    [106th Congress Public Law 398]
    [From the U.S. Government Publishing Office]

    <DOC>
    [DOCID: f:publ398.106]

    [[Page 114 STAT. 1654]]

    Public Law 106-398
    106th Congress

                                     An Act

    To authorize appropriations for fiscal year 2001 for military activities
     of the Department of Defense, <<NOTE: Oct. 30, 2000 -  [H.R. 4205]>>
    for military construction, and for defense activities of the Department
    of Energy, to prescribe personnel strengths for such fiscal year for the
                      Armed Forces, and for other purposes.

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

    SECTION 1. <<NOTE: Incorporation by reference.>>  ENACTMENT OF FISCAL
                YEAR 2001 NATIONAL DEFENSE AUTHORIZATION ACT.

        The provisions of H.R. 5408 of the 106th Congress, as introduced on
    October 6, 2000, are hereby enacted into law.

    SEC. 2. PUBLICATION OF ACT. <<NOTE: 1 USC 112 note.>>

        In publishing this Act in slip form and in the United States
    Statutes at Large pursuant to section 112 of title 1, United States
    Code, the Archivist of the United States shall include after the date of
    approval an appendix setting forth the text of the bill referred to in
    section 1.

        Approved October 30, 2000.

    LEGISLATIVE HISTORY--H.R. 4205 (S. 2549) (S. 2550):
    ---------------------------------------------------------------------------

    HOUSE REPORTS: Nos. 106-616 (Comm. on Armed Services) and 106-945 (Comm.
    of Conference).
    SENATE REPORTS: No. 106-292 accompanying S. 2549 (Comm. on Armed
    Services).
    CONGRESSIONAL RECORD, Vol. 146 (2000):
                May 17, 18 considered and passed House.
                July 13, considered and passed Senate, amended.
                Oct. 11, House agreed to conference report.
                Oct. 12, Senate agreed to conference report.
    WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 36 (2000):
                Oct. 30, Presidential statement.
    ---------------------------------------------------------------------------

    __________
    ---------------------------------------------------------------------------

        ENDNOTE: The following appendix was added pursuant to the provisions
    of sections 1 and 2 of this Act.

                                      <all>

    [[Page 114 STAT. 1654A-1]]

                               APPENDIX--H.R. 5408

    SECTION 1. SHORT TITLE; FINDINGS.

        (a) Short Title.--This Act may be cited as the ``Floyd D. Spence
    National Defense Authorization Act for Fiscal Year 2001''.
        (b) Findings.--Congress makes the following findings:
                (1) Representative Floyd D. Spence of South Carolina was
            elected to the House of Representatives in 1970, for service in
            the 92d Congress, after serving in the South Carolina
            legislature for 10 years, and he has been reelected to each
            subsequent Congress.
                (2) Representative Spence came to Congress as a
            distinguished veteran of service in the Armed Forces of the
            United States.
                (3) Upon graduation from college in 1952, Representative
            Spence was commissioned as an ensign in the United States Naval
            Reserve. After entering active duty, he served with distinction
            aboard the USS CARTER HALL and the USS LSM-397 during the Korean
            War and later served as commanding officer of a Naval Reserve
            Surface Division and as group commander of all Naval Reserve
            units in Columbia, South Carolina. Representative Spence retired
            from the Naval Reserve in 1988 in the grade of captain, after 41
            years of dedicated service.
                (4) Upon election to the House of Representatives,
            Representative Spence became a member of the Committee on Armed
            Services of that body. During 30 years of service on that
            committee (4 years of which were served while the committee was
            known as the Committee on National Security), Representative
            Spence's contributions to the national defense and security of
            the United States have been profound and long lasting.
                (5) Representative Spence served as chairman of that
            committee while known as the Committee on National Security
            during the 104th and 105th Congresses and serves as chairman of
            that committee for the 106th Congress. In addition,
            Representative Spence served as the ranking minority member of
            the Committee on Armed Services during the 103d Congress.
                (6) Dozens of awards from active duty and reserve military,
            veterans service, military retiree, and industry organizations
            and associations have recognized the distinguished character of
            Representative Spence's service to the Nation.
                (7) Representative Spence has been a leading figure in the
            debate over many of the most critical military readiness, health
            care, recruiting, and retention issues currently confronting the
            Nation's military. His concern for the men and women in uniform
            has been unwavering, and his accomplishments in promoting and
            gaining support for those issues that preserve

    [[Page 114 STAT. 1654A-2]]

            the combat effectiveness, morale, and quality of life of the
            Nation's military personnel have been unparalleled.
                (8) During his tenure as chairman of the Committee on
            National Security and the Committee on Armed Services of the
            House of Representatives, Representative Spence has--
                        (A) led efforts to identify and reverse the effect
                    that declining resources and rising commitments have had
                    on military quality of life for service members and
                    their families, on combat readiness, and on equipment
                    modernization, with a direct result of those diligent
                    efforts and of his willingness to be an outspoken
                    proponent for America's military being that Congress has
                    added nearly $50,000,000,000 to the President's defense
                    budgets over the past 5 years;
                        (B) been a leading proponent of the need to
                    expeditiously develop and field a national missile
                    defense to protect American citizens and forward
                    deployed military forces from growing ballistic missile
                    threats;
                        (C) advocated reversing the growing disparity
                    between actual military capability and the requirements
                    associated with the National Military Strategy; and
                        (D) led efforts in Congress to reform Department of
                    Defense acquisition and management headquarters and
                    infrastructure and business practices.
                (9) This Act is the 30th annual authorization bill for the
            Department of Defense for which Representative Spence has taken
            a major responsibility as a member of the Committee on Armed
            Services of the House of Representatives (including 4 years
            while that committee was known as the Committee on National
            Security).
                (10) In light of the findings in the preceding paragraphs,
            it is altogether fitting and proper that this Act be named in
            honor of Representative Floyd D. Spence of South Carolina, as
            provided in subsection (a).

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

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

        (b) Table of Contents.--The table of contents for this Act is as
    follows:

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

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

    Sec. 101. Army.
    Sec. 102. Navy and Marine Corps.
    Sec. 103. Air Force.
    Sec. 104. Defense-wide activities.
    Sec. 105. Defense Inspector General.

    [[Page 114 STAT. 1654A-3]]

    Sec. 106. Defense Health Program.

                            Subtitle B--Army Programs

    Sec. 111. Multiyear procurement authority.
    Sec. 112. Increase in limitation on number of bunker defeat munitions
               that may be acquired.
    Sec. 113. Reports and limitations relating to Army transformation.

                            Subtitle C--Navy Programs

    Sec. 121. CVNX-1 nuclear aircraft carrier program.
    Sec. 122. Arleigh Burke class destroyer program.
    Sec. 123. Virginia class submarine program.
    Sec. 124. Limitation during fiscal year 2001 on changes in submarine
               force structure.
    Sec. 125. ADC(X) ship program.
    Sec. 126. Refueling and complex overhaul program of the U.S.S. Dwight D.
               Eisenhower.
    Sec. 127. Analysis of certain shipbuilding programs.
    Sec. 128. Helicopter support of FFG-7 frigates during fiscal year 2001.
    Sec. 129. V-22 cockpit aircraft voice and flight data recorders.

                         Subtitle D--Air Force Programs

    Sec. 131. Annual report on B-2 bomber.
    Sec. 132. Report on modernization of Air National Guard F-16A units.

                           Subtitle E--Joint Programs

    Sec. 141. Study of final assembly and checkout alternatives for the
               Joint Strike Fighter program.

                      Subtitle F--Chemical Demilitarization

    Sec. 151. Pueblo Chemical Depot chemical agent and munitions destruction
               technologies.
    Sec. 152. Report on assessment of need for Federal economic assistance
               for communities impacted by chemical demilitarization
               activities.
    Sec. 153. Prohibition against disposal of non-stockpile chemical warfare
               material at Anniston chemical stockpile disposal facility.

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

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for basic and applied research.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Management of Space-Based Infrared System--Low.
    Sec. 212. Joint Strike Fighter program.
    Sec. 213. Fiscal year 2002 joint field experiment.
    Sec. 214. Nuclear aircraft carrier design and production modeling.
    Sec. 215. DD-21 class destroyer program.
    Sec. 216. Limitation on Russian American Observation Satellites program.
    Sec. 217. Joint biological defense program.
    Sec. 218. Report on biological warfare defense vaccine research and
               development programs.
    Sec. 219. Cost limitations applicable to F-22 aircraft program.
    Sec. 220. Unmanned advanced capability combat aircraft and ground combat
               vehicles.
    Sec. 221. Global Hawk high altitude endurance unmanned aerial vehicle.
    Sec. 222. Army space control technology development.

                      Subtitle C--Ballistic Missile Defense

    Sec. 231. Funding for fiscal year 2001.
    Sec. 232. Reports on ballistic missile threat posed by North Korea.
    Sec. 233. Plan to modify ballistic missile defense architecture.
    Sec. 234. Management of Airborne Laser program.

                     Subtitle D--High Energy Laser Programs

    Sec. 241. Funding.
    Sec. 242. Implementation of High Energy Laser Master Plan.
    Sec. 243. Designation of senior official for high energy laser programs.
    Sec. 244. Site for Joint Technology Office.

    [[Page 114 STAT. 1654A-4]]

    Sec. 245. High energy laser infrastructure improvements.
    Sec. 246. Cooperative programs and activities.
    Sec. 247. Technology plan.
    Sec. 248. Annual report.
    Sec. 249. Definition.
    Sec. 250. Review of defense-wide directed energy programs.

                            Subtitle E--Other Matters

    Sec. 251. Reports on mobile offshore base concept and potential use for
               certain purposes of technologies associated with that
               concept.
    Sec. 252. Air Force science and technology planning.
    Sec. 253. Enhancement of authorities regarding education partnerships
               for purposes of encouraging scientific study.
    Sec. 254. Recognition of those individuals instrumental to naval
               research efforts during the period from before World War II
               through the end of the Cold War.

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Armed Forces Retirement Home.
    Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
    Sec. 305. Joint warfighting capabilities assessment teams.

                      Subtitle B--Environmental Provisions

    Sec. 311. Establishment of additional environmental restoration account
               and use of accounts for operation and monitoring of
               environmental remedies.
    Sec. 312. Certain environmental restoration activities.
    Sec. 313. Annual reports under Strategic Environmental Research and
               Development Program.
    Sec. 314. Payment of fines and penalties for environmental compliance at
               Fort Wainwright, Alaska.
    Sec. 315. Payment of fines or penalties imposed for environmental
               compliance violations at other Department of Defense
               facilities.
    Sec. 316. Reimbursement for certain costs in connection with the former
               Nansemond Ordnance Depot Site, Suffolk, Virginia.
    Sec. 317. Necessity of military low-level flight training to protect
               national security and enhance military readiness.
    Sec. 318. Ship disposal project.
    Sec. 319. Defense Environmental Security Corporate Information
               Management Program.
    Sec. 320. Report on Plasma Energy Pyrolysis System.
    Sec. 321. Sense of Congress regarding environmental restoration of
               former defense manufacturing site, Santa Clarita, California.

       Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

    Sec. 331. Use of appropriated funds to cover operating expenses of
               commissary stores.
    Sec. 332. Adjustment of sales prices of commissary store goods and
               services to cover certain expenses.
    Sec. 333. Use of surcharges for construction and improvement of
               commissary stores.
    Sec. 334. Inclusion of magazines and other periodicals as an authorized
               commissary merchandise category.
    Sec. 335. Use of most economical distribution method for distilled
               spirits.
    Sec. 336. Report on effects of availability of slot machines on United
               States military installations overseas.

             Subtitle D--Department of Defense Industrial Facilities

    Sec. 341. Designation of Centers of Industrial and Technical Excellence
               and public-private partnerships to increase utilization of
               such centers.
    Sec. 342. Unutilized and underutilized plant-capacity costs of United
               States arsenals.
    Sec. 343. Arsenal support program initiative.
    Sec. 344. Codification and improvement of armament retooling and
               manufacturing support programs.

         Subtitle E--Performance of Functions by Private-Sector Sources

    Sec. 351. Inclusion of additional information in reports to Congress
               required before conversion of commercial or industrial type
               functions to contractor performance.

    [[Page 114 STAT. 1654A-5]]

    Sec. 352. Effects of outsourcing on overhead costs of Centers of
               Industrial and Technical Excellence and Army ammunition
               plants.
    Sec. 353. Consolidation, restructuring, or reengineering of Department
               of Defense organizations, functions, or activities.
    Sec. 354. Monitoring of savings resulting from workforce reductions as
               part of conversion of functions to performance by private
               sector or other strategic sourcing initiatives.
    Sec. 355. Performance of emergency response functions at chemical
               weapons storage installations.
    Sec. 356. Suspension of reorganization or relocation of Naval Audit
               Service.

                    Subtitle F--Defense Dependents Education

    Sec. 361. Eligibility of dependents of American Red Cross employees for
               enrollment in Department of Defense domestic dependent
               schools in Puerto Rico.
    Sec. 362. Assistance to local educational agencies that benefit
               dependents of members of the Armed Forces and Department of
               Defense civilian employees.
    Sec. 363. Impact aid for children with severe disabilities.
    Sec. 364. Assistance for maintenance, repair, and renovation of school
               facilities that serve dependents of members of the Armed
               Forces and Department of Defense civilian employees.

                      Subtitle G--Military Readiness Issues

    Sec. 371. Measuring cannibalization of parts, supplies, and equipment
               under readiness reporting system.
    Sec. 372. Reporting requirements regarding transfers from high-priority
               readiness appropriations.
    Sec. 373. Effects of worldwide contingency operations on readiness of
               military aircraft and equipment.
    Sec. 374. Identification of requirements to reduce backlog in
               maintenance and repair of defense facilities.
    Sec. 375. New methodology for preparing budget requests to satisfy Army
               readiness requirements.
    Sec. 376. Review of AH-64 aircraft program.
    Sec. 377. Report on Air Force spare and repair parts program for C-5
               aircraft.

                            Subtitle H--Other Matters

    Sec. 381. Annual report on public sale of certain military equipment
               identified on United States Munitions List.
    Sec. 382. Resale of armor-piercing ammunition disposed of by the Army.
    Sec. 383. Reimbursement by civil air carriers for support provided at
               Johnston Atoll.
    Sec. 384. Travel by Reserves on military aircraft.
    Sec. 385. Overseas airlift service on Civil Reserve Air Fleet aircraft.
    Sec. 386. Additions to plan for ensuring visibility over all in-transit
               end items and secondary items.
    Sec. 387. Reauthorization of pilot program for acceptance and use of
               landing fees charged for use of domestic military airfields
               by civil aircraft.
    Sec. 388. Extension of authority to sell certain aircraft for use in
               wildfire suppression.
    Sec. 389. Damage to aviation facilities caused by alkali silica
               reactivity.
    Sec. 390. Demonstration project to increase reserve component internet
               access and services in rural communities.
    Sec. 391. Additional conditions on implementation of Defense Joint
               Accounting System.
    Sec. 392. Defense Travel System.
    Sec. 393. Review of Department of Defense costs of maintaining
               historical properties.

                   TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Revision in permanent end strength minimum levels.
    Sec. 403. Adjustment to end strength flexibility authority.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for Reserves on active duty in support of the
               reserves.
    Sec. 413. End strengths for military technicians (dual status).
    Sec. 414. Fiscal year 2001 limitation on non-dual status technicians.
    Sec. 415. Increase in numbers of members in certain grades authorized to
               be on active duty in support of the Reserves.

    [[Page 114 STAT. 1654A-6]]

            Subtitle C--Other Matters Relating to Personnel Strengths

    Sec. 421. Authority for Secretary of Defense to suspend certain
               personnel strength limitations during war or national
               emergency.
    Sec. 422. Exclusion from active component end strengths of certain
               reserve component members on active duty in support of the
               combatant commands.
    Sec. 423. Exclusion of Army and Air Force medical and dental officers
               from limitation on strengths of reserve commissioned officers
               in grades below brigadier general.
    Sec. 424. Authority for temporary increases in number of reserve
               component personnel serving on active duty or full-time
               national guard duty in certain grades.

                   Subtitle D--Authorization of Appropriations

    Sec. 431. Authorization of appropriations for military personnel.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

    Sec. 501. Eligibility of Army and Air Force Reserve colonels and
               brigadier generals for position vacancy promotions.
    Sec. 502. Flexibility in establishing promotion zones for Coast Guard
               Reserve officers.
    Sec. 503. Time for release of reports of officer promotion selection
               boards.
    Sec. 504. Clarification of requirements for composition of active-duty
               list selection boards when reserve officers are under
               consideration.
    Sec. 505. Authority to issue posthumous commissions in the case of
               members dying before official recommendation for appointment
               or promotion is approved by Secretary concerned.
    Sec. 506. Technical corrections relating to retired grade of reserve
               commissioned officers.
    Sec. 507. Grade of chiefs of reserve components and directors of
               National Guard components.
    Sec. 508. Revision to rules for entitlement to separation pay for
               regular and reserve officers.

                 Subtitle B--Reserve Component Personnel Policy

    Sec. 521. Exemption from active-duty list for reserve officers on active
               duty for a period of three years or less.
    Sec. 522. Termination of application requirement for consideration of
               officers for continuation on the reserve active-status list.
    Sec. 523. Authority to retain Air Force Reserve officers in all medical
               specialties until specified age.
    Sec. 524. Authority for provision of legal services to reserve component
               members following release from active duty.
    Sec. 525. Extension of involuntary civil service retirement date for
               certain reserve technicians.

                       Subtitle C--Education and Training

    Sec. 531. Eligibility of children of Reserves for Presidential
               appointment to service academies.
    Sec. 532. Selection of foreign students to receive instruction at
               service academies.
    Sec. 533. Revision of college tuition assistance program for members of
               Marine Corps Platoon Leaders Class program.
    Sec. 534. Review of allocation of Junior Reserve Officers Training Corps
               units among the services.
    Sec. 535. Authority for Naval Postgraduate School to enroll certain
               defense industry civilians in specified programs relating to
               defense product development.

               Subtitle D--Decorations, Awards, and Commendations

    Sec. 541. Limitation on award of Bronze Star to members in receipt of
               imminent danger pay.
    Sec. 542. Consideration of proposals for posthumous or honorary
               promotions or appointments of members or former members of
               the Armed Forces and other qualified persons.
    Sec. 543. Waiver of time limitations for award of certain decorations to
               certain persons.
    Sec. 544. Addition of certain information to markers on graves
               containing remains of certain unknowns from the U.S.S.
               Arizona who died in the Japanese attack on Pearl Harbor on
               December 7, 1941.

    [[Page 114 STAT. 1654A-7]]

    Sec. 545. Sense of Congress on the court-martial conviction of Captain
               Charles Butler McVay, Commander of the U.S.S. Indianapolis,
               and on the courageous service of the crew of that vessel.
    Sec. 546. Posthumous advancement on retired list of Rear Admiral Husband
               E. Kimmel and Major General Walter C. Short, senior officers
               in command in Hawaii on December 7, 1941.
    Sec. 547. Commendation of citizens of Remy, France, for World War II
               actions.
    Sec. 548. Authority for award of the Medal of Honor to William H.
               Pitsenbarger for valor during the Vietnam War.

            Subtitle E--Military Justice and Legal Assistance Matters

    Sec. 551. Recognition by States of military testamentary instruments.
    Sec. 552. Policy concerning rights of individuals whose names have been
               entered into Department of Defense official criminal
               investigative reports.
    Sec. 553. Limitation on Secretarial authority to grant clemency for
               military prisoners serving sentence of confinement for life
               without eligibility for parole.
    Sec. 554. Authority for civilian special agents of military department
               criminal investigative organizations to execute warrants and
               make arrests.
    Sec. 555. Requirement for verbatim record in certain special court-
               martial cases.
    Sec. 556. Commemoration of the 50th anniversary of the Uniform Code of
               Military Justice.

                   Subtitle F--Matters Relating to Recruiting

    Sec. 561. Army recruiting pilot programs.
    Sec. 562. Enhancement of recruitment market research and advertising
               programs.
    Sec. 563. Access to secondary schools for military recruiting purposes.
    Sec. 564. Pilot program to enhance military recruiting by improving
               military awareness of school counselors and educators.

                            Subtitle G--Other Matters

    Sec. 571. Extension to end of calendar year of expiration date for
               certain force drawdown transition authorities.
    Sec. 572. Voluntary separation incentive.
    Sec. 573. Congressional review period for assignment of women to duty on
               submarines and for any proposed reconfiguration or design of
               submarines to accommodate female crew members.
    Sec. 574. Management and per diem requirements for members subject to
               lengthy or numerous deployments.
    Sec. 575. Pay in lieu of allowance for funeral honors duty.
    Sec. 576. Test of ability of reserve component intelligence units and
               personnel to meet current and emerging defense intelligence
               needs.
    Sec. 577. National Guard Challenge Program.
    Sec. 578. Study of use of civilian contractor pilots for operational
               support missions.
    Sec. 579. Reimbursement for expenses incurred by members in connection
               with cancellation of leave on short notice.

               TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Increase in basic pay for fiscal year 2001.
    Sec. 602. Additional restructuring of basic pay rates for enlisted
               members.
    Sec. 603. Revised method for calculation of basic allowance for
               subsistence.
    Sec. 604. Family subsistence supplemental allowance for low-income
               members of the Armed Forces.
    Sec. 605. Basic allowance for housing.
    Sec. 606. Additional amount available for fiscal year 2001 increase in
               basic allowance for housing inside the United States.
    Sec. 607. Equitable treatment of junior enlisted members in computation
               of basic allowance for housing.
    Sec. 608. Eligibility of members in grade E-4 to receive basic allowance
               for housing while on sea duty.
    Sec. 609. Personal money allowance for senior enlisted members of the
               Armed Forces.
    Sec. 610. Increased uniform allowances for officers.
    Sec. 611. Cabinet-level authority to prescribe requirements and
               allowance for clothing of enlisted members.
    Sec. 612. Increase in monthly subsistence allowance for members of
               precommissioning programs.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 621. Extension of certain bonuses and special pay authorities for
               reserve forces.

    [[Page 114 STAT. 1654A-8]]

    Sec. 622. Extension of certain bonuses and special pay authorities for
               nurse officer candidates, registered nurses, and nurse
               anesthetists.
    Sec. 623. Extension of authorities relating to payment of other bonuses
               and special pays.
    Sec. 624. Revision of enlistment bonus authority.
    Sec. 625. Consistency of authorities for special pay for reserve medical
               and dental officers.
    Sec. 626. Elimination of required congressional notification before
               implementation of certain special pay authority.
    Sec. 627. Special pay for physician assistants of the Coast Guard.
    Sec. 628. Authorization of special pay and accession bonus for pharmacy
               officers.
    Sec. 629. Correction of references to Air Force veterinarians.
    Sec. 630. Career sea pay.
    Sec. 631. Increased maximum rate of special duty assignment pay.
    Sec. 632. Entitlement of members of the National Guard and other
               reserves not on active duty to receive special duty
               assignment pay.
    Sec. 633. Authorization of retention bonus for members of the Armed
               Forces qualified in a critical military skill.
    Sec. 634. Entitlement of active duty officers of the Public Health
               Service Corps to special pays and bonuses of health
               professional officers of the Armed Forces.

                Subtitle C--Travel and Transportation Allowances

    Sec. 641. Advance payments for temporary lodging of members and
               dependents.
    Sec. 642. Additional transportation allowance regarding baggage and
               household effects.
    Sec. 643. Incentive for shipping and storing household goods in less
               than average weights.
    Sec. 644. Equitable dislocation allowances for junior enlisted members.
    Sec. 645. Authority to reimburse military recruiters, Senior ROTC cadre,
               and military entrance processing personnel for certain
               parking expenses.
    Sec. 646. Expansion of funded student travel for dependents.

               Subtitle D--Retirement and Survivor Benefit Matters

    Sec. 651. Exception to high-36 month retired pay computation for members
               retired following a disciplinary reduction in grade.
    Sec. 652. Increase in maximum number of Reserve retirement points that
               may be credited in any year.
    Sec. 653. Retirement from active reserve service after regular
               retirement.
    Sec. 654. Same treatment for Federal judges as for other Federal
               officials regarding payment of military retired pay.
    Sec. 655. Reserve component Survivor Benefit Plan spousal consent
               requirement.
    Sec. 656. Sense of Congress on increasing Survivor Benefit Plan
               annuities for surviving spouses age 62 or older.
    Sec. 657. Revision to special compensation authority to repeal exclusion
               of uniformed services retirees in receipt of disability
               retired pay.

                            Subtitle E--Other Matters

    Sec. 661. Participation in Thrift Savings Plan.
    Sec. 662. Determinations of income eligibility for special supplemental
               food program.
    Sec. 663. Billeting services for reserve members traveling for inactive-
               duty training.
    Sec. 664. Settlement of claims for payments for unused accrued leave and
               for retired pay.
    Sec. 665. Additional benefits and protections for personnel incurring
               injury, illness, or disease in the performance of funeral
               honors duty.
    Sec. 666. Authority for extension of deadline for filing claims
               associated with capture and internment of certain persons by
               North Vietnam.
    Sec. 667. Back pay for members of the Navy and Marine Corps selected for
               promotion while interned as prisoners of war during World War
               II.
    Sec. 668. Sense of Congress concerning funding for reserve components.

                        TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

    Sec. 701. Provision of domiciliary and custodial care for CHAMPUS
               beneficiaries and certain former CHAMPUS beneficiaries.
    Sec. 702. Chiropractic health care for members on active duty.
    Sec. 703. School-required physical examinations for certain minor
               dependents.
    Sec. 704. Two-year extension of dental and medical benefits for
               surviving dependents of certain deceased members.

    [[Page 114 STAT. 1654A-9]]

    Sec. 705. Two-year extension of authority for use of contract physicians
               at military entrance processing stations and elsewhere
               outside medical treatment facilities.
    Sec. 706. Medical and dental care for Medal of Honor recipients.

                         Subtitle B--Senior Health Care

    Sec. 711. Implementation of TRICARE senior pharmacy program.
    Sec. 712. Conditions for eligibility for CHAMPUS and TRICARE upon the
               attainment of age 65; expansion and modification of medicare
               subvention project.
    Sec. 713. Accrual funding for health care for medicare-eligible retirees
               and dependents.

                           Subtitle C--TRICARE Program

    Sec. 721. Improvement of access to health care under the TRICARE
               program.
    Sec. 722. Additional beneficiaries under TRICARE Prime Remote program in
               the continental United States.
    Sec. 723. Modernization of TRICARE business practices and increase of
               use of military treatment facilities.
    Sec. 724. Extension of TRICARE managed care support contracts.
    Sec. 725. Report on protections against health care providers seeking
               direct reimbursement from members of the uniformed services.
    Sec. 726. Voluntary termination of enrollment in TRICARE retiree dental
               program.
    Sec. 727. Claims processing improvements.
    Sec. 728. Prior authorizations for certain referrals and
               nonavailability-of-health-care statements.

                       Subtitle D--Demonstration Projects

    Sec. 731. Demonstration project for expanded access to mental health
               counselors.
    Sec. 732. Teleradiology demonstration project.
    Sec. 733. Health care management demonstration program.

        Subtitle E--Joint Initiatives With Department of Veterans Affairs

    Sec. 741. VA-DOD sharing agreements for health services.
    Sec. 742. Processes for patient safety in military and veterans health
               care systems.
    Sec. 743. Cooperation in developing pharmaceutical identification
               technology.

                            Subtitle F--Other Matters

    Sec. 751. Management of anthrax vaccine immunization program.
    Sec. 752. Elimination of copayments for immediate family.
    Sec. 753. Medical informatics.
    Sec. 754. Patient care reporting and management system.
    Sec. 755. Augmentation of Army Medical Department by detailing Reserve
               officers of the Public Health Service.
    Sec. 756. Privacy of Department of Defense medical records.
    Sec. 757. Authority to establish special locality-based reimbursement
               rates; reports.
    Sec. 758. Reimbursement for certain travel expenses.
    Sec. 759. Reduction of cap on payments.
    Sec. 760. Training in health care management and administration.
    Sec. 761. Studies on feasibility of sharing biomedical research
               facility.
    Sec. 762. Study on comparability of coverage for physical, speech, and
               occupational therapies.

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

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

    Sec. 801. Department of Defense acquisition pilot programs.
    Sec. 802. Multiyear services contracts.
    Sec. 803. Clarification and extension of authority to carry out certain
               prototype projects.
    Sec. 804. Clarification of authority of Comptroller General to review
               records of participants in certain prototype projects.
    Sec. 805. Extension of time period of limitation on procurement of ball
               bearings and roller bearings.
    Sec. 806. Reporting requirements relating to multiyear contracts.
    Sec. 807. Eligibility of small business concerns owned and controlled by
               women for assistance under the mentor-protege program.
    Sec. 808. Qualifications required for employment and assignment in
               contracting positions.

    [[Page 114 STAT. 1654A-10]]

    Sec. 809. Revision of authority for solutions-based contracting pilot
               program.
    Sec. 810. Procurement notice of contracting opportunities through
               electronic means.

                       Subtitle B--Information Technology

    Sec. 811. Acquisition and management of information technology.
    Sec. 812. Tracking and management of information technology purchases.
    Sec. 813. Appropriate use of requirements regarding experience and
               education of contractor personnel in the procurement of
               information technology services.
    Sec. 814. Navy-Marine Corps Intranet.
    Sec. 815. Sense of Congress regarding information technology systems for
               Guard and Reserve components.

                  Subtitle C--Other Acquisition-Related Matters

    Sec. 821. Improvements in procurements of services.
    Sec. 822. Financial analysis of use of dual rates for quantifying
               overhead costs at Army ammunition plants.
    Sec. 823. Repeal of prohibition on use of Department of Defense funds
               for procurement of nuclear-capable shipyard crane from a
               foreign source.
    Sec. 824. Extension of waiver period for live-fire survivability testing
               for MH-47E and MH-60K helicopter modification programs.
    Sec. 825. Compliance with existing law regarding purchases of equipment
               and products.
    Sec. 826. Requirement to disregard certain agreements in awarding
               contracts for the purchase of firearms or ammunition.

                         Subtitle D--Studies and Reports

    Sec. 831. Study on impact of foreign sourcing of systems on long-term
               military readiness and related industrial infrastructure.
    Sec. 832. Study of policies and procedures for transfer of commercial
               activities.
    Sec. 833. Study and report on practice of contract bundling in military
               construction contracts.
    Sec. 834. Requirement to conduct study on contract bundling.

           TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

       Subtitle A--Duties and Functions of Department of Defense Officers

    Sec. 901. Overall supervision of Department of Defense activities for
               combating terrorism.
    Sec. 902. Change of title of certain positions in the Headquarters,
               Marine Corps.
    Sec. 903. Clarification of scope of Inspector General authorities under
               military whistleblower law.
    Sec. 904. Policy to ensure conduct of science and technology programs so
               as to foster the transition of science and technology to
               higher levels of research, development, test, and evaluation.
    Sec. 905. Additional components of Chairman of the Joint Chiefs of Staff
               annual report on combatant command requirements.

                 Subtitle B--Department of Defense Organizations

    Sec. 911. Western Hemisphere Institute for Security Cooperation.
    Sec. 912. Department of Defense regional centers for security studies.
    Sec. 913. Change in name of Armed Forces Staff College to Joint Forces
               Staff College.
    Sec. 914. Special authority for administration of Navy Fisher Houses.
    Sec. 915. Supervisory control of Armed Forces Retirement Home board by
               Secretary of Defense.
    Sec. 916. Semiannual report on Joint Requirements Oversight Council
               reform initiative.
    Sec. 917. Comptroller General review of operations of Defense Logistics
               Agency.
    Sec. 918. Comptroller General review of operations of Defense
               Information Systems Agency.

                        Subtitle C--Information Security

    Sec. 921. Institute for Defense Computer Security and Information
               Protection.
    Sec. 922. Information security scholarship program.

                               Subtitle D--Reports

    Sec. 931. Date of submittal of reports on shortfalls in equipment
               procurement and military construction for the reserve
               components in future-years defense programs.

    [[Page 114 STAT. 1654A-11]]

    Sec. 932. Report on number of personnel assigned to legislative liaison
               functions.
    Sec. 933. Joint report on establishment of national collaborative
               information analysis capability.
    Sec. 934. Network centric warfare.
    Sec. 935. Report on Air Force Institute of Technology.

                            Subtitle E--Other Matters

    Sec. 941. Flexibility in implementation of limitation on major
               Department of Defense headquarters activities personnel.
    Sec. 942. Consolidation of certain Navy gift funds.
    Sec. 943. Temporary authority to dispose of a gift previously accepted
               for the Naval Academy.

                           TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec.1001.Transfer authority.
    Sec.1002.Incorporation of classified annex.
    Sec.1003.Authorization of emergency supplemental appropriations for
               fiscal year 2000.
    Sec.1004.United States contribution to NATO common-funded budgets in
               fiscal year 2001.
    Sec.1005.Limitation on funds for Bosnia and Kosovo peacekeeping
               operations for fiscal year 2001.
    Sec.1006.Requirement for prompt payment of contract vouchers.
    Sec.1007.Plan for prompt recording of obligations of funds for
               contractual transactions.
    Sec.1008.Electronic submission and processing of claims for contract
               payments.
    Sec.1009.Administrative offsets for overpayment of transportation costs.
    Sec.1010.Interest penalties for late payment of interim payments due
               under Government service contracts.

                     Subtitle B--Naval Vessels and Shipyards

    Sec.1011.Revisions to national defense features program.
    Sec.1012.Sense of Congress on the naming of the CVN-77 aircraft carrier.
    Sec.1013.Authority to transfer naval vessels to certain foreign
               countries.
    Sec.1014.Authority to consent to retransfer of alternative former naval
               vessel by Government of Greece.

                       Subtitle C--Counter-Drug Activities

    Sec.1021.Extension of authority to provide support for counter-drug
               activities of Colombia.
    Sec.1022.Report on Department of Defense expenditures to support foreign
               counter-drug activities.
    Sec.1023.Recommendations on expansion of support for counter-drug
               activities.
    Sec.1024.Review of riverine counter-drug program.
    Sec.1025.Report on tethered aerostat radar system.
    Sec.1026.Sense of Congress regarding use of Armed Forces for counter-
               drug and counter-terrorism activities.

             Subtitle D--Counterterrorism and Domestic Preparedness

    Sec.1031.Preparedness of military installation first responders for
               incidents involving weapons of mass destruction.
    Sec.1032.Additional weapons of mass destruction civil support teams.
    Sec.1033.Authority to provide loan guarantees to improve domestic
               preparedness to combat cyberterrorism.
    Sec.1034.Report on the status of domestic preparedness against the
               threat of biological terrorism.
    Sec.1035.Report on strategy, policies, and programs to combat domestic
               terrorism.

                          Subtitle E--Strategic Forces

    Sec.1041.Revised nuclear posture review.
    Sec.1042.Plan for the long-term sustainment and modernization of United
               States strategic nuclear forces.
    Sec.1043.Modification of scope of waiver authority for limitation on
               retirement or dismantlement of strategic nuclear delivery
               systems.
    Sec.1044.Report on the defeat of hardened and deeply buried targets.
    Sec.1045.Sense of Congress on the maintenance of the strategic nuclear
               triad.

                Subtitle F--Miscellaneous Reporting Requirements

    Sec.1051.Management review of working-capital fund activities.

    [[Page 114 STAT. 1654A-12]]

    Sec.1052.Report on submarine rescue support vessels.
    Sec.1053.Report on Federal Government progress in developing information
               assurance strategies.
    Sec.1054.Department of Defense process for decisionmaking in cases of
               false claims.

               Subtitle G--Government Information Security Reform

    Sec.1061.Coordination of Federal information policy.
    Sec.1062.Responsibilities of certain agencies.
    Sec.1063.Relationship of Defense Information Assurance Program to
               Government-wide information security program.
    Sec.1064.Technical and conforming amendments.
    Sec.1065.Effective date.

                          Subtitle H--Security Matters

    Sec.1071.Limitation on granting of security clearances.
    Sec.1072.Process for prioritizing background investigations for security
               clearances for Department of Defense personnel and defense
               contractor personnel.
    Sec.1073.Authority to withhold certain sensitive information from public
               disclosure.
    Sec.1074.Expansion of authority to exempt geodetic products of the
               Department of Defense from public disclosure.
    Sec.1075.Expenditures for declassification activities.
    Sec.1076.Enhanced access to criminal history record information for
               national security and other purposes.
    Sec.1077.Two-year extension of authority to engage in commercial
               activities as security for intelligence collection
               activities.
    Sec.1078.Coordination of nuclear weapons secrecy policies and
               consideration of health of workers at former Department of
               Defense nuclear facilities.

                            Subtitle I--Other Matters

    Sec.1081.Funds for administrative expenses under Defense Export Loan
               Guarantee program.
    Sec.1082.Transit pass program for Department of Defense personnel in
               poor air quality areas.
    Sec.1083.Transfer of Vietnam era TA-4 aircraft to nonprofit foundation.
    Sec.1084.Transfer of 19th century cannon to museum.
    Sec.1085.Fees for providing historical information to the public.
    Sec.1086.Grants to American Red Cross for Armed Forces emergency
               services.
    Sec.1087.Technical and clerical amendments.
    Sec.1088.Maximum size of parcel post packages transported overseas for
               Armed Forces post offices.
    Sec.1089.Sense of Congress regarding tax treatment of members receiving
               special pay for duty subject to hostile fire or imminent
               danger.
    Sec.1090.Organization and management of Civil Air Patrol.
    Sec.1091.Additional duties for Commission to Assess United States
               National Security Space Management and Organization.
    Sec.1092.Commission on the Future of the United States Aerospace
               Industry.
    Sec.1093.Drug addiction treatment.

               TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

               Subtitle A--Civilian Personnel Management Generally

    Sec.1101.Employment and compensation of employees for temporary
               organizations established by law or Executive order.
    Sec.1102.Assistive technology accommodations program.
    Sec.1103.Extension of authority for voluntary separations in reductions
               in force.
    Sec.1104.Electronic maintenance of performance appraisal systems.
    Sec.1105.Study on civilian personnel services.

                  Subtitle B--Demonstration and Pilot Programs

    Sec.1111.Pilot program for reengineering the equal employment
               opportunity complaint process.
    Sec.1112.Work safety demonstration program.
    Sec.1113.Extension, expansion, and revision of authority for
               experimental personnel program for scientific and technical
               personnel.
    Sec.1114.Clarification of personnel management authority under personnel
               demonstration project.

                       Subtitle C--Educational Assistance

    Sec.1121.Restructuring the restriction on degree training.
    Sec.1122.Student loan repayment programs.

    [[Page 114 STAT. 1654A-13]]

    Sec.1123.Extension of authority for tuition reimbursement and training
               for civilian employees in the defense acquisition workforce.

                           Subtitle D--Other Benefits

    Sec.1131.Additional special pay for foreign language proficiency
               beneficial for United States national security interests.
    Sec.1132.Approval authority for cash awards in excess of $10,000.
    Sec.1133.Leave for crews of certain vessels.
    Sec.1134.Life insurance for emergency essential Department of Defense
               employees.

                   Subtitle E--Intelligence Civilian Personnel

    Sec.1141.Expansion of defense civilian intelligence personnel system
               positions.
    Sec.1142.Increase in number of positions authorized for the Defense
               Intelligence Senior Executive Service.

      Subtitle F--Voluntary Separation Incentive Pay and Early Retirement
                                    Authority

    Sec.1151.Extension, revision, and expansion of authorities for use of
               voluntary separation incentive pay and voluntary early
               retirement.
    Sec.1152.Department of Defense employee voluntary early retirement
               authority.
    Sec.1153.Limitations.

                  TITLE XII--MATTERS RELATING TO OTHER NATIONS

                   Subtitle A--Matters Related to Arms Control

    Sec.1201.Support of United Nations-sponsored efforts to inspect and
               monitor Iraqi weapons activities.
    Sec.1202.Support of consultations on Arab and Israeli arms control and
               regional security issues.
    Sec.1203.Furnishing of nuclear test monitoring equipment to foreign
               governments.
    Sec.1204.Additional matters for annual report on transfers of militarily
               sensitive technology to countries and entities of concern.

                   Subtitle B--Matters Relating to the Balkans

    Sec.1211.Annual report assessing effect of continued operations in the
               Balkans region on readiness to execute the national military
               strategy.
    Sec.1212.Situation in the Balkans.
    Sec.1213.Semiannual report on Kosovo peacekeeping.

    Subtitle C--North Atlantic Treaty Organization and United States Forces
                                    in Europe

    Sec.1221.NATO fair burdensharing.
    Sec.1222.Repeal of restriction preventing cooperative airlift support
               through acquisition and cross-servicing agreements.
    Sec.1223.GAO study on the benefits and costs of United States military
               engagement in Europe.

                            Subtitle D--Other Matters

    Sec.1231.Joint data exchange center with Russian Federation on early
               warning systems and notification of ballistic missile
               launches.
    Sec.1232.Report on sharing and exchange of ballistic missile launch
               early warning data.
    Sec.1233.Annual report of Communist Chinese military companies operating
               in the United States.
    Sec.1234.Adjustment of composite theoretical performance levels of high
               performance computers.
    Sec.1235.Increased authority to provide health care services as
               humanitarian and civic assistance.
    Sec.1236.Sense of Congress regarding the use of children as soldiers.
    Sec.1237.Sense of Congress regarding undersea rescue and recovery.
    Sec.1238.United States-China Security Review Commission.

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

    Sec.1301.Specification of cooperative threat reduction programs and
               funds.
    Sec.1302.Funding allocations.
    Sec.1303.Prohibition on use of funds for elimination of conventional
               weapons.
    Sec.1304.Limitations on use of funds for fissile material storage
               facility.
    Sec.1305.Limitation on use of funds to support warhead dismantlement
               processing.

    [[Page 114 STAT. 1654A-14]]

    Sec.1306.Agreement on nuclear weapons storage sites.
    Sec.1307.Limitation on use of funds for construction of fossil fuel
               energy plants; report.
    Sec.1308.Reports on activities and assistance under cooperative threat
               reduction programs.
    Sec.1309.Russian chemical weapons elimination.
    Sec.1310.Limitation on use of funds for elimination of weapons grade
               plutonium program.
    Sec.1311.Report on audits of Cooperative Threat Reduction programs.

      TITLE XIV--COMMISSION TO ASSESS THE THREAT TO THE UNITED STATES FROM
                       ELECTROMAGNETIC PULSE (EMP) ATTACK

    Sec.1401.Establishment of commission.
    Sec.1402.Duties of commission.
    Sec.1403.Reports.
    Sec.1404.Powers.
    Sec.1405.Commission procedures.
    Sec.1406.Personnel matters.
    Sec.1407.Miscellaneous administrative provisions.
    Sec.1408.Funding.
    Sec.1409.Termination of the commission.

         TITLE XV--NAVY ACTIVITIES ON THE ISLAND OF VIEQUES, PUERTO RICO

    Sec.1501.Assistance for economic growth on Vieques.
    Sec.1502.Conveyance of Naval Ammunition Support Detachment, Vieques
               Island.
    Sec.1503.Determination regarding continuation of Navy training.
    Sec.1504.Actions if training is approved.
    Sec.1505.Requirements if training is not approved or mandate for
               referendum is vitiated.
    Sec.1506.Certain properties exempt from conveyance or transfer.
    Sec.1507.Moratorium on improvements at Fort Buchanan.
    Sec.1508.Transfer and management of Conservation Zones.

    TITLE XVI--GI BILL EDUCATIONAL ASSISTANCE AND VETERANS CLAIMS ASSISTANCE

                     Subtitle A--Veterans Education Benefits

    Sec.1601.Additional opportunity for certain VEAP participants to enroll
               in basic educational assistance under Montgomery GI Bill.
    Sec.1602.Modification of authority to pay tuition for off-duty training
               and education.

                     Subtitle B--Veterans Claims Assistance

    Sec.1611.Clarification of Department of Veterans Affairs duty to assist.

                     TITLE XVII--ASSISTANCE TO FIREFIGHTERS

    Sec.1701.Firefighter assistance.
    Sec.1702.Volunteer fire assistance program.
    Sec.1703.Burn research.
    Sec.1704.Study and demonstration projects regarding cases of hepatitis C
               among certain emergency response employees.
    Sec.1705.Report on progress on spectrum sharing.
    Sec.1706.Sale or donation of excess defense property to assist
               firefighting agencies.
    Sec.1707.Identification of defense technologies suitable for use, or
               conversion for use, in providing fire and emergency medical
               services.

                             TITLE XVIII--IMPACT AID

    Sec.1801.Short title.
    Sec.1802.Purpose.
    Sec.1803.Payments relating to Federal acquisition of real property.
    Sec.1804.Payments for eligible federally connected children.
    Sec.1805.Maximum amount of basic support payments.
    Sec.1806.Basic support payments for heavily impacted local educational
               agencies.
    Sec.1807.Basic support payments for local educational agencies affected
               by removal of Federal property.
    Sec.1808.Additional payments for local educational agencies with high
               concentrations of children with severe disabilities.
    Sec.1809.Application for payments under sections 8002 and 8003.
    Sec.1810.Payments for sudden and substantial increases in attendance of
               military dependents.
    Sec.1811.Construction.

    [[Page 114 STAT. 1654A-15]]

    Sec.1812.State consideration of payments in providing State aid.
    Sec.1813.Federal administration.
    Sec.1814.Administrative hearings and judicial review.
    Sec.1815.Forgiveness of overpayments.
    Sec.1816.Definitions.
    Sec.1817.Authorization of appropriations.
    Sec.1818.Effective date.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    Sec.2001.Short title.

                                 TITLE XXI--ARMY

    Sec.2101.Authorized Army construction and land acquisition projects.
    Sec.2102.Family housing.
    Sec.2103.Improvements to military family housing units.
    Sec.2104.Authorization of appropriations, Army.
    Sec.2105.Modification of authority to carry out certain fiscal year 2000
               projects.
    Sec.2106.Modification of authority to carry out certain fiscal year 1999
               projects.
    Sec.2107.Modification of authority to carry out fiscal year 1998
               project.
    Sec.2108.Authority to accept funds for realignment of certain military
               construction project, Fort Campbell, Kentucky.

                                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 fiscal year 1997 project
               at Marine Corps Combat Development Command, Quantico,
               Virginia.

                             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.Energy conservation projects.
    Sec.2403.Authorization of appropriations, Defense Agencies.
    Sec.2404.Modification of authority to carry out certain fiscal year 1990
               project.

       TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT
                                     PROGRAM

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

                 TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

    Sec.2601.Authorized Guard and Reserve construction and land acquisition
               projects.
    Sec.2602.Authority to contribute to construction of airport tower,
               Cheyenne Airport, Cheyenne, Wyoming.

             TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec.2701.Expiration of authorizations and amounts required to be
               specified by law.
    Sec.2702.Extension of authorizations of certain fiscal year 1998
               projects.
    Sec.2703.Extension of authorizations of certain fiscal year 1997
               projects.
    Sec.2704.Effective date.

                        TITLE XXVIII--GENERAL PROVISIONS

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

    Sec.2801.Joint use military construction projects.
    Sec.2802.Exclusion of certain costs from determination of applicability
               of limitation on use of funds for improvement of family
               housing.
    Sec.2803.Revision of space limitations for military family housing.

    [[Page 114 STAT. 1654A-16]]

    Sec.2804.Modification of lease authority for high-cost military family
               housing.
    Sec.2805.Provision of utilities and services under alternative authority
               for acquisition and improvement of military housing.
    Sec.2806.Extension of alternative authority for acquisition and
               improvement of military housing.
    Sec.2807.Expansion of definition of armory to include readiness centers.

             Subtitle B--Real Property and Facilities Administration

    Sec.2811.Increase in threshold for notice and wait requirements for real
               property transactions.
    Sec.2812.Enhancement of authority of military departments to lease non-
               excess property.
    Sec.2813.Conveyance authority regarding utility systems of military
               departments.
    Sec.2814.Permanent conveyance authority to improve property management.

                Subtitle C--Defense Base Closure and Realignment

    Sec.2821.Scope of agreements to transfer property to redevelopment
               authorities without consideration under the base closure
               laws.

                          Subtitle D--Land Conveyances

                            Part I--Army Conveyances

    Sec.2831.Transfer of jurisdiction, Rock Island Arsenal, Illinois.
    Sec.2832.Land conveyance, Army Reserve Center, Galesburg, Illinois.
    Sec.2833.Land conveyance, Charles Melvin Price Support Center, Illinois.
    Sec.2834.Land conveyance, Fort Riley, Kansas.
    Sec.2835.Land conveyance, Fort Polk, Louisiana.
    Sec.2836.Land conveyance, Army Reserve Center, Winona, Minnesota.
    Sec.2837.Land conveyance, Fort Dix, New Jersey.
    Sec.2838.Land conveyance, Nike Site 43, Elrama, Pennsylvania.
    Sec.2839.Land exchange, Army Reserve Local Training Center, Chattanooga,
               Tennessee.
    Sec.2840.Land exchange, Fort Hood, Texas.
    Sec.2841.Land conveyance, Fort Pickett, Virginia.
    Sec.2842.Land conveyance, Fort Lawton, Washington.
    Sec.2843.Land conveyance, Vancouver Barracks, Washington.

                            Part II--Navy Conveyances

    Sec.2846.Modification of land conveyance, Marine Corps Air Station, El
               Toro, California.
    Sec.2847.Modification of authority for Oxnard Harbor District, Port
               Hueneme, California, to use certain Navy property.
    Sec.2848.Transfer of jurisdiction, Marine Corps Air Station, Miramar,
               California.
    Sec.2849.Land exchange, Marine Corps Recruit Depot, San Diego,
               California.
    Sec.2850.Lease of property, Naval Air Station, Pensacola, Florida.
    Sec.2851.Land conveyance, Naval Reserve Center, Tampa, Florida.
    Sec.2852.Modification of land conveyance, Defense Fuel Supply Point,
               Casco Bay, Maine.
    Sec.2853.Land conveyance, Naval Computer and Telecommunications Station,
               Cutler, Maine.
    Sec.2854.Modification of land conveyance authority, former Naval
               Training Center, Bainbridge, Cecil County, Maryland.
    Sec.2855.Land conveyance, Marine Corps Base, Camp Lejeune, North
               Carolina.
    Sec.2856.Land exchange, Naval Air Reserve Center, Columbus, Ohio.
    Sec.2857.Land conveyance, Naval Station, Bremerton, Washington.

                         Part III--Air Force Conveyances

    Sec.2861.Land conveyance, Los Angeles Air Force Base, California.
    Sec.2862.Land conveyance, Point Arena Air Force Station, California.
    Sec.2863.Land conveyance, Lowry Air Force Base, Colorado.
    Sec.2864.Land conveyance, Wright-Patterson Air Force Base, Ohio.
    Sec.2865.Modification of land conveyance, Ellsworth Air Force Base,
               South Dakota.
    Sec.2866.Land conveyance, Mukilteo Tank Farm, Everett, Washington.

                           Part IV--Other Conveyances

    Sec.2871.Land conveyance, Army and Air Force Exchange Service property,
               Farmers Branch, Texas.
    Sec.2872.Land conveyance, former National Ground Intelligence Center,
               Charlottesville, Virginia.

                            Subtitle E--Other Matters

    Sec.2881.Relation of easement authority to leased parkland, Marine Corps
               Base, Camp Pendleton, California.

    [[Page 114 STAT. 1654A-17]]

    Sec.2882.Extension of demonstration project for purchase of fire,
               security, police, public works, and utility services from
               local government agencies.
    Sec.2883.Acceptance and use of gifts for construction of third building
               at United States Air Force Museum, Wright-Patterson Air Force
               Base, Ohio.
    Sec.2884.Development of Marine Corps Heritage Center at Marine Corps
               Base, Quantico, Virginia.
    Sec.2885.Activities relating to greenbelt at Fallon Naval Air Station,
               Nevada.
    Sec.2886.Establishment of World War II memorial on Guam.
    Sec.2887.Naming of Army missile testing range at Kwajalein Atoll as the
               Ronald Reagan Ballistic Missile Defense Test Site at
               Kwajalein Atoll.
    Sec.2888.Designation of building at Fort Belvoir, Virginia, in honor of
               Andrew T. McNamara.
    Sec.2889.Designation of Balboa Naval Hospital, San Diego, California, in
               honor of Bob Wilson, a former Member of the House of
               Representatives.
    Sec.2890.Sense of Congress regarding importance of expansion of National
               Training Center, Fort Irwin, California.
    Sec.2891.Sense of Congress regarding land transfers at Melrose Range,
               New Mexico, and Yakima Training Center, Washington.

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

           TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec.3101.National Nuclear Security Administration.
    Sec.3102.Defense environmental restoration and waste management.
    Sec.3103.Other defense activities.
    Sec.3104.Defense environmental management privatization.
    Sec.3105.Defense nuclear waste disposal.

                    Subtitle B--Recurring General Provisions

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

        Subtitle C--Program Authorizations, Restrictions, and Limitations

    Sec.3131.Funding for termination costs of River Protection Project,
               Richland, Washington.
    Sec.3132.Enhanced cooperation between National Nuclear Security
               Administration and Ballistic Missile Defense Organization.
    Sec.3133.Reprogramming of funds available for infrastructure upgrades or
               maintenance in certain accounts of the National Nuclear
               Security Administration.
    Sec.3134.Adjustment of composite theoretical performance levels for
               post-shipment verification reports on advanced supercomputer
               sales to certain foreign nations.
    Sec.3135.Modification of counterintelligence polygraph program.
    Sec.3136.Employee incentives for employees at closure project
               facilities.
    Sec.3137.Continuation of processing, treatment, and disposition of
               legacy nuclear materials.
    Sec.3138.Limitation on use of certain funds pending certification of
               compliance with Formerly Utilized Sites Remedial Action
               Program funding prohibition.
    Sec.3139.Conceptual design for Subsurface Geosciences Laboratory at
               Idaho National Engineering and Environmental Laboratory,
               Idaho Falls, Idaho.
    Sec.3140.Report on National Ignition Facility, Lawrence Livermore
               National Laboratory, Livermore, California.
    Sec.3141.River Protection Project, Richland, Washington.
    Sec.3142.Report on tank waste remediation system, Hanford Reservation,
               Richland, Washington.

    [[Page 114 STAT. 1654A-18]]

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

    Sec.3151.Term of office of person first appointed as Under Secretary for
               Nuclear Security of the Department of Energy.
    Sec.3152.Membership of Under Secretary for Nuclear Security on the Joint
               Nuclear Weapons Council.
    Sec.3153.Organization plan for field offices of the National Nuclear
               Security Administration.
    Sec.3154.Required contents of future-years nuclear security program.
    Sec.3155.Future-years nuclear security program for fiscal year 2001.
    Sec.3156.Engineering and manufacturing research, development, and
               demonstration by plant managers of certain nuclear weapons
               production plants.
    Sec.3157.Prohibition on individuals engaging in concurrent service or
               duties within National Nuclear Security Administration and
               outside that Administration but within Department of Energy.
    Sec.3158.Annual plan for obligation of funds of the National Nuclear
               Security Administration.
    Sec.3159.Authority to reorganize National Nuclear Security
               Administration.

            Subtitle E--National Laboratories Partnership Improvement

    Sec.3161.Technology Infrastructure Pilot Program.
    Sec.3162.Report on small business participation in National Nuclear
               Security Administration activities.
    Sec.3163.Study and report related to improving mission effectiveness,
               partnerships, and technology transfer at national security
               laboratories and nuclear weapons production facilities.
    Sec.3164.Report on effectiveness of National Nuclear Security
               Administration technology development partnerships with non-
               Federal entities.
    Sec.3165.Definitions.

        Subtitle F--Matters Relating to Defense Nuclear Nonproliferation

    Sec.3171.Annual report on status of nuclear materials protection,
               control, and accounting program.
    Sec.3172.Nuclear Cities Initiative.
    Sec.3173.Department of Energy nonproliferation monitoring.
    Sec.3174.Sense of Congress on the need for coordination of
               nonproliferation programs.
    Sec.3175.Limitation on use of funds for International Nuclear Safety
               Program.

                            Subtitle G--Other Matters

    Sec.3191.Extension of authority for appointment of certain scientific,
               engineering, and technical personnel.
    Sec.3192.Biennial report containing update on nuclear test readiness
               postures.
    Sec.3193.Frequency of reports on inadvertent releases of Restricted Data
               and Formerly Restricted Data.
    Sec.3194.Form of certifications regarding the safety or reliability of
               the nuclear weapons stockpile.
    Sec.3195.Authority to provide certificate of commendation to Department
               of Energy and contractor employees for exemplary service in
               stockpile stewardship and security.
    Sec.3196.Cooperative research and development agreements for government-
               owned, contractor-operated laboratories.
    Sec.3197.Office of Arctic Energy.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    Sec.3201.Authorization.

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

    Sec.3301.Authorized uses of stockpile funds.
    Sec.3302.Increased receipts under prior disposal authority.
    Sec.3303.Disposal of titanium.

                      TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec.3401.Minimum price of petroleum sold from certain naval petroleum
               reserves.
    Sec.3402.Repeal of authority to contract for cooperative or unit plans
               affecting Naval Petroleum Reserve Numbered 1.
    Sec.3403.Disposal of Oil Shale Reserve Numbered 2.

                       TITLE XXXV--MARITIME ADMINISTRATION

    Sec.3501.Authorization of appropriations for fiscal year 2001.

    [[Page 114 STAT. 1654A-19]]

    Sec.3502.Scrapping of National Defense Reserve Fleet vessels.
    Sec.3503.Authority to convey National Defense Reserve Fleet vessel,
               Glacier.
    Sec.3504.Maritime intermodal research.
    Sec.3505.Maritime research and technology development.
    Sec.3506.Reporting of administered and oversight funds.

     TITLE XXXVI--ENERGY EMPLOYEES OCCUPATIONAL ILLNESS COMPENSATION PROGRAM

    Sec.3601.Short title.
    Sec.3602.Findings; sense of Congress.

     Subtitle A--Establishment of Compensation Program and Compensation Fund

    Sec.3611.Establishment of Energy Employees Occupational Illness
               Compensation Program.
    Sec.3612.Establishment of Energy Employees Occupational Illness
               Compensation Fund.
    Sec.3613.Legislative proposal.
    Sec.3614.Authorization of appropriations.

                       Subtitle B--Program Administration

    Sec.3621.Definitions for program administration.
    Sec.3622.Expansion of list of beryllium vendors.
    Sec.3623.Exposure in the performance of duty.
    Sec.3624.Advisory Board on Radiation and Worker Health.
    Sec.3625.Responsibilities of Secretary of Health and Human Services.
    Sec.3626.Designation of additional members of Special Exposure Cohort.
    Sec.3627.Separate treatment of chronic silicosis.
    Sec.3628.Compensation and benefits to be provided.
    Sec.3629.Medical benefits.
    Sec.3630.Separate treatment of certain uranium employees.
    Sec.3631.Assistance for claimants and potential claimants.

    Subtitle C--Treatment, Coordination, and Forfeiture of Compensation and
                                    Benefits

    Sec.3641.Offset for certain payments.
    Sec.3642.Subrogation of the United States.
    Sec.3643.Payment in full settlement of claims.
    Sec.3644.Exclusivity of remedy against the United States and against
               contractors and subcontractors.
    Sec.3645.Election of remedy for beryllium employees and atomic weapons
               employees.
    Sec.3646.Certification of treatment of payments under other laws.
    Sec.3647.Claims not assignable or transferable; choice of remedies.
    Sec.3648.Attorney fees.
    Sec.3649.Certain claims not affected by awards of damages.
    Sec.3650.Forfeiture of benefits by convicted felons.
    Sec.3651.Coordination with other Federal radiation compensation laws.

        Subtitle D--Assistance in State Workers' Compensation Proceedings

    Sec.3661.Agreements with States.

    SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

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

                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

    Sec. 101. Army.
    Sec. 102. Navy and Marine Corps.
    Sec. 103. Air Force.

    [[Page 114 STAT. 1654A-20]]

    Sec. 104. Defense-wide activities.
    Sec. 105. Defense Inspector General.
    Sec. 106. Defense Health Program.

                            Subtitle B--Army Programs

    Sec. 111. Multiyear procurement authority.
    Sec. 112. Increase in limitation on number of bunker defeat munitions
               that may be acquired.
    Sec. 113. Reports and limitations relating to Army transformation.

                            Subtitle C--Navy Programs

    Sec. 121. CVNX-1 nuclear aircraft carrier program.
    Sec. 122. Arleigh Burke class destroyer program.
    Sec. 123. Virginia class submarine program.
    Sec. 124. Limitation during fiscal year 2001 on changes in submarine
               force structure.
    Sec. 125. ADC(X) ship program.
    Sec. 126. Refueling and complex overhaul program of the U.S.S. Dwight D.
               Eisenhower.
    Sec. 127. Analysis of certain shipbuilding programs.
    Sec. 128. Helicopter support of FFG-7 frigates during fiscal year 2001.
    Sec. 129. V-22 cockpit aircraft voice and flight data recorders.

                         Subtitle D--Air Force Programs

    Sec. 131. Annual report on B-2 bomber.
    Sec. 132. Report on modernization of Air National Guard F-16A units.

                           Subtitle E--Joint Programs

    Sec. 141. Study of final assembly and checkout alternatives for the
               Joint Strike Fighter program.

                      Subtitle F--Chemical Demilitarization

    Sec. 151. Pueblo Chemical Depot chemical agent and munitions destruction
               technologies.
    Sec. 152. Report on assessment of need for Federal economic assistance
               for communities impacted by chemical demilitarization
               activities.
    Sec. 153. Prohibition against disposal of non-stockpile chemical warfare
               material at Anniston chemical stockpile disposal facility.

                   Subtitle A--Authorization of Appropriations

    SEC. 101. ARMY.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    for procurement for the Army as follows:
                (1) For aircraft, $1,550,012,000.
                (2) For missiles, $1,320,681,000.
                (3) For weapons and tracked combat vehicles, $2,436,324,000.
                (4) For ammunition, $1,179,916,000.
                (5) For other procurement, $4,235,719,000.
                (6) For chemical agents and munitions destruction,
            $980,100,000, for--
                        (A) the destruction of lethal chemical agents and
                    munitions in accordance with section 1412 of the
                    Department of Defense Authorization Act, 1986 (50 U.S.C.
                    1521); and
                        (B) the destruction of chemical warfare materiel of
                    the United States that is not covered by section 1412 of
                    such Act.

    SEC. 102. NAVY AND MARINE CORPS.

        (a) Navy.--Funds are hereby authorized to be appropriated for fiscal
    year 2001 for procurement for the Navy as follows:

    [[Page 114 STAT. 1654A-21]]

                (1) For aircraft, $8,394,338,000.
                (2) For weapons, including missiles and torpedoes,
            $1,443,600,000.
                (3) For shipbuilding and conversion, $12,826,919,000.
                (4) For other procurement, $3,380,680,000.

        (b) Marine Corps.--Funds are hereby authorized to be appropriated
    for fiscal year 2001 for procurement for the Marine Corps in the amount
    of $1,212,768,000.
        (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized
    to be appropriated for fiscal year 2001 for procurement of ammunition
    for the Navy and the Marine Corps in the amount of $487,749,000.

    SEC. 103. AIR FORCE.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    for procurement for the Air Force as follows:
                (1) For aircraft, $9,923,868,000.
                (2) For missiles, $2,863,778,000.
                (3) For ammunition, $646,808,000.
                (4) For other procurement, $7,711,647,000.

    SEC. 104. DEFENSE-WIDE ACTIVITIES.

        (a) Amount Authorized.--Funds are hereby authorized to be
    appropriated for fiscal year 2001 for Defense-wide procurement in the
    amount of $2,278,408,000.
        (b) Amount for National Missile Defense.--Of the funds authorized to
    be appropriated in subsection (a), $74,530,000 shall be available for
    the National Missile Defense program.

    SEC. 105. DEFENSE INSPECTOR GENERAL.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    for procurement for the Inspector General of the Department of Defense
    in the amount of $3,300,000.

    SEC. 106. DEFENSE HEALTH PROGRAMS.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    for the Department of Defense for procurement for carrying out health
    care programs, projects, and activities of the Department of Defense in
    the total amount of $290,006,000.

                            Subtitle B--Army Programs

    SEC. 111. MULTIYEAR PROCUREMENT AUTHORITY.

        (a) M2A3 Bradley Fighting Vehicle.--(1) Beginning with the fiscal
    year 2001 program year, the Secretary of the Army may, in accordance
    with section 2306b of title 10, United States Code, enter into one or
    more multiyear contracts for procurement of M2A3 Bradley fighting
    vehicles.
        (2) The Secretary of the Army may execute a contract authorized by
    paragraph (1) only after--
                (A) there is a successful completion of a M2A3 Bradley
            initial operational test and evaluation (IOT&E); and
                (B) the Secretary certifies in writing to the congressional
            defense committees that the vehicle met all required test
            parameters.

        (b) Utility Helicopters.--Beginning with the fiscal year 2002
    program year, the Secretary of the Army may, in accordance with

    [[Page 114 STAT. 1654A-22]]

    section 2306b of title 10, United States Code, enter into one or more
    multiyear contracts for procurement of UH-60 Blackhawk utility
    helicopters and, acting as executive agent for the Department of the
    Navy, CH-60 Knighthawk utility helicopters.

    SEC. 112. INCREASE IN LIMITATION ON NUMBER OF BUNKER DEFEAT MUNITIONS
                THAT MAY BE ACQUIRED.

        Section 116(2) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2682) is amended by striking
    ``6,000'' and inserting ``8,500''.

    SEC. 113. REPORTS AND LIMITATIONS RELATING TO ARMY TRANSFORMATION.

        (a) Secretary of the Army Report on Objective Force Development
    Process.--The Secretary of the Army shall submit to the congressional
    defense committees a report on the process for developing the objective
    force in the transformation of the Army. The report shall include the
    following:
                (1) The operational environments envisioned for the
            objective force.
                (2) The threat assumptions on which research and development
            efforts for transformation of the Army into the objective force
            are based.
                (3) The potential operational and organizational concepts
            for the objective force.
                (4) The operational requirements anticipated for the
            operational requirements document of the objective force.
                (5) The anticipated schedule of Army transformation
            activities through fiscal year 2012, together with--
                        (A) the projected funding requirements through that
                    fiscal year for research and development activities and
                    procurement activities related to transition to the
                    objective force; and
                        (B) a summary of the anticipated investments of the
                    Defense Advanced Research Projects Agency in programs
                    designed to lead to the fielding of future combat
                    systems for the objective force.
                (6) A proposed plan for the comparison referred to in
            subsection (c).

    If any of the information required by paragraphs (1) through (5) is not
    available at the time the report is submitted, the Secretary shall
    include in the report the anticipated schedule for the availability of
    that information.
        (b) Secretary of Defense Report on Objective Force Development
    Process.--Not later than March 1, 2001, the Secretary of Defense shall
    submit to the congressional defense committees a report on the process
    for developing the objective force in the transformation of the Army.
    The report shall include the following:
                (1) The joint warfighting requirements that will be
            supported by the fielding of the objective force, together with
            a description of the adjustments that are planned to be made in
            the war plans of the commanders of the unified combatant
            commands in relation to the fielding of the objective force.
                (2) The changes in lift requirements that may result from
            the establishment and fielding of the combat brigades of the
            objective force.

    [[Page 114 STAT. 1654A-23]]

                (3) The evaluation process that will be used to support
            decisionmaking on the course of the Army transformation,
            including a description of the operational evaluations and
            experimentation that will be used to validate the operational
            requirements for the operational requirements document of the
            objective force.

    If any of the information required by paragraphs (1) through (3) is not
    available at the time the report is submitted, the Secretary shall
    include in the report the anticipated schedule for the availability of
    that information.
        (c) Costs and Effectiveness of Medium Armored Combat Vehicles for
    the Interim Brigade Combat Teams.--(1) The Secretary of the Army shall
    develop a plan for comparing--
                (A) the costs and operational effectiveness of the infantry
            carrier variant of the interim armored vehicles selected for the
            infantry battalions of the interim brigade combat teams; and
                (B) the costs and operational effectiveness of the troop-
            carrying medium armored vehicles currently in the Army inventory
            for the use of infantry battalions.

        (2) The Secretary of the Army may not carry out the comparison
    described in paragraph (1) until the Director of Operational Test and
    Evaluation of the Department of Defense approves the plan for that
    comparison developed under that paragraph.
        (d) Limitation Pending Receipt of Secretary of the Army Report.--Not
    more than 80 percent of the amount appropriated for fiscal year 2001 for
    the procurement of armored vehicles in the family of new medium armored
    vehicles may be obligated until--
                (1) the Secretary of the Army submits to the congressional
            defense committees the report required under subsection (a); and
                (2) a period of 30 days has elapsed from the date of the
            submittal of such report.

        (e) Limitation Pending Comparison and Certification.--No funds
    appropriated or otherwise made available to the Department of the Army
    for any fiscal year may be obligated for acquisition of medium armored
    combat vehicles to equip a third interim brigade combat team until--
                (1) the plan for a comparison of costs and operational
            effectiveness developed under subsection (c)(1), as approved
            under subsection (c)(2), is carried out;
                (2) the Secretary of Defense submits to the congressional
            defense committees, after the completion of the comparison
            referred to in paragraph (1), a certification that--
                        (A) the Secretary approves of the obligation of
                    funds for that purpose; and
                        (B) the force structure resulting from the
                    acquisition and subsequent operational capability of
                    interim brigade combat teams will not diminish the
                    combat power of the Army; and
                (3) a period of 30 days has elapsed from the date of the
            certification under paragraph (2).

        (f ) Definitions.--In this section:
                (1) The term ``transformation'', with respect to the Army,
            means the actions being undertaken to transform the Army, as it
            is constituted in terms of organization, equipment, and doctrine
            in 2000, into the objective force.

    [[Page 114 STAT. 1654A-24]]

                (2) The term ``objective force'' means the Army that has the
            organizational structure, the most advanced equipment that early
            twenty-first century science and technology can provide, and the
            appropriate doctrine to ensure that the Army is responsive,
            deployable, agile, versatile, lethal, survivable, and
            sustainable for the full spectrum of the operations anticipated
            to be required of the Army during the early years of the twenty-
            first century following 2010.
                (3) The term ``interim brigade combat team'' means an Army
            brigade that is designated by the Secretary of the Army as a
            brigade combat team and is reorganized and equipped with
            currently available equipment in a configuration that
            effectuates an evolutionary advancement toward transformation of
            the Army to the objective force.

                            Subtitle C--Navy Programs

    SEC. 121. CVNX-1 NUCLEAR AIRCRAFT CARRIER PROGRAM.

        (a) Authorization of Ship.--The Secretary of the Navy is authorized
    to procure the aircraft carrier to be designated CVNX-1.
        (b) Advance Procurement and Construction.--The Secretary may enter
    into one or more contracts for the advance procurement and advance
    construction of components for the ship authorized under subsection (a).
        (c) Amount Authorized From SCN Account.--Of the amounts authorized
    to be appropriated under section 102(a)(3) for fiscal year 2001,
    $21,869,000 is available for the advance procurement and advance
    construction of components (including nuclear components) for the CVNX-1
    aircraft carrier program.

    SEC. 122. ARLEIGH BURKE CLASS DESTROYER PROGRAM.

        (a) Economical Multiyear Procurement of Previously Authorized
    Vessels and One Additional Vessel.--(1) Subsection (b) of section 122 of
    the National Defense Authorization Act for Fiscal Year 1997 (Public Law
    104-201; 110 Stat. 2446), as amended by section 122(a) of Public Law
    106-65 (113 Stat. 534), is further amended by striking ``a total of 18
    Arleigh Burke class destroyers'' in the first sentence and all that
    follows through the period at the end of that sentence and inserting
    ``Arleigh Burke class destroyers in accordance with this subsection and
    subsection (a)(4) at procurement rates not in excess of three ships in
    each of the fiscal years beginning after September 30, 1998, and before
    October 1, 2005. The authority under the preceding sentence is subject
    to the availability of appropriations for such destroyers.''.
        (2) The heading for such subsection is amended by striking ``18''.
        (b) Economical Rate of Procurement.--It is the sense of Congress
    that, for the procurement of the Arleigh Burke class destroyers to be
    procured after fiscal year 2001 under multiyear contracts authorized
    under section 122(b) of Public Law 104-201, as amended by subsection
    (a)--
                (1) the Secretary of the Navy should--
                        (A) achieve the most economical rate of procurement;
                    and

    [[Page 114 STAT. 1654A-25]]

                        (B) enter into such contracts for advance
                    procurement as may be necessary to achieve that rate of
                    procurement;
                (2) the most economical rate of procurement would be
            achieved by procuring three of those vessels in each of fiscal
            years 2002 and 2003 and procuring another vessel in fiscal year
            2004; and
                (3) the Secretary has the authority under section 122(b) of
            Public Law 104-201 (110 Stat. 2446) and subsections (b) and (c)
            of section 122 of Public Law 106-65 (113 Stat. 534) to provide
            for procurement at the most economical rate, as described in
            paragraph (2).

        (c) Update of 1993 Report on DDG-51 Class Ships.--(1) The Secretary
    of the Navy shall submit to the Committees on Armed Services of the
    Senate and the House of Representatives, not later than November 1,
    2000, a report that updates the information provided in the report of
    the Secretary of the Navy entitled the ``Arleigh Burke (DDG-51) Class
    Industrial Base Study of 1993''. The Secretary shall transmit a copy of
    the updated report to the Comptroller General not later than the date on
    which the Secretary submits the report to the committees.
        (2) The Comptroller General shall review the updated report
    submitted under paragraph (1) and, not later than December 1, 2000,
    submit to the Committees on Armed Services of the Senate and House of
    Representatives the Comptroller General's comments on the updated
    report.

    SEC. 123. VIRGINIA CLASS SUBMARINE PROGRAM.

        (a) Amounts Authorized From SCN Account.--Of the amounts authorized
    to be appropriated by section 102(a)(3) for fiscal year 2001,
    $1,706,234,000 is available for the Virginia class submarine program.
        (b) Contract Authority.--(1) The Secretary of the Navy is authorized
    to enter into a contract for the procurement of up to five Virginia
    class submarines, including the procurement of material in economic
    order quantities when cost savings are achievable, during fiscal years
    2003 through 2006. The submarines authorized under the preceding
    sentence are in addition to the submarines authorized under section
    121(b) of the National Defense Authorization Act for Fiscal Year 1998
    (Public Law 105-85; 111 Stat. 1648).
        (2) A contract entered into under paragraph (1) 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.
        (c) Shipbuilder Teaming.--Paragraphs (2)(A), (3), and (4) of section
    121(b) of Public Law 105-85 apply to the procurement of submarines under
    this section.
        (d) Limitation of Liability.--If a contract entered into under this
    section is terminated, the United States shall not be liable for
    termination costs in excess of the total of the amounts appropriated for
    the Virginia class submarine program that remain available for the
    program.
        (e) Report Requirement.--At that same time that the President
    submits the budget for fiscal year 2002 to Congress under section
    1105(a) of title 31, United States Code, the Secretary of Defense shall
    submit to the congressional defense committees a report on the Navy's
    fleet of fast attack submarines. The report shall include the following:

    [[Page 114 STAT. 1654A-26]]

                (1) A plan for maintaining at least 55 fast attack
            submarines in commissioned service through 2015, including, by
            2015, 18 Virginia class submarines.
                (2) Two assessments of the potential savings that would be
            achieved under the Virginia class submarine program if the
            production rate for that program were at least two submarines
            each fiscal year, as follows:
                        (A) An assessment if that were the production rate
                    beginning in fiscal year 2004.
                        (B) An assessment if that were the production rate
                    beginning in fiscal year 2006.
                (3) An analysis of the advantages and disadvantages of
            various contracting strategies for the Virginia class submarine
            program, including one or more multiyear procurement strategies
            and one or more strategies for block buy with economic order
            quantity.

    SEC. 124. LIMITATION DURING FISCAL YEAR 2001 ON CHANGES IN SUBMARINE
                FORCE STRUCTURE.

        (a) Limitation on Retirement of Submarines.--During fiscal year
    2001, the Secretary of the Navy may not retire from the active force
    structure of the Navy any Los Angeles class nuclear-powered attack
    submarine or any Ohio class nuclear-powered ballistic missile submarine
    unless the Secretary of the Navy certifies to Congress in writing that
    he cannot assure the continued safe and militarily effective operation
    of that submarine.
        (b) Report.--Not later than April 15, 2001, the President shall
    submit to Congress a report on the required force structure for nuclear-
    powered submarines, including attack submarines (SSNs), ballistic
    missile submarines (SSBNs), and cruise missile submarines (SSGNs), to
    support the national military strategy through 2020. The report shall
    include a detailed discussion of the acquisition strategy and fleet
    maintenance requirements to achieve and maintain that force structure
    through--
                (1) the procurement of new construction submarines;
                (2) the refueling of Los Angeles class attack submarines
            (SSNs) to achieve the maximum amount of operational useful
            service; and
                (3) the conversion of Ohio class submarines that are no
            longer required for the strategic deterrence mission from their
            current ballistic missile (SSBN) configuration to a cruise-
            missile (SSGN) configuration.

    SEC. 125. ADC(X) SHIP PROGRAM.

        The Secretary of the Navy may procure the construction of all ADC(X)
    class ships in one shipyard if the Secretary determines that it is more
    cost effective to do so than to procure the construction of such ships
    from more than one shipyard.

    SEC. 126. REFUELING AND COMPLEX OVERHAUL PROGRAM OF THE U.S.S. DWIGHT D.
                EISENHOWER.

        (a) Amount Authorized From SCN Account.--Of the amount authorized to
    be appropriated by section 102(a)(3) for fiscal year 2001, $698,441,000
    is available for the commencement of the nuclear refueling and complex
    overhaul of the U.S.S. Dwight D. Eisenhower (CVN-69) during fiscal year
    2001. The amount made available in the preceding sentence is the first
    increment in the

    [[Page 114 STAT. 1654A-27]]

    incremental funding planned for the nuclear refueling and complex
    overhaul of that vessel.
        (b) Contract Authority.--The Secretary of the Navy is authorized to
    enter into a contract during fiscal year 2001 for the nuclear refueling
    and complex overhaul of the U.S.S. Dwight D. Eisenhower.
        (c) Condition for Out-Year Contract Payments.--A contract entered
    into under subsection (b) shall provide that any obligation of the
    United States to make a payment under the contract for a fiscal year
    after fiscal year 2001 is subject to the availability of appropriations
    for that purpose for that later fiscal year.

    SEC. 127. ANALYSIS OF CERTAIN SHIPBUILDING PROGRAMS.

        (a) Alternative Funding Analysis.--The Secretary of the Navy shall
    conduct an analysis on the potential benefits and risks associated with
    alternative funding mechanisms for the procurement of various classes of
    naval vessels and other naval capabilities beginning in fiscal year
    2002.
        (b) Alternative Funding Mechanisms.--For purposes of this section,
    the term ``alternative funding mechanism'' means any of the following:
                (1) The use of multiyear procurement.
                (2) The use of advance procurement for block buys of
            materials in economic order quantities.
                (3) The use of advance procurement and advance construction
            required in the number of years appropriate to minimize the cost
            of ship construction.
                (4) The use of advance procurement and advance construction
            apportioned roughly evenly across some number of fiscal years.
                (5) The use of resources from the National Defense Sealift
            Fund to budget for auxiliary ships and strategic lift ships.
                (6) The use of the resources from the National Defense
            Sealift Fund to provide advance payments for national defense
            features to establish an active Ready Reserve Force.

        (c) Report.--The Secretary shall submit to the congressional defense
    committees a report providing the results of the analysis under
    subsection (a). The report shall be submitted concurrently with the
    submission of the President's budget for fiscal year 2002, but in no
    event later than February 5, 2001. The report shall include the
    following:
                (1) A detailed description of the funding mechanisms
            considered.
                (2) The potential savings or costs associated with each such
            funding mechanism.
                (3) The year-to-year effect of each such funding mechanism
            on production stability of other shipbuilding programs funded
            within the Shipbuilding and Conversion, Navy, account, given the
            current acquisition plan of the Navy through fiscal year 2010.
                (4) The variables and constants used in the analysis which
            should include economic, industrial base, and budget realities.
                (5) A description and discussion of any statutory or
            regulatory restrictions that would preclude the use of any of
            the funding mechanisms considered.

    [[Page 114 STAT. 1654A-28]]

    SEC. 128. HELICOPTER SUPPORT OF FFG-7 FRIGATES DURING FISCAL YEAR 2001.

        During fiscal year 2001, the Secretary of the Navy shall operate one
    squadron of six SH-2G helicopters to provide organic helicopter assets
    for operational support of missions that are to be carried out by FFG-7
    Flight I and Flight II frigates during that fiscal year.

    SEC. 129. V-22 COCKPIT AIRCRAFT VOICE AND FLIGHT DATA RECORDERS.

        The Secretary of Defense shall require that all V-22 Osprey aircraft
    be equipped with a state-of-the-art cockpit voice recorder and a state-
    of-the-art flight data recorder each of which meets, at a minimum, the
    standards for such devices recommended by the National Transportation
    Safety Board.

                         Subtitle D--Air Force Programs

    SEC. 131. ANNUAL REPORT ON B-2 BOMBER.

        (a) In General.--(1) Chapter 136 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2282. B-2 bomber: annual report

        ``Not later than March 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 B-2 bomber aircraft. Each such report shall include the following:
                ``(1) Identification of the average full-mission capable
            rate of B-2 aircraft for the preceding fiscal year and the
            Secretary's overall assessment of the implications of that full-
            mission capable rate on mission accomplishment for the B-2
            aircraft, together with the Secretary's determination as to
            whether that rate is adequate for the accomplishment of each of
            the missions assigned to the B-2 aircraft as of the date of the
            assessment.
                ``(2) An assessment of the technical capabilities of the B-2
            aircraft and whether these capabilities are adequate to
            accomplish each of the missions assigned to that aircraft as of
            the date of the assessment.
                ``(3) Identification of all ongoing and planned development
            of technologies to enhance the capabilities of that aircraft.
                ``(4) Identification and assessment of additional
            technologies that would make that aircraft more capable or
            survivable against known and evolving threats.
                ``(5) A fiscally phased program for each technology
            identified in paragraphs (3) and (4) for the budget year and the
            future-years defense program, based on the following three
            funding situations:
                        ``(A) The President's current budget.
                        ``(B) The President's current budget and the current
                    Department of Defense unfunded priority list.
                        ``(C) The maximum executable funding for the B-2
                    aircraft given the requirement to maintain enough
                    operationally ready aircraft to accomplish missions
                    assigned to the B-2 aircraft.''.

    [[Page 114 STAT. 1654A-29]]

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

    ``2282. B-2 bomber: annual report.''.

        (b) Repeal of Superseded Reporting Requirement.--Section 112 of the
    National Defense Authorization Act for Fiscal Years 1990 and 1991
    (Public Law 101-189) is repealed.

    SEC. 132. REPORT ON MODERNIZATION OF AIR NATIONAL GUARD F-16A UNITS.

        The Secretary of the Air Force shall, not later than February 1,
    2001, submit to Congress a plan to modernize and upgrade the combat
    capabilities of those Air National Guard units that, as of the date of
    the enactment of this Act, are assigned F-16A aircraft so that those
    units can be deployed as part of Air Expeditionary Forces.

                           Subtitle E--Joint Programs

    SEC. 141. STUDY OF FINAL ASSEMBLY AND CHECKOUT ALTERNATIVES FOR THE
                JOINT STRIKE FIGHTER PROGRAM.

        (a) Report Required.--Not later than 180 days after the date of the
    award of a contract for engineering and manufacturing development for
    the Joint Strike Fighter aircraft program, the Secretary of Defense
    shall submit to Congress a report providing the results of a study of
    final assembly and checkout alternatives for that aircraft.
        (b) Matters To Be Included.--The report under subsection (a) shall
    include the following:
                (1) Examination of alternative final assembly and checkout
            strategies for the program, including--
                        (A) final assembly and checkout of all aircraft
                    under the program at one location;
                        (B) final assembly and checkout at dual locations;
                    and
                        (C) final assembly and checkout at multiple
                    locations.
                (2) Identification of each Government and industry facility
            that is a potential location for such final assembly and
            checkout.
                (3) Identification of the anticipated costs of final
            assembly and checkout at each facility identified pursuant to
            paragraph (2), based upon a reasonable profile for the annual
            procurement of that aircraft once it enters production.
                (4) A comparison of the anticipated costs of carrying out
            such final assembly and checkout at each such location.

        (c) Cost Comparison.--In identifying costs under subsection (b)(3)
    and carrying out the cost comparisons required by subsection (b)(4), the
    Secretary shall include consideration of each of the following factors:
                (1) State tax credits.
                (2) State and local incentives.
                (3) Skilled resident workforce.
                (4) Supplier and technical support bases.
                (5) Available stealth production facilities.
                (6) Environmental standards.

    [[Page 114 STAT. 1654A-30]]

                      Subtitle F--Chemical Demilitarization

    SEC. 151. PUEBLO CHEMICAL DEPOT CHEMICAL AGENT AND MUNITIONS DESTRUCTION
                TECHNOLOGIES.

        (a) Limitation.--In determining the technologies to be used for the
    destruction of the stockpile of lethal chemical agents and munitions at
    Pueblo Chemical Depot, Colorado, whether under the assessment required
    by section 141(a) of the National Defense Authorization Act for Fiscal
    Year 2000 (Public Law 106-65; 113 Stat. 537; 50 U.S.C. 1521 note), the
    Assembled Chemical Weapons Assessment, or any other assessment, the
    Secretary of Defense may consider only the following technologies:
                (1) Incineration.
                (2) Any technologies demonstrated under the Assembled
            Chemical Weapons Assessment on or before May 1, 2000.

        (b) Assembled Chemical Weapons Assessment Defined.--As used in
    subsection (a), the term ``Assembled Chemical Weapons Assessment'' means
    the pilot program carried out under section 8065 of the Department of
    Defense Appropriations Act, 1997 (as contained in section 101(b) of
    Public Law 104-208; 110 Stat. 3009-101; 50 U.S.C. 1521 note).

    SEC. 152. REPORT ON ASSESSMENT OF NEED FOR FEDERAL ECONOMIC ASSISTANCE
                FOR COMMUNITIES IMPACTED BY CHEMICAL DEMILITARIZATION
                ACTIVITIES.

        (a) Report Required.--Not later than April 1, 2001, the Secretary of
    Defense shall submit to the Committees on Armed Services of the Senate
    and of the House of Representatives a report on the impact of the
    Department of Defense chemical agents and munitions destruction program
    on the communities in the vicinity of the chemical weapons stockpile
    storage sites and associated chemical agent demilitarization activities
    at the following facilities:
                (1) Anniston Chemical Activity, Alabama.
                (2) Blue Grass Chemical Activity, Kentucky.
                (3) Deseret Chemical Depot, Utah.
                (4) Edgewood Chemical Activity, Maryland.
                (5) Newport Chemical Activity, Indiana.
                (6) Pine Bluff Chemical Activity, Arkansas.
                (7) Pueblo Chemical Activity, Colorado.
                (8) Umatilla Chemical Depot, Oregon.

        (b) Recommendation.--The Secretary shall include in the report a
    recommendation regarding whether Federal economic assistance for any or
    all of those communities to assist in meeting the impact of that program
    is needed and appropriate. If the Secretary's recommendation is that
    such economic assistance is needed and appropriate for any or all of
    such communities, the Secretary shall include in the report criteria for
    determining the amount of such economic assistance.
        (c) Matters To Be Considered in Assessing Impact.--In assessing the
    impact of the program referred to in subsection (a) for purposes of
    preparing the report required by that subsection and the recommendation
    required by subsection (b), the Secretary shall consider the following:
                (1) The impact that any change in population as a result of
            chemical agent demilitarization activities would have on the
            community.

    [[Page 114 STAT. 1654A-31]]

                (2) The possible temporary nature of such a change in
            population and the long-range financial impact of such a change
            in population on the permanent residents of the community.
                (3) The initial capitalization required for the services,
            facilities, or infrastructure to support any increase in
            population.
                (4) The operating costs for sustaining or upgrading the
            services, facilities, or infrastructure to support any increase
            in population.
                (5) The costs incurred by local government entities for
            improvements to emergency evacuation routes required by the
            chemical demilitarization activities.
                (6) Such other factors as the Secretary considers
            appropriate.

    SEC. 153. PROHIBITION AGAINST DISPOSAL OF NON-STOCKPILE CHEMICAL WARFARE
                MATERIAL AT ANNISTON CHEMICAL STOCKPILE DISPOSAL FACILITY.

        No funds authorized to be made available under this or any other Act
    may be used to facilitate the disposal using the chemical stockpile
    disposal facility at Anniston, Alabama, of any non-stockpile chemical
    warfare material that is not stored (as of the date of the enactment of
    this Act) at the Anniston Army Depot.

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

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for basic and applied research.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Management of Space-Based Infrared System--Low.
    Sec. 212. Joint Strike Fighter program.
    Sec. 213. Fiscal year 2002 joint field experiment.
    Sec. 214. Nuclear aircraft carrier design and production modeling.
    Sec. 215. DD-21 class destroyer program.
    Sec. 216. Limitation on Russian American Observation Satellites program.
    Sec. 217. Joint biological defense program.
    Sec. 218. Report on biological warfare defense vaccine research and
               development programs.
    Sec. 219. Cost limitations applicable to F-22 aircraft program.
    Sec. 220. Unmanned advanced capability combat aircraft and ground combat
               vehicles.
    Sec. 221. Global Hawk high altitude endurance unmanned aerial vehicle.
    Sec. 222. Army space control technology development.

                      Subtitle C--Ballistic Missile Defense

    Sec. 231. Funding for fiscal year 2001.
    Sec. 232. Reports on ballistic missile threat posed by North Korea.
    Sec. 233. Plan to modify ballistic missile defense architecture.
    Sec. 234. Management of Airborne Laser program.

                     Subtitle D--High Energy Laser Programs

    Sec. 241. Funding.
    Sec. 242. Implementation of High Energy Laser Master Plan.
    Sec. 243. Designation of senior official for high energy laser programs.
    Sec. 244. Site for Joint Technology Office.
    Sec. 245. High energy laser infrastructure improvements.
    Sec. 246. Cooperative programs and activities.
    Sec. 247. Technology plan.
    Sec. 248. Annual report.
    Sec. 249. Definition.

    [[Page 114 STAT. 1654A-32]]

    Sec. 250. Review of Defense-wide directed energy programs.

                            Subtitle E--Other Matters

    Sec. 251. Reports on mobile offshore base concept and potential use for
               certain purposes of technologies associated with that
               concept.
    Sec. 252. Air Force science and technology planning.
    Sec. 253. Enhancement of authorities regarding education partnerships
               for purposes of encouraging scientific study.
    Sec. 254. Recognition of those individuals instrumental to naval
               research efforts during the period from before World War II
               through the end of the Cold War.

                   Subtitle A--Authorization of Appropriations

    SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    for the use of the Department of Defense for research, development,
    test, and evaluation as follows:
                (1) For the Army, $5,568,482,000.
                (2) For the Navy, $8,715,335,000.
                (3) For the Air Force, $13,779,144,000.
                (4) For Defense-wide activities, $10,873,712,000, of which
            $192,060,000 is authorized for the Director of Operational Test
            and Evaluation.

    SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

        (a) Fiscal Year 2001.--Of the amounts authorized to be appropriated
    by section 201, $4,557,188,000 shall be available for basic research and
    applied research projects.
        (b) Basic Research and Applied Research Defined.--For purposes of
    this section, the term ``basic research and applied research'' means
    work funded in program elements for defense research and development
    under Department of Defense category 6.1 or 6.2.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    SEC. 211. MANAGEMENT OF SPACE-BASED INFRARED SYSTEM--LOW.

        Not later than October 1, 2001, the Secretary of Defense shall
    direct that the Director of the Ballistic Missile Defense Organization
    shall have authority for program management for the ballistic missile
    defense program known on the date of the enactment of this Act as the
    Space-Based Infrared System--Low.

    SEC. 212. JOINT STRIKE FIGHTER PROGRAM.

        (a) Report.--Not later than December 15, 2000, the Secretary of
    Defense shall submit to the congressional defense committees a report on
    the Joint Strike Fighter aircraft program describing the criteria for
    exit of the program from the demonstration and validation phase, and
    entry of the program into the engineering and manufacturing development
    phase, of the acquisition process.
        (b) Certification.--The Joint Strike Fighter program may not be
    approved for entry into the engineering and manufacturing development
    phase of the acquisition process until the Secretary of Defense
    certifies to the congressional defense committees that--

    [[Page 114 STAT. 1654A-33]]

                (1) the exit criteria established in the report submitted
            under subsection (a) have been accomplished;
                (2) the technological maturity of key technologies for the
            program is sufficient to warrant entry of the program into the
            engineering and manufacturing development phase; and
                (3) the short take-off, vertical-landing aircraft variant
            selected for engineering and manufacturing development has
            successfully flown at least 20 hours.

        (c) Transfers Within the Joint Strike Fighter Navy and Air Force
    Accounts.--(1) The Secretary of Defense may, subject to established
    congressional notification and reprogramming procedures, transfer within
    the Joint Strike Fighter program the following amounts:
                (A) Of the funds authorized to be appropriated for PE
            64800N, up to $100,000,000 to PE 63800N.
                (B) Of the funds authorized to be appropriated for PE
            64800F, up to $100,000,000 to PE 63800F.

        (2) The transfer authority authorized in paragraph (1) is in
    addition to the transfer authority provided in section 1001.

    SEC. 213. FISCAL YEAR 2002 JOINT FIELD EXPERIMENT.

        (a) Requirements.--The Secretary of Defense shall carry out a joint
    field experiment in fiscal year 2002. The Secretary shall ensure that
    the planning for the joint field experiment is carried out in fiscal
    year 2001.
        (b) Purpose.--The purpose of the joint field experiment is to
    explore critical war fighting challenges at the operational level of war
    that will confront United States joint military forces after 2010.
        (c) Participating Forces.--(1) The joint field experiment shall
    involve elements of the Army, Navy, Marine Corps, and Air Force, and
    shall include special operations forces.
        (2) The forces designated to participate in the joint field
    experiment shall exemplify the concepts for organization, equipment, and
    doctrine that are conceived for the forces after 2010 under Joint Vision
    2010 and Joint Vision 2020 (issued by the Joint Chiefs of Staff ) and
    the current vision statements of the Chief of Staff of the Army, the
    Chief of Naval Operations, the Commandant of the Marine Corps, and the
    Chief of Staff of the Air Force, including the following concepts:
                (A) Army medium weight brigades.
                (B) Navy Forward-From-The-Sea.
                (C) Air Force expeditionary aerospace forces.

        (d) Report.--Not later than March 1, 2001, the Secretary shall
    submit to the congressional defense committees a report on the concept
    plan for the joint field experiment required under subsection (a). The
    report shall include the following:
                (1) The objectives of the experiment.
                (2) The forces participating in the experiment.
                (3) The schedule and location of the experiment.
                (4) For each joint command, defense agency, and service
            component participating in the experiment, an identification
            of--
                        (A) the funding required for the experiment by that
                    command, agency, or component; and

    [[Page 114 STAT. 1654A-34]]

                        (B) any shortfall in the budget request for the
                    Department of Defense for fiscal year 2002 for that
                    funding for that command, agency, or component.

    SEC. 214. NUCLEAR AIRCRAFT CARRIER DESIGN AND PRODUCTION MODELING.

        (a) Assessment Required.--The Secretary of the Navy shall conduct an
    assessment of the cost-effectiveness of--
                (1) converting design data for the Nimitz-class aircraft
            carrier from non-electronic to electronic form; and
                (2) developing an electronic, three-dimensional design
            product model for the CVNX class aircraft carrier.

        (b) Conduct of the Assessment.--The Secretary of the Navy shall
    carry out the assessment in a manner that ensures the participation of
    the nuclear aircraft carrier shipbuilding industry.
        (c) Report.--The Secretary of the Navy shall submit a report to the
    congressional defense committees on the assessment. The report shall
    include the results of the assessment and plans and funding requirements
    for developing the model specified in subsection (a)(2). The report
    shall be submitted with the submission of the budget request for the
    Department of Defense for fiscal year 2002.
        (d) Funding.--Of the amount authorized to be appropriated under
    section 201(2) for research, development, test, and evaluation for the
    Navy, $8,000,000 shall be available to initiate the conversion and
    development of nuclear aircraft carrier design data into an electronic,
    three-dimensional product model.

    SEC. 215. DD-21 CLASS DESTROYER PROGRAM.

        (a) Authority.--The Secretary of the Navy is authorized to pursue a
    technology insertion approach for the construction of the DD-21
    destroyer that is based on the assumption of the following schedule:
                (1) Award of a contract for advance procurement for
            construction of components for the DD-21 destroyer during fiscal
            year 2004.
                (2) Delivery of the completed ship during fiscal year 2009.

        (b) Sense of Congress.--It is the sense of Congress that--
                (1) there are compelling reasons for starting the program
            for constructing the DD-21 destroyer during fiscal year 2004
            with available procurement funds and continuing with sequential
            construction of DD-21 class destroyers during the ensuing fiscal
            years until 32 DD-21 class destroyers have been constructed; and
                (2) the Secretary of the Navy, in providing for the
            acquisition of DD-21 class destroyers, should consider that--
                        (A) the Marine Corps needs the surface fire-support
                    capabilities of the DD-21 class destroyers as soon as
                    possible in order to mitigate the inadequacies of the
                    surface fire-support capabilities that are currently
                    available;
                        (B) the Navy and Marine Corps need to resolve
                    whether there is a requirement for surface fire-support
                    missile weapon systems to be easily sustainable by means
                    of replenishment while under way;
                        (C) the technology insertion approach has been
                    successful for other ship construction programs and is
                    being pursued for the CVNX aircraft carrier program and
                    the Virginia class submarine program;

    [[Page 114 STAT. 1654A-35]]

                        (D) the establishment of a stable configuration for
                    the first 10 DD-21 class destroyers should enable the
                    construction of those ships with the greatest
                    capabilities at the lowest cost; and
                        (E) action to acquire DD-21 class destroyers should
                    be taken as soon as possible in order to realize fully
                    the cost savings that can be derived from the
                    construction and operation of DD-21 class destroyers,
                    including--
                              (i) savings in construction costs that would
                          result from achievement of the Navy's target per-
                          ship cost of $750,000,000 by the fifth ship
                          constructed in each construction yard;
                              (ii) savings that would result from the
                          estimated reduction of the crews of destroyers by
                          200 or more personnel for each ship; and
                              (iii) savings that would result from a
                          reduction in the operating costs for destroyers by
                          an estimated 70 percent.

        (c) Navy Plan for Use of Technology Insertion Approach for
    Construction of the DD-21 Ship.--The Secretary of the Navy shall submit
    to the Committees on Armed Services of the Senate and the House of
    Representatives, not later than April 18, 2001, a plan for pursuing a
    technology insertion approach for the construction of the DD-21
    destroyer as authorized under subsection (a). The plan shall include
    estimates of the resources necessary to carry out the plan.
        (d) Report on Acquisition and Maintenance Plan for DD-21 Class
    Ships.--The Secretary of Defense shall submit to the Committees on Armed
    Services of the Senate and the House of Representatives, not later than
    April 18, 2001, a report on the Navy's plan for the acquisition and
    maintenance of DD-21 class destroyers. The report shall include a
    discussion of each of the following matters:
                (1) The technical feasibility of contracting for, and
            commencing construction of, the first destroyer in that class
            during fiscal year 2004 and achieving delivery of the completed
            ship during fiscal year 2009.
                (2) An analysis of alternative contracting strategies for
            the construction of the first 10 destroyers in that class,
            including one or more multiyear procurement strategies and one
            or more strategies for block buy in economic order quantity.
                (3) A comparison of the effects on the destroyer industrial
            base and on costs to other Navy shipbuilding programs of the
            following two options:
                        (A) Commencing construction of the first destroyer
                    in that class during fiscal year 2004, with delivery of
                    the completed ship during fiscal year 2009, and delaying
                    commencement of construction of the next destroyer in
                    that class until fiscal year 2006.
                        (B) Commencing construction of the first destroyer
                    in that class during fiscal year 2005 (rather than
                    fiscal year 2004), with advance procurement during
                    fiscal year 2004 and delivery of the completed ship
                    during fiscal year 2010, and delaying commencement of
                    construction of the next destroyer in that class until
                    fiscal year 2007 (rather than fiscal year 2006).

    [[Page 114 STAT. 1654A-36]]

                (4) The effects on the fleet maintenance strategies of Navy
            fleet commanders, on commercial maintenance facilities in fleet
            concentration areas, and on the administration of funds in
            compliance with section 2466 of title 10, United States Code, of
            awarding to a contractor for the construction of a destroyer in
            that class all maintenance workloads for destroyers in that
            class that are below depot-level maintenance and above ship-
            level maintenance.

    SEC. 216. LIMITATION ON RUSSIAN AMERICAN OBSERVATION SATELLITES PROGRAM.

        None of the funds authorized to be appropriated under section 201(4)
    for the Russian American Observation Satellites program may be obligated
    or expended until 30 days after the Secretary of Defense submits to
    Congress a report explaining how the Secretary plans to protect United
    States advanced military technology that may be associated with the
    Russian American Observation Satellites program.

    SEC. 217. JOINT BIOLOGICAL DEFENSE PROGRAM.

        (a) Limitation.--Subject to subsection (c), funds authorized to be
    appropriated by this Act may not be obligated for the procurement of a
    vaccine for the biological agent anthrax until the Secretary of Defense
    has submitted to the congressional defense committees each of the
    following:
                (1) A written notification that the Food and Drug
            Administration has approved the current manufacturer for
            production of the vaccine.
                (2) A report on the contingencies associated with continuing
            to rely on the current manufacturer to supply the vaccine.

        (b) Content of Report.--The report required under subsection (a)(2)
    shall include each of the following:
                (1) Recommended strategies to mitigate the risk to the
            Department of Defense of losing the current manufacturer as a
            source of anthrax vaccine, together with a discussion of the
            criteria to be applied in determining whether to carry out any
            of the strategies and which strategy to carry out.
                (2) Recommended strategies to ensure that the Department of
            Defense can procure, from one or more sources other than the
            current manufacturer, an anthrax vaccine approved by the Food
            and Drug Administration that meets the requirements of the
            Department if--
                        (A) the Food and Drug Administration does not
                    approve the release of the anthrax vaccine available
                    from the current manufacturer; or
                        (B) the current manufacturer terminates the
                    production of anthrax vaccine permanently.
                (3) A five-year budget to support each strategy recommended
            under paragraph (1) or (2).

        (c) Permissible Obligations.--(1) This section does not limit the
    obligation of funds for any of the following purposes:
                (A) The support of any action that is necessary for the
            current manufacturer to comply with standards of the Food and
            Drug Administration (including those purposes necessary to
            obtain or maintain a biological license application) applicable
            to anthrax vaccine.

    [[Page 114 STAT. 1654A-37]]

                (B) Establishing an additional source (other than or in
            conjunction with the current manufacturer) for the production of
            anthrax vaccine.
                (C) Any action that the Secretary determines necessary to
            ensure production of anthrax vaccine for meeting an urgent and
            immediate national defense requirement.

        (2) Not later than seven days after the total amount of the funds
    obligated (or obligated and expended) for purposes specified in
    paragraph (1) exceeds $5,000,000, the Secretary shall submit to Congress
    a notification that the total obligations exceed that amount, together
    with a written justification for the obligation of funds in excess of
    that amount.
        (d) Current Manufacturer.--In this section, the term ``current
    manufacturer'' means the manufacturing source from which the Department
    of Defense is procuring anthrax vaccine as of the date of the enactment
    of this Act.

    SEC. 218. REPORT ON BIOLOGICAL WARFARE DEFENSE VACCINE RESEARCH AND
                DEVELOPMENT PROGRAMS.

        (a) Report Required.--Not later than February 1, 2001, the Secretary
    of Defense shall submit to the congressional defense committees a report
    on the acquisition of biological warfare defense vaccines for the
    Department of Defense.
        (b) Contents.--The report shall include the following:
                (1) The Secretary's evaluation of the implications of
            reliance on the commercial sector to meet the requirements of
            the Department of Defense for biological warfare defense
            vaccines.
                (2) A design for a government-owned, contractor-operated
            facility for the production of biological warfare defense
            vaccines that meets the requirements of the Department for such
            vaccines, and the assumptions on which that design is based.
                (3) A preliminary cost estimate of, and schedule for,
            establishing and bringing into operation such a facility, and
            the estimated annual cost of operating such a facility
            thereafter.
                (4) A determination, developed in consultation with the
            Surgeon General, of the utility of such a facility to support
            the production of vaccines for the civilian sector, and a
            discussion of the effects that the use of such a facility for
            that purpose might have on--
                        (A) the production of vaccines for the Armed Forces;
                    and
                        (B) the annual cost of operating such a facility.
                (5) An analysis of the effects that international
            requirements for vaccines, and the production of vaccines in
            response to those requirements, might have on--
                        (A) the production of vaccines for the Armed Forces;
                    and
                        (B) the annual cost of operating such a facility.

        (c) Biological Warfare Defense Vaccine Defined.--In this section,
    the term ``biological warfare defense vaccine'' means a vaccine useful
    for the immunization of military personnel to protect against biological
    agents on the Validated Threat List issued by the Joint Chiefs of Staff,
    whether such vaccine is in production or is being developed.

    [[Page 114 STAT. 1654A-38]]

    SEC. 219. COST LIMITATIONS APPLICABLE TO F-22 AIRCRAFT PROGRAM.

        (a) Flexibility in Engineering and Manufacturing Development Cost
    Cap.--Section 217(c) of the National Defense Authorization Act for
    Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1660) is amended by
    adding at the end the following new paragraph:
                ``(3) With respect to the limitation in subsection (a), an
            increase by an amount that does not exceed 1\1/2\ percent of the
            total amount of that limitation (taking into account the
            increases and decreases, if any, under paragraphs (1) and (2))
            if the Director of Operational Test and Evaluation, after
            consulting with the Under Secretary of Defense for Acquisition,
            Technology, and Logistics, determines that the increase is
            necessary in order to ensure adequate testing.''.

        (b) Reestablishment of Separate Engineering and Manufacturing
    Development Cost Cap and Production Cost Cap.--The provisions of
    subsections (a) and (b) of section 217 of the National Defense
    Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat.
    1660) shall continue to apply with respect to amounts obligated and
    expended for engineering and manufacturing development, and for
    production, respectively, for the F-22 aircraft program without regard
    to any provision of law establishing a single limitation on amounts
    obligated and expended for engineering and manufacturing development and
    for production for that program.

    SEC. 220. UNMANNED ADVANCED CAPABILITY COMBAT AIRCRAFT AND GROUND COMBAT
                VEHICLES.

        (a) Goal.--It shall be a goal of the Armed Forces to achieve the
    fielding of unmanned, remotely controlled technology such that--
                (1) by 2010, one-third of the aircraft in the operational
            deep strike force aircraft fleet are unmanned; and
                (2) by 2015, one-third of the operational ground combat
            vehicles are unmanned.

        (b) Report on Unmanned Advanced Capability Combat Aircraft and
    Ground Combat Vehicles.--(1) Not later than January 31, 2001, the
    Secretary of Defense shall submit to the congressional defense
    committees a report on the programs to demonstrate unmanned advanced
    capability combat aircraft and ground combat vehicles undertaken jointly
    between the Director of the Defense Advanced Research Projects Agency
    and any of the following:
                (A) The Secretary of the Army.
                (B) The Secretary of the Navy.
                (C) The Secretary of the Air Force.

        (2) The report shall include, for each program referred to in
    paragraph (1), the following:
                (A) A schedule for the demonstration to be carried out under
            that program.
                (B) An identification of the funding required for fiscal
            year 2002 and for the future-years defense program to carry out
            that program and for the demonstration to be carried out under
            that program.
                (C) In the case of the program relating to the Army, the
            plan for modification of the existing memorandum of agreement

    [[Page 114 STAT. 1654A-39]]

            with the Defense Advanced Research Projects Agency for
            demonstration and development of the Future Combat System to
            reflect an increase in unmanned, remotely controlled enabling
            technologies.

        (3) The report shall also include, for each Secretary referred to in
    paragraphs (1)(A), (1)(B), and (1)(C), a description and assessment of
    the acquisition strategy for unmanned advanced capability combat
    aircraft and ground combat vehicles planned by that Secretary, which
    shall include a detailed estimate of all research and development,
    procurement, operation, support, ownership, and other costs required to
    carry out such strategy through the year 2030, and--
                (A) in the case of the acquisition strategy relating to the
            Army, the transition from the planned acquisition strategy for
            the Future Combat System to an acquisition strategy capable of
            meeting the goal specified in subsection (a)(2);
                (B) in the case of the acquisition strategy relating to the
            Navy--
                        (i) the plan to implement a program that examines
                    the ongoing Air Force unmanned combat air vehicle
                    program and identifies an approach to develop a Navy
                    unmanned combat air vehicle program that has the goal of
                    developing an aircraft that is suitable for aircraft
                    carrier use and has maximum commonality with the
                    aircraft under the Air Force program; and
                        (ii) an analysis of alternatives between the
                    operational deep strike force aircraft fleet and that
                    fleet together with an additional 10 to 20 unmanned
                    advanced capability combat aircraft that are suitable
                    for aircraft carrier use and capable of penetrating
                    fully operational enemy air defense systems; and
                (C) in the case of the acquisition strategy relating to the
            Air Force--
                        (i) the schedule for evaluation of demonstration
                    results for the ongoing unmanned combat air vehicle
                    program and the earliest possible transition of that
                    program into engineering and manufacturing development
                    and procurement; and
                        (ii) an analysis of alternatives between the
                    currently planned deep strike force aircraft fleet and
                    the operational deep strike force aircraft fleet that
                    could be acquired by fiscal year 2010 to meet the goal
                    specified in subsection (a)(1).

        (c) Funds.--Of the amount authorized to be appropriated for Defense-
    wide activities under section 201(4) for the Defense Advanced Research
    Projects Agency, $100,000,000 shall be available only to carry out the
    programs referred to in subsection (b)(1).
        (d) Definitions.--For purposes of this section:
                (1) An aircraft or ground combat vehicle has ``unmanned
            advanced capability'' if it is an autonomous, semi-autonomous,
            or remotely controlled system that can be deployed, re-tasked,
            recovered, and re-deployed.
                (2) The term ``currently planned deep strike force aircraft
            fleet'' means the early entry, deep strike aircraft fleet
            (composed of F-117 stealth aircraft and B-2 stealth aircraft)
            that is currently planned for fiscal year 2010.

    [[Page 114 STAT. 1654A-40]]

                (3) The term ``operational deep strike force aircraft
            fleet'' means the currently planned deep strike force aircraft
            fleet, together with at least 30 unmanned advanced capability
            combat aircraft that are capable of penetrating fully
            operational enemy air defense systems.
                (4) The term ``operational ground combat vehicles'' means
            ground combat vehicles acquired through the Future Combat System
            acquisition program of the Army to equip the future objective
            force, as outlined in the vision statement of the Chief of Staff
            of the Army.

    SEC. 221. GLOBAL HAWK HIGH ALTITUDE ENDURANCE UNMANNED AERIAL VEHICLE.

        (a) Concept Demonstration Required.--The Secretary of Defense shall
    require and coordinate a concept demonstration of the Global Hawk high
    altitude endurance unmanned aerial vehicle.
        (b) Purpose of Demonstration.--The purpose of the concept
    demonstration is to demonstrate the capability of the Global Hawk high
    altitude endurance unmanned aerial vehicle to operate in an airborne
    surveillance mode, using available, non-developmental technology.
        (c) Time for Demonstration.--The Secretary shall initiate the
    demonstration not later than March 1, 2001.
        (d) Participation by CINCs.--The Secretary shall require the
    commander of the United States Joint Forces Command and the commander of
    the United States Southern Command jointly to provide guidance for the
    demonstration and otherwise to participate in the demonstration.
        (e) Scenario for Demonstration.--The demonstration shall be
    conducted in a counter-drug surveillance scenario that is designed to
    replicate factual conditions typically encountered in the performance of
    the counter-drug surveillance mission of the commander of the United
    States Southern Command within that commander's area of responsibility.
        (f ) Report.--Not later than 45 days after the demonstration is
    completed, the Secretary shall submit to Congress a report on the
    results of the demonstration. The report shall include the following:
                (1) The Secretary's assessment of the technical feasibility
            of using the Global Hawk high altitude endurance unmanned aerial
            vehicle for airborne air surveillance.
                (2) A discussion of the operational concept for the use of
            the vehicle for that purpose.

        (g) Funding.--Of the funds authorized to be appropriated by section
    301(20) for Drug Interdiction and Counter-drug Activities, Defense-wide,
    $18,000,000 shall be available for the concept demonstration required by
    subsection (a), including initiation of concurrent development for an
    improved surveillance radar.

    SEC. 222. ARMY SPACE CONTROL TECHNOLOGY DEVELOPMENT.

        Of the funds authorized to be appropriated under section 201(1) for
    Army space control technology, $3,000,000 shall be available for the
    kinetic energy anti-satellite technology program.

    [[Page 114 STAT. 1654A-41]]

                      Subtitle C--Ballistic Missile Defense

    SEC. 231. FUNDING FOR FISCAL YEAR 2001.

        Of the funds authorized to be appropriated in section 201(4),
    $1,875,238,000 shall be available for the National Missile Defense
    program.

    SEC. 232. REPORTS ON BALLISTIC MISSILE THREAT POSED BY NORTH KOREA.

        (a) Report On Ballistic Missile Threat.--Not later than two weeks
    after the next flight test by North Korea of a long-range ballistic
    missile, the President shall submit to Congress, in classified and
    unclassified form, a report on the North Korean ballistic missile threat
    to the United States. The report shall include the following:
                (1) An assessment of the current North Korean missile threat
            to the United States.
                (2) An assessment of whether the United States is capable of
            defeating the North Korean long-range missile threat to the
            United States as of the date of the report.
                (3) An assessment of when the United States will be capable
            of defeating the North Korean missile threat to the United
            States.
                (4) An assessment of the potential for proliferation of
            North Korean missile technologies to other states and whether
            such proliferation will accelerate the development of additional
            long-range ballistic missile threats to the United States.

        (b) Report on Reducing Vulnerability.--Not later than two weeks
    after the next flight test by North Korea of a long-range ballistic
    missile, the President shall submit to Congress a report providing the
    following:
                (1) Any additional steps the President intends to take to
            reduce the period of time during which the Nation is vulnerable
            to the North Korean long-range ballistic missile threat.
                (2) The technical and programmatic viability of testing any
            other missile defense systems against targets with flight
            characteristics similar to the North Korean long-range missile
            threat, and plans to do so if such tests are considered to be a
            viable alternative.

        (c) Definition.--For purposes of this section, the term ``United
    States'', when used in a geographic sense, means the 50 States, the
    District of Columbia, and any Commonwealth, territory, or possession of
    the United States.

    SEC. 233. PLAN TO MODIFY BALLISTIC MISSILE DEFENSE ARCHITECTURE.

        (a) Plan.--The Director of the Ballistic Missile Defense
    Organization shall develop a plan to adapt ballistic missile defense
    systems and architectures to counter potential threats to the United
    States, United States forces deployed outside the United States, and
    other United States national security interests that are posed by longer
    range medium-range ballistic missiles and intermediate-range ballistic
    missiles.
        (b) Use of Space-Based Sensors Included.--The plan shall include--
                (1) potential use of space-based sensors, including the
            Space-Based Infrared System (SBIRS) Low and Space-Based

    [[Page 114 STAT. 1654A-42]]

            Infrared System (SBIRS) High, Navy theater missile defense
            assets, upgrades of land-based theater missile defenses, the
            airborne laser, and other assets available in the European
            theater; and
                (2) a schedule for ground and flight testing against the
            identified threats.

        (c) Report.--The Secretary of Defense shall assess the plan and, not
    later than February 15, 2001, shall submit to the congressional defense
    committees a report on the results of the assessment.

    SEC. 234. MANAGEMENT OF AIRBORNE LASER PROGRAM.

        (a) Oversight of Funding, Schedule, and Technical Requirements.--
    With respect to the program known as of the date of the enactment of
    this Act as the ``Airborne Laser'' program, the Secretary of Defense
    shall require that the Secretary of the Air Force obtain the concurrence
    of the Director of the Ballistic Missile Defense Organization before the
    Secretary--
                (1) makes any change to the funding plan or schedule for
            that program that would delay to a date later than September 30,
            2003, the first test of the airborne laser that is intended to
            destroy a ballistic missile in flight;
                (2) makes any change to the funding plan for that program in
            the future-years defense program that would delay the initial
            operational capability of the airborne laser; and
                (3) makes any change to the technical requirements of the
            airborne laser that would significantly reduce its ballistic
            missile defense capabilities.

        (b) Report.--Not later than February 15, 2001, the Director of the
    Ballistic Missile Defense Organization shall submit to the congressional
    defense committees a report, to be prepared in coordination with the
    Secretary of the Air Force, on the role of the airborne laser in the
    family of systems missile defense architecture developed by the Director
    of the Ballistic Missile Defense Organization and the Director of the
    Joint Theater Air and Missile Defense Organization. The report shall be
    submitted in unclassified and, if necessary, classified form. The report
    shall include the following:
                (1) An assessment by the Secretary of the Air Force and the
            Director of the Ballistic Missile Defense Organization of the
            funding plan for that program required to achieve the schedule
            identified in paragraphs (1) and (2) of subsection (a).
                (2) Potential future airborne laser roles in that
            architecture.
                (3) An assessment of the effect of deployment of the
            airborne laser on requirements for theater ballistic missile
            defense systems.
                (4) An assessment of the cost effectiveness of the airborne
            laser compared to other ballistic missile defense systems.
                (5) An assessment of the relative significance of the
            airborne laser in the family of systems missile defense
            architecture.

    [[Page 114 STAT. 1654A-43]]

                     Subtitle D--High Energy Laser Programs

    SEC. 241. FUNDING.

        (a) Funding for Fiscal Year 2001.--(1) Of the amount authorized to
    be appropriated by section 201(4), $30,000,000 is authorized for high
    energy laser development.
        (2) Funds available under this subsection are available to
    supplement the high energy laser programs of the military departments
    and Defense Agencies, as determined by the official designated under
    section 243.
        (b) Sense of Congress.--It is the sense of Congress that--
                (1) the Department of Defense should establish funding for
            high energy laser programs within the science and technology
            programs of each of the military departments and the Ballistic
            Missile Defense Organization; and
                (2) the Secretary of Defense should establish a goal that
            basic, applied, and advanced research in high energy laser
            technology should constitute at least 4.5 percent of the total
            science and technology budget of the Department of Defense by
            fiscal year 2004.

    SEC. 242. IMPLEMENTATION OF HIGH ENERGY LASER MASTER PLAN.

        The Secretary of Defense shall implement the management and
    organizational structure specified in the Department of Defense High
    Energy Laser Master Plan of March 24, 2000.

    SEC. 243. DESIGNATION OF SENIOR OFFICIAL FOR HIGH ENERGY LASER PROGRAMS.

        (a) Designation.--The Secretary of Defense shall designate a single
    senior civilian official in the Office of the Secretary of Defense (in
    this subtitle referred to as the ``designated official'') to chair the
    High Energy Laser Technology Council called for in the master plan
    referred to in section 242 and to carry out responsibilities for the
    programs for which funds are provided under this subtitle. The
    designated official shall report directly to the Under Secretary of
    Defense for Acquisition, Technology, and Logistics for matters
    concerning the responsibilities specified in subsection (b).
        (b) Responsibilities.--The primary responsibilities of the
    designated official shall include the following:
                (1) Establishment of priorities for the high energy laser
            programs of the military departments and the Defense Agencies.
                (2) Coordination of high energy laser programs among the
            military departments and the Defense Agencies.
                (3) Identification of promising high energy laser
            technologies for which funding should be a high priority for the
            Department of Defense and establishment of priority for funding
            among those technologies.
                (4) Preparation, in coordination with the Secretaries of the
            military departments and the Directors of the Defense Agencies,
            of a detailed technology plan to develop and mature high energy
            laser technologies.
                (5) Planning and programming appropriate to rapid evolution
            of high energy laser technology.
                (6) Ensuring that high energy laser programs of each
            military department and the Defense Agencies are initiated and

    [[Page 114 STAT. 1654A-44]]

            managed effectively and are complementary with programs managed
            by the other military departments and Defense Agencies and by
            the Office of the Secretary of Defense.
                (7) Ensuring that the high energy laser programs of the
            military departments and the Defense Agencies comply with the
            requirements specified in subsection (c).

        (c) Coordination and Funding Balance.--In carrying out the
    responsibilities specified in subsection (b), the designated official
    shall ensure that--
                (1) high energy laser programs of each military department
            and of the Defense Agencies are consistent with the priorities
            identified in the designated official's planning and programming
            activities;
                (2) funding provided by the Office of the Secretary of
            Defense for high energy laser research and development
            complements high energy laser programs for which funds are
            provided by the military departments and the Defense Agencies;
                (3) programs, projects, and activities to be carried out by
            the recipients of such funds are selected on the basis of
            appropriate competitive procedures or Department of Defense peer
            review process;
                (4) beginning with fiscal year 2002, funding from the Office
            of the Secretary of Defense in applied research and advanced
            technology development program elements is not applied to
            technology efforts in support of high energy laser programs that
            are not funded by a military department or the Defense Agencies;
            and
                (5) funding from the Office of the Secretary of Defense to
            complement an applied research or advanced technology
            development high energy laser program for which funds are
            provided by one of the military departments or the Defense
            Agencies do not exceed the amount provided by the military
            department or the Defense Agencies for that program.

    SEC. 244. SITE FOR JOINT TECHNOLOGY OFFICE.

        (a) Deadline for Selection of Site.--The Secretary of Defense shall
    locate the Joint Technology Office called for in the High Energy Laser
    Master Plan referred to in section 242 at a location determined
    appropriate by the Secretary not later than 30 days after the date of
    the enactment of this Act.
        (b) Consideration of Site.--In determining the location of the Joint
    Technology Office, the Secretary shall, in consultation with the Deputy
    Under Secretary of Defense for Science and Technology, assess--
                (1) cost;
                (2) accessibility between the Office and the Armed Forces
            and senior Department of Defense leaders; and
                (3) the advantages and disadvantages of locating the Office
            at a site at which occurs a substantial proportion of the
            directed energy research, development, test, and evaluation
            activities of the Department of Defense.

    SEC. 245. HIGH ENERGY LASER INFRASTRUCTURE IMPROVEMENTS.

        (a) Enhancement of Industrial Base.--The Secretary of Defense shall
    consider, evaluate, and undertake to the extent appropriate initiatives,
    including investment initiatives, to enhance the industrial base to
    support military applications of high energy laser technologies and
    systems.

    [[Page 114 STAT. 1654A-45]]

        (b) Enhancement of Test and Evaluation Capabilities.--The Secretary
    of Defense shall consider modernizing the High Energy Laser Test
    Facility at White Sands Missile Range, New Mexico, in order to enhance
    the test and evaluation capabilities of the Department of Defense with
    respect to high energy laser weapons.

    SEC. 246. COOPERATIVE PROGRAMS AND ACTIVITIES.

        (a) Memorandum of Agreement With NNSA.--(1) The Secretary of Defense
    and the Administrator for Nuclear Security of the Department of Energy
    shall enter into a memorandum of agreement to conduct joint research and
    development on military applications of high energy lasers.
        (2) The projects pursued under the memorandum of agreement--
                (A) shall be of mutual benefit to the national security
            programs of the Department of Defense and the National Nuclear
            Security Administration of the Department of Energy;
                (B) shall be prioritized jointly by officials designated to
            do so by the Secretary of Defense and the Administrator; and
                (C) shall be consistent with the technology plan prepared
            pursuant to section 243(b)(4) and the requirements identified in
            section 243(c).

        (3) The costs of each project pursued under the memorandum of
    agreement shall be shared equally by the Department of Defense and the
    National Nuclear Security Administration.
        (4) The memorandum of agreement shall provide for appropriate peer
    review of projects pursued under the memorandum of agreement.
        (b) Evaluation of Other Cooperative Programs and Activities.--The
    Secretary of Defense shall evaluate the feasibility and advisability of
    entering into cooperative programs or activities with other Federal
    agencies, institutions of higher education, and the private sector for
    the purpose of enhancing the programs, projects, and activities of the
    Department of Defense relating to high energy laser technologies,
    systems, and weapons.

    SEC. 247. TECHNOLOGY PLAN.

        The designated official shall submit to the congressional defense
    committees by February 15, 2001, the technology plan prepared pursuant
    to section 243(b)(4). The report shall be submitted in unclassified and,
    if necessary, classified form.

    SEC. 248. ANNUAL REPORT.

        Not later than February 15 of 2001, 2002, and 2003, the Secretary of
    Defense shall submit to the congressional defense committees a report on
    the high energy laser programs of the Department of Defense. Each report
    shall include an assessment of the following:
                (1) The adequacy of the management structure of the
            Department of Defense for the high energy laser programs.
                (2) The funding available for the high energy laser
            programs.
                (3) The technical progress achieved for the high energy
            laser programs.
                (4) The extent to which goals and objectives of the high
            energy laser technology plan have been met.

    [[Page 114 STAT. 1654A-46]]

    SEC. 249. DEFINITION.

        For purposes of this subtitle, the term ``high energy laser'' means
    a laser that has average power in excess of one kilowatt and that has
    potential weapons applications.

    SEC. 250. REVIEW OF DEFENSE-WIDE DIRECTED ENERGY PROGRAMS.

        (a) Evaluation.--The Secretary of Defense, in consultation with the
    Deputy Under Secretary of Defense for Science and Technology, shall
    evaluate expansion of the High Energy Laser management structure
    specified in section 242 for possible inclusion in that management
    structure of science and technology programs in related areas, including
    the following:
                (1) High power microwave technologies.
                (2) Low energy and nonlethal laser technologies.
                (3) Other directed energy technologies.

        (b) Consideration of Prior Study.--The evaluation under subsection
    (a) shall take into consideration the July 1999 Department of Defense
    study on streamlining and coordinating science and technology and
    research, development, test, and evaluation within the Department of
    Defense.
        (c) Report.--The Secretary of Defense shall submit to the
    congressional defense committees a report on the findings of the
    evaluation under subsection (a). The report shall be submitted not later
    than March 15, 2001.

                            Subtitle E--Other Matters

    SEC. 251. REPORTS ON MOBILE OFFSHORE BASE CONCEPT AND POTENTIAL USE FOR
                CERTAIN PURPOSES OF TECHNOLOGIES ASSOCIATED WITH THAT
                CONCEPT.

        (a) Report on Merits of Mobile Offshore Base Concept.--Not later
    than March 1, 2001, the Secretary of Defense shall submit to the
    congressional defense committees a report on the mobile offshore base
    concept. The report shall include the following:
                (1) A cost-benefit analysis of the mobile offshore base,
            using operational concepts that would support the National
            Military Strategy.
                (2) A recommendation regarding whether to proceed with the
            mobile offshore base as a program and, if so--
                        (A) a statement regarding which of the Armed Forces
                    is to be designated to have the lead responsibility for
                    the program; and
                        (B) a schedule for the program.

        (b) Report on Potential Use for Certain Purposes of Associated
    Technologies.--Not later than March 1, 2001, the Secretary of the Navy
    shall submit to the congressional defense committees a report on the
    potential use of technologies associated with the mobile offshore base
    concept. The report shall include an assessment of the potential
    application and feasibility of using existing technologies, including
    those technologies associated with the mobile offshore base concept, to
    a sea-based landing platform for support of naval aviation training.

    SEC. 252. AIR FORCE SCIENCE AND TECHNOLOGY PLANNING.

        (a) Requirement for Review.--The Secretary of the Air Force shall
    conduct a review of the long-term challenges and short-term objectives
    of the Air Force science and technology programs. The

    [[Page 114 STAT. 1654A-47]]

    Secretary shall complete the review not later than one year after the
    date of the enactment of this Act.
        (b) Matters To Be Reviewed.--The review shall include the following:
                (1) An assessment of the budgetary resources that are being
            used for fiscal year 2001 for addressing the long-term
            challenges and the short-term objectives of the Air Force
            science and technology programs.
                (2) The budgetary resources that are necessary to address
            those challenges and objectives adequately.
                (3) A course of action for each projected or ongoing Air
            Force science and technology program that does not address
            either the long-term challenges or the short-term objectives.
                (4) The matters required under subsection (c)(5) and (d)(6).

        (c) Long-Term Challenges.--(1) The Secretary of the Air Force shall
    establish an integrated product team to identify high-risk, high-payoff
    challenges that will provide a long-term focus and motivation for the
    Air Force science and technology programs over the next 20 to 50 years
    following the enactment of this Act. The integrated product team shall
    include representatives of the Office of Scientific Research and
    personnel from the Air Force Research Laboratory.
        (2) The team shall solicit views from the entire Air Force science
    and technology community on the matters under consideration by the team.
        (3) The team--
                (A) shall select for consideration science and technology
            challenges that involve--
                        (i) compelling requirements of the Air Force;
                        (ii) high-risk, high-payoff areas of exploration;
                    and
                        (iii) very difficult, but probably achievable,
                    results; and
                (B) should not select a linear extension of any ongoing Air
            Force science and technology program for consideration as a
            science and technology challenge under subparagraph (A).

        (4) The Deputy Assistant Secretary of the Air Force for Science,
    Technology, and Engineering shall designate a technical coordinator and
    a management coordinator for each science and technology challenge
    identified pursuant to this subsection. Each technical coordinator shall
    have sufficient expertise in fields related to the challenge to be able
    to identify other experts in such fields and to affirm the credibility
    of the challenge. The coordinator for a science and technology challenge
    shall conduct workshops within the relevant scientific and technological
    community to obtain suggestions for possible approaches to addressing
    the challenge and to identify ongoing work that addresses the challenge,
    deficiencies in current work relating to the challenge, and promising
    areas of research.
        (5) In carrying out subsection (a), the Secretary of the Air Force
    shall review the science and technology challenges identified pursuant
    to this subsection and, for each such challenge, at a minimum--
                (A) consider the results of the workshops conducted pursuant
            to paragraph (4); and
                (B) identify any work not currently funded by the Air Force
            that should be performed to meet the challenge.

        (d) Short-Term Objectives.--(1) The Secretary of the Air Force shall
    establish a task force to identify short-term technological

    [[Page 114 STAT. 1654A-48]]

    objectives of the Air Force science and technology programs. The task
    force shall be chaired by the Deputy Assistant Secretary of the Air
    Force for Science, Technology, and Engineering and shall include
    representatives of the Chief of Staff of the Air Force and the specified
    combatant commands of the Air Force.
        (2) The task force shall solicit views from the entire Air Force
    requirements community, user community, and acquisition community.
        (3) The task force shall select for consideration short-term
    objectives that involve--
                (A) compelling requirements of the Air Force;
                (B) support in the user community; and
                (C) likely attainment of the desired benefits within a five-
            year period.

        (4) The Deputy Assistant Secretary of the Air Force for Science,
    Technology, and Engineering shall establish an integrated product team
    for each short-term objective identified pursuant to this subsection.
    Each integrated product team shall include representatives of the
    requirements community, the user community, and the science and
    technology community with relevant expertise.
        (5) The integrated product team for a short-term objective shall be
    responsible for--
                (A) identifying, defining, and prioritizing the enabling
            capabilities that are necessary for achieving the objective;
                (B) identifying deficiencies in the enabling capabilities
            that must be addressed if the short-term objective is to be
            achieved; and
                (C) working with the Air Force science and technology
            community to identify science and technology projects and
            programs that should be undertaken to eliminate each deficiency
            in an enabling capability.

        (6) In carrying out subsection (a), the Secretary of the Air Force
    shall review the short-term science and technology objectives identified
    pursuant to this subsection and, for each such objective, at a minimum--
                (A) consider the work of the integrated product team
            conducted pursuant to paragraph (5); and
                (B) identify the science and technology work of the Air
            Force that should be undertaken to eliminate each deficiency in
            enabling capabilities that is identified by the integrated
            product team pursuant to subparagraph (B) of that paragraph.

        (e) Comptroller General Review.--(1) Not later than 90 days after
    the Secretary of the Air Force completes the review required by
    subsection (a), the Comptroller General shall submit to Congress a
    report on the results of the review. The report shall include the
    Comptroller General's assessment regarding the extent to which the
    review was conducted in compliance with the requirements of this
    section.
        (2) Immediately upon completing the review required by subsection
    (a), the Secretary of Defense shall notify the Comptroller General of
    the completion of the review. For the purposes of paragraph (1), the
    date of the notification shall be considered the date of the completion
    of the review.

    [[Page 114 STAT. 1654A-49]]

    SEC. 253. ENHANCEMENT OF AUTHORITIES REGARDING EDUCATION PARTNERSHIPS
                FOR PURPOSES OF ENCOURAGING SCIENTIFIC STUDY.

        (a) Assistance in Support of Partnerships.--Subsection (b) of
    section 2194 of title 10, United States Code, is amended--
                (1) in the matter preceding paragraph (1), by inserting ``,
            and is encouraged to provide,'' after ``may provide'';
                (2) in paragraph (1), by inserting before the semicolon the
            following: ``for any purpose and duration in support of such
            agreement that the director considers appropriate''; and
                (3) by striking paragraph (2) and inserting the following
            new paragraph (2):
                ``(2) notwithstanding the provisions of the Federal Property
            and Administrative Services Act of 1949 (40 U.S.C. 471 et seq.)
            or any provision of law or regulation relating to transfers of
            surplus property, transferring to the institution any computer
            equipment, or other scientific equipment, that is--
                        ``(A) commonly used by educational institutions;
                        ``(B) surplus to the needs of the defense
                    laboratory; and
                        ``(C) determined by the director to be appropriate
                    for support of such agreement;''.

        (b) Defense Laboratory Defined.--Subsection (e) of that section is
    amended to read as follows:
        ``(e) In this section:
                ``(1) The term `defense laboratory' means any laboratory,
            product center, test center, depot, training and educational
            organization, or operational command under the jurisdiction of
            the Department of Defense.
                ``(2) The term `local educational agency' has the meaning
            given such term in section 14101 of the Elementary and Secondary
            Education Act of 1965 (20 U.S.C. 8801).''.

    SEC. 254. RECOGNITION OF THOSE INDIVIDUALS INSTRUMENTAL TO NAVAL
                RESEARCH EFFORTS DURING THE PERIOD FROM BEFORE WORLD WAR II
                THROUGH THE END OF THE COLD WAR.

        (a) Findings.--Congress makes the following findings:
                (1) The contributions of the Nation's scientific community
            and of science research to the victory of the United States and
            its allies in World War II resulted in the understanding that
            science and technology are of critical importance to the future
            security of the Nation.
                (2) Academic institutions and oceanographers provided vital
            support to the Navy and the Marine Corps during World War II.
                (3) Congress created the Office of Naval Research in the
            Department of the Navy in 1946 to ensure the availability of
            resources for research in oceanography and other fields related
            to the missions of the Navy and Marine Corps.
                (4) The Office of Naval Research of the Department of the
            Navy, in addition to its support of naval research within the
            Federal Government, has also supported the conduct of
            oceanographic and scientific research through partnerships with
            educational and scientific institutions throughout the Nation.

    [[Page 114 STAT. 1654A-50]]

                (5) These partnerships have long been recognized as among
            the most innovative and productive research partnerships ever
            established by the Federal Government and have resulted in a
            vast improvement in understanding of basic ocean processes and
            the development of new technologies critical to the security and
            defense of the Nation.

        (b) Congressional Recognition and Appreciation.--Congress--
                (1) applauds the commitment and dedication of the officers,
            scientists, researchers, students, and administrators who were
            instrumental to the program of partnerships for oceanographic
            and scientific research between the Federal Government and
            academic institutions, including those individuals who helped
            forge that program before World War II, implement it during
            World War II, and improve it throughout the Cold War;
                (2) recognizes that the Nation, in ultimately prevailing in
            the Cold War, relied to a significant extent on research
            supported by, and technologies developed through, those
            partnerships and, in particular, on the superior understanding
            of the ocean environment generated through that research;
                (3) supports efforts by the Secretary of the Navy and the
            Chief of Naval Research to honor those individuals, who
            contributed so greatly and unselfishly to the naval mission and
            the national defense, through those partnerships during the
            period beginning before World War II and continuing through the
            end of the Cold War; and
                (4) expresses appreciation for the ongoing efforts of the
            Office of Naval Research to support oceanographic and scientific
            research and the development of researchers in those fields, to
            ensure that such partnerships will continue to make important
            contributions to the defense and the general welfare of the
            Nation.

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Armed Forces Retirement Home.
    Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
    Sec. 305. Joint warfighting capabilities assessment teams.

                      Subtitle B--Environmental Provisions

    Sec. 311. Establishment of additional environmental restoration account
               and use of accounts for operation and monitoring of
               environmental remedies.
    Sec. 312. Certain environmental restoration activities.
    Sec. 313. Annual reports under Strategic Environmental Research and
               Development Program.
    Sec. 314. Payment of fines and penalties for environmental compliance at
               Fort Wainwright, Alaska.
    Sec. 315. Payment of fines or penalties imposed for environmental
               compliance violations at other Department of Defense
               facilities.
    Sec. 316. Reimbursement for certain costs in connection with the former
               Nansemond Ordnance Depot Site, Suffolk, Virginia.
    Sec. 317. Necessity of military low-level flight training to protect
               national security and enhance military readiness.
    Sec. 318. Ship disposal project.
    Sec. 319. Defense Environmental Security Corporate Information
               Management Program.

    [[Page 114 STAT. 1654A-51]]

    Sec. 320. Report on Plasma Energy Pyrolysis System.
    Sec. 321. Sense of Congress regarding environmental restoration of
               former defense manufacturing site, Santa Clarita, California.

       Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

    Sec. 331. Use of appropriated funds to cover operating expenses of
               commissary stores.
    Sec. 332. Adjustment of sales prices of commissary store goods and
               services to cover certain expenses.
    Sec. 333. Use of surcharges for construction and improvement of
               commissary stores.
    Sec. 334. Inclusion of magazines and other periodicals as an authorized
               commissary merchandise category.
    Sec. 335. Use of most economical distribution method for distilled
               spirits.
    Sec. 336. Report on effects of availability of slot machines on United
               States military installations overseas.

             Subtitle D--Department of Defense Industrial Facilities

    Sec. 341. Designation of Centers of Industrial and Technical Excellence
               and public-private partnerships to increase utilization of
               such centers.
    Sec. 342. Unutilized and underutilized plant-capacity costs of United
               States arsenals.
    Sec. 343. Arsenal support program initiative.
    Sec. 344. Codification and improvement of armament retooling and
               manufacturing support programs.

         Subtitle E--Performance of Functions by Private-Sector Sources

    Sec. 351. Inclusion of additional information in reports to Congress
               required before conversion of commercial or industrial type
               functions to contractor performance.
    Sec. 352. Effects of outsourcing on overhead costs of Centers of
               Industrial and Technical Excellence and Army ammunition
               plants.
    Sec. 353. Consolidation, restructuring, or reengineering of Department
               of Defense organizations, functions, or activities.
    Sec. 354. Monitoring of savings resulting from workforce reductions as
               part of conversion of functions to performance by private
               sector or other strategic sourcing initiatives.
    Sec. 355. Performance of emergency response functions at chemical
               weapons storage installations.
    Sec. 356. Suspension of reorganization or relocation of Naval Audit
               Service.

                    Subtitle F--Defense Dependents Education

    Sec. 361. Eligibility of dependents of American Red Cross employees for
               enrollment in Department of Defense domestic dependent
               schools in Puerto Rico.
    Sec. 362. Assistance to local educational agencies that benefit
               dependents of members of the Armed Forces and Department of
               Defense civilian employees.
    Sec. 363. Impact aid for children with severe disabilities.
    Sec. 364. Assistance for maintenance, repair, and renovation of school
               facilities that serve dependents of members of the Armed
               Forces and Department of Defense civilian employees.

                      Subtitle G--Military Readiness Issues

    Sec. 371. Measuring cannibalization of parts, supplies, and equipment
               under readiness reporting system.
    Sec. 372. Reporting requirements regarding transfers from high-priority
               readiness appropriations.
    Sec. 373. Effects of worldwide contingency operations on readiness of
               military aircraft and equipment.
    Sec. 374. Identification of requirements to reduce backlog in
               maintenance and repair of defense facilities.
    Sec. 375. New methodology for preparing budget requests to satisfy Army
               readiness requirements.
    Sec. 376. Review of AH-64 aircraft program.
    Sec. 377. Report on Air Force spare and repair parts program for C-5
               aircraft.

                            Subtitle H--Other Matters

    Sec. 381. Annual report on public sale of certain military equipment
               identified on United States Munitions List.
    Sec. 382. Resale of armor-piercing ammunition disposed of by the Army.
    Sec. 383. Reimbursement by civil air carriers for support provided at
               Johnston Atoll.

    [[Page 114 STAT. 1654A-52]]

    Sec. 384. Travel by Reserves on military aircraft.
    Sec. 385. Overseas airlift service on Civil Reserve Air Fleet aircraft.
    Sec. 386. Additions to plan for ensuring visibility over all in-transit
               end items and secondary items.
    Sec. 387. Reauthorization of pilot program for acceptance and use of
               landing fees charged for use of domestic military airfields
               by civil aircraft.
    Sec. 388. Extension of authority to sell certain aircraft for use in
               wildfire suppression.
    Sec. 389. Damage to aviation facilities caused by alkali silica
               reactivity.
    Sec. 390. Demonstration project to increase reserve component internet
               access and services in rural communities.
    Sec. 391. Additional conditions on implementation of Defense Joint
               Accounting System.
    Sec. 392. Report on Defense Travel System.
    Sec. 393. Review of Department of Defense costs of maintaining
               historical properties.

                   Subtitle A--Authorization of Appropriations

    SEC. 301. OPERATION AND MAINTENANCE FUNDING.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    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, $19,280,381,000.
                (2) For the Navy, $23,766,610,000.
                (3) For the Marine Corps, $2,826,291,000.
                (4) For the Air Force, $22,395,221,000.
                (5) For Defense-wide activities, $11,740,569,000.
                (6) For the Army Reserve, $1,561,418,000.
                (7) For the Naval Reserve, $978,946,000.
                (8) For the Marine Corps Reserve, $144,159,000.
                (9) For the Air Force Reserve, $1,903,859,000.
                (10) For the Army National Guard, $3,233,835,000.
                (11) For the Air National Guard, $3,468,375,000.
                (12) For the Defense Inspector General, $144,245,000.
                (13) For the United States Court of Appeals for the Armed
            Forces, $8,574,000.
                (14) For Environmental Restoration, Army, $389,932,000.
                (15) For Environmental Restoration, Navy, $294,038,000.
                (16) For Environmental Restoration, Air Force, $376,300,000.
                (17) For Environmental Restoration, Defense-wide,
            $21,412,000.
                (18) For Environmental Restoration, Formerly Used Defense
            Sites, $231,499,000.
                (19) For Overseas Humanitarian, Disaster, and Civic Aid
            programs, $55,900,000.
                (20) For Drug Interdiction and Counter-drug Activities,
            Defense-wide, $869,000,000.
                (21) For the Kaho'olawe Island Conveyance, Remediation, and
            Environmental Restoration Trust Fund, $25,000,000.
                (22) For Defense Health Program, $11,480,123,000.
                (23) For Cooperative Threat Reduction programs,
            $443,400,000.
                (24) For Overseas Contingency Operations Transfer Fund,
            $4,100,577,000.

    [[Page 114 STAT. 1654A-53]]

                (25) For Quality of Life Enhancements, Defense-wide,
            $10,500,000.

    SEC. 302. WORKING CAPITAL FUNDS.

        Funds are hereby authorized to be appropriated for fiscal year 2001
    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, $916,276,000.
                (2) For the National Defense Sealift Fund, $388,158,000.

    SEC. 303. ARMED FORCES RETIREMENT HOME.

        There is hereby authorized to be appropriated for fiscal year 2001
    from the Armed Forces Retirement Home Trust Fund the sum of $69,832,000
    for the operation of the Armed Forces Retirement Home, including the
    United States Soldiers' and Airmen's Home and the Naval Home.

    SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE TRANSACTION FUND.

        (a) Transfer Authority.--To the extent provided in appropriations
    Acts, not more than $150,000,000 is authorized to be transferred from
    the National Defense Stockpile Transaction Fund to operation and
    maintenance accounts for fiscal year 2001 in amounts as follows:
                (1) For the Army, $50,000,000.
                (2) For the Navy, $50,000,000.
                (3) For the Air Force, $50,000,000.

        (b) Treatment of Transfers.--Amounts transferred under this
    section--
                (1) shall be merged with, and be available for the same
            purposes and the same period as, the amounts in the accounts to
            which transferred; and
                (2) may not be expended for an item that has been denied
            authorization of appropriations by Congress.

        (c) Relationship to Other Transfer Authority.--The transfer
    authority provided in this section is in addition to the transfer
    authority provided in section 1001.

    SEC. 305. JOINT WARFIGHTING CAPABILITIES ASSESSMENT TEAMS.

        Of the total amount authorized to be appropriated under section
    301(5) for operation and maintenance for Defense-wide activities for the
    Joint Staff, $4,000,000 is available only for the improvement of the
    performance of analyses by the joint warfighting capabilities assessment
    teams of the Joint Requirements Oversight Council.

                      Subtitle B--Environmental Provisions

    SEC. 311. ESTABLISHMENT OF ADDITIONAL ENVIRONMENTAL RESTORATION ACCOUNT
                AND USE OF ACCOUNTS FOR OPERATION AND MONITORING OF
                ENVIRONMENTAL REMEDIES.

        (a) Account for Formerly Used Defense Sites.--Subsection (a) of
    section 2703 of title 10, United States Code, is amended by adding at
    the end the following new paragraph:
                ``(5) An account to be known as the `Environmental
            Restoration Account, Formerly Used Defense Sites'.''.

    [[Page 114 STAT. 1654A-54]]

        (b) Operation and Monitoring of Environmental Remedies.--Such
    section is further amended by adding at the end the following new
    subsection:
        ``(f ) Sole Source of Funds for Operation and Monitoring of
    Environmental Remedies.--(1) The sole source of funds for all phases of
    an environmental remedy at a site under the jurisdiction of the
    Department of Defense or a formerly used defense site shall be the
    applicable environmental restoration account established under
    subsection (a).
        ``(2) In this subsection, the term `environmental remedy' has the
    meaning given the term `remedy' in section 101 of CERCLA (42 U.S.C.
    9601).''.

    SEC. 312. CERTAIN ENVIRONMENTAL RESTORATION ACTIVITIES.

        Subsection (b) of section 2703 of title 10, United States Code, is
    amended to read as follows:
        ``(b) Obligation of Authorized Amounts.--(1) Funds authorized for
    deposit in an account under subsection (a) may be obligated or expended
    from the account only--
                ``(A) to carry out the environmental restoration functions
            of the Secretary of Defense and the Secretaries of the military
            departments under this chapter and under any other provision of
            law; and
                ``(B) to pay for the costs of permanently relocating a
            facility because of a release or threatened release of hazardous
            substances, pollutants, or contaminants from--
                        ``(i) real property on which the facility is located
                    and that is currently under the jurisdiction of the
                    Secretary of Defense or the Secretary of a military
                    department; or
                        ``(ii) real property on which the facility is
                    located and that was under the jurisdiction of the
                    Secretary of Defense or the Secretary of a military
                    department at the time of the actions leading to the
                    release or threatened release.

        ``(2) The authority provided by paragraph (1)(B) expires September
    30, 2003. The Secretary of Defense or the Secretary of a military
    department may not pay the costs of permanently relocating a facility
    under such paragraph unless the Secretary--
                ``(A) determines that permanent relocation--
                        ``(i) is the most cost effective method of
                    responding to the release or threatened release of
                    hazardous substances, pollutants, or contaminants from
                    the real property on which the facility is located;
                        ``(ii) has the approval of relevant regulatory
                    agencies; and
                        ``(iii) is supported by the affected community; and
                ``(B) submits to Congress written notice of the
            determination before undertaking the permanent relocation of the
            facility, including a description of the response action taken
            or to be taken in connection with the permanent relocation and a
            statement of the costs incurred or to be incurred in connection
            with the permanent relocation.

        ``(3) If relocation costs are to be paid under paragraph (1)(B) with
    respect to a facility located on real property described in clause (ii)
    of such paragraph, the Secretary of Defense or the Secretary of the
    military department concerned may use only fund transfer mechanisms
    otherwise available to the Secretary.

    [[Page 114 STAT. 1654A-55]]

        ``(4) Funds authorized for deposit in an account under subsection
    (a) shall remain available until expended. Not more than 5 percent of
    the funds deposited in an account under subsection (a) for a fiscal year
    may be used to pay relocation costs under paragraph (1)(B).''.

    SEC. 313. ANNUAL REPORTS UNDER STRATEGIC ENVIRONMENTAL RESEARCH AND
                DEVELOPMENT PROGRAM.

        (a) Repeal of Requirement for Annual Report from Scientific Advisory
    Board.--Section 2904 of title 10, United States Code, is amended--
                (1) by striking subsection (h); and
                (2) by redesignating subsection (i) as subsection (h).

        (b) Inclusion of Actions of Board in Annual Reports of Council.--
    Section 2902(d)(3) of such title is amended by adding at the end the
    following new subparagraph:
                        ``(D) A summary of the actions of the Strategic
                    Environmental Research and Development Program
                    Scientific Advisory Board during the year preceding the
                    year in which the report is submitted and any
                    recommendations, including recommendations on program
                    direction and legislation, that the Advisory Board
                    considers appropriate regarding the program.''.

    SEC. 314. PAYMENT OF FINES AND PENALTIES FOR ENVIRONMENTAL COMPLIANCE AT
                FORT WAINWRIGHT, ALASKA.

        The Secretary of Defense, or the Secretary of the Army, may pay, as
    part of a settlement of liability, a fine or penalty of not more than
    $2,000,000 for matters addressed in the Notice of Violation issued on
    March 5, 1999, by the Administrator of the Environmental Protection
    Agency to Fort Wainwright, Alaska.

    SEC. 315. PAYMENT OF FINES OR PENALTIES IMPOSED FOR ENVIRONMENTAL
                COMPLIANCE VIOLATIONS AT OTHER DEPARTMENT OF DEFENSE
                FACILITIES.

        (a) Army Violations.--Using amounts authorized to be appropriated by
    section 301(1) for operation and maintenance for the Army, the Secretary
    of the Army may pay the following amounts in connection with
    environmental compliance violations at the following locations:
                (1) $993,000 for a supplemental environmental project to
            implement an installation-wide hazardous substance management
            system at Walter Reed Army Medical Center, Washington, District
            of Columbia, in satisfaction of a fine imposed by Environmental
            Protection Agency Region 3 under the Solid Waste Disposal Act
            (42 U.S.C. 6901 et seq.).
                (2) $377,250 for a supplemental environmental project to
            install new parts washers at Fort Campbell, Kentucky, in
            satisfaction of a fine imposed by Environmental Protection
            Agency Region 4 under the Solid Waste Disposal Act.
                (3) $20,701 for a supplemental environmental project to
            upgrade the wastewater treatment plant at Fort Gordon, Georgia,
            in satisfaction of a fine imposed by the State of Georgia under
            the Solid Waste Disposal Act.
                (4) $78,500 for supplemental environmental projects to
            reduce the generation of hazardous waste at Pueblo Chemical
            Depot, Colorado, in satisfaction of a fine imposed by the State
            of Colorado under the Solid Waste Disposal Act.

    [[Page 114 STAT. 1654A-56]]

                (5) $20,000 for a supplemental environmental project to
            repair cracks in floors of igloos used to store munitions
            hazardous waste at Deseret Chemical Depot, Utah, in satisfaction
            of a fine imposed by the State of Utah under the Solid Waste
            Disposal Act.
                (6) $7,975 for payment to the Texas Natural Resource
            Conservation Commission of a cash penalty for permit violations
            assessed with respect to Fort Sam Houston, Texas, under the
            Solid Waste Disposal Act.

        (b) Navy Violations.--Using amounts authorized to be appropriated by
    section 301(2) for operation and maintenance for the Navy, the Secretary
    of the Navy may pay the following amounts in connection with
    environmental compliance violations at the following locations:
                (1) $108,800 for payment to the West Virginia Division of
            Environmental Protection of a cash penalty with respect to
            Allegany Ballistics Laboratory, West Virginia, under the Solid
            Waste Disposal Act.
                (2) $5,000 for payment to Environmental Protection Agency
            Region 6 of a cash penalty with respect to Naval Air Station,
            Corpus Christi, Texas, under the Clean Air Act (42 U.S.C. 7401).
                (3) $1,650 for payment to Environmental Protection Agency
            Region 3 of a cash penalty with respect to Marine Corps Combat
            Development Command, Quantico, Virginia, under the Clean Air
            Act.

    SEC. 316. REIMBURSEMENT FOR CERTAIN COSTS IN CONNECTION WITH THE FORMER
                NANSEMOND ORDNANCE DEPOT SITE, SUFFOLK, VIRGINIA.

        (a) Authority.--The Secretary of Defense may pay, using funds
    described in subsection (b), not more than $98,210 to the Former
    Nansemond Ordnance Depot Site Special Account within the Hazardous
    Substance Superfund established by section 9507 of the Internal Revenue
    Code of 1986 (26 U.S.C. 9507) to reimburse the Environmental Protection
    Agency for costs incurred by the agency in overseeing a time critical
    removal action under CERCLA being performed by the Department of Defense
    under the Defense Environmental Restoration Program for ordnance and
    explosive safety hazards at the Former Nansemond Ordnance Depot Site,
    Suffolk, Virginia, pursuant to an Interagency Agreement entered into by
    the Department of the Army and the Environmental Protection Agency on
    January 3, 2000.
        (b) Source of Funds.--Any payment under subsection (a) shall be made
    using amounts authorized to be appropriated by section 301 to the
    Environmental Restoration Account, Formerly Used Defense Sites,
    established by paragraph (5) of section 2703(a) of title 10, United
    States Code, as added by section 311(a) of this Act.
        (c) Definitions.--In this section:
                (1) The term ``CERCLA'' means the Comprehensive
            Environmental Response, Compensation, and Liability Act of 1980
            (42 U.S.C. 9601 et seq.).
                (2) The term ``Defense Environmental Restoration Program''
            means the program of environmental restoration carried out under
            chapter 160 of title 10, United States Code.

    [[Page 114 STAT. 1654A-57]]

    SEC. 317. NECESSITY OF MILITARY LOW-LEVEL FLIGHT TRAINING TO PROTECT
                NATIONAL SECURITY AND ENHANCE MILITARY READINESS.

        Nothing in the National Environmental Policy Act of 1969 (42 U.S.C.
    4321 et seq.) or the regulations implementing such law shall require the
    Secretary of Defense or the Secretary of a military department to
    prepare a programmatic, nation-wide environmental impact statement for
    low-level flight training as a precondition to the use by the Armed
    Forces of an airspace for the performance of low-level training flights.

    SEC. 318. SHIP DISPOSAL PROJECT.

        (a) Continuation of Project; Purpose.--During fiscal year 2001, the
    Secretary of the Navy shall continue to carry out the ship disposal
    project within the United States to permit the Secretary to assemble
    appropriate data on the cost of scrapping naval vessels.
        (b) Use of Competitive Procedures.--The Secretary shall use
    competitive procedures to award all task orders under the primary
    contracts under the ship disposal project.
        (c) Report.--Not later than December 31, 2000, the Secretary shall
    submit to the congressional defense committees a report on the ship
    disposal project. The report shall contain the following:
                (1) A description of the competitive procedures used for the
            solicitation and award of all task orders under the project.
                (2) A description of the task orders awarded under the
            project.
                (3) An assessment of the results of the project as of the
            date of the report, including the performance of contractors
            under the project.
                (4) The proposed strategy of the Navy for future procurement
            of ship scrapping activities.

    SEC. 319. DEFENSE ENVIRONMENTAL SECURITY CORPORATE INFORMATION
                MANAGEMENT PROGRAM.

        (a) Management and Oversight of Program.--The Chief Information
    Officer of the Department of Defense shall ensure that management and
    oversight of the Defense Environmental Security Corporate Information
    Management Program is consistent with the requirements of the Clinger-
    Cohen Act of 1996 (divisions D and E of Public Law 104-106), section
    2223 of title 10, United States Code, Department of Defense Directives
    5000.1, 5000.2-R, and 5137.1, and all other laws, directives,
    regulations, and management controls applicable to investment in
    information technology and related services.
        (b) Program Report Required.--Not later than 60 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 Defense
    Environmental Security Corporate Information Management Program.
        (c) Mission.--The report shall include a mission statement and
    strategic objectives for the Defense Environmental Security Corporate
    Information Management Program, including the recommendations of the
    Secretary for the future mission and objectives of the Program.
        (d) Personnel, Organization, and Oversight.--The report shall
    include--

    [[Page 114 STAT. 1654A-58]]

                (1) the personnel requirements and organizational structure
            of the Defense Environmental Security Corporate Information
            Management Program to carry out the mission statement; and
                (2) a discussion of--
                        (A) the means by which the Program will ensure
                    program accountability, including accountability for all
                    past, current, and future activities funded under the
                    Program; and
                        (B) the role of the Chief Information Officer of the
                    Department of Defense in ensuring program accountability
                    as required by subsection (a).

        (e) Program Activities.--The report shall include a discussion of
    the means by which the Defense Environmental Security Corporate
    Information Management Program will address or provide--
                (1) information access procedures that keep pace with
            current and evolving requirements for information access;
                (2) data standardization and systems integration;
                (3) product failures and cost-effective results;
                (4) user confidence and utilization; and
                (5) program continuity.

    SEC. 320. REPORT ON PLASMA ENERGY PYROLYSIS SYSTEM.

        (a) Report Required.--Not later than February 1, 2001, the Secretary
    of the Army shall submit to the congressional defense committees a
    report on the Plasma Energy Pyrolysis System.
        (b) Report Elements.--The report on the Plasma Energy Pyrolysis
    System shall include the following:
                (1) An analysis of available information and data on the
            fixed-transportable unit demonstration phase of the System and
            on the mobile unit demonstration phase of the System.
                (2) Recommendations regarding future applications for each
            phase of the System described in paragraph (1).
                (3) A statement of the projected funding for such future
            applications.

    SEC. 321. SENSE OF CONGRESS REGARDING ENVIRONMENTAL RESTORATION OF
                FORMER DEFENSE MANUFACTURING SITE, SANTA CLARITA,
                CALIFORNIA.

        It is the sense of the Congress that--
                (1) there exists a 1,000-acre former defense manufacturing
            site in Santa Clarita, California (known as the ``Santa Clarita
            site''), that could be environmentally restored to serve a
            future role in the community, and every effort should be made to
            apply all known public and private sector innovative
            technologies to restore the Santa Clarita site to productive use
            for the benefit of the community; and
                (2) the experience gained from environmental restoration at
            the Santa Clarita site by private and public sector partnerships
            has the potential to benefit not only the community of Santa
            Clarita, but all sites in need of environmental restoration.

    [[Page 114 STAT. 1654A-59]]

       Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

    SEC. 331. USE OF APPROPRIATED FUNDS TO COVER OPERATING EXPENSES OF
                COMMISSARY STORES.

        (a) In General.--(1) Section 2484 of title 10, United States Code,
    is amended to read as follows:

    ``Sec. 2484. Commissary stores: use of appropriated funds to cover
                            operating expenses

        ``(a) Operation of Agency and System.--Except as otherwise provided
    in this title, the operation of the Defense Commissary Agency and the
    defense commissary system may be funded using such amounts as are
    appropriated for such purpose.
        ``(b) Operating Expenses of Commissary Stores.--Appropriated funds
    may be used to cover the expenses of operating commissary stores and
    central product processing facilities of the defense commissary system.
    For purposes of this subsection, operating expenses include the
    following:
                ``(1) Salaries and wages of employees of the United States,
            host nations, and contractors supporting commissary store
            operations.
                ``(2) Utilities.
                ``(3) Communications.
                ``(4) Operating supplies and services.
                ``(5) Second destination transportation costs within or
            outside the United States.
                ``(6) Any cost associated with above-store-level management
            or other indirect support of a commissary store or a central
            product processing facility, including equipment maintenance and
            information technology costs.''.

        (2) The table of sections at the beginning of chapter 147 of such
    title is amended by striking the item relating to section 2484 and
    inserting the following new item:

    ``2484. Commissary stores: use of appropriated funds to cover operating
               expenses.''.

        (b) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2001.

    SEC. 332. ADJUSTMENT OF SALES PRICES OF COMMISSARY STORE GOODS AND
                SERVICES TO COVER CERTAIN EXPENSES.

        (a) Adjustment Required.--Section 2486 of title 10, United States
    Code, is amended--
                (1) in subsection (c), by striking ``section 2484(b) or''
            and inserting ``subsection (d) or section''; and
                (2) in subsection (d)--
                        (A) in paragraph (1), by striking ``sections 2484
                    and'' and inserting ``section''; and
                        (B) by adding at the end the following new
                    paragraph:

        ``(3) The sales price of merchandise and services sold in, at, or by
    commissary stores shall be adjusted to cover the following:
                ``(A) The cost of first destination commercial
            transportation of the merchandise in the United States to the
            place of sale.
                ``(B) The actual or estimated cost of shrinkage, spoilage,
            and pilferage of merchandise under the control of commissary
            stores.''.

    [[Page 114 STAT. 1654A-60]]

        (b) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2001.

    SEC. 333. USE OF SURCHARGES FOR CONSTRUCTION AND IMPROVEMENT OF
                COMMISSARY STORES.

        (a) Expansion of Authorized Uses.--Subsection (b) of section 2685 of
    title 10, United States Code, is amended to read as follows:
        ``(b) Use for Construction, Repair, Improvement, and Maintenance.--
    (1) The Secretary of Defense may use the proceeds from the adjustments
    or surcharges authorized by subsection (a) only--
                ``(A) to acquire (including acquisition by lease),
            construct, convert, expand, improve, repair, maintain, and equip
            the physical infrastructure of commissary stores and central
            product processing facilities of the defense commissary system;
            and
                ``(B) to cover environmental evaluation and construction
            costs related to activities described in paragraph (1),
            including costs for surveys, administration, overhead, planning,
            and design.

        ``(2) In paragraph (1), the term `physical infrastructure' includes
    real property, utilities, and equipment (installed and free standing and
    including computer equipment), necessary to provide a complete and
    usable commissary store or central product processing facility.''.
        (b) Authority of Secretary of Defense.--Such section is further
    amended--
                (1) in subsection (a), by striking ``Secretary of a military
            department, under regulations established by him and approved by
            the Secretary of Defense,'' and inserting ``Secretary of
            Defense'';
                (2) in subsection (c)--
                        (A) by striking ``Secretary of a military
                    department, with the approval of the Secretary of
                    Defense and'' and inserting ``Secretary of Defense, with
                    the approval of''; and
                        (B) by striking ``Secretary of the military
                    department determines'' and inserting ``Secretary
                    determines''; and
                (3) in subsection (d)(1), by striking ``Secretary of a
            military department'' and inserting ``Secretary of Defense''.

        (c) Effective Date.--The amendment made by subsection (a) shall take
    effect on October 1, 2001.

    SEC. 334. INCLUSION OF MAGAZINES AND OTHER PERIODICALS AS AN AUTHORIZED
                COMMISSARY MERCHANDISE CATEGORY.

        (a) Additional Authorized Category.--Subsection (b) of section 2486
    of title 10, United States Code, is amended--
                (1) by redesignating paragraph (11) as paragraph (12); and
                (2) by inserting after paragraph (10) the following new
            paragraph:
                ``(11) Magazines and other periodicals.''.

        (b) Conforming Amendments.--Subsection (f ) of such section is
    amended--
                (1) by striking ``(1)'' before ``Notwithstanding'';
                (2) by striking ``items in the merchandise categories
            specified in paragraph (2)'' and inserting ``tobacco products'';
            and
                (3) by striking paragraph (2).

    [[Page 114 STAT. 1654A-61]]

    SEC. 335. USE OF MOST ECONOMICAL DISTRIBUTION METHOD FOR DISTILLED
                SPIRITS.

        Section 2488(c) of title 10, United States Code, is amended--
                (1) by striking paragraph (2); and
                (2) by redesignating paragraph (3) as paragraph (2).

    SEC. 336. REPORT ON EFFECTS OF AVAILABILITY OF SLOT MACHINES ON UNITED
                STATES MILITARY INSTALLATIONS OVERSEAS.

