\[DOCID: f:h1588rds.txt\]

108th CONGRESS

1st Session

H. R. 1588

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

IN THE SENATE OF THE UNITED STATES

June 2, 2003

Received

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

AN ACT

To authorize appropriations for fiscal year 2004 for military

activities of the Department of Defense, for military construction, and

for defense activities of the Department of Energy, to prescribe

personnel strengths for such fiscal year for the Armed Forces, and for

other purposes.

Be it enacted by the Senate and House of Representatives of the

United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the \`\`National Defense Authorization Act

for Fiscal Year 2004\'\'.

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.

Subtitle B\--Army Programs

Sec. 111. Stryker vehicle program.

Sec. 112. Configuration of Fourth Stryker Brigade Combat Team.

Subtitle C\--Navy Programs

Sec. 121. Multiyear procurement authority for F/A-18 aircraft program.

Sec. 122. Multiyear procurement authority for Tactical Tomahawk cruise

missile program.

Sec. 123. Multiyear procurement authority for Virginia class submarine

program.

Sec. 124. Multiyear procurement authority for E-2C aircraft program.

Sec. 125. LPD-17 class vessel.

Subtitle D\--Air Force Programs

Sec. 131. Air Force air refueling transfer account.

Sec. 132. Increase in number of aircraft authorized to be procured

under multiyear procurement authority for

Air Force C-130J aircraft program.

Sec. 133. Limitation on retiring C-5 aircraft.

Sec. 134. Limitation on obligation of funds for procurement of F/A-22

aircraft.

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

Subtitle A\--Authorization of Appropriations

Sec. 201. Authorization of appropriations.

Sec. 202. Amount for defense science and technology.

Sec. 203. Program increases.

Subtitle B\--Program Requirements, Restrictions, and Limitations

Sec. 211. Collaborative program for development of electromagnetic gun

technology.

Sec. 212. Authority to select civilian employee of Department of

Defense as director of Department of

Defense Test Resource Management Center.

Sec. 213. Development of the Joint Tactical Radio System.

Sec. 214. Future Combat Systems.

Sec. 215. Army program to pursue technologies leading to the enhanced

production of titanium by the United

States.

Sec. 216. Extension of reporting requirement for RAH-66 Comanche

aircraft program.

Sec. 217. Studies of fleet platform architectures for the Navy.

Subtitle C\--Ballistic Missile Defense

Sec. 221. Enhanced flexibility for ballistic missile defense systems.

TITLE III\--OPERATION AND MAINTENANCE

Subtitle A\--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.

Sec. 302. Working capital funds.

Sec. 303. Other Department of Defense programs.

Sec. 304. Counterexploitation initiative.

Sec. 305. Reduction in authorization for Air Force operation and

maintenance account.

Subtitle B\--Environmental Provisions

Sec. 311. Reauthorization and modification of title I of Sikes Act.

Sec. 312. Authorization for defense participation in wetland mitigation

banks.

Sec. 313. Inclusion of environmental response equipment and services in

Navy definitions of salvage facilities and

salvage services.

Sec. 314. Clarification of Department of Defense response to

environmental emergencies.

Sec. 315. Requirements for restoration advisory boards and exemption

from Federal Advisory Committee Act.

Sec. 316. Report regarding impact of civilian community encroachment

and certain legal requirements on military

installations and ranges.

Sec. 317. Military readiness and conservation of protected species.

Sec. 318. Military readiness and marine mammal protection.

Sec. 319. Limitation on Department of Defense responsibility for

civilian water consumption impacts related

to Fort Huachuca, Arizona.

Sec. 320. Construction of wetland crossings, Camp Shelby Combined Arms

Maneuver Area, Camp Shelby, Mississippi.

Subtitle C\--Workplace and Depot Issues

Sec. 321. Exclusion of certain expenditures from percentage limitation

on contracting for performance of depot-

level maintenance and repair workloads.

Sec. 322. High-performing organization business process reengineering

pilot program.

Sec. 323. Delayed implementation of revised Office of Management and

Budget Circular A-76 by Department of

Defense pending report.

Sec. 324. Naval Aviation Depots multi-trades demonstration project.

Subtitle D\--Information Technology

Sec. 331. Performance-based and results-based management requirements

for Chief Information Officers of

Department of Defense.

Subtitle E\--Other Matters

Sec. 341. Cataloging and standardization for defense supply management.

Sec. 342. Space-available transportation for dependents of members

assigned to overseas duty locations for

continuous period in excess of one year.

Sec. 343. Preservation of Air Force Reserve weather reconnaissance

mission.

Sec. 344. Expansion of Department of Defense excess personal property

disposal program to include health agencies

in addition to law enforcement and

firefighting agencies.

Sec. 345. Department of Defense public health assessment of exposure to

perchlorate.

Sec. 346. Permanent authority for purchase of certain municipal

services at installations in Monterey

County, California.

TITLE IV\--MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A\--Active Forces

Sec. 401. End strengths for active forces.

Sec. 402. Revision in permanent active duty end strength minimum

levels.

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 2004 limitation on non-dual status technicians.

Sec. 415. Permanent limitations on number of non-dual status

technicians.

Subtitle C\--Authorizations of Appropriations

Sec. 421. Military personnel.

Sec. 422. Armed Forces Retirement Home.

TITLE V\--MILITARY PERSONNEL POLICY

Subtitle A\--General and Flag Officer Matters

Sec. 501. Standardization of qualifications for appointment as service

chief.

Subtitle B\--Other Officer Personnel Policy Matters

Sec. 511. Repeal of prohibition on transfer between line of the Navy

and Navy staff corps applicable to regular

Navy officers in grades above lieutenant

commander.

Sec. 512. Retention of health professions officers to fulfill active-

duty service commitments following

promotion nonselection.

Sec. 513. Increased flexibility for voluntary retirement for military

officers.

Sec. 514. Repeal of required grade of defense attache in France.

Subtitle C\--Reserve Component Matters

Sec. 521. Streamlined process for continuation of officers on the

reserve active-status list.

Sec. 522. Consideration of reserve officers for position vacancy

promotions in time of war or national

emergency.

Sec. 523. Simplification of determination of annual participation for

purposes of Ready Reserve training

requirements.

Sec. 524. Authority for delegation of required secretarial special

finding for placement of certain retired

members in Ready Reserve.

Sec. 525. Authority to provide expenses of Army and Air Staff personnel

and National Guard Bureau personnel

attending national conventions of certain

military associations.

Subtitle D\--Military Education and Training

Sec. 531. Authority for the Marine Corps University to award the degree

of master of operational studies.

Sec. 532. Expanded educational assistance authority for cadets and

midshipmen receiving ROTC scholarships.

Sec. 533. Increase in allocation of scholarships under Army Reserve

ROTC scholarship program to students at

military junior colleges.

Sec. 534. Inclusion of accrued interest in amounts that may be repaid

under Selected Reserve critical specialties

education loan repayment program.

Sec. 535. Authority for nonscholarship senior ROTC sophomores to

voluntarily contract for and receive

subsistence allowance.

Sec. 536. Appointments to military service academies from nominations

made by delegates from Guam, Virgin

Islands, and American Samoa.

Sec. 537. Readmission to service academies of certain former cadets and

midshipmen.

Sec. 538. Authorization for Naval Postgraduate School to provide

instruction to enlisted members

participating in certain programs.

Sec. 539. Defense task force on sexual harassment and violence at the

military service academies.

Subtitle E\--Administrative Matters

Sec. 541. Enhancements to high-tempo personnel program.

Sec. 542. Enhanced retention of accumulated leave for high-deployment

members.

Sec. 543. Standardization of time-in-service requirements for voluntary

retirement of members of the Navy and

Marine Corps with Army and Air Force

requirements.

Sec. 544. Standardization of statutory authorities for exemptions from

requirement for access to secondary schools

by military recruiters.

Sec. 545. Procedures for consideration of applications for award of the

Purple Heart medal to veterans held as

prisoners of war before April 25, 1962.

Sec. 546. Authority for reserve and retired regular officers to hold

State and local elective office

notwithstanding call to active duty.

Sec. 547. Clarification of offense under the Uniform Code of Military

Justice relating to drunken or reckless

operation of a vehicle, aircraft, or

vessel.

Sec. 548. Public identification of casualties no sooner than 24 hours

after notification of next-of-kin.

Subtitle F\--Benefits

Sec. 551. Additional classes of individuals eligible to participate in

the Federal long-term care insurance

program.

Sec. 552. Authority to transport remains of retirees and retiree

dependents who die in military treatment

facilities outside the United States.

Sec. 553. Eligibility for dependents of certain mobilized reservists

stationed overseas to attend defense

dependents schools overseas.

Subtitle G\--Other Matters

Sec. 561. Extension of requirement for exemplary conduct by commanding

officers and others in authority to include

civilians in authority in the Department of

Defense.

Sec. 562. Recognition of military families.

Sec. 563. Assistance to local educational agencies that benefit

dependents of members of the Armed Forces

and Department of Defense civilian

employees.

Sec. 564. Permanent authority for support for certain chaplain-led

military family support programs.

Sec. 565. Department of Defense-Department of Veterans Affairs Joint

Executive Committee.

Sec. 566. Limitation on aviation force structure changes in the

Department of the Navy.

Sec. 567. Impact-aid eligibility for heavily impacted local educational

agencies affected by privitization of

military housing.

Sec. 568. Investigation into the 1991 death of Marine Corps Colonel

James E. Sabow.

Subtitle H\--Domestic Violence

Sec. 571. Travel and transportation for dependents relocating for

reasons of personal safety.

Sec. 572. Commencement and duration of payment of transitional

compensation.

Sec. 573. Flexibility in eligibility for transitional compensation.

Sec. 574. Types of administrative separations triggering coverage.

Sec. 575. On-going review group.

Sec. 576. Resources for Department of Defense implementation

organization.

Sec. 577. Fatality reviews.

Sec. 578. Sense of Congress.

TITLE VI\--COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A\--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2004.

Sec. 602. Computation of basic pay rate for commissioned officers with

prior enlisted or warrant officer service.

Sec. 603. Special subsistence allowance authorities for members

assigned to high-cost duty location or

under other unique and unusual

circumstances.

Subtitle B\--Bonuses and Special and Incentive Pays

Sec. 611. One-year extension of certain bonus and special pay

authorities for reserve forces.

Sec. 612. One-year extension of certain bonus and special pay

authorities for certain health care

professionals.

Sec. 613. One-year extension of special pay and bonus authorities for

nuclear officers.

Sec. 614. One-year extension of other bonus and special pay

authorities.

Sec. 615. Computation of hazardous duty incentive pay for demolition

duty and parachute jumping by members of

reserve components entitled to compensation

under section 206 of title 37.

Sec. 616. Availability of hostile fire and imminent danger pay for

reserve component members on inactive duty.

Sec. 617. Expansion of overseas tour extension incentive program to

officers.

Sec. 618. Eligibility of appointed warrant officers for accession bonus

for new officers in critical skills.

Sec. 619. Incentive pay for duty on ground in Antarctica or on Arctic

icepack.

Sec. 620. Special pay for service as member of Weapons of Mass

Destruction Civil Support Team.

Sec. 621. Incentive bonus for agreement to serve in critically short

military occupational specialty.

Sec. 622. Increase in rate for imminent danger pay and family

separation allowance related to service in

Operation Iraqi Freedom or Operation

Enduring Freedom.

Sec. 623. Availability of hostile fire and imminent danger pay for

reserve component members serving in

response to certain domestic terrorist

attacks.

Subtitle C\--Travel and Transportation Allowances

Sec. 631. Shipment of privately owned motor vehicle within continental

United States.

Sec. 632. Payment or reimbursement of student baggage storage costs for

dependent children of members stationed

overseas.

Sec. 633. Reimbursement for lodging expenses of certain reserve

component and retired members during

authorized leave from temporary duty

location.

Subtitle D\--Retired Pay and Survivors Benefits

Sec. 641. Funding for special compensation authorities for Department

of Defense retirees.

Subtitle E\--Commissary and Nonappropriated Fund Instrumentality

Benefits

Sec. 651. Expanded commissary access for Selected Reserve members,

reserve retirees under age 60, and their

dependents.

Sec. 652. Defense commissary system and exchange stores system.

Sec. 653. Limitations on private operation of defense commissary store

functions.

Sec. 654. Use of appropriated funds to operate defense commissary

system.

Sec. 655. Recovery of nonappropriated fund instrumentality and

commissary store investments in real

property at military installations closed

or realigned.

Sec. 656. Commissary shelf-stocking pilot program.

Subtitle F\--Other Matters

Sec. 661. Repeal of congressional notification requirement for

designation of critical military skills for

retention bonus.

TITLE VII\--HEALTH CARE PROVISIONS

Sec. 701. Revision of Department of Defense medicare-eligible retiree

health care fund to permit more accurate

actuarial valuations.

Sec. 702. Transfer of certain members from pharmacy and therapeutics

committee to Uniform Formulary Beneficiary

Advisory Panel under the pharmacy benefits

program.

Sec. 703. Permanent extension of authority to enter into personal

services contracts for the performance of

health care responsibilities at locations

other than military medical treatment

facilities.

Sec. 704. Plan for providing health coverage information to members,

former members, and dependents eligible for

certain health benefits.

Sec. 705. Working group on military health care for persons reliant on

health care facilities at military

installations to be closed or realigned.

Sec. 706. Acceleration of implementation of chiropractic health care

for members on active duty.

Sec. 707. Medical and dental screening for members of selected reserve

units alerted for mobilization.

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

MATTERS

Subtitle A\--Amendments to General Contracting Authorities, Procedures,

and Limitations

Sec. 801. Extension of authority to carry out certain prototype

projects.

Sec. 802. Elimination of certain subcontract notification requirements.

Sec. 803. Elimination of requirement to furnish written assurances of

technical data conformity.

Sec. 804. Limitation period for task and delivery order contracts.

Sec. 805. Additional authorities relating to obtaining personal

services.

Sec. 806. Evaluation of prompt payment provisions.

Subtitle B\--United States Defense Industrial Base Provisions

Part I\--Critical Items Identification and Domestic Production

Capabilities Improvement Program

Sec. 811. Assessment of United States defense industrial base

capabilities.

Sec. 812. Identification of critical items: military system breakout

list.

Sec. 813. Procurement of certain critical items from American sources.

Sec. 814. Production capabilities improvement for certain critical

items using Defense Industrial Base

Capabilities Fund.

Part II\--Requirements Relating to Specific Items

Sec. 821. Domestic source limitation for certain additional items.

Sec. 822. Requirements relating to buying commercial items containing

specialty metals from American sources.

Sec. 823. Elimination of unreliable sources of defense items and

components.

Sec. 824. Congressional notification required before exercising

exception to requirement to buy specialty

metals from American sources.

Sec. 825. Repeal of authority for foreign procurement of para-aramid

fibers and yarns.

Sec. 826. Requirement for major defense acquisition programs to use

machine tools entirely produced within the

United States.

Sec. 827. Data collection and technical assistance center relating to

machine tools.

Sec. 828. Buy American enhancement.

Sec. 829. Requirement relating to purchases by Department of Defense

subject to Buy American Act.

Part III\--General Provisions

Sec. 831. Definitions.

TITLE IX\--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

Sec. 901. Change in title of Secretary of the Navy to Secretary of the

Navy and Marine Corps.

Sec. 902. Redesignation of National Imagery and Mapping Agency as

National Geospatial-intelligence Agency.

Sec. 903. Pilot program for provision of space surveillance network

services to non-United States governmental

entities.

Sec. 904. Clarification of responsibility of military departments to

support combatant commands.

Sec. 905. Biennial review of national military strategy by Chairman of

the Joint Chiefs of Staff.

Sec. 906. Authority for acceptance by Asia-Pacific Center for Security

Studies of gifts and donations from

nonforeign sources.

Sec. 907. Repeal of rotating chairmanship of Economic Adjustment

Committee.

Sec. 908. Pilot program for improved civilian personnel management.

Sec. 909. Extension of certain authorities applicable to the Pentagon

Reservation to include designated Pentagon

continuity-of-government locations.

Sec. 910. Defense acquisition workforce reductions.

Sec. 911. Required force structure.

TITLE X\--GENERAL PROVISIONS

Subtitle A\--Financial Matters

Sec. 1001. Transfer authority.

Sec. 1002. Authorization of supplemental appropriations for fiscal year

2003\.

Sec. 1003. Authority to transfer procurement funds for a major defense

acquisition program for continued

development work on that program.

Sec. 1004. Restoration of authority to enter into 12-month leases at

any time during the fiscal year.

Sec. 1005. Authority for retention of additional amounts realized from

energy cost savings.

Sec. 1006. Repeal of requirement for two-year budget cycle for the

Department of Defense.

Sec. 1007. Authority to provide reimbursement for use of personal

cellular telephones when used for official

government business.

Subtitle B\--Naval Vessels and Shipyards

Sec. 1011. Repeal of requirement regarding preservation of surge

capability for naval surface combatants.

Sec. 1012. Enhancement of authority relating to use for experimental

purposes of vessels stricken from Naval

Vessel Register.

Sec. 1013. Authorization for transfer of vessels stricken from Naval

Vessel Register for use as artificial

reefs.

Sec. 1014. Pilot program for sealift ship construction.

Subtitle C\--Reports

Sec. 1021. Repeal and modification of various reporting requirements

applicable to the Department of Defense.

Sec. 1022. Report on Operation Iraqi Freedom.

Sec. 1023. Report on Department of Defense post-conflict activities in

Iraq.

Sec. 1024. Report on development of mechanisms to better connect

Department of Defense space capabilities to

the war fighter.

Subtitle D\--Procurement of Defense Biomedical Countermeasures

Sec. 1031. Research and development of defense biomedical

countermeasures.

Sec. 1032. Procurement of defense biomedical countermeasures.

Sec. 1033. Authorization for use of medical products in emergencies.

Subtitle E\--Other Matters

Sec. 1041. Codification and revision of defense counterintelligence

polygraph program authority.

Sec. 1042. Codification and revision of limitation on modification of

major items of equipment scheduled for

retirement or disposal.

Sec. 1043. Additional definitions for purposes of title 10, United

States Code.

Sec. 1044. Inclusion of annual military construction authorization

request in annual defense authorization

request.

Sec. 1045. Technical and clerical amendments.

Sec. 1046. Authority to provide living quarters for certain students in

cooperative and summer education programs

of the National Security Agency.

Sec. 1047. Use of drug interdiction and counter-drug funds to support

activities of the Government of Colombia.

Sec. 1048. Authority for joint task forces to provide support to law

enforcement agencies conducting counter-

terrorism activities.

Sec. 1049. Use of National Driver Register for personnel security

investigations and determinations.

Sec. 1050. Protection of operational files of the National Security

Agency.

Sec. 1051. Assistance for study of feasibility of biennial

international air trade show in the United

States and for initial implementation.

Sec. 1052. Continuation of reasonable access to military installations

for personal commercial solicitation.

Sec. 1053. Commission on Nuclear Strategy of the United States.

Sec. 1054. Extension of Counterproliferation Program Review Committee.

Sec. 1055. Assignment of members to assist Bureau of Border Security

and Bureau of Citizenship and Immigration

Services of the Department of Homeland

Security.

Sec. 1056. Report concerning strategic nuclear warheads dismantled

pursuant to the Treaty Between the United

States of America and the Russian

Federation on Strategic Offensive

Reductions.

Sec. 1057. Pilot program to improve use of Air Force and Air National

Guard Modular Airborne Fire-Fighting

Systems to fight wildfires.

Sec. 1058. Study on feasibility of use of small businesses, minority-

owned businesses, and women-owned

businesses in efforts to rebuild Iraq.

Sec. 1059. Sense of Congress regarding continuation of mission and

functions of Army Peacekeeping Institute.

Sec. 1060. Assessment of effects of specified statutory limitations on

the granting of security clearances.

TITLE XI\--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

Subtitle A\--Department of Defense Civilian Personnel Generally

Sec. 1101. Modification of the overtime pay cap.

Sec. 1102. Military leave for mobilized Federal civilian employees.

Sec. 1103. Common occupational and health standards for differential

payments as a consequence of exposure to

asbestos.

Sec. 1104. Increase in annual student loan repayment authority.

Sec. 1105. Authorization for cabinet secretaries, secretaries of

military departments, and heads of

executive agencies to be paid on a biweekly

basis.

Sec. 1106. Senior executive service and performance.

Sec. 1107. Design elements of pay-for-performance systems in

demonstration projects.

Sec. 1108. Federal flexible benefits plan administrative costs.

Sec. 1109. Clarification to Hatch Act; limitation on disclosure of

certain records.

Sec. 1110. Employee surveys.

Sec. 1111. Human Capital Performance Fund.

Subtitle B\--Department of Defense National Security Personnel System

Sec. 1121. Department of Defense national security personnel system.

TITLE XII\--MATTERS RELATING TO OTHER NATIONS

Sec. 1201. Expansion of authority to provide administrative support and

services and travel and subsistence

expenses for certain foreign liaison

officers.

Sec. 1202. Recognition of superior noncombat achievements or

performance by members of friendly foreign

forces and other foreign nationals.

Sec. 1203. Expansion of authority to waive charges for costs of

attendance at George C. Marshall European

Center for Security Studies.

Sec. 1204. Identification of goods and technologies critical for

military superiority.

Sec. 1205. Report on acquisition by Iraq of advanced weapons.

Sec. 1206. Authority for check cashing and currency exchange services

to be provided to foreign military members

participating in certain activities with

United States forces.

Sec. 1207. Requirements for transfer to foreign countries of certain

specified types of excess aircraft.

Sec. 1208. Limitation on number of United States military personnel in

Colombia.

Sec. 1209. Assessment and report concerning the location of NATO

headquarters.

Sec. 1210. Sense of Congress on redeployment of United States forces in

Europe.

Sec. 1211. Report on actions that could be taken regarding countries

that initiate certain legal actions against

United States officials.

Sec. 1212. Sense of Congress concerning Navy port calls in Israel.

Sec. 1213. Assistance to Iraqi children injured during Operation Iraqi

Freedom.

TITLE XIII\--COOPERATIVE THREAT REDUCTION

Sec. 1301. Specification of Cooperative Threat Reduction programs and

funds.

