[Congressional Record (Bound Edition), Volume 151 (2005), Part 20]
[House]
[Pages 26812-26849]
[From the U.S. Government Publishing Office, www.gpo.gov]




 CONFERENCE REPORT ON H.R. 2528, MILITARY QUALITY OF LIFE AND VETERANS 
                    AFFAIRS APPROPRIATIONS ACT, 2006

  Mr. WALSH submitted the following conference report and statement on 
the bill (H.R. 2528) making appropriations for military quality of life 
functions of the Department of Defense, military construction, the 
Department of Veterans Affairs, and related agencies for the fiscal 
year ending September 30, 2006, and for other purposes:

                  Conference Report (H. Rept. 109-305)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendments of the Senate to the bill (H.R. 
     2528) ``making appropriations for military quality of life 
     functions of the Department of Defense, military 
     construction, the Department of Veterans Affairs, and related 
     agencies for the fiscal year ending September 30, 2006, and 
     for other purposes'', having met, after full and free 
     conference, have agreed to recommend and do recommend to 
     their respective Houses as follows:
       That the House recede from its disagreement to the 
     amendment of the Senate to the text, and agree to the same 
     with an amendment, as follows:
       In lieu of the matter stricken and inserted by said 
     amendment, insert:
     That the following sums are appropriated, out of any money in 
     the Treasury not otherwise appropriated for military quality 
     of life functions of the Department of Defense, military 
     construction, the Department of Veterans Affairs, and related 
     agencies, for the fiscal year ending September 30, 2006, and 
     for other purposes, namely:

                                TITLE I

                         DEPARTMENT OF DEFENSE

                      Military Construction, Army


                    (including rescissions of funds)

       For acquisition, construction, installation, and equipment 
     of temporary or permanent public works, military 
     installations, facilities, and real property for the Army as 
     currently authorized by law, including personnel in the Army 
     Corps of Engineers and other personal services necessary for 
     the purposes of this appropriation, and for construction and 
     operation of facilities in support of the functions of the 
     Commander in Chief, $1,775,260,000, to remain available until 
     September 30, 2010: Provided, That of this amount, not to 
     exceed $170,021,000 shall be available for study, planning, 
     design, architect and engineer services, and host nation 
     support, as authorized by law, unless the Secretary of 
     Defense determines that additional obligations are necessary 
     for such purposes and notifies the Committees on 
     Appropriations of both Houses of Congress of the 
     determination and the reasons therefor: Provided further, 
     That of the funds provided, $50,000,000, to remain available 
     until September 30, 2007, shall be for overhead cover systems 
     to support force protection activities in Iraq: Provided 
     further, That of the funds appropriated for ``Military 
     Construction, Army'' under Public Law 107-249, $3,046,000 are 
     hereby rescinded: Provided further, That of the funds 
     appropriated for ``Military Construction, Army'' under Public 
     Law 108-324, $16,700,000 are hereby rescinded.

              Military Construction, Navy and Marine Corps


                    (including rescissions of funds)

       For acquisition, construction, installation, and equipment 
     of temporary or permanent public works, naval installations, 
     facilities, and real property for the Navy and Marine Corps 
     as currently authorized by law, including personnel in the 
     Naval Facilities Engineering Command and other personal 
     services necessary for the purposes of this appropriation, 
     $1,157,141,000, to remain available until September 30, 2010: 
     Provided, That of this amount, not to exceed $34,893,000 
     shall be available for study, planning, design, and architect 
     and engineer services, as authorized by law, unless the 
     Secretary of Defense determines that additional obligations 
     are necessary for such purposes and notifies the Committees 
     on Appropriations of both Houses of Congress of the 
     determination and the reasons therefor: Provided further, 
     That of the funds appropriated for ``Military Construction, 
     Navy and Marine Corps'' under Public Law 108-132, $5,767,000 
     are hereby rescinded: Provided further, That of the funds 
     appropriated for ``Military Construction, Navy and Marine 
     Corps'' under Public Law 108-324, $44,270,000 are hereby 
     rescinded.

                    Military Construction, Air Force


                    (including rescissions of funds)

       For acquisition, construction, installation, and equipment 
     of temporary or permanent public works, military 
     installations, facilities, and real property for the Air 
     Force as currently authorized by law, $1,288,530,000, to 
     remain available until September 30, 2010: Provided, That of 
     this amount, not to exceed $95,537,000 shall be available for 
     study, planning, design, and architect and engineer services, 
     as authorized by law, unless the Secretary of Defense 
     determines that additional obligations are necessary for such 
     purposes and notifies the Committees on Appropriations of 
     both Houses of Congress of the determination and the reasons 
     therefor: Provided further, That of the funds appropriated 
     for ``Military Construction, Air Force'' under Public Law 
     108-11, $13,000,000 are hereby rescinded: Provided further, 
     That of the funds appropriated for ``Military Construction, 
     Air

[[Page 26813]]

     Force'' under Public Law 108-132, $6,600,000 are hereby 
     rescinded: Provided further, That of the funds appropriated 
     for ``Military Construction, Air Force'' under Public Law 
     108-324, $9,500,000 are hereby rescinded: Provided further, 
     That of the funds appropriated for ``Military Construction, 
     Air Force'' under Public Law 109-13, $46,500,000 are hereby 
     rescinded.

                  Military Construction, Defense-Wide


              (including transfer and rescission of funds)

       For acquisition, construction, installation, and equipment 
     of temporary or permanent public works, installations, 
     facilities, and real property for activities and agencies of 
     the Department of Defense (other than the military 
     departments), as currently authorized by law, $1,008,855,000, 
     to remain available until September 30, 2010: Provided, That 
     such amounts of this appropriation as may be determined by 
     the Secretary of Defense may be transferred to such 
     appropriations of the Department of Defense available for 
     military construction or family housing as the Secretary may 
     designate, to be merged with and to be available for the same 
     purposes, and for the same time period, as the appropriation 
     or fund to which transferred: Provided further, That of the 
     amount appropriated, not to exceed $136,406,000 shall be 
     available for study, planning, design, and architect and 
     engineer services, as authorized by law, unless the Secretary 
     of Defense determines that additional obligations are 
     necessary for such purposes and notifies the Committees on 
     Appropriations of both Houses of Congress of the 
     determination and the reasons therefor: Provided further, 
     That of the funds appropriated for ``Military Construction, 
     Defense-Wide'' under Public Law 108-324, $20,000,000 are 
     hereby rescinded.

               Military Construction, Army National Guard

       For construction, acquisition, expansion, rehabilitation, 
     and conversion of facilities for the training and 
     administration of the Army National Guard, and contributions 
     therefor, as authorized by chapter 1803 of title 10, United 
     States Code, and Military Construction Authorization Acts, 
     $523,151,000, to remain available until September 30, 2010.

               Military Construction, Air National Guard


                    (including rescission of funds)

       For construction, acquisition, expansion, rehabilitation, 
     and conversion of facilities for the training and 
     administration of the Air National Guard, and contributions 
     therefor, as authorized by chapter 1803 of title 10, United 
     States Code, and Military Construction Authorization Acts, 
     $316,117,000, to remain available until September 30, 2010: 
     Provided, That of the funds appropriated for ``Military 
     Construction, Air National Guard'' under Public Law 108-324, 
     $13,700,000 are hereby rescinded.

                  Military Construction, Army Reserve

       For construction, acquisition, expansion, rehabilitation, 
     and conversion of facilities for the training and 
     administration of the Army Reserve as authorized by chapter 
     1803 of title 10, United States Code, and Military 
     Construction Authorization Acts, $152,569,000, to remain 
     available until September 30, 2010.

                  Military Construction, Naval Reserve


                    (including rescissions of funds)

       For construction, acquisition, expansion, rehabilitation, 
     and conversion of facilities for the training and 
     administration of the reserve components of the Navy and 
     Marine Corps as authorized by chapter 1803 of title 10, 
     United States Code, and Military Construction Authorization 
     Acts, $46,864,000, to remain available until September 30, 
     2010: Provided, That of the funds appropriated for ``Military 
     Construction, Naval Reserve'' under Public Law 108-132, 
     $5,368,000 are hereby rescinded: Provided further, That of 
     the funds appropriated for ``Military Construction, Naval 
     Reserve'' under Public Law 108-324, $11,192,000 are hereby 
     rescinded.

                Military Construction, Air Force Reserve


                    (including rescission of funds)

       For construction, acquisition, expansion, rehabilitation, 
     and conversion of facilities for the training and 
     administration of the Air Force Reserve as authorized by 
     chapter 1803 of title 10, United States Code, and Military 
     Construction Authorization Acts, $105,883,000, to remain 
     available until September 30, 2010: Provided, That of the 
     funds appropriated for ``Military Construction, Air Force 
     Reserve'' under Public Law 108-324, $13,815,000 are hereby 
     rescinded.

                   North Atlantic Treaty Organization

                      Security Investment Program


                    (including rescission of funds)

       For the United States share of the cost of the North 
     Atlantic Treaty Organization Security Investment Program for 
     the acquisition and construction of military facilities and 
     installations (including international military headquarters) 
     and for related expenses for the collective defense of the 
     North Atlantic Treaty Area as authorized by section 2806 of 
     title 10, United States Code, and Military Construction 
     Authorization Acts, $206,858,000, to remain available until 
     expended: Provided, That of the funds appropriated for 
     ``North Atlantic Treaty Organization Security Investment 
     Program'' under Public Law 108-324, $30,000,000 are hereby 
     rescinded.

                   Family Housing Construction, Army


                    (including rescission of funds)

       For expenses of family housing for the Army for 
     construction, including acquisition, replacement, addition, 
     expansion, extension, and alteration, as authorized by law, 
     $549,636,000, to remain available until September 30, 2010: 
     Provided, That of the funds appropriated for ``Family Housing 
     Construction, Army'' under Public Law 108-324, $16,000,000 
     are hereby rescinded.

             Family Housing Operation and Maintenance, Army

       For expenses of family housing for the Army for operation 
     and maintenance, including debt payment, leasing, minor 
     construction, principal and interest charges, and insurance 
     premiums, as authorized by law, $803,993,000.

           Family Housing Construction, Navy and Marine Corps

       For expenses of family housing for the Navy and Marine 
     Corps for construction, including acquisition, replacement, 
     addition, expansion, extension, and alteration, as authorized 
     by law, $218,942,000, to remain available until September 30, 
     2010.

    Family Housing Operation and Maintenance, Navy and Marine Corps

       For expenses of family housing for the Navy and Marine 
     Corps for operation and maintenance, including debt payment, 
     leasing, minor construction, principal and interest charges, 
     and insurance premiums, as authorized by law, $588,660,000.

                 Family Housing Construction, Air Force


                    (including rescissions of funds)

       For expenses of family housing for the Air Force for 
     construction, including acquisition, replacement, addition, 
     expansion, extension, and alteration, as authorized by law, 
     $1,101,887,000, to remain available until September 30, 2010: 
     Provided, That of the funds appropriated for ``Family Housing 
     Construciton, Air Force'' under Public Law 107-249, 
     $7,700,000 are hereby rescinded: Provided further, That of 
     the funds appropriated for ``Family Housing Construction, Air 
     Force'' under Public Law 108-132, $4,500,000 are hereby 
     rescinded: Provided further, That of the funds appropriated 
     for ``Family Housing Construction, Air Force'' under Public 
     Law 108-324, $31,700,000 are hereby rescinded.

          Family Housing Operation and Maintenance, Air Force

       For expenses of family housing for the Air Force for 
     operation and maintenance, including debt payment, leasing, 
     minor construction, principal and interest charges, and 
     insurance premiums, as authorized by law, $766,939,000.

         Family Housing Operation and Maintenance, Defense-Wide

       For expenses of family housing for the activities and 
     agencies of the Department of Defense (other than the 
     military departments) for operation and maintenance, leasing, 
     and minor construction, as authorized by law, $46,391,000.

         Department of Defense Family Housing Improvement Fund

       For the Department of Defense Family Housing Improvement 
     Fund, $2,500,000, to remain available until expended, for 
     family housing initiatives undertaken pursuant to section 
     2883 of title 10, United States Code, providing alternative 
     means of acquiring and improving military family housing and 
     supporting facilities.

            Department of Defense Base Closure Account 1990

       For deposit into the Department of Defense Base Closure 
     Account 1990, established by section 2906(a)(1) of the 
     Defense Base Closure and Realignment Act of 1990 (10 U.S.C. 
     2687 note), $254,827,000, to remain available until expended.

            Department of Defense Base Closure Account 2005

       For deposit into the Department of Defense Base Closure 
     Account 2005, established by section 2906A(a)(1) of the 
     Defense Base Closure and Realignment Act of 1990 (10 U.S.C. 
     2687 note), $1,504,466,000, to remain available until 
     expended: Provided, That these funds may not be obligated or 
     expended until the Secretary of Defense submits to the 
     congressional defense committees and receives approval of a 
     report describing the specific programs, projects, and 
     activities for which such funds are to be obligated.

                       Administrative Provisions

       Sec. 101. None of the funds made available in this title 
     shall be expended for payments under a cost-plus-a-fixed-fee 
     contract for construction, where cost estimates exceed 
     $25,000, to be performed within the United States, except 
     Alaska, without the specific approval in writing of the 
     Secretary of Defense setting forth the reasons therefor.
       Sec. 102. Funds made available in this title for 
     construction shall be available for hire of passenger motor 
     vehicles.
       Sec. 103. Funds made available in this title for 
     construction may be used for advances to the Federal Highway 
     Administration, Department of Transportation, for the 
     construction of access roads as authorized by section 210 of 
     title 23, United States Code, when projects authorized 
     therein are certified as important to the national defense by 
     the Secretary of Defense.
       Sec. 104. None of the funds made available in this title 
     may be used to begin construction of new bases in the United 
     States for which specific appropriations have not been made.
       Sec. 105. None of the funds made available in this title 
     shall be used for purchase of land or land easements in 
     excess of 100 percent of the value as determined by the Army 
     Corps of Engineers or the Naval Facilities Engineering 
     Command, except: (1) where there is a determination of value 
     by a Federal court; (2) purchases negotiated by the Attorney 
     General or the designee of the Attorney General; (3) where 
     the estimated value is less than $25,000; or (4) as otherwise 
     determined by the Secretary of Defense to be in the public 
     interest.

[[Page 26814]]

       Sec. 106. None of the funds made available in this title 
     shall be used to: (1) acquire land; (2) provide for site 
     preparation; or (3) install utilities for any family housing, 
     except housing for which funds have been made available in 
     annual Acts making appropriations for military construction.
       Sec. 107. None of the funds made available in this title 
     for minor construction may be used to transfer or relocate 
     any activity from one base or installation to another, 
     without prior notification to the Committees on 
     Appropriations of both Houses of Congress.
       Sec. 108. None of the funds made available in this title 
     may be used for the procurement of steel for any construction 
     project or activity for which American steel producers, 
     fabricators, and manufacturers have been denied the 
     opportunity to compete for such steel procurement.
       Sec. 109. None of the funds available to the Department of 
     Defense for military construction or family housing during 
     the current fiscal year may be used to pay real property 
     taxes in any foreign nation.
       Sec. 110. None of the funds made available in this title 
     may be used to initiate a new installation overseas without 
     prior notification to the Committees on Appropriations of 
     both Houses of Congress.
       Sec. 111. None of the funds made available in this title 
     may be obligated for architect and engineer contracts 
     estimated by the Government to exceed $500,000 for projects 
     to be accomplished in Japan, in any North Atlantic Treaty 
     Organization member country, or in countries bordering the 
     Arabian Sea, unless such contracts are awarded to United 
     States firms or United States firms in joint venture with 
     host nation firms.
       Sec. 112. None of the funds made available in this title 
     for military construction in the United States territories 
     and possessions in the Pacific and on Kwajalein Atoll, or in 
     countries bordering the Arabian Sea, may be used to award any 
     contract estimated by the Government to exceed $1,000,000 to 
     a foreign contractor: Provided, That this section shall not 
     be applicable to contract awards for which the lowest 
     responsive and responsible bid of a United States contractor 
     exceeds the lowest responsive and responsible bid of a 
     foreign contractor by greater than 20 percent: Provided 
     further, That this section shall not apply to contract awards 
     for military construction on Kwajalein Atoll for which the 
     lowest responsive and responsible bid is submitted by a 
     Marshallese contractor.
       Sec. 113. The Secretary of Defense is to inform the 
     appropriate committees of both Houses of Congress, including 
     the Committees on Appropriations, of the plans and scope of 
     any proposed military exercise involving United States 
     personnel 30 days prior to its occurring, if amounts expended 
     for construction, either temporary or permanent, are 
     anticipated to exceed $100,000.
       Sec. 114. Not more than 20 percent of the funds made 
     available in this title which are limited for obligation 
     during the current fiscal year shall be obligated during the 
     last two months of the fiscal year.


