuclear Security Administration.--The amounts 
     provided in section 3101 for activities of the National 
     Nuclear Security Administration, and in paragraph (2) of that 
     section for defense nuclear nonproliferation, are each hereby 
     increased by $10,000,000, for operation and maintenance for 
     nonproliferation and verification research and development 
     (and the amounts provided in subparagraph (A) of such 
     paragraph (2) and in clause (i) of such subparagraph are each 
     hereby increased by such amount).
       (b) Offset.--The amount provided in section 301(5) is 
     hereby reduced by $10,000,000, to be derived from amounts for 
     consulting services.

                Subtitle B--Recurring General Provisions

     SEC. 3121. REPROGRAMMING.

       (a) In General.--Until the Secretary of Energy submits to 
     the congressional defense committees the report referred to 
     in subsection (b) and a period of 30 days has elapsed after 
     the date on which such committees receive the report, the 
     Secretary may not use amounts appropriated pursuant to this 
     title for any program--
       (1) in amounts that exceed, in a fiscal year, the amount 
     authorized for that program by this title; or
       (2) which has not been presented to, or requested of, 
     Congress.
       (b) Report.--(1) The report referred to in subsection (a) 
     is a report containing a full and complete statement of the 
     action proposed to be taken and the facts and circumstances 
     relied upon in support of the proposed action.
       (2) In the computation of the 30-day period under 
     subsection (a), there shall be excluded any day on which 
     either House of Congress is not in session because of an 
     adjournment of more than 3 days to a day certain.
       (c) Limitations.--(1) In no event may the total amount of 
     funds obligated pursuant to this title exceed the total 
     amount authorized to be appropriated by this title.
       (2) Funds appropriated pursuant to this title may not be 
     used for an item for which Congress has specifically denied 
     funds.

     SEC. 3122. LIMITS ON GENERAL PLANT PROJECTS.

       (a) In General.--The Secretary of Energy may carry out any 
     construction project under the general plant projects 
     authorized by this title if the total estimated cost of the 
     construction project does not exceed $5,000,000.
       (b) Report to Congress.--If, at any time during the 
     construction of any general plant project authorized by this 
     title, the estimated cost of the project is revised because 
     of unforeseen cost variations and the revised cost of the 
     project exceeds $5,000,000, the Secretary shall immediately 
     furnish a report to the congressional defense committees 
     explaining the reasons for the cost variation.

     SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

       (a) In General.--(1) Except as provided in paragraph (2), 
     construction on a construction project may not be started or 
     additional obligations incurred in connection with the 
     project above the total estimated cost, whenever the current 
     estimated cost of the construction project, authorized by 
     3101, 3102, or 3103, or which is in support of national 
     security programs of the Department of Energy and was 
     authorized by any previous Act, exceeds by more than 25 
     percent the higher of--
       (A) the amount authorized for the project; or
       (B) the amount of the total estimated cost for the project 
     as shown in the most recent budget justification data 
     submitted to Congress.
       (2) An action described in paragraph (1) may be taken if--
       (A) the Secretary of Energy has submitted to the 
     congressional defense committees a report on the actions and 
     the circumstances making such action necessary; and
       (B) a period of 30 days has elapsed after the date on which 
     the report is received by the committees.
       (3) In the computation of the 30-day period under paragraph 
     (2), there shall be excluded any day on which either House of 
     Congress is not in session because of an adjournment of more 
     than 3 days to a day certain.
       (b) Exception.--Subsection (a) does not apply to a 
     construction project with a current estimated cost of less 
     than $5,000,000.

     SEC. 3124. FUND TRANSFER AUTHORITY.

       (a) Transfer to Other Federal Agencies.--The Secretary of 
     Energy may transfer

[[Page 20192]]

     funds authorized to be appropriated to the Department of 
     Energy pursuant to this title to other Federal agencies for 
     the performance of work for which the funds were authorized. 
     Funds so transferred may be merged with and be available for 
     the same purposes and for the same time period as the 
     authorizations of the Federal agency to which the amounts are 
     transferred.
       (b) Transfer Within Department of Energy.--(1) Subject to 
     paragraph (2), the Secretary of Energy may transfer funds 
     authorized to be appropriated to the Department of Energy 
     pursuant to this title between any such authorizations. 
     Amounts of authorizations so transferred may be merged with 
     and be available for the same purposes and for the same 
     period as the authorization to which the amounts are 
     transferred.
       (2) Not more than 5 percent of any such authorization may 
     be transferred between authorizations under paragraph (1). No 
     such authorization may be increased or decreased by more than 
     5 percent by a transfer under such paragraph.
       (c) Limitations.--The authority provided by this section to 
     transfer authorizations--
       (1) may be used only to provide funds for items relating to 
     activities necessary for national security programs that have 
     a higher priority than the items from which the funds are 
     transferred; and
       (2) may not be used to provide funds for an item for which 
     Congress has specifically denied funds.
       (d) Notice to Congress.--The Secretary of Energy shall 
     promptly notify the Committees on Armed Services of the 
     Senate and House of Representatives of any transfer of funds 
     to or from authorizations under this title.

     SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.