Sec. 1302. Funding allocations.

Sec. 1303. Limitation on use of funds until certain permits obtained.

Sec. 1304. Limitation on use of funds for biological research in the

former Soviet Union.

Sec. 1305. Authority and funds for nonproliferation and disarmament.

Sec. 1306. Requirement for on-site managers.

Sec. 1307. Provisions relating to funding for chemical weapons

destruction facility in Russia.

Sec. 1308. Study relating to ex-Soviet uranium and plutonium.

TITLE XIV\--SERVICES ACQUISITION REFORM

Sec. 1401. Short title.

Sec. 1402. Executive agency defined.

Subtitle A\--Acquisition Workforce and Training

Sec. 1411. Definition of acquisition.

Sec. 1412. Acquisition workforce training fund.

Sec. 1413. Acquisition workforce recruitment program.

Sec. 1414. Architectural and engineering acquisition workforce.

Subtitle B\--Adaptation of Business Acquisition Practices

Part I\--Adaptation of Business Management Practices

Sec. 1421. Chief Acquisition Officers.

Sec. 1422. Chief Acquisition Officers Council.

Sec. 1423. Statutory and regulatory review.

Part II\--Other Acquisition Improvements

Sec. 1426. Extension of authority to carry out franchise fund programs.

Sec. 1427. Agency acquisition protests.

Sec. 1428. Improvements in contracting for architectural and

engineering services.

Sec. 1429. Authorization of telecommuting for Federal contractors.

Subtitle C\--Contract Incentives

Sec. 1431. Incentives for contract efficiency.

Subtitle D\--Acquisitions of Commercial Items

Sec. 1441. Preference for performance-based contracting.

Sec. 1442. Authorization of additional commercial contract types.

Sec. 1443. Clarification of commercial services definition.

Sec. 1444. Designation of commercial business entities.

Subtitle E\--Other Matters

Sec. 1451. Authority to enter into certain procurement-related

transactions and to carry out certain

prototype projects.

Sec. 1452. Authority to make inflation adjustments to simplified

acquisition threshold.

Sec. 1453. Technical corrections related to duplicative amendments.

Sec. 1454. Prohibition on use of quotas.

Sec. 1455. Applicability of certain provisions to sole source contracts

for goods and services treated as

commercial items.

Sec. 1456. Public disclosure of noncompetitive contracting for the

reconstruction of infrastructure in Iraq.

TITLE XV\--HIGHER EDUCATION RELIEF OPPORTUNITIES FOR STUDENTS

Sec. 1501. Short title; reference.

Sec. 1502. Waiver authority for response to military contingencies and

national emergencies.

Sec. 1503. Tuition refunds or credits for members of Armed Forces.

Sec. 1504. Use of professional judgment.

Sec. 1505. Definitions.

Sec. 1506. Termination of authority.

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

2002 projects.

TITLE XXII\--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.

Sec. 2202. Family housing.

Sec. 2203. Improvements to military family housing units.

Sec. 2204. Authorization of appropriations, Navy.

TITLE XXIII\--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition

projects.

Sec. 2302. Family housing.

Sec. 2303. Improvements to military family housing units.

Sec. 2304. Authorization of appropriations, Air Force.

TITLE XXIV\--DEFENSE AGENCIES

Sec. 2401. Authorized Defense Agencies construction and land

acquisition projects.

Sec. 2402. Family housing.

Sec. 2403. Improvements to military family housing units.

Sec. 2404. Energy conservation projects.

Sec. 2405. Authorization of appropriations, Defense Agencies.

TITLE XXV\--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT

PROGRAM

Sec. 2501. Authorized NATO construction and land acquisition projects.

Sec. 2502. Authorization of appropriations, NATO.

TITLE XXVI\--GUARD AND RESERVE FORCES FACILITIES

Sec. 2601. Authorized Guard and Reserve construction and land

acquisition projects.

TITLE XXVII\--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be

specified by law.

Sec. 2702. Extension of authorization of certain fiscal year 2001

project.

Sec. 2703. Extension of authorizations of certain fiscal year 2000

projects.

Sec. 2704. Effective date.

TITLE XXVIII\--GENERAL PROVISIONS

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

Changes

Sec. 2801. Increase in maximum amount of authorized annual emergency

construction.

Sec. 2802. Authority to lease military family housing units in Italy.

Sec. 2803. Changes to alternative authority for acquisition and

improvement of military housing.

Sec. 2804. Additional material for annual report on housing

privatization program.

Sec. 2805. Authority to convey property at military installations

closed or to be closed in exchange for

military construction activities.

Sec. 2806. Congressional notification and reporting requirements and

limitations regarding use of operation and

maintenance funds for construction.

Sec. 2807. Increase in authorized maximum lease term for family housing

and other facilities in certain foreign

countries.

Sec. 2808. Annual report on military construction requirements to

support homeland defense missions of the

Armed Forces.

Subtitle B\--Real Property and Facilities Administration

Sec. 2811. Real property transactions.

Sec. 2812. Sense of Congress on demolition of Army Tacony Warehouse

Depot site, Philadelphia, Pennsylvania.

Subtitle C\--Land Conveyances

Sec. 2821. Termination of lease and conveyance of Army Reserve

facility, Conway, Arkansas.

Sec. 2822. Actions to quiet title, Fallin Waters Subdivision, Eglin Air

Force Base, Florida.

Sec. 2823. Modification of land conveyance, Eglin Air Force Base,

Florida.

Sec. 2824. Land conveyance, Fort Campbell, Kentucky and Tennessee.

Sec. 2825. Land conveyance, Army and Air Force Exchange Service

Property, Dallas, Texas.

Sec. 2826. Land conveyance, Naval Reserve Center, Orange, Texas.

Sec. 2827. Land conveyance, Fort Belvoir, Virginia.

Sec. 2828. Land conveyance, Puget Sound Naval Shipyard, Bremerton,

Washington.

Subtitle D\--Other Matters

Sec. 2841. Redesignation of Yuma Training Range Complex as Bob Stump

Training Range Complex.

Sec. 2842. Modification of authority to conduct a round of realignments

and closures of military installations in

2005\.

Sec. 2843. Use of force-structure plan for the Armed Forces in

preparation of selection criteria for base

closure round.

Sec. 2844. Requirement for unanimous vote of Defense Base Closure and

Realignment Commission to recommend closure

of military installations not recommended

for closure by Secretary of Defense.

Sec. 2845. Consideration of public-access-road issues related to

disposal of property at military

installations under base closure process.

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 management.

Sec. 3103. Other defense activities.

Sec. 3104. Defense nuclear waste disposal.

Sec. 3105. Energy supply.

Subtitle B\--Program Authorizations, Restrictions, and Limitations

Sec. 3111. Modification of prohibition relating to low-yield nuclear

weapons.

Sec. 3112. Termination of requirement for annual updates of long-term

plan for nuclear weapons stockpile life

extension program.

Sec. 3113. Extension to all DOE facilities of authority to prohibit

dissemination of certain unclassified

information.

Sec. 3114. Department of Energy project review groups not subject to

Federal Advisory Committee Act by reason of

inclusion of employees of Department of

Energy management and operating

contractors.

Sec. 3115. Availability of funds.

Sec. 3116. Limitation on obligation of funds for Nuclear Test Readiness

program.

Sec. 3117. Requirement for on-site managers.

Subtitle C\--Consolidation of National Security Provisions

Sec. 3121. Transfer and consolidation of recurring and general

provisions on Department of Energy national

security programs.

TITLE XXXII\--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

TITLE XXXIII\--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Authorized uses of National Defense Stockpile funds.

Sec. 3302. Revisions to objectives for receipts for fiscal year 2000

disposals.

TITLE XXXIV\--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

TITLE XXXV\--MARITIME ADMINISTRATION

Subtitle A\--General Provisions

Sec. 3501. Short title.

Sec. 3502. Definitions.

Subtitle B\--Maritime Security Fleet

Sec. 3511. Establishment of Maritime Security Fleet.

Sec. 3512. Award of operating agreements.

Sec. 3513. Effectiveness of operating agreements.

Sec. 3514. Obligations and rights under operating agreements.

Sec. 3515. Payments.

Sec. 3516. National security requirements.

Sec. 3517. Regulatory relief.

Sec. 3518. Special rule regarding age of former participating fleet

vessel.

Sec. 3519. Authorization of appropriations.

Sec. 3520. Amendment to Shipping Act, 1916.

Sec. 3521. Regulations.

Sec. 3522. Repeals and conforming amendments.

Sec. 3523. Effective dates.

Subtitle C\--National Defense Tank Vessel Construction Assistance

Sec. 3531. National defense tank vessel construction program.

Sec. 3532. Application procedure.

Sec. 3533. Award of assistance.

Sec. 3534. Priority for title XI assistance.

Sec. 3535. Authorization of appropriations.

Subtitle D\--Maritime Administration Authorization

Sec. 3541. Authorization of appropriations for Maritime Administration

for fiscal year 2004.

Sec. 3542. Authority to convey vessel USS HOIST (ARS-40).

Sec. 3543. Authority to convey NDRF vessels and vessel contents.

TITLE XXXVI\--NUCLEAR SECURITY INITIATIVE

Sec. 3601. Short title.

Subtitle A\--Nonproliferation Program Enhancements

Sec. 3611. Establishment of International Nuclear Materials Protection

and Cooperation Program in Department of

State.

Subtitle B\--Administration and Oversight of Threat Reduction and

Nonproliferation Programs

Sec. 3621. Analysis of effect on threat reduction and nonproliferation

programs of congressional oversight

measures with respect to such programs.

Sec. 3622. Annual report on the use of funds appropriated for threat

reduction and nonproliferation in states of

the former Soviet Union.

Sec. 3623. Plan for and coordination of chemical and biological weapons

nonproliferation programs with states of

the former Soviet Union.

Subtitle C\--United States\--Russia Relations

Sec. 3631. Comprehensive inventories and data exchanges on nuclear

weapons-grade material and nuclear weapons.

Sec. 3632. Establishment of Duma-Congress nuclear threat reduction

working group.

Sec. 3633. Joint United States/North Atlantic Treaty Organization

cooperation with Russia on theater-level

ballistic missile defenses.

Sec. 3634. Encouragement of enhanced collaboration to achieve more

reliable Russian early warning systems.

Sec. 3635. Teller-Kurchatov Alliance for Peace.

Sec. 3636. Nonproliferation fellowships.

Subtitle D\--Other Matters

Sec. 3641. Promotion of discussions on nuclear and radiological

security and safety between the

International Atomic Energy Agency and the

Organization for Economic Cooperation and

Development.

SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

For purposes of this Act, the term \`\`congressional defense

committees\'\' means\--

\(1\) the Committee on Armed Services and the Committee on

Appropriations of the Senate; and

\(2\) the Committee on Armed Services and the Committee on

Appropriations of the House of Representatives.

DIVISION A\--DEPARTMENT OF DEFENSE AUTHORIZATIONS

TITLE I\--PROCUREMENT

Subtitle A\--Authorization of Appropriations

SEC. 101. ARMY.

Funds are hereby authorized to be appropriated for fiscal year 2004

for procurement for the Army as follows:

\(1\) For aircraft, \$2,194,585,000.

\(2\) For missiles, \$1,594,662,000.

\(3\) For weapons and tracked combat vehicles,

\$2,197,404,000.

\(4\) For ammunition, \$1,428,966,000.

\(5\) For other procurement, \$4,321,496,000.

SEC. 102. NAVY AND MARINE CORPS.

\(a\) Navy.\--Funds are hereby authorized to be appropriated for

fiscal year 2004 for procurement for the Navy as follows:

\(1\) For aircraft, \$9,050,048,000.

\(2\) For weapons, including missiles and torpedoes,

\$2,529,821,000.

\(3\) For ammunition, \$963,355,000.

\(4\) For shipbuilding and conversion, \$11,472,384,000.

\(5\) For other procurement, \$4,614,892,000.

\(b\) Marine Corps.\--Funds are hereby authorized to be appropriated

for fiscal year 2004 for procurement for the Marine Corps in the amount

of \$1,154,299,000.

SEC. 103. AIR FORCE.

Funds are hereby authorized to be appropriated for fiscal year 2004

for procurement for the Air Force as follows:

\(1\) For aircraft, \$12,604,451,000.

\(2\) For ammunition, \$1,324,725,000.

\(3\) For missiles, \$4,348,039,000.

\(4\) For other procurement, \$11,376,059,000.

SEC. 104. DEFENSE-WIDE ACTIVITIES.

Funds are hereby authorized to be appropriated for fiscal year 2004

for Defense-wide procurement in the amount of \$3,734,821,000.

Subtitle B\--Army Programs

SEC. 111. STRYKER VEHICLE PROGRAM.

\(a\) Limitation.\--Of the funds authorized to be appropriated under

section 101 for procurement for the Army for fiscal year 2004 that are

available for the Stryker vehicle program, not more than \$655,000,000

may be obligated until\--

\(1\) the Secretary of the Army has submitted to the Deputy

Secretary of Defense the report specified in subsection (b);

\(2\) the Secretary of Defense has submitted to the

congressional defense committees the report and certification

referred to in subsection (c); and

\(3\) a period of 30 days has elapsed after the date of the

receipt by those committees of the report and certification

under paragraph (2).

\(b\) Secretary of the Army Report.\--The report referred to in

subsection (a)(1) is the report required to be submitted by the

Secretary of the Army to the Deputy Secretary of Defense not later than

July 8, 2003, that identifies options for modifications to the

equipment and configuration of the Army brigade designated as
\`\`Stryker

brigades\'\' to assure that those brigades, after incorporating such

modifications, provide\--

\(1\) a higher level of combat capability and sustainability;

\(2\) a capability across a broader spectrum of combat

operations; and

\(3\) a capability to be employed independently of higher-

level command formations and support.

\(c\) Secretary of Defense Report and Certification.\--The Secretary

of Defense shall transmit to the congressional defense committees not

later than 30 days after the date of the receipt by the Deputy

Secretary of Defense of the report of the Secretary of the Army

referred to in subsection (b), the modification options identified by

the Secretary of the Army for purposes of that report. The Secretary of

Defense shall include any comments that may be applicable to the

analysis of the Secretary of the Army\'s report and shall certify to the

committees whether in the Secretary\'s judgment fielding the fourth

Stryker brigade as planned by the Army in a different configuration

from the first three such brigades will fulfill the three objectives

set forth in subsection (b).

\(d\) Authorized Use of Remainder of Funds.\--The funds authorized to

be appropriated for procurement for the Army for fiscal year 2004 that

are available for the Stryker vehicle program and that become available

for obligation upon the conditions of subsection (a) being met shall be

obligated either\--

\(1\) to develop, procure, and field equipment and

capabilities for the fourth Stryker brigade combat team that

would accelerate the options for modifications to enhance

Stryker brigades identified in subsection (b); or

\(2\) for the equipment identified in the fiscal year 2004

budget request to be procured for the fourth Stryker brigade,

if the Secretary of Defense, after reviewing the Secretary of

Army\'s report under subsection (b), determines that the current

configuration of the fourth Stryker brigade meets the criteria

in paragraphs (1) through (3) of subsection (b) and certifies

to the congressional defense committees that the equipment

identified in the fiscal year 2004 budget request to be

procured for the fourth Stryker brigade provides those

capabilities.

\(e\) Limitations.\--(1) In obligating funds in accordance with either

paragraph (1) or paragraph (2) of subsection (d), no action may be

taken that would delay, hinder, or otherwise disrupt the current

production and fielding schedule for the fourth Stryker brigade.

\(2\) Notwithstanding any other provision of this section, all funds

authorized to be appropriated under section 101 for procurement for the

Army for fiscal year 2004 that are available for the Stryker vehicle

program shall be used exclusively to develop, procure, and field

Stryker combat vehicles.

SEC. 112. CONFIGURATION OF FOURTH STRYKER BRIGADE COMBAT TEAM.

\(a\) Configuration, Lethality Enhancements, and Sustainability.\--The

Secretary of the Army shall configure the fourth Stryker brigade combat

team so that that brigade combat team provides the commanders of

combatant commands with enhanced combat capability and sustainability

well beyond the combat and sustainment capabilities provided by any one

of the first three fielded Stryker brigade combat teams.

\(b\) Funds.\--The amount provided in section 101(3) is hereby

increased by \$100,000,000, to be available for procurement of

additional lethality and sustainability enhancements for the fourth

Stryker brigade combat team.

\(c\) Options for Consideration.\--In the execution of the funds

provided pursuant to subsection (b)(1), the Secretary of the Army shall

include among the enhancements considered for the configuration of the

fourth Stryker brigade combat team enhancement with heavy armored

vehicles, with additional heavy attack helicopters, with additional

reconnaissance and attack helicopters, and with indirect fire artillery

capabilities, or with any combination thereof.

\(d\) Report Required.\--Not later than 30 days after the date of the

enactment of this Act, the Secretary of the Army shall submit to the

congressional defense committees a report that details the additional

types of lethality and sustainability enhancements that will be fielded

as part of the new configuration of the fourth Stryker brigade combat

team.

Subtitle C\--Navy Programs

SEC. 121. MULTIYEAR PROCUREMENT AUTHORITY FOR F/A-18 AIRCRAFT PROGRAM.

The Secretary of the Navy may, in accordance with section 2306b of

title 10, United States Code, enter into a multiyear contract,

beginning with the fiscal year 2005 program year, for procurement of

aircraft in the F/A-18E, F/A-18F, and EA-18G configurations. The total

number of aircraft procured through a multiyear contract under this

section may not exceed 234.

SEC. 122. MULTIYEAR PROCUREMENT AUTHORITY FOR TACTICAL TOMAHAWK CRUISE

MISSILE PROGRAM.

The Secretary of the Navy may, in accordance with section 2306b of

title 10, United States Code, enter into a multiyear contract,

beginning with the fiscal year 2004 program year, for procurement of

Tactical Tomahawk cruise missiles. The total number of missiles

procured through a multiyear contract under this section shall be

determined by the Secretary of the Navy, based upon the funds

available, but not to exceed 900 in any year.

SEC. 123. MULTIYEAR PROCUREMENT AUTHORITY FOR VIRGINIA CLASS SUBMARINE

PROGRAM.

\(a\) Authority.\--The Secretary of the Navy may, in accordance with

section 2306b of title 10, United States Code, enter into a multiyear

contract, beginning with the fiscal year 2004 program year, for

procurement of seven Virginia-class submarines.

\(b\) Limitation.\--The Secretary of the Navy may not enter into a

contract authorized by subsection (a) until\--

\(1\) the Secretary submits to the congressional defense

committees a certification that the Secretary has made each of

the findings with respect to such contract specified in

subsection (a) of section 2306b of title 10, United States

Code; and

\(2\) a period of 30 days has elapsed after the date of the

transmission of such certification.

SEC. 124. MULTIYEAR PROCUREMENT AUTHORITY FOR E-2C AIRCRAFT PROGRAM.

\(a\) Aircraft.\--The Secretary of the Navy may, in accordance with

section 2306b of title 10, United States Code, enter into a multiyear

contract, beginning with the fiscal year 2004 program year, for

procurement of four E-2C and four TE-2C aircraft.

\(b\) Engines.\--The Secretary of the Navy may, in accordance with

section 2306b of title 10, United States Code, enter into a multiyear

contract, beginning with the fiscal year 2004 program year, for

procurement of 16 engines for aircraft in the E-2C or TE-2C

configuration.

\(c\) Limitation on Term of Contracts.\--Notwithstanding subsection

\(k\) of section 2306b of title 10, United States Code, a contract under

this section may not be for a period in excess of four program years.

SEC. 125. LPD-17 CLASS VESSEL.

If after May 7, 2003, there is enacted an Act making supplemental

appropriations for the Department of Defense for fiscal year 2003 that

includes appropriation of an amount for procurement of Tomahawk cruise

missiles for the Navy, then\--

\(1\) the amount provided in section 102 for procurement of

weapons for the Navy is reduced by the amount so appropriated

or by \$200,000,000, whichever is less, with such reduction to

be derived from amounts authorized for procurement of Tomahawk

cruise missiles; and

\(2\) the amount provided in section 102 for shipbuilding and

conversion is increased by the amount of the reduction under

paragraph (1), with the amount of such increase to be available

for advance procurement of long-lead items, including the

advance fabrication of components, for one LPD-17 class vessel.

Subtitle D\--Air Force Programs

SEC. 131. AIR FORCE AIR REFUELING TRANSFER ACCOUNT.

\(a\) Transfer Account.\--There is hereby established an account for

the Department of the Air Force to be known as the Air Force Air

Refueling Transfer Account. Amounts in such account may be used in

accordance with subsection (c).

\(b\) Authorization of Appropriations.\--Within the amount provided in

section 103(1), there is authorized to be appropriated to the Air Force

Air Refueling Transfer Account for fiscal year 2004 the amount of

\$229,200,000.

\(c\) Authorized Use of Funds.\--Amounts in the Air Force Air

Refueling Transfer Account may be used for any of the following

purposes, as determined by the Secretary of the Air Force:

\(1\) Necessary expenses for fiscal year 2004 to prepare for

leasing of tanker aircraft under section 8159 of the Department

of Defense Appropriations Act, 2002 (division A of Public Law

107-117; 115 Stat. 2284; 10 U.S.C. 2401a note).

\(2\) Necessary expenses for fiscal year 2004 to prepare for

purchase of tanker aircraft for the Air Force.

\(3\) Retaining in active service (rather than retiring) KC-

135E aircraft.

\(4\) Maintenance of equipment for KC-135 aircraft that was

purchased through a depot.

\(d\) Authorized Transfers.\--Subject to subsections (e) and (f), the

Secretary of the Air Force may transfer funds in the Air Force Air

Refueling Transfer Account to appropriations of the Air Force available

for purposes set forth in subsection (c), including appropriations

available for procurement, for research, development, test, and

evaluation, for operation and maintenance, and for military personnel

(in the case of retaining KC-135E aircraft in active service), in such

amounts as the Secretary determines necessary for such purpose.