                          (transfer of funds)

       Sec. 115. Funds appropriated to the Department of Defense 
     for construction in prior years shall be available for 
     construction authorized for each such military department by 
     the authorizations enacted into law during the current 
     session of Congress.
       Sec. 116. For military construction or family housing 
     projects that are being completed with funds otherwise 
     expired or lapsed for obligation, expired or lapsed funds may 
     be used to pay the cost of associated supervision, 
     inspection, overhead, engineering and design on those 
     projects and on subsequent claims, if any.
       Sec. 117. Notwithstanding any other provision of law, any 
     funds made available to a military department or defense 
     agency for the construction of military projects may be 
     obligated for a military construction project or contract, or 
     for any portion of such a project or contract, at any time 
     before the end of the fourth fiscal year after the fiscal 
     year for which funds for such project were made available, if 
     the funds obligated for such project: (1) are obligated from 
     funds available for military construction projects; and (2) 
     do not exceed the amount appropriated for such project, plus 
     any amount by which the cost of such project is increased 
     pursuant to law.
        Sec. 118. The Secretary of Defense is to provide the 
     Committees on Appropriations of both Houses of Congress with 
     an annual report by February 15, containing details of the 
     specific actions proposed to be taken by the Department of 
     Defense during the current fiscal year to encourage other 
     member nations of the North Atlantic Treaty Organization, 
     Japan, Korea, and United States allies bordering the Arabian 
     Sea to assume a greater share of the common defense burden of 
     such nations and the United States.


                          (transfer of funds)

       Sec. 119. In addition to any other transfer authority 
     available to the Department of Defense, proceeds deposited to 
     the Department of Defense Base Closure Account established by 
     section 207(a)(1) of the Defense Authorization Amendments and 
     Base Closure and Realignment Act (10 U.S.C. 2687 note) 
     pursuant to section 207(a)(2)(C) of such Act, may be 
     transferred to the account established by section 2906(a)(1) 
     of the Defense Base Closure and Realignment Act of 1990 (10 
     U.S.C. 2687 note), to be merged with, and to be available for 
     the same purposes and the same time period as that account.


                          (transfer of funds)

       Sec. 120. Subject to 30 days prior notification to the 
     Committees on Appropriations of both Houses of Congress, such 
     additional amounts as may be determined by the Secretary of 
     Defense may be transferred to: (1) the Department of Defense 
     Family Housing Improvement Fund from amounts appropriated for 
     construction in ``Family Housing'' accounts, to be merged 
     with and to be available for the same purposes and for the 
     same period of time as amounts appropriated directly to the 
     Fund; or (2) the Department of Defense Military Unaccompanied 
     Housing Improvement Fund from amounts appropriated for 
     construction of military unaccompanied housing in ``Military 
     Construction'' accounts, to be merged with and to be 
     available for the same purposes and for the same period of 
     time as amounts appropriated directly to the Fund: Provided, 
     That appropriations made available to the Funds shall be 
     available to cover the costs, as defined in section 502(5) of 
     the Congressional Budget Act of 1974, of direct loans or loan 
     guarantees issued by the Department of Defense pursuant to 
     the provisions of subchapter IV of chapter 169 of title 10, 
     United States Code, pertaining to alternative means of 
     acquiring and improving military family housing, military 
     unaccompanied housing, and supporting facilities.
       Sec. 121. None of the funds made available in this title 
     may be obligated for Partnership for Peace Programs in the 
     New Independent States of the former Soviet Union.
       Sec. 122. (a) Not later than 60 days before issuing any 
     solicitation for a contract with the private sector for 
     military family housing the Secretary of the military 
     department concerned shall submit to the Committees on 
     Appropriations of both Houses of Congress the notice 
     described in subsection (b).
       (b)(1) A notice referred to in subsection (a) is a notice 
     of any guarantee (including the making of mortgage or rental 
     payments) proposed to be made by the Secretary to the private 
     party under the contract involved in the event of--
       (A) the closure or realignment of the installation for 
     which housing is provided under the contract;
       (B) a reduction in force of units stationed at such 
     installation; or
       (C) the extended deployment overseas of units stationed at 
     such installation.
       (2) Each notice under this subsection shall specify the 
     nature of the guarantee involved and assess the extent and 
     likelihood, if any, of the liability of the Federal 
     Government with respect to the guarantee.


                          (transfer of funds)

       Sec. 123. In addition to any other transfer authority 
     available to the Department of Defense, amounts may be 
     transferred from the account established by section 
     2906(a)(1) of the Defense Base Closure and Realignment Act of 
     1990 (10 U.S.C. 2687 note), to the fund established by 
     section 1013(d) of the Demonstration Cities and Metropolitan 
     Development Act of 1966 (42 U.S.C. 3374) to pay for expenses 
     associated with the Homeowners Assistance Program. Any 
     amounts transferred shall be merged with and be available for 
     the same purposes and for the same time period as the fund to 
     which transferred.
       Sec. 124. Notwithstanding this or any other provision of 
     law, funds made available in this title for operation and 
     maintenance of family housing shall be the exclusive source 
     of funds for repair and maintenance of all family housing 
     units, including general or flag officer quarters: Provided, 
     That not more than $35,000 per unit may be spent annually for 
     the maintenance and repair of any general or flag officer 
     quarters without 30 days prior notification to the Committees 
     on Appropriations of both Houses of Congress, except that an 
     after-the-fact notification shall be submitted if the 
     limitation is exceeded solely due to costs associated with 
     environmental remediation that could not be reasonably 
     anticipated at the time of the budget submission: Provided 
     further, That the Under Secretary of Defense (Comptroller) is 
     to report annually to the Committees on Appropriations of 
     both Houses of Congress all operation and maintenance 
     expenditures for each individual general or flag officer 
     quarters for the prior fiscal year.
       Sec. 125. None of the funds made available in this title 
     under the heading ``North Atlantic Treaty Organization 
     Security Investment Program'', and no funds appropriated for 
     any fiscal year before fiscal year 2006 for that program that 
     remain available for obligation, may be obligated or expended 
     for the conduct of studies of missile defense.
       Sec. 126. Whenever the Secretary of Defense or any other 
     official of the Department of Defense is requested by the 
     subcommittee on Military Quality of Life and Veterans 
     Affairs, and Related Agencies of the Committee on 
     Appropriations of the House of Representatives or the 
     subcommittee on Military Construction and Veterans Affairs, 
     and Related Agencies of the Committee on Appropriations of 
     the Senate to respond to a question or inquiry submitted by 
     the chairman or another member of that subcommittee pursuant 
     to a subcommittee hearing or other activity, the Secretary 
     (or other official) shall respond to the request, in writing, 
     within 21 days of the date on which the request is 
     transmitted to the Secretary (or other official).
       Sec. 127. Amounts contained in the Ford Island Improvement 
     Account established by subsection (h) of section 2814 of 
     title 10, United States Code, are appropriated and shall be 
     available until expended for the purposes specified in 
     subsection (i)(1) of such section or until transferred 
     pursuant to subsection (i)(3) of such section.


                          (Transfer of Funds)

       Sec. 128. None of the funds made available in this title, 
     or in any Act making appropriations

[[Page 26815]]

     for military construction which remain available for 
     obligation, may be obligated or expended to carry out a 
     military construction, land acquisition, or family housing 
     project at or for a military installation approved for 
     closure, or at a military installation for the purposes of 
     supporting a function that has been approved for realignment 
     to another installation, in 2005 under the Defense Base 
     Closure and Realignment Act of 1990 (part A of title XXIX of 
     Public Law 101-510; 10 U.S.C. 2687 note), unless such a 
     project at a military installation approved for realignment 
     will support a new mission or function that is planned for 
     that installation, or unless the Secretary of Defense 
     certifies that the cost to the United States of carrying out 
     such project would be less than the cost to the United States 
     of cancelling such project, or if the project is at an active 
     component base that shall be established as an enclave or in 
     the case of projects having multi-agency use, that another 
     Government agency has indicated it will assume ownership of 
     the completed project. The Secretary of Defense may not 
     transfer funds made available as a result of this limitation 
     from any military construction project, land acquisition, or 
     family housing project to another account or use such funds 
     for another purpose or project without the prior approval of 
     the Committees on Appropriations of both Houses of Congress.
       Sec. 129. (a) Of the amount in the Department of Defense 
     Base Closure Account 1990 under section 2906(a)(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) that 
     is derived from the disposal of Department of the Navy 
     property under that Act, not less than $300,000,000 shall be 
     available exclusively to the Department of the Navy for the 
     costs of environmental restoration and property management 
     and disposal of property at installations of the Department 
     of the Navy closed or realigned under that Act.
       (b) The amount available under subsection (a) shall remain 
     available for the costs specified in that subsection until 
     expended.
       (c) Not later than 45 days after the date of enactment of 
     this Act, the Secretary of the Navy shall submit to the 
     Committees on Appropriations of both Houses of Congress, a 
     report containing a plan for the use of the funds made 
     available under subsection (a) for environmental restoration, 
     and for property management and disposal, at covered Navy 
     installations, including specific sites and work to be 
     accomplished at those sites. None of the funds made available 
     under subsection (a) shall be obligated until both of such 
     committees approve such report or the expiration of the 30-
     day period beginning on the date such committees receive such 
     report, whichever occurs earlier.
       Sec. 130. Not later than 45 days after the date of the 
     enactment of this Act, the Secretary of the Air Force shall 
     submit to the Committees on Appropriations of both Houses of 
     Congress, a report containing a housing plan for Spangdahlem 
     Air Base, Germany, as outlined in the Statement of Managers 
     accompanying the Conference report for H.R. 2528 of the 109th 
     Congress. None of the funds made available in this title 
     shall be used for the construction of family housing at 
     Spangdahlem Air Base, Germany, until both of such committees 
     approve such report or the expiration of the 30-day period 
     beginning on the date such committees receive such report, 
     whichever occurs earlier.

                                TITLE II

                     DEPARTMENT OF VETERANS AFFAIRS

                    Veterans Benefits Administration


                       Compensation and Pensions

                     (including transfer of funds)

       For the payment of compensation benefits to or on behalf of 
     veterans and a pilot program for disability examinations as 
     authorized by law (38 U.S.C. 107, chapters 11, 13, 18, 51, 
     53, 55, and 61); pension benefits to or on behalf of veterans 
     as authorized by law (38 U.S.C. chapters 15, 51, 53, 55, and 
     61; 92 Stat. 2508); and burial benefits, the Reinstated 
     Entitlement Program for Survivors, emergency and other 
     officers' retirement pay, adjusted-service credits and 
     certificates, payment of premiums due on commercial life 
     insurance policies guaranteed under the provisions of title 
     IV of the Servicemembers Civil Relief Act (50 U.S.C. App. 540 
     et seq.) and for other benefits as authorized by law (38 
     U.S.C. 107, 1312, 1977, and 2106, chapters 23, 51, 53, 55, 
     and 61; 43 Stat. 122, 123; 45 Stat. 735; 76 Stat. 1198), 
     $33,897,787,000, to remain available until expended: 
     Provided, That not to exceed $23,491,000 of the amount 
     appropriated under this heading shall be reimbursed to 
     ``General operating expenses'' and ``Medical administration'' 
     for necessary expenses in implementing the provisions of 
     chapters 51, 53, and 55 of title 38, United States Code, the 
     funding source for which is specifically provided as the 
     ``Compensation and pensions'' appropriation: Provided 
     further, That such sums as may be earned on an actual 
     qualifying patient basis, shall be reimbursed to ``Medical 
     care collections fund'' to augment the funding of individual 
     medical facilities for nursing home care provided to 
     pensioners as authorized.


                         Readjustment Benefits

       For the payment of readjustment and rehabilitation benefits 
     to or on behalf of veterans as authorized by law (38 U.S.C. 
     chapters 21, 30, 31, 34, 35, 36, 39, 51, 53, 55, and 61), 
     $3,309,234,000, to remain available until expended: Provided, 
     That expenses for rehabilitation program services and 
     assistance which the Secretary is authorized to provide under 
     section 3104(a) of title 38 United States Code, other than 
     under subsection (a)(1), (2), (5), and (11) of that section, 
     shall be charged to this account.


                   VETERANS INSURANCE AND INDEMNITIES

       For military and naval insurance, national service life 
     insurance, servicemen's indemnities, service-disabled 
     veterans insurance, and veterans mortgage life insurance as 
     authorized by title 38, United States Code, chapter 19; 70 
     Stat. 887; 72 Stat. 487, $45,907,000, to remain available 
     until expended.


         VETERANS HOUSING BENEFIT PROGRAM FUND PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       For the cost of direct and guaranteed loans, such sums as 
     may be necessary to carry out the program, as authorized by 
     chapter 37 of title 38, United States Code: Provided, That 
     such costs, including the cost of modifying such loans, shall 
     be as defined in section 502 of the Congressional Budget Act 
     of 1974: Provided further, That during fiscal year 2006, 
     within the resources available, not to exceed $500,000 in 
     gross obligations for direct loans are authorized for 
     specially adapted housing loans.
       In addition, for administrative expenses to carry out the 
     direct and guaranteed loan programs, $153,575,000, which may 
     be transferred to and merged with the appropriation for 
     ``General operating expenses''.


            VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       For the cost of direct loans, $53,000, as authorized by 
     chapter 31 of title 38, United States Code: Provided, That 
     such costs, including the cost of modifying such loans, shall 
     be as defined in section 502 of the Congressional Budget Act 
     of 1974: Provided further, That funds made available under 
     this heading are available to subsidize gross obligations for 
     the principal amount of direct loans not to exceed 
     $4,242,000.
       In addition, for administrative expenses necessary to carry 
     out the direct loan program, $305,000, which may be 
     transferred to and merged with the appropriation for 
     ``General operating expenses''.


          NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       For administrative expenses to carry out the direct loan 
     program authorized by subchapter V of chapter 37 of title 38, 
     United States Code, $580,000, which may be transferred to and 
     merged with the appropriation for ``General operating 
     expenses'': Provided, That no new loans in excess of 
     $30,000,000 may be made in fiscal year 2006.


  GUARANTEED TRANSITIONAL HOUSING LOANS FOR HOMELESS VETERANS PROGRAM 
                                ACCOUNT

       For the administrative expenses to carry out the guaranteed 
     transitional housing loan program authorized by subchapter VI 
     of chapter 37 of title 38, United States Code, not to exceed 
     $750,000 of the amounts appropriated by this Act for 
     ``General operating expenses'' and ``Medical administration'' 
     may be expended.

                     Veterans Health Administration


                            Medical Services

                     (INCLUDING TRANSFER OF FUNDS)

       For necessary expenses for furnishing, as authorized by 
     law, inpatient and outpatient care and treatment to 
     beneficiaries of the Department of Veterans Affairs and 
     veterans described in section 1705(a) of title 38, United 
     States Code, including care and treatment in facilities not 
     under the jurisdiction of the Department, and including 
     medical supplies and equipment and salaries and expenses of 
     health-care employees hired under title 38, United States 
     Code, and aid to State homes as authorized by section 1741 of 
     title 38, United States Code; $22,547,141,000, plus 
     reimbursements, of which not less than $2,200,000,000 shall 
     be expended for specialty mental health care: Provided, That 
     $1,225,000,000 of the amount provided under this heading is 
     designated by the Congress as an emergency requirement 
     pursuant to section 402 of H. Con. Res. 95 (109th Congress), 
     the concurrent resolution on the budget for fiscal year 2006; 
     Provided further, That such $1,225,000,000 shall be available 
     only if an official budget request is transmitted by the 
     President to the Congress that revises the President's budget 
     amendment of July 14, 2005, to designate the entire 
     $1,225,000,000 as an emergency requirement: Provided further, 
     That of the funds made available under this heading, not to 
     exceed $1,100,000,000 shall be available until September 30, 
     2007: Provided further, That, notwithstanding any other 
     provision of law, the Secretary of Veterans Affairs shall 
     establish a priority for treatment for veterans who are 
     service-connected disabled, lower income, or have special 
     needs: Provided further, That, notwithstanding any other 
     provision of law, the Secretary of Veterans Affairs shall 
     give priority funding for the provision of basic medical 
     benefits to veterans in enrollment priority groups 1 through 
     6: Provided further, That, notwithstanding any other 
     provision of law, the Secretary of Veterans Affairs may 
     authorize the dispensing of prescription drugs from Veterans 
     Health Administration facilities to enrolled veterans with 
     privately written prescriptions based on requirements 
     established by the Secretary: Provided further, That the 
     implementation of the program described in the previous 
     proviso shall incur no additional cost to the Department of 
     Veterans Affairs: Provided further, That for the Department 
     of Defense/Department of Veterans Affairs Health Care Sharing 
     Incentive Fund, as authorized by section 721 of Public Law 
     107-314, a minimum of $15,000,000, to remain available until 
     expended, for any purpose authorized by section 8111 of title 
     38, United States Code.

