[Congressional Record (Bound Edition), Volume 152 (2006), Part 6]
[House]
[Pages 7696-7784]
[From the U.S. Government Publishing Office, www.gpo.gov]




        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2007

  Mr. HUNTER. Mr. Speaker, I ask unanimous consent that during 
consideration of H.R. 5122, pursuant to House Resolution 806, general 
debate shall not exceed 2 hours equally divided and controlled by the 
chairman and ranking minority member of the Committee on Armed 
Services.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from California?
  There was no objection.
  The SPEAKER pro tempore. Pursuant to House Resolution 806 and rule 
XVIII, the Chair declares the House in the Committee of the Whole House 
on the State of the Union for the consideration of the bill, H.R. 5122.

                              {time}  1355


                     In the Committee of the Whole

  Accordingly, the House resolved itself into the Committee of the 
Whole House on the State of the Union for the consideration of the bill 
(H.R. 5122) to authorize appropriations for fiscal year 2007 for 
military activities of the Department of Defense, to prescribe military 
personnel strengths for fiscal year 2007, and for other purposes, with 
Mr. Gingrey in the chair.
  The Clerk read the title of the bill.
  The CHAIRMAN. Pursuant to the rule, the bill is considered read the 
first time.
  Pursuant to the order of the House of today, the gentleman from 
California (Mr. Hunter) and the gentleman from Missouri (Mr. Skelton) 
each will control 60 minutes.
  The Chair recognizes the gentleman from California.
  Mr. HUNTER. Mr. Chairman, I yield myself such time as I may consume.
  Last week the Committee on Armed Services reported out a bill that 
very clearly reflects our steadfast support for our service members and 
their families, our deep appreciation for their many sacrifices, and 
the strong bipartisan spirit that characterizes this committee.
  Passing with a committee vote of 60-1, the National Defense 
Authorization Act for Fiscal Year 2007 provides for both near and long-
term military personnel and force structure requirements, and 
highlights the need for improvements in acquisition processes and 
cooperation among key Federal agencies.
  Mr. Chairman, the legislation provides $512.9 billion for the 
Department of Defense and the security programs of the Department of 
Energy. We include a recommendation of active duty growth of 30,000 for 
the Army and 5,000 for the Marine Corps above the President's budget 
request.

[[Page 7697]]

  We also include a supplemental bridge fund of some $50 billion to 
support our troops operating in Afghanistan, Iraq and other places in 
the global war on terrorism, and this, Mr. Chairman, is to provide for 
a seamless continuity in the waning calendar months of this year so 
that our troops continue to be well supplied before any supplementals 
in the following year.
  Mr. Chairman, we appreciate the National Guard and Reserve, and we 
have provided for additional end strength up to 350,000, and we also 
have right now a series of other enhancements that are being looked at 
by the special commission chartered by this body and the other body and 
the President to address National Guard issues. We are going to be 
doing that. We are going to be getting their recommendations shortly, 
and those recommendations may be manifested in a bill to follow this 
one.
  But this year, taking care of our troops and protecting our troops 
has been a real priority, and we have included additional money, in 
excess of $100 million, for jamming devices to handle roadside bombs. 
We have included additional money for greater armor in our platforms, 
better armor with our new technology in the body armor units that are 
issued so our Army and Marine Corps personnel, in fact all personnel 
who are stationed in this theater, and we are spending a lot of 
resources protecting our forces, protecting the troops.
  Additionally, Mr. Chairman, we look over the horizon and we look at 
potential trouble spots around the world, security challenges over the 
next 5, 10, 15, 20 years, and we do a few other things, and our very 
able chairmen of the subcommittees are going to describe a lot of the 
things that we do with respect to equipment and personnel in detail. 
But we keep a little more insurance, perhaps, than the administration 
has in a couple of areas.
  One is stealth attack aircraft. We used just a few percentage of 
these great F-117 stealth aircraft in the first gulf war, and yet they 
knocked out over 20 percent of the targets. This combination of stealth 
and precision munitions has been a very critical and important factor 
in the American security apparatus. We don't allow the Air Force to 
move so quickly to retire those stealth aircraft until we get others 
online.
  We also retain a greater part of our bomber force. That has been the 
backbone of our deep strike for many, many years. We don't have a new 
bomber program right now and we don't want to let quite as many of 
those birds go before we are well embarked on this new bomber program.

                              {time}  1400

  As you move across the modernization spectrum, Mr. Chairman, our 
members have done an extraordinary job in putting together packages for 
our special operators, for our line troops, for our Guard and Reserve. 
We have also done some great things for people, for families.
  We have extended TRICARE. We have completed this movement of coverage 
of TRICARE to our National Guard personnel. We have made prescription 
drugs more affordable. We have put an emphasis and an incentive on 
getting your medicine through the mail, because that is a much lower 
burden for the taxpayers of the United States and very convenient now 
for those recipients.
  Mr. Chairman, we have great subcommittee chairmen and great ranking 
members. We are going to be recognizing them to tell us about this 
bill. I want to give my thanks to them and my special partner and 
friend, Ike Skelton, who has put in countless hours leading on issues 
and developing issues and working to ensure that the people that wear 
the uniform of the United States have the very finest conditions and 
the very finest treatment for themselves and their family, and that 
America's defense remains the envy of the world.
  I reserve the balance of my time, Mr. Chairman, with many thanks to 
all the committee, and all the staff, who helped to put this bill 
together.
  Mr. SKELTON. Mr. Chairman, let me first begin by complimenting the 
chairman, Duncan Hunter, as well as the subcommittee chairmen and 
ranking members. This is an excellent bill. I hope it will pass in due 
course by the substantial vote by this body. It authorizes $462.9 
billion for defense programs.
  It also authorizes a supplemental authorization for $50 billion that 
I believe we should go beyond budgeting for foreseeable war costs in a 
supplemental fund. We should do it the proper way because we know at 
least within the realm of possibility what they are, and we would 
authorize those programs and activities. However, it is being done this 
way, and we will make the most of it, and we are at least following 
what is correct by authorizing that $50 billion.
  This also increases the end strength of the Army, Marines, protective 
vests, armored Humvees and additional equipment for the National Guard. 
Though it is still going to be short-changed, we are making substantial 
steps in equipping the National Guard. I think that a supplemental does 
not go far enough in that regard.
  The bill also reserves the administration's plan or reverts to the 
administration's plan with regard to the Army National Guard and it 
fully funds the end strength at the authorized level. The 
administration recommended authorizing the full amount of troops for 
the Army National Guard that are there now, but paying for that number 
only rather than for the full amount that it should. We changed that in 
this bill.
  We also take a look at the area regarding the Persian Gulf, and it is 
so very, very important that we take a look at that area. The bill 
addresses important quality-of-life issues that are at the top of the 
agenda for members and their families, a 2.7 percent pay raise.
  It also does what we should have done some time ago, preserves the 
retiree benefits by keeping health care premiums under TRICARE at their 
current levels.
  With this bill we take steps to ensure that our troops have the best 
possible equipment. We take a step toward doing better in the Navy by 
fully funding the ship steaming days and adding an additional $400 
million for advanced procurement for the Virginia class submarine; $300 
million more for the National Guard equipment, including the 
prepositioned stocks.
  The bill also includes important bipartisan initiatives to address 
the future challenges. It directs the Secretary of Defense to provide 
Congress with a report on the Department's 10-year strategy for 
addressing threats posed by Iran to our country and to international 
security. This is terribly important because Iran is on the horizon, 
and hopefully we can take a good look at this and see what the report 
from the Department of Defense will say, which specifically addresses 
Iran's nuclear activities and the destabilizing influence that country 
has on the entire Middle East. Given the great challenges posed by 
Iran, that is a very important provision.
  The bill also takes the first step at enhancing interagency 
coordination so that the United States truly is able to engage in a 
full range of national powers and pursue our national interest.
  A number of years ago we passed what is known as the Goldwater-
Nichols bill, which created a jointness among the various services. We 
need one hundred-fold of the coordination between the agencies of our 
government so we can pursue the national interest far better than we 
are today. The left hand often does not know what the right hand is 
doing.
  But even with all these positive steps, this bill would be improved 
by a number of amendments that I am hopeful, Mr. Chairman, the Rules 
Committee will make in order: My amendment to lower the increased 
retail pharmacy copay fees for military families; the amendments 
offered by Mr. Hoyer, Mr. Udall and Mr. Gordon on energy security; the 
amendment offered by Mr. Andrews and other colleagues to increase 
funding for nonproliferation programs. We are simply not doing enough 
to deal with the weapons of mass destruction threat.

[[Page 7698]]

The amendment by Mr. Israel to require that chaplains demonstrate 
sensitivity, respect and tolerance towards service members of all 
faiths, that is terribly important.
  Mr. Chairman, I sincerely hope that these amendments at the next go-
round of the rules decisions will be made in order to make this bill 
all the better.
  Mr. Chairman, let me take this opportunity to say a special thanks to 
Joel Hefley and to Lane Evans. Joel Hefley, a subcommittee chairman for 
many years, Lane Evans, ranking member of the Veterans' Affairs 
Committee, will be leaving us. This will be their last bill. We are so 
grateful for their tireless service through the years. We wish them all 
the best in the days ahead. We owe a special thanks to Joel Hefley and 
Lane Evans.
  Mr. Chairman, I reserve the balance of my time.
  Mr. HUNTER. Mr. Chairman, we are at a crossroads on a lot of our 
defense weapons systems. There is no one more capable or better trained 
to lead in these very important decisions than the gentleman from 
Pennsylvania (Mr. Weldon), who is the chairman of the Tactical Air and 
Land Forces Subcommittee.
  Mr. Chairman, I yield the gentleman from Pennsylvania (Mr. Weldon) 6 
minutes.
  Mr. WELDON of Pennsylvania. Mr. Chairman, I thank my distinguished 
chairman and friend for yielding and thank the ranking member for his 
outstanding leadership, two great Americans.
  You know, this city is filled with a rhetoric that we don't work well 
together, that we are at each other's throats, that we are partisan. 
This bill passed our committee with a vote of 61 to 1. This bill was 
done in a bipartisan way and has the support of members from both 
sides.
  I am proud of the fact, Mr. Chairman, that my subcommittee, which has 
28 members, for the 12th consecutive year had no votes, no votes or 
suggested votes that would split our party along or our committee along 
party lines. My good friend Neil Abercrombie, my ranking member, and I 
worked together. He had great ideas. I took his ideas and suggestions 
and made them a part of the bill.
  I want to say to our colleagues in this body and our people around 
the country, the Congress is working, we are working well together. We 
are doing good things. Now some would say that we don't have the right 
thing in the Congress to change what the White House and the Pentagon 
gives us. Hogwash. That is our job. If we hadn't done our job, we would 
not have had the Predator armed. It was this Congress mandated back in 
1996 that we arm the Predator. It was this Congress in the 1990s, when 
the Clinton administration didn't request increases for pay for the 
troops, that plussed up the funding for the pay for the troops.
  It is our responsibility to make change, and we have done it. It was 
this committee that recommended we put the $25 billion up for the 
supplemental for the war. When the White House didn't want to do it, we 
led the effort, and everyone else followed.
  Mr. Chairman, in this committee, in my mark we have increased $1.5 
million for up-armoring Humvees. We have increased $200 million for 
tactical radios for the troops to use. We have increased to $69 million 
towards explosive jammers to allow our troops to be able to detonate 
these bombs before they are in the area or to make them not able to 
work.
  We have increased technology that will reduce the weight of the 
equipment that our military officers and soldiers and officers have to 
wear when they are in combat situations in the theater of Iraq or in 
any place in the world.
  This committee has also cut programs. There are some who say all we 
want to do is keep increasing defense spending. In my subcommittee 
alone, or our subcommittee, we cut $678 million from programs that we 
felt the contractors were requesting too many dollars or the services 
were not properly overseeing. We cut the Joint Strike Fighter Program, 
Future Combat Systems, even the Presidential helicopter, because as my 
friend pointed out, Mr. Abercrombie, we want the President to be flying 
in a safe platform when that helicopter is ready to go.
  We took that money and we added $276 million for M1s and Bradley 
fighting vehicles; $408 million for an additional alternate engine for 
the Joint Strike Fighter to continue competition. We put hundreds of 
millions of dollars into our Guard and Reserve troops.
  The role that this committee played is an unbelievable role. It is 
the legitimate role that was thought of in advance by our Founding 
Fathers when they designed our Constitution, that we just do not 
rubber-stamp what the White House and the Pentagon tell us.
  Mr. Chairman, this committee went through dozens and dozens of 
hearings. This chairman has had more briefings for us. In fact, Members 
of Congress walk around with their eyes partly closed because he has us 
up at 8:00 in the morning attending briefings and our markups and 
hearings go until late at night. The involvement of both our members 
from the other side and our members from this side produces a 
cooperative spirit where the resultant product, I think, is 
outstanding.
  There may be some disagreements on floor. I can tell you, Mr. 
Chairman, I am so proud of the committee and the work that we did in 
delivering a 61-1 vote.
  But it is not just about our troops. It is not just about giving them 
the best technology, the best training, the best equipment. We have 
also taken some bipartisan steps to increase the flexibility of using 
our cooperative threat reduction dollars, to go after those weapons of 
mass destruction, whether it is in North Korea or whether it is in 
Libya. In our bill in a joint bipartisan amendment with Mr. Spratt, we 
have put language in providing flexibility for up to $30 million to be 
used by the Pentagon to go into these areas without having to go back 
for a reprogram request to allow us to immediately take action against 
these deposits of WMD when we find them.
  We have also put into place the Nuclear Strategy Forum. We happen to 
think there should be a national debate on what the use of nuclear 
weapons should be in the 21st century. Again with bipartisan support, 
we have put together a team of the best thinkers, the best academics in 
America, who in a bipartisan and nonpartisan way will hold meetings and 
hearings on what should be our nuclear posture. Should we in fact 
reduce our nuclear arsenal? Should we in fact look at testing? Should 
we in fact look to an alternative type of technology away from nuclear 
weapons totally?
  That is a part of this bill. So it is not just about weapons systems. 
It is about a comprehensive approach that will allow us to maintain 
security and, in the end, avoid war, which is the ultimate objective I 
have as long as I am going to be a Member of this institution.
  We also reauthorized the EMP Commission. I want to pay particular 
accolades to Roscoe Bartlett, our colleague, who has been out front on 
that issue for a decade warning us of the threat from the use of 
electromatic pulse. We have put into place a panel. That panel has now 
been reauthorized and are advising us on how we can protect America's 
infrastructure and weapons systems.
  Mr. Chairman, there is a personal priority in this bill to me because 
I am also vice chairman of the Homeland Security Committee and I work 
on behalf of the Nation's firefighters.
  You know our firefighters are our domestic defenders. Our soldiers 
are international defenders. Much of the technology we developed for 
the soldiers has direct application to our firefighters, our paramedics 
and our first responders, but we haven't done a good job in 
transferring that technology, whether it is thermal imagers or whether 
it is GPS capability. We need to give our first responders the same 
kind of protection that we give to our warfighters. In this bill, again 
with the cooperation of members on both sides, we put in a specific 
provision that focuses on the need to immediately transfer technology 
developed by our

[[Page 7699]]

military people and put it into use for our domestic defenders.
  I ask our colleagues to vote ``yes'' on this important domestic bill.
  Mr. Chairman, I have the honor of serving as the Vice Chairman of the 
Armed Services Committee and as the Chairman of the Tactical Air and 
Land Forces Subcommittee.
  I, first of all, want to thank my distinguished chairman for the 
leadership he continues to provide across the wide range of issues that 
come before our committee. And similarly, I would like to express my 
admiration for the ranking member, for the leadership and expertise he 
brings to the committee. To the gentleman from Hawaii (Mr. 
Abercrombie), my ranking member, I thank him. He is a great American 
and it is great to work with him.
  We have a great committee. Yes, there are contentious issues, but 
they get debated, we vote, and then we move on. We address the vast 
majority of issues in a what is best for the troops and taxpayer, non-
partisan way. I cannot tell the Members how proud I am to serve on this 
committee. Every day that I serve in this institution, I am happy that 
we work so well together. This committee, I think, sets the example for 
the entire Congress, demonstrating that we can all work together. I 
think the best evidence of that is, we again had a vote out of 
committee of 61 of the 62 members coming together. Where we had areas 
of disagreement, we have been able to work those out. This is a real 
credit and testimony to this Congress and those 62 members who are on 
this committee and to our Chairman.
  Those of us in the Subcommittee have two priorities: to take care of 
the troops and to do our best to hold DOD accountable for its 
acquisition programs.
  This committee did this year what we have done for the prior 2 years 
to support our personnel in Iraq and Afghanistan. We have held hearings 
at the subcommittee and full committee level, pushing the Pentagon's 
bureaucracy to get the best available equipment to our personnel as 
soon as it can be properly tested--body and vehicle armor; improvised 
explosive device jammers, unmanned aerial vehicles, small arms, night 
vision equipment, and so on. It was this committee that first called 
for additional funding to up-armor our Humvees and take care of the 
troops that were in harm's way. It was this committee that led the 
White House 2 years ago in getting that first $25 billion supplemental.
  This bill makes big changes to programs and it makes seemingly small 
changes to programs that are yet very meaningful to the average 
soldier, sailor, marine, and airman. H.R. 5122 provides over $1.5 
billion in additional funds to procure up-armor Humvees and body armor 
to protect our personnel. The bill provides over $200 million in 
additional funds to procure tactical handheld and small unit radios for 
ground forces, addressing urgent needs in Iraq. The bill also provides 
an additional $69.0 million to produce and deploy 10,000 man-portable 
improvised explosive device jammers that can address a full spectrum of 
threats in theater.
  At the same time increased authorization is provided for small arms 
and small arms technologies. The basic infantryman or marine entering 
combat can be required to carry combat configured loads of ammunition 
and equipment, that combined, can exceed 90 pounds. The bill contains 
funding to advance technologies that can reduce this carrying load 
through advancements in lightweight components for existing small arms 
and caseless ammunition.
  With our military personnel at risk each and every day, supporting 
those personnel by providing them the proper equipment is where our 
number one priority must continue to be. We cannot shortchange the 
current force for a promised future capability.
  Our military is facing major financial challenges in upgrading 
tactical aircraft programs, shipbuilding programs, and space programs. 
And the Army in particular is facing a major budgetary challenge in 
trying to fund its Future Combat Systems Program--a $200 billion 
program; along with Modularity--a major restructuring and equipping of 
its combat brigade structure, a $52.5 billion program; and Reset, 
repairing and remanufacturing equipment returning from Iraq and 
Afghanistan, a $72.3 billion program.
  The bill is about balancing the health and capability of the current 
force with the needs of future military capability.
  Our concern with several programs is one of excess R&D and 
procurement concurrency. We have cut $678 million from the Pentagon's 
request in programs within the subcommittee's jurisdiction. Both the 
Joint Strike Fighter, F-35, and Presidential Helicopter Program, the 
VH-71, have been reduced by a total of $280 million because of our 
concerns that they are not meeting our ``fly before buy'' rule.
  We make other changes that better balance current against promised 
future capabilities: $276 million has been added for M-1 tank and 
Bradley fighting vehicle upgrades. Instead of the Army paying $3 
million per Bradley upgrade, if done at the minimum economic order 
quantity rate, the Army is paying $8 million per vehicle--2\1/2\ times 
what we should be paying. Instead of paying $5 million for an M-1 tank 
upgrade, the Army is paying $7.4 million a tank. Our $276 million 
recommended increase would fund the economic order quantity for each 
vehicle.
  Finally, we seek to correct major last minute budget decisions by the 
Pentagon that seemingly make no sense whatsoever. An example is the 
alternate engine for the Joint Strike Fighter, the F-35. Congress has 
supported a competitive engine strategy for that program for the past 
ten years. The Pentagon proposes to terminate that program without 
having done any substantive analysis. It was a last minute decision to 
balance the books. We add back $408 million to maintain competition in 
the F-35 engine development program. The Subcommittee believes engine 
competition is an important ingredient in fielding an F-35 that is both 
capable and affordable.
  In closing, I again want to thank my distinguished chairman and 
ranking members of the full committee and our subcommittee. This bill 
is deserving of a ``yes'' vote from every Member of this body.

                              {time}  1415

  Mr. SKELTON. Mr. Chairman, I yield 2 minutes to the gentleman from 
Texas (Mr. Ortiz).
  Mr. ORTIZ. Mr. Chairman, I rise in support of this bill. I want to 
thank Chairman Hunter and my ranking member, Mr. Skelton, for their 
skills and leadership in addressing the military issues before us 
today. This bill provides for the needs of our troops and their 
families. I want to thank the staff also for their hard work and all 
they have done to get this bill out and get it on the floor today.
  One of the most important parts of this bill is the attention given 
to the immediate readiness needs of our men and women in uniform. The 
bill takes action in addressing shortfalls in operations, training and 
maintenance, funding that the Department of Defense failed to address 
in their budget submission. Over $850 million is moved into vital 
functions, such as ship steaming days, pre-positioned stocks, depot 
maintenance and training.
  As the ranking member on the Readiness Subcommittee, I have worked 
very closely with my good friend, Chairman Hefley, to address these 
shortfalls while balancing the need for our military to transform 
itself to maintain its standing as the world's premier fighting force. 
We hate to see Chairman Hefley leave, who has done a great job and who 
is retiring.
  Thank you for your leadership and commitment in building housing for 
the families and all you have done for our troops. We will never forget 
what you have done.
  Also leaving is another good friend that came to Congress with me, 
Lane Evans, who did a heck of a job looking after the welfare of 
veterans on this committee.
  I thank again Chairman Hunter and Mr. Skelton for bringing us to 
where we are today.
  Vote for this bill.
  Mr. HUNTER. Mr. Chairman, I yield 6 minutes to the gentleman from 
Colorado, Joel Hefley, who has done remarkable work in this Readiness 
Subcommittee, which controls such a big portion of the defense bill. 
The gentleman is a great friend to everyone who wears a uniform and is 
probably the best rodeo cowboy who has ever served in this House.
  Mr. HEFLEY. Mr. Chairman, I thank you very much. I thank you, Mr. 
Hunter, Mr. Skelton and Mr. Ortiz for the very kind words. You kind of 
went over the top when you said I was the best rodeo cowboy. The truth 
is I was and still am a rodeo cowboy, still enter some charity rodeos, 
but if there has ever been a rodeo cowboy serving in this body, I would 
say that he probably is better than I am. But I appreciate the kind 
words and I appreciate your yielding me time.
  The gentleman from California, our chairman, and the ranking member 
as well, there is no one in this body that has more of a heart for the 
soldiers, for the people who dedicate themselves to

[[Page 7700]]

defending us, than these two gentlemen do, and I think this is 
exemplified in the bill that you have before you today.
  I am very, very proud to endorse and support this bill, because it 
meets the needs of the men and women in uniform while protecting our 
national security, and I think we can be very proud of it.
  I think also Mr. Weldon emphasized one thing that I think is 
important as an example, Mr. Hunter, to our body here. So much of what 
we do in this body is for political advantage, one party, the other 
party, to get political advantage. This bill is truly a bipartisan 
bill. When you have 61-1, for crying out loud, it means that we sat 
down and tried to solve the problems that we solved. And we didn't 
solve them as Democrats or Republicans; we solved them as Members of 
Congress trying to do the right thing for our troops. I think we can be 
proud of the bill from that standpoint as well.
  The gentleman from Texas (Mr. Ortiz) and the other members of the 
Readiness Subcommittee and I worked very closely to examine the 
Department's funding for the military readiness, which includes $129.8 
billion in operation and maintenance funds, as well as approximately 
$16.7 billion for military construction and implementation of the 2005 
base closure and realignment round.
  The actions we took this year balanced the current operations and 
maintenance needs of our Armed Forces with the need to transform our 
military into the force of tomorrow. We looked at the readiness levels 
of our military units, including the adequacy of training programs, the 
maintenance of equipment in theater and the service's ability to reset 
and recapitalize equipment that returns from war.
  Our work led us to the conclusion that more needs to be done to 
support our core readiness needs, and, therefore, the bill before us 
today fully funds basic requirements such as ship operations, aircraft 
flying hours and depot maintenance.
  The bill also requires the Army and Navy to fund these critical 
readiness requirements before embarking on costly modernization 
programs. This requirement is significant as it will ensure that 
transformation of the services does not come at the expense of today's 
military readiness.
  It is also worth noting that this bill provides more than $10 billion 
for the construction of structures that range from child development 
centers to critical readiness facilities. I have seen many of the 
facilities where the servicemembers live and work, and I must say that 
these funds are badly needed. It is our responsibility to ensure that 
our servicemembers and their families live, work and play in modern and 
well-maintained facilities and homes. To do anything else threatens our 
Nation's ability to retain the best and the brightest people in the 
ranks of our military.
  Several years ago, we began to look at where our servicemembers live 
and work, and in many cases it was third-world conditions, and we have 
been whacking away at this over the years to try to provide a decent 
place to live and work for everybody who wears the uniform.
  Mr. Chairman, the bill before us is certainly worthy of our support, 
and I urge my colleagues to join me in voting for it.
  Mr. SKELTON. Mr. Chairman, I yield 3 minutes to the gentleman from 
Hawaii (Mr. Abercrombie).
  Mr. ABERCROMBIE. Mr. Chairman, I thank Chairman Hunter and Mr. 
Skelton for the opportunity. I stand here today in support of the bill 
moving forward, but I have a caveat that I hope will be able to be 
addressed before we come to a final conclusion.
  As the chairman knows, my original opposition was to what has been 
termed the ``bridge fund''; upon reconsideration, I have become a 
strong advocate of it. For those not familiar with it, the bridge fund 
is a legitimate methodology for the authorizing committee to deal with 
the actual cost of deployments of our Armed Forces throughout the 
world.
  Presently, the bridge fund will deal only with approximately 6 
months' worth of costs associated, expenditures associated, with these 
deployments. As a result then we will have to take up yet another 
supplemental budget, probably just after the first of the year, within 
a month or so, and that will, in turn, find us dealing with other 
requests, other emergencies, that will be included in this so-called 
supplemental budget. It is not an emergency that we need funding for 
for our deployments overseas, but rather an admission and an 
acknowledgment of the true costs of these deployments overseas.
  So, Mr. Chairman, I most certainly urge that we move the bill along 
and, at the same time, then take up this question of being 
straightforward and honest with the American people as to what the true 
costs are of our deployments and to see to it that the military does 
not have to cannibalize the existing budget and take us away from what 
I consider 100 percent support of the troops 50 percent of the time.
  I believe, even though I am in opposition to much of what is the 
foundation for support, the irony in this is that those like myself who 
did not support the effort in Iraq as undertaken and have serious 
reservations about how the war is being conducted, the military action 
is being conducted in Afghanistan, are actually being sustained in our 
position; rather than finding support for those who originally were for 
the war in Iraq or think that we are doing the right thing in 
Afghanistan, that position is being undermined because we are not being 
straightforward with people as to what the true costs are.
  There is a case of unease in the American public, I think, with 
regard to our present policies in Iraq and Afghanistan because we do 
not have a straightforward, honest approach with the American people as 
to what the costs are. I believe the American people will pay any costs 
to protect our security if they feel that we are being honest and 
straightforward about it.
  We need to do that. We need to bring the bridge fund in our 
authorization up to the actual cost, and not undermine the good work 
that has been on this bill this year.
  Mr. Chairman, as the ranking minority member of the Air and Land 
Forces Subcommittee of the HASC, I am pleased to support H.R. 5122. I 
also want to commend my chairman and partner on the Air and Land Forces 
Subcommittee, Congressman Kurt Weldon, for his nonpartisan approach to 
our subcommittee's portion' of this bill.
  The procurement and research portions of this bill that the Air and 
Land Forces Subcommittee oversees strikes an effective balance between 
getting our troops the equipment they need, ensuring that the equipment 
works, and ensuring that it is all acquired at a price the Nation can 
afford. Striking this balance is always difficult, but given the 
pressure on the DOD budget from the war in Iraq, this was an especially 
challenging year. I am pleased to support the procurement and research 
aspects of this bill as a good-government approach to making tough 
decisions when funds are limited.
  This bill is a significant improvement over the procurement and 
research budget presented by the President in two critical ways. First, 
it is a more straightforward document that lays out what the committee 
decided the military's priorities should be, and what funding these 
priorities will actually cost. Second, it shifts funding from programs 
that are simply not working and moves those funds to programs that are 
working and are delivering effective equipment to the troops in the 
field today. With troops in combat the Congress has a non-negotiable 
obligation to weigh in heavily on the side of immediate and near-term 
needs of the military.
  There are two programs that this bill takes some significant funding 
away from, and I want to address the committee's reasoning on these 
reductions, because they were both difficult decisions. The first is 
the Army's Future Combat System, which this bill cuts by $325 million.
  I want to be clear that this is not a move to punish the Army. 
Everyone on this committee recognizes that the Army is carrying the 
heaviest burden in the wars in Iraq and Afghanistan in terms lives lost 
and dollars spent. Every member of this committee also wants to ensure 
we have an Army that is ready today and prepared for the challenges of 
the future. The problem is that the Army simply has too many bills to 
pay and not enough funding to cover all of them. Difficult choices had 
to be made.

[[Page 7701]]

  The second program cut is to the VH-71 ``Presidential Helicopter'' 
program. This rather modest cut is based on the committee's concern 
that this program is being pushed too fast and is taking test and 
development risks that are clearly not appropriate and could be 
outright dangerous. I want to make it absolutely clear that the goal of 
this cut and some language in the bill is not to kill the program, or 
even scale back its size. Instead, it is a reflection of this 
committee's support for the principle of ``fly before you buy'' that 
must be followed, especially for a helicopter the President of the 
United States is going to fly in.
  Given the demands of an ongoing war and the need to continue to buy 
and develop new equipment, this bill strikes an appropriate balance 
given the funding available.
  Despite my support for the bill, I did want to caveat that support in 
one important aspect: the lack of an authorization in this bill for the 
full-year cost of the wars in Iraq and Afghanistan.
  In each of the past two years, the Congress has put some of the 
funding for the wars in Iraq and Afghanistan through the normal 
authorization and appropriations process. The rest of the funding for 
the year, however, has come through very large supplemental 
appropriations bills that the Armed Services Committee has been unable 
to oversee properly.
  I have supported all of the Defense authorization and Defense 
Appropriations bills done under our normal budget procedures since the 
war in Iraq began. Putting the money in the normal budget would be 
best, but the ``bridge fund'' mechanism in the legislation before us 
today is arguably a reasonable middle ground between funding purely 
through supplementals and the normal budget process. Chairman Hunter 
deserves credit for coming up with this more honest approach.
  This year, for whatever reason, the Administration only requested $50 
billion in additional funding in FY 2007 for the wars in Iraq and 
Afghanistan. This total is reflected in the bill as reported by the 
committee. During committee consideration of this bill, I had an 
amendment that sought to increase the amount of the bridge fund to $92 
billion so that it would reflect the likely full-year cost of combat 
operations overseas. Unfortunately this amendment was voted down by the 
majority.
  Having a more realistic full-year figure in this bill would have 
improved this legislation's relevance and honesty. The troops overseas 
and the American people deserve to know what our best estimate of the 
cost of these wars will be in 2007.
  Continuing to rely on massive supplemental, so-called ``emergency'' 
spending bills to pay for the war is both dishonest and fiscally 
unsound. I believe that the American people are willing to sacrifice to 
get the troops the funds they need, but instead of asking all Americans 
to sacrifice we are instead using a budget shell game to hide the real 
cost of the war. This shell game also allows massive tax cuts for the 
wealthy during a war which we are borrowing money from other nations to 
pay for. Funding the war in this manner is saddling our children and 
grandchildren with a massive debt that they will have to payoff in the 
future.
  Overall, the bill before us today is a good bill, but choosing to 
only authorize 6 months of funding for the troops in the field is like 
saying to them that the Congress supports you 100 percent for 50 
percent of the year. I do not think that is the message that the House 
wants to send.
  Mr. HUNTER. Mr. Chairman, the heart of this bill is the 2.5 million 
Americans that wear the uniform of the United States, and the 
subcommittee that oversees personnel issues and sets the pay raises and 
does personnel policy is headed by the gentleman from New York (Mr. 
McHugh). This is an enormous job, and he has done a great job. I yield 
the gentleman 6 minutes.
  Mr. McHUGH. Mr. Chairman, I thank the distinguished chairman for his 
kind comments and for the very generous allocation of time. I also want 
to thank my other colleagues who deferred to me to allow me to kind of 
go out of order because of another appointment I have. Gracious, as 
always.
  Mr. Chairman, the chairman of the full committee is absolutely right. 
We have the honor on this subcommittee to deal really with what I think 
all of us believe are the very core issues of fielding any effective 
military, and that is caring for the men and women who proudly wear 
this uniform, of course, under our system voluntarily, and, equally 
important, ensuring that the kinds of programs that are necessary to 
take care of their loved ones, their families, as they deploy into such 
dangerous places as Iraq, Afghanistan, and the literally hundreds of 
other places across this planet in which our military and men and women 
serve today, protecting our freedoms, find themselves.
  This is, as we have heard here, as is reflective of the entire 
committee, a truly bipartisan effort, and I want to thank, of course, 
the chairman of the full committee, the gentleman from California, for 
his amazing leadership in very, very difficult times; the support that 
he has so graciously acknowledged, and rightfully so, from the ranking 
member, the gentleman from Missouri, Ike Skelton; and on the Personnel 
Subcommittee, for the support, for the leadership, for the guidance of 
our ranking member, the gentleman from Arkansas, Dr. Snyder.
  It is tough in this day and age, as others, including the gentleman 
from Pennsylvania, have suggested, to put aside partisan politics at 
all times in this Nation's Capital, particularly in this, an even-
numbered year. But if it is being done anywhere, it is being done most 
successfully, perhaps not perfectly, but most successfully on this 
Armed Services Committee, and I would argue, most strongly on this 
Personnel Subcommittee.
  The name ``personnel'' can confuse some folks. It doesn't send a very 
clear message. But what we try to do is the best we possibly can, 
within limited resources, to care for those folks who have done such an 
amazing job.
  We are all, very collectively, very proud of the fact that when 
members of this committee come and talk about the achievements, 
significant achievements, of this bill, they generally more often than 
not talk about the provisions that first started in this Personnel 
Subcommittee:
  The pay increase, the eighth consecutive year that it exceeds the 
general average pay increase in the Employment Cost Index, and the help 
that that provides, closing the gap between the civilian and the 
military sectors, down to a low now of 4 percent should this pay 
increase proposal prevail;
  The kinds of things we have done in trying to take the next logical 
step towards controlling and keeping the cost of the military health 
care system affordable, but not doing it in a way that immediately 
inflicts what I would argue and I think my colleagues would agree is 
unnecessary and excessive pain in terms of the hundreds of percent of 
increase in copay and in enrollment fees and such through the TRICARE 
program;
  The efforts we have made, at great expense, by the way, to add to the 
military end strength, recognizing that the demands we have placed upon 
our men and women in uniform are so significant. And one of the 
challenges we face is to ensure that there are sufficient numbers in 
the military, in the uniform, to try to assure a better and reasonable 
level of operations and personnel tempo, so folks who are coming home 
from theaters like in Iraq and Afghanistan have time to recoup, have 
time to unwind and spend time with their families.

                              {time}  1430

  The only way that can be done is through a reasonable extension and 
expansion of the numbers that we authorize in terms of putting men and 
women into particularly the Army, the Guard, and, of course, the Marine 
Corps as well.
  Casualty assistance programs, recognizing that we are in a time of 
war, that there are difficulties in terms of those programs, and we 
have to ensure that the remains of military personnel who give their 
all, their ultimate in times of combat or who die of noncombat-related 
injuries in the theater of combat are moved and dedicated and brought 
home by military-leased aircraft and are processed in a timely and a 
humane and a respectful way, and on and on and on.
  This is just a good bill from top to bottom. I would certainly, with 
a sense of pride, suggest that the 61-1 vote I think clearly 
illustrates that in the personnel sections this is a truly beneficial 
and truly progressive bill.
  Mr. Chairman, I would urge all of my colleagues to support it.
  Mr. SKELTON. I yield such time as he may consume to the ranking 
member of the Personnel Subcommittee,

[[Page 7702]]

the gentleman from Arkansas (Mr. Snyder).
  Mr. SNYDER. Mr. Chairman, I want to acknowledge the work that the 
ranking member has done on this bill, to work with Chairman Hunter, 
also my Personnel Subcommittee chairman, Mr. McHugh, for the work that 
he has done on this bill. He has given a good summary of the provisions 
and our concern for our men and women in uniform and their families.
  Mr. Chairman, you know, I hope while I rise today in support of this 
bill, we certainly did have disagreements on the committee, and there 
are Members who are not on the committee that want to have the 
opportunity to present their ideas also.
  We have approved one rule today that has made eight amendments in 
order. I hope tonight when the Rules Committee meets that most of the 
other amendments that have been requested will also be made in order. 
It would be ironic if while we are supporting our men and women in 
uniform fighting for democracy in Afghanistan and Iraq that the winds 
of democracy would be denied on the House floor in the consideration of 
the remainder of this bill tomorrow.
  Mr. Chairman, what I wanted to do is just take a minute of time here 
today and talk about a provision that is not in the bill. Chairman 
Hunter has heard some of these discussions before. But I am one of 
those, I think there are a fair number now, that believe that we really 
need to do some work on the Montgomery GI bill.
  And we have got some bureaucratic issues that we have to deal with 
here in the Congress. The GI bill for veterans, those who are in the 
active component, is handled by the Veterans' Committee. The GI bill 
for the Reserve component, our Guard and Reserve force, is handled by 
the Armed Services Committee, and because of that, the active component 
benefit has had some inflationary increase through the years. We have 
not done that same kind of thing on a comparable basis for the Reserve 
component.
  We also have a very unfair situation now where a person who is in the 
Reserve component is activated, serves overseas in a war for 12 months 
or longer, comes back and their enlistment contract ends. If they do 
not reenlist and stay in the Guard or Reserve forces, they get no GI 
bill benefits.
  That is just terribly unfair. I say that as someone who many years 
ago, when I was a young man, enlisted in Marine Corps for 2 years, 
spent 12 months and 20 days in Vietnam, came back, was discharged from 
the military and actually received, for my 21\1/2\ months of total 
Marine Corps service 45 months in the GI bill.
  Now, we just do not treat our Reserve component forces fairly. They 
could have spent 18 months in a war zone, get out of the Reserve and 
get no GI bill benefit. We need to work on that. Chairman McHugh has 
committed himself to holding hearings on this issue. I know that 
Chairman Buyer on the Veterans' Committee is very interested in this 
issue. Somehow, Mr. Chairman, we have to get the sides together on this 
and work through some of these issues. I appreciate your interest.
  Mr. HUNTER. Mr. Chairman, the Strategic Forces Subcommittee is 
extremely important to our country, and the gentleman from Alabama (Mr. 
Everett) does a wonderful job of overseeing this very important 
dimension of national security.
  Mr. Chairman, I yield 6 minutes to the gentleman from Alabama (Mr. 
Everett).
  Mr. EVERETT. Mr. Chairman, I thank Chairman Hunter. I would also like 
to say that under his leadership we certainly have produced one of the 
most bipartisan bills in one of the areas that is most important to our 
national defense, and I appreciate his leadership.
  Mr. Chairman, I also appreciate Mr. Skelton, my friend who is ranking 
member. And also let me say that we had an extremely bipartisan markup 
in my subcommittee, and this subcommittee handles some of the most 
controversial, contentious, complex issues in the defense industry. We 
could not have had such a bipartisan markup had it not been for my good 
friend from Texas (Mr. Reyes), who is my ranking member of that 
subcommittee.
  So it was an extremely good markup, and as we have seen now, that 
markup was followed by the full committee markup where the bill passed 
61-1.
  I want to say a few things about the bill. The need for providing 
support to ongoing operations in Iraq and the war on terrorism have 
appropriately been the focus of much of the committee's work this year. 
It is also important to examine our Nation's strategic posture and our 
ability to maintain a strong national defense, capable of projecting a 
powerful and diversified global force.
  I am proud that our bill provides investments in the Nation's long-
term need for transforming the Nation's capabilities of our strategic 
forces, and I am also proud that near-term benefits for our Armed 
Forces deployed around the world protecting our Nation at home is 
included in this bill.
  In the Missile Defense Agency, the bill before you adds $140 million 
to transition the Army's PAC-2 Patriot missile equipment to the PAC-3 
configuration and funds upgrades to the Aegis ballistic defense system. 
These recommendations shift funds from longer term and less well-
defined projects to near-term priorities.
  In the area of military space, the bill makes adjustments to the 
budget request to address concerns about whether space program funds 
are executable in the year 2007. The bill also includes a provision to 
establish a Department of Defense Office of Operational Responsive 
Space to focus and advance the Nation's ability to provide on-demand 
space capabilities to global military operations.
  Within the atomic energy defense activities, the bill funds the 
Department of Energy programs at the budget request. The bill also 
includes a provision that requires the Secretary of Energy and the 
Secretary of Defense to submit to Congress a plan for the 
transformation of the nuclear weapons complex and authorizes funds for 
infrastructure upgrades.
  In addition, Mr. Chairman, this is a problem that I frankly had 
gotten tired of seeing come before the subcommittee, and that is the 
Mixed Oxide, or MOX, fuel fabrication facilities and the agreements 
that we were trying to have with the Russians. The mark includes 
information that would uphold the nonproliferation objectives of the 
committee to begin disposition of weapons grade plutonium in the U.S. 
The problem is that we do not see any movement among the Russians. For 
a couple of years now we have been faced with this. I have become 
frankly a little tired of seeing it come before the Congress when we 
have seen no movement from the Russians to do away with their plutonium 
nor to reach any agreement with us to do so.
  So an amendment was offered by Mr. Wilson. I asked the staff to look 
at a way that we can do this. There is an amendment offered by Mr. 
Wilson to delink the U.S. disposition of its plutonium from that of the 
Russians. That is also included in the mark.
  The bill also adds $40 million to other nuclear nonproliferation 
programs and $50 million to environmental cleanup activities.
  Mr. Chairman, the committee's report addresses administrative 
objectives, unfunded military requirements, and Member priorities. This 
is a good bill, as I said earlier. We simply could not have gotten this 
bill through the committee without the strong help from my good friend, 
Mr. Reyes from Texas, and also from the members of the committee, both 
the minority members and the majority members, who really worked hard, 
as I said, on some of the most complex, controversial issues that are 
included in the entire defense bill.
  So I would ask Members to take a strong look at this bill. Much like 
the subcommittee, it passed out of the full committee on a 61-1 vote. 
It is a bipartisan bill.
  Finally, let me just simply say that much of this was achieved by the 
extremely hard work in my subcommittee by both staffs on the minority 
and the majority side.
  I urge this bill to be passed. It is a very good bill.

[[Page 7703]]


  Mr. SKELTON. Mr. Chairman, I yield 3 minutes to the gentleman from 
Oregon (Mr. Blumenauer).
  Mr. BLUMENAUER. Mr. Chairman, I appreciate the gentleman's courtesy 
in permitting me to speak on this.
  Mr. Chairman, I rise to thank Chairman Hunter and Ranking Member 
Skelton for the real progress that this legislation represents for our 
men and women in uniform.
  I think this is truly landmark legislation in this regard. I also 
deeply appreciate the work of the committee leadership in working with 
me to include section 311 to improve the management of our unexploded 
ordnance and munition response programs. This is going to pay dividends 
for our troops here at home.
  In the long run it is going to save money for the taxpayers, and the 
more progress we make here we are going to develop technology and 
techniques that are going to make people safer around the world.
  I do want to share a troubling story that came forth in my community 
this weekend of military recruitment abuse, a problem that frankly I 
thought was behind us.
  An 18-year-old autistic high school student who, despite a clear 
disability, was recruited into the Army, in the calvary as a scout, 
despite the strong objection of his parents and in apparent violation 
of military rules.
  After news media attention and our office intervened, the Army has 
recently back-pedaled. But this is an outrageous situation. I have 
heard from numerous sources that this young man was not even aware that 
we were fighting in Iraq when he was being recruited in and signed a 
contract to serve in the Army.
  The evidence strongly suggests that the recruiters purposefully 
withheld information about his disability in order to circumvent the 
rules. This does not appear to be an isolated incident. Pentagon 
statistics show accusations of recruitment abuses are at record levels.
  I have called upon the Secretary of Defense for an investigation at 
least in this situation, because we need to get to the bottom of it, 
and it is likely not just one isolated case around the country. To be 
the finest fighting force in the world, we must continue to demand the 
most rigorous standards of conduct at all ranks of the military, 
including recruiting.
  Mr. Chairman, I hope that the Armed Services Committee will work with 
me as this bill moves forward to make sure that safeguards are in place 
to make sure what happened to this young student never happens again 
and, most important, to make sure the integrity of the people he would 
serve with are protected as well.
  Thank you for your courtesy.
  Mr. HUNTER. Mr. Chairman, I yield 4 minutes to the gentleman from 
Maryland (Mr. Bartlett), who heads the Projection Forces Subcommittee, 
which oversees the construction of the platforms and our ships and our 
bomber forces and our airlift that projects American power around the 
world.
  Mr. BARTLETT of Maryland. Mr. Chairman, I rise in strong support of 
H.R. 5122, a truly bipartisan bill that supports our troops.
  As chairman of the Subcommittee on Projection Forces, I want to 
recognize the outstanding service rendered to our great Nation by our 
men and women in uniform around the globe here, meeting every challenge 
with true dedication and professionalism.
  I also want to thank all Americans, especially the families of the 
deployed service members, for their unwavering support of our 
servicemen and women.

                              {time}  1445

  I want to thank the gentleman from Mississippi (Mr. Taylor), ranking 
member of the Projection Forces Subcommittee, for his extraordinary 
partnership and support in completing this bill.
  Thank you, sir, so very much. I express my sincere gratitude to all 
of my colleagues and staff on the subcommittee for their diligence, 
commitment and hard work. Further, I would like to recognize our 
chairman, Mr. Hunter, and ranking member, Mr. Skelton, for their 
continued exemplary leadership in bringing this year's National Defense 
Authorization Act to the floor with unwavering bipartisanship and clear 
focus to providing our military what it needs to accomplish its 
mission.
  I am pleased to report that the National Defense Authorization Act 
that we consider today takes bold steps to ensure our Nation's 
continued ability to safeguard our national interests and, when 
necessary, project U.S. military power around the globe.
  We have taken action to provide our troops with the capabilities they 
need to meet current and emerging threats. But we also have taken 
precautions to ensure that current capabilities are not permanently or 
prematurely retired to fund future replacement capabilities that are 
either undefined or unaffordable.
  Some of the Projection Forces highlights in this bill include: a 
program to infuse our shipyards with leading-edge manufacturing 
technology and management systems to reduce shipbuilding costs and 
return our shipyards to global competitiveness; legislative provisions 
that will improve the Navy's ability to execute the 313-ship plan 
envisioned by the Chief of Naval Operations by setting cost limitations 
at Navy budget estimates for the LHA(R), CVN-21 and LPD-17 programs; 
force structure initiatives that set a minimum requirement for 48 
attack submarines and 299 strategic airlift aircraft and limited 
retirements of KC-135E and B-52 aircraft; 400 million in advance 
procurement funds to begin construction of a second Virginia class 
submarine in fiscal year 2009; $300 million to procure three additional 
C-17 aircraft; and $200 million to accelerate the DDG-51 destroyer 
modernization program by 2 years.
  While there is much more to do, the National Defense Authorization 
Act for fiscal year 2007 is an important step in strengthening the 
Armed Forces of the United States. I urge all of my colleagues to 
support this bill.
  Mr. SKELTON. Mr. Chairman, I yield 7 minutes to the gentlewoman from 
Georgia (Ms. McKinney), a member of the subcommittee.
  Ms. McKINNEY. Mr. Chairman, I anticipate today that mine will be one 
of the few votes against this bill, just as I cast the only dissenting 
vote on the bill in committee. I have submitted a thoroughgoing written 
statement of the reasons for my dissent.
  President Theodore Roosevelt said, ``To announce that there must be 
no criticism of the President, or that we are to stand by the President 
right or wrong, is not only unpatriotic and servile, but is morally 
treasonable to the American public.''
  The American public are expressing their criticism of our President 
and his war in opinion polls showing the President's approval rating is 
the lowest it has been during his tenure. But Congress continues to 
march in step with the President's war plans. The wars and military 
operations we are funding through this defense authorization act are 
based on a simple use of force authorization passed by this Congress in 
October of 2001, which was to have been linked to the provisions of the 
War Powers Act of 1973. Thus, it is Congress that paved the way for the 
disastrous war in Iraq, and Congress must accept that it too bears 
responsibility for this war.
  No regular review of that authorization has taken place, which has 
been cited by the President to justify preemptive war, the creation of 
a dual legal system, military tribunals, imprisoning enemy combatants 
without due process, the abandonment of the Geneva Accords and U.N. 
principles relating to war, extralegal secret renditions involving 
illegal methods of interrogation, including torture, expanded secrecy 
and attacks on civil liberties at home.
  Calls from the executive for ending the principle of separating 
military and civilian policing by rescinding the Posse Comitatus Act of 
1878 should send a chill to all who value civil liberties. We are quick 
to honor our young men and women in uniform with words and medals, but 
do we honor them where it really counts, in the pocketbook? In the 
hospitals for amputees and third-degree burns? We must

[[Page 7704]]

do a better job of representing the American people and our people in 
uniform.
  Unchecked fraudulent recruitment, failed retention, violation of 
rights and regulations, stop-loss policies and over-rotation, lack of 
adequate protection for combat troops, protection of rights of 
conscience, diminished medical care for troops and their families, 
decreases in veterans benefits, environmental damage done by the 
manufacture, storage and use of military weapons, falsified benefits 
and bonuses, and privatization of functions all remain inadequately 
addressed by the passage of this bill, and in some cases, they are 
worsened.
  By passing this bill virtually without dissent, the Congress is 
effectively legitimizing these unprecedented actions of the executive.
  As we enter a fourth year of war in Iraq, the level of violence in 
Iraq continues unabated. It is higher than it has been at any time 
since the U.S.-led invasion of March 2003. As we enter a fifth year in 
Afghanistan, there is renewed violence and the specter of another 
drawn-out war. Meanwhile, our military budget continues to grow to 
unprecedented levels along with the deficits it is creating.
  We now have a larger and more lethal military force and a more 
expanded intelligence budget and consolidation than we did at the 
height of the Cold War. That threat has receded, but the threat of 
unconsolidated and ill-equipped terrorist groups has been used to 
expand the funding of huge corporate contracts for weapons and war 
while denying the human suffering and needs that face us.
  According to Pentagon figures, we are spending $9 billion a month to 
wage wars in Iraq and Afghanistan. That comes to $300 million a day, 
$12.5 million an hour, over $200,000 a minute, and $3,500 a second.
  After the Second World War, President Truman set up a commission to 
investigate war profiteering and the government asked that corporations 
plow their war profits back into social programs to help rebuild the 
postwar economy. But today, corporations are profiting from war and its 
related military activities as never before, with a green light from 
the White House to proceed, despite massive abuse, waste and 
corruption.
  Our current military budget is larger than the budgets of every other 
major country in the world combined, both allies and perceived enemies. 
Our nuclear arsenal and other weapons systems are maintained and 
defended, while new systems with questionable utility are designed and 
promoted each year.
  It is time for these wars to end and for alternative military budgets 
that reduce the waste on flawed weapons systems to be considered by 
this Congress. More diplomacy, less Pentagon waste on little or nonused 
weapons systems; less support for corrupt regimes in the developing 
world; more support for the judiciary and law-abiding regimes that 
respect human rights; and most of all, a global plan to eliminate 
poverty.
  Those who commit acts of terrorism may not themselves be motivated by 
poverty, but they are able to thrive where they can exploit the hopes 
and dreams of the poor and the oppressed. As many have said, terrorism 
is a tactic, not an enemy. The victory over terrorism will not come 
through war, but through peace and prosperity.
  Mr. HUNTER. Mr. Chairman, from the mountains of Afghanistan to the 
desert country of Iraq to the jungles of many hemispheres, Special 
Operations and Special Forces personnel in the U.S. military are 
cognizant of an individual in this House who works for them night and 
day, and that is Jim Saxton, who is the chairman of the Terrorism and 
Special Operations Subcommittee, and I want to recognize the gentleman 
for 4 minutes.
  Mr. SAXTON. Mr. Chairman, I want to thank my great friend, Chairman 
Hunter, for yielding me time and for those very kind words.
  Mr. Chairman, I rise in strong support of H.R. 5122, the National 
Defense Authorization Act for the Fiscal Year 2007. Last week, the 
Committee on Armed Services approved this bill by an overwhelming 
bipartisan vote which was, as has been said here before, 60-1. It is 
not that we do not have policy disagreements, but when it comes to the 
final vote on a great bill that supports the troops, Members of both 
parties come together and vote in a resounding, positive way.
  Our committee well knows that we are a Nation at war, and that the 
brave young men and women of America who have volunteered for military 
service are in danger every day in Afghanistan and Iraq and in other 
places in the world. Those infantrymen who venture from the base and 
patrol the street are truly valorous, but all of those who are in the 
line of fire and even in the most secure bases, they take an occasional 
mortar or rocket attack. And for risking themselves in this way, this 
country says, ``Thank you.''
  Yet, we are making progress. I was privileged just a few short weeks 
ago to be on the floor of the fledgling Iraqi Parliament as the 
government was formed. They have a long way to go. But as a veteran 
legislator myself, it definitely had the feel of a legitimate and 
promising legislative body.
  As matters in Iraq progress, we have taken measures to ensure that 
our broader efforts in the war on terrorism are improved and 
reinforced. To that end, we have begun to explore ways to improve 
interagency coordination process and included several items to improve 
the capabilities of the Special Operations Command.
  We included two legislative measures to improve Pentagon processes. 
One would provide for more effective test and evaluation procedures, 
bringing them into synch with the rapid acquisition authorities which 
have already been provided to DOD; and the other would speed the 
development of information technology systems, putting a 5-year limit 
on the development of new business systems.
  We continue our successful initiative of last year to develop novel 
chemical and biological countermeasures, and have supported programs 
for the equally important medical research and development programs.
  We continue our scrutiny of the Department's information technology 
programs, though not as severely as in past years. In fact, our 
recommended reductions are barely 1 percent of the requested $31 
billion in IT budget requests.
  The bill recommended by the committee recognizes that we remain a 
Nation at war, but builds upon our capability to fight a more 
protracted, global war against unseen adversaries, the difficult-to-
pinpoint, but nonetheless deadly and real, war against the small number 
of truly evil terrorists who wish to cripple Western Civilization.
  We do not like to think about it, but this war came upon us on 
September 11 and will come to us again if we do not persevere. The 
enemy is clever, growing desperate, and must be taken seriously by the 
American people. This bill will help our soldiers keep the enemy on the 
defensive.
  In closing, Mr. Chairman, I want to express my appreciation to the 
members of the Terrorism Subcommittee who contributed to this bill, and 
particularly the ranking member, Mr. Meehan. This is an excellent bill, 
and I urge all Members to vote ``yes'' on H.R. 5122.
  Mr. SKELTON. Mr. Chairman, I yield 3 minutes to the gentleman from 
Texas (Mr. Reyes).
  Mr. REYES. Mr. Chairman, I thank the gentleman from Missouri and 
congratulate him on his award that we announced on the floor yesterday.
  Mr. Chairman, as the ranking member of the Strategic Forces 
Subcommittee, I rise in strong support of this bill and want to thank 
our chairman, Mr. Hunter, and ranking member, Mr. Skelton.
  The Strategic Forces Subcommittee has jurisdiction over several 
complex and contentious issues, including ballistic missile defense and 
nuclear weapons. I want to recognize and thank our subcommittee 
chairman and my good friend from Alabama, Mr. Everett, for his 
leadership and all the effort that he puts into making this a truly 
bipartisan bill. I also want to thank the staff on both sides of the 
aisle for the

[[Page 7705]]

truly great job they do and the tremendous work that goes into a 
bipartisan bill like this.
  Sometimes we do not see eye to eye on every single matter, but I am 
pleased to report that this subcommittee reached bipartisan accord on 
several major issues.
  In the short time that I have, I want to highlight three areas of 
bipartisan agreement: ballistic missile defense, conventional global 
strike capability, and operationally responsive space.
  H.R. 5122 redistricts missile defense funding from longer-range 
programs, such as a multiple-kill vehicle, to near-term needs, such as 
buying upgrades for the Patriot and Aegis interceptors that can protect 
our servicemembers and allies today.

                              {time}  1500

  While we might disagree about whether further adjustments or 
reductions are possible from within the $10.4 billion for missile 
defense programs, I commend the subcommittee chairman for this good-
faith effort and great work on this bipartisan agreement. This bill 
clearly reflects a bipartisan desire to obtain effective missile 
defense capabilities aimed at defeating real threats.
  The bill also slows down development of an advanced global strike 
capability using the Trident missile in a conventional capacity. While 
not precluding development of this capability, the subcommittee has 
concerns that basing a conventional Trident missile on a traditionally 
nuclear platform could lead to misinterpretation by both our friends 
and potential adversaries of a launch of a conventional missile. There 
are real strategic implications of pursuing this capability. We must 
ensure that we have done all we can to avoid the potential for conflict 
escalation through misinterpretation.
  Finally, the bill as reported contains a $20 million add for 
operationally responsive space to encourage the Pentagon to pay more 
attention to the potential of smaller and less expensive satellites 
that might complement or supplement current expensive satellite systems 
designed for both military and intelligence purposes. We cannot expect 
small satellites to meet all mission requirements, but we need a more 
robust, focused effort to seriously explore their potential given the 
spiraling acquisition costs of our major satellite programs.
  Mr. Chairman, there are differences in the way we approach some of 
these issues, but as we have seen this afternoon everyone gets an 
opportunity to express their views. Time does not permit me to describe 
in detail the rest of our subcommittee's mark and important issues, but 
I again want to thank our chairman, Mr. Everett, for his bipartisan 
leadership, our chairman of the committee and ranking member, and I 
commend this bill to my colleagues and hope that everyone will support 
this.
  Mr. HUNTER. Mr. Chairman, I might add the gentleman who just spoke, 
the gentleman from Texas, has been to the warfighting theaters more 
than any other Member of either body in this Congress and we appreciate 
his great efforts.
  Mr. Chairman, I yield 4 minutes to the gentleman from South Carolina 
(Mr. Wilson), who took the place of the great Floyd Spence, former 
chairman of this committee, and nobody has devoted more in terms of 
their personal effort toward national security or, in Mr. Wilson's 
case, more of their family members. The Wilson family wears the uniform 
of the United States.
  Mr. WILSON of South Carolina. Mr. Chairman, thank you, and I 
appreciate your leadership and the cooperation of Ranking Member Ike 
Skelton for developing the Defense Authorization Act. I am grateful 
that both of you have had family members as service members overseas in 
the global war on terrorism.
  My support of this bill is as a Member of Congress, very proud to 
represent Fort Jackson, the Marine Air Station at Beaufort, Parris 
Island, the Beaufort Naval Hospital.
  Additionally, I am very grateful to have a background as a veteran of 
the National Guard for 30 years, but I am particularly proud, as the 
chairman has referenced, that in August my fourth son will be serving 
in the military of the United States. So our family is very, very proud 
of what the military means in protecting American families.
  Mr. Speaker, in 2000, leaders from Russia and the United States 
announced a strategic agreement designed to dispose of tons of surplus 
weapons grade plutonium by turning it into mixed oxide, MOX, fuel for 
use in existing commercial nuclear reactors.
  After this agreement was announced, the Savannah River Site near 
Aiken, South Carolina, which is located in the district I represent and 
Representative Gresham Barrett, was chosen to fulfill the U.S. side of 
this important mission. Throughout the past 6 years, our country has 
demonstrated that we are ready to move forward with our part of the 
nonproliferation agreement.
  Last week, my colleagues on the committee, with the leadership of 
Chairman Terry Everett, supported the amendment to delink the U.S. and 
Russia MOX programs to ensure that the pace of the Russia MOX program 
will not dictate the progress of the U.S. MOX program. Described by CQ 
Today as perhaps the most significant amendment adopted at Wednesday's 
markup, this provision enables SRS to immediately begin construction of 
a MOX facility. We remain confident that our progress will encourage 
Russia to proceed with the same momentum.
  In addition to fulfilling our agreements to nuclear nonproliferation, 
this crucial piece of legislation will help create hundreds of jobs in 
South Carolina and Georgia. By passing the National Defense 
Authorization Act, Congress will continue to lead the effort to reduce 
our excess plutonium supply. I urge my colleagues to support passage.
  In conclusion, God bless our troops, and we will never forget 
September 11.
  Mr. SKELTON. Mr. Chairman, I yield 4 minutes to the gentleman from 
South Carolina (Mr. Spratt).
  Mr. SPRATT. Mr. Chairman, I thank the gentleman for yielding.
  Mr. Chairman, on the whole this is a good bill. I commend the ranking 
member and the chairman for the excellent work they have put into it, 
and I intend to support it.
  This bill gives strong support to our troops in the field by 
continuing to give them the equipment they need and the compensation 
they deserve. In particular, due to an amendment that I offered, it 
provides for the waiver of premiums for those soldiers in combat, Iraq 
or Afghanistan, on $400,000 of Servicemen's Group Life Insurance, the 
maximum amount available to our troops, so that all of our troops in 
combat can take full advantage of what is available without being 
concerned about the cost. We put them there. The least we can do for 
them and their families is give them the security of more life 
insurance. This bill, I am happy to say, does just that.
  On an issue closer to my domain, this bill adds $30 million to the 
cost of cleaning up some of the most radioactive waste in the country 
precariously stored in 51 steel tanks at the Savannah River Site in 
South Carolina. It also contains provisions that will allow work to 
begin on a facility to fabricate 34 tons of weapons grade plutonium 
into mixed oxide fuel.
  In 2002, as a result of agreements with Russia, South Carolina agreed 
to accept 34 metric tons of plutonium at Savannah River Site to be 
fabricated into MOX fuel and burned in light water reactors. Russia 
agreed likewise to dispose of 34 tons of plutonium with a similar MOX 
fuel plant.
  For 4 or 5 years, this agreement to move in parallel tracks was 
awaiting the outcome of disagreements and discussions of the liability 
for the plant. These were finally resolved last year only to find out 
that these were not Russia's only concerns, and now they have indicated 
a reluctance to pursue the parallel track of building a MOX fuel plant.
  So this bill provides that South Carolina can proceed on its own on a 
separate track, subject to DOE's agreement of course, and subject to 
several conditions which have been imposed by the bill. One is that DOE 
certifies to us that they are still convinced that this is the best way 
to dispose of weapons

[[Page 7706]]

grade plutonium. Secondly, DOE will have to indicate to us in a report 
that they have made adjustments and addressed the criticisms of this 
particular project, particularly its cost escalation, that were 
mentioned by the IG the last time they took a look at the project. 
Thirdly, we ask for a report on the disposition of off-spec plutonium, 
plutonium that cannot be processed into MOX fuel.
  These provisions are important for South Carolina, but they also are 
important for our national security and nonproliferation and for the 
workers that will build and operate the MOX fuel plant.
  Mr. Speaker, the Department of Energy has an important program called 
Megaports, which is to help foreign countries install radiation 
detection equipment so that we can interdict radioactive material in 
cargoes headed for the U.S. before they reach our shores. For some 
reason, the administration this year cut the program by $33 million. 
Many of us have argued for some time that we need to do a lot more to 
protect our ports.
  This bill recognizes the gravity of that problem by authorizing an 
additional $15 million for the purchase of radiation detectors. By 
helping foreign countries bolster port and border detection, we help 
ourselves.
  The bill contains one other notable provision on nuclear 
nonproliferation. The Global Threat Reduction Initiative is a 
comprehensive initiative to secure and remove high risk nuclear 
materials, many times in insecure places, from around the world, 
typically in research reactors. By working with the committee, we have 
been able to increase the GTRI budget by $20 million over the 
President's budget and allow the Department of Energy an additional $30 
million of previously appropriated but as yet unobligated funds. This 
amounts to an almost 50 percent increase in funds available for this 
important program.
  Lastly, Mr. Chairman, this bill contains important language which 
restricts spending on space-based missile defense interceptors. We now 
have five ballistic missile interceptor systems in various phases of 
development. I think it is important that we stick to our plan, that we 
keep focusing this system and that we bring further along these five 
systems before we start up another, particularly one with the 
complications that the space-based interceptor will entail.
  All things considered, it is a good bill. I intend to support it. I 
commend those who have crafted it and helped bring it to the floor.
  Mr. HUNTER. Mr. Chairman, I yield 3 minutes to the gentleman from 
Kentucky (Mr. Davis), who brought his experience as an officer of the 
82nd Airborne to the Armed Services Committee.
  Mr. DAVIS of Kentucky. Mr. Chairman, I also thank the chairman. It is 
a privilege to serve on a committee chaired by a fellow Army Ranger.
  Today, I rise in strong support of H.R. 5122 and to speak about a 
matter of importance to our men and women who serve in the Reserve 
component, in the National Guard and our Armed Forces. As a former 
enlisted soldier, West Point graduate and 11-year veteran of active 
duty, and serving a number of years in Reserve, this is an important 
issue and one of particular interest and concern to me.
  The bill which we are considering today includes an important 
provision that will for the first time establish equity in the 
computation of retired disability pay for all servicemembers, 
regardless of whether they were serving in the active military, Reserve 
or National Guard.
  I thank Chairman Hunter and Personnel Subcommittee Chairman McHugh 
for their support of my amendment in committee which ensured inclusion 
of this vital amendment in today's legislation.
  Earlier this year on one of my trips to Walter Reed Hospital, I 
visited a severely wounded member of the Kentucky Army National Guard 
from my district, Sergeant Carlos Farler of Tollesboro, Kentucky. I was 
stunned in talking with this great American, whose home is not far from 
mine, as he told me that his disability pay would be computed at a 
different level for Reservists and for Guardsmen than it is for active 
servicemembers who have the same wounds from the same battle.
  After meeting Sergeant Farler, I researched how military disability 
and retirement pay is computed. I learned that this computation is 
often based on the years of service. Under current law, a Reservist 
gets credit only for the time he actually spends in uniform. For 
example, a soldier who has spent 13 years in the Kentucky National 
Guard may have only 4 years of service when his or her duty days are 
added up. With a 30 percent disability this soldier gets about 8 
percent less disability retirement pay than their regular Army 
counterpart.
  In other words, two personnel with identical disabilities, incurred 
in the same Iraqi fire fight, will end up with a different disability 
retirement benefit with the citizen soldier coming up short. A lifetime 
difference of 8 percent in disability pay can have a significant impact 
on a retiree's standard of living.
  The amendment which I offered and which was accepted in committee 
will change the law so that the actual number of years spent in the 
Reserves will be used. Any servicemember who earns the Purple Heart for 
being wounded in action and who was medically retired as a result of 
that action will be entitled to the same compensation for his or her 
disability retirement pay as somebody serving in the regular military.
  A bullet does not discriminate between an active and Reserve 
servicemember and neither should we. Now is the time to correct this 
long-standing inequity. With passage of today's bill, we will do so.
  In closing, I thank Sergeant Farler for bringing this inequity to my 
attention and for his service to our Nation, and also, more 
importantly, to his fellow veterans in the Guard and Reserve, and again 
I thank Chairman Hunter, Ranking Member Skelton, Chairman McHugh for 
their support of this important provision to do right by America's 
soldiers, sailors, airmen and marines, truly making the regular Reserve 
and Guard forces one force to defend this Nation.
  Mr. SKELTON. Mr. Chairman, I yield 3 minutes to the gentleman from 
Mississippi (Mr. Taylor).
  Mr. TAYLOR of Mississippi. Mr. Chairman, I rise in support of this 
bill. I want to commend all of my colleagues. In particular, I want to 
commend a former colleague, Congressman Sonny Montgomery, who is under 
the weather, who is probably watching, and we want him to know that all 
of us are thinking of him, and in this bill, in particular, I think 
Congressman Montgomery after his years of avidly serving the National 
Guard would be very pleased to know that a provision in this bill will 
extend to our Guardsmen and Reservists the exact same TRICARE benefits 
that are extended to the regular force. It is long overdue and I want 
to thank the chairman of the subcommittee, Chairman McHugh, and all the 
other people who helped make this happen.
  I also want to mention on the TRICARE for retirees that there will be 
no increase in their copays. That is an issue of great importance to 
the people who have already served us. Great people and great nations 
keep their word, and we need to keep our word to them to keep their 
premiums low.
  I would also like to commend my colleague Joel Hefley. We are going 
to miss him very much. He has been a very honorable Member of this 
body. I think the committee did the right thing in naming the housing 
complex off of Fort Carson after him. He is going to be missed greatly.
  Mr. Chairman, a couple of things in the limited time I have left that 
I would ask you to consider for the remaining time on this bill. First 
is the amendment by the gentleman from Virginia (Mr. Tom Davis) that 
would elevate the Chief of the National Guard Bureau to Joint Chiefs of 
Staff. There are over 400,000 National Guardsmen, and the events of the 
hurricane in south Mississippi last fall really convinced me that 
should there be an attack on the American homeland it is

[[Page 7707]]

going to look a lot like Hurricane Katrina.

                              {time}  1315

  You are going to have a lack of electricity, food and water, no place 
even to put the bodies of the dead, and the National Guard did a 
magnificent job in responding to that. They will in all probability do 
a magnificent job should there be a terrorist event in this country.
  But the person who should be at the table with the President in the 
event of that is the Chief of the National Guard. I would ask that the 
Members of this body be given an opportunity to vote on the Davis 
amendment.
  Second is an amendment of my own that would provide that 100 percent 
of the wheeled vehicles in the Iraq and Afghanistan theaters that leave 
a base have an IED jammer. I voted to send those young men and women 
over there. We are now in the third year of this conflict. Well over 
half of all of the casualties, well over half of all deaths are caused 
by IEDs. Just as the Department early on did not think it was necessary 
for every soldier to have body armor, or every vehicle to be up-
armored, I think the Department has been slow in seeing to it that 
every vehicle has an IED jammer. I would ask for a vote on that 
amendment. I think it is important.
  I do not think any of us want to go to a funeral and tell the moms 
and dads that we are visiting that their son, their daughter, husband, 
brother happened to be in the last vehicle in Iraq that we failed to 
put a jammer on.
  We are going to spend $10 billion this year on missile defense. We 
have not been attacked by a missile. Thousands of young Americans have 
died in Iraq. Half of those young Americans died as a result of IEDs. 
It is, unfortunately, the weapon of choice and, unfortunately, a very 
efficient weapon that our enemy is using. We need to take that weapon 
away from them, and the IED jammers can contribute to that. I ask for 
an opportunity for a vote on that amendment. It is in the best interest 
of our troops.
  Again, this is a good bill and I encourage my colleagues to vote for 
it.
  Mr. HUNTER. Mr. Chairman, I want to thank the gentleman who just 
spoke. I share his focus on IEDs, and we will work together.
  Mr. Chairman, I yield 4 minutes to the gentleman from North Carolina 
(Mr. Hayes), who represents so many great people in uniform in North 
Carolina and has spent so much time working for their quality of life 
and for their effectiveness on the battlefield, and also for all of the 
people who work in the defense industry so we can make sure when the 
American taxpayer pays for defense items, since we defend the free 
world, that those items are made by Americans and represent American 
jobs.
  Mr. HAYES. Mr. Chairman, I thank Chairman Hunter and I thank the 
minority member, Mr. Skelton, for a truly outstanding piece of 
bipartisan work. This is all about the men and women in uniform. It 
reflects the commitment, the dedication, the timing and the absolute 
perseverance of two fine leaders in our committee in wholeheartedly 
supporting the incredible effort that our men and women in uniform are 
putting forward in winning the war on terrorism. I thank them for their 
hard work and support and their unanimous approval of this bill.
  I am very proud to have Fort Bragg, the epicenter of the universe, 
home of Joint Special Operations Command, in my home district.
  As we are all aware, Special Operations Forces, SOF, are playing an 
increasingly essential role as we continue to fight and, more 
importantly, win the war on terror. Due to their importance in winning 
this fight, the 2006 Quadrennial Defense Review called for a 15 percent 
increase in Special Operations Forces beginning in fiscal year 2007. 
This would increase Army Special Forces battalions by one-third, raise 
SEAL team manning, and grow Civil Affairs and Psychological Operations.
  Some of the very best ways to begin growing the SOF force is to 
retain those highly trained individuals already serving under Special 
Operations and attract like-minded warriors to the command. That is why 
my provision requiring a DOD study on improving retention of special 
operators is so essential.
  I would again like to thank Chairman Hunter and Chairman Saxton of 
our subcommittee for their support and for working with me on this, and 
supporting me by including it in the manager's amendment.
  The report will give us better data on the cost and investment that 
goes into training and maintaining a special operator. It will include 
cost of training and how much has been invested in the average SOF 
operator after two deployments. It will also speak financially to the 
special operators who have accumulated over 48 months of hostile fire 
pay and the percentage who have accumulated over 60.
  I will soon introduce a bill to provide a new retention incentive for 
Special Forces soldiers, and look forward to continuing to work with 
Chairman Hunter and my colleagues on this critical national security 
issue.
  As we look towards the future, winning the war on terror, securing 
the freedom for America and other like-minded folks around the world, I 
want to emphasize this is about every man and woman in uniform whom we 
are so proud of and appreciate for their service, and for their 
families' support, and we will continue to say prayers for their 
continued safety and success.
  As we look forward to freedom, the shining city on the hill and the 
best days of America lying ahead, it is the men and women in uniform 
who protect, defend and make us proud to whom we should look and give 
thanks every night.
  Mr. SKELTON. Mr. Chairman, I yield 2 minutes to the gentleman from 
Colorado (Mr. Udall).
  Mr. UDALL of Colorado. Mr. Chairman, I rise in support of this bill. 
As a relatively new member of the Armed Services Committee, I am 
grateful to the ranking member, Mr. Skelton, and Chairman Hunter for 
working with me on parts of the bill that are particularly important 
for Colorado, including report language about the importance of the 
High Altitude Army Aviation Training Site, which is located in Eagle, 
Colorado, and its need for enough aircraft to fulfill its mission.
  I am also grateful for the chairman's support of a provision to name 
a housing facility at Fort Carson, Colorado, in honor of Mr. Hefley, 
who as my colleagues know is retiring this year. During his 20 years of 
representing Colorado's Fifth District, Mr. Hefley has served with 
integrity and honor, and he has been a fair and effective lawmaker. I 
have learned a great deal from Mr. Hefley in my years in Congress, and 
along with everyone else here, I will miss him.
  I am also pleased with many other provisions in the bill, including 
the extension of TRICARE coverage to all Reservists, the blocking of 
the proposed plan to raise certain TRICARE fees, the authorization of 
additional active duty Army and Army National Guard personnel, added 
funds for up-armored Humvees and IED jammers, and the 2.7 percent pay 
increase for military personnel, among other provisions.
  I hope that the Rules Committee will allow debate on many important 
amendments not made in order in today's rule, including one I proposed 
that will bring us further towards our goal of energy independence, and 
therefore national security.
  In conclusion, I think this is a good bill, a carefully drafted and 
bipartisan bill, and I urge its support.
  Mr. HUNTER. Mr. Chairman, I reserve the balance of my time.
  Mr. SKELTON. Mr. Chairman, I yield 2 minutes to the gentlewoman from 
California (Ms. Loretta Sanchez).
  Ms. LORETTA SANCHEZ of California. Mr. Chairman, I thank the ranking 
member for yielding me this time. I would like to thank all of my 
colleagues on the committee and the committee staff for their hard work 
on what I believe is a very good bill.
  In particular, I would like to thank our Personnel Subcommittee 
chairman, Mr. McHugh, for working with me this year on several issues 
pertaining to sexual assault and harassment of military women, and 
Chairman Everett of the Strategic Forces Subcommittee for his 
cooperation in ensuring that we do not put technology

[[Page 7708]]

ahead of policy in the realm of military space.
  I am also very happy to report that this bill includes language to 
strengthen congressional oversight of detainees issues, particularly 
with regards to the issue of command responsibility. The Department of 
Defense wants to say that they are holding people accountable whenever 
detainee abuse occurs, but where does the ultimate responsibility lie?
  A full 95 percent of the courts martial cases of detainee abuse 
involve the enlisted personnel. As of last month, only five officers 
had been criminally charged in connection with abuse cases, none of 
them above the rank of major, and I do not believe that that is command 
responsibility. It is clear that this committee and this Congress take 
the issue of detainee abuse seriously, but we cannot fool ourselves 
into thinking the problem is solved until this issue of command 
accountability has been effectively addressed.
  Our work on detainee issues is far from over, but the language in 
this bill is definitely a step in the right direction.
  The budget we received from the Department of Defense this year had 
many major flaws, misguided increases and out-of-pocket health care 
costs, severe cuts to National Guard funding, and other budgetary shell 
games that have sacrificed the well-being of our servicemembers to 
avoid the pain of cutting big ticket items, but this committee came 
together in a very bipartisan way to address these problems and we 
ended up with a bill that we are proud of. It is not a perfect bill and 
I hope that the next rule will allow for my colleagues' amendments that 
will make this bill even better.
  Mr. HUNTER. Mr. Chairman, I yield 2 minutes to the gentleman from 
Georgia (Mr. Gingrey), a former member of the Armed Services Committee, 
who is still very devoted to national security and exercises that role 
as a member of the Rules Committee.
  Mr. GINGREY. Mr. Chairman, I thank the gentleman for yielding me this 
time.
  I rise in strong support of the 2007 National Defense Authorization 
Act. I would like to thank all of the members of the Armed Services 
Committee for their hard work on this vital legislation, and I am 
especially appreciative for the efforts of Chairman Hunter and the 
subcommittee chairman, Mr. McHugh, and of course the ranking member, 
Mr. Skelton, in listening to the families of our fallen soldiers.
  A brave young man from my district who heroically gave his life for 
our country, SGT Paul Saylor, was not able to be viewed for a final 
time upon being returned to his family. Sergeant Saylor's family is 
extremely patriotic in support of our troops and has worked tirelessly 
to ensure that other military families are able to gain closure when a 
family member dies in defense of our Nation.
  H.R. 5122 includes, thanks to the chairman, a remains preservation 
provision which takes steps to ensure that we can honor our fallen 
heroes with the dignity and respect that they deserve.
  Mr. Chairman, I would like to personally thank you, as well as the 
ranking member, Mr. Skelton, and the subcommittee chairman, Mr. McHugh, 
for proving that one soldier and one family can truly make a 
difference. I urge support of the legislation.
  Mr. SKELTON. Mr. Chairman, I yield such time as he may consume to the 
gentleman from New Jersey (Mr. Andrews).
  Mr. ANDREWS. Mr. Chairman, I thank my friend for his very gracious 
yielding of time.
  I rise in support of a piece of legislation that I think deserves the 
support of each Member of this body. I thank Chairman Hunter and Mr. 
Skelton and the various subcommittee chairmen and members for their 
hard work on this bill.
  My reasons for supporting this bill are both local and global. 
Locally, I would like to thank my friend and colleague, Mr. Saxton, 
chairman of our subcommittee, for his excellent work, along with Mr. 
LoBiondo, for inserting language which will put a stop to what I 
believe is an unwise and poorly thought out plan to dispose of the 
residue of VX nerve agent in the Delaware River adjoining our 
districts. I thank them for their leadership on that.
  More globally, the role of the Armed Forces of the United States is 
to act in conjunction with our diplomatic and other leaders to shape 
the world in which we live so it is safer for our people.

                              {time}  1530

  And I think by any measure, this bill measures up to that very high 
standard. Most importantly, I am proud to support this bill because it 
significantly exceeds the pay increase for the people in uniform that 
was originally proposed.
  The original proposal under the President's budget was for a 2.2 
percent increase in the base pay of those who serve our country. I 
commend both the majority and minority for finding the right ways to 
alter that request and increase it to 2.7 percent, far more in line 
with pay raises being received by people in the private sector in lines 
of work that are obviously less risky and stressful for the defense of 
our country.
  I also believe that this bill wisely invests in the information 
technologies and the intelligence gathering technologies that will 
serve us well in dealing with the asymmetric threats that our country 
faces and will surely face in the years ahead. I think this is a very 
positive foundation for the enactment of this bill.
  I will say that I hope that the Rules Committee finds it within its 
purview to permit the full House to debate some other measures about 
shaping the environment in which we live, with specific reference to 
the question of limiting the proliferation of weapons of mass 
destruction. There is an amendment presently before the Rules Committee 
which speaks to that issue, which I would urge the Rules Committee to 
adopt so that we can have an argument about the best way to shape the 
future in which we find ourselves.
  But I will say this. There is unanimity that the best way to shape 
that future is to recruit, retain, reward, equip and take care of the 
brave Americans who step forward to serve this country and their 
families. I am very pleased that this has not become a partisan issue, 
that Members on both sides of the aisle have worked very hard to try to 
a achieve that promise, the recognition of that promise for the people 
who serve.
  So I am proud to support this bill because of what it does for the 
anonymous young Americans whose names we do not know usually, until 
something terrible happens to them. I hope that we never learn their 
names if that is the reason that we would hear them.
  But what they will learn from us is that their compensation, the care 
for their families will improve as a result of this bill that we 
support today.
  Mr. SKELTON. Mr. Chairman, may I ask, does the gentleman from 
California have additional speakers?
  Mr. HUNTER. I would say to my good colleague, I have just one 
additional thing that I would like to mention about a provision in the 
bill. But outside of that, we are ready to wrap up the general debate. 
So I have got just maybe a minute or two.
  Mr. SKELTON. Mr. Chairman, I reserve the balance of my time.
  Mr. HUNTER. Mr. Chairman, I just wanted to say to my colleagues that 
this, the story of this global war against terror with the special 
focus in Iraq and Afghanistan, is a story of families. It is a story of 
enormous sacrifice, not just by the people that wear the uniform in the 
theater, but by their families back home, their moms, their dads, their 
wives, their husbands, their children.
  And there is a particular family, the Holley family from San Diego, 
California, that brought an issue to the attention of the Armed 
Services Committee here over this last year when their great 101st 
Airborne Trooper, Matthew Holley, was killed in the Iraq theater. And 
they pointed out that in the present chain of transportation of our 
fallen heroes home, where they come through Dover, Delaware, and 
ultimately go to their final resting place at their particular hometown 
or community in America, that part of that chain of transportation has 
been carried out by commercial airlines. And

[[Page 7709]]

despite the best wishes and the best efforts on the part of those 
people who operate the commercial airlines, the proper amount of 
respect, the extreme respect that should be afforded those fallen 
heroes is in some cases, has in some cases been lacking.
  And that came to the attention of the Holley family. And they talked 
to me and to other members of the committee, and we looked at the issue 
and as a result of that, we have, in the law, in this bill or in the 
proposed law, some very clear and strong directives to the 
administration to utilize military aircraft in taking our fallen heroes 
from Dover, Delaware, from where they land on American shores, to the 
military base that is closest to their hometown, unless otherwise 
directed by the family, and to use those military aircraft and to 
accompany those fallen heroes with American military personnel, and to 
greet that military aircraft when it arrives at that military base 
closest to their hometown with an honor guard.
  And so we have laid out very directive language, very clear language 
for the administration. And I want to thank John and Stacy, who really 
brought this to our attention in honor of their son, Matthew Holley. 
And I think that we have talked to the other body and I think that this 
will have clear support all the way through.
  But this is an important part of this bill because part of this bill 
is about respect. And this particular provision is about respect for 
those people who have given that last full measure of devotion to our 
country.
  Mr. Chairman, I yield back the balance of my time.
  Mr. SKELTON. Mr. Chairman, I yield myself such time as I may consume.
  I want to add one more word about this bill. It is an excellent bill, 
reflects the best of bipartisanship. I thank the chairman, Duncan 
Hunter, all of the subcommittee chairmen and ranking members for the 
very, very hard work that they did. I certainly hope that we are able 
to return tomorrow with some amendments that need to be debated and 
discussed, including the prescription drug amendment that I have 
offered.
  Mr. FOSSELLA. Mr. Chairman, today I rise in support of H.R. 5122, the 
2007 Defense Reauthorization.
  In February 2006, I introduced legislation that would allow military 
families to mail packages postage-free to their loved ones serving in 
Iraq and Afghanistan. With the help of Chairman Hunter, Sub-Committee 
Chairman McHugh, and Chairman Tom Davis, this legislation has been 
included in the underlying legislation we are currently debating.
  I drafted the legislation in response to concerns expressed to me by 
many military families that it was becoming too costly for them to send 
regular care packages to their loved ones overseas. I heard story after 
story of families that were already finding it hard to make ends meet 
now having to spend as much as $1,500 a year to mail care packages. 
These packages bring a touch of home to our servicemembers--like 
pictures, cards and school projects from their children. But they also 
provide our military men and women with basic necessities like shampoo, 
powder, and phone cards.
  In my district of Staten Island and Brooklyn, residents joined 
together and raised money to help military families send these packages 
over seas. I was inspired by the outpouring of support for our service 
men and women in Dyker Heights, Brooklyn, where postal service 
employees raised money to cover the postage for every package sent to 
our troops. On Staten Island, several groups dedicated to helping 
miltary families also raised money to help offset the cost of postage.
  It was these acts of genorosity and partiotism that prompted me to 
introduce my legislation. And today, with the strong, bipartisan 
support of 133 of my colleagues, the House of Representatives will show 
our enduring support for our service men and women and their families.
  It goes without saying that our servicemen and women are making 
enormous sacrifices fighting the War on Terrorism and defending freedom 
and liberty. They face great challenges under trying circumstances, and 
often without the benefit of basic necessities like blankets or 
toothpaste. It falls upon their families back home to get them these 
supplies and to cover the cost of shipping them overseas. This bill 
will help make life better for our soldiers and to ease the financial 
burden on those back home. It is a simple way to bring a touch of home 
to America's heroes overseas.
  I urge my colleagues to support this bill and allow our military 
families an easier path to sending care packages to their loved ones.
  Mr. NORWOOD. Mr. Chairman, I would like to thank Chairman Hunter, 
Ranking Member Skelton, and committee staff for including my 
legislation improving TRICARE dental coverage into this bill.
  Currently, TRICARE will only pay for medically necessary dental work 
in a hospital if the condition has a medical component.
  That means if a young child or disabled dependent has a serious 
dental condition and cannot be treated in the office, the general 
anesthesia costs get passed to the family.
  As a former Army and private practice dentist, I can tell you that 
hospital dental care is medically necessary in limited cases, and that 
these costs are an unjust burden on military families.
  This Authorization finally acknowledges that fact, and I urge its 
support.
  Mr. SKELTON. Mr. Chairman, I yield back the balance of my time.
  The Acting CHAIRMAN (Mr. Kuhl of New York). All time for general 
debate has expired.
  Pursuant to the rule, the amendment in the nature of a substitute 
printed in the bill shall be considered as an original bill for the 
purpose of amendment under the 5-minute rule and shall be considered 
read.
  The text of the amendment in the nature of a substitute is as 
follows:

                               H.R. 5122

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Defense 
     Authorization Act for Fiscal Year 2007''.