\(e\) Limitation.\--Amounts appropriated to the Air Force Air

Refueling Transfer Account pursuant to the authorization of

appropriations in subsection (b) may not be used to enter into a lease

for tanker aircraft or to enter into a contract for procurement of

tanker aircraft.

\(f\) Notice to Congress.\--A transfer of funds under subsection (d)

may not be made until\--

\(1\) the Secretary of the Air Force notifies the

congressional defense committees in writing of the amount and

purpose of the proposed transfer, including each account to

which the transfer is to be made; and

\(2\) a period of 30 days has elapsed after the date on which

the notice is received by those committees.

SEC. 132. INCREASE IN NUMBER OF AIRCRAFT AUTHORIZED TO BE PROCURED

UNDER MULTIYEAR PROCUREMENT AUTHORITY FOR AIR FORCE C-

130J AIRCRAFT PROGRAM.

Section 131(a) of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003 (Public Law 107-314; 116 Stat. 2475) is amended by

striking \`\`40 C-130J aircraft\'\' and inserting \`\`42 C-130J
aircraft\'\'.

SEC. 133. LIMITATION ON RETIRING C-5 AIRCRAFT.

\(a\) Limitation.\--The Secretary of the Air Force may not proceed

with a decision to retire C-5A aircraft from the active inventory of

the Air Force in any number that which would reduce the total number of

such aircraft in the active inventory below 112 until\--

\(1\) the Air Force has modified a C-5A aircraft to the

configuration referred to as the Reliability Enhancement and

Reengining Program (RERP) configuration, as planned under the

C-5 System Development and Demonstration program as of May 1,

2003; and

\(2\) the Director of Operational Test and Evaluation of the

Department of Defense\--

\(A\) conducts an operational evaluation of that

aircraft, as so modified; and

\(B\) provides to the Secretary of Defense and the

congressional defense committees an operational

assessment.

\(b\) Operational Evaluation.\--An operational evaluation for purposes

of paragraph (2)(A) of subsection (a) is an evaluation, conducted

during operational testing and evaluation of the aircraft, as so

modified, of the performance of the aircraft with respect to

reliability, maintainability, and availability and with respect to

critical operational issues.

\(c\) Operational Assessment.\--An operational assessment for purposes

of paragraph (2)(B) of subsection (a) is an operational assessment of

the program to modify C-5A aircraft to the configuration referred to in

subsection (a)(1) regarding both overall suitability and deficiencies

of the program to improve performance of the C-5A aircraft relative to

requirements and specifications for reliability, maintainability, and

availability of that aircraft as in effect on May 1, 2003.

SEC. 134. LIMITATION ON OBLIGATION OF FUNDS FOR PROCUREMENT OF F/A-22

AIRCRAFT.

\(a\) Limitation.\--Of the amount appropriated for fiscal year 2004

for procurement of F/A-22 aircraft, \$136,000,000 may not be obligated

until the Under Secretary of Defense for Acquisition, Technology, and

Logistics submits to the congressional defense committees the Under

Secretary\'s certification that\--

\(1\) the four primary aircraft designated to participate in

the dedicated initial operational test and evaluation program

for the F/A-22 aircraft have each been equipped with the

version of the avionics software operational flight program

that is designated as version 3.1.2 or a later version; and

\(2\) before the commencement of that dedicated initial

operational test and evaluation program, those four aircraft

(as so equipped) demonstrate, on average, an avionics software

mean time between instability events of at least 20 hours.

\(b\) Contingency Waiver Authority.\--If the Under Secretary notifies

the Secretary of Defense that the Under Secretary is unable to make the

certification described in subsection (a), the Secretary may waive the

limitation under that subsection. Upon making such a waiver\--

\(1\) the Secretary of Defense shall notify the congressional

defense committees of the waiver and of the reasons therefor;

and

\(2\) the funds described in subsection (a) may then be

obligated, by reason of such waiver, after the end of the 30-

day period beginning on the date on which the Secretary\'s

notification is received by those committees.

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

Subtitle A\--Authorization of Appropriations

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

Funds are hereby authorized to be appropriated for fiscal year 2004

for the use of the Department of Defense for research, development,

test, and evaluation as follows:

\(1\) For the Army, \$9,332,382,000.

\(2\) For the Navy, \$14,343,360,000.

\(3\) For the Air Force, \$20,548,867,000.

\(4\) For Defense-wide activities, \$18,461,046,000, of which

\$286,661,000 is authorized for the Director of Operational Test

and Evaluation.

SEC. 202. AMOUNT FOR DEFENSE SCIENCE AND TECHNOLOGY.

\(a\) Fiscal Year 2004.\--Of the amounts authorized to be appropriated

by section 201, \$10,893,077,000 shall be available for the Defense

Science and Technology Program, including basic research, applied

research, and advanced technology development projects.

\(b\) Basic Research, Applied Research, and Advanced Technology

Development Defined.\--For purposes of this section, the term \`\`basic

research, applied research, and advanced technology development\'\'
means

work funded in program elements for defense research and development

under Department of Defense category 6.1, 6.2, or 6.3.

SEC. 203. PROGRAM INCREASES.

\(a\) Computer-Assisted Medical Diagnostic Technology.\--The amount

provided in section 201(1) for research, development, test, and

evaluation, Army, is hereby increased by \$3,000,000, to be available

for Medical Advanced Technology in Program Element 0603002A for

evaluation for potential use by Department of Defense medical treatment

facilities of commercially available medical diagnostic technology

that, using a digital chemical library and decision support software,

can be used for diagnosis of dermatological diseases.

\(b\) Lightweight Cartridge Cases for Ammunition.\--The amount

provided in section 201(1) for research, development, test, and

evaluation, Army, is hereby increased by \$3,000,000, to be available

for Weapons and Munitions Advanced Technology in Program Element

0603004A for advanced technology development for lightweight cartridge

cases for ammunition.

\(c\) Aviation-Shipboard Information Technology.\--The amount provided

in section 201(2) for research, development, test, and evaluation,

Navy, is hereby increased by \$6,500,000, to be available for Shipboard

Aviation Systems in Program Element 0604512N to complete research and

development for the Aviation-Shipboard Information Technology

Initiative.

\(d\) AutoREAD.\--The amount provided in section 201(2) for research,

development, test, and evaluation, Navy, is hereby increased by

\$1,400,000, to be available for Shipboard Aviation Systems in Program

Element 0604512N to complete research and development for the AutoREAD

system for improving the accuracy and reducing the workload of

collecting preventive maintenance data on aircraft launch and recovery

systems.

\(e\) SPIKE Urban Warfare System.\--The amount provided in section

201(2) for research, development, test, and evaluation, Navy, is hereby

increased by \$5,000,000, to be available for the Marine Corps Advanced

Technology Demonstrations in Program Element 0603640M for development

and demonstration of the SPIKE urban warfare system.

\(f\) Research in Hydrographic Sciences.\--The amount provided in

section 201(2) for research, development, test, and evaluation, Navy,

is hereby increased by \$3,250,000, to be available for Air/Ocean

Tactical Applications advanced component development and prototyping in

Program Element 0603207N for hydrographic sciences research.

\(g\) Shipboard Electronic Warfare Improvements.\--The amount provided

in section 201(2) for research, development, test, and evaluation,

Navy, is hereby increased by \$5,000,000, to be available for system

development and demonstration for Tactical Command Systems in Program

Element 0604231N for an at-sea demonstration for shipboard use of a

variant of the F/A-22 digital electronic warfare product improvement

program.

\(h\) Aerospace Sensors.\--The amount provided in section 201(3) for

research, development, test, and evaluation, Air Force, is hereby

increased by \$4,000,000, to be available for Aerospace Sensors in

Program Element 0602204F for development of general purpose

reconfigurable signal processors suitable for time critical sensor

processing for broad military intelligence, surveillance, and

reconnaissance applications.

\(i\) Elemental Detector Technology Appraisal.\--The amount provided

in section 201(4) for research, development, test, and evaluation,

Defense-Wide, is hereby increased by \$2,000,000, to be available for

Program Element 0603750D8Z, Advanced Concept Technology Demonstrations,

to evaluate the capability of an elemental detector to provide

directional cueing to concentrations of specific elements and

compounds.

\(j\) Mustard Gas Antidote.\--The amount provided in section 201(4)

for research, development, test, and evaluation, Defense-wide, is

hereby increased by \$5,000,000, to be available for Chemical-Biological

Defense Applied Research in Program Element 0603284BP for continuing

applied research on an antidote for mustard gas.

Subtitle B\--Program Requirements, Restrictions, and Limitations

SEC. 211. COLLABORATIVE PROGRAM FOR DEVELOPMENT OF ELECTROMAGNETIC GUN

TECHNOLOGY.

\(a\) Program Required.\--The Secretary of Defense shall establish and

carry out a collaborative program for evaluation and demonstration of

advanced technologies and concepts for advanced gun systems that use

electromagnetic propulsion for direct and indirect fire applications.

\(b\) Description of Program.\--The program under subsection (a) shall

be carried out collaboratively pursuant to a memorandum of agreement to

be entered into among the Secretary of the Army, the Secretary of the

Navy, and the Director of the Defense Advanced Research Projects

Agency. The program shall include the following activities:

\(1\) Identification of technical objectives, quantified

technical barriers, and enabling technologies associated with

development of the objective electromagnetic gun systems

envisioned to meet the needs of each of the Armed Forces and,

in so doing, identification of opportunities for development of

components or subsystems common to those envisioned gun

systems.

\(2\) Preparation of a time-based plan for development of

electromagnetic gun systems for direct fire applications,

indirect fire applications, or both direct and indirect fire

applications (in the case of the Army and Marine Corps) and for

indirect fire applications (in the case of the Navy), which\--

\(A\) includes the programs currently planned by the

Army and by the Navy and demonstrates how the enabling

technologies common to such Army and Navy programs are

used; and

\(B\) provides estimated dates for decision points,

prototype demonstrations, and transitions of successful

cases from the collaborative program under this section

to an acquisition program.

\(3\) For each of the enabling technologies common to the

Army and Navy programs, identification of whether lead

responsibility for developing that technology should be

assigned to the Secretary of the Army, the Secretary of the

Navy, or the Director, with the Director favored in cases in

which the technology is highly challenging or high risk, high

reward, and with each such Secretary favored in cases in which

that Secretary\'s military department possesses superior

expertise or experience with the technology.

\(4\) Identification of a strategy for the participation of

industry in the program.

\(c\) Matters Included.\--The advanced technologies and concepts

included under the program may include, but are not limited to, the

following:

\(1\) Advanced electrical power, energy storage, and

switching systems.

\(2\) Electromagnetic launcher materials and construction

techniques for long barrel life.

\(3\) Guidance and control systems for electromagnetically

launched projectiles.

\(4\) Advanced projectiles and other munitions for

electromagnetic gun systems.

\(5\) Hypervelocity terminal effects.

\(d\) Relationship to Separate Programs of Military Departments.\--The

Secretary of the Army and the Secretary of the Navy shall carry out

separate programs for the evaluation and demonstration of advanced

technologies and concepts for, and for the further development and

acquisition of, advanced gun systems referred to in subsection (a).

Each such Secretary shall incorporate in that Secretary\'s program the

most promising of the technology products matured under the program

under subsection (a).

\(e\) Report.\--Not later than March 31, 2004, the Secretary of the

Army, the Secretary of the Navy, and the Director of the Defense

Advanced Research Projects Agency shall jointly submit a report to the

congressional defense committees on the implementation of the program

under subsection (a). The report shall include the following:

\(1\) A description of the memorandum of agreement entered

into under subsection (b).

\(2\) The time-based plan required by subsection (b)(2).

\(3\) A description of the goals and objectives of the

program.

\(4\) Identification of funding required for fiscal year 2004

and for the future years defense program to carry out the

program.

\(5\) A description of a plan for industry participation in

the program.

SEC. 212. AUTHORITY TO SELECT CIVILIAN EMPLOYEE OF DEPARTMENT OF

DEFENSE AS DIRECTOR OF DEPARTMENT OF DEFENSE TEST

RESOURCE MANAGEMENT CENTER.

Section 196(b)(1) of title 10, United States Code, is amended\--

\(1\) in the first sentence, by inserting before the period

at the end the following: \`\`or from among senior civilian

officials or employees of the Department of Defense who have

substantial experience in the field of test and evaluation\'\';

and

\(2\) in the second sentence, by striking \`\`vice admiral\'\'

and inserting \`\`the grade of vice admiral, or, in the case of a

civilian official or employee, an equivalent level\'\'.

SEC. 213. DEVELOPMENT OF THE JOINT TACTICAL RADIO SYSTEM.

\(a\) Joint Program Office.\--The Secretary of Defense shall designate

a single joint program office within the Department of Defense for

management of the Joint Tactical Radio System development program. The

Secretary shall provide for the head of that office to be selected on a

rotating basis from among officers of different Armed Forces.

\(b\) Consolidated Program Elements.\--The Secretary shall provide

that all funds for development and procurement of the Joint Tactical

Radio System program shall be consolidated under and managed by the

head of the joint program office designated under subsection (a).

\(c\) Program Development.\--The Secretary shall provide that, subject

to the authority, direction, and control of the Secretary, the head of

the joint program office designated under subsection (a) shall\--

\(1\) establish and control the performance specifications

for the Joint Tactical Radio System;

\(2\) establish and control the standards for development of

the software and equipment for that system;

\(3\) establish and control the standards for operation of

that system; and

\(4\) develop a single, unified concept of operations for all

users of that system.

SEC. 214. FUTURE COMBAT SYSTEMS.

\(a\) Limitation.\--None of the funds authorized to be appropriated

under section 201(1) for development and demonstration of systems for

the Future Combat Systems program may be obligated or expended until 30

days after the Secretary of the Army submits to the congressional

defense committees a report on such program. The report shall include

the following:

\(1\) The findings and conclusions of\--

\(A\) the review of the Future Combat Systems program

carried out by the independent panel at the direction

of the Secretary of Defense; and

\(B\) the milestone B review of the Future Combat

Systems program carried out by the defense acquisition

board.

\(2\) For each of the key performance parameters relating to

the Future Combat Systems program, the threshold value at which

the utility of the individual systems comprising the Future

Combat Systems program become questionable.

\(3\) For each of the three projects requested under program

element 64645A, Armored Systems Modernization, a completed

analysis of alternatives.

\(b\) Separate Program Elements.\--For fiscal years beginning with

2004, the Secretary of Defense shall ensure that\--

\(1\) each project under the Army\'s Future Combat Systems

program (whether in existence before, on, or after the date of

the enactment of this Act) is assigned a separate, dedicated

program element; and

\(2\) before such a program element is assigned to such a

project, an analysis of alternatives for such project is

completed.

SEC. 215. ARMY PROGRAM TO PURSUE TECHNOLOGIES LEADING TO THE ENHANCED

PRODUCTION OF TITANIUM BY THE UNITED STATES.

\(a\) Efforts Required.\--The Secretary of Defense shall\--

\(1\) assess promising technologies leading to the enhanced

production of titanium by the United States; and

\(2\) select, on a competitive basis, the most viable such

technologies for research, development, and production.

\(b\) Executive Agent.\--The Secretary of the Army shall serve as

executive agent in carrying out subsection (a).

\(c\) Funding.\--Of the funds authorized to be appropriated by section

201(1) for research, development, test, and evaluation, Army, for

fiscal year 2004, \$8,000,000 shall be available in program element

62624A to carry out this section.

SEC. 216. EXTENSION OF REPORTING REQUIREMENT FOR RAH-66 COMANCHE

AIRCRAFT PROGRAM.

Section 211 of the Bob Stump National Defense Authorization Act for

Fiscal Year 2003 (Public Law 107-314; 116 Stat. 2479) is amended in

subsection (a) by inserting \`\`and fiscal year 2004\'\' after
\`\`fiscal

year 2003\'\'.

SEC. 217. STUDIES OF FLEET PLATFORM ARCHITECTURES FOR THE NAVY.

\(a\) Independent Studies.\--(1) The Secretary of Defense shall

provide for the performance of eight independent studies on alternative

future fleet platform architectures for the Navy.

\(2\) The Secretary shall forward the results of each study to the

congressional defense committees not later than March 1, 2004.

\(3\) Each such study shall be submitted both in unclassified, and to

the extent necessary, in classified versions.

\(b\) Entities to Perform Studies.\--The Secretary of Defense shall

provide for the studies under subsection (a) to be performed as

follows:

\(1\) One shall be performed by the Secretary of the Navy,

using Department of the Navy personnel.

\(2\) Four shall be performed by qualified analytical

organizations external to Department of Defense.

\(3\) Three shall be performed by defense firms, or teams of

defense firms, in the private sector.

\(c\) Performance of Studies.\--(1) The Secretary of Defense shall

require each entity undertaking one of the studies under this section

to commit to performing the study independently from the other studies

and, in the case of the entities selected under paragraphs (2) and (3)

of subsection (b), independently from the Navy, so as to ensure

independent analysis.

\(2\) In performing a study under this section, the entity performing

the study shall consider the following:

\(A\) The National Security Strategy of the United States.

\(B\) Potential future threats to the United States and to

United States naval forces.

\(C\) The traditional roles and missions of United States

naval forces.

\(D\) Alternative roles and missions.

\(E\) The role of evolving technology on future naval forces.

\(F\) Opportunities for reduced manning and unmanned ships

and vehicles in future naval forces.

\(3\) Each entity performing a study under this section, while

cognizant of current overall fleet platform architecture, shall not

allow the current features of fleet platform architecture to constrain

the analysis for purposes of that study.

\(d\) Naval Studies.\--Each study under this section shall present one

or two possible overall fleet platform architectures. For each such

architecture presented, the study shall include the following:

\(1\) The numbers, kinds, and sizes of vessels, the numbers

and types of associated manned and unmanned vehicles, and the

basic capabilities of each of those platforms.

\(2\) Other information needed to understand that

architecture in basic form and the supporting analysis.

\(e\) Costs.\--Within the amount provided in section 201(2), the

amount of \$1,600,000 is authorized, within Program Element 65154N, for

the purposes of this section.

Subtitle C\--Ballistic Missile Defense

SEC. 221. ENHANCED FLEXIBILITY FOR BALLISTIC MISSILE DEFENSE SYSTEMS.

\(a\) Flexibility for Specification of Program Elements.\--Subsection

\(a\) of section 223 of title 10, United States Code, is amended\--

\(1\) by inserting \`\`by President\'\' in the subsection heading

after \`\`Specified\'\';

\(2\) by striking \`\`program elements governing functional

areas as follows:\'\' and inserting \`\`such program elements as

the President may specify.\'\'; and

\(3\) by striking paragraphs (1) through (6).

\(b\) Conforming Amendments.\--(1) Subsection (c) of such section is

amended by striking \`\`for each program element specified in subsection

(a)\'\' and inserting \`\`for a fiscal year for any program element

specified for that fiscal year pursuant to subsection (a)\'\'.

\(2\) Subsection (c)(3) of section 232 of the National Defense

Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat.

1037; 10 U.S.C. 2431 note) is amended by striking \`\`each functional

area\'\' and all that follows through \`\`subsection (b),\'\' and
inserting

\`\`each then-current program element for ballistic missile defense

systems in effect pursuant to subsection (a) or (b)\'\'.

\(c\) Amendments Relating to Changes in Acquisition Terminology.\--(1)

Section 223(b)(2) of title 10, United States Code, is amended by

striking \`\`means the development phase whose\'\' and inserting
\`\`means

the period in the course of an acquisition program during which the\'\'.

\(2\) Subsection (d)(1) of section 232 of the National Defense

Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat.

1037; 10 U.S.C. 2431 note) is amended by striking \`\`, as added by

subsection (b)\'\'.

TITLE III\--OPERATION AND MAINTENANCE

Subtitle A\--Authorization of Appropriations

SEC. 301. OPERATION AND MAINTENANCE FUNDING.

Funds are hereby authorized to be appropriated for fiscal year 2004

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, \$25,050,587,000.

\(2\) For the Navy, \$27,901,790,000.

\(3\) For the Marine Corps, \$3,517,756,000.

\(4\) For the Air Force, \$25,434,460,000.

\(5\) For Defense-wide activities, \$16,134,047,000.

\(6\) For the Army Reserve, \$1,954,009,000.

\(7\) For the Naval Reserve, \$1,171,921,000.

\(8\) For the Marine Corps Reserve, \$199,452,000.

\(9\) For the Air Force Reserve, \$2,170,188,000.

\(10\) For the Army National Guard, \$4,194,331,000.

\(11\) For the Air National Guard, \$4,404,646,000.

\(12\) For the United States Court of Appeals for the Armed

Forces, \$10,333,000.

\(13\) For Environmental Restoration, Army, \$396,018,000.

\(14\) For Environmental Restoration, Navy, \$256,153,000.

\(15\) For Environmental Restoration, Air Force,

\$384,307,000.

\(16\) For Environmental Restoration, Defense-wide,

\$24,081,000.

\(17\) For Environmental Restoration, Formerly Used Defense

Sites, \$212,619,000.

\(18\) For Overseas Humanitarian, Disaster, and Civic Aid

programs, \$59,000,000.

\(19\) For Cooperative Threat Reduction programs,

\$450,800,000.

\(20\) United States Industrial Base Capabilities Fund,

\$100,000,000.

SEC. 302. WORKING CAPITAL FUNDS.

Funds are hereby authorized to be appropriated for fiscal year 2004

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, \$632,261,000.

\(2\) For the National Defense Sealift Fund, \$1,102,762,000.

\(3\) For the Defense Commissary Agency Working Capital Fund,

\$1,089,246,000.

SEC. 303. OTHER DEPARTMENT OF DEFENSE PROGRAMS.

\(a\) Defense Health Program.\--Funds are hereby authorized to be

appropriated for the Department of Defense for fiscal year 2004 for

expenses, not otherwise provided for, for the Defense Health Program,

\$15,317,063,000, of which\--

\(1\) \$14,923,441,000 is for Operation and Maintenance;

\(2\) \$65,796,000 is for Research, Development, Test, and

Evaluation; and

\(3\) \$327,826,000 is for Procurement.