        (a) Report Required.--Not later than March 31, 2001, the Secretary
    of Defense shall submit to Congress a report evaluating the effect that
    the ready availability of slot machines as a morale, welfare, and
    recreation activity on United States military installations outside of
    the United States has on members of the Armed Forces, their dependents,
    and other persons who use such slot machines, the morale of military
    communities overseas, and the personal financial stability of members of
    the Armed Forces.
        (b) Matters To Be Included.--The Secretary shall include in the
    report--
                (1) an estimate of the number of persons who used such slot
            machines during the preceding two years and, of such persons,
            the percentage who were enlisted members (shown both in the
            aggregate and by pay grade), officers (shown both in the
            aggregate and by pay grade), Department of Defense civilians,
            other United States persons, and foreign nationals;
                (2) to the extent feasible, information with respect to
            military personnel referred to in paragraph (1) showing the
            number (as a percentage and by pay grade) who have--
                        (A) sought financial services counseling at least
                    partially due to the use of such slot machines;
                        (B) qualified for Government financial assistance at
                    least partially due to the use of such slot machines; or
                        (C) had a personal check returned for insufficient
                    funds or received any other nonpayment notification from
                    a creditor at least partially due to the use of such
                    slot machines; and
                (3) to the extent feasible, information with respect to the
            average amount expended by each category of persons referred to
            in paragraph (1) in using such slot machines per visit, to be
            shown by pay grade in the case of military personnel.

             Subtitle D--Department of Defense Industrial Facilities

    SEC. 341. DESIGNATION OF CENTERS OF INDUSTRIAL AND TECHNICAL EXCELLENCE
                AND PUBLIC-PRIVATE PARTNERSHIPS TO INCREASE UTILIZATION OF
                SUCH CENTERS.

        (a) Designation Method.--Subsection (a) of section 2474 of title 10,
    United States Code, is amended--
                (1) in paragraph (1)--
                        (A) by striking ``The Secretary of Defense'' and
                    inserting ``The Secretary concerned, or the Secretary of
                    Defense in the case of a Defense Agency,''; and
                        (B) by striking ``of the activity'' and inserting
                    ``of the designee'';
                (2) in paragraph (2)--

    [[Page 114 STAT. 1654A-62]]

                        (A) by inserting ``of Defense'' after ``The
                    Secretary''; and
                        (B) by striking ``depot-level activities'' and
                    inserting ``Centers of Industrial and Technical
                    Excellence''; and
                (3) in paragraph (3)--
                        (A) by striking ``depot-level operations'' and
                    inserting ``operations at Centers of Industrial and
                    Technical Excellence'';
                        (B) by striking ``depot-level activities'' and
                    inserting ``the Centers''; and
                        (C) by striking ``such activities'' and inserting
                    ``the Centers''.

        (b) Public-Private Partnerships.--Subsection (b) of such section is
    amended to read as follows:
        ``(b) Public-Private Partnerships.--(1) To achieve one or more
    objectives set forth in paragraph (2), the Secretary designating a
    Center of Industrial and Technical Excellence under subsection (a) may
    authorize and encourage the head of the Center to enter into public-
    private cooperative arrangements (in this section referred to as a
    `public-private partnership') to provide for any of the following:
                ``(A) For employees of the Center, private industry, or
            other entities outside the Department of Defense to perform
            (under contract, subcontract, or otherwise) work related to the
            core competencies of the Center, including any depot-level
            maintenance and repair work that involves one or more core
            competencies of the Center.
                ``(B) For private industry or other entities outside the
            Department of Defense to use, for any period of time determined
            to be consistent with the needs of the Department of Defense,
            any facilities or equipment of the Center that are not fully
            utilized for a military department's own production or
            maintenance requirements.

        ``(2) The objectives for exercising the authority provided in
    paragraph (1) are as follows:
                ``(A) To maximize the utilization of the capacity of a
            Center of Industrial and Technical Excellence.
                ``(B) To reduce or eliminate the cost of ownership of a
            Center by the Department of Defense in such areas of
            responsibility as operations and maintenance and environmental
            remediation.
                ``(C) To reduce the cost of products of the Department of
            Defense produced or maintained at a Center.
                ``(D) To leverage private sector investment in--
                        ``(i) such efforts as plant and equipment
                    recapitalization for a Center; and
                        ``(ii) the promotion of the undertaking of
                    commercial business ventures at a Center.
                ``(E) To foster cooperation between the armed forces and
            private industry.

        ``(3) If the Secretary concerned, or the Secretary of Defense in the
    case of a Defense Agency, authorizes the use of public-private
    partnerships under this subsection, the Secretary shall submit to
    Congress a report evaluating the need for loan guarantee authority,
    similar to the ARMS Initiative loan guarantee program under section 4555
    of this title, to facilitate the establishment

    [[Page 114 STAT. 1654A-63]]

    of public-private partnerships and the achievement of the objectives set
    forth in paragraph (2).''.
        (c) Private Sector Use of Excess Capacity.--Such section is further
    amended--
                (1) by striking subsection (d);
                (2) by redesignating subsection (c) as subsection (d); and
                (3) by inserting after subsection (b) the following new
            subsection (c):

        ``(c) Private Sector Use of Excess Capacity.--Any facilities or
    equipment of a Center of Industrial and Technical Excellence made
    available to private industry may be used to perform maintenance or to
    produce goods in order to make more efficient and economical use of
    Government-owned industrial plants and encourage the creation and
    preservation of jobs to ensure the availability of a workforce with the
    necessary manufacturing and maintenance skills to meet the needs of the
    armed forces.''.
        (d) Crediting of Amounts for Performance.--Subsection (d) of such
    section, as redesignated by subsection (c)(2), is amended by adding at
    the end the following new sentences: ``Consideration in the form of
    rental payments or (notwithstanding section 3302(b) of title 31) in
    other forms may be accepted for a use of property accountable under a
    contract performed pursuant to this section. Notwithstanding section
    2667(d) of this title, revenues generated pursuant to this section shall
    be available for facility operations, maintenance, and environmental
    restoration at the Center where the leased property is located.''.
        (e) Availability of Excess Equipment to Private-Sector Partners.--
    Such section is further amended by adding at the end the following new
    subsections:
        ``(e) Availability of Excess Equipment to Private-Sector Partners.--
    Equipment or facilities of a Center of Industrial and Technical
    Excellence may be made available for use by a private-sector entity
    under this section only if--
                ``(1) the use of the equipment or facilities will not have a
            significant adverse effect on the readiness of the armed forces,
            as determined by the Secretary concerned or, in the case of a
            Center in a Defense Agency, by the Secretary of Defense; and
                ``(2) the private-sector entity agrees--
                        ``(A) to reimburse the Department of Defense for the
                    direct and indirect costs (including any rental costs)
                    that are attributable to the entity's use of the
                    equipment or facilities, as determined by that
                    Secretary; and
                        ``(B) to hold harmless and indemnify the United
                    States from--
                              ``(i) any claim for damages or injury to any
                          person or property arising out of the use of the
                          equipment or facilities, except in a case of
                          willful conduct or gross negligence; and
                              ``(ii) any liability or claim for damages or
                          injury to any person or property arising out of a
                          decision by the Secretary concerned or the
                          Secretary of Defense to suspend or terminate that
                          use of equipment or facilities during a war or
                          national emergency.

        ``(f ) Construction of Provision.--Nothing in this section may be
    construed to authorize a change, otherwise prohibited by law,

    [[Page 114 STAT. 1654A-64]]

    from the performance of work at a Center of Industrial and Technical
    Excellence by Department of Defense personnel to performance by a
    contractor.''.
        (f ) Use of Working Capital-Funded Facilities.--Section 2208( j)(1)
    of title 10, United States Code, is amended--
                (1) by striking ``contract; and'' at the end of subparagraph
            (A) and all that follows through ``(B) the solicitation'' and
            inserting ``contract, and the solicitation'';
                (2) by striking the period at the end and inserting ``;
            or''; and
                (3) by adding at the end the following new subparagraph:
                ``(B) the Secretary would advance the objectives set forth
            in section 2474(b)(2) of this title by authorizing the facility
            to do so.''.

        (g) Repeal of General Authority To Lease Excess Depot-Level
    Equipment and Facilities to Outside Tenants.--(1) Section 2471 of title
    10, United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 146 of such
    title is amended by striking the item relating to section 2471.

    SEC. 342. UNUTILIZED AND UNDERUTILIZED PLANT-CAPACITY COSTS OF UNITED
                STATES ARSENALS.

        (a) Treatment of Unutilized and Underutilized Plant-Capacity
    Costs.--Chapter 433 of title 10, United States Code, is amended by
    inserting after section 4540 the following new section:

    ``Sec. 4541. Army arsenals: treatment of unutilized or underutilized
                            plant-capacity costs

        ``(a) Estimate of Costs.--The Secretary of the Army shall include in
    the budget justification documents submitted to Congress in support of
    the President's budget for a fiscal year submitted under section 1105 of
    title 31 an estimate of the funds to be required in that fiscal year to
    cover unutilized and underutilized plant-capacity costs at Army
    arsenals.
        ``(b) Use of Funds.--Funds appropriated to the Secretary of the Army
    for a fiscal year to cover unutilized and underutilized plant-capacity
    costs at Army arsenals shall be used in such fiscal year only for such
    costs.
        ``(c) Treatment of Costs.--(1) The Secretary of the Army shall not
    include unutilized and underutilized plant-capacity costs when
    evaluating the bid of an Army arsenal for purposes of the arsenal's
    contracting to provide a good or service to a Government agency.
        ``(2) When an Army arsenal is serving as a subcontractor to a
    private-sector entity with respect to a good or service to be provided
    to a Government agency, the cost charged by the arsenal shall not
    include unutilized and underutilized plant-capacity costs that are
    funded by a direct appropriation.
        ``(d) Definitions.--In this section:
                ``(1) The term `Army arsenal' means a Government-owned,
            Government-operated defense plant of the Department of the Army
            that manufactures weapons, weapon components, or both.
                ``(2) The term `unutilized and underutilized plant-capacity
            costs' means the costs associated with operating and maintaining
            the facilities and equipment of an Army arsenal that the
            Secretary of the Army determines are required to be kept for
            mobilization needs, in those months in which the facilities

    [[Page 114 STAT. 1654A-65]]

            and equipment are not used or are used only 20 percent or less
            of available work days.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    4540 the following new item:

    ``4541. Army arsenals: treatment of unutilized or underutilized plant-
               capacity costs.''.

    SEC. 343. ARSENAL SUPPORT PROGRAM INITIATIVE.

        (a) Demonstration Program Required.--To help maintain the viability
    of the Army manufacturing arsenals and the unique capabilities of these
    arsenals to support the national security interests of the United
    States, the Secretary of the Army shall carry out a demonstration
    program under this section during fiscal years 2001 and 2002 at each
    manufacturing arsenal of the Department of the Army.
        (b) Purposes of Demonstration Program.--The purposes of the
    demonstration program are as follows:
                (1) To provide for the utilization of the existing skilled
            workforce at the Army manufacturing arsenals by commercial
            firms.
                (2) To provide for the reemployment and retraining of
            skilled workers who, as a result of declining workload and
            reduced Army spending on arsenal production requirements at
            these Army arsenals, are idled or underemployed.
                (3) To encourage commercial firms, to the maximum extent
            practicable, to use these Army arsenals for commercial purposes.
                (4) To increase the opportunities for small businesses
            (including socially and economically disadvantaged small
            business concerns and new small businesses) to use these Army
            arsenals for those purposes.
                (5) To maintain in the United States a work force having the
            skills in manufacturing processes that are necessary to meet
            industrial emergency planned requirements for national security
            purposes.
                (6) To demonstrate innovative business practices, to support
            Department of Defense acquisition reform, and to serve as both a
            model and a laboratory for future defense conversion initiatives
            of the Department of Defense.
                (7) To the maximum extent practicable, to allow the
            operation of these Army arsenals to be rapidly responsive to the
            forces of free market competition.
                (8) To reduce or eliminate the cost of Government ownership
            of these Army arsenals, including the costs of operations and
            maintenance, the costs of environmental remediation, and other
            costs.
                (9) To reduce the cost of products of the Department of
            Defense produced at these Army arsenals.
                (10) To leverage private investment at these Army arsenals
            through long-term facility use contracts, property management
            contracts, leases, or other agreements that support and advance
            the demonstration program for the following activities:
                        (A) Recapitalization of plant and equipment.
                        (B) Environmental remediation.
                        (C) Promotion of commercial business ventures.

    [[Page 114 STAT. 1654A-66]]

                        (D) Other activities approved by the Secretary of
                    the Army.
                (11) To foster cooperation between the Department of the
            Army, property managers, commercial interests, and State and
            local agencies in the implementation of sustainable development
            strategies and investment in these Army arsenals.

        (c) Contract Authority.--(1) In the case of each Army manufacturing
    arsenal, the Secretary of the Army may enter into contracts with
    commercial firms to authorize the contractors, consistent with section
    4543 of title 10, United States Code--
                (A) to use the arsenal, or a portion of the arsenal, and the
            skilled workforce at the arsenal to manufacture weapons, weapon
            components, or related products consistent with the purposes of
            the program; and
                (B) to enter into subcontracts for the commercial use of the
            arsenal consistent with such purposes.

        (2) A contract under paragraph (1) shall require the contractor to
    contribute toward the operation and maintenance of the Army
    manufacturing arsenal covered by the contract.
        (3) In the event an Army manufacturing arsenal is converted to
    contractor operation, the Secretary may enter into a contract with the
    contractor to authorize the contractor, consistent with section 4543 of
    title 10, United States Code--
                (A) to use the facility during the period of the program in
            a manner consistent with the purposes of the program; and
                (B) to enter into subcontracts for the commercial use of the
            facility consistent with such purposes.

        (d) Loan Guarantees.--(1) Subject to paragraph (2), the Secretary of
    the Army may guarantee the repayment of any loan made to a commercial
    firm to fund, in whole or in part, the establishment of a commercial
    activity at an Army manufacturing arsenal under this section.
        (2) Loan guarantees under this subsection may not be committed
    except to the extent that appropriations of budget authority to cover
    their costs are made in advance, as required by section 504 of the
    Federal Credit Reform Act of 1990 (2 U.S.C. 661c).
        (3) The Secretary of the Army may enter into agreements with the
    Administrator of the Small Business Administration or the Administrator
    of the Farmers Home Administration, the Administrator of the Rural
    Development Administration, or the head of other appropriate agencies of
    the Department of Agriculture, under which such Administrators may,
    under this subsection--
                (A) process applications for loan guarantees;
                (B) guarantee repayment of loans; and
                (C) provide any other services to the Secretary of the Army
            to administer this subsection.

        (4) An Administrator referred to in paragraph (3) may guarantee
    loans under this section to commercial firms of any size,
    notwithstanding any limitations on the size of applicants imposed on
    other loan guarantee programs that the Administrator administers. To the
    extent practicable, each Administrator shall use the same procedures for
    processing loan guarantee applications under this subsection as the
    Administrator uses for processing loan guarantee applications under
    other loan guarantee programs that the Administrator administers.

    [[Page 114 STAT. 1654A-67]]

        (e) Loan Limits.--The maximum amount of loan principal guaranteed
    during a fiscal year under subsection (d) may not exceed--
                (1) $20,000,000, with respect to any single borrower; and
                (2) $320,000,000 with respect to all borrowers.

        (f ) Transfer of Funds.--The Secretary of the Army may transfer to
    an Administrator providing services under subsection (d), and the
    Administrator may accept, such funds as may be necessary to administer
    loan guarantees under such subsection.
        (g) Reporting Requirements.--(1) Not later than July 1 of each year
    in which a guarantee issued under subsection (d) is in effect, the
    Secretary of the Army shall submit to Congress a report specifying the
    amounts of loans guaranteed under such subsection during the preceding
    calendar year. No report is required after fiscal year 2002.
        (2) Not later than July 1, 2001, the Secretary of the Army shall
    submit to the congressional defense committees a report on the
    implementation of the demonstration program. The report shall contain a
    comprehensive review of contracting at the Army manufacturing arsenals
    covered by the program and such recommendations as the Secretary
    considers appropriate regarding changes to the program.

    SEC. 344. CODIFICATION AND IMPROVEMENT OF ARMAMENT RETOOLING AND
                MANUFACTURING SUPPORT PROGRAMS.

        (a) In General.--(1) Part IV of subtitle B of title 10, United
    States Code, is amended by inserting after chapter 433 the following new
    chapter:

                    ``CHAPTER 434--ARMAMENTS INDUSTRIAL BASE

    ``Sec.
    ``4551. Definitions.
    ``4552. Policy.
    ``4553. Armament Retooling and Manufacturing Support Initiative.
    ``4554. Property management contracts and leases.
    ``4555. ARMS Initiative loan guarantee program.

    ``Sec. 4551. Definitions

        ``In this chapter:
                ``(1) The term `ARMS Initiative' means the Armament
            Retooling and Manufacturing Support Initiative authorized by
            this chapter.
                ``(2) The term `eligible facility' means a Government-owned,
            contractor-operated ammunition manufacturing facility of the
            Department of the Army that is in an active, inactive, layaway,
            or caretaker status.
                ``(3) The term `property manager' includes any person or
            entity managing an eligible facility made available under the
            ARMS Initiative through a property management contract.
                ``(4) The term `property management contract' includes
            facility use contracts, site management contracts, leases, and
            other agreements entered into under the authority of this
            chapter.
                ``(5) The term `Secretary' means the Secretary of the Army.

    ``Sec. 4552. Policy

        ``It is the policy of the United States--

    [[Page 114 STAT. 1654A-68]]

                ``(1) to encourage, to the maximum extent practicable,
            commercial firms to use Government-owned, contractor-operated
            ammunition manufacturing facilities of the Department of the
            Army;
                ``(2) to use such facilities for supporting programs,
            projects, policies, and initiatives that promote competition in
            the private sector of the United States economy and that advance
            United States interests in the global marketplace;
                ``(3) to increase the manufacture of products inside the
            United States;
                ``(4) to support policies and programs that provide
            manufacturers with incentives to assist the United States in
            making more efficient and economical use of eligible facilities
            for commercial purposes;
                ``(5) to provide, as appropriate, small businesses
            (including socially and economically disadvantaged small
            business concerns and new small businesses) with incentives that
            encourage those businesses to undertake manufacturing and other
            industrial processing activities that contribute to the
            prosperity of the United States;
                ``(6) to encourage the creation of jobs through increased
            investment in the private sector of the United States economy;
                ``(7) to foster a more efficient, cost-effective, and
            adaptable armaments industry in the United States;
                ``(8) to achieve, with respect to armaments manufacturing
            capacity, an optimum level of readiness of the national
            technology and industrial base within the United States that is
            consistent with the projected threats to the national security
            of the United States and the projected emergency requirements of
            the armed forces; and
                ``(9) to encourage facility use contracting where feasible.

    ``Sec. 4553. Armament Retooling and Manufacturing Support Initiative

        ``(a) Authority for Initiative.--The Secretary may carry out a
    program to be known as the `Armament Retooling and Manufacturing Support
    Initiative'.
        ``(b) Purposes.--The purposes of the ARMS Initiative are as follows:
                ``(1) To encourage commercial firms, to the maximum extent
            practicable, to use eligible facilities for commercial purposes.
                ``(2) To increase the opportunities for small businesses
            (including socially and economically disadvantaged small
            business concerns and new small businesses) to use eligible
            facilities for those purposes.
                ``(3) To maintain in the United States a work force having
            the skills in manufacturing processes that are necessary to meet
            industrial emergency planned requirements for national security
            purposes.
                ``(4) To demonstrate innovative business practices, to
            support Department of Defense acquisition reform, and to serve
            as both a model and a laboratory for future defense conversion
            initiatives of the Department of Defense.
                ``(5) To the maximum extent practicable, to allow the
            operation of eligible facilities to be rapidly responsive to the
            forces of free market competition.

    [[Page 114 STAT. 1654A-69]]

                ``(6) To reduce or eliminate the cost of Government
            ownership of eligible facilities, including the costs of
            operations and maintenance, the costs of environmental
            remediation, and other costs.
                ``(7) To reduce the cost of products of the Department of
            Defense produced at eligible facilities.
                ``(8) To leverage private investment at eligible facilities
            through long-term facility use contracts, property management
            contracts, leases, or other agreements that support and advance
            the policies and purposes of this chapter, for the following
            activities:
                        ``(A) Recapitalization of plant and equipment.
                        ``(B) Environmental remediation.
                        ``(C) Promotion of commercial business ventures.
                        ``(D) Other activities approved by the Secretary.
                ``(9) To foster cooperation between the Department of the
            Army, property managers, commercial interests, and State and
            local agencies in the implementation of sustainable development
            strategies and investment in eligible facilities made available
            for purposes of the ARMS Initiative.
                ``(10) To reduce or eliminate the cost of asset disposal
            that would be incurred if property at an eligible facility was
            declared excess to the needs of the Department of the Army.

        ``(c) Availability of Facilities.--The Secretary may make any
    eligible facility available for the purposes of the ARMS Initiative.
        ``(d) Consideration for Leases.--Section 321 of the Act of June 30,
    1932 (40 U.S.C. 303b), shall not apply to uses of property or facilities
    in accordance with the ARMS Initiative.
        ``(e) Program Support.--(1) Funds appropriated for purposes of the
    ARMS Initiative may be used for administrative support and management.
        ``(2) A full annual accounting of such expenses for each fiscal year
    shall be provided to the Committee on Armed Services and the Committee
    on Appropriations of the Senate and the Committee on Armed Services and
    the Committee on Appropriations of the House of Representatives not
    later than March 30 of the following fiscal year.

    ``Sec. 4554. Property management contracts and leases

        ``(a) In General.--In the case of each eligible facility that is
    made available for the ARMS Initiative, the Secretary--
                ``(1) shall make full use of facility use contracts, leases,
            and other such commercial contractual instruments as may be
            appropriate;
                ``(2) shall evaluate, on the basis of efficiency, cost,
            emergency mobilization requirements, and the goals and purposes
            of the ARMS Initiative, the procurement of services from the
            property manager, including maintenance, operation,
            modification, infrastructure, environmental restoration and
            remediation, and disposal of ammunition manufacturing assets,
            and other services; and
                ``(3) may, in carrying out paragraphs (1) and (2)--
                        ``(A) enter into contracts, and provide for
                    subcontracts, for terms up to 25 years, as the Secretary
                    considers appropriate and consistent with the needs of
                    the Department of the Army and the goals and purposes of
                    the ARMS Initiative; and

    [[Page 114 STAT. 1654A-70]]

                        ``(B) use procedures that are authorized to be used
                    under section 2304(c)(5) of this title when the
                    contractor or subcontractor is a source specified in
                    law.

        ``(b) Consideration for Use.--(1) To the extent provided in a
    contract entered into under this section for the use of property at an
    eligible facility that is accountable under the contract, the Secretary
    may accept consideration for such use that is, in whole or in part, in a
    form other than--
                ``(A) rental payments; or
                ``(B) revenue generated at the facility.

        ``(2) Forms of consideration acceptable under paragraph (1) for a
    use of an eligible facility or any property at an eligible facility
    include the following:
                ``(A) The improvement, maintenance, protection, repair, and
            restoration of the facility, the property, or any property
            within the boundaries of the installation where the facility is
            located.
                ``(B) Reductions in overhead costs.
                ``(C) Reductions in product cost.

        ``(3) The authority under paragraph (1) may be exercised without
    regard to section 3302(b) of title 31 and any other provision of law.

    ``Sec. 4555. ARMS Initiative loan guarantee program

        ``(a) Program Authorized.--Subject to subsection (b), the Secretary
    may carry out a loan guarantee program to encourage commercial firms to
    use eligible facilities under this chapter. Under any such program, the
    Secretary may guarantee the repayment of any loan made to a commercial
    firm to fund, in whole or in part, the establishment of a commercial
    activity to use an eligible facility under this chapter.
        ``(b) Advanced Budget Authority.--Loan guarantees under this section
    may not be committed except to the extent that appropriations of budget
    authority to cover their costs are made in advance, as required by
    section 504 of the Federal Credit Reform Act of 1990 (2 U.S.C. 661c).
        ``(c) Program Administration.--(1) The Secretary may enter into an
    agreement with any of the officials named in paragraph (2) under which
    that official may, for the purposes of this section--
                ``(A) process applications for loan guarantees;
                ``(B) guarantee repayment of loans; and
                ``(C) provide any other services to the Secretary to
            administer the loan guarantee program.

        ``(2) The officials referred to in paragraph (1) are as follows:
                ``(A) The Administrator of the Small Business
            Administration.
                ``(B) The head of any appropriate agency in the Department
            of Agriculture, including--
                        ``(i) the Administrator of the Farmers Home
                    Administration; and
                        ``(ii) the Administrator of the Rural Development
                    Administration.

        ``(3) Each official authorized to do so under an agreement entered
    into under paragraph (1) may guarantee loans under this section to
    commercial firms of any size, notwithstanding any limitations on the
    size of applicants imposed on other loan guarantee programs that the
    official administers.

    [[Page 114 STAT. 1654A-71]]

        ``(4) To the extent practicable, each official processing loan
    guarantee applications under this section pursuant to an agreement
    entered into under paragraph (1) shall use the same processing
    procedures as the official uses for processing loan guarantee
    applications under other loan guarantee programs that the official
    administers.
        ``(d) Loan Limits.--The maximum amount of loan principal guaranteed
    during a fiscal year under this section may not exceed--
                ``(1) $20,000,000, with respect to any single borrower; and
                ``(2) $320,000,000 with respect to all borrowers.

        ``(e) Transfer of Funds.--The Secretary may transfer to an official
    providing services under subsection (c), and that official may accept,
    such funds as may be necessary to administer the loan guarantee program
    under this section.''.
        (2) The tables of chapters at the beginning of subtitle B of such
    title and at the beginning of part IV of such subtitle are amended by
    inserting after the item relating to chapter 433 the following new item:

    ``434. Armaments Industrial Base.................................4551''.

        (b) Implementation Report.--Not later than July 1, 2001, the
    Secretary of Defense shall submit to the congressional defense
    committees a report on the procedures and controls implemented to carry
    out section 4554 of title 10, United States Code, as added by subsection
    (a).
        (c) Relationship to National Defense Technology and Industrial
    Base.--(1) Subchapter IV of chapter 148 of title 10, United States Code,
    is amended--
                (A) by redesignating section 2525 as section 2521; and
                (B) by adding at the end the following new section:

    ``Sec. 2522. Armament retooling and manufacturing

        ``The Secretary of the Army is authorized by chapter 434 of this
    title to carry out programs for the support of armaments retooling and
    manufacturing in the national defense industrial and technology base.''.
        (2) The table of sections at the beginning of such subchapter is
    amended by striking the item relating to section 2525 and inserting the
    following new items:

    ``2521. Manufacturing Technology Program.
    ``2522. Armament retooling and manufacturing.''.

        (d) Repeal of Superseded Law.--The Armament Retooling and
    Manufacturing Support Act of 1992 (subtitle H of title I of Public Law
    102-484; 10 U.S.C. 2501 note) is repealed.

         Subtitle E--Performance of Functions by Private-Sector Sources

    SEC. 351. INCLUSION OF ADDITIONAL INFORMATION IN REPORTS TO CONGRESS
                REQUIRED BEFORE CONVERSION OF COMMERCIAL OR INDUSTRIAL TYPE
                FUNCTIONS TO CONTRACTOR PERFORMANCE.

        (a) Information Required Before Commencement of Conversion
    Analysis.--Subsection (b)(1)(D) of section 2461 of title 10, United
    States Code, is amended by inserting before the period

    [[Page 114 STAT. 1654A-72]]

    the following: ``, and a specific identification of the budgetary line
    item from which funds will be used to cover the cost of the analysis''.
        (b) Information Required in Notification of Decision.--Subsection
    (c)(1) of such section is amended--
                (1) by redesignating subparagraphs (A), (B), (C), (D), and
            (E) as subparagraphs (B), (C), (F), (H), and (I), respectively;
                (2) by inserting before subparagraph (B), as so
            redesignated, the following new subparagraph:
                ``(A) The date when the analysis of that commercial or
            industrial type function for possible change to performance by
            the private sector was commenced.'';
                (3) by inserting after subparagraph (C), as so redesignated,
            the following new subparagraphs:
                ``(D) The number of Department of Defense civilian employees
            who were performing the function when the analysis was
            commenced, the number of such employees whose employment was
            terminated or otherwise affected in implementing the most
            efficient organization of the function, and the number of such
            employees whose employment would be terminated or otherwise
            affected by changing to performance of the function by the
            private sector.
                ``(E) The Secretary's certification that the factors
            considered in the examinations performed under subsection
            (b)(3), and in the making of the decision to change performance,
            did not include any predetermined personnel constraint or
            limitation in terms of man years, end strength, full-time
            equivalent positions, or maximum number of employees.''; and
                (4) by inserting after subparagraph (F), as so redesignated,
            the following new subparagraph:
                ``(G) A statement of the potential economic effect of the
            change on each affected local community, as determined in the
            examination under subsection (b)(3)(B)(ii).''.

    SEC. 352. EFFECTS OF OUTSOURCING ON OVERHEAD COSTS OF CENTERS OF
                INDUSTRIAL AND TECHNICAL EXCELLENCE AND ARMY AMMUNITION
                PLANTS.

        Section 2461(c) of title 10, United States Code, is amended--
                (1) by redesignating paragraph (2) as paragraph (3); and
                (2) by inserting after paragraph (1) the following new
            paragraph:

        ``(2) If the commercial or industrial type function to be changed to
    performance by the private sector is performed at a Center of Industrial
    and Technical Excellence designated under section 2474(a) of this title
    or an Army ammunition plant--
                ``(A) the report required by this subsection shall also
            include a description of the effect that the performance and
            administration of the resulting contract will have on the
            overhead costs of the center or ammunition plant, as the case
            may be; and
                ``(B) notwithstanding paragraph (3), the change of the
            function to contractor performance may not begin until at least
            60 days after the submission of the report.''.

    SEC. 353. CONSOLIDATION, RESTRUCTURING, OR REENGINEERING OF DEPARTMENT
                OF DEFENSE ORGANIZATIONS, FUNCTIONS, OR ACTIVITIES.

        (a) In General.--Chapter 146 of title 10, United States Code, is
    amended by adding at the end the following new section:

    [[Page 114 STAT. 1654A-73]]

    ``Sec. 2475. Consolidation, restructuring, or reengineering of
                            organizations, functions, or activities:
                            notification requirements

        ``(a) Requirement To Submit Plan Annually.--Concurrently with the
    submission of the President's annual budget request under section 1105
    of title 31, the Secretary of Defense shall submit to Congress each
    Strategic Sourcing Plan of Action for the Department of Defense (as
    identified in the Department of Defense Interim Guidance dated February
    29, 2000, or any successor Department of Defense guidance or directive),
    for the following year.
        ``(b) Notification of Decision To Execute Plan.--If a decision is
    made to consolidate, restructure, or reengineer an organization,
    function, or activity of the Department of Defense pursuant to a
    Strategic Sourcing Plan of Action described in subsection (a), and such
    consolidation, restructuring, or reengineering would result in a
    manpower reduction affecting 50 or more personnel of the Department of
    Defense (including military and civilian personnel)--
                ``(1) the Secretary of Defense shall submit to the
            Committees on Armed Services of the Senate and the House of
            Representatives a report describing that decision, including--
                        ``(A) a projection of the savings that will be
                    realized as a result of the consolidation,
                    restructuring, or reengineering, compared with the cost
                    incurred by the Department of Defense to perform the
                    function or to operate the organization or activity
                    prior to such proposed consolidation, restructuring, or
                    reengineering;
                        ``(B) a description of all missions, duties, or
                    military requirements that will be affected as a result
                    of the decision to consolidate, restructure, or
                    reengineer the organization, function, or activity that
                    was analyzed;
                        ``(C) the Secretary's certification that the
                    consolidation, restructuring, or reengineering will not
                    result in any diminution of military readiness;
                        ``(D) a schedule for performing the consolidation,
                    restructuring, or reengineering; and
                        ``(E) the Secretary's certification that the entire
                    analysis for the consolidation, restructuring, or
                    reengineering is available for examination; and
                ``(2) the head of the Defense Agency or the Secretary of the
            military department concerned may not implement the plan until
            30 days after the date that the agency head or Secretary submits
            notification to the Committees on Armed Services of the Senate
            and House of Representatives of the intent to carry out such
            plan.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2475. Consolidation, restructuring, or reengineering of organizations,
               functions, or activities: notification requirements.''.

    SEC. 354. MONITORING OF SAVINGS RESULTING FROM WORKFORCE REDUCTIONS AS
                PART OF CONVERSION OF FUNCTIONS TO PERFORMANCE BY PRIVATE
                SECTOR OR OTHER STRATEGIC SOURCING INITIATIVES.

        (a) Requirement for a Monitoring System.--Chapter 146 of title 10,
    United States Code, is amended by inserting after section 2461 the
    following new section:

    [[Page 114 STAT. 1654A-74]]

    ``Sec. 2461a. Development of system for monitoring cost savings
                            resulting from workforce reductions

        ``(a) Workforce Review Defined.--In this section, the term
    `workforce review', with respect to a function of the Department of
    Defense performed by Department of Defense civilian employees, means a
    review conducted under Office of Management and Budget Circular A-76 (or
    any successor administrative regulation or policy), the Strategic
    Sourcing Program Plan of Action (or any successor Department of Defense
    guidance or directive), or any other authority to determine whether the
    function--
                ``(1) should be performed by a workforce composed of
            Department of Defense civilian employees or by a private sector
            workforce; or
                ``(2) should be reorganized or otherwise reengineered to
            improve the effeciency or effectiveness of the performance of
            the function, with a resulting decrease in the number of
            Department of Defense civilian employees performing the
            function.

        ``(b) System for Monitoring Performance.--(1) The Secretary of
    Defense shall establish a system for monitoring the performance,
    including the cost of performance, of each function of the Department of
    Defense that, after the date of the enactment of this section, is the
    subject of a workforce review.
        ``(2) The monitoring system shall be designed to compare the
    following:
                ``(A) The costs to perform a function before the workforce
            review to the costs actually incurred to perform the function
            after implementing the conversion, reorganization, or
            reengineering actions recommended by the workforce review.
                ``(B) The anticipated savings to the actual savings, if any,
            resulting from conversion, reorganization, or reengineering
            actions undertaken in response to the workforce review.

        ``(3) The monitoring of a function shall continue under this section
    for at least five years after the conversion, reorganization, or
    reengineering of the function.
        ``(c) Waiver for Certain Workforce Reviews.--Subsection (b) shall
    not apply to a workforce review that would result in a manpower
    reduction affecting fewer than 50 Department of Defense civilian
    employees.
        ``(d) Annual Report.--Not later than February 1 of each fiscal year,
    the Secretary of Defense shall submit to Congress a report on the
    results of the monitoring performed under the system established under
    subsection (b). For each function subject to monitoring during the
    previous fiscal year, the report shall indicate the following:
                ``(1) The cost of the workforce review.
                ``(2) The cost of performing the function before the
            workforce review compared to the costs incurred after
            implementing the conversion, reorganization, or reengineering
            actions recommended by the workforce review.
                ``(3) The actual savings derived from the implementation of
            the recommendations of the workforce review, if any, compared to
            the anticipated savings that were to result from the conversion,
            reorganization, or reengineering actions.

        ``(e) Consideration in Preparation of Future-Years Defense
    Program.--In preparing the future-years defense program under section
    221 of this title, the Secretary of Defense shall, for the fiscal years
    covered by the program, estimate and take

    [[Page 114 STAT. 1654A-75]]

    into account the costs to be incurred and the savings to be derived from
    the performance of functions by workforces selected in workforce
    reviews. The Secretary shall consider the results of the monitoring
    under this section in making the estimates.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2461 the following new item:

    ``2461a. Development of system for monitoring cost savings resulting
               from workforce reductions.''.

    SEC. 355. PERFORMANCE OF EMERGENCY RESPONSE FUNCTIONS AT CHEMICAL
                WEAPONS STORAGE INSTALLATIONS.

        (a) Restriction on Conversion.--The Secretary of the Army may not
    convert to contractor performance the emergency response functions of
    any chemical weapons storage installation that, as of the date of the
    enactment of this Act, are performed for that installation by employees
    of the United States until the certification required by subsection (c)
    has been submitted in accordance with that subsection.
        (b) Covered Installations.--For the purposes of this section, a
    chemical weapons storage installation is any installation of the
    Department of Defense on which lethal chemical agents or munitions are
    stored.
        (c) Certification Requirement.--The Secretary of the Army shall
    certify in writing to the Committee on Armed Services of the Senate and
    the Committee on Armed Services of the House of Representatives that, to
    ensure that there will be no lapse of capability to perform the chemical
    weapon emergency response mission at a chemical weapons storage
    installation during any transition to contractor performance of those
    functions at the installation, the plan for conversion of the
    performance of those functions--
                (1) is consistent with the recommendation contained in
            General Accounting Office Report NSIAD-00-88, entitled ``DoD
            Competitive Sourcing'', dated March 2000;
                (2) provides for a transition to contractor performance of
            emergency response functions which ensures an adequate transfer
            of the relevant knowledge and expertise regarding chemical
            weapon emergency response to the contractor personnel; and
                (3) complies with section 2465 of title 10, United States
            Code.

    SEC. 356. SUSPENSION OF REORGANIZATION OR RELOCATION OF NAVAL AUDIT
                SERVICE.

        (a) Suspension.--During the period specified in subsection (b), the
    Secretary of the Navy may not commence or continue any consolidation,
    involuntary transfer, buy-out, or other reduction in force of the
    workforce of auditors and administrative support personnel of the Naval
    Audit Service if the consolidation, involuntary transfer, buy-out, or
    other reduction in force is associated with the reorganization or
    relocation of the performance of the auditing functions of the Naval
    Audit Service.
        (b) Duration.--Subsection (a) applies during the period beginning on
    the date of the enactment of this Act and ending 180 days after the date
    on which the Secretary submits to the congressional defense committees a
    report that sets forth in detail the Navy's plans and justification for
    the reorganization or relocation

    [[Page 114 STAT. 1654A-76]]

    of the performance of the auditing functions of the Naval Audit Service,
    as the case may be.

                    Subtitle F--Defense Dependents Education

    SEC. 361. ELIGIBILITY OF DEPENDENTS OF AMERICAN RED CROSS EMPLOYEES FOR
                ENROLLMENT IN DEPARTMENT OF DEFENSE DOMESTIC DEPENDENT
                SCHOOLS IN PUERTO RICO.

        Section 2164 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(i) American Red Cross Employee Dependents in Puerto Rico.--(1)
    The Secretary may authorize the dependent of an American Red Cross
    employee described in paragraph (2) to enroll in an education program
    provided by the Secretary pursuant to subsection (a) in Puerto Rico if
    the American Red Cross agrees to reimburse the Secretary for the
    educational services so provided.
        ``(2) An employee referred to in paragraph (1) is an American Red
    Cross employee who--
                ``(A) resides in Puerto Rico; and
                ``(B) performs, on a full-time basis, emergency services on
            behalf of members of the armed forces.

        ``(3) In determining the dependency status of any person for the
    purposes of paragraph (1), the Secretary shall apply the same
    definitions as apply to the determination of such status with respect to
    Federal employees in the administration of this section.
        ``(4) Subsection (g) shall apply with respect to determining the
    reimbursement rates for educational services provided pursuant to this
    subsection. Amounts received as reimbursement for such educational
    services shall be treated in the same manner as amounts received under
    subsection (g).''.

    SEC. 362. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT
                DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT OF
                DEFENSE CIVILIAN EMPLOYEES.

        (a) Continuation of Department of Defense Program for Fiscal Year
    2001.--Of the amount authorized to be appropriated by section 301(5) for
    operation and maintenance for Defense-wide activities, $35,000,000 shall
    be available only for the purpose of providing educational agencies
    assistance (as defined in subsection (d)(1)) to local educational
    agencies.
        (b) Notification.--Not later than June 30, 2001, the Secretary of
    Defense shall notify each local educational agency that is eligible for
    educational agencies assistance for fiscal year 2001 of--
                (1) that agency's eligibility for educational agencies
            assistance; and
                (2) the amount of the educational agencies assistance for
            which that agency is eligible.

        (c) Disbursement of Funds.--The Secretary of Defense shall disburse
    funds made available under subsection (a) not later than 30 days after
    the date on which notification to the eligible local educational
    agencies is provided pursuant to subsection (b).
        (d) Definitions.--In this section:
                (1) The term ``educational agencies assistance'' means
            assistance authorized under section 386(b) of the National

    [[Page 114 STAT. 1654A-77]]

            Defense Authorization Act for Fiscal Year 1993 (Public Law 102-
            484; 20 U.S.C. 7703 note).
                (2) The term ``local educational agency'' has the meaning
            given that term in section 8013(9) of the Elementary and
            Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

    SEC. 363. IMPACT AID FOR CHILDREN WITH SEVERE DISABILITIES.

        (a) Payments.--Subject to subsection (f ), the Secretary of Defense
    shall make a payment for fiscal years after fiscal year 2001, to each
    local educational agency eligible to receive a payment for a child
    described in subparagraph (A)(ii), (B), (D)(i) or (D)(ii) of section
    8003(a)(1) of the Elementary and Secondary Education Act of 1965 (20
    U.S.C. 7703(a)(1)) that serves two or more such children with severe
    disabilities, for costs incurred in providing a free appropriate public
    education to each such child.
        (b) Payment Amount.--The amount of the payment under subsection (a)
    to a local educational agency for a fiscal year for each child referred
    to in such subsection with a severe disability shall be--
                (1) the payment made on behalf of the child with a severe
            disability that is in excess of the average per pupil
            expenditure in the State in which the local educational agency
            is located; less
                (2) the sum of the funds received by the local educational
            agency--
                        (A) from the State in which the child resides to
                    defray the educational and related services for such
                    child;
                        (B) under the Individuals with Disabilities
                    Education Act (20 U.S.C. 1400 et seq.) to defray the
                    educational and related services for such child; and
                        (C) from any other source to defray the costs of
                    providing educational and related services to the child
                    which are received due to the presence of a severe
                    disabling condition of such child.

        (c) Exclusions.--No payment shall be made under subsection (a) on
    behalf of a child with a severe disability whose individual cost of
    educational and related services does not exceed--
                (1) five times the national or State average per pupil
            expenditure (whichever is lower), for a child who is provided
            educational and related services under a program that is located
            outside the boundaries of the school district of the local
            educational agency that pays for the free appropriate public
            education of the student; or
                (2) three times the State average per pupil expenditure, for
            a child who is provided educational and related services under a
            program offered by the local educational agency, or within the
            boundaries of the school district served by the local
            educational agency.

        (d) Ratable reduction.--If the amount available for a fiscal year
    for payments under subsection (a) is insufficient to pay the full amount
    all local educational agencies are eligible to receive under such
    subsection, the Secretary of Defense shall ratably reduce the amounts of
    the payments made under such subsection to all local educational
    agencies by an equal percentage.
        (e) Report.--Each local educational agency desiring a payment under
    subsection (a) shall report to the Secretary of Defense--

    [[Page 114 STAT. 1654A-78]]

                (1) the number of severely disabled children for which a
            payment may be made under this section; and
                (2) a breakdown of the average cost, by placement (inside or
            outside the boundaries of the school district of the local
            educational agency), of providing education and related services
            to such children.

        (f ) Payments Subject to Appropriation.--Payments shall be made for
    any period in a fiscal year under this section only to the extent that
    funds are appropriated specifically for making such payments for that
    fiscal year.
        (g) 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. 364. ASSISTANCE FOR MAINTENANCE, REPAIR, AND RENOVATION OF SCHOOL
                FACILITIES THAT SERVE DEPENDENTS OF MEMBERS OF THE ARMED
                FORCES AND DEPARTMENT OF DEFENSE CIVILIAN EMPLOYEES.

        (a) Repair and Renovation Assistance.--(1) During fiscal year 2001,
    the Secretary of Defense may make a grant to an eligible local
    educational agency to assist the agency to repair and renovate--
                (A) an impacted school facility that is used by significant
            numbers of military dependent students; or
                (B) a school facility that was a former Department of
            Defense domestic dependent elementary or secondary school.

        (2) Authorized repair and renovation projects may include repairs
    and improvements to an impacted school facility (including the grounds
    of the facility) designed to ensure compliance with the requirements of
    the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) or
    local health and safety ordinances, to meet classroom size requirements,
    or to accommodate school population increases.
        (3) The total amount of assistance provided under this subsection to
    an eligible local educational agency may not exceed $2,500,000 during
    fiscal year 2001.
        (b) Maintenance Assistance.--(1) During fiscal year 2001, the
    Secretary of Defense may make a grant to an eligible local educational
    agency whose boundaries are the same as a military installation to
    assist the agency to maintain an impacted school facility, including the
    grounds of such a facility.
        (2) The total amount of assistance provided under this subsection to
    an eligible local educational agency may not exceed $250,000 during
    fiscal year 2001.
        (c) Determination of Eligible Local Educational Agencies.--(1) A
    local educational agency is an eligible local educational agency under
    this section only if the Secretary of Defense determines that the local
    educational agency has--
                (A) one or more federally impacted school facilities; and
                (B) satisfies at least one of the following eligibility
            requirements:
                        (i) The local educational agency is eligible to
                    receive assistance under subsection (f ) of section 8003
                    of the Elementary and Secondary Education Act of 1965
                    (20 U.S.C. 7703) and at least 10 percent of the students
                    who were in average daily attendance in the schools of
                    such

    [[Page 114 STAT. 1654A-79]]

                    agency during the preceding school year were students
                    described under paragraph (1)(A) or (1)(B) of section
                    8003(a) of the Elementary and Secondary Education Act of
                    1965.
                        (ii) At least 35 percent of the students who were in
                    average daily attendance in the schools of the local
                    educational agency during the preceding school year were
                    students described under paragraph (1)(A) or (1)(B) of
                    section 8003(a) of the Elementary and Secondary
                    Education Act of 1965.
                        (iii) The State education system and the local
                    educational agency are one and the same.

        (2) A local educational agency is also an eligible local educational
    agency under this section if the local educational agency has a school
    facility that was a former Department of Defense domestic dependent
    elementary or secondary school, but assistance provided under subsection
    (a) may only be used to repair and renovate that specific facility.
        (d) Notification of Eligibility.--Not later than April 30, 2001, the
    Secretary of Defense shall notify each local educational agency
    identified under subsection (c) that the local educational agency is
    eligible to apply for a grant under subsection (a), subsection (b), or
    both subsections.
        (e) Relation to Impact Aid Construction Assistance.--A local
    education agency that receives a grant under subsection (a) to repair
    and renovate a school facility may not also receive a payment for school
    construction under section 8007 of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7707) for fiscal year 2001.
        (f ) Grant Considerations.--In determining which eligible local
    educational agencies will receive a grant under this section, the
    Secretary of Defense shall take into consideration the following
    conditions and needs at impacted school facilities of eligible local
    educational agencies:
                (1) The repair or renovation of facilities is needed to meet
            State mandated class size requirements, including student-
            teacher ratios and instructional space size requirements.
                (2) There is an increase in the number of military dependent
            students in facilities of the agency due to increases in unit
            strength as part of military readiness.
                (3) There are unhoused students on a military installation
            due to other strength adjustments at military installations.
                (4) The repair or renovation of facilities is needed to
            address any of the following conditions:
                        (A) The condition of the facility poses a threat to
                    the safety and well-being of students.
                        (B) The requirements of the Americans with
                    Disabilities Act of 1990.
                        (C) The cost associated with asbestos removal,
                    energy conservation, or technology upgrades.
                        (D) Overcrowding conditions as evidenced by the use
                    of trailers and portable buildings and the potential for
                    future overcrowding because of increased enrollment.
                (5) The repair or renovation of facilities is needed to meet
            any other Federal or State mandate.

    [[Page 114 STAT. 1654A-80]]

                (6) The number of military dependent students as a
            percentage of the total student population in the particular
            school facility.
                (7) The age of facility to be repaired or renovated.

        (g) Definitions.--In this section:
                (1) Local educational agency.--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)).
                (2) Impacted school facility.--The term ``impacted school
            facility'' means a facility of a local educational agency--
                        (A) that is used to provide elementary or secondary
                    education at or near a military installation; and
                        (B) at which the average annual enrollment of
                    military dependent students is a high percentage of the
                    total student enrollment at the facility, as determined
                    by the Secretary of Defense.
                (3) Military dependent students.--The term ``military
            dependent students'' means students who are dependents of
            members of the armed forces or Department of Defense civilian
            employees.
                (4) Military installation.--The term ``military
            installation'' has the meaning given that term in section
            2687(e) of title 10, United States Code.

        (h) Funding Source.--The amount authorized to be appropriated under
    section 301(25) for Quality of Life Enhancements, Defense-Wide, shall be
    available to the Secretary of Defense to make grants under this section.

                      Subtitle G--Military Readiness Issues

    SEC. 371. MEASURING CANNIBALIZATION OF PARTS, SUPPLIES, AND EQUIPMENT
                UNDER READINESS REPORTING SYSTEM.

        Section 117(c) of title 10, United States Code, is amended by adding
    at the end the following new paragraph:
                ``(7) Measure, on a quarterly basis, the extent to which
            units of the armed forces remove serviceable parts, supplies, or
            equipment from one vehicle, vessel, or aircraft in order to
            render a different vehicle, vessel, or aircraft operational.''.

    SEC. 372. REPORTING REQUIREMENTS REGARDING TRANSFERS FROM HIGH-PRIORITY
                READINESS APPROPRIATIONS.

        (a) Continuation of Reporting Requirements.--Section 483 of title
    10, United States Code, is amended by striking subsection (e).
        (b) Level of Detail.--Subsection (c)(2) of such section is amended
    by inserting before the period the following: ``, including
    identification of the sources from which funds were transferred into
    that activity and identification of the recipients of the funds
    transferred out of that activity''.
        (c) Additional Covered Budget Activities.--Subsection (d)(5) of such
    section is amended by adding at the end the following new subparagraphs:
                        ``(G) Combat Enhancement Forces.
                        ``(H) Combat Communications.''.

    [[Page 114 STAT. 1654A-81]]

    SEC. 373. EFFECTS OF WORLDWIDE CONTINGENCY OPERATIONS ON READINESS OF
                MILITARY AIRCRAFT AND EQUIPMENT.

        (a) Requirement for Report.--Not later than 180 days after the date
    of the enactment of this Act, the Secretary of Defense shall submit to
    Congress a report assessing the effects of worldwide contingency
    operations on--
                (1) the readiness of aircraft and ground equipment of the
            Armed Forces; and
                (2) the capability of the Armed Forces to maintain a high
            level of equipment readiness and to manage a high operating
            tempo for the aircraft and ground equipment.

        (b) Effects on Aircraft.--With respect to aircraft, the assessment
    contained in the report shall address the following effects:
                (1) The effects of the contingency operations carried out
            during fiscal years 1995 through 2000 on the aircraft of each of
            the Armed Forces in each category of aircraft, as follows:
                        (A) Combat tactical aircraft.
                        (B) Strategic aircraft.
                        (C) Combat support aircraft.
                        (D) Combat service support aircraft.
                (2) The types of adverse effects on the aircraft of each of
            the Armed Forces in each category of aircraft specified in
            paragraph (1) resulting from contingency operations, as follows:
                        (A) Patrolling in no-fly zones over Iraq in
                    Operation Northern Watch and Operation Southern Watch
                    and over the Balkans in Operation Allied Force.
                        (B) Air operations in the North Atlantic Treaty
                    Organization air war against Serbia in Operation Sky
                    Anvil, Operation Noble Anvil, and Operation Allied
                    Force.
                        (C) Air operations in Operation Shining Hope in
                    Kosovo.
                        (D) All other activities within the general context
                    of worldwide contingency operations.
                (3) Any other effects that the Secretary of Defense
            considers appropriate in carrying out subsection (a).

        (c) Effects on Ground Equipment.--With respect to ground equipment,
    the assessment contained in the report shall address the following
    effects:
                (1) The effects of the contingency operations carried out
            during fiscal years 1995 through 2000 on the ground equipment of
            each of the Armed Forces.
                (2) Any other effects that the Secretary of Defense
            considers appropriate in carrying out subsection (a).

        (d) Definitions.--In this section:
                (1) The term ``Armed Forces'' means the Army, Navy, Marine
            Corps, and Air Force.
                (2) The term ``contingency operation'' has the meaning given
            the term in section 101(a)(13) of title 10, United States Code.

    SEC. 374. IDENTIFICATION OF REQUIREMENTS TO REDUCE BACKLOG IN
                MAINTENANCE AND REPAIR OF DEFENSE FACILITIES.

        (a) Report To Address Maintenance and Repair Backlog.--Not later
    than March 15, 2001, the Secretary of Defense shall submit to Congress a
    report identifying a list of requirements to reduce the backlog in
    maintenance and repair needs of facilities and infrastructure under the
    jurisdiction of the Department of Defense or a military department.

    [[Page 114 STAT. 1654A-82]]

        (b) Elements of Report.--At a minimum, the report shall include or
    address the following:
                (1) The extent of the work necessary to repair and
            revitalize facilities and infrastructure, or to demolish and
            replace unusable facilities, carried as backlog by the Secretary
            of Defense or the Secretary of a military department.
                (2) Measurable goals, over specified time frames, for
            addressing all of the identified requirements.
                (3) Expected funding for each military department and
            Defense Agency to address the identified requirements during the
            period covered by the most recent future-years defense program
            submitted to Congress pursuant to section 221 of title 10,
            United States Code.
                (4) The cost of the current backlog in maintenance and
            repair for each military department and Defense Agency, which
            shall be determined using the standard costs to standard
            facility categories in the Department of Defense Facilities Cost
            Factors Handbook, shown both in the aggregate and individually
            for each major military installation.
                (5) The total number of square feet of building space of
            each military department and Defense Agency to be demolished or
            proposed for demolition, shown both in the aggregate and
            individually for each major military installation.
                (6) The initiatives underway to identify facility and
            infrastructure requirements at military installations to
            accommodate new and developing weapons systems and to prepare
            installations to accommodate these systems.

        (c) Annual Updates.--The Secretary of Defense shall update the
    report required under subsection (a) annually. The annual updates shall
    be submitted to Congress at or about the time that the budget is
    submitted to Congress for a fiscal year under section 1105(a) of title
    31, United States Code.

    SEC. 375. NEW METHODOLOGY FOR PREPARING BUDGET REQUESTS TO SATISFY ARMY
                READINESS REQUIREMENTS.

        (a) Requirement for New Methodology.--The Secretary of the Army
    shall develop a new methodology for preparing budget requests for
    operation and maintenance for the Army that can be used to ensure that
    the budget requests for operation and maintenance for future fiscal
    years more accurately reflect the Army's requirements than did the
    budget requests submitted to Congress for fiscal year 2001 and preceding
    fiscal years.
        (b) Sense of Congress Regarding New Methodology.--It is the sense of
    Congress that--
                (1) the methodology required by subsection (a) should
            provide for the determination of the budget levels to request
            for operation and maintenance for the Army to be based on--
                        (A) the level of training that must be conducted in
                    order for the Army to execute successfully the full
                    range of missions called for in the national defense
                    strategy delineated pursuant to section 118 of title 10,
                    United States Code, at a low-to-moderate level of risk;
                        (B) the cost of conducting training at the level of
                    training described in subparagraph (A); and
                        (C) the costs of all other Army operations,
                    including the cost of meeting infrastructure
                    requirements; and

    [[Page 114 STAT. 1654A-83]]

                (2) the Secretary of the Army should use the new methodology
            in the preparation of the budget requests for operation and
            maintenance for the Army for fiscal years after fiscal year
            2001.

    SEC. 376. REVIEW OF AH-64 AIRCRAFT PROGRAM.

        (a) Requirement for Review.--The Comptroller General shall conduct a
    review of the Army's AH-64 aircraft program to determine--
                (1) whether obsolete spare parts, rather than spare parts
            for the latest aircraft configuration, are being procured;
                (2) whether there is insufficient sustaining system
            technical support;
                (3) whether technical data packages and manuals are
            obsolete;
                (4) whether there are unfunded requirements for airframe and
            component upgrades; and
                (5) if one or more of the conditions described in the
            preceding paragraphs exist, whether the readiness of the
            aircraft is impaired by the conditions.

        (b) Report.--Not later than March 1, 2001, the Comptroller General
    shall submit to the congressional defense committees a report on the
    results of the review under subsection (a).

    SEC. 377. REPORT ON AIR FORCE SPARE AND REPAIR PARTS PROGRAM FOR C-5
                AIRCRAFT.

        (a) Findings.--Congress makes the following findings:
                (1) There exists a significant shortfall in the Nation's
            current strategic airlift requirement, even though strategic
            airlift remains critical to the national security strategy of
            the United States.
                (2) This shortfall results from the slow phase-out of C-141
            aircraft and their replacement with C-17 aircraft and from lower
            than optimal reliability rates for the C-5 aircraft.
                (3) One of the primary causes of these reliability rates for
            C-5 aircraft, and especially for operational unit aircraft, is
            the shortage of spare repair parts. Over the past 5 years, this
            shortage has been particularly evident in the C-5 fleet.
                (4) Not Mission Capable for Supply rates for C-5 aircraft
            have increased significantly in the period between 1997 and
            1999. At Dover Air Force Base, Delaware, for example, an average
            of 7 to 9 C-5 aircraft were not available during that period
            because of a lack of parts.
                (5) Average rates of cannibalization of C-5 aircraft per 100
            sorties of such aircraft have also increased during that period
            and are well above the Air Mobility Command standard. In any
            given month, this means devoting additional manhours to
            cannibalization of C-5 aircraft. At Dover Air Force Base, for
            example, an average of 800 to 1,000 additional manhours were
            required for cannibalization of C-5 aircraft during that period.
            Cannibalization is often required for aircraft that transit
            through a base such as Dover Air Force Base, as well as those
            that are based there.
                (6) High cannibalization rates indicate a significant
            problem in delivering spare parts in a timely manner and
            systemic problems within the repair and maintenance process, and
            also demoralize overworked maintenance crews.

    [[Page 114 STAT. 1654A-84]]

                (7) The C-5 aircraft remains an absolutely critical asset in
            air mobility and airlifting heavy equipment and personnel to
            both military contingencies and humanitarian relief efforts
            around the world.
                (8) Despite increased funding for spare and repair parts and
            other efforts by the Air Force to mitigate the parts shortage
            problem, Congress continues to receive reports of significant
            cannibalization to airworthy C-5 aircraft and parts backlogs.

        (b) Report Required.--Not later than January 1, 2001, and September
    30, 2001, the Secretary of the Air Force shall submit to Congress a
    report on the overall status of the spare and repair parts program of
    the Air Force for the C-5 aircraft.
        (c) Elements of Report.--Each report shall include the following:
                (1) A statement of the funds currently allocated to the
            acquisition of spare and repair parts for the C-5 aircraft and
            the adequacy of such funds to meet current and future repair and
            maintenance requirements for that aircraft.
                (2) A description of current efforts to address shortfalls
            in the availability of spare and repair parts for the C-5
            aircraft, including an assessment of potential short-term and
            long-term effects of such efforts.
                (3) An assessment of the effects of such parts shortfalls on
            readiness and reliability ratings for the C-5 aircraft.
                (4) A description of rates at which spare and repair parts
            for one C-5 aircraft are taken from another C-5 aircraft (known
            as parts cannibalization) and the manhours devoted to part
            cannibalization of such aircraft.
                (5) An assessment of the effects of parts shortfalls and
            parts cannibalization with respect to C-5 aircraft on readiness
            and retention.

                            Subtitle H--Other Matters

    SEC. 381. ANNUAL REPORT ON PUBLIC SALE OF CERTAIN MILITARY EQUIPMENT
                IDENTIFIED ON UNITED STATES MUNITIONS LIST.

        (a) Annual Report Required.--Chapter 153 of title 10, United States
    Code, is amended by adding at the end the following new section:

    ``Sec. 2582. Military equipment identified on United States munitions
                            list: annual report of public sales

        ``(a) Report Required.--The Secretary of Defense shall prepare an
    annual report identifying each public sale conducted by a military
    department or Defense Agency of military items that are--
                ``(1) identified on the United States Munitions List
            maintained under section 121.1 of title 22, Code of Federal
            Regulations; and
                ``(2) assigned a demilitarization code of `B' or its
            equivalent.

        ``(b) Elements of Report.--(1) A report under this section shall
    cover all public sales described in subsection (a) that were conducted
    during the preceding fiscal year.
        ``(2) The report shall specify the following for each sale:
                ``(A) The date of the sale.

    [[Page 114 STAT. 1654A-85]]

                ``(B) The military department or Defense Agency conducting
            the sale.
                ``(C) The manner in which the sale was conducted.
                ``(D) The military items described in subsection (a) that
            were sold or offered for sale.
                ``(E) The purchaser of each item.
                ``(F) The stated end-use of each item sold.

        ``(c) Submission of Report.--Not later than March 31 of each year,
    the Secretary of Defense shall submit to the Committee on Armed Services
    of the House of Representatives and the Committee on Armed Services of
    the Senate the report required by this section for the preceding 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:

    ``2582. Military equipment identified on United States munitions list:
               annual report of public sales.''.

    SEC. 382. RESALE OF ARMOR-PIERCING AMMUNITION DISPOSED OF BY THE ARMY.

        (a) Restriction.--(1) Chapter 443 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 4688. Armor-piercing ammunition and components: condition on
                            disposal

        ``(a) Limitation on Resale or Other Transfer.--Except as provided in
    subsection (b), whenever the Secretary of the Army carries out a
    disposal (by sale or otherwise) of armor-piercing ammunition, or a
    component of armor-piercing ammunition, the Secretary shall require as a
    condition of the disposal that the recipient agree in writing not to
    sell or otherwise transfer any of the ammunition (reconditioned or
    otherwise), or any armor-piercing component of that ammunition, to any
    purchaser in the United States other than a law enforcement or other
    governmental agency.
        ``(b) Exception.--Subsection (a) does not apply to a transfer of a
    component of armor-piercing ammunition solely for the purpose of metal
    reclamation by means of a destructive process such as melting, crushing,
    or shredding.
        ``(c) Special Rule for Non-Armor-Piercing Components.--A component
    of the armor-piercing ammunition that is not itself armor-piercing and
    is not subjected to metal reclamation as described in subsection (b) may
    not be used as a component in the production of new or remanufactured
    armor-piercing ammunition other than for sale to a law enforcement or
    other governmental agency or for a government-to-government sale or
    commercial export to a foreign government under the Arms Export Control
    Act (22 U.S.C. 2751).
        ``(d) Definition.--In this section, the term `armor-piercing
    ammunition' means a center-fire cartridge the military designation of
    which includes the term `armor penetrator' or `armor-piercing',
    including a center-fire cartridge designated as armor-piercing
    incendiary (API) or armor-piercing incendiary-tracer (API-T).''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``4688. Armor-piercing ammunition and components: condition on
               disposal.''.

        (b) Applicability.--Section 4688 of title 10, United States Code, as
    added by subsection (a), shall apply with respect to any

    [[Page 114 STAT. 1654A-86]]

    disposal of ammunition or components referred to in that section after
    the date of the enactment of this Act.

    SEC. 383. REIMBURSEMENT BY CIVIL AIR CARRIERS FOR SUPPORT PROVIDED AT
                JOHNSTON ATOLL.

        (a) In General.--Chapter 949 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 9783. Johnston Atoll: reimbursement for support provided to civil
                            air carriers

        ``(a) Authority of the Secretary.--The Secretary of the Air Force
    may, under regulations prescribed by the Secretary, require payment by a
    civil air carrier for support provided by the United States to the
    carrier at Johnston Atoll that is either--
                ``(1) requested by the civil air carrier; or
                ``(2) determined under the regulations as being necessary to
            accommodate the civil air carrier's use of Johnston Atoll.

        ``(b) Amount of Charges.--Any amount charged an air carrier under
    subsection (a) for support shall be equal to the total amount of the
    actual costs to the United States of providing the support. The amount
    charged may not include any amount for an item of support that does not
    satisfy a condition described in paragraph (1) or (2) of subsection (a).
        ``(c) Relationship to Landing Fees.--No landing fee shall be charged
    an air carrier for a landing of an aircraft of the air carrier at
    Johnston Atoll if the air carrier is charged under subsection (a) for
    support provided to the air carrier.
        ``(d) Disposition of Payments.--(1) Amounts collected from an air
    carrier under this section shall be credited to appropriations available
    for the fiscal year in which collected, as follows:
                ``(A) For support provided by the Air Force, to
            appropriations available for the Air Force for operation and
            maintenance.
                ``(B) For support provided by the Army, to appropriations
            available for the Army for chemical demilitarization.

        ``(2) Amounts credited to an appropriation under paragraph (1) shall
    be merged with funds in that appropriation and shall be available,
    without further appropriation, for the purposes and period for which the
    appropriation is available.
        ``(e) Definitions.--In this section:
                ``(1) The term `civil air carrier' means an air carrier (as
            defined in section 40101(a)(2) of title 49) that is issued a
            certificate of public convenience and necessity under section
            41102 of such title.
                ``(2) The term `support' includes fuel, fire rescue, use of
            facilities, improvements necessary to accommodate use by civil
            air carriers, police, safety, housing, food, air traffic
            control, suspension of military operations on the island
            (including operations at the Johnston Atoll Chemical Agent
            Demilitarization System), repairs, and any other construction,
            services, or supplies.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``9783. Johnston Atoll: reimbursement for support provided to civil air
               carriers.''.

    [[Page 114 STAT. 1654A-87]]

    SEC. 384. TRAVEL BY RESERVES ON MILITARY AIRCRAFT.

        (a) Space-Required Travel for Travel to Duty Stations.--Subsection
    (a) of section 18505 of title 10, United States Code, is amended to read
    as follows:
        ``(a) A member of a reserve component traveling for annual training
    duty or inactive-duty training (including a place other than the place
    of the member's unit training assembly if the member is performing
    annual training duty or inactive-duty training in another location) may
    travel in a space-required status on aircraft of the armed forces
    between the member's home and the place of the annual training duty or
    inactive-duty training.''.
        (b) Clerical Amendments.--(1) The heading of such section is amended
    to read as follows:

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

        (2) The table of sections at the beginning of chapter 1805 of such
    title is amended by striking the item relating to section 18505 and
    inserting the following new item:

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

    SEC. 385. OVERSEAS AIRLIFT SERVICE ON CIVIL RESERVE AIR FLEET AIRCRAFT.

        (a) In General.--Section 41106 of title 49, United States Code, is
    amended--
                (1) in subsection (a)(1), by striking ``of at least 31
            days'';
                (2) by redesignating subsection (b) as subsection (d); and
                (3) by inserting after subsection (a) the following new
            subsections:

        ``(b) Transportation Between the United States and Foreign
    Locations.--Except as provided in subsection (d), the transportation of
    passengers or property by transport category aircraft between a place in
    the United States and a place outside the United States obtained by the
    Secretary of Defense or the Secretary of a military department through a
    contract for airlift service shall be provided by an air carrier
    referred to in subsection (a).
        ``(c) Transportation Between Foreign Locations.--The transportation
    of passengers or property by transport category aircraft between two
    places outside the United States obtained by the Secretary of Defense or
    the Secretary of a military department through a contract for airlift
    service shall be provided by an air carrier that has aircraft in the
    civil reserve air fleet whenever transportation by such an air carrier
    is reasonably available.''.
        (b) Conforming Amendment.--Subsection (a) of such section is further
    amended by striking ``General.--(1) Except as provided in subsection (b)
    of this section,'' and inserting ``Interstate Transportation.--(1)
    Except as provided in subsection (d) of this section,''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2000.

    [[Page 114 STAT. 1654A-88]]

    SEC. 386. ADDITIONS TO PLAN FOR ENSURING VISIBILITY OVER ALL IN-TRANSIT
                END ITEMS AND SECONDARY ITEMS.

        (a) Required Additions.--Subsection (d) of section 349 of the Strom
    Thurmond National Defense Authorization Act for Fiscal Year 1999 (Public
    Law 105-261; 112 Stat. 1981; 10 U.S.C. 2458 note) is amended--
                (1) in paragraph (1), by inserting before the period at the
            end the following: ``, including specific actions to address
            underlying weaknesses in the controls over items being
            shipped''; and
                (2) by adding at the end the following new paragraph:
                ``(5) The key management elements for monitoring, and for
            measuring the progress achieved in, the implementation of the
            plan, including--
                        ``(A) the assignment of oversight responsibility for
                    each action identified pursuant to paragraph (1);
                        ``(B) a description of the resources required for
                    oversight; and
                        ``(C) an estimate of the annual cost of
                    oversight.''.

        (b) Conforming Amendments.--(1) Subsection (a) of such section is
    amended by striking ``Not later than'' and all that follows through
    ``Congress'' and inserting ``The Secretary of Defense shall prescribe
    and carry out''.
        (2) Such section is further amended by adding at the end the
    following new subsection:
        ``(f ) Submissions to Congress.--The Secretary shall submit to
    Congress any revisions made to the plan that are required by any law
    enacted after October 17, 1998. The revisions so made shall be submitted
    not later than 180 days after the date of the enactment of the law
    requiring the revisions.''.
        (3) Subsection (e)(1) of such section is amended by striking
    ``submits the plan'' and inserting ``submits the initial plan''.

    SEC. 387. REAUTHORIZATION OF PILOT PROGRAM FOR ACCEPTANCE AND USE OF
                LANDING FEES CHARGED FOR USE OF DOMESTIC MILITARY AIRFIELDS
                BY CIVIL AIRCRAFT.

        (a) Reauthorization.--Section 377 of the Strom Thurmond National
    Defense Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112
    Stat. 1993; 10 U.S.C. 113 note) is amended--
                (1) in subsection (a)--
                        (A) by striking ``during fiscal years 1999 and
                    2000''; and
                        (B) by striking the second sentence; and
                (2) by adding at the end the following new subsection:

        ``(e) Duration of Pilot Program.--The pilot program under this
    section may not be carried out after September 30, 2010.''.
        (b) Fees Collected.--Subsection (b) of such section is amended to
    read as follows:
        ``(b) Landing Fee Defined.--In this section, the term `landing fee'
    means any fee that is established under or in accordance with
    regulations of the military department concerned (whether prescribed in
    a fee schedule or imposed under a joint-use agreement) to recover costs
    incurred for use by civil aircraft of an airfield of the military
    department in the United States or in a territory or possession of the
    United States.''.
        (c) Use of Proceeds.--Subsection (c) of such section is amended by
    striking ``Amounts received for a fiscal year in payment

    [[Page 114 STAT. 1654A-89]]

    of landing fees imposed under the pilot program for use of a military
    airfield'' and inserting ``Amounts received in payment of landing fees
    for use of a military airfield in a fiscal year of the pilot program''.
        (d) Report.--Subsection (d) of such section is amended--
                (1) by striking ``March 31, 2000,'' and inserting ``March
            31, 2003,''; and
                (2) by striking ``December 31, 1999'' and inserting
            ``December 31, 2002''.

    SEC. 388. EXTENSION OF AUTHORITY TO SELL CERTAIN AIRCRAFT FOR USE IN
                WILDFIRE SUPPRESSION.

        Section 2 of the Wildfire Suppression Aircraft Transfer Act of 1996
    (Public Law 104-307; 10 U.S.C. 2576 note) is amended--
                (1) in subsection (a)(1), by striking ``September 30, 2000''
            and inserting ``September 30, 2005'';
                (2) in subsection (d)(1)--
                        (A) by striking ``the date of the enactment of this
                    Act'' and inserting ``October 14, 1996''; and
                        (B) by adding at the end the following: ``The
                    regulations prescribed under this paragraph shall be
                    effective until the end of the period specified in
                    subsection (a)(1).''; and
                (3) in subsection (f ), by striking ``March 31, 2000'' and
            inserting ``March 31, 2005''.

    SEC. 389. DAMAGE TO AVIATION FACILITIES CAUSED BY ALKALI SILICA
                REACTIVITY.

        (a) Assessment of Damage and Prevention and Mitigation Technology.--
    The Secretary of Defense shall require the Secretaries of the military
    departments to assess--
                (1) the damage caused to aviation facilities of the Armed
            Forces by alkali silica reactivity; and
                (2) the availability of technologies capable of preventing,
            treating, or mitigating alkali silica reactivity in hardened
            concrete structures and pavements.

        (b) Evaluation of Technologies.--(1) Taking into consideration the
    assessment under subsection (a), the Secretary of each military
    department may conduct a demonstration project at a location selected by
    the Secretary concerned to test and evaluate the effectiveness of
    technologies intended to prevent, treat, or mitigate alkali silica
    reactivity in hardened concrete structures and pavements.
        (2) The Secretary of Defense shall ensure that the locations
    selected for the demonstration projects represent the diverse operating
    environments of the Armed Forces.
        (c) New Construction.--The Secretary of Defense shall develop
    specific guidelines for appropriate testing and use of lithium salts to
    prevent alkali silica reactivity in new construction of the Department
    of Defense.
        (d) Completion of Assessment and Demonstration.--The assessment
    conducted under subsection (a) and the demonstration projects, if any,
    conducted under subsection (b) shall be completed not later than
    September 30, 2006.
        (e) Delegation of Authority.--The authority to conduct the
    assessment under subsection (a) may be delegated only to the Chief of
    Engineers of the Army, the Commander of the Naval Facilities Engineering
    Command, and the Civil Engineer of the Air Force.

    [[Page 114 STAT. 1654A-90]]

        (f ) Limitation on Expenditures.--The Secretary of Defense and the
    Secretaries of the military departments may not expend more than a total
    of $5,000,000 to conduct both the assessment under subsection (a) and
    all of the demonstration projects under subsection (b).

    SEC. 390. DEMONSTRATION PROJECT TO INCREASE RESERVE COMPONENT INTERNET
                ACCESS AND SERVICES IN RURAL COMMUNITIES.

        (a) Authorization and Purpose of Project.--The Secretary of the
    Army, acting through the Chief of the National Guard Bureau, may carry
    out a demonstration project in rural communities that are unserved or
    underserved by the telecommunications medium known as the Internet to
    provide or increase Internet access and services to units and members of
    the National Guard and other reserve components located in these
    communities.
        (b) Project Elements.--In carrying out the demonstration project,
    the Secretary may--
                (1) establish and operate distance learning classrooms in
            communities described in subsection (a), including any support
            systems required for such classrooms; and
                (2) provide Internet access and services in such classrooms
            through GuardNet, the telecommunications infrastructure of the
            National Guard.

        (c) Report.--Not later than February 1, 2005, the Secretary shall
    submit to Congress a report on the demonstration project. The report
    shall describe the activities conducted under the demonstration project
    and include any recommendations for the improvement or expansion of the
    demonstration project that the Secretary considers appropriate.

    SEC. 391. ADDITIONAL CONDITIONS ON IMPLEMENTATION OF DEFENSE JOINT
                ACCOUNTING SYSTEM.

        (a) Report on Deployment of System.--The proposed Defense Joint
    Accounting System is not prohibited, but the Secretary of Defense may
    not grant a Milestone III decision for the system unless and until the
    Secretary of Defense submits to the Committee on Armed Services of the
    Senate and the Committee on Armed Services of the House of
    Representatives a report--
                (1) explaining the reasons for the withdrawal of the
            Department of the Air Force from the proposed Defense Joint
            Accounting System and the effect of the withdrawal on the
            development of the system;
                (2) explaining the reasons why the Department of the Navy is
            not required to participate in the system;
                (3) identifying business process reengineering initiatives
            reviewed, considered, or undertaken by the Department of the Air
            Force and the Department of the Navy before the decisions were
            made to exclude the Department of the Navy from the system and
            to allow the Department of the Air Force to withdraw from the
            system; and
                (4) containing an analysis, prepared with the participation
            of the Secretaries of the military departments, of alternatives
            to the system to determine whether the system warrants
            deployment.

        (b) Certification.--If the Secretary of Defense determines that the
    proposed Defense Joint Accounting System warrants a Milestone III
    decision, the Secretary shall submit to the Committee on Armed

    [[Page 114 STAT. 1654A-91]]

    Services of the Senate and the Committee on Armed Services of the House
    of Representatives a certification that the system will meet--
                (1) the required functionality for users of the system;
                (2) Department of Defense acquisition standards;
                (3) the applicable requirements for Milestones I, II, and
            III; and
                (4) the applicable requirements of the Clinger-Cohen Act of
            1996 (divisions D and E of Public Law 104-106).

    SEC. 392. REPORT ON DEFENSE TRAVEL SYSTEM.

        (a) Requirement for Report.--Not later than November 30, 2000, the
    Secretary of Defense shall submit to the congressional defense
    committees a report on the Defense Travel System.
        (b) Content of Report.--The report shall include the following:
                (1) A detailed discussion of the development, testing, and
            fielding of the system, including the performance requirements,
            the evaluation criteria, the funding that has been provided for
            the development, testing, and fielding of the system, and the
            funding that is projected to be required for completing the
            development, testing, and fielding of the system.
                (2) The schedule for the testing of the system, including
            the initial operational test and evaluation and the final
            operational testing and evaluation, together with the results of
            the testing.
                (3) The cost savings expected to result from the deployment
            of the system and from the completed implementation of the
            system, together with a discussion of how the savings are
            estimated and the expected schedule for the realization of the
            savings.
                (4) An analysis of the costs and benefits of fielding the
            front-end software for the system throughout all 18 geographical
            areas selected for the original fielding of the system.

    SEC. 393. REVIEW OF DEPARTMENT OF DEFENSE COSTS OF MAINTAINING
                HISTORICAL PROPERTIES.

        (a) Requirement for Review.--The Comptroller General shall conduct a
    review of the annual costs incurred by the Department of Defense to
    comply with the requirements of the National Historic Preservation Act
    (16 U.S.C. 470 et seq.).
        (b) Report.--Not later than February 28, 2001, the Comptroller
    General shall submit to the congressional defense committees a report on
    the results of the review. The report shall contain the following:
                (1) For each military department and Defense Agency and for
            the Department of Defense in the aggregate, the cost for fiscal
            year 2000 and the projected costs for the ensuing 10 fiscal
            years to comply with the requirements of the National Historic
            Preservation Act.
                (2) Of the costs referred to in paragraph (1), the portion
            of such costs related to maintenance of those properties that
            qualified as historic properties under the National Historic
            Preservation Act when such Act was originally enacted in 1966.
                (3) The accounts used for paying the costs of complying with
            the requirements of the National Historic Preservation Act.

    [[Page 114 STAT. 1654A-92]]

                (4) For each military department and Defense Agency, the
            identity of all properties that must be maintained in order to
            comply with the requirements of the National Historic
            Preservation Act.

                   TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Revision in permanent end strength minimum levels.
    Sec. 403. Adjustment to end strength flexibility authority.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for Reserves on active duty in support of the
               reserves.
    Sec. 413. End strengths for military technicians (dual status).
    Sec. 414. Fiscal year 2001 limitation on non-dual status technicians.
    Sec. 415. Increase in numbers of members in certain grades authorized to
               be on active duty in support of the Reserves.

            Subtitle C--Other Matters Relating to Personnel Strengths

    Sec. 421. Authority for Secretary of Defense to suspend certain
               personnel strength limitations during war or national
               emergency.
    Sec. 422. Exclusion from active component end strengths of certain
               reserve component members on active duty in support of the
               combatant commands.
    Sec. 423. Exclusion of Army and Air Force medical and dental officers
               from limitation on strengths of reserve commissioned officers
               in grades below brigadier general.
    Sec. 424. Authority for temporary increases in number of reserve
               component personnel serving on active duty or full-time
               national guard duty in certain grades.

                   Subtitle D--Authorization of Appropriations

    Sec. 431. Authorization of appropriations for military personnel.

                            Subtitle A--Active Forces

    SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

        The Armed Forces are authorized strengths for active duty personnel
    as of September 30, 2001, as follows:
                (1) The Army, 480,000.
                (2) The Navy, 372,642.
                (3) The Marine Corps, 172,600.
                (4) The Air Force, 357,000.

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

        (a) Revised End Strength Floors.--Section 691(b) of title 10, United
    States Code, is amended--
                (1) in paragraph (2), by striking ``371,781'' and inserting
            ``372,000'';
                (2) in paragraph (3), by striking ``172,148'' and inserting
            ``172,600''; and
                (3) in paragraph (4), by striking ``360,877'' and inserting
            ``357,000''.

        (b) Effective Date.--The amendments made by subsection (a) shall
    take effect on October 1, 2000.

    SEC. 403. ADJUSTMENT TO END STRENGTH FLEXIBILITY AUTHORITY.

        Section 691(e) of title 10, United States Code, is amended by
    inserting ``or greater than'' after ``identical to''.

    [[Page 114 STAT. 1654A-93]]

                           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,
    2001, as follows:
                (1) The Army National Guard of the United States, 350,526.
                (2) The Army Reserve, 205,300.
                (3) The Naval Reserve, 88,900.
                (4) The Marine Corps Reserve, 39,558.
                (5) The Air National Guard of the United States, 108,022.
                (6) The Air Force Reserve, 74,358.
                (7) The Coast Guard Reserve, 8,000.

        (b) Adjustments.--The end strengths prescribed by subsection (a) for
    the Selected Reserve of any reserve component shall be proportionately
    reduced by--
                (1) the total authorized strength of units organized to
            serve as units of the Selected Reserve of such component which
            are on active duty (other than for training) at the end of the
            fiscal year; and
                (2) the total number of individual members not in units
            organized to serve as units of the Selected Reserve of such
            component who are on active duty (other than for training or for
            unsatisfactory participation in training) without their consent
            at the end of the fiscal year.

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

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

        Within the end strengths prescribed in section 411(a), the reserve
    components of the Armed Forces are authorized, as of September 30, 2001,
    the following number of Reserves to be serving on full-time active duty
    or full-time duty, in the case of members of the National Guard, for the
    purpose of organizing, administering, recruiting, instructing, or
    training the reserve components:
                (1) The Army National Guard of the United States, 22,974.
                (2) The Army Reserve, 13,106.
                (3) The Naval Reserve, 14,649.
                (4) The Marine Corps Reserve, 2,261.
                (5) The Air National Guard of the United States, 11,170.
                (6) The Air Force Reserve, 1,336.

    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 2001 for the reserve components of the Army and
    the Air Force (notwithstanding section 129 of title 10, United States
    Code) shall be the following:
                (1) For the Army National Guard of the United States,
            23,128.
                (2) For the Army Reserve, 5,921.

    [[Page 114 STAT. 1654A-94]]

                (3) For the Air National Guard of the United States, 22,247.
                (4) For the Air Force Reserve, 9,785.

    SEC. 414. FISCAL YEAR 2001 LIMITATION ON NON-DUAL STATUS TECHNICIANS.

        (a) Limitation.--The number of non-dual status technicians employed
    by the reserve components of the Army and the Air Force as of September
    30, 2001, may not exceed the following:
                (1) For the Army Reserve, 1,195.
                (2) For the Army National Guard of the United States, 1,600.
                (3) For the Air Force Reserve, 10.
                (4) For the Air National Guard of the United States, 326.

        (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.
        (c) Postponement of Permanent Limitation.--Section 10217(c)(2) of
    title 10, United States Code, is amended by striking ``October 1, 2001''
    and inserting ``October 1, 2002''.

    SEC. 415. INCREASE IN NUMBERS OF MEMBERS IN CERTAIN GRADES AUTHORIZED TO
                BE ON ACTIVE DUTY IN SUPPORT OF THE RESERVES.

        (a) Officers.--The table in section 12011(a) of title 10, United
    States Code, is amended to read as follows:

    ------------------------------------------------------------------------
                                                              Air     Marine
                     ``Grade                Army     Navy    Force    Corps
    ------------------------------------------------------------------------
    Major or Lieutenant Commander.......    3,316    1,071      948      140
    Lieutenant Colonel or Commander.....    1,759      520      852       90
    Colonel or Navy Captain.............      529      188      317    30''.
    ------------------------------------------------------------------------

        (b) Senior Enlisted Members.--The table in section 12012(a) of such
    title is amended to read as follows:

    ------------------------------------------------------------------------
                                                              Air     Marine
                     ``Grade                Army     Navy    Force    Corps
    ------------------------------------------------------------------------
    E-9.................................      764      202      502       20
    E-8.................................    2,821      429    1,117    94''.
    ------------------------------------------------------------------------

        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2000.
        (d) Report.--(1) Not later than March 31, 2001, the Secretary shall
    submit to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives a report on
    management of the grade structure for reserve-component officers who are
    subject to section 12011 of title 10, United States Code, and on the
    grade structure of enlisted members who are subject to section 12012 of
    that title. The Secretary of Defense shall include in the report
    recommendations for a permanent solution for managing the grade
    structures for those officers and enlisted members without requirement
    for frequent statutory adjustments to the limitations in those sections.
        (2) In developing recommendations for the report under paragraph
    (1), the Secretary shall consider the following areas:

    [[Page 114 STAT. 1654A-95]]

                (A) The grade structure authorized for field-grade officers
            in the active-duty forces and the reasons why the grade
            structure for field-grade reserve officers on active duty in
            support of the reserves is different.
                (B) The grade structure authorized for senior enlisted
            members in the active-duty forces and the reasons why the grade
            structure for senior enlisted reserve members on active duty in
            support of the reserves is different.
                (C) The need for independent grade limits for each reserve
            component under sections 12011 and 12012 of title 10, United
            States Code.
                (D) The advantages and disadvantage of replacing management
            by the current grade tables in those sections with management
            through a system based on the grade authorized for the position
            occupied by the member.
                (E) The current mix within each reserve component, for each
            controlled grade, of (i) traditional reservists, (ii) military
            technicians, (iii) regular component members, and (iv) reserve
            members on active duty in support of the reserves, and how that
            mix, for each component, would shift over time under the
            Secretary's recommended solution as specified in paragraph (1).

            Subtitle C--Other Matters Relating to Personnel Strengths

    SEC. 421. AUTHORITY FOR SECRETARY OF DEFENSE TO SUSPEND CERTAIN
                PERSONNEL STRENGTH LIMITATIONS DURING WAR OR NATIONAL
                EMERGENCY.

        (a) Senior Enlisted Members on Active Duty.--Section 517 of title
    10, United States Code, is amended by adding at the end the following
    new subsection:
        ``(c) Whenever under section 527 of this title the President may
    suspend the operation of any provision of section 523, 525, or 526 of
    this title, the Secretary of Defense may suspend the operation of any
    provision of this section. Any such suspension shall, if not sooner
    ended, end in the manner specified in section 527 for a suspension under
    that section.''.
        (b) Field Grade Reserve Component Officers.--Section 12011 of such
    title is amended by adding at the end the following new subsection:
        ``(c) Whenever under section 527 of this title the President may
    suspend the operation of any provision of section 523, 525, or 526 of
    this title, the Secretary of Defense may suspend the operation of any
    provision of this section. Any such suspension shall, if not sooner
    ended, end in the manner specified in section 527 for a suspension under
    that section.''.
        (c) Senior Enlisted Member in Reserve Components.--Section 12012 of
    such title is amended by adding at the end the following new subsection:
        ``(c) Whenever under section 527 of this title the President may
    suspend the operation of any provision of section 523, 525, or 526 of
    this title, the Secretary of Defense may suspend the operation of any
    provision of this section. Any such suspension shall, if not sooner
    ended, end in the manner specified in section 527 for a suspension under
    that section.''.

    [[Page 114 STAT. 1654A-96]]

    SEC. 422. EXCLUSION FROM ACTIVE COMPONENT END STRENGTHS OF CERTAIN
                RESERVE COMPONENT MEMBERS ON ACTIVE DUTY IN SUPPORT OF THE
                COMBATANT COMMANDS.

        Section 115(d) of title 10, United States Code, is amended by adding
    at the end the following new paragraph:
                ``(9) Members of reserve components (not described in
            paragraph (8)) on active duty for more than 180 days but less
            than 271 days to perform special work in support of the
            combatant commands, except that--
                        ``(A) general and flag officers may not be excluded
                    under this paragraph; and
                        ``(B) the number of members of any of the armed
                    forces excluded under this paragraph may not exceed the
                    number equal to 0.2 percent of the end strength
                    authorized for active-duty personnel of that armed force
                    under subsection (a)(1)(A).''.

    SEC. 423. EXCLUSION OF ARMY AND AIR FORCE MEDICAL AND DENTAL OFFICERS
                FROM LIMITATION ON STRENGTHS OF RESERVE COMMISSIONED
                OFFICERS IN GRADES BELOW BRIGADIER GENERAL.

        Section 12005(a) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(3) Medical officers and dental officers shall not be counted for
    the purposes of this subsection.''.

    SEC. 424. AUTHORITY FOR TEMPORARY INCREASES IN NUMBER OF RESERVE
                COMPONENT PERSONNEL SERVING ON ACTIVE DUTY OR FULL-TIME
                NATIONAL GUARD DUTY IN CERTAIN GRADES.

        (a) Field Grade Officers.--Section 12011 of title 10, United States
    Code, as amended by section 421(b), is amended by adding at the end the
    following new subsection:
        ``(d) Upon increasing under subsection (c)(2) of section 115 of this
    title the end strength that is authorized under subsection (a)(1)(B) of
    that section for a fiscal year for active-duty personnel and full-time
    National Guard duty personnel of an armed force who are to be paid from
    funds appropriated for reserve personnel, the Secretary of Defense may
    increase for that fiscal year the limitation that is set forth in
    subsection (a) of this section for the number of officers of that armed
    force serving in any grade if the Secretary determines that such action
    is in the national interest. The percent of the increase may not exceed
    the percent by which the Secretary increases that end strength.''.
        (b) Senior Enlisted Personnel.--Section 12012 of such title, as
    amended by section 421(c), is amended by adding at the end the following
    new subsection:
        ``(d) Upon increasing under subsection (c)(2) of section 115 of this
    title the end strength that is authorized under subsection (a)(1)(B) of
    that section for a fiscal year for active-duty personnel and full-time
    National Guard duty personnel of an armed force who are to be paid from
    funds appropriated for reserve personnel, the Secretary of Defense may
    increase for that fiscal year the limitation that is set forth in
    subsection (a) of this section for the number of enlisted members of
    that armed force serving in any grade if the Secretary determines that
    such action is in the

    [[Page 114 STAT. 1654A-97]]

    national interest. The percent of the increase may not exceed the
    percent by which the Secretary increases that end strength.''.

                   Subtitle D--Authorization of Appropriations

    SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.

        There is hereby authorized to be appropriated to the Department of
    Defense for military personnel for fiscal year 2001 a total of
    $75,801,666,000. The authorization in the preceding sentence supersedes
    any other authorization of appropriations (definite or indefinite) for
    such purpose for fiscal year 2001.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

    Sec. 501. Eligibility of Army and Air Force Reserve colonels and
               brigadier generals for position vacancy promotions.
    Sec. 502. Flexibility in establishing promotion zones for Coast Guard
               Reserve officers.
    Sec. 503. Time for release of reports of officer promotion selection
               boards.
    Sec. 504. Clarification of requirements for composition of active-duty
               list selection boards when reserve officers are under
               consideration.
    Sec. 505. Authority to issue posthumous commissions in the case of
               members dying before official recommendation for appointment
               or promotion is approved by Secretary concerned.
    Sec. 506. Technical corrections relating to retired grade of reserve
               commissioned officers.
    Sec. 507. Grade of chiefs of reserve components and directors of
               National Guard components.
    Sec. 508. Revision to rules for entitlement to separation pay for
               regular and reserve officers.

                 Subtitle B--Reserve Component Personnel Policy

    Sec. 521. Exemption from active-duty list for reserve officers on active
               duty for a period of three years or less.
    Sec. 522. Termination of application requirement for consideration of
               officers for continuation on the reserve active-status list.
    Sec. 523. Authority to retain Air Force Reserve officers in all medical
               specialties until specified age.
    Sec. 524. Authority for provision of legal services to reserve component
               members following release from active duty.
    Sec. 525. Extension of involuntary civil service retirement date for
               certain reserve technicians.

                       Subtitle C--Education and Training

    Sec. 531. Eligibility of children of Reserves for Presidential
               appointment to service academies.
    Sec. 532. Selection of foreign students to receive instruction at
               service academies.
    Sec. 533. Revision of college tuition assistance program for members of
               Marine Corps Platoon Leaders Class program.
    Sec. 534. Review of allocation of Junior Reserve Officers Training Corps
               units among the services.
    Sec. 535. Authority for Naval Postgraduate School to enroll certain
               defense industry civilians in specified programs relating to
               defense product development.

               Subtitle D--Decorations, Awards, and Commendations

    Sec. 541. Limitation on award of Bronze Star to members in receipt of
               imminent danger pay.

    [[Page 114 STAT. 1654A-98]]

    Sec. 542. Consideration of proposals for posthumous or honorary
               promotions or appointments of members or former members of
               the Armed Forces and other qualified persons.
    Sec. 543. Waiver of time limitations for award of certain decorations to
               certain persons.
    Sec. 544. Addition of certain information to markers on graves
               containing remains of certain unknowns from the U.S.S.
               Arizona who died in the Japanese attack on Pearl Harbor on
               December 7, 1941.
    Sec. 545. Sense of Congress on the court-martial conviction of Captain
               Charles Butler McVay, Commander of the U.S.S. Indianapolis,
               and on the courageous service of the crew of that vessel.
    Sec. 546. Posthumous advancement on retired list of Rear Admiral Husband
               E. Kimmel and Major General Walter C. Short, senior officers
               in command in Hawaii on December 7, 1941.
    Sec. 547. Commendation of citizens of Remy, France, for World War II
               actions.
    Sec. 548. Authority for award of the Medal of Honor to William H.
               Pitsenbarger for valor during the Vietnam War.

            Subtitle E--Military Justice and Legal Assistance Matters

    Sec. 551. Recognition by States of military testamentary instruments.
    Sec. 552. Policy concerning rights of individuals whose names have been
               entered into Department of Defense official criminal
               investigative reports.
    Sec. 553. Limitation on Secretarial authority to grant clemency for
               military prisoners serving sentence of confinement for life
               without eligibility for parole.
    Sec. 554. Authority for civilian special agents of military department
               criminal investigative organizations to execute warrants and
               make arrests.
    Sec. 555. Requirement for verbatim record in certain special court-
               martial cases.
    Sec. 556. Commemoration of the 50th anniversary of the Uniform Code of
               Military Justice.

                   Subtitle F--Matters Relating to Recruiting

    Sec. 561. Army recruiting pilot programs.
    Sec. 562. Enhancement of recruitment market research and advertising
               programs.
    Sec. 563. Access to secondary schools for military recruiting purposes.
    Sec. 564. Pilot program to enhance military recruiting by improving
               military awareness of school counselors and educators.

                            Subtitle G--Other Matters

    Sec. 571. Extension to end of calendar year of expiration date for
               certain force drawdown transition authorities.
    Sec. 572. Voluntary separation incentive.
    Sec. 573. Congressional review period for assignment of women to duty on
               submarines and for any proposed reconfiguration or design of
               submarines to accommodate female crew members.
    Sec. 574. Management and per diem requirements for members subject to
               lengthy or numerous deployments.
    Sec. 575. Pay in lieu of allowance for funeral honors duty.
    Sec. 576. Test of ability of reserve component intelligence units and
               personnel to meet current and emerging defense intelligence
               needs.
    Sec. 577. National Guard Challenge Program.
    Sec. 578. Study of use of civilian contractor pilots for operational
               support missions.
    Sec. 579. Reimbursement for expenses incurred by members in connection
               with cancellation of leave on short notice.

                      Subtitle A--Officer Personnel Policy

    SEC. 501. ELIGIBILITY OF ARMY AND AIR FORCE RESERVE COLONELS AND
                BRIGADIER GENERALS FOR POSITION VACANCY PROMOTIONS.

        Section 14315(b) of title 10, United States Code, is amended--
                (1) in paragraph (1), by inserting after ``(A) is assigned
            to the duties of a general officer of the next higher reserve
            grade in the Army Reserve'' the following: ``or is recommended
            for such an assignment under regulations prescribed by the
            Secretary of the Army''; and
                (2) in paragraph (2), by inserting after ``(A) is assigned
            to the duties of a general officer of the next higher reserve

    [[Page 114 STAT. 1654A-99]]

            grade'' the following: ``or is recommended for such an
            assignment under regulations prescribed by the Secretary of the
            Air Force''.

    SEC. 502. FLEXIBILITY IN ESTABLISHING PROMOTION ZONES FOR COAST GUARD
                RESERVE OFFICERS.

        (a) Coast Guard Reserve Officer Promotion System Based on DOD ROPMA
    System.--Section 729(d) of title 14, United States Code, is amended to
    read as follows:
        ``(d)(1) Before convening a selection board to recommend Reserve
    officers for promotion, the Secretary shall establish a promotion zone
    for officers serving in each grade to be considered by the board. The
    Secretary shall determine the number of officers in the promotion zone
    for officers serving in any grade from among officers who are eligible
    for promotion in that grade.
        ``(2)(A) Before convening a selection board to recommend Reserve
    officers for promotion to a grade (other than the grade of lieutenant
    (junior grade)), the Secretary shall determine the maximum number of
    officers in that grade that the board may recommend for promotion.
        ``(B) The Secretary shall make the determination under subparagraph
    (A) of the maximum number that may be recommended with a view to having
    in an active status a sufficient number of Reserve officers in each
    grade to meet the needs of the Coast Guard for Reserve officers in an
    active status.
        ``(C) In order to make the determination under subparagraph (B), the
    Secretary shall determine the following:
                ``(i) The number of positions needed to accomplish mission
            objectives that require officers in the grade to which the board
            will recommend officers for promotion.
                ``(ii) The estimated number of officers needed to fill
            vacancies in such positions during the period in which it is
            anticipated that officers selected for promotion will be
            promoted.
                ``(iii) The number of officers authorized by the Secretary
            to serve in an active status in the grade under consideration.
                ``(iv) Any statutory limitation on the number of officers in
            any grade authorized to be in an active status.

        ``(3)(A) The Secretary may, when the needs of the Coast Guard
    require, authorize the consideration of officers in a grade above
    lieutenant (junior grade) for promotion to the next higher grade from
    below the promotion zone.
        ``(B) When selection from below the promotion zone is authorized,
    the Secretary shall establish the number of officers that may be
    recommended for promotion from below the promotion zone. That number may
    not exceed the number equal to 10 percent of the maximum number of
    officers that the board is authorized to recommend for promotion, except
    that the Secretary may authorize a greater number, not to exceed 15
    percent of the total number of officers that the board is authorized to
    recommend for promotion, if the Secretary determines that the needs of
    the Coast Guard so require. If the maximum number determined under this
    subparagraph is less than one, the board may recommend one officer for
    promotion from below the promotion zone.
        ``(C) The number of officers recommended for promotion from below
    the promotion zone does not increase the maximum number of officers that
    the board is authorized to recommend for promotion under paragraph
    (2).''.

    [[Page 114 STAT. 1654A-100]]

        (b) Running Mate System Made Optional.--(1) Section 731 of such
    title is amended--
                (A) by designating the text of such section as subsection
            (b);
                (B) by inserting after the section heading the following:

        ``(a) Authority To Use Running Mate System.--The Secretary may by
    regulation implement section 729(d)(1) of this title by requiring that
    the promotion zone for consideration of Reserve officers in an active
    status for promotion to the next higher grade be determined in
    accordance with a running mate system as provided in subsection (b).'';
                (C) in subsection (b), as designated by subparagraph (A), by
            striking ``Subject to the eligibility requirements of this
            subchapter, a Reserve officer shall'' and inserting the
            following: ``Consideration for Promotion.--If promotion zones
            are determined as authorized under subsection (a), a Reserve
            officer shall, subject to the eligibility requirements of this
            subchapter,''; and
                (D) by adding at the end the following:

        ``(c) Consideration of Officers Below the Zone.--If the Secretary
    authorizes the selection of officers for promotion from below the
    promotion zone in accordance with section 729(d)(3) of this title, the
    number of officers to be considered from below the zone may be
    established through the application of the running mate system under
    this subchapter or otherwise as the Secretary determines to be
    appropriate to meet the needs of the Coast Guard.''.
        (2)(A) The heading for such section is amended to read as follows:

    ``Sec. 731. Establishment of promotion zones under running mate
                            system''.

        (B) The item relating to such section in the table of sections at
    the beginning of chapter 21 of such title is amended to read as follows:

    ``731. Establishment of promotion zones under running mate system.''.

        (c) Effective Date.--The amendments made by this section shall apply
    with respect to selection boards convened under section 730 of title 14,
    United States Code, on or after the date of the enactment of this Act.

    SEC. 503. TIME FOR RELEASE OF REPORTS OF OFFICER PROMOTION SELECTION
                BOARDS.

        (a) Active-Duty List Officer Boards.--Section 618(e) of title 10,
    United States Code, is amended to read as follows:
        ``(e)(1) The names of the officers recommended for promotion in the
    report of a selection board shall be disseminated to the armed force
    concerned as follows:
                ``(A) In the case of officers recommended for promotion to a
            grade below brigadier general or rear admiral (lower half ),
            such names may be disseminated upon, or at any time after, the
            transmittal of the report to the President.
                ``(B) In the case of officers recommended for promotion to a
            grade above colonel or, in the case of the Navy, captain, such
            names may be disseminated upon, or at any time after, the
            approval of the report by the President.

    [[Page 114 STAT. 1654A-101]]

                ``(C) In the case of officers whose names have not been
            sooner disseminated, such names shall be promptly disseminated
            upon confirmation by the Senate.

        ``(2) A list of names of officers disseminated under paragraph (1)
    may not include--
                ``(A) any name removed by the President from the report of
            the selection board containing that name, if dissemination is
            under the authority of subparagraph (B) of such paragraph; or
                ``(B) the name of any officer whose promotion the Senate
            failed to confirm, if dissemination is under the authority of
            subparagraph (C) of such paragraph.''.

        (b) Reserve Active-Status List Officer Boards.--The text of section
    14112 of title 10, United States Code, is amended to read as follows:
        ``(a) Time for Dissemination.--The names of the officers recommended
    for promotion in the report of a selection board shall be disseminated
    to the armed force concerned as follows:
                ``(1) In the case of officers recommended for promotion to a
            grade below brigadier general or rear admiral (lower half ),
            such names may be disseminated upon, or at any time after, the
            transmittal of the report to the President.
                ``(2) In the case of officers recommended for promotion to a
            grade above colonel or, in the case of the Navy, captain, such
            names may be disseminated upon, or at any time after, the
            approval of the report by the President.
                ``(3) In the case of officers whose names have not been
            sooner disseminated, such names shall be promptly disseminated--
                        ``(A) upon confirmation of the promotion of the
                    officers by the Senate (in the case of promotions
                    required to be submitted to the Senate for
                    confirmation); or
                        ``(B) upon the approval of the report by the
                    President (in the case of promotions not required to be
                    submitted to the Senate for confirmation).

        ``(b) Names Not Disseminated.--A list of names of officers
    disseminated under subsection (a) may not include--
                ``(1) any name removed by the President from the report of
            the selection board containing that name, if dissemination is
            under the authority of paragraph (2) or (3)(B) of that
            subsection; or
                ``(2) the name of any officer whose promotion the Senate
            failed to confirm, if dissemination is under the authority of
            paragraph (3)(A) of that subsection.''.

    SEC. 504. CLARIFICATION OF REQUIREMENTS FOR COMPOSITION OF ACTIVE-DUTY
                LIST SELECTION BOARDS WHEN RESERVE OFFICERS ARE UNDER
                CONSIDERATION.

        (a) Clarification.--Section 612(a) of title 10, United States Code,
    is amended--
                (1) in paragraph (1)--
                        (A) by striking ``who are on the active-duty list''
                    in the second sentence; and
                        (B) by inserting after the second sentence the
                    following new sentence: ``Each member of a selection
                    board (except as provided in paragraphs (2), (3), and
                    (4)) shall be an officer on the active-duty list.''; and

    [[Page 114 STAT. 1654A-102]]

                (2) in paragraph (3)--
                        (A) by striking ``of that armed force, with the
                    exact number of reserve officers to be'' and inserting
                    ``of that armed force on active duty (whether or not on
                    the active-duty list). The actual number of reserve
                    officers shall be''; and
                        (B) by striking ``his discretion, except that'' and
                    inserting ``the Secretary's discretion. Notwithstanding
                    the first sentence of this paragraph,''.

        (b) Effective Date.--The amendments made by subsection (a) shall
    apply to any selection board convened under section 611(a) of title 10,
    United States Code, on or after August 1, 1981.

    SEC. 505. AUTHORITY TO ISSUE POSTHUMOUS COMMISSIONS IN THE CASE OF
                MEMBERS DYING BEFORE OFFICIAL RECOMMENDATION FOR APPOINTMENT
                OR PROMOTION IS APPROVED BY SECRETARY CONCERNED.

        (a) Repeal of Limitation to Deaths Occurring After Secretarial
    Approval.--Subsection (a)(3) of section 1521 of title 10, United States
    Code, is amended by striking ``and the recommendation for whose
    appointment or promotion was approved by the Secretary concerned''.
        (b) Effective Date of Commission.--Subsection (b) of such section is
    amended by striking ``approval'' both places it appears and inserting
    ``official recommendation''.

    SEC. 506. TECHNICAL CORRECTIONS RELATING TO RETIRED GRADE OF RESERVE
                COMMISSIONED OFFICERS.

        (a) Army.--Section 3961(a) of title 10, United States Code, is
    amended by striking ``or for nonregular service under chapter 1223 of
    this title''.
        (b) Air Force.--Section 8961(a) of title 10, United States Code, is
    amended by striking ``or for nonregular service under chapter 1223 of
    this title''.
        (c) Effective Date.--The amendments made by subsections (a) and (b)
    shall apply to Reserve commissioned officers who are promoted to a
    higher grade as a result of selection for promotion by a board convened
    under chapter 36 or 1403 of title 10, United States Code, or having been
    found qualified for Federal recognition in a higher grade under chapter
    3 of title 32, United States Code, after October 1, 1996.

    SEC. 507. GRADE OF CHIEFS OF RESERVE COMPONENTS AND DIRECTORS OF
                NATIONAL GUARD COMPONENTS.

        (a) Chief of Army Reserve.--Subsections (b) and (c) of section 3038
    of title 10, United States Code, are amended to read as follows:
        ``(b) Appointment.--(1) The President, by and with the advice and
    consent of the Senate, shall appoint the Chief of Army Reserve from
    general officers of the Army Reserve who have had at least 10 years of
    commissioned service in the Army Reserve.
        ``(2) The Secretary of Defense may not recommend an officer to the
    President for appointment as Chief of Army Reserve unless the officer--
                ``(A) is recommended by the Secretary of the Army; and
                ``(B) is determined by the Chairman of the Joint Chiefs of
            Staff, in accordance with criteria and as a result of a process

    [[Page 114 STAT. 1654A-103]]

            established by the Chairman, to have significant joint duty
            experience.

        ``(3) An officer on active duty for service as the Chief of Army
    Reserve shall be counted for purposes of the grade limitations under
    sections 525 and 526 of this title.
        ``(4) Until October 1, 2003, the Secretary of Defense may waive
    subparagraph (B) of paragraph (2) with respect to the appointment of an
    officer as Chief of Army Reserve if the Secretary of the Army requests
    the waiver and, in the judgment of the Secretary of Defense--
                ``(A) the officer is qualified for service in the position;
            and
                ``(B) the waiver is necessary for the good of the service.

    Any such waiver shall be made on a case-by-case basis.
        ``(c) Term; Reappointment; Grade.--(1) The Chief of Army Reserve is
    appointed for a period of four years, but may be removed for cause at
    any time. An officer serving as Chief of Army Reserve may be reappointed
    for one additional four-year period.
        ``(2) The Chief of Army Reserve, while so serving, holds the grade
    of lieutenant general.''.
        (b) Chief of Naval Reserve.--Subsections (b) and (c) of section 5143
    of such title are amended to read as follows:
        ``(b) Appointment.--(1) The President, by and with the advice and
    consent of the Senate, shall appoint the Chief of Naval Reserve from
    flag officers of the Navy (as defined in section 5001(1)) who have had
    at least 10 years of commissioned service.
        ``(2) The Secretary of Defense may not recommend an officer to the
    President for appointment as Chief of Naval Reserve unless the officer--
                ``(A) is recommended by the Secretary of the Navy; and
                ``(B) is determined by the Chairman of the Joint Chiefs of
            Staff, in accordance with criteria and as a result of a process
            established by the Chairman, to have significant joint duty
            experience.

        ``(3) An officer on active duty for service as the Chief of Naval
    Reserve shall be counted for purposes of the grade limitations under
    sections 525 and 526 of this title.
        ``(4) Until October 1, 2003, the Secretary of Defense may waive
    subparagraph (B) of paragraph (2) with respect to the appointment of an
    officer as Chief of Naval Reserve if the Secretary of the Navy requests
    the waiver and, in the judgment of the Secretary of Defense--
                ``(A) the officer is qualified for service in the position;
            and
                ``(B) the waiver is necessary for the good of the service.

    Any such waiver shall be made on a case-by-case basis.
        ``(c) Term; Reappointment; Grade.--(1) The Chief of Naval Reserve is
    appointed for a term determined by the Chief of Naval Operations,
    normally four years, but may be removed for cause at any time. An
    officer serving as Chief of Naval Reserve may be reappointed for one
    additional term of up to four years.
        ``(2) The Chief of Naval Reserve, while so serving, holds the grade
    of vice admiral.''.
        (c) Commander, Marine Forces Reserve.--Subsections (b) and (c) of
    section 5144 of such title are amended to read as follows:
        ``(b) Appointment.--(1) The President, by and with the advice and
    consent of the Senate, shall appoint the Commander, Marine

    [[Page 114 STAT. 1654A-104]]

    Forces Reserve, from general officers of the Marine Corps (as defined in
    section 5001(2)) who have had at least 10 years of commissioned service.
        ``(2) The Secretary of Defense may not recommend an officer to the
    President for appointment as Commander, Marine Forces Reserve, unless
    the officer--
                ``(A) is recommended by the Secretary of the Navy; and
                ``(B) is determined by the Chairman of the Joint Chiefs of
            Staff, in accordance with criteria and as a result of a process
            established by the Chairman, to have significant joint duty
            experience.

        ``(3) An officer on active duty for service as the Commander, Marine
    Forces Reserve, shall be counted for purposes of the grade limitations
    under sections 525 and 526 of this title.
        ``(4) Until October 1, 2003, the Secretary of Defense may waive
    subparagraph (B) of paragraph (2) with respect to the appointment of an
    officer as Commander, Marine Forces Reserve, if the Secretary of the
    Navy requests the waiver and, in the judgment of the Secretary of
    Defense--
                ``(A) the officer is qualified for service in the position;
            and
                ``(B) the waiver is necessary for the good of the service.

    Any such waiver shall be made on a case-by-case basis.
        ``(c) Term; Reappointment; Grade.--(1) The Commander, Marine Forces
    Reserve, is appointed for a term determined by the Commandant of the
    Marine Corps, normally four years, but may be removed for cause at any
    time. An officer serving as Commander, Marine Forces Reserve, may be
    reappointed for one additional term of up to four years.
        ``(2) The Commander, Marine Forces Reserve, while so serving, holds
    the grade of lieutenant general.''.
        (d) Chief of Air Force Reserve.--Subsections (b) and (c) of section
    8038 of such title are amended to read as follows:
        ``(b) Appointment.--(1) The President, by and with the advice and
    consent of the Senate, shall appoint the Chief of Air Force Reserve from
    general officers of the Air Force Reserve who have had at least 10 years
    of commissioned service in the Air Force.
        ``(2) The Secretary of Defense may not recommend an officer to the
    President for appointment as Chief of Air Force Reserve unless the
    officer--
                ``(A) is recommended by the Secretary of the Air Force; and
                ``(B) is determined by the Chairman of the Joint Chiefs of
            Staff, in accordance with criteria and as a result of a process
            established by the Chairman, to have significant joint duty
            experience.

        ``(3) An officer on active duty for service as the Chief of Air
    Force Reserve shall be counted for purposes of the grade limitations
    under sections 525 and 526 of this title.
        ``(4) Until October 1, 2003, the Secretary of Defense may waive
    subparagraph (B) of paragraph (2) with respect to the appointment of an
    officer as Chief of Air Force Reserve if the Secretary of the Air Force
    requests the waiver and, in the judgment of the Secretary of Defense--
                ``(A) the officer is qualified for service in the position;
            and
                ``(B) the waiver is necessary for the good of the service.

    [[Page 114 STAT. 1654A-105]]

    Any such waiver shall be made on a case-by-case basis.
        ``(c) Term; Reappointment; Grade.--(1) The Chief of Air Force
    Reserve is appointed for a period of four years, but may be removed for
    cause at any time. An officer serving as Chief of Air Force Reserve may
    be reappointed for one additional four-year period.
        ``(2) The Chief of Air Force Reserve, while so serving, holds the
    grade of lieutenant general.''.
        (e) Directors in the National Guard Bureau.--Section 10506(a) of
    such title is amended--
                (1) in subparagraphs (A) and (B) of paragraph (1), by
            striking ``while so serving shall hold the grade of major
            general or, if appointed to that position in accordance with
            section 12505(a)(2) of this title, the grade of lieutenant
            general, and'' and inserting ``shall be appointed in accordance
            with paragraph (3), shall hold the grade of lieutenant general
            while so serving, and shall''; and
                (2) by adding at the end the following new paragraph:

        ``(3)(A) The President, by and with the advice and consent of the
    Senate, shall appoint the Director, Army National Guard, from general
    officers of the Army National Guard of the United States and shall
    appoint the Director, Air National Guard, from general officers of the
    Air National Guard of the United States.
        ``(B) The Secretary of Defense may not recommend an officer to the
    President for appointment as Director, Army National Guard, or as
    Director, Air National Guard, unless the officer--
                ``(i) is recommended by the Secretary of the military
            department concerned; and
                ``(ii) is determined by the Chairman of the Joint Chiefs of
            Staff, in accordance with criteria and as a result of a process
            established by the Chairman, to have significant joint duty
            experience.

        ``(C) An officer on active duty for service as the Director, Army
    National Guard, or the Director, Air National Guard, shall be counted
    for purposes of the grade limitations under sections 525 and 526 of this
    title.
        ``(D) Until October 1, 2003, the Secretary of Defense may waive
    clause (ii) of subparagraph (B) with respect to the appointment of an
    officer as Director, Army National Guard, or as Director, Air National
    Guard, if the Secretary of the military department concerned requests
    the waiver and, in the judgment of the Secretary of Defense--
                ``(i) the officer is qualified for service in the position;
            and
                ``(ii) the waiver is necessary for the good of the service.

    Any such waiver shall be made on a case-by-case basis.
        ``(E) The Director, Army National Guard, and the Director, Air
    National Guard, are appointed for a period of four years, but may be
    removed for cause at any time. An officer serving as either Director may
    be reappointed for one additional four-year period.''.
        (f ) Repeal of Superseded Section.--(1) Section 12505 of such title
    is repealed.
        (2) The table of sections at the beginning of chapter 1213 is
    amended by striking the item relating to section 12505.
        (g) Conforming Increase in Authorized Number of O-9 Positions.--
    Section 525(b) of such title is amended--
                (1) in paragraph (1)--
                        (A) by striking ``Army, Air Force, or Marine Corps''
                    in the first sentence and inserting ``Army or Air
                    Force'';

    [[Page 114 STAT. 1654A-106]]

                        (B) by striking ``15 percent'' both places it
                    appears and inserting ``15.7 percent'';
                        (C) by striking ``In the case of the Army and Air
                    Force, of'' at the beginning of the second sentence and
                    inserting ``Of''; and
                        (D) by inserting ``of the Army or Air Force'' in the
                    second sentence after ``general officers''; and
                (2) in paragraph (2)--
                        (A) by inserting ``(A)'' after ``(2)'';
                        (B) by striking ``15 percent'' both places it
                    appears and inserting ``15.7 percent''; and
                        (C) by adding at the end the following:

        ``(B) No appointment may be made in a grade above major general in
    the Marine Corps if that appointment would result in more than 16.2
    percent of the general officers of the Marine Corps on active duty being
    in grades above major general.''.
        (h) Study of Increase in Grade for Vice Chief of National Guard
    Bureau.--(1) The Secretary of Defense shall conduct a study of the
    advisability of changing the grade authorized for the Vice Chief of the
    National Guard Bureau from major general to lieutenant general.
        (2) As part of the study, the Chief of the National Guard Bureau
    shall submit to the Secretary of Defense an analysis of the functions
    and responsibilities of the Vice Chief of the National Guard Bureau and
    the Chief's recommendation as to whether the grade for the Vice Chief
    should be changed from major general to lieutenant general.
        (3) Not later than February 1, 2001, the Secretary shall submit to
    the Committees on Armed Services of the Senate and House of
    Representatives a report on the study. The report shall include the
    following--
                (A) the recommendation of the Chief of the National Guard
            Bureau and any other information provided by the Chief to the
            Secretary of Defense pursuant to paragraph (2);
                (B) the conclusions resulting from the study; and
                (C) the Secretary's recommendations regarding whether the
            grade authorized for the Vice Chief of the National Guard Bureau
            should be changed to lieutenant general.

        (i) Implementation.--(1) An appointment or reappointment, in the
    case of the incumbent in a reserve component chief position, shall be
    made to each of the reserve component chief positions not later than 12
    months after the date of the enactment of this Act, in accordance with
    the amendments made by subsections (a) through (e).
        (2) An officer serving in a reserve component chief position on the
    date of the enactment of this Act may be reappointed to that position
    under the amendments made by subsection (a) through (e), if eligible and
    otherwise qualified in accordance with those amendments. If such an
    officer is so reappointed, the appointment may be made for the remainder
    of the officer's original term or for a full new term, as specified at
    the time of the appointment.
        (3) An officer serving on the date of the enactment of this Act in a
    reserve component chief position may continue to serve in that position
    in accordance with the provisions of law in effect immediately before
    the amendments made by this section until a successor is appointed under
    paragraph (1) (or that officer is reappointed under paragraph (1)).

    [[Page 114 STAT. 1654A-107]]

        (4) The amendments made by subsection (g) shall be implemented so
    that each increase authorized by those amendments in the number of
    officers in the grades of lieutenant general and vice admiral is
    implemented on a case-by-case basis with an initial appointment made
    after the date of the enactment of this Act, as specified in paragraph
    (1), to a reserve component chief position.
        (5) For purposes of this subsection, the term ``reserve component
    chief position'' means a position specified in section 3038, 5143, 5144,
    or 8038 of title 10, United States Code, or the position of Director,
    Army National Guard or Director, Air National Guard under section
    10506(a)(1) of such title.

    SEC. 508. REVISION TO RULES FOR ENTITLEMENT TO SEPARATION PAY FOR
                REGULAR AND RESERVE OFFICERS.

        (a) Regular Officers.--Subsection (a) of section 1174 of title 10,
    United States Code, is amended by adding at the end the following new
    paragraph:
        ``(4) Notwithstanding paragraphs (1) and (2), an officer who is
    subject to discharge under any provision of chapter 36 of this title or
    under section 580 or 6383 of this title by reason of having twice failed
    of selection for promotion to the next higher grade is not entitled to
    separation pay under this section if that officer, after such second
    failure of selection for promotion, is selected for, and declines,
    continuation on active duty for a period that is equal to or more than
    the amount of service required to qualify the officer for retirement.''.
        (b) Reserve Officers.--Subsection (c) of such section is amended by
    adding at the end the following new paragraph:
        ``(4) In the case of an officer who is subject to discharge or
    release from active duty under a law or regulation requiring that an
    officer who has failed of selection for promotion to the next higher
    grade for the second time be discharged or released from active duty and
    who, after such second failure of selection for promotion, is selected
    for, and declines, continuation on active duty--
                ``(A) if the period of time for which the officer was
            selected for continuation on active duty is less than the amount
            of service that would be required to qualify the officer for
            retirement, the officer's discharge or release from active duty
            shall be considered to be involuntary for purposes of paragraph
            (1)(A); and
                ``(B) if the period of time for which the officer was
            selected for continuation on active duty is equal to or more
            than the amount of service that would be required to qualify the
            officer for retirement, the officer's discharge or release from
            active duty shall not be considered to be involuntary for the
            purposes of paragraph (1)(A).''.

        (c) Effective Date.--Paragraph (4) of section 1174(a) of title 10,
    United States Code, as added by subsection (a), and paragraph (4) of
    section 1174(c) of such title, as added by subsection (b), shall apply
    with respect to any offer of selective continuation on active duty that
    is declined on or after the date of the enactment of this Act.

    [[Page 114 STAT. 1654A-108]]

                 Subtitle B--Reserve Component Personnel Policy

    SEC. 521. EXEMPTION FROM ACTIVE-DUTY LIST FOR RESERVE OFFICERS ON ACTIVE
                DUTY FOR A PERIOD OF THREE YEARS OR LESS.

        Section 641(1) of title 10, United States Code, is amended--
                (1) by redesignating subparagraphs (D) through (G) as
            subparagraphs (E) through (H), respectively; and
                (2) by inserting after subparagraph (C) the following new
            subparagraph:
                        ``(D) on the reserve active-status list who are on
                    active duty under section 12301(d) of this title, other
                    than as provided in subparagraph (C), under a call or
                    order to active duty specifying a period of three years
                    or less;''.

    SEC. 522. TERMINATION OF APPLICATION REQUIREMENT FOR CONSIDERATION OF
                OFFICERS FOR CONTINUATION ON THE RESERVE ACTIVE-STATUS LIST.

        Section 14701(a)(1) of title 10, United States Code, is amended by
    striking ``Upon application, a reserve officer'' and inserting ``A
    reserve officer''.

    SEC. 523. AUTHORITY TO RETAIN AIR FORCE RESERVE OFFICERS IN ALL MEDICAL
                SPECIALTIES UNTIL SPECIFIED AGE.

        Section 14703(a)(3) of title 10, United States Code, is amended by
    striking ``veterinary officer'' and all that follows through the period
    and inserting ``Air Force nurse, Medical Service Corps officer,
    biomedical sciences officer, or chaplain.''.

    SEC. 524. AUTHORITY FOR PROVISION OF LEGAL SERVICES TO RESERVE COMPONENT
                MEMBERS FOLLOWING RELEASE FROM ACTIVE DUTY.

        (a) Legal Services.--Section 1044(a) 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):
                ``(4) Members of reserve components not covered by paragraph
            (1) or (2) following release from active duty under a call or
            order to active duty for more than 30 days issued under a
            mobilization authority (as determined by the Secretary of
            Defense), for a period of time, prescribed by the Secretary of
            Defense, that begins on the date of the release and is not less
            than twice the length of the period served on active duty under
            that call or order to active duty.''.

        (b) Dependents.--Paragraph (5) of such section, as redesignated by
    subsection (a)(1), is amended by striking ``and (3)'' and inserting
    ``(3), and (4)''.
        (c) Implementing Regulations.--Regulations to implement the
    amendments made by this section shall be prescribed not later than 180
    days after the date of the enactment of this Act.

    SEC. 525. EXTENSION OF INVOLUNTARY CIVIL SERVICE RETIREMENT DATE FOR
                CERTAIN RESERVE TECHNICIANS.

        (a) Mandatory Retirement Not Applicable Until Age 60.--Section 10218
    of title 10, United States Code, is amended--

    [[Page 114 STAT. 1654A-109]]

                (1) in subsection (a)--
                        (A) by inserting ``and is age 60 or older at that
                    time'' after ``unreduced annuity'' in paragraph (2);
                        (B) by inserting ``or is under age 60 at that time''
                    after ``unreduced annuity'' in paragraph (3)(A); and
                        (C) by inserting ``and becoming 60 years of age''
                    after ``unreduced annuity'' in paragraph (3)(B)(ii)(I);
                    and
                (2) in subsection (b)--
                        (A) by inserting ``and is age 60 or older'' after
                    ``unreduced annuity'' in paragraph (1);
                        (B) by inserting ``or is under age 60'' after
                    ``unreduced annuity'' in paragraph (2)(A); and
                        (C) by inserting ``and becoming 60 years of age''
                    after ``unreduced annuity'' in paragraph (2)(B)(ii)(I).

        (b) Transition Provision.--(1) An individual who before the date of
    the enactment of this Act was involuntarily separated or retired from
    employment as an Army Reserve or Air Force Reserve technician under
    section 10218 of title 10, United States Code, and who would not have
    been so separated if the provisions of subsection (c) of that section,
    as amended by subsection (a), had been in effect at the time of such
    separation may, with the approval of the Secretary concerned, be
    reinstated to the technician status held by that individual immediately
    before that separation. The effective date of any such reinstatement is
    the date the employee resumes technician status.
        (2) The authority under paragraph (1) applies only to reinstatement
    for which an application is received by the Secretary concerned before
    the end of the one-year period beginning on the date of the enactment of
    this Act.

                       Subtitle C--Education and Training

    SEC. 531. ELIGIBILITY OF CHILDREN OF RESERVES FOR PRESIDENTIAL
                APPOINTMENT TO SERVICE ACADEMIES.

        (a) United States Military Academy.--Section 4342(b)(1) of title 10,
    United States Code, is amended--
                (1) in subparagraph (B), by striking ``, other than those
            granted retired pay under section 12731 of this title (or under
            section 1331 of this title as in effect before the effective
            date of the Reserve Officer Personnel Management Act)''; and
                (2) by inserting after subparagraph (B) the following:
                        ``(C) are serving as members of reserve components
                    and are credited with at least eight years of service
                    computed under section 12733 of this title; or
                        ``(D) would be, or who died while they would have
                    been, entitled to retired pay under chapter 1223 of this
                    title except for not having attained 60 years of age;''.

        (b) United States Naval Academy.--Section 6954(b)(1) of such title
    is amended--
                (1) in subparagraph (B), by striking ``, other than those
            granted retired pay under section 12731 of this title (or under
            section 1331 of this title as in effect before the effective
            date of the Reserve Officer Personnel Management Act)''; and
                (2) by inserting after subparagraph (B) the following:

    [[Page 114 STAT. 1654A-110]]

                        ``(C) are serving as members of reserve components
                    and are credited with at least eight years of service
                    computed under section 12733 of this title; or
                        ``(D) would be, or who died while they would have
                    been, entitled to retired pay under chapter 1223 of this
                    title except for not having attained 60 years of age;''.

        (c) United States Air Force Academy.--Section 9342(b)(1) of such
    title is amended--
                (1) in subparagraph (B), by striking ``, other than those
            granted retired pay under section 12731 of this title (or under
            section 1331 of this title as in effect before the effective
            date of the Reserve Officer Personnel Management Act)''; and
                (2) by inserting after subparagraph (B) the following:
                        ``(C) are serving as members of reserve components
                    and are credited with at least eight years of service
                    computed under section 12733 of this title; or
                        ``(D) would be, or who died while they would have
                    been, entitled to retired pay under chapter 1223 of this
                    title except for not having attained 60 years of age;''.

    SEC. 532. SELECTION OF FOREIGN STUDENTS TO RECEIVE INSTRUCTION AT
                SERVICE ACADEMIES.

        (a) United States Military Academy.--Section 4344(a) of title 10,
    United States Code, is amended by adding at the end the following new
    paragraph:
        ``(3) In selecting persons to receive instruction under this section
    from among applicants from the countries approved under paragraph (2),
    the Secretary of the Army shall give a priority to persons who have a
    national service obligation to their countries upon graduation from the
    Academy.''.
        (b) United States Naval Academy.--Section 6957(a) of such title is
    amended by adding at the end the following new paragraph:
        ``(3) In selecting persons to receive instruction under this section
    from among applicants from the countries approved under paragraph (2),
    the Secretary of the Navy shall give a priority to persons who have a
    national service obligation to their countries upon graduation from the
    Academy.''.
        (c) United States Air Force Academy.--Section 9344(a) of such title
    is amended by adding at the end the following new paragraph:
        ``(3) In selecting persons to receive instruction under this section
    from among applicants from the countries approved under paragraph (2),
    the Secretary of the Air Force shall give a priority to persons who have
    a national service obligation to their countries upon graduation from
    the Academy.''.
        (d) Applicability.--The amendments made by this section shall apply
    with respect to academic years that begin after October 1, 2000.

    SEC. 533. REVISION OF COLLEGE TUITION ASSISTANCE PROGRAM FOR MEMBERS OF
                MARINE CORPS PLATOON LEADERS CLASS PROGRAM.

        (a) Eligibility of Officers.--Section 16401 of title 10, United
    States Code, is amended--
                (1) in subsection (a), by striking ``enlisted'' in the
            matter preceding paragraph (1); and
                (2) in subsection (b)(1)--

    [[Page 114 STAT. 1654A-111]]

                        (A) by striking ``an enlisted member'' in the matter
                    preceding subparagraph (A) and inserting ``a member'';
                    and
                        (B) by striking ``an officer candidate in'' in
                    subparagraph (A) and inserting ``a member of''.

        (b) Repeal of Age Limitations.--Subsection (b) of such section is
    amended--
                (1) in paragraph (1)--
                        (A) by striking subparagraph (B);
                        (B) by redesignating subparagraphs (C) and (D) as
                    subparagraphs (B) and (C), respectively; and
                        (C) in subparagraph (C), as so redesignated, by
                    striking ``paragraph (3)'' and inserting ``paragraph
                    (2)'';
                (2) by striking paragraph (2);
                (3) by redesignating paragraph (3) as paragraph (2); and
                (4) in paragraph (2), as so redesignated, by striking
            ``paragraph (1)(D)'' and inserting ``paragraph (1)(C)''.

        (c) Candidates for Law Degrees.--Subsection (a)(2) of such section
    is amended by striking ``three'' and inserting ``four''.
        (d) Sanctions; Exceptions.--Subsection (f ) of such section is
    amended--
                (1) in paragraph (1)--
                        (A) by striking ``A member who'' and inserting ``An
                    enlisted member who'';
                        (B) by inserting ``and an officer who receives
                    financial assistance under this section may be required
                    to repay the full amount of financial assistance,''
                    after ``for more than four years,''; and
                        (C) by inserting ``or, if already a commissioned
                    officer in the Marine Corps, refuses to accept an
                    assignment on active duty when offered'' in subparagraph
                    (A) after ``when offered''; and
                (2) by striking paragraph (2) and inserting the following:

        ``(2) The Secretary of the Navy may waive the requirements of
    paragraph (1) in the case of a person who--
                ``(A) becomes unqualified to serve on active duty as an
            officer due to a circumstance not within the control of the
            person;
                ``(B) is not physically qualified for appointment under
            section 532 of this title and later is determined by the
            Secretary of the Navy under section 505 of this title to be
            unqualified for service as an enlisted member of the Marine
            Corps due to a physical or medical condition that was not the
            result of misconduct or grossly negligent conduct; or
                ``(C) fails to complete the military or academic
            requirements of the Marine Corps Platoon Leaders Class program
            due to a circumstance not within the control of the person.''.

        (e) Clarification of Service Excluded in Computation of Creditable
    Service as a Marine Corps Officer.--(1) Section 205(f ) of title 37,
    United States Code, is amended by striking ``that the officer performed
    concurrently as a member'' and inserting ``that the officer performed
    concurrently as an enlisted member''.
        (2) Such section is further amended by striking ``section 12209''
    and inserting ``section 12203''.
        (f ) Amendments of Headings.--(1) The heading of section 16401 of
    title 10, United States Code, is amended to read as follows:

    [[Page 114 STAT. 1654A-112]]

    ``Sec. 16401. Marine Corps Platoon Leaders Class: college tuition
                            assistance program''.

        (2) The heading for subsection (a) of such section is amended by
    striking ``for Financial Assistance Program''.
        (g) Clerical Amendment.--The item relating to such section in the
    table of chapters at the beginning of chapter 1611 of title 10, United
    States Code, is amended to read as follows:

    ``16401. Marine Corps Platoon Leaders Class: college tuition assistance
               program.''.

    SEC. 534. REVIEW OF ALLOCATION OF JUNIOR RESERVE OFFICERS TRAINING CORPS
                UNITS AMONG THE SERVICES.

        (a) Reallocation of JROTC Units.--Not later than March 31, 2001, the
    Secretary of Defense shall--
                (1) review the allocation among the military departments of
            the statutory maximum number of Junior Reserve Officers'
            Training Corps (JROTC) units; and
                (2) redistribute the allocation of those units planned (as
            of the date of the enactment of this Act) for fiscal years 2001
            through 2006 so as to increase the number of units for a
            military department that proposes to more quickly eliminate the
            current waiting list for such units and to commit the necessary
            resources for that purpose.

        (b) Proposal for Increase in Statutory Maximum.--If, based on the
    review under subsection (a) and the redistribution of the allocation of
    JROTC units under that subsection, the Secretary determines that an
    increase in the statutory maximum number of such units is warranted, the
    Secretary shall include a proposal for such an increase in the budget
    proposal of the Department of Defense for fiscal year 2002.

    SEC. 535. AUTHORITY FOR NAVAL POSTGRADUATE SCHOOL TO ENROLL CERTAIN
                DEFENSE INDUSTRY CIVILIANS IN SPECIFIED PROGRAMS RELATING TO
                DEFENSE PRODUCT DEVELOPMENT.

        (a) In General.--(1) Chapter 605 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 7049. Defense industry civilians: admission to defense product
                            development program

        ``(a) Authority for Admission.--The Secretary of the Navy may permit
    eligible defense industry employees to receive instruction at the Naval
    Postgraduate School in accordance with this section. Any such defense
    industry employee may only be enrolled in, and may only be provided
    instruction in, a program leading to a master's degree in a curriculum
    related to defense product development. No more than 10 such defense
    industry employees may be enrolled at any one time. Upon successful
    completion of the course of instruction in which enrolled, any such
    defense industry employee may be awarded an appropriate degree under
    section 7048 of this title.
        ``(b) Eligible Defense Industry Employees.--For purposes of this
    section, an eligible defense industry employee is an individual employed
    by a private firm that is engaged in providing to the Department of
    Defense significant and substantial defense-related systems, products,
    or services. A defense industry employee admitted for instruction at the
    school remains eligible for such instruction only so long as that person
    remains employed by the same firm.

    [[Page 114 STAT. 1654A-113]]

        ``(c) Annual Certification by the Secretary of the Navy.--Defense
    industry employees may receive instruction at the school during any
    academic year only if, before the start of that academic year, the
    Secretary of the Navy determines, and certifies to the Committee on
    Armed Services of the Senate and the Committee on Armed Services of the
    House of Representatives, that providing instruction to defense industry
    employees under this section during that year--
                ``(1) will further the military mission of the school;
                ``(2) will enhance the ability of the Department of Defense
            and defense-oriented private sector contractors engaged in the
            design and development of defense systems to reduce the product
            and project lead times required to bring such systems to initial
            operational capability; and
                ``(3) will be done on a space-available basis and not
            require an increase in the size of the faculty of the school, an
            increase in the course offerings of the school, or an increase
            in the laboratory facilities or other infrastructure of the
            school.

        ``(d) Program Requirements.--The Secretary of the Navy shall ensure
    that--
                ``(1) the curriculum for the defense product development
            program in which defense industry employees may be enrolled
            under this section is not readily available through other
            schools and concentrates on defense product development
            functions that are conducted by military organizations and
            defense contractors working in close cooperation; and
                ``(2) the course offerings at the school continue to be
            determined solely by the needs of the Department of Defense.

        ``(e) Tuition.--The Superintendent of the school shall charge
    tuition for students enrolled under this section at a rate not less than
    the rate charged for employees of the United States outside the
    Department of the Navy.
        ``(f ) Standards of Conduct.--While receiving instruction at the
    school, students enrolled under this section, to the extent practicable,
    are subject to the same regulations governing academic performance,
    attendance, norms of behavior, and enrollment as apply to Government
    civilian employees receiving instruction at the school.
        ``(g) Use of Funds.--Amounts received by the school for instruction
    of students enrolled under this section shall be retained by the school
    to defray the costs of such instruction. The source, and the
    disposition, of such funds shall be specifically identified in records
    of the school.''.

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

    ``7049. Defense industry civilians: admission to defense product
               development program.''.

        (b) Program Evaluation and Report.--(1) Before the start of the
    fourth year of instruction, but no earlier than the start of the third
    year of instruction, of defense industry employees at the Naval
    Postgraduate School under section 7049 of title 10, United States Code,
    as added by subsection (a), the Secretary of the Navy shall conduct an
    evaluation of the admission of such students under that section. The
    evaluation shall include the following:

    [[Page 114 STAT. 1654A-114]]

                (A) An assessment of whether the authority for instruction
            of nongovernment civilians at the school has resulted in a
            discernible benefit for the Government.
                (B) Determination of whether the receipt and disposition of
            funds received by the school as tuition for instruction of such
            civilians at the school have been properly identified in records
            of the school.
                (C) A summary of the disposition and uses made of those
            funds.
                (D) An assessment of whether instruction of such civilians
            at the school is in the best interests of the Government.

        (2) Not later than 30 days after completing the evaluation referred
    to in paragraph (1), the Secretary of the Navy shall submit to the
    Secretary of Defense a report on the program under such section. The
    report shall include--
                (A) the results of the evaluation under paragraph (1);
                (B) the Secretary's conclusions and recommendation with
            respect to continuing to allow nongovernment civilians to
            receive instruction at the Naval Postgraduate School as part of
            a program related to defense product development; and
                (C) any proposals for legislative changes recommended by the
            Secretary.

        (3) Not later than 60 days after receiving the report of the
    Secretary of the Navy under paragraph (2), the Secretary of Defense
    shall submit the report, together with any comments that the Secretary
    considers appropriate, to the Committee on Armed Services of the Senate
    and the Committee on Armed Services of the House of Representatives.

               Subtitle D--Decorations, Awards, and Commendations

    SEC. 541. LIMITATION ON AWARD OF BRONZE STAR TO MEMBERS IN RECEIPT OF
                IMMINENT DANGER PAY.

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

    ``Sec. 1133. Bronze Star: limitation to members receiving imminent
                            danger pay

        ``The decoration known as the `Bronze Star' may only be awarded to a
    member of the armed forces who is in receipt of special pay under
    section 310 of title 37 at the time of the events for which the
    decoration is to be awarded or who receives such pay as a result of
    those events.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``1133. Bronze star: limitation to members receiving imminent danger
               pay.''.

    SEC. 542. CONSIDERATION OF PROPOSALS FOR POSTHUMOUS OR HONORARY
                PROMOTIONS OR APPOINTMENTS OF MEMBERS OR FORMER MEMBERS OF
                THE ARMED FORCES AND OTHER QUALIFIED PERSONS.

        (a) In General.--Chapter 80 of title 10, United States Code, is
    amended by adding at the end the following new section:

    [[Page 114 STAT. 1654A-115]]

    ``Sec. 1563. Consideration of proposals for posthumous and honorary
                            promotions and appointments: procedures for
                            review and recommendation

        ``(a) Review by Secretary Concerned.--Upon request of a Member of
    Congress, the Secretary concerned shall review a proposal for the
    posthumous or honorary promotion or appointment of a member or former
    member of the armed forces, or any other person considered qualified,
    that is not otherwise authorized by law. Based upon such review, the
    Secretary shall make a determination as to the merits of approving the
    posthumous or honorary promotion or appointment and the other
    determinations necessary to comply with subsection (b).
        ``(b) Notice of Results of Review.--Upon making a determination
    under subsection (a) as to the merits of approving the posthumous or
    honorary promotion or appointment, the Secretary concerned shall submit
    to the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House of Representatives and to the requesting
    Member of Congress notice in writing of one of the following:
                ``(1) The posthumous or honorary promotion or appointment
            does not warrant approval on the merits.
                ``(2) The posthumous or honorary promotion or appointment
            warrants approval and authorization by law for the promotion or
            appointment is recommended.
                ``(3) The posthumous or honorary promotion or appointment
            warrants approval on the merits and has been recommended to the
            President as an exception to policy.
                ``(4) The posthumous or honorary promotion or appointment
            warrants approval on the merits and authorization by law for the
            promotion or appointment is required but is not recommended.

    A notice under paragraph (1) or (4) shall be accompanied by a statement
    of the reasons for the decision of the Secretary.
        ``(c) Definition.--In this section, the term `Member of Congress'
    means--
                ``(1) a Senator; or
                ``(2) a Representative in, or a Delegate or Resident
            Commissioner to, Congress.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``1563. Consideration of proposals for posthumous and honorary
               promotions and appointments: procedures for review and
               recommendation.''.

    SEC. 543. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN DECORATIONS TO
                CERTAIN PERSONS.

        (a) Waiver.--Any limitation established by law or policy for the
    time within which a recommendation for the award of a military
    decoration or award must be submitted shall not apply to awards of
    decorations described in this section, the award of each such decoration
    having been determined by the Secretary concerned to be warranted in
    accordance with section 1130 of title 10, United States Code.
        (b) Silver Star.--Subsection (a) applies to the award of the Silver
    Star to Louis Rickler, of Rochester, New York, for gallantry in action
    from August 18 to November 18, 1918, while serving as a member of the
    Army.

    [[Page 114 STAT. 1654A-116]]

        (c) Distinguished Flying Cross.--Subsection (a) applies to the award
    of the Distinguished Flying Cross for service during World War II or
    Korea (including multiple awards to the same individual) in the case of
    each individual concerning whom the Secretary of the Navy (or an officer
    of the Navy acting on behalf of the Secretary) submitted to the
    Committee on Armed Services of the House of Representatives and the
    Committee on Armed Services of the Senate, during the period beginning
    on October 5, 1999, and ending on the day before the date of the
    enactment of this Act, a notice as provided in section 1130(b) of title
    10, United States Code, that the award of the Distinguished Flying Cross
    to that individual is warranted and that a waiver of time restrictions
    prescribed by law for recommendation for such award is recommended.

    SEC. 544. ADDITION OF CERTAIN INFORMATION TO MARKERS ON GRAVES
                CONTAINING REMAINS OF CERTAIN UNKNOWNS FROM THE U.S.S.
                ARIZONA WHO DIED IN THE JAPANESE ATTACK ON PEARL HARBOR ON
                DECEMBER 7, 1941.

        (a) Information To Be Provided Secretary of Veterans Affairs.--The
    Secretary of the Army shall provide to the Secretary of Veterans Affairs
    certain information, as specified in subsection (b), pertaining to the
    remains of certain unknown persons that are interred in the National
    Memorial Cemetery of the Pacific, Honolulu, Hawaii. The Secretary of
    Veterans Affairs shall add to the inscriptions on the markers on the
    graves containing those remains the information provided.
        (b) Information To Be Added.--The information to be added to grave
    markers under subsection (a)--
                (1) shall be determined by the Secretary of the Army, based
            on a review of the information that, as of the date of the
            enactment of this Act, has been authenticated by the director of
            the Naval Historical Center, Washington, D.C., pertaining to the
            interment of remains of certain unknown casualties from the
            U.S.S. ARIZONA who died as a result of the Japanese attack on
            Pearl Harbor on December 7, 1941; and
                (2) shall, at a minimum, indicate that the interred remains
            are from the U.S.S. ARIZONA.

        (c) Limitation of Scope of Section.--This section does not impose
    any requirement on the Secretary of the Army to undertake a review of
    any information pertaining to the interred remains of any unknown person
    other than as provided in subsection (b).

    SEC. 545. SENSE OF CONGRESS ON THE COURT-MARTIAL CONVICTION OF CAPTAIN
                CHARLES BUTLER McVAY, COMMANDER OF THE U.S.S. INDIANAPOLIS,
                AND ON THE COURAGEOUS SERVICE OF THE CREW OF THAT VESSEL.

        (a) Findings.--Congress makes the following findings:
                (1) Shortly after midnight on the morning of July 30, 1945,
            during the closing days of World War II, the United States Navy
            heavy cruiser U.S.S. Indianapolis (CA-35) was torpedoed and sunk
            by the Japanese submarine I-58 in what became the worst sea
            disaster in the history of the United States Navy.
                (2) Although approximately 900 of the ship's crew of 1,196
            survived the actual sinking, only 316 of those courageous
            sailors survived when rescued after four and a half days adrift
            in

    [[Page 114 STAT. 1654A-117]]

            the open sea, the remainder having perishing from battle wounds,
            drowning, predatory shark attacks, exposure to the elements, and
            lack of food and potable water.
                (3) Rescue for the remaining 316 sailors came only when they
            were spotted by chance by Navy Lieutenant Wilbur C. Gwinn while
            flying a routine naval air patrol mission.
                (4) After the end of World War II, the commanding officer of
            the U.S.S. Indianapolis, Captain Charles Butler McVay, III, who
            was rescued with the other survivors, was court-martialed for
            ``suffering a vessel to be hazarded through negligence'' by
            failing to zigzag (a naval tactic employed to help evade
            submarine attacks) and was convicted even though--
                        (A) the choice to zigzag was left to Captain McVay's
                    discretion in his orders; and
                        (B) Motchisura Hashimoto, the commander of the
                    Japanese submarine that sank the U.S.S. Indianapolis,
                    and Glynn R. Donaho, a United States Navy submarine
                    commander highly decorated for his service during World
                    War II, both testified at Captain McVay's court-martial
                    trial that the Japanese submarine could have sunk the
                    U.S.S. Indianapolis whether or not it had been
                    zigzagging, an assertion that has since been reaffirmed
                    in a letter to the Chairman of the Committee on Armed
                    Services of the Senate dated November 24, 1999.
                (5) Although not argued by Captain McVay's defense counsel
            in the court-martial trial, poor visibility on the night of the
            sinking (as attested in surviving crew members' handwritten
            accounts recently discovered at the National Archives) justified
            Captain McVay's choice not to zigzag as that choice was
            consistent with the applicable Navy directives in force in 1945,
            which stated that, ``During thick weather and at night, except
            on very clear nights or during bright moonlight, vessels
            normally cease zig-zagging.''.
                (6) Before the U.S.S. Indianapolis sailed from Guam on what
            became her final voyage, Naval officials failed to provide
            Captain McVay with available support that was critical to the
            safety of the U.S.S. Indianapolis and her crew by--
                        (A) disapproving a request made by Captain McVay for
                    a destroyer escort for the U.S.S. Indianapolis across
                    the Philippine Sea as being ``not necessary'';
                        (B) not informing Captain McVay that naval
                    intelligence sources, through signal intelligence (the
                    Japanese code having been broken earlier in World War
                    II), had become aware that the Japanese submarine I-58
                    was operating in the area of the U.S.S. Indianapolis'
                    course (as disclosed in evidence presented in a hearing
                    of the Committee on Armed Services of the Senate
                    conducted September 14, 1999); and
                        (C) not informing Captain McVay of the sinking of
                    the destroyer escort U.S.S. Underhill by a Japanese
                    submarine within range of the course of the U.S.S.
                    Indianapolis four days before the U.S.S. Indianapolis
                    departed Guam for the Philippine Islands.
                (7) Captain McVay's court-martial initially was opposed by
            his immediate command superiors, Fleet Admiral Chester Nimitz
            (CINCPAC) and Vice Admiral Raymond Spruance of the 5th fleet,
            for whom the U.S.S. Indianapolis had served

    [[Page 114 STAT. 1654A-118]]

            as flagship, but, despite their recommendations, Secretary of
            the Navy James Forrestal ordered the court-martial, largely on
            the basis of the recommendation of Fleet Admiral Ernest King,
            Chief of Naval Operations.
                (8) There is no explanation on the public record for the
            overruling by Secretary Forrestal of the recommendations made by
            Admirals Nimitz and Spruance.
                (9) Captain McVay was the only commander of a United States
            Navy vessel lost in combat to enemy action during World War II
            who was subjected to a court-martial trial for such a loss, even
            though several hundred United States Navy ships were lost in
            combat to enemy action during World War II.
                (10) The survivors of the U.S.S. Indianapolis overwhelmingly
            conclude that Captain McVay was not at fault in the loss of the
            U.S.S. Indianapolis and have dedicated their lives to
            vindicating their Captain McVay.
                (11) Although promoted to the grade of rear admiral in
            accordance with then-applicable law upon retirement from the
            Navy in 1949, Captain McVay never recovered from the stigma of
            his post-war court-martial and in 1968, tragically, took his own
            life.
                (12) Charles Butler McVay, III--
                        (A) was a graduate of the United States Naval
                    Academy;
                        (B) was an exemplary career naval officer with an
                    outstanding record (including participation in the
                    amphibious invasions of North Africa, the assault on Iwo
                    Jima, and the assault on Okinawa where the U.S.S.
                    Indianapolis under his command survived a fierce
                    kamikaze attack);
                        (C) was a recipient of the Silver Star earned for
                    courage under fire during the Solomon Islands campaign;
                    and
                        (D) with the crew of the U.S.S. Indianapolis, had so
                    thoroughly demonstrated proficiency in naval warfare
                    that the Navy entrusted him and the crew of the U.S.S.
                    Indianapolis with transporting to the Pacific theater
                    components necessary for assembling the atomic bombs
                    that were exploded over Hiroshima and Nagasaki to end
                    the war with Japan (delivery of such components to the
                    island of Tinian having been accomplished on July 25,
                    1945).

        (b) Sense of Congress Concerning Charles Butler McVay, III.--With
    respect to the sinking of the U.S.S. Indianapolis (CA-35) on July 30,
    1945, and the subsequent court-martial conviction of the ship's
    commanding officer, Captain Charles Butler McVay, III, arising from that
    sinking, it is the sense of Congress, based on the review of evidence by
    the Senate and the House of Representatives--
                (1) that, in light of the remission by the Secretary of the
            Navy of the sentence of the court-martial and the restoration of
            Captain McVay to active duty by the Chief of Naval Operations,
            Fleet Admiral Chester Nimitz, the American people should now
            recognize Captain McVay's lack of culpability for the tragic
            loss of the U.S.S. Indianapolis and the lives of the men who
            died as a result of the sinking of that vessel; and
                (2) that, in light of the fact that certain exculpatory
            information was not available to the court-martial board and
            that Captain McVay's conviction resulted therefrom, Captain

    [[Page 114 STAT. 1654A-119]]

            McVay's military record should now reflect that he is exonerated
            for the loss of the U.S.S. Indianapolis and so many of her crew.

        (c) Unit Citation for Final Crew of U.S.S. Indianapolis.--The
    Secretary of the Navy should award a Navy Unit Commendation to the
    U.S.S. Indianapolis (CA-35) and her final crew.

    SEC. 546. POSTHUMOUS ADVANCEMENT ON RETIRED LIST OF REAR ADMIRAL HUSBAND
                E. KIMMEL AND MAJOR GENERAL WALTER C. SHORT, SENIOR OFFICERS
                IN COMMAND IN HAWAII ON DECEMBER 7, 1941.

        (a) Findings.--Congress makes the following findings:
                (1) The late Rear Admiral Husband E. Kimmel, while serving
            in the temporary grade of admiral, was the Commander in Chief of
            the United States Fleet and the Commander in Chief, United
            States Pacific Fleet, at the time of the Japanese attack on
            Pearl Harbor, Hawaii, on December 7, 1941, with an excellent and
            unassailable record throughout his career in the United States
            Navy before that date.
                (2) The late Major General Walter C. Short, while serving in
            the temporary grade of lieutenant general, was the Commander of
            the United States Army Hawaiian Department, at the time of the
            Japanese attack on Pearl Harbor, Hawaii, on December 7, 1941,
            with an excellent and unassailable record throughout his career
            in the United States Army before that date.
                (3) Numerous investigations following the attack on Pearl
            Harbor have documented that Admiral Kimmel and Lieutenant
            General Short were not provided necessary and critical
            intelligence that was available, that foretold of war with
            Japan, that warned of imminent attack, and that would have
            alerted them to prepare for the attack, including such essential
            communiques as the Japanese Pearl Harbor Bomb Plot message of
            September 24, 1941, and the message sent from the Imperial
            Japanese Foreign Ministry to the Japanese Ambassador in the
            United States from December 6 to 7, 1941, known as the Fourteen-
            Part Message.
                (4) On December 16, 1941, Admiral Kimmel and Lieutenant
            General Short were relieved of their commands and returned to
            their permanent grades of rear admiral and major general,
            respectively.
                (5) Admiral William Harrison Standley, who served as a
            member of the investigating commission known as the Roberts
            Commission that accused Admiral Kimmel and Lieutenant General
            Short of ``dereliction of duty'' only six weeks after the attack
            on Pearl Harbor, later disavowed the report, maintaining that
            ``these two officers were martyred'' and ``if they had been
            brought to trial, both would have been cleared of the charge''.
                (6) On October 19, 1944, a Naval Court of Inquiry--
                        (A) exonerated Admiral Kimmel on the grounds that
                    his military decisions and the disposition of his forces
                    at the time of the December 7, 1941, attack on Pearl
                    Harbor were proper ``by virtue of the information that
                    Admiral Kimmel had at hand which indicated neither the
                    probability nor the imminence of an air attack on Pearl
                    Harbor'';

    [[Page 114 STAT. 1654A-120]]

                        (B) criticized the higher command for not sharing
                    with Admiral Kimmel ``during the very critical period of
                    November 26 to December 7, 1941, important information .
                    . . regarding the Japanese situation''; and
                        (C) concluded that the Japanese attack and its
                    outcome was attributable to no serious fault on the part
                    of anyone in the naval service.
                (7) On June 15, 1944, an investigation conducted by Admiral
            T. C. Hart at the direction of the Secretary of the Navy
            produced evidence, subsequently confirmed, that essential
            intelligence concerning Japanese intentions and war plans was
            available in Washington but was not shared with Admiral Kimmel.
                (8) On October 20, 1944, the Army Pearl Harbor Board of
            Investigation determined that--
                        (A) Lieutenant General Short had not been kept
                    ``fully advised of the growing tenseness of the Japanese
                    situation which indicated an increasing necessity for
                    better preparation for war'';
                        (B) detailed information and intelligence about
                    Japanese intentions and war plans were available in
                    ``abundance'' but were not shared with the Lieutenant
                    General Short's Hawaii command; and
                        (C) Lieutenant General Short was not provided ``on
                    the evening of December 6th and the early morning of
                    December 7th, the critical information indicating an
                    almost immediate break with Japan, though there was
                    ample time to have accomplished this''.
                (9) The reports by both the Naval Court of Inquiry and the
            Army Pearl Harbor Board of Investigation were kept secret, and
            Rear Admiral Kimmel and Major General Short were denied their
            requests to defend themselves through trial by court-martial.
                (10) The joint committee of Congress that was established to
            investigate the conduct of Admiral Kimmel and Lieutenant General
            Short completed, on May 31, 1946, a 1,075-page report which
            included the conclusions of the committee that the two officers
            had not been guilty of dereliction of duty.
                (11) On April 27, 1954, the Chief of Naval Personnel,
            Admiral J. L. Holloway, Jr., recommended that Rear Admiral
            Kimmel be advanced in rank in accordance with the provisions of
            the Officer Personnel Act of 1947.
                (12) On November 13, 1991, a majority of the members of the
            Board for the Correction of Military Records of the Department
            of the Army found that Major General Short ``was unjustly held
            responsible for the Pearl Harbor disaster'' and that ``it would
            be equitable and just'' to advance him to the rank of lieutenant
            general on the retired list.
                (13) In October 1994, the Chief of Naval Operations, Admiral
            Carlisle Trost, withdrew his 1988 recommendation against the
            advancement of Rear Admiral Kimmel and recommended that his case
            be reopened.
                (14) Although the Dorn Report, a report on the results of a
            Department of Defense study that was issued on December 15,
            1995, did not provide support for an advancement of Rear Admiral
            Kimmel or Major General Short in grade, it did set forth as a
            conclusion of the study that ``responsibility for the

    [[Page 114 STAT. 1654A-121]]

            Pearl Harbor disaster should not fall solely on the shoulders of
            Admiral Kimmel and Lieutenant General Short, it should be
            broadly shared''.
                (15) The Dorn Report found--
                        (A) that ``Army and Navy officials in Washington
                    were privy to intercepted Japanese diplomatic
                    communications . . . which provided crucial confirmation
                    of the imminence of war'';
                        (B) that ``the evidence of the handling of these
                    messages in Washington reveals some ineptitude, some
                    unwarranted assumptions and misestimations, limited
                    coordination, ambiguous language, and lack of
                    clarification and followup at higher levels''; and
                        (C) that ``together, these characteristics resulted
                    in failure . . . to appreciate fully and to convey to
                    the commanders in Hawaii the sense of focus and urgency
                    that these intercepts should have engendered''.
                (16) On July 21, 1997, Vice Admiral David C. Richardson
            (United States Navy, retired) responded to the Dorn Report with
            his own study which confirmed findings of the Naval Court of
            Inquiry and the Army Pearl Harbor Board of Investigation and
            established, among other facts, that the war effort in 1941 was
            undermined by a restrictive intelligence distribution policy,
            and the degree to which the commanders of the United States
            forces in Hawaii were not alerted about the impending attack on
            Hawaii was directly attributable to the withholding of
            intelligence from Admiral Kimmel and Lieutenant General Short.
                (17) The Officer Personnel Act of 1947, in establishing a
            promotion system for the Navy and the Army, provided a legal
            basis for the President to honor any officer of the Armed Forces
            of the United States who served his country as a senior
            commander during World War II with a placement of that officer,
            with the advice and consent of the Senate, on the retired list
            with the highest grade held while on the active duty list.
                (18) Rear Admiral Kimmel and Major General Short are the
            only two officers eligible for advancement under the Officer
            Personnel Act of 1947 as senior World War II commanders who were
            excluded from the list of retired officers presented for
            advancement on the retired lists to their highest wartime grades
            under that Act.
                (19) This singular exclusion of those two officers from
            advancement on the retired list serves only to perpetuate the
            myth that the senior commanders in Hawaii were derelict in their
            duty and responsible for the success of the attack on Pearl
            Harbor, a distinct and unacceptable expression of dishonor
            toward two of the finest officers who have served in the Armed
            Forces of the United States.
                (20) Major General Walter Short died on September 23, 1949,
            and Rear Admiral Husband Kimmel died on May 14, 1968, without
            the honor of having been returned to their wartime grades as
            were their fellow commanders of World War II.
                (21) The Veterans of Foreign Wars, the Pearl Harbor
            Survivors Association, the Admiral Nimitz Foundation, the Naval
            Academy Alumni Association, the Retired Officers Association,

    [[Page 114 STAT. 1654A-122]]

            and the Pearl Harbor Commemorative Committee, and other
            associations and numerous retired military officers have called
            for the rehabilitation of the reputations and honor of Admiral
            Kimmel and Lieutenant General Short through their posthumous
            advancement on the retired lists to their highest wartime
            grades.

        (b) Advancement of Rear Admiral Kimmel and Major General Short on
    Retired Lists.--(1) The President is requested--
                (A) to advance the late Rear Admiral Husband E. Kimmel,
            United States Navy (retired), to the grade of admiral on the
            retired list of the Navy; and
                (B) to advance the late Major General Walter C. Short,
            United States Army (retired), to the grade of lieutenant general
            on the retired list of the Army.

        (2) Any advancement in grade on a retired list requested under
    paragraph (1) shall not increase or change the compensation or benefits
    from the United States to which any person is now or may in the future
    be entitled based upon the military service of the officer advanced.
        (c) Sense of Congress Regarding the Professional Performance of
    Admiral Kimmel and Lieutenant General Short.--It is the sense of
    Congress--
                (1) that the late Rear Admiral Husband E. Kimmel performed
            his duties as Commander in Chief, United States Pacific Fleet,
            competently and professionally and, therefore, that the losses
            incurred by the United States in the attacks on the naval base
            at Pearl Harbor, Hawaii, and other targets on the island of
            Oahu, Hawaii, on December 7, 1941, were not a result of
            dereliction in the performance of those duties by then Admiral
            Kimmel; and
                (2) that the late Major General Walter C. Short performed
            his duties as Commanding General, Hawaiian Department,
            competently and professionally and, therefore, that the losses
            incurred by the United States in the attacks on Hickam Army Air
            Field and Schofield Barracks, Hawaii, and other targets on the
            island of Oahu, Hawaii, on December 7, 1941, were not a result
            of dereliction in the performance of those duties by then
            Lieutenant General Short.

    SEC. 547. COMMENDATION OF CITIZENS OF REMY, FRANCE, FOR WORLD WAR II
                ACTIONS.

        (a) Findings.--The Congress finds the following:
                (1) On August 2, 1944, a squadron of P-51s from the United
            States 364th Fighter Group strafed a German munitions train in
            Remy, France.
                (2) The resulting explosion killed Lieutenant Houston Braly,
            one of the attacking pilots, and destroyed much of the village
            of Remy, including seven stained glass windows in the 13th
            century church.
                (3) Despite threats of reprisals from the occupying German
            authorities, the citizens of Remy recovered Lieutenant Braly's
            body from the wreckage, buried his body with dignity and honor
            in the church's cemetery, and decorated the grave site daily
            with fresh flowers.
                (4) On Armistice Day, 1995, the village of Remy renamed the
            crossroads near the site of Lieutenant Braly's death in his
            honor.

    [[Page 114 STAT. 1654A-123]]

                (5) The surviving members of the 364th Fighter Group desire
            to express their gratitude to the brave citizens of Remy.
                (6) To express their gratitude, the surviving members of the
            364th Fighter Group have organized a nonprofit corporation to
            raise funds, through its project ``Windows for Remy'', to
            restore the church's stained glass windows.

        (b) Commendation and Recognition.--The Congress commends the bravery
    and honor of the citizens of Remy, France, for their actions with
    respect to the American fighter pilot Lieutenant Houston Braly during
    and after August 1944, and recognizes the efforts of the surviving
    members of the United States 364th Fighter Group to raise funds to
    restore the stained glass windows of Remy's 13th century church.

    SEC. 548. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO WILLIAM H.
                PITSENBARGER FOR VALOR DURING THE VIETNAM WAR.

        (a) Waiver of Time Limitations.--Notwithstanding the period of
    limitations specified in section 8744 of title 10, United States Code,
    or any other time limitation with respect to the awarding of certain
    medals to persons who served in the Air Force, the President may award
    the Medal of Honor under section 8741 of that title, posthumously, to
    William H. Pitsenbarger of Piqua, Ohio, for the acts of valor referred
    to in subsection (b).
        (b) Action Defined.--The acts of valor referred to in subsection (a)
    are the actions of William H. Pitsenbarger on April 11, 1966, as an Air
    Force pararescue crew member, serving in the grade of Airman First Class
    at Cam My, Republic of Vietnam, with Detachment 6, 38th Aerospace Rescue
    and Recovery Helicopter Squadron, in support of the combat mission known
    as ``Operations Abilene''.

            Subtitle E--Military Justice and Legal Assistance Matters

    SEC. 551. RECOGNITION BY STATES OF MILITARY TESTAMENTARY INSTRUMENTS.

        (a) In General.--Chapter 53 of title 10, United States Code, is
    amended by inserting after section 1044c the following new section:

    ``Sec. 1044d. Military testamentary instruments: requirement for
                            recognition by States

        ``(a) Testamentary Instruments To Be Given Legal Effect.--A military
    testamentary instrument--
                ``(1) is exempt from any requirement of form, formality, or
            recording before probate that is provided for testamentary
            instruments under the laws of a State; and
                ``(2) has the same legal effect as a testamentary instrument
            prepared and executed in accordance with the laws of the State
            in which it is presented for probate.

        ``(b) Military Testamentary Instruments.--For purposes of this
    section, a military testamentary instrument is an instrument that is
    prepared with testamentary intent in accordance with regulations
    prescribed under this section and that--

    [[Page 114 STAT. 1654A-124]]

                ``(1) is executed in accordance with subsection (c) by (or
            on behalf of ) a person, as a testator, who is eligible for
            military legal assistance;
                ``(2) makes a disposition of property of the testator; and
                ``(3) takes effect upon the death of the testator.

        ``(c) Requirements for Execution of Military Testamentary
    Instruments.--An instrument is valid as a military testamentary
    instrument only if--
                ``(1) the instrument is executed by the testator (or, if the
            testator is unable to execute the instrument personally, the
            instrument is executed in the presence of, by the direction of,
            and on behalf of the testator);
                ``(2) the instrument is executed in the presence of a
            military legal assistance counsel acting as presiding attorney;
                ``(3) the instrument is executed in the presence of at least
            two disinterested witnesses (in addition to the presiding
            attorney), each of whom attests to witnessing the testator's
            execution of the instrument by signing it; and
                ``(4) the instrument is executed in accordance with such
            additional requirements as may be provided in regulations
            prescribed under this section.

        ``(d) Self-Proving Military Testamentary Instruments.--(1) If the
    document setting forth a military testamentary instrument meets the
    requirements of paragraph (2), then the signature of a person on the
    document as the testator, an attesting witness, a notary, or the
    presiding attorney, together with a written representation of the
    person's status as such and the person's military grade (if any) or
    other title, is prima facie evidence of the following:
                ``(A) That the signature is genuine.
                ``(B) That the signatory had the represented status and
            title at the time of the execution of the will.
                ``(C) That the signature was executed in compliance with the
            procedures required under the regulations prescribed under
            subsection (f ).

        ``(2) A document setting forth a military testamentary instrument
    meets the requirements of this paragraph if it includes (or has attached
    to it), in a form and content required under the regulations prescribed
    under subsection (f ), each of the following:
                ``(A) A certificate, executed by the testator, that includes
            the testator's acknowledgment of the testamentary instrument.
                ``(B) An affidavit, executed by each witness signing the
            testamentary instrument, that attests to the circumstances under
            which the testamentary instrument was executed.
                ``(C) A notarization, including a certificate of any
            administration of an oath required under the regulations, that
            is signed by the notary or other official administering the
            oath.

        ``(e) Statement To Be Included.--(1) Under regulations prescribed
    under this section, each military testamentary instrument shall contain
    a statement that sets forth the provisions of subsection (a).
        ``(2) Paragraph (1) shall not be construed to make inapplicable the
    provisions of subsection (a) to a testamentary instrument that does not
    include a statement described in that paragraph.