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

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

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

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

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

                       Subtitle B--Army Programs

Sec. 111. Multiyear procurement authority for Family of Medium Tactical 
              Vehicles.
Sec. 112. Multiyear procurement authority for MH-60R helicopters and 
              mission equipment.
Sec. 113. Funding profile for Modular Force Initiative of the Army.
Sec. 114. Bridge to Future Networks program.

                       Subtitle C--Navy Programs

Sec. 121. Attack submarine force structure.
Sec. 122. Adherence to Navy cost estimates for CVN-21 class of aircraft 
              carriers.
Sec. 123. Adherence to Navy cost estimates for LHA Replacement 
              amphibious assault ship program.
Sec. 124. Adherence to Navy cost estimates for San Antonio (LPD-17) 
              class amphibious ship program.
Sec. 125. Multiyear procurement authority for V-22 tiltrotor aircraft 
              program.
Sec. 126. Quality control in procurement of ship critical safety items 
              and related services.
Sec. 127. DD(X) Next-Generation Destroyer program.
Sec. 128. Sense of Congress that the Navy make greater use of nuclear-
              powered propulsion systems in its future fleet of surface 
              combatants.

                     Subtitle D--Air Force Programs

Sec. 131. Requirement for B-52 force structure.
Sec. 132. Strategic airlift force structure.
Sec. 133. Limitation on retirement of U-2 aircraft.
Sec. 134. Multiyear procurement authority for F-22A Raptor fighter 
              aircraft.
Sec. 135. Limitation on retirement of KC-135E aircraft during fiscal 
              year 2007.
Sec. 136. Limitation on retirement of F-117A aircraft during fiscal 
              year 2007.

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

              Subtitle A--Authorization of Appropriations

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

[[Page 7710]]

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Alternate engine for Joint Strike Fighter.
Sec. 212. Extension of authority to award prizes for advanced 
              technology achievements.
Sec. 213. Extension of Defense Acquisition Challenge Program.
Sec. 214. Future Combat Systems milestone review.
Sec. 215. Independent cost analyses for Joint Strike Fighter engine 
              program.
Sec. 216. Dedicated amounts for implementing or evaluating DD(X) and 
              CVN-21 proposals under Defense Acquisition Challenge 
              Program.

                 Subtitle C--Ballistic Missile Defense

Sec. 221. Fielding of ballistic missile defense capabilities.
Sec. 222. Limitation on use of funds for space-based interceptor.

                       Subtitle D--Other Matters

Sec. 231. Review of test and evaluation policies and practices to 
              address emerging acquisition approaches.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

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

                  Subtitle B--Environmental Provisions

Sec. 311. Revision of requirement for unexploded ordnance program 
              manager.
Sec. 312. Identification and monitoring of military munitions disposal 
              sites in ocean waters extending from United States coast 
              to outer boundary of outer Continental Shelf.
Sec. 313. Reimbursement of Environmental Protection Agency for certain 
              costs in connection with Moses Lake Wellfield Superfund 
              Site, Moses Lake, Washington.
Sec. 314. Funding of cooperative agreements under environmental 
              restoration program.
Sec. 315. Analysis and report regarding contamination and remediation 
              responsibility for Norwalk Defense Fuel Supply Point, 
              Norwalk, California.

                 Subtitle C--Workplace and Depot Issues

Sec. 321. Extension of exclusion of certain expenditures from 
              percentage limitation on contracting for depot-level 
              maintenance.
Sec. 322. Minimum capital investment for Air Force depots.
Sec. 323. Extension of temporary authority for contractor performance 
              of security guard functions.

                          Subtitle D--Reports

Sec. 331. Report on Nuclear Attack Submarine Depot Maintenance.
Sec. 332. Report on Navy Fleet Response Plan.
Sec. 333. Report on Navy surface ship rotational crew programs.
Sec. 334. Report on Army live-fire ranges in Hawaii.
Sec. 335. Comptroller General report on joint standards and protocols 
              for access control systems at Department of Defense 
              installations.
Sec. 336. Report on Personnel Security Investigations for Industry and 
              National Industrial Security Program.

                       Subtitle E--Other Matters

Sec. 341. Department of Defense strategic policy on prepositioning of 
              materiel and equipment.
Sec. 342. Authority to make Department of Defense horses available for 
              adoption at end of useful working life.
Sec. 343. Sale and use of proceeds of recyclable munitions materials.
Sec. 344. Capital security cost sharing.
Sec. 345. Prioritization of funds within Navy mission operations, ship 
              maintenance, combat support forces, and weapons system 
              support.
Sec. 346. Prioritization of funds within Army reconstitution and 
              transformation.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

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

                       Subtitle B--Reserve Forces

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

              Subtitle C--Authorization of Appropriations

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

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. Authorized strength of Navy Reserve flag officers.
Sec. 502. Standardization of grade of senior dental officer of the Air 
              Force with that of senior dental officer of the Army.
Sec. 503. Management of chief warrant officers.
Sec. 504. Reduction in time-in-grade requirement for promotion to 
              captain in the Army, Air Force, and Marine Corps and 
              lieutenant in the Navy.
Sec. 505. Military status of officers serving in certain Intelligence 
              Community positions.

                Subtitle B--Reserve Component Management

Sec. 511. Revisions to reserve call-up authority.
Sec. 512. Military retirement credit for certain service by National 
              Guard members performed while in a State duty status 
              immediately after the terrorist attacks of September 11, 
              2001.
Sec. 513. Report on private-sector promotion and constructive 
              termination of members of the reserve components called 
              or ordered to active service.

                   Subtitle C--Education and Training

Sec. 521. Authority to permit members who participate in the guaranteed 
              reserve forces duty scholarship program to participate in 
              the health professions scholarship program and serve on 
              active duty.
Sec. 522. Junior Reserve Officers' Training Corps instruction 
              eligibility expansion.
Sec. 523. Authority for United States Military Academy and United 
              States Air Force Academy permanent military professors to 
              assume command positions while on periods of sabbatical.
Sec. 524. Expansion of service academy exchange programs with foreign 
              military academies.
Sec. 525. Review of legal status of Junior ROTC program.

                Subtitle D--General Service Authorities

Sec. 531. Test of utility of test preparation guides and education 
              programs in enhancing recruit candidate performance on 
              the Armed Services Vocational Aptitude Battery (ASVAB) 
              and Armed Forces Qualification Test (AFQT).
Sec. 532. Nondisclosure of selection board proceedings.
Sec. 533. Report on extent of provision of timely notice of long-term 
              deployments.

       Subtitle E--Authorities Relating to Guard and Reserve Duty

Sec. 541. Title 10 definition of Active Guard and Reserve duty.
Sec. 542. Authority for Active Guard and Reserve duties to include 
              support of operational missions assigned to the reserve 
              components and instruction and training of active-duty 
              personnel.
Sec. 543. Governor's authority to order members to Active Guard and 
              Reserve duty.
Sec. 544. National Guard officers authority to command.
Sec. 545. Expansion of operations of civil support teams.

                   Subtitle F--Decorations and Awards

Sec. 551. Authority for presentation of Medal of Honor Flag to living 
              Medal of Honor recipients and to living primary next-of-
              kin of deceased Medal of Honor recipients.
Sec. 552. Cold War Victory Medal.
Sec. 553. Posthumous award of Purple Heart for prisoners of war who die 
              in or due to captivity.
Sec. 554. Advancement on the retired list of certain decorated retired 
              Navy and Marine Corps officers.
Sec. 555. Report on Department of Defense process for awarding 
              decorations.

               Subtitle G--Matters Relating to Casualties

Sec. 561. Criteria for removal of member from temporary disability 
              retired list.
Sec. 562. Department of Defense computer/electronic accommodations 
              program for severely wounded members.
Sec. 563. Transportation of remains of casualties dying in a theater of 
              combat operations.
Sec. 564. Annual budget display of funds for POW/MIA activities of 
              Department of Defense.

   Subtitle H--Assistance to Local Educational Agencies for Defense 
                          Dependents Education

Sec. 571. Continuation of authority to assist local educational 
              agencies that benefit dependents of members of the Armed 
              Forces and Department of Defense civilian employees.
Sec. 572. Enrollment in defense dependents' education system of 
              dependents of foreign military members assigned to 
              Supreme Headquarters Allied Powers, Europe.

                      Subtitle I--Postal Benefits

Sec. 575. Postal benefits program for members of the Armed Forces.

[[Page 7711]]

Sec. 576. Funding.
Sec. 577. Duration.

                       Subtitle J--Other Matters

Sec. 581. Reduction in Department of Defense accrual contributions to 
              Department of Defense Military Retirement Fund.
Sec. 582. Dental Corps of the Bureau of Medicine and Surgery.
Sec. 583. Permanent authority for presentation of recognition items for 
              recruitment and retention purposes.
Sec. 584. Report on feasibility of establishment of Military Entrance 
              Processing Command station on Guam.
Sec. 585. Persons authorized to administer enlistment and appointment 
              oaths.
Sec. 586. Repeal of requirement for periodic Department of Defense 
              Inspector General assessments of voting assistance 
              compliance at military installations.
Sec. 587. Physical evaluation boards.
Sec. 588. Department of Labor transitional assistance program.
Sec. 589. Revision in Government contributions to Medicare-Eligible 
              Retiree Health Care Fund.
Sec. 590. Military chaplains.
Sec. 591. Report on personnel requirements for airborne assets 
              identified as Low-Density, High-Demand Airborne Assets.
Sec. 592. Entrepreneurial Service Members Empowerment Task Force.
Sec. 593. Comptroller General report on military conscientious 
              objectors.
Sec. 594. Commission on the National Guard and Reserves.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2007.
Sec. 602. Targeted increase in basic pay rates.
Sec. 603. Conforming change in general and flag officer pay cap to 
              reflect increase in pay cap for Senior Executive Service 
              personnel.
Sec. 604. Availability of second basic allowance for housing for 
              certain reserve component or retired members serving in 
              support of contingency operations.
Sec. 605. Extension of temporary continuation of housing allowance for 
              dependents of members dying on active duty to spouses who 
              are also members.
Sec. 606. Clarification of effective date of prohibition on 
              compensation for correspondence courses.
Sec. 607. Payment of full premium for coverage under Servicemembers' 
              Group Life Insurance program during service in Operation 
              Enduring Freedom or Operation Iraqi Freedom.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonus and special pay authorities for 
              reserve forces.
Sec. 612. Extension of bonus and special pay authorities for health 
              care professionals.
Sec. 613. Extension of special pay and bonus authorities for nuclear 
              officers.
Sec. 614. Extension of other bonus, special pay, and separation pay 
              authorities.
Sec. 615. Expansion of eligibility of dental officers for additional 
              special pay.
Sec. 616. Increase in maximum annual rate of special pay for Selected 
              Reserve health care professionals in critically short 
              wartime specialties.
Sec. 617. Authority to provide lump sum payment of nuclear officer 
              incentive pay.
Sec. 618. Increase in maximum amount of nuclear career accession bonus.
Sec. 619. Increase in maximum amount of incentive bonus for transfer 
              between armed forces.
Sec. 620. Clarification regarding members of the Army eligible for 
              bonus for referring other persons for enlistment in the 
              Army.
Sec. 621. Pilot program for recruitment bonus for critical health care 
              specialties.
Sec. 622. Enhancement of temporary program of voluntary separation pay 
              and benefits.
Sec. 623. Additional authorities and incentives to encourage retired 
              members and reserve component members to volunteer to 
              serve on active duty in high-demand, low-density 
              assignments.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Authority to pay costs associated with delivery of motor 
              vehicle to storage location selected by member and 
              subsequent removal of vehicle.
Sec. 632. Transportation of additional motor vehicle of members on 
              change of permanent station to or from nonforeign areas 
              outside the continental United States.
Sec. 633. Travel and transportation allowances for transportation of 
              family members incident to illness or injury of members.

             Subtitle D--Retired Pay and Survivor Benefits

Sec. 641. Military Survivor Benefit Plan beneficiaries under insurable 
              interest coverage.
Sec. 642. Retroactive payment of additional death gratuity for certain 
              members not previously covered.
Sec. 643. Equity in computation of disability retired pay for reserve 
              component members wounded in action.

    Subtitle E--Commissary and Nonappropriated Fund Instrumentality 
                                Benefits

Sec. 651. Treatment of price surcharges of tobacco products and certain 
              other merchandise sold at commissary stores.
Sec. 652. Limitation on use of Department of Defense lease authority to 
              undermine commissaries and exchanges and other morale, 
              welfare, and recreation programs and nonappropriated fund 
              instrumentalities.
Sec. 653. Use of nonappropriated funds to supplement or replace 
              appropriated funds for construction of facilities of 
              exchange stores system and other nonappropriated fund 
              instrumentalities, military lodging facilities, and 
              community facilities.
Sec. 654. Report on cost effectiveness of purchasing commercial 
              insurance for commissary and exchange facilities and 
              facilities of other morale, welfare, and recreation 
              programs and nonappropriated fund instrumentalities.

                       Subtitle F--Other Matters

Sec. 661. Repeal of annual reporting requirement regarding effects of 
              recruitment and retention initiatives.
Sec. 662. Pilot project regarding providing golf carts accessible for 
              disabled persons at military golf courses.
Sec. 663. Enhanced authority to remit or cancel indebtedness of members 
              of the Armed Forces incurred on active duty.

                   TITLE VII--HEALTH CARE PROVISIONS

                Subtitle A--TRICARE Program Improvements

Sec. 701. TRICARE coverage for forensic examination following sexual 
              assault or domestic violence.
Sec. 702. Authorization of anesthesia and other costs for dental care 
              for children and certain other patients.
Sec. 703. Improvements to descriptions of cancer screening.
Sec. 704. Prohibition on increases in certain health care costs for 
              members of the uniformed services.
Sec. 705. Services of mental health counselors.
Sec. 706. Demonstration project on coverage of selected over-the-
              counter medications under the pharmacy benefit program.
Sec. 707. Requirement to reimburse certain travel expenses of certain 
              beneficiaries covered by TRICARE for life.
Sec. 708. Inflation adjustment of differential payments to children's 
              hospitals participating in TRICARE program.
Sec. 709. Expanded eligibility of Selected Reserve members under 
              TRICARE program.
Sec. 710. Extension to TRICARE of medicare prohibition of financial 
              incentives not to enroll in group health plan.

                    Subtitle B--Studies and Reports

Sec. 711. Department of Defense task force on the future of military 
              health care.
Sec. 712. Study and plan relating to chiropractic health care services.
Sec. 713. Comptroller General study and report on Defense Health 
              Program.
Sec. 714. Transfer of custody of the Air Force Health Study assets to 
              Medical Follow-up Agency.
Sec. 715. Study on allowing dependents of activated members of Reserve 
              Components to retain civilian health care coverage.

                       Subtitle C--Other Matters

Sec. 721. Costs of incentive payments to employees for TRICARE 
              enrollment made unallowable for contractors.
Sec. 722. Requirement for military medical personnel to be trained in 
              preservation of remains.

           Subtitle D--Pharmacy Benefits Program Improvements

Sec. 731. TRICARE pharmacy program cost-share requirements.

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

 Subtitle A--Provisions Relating to Major Defense Acquisition Programs

Sec. 801. Requirements Management Certification Training Program.
Sec. 802. Additional requirements relating to technical data rights.
Sec. 803. Study and report on revisions to Selected Acquisition Report 
              requirements.
Sec. 804. Quarterly updates on implementation of acquisition reform in 
              the Department of Defense.
Sec. 805. Establishment of defense challenge process for critical cost 
              growth threshold breaches in major defense acquisition 
              programs.
Sec. 806. Market research required for major defense acquisition 
              programs before proceeding to Milestone B.

[[Page 7712]]

             Subtitle B--Acquisition Policy and Management

Sec. 811. Applicability of statutory executive compensation cap made 
              prospective.
Sec. 812. Prohibition on procurement from beneficiaries of foreign 
              subsidies.
Sec. 813. Time-certain development for Department of Defense 
              information technology business systems.
Sec. 814. Establishment of Panel on Contracting Integrity.

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

Sec. 821. Extension of special temporary contract closeout authority.
Sec. 822. Limitation on contracts for the acquisition of certain 
              services.
Sec. 823. Use of Federal supply schedules by State and local 
              governments for goods and services for recovery from 
              natural disasters, terrorism, or nuclear, biological, 
              chemical, or radiological attack.
Sec. 824. Waivers to extend task order contracts for advisory and 
              assistance services.
Sec. 825. Enhanced access for small business.
Sec. 826. Procurement goal for Hispanic-serving institutions.
Sec. 827. Prohibition on defense contractors requiring licenses or fees 
              for use of military likenesses and designations.

      Subtitle D--United States Defense Industrial Base Provisions

Sec. 831. Protection of strategic materials critical to national 
              security.
Sec. 832. Strategic Materials Protection Board.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

              Subtitle A--Department of Defense Management

Sec. 901. Standardization of statutory references to ``national 
              security system'' within laws applicable to Department of 
              Defense.
Sec. 902. Correction of reference to predecessor of Defense Information 
              Systems Agency.
Sec. 903. Addition to membership of specified council.
Sec. 904. Consolidation and standardization of authorities relating to 
              Department of Defense Regional Centers for Security 
              Studies.
Sec. 905. Redesignation of the Department of the Navy as the Department 
              of the Navy and Marine Corps.

                      Subtitle B--Space Activities

Sec. 911. Designation of successor organizations for the disestablished 
              Interagency Global Positioning Executive Board.
Sec. 912. Extension of authority for pilot program for provision of 
              space surveillance network services to non-United States 
              Government entities.
Sec. 913. Operationally Responsive Space.

             Subtitle C--Chemical Demilitarization Program

Sec. 921. Transfer to Secretary of the Army of responsibility for 
              Assembled Chemical Weapons Alternatives Program.
Sec. 922. Comptroller General review of cost-benefit analysis of off-
              site versus on-site treatment and disposal of hydrolysate 
              derived from neutralization of VX nerve gas at Newport 
              Chemical Depot, Indiana.
Sec. 923. Sense of Congress regarding the safe and expeditious disposal 
              of chemical weapons.

                Subtitle D--Intelligence-Related Matters

Sec. 931. Repeal of termination of authority of Secretary of Defense to 
              engage in commercial activities as security for 
              intelligence collection activities abroad.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. General transfer authority.
Sec. 1002. Authorization of supplemental appropriations for fiscal year 
              2006.
Sec. 1003. Increase in fiscal year 2006 general transfer authority.
Sec. 1004. United States contribution to NATO common-funded budgets in 
              fiscal year 2007.
Sec. 1005. Report on budgeting for fluctuations in fuel cost rates.
Sec. 1006. Reduction in authorizations due to savings resulting from 
              lower-than-expected inflation.

          Subtitle B--Policy Relating to Vessels and Shipyards

Sec. 1011. Transfer of naval vessels to foreign nations based upon 
              vessel class.
Sec. 1012. Overhaul, repair, and maintenance of vessels in foreign 
              shipyards.
Sec. 1013. Report on options for future lease arrangement for Guam 
              Shipyard.
Sec. 1014. Shipbuilding Industrial Base Improvement Program.
Sec. 1015. Transfer of operational control of certain patrol coastal 
              ships to Coast Guard.
Sec. 1016. Limitation on leasing of foreign-built vessels.
Sec. 1017. Overhaul, repair, and maintenance of vessels carrying 
              Department of Defense cargo.
Sec. 1018. Riding gang member documentation requirement.

                  Subtitle C--Counter-Drug Activities

Sec. 1021. Restatement in title 10, United States Code, and revision of 
              Department of Defense authority to provide support for 
              counter-drug activities of Federal, State, local, and 
              foreign law enforcement agencies.
Sec. 1022. Restatement in title 10, United States Code, and revision of 
              Department of Defense authority to provide support for 
              counter-drug activities of certain foreign governments.
Sec. 1023. Extension of authority to support unified counterdrug and 
              counterterrorism campaign in Colombia.
Sec. 1024. Continuation of reporting requirement regarding Department 
              of Defense expenditures to support foreign counter-drug 
              activities.
Sec. 1025. Report on interagency counter-narcotics plan for Afghanistan 
              and South and Central Asian regions.

                       Subtitle D--Other Matters

Sec. 1031. Revision to authorities relating to Commission on the 
              implementation of the New Strategic Posture of the United 
              States.
Sec. 1032. Enhancement to authority to pay rewards for assistance in 
              combating terrorism.
Sec. 1033. Report on assessment process of Chairman of the Joint Chiefs 
              of Staff relating to Global War on Terrorism.
Sec. 1034. Presidential report on improving interagency support for 
              United States 21st century national security missions.
Sec. 1035. Quarterly reports on implementation of 2006 Quadrennial 
              Defense Review Report.
Sec. 1036. Increased hunting and fishing opportunities for members of 
              the Armed Forces, retired members, and disabled veterans 
              .
Sec. 1037. Technical and clerical amendments.
Sec. 1038. Database of emergency response capabilities.
Sec. 1039. Information on certain criminal investigations and 
              prosecutions.
Sec. 1040. Date for final report of EMP Commission.

                  TITLE XI--CIVILIAN PERSONNEL MATTERS

Sec. 1101. Increase in authorized number of defense intelligence senior 
              executive service employees.
Sec. 1102. Authority for Department of Defense to pay full replacement 
              value for personal property claims of civilians.
Sec. 1103. Accrual of annual leave for members of the uniformed 
              services performing dual employment.
Sec. 1104. Death gratuity authorized for Federal employees.

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

                  Subtitle A--Assistance and Training

Sec. 1201. Logistic support for allied forces participating in combined 
              operations.
Sec. 1202. Temporary authority to use acquisition and cross-servicing 
              agreements to lend certain military equipment to foreign 
              forces in Iraq and Afghanistan for personnel protection 
              and survivability.
Sec. 1203. Recodification and revision to law relating to Department of 
              Defense humanitarian demining assistance.
Sec. 1204. Enhancements to Regional Defense Combating Terrorism 
              Fellowship Program.
Sec. 1205. Capstone overseas field studies trips to People's Republic 
              of China and Republic of China on Taiwan.
Sec. 1206. Military educational exchanges between senior officers and 
              officials of the United States and Taiwan.

     Subtitle B--Nonproliferation Matters and Countries of Concern

Sec. 1211. Procurement restrictions against foreign persons that 
              transfer certain defense articles and services to the 
              People's Republic of China.

                       Subtitle C--Other Matters

Sec. 1221. Execution of the President's policy to make available to 
              Taiwan diesel electric submarines.

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

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

            TITLE XIV--HOMELAND DEFENSE TECHNOLOGY TRANSFER

Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Creation of Homeland Defense Technology Transfer Consortium.

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

Sec. 1501. Purpose.

[[Page 7713]]

Sec. 1502. Army procurement.
Sec. 1503. Navy and Marine Corps procurement.
Sec. 1504. Air Force procurement.
Sec. 1505. Defense-wide activities procurement.
Sec. 1506. Research, development, test and evaluation.
Sec. 1507. Operation and maintenance.
Sec. 1508. Defense Health Program.
Sec. 1509. Classified programs.
Sec. 1510. Military personnel.
Sec. 1511. Treatment as additional authorizations.
Sec. 1512. Transfer authority.
Sec. 1513. Availability of funds.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title.

                            TITLE XXI--ARMY

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

                            TITLE XXII--NAVY

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

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
              projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.

                      TITLE XXIV--DEFENSE AGENCIES

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

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

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

            TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

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

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
              specified by law.
Sec. 2702. Effective date.

         TITLE XXVIII--MILITARY CONSTRUCTION GENERAL PROVISIONS

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

Sec. 2801. Increase in maximum annual amount authorized to be obligated 
              for emergency military construction.
Sec. 2802. Applicability of local comparability of room pattern and 
              floor area requirements to construction, acquisition, and 
              improvement to military unaccompanied housing.
Sec. 2803. Authority to use proceeds from sale of military family 
              housing to support military housing privatization 
              initiative.
Sec. 2804. Repeal of special requirement for military construction 
              contracts on Guam.
Sec. 2805. Congressional notification of cancellation ceiling for 
              Department of Defense energy savings performance 
              contracts.
Sec. 2806. Expansion of authority to convey property at military 
              installations to support military construction.
Sec. 2807. Pilot projects for acquisition or construction of military 
              unaccompanied housing.
Sec. 2808. Consideration of alternative and more efficient uses for 
              general officer and flag officer quarters in excess of 
              6,000 square feet.
Sec. 2809. Repeal of temporary minor military construction program.
Sec. 2810. One-year extension of temporary, limited authority to use 
              operation and maintenance funds for construction projects 
              outside the United States.

        Subtitle B--Real Property and Facilities Administration

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

                Subtitle C--Base Closure and Realignment

Sec. 2831. Treatment of lease proceeds from military installations 
              approved for closure or realignment after January 1, 
              2005.

                      Subtitle D--Land Conveyances

Sec. 2841. Land conveyance, Naval Air Station, Barbers Point, Hawaii.
Sec. 2842. Modification of land acquisition authority, Perquimans 
              County, North Carolina.
Sec. 2843. Land conveyance, Radford Army Ammunition Plant, Pulaski 
              County, Virginia.

                       Subtitle E--Other Matters

Sec. 2851. Availability of community planning assistance relating to 
              encroachment of civilian communities on military 
              facilities used for training by the Armed Forces.
Sec. 2852. Prohibitions against making certain military airfields or 
              facilities available for use by civil aircraft.
Sec. 2853. Naming housing facility at Fort Carson, Colorado, in honor 
              of Joel Hefley, a member of the House of Representatives.
Sec. 2854. Naming Navy and Marine Corps Reserve Center at Rock Island, 
              Illinois, in honor of Lane Evans, a member of the House 
              of Representatives.
Sec. 2855. Naming of research laboratory at Air Force Rome Research 
              Site, Rome, New York, in honor of Sherwood L. Boehlert, a 
              member of the House of Representatives.

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

      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

         Subtitle A--National Security Programs Authorizations

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

   Subtitle B--Program Authorizations, Restrictions, and Limitations

Sec. 3111. Plan for transformation of National Nuclear Security 
              Administration nuclear weapons complex.
Sec. 3112. Extension of Facilities and Infrastructure Recapitalization 
              Program.
Sec. 3113. Utilization of contributions to Global Threat Reduction 
              Initiative.
Sec. 3114. Utilization of contributions to Second Line of Defense 
              program.
Sec. 3115. Two-year extension of authority for appointment of certain 
              scientific, engineering, and technical personnel.
Sec. 3116. National Academy of Sciences study of quantification of 
              margins and uncertainty methodology for assessing and 
              certifying the safety and reliability of the nuclear 
              stockpile.
Sec. 3117. Consolidation of counterintelligence programs of Department 
              of Energy and National Nuclear Security Administration.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

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

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

                  TITLE XXXV--MARITIME ADMINISTRATION

Sec. 3501. Authorization of appropriations for fiscal year 2007.
Sec. 3502. Limitation on transfer of Maritime Security Fleet operating 
              agreements.
Sec. 3503. Applicability to certain Maritime Administration vessels of 
              limitations on overhaul, repair, and maintenance of 
              vessels in foreign shipyards.
Sec. 3504. Vessel transfer authority.
Sec. 3505. United States Merchant Marine Academy graduates: alternate 
              service requirements.
Sec. 3506. United States Merchant Marine Academy graduates: service 
              obligation performance reporting requirement.

[[Page 7714]]

Sec. 3507. Temporary authority to transfer obsolete combatant vessels 
              to Navy for disposal.
Sec. 3508. Temporary requirement to maintain Ready Reserve Force.

     SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES.

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

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

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

                       Subtitle B--Army Programs

Sec. 111. Multiyear procurement authority for Family of Medium Tactical 
              Vehicles.
Sec. 112. Multiyear procurement authority for MH-60R helicopters and 
              mission equipment.
Sec. 113. Funding profile for Modular Force Initiative of the Army.
Sec. 114. Bridge to Future Networks program.

                       Subtitle C--Navy Programs

Sec. 121. Attack submarine force structure.
Sec. 122. Adherence to Navy cost estimates for CVN-21 class of aircraft 
              carriers.
Sec. 123. Adherence to Navy cost estimates for LHA Replacement 
              amphibious assault ship program.
Sec. 124. Adherence to Navy cost estimates for San Antonio (LPD-17) 
              class amphibious ship program.
Sec. 125. Multiyear procurement authority for V-22 tiltrotor aircraft 
              program.
Sec. 126. Quality control in procurement of ship critical safety items 
              and related services.
Sec. 127. DD(X) Next-Generation Destroyer program.
Sec. 128. Sense of Congress that the Navy make greater use of nuclear-
              powered propulsion systems in its future fleet of surface 
              combatants.

                     Subtitle D--Air Force Programs

Sec. 131. Requirement for B-52 force structure.
Sec. 132. Strategic airlift force structure.
Sec. 133. Limitation on retirement of U-2 aircraft.
Sec. 134. Multiyear procurement authority for F-22A Raptor fighter 
              aircraft.
Sec. 135. Limitation on retirement of KC-135E aircraft during fiscal 
              year 2007.
Sec. 136. Limitation on retirement of F-117A aircraft during fiscal 
              year 2007.

              Subtitle A--Authorization of Appropriations

     SEC. 101. ARMY.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for procurement for the Army as follows:
       (1) For aircraft, $3,714,783,000.
       (2) For missiles, $1,490,898,000.
       (3) For weapons and tracked combat vehicles, 
     $2,335,004,000.
       (4) For ammunition, $1,691,475,000.
       (5) For other procurement, $6,970,079,000.
       (6) For National Guard Equipment, $318,000,000.

     SEC. 102. NAVY AND MARINE CORPS.

       (a) Navy.--Funds are hereby authorized to be appropriated 
     for fiscal year 2007 for procurement for the Navy as follows:
       (1) For aircraft, $10,760,671,000.
       (2) For weapons, including missiles and torpedoes, 
     $2,517,020,000.
       (3) For shipbuilding and conversion, $11,183,153,000.
       (4) For other procurement, $5,042,766,000.
       (b) Marine Corps.--Funds are hereby authorized to be 
     appropriated for fiscal year 2007 for procurement for the 
     Marine Corps in the amount of $1,223,813,000.
       (c) Navy and Marine Corps Ammunition.--Funds are hereby 
     authorized to be appropriated for fiscal year 2007 for 
     procurement of ammunition for the Navy and the Marine Corps 
     in the amount of $758,793,000.

     SEC. 103. AIR FORCE.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for procurement for the Air Force as follows:
       (1) For aircraft, $13,042,630,000.
       (2) For ammunition, $1,076,749,000.
       (3) For missiles, $4,171,495,000.
       (4) For other procurement, $15,428,636,000.

     SEC. 104. DEFENSE-WIDE ACTIVITIES.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for Defense-wide procurement in the amount of 
     $2,856,461,000.

                       Subtitle B--Army Programs

     SEC. 111. MULTIYEAR PROCUREMENT AUTHORITY FOR FAMILY OF 
                   MEDIUM TACTICAL VEHICLES.

       (a) Authority.--The Secretary of the Army may, in 
     accordance with section 2306b of title 10, United States 
     Code, enter into a multiyear contract for the Family of 
     Medium Tactical Vehicles (FMTV) program beginning with the 
     fiscal year 2008 program year.
       (b) Contract Requirement.--Any multiyear contract or 
     extension entered into under this section for procurement 
     under the Family of Medium Tactical Vehicles program shall 
     provide for incorporation of improvements in the areas of 
     performance capability and survivability from lessons learned 
     from operations involving the Global War on Terrorism (as 
     well as from product improvement programs carried out for the 
     Family of Medium Tactical Vehicles program)..
       (c) Limitation on Term of Contract.--Notwithstanding 
     subsection (k) of section 2306b of title 10, United States 
     Code, a contract or extension under this section may not be 
     for a period in excess of three program years.

     SEC. 112. MULTIYEAR PROCUREMENT AUTHORITY FOR MH-60R 
                   HELICOPTERS AND MISSION EQUIPMENT.

       (a) MH-60R Helicopter.--Subject to subsection (c), the 
     Secretary of the Army, acting as executive agent for the 
     Department of the Navy, may enter into a multiyear contract 
     for the procurement of 144 MH-60R helicopters.
       (b) MH-60R Helicopter Mission Equipment.--Subject to 
     subsection (c), the Secretary of the Army, acting as 
     executive agent for the Department of the Navy, may enter 
     into a multiyear contract for the procurement of MH-60R 
     helicopter mission equipment for the helicopters covered by a 
     multiyear contract under subsection (a).
       (c) Contract Requirements.--Any multiyear contract under 
     this section--
       (1) shall be entered into in accordance with section 2306b 
     of title 10, United States Code, and shall commence with the 
     fiscal year 2007 program year; and
       (2) shall provide that any obligation of the United States 
     to make a payment under the contract is subject to the 
     availability of appropriations for that purpose.
       (d) Cost Limitation.--The combined value for the contracts 
     authorized by subsections (a) and (b) may not exceed 
     $2,600,000,000, and the average unit cost per helicopter 
     under those contracts may not exceed $37,790,000.

     SEC. 113. FUNDING PROFILE FOR MODULAR FORCE INITIATIVE OF THE 
                   ARMY.

       The Secretary of the Army shall set forth in the budget 
     presentation materials of the Army submitted to Congress in 
     support of the President's budget for any fiscal year after 
     fiscal year 2007, and in other relevant materials submitted 
     to Congress with respect to the budget of the Army for any 
     such fiscal year, all amounts for procurement for the M1A2 
     Abrams tank System Enhancement Program (SEP) and for the 
     Bradley A3 fighting vehicle as elements within the amounts 
     requested for the Modular Force Initiative of the Army, in 
     accordance with the report of the Army titled ``The Army 
     Modular Force Initiative'', submitted to Congress in March 
     2006.

     SEC. 114. BRIDGE TO FUTURE NETWORKS PROGRAM.

       (a) Limitation on Fiscal Year 2007 Amount.--Of the amount 
     authorized to be appropriated for the Army for fiscal year 
     2007 for Other Procurement, Army, that is available for the 
     program of the Army designated as the Bridge to Future 
     Networks, not more than 70 percent shall be made available 
     for obligation until the Secretary of the Army submits to the 
     congressional defense committees a report on that program 
     that includes the matters specified in subsection (b).
       (b) Matters to Be Included.--The report under subsection 
     (a) shall include the following:
       (1) An analysis of how the Joint Network Node (JNN) element 
     of the Bridge to Future Networks program and the Warfighter 
     Information Network-Tactical (WIN-T) program will fit 
     together, including an analysis of whether there are 
     opportunities to leverage technologies and equipment from the 
     Joint Network Node program as part of the development of the 
     Warfighter Information Network-Tactical program.
       (2) A description of the extent to which components of the 
     Joint Network Node and the Warfighter Information Network-
     Tactical programs could be used together as elements of a 
     single tactical network.
       (3) A description of the strategy of the Army for 
     completing the systems engineering necessary to ensure the 
     end-to-end interoperability of a single tactical network 
     referred to in paragraph (2).

                       Subtitle C--Navy Programs

     SEC. 121. ATTACK SUBMARINE FORCE STRUCTURE.

       Section 5062 of title 10, United States Code, is amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (d) and (e), respectively; and
       (2) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) The naval combat forces of the Navy shall include not 
     less than 48 operational attack submarines. For purposes of 
     this subsection, an operational attack submarine includes an 
     attack submarine that is temporarily unavailable for 
     worldwide deployment due to routine or scheduled maintenance 
     or repair.''.

     SEC. 122. ADHERENCE TO NAVY COST ESTIMATES FOR CVN-21 CLASS 
                   OF AIRCRAFT CARRIERS.

       (a) Limitation.--
       (1) Lead ship.--The total amount obligated or expended from 
     funds appropriated or otherwise made available for 
     Shipbuilding and Conversion, Navy, or for any other 
     procurement account, for the aircraft carrier designated as 
     CVN-21 may not exceed $10,500,000,000 (as adjusted pursuant 
     to subsection (b)).
       (2) Follow-on ships.--The total amount obligated or 
     expended from funds appropriated or otherwise made available 
     for Shipbuilding and Conversion, Navy, or for any other 
     procurement account, for the construction of any ship that is 
     constructed in the CVN-21 class of aircraft carriers after 
     the lead ship of that class may not exceed $8,100,000,000 (as 
     adjusted pursuant to subsection (b)).
       (b) Adjustment of Limitation Amount.--The Secretary of the 
     Navy may adjust the

[[Page 7715]]

     amount set forth in subsection (a) for any ship constructed 
     in the CVN-21 class of aircraft carriers by the following:
       (1) The amounts of increases or decreases in costs 
     attributable to economic inflation after September 30, 2006.
       (2) The amounts of increases or decreases in costs 
     attributable to compliance with changes in Federal, State, or 
     local laws enacted after September 30, 2006.
       (3) The amounts of outfitting costs and post-delivery costs 
     incurred for that ship.
       (4) The amounts of increases or decreases in costs of that 
     ship that are attributable to insertion of new technology 
     into that ship, as compared to the technology baseline as it 
     was defined in the approved acquisition program baseline 
     estimate of December 2005.
       (c) Limitation on Technology Insertion Cost Adjustment.--
     The Secretary of the Navy may use the authority under 
     paragraph (4) of subsection (b) to adjust the amount set 
     forth in subsection (a) for a ship referred to in that 
     subsection with respect to insertion of new technology into 
     that ship only if--
       (1) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology would lower the life-cycle cost of the ship; or
       (2) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology is required to meet an emerging threat and the 
     Secretary of Defense certifies to those committees that such 
     threat poses grave harm to national security.
       (d) Written Notice of Change in Amount.--
       (1) Requirement.--The Secretary of the Navy shall submit to 
     the congressional defense committees each year, at the same 
     time that the budget is submitted under section 1105(a) of 
     title 31, United States Code, for the next fiscal year, 
     written notice of any change in the amount set forth in 
     subsection (a) during the preceding fiscal year that the 
     Secretary has determined to be associated with a cost 
     referred to in subsection (b).
       (2) Effective date.--The requirement in paragraph (1) shall 
     become effective with the budget request for the year of 
     procurement of the first ship referred to in subsection (a).

     SEC. 123. ADHERENCE TO NAVY COST ESTIMATES FOR LHA 
                   REPLACEMENT AMPHIBIOUS ASSAULT SHIP PROGRAM.

       (a) Limitation.--The total amount obligated or expended 
     from funds appropriated or otherwise made available for 
     Shipbuilding and Conversion, Navy, or for any other 
     procurement account, for procurement of any ship that is 
     constructed under the LHA Replacement (LHA(R)) amphibious 
     assault ship program may not exceed $2,813,600,000 (as 
     adjusted pursuant to subsection (b)).
       (b) Adjustment of Limitation Amount.--The Secretary of the 
     Navy may adjust the amount set forth in subsection (a) for 
     any ship constructed under the LHA Replacement amphibious 
     assault ship program by the following:
       (1) The amounts of increases or decreases in costs 
     attributable to economic inflation after September 30, 2006.
       (2) The amounts of increases or decreases in costs 
     attributable to compliance with changes in Federal, State, or 
     local laws enacted after September 30, 2006.
       (3) The amounts of outfitting costs and post-delivery costs 
     incurred for that ship.
       (4) The amounts of increases or decreases in costs of that 
     ship that are attributable to insertion of new technology 
     into that ship, as compared to the technology baseline as it 
     was defined at the development stage referred to as Milestone 
     B.
       (c) Limitation on Technology Insertion Cost Adjustment.--
     The Secretary of the Navy may use the authority under 
     paragraph (4) of subsection (b) to adjust the amount set 
     forth in subsection (a) for a ship referred to in that 
     subsection with respect to insertion of new technology into 
     that ship only if--
       (1) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology would lower the life-cycle cost of the ship; or
       (2) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology is required to meet an emerging threat and the 
     Secretary of Defense certifies to those committees that such 
     threat poses grave harm to national security.
       (d) Written Notice of Change in Amount.--
       (1) Requirement.--The Secretary of the Navy shall submit to 
     the congressional defense committees each year, at the same 
     time that the budget is submitted under section 1105(a) of 
     title 31, United States Code, for the next fiscal year, 
     written notice of any change in the amount set forth in 
     subsection (a) during the preceding fiscal year that the 
     Secretary has determined to be associated with a cost 
     referred to in subsection (b).
       (2) Effective date.--The requirement in paragraph (1) shall 
     become effective with the budget request for the year of 
     procurement of the first ship referred to in subsection (a).

     SEC. 124. ADHERENCE TO NAVY COST ESTIMATES FOR SAN ANTONIO 
                   (LPD-17) CLASS AMPHIBIOUS SHIP PROGRAM.

       (a) Limitation.--
       (1) Procurement cost.--The total amount obligated or 
     expended from funds appropriated or otherwise made available 
     for Shipbuilding and Conversion, Navy, or for any other 
     procurement account, for the San Antonio-class amphibious 
     ships designated as LPD-18, LPD-19, LPD-20, LPD-21, LPD-22, 
     LPD-23, LPD-24, and LPD-25 may not exceed the amount for each 
     such vessel specified in paragraph (2) (those specified 
     amounts being the estimated total procurement end cost of 
     those vessels, respectively, in the fiscal year 2007 budget):
       (2) Specified cost limit by vessel.--The limitation under 
     this subsection for each vessel specified in paragraph (1) is 
     the following:
       (A) For the LPD-18 ship, $1,111,310,000 (as adjusted 
     pursuant to subsection (b)).
       (B) For the LPD-19 ship, $1,137,400,000 (as adjusted 
     pursuant to subsection (b)).
       (C) For the LPD-20 ship, $1,004,600,000 (as adjusted 
     pursuant to subsection (b)).
       (D) For the LPD-21 ship, $1,126,966,000 (as adjusted 
     pursuant to subsection (b)).
       (E) For the LPD-22 ship, $1,246,736,000 (as adjusted 
     pursuant to subsection (b)).
       (F) For the LPD-23 ship, $1,191,230,000 (as adjusted 
     pursuant to subsection (b)).
       (G) For the LPD-24 ship, $1,333,001,000 (as adjusted 
     pursuant to subsection (b)).
       (H) For the LPD-25 ship, $1,671,800,000 (as adjusted 
     pursuant to subsection (b)).
       (b) Adjustment of Limitation Amounts.--The Secretary of the 
     Navy may adjust the amount set forth in subsection (a) for 
     any ship specified in that subsection by the following:
       (1) The amounts of increases or decreases in costs 
     attributable to economic inflation after September 30, 2006.
       (2) The amounts of increases or decreases in costs 
     attributable to compliance with changes in Federal, State, or 
     local laws enacted after September 30, 2006.
       (3) The amounts of outfitting costs and post-delivery costs 
     incurred for that ship.
       (4) The amounts of increases or decreases in costs of that 
     ship that are attributable to insertion of new technology 
     into that ship, as compared to the technology built into the 
     U.S.S. San Antonio (LPD-17), the lead ship of the LPD-17 
     class.
       (c) Limitation on Technology Insertion Cost Adjustment.--
     The Secretary of the Navy may use the authority under 
     paragraph (4) of subsection (b) to adjust the amount set 
     forth in subsection (a) for any LPD-17 class ship with 
     respect to insertion of new technology into that ship only 
     if--
       (1) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology would lower the life-cycle cost of the ship; or
       (2) the Secretary determines, and certifies to the 
     congressional defense committees, that insertion of the new 
     technology is required to meet an emerging threat and the 
     Secretary of Defense certifies to those committees that such 
     threat poses grave harm to national security.
       (d) Written Notice of Change in Amount.--
       (1) Requirement.--The Secretary of the Navy shall submit to 
     the congressional defense committees each year, at the same 
     time that the budget is submitted under section 1105(a) of 
     title 31, United States Code, for the next fiscal year, 
     written notice of any change in the amount set forth in 
     subsection (a) during the preceding fiscal year that the 
     Secretary has determined to be associated with a cost 
     referred to in subsection (b).
       (2) Effective date.--The requirement in paragraph (1) shall 
     become effective with the budget request for the year of 
     procurement of the first ship referred to in subsection (a).

     SEC. 125. MULTIYEAR PROCUREMENT AUTHORITY FOR V-22 TILTROTOR 
                   AIRCRAFT PROGRAM.

       The Secretary of the Navy, in accordance with section 2306b 
     of title 10, United States Code, and acting as executive 
     agent for the Secretary of the Air Force and the commander of 
     the United States Special Operations Command, may enter into 
     a multiyear contract, beginning with the fiscal year 2008 
     program year, for procurement of V-22 tiltrotor aircraft. The 
     total number of aircraft procured through a multiyear 
     contract under this section may not exceed 211, of which not 
     more than 185 may be in the MV-22 configuration and not more 
     than 26 may be in the CV-22 configuration.

     SEC. 126. QUALITY CONTROL IN PROCUREMENT OF SHIP CRITICAL 
                   SAFETY ITEMS AND RELATED SERVICES.

       (a) In General.--
       (1) Quality control policy.--Chapter 633 of title 10, 
     United States Code, is amended by adding at the end the 
     following new section:

     ``Sec. 7317. Ship critical safety items and related services: 
       quality control in procurement

       ``(a) Quality Control Policy.--The Secretary of Defense 
     shall prescribe in regulations a quality control policy for 
     the procurement of--
       ``(1) ship critical safety items; and
       ``(2) modifications, repair, and overhaul of ship critical 
     safety items.
       ``(b) Content of Regulations.--The policy set forth in the 
     regulations under subsection (a) shall include the following 
     requirements:
       ``(1) That the head of the design control activity for ship 
     critical safety items establish processes to identify and 
     manage the procurement, modification, repair, and overhaul of 
     ship critical safety items.
       ``(2) That the head of the contracting activity for a ship 
     critical safety item enter into a contract for the 
     procurement, modification, repair, or overhaul of such item 
     only with a source that is on a qualified manufacturers list 
     or is approved by the design control activity in accordance 
     with section 2319 of this title.
       ``(3) That the ship critical safety items delivered, and 
     the services performed with respect to ship critical safety 
     items, meet all technical and quality requirements specified 
     by the design control activity.
       ``(c) Definitions.--In this section:

[[Page 7716]]

       ``(1) The term `ship critical safety item' means any part, 
     assembly, or support equipment of a vessel that contains a 
     critical characteristic the failure, malfunction, or absence 
     of which may cause a catastrophic or critical failure 
     resulting in loss or serious damage to the vessel or 
     unacceptable risk of personal injury or loss of life.
       ``(2) The term `design control activity', with respect to a 
     ship critical safety item, means the systems command of a 
     military department that is specifically responsible for 
     ensuring the seaworthiness of a ship system or equipment in 
     which the item is to be used.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``7317.  Ship critical safety items and related services: quality 
              control in procurement.''.

       (b) Conforming Amendments.--Section 2319 of title 10, 
     United States Code, is amended--
       (1) in subsection (c)(3), by inserting ``or ship critical 
     safety item'' after ``aviation critical safety item''; and
       (2) In subsection (g)--
       (A) by redesignating paragraph (2) as paragraph (3);
       (B) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) The term `ship critical safety item' has the meaning 
     given that term in section 7317(c) of this title.''; and
       (C) in paragraph (3) (as redesignated)--
       (i) by inserting ``or a ship critical safety item'' after 
     ``aviation critical safety item'' the first place it appears; 
     and
       (ii) by inserting ``, or the seaworthiness of a ship system 
     or equipment,'' after ``equipment''.

     SEC. 127. DD(X) NEXT-GENERATION DESTROYER PROGRAM.

       (a) Funding Authorized.--Of the amount authorized to be 
     appropriated by section 102(a)(3) for fiscal year 2007 for 
     Shipbuilding and Conversion, Navy, $2,568,000,000 is 
     available for the DD(X) Next-Generation Destroyer program.
       (b) Contract Authority.--The Secretary of the Navy may 
     enter into two contracts during fiscal year 2007 for the 
     DD(X) Next-Generation Destroyer program. The contracts shall 
     be entered into with two different shipbuilders. One such 
     contract shall provide for procurement of a DD(X) Next-
     Generation destroyer, including detail design and 
     construction. The other contract shall provide only for 
     detail design of a DD(X) Next-Generation destroyer. The two 
     contracts shall be awarded simultaneously.

     SEC. 128. SENSE OF CONGRESS THAT THE NAVY MAKE GREATER USE OF 
                   NUCLEAR-POWERED PROPULSION SYSTEMS IN ITS 
                   FUTURE FLEET OF SURFACE COMBATANTS.

       (a) Findings.--Congress makes the following findings:
       (1) Securing and maintaining access to affordable and 
     plentiful sources of energy is a vital national security 
     interest for the United States. 
       (2) The Nation's dependence upon foreign oil is a threat to 
     national security due to the inherently volatile nature of 
     the global oil market and the political instability of some 
     of the world's largest oil producing states.
       (3) Given the recent increase in the cost of crude oil, 
     which cannot realistically be expected to improve over the 
     long term, other energy sources must be seriously considered.
       (b) Sense of Congress.--In light of the findings in 
     subsection (a), it is the sense of Congress that the Navy 
     should make greater use of alternative technologies, 
     including nuclear power, as a means of vessel propulsion for 
     its future fleet of surface combatants. 

                     Subtitle D--Air Force Programs

     SEC. 131. REQUIREMENT FOR B-52 FORCE STRUCTURE.

       (a) Requirement.--Before the date specified in subsection 
     (b), the Secretary of the Air Force--
       (1) may not retire any B-52 aircraft, other than the 
     aircraft with tail number 61-0025; and
       (2) shall maintain not less than 44 such aircraft as 
     combat-coded aircraft.
       (b) Termination.--For purposes of subsection (a), the date 
     specified in this subsection is the earlier of--
       (1) January 1, 2018; and
       (2) the date as of which a long-range strike replacement 
     aircraft with equal or greater capability than the B-52H 
     model aircraft has attained initial operational capability 
     status.

     SEC. 132. STRATEGIC AIRLIFT FORCE STRUCTURE.

       (a) Required Force Structure.--
       (1) Minimum number of aircraft.--Effective October 1, 2008, 
     the Secretary of the Air Force shall maintain a total 
     aircraft inventory of strategic airlift aircraft of not less 
     than 299 aircraft.
       (2) Definitions.--For purposes of this subsection:
       (A) The term ``strategic airlift aircraft'' means an 
     aircraft that has a cargo capacity of at least 150,000 pounds 
     and that is capable of transporting outsized cargo an 
     unrefueled range of at least 2,400 nautical miles.
       (B) The term ``outsized cargo'' means any single item of 
     equipment that exceeds 1,090 inches in length, 117 inches in 
     width, or 105 inches in height.
       (b) Repeal of Limitation on Retirement of C-5 Aircraft.--
     Section 132 of the National Defense Authorization Act for 
     Fiscal Year 2004 (Public Law 108-136; 117 Stat. 1411) is 
     repealed.

     SEC. 133. LIMITATION ON RETIREMENT OF U-2 AIRCRAFT.

       (a) Fiscal Year 2007.-- The Secretary of the Air Force may 
     not retire any U-2 aircraft of the Air Force in fiscal year 
     2007.
       (b) Years After Fiscal Year 2007.--After fiscal year 2007, 
     the Secretary of the Air Force may retire a U-2 aircraft only 
     if the Secretary of Defense certifies to Congress that the U-
     2 intelligence, surveillance, and reconnaissance (ISR) 
     capability provided by the U-2 aircraft no longer contributes 
     to mitigating any gaps in ISR capabilities identified in the 
     2006 Quadrennial Defense Review. No action may be taken by 
     the Department of Defense to retire (or to prepare to retire) 
     any U-2 aircraft--
       (1) before such a certification is submitted to Congress; 
     or
       (2) during the 60-day period beginning on the date on which 
     such a certification is submitted.

     SEC. 134. MULTIYEAR PROCUREMENT AUTHORITY FOR F-22A RAPTOR 
                   FIGHTER AIRCRAFT.

       (a) Multiyear Authority.--The Secretary of the Air Force 
     may enter into a multiyear contract for the procurement of up 
     to 60 F-22A Raptor fighter aircraft beginning with the 2007 
     program year,
       (b) Compliance With Law Applicable to Multiyear 
     Contracts.--A contract under subsection (a) for the 
     procurement of F-22A aircraft shall be entered into in 
     accordance with section 2306b of title 10, United States 
     Code, except that, notwithstanding subsection (k) of that 
     section, such a contract may not be for a period in excess of 
     three program years.
       (c) Required Certifications.--In the case of a contract 
     under subsection (a) for the procurement of F-22A aircraft, a 
     certification under subsection (i)(1)(A) of section 2306b of 
     title 10, United States Code, with respect to that contract 
     may only be submitted if the certification includes an 
     additional certification that each of the conditions 
     specified in subsection (a) of that section has been 
     satisfied with respect to that contract.
       (d) Notice-and-Wait Requirement.--Upon submission to 
     Congress of a certification referred to in subsection (c) 
     with respect to a proposed contract under subsection (a) for 
     the procurement of F-22A aircraft, the contract may then be 
     entered into only after a period of 30 days has elapsed after 
     the date of the submission of the certification.

     SEC. 135. LIMITATION ON RETIREMENT OF KC-135E AIRCRAFT DURING 
                   FISCAL YEAR 2007.

       (a) Limitation.--The number of KC-135E aircraft retired by 
     the Secretary of the Air Force during fiscal year 2007 may 
     not exceed 29.
       (b) Treatment of Retired Aircraft.--The Secretary of the 
     Air Force shall maintain each KC-135E aircraft that is 
     retired by the Secretary after September 30, 2006, in a 
     condition that would allow recall of that aircraft to future 
     service in the Air Force Reserve, Air National Guard, or 
     active forces aerial refueling force structure.

     SEC. 136. LIMITATION ON RETIREMENT OF F-117A AIRCRAFT DURING 
                   FISCAL YEAR 2007.

       (a) Limitation.--The number of F-117A aircraft retired by 
     the Secretary of the Air Force during fiscal year 2007 may 
     not exceed 10.
       (b) Treatment of Retired Aircraft.--The Secretary of the 
     Air Force shall maintain each F-117A aircraft that is retired 
     by the Secretary after September 30, 2006, in a condition 
     that would allow recall of that aircraft to future service.

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

              Subtitle A--Authorization of Appropriations

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

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Alternate engine for Joint Strike Fighter.
Sec. 212. Extension of authority to award prizes for advanced 
              technology achievements.
Sec. 213. Extension of Defense Acquisition Challenge Program.
Sec. 214. Future Combat Systems milestone review.
Sec. 215. Independent cost analyses for Joint Strike Fighter engine 
              program.
Sec. 216. Dedicated amounts for implementing or evaluating DD(X) and 
              CVN-21 proposals under Defense Acquisition Challenge 
              Program.

                 Subtitle C--Ballistic Missile Defense

Sec. 221. Fielding of ballistic missile defense capabilities.
Sec. 222. Limitation on use of funds for space-based interceptor.

                       Subtitle D--Other Matters

Sec. 231. Review of test and evaluation policies and practices to 
              address emerging acquisition approaches.

              Subtitle A--Authorization of Appropriations

     SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the use of the Department of Defense for 
     research, development, test, and evaluation as follows:
       (1) For the Army, $10,932,209,000.
       (2) For the Navy, $17,377,769,000.
       (3) For the Air Force, $24,810,041,000.
       (4) For Defense-wide activities, $20,944,559,000, of which 
     $181,520,000 is authorized for the Director of Operational 
     Test and Evaluation.

     SEC. 202. AMOUNT FOR DEFENSE SCIENCE AND TECHNOLOGY.

       (a) Fiscal Year 2007.--Of the amounts authorized to be 
     appropriated by section 201,

[[Page 7717]]

     $11,735,555,000 shall be available for the Defense Science 
     and Technology Program, including basic research, applied 
     research, and advanced technology development projects.
       (b) Basic Research, Applied Research, and Advanced 
     Technology Development Defined.--For purposes of this 
     section, the term ``basic research, applied research, and 
     advanced technology development'' means work funded in 
     program elements for defense research and development under 
     Department of Defense category 6.1, 6.2, or 6.3.

    Subtitle B--Program Requirements, Restrictions, and Limitations

     SEC. 211. ALTERNATE ENGINE FOR JOINT STRIKE FIGHTER.

       Of the funds authorized to be appropriated for the 
     Departments of the Navy and Air Force for the system 
     development and demonstration program for the Joint Strike 
     Fighter, not less than $408,000,000 shall be obligated for 
     continued development of an alternate engine for the Joint 
     Strike Fighter.

     SEC. 212. EXTENSION OF AUTHORITY TO AWARD PRIZES FOR ADVANCED 
                   TECHNOLOGY ACHIEVEMENTS.

       Section 2374a(f) of title 10, United States Code, is 
     amended by striking ``September 30, 2007'' and inserting 
     ``September 30, 2010''.

     SEC. 213. EXTENSION OF DEFENSE ACQUISITION CHALLENGE PROGRAM.

       (a) Extension.--Section 2359b of title 10, United States 
     Code, is amended by striking subsection (j).
       (b) Confidentiality.--Such section is further amended in 
     subsection (g)--
       (1) by amending the heading to read as follows: ``Conflicts 
     of Interest and Confidentiality.--''; and
       (2) by inserting before the period at the end the 
     following: ``and that the identity of any person or activity 
     submitting a challenge proposal is not disclosed outside the 
     Federal Government without the consent of the person or 
     activity''.

     SEC. 214. FUTURE COMBAT SYSTEMS MILESTONE REVIEW.

       (a) Milestone Review Required.--After the preliminary 
     design review of the Future Combat Systems program, but in no 
     event later than the end of fiscal year 2008, the Secretary 
     of Defense shall carry out a Defense Acquisition Board 
     milestone review of the Future Combat Systems program. The 
     milestone review shall include an assessment as to each of 
     the following:
       (1) Whether the warfighter's needs are valid and can be 
     best met with the concept of the program.
       (2) Whether the concept of the program can be developed and 
     produced within existing resources.
       (3) Whether the program should continue.
       (b) Determinations To Be Made in Assessing Whether Program 
     Should Continue.--In making the assessment required by 
     subsection (a)(3), the Secretary shall make a determination 
     with respect to each of the following:
       (1) Whether each critical technology for the program is at 
     least Technical Readiness Level 6.
       (2) For each system and network component of the program, 
     what the key design and technology risks are, based on System 
     Functional Reviews, Preliminary Design Reviews, and Technical 
     Readiness Levels.
       (3) Whether actual demonstrations, rather than simulations, 
     have shown that the concept of the program will work.
       (4) Whether actual demonstrations, rather than plans, have 
     shown that the software for the program is functional.
       (5) What the cost estimate for the program is.
       (6) What the affordability assessment for the program is, 
     based on that cost estimate.
       (c) Report.--The Secretary shall submit to the 
     congressional defense committees a report on the findings and 
     conclusions of the milestone review required by subsection 
     (a). The report shall include, and display, each of the 
     assessments required by subsection (a) and each of the 
     determinations required by subsection (b).
       (d) Restriction on Funds Effective Fiscal 2009.--For fiscal 
     years beginning with 2009, the Secretary may not obligate any 
     funds for the Future Combat Systems program until after the 
     report required by subsection (c) is submitted.

     SEC. 215. INDEPENDENT COST ANALYSES FOR JOINT STRIKE FIGHTER 
                   ENGINE PROGRAM.

       (a) Independent Cost Analyses.--A comprehensive and 
     detailed cost analysis of the Joint Strike Fighter engine 
     program shall be independently performed by the Comptroller 
     General and by the Secretary of Defense, acting through the 
     Cost Analysis Improvement Group of the Office of the 
     Secretary of Defense. The cost analysis shall cover--
       (1) an alternative under which the aircraft are capable of 
     using the F135 engine only;
       (2) an alternative under which the aircraft are capable of 
     using either the F135 engine or the F136 engine, and is 
     carried out on a competitive basis; and
       (3) any other alternative, whether competitive or sole 
     source, that would reduce total life-cycle cost, improve 
     program schedule, or both.
       (b) Reports.--Not later than March 15, 2007, each official 
     specified in subsection (a) shall independently submit to the 
     congressional defense committees a report on the cost 
     analysis carried out by that official under subsection (a). 
     Each report shall include each of the following matters:
       (1) The key assumptions used in carrying out the cost 
     analysis.
       (2) The methodology and techniques used in carrying out the 
     cost analysis.
       (3) For each alternative under subsection (a)--
       (A) a comparison of the life-cycle costs, including costs 
     in current and constant collars and a net-present-value 
     analysis; and
       (B) estimates of--
       (i) supply, maintenance, and other operations manpower 
     required to support the alternative;
       (ii) the number of flight hours required to achieve engine 
     maturity and in what year that is expected to be achieved; 
     and
       (iii) the total number of engines expected to be procured 
     over the lifetime of the Joint Strike Fighter program.
       (4) The acquisition strategies that were used for, and the 
     experience with respect to cost, schedule, and performance 
     under past acquisition programs for engines for tactical 
     fighter aircraft, including the F-15, F-16, F-18, and F-22.
       (5) A comparison of the experiences under past engine 
     acquisition programs carried out on a sole-source basis, and 
     those carried out on a competitive basis, with respect to 
     performance, savings, maintainability, reliability, and 
     technical innovation.
       (6) Conclusions and recommendations.
       (c) Certification by Comptroller General.--In submitting 
     the report required by subsection (b), the Comptroller 
     General shall also submit a certification as to whether the 
     Comptroller General had access to sufficient information to 
     enable the Comptroller General to make informed judgments on 
     the matters required to be included in the report.
       (d) Life-Cycle Costs Defined.--In this section, the term 
     ``life-cycle costs'' includes those elements of cost that 
     would be considered for a life-cycle cost analysis for a 
     major defense acquisition program, such as procurement of 
     engines, procurement of spare engines, and procurement of 
     engine components and parts, and also includes good-faith 
     estimates of routine engine costs, such as performance 
     upgrades and component improvement, that historically have 
     occurred in tactical fighter engine programs.

     SEC. 216. DEDICATED AMOUNTS FOR IMPLEMENTING OR EVALUATING 
                   DD(X) AND CVN-21 PROPOSALS UNDER DEFENSE 
                   ACQUISITION CHALLENGE PROGRAM.

       (a) Amounts Required.--Of the amounts appropriated pursuant 
     to the authorization of appropriations in section 201(4) for 
     research, development, test, and evaluation, Defense-wide, 
     $4,000,000 shall be available only to implement or evaluate 
     challenge proposals specified in subsection (b).
       (b) Challenge Proposals Covered.--A challenge proposal 
     referred to in subsection (a) is a proposal under the Defense 
     Acquisition Challenge Program established by section 2359b of 
     title 10, United States Code, that relates to--
       (1) the DD(X) next-generation destroyer program; or
       (2) the CVN-21 next-generation aircraft carrier program.

                 Subtitle C--Ballistic Missile Defense

     SEC. 221. FIELDING OF BALLISTIC MISSILE DEFENSE CAPABILITIES.

       Upon approval by the Secretary of Defense, funds authorized 
     to be appropriated for fiscal years 2007 and 2008 for 
     research, development, test, and evaluation for the Missile 
     Defense Agency may be used for the development and fielding 
     of ballistic missile defense capabilities.

     SEC. 222. LIMITATION ON USE OF FUNDS FOR SPACE-BASED 
                   INTERCEPTOR.

       (a) Limitation.--No funds appropriated or other wise made 
     available to the Department of Defense may be obligated or 
     expended for the testing or deployment of a space-based 
     interceptor until 90 days after the date on which a report 
     described in subsection (c) is submitted.
       (b) Space-Based Interceptor Defined.--For purposes of this 
     section, the term ``space-based interceptor'' means a kinetic 
     or directed energy weapon that is stationed on a satellite or 
     orbiting platform and that is intended to destroy another 
     satellite in orbit or a ballistic missile launched from 
     earth.
       (c) Report.--A report described in this subsection is a 
     report prepared by the Director of the Missile Defense Agency 
     and submitted to the congressional defense committees 
     containing the following:
       (1) A description of the essential components of a proposed 
     space-based interceptor system, including a description of 
     how the system proposed would enhance or complement other 
     missile defense systems.
       (2) An estimate of the acquisition and life-cycle cost of 
     the system described under paragraph (1), including lift cost 
     and periodic replacement cost due to depreciation and 
     attrition.
       (3) An analysis of the vulnerability of such a system to 
     counter-measures, including direct ascent and co-orbital 
     interceptors, and an analysis of the functionality of such a 
     system in the aftermath of a nuclear detonation in space.
       (4) A projection of the foreign policy and national 
     security implications of a space-based interceptor program, 
     including the probable response of United States adversaries 
     and United States allies.

                       Subtitle D--Other Matters

     SEC. 231. REVIEW OF TEST AND EVALUATION POLICIES AND 
                   PRACTICES TO ADDRESS EMERGING ACQUISITION 
                   APPROACHES.

       (a) Revision to Report Requirement.--Section 2399(b)(2)(B) 
     of title 10, United States Code, is amended by striking 
     ``tested are effective and suitable for combat'' and 
     inserting the following: ``tested--

[[Page 7718]]

       ``(i) are effective and suitable for combat in accordance 
     with the users' standards for effectiveness and suitability 
     as reflected in the requirements process; or
       ``(ii) are operationally acceptable under certain 
     restricted conditions, as delineated by the Director.''.
       (b) Review of Test and Evaluation Policies.--
       (1) In general.--The Under Secretary of Defense for 
     Acquisition, Technology, and Logistics, in coordination with 
     the Director of Operational Test and Evaluation and the 
     Director of the Defense Test Resource Management Center, 
     shall conduct a review of test and evaluation policies and 
     practices of the Department of Defense and issue such new or 
     revised guidance as may be necessary to address emerging 
     acquisition approaches.
       (2) Issues to be addressed.--The issues to be addressed by 
     the Under Secretary in the review under paragraph (1) shall 
     include, at a minimum, appropriate polices and practices 
     for--
       (A) ensuring the adequacy and the expediency of test and 
     evaluation activities with regard to--
       (i) items that are acquired pursuant to the rapid 
     acquisition authority in section 806 of the Bob Stump 
     National Defense Authorization Act for Fiscal Year 2003 (10 
     U.S.C. 2302 note);
       (ii) programs that are conducted pursuant to the spiral 
     development authority in section 803 of the Bob Stump 
     National Defense Authorization Act for Fiscal Year 2003 (10 
     U.S.C. 2430 note) (or other authority for the conduct of 
     incremental acquisition programs) ;
       (iii) systems that are acquired pursuant to other emerging 
     acquisition approaches, as approved by the Under Secretary; 
     and
       (iv) materiel that is not subject to the operational test 
     and evaluation requirements in sections 2366 and 2399 of 
     title 10, United States Code, but which may require limited 
     operational test and evaluation for the purposes of ensuring 
     the safety and realistic survivability of the materiel and 
     the personnel using the materiel; and
       (B) the appropriate use, if any, of operational test and 
     evaluation resources to assess technology readiness levels 
     for purposes of section 2366a of title 10, United States 
     Code, and other applicable technology readiness requirements.
       (c) Inclusion of Testing Needs in Strategic Plan.--The 
     Director of the Defense Test Resource Management Center shall 
     ensure that the strategic plan for Department of Defense test 
     and evaluation resources required by section 196 of title 10, 
     United States Code--
       (1) reflects any testing needs of the Department of Defense 
     that are identified in the review under paragraph (1); and
       (2) includes an assessment of the test and evaluation 
     facilities, resources, and budgets that will be required to 
     meet such needs.
       (d) Report.--Not later than nine months after the date of 
     the enactment of this Act, the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics shall submit to the 
     congressional defense committees a report on the review 
     conducted, and any new or revised guidance issued, pursuant 
     to subsection (b).

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

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

                  Subtitle B--Environmental Provisions

Sec. 311. Revision of requirement for unexploded ordnance program 
              manager.
Sec. 312. Identification and monitoring of military munitions disposal 
              sites in ocean waters extending from United States coast 
              to outer boundary of outer Continental Shelf.
Sec. 313. Reimbursement of Environmental Protection Agency for certain 
              costs in connection with Moses Lake Wellfield Superfund 
              Site, Moses Lake, Washington.
Sec. 314. Funding of cooperative agreements under environmental 
              restoration program.
Sec. 315. Analysis and report regarding contamination and remediation 
              responsibility for Norwalk Defense Fuel Supply Point, 
              Norwalk, California.

                 Subtitle C--Workplace and Depot Issues

Sec. 321. Extension of exclusion of certain expenditures from 
              percentage limitation on contracting for depot-level 
              maintenance.
Sec. 322. Minimum capital investment for Air Force depots.
Sec. 323. Extension of temporary authority for contractor performance 
              of security guard functions.

                          Subtitle D--Reports

Sec. 331. Report on Nuclear Attack Submarine Depot Maintenance.
Sec. 332. Report on Navy Fleet Response Plan.
Sec. 333. Report on Navy surface ship rotational crew programs.
Sec. 334. Report on Army live-fire ranges in Hawaii.
Sec. 335. Comptroller General report on joint standards and protocols 
              for access control systems at Department of Defense 
              installations.
Sec. 336. Report on Personnel Security Investigations for Industry and 
              National Industrial Security Program.

                       Subtitle E--Other Matters

Sec. 341. Department of Defense strategic policy on prepositioning of 
              materiel and equipment.
Sec. 342. Authority to make Department of Defense horses available for 
              adoption at end of useful working life.
Sec. 343. Sale and use of proceeds of recyclable munitions materials.
Sec. 344. Capital security cost sharing.
Sec. 345. Prioritization of funds within Navy mission operations, ship 
              maintenance, combat support forces, and weapons system 
              support.
Sec. 346. Prioritization of funds within Army reconstitution and 
              transformation.

              Subtitle A--Authorization of Appropriations

     SEC. 301. OPERATION AND MAINTENANCE FUNDING.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     expenses, not otherwise provided for, for operation and 
     maintenance, in amounts as follows:
       (1) For the Army, $24,920,735,000.
       (2) For the Navy, $31,089,075,000.
       (3) For the Marine Corps, $3,974,081,000.
       (4) For the Air Force, $31,098,957,000.
       (5) For Defense-wide activities, $19,876,763,000.
       (6) For the Army Reserve, $2,300,102,000.
       (7) For the Naval Reserve, $1,288,764,000.
       (8) For the Marine Corps Reserve, $211,911,000.
       (9) For the Air Force Reserve, $2,723,800,000.
       (10) For the Army National Guard, $5,089,565,000.
       (11) For the Air National Guard, $5,336,017,000.
       (12) For the United States Court of Appeals for the Armed 
     Forces, $11,721,000.
       (13) For Environmental Restoration, Army, $413,794,000.
       (14) For Environmental Restoration, Navy, $304,409,000.
       (15) For Environmental Restoration, Air Force, 
     $423,871,000.
       (16) For Environmental Restoration, Defense-wide, 
     $18,431,000.
       (17) For Environmental Restoration, Formerly Used Defense 
     Sites, $242,790,000.
       (18) For Overseas Humanitarian, Disaster, and Civic Aid 
     programs, $63,204,000.
       (19) For Cooperative Threat Reduction programs, 
     $372,128,000.
       (20) For the Overseas Contingency Operations Transfer Fund, 
     $10,000,000.

     SEC. 302. WORKING CAPITAL FUNDS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the use of the Armed Forces and other 
     activities and agencies of the Department of Defense for 
     providing capital for working capital and revolving funds in 
     amounts as follows:
       (1) For the Defense Working Capital Funds, $180,498,000.
       (2) For the National Defense Sealift Fund, $1,138,732,000.
       (3) For the Defense Working Capital Fund, Defense 
     Commissary, $1,184,000,000.

     SEC. 303. OTHER DEPARTMENT OF DEFENSE PROGRAMS.

       (a) Defense Health Program.--Funds are hereby authorized to 
     be appropriated for the Department of Defense for fiscal year 
     2007 for expenses, not otherwise provided for, for the 
     Defense Health Program, in the amount of $21,226,521,000, of 
     which--
       (1) $20,699,563,000 is for Operation and Maintenance;
       (2) $130,603,000 is for Research, Development, Test, and 
     Evaluation; and
       (3) $396,355,000 is for Procurement.
       (b) Drug Interdiction and Counter-Drug Activities, Defense-
     Wide.--Funds are hereby authorized to be appropriated for the 
     Department of Defense for fiscal year 2007 for expenses, not 
     otherwise provided for, for Drug Interdiction and Counter-
     Drug Activities, Defense-wide, in the amount of $926,890,000.
       (c) Defense Inspector General.--Funds are hereby authorized 
     to be appropriated for the Department of Defense for fiscal 
     year 2007 for expenses, not otherwise provided for, for the 
     Office of the Inspector General of the Department of Defense, 
     in the amount of $216,297,000, of which--
       (1) $214,897,000 is for Operation and Maintenance;
       (2) $1,400,000 is for Procurement; and
       (3) $0 is for Research, Development, Test, and Evaluation.

                  Subtitle B--Environmental Provisions

     SEC. 311. REVISION OF REQUIREMENT FOR UNEXPLODED ORDNANCE 
                   PROGRAM MANAGER.

       Section 2701(k) of title 10, United States Code, is 
     amended--
       (1) in paragraph (1)--
       (A) by striking ``establish'' and inserting ``designate'';
       (B) by inserting ``research,'' after ``characterization,''; 
     and
       (C) by adding at the end the following: ``The position of 
     program manager shall be filled by--
       ``(A) in the case of an employee, an employee in a position 
     that is equivalent to pay grade O-6 or above; or
       ``(B) in the case of a member of the armed forces, a 
     commissioned officer of the Army, Navy, Air Force, or Marine 
     Corps who is serving

[[Page 7719]]

     in the grade of colonel, or in the case of the Navy, captain, 
     or a higher grade.''; and
       (2) by striking paragraph (2) and inserting the following:
       ``(2) The program manager shall report to the Deputy Under 
     Secretary of Defense for Installations and Environment.''.

     SEC. 312. IDENTIFICATION AND MONITORING OF MILITARY MUNITIONS 
                   DISPOSAL SITES IN OCEAN WATERS EXTENDING FROM 
                   UNITED STATES COAST TO OUTER BOUNDARY OF OUTER 
                   CONTINENTAL SHELF.

       (a) Identification of Military Munitions Disposal Sites.--
       (1) Review of historical records.--The Secretary of Defense 
     shall conduct a review of historical records to determine--
       (A) the number and probable locations of sites where the 
     Armed Forces disposed of military munitions within covered 
     United States ocean waters;
       (B) the size of the disposal sites; and
       (C) the types and quantities of military munitions disposed 
     of at the sites.
       (2) Cooperation.--The Secretary shall request the 
     assistance of the Coast Guard, the National Oceanic and 
     Atmospheric Administration, and other relevant Federal 
     agencies in conducting the review required by this 
     subsection.
       (3) Release of information.--The Secretary shall 
     periodically release, but no less often than annually, 
     information obtained during the review conducted under this 
     subsection. The Secretary may withhold from public release 
     information about the exact nature and location of a disposal 
     site if the Secretary determines that the potential 
     unauthorized retrieval of military munitions at the site 
     could pose a significant threat to national defense or public 
     safety.
       (4) Reporting requirements.--The Secretary shall include 
     the information obtained during a year through the review 
     conducted under this subsection in the report submitted to 
     Congress under section 2706(a) of title 10, United States 
     Code, for the same year.
       (b) Identification of Navigational and Safety Hazards.--
       (1) Information for nautical charts and other navigational 
     materials.--The Secretary shall share information obtained 
     through the review conducted under subsection (a) with the 
     Secretary of Commerce to assist the National Oceanic and 
     Atmospheric Administration in preparing nautical charts and 
     other navigational materials for covered United States ocean 
     waters to identify known or probable hazards from disposed 
     military munitions.
       (2) Information for users.--The Secretary shall continue 
     activities to inform potentially affected users of the ocean 
     environment, and particularly fishing operations, of the 
     possible hazards from contact with military munitions and the 
     proper methods to mitigate such hazards.
       (c) Research.--
       (1) In general.--The Secretary shall conduct research on 
     the effects of military munitions disposed of in covered 
     United States ocean waters.
       (2) Specified research efforts.--The research conducted 
     under this subsection shall include the following:
       (A) The sampling and analysis of ocean waters and seabeds 
     at or adjacent to the military munitions disposal sites 
     selected by the Secretary under paragraph (4).
       (B) The investigation into the long-term effects of 
     seawater exposure on military munitions, particularly 
     chemical munitions.
       (C) The development of effective safety measures when 
     dealing with military munitions disposed of in seawater.
       (3) Research methods.--In conducting research under this 
     subsection, the Secretary may make grants to, and enter into 
     cooperative agreements with, qualified research entities, as 
     determined by the Secretary.
       (4) Research locations.--In conducting research under this 
     subsection, the Secretary shall ensure that the sampling, 
     analysis, and investigations are conducted at reasonably 
     representative sites applying factors such as depth, water 
     temperature, nature of the military munitions present, and 
     relative proximity to shore populations. The Secretary shall 
     select at least two representative sites from each of the 
     following areas:
       (A) Along the Atlantic coast.
       (B) Along the Pacific coast (including the coast of 
     Alaska).
       (C) Off the shore of the Hawaiian Islands.
       (d) Monitoring.--If research conducted under subsection (c) 
     at a military munitions disposal site indicates that the 
     disposed military munitions have caused or may be causing 
     contamination of ocean waters or seabeds, the Secretary shall 
     institute appropriate monitoring mechanisms at that site to 
     recognize and track the potential release of contamination 
     into the ocean waters from military munitions.
       (e) Definitions.--In this Act:
       (1) The term ``coast line'' has the same meaning given that 
     term in section 2 of the Submerged Lands Act (43 U.S.C. 
     1301).
       (2) The term ``covered United States ocean waters'' means 
     that part of the ocean extending from the coast line to the 
     outer boundary of the outer Continental Shelf.
       (3) The term ``military munitions'' has the same meaning 
     given that term in section 101(e) of title 10, United States 
     Code.
       (4) The term ``outer Continental Shelf'' has the same 
     meaning given that term in section 2 of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1331).
       (5) The term ``Secretary'' means the Secretary of Defense.

     SEC. 313. REIMBURSEMENT OF ENVIRONMENTAL PROTECTION AGENCY 
                   FOR CERTAIN COSTS IN CONNECTION WITH MOSES LAKE 
                   WELLFIELD SUPERFUND SITE, MOSES LAKE, 
                   WASHINGTON.

       (a) Authority to Reimburse.--Using funds described in 
     subsection (b), the Secretary of Defense may transfer not 
     more than $111,114.03 to the Moses Lake Wellfield Superfund 
     Site 10-6J Special Account to reimburse the Environmental 
     Protection Agency for the costs incurred by the Environmental 
     Protection Agency in overseeing a remedial investigation and 
     feasibility study performed by the Department of the Army 
     under the Defense Environmental Restoration Program at the 
     former Larson Air Force Base, Moses Lake Wellfield Superfund 
     Site, Moses Lake, Washington. This reimbursement is provided 
     for in the March 1999 interagency agreement entered into by 
     the Department of the Army and the Environmental Protection 
     Agency for the Moses Lake Wellfield Superfund Site.
       (b) Source of Funds.--Any payment under subsection (a) 
     shall be made using funds authorized to be appropriated by 
     section 301(17) for operation and maintenance for 
     Environmental Restoration, Formerly Used Defense Sites.

     SEC. 314. FUNDING OF COOPERATIVE AGREEMENTS UNDER 
                   ENVIRONMENTAL RESTORATION PROGRAM.

       Section 2701(d)(2) of title 10, United States Code, is 
     amended by adding at the end the following new sentence: 
     ``This two-year limitation does not apply to an agreement 
     funded using amounts in the Department of Defense Base 
     Closure Account 1990 or the Department of Defense Base 
     Closure Account 2005 established under sections 2906 and 
     2906A of the Defense Base Closure and Realignment Act of 1990 
     (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 
     note).''.

     SEC. 315. ANALYSIS AND REPORT REGARDING CONTAMINATION AND 
                   REMEDIATION RESPONSIBILITY FOR NORWALK DEFENSE 
                   FUEL SUPPLY POINT, NORWALK, CALIFORNIA.

       (a) Analysis Required.--The Secretary of the Air Force 
     shall conduct a comprehensive analysis on the contamination 
     and remediation costs of the Norwalk Defense Fuel Supply 
     Point in Norwalk, California. As part of the analysis, the 
     Secretary shall--
       (1) characterize the contamination at the Norwalk Defense 
     Fuel Supply Point;
       (2) prepare a plan for the remediation of the Norwalk 
     Defense Fuel Supply Point;
       (3) prepare an estimate of anticipated costs to responsible 
     parties;
       (4) prepare a timeline for implementation and completion of 
     the remediation at the Norwalk Defense Fuel Supply Point;
       (5) describe the status of efforts to reach an allocation 
     agreement of responsibility for remediation of the Norwalk 
     Defense Fuel Supply Point with all entities that have 
     contributed to the contamination of the property; and
       (6) prepare a plan for removal or conveyance of 
     infrastructure at the Norwalk Defense Fuel Supply Point, 
     including costs and responsibility for those costs of 
     elements of that plan.
       (b) Report Required.--Not later than January 30, 2007, the 
     Secretary shall submit to Congress a report containing the 
     results of the analysis conducted under subsection (a) and 
     addressing each of the matters specified in paragraphs (1) 
     through (6) of such subsection.
       (c) Conveyance Requirements.--The Secretary shall not 
     convey property by public auction at the Norwalk Defense Fuel 
     Supply Point before such time as the Secretary has--
       (1) pursued a fair market transfer of the property to the 
     City of Norwalk, California, taking into consideration all 
     contamination of the property;
       (2) submitted the report required by subsection (b); and
       (3) submitted an additional report to Congress explaining 
     the efforts undertaken by the Secretary to reach agreement 
     with the City on the sale of the property, including the 
     reasons that those efforts were not successful, and 30-days 
     have elapsed after this report is submitted.

                 Subtitle C--Workplace and Depot Issues

     SEC. 321. EXTENSION OF EXCLUSION OF CERTAIN EXPENDITURES FROM 
                   PERCENTAGE LIMITATION ON CONTRACTING FOR DEPOT-
                   LEVEL MAINTENANCE.

       Section 2474(f)(1) of title 10, United States Code, is 
     amended by striking ``fiscal years 2003 through 2009'' and 
     inserting ``fiscal years 2003 through 2014''.

     SEC. 322. MINIMUM CAPITAL INVESTMENT FOR AIR FORCE DEPOTS.

       (a) Investment Required.--Chapter 803 of title 10, United 
     States Code, is amended by adding at the end the following 
     new section:

     ``Sec. 8025. Minimum capital investment in Air Force depots

       ``(a) Minimum Investment Requirement.--Each fiscal year, 
     the Secretary of the Air Force shall invest in the capital 
     budgets of the depots of the Air Force a total amount equal 
     to not less than six percent of the total combined revenue of 
     all the depots of the Air Force for the preceding fiscal 
     year.
       ``(b) Waiver.--The Secretary of the Air Force may waive the 
     requirement under subsection (a) if the Secretary determines 
     that the waiver is necessary for reasons of national security 
     and notifies the congressional defense committees.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``8025. Minimum capital investment for Air Force depots.''.


[[Page 7720]]


       (c) Effective Date.--Section 8025 of title 10, United 
     States Code, shall apply with respect to fiscal years 
     beginning after the date of the enactment of this Act.

     SEC. 323. EXTENSION OF TEMPORARY AUTHORITY FOR CONTRACTOR 
                   PERFORMANCE OF SECURITY GUARD FUNCTIONS.

       (a) One-Year Extension.--Section 332(c) of the Bob Stump 
     National Defense Authorization Act for Fiscal Year 2003 
     (Public Law 107-314) is amended by striking ``September 30, 
     2007'' both places it appears and inserting ``September 30, 
     2008''.
       (b) Report on Contractor Performance of Security-Guard 
     Functions.--Not later than February 1, 2007, the Secretary of 
     Defense shall submit to the Committee on Armed Services of 
     the Senate and the Committee on Armed Services of the House 
     of Representatives, a report on contractor performance of 
     security guard functions under section 332 of the Bob Stump 
     National Defense Authorization Act for Fiscal Year 2003 
     (Public Law 107-314). The report shall include the following:
       (1) An explanation of progress made toward implementing 
     each of the seven recommendations in the Comptroller General 
     report entitled ``Contract Security Guards: Army's Guard 
     Program Requires Greater Oversight and Reassessment of 
     Acquisition Approach'' (GAO-06-284).
       (2) An assessment, taking into considerations the 
     observations made by the GAO on the report of the Department 
     of Defense of November 2005 that is entitled ``Department of 
     Defense Installation Security Guard Requirement Assessment 
     and Plan'', of the following:
       (A) The cost-effectiveness of using contractors rather than 
     Department of Defense employees to perform security-guard 
     functions.
       (B) The performance of contractors employed as security 
     guards compared with the performance of military personnel 
     who have served as security guards.
       (C) Specific results of on-site visits made by officials 
     designated by the Secretary of Defense to military 
     installations using contractors to perform security-guard 
     functions.
       (c) Contract Limitation.--No contract may be entered into 
     under section 332 of the Bob Stump National Defense 
     Authorization Act for Fiscal Year 2003 (Public Law 107-314) 
     after September 30, 2007, until the report required under 
     subsection (b) is submitted.

                          Subtitle D--Reports

     SEC. 331. REPORT ON NUCLEAR ATTACK SUBMARINE DEPOT 
                   MAINTENANCE.