       (a) Requirement of Conceptual Design.--(1) Subject to 
     paragraph (2) and except as provided in paragraph (3), before 
     submitting to Congress a request for funds for a construction 
     project that is in support of a national security program of 
     the Department of Energy, the Secretary of Energy shall 
     complete a conceptual design for that project.
       (2) If the estimated cost of completing a conceptual design 
     for a construction project exceeds $3,000,000, the Secretary 
     shall submit to Congress a request for funds for the 
     conceptual design before submitting a request for funds for 
     the construction project.
       (3) The requirement in paragraph (1) does not apply to a 
     request for funds--
       (A) for a construction project the total estimated cost of 
     which is less than $5,000,000; or
       (B) for emergency planning, design, and construction 
     activities under section 3126.
       (b) Authority for Construction Design.--(1) Within the 
     amounts authorized by this title, the Secretary of Energy may 
     carry out construction design (including architectural and 
     engineering services) in connection with any proposed 
     construction project if the total estimated cost for such 
     design does not exceed $600,000.
       (2) If the total estimated cost for construction design in 
     connection with any construction project exceeds $600,000, 
     funds for that design must be specifically authorized by law.

     SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND 
                   CONSTRUCTION ACTIVITIES.

       (a) Authority.--The Secretary of Energy may use any funds 
     available to the Department of Energy pursuant to an 
     authorization in this title, including funds authorized to be 
     appropriated for advance planning and construction design 
     under sections 3101, 3102, and 3103, to perform planning, 
     design, and construction activities for any Department of 
     Energy national security program construction project that, 
     as determined by the Secretary, must proceed expeditiously in 
     order to protect public health and safety, to meet the needs 
     of national defense, or to protect property.
       (b) Limitation.--The Secretary may not exercise the 
     authority under subsection (a) in the case of any 
     construction project until the Secretary has submitted to the 
     congressional defense committees a report on the activities 
     that the Secretary intends to carry out under this section 
     and the circumstances making those activities necessary.
       (c) Specific Authority.--The requirement of section 
     3125(b)(2) does not apply to emergency planning, design, and 
     construction activities conducted under this section.

     SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS 
                   OF THE DEPARTMENT OF ENERGY.

       Subject to the provisions of appropriation Acts and section 
     3121, amounts appropriated pursuant to this title for 
     management and support activities and for general plant 
     projects are available for use, when necessary, in connection 
     with all national security programs of the Department of 
     Energy.

     SEC. 3128. AVAILABILITY OF FUNDS.

       (a) In General.--Except as provided in subsection (b), when 
     so specified in an appropriations Act, amounts appropriated 
     for operation and maintenance or for plant projects may 
     remain available until expended.
       (b) Exception for Program Direction Funds.--Amounts 
     appropriated for program direction pursuant to an 
     authorization of appropriations in subtitle A shall remain 
     available to be expended only until the end of fiscal year 
     2003.

     SEC. 3129. TRANSFERS OF DEFENSE ENVIRONMENTAL MANAGEMENT 
                   FUNDS AT FIELD OFFICES OF THE DEPARTMENT OF 
                   ENERGY.

       (a) Transfer Authority for Defense Environmental Management 
     Funds.--The Secretary of Energy shall provide the manager of 
     each field office of the Department of Energy with the 
     authority to transfer defense environmental management funds 
     from a program or project under the jurisdiction of the 
     office to another such program or project.
       (b) Limitations.--(1) Only one transfer may be made to or 
     from any program or project under subsection (a) in a fiscal 
     year.
       (2) The amount transferred to or from a program or project 
     under subsection (a) may not exceed $5,000,000 in a fiscal 
     year.
       (3) A transfer may not be carried out by a manager of a 
     field office under subsection (a) unless the manager 
     determines that the transfer is necessary to address a risk 
     to health, safety, or the environment or to assure the most 
     efficient use of defense environmental management funds at 
     the field office.
       (4) Funds transferred pursuant to subsection (a) may not be 
     used for an item for which Congress has specifically denied 
     funds or for a new program or project that has not been 
     authorized by Congress.
       (c) Exemption From Reprogramming Requirements.--The 
     requirements of section 3121 shall not apply to transfers of 
     funds pursuant to subsection (a).
       (d) Notification.--The Secretary, acting through the 
     Assistant Secretary of Energy for Environmental Management, 
     shall notify Congress of any transfer of funds pursuant to 
     subsection (a) not later than 30 days after such transfer 
     occurs.
       (e) Definitions.--In this section:
       (1) The term ``program or project'' means, with respect to 
     a field office of the Department of Energy, any of the 
     following:
       (A) A program referred to or a project listed in paragraph 
     (2) or (3) of section 3102.
       (B) A program or project not described in subparagraph (A) 
     that is for environmental restoration or waste management 
     activities necessary for national security programs of the 
     Department, that is being carried out by the office, and for 
     which defense environmental management funds have been 
     authorized and appropriated before the date of the enactment 
     of this Act.
       (2) The term ``defense environmental management funds'' 
     means funds appropriated to the Department of Energy pursuant 
     to an authorization for carrying out environmental 
     restoration and waste management activities necessary for 
     national security programs.
       (f ) Duration of Authority.--The managers of the field 
     offices of the Department may exercise the authority provided 
     under subsection (a) during fiscal year 2002.

     SEC. 3130. TRANSFERS OF WEAPONS ACTIVITIES FUNDS AT NATIONAL 
                   SECURITY LABORATORIES AND NUCLEAR WEAPONS 
                   PRODUCTION FACILITIES.