[[Page 26816]]




                         Medical Administration

       For necessary expenses in the administration of the 
     medical, hospital, nursing home, domiciliary, construction, 
     supply, and research activities, as authorized by law; 
     administrative expenses in support of capital policy 
     activities; uniforms or allowances therefor, as authorized by 
     sections 5901-5902 of title 5, United States Code; and 
     administrative and legal expenses of the Department for 
     collecting and recovering amounts owed the Department as 
     authorized under chapter 17 of title 38, United States Code, 
     and the Federal Medical Care Recovery Act (42 U.S.C. 2651 et 
     seq.); $2,858,442,000, plus reimbursements, of which 
     $250,000,000 shall be available until September 30, 2007.


                           Medical Facilities

       For necessary expenses for the maintenance and operation of 
     hospitals, nursing homes, and domiciliary facilities and 
     other necessary facilities for the Veterans Health 
     Administration; for administrative expenses in support of 
     planning, design, project management, real property 
     acquisition and disposition, construction and renovation of 
     any facility under the jurisdiction or for the use of the 
     Department; for oversight, engineering and architectural 
     activities not charged to project costs; for repairing, 
     altering, improving or providing facilities in the several 
     hospitals and homes under the jurisdiction of the Department, 
     not otherwise provided for, either by contract or by the hire 
     of temporary employees and purchase of materials; for leases 
     of facilities; and for laundry and food services, 
     $3,297,669,000, plus reimbursements, of which $250,000,000 
     shall be available until September 30, 2007.


                    Medical and Prosthetic Research

       For necessary expenses in carrying out programs of medical 
     and prosthetic research and development as authorized by 
     chapter 73 of title 38, United States Code, to remain 
     available until September 30, 2007, $412,000,000, plus 
     reimbursements, of which not less than $15,000,000 shall be 
     used for Gulf War Illness research.

                      Departmental Administration


                       general operating expenses

       For necessary operating expenses of the Department of 
     Veterans Affairs, not otherwise provided for, including 
     administrative expenses in support of Department-Wide capital 
     planning, management and policy activities, uniforms or 
     allowances therefor; not to exceed $25,000 for official 
     reception and representation expenses; hire of passenger 
     motor vehicles; and reimbursement of the General Services 
     Administration for security guard services, and the 
     Department of Defense for the cost of overseas employee mail, 
     $1,410,520,000: Provided, That expenses for services and 
     assistance authorized under paragraphs (1), (2), (5), and 
     (11) of section 3104(a) of title 38, United States Code, that 
     the Secretary of Veterans Affairs determines are necessary to 
     enable entitled veterans: (1) to the maximum extent feasible, 
     to become employable and to obtain and maintain suitable 
     employment; or (2) to achieve maximum independence in daily 
     living, shall be charged to this account: Provided further, 
     That the Veterans Benefits Administration shall be funded at 
     not less than $1,053,938,000: Provided further, That of the 
     funds made available under this heading, not to exceed 
     $70,000,000 shall be available for obligation until September 
     30, 2007: Provided further, That from the funds made 
     available under this heading, the Veterans Benefits 
     Administration may purchase up to two passenger motor 
     vehicles for use in operations of that Administration in 
     Manila, Philippines.


                     INFORMATION TECHNOLOGY SYSTEMS

       For necessary expenses for information technology systems 
     and telecommunications support, including developmental 
     information systems and operational information systems; for 
     the capital asset acquisition of information technology 
     systems, including management and related contractual costs 
     of said acquisitions, including contractual costs associated 
     with operations authorized by chapter 3109 of title 5, United 
     States Code, $1,213,820,000, to remain available until 
     September 30, 2007: Provided, That none of these funds may be 
     obligated until the Department of Veterans Affairs submits to 
     the Committees on Appropriations of both Houses of Congress, 
     and such Committees approve, a plan for expenditure that: (1) 
     meets the capital planning and investment control review 
     requirements established by the Office of Management and 
     Budget; (2) complies with the Department of Veterans Affairs 
     enterprise architecture; (3) conforms with an established 
     enterprise life cycle methodology; and (4) complies with the 
     acquisition rules, requirements, guidelines, and systems 
     acquisition management practices of the Federal Government: 
     Provided further, That within 30 days of enactment of this 
     Act, the Secretary of Veterans Affairs shall submit to the 
     Committees on Appropriations of both Houses of Congress a 
     reprogramming base letter which provides, by project, the 
     costs included in this appropriation.


                    national cemetery administration

       For necessary expenses of the National Cemetery 
     Administration for operations and maintenance, not otherwise 
     provided for, including uniforms or allowances therefor; 
     cemeterial expenses as authorized by law; purchase of one 
     passenger motor vehicle for use in cemeterial operations; and 
     hire of passenger motor vehicles, $156,447,000: Provided, 
     That of the funds made available under this heading, not to 
     exceed $7,800,000 shall be available until September 30, 
     2007.


                      Office of Inspector General

       For necessary expenses of the Office of Inspector General 
     in carrying out the provisions of the Inspector General Act 
     of 1978, $70,174,000, to remain available until September 30, 
     2007.


                      Construction, Major Projects

       For constructing, altering, extending and improving any of 
     the facilities including parking projects under the 
     jurisdiction or for the use of the Department of Veterans 
     Affairs, or for any of the purposes set forth in sections 
     316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, and 8122 
     of title 38, United States Code, including planning, 
     architectural and engineering services, construction 
     management services, maintenance or guarantee period services 
     costs associated with equipment guarantees provided under the 
     project, services of claims analysts, offsite utility and 
     storm drainage system construction costs, and site 
     acquisition, where the estimated cost of a project is more 
     than the amount set forth in section 8104(a)(3)(A) of title 
     38, United States Code, or where funds for a project were 
     made available in a previous major project appropriation, 
     $607,100,000, to remain available until expended, of which 
     $532,010,000 shall be for Capital Asset Realignment for 
     Enhanced Services (CARES) activities; and of which $2,500,000 
     shall be to make reimbursements as provided in section 13 of 
     the Contract Disputes Act of 1978 (41 U.S.C. 612) for claims 
     paid for contract disputes: Provided, That except for advance 
     planning activities, including needs assessments which may or 
     may not lead to capital investments, and other capital asset 
     management related activities, such as portfolio development 
     and management activities, and investment strategy studies 
     funded through the advance planning fund and the planning and 
     design activities funded through the design fund and CARES 
     funds, including needs assessments which may or may not lead 
     to capital investments, none of the funds appropriated under 
     this heading shall be used for any project which has not been 
     approved by the Congress in the budgetary process: Provided 
     further, That funds provided in this appropriation for fiscal 
     year 2006, for each approved project (except those for CARES 
     activities referenced above) shall be obligated: (1) by the 
     awarding of a construction documents contract by September 
     30, 2006; and (2) by the awarding of a construction contract 
     by September 30, 2007: Provided further, That the Secretary 
     of Veterans Affairs shall promptly report in writing to the 
     Committees on Appropriations of both Houses of Congress any 
     approved major construction project in which obligations are 
     not incurred within the time limitations established above: 
     Provided further, That none of the funds in this or any other 
     Act may be used to reduce the mission, services or 
     infrastructure, including land, of the 18 facilities on the 
     Capital Asset Realignment for Enhanced Services (CARES) list 
     requiring further study as specified by the Secretary of 
     Veterans Affairs without prior approval of the Committees on 
     Appropriations of both Houses of Congress.


                      Construction, Minor Projects

       For constructing, altering, extending, and improving any of 
     the facilities including parking projects under the 
     jurisdiction or for the use of the Department of Veterans 
     Affairs, including planning and assessments of needs which 
     may lead to capital investments, architectural and 
     engineering services, maintenance or guarantee period 
     services costs associated with equipment guarantees provided 
     under the project, services of claims analysts, offsite 
     utility and storm drainage system construction costs, and 
     site acquisition, or for any of the purposes set forth in 
     sections 316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, 
     8122, and 8162 of title 38, United States Code, where the 
     estimated cost of a project is equal to or less than the 
     amount set forth in section 8104(a)(3)(A) of title 38, United 
     States Code, $198,937,000, to remain available until 
     expended, along with unobligated balances of previous 
     ``Construction, minor projects'' appropriations which are 
     hereby made available for any project where the estimated 
     cost is equal to or less than the amount set forth in such 
     section, of which $155,000,000 shall be for Capital Asset 
     Realignment for Enhanced Services (CARES) activities: 
     Provided, That funds in this account shall be available for: 
     (1) repairs to any of the nonmedical facilities under the 
     jurisdiction or for the use of the Department which are 
     necessary because of loss or damage caused by any natural 
     disaster or catastrophe; and (2) temporary measures necessary 
     to prevent or to minimize further loss by such causes.


       GRANTS FOR CONSTRUCTION OF STATE EXTENDED CARE FACILITIES

       For grants to assist States to acquire or construct State 
     nursing home and domiciliary facilities and to remodel, 
     modify or alter existing hospital, nursing home and 
     domiciliary facilities in State homes, for furnishing care to 
     veterans as authorized by sections 8131-8137 of title 38, 
     United States Code, $85,000,000, to remain available until 
     expended.


        GRANTS FOR THE CONSTRUCTION OF STATE VETERANS CEMETERIES

       For grants to aid States in establishing, expanding, or 
     improving State veterans cemeteries as authorized by section 
     2408 of title 38, United States Code, $32,000,000, to remain 
     available until expended.

                       Administrative Provisions


                     (including transfer of funds)

       Sec. 201. Any appropriation for fiscal year 2006 for 
     ``Compensation and pensions'', ``Readjustment benefits'', and 
     ``Veterans insurance and indemnities'' may be transferred as 
     necessary to any other of the mentioned appropriations: 
     Provided, That before a transfer may take place, the 
     Secretary of Veterans Affairs shall request from the 
     Committees on Appropriations of

[[Page 26817]]

     both Houses of Congress the authority to make the transfer 
     and an approval is issued, or absent a response, a period of 
     30 days has elapsed.
       Sec. 202. Appropriations available in this title for 
     salaries and expenses shall be available for services 
     authorized by section 3109 of title 5, United States Code, 
     hire of passenger motor vehicles; lease of a facility or land 
     or both; and uniforms or allowances therefore, as authorized 
     by sections 5901-5902 of title 5, United States Code.
       Sec. 203. No appropriations in this title (except the 
     appropriations for ``Construction, major projects'', and 
     ``Construction, minor projects'') shall be available for the 
     purchase of any site for or toward the construction of any 
     new hospital or home.
       Sec. 204. No appropriations in this title shall be 
     available for hospitalization or examination of any persons 
     (except beneficiaries entitled under the laws bestowing such 
     benefits to veterans, and persons receiving such treatment 
     under sections 7901-7904 of title 5, United States Code or 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5121 et seq.)), unless 
     reimbursement of cost is made to the ``Medical services'' 
     account at such rates as may be fixed by the Secretary of 
     Veterans Affairs.
       Sec. 205. Appropriations available in this title for 
     ``Compensation and pensions'', ``Readjustment benefits'', and 
     ``Veterans insurance and indemnities'' shall be available for 
     payment of prior year accrued obligations required to be 
     recorded by law against the corresponding prior year accounts 
     within the last quarter of fiscal year 2005.
       Sec. 206. Appropriations available in this title shall be 
     available to pay prior year obligations of corresponding 
     prior year appropriations accounts resulting from sections 
     3328(a), 3334, and 3712(a) of title 31, United States Code, 
     except that if such obligations are from trust fund accounts 
     they shall be payable from ``Compensation and pensions''.
       Sec. 207. Notwithstanding any other provision of law, 
     during fiscal year 2006, the Secretary of Veterans Affairs 
     shall, from the National Service Life Insurance Fund (38 
     U.S.C. 1920), the Veterans' Special Life Insurance Fund (38 
     U.S.C. 1923), and the United States Government Life Insurance 
     Fund (38 U.S.C. 1955), reimburse the ``General operating 
     expenses'' account for the cost of administration of the 
     insurance programs financed through those accounts: Provided, 
     That reimbursement shall be made only from the surplus 
     earnings accumulated in an insurance program in fiscal year 
     2006 that are available for dividends in that program after 
     claims have been paid and actuarially determined reserves 
     have been set aside: Provided further, That if the cost of 
     administration of an insurance program exceeds the amount of 
     surplus earnings accumulated in that program, reimbursement 
     shall be made only to the extent of such surplus earnings: 
     Provided further, That the Secretary shall determine the cost 
     of administration for fiscal year 2006 which is properly 
     allocable to the provision of each insurance program and to 
     the provision of any total disability income insurance 
     included in such insurance program.
       Sec. 208. The paragraph under the heading ``Franchise 
     Fund'' in title I of Public Law 104-204 (31 U.S.C. 501 note) 
     is amended--
       (1) by striking ``franchise fund pilot, as authorized by 
     section 403 of Public Law 103-356, to be available as 
     provided in such section'' and inserting ``Department of 
     Veterans Affairs franchise fund, to be available without 
     fiscal year limitation''; and
       (2) by striking the final proviso.
       Sec. 209. Amounts deducted from enhanced-use lease proceeds 
     to reimburse an account for expenses incurred by that account 
     during a prior fiscal year for providing enhanced-use lease 
     services, may be obligated during the fiscal year in which 
     the proceeds are received.
       Sec. 210. Funds available in this title or funds for 
     salaries and other administrative expenses shall also be 
     available to reimburse the Office of Resolution Management 
     and the Office of Employment Discrimination Complaint 
     Adjudication for all services provided at rates which will 
     recover actual costs but not exceed $29,758,000 for the 
     Office of Resolution Management and $3,059,000 for the Office 
     of Employment and Discrimination Complaint Adjudication: 
     Provided, That payments may be made in advance for services 
     to be furnished based on estimated costs: Provided further, 
     That amounts received shall be credited to ``General 
     operating expenses'' for use by the office that provided the 
     service.
       Sec. 211. No appropriations in this title shall be 
     available to enter into any new lease of real property if the 
     estimated annual rental is more than $300,000 unless the 
     Secretary submits a report which the Committees on 
     Appropriations of both Houses of Congress approve within 30 
     days following the date on which the report is received.
       Sec. 212. No funds of the Department of Veterans Affairs 
     shall be available for hospital care, nursing home care, or 
     medical services provided to any person under chapter 17 of 
     title 38, United States Code, for a non-service-connected 
     disability described in section 1729(a)(2) of such title, 
     unless that person has disclosed to the Secretary of Veterans 
     Affairs, in such form as the Secretary may require, current, 
     accurate third-party reimbursement information for purposes 
     of section 1729 of such title: Provided, That the Secretary 
     may recover, in the same manner as any other debt due the 
     United States, the reasonable charges for such care or 
     services from any person who does not make such disclosure as 
     required: Provided further, That any amounts so recovered for 
     care or services provided in a prior fiscal year may be 
     obligated by the Secretary during the fiscal year in which 
     amounts are received.
       Sec. 213. Notwithstanding any other provision of law, at 
     the discretion of the Secretary of Veterans Affairs, proceeds 
     or revenues derived from enhanced-use leasing activities 
     (including disposal) may be deposited into the 
     ``Construction, major projects'' and ``Construction, minor 
     projects'' accounts and be used for construction (including 
     site acquisition and disposition), alterations and 
     improvements of any medical facility under the jurisdiction 
     or for the use of the Department of Veterans Affairs. Such 
     sums as realized are in addition to the amount provided for 
     in ``Construction, major projects'' and ``Construction, minor 
     projects''.
       Sec. 214. Amounts made available under ``Medical services'' 
     are available--
       (1) for furnishing recreational facilities, supplies, and 
     equipment; and
       (2) for funeral expenses, burial expenses, and other 
     expenses incidental to funerals and burials for beneficiaries 
     receiving care in the Department.


                     (including transfer of funds)

       Sec. 215. That such sums as may be deposited to the Medical 
     Care Collections Fund pursuant to section 1729A of title 38, 
     United States Code, may be transferred to ``Medical 
     services'', to remain available until expended for the 
     purposes of this account.


                     (including transfer of funds)

       Sec. 216. Amounts made available for fiscal year 2006 under 
     the ``Medical services'', ``Medical administration'', and 
     ``Medical facilities'' accounts may be transferred among the 
     accounts to the extent necessary to implement the 
     restructuring of the Veterans Health Administration accounts: 
     Provided, That before a transfer may take place, the 
     Secretary of Veterans Affairs shall request from the 
     Committees on Appropriations of both Houses of Congress the 
     authority to make the transfer and an approval is issued.