       (a) Report Required.--Not later than February 1, 2007, the 
     Secretary of the Navy shall submit to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives a report describing the criteria 
     used when a nuclear attack submarine is sent to a facility 
     other than a facility located within 200 miles of the 
     homeport of the submarine for maintenance described in 
     subsection (d) when there is a public or private facility 
     located within 200 miles of the homeport at which the 
     maintenance required could be conducted.
       (b) Contents of Report.--The report required under 
     subsection (a) shall include the following:
       (1) An assessment of the cost of housing for the crew of 
     the submarine.
       (2) The costs associated with traveling to the homeport of 
     the submarine for official duty.
       (3) The treatment of crew time while the submarine is 
     undergoing nondeployed maintenance work away from the 
     homeport.
       (4) An assessment of the effect that maintenance conducted 
     away from the homeport of a submarine has on the families of 
     the members stationed on that submarine.
       (5) An analysis of the retention of officers and enlisted 
     members stationed on the submarine.
       (6) An analysis of the use of fixed maintenance crews or 
     semi-permanent engineering crews for maintenance 
     availabilities that exceed 13 months.
       (c) Restriction on Maintenance Away From Homeport.--
       (1) Restriction.--During fiscal year 2007, the Secretary of 
     the Navy may not conduct maintenance described in subsection 
     (d) on a nuclear attack submarine at a facility other than a 
     facility located within 200 miles of the homeport of that 
     submarine if there is a public or private facility located 
     within 200 miles of the homeport at which the maintenance 
     required could be conducted without adversely affecting 
     operational deployment schedules.
       (2) Notification required.--Not later than five days before 
     maintenance restricted under paragraph (1) is conducted due 
     to operation deployment schedules, the Secretary of the Navy 
     shall provide to the congressional defense committees written 
     notice of the maintenance that is to be conducted and the 
     justification for conducting that maintenance.
       (d) Covered Maintenance.--Maintenance described in this 
     subsection is any of the following:
       (1) Maintenance referred to as selected restricted 
     availability maintenance.
       (2) Maintenance referred to as preinactivation restricted 
     availability maintenance.
       (3) Maintenance referred to as extended selected restricted 
     availability maintenance.
       (4) Maintenance referred to as interim dry dock 
     availabilities.

     SEC. 332. REPORT ON NAVY FLEET RESPONSE PLAN.

       (a) Report Required.--Not later than December 1, 2006, the 
     Secretary of the Navy shall submit to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives a report on the program of the 
     Navy referred to as the Fleet Response Plan. The report shall 
     include the following:
       (1) A directive that provides guidance for the conduct of 
     the Plan and standardizes terms and definitions.
       (2) Performance measures for evaluation of the Plan.
       (3) Costs and resources needed to achieve objectives of the 
     Plan.
       (4) Operational tests, exercises, war games, experiments, 
     and deployments used to test performance.
       (5) A collection and synthesis of lessons learned from the 
     implementation of the Plan as of the date on which the report 
     is submitted.
       (6) Evaluation of each of the following with respect to 
     each ship participating in the Plan:
       (A) Combat Readiness.
       (B) Ship material condition.
       (C) Number of maintenance deficiencies.
       (D) Amount of maintenance accomplished while underway.
       (E) Amount of maintenance accomplished at pier dockings.
       (F) Number of voyage repairs during each deployment.
       (G) Combat skills training requirements accomplished during 
     a deployment and at the home station.
       (H) Professional development training requirements 
     accomplished during a deployment and at home station.
       (I) Crew retention statistics.
       (7) Any proposed changes to the Surface Force Training 
     Manual.
       (8) The amount of funding required to effectively implement 
     the operations and maintenance requirements of the Plan and 
     the effect of providing funding in an amount less than that 
     amount.
       (9) Any recommendations of the Secretary of the Navy with 
     respect to expanding the Plan to include Expeditionary Strike 
     Groups.
       (b) Comptroller General Report.--Not later than March 15, 
     2007, the Comptroller General shall submit to the 
     congressional defense committees a report containing a review 
     of the Navy report required under subsection (a). The report 
     shall include the following:
       (1) An examination of the management approaches of the Navy 
     in implementing the Fleet Response Plan.
       (2) An assessment of the adequacy of Navy directives and 
     guidance with respect to maintenance and training 
     requirements and procedures.
       (3) An analysis and assessment of the adequacy of the 
     Navy's test, exercises, and evaluation criteria.
       (4) An evaluation of Navy data on aircraft carriers, 
     destroyers, and cruisers that participated in the Fleet 
     Response Plan with respect to readiness, response time, and 
     availability for routine or unforeseen deployments.
       (5) An assessment of the Navy's progress in identifying the 
     amount of funding required to effectively implement the 
     operations and maintenance requirements of the Fleet Response 
     Plan and the effect of providing funding in an amount less 
     than that amount.
       (6) Any recommendations of the Comptroller General with 
     respect to expanding the Fleet Response Plan to include 
     Expeditionary Strike Groups.
       (c) Postponement of Expansion.--The Secretary of the Navy 
     may not expand the implementation of the Fleet Response Plan 
     beyond the Carrier Strike Groups until October 1, 2007.

     SEC. 333. REPORT ON NAVY SURFACE SHIP ROTATIONAL CREW 
                   PROGRAMS.

       (a) Report Required.--Not later than April 1, 2007, the 
     Secretary of the Navy shall submit to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives a report on the ship rotational 
     crew experiment referred to in subsection (c)(1). The report 
     shall include the following:
       (1) A comparison between the three destroyers participating 
     in that experiment and destroyers not participating in the 
     experiment that takes into consideration each of the 
     following:
       (A) Cost-effectiveness, including a comparison of travel 
     and per diem expenses, maintenance costs, and other costs.
       (B) Maintenance procedures, impacts, and deficiencies, 
     including the number and characterization of maintenance 
     deficiencies, the extent of voyage repairs, post-deployment 
     assessments of the material condition of the ships, and the 
     extent to which work levels were maintained.
       (C) Mission training requirements.
       (D) Professional development requirements and 
     opportunities.
       (E) Liberty port of call opportunities.
       (F) Movement and transportation of crew.
       (G) Inventory and property accountability.
       (H) Policies and procedures for assigning billets for 
     rotating crews.
       (I) Crew retention statistics.
       (J) Readiness and mission capability data.
       (2) Results from surveys administered or focus groups held 
     to obtain representative views from commanding officers, 
     officers, and enlisted members on the effects of rotational 
     crew experiments on quality of life, training, professional 
     development, maintenance, mission effectiveness, and other 
     issues.
       (3) The extent to which standard policies and procedures 
     were developed and used for participating ships.
       (4) Lessons learned from the destroyer experiment.
       (5) An assessment from the combatant commanders on the crew 
     mission performance when deployed.
       (6) An assessment from the commander of the Fleet Forces 
     Command on the material condition, maintenance, and crew 
     training of each participating ship.

[[Page 7721]]

       (7) Any recommendations of the Secretary of the Navy with 
     respect to the extension of the ship rotational crew 
     experiment or the implementation of the experiment for other 
     surface vessels.
       (b) Postponement of Implementation.--The Secretary of the 
     Navy may not begin implementation of any new surface ship 
     rotational crew experiment or program during the period 
     beginning on the date of the enactment of this Act and ending 
     on October 1, 2009.
       (c) Treatment of Existing Experiments.--
       (1) Destroyer experiment.--Not later than January 1, 2007, 
     the Secretary of the Navy shall terminate the existing ship 
     rotational crew experiment involving the U.S.S. Gonzalez 
     (DDG-66), the U.S.S. Stout (DDG-55), and the U.S.S. Laboon 
     (DDG-58) that is known as the ``sea swap''.
       (2) Patrol coastal class ship experiment.--The Secretary of 
     the Navy may continue the existing ship rotational crew 
     program that is currently in use by overseas-based Patrol 
     Coastal class ships.
       (d) Comptroller General Report.--Not later than July 15, 
     2007, the Comptroller General shall submit to the Committee 
     on Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives a report on the ship 
     rotational crew experiment referred to in subsection (c)(1). 
     The report shall include the following:
       (1) A review of the report submitted by the Secretary of 
     the Navy under subsection (a) and an assessment of the extent 
     to which the Secretary fully addressed costs, quality of 
     life, training, maintenance, and mission effectiveness, and 
     other relevant issues in that report.
       (2) An assessment of the extent to which the Secretary 
     established and applied a comprehensive framework for 
     assessing the use of ship rotational crew experiments, 
     including formal objectives, metrics, and methodology for 
     assessing the cost-effectiveness of such experiments.
       (3) An assessment of the extent to which the Secretary 
     established effective guidance for the use of ship rotational 
     crew experiments.
       (4) Lessons learned from recent ship rotational crew 
     experiments and an assessment of the extent to which the Navy 
     systematically collects and shares lessons learned.
       (e) Congressional Budget Office Report.--Not later than 
     July 15, 2007, the Director of the Congressional Budget 
     Office shall submit a report to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives on the long-term implications of 
     the use of crew rotation on Navy ships on the degree of 
     forward presence provided by Navy ships. The report shall 
     include the following:
       (1) An analysis of different approaches to crew rotation 
     and the degree of forward presence each approach would 
     provide.
       (2) A comparison of the degree of forward presence provided 
     by the fleet under the long-term shipbuilding plan of the 
     Navy with and without the widespread use of crew rotation.
       (3) The long-term benefits and costs of using crew rotation 
     on Navy ships.

     SEC. 334. REPORT ON ARMY LIVE-FIRE RANGES IN HAWAII.

       Not later than March 1, 2007, the Secretary of the Army 
     shall submit to Congress a report on the adequacy of the 
     live-fire ranges of the Army in the State of Hawaii with 
     respect to current and future training requirements. The 
     report shall include the following:
       (1) An evaluation of the capacity of the existing live-fire 
     ranges to meet the training requirements of the Army, 
     including the training requirements of Stryker Brigade Combat 
     Teams.
       (2) A description of any existing plan to modify or expand 
     any range in Hawaii for the purpose of meeting anticipated 
     live-fire training requirements.
       (3) A description of the current live-fire restrictions at 
     the Makua Valley range and the effect of these restrictions 
     on unit readiness.
       (4) Cost and schedule estimates for the construction of new 
     ranges or the modification of existing ranges that are 
     necessary to support future training requirements if existing 
     restrictions on training at the Makua Valley range remain in 
     place.

     SEC. 335. COMPTROLLER GENERAL REPORT ON JOINT STANDARDS AND 
                   PROTOCOLS FOR ACCESS CONTROL SYSTEMS AT 
                   DEPARTMENT OF DEFENSE INSTALLATIONS.

       (a) Report Required.--Not later than one year after the 
     date of the enactment of this Act, the Comptroller General 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report containing the assessment of the 
     Comptroller General of--
       (1) the extent to which consistency exists in standards, 
     protocols, and procedures for access control across 
     installations of the Department of Defense; and
       (2) whether the establishment of joint standards and 
     protocols for access control at such installations would be 
     likely to--
       (A) address any need of the Department identified by the 
     Comptroller General; or
       (B) improve access control across the installations by 
     providing greater consistency and improved force protection.
       (b) Issues to Be Assessed.--In conducting the assessment 
     required by subsection (a), the Comptroller General shall 
     assess the extent to which each installation of the 
     Department of Defense has or would benefit from having an 
     access control system with the ability to--
       (1) electronically check any identification card issued by 
     any Federal agency or any State or local government within 
     the United States, including any identification card of a 
     visitor to the installation who is a citizen or legal 
     resident of the United States;
       (2) verify that an identification card used to obtain 
     access to the installation was legitimately issued and has 
     not been reported lost or stolen;
       (3) check on a real-time basis all relevant watch lists 
     maintained by the Government, including terrorist watch lists 
     and lists of persons wanted by State, local, or Federal law 
     enforcement authorities;
       (4) maintain a log of individuals seeking access to the 
     installation and of individuals who are denied access to the 
     installation; and
       (5) exchange information with any installation with a 
     system that complies with the joint standards and protocols.

     SEC. 336. REPORT ON PERSONNEL SECURITY INVESTIGATIONS FOR 
                   INDUSTRY AND NATIONAL INDUSTRIAL SECURITY 
                   PROGRAM.

       (a) Reports Required.--Not later than 90 days after the 
     date of the enactment of this Act and every six months 
     thereafter, the Secretary of Defense shall submit to the 
     congressional defense committees, the Committee on Homeland 
     Security and Governmental Affairs of the Senate, and the 
     Committee on Government Reform of the House of 
     Representatives, a report on the future requirements of the 
     Department of Defense with respect to the Personnel Security 
     Investigations for Industry and the National Industrial 
     Security Program of the Defense Security Service.
       (b) Contents of Reports.--
       (1) Initial report.--The initial report required under 
     subsection (a) shall include each of the following:
       (A) The number of personnel security clearance 
     investigations conducted during the period beginning on 
     October 1, 1999, and ending on September 30, 2006.
       (B) The number of each type of security clearance granted 
     during that period.
       (C) The unit cost to the Department of Defense of each 
     security clearance granted during that period.
       (D) The amount of any fee or surcharge paid to the Office 
     of Personnel Management as a result of conducting a personnel 
     security clearance investigation.
       (E) A description of the procedures used by the Secretary 
     of Defense to estimate the number of personnel security 
     clearance investigations to be conducted during a fiscal 
     year.
       (F) A description of any effect of delays and backlogs in 
     the personnel security clearance investigation process on the 
     national security of the United States.
       (G) A description of any effect of delays and backlogs in 
     the personnel security clearance investigation process on the 
     defense industrial base assets of the United States.
       (H) A plan developed by the Secretary of Defense to reduce 
     such delays and backlogs.
       (I) A plan developed by the Secretary of Defense to 
     adequately fund the personnel security clearance 
     investigation process.
       (J) A plan developed by the Secretary of Defense to 
     establish a more stable and effective Personnel Security 
     Investigations Program.
       (K) A plan developed by the Secretary of Defense to involve 
     external sources, including defense contractors, in the plans 
     of the Secretary of Defense under subparagraphs (H), (I), and 
     (J).
       (2) Subsequent reports.--Each report required to be 
     submitted under subsection (a) after the submission of the 
     initial report shall include each of the following:
       (A) The funding requirements of the personnel security 
     clearance investigation program and ability of the Secretary 
     of Defense to fund the program.
       (B) The size of the personnel security clearance 
     investigation process backlog.
       (C) The length of the average delay for an individual case 
     pending in the personnel security clearance investigation 
     process.
       (D) Any progress made by the Secretary of Defense during 
     the six months preceding the date on which the report is 
     submitted toward implementing planned changes in the 
     personnel security clearance investigation process.
       (E) A determination certified by the Secretary of Defense 
     of whether the personnel security clearance investigation 
     process has improved during the six months preceding the date 
     on which the report is submitted.
       (c) Comptroller General Report.--As soon as practicable 
     after the Secretary of Defense submits the initial report 
     required under subsection (a), the Comptroller General shall 
     submit a report to Congress that contains a review of such 
     initial report.
       (d) Sense of Congress on Improving the Personnel Security 
     Investigations Program.--
       (1) Findings.--Congress finds the following:
       (A) Since fiscal year 2000, the General Accountability 
     Office has listed the Personnel Security Investigations 
     Program of the Department of Defense as a systemic weakness 
     that affects more than one component of the Department and 
     may jeopardize the operations of the Department.
       (B) In 2005, the Government Accountability Office 
     designated the Personnel Security Investigations Program as a 
     high-risk area because delays by the Program in issuing 
     security clearances can affect national security.
       (C) In 2005, the Government Accountability Office found 
     that the Department of Defense continues to face sizeable 
     security clearance backlogs.
       (D) The Government Accountability Office also reported in 
     2005 that security clearance

[[Page 7722]]

     delays increase national security risks, delay the start of 
     classified work, hamper employers from hiring the best 
     qualified workers, and increase the cost to the Government of 
     national security-related contracts.
       (E) These security clearance backlogs and delays continue 
     in 2006, and have brought the security clearance program to a 
     reported standstill.
       (2) Sense of congress.--It is the sense of Congress that--
       (A) the delays and backlogs associated with the Personnel 
     Security Investigations Program threaten the national 
     security of the United States and key defense industrial 
     assets; and
       (B) the Secretary of Defense should take such steps as are 
     necessary to eliminate the backlogs of applications for 
     security clearance and the delays associated with the 
     security clearance application process and make systemic 
     improvements to the Personnel Security Investigations 
     Program.

                       Subtitle E--Other Matters

     SEC. 341. DEPARTMENT OF DEFENSE STRATEGIC POLICY ON 
                   PREPOSITIONING OF MATERIEL AND EQUIPMENT.

       (a) Strategic Policy Required.--Chapter 131 of title 10, 
     United States Code, is amended by adding at the end the 
     following new section:

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

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

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

       (c) Deadline for Establishment of Policy.--
       (1) Deadline.--Not later than six months after the date of 
     the enactment of this Act, the Secretary of Defense shall 
     establish the strategic policy on the programs of the 
     Department of Defense for the prepositioning of materiel and 
     equipment required under section 2229 of title 10, United 
     States Code, as added by subsection (a).
       (2) Limitation on diversion of prepositioned materiel.--
     During the period beginning on the date of the enactment of 
     this Act and ending on the date on which the Secretary of 
     Defense submits the report required under section 2229(c) of 
     title 10, United States Code, on the policy established under 
     paragraph (1), the Secretary of a military department may not 
     divert materiel or equipment from prepositioned stocks except 
     for the purpose of supporting a contingency operation.

     SEC. 342. AUTHORITY TO MAKE DEPARTMENT OF DEFENSE HORSES 
                   AVAILABLE FOR ADOPTION AT END OF USEFUL WORKING 
                   LIFE.

       (a) Inclusion of Department of Defense Horses in Existing 
     Authority.--Section 2583 of title 10, United States Code, is 
     amended--
       (1) in the section heading, by striking ``working dogs'' 
     and inserting ``animals'';
       (2) by striking ``working'' each place it appears;
       (3) by striking ``dog'' and ``dogs'' each place they appear 
     and inserting ``animal'' and ``animals'', respectively;
       (4) by striking ``dog's'' in paragraphs (1) and (2) of 
     subsection (a) and inserting ``animal's'';
       (5) by striking ``a dog's adoptability'' in subsection (b) 
     and inserting ``the adoptability of the animal''; and
       (6) by adding at the end the following new subsection:
       ``(g) Military Animal Defined.--In this section, the term 
     `military animal' means the following:
       ``(1) A military working dog.
       ``(2) A horse owned by the Department of Defense.''.
       (b) Clerical Amendment.--The item relating to such section 
     in the table of sections at the beginning of chapter 153 of 
     such title is amended to read as follows:

``2583. Military animals: transfer and adoption at end of useful 
              working life.''.

     SEC. 343. SALE AND USE OF PROCEEDS OF RECYCLABLE MUNITIONS 
                   MATERIALS.

       (a) Establishment of Program.--Chapter 443 of title 10, 
     United States Code, is amended by adding at the end the 
     following new section:

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

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

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

     SEC. 344. CAPITAL SECURITY COST SHARING.

       (a) Reconciliation Required.--For each fiscal year, the 
     Secretary of Defense shall reconcile (1) the estimate of 
     overseas presence of the Secretary of Defense under 
     subsection (b) for that fiscal year, with (2) the 
     determination of the Secretary of State under section 
     604(e)(1) of the Secure Embassy Construction and 
     Counterterrorism Act of 1999 (22 U.S.C. 4865 note) of the 
     total overseas presence of the Department of Defense for that 
     fiscal year.
       (b) Annual Estimate of Overseas Presence.--Not later than 
     February 1 of each year, the Secretary of Defense shall 
     submit to the congressional defense committees an estimate of 
     the total number of Department of Defense overseas personnel 
     subject to chief of mission authority pursuant to section 207 
     of the Foreign Service Act of 1980 (22 U.S.C. 3927) during 
     the fiscal year that begins on October 1 of that year.

     SEC. 345. PRIORITIZATION OF FUNDS WITHIN NAVY MISSION 
                   OPERATIONS, SHIP MAINTENANCE, COMBAT SUPPORT 
                   FORCES, AND WEAPONS SYSTEM SUPPORT.

       (a) In General.--The Secretary of the Navy shall take such 
     steps as necessary through the planning, programming, 
     budgeting, and execution systems of the Department of the 
     Navy to ensure that financial resources are provided for each 
     fiscal year as necessary to enable the Navy to fund the 
     following requirements of the Navy for that fiscal year:
       (1) 100 percent of the requirements for steaming days per 
     quarter for deployed ship operations.
       (2) 100 percent of the requirements for steaming days per 
     quarter for non-deployed ship operations.
       (3) 100 percent of the projected ship and air depot 
     maintenance.
       (b) Limitation of Funds for Navy Expeditionary Combat 
     Command.--Of the funds appropriated for the Department of 
     Navy for any fiscal year after fiscal year 2006, no operation 
     and maintenance funds may be expended for the Navy 
     Expeditionary Combat Command until the funding priorities in 
     subsection (a) are met for that fiscal year.
       (c) Annual Report.--The Secretary of Navy shall submit to 
     the congressional defense committees an annual report, to be 
     submitted each year with the annual operation and maintenance 
     justification of estimates material for the next fiscal year, 
     that certifies that the requirements in subsection (a) are 
     satisfied for the fiscal year for which that material is 
     submitted.

     SEC. 346. PRIORITIZATION OF FUNDS WITHIN ARMY RECONSTITUTION 
                   AND TRANSFORMATION.

       (a) In General.--The Secretary of the Army shall take such 
     steps as necessary through the planning, programming, 
     budgeting, and execution systems of the Department of the 
     Army to ensure that financial resources are provided for each 
     fiscal year as necessary to enable the Army to meet its 
     requirements in that fiscal year for each of the following:
       (1) The repair, recapitalization, and replacement of 
     equipment used in the Global War on Terrorism, based on 
     implementation of requirements based on a cost estimate for 
     such purposes of at least $72,300,000,000 over the period of 
     the five fiscal years beginning with fiscal year 2008.
       (2) The fulfillment of equipment requirements of units 
     transforming to modularity in accordance with the Modular 
     Force Initiative report submitted to Congress in March 2006, 
     based on implementation of requirements based on a cost 
     estimate for such purposes of $47,600,000,000 over the period 
     of the five fiscal years beginning with fiscal year 2008.
       (3) The reconstitution of equipment and materiel in 
     prepositioned stocks by 2012 in accordance with requirements 
     under the Army Prepositioned Stocks Strategy 2012 or a 
     subsequent strategy implemented under the guidelines in 
     section 2229 of title 10, United States Code.
       (b) Annual Report.--The Secretary of the Army shall submit 
     to the congressional defense committees an annual report, 
     until the requirements of subsection (a) have been met, 
     setting forth the progress toward meeting those requirements. 
     Any information required to be included in the report 
     concerning funding priorities under paragraph (1) or (2) of 
     subsection (a) shall be itemized by active duty component and 
     reserve component. The report for any year

[[Page 7723]]

     shall be submitted at the time the budget of the President 
     for the next fiscal year is submitted to Congress. Each such 
     report shall include the following:
       (1) A complete itemization of the requirements for the 
     funding priorities in subsection (a), including an 
     itemization for all types of modular brigades for both active 
     and reserve components.
       (2) A list of any shortfalls that exist between available 
     funding, equipment, supplies, and industrial capacity and 
     required funding, equipment, supplies, and industrial 
     capacity in accordance with the funding priorities in 
     subsection (a).
       (3) A list of the requirements for the funding priorities 
     in subsection (a) that the Army has included in the budget 
     for that fiscal year, including a detailed listing of the 
     type, quantity, and cost of the equipment the Army plans to 
     repair, recapitalize, or procure, set forth by appropriations 
     account and Army component.
       (4) An assessment of the progress made during that fiscal 
     year toward meeting the overall requirements of the funding 
     priorities in subsection (a).
       (5) A description of how the Army defines costs associated 
     with modularity versus the costs associated with modernizing 
     equipment platforms and repairing, recapitalizing, and 
     replacing equipment used during the global war on terrorism.
       (6) The results of Army assessments of modular force 
     capabilities, including lessons learned from existing modular 
     units and any modifications that have been made to 
     modularity.
       (7) The assessment of each of the Chief of the National 
     Guard Bureau and the Chief of the Army Reserve of each of the 
     items described in paragraphs (1) through (6).
       (c) Limitation on Funds for Future Combat Systems.--Of the 
     funds appropriated for the Army for any fiscal year after 
     fiscal year 2007, not more than $2,850,000,000 may be 
     expended for the Future Combat Systems until the funding 
     priorities in subsection (a) are met for that fiscal year.
       (d) Use of Excess Funds for Future Combat Systems.--Any 
     funds appropriated for the Future Combat Systems for any 
     fiscal year not expended in accordance with subsection (c) 
     shall be used for programs specified in subsection (a).

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

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

                       Subtitle B--Reserve Forces

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

              Subtitle C--Authorization of Appropriations

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

                       Subtitle A--Active Forces

     SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

       (a) In General.--The Armed Forces are authorized strengths 
     for active duty personnel as of September 30, 2007, as 
     follows:
       (1) The Army, 512,400.
       (2) The Navy, 340,700.
       (3) The Marine Corps, 180,000.
       (4) The Air Force, 334,200.
       (b) Limitation.--
       (1) Army.--The authorized strength for the Army provided in 
     paragraph (1) of subsection (a) for active duty personnel for 
     fiscal year 2007 is subject to the condition that costs of 
     active duty personnel of the Army for that fiscal year in 
     excess of 482,400 shall be paid out of funds authorized to be 
     appropriated for that fiscal year for a contingent emergency 
     reserve fund or as an emergency supplemental appropriation.
       (2) Marine corps.--The authorized strength for the Marine 
     Corps provided in paragraph (3) of subsection (a) for active 
     duty personnel for fiscal year 2007 is subject to the 
     condition that costs of active duty personnel of the Marine 
     Corps for that fiscal year in excess of 175,000 shall be paid 
     out of funds authorized to be appropriated for that fiscal 
     year for a contingent emergency reserve fund or as an 
     emergency supplemental appropriation.

     SEC. 402. REVISION IN PERMANENT ACTIVE DUTY END STRENGTH 
                   MINIMUM LEVELS.

       Section 691(b) of title 10, United States Code, is amended 
     by striking paragraphs (1) through (4) and inserting the 
     following:
       ``(1) For the Army, 504,400.
       ``(2) For the Navy, 340,700.
       ``(3) For the Marine Corps, 180,000.
       ``(4) For the Air Force, 334,200.''.

     SEC. 403. ADDITIONAL AUTHORITY FOR INCREASES OF ARMY AND 
                   MARINE CORPS ACTIVE DUTY END STRENGTHS FOR 
                   FISCAL YEARS 2008 AND 2009.

       Effective October 1, 2007, the text of section 403 of the 
     Ronald W. Reagan National Defense Authorization Act for 
     Fiscal Year 2005 (Public Law 108-375; 118 Stat. 1863) is 
     amended to read as follows:
       ``(a) Authority.--
       ``(1) Army.--For each of fiscal years 2008 and 2009, the 
     Secretary of Defense may, as the Secretary determines 
     necessary for the purposes specified in paragraph (3), 
     establish the active-duty end strength for the Army at a 
     number greater than the number otherwise authorized by law up 
     to the number equal to the fiscal-year 2007 baseline plus 
     20,000.
       ``(2) Marine corps.--For each of fiscal years 2008 and 
     2009, the Secretary of Defense may, as the Secretary 
     determines necessary for the purposes specified in paragraph 
     (3), establish the active-duty end strength for the Marine 
     Corps at a number greater than the number otherwise 
     authorized by law up to the number equal to the fiscal-year 
     2007 baseline plus 4,000.
       ``(3) Purpose of increases.--The purposes for which 
     increases may be made in Army and Marine Corps active duty 
     end strengths under paragraphs (1) and (2) are--
       ``(A) to support operational missions; and
       ``(B) to achieve transformational reorganization 
     objectives, including objectives for increased numbers of 
     combat brigades and battalions, increased unit manning, force 
     stabilization and shaping, and rebalancing of the active and 
     reserve component forces.
       ``(4) Fiscal-year 2007 baseline.--In this subsection, the 
     term `fiscal-year 2007 baseline', with respect to the Army 
     and Marine Corps, means the active-duty end strength 
     authorized for those services in section 401 of the National 
     Defense Authorization Act for Fiscal Year 2007.
       ``(5) Active-duty end strength.--In this subsection, the 
     term `active-duty end strength' means the strength for 
     active-duty personnel of one of the Armed Forces as of the 
     last day of a fiscal year.
       ``(b) Relationship to Presidential Waiver Authority.--
     Nothing in this section shall be construed to limit the 
     President's authority under section 123a of title 10, United 
     States Code, to waive any statutory end strength in a time of 
     war or national emergency.
       ``(c) Relationship to Other Variance Authority.--The 
     authority under subsection (a) is in addition to the 
     authority to vary authorized end strengths that is provided 
     in subsections (e) and (f) of section 115 of title 10, United 
     States Code.
       ``(d) Budget Treatment.--
       ``(1) Fiscal year 2008 budget.--The budget for the 
     Department of Defense for fiscal year 2008 as submitted to 
     Congress shall comply, with respect to funding, with 
     subsections (c) and (d) of section 691 of title 10, United 
     States Code.
       ``(2) Other increases.--If the Secretary of Defense plans 
     to increase the Army or Marine Corps active duty end strength 
     for a fiscal year under subsection (a), then the budget for 
     the Department of Defense for that fiscal year as submitted 
     to Congress shall include the amounts necessary for funding 
     that active duty end strength in excess of the fiscal year 
     2007 active duty end strength authorized for that service 
     under section 401 of the National Defense Authorization Act 
     for Fiscal Year 2007.''.

                       Subtitle B--Reserve Forces

     SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

       (a) In General.--The Armed Forces are authorized strengths 
     for Selected Reserve personnel of the reserve components as 
     of September 30, 2007, as follows:
       (1) The Army National Guard of the United States, 350,000.
       (2) The Army Reserve, 200,000.
       (3) The Navy Reserve, 71,300.
       (4) The Marine Corps Reserve, 39,600.
       (5) The Air National Guard of the United States, 107,000.
       (6) The Air Force Reserve, 74,900.
       (7) The Coast Guard Reserve, 10,000.
       (b) Adjustments.--The end strengths prescribed by 
     subsection (a) for the Selected Reserve of any reserve 
     component shall be proportionately reduced by--
       (1) the total authorized strength of units organized to 
     serve as units of the Selected Reserve of such component 
     which are on active duty (other than for training) at the end 
     of the fiscal year; and
       (2) the total number of individual members not in units 
     organized to serve as units of the Selected Reserve of such 
     component who are on active duty (other than for training or 
     for unsatisfactory participation in training) without their 
     consent at the end of the fiscal year.
     Whenever such units or such individual members are released 
     from active duty during any fiscal year, the end strength 
     prescribed for such fiscal year for the Selected Reserve of 
     such reserve component shall be increased proportionately by 
     the total authorized strengths of such units and by the total 
     number of such individual members.

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

       Within the end strengths prescribed in section 411(a), the 
     reserve components of the Armed Forces are authorized, as of 
     September 30, 2007, the following number of Reserves to be 
     serving on full-time active duty or full-time duty, in the 
     case of members of the National Guard, for the purpose of 
     organizing, administering, recruiting, instructing, or 
     training the reserve components:
       (1) The Army National Guard of the United States, 28,165.
       (2) The Army Reserve, 15,416.
       (3) The Navy Reserve, 12,564.
       (4) The Marine Corps Reserve, 2,261.
       (5) The Air National Guard of the United States, 13,291.
       (6) The Air Force Reserve, 2,707.

[[Page 7724]]



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

       The minimum number of military technicians (dual status) as 
     of the last day of fiscal year 2007 for the reserve 
     components of the Army and the Air Force (notwithstanding 
     section 129 of title 10, United States Code) shall be the 
     following:
       (1) For the Army Reserve, 7,912.
       (2) For the Army National Guard of the United States, 
     27,615.
       (3) For the Air Force Reserve, 10,124.
       (4) For the Air National Guard of the United States, 
     23,255.

     SEC. 414. FISCAL YEAR 2007 LIMITATION ON NUMBER OF NON-DUAL 
                   STATUS TECHNICIANS.

       (a) Limitations.--
       (1) National guard.--Within the limitation provided in 
     section 10217(c)(2) of title 10, United States Code, the 
     number of non-dual status technicians employed by the 
     National Guard as of September 30, 2007, may not exceed the 
     following:
       (A) For the Army National Guard of the United States, 1,600
       (B) For the Air National Guard of the United States, 350.
       (2) Army reserve.--The number of non-dual status 
     technicians employed by the Army Reserve as of September 30, 
     2007, may not exceed 595.
       (3) Air force reserve.--The number of non-dual status 
     technicians employed by the Air Force Reserve as of September 
     30, 2007, may not exceed 90.
       (b) Non-Dual Status Technicians Defined.--In this section, 
     the term ``non-dual status technician'' has the meaning given 
     that term in section 10217(a) of title 10, United States 
     Code.

     SEC. 415. MAXIMUM NUMBER OF RESERVE PERSONNEL AUTHORIZED TO 
                   BE ON ACTIVE DUTY FOR OPERATIONAL SUPPORT.

       During fiscal year 2007, the maximum number of members of 
     the reserve components of the Armed Forces who may be serving 
     at any time on full-time operational support duty under 
     section 115(b) of title 10, United States Code, is the 
     following:
       (1) The Army National Guard of the United States, 17,000.
       (2) The Army Reserve, 13,000.
       (3) The Navy Reserve, 6,200.
       (4) The Marine Corps Reserve, 3,000.
       (5) The Air National Guard of the United States, 16,000.
       (6) The Air Force Reserve, 14,000.

              Subtitle C--Authorization of Appropriations

     SEC. 421. MILITARY PERSONNEL.

       There is hereby authorized to be appropriated to the 
     Department of Defense for military personnel for fiscal year 
     2007 a total of $109,820,468,000. The authorization in the 
     preceding sentence supersedes any other authorization of 
     appropriations (definite or indefinite) for such purpose for 
     fiscal year 2007.

     SEC. 422. ARMED FORCES RETIREMENT HOME.

       There is hereby authorized to be appropriated for fiscal 
     year 2007 from the Armed Forces Retirement Home Trust Fund 
     the sum of $54,846,000 for the operation of the Armed Forces 
     Retirement Home.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. Authorized strength of Navy Reserve flag officers.
Sec. 502. Standardization of grade of senior dental officer of the Air 
              Force with that of senior dental officer of the Army.
Sec. 503. Management of chief warrant officers.
Sec. 504. Reduction in time-in-grade requirement for promotion to 
              captain in the Army, Air Force, and Marine Corps and 
              lieutenant in the Navy.
Sec. 505. Military status of officers serving in certain Intelligence 
              Community positions.

                Subtitle B--Reserve Component Management

Sec. 511. Revisions to reserve call-up authority.
Sec. 512. Military retirement credit for certain service by National 
              Guard members performed while in a State duty status 
              immediately after the terrorist attacks of September 11, 
              2001.
Sec. 513. Report on private-sector promotion and constructive 
              termination of members of the reserve components called 
              or ordered to active service.

                   Subtitle C--Education and Training

Sec. 521. Authority to permit members who participate in the guaranteed 
              reserve forces duty scholarship program to participate in 
              the health professions scholarship program and serve on 
              active duty.
Sec. 522. Junior Reserve Officers' Training Corps instruction 
              eligibility expansion.
Sec. 523. Authority for United States Military Academy and United 
              States Air Force Academy permanent military professors to 
              assume command positions while on periods of sabbatical.
Sec. 524. Expansion of service academy exchange programs with foreign 
              military academies.
Sec. 525. Review of legal status of Junior ROTC program.

                Subtitle D--General Service Authorities

Sec. 531. Test of utility of test preparation guides and education 
              programs in enhancing recruit candidate performance on 
              the Armed Services Vocational Aptitude Battery (ASVAB) 
              and Armed Forces Qualification Test (AFQT).
Sec. 532. Nondisclosure of selection board proceedings.
Sec. 533. Report on extent of provision of timely notice of long-term 
              deployments.

       Subtitle E--Authorities Relating to Guard and Reserve Duty

Sec. 541. Title 10 definition of Active Guard and Reserve duty.
Sec. 542. Authority for Active Guard and Reserve duties to include 
              support of operational missions assigned to the reserve 
              components and instruction and training of active-duty 
              personnel.
Sec. 543. Governor's authority to order members to Active Guard and 
              Reserve duty.
Sec. 544. National Guard officers authority to command.
Sec. 545. Expansion of operations of civil support teams.

                   Subtitle F--Decorations and Awards

Sec. 551. Authority for presentation of Medal of Honor Flag to living 
              Medal of Honor recipients and to living primary next-of-
              kin of deceased Medal of Honor recipients.
Sec. 552. Cold War Victory Medal.
Sec. 553. Posthumous award of Purple Heart for prisoners of war who die 
              in or due to captivity.
Sec. 554. Advancement on the retired list of certain decorated retired 
              Navy and Marine Corps officers.
Sec. 555. Report on Department of Defense process for awarding 
              decorations.

               Subtitle G--Matters Relating to Casualties

Sec. 561. Criteria for removal of member from temporary disability 
              retired list.
Sec. 562. Department of Defense computer/electronic accommodations 
              program for severely wounded members.
Sec. 563. Transportation of remains of casualties dying in a theater of 
              combat operations.
Sec. 564. Annual budget display of funds for POW/MIA activities of 
              Department of Defense.

   Subtitle H--Assistance to Local Educational Agencies for Defense 
                          Dependents Education

Sec. 571. Continuation of authority to assist local educational 
              agencies that benefit dependents of members of the Armed 
              Forces and Department of Defense civilian employees.
Sec. 572. Enrollment in defense dependents' education system of 
              dependents of foreign military members assigned to 
              Supreme Headquarters Allied Powers, Europe.

                      Subtitle I--Postal Benefits

Sec. 575. Postal benefits program for members of the Armed Forces.
Sec. 576. Funding.
Sec. 577. Duration.

                       Subtitle J--Other Matters

Sec. 581. Reduction in Department of Defense accrual contributions to 
              Department of Defense Military Retirement Fund.
Sec. 582. Dental Corps of the Bureau of Medicine and Surgery.
Sec. 583. Permanent authority for presentation of recognition items for 
              recruitment and retention purposes.
Sec. 584. Report on feasibility of establishment of Military Entrance 
              Processing Command station on Guam.
Sec. 585. Persons authorized to administer enlistment and appointment 
              oaths.
Sec. 586. Repeal of requirement for periodic Department of Defense 
              Inspector General assessments of voting assistance 
              compliance at military installations.
Sec. 587. Physical evaluation boards.
Sec. 588. Department of Labor transitional assistance program.
Sec. 589. Revision in Government contributions to Medicare-Eligible 
              Retiree Health Care Fund.
Sec. 590. Military chaplains.
Sec. 591. Report on personnel requirements for airborne assets 
              identified as Low-Density, High-Demand Airborne Assets.
Sec. 592. Entrepreneurial Service Members Empowerment Task Force.
Sec. 593. Comptroller General report on military conscientious 
              objectors.
Sec. 594. Commission on the National Guard and Reserves.

                  Subtitle A--Officer Personnel Policy

     SEC. 501. AUTHORIZED STRENGTH OF NAVY RESERVE FLAG OFFICERS.

       (a) Simplification of Counting of Navy Reserve Flag 
     Officers.--Subsection (c) of section 12004 of title 10, 
     United States Code, is amended to read as follows:
       ``(c) The authorized strength of the Navy under subsection 
     (a) is exclusive of officers counted under section 526 of 
     this title.''.
       (b) Conforming Amendment.--Subsection (d) of such section 
     is amended by striking ``of those'' and inserting ``of 
     officers''.

[[Page 7725]]



     SEC. 502. STANDARDIZATION OF GRADE OF SENIOR DENTAL OFFICER 
                   OF THE AIR FORCE WITH THAT OF SENIOR DENTAL 
                   OFFICER OF THE ARMY.

       (a) Air Force Assistant Surgeon General for Dental 
     Services.--Section 8081 of title 10, United States Code, is 
     amended by striking ``brigadier general'' in the second 
     sentence and inserting ``major general''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on the date of the occurrence of the next 
     vacancy in the position of Assistant Surgeon General for 
     Dental Services in the Air Force that occurs after the date 
     of the enactment of this Act or, if earlier, on the date of 
     the appointment to the grade of major general of the officer 
     who is the incumbent in that position on the date of the 
     enactment of the Act.

     SEC. 503. MANAGEMENT OF CHIEF WARRANT OFFICERS.

       (a) Retention of Chief Warrant Officers, W-4, Who Have 
     Twice Failed of Selection for Promotion.--Section 580(e)(1) 
     of title 10, United States Code, is amended by striking 
     ``continued on active duty if'' and all that follows and 
     inserting ``continued on active duty if--
       ``(A) in the case of a warrant officer in the grade of 
     chief warrant officer, W-2, or chief warrant officer, W-3, 
     the warrant officer is selected for continuation on active 
     duty by a selection board convened under section 573(c) of 
     this title; and
       ``(B) in the case of a warrant officer in the grade of 
     chief warrant officer, W-4, the warrant officer is selected 
     for continuation on active duty by the Secretary concerned 
     under such procedures as the Secretary may prescribe.''.
       (b) Mandatory Retirement for Length of Service.--Section 
     1305(a) of such title is amended--
       (1) by striking ``(1) Except as'' and all the follows 
     through ``W-5)'' and inserting ``A regular warrant officer'';
       (2) by inserting ``as a warrant officer'' after ``years of 
     active service'';
       (3) by inserting ``the date on which'' after ``60 days 
     after''; and
       (4) by striking paragraph (2).

     SEC. 504. REDUCTION IN TIME-IN-GRADE REQUIREMENT FOR 
                   PROMOTION TO CAPTAIN IN THE ARMY, AIR FORCE, 
                   AND MARINE CORPS AND LIEUTENANT IN THE NAVY.

       Section 619(a)(1) of title 10, United States Code, is 
     amended by striking ``he has completed'' in the matter 
     preceding subparagraph (A) and all that follows through the 
     period at the end of subparagraph (B) and inserting ``the 
     officer has completed 18 months of service in the grade in 
     which the officer holds a permanent appointment''.

     SEC. 505. MILITARY STATUS OF OFFICERS SERVING IN CERTAIN 
                   INTELLIGENCE COMMUNITY POSITIONS.

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

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

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

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

                Subtitle B--Reserve Component Management

     SEC. 511. REVISIONS TO RESERVE CALL-UP AUTHORITY.

       (a) Maximum Number of Days.--Subsection (a) of section 
     12304 of title 10, United States Code, is amended by striking 
     ``270 days'' and inserting ``365.''
       (b) Support for Disasters.--Such section is further 
     amended--
       (1) in subsection (b)--
       (A) by striking ``or'' at the end of paragraph (1);
       (B) by striking the period at the end of paragraph (2) and 
     inserting ``; or''; and
       (C) by adding at the end the following new paragraph:
       ``(3) a serious natural or manmade disaster, accident, or 
     catastrophe that occurs in the United States, its territories 
     and possessions, or Puerto Rico.''; and
       (2) in subsection (c)(1)--
       (A) by striking ``title or,'' and inserting ``title,''; and
       (B) by striking ``, to provide'' and all that follows 
     through the end and inserting a period.
       (c) Fair Treatment.--Such section is further amended--
       (1) by redesignating subsection (i) as subsection (j); and
       (2) by inserting after subsection (h) the following new 
     subsection (i):
       ``(i) Considerations for Involuntary Order to Active 
     Duty.--(1) In determining which members of the Selected 
     Reserve and Individual Ready Reserve will be ordered to duty 
     without their consent under this section, appropriate 
     consideration shall be given to--
       ``(A) the length and nature of previous service, to assure 
     such sharing of exposure to hazards as the national security 
     and military requirements will reasonably allow;
       ``(B) family responsibilities; and
       ``(C) employment necessary to maintain the national health, 
     safety, or interest.
       ``(2) The Secretary of Defense shall prescribe such 
     policies and procedures as the Secretary considers necessary 
     to carry out this subsection.''.

     SEC. 512. MILITARY RETIREMENT CREDIT FOR CERTAIN SERVICE BY 
                   NATIONAL GUARD MEMBERS PERFORMED WHILE IN A 
                   STATE DUTY STATUS IMMEDIATELY AFTER THE 
                   TERRORIST ATTACKS OF SEPTEMBER 11, 2001.

       Subsection (c) of section 514 of the National Defense 
     Authorization Act for Fiscal Year 2006 (Public Law 109-163; 
     119 Stat. 3232) is amended by adding at the end the following 
     new paragraph:
       ``(3) In the State of New Jersey: Bergen, Hudson, Union, 
     and Middlesex.''.

     SEC. 513. REPORT ON PRIVATE-SECTOR PROMOTION AND CONSTRUCTIVE 
                   TERMINATION OF MEMBERS OF THE RESERVE 
                   COMPONENTS CALLED OR ORDERED TO ACTIVE SERVICE.

       (a) Report Required.--Not later than March 1, 2007, the 
     Secretary of Defense shall submit to the Committee on Armed 
     Services of the Senate and the Committee on Armed Services of 
     the House of Representatives a report on the promotion and 
     constructive termination by private-sector employers of 
     members of the reserve components called or ordered to active 
     service.
       (b) Collection of Information.--The Secretary of Defense 
     shall base the report required under subsection (a) on 
     information submitted voluntarily by members of the reserve 
     components.
       (c) Constructive Termination.--In this section, the term 
     ``constructive termination'' means the voluntary resignation 
     of an employee because of working conditions the employee 
     finds unbearable.

                   Subtitle C--Education and Training

     SEC. 521. AUTHORITY TO PERMIT MEMBERS WHO PARTICIPATE IN THE 
                   GUARANTEED RESERVE FORCES DUTY SCHOLARSHIP 
                   PROGRAM TO PARTICIPATE IN THE HEALTH 
                   PROFESSIONS SCHOLARSHIP PROGRAM AND SERVE ON 
                   ACTIVE DUTY.

       Paragraph (3) of section 2107a(b) of title 10, United 
     States Code, is amended--
       (1) by inserting ``or a cadet or former cadet under this 
     section who signs an agreement under section 2122 of this 
     title,'' after ``military junior college,''; and
       (2) by inserting ``, or former cadet,'' after ``consent of 
     the cadet'' and after ``submitted by the cadet''.

     SEC. 522. JUNIOR RESERVE OFFICERS' TRAINING CORPS INSTRUCTION 
                   ELIGIBILITY EXPANSION.

        Section 2031 of title 10, United States Code, is amended--
       (1) in subsection (d)(1), by inserting ``who are receiving 
     retired or retainer pay,'' after ``Fleet Marine Corps 
     Reserve,''; and
       (2) by adding at the end the following new subsection (e):

[[Page 7726]]

       ``(e) Instead of, or in addition to, the detailing of 
     active-duty officers and noncommissioned officers under 
     subsection (c)(1), and the employment of retired officers and 
     noncommissioned officers and members of the Fleet Reserve or 
     Fleet Marine Corps Reserve under subsection (d), the 
     Secretary of the military department concerned may authorize 
     qualified institutions to employ as administrators and 
     instructors in the program, retired officers and 
     noncommissioned officers who qualify for retired pay for 
     nonregular service under the provisions of chapter 1223 of 
     this title but for being under the age specified in section 
     12731(a)(1) of this title for eligibility for such retired 
     pay, whose qualifications are approved by the Secretary and 
     the institution concerned, and who request such employment, 
     subject to the following:
       ``(1) The compensation package for officers and 
     noncommissioned officers employed under this subsection shall 
     not be coupled with either active duty pay or retired pay, 
     but instead shall be at a rate contracted individually and 
     determined by the Secretary of the military department 
     concerned. The Secretary may pay the institution an amount 
     the Secretary determined to be appropriate, but the amount 
     may not be more than the amount that would be paid on behalf 
     of an equivalent retiree or member of the Fleet Reserve or 
     Fleet Marine Corps Reserve under the provisions of subsection 
     (d)(1). The Secretary may continue to pay individuals 
     employed under this subsection pre-determined compensation 
     packages, even after they reach the age of 60. Payments by 
     the Secretary concerned under this paragraph shall be made 
     from funds appropriated for that purpose.
       ``(2) Such a retired member is not, while so employed, 
     considered to be on active duty or inactive duty training for 
     any purpose.''.

     SEC. 523. AUTHORITY FOR UNITED STATES MILITARY ACADEMY AND 
                   UNITED STATES AIR FORCE ACADEMY PERMANENT 
                   MILITARY PROFESSORS TO ASSUME COMMAND POSITIONS 
                   WHILE ON PERIODS OF SABBATICAL.

       (a) United States Military Academy.--Section 4334(d) of 
     title 10, United States Code, is amended--
       (1) by striking ``permanent professors and the'';
       (2) by striking ``exercise'' and inserting ``exercises''; 
     and
       (3) by adding at the end the following new sentence: ``The 
     permanent professors exercise command only in the academic 
     department of the Academy and, at the discretion of the 
     Secretary of the Army, within Army units to which they are 
     assigned.''.
       (b) United States Air Force Academy.--Section 9334(b) of 
     such title is amended--
       (1) by striking ``permanent professors and the''; and
       (2) by striking ``exercise'' and inserting ``exercises''; 
     and
       (3) by adding at the end the following new sentence: ``The 
     permanent professors exercise command only in the academic 
     department of the Academy and, at the discretion of the 
     Secretary of the Air Force, within Air Force units to which 
     they are assigned.''.

     SEC. 524. EXPANSION OF SERVICE ACADEMY EXCHANGE PROGRAMS WITH 
                   FOREIGN MILITARY ACADEMIES.

       (a) United States Military Academy.--
       (1) Number of participants in exchange program.--Subsection 
     (b) of section 4345 of title 10, United States Code, is 
     amended by striking ``24'' and inserting ``100''.
       (2) Costs and expenses.--Subsection (c) of such section is 
     amended--
       (A) by striking ``for the Academy'' in paragraph (3) and 
     all that follows in that paragraph and inserting ``for the 
     Academy and such additional funds as may be available to the 
     Academy from a source other than appropriated funds to 
     support cultural immersion, regional awareness, or foreign 
     language training activities in connection with the exchange 
     program.''; and
       (B) by adding at the end the following new paragraph:
       ``(4) Expenditures in support of the exchange program from 
     funds appropriated for the Academy may not exceed $1,000,000 
     during any fiscal year.''.
       (b) United States Naval Academy.--
       (1) Number of participants in exchange program.--Subsection 
     (b) of section 6957a of title 10, United States Code, is 
     amended by striking ``24'' and inserting ``100''.
       (2) Costs and expenses.--Subsection (c) of such section is 
     amended--
       (A) by striking ``for the Academy'' in paragraph (3) and 
     all that follows in that paragraph and inserting ``for the 
     Academy and such additional funds as may be available to the 
     Academy from a source other than appropriated funds to 
     support cultural immersion, regional awareness, or foreign 
     language training activities in connection with the exchange 
     program.''; and
       (B) by adding at the end the following new paragraph:
       ``(4) Expenditures in support of the exchange program from 
     funds appropriated for the Naval Academy may not exceed 
     $1,000,000 during any fiscal year.''.
       (c) United States Air Force Academy.--
       (1) Number of participants in exchange program.--Subsection 
     (b) of section 9345 of title 10, United States Code, is 
     amended by striking ``24'' and inserting ``100''.
       (2) Costs and expenses.--Subsection (c) of such section is 
     amended--
       (A) by striking ``for the Academy'' in paragraph (3) and 
     all that follows in that paragraph and inserting ``for the 
     Academy and such additional funds as may be available to the 
     Academy from a source other than appropriated funds to 
     support cultural immersion, regional awareness, or foreign 
     language training activities in connection with the exchange 
     program.''; and
       (B) by adding at the end the following new paragraph:
       ``(4) Expenditures in support of the exchange program from 
     funds appropriated for the Academy may not exceed $1,000,000 
     during any fiscal year.''.
       (d) Effective Dates.--The amendments made by subsection (a) 
     shall take effect on the date of the enactment of this Act. 
     The amendments made by subsections (b) and (c) shall take 
     effect on October 1, 2008.

     SEC. 525. REVIEW OF LEGAL STATUS OF JUNIOR ROTC PROGRAM.

       (a) Review.--The Secretary of Defense shall conduct a 
     review of the 1976 legal opinion issued by the General 
     Counsel of the Department of Defense regarding instruction of 
     non-host unit students participating in Junior Reserve 
     Officers' Training Corps programs. The review shall consider 
     whether changes to law after the issuance of that opinion 
     allow in certain circumstances for the arrangement for 
     assignment of instructors that provides for the travel of an 
     instructor from one educational institution to another once 
     during the regular school day for the purposes of the Junior 
     Reserve Officers' Training Corps program as an authorized 
     arrangement that enhances administrative efficiency in the 
     management of the program. If the Secretary, as a result of 
     the review, determines that such authority is not available, 
     the Secretary should also consider whether such authority 
     should be available and whether there should be authority to 
     waive the restrictions under certain circumstances.
       (b) Report.--The Secretary shall submit to the Committee on 
     Armed Services of the Senate and the Committee on Armed 
     Services of the House of Representatives a report containing 
     the results of the review not later than 180 days after the 
     date of the enactment of this Act.
       (c) Interim Authority.--A current institution that has more 
     than 70 students and is providing support to another 
     educational institutional with more than 70 students and has 
     been providing for the assignment of instructors from one 
     school to the other may continue to provide such support 
     until 180 days following receipt of the report under 
     subsection (b).

                Subtitle D--General Service Authorities

     SEC. 531. TEST OF UTILITY OF TEST PREPARATION GUIDES AND 
                   EDUCATION PROGRAMS IN ENHANCING RECRUIT 
                   CANDIDATE PERFORMANCE ON THE ARMED SERVICES 
                   VOCATIONAL APTITUDE BATTERY (ASVAB) AND ARMED 
                   FORCES QUALIFICATION TEST (AFQT).

       (a) Requirement for Test.--The Secretary of Defense shall 
     conduct a test of the utility of commercially available test 
     preparation guides and education programs designed to assist 
     recruit candidates achieve scores on military recruit 
     qualification testing that better reflect the full potential 
     of those recruit candidates in terms of aptitude and mental 
     category. The test shall be conducted through the Secretaries 
     of the Army, Navy and Air Force.
       (b) Assessment of Commercially Available Guides and 
     Programs.--The test shall assess commercially available test 
     preparation guides and education programs designed to enhance 
     test performance. The test preparation guides assessed shall 
     test both written formats and self-paced computer-assisted 
     programs. Education programs assessed may test both self-
     study textbook and computer-assisted courses and instructor-
     led courses.
       (c) Objectives.--The objectives of the test are to 
     determine the following:
       (1) The degree to which test preparation assistance 
     degrades test reliability and accuracy.
       (2) The degree to which test preparation assistance allows 
     more accurate testing of skill aptitudes and mental 
     capability.
       (3) The degree to which test preparation assistance allows 
     individuals to achieve higher scores without sacrificing 
     reliability and accuracy.
       (4) What role is recommended for test preparation 
     assistance in military recruiting.
       (d) Control Group.--As part of the test, the Secretary 
     shall identify a population of recruit candidates who will 
     not receive test preparation assistance and will serve as a 
     control group for the test. Data from recruit candidates 
     participating in the test and data from recruit candidates in 
     the control group shall be compared in terms of both (1) test 
     performance, and (2) subsequent duty performance in training 
     and unit settings following entry on active duty.
       (e) Number of Participants.--The Secretary shall provide 
     test preparation assistance to a minimum of 2,000 recruit 
     candidates and shall identify an equal number to be 
     established as the control group population.
       (f) Duration of Test.--The Secretary shall begin the test 
     not later than nine months after the date of the enactment of 
     this Act. The test shall identify participants over a one-
     year period from the start of the test and shall assess duty 
     performance for each participant for 18 months following 
     entry on active duty. The last participant shall be 
     identified, but other participants may not be identified.
       (g) Report on Findings.--Not later than six months after 
     completion of the duty performance assessment of the last 
     identified participant in the test, the Secretary of Defense 
     shall submit to the Committee on Armed Services in the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report

[[Page 7727]]

     providing the findings of the Secretary with respect to each 
     of the objectives specified in subsection (c) and the 
     Secretary's recommendations.

     SEC. 532. NONDISCLOSURE OF SELECTION BOARD PROCEEDINGS.

       (a) Active-Duty Selection Board Proceedings.--
       (1) Extension to all active-duty boards.--Chapter 36 of 
     title 10, United States Code, is amended by inserting after 
     section 613 the following new section:

     ``Sec. 613a. Nondisclosure of board proceedings

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

     ``Sec. 14104. Nondisclosure of board proceedings

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

``14104. Nondisclosure of board proceedings.''.

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

``14104. Nondisclosure of board proceedings.''.

     SEC. 533. REPORT ON EXTENT OF PROVISION OF TIMELY NOTICE OF 
                   LONG-TERM DEPLOYMENTS.

       Not later than March 1, 2007, the Secretary of Defense 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the number of members of the 
     Armed Forces (shown by service and within each service by 
     reserve component and active component) who, since September 
     11, 2001, have not received at least 30 days notice (in the 
     form of an official order) before a deployment that will last 
     180 days or more. With respect to members of the reserve 
     components, the report shall describe the degree of 
     compliance (or noncompliance) with Department of Defense 
     policy concerning the amount of notice to be provided before 
     long-term mobilizations or deployments.

       Subtitle E--Authorities Relating to Guard and Reserve Duty

     SEC. 541. TITLE 10 DEFINITION OF ACTIVE GUARD AND RESERVE 
                   DUTY.

       Section 101 of title 10, United States Code, is amended--
       (1) by adding at the end of subsection (b) the following 
     new paragraph:
       ``(16) The term `Active Guard and Reserve' means a member 
     of a reserve component who is on active duty pursuant to 
     section 12301(d) of this title or, if a member of the Army 
     National Guard or Air National Guard, is on full-time 
     National Guard duty pursuant to section 502(f) of title 32, 
     and who is performing Active Guard and Reserve duty.''; and
       (2) in paragraph (6)(A) of subsection (d)--
       (A) by striking ``or full-time National Guard duty'' after 
     ``means active duty''; and
       (B) by striking ``, pursuant to an order to active duty or 
     full-time National Guard duty'' and inserting ``pursuant to 
     an order to full-time National Guard duty,''.

     SEC. 542. AUTHORITY FOR ACTIVE GUARD AND RESERVE DUTIES TO 
                   INCLUDE SUPPORT OF OPERATIONAL MISSIONS 
                   ASSIGNED TO THE RESERVE COMPONENTS AND 
                   INSTRUCTION AND TRAINING OF ACTIVE-DUTY 
                   PERSONNEL.

       (a) AGR Duty Under Title 10.--Subsections (a) and (b) of 
     section 12310 of title 10, United States Code, are amended to 
     read as follows:
       ``(a) Authority.--(1) The Secretary concerned may order a 
     member of a reserve component under the Secretary's 
     jurisdiction to active duty pursuant to section 12301(d) of 
     this title to perform Active Guard and Reserve duty 
     organizing, administering, recruiting, instructing, or 
     training the reserve components.
       ``(2) A Reserve ordered to active duty under paragraph (1) 
     shall be ordered in the Reserve's reserve grade. While so 
     serving, the Reserve continues to be eligible for promotion 
     as a Reserve, if otherwise qualified.
       ``(b) Duties.--A Reserve on active duty under subsection 
     (a) may perform the following duties in addition to (and not 
     in lieu of) the Reserve's primary Active Guard and Reserve 
     duties described in subsection (a)(1):
       ``(1) Supporting operations or missions assigned in whole 
     or in part to the reserve components.
       ``(2) Supporting operations or missions performed or to be 
     performed by--
       ``(A) a unit composed of elements from more than one 
     component of the same armed force; or
       ``(B) a joint forces unit that includes--
       ``(i) one or more reserve component units; or
       ``(ii) a member of a reserve component whose reserve 
     component assignment is in a position in an element of the 
     joint forces unit.
       ``(3) Advising the Secretary of Defense, the Secretaries of 
     the military departments, the Joint Chiefs of Staff, and the 
     commanders of the unified combatant command regarding reserve 
     component matters.
       ``(4) Instructing or training in the United States or the 
     Commonwealth of Puerto Rico or possessions of the United 
     States of--
       ``(A) active-duty members of the armed forces;
       ``(B) members of foreign military forces (under the same 
     authorities and restrictions applicable to active-duty 
     members providing such instruction or training);
       ``(C) Department of Defense contractor personnel; or
       ``(D) Department of Defense civilian employees.''.
       (b) Military Technicians Under Title 10.--Section 10216(a) 
     of such title is amended--
       (1) in paragraph (1)(C), by striking ``administration and'' 
     and inserting ``organizing, administering, instructing, or''; 
     and
       (2) by adding at the end the following new paragraph:
       ``(3) A military technician (dual status) who is employed 
     under section 3101 of title 5 may perform the following 
     duties in addition to (and not in lieu of) those primary 
     duties described in paragraph (1):
       ``(A) Supporting operations or missions assigned in whole 
     or in part to the technician's unit;
       ``(B) Supporting operations or missions performed or to be 
     performed by--
       ``(i) a unit composed of elements from more than one 
     component of the technician's armed force; or
       ``(ii) a joint forces unit that includes--
       ``(I) one or more units of the technician's component; or
       ``(II) a member of the technician's component whose reserve 
     component assignment is in a position in an element of the 
     joint forces unit.
       ``(C) Instructing or training in the United States or the 
     Commonwealth of Puerto Rico or possessions of the United 
     States of--
       ``(i) active-duty members of the armed forces;
       ``(ii) members of foreign military forces (under the same 
     authorities and restrictions applicable to active-duty 
     members providing such instruction or training);
       ``(iii) Department of Defense contractor personnel; or
       ``(iv) Department of Defense civilian employees.''.
       (c) National Guard Title 32 Training Duty.--Section 502(f) 
     of title 32, United States Code, title is amended--
       (1) by inserting ``(1)'' before ``Under regulations'';
       (2) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively;
       (3) by striking the last sentence and inserting the 
     following:
       ``(2) The training or duty ordered to be performed under 
     paragraph (1) may include the following:
       ``(A) Support of operations or missions undertaken by the 
     member's unit at the request of the President or Secretary of 
     Defense.
       ``(B) Support of training operations and training missions 
     assigned in whole or in part to the National Guard by the 
     Secretary concerned, but only to the extent that such 
     training missions and training operations--
       ``(i) are performed in the territorial limits of the United 
     States, its territories and possessions, the District of 
     Columbia, and the Commonwealth of Puerto Rico; and
       ``(ii) are only to instruct active duty military, foreign 
     military (under the same authorities and restrictions 
     applicable to active duty troops), Department of Defense 
     contractor personnel, or Department of Defense civilian 
     employees.
       ``(3) Duty without pay shall be considered for all purposes 
     as if it were duty with pay.''.
       (d) National Guard Technicians Under Title 32.--Section 
     709(a) of title 32, United States Code, is amended--
       (1) in paragraph (1)--
       (A) by striking ``administration and'' and inserting 
     ``organizing, administering, instructing, or''; and
       (B) by striking ``and'' at the end of such paragraph;
       (2) by striking the period at the end of paragraph (2) and 
     inserting ``; and''; and
       (3) by adding at the end the following new paragraph:
       ``(3) the performance of the following duties in addition 
     to (and not in lieu of) those duties described by paragraphs 
     (1) and (2):
       ``(A) Support of operations or missions undertaken by the 
     technician's unit at the request of the President or the 
     Secretary of Defense.

[[Page 7728]]

       ``(B) Support of Federal training operations or Federal 
     training missions assigned in whole or in part to the 
     technician's unit.
       ``(C) Instructing or training in the United States or the 
     Commonwealth of Puerto Rico or possessions of the United 
     States of--
       ``(i) active-duty members of the armed forces;
       ``(ii) members of foreign military forces (under the same 
     authorities and restrictions applicable to active-duty 
     members providing such instruction or training);
       ``(iii) Department of Defense contractor personnel; or
       ``(iv) Department of Defense civilian employees.''.
       (e) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

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

     SEC. 543. GOVERNOR'S AUTHORITY TO ORDER MEMBERS TO ACTIVE 
                   GUARD AND RESERVE DUTY.

       (a) In General.--Chapter 3 of title 32, United States Code, 
     is amended by adding at the end the following new section:

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

       ``(a) Authority.--The Governor of a State or the 
     Commonwealth of Puerto Rico, Guam, or the Virgin Islands, or 
     the commanding general of the District of Columbia National 
     Guard, as the case may be, with the consent of the Secretary 
     concerned, may order a member of the National Guard to 
     perform Active Guard and Reserve duty, as defined by section 
     101(d)(6) of title 10, pursuant to section 502(f) of this 
     title.
       ``(b) Duties.--A member of the National Guard performing 
     duty under subsection (a) may perform the following duties in 
     addition to (and not in lieu of) that member's primary Active 
     Guard and Reserve duties of organizing, administering, 
     recruiting, instructing, and training the reserve components:
       ``(1) Support of operations or missions undertaken by the 
     member's unit at the request of the President or the 
     Secretary of Defense.
       ``(2) Support of training operations and training missions 
     assigned in whole or in part by the Secretary concerned to 
     the National Guard, but only to the extent that such training 
     operation and training missions--
       ``(A) are performed in the territorial limits of the United 
     States, its territories and possessions, and the Commonwealth 
     of Puerto Rico; and
       ``(B) are only to instruct--
       ``(i) active-duty members of the armed forces;
       ``(ii) members of foreign military forces (under the same 
     authorities and restrictions applicable to active-duty 
     members providing such instruction or training);
       ``(iii) Department of Defense contractor personnel; or
       ``(iv) Department of Defense civilian employees.''.

     SEC. 544. NATIONAL GUARD OFFICERS AUTHORITY TO COMMAND.

       Section 325 of title 32, United States Code, is amended--
       (1) in subsection (a)(2), by striking ``in command of a 
     National Guard unit'';
       (2) by redesignating subsection (b) as subsection (c); and
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Advance Authorization and Consent.--The President and 
     Governor of the State or Commonwealth of Puerto Rico, Guam, 
     or the Virgin Islands, or the commanding general of the 
     District of Columbia National Guard, as the case may be, 
     respectively, may give the authorization and consent required 
     by subsection (a)(2), in advance, for the purpose of 
     establishing the succession of command of a unit.''; and
       (4) by adding at the end the following new subsection:
       ``(d) National Guard Duties.--An officer who is not 
     relieved from duty in the National Guard while serving on 
     active duty pursuant to subsection (a)(2) may perform any 
     duty authorized to be performed by the laws of that officer's 
     State or the laws of the Commonwealth of Puerto Rico, Guam, 
     the Virgin Islands, or the District of Columbia, as the case 
     may be, to be performed by the National Guard without regard 
     to the limitations imposed by section 1385 of title 18.''.

     SEC. 545. EXPANSION OF OPERATIONS OF CIVIL SUPPORT TEAMS.

       (a) In General.--Section 12310(c) of title 10, United 
     States Code, is amended--
       (1) in paragraph (1)--
       (A) by striking ``involving--'' and inserting ``involving 
     any of the following:''; and
       (B) by striking subparagraphs (A) and (B) and inserting the 
     following:
       ``(A) The use or threatened use of a weapon of mass 
     destruction (as defined in section 12304(i)(2) of this title) 
     in the United States.
       ``(B) A terrorist attack or threatened terrorist attack in 
     the United States that results, or could result, in 
     catastrophic loss of life or property.
       ``(C) The intentional or unintentional release of nuclear, 
     biological, radiological, or toxic or poisonous chemical 
     materials in the United States that results, or could result, 
     in catastrophic loss of life or property.
       ``(D) A natural or manmade disaster in the United States 
     that results in, or could result in, catastrophic loss of 
     life or property.'';
       (2) by amending paragraph (3) to read as follows:
       ``(3) A Reserve may perform duty described in paragraph (1) 
     only while assigned to a reserve component weapons of mass 
     destruction civil support team.''; and
       (3) by adding at the end the following new paragraph:
       ``(7) In this subsection, the term `United States' includes 
     the Commonwealth of Puerto Rico, Guam, and the Virgin 
     Islands.''.
       (b) Technical and Conforming Amendments.--Such section is 
     further amended--
       (1) by striking the subsection heading and inserting 
     ``Operations Relating to Defense Against Weapons of Mass 
     Destruction and Terrorist Attacks.--'';
       (2) in paragraph (5), by striking ``rapid assessment 
     element team'' and inserting ``weapons of mass destruction 
     civil support team''; and
       (3) in paragraph (6)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``paragraph (3)'' and inserting ``paragraphs (1) and (3)''; 
     and
       (B) in subparagraph (B), by striking ``paragraph (3)(B)'' 
     and inserting ``paragraph (3)''.

                   Subtitle F--Decorations and Awards

     SEC. 551. AUTHORITY FOR PRESENTATION OF MEDAL OF HONOR FLAG 
                   TO LIVING MEDAL OF HONOR RECIPIENTS AND TO 
                   LIVING PRIMARY NEXT-OF-KIN OF DECEASED MEDAL OF 
                   HONOR RECIPIENTS.

       (a) Army.--Section 3755 of title 10, United States Code, is 
     amended--
       (1) by striking ``after October 23, 2002''; and
       (2) by adding at the end the following new sentence: ``In 
     the case of a posthumous presentation of the medal, the flag 
     shall be presented to the person to whom the medal is 
     presented''.
       (b) Navy.--Section 6257 of such title is amended--
       (1) by striking ``after October 23, 2002''; and
       (2) by adding at the end the following new sentence: ``In 
     the case of a posthumous presentation of the medal, the flag 
     shall be presented to the person to whom the medal is 
     presented''.
       (c) Air Force.--Section 8755 of such title is amended--
       (1) by striking ``after October 23, 2002''; and
       (2) by adding at the end the following new sentence: ``In 
     the case of a posthumous presentation of the medal, the flag 
     shall be presented to the person to whom the medal is 
     presented''.
       (d) Coast Guard.--Section 505 of title 14, United States 
     Code, is amended--
       (1) by striking ``after October 23, 2002''; and
       (2) by adding at the end the following new sentence: ``In 
     the case of a posthumous presentation of the medal, the flag 
     shall be presented to the person to whom the medal is 
     presented''.
       (e) Presentation of Flag for Prior Recipients of Medal of 
     Honor.--
       (1) Living recipients.--The President shall provide for the 
     presentation of the Medal of Honor Flag as expeditiously as 
     possible after the date of the enactment of this Act to each 
     living recipient of the Medal of Honor who was awarded the 
     Medal of Honor before that date.
       (2) Survivors of deceased recipients.--The President shall 
     provide for posthumous presentation of the Medal of Honor 
     Flag, upon written application therefor, to the primary next 
     of kin of any recipient of the Medal of Honor who was awarded 
     the Medal of Honor before the date of the enactment of this 
     Act and who is deceased as of such date (or who dies after 
     such date and before the presentation required by paragraph 
     (1)). For purposes of this paragraph, the primary next-of-kin 
     is the person who would be entitled to receive the award of 
     the Medal of Honor for such deceased individual if the award 
     were being made posthumously at the time of the presentation 
     of the Medal of Honor Flag.
       (3) Medal of honor flag.--In this subsection, the term 
     ``Medal of Honor Flag'' means the flag designated under 
     section 903 of title 36, United States Code.

     SEC. 552. COLD WAR VICTORY MEDAL.

       (a) Authority.--Chapter 57 of title 10, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 1135. Cold War Victory Medal

       ``(a) Medal Authorized.--The Secretary concerned shall 
     issue a service medal, to be known as the `Cold War Victory 
     Medal', to persons eligible to receive the medal under 
     subsection (b). The Cold War Victory Medal shall be of an 
     appropriate design approved by the Secretary of Defense, with 
     ribbons, lapel pins, and other appurtenances.
       ``(b) Eligible Persons.--The following persons are eligible 
     to receive the Cold War Victory Medal:
       ``(1) A person who--
       ``(A) performed active duty or inactive duty training as an 
     enlisted member during the Cold War;
       ``(B) completed the person's initial term of enlistment or, 
     if discharged before completion of such initial term of 
     enlistment, was honorably discharged after completion of not 
     less than 180 days of service on active duty; and
       ``(C) has not received a discharge less favorable than an 
     honorable discharge or a release from active duty with a 
     characterization of service less favorable than honorable.
       ``(2) A person who--
       ``(A) performed active duty or inactive duty training as a 
     commissioned officer or warrant officer during the Cold War;
       ``(B) completed the person's initial service obligation as 
     an officer or, if discharged or separated before completion 
     of such initial service obligation, was honorably discharged 
     after completion of not less than 180 days of service on 
     active duty; and
       ``(C) has not been released from active duty with a 
     characterization of service less favorable than honorable and 
     has not received a discharge or separation less favorable 
     than an honorable discharge.
       ``(c) One Award Authorized.--Not more than one Cold War 
     Victory Medal may be issued to any person.

[[Page 7729]]

       ``(d) Issuance to Representative of Deceased.--If a person 
     described in subsection (b) dies before being issued the Cold 
     War Victory Medal, the medal shall be issued to the person's 
     representative, as designated by the Secretary concerned.
       ``(e) Replacement.--Under regulations prescribed by the 
     Secretary concerned, a Cold War Victory Medal that is lost, 
     destroyed, or rendered unfit for use without fault or neglect 
     on the part of the person to whom it was issued may be 
     replaced without charge.
       ``(f) Application for Medal.--The Cold War Victory Medal 
     shall be issued upon receipt by the Secretary concerned of an 
     application for such medal, submitted in accordance with such 
     regulations as the Secretary prescribes.
       ``(g) Uniform Regulations.--The Secretary of Defense shall 
     ensure that regulations prescribed by the Secretaries of the 
     military departments under this section are uniform so far as 
     is practicable.
       ``(h) Definition.--In this section, the term `Cold War' 
     means the period beginning on September 2, 1945, and ending 
     at the end of December 26, 1991.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1135. Cold War Victory Medal.''.

     SEC. 553. POSTHUMOUS AWARD OF PURPLE HEART FOR PRISONERS OF 
                   WAR WHO DIE IN OR DUE TO CAPTIVITY.

       (a) Deceased POWs Not Otherwise Eligible for Purple 
     Heart.--Chapter 57 of title 10, United States Code, is 
     amended by adding after section 1135, as added by section 
     552(a), the following new section:

     ``Sec. 1136. Purple Heart: posthumous award for prisoners of 
       war or former prisoners of war dying in or due to captivity

       ``(a) For purposes of the award of the Purple Heart, the 
     Secretary concerned shall treat a death described in 
     subsection (b) in the same manner as the death of a member of 
     the armed forces in action as the result of an act of an 
     enemy of the United States.
       ``(b) A death described in this subsection is either of the 
     following:
       ``(1) The death of a member of the armed forces who dies in 
     captivity under circumstances establishing eligibility for 
     the prisoner-of-war medal under section 1128 of this title 
     but under circumstances not otherwise establishing 
     eligibility for the Purple Heart.
       ``(2) The death of a member or former member of the armed 
     forces who following captivity as a prisoner of war is issued 
     the prisoner-of-war medal under section 1128 of this title 
     and who dies due to a disease or disability that was incurred 
     during that captivity, unless the member or former member 
     received a Purple Heart due to the injury or conditions 
     resulting in that disease or disability.
       ``(c) The Secretary of Defense shall prescribe regulations 
     for determining eligibility for the Purple Heart under this 
     section. Such regulations shall include criteria for the 
     determination under paragraph (2) of subsection (b) of 
     whether a death is due to a disease or disability incurred 
     while a prisoner of war.
       ``(d) This section applies to any member of the armed 
     forces who is held as a prisoner of war after December 7, 
     1941. ''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding after the item 
     relating to section 1135, as added by section 552(b), the 
     following new item:

``1136. Purple Heart: posthumous award for prisoners of war or former 
              prisoners of war dying in or due to captivity.''.

       (c) Retroactive Awards.--In the case of a member or former 
     member of the Armed Forces covered by section 1135 of title 
     10, United States Code, whose death is before the date of the 
     enactment of this Act, the Secretary concerned shall award 
     the Purple Heart under that section upon receipt of an 
     application that is made to the Secretary in such manner, and 
     containing such information, as the Secretary requires.

     SEC. 554. ADVANCEMENT ON THE RETIRED LIST OF CERTAIN 
                   DECORATED RETIRED NAVY AND MARINE CORPS 
                   OFFICERS.

       (a) Advancement on Retired List.--The Secretary of the Navy 
     shall, upon receipt of a qualifying application, advance on 
     the retired list of the Navy or Marine Corps, as applicable, 
     any retired officer of the Navy or Marine Corps described in 
     subsection (b). Each such officer shall be advanced to the 
     next higher grade above the officer's retired grade as of the 
     day before the date of the enactment of this Act.
       (b) Covered Officers.--Subsection (a) applies to any 
     retired officer of the Navy or Marine Corps--
       (1) who was eligible to retire before November 1, 1959, but 
     who retired on or after that date; and
       (2) who, under the provisions of law in effect before 
     November 1, 1959, would have been eligible, by reason of 
     having been specifically commended for performance of duty in 
     actual combat, to have been retired in the next higher grade 
     if the officer had retired before that date.
       (c) Qualifying Application.--A qualifying application is an 
     application from an officer described in subsection (b) or, 
     in the case of a deceased officer, the surviving spouse or 
     another immediate family member (as determined by the 
     Secretary) of the officer, that--
       (1) requests advancement on the retired list under this 
     section; and
       (2) provides such information as the Secretary may require.
       (d) Effect of Advancement on Retired List.--The advancement 
     of an officer on the retired list pursuant to subsection (a) 
     shall not affect--
       (1) in the case of a retired office who is living as of the 
     date of the enactment of this Act, the retired pay or other 
     benefits of the officer or the grade in which the officer 
     could be ordered or recalled to active duty; and
       (2) any benefit to which any other person is or may become 
     entitled based upon the officer's service.

     SEC. 555. REPORT ON DEPARTMENT OF DEFENSE PROCESS FOR 
                   AWARDING DECORATIONS.

       (a) Review.-- The Secretary of Defense shall conduct a 
     review of the policy, procedures, and processes of the 
     military departments for awarding decorations to members of 
     the Armed Forces.
       (b) Time Periods.--As part of the review, the Secretary 
     shall determine how long the award process takes--
       (1) from the time a recommendation for the award of a 
     decoration is submitted until the time the award of the 
     decoration is approved; and
       (2) from the time award of a decoration is approved until 
     the time when the decoration is presented to the recipient.
       (c) Reserve Components.--In conducting the review, the 
     Secretary shall ensure that the timeliness of the awards 
     process for members of the reserve components is the same or 
     similar as that for members of the active components.
       (d) Report.--Not later than 90 days after the date of the 
     enactment of this Act, the Secretary shall submit to the 
     Committee on Armed Services of the Senate and the Committee 
     on Armed Services of the House of Representatives a report 
     containing the Secretary's findings as a result of the review 
     under subsection (a), together with a plan for implementing 
     whatever changes are determined to be appropriate to the 
     process for awarding decorations in order to ensure that 
     decorations are awarded in a timely manner, to the extent 
     practicable.

               Subtitle G--Matters Relating to Casualties

     SEC. 561. CRITERIA FOR REMOVAL OF MEMBER FROM TEMPORARY 
                   DISABILITY RETIRED LIST.

       (a) Criteria.--Section 1210(e) of title 10, United States 
     Code, is amended by inserting ``of a permanent nature and 
     stable and is'' after ``physical disability''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to any case received for consideration by a 
     physical evaluation board after the date of the enactment of 
     this Act.

     SEC. 562. DEPARTMENT OF DEFENSE COMPUTER/ELECTRONIC 
                   ACCOMMODATIONS PROGRAM FOR SEVERELY WOUNDED 
                   MEMBERS.

       (a) In General.--Chapter 58 of title 10, United States 
     Code, is amended by inserting after section 1150 the 
     following new section:

     ``Sec. 1151. Severely wounded members: assistive technology 
       and services

       ``(a) Authority.--The Secretary of Defense may provide 
     assistive technology, assistive technology devices, and 
     assistive technology services, as those terms are defined in 
     section 3 of the Assistive Technology Act of 1998 (29 U.S.C. 
     3002), to a member of the armed forces who has sustained a 
     severe or debilitating illness or injury while serving in 
     support of a contingency operation.
       ``(b) Duration and Provision of Technology and Services.--
     The Secretary may provide technology and services authorized 
     by subsection (a) for an indefinite period, without regard to 
     whether the person assisted continues to be a member of the 
     armed forces.
       ``(c) Authority to Allow Retention of Devices, etc.--Upon 
     the separation from active service of a member who has been 
     provided assistance as specified in subsection (a), the 
     Secretary may allow the member to retain any assistive 
     technology, device, or service provided to the member before 
     the member's separation.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 1150 the following new item:

``1151. Severely wounded members: assistive technology and services.''.

     SEC. 563. TRANSPORTATION OF REMAINS OF CASUALTIES DYING IN A 
                   THEATER OF COMBAT OPERATIONS.

       (a) In General.--The Secretary concerned shall provide 
     transportation of the remains of a member of the Armed Forces 
     who dies in a combat theater of operations and whose remains 
     are returned to the United States through the mortuary 
     facility at Dover Air Force Base, Delaware, in accordance 
     with section 1482(a)(8) of title 10, United States Code, and 
     this section.
       (b) Escort.--The Secretary concerned shall ensure that such 
     remains are escorted under that section at all times by at 
     least one person, who shall be a member of the Armed Forces 
     of appropriate grade.
       (c) Air Transportation From Dover AFB.--
       (1) Use of military aircraft.--If transportation of remains 
     described in subsection (a) from Dover Air Force Base to the 
     escorted remains destination includes transportation by 
     aircraft, such transportation by aircraft (unless otherwise 
     directed by the next-of-kin) shall be made by military 
     aircraft or military-contracted aircraft to the military 
     airfield that is closest to the escorted remains destination. 
     In the case of any such flight, the exclusive mission of the 
     flight shall be the transportation of those remains.

[[Page 7730]]

       (2) Escorted remains destination.--In this subsection, the 
     term ``escorted remains destination'' means the place to 
     which remains are to be transported pursuant to section 
     1482(a)(8) of title 10, United States Code.
       (d) Honor Guard Escort.--In a case of the transportation of 
     remains covered by subsection (a), there shall be a military 
     escort (in addition to the escort under subsection (b)) that 
     either travels with the remains from Dover Air Force Base or 
     meets the remains at the place to which transportation by air 
     (or by rail or motor vehicle, if applicable) is made. Such 
     escort shall be of sufficient number to transfer the casket 
     containing the remains from the aircraft (or other means of 
     transportation to that place) to a hearse for local 
     transportation. Such escort shall remain with the remains 
     until the remains are delivered to the next-of-kin. Such 
     escort shall consist of members of the Armed Forces on active 
     duty or in the Ready Reserve.

     SEC. 564. ANNUAL BUDGET DISPLAY OF FUNDS FOR POW/MIA 
                   ACTIVITIES OF DEPARTMENT OF DEFENSE.

       (a) Consolidated Budget Justification.--Chapter 9 of title 
     10, United States Code, is amended by adding at the end the 
     following new section:

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

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

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

   Subtitle H--Assistance to Local Educational Agencies for Defense 
                          Dependents Education

     SEC. 571. CONTINUATION OF AUTHORITY TO ASSIST LOCAL 
                   EDUCATIONAL AGENCIES THAT BENEFIT DEPENDENTS OF 
                   MEMBERS OF THE ARMED FORCES AND DEPARTMENT OF 
                   DEFENSE CIVILIAN EMPLOYEES.

       (a) Assistance to Schools With Significant Numbers of 
     Military Dependent Students.--Of the amount authorized to be 
     appropriated pursuant to section 301(5) for operation and 
     maintenance for Defense-wide activities, $50,000,000 shall be 
     available only for the purpose of providing assistance to 
     local educational agencies under subsection (a) of section 
     572 of the National Defense Authorization Act for Fiscal Year 
     2006 (Public Law 109-163; 119 Stat. 3271; 20 U.S.C. 7703b).
       (b) Assistance to Schools With Enrollment Changes Due to 
     Base Closures, Force Structure Changes, or Force 
     Relocations.--Of the amount authorized to be appropriated 
     pursuant to section 301(5) for operation and maintenance for 
     Defense-wide activities, $15,000,000 shall be available only 
     for the purpose of providing assistance to local educational 
     agencies under subsection (b) of such section 572.
       (c) Local Educational Agency Defined.--In this section, the 
     term ``local educational agency'' has the meaning given that 
     term in section 8013(9) of the Elementary and Secondary 
     Education Act of 1965 (20 U.S.C. 7713(9)).

     SEC. 572. ENROLLMENT IN DEFENSE DEPENDENTS' EDUCATION SYSTEM 
                   OF DEPENDENTS OF FOREIGN MILITARY MEMBERS 
                   ASSIGNED TO SUPREME HEADQUARTERS ALLIED POWERS, 
                   EUROPE.

       Section 1404A of the Defense Dependents' Education Act of 
     1978 (20 U.S.C. 923a) is amended--
       (1) in subsection (a)--
       (A) by striking ``of the children'' and inserting ``of--
       ``(1) the children'';
       (B) by striking the period at the end and inserting ``; 
     and''; and
       (C) by adding at the end the following new paragraph:
       ``(2) the children of a foreign military member assigned to 
     the Supreme Headquarters Allied Powers, Europe, but only in a 
     school of the defense dependents' education system in Mons, 
     Belgium.''; and
       (2) by adding at the end the following new subsection:
       ``(c) Special Rules Regarding Enrollment of Dependents of 
     Foreign Military Members Assigned to Supreme Headquarters 
     Allied Powers, Europe.--(1) In the regulations required by 
     subsection (a), the Secretary shall prescribe a methodology 
     based on the estimated total number of dependents of sponsors 
     under section 1414(2) enrolled in schools of the defense 
     dependents' education system in Mons, Belgium, to determine 
     the number of children described in paragraph (2) of 
     subsection (a) who will be authorized to enroll under such 
     subsection.
       ``(2) If the number of children described in paragraph (2) 
     of subsection (a) who seek enrollment in schools of the 
     defense dependents' education system in Mons, Belgium, 
     exceeds the number authorized by the Secretary under 
     paragraph (1), the Secretary may enroll the additional 
     children on a space-available, tuition-free basis 
     notwithstanding section 1404(d)(2).''.

                      Subtitle I--Postal Benefits

     SEC. 575. POSTAL BENEFITS PROGRAM FOR MEMBERS OF THE ARMED 
                   FORCES.