        ``(f ) Regulations.--Regulations for the purposes of this section
    shall be prescribed jointly by the Secretary of Defense and by the
    Secretary of Transportation with respect to the Coast Guard

    [[Page 114 STAT. 1654A-125]]

    when it is not operating as a service in the Department of the Navy.
        ``(g) Definitions.--In this section:
                ``(1) The term `person eligible for military legal
            assistance' means a person who is eligible for legal assistance
            under section 1044 of this title.
                ``(2) The term `military legal assistance counsel' means--
                        ``(A) a judge advocate (as defined in section
                    801(13) of this title); or
                        ``(B) a civilian attorney serving as a legal
                    assistance officer under the provisions of section 1044
                    of this title.
                ``(3) The term `State' includes the District of Columbia,
            the Commonwealth of Puerto Rico, the Commonwealth of the
            Northern Mariana Islands, and each possession of the United
            States.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    1044c the following new item:

    ``1044d. Military testamentary instruments: requirement for recognition
               by States.''.

    SEC. 552. POLICY CONCERNING RIGHTS OF INDIVIDUALS WHOSE NAMES HAVE BEEN
                ENTERED INTO DEPARTMENT OF DEFENSE OFFICIAL CRIMINAL
                INVESTIGATIVE REPORTS.

        (a) Policy Requirement.--The Secretary of Defense shall establish a
    policy creating a uniform process within the Department of Defense
    that--
                (1) affords any individual who, in connection with the
            investigation of a reported crime, is designated (by name or by
            any other identifying information) as a suspect in the case in
            any official investigative report, or in a central index for
            potential retrieval and analysis by law enforcement
            organizations, an opportunity to obtain a review of that
            designation; and
                (2) requires the expungement of the name and other
            identifying information of any such individual from such report
            or index in any case in which it is determined the entry of such
            identifying information on that individual was made contrary to
            Department of Defense requirements.

        (b) Effective Date.--The policy required by subsection (a) shall be
    established not later than 120 days after the date of the enactment of
    this Act.

    SEC. 553. LIMITATION ON SECRETARIAL AUTHORITY TO GRANT CLEMENCY FOR
                MILITARY PRISONERS SERVING SENTENCE OF CONFINEMENT FOR LIFE
                WITHOUT ELIGIBILITY FOR PAROLE.

        (a) Limitation.--Section 874(a) of title 10, United States Code
    (article 74(a) of the Uniform Code of Military Justice), is amended by
    adding at the end the following new sentence: ``However, in the case of
    a sentence of confinement for life without eligibility for parole, after
    the sentence is ordered executed, the authority of the Secretary
    concerned under the preceding sentence (1) may not be delegated, and (2)
    may be exercised only after the service of a period of confinement of
    not less than 20 years.''.
        (b) Effective Date.--The amendment made by subsection (a) shall not
    apply with respect to a sentence of confinement for life

    [[Page 114 STAT. 1654A-126]]

    without eligibility for parole that is adjudged for an offense committed
    before the date of the enactment of this Act.

    SEC. 554. AUTHORITY FOR CIVILIAN SPECIAL AGENTS OF MILITARY DEPARTMENT
                CRIMINAL INVESTIGATIVE ORGANIZATIONS TO EXECUTE WARRANTS AND
                MAKE ARRESTS.

        (a) Department of the Army.--(1) Chapter 373 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 4027. Civilian special agents of the Criminal Investigation
                            Command: authority to execute warrants and make
                            arrests

        ``(a) Authority.--The Secretary of the Army may authorize any
    Department of the Army civilian employee described in subsection (b) to
    have the same authority to execute and serve warrants and other
    processes issued under the authority of the United States and to make
    arrests without a warrant as may be authorized under section 1585a of
    this title for special agents of the Defense Criminal Investigative
    Service.
        ``(b) Agents To Have Authority.--Subsection (a) applies to any
    employee of the Department of the Army who is a special agent of the
    Army Criminal Investigation Command (or a successor to that command)
    whose duties include conducting, supervising, or coordinating
    investigations of criminal activity in programs and operations of the
    Department of the Army.
        ``(c) Guidelines for Exercise of Authority.--The authority provided
    under subsection (a) shall be exercised in accordance with guidelines
    prescribed by the Secretary of the Army and approved by the Secretary of
    Defense and the Attorney General and any other applicable guidelines
    prescribed by the Secretary of the Army, the Secretary of Defense, or
    the Attorney General.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end following new item:

    ``4027. Civilian special agents of the Criminal Investigation Command:
               authority to execute warrants and make arrests.''.

        (b) Department of the Navy.--(1) Chapter 643 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 7480. Special agents of the Naval Criminal Investigative Service:
                            authority to execute warrants and make arrests

        ``(a) Authority.--The Secretary of the Navy may authorize any
    Department of the Navy civilian employee described in subsection (b) to
    have the same authority to execute and serve warrants and other
    processes issued under the authority of the United States and to make
    arrests without a warrant as may be authorized under section 1585a of
    this title for special agents of the Defense Criminal Investigative
    Service.
        ``(b) Agents To Have Authority.--Subsection (a) applies to any
    employee of the Department of the Navy who is a special agent of the
    Naval Criminal Investigative Service (or any successor to that service)
    whose duties include conducting, supervising, or coordinating
    investigations of criminal activity in programs and operations of the
    Department of the Navy.

    [[Page 114 STAT. 1654A-127]]

        ``(c) Guidelines for Exercise of Authority.--The authority provided
    under subsection (a) shall be exercised in accordance with guidelines
    prescribed by the Secretary of the Navy and approved by the Secretary of
    Defense and the Attorney General and any other applicable guidelines
    prescribed by the Secretary of the Navy, the Secretary of Defense, or
    the Attorney General.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``7480. Special agents of the Naval Criminal Investigative Service:
               authority to execute warrants and make arrests.''.

        (c) Department of the Air Force.--(1) Chapter 873 of title 10,
    United States Code, is amended by adding at the end the following new
    section:

    ``Sec. 9027. Civilian special agents of the Office of Special
                            Investigations: authority to execute warrants
                            and make arrests

        ``(a) Authority.--The Secretary of the Air Force may authorize any
    Department of the Air Force civilian employee described in subsection
    (b) to have the same authority to execute and serve warrants and other
    processes issued under the authority of the United States and to make
    arrests without a warrant as may be authorized under section 1585a of
    this title for special agents of the Defense Criminal Investigative
    Service.
        ``(b) Agents To Have Authority.--Subsection (a) applies to any
    employee of the Department of the Air Force who is a special agent of
    the Air Force Office of Special Investigations (or a successor to that
    office) whose duties include conducting, supervising, or coordinating
    investigations of criminal activity in programs and operations of the
    Department of the Air Force.
        ``(c) Guidelines for Exercise of Authority.--The authority provided
    under subsection (a) shall be exercised in accordance with guidelines
    prescribed by the Secretary of the Air Force and approved by the
    Secretary of Defense and the Attorney General and any other applicable
    guidelines prescribed by the Secretary of the Air Force, the Secretary
    of Defense, or the Attorney General.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``9027. Civilian special agents of the Office of Special Investigations:
               authority to execute warrants and make arrests.''.

    SEC. 555. REQUIREMENT FOR VERBATIM RECORD IN CERTAIN SPECIAL COURT-
                MARTIAL CASES.

        (a) When Required.--Subsection (c)(1)(B) of section 854 of title 10,
    United States Code (article 54 of the Uniform Code of Military Justice),
    is amended by inserting after ``bad-conduct discharge'' the following:
    ``, confinement for more than six months, or forfeiture of pay for more
    than six months''.
        (b) Effective Date.--The amendment made by subsection (a) shall take
    effect as of April 1, 2000, and shall apply with respect to charges
    referred on or after that date to trial by special court-martial.

    SEC. 556. COMMEMORATION OF THE 50TH ANNIVERSARY OF THE UNIFORM CODE OF
                MILITARY JUSTICE.

        (a) Findings.--Congress makes the following findings:

    [[Page 114 STAT. 1654A-128]]

                (1) The American military justice system predates the United
            States itself, having had a continuous existence since the
            enactment of the first American Articles of War by the
            Continental Congress in 1775.
                (2) Pursuant to article I of the Constitution, which
            explicitly empowers Congress ``To make Rules for the Government
            and Regulation of the land and naval Forces'', Congress enacted
            the Articles of War and an Act to Govern the Navy, which were
            revised on several occasions between the ratification of the
            Constitution and the end of World War II.
                (3) Dissatisfaction with the administration of military
            justice during World War I and World War II (including
            dissatisfaction arising from separate systems of justice for the
            Army and for the Navy and Marine Corps) led both to significant
            statutory reforms in the Articles of War and to the convening of
            a committee, under Department of Defense auspices, to draft a
            single code of military justice applicable uniformly to all of
            the Armed Forces.
                (4) The committee, chaired by Professor Edmund M. Morgan of
            Harvard Law School, made recommendations that formed the basis
            of bills introduced in Congress to establish such a uniform code
            of military justice.
                (5) After lengthy hearings and debate on the congressional
            proposals, the Uniform Code of Military Justice was enacted into
            law on May 5, 1950, when President Harry S Truman signed the
            legislation.
                (6) President Truman then issued a revised Manual for
            Courts-Martial implementing the new code, and the code became
            effective on May 31, 1951.
                (7) One of the greatest innovations of the Uniform Code of
            Military Justice (now codified as chapter 47 of title 10, United
            States Code) was the establishment of a civilian court of
            appeals within the military justice system. That court, the
            United States Court of Military Appeals (now the United States
            Court of Appeals for the Armed Forces), held its first session
            on July 25, 1951.
                (8) Congress enacted major revisions of the Uniform Code of
            Military Justice in 1968 and 1983 and, in addition, has amended
            the code from time to time over the years as practice under the
            code indicated a need for updating the substance or procedure of
            the law of military justice.
                (9) The evolution of the system of military justice under
            the Uniform Code of Military Justice may be traced in the
            decisions of the Courts of Criminal Appeals of each of the Armed
            Forces and the decisions of the United States Court of Appeals
            for the Armed Forces. These courts have produced a unique body
            of jurisprudence upon which commanders and judge advocates rely
            in the performance of their duties.
                (10) It is altogether fitting that the 50th anniversary of
            the Uniform Code of Military Justice be duly commemorated.

        (b) Commemoration.--The Congress--
                (1) requests the President to issue a proclamation
            commemorating the 50th anniversary of the Uniform Code of
            Military Justice; and
                (2) calls upon the Department of Defense, the Armed Forces,
            and the United States Court of Appeals for the Armed Forces and
            interested organizations and members of the bar

    [[Page 114 STAT. 1654A-129]]

            and the public to commemorate the occasion of that anniversary
            with ceremonies and activities befitting its importance.

                   Subtitle F--Matters Relating to Recruiting

    SEC. 561. ARMY RECRUITING PILOT PROGRAMS.

        (a) Requirement for Programs.--The Secretary of the Army shall carry
    out pilot programs to test various recruiting approaches under this
    section for the following purposes:
                (1) To assess the effectiveness of the recruiting approaches
            for creating enhanced opportunities for recruiters to make
            direct, personal contact with potential recruits.
                (2) To improve the overall effectiveness and efficiency of
            Army recruiting activities.

        (b) Outreach Through Motor Sports.--(1) One of the pilot programs
    shall be a pilot program of public outreach that associates the Army
    with motor sports competitions to achieve the objectives set forth in
    paragraph (2).
        (2) The events and activities undertaken under the pilot program
    shall be designed to provide opportunities for Army recruiters to make
    direct, personal contact with high school students to achieve the
    following objectives:
                (A) To increase enlistments by students graduating from high
            school.
                (B) To reduce attrition in the Delayed Entry Program of the
            Army by sustaining the personal commitment of students who have
            elected delayed entry into the Army under the program.

        (3) Under the pilot program, the Secretary of the Army shall provide
    for the following:
                (A) For Army recruiters or other Army personnel--
                        (i) to organize Army sponsored career day events in
                    association with national motor sports competitions; and
                        (ii) to arrange for or encourage attendance at the
                    competitions by high school students, teachers, guidance
                    counselors, and administrators of high schools located
                    near the competitions.
                (B) For Army recruiters and other soldiers to attend
            national motor sports competitions--
                        (i) to display exhibits depicting the contemporary
                    Army and career opportunities in the Army; and
                        (ii) to discuss those opportunities with potential
                    recruits.
                (C) For the Army to sponsor a motor sports racing team as
            part of an integrated program of recruitment and publicity for
            the Army.
                (D) For the Army to sponsor motor sports competitions for
            high school students at which recruiters meet with potential
            recruits.
                (E) For Army recruiters or other Army personnel to compile
            in an Internet accessible database the names, addresses,
            telephone numbers, and electronic mail addresses of persons who
            are identified as potential recruits through activities under
            the pilot program.

    [[Page 114 STAT. 1654A-130]]

                (F) Any other activities associated with motor sports
            competition that the Secretary determines appropriate for Army
            recruitment purposes.

        (c) Outreach at Vocational Schools and Community Colleges.--(1) One
    of the pilot programs shall be a pilot program under which Army
    recruiters are assigned, as their primary responsibility, at
    postsecondary vocational institutions and community colleges for the
    purpose of recruiting students graduating from those institutions and
    colleges, recent graduates of those institutions and colleges, and
    students withdrawing from enrollments in those institutions and
    colleges.
        (2) The Secretary of the Army shall select the institutions and
    colleges to be invited to participate in the pilot program.
        (3) The conduct of the pilot program at an institution or college
    shall be subject to an agreement which the Secretary shall enter into
    with the governing body or authorized official of the institution or
    college, as the case may be.
        (4) Under the pilot program, the Secretary shall provide for the
    following:
                (A) For Army recruiters to be placed in postsecondary
            vocational institutions and community colleges to serve as a
            resource for guidance counselors and to recruit for the Army.
                (B) For Army recruiters to recruit from among students and
            graduates described in paragraph (1).
                (C) For the use of telemarketing, direct mail, interactive
            voice response systems, and Internet website capabilities to
            assist the recruiters in the postsecondary vocational
            institutions and community colleges.
                (D) For any other activities that the Secretary determines
            appropriate for recruitment activities in postsecondary
            vocational institutions and community colleges.

        (5) In this subsection, the term ``postsecondary vocational
    institution'' has the meaning given the term in section 102(c) of the
    Higher Education Act of 1965 (20 U.S.C. 1002(c)).
        (d) Contract Recruiting Initiatives.--(1) One of the pilot programs
    shall be a program that expands in accordance with this subsection the
    scope of the Army's contract recruiting initiatives that are ongoing as
    of the date of the enactment of this Act. Under the pilot program, the
    Secretary of the Army shall select at least 10 recruiting companies to
    apply the initiatives in efforts to recruit personnel for the Army.
        (2) Under the pilot program, the Secretary shall provide for the
    following:
                (A) For replacement of the Regular Army recruiters by
            contract recruiters in the 10 recruiting companies selected
            under paragraph (1).
                (B) For operation of the 10 companies under the same rules
            and chain of command as the other Army recruiting companies.
                (C) For use of the offices, facilities, and equipment of the
            10 companies by the contract recruiters.
                (D) For reversion to performance of the recruiting
            activities by Regular Army soldiers in the 10 companies upon
            termination of the pilot program.
                (E) For any other uses of contractor personnel for Army
            recruiting activities that the Secretary determines appropriate.

    [[Page 114 STAT. 1654A-131]]

        (e) Duration of Pilot Programs.--The pilot programs required by this
    section shall be carried out during the period beginning on October 1,
    2000, and, subject to subsection (f ), ending on December 31, 2005.
        (f ) Authority To Expand or Extend Pilot Programs.--The Secretary
    may expand the scope of any of the pilot programs (under subsection
    (b)(3)(F), (c)(4)(D), (d)(2)(E), or otherwise) or extend the period for
    any of the pilot programs. Before doing so in the case of a pilot
    program, the Secretary of the Army shall submit to the Committee on
    Armed Services of the Senate and the Committee on Armed Services of the
    House of Representatives a written notification of the expansion of the
    pilot program (together with the scope of the expansion) or the
    continuation of the pilot program (together with the period of the
    extension), as the case may be.
        (g) Reports.--Not later than February 1, 2006, the Secretary of the
    Army shall submit to the Committees on Armed Services of the Senate and
    the House of Representatives a separate report on each of the pilot
    programs carried out under this section. The report on a pilot program
    shall include the following:
                (1) The Secretary's assessment of the value of the actions
            taken in the administration of the pilot program for increasing
            the effectiveness and efficiency of Army recruiting.
                (2) Any recommendations for legislation or other action that
            the Secretary considers appropriate to increase the
            effectiveness and efficiency of Army recruiting.

    SEC. 562. ENHANCEMENT OF RECRUITMENT MARKET RESEARCH AND ADVERTISING
                PROGRAMS.

        Section 503(a) of title 10, United States Code, is amended--
                (1) by inserting ``(1)'' after ``(a)''; and
                (2) by adding at the end the following new paragraph:

        ``(2) The Secretary of Defense shall act on a continuing basis to
    enhance the effectiveness of recruitment programs of the Department of
    Defense (including programs conducted jointly and programs conducted by
    the separate armed forces) through an aggressive program of advertising
    and market research targeted at prospective recruits for the armed
    forces and those who may influence prospective recruits. Subchapter I of
    chapter 35 of title 44 shall not apply to actions taken as part of that
    program.''.

    SEC. 563. ACCESS TO SECONDARY SCHOOLS FOR MILITARY RECRUITING PURPOSES.

        (a) Requirement for Access.--Subsection (c) of section 503 of title
    10, United States Code, is amended to read as follows:
        ``(c) Access to Secondary Schools.--(1) Each local educational
    agency shall (except as provided under paragraph (5)) provide to the
    Department of Defense, upon a request made for military recruiting
    purposes, the same access to secondary school students, and to directory
    information concerning such students, as is provided generally to post-
    secondary educational institutions or to prospective employers of those
    students.
        ``(2) If a local educational agency denies a request by the
    Department of Defense for recruiting access, the Secretary of Defense,
    in cooperation with the Secretary of the military department concerned,
    shall designate an officer in a grade not below the grade of colonel or,
    in the case of the Navy, captain, or a senior executive of that military
    department to meet with representatives of that local educational agency
    in person, at the offices of that agency,

    [[Page 114 STAT. 1654A-132]]

    for the purpose of arranging for recruiting access. The designated
    officer or senior executive shall seek to have that meeting within 120
    days of the date of the denial of the request for recruiting access.
        ``(3) If, after a meeting under paragraph (2) with representatives
    of a local educational agency that has denied a request for recruiting
    access or (if the educational agency declines a request for the meeting)
    after the end of such 120-day period, the Secretary of Defense
    determines that the agency continues to deny recruiting access, the
    Secretary shall transmit to the chief executive of the State in which
    the agency is located a notification of the denial of recruiting access
    and a request for assistance in obtaining that access. The notification
    shall be transmitted within 60 days after the date of the determination.
    The Secretary shall provide to the Secretary of Education a copy of such
    notification and any other communication between the Secretary and that
    chief executive with respect to such access.
        ``(4) If a local educational agency continues to deny recruiting
    access one year after the date of the transmittal of a notification
    regarding that agency under paragraph (3), the Secretary--
                ``(A) shall determine whether the agency denies recruiting
            access to at least two of the armed forces (other than the Coast
            Guard when it is not operating as a service in the Navy); and
                ``(B) upon making an affirmative determination under
            subparagraph (A), shall transmit a notification of the denial of
            recruiting access to--
                        ``(i) the specified congressional committees;
                        ``(ii) the Senators of the State in which the local
                    educational agency is located; and
                        ``(iii) the member of the House of Representatives
                    who represents the district in which the local
                    educational agency is located.

        ``(5) The requirements of this subsection do not apply to--
                ``(A) a local educational agency with respect to access to
            secondary school students or access to directory information
            concerning such students for any period during which there is in
            effect a policy of that agency, established by majority vote of
            the governing body of the agency, to deny recruiting access to
            those students or to that directory information, respectively;
            or
                ``(B) a private secondary school which maintains a religious
            objection to service in the armed forces and which objection is
            verifiable through the corporate or other organizational
            documents or materials of that school.

        ``(6) In this subsection:
                ``(A) The term `local educational agency' means--
                        ``(i) a local educational agency, within the meaning
                    of that term in section 14101(18) of the Elementary and
                    Secondary Education Act of 1965 (20 U.S.C. 8801(18));
                    and
                        ``(ii) a private secondary school.
                ``(B) The term `recruiting access' means access requested as
            described in paragraph (1).
                ``(C) The term `senior executive' has the meaning given that
            term in section 3132(a)(3) of title 5.

    [[Page 114 STAT. 1654A-133]]

                ``(D) The term `State' includes the District of Columbia,
            the Commonwealth of Puerto Rico, the Commonwealth of the
            Northern Mariana Islands, Guam, the Virgin Islands, American
            Samoa, the Federated States of Micronesia, the Republic of the
            Marshall Islands, and the Republic of Palau.
                ``(E) The term `specified congressional committees' means
            the following:
                        ``(i) The Committee on Armed Services and the
                    Committee on Health, Education, Labor, and Pensions of
                    the Senate.
                        ``(ii) The Committee on Armed Services and the
                    Committee on Education and the Workforce of the House of
                    Representatives.
                ``(F) The term `member of the House of Representatives'
            includes a Delegate or Resident Commissioner to Congress.''.

        (b) Definition of Directory Information.--Such section is further
    amended--
                (1) by striking paragraph (7) of subsection (b); and
                (2) by adding at the end the following new subsection:

        ``(d) Directory Information Defined.--In this section, the term
    `directory information' has the meaning given that term in subsection
    (a)(5)(A) of section 444 of the General Education Provisions Act (20
    U.S.C. 1232g).''.
        (c) Technical Amendments.--Such section is further amended--
                (1) in subsection (a), by inserting ``Recruiting
            Campaigns.--'' after ``(a)''; and
                (2) in subsection (b), by inserting ``Compilation of
            Directory Information.--'' after ``(b)''.

        (d) Effective Date.--The amendment made by subsection (a) shall take
    effect on July 1, 2002.

    SEC. 564. PILOT PROGRAM TO ENHANCE MILITARY RECRUITING BY IMPROVING
                MILITARY AWARENESS OF SCHOOL COUNSELORS AND EDUCATORS.

        (a) In General.--The Secretary of Defense shall conduct a pilot
    program to determine if cooperation with military recruiters by local
    educational agencies and by institutions of higher education could be
    enhanced by improving the understanding of school counselors and
    educators about military recruiting and military career opportunities.
    The pilot program shall be conducted during a three-year period
    beginning not later than 180 days after the date of the enactment of
    this Act.
        (b) Conduct of Pilot Program Through Participation in Interactive
    Internet Site.--(1) The pilot program shall be conducted by means of
    participation by the Department of Defense in a qualifying interactive
    Internet site.
        (2) For purposes of this section, a qualifying interactive Internet
    site is an Internet site in existence as of the date of the enactment of
    this Act that is designed to provide to employees of local educational
    agencies and institutions of higher education participating in the
    Internet site--
                (A) systems for communicating;
                (B) resources for individual professional development;
                (C) resources to enhance individual on-the-job
            effectiveness; and
                (D) resources to improve organizational effectiveness.

    [[Page 114 STAT. 1654A-134]]

        (3) Participation in an Internet site by the Department of Defense
    for purposes of this section shall include--
                (A) funding;
                (B) assistance; and
                (C) access by other Internet site participants to Department
            of Defense aptitude testing programs, career development
            information, and other resources, in addition to information on
            military recruiting and career opportunities.

        (c) Report.--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 providing the Secretary's findings
    and conclusions on the pilot program not later than 180 days after the
    end of the three-year program period.

                            Subtitle G--Other Matters

    SEC. 571. EXTENSION TO END OF CALENDAR YEAR OF EXPIRATION DATE FOR
                CERTAIN FORCE DRAWDOWN TRANSITION AUTHORITIES.

        (a) Early Retirement Authority for Active Force Members.--Section
    4403 of the National Defense Authorization Act for Fiscal Year 1993 (10
    U.S.C. 1293 note) is amended--
                (1) in subsection (a), by striking ``through fiscal year
            1999'' and inserting ``during the active force drawdown
            period''; and
                (2) in subsection (i), by striking ``October 1, 2001'' and
            inserting ``December 31, 2001''.

        (b) SSB and VSI.--Sections 1174a(h)(1) and 1175(d)(3) of title 10,
    United States Code, are amended by striking ``September 30, 2001'' and
    inserting ``December 31, 2001''.
        (c) Selective Early Retirement Boards.--Section 638a(a) of such
    title is amended by striking ``September 30, 2001'' and inserting
    ``December 31, 2001''.
        (d) Time-in-Grade Requirement for Retention of Grade Upon Voluntary
    Retirement.--Section 1370 of such title is amended by striking
    ``September 30, 2001'' in subsections (a)(2)(A) and (d)(5) and inserting
    ``December 31, 2001''.
        (e) Minimum Commissioned Service for Voluntary Retirement as an
    Officer.--Sections 3911(b), 6323(a)(2), and 8911(b) of such title are
    amended by striking ``September 30, 2001'' and inserting ``December 31,
    2001''.
        (f ) Travel, Transportation, and Storage Benefits.--Sections
    404(c)(1)(C), 404(f )(2)(B)(v), 406(a)(2)(B)(v), and 406(g)(1)(C) of
    title 37, United States Code, and section 503(c)(1) of the National
    Defense Authorization Act for Fiscal Year 1991 (37 U.S.C. 406 note) are
    amended by striking ``September 30, 2001'' and inserting ``December 31,
    2001''.
        (g) Educational Leave for Public and Community Service.--Section
    4463(f ) of the National Defense Authorization Act for Fiscal Year 1993
    (10 U.S.C. 1143a note) is amended by striking ``September 30, 2001'' and
    inserting ``December 31, 2001''.
        (h) Transitional Health Benefits.--Subsections (a)(1), (c)(1), and
    (e) of section 1145 of title 10, United States Code, are amended by
    striking ``September 30, 2001'' and inserting ``December 31, 2001''.

    [[Page 114 STAT. 1654A-135]]

        (i) Transitional Commissary and Exchange Benefits.--Section 1146 of
    such title is amended by striking ``September 30, 2001'' both places it
    appears and inserting ``December 31, 2001''.
        ( j) Transitional Use of Military Housing.--Paragraphs (1) and (2)
    of section 1147(a) of such title are amended by striking ``September 30,
    2001'' and inserting ``December 31, 2001''.
        (k) Continued Enrollment of Dependents in Defense Dependents'
    Education System.--Section 1407(c)(1) of the Defense Dependents'
    Education Act of 1978 (20 U.S.C. 926(c)(1)) is amended by striking
    ``September 30, 2001'' and inserting ``December 31, 2001''.
        (l) Force Reduction Transition Period Defined for Certain Guard and
    Reserve Benefits.--Section 4411 of the National Defense Authorization
    Act for Fiscal Year 1993 (10 U.S.C. 12681 note) is amended by striking
    ``September 30, 2001'' and inserting ``December 31, 2001''.
        (m) Temporary Special Authority for Force Reduction Period
    Retirements.--Section 4416(b)(1) of the National Defense Authorization
    Act for Fiscal Year 1993 (10 U.S.C. 12681 note) is amended by striking
    ``October 1, 2001'' and inserting ``the end of the force reduction
    period''.
        (n) Retired Pay for Non-Regular Service.--(1) Section 12731(f ) of
    title 10, United States Code, is amended by striking ``September 30,
    2001'' and inserting ``December 31, 2001''.
        (2) Section 12731a of such title is amended--
                (A) in subsection (a)(1)(B), by striking ``October 1, 2001''
            and inserting ``the end of the period described in subsection
            (b)''; and
                (B) in subsection (b), by striking ``October 1, 2001'' and
            inserting ``December 31, 2001''.

        (o) Affiliation With Guard and Reserve Units; Waiver of Certain
    Limitations.--Section 1150(a) of such title is amended by striking
    ``September 30, 2001'' and inserting ``December 31, 2001''.
        (p) Reserve Montgomery GI Bill.--Section 16133(b)(1)(B) of such
    title is amended by striking ``September 30, 2001'' and inserting
    ``December 31, 2001''.

    SEC. 572. VOLUNTARY SEPARATION INCENTIVE.

        (a) Authority for Termination Upon Entitlement to Retired Pay.--
    Section 1175(e)(3) of title 10, United States Code, is amended--
                (1) inserting ``(A)'' after ``(3)''; and
                (2) by adding at the end the following new subparagraph:

        ``(B) If a member is receiving simultaneous voluntary separation
    incentive payments and retired or retainer pay, the member may elect to
    terminate the receipt of voluntary separation incentive payments. Any
    such election is permanent and irrevocable. The rate of monthly
    recoupment from retired or retainer pay of voluntary separation
    incentive payments received after such an election shall be reduced by a
    percentage that is equal to a fraction with a denominator equal to the
    number of months that the voluntary separation incentive payments were
    scheduled to be paid and a numerator equal to the number of months that
    would not be paid as a result of the member's decision to terminate the
    voluntary separation incentive.''.

    [[Page 114 STAT. 1654A-136]]

        (b) Effective Date.--Subparagraph (B) of section 1175(e)(3) of title
    10, United States Code, as added by subsection (a), shall apply with
    respect to decisions by members to terminate voluntary separation
    incentive payments under section 1175 of title 10, United States Code,
    to be effective after September 30, 2000.

    SEC. 573. CONGRESSIONAL REVIEW PERIOD FOR ASSIGNMENT OF WOMEN TO DUTY ON
                SUBMARINES AND FOR ANY PROPOSED RECONFIGURATION OR DESIGN OF
                SUBMARINES TO ACCOMMODATE FEMALE CREW MEMBERS.

        (a) In General.--(1) Chapter 555 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 6035. Female members: congressional review period for assignment
                            to duty on submarines or for reconfiguration of
                            submarines

        ``(a) No change in the Department of the Navy policy limiting
    service on submarines to males, as in effect on May 10, 2000, may take
    effect until--
                ``(1) the Secretary of Defense submits to Congress written
            notice of the proposed change; and
                ``(2) a period of 30 days of continuous session of Congress
            (excluding any day on which either House of Congress is not in
            session) expires following the date on which the notice is
            received.

        ``(b) No funds available to the Department of the Navy may be
    expended to reconfigure any existing submarine, or to design any new
    submarine, to accommodate female crew members until--
                ``(1) the Secretary of Defense submits to Congress written
            notice of the proposed reconfiguration or design; and
                ``(2) a period of 30 days of continuous session of Congress
            (excluding any day on which either House of Congress is not in
            session) expires following the date on which the notice is
            received.

        ``(c) For purposes of this section, the continuity of a session of
    Congress is broken only by an adjournment of the Congress sine die.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``6035. Female members: congressional review period for assignment to
               duty on submarines or for reconfiguration of submarines.''.

        (b) Conforming Amendment.--Section 542(a)(1) of the National Defense
    Authorization Act for Fiscal Year 1994 (10 U.S.C. 113 note) is amended
    by inserting ``or by section 6035 of title 10, United States Code''
    after ``Except in a case covered by subsection (b)''.

    SEC. 574. MANAGEMENT AND PER DIEM REQUIREMENTS FOR MEMBERS SUBJECT TO
                LENGTHY OR NUMEROUS DEPLOYMENTS.

        (a) Approving Authority for Lengthy Deployments of Members.--
    Subsection (a) of section 991 of title 10, United States Code, is
    amended--
                (1) by striking ``unless an officer'' in the second sentence
            of paragraph (1) and all that follows through the period at the
            end of that sentence and inserting a period and the following:
            ``However, the member may be deployed, or continued

    [[Page 114 STAT. 1654A-137]]

            in a deployment, without regard to the preceding sentence if
            such deployment, or continued deployment, is approved--
                ``(A) in the case of a member who is assigned to a combatant
            command in a position under the operational control of the
            officer in that combatant command who is the service component
            commander for the members of that member's armed force in that
            combatant command, by that officer; and
                ``(B) in the case of a member not assigned as described in
            subparagraph (A), by the service chief of that member's armed
            force (or, if so designated by that service chief, by an officer
            of the same armed force on active duty who is in the grade of
            general or admiral or who is the personnel chief for that armed
            force).''; and
                (2) by adding at the end the following new paragraph:

        ``(3) In paragraph (1)(B), the term `service chief' means the Chief
    of Staff of the Army, the Chief of Naval Operations, the Chief of Staff
    of the Air Force, or the Commandant of the Marine Corps.''.
        (b) Clarification of Definition of Deployment.--Subsection (b) of
    such section is amended--
                (1) in paragraph (1), by inserting ``or homeport, as the
            case may be'' before the period at the end;
                (2) by redesignating paragraphs (2) and (3) as paragraphs
            (3) and (4), respectively;
                (3) by inserting after paragraph (1) the following new
            paragraph (2):

        ``(2) In the case of a member of a reserve component performing
    active service, the member shall be considered deployed or in a
    deployment for the purposes of paragraph (1) on any day on which,
    pursuant to orders that do not establish a permanent change of station,
    the member is performing the active service at a location that--
                ``(A) is not the member's permanent training site; and
                ``(B) is--
                        ``(i) at least 100 miles from the member's permanent
                    residence; or
                        ``(ii) a lesser distance from the member's permanent
                    residence that, under the circumstances applicable to
                    the member's travel, is a distance that requires at
                    least three hours of travel to traverse.''; and
                (4) in paragraph (3), as redesignated by paragraph (2) of
            this subsection--
                        (A) by striking ``or'' at the end of subparagraph
                    (A);
                        (B) by striking the period at the end of
                    subparagraph (B) and inserting ``; or''; and
                        (C) by adding at the end the following new
                    subparagraph:
                ``(C) unavailable solely because of--
                        ``(i) a hospitalization of the member at the
                    member's permanent duty station or homeport or in the
                    immediate vicinity of the member's permanent residence;
                    or
                        ``(ii) a disciplinary action taken against the
                    member.''.

        (c) Associated Per Diem Allowance.--Section 435 of title 37, United
    States Code (as added to that title effective October 1, 2001, by
    section 586(b) of the National Defense Authorization Act for Fiscal Year
    2000 (Public Law 106-65; 113 Stat. 638)) is amended--

    [[Page 114 STAT. 1654A-138]]

                (1) in subsection (a), by striking ``251 days or more out of
            the preceding 365 days'' and inserting ``401 or more days out of
            the preceding 730 days''; and
                (2) in subsection (b), by striking ``prescribed under
            paragraph (3)'' and inserting ``prescribed under paragraph
            (4)''.

        (d) Review of Management of Deployments of Individual Members.--Not
    later than March 31, 2002, the Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and the House of
    Representatives a report on the administration of section 991 of title
    10, United States Code, during fiscal year 2001. The report shall
    include--
                (1) a discussion of the experience in tracking and recording
            the deployments of members of the Armed Forces; and
                (2) any recommendations for revision of such section that
            the Secretary considers appropriate.

        (e) Effective Date.--If this Act is enacted before October 1, 2000,
    the amendments made by subsections (a) and (b) shall take effect on
    October 1, 2000, immediately after the amendment made by section 586(a)
    of the National Defense Authorization Act for Fiscal Year 2000 (Public
    Law 106-65; 113 Stat. 637) adding section 991 of title 10, United States
    Code, to such title.

    SEC. 575. PAY IN LIEU OF ALLOWANCE FOR FUNERAL HONORS DUTY.

        (a) Compensation at Rate for Inactive-Duty Training.--(1) Section
    115(b)(2) of title 32, United States Code, is amended to read as
    follows:
                ``(2) as directed by the Secretary concerned, either--
                        ``(A) the allowance under section 435 of title 37;
                    or
                        ``(B) compensation under section 206 of title 37.''.

        (2) Section 12503(b)(2) of title 10, United States Code, is amended
    to read as follows:
                ``(2) as directed by the Secretary concerned, either--
                        ``(A) the allowance under section 435 of title 37;
                    or
                        ``(B) compensation under section 206 of title 37.''.

        (b) Conforming Repeal.--Section 435 of title 37, United States Code,
    is amended by striking subsection (c).
        (c) Applicability.--The amendments made by this section shall apply
    with respect to funeral honors duty performed on or after October 1,
    2000.

    SEC. 576. TEST OF ABILITY OF RESERVE COMPONENT INTELLIGENCE UNITS AND
                PERSONNEL TO MEET CURRENT AND EMERGING DEFENSE INTELLIGENCE
                NEEDS.

        (a) Test Program Required.--(1) Beginning not later than June 1,
    2001, the Secretary of Defense shall conduct a three-year test program
    of reserve component intelligence units and personnel. The purpose of
    the test program shall be--
                (A) to determine the most effective peacetime structure and
            operational employment of reserve component intelligence assets
            for meeting current and future Department of Defense peacetime
            operational intelligence requirements; and
                (B) to establish a means to coordinate and transition that
            peacetime intelligence operational support network into use for
            meeting wartime requirements.

        (2) The test program shall be carried out using the Joint Reserve
    Intelligence Program and appropriate reserve component intelligence
    units and personnel.

    [[Page 114 STAT. 1654A-139]]

        (3) In conducting the test program, the Secretary of Defense shall
    expand the current Joint Reserve Intelligence Program as needed to meet
    the objectives of the test program.
        (b) Oversight Panel.--The Secretary shall establish an oversight
    panel to structure the test program so as to achieve the objectives of
    the test program, ensure proper funding for the test program, and
    oversee the conduct and evaluation of the test program. The panel
    members shall include--
                (1) the Assistant Secretary of Defense for Command, Control,
            Communications and Intelligence;
                (2) the Assistant Secretary of Defense for Reserve Affairs;
            and
                (3) representatives from the Defense Intelligence Agency,
            the Army, Navy, Air Force, and Marine Corps, the Joint Staff,
            and the combatant commands.

        (c) Test Program Objectives.--The test program shall have the
    following objectives:
                (1) To identify the range of peacetime roles and missions
            that are appropriate for reserve component intelligence units
            and personnel, including the following missions: counterdrug,
            counterintelligence, counterterrorism, information operations,
            information warfare, and other emerging threats.
                (2) To recommend a process for justifying and validating
            reserve component intelligence force structure and manpower to
            support the peacetime roles and missions identified under
            paragraph (1) and to establish a means to coordinate and
            transition that peacetime operational support network and
            structure into wartime requirements.
                (3) To provide, pursuant to paragraphs (1) and (2), the
            basis for new or revised intelligence and reserve component
            policy guidelines for the peacetime use, organization,
            management, infrastructure, and funding of reserve component
            intelligence units and personnel.
                (4) To determine the most effective structure, organization,
            manning, and management of Joint Reserve Intelligence Centers to
            enable them to be both reserve training facilities and virtual
            collaborative production facilities in support of Department of
            Defense peacetime operational intelligence requirements.
                (5) To determine the most effective uses of technology for
            virtual collaborative intelligence operational support during
            peacetime and wartime.
                (6) To determine personnel and career management initiatives
            or modifications that are required to improve the recruiting and
            retention of personnel in the reserve component intelligence
            specialties and occupational skills.
                (7) To identify and make recommendations for the elimination
            of statutory prohibitions and barriers to using reserve
            component intelligence units and individuals to carry out
            peacetime operational requirements.

        (d) Reports.--The Secretary of Defense shall submit to Congress--
                (1) interim reports on the status of the test program not
            later than July 1, 2002, and July 1, 2003; and
                (2) a final report, with such recommendations for changes as
            the Secretary considers necessary, not later than December 1,
            2004.

    [[Page 114 STAT. 1654A-140]]

    SEC. 577. NATIONAL GUARD CHALLENGE PROGRAM.

        (a) Responsibility of Secretary of Defense.--Subsection (a) of
    section 509 of title 32, United States Code, is amended by striking ``,
    acting through the Chief of the National Guard Bureau,''.
        (b) Sources of Federal Support.--Subsection (b) of such section is
    amended--
                (1) by inserting ``(1)'' before ``The Secretary of
            Defense'';
                (2) by striking ``, except that Federal expenditures under
            the program may not exceed $62,500,000 for any fiscal year'';
            and
                (3) by adding at the end the following new paragraphs:

        ``(2) The Secretary shall carry out the National Guard Challenge
    Program using--
                ``(A) funds appropriated directly to the Secretary of
            Defense for the program, except that the amount of funds
            appropriated directly to the Secretary and expended for the
            program in a fiscal year may not exceed $62,500,000; and
                ``(B) nondefense funds made available or transferred to the
            Secretary of Defense by other Federal agencies to support the
            program.

        ``(3) Federal funds made available or transferred to the Secretary
    of Defense under paragraph (2)(B) by other Federal agencies to support
    the National Guard Challenge Program may be expended for the program in
    excess of the fiscal year limitation specified in paragraph (2)(A).''.
        (c) Regulations.--Such section is further amended by adding at the
    end the following new subsection:
        ``(m) Regulations.--The Secretary of Defense shall prescribe
    regulations to carry out the National Guard Challenge Program. The
    regulations shall address at a minimum the following:
                ``(1) The terms to be included in the program agreements
            required by subsection (c).
                ``(2) The qualifications for persons to participate in the
            program, as required by subsection (e).
                ``(3) The benefits authorized for program participants, as
            required by subsection (f ).
                ``(4) The status of National Guard personnel assigned to
            duty in support of the program under subsection (g).
                ``(5) The conditions for the use of National Guard
            facilities and equipment to carry out the program, as required
            by subsection (h).
                ``(6) The status of program participants, as described in
            subsection (i).
                ``(7) The procedures to be used by the Secretary when
            communicating with States about the program.''.

        (d) Conforming Amendment.--Section 2033 of title 10, United States
    Code, is amended by striking ``appropriated for'' and inserting
    ``appropriated directly to the Secretary of Defense for''.

    SEC. 578. STUDY OF USE OF CIVILIAN CONTRACTOR PILOTS FOR OPERATIONAL
                SUPPORT MISSIONS.

        (a) Study.--The Secretary of Defense shall conduct a study to
    determine the feasibility and cost, as well as the advantages and
    disadvantages, of using civilian contractor personnel as pilots and
    other air crew members to fly nonmilitary Government aircraft (referred
    to as ``operational support aircraft'') to perform non-combat

    [[Page 114 STAT. 1654A-141]]

    personnel transportation missions worldwide. In carrying out the study,
    the Secretary shall consider the views and recommendations of the
    Chairman of the Joint Chiefs and the other members of the Joint Chiefs
    of Staff.
        (b) Matters To Be Included.--The study shall, at a minimum--
                (1) determine whether use of civilian contractor personnel
            as pilots and other air crew members for such operational
            support missions would be a cost effective means of freeing for
            duty in units with combat and combat support missions those
            military pilots and other personnel who now perform such
            operational support missions; and
                (2) the effect on retention of military pilots and other
            personnel if they are no longer required to fly operational
            support missions.

        (c) Submission of Report.--The Secretary shall submit a report
    containing the results of the study to the Committee on Armed Services
    of the Senate and the Committee on Armed Services of the House of
    Representatives not later than six months after the date of the
    enactment of this Act.

    SEC. 579. REIMBURSEMENT FOR EXPENSES INCURRED BY MEMBERS IN CONNECTION
                WITH CANCELLATION OF LEAVE ON SHORT NOTICE.

        (a) Reimbursement Authorized.--Chapter 53 of title 10, United States
    Code, is amended by inserting after section 1053 the following new
    section:

    ``Sec. 1053a. Expenses incurred in connection with leave canceled due to
                            contingency operations: reimbursement

        ``(a) Authorization To Reimburse.--The Secretary concerned may
    reimburse a member of the armed forces under the jurisdiction of the
    Secretary for travel and related expenses (to the extent not otherwise
    reimbursable under law) incurred by the member as a result of the
    cancellation of previously approved leave when the leave is canceled in
    connection with the member's participation in a contingency operation
    and the cancellation occurs within 48 hours of the time the leave would
    have commenced.
        ``(b) Regulations.--The Secretary of Defense shall prescribe
    regulations to establish the criteria for the applicability of
    subsection (a).
        ``(c) Conclusiveness of Settlement.--The settlement of an
    application for reimbursement under subsection (a) is final and
    conclusive.''.
        (b) Effective Date.--Section 1053a of title 10, United States Code,
    as added by subsection (a), shall apply with respect to any travel and
    related expenses incurred by a member in connection with leave canceled
    after the date of the enactment of this Act.
        (c) Conforming and Clerical Amendments.--(1) The heading of section
    1052 of such title is amended to read as follows:

    ``Sec. 1052. Adoption expenses: reimbursement''.

        (2) The heading of section 1053 of such title is amended to read as
    follows:

    [[Page 114 STAT. 1654A-142]]

    ``Sec. 1053. Financial institution charges incurred because of
                            Government error in direct deposit of pay:
                            reimbursement''.

        (3) The table of sections at the beginning of chapter 53 of such
    title is amended by striking the items relating to sections 1052 and
    1053 and inserting the following:

    ``1052. Adoption expenses: reimbursement.
    ``1053. Financial institution charges incurred because of Government
               error in direct deposit of pay: reimbursement.
    ``1053a. Expenses incurred in connection with leave canceled due to
               contingency operations: reimbursement.''.

               TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Increase in basic pay for fiscal year 2001.
    Sec. 602. Additional restructuring of basic pay rates for enlisted
               members.
    Sec. 603. Revised method for calculation of basic allowance for
               subsistence.
    Sec. 604. Family subsistence supplemental allowance for low-income
               members of the Armed Forces.
    Sec. 605. Basic allowance for housing.
    Sec. 606. Additional amount available for fiscal year 2001 increase in
               basic allowance for housing inside the United States.
    Sec. 607. Equitable treatment of junior enlisted members in computation
               of basic allowance for housing.
    Sec. 608. Eligibility of members in grade E-4 to receive basic allowance
               for housing while on sea duty.
    Sec. 609. Personal money allowance for senior enlisted members of the
               Armed Forces.
    Sec. 610. Increased uniform allowances for officers.
    Sec. 611. Cabinet-level authority to prescribe requirements and
               allowance for clothing of enlisted members.
    Sec. 612. Increase in monthly subsistence allowance for members of
               precommissioning programs.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 621. Extension of certain bonuses and special pay authorities for
               reserve forces.
    Sec. 622. Extension of certain bonuses and special pay authorities for
               nurse officer candidates, registered nurses, and nurse
               anesthetists.
    Sec. 623. Extension of authorities relating to payment of other bonuses
               and special pays.
    Sec. 624. Revision of enlistment bonus authority.
    Sec. 625. Consistency of authorities for special pay for reserve medical
               and dental officers.
    Sec. 626. Elimination of required congressional notification before
               implementation of certain special pay authority.
    Sec. 627. Special pay for physician assistants of the Coast Guard.
    Sec. 628. Authorization of special pay and accession bonus for pharmacy
               officers.
    Sec. 629. Correction of references to Air Force veterinarians.
    Sec. 630. Career sea pay.
    Sec. 631. Increased maximum rate of special duty assignment pay.
    Sec. 632. Entitlement of members of the National Guard and other
               reserves not on active duty to receive special duty
               assignment pay.
    Sec. 633. Authorization of retention bonus for members of the Armed
               Forces qualified in a critical military skill.
    Sec. 634. Entitlement of active duty officers of the Public Health
               Service Corps to special pays and bonuses of health
               professional officers of the Armed Forces.

                Subtitle C--Travel and Transportation Allowances

    Sec. 641. Advance payments for temporary lodging of members and
               dependents.
    Sec. 642. Additional transportation allowance regarding baggage and
               household effects.

    [[Page 114 STAT. 1654A-143]]

    Sec. 643. Incentive for shipping and storing household goods in less
               than average weights.
    Sec. 644. Equitable dislocation allowances for junior enlisted members.
    Sec. 645. Authority to reimburse military recruiters, Senior ROTC cadre,
               and military entrance processing personnel for certain
               parking expenses.
    Sec. 646. Expansion of funded student travel for dependents.

               Subtitle D--Retirement and Survivor Benefit Matters

    Sec. 651. Exception to high-36 month retired pay computation for members
               retired following a disciplinary reduction in grade.
    Sec. 652. Increase in maximum number of Reserve retirement points that
               may be credited in any year.
    Sec. 653. Retirement from active reserve service after regular
               retirement.
    Sec. 654. Same treatment for Federal judges as for other Federal
               officials regarding payment of military retired pay.
    Sec. 655. Reserve component Survivor Benefit Plan spousal consent
               requirement.
    Sec. 656. Sense of Congress on increasing Survivor Benefit Plan
               annuities for surviving spouses age 62 or older.
    Sec. 657. Revision to special compensation authority to repeal exclusion
               of uniformed services retirees in receipt of disability
               retired pay.

                            Subtitle E--Other Matters

    Sec. 661. Participation in Thrift Savings Plan.
    Sec. 662. Determinations of income eligibility for special supplemental
               food program.
    Sec. 663. Billeting services for reserve members traveling for inactive-
               duty training.
    Sec. 664. Settlement of claims for payments for unused accrued leave and
               for retired pay.
    Sec. 665. Additional benefits and protections for personnel incurring
               injury, illness, or disease in the performance of funeral
               honors duty.
    Sec. 666. Authority for extension of deadline for filing claims
               associated with capture and internment of certain persons by
               North Vietnam.
    Sec. 667. Back pay for members of the Navy and Marine Corps selected for
               promotion while interned as prisoners of war during World War
               II.
    Sec. 668. Sense of Congress concerning funding for reserve components.

                         Subtitle A--Pay and Allowances

    SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2001.

        (a) Waiver of Section 1009 Adjustment.--The adjustment to become
    effective during fiscal year 2001 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, 2001, the rates
    of monthly basic pay for members of the uniformed services are increased
    by 3.7 percent.

    SEC. 602. ADDITIONAL RESTRUCTURING OF BASIC PAY RATES FOR ENLISTED
                MEMBERS.

        (a) Minimum Pay Increases for Mid-Level Enlisted Grades.--(1)
    Subject to paragraph (2), effective on July 1, 2001, the rates of
    monthly basic pay for enlisted members of the Armed Forces in the pay
    grades E-7, E-6, and E-5 shall be as follows:

    [[Page 114 STAT. 1654A-144]]

                                ENLISTED MEMBERS
     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-7..............   1,831.20   1,999.20   2,075.10   2,149.80   2,228.10
    E-6..............   1,575.00   1,740.30   1,817.40   1,891.80   1,969.80
    E-5..............   1,381.80   1,549.20   1,623.90   1,701.00   1,779.30
                      ------------------------------------------------------
                         Over 8    Over 10    Over 12    Over 14    Over 16
                      ------------------------------------------------------
    E-7..............   2,362.20   2,437.80   2,512.80   2,588.10   2,666.10
    E-6..............   2,097.30   2,174.10   2,248.80   2,325.00   2,379.60
    E-5..............   1,888.50   1,962.90   2,040.30   2,040.30   2,040.30
                      ------------------------------------------------------
                        Over 18    Over 20    Over 22    Over 24    Over 26
                      ------------------------------------------------------
    E-7..............   2,742.00   2,817.90   2,949.60   3,034.80   3,250.50
    E-6..............   2,421.30   2,421.30   2,421.30   2,421.30   2,421.30
    E-5..............   2,040.30   2,040.30   2,040.30   2,040.30   2,040.30
    ------------------------------------------------------------------------

        (2) The amounts specified in the table in paragraph (1) are subject
    to such revision as the Secretary of Defense and the Secretary of
    Transportation may prescribe under subsection (b)(1)(A).
        (b) Secretarial Authority To Further Revise.--(1) To ensure the
    efficient and effective operation of the military pay system, the
    Secretary of Defense, and the Secretary of Transportation with regard to
    the Coast Guard, may--
                (A) further increase any of the amounts specified in the
            table in subsection (a) for enlisted members of the Armed Forces
            in the pay grades E-7, E-6, and E-5; and
                (B) increase any of the amounts specified for other enlisted
            members in the table under the heading ``ENLISTED MEMBERS'' in
            section 601(c) of the National Defense Authorization Act for
            Fiscal Year 2000 (Public Law 106-65; 113 Stat. 648), as adjusted
            on January 1, 2001, pursuant to section 601(b) of this Act.

        (2) The revisions in monthly basic pay made by the Secretary of
    Defense and the Secretary of Transportation under paragraph (1) shall
    take effect on July 1, 2001, but only if the Secretaries also comply
    with paragraph (3).
        (3) If the Secretary of Defense or the Secretary of Transportation
    exercises the authority provided by paragraph (1), the Secretaries shall
    include, in the budget justification materials submitted to Congress in
    support of the President's budget submitted under section 1105 of title
    31, United States Code, for fiscal year 2002--
                (A) a revised pay table for enlisted members of the Armed
            Forces to reflect the increases in monthly basic pay to take
            effect on July 1, 2001; and
                (B) a description of the various increases made and the
            reasons therefor.

    SEC. 603. REVISED METHOD FOR CALCULATION OF BASIC ALLOWANCE FOR
                SUBSISTENCE.

        (a) Annual Revision of Rate.--Subsection (b) of section 402 of title
    37, United States Code, is amended--

    [[Page 114 STAT. 1654A-145]]

                (1) in paragraph (1), by striking ``The monthly rate'' and
            inserting ``Through December 31, 2001, the monthly rate'';
                (2) by redesignating paragraph (2) as paragraph (3); and
                (3) by inserting after paragraph (1) the following new
            paragraph:

        ``(2) On and after January 1, 2002, the monthly rate of basic
    allowance for subsistence to be in effect for an enlisted member for a
    year (beginning on January 1 of that year) shall be equal to the sum
    of--
                ``(A) the monthly rate of basic allowance for subsistence
            that was in effect for an enlisted member for the preceding
            year; plus
                ``(B) the product of the monthly rate under subparagraph (A)
            and the percentage increase in the monthly cost of a liberal
            food plan for a male in the United States who is between 20 and
            50 years of age over the preceding fiscal year, as determined by
            the Secretary of Agriculture each October 1.''.

        (b) Conforming Amendment.--Subsection (d)(1) of such section is
    amended by striking ``established under subsection (b)(1)'' and
    inserting ``in effect under paragraph (1) or (2) of subsection (b)''.
        (c) Early Termination of BAS Transitional Authority.--Effective
    October 1, 2001, subsections (c) through (f ) of section 602 of the
    National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-
    85; 37 U.S.C. 402 note) are repealed.

    SEC. 604. FAMILY SUBSISTENCE SUPPLEMENTAL ALLOWANCE FOR LOW-INCOME
                MEMBERS OF THE ARMED FORCES.

        (a) Supplemental Allowance Required.--(1) Chapter 7 of title 37,
    United States Code, is amended by inserting after section 402 the
    following new section:

    ``Sec. 402a. Supplemental subsistence allowance for low-income members
                            with dependents

        ``(a) Supplemental Allowance Required.--(1) The Secretary concerned
    shall increase the basic allowance for subsistence to which a member of
    the armed forces described in subsection (b) is otherwise entitled under
    section 402 of this title by an amount (in this section referred to as
    the `supplemental subsistence allowance') designed to remove the
    member's household from eligibility for benefits under the food stamp
    program.
        ``(2) The supplemental subsistence allowance may not exceed $500 per
    month. In establishing the amount of the supplemental subsistence
    allowance to be paid an eligible member under this paragraph, the
    Secretary shall take into consideration the amount of the basic
    allowance for housing that the member receives under section 403 of this
    title or would otherwise receive under such section, in the case of a
    member who is not entitled to that allowance as a result of assignment
    to quarters of the United States or a housing facility under the
    jurisdiction of a uniformed service.
        ``(3) In the case of a member described in subsection (b) who
    establishes to the satisfaction of the Secretary concerned that the
    allotment of the member's household under the food stamp program,
    calculated in the absence of the supplemental subsistence allowance,
    would exceed the amount established by the Secretary concerned under
    paragraph (2), the amount of the supplemental subsistence allowance for
    the member shall be equal to the lesser of the following:

    [[Page 114 STAT. 1654A-146]]

                ``(A) The value of that allotment.
                ``(B) $500.

        ``(b) Members Entitled to Allowance.--(1) Subject to subsection (d),
    a member of the armed forces is entitled to receive the supplemental
    subsistence allowance if the Secretary concerned determines that the
    member's income, together with the income of the rest of the member's
    household (if any), is within the highest income standard of
    eligibility, as then in effect under section 5(c) of the Food Stamp Act
    of 1977 (7 U.S.C. 2014(c)) and without regard to paragraph (1) of such
    section, for participation in the food stamp program.
        ``(2) In determining whether a member meets the eligibility criteria
    under paragraph (1), the Secretary--
                ``(A) shall not take into consideration the amount of the
            supplemental subsistence allowance payable under this section;
            but
                ``(B) shall take into consideration the amount of the basic
            allowance for housing that the member receives under section 403
            of this title or would otherwise receive under such section, in
            the case of a member who is not entitled to that allowance as a
            result of assignment to quarters of the United States or a
            housing facility under the jurisdiction of a uniformed service.

        ``(c) Application for Allowance.--To request the supplemental
    subsistence allowance, a member shall submit an application to the
    Secretary concerned in such form and containing such information as the
    Secretary concerned may prescribe. A member applying for the
    supplemental subsistence allowance shall furnish such evidence regarding
    the member's satisfaction of the eligibility criteria under subsection
    (b) as the Secretary concerned may require.
        ``(d) Effective Period.--The entitlement of a member to receive the
    supplemental subsistence allowance terminates upon the occurrence of any
    of the following events, even though the member continues to meet the
    eligibility criteria described in subsection (b):
                ``(1) Payment of the supplemental subsistence allowance for
            12 consecutive months.
                ``(2) Promotion of the member to a higher grade.
                ``(3) Transfer of the member in a permanent change of
            station.

        ``(e) Reapplication.--Upon the termination of the effective period
    of the supplemental subsistence allowance for a member, or in
    anticipation of the imminent termination of the allowance, a member may
    reapply for the allowance under subsection (c), and the Secretary
    concerned shall approve the application and resume payment of the
    allowance to the member, if the member continues to meet, or once again
    meets, the eligibility criteria described in subsection (b).
        ``(f ) Reporting Requirement.--Not later than March 1 of each year
    after 2001, the Secretary of Defense shall submit to Congress a report
    specifying the number of members of the armed forces who received, at
    any time during the preceding year, the supplemental subsistence
    allowance. In preparing the report, the Secretary of Defense shall
    consult with the Secretary of Transportation. No report is required
    under this subsection after March 1, 2006.
        ``(g) Definitions.--In this section:

    [[Page 114 STAT. 1654A-147]]

                ``(1) The term `Secretary concerned' means--
                        ``(A) the Secretary of Defense; and
                        ``(B) the Secretary of Transportation, with respect
                    to the Coast Guard when it is not operating as a service
                    in the Navy.
                ``(2) The terms `allotment' and `household' have the
            meanings given those terms in section 3 of the Food Stamp Act of
            1977 (7 U.S.C. 2012).
                ``(3) The term `food stamp program' means the program
            established pursuant to section 4 of the Food Stamp Act of 1977
            (7 U.S.C. 2013).

        ``(h) Termination of Authority.--No supplemental subsistence
    allowance may be provided under this section after September 30,
    2006.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 402 the
    following:

    ``402a. Supplemental subsistence allowance for low-income members with
               dependents.''.

        (b) Effective Date.--Section 402a of title 37, United States Code,
    as added by subsection (a), shall take effect on the first day of the
    first month that begins not less than 180 days after the date of the
    enactment of this Act.

    SEC. 605. BASIC ALLOWANCE FOR HOUSING.

        (a) Calculation of Rates.--Subsection (b) of section 403 of title
    37, United States Code, is amended--
                (1) by striking paragraph (2);
                (2) by redesignating paragraph (1) as paragraph (2); and
                (3) by inserting after the subsection heading the following:
            ``(1) The Secretary of Defense shall prescribe the rates of the
            basic allowance for housing that are applicable for the various
            military housing areas in the United States. The rates for an
            area shall be based on the costs of adequate housing determined
            for the area under paragraph (2).''.

        (b) Minimum Annual Amount Available for Housing Allowances.--
    Subsection (b) of such section is further amended--
                (1) by striking paragraphs (3) and (5); and
                (2) by inserting after paragraph (2) the following new
            paragraph:

        ``(3) The total amount that may be paid for a fiscal year for the
    basic allowance for housing under this subsection may not be less than
    the product of--
                ``(A) the total amount authorized to be paid for such
            allowance for the preceding fiscal year; and
                ``(B) a fraction--
                        ``(i) the numerator of which is the index of the
                    national average monthly cost of housing for June of the
                    preceding fiscal year; and
                        ``(ii) the denominator of which is the index of the
                    national average monthly cost of housing for June of the
                    second preceding fiscal year.''.

        (c) Limitations on Reduction in Member's Allowance.--(1) Paragraph
    (6) of such subsection is amended by striking ``, changes in the
    national average monthly cost of housing,''.
        (2) Paragraph (7) of such subsection is amended by striking
    ``without dependents''.

    [[Page 114 STAT. 1654A-148]]

        (d) Allowance When Dependents Are Unable To Accompany Members.--
    Subsection (d) of such section is amended by striking paragraph (3) and
    inserting the following new paragraph:
        ``(3) If a member with dependents is assigned to duty in an area
    that is different from the area in which the member's dependents reside,
    the member is entitled to a basic allowance for housing as provided in
    subsection (b) or (c), whichever applies to the member, subject to the
    following:
                ``(A) If the member's assignment to duty in that area, or
            the circumstances of that assignment, require the member's
            dependents to reside in a different area, as determined by the
            Secretary concerned, the amount of the basic allowance for
            housing for the member shall be based on the area in which the
            dependents reside or the member's last duty station, whichever
            the Secretary concerned determines to be most equitable.
                ``(B) If the member's assignment to duty in that area is
            under the conditions of a low-cost or no-cost permanent change
            of station or permanent change of assignment, the amount of the
            basic allowance for housing for the member shall be based on the
            member's last duty station if the Secretary concerned determines
            that it would be inequitable to base the allowance on the cost
            of housing in the area to which the member is reassigned.''.

        (e) Extension of Transition Period.--Section 603(b) of the National
    Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 37
    U.S.C. 403 note) is amended by striking ``six years'' and inserting
    ``eight years''.
        (f ) Effective Date; Application.--(1) The amendments made by this
    section shall take effect on October 1, 2000.
        (2) In the case of the amendment made by subsection (c)(2), the
    amendment shall apply with respect to pay periods beginning on and after
    October 1, 2000, for a member of the uniformed services covered by the
    provision of law so amended regardless of the date on which the member
    was first reassigned to duty under the conditions of a low-cost or no-
    cost permanent change of station or permanent change of assignment.
        (3) In the case of the amendment made by subsection (d), the
    amendment shall apply with respect to pay periods beginning on and after
    October 1, 2000, for a member of the uniformed services covered by the
    provision of law so amended regardless of the date on which the member
    was first assigned to duty in an area that is different from the area in
    which the member's dependents reside.

    SEC. 606. ADDITIONAL AMOUNT AVAILABLE FOR FISCAL YEAR 2001 INCREASE IN
                BASIC ALLOWANCE FOR HOUSING INSIDE THE UNITED STATES.

        In addition to the amount determined by the Secretary of Defense
    under section 403(b)(3) of title 37, United States Code, as amended by
    section 605(b), to be the total amount to be paid during fiscal year
    2001 for the basic allowance for housing for military housing areas
    inside the United States, $30,000,000 of the amount authorized to be
    appropriated by section 421 for military personnel shall be used by the
    Secretary to further increase the total amount available for the basic
    allowance for housing for military housing areas inside the United
    States.

    [[Page 114 STAT. 1654A-149]]

    SEC. 607. EQUITABLE TREATMENT OF JUNIOR ENLISTED MEMBERS IN COMPUTATION
                OF BASIC ALLOWANCE FOR HOUSING.

        (a) Determination of Costs of Adequate Housing.--Paragraph (2) of
    subsection (b) of section 403 of title 37, United States Code, as
    redesignated by section 605(a)(2), is amended by adding at the end the
    following new sentence: ``After June 30, 2001, the Secretary may not
    differentiate between members with dependents in pay grades E-1 through
    E-4 in determining what constitutes adequate housing for members.''.
        (b) Single Rate; Minimum.--Subsection (b) of such section, as
    amended by section 605(b)(1), is amended by inserting after paragraph
    (4) the following new paragraph:
        ``(5) On and after July 1, 2001, the Secretary of Defense shall
    establish a single monthly rate for members of the uniformed services
    with dependents in pay grades E-1 through E-4 in the same military
    housing area. The rate shall be consistent with the rates paid to
    members in pay grades other than pay grades E-1 through E-4 and shall be
    based on the following:
                ``(A) The average cost of a two-bedroom apartment in that
            military housing area.
                ``(B) One-half of the difference between the average cost of
            a two-bedroom townhouse in that area and the amount determined
            in subparagraph (A).''.

    SEC. 608. ELIGIBILITY OF MEMBERS IN GRADE E-4 TO RECEIVE BASIC ALLOWANCE
                FOR HOUSING WHILE ON SEA DUTY.

        (a) Payment Authorized.--Subsection (f )(2)(B) of section 403 of
    title 37, United States Code, is amended--
                (1) by striking ``E-5'' in the first sentence and inserting
            ``E-4 or E-5''; and
                (2) by striking ``grade E-5'' in the second sentence and
            inserting ``grades E-4 and E-5''.

        (b) Conforming Amendment.--Subsection (m)(1)(B) of such section is
    amended by striking ``E-4'' and inserting ``E-3''.

    SEC. 609. PERSONAL MONEY ALLOWANCE FOR SENIOR ENLISTED MEMBERS OF THE
                ARMED FORCES.

        (a) Authority.--Section 414 of title 37, United States Code, is
    amended by adding at the end the following new subsection:
        ``(c) Allowance for Senior Enlisted Members.--In addition to other
    pay or allowances authorized by this title, a noncommissioned officer is
    entitled to a personal money allowance of $2,000 a year while serving as
    the Sergeant Major of the Army, the Master Chief Petty Officer of the
    Navy, the Chief Master Sergeant of the Air Force, the Sergeant Major of
    the Marine Corps, or the Master Chief Petty Officer of the Coast
    Guard.''.
        (b) Stylistic Amendments.--Such section is further amended--
                (1) in subsection (a), by inserting ``Allowance for Officers
            Serving in Certain Ranks or Positions.--'' after ``(a)''; and
                (2) in subsection (b), by inserting ``Allowance for Certain
            Naval Officers.--'' after ``(b)''.

        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2000.

    [[Page 114 STAT. 1654A-150]]

    SEC. 610. INCREASED UNIFORM ALLOWANCES FOR OFFICERS.

        (a) Initial Allowance.--Section 415(a) of title 37, United States
    Code, is amended by striking ``$200'' and inserting ``$400''.
        (b) Additional Allowance.--Section 416(a) of such title is amended
    by striking ``$100'' and inserting ``$200''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2000.

    SEC. 611. CABINET-LEVEL AUTHORITY TO PRESCRIBE REQUIREMENTS AND
                ALLOWANCE FOR CLOTHING OF ENLISTED MEMBERS.

        Section 418 of title 37, United States Code, is amended--
                (1) in subsection (a), by striking ``The President'' and
            inserting ``The Secretary of Defense and the Secretary of
            Transportation, with respect to the Coast Guard when it is not
            operating as a service in the Navy,''; and
                (2) in subsection (b), by striking ``the President'' and
            inserting ``the Secretary of Defense''.

    SEC. 612. INCREASE IN MONTHLY SUBSISTENCE ALLOWANCE FOR MEMBERS OF
                PRECOMMISSIONING PROGRAMS.

        (a) Pay Rates for Cadets and Midshipmen.--Section 203(c) of title
    37, United States Code, is amended by striking ``at the rate of
    $600.00.'' and inserting ``at the monthly rate equal to 35 percent of
    the basic pay of a commissioned officer in the pay grade O-1 with less
    than two years of service.''.
        (b) Subsistence Allowance Rates.--Subsection (a) of section 209 of
    such title is amended--
                (1) by inserting ``(1)'' before ``Except'';
                (2) by striking ``subsistence allowance of $200 a month''
            and inserting ``monthly subsistence allowance at a rate
            prescribed under paragraph (2)'';
                (3) by striking ``Subsistence'' and inserting the following:

        ``(3) A subsistence''; and
                (4) by inserting after the first sentence the following:

        ``(2) The Secretary of Defense shall prescribe by regulation the
    monthly rates for subsistence allowances provided under this section.
    The rate may not be less than $250 per month, but may not exceed $674
    per month.''.
        (c) Conforming and Stylistic Amendments.--Section 209 of such title
    is further amended--
                (1) in subsection (a), by inserting ``Senior ROTC Members in
            Advanced Training.--'' after ``(a)'';
                (2) in subsection (b)--
                        (A) by inserting ``Senior ROTC Members Appointed in
                    Reserves.--'' after ``(b)''; and
                        (B) by striking ``in the amount provided in
                    subsection (a)'' and inserting ``at a rate prescribed
                    under subsection (a)'';
                (3) in subsection (c), by inserting ``Pay While Attending
            Training or Practice Cruise.--'' after ``(c)'' the first place
            it appears; and
                (4) in subsection (d)--
                        (A) by inserting ``Members of Marine Corps Officer
                    Candidate Program.--'' after ``(d)''; and

    [[Page 114 STAT. 1654A-151]]

                        (B) by striking ``the same rate as that prescribed
                    by subsection (a),'' and inserting ``a monthly rate
                    prescribed under subsection (a)''.

        (d) Effective Date.--The amendments made by subsections (a) and (b)
    shall take effect October 1, 2001.

               Subtitle B--Bonuses and Special and Incentive Pays

    SEC. 621. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY AUTHORITIES FOR
                RESERVE FORCES.

        (a) Special Pay for Health Professionals in Critically Short Wartime
    Specialties.--Section 302g(f ) of title 37, United States Code, is
    amended by striking ``December 31, 2000'' and inserting ``December 31,
    2001''.
        (b) Selected Reserve Reenlistment Bonus.--Section 308b(f ) of such
    title is amended by striking ``December 31, 2000'' and inserting
    ``December 31, 2001''.
        (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of such
    title is amended by striking ``December 31, 2000'' and inserting
    ``December 31, 2001''.
        (d) Special Pay for Enlisted Members Assigned to Certain High
    Priority Units.--Section 308d(c) of such title is amended by striking
    ``December 31, 2000'' and inserting ``December 31, 2001''.
        (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of such
    title is amended by striking ``December 31, 2000'' and inserting
    ``December 31, 2001''.
        (f ) Ready Reserve Enlistment and Reenlistment Bonus.--Section
    308h(g) of such title is amended by striking ``December 31, 2000'' and
    inserting ``December 31, 2001''.
        (g) Prior Service Enlistment Bonus.--Section 308i(f ) of such title
    is amended by striking ``December 31, 2000'' and inserting ``December
    31, 2001''.
        (h) Repayment of Education Loans for Certain Health Professionals
    Who Serve in the Selected Reserve.--Section 16302(d) of title 10, United
    States Code, is amended by striking ``January 1, 2001'' and inserting
    ``January 1, 2002''.

    SEC. 622. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY AUTHORITIES FOR
                NURSE OFFICER CANDIDATES, REGISTERED NURSES, AND NURSE
                ANESTHETISTS.

        (a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1)
    of title 10, United States Code, is amended by striking ``December 31,
    2000'' and inserting ``December 31, 2001''.
        (b) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of
    title 37, United States Code, is amended by striking ``December 31,
    2000'' and inserting ``December 31, 2001''.
        (c) Incentive Special Pay for Nurse Anesthetists.--Section
    302e(a)(1) of title 37, United States Code, is amended by striking
    ``December 31, 2000'' and inserting ``December 31, 2001''.

    SEC. 623. EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF OTHER BONUSES
                AND SPECIAL PAYS.

        (a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37,
    United States Code, is amended by striking ``December 31, 2000,'' and
    inserting ``December 31, 2001,''.

    [[Page 114 STAT. 1654A-152]]

        (b) Reenlistment Bonus for Active Members.--Section 308(g) of such
    title is amended by striking ``December 31, 2000'' and inserting
    ``December 31, 2001''.
        (c) Special Pay for Nuclear-Qualified Officers Extending Period of
    Active Service.--Section 312(e) of such title is amended by striking
    ``December 31, 2000'' and inserting ``December 31, 2001''.
        (d) Nuclear Career Accession Bonus.--Section 312b(c) of such title
    is amended by striking ``December 31, 2000'' and inserting ``December
    31, 2001''.
        (e) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of such
    title is amended by striking ``December 31, 2000'' and inserting
    ``December 31, 2001''.

    SEC. 624. REVISION OF ENLISTMENT BONUS AUTHORITY.

        (a) Bonus Authorized.--(1) Title 37, United States Code, is amended
    by inserting after section 308i the following new section:

    ``Sec. 309. Special pay: enlistment bonus

        ``(a) Bonus Authorized; Bonus Amount.--A person who enlists in an
    armed force for a period of at least 2 years may be paid a bonus in an
    amount not to exceed $20,000. The bonus may be paid in a single lump sum
    or in periodic installments.
        ``(b) Repayment of Bonus.--(1) A member of the armed forces who
    voluntarily, or because of the member's misconduct, does not complete
    the term of enlistment for which a bonus was paid under this section, or
    a member who is not technically qualified in the skill for which the
    bonus was paid, if any (other than a member who is not qualified because
    of injury, illness, or other impairment not the result of the member's
    misconduct), shall refund to the United States that percentage of the
    bonus that the unexpired part of member's enlistment is of the total
    enlistment period for which the bonus was paid.
        ``(2) An obligation to reimburse the United States imposed under
    paragraph (1) is for all purposes a debt owed to the United States.
        ``(3) A discharge in bankruptcy under title 11 that is entered less
    than 5 years after the termination of an enlistment for which a bonus
    was paid under this section does not discharge the person receiving the
    bonus from the debt arising under paragraph (1).
        ``(c) Relation to Prohibition on Bounties.--The enlistment bonus
    authorized by this section is not a bounty for purposes of section
    514(a) of title 10.
        ``(d) Regulations.--This section shall be administered under
    regulations prescribed by the Secretary of Defense for the armed forces
    under the jurisdiction of the Secretary of Defense and by the Secretary
    of Transportation for the Coast Guard when the Coast Guard is not
    operating as a service in the Navy.
        ``(e) Duration of Authority.--No bonus shall be paid under this
    section with respect to any enlistment in the armed forces made after
    December 31, 2001.''.
        (2) The table of sections at the beginning of chapter 5 of such
    title is amended by inserting after the item relating to section 308i
    the following new item:

    ``309. Special pay: enlistment bonus.''.

    [[Page 114 STAT. 1654A-153]]

        (b) Repeal of Superseded Enlistment Bonus Authorities.--(1) Sections
    308a and 308f of title 37, United States Code, are repealed.
        (2) The table of sections at the beginning of chapter 5 of such
    title is amended by striking the items relating to such sections.
        (c) Effective Date.--(1) The amendments made by subsection (a) shall
    take effect on October 1, 2000, and apply with respect to enlistments in
    the Armed Forces made on or after that date.
        (2) The amendments made by subsection (b) shall take effect on
    October 1, 2000. The repeal of sections 308a and 308f of title 37,
    United States Code, by such subsection shall not affect the validity or
    terms of any bonus provided under such sections for enlistments in the
    Armed Forces made before that date.

    SEC. 625. CONSISTENCY OF AUTHORITIES FOR SPECIAL PAY FOR RESERVE MEDICAL
                AND DENTAL OFFICERS.

        (a) Consistent Descriptions of Active Duty.--Section 302(h)(1) of
    title 37, United States Code, is amended by inserting before the period
    at the end the following: ``, including active duty in the form of
    annual training, active duty for training, and active duty for special
    work''.
        (b) Relation to Other Special Pay Authorities.--Subsection (d) of
    section 302f of such title is amended to read as follows:
        ``(d) Special Rule for Reserve Medical and Dental Officers.--While a
    reserve medical or dental officer receives a special pay under section
    302 or 302b of this title by reason of subsection (a), the officer shall
    not be entitled to special pay under section 302(h) or 302b(h) of this
    title.''.

    SEC. 626. ELIMINATION OF REQUIRED CONGRESSIONAL NOTIFICATION BEFORE
                IMPLEMENTATION OF CERTAIN SPECIAL PAY AUTHORITY.

        (a) Retention Special Pay for Optometrists.--(1) Section 302a(b)(1)
    of title 37, United States Code, is amended by striking ``an officer
    described in paragraph (2) may be paid'' and inserting ``the Secretary
    concerned may pay an officer described in paragraph (2) a''.
        (2) Section 617 of the National Defense Authorization Act for Fiscal
    Year 1991 (Public Law 101-510; 10 U.S.C. 302a note) is amended by
    striking subsection (b).
        (b) Special Pay for Officers in Nursing Specialties.--(1) Section
    302e(b)(2)(A) of title 37, United States Code, is amended by striking
    ``the Secretary'' and inserting ``the Secretary of the military
    department concerned''.
        (2) Section 614 of the National Defense Authorization Act for Fiscal
    Year 1991 (Public Law 101-510; 10 U.S.C. 302e note) is amended by
    striking subsection (c).

    SEC. 627. SPECIAL PAY FOR PHYSICIAN ASSISTANTS OF THE COAST GUARD.

        Section 302c(d)(1) of title 37, United States Code, is amended by
    inserting after ``nurse,'' the following: ``an officer of the Coast
    Guard or Coast Guard Reserve designated as a physician assistant,''.

    [[Page 114 STAT. 1654A-154]]

    SEC. 628. AUTHORIZATION OF SPECIAL PAY AND ACCESSION BONUS FOR PHARMACY
                OFFICERS.

        (a) Authorization of Special Pay and Bonus.--Chapter 5 of title 37,
    United States Code, is amended by inserting after section 302h the
    following new sections:

    ``Sec. 302i. Special pay: pharmacy officers

        ``(a) Army, Navy, and Air Force Pharmacy Officers.--Under
    regulations prescribed pursuant to section 303a of this title, the
    Secretary of the military department concerned may, subject to
    subsection (c), pay special pay at the rates specified in subsection (d)
    to an officer who--
                ``(1) is a pharmacy officer in the Medical Service Corps of
            the Army or Navy or the Biomedical Sciences Corps of the Air
            Force; and
                ``(2) is on active duty under a call or order to active duty
            for a period of not less than one year.

        ``(b) Public Health Service Corps.--Subject to subsection (c), the
    Secretary of Health and Human Services may pay special pay at the rates
    specified in subsection (d) to an officer who--
                ``(1) is an officer in the Regular or Reserve Corps of the
            Public Health Service and is designated as a pharmacy officer;
            and
                ``(2) is on active duty under a call or order to active duty
            for a period of not less than one year.

        ``(c) Limitation.--Special pay may not be paid under this section to
    an officer serving in a pay grade above pay grade O-6.
        ``(d) Rate of Special Pay.--The rate of special pay paid to an
    officer under subsection (a) or (b) is as follows:
                ``(1) $3,000 per year, if the officer is undergoing pharmacy
            internship training or has less than 3 years of creditable
            service.
                ``(2) $7,000 per year, if the officer has at least 3 but
            less than 6 years of creditable service and is not undergoing
            pharmacy internship training.
                ``(3) $7,000 per year, if the officer has at least 6 but
            less than 8 years of creditable service.
                ``(4) $12,000 per year, if the officer has at least 8 but
            less than 12 years of creditable service.
                ``(5) $10,000 per year, if the officer has at least 12 but
            less than 14 years of creditable service.
                ``(6) $9,000 per year, if the officer has at least 14 but
            less than 18 years of creditable service.
                ``(7) $8,000 per year, if the officer has 18 or more years
            of creditable service.

    ``Sec. 302j. Special pay: accession bonus for pharmacy officers

        ``(a) Accession Bonus Authorized.--A person who is a graduate of an
    accredited pharmacy school and who, during the period beginning on the
    date of the enactment of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001 and ending on September 30, 2004,
    executes a written agreement described in subsection (c) to accept a
    commission as an officer of a uniformed service and remain on active
    duty for a period of not less than 4 years may, upon acceptance of the
    agreement by the Secretary concerned, be paid an accession bonus in an
    amount determined by the Secretary concerned.

    [[Page 114 STAT. 1654A-155]]

        ``(b) Limitation on Amount of Bonus.--The amount of an accession
    bonus under subsection (a) may not exceed $30,000.
        ``(c) Limitation on Eligibility for Bonus.--A person may not be paid
    a bonus under subsection (a) if--
                ``(1) the person, in exchange for an agreement to accept an
            appointment as a warrant or commissioned officer, received
            financial assistance from the Department of Defense or the
            Department of Health and Human Services to pursue a course of
            study in pharmacy; or
                ``(2) the Secretary concerned determines that the person is
            not qualified to become and remain licensed as a pharmacist.

        ``(d) Agreement.--The agreement referred to in subsection (a) shall
    provide that, consistent with the needs of the uniformed service
    concerned, the person executing the agreement shall be assigned to duty,
    for the period of obligated service covered by the agreement, as a
    pharmacy officer in the Medical Service Corps of the Army or Navy, a
    biomedical sciences officer in the Air Force designated as a pharmacy
    officer, or a pharmacy officer of the Public Health Service.
        ``(e) Repayment.--(1) An officer who receives a payment under
    subsection (a) and who fails to become and remain licensed as a
    pharmacist during the period for which the payment is made shall refund
    to the United States an amount equal to the full amount of such payment.
        ``(2) An officer who voluntarily terminates service on active duty
    before the end of the period agreed to be served under subsection (a)
    shall refund to the United States an amount that bears the same ratio to
    the amount paid to the officer as the unserved part of such period bears
    to the total period agreed to be served.
        ``(3) An obligation to reimburse the United States under paragraph
    (1) or (2) is for all purposes a debt owed to the United States.
        ``(4) A discharge in bankruptcy under title 11 that is entered less
    than 5 years after the termination of an agreement under this section
    does not discharge the person signing such agreement from a debt arising
    under such agreement or this subsection. This paragraph applies to any
    case commenced under title 11 after the date of the enactment of the
    Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001.''.
        (b) Administration.--Section 303a of title 37, United States Code,
    is amended by striking ``302h'' each place it appears and inserting
    ``302j''.
        (c) Clerical Amendment.--The table of sections at the beginning of
    chapter 5 of such title is amended by inserting after the item relating
    to section 302h the following new items:

    ``302i. Special pay: pharmacy officers.
    ``302j. Special pay: accession bonus for pharmacy officers.''.

    SEC. 629. CORRECTION OF REFERENCES TO AIR FORCE VETERINARIANS.

        Section 303(a) of title 37, United States Code, is amended--
                (1) in paragraph (1)(B), by striking ``who is designated as
            a veterinary officer'' and inserting ``who is an officer in the
            Biomedical Sciences Corps and holds a degree in veterinary
            medicine''; and
                (2) in paragraph (2), by striking subparagraph (B) and
            inserting the following:

    [[Page 114 STAT. 1654A-156]]

                        ``(B) of a reserve component of the Air Force, of
                    the Army or the Air Force without specification of
                    component, or of the National Guard, who--
                              ``(i) is designated as a veterinary officer;
                          or
                              ``(ii) is an officer in the Biomedical
                          Sciences Corps of the Air Force and holds a degree
                          in veterinary medicine; or''.

    SEC. 630. CAREER SEA PAY.

        (a) Reform of Authorities.--Section 305a of title 37, United States
    Code, is amended--
                (1) in subsection (a), by striking ``(a) Under regulations
            prescribed by the President, a member'' and inserting ``(a)
            Availability of Special Pay.--A member'';
                (2) by redesignating subsection (d) as subsection (e); and
                (3) by striking subsections (b) and (c) and inserting the
            following new subsections:

        ``(b) Rates; Maximum.--The Secretary concerned shall prescribe the
    monthly rates for special pay applicable to members of each armed force
    under the Secretary's jurisdiction. No monthly rate may exceed $750.
        ``(c) Premium.--A member of a uniformed service entitled to career
    sea pay under this section who has served 36 consecutive months of sea
    duty is also entitled to a career sea pay premium for the thirty-seventh
    consecutive month and each subsequent consecutive month of sea duty
    served by such member. The monthly amount of the premium shall be
    prescribed by the Secretary concerned, but may not exceed $350.
        ``(d) Regulations.--The Secretary concerned shall prescribe
    regulations for the administration of this section for the armed force
    or armed forces under the jurisdiction of the Secretary. The
    entitlements under this section shall be subject to the regulations.''.
        (b) Stylistic Amendment.--Subsection (e) of such section, as
    redesignated by subsection (a)(2), is amended by inserting
    before ``(1)'' in paragraph (1) the following: ``Definition of Sea
    Duty.--''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2000, and shall apply with respect to months
    beginning on or after that date.

    SEC. 631. INCREASED MAXIMUM RATE OF SPECIAL DUTY ASSIGNMENT PAY.

        Section 307(a) of title 37, United States Code, is amended--
                (1) by striking ``$275'' and inserting ``$600''; and
                (2) by striking the second sentence.

    SEC. 632. ENTITLEMENT OF MEMBERS OF THE NATIONAL GUARD AND OTHER
                RESERVES NOT ON ACTIVE DUTY TO RECEIVE SPECIAL DUTY
                ASSIGNMENT PAY.

        (a) Authority.--Section 307 of title 37, United States Code, is
    amended by adding at the end the following new subsection:
        ``(d)(1) Under regulations prescribed by the Secretary concerned and
    to the extent provided for by appropriations, when an enlisted member of
    the National Guard or a reserve component of a uniformed service who is
    entitled to compensation under section 206 of this title performs duty
    for which a member described in subsection (a) is entitled to special
    pay under such subsection, the member of the National Guard or reserve
    component is entitled

    [[Page 114 STAT. 1654A-157]]

    to an increase in compensation equal to \1/30\ of the monthly special
    duty assignment pay prescribed by the Secretary concerned for the
    performance of that same duty by members described in subsection (a).
        ``(2) A member of the National Guard or a reserve component entitled
    to an increase in compensation under paragraph (1) is entitled to the
    increase--
                ``(A) for each regular period of instruction, or period of
            appropriate duty, at which the member is engaged for at least
            two hours, including that performed on a Sunday or holiday; or
                ``(B) for the performance of such other equivalent training,
            instruction, duty, or appropriate duties, as the Secretary may
            prescribe under section 206(a) of this title.

        ``(3) This subsection does not apply to a member of the National
    Guard or a reserve component who is entitled to basic pay under section
    204 of this title.''.
        (b) Effective Date.--The amendment made by subsection (a) shall take
    effect October 1, 2000.

    SEC. 633. AUTHORIZATION OF RETENTION BONUS FOR MEMBERS OF THE ARMED
                FORCES QUALIFIED IN A CRITICAL MILITARY SKILL.

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

    ``Sec. 323. Special pay: retention incentives for members qualified in a
                            critical military skill

        ``(a) Retention Bonus Authorized.--An officer or enlisted member of
    the armed forces who is serving on active duty and is qualified in a
    designated critical military skill may be paid a retention bonus as
    provided in this section if--
                ``(1) in the case of an officer, the member executes a
            written agreement to remain on active duty for at least 1 year;
            or
                ``(2) in the case of an enlisted member, the member
            reenlists or voluntarily extends the member's enlistment for a
            period of at least 1 year.

        ``(b) Designation of Critical Skills.--(1) A designated critical
    military skill referred to in subsection (a) is a military skill
    designated as critical by the Secretary of Defense, or by the Secretary
    of Transportation with respect to the Coast Guard when it is not
    operating as a service in the Navy.
        ``(2) The Secretary of Defense, and the Secretary of Transportation
    with respect to the Coast Guard when it is not operating as a service in
    the Navy, shall notify Congress, in advance, of each military skill to
    be designated by the Secretary as critical for purposes of this section.
    The notice shall be submitted at least 90 days before any bonus with
    regard to that critical skill is offered under subsection (a) and shall
    include a discussion of the necessity for the bonus, the amount and
    method of payment of the bonus, and the retention results that the bonus
    is expected to achieve.
        ``(c) Payment Methods.--A bonus under this section may be paid in a
    single lump sum or in periodic installments.
        ``(d) Maximum Bonus Amount.--A member may enter into an agreement
    under this section, or reenlist or voluntarily extend the member's
    enlistment, more than once to receive a bonus under

    [[Page 114 STAT. 1654A-158]]

    this section. However, a member may not receive a total of more than
    $200,000 in payments under this section.
        ``(e) Certain Members Ineligible.--A retention bonus may not be
    provided under subsection (a) to a member of the armed forces who--
                ``(1) has completed more than 25 years of active duty; or
                ``(2) will complete the member's twenty-fifth year of active
            duty before the end of the period of active duty for which the
            bonus is being offered.

        ``(f ) Relationship to Other Incentives.--A retention bonus paid
    under this section is in addition to any other pay and allowances to
    which a member is entitled.
        ``(g) Repayment of Bonus.--(1) If an officer who has entered into a
    written agreement under subsection (a) fails to complete the total
    period of active duty specified in the agreement, or an enlisted member
    who voluntarily or because of misconduct does not complete the term of
    enlistment for which a bonus was paid under this section, the Secretary
    of Defense, and the Secretary of Transportation with respect to members
    of the Coast Guard when it is not operating as a service in the Navy,
    may require the member to repay the United States, on a pro rata basis
    and to the extent that the Secretary determines conditions and
    circumstances warrant, all sums paid under this section.
        ``(2) An obligation to repay the United States imposed under
    paragraph (1) is for all purposes a debt owed to the United States.
        ``(3) A discharge in bankruptcy under title 11 that is entered less
    than 5 years after the termination of a written agreement entered into
    under subsection (a) does not discharge the member from a debt arising
    under paragraph (2).
        ``(h) Annual Report.--Not later than February 15 of each year, the
    Secretary of Defense and the Secretary of Transportation shall submit to
    Congress a report--
                ``(1) analyzing the effect, during the preceding fiscal
            year, of the provision of bonuses under this section on the
            retention of members qualified in the critical military skills
            for which the bonuses were offered; and
                ``(2) describing the intentions of the Secretary regarding
            the continued use of the bonus authority during the current and
            next fiscal years.

        ``(i) Termination of Bonus Authority.--No bonus may be paid under
    this section with respect to any reenlistment, or voluntary extension of
    an enlistment, in the armed forces entered into after December 31, 2001,
    and no agreement under this section may be entered into after that
    date.''.

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

    ``323. Special pay: retention incentives for members qualified in a
               critical military skill.''.

        (b) Effective Date.--Section 323 of title 10, United States Code, as
    added by subsection (a), shall take effect on October 1, 2000.

    [[Page 114 STAT. 1654A-159]]

    SEC. 634. ENTITLEMENT OF ACTIVE DUTY OFFICERS OF THE PUBLIC HEALTH
                SERVICE CORPS TO SPECIAL PAYS AND BONUSES OF HEALTH
                PROFESSIONAL OFFICERS OF THE ARMED FORCES.

        (a) In General.--Section 303a of title 37, United States Code, is
    amended--
                (1) by redesignating subsections (b) and (c) as subsections
            (c) and (d); and
                (2) by inserting after subsection (a) the following new
            subsection (b):

        ``(b)(1) Except as provided in paragraph (2) or as otherwise
    provided under a provision of this chapter, a commissioned officer in
    the Regular or Reserve Corps of the Public Health Service is entitled to
    special pay under a provision of this chapter in the same amounts, and
    under the same terms and conditions, as a commissioned officer of the
    armed forces is entitled to special pay under that provision.
        ``(2) A commissioned medical officer in the Regular or Reserve Corps
    of the Public Health Service (other than an officer serving in the
    Indian Health Service) may not receive additional special pay under
    section 302(a)(4) of this title for any period during which the officer
    is providing obligated service under the following provisions of law:
                ``(A) Section 338B of the Public Health Service Act (42
            U.S.C. 254l-1).
                ``(B) Section 225(e) of the Public Health Service Act, as
            that section was in effect before October 1, 1977.
                ``(C) Section 752 of the Public Health Service Act, as that
            section was in effect between October 1, 1977, and August 13,
            1981.''.

        (b) Repeal of Superseded Provisions.--Section 208(a) of the Public
    Health Service Act (42 U.S.C. 210(a)) is amended--
                (1) by striking paragraphs (2) and (3); and
                (2) by inserting after paragraph (1) the following new
            paragraph (2):

        ``(2) For provisions relating to the receipt of special pay by
    commissioned officers of the Regular and Reserve Corps while on active
    duty, see section 303a(b) of title 37, United States Code.''.

                Subtitle C--Travel and Transportation Allowances

    SEC. 641. ADVANCE PAYMENTS FOR TEMPORARY LODGING OF MEMBERS AND
                DEPENDENTS.

        (a) Subsistence Expenses.--Section 404a of title 37, United States
    Code, is amended--
                (1) by redesignating subsections (b) and (c) as subsections
            (d) and (e), respectively; and
                (2) by striking subsection (a) and inserting the following:

        ``(a) Payment or Reimbursement of Subsistence Expenses.--(1) Under
    regulations prescribed by the Secretaries concerned, a member of a
    uniformed service who is ordered to make a change of permanent station
    described in paragraph (2) shall be paid or reimbursed for subsistence
    expenses of the member and the member's dependents for the period
    (subject to subsection (c)) for which

    [[Page 114 STAT. 1654A-160]]

    the member and dependents occupy temporary quarters incident to that
    change of permanent station.
        ``(2) Paragraph (1) applies to the following:
                ``(A) A permanent change of station from any duty station to
            a duty station in the United States (other than Hawaii or
            Alaska).
                ``(B) A permanent change of station from a duty station in
            the United States (other than Hawaii or Alaska) to a duty
            station outside the United States or in Hawaii or Alaska.
                ``(C) In the case of an enlisted member who is reporting to
            the member's first permanent duty station, the change from the
            member's home of record or initial technical school to that
            first permanent duty station.

        ``(b) Payment in Advance.--The Secretary concerned may make any
    payment for subsistence expenses to a member under this section in
    advance of the member actually incurring the expenses. The amount of an
    advance payment made to a member shall be computed on the basis of the
    Secretary's determination of the average number of days that members and
    their dependents occupy temporary quarters under the circumstances
    applicable to the member and the member's dependents.
        ``(c) Maximum Payment Period.--(1) In the case of a change of
    permanent station described in subparagraph (A) or (C) of subsection
    (a)(2), the period for which subsistence expenses are to be paid or
    reimbursed under this section may not exceed 10 days.
        ``(2) In the case of a change of permanent station described in
    subsection (a)(2)(B)--
                ``(A) the period for which such expenses are to be paid or
            reimbursed under this section may not exceed five days; and
                ``(B) such payment or reimbursement may be provided only for
            expenses incurred before leaving the United States (other than
            Hawaii or Alaska).''.

        (b) Per Diem.--Section 405 of such title is amended to read as
    follows:

    ``Sec. 405. Travel and transportation allowances: per diem while on duty
                            outside the United States or in Hawaii or Alaska

        ``(a) Per Diem Authorized.--Without regard to the monetary
    limitation of this title, the Secretary concerned may pay a per diem to
    a member of the uniformed services who is on duty outside of the United
    States or in Hawaii or Alaska, whether or not the member is in a travel
    status. The Secretary may pay the per diem in advance of the accrual of
    the per diem.
        ``(b) Determination of Per Diem.--In determining the per diem to be
    paid under this section, the Secretary concerned shall consider all
    elements of the cost of living to members of the uniformed services
    under the Secretary's jurisdiction and their dependents, including the
    cost of quarters, subsistence, and other necessary incidental expenses.
    However, dependents may not be considered in determining the per diem
    allowance for a member in a travel status.
        ``(c) Treatment of Housing Cost and Allowance.--Housing cost and
    allowance may be disregarded in prescribing a station cost of living
    allowance under this section.''.

    [[Page 114 STAT. 1654A-161]]

        (c) Stylistic Amendments.--Section 404a of such title is further
    amended--
                (1) in subsection (d), as redesignated by subsection (a), by
            striking ``(d)'' and inserting ``(d) Daily Subsistence Rates.--
            ''; and
                (2) in subsection (e), as redesignated by subsection
            (a), by striking ``(e)'' and inserting ``(e) Maximum Daily
            Payment.--''.

    SEC. 642. ADDITIONAL TRANSPORTATION ALLOWANCE REGARDING BAGGAGE AND
                HOUSEHOLD EFFECTS.

        (a) Pet Quarantine Fees.--Section 406(a)(1) of title 37, United
    States Code, is amended by adding at the end the following new sentence:
    ``The Secretary concerned may also reimburse the member for mandatory
    pet quarantine fees for household pets, but not to exceed $275 per
    change of station, when the member incurs the fees incident to such
    change of station.''.
        (b) Effective Date.--The amendment made by subsection (a) shall take
    effect October 1, 2000.

    SEC. 643. INCENTIVE FOR SHIPPING AND STORING HOUSEHOLD GOODS IN LESS
                THAN AVERAGE WEIGHTS.

        Section 406(b)(1) of title 37, United States Code, is amended by
    adding at the end the following new subparagraph:
        ``(G) Under regulations prescribed by the Secretary of Defense, the
    Secretary concerned may pay a member a share (determined pursuant to
    such regulations) of the savings resulting to the United States when the
    total weights of the member's baggage and household effects shipped and
    stored under subparagraph (A) are less than the average weights of the
    baggage and household effects that are shipped and stored, respectively,
    by other members in the same grade and with the same dependents status
    as the member in connection with changes of station that are comparable
    to the member's change of station. The total savings shall be equal to
    the difference between the cost of shipping and cost of storing such
    average weights of baggage and household effects, respectively, and the
    corresponding costs associated with the weights of the member's baggage
    and household effects. For the administration of this subparagraph, the
    Secretary of Defense shall annually determine the average weights of
    baggage and household effects shipped and stored in connection with a
    change of temporary or permanent station.''.

    SEC. 644. EQUITABLE DISLOCATION ALLOWANCES FOR JUNIOR ENLISTED MEMBERS.

        Section 407(c)(1) of title 37, United States Code, is amended by
    inserting before the period at the end the following: ``, except that
    the Secretary concerned may not differentiate between members with
    dependents in pay grades E-1 through E-5''.

    SEC. 645. AUTHORITY TO REIMBURSE MILITARY RECRUITERS, SENIOR ROTC CADRE,
                AND MILITARY ENTRANCE PROCESSING PERSONNEL FOR CERTAIN
                PARKING EXPENSES.

        (a) Reimbursement Authority.--Chapter 7 of title 37, United States
    Code, is amended by inserting after section 411h the following new
    section:

    [[Page 114 STAT. 1654A-162]]

    ``Sec. 411i. Travel and transportation allowances: parking expenses

        ``(a) Reimbursement Authority.--Under regulations prescribed by the
    Secretary of Defense, the Secretary of a military department may
    reimburse eligible Department of Defense personnel for expenses incurred
    after October 1, 2001, for parking a privately owned vehicle at a place
    of duty described in subsection (b).
        ``(b) Eligibility.--A member of the Army, Navy, Air Force, or Marine
    Corps or an employee of the Department of Defense may be reimbursed
    under subsection (a) for parking expenses while--
                ``(1) assigned to duty as a recruiter for any of the armed
            forces;
                ``(2) assigned to duty at a military entrance processing
            facility of the armed forces; or
                ``(3) detailed for instructional and administrative duties
            at any institution where a unit of the Senior Reserve Officers'
            Training Corps is maintained.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    411h the following new item:

    ``411i. Travel and transportation allowances: parking expenses.''.

    SEC. 646. EXPANSION OF FUNDED STUDENT TRAVEL FOR DEPENDENTS.

        Section 430 of title 37, United States Code, is amended--
                (1) in subsections (a)(3) and (b)(1), by striking ``for the
            purpose of obtaining a secondary or undergraduate college
            education'' and inserting ``for the purpose of obtaining a
            formal education''; and
                (2) in subsection (f )--
                        (A) by striking ``In this section, the term'' and
                    inserting the following:

        ``In this section:
                ``(1) The term''; and
                        (B) by adding at the end the following new
                    subparagraph:
                ``(2) The term `formal education' means the following:
                        ``(A) A secondary education.
                        ``(B) An undergraduate college education.
                        ``(C) A graduate education pursued on a full-time
                    basis at an institution of higher education (as defined
                    in section 101 of the Higher Education Act of 1965 (20
                    U.S.C. 1001)).
                        ``(D) Vocational education pursued on a full-time
                    basis at a post-secondary vocational institution (as
                    defined in section 102(c) of the Higher Education Act of
                    1965 (20 U.S.C. 1002(c))).''.

    [[Page 114 STAT. 1654A-163]]

               Subtitle D--Retirement and Survivor Benefit Matters

    SEC. 651. EXCEPTION TO HIGH-36 MONTH RETIRED PAY COMPUTATION FOR MEMBERS
                RETIRED FOLLOWING A DISCIPLINARY REDUCTION IN GRADE.

        Section 1407 of title 10, United States Code, is amended--
                (1) in subsection (b), by striking ``The retired pay base''
            and inserting ``Except as provided in subsection (f ), the
            retired pay base''; and
                (2) by adding at the end the following new subsection:

        ``(f ) Exception for Enlisted Members Reduced in Grade and Officers
    Who Do Not Serve Satisfactorily in Highest Grade Held.--
                ``(1) Computation based on pre-high-three rules.--In the
            case of a member or former member described in paragraph (2),
            the retired pay base or retainer pay base is determined under
            section 1406 of this title in the same manner as if the member
            or former member first became a member of a uniformed service
            before September 8, 1980.
                ``(2) Affected members.--A member or former member referred
            to in paragraph (1) is a member or former member who by reason
            of conduct occurring after the date of the enactment of this
            subsection--
                        ``(A) in the case of a member retired in an enlisted
                    grade or transferred to the Fleet Reserve or Fleet
                    Marine Corps Reserve, was at any time reduced in grade
                    as the result of a court-martial sentence, nonjudicial
                    punishment, or an administrative action, unless the
                    member was subsequently promoted to a higher enlisted
                    grade or appointed to a commissioned or warrant grade;
                    and
                        ``(B) in the case of an officer, is retired in a
                    grade lower than the highest grade in which served by
                    reason of denial of a determination or certification
                    under section 1370 of this title that the officer served
                    on active duty satisfactorily in that grade.
                ``(3) Special rule for enlisted members.--In the case of a
            member who retires within three years after having been reduced
            in grade as described in paragraph (2)(A), who retires in an
            enlisted grade that is lower than the grade from which reduced,
            and who would be subject to paragraph (1) but for a subsequent
            promotion to a higher enlisted grade or a subsequent appointment
            to a warrant or commissioned grade, the rates of basic pay used
            in the computation of the member's high-36 average for the
            period of the member's service in a grade higher than the grade
            in which retired shall be the rates of pay that would apply if
            the member had been serving for that period in the grade in
            which retired.''.

    SEC. 652. INCREASE IN MAXIMUM NUMBER OF RESERVE RETIREMENT POINTS THAT
                MAY BE CREDITED IN ANY YEAR.

        Section 12733(3) of title 10, United States Code, is amended by
    striking ``but not more than'' and all that follows and inserting ``but
    not more than--
                        ``(A) 60 days in any one year of service before the
                    year of service that includes September 23, 1996;

    [[Page 114 STAT. 1654A-164]]

                        ``(B) 75 days in the year of service that includes
                    September 23, 1996, and in any subsequent year of
                    service before the year of service that includes the
                    date of the enactment of the Floyd D. Spence National
                    Defense Authorization Act for Fiscal Year 2001; and
                        ``(C) 90 days in the year of service that includes
                    the date of the enactment of the Floyd D. Spence
                    National Defense Authorization Act for Fiscal Year 2001
                    and in any subsequent year of service.''.

    SEC. 653. RETIREMENT FROM ACTIVE RESERVE SERVICE AFTER REGULAR
                RETIREMENT.

        (a) Conversion to Reserve Retirement.--(1) Chapter 1223 of title 10,
    United States Code, is amended by adding at the end the following new
    section:

    ``Sec. 12741. Retirement from active reserve service performed after
                            regular retirement

        ``(a) Election of Reserve Retired Pay.--A person who, after becoming
    entitled to retired or retainer pay under chapter 65, 367, 571, or 867
    of this title, serves in an active status in a reserve component is
    entitled to retired pay under this chapter if--
                ``(1) the person would, but for paragraphs (3) and (4) of
            section 12731(a) of this title, otherwise be entitled to retired
            pay under this chapter;
                ``(2) the person elects under this section to received
            retired pay under this chapter; and
                ``(3) the person's service in an active status after having
            become entitled to retired or retainer pay under that chapter is
            determined by the Secretary concerned to have been satisfactory.

        ``(b) Actions To Effectuate Election.--As of the effective date of
    an election made by a person under subsection (a), the Secretary
    concerned shall--
                ``(1) terminate the person's entitlement to retired or
            retainer pay under the applicable chapter of this title referred
            to in subsection (a); and
                ``(2) in the case of a reserve commissioned officer,
            transfer the officer to the Retired Reserve.

        ``(c) Time and Form of Election.--An election under subsection (b)
    shall be made within such time and in such form as the Secretary
    concerned requires.
        ``(d) Effective Date of Election.--An election made by a person
    under subsection (b) shall be effective--
                ``(1) except as provided in paragraph (2)(B), as of the date
            on which the person attains 60 years of age, if the Secretary
            concerned receives the election in accordance with this section
            within 180 days after that date; or
                ``(2) on the first day of the first month that begins after
            the date on which the Secretary concerned receives the election
            in accordance with this section, if--
                        ``(A) the date of the receipt of the election is
                    more than 180 days after the date on which the person
                    attains 60 years of age; or
                        ``(B) the person retires from service in an active
                    status within that 180-day period.''.

    [[Page 114 STAT. 1654A-165]]

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

    ``12741. Retirement from active reserve service performed after regular
               retirement.''.

        (b) Effective Date.--Section 12741 of title 10, United States Code,
    as added by subsection (a), shall take effect 180 days after the date of
    the enactment of this Act and shall apply with respect to retired pay
    payable for months beginning on or after that effective date.

    SEC. 654. SAME TREATMENT FOR FEDERAL JUDGES AS FOR OTHER FEDERAL
                OFFICIALS REGARDING PAYMENT OF MILITARY RETIRED PAY.

        (a) Article III Judges.--(1) Section 371 of title 28, United States
    Code, is amended--
                (A) by striking subsection (e); and
                (B) by redesignating subsection (f ) as subsection (e).

        (2) Subsection (b) of such section is amended by striking
    ``subsection (f )'' each place it appears and inserting ``subsection
    (e)''.
        (b) Judges of United States Court of Federal Claims.--(1) Section
    180 of title 28, United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 7 of such
    title is amended by striking the item relating to section 180.
        (c) Retroactive Effective Date.--The amendments made by this section
    shall take effect as of October 1, 1999.

    SEC. 655. RESERVE COMPONENT SURVIVOR BENEFIT PLAN SPOUSAL CONSENT
                REQUIREMENT.

        (a) Eligible Participants.--Subsection (a)(2)(B) of section 1448 of
    title 10, United States Code, is amended to read as follows:
                        ``(B) Reserve-component annuity participants.--A
                    person who (i) is eligible to participate in the Plan
                    under paragraph (1)(B), and (ii) is married or has a
                    dependent child when he is notified under section
                    12731(d) of this title that he has completed the years
                    of service required for eligibility for reserve-
                    component retired pay, unless the person elects (with
                    his spouse's concurrence, if required under paragraph
                    (3)) not to participate in the Plan before the end of
                    the 90-day period beginning on the date on which he
                    receives that notification.''.

        (b) Subsequent Election To Participate.--Subsection (a)(3)(B) of
    such section is amended--
                (1) by striking ``who elects to provide'' and inserting
            ``who is eligible to provide'';
                (2) by redesignating clauses (i) and (ii) as clauses (iii)
            and (iv), respectively; and
                (3) by inserting before clause (iii) (as so redesignated)
            the following new clauses:
                              ``(i) not to participate in the Plan;
                              ``(ii) to designate under subsection (e)(2)
                          the effective date for commencement of annuity
                          payments under the Plan in the event that the
                          member dies before becoming 60 years of age to be
                          the 60th anniversary of the member's birth (rather
                          than the day after the date of the member's
                          death);''.

        (c) Conforming Amendments.--Subchapter II of chapter 73 of such
    title is further amended--

    [[Page 114 STAT. 1654A-166]]

                (1) in section 1448(a)(2), by striking ``described in
            clauses (i) and (ii)'' in the sentence following subparagraph
            (B) (as amended by subsection (a)) and all that follows through
            ``that clause'' and inserting ``who elects under subparagraph
            (B) not to participate in the Plan'';
                (2) in section 1448(a)(4)--
                        (A) by striking ``not to participate in the Plan''
                    in subparagraph (A); and
                        (B) by striking ``to participate in the Plan'' in
                    subparagraph (B);
                (3) in section 1448(e), by striking ``a person electing to
            participate'' and all that follows through ``making such
            election'' and inserting ``a person is required to make a
            designation under this subsection, the person''; and
                (4) in section 1450( j)(1), by striking ``An annuity'' and
            all that follows through the period and inserting ``A reserve-
            component annuity shall be effective in accordance with the
            designation made under section 1448(e) of this title by the
            person providing the annuity.''.

        (d) Effective Date.--The amendments made by this section apply only
    with respect to a notification under section 12731(d) of title 10,
    United States Code, made after January 1, 2001, that a member of a
    reserve component has completed the years of service required for
    eligibility for reserve-component retired pay.

    SEC. 656. SENSE OF CONGRESS ON INCREASING SURVIVOR BENEFIT PLAN
                ANNUITIES FOR SURVIVING SPOUSES AGE 62 OR OLDER.

        (a) Sense of Congress.--It is the sense of Congress that, subject to
    the requirements and limitations of congressional budget procedures
    relating to the enactment of new (or increased) entitlement authority,
    there should be enacted legislation that increases the annuities
    provided under the Survivor Benefit Plan program for surviving spouses
    who are 62 years of age or older in order to reduce (and eventually
    eliminate) the different levels of annuities under that program for
    surviving spouses who are under age 62 and those who are 62 years of age
    and older.
        (b) Survivor Benefit Plan.--For purposes of this section, the term
    ``Survivor Benefit Plan program'' means the program of annuities for
    survivors of members of the uniformed services provided under subchapter
    II of chapter 73 of title 10, United States Code.

    SEC. 657. REVISION TO SPECIAL COMPENSATION AUTHORITY TO REPEAL EXCLUSION
                OF UNIFORMED SERVICES RETIREES IN RECEIPT OF DISABILITY
                RETIRED PAY.

        (a) Eligibility for Chapter 61 Retirees.--Section 1413(c) of title
    10, United States Code, is amended by striking ``(other than a member
    who is retired under chapter 61 of this title)''.
        (b) Effective Date.--The amendment made by subsection (a) shall take
    effect on October 1, 2001, and shall apply to months that begin on or
    after that date. No benefit may be paid under section 1413 of title 10,
    United States Code, to any person by reason of the amendment made by
    subsection (a) for any period before that date.

    [[Page 114 STAT. 1654A-167]]

                            Subtitle E--Other Matters

    SEC. 661. PARTICIPATION IN THRIFT SAVINGS PLAN.

        (a) Effective Date of Authority To Participate.--Section 663 of the
    National Defense Authorization Act for Fiscal Year 2000 (Public Law 106-
    65; 113 Stat. 673; 5 U.S.C. 8440 note) is amended to read as follows:

    ``SEC. 663. EFFECTIVE DATE.

        ``(a) In General.--Except as provided in subsection (b), the
    amendments made by this subtitle shall take effect 180 days after the
    date of the enactment of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001.
        ``(b) Postponement Authority.--(1) The Secretary of Defense may
    postpone by up to 180 days after the date that would otherwise apply
    under subsection (a)--
                ``(A) the date as of which the amendments made by this
            subtitle shall take effect; or
                ``(B) the date as of which section 211(a)(2) of title 37,
            United States Code (as added by this subtitle) shall take
            effect.

        ``(2) Postponement authority under this subsection may be exercised
    only to the extent that the failure to do so would prevent the Federal
    Retirement Thrift Investment Board from being able to provide timely and
    accurate services to investors or would place an excessive burden on the
    administrative capacity of the Board to accommodate participants in the
    Thrift Savings Plan, as determined by the Secretary of Defense after
    consultation with the Executive Director (appointed by the Board).
        ``(3) Paragraph (1) includes the authority to postpone the effective
    date of the amendments made by this subtitle (apart from section
    211(a)(2) of title 37, United States Code), and the effective date of
    such section 211(a)(2), by different lengths of time.
        ``(4) The Secretary shall notify the congressional defense
    committees, the Committee on Government Reform of the House of
    Representatives, and the Committee on Governmental Affairs of the Senate
    of any determination made under this subsection.''.
        (b) Regulations.--Section 661(b) of such Act (113 Stat. 672; 5
    U.S.C. 8440e note) is amended by striking ``the date on which'' and all
    that follows through ``later,'' and inserting ``the 180th day after the
    date of the enactment of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001,''.
        (c) Conforming Amendment.--Section 8440e(b)(2)(B)(i) of title 5,
    United States Code, is amended by striking ``as of'' and all that
    follows through ``thereof )'' and inserting ``as of the effective date
    that applies with respect to such individual under section 663 of the
    National Defense Authorization Act for Fiscal Year 2000''.

    SEC. 662. DETERMINATIONS OF INCOME ELIGIBILITY FOR SPECIAL SUPPLEMENTAL
                FOOD PROGRAM.

        Section 1060a(c)(1)(B) of title 10, United States Code, is amended
    by striking the second sentence and inserting the following new
    sentence: ``In the application of such criterion, the Secretary shall
    exclude from income any basic allowance for housing as permitted under
    section 17(d)(2)(B) of the Child Nutrition Act of 1966 (42 U.S.C.
    1786(d)(2)(B)).''.

    [[Page 114 STAT. 1654A-168]]

    SEC. 663. BILLETING SERVICES FOR RESERVE MEMBERS TRAVELING FOR INACTIVE-
                DUTY TRAINING.

        (a) In General.--(1) Chapter 1217 of title 10, United States Code,
    is amended by inserting after section 12603 the following new section:

    ``Sec. 12604. Billeting in Department of Defense facilities: Reserves
                            attending inactive-duty training

        ``(a) Authority for Billeting on Same Basis as Active Duty Members
    Traveling Under Orders.--The Secretary of Defense shall prescribe
    regulations authorizing a Reserve traveling to inactive-duty training at
    a location more than 50 miles from that Reserve's residence to be
    eligible for billeting in Department of Defense facilities on the same
    basis and to the same extent as a member of the armed forces on active
    duty who is traveling under orders away from the member's permanent duty
    station.
        ``(b) Proof of Reason for Travel.--The Secretary shall include in
    the regulations the means for confirming a Reserve's eligibility for
    billeting under subsection (a).''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 12603 the
    following new item:

    ``12604. Billeting in Department of Defense facilities: Reserves
               attending inactive-duty training.''.

        (b) Effective Date.--Section 12604 of title 10, United States Code,
    as added by subsection (a), shall apply with respect to periods of
    inactive-duty training beginning more than 180 days after the date of
    the enactment of this Act.

    SEC. 664. SETTLEMENT OF CLAIMS FOR PAYMENTS FOR UNUSED ACCRUED LEAVE AND
                FOR RETIRED PAY.

        (a) Claims for Payments for Unused Accrued Leave.--Subsection
    (a)(1)(A) of section 3702 of title 31, United States Code, is amended by
    inserting ``payments for unused accrued leave,'' after
    ``transportation,''.
        (b) Waiver of Time Limitations.--Subsection (e)(1) of such section
    is amended by striking ``claim for pay or allowances provided under
    title 37'' and inserting ``claim for pay, allowances, or payment for
    unused accrued leave under title 37 or a claim for retired pay under
    title 10''.

    SEC. 665. ADDITIONAL BENEFITS AND PROTECTIONS FOR PERSONNEL INCURRING
                INJURY, ILLNESS, OR DISEASE IN THE PERFORMANCE OF FUNERAL
                HONORS DUTY.

        (a) Incapacitation Pay.--Section 204 of title 37, United States
    Code, is amended--
                (1) in subsection (g)(1)--
                        (A) by striking ``or'' at the end of subparagraph
                    (C);
                        (B) by striking the period at the end of
                    subparagraph (D) and inserting ``; or''; and
                        (C) by adding at the end the following:
                ``(E) in line of duty while--
                        ``(i) serving on funeral honors duty under section
                    12503 of title 10 or section 115 of title 32;
                        ``(ii) traveling to or from the place at which the
                    duty was to be performed; or

    [[Page 114 STAT. 1654A-169]]

                        ``(iii) remaining overnight at or in the vicinity of
                    that place immediately before so serving, if the place
                    is outside reasonable commuting distance from the
                    member's residence.''; and
                (2) in subsection (h)(1)--
                        (A) by striking ``or'' at the end of subparagraph
                    (C);
                        (B) by striking the period at the end of
                    subparagraph (D) and inserting ``; or''; and
                        (C) by adding at the end the following:
                ``(E) in line of duty while--
                        ``(i) serving on funeral honors duty under section
                    12503 of title 10 or section 115 of title 32;
                        ``(ii) traveling to or from the place at which the
                    duty was to be performed; or
                        ``(iii) remaining overnight at or in the vicinity of
                    that place immediately before so serving, if the place
                    is outside reasonable commuting distance from the
                    member's residence.''.

        (b) Tort Claims.--Section 2671 of title 28, United States Code, is
    amended by inserting ``115,'' in the second paragraph after ``members of
    the National Guard while engaged in training or duty under section''.
        (c) Applicability.--(1) The amendments made by subsection (a) shall
    apply with respect to months beginning on or after the date of the
    enactment of this Act.
        (2) The amendment made by subsection (b) shall apply with respect to
    acts and omissions occurring before, on, or after the date of the
    enactment of this Act.

    SEC. 666. AUTHORITY FOR EXTENSION OF DEADLINE FOR FILING CLAIMS
                ASSOCIATED WITH CAPTURE AND INTERNMENT OF CERTAIN PERSONS BY
                NORTH VIETNAM.

        Section 657(d)(1) of the National Defense Authorization Act for
    Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2585) is amended by
    adding at the end the following new sentence: ``The Secretary may, in
    the case of any claim under this section, extend the time limitation
    under the preceding sentence by up to 18 months if the Secretary
    determines that such an extension in the case of that claim is necessary
    to prevent an injustice or that failure of the claimant to file the
    claim within that time limitation is due to excusable neglect.''.

    SEC. 667. BACK PAY FOR MEMBERS OF THE NAVY AND MARINE CORPS SELECTED FOR
                PROMOTION WHILE INTERNED AS PRISONERS OF WAR DURING WORLD
                WAR II.

        (a) Entitlement of Former Prisoners of War.--Upon receipt of a claim
    made in accordance with this section, the Secretary of the Navy shall
    pay, from any appropriation currently available to the Secretary, back
    pay to any person who, by reason of being interned as a prisoner of war
    while serving as a member of the Navy or the Marine Corps during World
    War II, was not available to accept a promotion for which the person had
    been selected.
        (b) Payment to Surviving Spouse of Deceased Former Member.--In the
    case of a person described in subsection (a) who is deceased, the back
    pay for that person under this section shall be paid to the living
    surviving spouse of that person, if any. If there is no living surviving
    spouse, no claim may be paid under this section with respect to that
    person.

    [[Page 114 STAT. 1654A-170]]

        (c) Amount of Back Pay.--(1) The amount of back pay payable to or
    for a person described in subsection (a) is the amount equal to the
    difference between--
                (A) the total amount of basic pay that would have been paid
            to that person for service in the Navy or the Marine Corps for
            the back-pay computation period if the person had been promoted
            to the grade to which selected to be promoted; and
                (B) the total amount of basic pay that was actually paid to
            or for that person for such service for the back-pay computation
            period.

        (2) For purposes of paragraph (1), the back-pay computation period
    for a person covered by subsection (a) is the period--
                (A) beginning on the date (as determined by the Secretary of
            the Navy) as of when that person's promotion would have been
            effective for pay purposes but for the person's internment as a
            prisoner of war; and
                (B) ending on the earliest of--
                        (i) the date of the person's discharge or release
                    from active duty;
                        (ii) the date on which the person's promotion to
                    that grade in fact became effective for pay purposes;
                    and
                        (iii) the end of World War II.

        (d) Time Limitations.--(1) To be eligible for a payment under this
    section, a claimant must file a claim for such payment with the
    Secretary of the Navy within two years after the effective date of the
    regulations prescribed to carry out this section.
        (2) Not later than 18 months after receiving a claim for payment
    under this section, the Secretary shall determine the eligibility of the
    claimant for payment of the claim. Subject to subsection (f ), if the
    Secretary determines that the claimant is eligible for the payment, the
    Secretary shall promptly pay the claim.
        (e) Regulations.--Not later than six months after the date of the
    enactment of this Act, the Secretary of the Navy shall prescribe
    regulations to carry out this section. Such regulations shall include
    procedures by which persons may submit claims for payment under this
    section.
        (f ) Limitation on Disbursement.--(1) Notwithstanding any power of
    attorney, assignment of interest, contract, or other agreement, the
    actual disbursement of a payment of back pay under this section may be
    made only to a person who is eligible for the payment under subsection
    (a) or (b).
        (2) In the case of a claim approved for payment but not disbursed as
    a result of paragraph (1), the Secretary shall hold the funds in trust
    for the person in an interest bearing account until such time as the
    person makes an election under such paragraph.
        (g) Attorney Fees.--Notwithstanding any contract, the representative
    of a person may not receive, for services rendered in connection with
    the claim of, or with respect to, a person under this section, more than
    10 percent of the amount of a payment made under this section on that
    claim.
        (h) Outreach.--The Secretary of the Navy shall take such actions as
    are necessary to ensure that the benefits and eligibility for benefits
    under this section are widely publicized by means designed to provide
    actual notice of the availability of the benefits in a timely manner to
    the maximum number of eligible persons practicable.

    [[Page 114 STAT. 1654A-171]]

        (i) Definition.--In this section, the term ``World War II'' has the
    meaning given that term in section 101(8) of title 38, United States
    Code.

    SEC. 668. SENSE OF CONGRESS CONCERNING FUNDING FOR RESERVE COMPONENTS.

        It is the sense of Congress that it is in the national interest for
    the President, in the President's Budget for each fiscal year, to
    provide funds for the reserve components of the Armed Forces at a level
    sufficient to ensure that the reserve components are able to meet the
    requirements, including training requirements, specified for them in the
    National Military Strategy.

                        TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

    Sec. 701. Provision of domiciliary and custodial care for CHAMPUS
               beneficiaries and certain former CHAMPUS beneficiaries.
    Sec. 702. Chiropractic health care for members on active duty.
    Sec. 703. School-required physical examinations for certain minor
               dependents.
    Sec. 704. Two-year extension of dental and medical benefits for
               surviving dependents of certain deceased members.
    Sec. 705. Two-year extension of authority for use of contract physicians
               at military entrance processing stations and elsewhere
               outside medical treatment facilities.
    Sec. 706. Medical and dental care for Medal of Honor recipients.

                         Subtitle B--Senior Health Care

    Sec. 711. Implementation of TRICARE senior pharmacy program.
    Sec. 712. Conditions for eligibility for CHAMPUS and TRICARE upon the
               attainment of age 65; expansion and modification of medicare
               subvention project.
    Sec. 713. Accrual funding for health care for medicare-eligible retirees
               and dependents.

                           Subtitle C--TRICARE Program

    Sec. 721. Improvement of access to health care under the TRICARE
               program.
    Sec. 722. Additional beneficiaries under TRICARE Prime Remote program in
               the continental United States.
    Sec. 723. Modernization of TRICARE business practices and increase of
               use of military treatment facilities.
    Sec. 724. Extension of TRICARE managed care support contracts.
    Sec. 725. Report on protections against health care providers seeking
               direct reimbursement from members of the uniformed services.
    Sec. 726. Voluntary termination of enrollment in TRICARE retiree dental
               program.
    Sec. 727. Claims processing improvements.
    Sec. 728. Prior authorizations for certain referrals and
               nonavailability-of-health-care statements.

                       Subtitle D--Demonstration Projects

    Sec. 731. Demonstration project for expanded access to mental health
               counselors.
    Sec. 732. Teleradiology demonstration project.
    Sec. 733. Health care management demonstration program.

        Subtitle E--Joint Initiatives With Department of Veterans Affairs

    Sec. 741. VA-DOD sharing agreements for health services.
    Sec. 742. Processes for patient safety in military and veterans health
               care systems.
    Sec. 743. Cooperation in developing pharmaceutical identification
               technology.

                            Subtitle F--Other Matters

    Sec. 751. Management of anthrax vaccine immunization program.
    Sec. 752. Elimination of copayments for immediate family.
    Sec. 753. Medical informatics.
    Sec. 754. Patient care reporting and management system.
    Sec. 755. Augmentation of Army Medical Department by detailing Reserve
               officers of the Public Health Service.

    [[Page 114 STAT. 1654A-172]]

    Sec. 756. Privacy of Department of Defense medical records.
    Sec. 757. Authority to establish special locality-based reimbursement
               rates; reports.
    Sec. 758. Reimbursement for certain travel expenses.
    Sec. 759. Reduction of cap on payments.
    Sec. 760. Training in health care management and administration.
    Sec. 761. Studies on feasibility of sharing biomedical research
               facility.
    Sec. 762. Study on comparability of coverage for physical, speech, and
               occupational therapies.

                        Subtitle A--Health Care Services

    SEC. 701. PROVISION OF DOMICILIARY AND CUSTODIAL CARE FOR CHAMPUS
                BENEFICIARIES AND CERTAIN FORMER CHAMPUS BENEFICIARIES.

        (a) Continuation of Care for Certain CHAMPUS Beneficiaries.--Section
    703(a)(1) of the National Defense Authorization Act for Fiscal Year 2000
    (Public Law 106-65; 113 Stat. 682; 10 U.S.C. 1077 note) is amended by
    inserting before the period at the end the following: ``or by the
    prohibition in section 1086(d)(1) of such title''.
        (b) Reimbursement for Services Provided.--Section 703(a) of such Act
    is further amended by adding at the end the following new paragraph:
        ``(4) The Secretary may provide payment for domiciliary or custodial
    care services provided to an eligible beneficiary for which payment was
    discontinued by reason of section 1086(d) of title 10, United States
    Code, and subsequently reestablished under other legal authority. Such
    payment is authorized for the period beginning on the date of
    discontinuation of payment for domiciliary or custodial care services
    and ending on the date of reestablishment of payment for such
    services.''.
        (c) Cost Limitation for Individual Case Management Program.--(1)
    Section 1079(a)(17) of title 10, United States Code, is amended--
                (A) by inserting ``(A)'' after ``(17)''; and
                (B) by adding at the end the following:
                ``(B) The total amount expended under subparagraph (A) for a
            fiscal year may not exceed $100,000,000.''.

        (2) Section 703 of the National Defense Authorization Act for Fiscal
    Year 2000 is further amended by adding at the end the following:
        ``(e) Cost Limitation.--The total amount paid for services for
    eligible beneficiaries under subsection (a) for a fiscal year (together
    with the costs of administering the authority under that subsection)
    shall be included in the expenditures limited by section 1079(a)(17)(B)
    of title 10, United States Code.''.
        (3) The amendments made by paragraphs (1) and (2) shall apply to
    fiscal years after fiscal year 1999.
        (d) Study Required.--(1) Not later than the date that is three
    months after the date of the enactment of this Act, the Comptroller
    General of the United States shall undertake a study to evaluate the
    coordination and effectiveness of the supplemental disability health
    care programs of the Department of Defense, the Program for Persons with
    Disabilities and the Individual Case Management Program for Persons with
    Disabilities, as such programs relate to other elements of the TRICARE
    program in meeting the health care needs of disabled dependents of
    members of the Armed Forces on active duty. The Comptroller General
    shall examine--

    [[Page 114 STAT. 1654A-173]]

                (A) the number of such dependents who receive services under
            the Program for Persons with Disabilities, and the number of
            beneficiaries receiving care under the Individual Case
            Management Program for Persons with Disabilities, and a
            description of the patterns of use and expenditures for services
            provided under such programs;
                (B) the effectiveness of the existing system for
            coordinating the provision of services under the TRICARE program
            and the supplemental disability programs of the Department of
            Defense, including the comprehensiveness of services and the
            cost effectiveness of providing services;
                (C) the extent to which the monthly maximum benefit imposed
            under current law under the Program for Persons with
            Disabilities affects the ability of beneficiaries to obtain
            needed health care services;
                (D) the number of beneficiaries who are receiving services
            that supplement services to the TRICARE program under the
            Program for Persons with Disabilities and the Individual Case
            Management Program for Persons with Disabilities; and
                (E) the extent to which costs or lack of coverage for health
            care services for disabled dependents of members of the Armed
            Forces on active duty under existing military health care
            programs has caused increased enrollment of such dependents in
            medicaid programs.

        (2) Not later than April 16, 2001, the Comptroller General shall
    submit to Congress a report on the results of the study under this
    section, including recommendations for legislative or administrative
    changes for providing a comprehensive, efficient, and complete system of
    health care services for disabled dependents of members of the Armed
    Forces on active duty.

    SEC. 702. CHIROPRACTIC HEALTH CARE FOR MEMBERS ON ACTIVE DUTY.

        (a) Plan Required.--(1) Not later than March 31, 2001, the Secretary
    of Defense shall complete development of a plan to provide chiropractic
    health care services and benefits, as a permanent part of the Defense
    Health Program (including the TRICARE program), for all members of the
    uniformed services who are entitled to care under section 1074(a) of
    title 10, United States Code.
        (2) The plan shall provide for the following:
                (A) Access, at designated military medical treatment
            facilities, to the scope of chiropractic services as determined
            by the Secretary, which includes, at a minimum, care for neuro-
            musculoskeletal conditions typical among military personnel on
            active duty.
                (B) A detailed analysis of the projected costs of fully
            integrating chiropractic health care services into the military
            health care system.
                (C) An examination of the proposed military medical
            treatment facilities at which such services would be provided.
                (D) An examination of the military readiness requirements
            for chiropractors who would provide such services.
                (E) An examination of any other relevant factors that the
            Secretary considers appropriate.
                (F) Phased-in implementation of the plan over a 5-year
            period, beginning on October 1, 2001.

    [[Page 114 STAT. 1654A-174]]

        (b) Consultation Requirements.--The Secretary of Defense shall
    consult with the other administering Secretaries described in section
    1073 of title 10, United States Code, and the oversight advisory
    committee established under section 731 of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 10 U.S.C.
    1092 note) regarding the following:
                (1) The development and implementation of the plan required
            under subsection (a).
                (2) Each report that the Secretary is required to submit to
            Congress regarding the plan.
                (3) The selection of the military medical treatment
            facilities at which the chiropractic services described in
            subsection (a)(2)(A) are to be provided.

        (c) Continuation of Current Services.--Until the plan required under
    subsection (a) is implemented, the Secretary shall continue to furnish
    the same level of chiropractic health care services and benefits under
    the Defense Health Program that is provided during fiscal year 2000 at
    military medical treatment facilities that provide such services and
    benefits.
        (d) Report Required.--Not later than January 31, 2001, the Secretary
    of Defense shall submit a report on the plan required under subsection
    (a), together with appropriate appendices and attachments, to the
    Committees on Armed Services of the Senate and the House of
    Representatives.
        (e) GAO Reports.--The Comptroller General shall monitor the
    development and implementation of the plan required under subsection
    (a), including the administration of services and benefits under the
    plan, and periodically submit to the committees referred to in
    subsection (d) written reports on such development and implementation.

    SEC. 703. SCHOOL-REQUIRED PHYSICAL EXAMINATIONS FOR CERTAIN MINOR
                DEPENDENTS.

        Section 1076 of title 10, United States Code, is amended by adding
    at the end the following:
        ``(f )(1) The administering Secretaries shall furnish an eligible
    dependent a physical examination that is required by a school in
    connection with the enrollment of the dependent as a student in that
    school.
        ``(2) A dependent is eligible for a physical examination under
    paragraph (1) if the dependent--
                ``(A) is entitled to receive medical care under subsection
            (a) or is authorized to receive medical care under subsection
            (b); and
                ``(B) is at least 5 years of age and less than 12 years of
            age.

        ``(3) Nothing in paragraph (2) may be construed to prohibit the
    furnishing of a school-required physical examination to any dependent
    who, except for not satisfying the age requirement under that paragraph,
    would otherwise be eligible for a physical examination required to be
    furnished under this subsection.''.

    SEC. 704. TWO-YEAR EXTENSION OF DENTAL AND MEDICAL BENEFITS FOR
                SURVIVING DEPENDENTS OF CERTAIN DECEASED MEMBERS.

        (a) Dental Benefits.--Section 1076a(k)(2) of title 10, United States
    Code, is amended by striking ``one-year period'' and inserting ``three-
    year period''.

    [[Page 114 STAT. 1654A-175]]

        (b) Medical Benefits.--Section 1079(g) of title 10, United States
    Code, is amended by striking ``one-year period'' in the second sentence
    and inserting ``three-year period''.

    SEC. 705. TWO-YEAR EXTENSION OF AUTHORITY FOR USE OF CONTRACT PHYSICIANS
                AT MILITARY ENTRANCE PROCESSING STATIONS AND ELSEWHERE
                OUTSIDE MEDICAL TREATMENT FACILITIES.

        Section 1091(a)(2) of title 10, United States Code, is amended by
    striking ``December 31, 2000'' in the second sentence and inserting
    ``December 31, 2002''.

    SEC. 706. MEDICAL AND DENTAL CARE FOR MEDAL OF HONOR RECIPIENTS.

        (a) In General.--(1) Chapter 55 of title 10, United States Code, is
    amended by inserting after section 1074g the following new section:

    ``Sec. 1074h. Medical and dental care: medal of honor recipients;
                            dependents

        ``(a) Medal of Honor Recipients.--A former member of the armed
    forces who is a Medal of Honor recipient and who is not otherwise
    entitled to medical and dental benefits under this chapter may, upon
    request, be given medical and dental care provided by the administering
    Secretaries in the same manner as if entitled to retired pay.
        ``(b) Immediate Dependents.--A person who is an immediate dependent
    of a Medal of Honor recipient and who is not otherwise entitled to
    medical and dental benefits under this chapter may, upon request, be
    given medical and dental care provided by the administering Secretaries
    in the same manner as if the Medal of Honor recipient were, or (if
    deceased) was at the time of death, entitled to retired pay.
        ``(c) Definitions.--In this section:
                ``(1) The term `Medal of Honor recipient' means a person who
            has been awarded a medal of honor under section 3741, 6241, or
            8741 of this title or section 491 of title 14.
                ``(2) The term `immediate dependent' means a dependent
            described in subparagraph (A), (B), (C), or (D) of section
            1072(2) of this title.''.

        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1074g the
    following new item:

    ``1074h. Medical and dental care: medal of honor recipients;
               dependents.''.

        (b) Effective Date.--Section 1074h of title 10, United States Code,
    shall apply with respect to medical and dental care provided on or after
    the date of the enactment of this Act.

                         Subtitle B--Senior Health Care

    SEC. 711. IMPLEMENTATION OF TRICARE SENIOR PHARMACY PROGRAM.

        (a) Expansion of TRICARE Senior Pharmacy Program.--Section 723 of
    the Strom Thurmond National Defense Authorization Act for Fiscal Year
    1999 (Public Law 105-261; 112 Stat. 2068; 10 U.S.C. 1073 note) is
    amended--

    [[Page 114 STAT. 1654A-176]]

                (1) in subsection (a)--
                        (A) by striking ``October 1, 1999'' and inserting
                    ``April 1, 2001''; and
                        (B) by striking ``who reside in an area selected
                    under subsection (f )'';
                (2) by amending subsection (b) to read as follows:

        ``(b) Program Requirements.--The same coverage for pharmacy services
    and the same requirements for cost sharing and reimbursement as are
    applicable under section 1086 of title 10, United States Code, shall
    apply with respect to the program required by subsection (a).'';
                (3) in subsection (d)--
                        (A) by striking ``December 31, 2000'' and inserting
                    ``December 31, 2001''; and
                        (B) by striking ``December 31, 2002'' and inserting
                    ``December 31, 2003'';
                (4) in subsection (e)--
                        (A) in paragraph (1)--
                              (i) in subparagraph (B), by inserting ``and''
                          after the semicolon;
                              (ii) in subparagraph (C), by striking ``;
                          and'' and inserting a period; and
                              (iii) by striking subparagraph (D); and
                        (B) in paragraph (2), by striking ``at the time''
                    and all that follows through ``facility'' and inserting
                    ``, before April 1, 2001, has attained the age of 65 and
                    did not enroll in the program described in such
                    paragraph''; and
                (5) by striking subsection (f ).

        (b) Termination of Demonstration Project and Retail Pharmacy Network
    Requirements.--Section 702 of the National Defense Authorization Act for
    Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 1079 note) is amended by
    adding at the end the following:
        ``(h) Termination.--This section shall cease to apply to the
    Secretary of Defense on the date after the implementation of section 711
    of the Floyd D. Spence National Defense Authorization Act for Fiscal
    Year 2001 that the Secretary determines appropriate, with a view to
    minimizing instability with respect to the provision of pharmacy
    benefits, but in no case later than the date that is one year after the
    date of the enactment of such Act.''.

    SEC. 712. CONDITIONS FOR ELIGIBILITY FOR CHAMPUS AND TRICARE UPON THE
                ATTAINMENT OF AGE 65; EXPANSION AND MODIFICATION OF MEDICARE
                SUBVENTION PROJECT.

        (a) Eligibility of Medicare Eligible Persons.--(1) Section 1086(d)
    of title 10, United States Code, is amended--
                (A) by striking paragraph (2) and inserting the following:

        ``(2) The prohibition contained in paragraph (1) shall not apply to
    a person referred to in subsection (c) who--
                ``(A) is enrolled in the supplementary medical insurance
            program under part B of such title (42 U.S.C. 1395j et seq.);
            and
                ``(B) in the case of a person under 65 years of age, is
            entitled to hospital insurance benefits under part A of title
            XVIII of the Social Security Act pursuant to subparagraph (A) or
            (C) of section 226(b)(2) of such Act (42 U.S.C. 426(b)(2)) or
            section 226A(a) of such Act (42 U.S.C. 426-1(a)).''; and

    [[Page 114 STAT. 1654A-177]]

                (B) in paragraph (4), by striking ``paragraph (1) who
            satisfy only the criteria specified in subparagraphs (A) and (B)
            of paragraph (2), but not subparagraph (C) of such paragraph,''
            and inserting ``subparagraph (B) of paragraph (2) who do not
            satisfy the condition specified in subparagraph (A) of such
            paragraph''.

        (2) Subsection (a)(4)(A) of section 1896 of the Social Security Act
    (42 U.S.C. 1395ggg) is amended to read as follows:
                        ``(A) is eligible for health benefits under section
                    1086 of such title by reason of subsection (c)(1) of
                    such section;''.

        (3) The amendments made by paragraphs (1) and (2) shall take effect
    on October 1, 2001.

        (b) 1-Year Extension of Medicare Subvention Project.--Section 1896
    of the Social Security Act (42 U.S.C. 1395ggg) is amended--
                (1) in subsection (b)(4), by striking ``3-year period'' and
            inserting ``4-year period''; and
                (2) in subsection (i)(4)--
                        (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) $70,000,000 for calendar year 2001.''.

        (c) Further Extension of Medicare Subvention Project.--(1)
    Subsection (b)(4) of section 1896 of the Social Security Act (42 U.S.C.
    1395ggg) is amended by striking the period at the end and inserting the
    following: ``, except that the administering Secretaries may negotiate
    and (subject to section 701(f ) of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001) enter into a new or revised
    agreement under paragraph (1)(A) to continue the project after the end
    of such period. If the project is so continued, the administering
    Secretaries may terminate the agreement under which the program operates
    after providing notice to Congress in accordance with subsection
    (k)(2)(B)(v).''.
        (2) Such section is further amended--
                (A) in the heading, by striking ``demonstration project''
            and inserting ``program'';
                (B) by amending paragraph (2) of subsection (a) to read as
            follows:

        ``(2) Program.--The term `program' means the program carried out
    under this section.'';
                (C) by striking ``Demonstration Project'' and
            ``demonstration project'' and ``project'' each place each
            appears and inserting ``Program'', ``program'', and ``program''
            respectively ; and
                        (D) by striking ``demonstration'' in the heading of
                    subsection ( j)(1).

        (3) Subsection (i)(4) of such section is amended to read as follows:
                ``(4) Cap on amount.--The maximum aggregate expenditures
            from the trust funds under this subsection pursuant to the
            agreement entered into between the administering Secretaries
            under subsection (b) for a fiscal year (before fiscal year 2006)
            shall not exceed the amount agreed by the Secretaries to be the
            amount that would have been expended from the trust funds on
            beneficiaries who enroll in the program, had the program not
            been established, plus the following:

    [[Page 114 STAT. 1654A-178]]

                        ``(A) $35,000,000 for fiscal year 2002.
                        ``(B) $55,000,000 for fiscal year 2003.
                        ``(C) $75,000,000 for fiscal year 2004.
                        ``(D) $100,000,000 for fiscal year 2005.''.

        (d) Authorizing Program Expansion and Modifications.--(1) Paragraph
    (2) of subsection (b) of such section 1896 is amended to read as
    follows:
                ``(2) Location of sites.--Subject to subsection (k)(2)(B),
            the program shall be conducted in any site that is designated
            jointly by the administering Secretaries.''.

        (2) Subsection (d)(2) of such section is amended by inserting ``, or
    (subject to subsection (k)(2)(B)) such comparable requirements as are
    included in the agreement under subsection (b)(1)(A)'' after ``the
    following areas''.
        (3) Subsection (i) of such section is amended--
                (A) in paragraph (2), by inserting ``subject to paragraph
            (4),'' after ``paragraph (1)''; and
                (B) by striking paragraph (4) and inserting the following:
                ``(4) Modification of payment methodology.--The
            administering Secretaries may, subject to subsection (k)(2)(B),
            modify the payment methodology provided under paragraphs (1) and
            (2) so long as the amount of the reimbursement provided to the
            Secretary of Defense fully reimburses the Department of Defense
            for its cost of providing services under the program but does
            not exceed an amount that is estimated to be equivalent to the
            amount that otherwise would have been expended under this title
            for such services if provided other than under the program (not
            including amounts described in paragraph (2)). Such limiting
            amount may be based for any site on the amount that would be
            payable to Medicare+Choice organizations under part C for the
            area of the site or the amounts that would be payable under
            parts A and B.''.

        (e) Change in Reports.--Paragraph (2) of subsection (k) of such
    section 1896 is amended to read as follows:
                ``(2) Reports on program operation and changes.--
                        ``(A) Annual report.--The administering Secretaries
                    shall submit to the Committees on Armed Services and
                    Finance of the Senate and the Committees on Armed
                    Services and Ways and Means of the House of
                    Representatives an annual report on the program and its
                    impact on costs and the provision of health services
                    under this title and title 10, United States Code.
                        ``(B) Before making certain program changes.--The
                    administering Secretaries shall submit to such
                    Committees a report at least 60 days before--
                              ``(i) changing the designation of a site under
                          subsection (b)(2);
                              ``(ii) applying comparable requirements under
                          subsection (d)(2);
                              ``(iii) making significant changes in payment
                          methodology or amounts under subsection (i)(4);
                              ``(iv) making other significant changes in the
                          operation of the program; or
                              ``(v) terminating the agreement under the
                          second sentence of subsection (b)(4).

    [[Page 114 STAT. 1654A-179]]

                        ``(C) Explanation.--Each report under subparagraph
                    (B) shall include justifications for the changes or
                    termination to which the report refers.''.

        (f ) Conditional Effective Date.--(1) Upon negotiating an agreement
    under the amendment made by subsection (c)(1), the Secretary of Defense
    and the Secretary of Health and Human Services shall jointly transmit a
    notification of the proposed agreement to the Committee on Armed
    Services and the Committee on Finance of the Senate and the Committee on
    Armed Services and the Committee on Ways and Means of the House of
    Representatives, and shall include with the transmittal a copy of the
    proposed agreement and all related agreements and supporting documents.
        (2) Such proposed agreement shall take effect, and the amendments
    made by subsections (c)(2), (c)(3), (d), and (e) shall take effect, on
    such date as is provided for in such agreement and in an Act enacted
    after the date of the enactment of this Act.

    SEC. 713. ACCRUAL FUNDING FOR HEALTH CARE FOR MEDICARE-ELIGIBLE RETIREES
                AND DEPENDENTS.

        (a) Establishment of Fund.--(1) Part II of subtitle A of title 10,
    United States Code, is amended by inserting after chapter 55 the
    following new chapter:

      ``CHAPTER 56--DEPARTMENT OF DEFENSE MEDICARE-ELIGIBLE RETIREE HEALTH
                                    CARE FUND

    ``Sec.
    ``1111.    Establishment and purpose of Fund; definitions.
    ``1112.    Assets of Fund.
    ``1113.    Payments from the Fund.
    ``1114.    Board of Actuaries.
    ``1115.    Determination of contributions to the Fund.
    ``1116.    Payments into the Fund.
    ``1117.    Investment of assets of Fund.

    ``Sec. 1111. Establishment and purpose of Fund; definitions

        ``(a) There is established on the books of the Treasury a fund to be
    known as the Department of Defense Medicare-Eligible Retiree Health Care
    Fund (hereafter in this chapter referred to as the `Fund'), which shall
    be administered by the Secretary of the Treasury. The Fund shall be used
    for the accumulation of funds in order to finance on an actuarially
    sound basis liabilities of the Department of Defense under Department of
    Defense retiree health care programs for medicare-eligible
    beneficiaries.
        ``(b) In this chapter:
                ``(1) The term `Department of Defense retiree health care
            programs for medicare-eligible beneficiaries' means the
            provisions of this title or any other provision of law creating
            entitlement to health care for a medicare-eligible member or
            former member of the uniformed services entitled to retired or
            retainer pay, or a medicare-eligible dependent of a member or
            former member of the uniformed services entitled to retired or
            retainer pay.
                ``(2) The term `medicare-eligible' means entitled to
            benefits under part A of title XVIII of the Social Security Act
            (42 U.S.C. 1395c et seq.).
                ``(3) The term `dependent' means a dependent (as such term
            is defined in section 1072 of this title) described in section
            1076(b)(1) of this title.

    [[Page 114 STAT. 1654A-180]]

    ``Sec. 1112. Assets of Fund

        ``There shall be deposited into the Fund the following, which shall
    constitute the assets of the Fund:
                ``(1) Amounts paid into the Fund under section 1116 of this
            title.
                ``(2) Any amount appropriated to the Fund.
                ``(3) Any return on investment of the assets of the Fund.

    ``Sec. 1113. Payments from the Fund

        ``(a) There shall be paid from the Fund amounts payable for
    Department of Defense retiree health care programs for medicare-eligible
    beneficiaries.
        ``(b) The assets of the Fund are hereby made available for payments
    under subsection (a).

    ``Sec. 1114. Board of Actuaries

        ``(a)(1) There is established in the Department of Defense a
    Department of Defense Medicare-Eligible Retiree Health Care Board of
    Actuaries (hereafter in this chapter referred to as the `Board'). The
    Board shall consist of three members who shall be appointed by the
    Secretary of Defense from among qualified professional actuaries who are
    members of the Society of Actuaries.
        ``(2)(A) Except as provided in subparagraph (B), the members of the
    Board shall serve for a term of 15 years, except that a member of the
    Board appointed to fill a vacancy occurring before the end of the term
    for which his predecessor was appointed shall only serve until the end
    of such term. A member may serve after the end of his term until his
    successor has taken office. A member of the Board may be removed by the
    Secretary of Defense for misconduct or failure to perform functions
    vested in the Board, and for no other reason.
        ``(B) Of the members of the Board who are first appointed under this
    paragraph, one each shall be appointed for terms ending five, ten, and
    15 years, respectively, after the date of appointment, as designated by
    the Secretary of Defense at the time of appointment.
        ``(3) A member of the Board who is not otherwise an employee of the
    United States is entitled to receive pay at the daily equivalent of the
    annual rate of basic pay of the highest rate of basic pay under the
    General Schedule of subchapter III of chapter 53 of title 5, for each
    day the member is engaged in the performance of duties vested in the
    Board, and is entitled to travel expenses, including a per diem
    allowance, in accordance with section 5703 of title 5.
        ``(b) The Board shall report to the Secretary of Defense annually on
    the actuarial status of the Fund and shall furnish its advice and
    opinion on matters referred to it by the Secretary.
        ``(c) The Board shall review valuations of the Fund under section
    1115(c) of this title and shall report periodically, not less than once
    every four years, to the President and Congress on the status of the
    Fund. The Board shall include in such reports recommendations for such
    changes as in the Board's judgment are necessary to protect the public
    interest and maintain the Fund on a sound actuarial basis.

    [[Page 114 STAT. 1654A-181]]

    ``Sec. 1115. Determination of contributions to the Fund

        ``(a) The Board shall determine the amount that is the present value
    (as of October 1, 2002) of future benefits payable from the Fund that
    are attributable to service in the uniformed services performed before
    October 1, 2002. That amount is the original unfunded liability of the
    Fund. The Board shall determine the period of time over which the
    original unfunded liability should be liquidated and shall determine an
    amortization schedule for the liquidation of such liability over that
    period. Contributions to the Fund for the liquidation of the original
    unfunded liability in accordance with such schedule shall be made as
    provided in section 1116(b) of this title.
        ``(b)(1) The Secretary of Defense shall determine each year, in
    sufficient time for inclusion in budget requests for the following
    fiscal year, the total amount of Department of Defense contributions to
    be made to the Fund during that fiscal year under section 1116(a) of
    this title. That amount shall be the sum of the following:
                ``(A) The product of--
                        ``(i) the current estimate of the value of the
                    single level dollar amount to be determined under
                    subsection (c)(1)(A) at the time of the next actuarial
                    valuation under subsection (c); and
                        ``(ii) the expected average force strength during
                    that fiscal year for members of the uniformed services
                    on active duty (other than active duty for training) and
                    full-time National Guard duty (other than full-time
                    National Guard duty for training only).
                ``(B) The product of--
                        ``(i) the current estimate of the value of the
                    single level dollar amount to be determined under
                    subsection (c)(1)(B) at the time of the next actuarial
                    valuation under subsection (c); and
                        ``(ii) the expected average force strength during
                    that fiscal year for members of the Ready Reserve of the
                    uniformed services (other than members on full-time
                    National Guard duty other than for training) who are not
                    otherwise described in subparagraph (A)(ii).

        ``(2) The amount determined under paragraph (1) for any fiscal year
    is the amount needed to be appropriated to the Department of Defense for
    that fiscal year for payments to be made to the Fund during that year
    under section 1116(a) of this title. The President shall include not
    less than the full amount so determined in the budget transmitted to
    Congress for that fiscal year under section 1105 of title 31. The
    President may comment and make recommendations concerning any such
    amount.
        ``(c)(1) Not less often than every four years, the Secretary of
    Defense shall carry out an actuarial valuation of the Fund. Each such
    actuarial valuation shall include--
                ``(A) a determination (using the aggregate entry-age normal
            cost method) of a single level dollar amount for members of the
            uniformed services on active duty (other than active duty for
            training) or full-time National Guard duty (other than full-time
            National Guard duty for training only); and
                ``(B) a determination (using the aggregate entry-age normal
            cost method) of a single level dollar amount for members of the
            Ready Reserve of the uniformed services and other than

    [[Page 114 STAT. 1654A-182]]

            members on full-time National Guard duty other than for
            training) who are not otherwise described by subparagraph (A).

    Such single level dollar amounts shall be used for the purposes of
    subsection (b) and section 1116(a) of this title.
        ``(2) If at the time of any such valuation there has been a change
    in benefits under the Department of Defense retiree health care programs
    for medicare-eligible beneficiaries that has been made since the last
    such valuation and such change in benefits increases or decreases the
    present value of amounts payable from the Fund, the Secretary of Defense
    shall determine an amortization methodology and schedule for the
    amortization of the cumulative unfunded liability (or actuarial gain to
    the Fund) created by such change and any previous such changes so that
    the present value of the sum of the amortization payments (or reductions
    in payments that would otherwise be made) equals the cumulative increase
    (or decrease) in the present value of such amounts.
        ``(3) If at the time of any such valuation the Secretary of Defense
    determines that, based upon changes in actuarial assumptions since the
    last valuation, there has been an actuarial gain or loss to the Fund,
    the Secretary shall determine an amortization methodology and schedule
    for the amortization of the cumulative gain or loss to the Fund created
    by such change in assumptions and any previous such changes in
    assumptions through an increase or decrease in the payments that would
    otherwise be made to the Fund.
        ``(4) If at the time of any such valuation the Secretary of Defense
    determines that, based upon the Fund's actuarial experience (other than
    resulting from changes in benefits or actuarial assumptions) since the
    last valuation, there has been an actuarial gain or loss to the Fund,
    the Secretary shall determine an amortization methodology and schedule
    for the amortization of the cumulative gain or loss to the Fund created
    by such actuarial experience and any previous actuarial experience
    through an increase or decrease in the payments that would otherwise be
    made to the Fund.
        ``(5) Contributions to the Fund in accordance with amortization
    schedules under paragraphs (2), (3), and (4) shall be made as provided
    in section 1116(b) of this title.
        ``(d) All determinations under this section shall be made using
    methods and assumptions approved by the Board of Actuaries (including
    assumptions of interest rates and medical inflation) and in accordance
    with generally accepted actuarial principles and practices.
        ``(e) The Secretary of Defense shall provide for the keeping of such
    records as are necessary for determining the actuarial status of the
    Fund.

    ``Sec. 1116. Payments into the Fund

        ``(a) The Secretary of Defense shall pay into the Fund at the end of
    each month as the Department of Defense contribution to the Fund for
    that month the amount that is the sum of the following:
                ``(1) The product of--
                        ``(A) the monthly dollar amount determined using all
                    the methods and assumptions approved for the most recent
                    (as of the first day of the current fiscal year)
                    actuarial valuation under section 1115(c)(1)(A) of this
                    title (except

    [[Page 114 STAT. 1654A-183]]

                    that any statutory change in the Department of Defense
                    retiree health care programs for medicare-eligible
                    beneficiaries that is effective after the date of that
                    valuation and on or before the first day of the current
                    fiscal year shall be used in such determination); and
                        ``(B) the total end strength for that month for
                    members of the uniformed services on active duty (other
                    than active duty for training) and full-time National
                    Guard duty (other than full-time National Guard duty for
                    training only).
                ``(2) The product of--
                        ``(A) the level monthly dollar amount determined
                    using all the methods and assumptions approved for the
                    most recent (as of the first day of the current fiscal
                    year) actuarial valuation under section 1115(c)(1)(B) of
                    this title (except that any statutory change in the
                    Department of Defense retiree health care programs for
                    medicare-eligible beneficiaries that is effective after
                    the date of that valuation and on or before the first
                    day of the current fiscal year shall be used in such
                    determination); and
                        ``(B) the total end strength for that month for
                    members of the Ready Reserve of the uniformed services
                    other than members on full-time National Guard duty
                    other than for training) who are not otherwise described
                    in paragraph (1)(B). Amounts paid into the Fund under
                    this subsection shall be paid from funds available for
                    the Defense Health Program.

        ``(b)(1) At the beginning of each fiscal year the Secretary of the
    Treasury shall promptly pay into the Fund from the General Fund of the
    Treasury the amount certified to the Secretary by the Secretary of
    Defense under paragraph (3). Such payment shall be the contribution to
    the Fund for that fiscal year required by sections 1115(a) and 1115(c)
    of this title.
        ``(2) At the beginning of each fiscal year the Secretary of Defense
    shall determine the sum of the following:
                ``(A) The amount of the payment for that year under the
            amortization schedule determined by the Board of Actuaries under
            section 1115(a) of this title for the amortization of the
            original unfunded liability of the Fund.
                ``(B) The amount (including any negative amount) for that
            year under the most recent amortization schedule determined by
            the Secretary of Defense under section 1115(c)(2) of this title
            for the amortization of any cumulative unfunded liability (or
            any gain) to the Fund resulting from changes in benefits.
                ``(C) The amount (including any negative amount) for that
            year under the most recent amortization schedule determined by
            the Secretary of Defense under section 1115(c)(3) of this title
            for the amortization of any cumulative actuarial gain or loss to
            the Fund resulting from actuarial assumption changes.
                ``(D) The amount (including any negative amount) for that
            year under the most recent amortization schedule determined by
            the Secretary of Defense under section 111(c)(4) of this title
            for the amortization of any cumulative actuarial gain or loss to
            the Fund resulting from actuarial experience.

        ``(3) The Secretary of Defense shall promptly certify the amount
    determined under paragraph (2) each year to the Secretary of the
    Treasury.

    [[Page 114 STAT. 1654A-184]]

    ``Sec. 1117. Investment of assets of Fund

        ``The Secretary of the Treasury shall invest such portion of the
    Fund as is not in the judgment of the Secretary of Defense required to
    meet current withdrawals. Such investments shall be in public debt
    securities with maturities suitable to the needs of the Fund, as
    determined by the Secretary of Defense, and bearing interest at rates
    determined by the Secretary of the Treasury, taking into consideration
    current market yields on outstanding marketable obligations of the
    United States of comparable maturities. The income on such investments
    shall be credited to and form a part of the Fund.''.
        (2) The tables of chapters at the beginning of subtitle A, and at
    the beginning of part II of subtitle A, of title 10, United States Code,
    are amended by inserting after the item relating to chapter 55 the
    following new item:

    ``56. Department of Defense Medicare-Eligible Retiree Health Care
        Fund........................................................1111.''.

        (b) Delayed Effective Dates for Certain Provisions.--(1) Sections
    1113 and 1116 of title 10, United States Code (as added by subsection
    (a)), shall take effect on October 1, 2002.
        (2) Section 1115 of such title (as added by such subsection) shall
    take effect on October 1, 2001.

                           Subtitle C--TRICARE Program

    SEC. 721. IMPROVEMENT OF ACCESS TO HEALTH CARE UNDER THE TRICARE
                PROGRAM.

        (a) Waiver of Nonavailability Statement or Preauthorization.--In the
    case of a covered beneficiary under chapter 55 of title 10, United
    States Code, who is enrolled in TRICARE Standard, the Secretary of
    Defense may not require with regard to authorized health care services
    (other than mental health services) under any new contract for the
    provision of health care services under such chapter that the
    beneficiary--
                (1) obtain a nonavailability statement or preauthorization
            from a military medical treatment facility in order to receive
            the services from a civilian provider; or
                (2) obtain a nonavailability statement for care in
            specialized treatment facilities outside the 200-mile radius of
            a military medical treatment facility.

        (b) Notice.--The Secretary may require that the covered beneficiary
    inform the primary care manager of the beneficiary of any health care
    received from a civilian provider or in a specialized treatment
    facility.
        (c) Exceptions.--Subsection (a) shall not apply if--
                (1) the Secretary demonstrates significant costs would be
            avoided by performing specific procedures at the affected
            military medical treatment facilities;
                (2) the Secretary determines that a specific procedure must
            be provided at the affected military medical treatment facility
            to ensure the proficiency levels of the practitioners at the
            facility; or
                (3) the lack of nonavailability statement data would
            significantly interfere with TRICARE contract administration.

        (d) Effective Date.--This section shall take effect on October 1,
    2001.

    [[Page 114 STAT. 1654A-185]]

    SEC. 722. ADDITIONAL BENEFICIARIES UNDER TRICARE PRIME REMOTE PROGRAM IN
                THE CONTINENTAL UNITED STATES.

        (a) Coverage of Other Uniformed Services.--(1) Section 1074(c) of
    title 10, United States Code, is amended--
                (A) by striking ``armed forces'' each place it appears,
            except in paragraph (3)(A), and inserting ``uniformed
            services'';
                (B) in paragraph (1), by inserting after ``military
            department'' in the first sentence the following: ``, the
            Department of Transportation (with respect to the Coast Guard
            when it is not operating as a service in the Navy), or the
            Department of Health and Human Services (with respect to the
            National Oceanic and Atmospheric Administration and the Public
            Health Service)'';
                (C) in paragraph (2), by adding at the end the following:

        ``(C) The Secretary of Defense shall consult with the other
    administering Secretaries in the administration of this paragraph.'';
    and
                (D) in paragraph (3)(A), by striking ``The Secretary of
            Defense may not require a member of the armed forces described
            in subparagraph (B)'' and inserting ``A member of the uniformed
            services described in subparagraph (B) may not be required''.

        (2)(A) Subsections (b), (c), and (d)(3) of section 731 of the
    National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-
    85; 111 Stat. 1811; 10 U.S.C. 1074 note) are amended by striking ``Armed
    Forces'' and inserting ``uniformed services''.
        (B) Subsection (b) of such section is further amended by adding at
    the end the following:
        ``(4) The Secretary of Defense shall consult with the other
    administering Secretaries in the administration of this subsection.''.
        (C) Subsection (f ) of such section is amended by adding at the end
    the following:
                ``(3) The terms `uniformed services' and `administering
            Secretaries' have the meanings given those terms in section 1072
            of title 10, United States Code.''.

        (3) Section 706(b) of the National Defense Authorization Act for
    Fiscal Year 2000 (Public Law 106-65; 113 Stat. 684) is amended by
    striking ``Armed Forces'' and inserting ``uniformed services (as defined
    in section 1072(1) of title 10, United States Code)''.
        (b) Coverage of Immediate Family.--(1) Section 1079 of title 10,
    United States Code, is amended by adding at the end the following:
        ``(p)(1) Subject to such exceptions as the Secretary of Defense
    considers necessary, coverage for medical care under this section for
    the dependents referred to in subsection (a) of a member of the
    uniformed services referred to in section 1074(c)(3) of this title who
    are residing with the member, and standards with respect to timely
    access to such care, shall be comparable to coverage for medical care
    and standards for timely access to such care under the managed care
    option of the TRICARE program known as TRICARE Prime.
        ``(2) The Secretary of Defense shall enter into arrangements with
    contractors under the TRICARE program or with other appropriate
    contractors for the timely and efficient processing of claims under this
    subsection.

    [[Page 114 STAT. 1654A-186]]

        ``(3) The Secretary of Defense shall consult with the other
    administering Secretaries in the administration of this subsection.''.

        (2) Section 731(b) of the National Defense Authorization Act for
    Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1811; 10 U.S.C. 1074
    note) is amended--
                (A) in paragraph (1), by adding at the end the following:
            ``A dependent of the member, as described in subparagraph (A),
            (D), or (I) of section 1072(2) of title 10, United States Code,
            who is residing with the member shall have the same entitlement
            to care and to waiver of charges as the member.''; and
                (B) in paragraph (2), by inserting ``or dependent of the
            member, as the case may be,'' after ``(2) A member''.

        (c) Effective Dates; Applicability.--(1) The amendments made by
    subsections (a)(1) and (b)(1) shall take effect on October 1, 2001.
        (2) The amendments made by subsection (a)(2), with respect to
    members of the uniformed services, and the amendments made by subsection
    (b)(2), with respect to dependents of members, shall take effect on the
    date of the enactment of this Act and shall expire with respect to a
    member or the dependents of a member, respectively, on the later of the
    following:
                (A) The date that is one year after the date of the
            enactment of this Act.
                (B) The date on which the policies required by the
            amendments made by subsection (a)(1) or (b)(1) are implemented
            with respect to the coverage of medical care for and provision
            of such care to the member or dependents, respectively.

        (3) Section 731(b)(3) of Public Law 105-85 does not apply to a
    member of the Coast Guard, the National Oceanic and Atmospheric
    Administration, or the Commissioned Corps of the Public Health Service,
    or to a dependent of a member of a uniformed service.

    SEC. 723. MODERNIZATION OF TRICARE BUSINESS PRACTICES AND INCREASE OF
                USE OF MILITARY TREATMENT FACILITIES.

        (a) Requirement To Implement Internet-Based System.--Not later than
    October 1, 2001, the Secretary of Defense shall implement a system to
    simplify and make accessible through the use of the Internet, through
    commercially available systems and products, critical administrative
    processes within the military health care system and the TRICARE
    program. The purposes of the system shall be to enhance efficiency,
    improve service, and achieve commercially recognized standards of
    performance.
        (b) Elements of System.--The system required by subsection (a)--
                (1) shall comply with patient confidentiality and security
            requirements, and incorporate data requirements, that are
            currently widely used by insurers under medicare and commercial
            insurers;
                (2) shall be designed to achieve improvements with respect
            to--
                        (A) the availability and scheduling of appointments;
                        (B) the filing, processing, and payment of claims;
                        (C) marketing and information initiatives;
                        (D) the continuation of enrollments without
                    expiration;
                        (E) the portability of enrollments nationwide;

    [[Page 114 STAT. 1654A-187]]

                        (F) education of beneficiaries regarding the
                    military health care system and the TRICARE program; and
                        (G) education of health care providers regarding
                    such system and program; and
                (3) may be implemented through a contractor under TRICARE
            Prime.

        (c) Areas of Implementation.--The Secretary shall implement the
    system required by subsection (a) in at least one region under the
    TRICARE program.
        (d) Plan for Improved Portability of Benefits.--Not later than March
    15, 2001, the Secretary of Defense shall submit to the Committees on
    Armed Services of the Senate and the House of Representatives a plan to
    provide portability and reciprocity of benefits for all enrollees under
    the TRICARE program throughout all TRICARE regions.
        (e) Increase of Use of Military Medical Treatment Facilities.--The
    Secretary shall initiate a program to maximize the use of military
    medical treatment facilities by improving the efficiency of health care
    operations in such facilities.
        (f ) Definition.--In this section the term ``TRICARE program'' has
    the meaning given such term in section 1072 of title 10, United States
    Code.