\(b\) Chemical Agents and Munitions Destruction, Defense.\--(1) Funds

are hereby authorized to be appropriated for the Department of Defense

for fiscal year 2004 for expenses, not otherwise provided for, for

Chemical Agents and Munitions Destruction, Defense, \$1,580,261,000, of

which\--

\(A\) \$1,249,168,000 is for Operation and Maintenance;

\(B\) \$251,881,000 is for Research, Development, Test, and

Evaluation; and

\(C\) \$79,212,000 is for Procurement.

\(2\) Amounts authorized to be appropriated under paragraph (1) are

authorized 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.

\(c\) Drug Interdiction and Counter-Drug Activities, Defense-wide.\--

Funds are hereby authorized to be appropriated for the Department of

Defense for fiscal year 2004 for expenses, not otherwise provided for,

for Drug Interdiction and Counter-Drug Activities, Defense-wide,

\$817,371,000.

\(d\) Defense Inspector General.\--Funds are hereby authorized to be

appropriated for the Department of Defense for fiscal year 2004 for

expenses, not otherwise provided for, for the Office of the Inspector

General of the Department of Defense, \$162,449,000.

SEC. 304. COUNTEREXPLOITATION INITIATIVE.

Within the amount authorized to be appropriated by section 301(5)

for operations and maintenance, Defense-wide, the amount for the United

States Special Operations Command is hereby increased by \$1,100,000, to

be made available for the initiative for accurately tracing portable,

sensitive items exported beyond the borders of the United States.

SEC. 305. REDUCTION IN AUTHORIZATION FOR AIR FORCE OPERATION AND

MAINTENANCE ACCOUNT.

The amount authorized to be appropriated in section 301(4) is

hereby reduced by \$135,500,000.

Subtitle B\--Environmental Provisions

SEC. 311. REAUTHORIZATION AND MODIFICATION OF TITLE I OF SIKES ACT.

\(a\) Reauthorization.\--Section 108 of the Sikes Act (16 U.S.C. 670f)

is amended by striking \`\`fiscal years 1998 through 2003\'\' each place
it

appears and inserting \`\`fiscal years 2004 through 2008\'\'.

\(b\) Sense of Congress Regarding Section 107.\--(1) Congress finds

the following:

\(A\) The Department of Defense maintains over 25,000,000

acres of valuable fish and wildlife habitat on approximately

400 military installations nationwide.

\(B\) These lands contain a wealth of plant and animal life,

vital wetlands for migratory birds, and nearly 300 federally

listed threatened species and endangered species.

\(C\) Increasingly, land surrounding military bases are being

developed with residential and commercial infrastructure that

fragments fish and wildlife habitat and decreases its ability

to support a diversity of species.

\(D\) Comprehensive conservation plans, such as integrated

natural resource management plans under the Sikes Act (16

U.S.C. 670 et seq.), can ensure that these ecosystem values can

be protected and enhanced while allowing these lands to meet

the needs of military operations.

\(E\) Section 107 of the Sikes Act (16 U.S.C. 670e-2)

requires sufficient numbers of professionally trained natural

resources management personnel and natural resources law

enforcement personnel to be available and assigned

responsibility to perform tasks necessary to carry out title I

of the Sikes Act, including the preparation and implementation

of integrated natural resource management plans.

\(F\) Managerial and policymaking functions performed by

Department of Defense on-site professionally trained natural

resource management personnel on military installations are

appropriate governmental functions.

\(G\) Professionally trained civilian biologists in permanent

Federal Government career managerial positions are essential to

oversee fish and wildlife and natural resource conservation

programs are essential to the conservation of wildlife species

on military land.

\(2\) It is the sense of Congress that the Secretary of Defense

should take whatever steps are necessary to ensure that section 107 of

the Sikes Act (16 U.S.C. 670e-2) is fully implemented consistent with

the findings made in paragraph (1).

\(c\) Pilot Program for Invasive Species Management for Military

Installations.\--(1) Section 101(b)(1) of the Sikes Act (16 U.S.C.

670a(b)(1)) is amended by redesignating subparagraphs (D) through (J)

in order as subparagraphs (E) through (K), and by inserting after

subparagraph (C) the following:

\`\`(D) during fiscal years 2004 through 2008, in the

case of a plan for a military installation in Guam,

management, control, and eradication of invasive

species that are not native to the ecosystem of the

military installation and the introduction of which

cause or may cause harm to military readiness, the

environment, the economy, or human health and

safety;\'\'.

\(2\) The amendment made by paragraph (1) shall apply\--

\(A\) to any integrated natural resources management plan

prepared for a military installation in Guam under section

101(a)(1) of the Sikes Act (16 U.S.C. 670a(a)(1)) on or after

the date of the enactment of this Act; and

\(B\) to any integrated natural resources management plan

prepared for a military installation in Guam under section

101(a)(1) of the Sikes Act (16 U.S.C. 670a(a)(1)) before the

date of the enactment of this Act, effective March 1, 2004.

SEC. 312. AUTHORIZATION FOR DEFENSE PARTICIPATION IN WETLAND MITIGATION

BANKS.

\(a\) In General.\--Chapter 159 of title 10, United States Code, is

amended by inserting after section 2694a the following new section:

\`\`Sec. 2694b. Participation in wetland mitigation banks

\`\`(a) Authority to Participate.\--The Secretary of a military

department, and the Secretary of Defense with respect to matters

concerning a Defense Agency, when engaged in an authorized activity

that may or will result in the destruction of, or an adverse impact to,

a wetland, may make payments to a wetland mitigation banking program or

\`in-lieu-fee\' mitigation sponsor approved in accordance with the

Federal Guidance for the Establishment, Use and Operation of Mitigation

Banks (60 Fed. Reg. 58605; November 28, 1995) or the Federal Guidance

on the Use of In-Lieu-Fee Arrangements for Compensatory Mitigation

Under Section 404 of the Clean Water Act and Section 10 of the Rivers

and Harbors Act (65 Fed. Reg. 66913; November 7, 2000), or any

successor administrative guidance.

\`\`(b) Alternative to Creation of Wetland.\--Participation in a

wetland mitigation banking program or consolidated user site under

subsection (a) shall be in lieu of mitigating wetland impacts through

the creation of a wetland on Federal property.

\`\`(c) Treatment of Payments.\--Payments made under subsection (a) to

a wetland mitigation banking program or consolidated user site may be

treated as eligible project costs for military construction.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by inserting after the item relating to section

2694a the following new item:

\`\`2694b. Participation in wetland mitigation banks.\'\'.

SEC. 313. INCLUSION OF ENVIRONMENTAL RESPONSE EQUIPMENT AND SERVICES IN

NAVY DEFINITIONS OF SALVAGE FACILITIES AND SALVAGE

SERVICES.

\(a\) Salvage Facilities.\--Section 7361 of title 10, United States

Code, is amended by adding at the end the following new subsection:

\`\`(e) Salvage Facilities Defined.\--In this section, the term

\`salvage facilities\' includes equipment and gear utilized to prevent,

abate, or minimize damage to the environment in connection with a

marine salvage operation.\'\'.

\(b\) Settlement of Claims for Salvage Services.\--Section 7363 of

such title is amended\--

\(1\) by inserting \`\`(a) Authority to Settle Claim.\--\'\'

before \`\`The Secretary\'\'; and

\(2\) by adding at the end the following new subsection:

\`\`(b) Salvage Services Defined.\--In this section, the term \`salvage

services\' includes services performed in connection with a marine

salvage operation that are intended to prevent, abate, or minimize

damage to the environment.\'\'.

SEC. 314. CLARIFICATION OF DEPARTMENT OF DEFENSE RESPONSE TO

ENVIRONMENTAL EMERGENCIES.

\(a\) Transportation of Humanitarian Relief Supplies to Respond to

Environmental Emergencies.\--Section 402 of title 10, United States

Code, is amended\--

\(1\) by redesignating subsection (d) as subsection (e); and

\(2\) by inserting after subsection (c) the following new

subsection (d):

\`\`(d) Response to Environmental Emergencies.\--The authority of the

Secretary of Defense to transport humanitarian relief supplies under

this section includes the authority to transport supplies intended for

use to respond to, or mitigate the effects of, an event or condition,

such as an oil spill, that threatens serious harm to the

environment.\'\'.

\(b\) Conditions on Provision of Transportation.\--Subsection (b) of

such section is amended\--

\(1\) in paragraph (1)(C), by inserting \`\`or entity\'\' after

\`\`people\'\';

\(2\) in paragraph (1)(E), by inserting \`\`or use\'\' after

\`\`distribution\'\'; and

\(3\) in paragraph (3), by striking \`\`donor to ensure that

supplies to be transported under this section\'\' and inserting

\`\`entity requesting the transport of supplies under this

section to ensure that the supplies\'\'.

\(c\) Provision of Disaster Assistance.\--Section 404 of such title is

amended\--

\(1\) in subsection (a), by inserting \`\`or serious harm to

the environment\'\' after \`\`loss of lives\'\'; and

\(2\) in subsection (c)(2), by inserting \`\`or the

environment\'\' after \`\`human lives\'\'.

\(d\) Provision of Humanitarian Assistance.\--Section 2561(a) of such

title is amended\--

\(1\) by inserting \`\`(1)\'\' before \`\`To the extent\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(2) The authority of the Department of Defense to provide

humanitarian assistance under this section includes the authority to

transport supplies or provide assistance intended for use to respond

to, or mitigate the effects of, an event or condition, such as an oil

spill, that threatens serious harm to the environment.\'\'.

SEC. 315. REQUIREMENTS FOR RESTORATION ADVISORY BOARDS AND EXEMPTION

FROM FEDERAL ADVISORY COMMITTEE ACT.

\(a\) Membership and Meeting Requirements for Restoration Advisory

Boards.\--The Secretary of Defense shall amend the regulations required

by section 2705(d)(2) of title 10, United States Code, relating to the

establishment, characteristics, composition, and funding of restoration

advisory boards to ensure that each restoration advisory board complies

with the following requirements:

\(1\) Each restoration advisory board shall be fairly

balanced in its membership in terms of the points of view

represented and the functions to be performed.

\(2\) Unless a closed or partially closed meeting is

determined to be proper in accordance with one or more of the

exceptions listed in the section 552b(c) of title 5, United

States Code, each meeting of a restoration advisory board shall

be\--

\(A\) held at a reasonable time and in a manner or

place reasonably accessible to the public, including

individuals with disabilities; and

\(B\) open to the public.

\(3\) Timely notice of each meeting of a restoration advisory

board shall be published in a local newspaper of general

circulation.

\(4\) Interested persons may appear before or file statements

with a restoration advisory board, subject to such reasonable

restrictions as the Secretary may prescribe.

\(5\) Subject to section 552 of title 5, United States Code,

the records, reports, minutes, appendixes, working papers,

drafts, studies, agenda, or other documents that were made

available to, prepared for, or prepared by each restoration

advisory board shall be available for public inspection and

copying at a single, publicly accessible location, such as a

public library or an appropriate office of the military

installation for which the restoration advisory board is

established, at least until the restoration advisory board is

terminated.

\(6\) Detailed minutes of each meeting of each restoration

advisory board shall be kept and shall contain a record of the

persons present, a complete and accurate description of matters

discussed and conclusions reached, and copies of all reports

received, issued, or approved by the restoration advisory

board. The accuracy of the minutes of a restoration advisory

board shall be certified by the chairperson of the board.

\(b\) FACA Exemption.\--Section 2705(d)(2) of title 10, United States

Code, is amended by adding at the end the following new subparagraph:

\`\`(C) The Federal Advisory Committee Act (5 U.S.C. App.) shall not

apply to a restoration advisory board established under this

subsection.\'\'.

SEC. 316. REPORT REGARDING IMPACT OF CIVILIAN COMMUNITY ENCROACHMENT

AND CERTAIN LEGAL REQUIREMENTS ON MILITARY INSTALLATIONS

AND RANGES.

\(a\) Study Required.\--The Secretary of Defense shall conduct a study

on the impact, if any, of the following types of activities at military

installations and operational ranges:

\(1\) Civilian community encroachment on those military

installations and ranges whose operational training activities,

research, development, test, and evaluation activities, or

other operational, test and evaluation, maintenance, storage,

disposal, or other support functions require, or in the future

reasonably may require, safety or operational buffer areas. The

requirement for such a buffer area may be due to a variety of

factors, including air operations, ordnance operations and

storage, or other activities that generate or might generate

noise, electro-magnetic interference, ordnance arcs, or

environmental impacts that require or may require safety or

operational buffer areas.

\(2\) Compliance by the Department of Defense with State

Implementation Plans for Air Quality under section 110 of the

Clean Air Act (42 U.S.C. 7410).

\(3\) Compliance by the Department of Defense with the Solid

Waste Disposal Act (42 U.S.C. 6901 et seq.) and the

Comprehensive Environmental Response, Compensation, and

Liability Act of 1980 (42 U.S.C. 9601 et seq.).

\(b\) Matters To Be Included With Respect to Civilian

Encroachments.\--With respect to paragraph (1) of subsection (a), the

study shall include the following:

\(1\) A list of all military installations described in

subsection (a)(1) at which civilian community encroachment is

occurring.

\(2\) A description and analysis of the types and degree of

such civilian community encroachment at each military

installation included on the list.

\(3\) An analysis, including views and estimates of the

Secretary of Defense, of the current and potential future

impact of such civilian community encroachment on operational

training activities, research, development, test, and

evaluation activities, and other significant operational, test

and evaluation, maintenance, storage, disposal, or other

support functions performed by military installations included

on the list. The analysis shall include the following:

\(A\) A review of training and test ranges at

military installations, including laboratories and

technical centers of the military departments, included

on the list.

\(B\) A description and explanation of the trends of

such encroachment, as well as consideration of

potential future readiness problems resulting from

unabated encroachment.

\(4\) An estimate of the costs associated with current and

anticipated partnerships between the Department of Defense and

non-Federal entities to create buffer zones to preclude further

development around military installations included on the list,

and the costs associated with the conveyance of surplus

property around such military installations for purposes of

creating buffer zones.

\(5\) Options and recommendations for possible legislative or

budgetary changes necessary to mitigate current and anticipated

future civilian community encroachment problems.

\(c\) Matters To Be Included With Respect to Specified Laws.\--With

respect to paragraphs (2) and (3) of subsection (a), the study shall

include the following:

\(1\) A list of all military installations and other

locations at which the Armed Forces are encountering problems

related to compliance with the laws specified in such

paragraphs.

\(2\) A description and analysis of the types and degree of

compliance problems encountered.

\(3\) An analysis, including views and estimates of the

Secretary of Defense, of the current and potential future

impact of such compliance problems on the following functions

performed at military installations:

\(A\) Operational training activities.

\(B\) Research, development, test, and evaluation

activities.

\(C\) Other significant operational, test and

evaluation, maintenance, storage, disposal, or other

support functions.

\(4\) A description and explanation of the trends of such

compliance problems, as well as consideration of potential

future readiness problems resulting from such compliance

problems.

\(d\) Report.\--Not later than January 31, 2004, 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 containing the results of the study conducted under subsection

(a), including the specific matters required to be addressed by

paragraphs (1) through (5) of subsection (b) and paragraphs (1) through

\(4\) of subsection (c).

SEC. 317. MILITARY READINESS AND CONSERVATION OF PROTECTED SPECIES.

\(a\) Limitation on Designation of Critical Habitat.\--Section 4(a)(3)

of the Endangered Species Act of 1973 (16 U.S.C. 1533(a)(3)) is

amended\--

\(1\) by redesignating subparagraphs (A) and (B) as clauses

\(i\) and (ii), respectively;

\(2\) by inserting \`\`(A)\'\' after \`\`(3)\'\'; and

\(3\) by adding at the end the following:

\`\`(B)(i) The Secretary shall not designate as critical habitat any

lands or other geographical areas owned or controlled by the Department

of Defense, or designated for its use, that are subject to an

integrated natural resources management plan prepared under section 101

of the Sikes Act (16 U.S.C. 670a), if the Secretary determines that

such plan addresses special management considerations or protection (as

those terms are used in section 3(5)(A)(i)).

\`\`(ii) Nothing in this paragraph affects the requirement to consult

under section 7(a)(2) with respect to an agency action (as that term is

defined in that section).

\`\`(iii) Nothing in this paragraph affects the obligation of the

Department of Defense to comply with section 9, including the

prohibition preventing extinction and taking of endangered species and

threatened species.\'\'.

\(b\) Consideration of Effects of Designation of Critical Habitat.\--

Section 4(b)(2) of the Endangered Species Act of 1973 (16 U.S.C.

1533(b)(2)) is amended by inserting \`\`the impact on national

security,\'\' after \`\`the economic impact,\'\'.

SEC. 318. MILITARY READINESS AND MARINE MAMMAL PROTECTION.

\(a\) Definition of Harassment for Military Readiness Activities.\--

Section 3(18) of the Marine Mammal Protection Act of 1972 (16 U.S.C.

1362(18)) is amended by striking subparagraphs (B) and (C) and

inserting the following new subparagraphs:

\`\`(B) In the case of a military readiness activity (as

defined in section 315(f) of Public Law 107-314; 16 U.S.C. 703

note), the term \`harassment\' means\--

\`\`(i) any act that injures or has the significant

potential to injure a marine mammal or marine mammal

stock in the wild; or

\`\`(ii) any act that disturbs or is likely to

disturb a marine mammal or marine mammal stock in the

wild by causing disruption of natural behavioral

patterns, including, but not limited to, migration,

surfacing, nursing, breeding, feeding, or sheltering,

to a point where such behavioral patterns are abandoned

or significantly altered.

\`\`(C) The term \`Level A harassment\' means harassment

described in subparagraph (A)(i) or, in the case of a military

readiness activity, harassment described in subparagraph

(B)(i).

\`\`(D) The term \`Level B harassment\' means harassment

described in subparagraph (A)(ii) or, in the case of a military

readiness activity, harassment described in subparagraph

(B)(ii).\'\'.

\(b\) Exemption of Actions Necessary for National Defense.\--Section

101 of the Marine Mammal Protection Act of 1972 (16 U.S.C. 1371) is

amended by inserting after subsection (e) the following:

\`\`(f) Exemption of Actions Necessary for National Defense.\--(1) The

Secretary of Defense, after conferring with the Secretary of Commerce,

the Secretary of the Interior, or both, as appropriate, may exempt any

action or category of actions undertaken by the Department of Defense

or its components from compliance with any requirement of this Act, if

the Secretary determines that it is necessary for national defense.

\`\`(2) An exemption granted under this subsection\--

\`\`(A) subject to subparagraph (B), shall be effective for a

period specified by the Secretary of Defense; and

\`\`(B) shall not be effective for more than 2 years.

\`\`(3)(A) The Secretary of Defense may issue additional exemptions

under this subsection for the same action or category of actions,

after\--

\`\`(i) conferring with the Secretary of Commerce, the

Secretary of the Interior, or both as appropriate; and

\`\`(ii) making a new determination that the additional

exemption is necessary for national defense.

\`\`(B) Each additional exemption under this paragraph shall be

effective for a period specified by the Secretary of Defense, of not

more than 2 years.\'\'.

\(c\) Incidental Takings of Marine Mammals in Military Readiness

Activities.\--Section 101(a)(5) of the Marine Mammal Protection Act of

1972 (16 U.S.C. 1371(a)(5)) is amended\--

\(1\) in subparagraph (A), by adding at the end the

following:

\`\`Notwithstanding the preceding sentence, the Secretary is not

required to publish notice under this subparagraph with respect

to incidental takings while engaged in a military readiness

activity (as defined in section 315(f) of Public Law 107-314;

16 U.S.C. 703 note) authorized by the Secretary of Defense,

except in the Federal Register.\'\';

\(2\) in subparagraph (D), by adding at the end the following

new clause:

\`\`(vi) Notwithstanding clause (iii), the Secretary is not

required to publish notice under this subparagraph with respect

to an authorization under clause (i) of incidental takings

while engaged in a military readiness activity (as defined in

section 315(f) of Public Law 107-314; 16 U.S.C. 703 note)

authorized by the Secretary of Defense, except in the Federal

Register.\'\'; and

\(3\) by adding at the end the following new subparagraph:

\`\`(F) In determining whether a military readiness activity

(as defined in section 315(f) of Public Law 107-314; 16 U.S.C.

703 note) authorized by the Secretary of Defense is in

compliance with the requirements of subparagraphs (A), (B), and

(D), the following references shall not apply:

\`\`(i) In subparagraph (A), \`within a specified

geographical region\' and \`within that region of small

numbers\'.

\`\`(ii) In subparagraph (B), \`within a specified

geographical region\' and \`within one or more regions\'.

\`\`(iii) In subparagraph (D), \`within a specific

geographic region\', \`of small numbers\', and \`within

that region\'.\'\'.

SEC. 319. LIMITATION ON DEPARTMENT OF DEFENSE RESPONSIBILITY FOR

CIVILIAN WATER CONSUMPTION IMPACTS RELATED TO FORT

HUACHUCA, ARIZONA.

\(a\) Rule of Construction.\--For purposes of section 7 of the

Endangered Species Act of 1973 (16 U.S.C. 1536), in the case of Fort

Huachuca, Arizona, the Secretary of the Army may be held responsible

for water consumption that occurs on that military installation (or

outside of that installation but under the direct authority and control

of the Secretary). The Secretary of the Army is not responsible for

water consumption that occurs outside of Fort Huachuca and is beyond

the direct authority and control of the Secretary even though the water

is derived from a watershed basin shared by that military installation

and the water consumption outside of that installation may impact a

critical habitat or endangered species outside the installation.

\(b\) Voluntary Efforts.\--Nothing in this section shall prohibit the

Secretary of the Army from voluntarily undertaking efforts to mitigate

water consumption related to Fort Huachuca.

\(c\) Definition of Water Consumption.\--In this section, the term

\`\`water consumption\'\' means the consumption of water, from any
source,

for human purposes of any kind, including household or industrial use,

irrigation, or landscaping.

\(d\) Effective Date.\--This section applies only to Department of

Defense actions regarding which consultation or reconsultation under

section 7 of the Endangered Species Act of 1973 (16 U.S.C. 1536) is

first required with regard to Fort Huachuca on or after the date of the

enactment of this Act.

SEC. 320. CONSTRUCTION OF WETLAND CROSSINGS, CAMP SHELBY COMBINED ARMS

MANEUVER AREA, CAMP SHELBY, MISSISSIPPI.