       (a) In General.--The Secretary of Defense, in consultation 
     with the United States Postal Service, shall provide for a 
     program under which postal benefits shall be provided to 
     qualified individuals in accordance with this subtitle.
       (b) Qualified Individual.--For purposes of this subtitle, 
     the term ``qualified individual'' means an individual--
       (1) who is a member of the Armed Forces on active duty (as 
     defined in section 101 of title 10, United States Code); and
       (2) who is--
       (A) serving in Iraq or Afghanistan; or
       (B) hospitalized at a facility under the jurisdiction of 
     the Armed Forces as a result of a disease or injury incurred 
     as a result of service in Iraq or Afghanistan.
       (c) Postal Benefits Described.--
       (1) In general.--The postal benefits provided under this 
     subtitle shall consist of such coupons or other similar 
     evidence of credit (whether in printed, electronic, or other 
     format, and hereinafter in this subtitle referred to as 
     ``vouchers'') as the Secretary of Defense (in consultation 
     with the Postal Service) shall determine, entitling the 
     bearer or user to make qualified mailings free of postage.
       (2) Qualified mailing.--For purposes of this subtitle, the 
     term ``qualified mailing'' means the mailing of any mail 
     matter which--
       (A) is described in subparagraph (A), (B), (C), or (D) of 
     paragraph (3);
       (B) is sent from within an area served by a United States 
     post office; and
       (C) is addressed to a qualified individual.
       (3) Mail matter described.--The mail matter described in 
     this paragraph is--
       (A) any letter mail not exceeding 13 ounces in weight and 
     having the character of personal correspondence;
       (B) any sound- or video-recorded communications not 
     exceeding 15 pounds in weight and having the character of 
     personal correspondence;
       (C) any ground parcel not exceeding 15 pounds in weight; 
     and
       (D) any bound printed matter not exceeding 15 pounds in 
     weight.
       (4) Limitations.--
       (A) Number.--An individual shall be eligible for one 
     voucher for each month in which such individual is a 
     qualified individual.
       (B) Use.--Any such voucher may not be used--
       (i) for more than a single qualified mailing; or
       (ii) after the earlier of--

       (I) the expiration date of such voucher, as designated by 
     the Secretary of Defense; or
       (II) the last day of the one-year period referred to in 
     section 577.

       (5) Coordination rule.--Postal benefits under this subtitle 
     shall be in addition to, and not in lieu of, any reduced 
     rates of postage or other similar benefits which might 
     otherwise be available by or under law, including any rates 
     of postage resulting from the application of section 3401(b) 
     of title 39, United States Code.
       (d) Regulations.--Not later than 30 days after the date of 
     the enactment of this Act, the Secretary of Defense (in 
     consultation with the Postal Service) shall prescribe any 
     regulations necessary to carry out this subtitle, including--
       (1) procedures by which vouchers will be provided or made 
     available (including measures to allow vouchers to reach, in 
     a timely manner, the

[[Page 7731]]

     persons selected by qualified individuals to use the 
     vouchers); and
       (2) procedures to ensure that the number of vouchers 
     provided or made available with respect to any qualified 
     individual complies with subsection (c)(4)(A).

     SEC. 576. FUNDING.

       (a) In General.--Funding for the expenses incurred by the 
     Department of Defense for any fiscal year in providing postal 
     benefits under this subtitle shall be paid out of funds 
     authorized to be appropriated for that fiscal year for a 
     contingent emergency reserve fund or as an emergency 
     supplemental appropriations.
       (b) Transfers to Postal Service.--
       (1) Based on estimates.--The Secretary of Defense shall 
     transfer to the Postal Service, out of any amount so 
     appropriated and in advance of each calendar quarter during 
     which postal benefits under this subtitle may be used, an 
     amount equal to the amount of postal benefits that the 
     Secretary of Defense estimates will be used during such 
     quarter, reduced or increased (as the case may be) by any 
     amounts by which the Secretary finds that a determination 
     under this subtitle for a prior quarter was greater than or 
     less than the amount finally determined for such quarter.
       (2) Based on final determination.--A final determination of 
     the amount necessary to correct any previous determination 
     under this section, and any transfer of amounts between the 
     Postal Service and the Department of Defense based on that 
     final determination, shall be made not later than six months 
     after the end of the one-year period referred to in section 
     577.
       (c) Consultation Required.--All estimates and 
     determinations under this section of the amount of postal 
     benefits under this subtitle used in any period shall be made 
     by the Secretary of Defense in consultation with the Postal 
     Service.

     SEC. 577. DURATION.

       The postal benefits under this subtitle shall apply with 
     respect to mail matter sent during the one-year period 
     beginning on the date on which the regulations under section 
     575(d) take effect.

                       Subtitle J--Other Matters

     SEC. 581. REDUCTION IN DEPARTMENT OF DEFENSE ACCRUAL 
                   CONTRIBUTIONS TO DEPARTMENT OF DEFENSE MILITARY 
                   RETIREMENT FUND.

       (a) Determination of Contributions to the Fund.--
       (1) Calculation of annual department of defense 
     contribution.--Subsection (b)(1) of section 1465 of title 10, 
     United States Code, is amended--
       (A) in subparagraph (A)(ii), by striking ``to members of '' 
     and all that follows and inserting ``for active duty (other 
     than the Coast Guard) and for full-time National Guard duty 
     (other than full-time National Guard duty for training only), 
     but excluding any duty that would be excluded for active-duty 
     end strength purposes by section 115(i) of this title.''; and
       (B) in subparagraph (B)(ii)--
       (i) by striking ``Ready Reserve'' and inserting ``Selected 
     Reserve''; and
       (ii) by striking ``Coast Guard and other than members on 
     full-time National Guard duty other than for training) who 
     are'' and inserting ``Coast Guard) for service''.
       (2) Quadrennial actuarial valuation.--Subsection (c)(1) of 
     such section is amended --
       (A) in subparagraph (A), by striking ``for members of the 
     armed forces'' and all that follows through ``for training 
     only)'' and inserting ``for active duty (other than the Coast 
     Guard) and for full-time National Guard duty (other than 
     full-time National Guard duty for training only), but 
     excluding any duty that would be excluded for active-duty end 
     strength purposes by section 115(i) of this title''; and
       (B) in subparagraph (B)--
       (i) by striking ``Ready Reserve'' and inserting ``Selected 
     Reserve''; and
       (ii) by striking ``Coast Guard and other than members on 
     full-time National Guard duty other than for training) who 
     are'' and inserting ``Coast Guard) for service''.
       (b) Payments Into the Fund.--Section 1466(a) of such title 
     is amended--
       (1) in paragraph (1)(B), by striking ``by members'' and all 
     that follows and inserting ``for active duty (other than the 
     Coast Guard) and for full-time National Guard duty (other 
     than full-time National Guard duty for training only), but 
     excluding any duty that would be excluded for active-duty end 
     strength purposes by section 115(i) of this title''; and
       (2) in paragraph (2)(B)--
       (A) by striking ``Ready'' and inserting ``Selected''; and
       (B) by striking ``Coast Guard and other than members on 
     full-time National Guard duty other than for training) who 
     are'' and inserting ``Coast Guard) for service''.

     SEC. 582. DENTAL CORPS OF THE BUREAU OF MEDICINE AND SURGERY.

       (a) Deletion of References to Dental Division.--Section 
     5138 of title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) by striking the first sentence; and
       (B) by striking ``Dental Division'' and inserting ``Dental 
     Corps'' in the second sentence;
       (2) in subsection (b), by striking ``Dental Division'' and 
     inserting ``Dental Corps'';
       (3) in subsection (c)--
       (A) by striking ``so'' in the first sentence;
       (B) by striking ``, that all such'' in the first sentence 
     and all that follows through ``Dental Division''; and
       (C) by striking the second sentence.; and
       (b) Functions of Chief of Dental Corps.--Subsection (d) of 
     such section is amended to read as follows:
       ``(d) The Chief of the Dental Corps shall serve as the 
     advisor to the Surgeon General on all matters relating 
     directly to dentistry, including professional standards and 
     policies for dental practice.''.
       (c) Clerical Amendments.--
       (1) The heading of such section is amended to read as 
     follows:

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

       (2) The item relating to section 5138 in the table of 
     sections at the beginning of chapter 513 of such title is 
     amended to read as follows:

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

     SEC. 583. PERMANENT AUTHORITY FOR PRESENTATION OF RECOGNITION 
                   ITEMS FOR RECRUITMENT AND RETENTION PURPOSES.

       Section 2261 of title 10, United States Code, is amended by 
     striking subsection (d).

     SEC. 584. REPORT ON FEASIBILITY OF ESTABLISHMENT OF MILITARY 
                   ENTRANCE PROCESSING COMMAND STATION ON GUAM.

       (a) Review.--The Secretary of Defense shall review the 
     feasibility and cost effectiveness of establishing on Guam a 
     station of the Military Entrance Processing Command to 
     process new recruits for the Armed Forces who are drawn from 
     the western Pacific region. For the purposes of the review, 
     the cost effectiveness of establishing such a facility on 
     Guam shall be measured, in part, against the system in effect 
     in early 2006 of using Hawaii and other locations for the 
     processing of new recruits from Guam and other locations in 
     the western Pacific region.
       (b) Report.--Not later than June 1, 2007, the Secretary 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report providing the results of the study 
     under subsection (a).

     SEC. 585. PERSONS AUTHORIZED TO ADMINISTER ENLISTMENT AND 
                   APPOINTMENT OATHS.

       (a) Enlistment Oath.--Section 502 of title 10, United 
     States Code, is amended--
       (1) by inserting ``(a) Enlistment Oath.--'' before ``Each 
     person enlisting'';
       (2) by striking the last sentence; and
       (3) by adding at the end the following:
       ``(b) Who May Administer.--The oath may be taken before the 
     President, the Vice-President, the Secretary of Defense, any 
     commissioned officer, or any other person designated under 
     regulations prescribed by the Secretary of Defense.''.
       (b) Oaths Generally.--Section 1031 of such title is amended 
     by striking ``Any commissioned officer of any component of an 
     armed force, whether or not on active duty, may administer 
     any oath'' and inserting ``The President, the Vice-President, 
     the Secretary of Defense, any commissioned officer, and any 
     other person designated under regulations prescribed by the 
     Secretary of Defense may administer any oath''.

     SEC. 586. REPEAL OF REQUIREMENT FOR PERIODIC DEPARTMENT OF 
                   DEFENSE INSPECTOR GENERAL ASSESSMENTS OF VOTING 
                   ASSISTANCE COMPLIANCE AT MILITARY 
                   INSTALLATIONS.

       (a) Repeal of Duplicative Assessment Requirement.--Section 
     1566 of title 10, United States Code, is amended by striking 
     subsection (d).
       (b) Repeal of Expired Provision.--Subsection (g)(2) of such 
     section is amended by striking the last sentence.

     SEC. 587. PHYSICAL EVALUATION BOARDS.

       (a) In General.--
       (1) Procedural requirements.--Chapter 61 of title 10, 
     United States Code, is amended by adding at the end the 
     following new section:

     ``Sec. 1222. Physical evaluation boards

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

[[Page 7732]]

     operated by each of the Secretaries of the military 
     departments with regard to--
       ``(A) assignment and training of staff;
       ``(B) operating procedures; and
       ``(C) consistency and timeliness of board decisions.
       ``(2) The Secretary shall assess compliance with standards 
     and guidelines prescribed under paragraph (1) by each 
     physical evaluation board at least once every three years.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``1222.  Physical evaluation boards.''.

       (b) Effective Date.--Section 1222 of title 10, United 
     States Code, as added by subsection (a), shall apply with 
     respect to decisions rendered on cases commenced more than 
     120 days after the date of the enactment of this Act.

     SEC. 588. DEPARTMENT OF LABOR TRANSITIONAL ASSISTANCE 
                   PROGRAM.

       (a) Required Participation for Certain Members.--Subsection 
     (c) of section 1144 of title 10, United States Code, is 
     amended to read as follows:
       ``(c) Participation.--(1) Except as provided in paragraph 
     (2), the Secretary of Defense shall require participation by 
     members of the armed forces eligible for assistance under the 
     program carried out under this section.
       ``(2) The Secretary of Defense need not require, but shall 
     encourage and otherwise promote, participation in the program 
     by the following members described in paragraph (1):
       ``(A) A member who has previously participated in the 
     program.
       ``(B) A member who, upon discharge or release from active 
     duty, is returning to--
       ``(i) a position of employment; or
       ``(ii) pursuit of an academic degree or other educational 
     or occupational training objective that the members was 
     pursuing when called or ordered to such active duty.
       ``(3) Members of the armed forces eligible for assistance 
     under this section include--
       ``(A) members of the reserve components being separated 
     from service on active duty for a period of more than 30 
     days; and
       ``(B) members of the National Guard being separated from 
     full-time National Guard duty.
       ``(4) The Secretary concerned shall ensure that commanders 
     of members who are required to be provided assistance under 
     this section authorize the members to be provided such 
     assistance during duty time.''.
       (b) Required Updating of Materials.--Such section is 
     further amended by adding at the end the following new 
     subsection:
       ``(e) Updating of Materials.--The Secretary concerned 
     shall, on a continuing basis, update the content of the 
     materials used by the National Veterans Training Institute of 
     the Department of Labor and the Secretary's other materials 
     that provide direct training support to personnel who carry 
     out the program established in this section.''.

     SEC. 589. REVISION IN GOVERNMENT CONTRIBUTIONS TO MEDICARE-
                   ELIGIBLE RETIREE HEALTH CARE FUND.

       (a) Medicare Eligible Retiree Health Care Fund.--Section 
     1111 of title 10, United States Code, is amended--
       (1) in subsection (a), by striking ``of the Department of 
     Defense'';
       (2) in subsection (b), by adding at the end of the 
     following new paragraph:
       ``(5) The term `members of the uniformed services on active 
     duty' does not include a cadet at the United States Military 
     Academy, the United States Air Force Academy, or the Coast 
     Guard Academy or a midshipman at the United States Naval 
     Academy.''; and
       (3) in the last sentence of subsection (c)--
       (A) by striking ``Secretary of Defense'' and inserting 
     ``Secretary of the Treasury''; and
       (B) by striking ``section 1116(a)'' and inserting ``section 
     1116 of this title''.
       (b) Determination of Contributions to the Fund.--Section 
     1115 of such title is amended--
       (1) in the last sentence of subsection (a)--
       (A) by inserting ``by the Secretary of the Treasury'' after 
     ``Contributions to the Fund''; and
       (B) by striking ``section 1116(c)'' and inserting ``section 
     1116(a)(1)''.
       (2) in subsection (b)--
       (A) in the matter preceding paragraph (1), by striking the 
     first sentence and inserting the following: ``The Secretary 
     of the Treasury, based on data provided by the Secretary of 
     Defense, shall determine, before the beginning of each fiscal 
     year, the amount that the Secretary of the Treasury shall 
     contribute to the Fund during that fiscal year under section 
     1116(a)(2) of this title.'';
       (B) in paragraph (1)(B), by inserting before the period at 
     the end the following: ``, but excluding any member who would 
     be excluded for active-duty end strength purposes by section 
     115(I) of this title''; and
       (C) in paragraph (2)(B)--
       (I) by striking ``Ready Reserve'' and inserting ``Selected 
     Reserve''; and
       (ii) by striking ``(other than members on full-time 
     National Guard duty other than for training)''; and
       (3) in subsection (c)--
       (A) in paragraph (1)(A), by inserting before the semicolon 
     the following: ``, but excluding any member who would be 
     excluded for active-duty end strength purposes by section 
     115(I) of this title'';
       (B) in paragraph (1)(B)--
       (I) by striking ``Ready Reserve'' and inserting ``Selected 
     Reserve''; and
       (ii) by striking ``(other than members on full-time 
     National Guard duty other than for training)''; and
       (C) in paragraph (5), by inserting after ``(5)'' the 
     following new sentence: ``The Secretary of Defense, before 
     the beginning of each fiscal year, shall promptly provide 
     data to the Secretary of the Treasury regarding the actuarial 
     valuations conducted under this subsection that would affect 
     the contributions of the Secretary of the Treasury to the 
     Fund for that fiscal year.''.
       (c) Payments Into the Fund.--Section 1116 of such title is 
     amended--
       (1) in the matter in subsection (a) preceding paragraph 
     (1)--
       (A) by striking ``after September 30, 2005''; and
       (B) by striking ``Treasury--'' and inserting ``Treasury the 
     following:'';
       (2) by redesignating paragraph (2) of subsection (a) as 
     paragraph (3);
       (3) by striking paragraph (1) of subsection (a) and 
     inserting the following:
       ``(1) The amount determined to be required as the 
     contribution to the Fund under subsection (a) of section 1115 
     of this title.
       ``(2) The amount determined to be required as the 
     contribution to the Fund under subsection (b) of section 1115 
     of this title.'';
       (4) in paragraph (3) of subsection (a) (as redesignated by 
     paragraph (2)), by capitalizing the first letter of the first 
     word;
       (5) by transferring paragraphs (3), (4), and (5) of 
     subsection (b) to the end of subsection (a) and redesignating 
     those paragraphs as paragraphs (4), (5), and (6), 
     respectively; and
       (6) by striking subsection (b) (as amended by paragraph 
     (5)) and subsections (c) and (d) and inserting the following 
     new subsection (b):
       ``(b) No funds authorized or appropriated to the Department 
     of Defense may be used to fund, or otherwise provide for, the 
     payments required by this section.''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect with respect to payments under chapter 56 
     of title 10, United States Code, beginning with fiscal year 
     2008.

     SEC. 590. MILITARY CHAPLAINS.

       (a) United States Army.--Section 3547 of title 10, United 
     States Code, is amended by adding at the end the following 
     new subsection:
       ``(c) Each chaplain shall have the prerogative to pray 
     according to the dictates of the chaplain's own conscience, 
     except as must be limited by military necessity, with any 
     such limitation being imposed in the least restrictive manner 
     feasible.''.
       (b) United States Military Academy.--Section 4337 of such 
     title is amended--
       (1) by inserting ``(a)'' before ``There''; and
       (2) by adding at the end the following new subsection:
       ``(b) The Chaplain shall have the prerogative to pray 
     according to the dictates of the Chaplain's conscience, 
     except as must be limited by military necessity, with any 
     such limitation being imposed in the least restrictive manner 
     feasible.''.
       (c) United States Navy and Marine Corps.--Section 6031 of 
     such title is amended by adding at the end the following new 
     subsection:
       ``(d) Each chaplain shall have the prerogative to pray 
     according to the dictates of the chaplain's own conscience, 
     except as must be limited by military necessity, with any 
     such limitation being imposed in the least restrictive manner 
     feasible.''.
       (d) United States Air Force.--Section 8547 of such title is 
     amended by adding at the end the following new subsection:
       ``(c) Each chaplain shall have the prerogative to pray 
     according to the dictates of the chaplain's own conscience, 
     except as must be limited by military necessity, with any 
     such limitation being imposed in the least restrictive manner 
     feasible.''.
       (e) United States Air Force Academy.--Section 9337 of such 
     title is amended--
       (1) by inserting ``(a)'' before ``There''; and
       (2) by adding at the end the following new subsection:
       ``(b) The Chaplain shall have the prerogative to pray 
     according to the dictates of the Chaplain's conscience, 
     except as must be limited by military necessity, with any 
     such limitation being imposed in the least restrictive manner 
     feasible.''.

     SEC. 591. REPORT ON PERSONNEL REQUIREMENTS FOR AIRBORNE 
                   ASSETS IDENTIFIED AS LOW-DENSITY, HIGH-DEMAND 
                   AIRBORNE ASSETS.

       (a) Report Required.--Not later than 90 days after the date 
     of the enactment of this Act, the Secretary of Defense shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Armed Services of the House of 
     Representatives a report on personnel requirements for 
     airborne assets identified as Low-Density, High-Demand 
     Airborne Assets based on combatant commander requirements to 
     conduct and sustain operations for the global war on 
     terrorism.
       (b) Matter To Be Included.--The report shall include the 
     following for each airborne asset identified as a Low-
     Density, High-Demand Airborne Asset:
       (1) The numbers of operations and maintenance crews to meet 
     tasking contemplated to conduct operations for the global war 
     on terrorism.
       (2) The current numbers of operations and maintenance 
     crews.
       (3) If applicable, shortages of operations and maintenance 
     crews.
       (4) Whether such shortages are addressed in the future-
     years defense program.
       (5) Whether end-strength increases are required to meet any 
     such shortages.

[[Page 7733]]

       (6) Costs of personnel needed to address shortfalls.
       (7) If applicable, the number and types of equipment needed 
     to address training shortfalls.

     SEC. 592. ENTREPRENEURIAL SERVICE MEMBERS EMPOWERMENT TASK 
                   FORCE.

       (a) Establishment.--The Secretary of Defense, in 
     coordination with the Administrator of the Small Business 
     Administration, shall establish a task force to provide 
     timely input to the Secretary and the Administrator with 
     respect to--
       (1) measures that would improve the programs and activities 
     of the Department and the Administration that are designed to 
     address the economic concerns, as well as the business 
     challenges and opportunities, of entrepreneurial service 
     members; and
       (2) measures that would improve the coordination of the 
     programs and activities relating to entrepreneurial service 
     members conducted by--
       (A) the National Committee for Employer Support of the 
     National Guard and Reserve;
       (B) Veterans Business Outreach Centers;
       (C) Federal procurement entities; and
       (D) any other elements within, or affiliates of, the 
     Department of Defense or the Small Business Administration.
       (b) Plan.--The task force shall develop within 90 days 
     after its first meeting, and revise as appropriate 
     thereafter, a plan for carrying out the duty under subsection 
     (a).
       (c) Consultation.--In carrying out the duty under 
     subsection (a), the task force shall consult with appropriate 
     Federal, State, and local agencies and appropriate elements 
     of the private sector, including academic institutions and 
     industry representatives.
       (d) Composition.--
       (1) Co-chairs.--The task force shall have two co-chairs, 
     one an officer or employee of the Department of Defense 
     assigned by the Secretary, and one an officer or employee of 
     the Small Business Administration assigned by the 
     Administrator. The initial assignments shall be made within 
     60 days after the date of the enactment of this Act.
       (2) Other members.--The Secretary, in coordination with the 
     Administrator, shall appoint the remaining task force 
     members, numbering not less than 8 and not more than 15. The 
     selections shall be made within 120 days after the date of 
     the enactment of this Act. The Secretary, in coordination 
     with the Administrator, shall ensure that the task force 
     includes individuals from both public service and the private 
     sector, and that each of the following groups is represented 
     on the task force:
       (A) Entrepreneurial service members who are owners of small 
     businesses.
       (B) Small businesses that employ entrepreneurial service 
     members as essential employees.
       (C) Associations that further the interests of small 
     businesses, members of the reserve components of the Armed 
     Forces, or both.
       (D) Any other entities that the Secretary, in coordination 
     with the Administrator, considers appropriate.
       (3) Compensation.--An individual serving as a member of the 
     task force shall not receive compensation by reason of that 
     service.
       (e) Meetings.--
       (1) Frequency.--The task force shall meet not less 
     frequently than twice per year. The initial meeting shall be 
     held within 150 days after the date of the enactment of this 
     Act.
       (2) Quorum.--A majority of the members of the task force 
     shall constitute a quorum.
       (f) Reports.--The task force shall provide to the Secretary 
     and the Administrator not only the minutes of each meeting, 
     but also a report of its findings and recommendations, should 
     there be any, within 90 days of each meeting. Not later than 
     60 days after the receipt of such a report--
       (1) the Secretary shall submit a copy of the report to the 
     Committee on Armed Services of the House of Representatives 
     and the Committee on Armed Services of the Senate; and
       (2) the Administrator shall submit a copy of the report to 
     the Committee on Small Business of the House of 
     Representatives and the Committee on Small Business and 
     Entrepreneurship of the Senate.
       (g) Detail of Certain Federal Employees.--The Secretary may 
     detail an officer or employee of the Department of Defense, 
     and the Administrator may detail an officer or employee of 
     the Small Business Administration, to the task force without 
     additional reimbursement and without interruption or loss of 
     civil status or privilege.
       (h) Expenses.--The Department of Defense and the Small 
     Business Administration shall share equally in the cost of 
     supporting the task force.
       (i) Definition.--In this section, the term 
     ``entrepreneurial service member'' means an individual who is 
     both--
       (1) an actual or prospective owner of, or an essential 
     employee of, a small business; and
       (2) a member of a reserve component of the Armed Forces.
       (j) Termination.--The task force shall terminate September 
     30, 2009.

     SEC. 593. COMPTROLLER GENERAL REPORT ON MILITARY 
                   CONSCIENTIOUS OBJECTORS.

       (a) Report Required.--Not later than 180 days after the 
     date of the enactment of this Act, the Comptroller General 
     shall submit to Congress a report concerning the frequency 
     and consequences of members of the Armed Forces claiming 
     status as a military conscientious objector between January 
     1, 1989, and December 31, 2006.
       (b) Content of Report.--The report shall specifically 
     address the following:
       (1) The number of all applications for status as a military 
     conscientious objector, even if the application was not acted 
     on or other discharge given, broken down by military branch, 
     including the Coast Guard, and regular and reserve 
     components.
       (2) Number of discharges or reassignments given.
       (3) The process used to consider applications, including 
     average time frame and any reassignment to non-combatant 
     duties while claim pending.
       (4) Reasons for approval or disapproval of applications.
       (5) Any difference in benefits upon discharge as a military 
     conscientious objector compared to other discharges.
       (6) The effect of stop loss provisions in First Gulf War 
     and currently, cancellation of orders to combat or rear 
     attachment duty while claim pending.
       (7) Pre-war statistical comparisons.

     SEC. 594. COMMISSION ON THE NATIONAL GUARD AND RESERVES.

       (a) Six-Month Extension of Commission.--Subsection (f)(2) 
     of section 513 of the Ronald W. Reagan National Defense 
     Authorization Act for Fiscal Year 2005 (Public Law 108-375; 
     118 Stat. 1882) is amended by striking ``one year'' and 
     inserting ``18 months''.
       (b) Additional Matters to Be Reviewed by Commission.--The 
     Commission on the National Guard and Reserves shall include 
     among the matters it studies (in addition to the matters 
     specified in subsection (c) of such section 513) the 
     following:
       (1) Provisions of h.r. 5200, 109th congress.--The 
     advisability and feasibility of implementing the provisions 
     of H.R. 5200 of the 109th Congress, as introduced in the 
     House of Representatives on April 26, 2006.
       (2) Chief of national guard bureau.--As an alternative to 
     implementation of the provisions of the bill specified in 
     paragraph (1) that provide for the Chief of the National 
     Guard Bureau to be a member of the Joint Chiefs of Staff and 
     to hold the grade of general, the advisability and 
     feasibility of providing for the Chief of the National Guard 
     Bureau to hold the grade of general in the performance of the 
     current duties of that office.
       (3) National guard equipment and funding requirements.--The 
     adequacy of the Department of Defense processes for defining 
     the equipment and funding necessary for the National Guard to 
     conduct both its responsibilities under title 10, United 
     States Code, and its responsibilities under title 32, United 
     States Code, including homeland defense and related homeland 
     missions, including as part of such study--
       (A) consideration of the extent to which those processes 
     should be developed taking into consideration the views of 
     the Chief of the National Guard Bureau, as well as the views 
     of the 54 Adjutant Generals and the views of the Chiefs of 
     the Army National Guard and the Air Guard; and
       (B) whether there should be an improved means by which 
     National Guard equipment requirements are validated by the 
     Joint Chiefs of Staff and are considered for funding by the 
     Secretaries of the Army and Air Force.
       (c) Priority Review and Report.--
       (1) Priority review.--The Commission on the National Guard 
     and Reserves shall carry out its study of the matters 
     specified in paragraphs (1) and (2) of subsection (b) on a 
     priority basis, with a higher priority for matters under 
     those paragraphs relating to the grade and functions of the 
     Chief of the National Guard Bureau.
       (2) Report.--In addition to the reports required under 
     subsection (f) of section 513 of the Ronald W. Reagan 
     National Defense Authorization Act for Fiscal Year 2005 
     (Public Law 108-375; 118 Stat. 1882), the Commission shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Armed Services of the House of 
     Representatives an interim report, not later than March 1, 
     2007, specifically on the matters covered by paragraph (1). 
     In such report, the Commission shall set forth its findings 
     and any recommendations it considers appropriate with respect 
     to those matters.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2007.
Sec. 602. Targeted increase in basic pay rates.
Sec. 603. Conforming change in general and flag officer pay cap to 
              reflect increase in pay cap for Senior Executive Service 
              personnel.
Sec. 604. Availability of second basic allowance for housing for 
              certain reserve component or retired members serving in 
              support of contingency operations.
Sec. 605. Extension of temporary continuation of housing allowance for 
              dependents of members dying on active duty to spouses who 
              are also members.
Sec. 606. Clarification of effective date of prohibition on 
              compensation for correspondence courses.
Sec. 607. Payment of full premium for coverage under Servicemembers' 
              Group Life Insurance program during service in Operation 
              Enduring Freedom or Operation Iraqi Freedom.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonus and special pay authorities for 
              reserve forces.

[[Page 7734]]

Sec. 612. Extension of bonus and special pay authorities for health 
              care professionals.
Sec. 613. Extension of special pay and bonus authorities for nuclear 
              officers.
Sec. 614. Extension of other bonus, special pay, and separation pay 
              authorities.
Sec. 615. Expansion of eligibility of dental officers for additional 
              special pay.
Sec. 616. Increase in maximum annual rate of special pay for Selected 
              Reserve health care professionals in critically short 
              wartime specialties.
Sec. 617. Authority to provide lump sum payment of nuclear officer 
              incentive pay.
Sec. 618. Increase in maximum amount of nuclear career accession bonus.
Sec. 619. Increase in maximum amount of incentive bonus for transfer 
              between armed forces.
Sec. 620. Clarification regarding members of the Army eligible for 
              bonus for referring other persons for enlistment in the 
              Army.
Sec. 621. Pilot program for recruitment bonus for critical health care 
              specialties.
Sec. 622. Enhancement of temporary program of voluntary separation pay 
              and benefits.
Sec. 623. Additional authorities and incentives to encourage retired 
              members and reserve component members to volunteer to 
              serve on active duty in high-demand, low-density 
              assignments.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Authority to pay costs associated with delivery of motor 
              vehicle to storage location selected by member and 
              subsequent removal of vehicle.
Sec. 632. Transportation of additional motor vehicle of members on 
              change of permanent station to or from nonforeign areas 
              outside the continental United States.
Sec. 633. Travel and transportation allowances for transportation of 
              family members incident to illness or injury of members.

             Subtitle D--Retired Pay and Survivor Benefits

Sec. 641. Military Survivor Benefit Plan beneficiaries under insurable 
              interest coverage.
Sec. 642. Retroactive payment of additional death gratuity for certain 
              members not previously covered.
Sec. 643. Equity in computation of disability retired pay for reserve 
              component members wounded in action.

    Subtitle E--Commissary and Nonappropriated Fund Instrumentality 
                                Benefits

Sec. 651. Treatment of price surcharges of tobacco products and certain 
              other merchandise sold at commissary stores.
Sec. 652. Limitation on use of Department of Defense lease authority to 
              undermine commissaries and exchanges and other morale, 
              welfare, and recreation programs and nonappropriated fund 
              instrumentalities.
Sec. 653. Use of nonappropriated funds to supplement or replace 
              appropriated funds for construction of facilities of 
              exchange stores system and other nonappropriated fund 
              instrumentalities, military lodging facilities, and 
              community facilities.
Sec. 654. Report on cost effectiveness of purchasing commercial 
              insurance for commissary and exchange facilities and 
              facilities of other morale, welfare, and recreation 
              programs and nonappropriated fund instrumentalities.

                       Subtitle F--Other Matters

Sec. 661. Repeal of annual reporting requirement regarding effects of 
              recruitment and retention initiatives.
Sec. 662. Pilot project regarding providing golf carts accessible for 
              disabled persons at military golf courses.
Sec. 663. Enhanced authority to remit or cancel indebtedness of members 
              of the Armed Forces incurred on active duty.

                     Subtitle A--Pay and Allowances

     SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2007.

       (a) Waiver of Section 1009 Adjustment.--The adjustment to 
     become effective during fiscal year 2007 required by section 
     1009 of title 37, United States Code, in the rates of monthly 
     basic pay authorized members of the uniformed services shall 
     not be made.
       (b) Increase in Basic Pay.--Effective on January 1, 2007, 
     the rates of monthly basic pay for members of the uniformed 
     services are increased by 2.7 percent.

     SEC. 602. TARGETED INCREASE IN BASIC PAY RATES.

       Effective on April 1, 2007, the rates of monthly basic pay 
     for members of the uniformed services within each pay grade 
     are as follows:


                                             COMMISSIONED OFFICERS1
                   Years of service computed under section 205 of title 37, United States Code
----------------------------------------------------------------------------------------------------------------
                 Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
----------------------------------------------------------------------------------------------------------------
O-102                                              $0.00         $0.00         $0.00         $0.00         $0.00
O-9                                                 0.00          0.00          0.00          0.00          0.00
O-8                                             8,494.20      8,772.60      8,957.10      9,008.70      9,239.10
O-7                                             7,058.40      7,386.00      7,538.10      7,658.40      7,876.80
O-6                                             5,231.40      5,747.40      6,124.50      6,124.50      6,147.60
O-5                                             4,361.10      4,912.80      5,253.00      5,316.90      5,529.00
O-4                                             3,762.90      4,356.00      4,646.40      4,711.50      4,981.20
O-33                                            3,308.40      3,750.60      4,048.20      4,413.60      4,624.50
O-23                                            2,858.10      3,255.60      3,749.70      3,876.30      3,956.10
O-13                                            2,481.30      2,582.40      3,121.80      3,121.80      3,121.80
                                           ---------------------------------------------------------------------
                                               Over 8        Over 10       Over 12       Over 14       Over 16
                                           ---------------------------------------------------------------------
O-102                                              $0.00         $0.00         $0.00         $0.00         $0.00
O-9                                                 0.00          0.00          0.00          0.00          0.00
O-8                                             9,624.00      9,713.40     10,079.10     10,183.80     10,498.80
O-7                                             8,092.20      8,341.80      8,590.80      8,840.40      9,624.00
O-6                                             6,411.30      6,446.10      6,446.10      6,812.40      7,460.10
O-5                                             5,656.20      5,935.20      6,140.10      6,404.40      6,809.70
O-4                                             5,270.40      5,630.10      5,911.20      6,105.90      6,217.80
O-33                                            4,856.70      5,007.00      5,253.90      5,382.30      5,382.30
O-23                                            3,956.10      3,956.10      3,956.10      3,956.10      3,956.10
O-13                                            3,121.80      3,121.80      3,121.80      3,121.80      3,121.80
                                           ---------------------------------------------------------------------
                                               Over 18       Over 20       Over 22       Over 24       Over 26
                                           ---------------------------------------------------------------------
O-102                                              $0.00    $13,725.90    $13,793.10    $14,079.90    $14,579.70
O-9                                                 0.00     12,005.10     12,177.60     12,427.80     12,863.70
O-8                                            10,954.20     11,374.50     11,655.00     11,655.00     11,655.00
O-7                                            10,286.10     10,286.10     10,286.10     10,286.10     10,338.30
O-6                                             7,840.20      8,220.00      8,436.30      8,655.00      9,080.10
O-5                                             7,002.30      7,192.80      7,409.10      7,409.10      7,409.10
O-4                                             6,282.90      6,282.90      6,282.90      6,282.90      6,282.90
O-33                                            5,382.30      5,382.30      5,382.30      5,382.30      5,382.30
O-23                                            3,956.10      3,956.10      3,956.10      3,956.10      3,956.10
O-13                                            3,121.80      3,121.80      3,121.80      3,121.80      3,121.80
----------------------------------------------------------------------------------------------------------------
1 Notwithstanding the basic pay rates specified in this table, the actual rate of basic pay for commissioned
  oficers in pay grades 0-7 through 0-10 may not exceed the rate of pay for level II of the Executive Schedule
  and the actual rate of basic pay for all other officers may not exceed the rate of pay for level V of the
  Executive Schedule.

[[Page 7735]]

 
2 Subject to the preceding footnote, while serving as Chairman or Vice Chairman of the Joint Chiefs of Staff,
  Chief of Staff of the Army, Chief of Naval Operations, Chief of Staff of the Air Force, Commandant of the
  Marine Corps, Commandant of the Coast Guard, or commander of a unified or specified combatant command (as
  defined in section 161(c) of title 10, United States Code, basic pay for this grade is $16,037.40, regardless
  of cumulative years of service computed under section 205 of title 37, United States Code.
3 This table does not apply to commissioned officers in pay grade O-1, O-2, or O-3 who have been credited with
  over 4 years of active duty service as an enlisted member or warrant officer.



     COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN ENLISTED MEMBER OR WARRANT OFFICER
                   Years of service computed under section 205 of title 37, United States Code
----------------------------------------------------------------------------------------------------------------
                 Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
----------------------------------------------------------------------------------------------------------------
O-3E                                               $0.00         $0.00         $0.00     $4,413.60     $4,624.50
O-2E                                                0.00          0.00          0.00      3,876.30      3,956.10
O-1E                                                0.00          0.00          0.00      3,121.80      3,333.90
                                           ---------------------------------------------------------------------
                                               Over 8        Over 10       Over 12       Over 14       Over 16
                                           ---------------------------------------------------------------------
0-3E                                           $4,856.70     $5,007.00     $5,253.90     $5,462.10     $5,581.20
0-2E                                            4,082.10      4,294.20     4,458.90.      4,581.00      4,581.00
0-1E                                            3,456.90      3,582.90      3,706.80      3,876.30      3,876.30
                                           ---------------------------------------------------------------------
                                               Over 18       Over 20       Over 22       Over 24       Over 26
                                           ---------------------------------------------------------------------
0-3E                                           $5,743.80     $5,743.80     $5,743.80     $5,743.80     $5,743.80
0-2E                                            4,581.00      4,581.00      4,581.00      4,581.00      4,581.00
0-1E                                            3,876.30      3,876.30      3,876.30      3,876.30      3,876.30
----------------------------------------------------------------------------------------------------------------


                                                WARRANT OFFICERS1
                   Years of service computed under section 205 of title 37, United States Code
----------------------------------------------------------------------------------------------------------------
                 Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
----------------------------------------------------------------------------------------------------------------
W-5                                                $0.00         $0.00         $0.00         $0.00         $0.00
W-4                                             3,418.80      3,677.70      3,783.60      3,887.40      4,066.20
W-3                                             3,122.10      3,252.30      3,385.50      3,429.60      3,569.40
W-2                                             2,762.70       3023.40      3,104.40      3,159.90      3,338.70
W-1                                             2,425.20      2,685.00      2,756.40      2,904.30      3,080.10
                                           ---------------------------------------------------------------------
                                               Over 8        Over 10       Over 12       Over 14       Over 16
                                           ---------------------------------------------------------------------
W-5                                                $0.00         $0.00         $0.00         $0.00         $0.00
W-4                                             4,242.90      4,422.30      4,691.40      4,927.80       5152.80
W-3                                             3,843.90      4,130.10      4,265.40      4,421.40      4,582.20
W-2                                             3,616.80      3,754.80      3,890.70      4,056.60      4,186.20
W-1                                             3,337.80      3,458.40      3,627.00      3,792.90      3,922.80
                                           ---------------------------------------------------------------------
                                               Over 18       Over 20       Over 22       Over 24       Over 26
                                           ---------------------------------------------------------------------
W-5                                                $0.00     $6,078.30     $6,386.10     $6,615.60     $6,869.70
W-4                                             5,336.40      5,516.10      5,779.50      5,995.80      6,242.70
W-3                                             4,870.50      5,065.80      5,181.90      5,306.40      5,475.30
W-2                                             4,303.80      4,444.20      4,536.90      4,611.30      4,611.30
W-1                                             4,042.80      4,188.90      4,188.90      4,188.90      4,188.90
----------------------------------------------------------------------------------------------------------------
1 Notwithstanding the basic pay rates specified in this table, the actual rate of basic pay for warrant officers
  may not exceed the rate of pay for level V of the Executive Schedule.



                                                ENLISTED MEMBERS1
                   Years of service computed under section 205 of title 37, United States Code
----------------------------------------------------------------------------------------------------------------
                 Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
----------------------------------------------------------------------------------------------------------------
E-92                                               $0.00         $0.00         $0.00         $0.00         $0.00
E-8                                                 0.00          0.00          0.00          0.00          0.00
E-7                                             2,350.50      2,565.60      2,663.70      2,794.20      2,895.60
E-6                                             2,033.10      2,236.80      2,335.80      2,431.50      2,531.70
E-5                                             1,863.00      1,987.50      2,083.50      2,181.90      2,335.20
E-4                                             1,707.90      1,795.20      1,892.40      1,988.10      2,073.00
E-3                                             1,541.70      1,638.90      1,737.60      1,737.60      1,737.60
E-2                                             1,465.80      1,465.80      1,465.80      1,465.80      1,465.80
E-13                                            1,308.00      1,308.00      1,308.00      1,308.00      1,308.00
                                           ---------------------------------------------------------------------
                                               Over 8        Over 10       Over 12       Over 14       Over 16
                                           ---------------------------------------------------------------------
E-92                                               $0.00     $4,130.70     $4,224.30     $4,342.50     $4,481.40
E-8                                             3,381.30      3,531.00      3,623.70      3,734.40      3,854.70
E-7                                             3,070.20      3,168.30      3,326.70      3,471.00      3,569.70
E-6                                             2,757.60      2,845.20      3,000.00      3,051.90      3,089.70
E-5                                             2,483.70      2,613.90      2,630.10      2,630.10      2,630.10
E-4                                             2,073.00      2,073.00      2,073.00      2,073.00      2,073.00
E-3                                             1,737.60      1,737.60      1,737.60      1,737.60      1,737.60
E-2                                             1,465.80      1,465.80      1,465.80      1,465.80      1,465.80
E-13                                            1,308.00      1,308.00      1,308.00      1,308.00      1,308.00
                                           ---------------------------------------------------------------------
                                               Over 18       Over 20       Over 22       Over 24       Over 26
                                           ---------------------------------------------------------------------
E-92                                           $4,620.90     $4,845.30     $5,034.60     $5,234.70     $5,539.50
E-8                                             4,071.60      4,181.40      4,368.60      4,472.40      4,727.70
E-7                                             3,674.40      3,715.50      3,852.00      3,944.40      4,224.60
E-6                                             3,133.50      3,133.50      3,133.50      3,133.50      3,133.50
E-5                                             2,630.10      2,630.10      2,630.10      2,630.10      2,630.10

[[Page 7736]]

 
E-4                                             2,073.00      2,073.00      2,073.00      2,073.00      2,073.00
E-3                                             1,737.60      1,737.60      1,737.60      1,737.60      1,737.60
E-2                                             1,465.80      1,465.80      1,465.80      1,465.80      1,465.80
E-13                                            1,308.00      1,308.00      1,308.00      1,308.00      1,308.00
----------------------------------------------------------------------------------------------------------------
1 Notwithstanding the pay rates specified in this table, the actual basic pay for enlisted members may not
  exceed the rate of pay for level V of the Executive Schedule.
2 Subject to the preceding footnote, the rate of basic pay for an enlisted member in this grade while serving as
  Sergeant Major of the Army, Master Chief Petty Officer of the Navy, Chief Master Sergeant of the Air Force,
  Sergeant Major of the Marine Corps, Master Chief Petty Officer of the Coast Guard, or Senior Enlisted Advisor
  to the Chairman of the Joint Chiefs of Statff is $6,675.00, regardless of cumulative years of service computed
  under section 205 of title 37, United States Code.
3 In the case of members in pay grade E-1 who have served less than 4 months on active duty, the rate of basic
  pay is $1,209.90.

     SEC. 603. CONFORMING CHANGE IN GENERAL AND FLAG OFFICER PAY 
                   CAP TO REFLECT INCREASE IN PAY CAP FOR SENIOR 
                   EXECUTIVE SERVICE PERSONNEL.

       (a) Increase.--Section 203(a)(2) of title 37, United States 
     Code, is amended by striking ``level III of the Executive 
     Schedule'' and inserting ``level II of the Executive 
     Schedule''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 2006.

     SEC. 604. AVAILABILITY OF SECOND BASIC ALLOWANCE FOR HOUSING 
                   FOR CERTAIN RESERVE COMPONENT OR RETIRED 
                   MEMBERS SERVING IN SUPPORT OF CONTINGENCY 
                   OPERATIONS.

       Section 403(g) of title 37, United States Code, is 
     amended--
       (1) by redesignating paragraphs (2), (3), and (4) as 
     paragraphs (3), (4), and (5), respectively;
       (2) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) The Secretary concerned may provide a basic allowance 
     for housing to a member described in paragraph (1) at a 
     monthly rate equal to the rate of the basic allowance for 
     housing established under subsection (b) or the overseas 
     basic allowance for housing established under subsection (c), 
     whichever applies to the location at which the member is 
     serving, for members in the same grade at that location 
     without dependents. The member may receive both a basic 
     allowance for housing under paragraph (1) and under this 
     paragraph for the same month, but may not receive the portion 
     of the allowance authorized under section 404 of this title, 
     if any, for lodging expenses if a basic allowance for housing 
     is provided under this paragraph.''; and
       (3) in paragraph (3), as so redesignated, by striking 
     ``Paragraph (1)'' and inserting ``Paragraphs (1) and (2)''.

     SEC. 605. EXTENSION OF TEMPORARY CONTINUATION OF HOUSING 
                   ALLOWANCE FOR DEPENDENTS OF MEMBERS DYING ON 
                   ACTIVE DUTY TO SPOUSES WHO ARE ALSO MEMBERS.

       (a) Extension.--Section 403(l) of title 37, United States 
     Code, is amended--
       (1) by redesignating paragraph (3) as paragraph (4); and
       (2) by inserting after paragraph (2) the following new 
     paragraph:
       ``(3) An allowance may be paid under paragraph (2) to the 
     spouse of the deceased member even though the spouse is also 
     a member of the uniformed services. The allowance paid under 
     such paragraph is in addition to any other pay and allowances 
     to which the spouse is entitled as a member.''.
       (b) Effective Date.--
       (1) General rule.--The amendments made by subsection (a) 
     shall take effect on October 1, 2006.
       (2) Transitional rule.--After October 1, 2006, the 
     Secretary of Defense, and the Secretary of Homeland Security 
     in the case of the Coast Guard, may pay the allowance 
     authorized by section 403(l)(2) of title 37, United States 
     Code, to a member of the uniformed services who is the spouse 
     of a member who died on active duty during the one-year 
     period ending on that date, except that the payment of the 
     allowance must terminate within 365 days after the date of 
     the member's death.

     SEC. 606. CLARIFICATION OF EFFECTIVE DATE OF PROHIBITION ON 
                   COMPENSATION FOR CORRESPONDENCE COURSES.

       Section 206(d) of title 37, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(3) The prohibition in paragraph (1), including the 
     prohibition as it relates to a member of the National Guard 
     while not in Federal service, applies to--
       ``(A) any work or study performed on or after September 7, 
     1962, unless that work or study is specifically covered by 
     the exception in paragraph (2); and
       ``(B) any claim based on that work or study arising after 
     that date.''.

     SEC. 607. PAYMENT OF FULL PREMIUM FOR COVERAGE UNDER 
                   SERVICEMEMBERS' GROUP LIFE INSURANCE PROGRAM 
                   DURING SERVICE IN OPERATION ENDURING FREEDOM OR 
                   OPERATION IRAQI FREEDOM.

       (a) Enhanced Allowance to Cover SGLI Deductions.--
     Subsection (a)(1) of section 437 of title 37, United States 
     Code, is amended by striking ``for the first $150,000'' and 
     all that follows through ``of such title'' and inserting 
     ``for the amount of Servicemembers' Group Life Insurance 
     coverage held by the member under section 1967 of such 
     title''.
       (b) Conforming Amendments.--Such section is further 
     amended--
       (1) in subsection (a)--
       (A) by striking ``(1)'' before ``in the case of''; and
       (B) by striking paragraph (2);
       (2) by striking subsection (b); and
       (3) by redesignating subsection (c) as subsection (b) and 
     in paragraph (2) of that subsection by striking ``coverage 
     amount specified in subsection (a)(1) or in effect pursuant 
     to subsection (b),'' and inserting ``maximum coverage amount 
     available for such insurance,''.
       (c) Clerical Amendments.--The heading for such section, and 
     the item relating to such section in the table of sections at 
     the beginning of chapter 7 of such title, are each amended by 
     striking the fourth and fifth words.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the first day of the first month 
     beginning on or after the date of the enactment of this Act 
     and shall apply with respect to service by members of the 
     Armed Forces in the theater of operations for Operation 
     Enduring Freedom or Operation Iraqi Freedom for months 
     beginning on or after that date.
       (e) Funding Source.--Of the amounts authorized to be 
     appropriated to the Department of Defense for military 
     personnel accounts as emergency supplemental appropriations 
     for fiscal years 2006 and 2007 to provide funds for 
     additional costs due to Operation Iraqi Freedom and Operation 
     Enduring Freedom, $31,000,000 shall be available to cover the 
     additional costs incurred to implement the amendments made by 
     this section.

           Subtitle B--Bonuses and Special and Incentive Pays

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

       (a) Selected Reserve Reenlistment Bonus.--Section 308b(g) 
     of title 37, United States Code, is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (b) Selected Reserve Affiliation or Enlistment Bonus.--
     Section 308c(i) of such title is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (c) Special Pay for Enlisted Members Assigned to Certain 
     High Priority Units.--Section 308d(c) of such title is 
     amended by striking ``December 31, 2006'' and inserting 
     ``December 31, 2007''.
       (d) Ready Reserve Enlistment Bonus for Persons Without 
     Prior Service.--Section 308g(h)(2) of such title is amended 
     by striking ``December 31, 2006'' and inserting ``December 
     31, 2007''.
       (e) Ready Reserve Enlistment and Reenlistment Bonus for 
     Persons With Prior Service.--Section 308h(e) of such title is 
     amended by striking ``December 31, 2006'' and inserting 
     ``December 31, 2007''.
       (f) Selected Reserve Enlistment Bonus for Persons With 
     Prior Service.--Section 308i(f) of such title is amended by 
     striking ``December 31, 2006'' and inserting ``December 31, 
     2007''.

     SEC. 612. EXTENSION OF BONUS AND SPECIAL PAY AUTHORITIES FOR 
                   HEALTH CARE PROFESSIONALS.

       (a) Nurse Officer Candidate Accession Program.--Section 
     2130a(a)(1) of title 10, United States Code, is amended by 
     striking ``December 31, 2006'' and inserting ``December 31, 
     2007''.
       (b) Repayment of Education Loans for Certain Health 
     Professionals Who Serve in the Selected Reserve.--Section 
     16302(d) of such title is amended by striking ``January 1, 
     2007'' and inserting ``January 1, 2008''.
       (c) Accession Bonus for Registered Nurses.--Section 
     302d(a)(1) of title 37, United States Code, is amended by 
     striking ``December 31, 2006'' and inserting ``December 31, 
     2007''.
       (d) Incentive Special Pay for Nurse Anesthetists.--Section 
     302e(a)(1) of such title is amended by striking ``December 
     31, 2006'' and inserting ``December 31, 2007''.
       (e) Special Pay for Selected Reserve Health Professionals 
     in Critically Short Wartime Specialties.--Section 302g(e) of 
     such title is amended by striking ``December 31, 2006'' and 
     inserting ``December 31, 2007''.
       (f) Accession Bonus for Dental Officers.--Section 
     302h(a)(1) of such title is amended by

[[Page 7737]]

     striking ``December 31, 2006'' and inserting ``December 31, 
     2007''.
       (g) Accession Bonus for Pharmacy Officers.--Section 302j(a) 
     of such title is amended by striking ``December 31, 2006'' 
     and inserting ``December 31, 2007''.

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

       (a) Special Pay for Nuclear-Qualified Officers Extending 
     Period of Active Service.--Section 312(e) of title 37, United 
     States Code, is amended by striking ``December 31, 2006'' and 
     inserting ``December 31, 2007''.
       (b) Nuclear Career Accession Bonus.--Section 312b(c) of 
     such title is amended by striking ``December 31, 2006'' and 
     inserting ``December 31, 2007''.
       (c) Nuclear Career Annual Incentive Bonus.--Section 312c(d) 
     of such title is amended by striking ``December 31, 2006'' 
     and inserting ``December 31, 2007''.

     SEC. 614. EXTENSION OF OTHER BONUS, SPECIAL PAY, AND 
                   SEPARATION PAY AUTHORITIES.

       (a) Aviation Officer Retention Bonus.--Section 301b(a) of 
     title 37, United States Code, is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (b) Assignment Incentive Pay.--Section 307a(g) of such 
     title is amended by striking ``December 31, 2007'' and 
     inserting ``December 31, 2008''.
       (c) Reenlistment Bonus for Active Members.--Section 308(g) 
     of such title is amended by striking ``December 31, 2006'' 
     and inserting ``December 31, 2007''.
       (d) Enlistment Bonus for Active Members.--Section 309(e) of 
     such title is amended by striking ``December 31, 2006'' and 
     inserting ``December 31, 2007''.
       (e) Retention Bonus for Members With Critical Military 
     Skills.--Section 323(i) of such title is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (f) Accession Bonus for New Officers in Critical Skills.--
     Section 324(g) of such title is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (g) Military Occupational Specialty Conversion Incentive 
     Bonus.--Section 326(g) of such title is amended by striking 
     ``December 31, 2006'' and inserting ``December 31, 2007''.
       (h) Transfer Between Armed Forces Incentive Bonus.--Section 
     327(h) of such title is amended by striking ``December 31, 
     2006'' and inserting ``December 31, 2007''.

     SEC. 615. EXPANSION OF ELIGIBILITY OF DENTAL OFFICERS FOR 
                   ADDITIONAL SPECIAL PAY.

       (a) Repeal of Internship and Residency Exception.--Section 
     302b(a)(4) of title 37, United States Code, is amended by 
     striking the first sentence and inserting the following new 
     sentence: ``An officer who is entitled to variable special 
     pay under paragraph (2) or (3) is also entitled to additional 
     special pay for any 12-month period during which an agreement 
     executed under subsection (b) is in effect with respect to 
     the officer.''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 2006.

     SEC. 616. INCREASE IN MAXIMUM ANNUAL RATE OF SPECIAL PAY FOR 
                   SELECTED RESERVE HEALTH CARE PROFESSIONALS IN 
                   CRITICALLY SHORT WARTIME SPECIALTIES.

       (a) Increase.--Section 302g(a) of title 37, United States 
     Code, is amended by striking ``$10,000'' and inserting 
     ``$25,000''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on October 1, 2006.

     SEC. 617. AUTHORITY TO PROVIDE LUMP SUM PAYMENT OF NUCLEAR 
                   OFFICER INCENTIVE PAY.

       (a) Lump Sum Payment Option.--Subsection (a) of section 312 
     of title 37, United States Code, is amended in the matter 
     after paragraph (3)--
       (1) by striking ``in equal annual installments'' and 
     inserting ``in a single lump-sum or in annual installments of 
     equal or different amounts''; and
       (2) by striking ``with the number of installments being 
     equal to the number of years covered by the contract plus 
     one'' and inserting ``and, if the special pay will be paid in 
     annual installments, the number of installments may not 
     exceed the number of years covered by the agreement plus 
     one''.
       (b) Clerical and Conforming Amendments.--Such section is 
     further amended--
       (1) by redesignating subsections (b) through (e) as 
     subsections (c) through (f), respectively;
       (2) in subsection (a)--
       (A) by striking ``an officer'' in the matter before 
     paragraph (1) and inserting ``the Secretary may pay special 
     pay under subsection (b) to an officer'';
       (B) by striking the semicolon at the end of paragraph (3) 
     and inserting a period;
       (C) by striking ``may, upon'' and all that follows through 
     ``The Secretary of the Navy shall'' and inserting the 
     following:
       ``(b) Payment Amount; Payment Options.--(1) The total 
     amount paid to an officer under an agreement under subsection 
     (a) or (e)(1) may not exceed $30,000 for each year of the 
     active-service agreement. Amounts paid under the agreement 
     are in addition to all other compensation to which the 
     officer is entitled.
       ``(2) The Secretary shall'';
       (D) by striking ``Upon acceptance of the agreement by the 
     Secretary or his designee'' and inserting the following:
       ``(3) Upon acceptance of an agreement under subsection (a) 
     or (e)(1) by the Secretary '';
       (E) by striking ``The Secretary (or his designee)'' and 
     inserting the following:
       ``(4) The Secretary'';
       (3) in subsection (c), as redesignated by paragraph (1), by 
     striking ``subsection (a) or subsection (d)(1)'' and 
     inserting ``subsection (b) or (e)(1)''; and
       (4) in the first sentence of subsection (e)(1), as 
     redesignated by paragraph (1)--
       (A) by striking ``such subsection'' and inserting 
     ``subsection (b)''; and
       (B) by striking ``that subsection'' and inserting ``this 
     subsection''.
       (c) Stylistic Amendments.--Such section is further 
     amended--
       (1) in subsection (a), by inserting ``Special Pay 
     Authorized; Eligibility.--'' after ``(a)'';
       (2) in subsection (c), as redesignated by subsection 
     (b)(1), by inserting ``Repayment.--'' after ``(c)'';
       (3) in subsection (d), as redesignated by subsection 
     (b)(1), by inserting ``Relation to Service Obligation.--'' 
     after ``(d)'';
       (4) in subsection (e), as redesignated by subsection 
     (b)(1), by inserting ``New Agreement.--'' after ``(e)''; and
       (5) in subsection (f), as redesignated by subsection 
     (b)(1), by inserting ``Duration of Authority.--'' after 
     ``(f)''.

     SEC. 618. INCREASE IN MAXIMUM AMOUNT OF NUCLEAR CAREER 
                   ACCESSION BONUS.

       (a) Increase.--Section 312b(a)(1) of title 37, United 
     States Code, is amended by striking ``$20,000'' and inserting 
     ``$30,000''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 2006.

     SEC. 619. INCREASE IN MAXIMUM AMOUNT OF INCENTIVE BONUS FOR 
                   TRANSFER BETWEEN ARMED FORCES.

       (a) Increase.--Section 327(d)(1) of title 37, United States 
     Code, is amended by striking ``$2,500'' and inserting 
     ``$10,000''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 2006.

     SEC. 620. CLARIFICATION REGARDING MEMBERS OF THE ARMY 
                   ELIGIBLE FOR BONUS FOR REFERRING OTHER PERSONS 
                   FOR ENLISTMENT IN THE ARMY.

       Section 645(a) of the National Defense Authorization Act 
     for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3310) is 
     amended--
       (1) by striking ``The Secretary'' and inserting the 
     following:
       ``(1) In general.--The Secretary'';
       (2) by striking ``, whether in the regular component of the 
     Army or in the Army National Guard or Army Reserve,'' and 
     inserting ``described in paragraph (2)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) Members eligible for bonus.--Subject to subsection 
     (c), the following members of the Army are eligible for a 
     referral bonus under this section:
       ``(A) A member in the regular component of the Army.
       ``(B) A member of the Army National Guard.
       ``(C) A member of the Army Reserve.
       ``(D) A member of the Army in a retired status, including a 
     member under 60 years of age who, but for age, would be 
     eligible for retired pay.''.

     SEC. 621. PILOT PROGRAM FOR RECRUITMENT BONUS FOR CRITICAL 
                   HEALTH CARE SPECIALTIES.

       (a) Pilot Program.--Section 2121 of title 10, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(e)(1) The Secretary of Defense may carry out a pilot 
     program for payment of a recruitment incentive bonus to 
     increase participation in the program. The Secretary shall 
     prescribe regulations specifying the amount and terms of the 
     bonus. The bonus shall be used to improve recruitment for 
     critical health care specialties. A bonus under the pilot 
     program shall be in addition to the stipend under subsection 
     (d).
       ``(2) The amount prescribed under paragraph (1) for the 
     bonus under the pilot program shall be determined by the 
     Secretary.
       ``(3) The scope of the pilot program shall be limited to no 
     more than 100 total participants in no more than five 
     critical medical specialties. The program shall last no more 
     than two years, beginning on the earlier of the date the 
     first participant is selected or January 1, 2010. ''.
       (b) Reports.--The Secretary of Defense shall prepare a mid-
     term report and a final report on the findings and 
     recommendations resulting from the pilot program. The 
     Secretary shall submit those reports to the Committees on 
     Armed Services of the Senate and the House of 
     Representatives.

     SEC. 622. ENHANCEMENT OF TEMPORARY PROGRAM OF VOLUNTARY 
                   SEPARATION PAY AND BENEFITS.

       (a) One-Year Extension of Authority.--Section 1175a(k)(1) 
     of title 10, United States Code, is amended by striking 
     ``December 31, 2008,'' and inserting ``December 31, 2009''.
       (b) Expansion of Eligible Members.--Section 643 of the 
     National Defense Authorization Act for Fiscal Year 2006 
     (Public Law 109-163; 119 Stat. 3306) is amended by striking 
     subsection (b).

     SEC. 623. ADDITIONAL AUTHORITIES AND INCENTIVES TO ENCOURAGE 
                   RETIRED MEMBERS AND RESERVE COMPONENT MEMBERS 
                   TO VOLUNTEER TO SERVE ON ACTIVE DUTY IN HIGH-
                   DEMAND, LOW-DENSITY ASSIGNMENTS.

       (a) Authority to Offer Incentive Bonus.--Chapter 5 of title 
     37, United States Code, is amended by adding at the end the 
     following new section:

[[Page 7738]]



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

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

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

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

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

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

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

       (d) Effective Date.--No agreement may be entered into under 
     section 329 of title 37, United States Code, as added by 
     subsection (a), before October 1, 2006.
       (e) Limitation on Fiscal Year 2007 Obligations.--During 
     fiscal year 2007, obligations incurred under section 329 of 
     title 37, United States Code, as added by subsection (a), to 
     provide bonuses or other incentives to retired members and 
     former members of the Army, Navy, Air Force, or Marine Corps 
     or to members of the reserve components of the Army, Navy, 
     Air Force, and Marine Corps may not exceed $5,000,000.

            Subtitle C--Travel and Transportation Allowances

     SEC. 631. AUTHORITY TO PAY COSTS ASSOCIATED WITH DELIVERY OF 
                   MOTOR VEHICLE TO STORAGE LOCATION SELECTED BY 
                   MEMBER AND SUBSEQUENT REMOVAL OF VEHICLE.

       Subsection (b) of section 2634 of title 10, United States 
     Code, is amended--
       (1) by redesignating paragraph (4) as paragraph (5); and
       (2) by inserting after paragraph (3) the following new 
     paragraph:
       ``(4) If a member elects to have a motor vehicle described 
     in subsection (a) stored at a location other than a storage 
     location approved by the Secretary concerned, the delivery 
     and removal costs described in paragraph (3) are the only 
     costs that may be paid by the Secretary. The delivery or 
     removal costs paid by the Secretary under this paragraph may 
     not exceed the total cost that would have been incurred by 
     the United States had the storage location approved by the 
     Secretary been used to store the motor vehicle. The United 
     States is not responsible for any costs associated with the 
     actual storage of the motor vehicle at the unapproved 
     location.''.

     SEC. 632. TRANSPORTATION OF ADDITIONAL MOTOR VEHICLE OF 
                   MEMBERS ON CHANGE OF PERMANENT STATION TO OR 
                   FROM NONFOREIGN AREAS OUTSIDE THE CONTINENTAL 
                   UNITED STATES.

       (a) Authority to Transport Additional Motor Vehicle.--
     Subsection (a) of section 2634 of title 10, United States 
     Code, is amended--
       (1) by striking the sentence following paragraph (4);
       (2) by redesignating paragraphs (1), (2), (3), and (4) as 
     subparagraphs (A), (B), (C), and (D), respectively;
       (3) by inserting ``(1)'' after ``(a)''; and
       (4) by adding at the end the following new paragraph:
       ``(2) One additional motor vehicle of a member (or a 
     dependent of the member) may be transported as provided in 
     paragraph (1) if--
       ``(A) the member is ordered to make a change of permanent 
     station to or from a nonforeign area outside the continental 
     United States and the member has at least one dependent of 
     driving age who will use the motor vehicle; or
       ``(B) the Secretary concerned determines that a replacement 
     for the motor vehicle transported under paragraph (1) is 
     necessary for reasons beyond the control of the member and is 
     in the interest of the United States and the Secretary 
     approves the transportation in advance.''.
       (b) Technical and Conforming Amendments.--Such subsection 
     is further amended--
       (1) by striking ``his dependents'' and inserting ``a 
     dependent of the member'';
       (2) by striking ``him'' and inserting ``the member'';
       (3) by striking ``his)'' and inserting ``the member)'';
       (4) by striking ``his new'' and inserting ``the member's 
     new''; and
       (5) in paragraph (1)(C), as redesignated by subsection (a), 
     by striking ``clauses (1) and (2)'' and inserting 
     ``subparagraphs (A) and (B)''.
       (c) Effective Date.--Paragraph (2)(A) of subsection (a) of 
     section 2634 of title 10, United States Code, as added by 
     subsection (a)(4), shall apply with respect to orders issued 
     on or after the date of the enactment of this Act for members 
     of the Armed Forces to make a change of permanent station to 
     or from nonforeign areas outside the continental United 
     States.

     SEC. 633. TRAVEL AND TRANSPORTATION ALLOWANCES FOR 
                   TRANSPORTATION OF FAMILY MEMBERS INCIDENT TO 
                   ILLNESS OR INJURY OF MEMBERS.

       Section 411h(b)(1) of title 37, United States Code, is 
     amended--
       (1) by striking ``and'' at the end of subparagraph (C);
       (2) by striking the period at the end of subparagraph (D) 
     and inserting ``; and''; and
       (3) by adding at the end the following new subparagraph:
       ``(E) a person related to the member as described in 
     subparagraph (A), (B), (C), or (D) who is also a member of 
     the uniformed services.''.

[[Page 7739]]



             Subtitle D--Retired Pay and Survivor Benefits

     SEC. 641. MILITARY SURVIVOR BENEFIT PLAN BENEFICIARIES UNDER 
                   INSURABLE INTEREST COVERAGE.

       (a) Authority to Elect New Beneficiary.--Section 1448(b)(1) 
     of title 10, United States Code, is amended--
       (1) by inserting ``or under subparagraph (G) of this 
     paragraph'' in the second sentence of subparagraph (E) before 
     the period at the end; and
       (2) by adding at the end the following new subparagraph:
       ``(G) Election of new beneficiary upon death of previous 
     beneficiary.--
       ``(i) Authority for election.--If the reason for 
     discontinuation in the Plan is the death of the beneficiary, 
     the participant in the Plan may elect a new beneficiary. Any 
     such beneficiary must be a natural person with an insurable 
     interest in the participant. Such an election may be made 
     only during the 180-day period beginning on the date of the 
     death of the previous beneficiary.
       ``(ii) Procedures.--Such an election shall be in writing, 
     signed by the participant, and made in such form and manner 
     as the Secretary concerned may prescribe. Such an election 
     shall be effective the first day of the first month following 
     the month in which the election is received by the Secretary.
       ``(iii) Vitiation of election by participant who dies 
     within two years of election.--If a person providing an 
     annuity under a election under clause (i) dies before the end 
     of the two-year period beginning on the effective date of the 
     election--

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

       (b) Change in Premium for Coverage of New Beneficiary.--
     Section 1452(c) of such title is amended by adding at the end 
     the following new paragraph:
       ``(5) Rule for designation of new insurable interest 
     beneficiary following death of original beneficiary.--The 
     Secretary of Defense shall prescribe in regulations premiums 
     which a participant making an election under section 
     1448(b)(1)(G) of this title shall be required to pay for 
     participating in the Plan pursuant to that election. The 
     total amount of the premiums to be paid by a participant 
     under the regulations shall be equal to the sum of the 
     following:
       ``(A) The total additional amount by which the retired pay 
     of the participant would have been reduced before the 
     effective date of the election if the original beneficiary 
     (i) had not died and had been covered under the Plan through 
     the date of the election, and (ii) had been the same number 
     of years younger than the participant (if any) as the new 
     beneficiary designated under the election.
       ``(B) Interest on the amounts by which the retired pay of 
     the participant would have been so reduced, computed from the 
     dates on which the retired pay would have been so reduced at 
     such rate or rates and according to such methodology as the 
     Secretary of Defense determines reasonable.
       ``(C) Any additional amount that the Secretary determines 
     necessary to protect the actuarial soundness of the 
     Department of Defense Military Retirement Fund against any 
     increased risk for the fund that is associated with the 
     election.''.
       (c) Transition.--
       (1) Transition period.--In the case of a participant in the 
     Survivor Benefit Plan who made a covered insurable-interest 
     election (as defined in paragraph (2)) and whose designated 
     beneficiary under that election dies before the date of the 
     enactment of this Act or during the 18-month period beginning 
     on such date, the time period applicable for purposes of the 
     limitation in the third sentence of subparagraph (G)(i) of 
     section 1448(b)(1) of title 10, United States Code, as added 
     by subsection (a), shall be the two-year period beginning on 
     the date of the enactment of this Act (rather than the 180-
     day period specified in that sentence).
       (2) Covered insurable-interest elections.--For purposes of 
     paragraph (1), a covered insurable-interest election is an 
     election under section 1448(b)(1) of title 10, United States 
     Code, made before the date of the enactment of this Act, or 
     during the 18-month period beginning on such date, by a 
     participant in the Survivor Benefit Plan to provide an 
     annuity under that plan to a natural person with an insurable 
     interest in that person.
       (3) Survivor benefit plan.--For purposes of this 
     subsection, the term ``Survivor Benefit Plan'' means the 
     program under subchapter II of chapter 73 of title 10, United 
     States Code.

     SEC. 642. RETROACTIVE PAYMENT OF ADDITIONAL DEATH GRATUITY 
                   FOR CERTAIN MEMBERS NOT PREVIOUSLY COVERED.

       (a) Specification of Additional Members Covered.--Section 
     1478(d)(2) of title 10, United States Code, is amended by 
     striking ``May 11, 2005'' and inserting ``August 31, 2005''.
       (b) Funding.--Amounts for payments under section 1478(d) of 
     title 10, United States Code, as amended by subsection (a), 
     with respect to deaths during the period beginning on May 12, 
     2005, and ending on August 31, 2005, may be derived from 
     appropriations available to for the Department of Defense for 
     fiscal year 2006 or fiscal year 2007.

     SEC. 643. EQUITY IN COMPUTATION OF DISABILITY RETIRED PAY FOR 
                   RESERVE COMPONENT MEMBERS WOUNDED IN ACTION.

       Section 1208(b) of title 10, United States Code, is amended 
     by adding at the end the following new sentence: ``However, 
     in the case of such a member who is retired under this 
     chapter, or whose name is placed on the temporary disability 
     retired list under this chapter, because of a disability 
     incurred after the date of the enactment of this sentence for 
     which the member is awarded the Purple Heart, the member 
     shall be credited, for the purposes of this chapter, with the 
     number of years of service that would be counted if computing 
     the member's years of service under section 12732 of this 
     title.''.

    Subtitle E--Commissary and Nonappropriated Fund Instrumentality 
                                Benefits

     SEC. 651. TREATMENT OF PRICE SURCHARGES OF TOBACCO PRODUCTS 
                   AND CERTAIN OTHER MERCHANDISE SOLD AT 
                   COMMISSARY STORES.

       (a) Merchandise Procured From Exchanges.--Subsection (c)(3) 
     of section 2484 of title 10, United States Code, is amended--
       (1) by inserting ``(A)'' after ``(3)'';
       (2) by striking ``Subsections'' and inserting ``Except as 
     provided in subparagraph (B), subsections''; and
       (3) by adding at the end the following new subparagraph:
       ``(B) When a military exchange is the vendor of tobacco 
     products or other merchandise authorized for sale in a 
     commissary store under paragraph (1), any revenue above the 
     cost of procuring the merchandise shall be allocated as if 
     the revenue were a uniform sales price surcharge described in 
     subsection (d).''.
       (b) Merchandise Treated as Noncommissary Store Inventory.--
     Subsection (g) of such section is amended--
       (1) by inserting ``(1)'' before ``Notwithstanding'';
       (2) by striking ``Subsections'' and inserting ``Except as 
     provided in paragraph (2), subsections''; and
       (3) by adding at the end the following new paragraph:
       ``(2) When tobacco products are authorized for sale in a 
     commissary store as noncommissary store inventory, any 
     revenue above the cost of procuring the tobacco products 
     shall be allocated as if the revenue were a uniform sales 
     price surcharge described in subsection (d).''.

     SEC. 652. LIMITATION ON USE OF DEPARTMENT OF DEFENSE LEASE 
                   AUTHORITY TO UNDERMINE COMMISSARIES AND 
                   EXCHANGES AND OTHER MORALE, WELFARE, AND 
                   RECREATION PROGRAMS AND NONAPPROPRIATED FUND 
                   INSTRUMENTALITIES.

       Section 2667(f) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(5) Except in the case of a lease under this subsection, 
     a lease of real property may not be entered into under this 
     section to fascilitate the establishment or operation of an 
     ancillary supporting facility (as defined in section 2871 of 
     this title) if, as determined by the Secretary concerned, the 
     facility is to be used for providing merchandise or services 
     in direct competition with--
       ``(A) the Army and Air Force Exchange Service;
       ``(B) the Navy Exchange Service Command;
       ``(C) a Marine Corps exchange;
       ``(D) the Defense Commissary Agency; or
       ``(E) any nonappropriated fund activity of the Department 
     of Defense for the morale, welfare, and recreation of members 
     of the armed forces.''.

     SEC. 653. USE OF NONAPPROPRIATED FUNDS TO SUPPLEMENT OR 
                   REPLACE APPROPRIATED FUNDS FOR CONSTRUCTION OF 
                   FACILITIES OF EXCHANGE STORES SYSTEM AND OTHER 
                   NONAPPROPRIATED FUND INSTRUMENTALITIES, 
                   MILITARY LODGING FACILITIES, AND COMMUNITY 
                   FACILITIES.

       (a) In General.--Subchapter III of chapter 147 of title 10, 
     United States Code, is amended by inserting after section 
     2491c the following new section:

     ``Sec. 2491d. Use of nonappropriated funds to supplement or 
       replace appropriated funds for construction of facilities 
       of exchange stores system and other nonappropriated fund 
       instrumentalities, military lodging facilities, and 
       community facilities

       ``(a) Use of Nonappropriated Funds.--The Secretary of 
     Defense may authorize the use of nonappropriated funds in 
     lieu of or to supplement funds appropriated to the Department 
     of Defense for the construction of the following:
       ``(1) Facilities of the exchange stores system and other 
     revenue-generating facilities operated by nonappropriated 
     fund instrumentalities of the Department of Defense for the 
     morale, welfare, and recreation of members of the armed 
     forces.
       ``(2) Facilities of other nonappropriated fund 
     instrumentalities of the Department of Defense for the 
     morale, welfare, and recreation of members of the armed 
     forces.
       ``(3) Military lodging facilities used to provide temporary 
     lodging to authorized members of the armed forces, including 
     temporary duty lodging, permanent change of station lodging, 
     recreational lodging, and military treatment facility 
     lodging.
       ``(4) Community facilities intended to supplement mission 
     activities, such as military museums and service academy 
     extra-curricular activities, or to facilitate private 
     organizations or enterprises, such as financial services, 
     memorials, and thrift shop facilities, on military 
     installations.

[[Page 7740]]

       ``(b) Use Criteria.--The Secretary of Defense may prescribe 
     by regulation the criteria under which nonappropriated funds 
     may be used under subsection (a).
       ``(c) Congressional Notification.--When a decision is made 
     to use nonappropriated funds under subsection (a), the 
     Secretary of Defense shall submit a report to the 
     congressional defense committees containing the reasons for 
     using nonappropriated funds in lieu of or to supplement 
     appropriated funds and the amount of nonappropriated funds to 
     be used. The nonappropriated funds may be used only after the 
     end of the 21-day period beginning on the date the report is 
     received by such committees or, if earlier, the end of the 
     14-day period beginning on the date on which a copy of the 
     report is provided in an electronic medium pursuant to 
     section 480 of this title.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such subchapter is amended by inserting after 
     the item relating to section 2491c the end the following new 
     item:

``2491d. Use of nonappropriated funds to supplement or replace 
              appropriated funds for construction of facilities of 
              exchange stores system and other nonappropriated fund 
              instrumentalities, military lodging facilities, and 
              community facilities.''.

     SEC. 654. REPORT ON COST EFFECTIVENESS OF PURCHASING 
                   COMMERCIAL INSURANCE FOR COMMISSARY AND 
                   EXCHANGE FACILITIES AND FACILITIES OF OTHER 
                   MORALE, WELFARE, AND RECREATION PROGRAMS AND 
                   NONAPPROPRIATED FUND INSTRUMENTALITIES.

       (a) Report Required.--Not later than July 31, 2007, the 
     Secretary of Defense shall submit to Congress a report 
     evaluating the cost effectiveness of the Defense Commissary 
     Agency and the nonappropriated fund activities specified in 
     subsection (b) purchasing commercial insurance to protect 
     financial interests in facilities operated by the Defense 
     Commissary Agency or those nonappropriated fund activities.
       (b) Covered Nonappropriated Fund Activities.--The report 
     shall apply with respect to--
       (1) the Army and Air Force Exchange Service;
       (2) the Navy Exchange Service Command;
       (3) a Marine Corps exchange; and
       (4) any nonappropriated fund activity of the Department of 
     Defense for the morale, welfare, and recreation of members of 
     the armed forces.

                       Subtitle F--Other Matters

     SEC. 661. REPEAL OF ANNUAL REPORTING REQUIREMENT REGARDING 
                   EFFECTS OF RECRUITMENT AND RETENTION 
                   INITIATIVES.

       (a) Repeal.--Section 1015 of title 37, United States Code, 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 19 of title 37, United States Code, is 
     amended by striking the item relating to section 1015.

     SEC. 662. PILOT PROJECT REGARDING PROVIDING GOLF CARTS 
                   ACCESSIBLE FOR DISABLED PERSONS AT MILITARY 
                   GOLF COURSES.

       (a) Pilot Project Required.--The Secretary of Defense shall 
     conduct a pilot project at not less than three military golf 
     courses to evaluate the cost effectiveness and utility of 
     making available at military golf courses golf carts that are 
     accessible for disabled persons authorized to use such 
     courses and the demand among disabled persons authorized to 
     use such courses for accessible golf carts. The Secretary 
     shall provide at least two accessible golf carts at each 
     pilot project location.
       (b) Pilot Project Locations.--The military golf courses 
     selected to participate in the pilot project shall be 
     geographically dispersed, except that one of the military 
     golf courses shall be in the Washington metropolitan area.
       (c) Duration.--The Secretary shall conduct the pilot 
     project for a minimum of one year.
       (d) Report Required.--Not later than 180 days after the 
     conclusion of the pilot project, the Secretary shall submit a 
     report to Congress containing the results of the project and 
     such recommendations as the Secretary considers appropriate 
     regarding providing golf carts accessible to disabled 
     persons.

     SEC. 663. ENHANCED AUTHORITY TO REMIT OR CANCEL INDEBTEDNESS 
                   OF MEMBERS OF THE ARMED FORCES INCURRED ON 
                   ACTIVE DUTY.

       (a) Period of Exercise of Service Secretary Authority After 
     Separation From Active Duty.--Sections 4837(b), 6161(b), and 
     9837(b) of title 10, United States Code, are each amended by 
     striking ``one-year period'' each place it appears and 
     inserting ``five-year period''.
       (b) Two-Year Extension of Enhanced Authority.--Subsections 
     (a)(3), (b)(3), and (c)(3) of section 683 of the National 
     Defense Authorization Act for Fiscal Year 2006 (Public Law 
     109-163; 119 Stat. 3322) are amended by striking ``December 
     31, 2007'' in the first sentence and inserting ``December 31, 
     2009''.

                   TITLE VII--HEALTH CARE PROVISIONS

                Subtitle A--TRICARE Program Improvements

Sec. 701. TRICARE coverage for forensic examination following sexual 
              assault or domestic violence.
Sec. 702. Authorization of anesthesia and other costs for dental care 
              for children and certain other patients.
Sec. 703. Improvements to descriptions of cancer screening.
Sec. 704. Prohibition on increases in certain health care costs for 
              members of the uniformed services.
Sec. 705. Services of mental health counselors.
Sec. 706. Demonstration project on coverage of selected over-the-
              counter medications under the pharmacy benefit program.
Sec. 707. Requirement to reimburse certain travel expenses of certain 
              beneficiaries covered by TRICARE for life.
Sec. 708. Inflation adjustment of differential payments to children's 
              hospitals participating in TRICARE program.
Sec. 709. Expanded eligibility of Selected Reserve members under 
              TRICARE program.
Sec. 710. Extension to TRICARE of medicare prohibition of financial 
              incentives not to enroll in group health plan.

                    Subtitle B--Studies and Reports

Sec. 711. Department of Defense task force on the future of military 
              health care.
Sec. 712. Study and plan relating to chiropractic health care services.
Sec. 713. Comptroller General study and report on Defense Health 
              Program.
Sec. 714. Transfer of custody of the Air Force Health Study assets to 
              Medical Follow-up Agency.
Sec. 715. Study on allowing dependents of activated members of Reserve 
              Components to retain civilian health care coverage.

                       Subtitle C--Other Matters

Sec. 721. Costs of incentive payments to employees for TRICARE 
              enrollment made unallowable for contractors.
Sec. 722. Requirement for military medical personnel to be trained in 
              preservation of remains.

           Subtitle D--Pharmacy Benefits Program Improvements

Sec. 731. TRICARE pharmacy program cost-share requirements.

                Subtitle A--TRICARE Program Improvements

     SEC. 701. TRICARE COVERAGE FOR FORENSIC EXAMINATION FOLLOWING 
                   SEXUAL ASSAULT OR DOMESTIC VIOLENCE.

       Section 1079(a) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(17) Forensic examinations following a sexual assault or 
     domestic violence may be provided.''.

     SEC. 702. AUTHORIZATION OF ANESTHESIA AND OTHER COSTS FOR 
                   DENTAL CARE FOR CHILDREN AND CERTAIN OTHER 
                   PATIENTS.

       Section 1079(a)(1) of title 10, United States Code, is 
     amended to read as follows:
       ``(1) With respect to dental care--
       ``(A) except as provided in subparagraph (B), only that 
     care required as a necessary adjunct to medical or surgical 
     treatment may be provided; and
       ``(B) in connection with dental treatment for patients with 
     developmental, mental, or physical disabilities or for 
     pediatric patients age 5 or under, only institutional and 
     anesthesia services may be provided.''.

     SEC. 703. IMPROVEMENTS TO DESCRIPTIONS OF CANCER SCREENING.

       (a) Terms Related to Primary and Preventive Health Care 
     Services for Women.--Section 1074d(b) of title 10, United 
     States Code, is amended--
       (1) in paragraph (1), by striking ``Papanicolaou tests (pap 
     smear)'' and inserting ``Cervical cancer screening''; and
       (2) in paragraph (2), by striking ``Breast examinations and 
     mammography'' and inserting ``Breast cancer screening''.
       (b) Terms Related to Contracts for Medical Care for Spouses 
     and Children.--Section 1079(a)(2) of such title is amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``the schedule of pap smears and mammograms'' and inserting 
     ``the schedule and method of breast and cervical cancer 
     screenings''; and
       (2) in subparagraph (B), by striking ``pap smears and 
     mammograms or'' and inserting ``cervical, breast,''.

     SEC. 704. PROHIBITION ON INCREASES IN CERTAIN HEALTH CARE 
                   COSTS FOR MEMBERS OF THE UNIFORMED SERVICES.

       (a) Prohibition on Increase in Charges Under Contracts for 
     Medical Care.--Section 1097(e) of title 10, United States 
     Code, is amended by adding at the end the following: ``A 
     premium, deductible, copayment, or other charge prescribed by 
     the Secretary under this subsection may not be increased 
     during the period beginning on April 1, 2006, and ending on 
     December 31, 2007.''.
       (b) Prohibition on Increase in Charges for Inpatient 
     Care.--Section 1086(b)(3) of title 10, United States Code, is 
     amended by inserting after ``charges for inpatient care'' the 
     following: ``, except that in no case may the charges for 
     inpatient care for a patient exceed $535 per day during the 
     period beginning on April 1, 2006, and ending on December 31, 
     2007.''.
       (c) Prohibition on Increase in Premiums Under TRICARE 
     Coverage for Certain Members in the Selected Reserve.--
     Section 1076d(d)(3) of title 10, United States Code, is 
     amended by adding at the end the following: ``During the 
     period beginning on April 1, 2006, and ending on December 31, 
     2007, the monthly amount of the premium may not be increased 
     above the amount in effect for the month of March 2006.''.

[[Page 7741]]

       (d) Prohibition on Increase in Premiums Under TRICARE 
     Coverage for Members of the Ready Reserve.--Section 
     1076b(e)(3) of title 10, United States Code, is amended by 
     adding at the end the following: ``During the period 
     beginning on April 1, 2006, and ending on December 31, 2007, 
     the monthly amount of a premium under paragraph (2) may not 
     be increased above the amount in effect for the first month 
     health care is provided under this section as amended by 
     Public Law 109-163.''.

     SEC. 705. SERVICES OF MENTAL HEALTH COUNSELORS.

       (a) Reimbursement of Mental Health Counselors Under 
     TRICARE.--
       (1)  reimbursement under tricare.--Section 1079(a)(8) of 
     title 10, United States Code, is amended--
       (A) by inserting ``or licensed or certified mental health 
     counselors'' after ``certified marriage and family 
     therapists'' both places it appears; and
       (B) by inserting ``or licensed or certified mental health 
     counselors'' after ``that the therapists.''
       (2) Authority to assess medical or psychological necessity 
     of service or supply.--Section 1079(a)(13) of such title is 
     amended by inserting ``, licensed or certified mental health 
     counselor, '' after ``certified marriage and family 
     therapist''.
       (b) Services of Mental Health Counselors.--
       (1) Authority to enter into personal services contracts.--
     Section 704(c)(2) of the National Defense Authorization Act 
     for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2799; 10 
     U.S.C. 1091 note) is amended by inserting ``mental health 
     counselors,'' after ``psychologists,''.
       (2) Applicability of licensure requirement for health-care 
     professionals.--Section 1094 (e)(2) of title 10, United 
     States Code, is amended by inserting ``mental health 
     counselor,'' after ``psychologist,''.

     SEC. 706. DEMONSTRATION PROJECT ON COVERAGE OF SELECTED OVER-
                   THE-COUNTER MEDICATIONS UNDER THE PHARMACY 
                   BENEFIT PROGRAM.