       (a) Transfer Authority.--The Secretary of Energy, acting 
     through the Administrator for Nuclear Security, shall provide 
     the head of each national security laboratory and nuclear 
     weapons production facility with the authority to transfer 
     weapons activities funds from a program under the 
     jurisdiction of such laboratory or facility to another such 
     program.
       (b) Limitations.--(1) The amount transferred under 
     subsection (a) by a laboratory or facility in a fiscal year 
     may not exceed the lesser of--
       (A) $5,000,000; and
       (B) 10 percent of the total weapons activities funds 
     available to that laboratory or facility in that fiscal year 
     for programs under the jurisdiction of such laboratory or 
     facility.
       (2) A transfer may not be carried out under subsection (a) 
     unless the head of the laboratory or facility determines that 
     the transfer will result in cost savings and efficiencies.
       (3) A transfer may not be carried out under subsection (a) 
     to cover a cost overrun or scheduling delay for any program.
       (4) Funds transferred pursuant to subsection (a) may not be 
     used for an item for which Congress has specifically denied, 
     limited, or increased funds or for a new program that has not 
     been authorized by Congress.
       (c) Exemption From Reprogramming Requirements.--The 
     requirements of section 3121 shall not apply to transfers of 
     funds pursuant to subsection (a).
       (d) Notification.--The Secretary, acting through the 
     Administrator for Nuclear Security, shall notify Congress of 
     any transfer of funds pursuant to subsection (a) not later 
     than 30 days after such transfer occurs.
       (e) Definitions.--In this section:
       (1) The term ``program'' means, with respect to a national 
     security laboratory or nuclear weapons production facility, 
     any of the following:
       (A) A program referred to or listed in paragraph (1) of 
     section 3101.
       (B) A program not described in subparagraph (A) that is for 
     weapons production or weapons component production of the 
     National Nuclear Security Administration that

[[Page 20193]]

     is being carried out by the laboratory or facility, and for 
     which weapons activities funds have been authorized and 
     appropriated before the date of the enactment of this Act.
       (2) The term ``weapons activities funds'' means funds 
     appropriated to the Department of Energy pursuant to an 
     authorization for weapons activities of the National Nuclear 
     Security Administration in carrying out programs necessary 
     for national security.
       (3) The terms ``national security laboratory'' and 
     ``nuclear weapons production facility'' have the meanings 
     given such terms in section 3281 of the National Nuclear 
     Security Administration Act (title XXXII of Public Law 106-
     65; 113 Stat. 968; 50 U.S.C. 2471).
       (f) Duration of Authority.--The heads of the national 
     security laboratories and nuclear weapons production 
     facilities may exercise the authority provided under 
     subsection (a) during fiscal year 2002.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

     SEC. 3131. TERMINATION DATE OF OFFICE OF RIVER PROTECTION, 
                   RICHLAND, WASHINGTON.

       Subsection (f) of section 3139 of the Strom Thurmond 
     National Defense Authorization Act for Fiscal Year 1999 
     (Public Law 105-261; 112 Stat. 2250), as amended by section 
     3141 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-462), is amended to read as follows:
       ``(f) Termination.--(1) The Office shall terminate on the 
     later to occur of the following dates:
       ``(A) September 30, 2010.
       ``(B) The date on which the Assistant Secretary of Energy 
     for Environmental Management determines, in consultation with 
     the head of the Office, that continuation of the Office is no 
     longer necessary to carry out the responsibilities of the 
     Department of Energy under the Tri-Party Agreement.
       ``(2) The Assistant Secretary shall notify, in writing, the 
     committees referred to in subsection (d) of a determination 
     under paragraph (1).
       ``(3) In this subsection, the term `Tri-Party Agreement' 
     means the Hanford Federal Facility Agreement and Consent 
     Order entered into among the Department of Energy, the 
     Environmental Protection Agency, and the State of Washington 
     Department of Ecology.''.

     SEC. 3132. ORGANIZATIONAL MODIFICATIONS FOR NATIONAL NUCLEAR 
                   SECURITY ADMINISTRATION.

       (a) Establishment of Principal Deputy Administrator.--(1) 
     Subtitle A of the National Nuclear Security Administration 
     Act is amended by inserting after section 3213 (50 U.S.C. 
     2403) the following new section:

     ``SEC. 3213A. PRINCIPAL DEPUTY ADMINISTRATOR.

       ``(a) In General.--(1) There is in the Administration a 
     Principal Deputy Administrator, who is appointed by the 
     President, by and with the advice and consent of the Senate.
       ``(2) The Principal Deputy Administrator shall be appointed 
     from among persons who--
       ``(A) have extensive background in national security, 
     organizational management, and appropriate technical fields; 
     and
       ``(B) are well qualified to manage the nuclear weapons, 
     nonproliferation, and materials disposition programs of the 
     Administration in a manner that advances and protects the 
     national security of the United States.
       ``(b) Duties.--Subject to the authority, direction, and 
     control of the Administrator, the Principal Deputy 
     Administrator shall perform such duties and exercise such 
     powers as the Administrator may prescribe, including the 
     coordination of activities among the elements of the 
     Administration. The Principal Deputy Administrator shall act 
     for, and exercise the powers of, the Administrator when the 
     Administrator is disabled or the position of Administrator is 
     vacant.''.
       (2) The table of contents preceding section 3201 of such 
     Act is amended by inserting after the item relating to 
     section 3213 the following new item:

``Sec. 3213A. Principal Deputy Administrator.''.
       (3) Section 5315 of title 5, United States Code, is 
     amended--
       (A) by inserting before the item relating to Deputy 
     Administrators of the National Nuclear Security 
     Administration the following new item:
       ``Principal Deputy Administrator, National Nuclear Security 
     Administration.''; and
       (B) by inserting ``Additional'' before ``Deputy 
     Administrators of the National Nuclear Security 
     Administration''.
       (b) Elimination of Requirement that National Security 
     Laboratories and Nuclear Weapons Production Facilities Report 
     to Deputy Administrator for Defense Programs.--Section 3214 
     of the National Nuclear Security Administration Act (50 
     U.S.C. 2404) is amended by striking subsection (c).
       (c) Repeal of Duplicative Provision.--Section 3245 of the 
     National Nuclear Security Administration Act (50 U.S.C. 2443) 
     is repealed.