    SEC. 724. EXTENSION OF TRICARE MANAGED CARE SUPPORT CONTRACTS.

        (a) Authority.--Notwithstanding any other provision of law and
    subject to subsection (b), any TRICARE managed care support contract in
    effect, or in the final stages of acquisition, on September 30, 1999,
    may be extended for four years.
        (b) Conditions.--Any extension of a contract under subsection (a)--
                (1) may be made only if the Secretary of Defense determines
            that it is in the best interest of the United States to do so;
            and
                (2) shall be based on the price in the final best and final
            offer for the last year of the existing contract as adjusted for
            inflation and other factors mutually agreed to by the contractor
            and the Federal Government.

    SEC. 725. REPORT ON PROTECTIONS AGAINST HEALTH CARE PROVIDERS SEEKING
                DIRECT REIMBURSEMENT FROM MEMBERS OF THE UNIFORMED SERVICES.

        Not later than January 31, 2001, the Secretary of Defense shall
    submit to the Committees on Armed Services of the Senate and the House
    of Representatives a report recommending practices to discourage or
    prohibit health care providers under the TRICARE program, and
    individuals or entities working on behalf of such providers, from
    seeking direct reimbursement from members of the uniformed services or
    their dependents for health care received by such members or dependents.

    SEC. 726. VOLUNTARY TERMINATION OF ENROLLMENT IN TRICARE RETIREE DENTAL
                PROGRAM.

        (a) Procedures.--Section 1076c of title 10, United States Code, is
    amended--
                (1) by redesignating subsection (i) as subsection ( j); and
                (2) by inserting after subsection (h) the following new
            subsection (i):

    [[Page 114 STAT. 1654A-188]]

        ``(i) Voluntary Disenrollment.--(1) With respect to enrollment in
    the dental insurance plan established under subsection (a), the
    Secretary of Defense--
                ``(A) shall allow for a period of up to 30 days at the
            beginning of the prescribed minimum enrollment period during
            which an enrollee may disenroll; and
                ``(B) shall provide for limited circumstances under which
            disenrollment shall be permitted during the prescribed
            enrollment period, without jeopardizing the fiscal integrity of
            the dental program.

        ``(2) The circumstances described in paragraph (1)(B) shall
    include--
                ``(A) a case in which a retired member, surviving spouse, or
            dependent of a retired member who is also a Federal employee is
            assigned to a location outside the jurisdiction of the dental
            insurance plan established under subsection (a) that prevents
            utilization of dental benefits under the plan;
                ``(B) a case in which a retired member, surviving spouse, or
            dependent of a retired member is prevented by a serious medical
            condition from being able to obtain benefits under the plan;
                ``(C) a case in which severe financial hardship would
            result; and
                ``(D) any other circumstances which the Secretary considers
            appropriate.

        ``(3) The Secretary shall establish procedures for timely decisions
    on requests for disenrollment under this section and for appeal to the
    TRICARE Management Activity of adverse decisions.''.
        (b) Clarifying Amendment.--The heading for subsection (f ) is
    amended by striking ``Termination'' and inserting ``Required
    Terminations''.

    SEC. 727. CLAIMS PROCESSING IMPROVEMENTS.

        Beginning on the date of the enactment of this Act, the Secretary of
    Defense shall, to the maximum extent practicable, take all necessary
    actions to implement the following improvements with respect to
    processing of claims under the TRICARE program:
                (1) Use of the TRICARE encounter data information system
            rather than the health care service record in maintaining
            information on covered beneficiaries under chapter 55 of title
            10, United States Code.
                (2) Elimination of all delays in payment of claims to health
            care providers that may result from the development of the
            health care service record or TRICARE encounter data
            information.
                (3) Requiring all health care providers under the TRICARE
            program that the Secretary determines are high-volume providers
            to submit claims electronically.
                (4) Processing 50 percent of all claims by health care
            providers and institutions under the TRICARE program by
            electronic means.
                (5) Authorizing managed care support contractors under the
            TRICARE program to require providers to access information on
            the status of claims through the use of telephone automated
            voice response units.

    [[Page 114 STAT. 1654A-189]]

    SEC. 728. PRIOR AUTHORIZATIONS FOR CERTAIN REFERRALS AND
                NONAVAILABILITY-OF-HEALTH-CARE STATEMENTS.

        (a) Prohibition Regarding Prior Authorization for Referrals.--(1)
    Chapter 55 of title 10, United States Code, is amended by inserting
    after section 1095e the following new section:

    ``Sec. 1095f. TRICARE program: referrals for specialty health care

        ``The Secretary of Defense shall ensure that no contract for managed
    care support under the TRICARE program includes any requirement that a
    managed care support contractor require a primary care or specialty care
    provider to obtain prior authorization before referring a patient to a
    specialty care provider that is part of the network of health care
    providers or institutions of the contractor.''.

        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1095e the
    following new item:

    ``1095f. TRICARE program: referrals for specialty health care.''.

        (b) Report.--Not later than February 1, 2001, the Comptroller
    General shall submit to Congress a report on the financial and
    management implications of eliminating the requirement to obtain
    nonavailability-of-health-care statements under section 1080 of title
    10, United States Code.
        (c) Effective Date.--Section 1095f of title 10, United States Code,
    as added by subsection (a), shall apply with respect to a TRICARE
    managed care support contract entered into by the Department of Defense
    after the date of the enactment of this Act.

                       Subtitle D--Demonstration Projects

    SEC. 731. DEMONSTRATION PROJECT FOR EXPANDED ACCESS TO MENTAL HEALTH
                COUNSELORS.

        (a) Requirement To Conduct Demonstration Project.--The Secretary of
    Defense shall conduct a demonstration project under which licensed and
    certified professional mental health counselors who meet eligibility
    requirements for participation as providers under the Civilian Health
    and Medical Program of the Uniformed Services (hereafter in this section
    referred to as ``CHAMPUS'') or the TRICARE program may provide services
    to covered beneficiaries under chapter 55 of title 10, United States
    Code, without referral by physicians or adherence to supervision
    requirements.
        (b) Duration and Location of Project.--The Secretary shall conduct
    the demonstration project required by subsection (a)--
                (1) during the 2-year period beginning October 1, 2001; and
                (2) in one established TRICARE region.

        (c) Regulations.--The Secretary shall prescribe regulations
    regarding participation in the demonstration project required by
    subsection (a).
        (d) Plan for Project.--Not later than March 31, 2001, the Secretary
    shall submit to the Committees on Armed Services of the Senate and the
    House of Representatives a plan to carry out the demonstration project.
    The plan shall include, but not be limited to, a description of the
    following:

    [[Page 114 STAT. 1654A-190]]

                (1) The TRICARE region in which the project will be
            conducted.
                (2) The estimated funds required to carry out the
            demonstration project.
                (3) The criteria for determining which professional mental
            health counselors will be authorized to participate under the
            demonstration project.
                (4) The plan of action, including critical milestone dates,
            for carrying out the demonstration project.

        (e) Report.--Not later than February 1, 2003, the Secretary shall
    submit to Congress a report on the demonstration project carried out
    under this section. The report shall include the following:
                (1) A description of the extent to which expenditures for
            reimbursement of licensed or certified professional mental
            health counselors change as a result of allowing the independent
            practice of such counselors.
                (2) Data on utilization and reimbursement regarding non-
            physician mental health professionals other than licensed or
            certified professional mental health counselors under CHAMPUS
            and the TRICARE program.
                (3) Data on utilization and reimbursement regarding
            physicians who make referrals to, and supervise, mental health
            counselors.
                (4) A description of the administrative costs incurred as a
            result of the requirement for documentation of referral to
            mental health counselors and supervision activities for such
            counselors.
                (5) For each of the categories described in paragraphs (1)
            through (4), a comparison of data for a 1-year period for the
            area in which the demonstration project is being implemented
            with corresponding data for a similar area in which the
            demonstration project is not being implemented.
                (6) A description of the ways in which allowing for
            independent reimbursement of licensed or certified professional
            mental health counselors affects the confidentiality of mental
            health and substance abuse services for covered beneficiaries
            under CHAMPUS and the TRICARE program.
                (7) A description of the effect, if any, of changing
            reimbursement policies on the health and treatment of covered
            beneficiaries under CHAMPUS and the TRICARE program, including a
            comparison of the treatment outcomes of covered beneficiaries
            who receive mental health services from licensed or certified
            professional mental health counselors acting under physician
            referral and supervision, other non-physician mental health
            providers recognized under CHAMPUS and the TRICARE program, and
            physicians, with treatment outcomes under the demonstration
            project allowing independent practice of professional counselors
            on the same basis as other non-physician mental health
            providers.
                (8) The effect of policies of the Department of Defense on
            the willingness of licensed or certified professional mental
            health counselors to participate as health care providers in
            CHAMPUS and the TRICARE program.
                (9) Any policy requests or recommendations regarding mental
            health counselors made by health care plans and managed care
            organizations participating in CHAMPUS or the TRICARE program.

    [[Page 114 STAT. 1654A-191]]

    SEC. 732. TELERADIOLOGY DEMONSTRATION PROJECT.

        (a) Authority To Conduct Project.--(1) The Secretary of Defense may
    conduct a demonstration project for the purposes of increasing
    efficiency of operations with respect to teleradiology at military
    medical treatment facilities, supporting remote clinics, and increasing
    coordination with respect to teleradiology between such facilities and
    clinics. Under the project, a military medical treatment facility and
    each clinic supported by such facility shall be linked by a digital
    radiology network through which digital radiology X-rays may be sent
    electronically from clinics to the military medical treatment facility.
        (2) The demonstration project may be conducted at several
    multispecialty tertiary-care military medical treatment facilities
    affiliated with a university medical school. One of such facilities
    shall be supported by at least 5 geographically dispersed remote clinics
    of the Departments of the Army, Navy, and Air Force, and clinics of the
    Department of Veterans Affairs and the Coast Guard. Another of such
    facilities shall be in an underserved rural geographic region served
    under established telemedicine contracts between the Department of
    Defense, the Department of Veterans Affairs, and a local university.
        (b) Duration of Project.--The Secretary shall conduct the project
    during the 2-year period beginning on the date of the enactment of this
    Act.

    SEC. 733. HEALTH CARE MANAGEMENT DEMONSTRATION PROGRAM.

        (a) Establishment.--The Secretary of Defense shall carry out a
    demonstration program on health care management to explore opportunities
    for improving the planning, programming, budgeting systems, and
    management of the Department of Defense health care system.
        (b) Test Models.--Under the demonstration program, the Secretary
    shall test the use of the following planning and management models:
                (1) A health care simulation model for studying alternative
            delivery policies, processes, organizations, and technologies.
                (2) A health care simulation model for studying long term
            disease management.

        (c) Demonstration Sites.--The Secretary shall test each model
    separately at one or more sites.
        (d) Period for Program.--The demonstration program shall begin not
    later than 180 days after the date of the enactment of this Act and
    shall terminate on December 31, 2001.
        (e) Reports.--The Secretary of Defense shall submit a report on the
    demonstration program to the Committees on Armed Services of the Senate
    and the House of Representatives not later than March 15, 2002. The
    report shall include the Secretary's assessment of the value of
    incorporating the use of the tested planning and management models
    throughout the planning, programming, budgeting systems, and management
    of the Department of Defense health care system.
        (f ) Funding.--Of the amount authorized to be appropriated under
    section 301(22), $6,000,000 shall be available for the demonstration
    program under this section.

    [[Page 114 STAT. 1654A-192]]

        Subtitle E--Joint Initiatives With Department of Veterans Affairs

    SEC. 741. VA-DOD SHARING AGREEMENTS FOR HEALTH SERVICES.

        (a) Primacy of Sharing Agreements.--The Secretary of Defense shall--
                (1) give full force and effect to any agreement into which
            the Secretary or the Secretary of a military department entered
            under section 8111 of title 38, United States Code, or under
            section 1535 of title 31, United States Code, which was in
            effect on September 30, 1999; and
                (2) ensure that the Secretary of the military department
            concerned directly reimburses the Secretary of Veterans Affairs
            for any services or resources provided under such agreement in
            accordance with the terms of such agreement, including terms
            providing for reimbursement from funds available for that
            military department.

        (b) Modification or Termination.--Any agreement described in
    subsection (a) shall remain in effect in accordance with such subsection
    unless, during the 12-month period following the date of the enactment
    of this Act, such agreement is modified or terminated in accordance with
    the terms of such agreement.

    SEC. 742. PROCESSES FOR PATIENT SAFETY IN MILITARY AND VETERANS HEALTH
                CARE SYSTEMS.

        (a) Error Tracking Process.--The Secretary of Defense shall
    implement a centralized process for reporting, compilation, and analysis
    of errors in the provision of health care under the defense health
    program that endanger patients beyond the normal risks associated with
    the care and treatment of such patients. To the extent practicable, that
    process shall emulate the system established by the Secretary of
    Veterans Affairs for reporting, compilation, and analysis of errors in
    the provision of health care under the Department of Veterans Affairs
    health care system that endanger patients beyond such risks.
        (b) Sharing of Information.--The Secretary of Defense and the
    Secretary of Veterans Affairs--
                (1) shall share information regarding the designs of systems
            or protocols established to reduce errors in the provision of
            health care described in subsection (a); and
                (2) shall develop such protocols as the Secretaries consider
            necessary for the establishment and administration of effective
            processes for the reporting, compilation, and analysis of such
            errors.

    SEC. 743. COOPERATION IN DEVELOPING PHARMACEUTICAL IDENTIFICATION
                TECHNOLOGY.

        The Secretary of Defense and the Secretary of Veterans Affairs shall
    cooperate in developing systems for the use of bar codes for the
    identification of pharmaceuticals in the health care programs of the
    Department of Defense and the Department of Veterans Affairs. In any
    case in which a common pharmaceutical is used in such programs, the bar
    codes for those pharmaceuticals shall, to the maximum extent
    practicable, be identical.

    [[Page 114 STAT. 1654A-193]]

                            Subtitle F--Other Matters

    SEC. 751. MANAGEMENT OF ANTHRAX VACCINE IMMUNIZATION PROGRAM.

        (a) System and Procedures for Tracking Separations.--(1) Chapter 59
    of title 10, United States Code, is amended by adding at the end the
    following new section:

    ``Sec. 1178. System and procedures for tracking separations resulting
                            from refusal to participate in anthrax vaccine
                            immunization program

        ``(a) Requirement To Establish System.--The Secretary of each
    military department shall establish a system for tracking, recording,
    and reporting separations of members of the armed forces under the
    Secretary's jurisdiction that result from procedures initiated as a
    result of a refusal to participate in the anthrax vaccine immunization
    program.
        ``(b) Report.--The Secretary of Defense shall consolidate the
    information recorded under the system described in subsection (a) and
    shall submit to the Committees on Armed Services of the Senate and the
    House of Representatives not later than April 1 of each year a report on
    such information. Each such report shall include a description of--
                ``(1) the number of members separated, categorized by
            military department, grade, and active-duty or reserve status;
            and
                ``(2) any other information determined appropriate by the
            Secretary.''.

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

    ``1178. System and procedures for tracking separations resulting from
               refusal to participate in anthrax vaccine immunization
               program.''.

        (b) Procedures for Exemptions; Monitoring Adverse Reactions.--(1)
    Chapter 55 of such title is amended by adding at the end the following
    new section:

    ``Sec. 1110. Anthrax vaccine immunization program; procedures for
                            exemptions and monitoring reactions

        ``(a) Procedures for Medical and Administrative Exemptions.--(1) The
    Secretary of Defense shall establish uniform procedures under which
    members of the armed forces may be exempted from participating in the
    anthrax vaccine immunization program for either administrative or
    medical reasons.
        ``(2) The Secretaries of the military departments shall provide for
    notification of all members of the armed forces of the procedures
    established pursuant to paragraph (1).
        ``(b) System for Monitoring Adverse Reactions.--(1) The Secretary
    shall establish a system for monitoring adverse reactions of members of
    the armed forces to the anthrax vaccine. That system shall include the
    following:
                ``(A) Independent review of Vaccine Adverse Event Reporting
            System reports.
                ``(B) Periodic surveys of personnel to whom the vaccine is
            administered.

    [[Page 114 STAT. 1654A-194]]

                ``(C) A continuing longitudinal study of a pre-identified
            group of members of the armed forces (including men and women
            and members from all services).
                ``(D) Active surveillance of a sample of members to whom the
            anthrax vaccine has been administered that is sufficient to
            identify, at the earliest opportunity, any patterns of adverse
            reactions, the discovery of which might be delayed by reliance
            solely on the Vaccine Adverse Event Reporting System.

        ``(2) The Secretary may extend or expand any ongoing or planned
    study or analysis of trends in adverse reactions of members of the armed
    forces to the anthrax vaccine in order to meet any of the requirements
    in paragraph (1).
        ``(3) The Secretary shall establish guidelines under which members
    of the armed forces who are determined by an independent expert panel to
    be experiencing unexplained adverse reactions may obtain access to a
    Department of Defense Center of Excellence treatment facility for
    expedited treatment and follow up.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``1110. Anthrax vaccine immunization program; procedures for exemptions
               and monitoring reactions.''.

        (c) Emergency Essential Employees.--(1) Chapter 81 of such title is
    amended by inserting after section 1580 the following new section:

    ``Sec. 1580a. Emergency essential employees: notification of required
                            participation in anthrax vaccine immunization
                            program

        ``The Secretary of Defense shall--
                ``(1) prescribe regulations for the purpose of ensuring that
            any civilian employee of the Department of Defense who is
            determined to be an emergency essential employee and who is
            required to participate in the anthrax vaccine immunization
            program is notified of the requirement to participate in the
            program and the consequences of a decision not to participate;
            and
                ``(2) ensure that any individual who is being considered for
            a position as such an employee is notified of the obligation to
            participate in the program before being offered employment in
            such position.''.

        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1580 the
    following new item:

    ``1580a. Emergency essential employees: notification of required
               participation in anthrax vaccine immunization program.''.

        (d) Comptroller General Report.--(1) Not later than April 1, 2002,
    the Comptroller General shall submit to the Committees on Armed Services
    of the Senate and the House of Representatives a report on the effect of
    the Department of Defense anthrax vaccine immunization program on the
    recruitment and retention of active duty and reserve military personnel
    and civilian personnel of the Department of Defense. The study shall
    cover the period beginning on the date of the enactment of this Act and
    ending on December 31, 2001.
        (2) The Comptroller General shall include in the report required by
    paragraph (1) a description of any personnel actions (including

    [[Page 114 STAT. 1654A-195]]

    transfer, termination, or reassignment of any personnel) taken as a
    result of the refusal of any civilian employee of the Department of
    Defense to participate in the anthrax vaccine immunization program.
        (e) Deadlines for Establishment and Implementation.--The Secretary
    of Defense shall--
                (1) not later than April 1, 2001, establish the uniform
            procedures for exemption from participation in the anthrax
            vaccine immunization program of the Department of Defense
            required under subsection (a) of section 1110 of title 10,
            United States Code (as added by subsection (b));
                (2) not later than July 1, 2001, establish the system for
            monitoring adverse reactions of members of the Armed Forces to
            the anthrax vaccine required under subsection (b)(1) of such
            section;
                (3) not later than April 1, 2001, establish the guidelines
            under which members of the Armed Forces may obtain access to a
            Department of Defense Center of Excellence treatment facility
            for expedited treatment and follow up required under subsection
            (b)(3) of such section; and
                (4) not later than July 1, 2001, prescribe the regulations
            regarding emergency essential employees of the Department of
            Defense required under subsection (a) of section 1580a of such
            title (as added by subsection(c)).

    SEC. 752. ELIMINATION OF COPAYMENTS FOR IMMEDIATE FAMILY.

        (a) No Copayment for Immediate Family.--Section 1097a of title 10,
    United States Code, is amended--
                (1) by redesignating subsection (e) as subsection (f ); and
                (2) by inserting after subsection (d) the following new
            subsection (e):

        ``(e) No Copayment for Immediate Family.--No copayment shall be
    charged a member for care provided under TRICARE Prime to a dependent of
    a member of the uniformed services described in subparagraph (A), (D),
    or (I) of section 1072 of this title.''.
        (b) Effective Date.--The amendments made by subsection (a) shall
    take effect 180 days after the date of the enactment of this Act, and
    shall apply with respect to care provided on or after that date.

    SEC. 753. MEDICAL INFORMATICS.

        (a) Additional Matters for Annual Report on Medical Informatics
    Advisory Committee.--Section 723(d)(5) of the National Defense
    Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 Stat.
    697; 10 U.S.C. 1071 note) is amended to read as follows:
        ``(5) The Secretary of Defense shall submit to Congress an annual
    report on medical informatics. The report shall include a discussion of
    the following matters:
                ``(A) The activities of the Committee.
                ``(B) The coordination of development, deployment, and
            maintenance of health care informatics systems within the
            Federal Government, and between the Federal Government and the
            private sector.
                ``(C) The progress or growth occurring in medical
            informatics.

    [[Page 114 STAT. 1654A-196]]

                ``(D) How the TRICARE program and the Department of Veterans
            Affairs health care system can use the advancement of knowledge
            in medical informatics to raise the standards of health care and
            treatment and the expectations for improving health care and
            treatment.''.

        (b) Limitation on Fiscal Year 2001 Funding for Pharmaceuticals-
    Related Medical Informatics.--Of the funds authorized to be appropriated
    under section 301(22), any amounts used for pharmaceuticals-related
    informatics may be used only for the following:
                (1) Commencement of the implementation of a new computerized
            medical record, including an automated entry order system for
            pharmaceuticals and an infrastructure network that is compliant
            with the provisions enacted in the Health Insurance Portability
            and Accountability Act of 1996 (Public Law 104-191; 110 Stat.
            1936), to make all relevant clinical information on
            beneficiaries under the Defense Health Program available when
            needed.
                (2) An integrated pharmacy system under the Defense Health
            Program that creates a single profile for all pharmaceuticals
            for such beneficiaries prescribed at military medical treatment
            facilities or private pharmacies that are part of the Department
            of Defense pharmacy network.

    SEC. 754. PATIENT CARE REPORTING AND MANAGEMENT SYSTEM.

        (a) Establishment.--The Secretary of Defense shall establish a
    patient care error reporting and management system.
        (b) Purposes of System.--The purposes of the system are as follows:
                (1) To study the occurrences of errors in the patient care
            provided under chapter 55 of title 10, United States Code.
                (2) To identify the systemic factors that are associated
            with such occurrences.
                (3) To provide for action to be taken to correct the
            identified systemic factors.

        (c) Requirements for System.--The patient care error reporting and
    management system shall include the following:
                (1) A hospital-level patient safety center, within the
            quality assurance department of each health care organization of
            the Department of Defense, to collect, assess, and report on the
            nature and frequency of errors related to patient care.
                (2) For each health care organization of the Department of
            Defense and for the entire Defense health program, patient
            safety standards that are necessary for the development of a
            full understanding of patient safety issues in each such
            organization and the entire program, including the nature and
            types of errors and the systemic causes of the errors.
                (3) Establishment of a Department of Defense Patient Safety
            Center within the Armed Forces Institute of Pathology, which
            shall have the following missions:
                        (A) To analyze information on patient care errors
                    that is submitted to the Center by each military health
                    care organization.
                        (B) To develop action plans for addressing patterns
                    of patient care errors.
                        (C) To execute those action plans to mitigate and
                    control errors in patient care with a goal of ensuring
                    that

    [[Page 114 STAT. 1654A-197]]

                    the health care organizations of the Department of
                    Defense provide highly reliable patient care with
                    virtually no error.
                        (D) To provide, through the Assistant Secretary of
                    Defense for Health Affairs, to the Agency for Healthcare
                    Research and Quality of the Department of Health and
                    Human Services any reports that the Assistant Secretary
                    determines appropriate.
                        (E) To review and integrate processes for reducing
                    errors associated with patient care and for enhancing
                    patient safety.
                        (F) To contract with a qualified and objective
                    external organization to manage the national patient
                    safety database of the Department of Defense.

        (d) MedTeams Program.--The Secretary shall expand the health care
    team coordination program to integrate that program into all Department
    of Defense health care operations. In carrying out this subsection, the
    Secretary shall take the following actions:
                (1) Establish not less than two Centers of Excellence for
            the development, validation, proliferation, and sustainment of
            the health care team coordination program, one of which shall
            support all fixed military health care organizations, the other
            of which shall support all combat casualty care organizations.
                (2) Deploy the program to all fixed and combat casualty care
            organizations of each of the Armed Forces, at the rate of not
            less than 10 organizations in each fiscal year.
                (3) Expand the scope of the health care team coordination
            program from a focus on emergency department care to a coverage
            that includes care in all major medical specialties, at the rate
            of not less than one specialty in each fiscal year.
                (4) Continue research and development investments to improve
            communication, coordination, and team work in the provision of
            health care.

        (e) Consultation.--The Secretary shall consult with the other
    administering Secretaries (as defined in section 1072(3) of title 10,
    United States Code) in carrying out this section.

    SEC. 755. AUGMENTATION OF ARMY MEDICAL DEPARTMENT BY DETAILING RESERVE
                OFFICERS OF THE PUBLIC HEALTH SERVICE.

        (a) Authority.--The Secretary of the Army and the Secretary of
    Health and Human Services may jointly conduct a program to augment the
    Army Medical Department by exercising any authorities provided to those
    officials in law for the detailing of reserve commissioned officers of
    the Public Health Service not in an active status to the Army Medical
    Department for that purpose.
        (b) Agreement.--The Secretary of the Army and the Secretary of
    Health and Human Services shall enter into an agreement governing any
    program conducted under subsection (a).
        (c) Assessment.--(1) The Secretary of the Army shall review the laws
    providing the authorities described in subsection (a) and assess the
    adequacy of those laws for authorizing--
                (A) the Secretary of Health and Human Services to detail
            reserve commissioned officers of the Public Health Service not
            in an active status to the Army Medical Department to augment
            that department; and
                (B) the Secretary of the Army to accept the detail of such
            officers for that purpose.

    [[Page 114 STAT. 1654A-198]]

        (2) The Secretary shall complete the review and assessment under
    paragraph (1) not later than 90 days after the date of the enactment of
    this Act.
        (d) Report to Congress.--Not later than March 1, 2001, the Secretary
    of the Army shall submit a report on the results of the review and
    assessment under subsection (c) to the Committees on Armed Services of
    the Senate and the House of Representatives. The report shall include
    the following:
                (1) The findings resulting from the review and assessment.
                (2) Any proposal for legislation that the Secretary
            recommends to strengthen the authority of the Secretary of
            Health and Human Services and the authority of the Secretary of
            the Army to take the actions described in subparagraphs (A) and
            (B), respectively, of subsection (c)(1).

        (e) Consultation Requirement.--The Secretary of the Army shall
    consult with the Secretary of Health and Human Services in carrying out
    the review and assessment under subsection (c) and in preparing the
    report (including making recommendations) under subsection (d).

    SEC. 756. PRIVACY OF DEPARTMENT OF DEFENSE MEDICAL RECORDS.

        (a) Comprehensive Plan.--Not later than April 1, 2001, the Secretary
    of Defense shall submit to Congress a comprehensive plan to improve
    privacy protections for medical records maintained by the Department of
    Defense. Such plan shall be consistent with the regulations promulgated
    under section 264(c) of the Health Insurance Portability and
    Accountability Act of 1996 (Public Law 104-191; 42 U.S.C. 1320d-2 note).
        (b) Interim Regulations.--(1) Notwithstanding any other provision of
    law, the Secretary shall prescribe interim regulations, pending full
    implementation of the comprehensive plan described in subsection (a), to
    improve privacy protections for medical records maintained by the
    Department of Defense.
        (2) The regulations prescribed under paragraph (1) shall provide
    maximum protections for privacy consistent with such actions that the
    Secretary determines are necessary for purposes of national security,
    law enforcement, patient treatment, public health reporting,
    accreditation and licensure review activities, external peer review and
    other quality assurance program activities, payment for health care
    services, fraud and abuse prevention, judicial and administrative
    proceedings, research consistent with regulations on Governmentwide
    protection of human subjects, Department of Veterans Affairs benefit
    programs, and any other purposes identified by the Secretary for the
    responsible management of the military health care system.

    SEC. 757. AUTHORITY TO ESTABLISH SPECIAL LOCALITY-BASED REIMBURSEMENT
                RATES; REPORTS.

        (a) In General.--Section 1079(h) of title 10, United States Code, is
    amended by adding at the end the following new paragraph:
        ``(5) To assure access to care for all covered beneficiaries, the
    Secretary of Defense, in consultation with the other administering
    Secretaries, shall designate specific rates for reimbursement for
    services in certain localities if the Secretary determines that without
    payment of such rates access to health care services would be severely
    impaired. Such a determination shall be based on consideration of the
    number of providers in a locality who provide the

    [[Page 114 STAT. 1654A-199]]

    services, the number of such providers who are CHAMPUS participating
    providers, the number of covered beneficiaries under CHAMPUS in the
    locality, the availability of military providers in the location or a
    nearby location, and any other factors determined to be relevant by the
    Secretary.''.
        (b) Reports.--(1) Not later than March 31, 2001, the Secretary of
    Defense shall submit to the Committees on Armed Services of the Senate
    and the House of Representatives and the General Accounting Office a
    report on actions taken to carry out section 1079(h)(5) of title 10,
    United States Code (as added by subsection (a)) and section 1097b of
    such title.
        (2) Not later than May 1, 2001, the Comptroller General shall submit
    to Congress a report analyzing the utility of--
                (A) increased reimbursement authorities with respect to
            ensuring the availability of network providers and nonnetwork
            providers under the TRICARE program to covered beneficiaries
            under chapter 55 of such title; and
                (B) requiring a reimbursement limitation of 70 percent of
            usual and customary rates rather than 115 percent of maximum
            allowable charges under the Civilian Health and Medical Program
            of the Uniformed Services.

        (3)(A) 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 extent to which physicians are choosing not to participate in
    contracts for the furnishing of health care in rural States under
    chapter 55 of title 10, United States Code. The report shall include the
    following:
                (i) The number of physicians in rural States who are
            withdrawing from participation, or otherwise refusing to
            participate, in the health care contracts.
                (ii) The reasons for the withdrawals and refusals.
                (iii) The actions that the Secretary of Defense can take to
            encourage more physicians to participate in the health care
            contracts.
                (iv) Any recommendations for legislation that the Secretary
            considers necessary to encourage more physicians to participate
            in the health care contracts.

        (B) In this paragraph, the term ``rural State'' means a State that
    has, on average, as determined by the Bureau of the Census in the latest
    decennial census--
                (i) fewer than 76 residents per square mile; and
                (ii) fewer than 211 actively practicing physicians (not
            counting physicians employed by the United States) per 100,000
            residents.

    SEC. 758. REIMBURSEMENT FOR CERTAIN TRAVEL EXPENSES.

        (a) In General.--Chapter 55 of title 10, United States Code, is
    amended by inserting after section 1074h (as added by section 706) the
    following new section:

    ``Sec. 1074i. Reimbursement for certain travel expenses

        ``In any case in which a covered beneficiary is referred by a
    primary care physician to a specialty care provider who provides
    services more than 100 miles from the location in which the primary

    [[Page 114 STAT. 1654A-200]]

    care provider provides services to the covered beneficiary, the
    Secretary shall provide reimbursement for reasonable travel expenses for
    the covered beneficiary.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    1074g the following new item:

    ``1074i. Reimbursement for certain travel expenses.''.

    SEC. 759. REDUCTION OF CAP ON PAYMENTS.

        Section 1086(b)(4) of title 10, United States Code, is amended by
    striking ``$7,500'' and inserting ``$3,000''.

    SEC. 760. TRAINING IN HEALTH CARE MANAGEMENT AND ADMINISTRATION.

        (a) Expansion of Program.--Section 715(a) of the National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    375; 10 U.S.C. 1073 note) is amended--
                (1) in the matter preceding paragraph (1), by striking ``Not
            later than six months after the date of the enactment of this
            Act, the'' and inserting ``The'';
                (2) in paragraph (1)--
                        (A) by inserting ``, deputy commander, and managed
                    care coordinator'' after ``commander''; and
                        (B) by inserting ``, and any other person,'' after
                    ``Defense''; and
                (3) by amending subsection (b) to read as follows:

        ``(b) Limitation on Assignment Until Completion of Training.--No
    person may be assigned as the commander, deputy commander, or managed
    care coordinator of a military medical treatment facility or as a
    TRICARE lead agent or senior member of the staff of a TRICARE lead agent
    office until the Secretary of the military department concerned submits
    a certification to the Secretary of Defense that such person has
    completed the training described in subsection (a).''.
        (b) Report Requirement.--(1) Not later than 18 months after the date
    of the enactment of this Act, the Secretary of Defense shall submit to
    Congress a report on progress in meeting the requirements of section 715
    of such Act (as amended by subsection (a)) by implementing a
    professional educational program to provide appropriate training in
    health care management and administration.
        (2) The report required by paragraph (1) shall include the
    following:
                (A) A survey of professional civilian certifications and
            credentials which demonstrate achievement of the requirements of
            such section.
                (B) A description of the continuing education activities
            required to obtain initial certification and periodic required
            recertification.
                (C) A description of the prominence of such credentials or
            certifications among senior civilian health care executives.

        (c) Applicability.--The amendments made by subsection (a) to section
    715 of such Act--
                (1) shall apply to a deputy commander, a managed care
            coordinator of a military medical treatment facility, or a lead
            agent for coordinating the delivery of health care by military
            and civilian providers under the TRICARE program, who is

    [[Page 114 STAT. 1654A-201]]

            assigned to such position on or after the date that is one year
            after the date of the enactment of this Act; and
                (2) may apply, in the discretion of the Secretary of
            Defense, to a deputy commander, a managed care coordinator of
            such a facility, or a lead agent for coordinating the delivery
            of such health care, who is assigned to such position before the
            date that is one year after the date of the enactment of this
            Act.

    SEC. 761. STUDIES ON FEASIBILITY OF SHARING BIOMEDICAL RESEARCH
                FACILITY.

        (a) Studies Required.--(1) The Secretary of the Army shall conduct a
    study on the feasibility of the Tripler Army Medical Center, Hawaii,
    sharing a biomedical research facility with the Department of Veterans
    Affairs and the School of Medicine at the University of Hawaii for the
    purpose of making more efficient use of funding for biomedical research.
        (2) The Secretary of the Air Force shall conduct a study on the
    feasibility of the Little Rock Medical Facility, Arkansas, sharing a
    biomedical research facility with the Department of Veterans Affairs and
    the School of Medicine at the University of Arkansas for the purpose of
    making more efficient use of funding for biomedical research.
        (3) The biomedical research facilities described in paragraphs (1)
    and (2) would include a clinical research center and facilities for
    educational, academic, and laboratory research.
        (b) Reports.--Not later than March 1, 2001--
                (1) the Secretary of the Army shall submit to the Committees
            on Armed Services of the House of Representatives and the Senate
            a report on the study conducted under subsection (a)(1); and
                (2) the Secretary of the Air Force shall submit to such
            committees a report on the study conducted under subsection
            (a)(2).

    SEC. 762. STUDY ON COMPARABILITY OF COVERAGE FOR PHYSICAL, SPEECH, AND
                OCCUPATIONAL THERAPIES.

        (a) Study Required.--The Secretary of Defense shall conduct a study
    comparing coverage and reimbursement for covered beneficiaries under
    chapter 55 of title 10, United States Code, for physical, speech, and
    occupational therapies under the TRICARE program and the Civilian Health
    and Medical Program of the Uniformed Services to coverage and
    reimbursement for such therapies by insurers under Medicare and the
    Federal Employees Health Benefits Program. The study shall examine the
    following:
                (1) Types of services covered.
                (2) Whether prior authorization is required to receive such
            services.
                (3) Reimbursement limits for services covered.
                (4) Whether services are covered on both an inpatient and
            outpatient basis.

        (b) Report.--Not later than March 31, 2001, the Secretary shall
    submit a report on the findings of the study conducted under this
    section to the Committees on Armed Services of the Senate and the House
    of Representatives.

    [[Page 114 STAT. 1654A-202]]

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

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

    Sec. 801. Department of Defense acquisition pilot programs.
    Sec. 802. Multiyear services contracts.
    Sec. 803. Clarification and extension of authority to carry out certain
               prototype projects.
    Sec. 804. Clarification of authority of Comptroller General to review
               records of participants in certain prototype projects.
    Sec. 805. Extension of time period of limitation on procurement of ball
               bearings and roller bearings.
    Sec. 806. Reporting requirements relating to multiyear contracts.
    Sec. 807. Eligibility of small business concerns owned and controlled by
               women for assistance under the mentor-protege program.
    Sec. 808. Qualifications required for employment and assignment in
               contracting positions.
    Sec. 809. Revision of authority for solutions-based contracting pilot
               program.
    Sec. 810. Procurement notice of contracting opportunities through
               electronic means.

                       Subtitle B--Information Technology

    Sec. 811. Acquisition and management of information technology.
    Sec. 812. Tracking and management of information technology purchases.
    Sec. 813. Appropriate use of requirements regarding experience and
               education of contractor personnel in the procurement of
               information technology services.
    Sec. 814. Navy-Marine Corps Intranet.
    Sec. 815. Sense of Congress regarding information technology systems for
               Guard and Reserve components.

                  Subtitle C--Other Acquisition-Related Matters

    Sec. 821. Improvements in procurements of services.
    Sec. 822. Financial analysis of use of dual rates for quantifying
               overhead costs at Army ammunition plants.
    Sec. 823. Repeal of prohibition on use of Department of Defense funds
               for procurement of nuclear-capable shipyard crane from a
               foreign source.
    Sec. 824. Extension of waiver period for live-fire survivability testing
               for MH-47E and MH-60K helicopter modification programs.
    Sec. 825. Compliance with existing law regarding purchases of equipment
               and products.
    Sec. 826. Requirement to disregard certain agreements in awarding
               contracts for the purchase of firearms or ammunition.

                         Subtitle D--Studies and Reports

    Sec. 831. Study on impact of foreign sourcing of systems on long-term
               military readiness and related industrial infrastructure.
    Sec. 832. Study of policies and procedures for transfer of commercial
               activities.
    Sec. 833. Study and report on practice of contract bundling in military
               construction contracts.
    Sec. 834. Requirement to conduct study on contract bundling.

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

    SEC. 801. DEPARTMENT OF DEFENSE ACQUISITION PILOT PROGRAMS.

        (a) Extension of Authority.--Section 5064(d)(2) of the Federal
    Acquisition Streamlining Act of 1994 (Public Law 103-355; 108 Stat.
    3361; 10 U.S.C. 2430 note) is amended by striking ``45 days after the
    date of the enactment of this Act and ends on

    [[Page 114 STAT. 1654A-203]]

    September 30, 1998'' and inserting ``on October 13, 1994, and ends on
    October 1, 2007''.
        (b) Expansion of JDAM Program.--Section 5064(a)(2) of such Act is
    amended by striking ``1000-pound and 2000-pound bombs'' and inserting
    ``500-pound, 1000-pound, and 2000-pound bombs''.
        (c) Report Required.--(1) Not later than January 1, 2001, the
    Secretary of Defense shall submit to the Committees on Armed Services of
    the House of Representatives and the Senate a report on the acquisition
    pilot programs of the Department of Defense. The report shall describe,
    for each acquisition program identified in section 5064(a) of the
    Federal Acquisition Streamlining Act of 1994, the following:
                (A) Each quantitative measure and goal established for each
            item described in paragraph (2), which of such goals have been
            achieved, and the extent to which the use of the authorities in
            section 809 of the National Defense Authorization Act for Fiscal
            Year 1991 (Public Law 101-510; 10 U.S.C. 2430 note) and section
            5064 of the Federal Acquisition Streamlining Act of 1994 was a
            factor in achieving each of such goals.
                (B) Recommended revisions to statutes or the Federal
            Acquisition Regulation as a result of participation in the pilot
            program.
                (C) Any innovative business practices developed as a result
            of participation in the pilot program, whether such business
            practices could be applied to other acquisition programs, and
            any impediments to application of such practices to other
            programs.
                (D) Technological changes to the program, and to what extent
            those changes affected the items in paragraph (2).
                (E) Any other information determined appropriate by the
            Secretary.

        (2) The items under this paragraph are, with respect to defense
    acquisition programs, the following:
                (A) The acquisition management costs.
                (B) The unit cost of the items procured.
                (C) The acquisition cycle.
                (D) The total cost of carrying out the contract.
                (E) Staffing necessary to carry out the program.

    SEC. 802. MULTIYEAR SERVICES CONTRACTS.

        (a) In General.--(1) Chapter 137 of title 10, United States Code, is
    amended by inserting after section 2306b the following:

    ``Sec. 2306c. Multiyear contracts: acquisition of services

        ``(a) Authority.--Subject to subsections (d) and (e), the head of an
    agency may enter into contracts for periods of not more than five years
    for services described in subsection (b), and for items of supply
    related to such services, for which funds would otherwise be available
    for obligation only within the fiscal year for which appropriated
    whenever the head of the agency finds that--
                ``(1) there will be a continuing requirement for the
            services consonant with current plans for the proposed contract
            period;
                ``(2) the furnishing of such services will require a
            substantial initial investment in plant or equipment, or the
            incurrence of substantial contingent liabilities for the
            assembly, training, or transportation of a specialized work
            force; and

    [[Page 114 STAT. 1654A-204]]

                ``(3) the use of such a contract will promote the best
            interests of the United States by encouraging effective
            competition and promoting economies in operation.

        ``(b) Covered Services.--The authority under subsection (a) applies
    to the following types of services:
                ``(1) Operation, maintenance, and support of facilities and
            installations.
                ``(2) Maintenance or modification of aircraft, ships,
            vehicles, and other highly complex military equipment.
                ``(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).

        ``(c) Applicable Principles.--In entering into multiyear contracts
    for services under the authority of this section, the head of the agency
    shall be guided by the following principles:
                ``(1) The portion of the cost of any plant or equipment
            amortized as a cost of contract performance should not exceed
            the ratio between the period of contract performance and the
            anticipated useful commercial life of such plant or equipment.
            Useful commercial life, for this purpose, means the commercial
            utility of the facilities rather than the physical life thereof,
            with due consideration given to such factors as location of
            facilities, specialized nature thereof, and obsolescence.
                ``(2) Consideration shall be given to the desirability of
            obtaining an option to renew the contract for a reasonable
            period not to exceed three years, at prices not to include
            charges for plant, equipment and other nonrecurring costs,
            already amortized.
                ``(3) Consideration shall be given to the desirability of
            reserving in the agency the right, upon payment of the
            unamortized portion of the cost of the plant or equipment, to
            take title thereto under appropriate circumstances.

        ``(d) Restrictions Applicable Generally.--(1) The head of an agency
    may not initiate under this section a contract for services that
    includes an unfunded contingent liability in excess of $20,000,000
    unless the committees of Congress named in paragraph (5) are notified of
    the proposed contract at least 30 days in advance of the award of the
    proposed contract.
        ``(2) The head of an agency may not initiate a multiyear contract
    for services under this section if the value of the multiyear contract
    would exceed $500,000,000 unless authority for the contract is
    specifically provided by law.
        ``(3) The head of an agency may not terminate a multiyear
    procurement contract for services until 10 days after the date on which
    notice of the proposed termination is provided to the committees of
    Congress named in paragraph (5).
        ``(4) Before any contract described in subsection (a) that contains
    a clause setting forth a cancellation ceiling in excess of $100,000,000
    may be awarded, the head of the agency concerned shall give written
    notification of the proposed contract and of the proposed cancellation
    ceiling for that contract to the committees of Congress named in
    paragraph (5), and such contract may not then be awarded until the end
    of a period of 30 days beginning on the date of such notification.

    [[Page 114 STAT. 1654A-205]]

        ``(5) The committees of Congress referred to in paragraphs (1), (3),
    and (4) are as follows:
                ``(A) The Committee on Armed Services and the Committee on
            Appropriations of the Senate.
                ``(B) The Committee on Armed Services and the Committee on
            Appropriations of the House of Representatives.

        ``(e) Cancellation or Termination for Insufficient Funding After
    First Year.--In the event that funds are not made available for the
    continuation of a multiyear contract for services into a subsequent
    fiscal year, the contract shall be canceled or terminated, and the costs
    of cancellation or termination may be paid from--
                ``(1) appropriations originally available for the
            performance of the contract concerned;
                ``(2) appropriations currently available for procurement of
            the type of services concerned, and not otherwise obligated; or
                ``(3) funds appropriated for those payments.

        ``(f ) Multiyear Contract Defined.--For the purposes of this
    section, a multiyear contract is a contract for the purchase of services
    for more than one, but not more than five, program years. Such a
    contract may provide that performance under the contract during the
    second and subsequent years of the contract is contingent upon the
    appropriation of funds and (if it does so provide) may provide for a
    cancellation payment to be made to the contractor if such appropriations
    are not made.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2306b the
    following:

    ``2306c. Multiyear contracts: acquisition of services.''.

        (b) Reference to Relocated Authority.--Subsection (g) of section
    2306 of such title is amended to read as follows:
        ``(g) Multiyear contracting authority for the acquisition of
    services is provided in section 2306c of this title.''.
        (c) Conforming Amendment.--Section 2306b(k) of title 10, United
    States Code, is amended by striking ``or services''.
        (d) Applicability.--Section 2306c of title 10, United States Code
    (as added by subsection (a)), shall apply with respect to contracts for
    which solicitations of offers are issued after the date of the enactment
    of this Act.

    SEC. 803. CLARIFICATION AND EXTENSION OF AUTHORITY TO CARRY OUT CERTAIN
                PROTOTYPE PROJECTS.

        (a) Amendments to Authority.--Section 845 of the National Defense
    Authorization Act for Fiscal Year 1994 (Public Law 103-160; 10 U.S.C.
    2371 note) is amended--
                (1) by redesignating subsection (d) as subsection (f ); and
                (2) by inserting after subsection (c) the following new
            subsections:

        ``(d) Appropriate Use of Authority.--(1) The Secretary of Defense
    shall ensure that no official of an agency enters into a transaction
    (other than a contract, grant, or cooperative agreement) for a prototype
    project under the authority of this section unless--
                ``(A) there is at least one nontraditional defense
            contractor participating to a significant extent in the
            prototype project; or

    [[Page 114 STAT. 1654A-206]]

                ``(B) no nontraditional defense contractor is participating
            to a significant extent in the prototype project, but at least
            one of the following circumstances exists:
                        ``(i) At least one third of the total cost of the
                    prototype project is to be paid out of funds provided by
                    parties to the transaction other than the Federal
                    Government.
                        ``(ii) The senior procurement executive for the
                    agency (as designated for the purposes of section 16(3)
                    of the Office of Federal Procurement Policy Act (41
                    U.S.C. 414(3)) determines in writing that exceptional
                    circumstances justify the use of a transaction that
                    provides for innovative business arrangements or
                    structures that would not be feasible or appropriate
                    under a contract.

        ``(2)(A) Except as provided in subparagraph (B), the amounts counted
    for the purposes of this subsection as being provided, or to be
    provided, by a party to a transaction with respect to a prototype
    project that is entered into under this section other than the Federal
    Government do not include costs that were incurred before the date on
    which the transaction becomes effective.
        ``(B) Costs that were incurred for a prototype project by a party
    after the beginning of negotiations resulting in a transaction (other
    than a contract, grant, or cooperative agreement) with respect to the
    project before the date on which the transaction becomes effective may
    be counted for purposes of this subsection as being provided, or to be
    provided, by the party to the transaction if and to the extent that the
    official responsible for entering into the transaction determines in
    writing that--
                ``(i) the party incurred the costs in anticipation of
            entering into the transaction; and
                ``(ii) it was appropriate for the party to incur the costs
            before the transaction became effective in order to ensure the
            successful implementation of the transaction.

        ``(e) Nontraditional Defense Contractor Defined.--In this section,
    the term `nontraditional defense contractor' means an entity that has
    not, for a period of at least one year prior to the date that a
    transaction (other than a contract, grant, or cooperative agreement) for
    a prototype project under the authority of this section is entered into,
    entered into or performed with respect to--
                ``(1) any contract that is subject to full coverage under
            the cost accounting standards prescribed pursuant to section 26
            of the Office of Federal Procurement Policy Act (41 U.S.C. 422)
            and the regulations implementing such section; or
                ``(2) any other contract in excess of $500,000 to carry out
            prototype projects or to perform basic, applied, or advanced
            research projects for a Federal agency, that is subject to the
            Federal Acquisition Regulation.''.

        (b) Extension of Authority.--Subsection (f ) of such section, as
    redesignated by subsection (a)(1), is amended by striking ``September
    30, 2001'' and inserting ``September 30, 2004''.

    SEC. 804. CLARIFICATION OF AUTHORITY OF COMPTROLLER GENERAL TO REVIEW
                RECORDS OF PARTICIPANTS IN CERTAIN PROTOTYPE PROJECTS.

        (a) Comptroller General Review.--Section 845(c) of the National
    Defense Authorization Act for Fiscal Year 1994 (10 U.S.C. 2371 note) is
    amended--

    [[Page 114 STAT. 1654A-207]]

                (1) by redesignating paragraphs (3) and (4) as paragraphs
            (4) and (5), respectively; and
                (2) by inserting after paragraph (2) the following new
            paragraph (3):

        ``(3)(A) The right provided to the Comptroller General in a clause
    of an agreement under paragraph (1) is limited as provided in
    subparagraph (B) in the case of a party to the agreement, an entity that
    participates in the performance of the agreement, or a subordinate
    element of that party or entity if the only agreements or other
    transactions that the party, entity, or subordinate element entered into
    with Government entities in the year prior to the date of that agreement
    are cooperative agreements or transactions that were entered into under
    this section or section 2371 of title 10, United States Code.
        ``(B) The only records of a party, other entity, or subordinate
    element referred to in subparagraph (A) that the Comptroller General may
    examine in the exercise of the right referred to in that subparagraph
    are records of the same type as the records that the Government has had
    the right to examine under the audit access clauses of the previous
    agreements or transactions referred to in such subparagraph that were
    entered into by that particular party, entity, or subordinate
    element.''.

    SEC. 805. EXTENSION OF TIME PERIOD OF LIMITATION ON PROCUREMENT OF BALL
                BEARINGS AND ROLLER BEARINGS.

        Section 2534(c)(3) of title 10, United States Code, is amended by
    striking ``October 1, 2000'' and inserting ``October 1, 2005''.

    SEC. 806. REPORTING REQUIREMENTS RELATING TO MULTIYEAR CONTRACTS.

        Section 2306b(l) of title 10, United States Code, is amended--
                (1) in paragraph (4)--
                        (A) in the matter preceding subparagraph (A), by
                    striking ``The head of an agency'' and all that follows
                    through ``following information'' and inserting ``Not
                    later than the date of the submission of the President's
                    budget request under section 1105 of title 31, the
                    Secretary of Defense shall submit a report to the
                    congressional defense committees each year, providing
                    the following information with respect to each multiyear
                    contract (and each extension of an existing multiyear
                    contract) entered into, or planned to be entered into,
                    by the head of an agency during the current or preceding
                    year''; and
                        (B) in subparagraph (B), by striking ``in effect
                    immediately before the contract (or contract extension)
                    is entered into'' and inserting ``in effect at the time
                    the report is submitted'';
                (2) by redesignating paragraphs (5) through (9) as
            paragraphs (6) through (10), respectively; and
                (3) by inserting after paragraph (4) the following new
            paragraph (5):

        ``(5) The head of an agency may not enter into a multiyear contract
    (or extend an existing multiyear contract), the value of which would
    exceed $500,000,000 (when entered into or when extended, as the case may
    be), until the Secretary of Defense submits to the congressional defense
    committees a report containing the information described in paragraph
    (4) with respect to the contract (or contract extension).''.

    [[Page 114 STAT. 1654A-208]]

    SEC. 807. ELIGIBILITY OF SMALL BUSINESS CONCERNS OWNED AND CONTROLLED BY
                WOMEN FOR ASSISTANCE UNDER THE MENTOR-PROTEGE PROGRAM.

        Section 831(m)(2) of the National Defense Authorization Act for
    Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 2302 note) is amended--
                (1) by striking ``or'' at the end of subparagraph (C);
                (2) by striking the period at the end of subparagraph (D)
            and inserting ``; or''; and
                (3) by adding at the end the following:
                        ``(E) a small business concern owned and controlled
                    by women, as defined in section 8(d)(3)(D) of the Small
                    Business Act (15 U.S.C. 637(d)(3)(D)).''.

    SEC. 808. QUALIFICATIONS REQUIRED FOR EMPLOYMENT AND ASSIGNMENT IN
                CONTRACTING POSITIONS.

        (a) Applicability of Requirements to Members of the Armed Forces.--
    Section 1724 of title 10, United States Code, is amended in the first
    sentence of subsection (d)--
                (1) by striking ``employee of'' and inserting ``employee or
            member of''; and
                (2) by striking ``employee possesses'' and inserting
            ``employee or member possesses''.

        (b) Mandatory Academic Qualifications.--(1) Subsection (a)(3) of
    such section is amended--
                (A) by inserting ``and'' before ``(B)''; and
                (B) by striking ``, or (C)'' and all that follows through
            ``listed in subparagraph (B)''.

        (2) Subsection (b) of such section is amended to read as follows:
        ``(b) GS-1102 Series Positions and Similar Military Positions.--The
    Secretary of Defense shall require that a person meet the requirements
    set forth in paragraph (3) of subsection (a), but not the other
    requirements set forth in that subsection, in order to qualify to serve
    in a position in the Department of Defense in--
                ``(1) the GS-1102 occupational series; or
                ``(2) a similar occupational specialty if the position is to
            be filled by a member of the armed forces.''.

        (c) Exception.--Subsection (c) of such section is amended to read as
    follows:
        ``(c) Exception.--The requirements imposed under subsection (a) or
    (b) shall not apply to a person for the purpose of qualifying to serve
    in a position in which the person is serving on September 30, 2000.''.
        (d) Deletion of Unnecessary Cross References.--Subsection (a) of
    such section is amended by striking ``(except as provided in subsections
    (c) and (d))'' in the matter preceding paragraph (1).
        (e) Effective Date.--This section, and the amendments made by this
    section, shall take effect on October 1, 2000, and shall apply to
    appointments and assignments to contracting positions made on or after
    that date.

    SEC. 809. REVISION OF AUTHORITY FOR SOLUTIONS-BASED CONTRACTING PILOT
                PROGRAM.

        (a) Pilot Projects Under the Program.--Section 5312 of the Clinger-
    Cohen Act of 1996 (40 U.S.C. 1492) is amended--

    [[Page 114 STAT. 1654A-209]]

                (1) in subsection (a), by striking ``subsection (d)(2)'' and
            inserting ``subsection (d)''; and
                (2) by striking subsection (d) and inserting the following:

        ``(d) Pilot Program Projects.--The Administrator shall authorize to
    be carried out under the pilot program--
                ``(1) not more than 10 projects, each of which has an
            estimated cost of at least $25,000,000 and not more than
            $100,000,000; and
                ``(2) not more than 10 projects for small business concerns,
            each of which has an estimated cost of at least $1,000,000 and
            not more than $5,000,000.''.

        (b) Elimination of Requirement for Federal Funding of Program
    Definition Phase.--Subsection (c)(9)(B) of such section is amended by
    striking ``program definition phase (funded, in the case of the source
    ultimately awarded the contract, by the Federal Government)--'' and
    inserting ``program definition phase--''.

    SEC. 810. PROCUREMENT NOTICE OF CONTRACTING OPPORTUNITIES THROUGH
                ELECTRONIC MEANS.

        (a) Publication by Electronic Means.--Subsection (a) of section 18
    of the Office of Federal Procurement Policy Act (41 U.S.C. 416) is
    amended--
                (1) in paragraph (1)(A), by striking ``furnish for
            publication by the Secretary of Commerce'' and inserting
            ``publish'';
                (2) by striking paragraph (2) and inserting the following:

        ``(2)(A) A notice of solicitation required to be published under
    paragraph (1) may be published--
                ``(i) by electronic means that meets the requirements for
            accessibility under paragraph (7); or
                ``(ii) by the Secretary of Commerce in the Commerce Business
            Daily.

        ``(B) The Secretary of Commerce shall promptly publish in the
    Commerce Business Daily each notice or announcement received under this
    subsection for publication by that means.''; and
                (3) by adding at the end the following:

        ``(7) A publication of a notice of solicitation by electronic means
    meets the requirements for accessibility under this paragraph if the
    notice is electronically accessible in a form that allows convenient and
    universal user access through the single Government-wide point of entry
    designated in the Federal Acquisition Regulation.''.
        (b) Waiting Period for Issuance of Solicitation.--Paragraph (3) of
    such subsection is amended--
                (1) in the matter preceding subparagraph (A), by striking
            ``furnish a notice to the Secretary of Commerce'' and inserting
            ``publish a notice of solicitation''; and
                (2) in subparagraph (A), by striking ``by the Secretary of
            Commerce''.

        (c) Conforming Amendments To Small Business Act.--Subsection (e) of
    section 8 of the Small Business Act (15 U.S.C. 637) is amended--
                (1) in paragraph (1)(A), by striking ``furnish for
            publication by the Secretary of Commerce'' and inserting
            ``publish'';
                (2) by striking paragraph (2) and inserting the following:

        ``(2)(A) A notice of solicitation required to be published under
    paragraph (1) may be published--

    [[Page 114 STAT. 1654A-210]]

                ``(i) by electronic means that meet the accessibility
            requirements under section 18(a)(7) of the Office of Federal
            Procurement Policy Act (41 U.S.C. 416(a)(7)); or
                ``(ii) by the Secretary of Commerce in the Commerce Business
            Daily.

        ``(B) The Secretary of Commerce shall promptly publish in the
    Commerce Business Daily each notice or announcement received under this
    subsection for publication by that means.''; and
                (3) in paragraph (3)--
                        (A) in the matter preceding subparagraph (A), by
                    striking ``furnish a notice to the Secretary of
                    Commerce'' and inserting ``publish a notice of
                    solicitation''; and
                        (B) in subparagraph (A), by striking ``by the
                    Secretary of Commerce''.

        (d) Periodic Reports on Implementation of Electronic Commerce in
    Federal Procurement.--Section 30(e) of the Office of Federal Procurement
    Policy Act (41 U.S.C. 426(e)) is amended--
                (1) in the first sentence, by striking ``Not later than
            March 1, 1998, and every year afterward through 2003'' and
            inserting ``Not later than March 1 of each even-numbered year
            through 2004''; and
                (2) in paragraph (4)--
                        (A) by striking ``Beginning with the report
                    submitted on March 1, 1999, an'' and inserting ``An'';
                    and
                        (B) by striking ``calendar year'' and inserting
                    ``two fiscal years''.

        (e) Effective Date; Applicability.--The amendments made by this
    section shall take effect on October 1, 2000. The amendments made by
    subsections (a), (b), and (c) shall apply with respect to solicitations
    issued on or after that date.

                       Subtitle B--Information Technology

    SEC. 811. ACQUISITION AND MANAGEMENT OF INFORMATION TECHNOLOGY.

        (a) Responsibility of DOD Chief Information Officer Relating to
    Mission Critical and Mission Essential Information Technology Systems.--
    Section 2223(a) of title 10, United States Code, is amended--
                (1) by striking ``and'' at the end of paragraph (3);
                (2) by striking the period at the end of paragraph (4) and
            inserting ``; and''; and
                (3) by adding at the end the following:
                ``(5) maintain a consolidated inventory of Department of
            Defense mission critical and mission essential information
            systems, identify interfaces between those systems and other
            information systems, and develop and maintain contingency plans
            for responding to a disruption in the operation of any of those
            information systems.''.

        (b) Minimum Planning Requirements for the Acquisition of Information
    Technology Systems.--(1) Not later than 60 days after the date of the
    enactment of this Act, Department of Defense Directive 5000.1 shall be
    revised to establish minimum planning requirements for the acquisition
    of information technology systems.
        (2) The revised directive required by (1) shall--

    [[Page 114 STAT. 1654A-211]]

                (A) include definitions of the terms ``mission critical
            information system'' and ``mission essential information
            system'';
                (B) prohibit the award of any contract for the acquisition
            of a mission critical or mission essential information
            technology system until--
                        (i) the system has been registered with the Chief
                    Information Officer of the Department of Defense;
                        (ii) the Chief Information Officer has received all
                    information on the system that is required under the
                    directive to be provided to that official; and
                        (iii) the Chief Information Officer has determined
                    that there is in place for the system an appropriate
                    information assurance strategy; and
                (C) require that, in the case of each system registered
            pursuant to subparagraph (B)(i), the information required under
            subparagraph (B)(ii) to be submitted as part of the registration
            shall be updated on not less than a quarterly basis.

        (c) Milestone Approval for Major Automated Information Systems.--The
    revised directive required by subsection (b) shall prohibit Milestone I
    approval, Milestone II approval, or Milestone III approval (or the
    equivalent) of a major automated information system within the
    Department of Defense until the Chief Information Officer has determined
    that--
                (1) the system is being developed in accordance with the
            requirements of division E of the Clinger-Cohen Act of 1996 (40
            U.S.C. 1401 et seq.);
                (2) appropriate actions have been taken with respect to the
            system in the areas of business process reengineering, analysis
            of alternatives, economic analysis, and performance measures;
            and
                (3) the system has been registered as described in
            subsection (b)(2)(B).

        (d) Notice of Redesignation of Systems.--(1) Whenever during fiscal
    year 2001, 2002, or 2003 the Chief Information Officer designates a
    system previously designated as a major automated information system to
    be in a designation category other than a major automated information
    system, the Chief Information Officer shall notify the congressional
    defense committees of that designation. The notice shall be provided not
    later than 30 days after the date of that designation. Any such notice
    shall include the rationale for the decision to make the designation and
    a description of the program management oversight that will be
    implemented for the system so designated.
        (2) Not later than 60 days after the date of the enactment of this
    Act, the Chief Information Officer shall submit to the congressional
    defense committees a report specifying each information system of the
    Department of Defense previously designated as a major automated
    information system that is currently designated in a designation
    category other than a major automated information system including
    designation as a ``special interest major technology initiative''. The
    report shall include for each such system the information specified in
    the third sentence of paragraph (1).
        (e) Annual Implementation Report.--(1) The Secretary of Defense
    shall submit to the congressional defense committees, not later than
    April 1 of each of fiscal years 2001, 2002, and 2003,

    [[Page 114 STAT. 1654A-212]]

    a report on the implementation of the requirements of this section
    during the preceding fiscal year.
        (2) The report for a fiscal year under paragraph (1) shall include,
    at a minimum, for each major automated information system that was
    approved during such preceding fiscal year under Department of Defense
    Directive 5000.1 (as revised pursuant to subsection (b)), the following:
                (A) The funding baseline.
                (B) The milestone schedule.
                (C) The actions that have been taken to ensure compliance
            with the requirements of this section and the directive.

        (3) The first report shall include, in addition to the information
    required by paragraph (2), an explanation of the manner in which the
    responsible officials within the Department of Defense have addressed,
    or intend to address, the following acquisition issues for each major
    automated information system planned to be acquired after that fiscal
    year:
                (A) Requirements definition.
                (B) Presentation of a business case analysis, including an
            analysis of alternatives and a calculation of return on
            investment.
                (C) Performance measurement.
                (D) Test and evaluation.
                (E) Interoperability.
                (F) Cost, schedule, and performance baselines.
                (G) Information assurance.
                (H) Incremental fielding and implementation.
                (I) Risk mitigation.
                (J) The role of integrated product teams.
                (K) Issues arising from implementation of the Command,
            Control, Communications, Computers, Intelligence, Surveillance,
            and Reconnaissance Plan required by Department of Defense
            Directive 5000.1 and Chairman of the Joint Chiefs of Staff
            Instruction 3170.01.
                (L) Oversight, including the Chief Information Officer's
            oversight of decision reviews.

        (f ) Definitions.--In this section:
                (1) The term ``Chief Information Officer'' means the senior
            official of the Department of Defense designated by the
            Secretary of Defense pursuant to section 3506 of title 44,
            United States Code.
                (2) The term ``information technology system'' has the
            meaning given the term ``information technology'' in section
            5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
                (3) The term ``major automated information system'' has the
            meaning given that term in Department of Defense Directive
            5000.1.

    SEC. 812. TRACKING AND MANAGEMENT OF INFORMATION TECHNOLOGY PURCHASES.

        (a) In General.--(1) Chapter 131 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2225. Information technology purchases: tracking and management

        ``(a) Collection of Data Required.--To improve tracking and
    management of information technology products and services by

    [[Page 114 STAT. 1654A-213]]

    the Department of Defense, the Secretary of Defense shall provide for
    the collection of the data described in subsection (b) for each purchase
    of such products or services made by a military department or Defense
    Agency in excess of the simplified acquisition threshold, regardless of
    whether such a purchase is made in the form of a contract, task order,
    delivery order, military interdepartmental purchase request, or any
    other form of interagency agreement.
        ``(b) Data To Be Collected.--The data required to be collected under
    subsection (a) includes the following:
                ``(1) The products or services purchased.
                ``(2) Whether the products or services are categorized as
            commercially available off-the-shelf items, other commercial
            items, nondevelopmental items other than commercial items, other
            noncommercial items, or services.
                ``(3) The total dollar amount of the purchase.
                ``(4) The form of contracting action used to make the
            purchase.
                ``(5) In the case of a purchase made through an agency other
            than the Department of Defense--
                        ``(A) the agency through which the purchase is made;
                    and
                        ``(B) the reasons for making the purchase through
                    that agency.
                ``(6) The type of pricing used to make the purchase (whether
            fixed price or another type of pricing).
                ``(7) The extent of competition provided in making the
            purchase.
                ``(8) A statement regarding whether the purchase was made
            from--
                        ``(A) a small business concern;
                        ``(B) a small business concern owned and controlled
                    by socially and economically disadvantaged individuals;
                    or
                        ``(C) a small business concern owned and controlled
                    by women.
                ``(9) A statement regarding whether the purchase was made in
            compliance with the planning requirements under sections 5122
            and 5123 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1422,
            1423).

        ``(c) Responsibility To Ensure Fairness of Certain Prices.--The head
    of each contracting activity in the Department of Defense shall have
    responsibility for ensuring the fairness and reasonableness of unit
    prices paid by the contracting activity for information technology
    products and services that are frequently purchased commercially
    available off-the-shelf items.
        ``(d) Limitation on Certain Purchases.--No purchase of information
    technology products or services in excess of the simplified acquisition
    threshold shall be made for the Department of Defense from a Federal
    agency outside the Department of Defense unless--
                ``(1) the purchase data is collected in accordance with
            subsection (a); or
                ``(2)(A) in the case of a purchase by a Defense Agency, the
            purchase is approved by the Under Secretary of Defense for
            Acquisition, Technology, and Logistics; or

    [[Page 114 STAT. 1654A-214]]

                ``(B) in the case of a purchase by a military department,
            the purchase is approved by the senior procurement executive of
            the military department.

        ``(e) Annual Report.--Not later than March 15 of each year, the
    Secretary of Defense shall submit to the Committees on Armed Services of
    the Senate and the House of Representatives a report containing a
    summary of the data collected in accordance with subsection (a).
        ``(f ) Definitions.--In this section:
                ``(1) The term `senior procurement executive', with respect
            to a military department, means the official designated as the
            senior procurement executive for the military department for the
            purposes of section 16(3) of the Office of Federal Procurement
            Policy Act (41 U.S.C. 414(3)).
                ``(2) The term `simplified acquisition threshold' has the
            meaning given the term in section 4(11) of the Office of Federal
            Procurement Policy Act (41 U.S.C. 403(11)).
                ``(3) The term `small business concern' means a business
            concern that meets the applicable size standards prescribed
            pursuant to section 3(a) of the Small Business Act (15 U.S.C.
            632(a)).
                ``(4) The term `small business concern owned and controlled
            by socially and economically disadvantaged individuals' has the
            meaning given that term in section 8(d)(3)(C) of the Small
            Business Act (15 U.S.C. 637(d)(3)(C)).
                ``(5) The term `small business concern owned and controlled
            by women' has the meaning given that term in section 8(d)(3)(D)
            of the Small Business Act (15 U.S.C. 637(d)(3)(D)).''.

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

    ``2225. Information technology purchases: tracking and management.''.

        (b) Time for Implementation; Applicability.--(1) The Secretary of
    Defense shall collect data as required under section 2225 of title 10,
    United States Code (as added by subsection (a)) for all contractual
    actions covered by such section entered into on or after the date that
    is one year after the date of the enactment of this Act.
        (2) Subsection (d) of such section shall apply with respect to
    purchases described in that subsection for which solicitations of offers
    are issued on or after the date that is one year after the date of the
    enactment of this Act.
        (c) GAO Report.--Not later than 15 months after the date of the
    enactment of this Act, the Comptroller General shall submit to the
    congressional defense committees a report on the collection of data
    under such section 2225. The report shall include the Comptroller
    General's assessment of the extent to which the collection of data meets
    the requirements of that section.

    SEC. 813. APPROPRIATE USE OF REQUIREMENTS REGARDING EXPERIENCE AND
                EDUCATION OF CONTRACTOR PERSONNEL IN THE PROCUREMENT OF
                INFORMATION TECHNOLOGY SERVICES.

        (a) Amendment of the Federal Acquisition Regulation.--Not later than
    180 days after the date of the enactment of this Act, the Federal
    Acquisition Regulation issued in accordance with sections 6 and 25 of
    the Office of Federal Procurement Policy

    [[Page 114 STAT. 1654A-215]]

    Act (41 U.S.C. 405 and 421) shall be amended to address the use, in the
    procurement of information technology services, of requirements
    regarding the experience and education of contractor personnel.
        (b) Content of Amendment.--The amendment issued pursuant to
    subsection (a) shall, at a minimum, provide that solicitations for the
    procurement of information technology services shall not set forth any
    minimum experience or educational requirement for proposed contractor
    personnel in order for a bidder to be eligible for award of a contract
    unless--
                (1) the contracting officer first determines that the needs
            of the executive agency cannot be met without any such
            requirement; or
                (2) the needs of the executive agency require the use of a
            type of contract other than a performance-based contract.

        (c) GAO Report.--Not later than one year after the date on which the
    regulations required by subsection (a) are published in the Federal
    Register, the Comptroller General shall submit to Congress an evaluation
    of--
                (1) executive agency compliance with the regulations; and
                (2) conformance of the regulations with existing law,
            together with any recommendations that the Comptroller General
            considers appropriate.

        (d) Definitions.--In this section:
                (1) The term ``executive agency'' has the meaning given that
            term in section 4(1) of the Office of Federal Procurement Policy
            Act (41 U.S.C. 403(1)).
                (2) The term ``information technology'' has the meaning
            given that term in section 5002(3) of the Clinger-Cohen Act of
            1996 (40 U.S.C. 1401(3)).
                (3) The term ``performance-based'', with respect to a
            contract, means that the contract includes the use of
            performance work statements that set forth contract requirements
            in clear, specific, and objective terms with measurable
            outcomes.

    SEC. 814. NAVY-MARINE CORPS INTRANET.

        (a) Limitation.--None of the funds authorized to be appropriated for
    the Department of the Navy may be obligated or expended to carry out a
    Navy-Marine Corps Intranet contract before--
                (1) the Comptroller of the Department of Defense and the
            Director of the Office of Management and Budget--
                        (A) have reviewed--
                              (i) the Report to Congress on the Navy-Marine
                          Corps Intranet submitted by the Department of the
                          Navy on June 30, 2000; and
                              (ii) the Business Case Analysis Supplement for
                          the Report to Congress on the Navy-Marine Corps
                          Intranet submitted by the Department of the Navy
                          on July 15, 2000; and
                        (B) have provided their written comments to the
                    Secretary of the Navy and the Chief of Naval Operations;
                    and
                (2) the Secretary of the Navy and the Chief of Naval
            Operations have submitted to Congress a joint certification that
            they have reviewed the business case for the contract

    [[Page 114 STAT. 1654A-216]]

            and the comments provided by the Comptroller of the Department
            of Defense and the Director of the Office of Management and
            Budget and that they have determined that the implementation of
            the contract is in the best interest of the Department of the
            Navy.

        (b) Phased Implementation.--(1) Upon the submission of the
    certification under subsection (a)(2), the Secretary of the Navy may
    commence a phased implementation of a Navy-Marine Corps Intranet
    contract.
        (2) Not more than 15 percent of the total number of work stations to
    be provided under the Navy-Marine Corps Intranet program may be provided
    in the first increment of implementation of the Navy-Marine Corps
    Intranet contract.
        (3) No work stations in excess of the number permitted by paragraph
    (2) may be provided under the program until--
                (A) the Secretary of the Navy has conducted operational
            testing and cost review of the increment covered by that
            paragraph;
                (B) the Chief Information Officer of the Department of
            Defense has certified to the Secretary of the Navy that the
            results of the operational testing of the Intranet are
            acceptable;
                (C) the Comptroller of the Department of Defense has
            certified to the Secretary of the Navy that the cost review
            provides a reliable basis for forecasting the cost impact of
            continued implementation; and
                (D) the Secretary of the Navy and the Chief of Naval
            Operations have submitted to Congress a joint certification that
            they have reviewed the certifications submitted under
            subparagraphs (B) and (C) and have determined that the continued
            implementation of the contract is in the best interest of the
            Department of the Navy.

        (4) No increment of the Navy-Marine Corps Intranet that is
    implemented during fiscal year 2001 may include any activities of the
    Marine Corps, the naval shipyards, or the naval aviation depots. Funds
    available for fiscal year 2001 for activities of the Marine Corps, the
    naval shipyards, or the naval aviation depots may not be expended for
    any contract for the Navy-Marine Corps Intranet.
        (c) Prohibition on Increase of Rates Charged.--The Secretary of the
    Navy shall ensure that rates charged by a working capital funded
    industrial facility of the Department of the Navy for goods or services
    provided by such facility are not increased during fiscal year 2001 for
    the purpose of funding the Navy-Marine Corps Intranet contract.
        (d) Applicability of Statutory and Regulatory Requirements.--The
    acquisition of a Navy-Marine Corps Intranet shall be managed by the
    Department of the Navy in accordance with the requirements of--
                (1) the Clinger-Cohen Act of 1996 (divisions D and E of
            Public Law 104-106), including the requirement for utilizing
            modular contracting in accordance with section 38 of the Office
            of Federal Procurement Policy Act (41 U.S.C. 434); and
                (2) Department of Defense Directives 5000.1 and 5000.2-R and
            all other directives, regulations, and management controls that
            are applicable to major investments in information technology
            and related services.

    [[Page 114 STAT. 1654A-217]]

        (e) Impact on Federal Employees.--The Secretary shall mitigate any
    adverse impact of the implementation of the Navy-Marine Corps Intranet
    on civilian employees of the Department of the Navy who, as of the date
    of the enactment of this Act, are performing functions that are included
    in the scope of the Navy-Marine Corps Intranet program by--
                (1) developing a comprehensive plan for the transition of
            such employees to the performance of other functions within the
            Department of the Navy;
                (2) taking full advantage of transition authorities
            available for the benefit of employees;
                (3) encouraging the retraining of employees who express a
            desire to qualify for reassignment to the performance of other
            functions within the Department of the Navy; and
                (4) including a provision in the Navy-Marine Corps Intranet
            contract that requires the contractor to provide a preference
            for hiring employees of the Department of the Navy who, as of
            the date of the enactment of this Act, are performing functions
            that are included in the scope of the contract.

        (f ) Navy-Marine Corps Intranet Contract Defined.--In this section,
    the term ``Navy-Marine Corps Intranet contract'' means a contract
    providing for a long-term arrangement of the Department of the Navy with
    the commercial sector that imposes on the contractor a responsibility
    for, and transfers to the contractor the risk of, providing and managing
    the significant majority of desktop, server, infrastructure, and
    communication assets and services of the Department of the Navy.

    SEC. 815. SENSE OF CONGRESS REGARDING INFORMATION TECHNOLOGY SYSTEMS FOR
                GUARD AND RESERVE COMPONENTS.

        It is the sense of Congress--
                (1) that the Secretary of Defense should take appropriate
            steps to provide for upgrading information technology systems of
            the reserve components to ensure that those systems are capable,
            as required for mission purposes, of communicating with other
            relevant information technology systems of the military
            department concerned and of the Department of Defense in
            general; and
                (2) that the Secretary of each military department should
            ensure that communications systems for the reserve components
            under the Secretary's jurisdiction receive appropriate funding
            for information technology systems in order to achieve the
            capability referred to in paragraph (1).

                  Subtitle C--Other Acquisition-Related Matters

    SEC. 821. IMPROVEMENTS IN PROCUREMENTS OF SERVICES.

        (a) Preference for Performance-Based Service Contracting.--Not later
    than 180 days after the date of the enactment of this Act, the Federal
    Acquisition Regulation issued in accordance with sections 6 and 25 of
    the Office of Federal Procurement Policy Act (41 U.S.C. 405 and 421)
    shall be revised to establish a preference for use of contracts and task
    orders for the purchase of services in the following order of
    precedence:

    [[Page 114 STAT. 1654A-218]]

                (1) A performance-based contract or performance-based task
            order that contains firm fixed prices for the specific tasks to
            be performed.
                (2) Any other performance-based contract or performance-
            based task order.
                (3) Any contract or task order that is not a performance-
            based contract or a performance-based task order.

        (b) Incentive for Use of Performance-Based Service Contracts.--(1) A
    Department of Defense performance-based service contract or performance-
    based task order may be treated as a contract for the procurement of
    commercial items if--
                (A) the contract or task order is valued at $5,000,000 or
            less;
                (B) the contract or task order sets forth specifically each
            task to be performed and, for each task--
                        (i) defines the task in measurable, mission-related
                    terms;
                        (ii) identifies the specific end products or output
                    to be achieved; and
                        (iii) contains a firm fixed price; and
                (C) the source of the services provides similar services
            contemporaneously to the general public under terms and
            conditions similar to those offered to the Federal Government.

        (2) The special simplified procedures provided in the Federal
    Acquisition Regulation pursuant to section 2304(g)(1)(B) of title 10,
    United States Code, shall not apply to a performance-based service
    contract or performance-based task order that is treated as a contract
    for the procurement of commercial items under paragraph (1).
        (3) Not later than 2 years after the date of the enactment of this
    Act, the Comptroller General shall submit a report on the implementation
    of this subsection to the congressional defense committees.
        (4) The authority under this subsection shall not apply to contracts
    entered into or task orders issued more than 3 years after the date of
    the enactment of this Act.
        (c) Centers of Excellence in Service Contracting.--Not later than
    180 days after the date of the enactment of this Act, the Secretary of
    each military department shall establish at least one center of
    excellence in contracting for services. Each center of excellence shall
    assist the acquisition community by identifying, and serving as a
    clearinghouse for, best practices in contracting for services in the
    public and private sectors.
        (d) Enhanced Training in Service Contracting.--(1) The Secretary of
    Defense shall ensure that classes focusing specifically on contracting
    for services are offered by the Defense Acquisition University and the
    Defense Systems Management College and are otherwise available to
    contracting personnel throughout the Department of Defense.
        (2) The Secretary of each military department and the head of each
    Defense Agency shall ensure that the personnel of the department or
    agency, as the case may be, who are responsible for the awarding and
    management of contracts for services receive appropriate training that
    is focused specifically on contracting for services.
        (e) Definitions.--In this section:

    [[Page 114 STAT. 1654A-219]]

                (1) The term ``performance-based'', with respect to a
            contract, a task order, or contracting, means that the contract,
            task order, or contracting, respectively, includes the use of
            performance work statements that set forth contract requirements
            in clear, specific, and objective terms with measurable
            outcomes.
                (2) The term ``commercial item'' has the meaning given the
            term in section 4(12) of the Office of Federal Procurement
            Policy Act (41 U.S.C. 403(12)).
                (3) The term ``Defense Agency'' has the meaning given the
            term in section 101(a)(11) of title 10, United States Code.

    SEC. 822. FINANCIAL ANALYSIS OF USE OF DUAL RATES FOR QUANTIFYING
                OVERHEAD COSTS AT ARMY AMMUNITION PLANTS.

        (a) Requirement for Analysis.--The Secretary of the Army shall carry
    out a financial analysis of the costs that would be incurred and the
    benefits that would be derived from the implementation of a policy of
    using--
                (1) one set of rates for quantifying the overhead costs
            associated with Government-owned ammunition plants of the
            Department of the Army when allocating those costs to
            contractors operating the plants; and
                (2) another set of rates for quantifying the overhead costs
            to be allocated to the operation of such plants by employees of
            the United States.

        (b) Report.--Not later than February 15, 2001, the Secretary shall
    submit to the congressional defense committees a report on the results
    of the analysis carried out under subsection (a). The report shall
    include the following:
                (1) The costs and benefits identified in the analysis under
            subsection (a).
                (2) The risks to the United States of implementing a dual-
            rate policy described in subsection (a).
                (3) The effects that a use of dual rates under such a policy
            would have on the defense industrial base of the United States.

    SEC. 823. REPEAL OF PROHIBITION ON USE OF DEPARTMENT OF DEFENSE FUNDS
                FOR PROCUREMENT OF NUCLEAR-CAPABLE SHIPYARD CRANE FROM A
                FOREIGN SOURCE.

        Section 8093 of the Department of Defense Appropriations Act, 2000
    (Public Law 106-79; 113 Stat. 1253), is amended by striking subsection
    (d), relating to a prohibition on the use of Department of Defense funds
    to procure a nuclear-capable shipyard crane from a foreign source.

    SEC. 824. EXTENSION OF WAIVER PERIOD FOR LIVE-FIRE SURVIVABILITY TESTING
                FOR MH-47E AND MH-60K HELICOPTER MODIFICATION PROGRAMS.

        (a) Existing Waiver Period Not Applicable.--Section 2366(c)(1) of
    title 10, United States Code, shall not apply with respect to
    survivability and lethality tests for the MH-47E and MH-60K helicopter
    modification programs. Except as provided in the previous sentence, the
    provisions and requirements in section 2366(c) of such title shall apply
    with respect to such programs, and the certification required by
    subsection (b) shall comply with the requirements in paragraph (3) of
    such section.

    [[Page 114 STAT. 1654A-220]]

        (b) Extended Period for Waiver.--With respect to the MH-47E and MH-
    60K helicopter modification programs, the Secretary of Defense may waive
    the application of the survivability and lethality tests described in
    section 2366(a) of title 10, United States Code, if the Secretary,
    before full materiel release of the MH-47E and MH-60K helicopters for
    operational use, certifies to Congress that live-fire testing of the
    programs would be unreasonably expensive and impracticable.
        (c) Conforming Amendment.--Section 142(a) of the National Defense
    Authorization Act for Fiscal Year 1993 (Public Law 102-484; 106 Stat.
    2338) is amended by striking ``and survivability testing'' in paragraphs
    (1) and (2).

    SEC. 825. COMPLIANCE WITH EXISTING LAW REGARDING PURCHASES OF EQUIPMENT
                AND PRODUCTS.

        (a) Sense of Congress Regarding Purchase by the Department of
    Defense of Equipment and Products.--It is the sense of Congress that any
    entity of the Department of Defense, in expending funds authorized by
    this Act for the purchase of equipment or products, should fully comply
    with the Buy American Act (41 U.S.C. 10a et seq.) and section 2533 of
    title 10, United States Code.
        (b) Debarment of Persons Convicted of Fraudulent Use of ``Made in
    America'' Labels.--If the Secretary of Defense determines that a person
    has been convicted of intentionally affixing a label bearing a ``Made in
    America'' inscription, or another inscription with the same meaning, to
    any product sold in or shipped to the United States that is not made in
    the United States, the Secretary shall determine, in accordance with
    section 2410f of title 10, United States Code, whether the person should
    be debarred from contracting with the Department of Defense.

    SEC. 826. REQUIREMENT TO DISREGARD CERTAIN AGREEMENTS IN AWARDING
                CONTRACTS FOR THE PURCHASE OF FIREARMS OR AMMUNITION.

        In accordance with the requirements contained in the amendments
    enacted in the Competition in Contracting Act of 1984 (title VII of
    division B of Public Law 98-369; 98 Stat. 1175), the Secretary of
    Defense may not, in awarding a contract for the purchase of firearms or
    ammunition, take into account whether a manufacturer or vendor of
    firearms or ammunition is a party to an agreement under which the
    manufacturer or vendor agrees to adopt limitations with respect to
    importing, manufacturing, or dealing in firearms or ammunition in the
    commercial market.

                         Subtitle D--Studies and Reports

    SEC. 831. STUDY ON IMPACT OF FOREIGN SOURCING OF SYSTEMS ON LONG-TERM
                MILITARY READINESS AND RELATED INDUSTRIAL INFRASTRUCTURE.

        (a) Study Required.--The Secretary of Defense shall conduct a study
    analyzing in detail--
                (1) the amount and sources of parts, components, and
            materials of the systems described in subsection (b) that are
            obtained from foreign sources;
                (2) the impact of obtaining such parts, components, and
            materials from foreign sources on the long-term readiness of

    [[Page 114 STAT. 1654A-221]]

            the Armed Forces and on the economic viability of the national
            technology and industrial base;
                (3) the impact on military readiness that would result from
            the loss of the ability to obtain parts, components, and
            materials identified pursuant to paragraph (1) from foreign
            sources; and
                (4) the availability of domestic sources for parts,
            components, and materials identified as being obtained from
            foreign sources pursuant to paragraph (1).

        (b) Systems.--The systems referred to in subsection (a) are the
    following:
                (1) AH-64D Apache helicopter.
                (2) F/A-18 E/F aircraft.
                (3) M1A2 Abrams tank.
                (4) AIM-120 AMRAAM missile.
                (5) Patriot missile ground station.
                (6) Hellfire missile.

        (c) Source of Information.--The Secretary shall collect information
    to be analyzed under the study from prime contractors and first and
    second tier subcontractors.
        (d) Report Required.--Not later than one year after the date of the
    enactment of this Act, the Secretary shall submit to Congress a report
    describing the results of the study required by this section.
        (e) Definitions.--In this section:
                (1) The term ``domestic source'' means a person or
            organization that falls within the term ``national technology
            and industrial base'', as defined in section 2500(1) of title
            10, United States Code.
                (2) The term ``foreign source'' means a person or
            organization that does not fall within the meaning of the term
            ``national technology and industrial base'', as defined in such
            section.
                (3) The term ``national technology and industrial base'' has
            the meaning given that term in such section.

    SEC. 832. STUDY OF POLICIES AND PROCEDURES FOR TRANSFER OF COMMERCIAL
                ACTIVITIES.

        (a) GAO-Convened Panel.--The Comptroller General shall convene a
    panel of experts to study the policies and procedures governing the
    transfer of commercial activities for the Federal Government from
    Government personnel to a Federal contractor, including--
                (1) procedures for determining whether functions should
            continue to be performed by Government personnel;
                (2) procedures for comparing the costs of performance of
            functions by Government personnel and the costs of performance
            of such functions by Federal contractors;
                (3) implementation by the Department of Defense of the
            Federal Activities Inventory Reform Act of 1998 (Public Law 105-
            270; 31 U.S.C. 501 note); and
                (4) procedures of the Department of Defense for public-
            private competitions pursuant to the Office of Management and
            Budget Circular A-76.

        (b) Composition of Panel.--(1) The Comptroller General shall appoint
    highly qualified and knowledgeable persons to serve on the panel and
    shall ensure that the following entities receive fair representation on
    the panel:
                (A) The Department of Defense.

    [[Page 114 STAT. 1654A-222]]

                (B) Persons in private industry.
                (C) Federal labor organizations.
                (D) The Office of Management and Budget.

        (2) For the purposes of the requirement for fair representation
    under paragraph (1), persons serving on the panel under subparagraph (C)
    of that paragraph shall not be counted as persons serving on the panel
    under subparagraph (A), (B), or (D) of that paragraph.
        (c) Chairman.--The Comptroller General, or an individual within the
    General Accounting Office designated by the Comptroller General, shall
    be the chairman of the panel.
        (d) Participation by Other Interested Parties.--The chairman shall
    ensure that all interested parties, including individuals who are not
    represented on the panel who are officers or employees of the United
    States, persons in private industry, or representatives of Federal labor
    organizations, have the opportunity to submit information and views on
    the matters being studied by the panel.
        (e) Information From Agencies.--The panel may request directly from
    any department or agency of the United States any information that the
    panel considers necessary to carry out a meaningful study of the
    policies and procedures described in subsection (a), including the
    Office of Management and Budget Circular A-76 process. To the extent
    consistent with applicable laws and regulations, the head of such
    department or agency shall furnish the requested information to the
    panel.
        (f ) Report.--Not later than May 1, 2002, the Comptroller General
    shall submit the report of the panel on the results of the study to
    Congress, including recommended changes with respect to implementation
    of policies and enactment of legislation.
        (g) Definition.--In this section, the term ``Federal labor
    organization'' has the meaning given the term ``labor organization'' in
    section 7103(a)(4) of title 5, United States Code.

    SEC. 833. STUDY AND REPORT ON PRACTICE OF CONTRACT BUNDLING IN MILITARY
                CONSTRUCTION CONTRACTS.

        (a) Study Required.--The Comptroller General of the United States
    shall conduct a study regarding the use of the practice known as
    ``contract bundling'' with respect to military construction contracts.
        (b) Report.--Not later than February 1, 2001, the Comptroller
    General shall submit to the committees on Armed Services of the Senate
    and the House of Representatives a report on the results of the study
    conducted under subsection (a).

    SEC. 834. REQUIREMENT TO CONDUCT STUDY ON CONTRACT BUNDLING.

        (a) In General.--The Secretary of Defense shall conduct a
    comprehensive study on the practice known as ``contract bundling'' by
    the Department of Defense, and the effects of such practice on small
    business concerns, small business concerns owned and controlled by
    socially and economically disadvantaged individuals, small business
    concerns owned and controlled by women, and historically underutilized
    business zones (as such terms are used in the Small Business Act (15
    U.S.C. 631 et seq.)).
        (b) Deadline.--The Secretary shall submit the results of the study
    to the Committees on Armed Services and Small Business of the Senate and
    the House of Representatives before submission of the budget request of
    the Department of Defense for fiscal year 2002.

    [[Page 114 STAT. 1654A-223]]

           TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

       Subtitle A--Duties and Functions of Department of Defense Officers

    Sec. 901. Overall supervision of Department of Defense activities for
               combating terrorism.
    Sec. 902. Change of title of certain positions in the Headquarters,
               Marine Corps.
    Sec. 903. Clarification of scope of Inspector General authorities under
               military whistleblower law.
    Sec. 904. Policy to ensure conduct of science and technology programs so
               as to foster the transition of science and technology to
               higher levels of research, development, test, and evaluation.
    Sec. 905. Additional components of Chairman of the Joint Chiefs of staff
               annual report on combatant command requirements.

                 Subtitle B--Department of Defense Organizations

    Sec. 911. Western Hemisphere Institute for Security Cooperation.
    Sec. 912. Department of Defense regional centers for security studies.
    Sec. 913. Change in name of Armed Forces Staff College to Joint Forces
               Staff College.
    Sec. 914. Special authority for administration of Navy Fisher Houses.
    Sec. 915. Supervisory control of Armed Forces Retirement Home board by
               Secretary of Defense.
    Sec. 916. Semiannual report on Joint Requirements Oversight Council
               reform initiative.
    Sec. 917. Comptroller General review of operations of Defense Logistics
               Agency.
    Sec. 918. Comptroller General review of operations of Defense
               Information Systems Agency.

                        Subtitle C--Information Security

    Sec. 921. Institute for Defense Computer Security and Information
               Protection.
    Sec. 922. Information security scholarship program.

                               Subtitle D--Reports

    Sec. 931. Date of submittal of reports on shortfalls in equipment
               procurement and military construction for the reserve
               components in future-years defense programs.
    Sec. 932. Report on number of personnel assigned to legislative liaison
               functions.
    Sec. 933. Joint report on establishment of national collaborative
               information analysis capability.
    Sec. 934. Network centric warfare.
    Sec. 935. Report on Air Force Institute of Technology.

                            Subtitle E--Other Matters

    Sec. 941. Flexibility in implementation of limitation on major
               Department of Defense headquarters activities personnel.
    Sec. 942. Consolidation of certain Navy gift funds.
    Sec. 943. Temporary authority to dispose of a gift previously accepted
               for the Naval Academy.

       Subtitle A--Duties and Functions of Department of Defense Officers

    SEC. 901. OVERALL SUPERVISION OF DEPARTMENT OF DEFENSE ACTIVITIES FOR
                COMBATING TERRORISM.

        Section 138(b) of title 10, United States Code, is amended by adding
    at the end the following new paragraph:
        ``(6)(A) One of the Assistant Secretaries, as designated by the
    Secretary of Defense from among those Assistant Secretaries with
    responsibilities that include responsibilities related to combating
    terrorism, shall have, among that Assistant Secretary's duties, the duty
    to provide overall direction and supervision for policy, program

    [[Page 114 STAT. 1654A-224]]

    planning and execution, and allocation and use of resources for the
    activities of the Department of Defense for combating terrorism,
    including antiterrorism activities, counterterrorism activities,
    terrorism consequences management activities, and terrorism-related
    intelligence support activities.
        ``(B) The Assistant Secretary designated under subparagraph (A)
    shall be the principal civilian adviser to the Secretary of Defense on
    combating terrorism and (after the Secretary and Deputy Secretary) shall
    be the principal official within the senior management of the Department
    of Defense responsible for combating terrorism.
        ``(C) If the Secretary of Defense designates under subparagraph (A)
    an Assistant Secretary other than the Assistant Secretary of Defense for
    Special Operations and Low Intensity Conflict, then the responsibilities
    of the Assistant Secretary of Defense for Special Operations and Low
    Intensity Conflict related to combating terrorism shall be exercised
    subject to subparagraph (B).''.

    SEC. 902. CHANGE OF TITLE OF CERTAIN POSITIONS IN THE HEADQUARTERS,
                MARINE CORPS.

        (a) Institution of Positions as Deputy Commandants.--Section 5041(b)
    of title 10, United States Code, is amended--
                (1) by striking paragraphs (3) through (5) and inserting the
            following:
                ``(3) The Deputy Commandants.''; and
                (2) by redesignating paragraphs (6) and (7) as paragraphs
            (4) and (5), respectively.

        (b) Designation of Deputy Commandants.--(1) Section 5045 of such
    title is amended to read as follows:

    ``Sec. 5045. Deputy Commandants

        ``There are in the Headquarters, Marine Corps, not more than five
    Deputy Commandants, detailed by the Secretary of the Navy from officers
    on the active-duty list of the Marine Corps.''.
        (2) The item relating to section 5045 in the table of sections at
    the beginning of chapter 506 of such title is amended to read as
    follows:

    ``5045. Deputy Commandants.''.

        (c) Conforming Amendment.--Section 1502(7)(D) of the Armed Forces
    Retirement Home Act of 1991 (24 U.S.C. 401) is amended to read as
    follows:
                        ``(D) the Deputy Commandant of the Marine Corps with
                    responsibility for personnel matters.''.

    SEC. 903. CLARIFICATION OF SCOPE OF INSPECTOR GENERAL AUTHORITIES UNDER
                MILITARY WHISTLEBLOWER LAW.

        (a) Clarification of Responsibilities.--Subsection (c)(3)(A) of
    section 1034 of title 10, United States Code, is amended by inserting
    ``, in accordance with regulations prescribed under subsection (h),''
    after ``shall expeditiously determine''.
        (b) Redefinition of Inspector General.--Subsection (i)(2) of such
    section is amended--
                (1) by inserting ``any of'' in the matter preceding
            subparagraph (A) after ``means'';
                (2) by striking subparagraphs (C), (D), (E), (F) and (G);
            and
                (3) by inserting after subparagraph (B) the following new
            subparagraph (C):

    [[Page 114 STAT. 1654A-225]]

                        ``(C) Any officer of the armed forces or employee of
                    the Department of Defense who is assigned or detailed to
                    serve as an Inspector General at any level in the
                    Department of Defense.''.

    SEC. 904. POLICY TO ENSURE CONDUCT OF SCIENCE AND TECHNOLOGY PROGRAMS SO
                AS TO FOSTER THE TRANSITION OF SCIENCE AND TECHNOLOGY TO
                HIGHER LEVELS OF RESEARCH, DEVELOPMENT, TEST, AND
                EVALUATION.

        (a) In General.--(1) Chapter 139 of title 10, United States Code, is
    amended by inserting after section 2358 the following new section:

    ``Sec. 2359. Science and technology programs to be conducted so as to
                            foster the transition of science and technology
                            to higher levels of research, development, test,
                            and evaluation

        ``(a) Policy.--Each official specified in subsection (b) shall
    ensure that the management and conduct of the science and technology
    programs under the authority of that official are carried out in a
    manner that will foster the transition of science and technology to
    higher levels of research, development, test, and evaluation.
        ``(b) Covered Officials.--Subsection (a) applies to the following
    officials of the Department of Defense:
                ``(1) The Under Secretary of Defense for Acquisition,
            Technology, and Logistics.
                ``(2) The Secretary of each military department.
                ``(3) The Director of the Defense Advanced Research Projects
            Agency.
                ``(4) The directors and heads of other offices and agencies
            of the Department of Defense with assigned research,
            development, test, and evaluation responsibilities.''.

        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2358 the
    following new item:

    ``2359. Science and technology programs to be conducted so as to foster
               the transition of science and technology to higher levels of
               research, development, test, and evaluation.''.

        (b) Office of Naval Research.--Section 5022(b) of title 10, United
    States Code, is amended--
                (1) by striking ``and'' at the end of paragraph (2);
                (2) by striking the period at the end of paragraph (3) and
            inserting ``; and''; and
                (3) by adding at the end the following new paragraph:
                ``(4) the execution of, and management responsibility for,
            programs for which funds are provided in the basic and applied
            research and advanced technology categories of the Department of
            the Navy research, development, test, and evaluation budget in
            such a manner that will foster the transition of science and
            technology to higher levels of research, development, test, and
            evaluation.''.

    [[Page 114 STAT. 1654A-226]]

    SEC. 905. ADDITIONAL COMPONENTS OF CHAIRMAN OF THE JOINT CHIEFS OF STAFF
                ANNUAL REPORT ON COMBATANT COMMAND REQUIREMENTS.

        (a) Additional Components.--Section 153(d)(1) of title 10, United
    States Code, is amended by adding at the end the following new
    subparagraphs:
                ``(C) A description of the extent to which the most recent
            future-years defense program (under section 221 of this title)
            addresses the requirements on the consolidated lists.
                ``(D) A description of the funding proposed in the
            President's budget for the next fiscal year, and for the
            subsequent fiscal years covered by the most recent future-years
            defense program, to address each deficiency in readiness
            identified during the joint readiness review conducted under
            section 117 of this title for the first quarter of the current
            fiscal year.''.

        (b) Time for Submission.--Such section is further amended by
    striking ``Not later than August 15 of each year,'' and inserting ``At
    or about the time that the budget is submitted to Congress for a fiscal
    year under section 1105(a) of title 31,''.

                 Subtitle B--Department of Defense Organizations

    SEC. 911. WESTERN HEMISPHERE INSTITUTE FOR SECURITY COOPERATION.

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

    ``Sec. 2166. Western Hemisphere Institute for Security Cooperation

        ``(a) Establishment and Administration.--(1) The Secretary of
    Defense may operate an education and training facility for the purpose
    set forth in subsection (b). The facility shall be known as the `Western
    Hemisphere Institute for Security Cooperation'.
        ``(2) The Secretary may designate the Secretary of a military
    department as the Department of Defense executive agent for carrying out
    the responsibilities of the Secretary of Defense under this section.
        ``(b) Purpose.--The purpose of the Institute is to provide
    professional education and training to eligible personnel of nations of
    the Western Hemisphere within the context of the democratic principles
    set forth in the Charter of the Organization of American States (such
    charter being a treaty to which the United States is a party), while
    fostering mutual knowledge, transparency, confidence, and cooperation
    among the participating nations and promoting democratic values, respect
    for human rights, and knowledge and understanding of United States
    customs and traditions.
        ``(c) Eligible Personnel.--(1) Subject to paragraph (2), personnel
    of nations of the Western Hemisphere are eligible for education and
    training at the Institute as follows:
                ``(A) Military personnel.
                ``(B) Law enforcement personnel.
                ``(C) Civilian personnel.

        ``(2) The Secretary of State shall be consulted in the selection of
    foreign personnel for education or training at the Institute.

    [[Page 114 STAT. 1654A-227]]

        ``(d) Curriculum.--(1) The curriculum of the Institute shall include
    mandatory instruction for each student, for at least 8 hours, on human
    rights, the rule of law, due process, civilian control of the military,
    and the role of the military in a democratic society.
        ``(2) The curriculum may include instruction and other educational
    and training activities on the following:
                ``(A) Leadership development.
                ``(B) Counterdrug operations.
                ``(C) Peace support operations.
                ``(D) Disaster relief.
                ``(E) Any other matter that the Secretary determines
            appropriate.

        ``(e) Board of Visitors.--(1) There shall be a Board of Visitors for
    the Institute. The Board shall be composed of the following:
                ``(A) The chairman and ranking minority member of the
            Committee on Armed Services of the Senate, or a designee of
            either of them.
                ``(B) The chairman and ranking minority member of the
            Committee on Armed Services of the House of Representatives, or
            a designee of either of them.
                ``(C) Six persons designated by the Secretary of Defense
            including, to the extent practicable, persons from academia and
            the religious and human rights communities.
                ``(D) One person designated by the Secretary of State.
                ``(E) The senior military officer responsible for training
            and doctrine for the Army or, if the Secretary of the Navy or
            the Secretary of the Air Force is designated as the executive
            agent of the Secretary of Defense under subsection (a)(2), the
            senior military officer responsible for training and doctrine
            for the Navy or Marine Corps or for the Air Force, respectively,
            or a designee of the senior military officer concerned.
                ``(F) The commander of the unified combatant command having
            geographic responsibility for Latin America, or a designee of
            that officer.

        ``(2) A vacancy in a position on the Board shall be filled in the
    same manner as the position was originally filled.
        ``(3) The Board shall meet at least once each year.
        ``(4)(A) The Board shall inquire into the curriculum, instruction,
    physical equipment, fiscal affairs, and academic methods of the
    Institute, other matters relating to the Institute that the Board
    decides to consider, and any other matter that the Secretary of Defense
    determines appropriate.
        ``(B) The Board shall review the curriculum of the Institute to
    determine whether--
                ``(i) the curriculum complies with applicable United States
            laws and regulations;
                ``(ii) the curriculum is consistent with United States
            policy goals toward Latin America and the Caribbean;
                ``(iii) the curriculum adheres to current United States
            doctrine; and
                ``(iv) the instruction under the curriculum appropriately
            emphasizes the matters specified in subsection (d)(1).

        ``(5) Not later than 60 days after its annual meeting, the Board
    shall submit to the Secretary of Defense a written report of its
    activities and of its views and recommendations pertaining to the
    Institute.

    [[Page 114 STAT. 1654A-228]]

        ``(6) Members of the Board shall not be compensated by reason of
    service on the Board.
        ``(7) With the approval of the Secretary of Defense, the Board may
    accept and use the services of voluntary and uncompensated advisers
    appropriate to the duties of the Board without regard to section 1342 of
    title 31.
        ``(8) Members of the Board and advisers whose services are accepted
    under paragraph (7) shall be allowed travel and transportation expenses,
    including per diem in lieu of subsistence, while away from their homes
    or regular places of business in the performance of services for the
    Board. Allowances under this paragraph shall be computed--
                ``(A) in the case of members of the Board who are officers
            or employees of the United States, at rates authorized for
            employees of agencies under subchapter I of chapter 57 of title
            5; and
                ``(B) in the case of other members of the Board and
            advisers, as authorized under section 5703 of title 5 for
            employees serving without pay.

        ``(9) The Federal Advisory Committee Act (5 U.S.C. App. 2), other
    than section 14 (relating to termination after two years), shall apply
    to the Board.
        ``(f ) Fixed Costs.--The fixed costs of operating and maintaining
    the Institute for a fiscal year may be paid from--
                ``(1) any funds available for that fiscal year for operation
            and maintenance for the executive agent designated under
            subsection (a)(2); or
                ``(2) if no executive agent is designated under subsection
            (a)(2), any funds available for that fiscal year for the
            Department of Defense for operation and maintenance for Defense-
            wide activities.

        ``(g) Tuition.--Tuition fees charged for persons who attend the
    Institute may not include the fixed costs of operating and maintaining
    the Institute.
        ``(h) Annual Report.--Not later than March 15 of each year, the
    Secretary of Defense shall submit to Congress a detailed report on the
    activities of the Institute during the preceding year. The report shall
    be prepared in consultation with the Secretary of State.''.
        (b) Repeal of Authority for United States Army School of the
    Americas.--Section 4415 of title 10, United States Code, is repealed.
        (c) Clerical Amendments.--(1) The table of sections at the beginning
    of chapter 108 of title 10, United States Code, is amended by inserting
    after the item relating to section 2165 the following new item:

    ``2166. Western Hemisphere Institute for Security Cooperation.''.

        (2) The table of sections at the beginning of chapter 407 of such
    title is amended by striking the item relating to section 4415.

    SEC. 912. DEPARTMENT OF DEFENSE REGIONAL CENTERS FOR SECURITY STUDIES.

        (a) Requirement for Annual Report.--(1) Chapter 7 of title 10,
    United States Code, is amended by adding at the end the following new
    section:

    [[Page 114 STAT. 1654A-229]]

    ``Sec. 184. Department of Defense regional centers for security studies

        ``(a) Advance Notification to Congress of the Establishment of New
    Regional Centers.--After the date of the enactment of this section, a
    regional center for security studies may not be established in the
    Department of Defense until--
                ``(1) the Secretary of Defense submits to Congress a
            notification of the intent of the Secretary to establish the
            center, including a description of the mission and functions of
            the proposed center and a justification for the proposed center;
            and
                ``(2) a period of 90 days has elapsed after the date on
            which that notification is submitted.

        ``(b) Requirement for 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 Department of
    Defense 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 any of the following provisions of law:
                        ``(A) Section 2611 of this title.
                        ``(B) Section 1306 of the National Defense
                    Authorization Act for Fiscal Year 1995 (Public Law 103-
                    337; 108 Stat. 2892).
                        ``(C) Section 1065 of the National Defense
                    Authorization Act for Fiscal Year 1997 (Public Law 104-
                    201; 110 Stat. 2653; 10 U.S.C. 113 note).

        ``(c) Regional Center for Security Studies Defined.--For the
    purposes of this section, a regional center for security studies is any
    center within the Department of Defense that--
                ``(1) 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
                ``(2) serves as a forum for bilateral and multilateral
            communication and military and civilian exchanges with nations
            in that region.''.

        (2) The table of sections at the beginning of chapter 7 of such
    title is amended by adding at the end the following new item:

    ``184. Department of Defense regional centers for security studies.''.

        (b) First Annual Report.--In the first annual report on Department
    of Defense regional centers for security studies under section 184(b) of
    title 10, United States Code (as added by subsection (a)), to be
    submitted not later than February 1, 2001, the Secretary of Defense
    shall include any recommendation for legislation that the Secretary
    considers appropriate for the operation of Department

    [[Page 114 STAT. 1654A-230]]

    of Defense regional centers for security studies, together with a
    detailed justification for the recommended legislation.

    SEC. 913. CHANGE IN NAME OF ARMED FORCES STAFF COLLEGE TO JOINT FORCES
                STAFF COLLEGE.

        (a) Change in Name.--The Armed Forces Staff College of the
    Department of Defense is hereby renamed the ``Joint Forces Staff
    College''.
        (b) Conforming Amendment.--Section 2165(b)(3) of title 10, United
    States Code, is amended by striking ``Armed Forces Staff College'' and
    inserting ``Joint Forces Staff College''.
        (c) References.--Any reference to the Armed Forces Staff College in
    any law, regulation, map, document, record, or other paper of the United
    States shall be considered to be a reference to the Joint Forces Staff
    College.

    SEC. 914. SPECIAL AUTHORITY FOR ADMINISTRATION OF NAVY FISHER HOUSES.

        (a) Base Operating Support.--Section 2493 of title 10, United States
    Code, is amended--
                (1) by redesignating subsection (f ) as subsection (g); and
                (2) by inserting after subsection (e) the following new
            subsection (f ):

        ``(f ) Special Authority for Navy.--The Secretary of the Navy shall
    provide base operating support for Fisher Houses associated with health
    care facilities of the Navy. The level of the support shall be
    equivalent to the base operating support that the Secretary provides for
    morale, welfare, and recreation category B community activities (as
    defined in regulations, prescribed by the Secretary, that govern morale,
    welfare, and recreation activities associated with Navy
    installations).''.
        (b) Savings Provisions for Certain Navy Employees.--(1) The
    Secretary of the Navy may continue to employ, and pay out of
    appropriated funds, any employee of the Navy in the competitive service
    who, as of October 17, 1998, was employed by the Navy in a position at a
    Fisher House administered by the Navy, but only for so long as the
    employee is continuously employed in that position.
        (2) After a person vacates a position in which the person was
    continued to be employed under the authority of paragraph (1), a person
    employed in that position shall be employed as an employee of a
    nonappropriated fund instrumentality of the United States and may not be
    paid for services in that position out of appropriated funds.
        (3) In this subsection:
                (A) The term ``Fisher House'' has the meaning given the term
            in section 2493(a)(1) of title 10, United States Code.
                (B) The term ``competitive service'' has the meaning given
            the term in section 2102 of title 5, United States Code.

        (c) Effective Date.--(1) The amendments made by subsection (a) shall
    be effective as of October 17, 1998, as if included in section 2493 of
    title 10, United States Code, as enacted by section 906(a) of Public Law
    105-261.
        (2) Subsection (b) applies with respect to the pay period that
    includes October 17, 1998, and subsequent pay periods.

    [[Page 114 STAT. 1654A-231]]

    SEC. 915. SUPERVISORY CONTROL OF ARMED FORCES RETIREMENT HOME BOARD BY
                SECRETARY OF DEFENSE.

        The Armed Forces Retirement Home Act of 1991 (title XV of Public Law
    101-510; 24 U.S.C. 401 et seq.) is amended by inserting after section
    1523 the following new section:

    ``SEC. 1524. CONDITIONAL SUPERVISORY CONTROL OF RETIREMENT HOME BOARD BY
                SECRETARY OF DEFENSE.

        ``(a) Applicability.--This section shall apply only when the
    deduction authorized by section 1007(i)(1) of title 37, United States
    Code, to be made from the monthly pay of certain members of the armed
    forces is equal to $1.00 for each enlisted member, warrant officer, and
    limited duty officer of the armed forces on active duty.
        ``(b) Board Authority Subject to Secretary's Control.--The
    Retirement Home Board shall be subject to the authority, direction, and
    control of the Secretary of Defense in the performance of the Board's
    duties under section 1516.
        ``(c) Appointment of Board Members.--When an appointment of a member
    of the Retirement Home Board under section 1515 is not made by the
    Secretary of Defense, the appointment shall be subject to the approval
    of the Secretary of Defense.
        ``(d) Terms of Board Members.--(1) Notwithstanding section
    1515(e)(3), only the Secretary of Defense may appoint a member of the
    Retirement Home Board for a second consecutive term.
        ``(2) The Secretary of Defense may terminate the appointment of a
    member of the Retirement Home Board at the pleasure of the Secretary.
        ``(e) Responsibility of Chairman to the Secretary.--Notwithstanding
    section 1515(d)(1)(B), the chairman of the Retirement Home Board shall
    be responsible to the Secretary of Defense, but not to the Secretaries
    of the military departments, for direction and management of the
    Retirement Home or each facility maintained as a separate facility of
    the Retirement Home.''.

    SEC. 916. SEMIANNUAL REPORT ON JOINT REQUIREMENTS OVERSIGHT COUNCIL
                REFORM INITIATIVE.

        (a) Semiannual Report.--The Chairman of the Joints Chiefs of Staff
    shall submit to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives a series of
    five semiannual reports, as prescribed by subsection (b), on the
    activities of the Joint Requirements Oversight Council. The principal
    focus of each such report shall be on the progress made on the
    initiative of the Chairman to reform and refocus the Joint Requirements
    Oversight Council.
        (b) Submission of Reports.--Reports under this section shall be
    submitted not later than March 1, 2001, September 1, 2001, March 1,
    2002, September 1, 2002, and March 1, 2003. Each report shall cover the
    half of a fiscal year that ends five months before the date on which the
    report is due.
        (c) Content.--In the case of any report under this section after the
    first such report, if any matter to be included is unchanged from the
    preceding report, that matter may be included by reference to the
    preceding report. Each such report shall include, to the extent
    practicable, the following:
                (1) A listing of each of the capability areas designated by
            the Chairman of the Joints Chiefs of Staff as being within

    [[Page 114 STAT. 1654A-232]]

            the principal domain of the Joint Requirements Oversight Council
            and a justification for each such designation.
                (2) A listing of the joint requirements developed,
            considered, or approved within each of the capability areas
            listed pursuant to paragraph (1).
                (3) A listing and explanation of the decisions made by the
            Joint Requirements Oversight Council and, to the extent
            appropriate, a listing of each of the recommendations to the
            Council made by the commander of the United States Joint Forces
            Command.
                (4) An assessment of--
                        (A) the progress made in shifting the Joint
                    Requirements Oversight Council to having a more
                    strategic focus on future war fighting requirements;
                        (B) the progress made on integration of
                    requirements; and
                        (C) the progress made on development of overarching
                    common architectures for defense information systems to
                    ensure that common defense information systems are fully
                    interoperable.
                (5) A description of any actions that have been taken to
            improve the Joint Requirements Oversight Council.

    SEC. 917. COMPTROLLER GENERAL REVIEW OF OPERATIONS OF DEFENSE LOGISTICS
                AGENCY.

        (a) Comptroller General Review Required.--The Comptroller General
    shall review the operations of the Defense Logistics Agency--
                (1) to assess--
                        (A) the efficiency of those operations;
                        (B) the effectiveness of those operations in meeting
                    customer requirements; and
                        (C) the flexibility of those operations to adopt
                    best business practices; and
                (2) to identify alternative approaches for improving the
            operations of that agency.

        (b) Report.--Not later than February 1, 2002, the Comptroller
    General shall submit to the Committees on Armed Services of the Senate
    and the House of Representatives one or more reports setting forth the
    Comptroller General's findings resulting from the review under
    subsection (a).

    SEC. 918. COMPTROLLER GENERAL REVIEW OF OPERATIONS OF DEFENSE
                INFORMATION SYSTEMS AGENCY.

        (a) Comptroller General Review Required.--The Comptroller General
    shall review the operations of the Defense Information Systems Agency--
                (1) to assess--
                        (A) the efficiency of those operations;
                        (B) the effectiveness of those operations in meeting
                    customer requirements; and
                        (C) the flexibility of those operations to adopt
                    best business practices; and
                (2) to identify alternative approaches for improving the
            operations of that agency.

        (b) Report.--Not later than February 1, 2002, the Comptroller
    General shall submit to the Committees on Armed Services of the Senate
    and the House of Representatives one or more reports

    [[Page 114 STAT. 1654A-233]]

    setting forth the Comptroller General's findings resulting from the
    review under subsection (a).

                        Subtitle C--Information Security

    SEC. 921. INSTITUTE FOR DEFENSE COMPUTER SECURITY AND INFORMATION
                PROTECTION.

        (a) Establishment.--The Secretary of Defense shall establish an
    Institute for Defense Computer Security and Information Protection.
        (b) Mission.--The Secretary shall require the institute--
                (1) to conduct research and technology development that is
            relevant to foreseeable computer and network security
            requirements and information assurance requirements of the
            Department of Defense with a principal focus on areas not being
            carried out by other organizations in the private or public
            sector; and
                (2) to facilitate the exchange of information regarding
            cyberthreats, technology, tools, and other relevant issues.

        (c) Contractor Operation.--The Secretary shall enter into a contract
    with a not-for-profit entity, or a consortium of not-for-profit
    entities, to organize and operate the institute. The Secretary shall use
    competitive procedures for the selection of the contractor to the extent
    determined necessary by the Secretary.
        (d) Funding.--Of the amount authorized to be appropriated by section
    301(5), $5,000,000 shall be available for the Institute for Defense
    Computer Security and Information Protection.
        (e) Report.--Not later than April 1, 2001, the Secretary shall
    submit to the congressional defense committees the Secretary's plan for
    implementing this section.

    SEC. 922. INFORMATION SECURITY SCHOLARSHIP PROGRAM.

        (a) Establishment of Program.--(1) Part III of subtitle A of title
    10, United States Code, is amended by adding at the end the following
    new chapter:

             ``CHAPTER 112--INFORMATION SECURITY SCHOLARSHIP PROGRAM

    ``Sec.
    ``2200.  Programs; purpose.
    ``2200a. Scholarship program.
    ``2200b. Grant program.
    ``2200c. Centers of Academic Excellence in Information Assurance
               Education.
    ``2200d. Regulations.
    ``2200e. Definitions.
    ``2200f. Inapplicability to Coast Guard.

    ``Sec. 2200. Programs; purpose

        ``(a) In General.--To encourage the recruitment and retention of
    Department of Defense personnel who have the computer and network
    security skills necessary to meet Department of Defense information
    assurance requirements, the Secretary of Defense may carry out programs
    in accordance with this chapter to provide financial support for
    education in disciplines relevant to those requirements at institutions
    of higher education.
        ``(b) Types of Programs.--The programs authorized under this chapter
    are as follows:

    [[Page 114 STAT. 1654A-234]]

                ``(1) Scholarships for pursuit of programs of education in
            information assurance at institutions of higher education.
                ``(2) Grants to institutions of higher education.

    ``Sec. 2200a. Scholarship program

        ``(a) Authority.--The Secretary of Defense may, subject to
    subsection (g), provide financial assistance in accordance with this
    section to a person--
                ``(1) who is pursuing an associate, baccalaureate, or
            advanced degree, or a certification, in an information assurance
            discipline referred to in section 2200(a) of this title at an
            institution of higher education; and
                ``(2) who enters into an agreement with the Secretary as
            described in subsection (b).

        ``(b) Service Agreement for Scholarship Recipients.--(1) To receive
    financial assistance under this section--
                ``(A) a member of the armed forces shall enter into an
            agreement to serve on active duty in the member's armed force
            for the period of obligated service determined under paragraph
            (2);
                ``(B) an employee of the Department of Defense shall enter
            into an agreement to continue in the employment of the
            department for the period of obligated service determined under
            paragraph (2); and
                ``(C) a person not referred to in subparagraph (A) or (B)
            shall enter into an agreement--
                        ``(i) to enlist or accept a commission in one of the
                    armed forces and to serve on active duty in that armed
                    force for the period of obligated service determined
                    under paragraph (2); or
                        ``(ii) to accept and continue employment in the
                    Department of Defense for the period of obligated
                    service determined under paragraph (2).

        ``(2) For the purposes of this subsection, the period of obligated
    service for a recipient of financial assistance under this section shall
    be the period determined by the Secretary of Defense as being
    appropriate to obtain adequate service in exchange for the financial
    assistance and otherwise to achieve the goals set forth in section
    2200(a) of this title. In no event may the period of service required of
    a recipient be less than the period equal to three-fourths of the total
    period of pursuit of a degree for which the Secretary agrees to provide
    the recipient with financial assistance under this section. The period
    of obligated service is in addition to any other period for which the
    recipient is obligated to serve on active duty or in the civil service,
    as the case may be.
        ``(3) An agreement entered into under this section by a person
    pursuing an academic degree shall include terms that provide the
    following:
                ``(A) That the period of obligated service begins on a date
            after the award of the degree that is determined under the
            regulations prescribed under section 2200d of this title.
                ``(B) That the person will maintain satisfactory academic
            progress, as determined in accordance with those regulations,
            and that failure to maintain such progress constitutes grounds
            for termination of the financial assistance for the person under
            this section.

    [[Page 114 STAT. 1654A-235]]

                ``(C) Any other terms and conditions that the Secretary of
            Defense determines appropriate for carrying out this section.

        ``(c) Amount of Assistance.--The amount of the financial assistance
    provided for a person under this section shall be the amount determined
    by the Secretary of Defense as being necessary to pay all educational
    expenses incurred by that person, including tuition, fees, cost of
    books, laboratory expenses, and expenses of room and board. The expenses
    paid, however, shall be limited to those educational expenses normally
    incurred by students at the institution of higher education involved.
        ``(d) Use of Assistance for Support of Internships.--The financial
    assistance for a person under this section may also be provided to
    support internship activities of the person at the Department of Defense
    in periods between the academic years leading to the degree for which
    assistance is provided the person under this section.
        ``(e) Refund for Period of Unserved Obligated Service.--(1) A person
    who voluntarily terminates service before the end of the period of
    obligated service required under an agreement entered into under
    subsection (b) shall refund to the United States an amount determined by
    the Secretary of Defense as being appropriate to obtain adequate service
    in exchange for financial assistance and otherwise to achieve the goals
    set forth in section 2200(a) of this title.
        ``(2) An obligation to reimburse the United States imposed under
    paragraph (1) is for all purposes a debt owed to the United States.
        ``(3) The Secretary of Defense may waive, in whole or in part, a
    refund required under paragraph (1) if the Secretary determines that
    recovery would be against equity and good conscience or would be
    contrary to the best interests of the United States.
        ``(f ) Effect of Discharge in Bankruptcy.--A discharge in bankruptcy
    under title 11 that is entered less than five years after the
    termination of an agreement under this section does not discharge the
    person signing such agreement from a debt arising under such agreement
    or under subsection (e).
        ``(g) Allocation of Funding.--Not less than 50 percent of the amount
    available for financial assistance under this section for a fiscal year
    shall be available only for providing financial assistance for the
    pursuit of degrees referred to in subsection (a) at institutions of
    higher education that have established, improved, or are administering
    programs of education in information assurance under the grant program
    established in section 2200b of this title, as determined by the
    Secretary of Defense.

    ``Sec. 2200b. Grant program

        ``(a) Authority.--The Secretary of Defense may provide grants of
    financial assistance to institutions of higher education to support the
    establishment, improvement, or administration of programs of education
    in information assurance disciplines referred to in section 2200(a) of
    this title.
        ``(b) Purposes.--The proceeds of grants under this section may be
    used by an institution of higher education for the following purposes:
                ``(1) Faculty development.
                ``(2) Curriculum development.
                ``(3) Laboratory improvements.

    [[Page 114 STAT. 1654A-236]]

                ``(4) Faculty research in information security.

    ``Sec. 2200c. Centers of Academic Excellence in Information Assurance
                            Education

        ``In the selection of a recipient for the award of a scholarship or
    grant under this chapter, consideration shall be given to whether--
                ``(1) in the case of a scholarship, the institution at which
            the recipient pursues a degree is a Center of Academic
            Excellence in Information Assurance Education; and
                ``(2) in the case of a grant, the recipient is a Center of
            Academic Excellence in Information Assurance Education.

    ``Sec. 2200d. Regulations

        ``The Secretary of Defense shall prescribe regulations for the
    administration of this chapter.

    ``Sec. 2200e. Definitions

        ``In this chapter:
                ``(1) The term `information assurance' includes the
            following:
                        ``(A) Computer security.
                        ``(B) Network security.
                        ``(C) Any other information technology that the
                    Secretary of Defense considers related to information
                    assurance.
                ``(2) The term `institution of higher education' has the
            meaning given the term in section 101 of the Higher Education
            Act of 1965 (20 U.S.C. 1001).
                ``(3) The term `Center of Academic Excellence in Information
            Assurance Education' means an institution of higher education
            that is designated by the Director of the National Security
            Agency as a Center of Academic Excellence in Information
            Assurance Education.

    ``Sec. 2200f. Inapplicability to Coast Guard

        ``This chapter does not apply to the Coast Guard when it is not
    operating as a service in the Navy.''.
        (2) The tables of chapters at the beginning of subtitle A of title
    10, United States Code, and the beginning of part III of such subtitle
    are amended by inserting after the item relating to chapter 111 the
    following new item:

    ``112. Information Security Scholarship Program..................2200''.

        (b) Funding.--Of the amount authorized to be appropriated by section
    301(5), $15,000,000 shall be available for carrying out chapter 112 of
    title 10, United States Code (as added by subsection (a)).
        (c) Report.--Not later than April 1, 2001, the Secretary of Defense
    shall submit to the congressional defense committees a plan for
    implementing the programs under chapter 112 of title 10, United States
    Code.

    [[Page 114 STAT. 1654A-237]]

                               Subtitle D--Reports

    SEC. 931. DATE OF SUBMITTAL OF REPORTS ON SHORTFALLS IN EQUIPMENT
                PROCUREMENT AND MILITARY CONSTRUCTION FOR THE RESERVE
                COMPONENTS IN FUTURE-YEARS DEFENSE PROGRAMS.

        Section 10543(c) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(3) A report required under paragraph (1) for a fiscal year shall
    be submitted not later than 15 days after the date on which the
    President submits to Congress the budget for such fiscal year under
    section 1105(a) of title 31.''.

    SEC. 932. REPORT ON NUMBER OF PERSONNEL ASSIGNED TO LEGISLATIVE LIAISON
                FUNCTIONS.

        (a) Report.--Not later than December 1, 2000, 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 setting forth the number of personnel of the Department of
    Defense performing legislative liaison functions as of April 1, 2000.
        (b) Matters To Be Included.--The report shall include the following:
                (1) The number of military and civilian personnel of the
            Department of Defense assigned to full-time legislative liaison
            functions, shown by organizational entity and by pay grade.
                (2) The number of military and civilian personnel of the
            Department not covered by paragraph (1) (other than personnel
            described in subsection (e)) who perform legislative liaison
            functions as part of their assigned duties, shown by
            organizational entity and by pay grade.

        (c) Legislative Liaison Functions.--For purposes of this section, a
    legislative liaison function is a function (regardless of how
    characterized within the Department of Defense) that has been
    established or designated to principally provide advice, information,
    and assistance to the legislative branch on Department of Defense
    policies, plans, and programs.
        (d) Organizational Entities.--The display of information under
    subsection (b) by organizational entity shall be for the Department of
    Defense and for each military department as a whole and separately for
    each organization at the level of major command or Defense Agency or
    higher.
        (e) Personnel Not Covered.--Subsection (b)(2) does not apply to
    civilian officers appointed by the President, by and with the advice and
    consent of the Senate, or to general or flag officers.

    SEC. 933. JOINT REPORT ON ESTABLISHMENT OF NATIONAL COLLABORATIVE
                INFORMATION ANALYSIS CAPABILITY.

        (a) Report.--Not later than March 1, 2000, the Secretary of Defense
    and the Director of Central Intelligence shall submit to the
    congressional defense committees and the congressional intelligence
    committees a joint report assessing alternatives for the establishment
    of a national collaborative information analysis capability. The report
    shall include the following:

    [[Page 114 STAT. 1654A-238]]

                (1) An assessment of alternative architectures to establish
            a national collaborative information analysis capability to
            conduct data mining and profiling of information from a wide
            array of electronic data sources.
                (2) Identification, from among the various architectures
            assessed under paragraph (1), of the preferred architecture and
            a detailed description of that architecture and of a program to
            acquire and implement the capability that would be provided
            through that architecture.
                (3) A detailed explanation of how the personal information
            resulting from the data mining and profiling capability
            developed under the preferred architecture will be employed
            consistent with the requirements of section 552a of title 5,
            United States Code.

        (b) Completion and Use of Army Land Information Warfare Activity.--
    The Secretary of Defense--
                (1) shall ensure that the data mining, profiling, and
            analysis capability of the Army's Land Information Warfare
            Activity is completed and is fully operational as soon as
            possible; and
                (2) shall make appropriate use of that capability to provide
            support to all appropriate national defense components.

    SEC. 934. NETWORK CENTRIC WARFARE.

        (a) Findings.--Congress makes the following findings:
                (1) Joint Vision 2020 set the goal for the Department of
            Defense to pursue information superiority in order that joint
            forces may possess superior knowledge and attain decision
            superiority during operations across the spectrum of conflict.
                (2) One concept being pursued to attain information
            superiority is known as Network Centric Warfare. The concept of
            Network Centric Warfare links sensors, communications systems
            and weapons systems in an interconnected grid that allows for a
            seamless information flow to warfighters, policy makers, and
            support personnel.
                (3) The Joint Staff, the Defense Agencies, and the military
            departments are all pursuing various concepts related to Network
            Centric Warfare.

        (b) Goal.--It shall be the goal of Department of Defense to fully
    coordinate various efforts being pursued by the Joint Staff, the Defense
    Agencies, and the military departments as they develop the concept of
    Network Centric Warfare.
        (c) Report on Network Centric Warfare.--(1) The Secretary of Defense
    shall submit to the congressional defense committees a report on the
    development and implementation of network centric warfare concepts
    within the Department of Defense. The report shall be prepared in
    consultation with the Chairman of the Joint Chiefs of Staff.
        (2) The report shall include the following:
                (A) A clear definition and terminology to describe the set
            of operational concepts referred to as ``network centric
            warfare''.
                (B) An identification and description of the current and
            planned activities by the Office of the Secretary of Defense,
            the Joint Chiefs of Staff, and the United States Joint Forces
            Command relating to network centric warfare.
                (C) A discussion of how the concept of network centric
            warfare is related to the strategy of transformation as outlined

    [[Page 114 STAT. 1654A-239]]

            in the document entitled ``Joint Vision 2020'', along with the
            advantages and disadvantages of pursing that concept.
                (D) A discussion on how the Department is implementing the
            concepts of network centric warfare as it relates to information
            superiority and decision superiority articulated in ``Joint
            Vision 2020.''.
                (E) An identification and description of the current and
            planned activities of each of the Armed Forces relating to
            network centric warfare.
                (F) A discussion on how the Department plans to attain a
            fully integrated, joint command, control, communications,
            computers, intelligence, surveillance, and reconnaissance
            (C<SUP>4</SUP>ISR) capability.
                (G) A description of the joint requirements under
            development that will lead to the acquisition of technologies
            for enabling network centric warfare and whether those joint
            requirements are modifying existing service requirements and
            vision statements.
                (H) A discussion of how Department of Defense activities to
            establish a joint network centric capability are coordinated
            with other departments and agencies of the United States and
            with United States allies.
                (I) A discussion of the coordination of the science and
            technology investments of the military departments and Defense
            Agencies in the development of future joint network centric
            warfare capabilities.
                (J) The methodology being used to measure progress toward
            stated goals.

        (d) Study on the Use of Joint Experimentation for Developing Network
    Centric Warfare Concepts.--(1) The Secretary of Defense shall conduct a
    study on the present and future use of the joint experimentation program
    of the Department of Defense in the development of network centric
    warfare concepts.
        (2) The Secretary shall submit to the congressional defense
    committees a report on the results of the study. The report shall
    include the following:
                (A) A survey of and description of how experimentation under
            the joint experimentation at United States Joint Forces Command
            is being used for evaluating emerging concepts in network
            centric warfare.
                (B) A survey of and description of how experimentation under
            the joint experimentation of each of the armed services are
            being used for evaluating emerging concepts in network centric
            warfare.
                (C) A description of any emerging concepts and
            recommendations developed by those experiments, with special
            emphasis on force structure implications.

        (3) The Secretary of Defense, acting through the Chairman of the
    Joint Chiefs of Staff, shall designate the Commander in Chief of the
    United States Joint Forces Command to carry out the study and prepare
    the report required under this subsection.
        (e) Time for Submission of Reports.--Each report required under this
    section shall be submitted not later than March 1, 2001.

    [[Page 114 STAT. 1654A-240]]

    SEC. 935. REPORT ON AIR FORCE INSTITUTE OF TECHNOLOGY.

        (a) Report Required.--Not later than September 30, 2001, the
    Secretary of the Air Force 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 roles and missions, organizational
    structure, funding, and operations of the Air Force Institute of
    Technology as projected through 2010.
        (b) Matters To Be Included.--The report shall provide--
                (1) a statement of the Institute's roles and missions
            through 2010 in meeting the critical scientific and educational
            requirements of the Air Force;
                (2) a statement of the strategic priorities for the
            Institute in meeting long-term core science and technology
            educational needs of the Air Force; and
                (3) a plan for the near-term increase in the production by
            the Institute of masters and doctoral degree graduates.

        (c) Recommendations To Be Provided.--Based on the matters determined
    for purposes of subsection (b), the report shall include recommendations
    of the Secretary of the Air Force with respect to the following:
                (1) The grade of the Commandant of the Institute.
                (2) The chain of command of the Commandant within the Air
            Force.
                (3) The employment and compensation of civilian professors
            at the Institute.
                (4) The processes for the identification of requirements for
            personnel with advanced degrees within the Air Force and
            identification and selection of candidates for annual enrollment
            at the Institute.
                (5) Postgraduation opportunities within the Air Force for
            graduates of the Institute.
                (6) The policies and practices regarding the admission to
            the Institute of--
                        (A) officers of the Army, Navy, Marine Corps, and
                    Coast Guard;
                        (B) employees of the Department of the Army,
                    Department of the Navy, and Department of
                    Transportation;
                        (C) personnel of the military forces of foreign
                    countries;
                        (D) enlisted members of the Armed Forces; and
                        (E) other persons eligible for admission.
                (7) Near- and long-term funding of the institute.
                (8) Opportunities for cooperation, collaboration, and joint
            endeavors with other military and civilian scientific and
            technical educational institutions for the production of
            qualified personnel to meet Department of Defense scientific and
            technical requirements.

        (d) Consultation.--The report shall be prepared in consultation with
    the Chief of Staff of the Air Force and the Commander of the Air Force
    Materiel Command.

    [[Page 114 STAT. 1654A-241]]

                            Subtitle E--Other Matters

    SEC. 941. FLEXIBILITY IN IMPLEMENTATION OF LIMITATION ON MAJOR
                DEPARTMENT OF DEFENSE HEADQUARTERS ACTIVITIES PERSONNEL.

        Section 130a of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(g) Flexibility.--(1) If during fiscal year 2001 or fiscal year
    2002 the Secretary of Defense determines, and certifies to Congress,
    that the limitation under subsection (a), or a limitation under
    subsection (b), would adversely affect United States national security,
    the Secretary may take any of the following actions:
                ``(A) Increase the percentage specified in subsection (b)(1)
            by such amount as the Secretary determines necessary or waive
            the limitation under that subsection.
                ``(B) Increase the percentage specified in subsection (b)(2)
            by such amount as the Secretary determines necessary, not to
            exceed a cumulative increase of 7.5 percentage points.
                ``(C) Increase the percentage specified in subsection (a) by
            such amount as the Secretary determines necessary, not to exceed
            a cumulative increase of 7.5 percentage points.

        ``(2) Any certification under paragraph (1) shall include notice of
    the specific waiver or increases made pursuant to the authority provided
    in that paragraph.''.

    SEC. 942. CONSOLIDATION OF CERTAIN NAVY GIFT FUNDS.

        (a) Merger of Naval Historical Center Fund Into Department of the
    Navy General Gift Fund.--(1) The Secretary of the Navy shall transfer
    all amounts in the Naval Historical Center Fund maintained under section
    7222 of title 10, United States Code, to the Department of the Navy
    General Gift Fund maintained under section 2601 of such title. Upon
    completing the transfer, the Secretary shall close the Naval Historical
    Center Fund.
        (2) Amounts transferred to the Department of the Navy General Gift
    Fund under this subsection shall be merged with other amounts in that
    Fund and shall be available for the purposes for which amounts in that
    Fund are available.
        (b) Consolidation of Naval Academy General Gift Fund and Naval
    Academy Museum Fund.--(1) The Secretary of the Navy shall transfer all
    amounts in the United States Naval Academy Museum Fund established by
    section 6974 of title 10, United States Code, to the gift fund
    maintained for the benefit and use of the United States Naval Academy
    under section 6973 of such title. Upon completing the transfer, the
    Secretary shall close the United States Naval Academy Museum Fund.
        (2) Amounts transferred under this subsection shall be merged with
    other amounts in the gift fund to which transferred and shall be
    available for the purposes for which amounts in that gift fund are
    available.
        (c) Consolidation and Revision of Authorities for Acceptance of
    Gifts, Bequests, and Loans for the United States Naval Academy.--(1)
    Subsection (a) of section 6973 of title 10, United States Code, is
    amended--
                (A) in the first sentence--
                        (i) by striking ``gifts and bequests of personal
                    property'' and inserting ``any gift or bequest of
                    personal property,

    [[Page 114 STAT. 1654A-242]]

                    and may accept, hold, and administer any loan of
                    personal property other than money, that is''; and
                        (ii) by inserting ``or the Naval Academy Museum, its
                    collection, or its services'' before the period at the
                    end;
                (B) in the second sentence, by striking `` `United States
            Naval Academy general gift fund' '' and inserting `` `United
            States Naval Academy Gift and Museum Fund' ''; and
                (C) in the third sentence, by inserting ``(including the
            Naval Academy Museum)'' after ``the Naval Academy''.

        (2) Such section is further amended--
                (A) by redesignating subsections (b) and (c) as subsections
            (c) and (d), respectively; and
                (B) by inserting after subsection (a) the following new
            subsection (b):

        ``(b) The Secretary shall prescribe written guidelines to be used
    for determinations of whether the acceptance of money, any personal
    property, or any loan of personal property under subsection (a) would
    reflect unfavorably on the ability of the Department of the Navy or any
    officer or employee of the Department of the Navy to carry out
    responsibilities or duties in a fair and objective manner, or would
    compromise either the integrity or the appearance of the integrity of
    any program of the Department of the Navy or any officer or employee of
    the Department of the Navy who is involved in any such program.''.
        (3) Subsection (d) of such section, as redesignated by paragraph
    (2)(A), is amended by striking ``United States Naval Academy general
    gift fund'' both places it appears and inserting ``United States Naval
    Academy Gift and Museum Fund''.
        (4) The heading for such section is amended to read as follows:

    ``Sec. 6973. Gifts, bequests, and loans of property: acceptance for
                            benefit and use of Naval Academy''.

        (d) References to Closed Gift Funds.--(1) Section 6974 of title 10,
    United States Code, is amended to read as follows:

    ``Sec. 6974. United States Naval Academy Museum Fund: references to Fund

        ``Any reference in a law, regulation, document, paper, or other
    record of the United States to the United States Naval Academy Museum
    Fund formerly maintained under this section shall be deemed to refer to
    the United States Naval Academy Gift and Museum Fund maintained under
    section 6973 of this title.''.
        (2) Section 7222 of such title is amended to read as follows:

    ``Sec. 7222. Naval Historical Center Fund: references to Fund

        ``Any reference in a law, regulation, document, paper, or other
    record of the United States to the Naval Historical Center Fund formerly
    maintained under this section shall be deemed to refer to the Department
    of the Navy General Gift Fund maintained under section 2601 of this
    title.''.
        (e) Clerical Amendments.--(1) The table of sections at the beginning
    of chapter 603 of title 10, United States Code, is amended by striking
    the items relating to sections 6973 and 6974 and inserting the
    following:

    ``6973. Gifts, bequests, and loans of property: acceptance for benefit
               and use of Naval Academy.
    ``6974. United States Naval Academy Museum Fund: references to Fund.''.

    [[Page 114 STAT. 1654A-243]]

        (2) The item relating to section 7222 of such title in the table of
    sections at the beginning of chapter 631 of such title is amended to
    read as follows:

    ``7222. Naval Historical Center Fund: references to Fund.''.

    SEC. 943. TEMPORARY AUTHORITY TO DISPOSE OF A GIFT PREVIOUSLY ACCEPTED
                FOR THE NAVAL ACADEMY.

        Notwithstanding section 6973 of title 10, United States Code, during
    fiscal year 2001 the Secretary of the Navy may dispose of a gift
    accepted before the date of the enactment of this Act for the United
    States Naval Academy by disbursing from the United States Naval Academy
    general gift fund to an entity designated by the donor of the gift the
    amount equal to the current cash value of that gift.

                           TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec.1001.Transfer authority.
    Sec.1002.Incorporation of classified annex.
    Sec.1003.Authorization of emergency supplemental appropriations for
               fiscal year 2000.
    Sec.1004.United States contribution to NATO common-funded budgets in
               fiscal year 2001.
    Sec.1005.Limitation on funds for Bosnia and Kosovo peacekeeping
               operations for fiscal year 2001.
    Sec.1006.Requirement for prompt payment of contract vouchers.
    Sec.1007.Plan for prompt recording of obligations of funds for
               contractual transactions.
    Sec.1008.Electronic submission and processing of claims for contract
               payments.
    Sec.1009.Administrative offsets for overpayment of transportation costs.
    Sec.1010.Interest penalties for late payment of interim payments due
               under Government service contracts.

                     Subtitle B--Naval Vessels and Shipyards

    Sec.1011.Revisions to national defense features program.
    Sec.1012.Sense of Congress on the naming of the CVN-77 aircraft carrier.
    Sec.1013.Authority to transfer naval vessels to certain foreign
               countries.
    Sec.1014.Authority to consent to retransfer of alternative former naval
               vessel by Government of Greece.

                       Subtitle C--Counter-Drug Activities

    Sec.1021.Extension of authority to provide support for counter-drug
               activities of Colombia.
    Sec.1022.Report on Department of Defense expenditures to support foreign
               counter-drug activities.
    Sec.1023.Recommendations on expansion of support for counter-drug
               activities.
    Sec.1024.Review of riverine counter-drug program.
    Sec.1025.Report on tethered aerostat radar system.
    Sec.1026.Sense of Congress regarding use of Armed Forces for counter-
               drug and counter-terrorism activities.

             Subtitle D--Counterterrorism and Domestic Preparedness

    Sec.1031.Preparedness of military installation first responders for
               incidents involving weapons of mass destruction.
    Sec.1032.Additional weapons of mass destruction civil support teams.
    Sec.1033.Authority to provide loan guarantees to improve domestic
               preparedness to combat cyberterrorism.
    Sec.1034.Report on the status of domestic preparedness against the
               threat of biological terrorism.
    Sec.1035.Report on strategy, policies, and programs to combat domestic
               terrorism.

                          Subtitle E--Strategic Forces

    Sec.1041.Revised nuclear posture review.

    [[Page 114 STAT. 1654A-244]]

    Sec.1042.Plan for the long-term sustainment and modernization of United
               States strategic nuclear forces.
    Sec.1043.Modification of scope of waiver authority for limitation on
               retirement or dismantlement of strategic nuclear delivery
               systems.
    Sec.1044.Report on the defeat of hardened and deeply buried targets.
    Sec.1045.Sense of Congress on the maintenance of the strategic nuclear
               triad.

                Subtitle F--Miscellaneous Reporting Requirements

    Sec.1051.Management review of working-capital fund activities.
    Sec.1052.Report on submarine rescue support vessels.
    Sec.1053.Report on Federal Government progress in developing information
               assurance strategies.
    Sec.1054.Department of Defense process for decisionmaking in cases of
               false claims.

               Subtitle G--Government Information Security Reform

    Sec.1061.Coordination of Federal information policy.
    Sec.1062.Responsibilities of certain agencies.
    Sec.1063.Relationship of Defense Information Assurance Program to
               Government-wide information security program.
    Sec.1064.Technical and conforming amendments.
    Sec.1065.Effective date.

                          Subtitle H--Security Matters

    Sec.1071.Limitation on granting of security clearances.
    Sec.1072.Process for prioritizing background investigations for security
               clearances for Department of Defense personnel and defense
               contractor personnel.
    Sec.1073.Authority to withhold certain sensitive information from public
               disclosure.
    Sec.1074.Expansion of authority to exempt geodetic products of the
               Department of Defense from public disclosure.
    Sec.1075.Expenditures for declassification activities.
    Sec.1076.Enhanced access to criminal history record information for
               national security and other purposes.
    Sec.1077.Two-year extension of authority to engage in commercial
               activities as security for intelligence collection
               activities.
    Sec.1078.Coordination of nuclear weapons secrecy policies and
               consideration of health of workers at former Department of
               Defense nuclear facilities.

                            Subtitle I--Other Matters

    Sec.1081.Funds for administrative expenses under Defense Export Loan
               Guarantee program.
    Sec.1082.Transit pass program for Department of Defense personnel in
               poor air quality areas.
    Sec.1083.Transfer of Vietnam era TA-4 aircraft to nonprofit foundation.
    Sec.1084.Transfer of 19th century cannon to museum.
    Sec.1085.Fees for providing historical information to the public.
    Sec.1086.Grants to American Red Cross for Armed Forces emergency
               services.
    Sec.1087.Technical and clerical amendments.
    Sec.1088.Maximum size of parcel post packages transported overseas for
               Armed Forces post offices.
    Sec.1089.Sense of Congress regarding tax treatment of members receiving
               special pay for duty subject to hostile fire or imminent
               danger.
    Sec.1090.Organization and management of Civil Air Patrol.
    Sec.1091.Additional duties for Commission to Assess United States
               National Security Space Management and Organization.
    Sec.1092.Commission on the Future of the United States Aerospace
               Industry.
    Sec.1093.Drug addiction treatment.

                          Subtitle A--Financial Matters

    SEC. 1001. TRANSFER AUTHORITY.

        (a) Authority To Transfer Authorizations.--(1) Upon determination by
    the Secretary of Defense that such action is necessary in the national
    interest, the Secretary may transfer amounts of authorizations made
    available to the Department of Defense in this division for fiscal year
    2001 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.

    [[Page 114 STAT. 1654A-245]]

        (2) The total amount of authorizations that the Secretary may
    transfer under the authority of this section may not exceed
    $2,000,000,000.
        (b) Limitations.--The authority provided by this section to transfer
    authorizations--
                (1) may only be used to provide authority for items that
            have a higher priority than the items from which authority is
            transferred; and
                (2) may not be used to provide authority for an item that
            has been denied authorization by Congress.

        (c) Effect on Authorization Amounts.--A transfer made from one
    account to another under the authority of this section shall be deemed
    to increase the amount authorized for the account to which the amount is
    transferred by an amount equal to the amount transferred.
        (d) Notice to Congress.--The Secretary shall promptly notify
    Congress of each transfer made under subsection (a).

    SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.

        (a) Status of Classified Annex.--The Classified Annex prepared by
    the committee of conference to accompany the conference report on the
    bill H.R. 4205 of the One Hundred Sixth Congress and transmitted to the
    President is hereby incorporated into this Act.
        (b) Construction With Other Provisions of Act.--The amounts
    specified in the Classified Annex are not in addition to amounts
    authorized to be appropriated by other provisions of this Act.
        (c) Limitation on Use of Funds.--Funds appropriated pursuant to an
    authorization contained in this Act that are made available for a
    program, project, or activity referred to in the Classified Annex may
    only be expended for such program, project, or activity in accordance
    with such terms, conditions, limitations, restrictions, and requirements
    as are set out for that program, project, or activity in the Classified
    Annex.
        (d) Distribution of Classified Annex.--The President shall provide
    for appropriate distribution of the Classified Annex, or of appropriate
    portions of the annex, within the executive branch of the Government.

    SEC. 1003. AUTHORIZATION OF EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR
                FISCAL YEAR 2000.

        Amounts authorized to be appropriated to the Department of Defense
    for fiscal year 2000 in the National Defense Authorization Act for
    Fiscal Year 2000 (Public Law 106-65) are hereby adjusted, with respect
    to any such authorized amount, by the amount by which appropriations
    pursuant to such authorization were increased (by a supplemental
    appropriation) or decreased (by a rescission), or both, in the Emergency
    Supplemental Act, 2000 (division B of Public Law 106-246) or in title IX
    of the Department of Defense Appropriations Act, 2001 (Public Law 106-
    259).

    SEC. 1004. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED BUDGETS IN
                FISCAL YEAR 2001.

        (a) Fiscal Year 2001 Limitation.--The total amount contributed by
    the Secretary of Defense in fiscal year 2001 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

    [[Page 114 STAT. 1654A-246]]

    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 2000, of funds appropriated for fiscal years before
            fiscal year 2001 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), $743,000 for
            the Civil Budget.
                (2) Of the amount provided in section 301(1), $181,981,000
            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. LIMITATION ON FUNDS FOR BOSNIA AND KOSOVO PEACEKEEPING
                OPERATIONS FOR FISCAL YEAR 2001.

        (a) Limitation.--Of the amounts authorized to be appropriated by
    section 301(24) for the Overseas Contingency Operations Transfer Fund--
                (1) no more than $1,387,800,000 may be obligated for
            incremental costs of the Armed Forces for Bosnia peacekeeping
            operations; and
                (2) no more than $1,650,400,000 may be obligated for
            incremental costs of the Armed Forces for Kosovo peacekeeping
            operations.

        (b) Presidential Waiver.--The President may waive the limitation in
    subsection (a)(1), or the limitation in subsection (a)(2), after
    submitting to Congress the following:
                (1) The President's written certification that the waiver is
            necessary in the national security interests of the United
            States.
                (2) The President's written certification that exercising
            the waiver will not adversely affect the readiness of United
            States military forces.
                (3) A report setting forth the following:

    [[Page 114 STAT. 1654A-247]]

                        (A) The reasons that the waiver is necessary in the
                    national security interests of the United States.
                        (B) The specific reasons that additional funding is
                    required for the continued presence of United States
                    military forces participating in, or supporting, Bosnia
                    peacekeeping operations, or Kosovo peacekeeping
                    operations, as the case may be, for fiscal year 2001.
                        (C) A discussion of the impact on the military
                    readiness of United States Armed Forces of the
                    continuing deployment of United States military forces
                    participating in, or supporting, Bosnia peacekeeping
                    operations, or Kosovo peacekeeping operations, as the
                    case may be.
                (4) A supplemental appropriations request for the Department
            of Defense for such amounts as are necessary for the additional
            fiscal year 2001 costs associated with United States military
            forces participating in, or supporting, Bosnia or Kosovo
            peacekeeping operations.

        (c) Peacekeeping Operations Defined.--For the purposes of this
    section:
                (1) The term ``Bosnia peacekeeping operations'' has the
            meaning given such term in section 1004(e) of the Strom Thurmond
            National Defense Authorization Act for Fiscal Year 1999 (Public
            Law 105-261; 112 Stat. 2112).
                (2) The term ``Kosovo peacekeeping operations''--
                        (A) means the operation designated as Operation
                    Joint Guardian and any other operation involving the
                    participation of any of the Armed Forces in peacekeeping
                    or peace enforcement activities in and around Kosovo;
                    and
                        (B) includes, with respect to Operation Joint
                    Guardian or any such other operation, each activity that
                    is directly related to the support of the operation.

    SEC. 1006. REQUIREMENT FOR PROMPT PAYMENT OF CONTRACT VOUCHERS.

        (a) Requirement.--(1) Chapter 131 of title 10, United States Code,
    is amended by adding after section 2225, as added by section 812(a)(1),
    the following new section:

    ``Sec. 2226. Contracted property and services: prompt payment of
                            vouchers

        ``(a) Requirement.--Of the contract vouchers that are received by
    the Defense Finance and Accounting Service by means of the mechanization
    of contract administration services system, the number of such vouchers
    that remain unpaid for more than 30 days as of the last day of each
    month may not exceed 5 percent of the total number of the contract
    vouchers so received that remain unpaid on that day.
        ``(b) Contract Voucher Defined.--In this section, the term `contract
    voucher' means a voucher or invoice for the payment to a contractor for
    services, commercial items (as defined in section 4(12) of the Office of
    Federal Procurement Policy Act (41 U.S.C. 403(12))), or other
    deliverable items provided by the contractor under a contract funded by
    the Department of Defense.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding after the item relating to section 2225, as added by
    section 812(a)(2), the following new item:

    ``2226. Contracted property and services: prompt payment of vouchers.''.

    [[Page 114 STAT. 1654A-248]]

        (b) Effective Date.--Section 2226 of title 10, United States Code
    (as added by subsection (a)), shall take effect on December 1, 2000.
        (c) Conditional Requirement for Report.--(1) If for any month of the
    noncompliance reporting period the requirement in section 2226 of title
    10, United States Code (as added by subsection (a)), is not met, 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 magnitude of the unpaid contract
    vouchers. The report for a month shall be submitted not later than 30
    days after the end of that month.
        (2) A report for a month under paragraph (1) shall include
    information current as of the last day of the month as follows:
                (A) The number of the vouchers received by the Defense
            Finance and Accounting Service by means of the mechanization of
            contract administration services system during each month.
                (B) The number of the vouchers so received, whenever
            received by the Defense Finance and Accounting Service, that
            remain unpaid for each of the following periods:
                        (i) Over 30 days and not more than 60 days.
                        (ii) Over 60 days and not more than 90 days.
                        (iii) More than 90 days.
                (C) The number of the vouchers so received that remain
            unpaid for the major categories of procurements, as defined by
            the Secretary of Defense.
                (D) The corrective actions that are necessary, and those
            that are being taken, to ensure compliance with the requirement
            in subsection (a).

        (3) For purposes of this subsection:
                (A) The term ``noncompliance reporting period'' means the
            period beginning on December 1, 2000, and ending on November 30,
            2004.
                (B) The term ``contract voucher'' has the meaning given that
            term in section 2226(b) of title 10, United States Code (as
            added by subsection (a)).

    SEC. 1007. PLAN FOR PROMPT RECORDING OF OBLIGATIONS OF FUNDS FOR
                CONTRACTUAL TRANSACTIONS.

        (a) Requirement for Plan.--The Secretary of Defense shall submit to
    the Committees on Armed Services of the Senate and the House of
    Representatives, not later than November 15, 2000, a plan for ensuring
    that each obligation of the Department of Defense under a transaction
    described in subsection (c) be recorded in the appropriate financial
    administration systems of the Department of Defense not later than 10
    days after the date on which the obligation is incurred.
        (b) Content of Plan.--The plan under subsection (a) shall provide
    for the following:
                (1) The recording of obligations in accordance with
            requirements that apply uniformly throughout the Department of
            Defense, including requirements for the recording of detailed
            data on each such obligation.
                (2) A system of accounting classification reference numbers
            for the recording of obligations that applies uniformly
            throughout the Department of Defense.

    [[Page 114 STAT. 1654A-249]]

                (3) A discussion of how the plan is to be implemented,
            including a schedule for implementation.

        (c) Covered Transactions.--The plan shall apply to each obligation
    under any of the following transactions of the Department of Defense:
                (1) A contract.
                (2) A grant.
                (3) A cooperative agreement.
                (4) A transaction authorized under section 2371 of title 10,
            United States Code.

    SEC. 1008. ELECTRONIC SUBMISSION AND PROCESSING OF CLAIMS FOR CONTRACT
                PAYMENTS.

        (a) Requirements.--(1) Chapter 131 of title 10, United States Code,
    is amended by adding after section 2226, as added by section 1006(a)(1),
    the following new section:

    ``Sec. 2227. Electronic submission and processing of claims for contract
                            payments

        ``(a) Submission of Claims.--The Secretary of Defense shall require
    that any claim for payment under a Department of Defense contract shall
    be submitted to the Department of Defense in electronic form.
        ``(b) Processing.--A contracting officer, contract administrator,
    certifying official, or other officer or employee of the Department of
    Defense who receives a claim for payment in electronic form in
    accordance with subsection (a) and is required to transmit the claim to
    any other officer or employee of the Department of Defense for
    processing under procedures of the department shall transmit the claim
    and any additional documentation necessary to support the determination
    and payment of the claim to such other officer or employee
    electronically.
        ``(c) Waiver Authority.--If the Secretary of Defense determines that
    the requirement for using electronic means for submitting claims under
    subsection (a), or for transmitting claims and supporting documentation
    under subsection (b), is unduly burdensome in any category of cases, the
    Secretary may exempt the cases in that category from the application of
    the requirement.
        ``(d) Implementation of Requirements.--In implementing subsections
    (a) and (b), the Secretary of Defense shall provide for the following:
                ``(1) Policies, requirements, and procedures for using
            electronic means for the submission of claims for payment to the
            Department of Defense and for the transmission, between
            Department of Defense officials, of claims for payment received
            in electronic form, together with supporting documentation (such
            as receiving reports, contracts and contract modifications, and
            required certifications).
                ``(2) The format in which information can be accepted by the
            corporate database of the Defense Finance and Accounting
            Service.
                ``(3) The requirements to be included in contracts regarding
            the electronic submission of claims for payment by contractors.

        ``(e) Claim for Payment Defined.--In this section, the term `claim
    for payment' means an invoice or any other demand or request for
    payment.''.

    [[Page 114 STAT. 1654A-250]]

        (2) The table of sections at the beginning of such chapter is
    amended by adding after the item relating to section 2226, as added by
    section 1006(a)(2), the following new item:

    ``2227. Electronic submission and processing of claims for contract
               payments.''.

        (b) Implementation Plan.--Not later than March 30, 2001, the
    Secretary of Defense shall submit to the Committees on Armed Services of
    the Senate and the House of Representatives a plan for the
    implementation of the requirements imposed under section 2227 of title
    10, United States Code (as added by subsection (a)). The plan shall
    provide for each of the matters specified in subsection (d) of that
    section.
        (c) Applicability.--(1) Subject to paragraph (2), the Secretary of
    Defense shall apply section 2227 of title 10, United States Code (as
    added by subsection (a)), with respect to contracts for which
    solicitations of offers are issued after June 30, 2001.
        (2)(A) The Secretary may delay the implementation of section 2227 to
    a date after June 30, 2001, upon a finding that it is impracticable to
    implement that section until that later date. In no event, however, may
    the implementation be delayed to a date after October 1, 2002.
        (B) Upon determining to delay the implementation of such section
    2227 to a later date under subparagraph (A), the Secretary shall
    promptly publish a notice of the delay in the Federal Register. The
    notice shall include a specification of the later date on which the
    implementation of that section is to begin. Not later than 30 days
    before the later implementation date, the Secretary shall publish in the
    Federal Register another notice that such section is being implemented
    beginning on that date.

    SEC. 1009. ADMINISTRATIVE OFFSETS FOR OVERPAYMENT OF TRANSPORTATION
                COSTS.

        (a) Offsets for Overpayments or Liquidated Damages.--(1) Section
    2636 of title 10, United States Code, is amended to read as follows:

    ``Sec. 2636. Deductions from amounts due carriers

        ``(a) Amounts for Loss or Damage.--An amount deducted from an amount
    due a carrier shall be credited as follows:
                ``(1) If deducted because of loss of or damage to material
            in transit for a military department, the amount shall be
            credited to the proper appropriation, account, or fund from
            which the same or similar material may be replaced.
                ``(2) If deducted as an administrative offset for an
            overpayment previously made to the carrier under any Department
            of Defense contract for transportation services or as liquidated
            damages due under any such contract, the amount shall be
            credited to the appropriation or account from which payments for
            the transportation services were made.

        ``(b) Simplified Offset for Collection of Claims Not in Excess of
    the Simplified Acquisition Threshold.--(1) In any case in which the
    total amount of a claim for the recovery of overpayments or liquidated
    damages under a contract described in subsection (a)(2) does not exceed
    the simplified acquisition threshold, the Secretary of Defense or the
    Secretary concerned, in exercising the authority to collect the claim by
    administrative offset under

    [[Page 114 STAT. 1654A-251]]

    section 3716 of title 31, may apply paragraphs (2) and (3) of subsection
    (a) of that section with respect to that collection after (rather than
    before) the claim is so collected.
        ``(2) Regulations prescribed by the Secretary of Defense under
    subsection (b) of section 3716 of title 31--
                ``(A) shall include provisions to carry out paragraph (1);
            and
                ``(B) shall provide the carrier for a claim subject to
            paragraph (1) with an opportunity to offer an alternative method
            of repaying the claim (rather than by administrative offset) if
            the collection of the claim by administrative offset has not
            already been made.

        ``(3) In this subsection, the term `simplified acquisition
    threshold' has the meaning given that term in section 4(11) of the
    Office of Federal Procurement Policy Act (41 U.S.C. 403(11)).''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 157 of such title is amended to read as
    follows:

    ``2636. Deductions from amounts due carriers.''.

        (b) Effective Date.--Subsections (a)(2) and (b) of section 2636 of
    title 10, United States Code, as added by subsection (a)(1), shall apply
    with respect to contracts entered into after the date of the enactment
    of this Act.

    SEC. 1010. INTEREST PENALTIES FOR LATE PAYMENT OF INTERIM PAYMENTS DUE
                UNDER GOVERNMENT SERVICE CONTRACTS.

        (a) Prompt Payment Requirement for Interim Payments.--Under
    regulations prescribed under subsection (c), the head of an agency
    acquiring services from a business concern under a cost reimbursement
    contract requiring interim payments who does not pay the concern a
    required interim payment by the date that is 30 days after the date of
    the receipt of a proper invoice shall pay an interest penalty to the
    concern on the amount of the payment due. The interest shall be computed
    as provided in section 3902(a) of title 31, United States Code.
        (b) Regulations.--The Director of the Office of Management and
    Budget shall prescribe regulations to carry out this section. Such
    regulations shall be prescribed as part of the regulations prescribed
    under section 3903 of title 31, United States Code.
        (c) Incorporation of Certain Provisions of Law.--The provisions of
    chapter 39 of title 31, United States Code, shall apply to this section
    in the same manner as if this section were enacted as part of such
    chapter.
        (d) Effective Date.--Subsection (a) shall take effect on December
    15, 2000. No interest shall accrue by reason of that subsection for any
    period before that date.

                     Subtitle B--Naval Vessels and Shipyards

    SEC. 1011. REVISIONS TO NATIONAL DEFENSE FEATURES PROGRAM.

        Section 2218(k) of title 10, United States Code, is amended--
                (1) by adding at the end of paragraph (1) the following new
            sentence: ``As consideration for a contract with the head of an
            agency under this subsection, the company entering into the
            contract shall agree with the Secretary of Defense to make

    [[Page 114 STAT. 1654A-252]]

            any vessel covered by the contract available to the Secretary,
            fully crewed and ready for sea, at any time at any port
            determined by the Secretary, and for whatever duration the
            Secretary determines necessary.'';
                (2) by adding at the end of paragraph (2) the following new
            subparagraph:
                ``(E) Payments of such sums as the Government would
            otherwise expend, if the vessel were placed in the Ready Reserve
            Fleet, for maintaining the vessel in the status designated as
            `ROS-4 status' in the Ready Reserve Fleet for 25 years.''; and
                (3) by adding at the end the following new paragraph:

        ``(6) The head of an agency may not enter into a contract under
    paragraph (1) that would provide for payments to the contractor as
    authorized in paragraph (2)(E) until notice of the proposed contract is
    submitted to the congressional defense committees and a period of 90
    days has elapsed.''.

    SEC. 1012. SENSE OF CONGRESS ON THE NAMING OF THE CVN-77 AIRCRAFT
                CARRIER.

        (a) Findings.--Congress makes the following findings:
                (1) Over the last three decades Congress has authorized and
            appropriated funds for a total of 10 Nimitz class aircraft
            carriers.
                (2) The last vessel in the Nimitz class of aircraft
            carriers, CVN-77, is currently under construction and will be
            delivered in 2008.
                (3) The first nine vessels in this class bear the following
            proud names:
                        (A) U.S.S. Nimitz (CVN-68).
                        (B) U.S.S. Dwight D. Eisenhower (CVN-69).
                        (C) U.S.S. Carl Vinson (CVN-70).
                        (D) U.S.S. Theodore Roosevelt (CVN-71).
                        (E) U.S.S. Abraham Lincoln (CVN-72).
                        (F) U.S.S. George Washington (CVN-73).
                        (G) U.S.S. John C. Stennis (CVN-74).
                        (H) U.S.S. Harry S. Truman (CVN-75).
                        (I) U.S.S. Ronald Reagan (CVN-76).
                (4) It is appropriate for Congress to recommend to the
            President, as Commander in Chief of the Armed Forces, an
            appropriate name for the final vessel in the Nimitz class of
            aircraft carriers.
                (5) Over the last 25 years the vessels in the Nimitz class
            of aircraft carriers have served as one of the principal means
            of United States diplomacy and as one of the principal means for
            the defense of the United States and its allies around the
            world.
                (6) The name bestowed upon the aircraft carrier CVN-77
            should embody the American spirit and provide a lasting symbol
            of the American commitment to freedom.
                (7) The name ``Lexington'' has been a symbol of freedom from
            the first battle of the American Revolution.
                (8) The two aircraft carriers previously named U.S.S.
            Lexington (the CV-2 and the CV-16) served the Nation for 64
            years, served in World War II, and earned a total of 13 battle
            stars.

    [[Page 114 STAT. 1654A-253]]

                (9) One of those honored vessels, the CV-2, was lost at the
            Battle of the Coral Sea on May 8, 1942.

        (b) Sense of Congress.--It is the sense of Congress that the CVN-77
    aircraft carrier should be named the ``U.S.S. Lexington''--
                (1) in order to honor the men and women who served in the
            Armed Forces of the United States during World War II and the
            incalculable number of United States citizens on the home front
            during that war who mobilized in the name of freedom; and
                (2) as a special tribute to the 16,000,000 veterans of the
            Armed Forces who served on land, sea, and air during World War
            II (of whom fewer than 6,000,000 remain alive today) and a
            lasting symbol of their commitment to freedom as they pass on
            having proudly taken their place in history.

    SEC. 1013. AUTHORITY TO TRANSFER NAVAL VESSELS TO CERTAIN FOREIGN
                COUNTRIES.