       (a) Requirement to Conduct Demonstration.--The Secretary of 
     Defense shall conduct a demonstration project under section 
     1092 of title 10, United States Code, to allow particular 
     over-the-counter medications to be included on the uniform 
     formulary under section 1074g of such title.
       (b) Elements of Demonstration Project.--
       (1) Inclusion of certain over-the-counter medications.--As 
     part of the demonstration project, the Secretary shall modify 
     uniform formulary specifications under section 1074g(a)(2) of 
     such title to include on the uniform formulary any 
     pharmaceutical agent that does not require a prescription 
     (commonly referred to as an over-the-counter medication) if 
     the Pharmacy and Therapeutics Committee finds that the over-
     the-counter medication is a clinically effective and cost-
     effective alternative to a pharmaceutical agent that requires 
     a prescription. If the Pharmacy and Therapeutics Committee 
     makes such a finding, the over-the-counter medication shall 
     be considered to be in the same therapeutic class of 
     pharmaceutical agents that the agent requiring a prescription 
     is in, and to the same extent as any agent in the class that 
     requires a prescription. Such an over-the-counter medication 
     shall be made available to a beneficiary through the 
     demonstration program only if the medication is in place of a 
     pharmaceutical agent requiring a prescription and the 
     beneficiary has a prescription for that pharmaceutical agent.
       (2) Conduct through military facilities, retail pharmacies, 
     or mail order program.--The Secretary shall conduct the 
     demonstration project through at least two of the means 
     described in subparagraph (E) of section 1074g(a)(2) through 
     which over-the-counter medications are provided and may 
     conduct the demonstration project throughout the entire 
     pharmacy benefits program or at a limited number of sites. If 
     the project is conducted at a limited number of sites, the 
     number of sites shall be not less than five in each TRICARE 
     region for each of the two means described in such 
     subparagraph (E).
       (3) Period of demonstration.--The Secretary shall provide 
     for conducting the demonstration project for a period of time 
     necessary to evaluate the feasibility and cost effectiveness 
     of the demonstration. Such period shall be at least as long 
     as the period covered by pharmacy contracts in existence on 
     the date of the enactment of this Act (including any 
     extensions of the contracts), or five years, whichever is 
     shorter.
       (4) Implementation deadline.-- Implementation of the 
     demonstration project shall begin not later than May 1, 2007.
       (c) Report.--Not later than 60 days before the end of the 
     demonstration project, the Secretary shall submit to the 
     Committees on Armed Services of the House of Representatives 
     and the Senate a report on the demonstration project. The 
     report shall contain an evaluation by the Secretary of the 
     costs and benefits of the project, and recommendations on 
     whether permanent authority should be provided to cover over-
     the-counter medications under the pharmacy benefits program.
       (d) Continuation of Demonstration Project.--If the 
     Secretary recommends in the report under subsection (c) that 
     permanent authority should be provided, the Secretary may 
     continue the demonstration project for up to one year after 
     submitting the report.

     SEC. 707. REQUIREMENT TO REIMBURSE CERTAIN TRAVEL EXPENSES OF 
                   CERTAIN BENEFICIARIES COVERED BY TRICARE FOR 
                   LIFE.

       (a) Requirement.--Section 1074i of title 10, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(c) TRICARE for Life Beneficiaries.--
       ``(1) An eligible TRICARE for Life beneficiary shall be 
     provided reimbursement for travel expenses to a military 
     medical treatment facility if--
       ``(A) the purpose of the travel is for a follow-up 
     appointment for medical treatment of a condition of the 
     beneficiary; and
       ``(B) the initial appointment for medical treatment of the 
     condition was at the same facility.
       ``(2) Reimbursement under this subsection shall, as nearly 
     as practicable, be under the same terms and conditions, and 
     shall be at the same rate, as apply to beneficiary travel 
     reimbursement provided under subsection (a), except that 
     reimbursement shall be provided--
       ``(A) for no more than 3 follow-up appointments; and
       ``(B) only if adequate follow-up medical treatment, as 
     determined under the TRICARE program, cannot be obtained 
     within 100 miles of the residence of the beneficiary.
       ``(3) In this subsection, the term `eligible TRICARE for 
     Life beneficiary' means a person--
       ``(A) who is eligible for health benefits under section 
     1086 of this title by reason of subsection (d)(2)(A) of that 
     section;
       ``(B) who attained age 65 after an initial appointment for 
     medical treatment at a military medical treatment facility; 
     and
       ``(C) who resides more than 100 miles from the military 
     medical treatment facility and was referred to such facility 
     for treatment by a specialty care provider.''.
       (b) Effective Date.--Subsection (c) of section 1074i of 
     title 10, United States Code, as added by subsection (a), 
     shall apply with respect to beneficiaries who attain age 65 
     after the date of the enactment of this Act.

     SEC. 708. INFLATION ADJUSTMENT OF DIFFERENTIAL PAYMENTS TO 
                   CHILDREN'S HOSPITALS PARTICIPATING IN TRICARE 
                   PROGRAM.

       (a) Annual Inflation Adjustment.--Beginning in fiscal year 
     2007, the Secretary of Defense shall annually adjust for 
     inflation the TRICARE children's hospital differential 
     payment rate. The adjustment for a fiscal year shall be the 
     same as the applicable percentage increase defined under 
     section 1886(d)(3)(B)(i) of the Social Security Act (42 
     U.S.C. 1395ww(d)(3)(B)(i)) for that fiscal year for hospitals 
     located in large urban areas.
       (b) TRICARE Children's Hospital Differential Payment 
     Rate.--In this section, the term ``TRICARE children's 
     hospital differential payment rate'' means the differential 
     payment rate by the Department of Defense to children's 
     hospitals for health care services for dependent children of 
     members of the uniformed services under the TRICARE program.

     SEC. 709. EXPANDED ELIGIBILITY OF SELECTED RESERVE MEMBERS 
                   UNDER TRICARE PROGRAM.

       (a) General Eligibility.--Subsection (a) of section 1076d 
     of title 10, United States Code, is amended--
       (1) by striking ``(a) Eligibility.--A member'' and 
     inserting ``(a) Eligibility.--(1) Except as provided in 
     paragraph (2), a member'';
       (2) by striking ``after the member completes'' and all that 
     follows through ``one or more whole years following such 
     date''; and
       (3) by adding at the end the following new paragraph:
       ``(2) Paragraph (1) does not apply to a member who is 
     enrolled, or is eligible to enroll, in a health benefits plan 
     under chapter 89 of title 5.''.
       (b) Condition for Termination of Eligibility.--Subsection 
     (b) of such section is amended--
       (1) by striking ``(b) Period of Coverage.--(1) TRICARE 
     Standard'' and all that follows through ``(4) Eligibility'' 
     and inserting ``(b) Termination of Eligibility Upon 
     Termination of Service.--Eligibility''; and
       (2) by striking paragraph (5).
       (c) Conforming Amendments.--
       (1) Such section is further amended--
       (A) by striking subsection (e);
       (B) by redesignating subsection (g) as subsection (e) and 
     transferring such subsection within such section so as to 
     appear following subsection (d); and
       (C) by striking paragraph (3) of subsection (f).
       (2) The heading for such section is amended to read as 
     follows:

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

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

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

       (f) Savings Provision.--Enrollments in TRICARE Standard 
     that are in effect on the day before the date of the 
     enactment of this Act under section 1076d of title 10, United 
     States Code, as in effect on such day, shall be continued 
     until terminated after such day under such section 1076d as 
     amended by this section.

[[Page 7742]]

       (g) Effective Date.--The Secretary of Defense shall ensure 
     that health care under TRICARE Standard is provided under 
     section 1076d of title 10, United States Code, as amended by 
     this section, beginning not later than October 1, 2007.

     SEC. 710. EXTENSION TO TRICARE OF MEDICARE PROHIBITION OF 
                   FINANCIAL INCENTIVES NOT TO ENROLL IN GROUP 
                   HEALTH PLAN.

       (a) In General.--Section 1097b of title 10, United States 
     Code, is amended by redesignating subsection (c) as 
     subsection (d) and by adding the following after subsection 
     (b):
       ``(c) Prohibition of Financial Incentives not to Enroll in 
     a Group Health Plan.--(1) Except as provided in this 
     subsection, the provisions of section 1862(b)(3)(C) of the 
     Social Security Act shall apply with respect to financial or 
     other incentives for an individual eligible for benefits 
     under section 1086 of this title not to enroll (or to 
     terminate enrollment) under a health plan which would (in the 
     case of such enrollment) be a primary plan under sections 
     1079(j)(1) and 1086(g) of this title in the same manner as 
     such section 1862(b)(3)(C) applies to financial or other 
     incentives for an individual entitled to benefits under title 
     XVIII of the Social Security Act not to enroll (or to 
     terminate enrollment) under a group health plan or a large 
     group health plan which would (in the case of enrollment) be 
     a primary plan (as defined in section 1862(b)(2)(A) of such 
     Act).
       ``(2)(A) The Secretary of Defense may by regulation adopt 
     such exceptions to the prohibition referenced and applied 
     under paragraph (1) as the Secretary deems appropriate and 
     such paragraph (1) shall be implemented taking into account 
     the adoption of such exceptions.
       ``(B) The Secretary of Defense and the Secretary of Health 
     and Human Services are authorized to enter into agreements 
     for carrying out this subsection. Any such agreement shall 
     provide that any expenses incurred by the Secretary of Health 
     and Human Services pertaining to carrying out this subsection 
     shall be reimbursed by the Secretary of Defense.
       ``(C) Authorities of the Inspector General of the 
     Department of Defense shall be available for oversight and 
     investigations of responsibilities of employers and other 
     entities under this subsection.
       ``(D) Information obtained under section 1095(k) of this 
     title may be used in carrying out this subsection in the same 
     manner as information obtained under section 1862(b)(5) may 
     be used in carrying out section 1862(b).
       ``(E) Any amounts collected in carrying out paragraph (1) 
     shall be handled in accordance with section 1079a of this 
     title.
       ``(3) In addition to any penalty applied under the 
     authority of paragraph (1), the Secretary of Defense may by 
     regulation provide that repeated violations by an employer or 
     other entity of the prohibition referenced and applied under 
     paragraph (1) are grounds for exclusion of the employer or 
     other entity from any contract or subcontract to provide 
     goods or services to, or any financial assistance from, the 
     Department of Defense.''.
       (b) Conforming Amendment.--Section 1095(k)(5) of such title 
     is amended by striking ``and 1086(d)'' and inserting ``, 
     1086(d), and 1097b(c)''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect January 1, 2008.

                    Subtitle B--Studies and Reports

     SEC. 711. DEPARTMENT OF DEFENSE TASK FORCE ON THE FUTURE OF 
                   MILITARY HEALTH CARE.

       (a) Requirement to Establish.--The Secretary of Defense 
     shall establish within the Department of Defense a task force 
     to examine matters relating to the future of military health 
     care.
       (b) Composition.--
       (1) Members.--The task force shall consist of not more than 
     14 members appointed by the Secretary of Defense from among 
     individuals described in paragraph (2) who have demonstrated 
     expertise in the area of health care programs and costs.
       (2) Range of members.--The individuals appointed to the 
     task force shall include--
       (A) at least one member of each of the Medical Departments 
     of the Army, Navy, and Air Force;
       (B) a number of persons from outside the Department of 
     Defense equal to the total number of personnel from within 
     the Department of Defense (whether members of the Armed 
     Forces or civilian personnel) who are appointed to the task 
     force;
       (C) persons who have experience in--
       (i) health care actuarial forecasting;
       (ii) health care program development;
       (iii) health care budget management;
       (iv) evidence-based medicine;
       (v) health care performance measurement;
       (vi) health care quality improvement; and
       (vii) academic institute research in health care services;
       (D) at least one member from the Institute of Medicine;
       (E) at least one member from the Defense Business Board; 
     and
       (F) at least one representative from a military or veterans 
     service organization who has experience in health care.
       (3) Individuals appointed outside the department of 
     defense.--
       (A) Individuals appointed to the task force from outside 
     the Department of Defense may include officers or employees 
     of other departments or agencies of the Federal Government, 
     officers or employees of State and local governments, or 
     individuals from the private sector.
       (B) Individuals appointed to the task force from outside 
     the Department of Defense shall include--
       (i) an officer or employee of the Department of Veterans 
     Affairs; and
       (ii) an officer or employee of the Department of Health and 
     Human Services.
       (4) Deadline for appointment.--All appointments of 
     individuals to the task force shall be made not later than 90 
     days after the date of the enactment of this Act.
       (5) Co-chairs of task force.--There shall be two co-chairs 
     of the task force. One of the co-chairs shall be designated 
     by the Secretary of Defense at the time of appointment from 
     among the Department of Defense personnel appointed to the 
     task force. The other co-chair shall be selected from among 
     the members appointed from outside the Department of Defense 
     by members so appointed.
       (c) Assessment and Recommendations on the Future of 
     Military Health Care.--
       (1) In general.--Not later than 12 months after the date on 
     which all members of the task force have been appointed, the 
     task force shall submit to the Secretary a report containing 
     an assessment of, and recommendations for, sustaining the 
     military health care services being provided to members of 
     the Armed Forces, retirees, and their families.
       (2) Utilization of other efforts.--In preparing the report, 
     the task force shall take into consideration the findings and 
     recommendation included in the Healthcare for Military 
     Retirees Task Group of the Defense Business Board, previous 
     Government Accountability Office reports, studies and reviews 
     by the Assistant Secretary of Defense for Health Affairs, and 
     any other studies or research conducted by organizations 
     regarding improvements to sustain the military health care 
     system.
       (3) Elements.--The assessment and recommendations 
     (including recommendations for legislative or administrative 
     action) shall include measures to improve the following:
       (A) Wellness initiatives and disease management programs of 
     the Department of Defense, including health risk tracking and 
     the use of rewards for wellness.
       (B) Education programs focused on prevention awareness and 
     patient-initiated health care.
       (C) The ability to account for the true and accurate cost 
     of health care in the military health system.
       (D) Alternative health care initiatives to manage patient 
     behavior and costs.
       (E) The appropriate command and control structure within 
     the Department of Defense and the Armed Forces to manage the 
     military health system.
       (F) The adequacy of the military health care procurement 
     system, including methods to streamline existing procurement 
     activities.
       (G) The appropriate mix of military and civilian personnel 
     to meet future readiness and high-quality health care service 
     requirements.
       (H) The beneficiary and Government cost sharing structure 
     required to sustain the military health benefits over the 
     long term.
       (I) Programs focused on managing the health care needs of 
     Medicare-eligible military beneficiaries.
       (J) Efficient and cost effective contracts for health care 
     services, including performance-based requirements for health 
     care provider reimbursement.
       (c) Administrative Matters.--
       (1) Compensation.--Each member of the task force who is a 
     member of the Armed Forces or a civilian officer or employee 
     of the United States shall serve without compensation (other 
     than compensation to which entitled as a member of the Armed 
     Forces or an officer or employee of the United States, as the 
     case may be). Other members of the task force shall be 
     treated for purposes of section 3161 of title 5, United 
     States Code, as having been appointed under subsection (b) of 
     such section.
       (2) Oversight.--The Under Secretary of Defense for 
     Personnel and Readiness shall oversee the activities of the 
     task force.
       (3) Administrative support.--The Washington Headquarters 
     Services of the Department of Defense shall provide the task 
     force with personnel, facilities, and other administrative 
     support as necessary for the performance of the duties of the 
     task force.
       (4) Access to facilities.--The Under Secretary of Defense 
     for Personnel and Readiness shall, in coordination with the 
     Secretaries of the military departments, ensure appropriate 
     access by the task force to military installations and 
     facilities for purposes of the discharge of the duties of the 
     task force.
       (e) Report.--
       (1) In general.--The task force shall submit to the 
     Secretary of Defense a report on its activities under this 
     section. The report shall include--
       (A) a description of the activities of the task force;
       (B) the assessment and recommendations required by 
     subsection (c); and
       (C) such other matters relating to the activities of the 
     task force that the task force considers appropriate.
       (2) Transmittal to congress.--Not later than 90 days after 
     receipt of the report under paragraph (1), the Secretary 
     shall transmit the report to the Committees on Armed Services 
     of the Senate and the House of Representatives. The Secretary 
     may include in the transmittal such comments on the report as 
     the Secretary considers appropriate.
       (f) Plan Required.--Not later than 6 months after receipt 
     of the report from the task force under subsection (e)(1), 
     the Secretary of Defense

[[Page 7743]]

     shall develop a plan based on the recommendations of the task 
     force and submit the plan to the Committees on Armed Services 
     of the Senate and the House of Representatives.
       (g) Termination.--The task force shall terminate 90 days 
     after the date on which the report of the task force is 
     submitted to Congress under subsection (e)(2).

     SEC. 712. STUDY AND PLAN RELATING TO CHIROPRACTIC HEALTH CARE 
                   SERVICES.

       (a) Study Required.--
       (1) Groups covered.--The Secretary of Defense shall conduct 
     a study of providing chiropractic health care services and 
     benefits to the following groups:
       (A) All members of the uniformed services on active duty 
     and entitled to care under section 1074(a) of title 10, 
     United States Code.
       (B) All members described in subparagraph (A) and their 
     eligible dependents, and all members of reserve components of 
     the uniformed services and their eligible dependents.
       (C) All members or former members of the uniformed services 
     who are entitled to retired or retainer pay or equivalent pay 
     and their eligible dependents.
       (2) Matters examined.--
       (A) For each group listed in subparagraphs (A), (B), and 
     (C) of paragraph (1), the study shall examine the following 
     with respect to chiropractic health care services and 
     benefits:
       (i) The cost of providing such services and benefits.
       (ii) The feasibility of providing such services and 
     benefits.
       (iii) An assessment of the health care benefits of 
     providing such services and benefits.
       (iv) An estimate of the potential cost savings of providing 
     such services and benefits in lieu of other medical services.
       (v) The identification of existing and planned health care 
     infrastructure, including personnel, equipment, and 
     facilities, to accommodate the provision of chiropractic 
     health care services.
       (B) For the members of the group listed in subparagraph (A) 
     of paragraph (1), the study shall examine the effects of 
     providing chiropractic health care services and benefits--
       (i) on the readiness of such members; and
       (ii) on the acceleration of the return to duty of such 
     members following an identified injury or other malady that 
     can be appropriately treated with chiropractic health care 
     services.
       (3) Space available costs.--The study shall also include a 
     detailed analysis of the projected costs of providing 
     chiropractic health care services on a space available basis 
     in the military treatment facilities currently providing 
     chiropractic care under section 702 of the Floyd D. Spence 
     National Defense Authorization Act of Fiscal Year 2001 (as 
     enacted by Public Law 106-398; 10 U.S.C. 1092 note).
       (4) Eligible dependents defined.--In this section, the term 
     ``eligible dependent'' has the meaning given that term in 
     section 1076a(k) of title 10, United States Code.
       (b) Plan Required.--Not later than March 31, 2007, the 
     Secretary of Defense shall revise the plan required under 
     section 702 of the Floyd D. Spence National Defense 
     Authorization Act of Fiscal Year 2001 (as enacted by Public 
     Law 106-398; 10 U.S.C. 1092 note), including a detailed 
     analysis of the projected costs, to provide chiropractic 
     health care services and benefits as a permanent part of the 
     Defense Health Program (including the TRICARE program) as 
     required under that section.
       (c) Report Required.--Not later than March 31, 2007, the 
     Secretary of Defense shall submit a report on the study 
     required under subsection (a), together with the plan 
     required under subsection (b), to the Committees on Armed 
     Services of the Senate and the House of Representatives.

     SEC. 713. COMPTROLLER GENERAL STUDY AND REPORT ON DEFENSE 
                   HEALTH PROGRAM.

       (a) Study Required.--The Comptroller General, in 
     cooperation with the Congressional Budget Office, shall 
     conduct a study of the projected cost savings to the Defense 
     Health Program included in the fiscal year 2007 budget 
     request.
       (b) Elements.--The study required by subsection (a) shall 
     include the following:
       (1) An evaluation of the rationale for calculations made by 
     the Department of Defense for the portion of total health 
     care costs paid by beneficiaries in 1995 and in 2005, 
     including issues such as--
       (A) the rationale for the Department's stated costs of 
     providing the benefit in 1995 and in 2005;
       (B) the basis for the Department's calculations of 
     increases in cost between 1995 and 2005; and
       (C) the amounts paid by beneficiaries for health care in 
     1995 and 2005.
       (2) An evaluation of the rationale for calculations and 
     assumptions made by the Department of Defense for the 
     estimated savings associated with the implementation of its 
     cost share increases.
       (3) A review of the annual rate of medical inflation of the 
     Department of Defense and how it compares with the annual 
     rates of increase in health care premiums in the Federal 
     Employee Health Benefit Program and other health care 
     programs as well as other health care indexes for the past 5 
     years.
       (4) An assessment of the rationale for the cost share 
     increase amounts made by the Department of Defense.
       (c) Independent Experts.--To ensure the availability of 
     appropriate expertise in addressing the elements of the study 
     required under this section, the Comptroller General may use 
     independent experts, such as actuaries, if needed.
       (d) Report.--The Comptroller General shall submit to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a report on the study required by subsection 
     (a) not later than June 1, 2007.

     SEC. 714. TRANSFER OF CUSTODY OF THE AIR FORCE HEALTH STUDY 
                   ASSETS TO MEDICAL FOLLOW-UP AGENCY.

       (a) Transfer.--
       (1) Notification of participants.--The Secretary of the Air 
     Force shall notify the participants of the Air Force Health 
     Study that the study as currently constituted is ending as of 
     September 30, 2006. In consultation with the Medical Follow-
     up Agency (in this section referred to as the ``Agency'') of 
     the Institute of Medicine of the National Academy of 
     Sciences, the Secretary of the Air Force shall request the 
     written consent of the participants to transfer their data 
     and biological specimens to the Agency during fiscal year 
     2007 and written consent for the Agency to maintain the data 
     and specimens and make them available for additional studies.
       (2) Completion of transfer.--Custodianship of the Air Force 
     Health Study shall be completely transferred to the Agency on 
     or before September 30, 2007. Assets to be transferred shall 
     include electronic data files and biological specimens of all 
     the study participants.
       (3) Copies to archives.--The Air Force shall send paper 
     copies of all study documents to the National Archives.
       (b) Report on Transfer.--
       (1) Requirement.--Not later than 30 days after completion 
     of the transfer of the assets of the Air Force Health Study 
     under subsection (a), the Secretary of the Air Force shall 
     submit to the Committees on Armed Services of the Senate and 
     the House of Representatives a report on the transfer.
       (2) Matters covered.--At a minimum, the report shall 
     include information on the number of study participants whose 
     data and biological specimens were not transferred, the 
     efforts that were taken to contact such participants, and the 
     reasons why the transfer of their data and specimens did not 
     occur.
       (c) Disposition of Assets Not Transferred.--The Secretary 
     of the Air Force may not destroy any data or biological 
     specimens not transferred under subsection (a) until the 
     expiration of the one-year period following submission of the 
     report under subsection (b).
       (d) Funding.--
       (1) Costs of transfer.--The Secretary of Defense shall make 
     available to the Air Force $850,000 for preparation, transfer 
     of the assets of the Air Force Health Study and shipment of 
     data and specimens to the Medical Follow-up Agency and the 
     National Archives during fiscal year 2007 from amounts 
     available from the Department of Defense for that year. The 
     Secretary of Defense is authorized to transfer the freezers 
     and other physical assets assigned to the Air Force Health 
     Study to the Agency without charge.
       (2) Costs of collaboration.--The Secretary of Defense may 
     reimburse the National Academy of Sciences up to $200,000 for 
     costs of the Medical Follow-up Agency to collaborate with the 
     Air Force in the transfer and receipt of the assets of the 
     Air Force Health Study to the Agency during fiscal year 2007 
     from amounts available from the Department of Defense for 
     that year.

     SEC. 715. STUDY ON ALLOWING DEPENDENTS OF ACTIVATED MEMBERS 
                   OF RESERVE COMPONENTS TO RETAIN CIVILIAN HEALTH 
                   CARE COVERAGE.

       (a) Study Requirement.--The Secretary of Defense shall 
     conduct a study on the feasibility of allowing family members 
     of members of the Reserve Components who are called or 
     ordered to active duty to continue health care coverage under 
     a civilian health care program and provide reimbursement for 
     such health care.
       (b) Elements.--The study required by subsection (a) shall 
     include the following:
       (1) An assessment of the number of military dependents with 
     special health care needs (such as ongoing chemotherapy or 
     physical therapy) who would benefit from continued coverage 
     under the member's civilian health care plan instead of 
     enrolling in the TRICARE program.
       (2) An assessment of the feasibility of providing 
     reimbursement to the member or the sponsor of the civilian 
     health coverage.
       (3) A recommendation on the appropriate rate of 
     reimbursement for civilian employers or members.
       (4) The feasibility of including dependents who do not have 
     access to health care providers that accept payment under the 
     TRICARE program (such as those in rural areas).
       (c) Report Required.--Not later than 180 days after the 
     date of the enactment of this Act, the Secretary of Defense 
     shall submit to the Committees on Armed Services of the 
     Senate and the House of Representatives a report on the study 
     required under subsection (a).

                       Subtitle C--Other Matters

     SEC. 721. COSTS OF INCENTIVE PAYMENTS TO EMPLOYEES FOR 
                   TRICARE ENROLLMENT MADE UNALLOWABLE FOR 
                   CONTRACTORS.

       (a) Defense Contracts.--Section 2324(e)(1) of title 10, 
     United States Code, is amended by adding at the end the 
     following new subparagraph:
       ``(Q) Costs incurred by a contractor for incentive payments 
     to employees to encourage enrollment in the TRICARE program 
     under chapter 55 of this title or any other Government-
     sponsored health care program, except that this subparagraph 
     does not apply to such costs incurred by a contractor 
     performing a contract to which any of the following applies:

[[Page 7744]]

       ``(i) The Services Contract Act of 1965 (41 U.S.C. 351 et 
     seq.).
       ``(ii) Any other law or labor agreement that requires a 
     company to compensate its employees for health care whether 
     or not the employee participates in a company health plan.''.
       (b) Civilian Agency Contracts.--Section 306(e)(1) of the 
     Federal Property and Administrative Services Act of 1949 (41 
     U.S.C. 256(e)(1)) is amended by adding at the end the 
     following new subparagraph:
       ``(P) Costs incurred by a contractor for incentive payments 
     to employees to encourage enrollment in the TRICARE program 
     under chapter 55 of title 10, United States Code, or any 
     other Government-sponsored health care program, except that 
     this subparagraph does not apply to such costs incurred by a 
     contractor performing a contract to which any of the 
     following applies:
       ``(i) The Services Contract Act of 1965 (41 U.S.C. 351 et 
     seq.).
       ``(ii) Any other law or labor agreement that requires a 
     company to compensate its employees for health care whether 
     or not the employee participates in a company health plan.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to contracts entered into after the 
     date occurring 180 days after the date of the enactment of 
     this Act.

     SEC. 722. REQUIREMENT FOR MILITARY MEDICAL PERSONNEL TO BE 
                   TRAINED IN PRESERVATION OF REMAINS.

       (a) Requirement.--The Secretary of Defense shall develop a 
     program requiring each military department to include 
     training in the preservation of remains for health care 
     professionals under the department's jurisdiction. The 
     training shall be provided before a health care professional 
     is deployed into a theater of operation and periodically 
     thereafter as determined necessary for refresher training.
       (b) Matters Covered by Training.--The training shall 
     include, at a minimum--
       (1) best practices and procedures for the preservation of 
     the remains of a member of the Armed Forces after death, 
     taking into account the needs, sensitivities, and potential 
     wishes of the family of the decedent, including the return of 
     the remains to the family in the best possible condition; and
       (2) practical case studies to illustrate the objectives of 
     paragraph (1) and provide a real world perspective.
       (c) Health Care Professional.--In this section, the term 
     ``health care professional'' means a physician, dentist, 
     clinical psychologist, nurse, nurse practitioner, or 
     physician assistant and any other person providing direct 
     patient care as may be designated by the Secretary of Defense 
     in regulations.

           Subtitle D--Pharmacy Benefits Program Improvements

     SEC. 731. TRICARE PHARMACY PROGRAM COST-SHARE REQUIREMENTS.

       Paragraph (6) of section 1074g(a) of title 10, United 
     States Code, is amended to read as follows:
       ``(6)(A) The Secretary, in regulations prescribed under 
     subsection (g), may establish cost-sharing requirements 
     (which may be established as a percentage or fixed dollar 
     amount) under the pharmacy benefits program for generic, 
     formulary, and nonformulary agents.
       ``(B)(i) With respect to agents available through the 
     national mail-order pharmacy program, the Secretary of 
     Defense may not establish requirements for cost sharing for 
     generic and formulary agents that are in excess of cost 
     sharing requirements for generic and formulary agents 
     available through facilities of the uniformed services.
       ``(ii) With respect to agents available through retail 
     pharmacies, the Secretary of Defense may not establish cost 
     sharing in excess of--
       ``(I) $6 for generic agents;
       ``(II) $16 for formulary agents; and
       ``(III) $22 for nonformulary agents.
       ``(iii) The cost sharing requirements of this subparagraph 
     shall be in effect during the period beginning 90 days after 
     the date of the enactment of the National Defense 
     Authorization Act for Fiscal Year 2007 and ending on December 
     31, 2007.''.

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

 Subtitle A--Provisions Relating to Major Defense Acquisition Programs

Sec. 801. Requirements Management Certification Training Program.
Sec. 802. Additional requirements relating to technical data rights.
Sec. 803. Study and report on revisions to Selected Acquisition Report 
              requirements.
Sec. 804. Quarterly updates on implementation of acquisition reform in 
              the Department of Defense.
Sec. 805. Establishment of defense challenge process for critical cost 
              growth threshold breaches in major defense acquisition 
              programs.
Sec. 806. Market research required for major defense acquisition 
              programs before proceeding to Milestone B.

             Subtitle B--Acquisition Policy and Management

Sec. 811. Applicability of statutory executive compensation cap made 
              prospective.
Sec. 812. Prohibition on procurement from beneficiaries of foreign 
              subsidies.
Sec. 813. Time-certain development for Department of Defense 
              information technology business systems.
Sec. 814. Establishment of Panel on Contracting Integrity.

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

Sec. 821. Extension of special temporary contract closeout authority.
Sec. 822. Limitation on contracts for the acquisition of certain 
              services.
Sec. 823. Use of Federal supply schedules by State and local 
              governments for goods and services for recovery from 
              natural disasters, terrorism, or nuclear, biological, 
              chemical, or radiological attack.
Sec. 824. Waivers to extend task order contracts for advisory and 
              assistance services.
Sec. 825. Enhanced access for small business.
Sec. 826. Procurement goal for Hispanic-serving institutions.
Sec. 827. Prohibition on defense contractors requiring licenses or fees 
              for use of military likenesses and designations.

      Subtitle D--United States Defense Industrial Base Provisions

Sec. 831. Protection of strategic materials critical to national 
              security.
Sec. 832. Strategic Materials Protection Board.

 Subtitle A--Provisions Relating to Major Defense Acquisition Programs

     SEC. 801. REQUIREMENTS MANAGEMENT CERTIFICATION TRAINING 
                   PROGRAM.

       (a) Training Program.--
       (1) Requirement.--The Under Secretary of Defense for 
     Acquisition, Technology, and Logistics, in consultation with 
     the Defense Acquisition University, shall develop a training 
     program to certify civilian and military personnel of the 
     Department of Defense with responsibility for generating 
     requirements for major defense acquisition programs (as 
     defined in section 2430 of title 10, United States Code).
       (2) Competency and other requirements.--The Under Secretary 
     shall establish competency requirements for the personnel 
     undergoing the training program. The Under Secretary shall 
     define the target population for such training program by 
     identifying which civilian and military personnel should have 
     responsibility for generating requirements. The Under 
     Secretary also may establish other training programs for 
     personnel not subject to chapter 87 of title 10, United 
     States Code, and who contribute significantly to other types 
     of acquisitions by the Department of Defense.
       (3) Matters covered.--At a minimum, the training program 
     shall, with respect to a major defense acquisition program--
       (A) provide instruction on the interrelationship among the 
     requirements generation process, the budget process, and the 
     acquisition process within the Department of Defense for such 
     a program;
       (B) stress the importance of generating requirements for 
     such a program that result in joint applications to the 
     maximum extent possible;
       (C) provide instruction on the effects of introducing new 
     requirements for such a program--
       (i) both before and after the commencement of system 
     development and demonstration; and
       (ii) during initial operational test and evaluation;
       (D) ensure that requirements for such a program are derived 
     primarily from capability shortfalls in the program 
     identified by a commander of a combatant command;
       (E) ensure that requirements for such a program are 
     informed by a sound analysis of alternatives, by realistic 
     technical assessments based on technology readiness levels, 
     and by fiscal guidance, including consultation with 
     production engineers on the cost, schedule and technical 
     feasibility of the requirements;
       (F) ensure that, for the introduction of any changes to 
     requirements for such a program, an engineering feasibility 
     assessment that weighs technology readiness, integration, 
     cost, and schedule impacts is conducted after Milestone B 
     approval at the latest, and before Milestone B approval to 
     the maximum extent practicable;
       (G) stress the importance of introducing requirements for 
     such a program that are technologically mature, feasible, and 
     achievable without schedule risk; and
       (H) stress the importance of stable requirements for such a 
     program to provide the baseline for successful execution of 
     the program.
       (4) Availability.--The training program shall be made 
     available on the Internet to ensure the widest dissemination 
     possible.
       (b) Applicability.--Effective on and after September 30, 
     2007, a member of the Armed Forces or an employee of the 
     Department of Defense with authority to generate requirements 
     for a major defense acquisition program may not continue to 
     participate in the requirements generation process unless the 
     member or employee successfully completes the certification 
     training program developed under this section.

     SEC. 802. ADDITIONAL REQUIREMENTS RELATING TO TECHNICAL DATA 
                   RIGHTS.

       (a) Additional Requirements Relating to Technical Data 
     Rights .--Section 2320 of title 10, United States Code, is 
     amended by adding at the end the following new subsection:
       ``(e) Additional Regulations.--(1) Regulations prescribed 
     under subsection (a) shall ensure, at a minimum, that--
       ``(A) in the case of a major system that is developed 
     exclusively with Federal funds, in part with Federal funds 
     and in part at private expense, or exclusively at private 
     expense, rights are acquired in full by the United States to 
     technical data necessary to support competition for contracts 
     required for sustainment of the system; and

[[Page 7745]]

       ``(B) any contract for a major system includes price and 
     delivery options for acquiring, at any point during the life 
     cycle of the system, major elements of technical data not 
     acquired at the time of initial contract award.
       ``(2) Regulations prescribed under subsection (a) also 
     shall establish a standard for acquiring rights in technical 
     data that supports the purchase of data rights appropriate to 
     minimize life cycle costs.
       ``(3) The Under Secretary of Defense for Acquisition, 
     Technology, and Logistics shall ensure that members of the 
     acquisition workforce working with any contract in an amount 
     greater than $5,000,000 and involving the acquisition of 
     rights in technical data be provided information and formal 
     training sufficient to carry out the regulations prescribed 
     under subsection (a) to implement this subsection.''.
       (b) Regulations.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of Defense shall 
     revise regulations under section 2320 of title 10, United 
     States Code, to implement subsection (e) of such section (as 
     added by this section).

     SEC. 803. STUDY AND REPORT ON REVISIONS TO SELECTED 
                   ACQUISITION REPORT REQUIREMENTS.

       (a) Study Requirement.--The Secretary of Defense, acting 
     through the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics in coordination with the service 
     acquisition executives of each military department, shall 
     conduct a study on revisions to requirements relating to 
     Selected Acquisition Reports, as set forth in section 2432 of 
     title 10, United States Code.
       (b) Matters Covered.--The study required under subsection 
     (a) shall--
       (1) focus on incorporating into the Selected Acquisition 
     Report those elements of program progress that the Department 
     of Defense considers most relevant to evaluating the 
     performance and progress of major defense acquisition 
     programs, with particular reference to the cost estimates and 
     program schedule established when a major defense acquisition 
     program receives Milestone B approval; and
       (2) include any recommendations to eliminate elements of 
     the Selected Acquisition Report that the Department believes 
     are no longer needed (other than the elimination of any unit 
     cost information).
       (c)  Report.--Not later than March 1, 2007, the Secretary 
     shall submit to the Committees on Armed Services of the 
     Senate and the House of Representatives a report on the 
     results of the study, including such recommendations as the 
     Secretary considers appropriate.

     SEC. 804. QUARTERLY UPDATES ON IMPLEMENTATION OF ACQUISITION 
                   REFORM IN THE DEPARTMENT OF DEFENSE.

       (a) Quarterly Updates Requirement.--Not later than 45 days 
     after the date of the enactment of this Act, and on the first 
     day of each calendar quarter thereafter, the Secretary of 
     Defense shall provide an update to the Committees on Armed 
     Services of the Senate and the House of Representatives on 
     the implementation of plans to reform the acquisition system 
     in the Department of Defense.
       (b) Matters Covered.--Each update provided under subsection 
     (a) shall cover the implementation of reforms of the 
     processes for acquisition, including generation of 
     requirements, award of contracts, and financial management. 
     At a minimum, the updates shall take into account the 
     recommendations made by the following:
       (1) The Defense Acquisition Performance Assessment Panel.
       (2) The Defense Science Board Summer Study on 
     Transformation, issued in February 2006.
       (3) The Beyond Goldwater-Nichols Study of the Center for 
     Strategic and International Studies.
       (4) The Quadrennial Defense Review, issued February 6, 
     2006.
       (5) The Committee Defense Review of the Committee on Armed 
     Services of the House of Representatives (when available).
       (c) Recommendations.--Each report submitted under 
     subsection (a) shall include such recommendations as the 
     Secretary considers appropriate, and implementation plans for 
     the recommendations.
       (d) Termination of Report Requirement.--The requirement to 
     submit reports under subsection (a) shall terminate on the 
     first day of the calendar quarter following the first 
     calendar quarter in which the Selected Acquisition Report 
     submitted to Congress under section 2432 of title 10, United 
     States Code, does not indicate that there has been an 
     increase by a percentage equal to or greater than the 
     significant cost growth threshold or the critical cost growth 
     threshold in any major defense acquisition program (as such 
     thresholds are defined in section 2433(a) of such title).

     SEC. 805. ESTABLISHMENT OF DEFENSE CHALLENGE PROCESS FOR 
                   CRITICAL COST GROWTH THRESHOLD BREACHES IN 
                   MAJOR DEFENSE ACQUISITION PROGRAMS.

       (a) Preliminary Evaluation of Challenge Proposals for 
     Critical Cost Breaches.--
       (1) Submission of challenge proposals.--Section 2359b(c)) 
     of title 10, United States Code, is amended--
       (A) in paragraph (1), by striking ``Panel,'' and all that 
     follows through the end and inserting the following: 
     ``Panel--
       ``(A) through the unsolicited proposal process;
       ``(B) in response to a broad agency announcement; or
       ``(C) in response to a solicitation issued as a result of a 
     critical cost growth threshold breach (as defined in 
     paragraph (4)).'';
       (B) by redesignating paragraphs (4), (5), and (6) as 
     paragraphs (5), (7), and (8), respectively;
       (C) by inserting after paragraph (3) the following new 
     paragraph (4):
       ``(4)(A) If the program acquisition unit cost or 
     procurement unit cost of a major defense acquisition program 
     increases by a percentage equal to or greater than the 
     critical cost growth threshold for the program, as determined 
     by the Secretary concerned under section 2433(d) of this 
     title (in this section referred to as a `critical cost growth 
     threshold breach'), the Under Secretary shall issue a 
     solicitation for challenge proposals that would result in 
     improvements in affordability of the program. The 
     solicitation shall specifically identify (i) the cost and 
     schedule variances, and (ii) the design, engineering, 
     manufacturing, or technology integration issues, contributing 
     to the breach.
       ``(B) A solicitation referred to in subparagraph (A) shall 
     be made public before the end of the 14-day period beginning 
     on the day the Selected Acquisition Report containing the 
     information described in section 2433(g) of this title is 
     required to be submitted under section 2432(f) of this title.
       ``(C) A solicitation referred to in subparagraph (A) shall 
     require any challenge proposals responding to the 
     solicitation to be submitted within 30 days after the date of 
     issuance of the solicitation.'';
       (D) in paragraph (5) (as so redesignated) in the matter 
     preceding subparagraph (A)--
       (i) by striking ``or submitted'' and inserting 
     ``submitted''; and
       (ii) by inserting after ``paragraph (2),'' the following: 
     ``or submitted in response to a solicitation issued as a 
     result of a critical cost growth threshold breach''; and
       (E) by inserting after paragraph (5) (as so redesignated) 
     the following new paragraph (6):
       ``(6) A panel shall complete a preliminary evaluation of 
     challenge proposals submitted in response to a solicitation 
     issued as a result of a critical cost growth threshold breach 
     before the end of the 60-day period beginning on the day the 
     Selected Acquisition Report referred to in paragraph (4)(B) 
     is submitted to Congress and shall inform the Secretary of 
     Defense of the results of the evaluation to aid in the 
     completion of the Secretary's certification under section 
     2433(e)(2)(B) of this title.''.
       (b) Action Upon Favorable Full Review and Evaluation of 
     Challenge Proposals for Critical Cost Breaches.--Section 
     2359b(e) of such title is amended by adding at the end the 
     following new paragraph:
       ``(3) In the case of a challenge proposal referred to in 
     paragraph (1) that was submitted in response to a 
     solicitation issued as a result of a critical cost growth 
     threshold breach, the costs of the proposal shall be borne by 
     the major defense acquisition program with respect to which 
     the breach occurred.''.
       (c) Action Upon Unfavorable Full Review and Evaluation of 
     Challenge Proposals for Critical Cost Breaches.--Section 
     2359b of such title, as amended by section 213, is further 
     amended--
       (1) by redesignating subsections (f), (g), (h), and (i) as 
     subsections (g), (h), (i), and (j), respectively; and
       (2) by inserting after subsection (e) the following new 
     subsection (f):
       ``(f) Action Upon Unfavorable Full Review and Evaluation of 
     Critical Cost Breach Solicitations.--In the case of a 
     challenge proposal that was submitted in response to a 
     solicitation issued as a result of a critical cost growth 
     threshold breach and that is not determined under a full 
     review and evaluation to satisfy each of the criteria 
     specified in subsection (c)(5), the following provisions 
     apply:
       ``(1) The office carrying out the full review and 
     evaluation shall provide to the Panel that conducted the 
     preliminary evaluation a statement containing a summary of 
     the rationale for the unfavorable evaluation.
       ``(2) If the Panel disagrees with the rationale provided 
     under paragraph (1), the Panel may return the challenge 
     proposal to the office for further consideration.
       ``(3) The full review and evaluation, including a further 
     consideration of the review and evaluation under paragraph 
     (2), shall be completed not later than the expiration of the 
     60-day period beginning on the date of completion of the 
     preliminary evaluation of the proposal by a Panel under 
     subsection (c).
       ``(4) After a full review and evaluation of all such 
     challenge proposals submitted for such review and evaluation 
     are completed, including further consideration under 
     paragraph (2), the Under Secretary shall submit to the 
     congressional defense committees a report containing a list 
     of each challenge proposal with an unfavorable evaluation, 
     including an identification of each such challenge proposal 
     returned to an office for further consideration, and a 
     detailed rationale for the unfavorable evaluations upon both 
     initial and further consideration (if any). Such report shall 
     be submitted not later than the expiration of the 60-day 
     period beginning on the date of completion of the last 
     preliminary evaluation of the proposals by a Panel under 
     subsection (c).''.
       (d) Amendments to Unit Cost Reports Provisions.--
       (1) Additional assessment required upon breach of critical 
     cost growth threshold.--Section 2433(e)(2)(A) of title 10, 
     United States Code, is amended--
       (A) by striking ``and'' at the end of clause (ii);
       (B) by inserting ``and'' at the end of clause (iii); and
       (C) by adding at the end the following new clause:

[[Page 7746]]

       ``(iv) the availability of components, subsystems, or 
     systems that may result in near-term improvements in 
     affordability of the program, as identified under the Defense 
     Acquisition Challenge Program through a solicitation issued 
     pursuant to section 2359b(c)(1)(C) of this title;''.
       (2) Additional certification required upon breach of 
     critical cost growth threshold.--Section 2433(e)(2)(B) of 
     such title is amended--
       (A) by redesignating clauses (iii) and (iv) as clauses (iv) 
     and (v), respectively; and
       (B) by inserting after clause (ii) the following new clause 
     (iii):
       ``(iii) the Panel conducting preliminary evaluation of 
     challenge proposals submitted in response to the solicitation 
     issued under the Defense Acquisition Challenge Program 
     pursuant to section 2359b(c)(1)(C) of this title has 
     identified no promising proposals meriting full review and 
     evaluation;''.
       (3) Additional information in certain report required.--
     Section 2433(g)(1)(P)(vi) of such title is amended by 
     inserting after ``of the program'' the following: ``and 
     design, engineering, manufacturing, or technology integration 
     issues''.
       (e) Additional Conforming Amendments.--Section 2359b of 
     such title is further amended--
       (1) in subsection (c)(8), as redesignated by subsection 
     (a), by striking ``paragraph (4)'' and inserting ``paragraph 
     (5)'';
       (2) in subsection (d)(1), by striking ``subsection (c)(6)'' 
     and inserting ``subsection (c)(8)'';
       (3) in subsection (d)(2), by striking ``subsection (c)(4)'' 
     and inserting ``subsection (c)(5)''; and
       (4) in subsection (e)(1), by striking ``subsection (c)(4)'' 
     and inserting ``subsection (c)(5)''.

     SEC. 806. MARKET RESEARCH REQUIRED FOR MAJOR DEFENSE 
                   ACQUISITION PROGRAMS BEFORE PROCEEDING TO 
                   MILESTONE B.

        Section 2366a(a) of title 10, United States Code, is 
     amended--
       (1) by redesignating paragraphs (1) through (7) as 
     paragraphs (2) through (8), respectively; and
       (2) by inserting before paragraph (2) (as so redesignated) 
     the following new paragraph (1):
       ``(1) market research has been conducted prior to 
     technology development to reduce duplication of existing 
     technology and products;''.

             Subtitle B--Acquisition Policy and Management

     SEC. 811. APPLICABILITY OF STATUTORY EXECUTIVE COMPENSATION 
                   CAP MADE PROSPECTIVE.

       (a) Prospective Applicability of Executive Compensation 
     Cap.--Section 808(e)(2) of Public Law 105-85 (41 U.S.C. 435 
     note; 111 Stat. 1838) is amended by striking ``before, on,'' 
     and inserting ``on''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply as if included in Public Law 105-85 as enacted.

     SEC. 812. PROHIBITION ON PROCUREMENT FROM BENEFICIARIES OF 
                   FOREIGN SUBSIDIES.

       (a) Prohibition.--The Secretary of Defense may not enter 
     into a contract for the procurement of goods or services from 
     any foreign person to which the government of a foreign 
     country that is a member of the World Trade Organization has 
     provided a subsidy if--
       (1) the United States has requested consultations with that 
     foreign country under the Agreement on Subsidies and 
     Countervailing Measures on the basis that the subsidy is a 
     prohibited subsidy under that Agreement; and
       (2) either--
       (A) the issue before the World Trade Organization has not 
     been resolved; or
       (B) the World Trade Organization has ruled that the subsidy 
     provided by the foreign country is a prohibited subsidy under 
     the Agreement on Subsidies and Countervailing Measures.
       (b) Joint Ventures.--The prohibition under subsection (a) 
     with respect to a foreign person also applies to any joint 
     venture, cooperative organization, partnership, or 
     contracting team of which that foreign person is a member.
       (c) Subcontracts and Task Orders.--The prohibition under 
     subsection (a) with respect to a contract also applies to any 
     subcontracts at any tier entered into under the contract and 
     any task orders at any tier issued under the contract.
       (d) Definitions.--In this section:
       (1) The term ``Agreement on Subsidies and Countervailing 
     Measures'' means the agreement described in section 
     101(d)(12) of the Uruguay Round Agreements Act (19 U.S.C. 
     3501(d)(12)).
       (2) The term ``foreign person'' means--
       (A) an individual who is not a United States person or an 
     alien lawfully admitted for permanent residence into the 
     United States; or
       (B) a corporation, partnership, or other nongovernmental 
     entity which is not a United States person.
       (3) The term ``United States person'' means--
       (A) a natural person who is a citizen of the United States 
     or who owes permanent allegiance to the United States; and
       (B) a corporation or other legal entity which is organized 
     under the laws of the United States, any State or territory 
     thereof, or the District of Columbia, if natural persons 
     described in subparagraph (A) own, directly or indirectly, 
     more than 50 percent of the outstanding capital stock or 
     other beneficial interest in such legal entity.
       (e) Applicability.--
       (1) Programs with milestone b approval not covered.--The 
     prohibition under subsection (a) shall not apply to any 
     contract under a major defense acquisition program that has 
     received Milestone B approval as of the date of the enactment 
     of this Act.
       (2) Definitions.--In this subsection:
       (A) The term ``major defense acquisition program'' means a 
     Department of Defense acquisition program that is a major 
     defense acquisition program for purposes of section 2430 of 
     title 10, United States Code.
       (B) The term ``Milestone B approval'' has the meaning 
     provided that term in section 2366(e)(7) of such title.

     SEC. 813. TIME-CERTAIN DEVELOPMENT FOR DEPARTMENT OF DEFENSE 
                   INFORMATION TECHNOLOGY BUSINESS SYSTEMS.

       (a) Milestone A Limitation.--The Department of Defense 
     executive or entity that is the milestone decision authority 
     for an information system described in subsection (c) may not 
     provide Milestone A approval for the system unless, as part 
     of the decision process for such approval, that authority 
     determines that the system will achieve initial operational 
     capability within five years of such approval.
       (b) Initial Operational Capability Limitation.--Funds 
     appropriated or otherwise available to the Department of 
     Defense may not be obligated or expended for an information 
     system described in subsection (c) if the system, having 
     received Milestone A approval, has not achieved initial 
     operational capability within five years of the date of such 
     approval.
       (c) Covered Systems.--An information system described in 
     this subsection is any Department of Defense information 
     technology business system that is not a national security 
     system, as defined in 3542(b)(2) of title 44, United States 
     Code.
       (d) Applicability to Existing Programs.--
       (1) Waiver authority for existing programs in 
     development.--The Secretary of Defense may waive the 
     applicability of subsection (b) in the case of a program 
     described in subsection (c) that as of the date of the 
     enactment of this Act has received Milestone A approval but 
     has not as of such date achieved initial operational 
     capability.
       (2) Inapplicability to programs through development.--This 
     section does not apply to an information system that achieved 
     initial operational capability before the date of the 
     enactment of this Act.
       (e) Definitions.--In this section:
       (1) Milestone decision authority.--The term ``milestone 
     decision authority'' has the meaning given that term in 
     Department of Defense Instruction 5000.2, dated May 12, 2003.
       (2) Milestone a.--The term ``Milestone A'' has the meaning 
     given that term in Department of Defense Instruction 5000.2, 
     dated May 12, 2003.

     SEC. 814. ESTABLISHMENT OF PANEL ON CONTRACTING INTEGRITY.

       (a) Establishment.--
       (1) In general.--The Secretary of Defense shall establish a 
     panel to be known as the ``Panel on Contracting Integrity''.
       (2) Composition.--The panel shall be composed of the 
     following:
       (A) The Deputy Secretary of Defense, who shall be the 
     chairman of the panel.
       (B) The service acquisition executive of each military 
     department.
       (C) The Inspector General of the Department of Defense.
       (D) The Director of the Defense Logistics Agency.
       (E) The Director of the Defense Contract Management Agency.
       (F) The Director of the Defense Contract Audit Agency.
       (G) Such other members as determined appropriate by the 
     Secretary of Defense.
       (b) Duties.--In addition to other matters assigned to it by 
     the Secretary of Defense, the panel shall--
       (1) conduct reviews of progress made by the Department of 
     Defense to eliminate areas of vulnerability of the defense 
     contracting system that allow fraud, waste, and abuse to 
     occur;
       (2) review the report by the Comptroller General required 
     by section 841 of the National Defense Authorization Act for 
     Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3389), 
     relating to areas of vulnerability of Department of Defense 
     contracts to fraud, waste, and abuse; and
       (3) recommend changes in law, regulations, and policy that 
     it determines necessary to eliminate such areas of 
     vulnerability.
       (c) Meetings.--The panel shall meet as determined necessary 
     by the Secretary of Defense but not less often than once 
     every six months.
       (d) Report.--
       (1) Requirement.--The panel shall prepare and submit to the 
     congressional defense committees an annual report on its 
     activities. The report shall contain a summary of its 
     findings and recommendations for the year covered by the 
     report.
       (2) First report.--The first report under this subsection 
     shall be submitted not later than 180 days after the date of 
     the enactment of this Act and shall contain an examination of 
     the current structure in the Department of Defense for 
     personnel accountability relating to the contracting system 
     and recommendations for any changes needed to the system of 
     administrative safeguards and disciplinary actions to ensure 
     accountability at the appropriate level for any violations of 
     appropriate standards of behavior in contracting.

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

     SEC. 821. EXTENSION OF SPECIAL TEMPORARY CONTRACT CLOSEOUT 
                   AUTHORITY.

       Section 804 of the National Defense Authorization Act for 
     Fiscal Year 2004 (Public Law

[[Page 7747]]

     108-136; 117 Stat. 1541) is amended in subsection (d) by 
     striking ``September 30, 2006'' and inserting ``September 30, 
     2007''.

     SEC. 822. LIMITATION ON CONTRACTS FOR THE ACQUISITION OF 
                   CERTAIN SERVICES.

       (a) Limitation.--Except as provided in subsection (b), the 
     Secretary of Defense may not enter into a contract for 
     covered services if the amount of the contract--
       (1) exceeds 75 percent of the estimated value of any asset 
     required for the provision of services under the contract, as 
     of the date on which contract performance begins; or
       (2) exceeds $150,000,000 in payments over the life of the 
     contract assuming all options to extend the contract are 
     exercised.
       (b) Waiver.--The Secretary of Defense may waive subsection 
     (a) with respect to a contract for covered services if the 
     Secretary--
       (1) determines that a waiver is necessary for national 
     security purposes; and
       (2) provides to the congressional defense committees an 
     economic analysis as described in subsection (c) at least 30 
     days before the waiver takes effect.
       (c) Economic Analysis.--The economic analysis provided 
     under subsection (b) shall include, at a minimum, the 
     following:
       (1) A clear explanation of the need for the contract for 
     covered services.
       (2) An examination of at least two alternatives for 
     fulfilling the requirements that the contract is meant to 
     fulfill, including the following with respect to each 
     alternative:
       (A) A rationale for including the alternative.
       (B) A cost estimate of the alternative and an analysis of 
     the quality of each cost estimate.
       (C) A discussion of the benefits to be realized from the 
     alternative.
       (D) A best value determination of each alternative and a 
     detailed explanation of the life-cycle cost calculations used 
     in the determination.
       (d) Covered Services.--The limitation in subsection (a) 
     applies to any contract for the following types of services:
       (1) Operation, maintenance, or support of facilities or 
     installations, or construction of facilities needed for 
     performing the contract.
       (2) Maintenance or modification of aircraft, ships, 
     vehicles, or other highly complex military equipment, or the 
     provision of aircraft, ships, vehicles, or other highly 
     complex military equipment needed for performing the 
     contract.
       (3) Specialized training necessitating high quality 
     instructor skills (for example, pilot and air crew members; 
     foreign language training).
       (4) Base services (for example, ground maintenance, in-
     plane refueling; bus transportation; refuse collection and 
     disposal).

     SEC. 823. USE OF FEDERAL SUPPLY SCHEDULES BY STATE AND LOCAL 
                   GOVERNMENTS FOR GOODS AND SERVICES FOR RECOVERY 
                   FROM NATURAL DISASTERS, TERRORISM, OR NUCLEAR, 
                   BIOLOGICAL, CHEMICAL, OR RADIOLOGICAL ATTACK.

       (a) Authority to Use Supply Schedules for Certain Goods and 
     Services.--Section 502 of title 40, United States Code, is 
     amended by adding at the end the following new subsection:
       ``(d) Use of Supply Schedules for Certain Goods and 
     Services.--
       ``(1) In general.--The Administrator may provide for the 
     use by State or local governments of Federal supply schedules 
     of the General Services Administration for goods or services 
     that are to be used to facilitate recovery from a major 
     disaster declared by the President under the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5121 et seq.) or to facilitate recovery from terrorism 
     or nuclear, biological, chemical, or radiological attack.
       ``(2) Determination by secretary of homeland security.--The 
     Secretary of Homeland Security shall determine which goods 
     and services qualify as goods and services described in 
     paragraph (1) before the Administrator provides for the use 
     of the Federal supply schedule relating to such goods and 
     services.
       ``(3) Voluntary use.--In the case of the use by a State or 
     local government of a Federal supply schedule pursuant to 
     paragraph (1), participation by a firm that sells to the 
     Federal Government through the supply schedule shall be 
     voluntary with respect to a sale to the State or local 
     government through such supply schedule.
       ``(4) Definitions.--The definitions in subsection (c)(3) 
     shall apply for purposes of this subsection.''.
       (b) Procedures.--Not later than 30 days after the date of 
     the enactment of this Act, the Administrator of General 
     Services shall establish procedures to implement section 
     502(d) of title 40, United States Code (as added by 
     subsection (a)).

     SEC. 824. WAIVERS TO EXTEND TASK ORDER CONTRACTS FOR ADVISORY 
                   AND ASSISTANCE SERVICES.

       (a) Defense Contracts.--Section 2304b(b) of title 10, 
     United States Code, is amended--
       (1) by inserting ``(1)'' before ``The period'';
       (2) by inserting before the period the following: ``or a 
     waiver is issued under paragraph (2)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) The head of an agency may issue a waiver to extend a 
     task order contract entered into under this section for a 
     period not exceeding 10 years, through five one-year options, 
     if the head of the agency determines in writing--
       ``(A) that the contract provides engineering or technical 
     services of such a unique and substantial technical nature 
     that award of a new contract would be harmful to the 
     continuity of the program for which the services are 
     performed;
       ``(B) that award of a new contract would create a large 
     disruption in services provided to the Department of Defense; 
     and
       ``(C) the Department of Defense would endure program risk 
     during critical program stages due to loss of program 
     corporate knowledge of ongoing program activities.''.
       (b) Civilian Agency Contracts.--Section 303I(b) of the 
     Federal Property and Administrative Services Act of 1949 (41 
     U.S.C. 253i) is amended--
       (1) by inserting ``(1)'' before ``The period'';
       (2) by inserting before the period the following: ``or a 
     waiver is issued under paragraph (2)''; and
       (3) by adding at the end the following new paragraph:
       ``(2) An executive agency may issue a waiver to extend a 
     task order contract entered into under this section for a 
     period not exceeding 10 years, through five one-year options, 
     if the head of the agency determines in writing--
       ``(A) that the contract provides engineering or technical 
     services of such a unique and substantial technical nature 
     that award of a new contract would be harmful to the 
     continuity of the program for which the services are 
     performed;
       ``(B) that award of a new contract would create a large 
     disruption in services provided to the executive agency; and
       ``(C) the executive agency would endure program risk during 
     critical program stages due to loss of program corporate 
     knowledge of ongoing program activities.''.
       (c) Report.--Not later than April 1, 2007, the Secretary of 
     Defense shall submit to the Committees on Armed Services of 
     the Senate and the House of Representatives a report on 
     advisory and assistance services. The report shall include 
     the following information:
       (1) The methods used by the Department of Defense to 
     identify a contract as an advisory and assistance services 
     contract, as defined in section 2304b of title 10, United 
     States Code.
       (2) The number of such contracts awarded by the Department 
     during the five-year period preceding the date of enactment 
     of this Act.
       (3) The average annual expenditures by the Department for 
     such contracts.
       (4) The average length of such contracts.
       (5) The number of such contracts recompeted and awarded to 
     the previous award winner.
       (6) The number of contractors performing such contracts 
     that previously qualified as a small business but no longer 
     qualify as a small business for a recompetition.
       (7) The number of such contracts required for a period of 
     greater than five years and a justification of why those 
     services are required for greater than five years, including 
     the rationale for not performing the services inside the 
     Department of Defense.
       (8) The percentage of such contracts awarded by the 
     Department during the five-year period preceding the date of 
     the enactment of this Act for assistance in the introduction 
     and transfer of engineering and technical knowledge for 
     fielded systems, equipment, and components.
       (9) The actions taken by the Department to prevent 
     organizational conflicts of interest in the use of such 
     contracts.
       (d) Prohibition on Use of Authority by Department of 
     Defense If Report Not Submitted.--The head of an agency may 
     not issue a waiver under 2304b(b)(2) of title 10, United 
     States Code, as added by subsection (a), if the report 
     required by subsection (c) is not submitted by the date set 
     forth in that subsection.

     SEC. 825. ENHANCED ACCESS FOR SMALL BUSINESS.

        Section 9(a) of the Contract Disputes Act of 1978 (41 
     U.S.C. 608) is amended by striking the period at the end of 
     the first sentence and inserting the following: ``or, in the 
     case of a small business concern (as defined in the Small 
     Business Act and regulations under that Act), $150,000 or 
     less.''.

     SEC. 826. PROCUREMENT GOAL FOR HISPANIC-SERVING INSTITUTIONS.

       Section 2323 of title 10, United States Code, is amended--
       (1) in subsection (a)(1)--
       (A) by striking ``and'' at the end of subparagraph (B);
       (B) by striking the period at the end of subparagraph (C) 
     and inserting ``; and''; and
       (C) by adding at the end the following new subparagraph:
       ``(D) Hispanic-serving institutions, as designated by the 
     Department of Education.'';
       (2) in subsection (a)(2)--
       (A) by inserting after ``historically Black colleges and 
     universities'' the following: ``, Hispanic-serving 
     institutions,''; and
       (B) by inserting after ``such colleges and universities'' 
     the following: ``and institutions'';
       (3) in subsection (c)(1), by inserting after ``historically 
     Black colleges and universities'' the following: ``, 
     Hispanic-serving institutions,''; and
       (4) in subsection (c)(3), by inserting after ``historically 
     Black colleges and universities'' the following: ``, to 
     Hispanic-serving institutions,''.

     SEC. 827. PROHIBITION ON DEFENSE CONTRACTORS REQUIRING 
                   LICENSES OR FEES FOR USE OF MILITARY LIKENESSES 
                   AND DESIGNATIONS.

       The Secretary of Defense shall require that any contract 
     entered into or renewed by the Department of Defense include 
     a provision prohibiting the contractor from requiring toy and 
     hobby manufacturers, distributors, or merchants to obtain 
     licenses from or pay fees to the contractor for the use of 
     military likenesses or designations on items provided under 
     the contract.

[[Page 7748]]



      Subtitle D--United States Defense Industrial Base Provisions

     SEC. 831. PROTECTION OF STRATEGIC MATERIALS CRITICAL TO 
                   NATIONAL SECURITY.

       (a) Requirement to Buy From American Sources.--
       (1) In general.--Chapter 148 of title 10, United States 
     Code, is amended by inserting after section 2533a the 
     following new section:

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

       ``(a) Requirement.--Except as provided in subsections (c) 
     through (h), funds appropriated or otherwise available to the 
     Department of Defense may not be used for the procurement of 
     an item described in subsection (b) if the item is not 
     reprocessed, reused, or produced in the United States.
       ``(b) Covered Items.--An item referred to in subsection (a) 
     is any of the following:
       ``(1) A specialty metal.
       ``(2) An item critical to national security, as determined 
     by the Strategic Materials Protection Board.
       ``(c) Availability Exception.--Subsection (a) does not 
     apply to the extent that the Secretary of Defense or the 
     Secretary of the military department concerned determines 
     that satisfactory quality and sufficient quantity of any item 
     described in subsection (b) cannot be procured as and when 
     needed.
       ``(d) Exception for Certain Procurements.--Subsection (a) 
     does not apply to the following:
       ``(1) Procurements outside the United States in support of 
     combat operations or in support of contingency operations.
       ``(2) Procurements by vessels in foreign waters for use of 
     the item.
       ``(3) Procurements for which the use of procedures other 
     than competitive procedures has been approved on the basis of 
     section 2304(c)(2) of this title, relating to unusual and 
     compelling urgency of need.
       ``(e) Exception Relating to Agreements With Foreign 
     Governments.--Subsection (a) does not preclude the 
     procurement of an item described in subsection (b) if--
       ``(1) the procurement is necessary--
       ``(A) to comply with agreements with foreign governments 
     requiring the United States to purchase supplies from foreign 
     sources for the purposes of offsetting sales made by the 
     United States Government or United States firms under 
     approved programs serving defense requirements; or
       ``(B) in furtherance of agreements with foreign governments 
     in which both such governments agree to remove barriers to 
     purchases of supplies produced in the other country or 
     services performed by sources of the other country;
       ``(2) any such agreement with a foreign government 
     complies, where applicable, with the requirements of section 
     36 of the Arms Export Control Act (22 U.S.C. 2776) and with 
     section 2457 of this title; and
       ``(3) the item is grown, produced, or manufactured in the 
     United States or in the country from which it is procured.
       ``(f) Exception for Commissaries, Exchanges, and Other 
     Nonappropriated Fund Instrumentalities.--Subsection (a) does 
     not apply to items purchased for resale purposes in 
     commissaries, exchanges, and nonappropriated fund 
     instrumentalities operated by the Department of Defense.
       ``(g) Exception for Small Purchases.--Subsection (a) does 
     not apply to procurements in amounts not greater than the 
     simplified acquisition threshold referred to in section 
     2304(g) of this title.
       ``(h) Applicability to Procurements of Commercial Items.--
     This section applies to procurements of commercial items 
     notwithstanding section 34 of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 430).
       ``(i) Applicability to Subcontracts.--This section applies 
     to subcontracts at any tier under a prime contract.
       ``(j) Applicability to Noncompliant Components.--A 
     procurement subject to subsection (a) shall not be considered 
     to be in compliance with subsection (a) if noncompliant 
     components are delivered under the procurement without charge 
     to the Federal Government. In this subsection, the term 
     `noncompliant component' means a component that is not 
     reprocessed, reused, or produced in the United States.
       ``(k) Specialty Metal Defined.--In this section, the term 
     `specialty metal' means any of the following:
       ``(1) Steel--
       ``(A) with a maximum alloy content exceeding one or more of 
     the following limits: manganese, 1.65 percent; silicon, 0.60 
     percent; or copper, 0.60 percent; or
       ``(B) containing more than 0.25 percent of any of the 
     following elements: aluminum, chromium, cobalt, columbium, 
     molybdenum, nickel, titanium, tungsten, or vanadium.
       ``(2) Metal alloys consisting of nickel, iron-nickel, and 
     cobalt base alloys containing a total of other alloying 
     metals (except iron) in excess of 10 percent.
       ``(3) Titanium and titanium alloys.
       ``(4) Zirconium and zirconium base alloys.
       ``(5) A metal determined by the Strategic Materials 
     Protection Board (established under section 187 of this 
     title) to be a specialty metal critical to national security.
       ``(l) Additional Definitions.--In this section:
       ``(1) The term `United States' includes possessions of the 
     United States.
       ``(2) The term `micropurchase' means a procurement in an 
     amount not greater than the micropurchase threshold, as 
     defined by section 32(f) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 428).
       ``(3) The term `component' has the meaning provided in 
     section 4 of such Act (41 U.S.C. 403).''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

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

       (3) Conforming amendments.--Section 2533a of title 10, 
     United States Code, is amended--
       (A) by striking paragraph (2) of subsection (b);
       (B) in subsection (c), by striking ``or specialty metals 
     (including stainless steel flatware)''; and
       (C) in subsection (e)--
       (i) by striking ``Specialty Metals And'' in the heading; 
     and
       (ii) by striking ``specialty metals or''.
       (4) Effective dates.--
       (A) Section 2533b of title 10, United States Code, as added 
     by paragraph (1), shall apply with respect to contracts 
     entered into after the date occurring 30 days after the date 
     of the enactment of this Act.
       (B) The amendments made by paragraph (3) shall take effect 
     on the date occurring 30 days after the date of the enactment 
     of this Act.
       (b) One-Time Inadvertent Micropurchase Waiver of Specialty 
     Metals Domestic Source Requirement.--
       (1) Notice of noncompliance.--In the case of a contract 
     with the Department of Defense in effect before the date of 
     the enactment of this Act with respect to which the 
     contracting officer for the contract determines the 
     contractor is not in compliance with section 2533a of title 
     10, United States Code (as in effect before such date of 
     enactment) with respect to specialty metals, the contracting 
     officer shall--
       (A) post a notice on FedBizOpps.gov that the contractor is 
     not in compliance with such section;
       (B) notify the contractor (and any subcontractor under the 
     prime contract that is also noncompliant) in writing that the 
     contractor (or subcontractor) is not in compliance with such 
     section; and
       (C) require the contractor and any subcontractor notified 
     under subparagraph (B) to submit to the contracting officer a 
     compliance plan for becoming compliant with such section.
       (2) Waiver authority.--In the case of a contract described 
     in paragraph (1), the contracting officer for the contract 
     may waive the applicability to the contract of section 2533a 
     of title 10, United States Code (as in effect before such 
     date of enactment) with respect to specialty metals if--
       (A) the procurement is a micropurchase of components 
     (whether in a prime contract or a subcontract under such 
     contract) and the aggregate value of all such procurements in 
     the prime contract and all the subcontracts under such 
     contract does not exceed 1 percent of the amount of the 
     contract or $100,000, whichever is less;
       (B) the contracting officer determines in writing that the 
     contractor was and continues to be inadvertently not in 
     compliance with such section with respect to such metals and 
     the contractor has submitted a compliance plan under 
     paragraph (1)(C); and
       (C) the Secretary of the military department concerned 
     approves the waiver.
       (3) Notice.--Not later than 15 days after a contracting 
     officer makes a determination under paragraph (2)(B) with 
     respect to a contract, the contracting officer shall post a 
     notice on FedBizOpps.gov that a waiver has been granted for 
     the contract under this subsection. The notice shall include 
     information about the applicability of section 1001 of title 
     18, United States Code (relating to criminal penalties for 
     false statements).
       (4) Challenge period.--
       (A) During the 15-day period beginning on the date of the 
     posting of a notice of a waiver under paragraph (3) for a 
     contract (in this subsection referred to as the ``challenge 
     period''), the contracting officer shall accept challenges 
     submitted with respect to the contract.
       (B) For purposes of this paragraph, a challenge, with 
     respect to a contract for which a waiver has been granted 
     under this subsection, is a submission of information by an 
     entity (referred to as a ``challenger'' in this section) 
     stating that the challenger can provide the specialty metals 
     needed for performance of the contract and can certify in 
     writing that the metals are reprocessed, reused, or produced 
     in the United States. The information shall be submitted to 
     the contracting officer in such form and manner as may be 
     prescribed by the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics.
       (5) Determination by contracting officer.--During the 15-
     day period beginning on the day after the end of the 
     challenge period with respect to a contract, if any challenge 
     has been submitted to the contracting officer, the 
     contracting officer shall make a determination regarding 
     whether the challenger can provide the specialty metals for 
     the components concerned in sufficient quantity, of 
     satisfactory quality, within a reasonable time, and at a cost 
     that is not unreasonable.
       (6) Rescission of waiver.--(A) Except as provided in 
     subparagraph (B), if the determination under paragraph (5) is 
     in the affirmative, the contracting officer shall--
       (i) rescind the waiver granted with respect to the contract 
     under this subsection; and

[[Page 7749]]

       (ii) require the contractor to comply with subsection (a) 
     by purchasing specialty metals from the challenger.
       (B) If the contracting officer makes a determination in the 
     affirmative under paragraph (5) with respect to two or more 
     challengers, the contracting officer shall select or require 
     the contractor to select, in such manner as the contracting 
     officer considers appropriate, the challenger to provide 
     specialty metals under the contract.
       (7) Definitions.--In this subsection:
       (A) The term ``micropurchase'' means a procurement in an 
     amount not greater than the micropurchase threshold, as 
     defined by section 32(f) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 428).
       (B) The term ``component'' has the meaning provided in 
     section 4 of such Act (41 U.S.C. 403).
       (C) The term ``FedBizOpps.gov'' means the website 
     maintained by the General Services Administration known as 
     FedBizOpps.gov (or any successor site).
       (8) Termination of waiver authority.--A contracting officer 
     may exercise the waiver authority under this subsection only 
     after the date of the enactment of this Act and before July 
     1, 2008.

     SEC. 832. STRATEGIC MATERIALS PROTECTION BOARD.

       (a) In General.--Chapter 7 of title 10, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 187. Strategic Materials Protection Board

       ``(a) Establishment.--(1) The Secretary of Defense shall 
     establish a Strategic Materials Protection Board.
       ``(2) The Board shall be composed of the following:
       ``(A) The Secretary of Defense, who shall be the chairman 
     of the Board.
       ``(B) The Under Secretary of Defense for Acquisition, 
     Technology, and Logistics.
       ``(C) The Under Secretary of Defense for Intelligence.
       ``(D) The Secretary of the Army.
       ``(E) The Secretary of the Navy.
       ``(F) The Secretary of the Air Force.
       ``(b) Duties.--In addition to other matters assigned to it 
     by the Secretary of Defense, the Board shall--
       ``(1) determine the need to provide a long term domestic 
     supply of items designated as critical to national security 
     to ensure that national defense needs are met;
       ``(2) analyze the risk associated with each item designated 
     as critical to national security and the affect on national 
     defense that the nonavailability of such item from a domestic 
     source would have;
       ``(3) recommend a strategy to the President to ensure the 
     domestic availability of items designated as critical to 
     national security;
       ``(4) recommend such other strategies to the President as 
     the Board considers appropriate to strengthen the industrial 
     base with respect to items critical to national security; and
       ``(5) publish, not less frequently than once every two 
     years, in the Federal Register a list of items determined to 
     be critical to national security, including a list of 
     specialty metals determined to be critical to national 
     security for purposes of section 2533b of this title (and 
     referred to in section 2533b(l)((1)(5) of such title).
       ``(c) Meetings.--The Board shall meet as determined 
     necessary by the Secretary of Defense but not less frequently 
     than once every two years to--
       ``(1) determine and publish a list of items critical to 
     national security as described in subsection (b)(5); and
       ``(2) review items previously determined by the Board to be 
     critical to national security, including specialty metals 
     critical to national security for purposes of section 2533b 
     of this title, to determine the appropriateness of their 
     continuing classification as critical to national security.
       ``(d) Reports.--After each meeting of the Board, the Board 
     shall prepare and submit to Congress a report containing the 
     results of the meeting and such recommendations as the Board 
     determines appropriate.
       ``(e) Removal of Items From List.--The Board may not remove 
     from the list referred to in subsection (b)(5) an item 
     previously determined to be critical to national security by 
     the Board until a period of 30 days expires after the Board 
     submits to the congressional defense committees a written 
     notification of the removal.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

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

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

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

              Subtitle A--Department of Defense Management

Sec. 901. Standardization of statutory references to ``national 
              security system'' within laws applicable to Department of 
              Defense.
Sec. 902. Correction of reference to predecessor of Defense Information 
              Systems Agency.
Sec. 903. Addition to membership of specified council.
Sec. 904. Consolidation and standardization of authorities relating to 
              Department of Defense Regional Centers for Security 
              Studies.
Sec. 905. Redesignation of the Department of the Navy as the Department 
              of the Navy and Marine Corps.

                      Subtitle B--Space Activities

Sec. 911. Designation of successor organizations for the disestablished 
              Interagency Global Positioning Executive Board.
Sec. 912. Extension of authority for pilot program for provision of 
              space surveillance network services to non-United States 
              Government entities.
Sec. 913. Operationally Responsive Space.

             Subtitle C--Chemical Demilitarization Program

Sec. 921. Transfer to Secretary of the Army of responsibility for 
              Assembled Chemical Weapons Alternatives Program.
Sec. 922. Comptroller General review of cost-benefit analysis of off-
              site versus on-site treatment and disposal of hydrolysate 
              derived from neutralization of VX nerve gas at Newport 
              Chemical Depot, Indiana.
Sec. 923. Sense of Congress regarding the safe and expeditious disposal 
              of chemical weapons.

                Subtitle D--Intelligence-Related Matters

Sec. 931. Repeal of termination of authority of Secretary of Defense to 
              engage in commercial activities as security for 
              intelligence collection activities abroad.

              Subtitle A--Department of Defense Management

     SEC. 901. STANDARDIZATION OF STATUTORY REFERENCES TO 
                   ``NATIONAL SECURITY SYSTEM'' WITHIN LAWS 
                   APPLICABLE TO DEPARTMENT OF DEFENSE.

       (a) Defense Business Systems.--Section 2222(j)(6) of title 
     10, United States Code, is amended by striking ``in section 
     2315 of this title'' and inserting ``in section 3542(b)(2) of 
     title 44''.
       (b) Chief Information Officer Responsibilities.--Section 
     2223(c)(3) of such title is amended by striking ``section 
     11103 of title 40'' and inserting ``section 3542(b)(2) of 
     title 44''.
       (c) Procurement of Automatic Data Processing Equipment and 
     Services.--The text of section 2315 of such title is amended 
     to read as follows:
       ``For purposes of subtitle III of title 40, the term 
     `national security system', with respect to a 
     telecommunications and information system operated by the 
     Department of Defense, has the meaning given that term by 
     section 3542(b)(2) of title 44.''.

     SEC. 902. CORRECTION OF REFERENCE TO PREDECESSOR OF DEFENSE 
                   INFORMATION SYSTEMS AGENCY.

       Paragraph (1) of section 193(f) of title 10, United States 
     Code, is amended to read as follows:
       ``(1) The Defense Information Systems Agency.''.

     SEC. 903. ADDITION TO MEMBERSHIP OF SPECIFIED COUNCIL.

       Section 179(a) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(5) The commander of the United States Strategic 
     Command.''.

     SEC. 904. CONSOLIDATION AND STANDARDIZATION OF AUTHORITIES 
                   RELATING TO DEPARTMENT OF DEFENSE REGIONAL 
                   CENTERS FOR SECURITY STUDIES.

       (a) Basic Authorities for Regional Centers.--
       (1) In general.--Section 184 of title 10, United States 
     Code, is amended to read as follows:

     ``Sec. 184. Regional Centers for Security Studies

       ``(a) In General.--The Secretary of Defense shall 
     administer the Department of Defense Regional Centers for 
     Security Studies in accordance with this section as 
     international venues for bilateral and multilateral research, 
     communication, and exchange of ideas involving military and 
     civilian participants.
       ``(b) Regional Centers Specified.--(1) A Department of 
     Defense Regional Center for Security Studies is a Department 
     of Defense institution that--
       ``(A) is operated, and designated as such, by the Secretary 
     of Defense for the study of security issues relating to a 
     specified geographic region of the world; and
       ``(B) serves as a forum for bilateral and multilateral 
     research, communication, and exchange of ideas involving 
     military and civilian participants.
       ``(2) The Department of Defense Regional Centers for 
     Security Studies are the following:
       ``(A) The George C. Marshall European Center for Security 
     Studies, established in 1993 and located in Garmisch-
     Partenkirchen, Germany.
       ``(B) The Asia-Pacific Center for Security Studies, 
     established in 1995 and located in Honolulu, Hawaii.
       ``(C) The Center for Hemispheric Defense Studies, 
     established in 1997 and located in Washington, D.C.
       ``(D) The Africa Center for Strategic Studies, established 
     in 1999 and located in Washington, D.C.
       ``(E) The Near East South Asia Center for Strategic 
     Studies, established in 2000 and located in Washington, D.C.

[[Page 7750]]

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

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

       (b) Conforming Amendments.--
       (1) Employment and compensation authority for civilian 
     faculty.--Section 1595 of title 10, United States Code, is 
     amended--
       (A) in subsection (c)--
       (i) by striking paragraphs (3) and (5); and
       (ii) by redesignating paragraphs (4) and (6) as paragraphs 
     (3) and (4), respectively; and
       (B) by striking subsection (e).
       (2) Status of center for hemispheric defense studies.--
     Section 2165 of title 10, United States Code, is amended--
       (A) in subsection (b)--
       (i) by striking paragraph (6); and
       (ii) by redesignating paragraph (7) as paragraph (6); and
       (B) by striking subsection (c).

     SEC. 905. REDESIGNATION OF THE DEPARTMENT OF THE NAVY AS THE 
                   DEPARTMENT OF THE NAVY AND MARINE CORPS.

       (a) Redesignation of Military Department.--The military 
     department designated as the Department of the Navy is 
     redesignated as the Department of the Navy and Marine Corps.
       (b) Redesignation of Secretary and Other Statutory 
     Offices.--
       (1) Secretary.--The position of the Secretary of the Navy 
     is redesignated as the Secretary of the Navy and Marine 
     Corps.
       (2) Other statutory offices.--The positions of the Under 
     Secretary of the Navy, the four Assistant Secretaries of the 
     Navy, and the General Counsel of the Department of the Navy 
     are redesignated as the Under Secretary of the Navy and 
     Marine Corps, the Assistant Secretaries of the Navy and 
     Marine Corps, and the General Counsel of the Department of 
     the Navy and Marine Corps, respectively.
       (c) Conforming Amendments to Title 10, United States 
     Code.--
       (1) Definition of ``military department''.--Paragraph (8) 
     of section 101(a) of title 10, United States Code, is amended 
     to read as follows:
       ``(8) The term `military department' means the Department 
     of the Army, the Department of the Navy and Marine Corps, and 
     the Department of the Air Force.''.
       (2) Organization of department.--The text of section 5011 
     of such title is amended to read as follows: ``The Department 
     of the Navy and Marine Corps is separately organized under 
     the Secretary of the Navy and Marine Corps.''.
       (3) Position of secretary.--Section 5013(a)(1) of such 
     title is amended by striking ``There is a Secretary of the 
     Navy'' and inserting ``There is a Secretary of the Navy and 
     Marine Corps''.
       (4) Chapter headings.--
       (A) The heading of chapter 503 of such title is amended to 
     read as follows:

       ``CHAPTER 503--DEPARTMENT OF THE NAVY AND MARINE CORPS''.

       (B) The heading of chapter 507 of such title is amended to 
     read as follows:

  ``CHAPTER 507--COMPOSITION OF THE DEPARTMENT OF THE NAVY AND MARINE 
                                CORPS''.

       (5) Other amendments.--
       (A) Title 10, United States Code, is amended by striking 
     ``Department of the Navy'' and ``Secretary of the Navy'' each 
     place they appear other than as specified in paragraphs (1), 
     (2), (3), and (4) (including in section headings, subsection 
     captions, tables of chapters, and tables of sections) and 
     inserting ``Department of the Navy and Marine Corps'' and 
     ``Secretary of the Navy and Marine Corps'', respectively, in 
     each case with the matter inserted to be in the same typeface 
     and typestyle as the matter stricken.
       (B)(i) Sections 5013(f), 5014(b)(2), 5016(a), 5017(2), 
     5032(a), and 5042(a) of such title are amended by striking 
     ``Assistant Secretaries of the Navy'' and inserting 
     ``Assistant Secretaries of the Navy and Marine Corps''.
       (ii) The heading of section 5016 of such title, and the 
     item relating to such section in the table of sections at the 
     beginning of chapter 503 of such title, are each amended by 
     inserting ``and Marine Corps'' after ``of the Navy'', with 
     the matter inserted in each case to be in the same typeface 
     and typestyle as the matter amended.
       (d) Title 37, United States Code.--Title 37, United States 
     Code, is amended by striking ``Department of the Navy'' and 
     ``Secretary of the Navy'' each place they appear and 
     inserting ``Department of the Navy and Marine Corps'' and 
     ``Secretary of the Navy and Marine Corps'', respectively.
       (e) Other References.--Any reference in any law other than 
     in title 10 or title 37, United States Code, or in any 
     regulation, document, record, or other paper of the United 
     States, to the Department of the Navy shall be considered to 
     be a reference to the Department of the Navy and Marine 
     Corps. Any such reference to an office specified in 
     subsection (b)(2) shall be considered to be a reference to 
     that office as redesignated by that subsection.
       (f) Effective Date.--This section and the amendments made 
     by this section shall take effect on the first day of the 
     first month beginning more than 60 days after the date of the 
     enactment of this Act.

                      Subtitle B--Space Activities

     SEC. 911. DESIGNATION OF SUCCESSOR ORGANIZATIONS FOR THE 
                   DISESTABLISHED INTERAGENCY GLOBAL POSITIONING 
                   EXECUTIVE BOARD.

       (a) Successor Organizations.-- Section 8 of the Commercial 
     Space Transportation Competitiveness Act of 2000 (10 U.S.C. 
     2281 note) is amended by striking ``by Congress'' and all 
     that follows and inserting ``for the functions and activities 
     of the following organizations established pursuant to the 
     national security presidential directive issued December 8, 
     2004 (and any successor organization, to the extent the 
     successor organization performs the functions of the 
     specified organization):
       ``(1) The interagency committee known as the National 
     Space-Based Positioning, Navigation, and Timing Executive 
     Committee.
       ``(2) The support office for the committee specified in 
     paragraph (1) known as the National Space-Based Positioning, 
     Navigation, and Timing Coordination Office.
       ``(3) The Federal advisory committee known as the National 
     Space-Based Positioning, Navigation, and Timing Advisory 
     Board.''.
       (b) Clarification.--Such section is further amended by 
     striking ``interagency funding'' and inserting ``multi-agency 
     funding''.

     SEC. 912. EXTENSION OF AUTHORITY FOR PILOT PROGRAM FOR 
                   PROVISION OF SPACE SURVEILLANCE NETWORK 
                   SERVICES TO NON-UNITED STATES GOVERNMENT 
                   ENTITIES.

       Section 2274(i) of title 10, United States Code, is amended 
     by striking ``shall be conducted'' and all that follows and 
     inserting ``may be conducted through September 30, 2009.''.

     SEC. 913. OPERATIONALLY RESPONSIVE SPACE.