     SEC. 3133. CONSOLIDATION OF NUCLEAR CITIES INITIATIVE PROGRAM 
                   WITH INITIATIVES FOR PROLIFERATION PREVENTION 
                   PROGRAM.

       The Administrator for Nuclear Security shall consolidate 
     the Nuclear Cities Initiative program with the Initiatives 
     for Proliferation Prevention program under a single 
     management line. The consolidation shall be completely 
     accomplished not later than July 1, 2002.

     SEC. 3134. DISPOSITION OF SURPLUS DEFENSE PLUTONIUM AT 
                   SAVANNAH RIVER SITE, AIKEN, SOUTH CAROLINA.

       (a) Consultation Required.--The Secretary of Energy shall 
     consult with the Governor of the State of South Carolina 
     regarding any decisions or plans of the Secretary related to 
     the disposition of surplus defense plutonium located at the 
     Savannah River Site, Aiken, South Carolina, including the 
     plan required by subsection (b).
       (b) Plan for Disposition.--Not later than February 1, 2002, 
     the Secretary shall submit to Congress a plan for disposal of 
     the surplus defense plutonium currently located at the 
     Savannah River Site and for disposal of defense plutonium and 
     defense plutonium materials to be shipped to the Savannah 
     River Site in the future. The plan shall review each option 
     considered for such disposal, identify the preferred option, 
     and state the cost of construction and operation of the 
     facilities required by the Department of Energy's Record of 
     Decision for the Storage and Disposition of Weapons-Usable 
     Fissile Materials Final Programmatic Environmental Impact 
     Statement dated January 14, 1997. The plan shall also specify 
     a schedule for the expeditious construction of such 
     facilities, including milestones, and a firm schedule for 
     funding the cost of such facilities. The plan shall specify, 
     in addition, the means by which all such plutonium will be 
     removed in a timely manner from the Savannah River Site for 
     storage or disposal elsewhere.
       (c) Requirement for Alternative Disposition.--If the 
     Secretary determines that proceeding with construction of the 
     Plutonium Immobilization Plant at the Savannah River Site is 
     not feasible, the Department shall modify the design of the 
     Mixed Oxide Fuel Fabrication facility at the Savannah River 
     Site so that it includes an immobilization capability. If the 
     Secretary determines that proceeding with the Mixed Oxide 
     Fuel Fabrication facility is not feasible, the Department 
     shall proceed with construction of the Plutonium 
     Immobilization Plant.
       (d) Limitation on Plutonium Shipments.--If the plan 
     required in subsection (b) is not submitted to Congress by 
     February 1, 2002, the Secretary shall be prohibited from 
     shipping defense plutonium or defense plutonium materials to 
     the Savannah River Site during the period beginning on 
     February 1, 2002, and ending on the date on which such plan 
     is submitted to Congress.

     SEC. 3135. SUPPORT FOR PUBLIC EDUCATION IN THE VICINITY OF 
                   LOS ALAMOS NATIONAL LABORATORY, NEW MEXICO.

       (a) Support for Fiscal 2002.--From amounts appropriated or 
     otherwise made available to the Secretary of Energy by this 
     title--
       (1) $5,000,000 shall be available for payment by the 
     Secretary for fiscal year 2002 to the not-for-profit Los 
     Alamos National Laboratory Foundation, as chartered in 
     accordance with section 3167(a) of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85; 
     111 Stat. 2052); and
       (2) $8,000,000 shall be available for extension of the 
     contract between the Department of Energy and the Los Alamos 
     Public Schools through fiscal year 2002.
       (b) Support for Fiscal 2003.--Subject to the availability 
     of appropriations, the Secretary is authorized to--
       (1) make payment for fiscal year 2003 similar to the 
     payment referred to in subsection (a)(1); and
       (2) provide for a contract extension through fiscal 2003 
     similar to the contract extension referred to in subsection 
     (a)(2).
       (c) Use of Funds.--The foundation referred to in subsection 
     (a)(1) shall--
       (1) utilize funds provided under this section as a 
     contribution to the endowment fund for the foundation; and
       (2) use the income generated from investments in the 
     endowment fund that are attributable to payments made under 
     this section to fund programs to support the educational 
     needs of children in public schools in the vicinity of Los 
     Alamos National Laboratory.
       (d) Report.--Not later than March 1, 2002, the Secretary 
     shall submit to the congressional defense committees a report 
     setting forth the following:
       (1) An evaluation of the requirements for continued 
     payments beyond fiscal year 2003 into the endowment fund of 
     the foundation referred to in subsection (a) to enable the 
     foundation to meet the goals of the Department to support the 
     recruitment and retention of staff at the Los Alamos National 
     Laboratory.
       (2) The Secretary's recommendations for any further support 
     beyond fiscal year 2003 directly to the Los Alamos Public 
     Schools.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

     SEC. 3201. AUTHORIZATION.

       There are authorized to be appropriated for fiscal year 
     2002, $18,500,000 for the operation of the Defense Nuclear 
     Facilities Safety Board under chapter 21 of the Atomic Energy 
     Act of 1954 (42 U.S.C. 2286 et seq.).

[[Page 20194]]



                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

     SEC. 3301. DEFINITIONS.