Amounts authorized to be appropriated by section 301(1) for

operation and maintenance for the Army shall be available to the

Secretary of the Army to construct wetlands crossings at the Camp

Shelby Combined Arms Maneuver Area at Camp Shelby, Mississippi, for the

purpose of ensuring that combat arms training performed at that area is

conducted in conformance with the spirit and intent of applicable

environmental laws.

Subtitle C\--Workplace and Depot Issues

SEC. 321. EXCLUSION OF CERTAIN EXPENDITURES FROM PERCENTAGE LIMITATION

ON CONTRACTING FOR PERFORMANCE OF DEPOT-LEVEL MAINTENANCE

AND REPAIR WORKLOADS.

Section 2474(f)(1) of title 10, United States Code, is amended by

striking \`\`entered into during fiscal years 2003 through 2006\'\'.

SEC. 322. HIGH-PERFORMING ORGANIZATION BUSINESS PROCESS REENGINEERING

PILOT PROGRAM.

\(a\) Pilot Program.\--(1) The Secretary of Defense shall establish a

pilot program under which the Secretary of each military department

shall administer, or continue the implementation of, high-performing

organizations at military installations through the conduct of a

Business Process Reengineering initiative.

\(2\) The implementation and management of a Business Process

Reengineering initiative under the pilot program shall be the

responsibility of the commander of the military installation at which

the Business Process Reengineering initiative is carried out.

\(b\) Eligible Organizations.\--Two types of organizations are

eligible for selection to participate in the pilot program:

\(1\) Organizations that underwent a Business Process

Reengineering initiative within the preceding five years,

achieved major performance enhancements under the initiative,

and will be able to sustain previous or achieve new performance

goals through the continuation of its existing or completed

Business Process Reengineering plan.

\(2\) Organizations that have not undergone or have not

successfully completed a Business Process Reengineering

initiative, but which propose to achieve, and reasonably could

reach, enhanced performance goals through implementation of a

Business Process Reengineering initiative.

\(c\) Additional Eligibility Requirements.\--(1) To be eligible for

selection to participate in the pilot program under subsection (b)(1),

an organization described in such subsection must be able to

demonstrate the completion of a total organizational assessment that

resulted in enhanced performance measures at least comparable to those

that might be achieved through competitive sourcing.

\(2\) To be eligible for selection to participate in the pilot

program under subsection (b)(2), an organization described in such

subsection must be able to identify\--

\(A\) functions, processes, and measures to be studied under

the Business Process Reengineering initiative;

\(B\) adequate resources for assignment to carry out the

Business Process Reengineering initiative; and

\(C\) labor/management agreements in place to ensure

effective implementation of the Business Process Reengineering

initiative.

\(d\) Pilot Program Limitations.\--The pilot program shall be subject

to the following limitations:

\(1\) Total participants is limited to 15 military

installations, with some participants to be drawn from

organizations described in subsection (b)(1) and some

participants drawn from organizations described in subsection

(b)(2).

\(2\) During the implementation period for the Business

Process Reengineering initiative, but not to exceed one year, a

participating organization shall not be subject to any Office

of Management and Budget Circular A-76 competition or other

public-private competition involving any function covered by

the Business Process Reengineering initiative.

\(e\) Effect of Successful Implementation.\--An organization

designated as a high-performing organization as a result of successful

implementation of a Business Process Reengineering initiative under the

pilot program shall be exempt, during the five-year period following

such designation, from any Office of Management and Budget Circular A-

76 competition or other public-private competition involving any

function that was studied under the Business Process Reengineering

initiative.

\(f\) Reviews and Reports.\--The Secretaries of the military

departments shall conduct annual performance reviews of the

participating organizations or functions within their respective

departments. Reviews and reports shall evaluate organizational

performance measures or functional performance measures and determine

whether organizations are performing satisfactorily for purposes of

continuing participation in the pilot program.

\(g\) Performance Measures.\--Performance measures should include the

following, which shall be measured against organizational baselines

determined before participation in the pilot program:

\(1\) Costs, savings, and overall financial performance of

the organization.

\(2\) Organic knowledge, skills or expertise.

\(3\) Efficiency and effectiveness of key functions or

processes.

\(4\) Efficiency and effectiveness of the overall

organization.

\(5\) General customer satisfaction.

\(h\) Definitions.\--In this section

\(1\) The term \`\`high-performing organization\'\' means an

organization whose performance exceeds that of comparable

providers, whether public or private.

\(2\) The term \`\`Business Process Reengineering\'\' refers to

an organization\'s complete and thorough analysis and

reengineering of mission and support functions and processes to

achieve improvements in performance, including a fundamental

reshaping of the way work is done to better support an

organization\'s mission and reduce costs.

SEC. 323. DELAYED IMPLEMENTATION OF REVISED OFFICE OF MANAGEMENT AND

BUDGET CIRCULAR A-76 BY DEPARTMENT OF DEFENSE PENDING

REPORT.

\(a\) Limitation Pending Report.\--No studies or competitions may be

conducted under the policies and procedures contained in any revisions

to Office of Management and Budget Circular A-76, as the circular

exists as of May 1, 2003, for possible contracting out of work being

performed, as of such date, by employees of the Department of Defense,

until the end of the 45-day period beginning on the date on which the

Secretary of Defense submits to Congress a report on the impacts and

effects of the revisions.

\(b\) Content of Report.\--The report required by subsection (a) shall

contain, at a minimum, specific information regarding the following:

\(1\) The extent to which the revisions will ensure that

employees of the Department of Defense have the opportunity to

compete to retain their jobs.

\(2\) The extent to which the revisions will provide appeal

and protest rights to employees of the Department of Defense

that are equivalent to those available to contractors.

\(3\) Identify safeguards in the revisions to ensure that all

public-private competitions are fair, appropriate, and comply

with requirements of full and open competition.

\(4\) The plans and strategies of the Department to ensure an

appropriate phase-in period for the revisions, as recommended

by the Commercial Activities Panel of the Government Accounting

Office in its April 2002 report to Congress, including

recommendations for any legislative changes that may be

required to ensure a smooth and efficient phase-in period.

\(5\) The plans and strategies of the Department to collect

and analyze data on the costs and quality of work contracted

out or retained in-house as a result of a sourcing process

conducted under the revised Office of Management and Budget

circular A-76.

SEC. 324. NAVAL AVIATION DEPOTS MULTI-TRADES DEMONSTRATION PROJECT.

\(a\) Demonstration Project Required.\--In accordance with section

4703 of title 5, United States Code, the Secretary of the Navy shall

establish a demonstration project under which three Naval Aviation

Depots are given the flexibility to promote by one grade level workers

who are certified at the journey level as able to perform multiple

trades.

\(b\) Selection Requirements.\--As a condition on eligibility for

selection to participate in the demonstration project, a Naval Aviation

Depot shall submit to the Secretary a business case analysis and

concept plan\--

\(1\) that, on the basis of the results of analysis of work

processes, demonstrate that process improvements would result

from the trade combinations proposed to be implemented under

the demonstration project; and

\(2\) that describes the resulting improvements in cost,

quality, or schedule.

\(c\) Participating Workers.\--(1) Actual worker participation in the

demonstration project shall be determined through competitive

selection. Not more than 15 percent of the wage grade journeyman at a

demonstration project location may be selected to participate.

\(2\) Job descriptions and competency-based training plans must be

developed for each worker while in training under the demonstration

project and once certified as a multi-trade worker. A certified multi-

trade worker who receives a pay grade promotion under the demonstration

project must use each new skill during at least 25 percent of the

worker\'s work week.

\(d\) Funding Source.\--Amounts appropriated for operation and

maintenance of the Naval Aviation Depots selected to participate in the

demonstration project shall be used as the source of funds to carry out

the demonstration project, including the source of funds for pay

increases made under the project.

\(e\) Duration.\--The demonstration project shall be conducted during

fiscal years 2004 through 2006.

\(f\) Report.\--Not later than January 15, 2007, the Secretary shall

submit a report to Congress describing the results of the demonstration

project.

\(g\) GAO Evaluation.\--The Secretary shall transmit a copy the report

to the Comptroller General. Within 90 days after receiving a report,

the Comptroller General shall submit to Congress an evaluation of the

report.

Subtitle D\--Information Technology

SEC. 331. PERFORMANCE-BASED AND RESULTS-BASED MANAGEMENT REQUIREMENTS

FOR CHIEF INFORMATION OFFICERS OF DEPARTMENT OF DEFENSE.

\(a\) Accountability.\--Section 2223 of title 10, United States Code,

is amended\--

\(1\) by redesignating subsection (c) as subsection (e); and

\(2\) by inserting after subsection (b) the following new

subsection:

\`\`(c) Performance-based and Results-based Management.\--In addition

to the responsibilities provided for in subsections (a) and (b), the

Chief Information Officer of the Department of Defense and the Chief

Information Officer of a military department shall\--

\`\`(1) encourage the use of performance-based and results-

based management in fulfilling the responsibilities provided

for in subsections (a) and (b), as applicable;

\`\`(2) evaluate the information resources management

practices of the department concerned with respect to the

performance and results of the investments made by the

department in information technology;

\`\`(3) establish effective and efficient capital planning

processes for selecting, managing, and evaluating the results

of all of the department\'s major investments in information

systems;

\`\`(4) ensure that any analysis of the missions of the

department is adequate and make recommendations, as

appropriate, on the department\'s mission-related processes,

administrative processes, and any significant investments in

information technology to be used in support of those missions;

and

\`\`(5) ensure that information security policies,

procedures, and practices are adequate.\'\'.

\(b\) Defense Agency Responsibilities.\--Section 2223 of title 10,

United States Code, is further amended by inserting after subsection

(c), as added by subsection (a), the following new subsection:

\`\`(d) Defense Agencies and Field Activities.\--The Secretary of

Defense shall require the Director of each Defense Agency and

Department of Defense Field Activity to ensure that the

responsibilities set forth in subsections (b) and (c) for Chief

Information Officers of military departments are carried out within the

Agency or Field Activity by any officer or employee acting as a chief

information officer or carrying out duties similar to a chief

information officer.\'\'.

Subtitle E\--Other Matters

SEC. 341. CATALOGING AND STANDARDIZATION FOR DEFENSE SUPPLY MANAGEMENT.

\(a\) Standardization Methods.\--Section 2451 of title 10, United

States Code, is amended to read as follows:

\`\`Sec. 2451. Defense supply management

\`\`(a) Single Catalog System.\--The Secretary of Defense shall adopt,

implement and maintain a single catalog system for standardizing

supplies for the Department of Defense. The single catalog system shall

be used for each supply the Department uses, buys, stocks, or

distributes.

\`\`(b) Standardization Requirements.\--To the highest degree

practicable, the Secretary of Defense shall\--

\`\`(1) adopt and use single commercial standards or

voluntary standards, in consultation with industry advisory

groups, in order to eliminate overlapping and duplicate

specifications for supplies for the Department of Defense and

to reduce the number of sizes and kind of supplies that are

generally similar;

\`\`(2) standardize the methods of packing, packaging, and

preserving supplies; and

\`\`(3) make efficient use of the services and facilities for

inspecting, testing, and accepting supplies.

\`\`(c) Consultation and Cooperation.\--The Secretary of Defense shall

maintain liaison with industry advisory groups to coordinate the

development of the supply catalog and the standardization program with

the best practices of industry and to obtain the fullest practicable

cooperation and participation of industry in developing the supply

catalog and the standardization program.\'\'.

\(b\) Equipment Standardization with NATO Members.\--Section 2457 of

such title is amended by striking subsection (d).

\(c\) Conforming Repeals.\--(1) Chapter 145 of such title is amended

by striking sections 2452, 2453, and 2454.

\(2\) The table of sections at the beginning of such chapter is

amended by striking the items related to sections 2452, 2453, and 2454.

SEC. 342. SPACE-AVAILABLE TRANSPORTATION FOR DEPENDENTS OF MEMBERS

ASSIGNED TO OVERSEAS DUTY LOCATIONS FOR CONTINUOUS PERIOD

IN EXCESS OF ONE YEAR.

\(a\) In General.\--Chapter 157 of title 10, United States Code, is

amended by adding at the end the following new section:

\`\`Sec. 2648. Dependents of members assigned to overseas duty locations

for continuous period in excess of one year: space-

available transportation

\`\`(a) Authority.\--The Secretary of Defense shall authorize travel

on Government aircraft on a space-available basis for dependents of

members on active duty assigned to duty at an overseas location as

described in subsection (b) to the same extent as such travel is

authorized for a dependent of a member assigned to that duty location

in a permanent change of station status.

\`\`(b) Duty Status Covered.\--Duty at an overseas location described

in this subsection is duty for a continuous period in excess of one

year that is in a temporary duty status or that is in a permanent duty

status without change of station.

\`\`(c) Types of Transportation Authorized.\--If authorized for other

members at that duty location, travel provided under this section may

include (1) travel between the overseas duty location and the United

States and return, and (2) travel between the overseas duty location

and another overseas location and return.

\`\`(d) Alaska and Hawaii.\--For purposes of this section, duty in

Alaska or Hawaii shall be considered to be duty at an overseas

location.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by adding at the end the following new item:

\`\`2648. Dependents of members assigned to overseas duty locations for

continuous period in excess of one year:

space-available transportation.\'\'.

SEC. 343. PRESERVATION OF AIR FORCE RESERVE WEATHER RECONNAISSANCE

MISSION.

The Secretary of Defense shall not disestablish, discontinue, or

transfer the weather reconnaissance mission of the Air Force Reserve

unless the Secretary determines that another organization or entity can

demonstrate that it has the capability to perform the same mission with

the same capability as the Air Force Reserve.

SEC. 344. EXPANSION OF DEPARTMENT OF DEFENSE EXCESS PERSONAL PROPERTY

DISPOSAL PROGRAM TO INCLUDE HEALTH AGENCIES IN ADDITION

TO LAW ENFORCEMENT AND FIREFIGHTING AGENCIES.

\(a\) Inclusion of Health Agencies.\--Section 2576b of title 10,

United States Code, is amended\--

\(1\) by striking subsection (a) and inserting the following

new subsection (a):

\`\`(a) Transfer Authorized.\--Subject to subsection (b), the

Secretary of Defense may transfer to a firefighting agency or health

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 or responding to health or environmental

emergencies, including personal protective equipment and

equipment for communication and monitoring.\'\'; and

\(2\) in subsection (b)(2) and (c), by striking

\`\`firefighting\'\' both places it appears.

\(b\) Clerical Amendments.\--(1) The heading of such section is

amended to read as follows:

\`\`Sec. 2576b. Excess personal property: sale or donation to assist

firefighting agencies and health agencies

\(2\) The table of sections at the beginning of chapter 153 of such

title is amended by striking the item relating to section 2576b and

inserting the following new item:

\`\`2576b. Excess personal property: sale or donation to assist

firefighting agencies and health

agencies.\'\'.

SEC. 345. DEPARTMENT OF DEFENSE PUBLIC HEALTH ASSESSMENT OF EXPOSURE TO

PERCHLORATE.

\(a\) Epidemiological Study of Exposure to Perchlorate.\--

\(1\) In general.\--The Secretary of Defense shall provide for

an independent epidemiological study of exposure to perchlorate

in drinking water.

\(2\) Performance of study.\--The Secretary shall provide for

the performance of the study under this subsection through the

Centers for Disease Control, the National Institutes of Health,

or another Federal entity with experience in environmental

toxicology selected by the Secretary for purposes of the study.

\(3\) Matters to be included in study.\--In providing for the

study under this subsection, the Secretary shall require the

Federal entity conducting the study\--

\(A\) to assess the incidence of thyroid disease and

measurable effects of thyroid function in relation to

exposure to perchlorate;

\(B\) to ensure that the study is of sufficient scope

and scale to permit the making of meaningful

conclusions of the measurable public health threat

associated with exposure to perchlorate, especially the

threat to sensitive subpopulations; and

\(C\) to study thyroid function, including

measurements of urinary iodine and thyroid hormone

levels, in a sufficient number of pregnant women,

neonates, and infants exposed to perchlorate in

drinking water and match measurements of perchlorate

levels in the drinking water of each study participant

in order to permit the development of meaningful

conclusions on the public health threat to individuals

exposed to perchlorate.

\(4\) Report on study.\--The Secretary shall require the

Federal entity conducting the study under this subsection to

submit to the Secretary a report on the study not later than

June 1, 2005.

\(b\) Review of Effects of Perchlorate on Endocrine System.\--

\(1\) In general.\--The Secretary shall provide for an

independent review of the effects of perchlorate on the human

endocrine system.

\(2\) Performance of review.\--The Secretary shall provide for

the performance of the review under this subsection through the

Centers for Disease Control, the National Institutes of Health,

or another appropriate Federal research entity with experience

in human endocrinology selected by the Secretary for purposes

of the review. The Secretary shall ensure that the panel

conducting the review is composed of individuals with expertise

in human endocrinology.

\(3\) Matters to be included in review.\--In providing for the

review under this subsection, the Secretary shall require the

Federal entity conducting the review to assess\--

\(A\) available data on human exposure to

perchlorate, including clinical data and data on

exposure of sensitive subpopulations, and the levels at

which health effects were observed; and

\(B\) available data on other substances that have

endocrine effects similar to perchlorate to which the

public is frequently exposed.

\(4\) Report on review.\--The Secretary shall require the

Federal entity conducting the review under this subsection to

submit to the Secretary a report on the review not later than

June 1, 2005.

SEC. 346. PERMANENT AUTHORITY FOR PURCHASE OF CERTAIN MUNICIPAL

SERVICES AT INSTALLATIONS IN MONTEREY COUNTY, CALIFORNIA.

\(a\) Authority.\--Subject to subsection (b), public works, utility,

and other municipal services needed for the operation of any Department

of Defense asset in Monterey County, California, may be purchased from

government agencies located in that county.

\(b\) Prohibition on Purchase of Certain Services.\--Section 2465 of

title 10, United States Code, relating to the purchase of firefighting

or security-guard services at a military installation, applies with

respect to the authority provided by subsection (a).

\(c\) Conforming amendment.\--Section 816 of the National Defense

Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat.

2820\) is repealed.

TITLE IV\--MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A\--Active Forces

SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

The Armed Forces are authorized strengths for active duty personnel

as of September 30, 2004, as follows:

\(1\) The Army, 482,375.

\(2\) The Navy, 375,700.

\(3\) The Marine Corps, 175,000.

\(4\) The Air Force, 361,268.

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

LEVELS.

Effective October 1, 2003, section 691(b) of title 10, United

States Code, is amended as follows:

\(1\) Army.\--Paragraph (1) is amended by striking \`\`480,000\'\'

and inserting \`\`482,375\'\'.

\(2\) Air force.\--Paragraph (4) is amended by striking

\`\`359,000\'\' and inserting \`\`361,268\'\'.

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, 2004, as follows:

\(1\) The Army National Guard of the United States, 350,000.

\(2\) The Army Reserve, 205,000.

\(3\) The Naval Reserve, 85,900.

\(4\) The Marine Corps Reserve, 39,600.

\(5\) The Air National Guard of the United States, 107,000.

\(6\) The Air Force Reserve, 75,800.

\(7\) The Coast Guard Reserve, 10,000.

\(b\) Adjustments.\--The end strengths prescribed by subsection (a)

for the Selected Reserve of any reserve component shall be

proportionately reduced by\--

\(1\) the total authorized strength of units organized to

serve as units of the Selected Reserve of such component which

are on active duty (other than for training) at the end of the

fiscal year; and

\(2\) the total number of individual members not in units

organized to serve as units of the Selected Reserve of such

component who are on active duty (other than for training or

for unsatisfactory participation in training) without their

consent at the end of the fiscal year.

Whenever such units or such individual members are released from active

duty during any fiscal year, the end strength prescribed for such

fiscal year for the Selected Reserve of such reserve component shall be

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,

2004, 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, 25,386.

\(2\) The Army Reserve, 14,374.

\(3\) The Naval Reserve, 14,384.

\(4\) The Marine Corps Reserve, 2,261.

\(5\) The Air National Guard of the United States, 12,140.

\(6\) The Air Force Reserve, 1,660.

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 2004 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,

24,589.

\(2\) For the Army Reserve, 7,844.

\(3\) For the Air National Guard of the United States,

22,806.

\(4\) For the Air Force Reserve, 9,991.

SEC. 414. FISCAL YEAR 2004 LIMITATION ON NON-DUAL STATUS TECHNICIANS.

The number of non-dual status technicians of a reserve component of

the Army or the Air Force as of September 30, 2004, may not exceed the

following:

\(1\) For the Army Reserve, 910.

\(2\) For the Army National Guard of the United States,

1,600.

\(3\) For the Air Force Reserve, 90.

\(4\) For the Air National Guard of the United States, 350.

SEC. 415. PERMANENT LIMITATIONS ON NUMBER OF NON-DUAL STATUS

TECHNICIANS.

Section 10217(c) of title 10, United States Code, is amended by

striking \`\`and Air Force Reserve may not exceed 175\'\' and inserting

\`\`may not exceed 595 and by the Air Force Reserve may not exceed
90\'\'.

Subtitle C\--Authorizations of Appropriations

SEC. 421. MILITARY PERSONNEL.

There is hereby authorized to be appropriated to the Department of

Defense for military personnel for fiscal year 2004 a total of

\$98,634,511,000. The authorization in the preceding sentence supersedes

any other authorization of appropriations (definite or indefinite) for

such purpose for fiscal year 2004.

SEC. 422. ARMED FORCES RETIREMENT HOME.

There is hereby authorized to be appropriated for fiscal year 2004

from the Armed Forces Retirement Home Trust Fund the sum of \$65,279,000

for the operation of the Armed Forces Retirement Home.

TITLE V\--MILITARY PERSONNEL POLICY

Subtitle A\--General and Flag Officer Matters

SEC. 501. STANDARDIZATION OF QUALIFICATIONS FOR APPOINTMENT AS SERVICE

CHIEF.