       (a) Operationally Responsive Space Program Office.--

[[Page 7751]]

       (1) Establishment of office.--Section 2273a of title 10, 
     United States Code, is amended to read as follows:

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

       ``(a) Establishment of Office.--(1) The Secretary of 
     Defense shall establish within the Department of Defense an 
     office to be known as the Operationally Responsive Space 
     Program Office.
       ``(2) The head of the Office shall be the official in the 
     Department of Defense who is designated by the Secretary of 
     Defense as the Department of Defense Executive Agent for 
     Space.
       ``(b) Mission.--The mission of the Office shall be to 
     contribute to the development of low-cost, rapid reaction 
     payloads, spacelift, and launch control capabilities in order 
     to fulfill joint military operational requirements for on-
     demand space support or reconstitution. The Office shall 
     manage the program element required under subsection (g).
       ``(c) Organization.--The Office shall be organized into 
     integrated and co-located elements that include the 
     following:
       ``(1) A science and technology section, which shall perform 
     the functions specified in subsection (d).
       ``(2) An operations section, which shall perform the 
     functions specified in subsection (e).
       ``(3) An acquisition section, which shall perform the 
     functions specified in subsection (f).
       ``(d) Science and Technology.--As directed by the head of 
     the Office, the science and technology section shall pursue 
     innovative approaches to the development of capabilities for 
     operationally responsive space through basic and applied 
     research focused on (but not limited to) payloads, bus, and 
     launch equipment.
       ``(e) Operations.--As directed by the head of the Office, 
     the operations section shall serve as the primary 
     intermediary between the Office and the combatant commands in 
     order to--
       ``(1) ascertain the needs of the warfighter; and
       ``(2) integrate operationally responsive space capabilities 
     into--
       ``(A) operations plans of the combatant commands;
       ``(B) techniques, tactics, and procedures of the military 
     departments; and
       ``(C) military exercises, demonstrations, and war games.
       ``(f) Acquisition.--(1) As directed by the head of the 
     Office, the acquisition section shall undertake the 
     acquisition of systems necessary to integrate, sustain, and 
     launch assets for operationally responsive space.
       ``(2) In the case of any system or subsystem to be acquired 
     by the Office, the acquisition may be carried out only after 
     the commander of the United States Strategic Command has 
     validated the system requirements for the system or subsystem 
     to be acquired.
       ``(3) The commander of the United States Strategic Command 
     shall participate in the approval of any acquisition program 
     initiated by the Office.
       ``(g) Required Program Element.--(1) The Secretary of 
     Defense shall ensure that, within budget program elements for 
     space programs of the Department of Defense--
       ``(A) that there is a separate, dedicated program element 
     for operationally responsive national security payloads and 
     buses of the Department of Defense for space satellites; and
       ``(B) that programs and activities for such payloads and 
     buses are planned, programmed, and budgeted for through that 
     program element.
       ``(2) In this subsection, the term `operationally 
     responsive', with respect to a national security payload and 
     bus for a space satellite, means an experimental or 
     operational payload and bus with a weight not in excess of 
     5,000 pounds that--
       ``(A) can be developed and acquired within 18 months after 
     authority to proceed with development is granted; and
       ``(B) is responsive to requirements for capabilities at the 
     operational and tactical levels of warfare.''.
       (2) Clerical amendment.--The item relating to that section 
     in the table of sections at the beginning of chapter 135 of 
     such title is amended to read as follows:

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

       (b) Plan for Operationally Responsive Space.--
       (1) Plan required.--Not later than 180 days after the date 
     of the enactment of this Act, the Secretary of Defense shall 
     submit to the congressional defense committees a report 
     setting forth a plan for the acquisition by the Department of 
     Defense of capabilities for operationally responsive space to 
     support the warfighter.
       (2) Elements.--The plan required by paragraph (1) shall 
     include the following:
       (A) An identification of the capabilities required by the 
     Department to fulfill the mission of the Department with 
     respect to operationally responsive space.
       (B) An identification of the roles and missions of each 
     military department, Defense Agency, and other component or 
     element of the Department of Defense for the fulfillment of 
     the mission of the Department with respect to operationally 
     responsive space.
       (C) A description of the chain of command and reporting 
     structure of the Operationally Responsive Space Program 
     Office established under section 2273a of title 10, United 
     States Code, as amended by subsection (a).
       (D) A description of the classification of information 
     required for that Office in order to ensure that the Office 
     carries out its responsibilities in a proper and efficient 
     manner.
       (E) A description of the acquisition policies and 
     procedures applicable to that Office, including a description 
     of any legislative or administrative action necessary to 
     provide the Office additional acquisition authority to carry 
     out its responsibilities.
       (F) A complete schedule for the implementation of the plan.
       (G) The funding required to implement the plan over the 
     course of the future-years defense program under section 221 
     of title 10, United States Code, in effect as of the 
     submission of the plan.
       (3) Definition.--In this subsection, the term 
     ``operationally responsive space'' means the development and 
     launch of space assets upon demand in a low-cost manner.

             Subtitle C--Chemical Demilitarization Program

     SEC. 921. TRANSFER TO SECRETARY OF THE ARMY OF RESPONSIBILITY 
                   FOR ASSEMBLED CHEMICAL WEAPONS ALTERNATIVES 
                   PROGRAM.

       Effective January 1, 2007, the text of section 142 of the 
     Strom Thurmond National Defense Authorization Act for Fiscal 
     Year 1999 (Public Law 105-261; 50 U.S.C. 1521 note) is 
     amended to read as follows:
       ``(a) Program Management.--(1) The program manager for the 
     Assembled Chemical Weapons Alternatives program shall report 
     to the Secretary of the Army.
       ``(2) The Secretary of the Army shall provide for that 
     program to be managed as part of the management organization 
     within the Department of the Army specified in section 
     1412(e) of Public Law 99-145 (50 U.S.C. 1521(e)).
       ``(b) Continued Implementation of Previously Selected 
     Alternative Technologies.--(1) In carrying out the 
     destruction of lethal chemical munitions at Pueblo Chemical 
     Depot, Colorado, the Secretary of the Army shall continue to 
     implement fully the alternative technology for such 
     destruction at that depot selected by the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics on July 
     16, 2002.
       ``(2) In carrying out the destruction of lethal chemical 
     munitions at Blue Grass Army Depot, Kentucky, the Secretary 
     of the Army shall continue to implement fully the alternative 
     technology for such destruction at that depot selected by the 
     Under Secretary of Defense for Acquisition, Technology, and 
     Logistics on February 3, 2003.''.

     SEC. 922. COMPTROLLER GENERAL REVIEW OF COST-BENEFIT ANALYSIS 
                   OF OFF-SITE VERSUS ON-SITE TREATMENT AND 
                   DISPOSAL OF HYDROLYSATE DERIVED FROM 
                   NEUTRALIZATION OF VX NERVE GAS AT NEWPORT 
                   CHEMICAL DEPOT, INDIANA.

       (a) Review Required.--Not later than December 1, 2006, the 
     Comptroller General shall submit to Congress a report 
     containing a review of the cost-benefit analysis prepared by 
     the Secretary of the Army entitled ``Cost-Benefit Analysis of 
     Off-Site Versus On-Site Treatment and Disposal of Newport 
     Caustic Hydrolysate'' and dated April 24, 2006.
       (b) Content of Review.--In conducting the review under 
     subsection (a), the Comptroller General shall consider and 
     assess at a minimum the following matters:
       (1) The adequacy of the rationale contained in the cost-
     benefit analysis referred to in subsection (a) in dismissing 
     five of the eight technologies for hydrolysate treatment 
     directed for consideration on page 116 of the the Report of 
     the Committee on Armed Services of the House of 
     Representatives on H.R. 1815 (House Report 109-89).
       (2) The rationale for the failure of the Secretary of the 
     Army to consider other technical solutions, such as 
     constructing a wastewater disposal system at the Newport 
     Chemical Depot.
       (3) The adequacy of the cost-benefit analysis presented for 
     the three technologies considered.
       (c) Delay Pending Report.--The Secretary of the Army shall 
     not proceed with any action to transport or relocate 
     neutralized bulk nerve agent (other than those small 
     quantities necessary for laboratory evaluation of the 
     disposal process) from the Newport Chemical Depot until--
       (1) the report required by subsection (a) is submitted; and
       (2) a period of 60 days expires after the submission of the 
     report.

     SEC. 923. SENSE OF CONGRESS REGARDING THE SAFE AND 
                   EXPEDITIOUS DISPOSAL OF CHEMICAL WEAPONS.

       (a) Findings.--Congress makes the following findings:
       (1) The disposal of chemical weapons needs to be 
     accomplished as safely and expeditiously as possible.
       (2) It is apparent, however, that any disposal method for 
     chemical weapons that involves the transportation of chemical 
     munitions or processed chemical munitions is difficult to 
     implement
       (b) Sense of Congress.--In light of these findings, it is 
     the sense of Congress that, when chemical munitions or 
     processed chemical munitions are proposed for treatment or 
     disposal at a location remote from the location where the 
     munitions are stored--
       (1) the method of actually selecting the disposal location 
     should be free from political interference; and
       (2) a process like that used for selecting and approving 
     military installations for closure or realignment should be 
     considered.

[[Page 7752]]



                Subtitle D--Intelligence-Related Matters

     SEC. 931. REPEAL OF TERMINATION OF AUTHORITY OF SECRETARY OF 
                   DEFENSE TO ENGAGE IN COMMERCIAL ACTIVITIES AS 
                   SECURITY FOR INTELLIGENCE COLLECTION ACTIVITIES 
                   ABROAD.

       Section 431(a) of title 10, United States Code, is amended 
     by striking the last sentence.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. General transfer authority.
Sec. 1002. Authorization of supplemental appropriations for fiscal year 
              2006.
Sec. 1003. Increase in fiscal year 2006 general transfer authority.
Sec. 1004. United States contribution to NATO common-funded budgets in 
              fiscal year 2007.
Sec. 1005. Report on budgeting for fluctuations in fuel cost rates.
Sec. 1006. Reduction in authorizations due to savings resulting from 
              lower-than-expected inflation.

          Subtitle B--Policy Relating to Vessels and Shipyards

Sec. 1011. Transfer of naval vessels to foreign nations based upon 
              vessel class.
Sec. 1012. Overhaul, repair, and maintenance of vessels in foreign 
              shipyards.
Sec. 1013. Report on options for future lease arrangement for Guam 
              Shipyard.
Sec. 1014. Shipbuilding Industrial Base Improvement Program.
Sec. 1015. Transfer of operational control of certain patrol coastal 
              ships to Coast Guard.
Sec. 1016. Limitation on leasing of foreign-built vessels.
Sec. 1017. Overhaul, repair, and maintenance of vessels carrying 
              Department of Defense cargo.
Sec. 1018. Riding gang member documentation requirement.

                  Subtitle C--Counter-Drug Activities

Sec. 1021. Restatement in title 10, United States Code, and revision of 
              Department of Defense authority to provide support for 
              counter-drug activities of Federal, State, local, and 
              foreign law enforcement agencies.
Sec. 1022. Restatement in title 10, United States Code, and revision of 
              Department of Defense authority to provide support for 
              counter-drug activities of certain foreign governments.
Sec. 1023. Extension of authority to support unified counterdrug and 
              counterterrorism campaign in Colombia.
Sec. 1024. Continuation of reporting requirement regarding Department 
              of Defense expenditures to support foreign counter-drug 
              activities.
Sec. 1025. Report on interagency counter-narcotics plan for Afghanistan 
              and South and Central Asian regions.

                       Subtitle D--Other Matters

Sec. 1031. Revision to authorities relating to Commission on the 
              implementation of the New Strategic Posture of the United 
              States.
Sec. 1032. Enhancement to authority to pay rewards for assistance in 
              combating terrorism.
Sec. 1033. Report on assessment process of Chairman of the Joint Chiefs 
              of Staff relating to Global War on Terrorism.
Sec. 1034. Presidential report on improving interagency support for 
              United States 21st century national security missions.
Sec. 1035. Quarterly reports on implementation of 2006 Quadrennial 
              Defense Review Report.
Sec. 1036. Increased hunting and fishing opportunities for members of 
              the Armed Forces, retired members, and disabled veterans.
Sec. 1037. Technical and clerical amendments.
Sec. 1038. Database of emergency response capabilities.
Sec. 1039. Information on certain criminal investigations and 
              prosecutions.
Sec. 1040. Date for final report of EMP Commission.

                     Subtitle A--Financial Matters

     SEC. 1001. GENERAL TRANSFER AUTHORITY.

       (a) Authority To Transfer Authorizations.--
       (1) Authority.--Upon determination by the Secretary of 
     Defense that such action is necessary in the national 
     interest, the Secretary may transfer amounts of 
     authorizations made available to the Department of Defense in 
     this division for fiscal year 2007 between any such 
     authorizations for that fiscal year (or any subdivisions 
     thereof). Amounts of authorizations so transferred shall be 
     merged with and be available for the same purposes as the 
     authorization to which transferred.
       (2) Limitation.--The total amount of authorizations that 
     the Secretary may transfer under the authority of this 
     section may not exceed $3,750,000,000.
       (b) Limitations.--The authority provided by this section to 
     transfer authorizations--
       (1) may only be used to provide authority for items that 
     have a higher priority than the items from which authority is 
     transferred; and
       (2) may not be used to provide authority for an item that 
     has been denied authorization by Congress.
       (c) Effect on Authorization Amounts.--A transfer made from 
     one account to another under the authority of this section 
     shall be deemed to increase the amount authorized for the 
     account to which the amount is transferred by an amount equal 
     to the amount transferred.
       (d) Notice to Congress.--The Secretary shall promptly 
     notify Congress of each transfer made under subsection (a).

     SEC. 1002. AUTHORIZATION OF SUPPLEMENTAL APPROPRIATIONS FOR 
                   FISCAL YEAR 2006.

       Amounts authorized to be appropriated to the Department of 
     Defense and the Department of Energy for fiscal year 2006 in 
     the National Defense Authorization Act for Fiscal Year 2006 
     (Public Law 109-163) are hereby adjusted, with respect to any 
     such authorized amount, by the amount by which appropriations 
     pursuant to such authorization are increased by a 
     supplemental appropriation or decreased by a rescission, or 
     both, or are increased by a transfer of funds, pursuant to an 
     emergency supplemental appropriations Act for 2006.

     SEC. 1003. INCREASE IN FISCAL YEAR 2006 GENERAL TRANSFER 
                   AUTHORITY.

       Section 1001(a)(2) of the National Defense Authorization 
     Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3418) 
     is amended by striking ``$3,500,000,000'' and inserting 
     ``$3,750,000,000''.

     SEC. 1004. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED 
                   BUDGETS IN FISCAL YEAR 2007.

       (a) Fiscal Year 2007 Limitation.--The total amount 
     contributed by the Secretary of Defense in fiscal year 2007 
     for the common-funded budgets of NATO may be any amount up 
     to, but not in excess of, the amount specified in subsection 
     (b) (rather than the maximum amount that would otherwise be 
     applicable to those contributions under the fiscal year 1998 
     baseline limitation).
       (b) Total Amount.--The amount of the limitation applicable 
     under subsection (a) is the sum of the following:
       (1) The amounts of unexpended balances, as of the end of 
     fiscal year 2006, of funds appropriated for fiscal years 
     before fiscal year 2007 for payments for those budgets.
       (2) The amount specified in subsection (c)(1).
       (3) The amount specified in subsection (c)(2).
       (4) The total amount of the contributions authorized to be 
     made under section 2501.
       (c) Authorized Amounts.--Amounts authorized to be 
     appropriated by titles II and III of this Act are available 
     for contributions for the common-funded budgets of NATO as 
     follows:
       (1) Of the amount provided in section 201(1), $797,000 for 
     the Civil Budget.
       (2) Of the amount provided in section 301(1), $310,277,000 
     for the Military Budget.
       (d) Definitions.--For purposes of this section:
       (1) Common-funded budgets of nato.--The term ``common-
     funded budgets of NATO'' means the Military Budget, the 
     Security Investment Program, and the Civil Budget of the 
     North Atlantic Treaty Organization (and any successor or 
     additional account or program of NATO).
       (2) Fiscal year 1998 baseline limitation.--The term 
     ``fiscal year 1998 baseline limitation'' means the maximum 
     annual amount of Department of Defense contributions for 
     common-funded budgets of NATO that is set forth as the annual 
     limitation in section 3(2)(C)(ii) of the resolution of the 
     Senate giving the advice and consent of the Senate to the 
     ratification of the Protocols to the North Atlantic Treaty of 
     1949 on the Accession of Poland, Hungary, and the Czech 
     Republic (as defined in section 4(7) of that resolution), 
     approved by the Senate on April 30, 1998.

     SEC. 1005. REPORT ON BUDGETING FOR FLUCTUATIONS IN FUEL COST 
                   RATES.

       (a) Secretary of Defense Report.--
       (1) Report on budgeting for fuel cost fluctuations.--Not 
     later than January 15, 2007, the Secretary of Defense shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Armed Services of the House of 
     Representatives a report on the fuel rate and cost projection 
     used in the annual Department of Defense budget presentation.
       (2) Matters to be included.--In the report under paragraph 
     (1), the Secretary shall--
       (A) identify alternative approaches for selecting fuel 
     rates that would produce more realistic estimates of amounts 
     required to be appropriated or otherwise made available for 
     the Department of Defense to accommodate fuel rate 
     fluctuations;
       (B) discuss the advantages and disadvantages of each 
     approach identified pursuant to subparagraph (A); and
       (C) identify the Secretary's preferred approach among the 
     alternative identified pursuant to subparagraph (A) and 
     provide the Secretary's rationale for preferring that 
     approach.
       (3) Identification of alternative approaches.--In 
     identifying alternative approaches pursuant to paragraph 
     (2)(A), the Secretary shall examine--
       (A) approaches used by other Federal departments and 
     agencies; and
       (B) the feasibility of using private economic forecasting.
       (b) Comptroller General Review and Report.--The Comptroller 
     General shall review the report under subsection (a), 
     including the basis for the Secretary's conclusions stated in 
     the report, and shall submit, not later than March 15, 2007, 
     to the Committee on Armed Services of the Senate and the 
     Committee on Armed Services of the House of Representatives a 
     report containing the results of that review.

     SEC. 1006. REDUCTION IN AUTHORIZATIONS DUE TO SAVINGS 
                   RESULTING FROM LOWER-THAN-EXPECTED INFLATION.

       (a) Reduction.--The total amount authorized to be 
     appropriated by titles I, II, and III is the

[[Page 7753]]

     amount equal to the sum of the separate amounts authorized to 
     be appropriated by those titles reduced by $1,583,000,000.
       (b) Source of Savings.--Reduction required in order to 
     comply with subsection (a) shall be derived from savings 
     resulting from lower-than-expected inflation.
       (c) Allocation of Reduction.--The Secretary of Defense 
     shall allocate the reduction required by subsection (a) among 
     the amounts authorized to be appropriated for accounts in 
     title I, II, and III to reflect the extent to which net 
     savings from lower-than-expected inflation are allocable to 
     amounts authorized to be appropriated to those accounts.

          Subtitle B--Policy Relating to Vessels and Shipyards

     SEC. 1011. TRANSFER OF NAVAL VESSELS TO FOREIGN NATIONS BASED 
                   UPON VESSEL CLASS.

       Section 7307(a) of title 10, United States Code, is 
     amended--
       (1) by striking ``disposition of that vessel is approved'' 
     and inserting ``disposal of that vessel, or of a vessel of 
     the class of that vessel, is authorized''; and
       (2) by adding at the end the following new sentences: ``In 
     the case of an authorization by law for the disposal of such 
     a vessel that names a specific vessel as being authorized for 
     such disposal, the Secretary of Defense may substitute 
     another vessel of the same class, if the vessel substituted 
     has virtually identical capabilites as the named vessel. In 
     the case of an authorization by law for the disposal of 
     vessels of a specified class, the Secretary may dispose of 
     vessels of that class pursuant to that authorization only in 
     the number of such vessels specified in that law as being 
     authorized for disposal.''.

     SEC. 1012. OVERHAUL, REPAIR, AND MAINTENANCE OF VESSELS IN 
                   FOREIGN SHIPYARDS.

       (a) In General.--Section 7310 of title 10, United States 
     Code, is amended to read as follows:

     ``Sec. 7310. Overhaul, repair, etc. of vessels in foreign 
       shipyards

       ``(a) In General.--A vessel covered by this section the 
     homeport of which is in the United States may not be 
     overhauled, repaired, or maintained in a shipyard outside the 
     United States, other than in the case of emergency voyage 
     repairs.
       ``(b) Covered Vessels.--(1) Vessels covered by this section 
     are the following:
       ``(A) Any naval vessel.
       ``(B) Any other vessel under the jurisdiction of the 
     Secretary of the Navy, including any vessel under the 
     jurisdiction of the Military Sealift Command that is owned or 
     chartered by the United States.
       ``(2)(A) Notwithstanding paragraph (1), a naval vessel or 
     other vessel certified by the Secretary of the Navy that is 
     deployed conducting special mission operations is not subject 
     to this section.
       ``(B) The Secretary of the Navy shall submit to the 
     congressional defense committees each year a written 
     certification of those vessels that are excluded from this 
     section. The certification shall be submitted each year with 
     the annual submission of the Navy budget justification 
     materials.
       ``(c) Certain Vessels To Be Considered to Be Homeported in 
     United States.--In the case of a vessel that does not have a 
     designated homeport, the vessel shall be considered to have a 
     homeport in the United States for the purposes of this 
     section if any of the following applies to the vessel during 
     the preceding 12-month period:
       ``(1) The vessel has operated within 1,400 nautical miles 
     of the United States.
       ``(2) The vessel has returned to the United States more 
     than two times.
       ``(3) The vessel has made a port call or return to the 
     United States that exceeded seven days.
       ``(d) Vessel Changing Homeports.--(1) In the case of a 
     vessel covered by this section the homeport of which is not 
     in the United States, the Secretary of the Navy may not 
     during the 15-month period preceding the planned reassignment 
     of the vessel to a homeport in the United States begin any 
     work for the overhaul, repair, or maintenance of the vessel 
     that is scheduled to be for a period of more than six months
       ``(2) In the case of a vessel covered by this section the 
     homeport of which is in the United States, the Secretary of 
     the Navy shall--
       ``(A) not less than 60 days before designating a homeport 
     for that vessel at a location outside the United States, 
     submit to Congress notification in writing of the intent to 
     designate a homeport for that vessel outside the United 
     States, together with the reasons for that designation; and
       ``(B) during the 15-month period preceding the planned 
     reassignment of the vessel to a homeport not in the United 
     States, perform in the United States any work for the 
     overhaul, repair, or maintenance of the vessel that is 
     scheduled--
       ``(i) to begin during the 15-month period; and
       ``(ii) to be for a period of more than six months.
       ``(e) Definitions.--In this section:
       ``(1)(A) The term `emergency voyage repair' means the 
     following:
       ``(i) Repairs on mission-essential or safety-essential 
     items that are needed for a vessel to deploy, to continue on 
     a deployment, or to comply with regulatory requirements.
       ``(ii) Standard maintenance, but only to the extent that 
     such maintenance is absolutely necessary to ensure machinery 
     and equipment operational reliability or to comply with 
     regulatory requirements.
       ``(iii) Repair or maintenance that is not executed with a 
     contract request for proposal.
       ``(B) Such term does not include corrective maintenance 
     actions that may be deferred until the next scheduled regular 
     overhaul and dry docking availability at a shipyard in the 
     Unites States without degrading operational readiness, 
     habitability standards, or personnel safety or adversely 
     affecting regulatory compliance.
       ``(2) The term `United States', when used in a geographic 
     sense, includes the Commonwealth of Puerto Rico, the 
     Commonwealth of the Northern Mariana Islands, Guam, and the 
     Virgin Islands.''.
       (b) Effective Date.--Subsection (c) of section 7310 of 
     title 10, United States Code, as amended by subsection (a), 
     shall take effect on October 1, 2006, or the date of the 
     enactment of this Act, whichever is later, and shall apply 
     only with respect to events specified in paragraphs (1), (2), 
     and (3) of that subsection occurring on or after that 
     effective date.
       (c) Limitation on Application to Vessel Operating Under 
     Existing Charter.--This section does not affect the 
     application of section 7310 of title 10, United States Code, 
     to a vessel operating under a charter to the United States in 
     effect on the date of the enactment of this Act, unless such 
     charter is terminated or renewed after such date of 
     enactment.

     SEC. 1013. REPORT ON OPTIONS FOR FUTURE LEASE ARRANGEMENT FOR 
                   GUAM SHIPYARD.

       (a) Report Required.-- Not later than December 15, 2006, 
     the Secretary of the Navy shall submit to the Committee on 
     Armed Services of the Senate and the Committee on Armed 
     Service of the House of Representatives a report describing 
     the options available with respect to the Guam Shipyard in 
     Santa Rita, Guam.
       (b) Contents of Report.--The report required under 
     subsection (a) shall include the following:
       (1) An evaluation of the performance of the entities that, 
     as of the date of the enactment of this Act, are the lessee 
     and operators of the Guam Shipyard under the terms of the 
     lease in effect on the date of the enactment of this Act.
       (2) An evaluation of each of the following options with 
     respect to the Guam Shipyard lease:
       (A) Terminating the remaining term of the lease and issuing 
     a new 25 year lease with the same entity.
       (B) Terminating the remaining term of the lease with 
     respect to the approximately 73 acres within the Guam 
     Shipyard that are required for mission requirements and 
     leaving the remaining term of the lease in effect with 
     respect to the approximately 27 acres within the Facility 
     that are not required for mission requirements.
       (C) Terminating the remaining term of the lease and 
     negotiating a new use arrangement with a different lessee or 
     operator. The new use arrangement options shall include:
       (i) Government-owned and government-operated facility.
       (ii) Government-owned and contractor-operated facility.
       (iii) Government-leased property for contractor-owned and 
     contractor-operated facility.
       (c) Options for New Use Arrangements.--In evaluating the 
     options under subsection (b)(2)(C), the Secretary of the Navy 
     shall include an evaluation of each of the following:
       (1) The anticipated future military vessel repair and 
     workload on Guam in relation to the 2006 Quadrennial Defense 
     Review, issued on February 6, 2006, pursuant to section 118 
     of title 10, United States Code.
       (2) The anticipated military vessel repair and workload 
     attributable to vessels comprising the Maritime 
     Prepositioning Ship Squadron Three.
       (3) The anticipated military vessel repair and workload due 
     to a change in section 7310 of title 10, United States Code, 
     that would designate Guam as a United States homeport 
     facility.
       (4) The expected workload if the submarine tender the 
     U.S.S. Frank Cable (AS-40) is decommissioned.
       (5) The estimated reacquisition costs of transferred 
     Government property.
       (6) Costs to improve floating dry dock mooring 
     certification and required nuclear certification for the 
     floating dry dock designated as AFDB-8 to conduct the 
     following maintenance:
       (A) Dry-docking selected restricted availabilities and mid-
     term availability for attack submarines.
       (B) Dry-docking phased maintenance availabilities for 
     amphibious vessels, including to amphibious assault ships, 
     dock landing ships, and amphibious transport dock ships.
       (C) Dry-docking phased maintenance availabilities for 
     surface combatants, including cruisers, destroyers, and 
     frigates.
       (7) Commercial opportunities for development to expand 
     commercial ship repair and general industrial services, given 
     anti-terrorism force protection requirements at the current 
     facility.
       (8) Estimates from three contractors for the maintenance 
     and repair costs associated with executing a multiship, 
     multioption contract that would generate a minimum 60,000 
     manday commitment for the Department of the Navy and Military 
     Sealift Command vessels.
       (9) A projection of the maintenance and repair costs 
     associated with executing a minimum 60,000 mandays for the 
     Department of the Navy and Military Sealift Command vessels 
     as a Government-owned and Government-operated Navy ship 
     repair facility.
       (d) Input From Contractors.--In evaluating the options 
     under clauses (ii) and (iii) of subsection (b)(2)(C) for the 
     purposes of paragraphs (1), (2), and (3) of subsection (c), 
     the Secretary of the Navy shall seek input from at least 
     three contractors on the viability of operations based

[[Page 7754]]

     on the projected workload fiscal years 2008 through 2013.
       (e) Recommendations.--The Secretary of the Navy shall 
     include in the report the following:
       (1) The recommendations of the Secretary with respect to 
     continuation of the existing Guam Shipyard lease based on 
     evaluations conducted pursuant to subsection (b)(1).
       (2) The option under subsection (b)(2) that the Secretary 
     recommends for fiscal year 2008.
       (f) GAO Report.--Not later than March 1, 2007, the 
     Comptroller General shall submit to the Committee on Armed 
     Services of the Senate and the Committee on Armed Service of 
     the House of Representatives a report evaluating the report 
     submitted by the Secretary of the Navy under subsection (a). 
     The report shall include the option under subsection (b)(2) 
     that the Secretary recommends for fiscal year 2008.
       (g) Support for National Strategic Objectives.--For fiscal 
     year 2007, the Secretary of the Navy, under the authority of 
     section 2304(c)(3) of title 10, United States Code, and 
     section 6.302-3(a)(2)(i) of the Federal Acquisition 
     Regulation, shall award contracts to the Guam Shipyard in 
     amounts equal to the average amount of the mandays contracts 
     awarded to the Guam Shipyard for fiscal years 1998 through 
     2006 for the purpose of maintaining the industrial base in 
     case of a national emergency or to achieve industrial 
     mobilization.

     SEC. 1014. SHIPBUILDING INDUSTRIAL BASE IMPROVEMENT PROGRAM.

       (a) Program for United States Private Shipyards.--The 
     Secretary of the Navy shall establish a program, to be known 
     as the Shipbuilding Industrial Base Improvement Program, 
     under which the Secretary--
       (1) shall make grants to qualified applicants to facilitate 
     the development of innovative design and production 
     technologies and processes for naval vessel construction and 
     the development of modernized shipbuilding infrastructure; 
     and
       (2) shall provide loan guarantees for qualifying shipyards 
     to facilitate the acquisition by such shipyards of 
     technologies, processes, and infrastructure to improve their 
     productivity and cost effectiveness.
       (b) Purposes of Program.--The purposes of the program 
     established under subsection (a) are--
       (1) to improve the efficiency and cost-effectiveness of the 
     construction of naval vessels for the United States;
       (2) to enhance the quality of naval vessel construction; 
     and
       (3) to promote the international competitiveness of United 
     States shipyards for the construction of commercial ships and 
     naval ships intended for sale to foreign governments.
       (c) Selection of Grant Recipients.--
       (1) Application for development funding.--An entity 
     requesting a grant under subsection (a)(1) to develop new 
     design or production technologies or processes for naval 
     vessels or to improve shipbuilding infrastructure shall 
     submit to the Secretary of the Navy an application that 
     describes the proposal of the entity and provides evidence of 
     its capability to develop one or more of the following:
       (A) Numerically controlled machine tools, robots, automated 
     process control equipment, computerized flexible 
     manufacturing systems, associated computer software, and 
     other technology designed to improve shipbuilding and related 
     industrial productivity.
       (B) Novel techniques and processes designed to improve 
     shipbuilding quality, productivity, and practice on a broad 
     and sustained basis, including in such areas as engineering 
     design, quality assurance, concurrent engineering, continuous 
     process production technology, employee skills enhancement, 
     and management of customers and suppliers.
       (C) Technology, techniques, and processes appropriate to 
     enhancing the productivity of shipyard infrastructure.
       (2) Selection .--From applications submitted under 
     paragraph (1), the Secretary of the Navy shall select 
     entities to receive funds under subsection (a)(1) based on 
     their ability to research and develop innovative 
     technologies, processes, and infrastructure to alleviate 
     areas of shipyard construction inefficiencies as determined 
     through the assessment described in subsection (f).
       (d) Matching Requirement for Grants.--
       (1) Federal funding.--Except as provided in paragraph (2), 
     Federal funds from a grant under subsection (a)(1) for any 
     purpose shall not exceed 75 percent of the total cost.
       (2) Exceptions.--
       (A) Small projects.--Paragraph (1) shall not apply to 
     grants under this section for stand-alone projects costing 
     not more than $25,000. The amount under this subparagraph 
     shall be indexed to the consumer price index and modified 
     each fiscal year after the annual publication of the consumer 
     price index.
       (B) Reduction in matching requirement.--If the Secretary of 
     the Navy determines that a proposed project merits support 
     and cannot be undertaken without a higher percentage of 
     Federal financial assistance, the Secretary may award a grant 
     for such project with a lesser matching requirement than is 
     described in paragraph (1).
       (e) Loan Guarantees for Shipyard Use of Developed 
     Technologies, Processes, and Infrastructure.--
       (1) In general.--Upon making a determination that a 
     technology, a process, or an infrastructure improvement 
     (whether developed using a grant under subsection (a)(1), 
     through the National Shipbuilding Research Program, or 
     otherwise) will improve the productivity and cost-
     effectiveness of naval vessel construction, the Secretary of 
     the Navy may provide a loan guarantee under subsection (a)(2) 
     for a qualifying shipyard to facilitate the purchase by such 
     shipyard of such technology, process, or infrastructure 
     improvement.
       (2) Payment of cost of loan guarantee.--The cost of a 
     guarantee under this subsection shall be paid for with 
     amounts made available in appropriations Acts.
       (3) Percentage limitation; term.--A loan guarantee under 
     this subsection may apply--
       (A) to up to 87.5 percent of the loan principal; and
       (B) for a term of up to 30 years.
       (4) Authorities, procedures, requirements, and 
     restrictions.--The Secretary of the Navy, subject to the 
     other provisions of this section--
       (A) in implementing this section, may exercise authorities 
     that are similar to the authorities available to the 
     Secretary of Transportation under title XI of the Merchant 
     Marine Act, 1936 (46 App. U.S.C. 1271 et seq.), with respect 
     to loan guarantees under that title; and
       (B) may establish such additional requirements for loan 
     guarantees under this section as the Secretary determines to 
     be necessary to minimize the cost of such guarantees.
       (5) Limitation on total amount of loan guarantees.--The 
     total amount of loans for which guarantees are provided under 
     this subsection may not exceed $1,000,000,000.
       (6) Definitions.--In this subsection:
       (A) Qualifying shipyard.--The term ``qualifying shipyard'', 
     with respect to a loan guarantee under this section, means a 
     shipyard that, over the three years preceding the year in 
     which the loan guarantee is made, derived less than 40 
     percent of its revenue either directly or indirectly from 
     United States Government contracts.
       (B) Cost.--The term ``cost'', with respect to a loan 
     guarantee under this section, has the meaning given that term 
     in section 502 of the Congressional Budget and Impoundment 
     Control Act of 1974 (2 U.S.C. 661a), with cost for that 
     purpose calculated assuming that the borrowing entity 
     receives no revenue directly or indirectly from United States 
     Government contracts.
       (7) Termination of authority.--The authority of the 
     Secretary of the Navy to provide loan guarantees under this 
     subsection expires at the close of September 30, 2011.
       (f) Assessments of Naval Vessel Construction 
     Inefficiencies.--
       (1) Periodic assessments required.--The Secretary of the 
     Navy shall conduct, in the third quarter of each fiscal year 
     or as often as necessary, an assessment of the following 
     aspects of naval vessel construction to determine where and 
     to what extent inefficiencies exist and to what extent 
     innovative design and production technologies, processes, and 
     infrastructure can be developed to alleviate such 
     inefficiencies:
       (A) Program design, engineering, and production 
     engineering.
       (B) Organization and operating systems.
       (C) Steelwork production.
       (D) Ship construction and outfitting.
       (2) Consideration of prior assessments.--In making the 
     assessments required by paragraph (1), the Secretary shall 
     take into consideration the results of--
       (A) the study of the cost effectiveness of the ship 
     construction program of the Navy required by section 1014 of 
     the Ronald W. Reagan National Defense Authorization Act for 
     Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2041); and
       (B) the assessment of the United States naval shipbuilding 
     industry required by section 254 of the National Defense 
     Authorization Act for Fiscal Year 2006 (Public Law 109-163; 
     119 Stat. 3180).
       (g) Availability of Funds.--
       (1) Authority subject to availability of appropriations.--
     The authority of the Secretary of the Navy to make grants and 
     provide loan guarantees under this section for any fiscal 
     year is subject to the availability of appropriations for 
     that purpose.
       (2) Fiscal year 2007.--Of the amount authorized to be 
     appropriated pursuant to section 201(2) for research, 
     development, test, and evaluation for the Navy for fiscal 
     year 2007--
       (A) $50,000,000 shall be available to the Secretary of the 
     Navy only to make grants under this section; and
       (B) $50,000,000 shall be available only for the cost (as 
     defined in subsection (e)(6)(B)) of loan guarantees under 
     this section.
       (h) Identification in Budget of Annual Amount for Support 
     of NSRP Activities.--Amounts in the budget of the President 
     for any fiscal year for research, development, test, and 
     evaluation for the Navy that are intended to be made 
     available for the National Shipbuilding Research Program 
     shall be separately identified and set forth in budget 
     justification materials submitted to Congress for that fiscal 
     year in support of that budget.
       (i) Definition of Shipyard.--In this section, the term 
     ``shipyard'' means a private shipyard located in the United 
     States the business of which includes the construction, 
     repair, and maintenance of United States naval vessels.

     SEC. 1015. TRANSFER OF OPERATIONAL CONTROL OF CERTAIN PATROL 
                   COASTAL SHIPS TO COAST GUARD.

        Not later than September 30, 2008, the Secretary of the 
     Navy shall enter into an agreement with the Commandant of the 
     Coast Guard for the transfer by the Secretary of the Navy to 
     the Coast Guard of operational control of not less than five 
     179-foot Cyclone-class patrol coastal

[[Page 7755]]

     ships for a period extending at least through September 30, 
     2012.

     SEC. 1016. LIMITATION ON LEASING OF FOREIGN-BUILT VESSELS.

       (a) In General.--(1) Chapter 141 of title 10, United States 
     Code, is amended by inserting after section 2401a the 
     following new section:

     ``Sec. 2401b. Limitation on lease of foreign-built vessels

       ``(a) Limitation.--The Secretary of a military department 
     may not make a contract for a lease or charter of a vessel 
     for a term of more than 24 months (including all options to 
     renew or extend the contract) if the hull, or a component of 
     the hull and superstructure of the vessel, is constructed in 
     a foreign shipyard.
       ``(b) Presidential Waiver for National Security Interest.--
     (1) The President may authorize exceptions to the limitation 
     in subsection (a) when the President determines that it is in 
     the national security interest of the United States to do so.
       ``(2) The President shall transmit notice to Congress of 
     any such determination, and no contract may be made pursuant 
     to the exception authorized until the end of the 30-day 
     period beginning on the date on which the notice of the 
     determination is received by Congress.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     2401a the following new item:

``2401b. Limitation on lease of foreign-built vessels.''.

       (b) Effective Date.--Section 2401b of title 10, United 
     States Code, as added by subsection (a), shall apply with 
     respect to contracts entered into after the date of the 
     enactment of this Act.

     SEC. 1017. OVERHAUL, REPAIR, AND MAINTENANCE OF VESSELS 
                   CARRYING DEPARTMENT OF DEFENSE CARGO.

       The Secretary of Defense may not award any contract for the 
     carriage by vessel of cargo for the Department of Defense, 
     unless the contract includes a requirement under which the 
     contractor shall--
       (1) ensure that all overhaul, repair, and maintenance 
     performed on the vessel during the period of the contract is 
     performed in a shipyard located in the United States; or
       (2) report to the Secretary every fiscal year quarter all 
     overhaul, repair, and maintenance performed on the vessel in 
     a shipyard located outside the United States during the 
     period covered by the report.

     SEC. 1018. RIDING GANG MEMBER DOCUMENTATION REQUIREMENT.

       (a) Requirement.--The Secretary of Defense may not award 
     any charter of a vessel for the Department of Defense, or 
     contract for the carriage of cargo by vessel for the 
     Department of Defense, unless the charter or contract, 
     respectively, requires that each riding gang member that 
     performs any work on the vessel during the effective period 
     of the charter or contract holds a merchant mariner's 
     document issued under chapter 73 of title 46, United States 
     Code.
       (b) Riding Gang Member Defined.--In this section the term 
     ``riding gang member'' means an individual who--
       (1) does not perform--
       (A) watchstanding, automated engine room duty watch, or 
     personnel safety functions; or
       (B) cargo handling functions, including any activity 
     relating to the loading or unloading of cargo, the operation 
     of cargo-related equipment (whether or not integral to the 
     vessel), and the handling of mooring lines on the dock when 
     the vessel is made fast or let go;
       (2) does not serve as part of the crew complement required 
     under section 8101 of title 46, United States Code;
       (3) is not a member of the steward's department; and
       (4) is not a citizen or temporary or permanent resident of 
     a country designated by the United States as a sponsor of 
     terrorism or any other country that the Secretary of Defense, 
     in consultation with the Secretary of State and the heads of 
     other appropriate United States agencies, determines to be a 
     security threat to the United States.
       (c) Limitations on Application.--
       (1) Vessel operating under existing charter or contract.--
     This section does not apply with respect to a vessel 
     operating under a charter or contract in effect on the date 
     of the enactment of this section, unless such charter or 
     contract is renewed after such date of enactment.
       (2) Exemptions by secretary of defense.--
       (A) In general.--The Secretary of Defense may issue 
     regulations that exempt a riding gang member from subsection 
     (a) for the performance of specific technical work on 
     original equipment of a vessel.
       (B) Background check.--Such regulations shall include a 
     requirement that a riding gang member must pass a background 
     check before performing work under such an exemption.

                  Subtitle C--Counter-Drug Activities

     SEC. 1021. RESTATEMENT IN TITLE 10, UNITED STATES CODE, AND 
                   REVISION OF DEPARTMENT OF DEFENSE AUTHORITY TO 
                   PROVIDE SUPPORT FOR COUNTER-DRUG ACTIVITIES OF 
                   FEDERAL, STATE, LOCAL, AND FOREIGN LAW 
                   ENFORCEMENT AGENCIES.

       (a) Restatement and Revision of Authority.--Chapter 18 of 
     title 10, United States Code, is amended by adding at the end 
     a new section 383 consisting of--
       (1) a heading as follows:

     ``Sec. 383. Support for counter-drug activities: Federal, 
       State, local, and foreign law enforcement agencies''; and

       (2) a text consisting of the text of section 1004 of the 
     National Defense Authorization Act for Fiscal Year 1991 
     (Public Law 101-510; 10 U.S.C. 374 note), revised as follows:
       (A) In subsection (a), by replacing ``During fiscal years 
     2002 through 2006, the'' with ``The''.
       (B) In subsection (e), by replacing ``section 376 of title 
     10, United States Code,'' with ``section 376 of this 
     title,''.
       (C) In subsection (f), by deleting the parenthetical phrase 
     beginning ``(including training'' and ending ``1564))''.
       (D) In subsection (g)--
       (i) in paragraph (1), by replacing ``chapter 18, United 
     States Code'' with ``this chapter''; and
       (ii) in paragraph (2), by replacing ``title 10, United 
     States Code'' with ``this title''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``383. Support for counter-drug activities: Federal, State, local, and 
              foreign law enforcement agencies.''.
       (c) Repeal of Fiscal Year 1991 Authority.--Section 1004 of 
     the National Defense Authorization Act for Fiscal Year 1991 
     (Public Law 101-510; 10 U.S.C. 374 note) is repealed.

     SEC. 1022. RESTATEMENT IN TITLE 10, UNITED STATES CODE, AND 
                   REVISION OF DEPARTMENT OF DEFENSE AUTHORITY TO 
                   PROVIDE SUPPORT FOR COUNTER-DRUG ACTIVITIES OF 
                   CERTAIN FOREIGN GOVERNMENTS.

       (a) Restatement and Revision of Authority.--Chapter 18 of 
     title 10, United States Code, is amended by inserting after 
     section 383, as added by section 1021, a new section 384 
     consisting of--
       (1) a heading as follows:

     ``Sec. 384. Support for counter-drug activities: foreign 
       governments''; and

       (2) a text consisting of the text of section 1033 of the 
     National Defense Authorization Act for Fiscal Year 1998 
     (Public Law 105-85; 111 Stat. 1881), revised as follows:
       (A) In subsection (a)(2)--
       (i) by deleting the first sentence; and
       (ii) by replacing ``the governments'' with ``those 
     governments''.
       (B) In subsection (b), by adding at the end the following 
     new paragraphs:
       ``(10) The Government of Azerbaijan.
       ``(11) The Government of Kazakhstan.
       ``(12) The Government of Kyrgyzstan.
       ``(13) The Government of Guatemala.
       ``(14) The Government of Belize.
       ``(15) The Government of Panama.''.
       (C) In subsection (c), by replacing paragraphs (1), (2), 
     and (3) with the following new paragraphs:
       ``(1) The transfer of nonlethal protective and utility 
     personnel equipment.
       ``(2) The transfer of the following nonlethal specialized 
     equipment:
       ``(A) Navigation equipment.
       ``(B) Secure and nonsecure communications equipment.
       ``(C) Photo equipment.
       ``(D) Radar equipment.
       ``(E) Night vision systems.
       ``(3) The transfer of nonlethal components, accessories, 
     attachments, parts (including ground support equipment), 
     firmware, and software and repair equipment related to the 
     equipment specified in paragraph (2).
       ``(4) The transfer of patrol boats, vehicles, and aircraft 
     and detection, interception, monitoring and testing 
     equipment.
       ``(5) The maintenance and repair or upgrade of equipment of 
     the government that is used for counter-drug activities.
       ``(6) For fiscal years 2007 and 2008, for the Government of 
     Afghanistan only, individual and crew-served weapons of 50 
     caliber or less and ammunition for such weapons for counter-
     narcotics security forces.''.
       (D) In subsection (d), by replacing ``the provisions of 
     section 1004 of the National Defense Authorization Act for 
     Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 374 note)'' 
     with ``section 383 of this title''.
       (E) By replacing subsection (e) with the following new 
     subsection (e):
       ``(e) Limitation on Obligations.--Amounts made available to 
     carry out this section shall remain available until expended, 
     except that the total amount obligated and expended under 
     this section may not exceed $40,000,000 during fiscal year 
     2006 or $60,000,000 during fiscal year 2007 or fiscal year 
     2008.''.
       (F) In subsection (f), by replacing paragraphs (3) and (4) 
     with the following new paragraph:
       ``(3) For purposes of this subsection and subsection (h), 
     the term `congressional committees' means the following:
       ``(A) The Committee on Armed Services, the Committee on 
     Appropriations, and the Committee on Foreign Relations of the 
     Senate.
       ``(B) The Committee on Armed Services, the Committee on 
     Appropriations, and the Committee on International Relations 
     of the House of Representatives.''.
       (G) In subsection (g)(1), by replacing ``United States 
     Armed Forces'' with ``armed forces''.
       (H) In subsection (h)--
       (i) in the first sentence, by replacing ``prepare for 
     fiscal year 2004 (and revise as necessary for subsequent 
     fiscal years) a counter-drug plan'' with ``submit to the 
     congressional committees not later than December 31 of each 
     fiscal year a counter-drug plan for the next fiscal year''; 
     and
       (ii) by adding at the end the following new paragraph:.
       ``(10) A copy of the certification required by subsection 
     (f)(1) with respect to the government.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section

[[Page 7756]]

     383, as added by section 1021, the following new item:

``384. Support for counter-drug activities: foreign governments.''.
       (c) Repeal of Fiscal Year 1998 Authority.--Section 1033 of 
     the National Defense Authorization Act for Fiscal Year 1998 
     (Public Law 105-85; 111 Stat. 1881) is repealed.

     SEC. 1023. EXTENSION OF AUTHORITY TO SUPPORT UNIFIED 
                   COUNTERDRUG AND COUNTERTERRORISM CAMPAIGN IN 
                   COLOMBIA.

       Section 1021 of the Ronald W. Reagan National Defense 
     Authorization Act for Fiscal Year 2005 (Public Law 108-375; 
     118 Stat. 2042) is amended--
       (1) in subsection (a)(1), by striking ``and 2006'' and 
     inserting ``through 2008''; and
       (2) in subsection (c), by striking ``and 2006'' and 
     inserting ``through 2008''.

     SEC. 1024. CONTINUATION OF REPORTING REQUIREMENT REGARDING 
                   DEPARTMENT OF DEFENSE EXPENDITURES TO SUPPORT 
                   FOREIGN COUNTER-DRUG ACTIVITIES.

       (a) Additional Report Required.--Section 1022 of the Floyd 
     D. Spence National Defense Authorization Act for Fiscal Year 
     2001 (as enacted into law by Public Law 106-398; 114 Stat. 
     1654A-255), as amended by section 1022 of the National 
     Defense Authorization Act for Fiscal Year 2002 (Public Law 
     107-107; 115 Stat. 1215) and section 1021 of the National 
     Defense Authorization Act for Fiscal Year 2006 (Public Law 
     109-163; 119 Stat. 3426), is further amended by inserting 
     ``and February 15, 2007,'' after ``April 15, 2006,''.
       (b) Form of Report and Additional Information Required.--
     Such section is further amended--
       (1) in the first sentence, by inserting ``, in both 
     classified and unclassified form,'' after ``report''; and
       (2) in paragraph (2), by inserting before the period at the 
     end the following: ``and the amount of funds provided for 
     each type of counter-drug activity assisted''.

     SEC. 1025. REPORT ON INTERAGENCY COUNTER-NARCOTICS PLAN FOR 
                   AFGHANISTAN AND SOUTH AND CENTRAL ASIAN 
                   REGIONS.

       (a) Report Required.--Not later than December 31, 2006, the 
     Secretary of Defense shall submit to the congressional 
     defense committees a report updating the interagency counter-
     narcotics implementation plan for Afghanistan and the South 
     and Central Asian regions, including Turkmenistan, 
     Uzbekistan, Tajikistan, Kyrgyzstan, Kazakhstan, Iran, 
     Azerbaijan, Pakistan, India, and China, originally prepared 
     pursuant to section 1033 of the National Defense 
     Authorization Act for Fiscal Year 1998 (Public Law 105-85; 
     111 Stat. 1881).
       (b) Consultation.--The report under this section shall be 
     prepared in consultation with the Secretary of State, the 
     Administrator of the Agency for International Development, 
     and the Director of the Drug Enforcement Administration.
       (c) Matters To Be Included.--The report shall include the 
     following for each foreign government covered by the report:
       (1) A consideration of what activities should be 
     reallocated among the United States and the foreign 
     government based on the capabilities of each department and 
     agency involved.
       (2) Any measures necessary to clarify the legal authority 
     required to complete the mission and the measures necessary 
     for the United States to successfully complete its counter-
     narcotics efforts in Afghanistan and the South and Central 
     Asian regions.
       (3) Current and proposed United States funding to support 
     counter-narcotics activities of the foreign government.

                       Subtitle D--Other Matters

     SEC. 1031. REVISION TO AUTHORITIES RELATING TO COMMISSION ON 
                   THE IMPLEMENTATION OF THE NEW STRATEGIC POSTURE 
                   OF THE UNITED STATES.

       Section 1051 of the National Defense Authorization Act for 
     Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3431) is 
     amended--
       (1) in subsections (b)(1)(E) and (b)(2)(B), by striking 
     ``though 2008'' and inserting ``through 2025'';
       (2) in subsection (c)(1), by striking ``Not later than June 
     30, 2007'' and inserting ``Not later than 18 months after the 
     date of the Commission's first meeting''; and
       (3) in subsection (f), by striking ``July 30, 2007'' and 
     inserting ``60 days after the date of the submission of its 
     report''.

     SEC. 1032. ENHANCEMENT TO AUTHORITY TO PAY REWARDS FOR 
                   ASSISTANCE IN COMBATING TERRORISM.

       (a) Increase in Delegation Limitation.--Paragraph (2) of 
     section 127b(c) of title 10, United States Code, is amended 
     by striking ``$2,500'' and inserting ``$10,000''.
       (b) Expansion of Senior Officers to Whom Combatant 
     Commander Authority May Be Delegated.--Such paragraph is 
     further amended--
       (1) by inserting after ``deputy commander'' the following: 
     ``, or to the commander of a command directly subordinate to 
     that commander,''; and
       (2) by adding at the end the following new sentence: ``Such 
     a delegation may be made to the commander of a command 
     directly subordinate to the commander of a combatant command 
     only with the approval of the Secretary of Defense, the 
     Deputy Secretary of Defense, or an Under Secretary of Defense 
     designated by the Secretary.''.

     SEC. 1033. REPORT ON ASSESSMENT PROCESS OF CHAIRMAN OF THE 
                   JOINT CHIEFS OF STAFF RELATING TO GLOBAL WAR ON 
                   TERRORISM.

       Not later than March 1, 2007, the Secretary of Defense 
     shall submit to the Committee on Armed Services of the Senate 
     and the Committee on Armed Services of the House of 
     Representatives a report on the findings of the semiannual 
     assessment process relating to the Global War on Terrorism 
     that is described in the annex to the National Military 
     Strategic Plan for the War on Terrorism, issued by the 
     Secretary of Defense on February 1, 2006, that is designated 
     as the Implementation and Assessment Annex (Annex R).

     SEC. 1034. PRESIDENTIAL REPORT ON IMPROVING INTERAGENCY 
                   SUPPORT FOR UNITED STATES 21ST CENTURY NATIONAL 
                   SECURITY MISSIONS.

       (a) Report Required.--Not later than February 1, 2007, the 
     President shall submit to Congress a report on building 
     interagency capacity and enhancing the integration of 
     civilian capabilities of the executive branch with the 
     capabilities of the Armed Forces as required to achieve 
     United States national security goals and objectives. To the 
     maximum extent practicable, the report shall be unclassified, 
     with a classified annex if necessary.
       (b) Report Elements.--The report under subsection (a) shall 
     include the following:
       (1) An assessment of the capabilities required within the 
     executive branch (other than the Armed Forces) to achieve the 
     full spectrum of United States national security goals and 
     objectives, to defend United States national security 
     interests, and, in particular, to coordinate with the efforts 
     of elements of the Armed Forces where deployed, including at 
     least in the following areas:
       (A) Organizations and organizational structure.
       (B) Planning and assessment capabilities.
       (C) Information sharing policies, practices, and systems.
       (D) Leadership issues, including command and control of 
     forces and personnel in the field.
       (E) Personnel policies and systems, including recruiting, 
     retention, training, education, promotion, awards, 
     employment, deployment, and retirement.
       (F) Acquisition authorities.
       (2) The criteria and considerations used to evaluate 
     progress in each of the areas specified in paragraph (1) 
     towards building and integrating the interagency capacities 
     required to achieve United States national security goals and 
     objectives.
       (3) Recommendations for specific legislative proposals that 
     would improve interagency capacity and enhance the 
     integration of civilian capabilities with the capabilities of 
     deployed elements of the Armed Forces for each of the areas 
     specified in paragraph (1).

     SEC. 1035. QUARTERLY REPORTS ON IMPLEMENTATION OF 2006 
                   QUADRENNIAL DEFENSE REVIEW REPORT.

       (a) Reports Required.--Not later than 30 days after the end 
     of each fiscal-year quarter, the Secretary of Defense shall 
     submit to the Committee on Armed Services of the Senate and 
     the Committee on Armed Services of the House of 
     Representatives a report on the implementation of 
     recommendations described in the Department of Defense 2006 
     Quadrennial Defense Review Report.
       (b) Contents of Reports.--Each quarterly report under 
     subsection (a) shall, at a minimum--
       (1) describe the processes and procedures established by 
     the Secretary of Defense to examine the various 
     recommendations referred to in subsection (a);
       (2) discuss implementation plans and strategies for each 
     area highlighted by the Quadrennial Defense Review Report;
       (3) provide relevant information about the status of such 
     implementation; and
       (4) indicate changes in the Secretary's assessment of the 
     defense strategies or capabilities required since the 
     publication of the 2006 Quadrennial Defense Review Report.
       (c) Initial Report.--The first report under subsection (a) 
     shall be submitted not later than January 31, 2007.
       (d) Expiration of Requirement.--The reporting requirement 
     in subsection (a) shall terminate upon the earlier of the 
     following:
       (1) The date of the publication of the next Quadrennial 
     Defense Review Report after the date of the enactment of this 
     Act pursuant to section 118 of title 10, United States Code.
       (2) The date of transmission of a written notification by 
     the Secretary of Defense to the Committee on Armed Services 
     of the Senate and the Committee on Armed Services of the 
     House of Representatives that implementation of the 
     recommendations of the 2006 Quadrennial Defense Review is 
     complete.

     SEC. 1036. INCREASED HUNTING AND FISHING OPPORTUNITIES FOR 
                   MEMBERS OF THE ARMED FORCES, RETIRED MEMBERS, 
                   AND DISABLED VETERANS.

       (a) Access for Members, Retired Members, and Disabled 
     Veterans.--Consistent with section 2671 of title 10, United 
     States Code, and using such funds as are made available for 
     this purpose, the Secretary of Defense shall ensure that 
     members of the Armed Forces, retired members, disabled 
     veterans, and persons assisting disabled veterans are able to 
     utilize lands under the jurisdiction of the Department of 
     Defense that are available for hunting or fishing.
       (b) Assessment.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary shall submit to 
     Congress a report containing the results of an assessment of 
     those lands under the jurisdiction of the Department of 
     Defense and suitable for hunting or fishing and describing 
     the actions necessary--

[[Page 7757]]

       (1) to further increase the acreage made available to 
     members of the Armed Forces, retired members, disabled 
     veterans, and persons assisting disabled veterans for hunting 
     and fishing; and
       (2) to make that acreage more accessible to disabled 
     veterans.
       (c) Recreational Activities on Santa Rosa Island.--The 
     Secretary of the Interior shall immediately cease the plan, 
     approved in the settlement agreement for case number 96-7412 
     WJR and case number 97-4098 WJR, to exterminate the deer and 
     elk on Santa Rosa Island, Channel Islands, California, by 
     helicopter and shall not exterminate or nearly exterminate 
     the deer and elk.

     SEC. 1037. TECHNICAL AND CLERICAL AMENDMENTS.

       (a) Title 10, United States Code.--Title 10, United States 
     Code, is amended as follows:
       (1) Section 1406(i)(3)(B)(vi) is amended by striking 
     ``Advisor for'' and inserting ``Advisor to''.
       (2) Section 2105 is amended by striking by adding a period 
     at the end of the last sentence.
       (3) Section 2703(h) is amended by striking ``subsection'' 
     in the first sentence and inserting ``section''.
       (b) Title 37, United States Code.--Title 37, United States 
     Code, is amended as follows:
       (1) Section 210(c)(6) is amended by striking ``Advisor 
     for'' and inserting ``Advisor to''.
       (2) Section 308g(h) is amended by striking the second 
     period at the end.
       (3) Section 308j is amended by striking subsection (g) and 
     inserting the following new subsection:
       ``(g) Repayment.--A person who enters into an agreement 
     under this section and receives all or part of the bonus 
     under the agreement, but who does not accept a commission or 
     an appointment as an officer or does not commence to 
     participate or does not satisfactorily participate in the 
     Selected Reserve for the total period of service specified in 
     the agreement, shall be subject to the repayment provisions 
     of section 303a(e) of this title.''.
       (4) Section 414(c) is amended by striking ``, or the Senior 
     Enlisted Advisor for the Chairman of the Joint Chiefs of 
     Staff'' before the period at the end.
       (c) National Defense Authorization Act for Fiscal Year 
     2006.--Effective as of January 6, 2006, and as if included 
     therein as enacted, the National Defense Authorization Act 
     for Fiscal Year 2006 (Public Law 109-163) is amended as 
     follows:
       (1) Section 608(b) (119 Stat. 3289) is amended--
       (A) in paragraph (1), by striking ``the first sentence'' 
     and inserting ``the second sentence''; and
       (B) in paragraph (2), by striking ``the second sentence'' 
     and inserting ``the third sentence''.
       (2) Section 683 (119 Stat. 3322) is amended--
       (A) in subsection (a)(3), by striking ``section 4873'' and 
     inserting ``section 4837'';
       (B) in subsetion (c)(3), by striking ``section 9873'' and 
     inserting ``section 9837''.
       (C) in subsection (b)(2)--
       (i) by striking ``by striking the penultimate word.'' and 
     inserting ``to read as follows:''; and
       (ii) by adding at the end the following:

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

       (3) Section 685(a) (119 Stat. 3325) is amended by striking 
     ``Advisor for'' both places it appears and inserting 
     ``Advisor to''.
       (4) Section 687(a)(2) (119 Stat. 3327) is amended by 
     striking ``subsection (a)'' and inserting ``subsection (e)''.
       (5) Section 687(b)(15) (119 Stat. 3330) is amended--
       (A) by striking ``Subsection (d)'' and inserting 
     ``Subsection (e)''; and
       (B) in the matter inserted by that section, by striking 
     ``(d) Repayment.--'' and inserting ``(e) Repayment.--''.

     SEC. 1038. DATABASE OF EMERGENCY RESPONSE CAPABILITIES.

       The Secretary of Defense shall ensure that a database of 
     emergency response capabilities is maintained by the 
     Department of Defense that includes the following:
       (1) The types of capabilities that each State's National 
     Guard will likely provide in response to domestic natural and 
     manmade disasters, both to their home States and under State-
     to-State mutual assistance agreements.
       (2) The types of capabilities that the Department of 
     Defense will likely provide in order to fulfill Department of 
     Defense responsibilities to provide support under the 
     National Response Plan's 15 Emergency Support Functions, as 
     well as identification of the units that provide those 
     capabilities.

     SEC. 1039. INFORMATION ON CERTAIN CRIMINAL INVESTIGATIONS AND 
                   PROSECUTIONS.

       (a) Annual Report.--Subsection (c) of section 1093 of the 
     Ronald W. Reagan National Defense Authorization Act for 
     Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2070) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting ``, or any prosecution on account of,'' 
     after ``Notice of any investigation into''; and
       (B) by inserting before the period at the end the 
     following: ``, and, as to any such criminal investigation or 
     prosecution described in this paragraph, a detailed and 
     comprehensive description of such investigation or 
     prosecution and any resulting judicial or nonjudicial 
     punishment or other disciplinary action''; and
       (2) by adding at the end the following new paragraph:
       ``(3) Information about any officer nominated for command, 
     or nominated for promotion or appointment to a position 
     requiring the advice and consent of the Senate, who has been 
     subject to any investigation into, or prosecution of, a 
     violation of international obligations or laws of the United 
     States regarding the treatment of individuals detained by the 
     United States Armed Forces or by a person providing services 
     to the Department of Defense on a contractual basis, if the 
     inclusion of such information in the report will not 
     compromise any ongoing criminal or administrative 
     investigation or prosecution, and including the following:
       ``(A) A description of any allegation of detainee death, 
     torture or abuse.
       ``(B) The status of any investigation or prosecution.
       ``(C) Any judicial or nonjudicial punishment or other 
     disciplinary action.''.
       (b) Nomination Information.--Such section is further 
     amended by adding at the end the following new subsection:
       ``(f) Nominations.--Information described in paragraph (3) 
     of subsection (c), in addition to being included in the 
     annual report under that subsection, shall be submitted to 
     the Committee of Armed Services of the Senate and the 
     Committee on Armed Services of the House of Representatives 
     on a regular, timely basis in advance of any nomination 
     described in that paragraph.''.

     SEC. 1040. DATE FOR FINAL REPORT OF EMP COMMISSION.

       (a) Revised Deadline for Submission of Final Report.--The 
     final report of the EMP Commission shall be submitted to 
     Congress not later than the end of the 18-month period 
     beginning on the date of the commission's first meeting after 
     being reestablished pursuant to section 1052 of the National 
     Defense Authorization Act for Fiscal Year 2006 (Public Law 
     109-163; 119 Stat. 3434) (rather than the date prescribed in 
     section 1403(a) of the Commisssion Charter).
       (b) Definitions.--For purposes of this section:
       (1) Emp commission.--The term ``EMP Commission'' means the 
     Commission to Assess the Threat to the United States from 
     Electromagnetic Pulse (EMP) Attack Commission, established 
     pursuant to title XIV of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-345 et seq.) and 
     reestablished pursuant to section 1052 of the National 
     Defense Authorization Act for Fiscal Year 2006 (Public Law 
     109-163; 119 Stat. 3434).
       (2) Commission charter.--The term ``Commission charter'' 
     means title XIV of the Floyd D. Spence National Defense 
     Authorization Act for Fiscal Year 2001 (as enacted into law 
     by Public Law 106-398; 114 Stat. 1654A-345 et seq.), as 
     amended by section 1052 of the National Defense Authorization 
     Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 
     3434).

                  TITLE XI--CIVILIAN PERSONNEL MATTERS

Sec. 1101. Increase in authorized number of defense intelligence senior 
              executive service employees.
Sec. 1102. Authority for Department of Defense to pay full replacement 
              value for personal property claims of civilians.
Sec. 1103. Accrual of annual leave for members of the uniformed 
              services performing dual employment.
Sec. 1104. Death gratuity authorized for Federal employees.

     SEC. 1101. INCREASE IN AUTHORIZED NUMBER OF DEFENSE 
                   INTELLIGENCE SENIOR EXECUTIVE SERVICE 
                   EMPLOYEES.

       Section 1606(a) of title 10, United States Code, is amended 
     by striking ``594'' and inserting ``644''.

     SEC. 1102. AUTHORITY FOR DEPARTMENT OF DEFENSE TO PAY FULL 
                   REPLACEMENT VALUE FOR PERSONAL PROPERTY CLAIMS 
                   OF CIVILIANS.

       Section 2636a(a) of title 10, United States Code, is 
     amended by striking ``of baggage and household effects for 
     members of the armed forces at Government expense'' and 
     inserting ``at Government expense of baggage and household 
     effects for members of the armed forces or civilian employees 
     of the Department of Defense (or both)''.

     SEC. 1103. ACCRUAL OF ANNUAL LEAVE FOR MEMBERS OF THE 
                   UNIFORMED SERVICES PERFORMING DUAL EMPLOYMENT.

       Section 5534a of title 5, United States Code, is amended by 
     adding at the end the following new sentence: ``Such a member 
     also is entitled to accrue annual leave with pay in the 
     manner specified in section 6303(a) of this title for a 
     retired member of a uniformed service.''.

     SEC. 1104. DEATH GRATUITY AUTHORIZED FOR FEDERAL EMPLOYEES.

       (a) Death Gratuity Authorized.--Chapter 81 of title 5, 
     United States Code, is amended by inserting after section 
     8102 the following new section:

     ``Sec. 8102a. Death gratuity

       ``(a) Death Gratuity Authorized.--The United States shall 
     pay a death gratuity of $100,000 to or for the survivor 
     prescribed by subsection (d) immediately upon receiving 
     official notification of the death of an employee who dies of 
     injuries incurred in connection with the employee's service 
     with an Armed Force in a contingency operation, or who dies 
     of injuries incurred in connection with a terrorist incident 
     occurring during the employee's service with an Armed Force.
       ``(b) Retroactive Payment in Certain Cases.--With respect 
     to an employee who dies on or after October 7, 2001, as a 
     result of

[[Page 7758]]

     wounds, injuries, or illnesses incurred in the performance of 
     duty in the theater of operations of Operation Enduring 
     Freedom or Operation Iraqi Freedom, subsection (a) also shall 
     apply.
       ``(c) Other Benefits.--The death gratuity payable under 
     this section is in addition to any death benefits otherwise 
     provided for in law.
       ``(d) Eligible Survivors.--
       ``(1) A death gratuity payable upon the death of a person 
     covered by subsection (a) shall be paid to or for the living 
     survivor highest on the following list:
       ``(A) The employee's surviving spouse.
       ``(B) The employee's children, as prescribed by paragraph 
     (2), in equal shares.
       ``(C) If designated by the employee, any one or more of the 
     following persons:
       ``(i) The employee's parents or persons in loco parentis, 
     as prescribed by paragraph (3).
       ``(ii) The employee's brothers.
       ``(iii) The employee's sisters.
       ``(D) The employee's parents or persons in loco parentis, 
     as prescribed by paragraph (3), in equal shares.
       ``(E) The employee's brothers and sisters in equal shares.

     Subparagraphs (C) and (E) of this paragraph include brothers 
     and sisters of the half blood and those through adoption.
       ``(2) Paragraph (1)(B) applies, without regard to age or 
     marital status, to--
       ``(A) legitimate children;
       ``(B) adopted children;
       ``(C) stepchildren who were a part of the decedent's 
     household at the time of death;
       ``(D) illegitimate children of a female decedent; and
       ``(E) illegitimate children of a male decedent--
       ``(i) who have been acknowledged in writing signed by the 
     decedent;
       ``(ii) who have been judicially determined, before the 
     decedent's death, to be his children;
       ``(iii) who have been otherwise proved, by evidence 
     satisfactory to the employing agency, to be children of the 
     decedent; or
       ``(iv) to whose support the decedent had been judicially 
     ordered to contribute.
       ``(3) Subparagraphs (C) and (D) of paragraph (1), so far as 
     they apply to parents and persons in loco parentis, include 
     fathers and mothers through adoption, and persons who stood 
     in loco parentis to the decedent for a period of not less 
     than one year at any time before the decedent became an 
     employee. However, only one father and one mother, or their 
     counterparts in loco parentis, may be recognized in any case, 
     and preference shall be given to those who exercised a 
     parental relationship on the date, or most nearly before the 
     date, on which the decedent became an employee.
       ``(4) If an eligible survivor dies before he receives the 
     death gratuity, it shall be paid to the living survivor next 
     in the order prescribed by paragraph (1).
       ``(e) Definitions.--The term `contingency operation' has 
     the meaning given to that term in section 1482a(c) of title 
     10, United States Code.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 81 of such title is amended by inserting 
     after the item relating to section 8102 the following new 
     item:

``8102a. Death gratuity.''.

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

                  Subtitle A--Assistance and Training

Sec. 1201. Logistic support for allied forces participating in combined 
              operations.
Sec. 1202. Temporary authority to use acquisition and cross-servicing 
              agreements to lend certain military equipment to foreign 
              forces in Iraq and Afghanistan for personnel protection 
              and survivability.
Sec. 1203. Recodification and revision to law relating to Department of 
              Defense humanitarian demining assistance.
Sec. 1204. Enhancements to Regional Defense Combating Terrorism 
              Fellowship Program.
Sec. 1205. Capstone overseas field studies trips to People's Republic 
              of China and Republic of China on Taiwan.
Sec. 1206. Military educational exchanges between senior officers and 
              officials of the United States and Taiwan.

     Subtitle B--Nonproliferation Matters and Countries of Concern

Sec. 1211. Procurement restrictions against foreign persons that 
              transfer certain defense articles and services to the 
              People's Republic of China.

                       Subtitle C--Other Matters

Sec. 1221. Execution of the President's policy to make available to 
              Taiwan diesel electric submarines.

                  Subtitle A--Assistance and Training

     SEC. 1201. LOGISTIC SUPPORT FOR ALLIED FORCES PARTICIPATING 
                   IN COMBINED OPERATIONS.

       (a) Authority.--Chapter 3 of title 10, United States Code, 
     is amended by inserting after section 127b the following new 
     section:

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

       ``(a) Authority.--Subject to subsections (b) and (c), the 
     Secretary of Defense may provide logistic support, supplies, 
     and services to allied forces participating in a combined 
     operation with the armed forces. Provision of such support, 
     supplies, and services to the forces of an allied nation may 
     be made only with the concurrence of the Secretary of State.
       ``(b) Limitations.--The authority provided by subsection 
     (a) may be used only--
       ``(1) in accordance with the Arms Export Control Act and 
     other export control laws of the United States; and
       ``(2) for a combined operation--
       ``(A) that is carried out during active hostilities or as 
     part of a contingency operation or a noncombat operation 
     (including an operation in support of the provision of 
     humanitarian or foreign disaster assistance, a country 
     stabilization operation, or a peacekeeping operation under 
     chapter VI or VII of the Charter of the United Nations); and
       ``(B) in a case in which the Secretary of Defense 
     determines that the allied forces to be provided logistic 
     support, supplies, and services (i) are essential to the 
     success of the combined operation, and (ii) would not be able 
     to participate in the combined operation but for the 
     provision of such logistic support, supplies, and services by 
     the Secretary.
       ``(c) Limitation on Value.--The value of logistic support, 
     supplies, and services provided under this section in any 
     fiscal year may not exceed $100,000,000.
       ``(d) Definition.--In this section, the term `logistic 
     support, supplies, and services' has the meaning given that 
     term in section 2350(1) of this title.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 127b the following new item:

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

     SEC. 1202. TEMPORARY AUTHORITY TO USE ACQUISITION AND CROSS-
                   SERVICING AGREEMENTS TO LEND CERTAIN MILITARY 
                   EQUIPMENT TO FOREIGN FORCES IN IRAQ AND 
                   AFGHANISTAN FOR PERSONNEL PROTECTION AND 
                   SURVIVABILITY.

       (a) Authority.--
       (1) In general.--Subject to paragraphs (2), (3), and (4), 
     the Secretary of Defense may treat covered military equipment 
     as logistic support, supplies, and services under subchapter 
     I of chapter 138 of title 10, United States Code, for the 
     purpose of providing for the use of such equipment by 
     military forces of a nation participating in combined 
     operations with the United States in Iraq or Afghanistan.
       (2) Required determinations.--Equipment may be provided to 
     the military forces of a nation under the authority of this 
     section only upon--
       (A) a determination by the Secretary of Defense that the 
     United States forces in the combined operation have no 
     unfilled requirements for that equipment; and
       (B) a determination by the Secretary of Defense, with the 
     concurrence of the Secretary of State, that it is in the 
     national security interest of the United States to provide 
     for the use of such equipment by the military forces of that 
     nation under this section.
       (3) Limitation on use of equipment.--Equipment provided to 
     the military forces of a nation under the authority of this 
     section may be used by those forces only in Iraq or 
     Afghanistan and only for personnel protection or to aid in 
     the personnel survivability of those forces.
       (4) Limitation on duration of provision of equipment.--
     Equipment provided to the military forces of a nation under 
     the authority of this section may be used by the military 
     forces of that nation for not longer than one year.
       (b) Semiannual Reports to Congressional Committees.--
       (1) Use of authority during first six months of fiscal 
     year.--If the authority provided in subsection (a) is 
     exercised during the first six months of a fiscal year, the 
     Secretary of Defense shall submit to the specified 
     congressional committees a report on that exercise of such 
     authority not later than the following April 30.
       (2) Use of authority during second six months of fiscal 
     year.--If the authority provided in subsection (a) is 
     exercised during the second six months of a fiscal year, the 
     Secretary of Defense shall submit to the specified 
     congressional committees a report on that exercise of such 
     authority not later than the following October 30.
       (3) Content.--Each report under paragraph (1) or (2) shall 
     include, with respect to each exercise of the authority 
     provided in subsection (a) during the period covered by the 
     report, the following:
       (A) A description of the basis for the determination of the 
     Secretary of Defense that it is in the national security 
     interests of the United States to provide for the use of 
     covered military equipment in the manner authorized in 
     subsection (a).
       (B) Identification of each foreign force that receives such 
     equipment.
       (C) A description of the type, quantity, and value of the 
     equipment provided to each foreign force that receives such 
     equipment.
       (D) A description of the terms and duration of the 
     provision of the equipment to each foreign force that 
     receives such equipment.
       (4) Coordination.--Each report under paragraph (1) or (2) 
     shall be prepared in coordination with the Secretary of 
     State.
       (c) Limitations on Provision of Military Equipment.--The 
     provision of military equipment under this section is subject 
     to the provisions of the Arms Export Control Act (22 U.S.C.

[[Page 7759]]

     2751 et seq.) and of any other export control process under 
     laws relating to the transfer of military equipment and 
     technology to foreign nations.
       (d) Definitions.--In this section:
       (1) The term ``covered military equipment'' means items 
     designated as significant military equipment in categories I, 
     II, III, and VII of the United States Munitions List under 
     section 38(a)(1) of the Arms Export Control Act (22 U.S.C. 
     2778(a)(1)).
       (2) The term ``specified congressional committees'' means--
       (A) the Committee on Armed Services and the Committee on 
     Foreign Relations of the Senate; and
       (B) the Committee on Armed Services and the Committee on 
     International Relations of the House of Representatives.
       (e) Expiration.--The authority to provide military 
     equipment to the military forces of a foreign nation under 
     this section expires on September 30, 2008.

     SEC. 1203. RECODIFICATION AND REVISION TO LAW RELATING TO 
                   DEPARTMENT OF DEFENSE HUMANITARIAN DEMINING 
                   ASSISTANCE.

       (a) Repeal.--Section 401 of title 10, United States Code, 
     is amended--
       (1) in subsection (a), by striking paragraph (4);
       (2) in subsection (b)--
       (A) by striking ``(1)'' after ``(b)''; and
       (B) by striking paragraph (2);
       (3) in subsection (c), by striking paragraphs (2) and (3); 
     and
       (4) in subsection (e), by striking paragraph (5).
       (b) Recodification and Revision.--
       (1) In general.--Chapter 20 of such title is amended by 
     adding at the end the following new section:

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

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

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

     SEC. 1204. ENHANCEMENTS TO REGIONAL DEFENSE COMBATING 
                   TERRORISM FELLOWSHIP PROGRAM.

       (a) Authorized Purposes.--Subsection (a) of section 2249c 
     of title 10, United States Code, is amended by striking 
     ``associated with'' and all that follows and inserting: 
     ``associated with the education and training of foreign 
     military officers, ministry of defense officials, or security 
     officials at military or civilian educational institutions, 
     regional centers, conferences, seminars, or other training 
     programs conducted under the Regional Defense Combating 
     Terrorism Fellowship Program. Costs for which payment may be 
     made under this section include the costs of transportation 
     and travel and subsistence costs.''.
       (b) Annual Limitation on Amount Obligated.--Subsection (b) 
     of such section is amended by striking ``$20,000,000'' and 
     inserting ``$25,000,000''.
       (c) Expenditures Across Fiscal Years.--Such section is 
     further amended by adding at the end the following new 
     subsection:
       ``(d) Obligation of Funds Across Fiscal Years.--Funds made 
     available for a fiscal year may be obligated for the total 
     cost of an education or training program conducted under 
     subsection (a) that begins in that fiscal year, including a 
     program that begins in that fiscal year and ends in the next 
     fiscal year, so long as the duration of the program does not 
     exceed one year.''.
       (d) Clerical Amendments.--
       (1) Reference to program.--Subsection (c)(3) of such 
     section is amended by striking ``Regional Defense 
     Counterterrorism Fellowship Program'' and inserting ``program 
     referred to in subsection (a)''
       (2) Section heading.--The heading of such section is 
     amended to read as follows:

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

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

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

     SEC. 1205. CAPSTONE OVERSEAS FIELD STUDIES TRIPS TO PEOPLE'S 
                   REPUBLIC OF CHINA AND REPUBLIC OF CHINA ON 
                   TAIWAN.

       Section 2153 of title 10, United States Code, is amended by 
     adding at the end of the following new subsection:
       ``(c) Overseas Field Studies to China and Taiwan.--The 
     Secretary of Defense shall direct the National Defense 
     University to ensure that visits to China and Taiwan are an 
     integral part of the field study programs conducted by the 
     university as part of the military education course carried 
     out pursuant to subsection (a) and that such field study 
     programs include annually at least one class field study trip 
     to the People's Republic of China and at least one class 
     field study trip to the Republic of China on Taiwan.''.

     SEC. 1206. MILITARY EDUCATIONAL EXCHANGES BETWEEN SENIOR 
                   OFFICERS AND OFFICIALS OF THE UNITED STATES AND 
                   TAIWAN.

       (a) Defense Exchanges.--The Secretary of Defense shall 
     undertake a program of senior military officer and senior 
     official exchanges with Taiwan designed to improve Taiwan's 
     defenses against the People's Liberation Army of the People's 
     Republic of China.
       (b) Exchanges Described.--For purposes of this section, the 
     term ``exchange'' means an activity, exercise, event, or 
     observation opportunity between Armed Forces personnel or 
     Department of Defense officials of the United States and 
     armed forces personnel and officials of Taiwan.
       (c) Focus of Exchanges.--The senior military officer and 
     senior official exchanges undertaken pursuant to subsection 
     (a) shall include exchanges focused on the following, 
     especially as they relate to defending Taiwan against 
     potential submarine attack and potential missile attack:
       (1) Threat analysis
       (2) Military doctrine
       (3) Force planning
       (4) Logistical support
       (5) Intelligence collection and analysis
       (6) Operational tactics, techniques, and procedures.
       (d) Civil-Military Affairs.--The senior military officer 
     and senior official exchanges undertaken pursuant to 
     subsection (a) shall include activities and exercises focused 
     on civil-military relations, including parliamentary 
     relations.
       (e) Location of Exchanges.--The senior military officer and 
     senior official exchanges undertaken pursuant to subsection 
     (a) shall be conducted in both the United States and Taiwan.
       (f) Definitions.--For purposes of this section:
       (1) The term ``senior military officer'' means a general or 
     flag officer of the Armed Forces on active duty.
       (2) The term ``senior official'' means a civilian official 
     of the Department of Defense at the level of Deputy Assistant 
     Secretary or above.

[[Page 7760]]



     Subtitle B--Nonproliferation Matters and Countries of Concern

     SEC. 1211. PROCUREMENT RESTRICTIONS AGAINST FOREIGN PERSONS 
                   THAT TRANSFER CERTAIN DEFENSE ARTICLES AND 
                   SERVICES TO THE PEOPLE'S REPUBLIC OF CHINA.

       (a) Declaration of Policy.--Congress declares that it is 
     the policy of the United States to deny the People's Republic 
     of China such defense goods and defense technology that could 
     be used to threaten the United States or undermine the 
     security of Taiwan or the stability of the Western Pacific 
     region.
       (b) Procurement Sanction.--(1) The Secretary of Defense may 
     not procure, by contract or otherwise, any goods or services 
     from--
       (A) any foreign person the Secretary of Defense determines 
     has, with actual knowledge, on or after the date of the 
     enactment of this Act, exported, transferred, or otherwise 
     provided to governmental or nongovernmental entities of the 
     People's Republic of China any item or class of items on the 
     United States Munitions List (or any item or class of items 
     that are identical, substantially identical, or directly 
     competitive to an item or class of items on the United States 
     Munitions List); or
       (B) any foreign person the Secretary of Defense 
     determines--
       (i) is a successor entity to a person referred to in 
     paragraph (1):
       (ii) is a parent or subsidiary of a person referred to in 
     paragraph (1); or
       (iii) is an affiliate of a person referred to in paragraph 
     (1) if that affiliate is controlled in fact by such person.
       (2) The prohibition under paragraph (1) with respect to a 
     foreign person shall last for a period of five years after a 
     determination is made by the Secretary of Defense with 
     respect to that person under paragraph (1)(A).
       (c) Public Availability of List of Sanctioned Persons.--(1) 
     The Secretary of Defense shall annually publish in the 
     Federal Register a current list of any foreign persons 
     sanctioned under subsection (b). The removal of foreign 
     persons from, and the addition of foreign persons to, the 
     list shall also be published.
       (2) The Secretary shall maintain the list published under 
     paragraph (1) on the internet website of the Department of 
     Defense.
       (c) Removal From List of Sanctioned Persons.--The Secretary 
     of Defense may remove a person from the list of sanctioned 
     persons referred to in subsection (c) only after the five-
     year prohibition period imposed under subsection (b) with 
     respect to the person has expired.
       (d) Exceptions.--(1) Subsection (b) shall not apply
       (A) to contracts, or subcontracts under such contracts, in 
     existence on the date of the enactment of this Act, including 
     options under such contracts;
       (B) if the Secretary of Defense determines in writing that 
     the person to which the sanctions would otherwise be applied 
     is a sole source supplier of the goods or services being 
     procured, that the goods or services are essential, and that 
     alternative sources are not readily or reasonably available;
       (C) in the case of a contract for routine servicing and 
     maintenance, if the Secretary of Defense determines in 
     writing alternative sources for performing the contract are 
     not readily or reasonably available; or
       (D) if the Secretary of Defense determines in writing that 
     goods or services proposed to be procured under the contract 
     are essential to the national security of the United States.
       (2) Determinations under paragraph (1) shall be published 
     in the Federal Register.
       (f) Definitions.--In this section:
       (1) The term ``foreign person'' has the meaning given the 
     term in section 14 of the Iran and Libya Sanctions Act of 
     1996 (50 U.S.C. 1701 note).
       (2) The term ``United States Munitions List'' means the 
     list referred to in section 38(a)(1) of the Arms Export 
     Control Act (22 U.S.C. 2778 (a)(1)).

                       Subtitle C--Other Matters

     SEC. 1221. EXECUTION OF THE PRESIDENT'S POLICY TO MAKE 
                   AVAILABLE TO TAIWAN DIESEL ELECTRIC SUBMARINES.

       (a) Findings.--Congress makes the following findings:
       (1) It is the policy of the United States under the Taiwan 
     Relations Act of 1979 to ``make available to Taiwan such 
     defense articles and defense services in such quantity as may 
     be necessary to enable Taiwan to maintain a sufficient self-
     defense capability''.
       (2) In April 2001, the President of the United States 
     approved for sale eight diesel electric submarines to the 
     Republic of China on Taiwan.
       (3) The buildup of attack submarines by the People's 
     Republic of China threatens the stability in the Taiwan 
     Strait and longstanding United States national security 
     interests in the Western Pacific.
       (4) Taiwan has a legitimate defense need for diesel 
     electric submarines.
       (5) The sale of diesel electric submarines to Taiwan 
     supports stability in the Taiwan Strait and Western Pacific.
       (6) The Legislative Yuan of the Republic of China on Taiwan 
     should make every effort to support the President of Taiwan 
     to fund the acquisition of diesel electric submarines from 
     the United States.
       (7) The sale of diesel electric submarines to Taiwan is 
     beneficial to the health and wellbeing of the United States 
     shipbuilding industrial base and, therefore, United States 
     national security.
       (b) Policy of the United States.--It shall be the policy of 
     the United States to make available to Taiwan plans and 
     options for design work and construction work on future 
     diesel electric submarines under the United States foreign 
     military sales process. The availability of such design work 
     and construction work shall be made in a manner consistent 
     with United States national disclosure policy and is subject 
     to the provisions of the Arms Export Control Act (22 U.S.C. 
     2751 et seq.) and any other export control law of the United 
     States.
       (c) Report.--Not later than 30 days after the date of the 
     enactment of this Act, the Secretary of Defense shall submit 
     to the congressional defense committees a report on the 
     present and future efforts of the Department of the Navy to 
     execute the policy of the President to sell diesel electric 
     submarines to the Republic of China on Taiwan. The report 
     shall include the following:
       (1) Ongoing activities by the Navy International Programs 
     Office, in consultation with the Defense Security and 
     Cooperation Agency, to make the Government of Taiwan aware of 
     available Foreign Military Sales options.
       (2) Future activities planned by the Navy International 
     Programs Office, in consultation with the Defense Security 
     and Cooperation Agency, to make the Government of Taiwan 
     aware of available Foreign Military Sales options to acquire 
     diesel electric submarines from the United States.
       (d) Definitions.--In this section:
       (1) The term ``design work'' means the process by which a 
     submarine is designed.
       (2) The term ``construction work'' means the process by 
     which a submarine is constructed.
       (3) The term ``activities'' means all interactions between 
     the Government of the United States and the Government of 
     Taiwan.

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

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

     SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION 
                   PROGRAMS AND FUNDS.