                     (including transfer of funds)

       Sec. 217. Any appropriation for fiscal year 2006 for the 
     Veterans Benefits Administration made available under the 
     heading ``General operating expenses'' may be transferred to 
     the ``Veterans Housing Benefit Program Fund Program Account'' 
     for the purpose of providing funds for the nationwide 
     property management contract if the administrative costs of 
     such contract exceed $8,800,000 in the fiscal year.
       Sec. 218. Notwithstanding any other provision of law, the 
     Secretary of Veterans Affairs shall allow veterans eligible 
     under existing Department of Veterans Affairs medical care 
     requirements and who reside in Alaska to obtain medical care 
     services from medical facilities supported by the Indian 
     Health Service or tribal organizations. The Secretary shall: 
     (1) limit the application of this provision to rural Alaskan 
     veterans in areas where an existing Department of Veterans 
     Affairs facility or Veterans Affairs-contracted service is 
     unavailable; (2) require participating veterans and 
     facilities to comply with all appropriate rules and 
     regulations, as established by the Secretary; (3) require 
     this provision to be consistent with Capital Asset 
     Realignment for Enhanced Services activities; and (4) result 
     in no additional cost to the Department of Veterans Affairs 
     or the Indian Health Service.


                     (including transfer of funds)

       Sec. 219. That such sums as may be deposited to the 
     Department of Veterans Affairs Capital Asset Fund pursuant to 
     section 8118 of title 38, United States Code, may be 
     transferred to the ``Construction, major projects'' and 
     ``Construction, minor projects'' accounts, to remain 
     available until expended for the purposes of these accounts.
       Sec. 220. None of the funds available to the Department of 
     Veterans Affairs, in this Act or any other Act, may be used 
     to replace the current system by which the Veterans 
     Integrated Service Networks select and contract for diabetes 
     monitoring supplies and equipment.
       Sec. 221. None of the funds made available in this Act may 
     be used to implement any policy prohibiting the Directors of 
     the Veterans Integrated Service Networks from conducting 
     outreach or marketing to enroll new veterans within their 
     respective Networks.
       Sec. 222. The Secretary of Veterans Affairs shall submit to 
     the Committees on Appropriations of both Houses of Congress a 
     quarterly report on the financial status of the Veterans 
     Health Administration.
       Sec. 223. None of the funds made available in this Act or 
     any other Act may be used--
       (1) with respect to the 2,100 compensation cases identified 
     in the Scope and Methodology description in VA Inspector 
     General Report No. 05-00765-137 as having been reviewed by 
     the Office of Inspector General--
       (A) to retroactively revoke or reduce a veteran's 
     disability compensation payments for post traumatic stress 
     disorder based on a finding that the Department of Veterans 
     Affairs failed to collect justifying documentation unless the 
     award of compensation was the direct result of fraud by the 
     applicant; or
       (B) to prospectively revoke or reduce a veteran's 
     disability compensation payments for post traumatic stress 
     disorder, based on a finding that the Department of Veterans 
     Affairs failed to collect justifying documentation, effective 
     before the date on which the veteran's time to exhaust all 
     available administrative and judicial appeals has expired or 
     such administrative and judicial appeals are finally decided; 
     or

[[Page 26818]]

       (2) for the implementation of Recommendation 3 of VA 
     Inspector General Report No. 05-00765-137 or any related 
     review and investigation of post traumatic stress, individual 
     unemploy-
     ability, and schedular 100 percent ratings cases, until the 
     Department of Veterans Affairs reports to the Committees on 
     Appropriations of both Houses of Congress on its plans for 
     implementing this recommendation, and outlines the staffing 
     and funding requirements.
       Sec. 224. Clinical training and protocols. (a) Findings.--
     Congress finds that--
       (1) the Iraq War Clinician Guide has tremendous value; and
       (2) the Secretary of Defense and the National Center on 
     Post Traumatic Stress Disorder should continue to work 
     together to ensure that the mental health care needs of 
     servicemembers and veterans are met.
       (b) Collaboration.--The National Center on Post Traumatic 
     Stress Disorder shall collaborate with the Secretary of 
     Defense--
       (1) to enhance the clinical skills of military clinicians 
     through training, treatment protocols, web-based 
     interventions, and the development of evidence-based 
     interventions; and
       (2) to promote pre-deployment resilience and post-
     deployment readjustment among service-
     members serving in Operation Iraqi Freedom and Operation 
     Enduring Freedom.
       (c) Training.--The National Center on Post Traumatic Stress 
     Disorder shall work with the Secretary of Defense to ensure 
     that clinicians in the Department of Defense are provided 
     with the training and protocols developed pursuant to 
     subsection (b)(1).


                     (including transfer of funds)

       Sec. 225. Amounts made available under the ``Medical 
     administration'', ``Medical services'', ``Medical 
     facilities'', ``General operating expenses'', ``National 
     Cemetery Administration'' and ``Office of Inspector General'' 
     accounts for fiscal year 2006, may be transferred to or from 
     the ``Information technology systems'' account: Provided, 
     That before a transfer may take place, the Secretary of 
     Veterans Affairs shall request from the Committees on 
     Appropriations of both Houses of Congress the authority to 
     make the transfer and an approval is issued.


                     (including transfer of funds)

       Sec. 226. For purposes of perfecting the funding sources of 
     the Department of Veterans Affairs' new ``Information 
     technology systems'' account, funds made available for fiscal 
     year 2006 may be transferred from the ``General operating 
     expenses'', ``National Cemetery Administration'', and 
     ``Office of Inspector General'' accounts to the ``Medical 
     administration'' account: Provided, That before a transfer 
     may take place, the Secretary of Veterans Affairs shall 
     request from the Committees on Appropriations of both Houses 
     of Congress the authority to make the transfer and an 
     approval is issued.


                     (including transfer of funds)

       Sec. 227. Amounts made available for the ``Information 
     technology systems'' account may be transferred between 
     projects: Provided, That no project may be increased or 
     decreased by more than $1,000,000 of cost prior to submitting 
     a request to the Committees on Appropriations of both Houses 
     of Congress the authority to make the transfer and an 
     approval is issued, or absent a response, a period of 30 days 
     has elapsed.
       Sec. 228. The Department of Veterans Affairs shall conduct 
     an information campaign in States with an average annual 
     disability compensation payment of less than $7,300 
     (according to the report issued by the Department of Veterans 
     Affairs Office of Inspector General on May 19, 2005), to 
     inform all veterans receiving disability compensation, by 
     direct mail, of the history of below average disability 
     compensation payments to veterans in such States, and to 
     provide all veterans in each such State, through broadcast or 
     print advertising, with the aforementioned historical 
     information and instructions for submitting new claims and 
     requesting review of past disability claims and ratings.
       Sec. 229. Of the funds available to the Department of 
     Veterans Affairs in this Act or any other Act, no more than 
     $50,000,000 shall be available for the HealtheVetVista 
     project, for fiscal year 2006: Provided, That none of the 
     funds made available for the HealtheVetVista project may be 
     obligated until the Committees on Appropriations of both 
     Houses of Congress approve a financial expenditure plan for 
     the entire project.
       Sec. 230. The authority provided by section 2011 of title 
     38, United States Code, shall continue in effect through 
     September 30, 2006.

                               TITLE III

                            RELATED AGENCIES

                  American Battle Monuments Commission


                         Salaries and Expenses

       For necessary expenses, not otherwise provided for, of the 
     American Battle Monuments Commission, including the 
     acquisition of land or interest in land in foreign countries; 
     purchases and repair of uniforms for caretakers of national 
     cemeteries and monuments outside of the United States and its 
     territories and possessions; rent of office and garage space 
     in foreign countries; purchase (one for replacement only) and 
     hire of passenger motor vehicles; not to exceed $7,500 for 
     official reception and representation expenses; and insurance 
     of official motor vehicles in foreign countries, when 
     required by law of such countries, $36,250,000, to remain 
     available until expended.


                 foreign currency fluctuations account

       For necessary expenses, not otherwise provided for, of the 
     American Battle Monuments Commission, $15,250,000, to remain 
     available until expended, for purposes authorized by section 
     2109 of title 36, United States Code.

           United States Court of Appeals for Veterans Claims


                         Salaries and Expenses

       For necessary expenses for the operation of the United 
     States Court of Appeals for Veterans Claims as authorized by 
     sections 7251-7298 of title 38, United States Code, 
     $18,795,000, of which $1,260,000 shall be available for the 
     purpose of providing financial assistance as described, and 
     in accordance with the process and reporting procedures set 
     forth, under this heading in Public Law 102-229.

                      Department of Defense--Civil

                       Cemeterial Expenses, Army


                         Salaries and Expenses

       For necessary expenses, as authorized by law, for 
     maintenance, operation, and improvement of Arlington National 
     Cemetery and Soldiers' and Airmen's Home National Cemetery, 
     including the purchase of two passenger motor vehicles for 
     replacement only, and not to exceed $1,000 for official 
     reception and representation expenses, $29,050,000, to remain 
     available until expended. In addition, such sums as may be 
     necessary for parking maintenance, repairs and replacement, 
     to be derived from the Lease of Department of Defense Real 
     Property for Defense Agencies account.

                      Armed Forces Retirement Home

       For expenses necessary for the Armed Forces Retirement Home 
     to operate and maintain the Armed Forces Retirement Home--
     Washington, District of Columbia and the Armed Forces 
     Retirement Home--Gulfport, Mississippi, to be paid from funds 
     available in the Armed Forces Retirement Home Trust Fund, 
     $58,281,000, of which $1,248,000 shall remain available until 
     expended for construction and renovation of the physical 
     plants at the Armed Forces Retirement Home--Washington, 
     District of Columbia and the Armed Forces Retirement Home--
     Gulfport, Mississippi.

                                TITLE IV

                           GENERAL PROVISIONS

       Sec. 401. No part of any appropriation contained in this 
     Act shall remain available for obligation beyond the current 
     fiscal year unless expressly so provided herein.
       Sec. 402. Such sums as may be necessary for fiscal year 
     2006 pay raises for programs funded by this Act shall be 
     absorbed within the levels appropriated in this Act.
       Sec. 403. None of the funds made available in this Act may 
     be used for any program, project, or activity, when it is 
     made known to the Federal entity or official to which the 
     funds are made available that the program, project, or 
     activity is not in compliance with any Federal law relating 
     to risk assessment, the protection of private property 
     rights, or unfunded mandates.
       Sec. 404. No part of any funds appropriated in this Act 
     shall be used by an agency of the executive branch, other 
     than for normal and recognized executive-legislative 
     relationships, for publicity or propaganda purposes, and for 
     the preparation, distribution or use of any kit, pamphlet, 
     booklet, publication, radio, television or film presentation 
     designed to support or defeat legislation pending before 
     Congress, except in presentation to Congress itself.
       Sec. 405. All departments and agencies funded under this 
     Act are encouraged, within the limits of the existing 
     statutory authorities and funding, to expand their use of 
     ``E-Commerce'' technologies and procedures in the conduct of 
     their business practices and public service activities.
       Sec. 406. None of the funds made available in this Act may 
     be transferred to any department, agency, or instrumentality 
     of the United States Government except pursuant to a transfer 
     made by, or transfer authority provided in, this Act or any 
     other appropriations Act.
       Sec. 407. Unless stated otherwise, all reports and 
     notifications required by this Act shall be submitted to the 
     Subcommittee on Military Quality of Life and Veterans 
     Affairs, and Related Agencies of the Committee on 
     Appropriations of the House of Representatives and the 
     Subcommittee on Military Construction and Veterans Affairs, 
     and Related Agencies of the Committee on Appropriations of 
     the Senate.
       Sec. 408. (a) Section 613 of the Science, State, Justice, 
     Commerce, and Related Agencies Appropriations Act, 2006, is 
     amended by striking ``the United States-China Economic and 
     Security Review Commission'', and inserting in lieu thereof 
     ``a grant for the Trade Lawyers Advisory Group''.
       (b) The amendment made by paragraph (1) shall take effect 
     on the date of enactment of the Science, State, Justice, 
     Commerce, and Related Agencies Appropriations Act, 2006.
       This Act may be cited as the ``Military Construction, 
     Military Quality of Life and Veterans Affairs Appropriations 
     Act, 2006''.
       And the Senate agree to the same.
       That the Senate recede from its amendment to the title of 
     the bill.
     James T. Walsh,
     Robert B. Aderholt,
     Anne M. Northup,
     Michael K. Simpson,
     Ander Crenshaw,
     C.W. Bill Young,
     Mark Steven Kirk,
     Dennis R. Rehberg,
     John Carter,
     Jerry Lewis,
     Chet Edwards,
     Sam Farr,
     Allen Boyd,
     Sanford D. Bishop, Jr.,
     David E. Price,

[[Page 26819]]

     Robert E. Cramer, Jr.,
     David R. Obey.
                                Managers on the Part of the House.

     Kay Bailey Hutchison,
     Conrad Burns,
     Larry Craig,
     Mike DeWine,
     Sam Brownback,
     Wayne Allard,
     Mitch McConnell,
     Thad Cochran,
     Dianne Feinstein,
     Daniel K. Inouye,
     Tim Johnson,
     Mary L. Landrieu,
     Robert C. Byrd,
     Patty Murray,
     Patrick Leahy.
                               Managers on the Part of the Senate.

       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

       The managers on the part of the House and the Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendments of the Senate to the bill (H.R. 2528) making 
     appropriations for military quality of life functions of the 
     Department of Defense, military construction, the Department 
     of Veterans Affairs, and related agencies for the fiscal year 
     ending September 30, 2006, and for other purposes, submit the 
     following joint statement to the House of Representatives and 
     the Senate in explanation of the effect of the action agreed 
     upon by the managers and recommended in the accompanying 
     conference report.
       The Senate amended the House bill with two amendments. The 
     Senate amendment to the text deleted the entire House bill 
     after the enacting clause and inserted the Senate bill. The 
     conference agreement includes a revised bill.
       The Senate amended the title of the House bill. The 
     conference agreement adopts the title of the bill as proposed 
     by the House.

                       Items of General Interest

       Matters Addressed by Only One Committee.--The language and 
     allocations set forth in House Report 109-95 and Senate 
     Report 109-105 should be complied with unless specifically 
     addressed to the contrary in the conference report and 
     statement of the managers. Report language included by the 
     House, which is not changed by the report of the Senate or 
     the conference, and Senate report language, which is not 
     changed by the conference is approved by the committee of 
     conference. The statement of the managers, while repeating 
     some report language for emphasis, does not intend to negate 
     the language referred to above unless expressly provided 
     herein. In cases where the House or the Senate have directed 
     the submission of a report, such report is to be submitted to 
     both Houses of Congress.
       Timely Submissions of Military Construction Reprogramming 
     Requests.--The conferees regret that submissions of military 
     construction reprogramming requests to Congress are often 
     delayed. Such delays are of particular concern when projects 
     carry bid expiration deadlines, which can lead to increased 
     costs when those deadlines are not met. Therefore, the 
     conferees direct the Comptroller of the Department of Defense 
     to ensure reprogramming requests are processed expeditiously 
     to allow Congress sufficient time to consider and act upon 
     such requests.
       Impact of Natural Disasters on Military Construction 
     Costs.--The conferees are aware that military construction 
     costs have increased in the United States due to reduced 
     contractor availability and increased competition, as well as 
     increased prices for certain materials, as a result of recent 
     natural disasters. The conferees are additionally concerned 
     that damage and reconstruction requirements caused by these 
     natural disasters will seriously exacerbate this problem. 
     Therefore, the conferees direct the Department of Defense to 
     account for the potential increased cost to military 
     construction projects in the fiscal year 2007 budget request. 
     Further, the Assistant Secretary of each military department 
     with responsibility for installations and the head of each 
     Defense agency should certify that such costs have been taken 
     into account upon the submission of the Administration's 
     fiscal year 2007 military construction budget request.
       Revisions to CENTCOM Master Plan.--The conferees have 
     rescinded funds for the repair of an airfield at Karshi-
     Khanabad Air Base, Uzbekistan, because access to that base is 
     no longer available to the United States. The conferees 
     understand that revisions to the Central Command (CENTCOM) 
     master plan, submitted to Congress in 2005, have already been 
     made for Iraq, and the conferees believe that the loss of 
     access rights in Uzbekistan will require further revisions to 
     the plan. The conferees emphasize that it is the duty of 
     CENTCOM to keep the congressional defense committees apprised 
     of any changes to this plan and direct CENTCOM to report to 
     the Committees on Appropriations of both Houses of Congress 
     on changes made since its original submission no later than 
     January 31, 2006.
       Submission of Defense-Wide Military Construction Future 
     Years Defense Plan.--The conferees clarify that Military 
     Construction, Defense-Wide is not exempt from the Future 
     Years Defense Program (FYDP) submission requirements of 10 
     U.S.C. 221. The conferees direct the Department of Defense to 
     submit the FYDP for the Defense-Wide military construction 
     budget with the fiscal year 2007 request.
       Military Construction and Global Rebasing.--The conferees 
     are aware that the Army spent approximately $71,400,000 of 
     fiscal year 2005 operation and maintenance funds on the 
     renovation of 14 ``rolling-pin'' barracks at Fort Carson, 
     Colorado, to accommodate soldiers of the 2nd Brigade, 2nd 
     Infantry Division, which was restationed from Korea as part 
     of the Department of Defense's Integrated Global Presence and 
     Basing Strategy (IGPBS). The Army indicated that the expected 
     life cycle of these renovated barracks is 15-20 years and 
     asserted that, at a cost of approximately $41,000 per 
     soldier, renovated barracks are more cost-efficient than new 
     construction, at a cost of approximately $71,000 per soldier. 
     The conferees note that given the Department of Defense's 
     recapitalization goal of 67 years, the comparable cost of the 
     renovated barracks is likely to be much higher. The Army, 
     however, further indicated that the overriding factor was not 
     cost efficiency, but expediency, which raises another concern 
     of the conferees. Costs associated with IGPBS and the 
     modularity initiative should not be funded solely through 
     supplemental appropriations and reprogrammings, but rather 
     should be considered through the regular authorization and 
     appropriations process. The conferees therefore direct the 
     Department of Defense to integrate IGPBS, and the Army's 
     modularity initiative, with the regular military construction 
     program beginning with its fiscal year 2007 budget 
     submission.