\(a\) Chief of Naval Operations.\--Section 5033(a)(1) of title 10,

United States Code, is amended by striking \`\`from officers on the

active-duty list in the line of the Navy who are eligible to command at

sea and who hold the grade of rear admiral or above\'\' and inserting

\`\`flag officers of the Navy\'\'.

\(b\) Commandant of the Marine Corps.\--Section 5043(a)(1) of title

10, United States Code, is amended by striking \`\`from officers on the

active-duty list of the Marine Corps not below the grade of colonel\'\'

and inserting \`\`general officers of the Marine Corps\'\'.

Subtitle B\--Other Officer Personnel Policy Matters

SEC. 511. REPEAL OF PROHIBITION ON TRANSFER BETWEEN LINE OF THE NAVY

AND NAVY STAFF CORPS APPLICABLE TO REGULAR NAVY OFFICERS

IN GRADES ABOVE LIEUTENANT COMMANDER.

\(a\) Repeal.\--Section 5582 of title 10, United States Code, is

repealed.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

chapter 539 of such title is amended by striking the item relating to

section 5582.

SEC. 512. RETENTION OF HEALTH PROFESSIONS OFFICERS TO FULFILL ACTIVE-

DUTY SERVICE COMMITMENTS FOLLOWING PROMOTION

NONSELECTION.

\(a\) In General.\--Section 632 of title 10, United States Code, is

amended\--

\(1\) in subsection (a)(1), by inserting \`\`except as provided

in paragraph (3) and in subsection (c),\'\' before \`\`be

discharged\'\'; and

\(2\) by adding at the end the following new subsection:

\`\`(c)(1) If a health professions officer described in paragraph (2)

is subject to discharge under subsection (a)(1) and, as of the date on

which the officer is to be discharged under that paragraph, the officer

has not completed a period of active duty service obligation that the

officer incurred under section 2005, 2114, 2123, or 2603 of this title,

the officer shall be retained on active duty until completion of such

active duty service obligation, and then be discharged under that

subsection, unless sooner retired or discharged under another provision

of law.

\`\`(2) The Secretary concerned may waive the applicability of

paragraph (1) to any officer if the Secretary determines that

completion of the active duty service obligation of that officer is not

in the best interest of the service.

\`\`(3) This subsection applies to a medical officer or dental

officer or an officer appointed in a medical skill other than as a

medical officer or dental officer (as defined in regulations prescribed

by the Secretary of Defense).\'\'.

\(b\) Technical Amendments.\--Sections 630(2), 631(a)(3), and

632(a)(3) of such title are amended by striking \`\`clause\'\' and

inserting \`\`paragraph\'\'.

\(c\) Effective Date.\--The amendments made by subsection (a) shall

not apply in the case of an officer who as of the date of the enactment

of this Act is required to be discharged under section 632(a)(1) of

title 10, United States Code, by reason of having failed of selection

for promotion to the next higher regular grade a second time.

SEC. 513. INCREASED FLEXIBILITY FOR VOLUNTARY RETIREMENT FOR MILITARY

OFFICERS.

\(a\) In General.\--Section 1370 of title 10, United States Code, is

amended\--

\(1\) in subsection (a)\--

\(A\) in paragraph (1)\--

\(i\) by striking \`\`except as provided in

paragraph (2)\'\' and inserting \`\`subject to

paragraphs (2) and (3)\'\'; and

\(ii\) by striking \`\`, for not less than six

months\'\';

\(B\) by redesignating paragraph (3) as paragraph

(4); and

\(C\) by striking paragraph (2) and inserting the

following:

\`\`(2) In order to be eligible for voluntary retirement under this

title in a grade below the grade of lieutenant colonel or commander, a

commissioned officer of the Army, Navy, Air Force, or Marine Corps

covered by paragraph (1) must have served on active duty in that grade

for not less than six months.

\`\`(3)(A) In order to be eligible for voluntary retirement in a

grade above major or lieutenant commander and below brigadier general

or rear admiral (lower half), a commissioned officer of the Army, Navy,

Air Force, or Marine Corps covered by paragraph (1) must have served on

active duty in that grade for not less than three years, except that

the Secretary of Defense may authorize the Secretary of the military

department concerned to reduce such period to a period not less than

two years.

\`\`(B) In order to be eligible for voluntary retirement in a grade

above colonel or captain, in the case of the Navy, a commissioned

officer of the Army, Navy, Air Force, or Marine Corps covered by

paragraph (1) must have served on active duty in that grade for not

less than one year.

\`\`(C) An officer in a grade above major general or rear admiral may

be retired in the highest grade in which the officer served on active

duty satisfactorily for not less than one year, upon approval by the

Secretary of the military department concerned and concurrence by the

Secretary of Defense. The function of the Secretary of Defense under

the preceding sentence may only be delegated to a civilian official in

the Office of the Secretary of Defense appointed by the President, by

and with the advice and consent of the Senate.

\`\`(D) The President may waive subparagraph (A), (B) or (C) in

individual cases involving extreme hardship or exceptional or unusual

circumstances. The authority of the President under the preceding

sentence may not be delegated.\'\';

\(2\) in subsection (b), by inserting \`\`or whose service on

active duty in that grade was not determined to be satisfactory

by the Secretary of the military department concerned\'\' after

\`\`specified in subsection (a)\'\';

\(3\) by striking subsection (c); and

\(4\) by redesignating subsection (d) as subsection (c) and

in that subsection\--

\(A\) in paragraph (3)\--

\(i\) in subparagraph (A)\--

\(I\) by inserting \`\`(i)\'\' after

\`\`(3)(A)\'\';

\(II\) by inserting \`\`and below

brigadier general or rear admiral

(lower half)\'\' after \`\`lieutenant

commander\'\';

\(III\) by inserting \`\`, except that

the Secretary of Defense may authorize

the Secretary of the military

department concerned to reduce such

period to a period not less than two

years\'\' after \`\`three years\'\'; and

\(IV\) by adding at the end the

following new clauses:

\`\`(ii) In order to be credited with satisfactory service in a grade

above colonel or captain, in the case of the Navy, a person covered by

paragraph (1) must have served satisfactorily in that grade (as

determined by the Secretary of the military department concerned) as a

reserve commissioned officer in active status, or in a retired status

on active duty, for not less than one year.

\`\`(iii) An officer covered by paragraph (1) who is in a grade above

the grade of major general or rear admiral may be retired in the

highest grade in which the officer served satisfactorily for not less

than one year, upon approval by the Secretary of the military

department concerned and concurrence by the Secretary of Defense. The

function of the Secretary of Defense under the preceding sentence may

only be delegated to a civilian official in the Office of the Secretary

of Defense appointed by the president, by and with the advice and

consent of the Senate.\'\';

\(ii\) in subparagraphs (D) and (E), by

striking \`\`subparagraph (A)\'\' and inserting

\`\`subparagraph (A)(i)\'\'; and

\(iii\) by striking subparagraph (F); and

\(B\) by striking paragraphs (5) and (6); and

\(5\) by striking subsection (e).

\(b\) Conforming Amendments.\--Section 1406(i)(2) of such title is

amended\--

\(1\) in the paragraph heading, by striking \`\`members\'\' and

all that follows through \`\`satisfactorily\'\' and inserting

\`\`enlisted members reduced in grade\'\';

\(2\) by striking \`\`a member\'\' and inserting \`\`an enlisted

member\'\';

\(3\) by striking \`\`1998\--\'\' and all that follows through

\`\`is reduced in\'\' and inserting \`\`1998, is reduced in\'\';

\(4\) by striking \`\`; or\'\' and inserting a period; and

\(5\) by striking subparagraph (B).

\(c\) Effective Date.\--The amendments made by this section shall

apply with respect to the determination of the retired grade of members

of the Armed Forces retiring on or after the date of the enactment of

this Act.

SEC. 514. REPEAL OF REQUIRED GRADE OF DEFENSE ATTACHE IN FRANCE.

\(a\) In General.\--Section 714 of title 10, United States Code, is

repealed.

\(b\) Conforming Amendment.\--The table of sections at the beginning

of chapter 41 of such title is amended by striking the item relating to

section 714.

Subtitle C\--Reserve Component Matters

SEC. 521. STREAMLINED PROCESS FOR CONTINUATION OF OFFICERS ON THE

RESERVE ACTIVE-STATUS LIST.

\(a\) Repeal of Requirement for Use of Selection Boards.\--Section

14701 of title 10, United States Code, is amended\--

\(1\) in subsection (a)\--

\(A\) in paragraph (1), by striking \`\`by a selection

board convened under section 14101(b) of this title\'\'

and inserting \`\`under regulations prescribed by the

Secretary of Defense; and

\(B\) in paragraph (6), by striking \`\`as a result of

the convening of a selection board under section

14101(b) of this title\'\' and inserting \`\`under

regulations prescribed under paragraph (1)\'\';

\(2\) by striking subsections (b) and (c); and

\(3\) by redesignating subsection (d) as subsection (b).

\(b\) Conforming Amendments.\--(1) Section 14101(b) of such title is

amended\--

\(A\) by striking \`\`Continuation Boards\'\' and inserting

\`\`Selective Early Separation Boards\'\';

\(B\) by striking paragraph (1);

\(C\) by redesignating paragraphs (2) and (3) as paragraphs

\(1\) and (2), respectively; and

\(D\) by striking the last sentence.

\(2\) Section 14102(a) of such title is amended by striking

\`\`Continuation boards\'\' and inserting \`\`Selection boards convened
under

section 14101(b) of this title\'\'.

\(3\) Section 14705(b)(1) of such title is amended by striking

\`\`continuation board\'\' and inserting \`\`selection board\'\'.

SEC. 522. CONSIDERATION OF RESERVE OFFICERS FOR POSITION VACANCY

PROMOTIONS IN TIME OF WAR OR NATIONAL EMERGENCY.

\(a\) Promotion Consideration While on Active-Duty List.\--(1)

Subsection (d) of section 14317 of title 10, United States Code, is

amended by striking \`\`If a reserve officer\'\' and inserting
\`\`Except as

provided in subsection (e), if a reserve officer\'\'.

\(2\) Subsection (e) of such section is amended to read as follows:

\`\`(e) Officers Ordered to Active Duty in Time of War or National

Emergency.\--(1) A reserve officer who is not on the active-duty list

and who is ordered to active duty in time of war or national emergency

may, if eligible, be considered for promotion\--

\`\`(A) by a mandatory promotion board convened under section

14101(a) of this title or a special selection board convened

under section 14502 of this title; or

\`\`(B) in the case of an officer who has been ordered to or

is serving on active duty in support of a contingency

operation, by a vacancy promotion board convened under section

14101(a) of this title.

\`\`(2) An officer may not be considered for promotion under this

subsection after the end of the two-year period beginning on the date

on which the officer is ordered to active duty.

\`\`(3) An officer may not be considered for promotion under this

subsection during a period when the operation of this section has been

suspended by the President under the provisions of section 123 or 10213

of this title.

\`\`(4) Consideration of an officer for promotion under this

subsection shall be under regulations prescribed by the Secretary of

the military department concerned.\'\'.

\(b\) Conforming Amendment.\--Section 14315(a)(1) of such title is

amended by striking \`\`as determined by the Secretary concerned, is

available\'\' and inserting \`\`under regulations prescribed by the

Secretary concerned, has been recommended\'\'.

SEC. 523. SIMPLIFICATION OF DETERMINATION OF ANNUAL PARTICIPATION FOR

PURPOSES OF READY RESERVE TRAINING REQUIREMENTS.

Subsection (a) of section 10147 of title 10, United States Code, is

amended to read as follows:

\`\`(a)(1) Except as provided pursuant to paragraph (2), each person

who is enlisted, inducted, or appointed in an armed force and who

becomes a member of the Ready Reserve under any provision of law other

than section 513 or 10145(b) of this title shall be required, while in

the Ready Reserve, to participate in a combination of drills, training

periods, and active duty equivalent to 38 days (exclusive of travel)

during each year.

\`\`(2) The Secretary of Defense, and the Secretary of Homeland

Security with respect to the Coast Guard when it is not operating as a

service in the Navy, may prescribe regulations providing specific

exceptions for the requirements of paragraph (1).\'\'.

SEC. 524. AUTHORITY FOR DELEGATION OF REQUIRED SECRETARIAL SPECIAL

FINDING FOR PLACEMENT OF CERTAIN RETIRED MEMBERS IN READY

RESERVE.

The last sentence of section 10145(d) of title 10, United States

Code, is amended to read as follows: \`\`The authority of the Secretary

concerned under the preceding sentence may not be delegated\--

\`\`(1) to a civilian officer or employee of the military

department concerned below the level of the Assistant Secretary

of the military department concerned; or

\`\`(2) to a member of the armed forces below the level of

the lieutenant general or vice admiral in an armed force with

responsibility for military personnel policy in that armed

force.\'\'.

SEC. 525. AUTHORITY TO PROVIDE EXPENSES OF ARMY AND AIR STAFF PERSONNEL

AND NATIONAL GUARD BUREAU PERSONNEL ATTENDING NATIONAL

CONVENTIONS OF CERTAIN MILITARY ASSOCIATIONS.

\(a\) Authority.\--Section 107(a)(2) of title 32, United States Code,

is amended\--

\(1\) by striking \`\`officers\'\' and inserting \`\`members\'\';

\(2\) by striking \`\`Army General Staff\'\' and inserting \`\`Army

Staff\'\'; and

\(3\) by striking \`\`National Guard Association of the United

States\'\' and inserting \`\`, Enlisted Association of the National

Guard of the United States, National Guard Association of the

United States,\'\'.

\(b\) Effective Date.\--The amendments made by subsection (a) shall

not apply with respect to funds appropriated for a fiscal year before

fiscal year 2004.

Subtitle D\--Military Education and Training

SEC. 531. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD THE DEGREE

OF MASTER OF OPERATIONAL STUDIES.

\(a\) Authority.\--Section 7102 of title 10, United States Code, is

amended\--

\(1\) by redesignating subsections (c) and (d) as subsections

\(d\) and (e), respectively; and

\(2\) by inserting after subsection (b) the following new

subsection (c):

\`\`(c) Command and Staff College of the Marine Corp University.\--

Upon the recommendation of the Director and faculty of the Command and

Staff College of the Marine Corps University, the President of the

Marine Corps University may confer the degree of master of operational

studies upon graduates of the Command and Staff College\'s School of

Advanced Warfighting who fulfill the requirements for that degree.\'\'.

\(b\) Effective Date.\--The authority to confer the degree of master

of operational studies under section 7102(c) of title 10, United States

Code (as added by subsection (a)) may not be exercised until the

Secretary of Education determines, and certifies to the President of

the Marine Corps University, that the requirements established by the

Command and General Staff College of the Marine Corps University for

that degree are in accordance with generally applicable requirements

for a degree of master of arts. Upon receipt of such a certification,

the President of the University shall promptly transmit a copy of the

certification to the Committee on Armed Services of the Senate and

Committee on Armed Services of the House of Representatives.

SEC. 532. EXPANDED EDUCATIONAL ASSISTANCE AUTHORITY FOR CADETS AND

MIDSHIPMEN RECEIVING ROTC SCHOLARSHIPS.

\(a\) Financial Assistance Program for Service on Active Duty.\--

Section 2107(c) of title 10, United States Code, is amended by adding

at the end the following new paragraphs:

\`\`(3) In the case of a cadet or midshipman eligible to receive

financial assistance under paragraph (1) or (2), the Secretary of the

military department concerned may, in lieu of all or part of the

financial assistance described in paragraph (1), provide financial

assistance in the form of room and board expenses for the cadet or

midshipman and other expenses required by the educational institution.

\`\`(4) The total amount of financial assistance, including the

payment of room and board and other educational expenses, provided to a

cadet or midshipman in an academic year under this subsection may not

exceed an amount equal to the amount that could be provided as

financial assistance for such cadet or midshipman under paragraph (1)

or (2), or other amount determined by the Secretary concerned, without

regard to whether room and board and other educational expenses for

such cadet or midshipman are paid under paragraph (3).\'\'.

\(b\) Financial Assistance Program for Service in Troop Program

Units.\--Section 2107a(c) of such title is amended\--

\(1\) by inserting \`\`(1)\'\' after \`\`(c)\'\'; and

\(2\) by adding at the end the following new paragraphs:

\`\`(2) In the case of a cadet eligible to receive financial

assistance under paragraph (1), the Secretary of the military

department concerned may, in lieu of all or part of the financial

assistance described in paragraph (1), provide financial assistance in

the form of room and board expenses for such cadet and other expenses

required by the educational institution.

\`\`(3) The total amount of financial assistance, including the

payment of room and board and any other educational expenses, provided

to a cadet in an academic year under this subsection may not exceed an

amount equal to the amount that could be provided as financial

assistance for such cadet under paragraph (1), or other amount

determined by the Secretary of the Army, without regard to whether the

room and board and other educational expenses for such cadet are paid

under paragraph (2).\'\'.

\(c\) Effective Date.\--The amendments made by this section shall

apply to payment of expenses of cadets and midshipmen of the Senior

Reserve Officers\' Training Corps program that are due after the date of

the enactment of this Act.

SEC. 533. INCREASE IN ALLOCATION OF SCHOLARSHIPS UNDER ARMY RESERVE

ROTC SCHOLARSHIP PROGRAM TO STUDENTS AT MILITARY JUNIOR

COLLEGES.

Section 2107a(h) of title 10, United States Code, is amended by

striking \`\`10\'\' each place it appears and inserting \`\`17\'\'.

SEC. 534. INCLUSION OF ACCRUED INTEREST IN AMOUNTS THAT MAY BE REPAID

UNDER SELECTED RESERVE CRITICAL SPECIALTIES EDUCATION

LOAN REPAYMENT PROGRAM.

Section 16301 of title 10, United States Code, is amended\--

\(1\) in subsection (b), by inserting before the period at

the end the following: \`\`, plus the amount of any interest that

may accrue during the current year\'\'; and

\(2\) in subsection (c), by adding at the end the following

new sentence: \`\`For the purposes of this section, any interest

that has accrued on the loan for periods before the current

year shall be considered as within the total loan amount that

shall be repaid.\'\'.

SEC. 535. AUTHORITY FOR NONSCHOLARSHIP SENIOR ROTC SOPHOMORES TO

VOLUNTARILY CONTRACT FOR AND RECEIVE SUBSISTENCE

ALLOWANCE.

\(a\) Authority for Allowance.\--Section 209 of title 37, United

States Code, is amended\--

\(1\) by redesignating subsections (c) and (d) as subsections

\(d\) and (e), respectively; and

\(2\) by inserting after subsection (b) the following new

subsection (c):

\`\`(c) Nonscholarship Senior ROTC Members Not in Advanced

Training.\--A member of the Selected Reserve Officers\' Training Corps

who has entered into an agreement under section 2103a of title 10 is

entitled to a monthly subsistence allowance at a rate prescribed under

subsection (a). The allowance may be paid to the member for a maximum

of 20 months.\'\'.

\(b\) Authority to Accept Enrollment.\--(1) Chapter 103 of title 10,

United States Code, is amended by inserting after section 2103 the

following new section:

\`\`Sec. 2103a. Students not eligible for advanced training: commitment

to military service

\`\`(a) A member of the program who has completed successfully the

first year of a four-year Senior Reserve Officers\' Training Corps

course and who is not eligible for advanced training under section 2104

of this title and is not a cadet or midshipman appointed under section

2107 of this title may\--

\`\`(1) contract with the Secretary of the military

department concerned, or the Secretary\'s designated

representative, to serve for the period required by the

program; and

\`\`(2) agree in writing to accept an appointment, if

offered, as a commissioned officer in the Army, Navy, Air

Force, or Marine Corps, as the case may be, and to serve in the

armed forces for the period prescribed by the Secretary.

\`\`(b) A member of the program may enter into a contract and

agreement under this section (and receive a subsistence allowance under

section 209(c) of title 37) only if the person\--

\`\`(1) is a citizen of the United States;

\`\`(2) enlists in an armed force under the jurisdiction of

the Secretary of the military department concerned for the

period prescribed by the Secretary; and

\`\`(3) executes a certificate of loyalty in such form as the

Secretary of Defense prescribes or take a loyalty oath as

prescribed by the Secretary.

\`\`(c) A member of the program who is a minor may enter into a

contract under subsection (a)(1) only with the consent of the member\'s

parent or guardian.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by adding at the end the following new item:

\`\`2103a. Students not eligible for advanced training: commitment to

military service.\'\'.

SEC. 536. APPOINTMENTS TO MILITARY SERVICE ACADEMIES FROM NOMINATIONS

MADE BY DELEGATES FROM GUAM, VIRGIN ISLANDS, AND AMERICAN

SAMOA.

\(a\) United States Military Academy.\--Section 4342(a) of title 10,

United States Code, is amended\--

\(1\) in paragraphs (6) and (8), by striking \`\`Two\'\' and

inserting \`\`Three\'\'; and

\(2\) in paragraph (9), by striking \`\`One\'\' and inserting

\`\`Two\'\'.

\(b\) United States Naval Academy.\--Section 6954(a) of such title is

amended\--

\(1\) in paragraphs (6) and (8), by striking \`\`Two\'\' and

inserting \`\`Three\'\'; and

\(2\) in paragraph (9), by striking \`\`One\'\' and inserting

\`\`Two\'\'.

\(c\) United States Air Force Academy.\--Section 9342(a) of such title

is amended\--

\(1\) in paragraphs (6) and (8), by striking \`\`Two\'\' and

inserting \`\`Three\'\'; and

\(2\) in paragraph (9), by striking \`\`One\'\' and inserting

\`\`Two\'\'.

\(d\) Effective Date.\--The amendments made by this section shall

apply with respect to the nomination of candidates for appointment to

the United States Military Academy, the United States Naval Academy,

and the United States Air Force Academy for classes entering those

academies after the date of the enactment of this Act.

SEC. 537. READMISSION TO SERVICE ACADEMIES OF CERTAIN FORMER CADETS AND

MIDSHIPMEN.

\(a\) Inspector General Report as Basis for Readmission.\--(1) When a

formal report by an Inspector General within the Department of Defense

concerning the circumstances of the separation of a cadet or midshipman

from one of the service academies contains a specific finding specified

in paragraph (2), the Secretary of the military department concerned

may use that report as the sole basis for readmission of the former

cadet or midshipman to the respective service or service academy.