        (a) Transfers by Grant.--The President is authorized to transfer
    vessels to foreign countries on a grant basis under section 516 of the
    Foreign Assistance Act of 1961 (22 U.S.C. 2321j) as follows:
                (1) Brazil.--To the Government of Brazil--
                        (A) the THOMASTON class dock landing ships ALAMO
                    (LSD 33) and HERMITAGE (LSD 34); and
                        (B) the GARCIA class frigates BRADLEY (FF 1041),
                    DAVIDSON (FF 1045), SAMPLE (FF 1048) and ALBERT DAVID
                    (FF 1050).
                (2) Greece.--To the Government of Greece, the KNOX class
            frigates VREELAND (FF 1068) and TRIPPE (FF 1075).

        (b) Transfers on a Combined Lease-Sale Basis.--(1) The President is
    authorized to transfer vessels to foreign countries on a combined lease-
    sale basis under sections 61 and 21 of the Arms Export Control Act (22
    U.S.C. 2796 and 2761) and in accordance with subsection (c) as follows:
                (A) Chile.--To the Government of Chile, the OLIVER HAZARD
            PERRY class guided missile frigates WADSWORTH (FFG 9), and
            ESTOCIN (FFG 15).
                (B) Turkey.--To the Government of Turkey, the OLIVER HAZARD
            PERRY class guided missile frigates JOHN A. MOORE (FFG 19) and
            FLATLEY (FFG 21).

        (2) The authority provided under paragraph (1)(B) is in addition to
    the authority provided under section 1018(a)(9) of the National Defense
    Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 Stat.
    745) for the transfer of those vessels to the Government of Turkey on a
    sale basis under section 21 of the Arms Export Control Act (22 U.S.C.
    2761).
        (c) Conditions Relating to Combined Lease-Sale Transfers.--A
    transfer of a vessel on a combined lease-sale basis authorized by
    subsection (b) shall be made in accordance with the following
    requirements:
                (1) The President may initially transfer the vessel by
            lease, with lease payments suspended for the term of the lease,
            if the country entering into the lease for the vessel
            simultaneously enters into a foreign military sales agreement
            for the transfer of title to the vessel.

    [[Page 114 STAT. 1654A-254]]

                (2) The President may not deliver to the purchasing country
            title to the vessel until the purchase price of the vessel under
            such a foreign military sales agreement is paid in full.
                (3) Upon payment of the purchase price in full under such a
            sales agreement and delivery of title to the recipient country,
            the President shall terminate the lease.
                (4) If the purchasing country fails to make full payment of
            the purchase price in accordance with the sales agreement by the
            date required under the sales agreement--
                        (A) the sales agreement shall be immediately
                    terminated;
                        (B) the suspension of lease payments under the lease
                    shall be vacated; and
                        (C) the United States shall be entitled to retain
                    all funds received on or before the date of the
                    termination under the sales agreement, up to the amount
                    of the lease payments due and payable under the lease
                    and all other costs required by the lease to be paid to
                    that date.
                (5) If a sales agreement is terminated pursuant to paragraph
            (4), the United States shall not be required to pay any interest
            to the recipient country on any amount paid to the United States
            by the recipient country under the sales agreement and not
            retained by the United States under the lease.

        (d) Authorization of Appropriations for Costs of Lease-Sale
    Transfers.--There is hereby authorized to be appropriated into the
    Defense Vessels Transfer Program Account such sums as may be necessary
    for paying the costs (as defined in section 502 of the Congressional
    Budget Act of 1974 (2 U.S.C. 661a)) of the lease-sale transfers
    authorized by subsection (b). Amounts so appropriated shall be available
    only for the purpose of paying those costs.
        (e) Grants Not Counted in Annual Total of Transferred Excess Defense
    Articles.--The value of a vessel transferred to another country on a
    grant basis under section 516 of the Foreign Assistance Act of 1961 (22
    U.S.C. 2321j) pursuant to authority provided by subsection (a) shall not
    be counted for the purposes of subsection (g) of that section in the
    aggregate value of excess defense articles transferred to countries
    under that section in any fiscal year.
        (f ) Costs of Transfers.--Any expense incurred by the United States
    in connection with a transfer authorized by this section shall be
    charged to the recipient (notwithstanding section 516(e)(1) of the
    Foreign Assistance Act of 1961 (22 U.S.C. 2321j(e)(1))) in the case of a
    transfer authorized to be made on a grant basis under subsection (a).
        (g) Repair and Refurbishment in United States Shipyards.--To the
    maximum extent practicable, the President shall require, as a condition
    of the transfer of a vessel under this section, that the country to
    which the vessel is transferred have such repair or refurbishment of the
    vessel as is needed, before the vessel joins the naval forces of that
    country, performed at a shipyard located in the United States, including
    a United States Navy shipyard.
        (h) Expiration of Authority.--The authority to transfer a vessel
    under this section shall expire at the end of the two-year period
    beginning on the date of the enactment of this Act.

    [[Page 114 STAT. 1654A-255]]

        (i) Coordination of Provisions.--(1) If the Security Assistance Act
    of 2000 is enacted before this Act, the provisions of this section shall
    not take effect.
        (2) If the Security Assistance Act of 2000 is enacted after this
    Act, this section shall cease to be in effect upon the enactment of that
    Act.

    SEC. 1014. AUTHORITY TO CONSENT TO RETRANSFER OF ALTERNATIVE FORMER
                NAVAL VESSEL BY GOVERNMENT OF GREECE.

        (a) Authority for Retransfer of Alternative Vessel.--Section 1012 of
    the National Defense Authorization Act for Fiscal Year 2000 (Public Law
    106-65; 113 Stat. 740) is amended--
                (1) in subsection (a), by inserting after ``HS Rodos (ex-USS
            BOWMAN COUNTY (LST 391))'' the following: ``, LST 325, or any
            other former United States LST previously transferred to the
            Government of Greece that is excess to the needs of that
            government''; and
                (2) in subsection (b)(1), by inserting ``retransferred under
            subsection (a)'' after ``the vessel''.

        (b) Repeal.--Section 1305 of the Arms Control, Nonproliferation, and
    Security Assistance Act of 1999 (113 Stat. 1501A-511) is repealed.

                       Subtitle C--Counter-Drug Activities

    SEC. 1021. EXTENSION OF AUTHORITY TO PROVIDE SUPPORT FOR COUNTER-DRUG
                ACTIVITIES OF COLOMBIA.

        (a) Extension of Authority.--Section 1033 of the National Defense
    Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat.
    1881) is amended--
                (1) in subsection (a), by striking ``during fiscal years
            1998 through 2002,''; and
                (2) in subsection (b)--
                        (A) in paragraph (1), by inserting before the period
                    at the end the following: ``, for fiscal years 1998
                    through 2002''; and
                        (B) in paragraph (2), by inserting before the period
                    at the end the following: ``, for fiscal years 1998
                    through 2006''.

        (b) Maximum Annual Amount of Support.--Subsection (e)(2) of such
    section is amended by striking ``2002'' and inserting ``2006''.

    SEC. 1022. REPORT ON DEPARTMENT OF DEFENSE EXPENDITURES TO SUPPORT
                FOREIGN COUNTER-DRUG ACTIVITIES.

        Not later than January 1, 2001, the Secretary of Defense shall
    submit to the congressional defense committees a report detailing the
    expenditure of funds by the Secretary during fiscal year 2000 in direct
    or indirect support of the counter-drug activities of foreign
    governments. The report shall include the following for each foreign
    government:
                (1) The total amount of assistance provided to, or expended
            on behalf of, the foreign government.
                (2) A description of the types of counter-drug activities
            conducted using the assistance.
                (3) An explanation of the legal authority under which the
            assistance was provided.

    [[Page 114 STAT. 1654A-256]]

    SEC. 1023. RECOMMENDATIONS ON EXPANSION OF SUPPORT FOR COUNTER-DRUG
                ACTIVITIES.

        (a) Requirement for Submittal of Recommendations.--Not later than
    February 1, 2001, the Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and the House of
    Representatives the recommendations of the Secretary regarding whether
    expanded support for counter-drug activities should be authorized under
    section 1033 of the National Defense Authorization Act for Fiscal Year
    1998 (Public Law 105-85; 111 Stat. 1881) for the region that includes
    the countries that are covered by that authority on the date of the
    enactment of this Act.
        (b) Content of Submission.--The submission under subsection (a)
    shall include the following:
                (1) What, if any, additional countries should be covered.
                (2) What, if any, additional support should be provided to
            covered countries, together with the reasons for recommending
            the additional support.
                (3) For each country recommended under paragraph (1), a plan
            for providing support, including the counter-drug activities
            proposed to be supported.

    SEC. 1024. REVIEW OF RIVERINE COUNTER-DRUG PROGRAM.

        (a) Requirement for Review.--The Secretary of Defense shall review
    the riverine counter-drug program supported under section 1033 of the
    National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-
    85; 111 Stat. 1881).
        (b) Report.--Not later than February 1, 2001, the Secretary shall
    submit a report on the riverine counter-drug program to the Committees
    on Armed Services of the Senate and the House of Representatives. The
    report shall include, for each country receiving support under the
    riverine counter-drug program, the following:
                (1) The Assistant Secretary's assessment of the
            effectiveness of the program.
                (2) A recommendation regarding which of the Armed Forces,
            units of the Armed Forces, or other organizations within the
            Department of Defense should be responsible for managing the
            program.

        (c) Delegation of Authority.--The Secretary shall require the
    Assistant Secretary of Defense for Special Operations and Low Intensity
    Conflict to carry out the responsibilities under this section.

    SEC. 1025. REPORT ON TETHERED AEROSTAT RADAR SYSTEM.

        (a) Report Required.--Not later than May 1, 2001, The Secretary of
    Defense shall submit to Congress a report on the status of the Tethered
    Aerostat Radar System used to conduct counter-drug detection and
    monitoring and border security and air sovereignty operations. The
    report shall include the following:
                (1) The status and operational availability of each of the
            existing sites of the Tethered Aerostat Radar System.
                (2) A discussion of any plans to close, during the next 5
            years, currently operational sites, including a review of the
            justification for each proposed closure.
                (3) A review of the requirements of other agencies,
            especially the United States Customs Service, for data derived
            from the Tethered Aerostat Radar System.
                (4) An assessment of the value of the Tethered Aerostat
            Radar System in the conduct of counter-drug detection and

    [[Page 114 STAT. 1654A-257]]

            monitoring and border security and air sovereignty operations
            compared to other surveillance systems available for such
            operations.
                (5) The costs associated with the planned standardization of
            the Tethered Aerostat Radar System and the Secretary's analysis
            of that standardization.

        (b) Consultation.--The Secretary of Defense shall prepare the report
    in consultation with the Secretary of the Treasury.

    SEC. 1026. SENSE OF CONGRESS REGARDING USE OF ARMED FORCES FOR COUNTER-
                DRUG AND COUNTER-TERRORISM ACTIVITIES.

        It is the sense of Congress that the President should be able to use
    members of the Army, Navy, Air Force, and Marine Corps to assist law
    enforcement agencies, to the full extent consistent with section 1385 of
    title 18, United States Code (commonly known as the Posse Comitatus
    Act), section 375 of title 10, United States Code, and other applicable
    law, in preventing the entry into the United States of terrorists and
    drug traffickers, weapons of mass destruction, components of weapons of
    mass destruction, and prohibited narcotics and drugs.

             Subtitle D--Counterterrorism and Domestic Preparedness

    SEC. 1031. PREPAREDNESS OF MILITARY INSTALLATION FIRST RESPONDERS FOR
                INCIDENTS INVOLVING WEAPONS OF MASS DESTRUCTION.

        (a) Requirement for Report.--Not later than 90 days after the date
    of the enactment of this Act, the Secretary of Defense shall submit to
    Congress a report on the program of the Department of Defense to ensure
    the preparedness of the first responders of the Department of Defense
    for incidents involving weapons of mass destruction on installations of
    the Department of Defense.
        (b) Content of Report.--The report shall include the following:
                (1) A detailed description of the overall preparedness
            program.
                (2) A detailed description of the deficiencies in the
            preparedness of Department of Defense installations to respond
            to an incident involving a weapon of mass destruction, together
            with a discussion of the actions planned to be taken by the
            Department of Defense to correct the deficiencies.
                (3) The schedule and costs associated with the
            implementation of the preparedness program.
                (4) The Department's plan for coordinating the preparedness
            program with responders in the communities in the localities of
            the installations.
                (5) The Department's plan for promoting the interoperability
            of the equipment used by the installation first responders
            referred to in subsection (a) with the equipment used by the
            first responders in those communities.

        (c) Form of Report.--The report shall be submitted in an
    unclassified form, but may include a classified annex.
        (d) Definitions.--In this section:

    [[Page 114 STAT. 1654A-258]]

                (1) The term ``first responder'' means an organization
            responsible for responding to an incident involving a weapon of
            mass destruction.
                (2) The term ``weapon of mass destruction'' has the meaning
            given that term in section 1403(1) of the Defense Against
            Weapons of Mass Destruction Act of 1996 (50 U.S.C. 2302(1)).

    SEC. 1032. ADDITIONAL WEAPONS OF MASS DESTRUCTION CIVIL SUPPORT TEAMS.

        During fiscal year 2001, the Secretary of Defense shall establish
    five additional teams designated as Weapons of Mass Destruction Civil
    Support Teams (for a total of 32 such teams).

    SEC. 1033. AUTHORITY TO PROVIDE LOAN GUARANTEES TO IMPROVE DOMESTIC
                PREPAREDNESS TO COMBAT CYBERTERRORISM.

        (a) Establishment of Program.--(1) Chapter 148 of title 10, United
    States Code, is amended by adding at the end the following new
    subchapter:

      ``SUBCHAPTER VII--CRITICAL INFRASTRUCTURE PROTECTION LOAN GUARANTEES

    ``Sec.
    ``2541. Establishment of loan guarantee program.
    ``2541a. Fees charged and collected.
    ``2541b. Administration.
    ``2541c. Transferability, additional limitations, and definition.
    ``2541d. Reports.

    ``Sec. 2541. Establishment of loan guarantee program

        ``(a) Establishment.--In order to meet the national security
    objectives in section 2501(a) of this title, the Secretary of Defense
    shall establish a program under which the Secretary may issue guarantees
    assuring lenders against losses of principal or interest, or both
    principal and interest, for loans made to qualified commercial firms to
    fund, in whole or in part, any of the following activities:
                ``(1) The improvement of the protection of the critical
            infrastructure of the commercial firms.
                ``(2) The refinancing of improvements previously made to the
            protection of the critical infrastructure of the commercial
            firms.

        ``(b) Qualified Commercial Firms.--For purposes of this section, a
    qualified commercial firm is a company or other business entity
    (including a consortium of such companies or other business entities, as
    determined by the Secretary) that the Secretary determines--
                ``(1) conducts a significant level of its research,
            development, engineering, and manufacturing activities in the
            United States;
                ``(2) is a company or other business entity the majority
            ownership or control of which is by United States citizens or is
            a company or other business of a parent company that is
            incorporated in a country the government of which--
                        ``(A) encourages the participation of firms so owned
                    or controlled in research and development consortia to
                    which the government of that country provides funding
                    directly or provides funding indirectly through
                    international organizations or agreements; and

    [[Page 114 STAT. 1654A-259]]

                        ``(B) affords adequate and effective protection for
                    the intellectual property rights of companies
                    incorporated in the United States;
                ``(3) provides technology products or services critical to
            the operations of the Department of Defense;
                ``(4) meets standards of prevention of cyberterrorism
            applicable to the Department of Defense; and
                ``(5) agrees to submit the report required under section
            2541d of this title.

        ``(c) Loan Limits.--The maximum amount of loan principal guaranteed
    during a fiscal year under this section may not exceed $10,000,000, with
    respect to all borrowers.
        ``(d) Goals and Standards.--The Secretary shall prescribe
    regulations setting forth goals for the use of the loan guarantees
    provided under this section and standards for evaluating whether those
    goals are met by each entity receiving such loan guarantees.
        ``(e) Authority Subject to Provisions of Appropriations.--The
    Secretary may guarantee a loan under this subchapter only to such extent
    or in such amounts as may be provided in advance in appropriations Acts.

    ``Sec. 2541a. Fees charged and collected

        ``(a) Fee Required.--The Secretary of Defense shall assess a fee for
    providing a loan guarantee under this subchapter.
        ``(b) Amount of Fee.--The amount of the fee shall be not less than
    75 percent of the amount incurred by the Secretary to provide the loan
    guarantee.
        ``(c) Special Account.--(1) Such fees shall be credited to a special
    account in the Treasury.
        ``(2) Amounts in the special account shall be available, to the
    extent and in amounts provided in appropriations Acts, for paying the
    costs of administrative expenses of the Department of Defense that are
    attributable to the loan guarantee program under this subchapter.
        ``(3)(A) If for any fiscal year amounts in the special account
    established under paragraph (1) are not available (or are not
    anticipated to be available) in a sufficient amount for administrative
    expenses of the Department of Defense for that fiscal year that are
    directly attributable to the administration of the program under this
    subchapter, the Secretary may use amounts currently available for
    operations and maintenance for Defense-wide activities, not to exceed
    $500,000 in any fiscal year, for those expenses.
        ``(B) The Secretary shall, from funds in the special account
    established under paragraph (1), replenish operations and maintenance
    accounts for amounts expended under subparagraph (A).

    ``Sec. 2541b. Administration

        ``(a) Agreements Required.--The Secretary of Defense may enter into
    one or more agreements, each with an appropriate Federal or private
    entity, under which such entity may, under this subchapter--
                ``(1) process applications for loan guarantees;
                ``(2) administer repayment of loans; and
                ``(3) provide any other services to the Secretary to
            administer this subchapter.

        ``(b) Treatment of Costs.--The costs of such agreements shall be
    considered, for purposes of the special account established under

    [[Page 114 STAT. 1654A-260]]

    section 2541a(c), to be costs of administrative expenses of the
    Department of Defense that are attributable to the loan guarantee
    program under this subchapter.

    ``Sec. 2541c. Transferability, additional limitations, and definition

        ``The following provisions of subtitle VI of this chapter apply to
    guarantees issued under this subtitle:
                ``(1) Section 2540a, relating to transferability of
            guarantees.
                ``(2) Subsections (b) and (c) of section 2540b, providing
            limitations.
                ``(3) Section 2540d(2), providing a definition of the term
            `cost'.

    ``Sec. 2541d. Reports

        ``(a) Report by Commercial Firms to Secretary of Defense.--The
    Secretary of Defense shall require each qualified commercial firm for
    which a loan is guaranteed under this subchapter to submit to the
    Secretary a report on the improvements financed or refinanced with the
    loan. The report shall include an assessment of the value of the
    improvements for the protection of the critical infrastructure of that
    commercial firm. The Secretary shall prescribe the time for submitting
    the report.
        ``(b) Annual Report by Secretary of Defense to Congress.--Not later
    than March 1 of each year in which guarantees are made under this
    subchapter, the Secretary of Defense shall submit to Congress a report
    on the loan guarantee program under this subchapter. The report shall
    include the following:
                ``(1) The amounts of the loans for which guarantees were
            issued during the year preceding the year of the report.
                ``(2) The success of the program in improving the protection
            of the critical infrastructure of the commercial firms covered
            by the guarantees.
                ``(3) The relationship of the loan guarantee program to the
            critical infrastructure protection program of the Department of
            Defense, together with an assessment of the extent to which the
            loan guarantee program supports the critical infrastructure
            protection program.
                ``(4) Any other information on the loan guarantee program
            that the Secretary considers appropriate to include in the
            report.''.

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

    ``VII. Critical Infrastructure Protection Loan Guarantees........2541''.

        (b) Redesignation of Displaced Sections.--(1) Sections 2541 through
    2554 of chapter 152 of title 10, United States Code, are redesignated as
    sections 2551 through 2564, respectively.
        (2) The items in the table of sections at the beginning of chapter
    152 of such title are revised to reflect the redesignations made by
    paragraph (1).
        (c) Conforming Amendments.--(1) Subsection (c)(3)(C) of section 2561
    of such title, as redesignated by subsection (b), is amended by striking
    ``section 2547'' and inserting ``section 2557''.
        (2) Subsection (b) of section 2562 of such title, as so
    redesignated, is amended by striking ``section 2547'' and inserting
    ``section 2557''.

    [[Page 114 STAT. 1654A-261]]

        (3) Section 7300 of such title is amended by striking ``section
    2553'' and inserting ``section 2563''.

    SEC. 1034. REPORT ON THE STATUS OF DOMESTIC PREPAREDNESS AGAINST THE
                THREAT OF BIOLOGICAL TERRORISM.

        (a) Report Required.--Not later than March 31, 2001, the President
    shall submit to Congress a report on domestic preparedness against the
    threat of biological terrorism.
        (b) Report Elements.--The report shall address the following:
                (1) The current state of United States preparedness to
            defend against a biologic attack.
                (2) The roles that various Federal agencies currently play,
            and should play, in preparing for, and defending against, such
            an attack.
                (3) The roles that State and local agencies and public
            health facilities currently play, and should play, in preparing
            for, and defending against, such an attack.
                (4) The advisability of establishing an intergovernmental
            task force to assist in preparations for such an attack.
                (5) The potential role of advanced communications systems in
            aiding domestic preparedness against such an attack.
                (6) The potential for additional research and development in
            biotechnology to aid domestic preparedness against such an
            attack.
                (7) Other measures that should be taken to aid domestic
            preparedness against such an attack.
                (8) The financial resources necessary to support efforts for
            domestic preparedness against such an attack.
                (9) The deficiencies and vulnerabilities in the United
            States public health system for dealing with the consequences of
            a biological terrorist attack on the United States, and current
            plans to address those deficiencies and vulnerabilities.

        (c) Intelligence Estimate.--(1) Not later than March 1, 2001, the
    Secretary of Defense shall submit to Congress an intelligence estimate,
    prepared in consultation with the Director of Central Intelligence,
    containing--
                (A) an assessment of the threat to the United States posed
            by a terrorist using a biological weapon; and
                (B) an assessment of the relative consequences of an attack
            against the United States by a terrorist using a biological
            weapon compared with the consequences of an attack against the
            United States by a terrorist using a weapon that is a weapon of
            mass destruction other than a biological weapon or that is a
            conventional weapon.

        (2) The intelligence estimate submitted under paragraph (1) shall
    include a comparison of--
                (A) the likelihood of the threat of a terrorist attack
            against the United States through the use of a biological
            weapon, with
                (B) the likelihood of the threat of a terrorist attack
            against the United States through the use of a weapon that is a
            weapon of mass destruction other than a biological weapon or
            that is a conventional weapon.

    SEC. 1035. REPORT ON STRATEGY, POLICIES, AND PROGRAMS TO COMBAT DOMESTIC
                TERRORISM.

        Not later than 180 days after the date of the enactment of this Act,
    the Comptroller General of the United States shall submit

    [[Page 114 STAT. 1654A-262]]

    to the Committees on Armed Services of the Senate and the House of
    Representatives a report on the strategy, policies, and programs of the
    United States for combating domestic terrorism, and in particular
    domestic terrorism involving weapons of mass destruction. The report
    shall document the progress and problems experienced by the Federal
    Government in organizing and preparing to respond to domestic terrorist
    incidents.

                          Subtitle E--Strategic Forces

    SEC. 1041. REVISED NUCLEAR POSTURE REVIEW.

        (a) Requirement for Comprehensive Review.--In order to clarify
    United States nuclear deterrence policy and strategy for the near term,
    the Secretary of Defense shall conduct a comprehensive review of the
    nuclear posture of the United States for the next 5 to 10 years. The
    Secretary shall conduct the review in consultation with the Secretary of
    Energy.
        (b) Elements of Review.--The nuclear posture review shall include
    the following elements:
                (1) The role of nuclear forces in United States military
            strategy, planning, and programming.
                (2) The policy requirements and objectives for the United
            States to maintain a safe, reliable, and credible nuclear
            deterrence posture.
                (3) The relationship among United States nuclear deterrence
            policy, targeting strategy, and arms control objectives.
                (4) The levels and composition of the nuclear delivery
            systems that will be required for implementing the United States
            national and military strategy, including any plans for
            replacing or modifying existing systems.
                (5) The nuclear weapons complex that will be required for
            implementing the United States national and military strategy,
            including any plans to modernize or modify the complex.
                (6) The active and inactive nuclear weapons stockpile that
            will be required for implementing the United States national and
            military strategy, including any plans for replacing or
            modifying warheads.

        (c) Report to Congress.--The Secretary of Defense shall submit to
    Congress, in unclassified and classified forms as necessary, a report on
    the results of the nuclear posture review conducted under this section.
    The report shall be submitted concurrently with the Quadrennial Defense
    Review report due in December 2001.
        (d) Sense of Congress.--It is the sense of Congress that the nuclear
    posture review conducted under this section should be used as the basis
    for establishing future United States arms control objectives and
    negotiating positions.

    SEC. 1042. PLAN FOR THE LONG-TERM SUSTAINMENT AND MODERNIZATION OF
                UNITED STATES STRATEGIC NUCLEAR FORCES.

        (a) Requirement for Plan.--The Secretary of Defense, in consultation
    with the Secretary of Energy, shall develop a long-range plan for the
    sustainment and modernization of United States strategic nuclear forces
    to counter emerging threats and satisfy the evolving requirements of
    deterrence.

    [[Page 114 STAT. 1654A-263]]

        (b) Elements of Plan.--The plan specified under subsection (a) shall
    include the Secretary's plans, if any, for the sustainment and
    modernization of the following:
                (1) Land-based and sea-based strategic ballistic missiles,
            including any plans for developing replacements for the
            Minuteman III intercontinental ballistic missile and the Trident
            II sea-launched ballistic missile and plans for common ballistic
            missile technology development.
                (2) Strategic nuclear bombers, including any plans for a B-2
            follow-on, a B-52 replacement, and any new air-launched weapon
            systems.
                (3) Appropriate warheads to outfit the strategic nuclear
            delivery systems referred to in paragraphs (1) and (2) to
            satisfy evolving military requirements.

        (c) Submittal of Plan.--The plan specified under subsection (a)
    shall be submitted to Congress not later than April 15, 2001. The plan
    shall be submitted in unclassified and classified forms, as necessary.

    SEC. 1043. MODIFICATION OF SCOPE OF WAIVER AUTHORITY FOR LIMITATION ON
                RETIREMENT OR DISMANTLEMENT OF STRATEGIC NUCLEAR DELIVERY
                SYSTEMS.

        Section 1302(b) of the National Defense Authorization Act for Fiscal
    Year 1998 (Public Law 105-85; 111 Stat. 1948), as amended by section
    1501(a) of the National Defense Authorization Act for Fiscal Year 2000
    (Public Law 106-65; 113 Stat. 806), is further amended by striking ``the
    application of the limitation in effect under paragraph (1)(B) or (3) of
    subsection (a), as the case may be,'' and inserting ``the application of
    the limitation in effect under subsection (a) to a strategic nuclear
    delivery system''.

    SEC. 1044. REPORT ON THE DEFEAT OF HARDENED AND DEEPLY BURIED TARGETS.

        (a) Study.--The Secretary of Defense shall, in conjunction with the
    Secretary of Energy, conduct a study relating to the defeat of hardened
    and deeply buried targets. Under the study, the Secretaries shall--
                (1) review--
                        (A) the requirements of the United States to defeat
                    hardened and deeply buried targets and stockpiles of
                    chemical and biological agents and related capabilities;
                    and
                        (B) current and future plans to meet those
                    requirements;
                (2) determine if those plans adequately address all such
            requirements;
                (3) identify potential future hardened and deeply buried
            targets and other related targets;
                (4) determine what resources and research and development
            efforts are needed to defeat the targets identified under
            paragraph (3) as well as other requirements to defeat stockpiles
            of chemical and biological agents and related capabilities;
                (5) assess both current and future options to defeat
            hardened and deeply buried targets as well as concepts to defeat
            stockpiles of chemical and biological agents and related
            capabilities; and
                (6) determine the capability and cost of each option
            assessed under paragraph (5).

    [[Page 114 STAT. 1654A-264]]

        (b) Conduct of Assessments.--In conducting the study under
    subsection (a), the Secretaries may, in order to perform the assessments
    required by paragraph (5) of that subsection, conduct any limited
    research and development that may be necessary to perform those
    assessments.
        (c) Report.--(1) Not later than July 1, 2001, the Secretary of
    Defense shall submit to the Committee on Armed Services of the Senate
    and the Committee on Armed Services of the House of Representatives a
    report on the results of the study conducted under subsection (a). The
    report shall be prepared in conjunction with the Secretary of Energy.
        (2) The report under paragraph (1) shall be submitted in
    unclassified form, together with a classified annex if necessary.

    SEC. 1045. SENSE OF CONGRESS ON THE MAINTENANCE OF THE STRATEGIC NUCLEAR
                TRIAD.

        It is the sense of Congress that, in light of the potential for
    further arms control agreements with the Russian Federation limiting
    strategic forces--
                (1) it is in the national interest of the United States to
            maintain a robust and balanced triad of strategic nuclear
            delivery vehicles, including (A) long-range bombers, (B) land-
            based intercontinental ballistic missiles (ICBMs), and (C)
            ballistic missile submarines; and
                (2) reductions to United States conventional bomber
            capability are not in the national interest of the United
            States.

                Subtitle F--Miscellaneous Reporting Requirements

    SEC. 1051. MANAGEMENT REVIEW OF WORKING-CAPITAL FUND ACTIVITIES.

        (a) Comptroller General Review Required.--The Comptroller General
    shall conduct a review of the working-capital fund activities of the
    Department of Defense to identify any potential changes in current
    management processes or policies that, if made, would result in a more
    efficient and economical operation of those activities.
        (b) Review To Include Carryover Policy.--The review shall include a
    review of practices under the Department of Defense policy that
    authorizes funds available for working-capital fund activities for one
    fiscal year to be obligated for work to be performed at such activities
    within the first 90 days of the next fiscal year (known as
    ``carryover''). On the basis of the review, the Comptroller General
    shall determine the following:
                (1) The extent to which the working-capital fund activities
            of the Department of Defense have complied with the 90-day
            carryover policy.
                (2) The reasons for the carryover authority under the policy
            to apply to as much as a 90-day quantity of work.
                (3) Whether applying the carryover authority to not more
            than a 30-day quantity of work would be sufficient to ensure
            uninterrupted operations at the working-capital fund activities
            early in a fiscal year.

    [[Page 114 STAT. 1654A-265]]

                (4) What, if any, savings could be achieved by restricting
            the carryover authority so as to apply to a 30-day quantity of
            work.

    SEC. 1052. REPORT ON SUBMARINE RESCUE SUPPORT VESSELS.

        (a) Requirement.--The Secretary of the Navy shall submit to
    Congress, together with the submission of the budget of the President
    for fiscal year 2002 under section 1105 of title 31, United States Code,
    a report on the plan of the Navy for providing for submarine rescue
    support vessels through fiscal year 2007.
        (b) Content.--The report shall include a discussion of the
    following:
                (1) The requirement for submarine rescue support vessels
            through fiscal year 2007, including experience in changing from
            the provision of such vessels from dedicated platforms to the
            provision of such vessels through vessel of opportunity services
            and charter vessels.
                (2) The resources required, the risks to submariners, and
            the operational impacts of the following:
                        (A) Chartering submarine rescue support vessels for
                    terms of up to five years, with options to extend the
                    charters for two additional five-year periods.
                        (B) Providing submarine rescue support vessels using
                    vessel of opportunity services.
                        (C) Providing submarine rescue support services
                    through other means considered by the Navy.

    SEC. 1053. REPORT ON FEDERAL GOVERNMENT PROGRESS IN DEVELOPING
                INFORMATION ASSURANCE STRATEGIES.

        Not later than January 15, 2001, the President shall submit to
    Congress a comprehensive report detailing the specific steps taken by
    the Federal Government as of the date of the report to develop critical
    infrastructure assurance strategies as outlined by Presidential Decision
    Directive No. 63 (PDD-63). The report shall include the following:
                (1) A detailed summary of the progress of each Federal
            agency in developing an internal information assurance plan.
                (2) The progress of Federal agencies in establishing
            partnerships with relevant private sector industries to address
            critical infrastructure vulnerabilities.

    SEC. 1054. DEPARTMENT OF DEFENSE PROCESS FOR DECISIONMAKING IN CASES OF
                FALSE CLAIMS.

        Not later than February 1, 2001, the Secretary of Defense shall
    submit to Congress a report describing the policies and procedures for
    Department of Defense decisionmaking on issues arising under sections
    3729 through 3733 of title 31, United States Code, in cases of claims
    submitted to the Department of Defense that are suspected or alleged to
    be false. The report shall include a discussion of any changes that have
    been made in the policies and procedures since January 1, 2000, and how
    such procedures are being implemented.

    [[Page 114 STAT. 1654A-266]]

               Subtitle G--Government Information Security Reform

    SEC. 1061. COORDINATION OF FEDERAL INFORMATION POLICY.

        Chapter 35 of title 44, United States Code, is amended by inserting
    at the end the following new subchapter:

                      ``SUBCHAPTER II--INFORMATION SECURITY

    ``Sec. 3531. Purposes

        ``The purposes of this subchapter are the following:
                ``(1) To provide a comprehensive framework for establishing
            and ensuring the effectiveness of controls over information
            resources that support Federal operations and assets.
                ``(2)(A) To recognize the highly networked nature of the
            Federal computing environment including the need for Federal
            Government interoperability and, in the implementation of
            improved security management measures, assure that opportunities
            for interoperability are not adversely affected.
                ``(B) To provide effective governmentwide management and
            oversight of the related information security risks, including
            coordination of information security efforts throughout the
            civilian, national security, and law enforcement communities.
                ``(3) To provide for development and maintenance of minimum
            controls required to protect Federal information and information
            systems.
                ``(4) To provide a mechanism for improved oversight of
            Federal agency information security programs.

    ``Sec. 3532. Definitions

        ``(a) Except as provided under subsection (b), the definitions under
    section 3502 shall apply to this subchapter.
        ``(b) In this subchapter:
                ``(1) The term `information technology' has the meaning
            given that term in section 5002 of the Clinger-Cohen Act of 1996
            (40 U.S.C. 1401).
                ``(2) The term `mission critical system' means any
            telecommunications or information system used or operated by an
            agency or by a contractor of an agency, or other organization on
            behalf of an agency, that--
                        ``(A) is defined as a national security system under
                    section 5142 of the Clinger-Cohen Act of 1996 (40 U.S.C.
                    1452);
                        ``(B) is protected at all times by procedures
                    established for information which has been specifically
                    authorized under criteria established by an Executive
                    order or an Act of Congress to be classified in the
                    interest of national defense or foreign policy; or
                        ``(C) processes any information, the loss, misuse,
                    disclosure, or unauthorized access to or modification
                    of, would have a debilitating impact on the mission of
                    an agency.

    ``Sec. 3533. Authority and functions of the Director

        ``(a)(1) The Director shall establish governmentwide policies for
    the management of programs that--

    [[Page 114 STAT. 1654A-267]]

                ``(A) support the cost-effective security of Federal
            information systems by promoting security as an integral
            component of each agency's business operations; and
                ``(B) include information technology architectures as
            defined under section 5125 of the Clinger-Cohen Act of 1996 (40
            U.S.C. 1425).

        ``(2) Policies under this subsection shall--
                ``(A) be founded on a continuing risk management cycle that
            recognizes the need to--
                        ``(i) identify, assess, and understand risk; and
                        ``(ii) determine security needs commensurate with
                    the level of risk;
                ``(B) implement controls that adequately address the risk;
                ``(C) promote continuing awareness of information security
            risk; and
                ``(D) continually monitor and evaluate policy and control
            effectiveness of information security practices.

        ``(b) The authority under subsection (a) includes the authority to--
                ``(1) oversee and develop policies, principles, standards,
            and guidelines for the handling of Federal information and
            information resources to improve the efficiency and
            effectiveness of governmental operations, including principles,
            policies, and guidelines for the implementation of agency
            responsibilities under applicable law for ensuring the privacy,
            confidentiality, and security of Federal information;
                ``(2) consistent with the standards and guidelines
            promulgated under section 5131 of the Clinger-Cohen Act of 1996
            (40 U.S.C. 1441) and sections 5 and 6 of the Computer Security
            Act of 1987 (40 U.S.C. 1441 note; Public Law 100-235; 101 Stat.
            1729), require Federal agencies to identify and afford security
            protections commensurate with the risk and magnitude of the harm
            resulting from the loss, misuse, or unauthorized access to or
            modification of information collected or maintained by or on
            behalf of an agency;
                ``(3) direct the heads of agencies to--
                        ``(A) identify, use, and share best security
                    practices;
                        ``(B) develop an agencywide information security
                    plan;
                        ``(C) incorporate information security principles
                    and practices throughout the life cycles of the agency's
                    information systems; and
                        ``(D) ensure that the agency's information security
                    plan is practiced throughout all life cycles of the
                    agency's information systems;
                ``(4) oversee the development and implementation of
            standards and guidelines relating to security controls for
            Federal computer systems by the Secretary of Commerce through
            the National Institute of Standards and Technology under section
            5131 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1441) and
            section 20 of the National Institute of Standards and Technology
            Act (15 U.S.C. 278g-3);
                ``(5) oversee and coordinate compliance with this section in
            a manner consistent with--
                        ``(A) sections 552 and 552a of title 5;
                        ``(B) sections 20 and 21 of the National Institute
                    of Standards and Technology Act (15 U.S.C. 278g-3 and
                    278g-4);

    [[Page 114 STAT. 1654A-268]]

                        ``(C) section 5131 of the Clinger-Cohen Act of 1996
                    (40 U.S.C. 1441);
                        ``(D) sections 5 and 6 of the Computer Security Act
                    of 1987 (40 U.S.C. 1441 note; Public Law 100-235; 101
                    Stat. 1729); and
                        ``(E) related information management laws; and
                ``(6) take any authorized action under section 5113(b)(5) of
            the Clinger-Cohen Act of 1996 (40 U.S.C. 1413(b)(5)) that the
            Director considers appropriate, including any action involving
            the budgetary process or appropriations management process, to
            enforce accountability of the head of an agency for information
            resources management, including the requirements of this
            subchapter, and for the investments made by the agency in
            information technology, including--
                        ``(A) recommending a reduction or an increase in any
                    amount for information resources that the head of the
                    agency proposes for the budget submitted to Congress
                    under section 1105(a) of title 31;
                        ``(B) reducing or otherwise adjusting apportionments
                    and reapportionments of appropriations for information
                    resources; and
                        ``(C) using other authorized administrative controls
                    over appropriations to restrict the availability of
                    funds for information resources.

        ``(c) The authorities of the Director under this section (other than
    the authority described in subsection (b)(6))--
                ``(1) shall be delegated to the Secretary of Defense, the
            Director of Central Intelligence, and another agency head as
            designated by the President in the case of systems described
            under subparagraphs (A) and (B) of section 3532(b)(2);
                ``(2) shall be delegated to the Secretary of Defense in the
            case of systems described under subparagraph (C) of section
            3532(b)(2) that are operated by the Department of Defense, a
            contractor of the Department of Defense, or another entity on
            behalf of the Department of Defense; and
                ``(3) in the case of all other Federal information systems,
            may be delegated only to the Deputy Director for Management of
            the Office of Management and Budget.

    ``Sec. 3534. Federal agency responsibilities

        ``(a) The head of each agency shall--
                ``(1) be responsible for--
                        ``(A) adequately ensuring the integrity,
                    confidentiality, authenticity, availability, and
                    nonrepudiation of information and information systems
                    supporting agency operations and assets;
                        ``(B) developing and implementing information
                    security policies, procedures, and control techniques
                    sufficient to afford security protections commensurate
                    with the risk and magnitude of the harm resulting from
                    unauthorized disclosure, disruption, modification, or
                    destruction of information collected or maintained by or
                    for the agency; and
                        ``(C) ensuring that the agency's information
                    security plan is practiced throughout the life cycle of
                    each agency system;
                ``(2) ensure that appropriate senior agency officials are
            responsible for--

    [[Page 114 STAT. 1654A-269]]

                        ``(A) assessing the information security risks
                    associated with the operations and assets for programs
                    and systems over which such officials have control;
                        ``(B) determining the levels of information security
                    appropriate to protect such operations and assets; and
                        ``(C) periodically testing and evaluating
                    information security controls and techniques;
                ``(3) delegate to the agency Chief Information Officer
            established under section 3506, or a comparable official in an
            agency not covered by such section, the authority to administer
            all functions under this subchapter including--
                        ``(A) designating a senior agency information
                    security official who shall report to the Chief
                    Information Officer or a comparable official;
                        ``(B) developing and maintaining an agencywide
                    information security program as required under
                    subsection (b);
                        ``(C) ensuring that the agency effectively
                    implements and maintains information security policies,
                    procedures, and control techniques;
                        ``(D) training and overseeing personnel with
                    significant responsibilities for information security
                    with respect to such responsibilities; and
                        ``(E) assisting senior agency officials concerning
                    responsibilities under paragraph (2);
                ``(4) ensure that the agency has trained personnel
            sufficient to assist the agency in complying with the
            requirements of this subchapter and related policies,
            procedures, standards, and guidelines; and
                ``(5) ensure that the agency Chief Information Officer, in
            coordination with senior agency officials, periodically--
                        ``(A)(i) evaluates the effectiveness of the agency
                    information security program, including testing control
                    techniques; and
                        ``(ii) implements appropriate remedial actions based
                    on that evaluation; and
                        ``(B) reports to the agency head on--
                              ``(i) the results of such tests and
                          evaluations; and
                              ``(ii) the progress of remedial actions.

        ``(b)(1) Each agency shall develop and implement an agencywide
    information security program to provide information security for the
    operations and assets of the agency, including operations and assets
    provided or managed by another agency.
        ``(2) Each program under this subsection shall include--
                ``(A) periodic risk assessments that consider internal and
            external threats to--
                        ``(i) the integrity, confidentiality, and
                    availability of systems; and
                        ``(ii) data supporting critical operations and
                    assets;
                ``(B) policies and procedures that--
                        ``(i) are based on the risk assessments required
                    under subparagraph (A) that cost-effectively reduce
                    information security risks to an acceptable level; and
                        ``(ii) ensure compliance with--
                              ``(I) the requirements of this subchapter;
                              ``(II) policies and procedures as may be
                          prescribed by the Director; and

    [[Page 114 STAT. 1654A-270]]

                              ``(III) any other applicable requirements;
                ``(C) security awareness training to inform personnel of--
                        ``(i) information security risks associated with the
                    activities of personnel; and
                        ``(ii) responsibilities of personnel in complying
                    with agency policies and procedures designed to reduce
                    such risks;
                ``(D) periodic management testing and evaluation of the
            effectiveness of information security policies and procedures;
                ``(E) a process for ensuring remedial action to address any
            significant deficiencies; and
                ``(F) procedures for detecting, reporting, and responding to
            security incidents, including--
                        ``(i) mitigating risks associated with such
                    incidents before substantial damage occurs;
                        ``(ii) notifying and consulting with law enforcement
                    officials and other offices and authorities;
                        ``(iii) notifying and consulting with an office
                    designated by the Administrator of General Services
                    within the General Services Administration; and
                        ``(iv) notifying and consulting with an office
                    designated by the Secretary of Defense, the Director of
                    Central Intelligence, and another agency head as
                    designated by the President for incidents involving
                    systems described under subparagraphs (A) and (B) of
                    section 3532(b)(2).

        ``(3) Each program under this subsection is subject to the approval
    of the Director and is required to be reviewed at least annually by
    agency program officials in consultation with the Chief Information
    Officer. In the case of systems described under subparagraphs (A) and
    (B) of section 3532(b)(2), the Director shall delegate approval
    authority under this paragraph to the Secretary of Defense, the Director
    of Central Intelligence, and another agency head as designated by the
    President.
        ``(c)(1) Each agency shall examine the adequacy and effectiveness of
    information security policies, procedures, and practices in plans and
    reports relating to--
                ``(A) annual agency budgets;
                ``(B) information resources management under subchapter I of
            this chapter;
                ``(C) performance and results based management under the
            Clinger-Cohen Act of 1996 (40 U.S.C. 1401 et seq.);
                ``(D) program performance under sections 1105 and 1115
            through 1119 of title 31, and sections 2801 through 2805 of
            title 39; and
                ``(E) financial management under--
                        ``(i) chapter 9 of title 31, United States Code, and
                    the Chief Financial Officers Act of 1990 (31 U.S.C. 501
                    note; Public Law 101-576) (and the amendments made by
                    that Act);
                        ``(ii) the Federal Financial Management Improvement
                    Act of 1996 (31 U.S.C. 3512 note) (and the amendments
                    made by that Act); and
                        ``(iii) the internal controls conducted under
                    section 3512 of title 31.

        ``(2) Any significant deficiency in a policy, procedure, or practice
    identified under paragraph (1) shall be reported as a material

    [[Page 114 STAT. 1654A-271]]

    weakness in reporting required under the applicable provision of law
    under paragraph (1).
        ``(d)(1) In addition to the requirements of subsection (c), each
    agency, in consultation with the Chief Information Officer, shall
    include as part of the performance plan required under section 1115 of
    title 31 a description of--
                ``(A) the time periods; and
                ``(B) the resources, including budget, staffing, and
            training,

    which are necessary to implement the program required under subsection
    (b)(1).
        ``(2) The description under paragraph (1) shall be based on the risk
    assessment required under subsection (b)(2)(A).

    ``Sec. 3535. Annual independent evaluation

        ``(a)(1) Each year each agency shall have performed an independent
    evaluation of the information security program and practices of that
    agency.
        ``(2) Each evaluation by an agency under this section shall
    include--
                ``(A) testing of the effectiveness of information security
            control techniques for an appropriate subset of the agency's
            information systems; and
                ``(B) an assessment (made on the basis of the results of the
            testing) of the compliance with--
                        ``(i) the requirements of this subchapter; and
                        ``(ii) related information security policies,
                    procedures, standards, and guidelines.

        ``(3) The Inspector General or the independent evaluator performing
    an evaluation under this section may use an audit, evaluation, or report
    relating to programs or practices of the applicable agency.
        ``(b)(1)(A) Subject to subparagraph (B), for agencies with
    Inspectors General appointed under the Inspector General Act of 1978 (5
    U.S.C. App.) or any other law, the annual evaluation required under this
    section or, in the case of systems described under subparagraphs (A) and
    (B) of section 3532(b)(2), an audit of the annual evaluation required
    under this section, shall be performed by the Inspector General or by an
    independent evaluator, as determined by the Inspector General of the
    agency.
        ``(B) For systems described under subparagraphs (A) and (B) of
    section 3532(b)(2), the evaluation required under this section shall be
    performed only by an entity designated by the Secretary of Defense, the
    Director of Central Intelligence, or another agency head as designated
    by the President.
        ``(2) For any agency to which paragraph (1) does not apply, the head
    of the agency shall contract with an independent evaluator to perform
    the evaluation.
        ``(c) Each year, not later than the anniversary of the date of the
    enactment of this subchapter, the applicable agency head shall submit to
    the Director--
                ``(1) the results of each evaluation required under this
            section, other than an evaluation of a system described under
            subparagraph (A) or (B) of section 3532(b)(2); and
                ``(2) the results of each audit of an evaluation required
            under this section of a system described under subparagraph (A)
            or (B) of section 3532(b)(2).

    [[Page 114 STAT. 1654A-272]]

        ``(d)(1) The Director shall submit to Congress each year a report
    summarizing the materials received from agencies pursuant to subsection
    (c) in that year.
        ``(2) Evaluations and audits of evaluations of systems under the
    authority and control of the Director of Central Intelligence and
    evaluations and audits of evaluation of National Foreign Intelligence
    Programs systems under the authority and control of the Secretary of
    Defense shall be made available only to the appropriate oversight
    committees of Congress, in accordance with applicable laws.
        ``(e) Agencies and evaluators shall take appropriate actions to
    ensure the protection of information, the disclosure of which may
    adversely affect information security. Such protections shall be
    commensurate with the risk and comply with all applicable laws.

    ``Sec. 3536. Expiration

        ``This subchapter shall not be in effect after the date that is two
    years after the date on which this subchapter takes effect.''.

    SEC. 1062. RESPONSIBILITIES OF CERTAIN AGENCIES.

        (a) Department of Commerce.--Notwithstanding section 20 of the
    National Institute of Standards and Technology Act (15 U.S.C. 278g-3)
    and except as provided under subsection (b), the Secretary of Commerce,
    through the National Institute of Standards and Technology and with
    technical assistance from the National Security Agency, as required or
    when requested, shall--
                (1) develop, issue, review, and update standards and
            guidance for the security of Federal information systems,
            including development of methods and techniques for security
            systems and validation programs;
                (2) develop, issue, review, and update guidelines for
            training in computer security awareness and accepted computer
            security practices, with assistance from the Office of Personnel
            Management;
                (3) provide agencies with guidance for security planning to
            assist in the development of applications and system security
            plans for such agencies;
                (4) provide guidance and assistance to agencies concerning
            cost-effective controls when interconnecting with other systems;
            and
                (5) evaluate information technologies to assess security
            vulnerabilities and alert Federal agencies of such
            vulnerabilities as soon as those vulnerabilities are known.

        (b) Department of Defense and the Intelligence Community.--
                (1) In general.--Notwithstanding any other provision of this
            subtitle (including any amendment made by this subtitle)--
                        (A) the Secretary of Defense, the Director of
                    Central Intelligence, and another agency head as
                    designated by the President, shall, consistent with
                    their respective authorities--
                              (i) develop and issue information security
                          policies, standards, and guidelines for systems
                          described under subparagraphs (A) and (B) of
                          section 3532(b)(2) of title 44, United States Code
                          (as added by section 1061 of this Act), that
                          provide more stringent protection, to

    [[Page 114 STAT. 1654A-273]]

                          the maximum extent practicable, than the policies,
                          principles, standards, and guidelines required
                          under section 3533 of such title (as added by such
                          section 1061); and
                              (ii) ensure the implementation of the
                          information security policies, principles,
                          standards, and guidelines described under clause
                          (i); and
                        (B) the Secretary of Defense shall, consistent with
                    his authority--
                              (i) develop and issue information security
                          policies, standards, and guidelines for systems
                          described under subparagraph (C) of section
                          3532(b)(2) of title 44, United States Code (as
                          added by section 1061 of this Act), that are
                          operated by the Department of Defense, a
                          contractor of the Department of Defense, or
                          another entity on behalf of the Department of
                          Defense that provide more stringent protection, to
                          the maximum extent practicable, than the policies,
                          principles, standards, and guidelines required
                          under section 3533 of such title (as added by such
                          section 1061); and
                              (ii) ensure the implementation of the
                          information security policies, principles,
                          standards, and guidelines described under clause
                          (i).
                (2) Measures addressed.--The policies, principles,
            standards, and guidelines developed by the Secretary of Defense
            and the Director of Central Intelligence under paragraph (1)
            shall address the full range of information assurance measures
            needed to protect and defend Federal information and information
            systems by ensuring their integrity, confidentiality,
            authenticity, availability, and nonrepudiation.

        (c) Department of Justice.--The Attorney General shall review and
    update guidance to agencies on--
                (1) legal remedies regarding security incidents and ways to
            report to and work with law enforcement agencies concerning such
            incidents; and
                (2) lawful uses of security techniques and technologies.

        (d) General Services Administration.--The Administrator of General
    Services shall--
                (1) review and update General Services Administration
            guidance to agencies on addressing security considerations when
            acquiring information technology; and
                (2) assist agencies in--
                        (A) fulfilling agency responsibilities under section
                    3534(b)(2)(F) of title 44, United States Code (as added
                    by section 1061 of this Act); and
                        (B) the acquisition of cost-effective security
                    products, services, and incident response capabilities.

        (e) Office of Personnel Management.--The Director of the Office of
    Personnel Management shall--
                (1) review and update Office of Personnel Management
            regulations concerning computer security training for Federal
            civilian employees;
                (2) assist the Department of Commerce in updating and
            maintaining guidelines for training in computer security
            awareness and computer security best practices; and

    [[Page 114 STAT. 1654A-274]]

                (3) work with the National Science Foundation and other
            agencies on personnel and training initiatives (including
            scholarships and fellowships, as authorized by law) as necessary
            to ensure that the Federal Government--
                        (A) has adequate sources of continuing information
                    security education and training available for employees;
                    and
                        (B) has an adequate supply of qualified information
                    security professionals to meet agency needs.

        (f ) Information Security Policies, Principles, Standards, and
    Guidelines.--
                (1) Adoption of policies, principles, standards, and
            guidelines of other agencies.--The policies, principles,
            standards, and guidelines developed under subsection (b) by the
            Secretary of Defense, the Director of Central Intelligence, and
            another agency head as designated by the President may be
            adopted, to the extent that such policies are consistent with
            policies and guidance developed by the Director of the Office of
            Management and Budget and the Secretary of Commerce--
                        (A) by the Director of the Office of Management and
                    Budget, as appropriate, for application to the mission
                    critical systems of all agencies; or
                        (B) by an agency head, as appropriate, for
                    application to the mission critical systems of that
                    agency.
                (2) Development of more stringent policies, principles,
            standards, and guidelines.--To the extent that such policies are
            consistent with policies and guidance developed by the Director
            of the Office of Management and Budget and the Secretary of
            Commerce, an agency may develop and implement information
            security policies, principles, standards, and guidelines that
            provide more stringent protection than those required under
            section 3533 of title 44, United States Code (as added by
            section 1061 of this Act), or subsection (a) of this section.

        (g) Atomic Energy Act of 1954.--Nothing in this subtitle (including
    any amendment made by this subtitle) shall supersede any requirement
    made by, or under, the Atomic Energy Act of 1954 (42 U.S.C. 2011 et
    seq.). Restricted Data or Formerly Restricted Data shall be handled,
    protected, classified, downgraded, and declassified in conformity with
    the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.).

    SEC. 1063. RELATIONSHIP OF DEFENSE INFORMATION ASSURANCE PROGRAM TO
                GOVERNMENT-WIDE INFORMATION SECURITY PROGRAM.

        (a) Consistency of Requirements.--Subsection (b) of section 2224 of
    title 10, United States Code, is amended--
                (1) by striking ``(b) Objectives of the Program.--'' and
            inserting ``(b) Objectives and Minimum Requirements.--(1)''; and
                (2) by adding at the end the following:

        ``(2) The program shall at a minimum meet the requirements of
    sections 3534 and 3535 of title 44.''.
        (b) Addition to Annual Report.--Subsection (e) of such section is
    amended by adding at the end the following new paragraph:

    [[Page 114 STAT. 1654A-275]]

                ``(7) A summary of the actions taken in the administration
            of sections 3534 and 3535 of title 44 within the Department of
            Defense.''.

    SEC. 1064. TECHNICAL AND CONFORMING AMENDMENTS.

        (a) Table of Sections.--Chapter 35 of title 44, United States Code,
    is amended--
                (1) in the table of sections--
                        (A) by inserting after the chapter heading the
                    following:

                  ``SUBCHAPTER I--FEDERAL INFORMATION POLICY'';

                    and
                        (B) by inserting after the item relating to section
                    3520 the following:

                      ``SUBCHAPTER II--INFORMATION SECURITY

    ``Sec.
    ``3531. Purposes.
    ``3532. Definitions.
    ``3533. Authority and functions of the Director.
    ``3534. Federal agency responsibilities.
    ``3535. Annual independent evaluation.
    ``3536. Expiration.'';

                    and
                (2) by inserting before section 3501 the following:

                  ``SUBCHAPTER I--FEDERAL INFORMATION POLICY''.

        (b) References to Chapter 35.--Sections 3501 through 3520 of title
    44, United States Code, are amended by striking ``chapter'' each place
    it appears and inserting ``subchapter'', except in section 3507(i)(1) of
    such title.

    SEC. 1065. EFFECTIVE DATE.

        This subtitle and the amendments made by this subtitle shall take
    effect 30 days after the date of the enactment of this Act.

                          Subtitle H--Security Matters

    SEC. 1071. LIMITATION ON GRANTING OF SECURITY CLEARANCES.

        (a) In General.--Chapter 49 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 986. Security clearances: limitations

        ``(a) Prohibition.--After the date of the enactment of this section,
    the Department of Defense may not grant or renew a security clearance
    for a person to whom this section applies who is described in subsection
    (c).
        ``(b) Covered Persons.--This section applies to the following
    persons:
                ``(1) An officer or employee of the Department of Defense.
                ``(2) A member of the Army, Navy, Air Force, or Marine Corps
            who is on active duty or is in an active status.
                ``(3) An officer or employee of a contractor of the
            Department of Defense.

        ``(c) Persons Disqualified From Being Granted Security Clearances.--
    A person is described in this subsection if any of the following applies
    to that person:

    [[Page 114 STAT. 1654A-276]]

                ``(1) The person has been convicted in any court of the
            United States of a crime and sentenced to imprisonment for a
            term exceeding one year.
                ``(2) The person is an unlawful user of, or is addicted to,
            a controlled substance (as defined in section 102 of the
            Controlled Substances Act (21 U.S.C. 802)).
                ``(3) The person is mentally incompetent, as determined by a
            mental health professional approved by the Department of
            Defense.
                ``(4) The person has been discharged or dismissed from the
            Armed Forces under dishonorable conditions.

        ``(d) Waiver Authority.--In a meritorious case, the Secretary of
    Defense or the Secretary of the military department concerned may
    authorize an exception to the prohibition in subsection (a) for a person
    described in paragraph (1) or (4) of subsection (c). The authority under
    the preceding sentence may not be delegated.
        ``(e) Annual Report.--Not later than February 1 each year, the
    Secretary of Defense shall submit to the Committees on Armed Services of
    the Senate and House of Representatives a report identifying each waiver
    issued under subsection (d) during the preceding year with an
    explanation for each case of the disqualifying factor in subsection (c)
    that applied, and the reason for the waiver of the disqualification.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``986. Security clearances: limitations.''.

    SEC. 1072. PROCESS FOR PRIORITIZING BACKGROUND INVESTIGATIONS FOR
                SECURITY CLEARANCES FOR DEPARTMENT OF DEFENSE PERSONNEL AND
                DEFENSE CONTRACTOR PERSONNEL.

        (a) Establishment of Process.--Chapter 80 of title 10, United States
    Code, is amended by adding after section 1563, as added by section
    542(a), the following new section:

    ``Sec. 1564. Security clearance investigations

        ``(a) Expedited Process.--The Secretary of Defense shall prescribe a
    process for expediting the completion of the background investigations
    necessary for granting security clearances for Department of Defense
    personnel and Department of Defense contractor personnel who are engaged
    in sensitive duties that are critical to the national security.
        ``(b) Required Features.--The process developed under subsection (a)
    shall provide for the following:
                ``(1) Quantification of the requirements for background
            investigations necessary for grants of security clearances for
            Department of Defense personnel and Department of Defense
            contractor personnel.
                ``(2) Categorization of personnel on the basis of the degree
            of sensitivity of their duties and the extent to which those
            duties are critical to the national security.
                ``(3) Prioritization of the processing of background
            investigations on the basis of the categories of personnel
            determined under paragraph (2).

        ``(c) Annual Review.--The Secretary shall conduct an annual review
    of the process prescribed under subsection (a) and shall

    [[Page 114 STAT. 1654A-277]]

    revise that process as determined necessary in relation to ongoing
    Department of Defense missions.
        ``(d) Consultation Requirement.--The Secretary shall consult with
    the Secretaries of the military departments and the heads of Defense
    Agencies in carrying out this section.
        ``(e) Sensitive Duties.--For the purposes of this section, it is not
    necessary for the performance of duties to involve classified activities
    or classified matters in order for the duties to be considered sensitive
    and critical to the national security.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding after the item relating to section
    1563, as added by section 542(b), the following new item:

    ``1564. Security clearance investigations.''.

        (c) Deadline for Prescribing Process for Prioritizing Background
    Investigations for Security Clearances.--The process required by section
    1564(a) of title 10, United States Code, as added by subsection (a), for
    expediting the completion of the background investigations necessary for
    granting security clearances for certain persons shall be prescribed not
    later than January 1, 2001.

    SEC. 1073. AUTHORITY TO WITHHOLD CERTAIN SENSITIVE INFORMATION FROM
                PUBLIC DISCLOSURE.

        (a) In General.--Chapter 3 of title 10, United States Code, is
    amended by inserting after section 130b the following new section:

    ``Sec. 130c. Nondisclosure of information: certain sensitive information
                            of foreign governments and international
                            organizations

        ``(a) Exemption From Disclosure.--The national security official
    concerned (as defined in subsection (h)) may withhold from public
    disclosure otherwise required by law sensitive information of foreign
    governments in accordance with this section.
        ``(b) Information Eligible for Exemption.--For the purposes of this
    section, information is sensitive information of a foreign government
    only if the national security official concerned makes each of the
    following determinations with respect to the information:
                ``(1) That the information was provided by, otherwise made
            available by, or produced in cooperation with, a foreign
            government or international organization.
                ``(2) That the foreign government or international
            organization is withholding the information from public
            disclosure (relying for that determination on the written
            representation of the foreign government or international
            organization to that effect).
                ``(3) That any of the following conditions are met:
                        ``(A) The foreign government or international
                    organization requests, in writing, that the information
                    be withheld.
                        ``(B) The information was provided or made available
                    to the United States Government on the condition that it
                    not be released to the public.
                        ``(C) The information is an item of information, or
                    is in a category of information, that the national
                    security official concerned has specified in regulations
                    prescribed under subsection (f ) as being information
                    the release of

    [[Page 114 STAT. 1654A-278]]

                    which would have an adverse effect on the ability of the
                    United States Government to obtain the same or similar
                    information in the future.

        ``(c) Information of Other Agencies.--If the national security
    official concerned provides to the head of another agency sensitive
    information of a foreign government, as determined by that national
    security official under subsection (b), and informs the head of the
    other agency of that determination, then the head of the other agency
    shall withhold the information from any public disclosure unless that
    national security official specifically authorizes the disclosure.
        ``(d) Limitations.--(1) If a request for disclosure covers any
    sensitive information of a foreign government (as described in
    subsection (b)) that came into the possession or under the control of
    the United States Government before the date of the enactment of the
    Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001
    and more than 25 years before the request is received by an agency, the
    information may be withheld only as set forth in paragraph (3).
        ``(2)(A) If a request for disclosure covers any sensitive
    information of a foreign government (as described in subsection (b))
    that came into the possession or under the control of the United States
    Government on or after the date referred to in paragraph (1), the
    authority to withhold the information under this section is subject to
    the provisions of subparagraphs (B) and (C).
        ``(B) Information referred to in subparagraph (A) may not be
    withheld under this section after--
                ``(i) the date that is specified by a foreign government or
            international organization in a request or expression of a
            condition described in paragraph (1) or (2) of subsection (b)
            that is made by the foreign government or international
            organization concerning the information; or
                ``(ii) if there are more than one such foreign governments
            or international organizations, the latest date so specified by
            any of them.

        ``(C) If no date is applicable under subparagraph (B) to a request
    referred to in subparagraph (A) and the information referred to in that
    subparagraph came into possession or under the control of the United
    States more than 10 years before the date on which the request is
    received by an agency, the information may be withheld under this
    section only as set forth in paragraph (3).
        ``(3) Information referred to in paragraph (1) or (2)(C) may be
    withheld under this section in the case of a request for disclosure only
    if, upon the notification of each foreign government and international
    organization concerned in accordance with the regulations prescribed
    under subsection (g)(2), any such government or organization requests in
    writing that the information not be disclosed for an additional period
    stated in the request of that government or organization. After the
    national security official concerned considers the request of the
    foreign government or international organization, the official shall
    designate a later date as the date after which the information is not to
    be withheld under this section. The later date may be extended in
    accordance with a later request of any such foreign government or
    international organization under this paragraph.
        ``(e) Information Protected Under Other Authority.--This section
    does not apply to information or matters that are specifically

    [[Page 114 STAT. 1654A-279]]

    required in the interest of national defense or foreign policy to be
    protected against unauthorized disclosure under criteria established by
    an Executive order and are classified, properly, at the confidential,
    secret, or top secret level pursuant to such Executive order.
        ``(f ) Disclosures Not Affected.--Nothing in this section shall be
    construed to authorize any official to withhold, or to authorize the
    withholding of, information from the following:
                ``(1) Congress.
                ``(2) The Comptroller General, unless the information
            relates to activities that the President designates as foreign
            intelligence or counterintelligence activities.

        ``(g) Regulations.--(1) The national security officials referred to
    in subsection (h)(1) shall each prescribe regulations to carry out this
    section. The regulations shall include criteria for making the
    determinations required under subsection (b). The regulations may
    provide for controls on access to and use of, and special markings and
    specific safeguards for, a category or categories of information subject
    to this section.
        ``(2) The regulations shall include procedures for notifying and
    consulting with each foreign government or international organization
    concerned about requests for disclosure of information to which this
    section applies.
        ``(h) Definitions.--In this section:
                ``(1) The term `national security official concerned' means
            the following:
                        ``(A) The Secretary of Defense, with respect to
                    information of concern to the Department of Defense, as
                    determined by the Secretary.
                        ``(B) The Secretary of Transportation, with respect
                    to information of concern to the Coast Guard, as
                    determined by the Secretary, but only while the Coast
                    Guard is not operating as a service in the Navy.
                        ``(C) The Secretary of Energy, with respect to
                    information concerning the national security programs of
                    the Department of Energy, as determined by the
                    Secretary.
                ``(2) The term `agency' has the meaning given that term in
            section 552(f ) of title 5.
                ``(3) The term `international organization' means the
            following:
                        ``(A) A public international organization designated
                    pursuant to section 1 of the International Organizations
                    Immunities Act (59 Stat. 669; 22 U.S.C. 288) as being
                    entitled to enjoy the privileges, exemptions, and
                    immunities provided in such Act.
                        ``(B) A public international organization created
                    pursuant to a treaty or other international agreement as
                    an instrument through or by which two or more foreign
                    governments engage in some aspect of their conduct of
                    international affairs.
                        ``(C) An official mission, except a United States
                    mission, to a public international organization referred
                    to in subparagraph (A) or (B).''.

    [[Page 114 STAT. 1654A-280]]

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    130b the following new item:

    ``130c. Nondisclosure of information: certain sensitive information of
               foreign governments and international organizations.''.

    SEC. 1074. EXPANSION OF AUTHORITY TO EXEMPT GEODETIC PRODUCTS OF THE
                DEPARTMENT OF DEFENSE FROM PUBLIC DISCLOSURE.

        Section 455(b)(1)(C) of title 10, United States Code, is amended by
    striking ``or reveal military operational or contingency plans'' and
    inserting ``, reveal military operational or contingency plans, or
    reveal, jeopardize, or compromise military or intelligence
    capabilities''.

    SEC. 1075. EXPENDITURES FOR DECLASSIFICATION ACTIVITIES.

        (a) Identification in Budget Materials of Amounts for
    Declassification Activities.--Section 230 of title 10, United States
    Code, is amended--
                (1) by striking ``, as a budgetary line item,''; and
                (2) by adding at the end the following new sentence:
            ``Identification of such amounts in such budget justification
            materials shall be in a single display that shows the total
            amount for the Department of Defense and the amount for each
            military department and Defense Agency.''.

        (b) Limitation on Expenditures.--The total amount expended by the
    Department of Defense during fiscal year 2001 to carry out
    declassification activities under the provisions of sections 3.4, 3.5,
    and 3.6 of Executive Order 12958 (50 U.S.C. 435 note) and for special
    searches (including costs for document search, copying, and review and
    imagery analysis) may not exceed $30,000,000.
        (c) Compilation and Organization of Records.--The Department of
    Defense may not be required, when conducting a special search, to
    compile or organize records that have already been declassified and
    placed into the public domain.
        (d) Special Searches.--For the purpose of this section, the term
    ``special search'' means the response of the Department of Defense to
    any of the following:
                (1) A statutory requirement to conduct a declassification
            review on a specified set of agency records.
                (2) An Executive order to conduct a declassification review
            on a specified set of agency records.
                (3) An order from the President or an official with
            delegated authority from the President to conduct a
            declassification review on a specified set of agency records.

    SEC. 1076. ENHANCED ACCESS TO CRIMINAL HISTORY RECORD INFORMATION FOR
                NATIONAL SECURITY AND OTHER PURPOSES.

        (a) Coverage of Department of Transportation.--Section 9101 of title
    5, United States Code, is amended--
                (1) by adding at the end of subsection (a) the following new
            paragraph:
                ``(6) The term `covered agency' means any of the following:
                        ``(A) The Department of Defense.
                        ``(B) The Department of State.
                        ``(C) The Department of Transportation.
                        ``(D) The Office of Personnel Management.

    [[Page 114 STAT. 1654A-281]]

                        ``(E) The Central Intelligence Agency.
                        ``(F) The Federal Bureau of Investigation.'';
                (2) in subsection (b)(1)--
                        (A) by striking ``by the Department of Defense'' and
                    all that follows through ``Federal Bureau of
                    Investigation'' and inserting ``by the head of a covered
                    agency''; and
                        (B) by striking ``such department, office, agency,
                    or bureau'' and inserting ``that covered agency''; and
                (3) in subsection (c), by striking ``The Department of
            Defense'' and all that follows through ``Federal Bureau of
            Investigation'' and inserting ``A covered agency''.

        (b) Repeal of Expired Provision.--Subsection (b) of such section is
    amended by striking paragraph (3).
        (c) Expanded Purposes for Access to Criminal History Information.--
    Subsection (b) of such section is further amended--
                (1) by redesignating paragraph (2) as paragraph (4);
                (2) in the first sentence of paragraph (1)--
                        (A) by inserting ``any of the following:'' after
                    ``eligibility for''; and
                        (B) by striking ``(A) access to classified
                    information'' and all that follows through the end of
                    the sentence and inserting the following:
                ``(A) Access to classified information.
                ``(B) Assignment to or retention in sensitive national
            security duties.
                ``(C) Acceptance or retention in the armed forces.
                ``(D) Appointment, retention, or assignment to a position of
            public trust or a critical or sensitive position while either
            employed by the Government or performing a Government
            contract.'';
                (3) by designating the second sentence of paragraph (1) as
            paragraph (2); and
                (4) by designating the third sentence of paragraph (1) as
            paragraph (3) and in that sentence by striking ``, nor shall''
            and all that follows through the end of the sentence and
            inserting a period.

        (d) Use of Automated Information Delivery Systems.--Such section is
    further amended--
                (1) by redesignating subsection (e) as subsection (f ); and
                (2) by inserting after subsection (d) the following new
            subsection (e):

        ``(e)(1) Automated information delivery systems shall be used to
    provide criminal history record information to a covered agency under
    subsection (b) whenever available.
        ``(2) Fees, if any, charged for automated access through such
    systems may not exceed the reasonable cost of providing such access.
        ``(3) The criminal justice agency providing the criminal history
    record information through such systems may not limit disclosure on the
    basis that the repository is accessed from outside the State.
        ``(4) Information provided through such systems shall be the full
    and complete criminal history record.
        ``(5) Criminal justice agencies shall accept and respond to requests
    for criminal history record information through such systems with
    printed or photocopied records when requested.''.
        (e) Technical Amendments.--Subsection (a) of such section is
    amended--

    [[Page 114 STAT. 1654A-282]]

                (1) in paragraph (1), by striking ``includes'' and all that
            follows through ``thereof which'' and inserting ``means (A) any
            Federal, State, or local court, and (B) any Federal, State, or
            local agency, or any subunit thereof, which''; and
                (2) in paragraph (4)--
                        (A) by inserting ``the Commonwealth of'' before
                    ``the Northern Mariana Islands''; and
                        (B) by striking ``the Trust Territory of the Pacific
                    Islands,''.

        (f ) Conforming Amendments.--(1)(A) The heading for chapter 91 of
    title 5, United States Code, is amended to read as follows:

     ``CHAPTER 91--ACCESS TO CRIMINAL HISTORY RECORDS FOR NATIONAL SECURITY
                              AND OTHER PURPOSES''.

        (B) The item relating to chapter 91 in the table of chapters at the
    beginning of part III of such title is amended to read as follows:

    ``91. Access to Criminal History Records for National Security and
    Other Purposes...................................................9101''.

        (2)(A) The heading of section 9101 of such title is amended to read
    as follows:

    ``Sec. 9101. Access to criminal history records for national security
                            and other purposes''.

        (B) The item relating to that section in the table of sections at
    the beginning of chapter 91 of such title is amended to read as follows:

    ``9101. Access to criminal history records for national security and
               other purposes.''.

        (g) Repeal of Superseded Provision.--(1) Section 520a of title 10,
    United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 31 of such
    title is amended by striking the item relating to section 520a.

    SEC. 1077. TWO-YEAR EXTENSION OF AUTHORITY TO ENGAGE IN COMMERCIAL
                ACTIVITIES AS SECURITY FOR INTELLIGENCE COLLECTION
                ACTIVITIES.

        Section 431(a) of title 10, United States Code, is amended in the
    second sentence by striking ``December 31, 2000'' and inserting
    ``December 31, 2002''.

    SEC. 1078. COORDINATION OF NUCLEAR WEAPONS SECRECY POLICIES AND
                CONSIDERATION OF HEALTH OF WORKERS AT FORMER DEPARTMENT OF
                DEFENSE NUCLEAR FACILITIES.

        (a) Review of Secrecy Policies.--(1) The Secretary of Defense shall
    review classification and security policies of the Department of Defense
    in order to ensure that, within appropriate national security
    constraints, those policies do not prevent or discourage former defense
    nuclear weapons facility employees who may have been exposed to
    radioactive or other hazardous substances associated with nuclear
    weapons from discussing such exposures with appropriate health care
    providers and with other appropriate officials.
        (2) The policies reviewed under paragraph (1) shall include the
    policy to neither confirm nor deny the presence of nuclear

    [[Page 114 STAT. 1654A-283]]

    weapons as that policy is applied to former defense nuclear weapons
    facilities.
        (b) Definitions.--For purposes of this section:
                (1) The term ``former defense nuclear weapons facility
            employees'' means employees and former employees of the
            Department of Defense who are or were employed at a site that,
            as of the date of the enactment of this Act, is a former defense
            nuclear weapons facility.
                (2) The term ``former defense nuclear weapons facility''
            means a current or former Department of Defense site in the
            United States which at one time was a defense nuclear weapons
            facility but which no longer contains nuclear weapons or
            materials and otherwise is no longer used for such purpose.
                (3) The term ``defense nuclear weapons facility'' means a
            Department of Defense site in the United States at which nuclear
            weapons or materials are stored, assembled, disassembled, or
            maintained.

        (c) Notification of Affected Employees.--(1) The Secretary of
    Defense shall seek to identify individuals--
                (A) who are former defense nuclear weapons facility
            employees; and
                (B) who, while employed at a defense nuclear weapons
            facility, may have been exposed to radioactive or hazardous
            substances associated with nuclear weapons.

        (2) Upon identification of any individual under paragraph (1), the
    Secretary of Defense shall notify that individual, by mail or other
    individual means, of any such exposure to radioactive or hazardous
    substances associated with nuclear weapons that has been identified by
    the Secretary. The notification shall include an explanation of how (or
    the degree to which) that individual can discuss any such exposure with
    a health care provider who does not hold a security clearance without
    violating security or classification procedures and, if necessary,
    provide guidance to facilitate the ability of that individual to contact
    a health care provider with appropriate security clearances or otherwise
    to discuss such exposures with other officials who are determined by the
    Secretary of Defense to be appropriate.
        (d) Report.--Not later than May 1, 2001, 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
    setting forth--
                (1) the results of the review conducted under subsection
            (a), including any changes made or recommendations for
            legislation; and
                (2) the status of the notifications required by subsection
            (b) and an anticipated date by which the identification and
            notification of individuals under that subsection will be
            completed.

        (e) Consultation with Secretary of Energy.--The Secretary of Defense
    shall carry out the review under subsection (a) and the identification
    of individuals under subsection (b), and shall prepare the report under
    subsection (c), in consultation with the Secretary of Energy.

    [[Page 114 STAT. 1654A-284]]

                            Subtitle I--Other Matters

    SEC. 1081. FUNDS FOR ADMINISTRATIVE EXPENSES UNDER DEFENSE EXPORT LOAN
                GUARANTEE PROGRAM.

        (a) Authority To Use Operation and Maintenance Funds on an Interim
    Basis.--Section 2540c(d) of title 10, United States Code, is amended--
                (1) by inserting ``(1)'' after ``Fees.--''; and
                (2) by adding at the end the following new paragraph:

        ``(2)(A) If for any fiscal year amounts in the special account
    established under paragraph (1) are not available (or are not
    anticipated to be available) in a sufficient amount for administrative
    expenses of the Department of Defense for that fiscal year that are
    directly attributable to the administration of the program under this
    subchapter, the Secretary may use amounts currently available for
    operations and maintenance for Defense-wide activities, not to exceed
    $500,000 in any fiscal year, for those expenses.
        ``(B) The Secretary shall, from funds in the special account
    established under paragraph (1), replenish operations and maintenance
    accounts for amounts expended under subparagraph (A) as soon as the
    Secretary determines practicable.''.
        (b) Effective Date.--Paragraph (2) of section 2540c(d) of title 10,
    United States Code, as added by subsection (a), shall take effect on
    October 1, 2000.
        (c) Limitation Pending Submission of Report.--The Secretary of
    Defense may not exercise the authority provided by paragraph (2) of
    section 2540c(d) of title 10, United States Code, as added by subsection
    (a), until the Secretary submits to Congress a report on the operation
    of the Defense Export Loan Guarantee Program under subchapter V of
    chapter 148 of title 10, United States Code. The report shall include
    the following:
                (1) A discussion of the effectiveness of the loan guarantee
            program in furthering the sale of United States defense
            articles, defense services, and design and construction services
            to nations that are specified in section 2540(b) of such title,
            to include a comparison of the loan guarantee program with other
            United States Government programs that are intended to
            contribute to the sale of United States defense articles,
            defense services, and design and construction services and other
            comparisons the Secretary determines to be appropriate.
                (2) A discussion of the requirements and resources
            (including personnel and funds) for continued administration of
            the loan guarantee program by the Defense Department, to
            include--
                        (A) an itemization of the requirements necessary and
                    resources available (or that could be made available) to
                    administer the loan guarantee program for each of the
                    following entities: the Defense Security Cooperation
                    Agency, the Department of Defense International
                    Cooperation Office, and other Defense Department
                    agencies, offices, or activities as the Secretary may
                    specify; and
                        (B) for each such activity, agency, or office, a
                    comparison of the use of Defense Department personnel
                    exclusively to administer, manage, and oversee the
                    program with the use of contracted commercial entities
                    to administer and manage the program.

    [[Page 114 STAT. 1654A-285]]

                (3) Any legislative recommendations that the Secretary
            believes could improve the effectiveness of the program.
                (4) A determination made by the Secretary of Defense
            indicating which Defense Department agency, office, or other
            activity should administer, manage, and oversee the loan
            guarantee program to increase sales of United States defense
            articles, defense services, and design and construction
            services, such determination to be made based on the information
            and analysis provided in the report.

    SEC. 1082. TRANSIT PASS PROGRAM FOR DEPARTMENT OF DEFENSE PERSONNEL IN
                POOR AIR QUALITY AREAS.

        (a) In General.--(1) Chapter 134 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2259. Transit pass program: personnel in poor air quality areas

        ``(a) Establishment of Program.--To encourage Department of Defense
    personnel assigned to duty, or employed, in poor air quality areas to
    use means other than single-occupancy motor vehicles to commute to or
    from the location of their duty assignments, the Secretary of Defense
    shall exercise the authority provided in section 7905 of title 5 to
    establish a program to provide a transit pass benefit under subsection
    (b)(2)(A) of that section for members of the Army, Navy, Air Force, and
    Marine Corps who are assigned to duty, and to Department of Defense
    civilian officers and employees who are employed, in a poor air quality
    area.
        ``(b) Poor Air Quality Areas.--In this section, the term `poor air
    quality area' means an area--
                ``(1) that is subject to the national ambient air quality
            standards promulgated by the Administrator of the Environmental
            Protection Agency under section 109 of the Clean Air Act (42
            U.S.C. 7409); and
                ``(2) that, as determined by the Administrator of the
            Environmental Protection Agency, is a nonattainment area with
            respect to any of those standards.''.

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

    ``2259. Transit pass program: personnel in poor air quality areas.''.

        (b) Time for Implementation.--The Secretary of Defense shall
    prescribe the effective date for the transit pass program required under
    section 2259 of title 10, United States Code, as added by subsection
    (a). The effective date so prescribed may not be later than the first
    day of the first month that begins on or after the date that is 180 days
    after the date of the enactment of this Act.

    SEC. 1083. TRANSFER OF VIETNAM ERA TA-4 AIRCRAFT TO NONPROFIT
                FOUNDATION.

        (a) Authority to Convey.--The Secretary of the Navy may convey,
    without consideration, to the nonprofit Collings Foundation of Stow,
    Massachusetts (in this section referred to as the ``foundation''), all
    right, title, and interest of the United States in and to one surplus
    TA-4 aircraft that is flyable or that can be readily

    [[Page 114 STAT. 1654A-286]]

    restored to flyable condition. The conveyance shall be made by means of
    a conditional deed of gift.
        (b) Condition of Aircraft.--(1) The Secretary may not convey
    ownership of an aircraft under subsection (a) until the Secretary
    determines that the foundation has altered the aircraft in such manner
    as the Secretary determines necessary to ensure that the aircraft does
    not have any capability for use as a platform for launching or releasing
    munitions or any other combat capability that it was designed to have.
    The foundation shall complete any such alteration within one year after
    the date of the enactment of this Act.
        (2) The Secretary is not required to repair or alter the condition
    of the aircraft before conveying ownership of the aircraft.
        (c) Reverter Upon Breach of Conditions.--The Secretary shall include
    in the instrument of conveyance of the aircraft--
                (1) a condition that the foundation not convey any ownership
            interest in, or transfer possession of, the aircraft to any
            other party without the prior approval of the Secretary;
                (2) a condition that the foundation operate and maintain the
            aircraft in compliance with all applicable limitations and
            maintenance requirements imposed by the Administrator of the
            Federal Aviation Administration; and
                (3) a condition that if the Secretary determines at any time
            that the foundation has conveyed an ownership interest in, or
            transferred possession of, the aircraft to any other party
            without the prior approval of the Secretary, or has failed to
            comply with the condition set forth in paragraph (2), all right,
            title, and interest in and to the aircraft, including any repair
            or alteration of the aircraft, shall revert to the United
            States, and the United States shall have the right of immediate
            possession of the aircraft.

        (d) Conveyance at No Cost to the United States.--The conveyance of
    the aircraft under subsection (a) shall be made at no cost to the United
    States. Any costs associated with the conveyance, costs of determining
    compliance with subsection (b), and costs of operation and maintenance
    of the aircraft conveyed shall be borne by the foundation.
        (e) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with a conveyance under
    this section as the Secretary considers appropriate to protect the
    interests of the United States.
        (f ) Clarification of Liability.--Notwithstanding any other
    provision of law, upon the conveyance of ownership of a TA-4 aircraft to
    the foundation under subsection (a), the United States shall not be
    liable for any death, injury, loss, or damage that results from any use
    of that aircraft by any person other than the United States.

    SEC. 1084. TRANSFER OF 19TH CENTURY CANNON TO MUSEUM.

        (a) Donation Required.--The Secretary of the Army shall convey,
    without consideration, to the Friends of the Cannonball House,
    Incorporated (in this section referred to as the ``recipient''), which
    is a nonprofit corporation that operates the Cannonball House Museum in
    Macon, Georgia, all right, title, and interest of the United States in
    and to a 12-pounder Napoleon cannon bearing the following markings:
                (1) On the top ``CS''.

    [[Page 114 STAT. 1654A-287]]

                (2) On the face of the muzzle: ``Macon Arsenal, 1864/No.41/
            1164 ET''.
                (3) On the right trunnion: ``Macon Arsenal GEO/1864/No.41/
            WT.1164/E.T.''.

        (b) Additional Terms and Conditions on Conveyance.--The Secretary of
    the Army shall include in the instrument of conveyance of the cannon
    under subsection (a)--
                (1) a condition that the recipient not convey any ownership
            interest in, or transfer possession of, the cannon to any other
            party without the prior approval of the Secretary; and
                (2) a condition that if the Secretary determines at any time
            that the recipient has conveyed an ownership interest in, or
            transferred possession of, the cannon to any other party without
            the prior approval of the Secretary, all right, title, and
            interest in and to the cannon shall revert to the United States,
            and the United States shall have the right of immediate
            possession of the cannon.

        (c) Relationship to Other Law.--The conveyance required under this
    section may be carried out without regard to the Act entitled ``An Act
    for the preservation of American antiquities'', approved June 8, 1906
    (16 U.S.C. 431 et seq.), popularly referred to as the ``Antiquities Act
    of 1906''.
        (d) Acquisition of Replacement Macon Cannon.--If the Secretary of
    the Army determines that the Army's inventory of Civil War era cannons
    should include an additional cannon documented as having been
    manufactured in Macon, Georgia, to replace the cannon conveyed under
    subsection (a), the Secretary may acquire such a cannon by donation or
    purchase with funds made available for this purpose.

    SEC. 1085. FEES FOR PROVIDING HISTORICAL INFORMATION TO THE PUBLIC.

        (a) Army.--(1) Chapter 437 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 4595. Army Military History Institute: fee for providing
                            historical information to the public

        ``(a) Authority.--Except as provided in subsection (b), the
    Secretary of the Army may charge a person a fee for providing the person
    with information from the United States Army Military History Institute
    that is requested by that person.
        ``(b) Exceptions.--A fee may not be charged under this section--
                ``(1) to a person for information that the person requests
            to carry out a duty as a member of the armed forces or an
            officer or employee of the United States; or
                ``(2) for a release of information under section 552 of
            title 5.

        ``(c) Limitation on Amount.--A fee charged for providing information
    under this section may not exceed the cost of providing the information.
        ``(d) Retention of Fees.--Amounts received under subsection (a) for
    providing information in any fiscal year shall be credited to the
    appropriation or appropriations charged the costs of providing
    information to the public from the United States Army Military History
    Institute during that fiscal year.
        ``(e) Definitions.--In this section:

    [[Page 114 STAT. 1654A-288]]

                ``(1) The term `United States Army Military History
            Institute' means the archive for historical records and
            materials of the Army that the Secretary of the Army designates
            as the primary archive for such records and materials.
                ``(2) The terms `officer of the United States' and `employee
            of the United States' have the meanings given the terms
            `officer' and `employee', respectively, in sections 2104 and
            2105, respectively, of title 5.''.

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

    ``4595. Army Military History Institute: fee for providing historical
               information to the public.''.

        (b) Navy.--(1) Chapter 649 of such title is amended by adding at the
    end the following new section:

    ``Sec. 7582. Naval and Marine Corps Historical Centers: fee for
                            providing historical information to the public

        ``(a) Authority.--Except as provided in subsection (b), the
    Secretary of the Navy may charge a person a fee for providing the person
    with information from the United States Naval Historical Center or the
    Marine Corps Historical Center that is requested by that person.
        ``(b) Exceptions.--A fee may not be charged under this section--
                ``(1) to a person for information that the person requests
            to carry out a duty as a member of the armed forces or an
            officer or employee of the United States; or
                ``(2) for a release of information under section 552 of
            title 5.

        ``(c) Limitation on Amount.--A fee charged for providing information
    under this section may not exceed the cost of providing the information.
        ``(d) Retention of Fees.--Amounts received under subsection (a) for
    providing information from the United States Naval Historical Center or
    the Marine Corps Historical Center in any fiscal year shall be credited
    to the appropriation or appropriations charged the costs of providing
    information to the public from that historical center during that fiscal
    year.
        ``(e) Definitions.--In this section:
                ``(1) The term `United States Naval Historical Center' means
            the archive for historical records and materials of the Navy
            that the Secretary of the Navy designates as the primary archive
            for such records and materials.
                ``(2) The term `Marine Corps Historical Center' means the
            archive for historical records and materials of the Marine Corps
            that the Secretary of the Navy designates as the primary archive
            for such records and materials.
                ``(3) The terms `officer of the United States' and `employee
            of the United States' have the meanings given the terms
            `officer' and `employee', respectively, in sections 2104 and
            2105, respectively, of title 5.''.

        (2) The heading of such chapter is amended by striking ``related''.

    [[Page 114 STAT. 1654A-289]]

        (3)(A) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``7582. Naval and Marine Corps Historical Centers: fee for providing
               historical information to the public.''.

        (B) The item relating to such chapter in the tables of chapters at
    the beginning of subtitle C of such title and the beginning of part IV
    of such subtitle is amended by striking out ``Related''.
        (c) Air Force.--(1) Chapter 937 of such title is amended by adding
    at the end the following new section:

    ``Sec. 9594. Air Force Military History Institute: fee for providing
                            historical information to the public

        ``(a) Authority.--Except as provided in subsection (b), the
    Secretary of the Air Force may charge a person a fee for providing the
    person with information from the United States Air Force Military
    History Institute that is requested by that person.
        ``(b) Exceptions.--A fee may not be charged under this section--
                ``(1) to a person for information that the person requests
            to carry out a duty as a member of the armed forces or an
            officer or employee of the United States; or
                ``(2) for a release of information under section 552 of
            title 5.

        ``(c) Limitation on Amount.--A fee charged for providing information
    under this section may not exceed the cost of providing the information.
        ``(d) Retention of Fees.--Amounts received under subsection (a) for
    providing information in any fiscal year shall be credited to the
    appropriation or appropriations charged the costs of providing
    information to the public from the United States Air Force Military
    History Institute during that fiscal year.
        ``(e) Definitions.--In this section:
                ``(1) The term `United States Air Force Military History
            Institute' means the archive for historical records and
            materials of the Air Force that the Secretary of the Air Force
            designates as the primary archive for such records and
            materials.
                ``(2) The terms `officer of the United States' and `employee
            of the United States' have the meanings given the terms
            `officer' and `employee', respectively, in sections 2104 and
            2105, respectively, of title 5.''.

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

    ``9594. Air Force Military History Institute: fee for providing
               historical information to the public.''.

    SEC. 1086. GRANTS TO AMERICAN RED CROSS FOR ARMED FORCES EMERGENCY
                SERVICES.

        (a) Grants Authorized.--Subject to subsection (b), the Secretary of
    Defense may make a grant to the American Red Cross in an amount not to
    exceed $9,400,000 in each of fiscal years 2001, 2002, and 2003 for the
    support of the Armed Forces Emergency Services program of the American
    Red Cross.
        (b) Matching Requirement.--The grant under subsection (a) for a
    fiscal year may not be made until after the American Red Cross
    Incorporated, certifies to the Secretary of Defense that the American
    Red Cross will expend for the Armed Forces Emergency

    [[Page 114 STAT. 1654A-290]]

    Services program for that fiscal year funds, derived from non-Federal
    sources, in a total amount that equals or exceeds the amount of the
    grant.

    SEC. 1087. TECHNICAL AND CLERICAL AMENDMENTS.

        (a) Title 10, United States Code.--Title 10, United States Code, is
    amended as follows:
                (1) Section 180(d) is amended by striking ``section 5376''
            and inserting ``section 5315''.
                (2) Section 628(c)(2) is amended by striking ``section'' in
            the second sentence after ``rather than the provisions of'' and
            inserting ``sections''.
                (3) Section 702(b)(2) is amended by striking ``section
            230(c)'' and inserting ``section 203(c)''.
                (4) Section 706(c) is amended--
                        (A) by striking ``(1)'' after ``(c)''; and
                        (B) by striking paragraph (2).
                (5) Section 1074g is amended--
                        (A) in subsection (a)(6), by striking ``as part of
                    the regulations established'' and inserting ``in the
                    regulations prescribed'';
                        (B) in subsection (a)(7), by striking ``not included
                    on the uniform formulary, but,'' and inserting ``that
                    are not included on the uniform formulary but that
                    are'';
                        (C) in subsection (b)(1), by striking ``required
                    by'' in the last sentence and inserting ``prescribed
                    under'';
                        (D) in subsection (d)(2), by striking ``Not later
                    than'' and all that follows through ``utilize'' and
                    inserting ``Effective not later than April 5, 2000, the
                    Secretary shall use'';
                        (E) in subsection (e)--
                              (i) by striking ``Not later than April 1,
                          2000, the'' and inserting ``The''; and
                              (ii) by inserting ``in'' before ``the
                          TRICARE'' and before ``the national'';
                        (F) in subsection (f )--
                              (i) by striking ``As used in this section--''
                          and inserting ``In this section:'';
                              (ii) by striking ``the'' at the beginning of
                          paragraphs (1) and (2) and inserting ``The''; and
                              (iii) by striking ``; and'' at the end of
                          paragraph (1) and inserting a period; and
                        (G) in subsection (g), by striking ``promulgate''
                    and inserting ``prescribe''.
                (6) Section 1076c(b)(5)(C) is amended by striking ``pursuant
            to subsection (i)(2) of such section''.
                (7) Section 1095d(b) is amended by striking
            ``subparagraphs'' and inserting ``subparagraph''.
                (8) Section 1109(b) is amended by striking ``(1)'' before
            ``The Secretaries''.
                (9) Section 1142(b)(4) is amended by striking ``sections
            1151, 1152, and 1153 of this title'' and inserting ``sections
            1152 and 1153 of this title and the Troops-to-Teachers Program
            Act of 1999 (20 U.S.C. 9301 et seq.)''.
                (10) Section 1448(b)(3)(E)(ii) is amended by striking the
            second comma after ``October 16, 1998''.
                (11) Section 1598 is amended--

    [[Page 114 STAT. 1654A-291]]

                        (A) in subsection (d)(2), by inserting ``as in
                    effect on October 4, 1999,'' after ``of this title,''
                    both places it appears; and
                        (B) in subsection (f ), by inserting ``, as in
                    effect on October 4, 1999,'' after ``of this title''.
                (12) Section 2113(f ) is amended--
                        (A) by striking paragraph (2);
                        (B) by redesignating paragraph (3) as paragraph (4);
                    and
                        (C) by designating the penultimate sentence and the
                    last sentence of paragraph (1) as paragraphs (2) and
                    (3), respectively.
                (13) Section 2401(b)(1)(B) is amended by striking
            ``Committees on Appropriations'' and inserting ``Committee on
            Appropriations''.
                (14) Section 2410j is amended--
                        (A) in subsection (f )(2), by inserting ``as in
                    effect on October 4, 1999,'' after ``of this title,''
                    both places it appears; and
                        (B) in subsection (h), by inserting ``, as in effect
                    on October 4, 1999,'' after ``of this title''.
                (15) Section 2688 is amended by redesignating subsections
            (i) and ( j) as subsections (h) and (i), respectively.
                (16) Section 2814(k) is amended by inserting ``and'' after
            ``Balanced Budget''.
                (17) Sections 4357(e)(5), 6975(e)(5), and 9356(e)(5) are
            amended by inserting a close parenthesis after ``80b-2)''.
                (18) Section 5143(c)(2) is amended by striking ``has a
            grade'' and inserting ``has the grade of''.
                (19) Section 5144(c)(2) is amended by striking ``has a
            grade'' and inserting ``has the grade of''.
                (20) Section 10218 is amended--
                        (A) in subsections (a)(1), (b)(1), (b)(2)(A), and
                    (b)(2)(B)(ii), by striking ``the date of the enactment
                    of this section'' each place it appears and inserting
                    ``October 5, 1999,'';
                        (B) in subsections (a)(3)(B)(i) and (b)(2)(B)(i), by
                    striking ``the end of the one-year period beginning on
                    the date of the enactment of this subsection'' and
                    inserting ``October 5, 2000'';
                        (C) in subsection (b)(1), by striking ``six months
                    after the date of the enactment of this section'' and
                    inserting ``April 5, 2000''; and
                        (D) in subsection (b)(3), by striking ``within six
                    months of the date of the enactment of this section''
                    and inserting ``during the period beginning on October
                    5, 1999, and ending on April 5, 2000,''.
                (21) Section 12552 is amended by inserting a period at the
            end.
                (22) Section 18233a(b) is amended--
                        (A) in paragraph (1), by striking ``section
                    2805(c)(1)'' and inserting ``section 2805(c)(1)(A)'';
                    and
                        (B) in paragraph (2), by striking ``section
                    2805(c)(2)'' and inserting ``section 2805(c)(1)(B)''.

        (b) Title 37, United States Code.--Title 37, United States Code, is
    amended as follows:

    [[Page 114 STAT. 1654A-292]]

                (1) Section 301b( j)(2) is amended by striking ``section
            301a(a)(6)(A)'' and inserting ``section 301a(a)(6)(B)''.
                (2) Section 403(f )(3) is amended by striking ``regulation''
            and inserting ``regulations''.
                (3) Section 404(b)(2) is amended by striking ``section
            402(e)'' and inserting ``section 403(f )(3)''.
                (4) The section 435 added by section 586(b) of the National
            Defense Authorization Act for Fiscal Year 2000 (Public Law 106-
            65; 113 Stat. 638) is redesignated as section 436, and the item
            relating to that section in the table of sections at the
            beginning of chapter 7 is revised to conform to such
            redesignation.
                (5) Section 1012 is amended by striking ``section
            402(b)(3)'' and inserting ``section 402(e)''.

        (c) Public Law 106-65.--(1) Effective as of October 5, 1999, and as
    if included therein as enacted, the National Defense Authorization Act
    for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 512 et seq) is
    amended as follows:
                (A) Section 578 is amended--
                        (i) in subsection ( j) (113 Stat. 630), by striking
                    ``Chapter 4'' and inserting ``Chapter 7''; and
                        (ii) in subsection (k)(4) (113 Stat. 631), by
                    striking ``chapter 4'' and inserting ``chapter 7''.
                (B) Section 586(c)(2) (113 Stat. 639) is amended by striking
            ``relating to section 434'' and inserting ``added by section
            578(k)(4)''.
                (C) Section 601(c) (113 Stat. 645; 37 U.S.C. 1009 note) is
            amended--
                        (i) in the first table, relating to commissioned
                    officers, by striking ``$12,441.00'' in footnote 2 and
                    inserting ``$12,488.70''; and
                        (ii) in the fourth table, relating to enlisted
                    members, by striking ``$4,701.00'' in footnote 2 and
                    inserting ``$4,719.00''.
                (D) Section 657(a)(1)(A) (113 Stat. 668; 10 U.S.C. 1450
            note) is amended by striking ``August 21, 1983'' and inserting
            ``August 19, 1983''.

        (2) In the case of any former spouse to whom paragraph (3) of
    section 1450(f ) of title 10, United States Code, applies by reason of
    the amendment made by paragraph (1)(D), the provisions of subsection (b)
    of section 657 of the National Defense Authorization Act for Fiscal Year
    2000 shall be applied by using the date of the enactment of this Act,
    rather than the date of the enactment of that Act.
        (d) Public Law 105-261.--Effective as of October 17, 1998, and as if
    included therein as enacted, the Strom Thurmond National Defense
    Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat.
    1920 et seq.) is amended as follows:
                (1) Section 142 (112 Stat. 1943; 50 U.S.C. 1521 note) is
            amended--
                        (A) in subsection (e), by striking ``1521(f ))'' and
                    inserting ``1521 note)''; and
                        (B) by redesignating the second subsection (f ) as
                    subsection (g).
                (2) Section 503(b)(1) (112 Stat. 2003) is amended by
            inserting ``its'' after ``record of'' in the first quoted matter
            therein.

    [[Page 114 STAT. 1654A-293]]

                (3) Section 645(b) (112 Stat. 2050) is amended by striking
            ``a member'' and inserting ``member'' in the quoted matter
            therein.
                (4) Section 701 (112 Stat. 2056) is amended--
                        (A) in subsection (a), by inserting ``(1)'' before
                    ``Section 1076a(b)(2)''; and
                        (B) in subsection (b), by inserting ``of such
                    title'' after ``1076a''.
                (5) Section 802(b) (112 Stat. 2081) is amended by striking
            ``Administrative'' in the first quoted matter therein and
            inserting ``Administration''.
                (6) Section 1101(e)(2)(C) (112 Stat. 2140; 5 U.S.C. 3104
            note) is amended by striking ``subsection (c)(1)'' and inserting
            ``subsection (c)(2)''.
                (7) Section 1405(k)(2) (112 Stat. 2170; 50 U.S.C. 2301 note)
            is amended by striking ``subchapter'' and inserting ``chapter''.

        (e) Public Law 105-85.--The National Defense Authorization Act for
    Fiscal Year 1998 (Public Law 105-85) is amended as follows:
                (1) Section 602(d)(1)(A) (111 Stat. 1773; 37 U.S.C. 402
            note) is amended by striking ``of'' the first place it appears
            in the matter preceding clause (i).
                (2) Section 1221(a)(3) (22 U.S.C. 1928 note), as amended by
            section 1233(a)(2)(A) of Public Law 105-261 (112 Stat. 2156), is
            amended by striking the second close parenthesis after ``relief
            efforts''.

        (f ) Title 5, United States Code.--Title 5, United States Code, is
    amended as follows:
                (1) Section 3329 is amended--
                        (A) in subsection (a), by striking ``such term'' and
                    inserting ``the term `military technician (dual status)'
                    ''; and
                        (B) in subsection (b), by striking ``section 1332 of
                    title 10'' and inserting ``section 12732 of title 10''.
                (2) Section 5531 is amended by striking ``sections 5532
            and'' in the matter preceding paragraph (1) and inserting
            ``section''.
                (3) Section 8116(a)(4) is amended by striking ``, subject
            to'' and all that follows through ``United States Code''.
                (4) Section 8339(g) is amended by striking ``the application
            of the limitation in section 5532 of this title, or'' in the
            third sentence.
                (5) Section 8344(h)(1) is amended by inserting ``(as in
            effect before the repeal of that section by section 651(a) of
            Public Law 106-65)'' after ``section 5532(f )(2) of this
            title''.

        (g) Other Laws.--
                (1) Section 834(e) of the National Defense Authorization Act
            for Fiscal Years 1990 and 1991 (15 U.S.C. 637 note) is amended
            by striking the second period after ``2005''.
                (2) Section 2905(b)(4) of the Defense Base Closure and
            Realignment Act of 1990 (part A of title XXIX of Public Law 101-
            510; 10 U.S.C. 2687 note) is amended by transferring
            subparagraph (G) so as to appear immediately before subparagraph
            (H), as added by section 2821(a) of the National Defense
            Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113
            Stat. 853).
                (3) Section 686(b) of title 14, United States Code, is
            amended--

    [[Page 114 STAT. 1654A-294]]

                        (A) in paragraph (1), by striking ``section 403(b)''
                    and inserting ``section 403(e)''; and
                        (B) in paragraph (2), by striking ``a basic
                    allowance for quarters under section 403 of title 37,
                    and, if in a high housing cost area, a variable housing
                    allowance under section 403a of that title'' and
                    inserting ``a basic allowance for housing under section
                    403 of title 37''.
                (4) Chapter 701 of title 36, United States Code, relating to
            the Federal charter of the Fleet Reserve Association, is amended
            in sections 70102(a) and 70108(a) by striking ``Delaware'' and
            inserting ``Pennsylvania''.
                (5) Section 7426 of title 38, United States Code, is amended
            by striking subsection (c).
                (6) The item relating to chapter 112 in the table of
            chapters at the beginning of subtitle II of title 46, United
            States Code, is amended by revising the second and third words
            so that the initial letter of each of those words is lower case.
                (7) Section 405(f )(6)(B) of the Departments of Labor,
            Health and Human Services, and Education, and Related Agencies
            Appropriations Act, 1999 (as contained in section 101(f ) of
            division A of Public Law 105-277; 112 Stat. 2681-430), is
            amended by striking ``Act of title'' in the first quoted matter
            therein and inserting ``Act or title''.
                (8) Section 1403(c)(6) of the Defense Dependents' Education
            Act of 1978 (20 U.S.C. 922(c)(6)) is amended by striking ``the''
            before ``Assistant Secretary of Defense''.
                (9) Effective as of October 5, 1999, section 224 b. of the
            Atomic Energy Act of 1954 (42 U.S.C. 2274(b)) is amended by
            striking ``$500,000'' and inserting ``$50,000''.

        (h) Coordination With Other Amendments.--For purposes of applying
    amendments made by provisions of this Act other than provisions of this
    section, this section shall be treated as having been enacted
    immediately before the other provisions of this Act.

    SEC. 1088. MAXIMUM SIZE OF PARCEL POST PACKAGES TRANSPORTED OVERSEAS FOR
                ARMED FORCES POST OFFICES.

        Section 3401(b) of title 39, United States Code, is amended by
    striking ``100 inches in length and girth combined'' in paragraphs (2)
    and (3) and inserting ``the maximum size allowed by the Postal Service
    for fourth class parcel post (known as `Standard Mail (B)')''.

    SEC. 1089. SENSE OF CONGRESS REGARDING TAX TREATMENT OF MEMBERS
                RECEIVING SPECIAL PAY FOR DUTY SUBJECT TO HOSTILE FIRE OR
                IMMINENT DANGER.

        It is the sense of Congress that members of the Armed Forces who
    receive special pay under section 310 of title 37, United States Code,
    for duty subject to hostile fire or imminent danger should receive the
    same treatment under Federal income tax laws as members serving in
    combat zones.

    SEC. 1090. ORGANIZATION AND MANAGEMENT OF CIVIL AIR PATROL.

        (a) In General.--Chapter 909 of title 10, United States Code, is
    amended to read as follows:

                         ``CHAPTER 909--CIVIL AIR PATROL

    ``Sec.
    ``9441. Status as federally chartered corporation; purposes.

    [[Page 114 STAT. 1654A-295]]

    ``9442. Status as volunteer civilian auxiliary of the Air Force.
    ``9443. Activities performed as federally chartered nonprofit
               corporation.
    ``9444. Activities performed as auxiliary of the Air Force.
    ``9445. Funds appropriated for the Civil Air Patrol.
    ``9446. Miscellaneous personnel authorities.
    ``9447. Board of Governors.
    ``9448. Regulations.

    ``Sec. 9441. Status as federally chartered corporation; purposes

        ``(a) Status.--(1) The Civil Air Patrol is a nonprofit corporation
    that is federally chartered under section 40301 of title 36.
        ``(2) Except as provided in section 9442(b)(2) of this title, the
    Civil Air Patrol is not an instrumentality of the Federal Government for
    any purpose.
        ``(b) Purposes.--The purposes of the Civil Air Patrol are set forth
    in section 40302 of title 36.

    ``Sec. 9442. Status as volunteer civilian auxiliary of the Air Force

        ``(a) Volunteer Civilian Auxiliary.--The Civil Air Patrol is a
    volunteer civilian auxiliary of the Air Force when the services of the
    Civil Air Patrol are used by any department or agency in any branch of
    the Federal Government.
        ``(b) Use by Air Force.--(1) The Secretary of the Air Force may use
    the services of the Civil Air Patrol to fulfill the noncombat programs
    and missions of the Department of the Air Force.
        ``(2) The Civil Air Patrol shall be deemed to be an instrumentality
    of the United States with respect to any act or omission of the Civil
    Air Patrol, including any member of the Civil Air Patrol, in carrying
    out a mission assigned by the Secretary of the Air Force.

    ``Sec. 9443. Activities performed as federally chartered nonprofit
                            corporation

        ``(a) Use of Federally Provided Resources.--In its status as a
    federally chartered nonprofit corporation, the Civil Air Patrol may use
    equipment, supplies, and other resources, including aircraft, motor
    vehicles, computers, and communications equipment, provided to the Civil
    Air Patrol by a department or agency of the Federal Government or
    acquired by or for the Civil Air Patrol with appropriated funds (or with
    funds of the Civil Air Patrol, but reimbursed from appropriated funds)--
                ``(1) to provide assistance requested by State or local
            governmental authorities to perform disaster relief missions and
            activities, other emergency missions and activities, and
            nonemergency missions and activities; and
                ``(2) to fulfill its other purposes set forth in section
            40302 of title 36.

        ``(b) Use Subject to Applicable Laws.--The use of equipment,
    supplies, or other resources under subsection (a) is subject to the laws
    and regulations that govern the use by nonprofit corporations of
    federally provided assets or of assets purchased with appropriated
    funds, as the case may be.
        ``(c) Authority Not Contingent on Reimbursement.--The authority for
    the Civil Air Patrol to provide assistance under subsection (a)(1) is
    not contingent on the Civil Air Patrol being reimbursed for the cost of
    providing the assistance. If the Civil Air Patrol elects to require
    reimbursement for the provision of assistance under such subsection, the
    Civil Air Patrol may establish

    [[Page 114 STAT. 1654A-296]]

    the reimbursement rate at a rate less than the rates charged by private
    sector sources for equivalent services.
        ``(d) Liability Insurance.--The Secretary of the Air Force may
    provide the Civil Air Patrol with funds for paying the cost of liability
    insurance to cover missions and activities carried out under this
    section.

    ``Sec. 9444. Activities performed as auxiliary of the Air Force

        ``(a) Air Force Support for Activities.--The Secretary of the Air
    Force may furnish to the Civil Air Patrol in accordance with this
    section any equipment, supplies, and other resources that the Secretary
    determines necessary to enable the Civil Air Patrol to fulfill the
    missions assigned by the Secretary to the Civil Air Patrol as an
    auxiliary of the Air Force.
        ``(b) Forms of Air Force Support.--The Secretary of the Air Force
    may, under subsection (a)--
                ``(1) give, lend, or sell to the Civil Air Patrol without
            regard to the Federal Property and Administrative Services Act
            of 1949 (40 U.S.C. 471 et seq.)--
                        ``(A) major items of equipment (including aircraft,
                    motor vehicles, computers, and communications equipment)
                    that are excess to the military departments; and
                        ``(B) necessary related supplies and training aids
                    that are excess to the military departments;
                ``(2) permit the use, with or without charge, of services
            and facilities of the Air Force;
                ``(3) furnish supplies (including fuel, lubricants, and
            other items required for vehicle and aircraft operations) or
            provide funds for the acquisition of supplies;
                ``(4) establish, maintain, and supply liaison officers of
            the Air Force at the national, regional, State, and territorial
            headquarters of the Civil Air Patrol;
                ``(5) detail or assign any member of the Air Force or any
            officer, employee, or contractor of the Department of the Air
            Force to any liaison office at the national, regional, State, or
            territorial headquarters of the Civil Air Patrol;
                ``(6) detail any member of the Air Force or any officer,
            employee, or contractor of the Department of the Air Force to
            any unit or installation of the Civil Air Patrol to assist in
            the training programs of the Civil Air Patrol;
                ``(7) authorize the payment of travel expenses and
            allowances, at rates not to exceed those paid to employees of
            the United States under subchapter I of chapter 57 of title 5,
            to members of the Civil Air Patrol while the members are
            carrying out programs or missions specifically assigned by the
            Air Force;
                ``(8) provide funds for the national headquarters of the
            Civil Air Patrol, including--
                        ``(A) funds for the payment of staff compensation
                    and benefits, administrative expenses, travel, per diem
                    and allowances, rent, utilities, other operational
                    expenses of the national headquarters; and
                        ``(B) to the extent considered necessary by the
                    Secretary of the Air Force to fulfill Air Force
                    requirements, funds for the payment of compensation and
                    benefits for key staff at regional, State, or
                    territorial headquarters;

    [[Page 114 STAT. 1654A-297]]

                ``(9) authorize the payment of expenses of placing into
            serviceable condition, improving, and maintaining equipment
            (including aircraft, motor vehicles, computers, and
            communications equipment) owned or leased by the Civil Air
            Patrol;
                ``(10) provide funds for the lease or purchase of items of
            equipment that the Secretary determines necessary for the Civil
            Air Patrol;
                ``(11) support the Civil Air Patrol cadet program by
            furnishing--
                        ``(A) articles of the Air Force uniform to cadets
                    without cost; and
                        ``(B) any other support that the Secretary of the
                    Air Force determines is consistent with Air Force
                    missions and objectives; and
                ``(12) provide support, including appropriated funds, for
            the Civil Air Patrol aerospace education program to the extent
            that the Secretary of the Air Force determines appropriate for
            furthering the fulfillment of Air Force missions and objectives.

        ``(c) Assistance by Other Agencies.--(1) The Secretary of the Air
    Force may arrange for the use by the Civil Air Patrol of such facilities
    and services under the jurisdiction of the Secretary of the Army, the
    Secretary of the Navy, or the head of any other department or agency of
    the United States as the Secretary of the Air Force considers to be
    needed by the Civil Air Patrol to carry out its mission.
        ``(2) An arrangement for use of facilities or services of a military
    department or other department or agency under this subsection shall be
    subject to the agreement of the Secretary of the military department or
    head of the other department or agency, as the case may be.
        ``(3) Each arrangement under this subsection shall be made in
    accordance with regulations prescribed under section 9448 of this title.

    ``Sec. 9445. Funds appropriated for the Civil Air Patrol

        ``Funds appropriated for the Civil Air Patrol shall be available
    only for the exclusive use of the Civil Air Patrol.

    ``Sec. 9446. Miscellaneous personnel authorities

        ``(a) Use of Retired Air Force Personnel.--(1) Upon the request of a
    person retired from service in the Air Force, the Secretary of the Air
    Force may enter into a personal services contract with that person
    providing for the person to serve as an administrator or liaison officer
    for the Civil Air Patrol. The qualifications of a person to provide the
    services shall be determined and approved in accordance with regulations
    prescribed under section 9448 of this title.
        ``(2) To the extent provided in a contract under paragraph (1), a
    person providing services under the contract may accept services on
    behalf of the Air Force.
        ``(3) A person, while providing services under a contract authorized
    under paragraph (1), may not be considered to be on active duty or
    inactive-duty training for any purpose.
        ``(b) Use of Civil Air Patrol Chaplains.--The Secretary of the Air
    Force may use the services of Civil Air Patrol chaplains in support of
    the Air Force active duty and reserve component

    [[Page 114 STAT. 1654A-298]]

    forces to the extent and under conditions that the Secretary determines
    appropriate.

    ``Sec. 9447. Board of Governors

        ``(a) Governing Body.--The Board of Governors of the Civil Air
    Patrol is the governing body of the Civil Air Patrol.
        ``(b) Composition.--The Board of Governors is composed of 11 members
    as follows:
                ``(1) Four members appointed by the Secretary of the Air
            Force, who may be active or retired officers of the Air Force
            (including reserve components of the Air Force), employees of
            the United States, or private citizens.
                ``(2) Four members of the Civil Air Patrol, selected in
            accordance with the constitution and bylaws of the Civil Air
            Patrol.
                ``(3) Three members appointed or selected as provided in
            subsection (c) from among personnel of any Federal Government
            agencies, public corporations, nonprofit associations, and other
            organizations that have an interest and expertise in civil
            aviation and the Civil Air Patrol mission.

        ``(c) Appointments From Interested Organizations.--(1) Subject to
    paragraph (2), the members of the Board of Governors referred to in
    subsection (b)(3) shall be appointed jointly by the Secretary of the Air
    Force and the National Commander of the Civil Air Patrol.
        ``(2) Any vacancy in the position of a member referred to in
    paragraph (1) that is not filled under that paragraph within 90 days
    shall be filled by majority vote of the other members of the Board.
        ``(d) Chairman.--The Chairman of the Board of Governors shall be
    chosen by the members of the Board of Governors from among the members
    of the Board referred to in paragraphs (1) and (2) of subsection (b) and
    shall serve for a term of two years. The position of Chairman shall be
    held on a rotating basis between members of the Board appointed by the
    Secretary of the Air Force under paragraph (1) of subsection (b) and
    members of the Board selected under paragraph (2) of that subsection.
        ``(e) Powers.--(1) The Board of Governors shall, subject to
    paragraphs (2) and (3), exercise the powers granted to the Civil Air
    Patrol under section 40304 of title 36.
        ``(2) Any exercise by the Board of the power to amend the
    constitution or bylaws of the Civil Air Patrol or to adopt a new
    constitution or bylaws shall be subject to approval by a majority of the
    members of the Board.
        ``(3) Neither the Board of Governors nor any other component of the
    Civil Air Patrol may modify or terminate any requirement or authority
    set forth in this section.
        ``(f ) Personal Liability for Breach of a Fiduciary Duty.--(1)
    Subject to paragraph (2), the Board of Governors may take such action as
    is necessary to limit the personal liability of a member of the Board of
    Governors to the Civil Air Patrol, or to any of its members, for
    monetary damages for a breach of fiduciary duty while serving as a
    member of the Board.
        ``(2) The Board may not limit the liability of a member of the Board
    of Governors to the Civil Air Patrol, or to any of its members, for
    monetary damages for any of the following:

    [[Page 114 STAT. 1654A-299]]

                ``(A) A breach of the member's duty of loyalty to the Civil
            Air Patrol or its members.
                ``(B) Any act or omission that is not in good faith or that
            involves intentional misconduct or a knowing violation of law.
                ``(C) Participation in any transaction from which the member
            directly or indirectly derives an improper personal benefit.

        ``(3) Nothing in this subsection shall be construed as rendering
    section 207 or 208 of title 18 inapplicable in any respect to a member
    of the Board of Governors who is a member of the Air Force on active
    duty, an officer on a retired list of the Air Force, or an employee of
    the United States.
        ``(g) Personal Liability for Breach of a Fiduciary Duty.--(1) Except
    as provided in paragraph (2), no member of the Board of Governors or
    officer of the Civil Air Patrol shall be personally liable for damages
    for any injury or death or loss or damage of property resulting from a
    tortious act or omission of an employee or member of the Civil Air
    Patrol.
        ``(2) Paragraph (1) does not apply to a member of the Board of
    Governors or officer of the Civil Air Patrol for a tortious act or
    omission in which the member or officer, as the case may be, was
    personally involved, whether in breach of a civil duty or in commission
    of a criminal offense.
        ``(3) Nothing in this subsection shall be construed to restrict the
    applicability of common law protections and rights that a member of the
    Board of Governors or officer of the Civil Air Patrol may have.
        ``(4) The protections provided under this subsection are in addition
    to the protections provided under subsection (f ).

    ``Sec. 9448. Regulations

        ``(a) Authority.--The Secretary of the Air Force shall prescribe
    regulations for the administration of this chapter.
        ``(b) Required Regulations.--The regulations shall include the
    following:
                ``(1) Regulations governing the conduct of the activities of
            the Civil Air Patrol when it is performing its duties as a
            volunteer civilian auxiliary of the Air Force under section 9442
            of this title.
                ``(2) Regulations for providing support by the Air Force and
            for arranging assistance by other agencies under section 9444 of
            this title.
                ``(3) Regulations governing the qualifications of retired
            Air Force personnel to serve as an administrator or liaison
            officer for the Civil Air Patrol under a personal services
            contract entered into under section 9446(a) of this title.

        ``(c) Approval by Secretary of Defense.--The regulations required by
    subsection (b)(2) shall be subject to the approval of the Secretary of
    Defense.''.
        (b) Conforming Amendments.--(1) Section 40302 of title 36, United
    States Code, is amended--
                (A) by striking ``to--'' in the matter preceding paragraph
            (1) and inserting ``as follows:'';
                (B) by inserting ``To'' after the paragraph designation in
            each of paragraphs (1), (2), (3), and (4);
                (C) by striking the semicolon at the end of paragraphs
            (1)(B) and (2) and inserting a period;

    [[Page 114 STAT. 1654A-300]]

                (D) by striking ``; and'' at the end of paragraph (3) and
            inserting a period; and
                (E) by adding at the end the following:
                ``(5) To assist the Department of the Air Force in
            fulfilling its noncombat programs and missions.''.

        (2)(A) Section 40303 of such title is amended--
                (i) by inserting ``(a) Membership.--'' before
            ``Eligibility''; and
                (ii) by adding at the end the following:

        ``(b) Governing Body.--The Civil Air Patrol has a Board of
    Governors. The composition and responsibilities of the Board of
    Governors are set forth in section 9447 of title 10.''.
        (B) The heading for such section is amended to read as follows:

    ``Sec. 40303. Membership and governing body''.

        (C) The item relating to such section in the table of sections at
    the beginning of chapter 403 of title 36, United States Code, is amended
    to read as follows:

    ``40303. Membership and governing body.''.

        (c) Effective Date.--The amendments made by this section shall take
    effect 120 days after the date of the enactment of this Act.

    SEC. 1091. ADDITIONAL DUTIES FOR COMMISSION TO ASSESS UNITED STATES
                NATIONAL SECURITY SPACE MANAGEMENT AND ORGANIZATION.

        Section 1622(a) of the National Defense Authorization Act for Fiscal
    Year 2000 (Public Law 106-65; 113 Stat. 814; 10 U.S.C. 111 note) is
    amended by adding at the end the following new paragraph:
                ``(6) The advisability of--
                        ``(A) various actions to eliminate the de facto
                    requirement that specified officers in the United States
                    Space Command be flight rated that results from the dual
                    assignment of officers to that command and to one or
                    more other commands in positions in which such officers
                    are expressly required to be flight rated;
                        ``(B) the establishment of a requirement that, as a
                    condition of the assignment of a general or flag officer
                    to the United States Space Command, the officer have
                    experience in space, missile, or information operations
                    that was gained through either acquisition or
                    operational experience; and
                        ``(C) rotating the command of the United States
                    Space Command among the Armed Forces.''.

    SEC. 1092. COMMISSION ON THE FUTURE OF THE UNITED STATES AEROSPACE
                INDUSTRY.

        (a) Establishment.--There is established a commission to be known as
    the ``Commission on the Future of the United States Aerospace Industry''
    (in this section referred to as the ``Commission'').
        (b) Membership.--(1) The Commission shall be composed of 12 members
    appointed, not later than March 1, 2001, as follows:
                (A) Up to six members shall be appointed by the President.
                (B) Two members shall be appointed by the Speaker of the
            House of Representatives.

    [[Page 114 STAT. 1654A-301]]

                (C) Two members shall be appointed by the majority leader of
            the Senate.
                (D) One member shall be appointed by the minority leader of
            the Senate.
                (E) One member shall be appointed by the minority leader of
            the House of Representatives.

        (2) The members of the Commission shall be appointed from among
    persons with extensive experience and national reputations in aerospace
    manufacturing, economics, finance, national security, international
    trade, or foreign policy and persons who are representative of labor
    organizations associated with the aerospace industry.
        (3) Members shall be appointed for the life of the Commission. A
    vacancy in the Commission shall not affect its powers, but shall be
    filled in the same manner as the original appointment.
        (4) The President shall designate one member of the Commission to
    serve as the chairman of the Commission.
        (5) The Commission shall meet at the call of the chairman. A
    majority of the members shall constitute a quorum, but a lesser number
    may hold hearings.
        (c) Duties.--(1) The Commission shall--
                (A) study the issues associated with the future of the
            United States aerospace industry in the global economy,
            particularly in relationship to United States national security;
            and
                (B) assess the future importance of the domestic aerospace
            industry for the economic and national security of the United
            States.

        (2) In order to fulfill its responsibilities, the Commission shall
    study the following:
                (A) The budget process of the United States Government,
            particularly with a view to assessing the adequacy of projected
            budgets of the Federal departments and agencies for aerospace
            research and development and procurement.
                (B) The acquisition process of the Government, particularly
            with a view to assessing--
                        (i) the adequacy of the current acquisition process
                    of Federal departments and agencies; and
                        (ii) the procedures for developing and fielding
                    aerospace systems incorporating new technologies in a
                    timely fashion.
                (C) The policies, procedures, and methods for the financing
            and payment of Government contracts.
                (D) Statutes and regulations governing international trade
            and the export of technology, particularly with a view to
            assessing--
                        (i) the extent to which the current system for
                    controlling the export of aerospace goods, services, and
                    technologies reflects an adequate balance between the
                    need to protect national security and the need to ensure
                    unhindered access to the global marketplace; and
                        (ii) the adequacy of United States and multilateral
                    trade laws and policies for maintaining the
                    international competitiveness of the United States
                    aerospace industry.
                (E) Policies governing taxation, particularly with a view to
            assessing the impact of current tax laws and practices on the
            international competitiveness of the aerospace industry.
                (F) Programs for the maintenance of the national space
            launch infrastructure, particularly with a view to assessing

    [[Page 114 STAT. 1654A-302]]

            the adequacy of current and projected programs for maintaining
            the national space launch infrastructure.
                (G) Programs for the support of science and engineering
            education, including current programs for supporting aerospace
            science and engineering efforts at institutions of higher
            learning, with a view to determining the adequacy of those
            programs.

        (d) Report.--(1) Not later than March 1, 2002, the Commission shall
    submit a report on its activities to the President and Congress.
        (2) The report shall include the following:
                (A) The Commission's findings and conclusions.
                (B) The Commission's recommendations for actions by Federal
            departments and agencies to support the maintenance of a robust
            aerospace industry in the United States in the 21st century and
            any recommendations for statutory and regulatory changes to
            support the implementation of the Commission's findings.
                (C) A discussion of the appropriate means for implementing
            the Commission's recommendations.

        (e) Administrative Requirements and Authorities.--(1) The Director
    of the Office of Management and Budget shall ensure that the Commission
    is provided such administrative services, facilities, staff, and other
    support services as may be necessary. Any expenses of the Commission
    shall be paid from funds available to the Director.
        (2) The Commission may hold hearings, sit and act at times and
    places, take testimony, and receive evidence that the Commission
    considers advisable to carry out the purposes of this section.
        (3) The Commission may request directly from any department or
    agency of the United States any information that the Commission
    considers necessary to carry out the provisions of this section. To the
    extent consistent with applicable requirements of law and regulations,
    the head of such department or agency shall furnish such information to
    the Commission.
        (4) The Commission may use the United States mails in the same
    manner and under the same conditions as other departments and agencies
    of the United States.
        (f ) Commission Personnel Matters.--(1) Members of the Commission
    shall serve without additional compensation for their service on the
    Commission, except that members appointed from among private citizens
    may be allowed travel expenses, including per diem in lieu of
    subsistence, as authorized by law for persons serving intermittently in
    Government service under subchapter I of chapter 57 of title 5, United
    States Code, while away from their homes and places of business in the
    performance of services for the Commission.
        (2) The chairman of the Commission may appoint staff of the
    Commission, request the detail of Federal employees, and accept
    temporary and intermittent services in accordance with section 3161 of
    title 5, United States Code (as added by section 1101 of this Act).
        (g) Termination.--The Commission shall terminate 30 days after the
    date of the submission of its report under subsection (d).

    SEC. 1093. DRUG ADDICTION TREATMENT.

        (a) In General.--Section 303(g) of the Controlled Substances Act (21
    U.S.C. 823(g)) is amended--

    [[Page 114 STAT. 1654A-303]]

                (1) in paragraph (2), by striking ``(A) security'' and
            inserting ``(i) security'', and by striking ``(B) the
            maintenance'' and inserting ``(ii) the maintenance'';
                (2) by redesignating paragraphs (1) through (3) as
            subparagraphs (A) through (C), respectively;
                (3) by inserting ``(1)'' after ``(g)'';
                (4) by striking ``Practitioners who dispense'' and inserting
            ``Except as provided in paragraph (2), practitioners who
            dispense''; and
                (5) by adding at the end the following paragraph:

        ``(2)(A) Subject to subparagraphs (D) and (J), the requirements of
    paragraph (1) are waived in the case of the dispensing (including the
    prescribing), by a practitioner, of narcotic drugs in schedule III, IV,
    or V or combinations of such drugs if the practitioner meets the
    conditions specified in subparagraph (B) and the narcotic drugs or
    combinations of such drugs meet the conditions specified in subparagraph
    (C).
        ``(B) For purposes of subparagraph (A), the conditions specified in
    this subparagraph with respect to a practitioner are that, before the
    initial dispensing of narcotic drugs in schedule III, IV, or V or
    combinations of such drugs to patients for maintenance or detoxification
    treatment, the practitioner submit to the Secretary a notification of
    the intent of the practitioner to begin dispensing the drugs or
    combinations for such purpose, and that the notification contain the
    following certifications by the practitioner:
                ``(i) The practitioner is a qualifying physician (as defined
            in subparagraph (G)).
                ``(ii) With respect to patients to whom the practitioner
            will provide such drugs or combinations of drugs, the
            practitioner has the capacity to refer the patients for
            appropriate counseling and other appropriate ancillary services.
                ``(iii) In any case in which the practitioner is not in a
            group practice, the total number of such patients of the
            practitioner at any one time will not exceed the applicable
            number. For purposes of this clause, the applicable number is
            30, except that the Secretary may by regulation change such
            total number.
                ``(iv) In any case in which the practitioner is in a group
            practice, the total number of such patients of the group
            practice at any one time will not exceed the applicable number.
            For purposes of this clause, the applicable number is 30, except
            that the Secretary may by regulation change such total number,
            and the Secretary for such purposes may by regulation establish
            different categories on the basis of the number of practitioners
            in a group practice and establish for the various categories
            different numerical limitations on the number of such patients
            that the group practice may have.

        ``(C) For purposes of subparagraph (A), the conditions specified in
    this subparagraph with respect to narcotic drugs in schedule III, IV, or
    V or combinations of such drugs are as follows:
                ``(i) The drugs or combinations of drugs have, under the
            Federal Food, Drug, and Cosmetic Act or section 351 of the
            Public Health Service Act, been approved for use in maintenance
            or detoxification treatment.
                ``(ii) The drugs or combinations of drugs have not been the
            subject of an adverse determination. For purposes of this
            clause, an adverse determination is a determination published

    [[Page 114 STAT. 1654A-304]]

            in the Federal Register and made by the Secretary, after
            consultation with the Attorney General, that the use of the
            drugs or combinations of drugs for maintenance or detoxification
            treatment requires additional standards respecting the
            qualifications of practitioners to provide such treatment, or
            requires standards respecting the quantities of the drugs that
            may be provided for unsupervised use.

        ``(D)(i) A waiver under subparagraph (A) with respect to a
    practitioner is not in effect unless (in addition to conditions under
    subparagraphs (B) and (C)) the following conditions are met:
                ``(I) The notification under subparagraph (B) is in writing
            and states the name of the practitioner.
                ``(II) The notification identifies the registration issued
            for the practitioner pursuant to subsection (f ).
                ``(III) If the practitioner is a member of a group practice,
            the notification states the names of the other practitioners in
            the practice and identifies the registrations issued for the
            other practitioners pursuant to subsection (f ).

        ``(ii) Upon receiving a notification under subparagraph (B), the
    Attorney General shall assign the practitioner involved an
    identification number under this paragraph for inclusion with the
    registration issued for the practitioner pursuant to subsection (f ).
    The identification number so assigned shall be appropriate to preserve
    the confidentiality of patients for whom the practitioner has dispensed
    narcotic drugs under a waiver under subparagraph (A).
        ``(iii) Not later than 45 days after the date on which the Secretary
    receives a notification under subparagraph (B), the Secretary shall make
    a determination of whether the practitioner involved meets all
    requirements for a waiver under subparagraph (B). If the Secretary fails
    to make such determination by the end of such 45-day period, the
    Attorney General shall assign the physician an identification number
    described in clause (ii) at the end of such period.
        ``(E)(i) If a practitioner is not registered under paragraph (1)
    and, in violation of the conditions specified in subparagraphs (B)
    through (D), dispenses narcotic drugs in schedule III, IV, or V or
    combinations of such drugs for maintenance treatment or detoxification
    treatment, the Attorney General may, for purposes of section 304(a)(4),
    consider the practitioner to have committed an act that renders the
    registration of the practitioner pursuant to subsection (f ) to be
    inconsistent with the public interest.
        ``(ii)(I) Upon the expiration of 45 days from the date on which the
    Secretary receives a notification under subparagraph (B), a practitioner
    who in good faith submits a notification under subparagraph (B) and
    reasonably believes that the conditions specified in subparagraphs (B)
    through (D) have been met shall, in dispensing narcotic drugs in
    schedule III, IV, or V or combinations of such drugs for maintenance
    treatment or detoxification treatment, be considered to have a waiver
    under subparagraph (A) until notified otherwise by the Secretary, except
    that such a practitioner may commence to prescribe or dispense such
    narcotic drugs for such purposes prior to the expiration of such 45-day
    period if it facilitates the treatment of an individual patient and both
    the Secretary and the Attorney General are notified by the practitioner
    of the intent to commence prescribing or dispensing such narcotic drugs.
        ``(II) For purposes of subclause (I), the publication in the Federal
    Register of an adverse determination by the Secretary pursuant

    [[Page 114 STAT. 1654A-305]]

    to subparagraph (C)(ii) shall (with respect to the narcotic drug or
    combination involved) be considered to be a notification provided by the
    Secretary to practitioners, effective upon the expiration of the 30-day
    period beginning on the date on which the adverse determination is so
    published.
        ``(F)(i) With respect to the dispensing of narcotic drugs in
    schedule III, IV, or V or combinations of such drugs to patients for
    maintenance or detoxification treatment, a practitioner may, in his or
    her discretion, dispense such drugs or combinations for such treatment
    under a registration under paragraph (1) or a waiver under subparagraph
    (A) (subject to meeting the applicable conditions).
        ``(ii) This paragraph may not be construed as having any legal
    effect on the conditions for obtaining a registration under paragraph
    (1), including with respect to the number of patients who may be served
    under such a registration.
        ``(G) For purposes of this paragraph:
                ``(i) The term `group practice' has the meaning given such
            term in section 1877(h)(4) of the Social Security Act.
                ``(ii) The term `qualifying physician' means a physician who
            is licensed under State law and who meets one or more of the
            following conditions:
                        ``(I) The physician holds a subspecialty board
                    certification in addiction psychiatry from the American
                    Board of Medical Specialties.
                        ``(II) The physician holds an addiction
                    certification from the American Society of Addiction
                    Medicine.
                        ``(III) The physician holds a subspecialty board
                    certification in addiction medicine from the American
                    Osteopathic Association.
                        ``(IV) The physician has, with respect to the
                    treatment and management of opiate-dependent patients,
                    completed not less than eight hours of training (through
                    classroom situations, seminars at professional society
                    meetings, electronic communications, or otherwise) that
                    is provided by the American Society of Addiction
                    Medicine, the American Academy of Addiction Psychiatry,
                    the American Medical Association, the American
                    Osteopathic Association, the American Psychiatric
                    Association, or any other organization that the
                    Secretary determines is appropriate for purposes of this
                    subclause.
                        ``(V) The physician has participated as an
                    investigator in one or more clinical trials leading to
                    the approval of a narcotic drug in schedule III, IV, or
                    V for maintenance or detoxification treatment, as
                    demonstrated by a statement submitted to the Secretary
                    by the sponsor of such approved drug.
                        ``(VI) The physician has such other training or
                    experience as the State medical licensing board (of the
                    State in which the physician will provide maintenance or
                    detoxification treatment) considers to demonstrate the
                    ability of the physician to treat and manage opiate-
                    dependent patients.
                        ``(VII) The physician has such other training or
                    experience as the Secretary considers to demonstrate the
                    ability of the physician to treat and manage opiate-
                    dependent patients. Any criteria of the Secretary under
                    this subclause

    [[Page 114 STAT. 1654A-306]]

                    shall be established by regulation. Any such criteria
                    are effective only for 3 years after the date on which
                    the criteria are promulgated, but may be extended for
                    such additional discrete 3-year periods as the Secretary
                    considers appropriate for purposes of this subclause.
                    Such an extension of criteria may only be effectuated
                    through a statement published in the Federal Register by
                    the Secretary during the 30-day period preceding the end
                    of the 3-year period involved.

        ``(H)(i) In consultation with the Administrator of the Drug
    Enforcement Administration, the Administrator of the Substance Abuse and
    Mental Health Services Administration, the Director of the National
    Institute on Drug Abuse, and the Commissioner of Food and Drugs, the
    Secretary shall issue regulations (through notice and comment
    rulemaking) or issue practice guidelines to address the following:
                ``(I) Approval of additional credentialing bodies and the
            responsibilities of additional credentialing bodies.
                ``(II) Additional exemptions from the requirements of this
            paragraph and any regulations under this paragraph.

    Nothing in such regulations or practice guidelines may authorize any
    Federal official or employee to exercise supervision or control over the
    practice of medicine or the manner in which medical services are
    provided.
        ``(ii) Not later than 120 days after the date of the enactment of
    the Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001, the Secretary shall issue a treatment improvement protocol
    containing best practice guidelines for the treatment and maintenance of
    opiate-dependent patients. The Secretary shall develop the protocol in
    consultation with the Director of the National Institute on Drug Abuse,
    the Administrator of the Drug Enforcement Administration, the
    Commissioner of Food and Drugs, the Administrator of the Substance Abuse
    and Mental Health Services Administration, and other substance abuse
    disorder professionals. The protocol shall be guided by science.
        ``(I) During the 3-year period beginning on the date of the
    enactment of the Floyd D. Spence National Defense Authorization Act for
    Fiscal Year 2001, a State may not preclude a practitioner from
    dispensing or prescribing drugs in schedule III, IV, or V or
    combinations of such drugs, to patients for maintenance or
    detoxification treatment in accordance with this paragraph unless,
    before the expiration of that 3-year period, the State enacts a law
    prohibiting a practitioner from dispensing such drugs or combinations of
    drug.
        ``(J)(i) This paragraph takes effect on the date of the enactment of
    the Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001, and remains in effect thereafter except as provided in clause
    (iii) (relating to a decision by the Secretary or the Attorney General
    that this paragraph should not remain in effect).
        ``(ii) For purposes relating to clause (iii), the Secretary and the
    Attorney General may, during the 3-year period beginning on the date of
    the enactment of the Floyd D. Spence National Defense Authorization Act
    for Fiscal Year 2001, make determinations in accordance with the
    following:
                ``(I) The Secretary may make a determination of whether
            treatments provided under waivers under subparagraph (A)

    [[Page 114 STAT. 1654A-307]]

            have been effective forms of maintenance treatment and
            detoxification treatment in clinical settings; may make a
            determination of whether such waivers have significantly
            increased (relative to the beginning of such period) the
            availability of maintenance treatment and detoxification
            treatment; and may make a determination of whether such waivers
            have adverse consequences for the public health.
                ``(II) The Attorney General may make a determination of the
            extent to which there have been violations of the numerical
            limitations established under subparagraph (B) for the number of
            individuals to whom a practitioner may provide treatment; may
            make a determination of whether waivers under subparagraph (A)
            have increased (relative to the beginning of such period) the
            extent to which narcotic drugs in schedule III, IV, or V or
            combinations of such drugs are being dispensed or possessed in
            violation of this Act; and may make a determination of whether
            such waivers have adverse consequences for the public health.

        ``(iii) If, before the expiration of the period specified in clause
    (ii), the Secretary or the Attorney General publishes in the Federal
    Register a decision, made on the basis of determinations under such
    clause, that this paragraph should not remain in effect, this paragraph
    ceases to be in effect 60 days after the date on which the decision is
    so published. The Secretary shall in making any such decision consult
    with the Attorney General, and shall in publishing the decision in the
    Federal Register include any comments received from the Attorney General
    for inclusion in the publication. The Attorney General shall in making
    any such decision consult with the Secretary, and shall in publishing
    the decision in the Federal Register include any comments received from
    the Secretary for inclusion in the publication.''.
        (b) Conforming Amendments.--Section 304 of the Controlled Substances
    Act (21 U.S.C. 824) is amended--
                (1) in subsection (a), in the matter after and below
            paragraph (5), by striking ``section 303(g)'' each place such
            term appears and inserting ``section 303(g)(1)''; and
                (2) in subsection (d), by striking ``section 303(g)'' and
            inserting ``section 303(g)(1)''.

        (c) Additional Authorization of Appropriations.--For the purpose of
    assisting the Secretary of Health and Human Services with the additional
    duties established for the Secretary pursuant to the amendments made by
    this section, there are authorized to be appropriated, in addition to
    other authorizations of appropriations that are available for such
    purpose, such sums as may be necessary for each of fiscal years 2001
    through 2003.

        (d) Coordination of Provisions.--(1) If the Drug Addiction Treatment
    Act of 2000 is enacted before this Act, the provisions of this section
    shall not take effect.
        (2) If the Drug Addiction Treatment Act of 2000 is enacted after
    this Act, the amendments made by this section shall be deemed for all
    purposes to have been made by section 3502 of that Act and this section
    shall cease to be in effect as of that enactment.

    [[Page 114 STAT. 1654A-308]]

               TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

               Subtitle A--Civilian Personnel Management Generally

    Sec.1101.Employment and compensation of employees for temporary
               organizations established by law or Executive order.
    Sec.1102.Assistive technology accommodations program.
    Sec.1103.Extension of authority for voluntary separations in reductions
               in force.
    Sec.1104.Electronic maintenance of performance appraisal systems.
    Sec.1105.Study on civilian personnel services.

                  Subtitle B--Demonstration and Pilot Programs

    Sec.1111.Pilot program for reengineering the equal employment
               opportunity complaint process.
    Sec.1112.Work safety demonstration program.
    Sec.1113.Extension, expansion, and revision of authority for
               experimental personnel program for scientific and technical
               personnel.
    Sec.1114.Clarification of personnel management authority under personnel
               demonstration project.

                       Subtitle C--Educational Assistance

    Sec.1121.Restructuring the restriction on degree training.
    Sec.1122.Student loan repayment programs.
    Sec.1123.Extension of authority for tuition reimbursement and training
               for civilian employees in the defense acquisition workforce.

                           Subtitle D--Other Benefits

    Sec.1131.Additional special pay for foreign language proficiency
               beneficial for United States national security interests.
    Sec.1132.Approval authority for cash awards in excess of $10,000.
    Sec.1133.Leave for crews of certain vessels.
    Sec.1134.Life insurance for emergency essential Department of Defense
               employees.

                   Subtitle E--Intelligence Civilian Personnel

    Sec.1141.Expansion of defense civilian intelligence personnel system
               positions.
    Sec.1142.Increase in number of positions authorized for the Defense
               Intelligence Senior Executive Service.

      Subtitle F--Voluntary Separation Incentive Pay and Early Retirement
                                    Authority

    Sec.1151.Extension, revision, and expansion of authorities for use of
               voluntary separation incentive pay and voluntary early
               retirement.
    Sec.1152.Department of Defense employee voluntary early retirement
               authority.
    Sec.1153.Limitations.

               Subtitle A--Civilian Personnel Management Generally

    SEC. 1101. EMPLOYMENT AND COMPENSATION OF EMPLOYEES FOR TEMPORARY
                ORGANIZATIONS ESTABLISHED BY LAW OR EXECUTIVE ORDER.

        (a) In General.--Chapter 31 of title 5, United States Code, is
    amended by adding at the end the following new subchapter:

    ``SUBCHAPTER IV--TEMPORARY ORGANIZATIONS ESTABLISHED BY LAW OR EXECUTIVE
                                      ORDER

    ``Sec. 3161. Employment and compensation of employees

        ``(a) Definition of Temporary Organization.--For the purposes of
    this subchapter, the term `temporary organization' means a commission,
    committee, board, or other organization that--

    [[Page 114 STAT. 1654A-309]]

                ``(1) is established by law or Executive order for a
            specific period not in excess of three years for the purpose of
            performing a specific study or other project; and
                ``(2) is terminated upon the completion of the study or
            project or upon the occurrence of a condition related to the
            completion of the study or project.

        ``(b) Employment Authority.--(1) Notwithstanding the provisions of
    chapter 51 of this title, the head of a temporary organization may
    appoint persons to positions of employment in a temporary organization
    in such numbers and with such skills as are necessary for the
    performance of the functions required of a temporary organization.
        ``(2) The period of an appointment under paragraph (1) may not
    exceed three years, except that under regulations prescribed by the
    Office of Personnel Management the period of appointment may be extended
    for up to an additional two years.
        ``(3) The positions of employment in a temporary organization are in
    the excepted service of the civil service.
        ``(c) Detail Authority.--Upon the request of the head of a temporary
    organization, the head of any department or agency of the Government may
    detail, on a nonreimbursable basis, any personnel of the department or
    agency to that organization to assist in carrying out its duties.
        ``(d) Compensation.--(1) The rate of basic pay for an employee
    appointed under subsection (b) shall be established under regulations
    prescribed by the Office of Personnel Management without regard to the
    provisions of chapter 51 and subchapter III of chapter 53 of this title.
        ``(2) The rate of basic pay for the chairman, a member, an executive
    director, a staff director, or another executive level position of a
    temporary organization may not exceed the maximum rate of basic pay
    established for the Senior Executive Service under section 5382 of this
    title.
        ``(3) Except as provided in paragraph (4), the rate of basic pay for
    other positions in a temporary organization may not exceed the maximum
    rate of basic pay for grade GS-15 of the General Schedule under section
    5332 of this title.
        ``(4) The rate of basic pay for a senior staff position of a
    temporary organization may, in a case determined by the head of the
    temporary organization as exceptional, exceed the maximum rate of basic
    pay authorized under paragraph (3), but may not exceed the maximum rate
    of basic pay authorized for an executive level position under paragraph
    (2).
        ``(5) In this subsection, the term `basic pay' includes locality pay
    provided for under section 5304 of this title.
        ``(e) Travel Expenses.--An employee of a temporary organization,
    whether employed on a full-time or part-time basis, may be allowed
    travel and transportation expenses, including per diem in lieu of
    subsistence, at rates authorized for employees of agencies under
    subchapter I of chapter 57 of this title, while traveling away from the
    employee's regular place of business in the performance of services for
    the temporary organization.
        ``(f ) Benefits.--An employee appointed under subsection (b) shall
    be afforded the same benefits and entitlements as are provided temporary
    employees under this title.
        ``(g) Return Rights.--An employee serving under a career or career
    conditional appointment or the equivalent in an agency

    [[Page 114 STAT. 1654A-310]]

    who transfers to or converts to an appointment in a temporary
    organization with the consent of the head of the agency is entitled to
    be returned to the employee's former position or a position of like
    seniority, status, and pay without grade or pay retention in the agency
    if the employee--
                ``(1) is being separated from the temporary organization for
            reasons other than misconduct, neglect of duty, or malfeasance;
            and
                ``(2) applies for return not later than 30 days before the
            earlier of--
                        ``(A) the date of the termination of the employment
                    in the temporary organization; or
                        ``(B) the date of the termination of the temporary
                    organization.

        ``(h) Temporary and Intermittent Services.--The head of a temporary
    organization may procure for the organization temporary and intermittent
    services under section 3109(b) of this title.
        ``(i) Acceptance of Volunteer Services.--(1) The head of a temporary
    organization may accept volunteer services appropriate to the duties of
    the organization without regard to section 1342 of title 31.
        ``(2) Donors of voluntary services accepted for a temporary
    organization under this subsection may include the following:
                ``(A) Advisors.
                ``(B) Experts.
                ``(C) Members of the commission, committee, board, or other
            temporary organization, as the case may be.
                ``(D) A person performing services in any other capacity
            determined appropriate by the head of the temporary
            organization.

        ``(3) The head of the temporary organization--
                ``(A) shall ensure that each person performing voluntary
            services accepted under this subsection is notified of the scope
            of the voluntary services accepted;
                ``(B) shall supervise the volunteer to the same extent as
            employees receiving compensation for similar services; and
                ``(C) shall ensure that the volunteer has appropriate
            credentials or is otherwise qualified to perform in each
            capacity for which the volunteer's services are accepted.

        ``(4) A person providing volunteer services accepted under this
    subsection shall be considered an employee of the Federal Government in
    the performance of those services for the purposes of the following
    provisions of law:
                ``(A) Chapter 81 of this title, relating to compensation for
            work-related injuries.
                ``(B) Chapter 171 of title 28, relating to tort claims.
                ``(C) Chapter 11 of title 18, relating to conflicts of
            interest.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following:

    ``SUBCHAPTER IV--TEMPORARY ORGANIZATIONS ESTABLISHED BY LAW OR EXECUTIVE
                                      ORDER

    ``Sec.
    ``3161. Employment and compensation of employees.''.

    [[Page 114 STAT. 1654A-311]]

    SEC. 1102. ASSISTIVE TECHNOLOGY ACCOMMODATIONS PROGRAM.

        (a) Authority To Provide Technology, Devices, and Services.--Chapter
    81 of title 10, United States Code, is amended by inserting after
    section 1581 the following new section:

    ``Sec. 1582. Assistive technology, assistive technology devices, and
                            assistive technology services

        ``(a) Authority.--The Secretary of Defense may provide assistive
    technology, assistive technology devices, and assistive technology
    services to the following:
                ``(1) Department of Defense employees with disabilities.
                ``(2) Organizations within the Department that have
            requirements to make programs or facilities accessible to, and
            usable by, persons with disabilities.
                ``(3) Any other department or agency of the Federal
            Government, upon the request of the head of that department or
            agency, for its employees with disabilities or for satisfying a
            requirement to make its programs or facilities accessible to,
            and usable by, persons with disabilities.

        ``(b) Definitions.--In this section, the terms `assistive
    technology', `assistive technology device', `assistive technology
    service', and `disability' have the meanings given those terms in
    section 3 of the Assistive Technology Act of 1998 (29 U.S.C. 3002).''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    1581 the following new item:

    ``1582. Assistive technology, assistive technology devices, and
               assistive technology services.''.

    SEC. 1103. EXTENSION OF AUTHORITY FOR VOLUNTARY SEPARATIONS IN
                REDUCTIONS IN FORCE.

        Section 3502(f )(5) of title 5, United States Code, is amended by
    striking ``September 30, 2001'' and inserting ``September 30, 2005''.

    SEC. 1104. ELECTRONIC MAINTENANCE OF PERFORMANCE APPRAISAL SYSTEMS.

        Section 4302 of title 5, United States Code, is amended by adding at
    the end the following new subsection:
        ``(c) In accordance with regulations which the Office shall
    prescribe, the head of an agency may administer and maintain a
    performance appraisal system electronically.''.

    SEC. 1105. STUDY ON CIVILIAN PERSONNEL SERVICES.

        (a) Study Required.--The Secretary of Defense shall assess the
    manner in which personnel services are provided for civilian personnel
    in the Department of Defense and determine whether--
                (1) administration of such services should continue to be
            centralized in individual military services and Defense Agencies
            or whether such services should be centralized within designated
            geographical areas to provide services to all Department of
            Defense elements;
                (2) offices that perform such services should be established
            to perform specific functions rather than cover an established
            geographical area;
                (3) processes and functions of civilian personnel offices
            should be reengineered to provide greater efficiency and better

    [[Page 114 STAT. 1654A-312]]

            service to management and employees of the Department of
            Defense; and
                (4) efficiencies could be gained by public-private
            competition of the delivery of any of the personnel services for
            civilian personnel of the Department of Defense.

        (b) Report.--Not later than January 1, 2002, the Secretary of
    Defense shall submit a report on the study, including recommendations,
    to the Committees on Armed Services of the Senate and the House of
    Representatives. The report shall include the Secretary's assessment of
    the items described in subsection (a), and, if appropriate, a proposal
    for a demonstration program to test the concepts developed under the
    study. The Secretary may also include any recommendations for
    legislation or other actions that the Secretary considers appropriate to
    increase the effectiveness and efficiency of the delivery of personnel
    services with respect to civilian personnel of the Department of
    Defense.

                  Subtitle B--Demonstration and Pilot Programs

    SEC. 1111. PILOT PROGRAM FOR REENGINEERING THE EQUAL EMPLOYMENT
                OPPORTUNITY COMPLAINT PROCESS.

        (a) Pilot Program.--(1) The Secretary of Defense shall carry out a
    pilot program to improve processes for the resolution of equal
    employment opportunity complaints by civilian employees of the
    Department of Defense. Complaints processed under the pilot program
    shall be subject to the procedural requirements established for the
    pilot program and shall not be subject to the procedural requirements of
    part 1614 of title 29 of the Code of Federal Regulations or other
    regulations, directives, or regulatory restrictions prescribed by the
    Equal Employment Opportunity Commission.
        (2) The pilot program shall include procedures to reduce processing
    time and eliminate redundancy with respect to processes for the
    resolution of equal employment opportunity complaints, reinforce local
    management and chain-of-command accountability, and provide the parties
    involved with early opportunity for resolution.
        (3) The Secretary may carry out the pilot program for a period of
    three years, beginning on January 1, 2001.
        (4)(A) Participation in the pilot program shall be voluntary on the
    part of the complainant. Complainants who participate in the pilot
    program shall retain the right to appeal a final agency decision to the
    Equal Employment Opportunity Commission and to file suit in district
    court. The Equal Employment Opportunity Commission shall not reverse a
    final agency decision on the grounds that the agency did not comply with
    the regulatory requirements promulgated by the Commission.
        (B) Subparagraph (A) shall apply to all cases--
                (i) pending as of January 1, 2001, before the Equal
            Employment Opportunity Commission involving a civilian employee
            who filed a complaint under the pilot program of the Department
            of the Navy to improve processes for the resolution of equal
            employment opportunity complaints; and
                (ii) hereinafter filed with the Commission under the pilot
            program established by this section.

    [[Page 114 STAT. 1654A-313]]

        (5) The pilot program shall be carried out in at least one military
    department and two Defense Agencies.
        (b) Report.--Not later than 90 days following the end of the first
    and last full or partial fiscal years during which the pilot program is
    implemented, the Comptroller General shall submit to Congress a report
    on the pilot program. Such report shall contain the following:
                (1) A description of the processes tested by the pilot
            program.
                (2) The results of such testing.
                (3) Recommendations for changes to the processes for the
            resolution of equal employment opportunity complaints as a
            result of such pilot program.
                (4) A comparison of the processes used, and results
            obtained, under the pilot program to traditional and alternative
            dispute resolution processes used in the government or private
            industry.

    SEC. 1112. WORK SAFETY DEMONSTRATION PROGRAM.

        (a) Establishment.--The Secretary of Defense shall carry out a
    defense employees work safety demonstration program.
        (b) Private Sector Work Safety Models.--Under the demonstration
    program, the Secretary shall--
                (1) adopt for use in the workplace of civilian employees of
            the Department of Defense such work safety models used by
            employers in the private sector that the Secretary considers as
            being representative of the best work safety practices in use by
            private sector employers; and
                (2) determine whether the use of those practices in the
            Department of Defense improves the work safety record of
            Department of Defense employees.

        (c) Sites.--(1) The Secretary shall carry out the demonstration
    program--
                (A) at not fewer than two installations of each of the Armed
            Forces (other than the Coast Guard), for employees of the
            military department concerned; and
                (B) in at least two Defense Agencies (as defined in section
            101(a)(11) of title 10, United States Code).

        (2) The Secretary shall select the installations and Defense
    Agencies from among the installations and Defense Agencies listed in the
    Federal Worker 2000 Presidential Initiative.
        (d) Period for Program.--The demonstration program shall begin not
    later than 180 days after the date of the enactment of this Act and
    shall terminate on September 30, 2002.
        (e) Reports.--(1) The Secretary of Defense shall submit an interim
    report on the demonstration program to the Committees on Armed Services
    of the Senate and the House of Representatives not later than December
    1, 2001. The interim report shall contain, at a minimum, for each site
    of the demonstration program the following:
                (A) A baseline assessment of the lost workday injury rate.
                (B) A comparison of the lost workday injury rate for fiscal
            year 2000 with the lost workday injury rate for fiscal year
            1999.
                (C) The direct and indirect costs associated with all lost
            workday injuries.

    [[Page 114 STAT. 1654A-314]]

        (2) The Secretary of Defense shall submit a final report on the
    demonstration program to the Committees on Armed Services of the Senate
    and the House of Representatives not later than December 1, 2002. The
    final report shall contain, at a minimum, for each site of the
    demonstration program the following:
                (A) The Secretary's determination on the issue described in
            subsection (b)(2).
                (B) A comparison of the lost workday injury rate under the
            program with the baseline assessment of the lost workday injury
            rate.
                (C) The lost workday injury rate for fiscal year 2002.
                (D) A comparison of the direct and indirect costs associated
            with all lost workday injuries for fiscal year 2002 with the
            direct and indirect costs associated with all lost workday
            injuries for fiscal year 2001.

        (f ) Funding.--Of the amount authorized to be appropriated under
    section 301(5), $5,000,000 shall be available for the demonstration
    program under this section.

    SEC. 1113. EXTENSION, EXPANSION, AND REVISION OF AUTHORITY FOR
                EXPERIMENTAL PERSONNEL PROGRAM FOR SCIENTIFIC AND TECHNICAL
                PERSONNEL.

        (a) Extension of Program.--Section 1101 of the Strom Thurmond
    National Defense Authorization Act for Fiscal Year 1999 (Public Law 105-
    261; 112 Stat. 2139; 5 U.S.C. 3104 note) is amended--
                (1) in subsection (a), by striking ``the 5-year period
            beginning on the date of the enactment of this Act'' and
            inserting ``the program period specified in subsection (e)(1)'';
                (2) in subsection (e), by striking paragraph (1) and
            inserting the following:

        ``(1) The period for carrying out the program authorized under this
    section begins on October 17, 1998, and ends on October 16, 2005.''; and
                (3) in subsection (f ), by striking ``on the day before the
            termination of the program'' and inserting ``on the last day of
            the program period specified in subsection (e)(1)''.

        (b) Expansion of Scope.--Subsection (a) of such section, as amended
    by subsection (a)(1) of this section, is further amended by inserting
    before the period at the end the following: ``and research and
    development projects administered by laboratories designated for the
    program by the Secretary from among the laboratories of each of the
    military departments''.
        (c) Limitation on Number of Appointments.--Subsection (b)(1) of such
    section is amended to read as follows:
                ``(1) without regard to any provision of title 5, United
            States Code, governing the appointment of employees in the civil
            service, appoint scientists and engineers from outside the civil
            service and uniformed services (as such terms are defined in
            section 2101 of such title) to--
                        ``(A) not more than 40 scientific and engineering
                    positions in the Defense Advanced Research Projects
                    Agency;
                        ``(B) not more than 40 scientific and engineering
                    positions in the designated laboratories of each of the
                    military services; and

    [[Page 114 STAT. 1654A-315]]

                        ``(C) not more than a total of 10 scientific and
                    engineering positions in the National Imagery and
                    Mapping Agency and the National Security Agency;''.

        (d) Rates of Pay for Appointees.--Subsection (b)(2) of such section
    is amended by inserting after ``United States Code,'' the following:
    ``as increased by locality-based comparability payments under section
    5304 of such title,''.
        (e) Commensurate Extension of Requirement for Annual Report.--
    Subsection (g) of such section is amended by striking ``2004'' and
    inserting ``2006''.
        (f ) Amendment of Section Heading.--The heading for such section is
    amended to read as follows:

    ``SEC. 1101. EXPERIMENTAL PERSONNEL PROGRAM FOR SCIENTIFIC AND TECHNICAL
                PERSONNEL.''.

    SEC. 1114. CLARIFICATION OF PERSONNEL MANAGEMENT AUTHORITY UNDER
                PERSONNEL DEMONSTRATION PROJECT.

        (a) Elimination of Requirement for OPM Review and Approval.--Section
    342 of the National Defense Authorization Act for Fiscal Year 1995
    (Public Law 103-337; 108 Stat. 2721) is amended--
                (1) in subsection (b)(1), by striking ``, with the approval
            of the Director of the Office of Personnel Management,''; and
                (2) in subsection (b)(3)--
                        (A) by striking ``and'' at the end of subparagraph
                    (A);
                        (B) by striking ``section 4703.'' and inserting
                    ``section 4703; and'' at the end of subparagraph (B);
                    and
                        (C) by inserting at the end the following new
                    subparagraph (C):
                        ``(C) the Secretary shall exercise the authorities
                    granted to the Office of Personnel Management under such
                    section 4703.''.

        (b) Increase in Level of Authorized Pay.--Section 342(b) of such Act
    is further amended by adding at the end the following new paragraph:
        ``(5) The limitations in section 5373 of title 5, United States
    Code, do not apply to the authority of the Secretary under this section
    to prescribe salary schedules and other related benefits.''.

                       Subtitle C--Educational Assistance

    SEC. 1121. RESTRUCTURING THE RESTRICTION ON DEGREE TRAINING.

        Section 4107 of title 5, United States Code, is amended--
                (1) in subsection (a), by striking ``subsection (b)'' and
            inserting ``subsections (b) and (c)'';
                (2) in subsection (b)(1), by striking ``subsection (a)'' and
            inserting ``subsection (a) or (c)''; and
                (3) by adding at the end the following new subsection:

        ``(c) With respect to an employee of the Department of Defense--
                ``(1) this chapter does not authorize, except as provided in
            subsection (b) of this section, the selection and assignment of
            the employee for training, or the payment or reimbursement of
            the costs of training, for--
                        ``(A) the purpose of providing an opportunity to the
                    employee to obtain an academic degree in order to
                    qualify

    [[Page 114 STAT. 1654A-316]]

                    for appointment to a particular position for which the
                    academic degree is a basic requirement; or
                        ``(B) the sole purpose of providing an opportunity
                    to the employee to obtain one or more academic degrees,
                    unless such opportunity is part of a planned,
                    systematic, and coordinated program of professional
                    development endorsed by the Department of Defense; and
                ``(2) any course of post-secondary education delivered
            through classroom, electronic, or other means shall be
            administered or conducted by an institution recognized under
            standards implemented by a national or regional accrediting
            body, except in a case in which such standards do not exist or
            the use of such standards would not be appropriate.''.

    SEC. 1122. STUDENT LOAN REPAYMENT PROGRAMS.

        (a) Covered Student Loans.--Section 5379(a)(1)(B) of title 5, United
    States Code, is amended--
                (1) in clause (i), by inserting ``(20 U.S.C. 1071 et seq.)''
            before the semicolon;
                (2) in clause (ii), by striking ``part E of title IV of the
            Higher Education Act of 1965'' and inserting ``part D or E of
            title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et
            seq., 1087aa et seq.)''; and
                (3) in clause (iii), by striking ``part C of title VII of
            Public Health Service Act or under part B of title VIII of such
            Act'' and inserting ``part A of title VII of the Public Health
            Service Act (42 U.S.C. 292 et seq.) or under part E of title
            VIII of such Act (42 U.S.C. 297a et seq.)''.

        (b) Personnel Covered.--(1) Section 5379(a)(2) of title 5, United
    States Code, is amended to read as follows:
        ``(2) An employee shall be ineligible for benefits under this
    section if the employee occupies a position that is excepted from the
    competitive service because of its confidential, policy-determining,
    policy-making, or policy-advocating character.''.
        (2) Section 5379(b)(1) of title 5, United States Code, is amended by
    striking ``professional, technical, or administrative''.
        (c) Regulations.--(1) Not later than 60 days after the date of the
    enactment of this Act, the Director of the Office of Personnel
    Management shall issue proposed regulations under section 5379(g) of
    title 5, United States Code. The Director shall provide for a period of
    not less than 60 days for public comment on the regulations.
        (2) Not later than 240 days after the date of the enactment of this
    Act, the Director shall issue final regulations.
        (d) Annual Reports.--Section 5379 of title 5, United States Code, is
    amended by adding at the end the following:
        ``(h)(1) Each head of an agency shall maintain, and annually submit
    to the Director of the Office of Personnel Management, information with
    respect to the agency on--
                ``(A) the number of Federal employees selected to receive
            benefits under this section;
                ``(B) the job classifications for the recipients; and
                ``(C) the cost to the Federal Government of providing the
            benefits.

        ``(2) The Director of the Office of Personnel Management shall
    prepare, and annually submit to Congress, a report containing the
    information submitted under paragraph (1), and information

    [[Page 114 STAT. 1654A-317]]

    identifying the agencies that have provided benefits under this
    section.''.

    SEC. 1123. EXTENSION OF AUTHORITY FOR TUITION REIMBURSEMENT AND TRAINING
                FOR CIVILIAN EMPLOYEES IN THE DEFENSE ACQUISITION WORKFORCE.

        Section 1745(a)(2) of title 10, United States Code, is amended by
    striking ``September 30, 2001'' and inserting ``September 30, 2010''.

                           Subtitle D--Other Benefits

    SEC. 1131. ADDITIONAL SPECIAL PAY FOR FOREIGN LANGUAGE PROFICIENCY
                BENEFICIAL FOR UNITED STATES NATIONAL SECURITY INTERESTS.

        (a) In General.--Chapter 81 of title 10, United States Code, is
    amended by inserting after section 1596 the following new section:

    ``Sec. 1596a. Foreign language proficiency: special pay for proficiency
                            beneficial for other national security interests

        ``(a) Authority.--The Secretary of Defense may pay special pay under
    this section to an employee of the Department of Defense who--
                ``(1) has been certified by the Secretary to be proficient
            in a foreign language identified by the Secretary as being a
            language in which proficiency by civilian personnel of the
            Department is necessary because of national security interests;
                ``(2) is assigned duties requiring proficiency in that
            foreign language during a contingency operation supported by the
            armed forces; and
                ``(3) is not receiving special pay under section 1596 of
            this title.

        ``(b) Rate.--The rate of special pay for an employee under this
    section shall be prescribed by the Secretary, but may not exceed five
    percent of the employee's rate of basic pay.
        ``(c) Relationship to Other Pay and Allowances.--Special pay under
    this section is in addition to any other pay or allowances to which the
    employee is entitled.
        ``(d) Regulations.--The Secretary of Defense shall prescribe
    regulations to carry out this section.''.
        (b) Amendment To Distinguish Other Foreign Language Proficiency
    Special Pay.--The heading for section 1596 of title 10, United States
    Code, is amended to read as follows:

    ``Sec. 1596. Foreign language proficiency: special pay for proficiency
                            beneficial for intelligence interests''.

        (c) Clerical Amendment.--The table of sections at the beginning of
    chapter 81 of such title is amended by striking the item relating to
    section 1596 and inserting the following new items:

    ``1596. Foreign language proficiency: special pay for proficiency
               beneficial for intelligence interests.
    ``1596a. Foreign language proficiency: special pay for proficiency
               beneficial for other national security interests.''.