       In this title:
       (1) The term ``National Defense Stockpile'' means the 
     stockpile provided for in section 4 of the Strategic and 
     Critical Materials Stock Piling Act (50 U.S.C. 98c).
       (2) The term ``National Defense Stockpile Transaction 
     Fund'' means the fund established under section 9(a) of the 
     Strategic and Critical Materials Stock Piling Act (50 U.S.C. 
     98h(a)).
       (3) The term ``Market Impact Committee'' means the Market 
     Impact Committee appointed under section 10(c) of the 
     Strategic and Critical Materials Stock Piling Act (50 U.S.C. 
     98h-1(c)).

     SEC. 3302. AUTHORIZED USES OF STOCKPILE FUNDS.

       (a) Obligation of Stockpile Funds.--During fiscal year 
     2002, the National Defense Stockpile Manager may obligate up 
     to $65,200,000 of the funds in the National Defense Stockpile 
     Transaction Fund for the authorized uses of such funds under 
     section 9(b)(2) of the Strategic and Critical Materials Stock 
     Piling Act (50 U.S.C. 98h(b)(2)), including the disposal of 
     hazardous materials that are environmentally sensitive.
       (b) Additional Obligations.--The National Defense Stockpile 
     Manager may obligate amounts in excess of the amount 
     specified in subsection (a) if the National Defense Stockpile 
     Manager notifies Congress that extraordinary or emergency 
     conditions necessitate the additional obligations. The 
     National Defense Stockpile Manager may make the additional 
     obligations described in the notification after the end of 
     the 45-day period beginning on the date on which Congress 
     receives the notification.
       (c) Limitations.--The authorities provided by this section 
     shall be subject to such limitations as may be provided in 
     appropriations Acts.

     SEC. 3303. DISPOSAL OF OBSOLETE AND EXCESS MATERIALS 
                   CONTAINED IN NATIONAL DEFENSE STOCKPILE.

       (a) Disposal Authorized.--Subject to subsection (b), the 
     President may dispose of certain materials contained in the 
     National Defense Stockpile that are obsolete or excess to 
     stockpile requirements, in the quantities specified in the 
     following table:

                     Authorized Stockpile Disposals
------------------------------------------------------------------------
   Material for disposal                              Quantity
------------------------------------------------------------------------
Bauxite, Refractory.......................  40,000 short tons
Chromium Metal............................  3,512 short tons
Iridium...................................  25,140 troy ounces
Jewel Bearings............................  30,273,221 pieces
Manganese, Ferro HC.......................  209,074 short tons
Palladium.................................  11 troy ounces
Quartz Crystal............................  216,648 pounds
Tantalum Metal Ingot......................  120,228 pounds of contained
                                             Tantalum
Tantalum Metal Powder.....................  36,020 pounds of contained
                                             Tantalum
Thorium Nitrate...........................  600,000 pounds
------------------------------------------------------------------------

       (b) Consultation With Market Impact Committee.--In 
     disposing of materials under subsection (a), the President 
     shall consult with the Market Impact Committee to ensure that 
     the disposal of the materials does not disrupt the usual 
     markets of producers, processors, and consumers of the 
     materials.
       (c) Relationship to Other Disposal Authority.--The disposal 
     authority provided in subsection (a) is new disposal 
     authority and is in addition to, and shall not affect, any 
     other disposal authority provided by law regarding the 
     materials specified in the table in such subsection.

     SEC. 3304. EXPEDITED IMPLEMENTATION OF AUTHORITY TO DISPOSE 
                   OF COBALT FROM NATIONAL DEFENSE STOCKPILE.

       (a) Disposal Authorized During Fiscal Year 2002.--
     Subsection (a)(1) of section 3305 of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85; 50 
     U.S.C. 98d note) is amended by striking ``fiscal year 2003'' 
     and inserting ``the two-fiscal year period ending September 
     30, 2003''.
       (b) Limitations on Disposal Authority.--Subsection (b)(1) 
     of such section is amended by adding at the end the following 
     new sentence: ``The total quantity of cobalt disposed of 
     under such subsection during fiscal year 2002 may not exceed 
     700,000 pounds.''.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

     SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

       (a) Amount.--There are hereby authorized to be appropriated 
     to the Secretary of Energy $17,371,000 for fiscal year 2002 
     for the purpose of carrying out activities under chapter 641 
     of title 10, United States Code, relating to the naval 
     petroleum reserves.
       (b) Period of Availability.--Funds appropriated pursuant to 
     the authorization of appropriations in subsection (a) shall 
     remain available until expended.

                  TITLE XXXV--MARITIME ADMINISTRATION

     SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 
                   2002.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2002, to be available without fiscal year limitation if 
     so provided in appropriations Acts, for the use of the 
     Department of Transportation for the Maritime Administration 
     as follows:
       (1) For expenses necessary for operations and training 
     activities, $89,054,000.
       (2) For expenses under the loan guarantee program 
     authorized by title XI of the Merchant Marine Act, 1936 (46 
     App. U.S.C. 1271 et seq.), $103,978,000, of which--
       (A) $100,000,000 is for the cost (as defined in section 
     502(5) of the Federal Credit Reform Act of 1990 (2 U.S.C. 
     661a(5))) of loan guarantees under the program; and
       (B) $3,978,000 is for administrative expenses related to 
     loan guarantee commitments under the program.
       (3) For expenses to dispose of obsolete vessels in the 
     National Defense Reserve Fleet, $10,000,000.

     SEC. 3502. DEFINE ``WAR RISKS'' TO VESSELS TO INCLUDE 
                   CONFISCATION, EXPROPRIATION, NATIONALIZATION, 
                   AND DEPRIVATION OF THE VESSELS.