       (a) Specification of CTR Programs.--For purposes of section 
     301 and other provisions of this Act, Cooperative Threat 
     Reduction programs are the programs specified in section 
     1501(b) of the National Defense Authorization Act for Fiscal 
     Year 1997 (Public Law 104-201; 110 Stat. 2731; 50 U.S.C. 2362 
     note).
       (b) Fiscal Year 2007 Cooperative Threat Reduction Funds 
     Defined.--As used in this title, the term ``fiscal year 2007 
     Cooperative Threat Reduction funds'' means the funds 
     appropriated pursuant to the authorization of appropriations 
     in section 301 for Cooperative Threat Reduction programs.
       (c) Availability of Funds.--Funds appropriated pursuant to 
     the authorization of appropriations in section 301 for 
     Cooperative Threat Reduction programs shall be available for 
     obligation for three fiscal years.

     SEC. 1302. FUNDING ALLOCATIONS.

       (a) Funding for Specific Purposes.--Of the $372,128,000 
     authorized to be appropriated to the Department of Defense 
     for fiscal year 2007 in section 301(19) for Cooperative 
     Threat Reduction programs, the following amount may be 
     obligated for the purposes specified:
       (1) For strategic offensive arms elimination in Russia, 
     $76,985,000.
       (2) For nuclear weapons storage security in Russia, 
     $87,100,000.
       (3) For nuclear weapons transportation security in Russia, 
     $33,000,000.
       (4) For weapons of mass destruction proliferation 
     prevention in the states of the former Soviet Union, 
     $37,486,000.
       (5) For biological weapons proliferation prevention in the 
     former Soviet Union, $68,357,000.
       (6) For chemical weapons destruction in Russia, 
     $42,700,000.
       (7) For defense and military contacts, $8,000,000.
       (8) For activities designated as Other Assessments/
     Administrative Support, $18,500,000.
       (b) Report on Obligation or Expenditure of Funds for Other 
     Purposes.--No fiscal year 2007 Cooperative Threat Reduction 
     funds may be obligated or expended for a purpose other than a 
     purpose listed in paragraphs (1) through (8) of subsection 
     (a) until 30 days after the date that the Secretary of 
     Defense submits to Congress a report on the purpose for which 
     the funds will be obligated or expended and the amount of 
     funds to be obligated or expended. Nothing in the preceding 
     sentence shall be construed as authorizing the obligation or 
     expenditure of fiscal year 2007 Cooperative Threat Reduction 
     funds for a purpose for which the obligation or expenditure 
     of such funds is specifically prohibited under this title or 
     any other provision of law.
       (c) Limited Authority to Vary Individual Amounts.--
       (1) In general.--Subject to paragraphs (2) and (3), in any 
     case in which the Secretary of Defense determines that it is 
     necessary to do so in the national interest, the Secretary 
     may obligate amounts appropriated for fiscal year 2007 for a 
     purpose listed in any of the paragraphs in subsection (a) in 
     excess of the specific amount authorized for that purpose.
       (2) Notice-and-wait required.--An obligation of funds for a 
     purpose stated in any of the paragraphs in subsection (a) in 
     excess of the specific amount authorized for such purpose may 
     be made using the authority provided in paragraph (1) only 
     after--

[[Page 7761]]

       (A) the Secretary submits to Congress notification of the 
     intent to do so together with a complete discussion of the 
     justification for doing so; and
       (B) 15 days have elapsed following the date of the 
     notification.
       (3) Restriction.--The Secretary may not, under the 
     authority provided in paragraph (1), obligate amounts for a 
     purpose stated in any of paragraphs (6) through (8) of 
     subsection (a) in excess of 125 percent of the specific 
     amount authorized for such purpose.

     SEC. 1303. TEMPORARY AUTHORITY TO WAIVE LIMITATION ON FUNDING 
                   FOR CHEMICAL WEAPONS DESTRUCTION FACILITY IN 
                   RUSSIA.

       Section 1303 of the Ronald W. Reagan National Defense 
     Authorization Act for Fiscal Year 2005 (Public Law 108-375; 
     118 Stat. 2094; 22 U.S.C. 5952 note) is amended--
       (1) in subsection (b), by striking ``shall expire on 
     December 31, 2006, and no waiver shall remain in effect after 
     that date'' and inserting ``shall expire upon completion of 
     the Chemical Weapons Destruction Facility currently under 
     construction at Shchuch'ye in the Russian Federation, and no 
     waiver shall remain in effect after that date''; and
       (2) by adding at the end the following new subsection:
       ``(c) Report.--Not later than 30 days after completion of 
     the facility referred to in subsection (b), the Secretary of 
     Defense shall submit to Congress a written notification that 
     specifies the date of completion.''.

     SEC. 1304. NATIONAL ACADEMY OF SCIENCES STUDY.

       (a) Study Required.--The Secretary of Defense shall enter 
     into an arrangement with the National Academy of Sciences 
     under which the Academy shall carry out a study to analyze 
     lessons learned, past and present challenges, and possible 
     options in effectively managing and facilitating threat 
     reduction and nonproliferation projects under the Cooperative 
     Threat Reduction program. The study shall cover all existing 
     Cooperative Threat Reduction projects for securing or 
     eliminating nuclear, chemical, and biological weapons and 
     related systems in the states of the former Soviet Union.
       (b) Report.--Not later than December 31, 2007, the 
     Secretary shall submit to Committee on Armed Services of the 
     Senate and the Committee on Armed Services of the House of 
     Representatives a report on the study carried out under 
     subsection (a). The report shall include a review and 
     evaluation of each of the following matters:
       (1) Project management.
       (2) Interagency interaction concerning threat reduction and 
     nonproliferation projects of other Federal departments or 
     agencies.
       (3) Public outreach and community involvement.
       (4) Cooperation of Russia and of other states of the former 
     Soviet Union (including site access, visa approval, and 
     contractor support).
       (5) Legal frameworks.
       (6) Transparency.
       (7) Adequacy of funding from the United States and any 
     Cooperative Threat Reduction program partner.
       (8) Interaction with threat reduction and nonproliferation 
     projects of Global Partnership countries.
       (c) Funding.--Of the amounts made available pursuant to the 
     authorization of appropriations in section 301(19) for 
     Cooperative Threat Reduction programs, not more than 
     $2,000,000 shall be available only to carry out this section.

            TITLE XIV--HOMELAND DEFENSE TECHNOLOGY TRANSFER

Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Creation of Homeland Defense Technology Transfer Consortium.

     SEC. 1401. SHORT TITLE.

       This title may be cited as the ``Homeland Defense 
     Technology Transfer Act of 2006''.

     SEC. 1402. FINDINGS.

       Congress finds the following:
       (1) The Federal Government funds billions of dollars for 
     research each year that has the potential to meet the needs 
     of Federal, State, and local first responders, yet examples 
     of successful technology transitions are few and far between.
       (2) Congress has made repeated efforts to authorize the 
     Department of Defense to effectively transfer its 
     technologies to Federal, State, and local first responders. 
     However, while progress has been made in implementing these 
     authorities, this process can be significantly improved.
       (3) Although the Department of Defense Strategy for 
     Homeland Defense and Civil Support calls for active 
     participation in an interagency process that improves 
     interoperability and compatibility with public safety 
     technologies and initiatives, greater participation is needed 
     to ensure that all technologies used by the Department of 
     Defense in their homeland defense mission are interoperable 
     and compatible with standards being developed for public 
     safety technologies.
       (4) Even when technologies with promise have been 
     identified, additional research and development efforts are 
     needed to adapt these technologies into readily available, 
     affordable products. No program with a sense of urgency to 
     quickly produce results exists to bridge this gap.
       (5) Tragedies such as Hurricanes Katrina and Rita 
     demonstrate the need for prompt, decisive action by Congress 
     to solve a problem that has eluded attempts by the Department 
     of Defense to solve.
       (6) Legislation is needed to codify the process for 
     effectively moving and adapting needed technologies from the 
     Department of Defense to Federal, State, and local first 
     responders so that the lives of the American public and 
     emergency responders are protected to the maximum extent 
     possible.

     SEC. 1403. CREATION OF HOMELAND DEFENSE TECHNOLOGY TRANSFER 
                   CONSORTIUM.

       (a) Authorization of Consortium.--In order to improve the 
     speed and effectiveness of identifying, evaluating, 
     deploying, and transferring to Federal, State, and local 
     first responders technology items and equipment in support of 
     homeland security as required by section 1401 of the Bob 
     Stump National Defense Authorization Act for Fiscal Year 2003 
     (Public Law 107-314; 50 U.S.C. 2312 note) and work towards 
     interoperability and compatibility of inter-agency homeland 
     defense and security technologies, it is urgent that the 
     technology adaptation and transfer process be consistent 
     within the Department of Defense. Towards that end, the 
     Secretary of Defense is authorized to create a Homeland 
     Defense Technology Transfer Consortium.
       (b) Composition of Consortium.--To contribute to the rapid 
     development and adoption of new technologies needed to ensure 
     the safety of the United States public and the welfare of 
     emergency service providers, the Homeland Defense Technology 
     Transfer Consortium shall be composed of--
       (1) organizations and entities working with the Department 
     of Defense;
       (2) Federal, State, and local first responders; and
       (3) other relevant Federal agencies with established 
     expertise in identifying, assessing, testing, evaluating, and 
     training emergency response and other public safety entities.
       (c) Authorities of Consortium.--
       (1) Process improvements.--The Homeland Defense Technology 
     Transfer Consortium shall systematize--
       (A) the process for the identification, assessment, 
     adaptation, and transition of defense technologies that have 
     the potential to enhance public safety and improve homeland 
     security, thereby assisting the Department of Defense in 
     meeting its statutory obligation to identify, evaluate, 
     deploy, and transfer to Federal, State, and local first 
     responders technology items and equipment of homeland 
     security; and
       (B) the process of coordinating and acting as liaison on 
     behalf of the Department of Defense with other Federal 
     agencies as appropriate to collect and prioritize Federal, 
     State, and local first responder technology requirements 
     already gathered by those entities.
       (2) Funding recommendations.--The Consortium shall submit 
     recommendations to the Secretary of Defense for funding for 
     the development, adaptation, test and evaluation, or other 
     needed activities for any technology identified under 
     paragraph (1) with a high potential to benefit Federal, 
     State, and local first responders.
       (3) Technology integration.--The Consortium may assist in 
     the integration of new technologies into appropriate first 
     responder training exercises to maximize their rapid adoption 
     as well as disseminating best practices in the profession.
       (4) Interoperability and compatibility.--The Consortium, 
     under the direction of the Secretary of Defense, shall act as 
     liaison with relevant Federal agencies, as well as Federal, 
     State, and local first responders where appropriate, to work 
     towards ensuring that technologies used by the Department of 
     Defense in its homeland defense mission are interoperable and 
     compatible with standards being developed for technologies 
     used by Federal, State, and local first responders.
       (d) Annual Report of the Consortium.--The Homeland Defense 
     Technology Transfer Consortium shall submit to the President 
     and Congress an annual report on its activities. Each report 
     shall include, at a minimum--
       (1) a listing of specific Department of Defense and related 
     technologies it has identified that appear to meet needs of 
     Federal, State, and local first responders;
       (2) the results of any tests and evaluations conducted on 
     particular technologies, except that no company proprietary 
     information may be disclosed in the report;
       (3) a listing of any recommendations the Consortium has 
     made to the Department of Defense that developmental, 
     adaptive, test and evaluation, or other funding be provided 
     related to the development and deployment of technologies 
     identified by the Consortium of particular interest for 
     meeting the needs of emergency response providers;
       (4) a listing of any technology development activities 
     undertaken under the authorities of subsection (c);
       (5) a listing of any technologies that have been 
     subsequently used by Federal, State, and local first 
     responders as a result of activities of the Consortium; and
       (6) any recommendations determined appropriate by the 
     Consortium on barriers to the prompt deployment of 
     technologies needed by Federal, State, and local first 
     responders.
       (e) Annual Report by the Secretary of Defense.--The 
     Secretary of Defense shall submit to the President and 
     Congress an annual report on activities the Department of 
     Defense has taken to identify, test and evaluate, or develop 
     technologies with application to Federal, State, and local 
     first responders. Each report shall include, at a minimum, a 
     description of the activities the Department of Defense has 
     taken pursuant to recommendations of the Homeland Defense 
     Technology Transfer Consortium, including activities to fund 
     development or testing and evaluation of technologies created 
     under programs of the Department.

[[Page 7762]]

       (f) Authorization of Appropriations.--There is authorized 
     to be appropriated $2,500,000 for the Department of Defense 
     Office of Homeland Defense to fund the activities of the 
     Homeland Defense Technology Transfer Consortium in each of 
     fiscal years 2007 and 2008, for carrying out the duties of 
     the Consortium under this section.

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

Sec. 1501. Purpose.
Sec. 1502. Army procurement.
Sec. 1503. Navy and Marine Corps procurement.
Sec. 1504. Air Force procurement.
Sec. 1505. Defense-wide activities procurement.
Sec. 1506. Research, development, test and evaluation.
Sec. 1507. Operation and maintenance.
Sec. 1508. Defense Health Program.
Sec. 1509. Classified programs.
Sec. 1510. Military personnel.
Sec. 1511. Treatment as additional authorizations.
Sec. 1512. Transfer authority.
Sec. 1513. Availability of funds.

     SEC. 1501. PURPOSE.

       The purpose of this title is to authorize estimated future 
     emergency supplemental appropriations for the Department of 
     Defense for fiscal year 2007 to provide funds for additional 
     costs due to Operation Iraqi Freedom and Operation Enduring 
     Freedom.

     SEC. 1502. ARMY PROCUREMENT.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for procurement accounts of the Army in amounts as 
     follows:
       (1) For aircraft procurement, $232,400,000.
       (2) For ammunition procurement, $328,341,000.
       (3) For weapons and tracked combat vehicles procurement, 
     $1,029,672,000.
       (4) For other procurement, $2,183,430,000.

     SEC. 1503. NAVY AND MARINE CORPS PROCUREMENT.

       (a) Navy.--Funds are hereby authorized to be appropriated 
     for fiscal year 2007 for procurement accounts for the Navy in 
     amounts as follows:
       (1) For weapons procurement, $131,400,000.
       (2) For other procurement, $44,700,000.
       (b) Marine Corps.--Funds are hereby authorized to be 
     appropriated for fiscal year 2007 for the procurement account 
     for the Marine Corps in the amount of $636,125,000.
       (c) Navy and Marine Corps Ammunition.--Funds are hereby 
     authorized to be appropriated for fiscal year 2007 for the 
     procurement account for ammunition for the Navy and the 
     Marine Corps in the amount of $143,150,000.

     SEC. 1504. AIR FORCE PROCUREMENT.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for procurement accounts for the Air Force in 
     amounts as follows:
       (1) For aircraft procurement, $201,550,000.
       (2) For missile procurement, $32,650,000.
       (3) For other procurement, $62,650,000.

     SEC. 1505. DEFENSE-WIDE ACTIVITIES PROCUREMENT.

        Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the procurement account for Defense-wide in the 
     amount of $140,200,000.

     SEC. 1506. RESEARCH, DEVELOPMENT, TEST AND EVALUATION.

        Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the use of the Department of Defense for 
     research, development, test and evaluation as follows:
       (1) For the Army, $25,500,000.
       (2) For Defense-wide activities, $5,000,000.
       (3) For the Air Force, $7,000,000.

     SEC. 1507. OPERATION AND MAINTENANCE.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007 for the use of the Armed Forces for expenses, not 
     otherwise provided for, for operation and maintenance, in 
     amounts as follows:
       (1) For the Army, $22,396,986,000.
       (2) For the Navy, $1,834,560,000.
       (3) For the Marine Corps, $1,485,920,000.
       (4) For the Air Force, $2,822,998,000.
       (5) For Defense-wide activities, $3,377,402,000.
       (6) For the Army National Guard, $50,000,000.
       (7) For the Air National Guard, $15,400,000.

     SEC. 1508. DEFENSE HEALTH PROGRAM.

       Funds are hereby authorized to be appropriated for the 
     Department of Defense for fiscal year 2007 for expenses, not 
     otherwise provided for, the Defense Health Program, in the 
     amount of $950,200,000 for operation and maintenance.

     SEC. 1509. CLASSIFIED PROGRAMS.

       Funds are hereby authorized to be appropriated to the 
     Department of Defense for fiscal year 2007 for Classified 
     Programs, in the amount of $2,500,000,000.

     SEC. 1510. MILITARY PERSONNEL.

        There is hereby authorized to be appropriated to the 
     Department of Defense for military personnel accounts for 
     fiscal year 2007 a total of $9,362,766,000.

     SEC. 1511. TREATMENT AS ADDITIONAL AUTHORIZATIONS.

       The amounts authorized to be appropriated by this title are 
     in addition to amounts otherwise authorized to be 
     appropriated by this Act.

     SEC. 1512. TRANSFER AUTHORITY.

       (a) Authority to Transfer Authorizations.--
       (1) Authority.--Upon determination by the Secretary of 
     Defense that such action is necessary in the national 
     interest, the Secretary may transfer amounts of 
     authorizations made available to the Department of Defense in 
     this title for fiscal year 2007 between any such 
     authorizations for that fiscal year (or any subdivisions 
     thereof). Amounts of authorizations so transferred shall be 
     merged with and be available for the same purposes as the 
     authorization to which transferred.
       (2) Limitation.--The total amount of authorizations that 
     the Secretary may transfer under the authority of this 
     section may not exceed $3,000,000,000. The transfer authority 
     provided in this section is in addition to any other transfer 
     authority available to the Secretary of Defense.
       (b) Limitations.--The authority provided by this section to 
     transfer authorizations--
       (1) may only be used to provide authority for items that 
     have a higher priority than the items from which authority is 
     transferred;
       (2) may not be used to provide authority for an item that 
     has been denied authorization by Congress; and
       (3) may not be combined with the authority under section 
     1001.
       (c) Effect on Authorization Amounts.--A transfer made from 
     one account to another under the authority of this section 
     shall be deemed to increase the amount authorized for the 
     account to which the amount is transferred by an amount equal 
     to the amount transferred.
       (d) Notice to Congress.--A transfer may be made under the 
     authority of this section only after the Secretary of 
     Defense--
       (1) consults with the chairmen and ranking members of the 
     congressional defense committees with respect to the proposed 
     transfer; and
       (2) after such consultation, notifies those committees in 
     writing of the proposed transfer not less than five days 
     before the transfer is made.

     SEC. 1513. AVAILABILITY OF FUNDS.

       Funds in this title shall be made available for obligation 
     to the Army, Navy, Marine Corps, Air Force, and Defense-wide 
     components by the end of the second quarter of fiscal year 
     2007.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

     SEC. 2001. SHORT TITLE.

       This division may be cited as the ``Joel Hefley Military 
     Construction Authorization Act for Fiscal Year 2007''.

                             TITLE I--ARMY

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

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

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

                                         Army: Inside the United States
----------------------------------------------------------------------------------------------------------------
                   State                                 Installation or Location                    Amount
----------------------------------------------------------------------------------------------------------------
Alabama...................................  Redstone Arsenal..................................        $4,300,000
Alaska....................................  Fort Richardson...................................       $70,656,000
California................................  Fort Irwin........................................       $18,200,000
Colorado..................................  Fort Carson.......................................       $30,800,000
Georgia...................................  Fort Gillem.......................................       $15,000,000
                                            Fort Stewart/Hunter Army Air Field................       $95,300,000
Hawaii....................................  Schofield Barracks................................       $54,500,000
Kansas....................................  Fort Leavenworth..................................       $23,200,000
                                            Fort Riley........................................       $37,200,000
Kentucky..................................  Blue Grass Army Depot.............................        $3,500,000
                                            Fort Campbell.....................................      $123,500,000
Louisiana.................................  Fort Polk.........................................        $6,100,000
Maryland..................................  Fort Detrick......................................       $12,400,000
Missouri..................................  Fort Leonard Wood.................................       $27,600,000
New Jersey................................  Picatinny Arsenal.................................        $9,900,000
New York..................................  Fort Drum.........................................      $218,600,000

[[Page 7763]]

 
North Carolina............................  Fort Bragg........................................       $89,000,000
                                            Sunny Point Military Ocean Terminal...............       $46,000,000
Oklahoma..................................  McAlester Army Ammunition Plant...................        $3,050,000
Texas.....................................  Corpus Christi Army Depot.........................       $12,200,000
                                            Fort Bliss........................................        $8,200,000
                                            Fort Hood.........................................       $93,000,000
Utah......................................  Dugway Proving Ground.............................       $14,400,000
Virginia..................................  Fort Lee..........................................        $4,150,000
Washington................................  Fort Lewis........................................      $502,600,000
----------------------------------------------------------------------------------------------------------------

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

                     Army: Outside the United States
------------------------------------------------------------------------
           Country              Installation or Location      Amount
------------------------------------------------------------------------
Germany......................  Grafenwoehr..............    $157,632,000
                               Vilseck..................     $19,000,000
Italy........................  Vicenza..................    $223,000,000
Japan........................  Camp Hansen..............      $7,150,000
Korea........................  Camp Humphreys...........     $77,000,000
                               Yongpyong................      $7,400,000
------------------------------------------------------------------------

       (c) Unspecified Worldwide.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(3), the Secretary of the Army may acquire real 
     property and carry out military construction projects for 
     unspecified installations or locations in the amount set 
     forth in the following table:

                       Army: Unspecified Worldwide
------------------------------------------------------------------------
           Location             Installation or Location      Amount
------------------------------------------------------------------------
                               Unspecified Worldwide....     $34,800,000
------------------------------------------------------------------------

     SEC. 2102. FAMILY HOUSING.

       (a) Construction and Acquisition.--Using amounts 
     appropriated pursuant to the authorization of appropriations 
     in section 2104(a)(6)(A), the Secretary of the Army may 
     construct or acquire family housing units (including land 
     acquisition and supporting facilities) at the installations 
     or locations, in the number of units, and in the amounts set 
     forth in the following table:

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

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2104(a)(6)(A), the Secretary of the Army may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of family housing units in an amount not to 
     exceed $16,332,000.

     SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2104(6)(5)(A), the Secretary of 
     the Army may improve existing military family housing units 
     in an amount not to exceed $320,659,000.

     SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

       (a) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated for fiscal years beginning 
     after September 30, 2006, for military construction, land 
     acquisition, and military family housing functions of the 
     Department of the Army in the total amount of $3,389,046,000 
     as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2101(a), $1,217,356,000.
       (2) For military construction projects outside the United 
     States authorized by section 2101(b), $491,182,000.
       (3) For military construction projects at unspecified 
     worldwide locations authorized by section 2101(c), 
     $34,800,000.
       (4) For unspecified minor military construction projects 
     authorized by section 2805 of title 10, United States Code, 
     $23,930,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $220,830,000.
       (6) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $578,791,000.
       (B) For support of military family housing (including the 
     functions described in section 2833 of title 10, United 
     States Code), $674,657,000.
       (7) For the construction of increment 2 of a barracks 
     complex at Fort Drum, New York, authorized by section 2101(a) 
     of the Military Construction Authorization Act for Fiscal 
     Year 2006 (division B of Public Law 109-163; 119 Stat. 3485), 
     $16,500,000.
       (8) For the construction of increment 2 of a barracks 
     complex for the 2nd Brigade at Fort Bragg, North Carolina, 
     authorized by section 2101(a) of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3485), $31,000,000.
       (9) For the construction of increment 2 of a barracks 
     complex for the 3nd Brigade at Fort Bragg, North Carolina, 
     authorized by section 2101(a) of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3485), $50,000,000.
       (10) For the construction of increment 2 of a barracks 
     complex for divisional artillery at Fort Bragg, North 
     Carolina, authorized by section 2101(a) of the Military 
     Construction Authorization Act for Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3485), $37,000,000.
       (11) For the construction of increment 2 of a defense 
     access road at Fort Belvoir, Virginia, authorized by section 
     2101(a) of the Military Construction Authorization Act for 
     Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 
     3486), $13,000,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2101 of this Act may not exceed the 
     sum of the following:
       (1) The total amount authorized to be appropriated under 
     paragraphs (1), (2), and (3) of subsection (a).
       (2) $306,000,000 (the balance of the amount authorized 
     under section 2101(a) for construction of a brigade complex 
     for Fort Lewis, Washington).

                             TITLE II--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.

[[Page 7764]]

Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
              2004 and 2005 projects.

     SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(1), the Secretary of the Navy may acquire real 
     property and carry out military construction projects for the 
     installations or locations inside the United States, and in 
     the amounts, set forth in the following table:

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

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

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

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

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

     SEC. 2202. FAMILY HOUSING.

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

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

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2204(a)(6)(A), the Secretary of the Navy may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $2,785,000.

     SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2204(a)(6)(A), the Secretary of 
     the Navy may improve existing military family housing units 
     in an amount not to exceed $180,146,000.

     SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

       (a) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated for fiscal years beginning 
     after September 30, 2006, for military construction, land 
     acquisition, and military family housing functions of the 
     Department of the Navy in the total amount of $2,037,953,000, 
     as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2201(a), $764,572,000,000.
       (2) For military construction projects outside the United 
     States authorized by section 2201(b), $50,524,000.
       (3) For military construction projects at unspecified 
     worldwide locations authorized by section 2201(c), 
     $12,185,000.
       (4) For unspecified minor military construction projects 
     authorized by section 2805 of title 10, United States Code, 
     $8,939,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $72,857,000.
       (6) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $308,956,000.

[[Page 7765]]

       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $509,126,000.
       (7) For the construction of increment 2 of a reclamation 
     and conveyance project for Marine Corps Base, Camp Pendleton, 
     California, authorized by section 2201(a) of the Military 
     Construction Authorization Act of Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3490), $33,290,000.
       (8) For the construction of increment 2 of a helicopter 
     hangar replacement at Naval Air Station, Jacksonville, 
     Florida, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3489), $43,250,000.
       (9) For the construction of increment 2 of recruit training 
     barracks infrastructure upgrades at Recruit Training Command, 
     Great Lakes, Illinois, authorized by section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2006 
     (division B of Public Law 109-163; 119 Stat. 3490), 
     $23,589,000.
       (10) For the construction of increment 2 of a field house 
     at the United States Naval Academy, Annapolis, Maryland, 
     authorized by section 2201(a) of the Military Construction 
     Authorization Act of Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3490), $21,685,000.
       (11) For the construction of increment 2 of the replacement 
     of Ship Repair Pier 3 at Naval Station, Norfolk, Virginia, 
     authorized by section 2201(a) of the Military Construction 
     Authorization Act of Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3490), $30,939,000.
       (12) For the construction of increment 2 of an addition to 
     Hockmuth Hall, Marine Corps Base, Quantico, Virginia, 
     authorized by section 2201(a) of the Military Construction 
     Authorization Act of Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3490), $10,159,000.
       (13) For the construction of increment 2 of wharf upgrades 
     at Naval Station Guam, Marianas Islands, authorized by 
     section 2201(b) of the Military Construction Authorization 
     Act for Fiscal Year 2006 (division B of Public Law 109-163; 
     119 Stat. 3490), $29,772,000.
       (14) For the construction of increment 2 of wharf upgrades 
     at Yokosuka, Japan, authorized by section 2201(b) of the 
     Military Construction Authorization Act of Fiscal Year 2006 
     (division B of Public Law 109-163; 119 Stat. 3490), 
     $44,360,000.
       (15) For the construction of increment 2 of bachelor 
     quarters at Naval Station, Everett, Washington, authorized by 
     section 2201(a) of the Military Construction Authorization 
     Act of Fiscal Year 2006 (division B of Public Law 109-163; 
     119 Stat. 3490), $20,917,000.
       (16) For the construction of increment 3 of the limited 
     area production and storage complex at Strategic Weapons 
     Facility Pacific, Bangor, Washington, authorized by section 
     2201(a) of the Military Construction Authorization Act for 
     Fiscal Year 2005 (division B of Public Law 108-375; 118 Stat. 
     2105), as amended by section 2206 of this Act, $14,274,000.
       (17) For the construction of the next increment of the 
     outlaying landing field facilities at Washington County, 
     North Carolina, authorized by section 2201(a) of the Military 
     Construction Authorization Act for Fiscal Year 2004 (division 
     B of Public Law 108-136; 117 Stat. 1704), as amended by 
     section 2205(a) of this Act, $7,926,000.
       (18) For the construction of increment 4 of pier 11 
     replacement at Naval Station, Norfolk, Virginia, authorized 
     by section 2201(a) of the Military Construction Authorization 
     Act for Fiscal Year 2004 (division B of Public Law 108-136; 
     117 Stat. 1704), $30,633,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2201 of this Act may not exceed the 
     sum of the following:
       (1) The total amount authorized to be appropriated under 
     paragraphs (1), (2), and (3) of subsection (a).
       (2) $56,159,000 (the balance of the amount authorized under 
     section 2201(a) for construction of an addition to the 
     National Maritime Intelligence Center, Suitland, Maryland).
       (3) $31,153,000 (the balance of the amount authorized under 
     section 2201(a) to recapitalize Hangar 5 at Naval Air 
     Station, Whidbey Island, Washington).

     SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2004 AND 2005 PROJECTS.

       (a) Fiscal Year 2004 Inside the United States Project.--
       (1) Modification.--The table in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2004 
     (division B of Public Law 108-136; 117 Stat. 1704), as 
     amended by section 2205 of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3492), is amended--
       (A) at the end of the items relating to North Carolina, by 
     inserting a new item entitled ``Navy Outlying Landing Field, 
     Washington County'' in the amount of ``$193,260,000'';
       (B) by striking the item relating to Various Locations, 
     CONUS; and
       (C) by striking the amount identified as the total in the 
     amount column and inserting ``$1,489,424,000''.
       (2) Conforming amendments.--Section 2204(b)(6) of that Act 
     (117 Stat. 1706) is amended--
       (A) by striking ``$28,750,000'' and inserting 
     ``$165,650,000''; and
       (B) by striking ``outlying landing field facilities, 
     various locations in the continental United States'' and 
     inserting ``an outlying landing field in Washington County, 
     North Carolina''.
       (b) Fiscal Year 2005 Inside the United States Project.--
       (1) Modification.--The table in section 2201(a) of the 
     Military Construction Authorization Act for Fiscal Year 2005 
     (division B of Public Law 108-375; 118 Stat. 2105), as 
     amended by section 2206 of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3493), is amended--
       (A) by striking the item relating to Navy Outlying Landing 
     Field, Washington County, North Carolina; and
       (B) by striking the amount identified as the total in the 
     amount column and inserting ``$825,479,000''.
       (2) Conforming amendments.--Section 2204 of that Act (118 
     Stat. 2107), as amended by section 2206 of the Military 
     Construction Authorization Act for Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3493), is amended--
       (A) in subsection (a)--
       (i) in paragraph (1), by striking ``$752,927,000'' and 
     inserting ``722,927,000''; and
       (ii) by adding at the end the following new paragraph:
       ``(10) For the construction of increment 2 of the Navy 
     outlying landing field in Washington County, North Carolina, 
     authorized by section 2201(a) of the Military Construction 
     Authorization Act for Fiscal Year 2004 (division B of Public 
     Law 108-136; 117 Stat. 1704), as amended by section 2205(a) 
     of the Military Construction Authorization Act for Fiscal 
     Year 2007, $30,000,000.''; and
       (B) in subsection (b), by striking paragraph (3).

                          TITLE III--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
              projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.

     SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(1), the Secretary of the Air Force may acquire real 
     property and carry out military construction projects for the 
     installations or locations inside the United States, and in 
     the amounts, set forth in the following table:

                                       Air Force: Inside the United States
----------------------------------------------------------------------------------------------------------------
                    State                                 Installation or Location                   Amount
----------------------------------------------------------------------------------------------------------------
Alaska......................................  Eielson Air Force Base..........................       $38,300,000
                                              Elmendorf Air Force Base........................       $56,100,000
Arizona.....................................  Davis-Monthan Air Force Base....................       $11,800,000
Arkansas....................................  Little Rock Air Force Base......................        $9,800,000
California..................................  Beale Air Force Base............................       $28,000,000
                                              Travis Air Force Base...........................       $73,900,000
Colorado....................................  Buckley Air Force Base..........................       $10,700,000
                                              Peterson Air Force Base.........................        $4,900,000
                                              Schriever Air Force Base........................       $21,000,000
Delaware....................................  Dover Air Force Base............................       $26,400,000
Florida.....................................  Eglin Air Force Base............................       $30,350,000
                                              Hurlburt Field..................................       $32,950,000
                                              MacDill Air Force Base..........................       $71,000,000
                                              Tyndall Air Force Base..........................        $8,200,000
Georgia.....................................  Robins Air Force Base...........................       $45,600,000
Hawaii......................................  Hickam Air Force Base...........................       $28,538,000
Illinois....................................  Scott Air Force Base............................       $20,000,000
Kansas......................................  McConnell Air Force Base........................        $3,875,000
Kentucky....................................  Fort Knox.......................................        $3,500,000

[[Page 7766]]

 
Montana.....................................  Malmstrom Air Force Base........................        $5,700,000
Nevada......................................  Indian Springs Auxiliary Field..................       $49,923,000
New Jersey..................................  McGuire Air Force Base..........................       $28,500,000
Oklahoma....................................  Altus Air Force Base............................        $1,500,000
                                               Tinker Air Force Base..........................        $5,700,000
South Carolina..............................  Shaw Air Force Base.............................       $31,500,000
South Dakota................................   Ellsworth Air Force Base.......................        $3,000,000
Texas.......................................  Fort Bliss......................................        $8,500,000
                                              Lackland Air Force Base.........................       $13,200,000
                                              Laughlin Air Force Base.........................       $12,600,000
                                              Sheppard Air Force Base.........................        $7,000,000
Utah........................................  Hill Air Force Base.............................       $53,400,000
Virginia....................................  Langley Air Force Base..........................       $57,700,000
Washington..................................   Fairchild Air Force Base.......................        $4,250,000
Wyoming.....................................  Francis E. Warren Air Force Base................       $11,000,000
----------------------------------------------------------------------------------------------------------------

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

                  Air Force: Outside the United States
------------------------------------------------------------------------
           Country              Installation or Location      Amount
------------------------------------------------------------------------
Germany......................  Ramstein Air Base........     $53,150,000
Guam.........................  Andersen Air Base........     $80,800,000
Korea........................  Kunsan Air Base..........     $46,700,000
                               Osan Air Base............      $2,156,000
------------------------------------------------------------------------

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

                    Air Force: Unspecified Worldwide
------------------------------------------------------------------------
           Location             Installation or Location      Amount
------------------------------------------------------------------------
                               Unspecified Worldwide....     $35,677,000
------------------------------------------------------------------------

     SEC. 2302. FAMILY HOUSING.

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

                                            Air Force: Family Housing
----------------------------------------------------------------------------------------------------------------
            State or Country                   Installation or Location             Units             Amount
----------------------------------------------------------------------------------------------------------------
Alaska..................................  Eielson Air Force Base...........  129................     $87,414,000
Idaho...................................  Mountain Home Air Force Base.....  457................    $107,800,000
Missouri................................  Whiteman Air Force Base..........  116................     $39,270,000
Montana.................................  Malmstrom Air Force Base.........  493................    $140,252,000
North Carolina..........................  Seymour Johnson Air Force Base...  56.................     $22,956,000
North Dakota............................  Minot Air Force Base.............  575................    $171,188,000
Texas...................................  Dyess Air Force Base.............  199................     $49,215,000
Germany.................................  Ramstein Air Base................  101................     $59,488,000
                                          Spangdahlem Air Base.............  60.................     $39,294,000
United Kingdom..........................  Royal Air Force Lakenheath.......  74.................     $35,282,000
----------------------------------------------------------------------------------------------------------------

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2304(a)(6)(A), the Secretary of the Air Force may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $13,202,000.

     SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

       Subject to section 2825 of title 10, United States Code, 
     and using amounts appropriated pursuant to the authorization 
     of appropriations in section 2304(a)(6)(A), the Secretary of 
     the Air Force may improve existing military family housing 
     units in an amount not to exceed $403,777,000.

     SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

       (a) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated for fiscal years beginning 
     after September 30, 2006, for military construction, land 
     acquisition, and military family housing functions of the 
     Department of the Air Force in the total amount of 
     $3,157,882,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2301(a), $818,386,000.
       (2) For military construction projects outside the United 
     States authorized by section 2301(b), $182,806,000.
       (3) For military construction projects at unspecified 
     worldwide locations authorized by section 2301(c), 
     $35,677,000.
       (4) For unspecified minor military construction projects 
     authorized by section 2805 of title 10, United States Code, 
     $15,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $97,504,000.
       (6) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $1,169,138,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $755,071,000.
       (7) For the construction of increment 2 of the C-17 
     maintenance complex at Elmendorf Air Force Base, Alaska, 
     authorized by section 2301(a) of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3494), $30,000,000.
       (8) For the construction of increment 2 of the main base 
     runway at Edwards Air Force Base, California, authorized by 
     section 2301(a) of the Military Construction Authorization 
     Act for Fiscal Year 2006 (division B of Public Law 109-163; 
     119 Stat. 3494), $31,000,000.
       (9) For the construction of increment 2 of the CENTCOM 
     Joint Intelligence Center at MacDill Air Force Base, Florida, 
     authorized by section 2301(a) of the Military Construction 
     Authorization Act for Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3494), $23,300,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10, United States Code, and any other cost 
     variation authorized by law, the total cost of all projects 
     carried out under section 2301 of this

[[Page 7767]]

     Act may not exceed the total amount authorized to be 
     appropriated under paragraphs (1), (2), and (3) of subsection 
     (a).

                       TITLE IV--DEFENSE AGENCIES

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

     SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       (a) Inside the United States.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2405(a)(1), the Secretary of Defense may acquire real 
     property and carry out military construction projects for the 
     installations or locations inside the United States, and in 
     the amounts, set forth in the following tables:

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


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


                        National Security Agency
------------------------------------------------------------------------
            State               Installation or Location      Amount
------------------------------------------------------------------------
Maryland.....................  Fort Meade...............      $4,517,000
------------------------------------------------------------------------


                       Special Operations Command
------------------------------------------------------------------------
            State              Installation or Location       Amount
------------------------------------------------------------------------
California..................  Marine Corps Base, Camp        $24,400,000
                               Pendleton.
Colorado....................  Fort Carson...............     $26,100,000
Florida.....................  Hurlburt Field............     $14,482,000
                              MacDill Air Force Base....     $27,300,000
Kentucky....................  Fort Campbell.............     $24,500,000
Mississippi.................  Stennis Space Center......     $10,200,000
North Carolina..............  Fort Bragg................     $67,044,000
                              Marine Corps Base, Camp        $51,600,000
                               Lejeune.
Virginia....................  Naval Air Base, Little         $22,000,000
                               Creek.
------------------------------------------------------------------------


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

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

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


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


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


[[Page 7768]]


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

     SEC. 2402. FAMILY HOUSING.

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

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

       (b) Planning and Design.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2405(a)(9)(A), the Secretary of Defense may carry out 
     architectural and engineering services and construction 
     design activities with respect to the construction or 
     improvement of military family housing units in an amount not 
     to exceed $200,000.

     SEC. 2403. ENERGY CONSERVATION PROJECTS.

       Using amounts appropriated pursuant to the authorization of 
     appropriations in section 2405(a)(6), the Secretary of 
     Defense may carry out energy conservation projects under 
     section 2865 of title 10, United States Code, in the amount 
     of $55,000,000.

     SEC. 2404. AUTHORIZED BASE CLOSURE AND REALIGNMENT ACTIVITIES 
                   FUNDED THROUGH DEPARTMENT OF DEFENSE BASE 
                   CLOSURE ACCOUNT 2005.

       (a) Authorized Activities.--Using amounts appropriated 
     pursuant to the authorization of appropriations in section 
     2405(a)(8), the Secretary of Defense may carry out base 
     closure and realignment activities, including real property 
     acquisition and military construction projects, as authorized 
     by the Defense Base Closure and Realignment Act of 1990 (part 
     A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) 
     and funded through the Department of Defense Base Closure 
     Account 2005 established by section 2906A of such Act, in the 
     amount of $5,902,723,000.
       (b) Conforming Amendments to Fiscal Year 2006 
     Authorizations.--
       (1) Authorized activities.--Title XXIV of the Military 
     Construction Authorization Act for Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3496) is amended by adding 
     at the end the following new section:

     ``SEC. 2404. AUTHORIZED BASE CLOSURE AND REALIGNMENT 
                   ACTIVITIES FUNDED THROUGH DEPARTMENT OF DEFENSE 
                   BASE CLOSURE ACCOUNT 2005.

       ``Using amounts appropriated pursuant to the authorization 
     of appropriations in section 2403(a)(7), the Secretary of 
     Defense may carry out base closure and realignment 
     activities, including real property acquisition and military 
     construction projects, as authorized by the Defense Base 
     Closure and Realignment Act of 1990 (part A of title XXIX of 
     Public Law 101-510; 10 U.S.C. 2687 note) and funded through 
     the Department of Defense Base Closure Account 2005 
     established by section 2906A of such Act, in the amount of 
     $2,035,466,000.''.
       (2) Authorization of appropriations and limitations.--
     Section 2403 of that Act (119 Stat. 3499) is amended--
       (A) in subsection (a)(7)--
       (i) by striking ``as authorized by the Defense Base Closure 
     and Realignment Act of 1990 (part A of title XXIX of Public 
     Law 101-510; 10 U.S.C. 2687 note)'' and inserting 
     ``authorized by section 2404 of this Act''; and
       (ii) by striking ``section 2906 of such Act'' and inserting 
     ``section 2906A of the Defense Base Closure and Realignment 
     Act of 1990 (part A of title XXIX of Public Law 101-510; 10 
     U.S.C. 2687 note)'';
       (B) by redesignating subsection (c) as subsection (d); and
       (C) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) Limitation on Total Cost of Base Closure and 
     Realignment Activities.--Notwithstanding the cost variations 
     authorized by section 2853 of title 10, United States Code, 
     and any other cost variation authorized by law, the total 
     cost of all base closure and realignment activities, 
     including real property acquisition and military construction 
     projects, carried out under section 2404 of this Act may not 
     exceed the sum of the following:
       ``(1) The total amount authorized to be appropriated under 
     subsection (a)(7).
       ``(2) $531,000,000 (the balance of the amount authorized 
     under section 2404 for base closure and realignment 
     activities).''.

     SEC. 2405. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

       (a) In General.--Funds are hereby authorized to be 
     appropriated for fiscal years beginning after September 30, 
     2006, for military construction, land acquisition, and 
     military family housing functions of the Department of 
     Defense (other than the military departments) in the total 
     amount of $7,160,356,000, as follows:
       (1) For military construction projects inside the United 
     States authorized by section 2401(a), $537,616,000.
       (2) For military construction projects outside the United 
     States authorized by section 2401(b), $163,197,000.
       (3) For unspecified minor military construction projects 
     under section 2805 of title 10, United States Code, 
     $21,672,000.
       (4) For contingency construction projects of the Secretary 
     of Defense under section 2804 of title 10, United States 
     Code, $10,000,000.
       (5) For architectural and engineering services and 
     construction design under section 2807 of title 10, United 
     States Code, $172,950,000.
       (6) For energy conservation projects authorized by section 
     2403 of this Act, $55,000,000.
       (7) For base closure and realignment activities as 
     authorized by the Defense Base Closure and Realignment Act of 
     1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 
     2687 note) and funded through the Department of Defense Base 
     Closure Account 1990 established by section 2906 of such Act, 
     $191,220,000.
       (8) For base closure and realignment activities authorized 
     by section 2404 of this Act and funded through the Department 
     of Defense Base Closure Account 2005 established by section 
     2906A of the Defense Base Closure and Realignment Act of 1990 
     (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 
     note), $5,236,223,000.
       (9) For military family housing functions:
       (A) For construction and acquisition, planning and design, 
     and improvement of military family housing and facilities, 
     $8,808,000.
       (B) For support of military family housing (including 
     functions described in section 2833 of title 10, United 
     States Code), $48,506,000.
       (C) For credit to the Department of Defense Family Housing 
     Improvement Fund established by section 2883(a)(1) of title 
     10, United States Code, $2,500,000
       (10) For the construction of increment 2 of the regional 
     security operations center at Augusta, Georgia, authorized by 
     section 2401(a) of the Military Construction Authorization 
     Act of Fiscal Year 2006 (division B of Public Law 109-163; 
     119 Stat. 3497), as amended by section 2406 of this Act, 
     $87,118,000.
       (11) For the construction of increment 2 of the regional 
     security operations center at Kunia, Hawaii, authorized by 
     section 2401(a) of the Military Construction Authorization 
     Act of Fiscal Year 2006 (division B of Public Law 109-163; 
     119 Stat. 3497), $47,016,000.
       (12) For the construction of increment 2 of the classified 
     material conversion facility at Fort Meade, Maryland, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act of Fiscal Year 2006 (division B of Public 
     Law 109-163; 119 Stat. 3497), $11,151,000.
       (13) For the construction of increment 2 of an operations 
     building, Royal Air Force Menwith Hill Station, United 
     Kingdom, authorized by section 2401(b) of the Military 
     Construction Authorization Act of Fiscal Year 2006 (division 
     B of Public Law 109-163; 119 Stat. 3498), as amended by 
     section 2406 of this Act, $46,386,000.
       (14) For the construction of the second increment of 
     certain base closure and realignment activities authorized by 
     section 2404 of the Military Construction Authorization Act 
     of Fiscal Year 2006 (division B of Public Law 109-163; 119 
     Stat. 3500), as added by section 2404(b) of this Act, 
     $390,000,000.
       (15) For the construction of increment 7 of a munitions 
     demilitarization facility at Blue Grass Army Depot, Kentucky, 
     authorized by section 2401(a) of the Military Construction 
     Authorization Act for Fiscal Year 2000 (division B of Public 
     Law 106-65; 113 Stat. 835), as amended by section 2405 of the 
     Military Construction Authorization Act of 2002 (division B 
     of Public Law 107-107; 115 Stat. 1298), and section 2405 of 
     the Military Construction Authorization Act for Fiscal Year 
     2003 (division B of Public Law 107-314; 116 Stat. 2698), 
     $89,157,000.
       (16) For the construction of increment 8 of a munitions 
     demilitarization facility at Pueblo Chemical Activity, 
     Colorado, authorized by section 2401(a) of the Military 
     Construction Authorization Act for Fiscal Year 1997 (division 
     B of Public Law 104-201; 110 Stat. 2775), as amended by 
     section 2406 of the Military Construction Authorization Act 
     for Fiscal Year 2000 (division B of Public Law 106-65; 113 
     Stat. 839), and section 2407 of the Military Construction 
     Authorization Act for Fiscal Year 2003 (division B of Public 
     Law 107-314; 116 Stat. 2698), $41,836,000.
       (b) Limitation on Total Cost of Construction Projects.--
     Notwithstanding the cost variations authorized by section 
     2853 of title 10,

[[Page 7769]]

     United States Code, and any other cost variation authorized 
     by law, the total cost of all projects carried out under 
     section 2401 of this Act may not exceed the sum of the 
     following:
       (1) The total amount authorized to be appropriated under 
     paragraphs (1) and (2) of subsection (a).
       (2) $46,400,000 (the balance of the amount authorized under 
     section 2401(a) for construction of a health clinic at 
     MacDill Air Force Base, Florida).
       (3) $521,000,000 (the balance of the amount authorized 
     under section 2401(a) for stage 1 of the replacement of the 
     Army Medical Research Institute of Infectious Diseases at 
     Fort Detrick, Maryland).
       (c) Limitation on Total Cost of Base Closure and 
     Realignment Activities.--Notwithstanding the cost variations 
     authorized by section 2853 of title 10, United States Code, 
     and any other cost variation authorized by law, the total 
     cost of all base closure and realignment activities, 
     including real property acquisition and military construction 
     projects, carried out under section 2404(a) of this Act may 
     not exceed the sum of the following:
       (1) The total amount authorized to be appropriated under 
     subsection (a)(8).
       (2) $666,500,000 (the balance of the amount authorized 
     under section 2404(a) for base closure and realignment 
     activities).
       (d) Notice and Wait Requirement Applicable to Obligation of 
     Funds for Base Closure and Realignment Activities.--Funds 
     appropriated pursuant to the authorization of appropriations 
     in subsection (a)(8) may not be obligated until--
       (1) a period of 21 days has expired following the date on 
     which the Secretary of Defense submits to the congressional 
     defense committees a report describing the specific programs, 
     projects, and activities for which the funds are to be 
     obligated; or
       (2) if over sooner, a period of 14 days has expired 
     following the date on which a copy of the report is provided 
     in an electronic medium pursuant to section 480 of title 10, 
     United States Code.

     SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN 
                   FISCAL YEAR 2006 PROJECTS.

       (a) Modification of Inside the United States National 
     Security Agency Projects.--The table relating to the National 
     Security Agency in subsection (a) of section 2401 of the 
     Military Construction Authorization Act for Fiscal Year 2006 
     (division B of Public Law 109-163; 119 Stat. 3497) is 
     amended--
       (1) in the item relating to Augusta, Georgia, by striking 
     ``$61,466,000'' in the amount column and inserting 
     ``$340,836,000''; and
       (2) in the item relating to Kunia, Hawaii, by striking 
     ``$305,000,000'' in the amount column and inserting 
     ``$350,490,000''.
       (b) Modification of Outside the United States National 
     Security Agency Project.--The table relating to the National 
     Security Agency in subsection (b) of such section (119 Stat. 
     3498) is amended in the item relating to Menwith Hill, United 
     Kingdom, by striking ``$86,354,000'' in the amount column and 
     inserting ``$87,752,000''.
       (c) Conforming Amendments.--Section 2403(b) of that Act 
     (119 Stat. 3500) is amended--
       (1) in paragraph (2), by striking ``$12,500,000'' and 
     inserting ``$291,870,000'';
       (2) in paragraph (3), by striking ``$256,034,000'' and 
     inserting ``$301,524,000''; and
       (3) in paragraph (5), by striking ``$44,657,000'' and 
     inserting ``$46,055,000''.

TITLE V--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT PROGRAM

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

     SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION 
                   PROJECTS.

       The Secretary of Defense may make contributions for the 
     North Atlantic Treaty Organization Security Investment 
     program as provided in section 2806 of title 10, United 
     States Code, in an amount not to exceed the sum of the amount 
     authorized to be appropriated for this purpose in section 
     2502 and the amount collected from the North Atlantic Treaty 
     Organization as a result of construction previously financed 
     by the United States.

     SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

       Funds are hereby authorized to be appropriated for fiscal 
     years beginning after September 30, 2006, for contributions 
     by the Secretary of Defense under section 2806 of title 10, 
     United States Code, for the share of the United States of the 
     cost of projects for the North Atlantic Treaty Organization 
     Security Investment program authorized by section 2501, in 
     the amount of $200,985,000.

             TITLE VI--GUARD AND RESERVE FORCES FACILITIES

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

     SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
                   ACQUISITION PROJECTS.

       Funds are hereby authorized to be appropriated for fiscal 
     years beginning after September 30, 2006, for the costs of 
     acquisition, architectural and engineering services, and 
     construction of facilities for the Guard and Reserve Forces, 
     and for contributions therefor, under chapter 1803 of title 
     10, United States Code (including the cost of acquisition of 
     land for those facilities), in the following amounts:
       (1) For the Department of the Army--
       (A) for the Army National Guard of the United States, 
     $518,403,000; and
       (B) for the Army Reserve, $169,487,000.
       (2) For the Department of the Navy, for the Navy Reserve 
     and Marine Corps Reserve, $55,158,000.
       (3) For the Department of the Air Force--
       (A) for the Air National Guard of the United States, 
     $212,788,000; and
       (B) for the Air Force Reserve, $56,836,000.

         TITLE VII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
              specified by law.
Sec. 2702. Effective date.

     SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED 
                   TO BE SPECIFIED BY LAW.

       (a) Expiration of Authorizations After Three Years.--Except 
     as provided in subsection (b), all authorizations contained 
     in titles XXI through XXVI for military construction 
     projects, land acquisition, family housing projects and 
     facilities, and contributions to the North Atlantic Treaty 
     Organization Security Investment program (and authorizations 
     of appropriations therefor) shall expire on the later of--
       (1) October 1, 2009; or
       (2) the date of the enactment of an Act authorizing funds 
     for military construction for fiscal year 2010.
       (b) Exception.--Subsection (a) shall not apply to 
     authorizations for military construction projects, land 
     acquisition, family housing projects and facilities, and 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program (and authorizations of 
     appropriations therefor), for which appropriated funds have 
     been obligated before the later of--
       (1) October 1, 2009; or
       (2) the date of the enactment of an Act authorizing funds 
     for fiscal year 2010 for military construction projects, land 
     acquisition, family housing projects and facilities, or 
     contributions to the North Atlantic Treaty Organization 
     Security Investment program.

     SEC. 2702. EFFECTIVE DATE.

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

          TITLE VIII--MILITARY CONSTRUCTION GENERAL PROVISIONS

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

Sec. 2801. Increase in maximum annual amount authorized to be obligated 
              for emergency military construction.
Sec. 2802. Applicability of local comparability of room pattern and 
              floor area requirements to construction, acquisition, and 
              improvement to military unaccompanied housing.
Sec. 2803. Authority to use proceeds from sale of military family 
              housing to support military housing privatization 
              initiative.
Sec. 2804. Repeal of special requirement for military construction 
              contracts on Guam.
Sec. 2805. Congressional notification of cancellation ceiling for 
              Department of Defense energy savings performance 
              contracts.
Sec. 2806. Expansion of authority to convey property at military 
              installations to support military construction.
Sec. 2807. Pilot projects for acquisition or construction of military 
              unaccompanied housing.
Sec. 2808. Consideration of alternative and more efficient uses for 
              general officer and flag officer quarters in excess of 
              6,000 square feet.
Sec. 2809. Repeal of temporary minor military construction program.
Sec. 2810. One-year extension of temporary, limited authority to use 
              operation and maintenance funds for construction projects 
              outside the United States.

        Subtitle B--Real Property and Facilities Administration

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

                Subtitle C--Base Closure and Realignment

Sec. 2831. Treatment of lease proceeds from military installations 
              approved for closure or realignment after January 1, 
              2005.

                      Subtitle D--Land Conveyances

Sec. 2841. Land conveyance, Naval Air Station, Barbers Point, Hawaii.

[[Page 7770]]

Sec. 2842. Modification of land acquisition authority, Perquimans 
              County, North Carolina.
Sec. 2843. Land conveyance, Radford Army Ammunition Plant, Pulaski 
              County, Virginia.

                       Subtitle E--Other Matters

Sec. 2851. Availability of community planning assistance relating to 
              encroachment of civilian communities on military 
              facilities used for training by the Armed Forces.
Sec. 2852. Prohibitions against making certain military airfields or 
              facilities available for use by civil aircraft.
Sec. 2853. Naming housing facility at Fort Carson, Colorado, in honor 
              of Joel Hefley, a member of the House of Representatives.
Sec. 2854. Naming Navy and Marine Corps Reserve Center at Rock Island, 
              Illinois, in honor of Lane Evans, a member of the House 
              of Representatives.
Sec. 2855. Naming of research laboratory at Air Force Rome Research 
              Site, Rome, New York, in honor of Sherwood L. Boehlert, a 
              member of the House of Representatives.

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

     SEC. 2801. INCREASE IN MAXIMUM ANNUAL AMOUNT AUTHORIZED TO BE 
                   OBLIGATED FOR EMERGENCY MILITARY CONSTRUCTION.

       Section 2803(c)(1) of title 10, United States Code, is 
     amended by striking ``$45,000,000'' and inserting 
     ``$60,000,000''.

     SEC. 2802. APPLICABILITY OF LOCAL COMPARABILITY OF ROOM 
                   PATTERN AND FLOOR AREA REQUIREMENTS TO 
                   CONSTRUCTION, ACQUISITION, AND IMPROVEMENT TO 
                   MILITARY UNACCOMPANIED HOUSING.

       (a) Application to Military Unaccompanied Housing.--Section 
     2826 of title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) by inserting ``or military unaccompanied housing'' 
     after ``military family housing'' the first place it appears; 
     and
       (B) by striking ``military family housing'' the second 
     place it appears and inserting ``such housing''; and
       (2) in subsection (b)--
       (A) by striking ``Requests for Authority for Military 
     Family Housing'' and inserting ``Information on Net Floor 
     Areas of Proposed Units'';
       (B) in paragraph (1)--
       (i) by inserting ``or military unaccompanied housing'' 
     after ``military family housing'' the first place it appears; 
     and
       (ii) by striking ``military family housing'' the second 
     place it appears and inserting ``such housing''; and
       (C) in paragraph (2), by striking ``military family housing 
     unit'' and inserting ``unit of military family housing or 
     military unaccompanied housing''.
       (b) Waiver Authority.--Such section is further amended by 
     adding at the end the following new subsection:
       ``(c) Waiver Authority.--The Secretary concerned may waive 
     the requirements of subsection (a) in the case of the 
     construction, acquisition, or improvement of military 
     unaccompanied housing on a case-by-case basis. The Secretary 
     shall include the reasons for the waiver in the request 
     submitted to Congress for authority to carry out the 
     construction, acquisition, or improvement project.''.
       (c) Clerical Amendments.--
       (1) Section heading.--The heading of such section is 
     amended to read as follows:

     ``Sec. 2826. Local comparability of room patterns and floor 
       areas''.

       (2) Table of sections.--The table of sections at the 
     beginning of subchapter II of chapter 169 of such title is 
     amended by striking the item relating to section 2826 and 
     inserting the following new item:

``2826. Local comparability of room patterns and floor areas.''.
       (d) Repeal of Superseded Provision.--
       (1) Repeal.--Section 2856 of such title is repealed.
       (2) Clerical amendment.--The table of sections at the 
     beginning of subchapter III of chapter 169 of such title is 
     amended by striking the item relating to section 2856.
       (e) Conforming Amendments Regarding Alternative Acquisition 
     and Improvement Authority.--Section 2880(b) of such title is 
     amended--
       (1) by striking ``(1)'';
       (2) by inserting ``or military unaccompanied housing'' 
     after ``military family housing''; and
       (3) by striking paragraph (2).

     SEC. 2803. AUTHORITY TO USE PROCEEDS FROM SALE OF MILITARY 
                   FAMILY HOUSING TO SUPPORT MILITARY HOUSING 
                   PRIVATIZATION INITIATIVE.

       (a) Transfer Flexibility.--Section 2831 of title 10, United 
     States Code, is amended--
       (1) in subsection (b), by striking ``There'' and inserting 
     ``Except as provided in subsection (e), there'';
       (2) by redesignating subsections (e) and (f) as subsections 
     (f) and (g), respectively; and
       (3) by inserting after subsection (d) the following new 
     subsection (e):
       ``(e) Authority to Transfer Certain Proceeds to Support 
     Military Housing Privatization Initiative.--(1) The Secretary 
     concerned may transfer family housing proceeds referred to in 
     subsection (b)(3) to the Department of Defense Family Housing 
     Improvement Fund established under section 2883(a)(1) of this 
     title.
       ``(2) A transfer of proceeds under paragraph (1) may be 
     made only after the end of the 30-day period beginning on the 
     date the Secretary concerned submits written notice of, and 
     justification for, the transfer to the appropriate committees 
     of Congress or, if earlier, the end of the 14-day period 
     beginning on the date on which a copy of the notice and 
     justification is provided in an electronic medium pursuant to 
     section 480 of this title.''.
       (b) Stylistic Amendments.--Such section is further 
     amended--
       (1) in subsection (a), by inserting ``Establishment.--'' 
     after ``(a)'';
       (2) in subsection (b), by inserting ``Credits to Account.--
     '' after ``(b)'';
       (3) in subsection (c), by inserting ``Availability of 
     Amounts in Account.--'' after ``(c)''; and
       (4) in subsection (d), by inserting ``Use of Account.--'' 
     after ``(d)''.
       (c) Conforming Amendment.--Section 2883(c)(1) of such title 
     is amended by adding at the end the following new 
     subparagraph:
       ``(G) Proceeds of the handling and the disposal of family 
     housing of a military department that the Secretary concerned 
     transfers to that Fund pursuant to section 2831(e) of this 
     title.''.

     SEC. 2804. REPEAL OF SPECIAL REQUIREMENT FOR MILITARY 
                   CONSTRUCTION CONTRACTS ON GUAM.

       (a) Repeal.--Section 2864 of title 10, United States Code, 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of subchapter III of chapter 169 of such title is 
     amended by striking the item relating to section 2864.

     SEC. 2805. CONGRESSIONAL NOTIFICATION OF CANCELLATION CEILING 
                   FOR DEPARTMENT OF DEFENSE ENERGY SAVINGS 
                   PERFORMANCE CONTRACTS.

       Section 2865 of title 10, United States Code, is amended by 
     adding at the end the following new subsection:
       ``(g) Congressional Notification of Cancellation Ceiling 
     for Energy Savings Performance Contracts.--When a decision is 
     made to award an energy savings performance contract that 
     contains a clause setting forth a cancellation ceiling in 
     excess of $7,000,000, the Secretary of Defense shall submit 
     to the appropriate committees of Congress written 
     notification of the proposed contract and of the proposed 
     cancellation ceiling for the contract. The notification shall 
     include the justification for the proposed cancellation 
     ceiling. The contract may then be awarded only after the end 
     of the 30-day period beginning on the date the notification 
     is received by such committees or, if earlier, the end of the 
     15-day period beginning on the date on which a copy of the 
     notification is provided in an electronic medium pursuant to 
     section 480 of this title.''.

     SEC. 2806. EXPANSION OF AUTHORITY TO CONVEY PROPERTY AT 
                   MILITARY INSTALLATIONS TO SUPPORT MILITARY 
                   CONSTRUCTION.

       (a) Inclusion of All Military Installations.--Subsection 
     (a) of section 2869 of title 10, United States Code, is 
     amended--
       (1) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively;
       (2) by inserting ``(1)'' before ``The Secretary 
     concerned'';
       (3) by striking ``located on a military installation that 
     is closed or realigned under a base closure law'' and 
     inserting ``described in paragraph (2)''; and
       (4) by adding at the end the following new paragraph:
       ``(2) Paragraph (1) applies with respect to real property 
     under the jurisdiction of the Secretary concerned that--
       ``(A) is located on a military installation that is closed 
     or realigned under a base closure law; or
       ``(B) is determined to be excess to the needs of the 
     Department of Defense.''.
       (b) Use of Authority to Support Agreements to Limit 
     Encroachments.--Subparagraph (A) of paragraph (1) of 
     subsection (a) of such section, as redesignated and amended 
     by subsection (a), is further amended by striking ``land 
     acquisition'' and inserting ``land acquisition, including a 
     land acquisition under an agreement entered into under 
     section 2684a of this title to limit encroachments and other 
     constraints on military training, testing, and operations''.
       (c) Advance Notice of Use of Authority; Content of 
     Notice.--Subsection (d) of such section is amended--
       (1) in paragraph (1), by striking ``closed or realigned 
     under the base closure laws is to be conveyed'' and inserting 
     ``is proposed for conveyance'';
       (2) by striking paragraph (2) and inserting the following 
     new paragraph:
       ``(2) The Secretary concerned may not enter into an 
     agreement under subsection (a) for the conveyance of real 
     property until--
       ``(A) the Secretary submits to Congress notice of the 
     conveyance, including--
       ``(i) a description of the military construction project, 
     land acquisition, military family housing, or military 
     unaccompanied housing to be carried out under the agreement 
     in exchange for the conveyance of the property; and
       ``(ii) the amount of any payment to be made under 
     subsection (b) or under section 2684a(d) of this title to 
     equalize the fair market values of

[[Page 7771]]

     the property to be conveyed and the military construction 
     project, land acquisition, military family housing, or 
     military unaccompanied housing to be carried out under the 
     agreement in exchange for the conveyance of the property; and
       ``(B) a period of 21 days has elapsed from the date of 
     receipt of the notice or, if over sooner, a period of 14 days 
     has elapsed from the date on which a copy of the notice is 
     provided in an electronic medium pursuant to section 480 of 
     this title.''.
       (d) Deposit and Use of Funds.--Subsection (e) of such 
     section is amended to read as follows:
       ``(e) Deposit and Use of Funds.--(1) The Secretary 
     concerned shall deposit funds received under subsection (b) 
     in the appropriation `Foreign Currency Fluctuations, 
     Construction, Defense'.
       ``(2) The funds deposited under paragraph (1) shall be 
     available, in such amounts as provided in appropriation Acts, 
     for the purpose of paying increased costs of overseas 
     military construction and family housing construction or 
     improvement associated with unfavorable fluctuations in 
     currency exchange rates. The use of such funds for this 
     purpose does not relieve the Secretary concerned from the 
     duty to provide advance notice to Congress under section 
     2853(c) of this title whenever the Secretary approves an 
     increase in the cost of an overseas project under such 
     section.''.
       (e) Annual Reports; Effect of Failure to Submit.--
     Subsection (f) of such section is amended--
       (1) by redesignating paragraphs (1), (2), and (3) as 
     subparagraphs (A), (B), and (C), respectively;
       (2) in subparagraph (C), as so redesignated, by inserting 
     before the period at the end the following: ``and of excess 
     real property at military installations'';
       (3) by striking ``(f)'' and all that follows through ``the 
     following:'' and inserting the following:
       ``(f) Annual Reports; Effect of Failure to Submit.--(1) Not 
     later than March 15 of each year, the Secretary of Defense 
     shall submit to Congress a report detailing the following:''; 
     and
       (4) by adding at the end the following new paragraph:
       ``(2) If the report for a year is not submitted to Congress 
     by the date specified in paragraph (1), the Secretary 
     concerned may not enter into an agreement under subsection 
     (a) after that date for the conveyance of real property until 
     the date on which the report is finally submitted.''.
       (f) Clerical Amendments.--
       (1) Section heading.--The heading of such section is 
     amended to read as follows:

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

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

``2869. Conveyance of property at military installations to support 
              military construction or limit encroachment.''.
       (g) Conforming Amendments to Department of Defense Housing 
     Funds.--Section 2883(c) of such title is amended--
       (1) in paragraph (1), by striking subparagraph (F); and
       (2) in paragraph (2), by striking subparagraph (F).
       (h) Conforming Amendments to Authority to Limit 
     Encroachments.--Subsection (d)(3) of section 2684a of such 
     title is amended--
       (1) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively;
       (2) in subparagraph (C), as so redesignated, by striking 
     ``in the sharing of acquisition costs of real property, or an 
     interest in real property, under paragraph (1)(B)'' and 
     inserting ``under subparagraph (A), either through the 
     contribution of funds or excess real property, or both,''; 
     and
       (3) by inserting after subparagraph (A) the following new 
     subparagraph (B):
       ``(B) In lieu of or in addition to making a monetary 
     contribution toward the cost of acquiring a parcel of real 
     property, or an interest therein, pursuant to an agreement 
     under this section, the Secretary concerned may convey, using 
     the authority provided by section 2869 of this title, real 
     property described in subsection (a)(2) of such section.''.

     SEC. 2807. PILOT PROJECTS FOR ACQUISITION OR CONSTRUCTION OF 
                   MILITARY UNACCOMPANIED HOUSING.

       (a) Extension of Authority to Carry Out Pilot Projects.--
     Subsection (f) of section 2881a of title 10, United States 
     Code, is amended by striking ``2007'' and inserting ``2011''.
       (b) Authorized Projects.--Subsection (a) of such section is 
     amended by striking ``three pilot projects'' and inserting 
     ``six pilot projects''.
       (c) Notification of Funding Transfers.--Subsection (d)(2) 
     of such section is amended by striking ``90 days prior 
     notification'' and inserting ``45 days prior notification, or 
     30 days if the notification is provided in an electronic 
     medium pursuant to section 480 of this title,''.
       (d) Report Submission.--Subsection (e)(2) of such section 
     is amended by striking the second sentence and inserting the 
     following new sentence: ``The Secretary may then issue the 
     contract solicitation or offer the conveyance or lease after 
     the end of the 45-day period beginning on the date the report 
     is received by the appropriate committees of Congress or, if 
     earlier, the end of the 30-day period beginning on the date 
     on which a copy of the report is provided in an electronic 
     medium pursuant to section 480 of this title.''.

     SEC. 2808. CONSIDERATION OF ALTERNATIVE AND MORE EFFICIENT 
                   USES FOR GENERAL OFFICER AND FLAG OFFICER 
                   QUARTERS IN EXCESS OF 6,000 SQUARE FEET.

       (a) Reporting Requirements.--Paragraph (1) of subsection 
     (f) of section 2831 of title 10, United States Code, as 
     redesignated by section 2803(a)(2), is amended--
       (1) in subparagraph (A), by striking ``and'' at the end of 
     the subparagraph;
       (2) in subparagraph (B)--
       (A) by striking ``so identified'' and inserting 
     ``identified under subparagraph (A)''; and
       (B) by striking the period at the end of the subparagraph 
     and inserting a semicolon; and
       (3) by adding at the end the following new subparagraphs:
       ``(C) identifying each family housing unit in excess of 
     6,000 square feet used, or intended for use, as quarters for 
     a general officer or flag officer;
       ``(D) for each family housing unit identified under 
     subparagraph (C), specifying any alternative and more 
     efficient use to which the unit could be converted (which 
     would include any costs necessary to convert the unit) and 
     containing an explanation of the reasons why the unit is not 
     being converted to the alternative use; and
       ``(E) for each family housing unit identified under 
     subparagraph (C) for which costs under subparagraph (A) or 
     new construction costs are anticipated to exceed $100,000 in 
     the next fiscal year, specifying any alternative use to which 
     the unit could be converted (which would include any costs 
     necessary to convert the unit) and an estimate of the costs 
     to demolish and rebuild the unit to private sector 
     standards.''.
       (b) Conforming Amendment.--The heading of such subsection 
     is amended by striking ``Cost Of''.

     SEC. 2809. REPEAL OF TEMPORARY MINOR MILITARY CONSTRUCTION 
                   PROGRAM.

       Section 2810 of the Military Construction Authorization Act 
     for Fiscal Year 2006 (division B of Public Law 109-163; 119 
     Stat. 3509) is repealed.

     SEC. 2810. ONE-YEAR EXTENSION OF TEMPORARY, LIMITED AUTHORITY 
                   TO USE OPERATION AND MAINTENANCE FUNDS FOR 
                   CONSTRUCTION PROJECTS OUTSIDE THE UNITED 
                   STATES.

       Section 2808(a) of the Military Construction Authorization 
     Act for Fiscal Year 2004 (division B of Public Law 108-136; 
     117 Stat. 1723), as amended by section 2810 of the Military 
     Construction Authorization Act for Fiscal Year 2005 (division 
     B of Public Law 108-375; 118 Stat. 2128) and section 2809 of 
     the Military Construction Authorization Act for Fiscal Year 
     2006 (division B of Public Law 109-163; 119 Stat. 3508), is 
     further amended by striking ``and 2006'' and inserting 
     ``through 2007''.

        Subtitle B--Real Property and Facilities Administration

     SEC. 2821. CONSOLIDATION OF DEPARTMENT OF DEFENSE AUTHORITIES 
                   REGARDING GRANTING OF EASEMENTS FOR RIGHTS-OF-
                   WAY.

       (a) Consolidation.--Subsection (a) of section 2668 of title 
     10, United States Code, is amended--
       (1) in the matter preceding paragraph (1)--
       (A) by striking ``he'' both places it appears and inserting 
     ``the Secretary''; and
       (B) by striking ``his control, to a State, Commonwealth, or 
     possession, or political subdivision thereof, or to a 
     citizen, association, partnership, or corporation of a State, 
     Commonwealth, or possession,'' and inserting ``the 
     Secretary's control'';
       (2) in paragraph (2), by striking ``oil pipe lines'' and 
     inserting ``gas, water, sewer, and oil pipe lines''; and
       (3) in paragraph (13), by striking ``he considers 
     advisable, except a purpose covered by section 2669 of this 
     title'' and inserting ``the Secretary considers advisable''.
       (b) Stylistic Amendments.--Such section is further 
     amended--
       (1) in subsection (a), by inserting ``Authorized Types of 
     Easements.--'' after ``(a)'';
       (2) in subsection (b), by inserting ``Limitation on Size of 
     Easement.--'' after ``(b)'';
       (3) in subsection (c), by inserting ``Termination.--'' 
     after ``(c)'';
       (4) in subsection (d), by inserting ``Notice to Department 
     of the Interior.--'' after ``(d)''; and
       (5) in subsection (e), by inserting ``Disposition of 
     Consideration.--'' after ``(e)''.
       (c) Conforming Repeal.--Section 2669 of such title is 
     repealed.
       (d) Clerical Amendment.--The table of sections at the 
     beginning of chapter 159 of such title is amended by striking 
     the item related to section 2669.

     SEC. 2822. AUTHORITY TO GRANT RESTRICTIVE EASEMENTS IN 
                   CONNECTION WITH LAND CONVEYANCES.

       (a) Restrictive Easements.--Chapter 159 of title 10, United 
     States Code, is amended by inserting after section 2668 the 
     following new section:

     ``Sec. 2668a. Restrictive easements: granting easement in 
       connection with land conveyances

       ``(a) Authority to Include Restrictive Easement.--In 
     connection with the conveyance of real property by the 
     Secretary concerned under any provision of law, the Secretary 
     concerned may grant an easement restricting future uses of 
     the conveyed real property for a conservation purpose 
     consistent with section

[[Page 7772]]

     170(h)(4)(A)(iv) of the Internal Revenue Code of 1986 (26 
     U.S.C. 170(h)(4)(A)(iv)).
       ``(b) Authorized Recipients.--An easement under subsection 
     (a) may be granted only to a State or local government or a 
     qualified organization, as that term is used in section 
     170(h) of the Internal Revenue Code of 1986 (26 U.S.C. 
     170(h)).
       ``(c) Limitation on Use of Conservation Easements.--An 
     easement under subsection (a) may not be granted unless--
       ``(1) the Secretary concerned determines that the 
     conservation purpose to be promoted by the easement cannot be 
     effectively achieved through the application of State law by 
     the State or a local government;
       ``(2) the Secretary consults with the local government 
     whose jurisdiction encompasses the property regarding the 
     grant of the easement; and
       ``(3) the Secretary can give or assign to a third party the 
     responsibility for monitoring and enforcing the easement.
       ``(d) Acreage Limitation.--No easement granted under this 
     section may include more land than is necessary for the 
     easement.
       ``(e) Terms and Conditions.--The grant of an easement under 
     this section shall be subject to such terms and conditions as 
     the Secretary considers advisable.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 2668 the following new item:

``2668a. Restrictive easements: granting easement in connection with 
              land conveyances.''.

     SEC. 2823. MAXIMUM TERM OF LEASES FOR STRUCTURES AND REAL 
                   PROPERTY RELATING TO STRUCTURES IN FOREIGN 
                   COUNTRIES NEEDED FOR PURPOSES OTHER THAN FAMILY 
                   HOUSING.

       Section 2675(a) of title 10, United States Code, is amended 
     by striking ``five years'' and inserting ``10 years''.

     SEC. 2824. CONSOLIDATION OF LAWS RELATING TO TRANSFER OF 
                   DEPARTMENT OF DEFENSE REAL PROPERTY WITHIN THE 
                   DEPARTMENT AND TO OTHER FEDERAL AGENCIES.

       (a) Inclusion of Transfer Authority Between Armed Forces.--
     Section 2696 of title 10, United States Code, is amended--
       (1) by redesignating subsections (a) and (b) as subsections 
     (b) and (c), respectively; and
       (2) by inserting before subsection (b), as so redesignated, 
     the following new subsection:
       ``(a) Transfers Between Armed Forces.--If either of the 
     Secretaries concerned requests it and the other approves, 
     real property may be transferred, without compensation, from 
     one armed force to another. Section 2571(d) of this title 
     shall apply to the transfer of real property under this 
     subsection.''.
       (b) Inclusion of Department of Justice Program.--The text 
     of section 2693 of such title is amended--
       (1) by redesignating paragraphs (1), (2), and (3) of 
     subsection (a) as subparagraphs (A), (B), and (C), 
     respectively;
       (2) by redesignating paragraphs (1) and (2) of subsection 
     (b) as subparagraphs (A) and (B), respectively, and in such 
     subparagraph (B), as so redesignated, by striking ``this 
     section'' and inserting ``paragraph (1)'';
       (3) by striking ``(a) Except as provided in subsection 
     (b)'' and inserting ``(f) Department of Justice Correctional 
     Options Program.--(1) Except as provided in paragraph (2)'';
       (4) by striking ``(b) The provisions of this section'' and 
     inserting ``(2) Paragraph (1)''; and
       (5) by transferring the text, as so redesignated and 
     amended, to appear as a new subsection (f) at the end of 
     section 2696 of such title.
       (c) Conforming Amendments.--
       (1) Section 2571.--Section 2571(a) of such title is amended 
     by striking ``and real estate''.
       (2) Section 2693.--Section 2693 of such title is repealed.
       (3) Section 2696.--Section 2696 of such title is amended--
       (A) in subsection (b), as redesignated by subsection 
     (a)(1), by striking ``Screening Requirement.--'' and 
     inserting ``Screening Requirements for Additional Federal 
     Use.--'';
       (B) in subsection (c)(1), as redesignated by subsection 
     (a)(1), by striking ``subsection (a)'' in the first sentence 
     and inserting ``subsection (b)'';
       (C) in subsection (d), by striking ``subsection (b)(1)'' 
     and inserting ``subsection (c)(1)''; and
       (D) in subsection (e), by striking ``this section'' and 
     inserting ``subsection (b)''.
       (d) Clerical Amendments.--
       (1) Section 2571.--(A) The heading of section 2571 of such 
     title is amended to read as follows:

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

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

``2571. Interchange of supplies and services.''.
       (2) Sections 2693 and 2696.--(A) The heading of section 
     2696 of such title is amended to read as follows:

     ``Sec. 2696. Transfers and disposals: interchange among armed 
       forces and screening requirements for other Federal use''.

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

``2696. Transfers and disposals: interchange among armed forces and 
              screening requirements for other Federal use.''.

     SEC. 2825. CONGRESSIONAL NOTICE REQUIREMENTS IN ADVANCE OF 
                   ACQUISITION OF LAND BY CONDEMNATION FOR 
                   MILITARY PURPOSES.

       (a) Sense of Congress.--It is the sense of Congress that 
     the Secretary of Defense, when acquiring land for military 
     purposes, should make every effort to do so by means of 
     purchases from willing sellers and should employ 
     condemnation, eminent domain, or seizure procedures only as a 
     measure of last resort in cases of compelling national 
     security requirements.
       (b) Congressional Notice.--Section 2663(a) of title 10, 
     United States Code, is amended by adding at the end the 
     following new paragraph:
       ``(3) Before using condemnation, eminent domain, or seizure 
     procedures to acquire any interest in land, including land 
     for temporary use, under this subsection, the Secretary of 
     Defense or the Secretary of the military department concerned 
     shall submit to the congressional defense committees a report 
     that includes certification that the Secretary has made every 
     effort to acquire the property without use of such 
     procedures, explains the compelling requirements for the 
     acquisition and why alternative acquisition strategies, such 
     as purchases of easements, are inadequate, and describes the 
     property for which the procedures will be employed. 
     Proceedings may be brought with respect to the land only 
     after the end of the 14-day period beginning on the date on 
     which the report is received by the committees or, if over 
     sooner, a period of 10 days elapses from the date on which a 
     copy of the report is provided in an electronic medium 
     pursuant to section 480 of this title.''.

                Subtitle C--Base Closure and Realignment

     SEC. 2831. TREATMENT OF LEASE PROCEEDS FROM MILITARY 
                   INSTALLATIONS APPROVED FOR CLOSURE OR 
                   REALIGNMENT AFTER JANUARY 1, 2005.

       Paragraph (5) of section 2667(d) of title 10, United States 
     Code, is amended to read as follows:
       ``(5) Money rentals received by the United States from a 
     lease under subsection (f) at a military installation to be 
     closed or realigned under a base closure law shall be 
     deposited--
       ``(A) into the account established under section 2906(a) of 
     the Defense Base Closure and Realignment Act of 1990 (part A 
     of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note), if 
     the installation was approved for closure or realignment 
     before January 1, 2005; or
       ``(B) into the account established under section 2906A(a) 
     of such Act, if the installation was approved for closure or 
     realignment after January 1, 2005.''.

                      Subtitle D--Land Conveyances

     SEC. 2841. LAND CONVEYANCE, NAVAL AIR STATION, BARBERS POINT, 
                   HAWAII.

       (a) Conveyance of Property.--Not later than September 30, 
     2008, the Secretary of the Navy shall convey, by sale, lease, 
     or a combination thereof, to any public or private person or 
     entity outside the Department of Defense certain parcels of 
     real property, including any improvements thereon, consisting 
     of approximately 499 acres located at the former Naval Air 
     Station, Barbers Point, Oahu, Hawaii, that are subject to the 
     Ford Island Master Development Agreement developed pursuant 
     to section 2814(a)(2) of title 10, United States Code, for 
     the purpose of promoting the beneficial development of the 
     real property.
       (b) Use of Existing Authority.--To implement subsection 
     (a), the Secretary may utilize the special conveyance and 
     lease authorities provided to the Secretary by subsections 
     (b) and (c) of section 2814 of title 10, United States Code, 
     for the purpose of developing or facilitating the development 
     of Ford Island, Hawaii.
       (c) Description of Property.--The exact acreage and legal 
     description of real property to be conveyed under subsection 
     (a) shall be determined by a survey satisfactory to the 
     Secretary.
       (d) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with a conveyance under subsection (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

     SEC. 2842. MODIFICATION OF LAND ACQUISITION AUTHORITY, 
                   PERQUIMANS COUNTY, NORTH CAROLINA.

       Section 2846 of the Military Construction Authorization Act 
     for Fiscal Year 2002 (division B of Public Law 107-107; 115 
     Stat. 1320), as amended by section 2865 of the Military 
     Construction Authorization Act for Fiscal Year 2005 (division 
     B of Public Law 108-375; 118 Stat. 2149) is further amended 
     by striking ``840 acres'' and inserting ``1,540 acres''.

     SEC. 2843. LAND CONVEYANCE, RADFORD ARMY AMMUNITION PLANT, 
                   PULASKI COUNTY, VIRGINIA.

       (a) Conveyance Authorized.--The Secretary of the Army may 
     convey, without consideration, to the Department of Veterans' 
     Services of the Commonwealth of Virginia (in this section 
     referred to as the ``Department'') all right, title, and 
     interest of the United States in and to a parcel of real 
     property, including any improvements thereon, consisting of 
     approximately 85 acres at the Radford Army Ammunition Plant 
     in Pulaski County, Virginia, for the purpose of permitting 
     the Department to establish and operate a State-run cemetery 
     for veterans of the Armed Forces.
       (b) Reversionary Interest.--If the Secretary determines at 
     any time that the real property

[[Page 7773]]

     conveyed under subsection (a) is not being used in accordance 
     with the purpose of the conveyance specified in such 
     subsection, all right, title, and interest in and to the 
     property shall revert, at the option of the Secretary, to the 
     United States, and the United States shall have the right of 
     immediate entry onto the property. Any determination of the 
     Secretary under this subsection shall be made on the record 
     after an opportunity for a hearing.
       (c) Payment of Costs of Conveyance.--
       (1) Payment required.--The Secretary shall require the 
     Department to cover costs to be incurred by the Secretary, or 
     to reimburse the Secretary for costs incurred by the 
     Secretary, to carry out the conveyance under subsection (a), 
     including survey costs, costs related to environmental 
     documentation, and other administrative costs related to the 
     conveyance. If amounts are collected from the Department in 
     advance of the Secretary incurring the actual costs, and the 
     amount collected exceeds the costs actually incurred by the 
     Secretary to carry out the conveyance, the Secretary shall 
     refund the excess amount to the Department.
       (2) Treatment of amounts received.--Amounts received as 
     reimbursement under paragraph (1) shall be credited to the 
     fund or account that was used to cover the costs incurred by 
     the Secretary in carrying out the conveyance. Amounts so 
     credited shall be merged with amounts in such fund or account 
     and shall be available for the same purposes, and subject to 
     the same conditions and limitations, as amounts in such fund 
     or account.
       (d) Description of Real Property.--The exact acreage and 
     legal description of the real property to be conveyed under 
     subsection (a) shall be determined by a survey satisfactory 
     to the Secretary.
       (e) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (a) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

                       Subtitle E--Other Matters

     SEC. 2851. AVAILABILITY OF COMMUNITY PLANNING ASSISTANCE 
                   RELATING TO ENCROACHMENT OF CIVILIAN 
                   COMMUNITIES ON MILITARY FACILITIES USED FOR 
                   TRAINING BY THE ARMED FORCES.

        Section 2391(d)(1) of title 10, United States Code, is 
     amended by adding at the end the following new sentence: 
     ``For purposes of subsection (b)(1)(D), the term `military 
     installation' includes a military facility owned and operated 
     by any of the several States, the District of Columbia, the 
     Commonwealth of Puerto Rico, Guam, or the Virgin Islands, 
     even though the facility is not under the jurisdiction of the 
     Department of Defense, if the Secretary of Defense determines 
     that the military facility is subject to significant use for 
     training by the armed forces.''.

     SEC. 2852. PROHIBITIONS AGAINST MAKING CERTAIN MILITARY 
                   AIRFIELDS OR FACILITIES AVAILABLE FOR USE BY 
                   CIVIL AIRCRAFT.

       (a) Prohibitions.--The Secretary of the Navy may not enter 
     into any agreement concerning a military installation 
     specified in subsection (b) that would--
       (1) authorize civil aircraft to regularly use an airfield 
     or any other property at the installation;
       (2) convey any real property at the installation, including 
     any airfield at the installation, for the purpose of 
     permitting the use of the property by civil aircraft.
       (b) Covered Installations.--The prohibitions in subsection 
     (a) apply with respect to the following military 
     installations:
       (1) Marine Corps Air Station, Camp Pendleton, California.
       (2) Marine Corps Air Station, Miramar, California.
       (3) Marine Corps Base, Camp Pendleton, California.
       (4) Naval Air Station, North Island, California.
       (c) Repeal of Existing Limited Prohibition.--Section 2894 
     of the Military Construction Authorization Act for Fiscal 
     Year 1996 (division B of Public Law 104-106; 110 Stat. 592) 
     is repealed.

     SEC. 2853. NAMING HOUSING FACILITY AT FORT CARSON, COLORADO, 
                   IN HONOR OF JOEL HEFLEY, A MEMBER OF THE HOUSE 
                   OF REPRESENTATIVES.