                                TITLE I

                         DEPARTMENT OF DEFENSE

                      Military Construction, Army


                        (including rescissions)

       The conference agreement appropriates $1,775,260,000 for 
     Military Construction, Army, instead of $1,652,552,000 as 
     proposed by the House and $1,640,641,000 as proposed by the 
     Senate. Within this amount, the conference agreement provides 
     $170,021,000 for study, planning, design, architect and 
     engineer services, and host nation support instead of 
     $168,804,000 as proposed by the House and $179,343,000 as 
     proposed by the Senate. The agreement also includes 
     $50,000,000 for force protection activities in Iraq as 
     proposed by the House. The Senate bill contained no similar 
     provision.
       The conference agreement also rescinds $3,046,000 from 
     Public Law 107-249 and $16,700,000 from Public Law 108-324. 
     The conferees direct the Army to submit by March 31, 2006 a 
     report describing how the rescissions of funds in this Act 
     will be applied. This report shall list, by project, the 
     amount of funds to be sourced to such rescissions.
       The conference agreement does not include language proposed 
     by the Senate to designate funding for two projects. The 
     agreement addresses this language in the attached detail 
     table by State. The House bill contained no similar 
     provision.
       Of the funds provided for planning and design in this 
     account, the conferees direct that $90,000 be made available 
     for the planning and design of the land purchase, Main Gate, 
     Yakima Training Center, Washington.
       Of the funds provided for minor construction in this 
     account, the conferees direct that $1,100,000 be made 
     available for the construction of a high explosive magazine 
     at McAlester Army Ammunition Plant, Oklahoma.
       Of the funds provided for minor construction in this 
     account, the conferees direct that $1,500,000 be made 
     available for the construction of the first phase of a 
     tactical operations center on Kwajalein Atoll, instead of 
     dome housing as proposed by the Senate. However, the 
     conferees continue to expect the Secretary of Defense to 
     submit a report to the Committees on Appropriations of both 
     Houses of Congress no later than December 1, 2005, detailing 
     the timeline for the replacement of substandard housing on 
     Kwajalein Atoll.

              Military Construction, Navy and Marine Corps


                        (INCLUDING RESCISSIONS)

       The conference agreement appropriates $1,157,141,000 for 
     Military Construction, Navy and Marine Corps, instead of 
     $1,109,177,000 as proposed by the House and $1,045,882,000 as 
     proposed by the Senate. Within this amount, the conference 
     agreement provides $34,893,000 for study, planning, design, 
     architect and engineer services instead of $36,029,000 as 
     proposed by the House and $32,524,000 as proposed by the 
     Senate.
       The conference agreement rescinds $5,767,000 from Public 
     Law 108-132. The agreement also rescinds $44,270,000 from 
     Public Law 108-324, instead of $92,354,000 as proposed by the 
     Senate. The House bill contained no similar provision. The 
     conferees direct the Navy to submit by March 31, 2006 a 
     report describing how the rescissions of funds in this Act 
     will be applied. This report shall list, by project, the 
     amount of funds to be sourced to such rescissions.
       North Island, California--Bachelor Enlisted Quarters, 
     Homeport Ashore.--The conferees are very supportive of the 
     Homeport Ashore

[[Page 26820]]

     program to provide unaccompanied housing for enlisted sailors 
     when in port, and encourage the Navy to pursue this 
     initiative as part of the bachelor enlisted quarters (BEQ) 
     privatization pilot program. Although the conferees commend 
     the Navy for seeking innovative solutions, including 
     privatization, to expedite the construction of new BEQ units, 
     they also note that the authorization, as contained in the 
     fiscal year 2003 Defense Authorization Act, limits the Navy 
     to three pilot projects. The North Island proposal is not 
     among the projects earlier identified by the Navy as part of 
     the pilot program, and is therefore not authorized under 
     current law. Although the conferees have denied funding for 
     the North Island project for this reason, they urge the Navy 
     to proceed as expeditiously as possible with the projects 
     currently authorized under the BEQ privatization pilot 
     program so that Congress has a basis on which to evaluate the 
     potential for expansion of the program in future years.

                    Military Construction, Air Force


                        (INCLUDING RESCISSIONS)

       The conference agreement appropriates $1,288,530,000 for 
     Military Construction, Air Force, instead of $1,171,338,000 
     as proposed by the House and $1,209,128,000 as proposed by 
     the Senate. Within this amount, the conference agreement 
     provides $95,537,000 for study, planning, design, architect 
     and engineer services instead of $91,733,000 as proposed by 
     the House and $83,626,000 as proposed by the Senate.
       The conference agreement rescinds $13,000,000 from Public 
     Law 108-11, $6,600,000 from Public Law 108-132, and 
     $9,500,000 from Public Law 108-324. The agreement also 
     rescinds $46,500,000 from Public Law 109-13 for the runway 
     repair project, including associated planning and design, at 
     Karshi-Khanabad Air Base, Uzbekistan. The conferees direct 
     the Air Force to submit by March 31, 2006 a report describing 
     how the rescissions of funds in this Act will be applied. 
     This report shall list, by project, the amount of funds to be 
     sourced to such rescissions.
       The conference agreement does not include language proposed 
     by the Senate to designate funding for two projects. The 
     agreement addresses this language in the attached detail 
     table by State. The House bill contained no similar 
     provision.

                  Military Construction, Defense-Wide


              (INCLUDING RESCISSION AND TRANSFER OF FUNDS)

       The conference agreement appropriates $1,008,855,000 for 
     Military Construction, Defense-Wide, instead of $976,664,000 
     as proposed by the House and $1,072,165,000 as proposed by 
     the Senate. Within this amount, the conference agreement 
     provides $136,406,000 for study, planning, design, architect 
     and engineer services instead of $107,285,000 as proposed by 
     the House and $133,120,000 as proposed by the Senate.
       The conference agreement also rescinds $20,000,000 from 
     Public Law 108-324 due to unobligated balances in contingency 
     construction.
       The conference agreement provides $50,000,000 for the 
     Energy Conservation Improvement Program as proposed by the 
     House, instead of $60,000,000 as proposed by the Senate. The 
     agreement does not provide funding for contingency 
     construction due to the recurrence of carryover amounts.
       The conferees direct the National Security Agency to follow 
     standard acquisition and design-review procedures on its 
     fiscal year 2006 projects.

               Military Construction, Army National Guard

       The conference agreement appropriates $523,151,000 for 
     Military Construction, Army National Guard, instead of 
     $410,624,000 as proposed by the House and $467,146,000 as 
     proposed by the Senate.
       Of the funds provided for planning and design in this 
     account, the conferees direct that $186,000 be made available 
     for the planning and design of the Combined Support 
     Maintenance Shop, Searcy, Arkansas.
       Of the funds provided for minor construction in this 
     account, the conferees direct the specified amounts be made 
     available for the construction of the following facilities: 
     Marana, Arizona--Fire Station, $1,499,000; Camp Murray, 
     Washington--Homeland Security Multi-Functional Education 
     Center, $1,424,000.

               Military Construction, Air National Guard


                         (INCLUDING RESCISSION)

       The conference agreement appropriates $316,117,000 for 
     Military Construction, Air National Guard, instead of 
     $225,727,000 as proposed by the House and $279,156,000 as 
     proposed by the Senate. The conference agreement also 
     rescinds $13,700,000 from Public Law 108-324. The conferees 
     direct the Air National Guard to submit by March 31, 2006 a 
     report describing how the rescission of funds in this Act 
     will be applied. This report shall list, by project, the 
     amount of funds to be sourced to such rescission.
       Of the funds provided for planning and design in this 
     account, the conferees direct that the specified amounts be 
     made available for the planning and design of the following 
     facilities: New Castle County Airport, Delaware--Replacement 
     C-130 Maintenance Hangar, $1,440,000; Duluth IAP, Minnesota--
     Addition to Joint FAA/ANG Fire Station Facility, Phase 2, 
     $700,000; March ARB, California--Replace Aircraft Maintenance 
     Hangar and Shops, $960,000; Fresno Yosemite IAP, California--
     Replace Vehicle Maintenance Complex, $340,000.
       Of the funds provided for minor construction in this 
     account, the conferees direct that $1,500,000 be made 
     available for the construction of an arm and disarm apron at 
     the end of runway 13 at Atlantic City IAP, New Jersey.

                  Military Construction, Army Reserve

       The conference agreement appropriates $152,569,000 for 
     Military Construction, Army Reserve, instead of $138,425,000 
     as proposed by the House and $136,077,000 as proposed by the 
     Senate.

                  Military Construction, Naval Reserve


                        (INCLUDING RESCISSIONS)

       The conference agreement appropriates $46,864,000 for 
     Military Construction, Naval Reserve, instead of $45,226,000 
     as proposed by the House and $46,676,000 as proposed by the 
     Senate. The conference agreement also rescinds $5,368,000 
     from Public Law 108-132 and $11,192,000 from Public Law 108-
     324. The conferees direct the Naval Reserve to submit by 
     March 31, 2006 a report describing how the rescissions of 
     funds in this Act will be applied. This report shall list, by 
     project, the amount of funds to be sourced to such 
     rescissions.

                Military Construction, Air Force Reserve


                         (INCLUDING RESCISSION)

       The conference agreement appropriates $105,883,000 for 
     Military Construction, Air Force Reserve, instead of 
     $110,847,000 as proposed by the House and $89,260,000 as 
     proposed by the Senate. The conference agreement also 
     rescinds $13,815,000 from Public Law 108-324. The conferees 
     direct the Air Force Reserve to submit by March 31, 2006 a 
     report describing how the rescission of funds in this Act 
     will be applied. This report shall list, by project, the 
     amount of funds to be sourced to such rescission.
       Of the funds provided for planning and design in this 
     account, the conferees direct that $207,000 be made available 
     for the planning and design of the Addition/Alteration Aerial 
     Port Facility, Homestead ARB, Florida.

     North Atlantic Treaty Organization Security Investment Program


                         (INCLUDING RESCISSION)

       The conference agreement appropriates $206,858,000 for the 
     North Atlantic Treaty Organization Security Investment 
     Program as proposed by both the House and the Senate. The 
     conference agreement also includes a rescission of 
     $30,000,000 from Public Law 108-324 due to the slow spendout 
     rate of the program and the recurrence of carryover amounts.

                        Family Housing Overview

       Family Housing Reprogramming Requests.--The conferees note 
     the language contained in House Report 109-95 regarding the 
     applicability of reprogramming guidelines to family housing 
     projects. The conferees feel strongly that these guidelines 
     should continue to apply to family housing projects, 
     including privatization projects, to enable adequate 
     congressional oversight.

                   Family Housing Construction, Army


                         (INCLUDING RESCISSION)

       The conference agreement appropriates $549,636,000 for 
     Family Housing Construction, Army as proposed by both the 
     House and the Senate. The conference agreement also rescinds 
     $16,000,000 from Public Law 108-324. The conferees direct the 
     Army to submit by March 31, 2006 a report describing how the 
     rescission of funds in this Act will be applied. This report 
     shall list, by project, the amount of funds to be sourced to 
     such rescission.

             Family Housing Operation and Maintenance, Army

       The conference agreement appropriates $803,993,000 for 
     Family Housing Operation and Maintenance, Army as proposed by 
     the House, instead of $812,993,000 as proposed by the Senate.

           Family Housing Construction, Navy and Marine Corps

       The conference agreement appropriates $218,942,000 for 
     Family Housing Construction, Navy and Marine Corps as 
     proposed by both the House and the Senate.

    Family Housing Operation and Maintenance, Navy and Marine Corps

       The conference agreement appropriates $588,660,000 for 
     Family Housing Operation and Maintenance, Navy and Marine 
     Corps as proposed by the House, instead of $593,660,000 as 
     proposed by the Senate.

                 Family Housing Construction, Air Force


                        (INCLUDING RESCISSIONS)

       The conference agreement appropriates $1,101,887,000 for 
     Family Housing Construction, Air Force, instead of 
     $1,236,220,000 as proposed by the House and $1,142,622,000 as 
     proposed by the Senate. The conference agreement also 
     rescinds $7,700,000 from Public Law 107-249, $4,500,000 from 
     Public Law 108-132, and $31,700,000 from Public Law 108-324. 
     The conferees direct the Air Force to submit by March 31, 
     2006 a report describing how the rescissions of funds in this 
     Act will be applied. This report shall list, by project,

[[Page 26821]]

      the amount of funds to be sourced to such rescissions.
       Adjustments to Air Force Family Housing Program.--The 
     conferees note the progress made in the Air Force family 
     housing privatization program, allowing the 2006 construction 
     program to be adjusted without adversely affecting Air Force 
     families. The privatization program leverages private sector 
     capital and expertise to build superior family housing at 
     less direct cost to the Federal government. Progress in the 
     privatization program has resulted in unanticipated savings 
     most recently on projects at four installations: Peterson 
     AFB, Colorado; the United States Air Force Academy, Colorado; 
     Bolling AFB, District of Columbia; and F.E. Warren AFB, 
     Wyoming. The conferees note that privatization at these four 
     installations will now allow for the construction or 
     renovation of 3,156 homes, a 33 percent increase over the 
     2,371 units originally proposed in the budget request.
       Spangdahlem Air Base, Germany.--The conferees note the 
     current need for housing at Spangdahlem Air Base, Germany, 
     and have provided funding for such purpose. The conferees 
     urge the Air Force to consider all options to address the 
     housing need at Spangdahlem Air Base. Specifically, build-to-
     lease housing has the potential to provide quality housing 
     quickly to the families at Spangdahlem, while also providing 
     a more cost-effective and flexible option to the United 
     States. The conferees direct the Secretary of the Air Force 
     to report on the housing plan at Spangdahlem.
       The report must include the following:
       Footprint requirements for family housing relative to land 
     on hand at Spangdahlem and land purchase, if any, required.
       A complete cost-benefit analysis of all available housing 
     options at Spangdahlem, including build-to-lease. The 
     analysis should include, but not be limited to, the cost per 
     housing unit of each option and evidence of efforts made to 
     lower such cost.
       A certification that all options have been pursued with the 
     German government, including, but not limited to, cost-
     sharing, road repair between housing units, and loan 
     guarantees.
       As provided in the administrative provisions of this title, 
     none of the funds appropriated for family housing at 
     Spangdahlem may be obligated until the Secretary of the Air 
     Force certifies to the Committees on Appropriations of both 
     Houses of Congress that the above-mentioned report has been 
     completed and received the Committees' response, or a period 
     of 30 days has elapsed after receipt of the report.

          Family Housing Operation and Maintenance, Air Force

       The conference agreement appropriates $766,939,000 for 
     Family Housing Operation and Maintenance, Air Force as 
     proposed by the Senate, instead of $755,319,000 as proposed 
     by the House.

               Family Housing Construction, Defense-Wide

       The conference agreement does not appropriate funding for 
     Family Housing Construction, Defense-Wide. The 
     Administration's budget request did not propose funding for 
     this account in fiscal year 2006.

         Family Housing Operation and Maintenance, Defense-Wide

       The conference agreement appropriates $46,391,000 for 
     Family Housing Operation and Maintenance, Defense-Wide as 
     proposed by both the House and the Senate.

         Department of Defense Family Housing Improvement Fund

       The conference agreement appropriates $2,500,000 for the 
     Department of Defense Family Housing Improvement Fund as 
     proposed by both the House and the Senate.