       Section 1201(c) of the Merchant Marine Act, 1936 (46 App. 
     U.S.C. 1281(c)) is amended to read as follows:
       ``(c) The term `war risks' includes to such extent as the 
     Secretary may determine--
       ``(1) all or any part of any loss that is excluded from 
     marine insurance coverage under a `free of capture or 
     seizure' clause, or under analogous clauses; and
       ``(2) other losses from hostile acts, including 
     confiscation, expropriation, nationalization, or 
     deprivation.''.

     SEC. 3503. HOLDING OBLIGOR'S CASH AS COLLATERAL UNDER TITLE 
                   XI OF MERCHANT MARINE ACT, 1936.

       Title XI of the Merchant Marine Act, 1936 (46 App. U.S.C. 
     1271 et seq.) is amended by inserting after section 1108 the 
     following:

     ``SEC. 1109. DEPOSIT FUND.

       ``(a) Establishment of Deposit Fund.--There is established 
     in the Treasury a deposit fund for purposes of this section. 
     The Secretary may, in accordance with an agreement under 
     subsection (b), deposit into and hold in the deposit fund 
     cash belonging to an obligor to serve as collateral for a 
     guarantee under this title made with respect to the obligor.
       ``(b) Agreement.--
       ``(1) In general.--The Secretary and an obligor shall enter 
     into a reserve fund or other collateral account agreement to 
     govern the deposit, withdrawal, retention, use, and 
     reinvestment of cash of the obligor held in the deposit fund 
     established by subsection (a).
       ``(2) Terms.--The agreement shall contain such terms and 
     conditions as are required under this section and such 
     additional terms as are considered by the Secretary to be 
     necessary to protect fully the interests of the United 
     States.
       ``(3) Security interest of united states.--The agreement 
     shall include terms that grant to the United States a 
     security interest in all amounts deposited into the deposit 
     fund.
       ``(c) Investment.--The Secretary may invest and reinvest 
     any part of the amounts in the deposit fund established by 
     subsection (a) in obligations of the United States with such 
     maturities as ensure that amounts in the deposit fund will be 
     available as required for purposes of agreements under 
     subsection (b). Cash balances of the deposit fund in excess 
     of current requirements shall be maintained in a form of 
     uninvested funds and the Secretary of the Treasury shall pay 
     interest on these funds.
       ``(d) Withdrawals.--
       ``(1) In general.--The cash deposited into the deposit fund 
     established by subsection (a) may not be withdrawn without 
     the consent of the Secretary.
       ``(2) Use of income.--Subject to paragraph (3), the 
     Secretary may pay any income earned on cash of an obligor 
     deposited into the deposit fund in accordance with the terms 
     of the agreement with the obligor under subsection (b).
       ``(3) Retention against default.--The Secretary may retain 
     and offset any or all of the cash of an obligor in the 
     deposit fund, and any income realized thereon, as part of the 
     Secretary's recovery against the obligor in case of a default 
     by the obligor on an obligation.''.

  The motion was agreed to.
  The Senate bill was ordered to be read a third time, was read the 
third

[[Page 20195]]

time, and passed, and a motion to reconsider was laid on the table.


                 Motion to Go to Conference on S. 1438

  Mr. STUMP. Mr. Speaker, by direction of the Committee on Armed 
Services and pursuant to clause 1 of rule XXII, I offer a privileged 
motion.
  The SPEAKER pro tempore. The Clerk will report the privileged motion.
  The Clerk read as follows:
  Mr. Stump moves that the House take from the Speaker's table the bill 
S. 1438, with the House amendment thereto, insist on the House 
amendment, and request a conference with the Senate thereon.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Arizona (Mr. Stump).
  The motion was agreed to.


          Motion to Instruct Conferees Offered by Mr. Skelton

  Mr. SKELTON. Mr. Speaker, I offer a motion.
  The SPEAKER pro tempore. The Clerk will report the motion.
  The Clerk read as follows:
       Mr. Skelton moves that the managers on the part of the 
     House at the conference on the disagreeing votes of the two 
     Houses on the House amendment to the bill S. 1438 be 
     instructed to agree to the provisions contained in section 
     652 of the Senate bill, relating to Survivor Benefit Plan 
     eligibility of survivors of retirement-ineligible members of 
     the uniformed services who die on active duty.