    [[Page 114 STAT. 1654A-318]]

    SEC. 1132. APPROVAL AUTHORITY FOR CASH AWARDS IN EXCESS OF $10,000.

        Section 4502 of title 5, United States Code, is amended by adding at
    the end the following:
        ``(f ) The Secretary of Defense may grant a cash award under
    subsection (b) of this section without regard to the requirements for
    certification and approval provided in that subsection.''.

    SEC. 1133. LEAVE FOR CREWS OF CERTAIN VESSELS.

        Section 6305(c)(2) of title 5, United States Code, is amended to
    read as follows:
                ``(2) may not be made the basis for a lump-sum payment,
            except that civil service mariners of the Military Sealift
            Command on temporary promotion aboard ship may be paid the
            difference between their temporary and permanent rates of pay
            for leave accrued under this section and section 6303 and not
            otherwise used during the temporary promotion upon the
            expiration or termination of the temporary promotion; and''.

    SEC. 1134. LIFE INSURANCE FOR EMERGENCY ESSENTIAL DEPARTMENT OF DEFENSE
                EMPLOYEES.

        (a) In General.--Section 8702 of title 5, United States Code, is
    amended by adding at the end the following new subsection:
        ``(c) Notwithstanding a notice previously given under subsection
    (b), an employee of the Department of Defense who is designated as an
    emergency essential employee under section 1580 of title 10 shall be
    insured if the employee, within 60 days after the date of the
    designation, elects to be insured under a policy of insurance under this
    chapter. An election under the preceding sentence shall be effective
    when provided to the Office in writing, in the form prescribed by the
    Office, within such 60-day period.''.
        (b) Applicability.--For purposes of section 8702(c) of title 5,
    United States Code (as added by subsection (a)), an employee of the
    Department of Defense who is designated as an emergency essential
    employee under section 1580 of title 10, United States Code, before the
    date of the enactment of this Act shall be deemed to be so designated on
    the date of the enactment of this Act.

                   Subtitle E--Intelligence Civilian Personnel

    SEC. 1141. EXPANSION OF DEFENSE CIVILIAN INTELLIGENCE PERSONNEL SYSTEM
                POSITIONS.

        (a) Authority for Senior DOD Intelligence Positions Throughout
    Department of Defense.--Section 1601(a)(1) of title 10, United States
    Code, is amended--
                (1) by striking ``in the intelligence components of the
            Department of Defense and the military departments'' and
            inserting ``in the Department of Defense''; and
                (2) by striking ``of those components and departments'' and
            inserting ``of the Department''.

        (b) Conforming Amendment for Persons Eligible for Postemployment
    Assistance.--Section 1611 of such title is amended--
                (1) in subsection (a)(1), by striking ``an intelligence
            component of the Department of Defense'' and inserting ``a
            defense intelligence position'';
                (2) in subsection (b)--

    [[Page 114 STAT. 1654A-319]]

                        (A) by striking ``sensitive position in an
                    intelligence component of the Department of Defense'' in
                    the matter preceding paragraph (1) and inserting
                    ``sensitive defense intelligence position''; and
                        (B) by striking ``with the intelligence component''
                    in paragraphs (1) and (2) and inserting ``in a defense
                    intelligence position'';
                (3) in subsection (d), by striking ``an intelligence
            component of the Department of Defense'' and inserting ``in a
            defense intelligence position''; and
                (4) by striking subsection (f ).

        (c) Conforming Amendment for Definition of Defense Intelligence
    Position.--Section 1614(1) of such title is amended by striking ``of an
    intelligence component of the Department of Defense or of a military
    department'' and inserting ``of the Department of Defense''.

    SEC. 1142. INCREASE IN NUMBER OF POSITIONS AUTHORIZED FOR THE DEFENSE
                INTELLIGENCE SENIOR EXECUTIVE SERVICE.

        Section 1606(a) of title 10, United States Code, is amended by
    striking ``492'' and inserting ``517''.

      Subtitle F--Voluntary Separation Incentive Pay and Early Retirement
                                    Authority

    SEC. 1151. EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES FOR USE OF
                VOLUNTARY SEPARATION INCENTIVE PAY AND VOLUNTARY EARLY
                RETIREMENT.

        (a) Revision and Addition of Purposes for Department of Defense
    VSIP.--Subsection (b) of section 5597 of title 5, United States Code, is
    amended by inserting after ``transfer of function,'' the following:
    ``workforce restructuring (to meet mission needs, achieve one or more
    strength reductions, correct skill imbalances, or reduce the number of
    high-grade, managerial, or supervisory positions),''.
        (b) Eligibility.--Subsection (c) of such section is amended--
                (1) in paragraph (2), by inserting ``objective and
            nonpersonal'' after ``similar''; and
                (2) by adding at the end the following:

    ``A determination of which employees are within the scope of an offer of
    separation pay shall be made only on the basis of consistent and well-
    documented application of the relevant criteria.''.
        (c) Installment Payments.--Subsection (d) of such section is
    amended--
                (1) by striking paragraph (1) and inserting the following:
                ``(1) shall be paid in a lump-sum or in installments;'';
                (2) by striking ``and'' at the end of paragraph (3);
                (3) by striking the period at the end of paragraph (4) and
            inserting ``; and''; and
                (4) by adding at the end the following:
                ``(5) if paid in installments, shall cease to be paid upon
            the recipient's acceptance of employment by the Federal
            Government, or commencement of work under a personal services
            contract, as described in subsection (g)(1).''.

    [[Page 114 STAT. 1654A-320]]

        (d) Applicability of Repayment Requirement to Reemployment Under
    Personal Services Contracts.--Subsection (g)(1) of such section is
    amended by inserting after ``employment with the Government of the
    United States'' the following: ``, or who commences work for an agency
    of the United States through a personal services contract with the
    United States,''.

    SEC. 1152. DEPARTMENT OF DEFENSE EMPLOYEE VOLUNTARY EARLY RETIREMENT
                AUTHORITY.

        (a) Civil Service Retirement System.--Section 8336 of title 5,
    United States Code, is amended--
                (1) in subsection (d)(2), by inserting ``except in the case
            of an employee who is separated from the service under a program
            carried out under subsection (o),'' after ``(2)''; and
                (2) by adding at the end the following:

        ``(o)(1) The Secretary of Defense may, during fiscal years 2002 and
    2003, carry out a program under which an employee of the Department of
    Defense may be separated from the service entitled to an immediate
    annuity under this subchapter if the employee--
                ``(A) has--
                        ``(i) completed 25 years of service; or
                        ``(ii) become 50 years of age and completed 20 years
                    of service; and
                ``(B) is eligible for the annuity under paragraph (2) or
            (3).

        ``(2)(A) For the purposes of paragraph (1), an employee referred to
    in that paragraph is eligible for an immediate annuity under this
    paragraph if the employee--
                ``(i) is separated from the service involuntarily other than
            for cause; and
                ``(ii) has not declined a reasonable offer of another
            position in the Department of Defense for which the employee is
            qualified, which is not lower than 2 grades (or pay levels)
            below the employee's grade (or pay level), and which is within
            the employee's commuting area.

        ``(B) For the purposes of paragraph (2)(A)(i), a separation for
    failure to accept a directed reassignment to a position outside the
    commuting area of the employee concerned or to accompany a position
    outside of such area pursuant to a transfer of function may not be
    considered to be a removal for cause.
        ``(3) For the purposes of paragraph (1), an employee referred to in
    that paragraph is eligible for an immediate annuity under this paragraph
    if the employee satisfies all of the following conditions:
                ``(A) The employee is separated from the service voluntarily
            during a period in which the organization within the Department
            of Defense in which the employee is serving is undergoing a
            major organizational adjustment.
                ``(B) The employee has been employed continuously by the
            Department of Defense for more than 30 days before the date on
            which the head of the employee's organization requests the
            determinations required under subparagraph (A).
                ``(C) The employee is serving under an appointment that is
            not limited by time.
                ``(D) The employee is not in receipt of a decision notice of
            involuntary separation for misconduct or unacceptable
            performance.

    [[Page 114 STAT. 1654A-321]]

                ``(E) The employee is within the scope of an offer of
            voluntary early retirement, as defined on the basis of one or
            more of the following objective criteria:
                        ``(i) One or more organizational units.
                        ``(ii) One or more occupational groups, series, or
                    levels.
                        ``(iii) One or more geographical locations.
                        ``(iv) Any other similar objective and nonpersonal
                    criteria that the Office of Personnel Management
                    determines appropriate.

        ``(4) Under regulations prescribed by the Office of Personnel
    Management, the determinations of whether an employee meets--
                ``(A) the requirements of subparagraph (A) of paragraph (3)
            shall be made by the Office, upon the request of the Secretary
            of Defense; and
                ``(B) the requirements of subparagraph (E) of such paragraph
            shall be made by the Secretary of Defense.

        ``(5) A determination of which employees are within the scope of an
    offer of early retirement shall be made only on the basis of consistent
    and well-documented application of the relevant criteria.
        ``(6) In this subsection, the term `major organizational adjustment'
    means any of the following:
                ``(A) A major reorganization.
                ``(B) A major reduction in force.
                ``(C) A major transfer of function.
                ``(D) A workforce restructuring--
                        ``(i) to meet mission needs;
                        ``(ii) to achieve one or more reductions in
                    strength;
                        ``(iii) to correct skill imbalances; or
                        ``(iv) to reduce the number of high-grade,
                    managerial, supervisory, or similar positions.''.

        (b) Federal Employees' Retirement System.--Section 8414 of such
    title is amended--
                (1) in subsection (b)(1)(B), by inserting ``except in the
            case of an employee who is separated from the service under a
            program carried out under subsection (d),'' after ``(B)''; and
                (2) by adding at the end the following:

        ``(d)(1) The Secretary of Defense may, during fiscal years 2002 and
    2003, carry out a program under which an employee of the Department of
    Defense may be separated from the service entitled to an immediate
    annuity under this subchapter if the employee--
                ``(A) has--
                        ``(i) completed 25 years of service; or
                        ``(ii) become 50 years of age and completed 20 years
                    of service; and
                ``(B) is eligible for the annuity under paragraph (2) or
            (3).

        ``(2)(A) For the purposes of paragraph (1), an employee referred to
    in that paragraph is eligible for an immediate annuity under this
    paragraph if the employee--
                ``(i) is separated from the service involuntarily other than
            for cause; and
                ``(ii) has not declined a reasonable offer of another
            position in the Department of Defense for which the employee is
            qualified, which is not lower than 2 grades (or pay levels)
            below the employee's grade (or pay level), and which is within
            the employee's commuting area.

    [[Page 114 STAT. 1654A-322]]

        ``(B) For the purposes of paragraph (2)(A)(i), a separation for
    failure to accept a directed reassignment to a position outside the
    commuting area of the employee concerned or to accompany a position
    outside of such area pursuant to a transfer of function may not be
    considered to be a removal for cause.
        ``(3) For the purposes of paragraph (1), an employee referred to in
    that paragraph is eligible for an immediate annuity under this paragraph
    if the employee satisfies all of the following conditions:
                ``(A) The employee is separated from the service voluntarily
            during a period in which the organization within the Department
            of Defense in which the employee is serving is undergoing a
            major organizational adjustment.
                ``(B) The employee has been employed continuously by the
            Department of Defense for more than 30 days before the date on
            which the head of the employee's organization requests the
            determinations required under subparagraph (A).
                ``(C) The employee is serving under an appointment that is
            not limited by time.
                ``(D) The employee is not in receipt of a decision notice of
            involuntary separation for misconduct or unacceptable
            performance.
                ``(E) The employee is within the scope of an offer of
            voluntary early retirement, as defined on the basis of one or
            more of the following objective criteria:
                        ``(i) One or more organizational units.
                        ``(ii) One or more occupational groups, series, or
                    levels.
                        ``(iii) One or more geographical locations.
                        ``(iv) Any other similar objective and nonpersonal
                    criteria that the Office of Personnel Management
                    determines appropriate.

        ``(4) Under regulations prescribed by the Office of Personnel
    Management, the determinations of whether an employee meets--
                ``(A) the requirements of subparagraph (A) of paragraph (3)
            shall be made by the Office upon the request of the Secretary of
            Defense; and
                ``(B) the requirements of subparagraph (E) of such paragraph
            shall be made by the Secretary of Defense.

        ``(5) A determination of which employees are within the scope of an
    offer of early retirement shall be made only on the basis of consistent
    and well-documented application of the relevant criteria.
        ``(6) In this subsection, the term `major organizational adjustment'
    means any of the following:
                ``(A) A major reorganization.
                ``(B) A major reduction in force.
                ``(C) A major transfer of function.
                ``(D) A workforce restructuring--
                        ``(i) to meet mission needs;
                        ``(ii) to achieve one or more reductions in
                    strength;
                        ``(iii) to correct skill imbalances; or
                        ``(iv) to reduce the number of high-grade,
                    managerial, supervisory, or similar positions.''.

        (c) Conforming Amendments.--(1) Section 8339(h) of such title is
    amended by striking out ``or ( j)'' in the first sentence and inserting
    ``( j), or (o)''.

    [[Page 114 STAT. 1654A-323]]

        (2) Section 8464(a)(1)(A)(i) of such title is amended by striking
    out ``or (b)(1)(B)'' and ``, (b)(1)(B), or (d)''.

    SEC. 1153. LIMITATIONS.

        (a) Fiscal Year 2001 Limitations on VSIP.--Section 5597 of title 5,
    United States Code, as amended by section 1151, is further amended by
    adding at the end the following new subsection:
        ``(i)(1) Notwithstanding any other provision of this section, during
    fiscal year 2001, separation pay may be offered under the program
    carried out under this section with respect to workforce restructuring
    only to persons who, upon separation, are entitled to an immediate
    annuity under section 8336, 8412, or 8414 of this title and are
    otherwise eligible for the separation pay under this section.
        ``(2) In the administration of the program under this section during
    fiscal year 2001, the Secretary shall ensure that not more than 1,000
    employees are, as a result of workforce restructuring, separated from
    service in that fiscal year entitled to separation pay under this
    section.
        ``(3) Separation pay may not be offered as a result of workforce
    restructuring under the program carried out under this section after
    fiscal year 2003.''.
        (b) Limitations for Fiscal Years 2002 and 2003 on VSIP and VERA.--
    (1) Subject to paragraph (2), the Secretary of Defense shall ensure
    that, in each of fiscal years 2002 and 2003, not more than 4,000
    employees of the Department of Defense are, as a result of workforce
    restructuring, separated from service entitled to one or more of the
    following benefits:
                (A) Voluntary separation incentive pay under section 5597 of
            title 5, United States Code.
                (B) Immediate annuity under section 8336(o) or 8414(d) of
            such title.

        (2) Notwithstanding sections 5597(e), 8336(o), and 8414(d) of title
    5, United States Code, the Secretary of Defense may carry out the
    programs authorized in those sections during fiscal years 2002 and 2003
    with respect to workforce restructuring only to the extent provided in a
    law enacted by the One Hundred Seventh Congress.

                  TITLE XII--MATTERS RELATING TO OTHER NATIONS

                   Subtitle A--Matters Related to Arms Control

    Sec.1201.Support of United Nations-sponsored efforts to inspect and
               monitor Iraqi weapons activities.
    Sec.1202.Support of consultations on Arab and Israeli arms control and
               regional security issues.
    Sec.1203.Furnishing of nuclear test monitoring equipment to foreign
               governments.
    Sec.1204.Additional matters for annual report on transfers of militarily
               sensitive technology to countries and entities of concern.

                   Subtitle B--Matters Relating to the Balkans

    Sec.1211.Annual report assessing effect of continued operations in the
               Balkans region on readiness to execute the national military
               strategy.
    Sec.1212.Situation in the Balkans.
    Sec.1213.Semiannual report on Kosovo peacekeeping.

    [[Page 114 STAT. 1654A-324]]

    Subtitle C--North Atlantic Treaty Organization and United States Forces
                                    in Europe

    Sec.1221.NATO fair burdensharing.
    Sec.1222.Repeal of restriction preventing cooperative airlift support
               through acquisition and cross-servicing agreements.
    Sec.1223.GAO study on the benefits and costs of United States military
               engagement in Europe.

                            Subtitle D--Other Matters

    Sec.1231.Joint data exchange center with Russian Federation on early
               warning systems and notification of ballistic missile
               launches.
    Sec.1232.Report on sharing and exchange of ballistic missile launch
               early warning data.
    Sec.1233.Annual report of Communist Chinese military companies operating
               in the United States.
    Sec.1234.Adjustment of composite theoretical performance levels of high
               performance computers.
    Sec.1235.Increased authority to provide health care services as
               humanitarian and civic assistance.
    Sec.1236.Sense of Congress regarding the use of children as soldiers.
    Sec.1237.Sense of Congress regarding undersea rescue and recovery.
    Sec.1238.United States-China Security Review Commission.

                   Subtitle A--Matters Related to Arms Control

    SEC. 1201. SUPPORT OF UNITED NATIONS-SPONSORED EFFORTS TO INSPECT AND
                MONITOR IRAQI WEAPONS ACTIVITIES.

        (a) Limitation on Amount of Assistance in Fiscal Year 2001--The
    total amount of the assistance for fiscal year 2001 that is provided by
    the Secretary of Defense under section 1505 of the Weapons of Mass
    Destruction Control Act of 1992 (22 U.S.C. 5859a) as activities of the
    Department of Defense in support of activities under that Act may not
    exceed $15,000,000.
        (b) Extension of Authority To Provide Assistance.--Subsection (f )
    of section 1505 of the Weapons of Mass Destruction Control Act of 1992
    (22 U.S.C. 5859a) is amended by striking ``2000'' and inserting
    ``2001''.

    SEC. 1202. SUPPORT OF CONSULTATIONS ON ARAB AND ISRAELI ARMS CONTROL AND
                REGIONAL SECURITY ISSUES.

        Of the amount authorized to be appropriated by section 301(5), up to
    $1,000,000 is available for the support of programs to promote formal
    and informal region-wide consultations among Arab, Israeli, and United
    States officials and experts on arms control and security issues
    concerning the Middle East region.

    SEC. 1203. FURNISHING OF NUCLEAR TEST MONITORING EQUIPMENT TO FOREIGN
                GOVERNMENTS.

        (a) In General.--Chapter 152 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2555. Nuclear test monitoring equipment: furnishing to foreign
                            governments

        ``(a) Authority To Convey or Provide Nuclear Test Monitoring
    Equipment.--Subject to subsection (b), the Secretary of Defense may--
                ``(1) convey or otherwise provide to a foreign government
            (A) equipment for the monitoring of nuclear test explosions, and
            (B) associated equipment; and

    [[Page 114 STAT. 1654A-325]]

                ``(2) as part of any such conveyance or provision of
            equipment, install such equipment on foreign territory or in
            international waters.

        ``(b) Agreement Required.--Nuclear test explosion monitoring
    equipment may be conveyed or otherwise provided under subsection (a)
    only pursuant to the terms of an agreement between the United States and
    the foreign government receiving the equipment in which the recipient
    foreign government agrees--
                ``(1) to provide the United States with timely access to the
            data produced, collected, or generated by the equipment;
                ``(2) to permit the Secretary of Defense to take such
            measures as the Secretary considers necessary to inspect, test,
            maintain, repair, or replace that equipment, including access
            for purposes of such measures; and
                ``(3) to return such equipment to the United States (or
            allow the United States to recover such equipment) if either
            party determines that the agreement no longer serves its
            interests.

        ``(c) Report.--Promptly after entering into any agreement under
    subsection (b), the Secretary of Defense shall submit to Congress a
    report on the agreement. The report shall identify the country with
    which the agreement was made, the anticipated costs to the United States
    to be incurred under the agreement, and the national interest of the
    United States that is furthered by the agreement.
        ``(d) Limitation on Delegation.--The Secretary of Defense may
    delegate the authority of the Secretary to carry out this section only
    to the Secretary of the Air Force. Such a delegation may be
    redelegated.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2555. Nuclear test monitoring equipment: furnishing to foreign
               governments.''.

    SEC. 1204. ADDITIONAL MATTERS FOR ANNUAL REPORT ON TRANSFERS OF
                MILITARILY SENSITIVE TECHNOLOGY TO COUNTRIES AND ENTITIES OF
                CONCERN.

        Section 1402(b) of the National Defense Authorization Act for Fiscal
    Year 2000 (Public Law 106-65; 113 Stat. 798) is amended by adding at the
    end the following new paragraph:
                ``(4) The status of the implementation or other disposition
            of recommendations included in reports of audits by Inspectors
            General that have been set forth in a previous annual report
            under this section pursuant to paragraph (3).''.

                   Subtitle B--Matters Relating to the Balkans

    SEC. 1211. ANNUAL REPORT ASSESSING EFFECT OF CONTINUED OPERATIONS IN THE
                BALKANS REGION ON READINESS TO EXECUTE THE NATIONAL MILITARY
                STRATEGY.

        Section 1035 of the National Defense Authorization Act for Fiscal
    Year 2000 (Public Law 106-65; 113 Stat. 753) is amended--
                (1) in subsection (a), by striking ``Not later than 180 days
            after the date of the enactment of this Act,'' and inserting

    [[Page 114 STAT. 1654A-326]]

            ``Not later than April 1 each year (but subject to subsection
            (e)),'';
                (2) in subsection (b), by striking ``The report'' in the
            matter preceding paragraph (1) and inserting ``Each report'';
                (3) in subsection (d), by striking ``the report'' and
            inserting ``a report''; and
                (4) by adding at the end the following new subsection:

        ``(e) Termination When United States Military Operations End.--(1)
    No report is required under this section after United States military
    operations in the Balkans region have ended.
        ``(2) After the requirement for an annual report under this section
    is terminated by operation of paragraph (1), but not later than the
    latest date on which the next annual report under this section would,
    except for paragraph (1), otherwise be due, the Secretary of Defense
    shall transmit to Congress a notification of the termination of the
    reporting requirement.''.

    SEC. 1212. SITUATION IN THE BALKANS.

        (a) Establishment of NATO Benchmarks for Withdrawal of Forces From
    Kosovo.--The President shall develop, not later than May 31, 2001,
    militarily significant benchmarks for conditions that would achieve a
    sustainable peace in Kosovo and ultimately allow for the withdrawal of
    the United States military presence in Kosovo. Congress urges the
    President to seek concurrence among member nations of the North Atlantic
    Treaty Organization in the development of those benchmarks.
        (b) Comprehensive Political-Military Strategy.--(1) The President--
                (A) shall develop a comprehensive political-military
            strategy for addressing the political, economic, humanitarian,
            and military issues in the Balkans; and
                (B) shall establish near-term, mid-term, and long-term
            objectives in the region.

        (2) In developing that strategy and those objectives, the President
    shall take into consideration--
                (A) the benchmarks relating to Kosovo developed as described
            in subsection (a); and
                (B) the benchmarks relating to Bosnia that were detailed in
            the report accompanying the certification by the President to
            Congress on March 3, 1998 (printed as House Document 105-223),
            with respect to the continued presence of United States Armed
            Forces, after June 30, 1998, in Bosnia and Herzegovina,
            submitted to Congress pursuant to section 7 of title I of the
            1998 Supplemental Appropriations and Rescissions Act (Public Law
            105-174; 112 Stat. 63).

        (3) That strategy and those objectives shall be developed in
    consultation with appropriate regional and international entities.
        (c) Semiannual Report on Benchmarks.--Not later than June 30, 2001,
    and every six months thereafter, the President shall submit to Congress
    a report on the progress made in achieving the benchmarks developed
    pursuant to subsection (a). The President may submit a single report
    covering these benchmarks and the benchmarks relating to Bosnia referred
    to in subsection (b)(2)(B).
        (d) Semiannual Report on Comprehensive Strategy.--Not later than
    June 30, 2001, and every six months thereafter so long as United States
    forces are in the Balkans, the President shall submit to Congress a
    report on the progress being made

    [[Page 114 STAT. 1654A-327]]

    in developing and implementing a comprehensive political-military
    strategy as described in subsection (b)(1)(A).

    SEC. 1213. SEMIANNUAL REPORT ON KOSOVO PEACEKEEPING.

        (a) Requirement for Periodic Report.--The President shall submit to
    the specified congressional committees a semiannual report on the
    contributions of European nations and organizations to the peacekeeping
    operations in Kosovo. The first such report shall be submitted not later
    than December 1, 2000.
        (b) Content of Report.--Each report shall contain detailed
    information on the following:
                (1) The commitments and pledges made by the European
            Commission, the member nations of the European Union, and the
            European member nations of the North Atlantic Treaty
            Organization for--
                        (A) reconstruction assistance in Kosovo;
                        (B) humanitarian assistance in Kosovo;
                        (C) the Kosovo Consolidated Budget;
                        (D) police (including special police) for the United
                    Nations international police force for Kosovo; and
                        (E) military personnel for peacekeeping operations
                    in Kosovo.
                (2) The amount of the assistance that has been provided in
            each category, and the number of police and military personnel
            that have been deployed to Kosovo, by each organization or
            nation referred to in paragraph (1).
                (3) The full range of commitments and responsibilities that
            have been undertaken for Kosovo by the United Nations, the
            European Union, and the Organization for Security and
            Cooperation in Europe (OSCE), the progress made by those
            organizations in fulfilling those commitments and
            responsibilities, an assessment of the tasks that remain to be
            accomplished, and an anticipated schedule for completing those
            tasks.

        (d) Specified Congressional Committees.--In the section, the term
    ``specified congressional committees'' means--
                (1) the Committee on Armed Services, the Committee on
            Foreign Relations, and the Committee on Appropriations of the
            Senate; and
                (2) the Committee on Armed Services, the Committee on
            International Relations, and the Committee on Appropriations of
            the House of Representatives.

    Subtitle C--North Atlantic Treaty Organization and United States Forces
                                    in Europe

    SEC. 1221. NATO FAIR BURDENSHARING.

        (a) Report on Costs of Operation Allied Force.--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 costs to the United States of the 78-day air campaign
    known as Operation Allied Force conducted against the Federal Republic
    of Yugoslavia during the period from March 24 through June 9, 1999. The
    report shall include the following:

    [[Page 114 STAT. 1654A-328]]

                (1) The costs of ordnance expended, fuel consumed, and
            personnel.
                (2) The estimated cost of the reduced service life of United
            States aircraft and other systems participating in the
            operation.

        (b) Report on Burdensharing of Future NATO Operations.--Whenever the
    North Atlantic Treaty Organization undertakes a military operation, 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 describing--
                (1) the contributions to that operation made by each of the
            member nations of the North Atlantic Treaty Organization during
            that operation; and
                (2) the contributions that each of the member nations of the
            North Atlantic Treaty Organization are making or have pledged to
            make during any follow-on operation.

        (c) Time for Submission of Report.--A report under subsection (b)
    shall be submitted not later than 90 days after the completion of the
    military operation.
        (d) Applicability.--Subsection (b) shall apply only with respect to
    military operations begun after the date of the enactment of this Act.

    SEC. 1222. REPEAL OF RESTRICTION PREVENTING COOPERATIVE AIRLIFT SUPPORT
                THROUGH ACQUISITION AND CROSS-SERVICING AGREEMENTS.

        Section 2350c of title 10, United States Code, is amended--
                (1) by striking subsection (d); and
                (2) by redesignating subsection (e) as subsection (d).

    SEC. 1223. GAO STUDY ON THE BENEFITS AND COSTS OF UNITED STATES MILITARY
                ENGAGEMENT IN EUROPE.

        (a) Comptroller General Study.--The Comptroller General shall
    conduct a study assessing the benefits and costs to the United States
    and United States national security interests of the engagement of
    United States forces in Europe and of United States military strategies
    used to shape the international security environment in Europe.
        (b) Matters To Be Included.--The study shall include an assessment
    of the following matters:
                (1) The benefits and costs to the United States of having
            forces stationed in Europe and assigned to areas of regional
            conflict such as Bosnia and Kosovo.
                (2) The benefits and costs associated with stationing United
            States forces in Europe and with assigning those forces to areas
            of regional conflict, including an analysis of the benefits and
            costs of deploying United States forces with the forces of
            European allies.
                (3) The amount and type of the following kinds of
            contributions to European security made by European allies in
            1999 and 2000:
                        (A) Financial contributions.
                        (B) Contributions of military personnel and units.
                        (C) Contributions of nonmilitary personnel, such as
                    medical personnel, police officers, judicial officers,
                    and other civic officials.

    [[Page 114 STAT. 1654A-329]]

                        (D) Contributions, including contributions in kind,
                    for humanitarian and reconstruction assistance and
                    infrastructure building or activities that contribute to
                    regional stability, whether in lieu of or in addition to
                    military-related contributions.
                (4) The extent to which a forward United States military
            presence compensates for existing shortfalls of air and sea lift
            capability in the event of regional conflict in Europe or the
            Middle East.

        (c) Report.--The Comptroller General shall submit to the Committees
    on Armed Services of the Senate and House of Representatives a report on
    the results of the study not later than December 1, 2001.

                            Subtitle D--Other Matters

    SEC. 1231. JOINT DATA EXCHANGE CENTER WITH RUSSIAN FEDERATION ON EARLY
                WARNING SYSTEMS AND NOTIFICATION OF BALLISTIC MISSILE
                LAUNCHES.

        (a) Authority.--The Secretary of Defense is authorized to establish,
    in conjunction with the Government of the Russian Federation, a United
    States-Russian Federation joint center for the exchange of data from
    systems to provide early warning of launches of ballistic missiles and
    for notification of launches of such missiles.
        (b) Specific Actions.--The actions that the Secretary undertakes for
    the establishment of the center may include--
                (1) subject to subsection (d), participating in the
            renovation of a mutually agreed upon facility to be made
            available by the Russian Federation; and
                (2) the furnishing of such equipment and supplies as may be
            necessary to begin the operation of the center.

        (c) Report Required.--(1) Not later than 30 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 on plans for the joint data
    exchange center.
        (2) The report shall include the following:
                (A) A detailed explanation as to why the particular facility
            intended to house the center was chosen.
                (B) An estimate of the total cost of renovating that
            facility for use by the center.
                (C) A description of the manner by which the United States
            proposes to meet its share of the costs of such renovation.

        (d) Limitation.--(1) The Secretary of Defense may participate under
    subsection (b) in the renovation of the facility identified in the
    report under subsection (c) only if the United States and the Russian
    Federation enter into a cost-sharing arrangement that provides for an
    equal sharing between the two nations of the cost of establishing the
    center, including the costs of renovating and operating the facility.
        (2) Not more than $4,000,000 of funds appropriated for fiscal year
    2001 may be obligated or expended after the date of the enactment of
    this Act by the Secretary of Defense for the renovation of such facility
    until 30 days after the date on which the Secretary submits to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives

    [[Page 114 STAT. 1654A-330]]

    a copy of a written agreement between the United States and the Russian
    Federation that provides details of the cost-sharing arrangement
    specified in paragraph (1), in accordance with the Memorandum of
    Agreement between the two nations signed in Moscow in June 2000.

    SEC. 1232. REPORT ON SHARING AND EXCHANGE OF BALLISTIC MISSILE LAUNCH
                EARLY WARNING DATA.

        Not later than March 15, 2001, 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 current and
    planned activities of the Department of Defense with respect to the
    sharing and exchange with other countries of early warning data
    concerning ballistic missile launches. The report shall include the
    Secretary's assessment of the benefits and risks of sharing such data
    with other countries on a bilateral or multilateral basis.

    SEC. 1233. ANNUAL REPORT OF COMMUNIST CHINESE MILITARY COMPANIES
                OPERATING IN THE UNITED STATES.

        Section 1237(b) of the Strom Thurmond National Defense Authorization
    Act for Fiscal Year 1999 (50 U.S.C. 1701 note) is amended--
                (1) by striking ``Publication'' in the subsection heading
            and inserting ``Reporting''; and
                (2) by striking paragraphs (1) and (2) and inserting the
            following:
                ``(1) Initial determination and reporting.--Not later than
            March 1, 2001, the Secretary of Defense shall make a
            determination of those persons operating directly or indirectly
            in the United States or any of its territories and possessions
            that are Communist Chinese military companies and shall submit a
            list of those persons in classified and unclassified form to the
            following:
                        ``(A) The Committee on Armed Services of the House
                    of Representatives.
                        ``(B) The Committee on Armed Services of the Senate.
                        ``(C) The Secretary of State.
                        ``(D) The Secretary of the Treasury.
                        ``(E) The Attorney General.
                        ``(F) The Secretary of Commerce.
                        ``(G) The Secretary of Energy.
                        ``(H) The Director of Central Intelligence.
                ``(2) Annual revisions to the list.--The Secretary of
            Defense shall make additions or deletions to the list submitted
            under paragraph (1) on an annual basis based on the latest
            information available and shall submit the updated list not
            later than February 1, each year to the committees and officers
            specified in paragraph (1).''.

    SEC. 1234. ADJUSTMENT OF COMPOSITE THEORETICAL PERFORMANCE LEVELS OF
                HIGH PERFORMANCE COMPUTERS.

        (a) Layover Period for New Performance Levels.--Section 1211 of the
    National Defense Authorization Act for Fiscal Year 1998 (50 U.S.C. App.
    2404 note) is amended--
                (1) in the second sentence of subsection (d), by striking
            ``180'' and inserting ``60''; and
                (2) by adding at the end the following new subsection:

    [[Page 114 STAT. 1654A-331]]

        ``(h) Calculation of 60-Day Period.--The 60-day period referred to
    in subsection (d) shall be calculated by excluding the days on which
    either House of Congress is not in session because of an adjournment of
    the Congress sine die.''.
        (b) Effective Date.--The amendments made by subsection (a) shall
    apply to any new composite theoretical performance level established for
    purposes of section 1211(a) of the National Defense Authorization Act
    for Fiscal Year 1998 that is submitted by the President pursuant to
    section 1211(d) of that Act on or after the date of the enactment of
    this Act.

    SEC. 1235. INCREASED AUTHORITY TO PROVIDE HEALTH CARE SERVICES AS
                HUMANITARIAN AND CIVIC ASSISTANCE.

        Section 401(e)(1) of title 10, United States Code, is amended by
    striking ``rural areas of a country'' and inserting ``areas of a country
    that are rural or are underserved by medical, dental, and veterinary
    professionals, respectively''.

    SEC. 1236. SENSE OF CONGRESS REGARDING THE USE OF CHILDREN AS SOLDIERS.

        (a) Findings.--Congress makes the following findings:
                (1) In the year 2000, approximately 300,000 individuals
            under the age of 18 are participating in armed conflict in more
            than 30 countries worldwide.
                (2) Many children participating in armed conflict in various
            countries around the world are forcibly conscripted through
            kidnapping or coercion, while others join military units due to
            economic necessity, to avenge the loss of a family member, or
            for their own personal safety.
                (3) Many military commanders frequently force child soldiers
            to commit gruesome acts of ritual killings or torture against
            their enemies, including against other children.
                (4) Many military commanders separate children from their
            families in order to foster dependence on military units and
            leaders, leaving children vulnerable to manipulation, deep
            traumatization, and in need of psychological counseling and
            rehabilitation.
                (5) Child soldiers are exposed to hazardous conditions and
            risk physical injuries, sexually transmitted diseases,
            malnutrition, deformed backs and shoulders from carrying
            overweight loads, and respiratory and skin infections.
                (6) Many young female soldiers face the additional
            psychological and physical horrors of rape and sexual abuse,
            being enslaved for sexual purposes by militia commanders, and
            forced to endure severe social stigma should they return home.
                (7) Children in northern Uganda continue to be kidnapped by
            the Lords Resistance Army (LRA), which is supported and funded
            by the Government of Sudan and which has committed and continues
            to commit gross human rights violations in Uganda.
                (8) Children in Sri Lanka have been forcibly recruited by
            the opposition Tamil Tigers movement and forced to kill or be
            killed in the armed conflict in that country.
                (9) An estimated 7,000 child soldiers have been involved in
            the conflict in Sierra Leone, some as young as age 10, with many
            being forced to commit extrajudicial executions, torture, rape,
            and amputations for the rebel Revolutionary United Front.

    [[Page 114 STAT. 1654A-332]]

                (10) On January 21, 2000, in Geneva, a United Nations
            Working Group, including representatives from more than 80
            governments including the United States, reached consensus on an
            international agreement, referred to in this case as an
            ``optional protocol'', on the use of child soldiers.
                (11) This optional protocol, upon entry into force, will--
                        (A) raise the international minimum age for
                    conscription and will require governments to take all
                    feasible measures to ensure that members of their armed
                    forces under age 18 do not participate directly in
                    combat;
                        (B) prohibit the recruitment and use in armed
                    conflict of persons under the age of 18 by
                    nongovernmental armed forces;
                        (C) encourage governments to raise the minimum legal
                    age for voluntary recruits above the current standard of
                    15; and
                        (D) commit governments to support the demobilization
                    and rehabilitation of child soldiers and, when possible,
                    to allocate resources to this purpose.
                (12) On October 29, 1998, United Nations Secretary General
            Kofi Annan set minimum age requirements for United Nations
            peacekeeping personnel that are made available by member nations
            of the United Nations.
                (13) The United Nations Under-Secretary General for Peace-
            keeping, Bernard Miyet, announced in the Fourth Committee of the
            General Assembly that contributing governments of member nations
            were asked not to send civilian police and military observers
            under the age of 25 and that troops in national contingents
            should preferably be at least 21 years of age but in no case
            should they be younger than 18 years of age.
                (14) On August 25, 1999, the United Nations Security Council
            unanimously passed Resolution 1261 (1999) condemning the use of
            children in armed conflicts.
                (15) In addressing the Security Council on August 26, 1999,
            the Special Representative of the Secretary General for Children
            and Armed Conflict, Olara Otunnu, urged the adoption of a global
            three-pronged approach to combatting the use of children in
            armed conflict that would--
                        (A) first, raise the age limit for recruitment and
                    participation in armed conflict from the present age of
                    15 to the age of 18;
                        (B) second, increase international pressure on armed
                    groups which currently abuse children; and
                        (C) third, address the political, social, and
                    economic factors that create an environment in which
                    children are induced by appeal of ideology or by socio-
                    economic collapse to become child soldiers.
                (16) The United States delegation to the United Nations
            working group relating to child soldiers, which included
            representatives from the Department of Defense, supported the
            Geneva agreement on the optional protocol.
                (17) On May 25, 2000, the United Nations General Assembly
            unanimously adopted the optional protocol on the use of child
            soldiers.
                (18) The optional protocol was opened for signature on June
            5, 2000.

    [[Page 114 STAT. 1654A-333]]

                (19) The President signed the optional protocol on behalf of
            the United States on July 5, 2000.

        (b) Congressional Statements on Child Soldiers.--Congress joins the
    international community in--
                (1) condemning the use of children as soldiers by
            governmental and nongovernmental armed forces worldwide; and
                (2) welcoming the optional protocol on the use of child
            soldiers adopted by the United Nations General Assembly on May
            25, 2000, as a critical first step in ending the use of children
            as soldiers.

        (c) Sense of Congress on Further Actions.--It is the sense of
    Congress that--
                (1) it is essential that the President consult closely with
            the Senate with the objective of building support for
            ratification by the United States of the optional protocol and
            that the Senate move forward as expeditiously as possible;
                (2) the United States should provide assistance, through a
            new fund to be established by law, for the rehabilitation and
            reintegration into their respective civilian societies of child
            soldiers of other nations; and
                (3) the President, acting through the Secretaries of State
            and Defense and other appropriate officials, should undertake
            all possible efforts to persuade and encourage other governments
            to ratify and endorse the optional protocol on the use of child
            soldiers.

    SEC. 1237. SENSE OF CONGRESS REGARDING UNDERSEA RESCUE AND RECOVERY.

        (a) Findings.--Congress makes the following findings:
                (1) The tragic loss in August 2000 of the Russian submarine
            Kursk resulted in the death of all 118 members of the
            submarine's crew.
                (2) The Kursk is the third vessel of the submarine fleet of
            the Russian Federation and its predecessor, the Union of Soviet
            Socialist Republics, to be lost in an accident at sea with
            considerable loss of life of the officers and crews of those
            submarines.
                (3) The United States submarines USS Thresher and USS
            Scorpion, with their officers and crews, were also lost at sea
            in tragic accidents, in 1963 and 1968, respectively.
                (4) The United States, the Russian Federation, and other
            maritime nations possess extensive capabilities consisting of
            naval and research vessels and other assets that could be used
            to respond to accidents or incidents involving submarines or
            other undersea vessels.
                (5) The United States Navy has rescue agreements with the
            navies of 14 countries from Europe, the Western Pacific, and the
            Americas, but not including the Russian Federation, and
            exercises regularly to train crews and practice submarine rescue
            procedures with the navies of participating nations.

        (b) Expression of Sympathy.--Congress expresses its sympathy and the
    sympathy of the American people to the people of the Russian Federation
    and joins the Russian people in mourning the death of the crewmen of the
    submarine Kursk.
        (c) Sense of Congress Concerning International Cooperation.--It is
    the sense of Congress that when undersea accidents or incidents
    involving submarines or other undersea vessels occur,

    [[Page 114 STAT. 1654A-334]]

    it is in the best interests of all nations to work together to respond
    promptly to the accident or incident, rescue and recover the crew of the
    vessel, minimize the loss of life, and prevent damage to the oceans.
        (d) Establishment of Plan for Responding to Undersea Accidents or
    Incidents.--Congress urges the President of the United States and the
    President of the Russian Federation, in coordination with the leaders of
    other maritime nations that possess undersea naval and research vessels
    and undersea rescue capabilities, to cooperate in establishing a plan
    for--
                (1) responding to accidents or incidents involving
            submarines or other undersea vessels; and
                (2) rescue and recovery of the crew of the vessels involved
            in such accidents or incidents.

    SEC. 1238. UNITED STATES-CHINA SECURITY REVIEW COMMISSION.

        (a) Purposes.--The purposes of this section are as follows:
                (1) To establish the United States-China Security Review
            Commission to review the national security implications of trade
            and economic ties between the United States and the People's
            Republic of China.
                (2) To facilitate the assumption by the United States-China
            Security Review Commission of its duties regarding the review
            referred to in paragraph (1) by providing for the transfer to
            that Commission of staff, materials, and infrastructure
            (including leased premises) of the Trade Deficit Review
            Commission that are appropriate for the review upon the
            submittal of the final report of the Trade Deficit Review
            Commission.

        (b) Establishment of United States-China Security Review
    Commission.--
                (1) In general.--There is hereby established a commission to
            be known as the United States-China Security Review Commission
            (in this section referred to as the ``Commission'').
                (2) Purpose.--The purpose of the Commission is to monitor,
            investigate, and report to Congress on the national security
            implications of the bilateral trade and economic relationship
            between the United States and the People's Republic of China.
                (3) Membership.--The Commission shall be composed of 12
            members, who shall be appointed in the same manner provided for
            the appointment of members of the Trade Deficit Review
            Commission under section 127(c)(3) of the Trade Deficit Review
            Commission Act (19 U.S.C. 2213 note), except that--
                        (A) appointment of members by the Speaker of the
                    House of Representatives shall be made after
                    consultation with the chairman of the Committee on Armed
                    Services of the House of Representatives, in addition to
                    consultation with the chairman of the Committee on Ways
                    and Means of the House of Representatives provided for
                    under clause (iii) of subparagraph (A) of that section;
                        (B) appointment of members by the President pro
                    tempore of the Senate upon the recommendation of the
                    majority leader of the Senate shall be made after
                    consultation with the chairman of the Committee on Armed
                    Services of the Senate, in addition to consultation with
                    the chairman of the Committee on Finance of the Senate
                    provided for under clause (i) of that subparagraph;

    [[Page 114 STAT. 1654A-335]]

                        (C) appointment of members by the President pro
                    tempore of the Senate upon the recommendation of the
                    minority leader of the Senate shall be made after
                    consultation with the ranking minority member of the
                    Committee on Armed Services of the Senate, in addition
                    to consultation with the ranking minority member of the
                    Committee on Finance of the Senate provided for under
                    clause (ii) of that subparagraph;
                        (D) appointment of members by the minority leader of
                    the House of Representatives shall be made after
                    consultation with the ranking minority member of the
                    Committee on Armed Services of the House of
                    Representatives, in addition to consultation with the
                    ranking minority member of the Committee on Ways and
                    Means of the House of Representatives provided for under
                    clause (iv) of that subparagraph;
                        (E) persons appointed to the Commission shall have
                    expertise in national security matters and United
                    States-China relations, in addition to the expertise
                    provided for under subparagraph (B)(i)(I) of that
                    section;
                        (F) members shall be appointed to the Commission not
                    later than 30 days after the date on which each new
                    Congress convenes;
                        (G) members of the Commission may be reappointed for
                    additional terms of service as members of the
                    Commission; and
                        (H) members of the Trade Deficit Review Commission
                    as of the date of the enactment of this Act shall serve
                    as members of the Commission until such time as members
                    are first appointed to the Commission under this
                    paragraph.
                (4) Retention of support.--The Commission shall retain and
            make use of such staff, materials, and infrastructure (including
            leased premises) of the Trade Deficit Review Commission as the
            Commission determines, in the judgment of the members of the
            Commission, are required to facilitate the ready commencement of
            activities of the Commission under subsection (c) or to carry
            out such activities after the commencement of such activities.
                (5) Chairman and vice chairman.--The members of the
            Commission shall select a Chairman and Vice Chairman of the
            Commission from among the members of the Commission.
                (6) Meetings.--
                        (A) Meetings.--The Commission shall meet at the call
                    of the Chairman of the Commission.
                        (B) Quorum.--A majority of the members of the
                    Commission shall constitute a quorum for the transaction
                    of business of the Commission.
                (7) Voting.--Each member of the Commission shall be entitled
            to one vote, which shall be equal to the vote of every other
            member of the Commission.

        (c) Duties.--
                (1) Annual report.--Not later than March 1 each year
            (beginning in 2002), the Commission shall submit to Congress a
            report, in both unclassified and classified form, regarding the
            national security implications and impact of the bilateral trade
            and economic relationship between the United States

    [[Page 114 STAT. 1654A-336]]

            and the People's Republic of China. The report shall include a
            full analysis, along with conclusions and recommendations for
            legislative and administrative actions, if any, of the national
            security implications for the United States of the trade and
            current balances with the People's Republic of China in goods
            and services, financial transactions, and technology transfers.
            The Commission shall also take into account patterns of trade
            and transfers through third countries to the extent practicable.
                (2) Contents of report.--Each report under paragraph (1)
            shall include, at a minimum, a full discussion of the following:
                        (A) The portion of trade in goods and services with
                    the United States that the People's Republic of China
                    dedicates to military systems or systems of a dual
                    nature that could be used for military purposes.
                        (B) The acquisition by the People's Republic of
                    China of advanced military or dual-use technologies from
                    the United States by trade (including procurement) and
                    other technology transfers, especially those transfers,
                    if any, that contribute to the proliferation of weapons
                    of mass destruction or their delivery systems, or that
                    undermine international agreements or United States laws
                    with respect to nonproliferation.
                        (C) Any transfers, other than those identified under
                    subparagraph (B), to the military systems of the
                    People's Republic of China made by United States firms
                    and United States-based multinational corporations.
                        (D) An analysis of the statements and writing of the
                    People's Republic of China officials and officially-
                    sanctioned writings that bear on the intentions, if any,
                    of the Government of the People's Republic of China
                    regarding the pursuit of military competition with, and
                    leverage over, or cooperation with, the United States
                    and the Asian allies of the United States.
                        (E) The military actions taken by the Government of
                    the People's Republic of China during the preceding year
                    that bear on the national security of the United States
                    and the regional stability of the Asian allies of the
                    United States.
                        (F) The effects, if any, on the national security
                    interests of the United States of the use by the
                    People's Republic of China of financial transactions and
                    capital flow and currency manipulations.
                        (G) Any action taken by the Government of the
                    People's Republic of China in the context of the World
                    Trade Organization that is adverse or favorable to the
                    United States national security interests.
                        (H) Patterns of trade and investment between the
                    People's Republic of China and its major trading
                    partners, other than the United States, that appear to
                    be substantively different from trade and investment
                    patterns with the United States and whether the
                    differences have any national security implications for
                    the United States.
                        (I) The extent to which the trade surplus of the
                    People's Republic of China with the United States
                    enhances the military budget of the People's Republic of
                    China.

    [[Page 114 STAT. 1654A-337]]

                        (J) An overall assessment of the state of the
                    security challenges presented by the People's Republic
                    of China to the United States and whether the security
                    challenges are increasing or decreasing from previous
                    years.
                (3) Recommendations of report.--Each report under paragraph
            (1) shall also include recommendations for action by Congress or
            the President, or both, including specific recommendations for
            the United States to invoke Article XXI (relating to security
            exceptions) of the General Agreement on Tariffs and Trade 1994
            with respect to the People's Republic of China, as a result of
            any adverse impact on the national security interests of the
            United States.

        (d) Hearings.--
                (1) In general.--The Commission or, at its direction, any
            panel or member of the Commission, may for the purpose of
            carrying out the provisions of this section, hold hearings, sit
            and act at times and places, take testimony, receive evidence,
            and administer oaths to the extent that the Commission or any
            panel or member considers advisable.
                (2) Information.--The Commission may secure directly from
            the Department of Defense, the Central Intelligence Agency, and
            any other Federal department or agency information that the
            Commission considers necessary to enable the Commission to carry
            out its duties under this section, except the provision of
            intelligence information to the Commission shall be made with
            due regard for the protection from unauthorized disclosure of
            classified information relating to sensitive intelligence
            sources and methods or other exceptionally sensitive matters,
            under procedures approved by the Director of Central
            Intelligence.
                (3) Security.--The Office of Senate Security shall--
                        (A) provide classified storage and meeting and
                    hearing spaces, when necessary, for the Commission; and
                        (B) assist members and staff of the Commission in
                    obtaining security clearances.
                (4) Security clearances.--All members of the Commission and
            appropriate staff shall be sworn and hold appropriate security
            clearances.

        (e) Commission Personnel Matters.--
                (1) Compensation of members.--Members of the Commission
            shall be compensated in the same manner provided for the
            compensation of members of the Trade Deficit Review Commission
            under section 127(g)(1) and section 127(g)(6) of the Trade
            Deficit Review Commission Act (19 U.S.C. 2213 note).
                (2) Travel expenses.--Travel expenses of the Commission
            shall be allowed in the same manner provided for the allowance
            of the travel expenses of the Trade Deficit Review Commission
            under section 127(g)(2) of the Trade Deficit Review Commission
            Act.
                (3) Staff.--An executive director and other additional
            personnel for the Commission shall be appointed, compensated,
            and terminated in the same manner provided for the appointment,
            compensation, and termination of the executive director and
            other personnel of the Trade Deficit Review Commission under
            section 127(g)(3) and section 127(g)(6) of the Trade Deficit
            Review Commission Act.

    [[Page 114 STAT. 1654A-338]]

                (4) Detail of government employees.--Federal Government
            employees may be detailed to the Commission in the same manner
            provided for the detail of Federal Government employees to the
            Trade Deficit Review Commission under section 127(g)(4) of the
            Trade Deficit Review Commission Act.
                (5) Foreign travel for official purposes.--Foreign travel
            for official purposes by members and staff of the Commission may
            be authorized by either the Chairman or the Vice Chairman of the
            Commission.
                (6) Procurement of temporary and intermittent services.--The
            Chairman of the Commission may procure temporary and
            intermittent services for the Commission in the same manner
            provided for the procurement of temporary and intermittent
            services for the Trade Deficit Review Commission under section
            127(g)(5) of the Trade Deficit Review Commission Act.

        (f ) Authorization of Appropriations.--
                (1) In general.--There is authorized to be appropriated to
            the Commission for fiscal year 2001, and for each fiscal year
            thereafter, such sums as may be necessary to enable the
            Commission to carry out its functions under this section.
                (2) Availability.--Amounts appropriated to the Commission
            shall remain available until expended.

        (g) Federal Advisory Committee Act.--The provisions of the Federal
    Advisory Committee Act (5 U.S.C. App.) shall not apply to the
    Commission.
        (h) Effective Date.--This section shall take effect on the first day
    of the 107th Congress.

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

    Sec.1301.Specification of Cooperative Threat Reduction programs and
               funds.
    Sec.1302.Funding allocations.
    Sec.1303.Prohibition on use of funds for elimination of conventional
               weapons.
    Sec.1304.Limitations on use of funds for fissile material storage
               facility.
    Sec.1305.Limitation on use of funds to support warhead dismantlement
               processing.
    Sec.1306.Agreement on nuclear weapons storage sites.
    Sec.1307.Limitation on use of funds for construction of fossil fuel
               energy plants; report.
    Sec.1308.Reports on activities and assistance under Cooperative Threat
               Reduction programs.
    Sec.1309.Russian chemical weapons elimination.
    Sec.1310.Limitation on use of funds for elimination of weapons grade
               plutonium program.
    Sec.1311.Report on audits of Cooperative Threat Reduction programs.

    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).

    [[Page 114 STAT. 1654A-339]]

        (b) Fiscal Year 2001 Cooperative Threat Reduction Funds Defined.--As
    used in this title, the term ``fiscal year 2001 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 $443,400,000 authorized
    to be appropriated to the Department of Defense for fiscal year 2001 in
    section 301(23) for Cooperative Threat Reduction programs, not more than
    the following amounts may be obligated for the purposes specified:
                (1) For strategic offensive arms elimination in Russia,
            $177,800,000.
                (2) For strategic nuclear arms elimination in Ukraine,
            $29,100,000.
                (3) For activities to support warhead dismantlement
            processing in Russia, $9,300,000.
                (4) For weapons transportation security in Russia,
            $14,000,000.
                (5) For planning, design, and construction of a storage
            facility for Russian fissile material, $57,400,000.
                (6) For weapons storage security in Russia, $89,700,000.
                (7) For development of a cooperative program with the
            Government of Russia to eliminate the production of weapons
            grade plutonium at Russian reactors, $32,100,000.
                (8) For biological weapons proliferation prevention
            activities in the former Soviet Union, $12,000,000.
                (9) For activities designated as Other Assessments/
            Administrative Support, $13,000,000.
                (10) For defense and military contacts, $9,000,000.

        (b) Report on Obligation or Expenditure of Funds for Other
    Purposes.--No fiscal year 2001 Cooperative Threat Reduction funds may be
    obligated or expended for a purpose other than a purpose listed in
    paragraphs (1) through (10) 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 2001 Cooperative Threat Reduction funds for a purpose for
    which the obligation or expenditure of such funds is specifically
    prohibited under this title or any other provision of law.
        (c) Limited Authority To Vary Individual Amounts.--(1) Subject to
    paragraphs (2) and (3), in any case in which the Secretary of Defense
    determines that it is necessary to do so in the national interest, the
    Secretary may obligate amounts appropriated for fiscal year 2001 for a
    purpose listed in any of the paragraphs in subsection (a) in excess of
    the amount specifically authorized for such purpose.
        (2) An obligation of funds for a purpose stated in any of the
    paragraphs in subsection (a) in excess of the specific amount authorized
    for such purpose may be made using the authority provided in paragraph
    (1) only after--

    [[Page 114 STAT. 1654A-340]]

                (A) the Secretary submits to Congress notification of the
            intent to do so together with a complete discussion of the
            justification for doing so; and
                (B) 15 days have elapsed following the date of the
            notification.

        (3) The Secretary may not, under the authority provided in paragraph
    (1), obligate amounts for the purposes stated in any of paragraph (4),
    (5), (7), (9), or (10) of subsection (a) in excess of 115 percent of the
    amount specifically authorized for such purposes.

    SEC. 1303. PROHIBITION ON USE OF FUNDS FOR ELIMINATION OF CONVENTIONAL
                WEAPONS.

        No fiscal year 2001 Cooperative Threat Reduction funds, and no funds
    appropriated for Cooperative Threat Reduction programs for any other
    fiscal year, may be obligated or expended for elimination of
    conventional weapons or the delivery vehicles primarily intended to
    deliver such weapons.

    SEC. 1304. LIMITATIONS ON USE OF FUNDS FOR FISSILE MATERIAL STORAGE
                FACILITY.

        (a) Limitations.--No fiscal year 2001 Cooperative Threat Reduction
    funds may be used--
                (1) for construction of a second wing for the storage
            facility for Russian fissile material referred to in section
            1302(a)(5); or
                (2) for design or planning with respect to such facility
            until 15 days after the date that the Secretary of Defense
            submits to Congress notification that Russia and the United
            States have signed a written transparency agreement that
            provides for verification that material stored at the facility
            is of weapons origin.

        (b) Establishment of Funding Cap for First Wing of Storage
    Facility.--Out of funds authorized to be appropriated for Cooperative
    Threat Reduction programs for fiscal year 2001 or any other fiscal year,
    not more than $412,600,000 may be used for planning, design, or
    construction of the first wing for the storage facility for Russian
    fissile material referred to in section 1302(a)(5).

    SEC. 1305. LIMITATION ON USE OF FUNDS TO SUPPORT WARHEAD DISMANTLEMENT
                PROCESSING.

        No fiscal year 2001 Cooperative Threat Reduction funds may be used
    for activities to support warhead dismantlement processing in Russia
    until 15 days after the date that the Secretary of Defense submits to
    Congress notification that the United States has reached an agreement
    with Russia, which shall provide for appropriate transparency measures,
    regarding assistance by the United States with respect to such
    processing.

    SEC. 1306. AGREEMENT ON NUCLEAR WEAPONS STORAGE SITES.

        The Secretary of Defense shall seek to enter into an agreement with
    Russia regarding procedures to allow the United States appropriate
    access to nuclear weapons storage sites for which assistance under
    Cooperative Threat Reduction programs is provided.

    [[Page 114 STAT. 1654A-341]]

    SEC. 1307. LIMITATION ON USE OF FUNDS FOR CONSTRUCTION OF FOSSIL FUEL
                ENERGY PLANTS; REPORT.

        (a) In General.--No fiscal year 2001 Cooperative Threat Reduction
    funds may be used for the construction of a fossil fuel energy plant
    intended to provide power to local communities that already receive
    power from nuclear energy plants that produce plutonium.
        (b) Report.--Not later than 60 days after the date of the enactment
    of this Act, the President shall submit to Congress a report detailing
    options for assisting Russia in the development of alternative energy
    sources to the three plutonium production reactors remaining in
    operation in Russia. The report shall include--
                (1) an assessment of the costs of building fossil fuel
            plants in Russia to replace the existing plutonium production
            reactors; and
                (2) an identification of funding sources, other than
            Cooperative Threat Reduction funds, that could possibly be used
            for the construction of such plants in the event that the option
            to use fossil fuel energy is chosen as part of a plan to shut
            down Russia's nuclear plutonium production reactors at Seversk
            and Zelenogorsk.

    SEC. 1308. REPORTS ON ACTIVITIES AND ASSISTANCE UNDER COOPERATIVE THREAT
                REDUCTION PROGRAMS.

        (a) Annual Report.--In any year in which the budget of the President
    under section 1105 of title 31, United States Code, for the fiscal year
    beginning in such year requests funds for the Department of Defense for
    assistance or activities under Cooperative Threat Reduction programs
    with the states of the former Soviet Union, the Secretary of Defense
    shall submit to Congress a report on activities and assistance during
    the preceding fiscal year under Cooperative Threat Reduction programs
    setting forth the matters in subsection (c).
        (b) Deadline for Report.--The report under subsection (a) shall be
    submitted not later than the first Monday in February of a year.
        (c) Matters To Be Included.--The report under subsection (a) in a
    year shall set forth the following:
                (1) An estimate of the total amount that will be required to
            be expended by the United States in order to achieve the
            objectives of the Cooperative Threat Reduction programs.
                (2) A five-year plan setting forth the amount of funds and
            other resources proposed to be provided by the United States for
            Cooperative Threat Reduction programs over the term of the plan,
            including the purpose for which such funds and resources will be
            used, and to provide guidance for the preparation of annual
            budget submissions with respect to Cooperative Threat Reduction
            programs.
                (3) A description of the Cooperative Threat Reduction
            activities carried out during the fiscal year ending in the year
            preceding the year of the report, including--
                        (A) the amounts notified, obligated, and expended
                    for such activities and the purposes for which such
                    amounts were notified, obligated, and expended for such
                    fiscal year and cumulatively for Cooperative Threat
                    Reduction programs;

    [[Page 114 STAT. 1654A-342]]

                        (B) a description of the participation, if any, of
                    each department and agency of the United States
                    Government in such activities;
                        (C) a description of such activities, including the
                    forms of assistance provided;
                        (D) a description of the United States private
                    sector participation in the portion of such activities
                    that were supported by the obligation and expenditure of
                    funds for Cooperative Threat Reduction programs; and
                        (E) such other information as the Secretary of
                    Defense considers appropriate to inform Congress fully
                    of the operation of Cooperative Threat Reduction
                    programs and activities, including with respect to
                    proposed demilitarization or conversion projects,
                    information on the progress toward demilitarization of
                    facilities and the conversion of the demilitarized
                    facilities to civilian activities.
                (4) A description of the audits, examinations, and other
            efforts, such as on-site inspections, conducted by the United
            States during the fiscal year ending in the year preceding the
            year of the report to ensure that assistance provided under
            Cooperative Threat Reduction programs is fully accounted for and
            that such assistance is being used for its intended purpose,
            including--
                        (A) if such assistance consisted of equipment, a
                    description of the current location of such equipment
                    and the current condition of such equipment;
                        (B) if such assistance consisted of contracts or
                    other services, a description of the status of such
                    contracts or services and the methods used to ensure
                    that such contracts and services are being used for
                    their intended purpose;
                        (C) a determination whether the assistance described
                    in subparagraphs (A) and (B) has been used for its
                    intended purpose; and
                        (D) a description of the audits, examinations, and
                    other efforts planned to be carried out during the
                    fiscal year beginning in the year of the report to
                    ensure that Cooperative Threat Reduction assistance
                    provided during such fiscal year is fully accounted for
                    and is used for its intended purpose.
                (5) A current description of the tactical nuclear weapons
            arsenal of Russia, including--
                        (A) an estimate of the current types, numbers,
                    yields, viability, locations, and deployment status of
                    the nuclear warheads in that arsenal;
                        (B) an assessment of the strategic relevance of such
                    warheads;
                        (C) an assessment of the current and projected
                    threat of theft, sale, or unauthorized use of such
                    warheads; and
                        (D) a summary of past, current, and planned United
                    States efforts to work cooperatively with Russia to
                    account for, secure, and reduce Russia's stockpile of
                    tactical nuclear warheads and associated fissile
                    materials.

        (d) Input of DCI.--The Director of Central Intelligence shall submit
    to the Secretary of Defense the views of the Director on any matters
    covered by subsection (c)(5) in a report under subsection (a). Such
    views shall be included in such report as a classified annex to such
    report.

    [[Page 114 STAT. 1654A-343]]

        (e) Comptroller General Assessment.--Not later than 90 days after
    the date on which a report is submitted to Congress under subsection
    (a), the Comptroller General shall submit to Congress a report setting
    forth the Comptroller General's assessment of the information described
    in paragraphs (2) and (4) of subsection (c).
        (f ) First Report.--The first report submitted under subsection (a)
    shall be submitted in 2001.
        (g) Repeal of Superseded Reporting Requirements.--(1) The following
    provisions of law are repealed:
                (A) Section 1207 of the Cooperative Threat Reduction Act of
            1994 (title XII of Public Law 103-160; 107 Stat. 1782; 22 U.S.C.
            5956), relating to semiannual reports on Cooperative Threat
            Reduction.
                (B) Section 1203 of the National Defense Authorization Act
            for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2882),
            relating to a report accounting for United States assistance for
            Cooperative Threat Reduction.
                (C) Section 1206 of the National Defense Authorization Act
            for Fiscal Year 1996 (Public Law 104-106; 22 U.S.C. 5955 note),
            relating to accounting for United States assistance for
            Cooperative Threat Reduction.
                (D) Section 1307 of the National Defense Authorization Act
            for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 795),
            relating to a limitation on use of funds for Cooperative Threat
            Reduction pending submittal of a multiyear plan.

        (2) Effective on the date the Secretary of Defense submits to
    Congress an updated version of the multiyear plan for fiscal year 2001
    as described in subsection (h), section 1205 of the National Defense
    Authorization Act for Fiscal Year 1995 (108 Stat. 2883; 10 U.S.C. 5952
    note), relating to multiyear planning and Allied support for Cooperative
    Threat Reduction, is repealed.
        (3) Section 1312 of the National Defense Authorization Act for
    Fiscal Year 2000 (113 Stat. 796; 22 U.S.C. 5955 note), relating to
    Russian nonstrategic nuclear arms, is amended--
                (A) by striking ``(a) Sense of Congress.--''; and
                (B) by striking subsections (b) and (c).

        (h) Limitation on Use of Funds Until Submission of Multiyear Plan.--
    Not more than 10 percent of fiscal year 2001 Cooperative Threat
    Reduction funds may be obligated or expended until the Secretary of
    Defense submits to Congress an updated version of the multiyear plan for
    fiscal year 2001 required to be submitted under section 1205 of the
    National Defense Authorization Act for Fiscal Year 1995 (Public Law 103-
    337; 22 U.S.C. 5952 note).
        (i) Report on Russian Nonstrategic Nuclear Arms.--Not later than 30
    days after the date of the enactment of this Act, the Secretary of
    Defense shall submit to Congress a report on the following regarding
    Russia's arsenal of tactical nuclear warheads:
                (1) Estimates regarding current types, numbers, yields,
            viability, locations, and deployment status of the warheads.
                (2) An assessment of the strategic relevance of the
            warheads.
                (3) An assessment of the current and projected threat of
            theft, sale, or unauthorized use of the warheads.

    [[Page 114 STAT. 1654A-344]]

                (4) A summary of past, current, and planned United States
            efforts to work cooperatively with Russia to account for,
            secure, and reduce Russia's stockpile of tactical nuclear
            warheads and associated fissile material.

    SEC. 1309. RUSSIAN CHEMICAL WEAPONS ELIMINATION.

        (a) Sense of Congress.--It is the sense of Congress that the
    international community should, when practicable, assist Russia in
    eliminating its chemical weapons stockpile in accordance with Russia's
    obligations under the Chemical Weapons Convention, and that the level of
    such assistance should be based on--
                (1) full and accurate disclosure by Russia of the size of
            its existing chemical weapons stockpile;
                (2) a demonstrated annual commitment by Russia to allocate
            at least $25,000,000 to chemical weapons elimination;
                (3) development by Russia of a practical plan for destroying
            its stockpile of nerve agents;
                (4) enactment of a law by Russia that provides for the
            elimination of all nerve agents at a single site; and
                (5) an agreement by Russia to destroy its chemical weapons
            production facilities at Volgograd and Novocheboksark.

        (b) Report.--Not later than 90 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
    that identifies--
                (1) the amount spent by Russia for chemical weapons
            elimination during fiscal year 2000;
                (2) the specific assistance being provided to Russia by the
            international community for the safe storage and elimination of
            Russia's stockpile of nerve agents, including those nerve agents
            located at the Shchuch'ye depot;
                (3) the countries providing the assistance identified in
            paragraph (2); and
                (4) the value of the assistance that the international
            community has already provided and has committed to provide in
            future years for the purpose described in paragraph (2).

        (c) Chemical Weapons Convention Defined.--In this section, the term
    ``Chemical Weapons Convention'' means the Convention on the Prohibition
    of the Development, Production, Stockpiling and Use of Chemical Weapons
    and on Their Destruction, opened for signature on January 13, 1993.

    SEC. 1310. LIMITATION ON USE OF FUNDS FOR ELIMINATION OF WEAPONS GRADE
                PLUTONIUM PROGRAM.

        Of the amounts authorized to be appropriated by this Act for fiscal
    year 2001 for the Elimination of Weapons Grade Plutonium Program, not
    more than 50 percent of such amounts may be obligated or expended for
    the program in fiscal year 2001 until 30 days after the date on which
    the Secretary of Defense submits to the Committees on Armed Services of
    the Senate and House of Representatives a report on an agreement between
    the United States Government and the Government of the Russian
    Federation regarding a new option selected for the shut down or
    conversion of the reactors of the Russian Federation that produce
    weapons grade plutonium, including--
                (1) the new date on which such reactors will cease
            production of weapons grade plutonium under such agreement by
            reason of the shut down or conversion of such reactors; and

    [[Page 114 STAT. 1654A-345]]

                (2) any cost-sharing arrangements between the United States
            Government and the Government of the Russian Federation in
            undertaking activities under such agreement.

    SEC. 1311. REPORT ON AUDITS OF COOPERATIVE THREAT REDUCTION PROGRAMS.

        Not later than March 31, 2001, the Comptroller General shall submit
    to Congress a report examining the procedures and mechanisms with
    respect to audits by the Department of Defense of the use of funds for
    Cooperative Threat Reduction programs. The report shall examine the
    following:
                (1) Whether the audits being conducted by the Department of
            Defense are producing necessary information regarding whether
            assistance under such programs, including equipment provided and
            services furnished, is being used as intended.
                (2) Whether the audit procedures of the Department of
            Defense are adequate, including whether random samplings are
            used.

      TITLE XIV--COMMISSION TO ASSESS THE THREAT TO THE UNITED STATES FROM
                       ELECTROMAGNETIC PULSE (EMP) ATTACK

    Sec.1401.Establishment of commission.
    Sec.1402.Duties of commission.
    Sec.1403.Reports.
    Sec.1404.Powers.
    Sec.1405.Commission procedures.
    Sec.1406.Personnel matters.
    Sec.1407.Miscellaneous administrative provisions.
    Sec.1408.Funding.
    Sec.1409.Termination of the commission.

    SEC. 1401. ESTABLISHMENT OF COMMISSION.

        (a) Establishment.--There is hereby established a commission to be
    known as the ``Commission to Assess the Threat to the United States from
    Electromagnetic Pulse Attack'' (hereafter in this title referred to as
    the ``Commission'').
        (b) Composition.--The Commission shall be composed of nine members.
    Seven of the members shall be appointed by the Secretary of Defense and
    two of the members shall be appointed by the Director of the Federal
    Emergency Management Agency. In selecting individuals for appointment to
    the Commission, the Secretary of Defense shall consult with the chairmen
    and ranking minority members of the Committees on Armed Services of the
    Senate and House of Representatives.
        (c) Qualifications.--Members of the Commission shall be appointed
    from among private United States citizens with knowledge and expertise
    in the scientific, technical, and military aspects of electromagnetic
    pulse (hereafter in this title referred to as ``EMP'') effects resulting
    from the detonation of a nuclear weapon or weapons at high altitude,
    sometimes referred to as high-altitude electromagnetic pulse effects
    (HEMP).
        (d) Chairman of Commission.--The Secretary of Defense shall
    designate one of the members of the Commission to serve as chairman of
    the Commission.

    [[Page 114 STAT. 1654A-346]]

        (e) Period of Appointment; Vacancies.--Members shall be appointed
    for the life of the Commission. Any vacancy in the Commission shall be
    filled in the same manner as the original appointment.
        (f ) Security Clearances.--All members of the Commission shall hold
    appropriate security clearances.
        (g) Initial Organization Requirements.--All appointments to the
    Commission shall be made not later than 90 days after the date of the
    enactment of this Act. The Commission shall convene its first meeting
    not later than 60 days after the date as of which all members of the
    Commission have been appointed.

    SEC. 1402. DUTIES OF COMMISSION.

        (a) Review of EMP Threat.--The Commission shall assess--
                (1) the nature and magnitude of potential high-altitude EMP
            threats to the United States from all potentially hostile states
            or non-state actors that have or could acquire nuclear weapons
            and ballistic missiles enabling them to perform a high-altitude
            EMP attack against the United States within the next 15 years;
                (2) the vulnerability of United States military and
            especially civilian systems to an EMP attack, giving special
            attention to vulnerability of the civilian infrastructure as a
            matter of emergency preparedness;
                (3) the capability of the United States to repair and
            recover from damage inflicted on United States military and
            civilian systems by an EMP attack; and
                (4) the feasibility and cost of hardening select military
            and civilian systems against EMP attack.

        (b) Recommendation.--The Commission shall recommend any steps it
    believes should be taken by the United States to better protect its
    military and civilian systems from EMP attack.
        (c) Cooperation From Government Officials.--In carrying out its
    duties, the Commission should receive the full and timely cooperation of
    the Secretary of Defense, the Director of the Federal Emergency
    Management Agency, and any other United States Government official
    serving in the Department of Defense or Armed Forces in providing the
    Commission with analyses, briefings, and other information necessary for
    the fulfillment of its responsibilities.

    SEC. 1403. REPORTS.

        (a) Commission Report.--The Commission shall, not later than one
    year after the date of its first meeting, submit to Congress, the
    Secretary of Defense, and the Director of the Federal Emergency
    Management Agency a report on the Commission's findings and conclusions.
        (b) Secretary of Defense Report.--Not later than one year after the
    date of the Commission's report under subsection (a), the Secretary of
    Defense shall submit to Congress a report--
                (1) commenting on the Commission's findings and conclusions;
                (2) describing political-military scenarios that could
            possibly lead to an EMP attack against the United States;
                (3) evaluating the relative likelihood of an EMP attack
            against the United States compared to other threats involving
            nuclear weapons; and

    [[Page 114 STAT. 1654A-347]]

                (4) explaining what actions, if any, the Secretary intends
            to take to implement the recommendations of the Commission and
            the Secretary's reasons for doing so.

    SEC. 1404. POWERS.

        (a) Hearings.--The Commission or, at its direction, any panel or
    member of the Commission, may, for the purpose of carrying out the
    provisions of this title, hold hearings, take testimony, receive
    evidence, and administer oaths to the extent that the Commission or any
    panel or member considers advisable.
        (b) Information.--The Commission may secure directly from the
    Department of Defense, the Central Intelligence Agency, and any other
    Federal department or agency information that the Commission considers
    necessary to enable the Commission to carry out its responsibilities
    under this title.

    SEC. 1405. COMMISSION PROCEDURES.

        (a) Meetings.--The Commission shall meet at the call of the
    Chairman.
        (b) Quorum.--(1) Five members of the Commission shall constitute a
    quorum other than for the purpose of holding hearings.
        (2) The Commission shall act by resolution agreed to by a majority
    of the members of the Commission.
        (c) Commission.--The Commission may establish panels composed of
    less than full membership of the Commission for the purpose of carrying
    out the Commission's duties. The actions of each such panel shall be
    subject to the review and control of the Commission. Any findings and
    determinations made by such a panel shall not be considered the findings
    and determinations of the Commission unless approved by the Commission.
        (d) Authority of Individuals To Act for Commission.--Any agent or
    member of the Commission may, if authorized by the Commission, take any
    action which the Commission is authorized to take under this title.

    SEC. 1406. PERSONNEL MATTERS.

        (a) Pay of Members.--Members of the Commission shall serve without
    pay by reason of their work on the Commission.
        (b) Travel Expenses.--The members of the Commission shall be allowed
    travel expenses, including per diem in lieu of subsistence, at rates
    authorized for employees of agencies under subchapter I of chapter 57 of
    title 5, United States Code, while away from their homes or regular
    places of business in the performance of services for the Commission.
        (c) Staff.--(1) The chairman of the Commission may, without regard
    to the provisions of title 5, United States Code, governing appointments
    in the competitive service, appoint a staff director and such additional
    personnel as may be necessary to enable the Commission to perform its
    duties. The appointment of a staff director shall be subject to the
    approval of the Commission.
        (2) The chairman of the Commission may fix the pay of the staff
    director and other personnel without regard to the provisions of chapter
    51 and subchapter III of chapter 53 of title 5, United States Code,
    relating to classification of positions and General Schedule pay rates,
    except that the rate of pay fixed under this paragraph for the staff
    director may not exceed the rate payable for level V of the Executive
    Schedule under section 5316 of such

    [[Page 114 STAT. 1654A-348]]

    title and the rate of pay for other personnel may not exceed the maximum
    rate payable for grade GS-15 of the General Schedule.
        (d) Detail of Government Employees.--Upon request of the chairman of
    the Commission, the head of any Federal department or agency may detail,
    on a nonreimbursable basis, any personnel of that department or agency
    to the Commission to assist it in carrying out its duties.
        (e) Procurement of Temporary and Intermittent Services.--The
    chairman of the Commission may procure temporary and intermittent
    services under section 3109(b) of title 5, United States Code, at rates
    for individuals which do not exceed the daily equivalent of the annual
    rate of basic pay payable for level V of the Executive Schedule under
    section 5316 of such title.

    SEC. 1407. MISCELLANEOUS ADMINISTRATIVE PROVISIONS.

        (a) Postal and Printing Services.--The Commission may use the United
    States mails and obtain printing and binding services in the same manner
    and under the same conditions as other departments and agencies of the
    Federal Government.
        (b) Miscellaneous Administrative and Support Services.--The
    Secretary of Defense shall furnish the Commission, on a reimbursable
    basis, any administrative and support services requested by the
    Commission.

    SEC. 1408. FUNDING.

        Funds for activities of the Commission shall be provided from
    amounts appropriated for the Department of Defense for operation and
    maintenance for Defense-wide activities for fiscal year 2001. Upon
    receipt of a written certification from the Chairman of the Commission
    specifying the funds required for the activities of the Commission, the
    Secretary of Defense shall promptly disburse to the Commission, from
    such amounts, the funds required by the Commission as stated in such
    certification.

    SEC. 1409. TERMINATION OF THE COMMISSION.

        The Commission shall terminate 60 days after the date of the
    submission of its report under section 1403(a).

         TITLE XV--NAVY ACTIVITIES ON THE ISLAND OF VIEQUES, PUERTO RICO

    Sec.1501.Assistance for economic growth on Vieques.
    Sec.1502.Conveyance of Naval Ammunition Support Detachment, Vieques
               Island.
    Sec.1503.Determination regarding continuation of Navy training.
    Sec.1504.Actions if training is approved.
    Sec.1505.Requirements if training is not approved or mandate for
               referendum is vitiated.
    Sec.1506.Certain properties exempt from conveyance or transfer.
    Sec.1507.Moratorium on improvements at Fort Buchanan.
    Sec.1508.Transfer and management of Conservation Zones.

    SEC. 1501. ASSISTANCE FOR ECONOMIC GROWTH ON VIEQUES.

        (a) Authorization of Appropriations.--There is authorized to be
    appropriated to the Secretary of Defense for fiscal year 2000,
    $40,000,000 to be used to provide economic assistance for the people and
    communities of the island of Vieques, Puerto Rico, in accordance with
    the terms and conditions of the Vieques supplemental appropriation.

    [[Page 114 STAT. 1654A-349]]

        (b) Transfer Authority.--The Secretary of Defense may transfer
    amounts of authorizations made available to the Department of Defense in
    subsection (a) to any agency or office of the United States Government
    in order to implement the projects for which the Vieques supplemental
    appropriation is made available. The transfer authority under this
    section is in addition to any transfer authority provided in Public Law
    106-65 or any other Act.
        (c) Notice to Congress.--The advance notice required by the Vieques
    supplemental appropriation of each proposed transfer shall also be
    submitted to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives.
        (d) Definition.--In this section, the term ``Vieques supplemental
    appropriation'' means the paragraph under the heading ``Operation and
    Maintenance, Defense-Wide'' in chapter 1 of title I of the Emergency
    Supplemental Act, 2000 (division B of Public Law 106-246; 114 Stat.
    525).

    SEC. 1502. CONVEYANCE OF NAVAL AMMUNITION SUPPORT DETACHMENT, VIEQUES
                ISLAND.

        (a) Conveyance Required.--
                (1) Property to be conveyed.--The Secretary of the Navy
            shall convey, without consideration, to the Municipality of
            Vieques, Puerto Rico, all right, title, and interest of the
            United States in and to the land constituting the Naval
            Ammunition Support Detachment located on the western end of the
            island of Vieques, Puerto Rico, except for--
                        (A) the property that is exempt from conveyance
                    under section 1506;
                        (B) the property that is required to be transferred
                    to the Secretary of the Interior under section 1508(a);
                    and
                        (C) any property that is conveyed pursuant to
                    section 1508(b).
                (2) Time for conveyance.--The Secretary of the Navy shall
            complete the conveyance required by paragraph (1) not later than
            May 1, 2001.

        (b) Description of Property.--The Secretary of the Navy, in
    consultation with the Secretary of the Interior on issues relating to
    natural resource protection under section 1508, shall determine the
    exact acreage and legal description of the property required to be
    conveyed pursuant to subsection (a), including the legal description of
    any easements, rights of way, and other interests that are retained
    pursuant to section 1506.
        (c) Environmental Restoration.--
                (1) Objective of conveyance.--An important objective of the
            conveyance required by this section is to promote timely
            redevelopment of the conveyed property in a manner that enhances
            employment opportunities and economic redevelopment, consistent
            with all applicable environmental requirements and in full
            consultation with the Governor of Puerto Rico, for the benefit
            of the residents of the island of Vieques.
                (2) Conveyance despite response need.--If the Secretary of
            the Navy, by May 1, 2001, is unable to provide the covenant
            required by subparagraph (A)(ii)(I) of section 120(h)(3) of the
            Comprehensive Environmental Response, Compensation, and
            Liability Act of 1980 (42 U.S.C. 9620(h)(3)) with respect to the
            property to be conveyed, the Secretary shall still complete

    [[Page 114 STAT. 1654A-350]]

            the conveyance by that date, as required by subsection (a)(2).
            The Secretary shall remain responsible for completing all
            response actions required under such Act. Upon completion of
            such response actions, the Secretary shall execute and deliver
            to the transferee the warranty referred to in subparagraph
            (C)(iii) of such section. The completion of the response actions
            shall not be delayed on account of the conveyance.
                (3) Continued navy responsibility.--Consistent with existing
            Navy and legal requirements, the Secretary of the Navy shall
            remain responsible for the environmental condition of the
            property, and neither the Commonwealth of Puerto Rico nor the
            Municipality of Vieques shall be responsible for such condition
            existing at the time of the conveyance.
                (4) Savings clause.--All response actions with respect to
            the property to be conveyed shall take place in compliance with
            current law.

        (d) Control of Conveyed Property.--The government of the
    Municipality of Vieques, acting through the elected officials of that
    government, shall have the power to administer, manage, and control the
    property conveyed under subsection (a) in any manner determined by the
    government of the Municipality of Vieques as being most advantageous to
    the majority of the residents of the island of Vieques (consistent with
    the laws of the United States).
        (e) Indemnification.--
                (1) Entities and persons covered; extent.--(A) Except as
            provided in subparagraph (C), and subject to paragraph (2), the
            Secretary of Defense shall hold harmless, defend, and indemnify
            in full the persons and entities described in subparagraph (B)
            from and against any suit, claim, demand or action, liability,
            judgment, cost or other fee arising out of any claim for
            personal injury or property damage (including death, illness, or
            loss of or damage to property or economic loss) that results
            from, or is in any manner predicated upon, the release or
            threatened release (after the conveyance is made under
            subsection (a)) of any hazardous substance or pollutant or
            contaminant as a result of Department of Defense activities at
            those parts of the Naval Ammunition Support Detachment conveyed
            pursuant to subsection (a).
                (B) The persons and entities described in this paragraph are
            the following:
                        (i) The Commonwealth of Puerto Rico (including any
                    officer, agent, or employee of the Commonwealth of
                    Puerto Rico).
                        (ii) The Municipality of Vieques, Puerto Rico, and
                    any other political subdivision of the Commonwealth of
                    Puerto Rico that acquires such ownership or control
                    (including any officer, agent, or employee of that
                    Municipality or other political subdivision).
                        (iii) Any other person or entity that acquires such
                    ownership or control.
                        (iv) Any successor, assignee, transferee, lender, or
                    lessee of a person or entity described in clauses (i)
                    through (iii).
                (C) To the extent the persons and entities described in
            subparagraph (B) contributed to any such release or threatened
            release, subparagraph (A) shall not apply.

    [[Page 114 STAT. 1654A-351]]

                (2) Conditions on indemnification.--No indemnification may
            be afforded under this subsection unless the person or entity
            making a claim for indemnification--
                        (A) notifies the Secretary of Defense in writing
                    within two years after such claim accrues or begins
                    action within six months after the date of mailing, by
                    certified or registered mail, of notice of final denial
                    of the claim by the Secretary of Defense;
                        (B) furnishes to the Secretary of Defense copies of
                    pertinent papers the entity receives;
                        (C) furnishes evidence of proof of any claim, loss,
                    or damage covered by this subsection; and
                        (D) provides, upon request by the Secretary of
                    Defense, access to the records and personnel of the
                    entity for purposes of defending or settling the claim
                    or action.
                (3) Responsibilities of secretary of defense.--(A) In any
            case in which the Secretary of Defense determines that the
            Department of Defense may be required to make indemnification
            payments to a person under this subsection for any suit, claim,
            demand or action, liability, judgment, cost or other fee arising
            out of any claim for personal injury or property damage referred
            to in paragraph (1)(A), the Secretary may settle or defend, on
            behalf of that person, the claim for personal injury or property
            damage.
                (B) In any case described in subparagraph (A), if the person
            to whom the Department of Defense may be required to make
            indemnification payments does not allow the Secretary of Defense
            to settle or defend the claim, the person may not be afforded
            indemnification with respect to that claim under this
            subsection.
                (4) Accrual of action.--For purposes of paragraph (2)(A),
            the date on which a claim accrues is the date on which the
            plaintiff knew (or reasonably should have known) that the
            personal injury or property damage referred to in paragraph (1)
            was caused or contributed to by the release or threatened
            release of a hazardous substance or pollutant or contaminant as
            a result of Department of Defense activities at any part of the
            Naval Ammunition Support Detachment conveyed pursuant to
            subsection (a).
                (5) Relationship to other laws.--Nothing in this subsection
            shall be construed as affecting or modifying in any way
            subsection 120(h) of the Comprehensive Environmental Response,
            Compensation, and Liability Act of 1980 (42 U.S.C. 9620(h)).
                (6) Definitions.--In this subsection, the terms ``hazardous
            substance'', ``release'', and ``pollutant or contaminant'' have
            the meanings given such terms under paragraphs (9), (14), (22),
            and (33) of section 101 of the Comprehensive Environmental
            Response, Compensation, and Liability Act of 1980 (42 U.S.C.
            9601).

    SEC. 1503. DETERMINATION REGARDING CONTINUATION OF NAVY TRAINING.

        (a) Referendum.--
                (1) Requirement.--Except as provided in paragraph (2), the
            President shall provide for a referendum to be conducted on the
            island of Vieques, Puerto Rico, to determine by a majority

    [[Page 114 STAT. 1654A-352]]

            of the votes cast in the referendum by the Vieques electorate
            whether the people of Vieques approve or disapprove of the
            continuation of the conduct of live-fire training, and any other
            types of training, by the Armed Forces at the Navy's training
            sites on the island under the conditions described in subsection
            (d).
                (2) Exception.--If the Chief of Naval Operations and the
            Commandant of the Marine Corps jointly submit to the
            congressional defense committees, after the date of the
            enactment of this Act and before the date set forth in
            subsection (c), their certification that the Vieques Naval
            Training Range is no longer needed for training by the Navy and
            the Marine Corps, then the requirement for a referendum under
            paragraph (1) shall cease to be effective on the date on which
            the certification is submitted.

        (b) Prohibition of Other Propositions.--In the referendum under this
    section, no proposition or option may be presented as an alternative to
    the propositions of approval and of disapproval of the continuation of
    the conduct of training as described in subsection (a)(1).
        (c) Time for Referendum.--The referendum required under this section
    shall be held on May 1, 2001, or within 270 days before such date or 270
    days after such date. The Secretary of the Navy shall publicize the date
    set for the referendum 90 days before that date.
        (d) Required Training Conditions.--For the purposes of the
    referendum under this section, the conditions for the continuation of
    the conduct of training are those that are proposed by the Secretary of
    the Navy and publicized on the island of Vieques in connection with, and
    for a reasonable period in advance of, the referendum. The conditions
    shall include the following:
                (1) Live-fire training.--A condition that the training may
            include live-fire training.
                (2) Maximum annual days of use.--A condition that the
            training may be conducted on not more than 90 days each year.

        (e) Proclamation of Outcome.--Promptly after the referendum is
    completed under this section, the President shall determine, and issue a
    proclamation declaring, the outcome of the referendum. The President's
    determination shall be final, and the outcome of the referendum (as so
    determined) shall be binding.
        (f ) Vieques Electorate Defined.--
                (1) Registered voters.--In this section, the term ``Vieques
            electorate'', with respect to a referendum under this section,
            means the residents of the island of Vieques, Puerto Rico, who,
            on both dates specified in paragraph (2), are registered to vote
            in a general election held for casting ballots for the election
            of the Resident Commissioner of the Commonwealth of Puerto Rico.
                (2) Registration dates.--The dates referred to in paragraph
            (1) are as follows:
                        (A) November 7, 2000.
                        (B) The date that is 180 days before the date of the
                    referendum under this section.

    [[Page 114 STAT. 1654A-353]]

    SEC. 1504. ACTIONS IF TRAINING IS APPROVED.

        (a) Condition for Effectiveness.--This section shall take effect on
    the date on which the President issues a proclamation under subsection
    (e) of section 1503 declaring that the continuation of the conduct of
    training (including live-fire training) by the Armed Forces at the
    Navy's training sites on the island of Vieques, Puerto Rico, under the
    conditions described in subsection (d) of such section, has been
    approved in the referendum conducted under such section.
        (b) Authorization of Appropriations for Additional Economic
    Assistance.--There is authorized to be appropriated to the President
    $50,000,000 to provide economic assistance for the people and
    communities of the island of Vieques. This authorization of
    appropriations is in addition to the amount authorized to appropriated
    to provide economic assistance under section 1501.
        (c) Training Range To Remain Open.--The Vieques Naval Training Range
    shall remain available for the use of the Armed Forces, including for
    live-fire training.

    SEC. 1505. REQUIREMENTS IF TRAINING IS NOT APPROVED OR MANDATE FOR
                REFERENDUM IS VITIATED.

        (a) Conditions for Effectiveness.--This section shall take effect on
    the date on which either of the following occurs:
                (1) The President issues a proclamation under subsection (e)
            of section 1503 declaring that the continuation of the conduct
            of training (including live-fire training) by the Armed Forces
            at the Navy's training sites on the island of Vieques, Puerto
            Rico, under the conditions described in subsection (d) of such
            section, has not been approved in the referendum conducted under
            such section.
                (2) The requirement for a referendum under section 1503
            ceases to be effective pursuant to subsection (a)(2) of such
            section.

        (b) Actions Required of Secretary of Defense.--
                (1) Termination of operation.--Not later than May 1, 2003,
            the Secretary of Defense shall--
                        (A) terminate all Navy and Marine Corps training
                    operations on the island of Vieques; and
                        (B) terminate all Navy and Marine Corps operations
                    at Naval Station Roosevelt Roads, Puerto Rico, that are
                    related exclusively to the use of the training range on
                    the island of Vieques by the Navy and the Marine Corps.
                (2) Relocation of units.--The Secretary of Defense may
            relocate the units of the Armed Forces (other than those of the
            reserve components) and activities of the Department of Defense
            (including nonappropriated fund activities) at Fort Buchanan,
            Puerto Rico, to Naval Station Roosevelt Roads, Puerto Rico, to
            ensure maximum utilization of capacity.
                (3) Closure of installations and facilities.--The Secretary
            of Defense shall close the Department of Defense installations
            and facilities on the island of Vieques, other than properties
            exempt from conveyance and transfer under section 1506.

        (c) Actions Required of Secretary of the Navy.--The Secretary of the
    Navy shall transfer, without reimbursement, to the administrative
    jurisdiction of the Secretary of the Interior--
                (1) the Live Impact Area on the island of Vieques;

    [[Page 114 STAT. 1654A-354]]

                (2) all Department of Defense real properties on the eastern
            side of the island that are identified as conservation zones;
            and
                (3) all other Department of Defense real properties on the
            eastern side of the island.

        (d) Actions Required of Secretary of the Interior.--
                (1) Retention and administration.--The Secretary of the
            Interior shall retain, and may not dispose of any of, the
            properties transferred under paragraphs (2) and (3) of
            subsection (c) and shall administer such properties as wildlife
            refuges under the National Wildlife Refuge System Administration
            Act of 1966 (16 U.S.C. 668dd et seq.) pending the enactment of a
            law that addresses the disposition of such properties.
                (2) Responsibility for Live Impact Area.--Upon a termination
            of Navy and Marine Corps training operations on the island of
            Vieques under subsection (b)(1), the Secretary of the Interior
            shall assume responsibility for the administration of the Live
            Impact Area, administer that area as a wilderness area under the
            Wilderness Act (16 U.S.C. 1131 et seq.), and deny public access
            to the area.
                (3) Live Impact Area Defined.--In this section, the term
            ``Live Impact Area'' means the parcel of real property,
            consisting of approximately 900 acres (more or less), on the
            island of Vieques that is designated by the Secretary of the
            Navy for targeting by live ordnance in the training of forces of
            the Navy and Marine Corps.

        (e) GAO Review.--
                (1) Requirement for review.--The Comptroller General shall
            review the requirement for the continued use of Fort Buchanan,
            Puerto Rico, by active Army forces and shall submit to the
            congressional defense committees a report containing--
                        (A) the findings resulting from the review; and
                        (B) recommendations regarding the closure of Fort
                    Buchanan and the consolidation of units of the Armed
                    Forces to Naval Station Roosevelt Roads, Puerto Rico.
                (2) Time for submittal of report.--The Comptroller General
            shall submit the report under paragraph (1) not later than one
            year after the date on which the referendum under section 1503
            is conducted or one year after the date on which a certification
            is submitted to the congressional defense committees under
            subsection (a)(2) of such section, as the case may be.

    SEC. 1506. CERTAIN PROPERTIES EXEMPT FROM CONVEYANCE OR TRANSFER.

        (a) Exempt Property.--The Department of Defense properties and
    property interests described in subsection (b) may not be conveyed or
    transferred out of the Department of Defense under this title.
        (b) Properties Described.--The exemption under subsection (a)
    applies to the following Department of Defense properties and property
    interests on the island of Vieques, Puerto Rico:
                (1) ROTHR site.--The site for relocatable over-the-horizon
            radar.
                (2) Telecommunications sites.--The Mount Pirata
            telecommunications sites.

    [[Page 114 STAT. 1654A-355]]

                (3) Associated interests.--Any easements, rights-of-way, and
            other interests in property that the Secretary of the Navy
            determines necessary for--
                        (A) ensuring access to the properties referred to in
                    paragraphs (1) and (2);
                        (B) providing utilities for such properties;
                        (C) ensuring the security of such properties; and
                        (D) ensuring effective maintenance and operations on
                    such properties.
                (4) Remediation activities.--Any easements, rights-of-way,
            and other interests in property that the Secretary of the Navy
            determines necessary for protecting human health and the
            environment in the discharge of the Secretary's responsibilities
            for environmental remediation under section 1502(c), until such
            time as these responsibilities are completed.

    SEC. 1507. MORATORIUM ON IMPROVEMENTS AT FORT BUCHANAN.

        (a) In General.--Except as provided in subsection (b), no
    acquisition, construction, conversion, rehabilitation, extension, or
    improvement of any facility at Fort Buchanan, Puerto Rico, may be
    initiated or continued on or after the date of the enactment of this
    Act.
        (b) Exceptions.--The prohibition in subsection (a) does not apply to
    the following:
                (1) Actions necessary to maintain the existing facilities
            (including utilities) at Fort Buchanan.
                (2) The construction of reserve component and
            nonappropriated fund facilities authorized before the date of
            the enactment of this Act.

        (c) Termination.--This section shall cease to be effective upon the
    issuance of a proclamation described in section 1504(a) or the enactment
    of a law, after the date of the enactment of this Act, that authorizes
    any acquisition, construction, conversion, rehabilitation, extension, or
    improvement of any facility at Fort Buchanan, Puerto Rico.

    SEC. 1508. TRANSFER AND MANAGEMENT OF CONSERVATION ZONES.

        (a) Transfer to Secretary of the Interior.--
                (1) Transfer required.--Except as provided in section 1506,
            the Secretary of the Navy shall transfer, without reimbursement,
            to the administrative jurisdiction of the Secretary of the
            Interior all Department of Defense real properties on the
            western end of the Vieques Island, consisting of a total of
            approximately 3,100 acres, that are designated as Conservation
            Zones in section IV of the 1983 Memorandum of Understanding
            between the Commonwealth of Puerto Rico and the Secretary of the
            Navy.
                (2) Time for transfer.--The Secretary of the Navy shall
            complete the transfer required by paragraph (1) not later than
            May 1, 2001.

        (b) Conveyance to Conservation Trust.--
                (1) Conveyance required.--Except as provided in section 1506
            and subject to paragraph (2), the Secretary of the Navy shall
            convey, without consideration, to the Puerto Rico Conservation
            Trust the additional Conservation Zones, consisting of a total
            of approximately 800 acres, identified in Alternative 1 in the
            Draft Environmental Assessment for the proposed transfer of
            Naval Ammunition Support Detachment property,

    [[Page 114 STAT. 1654A-356]]

            Vieques, Puerto Rico, prepared by the Department of the Navy, as
            described in the Federal Register of August 28, 2000 (65 Fed.
            Reg. 52100).
                (2) Time for conveyance.--The Secretary of the Navy shall
            complete the conveyance required by paragraph (1) not later than
            May 1, 2001, except that paragraph (1) shall apply only to those
            portions of the lands described in such paragraph that the
            Commonwealth of Puerto Rico, the Secretary of the Interior, and
            the Puerto Rico Conservation Trust mutually agree, before that
            date, to--
                        (A) include in the cooperative agreement under
                    subsection (d)(2); and
                        (B) manage under standards consistent with the
                    standards in subsection (c) applicable to the lands
                    transferred under subsection (a).

        (c) Administration of Properties as Wildlife Refuges.--The Secretary
    of the Interior shall administer as wildlife refuges under the National
    Wildlife Refuge System Administration Act of 1966 (16 U.S.C. 668dd et
    seq.) the Conservation Zones transferred to the Secretary under
    subsection (a).
        (d) Cooperative Agreement.--
                (1) Required; parties.--The Secretary of the Interior shall
            manage the Conservation Zones transferred under subsection (a)
            pursuant to a cooperative agreement among the Commonwealth of
            Puerto Rico, the Puerto Rico Conservation Trust, and the
            Secretary of the Interior.
                (2) Inclusion of adjacent areas.--Areas adjacent to the
            Conservation Zones transferred under subsection (a) shall be
            considered for inclusion under the cooperative agreement.
            Subject to the mutual agreement of the Commonwealth of Puerto
            Rico, the Secretary of the Interior, and the Puerto Rico
            Conservation Trust, such adjacent areas may be included under
            the cooperative agreement, except that the total acreage so
            included under this paragraph may not exceed 800 acres. This
            determination of inclusion of lands shall be incorporated into
            the cooperative agreement process as set forth in paragraph (4).
                (3) Sea grass area.--The Sea Grass Area west of Mosquito
            Pier, as identified in the 1983 Memorandum of Understanding
            between the Commonwealth of Puerto Rico and the Secretary of the
            Navy, shall be included in the cooperative agreement to be
            protected under the laws of the United States and the laws of
            the Commonwealth of Puerto Rico.
                (4) Management purposes.--All lands covered by the
            cooperative agreement shall be managed to protect and preserve
            the natural resources of the lands in perpetuity. The
            Commonwealth of Puerto Rico, the Puerto Rico Conservation Trust,
            and the Secretary of the Interior shall follow all applicable
            Federal environmental laws during the creation and any
            subsequent amendment of the cooperative agreement, including the
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
            seq.), the Endangered Species Act of 1973 (16 U.S.C. 1531 et
            seq.), and the National Historic Preservation Act (16 U.S.C. 470
            et seq.).
                (5) Completion and implementation.--The cooperative
            agreement shall be completed not later than May 1, 2001. The
            Secretary of the Interior shall implement the terms and

    [[Page 114 STAT. 1654A-357]]

            conditions of the cooperative agreement, which can only be
            amended by agreement of the Commonwealth of Puerto Rico, the
            Puerto Rico Conservation Trust, and the Secretary of the
            Interior.

    TITLE XVI--GI BILL EDUCATIONAL ASSISTANCE AND VETERANS CLAIMS ASSISTANCE

                     Subtitle A--Veterans Education Benefits

    Sec.1601.Additional opportunity for certain VEAP participants to enroll
               in basic educational assistance under Montgomery GI Bill.
    Sec.1602.Modification of authority to pay tuition for off-duty training
               and education.

                     Subtitle B--Veterans Claims Assistance

    Sec.1611.Clarification of Department of Veterans Affairs duty to assist.

                     Subtitle A--Veterans Education Benefits

    SEC. 1601. ADDITIONAL OPPORTUNITY FOR CERTAIN VEAP PARTICIPANTS TO
                ENROLL IN BASIC EDUCATIONAL ASSISTANCE UNDER MONTGOMERY GI
                BILL.

        (a) Special Enrollment Period.--Section 3018C of title 38, United
    States Code, is amended by adding at the end the following new
    subsection:
        ``(e)(1) A qualified individual (described in paragraph (2)) may
    make an irrevocable election under this subsection, during the one-year
    period beginning on the date of the enactment of this subsection, to
    become entitled to basic educational assistance under this chapter. Such
    an election shall be made in the same manner as elections made under
    subsection (a)(5).
        ``(2) A qualified individual referred to in paragraph (1) is an
    individual who meets each of the following requirements:
                ``(A) The individual was a participant in the educational
            benefits program under chapter 32 of this title on or before
            October 9, 1996.
                ``(B) The individual has continuously served on active duty
            since October 9, 1996 (excluding the periods referred to in
            section 3202(1)(C) of this title), through at least April, 1,
            2000.
                ``(C) The individual meets the requirements of subsection
            (a)(3).
                ``(D) The individual, when discharged or released from
            active duty, is discharged or released therefrom with an
            honorable discharge.

        ``(3)(A) Subject to the succeeding provisions of this paragraph,
    with respect to a qualified individual who makes an election under
    paragraph (1) to become entitled to basic education assistance under
    this chapter--
                ``(i) the basic pay of the qualified individual shall be
            reduced (in a manner determined by the Secretary concerned)
            until the total amount by which such basic pay is reduced is
            $2,700; and
                ``(ii) to the extent that basic pay is not so reduced before
            the qualified individual's discharge or release from active duty

    [[Page 114 STAT. 1654A-358]]

            as specified in subsection (a)(4), at the election of the
            qualified individual--
                        ``(I) the Secretary concerned shall collect from the
                    qualified individual, or
                        ``(II) the Secretary concerned shall reduce the
                    retired or retainer pay of the qualified individual by,
            an amount equal to the difference between $2,700 and the total
            amount of reductions under clause (i), which shall be paid into
            the Treasury of the United States as miscellaneous receipts.

        ``(B)(i) The Secretary concerned shall provide for an 18-month
    period, beginning on the date the qualified individual makes an election
    under paragraph (1), for the qualified individual to pay that Secretary
    the amount due under subparagraph (A).
        ``(ii) Nothing in clause (i) shall be construed as modifying the
    period of eligibility for and entitlement to basic education assistance
    under this chapter applicable under section 3031 of this title.
        ``(C) The provisions of subsection (c) shall apply to individuals
    making elections under this subsection in the same manner as they
    applied to individuals making elections under subsection (a)(5).
        ``(4) With respect to qualified individuals referred to in paragraph
    (3)(A)(ii), no amount of educational assistance allowance under this
    chapter shall be paid to the qualified individual until the earlier of
    the date on which--
                ``(A) the Secretary concerned collects the applicable amount
            under subparagraph (I) of such paragraph, or
                ``(B) the retired or retainer pay of the qualified
            individual is first reduced under subparagraph (II) of such
            paragraph.

        ``(5) The Secretary, in conjunction with the Secretary of Defense,
    shall provide for notice to participants in the educational benefits
    program under chapter 32 of this title of the opportunity under this
    section to elect to become entitled to basic educational assistance
    under this chapter.''.
        (b) Conforming Amendment.--Section 3018C(b) of such title is amended
    by striking ``subsection (a)'' and inserting ``subsection (a) or (e)''.

    SEC. 1602. MODIFICATION OF AUTHORITY TO PAY TUITION FOR OFF-DUTY
                TRAINING AND EDUCATION.

        (a) Authority To Pay All Charges.--Section 2007 of title 10, United
    States Code, is amended--
                (1) by striking subsections (a) and (b) and inserting the
            following new subsections:

        ``(a) Subject to subsection (b), the Secretary of a military
    department may pay all or a portion of the charges of an educational
    institution for the tuition or expenses of a member of the armed forces
    enrolled in such educational institution for education or training
    during the member's off-duty periods.
        ``(b) In the case of a commissioned officer on active duty, the
    Secretary of the military department concerned may not pay charges under
    subsection (a) unless the officer agrees to remain on active duty for a
    period of at least two years after the completion of the training or
    education for which the charges are paid.''; and
                (2) in subsection (d)--
                        (A) by striking ``(within the limits set forth in
                    subsection (a))'' in the matter preceding paragraph (1);
                    and

    [[Page 114 STAT. 1654A-359]]

                        (B) in paragraph (3), by striking ``subsection
                    (a)(3)'' and inserting ``subsection (b)''.

        (b) Use of Entitlement to Assistance under Montgomery GI Bill for
    Payment of Charges.--(1) That section is further amended by adding at
    the end the following new subsection:
        ``(e)(1) A member of the armed forces who is entitled to basic
    educational assistance under chapter 30 of title 38 may use such
    entitlement for purposes of paying any portion of the charges described
    in subsection (a) or (c) that are not paid for by the Secretary of the
    military department concerned under such subsection.
        ``(2) The use of entitlement under paragraph (1) shall be governed
    by the provisions of section 3014(b) of title 38.''.
        (2) Section 3014 of title 38, United States Code, is amended--
                (A) by inserting ``(a)'' before ``The Secretary''; and
                (B) by adding at the end the following new subsection:

        ``(b)(1) In the case of an individual entitled to basic educational
    assistance who is pursuing education or training described in subsection
    (a) or (c) of section 2007 of title 10, the Secretary shall, at the
    election of the individual, pay the individual a basic educational
    assistance allowance to meet all or a portion of the charges of the
    educational institution for the education or training that are not paid
    by the Secretary of the military department concerned under such
    subsection.
        ``(2)(A) The amount of the basic educational assistance allowance
    payable to an individual under this subsection for a month shall be the
    amount of the basic educational assistance allowance to which the
    individual would be entitled for the month under section 3015 of this
    title (without regard to subsection (g) of that section) were payment
    made under that section instead of under this subsection.
        ``(B) The maximum number of months for which an individual may be
    paid a basic educational assistance allowance under paragraph (1) is
    36.''.
        (3) Section 3015 of title 38, United States Code, is amended--
                (A) by striking ``subsection (g)'' each place it appears in
            subsections (a) and (b);
                (B) by redesignating subsection (g) as subsection (h); and
                (C) by inserting after subsection (f ) the following new
            subsection (g):

        ``(g) In the case of an individual who has been paid a basic
    educational assistance allowance under section 3014(b) of this title,
    the rate of the basic educational assistance allowance applicable to the
    individual under this section shall be the rate otherwise applicable to
    the individual under this section reduced by an amount equal to--
                ``(1) the aggregate amount of such allowances paid the
            individual under such section 3014(b); divided by
                ``(2) 36.''.

                     Subtitle B--Veterans Claims Assistance

    SEC. 1611. CLARIFICATION OF DEPARTMENT OF VETERANS AFFAIRS DUTY TO
                ASSIST.

        (a) In General.--Section 5107 of title 38, United States Code, is
    amended to read as follows:

    [[Page 114 STAT. 1654A-360]]

    ``Sec. 5107 Assistance to claimants; benefit of the doubt; burden of
                            proof

        ``(a) The Secretary shall assist a claimant in developing all facts
    pertinent to a claim for benefits under this title. Such assistance
    shall include requesting information as described in section 5106 of
    this title. The Secretary shall provide a medical examination when such
    examination may substantiate entitlement to the benefits sought. The
    Secretary may decide a claim without providing assistance under this
    subsection when no reasonable possibility exists that such assistance
    will aid in the establishment of entitlement.
        ``(b) The Secretary shall consider all evidence and material of
    record in a case before the Department with respect to benefits under
    laws administered by the Secretary and shall give the claimant the
    benefit of the doubt when there is an approximate balance of positive
    and negative evidence regarding any issue material to the determination
    of the matter.
        ``(c) Except when otherwise provided by this title or by the
    Secretary in accordance with the provisions of this title, a person who
    submits a claim for benefits under a law administered by the Secretary
    shall have the burden of proof.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 51 of that title is amended by striking the item relating to
    section 5017 and inserting the following new item:

    ``5107 Assistance to claimants; benefit of the doubt; burden of
               proof.''.

                     TITLE XVII--ASSISTANCE TO FIREFIGHTERS

    Sec.1701.Firefighter assistance.
    Sec.1702.Volunteer fire assistance program.
    Sec.1703.Burn research.
    Sec.1704.Study and demonstration projects regarding cases of hepatitis C
               among certain emergency response employees.
    Sec.1705.Report on progress on spectrum sharing.
    Sec.1706.Sale or donation of excess defense property to assist
               firefighting agencies.
    Sec.1707.Identification of defense technologies suitable for use, or
               conversion for use, in providing fire and emergency medical
               services.

    SEC. 1701. FIREFIGHTER ASSISTANCE.

        (a) In General.--The Federal Fire Prevention and Control Act of 1974
    (15 U.S.C. 2201 et seq.) is amended by adding at the end the following
    new section:

    ``SEC. 33. FIREFIGHTER ASSISTANCE.

        ``(a) Definition of Firefighting Personnel.--In this section, the
    term `firefighting personnel' means individuals, including volunteers,
    who are firefighters, officers of fire departments, or emergency medical
    service personnel of fire departments.
        ``(b) Assistance Program.--
                ``(1) Authority.--In accordance with this section, the
            Director may--
                        ``(A) make grants on a competitive basis directly to
                    fire departments of a State, in consultation with the
                    chief executive of the State, for the purpose of
                    protecting the health and safety of the public and
                    firefighting personnel against fire and fire-related
                    hazards; and

    [[Page 114 STAT. 1654A-361]]

                        ``(B) provide assistance for fire prevention
                    programs in accordance with paragraph (4).
                ``(2) Office for administration of assistance.--
                        ``(A) Establishment.--Before providing assistance
                    under paragraph (1), the Director shall establish an
                    office in the Federal Emergency Management Agency to
                    administer the assistance under this section.
                        ``(B) Included duties.--The duties of the office
                    shall include the following:
                              ``(i) Recipient selection criteria.--To
                          establish specific criteria for the selection of
                          recipients of the assistance under this section.
                              ``(ii) Grant-writing assistance.--To provide
                          grant-writing assistance to applicants.
                ``(3) Use of fire department grant funds.--The Director may
            make a grant under paragraph (1)(A) only if the applicant for
            the grant agrees to use the grant funds--
                        ``(A) to hire additional firefighting personnel;
                        ``(B) to train firefighting personnel in
                    firefighting, emergency response, arson prevention and
                    detection, or the handling of hazardous materials, or to
                    train firefighting personnel to provide any of the
                    training described in this subparagraph;
                        ``(C) to fund the creation of rapid intervention
                    teams to protect firefighting personnel at the scenes of
                    fires and other emergencies;
                        ``(D) to certify fire inspectors;
                        ``(E) to establish wellness and fitness programs for
                    firefighting personnel to ensure that the firefighting
                    personnel can carry out their duties;
                        ``(F) to fund emergency medical services provided by
                    fire departments;
                        ``(G) to acquire additional firefighting vehicles,
                    including fire trucks;
                        ``(H) to acquire additional firefighting equipment,
                    including equipment for communications and monitoring;
                        ``(I) to acquire personal protective equipment
                    required for firefighting personnel by the Occupational
                    Safety and Health Administration, and other personal
                    protective equipment for firefighting personnel;
                        ``(J) to modify fire stations, fire training
                    facilities, and other facilities to protect the health
                    and safety of firefighting personnel;
                        ``(K) to enforce fire codes;
                        ``(L) to fund fire prevention programs;
                        ``(M) to educate the public about arson prevention
                    and detection; or
                        ``(N) to provide incentives for the recruitment and
                    retention of volunteer firefighting personnel for
                    volunteer firefighting departments and other
                    firefighting departments that utilize volunteers.
                ``(4) Fire prevention programs.--
                        ``(A) In general.--For each fiscal year, the
                    Director shall use not less than 5 percent of the funds
                    made available under subsection (e)--
                              ``(i) to make grants to fire departments for
                          the purpose described in paragraph (3)(L); and

    [[Page 114 STAT. 1654A-362]]

                              ``(ii) to make grants to, or enter into
                          contracts or cooperative agreements with,
                          national, State, local, or community organizations
                          that are recognized for their experience and
                          expertise with respect to fire prevention or fire
                          safety programs and activities, for the purpose of
                          carrying out fire prevention programs.
                        ``(B) Priority.--In selecting organizations
                    described in subparagraph (A)(ii) to receive assistance
                    under this paragraph, the Director shall give priority
                    to organizations that focus on prevention of injuries to
                    children from fire.
                ``(5) Application.--The Director may provide assistance to a
            fire department or organization under this subsection only if
            the fire department or organization seeking the assistance
            submits to the Director an application that meets the following
            requirements:
                        ``(A) Form.--The application shall be in such form
                    as the Director may require.
                        ``(B) Information.--The application shall include
                    the following information:
                              ``(i) Financial need.--Information that
                          demonstrates the financial need of the applicant
                          for the assistance for which applied.
                              ``(ii) Cost-benefit analysis.--An analysis of
                          the costs and benefits, with respect to public
                          safety, of the use of the assistance.
                              ``(iii) Reporting systems data.--An agreement
                          to provide information to the national fire
                          incident reporting system for the period covered
                          by the assistance.
                              ``(iv) Other information.--Any other
                          information that the Director may require.
                ``(6) Matching requirement.--
                        ``(A) In general.--Subject to subparagraph (B), the
                    Director may provide assistance under this subsection
                    only if the applicant for the assistance agrees to match
                    with an equal amount of non-Federal funds 30 percent of
                    the assistance received under this subsection for any
                    fiscal year.
                        ``(B) Requirement for small community
                    organizations.--In the case of an applicant whose
                    personnel serve jurisdictions of 50,000 or fewer
                    residents, the percent applied under the matching
                    requirement of subparagraph (A) shall be 10 percent.
                ``(7) Maintenance of expenditures.--The Director may provide
            assistance under this subsection only if the applicant for the
            assistance agrees to maintain in the fiscal year for which the
            assistance will be received the applicant's aggregate
            expenditures for the uses described in paragraph (3) or (4) at
            or above the average level of such expenditures in the two
            fiscal years preceding the fiscal year for which the assistance
            will be received.
                ``(8) Report to the director.--The Director may provide
            assistance under this subsection only if the applicant for the
            assistance agrees to submit to the Director a report, including
            a description of how the assistance was used, with respect to
            each fiscal year for which the assistance was received.
                ``(9) Variety of fire department grant recipients.--The
            Director shall ensure that grants under paragraph (1)(A)

    [[Page 114 STAT. 1654A-363]]

            for a fiscal year are made to a variety of fire departments,
            including, to the extent that there are eligible applicants--
                        ``(A) paid, volunteer, and combination fire
                    departments;
                        ``(B) fire departments located in communities of
                    varying sizes; and
                        ``(C) fire departments located in urban, suburban,
                    and rural communities.
                ``(10) Grant Limitations.--
                        ``(A) Recipient limitation.--A grant recipient under
                    this section may not receive more than $750,000 under
                    this section for any fiscal year.
                        ``(B) Limitation on expenditures for firefighting
                    vehicles.--Not more than 25 percent of the funds
                    appropriated to provide grants under this section for a
                    fiscal year may be used to assist grant recipients to
                    purchase vehicles, as authorized by paragraph (3)(G).
                ``(11) Reservation of grant funds for volunteer
            departments.--In making grants to firefighting departments, the
            Director shall ensure that those firefighting departments that
            have either all-volunteer forces of firefighting personnel or
            combined forces of volunteer and professional firefighting
            personnel receive a proportion of the total grant funding that
            is not less than the proportion of the United States population
            that those firefighting departments protect.

        ``(c) Audits.--A recipient of a grant under this section shall be
    subject to audits to ensure that the grant proceeds are expended for the
    intended purposes and that the grant recipient complies with the
    requirements of paragraphs (6) and (7) of subsection (b).
        ``(d) State Defined.--In this section, the term `State' includes the
    District of Columbia and the Commonwealth of Puerto Rico.
        ``(e) Authorization of Appropriations.--There are authorized to be
    appropriated for the purposes of this section amounts as follows:
                ``(1) $100,000,000 for fiscal year 2001.
                ``(2) $300,000,000 for fiscal year 2002.''.

        (b) Study on Need for Federal Assistance to State and Local
    Communities To Fund Firefighting and Emergency Response Activities.--
                (1) Requirement for study.--The Director of the Federal
            Emergency Management Agency shall conduct a study in conjunction
            with the National Fire Protection Association to--
                        (A) define the current role and activities
                    associated with the fire services;
                        (B) determine the adequacy of current levels of
                    funding; and
                        (C) provide a needs assessment to identify
                    shortfalls.
                (2) Time for completion of study; report.--The Director
            shall complete the study under paragraph (1), and submit a
            report on the results of the study to Congress, within 18 months
            after the date of the enactment of this Act.
                (3) Authorization of appropriations.--There are authorized
            to be appropriated to the Federal Emergency Management Agency
            $300,000 for fiscal year 2001 to carry out the study required by
            paragraph (1).

    [[Page 114 STAT. 1654A-364]]

    SEC. 1702. VOLUNTEER FIRE ASSISTANCE PROGRAM.

        (a) In General.--There are authorized to be appropriated to the
    Secretary of Agriculture for carrying out paragraphs (1) through (3) of
    section 10(b) of the Cooperative Forestry Assistance Act of 1978 (16
    U.S.C. 2106(b)(1)-(3)) amounts as follows:
                (1) $10,000,000 for fiscal year 2001.
                (2) $20,000,000 for fiscal year 2002.

        (b) Report.--
                (1) In general.--The Secretary of Agriculture shall submit a
            report to Congress on the results of the assistance provided
            under the provisions of law for which funds are authorized for
            appropriations under subsection (a).
                (2) Content.--The report shall contain the following:
                        (A) A list of the organizations that received funds
                    authorized for appropriations under subsection (a) and
                    the purpose for which those organizations were provided
                    the funds.
                        (B) Efforts taken to ensure that potential
                    recipients are provided with information necessary to
                    develop an effective application.
                        (C) The Secretary's assessment regarding the
                    appropriate level of funding that should be provided
                    annually through the assistance program.
                        (D) The Secretary's assessment regarding the
                    appropriate purposes for such assistance.
                        (E) Any other information the Secretary determines
                    necessary.
                (3) Submission date.--The report shall be submitted not
            later than February 1, 2002.

    SEC. 1703. BURN RESEARCH.

        (a) Office.--The Director of the Federal Emergency Management Agency
    shall establish an office in the Agency to establish specific criteria
    of grant recipients and to administer grants under this section.
        (b) Safety Organization Grants.--The Director may make grants, on a
    competitive basis, to safety organizations that have experience in
    conducting burn safety programs for the purpose of assisting those
    organizations in conducting burn prevention programs or augmenting
    existing burn prevention programs.
        (c) Hospital Grants.--The Director may make grants, on a competitive
    basis, to hospitals that serve as regional burn centers to conduct acute
    burn care research.
        (d) Other Grants.--The Director may make grants, on a competitive
    basis, to governmental and nongovernmental entities to provide after-
    burn treatment and counseling to individuals that are burn victims.
        (e) Report.--
                (1) In general.--The Director of the Federal Emergency
            Management Agency shall submit a report to the Committee on
            Commerce, Science, and Transportation of the Senate and the
            Committee on Transportation and Infrastructure of the House of
            Representatives on the results of the grants provided under this
            section.
                (2) Content.--The report shall contain the following:

    [[Page 114 STAT. 1654A-365]]

                        (A) A list of the organizations, hospitals, or other
                    entities to which the grants were provided and the
                    purpose for which those entities were provided grants.
                        (B) Efforts taken to ensure that potential grant
                    applicants are provided with information necessary to
                    develop an effective application.
                        (C) The Director's assessment regarding the
                    appropriate level of funding that should be provided
                    annually through the grant program.
                        (D) The Director's assessment regarding the
                    appropriate purposes for such grants.
                        (E) Any other information the Director determines
                    necessary.
                (3) Submission date.--The report shall be submitted not
            later than February 1, 2002.

        (f ) Authorization of Appropriations.--There are authorized to be
    appropriated for the purposes of this section amounts as follows:
                (1) $10,000,000 for fiscal year 2001.
                (2) $20,000,000 for fiscal year 2002.

    SEC. 1704. STUDY AND DEMONSTRATION PROJECTS REGARDING CASES OF HEPATITIS
                C AMONG CERTAIN EMERGENCY RESPONSE EMPLOYEES.

        (a) Study Regarding Prevalence Among Certain Emergency Response
    Employees.--
                (1) In general.--The Secretary of Health and Human Services
            (referred to in this section as the ``Secretary''), in
            consultation with the Secretary of Labor, shall conduct a study
            to determine--
                        (A) an estimate of the prevalence of hepatitis C
                    among designated emergency response employees in the
                    United States; and
                        (B) the likely means through which such employees
                    become infected with such disease in the course of
                    performing their duties as such employees.
                (2) Designated emergency response employees.--For purposes
            of this section, the term ``designated emergency response
            employees'' means firefighters, paramedics, and emergency
            medical technicians who are employees or volunteers of units of
            local government.
                (3) Date certain for completion; report to congress.--The
            Secretary shall commence the study under paragraph (1) not later
            than 90 days after the date of the enactment of this Act. Not
            later than one year after such date, the Secretary shall
            complete the study and submit to the Congress a report
            describing the findings of the study.

        (b) Demonstration Projects Regarding Training and Treatment.--
                (1) In general.--The Secretary, in consultation with the
            Secretary of Labor, shall make grants to qualifying local
            governments for the purpose of carrying out demonstration
            projects that (directly or through arrangements with nonprofit
            private entities) carry out each of the following activities:
                        (A) Training designated emergency response employees
                    in minimizing the risk of infection with hepatitis C in
                    performing their duties as such employees.

    [[Page 114 STAT. 1654A-366]]

                        (B) Testing such employees for infection with the
                    disease.
                        (C) Treating the employees for the disease.
                (2) Qualifying local governments.--For purposes of this
            section, the term ``qualifying local government'' means a unit
            of local government whose population of designated emergency
            response employees has a prevalence of hepatitis C that is not
            less than 200 percent of the national average for the prevalence
            of such disease in such populations.
                (3) Confidentiality.--A grant may be made under paragraph
            (1) only if the qualifying local government involved agrees to
            ensure that information regarding the testing or treatment of
            designated emergency response employees pursuant to the grant is
            maintained confidentially in a manner not inconsistent with
            applicable law.
                (4) Evaluations.--The Secretary shall provide for an
            evaluation of each demonstration project under paragraph (1) in
            order to determine the extent to which the project has been
            effective in carry out the activities described in such
            paragraph.
                (5) Report to congress.--Not later than 180 days after the
            date on which all grants under paragraph (1) have been expended,
            the Secretary shall submit to Congress a report providing--
                        (A) a summary of evaluations under paragraph (4);
                    and
                        (B) the recommendations of the Secretary for
                    administrative or legislative initiatives regarding the
                    activities described in paragraph (1).

        (c) Authorization of Appropriations.--For the purpose of carrying
    out this section, there is authorized to be appropriated to the
    Department of Health and Human Services and the Department of Labor
    $10,000,000 for fiscal year 2001.

    SEC. 1705. REPORT ON PROGRESS ON SPECTRUM SHARING.

        (a) Study Required.--The Secretary of Defense, in consultation with
    the Attorney General and the Secretary of Commerce, shall provide for
    the conduct of an engineering study to identify--
                (1) any portion of the 138-144 megahertz band that the
            Department of Defense can share in various geographic regions
            with public safety radio services;
                (2) any measures required to prevent harmful interference
            between Department of Defense systems and the public safety
            systems proposed for operation on those frequencies; and
                (3) a reasonable schedule for implementation of such sharing
            of frequencies.

        (b) Submission of Interim Report.--Within one year 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 an interim report on the
    progress of the study conducted pursuant to subsection (a).
        (c) Report.--Not later than January 1, 2002, the Secretary of
    Commerce and the Chairman of the Federal Communications Commission shall
    jointly submit a report to Congress on alternative frequencies available
    for use by public safety systems.

    [[Page 114 STAT. 1654A-367]]

    SEC. 1706. SALE OR DONATION OF EXCESS DEFENSE PROPERTY TO ASSIST
                FIREFIGHTING AGENCIES.

        (a) Transfer Authorized.--Chapter 153 of title 10, United States
    Code, is amended by inserting after section 2576a the following new
    section:

    ``Sec. 2576b. Excess personal property: sale or donation to assist
                            firefighting agencies

        ``(a) Transfer Authorized.--Subject to subsection (b), the Secretary
    of Defense may transfer to a firefighting agency in a State any personal
    property of the Department of Defense that the Secretary determines is--
                ``(1) excess to the needs of the Department of Defense; and
                ``(2) suitable for use in providing fire and emergency
            medical services, including personal protective equipment and
            equipment for communication and monitoring.

        ``(b) Conditions for Transfer.--The Secretary of Defense may
    transfer personal property under this section only if--
                ``(1) the property is drawn from existing stocks of the
            Department of Defense;
                ``(2) the recipient firefighting agency accepts the property
            on an as-is, where-is basis;
                ``(3) the transfer is made without the expenditure of any
            funds available to the Department of Defense for the procurement
            of defense equipment; and
                ``(4) all costs incurred subsequent to the transfer of the
            property are borne or reimbursed by the recipient.

        ``(c) Consideration.--Subject to subsection (b)(4), the Secretary
    may transfer personal property under this section without charge to the
    recipient firefighting agency.
        ``(d) Definitions.--In this section:
                ``(1) State.--The term `State' includes the District of
            Columbia, the Commonwealth of Puerto Rico, the Commonwealth of
            the Northern Mariana Islands, and any territory or possession of
            the United States.
                ``(2) Firefighting agency.--The term `firefighting agency'
            means any volunteer, paid, or combined departments that provide
            fire and emergency medical services.''.

        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2576a the following new item:

    ``2576b. Excess personal property: sale or donation to assist
               firefighting agencies.''.

    SEC. 1707. IDENTIFICATION OF DEFENSE TECHNOLOGIES SUITABLE FOR USE, OR
                CONVERSION FOR USE, IN PROVIDING FIRE AND EMERGENCY MEDICAL
                SERVICES.

        (a) Appointment of Task Force; Purpose.--The Secretary of Defense
    shall appoint a task force consisting of representatives from the
    Department of Defense and each of the seven major fire organizations
    identified in subsection (b) to identify defense technologies and
    equipment that--
                (1) can be readily put to civilian use by fire service and
            the emergency response agencies; and
                (2) can be transferred to these agencies using the authority
            provided by section 2576b of title 10, United States Code, as
            added by section 1706 of this Act.

    [[Page 114 STAT. 1654A-368]]

        (b) Participating Major Fire Organizations.--Members of the task
    force shall be appointed from each of the following:
                (1) The International Association of Fire Chiefs.
                (2) The International Association of Fire Fighters.
                (3) The National Volunteer Fire Council.
                (4) The International Association of Arson Investigators.
                (5) The International Society of Fire Service Instructors.
                (6) The National Association of State Fire Marshals.
                (7) The National Fire Protection Association.

        (c) Authorization of Appropriations.--There are authorized to be
    appropriated to the Secretary of Defense for activities of the task
    force $1,000,000 for fiscal year 2001.

                             TITLE XVIII--IMPACT AID

    Sec.1801.Short title.
    Sec.1802.Purpose.
    Sec.1803.Payments relating to Federal acquisition of real property.
    Sec.1804.Payments for eligible federally connected children.
    Sec.1805.Maximum amount of basic support payments.
    Sec.1806.Basic support payments for heavily impacted local educational
               agencies.
    Sec.1807.Basic support payments for local educational agencies affected
               by removal of Federal property.
    Sec.1808.Additional payments for local educational agencies with high
               concentrations of children with severe disabilities.
    Sec.1809.Application for payments under sections 8002 and 8003.
    Sec.1810.Payments for sudden and substantial increases in attendance of
               military dependents.
    Sec.1811.Construction.
    Sec.1812.State consideration of payments in providing State aid.
    Sec.1813.Federal administration.
    Sec.1814.Administrative hearings and judicial review.
    Sec.1815.Forgiveness of overpayments.
    Sec.1816.Definitions.
    Sec.1817.Authorization of appropriations.
    Sec.1818.Effective date.

    SEC. 1801. SHORT TITLE.

        This title may be cited as the ``Impact Aid Reauthorization Act of
    2000''.

    SEC. 1802. PURPOSE.

        Section 8001 of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7701) is amended--
                (1) in the matter preceding paragraph (1)--
                        (A) by inserting after ``educational services to
                    federally connected children'' the following: ``in a
                    manner that promotes control by local educational
                    agencies with little or no Federal or State
                    involvement''; and
                        (B) by inserting after ``certain activities of the
                    Federal Government'' the following: ``, such as
                    activities to fulfill the responsibilities of the
                    Federal Government with respect to Indian tribes and
                    activities under section 514 of the Soldiers' and
                    Sailors' Civil Relief Act of 1940 (50 U.S.C. App.
                    574),'';
                (2) in paragraph (4), by adding ``or'' at the end;
                (3) by striking paragraph (5);
                (4) by redesignating paragraph (6) as paragraph (5); and
                (5) in paragraph (5) (as redesignated), by inserting before
            the period at the end the following: ``and because of the
            difficulty of raising local revenue through bond referendums for
            capital projects due to the inability to tax Federal property''.

    [[Page 114 STAT. 1654A-369]]

    SEC. 1803. PAYMENTS RELATING TO FEDERAL ACQUISITION OF REAL PROPERTY.

        (a) Fiscal Year Requirement.--Section 8002(a) of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7702(a)) is amended in the
    matter preceding paragraph (1) by striking ``1999'' and inserting
    ``2003''.
        (b) Amount.--
                (1) Prohibition on reduction in amount of payment.--Section
            8002(b)(1)(A)(i) of the Elementary and Secondary Education Act
            of 1965 (20 U.S.C. 7702(b)(1)(A)(i)) is amended--
                        (A) by striking ``(i) The amount'' and inserting
                    ``(i)(I) Subject to subclauses (II) and (III), the
                    amount'';
                        (B) by striking ``, except that'' and all that
                    follows through ``Federal property''; and
                        (C) by adding at the end the following:
                ``(II) Except as provided in subclause (III), the Secretary
            may not reduce the amount of a payment under this section to a
            local educational agency for a fiscal year by (aa) the amount
            equal to the amount of revenue, if any, the agency received
            during the previous fiscal year from activities conducted on
            Federal property eligible under this section and located in a
            school district served by the agency, including amounts received
            from any Federal department or agency (other than the Department
            of Education) from such activities, by reason of receipt of such
            revenue, or (bb) any other amount by reason of receipt of such
            revenue.
                ``(III) If the amount equal to the sum of (aa) the proposed
            payment under this section to a local educational agency for a
            fiscal year and (bb) the amount of revenue described in
            subclause (II)(aa) received by the agency during the previous
            fiscal year, exceeds the maximum amount the agency is eligible
            to receive under this section for the fiscal year involved, then
            the Secretary shall reduce the amount of the proposed payment
            under this section by an amount equal to such excess amount.''.
                (2) Insufficient funds.--Section 8002(b)(1)(B) of the
            Elementary and Secondary Education Act of 1965 (20 U.S.C.
            7702(b)(1)(B)) is amended by striking ``shall ratably reduce the
            payment to each eligible local educational agency'' and
            inserting ``shall calculate the payment for each eligible local
            educational agency in accordance with subsection (h)''.
                (3) Maximum amount.--Section 8002(b)(1)(C) of the Elementary
            and Secondary Education Act of 1965 (20 U.S.C. 7702(b)(1)(C)) is
            amended by adding at the end before the period the following:
            ``, or the maximum amount that such agency is eligible to
            receive for such fiscal year under this section, whichever is
            greater''.

        (c) Payments With Respect to Fiscal Years in Which Insufficient
    Funds Are Appropriated.--Section 8002(h) of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7702(h)) is amended to read as follows:
        ``(h) Payments With Respect to Fiscal Years in Which Insufficient
    Funds Are Appropriated.--For any fiscal year for which the amount
    appropriated under section 8014(a) is insufficient to pay to each
    eligible local educational agency the full amount determined under
    subsection (b), the Secretary shall make payments to each local
    educational agency under this section as follows:
                ``(1) Foundation payments for pre-1995 recipients.--

    [[Page 114 STAT. 1654A-370]]

                        ``(A) In general.--The Secretary shall first make a
                    foundation payment to each local educational agency that
                    is eligible to receive a payment under this section for
                    the fiscal year involved and was eligible to receive a
                    payment under section 2 of the Act of September 30, 1950
                    (Public Law 874, 81st Congress) (as such section was in
                    effect on the day preceding the date of the enactment of
                    the Improving America's Schools Act of 1994) for any of
                    the fiscal years 1989 through 1994.
                        ``(B) Amount.--The amount of a payment under
                    subparagraph (A) for a local educational agency shall be
                    equal to 38 percent of the local educational agency's
                    maximum entitlement amount under section 2 of the Act of
                    September 30, 1950, for fiscal year 1994 (or if the
                    local educational agency was not eligible to receive a
                    payment under such section 2 for fiscal year 1994, the
                    local educational agency's maximum entitlement amount
                    under such section 2 for the most recent fiscal year
                    preceding 1994).
                        ``(C) Insufficient appropriations.--If the amount
                    appropriated under section 8014(a) is insufficient to
                    pay the full amount determined under this paragraph for
                    all eligible local educational agencies for the fiscal
                    year, then the Secretary shall ratably reduce the
                    payment to each local educational agency under this
                    paragraph.
                ``(2) Payments for 1995 recipients.--
                        ``(A) In general.--From any amounts remaining after
                    making payments under paragraph (1) for the fiscal year
                    involved, the Secretary shall make a payment to each
                    eligible local educational agency that received a
                    payment under this section for fiscal year 1995.
                        ``(B) Amount.--The amount of a payment under
                    subparagraph (A) for a local educational agency shall be
                    determined as follows:
                              ``(i) Calculate the difference between the
                          amount appropriated to carry out this section for
                          fiscal year 1995 and the total amount of
                          foundation payments made under paragraph (1) for
                          the fiscal year.
                              ``(ii) Determine the percentage share for each
                          local educational agency that received a payment
                          under this section for fiscal year 1995 by
                          dividing the assessed value of the Federal
                          property of the local educational agency for
                          fiscal year 1995 determined in accordance with
                          subsection (b)(3), by the total eligible national
                          assessed value of the eligible Federal property of
                          all such local educational agencies for fiscal
                          year 1995, as so determined.
                              ``(iii) Multiply the percentage share
                          described in clause (ii) for the local educational
                          agency by the amount determined under clause (i).
                ``(3) Subsection (i) recipients.--From any funds remaining
            after making payments under paragraphs (1) and (2) for the
            fiscal year involved, the Secretary shall make payments in
            accordance with subsection (i).
                ``(4) Remaining funds.--From any funds remaining after
            making payments under paragraphs (1), (2), and (3) for the
            fiscal year involved--

    [[Page 114 STAT. 1654A-371]]

                        ``(A) the Secretary shall make a payment to each
                    local educational agency that received a foundation
                    payment under paragraph (1) for the fiscal year involved
                    in an amount that bears the same relation to 25 percent
                    of the remainder as the amount the local educational
                    agency received under paragraph (1) for the fiscal year
                    involved bears to the amount all local educational
                    agencies received under paragraph (1) for the fiscal
                    year involved; and
                        ``(B) the Secretary shall make a payment to each
                    local educational agency that is eligible to receive a
                    payment under this section for the fiscal year involved
                    in an amount that bears the same relation to 75 percent
                    of the remainder as a percentage share determined for
                    the local educational agency (in the same manner as
                    percentage shares are determined for local educational
                    agencies under paragraph (2)(B)(ii)) bears to the
                    percentage share determined (in the same manner) for all
                    local educational agencies eligible to receive a payment
                    under this section for the fiscal year involved, except
                    that for the purpose of calculating a local educational
                    agency's assessed value of the Federal property, data
                    from the most current fiscal year shall be used.''.

        (d) Special Payments.--
                (1) In general.--Section 8002(i)(1) of the Elementary and
            Secondary Education Act of 1965 (20 U.S.C. 7702(i)(1)) is
            amended to read as follows:
                ``(1) In general.--For any fiscal year beginning with fiscal
            year 2000 for which the amount appropriated to carry out this
            section exceeds the amount so appropriated for fiscal year 1996
            and for which subsection (b)(1)(B) applies, the Secretary shall
            use the remainder described in subsection (h)(3) for the fiscal
            year involved (not to exceed the amount equal to the difference
            between (A) the amount appropriated to carry out this section
            for fiscal year 1997 and (B) the amount appropriated to carry
            out this section for fiscal year 1996) to increase the payment
            that would otherwise be made under this section to not more than
            50 percent of the maximum amount determined under subsection (b)
            for any local educational agency described in paragraph (2).''.
                (2) Conforming amendment.--The heading of section 8002(i) of
            the Elementary and Secondary Education Act of 1965 (20 U.S.C.
            7702(i)) is amended by striking ``Priority'' and inserting
            ``Special''.

        (e) Additional Assistance for Certain Local Educational Agencies
    Impacted by Federal Property Acquisition.--Section 8002( j)(2) of the
    Elementary and Secondary Education Act of 1965 (20 U.S.C. 7702( j)(2))
    is amended--
                (1) by striking ``(A) A local educational agency'' and
            inserting ``A local educational agency'';
                (2) by redesignating clauses (i) through (v) as
            subparagraphs (A) through (E), respectively; and
                (3) in subparagraph (C) (as redesignated), by adding at the
            end before the semicolon the following: ``and, at the time at
            which the agency is applying for a payment under this
            subsection, the agency does not have a military installation
            located within its geographic boundaries''.

    [[Page 114 STAT. 1654A-372]]

        (f ) Prior Year Data.--Section 8002 of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7702) is amended by adding at the end
    the following:
        ``(l) Prior Year Data.--Notwithstanding any other provision of this
    section, in determining the eligibility of a local educational agency
    for a payment under subsection (b) or (h)(4)(B) of this section for a
    fiscal year, and in calculating the amount of such payment, the
    Secretary--
                ``(1) shall use data from the prior fiscal year with respect
            to the Federal property involved, including data with respect to
            the assessed value of the property and the real property tax
            rate for current expenditures levied against or imputed to the
            property; and
                ``(2) shall use data from the second prior fiscal year with
            respect to determining the amount of revenue referred to in
            subsection (b)(1)(A)(i).''.

        (g) Eligibility.--Section 8002 of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7702), as amended by this section, is
    further amended by adding at the end the following:
        ``(m) Eligibility.--
                ``(1) Old federal property.--Except as provided in paragraph
            (2), a local educational agency that is eligible to receive a
            payment under this section for Federal property acquired by the
            Federal Government, before the date of the enactment of the
            Impact Aid Reauthorization Act of 2000, shall be eligible to
            receive the payment only if the local educational agency submits
            an application for a payment under this section not later than 5
            years after the date of the enactment of such Act.
                ``(2) Combined federal property.--A local educational agency
            that is eligible to receive a payment under this section for
            Federal property acquired by the Federal Government before the
            date of the enactment of the Impact Aid Reauthorization Act of
            2000 shall be eligible to receive the payment if--
                        ``(A) the Federal property, when combined with other
                    Federal property in the school district served by the
                    local educational agency acquired by the Federal
                    Government after the date of the enactment of such Act,
                    meets the requirements of subsection (a); and
                        ``(B) the local educational agency submits an
                    application for a payment under this section not later
                    than 5 years after the date of acquisition of the
                    Federal property acquired after the date of the
                    enactment of such Act.
                ``(3) New federal property.--A local educational agency that
            is eligible to receive a payment under this section for Federal
            property acquired by the Federal Government after the date of
            the enactment of the Impact Aid Reauthorization Act of 2000
            shall be eligible to receive the payment only if the local
            educational agency submits an application for a payment under
            this section not later than 5 years after the date of
            acquisition.''.

    SEC. 1804. PAYMENTS FOR ELIGIBLE FEDERALLY CONNECTED CHILDREN.

        (a) General Amendments.--Section 8003 of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7703) is amended--
                (1) in subsection (a)(2)--

    [[Page 114 STAT. 1654A-373]]

                        (A) by redesignating subparagraph (E) as
                    subparagraph (F);
                        (B) in subparagraph (D), by striking ``subparagraphs
                    (D) and (E) of paragraph (1) by a factor of .10'' and
                    inserting ``subparagraph (D) of paragraph (1) by a
                    factor of .20''; and
                        (C) by inserting after subparagraph (D) the
                    following:
                        ``(E) Multiply the number of children described in
                    subparagraph (E) of paragraph (1) by a factor of .10.'';
                (2) in subsection (b)(1), by adding at the end the
            following:
                        ``(D) Data.--If satisfactory data from the third
                    preceding fiscal year are not available for any of the
                    expenditures described in clause (i) or (ii) of
                    subparagraph (C), the Secretary shall use data from the
                    most recent fiscal year for which data that are
                    satisfactory to the Secretary are available.
                        ``(E) Special rule.--For purposes of determining the
                    comparable local contribution rate under subparagraph
                    (C)(iii) for a local educational agency described in
                    section 222.39(c)(3) of title 34, Code of Federal
                    Regulations, that had its comparable local contribution
                    rate for fiscal year 1998 calculated pursuant to section
                    222.39 of title 34, Code of Federal Regulations, the
                    Secretary shall determine such comparable local
                    contribution rate as the rate upon which payments under
                    this subsection for fiscal year 2000 were made to the
                    local educational agency adjusted by the percentage
                    increase or decrease in the per pupil expenditure in the
                    State serving the local educational agency calculated on
                    the basis of the second most recent preceding school
                    year compared to the third most recent preceding school
                    year for which school year data are available.''; and
                (3) by amending subsection (e) to read as follows:

        ``(e) Hold Harmless.--
                ``(1) In general.--Subject to paragraphs (2) and (3), the
            total amount the Secretary shall pay a local educational agency
            under subsection (b)--
                        ``(A) for fiscal year 2001 shall not be less than 85
                    percent of the total amount that the local educational
                    agency received under subsections (b) and (f ) for
                    fiscal year 2000; and
                        ``(B) for fiscal year 2002 shall not be less than 70
                    percent of the total amount that the local educational
                    agency received under subsections (b) and (f ) for
                    fiscal year 2000.
                ``(2) Maximum amount.--The total amount provided to a local
            educational agency under subparagraph (A) or (B) of paragraph
            (1) for a fiscal year shall not exceed the maximum basic support
            payment amount for such agency determined under paragraph (1) or
            (2) of subsection (b), as the case may be.
                ``(3) Ratable reductions.--
                        ``(A) In general.--If the sums made available under
                    this title for any fiscal year are insufficient to pay
                    the full amounts that all local educational agencies in
                    all States are eligible to receive under paragraph (1)
                    for such year, then the Secretary shall ratably reduce
                    the payments to all such agencies for such year.

    [[Page 114 STAT. 1654A-374]]

                        ``(B) Additional funds.--If additional funds become
                    available for making payments under paragraph (1) for
                    such fiscal year, payments that were reduced under
                    subparagraph (A) shall be increased on the same basis as
                    such payments were reduced.''.

        (b) Military Installation and Indian Housing Undergoing Renovation
    or Rebuilding.--
                (1) In general.--Section 8003(a)(4) of the Elementary and
            Secondary Education Act of 1965 (20 U.S.C. 7703(a)) is amended--
                        (A) in the heading--
                              (i) by inserting ``and indian'' after
                          ``Military installation''; and
                              (ii) by inserting ``or rebuilding'' after
                          ``renovation'';
                        (B) by striking ``For purposes'' and inserting the
                    following:
                        ``(A) In general.--(i) For purposes'';
                        (C) in subparagraph (A)(i) (as designated by
                    subparagraph (B)), by inserting ``or rebuilding'' after
                    ``undergoing renovation''; and
                        (D) by adding at the end the following:
                        ``(ii) For purposes of computing the amount of a
                    payment for a local educational agency that received a
                    payment for children that resided on Indian lands in
                    accordance with paragraph (1)(C) for the fiscal year
                    prior to the fiscal year for which the local educational
                    agency is making an application, the Secretary shall
                    consider such children to be children described in
                    paragraph (1)(C) if the Secretary determines, on the
                    basis of a certification provided to the Secretary by a
                    designated representative of the Secretary of the
                    Interior or the Secretary of Housing and Urban
                    Development, that such children would have resided in
                    housing on Indian lands in accordance with paragraph
                    (1)(C) except that such housing was undergoing
                    renovation or rebuilding on the date for which the
                    Secretary determines the number of children under
                    paragraph (1).
                        ``(B) Limitations.--(i)(I) Children described in
                    paragraph (1)(D)(i) may be deemed to be children
                    described in paragraph (1)(B) with respect to housing on
                    Federal property undergoing renovation or rebuilding in
                    accordance with subparagraph (A)(i) for a period not to
                    exceed 3 fiscal years.
                        ``(II) The number of children described in paragraph
                    (1)(D)(i) who are deemed to be children described in
                    paragraph (1)(B) with respect to housing on Federal
                    property undergoing renovation or rebuilding in
                    accordance with subparagraph (A)(i) for any fiscal year
                    may not exceed the maximum number of children who are
                    expected to occupy that housing upon completion of the
                    renovation or rebuilding.
                        ``(ii)(I) Children that resided on Indian lands in
                    accordance with paragraph (1)(C) for the fiscal year
                    prior to the fiscal year for which the local educational
                    agency is making an application may be deemed to be
                    children described in paragraph (1)(C) with respect to
                    housing on

    [[Page 114 STAT. 1654A-375]]

                    Indian lands undergoing renovation or rebuilding in
                    accordance with subparagraph (A)(ii) for a period not to
                    exceed 3 fiscal years.
                        ``(II) The number of children that resided on Indian
                    lands in accordance with paragraph (1)(C) for the fiscal
                    year prior to the fiscal year for which the local
                    educational agency is making an application who are
                    deemed to be children described in paragraph (1)(C) with
                    respect to housing on Indian lands undergoing renovation
                    or rebuilding in accordance with subparagraph (A)(ii)
                    for any fiscal year may not exceed the maximum number of
                    children who are expected to occupy that housing upon
                    completion of the renovation or rebuilding.''.
                (2) Effective date.--The amendments made by paragraph (1)
            shall apply with respect to payments to a local educational
            agency for fiscal years beginning before, on, or after the date
            of the enactment of this Act.

        (c) Military ``Build to Lease'' Program Housing.--Section 8003(a) of
    the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7703(a))
    is amended by adding at the end the following:
                ``(5) Military `build to lease' program housing.--
                        ``(A) In general.--For purposes of computing the
                    amount of payment for a local educational agency for
                    children identified under paragraph (1), the Secretary
                    shall consider children residing in housing initially
                    acquired or constructed under the former section 2828(g)
                    of title 10, United States Code (commonly known as the
                    `Build to Lease' program), as added by section 801 of
                    the Military Construction Authorization Act, 1984, to be
                    children described under paragraph (1)(B) if the
                    property described is within the fenced security
                    perimeter of the military facility upon which such
                    housing is situated.
                        ``(B) Additional requirements.--If the property
                    described in subparagraph (A) is not owned by the
                    Federal Government, is subject to taxation by a State or
                    political subdivision of a State, and thereby generates
                    revenues for a local educational agency that is applying
                    to receive a payment under this section, then the
                    Secretary--
                              ``(i) shall require the local educational
                          agency to provide certification from an
                          appropriate official of the Department of Defense
                          that the property is being used to provide
                          military housing; and
                              ``(ii) shall reduce the amount of the payment
                          under this section by an amount equal to the
                          amount of revenue from such taxation received in
                          the second preceding fiscal year by such local
                          educational agency, unless the amount of such
                          revenue was taken into account by the State for
                          such second preceding fiscal year and already
                          resulted in a reduction in the amount of State aid
                          paid to such local educational agency.''.

    SEC. 1805. MAXIMUM AMOUNT OF BASIC SUPPORT PAYMENTS.

        Section 8003(b)(1) of the Elementary and Secondary Education Act of
    1965 (20 U.S.C. 7703(b)(1)), as amended by this Act, is further amended
    by adding at the end the following:

    [[Page 114 STAT. 1654A-376]]

                        ``(F) Increase in local contribution rate due to
                    unusual geographic factors.--If the current expenditures
                    in those local educational agencies which the Secretary
                    has determined to be generally comparable to the local
                    educational agency for which a computation is made under
                    subparagraph (C) are not reasonably comparable because
                    of unusual geographical factors which affect the current
                    expenditures necessary to maintain, in such agency, a
                    level of education equivalent to that maintained in such
                    other agencies, then the Secretary shall increase the
                    local contribution rate for such agency under
                    subparagraph (C)(iii) by such an amount which the
                    Secretary determines will compensate such agency for the
                    increase in current expenditures necessitated by such
                    unusual geographical factors. The amount of any such
                    supplementary payment may not exceed the per-pupil share
                    (computed with regard to all children in average daily
                    attendance), as determined by the Secretary, of the
                    increased current expenditures necessitated by such
                    unusual geographic factors.''.

    SEC. 1806. BASIC SUPPORT PAYMENTS FOR HEAVILY IMPACTED LOCAL EDUCATIONAL
                AGENCIES.

        (a) In General.--Section 8003(b) of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7703(b)) is amended--
                (1) by redesignating paragraphs (2) and (3) as paragraphs
            (3) and (4), respectively; and
                (2) by inserting after paragraph (1) the following:
                ``(2) Basic Support Payments for Heavily Impacted Local
            Educational Agencies.--
                        ``(A) In general.--(i) From the amount appropriated
                    under section 8014(b) for a fiscal year, the Secretary
                    is authorized to make basic support payments to eligible
                    heavily impacted local educational agencies with
                    children described in subsection (a).
                        ``(ii) A local educational agency that receives a
                    basic support payment under this paragraph for a fiscal
                    year shall not be eligible to receive a basic support
                    payment under paragraph (1) for that fiscal year.
                        ``(B) Eligibility for continuing heavily impacted
                    local educational agencies.--
                              ``(i) In general.--A heavily impacted local
                          educational agency is eligible to receive a basic
                          support payment under subparagraph (A) with
                          respect to a number of children determined under
                          subsection (a)(1) if the agency--
                                        (I) received an additional
                                    assistance payment under subsection (f )
                                    (as such subsection was in effect on the
                                    day before the date of the enactment of
                                    the Impact Aid Reauthorization Act of
                                    2000) for fiscal year 2000; and
                                        ``(II)(aa) is a local educational
                                    agency whose boundaries are the same as
                                    a Federal military installation;
                                        ``(bb) has an enrollment of children
                                    described in subsection (a)(1) that
                                    constitutes a percentage of the total
                                    student enrollment of the agency which

    [[Page 114 STAT. 1654A-377]]

                                    is not less than 35 percent, has a per-
                                    pupil expenditure that is less than the
                                    average per-pupil expenditure of the
                                    State in which the agency is located or
                                    the average per-pupil expenditure of all
                                    States (whichever average per-pupil
                                    expenditure is greater), except that a
                                    local educational agency with a total
                                    student enrollment of less than 350
                                    students shall be deemed to have
                                    satisfied such per-pupil expenditure
                                    requirement, and has a tax rate for
                                    general fund purposes which is not less
                                    than 95 percent of the average tax rate
                                    for general fund purposes of local
                                    educational agencies in the State;
                                        ``(cc) has an enrollment of children
                                    described in subsection (a)(1) that
                                    constitutes a percentage of the total
                                    student enrollment of the agency which
                                    is not less than 30 percent, and has a
                                    tax rate for general fund purposes which
                                    is not less than 125 percent of the
                                    average tax rate for general fund
                                    purposes for comparable local
                                    educational agencies in the State;
                                        ``(dd) has a total student
                                    enrollment of not less than 25,000
                                    students, of which not less than 50
                                    percent are children described in
                                    subsection (a)(1) and not less than
                                    6,000 of such children are children
                                    described in subparagraphs (A) and (B)
                                    of subsection (a)(1); or
                                        ``(ee) meets the requirements of
                                    subsection (f )(2) applying the data
                                    requirements of subsection (f )(4) (as
                                    such subsections were in effect on the
                                    day before the date of the enactment of
                                    the Impact Aid Reauthorization Act of
                                    2000).
                              ``(ii) Loss of eligibility.--A heavily
                          impacted local educational agency that met the
                          requirements of clause (i) for a fiscal year shall
                          be ineligible to receive a basic support payment
                          under subparagraph (A) if the agency fails to meet
                          the requirements of clause (i) for a subsequent
                          fiscal year, except that such agency shall
                          continue to receive a basic support payment under
                          this paragraph for the fiscal year for which the
                          ineligibility determination is made.
                              ``(iii) Resumption of eligibility.--A heavily
                          impacted local educational agency described in
                          clause (i) that becomes ineligible under such
                          clause for 1 or more fiscal years may resume
                          eligibility for a basic support payment under this
                          paragraph for a subsequent fiscal year only if the
                          agency meets the requirements of clause (i) for
                          that subsequent fiscal year, except that such
                          agency shall not receive a basic support payment
                          under this paragraph until the fiscal year
                          succeeding the fiscal year for which the
                          eligibility determination is made.
                        ``(C) Eligibility for new heavily impacted local
                    educational agencies.--
                              ``(i) In general.--A heavily impacted local
                          educational agency that did not receive an
                          additional

    [[Page 114 STAT. 1654A-378]]

                          assistance payment under subsection (f ) (as such
                          subsection was in effect on the day before the
                          date of the enactment of the Impact Aid
                          Reauthorization Act of 2000) for fiscal year 2000
                          is eligible to receive a basic support payment
                          under subparagraph (A) for fiscal year 2002 and
                          any subsequent fiscal year with respect to a
                          number of children determined under subsection
                          (a)(1) only if the agency is a local educational
                          agency whose boundaries are the same as a Federal
                          military installation, or the agency--
                                        ``(I) has an enrollment of children
                                    described in subsection (a)(1) that
                                    constitutes a percentage of the total
                                    student enrollment of the agency that--
                                                ``(aa) is not less than 50
                                            percent if such agency receives
                                            a payment on behalf of children
                                            described in subparagraphs (F)
                                            and (G) of such subsection; or
                                                ``(bb) is not less than 40
                                            percent if such agency does not
                                            receive a payment on behalf of
                                            such children;
                                        ``(II)(aa) for a local educational
                                    agency that has a total student
                                    enrollment of 350 or more students, has
                                    a per-pupil expenditure that is less
                                    than the average per-pupil expenditure
                                    of the State in which the agency is
                                    located; or
                                        ``(bb) for a local educational
                                    agency that has a total student
                                    enrollment of less than 350 students,
                                    has a per-pupil expenditure that is less
                                    than the average per-pupil expenditure
                                    of a comparable local educational agency
                                    in the State in which the agency is
                                    located; and
                                        ``(III) has a tax rate for general
                                    fund purposes that is at least 95
                                    percent of the average tax rate for
                                    general fund purposes of comparable
                                    local educational agencies in the State.
                              ``(ii) Resumption of eligibility.--A heavily
                          impacted local educational agency described in
                          clause (i) that becomes ineligible under such
                          clause for 1 or more fiscal years may resume
                          eligibility for a basic support payment under this
                          paragraph for a subsequent fiscal year only if the
                          agency is a local educational agency whose
                          boundaries are the same as a Federal military
                          installation, or meets the requirements of clause
                          (i), for that subsequent fiscal year, except that
                          such agency shall continue to receive a basic
                          support payment under this paragraph for the
                          fiscal year for which the ineligibility
                          determination is made.
                              ``(iii) Application.--With respect to the
                          first fiscal year for which a heavily impacted
                          local educational agency described in clause (i)
                          applies for a basic support payment under
                          subparagraph (A), or with respect to the first
                          fiscal year for which a heavily impacted local
                          educational agency applies for a basic support
                          payment under subparagraph (A) after becoming
                          ineligible under clause (i) for 1 or more
                          preceding fiscal

    [[Page 114 STAT. 1654A-379]]

                          years, the agency shall apply for such payment at
                          least 1 year prior to the start of that first
                          fiscal year.
                        ``(D) Maximum amount for regular heavily impacted
                    local educational agencies.--(i) Except as provided in
                    subparagraph (E), the maximum amount that a heavily
                    impacted local educational agency is eligible to receive
                    under this paragraph for any fiscal year is the sum of
                    the total weighted student units, as computed under
                    subsection (a)(2) and subject to clause (ii), multiplied
                    by the greater of--
                              ``(I) four-fifths of the average per-pupil
                          expenditure of the State in which the local
                          educational agency is located for the third fiscal
                          year preceding the fiscal year for which the
                          determination is made; or
                              ``(II) four-fifths of the average per-pupil
                          expenditure of all of the States for the third
                          fiscal year preceding the fiscal year for which
                          the determination is made.
                        ``(ii)(I) For a local educational agency with
                    respect to which 35 percent or more of the total student
                    enrollment of the schools of the agency are children
                    described in subparagraph (D) or (E) (or a combination
                    thereof ) of subsection (a)(1), the Secretary shall
                    calculate the weighted student units of such children
                    for purposes of subsection (a)(2) by multiplying the
                    number of such children by a factor of 0.55.
                        ``(II) For a local educational agency that has an
                    enrollment of 100 or fewer children described in
                    subsection (a)(1), the Secretary shall calculate the
                    total number of weighted student units for purposes of
                    subsection (a)(2) by multiplying the number of such
                    children by a factor of 1.75.
                        ``(III) For a local educational agency that has an
                    enrollment of more than 100 but not more than 750
                    children described in subsection (a)(1), the Secretary
                    shall calculate the total number of weighted student
                    units for purposes of subsection (a)(2) by multiplying
                    the number of such children by a factor of 1.25.
                        ``(E) Maximum amount for large heavily impacted
                    local educational agencies.--(i)(I) Subject to clause
                    (ii), the maximum amount that a heavily impacted local
                    educational agency described in subclause (II) is
                    eligible to receive under this paragraph for any fiscal
                    year shall be determined in accordance with the formula
                    described in paragraph (1)(C).
                        ``(II) A heavily impacted local educational agency
                    described in this subclause is a local educational
                    agency that has a total student enrollment of not less
                    than 25,000 students, of which not less than 50 percent
                    are children described in subsection (a)(1) and not less
                    than 6,000 of such children are children described in
                    subparagraphs (A) and (B) of subsection (a)(1).
                        ``(ii) For purposes of calculating the maximum
                    amount described in clause (i), the factor used in
                    determining the weighted student units under subsection
                    (a)(2) with respect to children described in
                    subparagraphs (A) and (B) of subsection (a)(1) shall be
                    1.35.
                        ``(F) Data.--For purposes of providing assistance
                    under this paragraph the Secretary shall use student,
                    revenue,

    [[Page 114 STAT. 1654A-380]]

                    expenditure, and tax data from the third fiscal year
                    preceding the fiscal year for which the local
                    educational agency is applying for assistance under this
                    paragraph.''.

        (b) Payments With Respect to Fiscal Years in Which Insufficient
    Funds Are Appropriated.--Section 8003(b)(3) of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7703(b)(3)) (as so
    redesignated) is amended--
                (1) in subparagraph (A), by striking ``paragraph (1)'' and
            inserting ``paragraphs (1) and (2)'';
                (2) in subparagraph (B)--
                        (A) in the heading, by inserting after ``payments''
                    the following: ``in lieu of payments under paragraph
                    (1)'';
                        (B) in clause (i)--
                              (i) in the matter preceding subclause (I), by
                          inserting before ``by multiplying'' the following:
                          ``in lieu of basic support payments under
                          paragraph (1)''; and
                              (ii) in subclause (II), by striking ``(not
                          including amounts received under subsection (f
                          ))''; and
                        (C) by adding at the end the following:
                        ``(iv) In the case of a local educational agency
                    that has a total student enrollment of fewer than 1,000
                    students and that has a per-pupil expenditure that is
                    less than the average per-pupil expenditure of the State
                    in which the agency is located, the total percentage
                    used to calculate threshold payments under clause (i)
                    shall not be less than 40 percent.'';
                (3) by redesignating subparagraph (C) as subparagraph (D);
                (4) by inserting after subparagraph (B) the following:
                        ``(C) Learning opportunity threshold payments in
                    lieu of payments under paragraph (2).--For fiscal years
                    described in subparagraph (A), the learning opportunity
                    threshold payment in lieu of basic support payments
                    under paragraph (2) shall be equal to the amount
                    obtained under subparagraph (D) or (E) of paragraph (2),
                    as the case may be.''; and
                (5) in subparagraph (D) (as so redesignated), by striking
            ``computation made under subparagraph (B)'' and inserting
            ``computations made under subparagraphs (B) and (C)''.

        (c) Conforming Amendments.--Section 8003 of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7703) is amended--
                (1) in the matter preceding subparagraph (A) of subsection
            (a)(1), by striking ``subsection (b), (d), or (f )'' and
            inserting ``subsection (b) or (d)'';
                (2) in subsection (b)--
                        (A) in paragraph (1)(C), in the matter preceding
                    clause (i), by striking ``this subsection'' and
                    inserting ``this paragraph''; and
                        (B) in paragraph (4) (as so redesignated)--
                              (i) in subparagraph (A), by striking
                          ``paragraphs (1)(B), (1)(C), and (2) of this
                          subsection'' and inserting ``subparagraphs (B) and
                          (C) of paragraph (1) or subparagraphs (B) through
                          (D) of paragraph (2), as the case may be,
                          paragraph (3) of this subsection''; and
                              (ii) in subparagraph (B)--

    [[Page 114 STAT. 1654A-381]]

                                        (I) by inserting after ``paragraph
                                    (1)(C)'' the following: ``or
                                    subparagraph (D) or (E) of paragraph
                                    (2), as the case may be,''; and
                                        (II) by striking ``paragraph
                                    (2)(B)'' and inserting ``subparagraph
                                    (B) or (C) of paragraph (3), as the case
                                    may be,'';
                (3) in subsection (c)(1), by striking ``paragraph (2) and
            subsection (f )'' and inserting ``subsections (b)(1)(D), (b)(2),
            and paragraph (2)'';
                (4) by striking subsection (f ); and
                (5) in subsection (h), by striking ``section 6'' and all
            that follows through ``1994)'' and inserting ``section 386 of
            the National Defense Authorization Act for Fiscal Year 1993''.

    SEC. 1807. BASIC SUPPORT PAYMENTS FOR LOCAL EDUCATIONAL AGENCIES
                AFFECTED BY REMOVAL OF FEDERAL PROPERTY.

        Section 8003(b) of the Elementary and Secondary Education Act of
    1965 (20 U.S.C. 7703(b)), as amended by this Act, is further amended by
    adding at the end the following:
                ``(5) Local educational agencies affected by removal of
            federal property.--
                        ``(A) In general.--In computing the amount of a
                    basic support payment under this subsection for a fiscal
                    year for a local educational agency described in
                    subparagraph (B), the Secretary shall meet the
                    additional requirements described in subparagraph (C).
                        ``(B) Local educational agency described.--A local
                    educational agency described in this subparagraph is a
                    local educational agency with respect to which Federal
                    property (i) located within the boundaries of the
                    agency, and (ii) on which one or more children reside
                    who are receiving a free public education at a school of
                    the agency, is transferred by the Federal Government to
                    another entity in any fiscal year beginning on or after
                    the date of the enactment of the Impact Aid
                    Reauthorization Act of 2000 so that the property is
                    subject to taxation by the State or a political
                    subdivision of the State.
                        ``(C) Additional requirements.--The additional
                    requirements described in this subparagraph are the
                    following:
                              ``(i) For each fiscal year beginning after the
                          date on which the Federal property is transferred,
                          a child described in subparagraph (B) who
                          continues to reside on such property and who
                          continues to receive a free public education at a
                          school of the agency shall be deemed to be a child
                          who resides on Federal property for purposes of
                          computing under the applicable subparagraph of
                          subsection (a)(1) the amount that the agency is
                          eligible to receive under this subsection.
                              ``(ii)(I) For the third fiscal year beginning
                          after the date on which the Federal property is
                          transferred, and for each fiscal year thereafter,
                          the Secretary shall, after computing the amount
                          that the agency is otherwise eligible to receive
                          under this subsection for the fiscal year
                          involved, deduct from such amount an amount equal
                          to the revenue received by the agency

    [[Page 114 STAT. 1654A-382]]

                          for the immediately preceding fiscal year as a
                          result of the taxable status of the former Federal
                          property.
                              ``(II) For purposes of determining the amount
                          of revenue to be deducted in accordance with
                          subclause (I), the local educational agency--
                                        ``(aa) shall provide for a review
                                    and certification of such amount by an
                                    appropriate local tax authority; and
                                        ``(bb) shall submit to the Secretary
                                    a report containing the amount certified
                                    under item (aa).''.

    SEC. 1808. ADDITIONAL PAYMENTS FOR LOCAL EDUCATIONAL AGENCIES WITH HIGH
                CONCENTRATIONS OF CHILDREN WITH SEVERE DISABILITIES.