       (a) Findings.--Congress makes the following findings:
       (1) Representative Joel Hefley was elected to represent 
     Colorado's 5th Congressional district in 1986 and has served 
     in the House of Representatives since that time with 
     distinction, class, integrity, and honor.
       (2) Representative Hefley has served on the Committee on 
     Armed Services of the House of Representatives for 18 years, 
     including service as Chairman of the Subcommittee on Military 
     Installations and Facilities from 1995 through 2000 and, 
     since 2001, as Chairman of the Subcommittee on Readiness.
       (3) Representative Hefley's colleagues know him to be a 
     fair and effective lawmaker who works for the national 
     interest while never forgetting his Western roots.
       (4) Representative Hefley's efforts on the Committee on 
     Armed Services have been instrumental to the military value 
     of, and quality of life at, installations in the State of 
     Colorado, including Fort Carson, Cheyenne Mountain, Peterson 
     Air Force Base, Schriever Air Force Base, Buckley Air Force 
     Base, and the United States Air Force Academy.
       (5) Representative Hefley was a leader in efforts to retain 
     and expand Fort Carson as an essential part of the national 
     defense system during the Defense Base Closure and 
     Realignment process.
       (6) Representative Hefley has consistently advocated for 
     providing members of the Armed Forces and their families with 
     quality, safe, and affordable housing and supportive 
     communities.
       (7) Representative Hefley spearheaded the Military Housing 
     Privatization Initiative to eliminate inadequate housing on 
     military installations, with the first pilot program located 
     at Fort Carson.
       (8) Representative Hefley's leadership on the Military 
     Housing Privatization Initiative has allowed for the 
     privatization of more than 121,000 units of military family 
     housing, which brought meaningful improvements to living 
     conditions for thousands of members of the Armed Forces and 
     their spouses and children at installations throughout the 
     United States.
       (9) It is fitting and proper that an appropriate military 
     family housing area or structure at Fort Carson be designated 
     in honor of Representative Hefley, and it is further 
     appropriate that division B of this Act, which authorizes 
     funds for fiscal year 2007 for military construction 
     projects, land acquisition, and family housing projects and 
     facilities, be designated in honor of Representative Hefley.
       (b) Designation.--The Secretary of the Army shall designate 
     one of the military family housing areas or facilities 
     constructed for Fort Carson, Colorado, using the authority 
     provided by subchapter IV of chapter 169 of title 10, United 
     States Code, as the ``Joel Hefley Village''.

     SEC. 2854. NAMING NAVY AND MARINE CORPS RESERVE CENTER AT 
                   ROCK ISLAND, ILLINOIS, IN HONOR OF LANE EVANS, 
                   A MEMBER OF THE HOUSE OF REPRESENTATIVES.

       (a) Findings.--Congress makes the following findings:
       (1) Representative Lane Evans was elected to the House of 
     Representatives in 1982 and is now in his 12th term 
     representing the people of Illinois' 17th Congressional 
     district.
       (2) As a member of the Committee on Armed Services of the 
     House of Representatives, Representative Evans has worked to 
     bring common sense priorities to defense spending and 
     strengthen the military's conventional readiness.
       (3) Representative Evans has been a tireless advocate for 
     military veterans, ensuring that veterans receive the medical 
     care they need and advocating for individuals suffering from 
     post-traumatic stress disorder and Gulf War Syndrome.
       (4) Representative Evans' efforts to improve the transition 
     of individuals from military service to the care of the 
     Department of Veterans Affairs will continue to benefit 
     generations of veterans long into the future.
       (5) Representative Evans is credited with bringing new 
     services to veterans living in his Congressional district, 
     including outpatient clinics in the Quad Cities and Quincy 
     and the Quad-Cities Vet Center.
       (6) Representative Evans has worked with local leaders to 
     promote the Rock Island Arsenal and has seen it win new jobs 
     and missions through his support.
       (7) In honor of his service in the Marine Corps and to his 
     district and the United States, it is fitting and proper that 
     the Navy and Marine Corps Reserve Center at Rock Island 
     Arsenal be named in honor of Representative Evans.
       (b) Designation.--The Navy and Marine Corps Reserve Center 
     at Rock Island Arsenal, Illinois, shall be known and 
     designated as the ``Lane Evans Navy and Marine Corps Reserve 
     Center''. Any reference in a law, map, regulation, document, 
     paper, or other record of the United States to the Navy and 
     Marine Corps Reserve Center at Rock Island Arsenal shall be 
     deemed to be a reference to the Lane Evans Navy and Marine 
     Corps Reserve Center.

     SEC. 2855. NAMING OF RESEARCH LABORATORY AT AIR FORCE ROME 
                   RESEARCH SITE, ROME, NEW YORK, IN HONOR OF 
                   SHERWOOD L. BOEHLERT, A MEMBER OF THE HOUSE OF 
                   REPRESENTATIVES.

       The new laboratory building at the Air Force Rome Research 
     Site, Rome, New York, shall be known and designated as the 
     ``Sherwood L. Boehlert Engineering Center''. Any reference in 
     a law, map, regulation, document, paper, or other record of 
     the United States to such laboratory facility shall be deemed 
     to be a reference to the Sherwood L. Boehlert Engineering 
     Center.

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

      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

         Subtitle A--National Security Programs Authorizations

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

   Subtitle B--Program Authorizations, Restrictions, and Limitations

Sec. 3111. Plan for transformation of National Nuclear Security 
              Administration nuclear weapons complex.
Sec. 3112. Extension of Facilities and Infrastructure Recapitalization 
              Program.
Sec. 3113. Utilization of contributions to Global Threat Reduction 
              Initiative.
Sec. 3114. Utilization of contributions to Second Line of Defense 
              program.

[[Page 7774]]

Sec. 3115. Two-year extension of authority for appointment of certain 
              scientific, engineering, and technical personnel.
Sec. 3116. National Academy of Sciences study of quantification of 
              margins and uncertainty methodology for assessing and 
              certifying the safety and reliability of the nuclear 
              stockpile.
Sec. 3117. Consolidation of counterintelligence programs of Department 
              of Energy and National Nuclear Security Administration.

         Subtitle A--National Security Programs Authorizations

     SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.

       (a) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated to the Department of Energy for 
     fiscal year 2007 for the activities of the National Nuclear 
     Security Administration in carrying out programs necessary 
     for national security in the amount of $9,265,811,000 to be 
     allocated as follows:
       (1) For weapons activities, $6,467,889,000.
       (2) For defense nuclear nonproliferation activities, 
     $1,616,213,000.
       (3) For naval reactors, $795,133,000.
       (4) For the Office of the Administrator for Nuclear 
     Security, $386,576,000.
       (b) Authorization of New Plant Projects.--From funds 
     referred to in subsection (a) that are available for carrying 
     out plant projects, the Secretary of Energy may carry out the 
     following new plant projects:
       (1) For weapons activities:
       Project 07-D-140, project engineering and design, various 
     locations, $4,977,000.
       Project 07-D-220, Radioactive Liquid Waste Treatment 
     Facility upgrade, Los Alamos National Laboratory, 
     $14,828,000.
       Project 07-D-253, TA-1 Heating Systems Modernization, 
     Facilities and Infrastructure Recapitalization Program, 
     $14,500,000.
       (2) For defense nuclear nonproliferation activities:
       Project 07-SC-05, Physical Sciences Facility, Pacific 
     Northwest National Laboratory, $4,220,000.
       (3) For naval reactors:
       Project 07-D-190, project engineering and design, Materials 
     Research Technology Complex, $1,485,000.

     SEC. 3102. DEFENSE ENVIRONMENTAL CLEANUP.

        Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2007 for defense 
     environmental cleanup activities in carrying out programs 
     necessary for national security in the amount of 
     $5,440,312,000.

     SEC. 3103. OTHER DEFENSE ACTIVITIES.

        Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2007 for other defense 
     activities in carrying out programs necessary for national 
     security in the amount of $717,788,000.

     SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL.

        Funds are hereby authorized to be appropriated to the 
     Department of Energy for fiscal year 2007 for defense nuclear 
     waste disposal for payment to the Nuclear Waste Fund 
     established in section 302(c) of the Nuclear Waste Policy Act 
     of 1982 (42 U.S.C. 10222(c)) in the amount of $388,080,000.

   Subtitle B--Program Authorizations, Restrictions, and Limitations

     SEC. 3111. PLAN FOR TRANSFORMATION OF NATIONAL NUCLEAR 
                   SECURITY ADMINISTRATION NUCLEAR WEAPONS 
                   COMPLEX.

       (a) Plan Required.--Subtitle A of title XLII of the Atomic 
     Energy Defense Act (division D of Public Law 107-314) is 
     amended by inserting after section 4213 (50 U.S.C. 2533) the 
     following new section:

     ``SEC. 4214. PLAN FOR TRANSFORMATION OF NATIONAL NUCLEAR 
                   SECURITY ADMINISTRATION NUCLEAR WEAPONS 
                   COMPLEX.

       ``(a) Plan Required.--The Secretary of Energy and the 
     Secretary of Defense shall develop a plan to transform the 
     nuclear weapons complex so as to achieve a responsive 
     infrastructure by 2030. The plan shall be designed to 
     accomplish the following objectives:
       ``(1) To maintain the safety, reliability, and security of 
     the United States nuclear weapons stockpile.
       ``(2) To continue Stockpile Life Extension Programs that 
     the Nuclear Weapons Council considers necessary.
       ``(3) To prepare to produce replacement warheads under the 
     Reliable Replacement Warhead program at a rate necessary to 
     meet future stockpile requirements, commencing with a first 
     production unit in 2012 and achieving steady-state production 
     using modern manufacturing processes by 2025.
       ``(4) To eliminate, within the nuclear weapons complex, 
     duplication of production capability except to the extent 
     required to ensure the safety, reliability, and security of 
     the stockpile.
       ``(5) To maintain the current philosophy within the 
     national security laboratories of peer review of nuclear 
     weapons designs while eliminating duplication of laboratory 
     capabilities except to the extent required to ensure the 
     safety, reliability, and security of the stockpile.
       ``(6) To maintain the national security mission, and in 
     particular the science-based Stockpile Stewardship Program, 
     as the primary mission of the national security laboratories 
     while optimizing the work-for-others activities of those 
     laboratories to support other national security objectives in 
     fields such as intelligence and homeland security.
       ``(7) To consolidate to the maximum extent practicable, and 
     to provide for the ultimate disposition of, special nuclear 
     material throughout the nuclear weapons complex, with the 
     ultimate goal of eliminating Category I and II special 
     nuclear material from the national security laboratories no 
     later than March 1, 2010, so as to further reduce the 
     footprint of the nuclear weapons complex, reduce security 
     costs, and reduce transportation costs for special nuclear 
     material.
       ``(8) To employ a risk-based approach to ensure compliance 
     with Design Basis Threat security requirements.
       ``(9) To expeditiously dismantle inactive nuclear weapons 
     to reduce the size of the stockpile to the lowest level 
     required by the Nuclear Weapons Council.
       ``(10) To operate the nuclear weapons complex in a more 
     cost-effective manner.
       ``(b) Report.--Not later than February 1, 2007, the 
     Secretary of Energy and Secretary of Defense shall submit to 
     the congressional defense committees a report on the 
     transformation plan required by subsection (a). The report 
     shall address each of the objectives required by subsection 
     (c) and also include each of the following:
       ``(1) A comprehensive list of the capabilities, facilities, 
     and project staffing that the National Nuclear Security 
     Administration will need to have in place at the nuclear 
     weapons complex as of 2030 to meet the requirements of the 
     transformation plan.
       ``(2) a comprehensive list of the capabilities and 
     facilities that the National Nuclear Security Administration 
     currently has in place at the nuclear weapons complex that 
     will not be needed as of 2030 to meet the requirements of the 
     transformation plan.
       ``(3) A plan for implementing the transformation plan, 
     including a schedule with incremental milestones.
       ``(c) Consultation.--The Secretary of Energy and the 
     Secretary of Defense shall develop the transformation plan 
     required by subsection (a) in consultation with the Nuclear 
     Weapons Council.
       ``(d) Definition.--In this section, the term `national 
     security laboratory' has the meaning given such term in 
     section 3281 of the National Nuclear Security Administration 
     Act (50 U.S.C. 2471).''.
       (b) Inclusion in Future-Years Nuclear Security Program.--
     Section 3253 of the National Nuclear Security Administration 
     Act (50 U.S.C. 2453) is amended in subsection (b) by adding 
     at the end the following new paragraph:
       ``(5) A statement of proposed budget authority, estimated 
     expenditures, and proposed appropriations necessary to 
     support the programs required to implement the plan to 
     transform the nuclear weapons complex under section 4214 of 
     the Atomic Energy Defense Act, together with a detailed 
     description of how the funds identified for each program 
     element specified pursuant to paragraph (1) in the budget for 
     the Administration for each fiscal year during that five-
     fiscal-year period will help ensure that those programs are 
     implemented. The statement shall assume year-to-year funding 
     profiles that account for increases only for projected 
     inflation.''.

     SEC. 3112. EXTENSION OF FACILITIES AND INFRASTRUCTURE 
                   RECAPITALIZATION PROGRAM.

       Section 3114 of the National Defense Authorization Act for 
     Fiscal Year 2004 (Public Law 108-136; 50 U.S.C. 2453 note), 
     as amended by section 3113 of the Ronald W. Reagan National 
     Defense Authorization Act for Fiscal Year 2005 (Public Law 
     108-375; 118 Stat. 2160), is amended--
       (1) in subsection (a)(3)(F), by striking ``2011'' and 
     inserting ``2013''; and
       (2) in subsection (b), by striking ``2011'' and inserting 
     ``2013''.

     SEC. 3113. UTILIZATION OF CONTRIBUTIONS TO GLOBAL THREAT 
                   REDUCTION INITIATIVE.

       Section 3132 of the Ronald W. Reagan National Defense 
     Authorization Act for Fiscal Year 2005 (Public Law 108-375; 
     118 Stat. 2166; 50 U.S.C. 2569) is amended--
       (1) by redesignating subsection (f) as subsection (g); and
       (2) by adding after subsection (e) the following new 
     subsection:
       ``(f) Participation by Other Governments and 
     Organizations.--
       ``(1) In general.--The Secretary of Energy may, with the 
     concurrence of the Secretary of State, enter into one or more 
     agreements with any person (including a foreign government, 
     international organization, or multinational entity) that the 
     Secretary of Energy considers appropriate under which the 
     person contributes funds for purposes of the program under 
     this section.
       ``(2) Retention and use of amounts.--The Secretary of 
     Energy may retain and use amounts contributed under an 
     agreement under paragraph (1) for purposes of the program 
     under this section. Amounts so contributed shall be retained 
     in a separate fund established in the Treasury for such 
     purposes and shall be available until expended, without 
     further appropriation, for such purposes.''.

     SEC. 3114. UTILIZATION OF CONTRIBUTIONS TO SECOND LINE OF 
                   DEFENSE PROGRAM.

       (a) In General.--The Secretary of Energy may, with the 
     concurrence of the Secretary of State, enter into one or more 
     agreements with any person (including a foreign government,

[[Page 7775]]

     international organization, or multinational entity) that the 
     Secretary of Energy considers appropriate under which the 
     person contributes funds for purposes of the Second Line of 
     Defense program of the National Nuclear Security 
     Administration.
       (b) Retention and Use of Amounts.--The Secretary of Energy 
     may retain and use amounts contributed under an agreement 
     under subsection (a) for purposes of the Second Line of 
     Defense program. Amounts so contributed shall be retained in 
     a separate fund established in the Treasury for such purposes 
     and shall be available until expended, without further 
     appropriation, for such purposes.
       (c) Termination of Authority.--The authority to accept 
     contributions under subsection (a) terminates December 31, 
     2013.

     SEC. 3115. TWO-YEAR EXTENSION OF AUTHORITY FOR APPOINTMENT OF 
                   CERTAIN SCIENTIFIC, ENGINEERING, AND TECHNICAL 
                   PERSONNEL.

       Section 4601(c)(1) of the Atomic Energy Defense Act (50 
     U.S.C. 2701(c)(1)) is amended by striking ``September 30, 
     2006'' and inserting ``September 30, 2008''.

     SEC. 3116. NATIONAL ACADEMY OF SCIENCES STUDY OF 
                   QUANTIFICATION OF MARGINS AND UNCERTAINTY 
                   METHODOLOGY FOR ASSESSING AND CERTIFYING THE 
                   SAFETY AND RELIABILITY OF THE NUCLEAR 
                   STOCKPILE.

       (a) Study Required.--The Secretary of Energy shall, as soon 
     as practicable and no later than 120 days after the date of 
     the enactment of this Act, enter into an arrangement with the 
     National Research Council of the National Academy of Sciences 
     for the Council to carry out a study of the quantification of 
     margins and uncertainty methodology used by the national 
     security laboratories for assessing and certifying the safety 
     and reliability of the nuclear stockpile.
       (b) Matters Included.--The study required by subsection (a) 
     shall evaluate the following:
       (1) The use of the quantification of margins and 
     uncertainty methodology by the national security 
     laboratories, including underlying assumptions of weapons 
     performance and the ability of modeling and simulation tools 
     to predict nuclear explosive package characteristics.
       (2) The manner in which that methodology is used to conduct 
     the annual assessments of the nuclear weapons stockpile.
       (3) How the use of that methodology compares and contrasts 
     between the national security laboratories.
       (4) The process by which conflicts between the national 
     security laboratories in the application of that methodology 
     are resolved.
       (5) An assessment of whether the application of the 
     quantification of margins and uncertainty used for annual 
     assessments and certification of the nuclear weapons 
     stockpile can be applied to the planned Reliable Replacement 
     Warhead program so as to carry out the objective of that 
     program to reduce the likelihood of the resumption of 
     underground testing of nuclear weapons.
       (c) Report.--
       (1) In general.--Not later than one year after the date on 
     which the arrangement required by subsection (a) is entered 
     into, the National Research Council shall submit to the 
     Secretary of Energy and the congressional committees 
     specified in paragraph (2), a report on the study that 
     addresses the matters listed in subsection (b) and any other 
     matters considered by the National Research Council to be 
     relevant to the use of the quantification of margins and 
     uncertainty methodology in assessing the current or future 
     nuclear weapons stockpile.
       (2) Specified committees.--The congressional committees 
     referred to in paragraph (1) are the following:
       (A) The Committee on Armed Services of the Senate.
       (B) The Committee on Armed Services of the House of 
     Representatives.
       (d) Provision of Information.--The Secretary of Energy 
     shall, in a timely manner, make available to the National 
     Research Council all information that the National Research 
     Council considers necessary to carry out its responsibilities 
     under this section.
       (e) Funding.--Of the amounts made available to the 
     Department of Energy pursuant to the authorization of 
     appropriations in section 3101, $2,000,000 shall be available 
     only for carrying out the study required by this section.

     SEC. 3117. CONSOLIDATION OF COUNTERINTELLIGENCE PROGRAMS OF 
                   DEPARTMENT OF ENERGY AND NATIONAL NUCLEAR 
                   SECURITY ADMINISTRATION.

       (a) Transfer of Functions.--The functions, personnel, 
     funds, assets, and other resources of the Office of Defense 
     Nuclear Counterintelligence of the National Nuclear Security 
     Administration are transferred to the Secretary of Energy, to 
     be administered (except to any extent otherwise directed by 
     the Secretary) by the Director of the Office of 
     Counterintelligence of the Department of Energy.
       (b) NNSA Counterintelligence Office Abolished.--
       (1) In general.--Section 3232 of the National Nuclear 
     Security Administration Act (50 U.S.C. 3232) is amended--
       (A) by amending the heading to read as follows:

     ``SEC. 3232. OFFICE OF DEFENSE NUCLEAR SECURITY.'';

       (B) by striking subsection (a) and inserting the following 
     new subsection (a):
       ``(a) Establishment.--There is within the Administration an 
     Office of Defense Nuclear Security, headed by a Chief 
     appointed by the Secretary of Energy. The Administrator shall 
     recommend to the Secretary suitable candidates for such 
     position.'';
       (C) by striking subsection (b); and
       (D) by redesignating subsection (c) as subsection (b).
       (2) Conforming amendment.--The table of sections at the 
     beginning of the National Nuclear Security Administration Act 
     is amended by striking the item relating to section 3232 and 
     inserting the following new item:

``Sec. 3232. Office of Defense Nuclear Security.''.
       (c) Counterintelligence Programs at NNSA Facilities.--
     Section 3233 of the National Nuclear Security Administration 
     Act (50 U.S.C. 2423) is amended--
       (1) in each of subsections (a) and (b), by striking ``The 
     Administrator shall'' and inserting ``The Secretary of Energy 
     shall''; and
       (2) in subsection (b), by striking ``Office of Defense 
     Nuclear Counterintelligence'' and inserting ``Office of 
     Counterintelligence of the Department of Energy''.
       (d) Status of NNSA Intelligence and Counterintelligence 
     Personnel.--Section 3220 of the National Nuclear Security 
     Administration Act (50 U.S.C. 2410) is amended by adding at 
     the end the following new subsection:
       ``(e) Status of Intelligence and Counterintelligence 
     Personnel.--Notwithstanding the restrictions of subsections 
     (a) and (b), each officer or employee of the Administration, 
     or of a contractor of the Administration, who is carrying out 
     activities related to intelligence or counterintelligence 
     shall, in carrying out those activities, be subject to the 
     authority, direction, and control of the Secretary of Energy 
     or the Secretary's delegate.''.
       (e) Service From Which DOE Intelligence Director and 
     Counterintelligence Director Appointed.--Section 215(b)(1) 
     (42 U.S.C. 7144b(b)(1)) and section 216(b)(1) (42 U.S.C. 
     7144c(b)(1)) of the Department of Energy Organization Act are 
     each amended by striking ``which shall be a position in the 
     Senior Executive Service'' and inserting ``who shall be an 
     employee in the Senior Executive Service, the Senior 
     Intelligence Service, the Senior National Intelligence 
     Service, or any other Service that the Secretary, in 
     coordination with the Director of National Intelligence, 
     considers appropriate''.
       (f) Intelligence Executive Committee; Budget for 
     Intelligence and Counterintelligence.--Section 214 of the 
     Department of Energy Organization Act (42 U.S.C. 7144a) is 
     amended--
       (1) by inserting ``(a)'' before ``The Secretary shall be 
     responsible''; and
       (2) by adding at the end the following:
       ``(b)(1) There is within the Department an Intelligence 
     Executive Committee. The Committee shall consist of the 
     Deputy Secretary of Energy, who shall chair the Committee, 
     and each Under Secretary of Energy.
       ``(2) The Committee shall be staffed by the Director of the 
     Office of Intelligence and the Director of the Office of 
     Counterintelligence.
       ``(3) The Secretary shall use the Committee to assist in 
     developing and promulgating the counterintelligence and 
     intelligence policies, requirements, and priorities of the 
     Department.
       ``(c) In the budget justification materials submitted to 
     Congress in support of each budget submitted by the President 
     to Congress under title 31, United States Code, the amounts 
     requested for the Department for intelligence functions and 
     the amounts requested for the Department for 
     counterintelligence functions shall each be specified in 
     appropriately classified individual, dedicated program 
     elements. Within the amounts requested for 
     counterintelligence functions, the amounts requested for the 
     National Nuclear Security Administration shall be specified 
     separately from the amounts requested for other elements of 
     the Department.''.
       (g) Report.--Not later than 1 year after the date of the 
     enactment of this Act, the Inspector General of the 
     Department of Energy shall submit to Congress a report on the 
     implementation of this section and of the amendments required 
     by this section. The report shall include the Inspector 
     General's evaluation of that implementation.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

     SEC. 3201. AUTHORIZATION.

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

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

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

     SEC. 3301. AUTHORIZED USES OF NATIONAL DEFENSE STOCKPILE 
                   FUNDS.

       (a) Obligation of Stockpile Funds.--During fiscal year 
     2007, the National Defense Stockpile Manager may obligate up 
     to $52,132,000 of the funds in the National Defense Stockpile 
     Transaction Fund established under subsection (a) of section 
     9 of the Strategic and Critical Materials Stock Piling Act 
     (50 U.S.C. 98h) for the authorized uses of such funds under 
     subsection (b)(2) of such section, including the disposal of 
     hazardous materials that are environmentally sensitive.

[[Page 7776]]

       (b) Additional Obligations.--The National Defense Stockpile 
     Manager may obligate amounts in excess of the amount 
     specified in subsection (a) if the National Defense Stockpile 
     Manager notifies Congress that extraordinary or emergency 
     conditions necessitate the additional obligations. The 
     National Defense Stockpile Manager may make the additional 
     obligations described in the notification after the end of 
     the 45-day period beginning on the date on which Congress 
     receives the notification.
       (c) Limitations.--The authorities provided by this section 
     shall be subject to such limitations as may be provided in 
     appropriations Acts.

     SEC. 3302. REVISIONS TO REQUIRED RECEIPT OBJECTIVES FOR 
                   PREVIOUSLY AUTHORIZED DISPOSALS FROM NATIONAL 
                   DEFENSE STOCKPILE.

       (a) Fiscal Year 1999 Disposal Authority.--Section 3303(a) 
     of the Strom Thurmond National Defense Authorization Act for 
     Fiscal Year 1999 (Public Law 105-261; 50 U.S.C. 98d note), as 
     amended by section 3302 of the Ronald W. Reagan National 
     Defense Authorization Act for Year 2005 (Public Law 108-375; 
     118 Stat. 2193) and section 3302 of the National Defense 
     Authorization Act for Fiscal Year 2006 (Public Law 109-163; 
     119 Stat. 3545), is amended--
       (1) by striking ``and'' at the end of paragraph (5); and
       (2) by striking the period at the end of paragraph (6) and 
     inserting ``; and''; and
       (3) by adding at the end the following new paragraph:
       ``(7) $1,365,000,000 by the end of fiscal year 2014.''.
       (b) Fiscal Year 1998 Disposal Authority.--Section 
     3305(a)(5) of the National Defense Authorization Act for 
     Fiscal Year 1998 (Public Law 105-85; 50 U.S.C. 98d note), as 
     amended by section 3305 of the National Defense Authorization 
     Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat. 
     1390), is amended by striking ``2006'' and inserting 
     ``2008''.
       (c) Fiscal Year 1997 Disposal Authority.--Section 3303 of 
     the National Defense Authorization Act for Fiscal Year 1997 
     (Public Law 104-201; 50 U.S.C. 98d note), as amended by 
     section 3402(f) of the National Defense Authorization Act for 
     Year 2000 (Public Law 106-65; 113 Stat. 973) and section 
     3304(c) of the National Defense Authorization Act for 2002 
     (Public Law 107-107; 115 Stat. 1390), is amended--
       (1) in subsection (a), by striking paragraph (2) and 
     inserting the following new paragraph (2):
       ``(2) $720,000,000 during the 12-fiscal year period ending 
     September 30, 2008.''; and
       (2) in subsection (b)(2), by striking ``the 10-fiscal year 
     period'' and inserting ``the period''.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

     SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

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

                  TITLE XXXV--MARITIME ADMINISTRATION

     SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 
                   2007.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2007, to be available without fiscal year limitation if 
     so provided in appropriations Acts, for the use of the 
     Department of Transportation for the Maritime Administration 
     as follows:
       (1) For expenses necessary for operations and training 
     activities, $138,647,000, of which $19,500,000 shall be 
     available only for paying reimbursement under section 3517 of 
     the Maritime Security Act of 2003 (46 U.S.C. 53101 note).
       (2) For expenses to dispose of obsolete vessels in the 
     National Defense Reserve Fleet, including provision of 
     assistance under section 7 of Public Law 92-402, $25,740,000.

     SEC. 3502. LIMITATION ON TRANSFER OF MARITIME SECURITY FLEET 
                   OPERATING AGREEMENTS.

       Section 53105(e) of title 46, United States Code, is 
     amended--
       (1) by inserting ``(1) In General.--'' before the first 
     sentence;
       (2) by moving paragraph (1) (as designated by the amendment 
     made by paragraph (1) of this subsection) so as to appear 
     immediately below the heading for such subsection, and 2 ems 
     to the right; and
       (3) by adding at the end the following:
       ``(2) Limitation.--The Secretary of Defense may not approve 
     under paragraph (1) transfer of an operating agreement to a 
     person that is not a citizen of the United States under 
     section 2 of the Shipping Act, 1916 (46 U.S.C. App. 802), 
     unless the Secretary of Defense determines that there is no 
     person who is a citizen under such section and is interested 
     in obtaining the operating agreement for a vessel that is 
     otherwise eligible to be included in the Fleet under section 
     53102(b).''.

     SEC. 3503. APPLICABILITY TO CERTAIN MARITIME ADMINISTRATION 
                   VESSELS OF LIMITATIONS ON OVERHAUL, REPAIR, AND 
                   MAINTENANCE OF VESSELS IN FOREIGN SHIPYARDS.

       Section 11 of the Merchant Ship Sales Act of 1946 (50 
     U.S.C. App. 1744) is amended by inserting after subsection 
     (c) the following:
       ``(d) Applicability of Limitations on Overhaul, Repair, and 
     Maintenance in Foreign Shipyards.--
       ``(1) Application of limitation.--The provisions of section 
     7310 of title 10, United States Code, shall apply to vessels 
     specified in subsection (b), and to the Secretary of 
     Transportation with respect to those vessels, in the same 
     manner as those provisions apply to vessels specified in 
     subsection (b) of such section, and to the Secretary of the 
     Navy, respectively.
       ``(2) Covered vessels.--Vessels specified in this paragraph 
     are vessels maintained by the Secretary of Transportation in 
     support of the Department of Defense, including any vessel 
     assigned by the Secretary of Transportation to the Ready 
     Reserve Force that is owned by the United States.''.

     SEC. 3504. VESSEL TRANSFER AUTHORITY.

       The Secretary of Transportation may transfer or otherwise 
     make available without reimbursement to any other department 
     a vessel under the jurisdiction of the Department of 
     Transportation, upon request by the Secretary of the 
     department that receives the vessel.

     SEC. 3505. UNITED STATES MERCHANT MARINE ACADEMY GRADUATES: 
                   ALTERNATE SERVICE REQUIREMENTS.

       (a) Service on Active Duty.--Section 1303(e) of the 
     Merchant Marine Act, 1936 (46 U.S.C. App. 1295b(e)) is 
     amended by adding at the end the following:
       ``(6)(A) An individual who for the 5-year period following 
     graduation from the Academy, serves as a commissioned officer 
     on active duty in an armed force of the United States or as a 
     commissioned officer in the National Oceanic and Atmospheric 
     Administration shall be excused from the requirements of 
     subparagraphs (C), (D), and (E) of paragraph (1).
       ``(B) The Secretary may modify or waive any of the terms 
     and conditions set forth in paragraph (1) through the 
     imposition of alternative service requirements.''.
       (b) Application.--Paragraph (6) of section 1303(e) of the 
     Merchant Marine Act, 1936 (46 U.S.C. App. 1295b(e)), as added 
     by this subsection, applies only to an individual who enrolls 
     as a cadet at the United States Merchant Marine Academy, and 
     signs an agreement under section paragraph (1) of that 
     section, after the date of the enactment of this Act.

     SEC. 3506. UNITED STATES MERCHANT MARINE ACADEMY GRADUATES: 
                   SERVICE OBLIGATION PERFORMANCE REPORTING 
                   REQUIREMENT.

       (a) In General.--Section 1303(e) of the Merchant Marine 
     Act, 1936 (46 U.S.C. App. 1295b(e)) is further amended by 
     adding at the end the following:
       ``(7)(A) Subject to any otherwise applicable restrictions 
     on disclosure in section 552a of title 5, United States Code, 
     the Secretary of Defense or the Secretary of the department 
     in which the Coast Guard is operating, and the Administrator 
     of the National Oceanic and Atmospheric Administration--
       ``(i) shall report the status of obligated service of an 
     individual graduate of the Academy upon request of the 
     Secretary; and
       ``(ii) may, in their discretion, notify the Secretary of 
     any failure of the graduate to perform the graduate's duties, 
     either on active duty or in the Ready Reserve component of 
     their respective service, or as a commissioned officer of the 
     National Oceanic and Atmospheric Administration, 
     respectively.
       ``(B) A report or notice under subparagraph (A) shall 
     identify any graduate determined to have failed to comply 
     with service obligation requirements and provide all required 
     information as to why such graduate failed to comply.
       ``(C) Upon receipt of such a report or notice, such 
     graduate may be considered to be in default of the graduate's 
     service obligations by the Secretary, and subject to all 
     remedies the Secretary may have with respect to such a 
     default.''.
       (b) Application.--The amendment made by this section does 
     not apply with respect to an agreement entered into under 
     section 1303(e) of the Merchant Marine Act, 1936 (46 U.S.C. 
     1295b(e)) before the date of the enactment of this Act.

     SEC. 3507. TEMPORARY AUTHORITY TO TRANSFER OBSOLETE COMBATANT 
                   VESSELS TO NAVY FOR DISPOSAL.

       The Secretary of Transportation shall, subject to the 
     availability of appropriations and consistent with section 
     1535 of title 31, United States Code, popularly known as the 
     Economy Act, transfer to the Secretary of the Navy during 
     fiscal year 2006 for disposal by the Navy, no fewer than 6 
     combatant vessels in the nonretention fleet of the Maritime 
     Administration that are acceptable to the Secretary of the 
     Navy.

     SEC. 3508. TEMPORARY REQUIREMENT TO MAINTAIN READY RESERVE 
                   FORCE.

       (a) Report to Congress.--The Secretary of Defense, in 
     consultation with the Secretary of Transportation, shall 
     submit to Congress by not later than March 1, 2007, a report 
     describing a five-year plan for maintaining the capability of 
     the Ready Reserve Force of the National Defense Reserve Fleet 
     necessary to support Department of Defense wartime missions 
     and support to civil authority missions.
       (b) Requirement to Maintain the Ready Reserve Force at 
     Current Strength.--The Secretary of Transportation shall 
     maintain 58 vessels in the Ready Reserve Force of the 
     National Defense Reserve Fleet until the end of the 45-day 
     period beginning on the date the report required under 
     subsection (a) is submitted to Congress.

  The Acting CHAIRMAN. No amendment to the committee amendment is in 
order except those printed in House Report 109-459. Each amendment may 
be offered only in the order printed in

[[Page 7777]]

the report, by a Member designated in the report, shall be considered 
read, shall be debatable for the time specified in the report, equally 
divided and controlled by the proponent and an opponent, shall not be 
subject to an amendment, and shall not be subject to a demand for 
division of the question.


                 Amendment No. 1 Offered by Mr. Hunter

  Mr. HUNTER. Mr. Chairman, I offer an amendment.
  The Acting CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Amendment No. 1 printed in House Report 109-459 offered by 
     Mr. Hunter:
       At the end of subtitle B of title I (page 22, after line 
     21), insert the following new section:

     SEC. 115. FUNDING FOR CALL FOR FIRE TRAINER/JOINT FIRES AND 
                   EFFECTS TRAINER SYSTEM.

       (a) In General.--The amount provided in section 101(5) for 
     Other Procurement, Army, is hereby increased by $4,000,000, 
     to be available for a Call for Fire Trainer II/Joint Fires 
     and Effects Trainer System (JFETS) under Line 161 Training 
     Devices, Nonsystem (NA0100).
       (b) Offset.--The amount provided in section 201(1) for 
     Research, Development, Test, and Evaluation, Army, is hereby 
     reduced by $4,000,000, to be derived from the Joint Tactical 
     Radio System account (Program Element 0604280A).
       At the end of title I (page 40, after line 23), insert the 
     following new section:

     SEC. 1__. AIR FORCE PROGRAM.

       (a) Science Engineering Lab Data Integration.--The amount 
     provided in section 103 for Other Procurement, Air Force, is 
     hereby increased by $6,000,000, to be available for Science 
     Engineering Lab Data Integration (SELDI) at the Ogden Air 
     Logistics Center, Utah.
       (b) Offset.--The amount provided in section 201(4) for 
     Research, Development, Test, and Evaluation, Defense-wide, is 
     hereby reduced by $6,000,000, to be derived from Information 
     and Communications Technology (Program Element 0602301E).
       At the end of section 346 (page 98, after line 11) insert 
     the following new subsection:
       (e) Exception for Non-Line-of-sight Cannon System.--This 
     section does not apply with respect to the obligation of 
     funds for systems development and demonstration of the non-
     line-of-sight cannon system.
       At the end of subtitle D of title VI (page 229, after line 
     16), insert the following new section:

     SEC. 6XX. STUDY ON RETENTION OF MEMBERS OF THE ARMED FORCES 
                   WITHIN SPECIAL OPERATIONS COMMAND.

       Not later than 90 days after the date of the enactment of 
     this Act, the Secretary of Defense shall submit to the 
     Committee on Armed Services of the Senate and the Committee 
     on Armed Services of the House of Representatives a report on 
     means to improve retention of members of the Armed Forces who 
     have a special operations forces designation. The report 
     shall include the following:
       (1) The effect on retention of such members if special pays 
     were included in the computation of retired pay for those 
     members with a minimum of 48 months of Hostile Fire Pay 
     (consecutive or nonconsecutive) at the time of retirement.
       (2) Information on the cost of training of members of the 
     Armed Forces who have a special operations forces 
     designation, with such information displayed separately for 
     each such designation and shown as aggregate costs of 
     training for such members at the 4-year, 8-year, 12-year, 16-
     year, and 20-year points of service.
       (3) A statement, in the case of members of the Armed Forces 
     with a special operations forces designation who have been 
     deployed at least twice, of the average amount spent on 
     special operations unique training, both predeployment and 
     during deployment.
       (4) For each component of the United States Special 
     Operations Command, an estimate of when the assigned strength 
     of that component will be not less than 90 percent of the 
     authorized strength of that component, taking into account 
     anticipated growth that is mentioned in the most recent 
     Quadrennial Defense Review.
       (5) The average amount of time a member of the Armed Forces 
     with a special operations forces designation is deployed to 
     areas that warrant Hostile Fire Pay.
       (6) The percentage of members of the Armed Forces with a 
     special operations forces designation who have accumulated 
     over 48 months of Hostile Fire Pay and the percentage who 
     have accumulated over 60 months of such pay.
       Strike section 662 (page 235, line 20, through page 236, 
     line 18) and insert the following new section:

     SEC. 662. PILOT PROJECT FOR PROVISION OF GOLF CARTS 
                   ACCESSIBLE FOR DISABLED PERSONS AT MILITARY 
                   GOLF COURSES.

       (a) Pilot Project Required.--The Secretary of Defense shall 
     conduct a pilot project at a significant number of military 
     golf courses, to be selected by the Secretary, for the 
     purpose of developing--
       (1) an implementation strategy to make available, as soon 
     as practicable at all military golf courses in the United 
     States, an adequate supply of golf carts that are accessible 
     for disabled persons authorized to use such courses; and
       (2) a Department-wide campaign to increase the awareness 
     among such disabled persons of the availability of accessible 
     golf carts and to promote the use of military golf courses by 
     such disabled persons.
       (b) Required Number of Accessible Golf Carts.-- The 
     Secretary shall provide at least two accessible golf carts at 
     each pilot project location.
       (c) Pilot Project Locations.--The military golf courses 
     selected to participate in the pilot project shall be 
     geographically dispersed, except that at least one of the 
     military golf courses shall be in the Washington metropolitan 
     area. The Secretary may not select a military golf course to 
     participate in the pilot project if that military golf course 
     already has golf carts that are accessible for disabled 
     persons.
       (d) Department of Defense Health Care Awareness.--Military 
     medical treatment facilities shall provide information to 
     patients about the pilot project and the availability of 
     accessible golf carts at military golf courses participating 
     in the pilot project and at other military golf courses that 
     already provide accessible golf carts.
       (e) Duration.--The Secretary shall conduct the pilot 
     project for a minimum of one year.
       (f) Report Required.--Not later than 180 days after the 
     conclusion of the pilot project, the Secretary shall submit a 
     report to Congress containing the results of the project and 
     the recommendations of the Secretary regarding how to make an 
     adequate supply of accessible golf carts available at all 
     military golf courses in the United States.
       Page 241, line 6, strike ``December 31, 2007'' and insert 
     ``October 1, 2007''.
       Page 249, line 12, strike ``Section'' and insert 
     ``Effective October 1, 2007, section''.
       Page 249, line 14, strike ``The'' and insert ``Effective 
     October 1, 2007, the''.
       At the end of subtitle D of title XXVIII (page 504, after 
     line 7), insert the following new section:

     SEC. 28__. LAND CONVEYANCE, NORTH HILLS ARMY RESERVE CENTER, 
                   ALLISON PARK, PENNSYLVANIA.

       (a) Conveyance Authorized.--The Secretary of the Army may 
     convey to the North Allegheny School District (in this 
     section referred to as the ``School District'') all right, 
     title, and interest of the United States in and to a parcel 
     of real property consisting of approximately 11.15 acres and 
     containing the North Hills Army Reserve Center in Allison 
     Park, Pennsylvania, for the purpose of permitting the School 
     District to use the property for educational and recreational 
     purposes and for parking facilities related thereto.
       (b) Consideration.--The Secretary may waive any requirement 
     for consideration in connection with the conveyance under 
     subsection (a) if the Secretary determines that, were the 
     conveyance of the property to be made under subchapter III of 
     chapter 5 of title 40, United States Code, for the same 
     purpose specified in subsection (a), the conveyance could be 
     made without consideration.
       (c) Reversionary Interest.--If the Secretary determines at 
     any time that the real property conveyed under subsection (a) 
     is not being used in accordance with the purposes of the 
     conveyance specified in such subsection, all right, title, 
     and interest in and to all or any portion of the property 
     shall revert, at the option of the Secretary, to the United 
     States, and the United States shall have the right of 
     immediate entry onto the property. Any determination of the 
     Secretary under this subsection shall be made on the record 
     after an opportunity for a hearing.
       (d) Payment of Costs of Conveyance.--
       (1) Payment required.--The Secretary shall require the 
     School District to cover costs to be incurred by the 
     Secretary, or to reimburse the Secretary for costs incurred 
     by the Secretary, to carry out the conveyance under 
     subsection (a), including survey costs, costs related to 
     environmental documentation, and other administrative costs 
     related to the conveyance. If amounts are collected from the 
     School District in advance of the Secretary incurring the 
     actual costs, and the amount collected exceeds the costs 
     actually incurred by the Secretary to carry out the 
     conveyance, the Secretary shall refund the excess amount to 
     the School District.
       (2) Treatment of amounts received.--Amounts received as 
     reimbursement under paragraph (1) shall be credited to the 
     fund or account that was used to cover the costs incurred by 
     the Secretary in carrying out the conveyance. Amounts so 
     credited shall be merged with amounts in such fund or 
     account, and shall be available for the same purposes, and 
     subject to the same conditions and limitations, as amounts in 
     such fund or account.
       (e) Description of Property.--The exact acreage and legal 
     description of the real property to be conveyed under 
     subsection (a) shall be determined by a survey satisfactory 
     to the Secretary.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional

[[Page 7778]]

     terms and conditions in connection with the conveyance under 
     subsection (a) as the Secretary considers appropriate to 
     protect the interests of the United States.
       Strike sections 2853, 2854, and 2855 (page 506, line 1, 
     through page 510, line 16).

  The Acting CHAIRMAN. Pursuant to House Resolution 806, the gentleman 
from California (Mr. Hunter) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from California.
  Mr. HUNTER. Mr. Chairman, this is a manager's amendment that has been 
worked out with both sides. And briefly, Mr. Chairman, this adds a 
section to add $4 million for the call of the fire trainer/joint fires 
and effects trainer with an offset of $4 million from the Joint 
Tactical Radio System.
  It adds a section to add $6 million to the Air Force Science 
Engineering Lab Data Integration with an offset of $6 million from IT, 
PE 0602301E.
  It adds an exception for the non-line-of-sight cannon system from the 
requirement in section 346, subsection C.
  It adds a section requiring the Secretary of Defense to submit a 
report on means to improve retention of members of the Special 
Operations Forces.
  It strikes and replaces section 662 requiring the Secretary of 
Defense to conduct a pilot project for disabled persons accessible golf 
carts at military golf courses that allows our disabled personnel and 
wounded personnel to be able to participate in golf.
  It incorporates a technical correction to the TRICARE effective dates 
in section 704 and 709 of the bill. It adds a section conveying Army 
Reserve Center land in Allison Park, Pennsylvania, to the local school 
districts; and it strikes sections 2853, 2854, 2855.
  Mr. Chairman, I reserve the balance of my time.
  Mr. ANDREWS. Mr. Chairman, even though we are not in opposition, I 
ask unanimous consent to claim the time.
  The Acting CHAIRMAN. Is there objection to the request of the 
gentleman from New Jersey?
  There was no objection.
  Mr. ANDREWS. Mr. Chairman, I yield back the balance of my time.
  Mr. HUNTER. Mr. Chairman, I yield back the balance of my time.
  The Acting CHAIRMAN. The question is on the amendment offered by the 
gentleman from California (Mr. Hunter).
  The amendment was agreed to.


                 Amendment No. 2 Offered by Mr. Andrews

  Mr. ANDREWS. Mr. Chairman, I offer an amendment.
  The Acting CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Amendment No. 2 printed in House Report 109-459 offered by 
     Mr. Andrews:
       In section 312, insert after subsection (d) (page 63, after 
     line 9) the following new subsection (e) (and redesignate 
     existing subsection (e) as subsection (f)):
       (e) Epidemiological Study on Human Populations.--The 
     Secretary shall conduct an epidemiological study on human 
     populations in the vicinity of military munitions disposal 
     sites within covered United States ocean waters for the 
     purpose of determining whether people have been affected by 
     the presence of military munitions in these waters. The 
     Secretary shall include the results of the study in the 
     report referred to in subsection (a)(4).

  The Acting CHAIRMAN. Pursuant to House Resolution 806, the gentleman 
from New Jersey (Mr. Andrews) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from New Jersey.
  Mr. ANDREWS. Mr. Chairman, it surprised me to know, a little over a 
year ago to find that rather significant quantities of chemical weapons 
and the residue of chemical weapons had been dumped off the Atlantic 
coast at 19 different sites.
  Now, it is important to understand that this dumping took place 
before an international treaty prohibited such dumping, so the United 
States was not in violation of any of its international obligations. 
And it is important to understand that much of this dumping took place 
at a time when our own Federal and State laws were either lax or 
nonexistent with respect to the handling of such materials.
  The purpose of my amendment is most definitely not to point out any 
wrongdoing by the Department of Defense or the services. However, it is 
the purpose of my amendment to do something about the problem and 
finding out about the scope of the problem. We are talking here about 
arsenic, mustard gas, other very serious and very lethal substances 
which have been disposed of off of our coast over a period which dates 
back as far as World War I and went into the early part of the 1970s.
  Now, what to do about this question requires a calm, factual 
analysis. Frankly, there would be one reaction that would say, well, we 
should just go find where the stuff is and dig it up and do something 
with it. I am not an expert in this field, but I am enough of an expert 
to know that that kind of hasty reaction might do a lot more harm than 
good. So the bill already contains some extensive reporting 
requirements which requires the Department of Defense to tell us where 
such dump sites are, how long these various chemical weapons and 
residues have been there.
  My amendment adds one more requirement. It calls for the Department 
of Defense to do an epidemiological study of the impact, if any, on 
human health that has resulted from the disposal of these weapons over 
the years. The amendment does not prescribe a particular method of the 
study. It does not limit or expand any of the areas of inquiry.
  It says to the Department of Defense, use your best scientific 
judgment and produce for us epidemiological studies that will answer 
the question as to whether there has been any measurable adverse impact 
on human health as a result of these dumping practices that took place 
from the early part of the 20th century until the 1970s.
  The purpose of this study would then be to give us the facts that we 
need to determine the best course of action to protect human health.
  Now, that may be to simply leave the status quo as it is. It may be 
to enact some measures that would preclude people from going to these 
areas of the sea. It may necessitate some removal. I think it is very 
important though that we approach this problem based upon the best 
scientific evidence of the impact on human health and not based upon 
any reaction that is based upon fear or ignorance.
  So I would ask that the Members of the House support this amendment 
so that we may get these facts in front of us and deal with disposing 
of any threat to humanity that may exist.

                              {time}  1545

  Madam Chairman, I reserve the balance of my time.
  Mr. WILSON of South Carolina. Madam Chairman, although I am not 
opposed to the amendment, I request unanimous consent to claim the time 
in opposition.
  The Acting CHAIRMAN (Mrs. Biggert). Without objection, the gentleman 
is recognized for 5 minutes.
  There was no objection.
  Mr. WILSON of South Carolina. I am very happy to join with my 
colleague from New Jersey, and I share the same surprise as he that the 
accepted means of disposal of military munitions was to dump them off 
the coast.
  I appreciate your efforts. I appreciate the efforts of our colleague, 
Congressman Abercrombie of Hawaii, to raise this issue. I know 
personally that I had the privilege of growing up in Charleston, South 
Carolina, right on the coast. I now represent many beautiful and 
pristine communities along the south Atlantic coast.
  These are areas crucial for homebuilding, which is the basis of our 
society. I want to do all I can to promote the homebuilding industry, 
the ability of people from New Jersey in particular to come down and 
visit some very beautiful resort areas of South Carolina.
  Mr. ANDREWS. If the gentleman would yield, I would actually prefer 
that he rephrase that so that the South Carolinians visit the New 
Jersey coast, which is obviously a superior vacation spot.
  Mr. WILSON of South Carolina. We can share this together, because I 
have visited the shores of New Jersey and I invite you to visit the 
beaches of South Carolina. This is so important.
  In addition, I would like to point out that what you are proposing 
indeed

[[Page 7779]]

would provide valuable information concerning the situation of military 
munitions disposal. It is really reassuring to know now how we have 
modern disposal methods.
  My oldest son served for a year in Iraq. He had been trained for 
munitions collection and ultimate destruction of munitions. It is done 
now, obviously, with the intent of protecting the environment of the 
country in which they are located and to protect our troops, protect 
American families.
  Madam Chairman, I yield back the balance of my time.
  Mr. ANDREWS. Madam Chairman, I yield back the balance of my time.
  The Acting CHAIRMAN. All time having expired, the question is on the 
amendment offered by the gentleman from New Jersey (Mr. Andrews).
  The amendment was agreed to.


                 Amendment No. 3 Offered by Mr. Andrews

  Mr. ANDREWS. Madam Chairman, on behalf of my friend from California, 
I offer her amendment.
  The Acting CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Amendment No. 3 printed in House Report 109-459 offered by 
     Mr. Andrews:
       Add at the end of title VII the following new section:

     SEC. 7__. LIMITING RESTRICTION OF USE OF DEPARTMENT OF 
                   DEFENSE MEDICAL FACILITIES TO PERFORM ABORTIONS 
                   TO FACILITIES IN THE UNITED STATES.

        Section 1093(b) of title 10, United States Code, is 
     amended by inserting ``in the United States'' after 
     ``Defense''.

  The Acting CHAIRMAN. Pursuant to House Resolution 806, the gentleman 
from New Jersey (Mr. Andrews) and the gentleman from Kansas (Mr. Ryun) 
each will control 10 minutes.
  The Chair recognizes the gentleman from New Jersey.
  Mr. ANDREWS. Madam Chairman, I yield as much time as she should 
consume to the author of the amendment, my friend from California.
  Mrs. DAVIS of California. Madam Chairman, in his first appearance as 
our Commander in Chief, President Bush told servicemembers at Fort 
Stewart, you deserve a military that treats you and your families with 
respect. Well, I couldn't agree more.
  Today we are considering how the defense bill can demonstrate our 
respect for the people who serve in uniform by providing for their 
equipment, their training and their well-being. Together with my 
colleagues today, I am offering an amendment to lift the current ban on 
abortion services in overseas military hospitals.
  Under current law, women serving our country overseas have to return 
home to the U.S. for medical services after obtaining permission from 
their commanding officer and finding space on military transport. Their 
only other option is venturing out to a hospital in a foreign country.
  Madam Chair, I believe we can do better. I would just like to clarify 
a few points about this amendment. No Federal funds would be used for 
those procedures. Women would use their own funds, and that would 
include overhead costs as well, for overhead costs. This amendment 
affects only U.S. military facilities overseas in countries where 
abortion is legal, and it also observes the refusal clauses and will 
not force providers to perform abortions.
  Madam Chair, women serving in uniform are fighting to protect our 
freedom and our rights. Yet these women do not receive the protection 
of the Constitution they so ably defend. Even for those who don't 
require this service, the presence of this ban sends a demoralizing 
message. I believe we can do better.
  Today, I have heard Chairman Hunter and certainly Mr. McHugh and 
others who have spoken so eloquently about how this bill incorporates 
important military personnel issues. I support this bill, and I support 
the work that went into it. I support the compassion and the passion of 
my colleagues on the House Armed Services Committee.
  But I do believe, Madam Chair, that if we don't lift this ban we 
continue to make women serving in uniform, who face the intimate, most 
personal issue, we continue to make these women invisible to us.
  Madam Chair, I reserve the balance of my time and look forward to my 
colleagues' comments.
  The Acting CHAIRMAN. Without objection, the gentlewoman from 
California (Mrs. Davis) will control the time in favor of the 
amendment.
  There was no objection.
  Mr. RYUN of Kansas. Madam Chairman, I yield myself such time as I may 
consume.
  Madam Chairman, I strongly oppose this amendment. Allowing self-
funded abortions would simply turn our military hospitals overseas into 
abortion clinics.
  Proponents of this amendment often claim that female servicemembers 
and dependents overseas are denied equal access to health care, 
effectively putting their life and health in harm's way. This is simply 
not true. If a woman chooses to have an abortion, abortion clinics are 
accessible overseas. If a woman prefers to have an abortion in the 
United States, that is available to her under current law as well.
  Furthermore, these installations already offer self-funded abortions 
when the life of the mother is in danger or when the pregnancy is as a 
result of rape or incest.
  There is no demonstrated need for expanding abortion access. 
Furthermore, this amendment does not seek to address operational 
requirements or to ensure access through entitlement. What it does, 
however, is unnecessarily insert a politically divisive issue into the 
defense authorization process.
  Although this amendment is presented as providing for solely self-
funded abortions, the fact is that American taxpayers will be forced to 
pay for the use of military facilities, the procurement of additional 
equipment needed to perform abortions, and the use of military 
personnel to perform abortions. Even if an additional equipment fee is 
charged to the patient, it cannot possibly account for all the expenses 
involved.
  Military hospitals or military doctors signed up to save the lives of 
dedicated servicemen and women, not to end the lives of babies. It 
would be wrong for Congress to pressure or coerce these doctors into 
performing a procedure they morally object to.
  I ask my colleagues to vote against turning military hospitals into 
abortion clinics and vote against this amendment.
  Madam Chairman, I reserve the balance of my time.
  Mrs. DAVIS of California. Madam Chairman, I yield 2 minutes to the 
gentlewoman from California (Ms. Harman).
  Ms. HARMAN. I thank the gentlewoman for yielding.
  Madam Chair, I was proud to serve on the Armed Services Committee for 
6 years. I have supported this amendment since I first offered it in 
1997. I salute my California sisters, Mrs. Davis and Ms. Sanchez, who 
have ably taken up the cause.
  I became a grandmother for the first time this year. I surely hope 
that before my granddaughter is old enough to serve in the military 
this amendment will become law.
  Madam Chair, over 200,000 women serve in the U.S. military and 
approximately 12,000 currently serve in Iraq and Afghanistan. These 
women are flying helicopters and fighter aircraft. They are driving 
support vehicles, patrolling bomb ridden highways and shouldering 
weapons. They serve as an example and an inspiration to the women they 
meet around the world, and they break down stereotypes held by many 
men. Yet in some critical ways, women in the military are treated as 
second class citizens by their own government.
  Under current law a servicewoman stationed abroad cannot obtain a 
safe, legal procedure to terminate a pregnancy in a U.S. military 
health facility. Instead, she must either take medical leave to return 
to the U.S. or gamble with a foreign hospital and face the prospect of 
language barriers, unfamiliar cultural expectations and vastly 
different standards of medical care. This is wrong.
  Let me be perfectly clear. The amendment does not force military 
doctors to perform abortions, nor does

[[Page 7780]]

it require any taxpayer dollars. What it does, however, is give 
servicewomen and female military dependents stationed abroad the same 
constitutional rights as women living here.
  When an individual puts on the uniform of the U.S. Armed Forces, she 
or he accepts the profound responsibility of defending our Nation and 
protecting our cherished freedoms. A woman who puts her life on the 
line to defend the fundamental rights of all Americans should not be 
deprived of her own fundamental right to choose. Vote for the Davis-
Harman-Sanchez amendment.
  Mr. RYUN of Kansas. Madam Chairman, I yield 1 minute to the gentleman 
from Georgia (Mr. Gingrey).
  Mr. GINGREY. Madam Chairman, I rise today in opposition to the Davis 
amendment, which authorizes military doctors to perform abortions at 
military overseas hospitals. This policy was rejected every year for 
the last 10 years, and I look forward once more to voting against it.
  Current law was signed by President Clinton in 1996 and bans the use 
of military facilities for abortions except in the case of incest, rape 
or where the life of the mother is at risk.
  Rest assured, women in the military do have access to the elective 
medical procedures they want. Therefore, this debate is not about a 
woman's right to obtain treatment. This debate is about maintaining the 
principal mission of military medical centers to heal and to protect 
human life.
  Madam Chair, this amendment overturns this mission and turns these 
facilities into abortion clinics at the American taxpayer's expense.
  I, for one, will not support the use of Federal funds or military 
hospitals to promote or to perform abortions.
  Mrs. DAVIS of California. Madam Chairman, I yield 1 minute to the 
gentlewoman from California (Ms. Lee).
  Ms. LEE. I want to thank the gentlewoman for yielding and for her 
leadership. I rise in strong support of this amendment.
  It would lift the ban on privately funded abortion care at overseas 
military bases where abortion is legal. Currently servicewomen or women 
military dependents are forbidden from using their own personal funds 
to obtain an abortion if they are stationed overseas.
  Enacting this amendment will put an end to this discriminatory policy 
against the 350,000 women in our military who are serving our country 
each and every day. We must ensure that servicewomen overseas are 
guaranteed their legal right to access comprehensive health care 
services. We must demand that servicewomen overseas can obtain the same 
quality and range of medical care available to them in the United 
States.
  We must protect those who risk their lives each and every day to 
protect their country. Let us reject this administration's ongoing 
politically motivated war on women and let's start by adopting this 
important commonsense amendment.
  I urge my colleagues to vote ``yes'' on the Davis-Harman-Sanchez 
amendment and provide our servicewomen with access to their 
constitutionally protected right to choose.
  Mr. RYUN of Kansas. Madam Chair, I yield 1\1/2\ minutes to the 
gentlewoman from North Carolina (Ms. Foxx).
  Ms. FOXX. I thank the gentleman from Kansas.
  Madam Chairman, I rise in strong opposition to the Davis amendment. 
Military treatment centers, which are dedicated to healing, nurturing 
and saving lives, should not be forced into the business of ending 
lives. This amendment, plain and simple, turns these facilities into 
abortion clinics by repealing a prolife provision, a prolife provision 
which was signed into law by President Clinton as part of the National 
Defense Authorization Act in 1996.
  This amendment contradicts fundamental U.S. military values such as 
honor, courage and taking responsibility for one's own actions. We 
believe that life begins at conception and that it is sacred. As 
Members of Congress, we should do all we can to protect life. That is 
what our military hospitals are doing.
  Instead, while we stand here today, opportunist pro-abortion Members 
are once again belittling and devaluing the sanctity of human life. If 
this inappropriate amendment were adopted, not only would taxpayers' 
hard-earned dollars be used to perform abortions on demand on our 
military bases, but our military medical personnel would be forced to 
perform abortions against their will.

                              {time}  1600

  Instead of equipping our armed services personnel with the tools 
needed to operate and treat wounded or ill troops and defend America, 
this amendment would mandate that our military personnel perform 
abortions and kill human fetuses. This is unacceptable.
  This amendment must be rejected today, just as it has been in the 
past five Congresses. I urge my colleagues to join me in protecting 
human life by voting against the Davis amendment.
  Mrs. DAVIS of California. Madam Chairman, I yield 1 minute to the 
gentlewoman from Florida (Ms. Wasserman Schultz).
  Ms. WASSERMAN SCHULTZ. Madam Chairman, American women have a 
constitutional right to choice as guaranteed by the right to privacy. 
However, our servicewomen and the wives and daughters of our 
servicemembers are denied this basic right when stationed at military 
installations overseas. This amendment guarantees that women who 
selflessly pledge to defend our Constitution at all costs are afforded 
the same rights that they fight to uphold.
  Current law allows women stationed overseas to access abortion 
services on a military base only after an act of rape or incest or when 
her life is in danger. It is bad enough that victims of rape or incest 
have to pay for these procedures out of their own pocket. But as 
American women, it is unconscionable that they cannot access the same 
safe, clean and legal reproductive services available to women here the 
United States, even if they are paying for it themselves.
  Are we really asking these brave and noble women, who are ready to 
make the ultimate sacrifice, to relinquish the same rights that they 
fight so valiantly to uphold and defend?
  I encourage my colleagues to stand with our servicewomen as they put 
their lives on the line. Lift the ban on privately funded abortions and 
support this amendment.
  Mr. RYUN of Kansas. Mr. Chairman, I yield 1\1/2\ minutes to the 
gentlewoman from Michigan (Mrs. Miller).
  Mrs. MILLER of Michigan. Mr. Chairman, I thank the gentleman for 
yielding.
  Mr. Chairman, I rise today in very strong opposition to this 
amendment. I voted against this amendment in the House Armed Services 
Committee just last week where it was overwhelmingly defeated, and I 
intend to vote against it today as well.
  The health care professionals who serve our brave men and women in 
uniform in the military health system are dedicated to preserving life, 
and I have visited many military hospitals and witnessed the heroic 
efforts to preserve the lives of those wounded in battle, and we honor 
their service, we honor their dedication.
  This amendment would allow these great lifesaving medical facilities 
to be used as abortion clinics, and abortion is not the mission of the 
military health system. The mission is to save lives, not destroy 
innocent human lives.
  Mr. Chairman, I applaud the great service and the sacrifice of the 
dedicated health care professionals serving our military. These men and 
women face great challenges in healing those who have been wounded in 
battle, and through their efforts we have seen dramatic drops in the 
number of troops who die from these wounds. Their efforts have truly 
been heroic.
  Let them continue to focus on saving the lives of our men and women 
in uniform, and not taking the most innocent of human lives.
  I urge my colleagues to defeat this amendment.
  Mrs. DAVIS of California. Mr. Chairman, I yield 1 minute to the 
gentleman from Connecticut (Mr. Shays).

[[Page 7781]]


  Mr. SHAYS. Mr. Chairman, I rise in support of the Davis amendment 
which would lift the ban on personally funded abortion care provided at 
overseas military bases.
  Since over 200,000 women serve overseas in military bases and are 
denied the right under Roe v. Wade to terminate a pregnancy, we need 
this legislation. This legislation would restore the right of a female 
service member who has been stationed overseas to use their own funds 
to obtain an abortion as they would be able to do if they were back 
home.
  I urge adoption of this amendment. And I speak adamantly against our 
present policy that while allowing women who have been raped or been 
impregnated by a family member or whose life is in danger because of an 
unhealthy pregnancy to have an abortion, they have to pay for it 
themselves. That is wrong.
  While we are not addressing this issue today at least we can move 
forward with the Davis amendment.
  Mr. RYUN of Kansas. Mr. Chairman, I yield 2 minutes to the gentleman 
from Arizona (Mr. Renzi).
  Mr. RENZI. Mr. Chairman, I thank the gentleman from Kansas for his 
leadership on this issue.
  First and foremost, I stand against this amendment because it 
authorizes the destruction of innocent human life, the most innocent, 
the most defenseless, the voiceless in our society.
  We talk about the fact that the cost will be provided by a private 
individual. Not true. This authorizes prolife Americans to have to 
underwrite the cost of building the facilities, training the 
physicians, training the nurses, equipping the facilities. Underwriting 
the cost will be borne by prolife Americans.
  Requiring military hospitals to perform elective abortions exposes 
the physicians, the nurses, the military personnel to move against 
their own personal convictions of life in many cases. Imagine a full 
colonel directing, giving military orders, to a young major who is 
prolife, a prolife doctor who is a major, giving him military orders to 
perform an abortion. His military career would be over.
  The Most Reverend Edwin O'Brien, Archbishop for Military Services, 
said, ``Military hospitals have an outstanding record of saving life 
even in the most challenging times and conditions. Their commitment 
extends to the smallest of human beings. Please allow them to continue 
abiding by these values.''
  I stand by those Americans, those prolife Americans, who do not want 
to underwrite and have our prolife dollars going to military hospitals. 
I stand by those prolife doctors and nurses who don't want to be given 
military orders to perform an abortion.
  Mrs. DAVIS of California. Mr. Chairman, I yield 1 minute to the 
gentlewoman from New York (Mrs. Maloney).
  Mrs. MALONEY. Mr. Chairman, I thank the gentlewoman for yielding.
  Mr. Chairman, I rise in strong support of this amendment. This 
amendment is about treating the women who serve our country in the 
United States military fairly and with respect.
  Current law forbids female military personnel from obtaining 
abortions using their own funds from overseas military hospitals. This 
amendment allows U.S. servicewomen access to reproductive health care 
abroad, just as they would receive at home.
  A male member of the armed services needing medical attention 
receives the best, and all his medical needs are covered. But a female 
member needing a specific medical procedure must return to the United 
States, often at great expense, or go to a foreign hospital, which may 
be unsanitary and dangerous. This is absolutely wrong and unfair.
  No taxpayer money would be used to fund any abortions. The 
servicewomen themselves would pay for their own care. The amendment 
would simply lift the ban on privately funded abortion care in U.S. 
military hospitals.
  Right now, many women are overseas protecting our constitutional 
rights. We should protect their constitutional rights by passing this 
amendment.
  Mr. RYUN of Kansas. Mr. Chairman, at this time, I am pleased to yield 
1 minute to the gentleman from Nebraska (Mr. Fortenberry).
  Mr. FORTENBERRY. Mr. Chairman, thank you for this opportunity to join 
my colleagues in challenging this amendment which has been defeated by 
the full House for 10 consecutive years.
  The core purpose of our military hospitals is to care for servicemen 
and women, particularly those who are wounded in the line of duty 
defending our country.
  U.S. taxpayers should not be forced by the government to have their 
hard-earned funds used for the taking of innocent human lives. They 
should continue to have the free choice to say ``no'' to funding 
abortions.
  The U.S. military health care facilities overseas witness more than 
their fair share of violence. Military health care personnel understand 
that the Hippocratic Oath is a solemn commitment to heal and nurture 
life. Let's not abandon this legacy and force our constituents to foot 
the bill.
  Women deserve better than abortion. As a people, we should strive to 
be a just and loving society that does not abandon persons to the 
choice for abortion, particularly at taxpayer expense, but helps women 
even through the most difficult circumstances.
  Mrs. DAVIS of California. Mr. Chairman, I have one more speaker and 
will close. I reserve the balance of my time.
  Mr. RYUN of Kansas. Mr. Chairman, I yield 1 minute to the gentleman 
from Arizona (Mr. Franks).
  Mr. FRANKS of Arizona. Mr. Chairman, first and foremost, America is 
an ideal, and that ideal is that all of us are created equal and 
endowed by our Creator with certain inalienable rights, and the first 
one of those is the right to live. Our men and women across the 
centuries have fought and died to uphold that ideal.
  Now, suddenly, to turn the hospitals that we set forth to deal with 
their needs overseas into abortion clinics abrogates everything that 
they fought and died for. It is an undermining of everything that 
America is.
  Our foundation is to be able to look to people across the world and 
say that in America, life, liberty and the pursuit of happiness, life, 
liberty and property, these basic rights are something that we will 
protect.
  I hear the other side often using terms like ``safe,'' ``legal,'' 
``clean,'' but it ignores one absolute reality, and that is that every 
time an abortion takes place, a nameless little baby dies a lonely, 
tragic death, a mother is never the same, and everything that child 
might have brought to humanity is lost forever.
  God help us not to turn our military hospitals into abortion clinics, 
and to stain the very foundations of this Nation with the blood of our 
own children.
  Mrs. DAVIS of California. Mr. Chairman, I yield 1 minute to the 
gentlewoman from Texas (Ms. Jackson-Lee).
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I will be happy to yield back 
some of that time to the distinguished proponent of this amendment. I 
thank her for her leadership, and the leadership of Ms. Harman and Ms. 
Sanchez.
  Mr. Chairman, I simply want to say that this is a question certainly 
of the flag and the Declaration of Independence and the rights of all 
Americans. But what it says is that the men and women of the United 
States military have equality, the equal rights to good health care and 
health procedures all over the world, wherever they serve.
  This is a good amendment. I associate myself with this amendment, and 
I ask that you vote for the men and women of the United States military 
and allow this amendment by Mrs. Davis, Ms. Harman, Ms. Sanchez, to 
support the women of the United States military to have equal access to 
good health care and to be able to secure appropriate procedures 
regarding their female surgical needs at overseer military facilities.
  Mr. RYUN of Kansas. Mr. Chairman, I yield the balance of my time from 
this side to the gentleman from New Jersey (Mr. Smith).
  Mr. SMITH of New Jersey. Mr. Chairman, I thank my friend for 
yielding.
  Mr. Chairman, the Davis amendment seeks to turn our military 
hospitals into abortion mills. With all due respect to my friend and 
colleague from

[[Page 7782]]

California, the amendment will result in babies being brutally killed 
by abortion, and women will be harmed and prolife Americans will be 
forced to facilitate and subsidize the slaughter of innocent children.
  Abortion is violence against children, Mr. Chairman, and it harms 
women. Some methods including dismembering and ripping apart the 
fragile bodies of these children. Other methods include chemical 
poison. RU-486, a baby pesticide that was rushed to approval by the 
Clinton administration bypassing safety protocals along the way isn't 
just lethal to babies; it kills women as well. It is poison. Several 
women have died after taking RU-486.
  Mr. Chairman, one of the methods depicted to my left is the D&E 
method. It is a common later-term method of abortion in which the arms 
and the legs and the torso of the baby are painfully hacked into 
pieces. The Davis amendment, make no mistake about it, would authorize 
this kind of child abuse.
  Mr. Chairman, we can't allow that to happen. We can't kill babies 
like this. With all due respect to my friend, this is child abuse and 
it harms women. Vote against the Davis amendment.
  Mr. Chairman, I thank my friend for yielding me time, and I thank him 
for his affirming the inherent value and dignity of both mothers and 
children.
  Mr. Chairman, 90 percent of the hospitals in the United States today 
refuse to abort unborn children, and the trend is for hospitals to 
divest themselves of this violence against children.
  Yet as hospitals in our country repudiate abortion, because abortion 
kills, the Davis amendment seeks to turn our overseas military 
hospitals into abortion mills. With all due respect to the gentlewoman 
from California, the amendment she offers will result in babies being 
brutally killed by abortion. It will harm women, and it will force pro-
life Americans to facilitate and subsidize the slaughter of innocent 
children.
  Abortion is violence against children and it harms women. Some 
methods of abortion dismember and rip apart the fragile little bodies 
of children. Other methods chemically poison kids. RU-486--a baby 
pesticide that was rushed to FDA approval by the Clinton Administration 
by waiving numerous safety protocols including the use of Subchapter 
H--isn't just lethal to babies, but has killed several women. It is 
poison. Abortion has turned children's bodies into burned corpses, the 
direct result of the caustic effect of the chemicals.
  Now we know as well, Mr. Chairman, from science and from medicine 
that due to the nerve cell development, unborn children from at least 
20 weeks onward, and most likely even earlier, feel excruciating pain. 
They feel pain, two to four times more pain than you and I would feel 
from the same assault. So abortion mills aren't just child killing 
mills--but they are torture chambers as well.
  One of those methods depicted to my left on this poster board, the D 
and E method, it is a common, later-term method of abortion, in which 
the arms and the legs and the torso are painfully hacked into pieces. 
The Davis amendment would authorize this child abuse in military 
hospitals. We can't let that happen.
  Finally, Mr. Speaker, Dr. Alveda King, niece of the late Dr. Martin 
Luther King, has said, ``How can the dream survive if we murder the 
children?''
  Dr. King, who has had two abortions herself, but is now pro-life and 
bravely speaks out, says, ``We can no longer sit idly by and allow this 
horrible spirit of murder to cut down and cut away our unborn. This is 
the day to choose life.'' Dr. King goes on to say, ``We must allow our 
babies to live. If the dream of Dr. Martin Luther King is to live, our 
babies must live.''
  There is nothing benign or nurturing or curing about abortion. It is 
violence against children. It dismembers them. It chemically poisons 
them.
  Vote down the Davis amendment.
  Mrs. DAVIS of California. Mr. Chairman, I yield myself the balance of 
my time.
  Mr. Chairman, as we consider this amendment today, I want to urge my 
colleagues to reflect on the following: We ask women to serve in the 
military. We trust women in the military to secure our safety. We ask 
women to put their lives at risk for our freedoms. They have saved many 
lives as they have gone to war for us.
  So I ask you, ladies and gentlemen, let us not turn our backs on the 
women in uniform in our country.
  The Acting CHAIRMAN (Mr. Culberson). All time having expired on this 
debate, the question is on the amendment offered by the gentleman from 
New Jersey (Mr. Andrews).
  The question was taken; and the Acting Chairman announced that the 
noes appeared to have it.
  Mrs. DAVIS of California. Mr. Chairman, I demand a recorded vote.
  The Acting CHAIRMAN. Pursuant to clause 6 of rule XVIII, further 
proceedings on the amendment offered by the gentleman from New Jersey 
will be postponed.

                              {time}  1615


          Amendment No. 4 Offered by Ms. Jackson-Lee of Texas

  Ms. JACKSON-LEE of Texas. Mr. Chairman, I offer an amendment.
  The Acting CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Amendment No. 4 printed in House Report 109-459 offered by 
     Ms. Jackson-Lee of Texas:
       Page 117, after line 6, add the following new subparagraph 
     (B) (and redesignate existing subparagraphs (B) and (C) 
     accordingly):
       ``(B) the frequency of assignments during service 
     career;''.

  The Acting CHAIRMAN. Pursuant to House Resolution 806, the 
gentlewoman from Texas (Ms. Jackson-Lee) and a Member opposed each will 
control 5 minutes.
  The Chair recognizes the gentlewoman from Texas.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I thank the chairman and 
ranking member of a committee that really protects the lives of our 
soldiers on the front line and their families.
  Mr. Chairman, I hope today that my colleagues will join me in a 
bipartisan effort to give a gift to our soldiers' families. I 
understand the gravity of this bill, both in the consequences that 
these provisions will have on our ability to protect and defend 
ourselves at home and abroad as well as the debate and consideration of 
which our colleagues on the Armed Services Committee engage to do this 
good job on behalf of the men and women of the Armed Forces.
  For this particular reason, I would like to call attention to a 
clarification that is needed when providing for fair treatment of 
members in the Selected Reserve and Individual Ready Reserve. Members 
of the Individual Ready Reserve are former enlisted soldiers and 
officers who have some military service obligation remaining but who 
choose not to fulfill it in the Guard or Reserve.
  Unlike members of the National Guard or Reserve, Individual Reserves 
do not perform regularly scheduled training and receive no pay unless 
they are called up.
  Mr. SKELTON. Mr. Chairman, will the gentlewoman yield?
  Ms. JACKSON-LEE of Texas. I yield to the gentleman from Missouri.
  Mr. SKELTON. Mr. Chairman, let me compliment the gentlewoman on this 
amendment. It eminently makes sense. It adds the words that the 
frequency of assignments during service career as one of the several 
factors that the Secretary of Defense should consider in calling 
Selected Reservists to active duty.
  I think it is well done. As you know, a good number of them have been 
asked on a frequent basis to serve, when in truth and fact, if they 
look at the records closely, they might not very well have called those 
particular people. It just requires them to consider and take a good 
look at it. I compliment the gentlewoman.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I reserve the balance of my 
time.
  Mrs. DRAKE. Mr. Chairman, although I am not opposed to the amendment, 
I request unanimous consent to claim the time in opposition.
  The Acting CHAIRMAN. Without objection, the gentlewoman's request is 
so ordered.
  There was no objection.
  Mrs. DRAKE. Mr. Chairman, section 511 of the underlying bill 
establishes several factors that should be considered when deciding 
whether a member of the Selected Reserve should be involuntarily 
mobilized under what is known as Presidential Select Reserve.
  These factors include length and nature of previous service and 
family responsibilities. This amendment adds an

[[Page 7783]]

additional category, frequency of assignments throughout a career.
  For the last 15 years, the members of the Reserve components have 
responded magnificently when mobilized. They have answered the Nation's 
call repeatedly in Desert Storm, Kosovo, Afghanistan, Iraq and other 
places. So smoothly have these mobilizations gone that it is sometimes 
easy to forget that each time the orders went out jobs were set aside, 
lives were disrupted and dreams were put on hold.
  This amendment recognizes the fact that Reservists have been 
repeatedly mobilized and that as long as they remain members of the 
Reserve components they will be subject to future mobilizations. The 
decision to involuntarily mobilize members of the Selected Reserves 
should never be taken lightly, and the commitment and dedication of 
these men and women should never be unfairly tasked.
  This amendment recognizes these ideals. I commend the gentlewoman 
from Texas for offering it. Mr. Chairman, I support this amendment and 
ask my colleagues to do the same.
  Mr. Chairman, I reserve the balance of my time.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I yield myself such time as I 
may consume.
  Mr. Chairman, I thank the gentlewoman for her kind support. Might I 
just say that in joining in a bipartisan manner, I am pleased that this 
provision recognizes and takes into account the fact that a Reservist 
and a National Guard member needs the support and love of his or her 
family, or that the needs of a family and a home are highly valued by 
our military and our country.
  The inclusion of this passage and this language in the bill affirms 
and asserts the fact that we are a Nation of morals and honorable 
decision makers. The length and nature of previous service also should 
have a large part in the consideration of recalling a Reservist back to 
duty.
  The bill specifies that this provision is to share any exposure to 
harmful materials in order to stay within the reasonable limits of 
national security and military standards. Therefore, the frequency of 
assignment is also an important question, and the fact that we are 
clarifying it today and instilling and including that in the bill is 
going to give Reservists and National Guard families a great deal of 
celebration.
  Let me tell you a very pointed story. One constituent from Houston 
who was born in Texas, has lived his whole life in Texas, called 
because he was confused and concerned, not because he did not love his 
country, not because he did not enjoy serving, but he wanted to try and 
understand the fact that he was redeployed three times in a 4-year 
period, a man who has a family, had a job, and of course we know it was 
mentally and emotionally draining and of course heart-breaking to leave 
his family.
  Therefore, this amendment will help the many Reservists and families 
and the National Guard families all over America. Serving your country 
is noble, honorable and generates pride in one's self and one's 
country. Re-serving your country is no less noble. That is the 
constituency we serve today. Yet it can damage morale, particularly if 
the individual is not career military, if we do not take into 
consideration the frequency of their service.
  I thank my colleagues, and I ask my colleagues to support this 
amendment on behalf of the military families all over America, Re-
reservists and National Guard who will benefit from understanding their 
plight and their situation.
  Mr. Chairman, I appreciate the opportunity today to offer an 
amendment to the National Defense Reauthorization Act that clarifies 
the factors that must be taken into consideration when recalling a 
reservist to service to include the frequency of assignment over the 
duration of a reservist's career.
  I understand the gravity of this bill, both in the consequences that 
these provisions will have on our ability to protect and defend 
ourselves at home and abroad, as well as the debate and consideration 
in which our colleagues on the Armed Services Committee engaged.
  For this particular reason, I would like to call attention to a 
clarification that is needed when providing for fair treatment of 
members in the Selected Reserve and Individual Ready Reserve.
  Members of the Individual Ready Reserve are former enlisted soldiers 
and officers who have some military service obligation remaining but 
who chose not to fulfill it in the Guard or Reserve. Unlike members of 
the National Guard and Reserve, individual reservists do not perform 
regularly scheduled training and receive no pay unless they are called 
up.
  Forty percent of American troops in Iraq are from National Guard and 
Reserve units. For many, the financial sacrifices are great. Many lose 
the salaries they were earning in the private sector, and their 
families are struggling to pay bills. 57 percent of National Guard 
members and reservists have cited too many activations and/or 
deployments as a reason to leave the military, and 66 percent of Guard 
members and reservists express that they are likely to continue in the 
Guard or Reserve.
  In the case where it is necessary for these reserves to be recalled 
to duty without their consent, the bill currently provides for 
appropriate consideration to be given to the length and nature of 
previous service, family responsibilities, and employment necessary to 
maintain the national health, safety, or interest.
  I am pleased that this provision recognizes and takes into account 
the fact that a reservist needs the support and love of his or her 
family, or that the needs of a family and a home are highly valued by 
our military. The inclusion of this passage in the bill affirms and 
asserts the fact that we are a nation of moral and honorable decision-
makers.
  The length and nature of previous service also should have a large 
part in the consideration of recalling a reservist back to duty. The 
bill specifies that this provision is to share any exposure to harmful 
materials in order to stay within the reasonable limits of national 
security and military standards.
  Related to this, however, is the fact that the frequency of 
assignment must also be taken into consideration. As we have seen, our 
reservists are brave citizens and soldiers who have willingly traveled 
to the other side of the world to defend their homeland. If these were 
career military we were talking about, I do not think that frequency 
should necessarily be considered.
  However, we must take the occurrence, and not just the length of 
time, of previous service into account when recalling reservists. One 
tour of four years is substantially different than four tours of one 
year. I am not making a qualitative or quantitative judgment, or that 
one reservist should be preferred over another.
  One constituent from Houston, who was born in Texas and has lived his 
whole life in Texas, called because he was confused and concerned that 
the 4 years he served over a 6 year time span would not be recognized 
by the military as he thought it should be. His three separate 
deployments were mentally and emotionally heartbreaking, and I heard 
his point clearly: His situation should be considered as dissimilar to 
an individual who had been deployed once and served 4 non-interrupted 
years.
  The number of times an individual has been deployed must be included 
when recalling a reservist to duty, just as are family 
responsibilities, previous length and nature of service, and employment 
consequences.
  Serving your country is noble, honorable, and generates pride in 
oneself and one's country. Re-serving your country is no less noble, 
yet can damage morale, particularly if the individual is not career 
military.
  I urge my colleagues to support this measure.
  Mr. Chairman, I yield back the balance of my time.
  Mrs. DRAKE. Mr. Chairman, I yield back the balance of my time.
  The Acting CHAIRMAN. The question is on the amendment offered by the 
gentlewoman from Texas (Ms. Jackson-Lee).
  The question was taken; and the Acting Chairman announced that the 
ayes appeared to have it.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I demand a recorded vote.
  This is a bipartisan amendment that is supported by Members on both 
sides. In order to give our Reservist families a moment of celebration, 
I would like the yeas and nays so that they can see the vote on the 
floor in support of Reservists and National Guard families.
  The Acting CHAIRMAN. Pursuant to clause 6 of rule XVIII, further 
proceedings on the amendment offered by the gentlewoman from Texas will 
be postponed.


                 Amendment No. 5 Offered by Mr. Tanner

  Mr. TANNER. Mr. Chairman, I offer an amendment.

[[Page 7784]]

  The Acting CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Amendment No. 5 printed in House Report 109-459 offered by 
     Mr. Tanner:
       At the end of subtitle D of title V (page 131, after line 
     20), add the following new section:

     SEC. 534. REPORT ON USING SIX-MONTH DEPLOYMENTS FOR OPERATION 
                   ENDURING FREEDOM AND OPERATION IRAQI FREEDOM.

       (a) Sense of Congress.--It is the sense of Congress that 
     the Secretary of the Army should continue to further evaluate 
     and consider--
       (1) the potential benefits of converting to six-month 
     overseas deployments for members of the Army, including 
     members of the Army National Guard and the Army Reserve, in 
     connection with Operation Enduring Freedom and Operation 
     Iraqi Freedom; and
       (2) the potential impacts of such reduced deployment 
     periods on morale, recruiting, retention, readiness, and the 
     conduct of military operations.
       (b) Report Required.--Not later than 90 days after the date 
     of the enactment of this Act, the Secretary of the Army shall 
     submit to Congress a report containing--
       (1) the results of any surveys conducted with soldiers and 
     their dependents by the Department of the Army regarding the 
     proposal to reduce deployment times for members of the Army 
     in connection with Operation Enduring Freedom and Operation 
     Iraqi Freedom to a maximum of six months;
       (2) potential plans for the Department to implement such 
     reduced deployment times;
       (3) a discussion of potential benefits associated with 
     implementation of such reduced deployment times, such as 
     improved members and family morale and increased recruiting 
     and retention; and
       (4) a discussion of potential drawbacks associated with 
     implementation of such reduced deployment times, such as 
     impacts on readiness, the conduct of operations, and 
     forecasted additional costs.

  The Acting CHAIRMAN. Pursuant to House Resolution 806, the gentleman 
from Tennessee (Mr. Tanner) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from Tennessee.
  Mr. TANNER. Mr. Chairman, the Army has been talking about adjusting 
the length of deployment in some manner, and there has been ongoing 
discussions about that with the Army Chief of Staff and others, and 
this amendment merely asks the Secretary of the Army to give to the 
Congress a report on the relative pros and cons, what they are finding 
out and what they intend to do within I believe it is 90 days of the 
date this amendment passes.
  Mr. Chairman, I would urge acceptance of this amendment.
  Mr. Chairman, I reserve the balance of my time.
  Mrs. DRAKE. Mr. Chairman, although I am not opposed to the amendment, 
I request unanimous consent to claim the time in opposition.
  The Acting CHAIRMAN. Without objection, the gentlewoman's request is 
so ordered.
  There was no objection.
  Mrs. DRAKE. Mr. Chairman, I rise in support of the amendment. I thank 
the gentleman for his amendment and for the opportunity to evaluate the 
length of time served.
  Mr. Chairman, I urge all of my colleagues to support the amendment.
  Mr. Chairman, I yield back the balance of my time.
  Mr. TANNER. Mr. Chairman, I yield back the balance of my time.
  The Acting CHAIRMAN. The question is on the amendment offered by the 
gentleman from Tennessee (Mr. Tanner).
  The amendment was agreed to.
  Mrs. DRAKE. Mr. Chairman, I move that the Committee do now rise.
  The motion was agreed to.
  Accordingly, the Committee rose; and the Speaker pro tempore (Mr. 
Franks of Arizona) having assumed the chair, Mr. Culberson, Acting 
Chairman of the Committee of the Whole House on the State of the Union, 
reported that that Committee, having had under consideration the bill 
(H.R. 5122) to authorize appropriations for fiscal year 2007 for 
military activities of the Department of Defense, to prescribe military 
personnel strengths for fiscal year 2007, and for other purposes, had 
come to no resolution thereon.

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