          Chemical Demilitarization Construction, Defense-Wide

       The conference agreement does not appropriate funding for 
     Chemical Demilitarization Construction, Defense-Wide. The 
     purpose of this account is to provide funds for the design 
     and construction of full-scale chemical disposal facilities 
     and associated projects to upgrade installation support 
     facilities and infrastructure required to support the 
     chemical demilitarization program.
       Because the Department of Defense requested no funding for 
     this account for fiscal year 2006, the conferees have not 
     provided funding. However, the conferees remain mindful that 
     obligations exist to complete construction associated with 
     the Department's chemical demilitarization program, including 
     the Assembled Chemical Weapons Alternatives (ACWA) program. 
     The chemical demilitarization construction account within the 
     Military Construction title of the relevant House and Senate 
     appropriations bills is the appropriate account for funding 
     construction associated with this program. The conferees 
     expect the Department of Defense to include any requests for 
     chemical demilitarization construction funding in future 
     years, including for ACWA, to be included in the Chemical 
     Demilitarization Construction, Defense-Wide account.

                 Base Realignment and Closure Overview

       Past Years Military Construction Impacted by BRAC.--The 
     conferees note that some projects appropriated in this Act or 
     in previous Acts making appropriations for military 
     construction may be rendered unnecessary as a result of the 
     2005 base realignment and closure recommendations, which 
     became effective on November 9, 2005. The conference 
     agreement rescinds funds due to anticipated savings as a 
     result. In the event that additional savings are realized, 
     the conferees remind the Department that excess funds may not 
     be reprogrammed except in accordance with the guidelines set 
     forth by the Committees on Appropriations of both Houses of 
     Congress. Further, the conferees have provided a single 
     appropriation for the implementation of BRAC 2005, as 
     requested by the Department, in order to ensure the 
     Department has maximum flexibility to carry out this effort. 
     All expenses resulting from the 2005 base realignment and 
     closure recommendations should be paid from this account. The 
     conferees have also included a statutory reporting 
     requirement to maintain appropriate fiscal oversight.
       BRAC Environmental Remediation.--The conferees note the 
     language included in the Senate report regarding the use of 
     Office of Economic Adjustment (OEA) funding, which is 
     appropriated through the Department of Defense Appropriations 
     Act, for the community share of certain environmental 
     remediation activities at the former McClellan Air Force 
     Base, California. The conferees support this language and 
     further emphasize that OEA funds are to be used in all 
     instances for the purpose for which they were appropriated 
     and not used to supplant BRAC environmental remediation 
     funding at any Department of Defense installation.

            Department of Defense Base Closure Account 1990

       The conference agreement appropriates $254,827,000 for the 
     Department of Defense Base Closure Account 1990, instead of 
     $377,827,000 as proposed by the House and $402,827,000 as 
     proposed by the Senate. This amount fully funds the 
     Administration's request for environmental cleanup and other 
     activities associated with past BRAC rounds of all the 
     Services with the exception of the Navy, which will self-
     finance its program. Included in the funding is an additional 
     $14,000,000 for the Army and $6,000,000 for the Air Force 
     above the Administration's request. The purpose of this 
     additional funding is to expedite cleanup activities in 
     fiscal year 2006 that the Services have identified as 
     candidates for acceleration.
       The conferees note that the Navy has collected 
     approximately $650,000,000 from the recent sale of property 
     at the former El Toro, California, Marine Corps Air Station. 
     By law, proceeds from the sale of property closed under the 
     Defense Base Closure and Realignment Act of 1990 must be 
     deposited into the 1990 Department of Defense Base Closure 
     (BRAC) account to be used for BRAC related activities, 
     including environmental cleanup. By agreement between the 
     military Services and the Office of the Secretary of Defense, 
     BRAC land sale revenues are credited to the military Service 
     owner of the property that was sold and are used to offset 
     BRAC costs by that Service. Based on this agreement and the 
     Navy's recent land sale revenues, the Navy no longer requires 
     the $143,000,000 in fiscal year 2006 appropriated funds as 
     requested in the President's budget submission for activities 
     funded through the BRAC 1990 account.
       Environmental remediation associated with the BRAC process 
     remains a key concern of the conferees. The conferees commend 
     the Navy for its efforts to maximize revenue from the 
     disposal of property from installations closed under previous 
     BRAC rounds and for its application of those revenues to the 
     environmental cleanup of closed Navy facilities. The 
     conferees further encourage the Department of Defense and the 
     other Services to pursue similar land sale strategies to 
     provide additional revenue for the cleanup of their 
     installations. To ensure that Navy land sale revenues are 
     used to expedite environmental remediation activities at Navy 
     installations, the conferees have included a provision in the 
     conference report directing that no less than $300,000,000 of 
     the revenues deposited into the BRAC 1990 account from the 
     sale of Navy property be used to execute the Navy's fiscal 
     year 2006 environmental cleanup program. This level of 
     funding is $24,000,000 above the original budget estimate, 
     including both appropriated funds and earlier projected land 
     sale revenues.

            Department of Defense Base Closure Account 2005

       The conference agreement appropriates $1,504,466,000 for 
     the Department of Defense Base Closure Account 2005, instead 
     of $1,570,466,000 as proposed by the House and $1,479,466,000 
     as proposed by the Senate. The agreement includes language 
     proposed by the Senate to prohibit the use of these funds 
     until the Secretary of Defense submits and receives approval 
     of a report describing the specific use of these funds. The 
     House bill contained no similar provision.

                       Administrative Provisions


                     (including transfers of funds)

       The conference agreement includes section 101 to limit the 
     use of funds under a cost-plus-a-fixed-fee contract as 
     proposed by both Houses of Congress.
       The conference agreement includes section 102 as proposed 
     by the House to allow the use

[[Page 26822]]

     of construction funds in this title for hire of passenger 
     motor vehicles. The Senate bill contained a similar 
     provision, but allowed the use of all funds in the title for 
     such purpose.
       The conference agreement includes section 103 as proposed 
     by the House to allow the use of construction funds in this 
     title for advances to the Federal Highway Administration for 
     the construction of access roads. The Senate bill contained a 
     similar provision, but allowed the use of all funds in the 
     title for such purpose.
       The conference agreement includes section 104 to prohibit 
     construction of new bases in the United States without a 
     specific appropriation as proposed by both Houses of 
     Congress.
       The conference agreement includes section 105 to limit the 
     use of funds for the purchase of land or land easements that 
     exceed 100 percent of the value as proposed by both Houses of 
     Congress.
       The conference agreement includes section 106 to prohibit 
     the use of funds, except funds appropriated in this title for 
     that purpose, for family housing as proposed by both Houses 
     of Congress.
       The conference agreement includes section 107 to limit the 
     use of minor construction funds to transfer or relocate 
     activities as proposed by both Houses of Congress.
       The conference agreement includes section 108 to prohibit 
     the procurement of steel unless American producers, 
     fabricators, and manufacturers have been allowed to compete 
     as proposed by both Houses of Congress.
       The conference agreement includes section 109 as proposed 
     by the House to prohibit the use of construction and family 
     housing funds available to pay real property taxes in any 
     foreign nation. The Senate bill contained a similar 
     provision, but prohibited the use of all funds in the title 
     for such purpose.
       The conference agreement includes section 110 to prohibit 
     the use of funds to initiate a new installation overseas 
     without prior notification as proposed by both Houses of 
     Congress.
       The conference agreement includes section 111 to establish 
     a preference for American architectural and engineering 
     services for overseas projects as proposed by both Houses of 
     Congress.
       The conference agreement includes section 112 to establish 
     a preference for American contractors in certain locations as 
     proposed by both Houses of Congress.
       The conference agreement includes section 113 to require 
     congressional notification of military exercises where 
     construction costs exceed $100,000 as proposed by both Houses 
     of Congress.
       The conference agreement includes section 114 to limit 
     obligations in the last two months of the fiscal year as 
     proposed by both Houses of Congress.
       The conference agreement includes section 115 to allow 
     funds appropriated in prior years for new projects authorized 
     during the current session of Congress as proposed by both 
     Houses of Congress.
       The conference agreement includes section 116 to allow the 
     use of lapsed or expired funds to pay the cost of supervision 
     for any project being completed with lapsed funds as proposed 
     by both Houses of Congress.
       The conference agreement includes section 117 to allow 
     military construction funds to be available for five years as 
     proposed by both Houses of Congress.
       The conference agreement includes section 118 to require an 
     annual report on actions taken to encourage other nations to 
     assume a greater share of the common defense burden as 
     proposed by both Houses of Congress.
       The conference agreement includes section 119 to allow the 
     transfer of proceeds between BRAC accounts as proposed by 
     both Houses of Congress.
       The conference agreement includes section 120 to allow the 
     transfer of funds from Family Housing Construction accounts 
     to the Family Housing Improvement Fund as proposed by both 
     Houses of Congress.
       The conference agreement includes section 121 to limit the 
     obligation of funds for Partnership for Peace programs as 
     proposed by both Houses of Congress.
       The conference agreement includes section 122 to require 
     congressional notification prior to issuing a solicitation 
     for a contract with the private sector for family housing as 
     proposed by both Houses of Congress.
       The conference agreement includes section 123 to allow 
     transfers to the Homeowners Assistance Fund as proposed by 
     both Houses of Congress.
       The conference agreement includes section 124 to limit the 
     source of operation and maintenance funds for flag and 
     general officer quarters as proposed by both Houses of 
     Congress.
       The conference agreement includes section 125 to prohibit 
     the use of NATO Security Investment Program funds for missile 
     defense studies as proposed by both Houses of Congress.
       The conference agreement includes section 126 as proposed 
     by the House to require the Department of Defense to respond 
     to a question or inquiry, in writing, within 21 days of the 
     request. The Senate bill contained no similar provision.
       The conference agreement includes section 127 to extend the 
     availability of funds in the Ford Island Improvement Fund as 
     proposed by both Houses of Congress.
       The conference agreement includes a modified section 128 to 
     place limitations on the expenditure of funds for projects 
     impacted by BRAC 2005.
       The conference agreement includes a new section 129 to 
     designate $300,000,000 of the funds available in the 
     Department of Defense Base Closure Account 1990 for the 
     Department of Navy and require a report on a plan for the use 
     of the funds.
       The conference agreement includes a new section 130 to 
     require a report from the Secretary of the Air Force 
     containing a housing plan for Spangdahlem Air Base, Germany.
       The conference agreement does not include a provision 
     proposed by the House to allow the transfer of expired funds 
     to the Foreign Currency Fluctuation, Construction, Defense 
     account. The Senate bill contained no similar provision.
       The conference agreement does not include a provision 
     proposed by the House to prohibit the use of funds in this 
     title for maintenance and repair of general and flag officer 
     quarters in the National Capital Region until the Department 
     submits a report as required in Public Law 108-375. The 
     Senate bill contained no similar provision.
       The conference agreement does not include a provision 
     proposed by the Senate to provide planning and design funds 
     for a project. The agreement addresses this language under 
     the Military Construction, Air National Guard account. The 
     House bill contained no similar provision.
       The conference agreement does not include a provision 
     proposed by the Senate to provide funding for a project. The 
     agreement addresses this language in the attached detail 
     table by State. The House bill contained no similar 
     provision.
       The conference agreement does not include a provision 
     proposed by the Senate regarding funding for the Department 
     of Defense Base Closure Accounts. The House bill contained no 
     similar provision.

                TITLE II--DEPARTMENT OF VETERANS AFFAIRS

       Centers of Excellence.--The conferees feel the Department 
     of Veterans Affairs should consider designating specialized 
     medical treatment facilities for mental health and post 
     traumatic stress disorder as ``Centers of Excellence''. 
     Establishing these centers would allow the VA to consolidate 
     personnel, training and specialized resources. This will 
     ensure the VA utilizes these resources in the most efficient 
     manner, while providing better service to our Nation's 
     veterans. The conferees are concerned that mental health care 
     is one of the most critical needs of our Nation's veterans, 
     particularly those veterans returning from Operations Iraqi 
     Freedom and Enduring Freedom.
       Therefore, the conferees direct the Department of Veterans 
     Affairs to place more emphasis on psychiatric care of our 
     veterans by designating three centers of excellence to focus 
     on mental health/PTSD needs. These three centers will be 
     established at Waco VAMC, Texas; San Diego VAMC, California; 
     and the Canandaigua VAMC, New York.
       The VA should submit a report within six months of 
     enactment of this Act to the Committees on Appropriations in 
     both Houses of Congress outlining the progress made in this 
     area.
       Housing for Low-Income Veterans.--The conferees agree that 
     the Government Accountability Office shall conduct a study on 
     housing assistance to low-income veterans and submit the 
     report to the Congress within six months of enactment of this 
     Act. As jurisdiction over assistance to veterans spans many 
     departments, the conferees expect the Government 
     Accountability Office to consult with the Committees on 
     Appropriations of both Houses of Congress concerning the 
     scope of such a study. This issue was addressed by the Senate 
     as an administrative provision, section 222.
       Veterans Benefits Handbooks.--The conferees recognize the 
     valuable information contained in the Department's annual 
     publication ``Federal Benefits for Veterans and Dependents.'' 
     Adequate distribution of this publication is essential to 
     keep veterans informed of the benefits to which they are 
     entitled. The conferees urge the Secretary to work in 
     coordination with the various veterans services 
     organizations, including the National Association of County 
     Veterans Service Officers, as well as with State departments 
     of veterans affairs, to ensure that a comprehensive plan 
     exists to distribute an adequate supply of the 2006 and 
     future editions of ``Federal Benefits for Veterans and 
     Dependents.'' This issue was addressed by the Senate as 
     section 223 of the administrative provisions which the 
     conferees have deleted from the bill.
       Post Traumatic Stress Disorder.--The conferees agree with 
     the House direction under the ``Items of Interest'' regarding 
     Post Traumatic Stress Disorder Clinical Teams.
       Changing Veterans Population.--The conferees agree with the 
     direction of the Senate responding to the changing population 
     of veterans.

                    Veterans Benefits Administration


                       COMPENSATION AND PENSIONS

                     (INCLUDING TRANSFER OF FUNDS)

       The conference agreement appropriates $33,897,787,000 for 
     Compensation and Pensions, instead of $33,412,879,000 as 
     proposed by

[[Page 26823]]

     both the House and the Senate. The amount provided reflects 
     the most current estimate of funding required for this 
     mandatory account and reflects a 4.1 percent cost-of-living 
     adjustment. Of the amount provided, not more than $23,491,000 
     is to be transferred to General Operating Expenses and 
     Medical Services for reimbursement of necessary expenses in 
     implementing the Omnibus Budget Reconciliation Act of 1990 
     and the Veterans' Benefits Act of 1992.
       Annual Benefits Report.--The conferees agree with the 
     Senate language directing the Department to continue 
     production of the annual benefits report which shall include 
     select veteran data for all benefit programs by State.


                         READJUSTMENT BENEFITS

       The conference agreement appropriates $3,309,234,000 for 
     Readjustment Benefits, instead of $3,214,246,000 as proposed 
     by both the House and the Senate. The amount provided 
     reflects the most current estimate of funding required for 
     this mandatory account.
       Task Force on VRE Benefits.--The conferees direct the 
     Department to report to the Committees on Appropriations of 
     both Houses of Congress by March 16, 2006 on its efforts to 
     implement the recommendations of the Task Force on the 
     Vocational Rehabilitation and Employment benefits program.


                   VETERANS INSURANCE AND INDEMNITIES

       The conference agreement appropriates $45,907,000 for 
     Veterans Insurance and Indemnities as proposed by both the 
     House and the Senate.


         VETERANS HOUSING BENEFIT PROGRAM FUND PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       The conference agreement appropriates such sums as may be 
     necessary for costs associated with direct and guaranteed 
     loans from the Veterans Housing Benefit Program Fund Program 
     Account as proposed by both the House and the Senate. The 
     agreement limits obligations for direct loans to not more 
     than $500,000 and provides that $153,575,000 is to be 
     transferred to and merged with General Operating Expenses.


            VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       The conference agreement appropriates $53,000 for the costs 
     of direct loans from the Vocational Rehabilitation Loans 
     Program Account as proposed by both the House and the Senate, 
     plus $305,000 to be transferred to and merged with General 
     Operating Expenses. The agreement provides for a direct loan 
     limitation of $4,242,000.


          NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

       The conference agreement appropriates $580,000 for 
     administrative expenses of the Native American Veteran 
     Housing Loan Program Account to be transferred to and merged 
     with General Operating Expenses as proposed by both the House 
     and the Senate. The agreement also provides for a loan 
     limitation of $30,000,000 for the program as proposed by both 
     the House and the Senate.


  GUARANTEED TRANSITIONAL HOUSING LOANS FOR HOMELESS VETERANS PROGRAM 
                                ACCOUNT

       The conference agreement provides up to $750,000 of the 
     funds available in Medical Administration and General 
     Operating Expenses to carry out the Guaranteed Transitional 
     Housing Loans for Homeless Veterans program as proposed by 
     both the House and the Senate.