\(2\) A finding specified in this paragraph is a finding that

substantiates that a former service academy cadet or midshipman, while

attending the service academy\--

\(A\) received administrative or punitive action or

nonjudicial punishment as a result of reprisal;

\(B\) resigned in lieu of disciplinary, administrative, or

other action that the formal report concludes constituted a

threat of reprisal; or

\(C\) otherwise suffered an injustice that contributed to the

resignation of the cadet or midshipman.

\(b\) Readmission.\--In the case of a formal report by an Inspector

General described in subsection (a), the Secretary concerned shall

offer the former cadet or midshipman an opportunity for readmission to

the service academy from which the former cadet or midshipman resigned,

if the former cadet or midshipman is otherwise eligible for such

readmission.

\(c\) Applications for Readmission.\--A former cadet or midshipman

described in a report referred to in subsection (a) may apply for

readmission to the service academy on the basis of that report and

shall not be required to submit the request for readmission through a

board for the correction of military records.

\(d\) Regulations to Minimize Adverse Impact Upon Readmission.\--The

Secretary of each military department shall prescribe regulations for

the readmission of a former cadet or midshipman described in

subsections (a), with the goal, to the maximum extent practicable, of

readmitting the former cadet or midshipman at no loss of the academic

or military status held by the former cadet at the time of resignation.

\(e\) Construction With Other Remedies.\--This section does not

preempt or supercede any other remedy that may be available to a former

cadet or midshipman.

\(f\) Service Academies.\--In this section, the term \`\`service

academy\'\' means the following:

\(1\) The United States Military Academy.

\(2\) The United States Naval Academy.

\(3\) The United States Air Force Academy.

SEC. 538. AUTHORIZATION FOR NAVAL POSTGRADUATE SCHOOL TO PROVIDE

INSTRUCTION TO ENLISTED MEMBERS PARTICIPATING IN CERTAIN

PROGRAMS.

\(a\) Instruction of Enlisted Members.\--Subsection (a) of section

7045 of title 10, United States Code, is amended by striking paragraph

\(2\) and inserting the following:

\`\`(2) The Secretary may permit enlisted members of the armed forces

to receive instruction at the Naval Postgraduate School for the purpose

of attending\--

\`\`(A) executive level seminars; or

\`\`(B) the information security scholarship program under

chapter 112 of this title.

\`\`(3) In addition to instruction authorized under paragraph (2),

the Secretary may, on a space-available basis, permit an enlisted

member of any of the armed forces to receive instruction at the Naval

Postgraduate School if the member is assigned permanently to the staff

of the Naval Postgraduate School or to a nearby command.\'\'.

\(b\) Reimbursement.\--Subsection (b) of such section is amended\--

\(1\) by striking \`\`The Department\'\' and inserting \`\`(1)

Except as provided under paragraph (3), the Department\'\';

\(2\) by striking \`\`officers\'\' in the first sentence and

inserting \`\`members\'\';

\(3\) by designating the second sentence as paragraph (2) and

in that sentence\--

\(A\) by inserting \`\`under subsection (a)(3)\'\' after

\`\`permitted\'\';

\(B\) by inserting \`\`on a space-available basis\'\'

after \`\`instruction at the Postgraduate School\'\'; and

\(C\) by striking \`\`(taking into consideration the

admission of enlisted members on a space-available

basis)\'\'; and

\(4\) by adding at the end the following new paragraph:

\`\`(3) The Secretary of Defense may prescribe exceptions to the

requirements of paragraph (1) with regard to attendance at the

Postgraduate School pursuant to chapter 112 of this title.\'\'.

SEC. 539. DEFENSE TASK FORCE ON SEXUAL HARASSMENT AND VIOLENCE AT THE

MILITARY SERVICE ACADEMIES.

\(a\) Establishment.\--The Secretary of Defense shall establish a

Department of Defense task force to examine matters relating to sexual

harassment and violence at the United States Military Academy and the

United States Naval Academy.

\(b\) Recommendations.\--Not later than 12 months after the date on

which all members of the task force have been appointed, the task force

shall submit to the Secretary of Defense a report recommending ways by

which the Department of Defense and the military services may more

effectively address matters relating to sexual harassment and violence

at the United States Military Academy and the United States Naval

Academy. The report shall include an assessment of, and recommendations

(including changes in law) for measures to improve, the following with

respect to sexual harassment and violence at those academies:

\(1\) Victims\' safety programs.

\(2\) Offender accountability.

\(3\) Effective prevention of sexual harassment and violence.

\(4\) Collaboration among military organizations with

responsibility or jurisdiction with respect to sexual

harassment and violence.

\(5\) Coordination between military and civilian communities,

including local support organizations, with respect to sexual

harassment and violence.

\(6\) Coordination between military and civilian communities,

including civilian law enforcement relating to acts of sexual

harassment and violence.

\(7\) Data collection and case management and tracking.

\(8\) Curricula and training, including standard training

programs for cadets at the United States Military Academy and

midshipmen at the United States Naval Academy and for permanent

personnel assigned to those academies.

\(9\) Responses to sexual harassment and violence at those

academies, including standard guidelines.

\(10\) Other issues identified by the task force relating to

sexual harassment and violence at those academies.

\(c\) Methodology.\--The task force shall consider the findings and

recommendations of previous reviews and investigations of sexual

harassment and violence conducted for those academies as one of the

bases for its assessment.

\(d\) Report.\--(1) The task force shall submit to the Secretary of

Defense and the Secretaries of the Army and the Navy a report on the

activities of the task force and on the activities of the United States

Military Academy and the United States Naval Academy to respond to

sexual harassment and violence at those academies.

\(2\) The report shall include the following:

\(A\) Any barriers to implementation of improvements as a

result of those efforts.

\(B\) Other areas of concern not previously addressed in

prior reports.

\(C\) The findings and conclusions of the task force.

\(D\) Any recommendations for changes to policy and law as

the task force considers appropriate, including whether cases

of sexual assault at those academies should be included in the

Department of Defense database known as the Defense Incident-

Based Reporting System.

\(3\) Within 90 days of receipt of the report under paragraph (1) the

Secretary of Defense shall submit the report, together with the

Secretary\'s evaluation of the report, to the Committees on Armed

Services of the Senate and House of Representatives.

\(e\) Report on Air Force Academy.\--Simultaneously with the

submission of the report under subsection (d)(3), the Secretary of

Defense, in coordination with the Secretary of the Air Force, shall

submit to the committees specified in that subsection the Secretary\'s

assessment of the effectiveness of corrective actions being taken at

the United States Air Force Academy as a result of various

investigations conducted at that Academy into matters involving sexual

assault and harassment.

\(f\) Composition.\--(1) The task force shall consist of not more than

14 members, to be appointed by the Secretary of Defense. Members shall

be appointed from each of the Army, Navy, Air Force, and Marine Corps,

and shall include an equal number of personnel of the Department of

Defense (military and civilian) and persons from outside the Department

of Defense. Members appointed from outside the Department of Defense

may be appointed from other Federal departments and agencies, from

State and local agencies, or from the private sector.

\(2\) The Secretary shall ensure that the membership of the task

force appointed from the Department of Defense includes at least one

judge advocate.

\(3\) In appointing members to the task force, the Secretary may\--

\(A\) consult with the Attorney General regarding a

representative from the Office of Violence Against Women of the

Department of Justice; and

\(B\) consult with the Secretary of Health and Human Services

regarding a representative from the Women\'s Health office of

the Department of Health and Human Services.

\(4\) Each member of the task force appointed from outside the

Department of Defense shall be an individual who has demonstrated

expertise in the area of sexual harassment and violence or shall be

appointed from one of the following:

\(A\) A representative from the Office of Civil Right in the

Department of Education.

\(B\) A representative from the Center for Disease Control.

\(C\) A sexual assault policy and advocacy organization.

\(D\) A civilian law enforcement agency.

\(E\) A judicial policy organization.

\(F\) A national crime victim policy organization.

\(5\) The members of the task force shall be appointed not later than

120 days after the date of the enactment of this Act.

\(g\) Co-Chairs of the Task Force.\--There shall be two co-chairs of

the task force. One of the co-chairs shall be designated by the

Secretary of the Defense at the time of appointment from among the

Department of Defense personnel on the task force. The other co-chair

shall be selected from among the members appointed from outside the

Department of Defense by those members.

\(h\) Administrative Support.\--(1) Each member of the task force who

is a member of the Armed Forces or a civilian officer or employee of

the United States shall serve without compensation (other than

compensation to which entitled as a member of the Armed Forces or an

officer or employee of the United States, as the case may be). Other

members of the task force shall be appointed in accordance with, and

subject to, section 3161 of title 5, United States Code.

\(2\) The Deputy Under Secretary of Defense for Personnel and

Readiness, under the direction of the Under Secretary of Defense for

Personnel and Readiness, shall provide oversight of the task force. The

Washington Headquarters Service of the Department of Defense shall

provide the task force with personnel, facilities, and other

administrative support as necessary for the performance of the task

force\'s duties.

\(3\) The Deputy Under Secretary shall coordinate with the Secretary

of the Army to provide visits of the task force to the United States

Military Academy and with the Secretary of the Navy to provide visits

of the task force to the United States Naval Academy.

\(i\) Termination.\--The task force shall terminate 90 days after the

date on which the report of the task force is submitted to the

Committees on Armed Services of the Senate and House of Representatives

pursuant to subsection (d)(3).

Subtitle E\--Administrative Matters

SEC. 541. ENHANCEMENTS TO HIGH-TEMPO PERSONNEL PROGRAM.

\(a\) Revisions to Deployment Limits and Authority To Authorize

Exemptions.\--Subsection (a) of section 991 of title 10, United States

Code, is amended to read as follows:

\`\`(a) Service and General or Flag Officer Responsibilities.\--(1)

Subject to paragraph (3), the deployment (or potential deployment) of

members of the armed forces shall be managed to ensure that a member is

not deployed, or continued in a deployment, on any day on which the

total number of days on which the member has been deployed out of the

preceding 730 days would exceed the high-deployment threshold.

\`\`(2) In this subsection, the term \`high-deployment threshold\'

means\--

\`\`(A) 400 days; or

\`\`(B) a lower number of days prescribed by the Secretary of

Defense.

\`\`(3) A member may be deployed, or continued in a deployment,

without regard to paragraph (1) if the deployment, or continued

deployment, is approved by the Secretary of Defense. The authority of

the Secretary under the preceding sentence may only be delegated to\--

\`\`(A) a civilian officer of the Department of Defense

appointed by the President, by and with the advise and consent

of the Senate, or a member of the Senior Executive Service; or

\`\`(B) a general or flag officer in that member\'s chain of

command (including an officer in the grade of colonel, or in

the case of the Navy, captain, serving an in a general or flag

officer position who has been selected for promotion to the

grade of brigadier general or rear admiral (lower half)).\'\'.

\(b\) Changes From Per Diem to High-Deployment Allowance.\--(1)

Subsection (a) of section 436 of title 37, United States Code, is

amended to read as follows:

\`\`(a) Monthly Allowance.\--The Secretary of the military department

concerned shall pay a high-deployment allowance to a member of the

armed forces under the Secretary\'s jurisdiction for each month during

which the member\--

\`\`(1) is deployed; and

\`\`(2) at any time during that month\--

\`\`(A) has been deployed for 191 or more consecutive

days (or a lower number of consecutive days prescribed

by the Secretary of Defense);

\`\`(B) has been deployed, out of the preceding 730

days, for a total of 401 or more days (or a lower

number of days prescribed by the Secretary of Defense);

or

\`\`(C) in the case of a member of a reserve

component, is on active duty under a call or order to

active duty for a period of more than 30 days that is

the second (or later) such call or order to active duty

(whether voluntary or involuntary) for that member in

support of the same contingency operation.\'\'.

\(2\) Subsection (c) of such section is amended to read as follows:

\`\`(c) Rate.\--The monthly rate of the allowance payable to a member

under this section shall be determined by the Secretary concerned, not

to exceed \$1,000 per month.\'\'.

\(3\) Such section is further amended\--

\(A\) in subsection (d), by striking \`\`per diem\'\';

\(B\) in subsection (e), by striking \`\`per diem\'\' and

inserting \`\`allowance\'\';

\(C\) in subsection (f)\--

\(i\) by striking \`\`per diem\'\' and inserting

\`\`allowance\'\'; and

\(ii\) by striking \`\`day on\'\' and inserting \`\`month

during\'\'; and

\(D\) by adding at the end the following new subsection:

\`\`(g) Authority to Exclude Certain Duty Assignments.\--The Secretary

concerned may exclude members serving in specified duty assignments

from eligibility for the high-deployment allowance while serving in

those assignments. Any such specification of duty assignments may only

be made with the approval of the Secretary of Defense. Specification of

a particular duty assignment for purposes of this subsection may not be

implemented so as to apply to the member serving in that position at

the time of such specification.\'\'.

(4)(A) The heading of such section is amended to read as follows:

\`\`Sec. 436. Monthly high-deployment allowance for lengthy or numerous

deployments\'\'.

\(B\) The item relating to that section in the table of sections at

the beginning of chapter 7 of such title is amended to read as follows:

\`\`436. Monthly high-deployment allowance for lengthy or numerous

deployments.\'\'.

\(c\) Changes to Reporting Requirement.\--Section 487(b)(5) of title

10, United States Code, is amended to read as follows:

\`\`(5) For each of the armed forces, the description shall indicate,

for the period covered by the report\--

\`\`(A) the number of members who received the high-

deployment allowance under section 436 of title 37;

\`\`(B) the number of members who received each rate of

allowance paid;

\`\`(C) the number of members who received the allowance for

one month, for two months, for three months, for four months,

for five months, for six months, and for more than six months;

and

\`\`(D) the total amount spent on the allowance.\'\'.

SEC. 542. ENHANCED RETENTION OF ACCUMULATED LEAVE FOR HIGH-DEPLOYMENT

MEMBERS.

\(a\) Enhanced Authority to Retain Accumulated Leave.\--Paragraph (1)

of section 701(f) of title 10, United States Code, is amended to read

as follows:

\`\`(f)(1)(A) The Secretary concerned, under uniform regulations to

be prescribed by the Secretary of Defense, may authorize a member

described in subparagraph (B) who, except for this paragraph, would

lose any accumulated leave in excess of 60 days at the end of the

fiscal year, to retain an accumulated total of 120 days leave.

\`\`(B) This subsection applies to a member who serves on active duty

for a continuous period of at least 120 days\--

\`\`(i) in an area in which the member is entitled to special

pay under section 310(a) of title 37; or

\`\`(ii) while assigned to a deployable ship or mobile unit

or to other duty comparable to that specified in clause (i)

that is designated for the purpose of this subsection.

\`\`(C) Except as provided in paragraph (2), Leave in excess of 60

days accumulated under this paragraph is lost unless it is used by the

member before the end of the third fiscal year after the fiscal year in

which the continuous period of service referred to in subparagraph (B)

terminated.\'\'.

\(b\) Effective Date.\--The amendment made by subsection (a) shall

take effect on October 1, 2003, or the date of the enactment of this

Act, whichever is later.

SEC. 543. STANDARDIZATION OF TIME-IN-SERVICE REQUIREMENTS FOR VOLUNTARY

RETIREMENT OF MEMBERS OF THE NAVY AND MARINE CORPS WITH

ARMY AND AIR FORCE REQUIREMENTS.

\(a\) Officers in Regular Navy or Marine Corps Who Completed 40 Years

of Active Service.\--Section 6321(a) of title 10, United States Code, is

amended by striking \`\`after completing 40 or more years\'\' and
inserting

\`\`and has at least 40 years\'\'.

\(b\) Officers in Regular Navy or Marine Corps Who Completed 30 Years

of Active Service.\--Section 6322(a) of such title is amended by

striking \`\`after completing 30 or more years\'\' and inserting \`\`and
has

at least 30 years\'\'.

\(c\) Officers in Navy or Marine Corps Who Completed 20 Years of

Active Service.\--Section 6323(a)(1) of such title is amended by

striking \`\`after completing more than 20 years\'\' and inserting
\`\`and

has at least 20 years\'\'.

\(d\) Enlisted Members in Regular Navy or Marine Corps Who Completed

30 Years of Active Service.\--Section 6326(a) of such title is amended

by striking \`\`after completing 30 or more years\'\' and inserting
\`\`and

has at least 30 years\'\'.

\(e\) Transfer of Enlisted Members to the Fleet Reserve and Fleet

Marine Corps Reserve.\--Section 6330(b) of such title is amended by

striking \`\`who has completed 20 or more years\'\' both places it
appears

and inserting \`\`who has at least 20 years\'\'.

\(f\) Transfer of Members of the Fleet Reserve and Fleet Marine Corps

Reserve to the Retired List.\--Section 6331(a) of such title is amended

by striking \`\`completed 30 years\'\' and inserting \`\`has at least 30

years\'\'.

\(g\) Effective Date.\--The Secretary of the Navy shall prescribe the

date on which the amendments made by this section shall take effect.

The Secretary shall publish such date, when prescribed, in the Federal

Register.

SEC. 544. STANDARDIZATION OF STATUTORY AUTHORITIES FOR EXEMPTIONS FROM

REQUIREMENT FOR ACCESS TO SECONDARY SCHOOLS BY MILITARY

RECRUITERS.

\(a\) Consistency With Elementary and Secondary Education Act of

1965.\--Paragraph (5) of section 503(c) of title 10, United States Code,

is amended by striking \`\`apply to\--\'\' and all that follows through

\`\`school which\'\' and inserting \`\`apply to a private secondary
school

that\'\'.

\(b\) Correction of Cross Reference.\--Paragraph (6)(A)(i) of such

section is amended by striking \`\`14101\'\' and \`\`8801\'\' and
inserting

\`\`9101\'\' and \`\`7801\'\', respectively.

SEC. 545. PROCEDURES FOR CONSIDERATION OF APPLICATIONS FOR AWARD OF THE

PURPLE HEART MEDAL TO VETERANS HELD AS PRISONERS OF WAR

BEFORE APRIL 25, 1962.

Subsection (b) of section 521 of the National Defense Authorization

Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 309; 10 U.S.C.

1129 note) is amended to read as follows:

\`\`(b) Standards and Procedures for Award.\--In determining whether a

former prisoner of war is eligible for the award of the Purple Heart

under subsection (a), the Secretary concerned shall apply the following

procedures:

\`\`(1) The standard to be used by the Secretary concerned

for awarding the Purple Heart under this section shall be to

award the Purple Heart in any case in which a prisoner of war

\(A\) was wounded while in captivity, or (B) while in captivity

was subjected to systematic and prolonged deprivation of food,

medical treatment, and other forms of deprivation or

mistreatment likely to have prolonged aftereffects on the

individual concerned.

\`\`(2) When a former prisoner of war applies for the Purple

Heart under subsection (a), the Secretary concerned may request

the former prisoner of war to provide any documentation that

the Secretary would otherwise require, but failure of the

former prisoner of war to provide such documentation shall not

by itself be a disqualification for award of the Purple Heart.

\`\`(3) The Secretary concerned shall inform the former

prisoner of war that historical information as to the prison

camp or other circumstances in which the former prisoner of war

was held captive and other information as to the circumstances

of the former prisoner of war\'s captivity may be considered by

the Secretary in evaluating the application for the award of

the Purple Heart and that the former prisoner of war may submit

such information.

\`\`(4) The Secretary concerned shall provide assistance to

the applicant for the Purple Heart in obtaining information

referred to in paragraph (3).

\`\`(5) The Secretary shall review a completed application

under this section based upon the totality of the evidence

presented and shall take into account the length of time

between the period during which the applicant was held as a

prisoner of war and the date of the application.

\`\`(6) In considering an application under this section, the

Secretary shall take into account the length of time that the

applicant was held in captivity, which while not in itself

establishing entitlement of the applicant to award of the

Purple Heart, can and should be a factor in determining whether

a former prisoner of war was likely to have been wounded,

starved, or denied medical treatment to the extent likely to

have prolonged aftereffects on the individual concerned.\'\'.

SEC. 546. AUTHORITY FOR RESERVE AND RETIRED REGULAR OFFICERS TO HOLD

STATE AND LOCAL ELECTIVE OFFICE NOTWITHSTANDING CALL TO

ACTIVE DUTY.

Section 973(b)(3) of title 10, United States Code, is amended\--

\(1\) by inserting \`\`(A)\'\' after \`\`(3)\'\'; and

\(2\) by adding at the end the following:

\`\`(B) The prohibition in subparagraph (A) does not apply to the

functions of a civil office held by election, in the case of an officer

to whom this subsection applies by reason of subparagraph (B) or (C) of

paragraph (1).\'\'.

SEC. 547. CLARIFICATION OF OFFENSE UNDER THE UNIFORM CODE OF MILITARY

JUSTICE RELATING TO DRUNKEN OR RECKLESS OPERATION OF A

VEHICLE, AIRCRAFT, OR VESSEL.

Section 991 of title 10, United States Code (article 111 of the

Uniform Code of Military Justice), is amended\--

\(1\) in subsection (a)(2) by striking \`\`in excess of\'\' and

inserting \`\`at, or in excess of,\'\'; and

\(2\) in subsection (b)(4), by striking \`\`maximum

permissible\'\' and all that follows through the period at the

end and inserting \`\`amount of alcohol concentration in a

person\'s blood or breath at which operation or control of a

vehicle, aircraft, or vessel is prohibited.\'\'.

SEC. 548. PUBLIC IDENTIFICATION OF CASUALTIES NO SOONER THAN 24 HOURS

AFTER NOTIFICATION OF NEXT-OF-KIN.

The Secretary of Defense may not publicly release the name or other

personally identifying information of any member of the Army, Navy, Air

Force, or Marine Corps who while on active duty or performing inactive

duty training is killed or injured, whose duty status becomes unknown,

or who is otherwise considered to be a casualty until a period of 24

hours has elapsed after the notification of the next-of-kin of such

member.

Subtitle F\--Benefits

SEC. 551. ADDITIONAL CLASSES OF INDIVIDUALS ELIGIBLE TO PARTICIPATE IN

THE FEDERAL LONG-TERM CARE INSURANCE PROGRAM.