        (a) Repeal.--Subsection (g) of section 8003 of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7703(g)) is repealed.
        (b) Conforming Amendments.--(1) Section 8003 of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7703) is amended by
    redesignating subsections (h) and (i) as subsections (f ) and (g),
    respectively.
        (2) Section 426 of the General Education Provisions Act (20 U.S.C.
    1228) is amended by striking ``subsections (d) and (g) of section 8003
    of such Act'' and inserting ``section 8003(d) of such Act''.

    SEC. 1809. APPLICATION FOR PAYMENTS UNDER SECTIONS 8002 AND 8003.

        Section 8005(d) of the Elementary and Secondary Education Act of
    1965 (20 U.S.C. 7705(d)) is amended--
                (1) in paragraph (2), by inserting after ``not more than 60
            days after a deadline established under subsection (c)'' the
            following: ``, or not more than 60 days after the date on which
            the Secretary sends written notice to the local educational
            agency pursuant to paragraph (3)(A), as the case may be,''; and
                (2) in paragraph (3) to read as follows:
                ``(3) Late applications.--
                        ``(A) Notice.--The Secretary shall, as soon as
                    practicable after the deadline established under
                    subsection (c), provide to each local educational agency
                    that applied for a payment under section 8002 or 8003
                    for the prior fiscal year, and with respect to which the
                    Secretary has not received an application for a payment
                    under either such section (as the case may be) for the
                    fiscal year in question, written notice of the failure
                    to comply with the deadline and instruction to ensure
                    that the application is filed not later than 60 days
                    after the date on which the Secretary sends the notice.
                        ``(B) Acceptance and approval of late
                    applications.--The Secretary shall not accept or approve
                    any application of a local educational agency that is
                    filed more than 60 days after the date on which the
                    Secretary sends written notice to the local educational
                    agency pursuant to subparagraph (A).''.

    [[Page 114 STAT. 1654A-383]]

    SEC. 1810. PAYMENTS FOR SUDDEN AND SUBSTANTIAL INCREASES IN ATTENDANCE
                OF MILITARY DEPENDENTS.

        Section 8006 of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7706) is repealed.

    SEC. 1811. CONSTRUCTION.

        Section 8007 of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7707) is amended to read as follows:

    ``SEC. 8007. CONSTRUCTION.

        ``(a) Construction Payments Authorized.--
                ``(1) In general.--From 40 percent of the amount
            appropriated for each fiscal year under section 8014(e), the
            Secretary shall make payments in accordance with this subsection
            to each local educational agency that receives a basic support
            payment under section 8003(b) for that fiscal year.
                ``(2) Additional requirements.--A local educational agency
            that receives a basic support payment under section 8003(b)(1)
            shall also meet at least one of the following requirements:
                        ``(A) The number of children determined under
                    section 8003(a)(1)(C) for the agency for the preceding
                    school year constituted at least 50 percent of the total
                    student enrollment in the schools of the agency during
                    the preceding school year.
                        ``(B) The number of children determined under
                    subparagraphs (B) and (D)(i) of section 8003(a)(1) for
                    the agency for the preceding school year constituted at
                    least 50 percent of the total student enrollment in the
                    schools of the agency during the preceding school year.
                ``(3) Amount of payments.--
                        ``(A) Local educational agencies impacted by
                    military dependent children.--The amount of a payment to
                    each local educational agency described in this
                    subsection that is impacted by military dependent
                    children for a fiscal year shall be equal to--
                              ``(i)(II) 20 percent of the amount
                          appropriated under section 8014(e) for such fiscal
                          year; divided by
                              ``(II) the total number of weighted student
                          units of children described in subparagraphs (B)
                          and (D)(i) of section 8003(a)(1) for all local
                          educational agencies described in this subsection
                          (as calculated under section 8003(a)(2)),
                          including the number of weighted student units of
                          such children attending a school facility
                          described in section 8008(a) if the Secretary does
                          not provide assistance for the school facility
                          under that section for the prior fiscal year;
                          multiplied by
                              ``(ii) the total number of such weighted
                          student units for the agency.
                        ``(B) Local educational agencies impacted by
                    children who reside on indian lands.--The amount of a
                    payment to each local educational agency described in
                    this subsection that is impacted by children who reside
                    on Indian lands for a fiscal year shall be equal to--
                              ``(i)(I) 20 percent of the amount appropriated
                          under section 8014(e) for such fiscal year;
                          divided by

    [[Page 114 STAT. 1654A-384]]

                              ``(II) the total number of weighted student
                          units of children described in section
                          8003(a)(1)(C) for all local educational agencies
                          described in this subsection (as calculated under
                          section 8003(a)(2)); multiplied by
                              ``(ii) the total number of such weighted
                          student units for the agency.
                ``(4) Use of funds.--Any local educational agency that
            receives funds under this subsection shall use such funds for
            construction, as defined in section 8013(3).

        ``(b) School Facility Modernization Grants Authorized.--
                ``(1) In general.--From 60 percent of the amount
            appropriated for each fiscal year under section 8014(e), the
            Secretary shall award grants in accordance with this subsection
            to eligible local educational agencies to enable the local
            educational agencies to carry out modernization of school
            facilities.
                ``(2) Eligibility requirements.--A local educational agency
            is eligible to receive funds under this subsection only if--
                        ``(A) such agency (or in the case of a local
                    educational agency that does not have the authority to
                    tax or issue bonds, such agency's fiscal agent) has no
                    capacity to issue bonds or is at such agency's limit in
                    bonded indebtedness for the purposes of generating funds
                    for capital expenditures, except that a local
                    educational agency that is eligible to receive funds
                    under section 8003(b)(2) shall be deemed to meet the
                    requirements of this subparagraph; and
                        ``(B)(i) such agency received assistance under
                    section 8002(a) for the fiscal year and has an assessed
                    value of taxable property per student in the school
                    district that is less than the average of the assessed
                    value of taxable property per student in the State in
                    which the local educational agency is located; or
                        ``(ii) such agency received assistance under
                    subsection (a) for the fiscal year and has a school
                    facility emergency, as determined by the Secretary, that
                    poses a health or safety hazard to the students and
                    school personnel assigned to the school facility.
                ``(3) Award criteria.--In awarding grants under this
            subsection the Secretary shall consider one or more of the
            following factors:
                        ``(A) The extent to which the local educational
                    agency lacks the fiscal capacity to undertake the
                    modernization project without Federal assistance.
                        ``(B) The extent to which property in the local
                    educational agency is nontaxable due to the presence of
                    the Federal Government.
                        ``(C) The extent to which the local educational
                    agency serves high numbers or percentages of children
                    described in subparagraphs (A), (B), (C), and (D) of
                    section 8003(a)(1).
                        ``(D) The need for modernization to meet--
                              ``(i) the threat that the condition of the
                          school facility poses to the health, safety, and
                          well-being of students;
                              ``(ii) overcrowding conditions as evidenced by
                          the use of trailers and portable buildings and the
                          potential for future overcrowding because of
                          increased enrollment; and

    [[Page 114 STAT. 1654A-385]]

                              ``(iii) facility needs resulting from actions
                          of the Federal Government.
                        ``(E) The age of the school facility to be
                    modernized.
                ``(4) Other award provisions.--
                        ``(A) Federal share.--The Federal funds provided
                    under this subsection to a local educational agency
                    described in subparagraph (C) shall not exceed 50
                    percent of the total cost of the project to be assisted
                    under this subsection. A local educational agency may
                    use in-kind contributions to meet the matching
                    requirement of the preceding sentence.
                        ``(B) Maximum grant.--A local educational agency
                    described in subparagraph (C) may not receive a grant
                    under this subsection in an amount that exceeds
                    $3,000,000 during any 5-year period.
                        ``(C) Local educational agency described.--A local
                    educational agency described in this subparagraph is a
                    local educational agency that has the authority to issue
                    bonds but is at such agency's limit in bonded
                    indebtedness for the purposes of generating funds for
                    capital expenditures.
                ``(5) Applications.--A local educational agency that desires
            to receive a grant under this subsection shall submit an
            application to the Secretary at such time, in such manner, and
            accompanied by such information as the Secretary may require.
            Each application shall contain--
                        ``(A) documentation certifying such agency's lack of
                    bonding capacity;
                        ``(B) a listing of the school facilities to be
                    modernized, including the number and percentage of
                    children determined under section 8003(a)(1) in average
                    daily attendance in each school facility;
                        ``(C) a description of the ownership of the property
                    on which the current school facility is located or on
                    which the planned school facility will be located;
                        ``(D) a description of any school facility
                    deficiency that poses a health or safety hazard to the
                    occupants of the school facility and a description of
                    how that deficiency will be repaired;
                        ``(E) a description of the modernization to be
                    supported with funds provided under this subsection;
                        ``(F) a cost estimate of the proposed modernization;
                    and
                        ``(G) such other information and assurances as the
                    Secretary may reasonably require.
                ``(6) Emergency grants.--
                        ``(A) Applications.--Each local educational agency
                    described in paragraph (2)(B)(ii) that desires a grant
                    under this subsection shall include in the application
                    submitted under paragraph (5) a signed statement from an
                    appropriate local official certifying that a health or
                    safety deficiency exists.
                        ``(B) Priority.--If the Secretary receives more than
                    one application from local educational agencies
                    described in paragraph (2)(B)(ii) for grants under this
                    subsection for any fiscal year, the Secretary shall give
                    priority to local educational agencies based on the
                    severity of the

    [[Page 114 STAT. 1654A-386]]

                    emergency, as determined by the Secretary, and when the
                    application was received.
                        ``(C) Allocation; reporting requirement.--
                              ``(i) Allocation.--In awarding grants under
                          this subsection to local educational agencies
                          described in paragraph (2)(B)(ii), the Secretary
                          shall consider all applications received from
                          local educational agencies that meet the
                          requirement of subsection (a)(2)(A) and local
                          educational agencies that meet the requirement of
                          subsection (a)(2)(B).
                              ``(ii) Reporting requirement.--
                                        ``(I) In general.--Not later than
                                    January 1 of each year, the Secretary
                                    shall prepare and submit to the
                                    appropriate congressional committees a
                                    report that contains a justification for
                                    each grant awarded under this subsection
                                    for the prior fiscal year.
                                        ``(II) Definition.--In this clause,
                                    the term `appropriate congressional
                                    committees' means the Committee on
                                    Appropriations and the Committee on
                                    Education and the Workforce of the House
                                    of Representatives and the Committee on
                                    Appropriations and the Committee on
                                    Health, Education, Labor and Pensions of
                                    the Senate.
                        ``(D) Consideration for following year.--A local
                    educational agency described in paragraph (2)(B)(ii)
                    that applies for a grant under this subsection for any
                    fiscal year and does not receive the grant shall have
                    the application for the grant considered for the
                    following fiscal year, subject to the priority described
                    in subparagraph (B).
                ``(7) Supplement not supplant.--An eligible local
            educational agency shall use funds received under this
            subsection only to supplement the amount of funds that would, in
            the absence of such Federal funds, be made available from non-
            Federal sources for the modernization of school facilities used
            for educational purposes, and not to supplant such funds.''.

    SEC. 1812. STATE CONSIDERATION OF PAYMENTS IN PROVIDING STATE AID.

        Section 8009 of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7709) is amended--
                (1) in subsection (a)(1), by striking ``or under'' and all
            that follows through ``of 1994)'';
                (2) by amending subsection (b)(1) to read as follows:
                ``(1) In general.--A State may reduce State aid to a local
            educational agency that receives a payment under section 8002 or
            8003(b) (except the amount calculated in excess of 1.0 under
            section 8003(a)(2)(B)) for any fiscal year if the Secretary
            determines, and certifies under subsection (c)(3)(A), that the
            State has in effect a program of State aid that equalizes
            expenditures for free public education among local educational
            agencies in the State.''; and
                (3) in subsection (d)--
                        (A) in paragraph (1)--
                              (i) in the matter proceeding subparagraph (A),
                          by striking ``or under'' and all that follows
                          through ``of 1994)''; and

    [[Page 114 STAT. 1654A-387]]

                              (ii) in subparagraph (B), by striking ``or
                          under'' and all that follows through ``of 1994)'';
                          and
                        (B) in paragraph (2), by striking ``or under'' and
                    all that follows through ``of 1994)''.

    SEC. 1813. FEDERAL ADMINISTRATION.

        Section 8010(c) of the Elementary and Secondary Education Act of
    1965 (20 U.S.C. 7710(c)) is amended--
                (1) by striking paragraph (1);
                (2) by redesignating paragraphs (2) and (3) as paragraphs
            (1) and (2), respectively; and
                (3) in paragraph (2) (as redesignated)--
                        (A) in subparagraph (D), by striking ``section
                    5(d)(2) of the Act of September 30, 1950 (Public Law
                    874, 81st Congress) (as such section was in effect on
                    the day preceding the date of enactment of the Improving
                    America's Schools Act of 1994) or''; and
                        (B) in subparagraph (E)--
                              (i) by striking ``1994'' and inserting
                          ``1999'';
                              (ii) by striking ``(or such section's
                          predecessor authority)''; and
                              (iii) by striking ``paragraph (2)'' and
                          inserting ``paragraph (1)''.

    SEC. 1814. ADMINISTRATIVE HEARINGS AND JUDICIAL REVIEW.

        (a) Administrative Hearings.--
                (1) In general.--Section 8011(a) of the Elementary and
            Secondary Education Act of 1965 (20 U.S.C. 7711) is amended by
            adding at the end before the period the following: ``if the
            local educational agency or State, as the case may be, submits
            to the Secretary a request for the hearing not later than 60
            days after the date of the action of the Secretary under this
            title''.
                (2) Effective date.--The amendment made by paragraph (1)
            shall apply with respect to an action of the Secretary under
            title VIII of the Elementary and Secondary Education Act of 1965
            (20 U.S.C. 7701 et seq.) initiated on or after the date of the
            enactment of this Act.

        (b) Judicial Review of Secretarial Action.--Section 8011(b)(1) of
    the Elementary and Secondary Education Act of 1965 (20 U.S.C.
    7711(b)(1)) is amended by striking ``60 days'' and inserting ``30
    working days (as determined by the local educational agency or State)''.

    SEC. 1815. FORGIVENESS OF OVERPAYMENTS.

        The matter preceding paragraph (1) of section 8012 of the Elementary
    and Secondary Education Act of 1965 (20 U.S.C. 7712) is amended by
    striking ``under the Act'' and all that follows through ``of 1994)'' and
    inserting ``under this title's predecessor authorities''.

    SEC. 1816. DEFINITIONS.

        Section 8013 of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7713) is amended--
                (1) in paragraph (5)--
                        (A) in subparagraph (A)(iii)--
                                        (I) in subclause (I), by striking
                                    ``or'' after the semicolon; and
                                        (II) by adding at the end the
                                    following:

    [[Page 114 STAT. 1654A-388]]

                                        ``(III) used for affordable housing
                                    assisted under the Native American
                                    Housing Assistance and Self-
                                    Determination Act of 1996; or''; and
                        (B) in subparagraph (F)(i), by striking ``the
                    mutual'' and all that follows through ``1937'' and
                    inserting ``or authorized by the Native American Housing
                    Assistance and Self-Determination Act of 1996'';
                (2) in paragraph (8)(B), by striking ``all States'' and
            inserting ``the 50 States and the District of Columbia'';
                (3) by redesignating paragraphs (11) and (12) as paragraphs
            (12) and (13), respectively; and
                (4) by inserting after paragraph (10) the following:
                ``(11) Modernization.--The term `modernization' means
            repair, renovation, alteration, or construction, including--
                        ``(A) the concurrent installation of equipment; and
                        ``(B) the complete or partial replacement of an
                    existing school facility, but only if such replacement
                    is less expensive and more cost-effective than repair,
                    renovation, or alteration of the school facility.''.

    SEC. 1817. AUTHORIZATION OF APPROPRIATIONS.

        (a) Payments for Federal Acquisition of Real Property.--Section
    8014(a) of the Elementary and Secondary Education Act of 1965 (20 U.S.C.
    7714(a)) is amended--
                (1) by striking ``$16,750,000 for fiscal year 1995'' and
            inserting ``$32,000,000 for fiscal year 2000''; and
                (2) by striking ``four'' and inserting ``three''.

        (b) Basic Payments.--Section 8014(b) of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7714(b)) is amended--
                (1) by striking ``subsections (b) and (f ) of section 8003''
            and inserting ``section 8003(b)'';
                (2) by striking ``$775,000,000 for fiscal year 1995'' and
            inserting ``$809,400,000 for fiscal year 2000'';
                (3) by striking ``four'' and inserting ``three''; and
                (4) by striking ``, of which 6 percent'' and all that
            follows and inserting a period.

        (c) Payments for Children With Disabilities.--Section 8014(c) of the
    Elementary and Secondary Education Act of 1965 (20 U.S.C. 7714(c)) is
    amended--
                (1) by striking ``$45,000,000 for fiscal year 1995'' and
            inserting ``$50,000,000 for fiscal year 2000''; and
                (2) by striking ``four'' and inserting ``three''.

        (d) Payments for Increases in Military Children.--Subsection (d) of
    section 8014 of the Elementary and Secondary Education Act of 1965 (20
    U.S.C. 7714) is repealed.
        (e) Construction.--Section 8014(e) of the Elementary and Secondary
    Education Act of 1965 (20 U.S.C. 7714(e)) is amended--
                (1) by striking ``$25,000,000 for fiscal year 1995'' and
            inserting ``$10,052,000 for fiscal year 2000''; and
                (2) by striking ``four'' and inserting ``three''.

        (f ) Facilities Maintenance.--Section 8014(f ) of the Elementary and
    Secondary Education Act of 1965 (20 U.S.C. 7714(f )) is amended--
                (1) by striking ``$2,000,000 for fiscal year 1995'' and
            inserting ``$5,000,000 for fiscal year 2000''; and
                (2) by striking ``four'' and inserting ``three''.

    [[Page 114 STAT. 1654A-389]]

        (g) Additional Assistance for Certain Local Educational Agencies
    Impacted by Federal Property Acquisition.--Section 8014(g) of the
    Elementary and Secondary Education Act of 1965 (20 U.S.C. 7714(g)) is
    amended--
                (1) in the heading, by striking ``Federal Property Local
            Educational Agencies'' and inserting ``Local Educational
            Agencies Impacted by Federal Property Acquisition''; and
                (2) by striking ``such sums as are necessary beginning in
            fiscal year 1998 and for each succeeding fiscal year'' and
            inserting ``$1,500,000 for fiscal year 2000 and such sums as may
            be necessary for each of the three succeeding fiscal years''.

    SEC. 1818. EFFECTIVE DATE.

        This title, and the amendments made by this title, shall take effect
    on October 1, 2000, or the date of the enactment of this Act, whichever
    occurs later.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    SEC. 2001. SHORT TITLE.

        This division may be cited as the ``Military Construction
    Authorization Act for Fiscal Year 2001''.

                                 TITLE XXI--ARMY

    Sec.2101.Authorized Army construction and land acquisition projects.
    Sec.2102.Family housing.
    Sec.2103.Improvements to military family housing units.
    Sec.2104.Authorization of appropriations, Army.
    Sec.2105.Modification of authority to carry out certain fiscal year 2000
               projects.
    Sec.2106.Modification of authority to carry out certain fiscal year 1999
               projects.
    Sec.2107.Modification of authority to carry out fiscal year 1998
               project.
    Sec.2108.Authority to accept funds for realignment of certain military
               construction project, Fort Campbell, Kentucky.

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

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

                         Army: Inside the United States
    ------------------------------------------------------------------------
                State              Installation or location       Amount
    ------------------------------------------------------------------------
    Alabama......................  Redstone Arsenal........      $39,000,000
    Alaska.......................  Fort Richardson.........       $3,000,000
    Arizona......................  Fort Huachuca...........       $4,600,000
    Arkansas.....................  Pine Bluff Arsenal......       $2,750,000
    California...................  Fort Irwin..............      $31,000,000
                                   Presidio, Monterey......       $2,600,000
    Georgia......................  Fort Benning............      $15,800,000
                                   Fort Gordon.............       $2,600,000
    Hawaii.......................  Pohakoula Training            $32,000,000
                                    Facility.
                                   Schofield Barracks......      $43,800,000

    [[Page 114 STAT. 1654A-390]]

    Kansas.......................  Fort Riley..............      $22,000,000
    Kentucky.....................  Fort Knox...............         $550,000
    Maryland.....................  Fort Meade..............      $19,000,000
    Missouri.....................  Fort Leonard Wood.......      $65,400,000
    New Jersey...................  Picatinny Arsenal.......       $5,600,000
    New York.....................  Fort Drum...............      $18,000,000
    North Carolina...............  Fort Bragg..............     $222,200,000
                                   Sunny Point Army               $2,300,000
                                    Terminal.
    Ohio.........................  Columbus................       $1,832,000
    Pennsylvania.................  Carlisle Barracks.......      $10,500,000
                                   New Cumberland Army            $3,700,000
                                    Depot.
    Texas........................  Fort Bliss..............      $26,000,000
                                   Fort Hood...............      $36,492,000
                                   Red River Army Depot....         $800,000
    Virginia.....................  Fort Evans..............       $4,450,000
                                                            ----------------
                                     Total:................     $615,974,000
    ------------------------------------------------------------------------

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

                         Army: Outside the United States
    ------------------------------------------------------------------------
               Country              Installation or location      Amount
    ------------------------------------------------------------------------
    Germany......................  Area Support Group,           $11,650,000
                                    Bamberg.................
                                   Area Support Group,           $11,300,000
                                    Darmstadt...............
                                   Kaiserslautern...........      $3,400,000
                                   Mannheim.................      $4,050,000
    Korea........................  Camp Carroll.............     $10,000,000
                                   Camp Hovey...............     $30,200,000
                                   Camp Humphreys...........     $14,200,000
                                   Camp Page................     $19,500,000
                                   Yongpyong................     $11,850,000
    Puerto Rico..................  Fort Buchanan............      $3,700,000
                                                             ---------------
                                     Total:.................    $119,850,000
    ------------------------------------------------------------------------

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

                           Army: Unspecified Worldwide
    ------------------------------------------------------------------------
               Location                   Installation            Amount
    ------------------------------------------------------------------------
    Unspecified Worldwide........  Classified Location......     $11,000,000
    ------------------------------------------------------------------------

    SEC. 2102. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2104(a)(6)(A), the Secretary of the Army may construct or acquire

    [[Page 114 STAT. 1654A-391]]

    family housing units (including land acquisition) at the installations,
    for the purposes, and in the amounts set forth in the following table:

                                                  Army: Family Housing
    ----------------------------------------------------------------------------------------------------------------
               State or Country              Installation or location             Purpose                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska................................  Fort Wainwright..........  75 Units.....................     $24,000,000
    Arizona...............................  Fort Huachuca............  110 Units....................     $16,224,000
    California............................  Fort Irwin...............  24 Units.....................      $4,700,000
    Hawaii................................  Schofield Barracks.......  72 Units.....................     $15,500,000
    Kentucky..............................  Fort Campbell............  184 Units....................     $27,800,000
    Maryland..............................  Fort Detrick.............  48 Units.....................      $5,600,000
    Missouri..............................  Fort Leonard Wood........  24 Units.....................      $4,150,000
    North Carolina........................  Fort Bragg...............  160 Units....................     $22,000,000
    South Carolina........................  Fort Jackson.............  1 Unit.......................        $250,000
    Texas.................................  Fort Bliss...............  64 Units.....................     $10,200,000
    Virginia..............................  Fort Lee.................  52 Units.....................      $8,600,000
    Korea.................................  Camp Humphreys...........  60 Units.....................     $21,800,000
    Puerto Rico...........................  Fort Buchanan............  31 Units.....................      $5,000,000
                                                                                                     ---------------
                                              Total:.................  .............................    $165,824,000
    ----------------------------------------------------------------------------------------------------------------

        (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
    $6,542,000.

    SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2104(a)(6)(A), the Secretary of the Army may improve existing
    military family housing units in an amount not to exceed $63,590,000.

    SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 2000, for military
    construction, land acquisition, and military family housing functions of
    the Department of the Army in the total amount of $1,925,344,000, as
    follows:
                (1) For military construction projects inside the United
            States authorized by section 2101(a), $419,374,000.
                (2) For military construction projects outside the United
            States authorized by section 2101(b), $119,850,000.
                (3) For a military construction project at an unspecified
            worldwide location authorized by section 2101(c), $11,000,000.
                (4) For unspecified minor construction projects authorized
            by section 2805 of title 10, United States Code, $20,700,000.
                (5) For architectural and engineering services and
            construction design under section 2807 of title 10, United
            States Code, $109,306,000.
                (6) For military family housing functions:
                        (A) For construction and acquisition, planning and
                    design, and improvement of military family housing and
                    facilities, $235,956,000.

    [[Page 114 STAT. 1654A-392]]

                        (B) For support of military family housing
                    (including the functions described in section 2833 of
                    title 10, United States Code), $971,704,000.
                (7) For the construction of phase 1C of a barracks complex,
            Infantry Drive, Fort Riley, Kansas, authorized by section
            2101(a) of the Military Construction Act for Fiscal Year 1999
            (division B of Public Law 105-261; 112 Stat. 2182), $10,000,000.
                (8) For the construction of a railhead facility, Fort Hood,
            Texas, authorized by section 2101(a) of the Military
            Construction Authorization Act for Fiscal Year 1999 (112 Stat.
            2182), as amended by section 2106 of this Act, $9,800,000.
                (9) For the construction of a chemical defense qualification
            facility, Pine Bluff Arsenal, Arkansas, authorized by section
            2101(a) of the Military Construction Authorization Act for
            Fiscal Year 2000 (division B of Public Law 106-65; 113 Stat.
            825), $2,592,000.
                (10) For the construction of phase 1B of a barracks complex,
            Wilson Street, Schofield Barracks, Hawaii, authorized by section
            2101(a) of the Military Construction Authorization Act for
            Fiscal Year 2000 (113 Stat. 825), $22,400,000.
                (11) For the construction of phase 2B of a barracks complex,
            Tagaytay Street, Fort Bragg, North Carolina, authorized by
            section 2101(a) of the Military Construction Authorization Act
            for Fiscal Year 2000 (113 Stat. 825), $3,108,000.
                (12) For the construction of phase 2 of a tactical equipment
            shop, Fort Sill, Oklahoma, authorized by section 2101(a) of the
            Military Construction Authorization Act for Fiscal Year 2000
            (113 Stat. 825), $10,100,000.

        (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 variations authorized by law,
    the total cost of all projects carried out under section 2101 of this
    Act may not exceed--
                (1) the total amount authorized to be appropriated under
            paragraphs (1) and (2) of subsection (a);
                (2) $22,600,000 (the balance of the amount authorized under
            section 2101(a) for the construction of a Basic Training Complex
            at Fort Leonard Wood, Missouri);
                (3) $10,000,000 (the balance of the amount authorized under
            section 2101(a) for construction of a Multipurpose Digital
            Training Range at Fort Hood, Texas);
                (4) $34,000,000 (the balance of the amount authorized under
            section 2101(a) for construction of phase I of a barracks
            complex, Longstreet Road, Fort Bragg, North Carolina);
                (5) $104,000,000 (the balance of the amount authorized under
            section 2101(a) for the construction phase I of a barracks
            complex, Bunter Road, Fort Bragg, North Carolina);
                (6) $6,000,000 (the balance of the amount authorized under
            section 2101(a) for the construction of a battle simulation
            center at Fort Drum, New York); and
                (7) $20,000,000 (the balance of the amount authorized under
            section 2101(a) for the construction of Saddle Access Road,
            Pohakuloa Training Facility, Hawaii).

        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (12) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by--

    [[Page 114 STAT. 1654A-393]]

                (1) $635,000, which represents the combination of savings
            resulting from adjustments to foreign currency exchange rates
            for military construction outside the United States; and
                (2) $19,911,000 which represents the combination of savings
            resulting from adjustments to foreign currency exchange rates
            for military family housing construction and military family
            housing support outside the United States.

    SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
                2000 PROJECTS.

        (a) Construction Projects Inside the United States.--The table in
    section 2101(a) of the Military Construction Authorization Act for
    Fiscal Year 2000 (division B of Public Law 106-65; 113 Stat. 825) is
    amended--
                (1) in the item relating to Fort Stewart, Georgia, by
            striking ``$71,700,000'' in the amount column and inserting
            ``$25,700,000'';
                (2) by striking the item relating to Fort Riley, Kansas;
                (3) in the item relating to CONUS Various, by striking
            ``$36,400,000'' in the amount column and inserting
            ``$138,900,000''; and
                (4) by striking the amount identified as the total in the
            amount column and inserting ``$1,059,250,000''.

        (b) Unspecified Minor Construction Projects.--Subsection (a)(3) of
    section 2104 of the Military Construction Authorization Act for Fiscal
    Year 2000 (113 Stat. 826) is amended by striking ``$9,500,000'' and
    inserting ``$14,600,000''.
        (c) Conforming Amendments.--Section 2104 of the Military
    Construction Authorization Act for Fiscal Year 2000 is further amended--
                (1) in the matter preceding subsection (a), by striking
            ``$2,353,231,000'' and inserting ``$2,358,331,000''; and
                (2) in subsection (b), by striking paragraph (7) and
            inserting the following new paragraph:
                ``(7) $102,500,000 (the balance of the amount authorized
            under section 2101(a) for Army construction and land acquisition
            projects covered under the item relating to CONUS Various, as
            amended by section 2105 of the Military Construction
            Authorization Act for Fiscal Year 2001).

    SEC. 2106. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
                1999 PROJECTS.

        (a) Modification.--The table in section 2101 of the Military
    Construction Authorization Act for Fiscal Year 1999 (division B of
    Public Law 105-261; 112 Stat. 2182) is amended--
                (1) in the item relating to Fort Hood, Texas, by striking
            ``$32,500,000'' in the amount column and inserting
            ``$45,300,000'';
                (2) in the item relating to Fort Riley, Kansas, by striking
            ``$41,000,000'' in the amount column and inserting
            ``$44,500,000''; and
                (3) by striking the amount identified as the total in the
            amount column and inserting ``$785,081,000''.

        (b) Conforming Amendments.--Section 2104 of that Act (112 Stat.
    2184) is amended--
                (1) in subsection (a)--
                        (A) in the matter preceding paragraph (1), by
                    striking ``$2,098,713,000'' and inserting
                    ``$2,111,513,000''; and

    [[Page 114 STAT. 1654A-394]]

                        (B) in paragraph (1), by striking ``$609,781,000''
                    and inserting ``$622,581,000''; and
                (2) in subsection (b)(7), by striking ``$24,500,000'' and
            inserting ``$28,000,000''.

    SEC. 2107. MODIFICATION OF AUTHORITY TO CARRY OUT FISCAL YEAR 1998
                PROJECT.

        (a) Modification.--The table in section 2101(a) of the Military
    Construction Authorization Act for Fiscal Year 1998 (division B of
    Public Law 105-85; 111 Stat. 1967), as amended by section 2105(a) of the
    Military Construction Authorization Act for Fiscal Year 1999 (division B
    of Public Law 105-261; 112 Stat. 2185), is amended--
                (1) in the item relating to Hunter Army Airfield, Fort
            Stewart, Georgia, by striking ``$54,000,000'' in the amount
            column and inserting ``$57,500,000''; and
                (2) by striking the amount identified as the total in the
            amount column and inserting ``$606,250,000''.

        (b) Conforming Amendment.--Section 2104(b)(5) of the Military
    Construction Authorization Act for Fiscal Year 1998 (111 Stat. 1969) is
    amended by striking ``$42,500,000'' and inserting ``$46,000,000''.

    SEC. 2108. AUTHORITY TO ACCEPT FUNDS FOR REALIGNMENT OF CERTAIN MILITARY
                CONSTRUCTION PROJECT, FORT CAMPBELL, KENTUCKY.

        (a) Authority To Accept Funds.--(1) The Secretary of the Army may
    accept funds from the Federal Highway Administration or the Commonwealth
    of Kentucky for purposes of funding all costs associated with the
    realignment of the military construction project involving a rail
    connector located at Fort Campbell, Kentucky, as authorized in section
    2101(a) of the Military Construction Authorization Act for Fiscal Year
    1997 (division B of Public Law 104-201; 110 Stat. 2763).
        (2) Any funds accepted under paragraph (1) shall be credited to the
    account of the Department of the Army from which the costs of the
    realignment of the military construction project described in that
    paragraph are to be paid.
        (b) Use of Funds.--(1) The Secretary may use funds accepted under
    subsection (a) for any costs associated with the realignment of the
    military construction project described in that subsection in addition
    to any amounts authorized and appropriated for the military construction
    project.
        (2) For purposes of paragraph (1), the costs associated with the
    realignment of the military construction project described in subsection
    (a) include redesign costs, additional construction costs, additional
    costs due to construction delays related to the realignment, and
    additional real estate costs.
        (3) Funds accepted under subsection (a) shall remain available for
    use under paragraph (1) until expended.

                                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.

    [[Page 114 STAT. 1654A-395]]

    Sec.2205.Modification of authority to carry out fiscal year 1997 project
               at Marine Corps Combat Development Command, Quantico,
               Virginia.

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

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

                         Navy: Inside the United States
    ------------------------------------------------------------------------
                State               Installation or location      Amount
    ------------------------------------------------------------------------
    Arizona......................  Marine Corps Air Station,      $8,200,000
                                    Yuma.
                                   Navy Detachment, Camp          $2,940,000
                                    Navajo.
    California...................  Marine Corps Air-Ground       $23,870,000
                                    Combat Center,
                                    Twentynine Palms........
                                   Marine Corps Air Station,     $13,740,000
                                    Miramar.................
                                   Marine Corps Base, Camp        $8,100,000
                                    Pendleton...............
                                   Marine Corps Logistics         $6,660,000
                                    Base, Barstow...........
                                   Naval Air Station,            $12,050,000
                                    Lemoore.
                                   Naval Air Warfare Center      $11,400,000
                                    Weapons Division, Point
                                    Mugu....................
                                   Naval Aviation Depot,          $4,340,000
                                    North Island............
                                   Naval Facility, San            $8,860,000
                                    Clemente Island.........
                                   Naval Postgraduate             $5,280,000
                                    School, Monterey........
                                   Naval Ship Weapons            $10,200,000
                                    Systems Engineering
                                    Station, Port Hueneme...
                                   Naval Station, San Diego.     $53,200,000
    Connecticut..................  Naval Submarine Base, New      $3,100,000
                                    London..................
    CONUS Various................  CONUS Various............     $11,500,000
    District of Columbia.........  Marine Corps Barracks....     $24,597,000
                                   Naval District,                $2,450,000
                                    Washington.
                                   Naval Research                $12,390,000
                                    Laboratory, Washington..
    Florida......................  Naval Air Station,             $5,130,000
                                    Whiting Field.
                                   Naval Surface Warfare          $9,960,000
                                    Center Wastal Systems
                                    Station, Panama City....
                                   Naval Station, Mayport...      $6,830,000
                                   Naval Surface Warfare          $3,570,000
                                    Center Detachment, Ft.
                                    Lauderdale..............
    Georgia......................  Marine Corps Logistics         $1,100,000
                                    Base, Albany............
                                   Navy Supply Corps School,      $2,950,000
                                    Athens..................
                                   Trident Refit Facility,        $5,200,000
                                    Kings Bay.
    Hawaii.......................  Fleet Industrial Supply       $12,000,000
                                    Center, Pearl Harbor....
                                   Naval Undersea Weapons         $2,100,000
                                    Station Detachment,
                                    Lualualei...............
                                   Marine Corps Air Station,     $18,400,000
                                    Kaneohe.................
                                   Naval Station, Pearl          $37,600,000
                                    Harbor.
    Illinois.....................  Naval Training Center,       $121,400,000
                                    Great Lakes.............
    Maine........................  Naval Air Station,             $2,450,000
                                    Brunswick.
                                   Naval Shipyard,                $4,960,000
                                    Portsmouth.
    Maryland.....................  Naval Explosive Ordinance      $6,430,000
                                    Disposal Technology
                                    Center, Indian Head.....
                                   Naval Air Station,             $8,240,000
                                    Patuxent River..........
    Mississippi..................  Naval Air Station,             $4,700,000
                                    Meridian.
                                   Naval Oceanographic            $6,950,000
                                    Office, Stennis Space
                                    Center..................

    [[Page 114 STAT. 1654A-396]]

    Nevada.......................  Naval Air Station, Fallon      $6,280,000
    New Jersey...................  Naval Weapons Station,         $2,420,000
                                    Earle.
    North Carolina...............  Marine Corps Air Station,      $8,480,000
                                    Cherry Point............
                                   Marine Corps Air Station,      $3,400,000
                                    New River...............
                                   Marine Corps Base, Camp       $45,870,000
                                    Lejeune.................
                                   Naval Aviation Depot,          $7,540,000
                                    Cherry Point............
    Pennsylvania.................  Naval Surface Warfare         $10,680,000
                                    Center Shipyard Systems
                                    Engineering Station,
                                    Philadelphia............
    Rhode Island.................  Naval Undersea Warfare         $4,150,000
                                    Center Division, Newport
    South Carolina...............  Marine Corps Air Station,      $3,140,000
                                    Beaufort................
                                   Marine Corps Recruit           $2,660,000
                                    Depot, Parris Island....
    Texas........................  Naval Air Station, Corpus      $4,850,000
                                    Christi.................
                                   Naval Air Station,             $2,670,000
                                    Kingsville.
                                   Naval Station, Ingleside.      $2,420,000
    Virginia.....................  AEGIS Combat Systems           $3,300,000
                                    Center, Wallops Island..
                                   Marine Corps Combat            $8,590,000
                                    Development Command,
                                    Quantico................
                                   Naval Air Station,            $31,450,000
                                    Norfolk.
                                   Naval Air Station, Oceana      $5,250,000
                                   Naval Amphibious Base,         $2,830,000
                                    Little Creek............
                                   Naval Shipyard, Norfolk,      $16,100,000
                                    Portsmouth..............
                                   Naval Station, Norfolk...      $4,700,000
                                   Naval Surface Warfare         $30,700,000
                                    Center, Dahlgren........
    Washington...................  Naval Shipyard,              $100,740,000
                                    Bremerton, Puget Sound..
                                   Naval Station, Bremerton.     $11,930,000
                                   Naval Station, Everett...      $5,500,000
                                   Naval Submarine Base,          $4,600,000
                                    Bangor..................
                                   Strategic Weapons              $1,400,000
                                    Facility Pacific,
                                    Bremerton...............
                                                             ---------------
                                     Total:.................    $811,497,000
    ------------------------------------------------------------------------

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

                         Navy: Outside the United States
    ------------------------------------------------------------------------
               Country              Installation or location      Amount
    ------------------------------------------------------------------------
    Bahrain......................  Administrative Support        $19,400,000
                                    Unit.
    Italy........................  Naval Air Station,            $32,969,000
                                    Sigonella.
                                   Naval Support Activity,       $15,000,000
                                    Naples.
    Various Locations............  Host Nation                      $142,000
                                    Infrastructure Support..
                                                             ---------------
                                     Total:.................     $67,511,000
    ------------------------------------------------------------------------

    SEC. 2202. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section

    [[Page 114 STAT. 1654A-397]]

    2204(a)(5)(A), the Secretary of the Navy may construct or acquire family
    housing units (including land acquisition) at the installations, for the
    purposes, and in the amounts set forth in the following table:

                                                  Navy: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                     Installation or location             Purpose               Amount
    ----------------------------------------------------------------------------------------------------------------
    California..............................  Marine Corps Air-Ground      79 Units...................   $13,923,000
                                               Combat Center, Twentynine
                                               Palms.....................
                                              Naval Air Station, Lemoore.  260 Units..................   $47,871,000
    Hawaii..................................  Commander Naval Base, Pearl  112 Units..................   $23,654,000
                                               Harbor....................
                                              Commander Naval Base, Pearl  62 Units...................   $14,237,000
                                               Harbor....................
                                              Commander Naval Base, Pearl  98 Units...................   $22,230,000
                                               Harbor....................
                                              Marine Corps Air Station,    84 Units...................   $21,910,000
                                               Kaneohe Bay...............
    Louisiana...............................  Naval Air Station, New       34 Units...................    $5,000,000
                                               Orleans...................
    Maine...................................  Naval Air Station,           168 Units..................   $18,722,000
                                               Brunswick.................
    Mississippi.............................  Naval Construction           157 Units..................   $20,700,000
                                               Battalion Center, Gulfport
    Washington..............................  Naval Air Station, Whidbey   98 Units...................   $16,873,000
                                               Island....................
                                                                                                       -------------
                                                                             Total:...................  $205,120,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to the
    authorization of appropriations in section 2204(a)(5)(A), the Secretary
    of the Navy may carry out architectural and engineering services and
    construction design activities with respect to the construction or
    improvement of military family housing units in an amount not to exceed
    $19,958,000.

    SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2204(a)(5)(A), the Secretary of the Navy may improve existing
    military family housing units in an amount not to exceed $193,077,000.

    SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 2000, for military
    construction, land acquisition, and military family housing functions of
    the Department of the Navy in the total amount of $2,227,995,000, as
    follows:
                (1) For military construction projects inside the United
            States authorized by section 2201(a), $750,257,000.
                (2) For military construction projects outside the United
            States authorized by section 2201(b), $67,511,000.
                (3) For unspecified minor construction projects authorized
            by section 2805 of title 10, United States Code, $11,659,000.

    [[Page 114 STAT. 1654A-398]]

                (4) For architectural and engineering services and
            construction design under section 2807 of title 10, United
            States Code, $73,335,000.
                (5) For military family housing functions:
                        (A) For construction and acquisition, planning and
                    design, and improvement of military family housing and
                    facilities, $418,155,000.
                        (B) For support of military housing (including
                    functions described in section 2833 of title 10, United
                    States Code), $882,638,000.
                (6) For construction of a berthing wharf at Naval Air
            Station, North Island, California, authorized by section 2201(a)
            of the Military Construction Authorization Act for Fiscal Year
            2000 (division B of Public Law 106-65; 113 Stat. 828),
            $12,800,000.
                (7) For construction of the Commander-in-Chief Headquarters,
            Pacific Command, Camp H.M. Smith, Hawaii, authorized by section
            2201(a) of the Military Construction Authorization Act for
            Fiscal Year 2000, $35,600,000.

        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2201 of this
    Act may not exceed--
                (1) the total amount authorized to be appropriated under
            paragraphs (1) and (2) of subsection (a);
                (2) $17,500,000 (the balance of the amount authorized under
            section 2201(a) for repair of a pier at Naval Station, San
            Diego, California);
                (3) $24,460,000 (the balance of the amount authorized under
            section 2201(a) for replacement of a pier at Naval Shipyard,
            Bremerton, Puget Sound, Washington); and
                (4) $10,280,000 (the balance of the amount authorized under
            section 2201(a) for construction of an industrial skills center
            at Naval Shipyard, Bremerton, Puget Sound, Washington).

        (c) Adjustments.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (7) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by--
                (1) $2,889,000, which represents the combination of savings
            resulting from adjustments to foreign currency exchange rates
            for military construction outside the United States;
                (2) $20,000,000, which represents the combination of project
            savings in military construction resulting from favorable bids,
            reduced overhead charges, and cancellations due to force
            structure changes; and
                (3) $1,071,000, which represents the combination of savings
            resulting from adjustments to foreign currency exchange rates
            for military family housing support outside the United States.

    SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT FISCAL YEAR 1997
                PROJECT AT MARINE CORPS COMBAT DEVELOPMENT COMMAND,
                QUANTICO, VIRGINIA.

        The Secretary of the Navy may carry out a military construction
    project involving infrastructure development at the Marine Corps Combat
    Development Command, Quantico, Virginia, in the amount

    [[Page 114 STAT. 1654A-399]]

    of $8,900,000, using amounts appropriated pursuant to the authorization
    of appropriations in section 2204(a)(1) of the Military Construction
    Authorization Act for Fiscal Year 1997 (division B of Public Law 104-
    201; 110 Stat. 2769) for a military construction project involving a
    sanitary landfill at that installation, as authorized by section 2201(a)
    of that Act (110 Stat. 2767) and extended by section 2702 of the
    Military Construction Authorization Act for Fiscal Year 2000 (division B
    of Public Law 106-65; 113 Stat. 842) and section 2703 of this Act.

                             TITLE XXIII--AIR FORCE

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

    SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION
                PROJECTS.

        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2304(a)(1), the
    Secretary of the Air Force may acquire real property and carry out
    military construction projects for the installations and locations
    inside the United States, and in the amounts, set forth in the following
    table:

                       Air Force: Inside the United States
    ------------------------------------------------------------------------
                State               Installation or location      Amount
    ------------------------------------------------------------------------
    Alabama......................  Maxwell Air Force Base...      $3,825,000
    Alaska.......................  Cape Romanzof............      $3,900,000
                                   Eielson Air Force Base...     $40,990,000
                                   Elmendorf Air Force Base.     $35,186,000
    Arizona......................  Davis-Monthan Air Force        $7,900,000
                                    Base....................
    Arkansas.....................  Little Rock Air Force         $18,319,000
                                    Base....................
    California...................  Beale Air Force Base.....     $10,099,000
                                   Los Angeles Air Force          $6,580,000
                                    Base.
                                   Vandenberg Air Force Base      $4,650,000
    Colorado.....................  Buckley Air National           $2,750,000
                                    Guard Base..............
                                   Peterson Air Force Base..     $22,396,000
                                   Schriever Air Force Base.      $8,450,000
                                   United States Air Force       $18,960,000
                                    Academy.................
    CONUS Classified.............  Classified Location......      $1,810,000
    District of Columbia.........  Bolling Air Force Base...      $4,520,000
    Florida......................  Eglin Air Force Base.....      $8,940,000
                                   Eglin Auxiliary Field 9..      $7,960,000
                                   Patrick Air Force Base...     $12,970,000
                                   Tyndall Air Force Base...     $31,495,000
    Georgia......................  Fort Stewart/Hunter Army       $4,920,000
                                    Air Field...............
                                   Moody Air Force Base.....     $11,318,000
                                   Robins Air Force Base....     $15,857,000
    Hawaii.......................  Hickam Air Force Base....      $4,620,000
    Idaho........................  Mountain Home Air Force       $10,125,000
                                    Base....................
    Illinois.....................  Scott Air Force Base.....      $3,830,000
    Kansas.......................  McConnell Air Force Base.     $11,864,000
    Louisiana....................  Barksdale Air Force Base.      20,464,000
    Massachusetts................  Hanscom Air Force Base...     $12,000,000
    Mississippi..................  Columbus Air Force Base..      $4,828,000
                                   Keesler Air Force Base...     $15,040,000
    Missouri.....................  Whiteman Air Force Base..     $12,050,000
    Montana......................  Malmstrom Air Force Base.     $11,179,000

    [[Page 114 STAT. 1654A-400]]

    New Jersey...................  McGuire Air Force Base...     $29,772,000
    New Mexico...................  Cannon Air Force Base....      $4,934,000
                                   Holloman Air Force Base..     $18,380,000
                                   Kirtland Air Force Base..      $7,350,000
    North Carolina...............  Pope Air Force Base......     $24,570,000
                                   Seymour Johnson Air Force      $7,141,000
                                    Base....................
    Ohio.........................  Wright-Patterson Air          $37,508,000
                                    Force Base..............
    Oklahoma.....................  Altus Air Force Base.....      $2,939,000
                                   Tinker Air Force Base....        ,895,000
                                   Vance Air Force Base.....     $10,504,000
    South Carolina...............  Charleston Air Force Base     $22,238,000
                                   Shaw Air Force Base......      $8,102,000
    South Dakota.................  Ellsworth Air Force Base.     $10,290,000
    Texas........................  Dyess Air Force Base.....     $24,988,000
                                   Lackland Air Force Base..     $10,330,000
                                   Laughlin Air Force Base..     $11,973,000
                                   Sheppard Air Force Base..      $6,450,000
    Utah.........................  Hill Air Force Base......     $28,050,000
    Virginia.....................  Langley Air Force Base...     $19,650,000
    Washington...................  Fairchild Air Force Base.      $7,926,000
                                   McChord Air Force Base...     $10,250,000
    Wyoming......................  F.E. Warren Air Force         $25,720,000
                                    Base.
                                                             ---------------
                                     Total:.................    $745,755,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2304(a)(2), the
    Secretary of the Air Force may acquire real property and carry out
    military construction projects for the installations and locations
    outside the United States, and in the amounts, set forth in the
    following table:

                      Air Force: Outside the United States
    ------------------------------------------------------------------------
               Country              Installation or location      Amount
    ------------------------------------------------------------------------
    Diego Garcia.................  Diego Garcia.............      $5,475,000
    Italy........................  Aviano Air Base..........      $8,000,000
    Korea........................  Kunsan Air Base..........      $6,400,000
                                   Osan Air Base............     $21,948,000
    Spain........................  Naval Station, Rota......      $5,052,000
    Turkey.......................  Incirlik Air Base........      $1,000,000
                                                             ---------------
                                     Total:.................     $47,875,000
    ------------------------------------------------------------------------

    SEC. 2302. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2304(a)(5)(A), the Secretary of the Air Force may construct or acquire
    family housing units (including land acquisition) at the installations,
    for the purposes, and in the amounts set forth in the following table:

                                                Air Force: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Purpose                 Amount
    ----------------------------------------------------------------------------------------------------------------
    California............................  Edwards Air Force Base...  57 Units.....................      $9,870,000

    [[Page 114 STAT. 1654A-401]]

                                            Travis Air Force Base....  64 Units.....................      $9,870,000
    District of Columbia..................  Bolling Air Force Base...  136 Units....................     $17,137,000
    Idaho.................................  Mountain Home Air Force    119 Units....................     $10,598,000
                                             Base....................
    Nevada................................  Nellis Air Force Base....  26 Units.....................      $5,000,000
    North Dakota..........................  Cavalier Air Force         2 Units......................        $443,000
                                             Station.................
                                            Minot Air Force Base.....  134 Units....................     $19,097,000
                                                                                                     ---------------
                                                                         Total:.....................     $72,015,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to the
    authorization of appropriations in section 2304(a)(5)(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
    $12,760,000.

    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)(5)(A), the Secretary of the Air Force may improve
    existing military family housing units in an amount not to exceed
    $174,046,000.

    SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 2000, for military
    construction, land acquisition, and military family housing functions of
    the Department of the Air Force in the total amount of $1,943,069,000,
    as follows:
                (1) For military construction projects inside the United
            States authorized by section 2301(a), $736,355,000.
                (2) For military construction projects outside the United
            States authorized by section 2301(b), $47,875,000.
                (3) For unspecified minor construction projects authorized
            by section 2805 of title 10, United States Code, $11,350,000.
                (4) For architectural and engineering services and
            construction design under section 2807 of title 10, United
            States Code, $74,628,000.
                (5) For military housing functions:
                        (A) For construction and acquisition, planning and
                    design, and improvement of military family housing and
                    facilities, $258,821,000.
                        (B) For support of military family housing
                    (including functions described in section 2833 of title
                    10, United States Code), $826,271,000.

        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2301 of this
    Act may not exceed--
                (1) the total amount authorized to be appropriated under
            paragraphs (1) and (2) of subsection (a); and

    [[Page 114 STAT. 1654A-402]]

                (2) $9,400,000 (the balance of the amount authorized under
            section 2301(a) for the construction of an air freight terminal
            and base supply complex at McGuire Air Force Base, New Jersey).

        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (5) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced by
    $12,231,000, which represents the combination of savings resulting from
    adjustments to foreign currency exchange rates for military family
    housing construction and military family housing support outside the
    United States.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec.2401.Authorized Defense Agencies construction and land acquisition
               projects.
    Sec.2402.Energy conservation projects.
    Sec.2403.Authorization of appropriations, Defense Agencies.
    Sec.2404.Modification of authority to carry out certain fiscal year 1990
               project.

    SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND ACQUISITION
                PROJECTS.

        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2403(a)(1), the
    Secretary of Defense may acquire real property and carry out military
    construction projects for the installations and locations inside the
    United States, and in the amounts, set forth in the following table:

                   Defense Agencies: Inside the United States
    ------------------------------------------------------------------------
                Agency              Installation or location      Amount
    ------------------------------------------------------------------------
    Chemical Demilitarization....  Aberdeen Proving Ground..      $3,100,000
    Defense Education Activity...  Camp Lejeune, North            $5,914,000
                                    Carolina................
                                   Laurel Bay, South                $804,000
                                    Carolina................
    Defense Logistics Agency.....  Defense Distribution          $17,700,000
                                    Depot Susquehanna, New
                                    Cumberland, Pennsylvania
                                   Defense Fuel Support           $5,700,000
                                    Point, Cherry Point,
                                    North Carolina..........
                                   Defense Fuel Support          $16,956,000
                                    Point, MacDill Air Force
                                    Base, Florida...........
                                   Defense Fuel Support          $11,000,000
                                    Point, McConnell Air
                                    Force Base, Kansas......
                                   Defense Fuel Support           $5,000,000
                                    Point, Naval Air
                                    Station, Fallon, Nevada.
                                   Defense Fuel Support           $5,900,000
                                    Point, North Island,
                                    California..............
                                   Defense Fuel Support           $2,000,000
                                    Point, Oceana Naval Air
                                    Station, Virginia.......
                                   Defense Fuel Support           $8,300,000
                                    Point, Patuxent River,
                                    Maryland................
                                   Defense Fuel Support           $2,200,000
                                    Point, Twentynine Palms,
                                    California..............
                                   Defense Supply Center,         $4,500,000
                                    Richmond, Virginia......
    National Security Agency.....  Fort Meade, Maryland.....      $4,228,000
    Special Operations Command...  Eglin Auxiliary Field 9,      $23,204,000
                                    Florida.................

    [[Page 114 STAT. 1654A-403]]

                                   Fleet Combat Training          $5,500,000
                                    Center, Dam Neck,
                                    Virginia................
                                   Fort Bragg, North              $8,600,000
                                    Carolina................
                                   Fort Campbell, Kentucky..     $16,300,000
                                   Naval Air Station, North       $1,350,000
                                    Island, California......
                                   Naval Air Station,             $3,400,000
                                    Oceana, Virginia........
                                   Naval Amphibious Base,         $4,300,000
                                    Coronado, California....
                                   Naval Amphibious Base,         $5,400,000
                                    Little Creek, Virginia..
                                   Pearl Harbor, Hawaii.....      $9,900,000
    TRICARE Management Activity..  Edwards Air Force Base,       $17,900,000
                                    California..............
                                   Marine Corps Base, Camp       $14,150,000
                                    Pendleton, California...
                                   Eglin Air Force Base,         $37,600,000
                                    Florida.................
                                   Fort Drum, New York......      $1,400,000
                                   Patrick Air Force Base,        $2,700,000
                                    Florida.................
                                   Tyndall Air Force Base,        $7,700,000
                                    Florida.................
                                   William Beaumont Medical       $4,200,000
                                    Center, Texas...........
                                                             ---------------
                                     Total:.................    $256,906,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2403(a)(2), the
    Secretary of Defense may acquire real property and carry out military
    construction projects for the installations and locations outside the
    United States, and in the amounts, set forth in the following table:

                   Defense Agencies: Outside the United States
    ------------------------------------------------------------------------
                Agency              Installation or location      Amount
    ------------------------------------------------------------------------
    Defense Education Activity...  Hanau, Germany...........      $2,030,000
                                   Hohenfels, Germany.......     $13,774,000
                                   Osan, Korea..............        $892,000
                                   Royal Air Force,               $1,800,000
                                    Feltwell, United Kingdom
                                   Royal Air Force,               $5,650,000
                                    Lakenheath, United
                                    Kingdom.................
                                   Schweinfurt, Germany.....      $1,750,000
                                   Seoul, Korea.............      $2,451,000
                                   Sigonella, Italy.........      $3,450,000
                                   Taegu, Korea.............        $806,000
                                   Wuerzburg, Germany.......      $2,635,000
    Defense Finance and            Kleber Kaserne, Germany..      $7,500,000
     Accounting Service..........
    Defense Logistics Agency.....  Defense Fuel Support          $36,000,000
                                    Point, Andersen Air
                                    Force Base, Guam........
                                   Defense Fuel Support          $22,400,000
                                    Point, Marine Corps Air
                                    Station, Iwakuni, Japan.
                                   Defense Fuel Support          $26,400,000
                                    Point, Misawa Air Base,
                                    Japan...................
                                   Defense Fuel Support          $10,000,000
                                    Point, Royal Air Force,
                                    Mildenhall, United
                                    Kingdom.................

    [[Page 114 STAT. 1654A-404]]

                                   Defense Fuel Support          $16,300,000
                                    Point, Sigonella, Italy.
    Defense Threat Reduction       Darmstadt, Germany.......      $2,450,000
     Agency......................
    Special Operations Command...  Roosevelt Roads, Puerto        $1,241,000
                                    Rico....................
                                   Taegu, Korea.............      $1,450,000
    TRICARE Management Agency....  Kitzingen, Germany.......      $1,400,000
                                   Wiesbaden Air Base,            $7,187,000
                                    Germany.................
                                                             ---------------
                                     Total:.................    $167,566,000
    ------------------------------------------------------------------------

        (c) Unspecified Worldwide.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2403(a)(3), the Secretary
    of Defense may acquire real property and carry out military construction
    projects for the installations and locations, and in the amounts, set
    forth in the following table:

                     Defense Agencies: Unspecified Worldwide
    ------------------------------------------------------------------------
               Location                   Installation            Amount
    ------------------------------------------------------------------------
    Unspecified Worldwide........  Unspecified Worldwide....    $451,135,000
    -----------------
    SEC. 2402. ENERGY CONSERVATION PROJECTS.

        Using amounts appropriated pursuant to the authorization of
    appropriations in section 2403(a)(7), the Secretary of Defense may carry
    out energy conservation projects under section 2865 of title 10, United
    States Code, in the amount of $15,000,000.

    SEC. 2403. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

        (a) In General.--Subject to subsection (c), funds are hereby
    authorized to be appropriated for fiscal years beginning after September
    30, 2000, for military construction, land acquisition, and military
    family housing functions of the Department of Defense (other than the
    military departments), in the total amount of $1,883,902,000 as follows:
                (1) For military construction projects inside the United
            States authorized by section 2401(a), $256,906,000.
                (2) For military construction projects outside the United
            States authorized by section 2401(b), $167,566,000.
                (3) For military construction projects at unspecified
            worldwide locations authorized by section 2401(c), $85,095,000.
                (4) For unspecified minor construction projects under
            section 2805 of title 10, United States Code, $17,390,000.
                (5) For contingency construction projects of the Secretary
            of Defense under section 2804 of title 10, United States Code,
            $6,000,000.
                (6) For architectural and engineering services and
            construction design under section 2807 of title 10, United
            States Code, $77,505,000.
                (7) For energy conservation projects authorized by section
            2402 of this Act, $15,000,000.
                (8) For base closure and realignment activities as
            authorized by the Defense Base Closure and Realignment Act of

    [[Page 114 STAT. 1654A-405]]

            1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687
            note), $1,024,369,000.
                (9) For military family housing functions, for support of
            military housing (including functions described in section 2833
            of title 10, United States Code), $44,886,000 of which not more
            than $38,478,000 may be obligated or expended for the leasing of
            military family housing units worldwide.
                (10) For the construction of an ammunition demilitarization
            facility, Pine Bluff Arsenal, Arkansas, authorized by section
            2401(a) of the Military Construction Authorization Act for
            Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat.
            3040), as amended by section 2407 of the Military Construction
            Authorization Act for Fiscal Year 1996 (division B of Public Law
            104-106; 110 Stat. 539), section 2408 of the Military
            Construction Authorization Act for Fiscal Year 1998 (division B
            of Public Law 105-85; 111 Stat. 1982), and section 2406 of the
            Military Construction Authorization Act for Fiscal Year 1999
            (division B of Public Law 105-261; 112 Stat. 2197), $43,600,000.
                (11) For the construction of phase 6 of an ammunition
            demilitarization facility, Umatilla Army Depot, Oregon,
            authorized by section 2401(a) of the Military Construction
            Authorization Act for Fiscal Year 1995, as amended by section
            2407 of the Military Construction Authorization Act for Fiscal
            Year 1996, section 2408 of the Military Construction
            Authorization Act for Fiscal Year 1998, and section 2406 of the
            Military Construction Authorization Act for Fiscal Year 1999,
            $9,400,000.
                (12) For the construction of phase 2 of an ammunition
            demilitarization facility, Pueblo Army Depot, Colorado,
            authorized by section 2401(a) of the Military Construction
            Authorization Act for Fiscal Year 1997 (division B of Public Law
            104-201; 110 Stat. 2775), as amended by section 2406 of the
            Military Construction Authorization Act for Fiscal Year 2000
            (division B of Public Law 106-65; 113 Stat. 839), $10,700,000.
                (13) For the construction of phase 3 of an ammunition
            demilitarization facility, Newport Army Depot, Indiana,
            authorized by section 2401(a) of the Military Construction
            Authorization Act for Fiscal Year 1999 (112 Stat. 2193),
            $54,400,000.
                (14) For the construction of phase 3 of an ammunition
            demilitarization facility, Aberdeen Proving Ground, Maryland,
            authorized by section 2401(a) of the Military Construction
            Authorization Act for Fiscal Year 1999, $45,700,000.
                (15) For construction of a replacement hospital at Fort
            Wainwright, Alaska, authorized by section 2401(a) of the
            Military Construction Authorization Act for Fiscal Year 2000
            (113 Stat. 836), $44,000,000.
                (16) For the construction of the Ammunition Demilitarization
            Support Phase 2, Blue Grass Army Depot, Kentucky, authorized by
            section 2401(a) of the Military Construction Act for Fiscal Year
            2000, $8,500,000.

        (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 variations authorized by law,
    the total cost of all projects carried out under section 2401 of this
    Act may not exceed--

    [[Page 114 STAT. 1654A-406]]

                (1) the total amount authorized to be appropriated under
            paragraphs (1) and (2) of subsection (a); and
                (2) $366,040,000 (the balance of the amount authorized under
            section 2401(c) for construction of National Missile Defense
            Initial Deployment Facilities, Unspecified Worldwide locations).

        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (16) of subsection (a) is the sum of
    the amounts authorized to be appropriated by such paragraphs, reduced
    by--
                (1) $7,115,000, which represents the combination of savings
            resulting from adjustments to foreign currency exchange rates
            for military construction outside the United States; and
                (2) $20,000,000, which represents the combination of project
            savings in military construction for chemical demilitarization
            resulting from favorable bids, reduced overhead charges, and
            cancellations due to force structure changes.

    SEC. 2404. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
                1990 PROJECT.

        (a) Modification.--Section 2401(a) of the Military Construction
    Authorization Act for Fiscal Years 1990 and 1991 (division B of Public
    Law 101-189), as amended by section 2407 of the Military Construction
    Authorization Act for Fiscal Year 1999 (division B of Public Law 105-
    261; 112 Stat. 2197), is amended in the item relating to Portsmouth
    Naval Hospital, Virginia, by striking ``$351,354,000'' and inserting
    ``$359,854,000''.
        (b) Conforming Amendment.--Section 2405(b)(2) of the Military
    Construction Authorization Act for Fiscal Years 1990 and 1991, as
    amended by section 2407 of the Military Construction Authorization Act
    for Fiscal Year 1999, is amended by striking ``$342,854,000'' and
    inserting ``$351,354,000''.

       TITLE XXV--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, 2000, 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

    [[Page 114 STAT. 1654A-407]]

    for the North Atlantic Treaty Organization Security Investment program
    authorized by section 2501, in the amount of $172,000,000.

                    TITLE XXVI--GUARD AND RESERVE FACILITIES

    Sec.2601.Authorized Guard and Reserve construction and land acquisition
               projects.
    Sec.2602.Authority to contribute to construction of airport tower,
               Cheyenne Airport, Cheyenne, Wyoming.

    SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND
                ACQUISITION PROJECTS.

        There are authorized to be appropriated for fiscal years beginning
    after September 30, 2000, for the costs of acquisition, architectural
    and engineering services, and construction of facilities for the Guard
    and Reserve Forces, and for contributions therefor, under chapter 1803
    of title 10, United States Code (including the cost of acquisition of
    land for those facilities), the following amounts:
                (1) For the Department of the Army--
                        (A) for the Army National Guard of the United
                    States, $266,531,000; and
                        (B) for the Army Reserve, $108,738,000.
                (2) For the Department of the Navy, for the Naval and Marine
            Corps Reserve, $62,073,000.
                (3) For the Department of the Air Force--
                        (A) for the Air National Guard of the United States,
                    $194,929,000; and
                        (B) for the Air Force Reserve, $36,591,000.

    SEC. 2602. AUTHORITY TO CONTRIBUTE TO CONSTRUCTION OF AIRPORT TOWER,
                CHEYENNE AIRPORT, CHEYENNE, WYOMING.

        The Secretary of the Air Force may use up to $1,450,000 of the
    amounts appropriated pursuant to the authorization of appropriations in
    section 2601(3)(A) to make a contribution to the Cheyenne Airport
    Authority, consistent with applicable agreements, to the costs of
    construction of a new airport tower at Cheyenne Airport, Cheyenne,
    Wyoming.

             TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec.2701.Expiration of authorizations and amounts required to be
               specified by law.
    Sec.2702.Extension of authorizations of certain fiscal year 1998
               projects.
    Sec.2703.Extension of authorizations of certain fiscal year 1997
               projects.
    Sec.2704.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, 2003; or

    [[Page 114 STAT. 1654A-408]]

                (2) the date of the enactment of an Act authorizing funds
            for military construction for fiscal year 2004.

        (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, 2003; or
                (2) the date of the enactment of an Act authorizing funds
            for fiscal year 2004 for military construction projects, land
            acquisition, family housing projects and facilities, or
            contributions to the North Atlantic Treaty Organization Security
            Investment program.

    SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1998
                PROJECTS.

        (a) Extension.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 1998 (division B of
    Public Law 105-85; 111 Stat. 1984), authorizations set forth in the
    tables in subsection (b), as provided in section 2102, 2202, or 2302 of
    that Act, shall remain in effect until October 1, 2001, or the date of
    the enactment of an Act authorizing funds for military construction for
    fiscal year 2002, whichever is later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

                                     Army: Extension of 1998 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Maryland..............................  Fort Meade...............  Family Housing Construction        $7,900,000
                                                                        (56 units)..................
    Texas.................................  Fort Hood................  Family Housing Construction       $18,800,000
                                                                        (130 units).................
    ----------------------------------------------------------------------------------------------------------------

                                     Navy: Extension of 1998 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    California............................  Naval Complex, San Diego.  Replacement Family Housing        $13,500,000
                                                                        Construction (94 units).....
    California............................  Marine Corps Air Station,  Family Housing Construction       $28,881,000
                                             Miramar.................   (166 units).................
    California............................  Marine Corps Air-Ground    Replacement Family Housing        $23,891,000
                                             Combat Center,             Construction (132 units)....
                                             Twentynine Palms........

    [[Page 114 STAT. 1654A-409]]

    Louisiana.............................  Naval Complex, New         Replacement Family Housing        $11,930,000
                                             Orleans.................   Construction (100 units)....
    Texas.................................  Naval Air Station, Corpus  Family Housing Construction       $22,250,000
                                             Christi.................   (212 units).................
    Washington............................  Naval Air Station,         Replacement Family Housing        $16,000,000
                                             Whidbey Island..........   Construction (102 units)....
    ----------------------------------------------------------------------------------------------------------------

                                   Air Force: Extension of 1998 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Georgia...............................  Robins Air Force Base....  Replace Family Housing (60         $6,800,000
                                                                        units)......................
    Idaho.................................  Mountain Home Air Force    Replace Family Housing (60        $11,032,000
                                             Base....................   units)......................
    New Mexico............................  Kirtland Air Force Base..  Replace Family Housing (180       $20,900,000
                                                                        units)......................
    Texas.................................  Dyess Air Force Base.....  Construct Family Housing (70      $10,503,000
                                                                        units)......................
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1997
                PROJECTS.

        (a) Extension.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 1997 (division B of
    Public Law 104-201; 110 Stat. 2782), authorizations set forth in the
    tables in subsection (b), as provided in section 2201, 2202, or 2601 of
    that Act and extended by section 2702 of the Military Construction
    Authorization Act for Fiscal Year 2000 (division B of Public Law 106-65;
    113 Stat. 842), shall remain in effect until October 1, 2001, or the
    date of the enactment of an Act authorizing funds for military
    construction for fiscal year 2002, whichever is later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

    [[Page 114 STAT. 1654A-410]]

                                     Navy: Extension of 1997 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Florida...............................  Navy Station, Mayport....  Family Housing Construction       $10,000,000
                                                                        (100 units).................
    North Carolina........................  Marine Corps Base, Camp    Family Housing Construction       $10,110,000
                                             Lejuene.................   (94 units)..................
    South Carolina........................  Marine Corps Air Station,  Family Housing Construction       $14,000,000
                                             Beaufort................   (140 units).................
    Texas.................................  Naval Complex, Corpus      Family Housing Replacement        $11,675,000
                                             Christi.................   (104 units).................
                                            Naval Air Station,         Family Housing Replacement         $7,550,000
                                             Kingsville..............   (48 units)..................
    Virginia..............................  Marine Corps Combat        Sanitary landfill............      $8,900,000
                                             Development Command,
                                             Quantico................
    Washington............................  Naval Station, Everett...  Family Housing Construction       $15,015,000
                                                                        (100 units).................
    ----------------------------------------------------------------------------------------------------------------

                              Army National Guard: Extension of 1997 Project Authorization
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Mississippi...........................  Camp Shelby..............  Multipurpose Range Complex         $5,000,000
                                                                        (Phase II)..................
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2704. EFFECTIVE DATE.

        Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take effect on
    the later of--
                (1) October 1, 2000; or
                (2) the date of the enactment of this Act.

                        TITLE XXVIII--GENERAL PROVISIONS

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

    Sec.2801.Joint use military construction projects.
    Sec.2802.Exclusion of certain costs from determination of applicability
               of limitation on use of funds for improvement of family
               housing.
    Sec.2803.Revision of space limitations for military family housing.
    Sec.2804.Modification of lease authority for high-cost military family
               housing.
    Sec.2805.Provision of utilities and services under alternative authority
               for acquisition and improvement of military housing.
    Sec.2806.Extension of alternative authority for acquisition and
               improvement of military housing.
    Sec.2807.Expansion of definition of armory to include readiness centers.

    [[Page 114 STAT. 1654A-411]]

             Subtitle B--Real Property and Facilities Administration

    Sec.2811.Increase in threshold for notice and wait requirements for real
               property transactions.
    Sec.2812.Enhancement of authority of military departments to lease non-
               excess property.
    Sec.2813.Conveyance authority regarding utility systems of military
               departments.
    Sec.2814.Permanent conveyance authority to improve property management.

                Subtitle C--Defense Base Closure and Realignment

    Sec.2821.Scope of agreements to transfer property to redevelopment
               authorities without consideration under the base closure
               laws.

                          Subtitle D--Land Conveyances

                            Part I--Army Conveyances

    Sec.2831.Transfer of jurisdiction, Rock Island Arsenal, Illinois.
    Sec.2832.Land conveyance, Army Reserve Center, Galesburg, Illinois.
    Sec.2833.Land conveyance, Charles Melvin Price Support Center, Illinois.
    Sec.2834.Land conveyance, Fort Riley, Kansas.
    Sec.2835.Land conveyance, Fort Polk, Louisiana.
    Sec.2836.Land conveyance, Army Reserve Center, Winona, Minnesota.
    Sec.2837.Land conveyance, Fort Dix, New Jersey.
    Sec.2838.Land conveyance, Nike Site 43, Elrama, Pennsylvania.
    Sec.2839.Land exchange, Army Reserve Local Training Center, Chattanooga,
               Tennessee.
    Sec.2840.Land exchange, Fort Hood, Texas.
    Sec.2841.Land conveyance, Fort Pickett, Virginia.
    Sec.2842.Land conveyance, Fort Lawton, Washington.
    Sec.2843.Land conveyance, Vancouver Barracks, Washington.

                            Part II--Navy Conveyances

    Sec.2846.Modification of land conveyance, Marine Corps Air Station, El
               Toro, California.
    Sec.2847.Modification of authority for Oxnard Harbor District, Port
               Hueneme, California, to use certain Navy property.
    Sec.2848.Transfer of jurisdiction, Marine Corps Air Station, Miramar,
               California.
    Sec.2849.Land exchange, Marine Corps Recruit Depot, San Diego,
               California.
    Sec.2850.Lease of property, Naval Air Station, Pensacola, Florida.
    Sec.2851.Land conveyance, Naval Reserve Center, Tampa, Florida.
    Sec.2852.Modification of land conveyance, Defense Fuel Supply Point,
               Casco Bay, Maine.
    Sec.2853.Land conveyance, Naval Computer and Telecommunications Station,
               Cutler, Maine.
    Sec.2854.Modification of land conveyance authority, former Naval
               Training Center, Bainbridge, Cecil County, Maryland.
    Sec.2855.Land conveyance, Marine Corps Base, Camp Lejeune, North
               Carolina.
    Sec.2856.Land exchange, Naval Air Reserve Center, Columbus, Ohio.
    Sec.2857.Land conveyance, Naval Station, Bremerton, Washington.

                         Part III--Air Force Conveyances

    Sec.2861.Land conveyance, Los Angeles Air Force Base, California.
    Sec.2862.Land conveyance, Point Arena Air Force Station, California.
    Sec.2863.Land conveyance, Lowry Air Force Base, Colorado.
    Sec.2864.Land conveyance, Wright-Patterson Air Force Base, Ohio.
    Sec.2865.Modification of land conveyance, Ellsworth Air Force Base,
               South Dakota.
    Sec.2866.Land conveyance, Mukilteo Tank Farm, Everett, Washington.

                           Part IV--Other Conveyances

    Sec.2871.Land conveyance, Army and Air Force Exchange Service property,
               Farmers Branch, Texas.
    Sec.2872.Land conveyance, former National Ground Intelligence Center,
               Charlottesville, Virginia.

                            Subtitle E--Other Matters

    Sec.2881.Relation of easement authority to leased parkland, Marine Corps
               Base, Camp Pendleton, California.
    Sec.2882.Extension of demonstration project for purchase of fire,
               security, police, public works, and utility services from
               local government agencies.
    Sec.2883.Acceptance and use of gifts for construction of third building
               at United States Air Force Museum, Wright-Patterson Air Force
               Base, Ohio.

    [[Page 114 STAT. 1654A-412]]

    Sec.2884.Development of Marine Corps Heritage Center at Marine Corps
               Base, Quantico, Virginia.
    Sec.2885.Activities relating to greenbelt at Fallon Naval Air Station,
               Nevada.
    Sec.2886.Establishment of World War II memorial on Guam.
    Sec.2887.Naming of Army missile testing range at Kwajalein Atoll as the
               Ronald Reagan Ballistic Missile Defense Test Site at
               Kwajalein Atoll.
    Sec.2888.Designation of building at Fort Belvoir, Virginia, in honor of
               Andrew T.McNamara.
    Sec.2889.Designation of Balboa Naval Hospital, San Diego, California, in
               honor of Bob Wilson, a former member of the House of
               Representatives.
    Sec.2890.Sense of Congress regarding importance of expansion of National
               Training Center, Fort Irwin, California.
    Sec.2891.Sense of Congress regarding land transfers at Melrose Range,
               New Mexico, and Yakima Training Center, Washington.

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

    SEC. 2801. JOINT USE MILITARY CONSTRUCTION PROJECTS.

        (a) Sense of Congress on Joint Use Projects.--It is the sense of
    Congress that when the Secretary of Defense assists the President in
    preparing the budget for the Department of Defense for a fiscal year for
    submission to Congress under section 1105 of title 31, United States
    Code, the Secretary of Defense should--
                (1) seek to identify military construction projects that are
            suitable as joint use military construction projects;
                (2) specify in the budget for the fiscal year the military
            construction projects that are identified under paragraph (1);
            and
                (3) give priority in the budget for the fiscal year to the
            military construction projects specified under paragraph (2).

        (b) Annual Evaluation of Joint Use Projects.--(1) Subchapter I of
    chapter 169 of title 10, United States Code, is amended by adding at the
    end the following new section:

    ``Sec. 2815. Joint use military construction projects: annual evaluation

        ``(a) Joint Use Military Construction Project Defined.--In this
    section, the term `joint use military construction project' means a
    military construction project for a facility intended to be used by--
                ``(1) both the active and a reserve component of a single
            armed force; or
                ``(2) two or more components (whether active or reserve
            components) of the armed forces.

        ``(b) Annual Evaluation.--In the case of the budget submitted under
    section 1105 of title 31 for fiscal year 2003 and each fiscal year
    thereafter, the Secretary of Defense shall include in the budget
    justification materials submitted to Congress in support of the budget a
    certification by each Secretary concerned that, in evaluating military
    construction projects for inclusion in the budget for that fiscal year,
    the Secretary concerned evaluated the feasibility of carrying out the
    projects as joint use military construction projects.''.
        (2) The table of sections at the beginning of such subchapter is
    amended by adding at the end the following new item:

    ``2815. Joint use military construction projects: annual evaluation.''.

    [[Page 114 STAT. 1654A-413]]

    SEC. 2802. EXCLUSION OF CERTAIN COSTS FROM DETERMINATION OF
                APPLICABILITY OF LIMITATION ON USE OF FUNDS FOR IMPROVEMENT
                OF FAMILY HOUSING.

        Section 2825(b) of title 10, 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):

        ``(3) In determining the applicability of the limitation contained
    in paragraph (1), the Secretary concerned shall not include as part of
    the cost of the improvement of the unit or units concerned the
    following:
                ``(A) The cost of the installation of communications,
            security, or antiterrorism equipment required by an occupant of
            the unit or units to perform duties assigned to the occupant as
            a member of the armed forces.
                ``(B) The cost of the maintenance or repair of equipment
            described in subparagraph (A) installed for the purpose
            specified in such subparagraph.''.

    SEC. 2803. REVISION OF SPACE LIMITATIONS FOR MILITARY FAMILY HOUSING.

        (a) In General.--(1) Section 2826 of title 10, United States Code,
    is amended to read as follows:

    ``Sec. 2826. Military family housing: local comparability of room
                            patterns and floor areas

        ``(a) Local Comparability.--In the construction, acquisition, and
    improvement of military family housing, the Secretary concerned shall
    ensure that the room patterns and floor areas of military family housing
    in a particular locality (as designated by the Secretary concerned for
    purposes of this section) are similar to room patterns and floor areas
    of similar housing in the private sector in that locality.
        ``(b) Requests for Authority for Military Family Housing.--(1) In
    submitting to Congress a request for authority to carry out the
    construction, acquisition, or improvement of military family housing,
    the Secretary concerned shall include in the request information on the
    net floor area of each unit of military family housing to be
    constructed, acquired, or improved under the authority.
        ``(2) In this subsection, the term `net floor area', in the case of
    a military family housing unit, means the total number of square feet of
    the floor space inside the exterior walls of the unit, excluding the
    floor area of an unfinished basement, an unfinished attic, a utility
    space, a garage, a carport, an open or insect-screened porch, a
    stairwell, and any space used for a solar-energy system.''.
        (2) The table of sections at the beginning of subchapter II of
    chapter 169 of that title is amended by striking the item relating to
    section 2826 and inserting the following new item:

    ``2826. Military family housing: local comparability of room patterns
               and floor areas.''.

        (b) Effective Date.--(1) The amendments made by subsection (a) shall
    take effect on October 1, 2001, but the Secretary of Defense shall
    anticipate the requirements of section 2826 of title 10, United States
    Code, as added by such subsection, when preparing the

    [[Page 114 STAT. 1654A-414]]

    budget request for new construction, acquisition, or improvement of
    military family housing for fiscal year 2002.
        (2) Section 2826 of title 10, United States Code, as in effect on
    September 30, 2001, shall continue to apply with respect to the
    construction, acquisition, or improvement of military family housing
    commenced on or before that date.

    SEC. 2804. MODIFICATION OF LEASE AUTHORITY FOR HIGH-COST MILITARY FAMILY
                HOUSING.

        (a) Leases for United States Southern Command.--Paragraph (4) of
    section 2828(b) of title 10, United States Code, is amended--
                (1) by inserting ``(A)'' after ``(4)'';
                (2) by striking the second sentence; and
                (3) by adding at the end the following new subparagraphs:

        ``(B) The amount of all leases under this paragraph may not exceed
    $280,000 per year, as adjusted from time to time under paragraph (6).
        ``(C) The term of any lease under this paragraph may not exceed 5
    years.''.
        (b) Annual Adjustment of Maximum Lease Amounts.--Such section is
    further amended by striking paragraph (5) and inserting the following
    new paragraphs:
        ``(5) At the beginning of each fiscal year, the Secretary concerned
    shall adjust the maximum lease amount provided for leases under
    paragraphs (2) and (3) for the previous fiscal year by the percentage
    (if any) by which the national average monthly cost of housing (as
    calculated for purposes of determining rates of basic allowance for
    housing under section 403 of title 37) for the preceding fiscal year
    exceeds the national average monthly cost of housing (as so calculated)
    for the fiscal year before such preceding fiscal year.
        ``(6) At the beginning of each fiscal year, the Secretary of the
    Army shall adjust the maximum aggregate amount for leases under
    paragraph (4) for the previous fiscal year by the percentage (if any) by
    which the annual average cost of housing for the Miami Military Housing
    Area (as calculated for purposes of determining rates of basic allowance
    for housing under section 403 of title 37) for the preceding fiscal year
    exceeds the annual average cost of housing for the Miami Military
    Housing Area (as so calculated) for the fiscal year before such
    preceding fiscal year.''.
        (c) Conforming Amendments.--Such section is further amended--
                (1) in paragraph (2), by inserting after ``per year'' the
            following: ``, as adjusted from time to under paragraph (5)'';
            and
                (2) in paragraph (3), by striking ``$12,000 per unit per
            year but does not exceed $14,000 per unit per year'' and
            inserting ``the maximum amount per unit per year in effect under
            paragraph (2) but does not exceed $14,000 per unit per year, as
            adjusted from time to time under paragraph (5)''.

    SEC. 2805. PROVISION OF UTILITIES AND SERVICES UNDER ALTERNATIVE
                AUTHORITY FOR ACQUISITION AND IMPROVEMENT OF MILITARY
                HOUSING.

        (a) Authority To Furnish on Reimbursable Basis.--Subchapter IV of
    chapter 169 of title 10, United States Code, is amended by inserting
    after section 2872 the following new section:

    [[Page 114 STAT. 1654A-415]]

    ``Sec. 2872a. Utilities and services

        ``(a) Authority To Furnish.--The Secretary concerned may furnish
    utilities and services referred to in subsection (b) in connection with
    any military housing acquired or constructed pursuant to the exercise of
    any authority or combination of authorities under this subchapter if the
    military housing is located on a military installation.
        ``(b) Covered Utilities and Services.--The utilities and services
    that may be furnished under subsection (a) are the following:
                ``(1) Electric power.
                ``(2) Steam.
                ``(3) Compressed air.
                ``(4) Water.
                ``(5) Sewage and garbage disposal.
                ``(6) Natural gas.
                ``(7) Pest control.
                ``(8) Snow and ice removal.
                ``(9) Mechanical refrigeration.
                ``(10) Telecommunications service.

        ``(c) Reimbursement.--(1) The Secretary concerned shall be
    reimbursed for any utilities or services furnished under subsection (a).
        ``(2) The amount of any cash payment received under paragraph (1)
    shall be credited to the appropriation or working capital account from
    which the cost of furnishing the utilities or services concerned was
    paid. Amounts so credited to an appropriation or account shall be merged
    with funds in such appropriation or account, and shall be available to
    the same extent, and subject to the same terms and conditions, as such
    funds.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such subchapter is amended by inserting after the item relating to
    section 2872 the following new item:

    ``2872a. Utilities and services.''.

    SEC. 2806. EXTENSION OF ALTERNATIVE AUTHORITY FOR ACQUISITION AND
                IMPROVEMENT OF MILITARY HOUSING.

        Section 2885 of title 10, United States Code, is amended by striking
    ``February 10, 2001'' and inserting ``December 31, 2004''.

    SEC. 2807. EXPANSION OF DEFINITION OF ARMORY TO INCLUDE READINESS
                CENTERS.

        (a) Definition.--Section 18232(3) of title 10, United States Code,
    is amended--
                (1) in the first sentence, by striking ``The term `armory'
            means'' and inserting ``The terms `armory' and `readiness
            center' mean''; and
                (2) in the second sentence, by striking ``It includes'' and
            inserting ``Such terms include''.

        (b) Conforming Amendments.--(1) Section 18232(2) of such title is
    amended by striking ``armory or other structure'' and inserting
    ``armory, readiness center, or other structure''.
        (2) Section 18236(b) of such title by inserting ``or readiness
    center'' after ``armory''.

    [[Page 114 STAT. 1654A-416]]

             Subtitle B--Real Property and Facilities Administration

    SEC. 2811. INCREASE IN THRESHOLD FOR NOTICE AND WAIT REQUIREMENTS FOR
                REAL PROPERTY TRANSACTIONS.

        (a) Increased Threshold.--Section 2662 of title 10, United States
    Code, is amended by striking ``$200,000'' each place it appears and
    inserting ``$500,000''.
        (b) Reference to Simplified Acquisition Threshold.--Subsection (b)
    of such section is amended by striking ``under section 2304(g) of this
    title'' and inserting ``specified in section 4(11) of the Office of
    Federal Procurement Policy Act (41 U.S.C. 403(11)),''.

    SEC. 2812. ENHANCEMENT OF AUTHORITY OF MILITARY DEPARTMENTS TO LEASE
                NON-EXCESS PROPERTY.

        (a) Property Available for Lease.--Subsection (a) of section 2667 of
    title 10, United States Code, is amended--
                (1) by inserting ``and'' at the end of paragraph (1);
                (2) by striking paragraph (2); and
                (3) by redesignating paragraph (3) as paragraph (2).

        (b) Acceptance of In-Kind Consideration.--Such section is further
    amended--
                (1) in subsection (b)(5)--
                        (A) by striking ``improvement, maintenance,
                    protection, repair, or restoration,'' and inserting
                    ``alteration, repair, or improvement,''; and
                        (B) by striking ``, or of the entire unit or
                    installation where a substantial part of it is
                    leased,'';
                (2) by transferring subsection (c) to the end of the section
            and redesignating such subsection, as so transferred, as
            subsection (i);
                (3) by inserting after subsection (b) the following new
            subsection (c):

        ``(c)(1) In addition to any in-kind consideration accepted under
    subsection (b)(5), in-kind consideration accepted with respect to a
    lease under this section may include the following:
                ``(A) Maintenance, protection, alteration, repair,
            improvement, or restoration (including environmental
            restoration) of property or facilities under the control of the
            Secretary concerned.
                ``(B) Construction of new facilities for the Secretary
            concerned.
                ``(C) Provision of facilities for use by the Secretary
            concerned.
                ``(D) Facilities operation support for the Secretary
            concerned.
                ``(E) Provision of such other services relating to
            activities that will occur on the leased property as the
            Secretary concerned considers appropriate.

        ``(2) In-kind consideration under paragraph (1) may be accepted at
    any property or facilities under the control of the Secretary concerned
    that are selected for that purpose by the Secretary concerned.
        ``(3) Sections 2662 and 2802 of this title shall not apply to any
    new facilities whose construction is accepted as in-kind consideration
    under this subsection.

    [[Page 114 STAT. 1654A-417]]

        ``(4) In the case of a lease for which all or part of the
    consideration proposed to be accepted by the Secretary concerned under
    this subsection is in-kind consideration with a value in excess of
    $500,000, the Secretary concerned may not enter into the lease until 30
    days after the date on which a report on the facts of the lease is
    submitted to the congressional defense committees.''; and
                (4) in subsection (f )--
                        (A) by striking paragraph (4); and
                        (B) by redesignating paragraph (5) as paragraph (4).

        (c) Use of Proceeds.--Subsection (d)(1) of such section is amended
    to read as follows:
        ``(d)(1)(A) The Secretary of a military department shall deposit in
    a special account in the Treasury established for such military
    department the following:
                ``(i) All money rentals received pursuant to leases entered
            into by that Secretary under this section.
                ``(ii) All proceeds received pursuant to the granting of
            easements by that Secretary under sections 2668 and 2669 of this
            title.
                ``(iii) All proceeds received by that Secretary from
            authorizing the temporary use of other property under the
            control of that military department.

        ``(B) Subparagraph (A) does not apply to the following proceeds:
                ``(i) Amounts paid for utilities and services furnished
            lessees by the Secretary of a military department pursuant to
            leases entered into under this section.
                ``(ii) Money rentals referred to in paragraph (4) or (5).

        ``(C) Subject to subparagraphs (D) and (E), the proceeds deposited
    in the special account of a military department pursuant to subparagraph
    (A) shall be available to the Secretary of that military department, in
    such amounts as provided in appropriation Acts, for the following:
                ``(i) Maintenance, protection, alteration, repair,
            improvement, or restoration (including environmental
            restoration) of property or facilities.
                ``(ii) Construction or acquisition of new facilities.
                ``(iii) Lease of facilities.
                ``(iv) Facilities operation support.

        ``(D) At least 50 percent of the proceeds deposited in the special
    account of a military department under subparagraph (A) shall be
    available for activities described in subparagraph (C) only at the
    military installation where the proceeds were derived.
        ``(E) The Secretary concerned may not expend under subparagraph (C)
    an amount in excess of $500,000 at a single installation until 30 days
    after the date on which a report on the facts of the proposed
    expenditure is submitted to the congressional defense committees.''.
        (d) Congressional Notification.--Subsection (d)(3) of such section
    is amended--
                (1) in the matter preceding subparagraph (A), by striking
            ``As part'' and all that follows through ``Secretary of
            Defense'' and inserting ``Not later than March 15 each year, the
            Secretary of Defense shall submit to the congressional defense
            committees a report which''; and
                (2) in subparagraph (A), by striking ``request'' and
            inserting ``report''.

    [[Page 114 STAT. 1654A-418]]

        (e) Definitions.--Subsection (h) of such section is amended to read
    as follows:
        ``(h) In this section:
                ``(1) The term `congressional defense committees' means:
                        ``(A) The Committee on Armed Services and the
                    Committee on Appropriations of the Senate.
                        ``(B) The Committee on Armed Services and the
                    Committee on Appropriations of the House of
                    Representatives.
                ``(2) The term `base closure law' means the following:
                        ``(A) Section 2687 of this title.
                        ``(B) 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).
                        ``(C) Title II of the Defense Authorization
                    Amendments and Base Closure and Realignment Act (Public
                    Law 100-526; 10 U.S.C. 2687 note).
                ``(3) The term `military installation' has the meaning given
            such term in section 2687(e)(1) of this title.''.

        (f ) Conforming Amendments.--(1) Section 2668 of such title is
    amended by adding at the end the following new subsection:
        ``(e) Subsection (d) of section 2667 of this title shall apply with
    respect to proceeds received by the Secretary of a military department
    in connection with an easement granted under this section in the same
    manner as such subsection applies to money rentals received pursuant to
    leases entered into by that Secretary under such section.''.
        (2) Section 2669 of such title is amended by adding at the end the
    following new subsection:
        ``(e) Subsection (d) of section 2667 of this title shall apply with
    respect to proceeds received by the Secretary of a military department
    in connection with an easement granted under this section in the same
    manner as such subsection applies to money rentals received pursuant to
    leases entered into by that Secretary under such section.''.

    SEC. 2813. CONVEYANCE AUTHORITY REGARDING UTILITY SYSTEMS OF MILITARY
                DEPARTMENTS.

        (a) Selection of Conveyee.--Subsection (b) of section 2688 of title
    10, United States Code, is amended--
                (1) by inserting ``(1)'' before ``If more than one''; and
                (2) by adding at the end the following new paragraphs:

        ``(2) Notwithstanding paragraph (1), the Secretary concerned may use
    procedures other than competitive procedures, but only in accordance
    with subsections (c) through (f ) of section 2304 of this title, to
    select the conveyee of a utility system (or part of a utility system)
    under subsection (a).
        ``(3) With respect to the solicitation process used in connection
    with the conveyance of a utility system (or part of a utility system)
    under subsection (a), the Secretary concerned shall ensure that the
    process is conducted in a manner consistent with the laws and
    regulations of the State in which the utility system is located to the
    extent necessary to ensure that all interested regulated and unregulated
    utility companies and other interested entities receive an opportunity
    to acquire and operate the utility system to be conveyed.''.

    [[Page 114 STAT. 1654A-419]]

        (b) Applicability of Regulatory Requirements.--Subsection (f ) of
    such section is amended--
                (1) by inserting ``(1)'' before ``The Secretary''; and
                (2) by adding at the end the following new paragraph:

        ``(2) The Secretary concerned shall require in any contract for the
    conveyance of a utility system (or part of a utility system) under
    subsection (a) that the conveyee manage and operate the utility system
    in a manner consistent with applicable Federal and State regulations
    pertaining to health, safety, fire, and environmental requirements.''.

    SEC. 2814. PERMANENT CONVEYANCE AUTHORITY TO IMPROVE PROPERTY
                MANAGEMENT.

        Section 203(p)(1) of the Federal Property and Administrative
    Services Act of 1949 (40 U.S.C. 484(p)(1)) is amended by striking
    subparagraph (B) and inserting the following new subparagraph:
        ``(B) The Administrator may exercise the authority under
    subparagraph (A) with respect to such surplus real and related property
    needed by the transferee or grantee for--
                ``(i) law enforcement purposes, as determined by the
            Attorney General; or
                ``(ii) emergency management response purposes, including
            fire and rescue services, as determined by the Director of the
            Federal Emergency Management Agency.''.

                Subtitle C--Defense Base Closure and Realignment

    SEC. 2821. SCOPE OF AGREEMENTS TO TRANSFER PROPERTY TO REDEVELOPMENT
                AUTHORITIES WITHOUT CONSIDERATION UNDER THE BASE CLOSURE
                LAWS.

        (a) 1990 Law.--Section 2905(b)(4)(B)(i) of the Defense Base Closure
    and Realignment Act of 1990 (part A of title XXIX of Public Law 101-510;
    10 U.S.C. 2687 note) is amended by striking ``the transfer'' and
    inserting ``the initial transfer of property''.
        (b) 1988 Law.--Section 204(b)(4)(B)(i) of the Defense Authorization
    Amendments and Base Closure and Realignment Act (Public Law 100-526; 10
    U.S.C. 2687 note) is amended by striking ``the transfer'' and inserting
    ``the initial transfer of property''.

                          Subtitle D--Land Conveyances

                            PART I--ARMY CONVEYANCES

    SEC. 2831. TRANSFER OF JURISDICTION, ROCK ISLAND ARSENAL, ILLINOIS.

        (a) Transfer Authorized.--The Secretary of the Army may transfer,
    without reimbursement, to the administrative jurisdiction of the
    Secretary of Veterans Affairs a parcel of real property, including any
    improvements thereon, consisting of approximately 23 acres and
    comprising a portion of the Rock Island Arsenal, Illinois.
        (b) Use of Land.--The Secretary of Veterans Affairs shall include
    the real property transferred under subsection (a) in the Rock Island
    National Cemetery and use the transferred property

    [[Page 114 STAT. 1654A-420]]

    as a national cemetery under chapter 24 of title 38, United States Code.
        (c) Legal Description.--The exact acreage and legal description of
    the real property to be transferred under this section shall be
    determined by a survey satisfactory to the Secretary of the Army. The
    cost of the survey shall be borne by the Secretary of Veterans Affairs.
        (d) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    transfer under this section as the Secretary of the Army considers
    appropriate to protect the interests of the United States.

    SEC. 2832. LAND CONVEYANCE, ARMY RESERVE CENTER, GALESBURG, ILLINOIS.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to Knox County, Illinois (in this section
    referred to as the ``County''), all right, title, and interest of the
    United States in and to a parcel of real property, including any
    improvements thereon, in Galesburg, Illinois, consisting of
    approximately 4.65 acres and containing an Army Reserve Center for the
    purpose of permitting the County to use the parcel for municipal office
    space.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the County.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2833. LAND CONVEYANCE, CHARLES MELVIN PRICE SUPPORT CENTER,
                ILLINOIS.

        (a) Conveyance Authorized.--(1) The Secretary of the Army may convey
    to the Tri-City Regional Port District of Granite City, Illinois (in
    this section referred to as the ``Port District''), all right, title,
    and interest of the United States in and to a parcel of real property,
    including any improvements thereon, consisting of approximately 752
    acres and known as the Charles Melvin Price Support Center, for the
    purpose of permitting the Port District to use the parcel for
    development of a port facility and for other public purposes.
        (2) The property to be conveyed under paragraph (1) shall include
    158 units of military family housing at the Charles Melvin Price Support
    Center for the purpose of permitting the Port District to use the
    housing to provide affordable housing, but only if the Port District
    agrees to provide members of the Armed Forces first priority in leasing
    the housing at a rental rate not to exceed the member's basic allowance
    for housing.
        (3) The Secretary of the Army may include as part of the conveyance
    under paragraph (1) personal property of the Army at the Charles Melvin
    Price Support Center that the Secretary of Transportation recommends is
    appropriate for the development or operation of the port facility and
    the Secretary of the Army agrees is excess to the needs of the Army.

    [[Page 114 STAT. 1654A-421]]

        (b) Interim Lease.--Until such time as the real property described
    in subsection (a) is conveyed by deed, the Secretary of the Army may
    lease the property to the Port District.
        (c) Consideration.--(1) The conveyance under subsection (a) shall be
    made without consideration as a public benefit conveyance for port
    development if the Secretary of the Army determines that the Port
    District satisfies the criteria specified in section 203(q) of the
    Federal Property and Administrative Services Act of 1949 (40 U.S.C.
    484(q)) and regulations prescribed to implement such section. If the
    Secretary determines that the Port District fails to qualify for a
    public benefit conveyance, but still desires to acquire the property,
    the Port District shall pay to the United States an amount equal to the
    fair market value of the property to be conveyed. The fair market value
    of the property shall be determined by the Secretary of the Army.
        (2) The Secretary of the Army may accept as consideration for a
    lease of the property under subsection (b) an amount that is less than
    fair market value if the Secretary determines that the public interest
    will be served as a result of the lease.
        (d) Army Reserve Activities.--(1) Notwithstanding the total acreage
    of the parcel authorized for conveyance under subsection (a), the
    Secretary of the Army may retain up to 50 acres of the parcel for use by
    the Army Reserve. The acreage selected for retention shall be mutually
    agreeable to the Secretary and the Port District.
        (2) At such time as the Secretary of the Army determines that the
    property retained under this subsection is no longer needed for Army
    Reserve activities, the Secretary shall convey the property to the Port
    District. The consideration for the conveyance shall be determined in
    the manner provided in subsection (c).
        (e) Federal Lease of Facilities.--(1) As a condition for the
    conveyance under subsection (a), the Secretary of the Army may require
    that the Port District lease to the Department of Defense or any other
    Federal agency facilities for use by the agency on the property being
    conveyed. Any lease under this subsection shall be made under terms and
    conditions satisfactory to the Secretary and the Port District.
        (2) The agency leasing a facility under this subsection shall
    provide for the maintenance of the facility or pay the Port District to
    maintain the facility. Maintenance of the leased facilities performed by
    the Port District shall be to the reasonable satisfaction of the United
    States, or as required by all applicable Federal, State, and local laws
    and ordinances.
        (3) At the end of a lease under this subsection, the facility
    covered by the lease shall revert to the Port District.
        (f ) Flood Control Easement.--The Port District shall grant to the
    Secretary of the Army an easement on the property conveyed under
    subsection (a) for the purpose of permitting the Secretary to implement
    and maintain flood control projects. The Secretary of the Army, acting
    through the Corps of Engineers, shall be responsible for the maintenance
    of any flood control project built on the property pursuant to the
    easement.
        (g) Description of Property.--The exact acreage and legal
    description of the property to be conveyed under subsection (a) shall be
    determined by a survey satisfactory to the Secretary of the Army and the
    Port District. The cost of such survey shall be borne by the Port
    District.

    [[Page 114 STAT. 1654A-422]]

        (h) Additional Terms.--The Secretary of the Army may require such
    additional terms and conditions in connection with the conveyance as the
    Secretary considers appropriate to protect the interests of the United
    States.

    SEC. 2834. LAND CONVEYANCE, FORT RILEY, KANSAS.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the State of Kansas (in this section referred
    to as the ``State''), all right, title, and interest of the United
    States in and to a parcel of real property, including any improvements
    thereon, consisting of approximately 70 acres at Fort Riley Military
    Reservation, Fort Riley, Kansas. The preferred site is adjacent to the
    Fort Riley Military Reservation boundary, along the north side of
    Huebner Road across from the First Territorial Capitol of Kansas
    Historical Site Museum.
        (b) Conditions of Conveyance.--The conveyance under subsection (a)
    shall be subject to the conditions that--
                (1) the State use the property conveyed solely for purposes
            of establishing and maintaining a State-operated veterans
            cemetery; and
                (2) all costs associated with the conveyance, including the
            cost of relocating water and electric utilities should the
            Secretary determine that such relocations are necessary, be
            borne by the State.

        (c) 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 and the
    Director of the Kansas Commission on Veterans Affairs.
        (d) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance
    required by subsection (a) as the Secretary considers appropriate to
    protect the interests of the United States.

    SEC. 2835. LAND CONVEYANCE, FORT POLK, LOUISIANA.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the State of Louisiana (in this section
    referred to as the ``State''), all right, title, and interest of the
    United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 200 acres at Fort
    Polk, Louisiana, for the purpose of permitting the State to establish a
    State-run cemetery for veterans.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the State.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2836. LAND CONVEYANCE, ARMY RESERVE CENTER, WINONA, MINNESOTA.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Winona State University Foundation of
    Winona, Minnesota (in this section referred to as the ``Foundation''),
    all right, title, and interest of the United States in and to a parcel
    of real property, including any improvements thereon, in Winona,
    Minnesota, containing an Army Reserve Center

    [[Page 114 STAT. 1654A-423]]

    for the purpose of permitting the Foundation to use the parcel for
    educational purposes.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Foundation.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2837. LAND CONVEYANCE, FORT DIX, NEW JERSEY.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to Pemberton Township, New Jersey (in this
    section referred to as the ``Township''), all right, title, and interest
    of the United States in and to a parcel of real property at Fort Dix,
    New Jersey, consisting of approximately 2 acres and containing a parking
    lot inadvertently constructed on the parcel by the Township.
        (b) Conditions of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the conditions that--
                (1) the Township accept the property as is; and
                (2) the Township assume responsibility for any environmental
            restoration or remediation required with respect to the property
            under applicable law.

        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Township.
        (d) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2838. LAND CONVEYANCE, NIKE SITE 43, ELRAMA, PENNSYLVANIA.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Board of Supervisors of Union Township,
    Pennsylvania (in this section referred to as the ``Township''), all
    right, title, and interest of the United States in and to a parcel of
    real property, including any improvements thereon, in Elrama,
    Pennsylvania, consisting of approximately 160 acres, which is known as
    Nike Site 43 and was more recently used by the Pennsylvania Army
    National Guard, for the purpose of permitting the Township to use the
    parcel for municipal storage and other public purposes.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Township.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2839. LAND CONVEYANCE, ARMY RESERVE LOCAL TRAINING CENTER,
                CHATTANOOGA, TENNESSEE.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Medal of Honor Museum,

    [[Page 114 STAT. 1654A-424]]

    Inc., a nonprofit corporation organized in the State of Tennessee (in
    this section referred to as the ``Corporation''), all right, title, and
    interest of the United States in and to a parcel of real property,
    including any improvements thereon, consisting of approximately 15 acres
    at the Army Reserve Local Training Center located on Bonny Oaks Drive,
    Chattanooga, Tennessee, for the purpose of permitting the Corporation to
    develop and use the parcel as a museum and for other educational
    purposes.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Corporation.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2840. LAND EXCHANGE, FORT HOOD, TEXAS.

        (a) Exchange Authorized.--The Secretary of the Army may convey to
    the City of Copperas Cove, Texas (in this section referred to as the
    ``City''), all right, title, and interest of the United States in and to
    a parcel of real property, including any improvements thereon,
    consisting of approximately 100 acres at Fort Hood, Texas, in exchange
    for the City's conveyance to the Secretary of all right, title, and
    interest of the City in and to one or more parcels of real property that
    are acceptable to the Secretary and consist of a total of approximately
    300 acres.
        (b) Description of Property.--The exact acreage and legal
    description of the parcels of real property to be exchanged under
    subsection (a) shall be determined by surveys satisfactory to the
    Secretary. The cost of the surveys shall be borne by the City.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the exchange under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2841. LAND CONVEYANCE, FORT PICKETT, VIRGINIA.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Commonwealth of Virginia (in this section
    referred to as the ``Commonwealth''), all right, title, and interest of
    the United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 700 acres at Fort
    Pickett, Virginia, for the purpose of permitting the Commonwealth to
    develop and operate a public safety training facility.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Commonwealth.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2842. LAND CONVEYANCE, FORT LAWTON, WASHINGTON.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the City of Seattle, Washington (in this
    section referred to as the ``City''), all right, title, and interest

    [[Page 114 STAT. 1654A-425]]

    of the United States in and to the real property at Fort Lawton,
    Washington, consisting of Area 500 and Government Way from 36th Avenue
    to Area 500, for purposes of the inclusion of the property in Discovery
    Park, Seattle, Washington.
        (b) Description of Property.--The exact acreage and legal
    description of the property to be conveyed under subsection (a) shall be
    determined by a survey satisfactory to the Secretary. The cost of the
    survey shall be borne by the City.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2843. LAND CONVEYANCE, VANCOUVER BARRACKS, WASHINGTON.

        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the City of Vancouver, Washington (in this
    section referred to as the ``City''), all right, title, and interest of
    the United States in and to a parcel of real property, including any
    improvements thereon, encompassing 19 structures at Vancouver Barracks,
    Washington, which are identified by the Army using numbers between 602
    and 676, and are known as the west barracks.
        (b) Purpose.--The purpose of the conveyance authorized by subsection
    (a) shall be to include the property described in that subsection in the
    Vancouver National Historic Reserve, Washington.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the City.
        (d) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance
    authorized by subsection (a) as the Secretary considers appropriate to
    protect the interests of the United States.

                            PART II--NAVY CONVEYANCES

    SEC. 2846. MODIFICATION OF LAND CONVEYANCE, MARINE CORPS AIR STATION, EL
                TORO, CALIFORNIA.

        (a) Use of Consideration.--Subsection (a)(2) of section 2811 of the
    Military Construction Authorization Act for Fiscal Years 1990 and 1991
    (division B of Public Law 101-189; 103 Stat. 1650) is amended by
    striking ``of additional military family housing units at Marine Corps
    Air Station, Tustin, California.'' and inserting ``and repair of roads
    and development of Aerial Port of Embarkation facilities at Marine Corps
    Air Station, Miramar, California.''.
        (b) Conforming Amendment.--The section heading of such section is
    amended by striking ``, and construction of family housing at marine
    corps air station, tustin, california''.

    SEC. 2847. MODIFICATION OF AUTHORITY FOR OXNARD HARBOR DISTRICT, PORT
                HUENEME, CALIFORNIA, TO USE CERTAIN NAVY PROPERTY.

        (a) Additional Restrictions on Joint Use.--Subsection (c) of section
    2843 of the Military Construction Authorization Act for Fiscal Year 1995
    (division B of Public Law 103-337; 108 Stat. 3067) is amended to read as
    follows:

    [[Page 114 STAT. 1654A-426]]

        ``(c) Restrictions on Use.--The District's use of the property
    covered by an agreement under subsection (a) is subject to the following
    conditions:
                ``(1) The District shall suspend operations under the
            agreement upon notification by the commanding officer of the
            Center that the property is needed to support mission essential
            naval vessel support requirements or Navy contingency
            operations, including combat missions, natural disasters, and
            humanitarian missions.
                ``(2) The District shall use the property covered by the
            agreement in a manner consistent with Navy operations at the
            Center, including cooperating with the Navy for the purpose of
            assisting the Navy to meet its through-put requirements at the
            Center for the expeditious movement of military cargo.
                ``(3) The commanding officer of the Center may require the
            District to remove any of its personal property at the Center
            that the commanding officer determines may interfere with
            military operations at the Center. If the District cannot
            expeditiously remove the property, the commanding officer may
            provide for the removal of the property at District expense.''.

        (b) Consideration.--Subsection (d) of such section is amended to
    read as follows:
        ``(d) Consideration.--(1) As consideration for the use of the
    property covered by an agreement under subsection (a), the District
    shall pay to the Navy an amount that is mutually agreeable to the
    parties to the agreement, taking into account the nature and extent of
    the District's use of the property.
        ``(2) The Secretary may accept in-kind consideration under paragraph
    (1), including consideration in the form of--
                ``(A) the District's maintenance, preservation, improvement,
            protection, repair, or restoration of all or any portion of the
            property covered by the agreement;
                ``(B) the construction of new facilities, the modification
            of existing facilities, or the replacement of facilities vacated
            by the Navy on account of the agreement; and
                ``(C) covering the cost of relocation of the operations of
            the Navy from the vacated facilities to the replacement
            facilities.

        ``(3) All cash consideration received under paragraph (1) shall be
    deposited in the special account in the Treasury established for the
    Navy under section 2667(d) of title 10, United States Code. The amounts
    deposited in the special account pursuant to this paragraph shall be
    available, as provided in appropriation Acts, for general supervision,
    administration, overhead expenses, and Center operations and for the
    maintenance preservation, improvement, protection, repair, or
    restoration of property at the Center.''.
        (c) Conforming Amendments.--Such section is further amended--
                (1) by striking subsection (f ); and
                (2) by redesignating subsections (g) and (h) as subsections
            (f ) and (g), respectively.

    SEC. 2848. TRANSFER OF JURISDICTION, MARINE CORPS AIR STATION, MIRAMAR,
                CALIFORNIA.

        (a) Transfer Authorized.--The Secretary of the Navy may transfer,
    without reimbursement, to the administrative jurisdiction of the
    Secretary of the Interior a parcel of real property, including

    [[Page 114 STAT. 1654A-427]]

    any improvements thereon, consisting of approximately 250 acres and
    known as the Teacup Parcel, which comprises a portion of the Marine
    Corps Air Station, Miramar, California.
        (b) Use of Land.--The Secretary of the Interior shall include the
    real property transferred under subsection (a) in the Vernal Pool Unit
    of the San Diego National Wildlife Refuge and administer the property
    for the conservation of fish and wildlife. All current and future
    military aviation and related activities at the Marine Corps Air
    Station, Miramar, are deemed to be compatible with the refuge purposes
    for which the property is transferred, and with any secondary uses that
    may be established on the transferred property.
        (c) Condition on Transfer.--The transfer authorized under subsection
    (a) shall be subject to the condition that the Secretary of the Interior
    make the transferred property available to the Secretary of the Navy for
    any habitat restoration or preservation project that may be required for
    mitigation of military activities occurring at the Marine Corps Air
    Station, Miramar, unless the Secretary of the Interior determines that
    the project will adversely affect the property's sensitive wildlife and
    habitat resource values.
        (d) Legal Description.--The exact acreage and legal description of
    the real property to be transferred under this section shall be
    determined by a survey satisfactory to the Secretary of the Navy. The
    cost of the survey shall be borne by the Secretary of the Interior.
        (e) Additional Terms and Conditions.--The Secretary of the Navy may
    require such additional terms and conditions in connection with the
    transfer under this section as the Secretary of the Navy considers
    appropriate to protect the interests of the United States.

    SEC. 2849. LAND EXCHANGE, MARINE CORPS RECRUIT DEPOT, SAN DIEGO,
                CALIFORNIA.

        (a) Exchange Authorized.--The Secretary of the Navy may convey to
    the San Diego Unified Port District of San Diego, California (in this
    section referred to as the ``Port District''), all right, title, and
    interest of the United States in and to three parcels of real property,
    including any improvements thereon, consisting of approximately 44.5
    acres and comprising a portion of the Marine Corps Recruit Depot, San
    Diego, California, in exchange for the Port District's--
                (1) conveyance to the Secretary of all right, title, and
            interest of Port District in and to a parcel of real property
            that is acceptable to the Secretary and contiguous to the Marine
            Corps Recruit Depot; and
                (2) construction of suitable replacement facilities and
            necessary supporting structures on the parcel or other property
            comprising the Marine Corps Recruit Depot, as determined
            necessary by the Secretary.

        (b) Time for Conveyance.--The Secretary may not make the conveyance
    to the Port District authorized by subsection (a) until the Secretary
    determines that the replacement facilities have been constructed and are
    ready for occupancy.
        (c) Administrative Expenses.--The Port District shall reimburse the
    Secretary for administrative expenses incurred by the Secretary in
    carrying out the exchange under subsection (a),

    [[Page 114 STAT. 1654A-428]]

    including expenses related to the planning, design, survey,
    environmental compliance, and supervision and inspection of construction
    of the replacement facilities. Section 2695(c) of title 10, United
    States Code, shall apply to the amounts received by the Secretary.
        (d) Construction Schedule.--The Port District shall construct the
    replacement facilities pursuant to such schedule and in such a manner so
    as to not interrupt or adversely affect the capability of the Marine
    Corps Recruit Depot to accomplish its mission.
        (e) Description of Property.--The exact acreage and legal
    description of the parcels of real property to be exchanged under
    subsection (a) shall be determined by surveys satisfactory to the
    Secretary. The cost of the surveys shall be borne by the Port District.
        (f ) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the exchange
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.

    SEC. 2850. LEASE OF PROPERTY, NAVAL AIR STATION, PENSACOLA, FLORIDA.

        (a) Authority To Lease.--The Secretary of the Navy may lease,
    without consideration, to the Naval Aviation Museum Foundation (in this
    section referred to as the ``Foundation'') real property improvements
    constructed by the Foundation at the National Museum of Naval Aviation
    at Naval Air Station, Pensacola, Florida, for the purpose of permitting
    the Foundation to operate a National Flight Academy to encourage and
    assist American young people to develop an interest in naval aviation
    and to preserve and enhance the image and heritage of naval aviation.
        (b) Construction.--The Foundation shall be solely responsible for
    the design and construction of the real property improvements referred
    to in subsection (a). Upon completion, the improvements shall be donated
    to and become the property of the United States, subject to the terms of
    the lease under subsection (a).
        (c) Term of Lease.--(1) The lease authorized by subsection (a) may
    be for a term of up to 50 years, with an option to renew for an
    additional 50 years.
        (2) In the event that the National Flight Academy ceases operation
    for a period in excess of 1 year during the leasehold period, or any
    extension thereof, the lease shall immediately terminate without cost or
    future liability to the United States.
        (d) Use by Navy.--The Secretary may use all or a portion of the
    leased property when the National Flight Academy is not in session or
    whenever the use of the property would not conflict with operation of
    the Academy. The Foundation shall permit such use at no cost to the
    Navy.
        (e) Maintenance and Repair.--The Foundation shall be solely
    responsible during the leasehold period, and any extension thereof, for
    the operation, maintenance, and repair or replacement of the real
    property improvements authorized for lease under this section.
        (f ) Assistance.--(1) Subject to subsection (e), the Secretary may
    assist the Foundation in implementing the National Flight Academy by
    furnishing facilities, utilities, maintenance, and other services within
    the boundaries of Naval Air Station, Pensacola. The Secretary may
    require the Foundation to reimburse the Secretary for the facilities,
    utilities, maintenance, or other services

    [[Page 114 STAT. 1654A-429]]

    so provided or may provide the facilities, utilities, maintenance, or
    other services without reimbursement by the Foundation.
        (2) Any assistance provided the Foundation pursuant to paragraph (1)
    may be terminated by the Secretary without notice, cause, or liability
    to the United States.
        (g) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the lease under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2851. LAND CONVEYANCE, NAVAL RESERVE CENTER, TAMPA, FLORIDA.

        (a) Conveyance Authorized.--The Secretary of the Navy may convey to
    the Tampa Port Authority of Tampa, Florida (in this section referred to
    as the ``Port Authority''), all right, title, and interest of the United
    States in and to a parcel of real property, including any improvements
    thereon, consisting of approximately 2.18 acres and comprising the Naval
    Reserve Center, Tampa, Florida, for the purpose of permitting the Port
    Authority to use the parcel to facilitate the expansion of the Port of
    Tampa.
        (b) Conditions of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the following conditions:
                (1) The Port Authority will accept the Naval Reserve Center
            as is.
                (2) The Port Authority will provide a replacement facility
            for the Naval Reserve Center on a site of comparable size and
            consisting of comparable improvements on port property or other
            public land acceptable to the Secretary. In the event that a
            federally owned site acceptable to the Secretary is not
            available for the construction of the replacement facility, the
            Port Authority will provide a site for the replacement facility
            acceptable to the Secretary and convey it in fee title to the
            United States.
                (3) The Port Authority will procure all necessary funding
            and the planning and design necessary to construct a replacement
            facility that is fully operational and satisfies the Base
            Facilities Requirements plan, as provided by the Naval Reserve.
                (4) The Port Authority will bear all reasonable costs that
            the Navy may incur in the relocating to the replacement
            facility.

        (c) Time for Conveyance.--The Secretary may not make the conveyance
    authorized under subsection (a) until all of the conditions specified in
    subsection (b) have been met to the satisfaction of the Secretary.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Port Authority.
        (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.

    SEC. 2852. MODIFICATION OF LAND CONVEYANCE, DEFENSE FUEL SUPPLY POINT,
                CASCO BAY, MAINE.

        Section 2839 of the Military Construction Authorization Act for
    Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3065) is
    amended--

    [[Page 114 STAT. 1654A-430]]

                (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) Replacement of Removed Electric Utility Service.--(1) The
    Secretary of Defense shall replace the electric utility service removed
    during the course of environmental remediation carried out with respect
    to the property to be conveyed under subsection (a), including the
    procurement and installation of electrical cables, switch cabinets, and
    transformers associated with the service.
        ``(2) As part of the replacement of the electric utility service
    under paragraph (1), the Secretary of Defense may, at the request of the
    Town, improve the electric utility service and install
    telecommunications service. The Secretary shall determine, in
    consultation with the Town, the additional costs that would be
    associated with the improvement of the electric utility service and the
    installation of telecommunications service under this paragraph, and the
    Town shall be responsible for the payment of such costs.''.

    SEC. 2853. LAND CONVEYANCE, NAVAL COMPUTER AND TELECOMMUNICATIONS
                STATION, CUTLER, MAINE.

        (a) Conveyance Authorized.--The Secretary of the Navy may convey,
    without consideration, to the State of Maine, any political subdivision
    of the State of Maine, or any tax-supported agency in the State of
    Maine, all right, title, and interest of the United States in and to a
    parcel of real property, including any improvements thereon, consisting
    of approximately 263 acres located in Washington County, Maine, and
    known as the Naval Computer and Telecommunications Station, Cutler,
    Maine.
        (b) Reimbursement for Environmental and Other Assessments.--(1) The
    Secretary may require the recipient of the property conveyed under this
    section to reimburse the Secretary for the costs incurred by the
    Secretary for any environmental assessments and other studies and
    analyses carried out by the Secretary with respect to the property to be
    conveyed under this section before the conveyance of the property under
    this section.
        (2) The amount of any reimbursement required under paragraph (1)
    shall be determined by the Secretary and may not exceed the cost of the
    assessments, studies, and analyses for which reimbursement is required
    under that paragraph.
        (3) Section 2695(c) of title 10, United States Code, shall apply to
    the amounts received by the Secretary.
        (c) Lease of Property Pending Conveyance.--(1) Pending the
    conveyance by deed of the property authorized to be conveyed by
    subsection (a), the Secretary may enter into one or more leases of the
    property.
        (2) The Secretary shall deposit any amounts paid under a lease under
    paragraph (1) in the appropriation or account providing funds for the
    protection, maintenance, or repair of the property, or for the provision
    of utility services for the property. Amounts so deposited shall be
    merged with funds in the appropriation or account in which deposited,
    and shall be available for the same purposes, and subject to the same
    conditions and limitations, as the funds with which merged.
        (d) Description of Property.--The exact acreage and legal
    description of the property to be conveyed under subsection (a)

    [[Page 114 STAT. 1654A-431]]

    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the recipient of the property.
        (e) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2854. MODIFICATION OF LAND CONVEYANCE AUTHORITY, FORMER NAVAL
                TRAINING CENTER, BAINBRIDGE, CECIL COUNTY, MARYLAND.

        Section 1 of Public Law 99-596 (100 Stat. 3349) is amended--
                (1) in subsection (a), by striking ``subsections (b) through
            (f )'' and inserting ``subsections (b) through (e)'';
                (2) by striking subsection (b) and inserting the following
            new subsection:

        ``(b) Consideration.--(1) In the event of the transfer of the
    property under subsection (a) to the State of Maryland, the transfer
    shall be with consideration or without consideration from the State of
    Maryland, at the election of the Secretary.
        ``(2) If the Secretary elects to receive consideration from the
    State of Maryland under paragraph (1), the Secretary may reduce the
    amount of consideration to be received from the State of Maryland under
    that paragraph by an amount equal to the cost, estimated as of the time
    of the transfer of the property under this section, of the restoration
    of the historic buildings on the property. The total amount of the
    reduction of consideration under this paragraph may not exceed
    $500,000.'';
                (3) by striking subsection (d); and
                (4) by redesignating subsections (e) and (f ) as subsections
            (d) and (e), respectively.

    SEC. 2855. LAND CONVEYANCE, MARINE CORPS BASE, CAMP LEJEUNE, NORTH
                CAROLINA.

        (a) Conveyance Authorized.--The Secretary of the Navy may convey to
    the City of Jacksonville, North Carolina (in this section referred to as
    the ``City''), all right, title, and interest of the United States in
    and to a parcel of real property, including any improvements thereon,
    that is currently leased to Norfolk Southern Corporation and consists of
    approximately 50 acres, known as the railroad right-of-way, lying within
    the City between Highway 24 and Highway 17, at the Marine Corps Base,
    Camp Lejeune, North Carolina, for the purpose of permitting the City to
    develop the parcel for initial use as a bike/green way trail.
        (b) Consideration.--As consideration for the conveyance under
    subsection (a), the City shall reimburse the Secretary (in such amounts
    as the Secretary may determine) for the expenses incurred by the
    Secretary in making the conveyance, including costs related to planning,
    design, surveys, environmental assessment and compliance, supervision
    and inspection of construction, severing and realigning utility systems,
    and other prudent and necessary actions. Section 2695(c) of title 10,
    United States Code, shall apply to the amounts received by the
    Secretary.
        (c) Condition of Conveyance.--The Secretary may retain such
    easements, rights-of-way, and other interests in the property to be
    conveyed under subsection (a) and impose such restrictions on the use of
    the conveyed property as the Secretary considers necessary to ensure the
    effective security, maintenance, and operations

    [[Page 114 STAT. 1654A-432]]

    of the Marine Corps Base, Camp Lejeune, North Carolina, and to protect
    human health and the environment.
        (d) 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.
        (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.

    SEC. 2856. LAND EXCHANGE, NAVAL AIR RESERVE CENTER, COLUMBUS, OHIO.

        (a) Exchange Authorized.--The Secretary of the Navy may convey to
    the Rickenbacker Port Authority of Columbus, Ohio (in this section
    referred to as the ``Authority''), all right, title, and interest of the
    United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 24 acres comprising
    the civilian facilities of the Naval Air Reserve at Rickenbacker
    International Airport in Franklin County, Ohio, in exchange for the
    Authority's conveyance to the Secretary of all right, title, and
    interest of the Authority in and to a parcel of real property consisting
    of approximately 10 to 15 acres acceptable to the Secretary at
    Rickenbacker International Airport.
        (b) Use of Acquired Property.--The Secretary shall use the real
    property acquired from the Authority in the exchange as the site for a
    replacement facility that will house both the Naval Air Reserve Center
    at Rickenbacker International Airport and the Naval and Marine Corps
    Reserve Center currently located in Columbus, Ohio.
        (c) Time for Conveyance.--The Secretary may not make the conveyance
    to the Authority authorized by subsection (a) until the Secretary
    determines that the replacement facility described in subsection (b) has
    been constructed and is ready for occupancy.
        (d) Description of Property.--The exact acreage and legal
    description of the parcels of real property to be exchanged under
    subsection (a) shall be determined by surveys satisfactory to the
    Secretary. The cost of the surveys shall be borne by the Authority.
        (e) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the exchange under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2857. LAND CONVEYANCE, NAVAL STATION, BREMERTON, WASHINGTON.

        (a) Conveyance Authorized.--The Secretary of the Navy may convey to
    the City of Bremerton, Washington (in this section referred to as the
    ``City''), all right, title, and interest of the United States in and to
    a parcel of real property, including any improvements thereon,
    consisting of approximately 45.8 acres and comprising the former East
    Park Transient Family Accommodations, which was an off-site housing
    facility for Naval Station, Bremerton, Washington.
        (b) Consideration.--(1) The conveyance under subsection (a) may be
    made without consideration to the extent the real property to be
    conveyed will be used by the City, directly or through an agreement with
    a public or private entity, for public health, public safety, education,
    affordable housing, or public recreation.

    [[Page 114 STAT. 1654A-433]]

        (2) If the City intends to use a portion of the conveyed property
    for a purpose not specified in paragraph (1), the City shall pay to the
    United States an amount equal to the fair market value of that portion
    of the property. The fair market value shall be determined by an
    appraisal acceptable to the Secretary.
        (c) Administrative Expenses.--The City shall reimburse the Secretary
    for administrative expenses incurred by the Secretary in carrying out
    the conveyance under subsection (a), including expenses related to
    planning, design, survey, environmental compliance, and other prudent
    and necessary actions. Section 2695(c) of title 10, United States Code,
    shall apply to the amounts received by the Secretary.
        (d) 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.
        (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.

                         PART III--AIR FORCE CONVEYANCES

    SEC. 2861. LAND CONVEYANCE, LOS ANGELES AIR FORCE BASE, CALIFORNIA.

        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, by sale or lease upon such terms as the Secretary considers
    appropriate, all or any portion of the following parcels of real
    property, including any improvements thereon, at Los Angeles Air Force
    Base, California:
                (1) Approximately 42 acres in El Segundo, California,
            commonly known as Area A.
                (2) Approximately 52 acres in El Segundo, California,
            commonly known as Area B.
                (3) Approximately 13 acres in Hawthorne, California,
            commonly known as the Lawndale Annex.
                (4) Approximately 3.7 acres in Sun Valley, California,
            commonly known as the Armed Forces Radio and Television Service
            Broadcast Center.

        (b) Consideration.--As consideration for the conveyance of real
    property under subsection (a), the recipient of the property shall
    provide for the design and construction on real property acceptable to
    the Secretary of one or more facilities to consolidate the mission and
    support functions at Los Angeles Air Force Base. Any such facility must
    comply with the seismic and safety design standards for Los Angeles
    County, California, in effect at the time the Secretary takes possession
    of the facility.
        (c) Leaseback Authority.--If the fair market value of a facility to
    be provided as consideration for the conveyance of real property under
    subsection (a) exceeds the fair market value of the conveyed property,
    the Secretary may enter into a lease for the facility for a period not
    to exceed 10 years. Rental payments under the lease shall be established
    at the rate necessary to permit the lessor to recover, by the end of the
    lease term, the difference between the fair market value of a facility
    and the fair market value of the conveyed property. At the end of the
    lease, all right, title, and interest in the facility shall vest in the
    United States.

    [[Page 114 STAT. 1654A-434]]

        (d) Appraisal of Property.--The Secretary shall obtain an appraisal
    of the fair market value of all property and facilities to be sold,
    leased, or acquired under this section. An appraisal shall be made by a
    qualified appraiser familiar with the type of property to be appraised.
    The Secretary shall consider the appraisals in determining whether a
    proposed conveyance accomplishes the purpose of this section and is in
    the interest of the United States. Appraisal reports shall not be
    released outside of the Federal Government, other than to the other
    party to a conveyance.
        (e) Description of Property.--The exact acreage and legal
    description of real property to be conveyed under subsection (a) or
    acquired under subsection (b) shall be determined by a survey
    satisfactory to the Secretary. The cost of the survey shall be borne by
    the recipient of the property.
        (f ) Exemption.--Section 2696 of title 10, United States Code, does
    not apply to the conveyance authorized by subsection (a).
        (g) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with a conveyance under
    subsection (a) or a lease under subsection (c) as the Secretary
    considers appropriate to protect the interests of the United States.

    SEC. 2862. LAND CONVEYANCE, POINT ARENA AIR FORCE STATION, CALIFORNIA.

        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to Mendocino County, California (in this
    section referred to as the ``County''), all right, title, and interest
    of the United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 82 acres at the Point
    Arena Air Force Station, California, for the purpose of permitting the
    County to use the parcel for municipal and other public purposes.
        (b) Conditions of Conveyance.--The conveyance under subsection (a)
    shall be subject to the condition that the County--
                (1) use the conveyed property, directly or through an
            agreement with a public or private entity, for municipal and
            other public purposes;
                (2) convey the property to an appropriate public or private
            entity that will use the conveyed property for such purposes; or
                (3) convey the property by sale or exchange and--
                        (A) if conveyed by exchange, use the property
                    acquired in the exchange for such purposes; or
                        (B) if conveyed by sale, use the proceeds to acquire
                    property that will be used for such purposes.

        (c) Consideration.--If the Secretary determines at any time that the
    County, or a public or private entity to which the property is
    reconveyed as authorized by paragraph (2) of subsection (b), has failed
    to comply with the conditions specified in such subsection, the County
    shall pay the United States an amount equal to the fair market value of
    the property conveyed under subsection (a), as determined by an
    appraisal satisfactory to the Secretary.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the County.

    [[Page 114 STAT. 1654A-435]]

        (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.

    SEC. 2863. LAND CONVEYANCE, LOWRY AIR FORCE BASE, COLORADO.

        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, or lease upon such terms as the Secretary
    considers appropriate, to the Lowry Redevelopment Authority (in this
    section referred to as the ``Authority'') all right, title, and interest
    of the United States in and to seven parcels of real property, including
    any improvements thereon, consisting of approximately 23 acres at the
    former Lowry Air Force Base, Colorado, for the purpose of permitting the
    Authority to use the property in furtherance of economic development and
    other public purposes.
        (b) Description of Property.--The exact acreage and legal
    description of real property to be conveyed or leased under subsection
    (a) shall be determined by a survey satisfactory to the Secretary. The
    cost of the survey shall be borne by the Authority.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with a conveyance or lease
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.

    SEC. 2864. LAND CONVEYANCE, WRIGHT-PATTERSON AIR FORCE BASE, OHIO.

        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to Greene County, Ohio (in this section
    referred to as the ``County''), all right, title, and interest of the
    United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 92 acres comprising
    the communications test annex at Wright-Patterson Air Force Base, Ohio,
    for the purpose of permitting the County to use the parcel for
    recreational purposes.
        (b) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the County.
        (c) Additional Terms and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.

    SEC. 2865. MODIFICATION OF LAND CONVEYANCE, ELLSWORTH AIR FORCE BASE,
                SOUTH DAKOTA.

        (a) Change in Recipient.--Subsection (a) of section 2863 of the
    Military Construction Authorization Act for Fiscal Year 1998 (division B
    of Public Law 105-85; 111 Stat. 2010) is amended by striking ``Greater
    Box Elder Area Economic Development Corporation, Box Elder, South Dakota
    (in this section referred to as the `Corporation')'' and inserting
    ``West River Foundation for Economic and Community Development, Sturgis,
    South Dakota (in this section referred to as the `Foundation')''.
        (b) Conforming Amendments.--Such section is further amended by
    striking ``Corporation'' each place it appears in subsections (c) and
    (e) and inserting ``Foundation''.

    [[Page 114 STAT. 1654A-436]]

    SEC. 2866. LAND CONVEYANCE, MUKILTEO TANK FARM, EVERETT, WASHINGTON.

        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to the Port of Everett, Washington (in
    this section referred to as the ``Port''), all right, title, and
    interest of the United States in and to a parcel of real property,
    including any improvements thereon, consisting of approximately 22 acres
    and known as the Mukilteo Tank Farm for the purpose of permitting the
    Port to use the parcel for the development and operation of a port
    facility and for other public purposes.
        (b) Personal Property.--The Secretary of the Air Force may include
    as part of the conveyance authorized by subsection (a) any personal
    property at the Mukilteo Tank Farm that is excess to the needs of the
    Air Force if the Secretary of Transportation determines that such
    personal property is appropriate for the development or operation of the
    Mukilteo Tank Farm as a port facility.
        (c) Interim Lease.--(1) Until such time as the real property
    described in subsection (a) is conveyed by deed, the Secretary of the
    Air Force may lease all or part of the real property to the Port if the
    Secretary determines that the real property is suitable for lease and
    the lease of the property under this subsection will not interfere with
    any environmental remediation activities or schedules under applicable
    law or agreements.
        (2) The determination under paragraph (1) whether the lease of the
    real property will interfere with environmental remediation activities
    or schedules referred to in that paragraph shall be based upon an
    environmental baseline survey conducted in accordance with applicable
    Air Force regulations and policy.
        (3) Except as provided by paragraph (4), as consideration for the
    lease under this subsection, the Port shall pay the Secretary an amount
    equal to the fair market of the lease, as determined by the Secretary.
        (4) The amount of consideration paid by the Port for the lease under
    this subsection may be an amount, as determined by the Secretary, less
    than the fair market value of the lease if the Secretary determines
    that--
                (A) the public interest will be served by an amount of
            consideration for the lease that is less than the fair market
            value of the lease; and
                (B) payment of an amount equal to the fair market value of
            the lease is unobtainable.

        (d) Description of Property.--The exact acreage and legal
    description of the property to be conveyed under subsection (a) shall be
    determined by a survey satisfactory to the Secretary of the Air Force
    and the Port.
        (e) Additional Terms and Conditions.--The Secretary of the Air
    Force, in consultation with the Secretary of Transportation, may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary of the Air Force considers
    appropriate to protect the interests of the United States.

    [[Page 114 STAT. 1654A-437]]

                           PART IV--OTHER CONVEYANCES

    SEC. 2871. LAND CONVEYANCE, ARMY AND AIR FORCE EXCHANGE SERVICE
                PROPERTY, FARMERS BRANCH, TEXAS.

        (a) Conveyance Authorized.--The Secretary of Defense may authorize
    the Army and Air Force Exchange Service, which is a nonappropriated fund
    instrumentality of the United States, to sell all right, title, and
    interest of the United States in and to a parcel of real property,
    including improvements thereon, that is located at 2727 LBJ Freeway in
    Farmers Branch, Texas.
        (b) Consideration.--As consideration for conveyance under subsection
    (a), the purchaser shall pay, in a single lump sum payment, an amount
    equal to the fair market value of the real property conveyed, as
    determined by the Secretary. The payment shall be handled in the manner
    provided in section 204(c) of the Federal Property and Administrative
    Services Act of 1949 (40 U.S.C. 485(c)).
        (c) Congressional Report.--Within 30 days after the sale of the
    property under subsection (a), the Secretary shall submit to Congress a
    report detailing the particulars of the sale.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the purchaser.
        (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.

    SEC. 2872. LAND CONVEYANCE, FORMER NATIONAL GROUND INTELLIGENCE CENTER,
                CHARLOTTESVILLE, VIRGINIA.

        (a) Conveyance Authorized.--The Administrator of General Services
    may convey, without consideration, to the City of Charlottesville,
    Virginia (in this section referred to as the ``City''), all right,
    title, and interest of the United States in and to a parcel of real
    property, including any improvements thereon, formerly occupied by the
    National Ground Intelligence Center and known as the Jefferson Street
    Property, for the purpose of permitting the City to use the parcel,
    directly or through an agreement with a public or private entity, for
    economic development purposes.
        (b) Authority To Convey Without Consideration.--The conveyance
    authorized by subsection (a) may be made without consideration if the
    Administrator determines that conveyance on that basis would be in the
    best interests of the United States.
        (c) Reversionary Interest.--During the five-year period beginning on
    the date the Administrator makes the conveyance authorized by subsection
    (a), if the Administrator determines that the conveyed real property is
    not being used in accordance with the purpose specified in such
    subsection, all right, title, and interest in and to the property,
    including any improvements thereon, may upon the election of the
    Administrator revert to the United States, and upon such reversion the
    United States shall have the right of immediate entry onto the property.
        (d) Limitation on Certain Subsequent Conveyances.--(1) Subject to
    paragraph (2), if at any time after the Administrator makes the
    conveyance authorized by subsection (a) the City conveys any portion of
    the parcel conveyed under that subsection to a

    [[Page 114 STAT. 1654A-438]]

    private entity, the City shall pay to the United States an amount equal
    to--
                (A) the fair market value (as determined by the
            Administrator) of the portion conveyed at the time of the
            conveyance; less
                (B) the cost of any improvements to the property made by the
            City.

        (2) Paragraph (1) applies to a conveyance described in such
    paragraph only if the Administrator makes the conveyance authorized by
    subsection (a) without consideration.
        (3) The Administrator shall deposit any amounts paid the United
    States under this subsection into the fund established by section 210(f
    ) of the Federal Property and Administrative Services Act of 1949 (40
    U.S.C. 490(f )). Any amounts so deposited shall be available to the
    Administrator for real property management and related activities as
    provided for under paragraph (2) of such section.
        (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 Administrator. The
    cost of the survey shall be borne by the City.
        (f ) Additional Terms and Conditions.--The Administrator may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Administrator considers appropriate to
    protect the interests of the United States.

                            Subtitle E--Other Matters

    SEC. 2881. RELATION OF EASEMENT AUTHORITY TO LEASED PARKLAND, MARINE
                CORPS BASE, CAMP PENDLETON, CALIFORNIA.

        Section 2851 of the Military Construction Authorization Act for
    Fiscal Year 1999 (division B of Public Law 105-261; 112 Stat. 2219) is
    amended by adding at the end the following new subsection:
        ``(f ) Exemption for Certain Leased Lands.--(1) Section 303 of title
    49, and section 138 of title 23, United States Code, shall not apply to
    any approval by the Secretary of Transportation of the use by State
    Route 241 of parkland within Camp Pendleton that is leased by the State
    of California, where the lease reserved to the United States the right
    to establish rights-of-way.
        ``(2) The Agency shall be responsible for the implementation of any
    measures required by the Secretary of Transportation to mitigate the
    impact of the Agency's use of parkland within Camp Pendleton for State
    Route 241. With the exception of those mitigation measures directly
    related to park functions, the measures shall be located outside the
    boundaries of Camp Pendleton. The required mitigation measures related
    to park functions shall be implemented in accordance with the terms of
    the lease referred to in paragraph (1).''.

    SEC. 2882. EXTENSION OF DEMONSTRATION PROJECT FOR PURCHASE OF FIRE,
                SECURITY, POLICE, PUBLIC WORKS, AND UTILITY SERVICES FROM
                LOCAL GOVERNMENT AGENCIES.

        Section 816(c) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2820), as added

    [[Page 114 STAT. 1654A-439]]

    by section 2873 of the Strom Thurmond National Defense Authorization Act
    for Fiscal Year 1999 (Public Law 105-261; 112 Stat. 2225), is amended by
    striking ``2000'' and inserting ``2001''.

    SEC. 2883. ACCEPTANCE AND USE OF GIFTS FOR CONSTRUCTION OF THIRD
                BUILDING AT UNITED STATES AIR FORCE MUSEUM, WRIGHT-PATTERSON
                AIR FORCE BASE, OHIO.

        (a) Acceptance Authorized.--The Secretary of the Air Force may
    accept from the Air Force Museum Foundation, a private nonprofit
    foundation, gifts in the form of cash, Treasury instruments, or
    comparable United States Government securities for the purpose of paying
    the costs of design and construction of a third building for the United
    States Air Force Museum at Wright-Patterson Air Force Base, Ohio. The
    terms of the gift may specify that all or a part of the amount of the
    gift be utilized solely for purposes of the design and construction of a
    particular portion of the building.
        (b) Deposit in Escrow Account.--The Secretary, acting through the
    Comptroller of the Air Force Materiel Command, shall deposit the amount
    of any cash, instruments, or securities accepted as a gift under
    subsection (a) in an escrow account established for that purpose.
        (c) Investment.--Amounts in the escrow account under subsection (b)
    not required to meet current requirements of the account shall be
    invested in public debt securities with maturities suitable to the needs
    of the account, as determined by the Comptroller of the Air Force
    Materiel Command, and bearing interest at rates that take into
    consideration current market yields on outstanding marketable
    obligations of the United States of comparable maturities. The income on
    such investments shall be credited to and form a part of the account.
        (d) Utilization.--(1) Amounts in the escrow account under subsection
    (b), including any income on investments of such amounts under
    subsection (c), that are attributable to a particular portion of the
    building described in subsection (a) shall be utilized by the
    Comptroller of the Air Force Materiel Command to pay the costs of the
    design and construction of such portion of the building, including
    progress payments for such design and construction.
        (2) Subject to paragraph (3), amounts shall be payable under
    paragraph (1) upon receipt by the Comptroller of the Air Force Materiel
    Command of a notification from an appropriate officer or employee of the
    Corps of Engineers that such amounts are required for the timely payment
    of an invoice or claim for the performance of design or construction
    activities for which such amounts are payable under paragraph (1).
        (3) The Comptroller of the Air Force Materiel Command shall, to the
    maximum extent practicable consistent with good business practice, limit
    payment of amounts from the account in order to maximize the return on
    investment of amounts in the account.
        (e) Limitation on Contracts.--The Corps of Engineers may not enter
    into a contract for the design or construction of a particular portion
    of the building described in subsection (a) until amounts in the escrow
    account under subsection (b), including any income on investments of
    such amounts under subsection (c), that are attributable to such portion
    of the building are sufficient to cover the amount of such contract.

    [[Page 114 STAT. 1654A-440]]

        (f ) Liquidation of Escrow Account.--Upon final payment of all
    invoices and claims associated with the design and construction of the
    building described in subsection (a), the Secretary of the Air Force
    shall terminate the escrow account under subsection (b). Any amounts in
    the account upon final payment of invoices and claims shall be available
    to the Secretary for such purposes as the Secretary considers
    appropriate.

    SEC. 2884. DEVELOPMENT OF MARINE CORPS HERITAGE CENTER AT MARINE CORPS
                BASE, QUANTICO, VIRGINIA.

        (a) Authority To Enter Into Joint Venture for Development.--The
    Secretary of the Navy may enter into a joint venture with the Marine
    Corps Heritage Foundation, a not-for-profit entity, for the design and
    construction of a multipurpose facility to be used for historical
    displays for public viewing, curation, and storage of artifacts,
    research facilities, classrooms, offices, and associated activities
    consistent with the mission of the Marine Corps University. The facility
    shall be known as the Marine Corps Heritage Center.
        (b) Authority To Accept Certain Land.--(1) The Secretary may, if the
    Secretary determines it to be necessary for the facility described in
    subsection (a), accept without compensation any portion of the land
    known as Locust Shade Park which is now offered by the Park Authority of
    the County of Prince William, Virginia, as a potential site for the
    facility.
        (2) The Park Authority may convey the land described in paragraph
    (1) to the Secretary under this section without regard to any limitation
    on its use, or requirement for its replacement upon conveyance, under
    section 6(f )(3) of the Land and Water Conservation Fund Act of 1965 (16
    U.S.C. 460l-8(f )(3)) or under any other provision of law.
        (c) Design and Construction.--For each phase of development of the
    facility described in subsection (a), the Secretary may--
                (1) permit the Marine Corps Heritage Foundation to contract
            for the design, construction, or both of such phase of
            development; or
                (2) accept funds from the Marine Corps Heritage Foundation
            for the design, construction, or both of such phase of
            development.

        (d) Acceptance Authority.--Upon completion of construction of any
    phase of development of the facility described in subsection (a) by the
    Marine Corps Heritage Foundation to the satisfaction of the Secretary,
    and the satisfaction of any financial obligations incident thereto by
    the Marine Corps Heritage Foundation, the facility shall become the
    property of the Department of the Navy with all right, title, and
    interest in and to facility being in the United States.
        (e) Lease of Facility.--(1) The Secretary may lease, under such
    terms and conditions as the Secretary considers appropriate for the
    joint venture authorized by subsection (a), portions of the facility
    developed under that subsection to the Marine Corps Heritage Foundation
    for use in generating revenue for activities of the facility and for
    such administrative purposes as may be necessary for support of the
    facility.
        (2) The amount of consideration paid the Secretary by the Marine
    Corps Heritage Foundation for the lease under paragraph

    [[Page 114 STAT. 1654A-441]]

    (1) may not exceed an amount equal to the actual cost (as determined by
    the Secretary) of the operation of the facility.
        (3) Notwithstanding any other provision of law, the Secretary shall
    use amounts paid under paragraph (2) to cover the costs of operation of
    the facility.
        (f ) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the joint
    venture authorized by subsection (a) as the Secretary considers
    appropriate to protect the interests of the United States.

    SEC. 2885. ACTIVITIES RELATING TO THE GREENBELT AT FALLON NAVAL AIR
                STATION, NEVADA.

        (a) In General.--The Secretary of the Navy shall, in consultation
    with the Secretary of the Army acting through the Chief of Engineers,
    carry out appropriate activities after examination of the potential
    environmental and flight safety ramifications for irrigation that has
    been eliminated, or will be eliminated, for the greenbelt at Fallon
    Naval Air Station, Nevada. Any activities carried out under the
    preceding sentence shall be consistent with aircrew safety at Fallon
    Naval Air Station.
        (b) Authorization of Appropriations.--There is hereby authorized to
    be appropriated for operation and maintenance for the Navy such sums as
    may be necessary to carry out the activities required by subsection (a).

    SEC. 2886. ESTABLISHMENT OF WORLD WAR II MEMORIAL ON GUAM.

        (a) Establishment Required.--The Secretary of Defense shall
    establish on Federal lands near the Fena Caves in Guam a suitable
    memorial intended to honor those Guamanian civilians who were killed
    during the occupation of Guam during World War II and to commemorate the
    liberation of Guam by the United States Armed Forces in 1944.
        (b) Maintenance of Memorial.--The Secretary of Defense shall be
    responsible for the maintenance of the memorial established pursuant to
    subsection (a).
        (c) Consultation.--In designing and building the memorial and
    selecting the specific location for the memorial, the Secretary of
    Defense shall consult with the American Battle Monuments Commission
    established under chapter 21 of title 36, United States Code.

    SEC. 2887. NAMING OF ARMY MISSILE TESTING RANGE AT KWAJALEIN ATOLL AS
                THE RONALD REAGAN BALLISTIC MISSILE DEFENSE TEST SITE AT
                KWAJALEIN ATOLL.

        The United States Army missile testing range located at Kwajalein
    Atoll in the Marshall Islands shall after the date of the enactment of
    this Act be known and designated as the ``Ronald Reagan Ballistic
    Missile Defense Test Site at Kwajalein Atoll''. Any reference to that
    range in any law, regulation, map, document, record, or other paper of
    the United States shall be considered to be a reference to the Ronald
    Reagan Ballistic Missile Defense Test Site at Kwajalein Atoll.

    [[Page 114 STAT. 1654A-442]]

    SEC. 2888. DESIGNATION OF BUILDING AT FORT BELVOIR, VIRGINIA, IN HONOR
                OF ANDREW T. MCNAMARA.

        The building at 8725 John J. Kingman Road, Fort Belvoir, Virginia,
    shall be known and designated as the ``Andrew T. McNamara Building''.
    Any reference to that building in any law, regulation, map, document,
    record, or other paper of the United States shall be considered to be a
    reference to the Andrew T. McNamara Building.

    SEC. 2889. DESIGNATION OF BALBOA NAVAL HOSPITAL, SAN DIEGO, CALIFORNIA,
                IN HONOR OF BOB WILSON, A FORMER MEMBER OF THE HOUSE OF
                REPRESENTATIVES.

        The Balboa Naval Hospital in San Diego, California, shall be known
    and designated as the ``Bob Wilson Naval Hospital''. Any reference to
    the Balboa Naval Hospital in any law, regulation, map, document, record,
    or other paper of the United States shall be considered to be a
    reference to the Bob Wilson Naval Hospital.

    SEC. 2890. SENSE OF CONGRESS REGARDING IMPORTANCE OF EXPANSION OF
                NATIONAL TRAINING CENTER, FORT IRWIN, CALIFORNIA.

        (a) Findings.--Congress makes the following findings:
                (1) The National Training Center at Fort Irwin, California,
            is the Army's premier warfare training center.
                (2) The National Training Center was cited by General Norman
            Schwarzkopf as being instrumental to the success of the allied
            victory in the Persian Gulf conflict.
                (3) The National Training Center gives a military unit the
            opportunity to use high-tech equipment and confront realistic
            opposing forces in order to accurately discover the unit's
            strengths and weaknesses.
                (4) The current size of the National Training Center is
            insufficient in light of the advanced equipment and technology
            required for modern warfare training.
                (5) The expansion of the National Training Center to include
            additional lands would permit military units and members of the
            Armed Forces to adequately prepare for future conflicts and
            various warfare scenarios they may encounter throughout the
            world.
                (6) Additional lands for the expansion of the National
            Training Center are presently available in the California
            desert.
                (7) The expansion of the National Training Center is a top
            priority of the Army and the Office of the Secretary of Defense.

        (b) Sense of Congress.--It is the sense of Congress that the prompt
    expansion of the National Training Center is vital to the national
    security interests of the United States.

    SEC. 2891. SENSE OF CONGRESS REGARDING LAND TRANSFERS AT MELROSE RANGE,
                NEW MEXICO, AND YAKIMA TRAINING CENTER, WASHINGTON.

        (a) Findings.--Congress makes the following findings:
                (1) The Secretary of the Air Force seeks the transfer of
            6,713 acres of public domain land within the Melrose Range, New
            Mexico, from the Department of the Interior to the Department of
            the Air Force for the continued use of these lands as a military
            range.

    [[Page 114 STAT. 1654A-443]]

                (2) The Secretary of the Army seeks the transfer of 6,640
            acres of public domain land within the Yakima Training Center,
            Washington, from the Department of the Interior to the
            Department of the Army for military training purposes.
                (3) The transfers provide the Department of the Air Force
            and the Department of the Army with complete land management
            control of these public domain lands to allow for effective land
            management, minimize safety concerns, and ensure meaningful
            training.
                (4) The Department of the Interior concurs with the land
            transfers at Melrose Range and Yakima Training Center.

        (b) Sense of Congress.--It is the sense of Congress that the land
    transfers at Melrose Range, New Mexico, and Yakima Training Center,
    Washington, will support military training, safety, and land management
    concerns on the lands subject to transfer.

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

           TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec.3101.National Nuclear Security Administration.
    Sec.3102.Defense environmental restoration and waste management.
    Sec.3103.Other defense activities.
    Sec.3104.Defense environmental management privatization.
    Sec.3105.Defense nuclear waste disposal.

                    Subtitle B--Recurring General Provisions

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

        Subtitle C--Program Authorizations, Restrictions, and Limitations

    Sec.3131.Funding for termination costs of River Protection Project,
               Richland, Washington.
    Sec.3132.Enhanced cooperation between National Nuclear Security
               Administration and Ballistic Missile Defense Organization.
    Sec.3133.Reprogramming of funds available for infrastructure upgrades or
               maintenance in certain accounts of the National Nuclear
               Security Administration.
    Sec.3134.Adjustment of composite theoretical performance levels for
               post-shipment verification reports on advanced supercomputer
               sales to certain foreign nations.
    Sec.3135.Modification of counterintelligence polygraph program.
    Sec.3136.Employee incentives for employees at closure project
               facilities.
    Sec.3137.Continuation of processing, treatment, and disposition of
               legacy nuclear materials.
    Sec.3138.Contingent limitation on use of certain funds pending
               certifications of compliance with Formerly Utilized Sites
               Remedial Action Program funding prohibition.
    Sec.3139.Conceptual design for Subsurface Geosciences Laboratory at
               Idaho National Engineering and Environmental Laboratory,
               Idaho Falls, Idaho.

    [[Page 114 STAT. 1654A-444]]

    Sec.3140.Report on National Ignition Facility, Lawrence Livermore
               National Laboratory, Livermore, California.
    Sec.3141.River Protection Project, Richland, Washington.
    Sec.3142.Report on tank waste remediation system, Hanford Reservation,
               Richland, Washington.

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

    Sec.3151.Term of office of person first appointed as Under Secretary for
               Nuclear Security of the Department of Energy.
    Sec.3152.Membership of Under Secretary for Nuclear Security on the Joint
               Nuclear Weapons Council.
    Sec.3153.Organization plan for field offices of the National Nuclear
               Security Administration.
    Sec.3154.Required contents of future-years nuclear security program.
    Sec.3155.Future-years nuclear security program for fiscal year 2001.
    Sec.3156.Engineering and manufacturing research, development, and
               demonstration by plant managers of certain nuclear weapons
               production plants.
    Sec.3157.Prohibition on individuals engaging in concurrent service or
               duties within National Nuclear Security Administration and
               outside that Administration but within Department of Energy.
    Sec.3158.Annual plan for obligation of funds of the National Nuclear
               Security Administration.
    Sec.3159.Authority to reorganize National Nuclear Security
               Administration.

            Subtitle E--National Laboratories Partnership Improvement

    Sec.3161.Technology Infrastructure Pilot Program.
    Sec.3162.Report on small business participation in National Nuclear
               Security Administration activities.
    Sec.3163.Study and report related to improving mission effectiveness,
               partnerships, and technology transfer at national security
               laboratories and nuclear weapons production facilities.
    Sec.3164.Report on effectiveness of National Nuclear Security
               Administration technology development partnerships with non-
               Federal entities.
    Sec.3165.Definitions.

        Subtitle F--Matters Relating to Defense Nuclear Nonproliferation

    Sec.3171.Annual report on status of Nuclear Materials Protection,
               Control, and Accounting Program.
    Sec.3172.Nuclear Cities Initiative.
    Sec.3173.Department of Energy nonproliferation monitoring.
    Sec.3174.Sense of Congress on the need for coordination of
               nonproliferation programs.
    Sec.3175.Limitation on use of funds for International Nuclear Safety
               Program.

                            Subtitle G--Other Matters

    Sec.3191.Extension of authority for appointment of certain scientific,
               engineering, and technical personnel.
    Sec.3192.Biennial report containing update on nuclear test readiness
               postures.
    Sec.3193.Frequency of reports on inadvertent releases of Restricted Data
               and Formerly Restricted Data.
    Sec.3194.Form of certifications regarding the safety or reliability of
               the nuclear weapons stockpile.
    Sec.3195.Authority to provide certificate of commendation to Department
               of Energy and contractor employees for exemplary service in
               stockpile stewardship and security.
    Sec.3196.Cooperative research and development agreements for government-
               owned, contractor-operated laboratories.
    Sec.3197.Office of Arctic Energy.

              Subtitle A--National Security Programs Authorizations

    SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.

        Funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 2001 for the activities of the National

    [[Page 114 STAT. 1654A-445]]

    Nuclear Security Administration in carrying out programs necessary for
    national security in the amount of $6,422,356,000, to be allocated as
    follows:
                (1) Weapons activities.--For weapons activities,
            $4,840,289,000, to be allocated as follows:
                        (A) For stewardship, $4,505,545,000, to be allocated
                    as follows:
                              (i) For directed stockpile work, $862,603,000.
                              (ii) For campaigns, $2,054,014,000, to be
                          allocated as follows:
                                        (I) For operation and maintenance,
                                    $1,639,682,000.
                                        (II) For construction, $414,332,000,
                                    to be allocated as follows:
                                                Project 01-D-101,
                                            distributed information systems
                                            laboratory, Sandia National
                                            Laboratories, Livermore,
                                            California, $2,300,000.
                                                Project 00-D-103, terascale
                                            simulation facility, Lawrence
                                            Livermore National Laboratory,
                                            Livermore, California,
                                            $5,000,000.
                                                Project 00-D-105, strategic
                                            computing complex, Los Alamos
                                            National Laboratory, Los Alamos,
                                            New Mexico, $56,000,000.
                                                Project 00-D-107, joint
                                            computational engineering
                                            laboratory, Sandia National
                                            Laboratories, Albuquerque, New
                                            Mexico, $6,700,000.
                                                Project 98-D-125, tritium
                                            extraction facility, Savannah
                                            River Plant, Aiken, South
                                            Carolina, $75,000,000.
                                                Project 98-D-126,
                                            accelerator production of
                                            tritium, various locations,
                                            $25,000,000.
                                                Project 97-D-102, dual-axis
                                            radiographic hydrotest facility,
                                            Los Alamos National Laboratory,
                                            Los Alamos, New Mexico,
                                            $35,232,000.
                                                Project 96-D-111, national
                                            ignition facility (NIF),
                                            Lawrence Livermore National
                                            Laboratory, Livermore,
                                            California, $209,100,000.
                              (iii) For readiness in technical base and
                          facilities, $1,588,928,000, to be allocated as
                          follows:
                                        (I) For operation and maintenance,
                                    $1,429,087,000.
                                        (II) For plant projects (including
                                    maintenance, restoration, planning,
                                    construction, acquisition, modification
                                    of facilities, and the continuation of
                                    projects authorized in prior years, and
                                    land acquisition related thereto),
                                    $159,841,000, to be allocated as
                                    follows:
                                                Project 01-D-103,
                                            preliminary project design and
                                            engineering, various locations,
                                            $14,500,000.
                                                Project 01-D-124, highly
                                            enriched uranium (HEU) materials
                                            storage facility, Y-12 Plant,
                                            Oak Ridge, Tennessee,
                                            $17,800,000.

    [[Page 114 STAT. 1654A-446]]

                                                Project 01-D-126, weapons
                                            evaluation test laboratory,
                                            Pantex Plant, Amarillo, Texas,
                                            $3,000,000.
                                                Project 99-D-103, isotope
                                            sciences facilities, Lawrence
                                            Livermore National Laboratory,
                                            Livermore, California,
                                            $5,000,000.
                                                Project 99-D-104, protection
                                            of real property (roof
                                            reconstruction, phase II),
                                            Lawrence Livermore National
                                            Laboratory, Livermore,
                                            California, $2,800,000.
                                                Project 99-D-106, model
                                            validation and system
                                            certification center, Sandia
                                            National Laboratories,
                                            Albuquerque, New Mexico,
                                            $5,200,000.
                                                Project 99-D-108, renovate
                                            existing roadways, Nevada Test
                                            Site, Nevada, $2,000,000.
                                                Project 99-D-125, replace
                                            boilers and controls, Kansas
                                            City Plant, Kansas City,
                                            Missouri, $13,000,000.
                                                Project 99-D-127, stockpile
                                            management restructuring
                                            initiative, Kansas City Plant,
                                            Kansas City, Missouri,
                                            $23,765,000.
                                                Project 99-D-128, stockpile
                                            management restructuring
                                            initiative, Pantex Plant,
                                            Amarillo, Texas, $4,998,000.
                                                Project 99-D-132, stockpile
                                            management restructuring
                                            initiative, nuclear material
                                            safeguards and security upgrades
                                            project, Los Alamos National
                                            Laboratory, Los Alamos, New
                                            Mexico, $18,043,000.
                                                Project 98-D-123, stockpile
                                            management restructuring
                                            initiative, tritium facility
                                            modernization and consolidation,
                                            Savannah River Plant, Aiken,
                                            South Carolina, $30,767,000.
                                                Project 97-D-123, structural
                                            upgrades, Kansas City Plant,
                                            Kansas City, Missouri,
                                            $2,918,000.
                                                Project 95-D-102, chemistry
                                            and metallurgy research (CMR)
                                            upgrades project, Los Alamos
                                            National Laboratory, Los Alamos,
                                            New Mexico, $13,337,000.
                                                Project 88-D-123, security
                                            enhancements, Pantex Plant,
                                            Amarillo, Texas, $2,713,000.
                        (B) For secure transportation asset, $115,673,000,
                    to be allocated as follows:
                              (i) For operation and maintenance,
                          $79,357,000.
                              (ii) For program direction, $36,316,000.
                        (C) For program direction, $219,071,000.
                (2) Defense nuclear nonproliferation.--For other nuclear
            security activities, $877,467,000, to be allocated as follows:
                        (A) For nonproliferation and verification research
                    and development, $252,990,000, to be allocated as
                    follows:
                              (i) For operation and maintenance,
                          $245,990,000.
                              (ii) For plant projects (including
                          maintenance, restoration, planning, construction,
                          acquisition, modification of facilities, and the
                          continuation of projects

    [[Page 114 STAT. 1654A-447]]

                          authorized in prior years, and land acquisition
                          related thereto), $7,000,000, to be allocated as
                          follows:
                                        Project 00-D-192, nonproliferation
                                    and international security center
                                    (NISC), Los Alamos National Laboratory,
                                    Los Alamos, New Mexico, $7,000,000.
                        (B) For arms control, $320,560,000, to be allocated
                    as follows:
                              (i) For arms control operations, $285,370,000.
                              (ii) For highly enriched uranium transparency
                          implementation, $15,190,000.
                              (iii) For international nuclear safety,
                          $20,000,000.
                        (C) For fissile materials control and disposition,
                    $252,449,000, to be allocated as follows:
                              (i) For operation and maintenance,
                          $175,517,000.
                              (ii) For plant projects (including
                          maintenance, restoration, planning, construction,
                          acquisition, modification of facilities, and the
                          continuation of projects authorized in prior
                          years, and land acquisition related thereto),
                          $76,932,000, to be allocated as follows:
                                        Project 01-D-407, highly enriched
                                    uranium blend-down, Savannah River Site,
                                    Aiken, South Carolina, $27,932,000.
                                        Project 00-D-142, immobilization and
                                    associated processing facility (Title I
                                    and II design), Savannah River Site,
                                    Aiken, South Carolina, $3,000,000.
                                        Project 99-D-141, pit disassembly
                                    and conversion facility (Title I and II
                                    design), Savannah River Site, Aiken,
                                    South Carolina, $20,000,000.
                                        Project 99-D-143, mixed oxide fuel
                                    fabrication facility (Title I and II
                                    design), Savannah River Site, Aiken,
                                    South Carolina, $26,000,000.
                        (D) For program direction, $51,468,000.
                (3) Naval reactors.--For naval reactors, $694,600,000, to be
            allocated as follows:
                        (A) For naval reactors development, $673,200,000, to
                    be allocated as follows:
                              (i) For operation and maintenance,
                          $644,500,000.
                              (ii) For general plant projects, $11,400,000.
                              (iii) For plant projects (including
                          maintenance, restoration, planning, construction,
                          acquisition, modification of facilities, and the
                          continuation of projects authorized in prior
                          years, and land acquisition related thereto),
                          $17,300,000, to be allocated as follows:
                                        Project 01-D-200, major office
                                    replacement building, Schenectady, New
                                    York, $1,300,000.
                                        Project 90-N-102, expended core
                                    facility dry cell project, Naval
                                    Reactors Facility, Idaho, $16,000,000.
                        (B) For program direction, $21,400,000.
                (4) Office of Administrator for Nuclear Security.--For the
            Office of the Administrator for Nuclear Security, for program
            direction, $10,000,000.

    [[Page 114 STAT. 1654A-448]]

    SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.

        (a) In General.--Subject to subsection (b), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 2001 for environmental restoration and waste management activities
    in carrying out programs necessary for national security in the amount
    of $6,058,009,000, to be allocated as follows:
                (1) Closure projects.--For closure projects carried out in
            accordance with section 3143 of the National Defense
            Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110
            Stat. 2836; 42 U.S.C. 7277n), $1,082,297,000.
                (2) Site/project completion.--For site completion and
            project completion in carrying out environmental management
            activities necessary for national security programs,
            $941,719,000, to be allocated as follows:
                        (A) For operation and maintenance, $900,175,000.
                        (B) For plant projects (including maintenance,
                    restoration, planning, construction, acquisition,
                    modification of facilities, and the continuation of
                    projects authorized in prior years, and land acquisition
                    related thereto), $41,544,000, to be allocated as
                    follows:
                              Project 01-D-402, Intec cathodic protection
                          system expansion, Idaho National Engineering and
                          Environmental Laboratory, Idaho Falls, Idaho,
                          $500,000.
                              Project 99-D-402, tank farm support services,
                          F&H areas, Savannah River Site, Aiken, South
                          Carolina, $7,714,000.
                              Project 99-D-404, health physics
                          instrumentation laboratory, Idaho National
                          Engineering and Environmental Laboratory, Idaho
                          Falls, Idaho, $4,300,000.
                              Project 98-D-453, plutonium stabilization and
                          handling system for plutonium finishing plant,
                          Richland, Washington, $1,690,000.
                              Project 97-D-470, regulatory monitoring and
                          bioassay laboratory, Savannah River Site, Aiken,
                          South Carolina, $3,949,000.
                              Project 96-D-471, chlorofluorocarbon heating,
                          ventilation, and air conditioning and chiller
                          retrofit, Savannah River Site, Aiken, South
                          Carolina, $12,512,000.
                              Project 92-D-140, F&H canyon exhaust upgrades,
                          Savannah River Site, Aiken, South Carolina,
                          $8,879,000.
                              Project 86-D-103, decontamination and waste
                          treatment facility, Lawrence Livermore National
                          Laboratory, Livermore, California, $2,000,000.
                (3) Post-2006 completion.--For post-2006 completion in
            carrying out environmental restoration and waste management
            activities necessary for national security programs,
            $3,432,457,000, to be allocated as follows:
                        (A) For operation and maintenance, $2,691,106,000.
                        (B) For plant projects (including maintenance,
                    restoration, planning, construction, acquisition,
                    modification of facilities, and the continuation of
                    projects authorized in prior years, and land acquisition
                    related thereto), $27,212,000, to be allocated as
                    follows:

    [[Page 114 STAT. 1654A-449]]

                              Project 93-D-187, high-level waste removal
                          from filled waste tanks, Savannah River Site,
                          Aiken, South Carolina, $27,212,000.
                        (C) For the Office of River Protection in carrying
                    out environmental restoration and waste management
                    activities necessary for national security programs,
                    $714,139,000, to be allocated as follows:
                              (i) For operation and maintenance,
                          $309,619,000.
                              (ii) For plant projects (including
                          maintenance, restoration, planning, construction,
                          acquisition, modification of facilities, and the
                          continuation of projects authorized in prior
                          years, and land acquisition related thereto),
                          $404,520,000, to be allocated as follows:
                                        Project 01-D-416, Tank Waste
                                    Remediation System privatization phase
                                    I, Richland, Washington, $332,000,000.
                                        Project 01-D-403, immobilized high-
                                    level waste interim storage facility,
                                    Richland, Washington, $1,300,000.
                                        Project 99-D-403, privatization
                                    phase I infrastructure support,
                                    Richland, Washington, $7,812,000.
                                        Project 97-D-402, tank farm
                                    restoration and safe operations,
                                    Richland, Washington, $46,023,000.
                                        Project 94-D-407, initial tank
                                    retrieval systems, Richland, Washington,
                                    $17,385,000.
                (4) Science and technology development.--For science and
            technology development in carrying out environmental restoration
            and waste management activities necessary for national security
            programs, $246,548,000.
                (5) Program direction.--For program direction in carrying
            out environmental restoration and waste management activities
            necessary for national security programs, $354,988,000.