                     Veterans Health Administration


                            MEDICAL SERVICES

                     (INCLUDING TRANSFER OF FUNDS)

       The conference agreement appropriates $22,547,141,000 to 
     finance Medical Services for all veterans and beneficiaries 
     in Department of Veterans Administration facilities, State 
     nursing homes, and contract medical facilities, of which 
     $1,225,000,000 is designated an emergency. The House had 
     proposed $20,995,141,000 and the Senate had proposed 
     $23,308,011,000, of which $1,977,000,000 was designated as 
     emergency funding.
       Of the amount provided, $1,100,000,000 is available for 
     obligation until September 30, 2007 as proposed by the House, 
     instead of $1,500,000,000 as proposed by the Senate. The 
     conferees also agree that the Department shall spend not less 
     than $2,200,000,000 for specialty mental health care as 
     proposed by the House.
       The conference agreement includes a net increase of 
     $1,100,000,000 to the original budget request to reverse 
     policy proposals contained in the budget. These proposals 
     included a priority system of care relating to veterans 
     needing long-term or nursing home care, a proposal to 
     institute an enrollment fee for certain veterans, and a 
     change in the co-pay amount for prescription drugs. The 
     conferees reject all of these proposals and direct the 
     Department to maintain policies in existence prior to 
     submission of the budget. It is the agreement of the 
     conferees that the budget savings anticipated from such 
     policy proposals in the future should not be included in the 
     budget unless the proposals are enacted and savings are 
     realized. For the last four years, there has been a proposal 
     for an enrollment fee and an increase in pharmacy co-payments 
     included in the budget with unrealistic savings. Every year 
     the Congress has had to find resources to make up for savings 
     projections which do not materialize.
       In addition, the conference agreement includes funding of 
     $1,452,000,000 tied to various corrections of errors in the 
     original budget submission and adjustments for workload due 
     to corrections of the Department's actuarial model. The 
     conferees have made some funding adjustments to accommodate 
     this increased need for funding, and language is included 
     which requires submission of a revised budget amendment by 
     the President to enable the use of emergency funding for the 
     remaining funds.
       The conference agreement retains language proposed by both 
     the House and the Senate providing the Secretary with the 
     authority to establish a priority system for veterans seeking 
     medical care, allowing the Secretary to give priority to 
     medical services for priority 1-6 veterans, allowing 
     the Secretary to fill privately written prescriptions by 
     Department of Veterans Affairs facilities, and provides 
     $15,000,000 for the Department of Defense/Veterans Affairs 
     Health Care Sharing Incentive Fund.
       Long-Term Care.--The conferees do not agree with the 
     proposal contained in the budget to alter the long-term care 
     policies, including a policy of priority care in nursing 
     homes. The conferees have provided, within this total 
     appropriation, sufficient resources to maintain a policy of 
     providing long-term care to all veterans, utilizing VA-owned 
     facilities, community nursing homes, State nursing homes, and 
     other non-institutional venues. The conferees expect there to 
     be no change from the policy in existence prior to fiscal 
     year 2005.
       Prosthetics Research and Integrative Health Care.--The 
     conferees note that the fiscal year 2005 conference agreement 
     included language directing the Department to prioritize 
     prosthetics in its research agenda and establish a new 
     prosthetics and integrative health care initiative. The 
     conferees are pleased with the response of the Department, 
     including designating four VA Medical Centers as polytrauma 
     centers which will provide medical care and rehabilitation to 
     service members sustaining multiple conditions such as 
     amputation, visual and auditory impairment, post traumatic 
     stress, traumatic brain injury, and spinal cord injury. The 
     conferees continue to be interested in progress being made in 
     this area of integrative treatment and direct the Department 
     to provide semi-annual updates on the status of this 
     initiative.


                         MEDICAL ADMINISTRATION

       The conference agreement appropriates $2,858,442,000 for 
     Medical Administration as proposed by the Senate instead of 
     $4,134,874,000 as proposed by the House. The conference 
     funding level includes the movement of information technology 
     development funding to a new Information Technology Systems 
     account, as proposed by the Senate, under Departmental 
     Administration. The agreement also includes language allowing 
     $250,000,000 of the funds to be available until September 30, 
     2007.
       Revenue Improvement Demonstration.--The conferees share the 
     Senate concern that the Department of Veterans Affairs is 
     only collecting 41 percent (unadjusted for Medicare impacts) 
     of the billed amounts from third party insurance companies 
     and expect the Department to report to both Houses of 
     Congress on its efforts to improve this collection rate by 
     January 1, 2006. Furthermore, the conference agreement does 
     not support all the guidelines as specified in House Report 
     109-95; however, the conferees do support the following 
     guidelines regarding a revenue improvement demonstration 
     project: the recommendation that the VA initiate a new pilot 
     program that will provide a comprehensive restructuring of 
     the complete revenue cycle including cash-flow management and 
     accounts receivable processes in certain VA hospitals; the 
     recommendation that the VHA Chief Business Officer must 
     have the concurrence of the VA Chief Information Officer 
     on the business plan for this demonstration; and that the 
     Department provide quarterly progress reports to the 
     Committees on Appropriations in both Houses of Congress.
       In selecting a site for this project, the conferees direct 
     the Department to select one medical center in a Veterans 
     Integrated Service Network (VISN) other than 10, which is the 
     host site of a demonstration project authorized by Public Law 
     108-357. The Department must initiate this project within 60 
     days of the date of enactment of this Act. The conferees 
     expect that no Department full-time equivalent employees 
     associated with the demonstration project would be terminated 
     during the term of the project, except for purposes of 
     personnel action relating to employee misconduct or 
     unsatisfactory performance, in accordance with existing labor 
     management agreements and personnel authorities of titles 5 
     and 38, United States Code, as applicable.
       Contract Care Coordination.--The conferees support 
     expeditious action by the Department to implement care 
     management strategies that have proven valuable in the 
     broader public and private sectors. It is essential that care 
     purchased for enrollees from private sector providers be 
     secured in a cost effective manner, in a way that complements 
     the larger Veterans Health Administration system of care, and 
     preserves important

[[Page 26824]]

     agency interest, such as sustaining a partnership with 
     university affiliates. In that interest, the VHA shall 
     establish through competitive award by the end of calendar 
     year 2006, at least three managed care demonstration programs 
     designed to satisfy a set of health system objectives related 
     to arranging and managing care. The conferees encourage the 
     Department to formulate demonstration objectives in 
     collaboration with industry and academia, and the Secretary 
     will report objectives to the Committees on Appropriations of 
     both Houses of Congress within 90 days of the enactment of 
     this Act. Multiple competitive awards and designs may be 
     employed that may incorporate a variety of forms of public-
     private participation. The demonstrations, in satisfying the 
     objectives to be enumerated, must be established in at least 
     three VISNs, be comprehensive in scope, and serve a 
     substantial patient population.
       Management Efficiencies.--The conferees share the concern 
     of the Senate that estimated management efficiencies are not 
     supported by adequate budget justification details. 
     Therefore, in future budget submissions, the Department is 
     directed to provide more detail on its justification for 
     management efficiencies.


                           MEDICAL FACILITIES

       The conference agreement appropriates $3,297,669,000 for 
     operation, maintenance and security of Medical Facilities as 
     proposed by both the House and the Senate. The agreement also 
     includes language allowing $250,000,000 of the funds to be 
     available until September 30, 2007.
       Community Based Outpatient Clinics.--The conferees have 
     received numerous requests for funding specific Community 
     Based Outpatient Clinics (CBOCs) but have retained the 
     practice of not earmarking funds for these facilities. 
     However, the conferees are concerned that the commitments 
     made as a result of the final recommendations of the Capital 
     Asset Realignment for Enhanced Services Commission may not be 
     kept due to a variety of reasons. The conferees direct the 
     Department to report on the status of CBOC's in Bessemer, 
     Alabama; Richmond County (Hamlet), North Carolina; Conroe, 
     Texas; Athens, Tennessee; North Central Washington; 
     Lynchburg, Virginia; and Charlottesville, Virginia, including 
     the reasons for any delay associated with their 
     establishment. In addition, the conferees urge the Department 
     to re-evaluate the need for CBOC's in Capitola, California; 
     Jackson County, Florida; Levittown (Bucks County), 
     Pennsylvania; Sunbury (Northumberland County), Pennsylvania; 
     Bellingham, Washington; and Gladstone, Michigan. The 
     conferees direct the Department to complete this report no 
     later than March 15, 2006 and submit it to the Committees on 
     Appropriations of both Houses of Congress.
       Community Based Outpatient Clinics in Rural Areas.--The 
     conferees remain concerned about veterans' access to 
     healthcare in rural areas. As such, the conferees direct the 
     Secretary to reevaluate Veterans Health Administration 
     Handbook 1006.1 and other guidance and procedures related to 
     planning, activating, staffing, and maintaining Community 
     Based Outpatient Clinics to ensure that rural areas are 
     adequately served. In addition, the Secretary should also 
     review the criteria utilized, including geographic access, 
     number of Priority 1 through 6 veterans, market penetration, 
     cost effectiveness and distance to parent facilities, to 
     determine whether planning criteria disadvantage rural 
     veterans. The Senate had addressed this issue as 
     administrative provision 227.
       Beckley, West Virginia.--The conferees agree with language 
     included in the Senate report urging the Department to 
     include sufficient funding in its fiscal year 2007 budget 
     request for construction of a 120-bed nursing home care unit 
     at the Beckley, West Virginia VAMC, consistent with the CARES 
     priority list as described in the Department's February 2005 
     Five-Year Capital Plan 2005-2010 report.


                    MEDICAL AND PROSTHETIC RESEARCH

       The conference agreement appropriates $412,000,000 for 
     Medical and Prosthetic Research as proposed by the Senate 
     instead of $393,000,000 as proposed by the House. The 
     conferees agree with the Senate provision which designates 
     $15,000,000 for Gulf War Illness research.
       Mental Health Research.--The conferees agree that research 
     on mental health diagnosis and treatment should be a priority 
     of the Department of Veterans Affairs. The conferees believe 
     that more research may lead to earlier identification of 
     problems and more effective treatment, thereby reducing the 
     long-term complications and costs associated with mental 
     health issues. The conferees strongly suggest that the 
     Department encourage research in this discipline by 
     establishing a balanced and goal-based research program which 
     takes into consideration the potential benefit of better 
     treatment as well as reducing the cost of care provided by 
     the Department.
       Gulf War Illness.--The conferees recognize the unique 
     nature of Gulf War Illness and direct the Department to 
     implement the recommendations of the Research Advisory 
     Committee (RAC) on Gulf War Veterans' Illness in the context 
     of the overall Department research program. One aspect of 
     this effort is the establishment of a research center of 
     excellence devoted to Gulf War Illness research. The 
     conferees are supportive of this effort and direct the 
     Department to report to the Committees on Appropriations of 
     both Houses of Congress regarding establishment of such a 
     center by March 15, 2006. In complying with the RAC 
     recommendations, the Department is directed to devote at 
     least $15,000,000 to Gulf War Illness research in this fiscal 
     year, and in each of the next four fiscal years. In addition, 
     this initiative shall, at a minimum, begin with a pilot study 
     involving collaborative research between a VA Medical Center 
     and the University of Texas, Southwestern Medical Center, 
     which is presently conducting extensive research on Gulf War 
     Illness.

                      Departmental Administration


                       GENERAL OPERATING EXPENSES

       The conference agreement appropriates $1,410,520,000 for 
     General Operating Expenses instead of $1,411,827,000 as 
     proposed by the House and $1,418,827,000 as proposed by the 
     Senate. The conference agreement provides not less than 
     $1,053,938,000 for the Veterans Benefits Administration, 
     instead of $1,086,938,000 as proposed by the House and 
     $1,093,937,500 as proposed by the Senate. Of the amount 
     provided, $70,000,000 is available for obligation until 
     September 30, 2007, as proposed by the House instead of 
     $71,000,000 as proposed by the Senate.
       The agreement also provides for a limitation on the 
     purchase of passenger motor vehicles for use in operations by 
     the Veterans Benefits Administration in Manila, Philippines, 
     as proposed by the House. The Senate had proposed no 
     limitation.
       Senate language directing the Department to conduct an 
     information campaign in States with lower disability 
     compensation payments has been moved to administrative 
     provisions, section 228.
       The conferees do not agree to the Senate language calling 
     for a report on the cost of replacing non-standardized home 
     glucose monitoring equipment while maintaining existing 
     equipment, depending upon patient choice. The report is not 
     required since the conferees have adopted an administrative 
     provision (section 220) prohibiting the Department from 
     moving forward with a national standardization effort for 
     home glucose monitoring equipment.


                     INFORMATION TECHNOLOGY SYSTEMS

       The conference agreement appropriates $1,213,820,000 for 
     Information Technology Systems as a new account instead of 
     $1,456,821,000 as proposed by the Senate. The House had 
     maintained information technology funding as part of existing 
     accounts, including Medical Administration.
       Senate language regarding the HealtheVet program has been 
     moved to administrative provisions, section 229.
       Based upon the funding provided, the Department is to 
     provide a comprehensive listing of priority projects for 
     fiscal year 2006 and submit it to the Committees on 
     Appropriations of both Houses of Congress within 30 days of 
     enactment of this Act.
       The conferees note that on October 19, 2005, the Secretary 
     of the Department of Veterans Affairs approved a federated 
     information technology model for the Department. This model 
     will require significant reorganization of the Department's 
     information technology management and operations and will 
     take a minimum of 12 months to accomplish. The conferees hope 
     that the revised account structure approved in this 
     appropriations Act and the management model approved by the 
     Secretary will go far in improving the efficiency of the 
     Department's information technology systems while giving the 
     Congress better insight into these programs.
       The conferees agree that in this first year of a major 
     reorganization of information technology activities, funding 
     will be available for a two-year period instead of one year. 
     This will allow sufficient time for the Department to 
     reorganize and execute its information technology projects in 
     an effective manner.
       The conferees agree that the Department is to provide the 
     Committees on Appropriations of both Houses of Congress with 
     quarterly reports on the status of each information 
     technology project included in the budget. Each report shall 
     include, but not be limited to, a milestone schedule for each 
     project, each project's scheduled completion date, the amount 
     appropriated for each project, planned and actual obligations 
     of each project with explanations of the variance, and the 
     unobligated balances of each project.
       The conferees are in agreement that the amount provided for 
     the CoreFLS project shall be limited to $30,000,000 in fiscal 
     year 2006.


                    NATIONAL CEMETERY ADMINISTRATION

       The conference agreement appropriates $156,447,000 for the 
     National Cemetery Administration as proposed by both the 
     House and the Senate. The conferees agree that the Department 
     is to provide a report to the Committees on Appropriations of 
     both Houses of Congress on the potential use of land at Fort 
     Ord, California, for a national cemetery. The conferees 
     direct the Secretary and the Undersecretary for Memorial 
     Affairs to examine the unique situation at Fort Ord and 
     report back to the Committees no later than January 16, 2006.

[[Page 26825]]




                      OFFICE OF INSPECTOR GENERAL

       The conference agreement appropriates $70,174,000 for the 
     Office of Inspector General as proposed by both the House and 
     the Senate.


                      CONSTRUCTION, MAJOR PROJECTS

       The conference agreement appropriates $607,100,000 for 
     Construction, Major Projects as proposed by both the House 
     and the Senate. Within the amount provided, $532,010,000 is 
     for Capital Asset Realignment for Enhanced Services (CARES) 
     projects as proposed by the House instead of $539,800,000 as 
     proposed by the Senate. The agreement also provides 
     $2,500,000 for reimbursement for contract disputes as 
     proposed by the Senate, instead of $8,091,000 as proposed by 
     the House. The conferees have included a modified provision, 
     proposed by the Senate, which restricts the Department's 
     ability to reduce the mission, services or infrastructure, 
     including land, of 18 facilities on the CARES list requiring 
     further study, without prior approval of the Committees on 
     Appropriations of both Houses of Congress.
       CARES Feasibility Studies.--The conferees are concerned 
     with ongoing delays in the feasibility study for new veteran 
     hospitals. The CARES decision recognized that these hospitals 
     need to be replaced with new hospitals in order to provide 
     veterans with the access and quality of care they need. The 
     feasibility study delays are undermining the Secretary's 
     decision and threaten to unnecessarily delay construction of 
     these new hospitals. The Department is directed to work with 
     the contractor conducting the feasibility studies to ensure 
     that they are completed and the Secretary has made a final 
     decision, by June 1, 2006, on building these new hospitals. 
     The Department will report to the Committees on 
     Appropriations of both Houses of Congress within 30 days of 
     enactment of this bill on the action it has taken to meet 
     these requirements.


                      Construction, Minor Projects

       The conference agreement appropriates $198,937,000 for 
     Construction, Minor Projects instead of $208,937,000 as 
     proposed by both the House and the Senate. The conference 
     agreement provides $155,000,000 for construction projects 
     implementing CARES recommendations, instead of $160,000,000 
     as proposed by both the House and the Senate. The agreement 
     does not include a provision proposed by the Senate which 
     would make additional funding available for CARES activities 
     upon notification and approval by the Committees on 
     Appropriations of both Houses of Congress.