  The SPEAKER pro tempore. The gentleman from Missouri (Mr. Skelton) 
will be recognized for 30 minutes, and the gentleman from Arizona (Mr. 
Stump) will be recognized for 30 minutes.
  The Chair recognizes the gentleman from Missouri (Mr. Skelton).
  Mr. SKELTON. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I offer this motion to instruct the conferees which 
instructs the conferees on the National Defense Authorization Act of 
fiscal year 2002 to recede and accept section 652 of the Senate-passed 
bill. This section would authorize survivors of nonretirement- eligible 
service members who die while on active duty to participate in this 
Survivor Benefit Plan.
  The tragic attack on the Pentagon on September 11 has brought to 
light inequitable treatment between Survivor Benefit Plan participants 
who die while on active duty and those who retire or are retirement 
eligible. Under the current Survivor Benefit Plan, known as SPB, only 
retired or retirement-eligible service members are entitled to 
participate in this program.
  Upon retirement, including medical retirement, a service member pays 
monthly premiums which entitle his or her survivors to an annuity upon 
the service member's death. However, if a service member is not 
retirement eligible, his or her dependents are not entitled to receive 
SPB if this service member dies.
  For example, let us say there are three active duty service members 
on a helicopter, Alpha, Bravo and Charlie, on deployment somewhere in 
the Middle East. Alpha has served for over 20 years. Bravo and Charlie 
have served for 19\1/2\ years. The helicopter crashes. Alpha, who is 
retirement eligible and participates in SPB, perishes in the crash. 
Since he is retirement eligible, his dependents are eligible to receive 
an annuity.
  Bravo, who has served 19\1/2\ years, survives the crash and is 
medically retired, but passes away. Because he is medically retired, 
his survivors also are entitled to an SPB annuity.
  Charlie, on the other hand, also has served 19\1/2\ years, and he 
perishes in the crash. Because he is not retirement eligible, his 
survivors are not entitled to any SPB annuity.
  The difference in benefit eligibility is determined by whether or not 
the service member is retired or retirement eligible at the time of 
death.
  Mr. Speaker, the situation I just described played out in real life, 
sadly, on September 11, when that airplane crashed into the Pentagon. 
SPB participants were treated differently depending on whether they 
were retired, retirement eligible or not. That is simply not fair. We 
owe it to those who gave their lives on that fateful day to fix this 
inequity.
  Section 652 of the Senate-passed Defense Authorization Act would 
correct this injustice. My motion instructs the conferees to agree to 
this provision.
  We have a moral obligation to ensure that those who volunteer to 
defend this Nation in uniform are treated fairly and equitably. I 
strongly urge my colleagues to support this motion to instruct 
conferees to accept section 652. It is not only the honorable thing to 
do; it is the right thing to do.
  Mr. Speaker, I reserve the balance of my time.
  Mr. STUMP. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I support the motion of the gentleman in that it 
endorses the provision of the Senate bill that would broaden the 
Survivors Benefit Plan to include members of the armed services who die 
while on active duty. Providing this coverage is fair and the right 
thing to do. It ensures that an annuity will be paid to the surviving 
family of service members who die while on active duty.
  I commend the gentleman from Missouri for offering this motion and 
urge my colleagues to support it.
  Mr. REYES. Mr. Speaker, I rise today to offer a motion to instruct 
the House conferees to the National Defense Authorization Act of 2002 
to accept Section 652, Title VI, Subtitle D of the Senate Bill, passed 
in the Senate on October 2, 2001. This section would correct the 
inequity in survivor benefits offered to survivors of retirement 
ineligible members of the uniformed services who die while on active 
duty.
  The Survivor Benefit Plan provides an annuity to dependents of 
military retirees or retirement eligible service members. When a 
retirement ineligible service member dies while on active duty, family 
members receive Dependency and Indemnity Compensation, while offers a 
lesser benefit than that offered to families of retired or retirement 
eligible service members.
  In cases where an active duty service member suffers from a prolonged 
illness, the military has ample time to medically retire this person, 
regardless of whether or not that person is retirement eligible. But, 
in cases where service members are fatally injured while on active 
duty, prior to becoming retirement eligible, medical personnel have 
been forced to go to extreme lengths to keep these members, who are 
clinically dead, alive while personnel specialists scramble to process 
retirement paperwork before the service member is pronounced dead. In 
the case of the attack on the Pentagon on September 11, many service 
members were killed instantly and so there was no opportunity to 
medically retire these people. Therefore, retirement ineligible 
victim's families will receive the Dependency and Indemnity 
Compensation, a lesser benefit.
  The most striking example of this inequity would be if, for example, 
a plane crash occurred. Some of the victims were killed immediately, 
while others were kept alive long enough to be medically retired. The 
families of those victims who were kept alive long enough for medical 
retirement would receive a much better benefit package, the Survivor 
Benefit Plan, than those who were killed instantly, who would receive 
Dependency and Indemnity Compensation, even though all were involved in 
the same accident!
  In Vietnam in April of 2001, while surveying potential sites for 
excavation to recover remains of Americans who were missing in action 
from the Vietnam War, a helicopter crashed, killing sixteen. Benefit 
packages for families of two of those victims were calculated, based on 
what their families would receive if their deaths were on ``active 
duty'' compared to what would be received if their deaths occurred 
after being ``medically retired.'' In the case of Lieutenant Colonel 
Cory, if he had been medically retired, his family would have received 
Survivor Benefits, which amounts to $750 more a month than the active 
duty Dependency and Indemnity Compensation, which they now receive. In 
the case of Sergeant First Class Murphy, another victim of the crash, 
his wife and two children are receiving $313 less a month than what 
they would have been entitled if he had been medically retired. Both of 
these soldiers were retirement eligible, but because they were killed 
instantly, there was no time to process paperwork, their families now 
suffer financial loss on top of losing a loved one.
  Unless this provision is accepted and included in the Fiscal Year 
2002 Defense Authorization Act, the families of victims of tragedy who 
were retirement ineligible will receive fewer benefits than if there 
had been the opportunity to complete medical retirement paperwork. All 
of these families have suffered