        (b) Adjustment.--The total amount authorized to be appropriated by
    subsection (a) is the sum of the amounts authorized to be appropriated
    by paragraphs (1) through (5) of that subsection, reduced by
    $84,317,000, to be derived from offsets and use of prior year balances.

    SEC. 3103. OTHER DEFENSE ACTIVITIES.

        (a) In General.--Funds are hereby authorized to be appropriated to
    the Department of Energy for fiscal year 2001 for other defense
    activities in carrying out programs necessary for national security in
    the amount of $543,822,000, to be allocated as follows:
                (1) Intelligence.--For intelligence, $38,059,000, to be
            allocated as follows:
                        (A) For operation and maintenance, $36,059,000.
                        (B) For plant projects (including maintenance,
                    restoration, planning, construction, acquisition,
                    modification of facilities, and the continuation of
                    projects authorized in prior years, and land acquisition
                    related thereto), $2,000,000, to be allocated as
                    follows:
                              Project 01-D-800, Sensitive compartmented
                          information facility, Lawrence Livermore National
                          Laboratory, Livermore, California, $2,000,000.

    [[Page 114 STAT. 1654A-450]]

                (2) Counterintelligence.--For counterintelligence,
            $45,200,000.
                (3) Security and emergency operations.--For security and
            emergency operations, $284,076,000, to be allocated as follows:
                        (A) For nuclear safeguards and security,
                    $124,409,000.
                        (B) For security investigations, $33,000,000.
                        (C) For emergency management, $37,300,000.
                        (D) For program direction, $89,367,000.
                (4) Independent oversight and performance assurance.--For
            independent oversight and performance assurance, $14,937,000.
                (5) Environment, safety, and health.--For the Office of
            Environment, Safety, and Health, $134,050,000, to be allocated
            as follows:
                        (A) For environment, safety, and health (defense),
                    $86,446,000.
                        (B) For the Energy Employees Occupational Illness
                    Compensation initiative, $25,000,000.
                        (C) For program direction, $22,604,000.
                (6) Worker and community transition assistance.--For worker
            and community transition assistance, $24,500,000, to be
            allocated as follows:
                        (A) For worker and community transition,
                    $21,500,000.
                        (B) For program direction, $3,000,000.
                (7) Office of hearings and appeals.--For the Office of
            Hearings and Appeals, $3,000,000.

        (b) Adjustments.--The amount authorized to be appropriated pursuant
    to subsection (a)(3)(B) is reduced by $20,000,000 to reflect an offset
    provided by user organizations for security investigations.

    SEC. 3104. DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION.

        (a) In General.--Funds are hereby authorized to be appropriated to
    the Department of Energy for fiscal year 2001 for privatization
    initiatives in carrying out environmental restoration and waste
    management activities necessary for national security programs in the
    amount of $90,092,000, to be allocated as follows:
                Project 98-PVT-2, spent nuclear fuel dry storage, Idaho
            Falls, Idaho, $25,092,000.
                Project 97-PVT-2, advanced mixed waste treatment project,
            Idaho Falls, Idaho, $65,000,000.

        (b) Explanation of Adjustment.--The amount authorized to be
    appropriated pursuant to subsection (a) is the sum of the amounts
    authorized to be appropriated for the projects in that subsection
    reduced by $90,092,000 for use of prior year balances of funds for
    defense environmental management privatization.

    SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

        Funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 2001 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 $112,000,000.

    [[Page 114 STAT. 1654A-451]]

                    Subtitle B--Recurring General Provisions

    SEC. 3121. REPROGRAMMING.

        (a) In General.--Until the Secretary of Energy submits to the
    congressional defense committees the report referred to in subsection
    (b) and a period of 30 days has elapsed after the date on which such
    committees receive the report, the Secretary may not use amounts
    appropriated pursuant to this title for any program--
                (1) in amounts that exceed, in a fiscal year--
                        (A) 110 percent of the amount authorized for that
                    program by this title; or
                        (B) $1,000,000 more than the amount authorized for
                    that program by this title; or
                (2) which has not been presented to, or requested of,
            Congress.

        (b) Report.--(1) The report referred to in subsection (a) is a
    report containing a full and complete statement of the action proposed
    to be taken and the facts and circumstances relied upon in support of
    the proposed action.
        (2) In the computation of the 30-day period under subsection (a),
    there shall be excluded any day on which either House of Congress is not
    in session because of an adjournment of more than 3 days to a day
    certain.
        (c) Limitations.--(1) In no event may the total amount of funds
    obligated pursuant to this title exceed the total amount authorized to
    be appropriated by this title.
        (2) Funds appropriated pursuant to this title may not be used for an
    item for which Congress has specifically denied funds.

    SEC. 3122. LIMITS ON GENERAL PLANT PROJECTS.

        (a) In General.--The Secretary of Energy may carry out any
    construction project under the general plant projects authorized by this
    title if the total estimated cost of the construction project does not
    exceed $5,000,000.
        (b) Report to Congress.--If, at any time during the construction of
    any general plant project authorized by this title, the estimated cost
    of the project is revised because of unforeseen cost variations and the
    revised cost of the project exceeds $5,000,000, the Secretary shall
    immediately furnish a report to the congressional defense committees
    explaining the reasons for the cost variation.

    SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

        (a) In General.--(1) Except as provided in paragraph (2),
    construction on a construction project may not be started or additional
    obligations incurred in connection with the project above the total
    estimated cost, whenever the current estimated cost of the construction
    project, authorized by 3101, 3102, or 3103, or which is in support of
    national security programs of the Department of Energy and was
    authorized by any previous Act, exceeds by more than 25 percent the
    higher of--
                (A) the amount authorized for the project; or
                (B) the amount of the total estimated cost for the project
            as shown in the most recent budget justification data submitted
            to Congress.

        (2) An action described in paragraph (1) may be taken if--

    [[Page 114 STAT. 1654A-452]]

                (A) the Secretary of Energy has submitted to the
            congressional defense committees a report on the actions and the
            circumstances making such action necessary; and
                (B) a period of 30 days has elapsed after the date on which
            the report is received by the committees.

        (3) In the computation of the 30-day period under paragraph (2),
    there shall be excluded any day on which either House of Congress is not
    in session because of an adjournment of more than 3 days to a day
    certain.
        (b) Exception.--Subsection (a) does not apply to a construction
    project with a current estimated cost of less than $5,000,000.

    SEC. 3124. FUND TRANSFER AUTHORITY.

        (a) Transfer to Other Federal Agencies.--The Secretary of Energy may
    transfer funds authorized to be appropriated to the Department of Energy
    pursuant to this title to other Federal agencies for the performance of
    work for which the funds were authorized. Funds so transferred may be
    merged with and be available for the same purposes and for the same time
    period as the authorizations of the Federal agency to which the amounts
    are transferred.
        (b) Transfer Within Department of Energy.--(1) Subject to paragraph
    (2), the Secretary of Energy may transfer funds authorized to be
    appropriated to the Department of Energy pursuant to this title between
    any such authorizations. Amounts of authorizations so transferred may be
    merged with and be available for the same purposes and for the same
    period as the authorization to which the amounts are transferred.
        (2) Not more than 5 percent of any such authorization may be
    transferred between authorizations under paragraph (1). No such
    authorization may be increased or decreased by more than 5 percent by a
    transfer under such paragraph.
        (c) Limitations.--The authority provided by this section to transfer
    authorizations--
                (1) may be used only to provide funds for items relating to
            activities necessary for national security programs that have a
            higher priority than the items from which the funds are
            transferred; and
                (2) may not be used to provide funds for an item for which
            Congress has specifically denied funds.

        (d) Notice to Congress.--The Secretary of Energy shall promptly
    notify the Committees on Armed Services of the Senate and House of
    Representatives of any transfer of funds to or from authorizations under
    this title.

    SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.

        (a) Requirement of Conceptual Design.--(1) Subject to paragraph (2)
    and except as provided in paragraph (3), before submitting to Congress a
    request for funds for a construction project that is in support of a
    national security program of the Department of Energy, the Secretary of
    Energy shall complete a conceptual design for that project.
        (2) If the estimated cost of completing a conceptual design for a
    construction project exceeds $3,000,000, the Secretary shall submit to
    Congress a request for funds for the conceptual design before submitting
    a request for funds for the construction project.

    [[Page 114 STAT. 1654A-453]]

        (3) The requirement in paragraph (1) does not apply to a request for
    funds--
                (A) for a construction project the total estimated cost of
            which is less than $5,000,000; or
                (B) for emergency planning, design, and construction
            activities under section 3126.

        (b) Authority for Construction Design.--(1) Within the amounts
    authorized by this title, the Secretary of Energy may carry out
    construction design (including architectural and engineering services)
    in connection with any proposed construction project if the total
    estimated cost for such design does not exceed $600,000.
        (2) If the total estimated cost for construction design in
    connection with any construction project exceeds $600,000, funds for
    that design must be specifically authorized by law.

    SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND CONSTRUCTION
                ACTIVITIES.

        (a) Authority.--The Secretary of Energy may use any funds available
    to the Department of Energy pursuant to an authorization in this title,
    including funds authorized to be appropriated for advance planning and
    construction design under sections 3101, 3102, and 3103, to perform
    planning, design, and construction activities for any Department of
    Energy national security program construction project that, as
    determined by the Secretary, must proceed expeditiously in order to
    protect public health and safety, to meet the needs of national defense,
    or to protect property.
        (b) Limitation.--The Secretary may not exercise the authority under
    subsection (a) in the case of any construction project until the
    Secretary has submitted to the congressional defense committees a report
    on the activities that the Secretary intends to carry out under this
    section and the circumstances making those activities necessary.
        (c) Specific Authority.--The requirement of section 3125(b)(2) does
    not apply to emergency planning, design, and construction activities
    conducted under this section.

    SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS OF THE
                DEPARTMENT OF ENERGY.

        Subject to the provisions of appropriation Acts and section 3121,
    amounts appropriated pursuant to this title for management and support
    activities and for general plant projects are available for use, when
    necessary, in connection with all national security programs of the
    Department of Energy.

    SEC. 3128. AVAILABILITY OF FUNDS.

        (a) In General.--Except as provided in subsection (b), when so
    specified in an appropriations Act, amounts appropriated for operation
    and maintenance or for plant projects may remain available until
    expended.
        (b) Exception for Program Direction Funds.--Amounts appropriated for
    program direction pursuant to an authorization of appropriations in
    subtitle A shall remain available to be expended only until the end of
    fiscal year 2002.

    SEC. 3129. TRANSFERS OF DEFENSE ENVIRONMENTAL MANAGEMENT FUNDS.

        (a) Transfer Authority for Defense Environmental Management Funds.--
    The Secretary of Energy shall provide the

    [[Page 114 STAT. 1654A-454]]

    manager of each field office of the Department of Energy with the
    authority to transfer defense environmental management funds from a
    program or project under the jurisdiction of the office to another such
    program or project.
        (b) Limitations.--(1) Only one transfer may be made to or from any
    program or project under subsection (a) in a fiscal year.
        (2) The amount transferred to or from a program or project under
    subsection (a) may not exceed $5,000,000 in a fiscal year.
        (3) A transfer may not be carried out by a manager of a field office
    under subsection (a) unless the manager determines that the transfer is
    necessary to address a risk to health, safety, or the environment or to
    assure the most efficient use of defense environmental management funds
    at the field office.
        (4) Funds transferred pursuant to subsection (a) may not be used for
    an item for which Congress has specifically denied funds or for a new
    program or project that has not been authorized by Congress.
        (c) Exemption From Reprogramming Requirements.--The requirements of
    section 3121 shall not apply to transfers of funds pursuant to
    subsection (a).
        (d) Notification.--The Secretary, acting through the Assistant
    Secretary of Energy for Environmental Management, shall notify Congress
    of any transfer of funds pursuant to subsection (a) not later than 30
    days after such transfer occurs.
        (e) Definitions.--In this section:
                (1) The term ``program or project'' means, with respect to a
            field office of the Department of Energy, any of the following:
                        (A) A program referred to or a project listed in
                    paragraph (2) or (3) of section 3102.
                        (B) A program or project not described in
                    subparagraph (A) that is for environmental restoration
                    or waste management activities necessary for national
                    security programs of the Department, that is being
                    carried out by the office, and for which defense
                    environmental management funds have been authorized and
                    appropriated before the date of the enactment of this
                    Act.
                (2) The term ``defense environmental management funds''
            means funds appropriated to the Department of Energy pursuant to
            an authorization for carrying out environmental restoration and
            waste management activities necessary for national security
            programs.

        (f ) Duration of Authority.--The managers of the field offices of
    the Department may exercise the authority provided under subsection (a)
    during the period beginning on October 1, 2000, and ending on September
    30, 2001.

        Subtitle C--Program Authorizations, Restrictions, and Limitations

    SEC. 3131. FUNDING FOR TERMINATION COSTS OF RIVER PROTECTION PROJECT,
                RICHLAND, WASHINGTON.

        The Secretary of Energy may not use appropriated funds to establish
    a reserve for the payment of any costs of termination of any contract
    relating to the River Protection Project, Richland, Washington (as
    designated by section 3141), that is terminated

    [[Page 114 STAT. 1654A-455]]

    after the date of the enactment of this Act. Such costs may be paid
    from--
                (1) appropriations originally available for the performance
            of the contract concerned;
                (2) appropriations currently available for privatization
            initiatives in carrying out environmental restoration and waste
            management activities necessary for national security programs,
            and not otherwise obligated; or
                (3) funds appropriated specifically for the payment of such
            costs.

    SEC. 3132. ENHANCED COOPERATION BETWEEN NATIONAL NUCLEAR SECURITY
                ADMINISTRATION AND BALLISTIC MISSILE DEFENSE ORGANIZATION.

        (a) Jointly Funded Projects.--The Secretary of Energy and the
    Secretary of Defense shall modify the memorandum of understanding for
    the use of the national laboratories for ballistic missile defense
    programs, entered into under section 3131 of the National Defense
    Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat.
    2034; 10 U.S.C. 2431 note), to provide for jointly funded projects.
        (b) Requirements for Projects.--The projects referred to in
    subsection (a) shall--
                (1) be carried out by the National Nuclear Security
            Administration and the Ballistic Missile Defense Organization;
            and
                (2) contribute to sustaining--
                        (A) the expertise necessary for the viability of
                    such laboratories; and
                        (B) the capabilities required to sustain the nuclear
                    stockpile.

        (c) Participation by NNSA in Certain BMDO Activities.--The
    Administrator for Nuclear Security and the Director of the Ballistic
    Missile Defense Organization shall implement mechanisms that increase
    the cooperative relationship between those organizations. Those
    mechanisms may include participation by personnel of the National
    Nuclear Security Administration in the following activities of the
    Ballistic Missile Defense Organization:
                (1) Peer reviews of technical efforts.
                (2) Activities of so-called ``red teams''.

    SEC. 3133. REPROGRAMMING OF FUNDS AVAILABLE FOR INFRASTRUCTURE UPGRADES
                OR MAINTENANCE IN CERTAIN ACCOUNTS OF THE NATIONAL NUCLEAR
                SECURITY ADMINISTRATION.

        (a) Limitation.--(1) Except as provided in paragraph (2), the
    Secretary of Energy may not use amounts appropriated or otherwise made
    available to the Secretary for fiscal year 2001 for the purpose of
    infrastructure upgrades or maintenance in an account specified in
    subsection (b) for any other purpose.
        (2) Paragraph (1) does not apply to a particular amount for the
    purpose of a particular infrastructure upgrade or maintenance project if
    the Secretary--
                (A) determines that that project is not needed by reason of
            a change to, or cancellation of, a program for which that
            project was intended to be used; and
                (B) submits to the congressional defense committees the
            report referred to in subsection (c) and a period of 45 days

    [[Page 114 STAT. 1654A-456]]

            elapses after the date on which such committees receive such
            report.

        (b) Covered Accounts.--An account referred to in subsection (a) is
    any Construction account or Readiness in Technical Base and Facilities
    account within any National Nuclear Security Administration budget
    account.
        (c) Report.--(1) The report referred to in subsection (a)(2)(B) is a
    report containing a full and complete statement of--
                (A) the determination of the Secretary under subsection
            (a)(2)(A); and
                (B) the action proposed to be taken with the particular
            amount concerned and the facts and circumstances relied upon in
            support of such proposed action.

        (2) In the computation of the 45-day period under subsection
    (a)(2)(B), there shall be excluded any day on which either House of
    Congress is not in session because of an adjournment of more than three
    days to a day certain.
        (d) Coordination With General Reprogramming Report.--If the
    Secretary, in accordance with this section, submits a report referred to
    in subsection (c) for the use of a particular amount, that report shall
    be treated, for purposes of section 3121, as the report referred to in
    subsection (b) of that section for that use of that amount.

    SEC. 3134. ADJUSTMENT OF COMPOSITE THEORETICAL PERFORMANCE LEVELS FOR
                POST-SHIPMENT VERIFICATION REPORTS ON ADVANCED SUPERCOMPUTER
                SALES TO CERTAIN FOREIGN NATIONS.

        Section 3157 of the National Defense Authorization Act for Fiscal
    Year 1998 (50 U.S.C. App. 2404 note) is amended by adding at the end the
    following new subsection:
        ``(e) Adjustment of Performance Levels.--Whenever a new composite
    theoretical performance level is established under section 1211(d), that
    level shall apply for the purposes of subsection (a) of this section in
    lieu of the level set forth in subsection (a).''.

    SEC. 3135. MODIFICATION OF COUNTERINTELLIGENCE POLYGRAPH PROGRAM.

        (a) Covered Persons.--Subsection (b) of section 3154 of the
    Department of Energy Facilities Safeguards, Security, and
    Counterintelligence Enhancement Act of 1999 (subtitle D of title XXXI of
    Public Law 106-65; 113 Stat. 941; 42 U.S.C. 7383h) is amended to read as
    follows:
        ``(b) Covered Persons.--(1) Subject to paragraph (2), for purposes
    of this section, a covered person is one of the following:
                ``(A) An officer or employee of the Department.
                ``(B) An expert or consultant under contract to the
            Department.
                ``(C) An officer or employee of a contractor of the
            Department.
                ``(D) An individual assigned or detailed to the Department.
                ``(E) An applicant for a position in the Department.

        ``(2) A person described in paragraph (1) is a covered person for
    purposes of this section only if the position of the person, or for
    which the person is applying, under that paragraph is a position in one
    of the categories of positions listed in section 709.4(a) of title 10,
    Code of Federal Regulations.''.

    [[Page 114 STAT. 1654A-457]]

        (b) High-Risk Programs.--Subsection (c) of that section is amended
    to read as follows:
        ``(c) High-Risk Programs.--For purposes of this section, high-risk
    programs are the following:
                ``(1) Programs using information known as Sensitive
            Compartmented Information.
                ``(2) The programs known as Special Access Programs and
            Personnel Security and Assurance Programs.
                ``(3) Any other program or position category specified in
            section 709.4(a) of title 10, Code of Federal Regulations.''.

        (c) Authority To Waive Examination Requirement.--Subsection (d) of
    that section is amended--
                (1) by inserting ``(1)'' before ``The Secretary''; and
                (2) by adding at the end the following new paragraphs:

        ``(2) Subject to paragraph (3), the Secretary may, after
    consultation with appropriate security personnel, waive the
    applicability of paragraph (1) to a covered person--
                ``(A) if--
                        ``(i) the Secretary determines that the waiver is
                    important to the national security interests of the
                    United States;
                        ``(ii) the covered person has an active security
                    clearance; and
                        ``(iii) the covered person acknowledges in a signed
                    writing that the capacity of the covered person to
                    perform duties under a high-risk program after the
                    expiration of the waiver is conditional upon meeting the
                    requirements of paragraph (1) within the effective
                    period of the waiver;
                ``(B) if another Federal agency certifies to the Secretary
            that the covered person has completed successfully a full-scope
            or counterintelligence-scope polygraph examination during the 5-
            year period ending on the date of the certification; or
                ``(C) if the Secretary determines, after consultation with
            the covered person and appropriate medical personnel, that the
            treatment of a medical or psychological condition of the covered
            person should preclude the administration of the examination.

        ``(3)(A) The Secretary may not commence the exercise of the
    authority under paragraph (2) to waive the applicability of paragraph
    (1) to any covered persons until 15 days after the date on which the
    Secretary submits to the appropriate committees of Congress a report
    setting forth the criteria to be used by the Secretary for determining
    when a waiver under paragraph (2)(A) is important to the national
    security interests of the United States. The criteria shall not include
    the need to maintain the scientific vitality of the laboratory. The
    criteria shall include an assessment of counterintelligence risks and
    programmatic impacts.
        ``(B) Any waiver under paragraph (2)(A) shall be effective for not
    more than 120 days, and a person who is subject to a waiver under
    paragraph (2)(A) may not ever be subject to another waiver under
    paragraph (2)(A).
        ``(C) Any waiver under paragraph (2)(C) shall be effective for the
    duration of the treatment on which such waiver is based.
        ``(4) The Secretary shall submit to the appropriate committees of
    Congress on a semi-annual basis a report on any determinations made
    under paragraph (2)(A) during the 6-month period ending on the date of
    such report. The report shall include a national

    [[Page 114 STAT. 1654A-458]]

    security justification for each waiver resulting from such
    determinations.
        ``(5) In this subsection, the term `appropriate committees of
    Congress' means the following:
                ``(A) The Committee on Armed Services and the Select
            Committee on Intelligence of the Senate.
                ``(B) The Committee on Armed Services and the Permanent
            Select Committee on Intelligence of the House of
            Representatives.

        ``(6) It is the sense of Congress that the waiver authority in
    paragraph (2) not be used by the Secretary to exempt from the
    applicability of paragraph (1) any covered persons in the highest risk
    categories, such as persons who have access to the most sensitive
    weapons design information and other highly sensitive programs,
    including special access programs.
        ``(7) The authority under paragraph (2) to waive the applicability
    of paragraph (1) to a covered person shall expire on September 30,
    2002.''.
        (d) Scope of Counterintelligence Polygraph Examination.--Subsection
    (f ) of that section is amended--
                (1) by inserting ``terrorism,'' after ``sabotage,''; and
                (2) by inserting ``deliberate damage to or malicious misuse
            of a United States Government information or defense system,''
            before ``and''.

    SEC. 3136. EMPLOYEE INCENTIVES FOR EMPLOYEES AT CLOSURE PROJECT
                FACILITIES.

        (a) Authority to Provide Incentives.--Notwithstanding any other
    provision of law, the Secretary of Energy may provide to any eligible
    employee of the Department of Energy one or more of the incentives
    described in subsection (d).
        (b) Eligible Employees.--An individual is an eligible employee of
    the Department of Energy for purposes of this section if the
    individual--
                (1) has worked continuously at a closure facility for at
            least two years;
                (2) is an employee (as that term is defined in section
            2105(a) of title 5, United States Code);
                (3) has a fully satisfactory or equivalent performance
            rating during the most recent performance period and is not
            subject to an adverse notice regarding conduct; and
                (4) meets any other requirement or condition under
            subsection (d) for the incentive which is provided the employee
            under this section.

        (c) Closure Facility Defined.--For purposes of this section, the
    term ``closure facility'' means a Department of Energy facility at which
    the Secretary is carrying out a closure project selected under section
    3143 of the National Defense Authorization Act for Fiscal Year 1997 (42
    U.S.C. 7274n).
        (d) Incentives.--The incentives that the Secretary may provide under
    this section are the following:
                (1) The right to accumulate annual leave provided by section
            6303 of title 5, United States Code, for use in succeeding years
            until it totals not more than 90 days, or not more than 720
            hours based on a standard work week, at the beginning of the
            first full biweekly pay period, or corresponding period

    [[Page 114 STAT. 1654A-459]]

            for an employee who is not paid on the basis of biweekly pay
            periods, occurring in a year, except that--
                        (A) any annual leave that remains unused when an
                    employee transfers to a position in a department or
                    agency of the Federal Government shall be liquidated
                    upon the transfer by payment to the employee of a lump
                    sum for leave in excess of 30 days, or in excess of 240
                    hours based on a standard work week; and
                        (B) upon separation from service, annual leave
                    accumulated under this paragraph shall be treated as any
                    other accumulated annual leave is treated.
                (2) The right to be paid a retention allowance in a lump sum
            in compliance with paragraphs (1) and (2) of section 5754(b) of
            title 5, United States Code, if the employee meets the
            requirements of section 5754(a) of that title, except that the
            retention allowance may exceed 25 percent, but may not be more
            than 30 percent, of the employee's rate of basic pay.

        (e) Agreement.--An eligible employee of the Department of Energy
    provided an incentive under this section shall enter into an agreement
    with the Secretary to remain employed at the closure facility at which
    the employee is employed as of the date of the agreement until a
    specific date or for a specific period of time.
        (f ) Violation of Agreement.--(1) Except as provided under paragraph
    (3), an eligible employee of the Department of Energy who violates an
    agreement under subsection (e), or is dismissed for cause, shall forfeit
    eligibility for any incentives under this section as of the date of the
    violation or dismissal, as the case may be.
        (2) Except as provided under paragraph (3), an eligible employee of
    the Department of Energy who is paid a retention allowance under
    subsection (d)(2) and who violates an agreement under subsection (e), or
    is dismissed for cause, before the end of the period or date of
    employment agreed upon under such agreement shall refund to the United
    States an amount that bears the same ratio to the aggregate amount so
    paid to or received by the employee as the unserved part of such
    employment bears to the total period of employment agreed upon under
    such agreement.
        (3) The Secretary may waive the applicability of paragraph (1) or
    (2) to an employee otherwise covered by such paragraph if the Secretary
    determines that there is good and sufficient reason for the waiver.
        (g) Report.--The Secretary shall include in each report on a closure
    project under section 3143(h) of the National Defense Authorization Act
    for Fiscal Year 1997 a report on the incentives, if any, provided under
    this section with respect to the project for the period covered by such
    report.
        (h) Authority With Respect to Health Coverage.--Section
    8905a(d)(5)(A) of title 5, United States Code (as added by section 1106
    of the Veterans Millennium Health Care and Benefits Act (Public Law 106-
    117; 113 Stat. 1598)), is amended by inserting after ``readjustment''
    the following: ``, or a voluntary or involuntary separation from a
    Department of Energy position at a Department of Energy facility at
    which the Secretary is carrying out a closure project selected under
    section 3143 of the National Defense Authorization Act for Fiscal Year
    1997 (42 U.S.C. 7274n)''.
        (i) Authority With Respect to Voluntary Separations.--(1) The
    Secretary may--

    [[Page 114 STAT. 1654A-460]]

                (A) separate from service any employee at a Department of
            Energy facility at which the Secretary is carrying out a closure
            project selected under section 3143 of the National Defense
            Authorization Act for Fiscal Year 1997 (42 U.S.C. 7274n) who
            volunteers to be separated under this subparagraph even though
            the employee is not otherwise subject to separation due to a
            reduction in force; and
                (B) for each employee voluntarily separated under
            subparagraph (A), retain an employee in a similar position who
            would otherwise be separated due to a reduction in force.

        (2) The separation of an employee under paragraph (1)(A) shall be
    treated as an involuntary separation due to a reduction in force.
        (3) An employee with critical knowledge and skills (as defined by
    the Secretary) may not participate in a voluntary separation under
    paragraph (1)(A) if the Secretary determines that such participation
    would impair the performance of the mission of the Department of Energy.
        ( j) Termination.--The authority to provide incentives under this
    section terminates on March 31, 2007.

    SEC. 3137. CONTINUATION OF PROCESSING, TREATMENT, AND DISPOSITION OF
                LEGACY NUCLEAR MATERIALS.

        (a) Continuation.--The Secretary of Energy shall continue operations
    and maintain a high state of readiness at the F-canyon and H-canyon
    facilities at the Savannah River Site, Aiken, South Carolina, and shall
    provide technical staff necessary to operate and so maintain such
    facilities.
        (b) Limitation on Use of Funds for Decommissioning of F-Canyon
    Facility.--No amounts authorized to be appropriated or otherwise made
    available for the Department of Energy by this or any other Act may be
    obligated or expended for purposes of commencing the decommissioning of
    the F-canyon facility at the Savannah River Site until the Secretary and
    the Defense Nuclear Facilities Safety Board jointly submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives the following:
                (1) A certification that all materials present in the F-
            canyon facility as of the date of the certification are safely
            stabilized.
                (2) A certification whether or not the requirements
            applicable to the F-canyon facility to meet the future needs of
            the United States for fissile materials disposition can be met
            through full use of the H-canyon facility at the Savannah River
            Site.
                (3) If the certification required by paragraph (2) is that
            such requirements cannot be met through such use of the H-canyon
            facility--
                        (A) an identification by the Secretary of each such
                    requirement that cannot be met through such use of the
                    H-canyon facility; and
                        (B) for each requirement identified in subparagraph
                    (A), the reasons why that requirement cannot be met
                    through such use of the H-canyon facility and a
                    description of the alternative capability for fissile
                    materials disposition that is needed to meet that
                    requirement.

    [[Page 114 STAT. 1654A-461]]

        (c) Plan for Transfer of Long-Term Chemical Separation Activities.--
    Not later than February 15, 2001, 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 plan for the transfer of all
    long-term chemical separation activities at the Savannah River Site from
    the F-canyon facility to the H-canyon facility commencing in fiscal year
    2002.

    SEC. 3138. CONTINGENT LIMITATION ON USE OF CERTAIN FUNDS PENDING
                CERTIFICATIONS OF COMPLIANCE WITH FORMERLY UTILIZED SITES
                REMEDIAL ACTION PROGRAM FUNDING PROHIBITION.

        (a) Contingent Limitation on Availability of Funds for Certain
    Travel Expenses.--Effective November 1, 2001, but subject to subsection
    (b), no funds authorized to be appropriated or otherwise made available
    by this or any other Act for the Department of Energy or the Department
    of the Army may be obligated or expended for travel by--
                (1) the Secretary of Energy or any officer or employee of
            the Office of the Secretary of Energy; or
                (2) the Chief of Engineers.

        (b) Effective Date.--The limitation in subsection (a) shall not take
    effect if before November 1, 2001, both of the following certifications
    are submitted to the congressional defense committees:
                (1) A certification by the Secretary of Energy that the
            Department of Energy is in compliance with the requirements of
            section 3131 of the National Defense Authorization Act for
            Fiscal Year 2000 (Public Law 106-65; 113 Stat. 925; 10 U.S.C.
            2701 note).
                (2) A certification by the Chief of Engineers that the Corps
            of Engineers is in compliance with the requirements of that
            section.

        (c) Termination.--If the limitation in subsection (a) takes effect,
    the limitation shall cease to be in effect when both certifications
    referred to in subsection (b) have been submitted to the congressional
    defense committees.

    SEC. 3139. CONCEPTUAL DESIGN FOR SUBSURFACE GEOSCIENCES LABORATORY AT
                IDAHO NATIONAL ENGINEERING AND ENVIRONMENTAL LABORATORY,
                IDAHO FALLS, IDAHO.

        (a) Authorization.--Of the amounts authorized to be appropriated by
    paragraphs (2) and (3) of section 3102(a), not more than $400,000 may be
    available to the Secretary of Energy for purposes of carrying out a
    conceptual design for a Subsurface Geosciences Laboratory at Idaho
    National Engineering and Environmental Laboratory, Idaho Falls, Idaho.
        (b) Limitation.--None of the funds authorized to be appropriated by
    subsection (a) may be obligated until 60 days after the date on which
    the Secretary submits the report required by subsection (c).
        (c) Report.--The Secretary of Energy shall submit to the
    congressional defense committees a report on the proposed Subsurface
    Geosciences Laboratory. The report shall include the following:
                (1) Whether there is a need to conduct mesoscale experiments
            to meet long-term clean-up requirements at Department of Energy
            sites.

    [[Page 114 STAT. 1654A-462]]

                (2) The possibility of using or modifying an existing
            structure or facility to house a new capability for conducting
            mesoscale experiments.
                (3) The estimated construction cost of the facility.
                (4) The estimated annual operating cost of the facility.
                (5) How the facility will use, integrate, and support the
            technical expertise, capabilities, and requirements at other
            Department of Energy and non-Department of Energy facilities.
                (6) An analysis of costs, savings, and benefits which are
            unique to the Idaho National Engineering and Environmental
            Laboratory.

    SEC. 3140. REPORT ON NATIONAL IGNITION FACILITY, LAWRENCE LIVERMORE
                NATIONAL LABORATORY, LIVERMORE, CALIFORNIA.

        (a) New Baseline.--(1) Not more than 50 percent of the funds
    available for the national ignition facility (Project 96-D-111) may be
    obligated or expended until the Administrator for Nuclear Security
    submits to the Committees on Armed Services of the Senate and House of
    Representatives a report setting forth a new baseline plan for the
    completion of the national ignition facility.
        (2) The report shall include--
                (A) the funding required for completion of the facility, set
            forth in detail, year by year; and
                (B) projected dates for the completion of program
            milestones, including the date on which the first laser beams
            are expected to become operational.

        (b) Comptroller General Review of NIF Program.--(1) The Comptroller
    General shall conduct a thorough review of the national ignition
    facility program.
        (2) Not later than March 31, 2001, the Comptroller General shall
    submit to the Committees on Armed Services of the Senate and House of
    Representatives a report on the review conducted under paragraph (1).
    The report shall include the following:
                (A) An analysis of--
                        (i) the role of the national ignition facility in
                    ensuring the safety and reliability of the nuclear
                    stockpile of the United States;
                        (ii) the relationship of the national ignition
                    facility program to other significant programs to
                    sustain the nuclear stockpile of the United States; and
                        (iii) the potential effect of delays in the national
                    ignition facility program, and of a failure to complete
                    significant program objectives of the program, on the
                    other significant programs to sustain the nuclear
                    stockpile of the United States, such as the Accelerated
                    Strategic Computing Initiative Program.
                (B) A detailed description and analysis of the funds spent
            as of the date of the report on the national ignition facility
            program.
                (C) An assessment whether the new baseline plan for the
            national ignition facility program submitted under subsection
            (a) includes clear goals for that program, adequate and
            sustainable funding, and achievable milestones for that program.

    SEC. 3141. RIVER PROTECTION PROJECT, RICHLAND, WASHINGTON.

        (a) Redesignation of Project.--The tank waste remediation system
    environmental project, Richland, Washington, including all

    [[Page 114 STAT. 1654A-463]]

    programs relating to the retrieval and treatment of tank waste at the
    site at Hanford, Washington, under the management of the Office of River
    Protection, shall be known and designated as the ``River Protection
    Project''. Any reference to that project in any law, regulation, map,
    document, record, or other paper of the United States shall be
    considered to be a reference to the River Protection Project.
        (b) Management and Responsibility of Office of River Protection.--
    Subsection (b) of section 3139 of the Strom Thurmond National Defense
    Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat.
    2250) is amended--
                (1) in paragraph (2), by striking ``managing all aspects of
            the'' and all that follows through the period and inserting
            ``managing, consistent with the policy direction established by
            the Department, all aspects of the River Protection Project,
            Richland, Washington.''; and
                (2) by adding at the end the following new paragraph:

        ``(3)(A) The Assistant Secretary of Energy for Environmental
    Management shall delegate in writing responsibility for the management
    of the River Protection Project, Richland, Washington, to the head of
    the Office.
        ``(B) Such delegation shall include, at a minimum, authorities for
    contracting, financial management, safety, and general program
    management that are equivalent to the authorities of managers of other
    operations offices of the Department of Energy.
        ``(C) The head of the Office shall, to the maximum extent possible,
    coordinate all activities of the Office with the manager of the Richland
    Operations Office of the Department of Energy.''.
        (c) Department Responsibilities.--Subsection (c) of such section is
    amended--
                (1) by striking ``manager'' and inserting ``head''; and
                (2) by striking ``to manage'' and all that follows through
            the period and inserting ``to carry out the responsibilities
            specified in subsection (b)(2).''.

        (d) Reporting to Congress.--Subsection (d) of such section is
    amended to read as follows:
        ``(d) Report.--The Assistant Secretary of Energy for Environmental
    Management shall submit to the Committee on Armed Services of the Senate
    and the Committee on Armed Services of the House of Representatives, not
    later than 30 days after the date of the enactment of the Floyd D.
    Spence National Defense Authorization Act for Fiscal Year 2001, a copy
    of the delegation of authority required by subsection (b)(3).''.

    SEC. 3142. REPORT ON TANK WASTE REMEDIATION SYSTEM, HANFORD RESERVATION,
                RICHLAND, WASHINGTON.

        Not later than December 15, 2000, the Secretary of Energy shall
    submit to Congress a report on the Tank Waste Remediation System
    project, Hanford Reservation, Richland, Washington. The report shall
    include the following:
                (1) A proposed plan for processing and stabilizing all
            nuclear waste located in the Hanford Tank Farm.
                (2) A proposed schedule for carrying out that proposed plan.
                (3) The total estimated cost of carrying out that proposed
            plan.

    [[Page 114 STAT. 1654A-464]]

                (4) A description of any alternative options to that
            proposed plan and a description of the costs and benefits of
            each such option.
                (5) A description of the volumes and characteristics of any
            wastes or materials that are not to be treated during phase 1(B)
            of the project.
                (6) A plan for developing, demonstrating, and implementing
            advanced vitrification system technologies that can be used to
            treat and stabilize any out-of-specification wastes or materials
            (such as polychlorinated biphenyls) that cannot be treated and
            stabilized with the technologies that are to be used during
            phase 1(B) of the project.

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

    SEC. 3151. TERM OF OFFICE OF PERSON FIRST APPOINTED AS UNDER SECRETARY
                FOR NUCLEAR SECURITY OF THE DEPARTMENT OF ENERGY.

        (a) Length of Term.--The term of office as Under Secretary for
    Nuclear Security of the Department of Energy of the person first
    appointed to that position shall be three years.
        (b) Exclusive Reasons for Removal.--The exclusive reasons for
    removal from office as Under Secretary for Nuclear Security of the
    person described in subsection (a) shall be inefficiency, neglect of
    duty, or malfeasance in office.
        (c) Position Described.--The position of Under Secretary for Nuclear
    Security of the Department of Energy referred to in this section is the
    position established by subsection (c) of section 202 of the Department
    of Energy Organization Act (42 U.S.C. 7132), as added by section 3202 of
    the National Nuclear Security Administration Act (title XXXII of Public
    Law 106-65; 113 Stat. 954).

    SEC. 3152. MEMBERSHIP OF UNDER SECRETARY FOR NUCLEAR SECURITY ON THE
                JOINT NUCLEAR WEAPONS COUNCIL.

        (a) Membership.--Section 179 of title 10, United States Code, is
    amended--
                (1) in subsection (a), by striking paragraph (3) and
            inserting the following new paragraph (3):
                ``(3) The Under Secretary for Nuclear Security of the
            Department of Energy.''; and
                (2) in subsection (b)(2), by striking ``the representative
            designated under subsection (a)(3)'' and inserting ``the Under
            Secretary for Nuclear Security of the Department of Energy''.

        (b) Conforming Amendment.--Section 3212 of the National Nuclear
    Security Administration Act (title XXXII of Public Law 106-65; 113 Stat.
    957; 50 U.S.C. 2402) is amended by adding at the end the following new
    subsection:
        ``(e) Membership on Joint Nuclear Weapons Council.--The
    Administrator serves as a member of the Joint Nuclear Weapons Council
    under section 179 of title 10, United States Code.''.

    [[Page 114 STAT. 1654A-465]]

    SEC. 3153. ORGANIZATION PLAN FOR FIELD OFFICES OF THE NATIONAL NUCLEAR
                SECURITY ADMINISTRATION.

        (a) Plan Required.--Not later than May 1, 2001, the Administrator
    for Nuclear Security shall submit to the Committee on Armed Services of
    the Senate and the Committee on Armed Services of the House of
    Representatives a plan for assigning roles and responsibilities to and
    among the headquarters and field organizational units of the National
    Nuclear Security Administration.
        (b) Plan Elements.--The plan shall include the following:
                (1) A general description of the organizational structure of
            the administrative functions of the National Nuclear Security
            Administration under the plan, including the authorities and
            responsibilities to be vested in the units of the headquarters,
            operations offices, and area offices of the Administration.
                (2) A description of any downsizing, elimination, or
            consolidation of units of the headquarters, operations offices,
            and area offices of the Administration that may be necessary to
            enhance the efficiency of the Administration.
                (3) A description of the modifications of staffing levels of
            the headquarters, operations offices, and area offices of the
            Administration, including any reductions in force, employment of
            additional personnel, or realignments of personnel, that are
            necessary to implement the plan.
                (4) A schedule for the implementation of the plan.

        (c) Included Facilities.--The plan shall address any administrative
    units in the National Nuclear Security Administration, including units
    in and under the following:
                (1) The Department of Energy Headquarters, Washington,
            District of Columbia, metropolitan area.
                (2) The Albuquerque Operations Office, Albuquerque, New
            Mexico.
                (3) The Nevada Operations Office, Las Vegas, Nevada.
                (4) The Oak Ridge Operations Office, Oak Ridge, Tennessee.
                (5) The Oakland Operations Office, Oakland, California.
                (6) The Savannah River Operations Office, Aiken, South
            Carolina.
                (7) The Los Alamos Area Office, Los Alamos, New Mexico.
                (8) The Kirtland Area Office, Albuquerque, New Mexico.
                (9) The Amarillo Area Office, Amarillo, Texas.
                (10) The Kansas City Area Office, Kansas City, Missouri.

    SEC. 3154. REQUIRED CONTENTS OF FUTURE-YEARS NUCLEAR SECURITY PROGRAM.

        (a) Contents Required.--Subsection (b) of section 3253 of the
    National Nuclear Security Administration Act (title XXXII of Public Law
    106-65; 113 Stat. 966; 50 U.S.C. 2453) is amended--
                (1) by striking paragraph (1);
                (2) by redesignating paragraph (2) as paragraph (4); and
                (3) by inserting before paragraph (4) (as redesignated by
            paragraph (2)) the following new paragraphs:
                ``(1) A detailed description of the program elements (and
            the projects, activities, and construction projects associated
            with each such program element) during the applicable five-
            fiscal year period for at least each of the following:
                        ``(A) For defense programs--
                              ``(i) directed stockpile work;

    [[Page 114 STAT. 1654A-466]]

                              ``(ii) campaigns;
                              ``(iii) readiness in technical base and
                          facilities; and
                              ``(iv) secure transportation asset.
                        ``(B) For defense nuclear nonproliferation--
                              ``(i) nonproliferation and verification,
                          research, and development;
                              ``(ii) arms control; and
                              ``(iii) fissile materials disposition.
                        ``(C) For naval reactors, naval reactors operations
                    and maintenance.
                ``(2) A statement of proposed budget authority, estimated
            expenditures, and proposed appropriations necessary to support
            each program element specified pursuant to paragraph (1).
                ``(3) 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 the nuclear
            weapons stockpile is safe and reliable, as determined in
            accordance with the criteria established under section 3158 of
            the Strom Thurmond National Defense Authorization Act for Fiscal
            Year 1999 (42 U.S.C. 2121 note).''.

        (b) Conforming Amendments.--Such section is further amended--
                (1) by striking subsection (c);
                (2) by redesignating subsections (d) and (e) as subsections
            (c) and (d), respectively; and
                (3) in subsection (d), as so redesignated, by striking
            ``subsection (d)'' and inserting ``subsection (c)''.

    SEC. 3155. FUTURE-YEARS NUCLEAR SECURITY PROGRAM FOR FISCAL YEAR 2001.

        (a) Program Required.--(1) Without regard to any future-years
    nuclear security program submitted before the date of the enactment of
    this Act, the Administrator for Nuclear Security shall submit to the
    congressional defense committees a future-years nuclear security program
    (including associated annexes) for fiscal year 2001 and the five
    succeeding fiscal years.
        (2) The program shall reflect the estimated expenditures and
    proposed appropriations included in the budget for fiscal year 2001 that
    was submitted to Congress under section 1105(a) of title 31, United
    States Code.
        (b) Program Detail.--The level of detail of the program submitted
    under subsection (a) shall be equivalent to the level of detail in the
    Project Baseline Summary system of the Department of Energy, if
    practicable, but in no event below the following:
                (1) In the case of directed stockpile work, detail as
            follows:
                        (A) Stockpile research and development.
                        (B) Stockpile maintenance.
                        (C) Stockpile evaluation.
                        (D) Dismantlement and disposal.
                        (E) Production support.
                        (F) Field engineering, training, and manuals.
                (2) In the case of campaigns, detail as follows:
                        (A) Primary certification.
                        (B) Dynamic materials properties.
                        (C) Advanced radiography.

    [[Page 114 STAT. 1654A-467]]

                        (D) Secondary certification and nuclear system
                    margins.
                        (E) Enhanced surety.
                        (F) Weapons system engineering certification.
                        (G) Certification in hostile environments.
                        (H) Enhanced surveillance.
                        (I) Advanced design and production technologies.
                        (J) Inertial confinement fusion (ICF) ignition and
                    high yield.
                        (K) Defense computing and modeling.
                        (L) Pit manufacturing readiness.
                        (M) Secondary readiness.
                        (N) High explosive readiness.
                        (O) Nonnuclear readiness.
                        (P) Materials readiness.
                        (Q) Tritium readiness.
                (3) In the case of readiness in technical base and
            facilities, detail as follows:
                        (A) Operation of facilities.
                        (B) Program readiness.
                        (C) Special projects.
                        (D) Materials recycle and recovery.
                        (E) Containers.
                        (F) Storage.
                (4) In the case of secure transportation assets, detail as
            follows:
                        (A) Operation and maintenance.
                        (B) Program direction relating to transportation.
                (5) Program direction.
                (6) Construction (listed by project number).
                (7) In the case of safeguards and security, detail as
            follows:
                        (A) Operation and maintenance.
                        (B) Construction.

        (c) Deadline for Submittal.--The future-years nuclear security
    program required by subsection (a) shall be submitted not later than
    November 1, 2000.
        (d) Limitation on Use of Funds Pending Submittal.--Not more than 65
    percent of the funds appropriated pursuant to the authorization of
    appropriations in section 3101(a)(1)(C) or otherwise made available to
    the Department of Energy for fiscal year 2001 for program direction in
    carrying out weapons activities may be obligated or expended until 45
    days after the date on which the Administrator for Nuclear Security
    submits to the congressional defense committees the program required by
    subsection (a).

    SEC. 3156. ENGINEERING AND MANUFACTURING RESEARCH, DEVELOPMENT, AND
                DEMONSTRATION BY PLANT MANAGERS OF CERTAIN NUCLEAR WEAPONS
                PRODUCTION PLANTS.

        (a) Authority for Programs at Nuclear Weapons Productions
    Facilities.--The Administrator for Nuclear Security shall authorize the
    head of each nuclear weapons production facility to establish an
    Engineering and Manufacturing Research, Development, and Demonstration
    Program under this section.
        (b) Projects and Activities.--The projects and activities carried
    out through the program at a nuclear weapons production facility under
    this section shall support innovative or high-risk

    [[Page 114 STAT. 1654A-468]]

    design and manufacturing concepts and technologies with potentially high
    payoff for the nuclear weapons complex. Those projects and activities
    may include--
                (1) replacement of obsolete or aging design and
            manufacturing technologies;
                (2) development of innovative agile manufacturing techniques
            and processes; and
                (3) training, recruitment, or retention of essential
            personnel in critical engineering and manufacturing disciplines.

        (c) Funding.--The Administrator may authorize the head of each
    nuclear weapons production facility to obligate up to $3,000,000 of
    funds within the Advanced Design and Production Technologies Campaign
    available for such facility during fiscal year 2001 to carry out
    projects and activities of the program under this section at that
    facility.
        (d) Report.--The Administrator for Nuclear Security shall submit to
    the Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives, not later than September 15,
    2001, a report describing, for each nuclear weapons production facility,
    each project or activity for which funds were obligated under the
    program, the criteria used in the selection of each such project or
    activity, the potential benefits of each such project or activity, and
    the Administrator's recommendation concerning whether the program should
    be continued.
        (e) Definition.--For purposes of this section, the term ``nuclear
    weapons production facility'' has the meaning given that term in section
    3281(2) of the National Nuclear Security Administration Act (title XXXII
    of Public Law 106-65; 113 Stat. 968; 50 U.S.C. 2471(2)).

    SEC. 3157. PROHIBITION ON INDIVIDUALS ENGAGING IN CONCURRENT SERVICE OR
                DUTIES WITHIN NATIONAL NUCLEAR SECURITY ADMINISTRATION AND
                OUTSIDE THAT ADMINISTRATION BUT WITHIN DEPARTMENT OF ENERGY.

        Section 3213 of the National Nuclear Security Administration Act
    (title XXXII of Public Law 106-65; 113 Stat. 958; 50 U.S.C. 2403) is
    amended--
                (1) in subsection (a), by striking ``Administration,'' and
            all that follows through ``function of the'';
                (2) in subsection (b), by striking ``, in carrying out any
            function of the Administration,''; and
                (3) by adding at the end the following new subsection:

        ``(d) Prohibition on Dual Office Holding.--Except in accordance with
    sections 3212(a)(2) and 3216(a)(1):
                ``(1) An individual may not concurrently hold or carry out
            the responsibilities of--
                        ``(A) a position within the Administration; and
                        ``(B) a position within the Department of Energy not
                    within the Administration.
                ``(2) No funds appropriated or otherwise made available for
            any fiscal year may be used to pay, to an individual who
            concurrently holds or carries out the responsibilities of a
            position specified in paragraph (1)(A) and a position specified
            in paragraph (1)(B), the basic pay, salary, or other
            compensation relating to any such position.''.

    [[Page 114 STAT. 1654A-469]]

    SEC. 3158. ANNUAL PLAN FOR OBLIGATION OF FUNDS OF THE NATIONAL NUCLEAR
                SECURITY ADMINISTRATION.

        (a) Plan Required.--Section 3252 of the National Nuclear Security
    Administration Act (title XXXII of Public Law 106-65; 113 Stat. 966; 50
    U.S.C. 2452) is amended--
                (1) by inserting ``(a) Procedures Required.--'' before ``The
            Administrator shall''; and
                (2) by adding at the end the following new subsections:

        ``(b) Annual Plan for Obligation of Funds.--(1) Each year, the
    Administrator shall prepare a plan for the obligation of the amounts
    that, in the President's budget submitted to Congress that year under
    section 1105(a) of title 31, United States Code, are proposed to be
    appropriated for the Administration for the fiscal year that begins in
    that year (in this section referred to as the `budget year') and the two
    succeeding fiscal years.
        ``(2) For each program element and construction line item of the
    Administration, the plan shall provide the goal of the Administration
    for the obligation of those amounts for that element or item for each
    fiscal year of the plan, expressed as a percentage of the total amount
    proposed to be appropriated in that budget for that element or item.
        ``(c) Submission of Plan and Report.--The Administrator shall submit
    to Congress each year, at or about the time that the President's budget
    is submitted to Congress under section 1105(a) of title 31, United
    States Code, each of the following:
                ``(1) The plan required by subsection (b) prepared with
            respect to that budget.
                ``(2) A report on the plans prepared with respect to the
            preceding years' budgets, which shall include, for each goal
            provided in those plans--
                        ``(A) the assessment of the Administrator as to
                    whether or not that goal was met; and
                        ``(B) if that assessment is that the goal was not
                    met--
                              ``(i) the reasons why that goal was not met;
                          and
                              ``(ii) the plan of the Administrator for
                          meeting or, if necessary, adjusting that goal.''.

        (b) Effective Date of Requirement to Assess Prior Plan.--The first
    report submitted under paragraph (2) of subsection (c) of such section
    (as added by subsection (a)) shall be the report on the plan prepared
    with respect to the budget submitted in calendar year 2001.
        (c) GAO Report.--Not later than March 15, 2001, the Comptroller
    General shall submit to the congressional defense committees an
    assessment of the adequacy of the planning, programming, and budgeting
    processes of the National Nuclear Security Administration.

    SEC. 3159. AUTHORITY TO REORGANIZE NATIONAL NUCLEAR SECURITY
                ADMINISTRATION.

        (a) Reorganization Authority.--Section 3212 of the National Nuclear
    Security Administration Act (title XXXII of Public Law 106-65; 113 Stat.
    957; 50 U.S.C. 2402) is amended by adding at the end the following new
    subsection:
        ``(e) Reorganization Authority.--Except as provided by subsections
    (b) and (c) of section 3291:

    [[Page 114 STAT. 1654A-470]]

                ``(1) The Administrator may establish, abolish, alter,
            consolidate, or discontinue any organizational unit or component
            of the Administration, or transfer any function of the
            Administration.
                ``(2) Such authority does not apply to the abolition of
            organizational units or components established by law or the
            transfer of functions vested by law in any organizational unit
            or component.''.

        (b) Conforming Amendments.--Section 643 of the Department of Energy
    Organization Act (42 U.S.C. 7253) is amended--
                (1) by striking ``The Secretary'' and inserting ``(a) Except
            as provided in subsection (b), the Secretary''; and
                (2) by adding at the end the following new subsection:

        ``(b) The authority of the Secretary under subsection (a) does not
    apply to the National Nuclear Security Administration. The corresponding
    authority that applies to the Administration is set forth in section
    3212(e) of the National Nuclear Security Administration Act.''.

            Subtitle E--National Laboratories Partnership Improvement

    SEC. 3161. TECHNOLOGY INFRASTRUCTURE PILOT PROGRAM.

        (a) Establishment.--The Administrator for Nuclear Security shall
    establish a Technology Infrastructure Pilot Program in accordance with
    this section.
        (b) Purpose.--The purpose of the program shall be to explore new
    methods of collaboration and improvements in the management and
    effectiveness of collaborative programs carried out by the national
    security laboratories and nuclear weapons production facilities in
    partnership with private industry and institutions of higher education
    and to improve the ability of those laboratories and facilities to
    support missions of the Administration.
        (c) Funding.--(1) Except as provided in paragraph (2), funding shall
    be available for the pilot program only to the extent of specific
    authorizations and appropriations enacted after the date of the
    enactment of this Act.
        (2) From amounts available in fiscal years 2001 and 2002 for
    technology partnership programs of the Administration, the Administrator
    may allocate to carry out the pilot program not more than $5,000,000.
        (d) Project Requirements.--A project may not be approved for the
    pilot program unless the project meets the following requirements:
                (1) The participants in the project include--
                        (A) a national security laboratory or nuclear
                    weapons production facility; and
                        (B) one or more of the following:
                              (i) A business.
                              (ii) An institution of higher education.
                              (iii) A nonprofit institution.
                              (iv) An agency of a State, local, or tribal
                          government.
                (2)(A) Not less than 50 percent of the costs of the project
            are to be provided by non-Federal sources.

    [[Page 114 STAT. 1654A-471]]

                (B)(i) The calculation of the amount of the costs of the
            project provided by non-Federal sources shall include cash,
            personnel, services, equipment, and other resources expended on
            the project.
                (ii) No funds or other resources expended before the start
            of the project or outside the project's scope of work may be
            credited toward the costs provided by non-Federal sources to the
            project.
                (3) The project (other than in the case of a project under
            which the participating laboratory or facility receives funding
            under this section) shall be competitively selected by that
            laboratory or facility using procedures determined to be
            appropriate by the Administrator.
                (4) No Federal funds shall be made available under this
            section for--
                        (A) construction; or
                        (B) any project for more than five years.

        (e) Selection Criteria.--(1) The projects selected for the pilot
    program shall--
                (A) stimulate the development of technology expertise and
            capabilities in private industry and institutions of higher
            education that can support the nuclear weapons and nuclear
            nonproliferation missions of the national security laboratories
            and nuclear weapons production facilities on a continuing basis;
                (B) improve the ability of those laboratories and facilities
            benefit from commercial research, technology, products,
            processes, and services that can support the nuclear weapons and
            nuclear nonproliferation missions of those laboratories and
            facilities on a continuing basis; and
                (C) encourage the exchange of scientific and technological
            expertise between those laboratories and facilities and--
                        (i) institutions of higher education;
                        (ii) technology-related business concerns;
                        (iii) nonprofit institutions; and
                        (iv) agencies of State, tribal, or local
                    governments;
            that can support the missions of those laboratories and
            facilities.

        (2) The Administrator may authorize the provision of Federal funds
    for a project under this section only if the director of the laboratory
    or facility managing the project determines that the project is likely
    to improve the ability of that laboratory or facility to achieve
    technical success in meeting nuclear weapons and nuclear
    nonproliferation missions of the Administration.
        (3) The Administrator shall require the director of the laboratory
    or facility to consider the following criteria in selecting a project to
    receive Federal funds:
                (A) The potential of the project to succeed, based on its
            technical merit, team members, management approach, resources,
            and project plan.
                (B) The potential of the project to promote the development
            of a commercially sustainable technology, determined by
            considering whether the project will derive sufficient demand
            for its products or services from the private sector to support
            the nuclear weapons and nuclear nonproliferation missions of the
            participating laboratory or facility on a continuing basis.

    [[Page 114 STAT. 1654A-472]]

                (C) The potential of the project to promote the use of
            commercial research, technology, products, processes, and
            services by the participating laboratory or facility to achieve
            its nuclear weapons and nuclear nonproliferation missions.
                (D) The commitment shown by non-Federal organizations to the
            project, based primarily on the nature and amount of the
            financial and other resources they will risk on the project.
                (E) The extent to which the project involves a wide variety
            and number of institutions of higher education, nonprofit
            institutions, and technology-related business concerns that can
            support the nuclear weapons and nuclear nonproliferation
            missions of the participating laboratory or facility on a
            continuing basis and that will make substantive contributions to
            achieving the goals of the project.
                (F) The extent of participation in the project by agencies
            of State, tribal, or local governments that will make
            substantive contributions to achieving the goals of the project.
                (G) The extent to which the project focuses on promoting the
            development of technology-related business concerns that are
            small business concerns or involves small business concerns
            substantively in the project.

        (f ) Implementation Plan.--No funds may be allocated for the pilot
    program until 30 days after the date on which the Administrator submits
    to the congressional defense committees a plan for the implementation of
    the pilot program. The plan shall, at a minimum--
                (1) identify the national security laboratories and nuclear
            weapons production facilities that have been designated by the
            Administrator to participate in the pilot program; and
                (2) with respect to each laboratory or facility identified
            under paragraph (1)--
                        (A) identify the businesses, institutions of higher
                    education, nonprofit institutions, and agencies of
                    State, local, or tribal government that are expected to
                    participate in the pilot program at that laboratory or
                    facility;
                        (B) identify the technology areas to be addressed by
                    the pilot program at that laboratory or facility and the
                    manner in which the pilot program will support high-
                    priority missions of that laboratory or facility on a
                    continuing basis; and
                        (C) describe the management controls that have been
                    put into place to ensure that the pilot program as
                    conducted at that laboratory or facility is conducted in
                    a cost-effective manner consistent with the objectives
                    of the pilot program.

        (g) Report on Implementation.--(1) Not later than February 1, 2002,
    the Administrator shall submit to the congressional defense committees a
    report on the implementation and management of the pilot program. The
    report shall take into consideration the results of the pilot program to
    date and the views of the directors of the participating laboratories
    and facilities. The report shall include any recommendations the
    Administrator may have concerning the future of the pilot program.
        (2) Not later than 30 days after the date on which the Administrator
    submits the report required by paragraph (1), the Comptroller General
    shall submit to the congressional defense committees a report containing
    the Comptroller General's assessment of that report.

    [[Page 114 STAT. 1654A-473]]

    SEC. 3162. REPORT ON SMALL BUSINESS PARTICIPATION IN NATIONAL NUCLEAR
                SECURITY ADMINISTRATION ACTIVITIES.

        (a) Report Required.--Not later than February 15, 2001, the
    Administrator for Nuclear Security shall submit to the congressional
    defense committees a report on small business participation in the
    activities of the National Nuclear Security Administration.
        (b) Contents of Report.--The report shall include the following:
                (1) A description of the scope and nature of the efforts of
            the National Nuclear Security Administration as of the date of
            the enactment of this Act to encourage or increase participation
            of small business concerns in procurements, collaborative
            research, technology licensing, and technology transfer
            activities carried out by the national security laboratories or
            nuclear weapons production facilities.
                (2) An assessment of the effectiveness of those efforts in
            securing products and services of value to those laboratories
            and facilities.
                (3) Recommendations on how to improve those efforts.
                (4) An identification of legislative changes required to
            implement those recommendations.

    SEC. 3163. STUDY AND REPORT RELATED TO IMPROVING MISSION EFFECTIVENESS,
                PARTNERSHIPS, AND TECHNOLOGY TRANSFER AT NATIONAL SECURITY
                LABORATORIES AND NUCLEAR WEAPONS PRODUCTION FACILITIES.

        (a) Study and Report Required.--The Secretary of Energy shall direct
    the Secretary of Energy Advisory Board to study and to submit to the
    Secretary not later than one year after the date of the enactment of
    this Act a report regarding the following topics:
                (1) The advantages and disadvantages of providing the
            Administrator for Nuclear Security with authority,
            notwithstanding the limitations otherwise imposed by the Federal
            Acquisition Regulation, to enter into transactions with public
            agencies, private organizations, or individuals on terms the
            Administrator considers appropriate to the furtherance of basic,
            applied, and advanced research functions. The Advisory Board
            shall consider, in its assessment of this authority, the
            management history of the Department of Energy and the effect of
            this authority on the National Nuclear Security Administration's
            use of contractors to operate the national security
            laboratories.
                (2) The advantages and disadvantages of establishing and
            implementing policies and procedures to facilitate the transfer
            of scientific, technical, and professional personnel among
            national security laboratories and nuclear weapons production
            facilities.
                (3) The advantages and disadvantages of making changes in--
                        (A) the indemnification requirements for patents or
                    other intellectual property licensed from a national
                    security laboratory or nuclear weapons production
                    facility;
                        (B) the royalty and fee schedules and types of
                    compensation that may be used for patents or other
                    intellectual property licensed to a small business
                    concern from a national security laboratory or nuclear
                    weapons production facility;

    [[Page 114 STAT. 1654A-474]]

                        (C) the licensing procedures and requirements for
                    patents and other intellectual property;
                        (D) the rights given to a small business concern
                    that has licensed a patent or other intellectual
                    property from a national security laboratory or nuclear
                    weapons production facility to bring suit against third
                    parties infringing such intellectual property;
                        (E) the advance funding requirements for a small
                    business concern funding a project at a national
                    security laboratory or nuclear weapons production
                    facility through a funds-in agreement;
                        (F) the intellectual property rights allocated to a
                    business when it is funding a project at a national
                    security laboratory or nuclear weapons production
                    facility through a funds-in agreement; and
                        (G) policies on royalty payments to inventors
                    employed by a contractor operating a national security
                    laboratory or nuclear weapons production facility,
                    including those for inventions made under a funds-in
                    agreement.

        (b) Definition of Funds-In Agreement.--For the purposes of this
    section, the term ``funds-in agreement'' means a contract between the
    Department and a non-Federal organization under which that organization
    pays the Department to provide a service or material not otherwise
    available in the domestic private sector.
        (c) Submission to Congress.--Not later than one month after
    receiving the report under subsection (a), the Secretary shall submit to
    Congress that report, along with the Secretary's recommendations for
    action and proposals for legislation to implement the recommendations.

    SEC. 3164. REPORT ON EFFECTIVENESS OF NATIONAL NUCLEAR SECURITY
                ADMINISTRATION TECHNOLOGY DEVELOPMENT PARTNERSHIPS WITH NON-
                FEDERAL ENTITIES.

        (a) Report Required.--The Administrator for Nuclear Security shall
    submit to Congress, not later than March 1, 2001, a report on the
    efficiency and effectiveness with which the National Nuclear Security
    Administration and its laboratories and facilities carry out technology
    development activities in partnership with non-Federal entities,
    including cooperative research and development agreements. The report
    shall include an examination of the following matters with respect to
    the carrying out of those activities:
                (1) Funding sources available to and used by the
            Administration.
                (2) Types of legal instruments used by the Administration,
            and the extent to which they are used.
                (3) Procedures used for selection of participants.
                (4) Intellectual property licensing and royalty provisions.
                (5) New technologies developed.
                (6) The extent to which those new technologies have--
                        (A) commercial utility; and
                        (B) utility to the nuclear weapons and nuclear
                    nonproliferation missions of the Administration.

        (b) Additional Requirements for Cooperative Research and Development
    Agreements.--(1) The report required by subsection (a) shall include a
    section providing the following with respect to cooperative research and
    development agreements:

    [[Page 114 STAT. 1654A-475]]

                (A) An assessment of the advantages and disadvantages of
            such agreements.
                (B) Any recommendations of the Administrator regarding the
            use of such agreements by the Administration in the future,
            including any appropriate funding levels.
                (C) Any recommendations of the Administrator regarding
            legislation to make such agreements more effective in supporting
            the Administration's core nuclear weapons and nuclear non-
            proliferation missions.

        (2) In this subsection, the term ``cooperative research and
    development agreement'' has the meaning given such term in section
    12(d)(1) of the Stevenson-Wydler Technology Innovation Act of 1980 (15
    U.S.C. 3710a(d)(1)).
        (c) GAO Review.--The Comptroller General shall submit to Congress,
    within 30 days after the submission of the report required by subsection
    (a), a report containing the Comptroller General's assessment of that
    report.

    SEC. 3165. DEFINITIONS.

        For purposes of this subtitle, the terms ``national security
    laboratory'' and ``nuclear weapons production facility'' have the
    meanings given such terms in section 3281 of the National Nuclear
    Security Administration Act (title XXXII of Public Law 106-65; 113 Stat.
    968; 50 U.S.C. 2471).

        Subtitle F--Matters Relating to Defense Nuclear Nonproliferation

    SEC. 3171. ANNUAL REPORT ON STATUS OF NUCLEAR MATERIALS PROTECTION,
                CONTROL, AND ACCOUNTING PROGRAM.

        (a) Report Required.--Not later than January 1 of each year, the
    Secretary of Energy 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 status of efforts during the preceding
    fiscal year under the Nuclear Materials Protection, Control, and
    Accounting Program of the Department of Energy to secure weapons-usable
    nuclear materials in Russia that have been identified as being at risk
    for theft or diversion.
        (b) Contents.--Each report under subsection (a) shall include the
    following:
                (1) The number of buildings, including building locations,
            that received complete and integrated materials protection,
            control, and accounting systems for nuclear materials described
            in subsection (a) during the year covered by such report.
                (2) The amounts of highly enriched uranium and plutonium in
            Russia that have been secured under systems described in
            paragraph (1) as of the date of such report.
                (3) The amount of nuclear materials described in subsection
            (a) that continues to require securing under systems described
            in paragraph (1) as of the date of such report.
                (4) A plan for actions to secure the nuclear materials
            identified in paragraph (3) under systems described in paragraph
            (1), including an estimate of the cost of such actions.
                (5) The amounts expended through the fiscal year preceding
            the date of such report to secure nuclear materials described

    [[Page 114 STAT. 1654A-476]]

            in subsection (a) under systems described in paragraph (1), set
            forth by total amount and by amount per fiscal year.

        (c) Limitation on Use of Certain Funds.--(1) No amounts authorized
    to be appropriated for the Department of Energy by this Act or any other
    Act for purposes of the Nuclear Materials Protection, Control, and
    Accounting Program may be obligated or expended after September 30,
    2000, for any project under the program at a site controlled by the
    Russian Ministry of Atomic Energy (MINATOM) in Russia until the
    Secretary submits to the Committee on Armed Services of the Senate and
    the Committee on Armed Services of the House of Representatives a report
    on the access policy established with respect to such project, including
    a certification that the access policy has been implemented.
        (2) The access policy with respect to a project under this
    subsection shall--
                (A) permit appropriate determinations by United States
            officials regarding security requirements, including security
            upgrades, for the project; and
                (B) ensure verification by United States officials that
            Department of Energy assistance at the project is being used for
            the purposes intended.

    SEC. 3172. NUCLEAR CITIES INITIATIVE.

        (a) In General.--(1) The Secretary of Energy may, in accordance with
    the provisions of this section, expand and enhance the activities of the
    Department of Energy under the Nuclear Cities Initiative.
        (2) In this section, the term ``Nuclear Cities Initiative'' means
    the initiative arising pursuant to the joint statement dated July 24,
    1998, signed by the Vice President of the United States and the Prime
    Minister of the Russian Federation and the agreement dated September 22,
    1998, between the United States and the Russian Federation.
        (b) Funding for Fiscal Year 2001.--There is hereby authorized to be
    appropriated for the Department of Energy for fiscal year 2001
    $30,000,000 for purposes of the Nuclear Cities Initiative.
        (c) Limitation Pending Submission of Agreement.--No amount
    authorized to be appropriated or otherwise made available for the
    Department of Energy for fiscal year 2001 for the Nuclear Cities
    Initiative may be obligated or expended to provide assistance under the
    Initiative for more than three nuclear cities in Russia and two serial
    production facilities in Russia until 30 days after the date on which
    the Secretary of Energy submits to the Committee on Armed Services of
    the Senate and the Committee on Armed Services of the House of
    Representatives a copy of a written agreement between the United States
    Government and the Government of the Russian Federation which provides
    that Russia will close some of its facilities engaged in nuclear weapons
    assembly and disassembly work.
        (d) Limitation Pending Implementation of Project Review
    Procedures.--(1) Not more than $8,750,000 of the amounts referred to in
    subsection (b) may be obligated or expended for purposes of the
    Initiative until the Secretary of Energy establishes and implements
    project review procedures for projects under the Initiative and submits
    to the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House

    [[Page 114 STAT. 1654A-477]]

    of Representatives a report on the project review procedures so
    established and implemented.
        (2) The project review procedures established under paragraph (1)
    shall ensure that any scientific, technical, or commercial project
    initiated under the Initiative--
                (A) will not enhance the military or weapons of mass
            destruction capabilities of Russia;
                (B) will not result in the inadvertent transfer or
            utilization of products or activities under such project for
            military purposes;
                (C) will be commercially viable; and
                (D) will be carried out in conjunction with an appropriate
            commercial, industrial, or nonprofit entity as partner.

        (e) Limitation Pending Certification and Report.--No amount in
    excess of $17,500,000 authorized to be appropriated for the Department
    of Energy for fiscal year 2001 for the Nuclear Cities Initiative may be
    obligated or expended for purposes of providing assistance under the
    Initiative until 30 days after the date on which the Secretary of Energy
    submits to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives the
    following:
                (1) A copy of the written agreement between the United
            States and the Russian Federation which provides that Russia
            will close some of its facilities engaged in nuclear weapons
            assembly and disassembly work within five years of the date of
            the agreement in exchange for receiving assistance through the
            Initiative.
                (2) A certification by the Secretary--
                        (A) that project review procedures for all projects
                    under the Initiative have been established and are being
                    implemented; and
                        (B) that those procedures will ensure that any
                    scientific, technical, or commercial project initiated
                    under the Initiative--
                              (i) will not enhance the military or weapons
                          of mass destruction capabilities of Russia;
                              (ii) will not result in the inadvertent
                          transfer or utilization of products or activities
                          under such project for military purposes;
                              (iii) will be commercially viable within three
                          years after the date of the initiation of the
                          project; and
                              (iv) will be carried out in conjunction with
                          an appropriate commercial, industrial, or other
                          nonprofit entity as partner.
                (3) A report setting forth the following:
                        (A) A description of the project review procedures
                    process.
                        (B) A list of the projects under the Initiative that
                    have been reviewed under such project review procedures.
                        (C) A description for each project listed under
                    subparagraph (B) of the purpose, expected life-cycle
                    costs, out-year budget costs, participants, commercial
                    viability, expected time for income generation, and
                    number of Russian jobs created.

        (f ) Plan for Restructuring the Russian Nuclear Complex.--(1) The
    President, acting through the Secretary of Energy, is urged to enter
    into discussions with the Russian Federation

    [[Page 114 STAT. 1654A-478]]

    for purposes of the development by the Russian Federation of a plan to
    restructure the Russian nuclear complex in order to meet changes in the
    national security requirements of Russia by 2010.
        (2) The plan under paragraph (1) should include the following:
                (A) Mechanisms to consolidate the nuclear weapons production
            capacity in Russia to a capacity that is consistent with the
            obligations of Russia under current and future arms control
            agreements.
                (B) Mechanisms to increase transparency regarding the
            restructuring of the Russian nuclear complex and weapons-surplus
            nuclear materials inventories in Russia to the levels of
            transparency for such matters in the United States, including
            the participation of Department of Energy officials with
            expertise in transparency of such matters.
                (C) Measurable milestones that will permit the United States
            and the Russian Federation to monitor progress under the plan.

        (g) Encouragement of Careers in Nonproliferation.--(1) In carrying
    out actions under this section, the Secretary of Energy may carry out a
    program to encourage students in the United States and in the Russian
    Federation to pursue careers in areas relating to nonproliferation.
        (2) Of the amounts made available under the Initiative for fiscal
    year 2001 in excess of $17,500,000, up to $2,000,000 shall be available
    for purposes of the program under paragraph (1).
        (3) The Administrator for Nuclear Security shall notify the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives before any funds are expended
    pursuant to paragraph (2). Any such notification shall include--
                (A) an identification of the amount to be expended under
            paragraph (2) during fiscal year 2001;
                (B) the recipients of the funds; and
                (C) specific information on the activities that will be
            conducted using those funds.

        (h) Definitions.--In this section:
                (1) The term ``nuclear city'' means any of the closed
            nuclear cities within the complex of the Russian Ministry of
            Atomic Energy as follows:
                        (A) Sarov (Arzamas-16).
                        (B) Zarechnyy (Penza-19).
                        (C) Novoural'sk (Sverdlovsk-44).
                        (D) Lesnoy (Sverdlovsk-45).
                        (E) Ozersk (Chelyabinsk-65).
                        (F) Snezhinsk (Chelyabinsk-70).
                        (G) Trechgornyy (Zlatoust-36).
                        (H) Seversk (Tomsk-7).
                        (I) Zheleznogorsk (Krasnoyarsk-26).
                        (J) Zelenogorsk (Krasnoyarsk-45).
                (2) The term ``Russian nuclear complex'' means all of the
            nuclear cities.
                (3) The term ``serial production facilities'' means the
            facilities in Russia that are located at the following cities:
                        (A) Avangard.
                        (B) Lesnoy (Sverdlovsk-45).
                        (C) Trechgornyy (Zlatoust-36).
                        (D) Zarechnyy (Penza-19).

    [[Page 114 STAT. 1654A-479]]

    SEC. 3173. DEPARTMENT OF ENERGY NONPROLIFERATION MONITORING.

        (a) Report Required.--Not later than March 1, 2001, the Secretary of
    Energy 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 efforts of the Department of Energy to ensure adequate oversight
    and accountability of the Department's nonproliferation programs in
    Russia and the potential costs and effects of the use of on-the-ground
    monitoring for the Department's significant nonproliferation programs in
    Russia. The report shall include the following:
                (1) A detailed discussion of the current management and
            oversight mechanisms used to ensure that Federal funds are
            expended for the intended purposes of those programs and that
            the projects are achieving their intended objectives.
                (2) An evaluation of whether those mechanisms are adequate.
                (3) A discussion of whether there is a need for additional
            employees of the Department, or of contractors of the
            Department, to be stationed in Russia, or to visit
            nonproliferation project sites in Russia on a regular basis, to
            monitor the programs carried out at those sites, and an estimate
            of the practical considerations and costs of such monitoring.
                (4) An identification of each nonproliferation program and
            each site at which an employee referred to in paragraph (3)
            would be placed to monitor that program.
                (5) A description of the costs associated with continued on-
            the-ground monitoring of those programs, including the costs
            associated with placing those employees in Russia.
                (6) Recommendations regarding the most cost-effective option
            for the Department to pursue to ensure that Federal funds for
            those programs are expended for the intended purposes of those
            programs.
                (7) Any recommendations of the Secretary for further
            improvements in the oversight and accountability of those
            programs, including any proposed legislation.

        (b) GAO Report.--Not later than April 15, 2001, the Comptroller
    General shall submit to the committees referred to in subsection (a) a
    report setting forth the assessment of the Comptroller General
    concerning the information contained in the report required by that
    subsection.

    SEC. 3174. SENSE OF CONGRESS ON THE NEED FOR COORDINATION OF
                NONPROLIFERATION PROGRAMS.

        It is the sense of Congress that there should be clear and effective
    coordination among--
                (1) the Nuclear Cities Initiative;
                (2) the Initiatives for Proliferation Prevention program;
                (3) the Cooperative Threat Reduction programs;
                (4) the Nuclear Materials Protection, Control, and
            Accounting Program; and
                (5) the International Science and Technology Center program.

    [[Page 114 STAT. 1654A-480]]

    SEC. 3175. LIMITATION ON USE OF FUNDS FOR INTERNATIONAL NUCLEAR SAFETY
                PROGRAM.

        Amounts authorized to be appropriated or otherwise made available by
    this title for the Department of Energy for fiscal year 2001 for the
    International Nuclear Safety Program in the former Soviet Union and
    Eastern Europe shall be available only for purposes of reactor safety
    upgrades and training relating to nuclear operator and reactor safety.

                            Subtitle G--Other Matters

    SEC. 3191. EXTENSION OF AUTHORITY FOR APPOINTMENT OF CERTAIN SCIENTIFIC,
                ENGINEERING, AND TECHNICAL PERSONNEL.

        Section 3161(c)(1) of the National Defense Authorization Act for
    Fiscal Year 1995 (Public Law 103-337; 42 U.S.C. 7231 note) is amended by
    striking ``September 30, 2000'' and inserting ``September 30, 2002''.

    SEC. 3192. BIENNIAL REPORT CONTAINING UPDATE ON NUCLEAR TEST READINESS
                POSTURES.

        Section 3152 of the National Defense Authorization Act for Fiscal
    Year 1996 (Public Law 104-106; 110 Stat. 623) is amended--
                (1) by inserting ``(a) Report.--'' before ``Not later than
            February 15, 1996,''; and
                (2) by adding at the end the following:

        ``(b) Biennial Update Report.--(1) Not later than February 15 of
    each odd-numbered year, the Secretary shall submit to the congressional
    defense committees a report containing an update of the report required
    under subsection (a), as updated by any report previously submitted
    under this paragraph.
        ``(2) Each report under paragraph (1) shall include, as of the date
    of such report, the following:
                ``(A) A list and description of the workforce skills and
            capabilities that are essential to carry out underground nuclear
            tests at the Nevada Test Site.
                ``(B) A list and description of the infrastructure and
            physical plant that are essential to carry out underground
            nuclear tests at the Nevada Test Site.
                ``(C) A description of the readiness status of the skills
            and capabilities described in subparagraph (A) and of the
            infrastructure and physical plant described in subparagraph (B).

        ``(3) Each report under paragraph (1) shall be submitted in
    unclassified form, but may include a classified annex.''.

    SEC. 3193. FREQUENCY OF REPORTS ON INADVERTENT RELEASES OF RESTRICTED
                DATA AND FORMERLY RESTRICTED DATA.

        (a) Frequency of Reports.--Section 3161(f )(2) of the Strom Thurmond
    National Defense Authorization Act for Fiscal Year 1999 (Public Law 105-
    261; 112 Stat. 2261; 50 U.S.C. 435 note) is amended to read as follows:
        ``(2) The Secretary of Energy shall, on a quarterly basis, submit a
    report to the committees and Assistant to the President specified in
    subsection (d). The report shall state whether any inadvertent releases
    described in paragraph (1) occurred during the immediately preceding
    quarter and, if so, shall identify each such release.''.

    [[Page 114 STAT. 1654A-481]]

        (b) Effective Date.--The amendment made by subsection (a) apply with
    respect to inadvertent releases of Restricted Data and Formerly
    Restricted Data that are discovered on or after the date of the
    enactment of this Act.

    SEC. 3194. FORM OF CERTIFICATIONS REGARDING THE SAFETY OR RELIABILITY OF
                THE NUCLEAR WEAPONS STOCKPILE.

        Any certification submitted to the President by the Secretary of
    Defense or the Secretary of Energy regarding confidence in the safety or
    reliability of a nuclear weapon type in the United States nuclear
    weapons stockpile shall be submitted in classified form only.

    SEC. 3195. AUTHORITY TO PROVIDE CERTIFICATE OF COMMENDATION TO
                DEPARTMENT OF ENERGY AND CONTRACTOR EMPLOYEES FOR EXEMPLARY
                SERVICE IN STOCKPILE STEWARDSHIP AND SECURITY.

        (a) Authority To Present Certificate of Commendation.--The Secretary
    of Energy may present a certificate of commendation to any current or
    former employee of the Department of Energy, and any current or former
    employee of a Department contractor, whose service to the Department in
    matters relating to stockpile stewardship and security assisted the
    Department in furthering the national security interests of the United
    States.
        (b) Certificate.--The certificate of commendation presented to a
    current or former employee under subsection (a) shall include an
    appropriate citation of the service of the current or former employee
    described in that subsection, including a citation for dedication,
    intellect, and sacrifice in furthering the national security interests
    of the United States by maintaining a strong, safe, and viable United
    States nuclear deterrent during the Cold War or thereafter.
        (c) Department of Energy Defined.--For purposes of this section, the
    term ``Department of Energy'' includes any predecessor agency of the
    Department of Energy.

    SEC. 3196. COOPERATIVE RESEARCH AND DEVELOPMENT AGREEMENTS FOR
                GOVERNMENT-OWNED, CONTRACTOR-OPERATED LABORATORIES.

        (a) Strategic Plans.--Subsection (a) of section 12 of the Stevenson-
    Wydler Technology Innovation Act of 1980 (15 U.S.C. 3710a) is amended by
    striking ``joint work statement,'' and inserting ``joint work statement
    or, if permitted by the agency, in an agency-approved annual strategic
    plan,''.
        (b) Experimental Federal Waivers.--Subsection (b) of that section is
    amended by adding at the end the following new paragraph:
        ``(6)(A) In the case of a laboratory that is part of the National
    Nuclear Security Administration, a designated official of that
    Administration may waive any license retained by the Government under
    paragraph (1)(A), (2), or (3)(D), in whole or in part and according to
    negotiated terms and conditions, if the designated official finds that
    the retention of the license by the Government would substantially
    inhibit the commercialization of an invention that would otherwise serve
    an important national security mission.
        ``(B) The authority to grant a waiver under subparagraph (A) shall
    expire on the date that is five years after the date of the enactment of
    the Floyd D. Spence National Defense Authorization

    [[Page 114 STAT. 1654A-482]]

    Act for Fiscal Year 2001. The expiration under the preceding sentence of
    authority to grant a waiver under subparagraph (A) shall not affect any
    waiver granted under that subparagraph before the expiration of such
    authority.
        ``(C) Not later than February 15 of each year, the Administrator for
    Nuclear Security shall submit to Congress a report on any waivers
    granted under this paragraph during the preceding year.''.
        (c) Time Required for Approval.--Subsection (c)(5) of that section
    is amended--
                (1) by striking subparagraph (C);
                (2) by redesignating subparagraph (D) as subparagraph (C);
            and
                (3) in subparagraph (C), as so redesignated--
                        (A) in clause (i)--
                              (i) by striking ``with a small business
                          firm''; and
                              (ii) by inserting ``if'' after ``statement'';
                          and
                        (B) by adding at the end the following new clauses:

        ``(iv) Any agency that has contracted with a non-Federal entity to
    operate a laboratory may develop and provide to such laboratory one or
    more model cooperative research and development agreements for purposes
    of standardizing practices and procedures, resolving common legal
    issues, and enabling review of cooperative research and development
    agreements to be carried out in a routine and prompt manner.
        ``(v) A Federal agency may waive the requirements of clause (i) or
    (ii) under such circumstances as the agency considers appropriate.''.

    SEC. 3197. OFFICE OF ARCTIC ENERGY.

        (a) Establishment.--The Secretary of Energy may establish within the
    Department of Energy an Office of Arctic Energy.
        (b) Purposes.--The purposes of such office shall be as follows:
                (1) To promote research, development, and deployment of
            electric power technology that is cost-effective and especially
            well suited to meet the needs of rural and remote regions of the
            United States, especially where permafrost is present or located
            nearby.
                (2) To promote research, development, and deployment in such
            regions of--
                        (A) enhanced oil recovery technology, including
                    heavy oil recovery, reinjection of carbon, and extended
                    reach drilling technologies;
                        (B) gas-to-liquids technology and liquified natural
                    gas (including associated transportation systems);
                        (C) small hydroelectric facilities, river turbines,
                    and tidal power;
                        (D) natural gas hydrates, coal bed methane, and
                    shallow bed natural gas; and
                        (E) alternative energy, including wind, geothermal,
                    and fuel cells.

        (c) Location.--The Secretary shall locate such office at a
    university with expertise and experience in the matters specified in
    subsection (b).

    [[Page 114 STAT. 1654A-483]]

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    SEC. 3201. AUTHORIZATION.

        There are authorized to be appropriated for fiscal year 2001,
    $18,500,000 for the operation of the Defense Nuclear Facilities Safety
    Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286
    et seq.).

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

    Sec.3301.Authorized uses of stockpile funds.
    Sec.3302.Increased receipts under prior disposal authority.
    Sec.3303.Disposal of titanium.

    SEC. 3301. AUTHORIZED USES OF STOCKPILE FUNDS.

        (a) Obligation of Stockpile Funds.--During fiscal year 2001, the
    National Defense Stockpile Manager may obligate up to $71,000,000 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.
        (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. INCREASED RECEIPTS UNDER PRIOR DISPOSAL AUTHORITY.

        Section 3303(a)(4) of the Strom Thurmond National Defense
    Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat.
    2263; 50 U.S.C. 98d note) is amended by striking ``$590,000,000'' and
    inserting ``$720,000,000''.

    SEC. 3303. DISPOSAL OF TITANIUM.

        (a) Disposal Required.--Notwithstanding any other provision of law,
    the President shall, by September 30, 2010, dispose of 30,000 short tons
    of titanium contained in the National Defense Stockpile.
        (b) Treatment of Receipts.--Notwithstanding section 9 of the
    Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h), of
    the funds received as a result of the disposal of titanium under
    subsection (a), $6,000,000 shall be transferred to the American Battle
    Monuments Commission for deposit in the fund established under section
    2113 of title 36, United States Code, for the World War II memorial
    authorized by section 1 of Public Law

    [[Page 114 STAT. 1654A-484]]

    103-32 (107 Stat. 90), and the remainder shall be deposited into the
    Treasury as miscellaneous receipts.
        (c) World War II Memorial.--(1) The amount transferred to the
    American Battle Monuments Commission under subsection (b) shall be used
    to complete all necessary requirements for the design of, ground
    breaking for, construction of, maintenance of, and dedication of the
    World War II memorial. The Commission shall determine how the amount
    shall be apportioned among such purposes.
        (2) Any funds not necessary for the purposes set forth in paragraph
    (1) shall be transferred to and deposited in the general fund of the
    Treasury.
        (d) Relationship to Other Disposal Authority.--The disposal
    authority provided in subsection (a) is new disposal authority and is in
    addition to, and shall not affect, any other disposal authority provided
    by law regarding materials in the National Defense Stockpile.

                      TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec.3401.Minimum price of petroleum sold from certain naval petroleum
               reserves.
    Sec.3402.Repeal of authority to contract for cooperative or unit plans
               affecting naval petroleum reserve numbered 1.
    Sec.3403.Disposal of Oil Shale Reserve Numbered 2.

    SEC. 3401. MINIMUM PRICE OF PETROLEUM SOLD FROM CERTAIN NAVAL PETROLEUM
                RESERVES.

        Section 7430(b)(2) of title 10, United States Code, is amended--
                (1) in the matter before subparagraph (A), by striking
            ``Naval Petroleum Reserves Numbered 1, 2, and 3'' and inserting
            ``Naval Petroleum Reserves Numbered 2 and 3''; and
                (2) in subparagraph (A), by striking ``90 percent of''.

    SEC. 3402. REPEAL OF AUTHORITY TO CONTRACT FOR COOPERATIVE OR UNIT PLANS
                AFFECTING NAVAL PETROLEUM RESERVE NUMBERED 1.

        (a) Repeal.--Section 7426 of title 10, United States Code, is
    repealed.
        (b) Conforming and Clerical Amendments.--(1) Section 7425 of such
    title is amended by striking ``for--'' and all that follows through ``he
    may acquire'' and inserting ``for exchanges of land or agreements for
    conservation authorized by section 7424 of this title, the Secretary may
    acquire''.
        (2) Section 7428 of such title is amended by striking ``, except a
    plan authorized by section 7426 of this title,''.
        (3) The table of sections at the beginning of chapter 641 of such
    title is amended by striking the item relating to section 7426.
        (c) Savings Provision.--The repeal of section 7426 of title 10,
    United States Code, shall not affect the validity of contracts that are
    in effect under such section on the day before the date of the enactment
    of this Act. No such contract may be extended or renewed on or after the
    date of the enactment of this Act.

    SEC. 3403. DISPOSAL OF OIL SHALE RESERVE NUMBERED 2.

        (a) Transfer to Indian Tribe.--Section 3405 of the Strom Thurmond
    National Defense Authorization Act for Fiscal Year 1999

    [[Page 114 STAT. 1654A-485]]

    (10 U.S.C. 7420 note; Public Law 105-261) is amended to read as follows:

    ``SEC. 3405. DISPOSAL OF OIL SHALE RESERVE NUMBERED 2.

        ``(a) Definitions.--In this section:
                ``(1) NOSR-2.--The term `NOSR-2' means Oil Shale Reserve
            Numbered 2, as identified on a map on file in the Office of the
            Secretary of the Interior.
                ``(2) Moab site.--The term `Moab site' means the Moab
            uranium milling site located approximately three miles northwest
            of Moab, Utah, and identified in the Final Environmental Impact
            Statement issued by the Nuclear Regulatory Commission in March
            1996 in conjunction with Source Materials License No. SUA-917.
                ``(3) Map.--The term `map' means the map depicting the
            boundaries of NOSR-2, to be kept on file and available for
            public inspection in the offices of the Department of the
            Interior.
                ``(4) Tribe.--The term `Tribe' means the Ute Indian Tribe of
            the Uintah and Ouray Indian Reservation.
                ``(5) Trustee.--The term `Trustee' means the Trustee of the
            Moab Mill Reclamation Trust.

        ``(b) Conveyance.--(1) Except as provided in paragraph (2) and
    subsection (e), all right, title, and interest of the United States in
    and to all Federal lands within the exterior boundaries of NOSR-2
    (including surface and mineral rights) are hereby conveyed to the Tribe
    in fee simple. The Secretary of Energy shall execute and file in the
    appropriate office a deed or other instrument effectuating the
    conveyance made by this section.
        ``(2) The conveyance under paragraph (1) does not include the
    following:
                ``(A) The portion of the bed of Green River contained
            entirely within NOSR-2, as depicted on the map.
                ``(B) The land (including surface and mineral rights) to the
            west of the Green River within NOSR-2, as depicted on the map.
                ``(C) A \1/4\ mile scenic easement on the east side of the
            Green River within NOSR-2.

        ``(c) Conditions on Conveyance.--(1) The conveyance under subsection
    (b) is subject to valid existing rights in effect on the day before the
    date of the enactment of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001.
        ``(2) On completion of the conveyance under subsection (b), the
    United States relinquishes all management authority over the conveyed
    land, including tribal activities conducted on the land.
        ``(3) The land conveyed to the Tribe under subsection (b) shall not
    revert to the United States for management in trust status.
        ``(4) The reservation of the easement under subsection (b)(2)(C)
    shall not affect the right of the Tribe to use and maintain access to
    the Green River through the use of the road within the easement, as
    depicted on the map.
        ``(5) Each withdrawal that applies to NOSR-2 and that is in effect
    on the date of the enactment of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001 is revoked to the extent that the
    withdrawal applies to NOSR-2.
        ``(6) Notwithstanding that the land conveyed to the Tribe under
    subsection (b) shall not be part of the reservation of the Tribe,

    [[Page 114 STAT. 1654A-486]]

    such land shall be deemed to be part of the reservation of the Tribe for
    the purposes of criminal and civil jurisdiction.
        ``(d) Administration of Unconveyed Land and Interests in Land.--(1)
    The land and interests in land excluded by subparagraphs (A) and (B) of
    subsection (b)(2) from conveyance under subsection (b) shall be
    administered by the Secretary of the Interior in accordance with the
    Federal Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.).
        ``(2) Not later than three years after the date of the enactment of
    the Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001, the Secretary of the Interior shall submit to Congress a land use
    plan for the management of the land and interests in land referred to in
    paragraph (1).
        ``(3) There are authorized to be appropriated to the Secretary of
    the Interior such sums as are necessary to carry out this subsection.
        ``(e) Royalty.--(1) Notwithstanding the conveyance under subsection
    (b), the United States retains a nine percent royalty interest in the
    value of any oil, gas, other hydrocarbons, and all other minerals that
    are produced, saved, and sold from the conveyed land during the period
    beginning on the date of the conveyance and ending on the date the
    Secretary of Energy releases the royalty interest under subsection (i).
        ``(2) The royalty payments shall be made by the Tribe or its
    designee to the Secretary of Energy during the period that the oil, gas,
    hydrocarbons, or minerals are being produced, saved, sold, or extracted.
    The Secretary of Energy shall retain and use the payments in the manner
    provided in subsection (i)(3).
        ``(3) The royalty interest retained by the United States under this
    subsection does not include any development, production, marketing, and
    operating expenses.
        ``(4) The Tribe shall submit to the Secretary of Energy and to
    Congress an annual report on resource development and other activities
    of the Tribe concerning the conveyance under subsection (b).
        ``(5) Not later than five years after the date of the enactment of
    the Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001, and every five years thereafter, the Tribe shall obtain an audit
    of all resource development activities of the Tribe concerning the
    conveyance under subsection (b), as provided under chapter 75 of title
    31, United States Code. The results of each audit under this paragraph
    shall be included in the next annual report submitted under paragraph
    (4).
        ``(f ) River Management.--(1) The Tribe shall manage, under Tribal
    jurisdiction and in accordance with ordinances adopted by the Tribe,
    land of the Tribe that is adjacent to, and within \1/4\ mile of, the
    Green River in a manner that--
                ``(A) maintains the protected status of the land; and
                ``(B) is consistent with the government-to-government
            agreement and in the memorandum of understanding dated February
            11, 2000, as agreed to by the Tribe and the Secretary of the
            Interior.

        ``(2) An ordinance referred to in paragraph (1) shall not impair,
    limit, or otherwise restrict the management and use of any land that is
    not owned, controlled, or subject to the jurisdiction of the Tribe.

    [[Page 114 STAT. 1654A-487]]

        ``(3) An ordinance adopted by the Tribe and referenced in the
    government-to-government agreement may not be repealed or amended
    without the written approval of both the Tribe and the Secretary of the
    Interior.
        ``(g) Plant Species.--(1) In accordance with a government-to-
    government agreement between the Tribe and the Secretary of the
    Interior, in a manner consistent with levels of legal protection in
    effect on the date of the enactment of the Floyd D. Spence National
    Defense Authorization Act for Fiscal Year 2001, the Tribe shall protect,
    under ordinances adopted by the Tribe, any plant species that is--
                ``(A) listed as an endangered species or threatened species
            under section 4 of the Endangered Species Act of 1973 (16 U.S.C.
            1533); and
                ``(B) located or found on the NOSR-2 land conveyed to the
            Tribe.

        ``(2) The protection described in paragraph (1) shall be performed
    solely under tribal jurisdiction.
        ``(h) Horses.--(1) The Tribe shall manage, protect, and assert
    control over any horse not owned by the Tribe or tribal members that is
    located or found on the NOSR-2 land conveyed to the Tribe in a manner
    that is consistent with Federal law governing the management,
    protection, and control of horses in effect on the date of the enactment
    of the Floyd D. Spence National Defense Authorization Act for Fiscal
    Year 2001.
        ``(2) The management, control, and protection of horses described in
    paragraph (1) shall be performed solely--
                ``(A) under tribal jurisdiction; and
                ``(B) in accordance with a government-to-government
            agreement between the Tribe and the Secretary of the Interior.

        ``(i) Remedial Action at Moab Site.--(1)(A) The Secretary of Energy
    shall prepare a plan for remediation, including ground water
    restoration, of the Moab site in accordance with title I of the Uranium
    Mill Tailings Radiation Control Act of 1978 (42 U.S.C. 7911 et seq.).
    The Secretary of Energy shall enter into arrangements with the National
    Academy of Sciences to obtain the technical advice, assistance, and
    recommendations of the National Academy of Sciences in objectively
    evaluating the costs, benefits, and risks associated with various
    remediation alternatives, including removal or treatment of radioactive
    or other hazardous materials at the site, ground water restoration, and
    long-term management of residual contaminants. If the Secretary prepares
    a remediation plan that is not consistent with the recommendations of
    the National Academy of Sciences, the Secretary shall submit to Congress
    a report explaining the reasons for deviation from the National Academy
    of Sciences' recommendations.
        ``(B) The remediation plan required by subparagraph (A) shall be
    completed not later than one year after the date of the enactment of the
    Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001,
    and the Secretary of Energy shall commence remedial action at the Moab
    site as soon as practicable after the completion of the plan.
        ``(C) The license for the materials at the Moab site issued by the
    Nuclear Regulatory Commission shall terminate one year after the date of
    the enactment of the Floyd D. Spence National Defense Authorization Act
    for Fiscal Year 2001, unless the Secretary of Energy determines that the
    license may be terminated earlier.

    [[Page 114 STAT. 1654A-488]]

    Until the license is terminated, the Trustee, subject to the
    availability of funds appropriated specifically for a purpose described
    in clauses (i) through (iii) or made available by the Trustee from the
    Moab Mill Reclamation Trust, may carry out--
                ``(i) interim measures to reduce or eliminate localized high
            ammonia concentrations in the Colorado River, identified by the
            United States Geological Survey in a report dated March 27,
            2000;
                ``(ii) activities to dewater the mill tailings at the Moab
            site; and
                ``(iii) other activities related to the Moab site, subject
            to the authority of the Nuclear Regulatory Commission and in
            consultation with the Secretary of Energy.

        ``(D) As part of the remediation plan for the Moab site required by
    subparagraph (A), the Secretary of Energy shall develop, in consultation
    with the Trustee, the Nuclear Regulatory Commission, and the State of
    Utah, an efficient and legal means for transferring all responsibilities
    and title to the Moab site and all the materials therein from the
    Trustee to the Department of Energy.
        ``(2) The Secretary of Energy shall limit the amounts expended in
    carrying out the remedial action under paragraph (1) to--
                ``(A) amounts specifically appropriated for the remedial
            action in an appropriation Act; and
                ``(B) other amounts made available for the remedial action
            under this subsection.

        ``(3)(A) The royalty payments received by the Secretary of Energy
    under subsection (e) shall be available to the Secretary, without
    further appropriation, to carry out the remedial action under paragraph
    (1) until such time as the Secretary determines that all costs incurred
    by the United States to carry out the remedial action (other than costs
    associated with long-term monitoring) have been paid.
        ``(B) Upon making the determination referred to in subparagraph (A),
    the Secretary of Energy shall transfer all remaining royalty amounts to
    the general fund of the Treasury and release to the Tribe the royalty
    interest retained by the United States under subsection (e).
        ``(4)(A) Funds made available to the Department of Energy for
    national security activities shall not be used to carry out the remedial
    action under paragraph (1), except that the Secretary of Energy may use
    such funds for program direction directly related to the remedial
    action.
        ``(B) There are authorized to be appropriated to the Secretary of
    Energy to carry out the remedial action under paragraph (1) such sums as
    are necessary.
        ``(5) If the Moab site is sold after the date on which the Secretary
    of Energy completes the remedial action under paragraph (1), the seller
    shall pay to the Secretary of Energy, for deposit in the general fund of
    the Treasury, the portion of the sale price that the Secretary
    determines resulted from the enhancement of the value of the Moab site
    as a result of the remedial action. The enhanced value of the Moab site
    shall be equal to the difference between--
                ``(A) the fair market value of the Moab site on the date of
            the enactment of the Floyd D. Spence National Defense
            Authorization Act for Fiscal Year 2001, based on information
            available on that date; and

    [[Page 114 STAT. 1654A-489]]

                ``(B) the fair market value of the Moab site, as appraised
            on completion of the remedial action.''.

        (b) Uranium Mill Tailings.--Section 102 of the Uranium Mill Tailings
    Radiation Control Act of 1978 (42 U.S.C. 7912) is amended by adding at
    the end the following new subsection:
        ``(f ) Designation of Moab Site as Processing Site.--
                ``(1) Designation.--Notwithstanding any other provision of
            law, the Moab uranium milling site (referred to in this
            subsection as the `Moab site') located approximately three miles
            northwest of Moab, Utah, and identified in the Final
            Environmental Impact Statement issued by the Nuclear Regulatory
            Commission in March 1996 in conjunction with Source Materials
            License No. SUA-917, is designated as a processing site.
                ``(2) Applicability.--This title applies to the Moab site in
            the same manner and to the same extent as to other processing
            sites designated under subsection (a), except that--
                        ``(A) sections 103, 104(b), 107(a), 112(a), and
                    115(a) of this title shall not apply; and
                        ``(B) a reference in this title to the date of the
                    enactment of this Act shall be treated as a reference to
                    the date of the enactment of this subsection.
                ``(3) Remediation.--Subject to the availability of
            appropriations for this purpose, the Secretary shall conduct
            remediation at the Moab site in a safe and environmentally sound
            manner that takes into consideration the remedial action plan
            prepared pursuant to section 3405(i) of the Strom Thurmond
            National Defense Authorization Act for Fiscal Year 1999 (10
            U.S.C. 7420 note; Public Law 105-261), including--
                        ``(A) ground water restoration; and
                        ``(B) the removal, to a site in the State of Utah,
                    for permanent disposition and any necessary
                    stabilization, of residual radioactive material and
                    other contaminated material from the Moab site and the
                    floodplain of the Colorado River.''.

        (c) Conforming Amendment.--Section 3406 of the Strom Thurmond
    National Defense Authorization Act for Fiscal Year 1999 (10 U.S.C. 7420
    note; Public Law 105-261) is amended by adding at the end the following
    new subsection:
        ``(f ) Oil Shale Reserve Numbered 2.--This section does not apply to
    the transfer of Oil Shale Reserve Numbered 2 under section 3405.''.

                       TITLE XXXV--MARITIME ADMINISTRATION

    Sec.3501.Authorization of appropriations for fiscal year 2001.
    Sec.3502.Scrapping of National Defense Reserve Fleet vessels.
    Sec.3503.Authority to convey National Defense Reserve Fleet vessel,
               GLACIER.
    Sec.3504.Maritime intermodal research.
    Sec.3505.Maritime research and technology development.
    Sec.3506.Reporting of administered and oversight funds.

    SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 2001.

        Funds are hereby authorized to be appropriated for fiscal year 2001,
    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:

    [[Page 114 STAT. 1654A-490]]

                (1) For expenses necessary for operations and training
            activities, $94,260,000.
                (2) For expenses under the loan guarantee program authorized
            by title XI of the Merchant Marine Act, 1936 (46 App. U.S.C.
            1271 et seq.), $54,179,000, of which--
                        (A) $50,000,000 is for the cost (as defined in
                    section 502(5) of the Federal Credit Reform Act of 1990
                    (2 U.S.C. 661a(5))) of loan guarantees under the
                    program; and
                        (B) $4,179,000 is for administrative expenses
                    related to loan guarantee commitments under the program.

    SEC. 3502. SCRAPPING OF NATIONAL DEFENSE RESERVE FLEET VESSELS.

        (a) Extension of Scrapping Authority Under National Maritime
    Heritage Act of 1994.--Section 6(c)(1) of the National Maritime Heritage
    Act of 1994 (16 U.S.C. 5405(c)(1)) is amended--
                (1) in subparagraph (A) by striking ``2001'' and inserting
            ``2006''; and
                (2) by striking subparagraph (B) and inserting the
            following:
                        ``(B) in the manner that provides the best value to
                    the Government, except in any case in which obtaining
                    the best value would require towing a vessel and such
                    towing poses a serious threat to the environment; and''.

        (b) Selection of Scrapping Facilities.--The Secretary of
    Transportation may scrap obsolete vessels pursuant to section 6(c)(1) of
    the National Maritime Heritage Act of 1994 (16 U.S.C. 5405(c)(1))
    through qualified scrapping facilities, using the most expeditious
    scrapping methodology and location practicable. Scrapping facilities
    shall be selected under that section on a best value basis consistent
    with the Federal Acquisition Regulation, as in effect on the date of the
    enactment of this Act, without any predisposition toward foreign or
    domestic facilities taking into consideration, among other things, the
    ability of facilities to scrap vessels--
                (1) at least cost to the Government;
                (2) in a timely manner;
                (3) giving consideration to worker safety and the
            environment; and
                (4) in a manner that minimizes the geographic distance that
            a vessel must be towed when towing a vessel poses a serious
            threat to the environment.

        (c) Limitation on Scrapping Before Program.--
                (1) In general.--Until the report required by subsection
            (d)(1) is transmitted to the congressional committees referred
            to in that subsection, the Secretary may not proceed with the
            scrapping of any vessel in the National Defense Reserve Fleet
            except the following:
                        (A) DONNER.
                        (B) EXPORT COMMERCE.
                        (C) BUILDER.
                        (D) ALBERT E. WATTS.
                        (E) WAYNE VICTORY.
                        (F) MORMACDAWN.
                        (G) MORMACMOON.
                        (H) SANTA ELENA.
                        (I) SANTA ISABEL.
                        (J) SANTA CRUZ.

    [[Page 114 STAT. 1654A-491]]

                        (K) PROTECTOR.
                        (L) LAUDERDALE.
                        (N) PVT. FRED C. MURPHY.
                        (M) BEAUJOLAIS.
                        (O) MEACHAM.
                        (P) NEACO.
                        (Q) WABASH.
                        (R) NEMASKET.
                        (S) MIRFAK.
                        (T) GEN. ALEX M. PATCH.
                        (U) ARTHUR M. HUDDELL.
                        (V) WASHINGTON.
                        (W) SUFFOLK COUNTY.
                        (X) CRANDALL.
                        (Y) CRILLEY.
                        (Z) RIGEL.
                        (AA) VEGA.
                        (BB) COMPASS ISLAND.
                        (CC) EXPORT CHALLENGER.
                        (DD) PRESERVER.
                        (EE) MARINE FIDDLER.
                        (FF) WOOD COUNTY.
                        (GG) CATAWBA VICTORY.
                        (HH) GEN. NELSON M. WALKER.
                        (II) LORAIN COUNTY.
                        (JJ) LYNCH.
                        (KK) MISSION SANTA YNEZ.
                        (LL) CALOOSAHATCHEE.
                        (MM) CANISTEO.
                (2) Prioritization.--The Secretary shall exercise discretion
            to prioritize for scrapping those vessels identified in
            paragraph (1) that pose the most immediate threat to the
            environment.

        (d) Scrapping Program for Obsolete National Defense Reserve Fleet
    Vessels.--
                (1) Development of program; report.--The Secretary of
            Transportation, in consultation with the Secretary of the Navy
            and the Administrator of the Environmental Protection Agency,
            shall within 6 months after the date of the enactment of this
            Act--
                        (A) develop a program for the scrapping of obsolete
                    National Defense Reserve Fleet vessels; and
                        (B) submit a report on the program to the Committee
                    on Transportation and Infrastructure and the Committee
                    on Resources of the House of Representatives, the
                    Committee on Commerce, Science, and Transportation of
                    the Senate, and the Committees on Armed Services of the
                    House of Representatives and the Senate.
                (2) Contents of report.--The report shall include
            information concerning the initial determination of scrapping
            capacity, both domestically and abroad, appropriate proposed
            regulations to implement the program, funding and staffing
            requirements, milestone dates for the disposal of each obsolete
            vessel, and longterm cost estimates for the program.
                (3) Alternatives.--In developing the program, the Secretary
            of Transportation, in consultation with the Secretary

    [[Page 114 STAT. 1654A-492]]

            of the Navy and the Administrator of the Environmental
            Protection Agency, shall consider all alternatives and available
            information, including--
                        (A) alternative scrapping sites;
                        (B) vessel donations;
                        (C) sinking of vessels in deep water;
                        (D) sinking vessels for development of artificial
                    reefs;
                        (E) sales of vessels before they become obsolete;
                        (F) results from the Navy Ship Disposal Program
                    under section 8124 of the Department of Defense
                    Appropriations Act, 1999; and
                        (G) the Report of the Department of Defense's
                    Interagency Panel on Ship Scrapping issued in April
                    1998.

        (e) Report.--Not later than 1 year after the date of the enactment
    of this Act, and every 6 months thereafter, the Secretary of
    Transportation, in coordination with the Secretary of the Navy, shall
    report to the Committee on Transportation and Infrastructure and the
    Committee on Resources of the House of Representatives, the Committee on
    Commerce, Science, and Transportation of the Senate, and the Committees
    on Armed Services of the House of Representatives and the Senate on the
    progress of the vessel scrapping program developed under subsection
    (d)(1) and on the progress of any other scrapping of obsolete
    Government-owned vessels.
        (f ) Presidential Recommendation.--The President shall transmit with
    the report required by subsection (d)(1) a recommendation on--
                (1) whether it is necessary to amend the Toxic Substances
            Control Act (15 U.S.C. 2601 et seq.) or any other environmental
            statute or regulatory requirements relevant to the disposal of
            vessels described in section 6(c)(2) of the National Maritime
            Heritage Act of 1994 (16 U.S.C. 5405(c)(2)) by September 30,
            2006; and
                (2) any proposed changes to those requirements to carry out
            such disposals.

    SEC. 3503. AUTHORITY TO CONVEY NATIONAL DEFENSE RESERVE FLEET VESSEL,
                GLACIER.

        (a) Authority To Convey.--The Secretary of Transportation (in this
    section referred to as ``the Secretary'') may, subject to subsection
    (b), convey all right, title, and interest of the United States
    Government in and to the vessel in the National Defense Reserve Fleet
    that was formerly the U.S.S. GLACIER (United States official number AGB-
    4) to the Glacier Society, Inc., a corporation established under the
    laws of the State of Connecticut that is located in Bridgeport,
    Connecticut (in this section referred to as the ``recipient'').
        (b) Terms of Conveyance.--
                (1) Required conditions.--The Secretary may not convey a
            vessel under this section unless the recipient--
                        (A) agrees to use the vessel for the purpose of a
                    monument to the accomplishments of members of the Armed
                    Forces of the United States, civilians, scientists, and
                    diplomats in exploration of the Arctic and the
                    Antarctic;
                        (B) agrees that the vessel will not be used for
                    commercial purposes;

    [[Page 114 STAT. 1654A-493]]

                        (C) agrees to make the vessel available to the
                    Government if the Secretary requires use of the vessel
                    by the Government for war or national emergency;
                        (D) agrees to hold the Government harmless for any
                    claims arising from exposure to asbestos,
                    polychlorinated biphenyls, or lead paint after the
                    conveyance of the vessel, except for claims arising from
                    use of the vessel by the Government pursuant to the
                    agreement under subparagraph (C); and
                        (E) provides sufficient evidence to the Secretary
                    that it has available for use to restore the vessel, in
                    the form of cash, liquid assets, or a written loan
                    commitment, financial resources of at least $100,000.
                (2) Delivery of vessel.--If the Secretary conveys the vessel
            under this section, the Secretary shall deliver the vessel--
                        (A) at the place where the vessel is located on the
                    date of conveyance;
                        (B) in its condition on that date; and
                        (C) at no cost to the United States Government.
                (3) Additional terms.--The Secretary may require such
            additional terms in connection with the conveyance authorized by
            this section as the Secretary considers appropriate.

        (c) Other Unneeded Equipment.--If the Secretary conveys the vessel
    under this section, the Secretary may also convey to the recipient any
    unneeded equipment from other vessels in the National Defense Reserve
    Fleet or Government storage facilities for use to restore the vessel to
    museum quality or to its original configuration (or both).
        (d) Retention of Vessel in NDRF.--The Secretary shall retain in the
    National Defense Reserve Fleet the vessel authorized to be conveyed
    under this section until the earlier of--
                (1) 2 years after the date of the enactment of this Act; or
                (2) the date of the conveyance of the vessel under this
            section.

    SEC. 3504. MARITIME INTERMODAL RESEARCH.

        Section 8 of Public Law 101-115 (46 U.S.C. App. 1121-2) is amended
    by adding at the end thereof the following:
        ``(f ) University Transportation Research Funds.--
                ``(1) In general.--The Secretary may make a grant under
            section 5505 of title 49, United States Code, to an institute
            designated under subsection (a) for maritime and maritime
            intermodal research under that section as if the institute were
            a university transportation center.
                ``(2) Advice and consultation of marad.--In making a grant
            under the authority of paragraph (1), the Secretary, through the
            Research and Special Programs Administration, shall advise the
            Maritime Administration concerning the availability of funds for
            the grants, and consult with the Administration on the making of
            the grants.''.

    SEC. 3505. MARITIME RESEARCH AND TECHNOLOGY DEVELOPMENT.

        (a) In General.--The Secretary of Transportation shall conduct a
    study of maritime research and technology development, and

    [[Page 114 STAT. 1654A-494]]

    report its findings and conclusions, together with any recommendations
    it finds appropriate, to the Congress within 9 months after the date of
    the enactment of this Act.
        (b) Required Areas of Study.--The Secretary shall include the
    following items in the report required by subsection (a):
                (1) The approximate dollar values appropriated by the
            Congress for each of the 5 fiscal years ending before the study
            is commenced for each of the following modes of transportation:
                        (A) Highway.
                        (B) Rail.
                        (C) Aviation.
                        (D) Public transit.
                        (E) Maritime.
                (2) A description of how Federal funds appropriated for
            research in the different transportation modes are utilized.
                (3) A summary and description of current research and
            technology development funds appropriated for each of those
            fiscal years for maritime research initiatives, with separate
            categories for funds provided to the Coast Guard for marine
            safety research purposes.
                (4) A description of cooperative mechanisms that could be
            used to attract and leverage non-federal investments in United
            States maritime research and technology development and
            application programs, including the potential for the creation
            of maritime transportation research centers and the benefits of
            cooperating with existing surface transportation research
            centers.
                (5) Proposals for research and technology development
            funding to facilitate the evolution of Maritime Transportation
            System.

        (c) Authorization of Appropriations.--Of the amounts authorized to
    be appropriated under section 3401 for operations and training, $100,000
    is authorized to carry out this section.

    SEC. 3506. REPORTING OF ADMINISTERED AND OVERSIGHT FUNDS.

        The Maritime Administration, in its annual report to the Congress
    under section 208 of the Merchant Marine Act, 1936 (46 U.S.C. App.
    1118), and in its annual budget estimate submitted to the Congress,
    shall state separately the amount, source, intended use, and nature of
    any funds (other than funds appropriated to the Administration or to the
    Secretary of Transportation for use by the Administration) administered,
    or subject to oversight, by the Administration.

     TITLE XXXVI--ENERGY EMPLOYEES OCCUPATIONAL ILLNESS COMPENSATION PROGRAM

    Sec.3601.Short title.
    Sec.3602.Findings; sense of Congress.

     Subtitle A--Establishment of Compensation Program and Compensation Fund

    Sec.3611.Establishment of Energy Employees Occupational Illness
               Compensation Program.
    Sec.3612.Establishment of Energy Employees Occupational Illness
               Compensation Fund.

    [[Page 114 STAT. 1654A-495]]

    Sec.3613.Legislative proposal.
    Sec.3614.Authorization of appropriations.

                       Subtitle B--Program Administration

    Sec.3621.Definitions for program administration.
    Sec.3622.Expansion of list of beryllium vendors.
    Sec.3623.Exposure in the performance of duty.
    Sec.3624.Advisory Board on Radiation and Worker Health.
    Sec.3625.Responsibilities of Secretary of Health and Human Services.
    Sec.3626.Designation of additional members of Special Exposure Cohort.
    Sec.3627.Separate treatment of chronic silicosis.
    Sec.3628.Compensation and benefits to be provided.
    Sec.3629.Medical benefits.
    Sec.3630.Separate treatment of certain uranium employees.
    Sec.3631.Assistance for claimants and potential claimants.

    Subtitle C--Treatment, Coordination, and Forfeiture of Compensation and
                                    Benefits

    Sec.3641.Offset for certain payments.
    Sec.3642.Subrogation of the United States.
    Sec.3643.Payment in full settlement of claims.
    Sec.3644.Exclusivity of remedy against the United States and against
               contractors and subcontractors.
    Sec.3645.Election of remedy for beryllium employees and atomic weapons
               employees.
    Sec.3646.Certification of treatment of payments under other laws.
    Sec.3647.Claims not assignable or transferable; choice of remedies.
    Sec.3648.Attorney fees.
    Sec.3649.Certain claims not affected by awards of damages.
    Sec.3650.Forfeiture of benefits by convicted felons.
    Sec.3651.Coordination with other Federal radiation compensation laws.

        Subtitle D--Assistance in State Workers' Compensation Proceedings

    Sec.3661.Agreements with States.

    SEC. 3601. SHORT TITLE.

        This title may be cited as the ``Energy Employees Occupational
    Illness Compensation Program Act of 2000''.

    SEC. 3602. FINDINGS; SENSE OF CONGRESS.

        (a) Findings.--The Congress finds the following:
                (1) Since World War II, Federal nuclear activities have been
            explicitly recognized under Federal law as activities that are
            ultra-hazardous. Nuclear weapons production and testing have
            involved unique dangers, including potential catastrophic
            nuclear accidents that private insurance carriers have not
            covered and recurring exposures to radioactive substances and
            beryllium that, even in small amounts, can cause medical harm.
                (2) Since the inception of the nuclear weapons program and
            for several decades afterwards, a large number of nuclear
            weapons workers at sites of the Department of Energy and at
            sites of vendors who supplied the Cold War effort were put at
            risk without their knowledge and consent for reasons that,
            documents reveal, were driven by fears of adverse publicity,
            liability, and employee demands for hazardous duty pay.
                (3) Many previously secret records have documented
            unmonitored exposures to radiation and beryllium and continuing
            problems at these sites across the Nation, at which the
            Department of Energy and its predecessor agencies have been,
            since World War II, self-regulating with respect to nuclear
            safety and occupational safety and health. No other hazardous
            Federal activity has been permitted to be carried out under such
            sweeping powers of self-regulation.
                (4) The policy of the Department of Energy has been to
            litigate occupational illness claims, which has deterred workers

    [[Page 114 STAT. 1654A-496]]

            from filing workers' compensation claims and has imposed major
            financial burdens for such employees who have sought
            compensation. Contractors of the Department have been held
            harmless and the employees have been denied workers'
            compensation coverage for occupational disease.
                (5) Over the past 20 years, more than two dozen scientific
            findings have emerged that indicate that certain of such
            employees are experiencing increased risks of dying from cancer
            and non-malignant diseases. Several of these studies have also
            established a correlation between excess diseases and exposure
            to radiation and beryllium.
                (6) While linking exposure to occupational hazards with the
            development of occupational disease is sometimes difficult,
            scientific evidence supports the conclusion that occupational
            exposure to dust particles or vapor of beryllium can cause
            beryllium sensitivity and chronic beryllium disease.
            Furthermore, studies indicate than 98 percent of radiation-
            induced cancers within the nuclear weapons complex have occurred
            at dose levels below existing maximum safe thresholds.
                (7) Existing information indicates that State workers'
            compensation programs do not provide a uniform means of ensuring
            adequate compensation for the types of occupational illnesses
            and diseases that relate to the employees at those sites.
                (8) To ensure fairness and equity, the civilian men and
            women who, over the past 50 years, have performed duties
            uniquely related to the nuclear weapons production and testing
            programs of the Department of Energy and its predecessor
            agencies should have efficient, uniform, and adequate
            compensation for beryllium-related health conditions and
            radiation-related health conditions.
                (9) On April 12, 2000, the Secretary of Energy announced
            that the Administration intended to seek compensation for
            individuals with a broad range of work-related illnesses
            throughout the Department of Energy's nuclear weapons complex.
                (10) However, as of October 2, 2000, the Administration has
            failed to provide Congress with the necessary legislative and
            budget proposals to enact the promised compensation program.

        (b) Sense of Congress.--It is the sense of Congress that--
                (1) a program should be established to provide compensation
            to covered employees;
                (2) a fund for payment of such compensation should be
            established on the books of the Treasury;
                (3) payments from that fund should be made only after--
                        (A) the identification of employees of the
                    Department of Energy (including its predecessor
                    agencies), and of contractors of the Department, who may
                    be members of the group of covered employees;
                        (B) the establishment of a process to receive and
                    administer claims for compensation for disability or
                    death of covered employees;
                        (C) the submittal by the President of a legislative
                    proposal for compensation of such employees that
                    includes the estimated annual budget resources for that
                    compensation; and

    [[Page 114 STAT. 1654A-497]]

                        (D) consideration by the Congress of the legislative
                    proposal submitted by the President; and
                (4) payments from that fund should commence not later than
            fiscal year 2002.

     Subtitle A--Establishment of Compensation Program and Compensation Fund

    SEC. 3611. ESTABLISHMENT OF ENERGY EMPLOYEES OCCUPATIONAL ILLNESS
                COMPENSATION PROGRAM.

        (a) Program Established.--There is hereby established a program to
    be known as the ``Energy Employees Occupational Illness Compensation
    Program'' (in this title referred to as the ``compensation program'').
    The President shall carry out the compensation program through one or
    more Federal agencies or officials, as designated by the President.
        (b) Purpose of Program.--The purpose of the compensation program is
    to provide for timely, uniform, and adequate compensation of covered
    employees and, where applicable, survivors of such employees, suffering
    from illnesses incurred by such employees in the performance of duty for
    the Department of Energy and certain of its contractors and
    subcontractors.
        (c) Eligibility for Compensation.--The eligibility of covered
    employees for compensation under the compensation program shall be
    determined in accordance with the provisions of subtitle B as may be
    modified by a law enacted after the date of the submittal of the
    proposal for legislation required by section 3613.

    SEC. 3612. ESTABLISHMENT OF ENERGY EMPLOYEES OCCUPATIONAL ILLNESS
                COMPENSATION FUND.

        (a) Establishment.--There is hereby established on the books of the
    Treasury a fund to be known as the ``Energy Employees Occupational
    Illness Compensation Fund'' (in this title referred to as the
    ``compensation fund'').
        (b) Amounts in Compensation Fund.--The compensation fund shall
    consist of the following amounts:
                (1) Amounts appropriated to the compensation fund pursuant
            to the authorization of appropriations in section 3614(b).
                (2) Amounts transferred to the compensation fund under
            subsection (c).

        (c) Financing of Compensation Fund.--Upon the exhaustion of amounts
    in the compensation fund attributable to the authorization of
    appropriations in section 3614(b), the Secretary of the Treasury shall
    transfer directly to the compensation fund from the General Fund of the
    Treasury, without further appropriation, such amounts as are further
    necessary to carry out the compensation program.
        (d) Use of Compensation Fund.--Subject to subsection (e), amounts in
    the compensation fund shall be used to carry out the compensation
    program.
        (e) Administrative Costs Not Paid From Compensation Fund.--No cost
    incurred in carrying out the compensation program, or in administering
    the compensation fund, shall be paid from the compensation fund or set
    off against or otherwise deducted from any payment to any individual
    under the compensation program.

    [[Page 114 STAT. 1654A-498]]

        (f ) Investment of Amounts in Compensation Fund.--Amounts in the
    compensation fund shall be invested in accordance with section 9702 of
    title 31, United States Code, and any interest on, and proceeds from,
    any such investment shall be credited to and become a part of the
    compensation fund.

    SEC. 3613. LEGISLATIVE PROPOSAL.

        (a) Legislative Proposal Required.--Not later than March 15, 2001,
    the President shall submit to Congress a proposal for legislation to
    implement the compensation program. The proposal for legislation shall
    include, at a minimum, the specific recommendations (including draft
    legislation) of the President for the following:
                (1) The types of compensation and benefits, including lost
            wages, medical benefits, and any lump-sum settlement payments,
            to be provided under the compensation program.
                (2) Any adjustments or modifications necessary to
            appropriately administer the compensation program under subtitle
            B.
                (3) Whether to expand the compensation program to include
            other illnesses associated with exposure to toxic substances.
                (4) Whether to expand the class of individuals who are
            members of the Special Exposure Cohort (as defined in section
            3621(14)).

        (b) Assessment of Potential Covered Employees and Required
    Amounts.--The President shall include with the proposal for legislation
    under subsection (a) the following:
                (1) An estimate of the number of covered employees that the
            President determines were exposed in the performance of duty.
                (2) An estimate, for each fiscal year of the compensation
            program, of the amounts to be required for compensation and
            benefits anticipated to be provided in such fiscal year under
            the compensation program.

    SEC. 3614. AUTHORIZATION OF APPROPRIATIONS.

        (a) In General.--Pursuant to the authorization of appropriations in
    section 3103(a), $25,000,000 may be used for purposes of carrying out
    this title.
        (b) Compensation Fund.--There is hereby authorized to be
    appropriated $250,000,000 to the Energy Employees Occupational Illness
    Compensation Fund established by section 3612.

                       Subtitle B--Program Administration

    SEC. 3621. DEFINITIONS FOR PROGRAM ADMINISTRATION.

        In this title:
                (1) The term ``covered employee'' means any of the
            following:
                        (A) A covered beryllium employee.
                        (B) A covered employee with cancer.
                        (C) To the extent provided in section 3627, a
                    covered employee with chronic silicosis (as defined in
                    that section).
                (2) The term ``atomic weapon'' has the meaning given that
            term in section 11 d. of the Atomic Energy Act of 1954 (42
            U.S.C. 2014(d)).

    [[Page 114 STAT. 1654A-499]]

                (3) The term ``atomic weapons employee'' means an individual
            employed by an atomic weapons employer during a period when the
            employer was processing or producing, for the use by the United
            States, material that emitted radiation and was used in the
            production of an atomic weapon, excluding uranium mining and
            milling.
                (4) The term ``atomic weapons employer'' means an entity,
            other than the United States, that--
                        (A) processed or produced, for use by the United
                    States, material that emitted radiation and was used in
                    the production of an atomic weapon, excluding uranium
                    mining and milling; and
                        (B) is designated by the Secretary of Energy as an
                    atomic weapons employer for purposes of the compensation
                    program.
                (5) The term ``atomic weapons employer facility'' means a
            facility, owned by an atomic weapons employer, that is or was
            used to process or produce, for use by the United States,
            material that emitted radiation and was used in the production
            of an atomic weapon, excluding uranium mining or milling.
                (6) The term ``beryllium vendor'' means any of the
            following:
                        (A) Atomics International.
                        (B) Brush Wellman, Incorporated, and its
                    predecessor, Brush Beryllium Company.
                        (C) General Atomics.
                        (D) General Electric Company.
                        (E) NGK Metals Corporation and its predecessors,
                    Kawecki-Berylco, Cabot Corporation, BerylCo, and
                    Beryllium Corporation of America.
                        (F) Nuclear Materials and Equipment Corporation.
                        (G) StarMet Corporation and its predecessor, Nuclear
                    Metals, Incorporated.
                        (H) Wyman Gordan, Incorporated.
                        (I) Any other vendor, processor, or producer of
                    beryllium or related products designated as a beryllium
                    vendor for purposes of the compensation program under
                    section 3622.
                (7) The term ``covered beryllium employee'' means the
            following, if and only if the employee is determined to have
            been exposed to beryllium in the performance of duty in
            accordance with section 3623(a):
                        (A) A current or former employee (as that term is
                    defined in section 8101(1) of title 5, United States
                    Code) who may have been exposed to beryllium at a
                    Department of Energy facility or at a facility owned,
                    operated, or occupied by a beryllium vendor.
                        (B) A current or former employee of--
                              (i) any entity that contracted with the
                          Department of Energy to provide management and
                          operation, management and integration, or
                          environmental remediation of a Department of
                          Energy facility; or
                              (ii) any contractor or subcontractor that
                          provided services, including construction and
                          maintenance, at such a facility.
                        (C) A current or former employee of a beryllium
                    vendor, or of a contractor or subcontractor of a
                    beryllium vendor, during a period when the vendor was
                    engaged in activities

    [[Page 114 STAT. 1654A-500]]

                    related to the production or processing of beryllium for
                    sale to, or use by, the Department of Energy.
                (8) The term ``covered beryllium illness'' means any of the
            following:
                        (A) Beryllium sensitivity as established by an
                    abnormal beryllium lymphocyte proliferation test
                    performed on either blood or lung lavage cells.
                        (B) Established chronic beryllium disease.
                        (C) Any injury, illness, impairment, or disability
                    sustained as a consequence of a covered beryllium
                    illness referred to in subparagraph (A) or (B).
                (9) The term ``covered employee with cancer'' means any of
            the following:
                        (A) An individual with a specified cancer who is a
                    member of the Special Exposure Cohort, if and only if
                    that individual contracted that specified cancer after
                    beginning employment at a Department of Energy facility
                    (in the case of a Department of Energy employee or
                    Department of Energy contractor employee) or at an
                    atomic weapons employer facility (in the case of an
                    atomic weapons employee).
                        (B)(i) An individual with cancer specified in
                    subclause (I), (II), or (III) of clause (ii), if and
                    only if that individual is determined to have sustained
                    that cancer in the performance of duty in accordance
                    with section 3623(b).
                        (ii) Clause (i) applies to any of the following:
                              (I) A Department of Energy employee who
                          contracted that cancer after beginning employment
                          at a Department of Energy facility.
                              (II) A Department of Energy contractor
                          employee who contracted that cancer after
                          beginning employment at a Department of Energy
                          facility.
                              (III) An atomic weapons employee who
                          contracted that cancer after beginning employment
                          at an atomic weapons employer facility.
                (10) The term ``Department of Energy'' includes the
            predecessor agencies of the Department of Energy, including the
            Manhattan Engineering District.
                (11) The term ``Department of Energy contractor employee''
            means any of the following:
                        (A) An individual who is or was in residence at a
                    Department of Energy facility as a researcher for one or
                    more periods aggregating at least 24 months.
                        (B) An individual who is or was employed at a
                    Department of Energy facility by--
                              (i) an entity that contracted with the
                          Department of Energy to provide management and
                          operating, management and integration, or
                          environmental remediation at the facility; or
                              (ii) a contractor or subcontractor that
                          provided services, including construction and
                          maintenance, at the facility.
                (12) The term ``Department of Energy facility'' means any
            building, structure, or premise, including the grounds upon
            which such building, structure, or premise is located--
                        (A) in which operations are, or have been, conducted
                    by, or on behalf of, the Department of Energy (except

    [[Page 114 STAT. 1654A-501]]

                    for buildings, structures, premises, grounds, or
                    operations covered by Executive Order No. 12344, dated
                    February 1, 1982 (42 U.S.C. 7158 note), pertaining to
                    the Naval Nuclear Propulsion Program); and
                        (B) with regard to which the Department of Energy
                    has or had--
                              (i) a proprietary interest; or
                              (ii) entered into a contract with an entity to
                          provide management and operation, management and
                          integration, environmental remediation services,
                          construction, or maintenance services.
                (13) The term ``established chronic beryllium disease''
            means chronic beryllium disease as established by the following:
                        (A) For diagnoses on or after January 1, 1993,
                    beryllium sensitivity (as established in accordance with
                    paragraph (8)(A)), together with lung pathology
                    consistent with chronic beryllium disease, including--
                              (i) a lung biopsy showing granulomas or a
                          lymphocytic process consistent with chronic
                          beryllium disease;
                              (ii) a computerized axial tomography scan
                          showing changes consistent with chronic beryllium
                          disease; or
                              (iii) pulmonary function or exercise testing
                          showing pulmonary deficits consistent with chronic
                          beryllium disease.
                        (B) For diagnoses before January 1, 1993, the
                    presence of--
                              (i) occupational or environmental history, or
                          epidemiologic evidence of beryllium exposure; and
                              (ii) any three of the following criteria:
                                        (I) Characteristic chest
                                    radiographic (or computed tomography
                                    (CT)) abnormalities.
                                        (II) Restrictive or obstructive lung
                                    physiology testing or diffusing lung
                                    capacity defect.
                                        (III) Lung pathology consistent with
                                    chronic beryllium disease.
                                        (IV) Clinical course consistent with
                                    a chronic respiratory disorder.
                                        (V) Immunologic tests showing
                                    beryllium sensitivity (skin patch test
                                    or beryllium blood test preferred).
                (14) The term ``member of the Special Exposure Cohort''
            means a Department of Energy employee, Department of Energy
            contractor employee, or atomic weapons employee who meets any of
            the following requirements:
                        (A) The employee was so employed for a number of
                    work days aggregating at least 250 work days before
                    February 1, 1992, at a gaseous diffusion plant located
                    in Paducah, Kentucky, Portsmouth, Ohio, or Oak Ridge,
                    Tennessee, and, during such employment--
                              (i) was monitored through the use of dosimetry
                          badges for exposure at the plant of the external
                          parts of employee's body to radiation; or
                              (ii) worked in a job that had exposures
                          comparable to a job that is or was monitored
                          through the use of dosimetry badges.

    [[Page 114 STAT. 1654A-502]]

                        (B) The employee was so employed before January 1,
                    1974, by the Department of Energy or a Department of
                    Energy contractor or subcontractor on Amchitka Island,
                    Alaska, and was exposed to ionizing radiation in the
                    performance of duty related to the Long Shot, Milrow, or
                    Cannikin underground nuclear tests.
                        (C)(i) Subject to clause (ii), the employee is an
                    individual designated as a member of the Special
                    Exposure Cohort by the President for purposes of the
                    compensation program under section 3626.
                        (ii) A designation under clause (i) shall, unless
                    Congress otherwise provides, take effect on the date
                    that is 180 days after the date on which the President
                    submits to Congress a report identifying the individuals
                    covered by the designation and describing the criteria
                    used in designating those individuals.
                (15) The term ``occupational illness'' means a covered
            beryllium illness, cancer referred to in section 3621(9)(B),
            specified cancer, or chronic silicosis, as the case may be.
                (16) The term ``radiation'' means ionizing radiation in the
            form of--
                        (A) alpha particles;
                        (B) beta particles;
                        (C) neutrons;
                        (D) gamma rays; or
                        (E) accelerated ions or subatomic particles from
                    accelerator machines.
                (17) The term ``specified cancer'' means any of the
            following:
                        (A) A specified disease, as that term is defined in
                    section 4(b)(2) of the Radiation Exposure Compensation
                    Act (42 U.S.C. 2210 note).
                        (B) Bone cancer.
                (18) The term ``survivor'' means any individual or
            individuals eligible to receive compensation pursuant to section
            8133 of title 5, United States Code.

    SEC. 3622. EXPANSION OF LIST OF BERYLLIUM VENDORS.

        Not later than December 31, 2002, the President may, in consultation
    with the Secretary of Energy, designate as a beryllium vendor for
    purposes of section 3621(6) any vendor, processor, or producer of
    beryllium or related products not previously listed under or designated
    for purposes of such section 3621(6) if the President finds that such
    vendor, processor, or producer has been engaged in activities related to
    the production or processing of beryllium for sale to, or use by, the
    Department of Energy in a manner similar to the entities listed in such
    section 3621(6).

    SEC. 3623. EXPOSURE IN THE PERFORMANCE OF DUTY.

        (a) Beryllium.--A covered beryllium employee shall, in the absence
    of substantial evidence to the contrary, be determined to have been
    exposed to beryllium in the performance of duty for the purposes of the
    compensation program if, and only if, the covered beryllium employee
    was--
                (1) employed at a Department of Energy facility; or
                (2) present at a Department of Energy facility, or a
            facility owned and operated by a beryllium vendor, because of
            employment by the United States, a beryllium vendor, or a
            contractor or subcontractor of the Department of Energy,

    [[Page 114 STAT. 1654A-503]]

    during a period when beryllium dust, particles, or vapor may have been
    present at such facility.
        (b) Cancer.--An individual with cancer specified in subclause (I),
    (II), or (III) of section 3621(9)(B)(ii) shall be determined to have
    sustained that cancer in the performance of duty for purposes of the
    compensation program if, and only if, the cancer specified in that
    subclause was at least as likely as not related to employment at the
    facility specified in that subclause, as determined in accordance with
    the guidelines established under subsection (c).
        (c) Guidelines.--(1) For purposes of the compensation program, the
    President shall by regulation establish guidelines for making the
    determinations required by subsection (b).
        (2) The President shall establish such guidelines after technical
    review by the Advisory Board on Radiation and Worker Health under
    section 3624.
        (3) Such guidelines shall--
                (A) be based on the radiation dose received by the employee
            (or a group of employees performing similar work) at such
            facility and the upper 99 percent confidence interval of the
            probability of causation in the radioepidemiological tables
            published under section 7(b) of the Orphan Drug Act (42 U.S.C.
            241 note), as such tables may be updated under section 7(b)(3)
            of such Act from time to time;
                (B) incorporate the methods established under subsection
            (d); and
                (C) take into consideration the type of cancer, past health-
            related activities (such as smoking), information on the risk of
            developing a radiation-related cancer from workplace exposure,
            and other relevant factors.

        (d) Methods for Radiation Dose Reconstructions.--(1) The President
    shall, through any Federal agency (other than the Department of Energy)
    or official (other than the Secretary of Energy or any other official
    within the Department of Energy) that the President may designate,
    establish by regulation methods for arriving at reasonable estimates of
    the radiation doses received by an individual specified in subparagraph
    (B) of section 3621(9) at a facility specified in that subparagraph by
    each of the following employees:
                (A) An employee who was not monitored for exposure to
            radiation at such facility.
                (B) An employee who was monitored inadequately for exposure
            to radiation at such facility.
                (C) An employee whose records of exposure to radiation at
            such facility are missing or incomplete.

        (2) The President shall establish an independent review process
    using the Advisory Board on Radiation and Worker Health to--
                (A) assess the methods established under paragraph (1); and
                (B) verify a reasonable sample of the doses established
            under paragraph (1).

        (e) Information on Radiation Doses.--(1) The Secretary of Energy
    shall provide, to each covered employee with cancer specified in section
    3621(9)(B), information specifying the estimated radiation dose of that
    employee during each employment specified in section 3621(9)(B), whether
    established by a dosimetry reading, by a method established under
    subsection (d), or by both a dosimetry reading and such method.

    [[Page 114 STAT. 1654A-504]]

        (2) The Secretary of Health and Human Services and the Secretary of
    Energy shall each make available to researchers and the general public
    information on the assumptions, methodology, and data used in
    establishing radiation doses under subsection (d). The actions taken
    under this paragraph shall be consistent with the protection of private
    medical records.

    SEC. 3624. ADVISORY BOARD ON RADIATION AND WORKER HEALTH.

        (a) Establishment.--(1) Not later than 120 days after the date of
    the enactment of this Act, the President shall establish and appoint an
    Advisory Board on Radiation and Worker Health (in this section referred
    to as the ``Board'').
        (2) The President shall make appointments to the Board in
    consultation with organizations with expertise on worker health issues
    in order to ensure that the membership of the Board reflects a balance
    of scientific, medical, and worker perspectives.
        (3) The President shall designate a Chair for the Board from among
    its members.
        (b) Duties.--The Board shall advise the President on--
                (1) the development of guidelines under section 3623(c);
                (2) the scientific validity and quality of dose estimation
            and reconstruction efforts being performed for purposes of the
            compensation program; and
                (3) such other matters related to radiation and worker
            health in Department of Energy facilities as the President
            considers appropriate.

        (c) Staff.--(1) The President shall appoint a staff to facilitate
    the work of the Board. The staff shall be headed by a Director who shall
    be appointed under subchapter VIII of chapter 33 of title 5, United
    States Code.
        (2) The President may accept as staff of the Board personnel on
    detail from other Federal agencies. The detail of personnel under this
    paragraph may be on a nonreimbursable basis.
        (d) Expenses.--Members of the Board, other than full-time employees
    of the United States, while attending meetings of the Board or while
    otherwise serving at the request of the President, while serving away
    from their homes or regular places of business, shall be allowed travel
    and meal expenses, including per diem in lieu of subsistence, as
    authorized by section 5703 of title 5, United States Code, for
    individuals in the Government serving without pay.

    SEC. 3625. RESPONSIBILITIES OF SECRETARY OF HEALTH AND HUMAN SERVICES.

        The Secretary of Health and Human Services shall carry out that
    Secretary's responsibilities with respect to the compensation program
    with the assistance of the Director of the National Institute for
    Occupational Safety and Health.

    SEC. 3626. DESIGNATION OF ADDITIONAL MEMBERS OF SPECIAL EXPOSURE COHORT.

        (a) Advice on Additional Members.--(1) The Advisory Board on
    Radiation and Worker Health under section 3624 shall advise the
    President whether there is a class of employees at any Department of
    Energy facility who likely were exposed to radiation at that facility
    but for whom it is not feasible to estimate with sufficient accuracy the
    radiation dose they received.

    [[Page 114 STAT. 1654A-505]]

        (2) The advice of the Advisory Board on Radiation and Worker Health
    under paragraph (1) shall be based on exposure assessments by radiation
    health professionals, information provided by the Department of Energy,
    and such other information as the Advisory Board considers appropriate.
        (3) The President shall request advice under paragraph (1) after
    consideration of petitions by classes of employees described in that
    paragraph for such advice. The President shall consider such petitions
    pursuant to procedures established by the President.
        (b) Designation of Additional Members.--Subject to the provisions of
    section 3621(14)(C), the members of a class of employees at a Department
    of Energy facility may be treated as members of the Special Exposure
    Cohort for purposes of the compensation program if the President, upon
    recommendation of the Advisory Board on Radiation and Worker Health,
    determines that--
                (1) it is not feasible to estimate with sufficient accuracy
            the radiation dose that the class received; and
                (2) there is a reasonable likelihood that such radiation
            dose may have endangered the health of members of the class.

        (c) Access to Information.--The Secretary of Energy shall provide,
    in accordance with law, the Secretary of Health and Human Services and
    the members and staff of the Advisory Board on Radiation and Worker
    Health access to relevant information on worker exposures, including
    access to Restricted Data (as defined in section 11 y. of the Atomic
    Energy Act of 1954 (42 U.S.C. 2014(y)).

    SEC. 3627. SEPARATE TREATMENT OF CHRONIC SILICOSIS.

        (a) Sense of Congress.--Congress finds that employees who worked in
    Department of Energy test sites and later contracted chronic silicosis
    should also be considered for inclusion in the compensation program.
    Recognizing that chronic silicosis resulting from exposure to silica is
    not a condition unique to the nuclear weapons industry, it is not the
    intent of Congress with this title to establish a precedent on the
    question of chronic silicosis as a compensable occupational disease.
    Consequently, it is the sense of Congress that a further determination
    by the President is appropriate before these workers are included in the
    compensation program.
        (b) Certification by President.--A covered employee with chronic
    silicosis shall be treated as a covered employee (as defined in section
    3621(1)) for the purposes of the compensation program required by
    section 3611 unless the President submits to Congress not later than 180
    days after the date of the enactment of this Act the certification of
    the President that there is insufficient basis to include such
    employees. The President shall submit with the certification any
    recommendations about the compensation program with respect to covered
    employees with chronic silicosis as the President considers appropriate.
        (c) Exposure to Silica in the Performance of Duty.--A covered
    employee shall, in the absence of substantial evidence to the contrary,
    be determined to have been exposed to silica in the performance of duty
    for the purposes of the compensation program if, and only if, the
    employee was present for a number of work days aggregating at least 250
    work days during the mining of tunnels at a Department of Energy
    facility located in Nevada or Alaska for tests or experiments related to
    an atomic weapon.

    [[Page 114 STAT. 1654A-506]]

        (d) Covered Employee With Chronic Silicosis.--For purposes of this
    title, the term ``covered employee with chronic silicosis'' means a
    Department of Energy employee, or a Department of Energy contractor
    employee, with chronic silicosis who was exposed to silica in the
    performance of duty as determined under subsection (c).
        (e) Chronic Silicosis.--For purposes of this title, the term
    ``chronic silicosis'' means a nonmalignant lung disease if--
                (1) the initial occupational exposure to silica dust
            preceded the onset of silicosis by at least 10 years; and
                (2) a written diagnosis of silicosis is made by a medical
            doctor and is accompanied by--
                        (A) a chest radiograph, interpreted by an individual
                    certified by the National Institute for Occupational
                    Safety and Health as a B reader, classifying the
                    existence of pneumoconioses of category 1/1 or higher;
                        (B) results from a computer assisted tomograph or
                    other imaging technique that are consistent with
                    silicosis; or
                        (C) lung biopsy findings consistent with silicosis.

    SEC. 3628. COMPENSATION AND BENEFITS TO BE PROVIDED.

        (a) Compensation Provided.--(1) Except as provided in paragraph (2),
    a covered employee, or the survivor of that covered employee if the
    employee is deceased, shall receive compensation for the disability or
    death of that employee from that employee's occupational illness in the
    amount of $150,000.
        (2) A covered employee shall, to the extent that employee's
    occupational illness is established beryllium sensitivity, receive
    beryllium sensitivity monitoring under subsection (c) in lieu of
    compensation under paragraph (1).
        (b) Medical Benefits.--A covered employee shall receive medical
    benefits under section 3629 for that employee's occupational illness.
        (c) Beryllium Sensitivity Monitoring.--An individual receiving
    beryllium sensitivity monitoring under this subsection shall receive the
    following:
                (1) A thorough medical examination to confirm the nature and
            extent of the individual's established beryllium sensitivity.
                (2) Regular medical examinations thereafter to determine
            whether that individual has developed established chronic
            beryllium disease.

        (d) Payment From Compensation Fund.--The compensation provided under
    this section, when authorized or approved by the President, shall be
    paid from the compensation fund established under section 3612.
        (e) Survivors.--(1) Subject to the provisions of this section, if a
    covered employee dies before the effective date specified in subsection
    (f ), whether or not the death is a result of that employee's
    occupational illness, a survivor of that employee may, on behalf of that
    survivor and any other survivors of that employee, receive the
    compensation provided for under this section.
        (2) The right to receive compensation under this section shall be
    afforded to survivors in the same order of precedence as that set forth
    in section 8109 of title 5, United States Code.

    [[Page 114 STAT. 1654A-507]]

        (f ) Effective Date.--This section shall take effect on July 31,
    2001, unless Congress otherwise provides in an Act enacted before that
    date.

    SEC. 3629. MEDICAL BENEFITS.

        (a) Medical Benefits Provided.--The United States shall furnish, to
    an individual receiving medical benefits under this section for an
    illness, the services, appliances, and supplies prescribed or
    recommended by a qualified physician for that illness, which the
    President considers likely to cure, give relief, or reduce the degree or
    the period of that illness.
        (b) Persons Furnishing Benefits.--(1) These services, appliances,
    and supplies shall be furnished by or on the order of United States
    medical officers and hospitals, or, at the individual's option, by or on
    the order of physicians and hospitals designated or approved by the
    President.
        (2) The individual may initially select a physician to provide
    medical services, appliances, and supplies under this section in
    accordance with such regulations and instructions as the President
    considers necessary.
        (c) Transportation and Expenses.--The individual may be furnished
    necessary and reasonable transportation and expenses incident to the
    securing of such services, appliances, and supplies.
        (d) Commencement of Benefits.--An individual receiving benefits
    under this section shall be furnished those benefits as of the date on
    which that individual submitted the claim for those benefits in
    accordance with this title.
        (e) Payment From Compensation Fund.--The benefits provided under
    this section, when authorized or approved by the President, shall be
    paid from the compensation fund established under section 3612.
        (f ) Effective Date.--This section shall take effect on July 31,
    2001, unless Congress otherwise provides in an Act enacted before that
    date.

    SEC. 3630. SEPARATE TREATMENT OF CERTAIN URANIUM EMPLOYEES.

        (a) Compensation Provided.--An individual who receives, or has
    received, $100,000 under section 5 of the Radiation Exposure
    Compensation Act (42 U.S.C. 2210 note) for a claim made under that Act
    (hereafter in this section referred to as a ``covered uranium
    employee''), or the survivor of that covered uranium employee if the
    employee is deceased, shall receive compensation under this section in
    the amount of $50,000.
        (b) Medical Benefits.--A covered uranium employee shall receive
    medical benefits under section 3629 for the illness for which that
    employee received $100,000 under section 5 of that Act.
        (c) Coordination With RECA.--The compensation and benefits provided
    in subsections (a) and (b) are separate from any compensation or
    benefits provided under that Act.
        (d) Payment From Compensation Fund.--The compensation provided under
    this section, when authorized or approved by the President, shall be
    paid from the compensation fund established under section 3612.
        (e) Survivors.--(1) Subject to the provisions of this section, if a
    covered uranium employee dies before the effective date specified in
    subsection (g), whether or not the death is a result of the illness
    specified in subsection (b), a survivor of that employee

    [[Page 114 STAT. 1654A-508]]

    may, on behalf of that survivor and any other survivors of that
    employee, receive the compensation provided for under this section.
        (2) The right to receive compensation under this section shall be
    afforded to survivors in the same order of precedence as that set forth
    in section 8109 of title 5, United States Code.
        (f ) Procedures Required.--The President shall establish procedures
    to identify and notify each covered uranium employee, or the survivor of
    that covered uranium employee if that employee is deceased, of the
    availability of compensation and benefits under this section.
        (g) Effective Date.--This section shall take effect on July 31,
    2001, unless Congress otherwise provides in an Act enacted before that
    date.

    SEC. 3631. ASSISTANCE FOR CLAIMANTS AND POTENTIAL CLAIMANTS.

        (a) Assistance for Claimants.--The President shall, upon the receipt
    of a request for assistance from a claimant under the compensation
    program, provide assistance to the claimant in connection with the
    claim, including--
                (1) assistance in securing medical testing and diagnostic
            services necessary to establish the existence of a covered
            beryllium illness, chronic silicosis, or cancer; and
                (2) such other assistance as may be required to develop
            facts pertinent to the claim.

        (b) Assistance for Potential Claimants.--The President shall take
    appropriate actions to inform and assist covered employees who are
    potential claimants under the compensation program, and other potential
    claimants under the compensation program, of the availability of
    compensation under the compensation program, including actions to--
                (1) ensure the ready availability, in paper and electronic
            format, of forms necessary for making claims;
                (2) provide such covered employees and other potential
            claimants with information and other support necessary for
            making claims, including--
                        (A) medical protocols for medical testing and
                    diagnosis to establish the existence of a covered
                    beryllium illness, chronic silicosis, or cancer; and
                        (B) lists of vendors approved for providing
                    laboratory services related to such medical testing and
                    diagnosis; and
                (3) provide such additional assistance to such covered
            employees and other potential claimants as may be required for
            the development of facts pertinent to a claim.

        (c) Information From Beryllium Vendors and Other Contractors.--As
    part of the assistance program provided under subsections (a) and (b),
    and as permitted by law, the Secretary of Energy shall, upon the request
    of the President, require a beryllium vendor or other Department of
    Energy contractor or subcontractor to provide information relevant to a
    claim or potential claim under the compensation program to the
    President.

    [[Page 114 STAT. 1654A-509]]

    Subtitle C--Treatment, Coordination, and Forfeiture of Compensation and
                                    Benefits

    SEC. 3641. OFFSET FOR CERTAIN PAYMENTS.

        A payment of compensation to an individual, or to a survivor of that
    individual, under subtitle B shall be offset by the amount of any
    payment made pursuant to a final award or settlement on a claim (other
    than a claim for worker's compensation), against any person, that is
    based on injuries incurred by that individual on account of the exposure
    of a covered beryllium employee, covered employee with cancer, covered
    employee with chronic silicosis (as defined in section 3627), or covered
    uranium employee (as defined in section 3630), while so employed, to
    beryllium, radiation, silica, or radiation, respectively.

    SEC. 3642. SUBROGATION OF THE UNITED STATES.

        Upon payment of compensation under subtitle B, the United States is
    subrogated for the amount of the payment to a right or claim that the
    individual to whom the payment was made may have against any person on
    account of injuries referred to in section 3641.

    SEC. 3643. PAYMENT IN FULL SETTLEMENT OF CLAIMS.

        The acceptance by an individual of payment of compensation under
    subtitle B with respect to a covered employee shall be in full
    satisfaction of all claims of or on behalf of that individual against
    the United States, against a Department of Energy contractor or
    subcontractor, beryllium vendor, or atomic weapons employer, or against
    any person with respect to that person's performance of a contract with
    the United States, that arise out of an exposure referred to in section
    3641.

    SEC. 3644. EXCLUSIVITY OF REMEDY AGAINST THE UNITED STATES AND AGAINST
                CONTRACTORS AND SUBCONTRACTORS.

        (a) In General.--The liability of the United States or an
    instrumentality of the United States under this title with respect to a
    cancer (including a specified cancer), chronic silicosis, covered
    beryllium illness, or death related thereto of a covered employee is
    exclusive and instead of all other liability--
                (1) of--
                        (A) the United States;
                        (B) any instrumentality of the United States;
                        (C) a contractor that contracted with the Department
                    of Energy to provide management and operation,
                    management and integration, or environmental remediation
                    of a Department of Energy facility (in its capacity as a
                    contractor);
                        (D) a subcontractor that provided services,
                    including construction, at a Department of Energy
                    facility (in its capacity as a subcontractor); and
                        (E) an employee, agent, or assign of an entity
                    specified in subparagraphs (A) through (D);
                (2) to--
                        (A) the covered employee;
                        (B) the covered employee's legal representative,
                    spouse, dependents, survivors, and next of kin; and

    [[Page 114 STAT. 1654A-510]]

                        (C) any other person, including any third party as
                    to whom the covered employee, or the covered employee's
                    legal representative, spouse, dependents, survivors, or
                    next of kin, has a cause of action relating to the
                    cancer (including a specified cancer), chronic
                    silicosis, covered beryllium illness, or death,
                    otherwise entitled to recover damages from the United
                    States, the instrumentality, the contractor, the
                    subcontractor, or the employee, agent, or assign of one
                    of them,

    because of the cancer (including a specified cancer), chronic silicosis,
    covered beryllium illness, or death in any proceeding or action
    including a direct judicial proceeding, a civil action, a proceeding in
    admiralty, or a proceeding under a tort liability statute or the common
    law.
        (b) Applicability.--This section applies to all cases filed on or
    after the date of the enactment of this Act.
        (c) Workers' Compensation.--This section does not apply to an
    administrative or judicial proceeding under a Federal or State workers'
    compensation law.

    SEC. 3645. ELECTION OF REMEDY FOR BERYLLIUM EMPLOYEES AND ATOMIC WEAPONS
                EMPLOYEES.

        (a) Election To File Suit.--If a tort case is filed after the date
    of the enactment of this Act, alleging a claim referred to in section
    3643 against a beryllium vendor or atomic weapons employer, the
    plaintiff shall not be eligible for compensation or benefits under
    subtitle B unless the plaintiff files such case within the applicable
    time limits in subsection (b).
        (b) Applicable Time Limits.--A case described in subsection (a)
    shall be filed not later than the later of--
                (1) the date that is 30 months after the date of the
            enactment of this Act; or
                (2) the date that is 30 months after the date the plaintiff
            first becomes aware that an illness covered by subtitle B of a
            covered employee may be connected to the exposure of the covered
            employee in the performance of duty.

        (c) Dismissal of Claims.--Unless a case filed under subsection (a)
    is dismissed prior to the time limits in subsection (b), the plaintiff
    shall not be eligible for compensation under subtitle B.
        (d) Dismissal of Pending Suit.--If a tort case was filed on or
    before the date of the enactment of this Act, alleging a claim referred
    to in section 3643 against a beryllium vendor or atomic weapons
    employer, the plaintiff shall not be eligible for compensation or
    benefits under subtitle B unless the plaintiff dismisses such case not
    later than December 31, 2003.
        (e) Workers' Compensation.--This section does not apply to an
    administrative or judicial proceeding under a State or Federal workers'
    compensation law.

    SEC. 3646. CERTIFICATION OF TREATMENT OF PAYMENTS UNDER OTHER LAWS.

        Compensation or benefits provided to an individual under subtitle
    B--
                (1) shall be treated for purposes of the internal revenue
            laws of the United States as damages for human suffering; and
                (2) shall not be included as income or resources for
            purposes of determining eligibility to receive benefits
            described in section

    [[Page 114 STAT. 1654A-511]]

            3803(c)(2)(C) of title 31, United States Code, or the amount of
            such benefits.

    SEC. 3647. CLAIMS NOT ASSIGNABLE OR TRANSFERABLE; CHOICE OF REMEDIES.

        (a) Claims Not Assignable or Transferable.--No claim cognizable
    under subtitle B shall be assignable or transferable.
        (b) Choice of Remedies.--No individual may receive more than one
    payment of compensation under subtitle B.

    SEC. 3648. ATTORNEY FEES.

        (a) General Rule.--Notwithstanding any contract, the representative
    of an individual may not receive, for services rendered in connection
    with the claim of an individual under subtitle B, more than that
    percentage specified in subsection (b) of a payment made under subtitle
    B on such claim.
        (b) Applicable Percentage Limitations.--The percentage referred to
    in subsection (a) is--
                (1) 2 percent for the filing of an initial claim; and
                (2) 10 percent with respect to any claim with respect to
            which a representative has made a contract for services before
            the date of the enactment of this Act.

        (c) Penalty.--Any such representative who violates this section
    shall be fined not more than $5,000.

    SEC. 3649. CERTAIN CLAIMS NOT AFFECTED BY AWARDS OF DAMAGES.

        A payment under subtitle B shall not be considered as any form of
    compensation or reimbursement for a loss for purposes of imposing
    liability on any individual receiving such payment, on the basis of such
    receipt, to repay any insurance carrier for insurance payments, or to
    repay any person on account of worker's compensation payments; and a
    payment under subtitle B shall not affect any claim against an insurance
    carrier with respect to insurance or against any person with respect to
    worker's compensation.

    SEC. 3650. FORFEITURE OF BENEFITS BY CONVICTED FELONS.

        (a) Forfeiture of Compensation.--Any individual convicted of a
    violation of section 1920 of title 18, United States Code, or any other
    Federal or State criminal statute relating to fraud in the application
    for or receipt of any benefit under subtitle B or under any other
    Federal or State workers' compensation law, shall forfeit (as of the
    date of such conviction) any entitlement to any compensation or benefit
    under subtitle B such individual would otherwise be awarded for any
    injury, illness or death covered by subtitle B for which the time of
    injury was on or before the date of the conviction.
        (b) Information.--Notwithstanding section 552a of title 5, United
    States Code, or any other Federal or State law, an agency of the United
    States, a State, or a political subdivision of a State shall make
    available to the President, upon written request from the President and
    if the President requires the information to carry out this section, the
    names and Social Security account numbers of individuals confined, for
    conviction of a felony, in a jail, prison, or other penal institution or
    correctional facility under the jurisdiction of that agency.

    [[Page 114 STAT. 1654A-512]]

    SEC. 3651. COORDINATION WITH OTHER FEDERAL RADIATION COMPENSATION LAWS.

        Except in accordance with section 3630, an individual may not
    receive compensation or benefits under the compensation program for
    cancer and also receive compensation under the Radiation Exposure
    Compensation Act (42 U.S.C. 2210 note) or section 1112(c) of title 38,
    United States Code.

        Subtitle D--Assistance in State Workers' Compensation Proceedings

    SEC. 3661. AGREEMENTS WITH STATES.

        (a) Agreements Authorized.--The Secretary of Energy (hereafter in
    this section referred to as the ``Secretary'') may enter into agreements
    with the chief executive officer of a State to provide assistance to a
    Department of Energy contractor employee in filing a claim under the
    appropriate State workers' compensation system.
        (b) Procedure.--Pursuant to agreements under subsection (a), the
    Secretary may--
                (1) establish procedures under which an individual may
            submit an application for review and assistance under this
            section; and
                (2) review an application submitted under this section and
            determine whether the applicant submitted reasonable evidence
            that--
                        (A) the application was filed by or on behalf of a
                    Department of Energy contractor employee or employee's
                    estate; and
                        (B) the illness or death of the Department of Energy
                    contractor employee may have been related to employment
                    at a Department of Energy facility.

        (c) Submittal of Applications to Panels.--If provided in an
    agreement under subsection (a), and if the Secretary determines that the
    applicant submitted reasonable evidence under subsection (b)(2), the
    Secretary shall submit the application to a physicians panel established
    under subsection (d). The Secretary shall assist the employee in
    obtaining additional evidence within the control of the Department of
    Energy and relevant to the panel's deliberations.
        (d) Composition and Operation of Panels.--(1) The Secretary shall
    inform the Secretary of Health and Human Services of the number of
    physicians panels the Secretary has determined to be appropriate to
    administer this section, the number of physicians needed for each panel,
    and the area of jurisdiction of each panel. The Secretary may determine
    to have only one panel.
        (2)(A) The Secretary of Health and Human Services shall appoint
    panel members with experience and competency in diagnosing occupational
    illnesses under section 3109 of title 5, United States Code.
        (B) Each member of a panel shall be paid at the rate of pay payable
    for level III of the Executive Schedule for each day (including travel
    time) the member is engaged in the work of a panel.
        (3) A panel shall review an application submitted to it by the
    Secretary and determine, under guidelines established by the

    [[Page 114 STAT. 1654A-513]]

    Secretary, by regulation, whether the illness or death that is the
    subject of the application arose out of and in the course of employment
    by the Department of Energy and exposure to a toxic substance at a
    Department of Energy facility.
        (4) At the request of a panel, the Secretary and a contractor who
    employed a Department of Energy contractor employee shall provide
    additional information relevant to the panel's deliberations. A panel
    may consult specialists in relevant fields as it determines necessary.
        (5) Once a panel has made a determination under paragraph (3), it
    shall report to the Secretary its determination and the basis for the
    determination.
        (6) A panel established under this subsection shall not be subject
    to the Federal Advisory Committee Act (5 U.S.C. App.).
        (e) Assistance.--If provided in an agreement under subsection (a)--
                (1) the Secretary shall review a panel's determination made
            under subsection (d), information the panel considered in
            reaching its determination, any relevant new information not
            reasonably available at the time of the panel's deliberations,
            and the basis for the panel's determination;
                (2) as a result of the review under paragraph (1), the
            Secretary shall accept the panel's determination in the absence
            of significant evidence to the contrary; and
                (3) if the panel has made a positive determination under
            subsection (d) and the Secretary accepts the determination under
            paragraph (2), or the panel has made a negative determination
            under subsection (d) and the Secretary finds significant
            evidence to the contrary--
                        (A) the Secretary shall assist the applicant to file
                    a claim under the appropriate State workers'
                    compensation system based on the health condition that
                    was the subject of the determination;
                        (B) the Secretary thereafter--
                              (i) may not contest such claim;
                              (ii) may not contest an award made regarding
                          such claim; and
                              (iii) may, to the extent permitted by law,
                          direct the Department of Energy contractor who
                          employed the applicant not to contest such claim
                          or such award,
                    unless the Secretary finds significant new evidence to
                    justify such contest; and
                        (C) any costs of contesting a claim or an award
                    regarding the claim incurred by the contractor who
                    employed the Department of Energy contractor employee
                    who is the subject of the claim shall not be an
                    allowable cost under a Department of Energy contract.

        (f ) Information.--At the request of the Secretary, a contractor who
    employed a Department of Energy contractor employee shall make available
    to the Secretary and the employee information relevant to deliberations
    under this section.
        (g) GAO Report.--Not later than February 1, 2002, the Comptroller
    General shall submit to Congress a report on the implementation by the
    Department of Energy of the provisions of this section and of the
    effectiveness of the program under this section in assisting Department
    of Energy contractor employees in obtaining compensation for
    occupational illness.