       Grants for Construction of State Extended Care Facilities

       The conference agreement appropriates $85,000,000 for 
     Grants for Construction of State Extended Care Facilities 
     instead of $25,000,000 as proposed by the House and 
     $104,322,000 as proposed by the Senate.
       The conferees agree with the direction of the House calling 
     for the Department to undertake a rigorous and extensive 
     analysis of long-term care needs of veterans and report to 
     the Committees on Appropriations of both Houses of Congress 
     by March 31, 2006, on the results of that study. This study 
     is to be done with all interested stakeholders participating.
       The conferees do not agree with the Senate position 
     restricting grants to any one state to one-third of the 
     amount appropriated in any one fiscal year.


        Grants for the Construction of State Veterans Cemeteries

       The conference agreement appropriates $32,000,000 for 
     Grants for the Construction of State Veterans Cemeteries, as 
     proposed by both the House and the Senate.


                       Administrative Provisions

                     (including transfers of funds)

       The conference agreement includes section 201 allowing for 
     transfers among various mandatory accounts as proposed by 
     both the House and the Senate and includes a proviso 
     requiring Congressional notification and approval as proposed 
     by the Senate.
       The conference agreement includes section 202 allowing for 
     the use of salaries and expenses funds to be used for other 
     authorized purposes as proposed by both the House and the 
     Senate.
       The conference agreement includes section 203 restricting 
     the use of funds for the acquisition of land as proposed by 
     the House.
       The conference agreement includes section 204, as proposed 
     by both the House and the Senate, limiting the use of funds 
     in the Medical Services account to only entitled 
     beneficiaries or unless reimbursement is made to the 
     Department.
       The conference agreement includes section 205 allowing for 
     the use of certain mandatory appropriations accounts for 
     payment of prior year accrued obligations for those accounts 
     as proposed by both the House and the Senate.
       The conference agreement includes section 206 allowing for 
     the use of appropriations available in this title to pay 
     prior year obligations as proposed by both the House and the 
     Senate.
       The conference agreement includes section 207, as proposed 
     by both the House and the Senate, regarding administration of 
     the National Service Life Insurance Fund, the Veterans' 
     Special Life Insurance Fund, and the United States Government 
     Life Insurance Fund.
       The conference agreement includes section 208 making the 
     Department's Franchise Fund authority permanent. The House 
     had proposed a one-year extension and the Senate had proposed 
     permanent authority with different language.
       The conference agreement includes section 209, as proposed 
     by both the House and the Senate, allowing for the proceeds 
     from enhanced-use leases to be obligated in the year in which 
     the proceeds are received.
       The conference agreement includes section 210, as proposed 
     by both the House and the Senate, allowing for the use of 
     funds in this title for salaries and other administrative 
     expenses to be used to reimburse the Office of Resolution 
     Management and the Office of Employment Discrimination 
     Complaint Adjudication.
       The conference agreement includes section 211 limiting the 
     use of funds for any lease with an estimated annual rental of 
     more than $300,000 unless approved by the Committees on 
     Appropriations of both Houses of Congress, as proposed by 
     both the House and the Senate.
       The conference agreement includes section 212 requiring the 
     Secretary of the Department of Veterans Affairs to collect 
     third-party payer information for persons treated for non-
     service connected disability, as proposed by both the House 
     and the Senate.
       The conference agreement includes section 213, as proposed 
     by both the House and the Senate, allowing for the use of 
     enhanced-use leasing revenue for Construction, Major Projects 
     and Construction, Minor Projects.
       The conference agreement includes section 214 allowing for 
     the use of Medical Services funds to be used for recreational 
     facilities and funeral expenses as proposed by both the House 
     and the Senate.
       The conference agreement includes section 215 allowing for 
     funds deposited into the Medical Care Collections Fund to be 
     transferred to the Medical Services account, as proposed by 
     both the House and the Senate.
       The conference agreement includes section 216 allowing for 
     the transfer of funds among three medical accounts for the 
     purpose of perfecting the restructuring of the Veterans 
     Health Administration accounts. Such transfers are subject to 
     prior Congressional approval. Both the House and the Senate 
     had proposed similar transfer provisions with slightly 
     different language. The conferees would like to emphasize 
     that the transfers permitted by this provision are to be 
     highlighted to the Congress in a timely manner. The conferees 
     note that this new account structure has been in place for 
     three years and sufficient time has passed for the Department 
     to budget properly in this account structure. The conferees 
     do not expect to continue this provision in the future.
       The conference agreement includes section 217 allowing for 
     the transfer of funds from General Operating Expenses to the 
     Veterans Housing Benefit Program Fund Program Account for the 
     cost of a nationwide property management contract, as 
     proposed by both the House and the Senate.
       The conference agreement includes section 218, as proposed 
     by both the House and the Senate, which allows Alaskan 
     veterans to use medical facilities of the Indian Health 
     Service or tribal organizations at no additional cost to the 
     Department of Veterans Affairs or the Indian Health Service.
       The conference agreement includes section 219 which 
     provides for the transfer of funds from the Department of 
     Veterans Affairs Capital Asset Fund to the Construction, 
     Major Projects and Construction, Minor Projects accounts and 
     makes those funds available until expended. This provision 
     was included in both the House and the Senate bills.
       The conference agreement includes section 220, which 
     prohibits the expenditure of funds to replace the current 
     system by which VISNs select and contract for diabetes 
     monitoring supplies and equipment. The House had proposed a 
     similar prohibition and the Senate had proposed report 
     language on this issue.
       The conference agreement includes section 221, prohibiting 
     the use of funds on any policy prohibiting the outreach or 
     marketing to enroll new veterans, as proposed by the Senate.
       The conference agreement includes section 222, which 
     requires the Secretary to submit quarterly reports on the 
     financial status and service level status of the Veterans 
     Health Administration. The report shall contain, at a 
     minimum, both planned and actual expenditure rates, 
     unobligated balances, potential financial shortfalls, any 
     transfers between major accounts (medical services, medical 
     administration, and medical facilities), and status of any 
     equipment or non-recurring maintenance funds--including 
     whether they have been used to pay for operating expenses. In 
     addition, the service portion of the report will contain, at 
     a minimum, the time required for new patients to get their 
     first appointment, the time required for established patients 
     to get their next appointment, and the number of unique 
     veterans and patients being served. Each report should 
     address data for the system total and for each VISN, and for 
     comparison purposes the initial report shall also provide 
     patient data for the preceding eight quarters. The conference 
     agreement modifies Senate section 203.

[[Page 26826]]

       The conference agreement includes section 223, requiring 
     the Department of Veterans Affairs to submit to the 
     Committees on Appropriations of both Houses of Congress, a 
     plan for implementation of the third recommendation contained 
     in Office of Inspector General Report No. 05-00765-137. The 
     provision also prohibits the expenditure of funds 
     retroactively to revoke or reduce disability compensation 
     payments related to 2,100 cases used in preparing the 
     Inspector General report. The language in the conference 
     agreement is a modification of the language included in the 
     Senate bill.
       The conference agreement includes section 224, as proposed 
     by the Senate, calling for collaboration between the National 
     Center for Post Traumatic Stress Disorder and the Department 
     of Defense. The provision was not in the House bill.
       The conference agreement includes section 225, allowing for 
     the transfer of funds from various accounts to the 
     Information Technology Systems account to complete the 
     restructuring in this appropriations Act, subject to 
     congressional approval. This provision was not in either 
     House or Senate bill.
       The conference agreement includes section 226, allowing for 
     the transfer of funds among various accounts to perfect the 
     accounting structure of the Information Technology Systems 
     account, subject to congressional approval. This provision 
     was not in either House or Senate bill.
       The conference agreement includes section 227, providing 
     for transfer of funds among projects within the Information 
     Technology Systems account, subject to congressional 
     notification and approval for any change of $1,000,000 or 
     more.
       The conference agreement includes section 228, providing 
     for the Department to conduct an information campaign in 
     States where disability compensation payments are less than 
     $7,300. The Senate had proposed this language as a proviso 
     within the General Operating Expenses account.
       The conference agreement includes section 229, which places 
     a cap on the total funding available for HealtheVetVista in 
     fiscal year 2006 and requires approval of an expenditure plan 
     for the project by the Committees on Appropriations of both 
     Houses of Congress. The Senate had proposed similar language 
     as part of the Information Technology account.
       The conference agreement includes section 230, which 
     extends the authorization of the Department's homeless 
     program until September 30, 2006. This provision was not in 
     either House or Senate bill.
       The conference agreement does not include a provision 
     proposed by the Senate (section 204), which would have 
     required the Department to seek approval of the Congress for 
     a change of 10 percent or more in the scope of a major 
     construction project. The proposed provision would have 
     duplicated section 8104 of title 38, United States Code.
       The conference agreement does not include a provision 
     proposed by the House (section 213) restricting the use of 
     funds for implementing sections 2 and 5 of Public Law 107-287 
     and section 303 of Public Law 108-422.
       The conference agreement does not include a provision 
     proposed by the Senate (section 222). The report requested in 
     the provision has been addressed in the overview language at 
     the beginning of this section on the Department of Veterans 
     Affairs.
       The conference agreement does not include a provision 
     proposed by the Senate (section 223) regarding distribution 
     of veterans' benefits handbooks. This issue is addressed in 
     the overview language at the beginning of this section on the 
     Department of Veterans Affairs.
       The conference agreement does not include a provision 
     proposed by the Senate (section 226) because it duplicates 
     the intent of Senate section 203.
       The conference agreement does not include a provision 
     proposed by the Senate (section 227) regarding Community 
     Based Outpatient Clinics in rural areas. This issue is 
     addressed in the Medical Facilities section of the statement 
     of the managers.

                               TITLE III

                            RELATED AGENCIES

                  American Battle Monuments Commission


                         salaries and expenses

       The conference agreement appropriates $36,250,000 for 
     Salaries and Expenses as proposed by the Senate, instead of 
     $35,750,000 as proposed by the House.
       Within the amount provided, the conferees are in agreement 
     that the Commission is to use $500,000 to have a study 
     conducted to determine what action is warranted to preserve 
     the stability of the World War II Point du Hoc Ranger 
     Monument located near the Normandy American Cemetery in 
     France.
       The conferees have also provided the full budget request of 
     $3,100,000 for the completion of funding required to 
     construct the Normandy Interpretive Center at the Normandy 
     American Cemetery in France.
       The conferees agree with direction in the House report that 
     the Commission is to provide a report of the financial 
     position of the World War II Memorial fund annually to the 
     Committees on Appropriations of the House and Senate.


                 foreign currency fluctuations account

       The conference agreement appropriates $15,250,000 for the 
     Foreign Currency Fluctuations Account as proposed by both the 
     House and the Senate.

           United States Court of Appeals for Veterans Claims


                         salaries and expenses

       The conference agreement appropriates $18,795,000 for the 
     Salaries and Expenses Account as proposed by the Senate, 
     instead of $18,295,000 as proposed by the House. The 
     conferees are in agreement that the increase shall be used to 
     begin implementation of an electronic case management system 
     as directed in the Senate report.

         Department of Defense--Civil Cemeterial Expenses, Army


                         salaries and expenses

       The conference agreement appropriates $29,050,000 for 
     Salaries and Expenses, instead of $29,550,000 as proposed by 
     the House and $28,550,000 as proposed by the Senate.
       The conferees are in agreement that $1,000,000 is to be 
     used to continue the Arlington Cemetery automation process 
     with a priority placed on providing for the physical security 
     of the ``hard copy'' records. Additionally, the conferees 
     direct the Army to provide an updated report to the 
     Committees on Appropriations of the House and Senate on its 
     automation process. The report shall identify detailed cost 
     estimates for the total project as well as costs for key 
     components, which may be procured on a stand-alone basis.

                      Armed Forces Retirement Home

       The conference agreement appropriates $58,281,000 for the 
     Armed Forces Retirement Home as proposed by both the House 
     and the Senate. These funds are to be paid from funds 
     available in the Armed Forces Retirement Home Trust Fund. Of 
     the amount provided, $1,248,000 shall remain available until 
     expended for construction and renovation of physical plants 
     at the Armed Forces Retirement Home. The conferees recognize 
     that the Washington, D.C. facility is undergoing a 
     transformation as a result of moving residents from the 
     Gulfport, Mississippi facility after hurricane Katrina. The 
     conferees wish to be fully informed of any changes at the 
     Washington, D.C. facility and direct the Armed Forces 
     Retirement Home to provide periodic updates and information 
     to the Committees on Appropriations of the House and Senate.

                                TITLE IV

                           GENERAL PROVISIONS

       The conference agreement includes section 401 as proposed 
     by the House to prohibit the obligation of funds in the Act 
     beyond the current fiscal year unless expressly so provided. 
     The Senate bill contained no similar provision.
       The conference agreement includes section 402 as proposed 
     by the House to require pay raises to be absorbed within the 
     levels appropriated in the Act. The Senate bill contained no 
     similar provision.
       The conference agreement includes section 403 as proposed 
     by the House to prohibit the use of funds in the Act for 
     programs, projects or activities not in compliance with 
     Federal law relating to risk assessment, the protection of 
     private property rights, or unfunded mandates. The Senate 
     bill contained no similar provision.
       The conference agreement includes section 404 as proposed 
     by the House to prohibit the use of funds in the Act to 
     support or defeat legislation pending before Congress. The 
     Senate bill contained no similar provision.
       The conference agreement includes section 405 as proposed 
     by the House to encourage the expansion of E-Commerce 
     technologies and procedures. The Senate bill contained no 
     similar provision.
       The conference agreement includes section 406 as proposed 
     by both Houses of Congress to prohibit the transfer of funds 
     to any instrumentality of the United States Government 
     without authority from an appropriations Act.
       The conference agreement includes section 407 as proposed 
     by both Houses of Congress to specify the congressional 
     committees that are to receive all reports and notifications.
       The conference agreement includes a new section 408 to 
     amend section 613 of the Science, State, Justice, Commerce 
     and Related Agencies Appropriations Act, 2006.
       The conference agreement does not include a provision 
     proposed by the House regarding reimbursements for 
     consultants. The Senate bill contained no similar provision.
       The conference agreement does not include a provision 
     proposed by the House regarding a reporting requirement in 
     the Defense Base Closure and Realignment Act of 1990. The 
     Senate bill contained no similar provision.
       The conference agreement does not include a provision 
     proposed by the Senate regarding conference report 
     requirements. The House bill contained no similar provision.

[[Page 26827]]

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[[Page 26829]]

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[[Page 26830]]

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[[Page 26831]]

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[[Page 26832]]

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[[Page 26833]]

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[[Page 26834]]

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[[Page 26835]]

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[[Page 26837]]

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[[Page 26838]]

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[[Page 26841]]

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[[Page 26848]]

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[[Page 26849]]



                   Conference Total--With Comparisons

       The total new budget (obligational) authority for the 
     fiscal year 2006 recommended by the Committee of Conference, 
     with comparisons to the fiscal year 2005 amount, the 2006 
     budget estimates, and the House and Senate bills for 2006 
     follow:

                       [In thousands of dollars]

New budget (obligational) authority, fiscal year 2005.......$78,799,417
Budget estimates of new (obligational) authority, fiscal year81,726,037
House bill, fiscal year 2006.................................80,531,818
Senate bill, fiscal year 2006................................82,984,618
Conference agreement, fiscal year 2006.......................82,573,514
Conference agreement compared with:
  New budget (obligational) authority, fiscal year 2005......+3,774,097
  Budget estimates of new (obligational) authority, fiscal year+847,477
  House bill, fiscal year 2006...............................+2,041,696
  Senate bill, fiscal year 2006................................-411,104

     James T. Walsh,
     Robert B. Aderholt,
     Anne M. Northup,
     Michael K. Simpson,
     Ander Crenshaw,
     C.W. Bill Young,
     Mark Steven Kirk,
     Dennis R. Rehberg,
     John Carter,
     Jerry Lewis,
     Chet Edwards,
     Sam Farr,
     Allen Boyd,
     Sanford D. Bishop, Jr.,
     David E. Price,
     Robert E. Cramer, Jr.,
     David R. Obey.
                                Managers on the Part of the House.

     Kay Bailey Hutchison,
     Conrad Burns,
     Larry Craig,
     Mike DeWine,
     Sam Brownback,
     Wayne Allard,
     Mitch McConnell,
     Thad Cochran,
     Dianne Feinstein,
     Daniel K. Inouye,
     Tim Johnson,
     Mary L. Landrieu,
     Robert C. Byrd,
     Patty Murray,
     Patrick Leahy.
     Managers on the Part of the Senate.

                          ____________________