[[Page 20196]]

enough. There a disparity in the current law, and this provision aims 
to correct that disparity.
  Many leaders has stepped forward in support of this provision. 
General Hugh Shelton, former Chairman of the Joint Chiefs of Staff 
stated during his tenure that ``in the absence of legislative relief, 
medical retirement requirements place an undue burden on both 
commanders in the field and fleet and, more tragically, on families 
that are denied important and deserving benefits.''
  I urge my colleagues to support the motion to instruct the conferees 
to accept the Senate provision and provide survivor benefits to family 
members of those who die while on active duty.
  Mr. STUMP. Mr. Speaker, I yield back the balance of my time.
  Mr. SKELTON. Mr. Speaker, I have no further speakers, and I yield 
back the balance of my time.
  The SPEAKER pro tempore. Without objection, the previous question is 
ordered on the motion to instruct.
  There was no objection.
  The SPEAKER pro tempore. The question is on the motion to instruct 
offered by the gentleman from Missouri (Mr. Skelton).
  The motion to instruct was agreed to.
  A motion to reconsider was laid on the table.
  The SPEAKER pro tempore. Without objection, the Chair appoints the 
following conferees; and, without objection, the list will be printed 
at this point in the Record.
  There was no objection.
       From the Committee on Armed Services, for consideration of 
     the Senate bill and the House amendment, and modifications 
     committed to conference: Messrs. Stump, Hunter, Hansen, 
     Weldon of Pennsylvania, Hefley, Saxton, McHugh, Everett, 
     Bartlett of Maryland, McKeon, Watts of Oklahoma, Thornberry, 
     Hostettler, Chambliss, Skelton, Spratt, Ortiz, Evans, Taylor 
     of Mississippi, Abercrombie, Meehan, Underwood, Allen, and 
     Snyder.
       From the Permanent Select Committee on Intelligence, for 
     consideration of matters within the jurisdiction of that 
     committee under clause 11 of rule X: Messrs. Goss, Bereuter, 
     and Ms. Pelosi.
       From the Committee on Education and the Workforce, for 
     consideration of secs. 304, 305, 1123, 3151, and 3157 of the 
     Senate bill, and secs. 341, 342, 509, and 584 of the House 
     amendment, and modifications committed to conference: Messrs. 
     Castle, Isakson, and George Miller of California.
       From the Committee on Energy and Commerce, for 
     consideration of secs. 314, 316, 601, 663, 3134, 3141, 3143, 
     3152, 3153, 3159, 3171-3181, and 3201 of the Senate bill, and 
     secs. 601, 3131, 3132, and 3201 of the House amendment, and 
     modifications committed to conference: Messrs. Tauzin, 
     Barton, and Dingell.
       From the Committee on Government Reform, for consideration 
     of secs. 564, 622, 803, 813, 901, 1044, 1047, 1051, 1065, 
     1075, 1102, 1111-1113, 1124-1126, 2832, 3141, 3144, and 3153 
     of the Senate bill, and secs. 333, 519, 588, 802, 803, 811-
     819, 1101, 1103-1108, 1110, and 3132 of the House amendment, 
     and modifications committed to conference: Messrs. Burton, 
     Weldon of Florida, and Waxman.
       Provided that Mr. Davis of Virginia is appointed in lieu of 
     Mr. Weldon (FL) for consideration of secs. 803 and 2832 of 
     the Senate bill, and secs. 333 and 803 of the House 
     amendment, and modifications committed to conference.
       Provided that Mr. Horn is appointed in lieu of Mr. Weldon 
     (FL) for consideration of secs. 811-819 of the House 
     amendment, and modifications committed to conference.
       From the Committee on House Administration, for 
     consideration of secs. 572, 574-577, and 579 of the Senate 
     bill, and sec. 552 of the House amendment, and modifications 
     committed to conference: Messrs. Ney, Mica, and Hoyer.
       From the Committee on International Relations, for 
     consideration of secs. 331, 333, 1201-1205, 1211-1218 of the 
     Senate bill, and secs. 1011, 1201, 1202, 1205, 1209, Title 
     XIII, and sec. 3133 of the House amendment, and modifications 
     committed to conference: Messrs. Hyde, Gilman, and Lantos.
       From the Committee on Judiciary, for consideration of secs. 
     821, 1066, 3151 of the senate bill, and secs. 323 and 818 of 
     the House amendment, and modifications committed to 
     conference: Messrs. Sensenbrenner, Smith of Texas, and 
     Conyers.
       From the Committee on Resources, for consideration of secs. 
     601, 663, 2823, and 3171-3181 of the Senate bill, and secs. 
     601, 1042, 2841, 2845, 2861-2863, 2865, and Title XXIX of the 
     House amendment, and modifications committed to conference: 
     Messrs. Gibbons, Radanovich, and Rahall.
       Provided that Mr. Udall of Colorado is appointed in lieu of 
     Mr. Rahall for consideration of secs. 3171-3181 of the Senate 
     bill, and modifications committed to conference.
       From the Committee on Science for consideration of secs. 
     1071 and 1124 of the Senate bill, and modifications committed 
     to conference: Messrs. Boehlert, Smith of Michigan, and Hall 
     of Texas.
       Provided that Mr. Ehlers is appointed in lieu of Mr. Smith 
     (MI) for consideration of sec. 1124 of the Senate bill, and 
     modifications committed to conference.
       From the Committee on Small Business, for consideration of 
     secs. 822-824 and 1068 of the Senate bill, and modifications 
     committed to conference: Messrs. Manzullo, Combest, and Ms. 
     Velazquez.
       From the Committee on Transportation and Infrastructure, 
     for consideration of secs. 563, 601, and 1076 of the Senate 
     bill, and secs. 543, 544, 601, 1049, and 1053 of the House 
     amendment, and modifications committed to conference: Messrs. 
     Young of Alaska, LoBiondo, and Brown of Florida.
       Provided that Mr. Pascrell is appointed in lieu of Mr. 
     Brown (FL) for consideration of sec. 1049 of the House 
     amendment, and modifications committed to conference.
       From the Committee on Veterans Affairs, for consideration 
     of secs. 538, 539, 573, 651, 717, and 1064 of the Senate 
     bill, and sec. 641 of the House amendment, and modifications 
     committed to conference: Messrs. Smith of New Jersey, 
     Bilirakis, and Filner.

                          ____________________