\(a\) Certain Employees of the District of Columbia Government.\--

Section 9001(1) of title 5, United States Code, is amended by striking

\`\`2105(c),\'\' and all that follows and inserting \`\`2105(c).\'\'.

\(b\) Former Federal Employees Who Would Be Eligible To Begin

Receiving an Annuity Upon Attaining the Requisite Minimum Age.\--Section

9001(2) of title 5, United States Code, is amended\--

\(1\) in subparagraph (A), by striking \`\`and\'\' at the end;

\(2\) in subparagraph (B), by striking the period and

inserting \`\`; and\'\'; and

\(3\) by adding at the end the following:

\`\`(C) any former employee who, on the basis of his

or her service, would meet all requirements for being

considered an \`annuitant\' within the meaning of

subchapter III of chapter 83, chapter 84, or any other

retirement system for employees of the Government, but

for the fact that such former employee has not attained

the minimum age for title to annuity.\'\'.

\(c\) Reservists Transferred to the Retired Reserve Who Are Under Age

60.\--Section 9001(4) of title 5, United States Code, is amended by

striking \`\`including\'\' and all that follows through \`\`who has\'\'
and

inserting \`\`and a member who has been transferred to the Retired

Reserve and who would be entitled to retired pay under chapter 1223 of

title 10 but for not having\'\'.

SEC. 552. AUTHORITY TO TRANSPORT REMAINS OF RETIREES AND RETIREE

DEPENDENTS WHO DIE IN MILITARY TREATMENT FACILITIES

OUTSIDE THE UNITED STATES.

\(a\) Authorized Transportation.\--Section 1490 of title 10, United

States Code, is amended\--

\(1\) in subsection (a), by striking \`\`located in the United

States\'\'; and

\(2\) in subsection (b)(1), by striking \`\`outside the United

States or to a place\'\'.

\(b\) Conforming Amendment.\--Subsection (c) of such section is

amended to read as follows:

\`\`(c) Definition of Dependent.\--In this section, the term

\`dependent\' has the meaning given such term in section 1072(2) of this

title.\'\'.

\(c\) Effective Date.\--The amendments made by this section shall

apply only with respect to persons dying on or after the date of the

enactment of this Act.

SEC. 553. ELIGIBILITY FOR DEPENDENTS OF CERTAIN MOBILIZED RESERVISTS

STATIONED OVERSEAS TO ATTEND DEFENSE DEPENDENTS SCHOOLS

OVERSEAS.

\(a\) Tuition-Free Status Parity With Dependents of Other

Reservists.\--Section 1404(c) of the Defense Dependents\' Education Act

of 1978 (20 U.S.C. 923(c)) is amended\--

\(1\) by inserting \`\`(1)\'\' after \`\`(c)\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(2)(A) The Secretary shall include in the regulations prescribed

under this subsection a requirement that children in the class of

children described in subparagraph (B) shall be subject to the same

tuition requirements, or waiver of tuition requirements, as children in

the class of children described in subparagraph (C).

\`\`(B) The class of children described in this subparagraph are

children of members of reserve components of the Armed Forces who\--

\`\`(i) are on active duty under an order to active duty

under section 12301 or 12302 of title 10, United States Code;

\`\`(ii) were ordered to active duty from a location in the

United States (other than in Alaska or Hawaii); and

\`\`(iii) are serving on active duty outside the United

States or in Alaska or Hawaii in a tour of duty that

(voluntarily or involuntarily) has been extended to a period in

excess of one year.

\`\`(C) The class of children described in this subparagraph are

children of members of reserve components of the Armed Forces who\--

\`\`(i) are on active duty under an order to active duty

under section 12301 or 12302 of title 10, United States Code;

\`\`(ii) were ordered to active duty from a location outside

the United States (or in Alaska or Hawaii); and

\`\`(iii) are serving on active duty outside the United

States or in Alaska or Hawaii.\'\'.

\(b\) Clerical Amendment.\--The heading of such section is amended to

read as follows:

\`\`space-available enrollment of students; tuition\'\'.

\(c\) Implementation of Required New Regulations.\--Regulations

required by paragraph (2) of section 1404(c) of the Defense Dependents\'

Education Act of 1978 (20 U.S.C. 923(c)), as added by subsection (a),

shall be prescribed as soon as practicable after the date of the

enactment of this Act in order to provide the earliest opportunity for

dependents covered by that paragraph to enroll in Department of Defense

dependents\' schools, and in no event later than the beginning of the

first school term beginning after the date of the enactment of this

Act.

Subtitle G\--Other Matters

SEC. 561. EXTENSION OF REQUIREMENT FOR EXEMPLARY CONDUCT BY COMMANDING

OFFICERS AND OTHERS IN AUTHORITY TO INCLUDE CIVILIANS IN

AUTHORITY IN THE DEPARTMENT OF DEFENSE.

\(a\) In General.\--(1) Chapter 50 of title 10, United States Code, is

amended by adding at the end the following new section:

\`\`Sec. 992. Requirement of exemplary conduct: commanding officers and

others in authority

\`\`All commanding officers and others in authority in the Department

of Defense are required\--

\`\`(1) to show in themselves a good example of virtue,

honor, patriotism, and subordination;

\`\`(2) to be vigilant in inspecting the conduct of all

persons who are placed under their command or charge;

\`\`(3) to guard against and to suppress all dissolute and

immoral practices and to correct, according to applicable laws

and regulations, all persons who are guilty of them; and

\`\`(4) to take all necessary and proper measures, under the

laws, regulations, and customs applicable to the armed forces,

to promote and safeguard the morale, the physical well-being,

and the general welfare of all under their command or

charge.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by adding at the end the following new item:

\`\`992. Requirement of exemplary conduct: commanding officers and
others

in authority.\'\'.

\(b\) Conforming Repeals.\--Title 10, United States Code, is further

amended as follows:

\(1\) Section 3583, 5947, and 8583 are repealed.

(2)(A) The table of sections at the beginning of chapter

345 is amended by striking the item relating to section 3583.

\(B\) The table of sections at the beginning of chapter 551

is amended by striking the item relating to section 5947.

\(C\) The table of sections at the beginning of chapter 845

is amended by striking the item relating to section 8583.

SEC. 562. RECOGNITION OF MILITARY FAMILIES.

\(a\) Findings.\--Congress makes the following findings:

\(1\) The families of both active and reserve component

military personnel, through their sacrifices and their

dedication to the Nation and its values, contribute

immeasurably to the readiness of the Nation\'s Armed Forces.

\(2\) Without the continued support of military families, the

Nation\'s ability to sustain a high quality all-volunteer

military force would be undermined.

\(3\) In these perilous and challenging times, with hundreds

of thousands of active and reserve military personnel deployed

overseas in places of combat and imminent danger, military

families are making extraordinary sacrifices and will be

required to do so for the foreseeable future.

\(4\) Beginning in 1997, military family service and support

centers have received materials from private, non-profit

organizational sources which are designed to encourage and

assist those centers in conducting activities to celebrate the

American military family during the Thanksgiving period each

November.

\(b\) Military Family Recognition.\-- In view of the findings in

subsection (a), Congress determines that it is appropriate that special

measures be taken annually to recognize and honor the American military

family.

\(c\) Department of Defense Programs and Activities.\--The Secretary

of Defense shall\--

\(1\) implement and sustain programs, including appropriate

ceremonies and activities, to celebrate the contributions and

sacrifices of the American military family, including both

families of both active and reserve component military

personnel;

\(2\) focus the celebration of the American military family

during a specific period of each year to give full and proper

highlight to those families; and

\(3\) seek the assistance and support of appropriate civilian

organizations, associations, and other entities in carrying out

not only the annual celebration of the American military

family, but also in sustaining longer-term efforts.

SEC. 563. 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

2004.\--Of the amount authorized to be appropriated pursuant to 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 to local educational agencies.

\(b\) Notification.\--Not later than June 30, 2004, the Secretary of

Defense shall notify each local educational agency that is eligible for

educational agencies assistance for fiscal year 2004 of\--

\(1\) that agency\'s eligibility for the assistance; and

\(2\) the amount of the assistance for which that agency is

eligible.

\(c\) Disbursement of Funds.\--The Secretary of Defense shall disburse

funds made available under subsection (a) not later than 30 days after

the date on which notification to the eligible local educational

agencies is provided pursuant to subsection (b).

\(d\) Definitions.\--In this section:

\(1\) The term \`\`educational agencies assistance\'\' means

assistance authorized under section 386(b) of the National

Defense Authorization Act for Fiscal Year 1993 (Public Law 102-

484; 20 U.S.C. 7703 note).

\(2\) The term \`\`local educational agency\'\' has the meaning

given that term in section 8013(9) of the Elementary and

Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

SEC. 564. PERMANENT AUTHORITY FOR SUPPORT FOR CERTAIN CHAPLAIN-LED

MILITARY FAMILY SUPPORT PROGRAMS.

\(a\) In General.\--(1) Chapter 88 of title 10, United States Code, is

amended by inserting at the end of subchapter I the following new

section:

\`\`Sec. 1789. Chaplain-led programs: authorized support

\`\`(a) Authority.\--The Secretary of a military department may

provide support services described in subsection (b) to support

chaplain-led programs to assist members of the armed forces on active

duty and their immediate family members, and members of reserve

components in an active status and their immediate family members, in

building and maintaining a strong family structure.

\`\`(b) Authorized Support Services.\--The support services referred

to in subsection (a) are costs of transportation, food, lodging, child

care, supplies, fees, and training materials for members of the armed

forces and their family members while participating in programs

referred to in that subsection, including participation at retreats and

conferences.

\`\`(c) Immediate Family Members.\--In this section, the term

\`immediate family members\', with respect to a member of the armed

forces, means\--

\`\`(1) the member\'s spouse; and

\`\`(2) any child (as defined in section 1072(6) of this

title) of the member who is described in subparagraph (D) of

section 1072(2) of this title.\'\'.

\(2\) The table of sections at the beginning of such subchapter is

amended by inserting after the item relating to section 1788 the

following new item:

\`\`1789. Chaplain-led programs: authorized support.\'\'.

\(b\) Effective Date.\--Section 1789 of title 10, United States Code,

as added by subsection (a), shall take effect on October 1, 2003.

SEC. 565. DEPARTMENT OF DEFENSE-DEPARTMENT OF VETERANS AFFAIRS JOINT

EXECUTIVE COMMITTEE.

\(a\) Establishment of Joint Committee.\--(1) Chapter 3 of title 38,

United States Code, is amended by adding at the end the following new

section:

\`\`Sec. 320. Department of Veterans Affairs-Department of Defense Joint

Executive Committee

\`\`(a) Joint Executive Committee.\--(1) There is established an

interagency committee to be known as the Department of Veterans

Affairs-Department of Defense Joint Executive Committee (hereinafter in

this section referred to as the \`Committee\').

\`\`(2) The Committee is composed of\--

\`\`(A) the Deputy Secretary of Veterans Affairs and such

other officers and employees of the Department of Veterans

Affairs as the Secretary of Veterans Affairs may designate; and

\`\`(B) the Under Secretary of Defense for Personnel and

Readiness and such other officers and employees of the

Department of Defense as the Secretary of Defense may

designate.

\`\`(b) Administrative Matters.\--(1) The Deputy Secretary of Veterans

Affairs and the Under Secretary of Defense shall determine the size and

structure of the Committee, as well as the administrative and

procedural guidelines for the operation of the Committee.

\`\`(2) The two Departments shall supply appropriate staff and

resources to provide administrative support and services. Support for

such purposes shall be provided at a level sufficient for the efficient

operation of the Committee, including a subordinate Health Executive

Committee, a subordinate Benefits Executive Committee, and such other

committees or working groups as considered necessary by the Deputy

Secretary and Under Secretary.

\`\`(c) Recommendations.\--(1) The Committee shall recommend to the

Secretaries strategic direction for the joint coordination and sharing

efforts between and within the two Departments under section 8111 of

this title and shall oversee implementation of those efforts.

\`\`(2) The Committee shall submit to the two Secretaries and to

Congress an annual report containing such recommendations as the

Committee considers appropriate.

\`\`(d) Functions.\--In order to enable the Committee to make

recommendations in its annual report under subsection (c)(2), the

Committee shall do the following:

\`\`(1) Review existing policies, procedures, and practices

relating to the coordination and sharing of resources between

the two Departments.

\`\`(2) Identify changes in policies, procedures, and

practices that, in the judgment of the Committee, would promote

mutually beneficial coordination, use, or exchange of use of

services and resources of the two Departments, with the goal of

improving the quality, efficiency and effectiveness of the

delivery of benefits and services to veterans, service members,

military retirees and their families through an enhanced

Department of Veterans Affairs and Department of Defense

partnership.

\`\`(3) Identify and assess further opportunities for the

coordination and collaboration between the Departments that, in

the judgment of the Committee, would not adversely affect the

range of services, the quality of care, or the established

priorities for benefits provided by either Department.

\`\`(4) Review the plans of both Departments for the

acquisition of additional resources, especially new facilities

and major equipment and technology, in order to assess the

potential effect of such plans on further opportunities for the

coordination and sharing of resources.

\`\`(5) Review the implementation of activities designed to

promote the coordination and sharing of resources between the

Departments.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by adding at the end the following new item:

\`\`320. Department of Veterans Affairs-Department of Defense Joint

Executive Committee.\'\'.

\(b\) Conforming Amendments.\--(1) Subsection (c) of section 8111 of

such title is repealed.

\(2\) Such section is further amended\--

\(A\) in subsection (b)(2), by striking \`\`subsection (c)\'\'

and inserting \`\`section 320 of this title\'\';

\(B\) in subsection (d)(1), by striking \`\`Committee

established in subsection (c)\'\' and inserting \`\`Department of

Veterans Affairs-Department of Defense Joint Executive

Committee\'\';

\(C\) in subsection (e)(1), by striking \`\`Committee under

subsection (c)(2)\'\' and inserting \`\`Department of Veterans

Affairs-Department of Defense Joint Executive Committee with

respect to health care resources\'\'; and

\(D\) in subsection (f)(2), by striking subparagraphs (B) and

\(C\) and inserting the following:

\`\`(B) The assessment of further opportunities identified by

the Department of Veterans Affairs-Department of Defense Joint

Executive Committee under subsection (d)(3) of section 320 of

this title for the sharing of health-care resources between the

two Departments.

\`\`(C) Any recommendation made by that committee under

subsection (c)(2) of that section during that fiscal year.\'\'.

\(c\) Technical Amendments.\--Subsection (f) of such section is

further amended by inserting \`\`(Public Law 107-314)\'\' in paragraphs

(3), (4)(A), (4)(B), and (5) after \`\`for Fiscal Year 2003\'\'.

\(d\) Effective Date.\--(1) If this Act is enacted before October 1,

2003\--

\(A\) section 320 of title 38, United States Code, as added

by subsection (a), shall take effect on October 1, 2003; and

\(B\) the amendments made by subsections (b) and (c) shall

take effect on October 1, 2003, immediately after the amendment

made by section 721(a)(1) of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116

2589).

\(2\) If this Act is enacted on or after October 1, 2003, the

amendments made by this section shall take effect on the date of the

enactment of this Act.

SEC. 566. LIMITATION ON AVIATION FORCE STRUCTURE CHANGES IN THE

DEPARTMENT OF THE NAVY.

\(a\) Limitation.\--The Secretary of the Navy shall ensure that no

reductions are made in the active and reserve force structure of the

Navy and Marine Corps for fixed- and rotary-wing aircraft until 90 days

have elapsed after the date as of which both of the reports required by

subsections (b) and (c) have been received by the committees named in

those subsections.

\(b\) Naval Aviation Force Structure Plan.\--The Secretary of the Navy

shall submit to the Committee on Armed Services of the Senate and the

Committee on Armed Services of the House of Representatives a detailed

report on the changes to the active and reserve aviation force

structure in the Department of the Navy that are proposed for fiscal

years 2004 through 2009. The report shall include the following:

\(1\) The numbers of aircraft and helicopter force structure

planned for retirement.

\(2\) The amounts of planned budget authority to be saved,

shown by year and by appropriation, compared to the May 1,

2003, force structure.

\(3\) An assessment by the Chief of Naval Operations

comparing the future force structure plan with capabilities of

the Department of the Navy\'s aviation force structure on May 1,

2003\.

\(4\) A risk assessment of the planned force structure to

carry out the National Security Strategy of the United States,

dated September 2002.

\(5\) A risk assessment of the planned force based on the

assumptions applied in the September 30, 2001, Quadrennial

Defense Review Report.

\(c\) Active and Reserve Component Integration Plan.\--The Secretary

of the Navy shall submit to the Committee on Armed Services of the

Senate and the Committee on Armed Services of the House of

Representatives a concept of operations for increasing the integration

and use of Naval Reserve surface, aviation, and other units and

personnel with active component forces in carrying out operational

missions across the peacetime and wartime spectrum of naval operations

during the period of 2004 through 2009.

SEC. 567. IMPACT AID ELIGIBILITY FOR HEAVILY IMPACTED LOCAL EDUCATIONAL

AGENCIES AFFECTED BY PRIVITIZATION OF MILITARY HOUSING.

Section 8003(b)(2)(H) of the Elementary and Secondary Education Act

of 1965 (20 U.S.C. 7703(b)(2)(H)) is amended by striking clauses (i)

and (ii) and inserting the following:

\`\`(i) Eligibility.\--For any fiscal year

beginning with fiscal 2003, a heavily impacted

local educational agency that received a basic

support payment under paragraph (b)(2) for the

prior fiscal year, but is ineligible for such

payment for the current fiscal year under

subparagraph (B), (C), (D), or (E), as the case

may be, by reason of the conversion of military

housing units to private housing described in

clause (iii), shall be deemed to meet the

eligibility requirements under subparagraph (B)

or (C), as the case may be for the period

during which the housing units are undergoing

such conversion.

\`\`(ii) Amount of payment.\--The amount of a

payment to a heavily impacted local educational

agency for a fiscal year by reason of the

application of clause (i), and calculated in

accordance with subparagraph (D) or (E), as the

case may be, shall be based on the number of

children in average daily attendance in the

schools of such agency for the fiscal year and

under the same provisions of subparagraph (D)

or (E) under which the agency was paid during

the prior fiscal year.\'\'.

SEC. 568. INVESTIGATION INTO THE 1991 DEATH OF MARINE CORPS COLONEL

JAMES E. SABOW.

\(a\) Investigation Required.\--Not later than 60 days after the date

of the enactment of this Act, the Secretary of Defense shall commence a

new investigation into the death of Colonel James S. Sabow, United

States Marine Corps, who died on January 22, 1991, at the Marine Corps

Air Station, El Toro, California.

\(b\) Focus of Investigation.\--The principal focus of the

investigation under subsection (a) shall be to determine the cause of

Colonel Sabow\'s death, given the medical and forensic factors

associated with that death.

\(c\) Review by Outside Experts.\--The Secretary of Defense shall

provide that the evidence concerning the cause of Colonel Sabow\'s death

and the medical and forensic factors associated with his death shall be

reviewed by medical and forensic experts outside the Department of

Defense.

\(d\) Report.\--Not later than six months after the date of the

enactment of this Act, the Secretary of Defense shall submit to the

Committee on Armed Services of the Senate and the Committee on Armed

Services of the House of Representatives a written report on the

findings of the investigation under subsection (a). The Secretary shall

include in the report (1) the Secretary\'s conclusions as a result of

the investigation, including the Secretary\'s conclusions regarding the

cause of death of Colonel Sabow, and (2) the conclusions of the experts

reviewing the matter under subsection (c).

Subtitle H\--Domestic Violence

SEC. 571. TRAVEL AND TRANSPORTATION FOR DEPENDENTS RELOCATING FOR

REASONS OF PERSONAL SAFETY.

Section 406(h) of title 37, United States Code, is amended by

adding at the end the following new paragraph:

\`\`(4)(A) The Secretary concerned shall provide to the dependents of

a member the travel and transportation allowances described in

paragraphs (1) and (3) in a case in which\--

\`\`(i) a commander has substantiated that the member has

committed dependent abuse, as defined in section 1059(c) of

title 10;

\`\`(ii) a safety plan and counseling have been provided;

\`\`(iii) there has been a determination that the victim\'s

safety is at stake and that relocation is the best course of

action; and

\`\`(iv) the abused dependent, or parent of the abused

dependent if the abused dependent is a child, requests

relocation.

\`\`(B) In the case of allowances paid under subparagraph (A), any

monetary allowances shall accrue to the dependents in lieu of the

member and may be paid to the dependents.

\`\`(C) Shipment of the dependent\'s baggage and household effects,

and of any motor vehicle, may not be provided until there is a property

division established by written agreement with the member or by order

of a court of competent jurisdiction.\'\'.

SEC. 572. COMMENCEMENT AND DURATION OF PAYMENT OF TRANSITIONAL

COMPENSATION.

\(a\) Commencement.\--Paragraph (1)(A) of section 1059(e) of title 10,

United States Code, is amended by striking \`\`shall commence\'\' and
all

that follows and inserting \`\`shall commence\--

\`\`(i) as of the date the court martial sentence is

adjudged if the sentence, as adjudged, includes a

dismissal, dishonorable discharge, bad conduct

discharge, or forfeiture of all pay and allowances; or

\`\`(ii) if there is a pretrial agreement that

includes disapproval or suspension of the dismissal,

dishonorable discharge, bad conduct discharge, or

forfeiture of all pay and allowances, as of the date of

the approval of the court-martial sentence by the

person acting under section 860(c) of this title

(article 60(c) of the Uniform Code of Military Justice)

if the sentence, as approved, includes an unsuspended

dismissal, dishonorable discharge, bad conduct

discharge, or forfeiture of all pay and allowances;\'\'.

\(b\) Duration.\--Paragraph (2) of such section is amended by striking

\`\`, except that\'\' and all that follows through \`\`12 months\'\'.

\(c\) Termination.\--Paragraph (3)(A) of such section is amended by

striking \`\`punishment applicable to the member under the sentence is

remitted, set aside, or mitigated\'\' and inserting \`\`conviction is

disapproved by the person acting under section 860(c) of this title

(article 60(c) of the Uniform Code of Military Justice) or set aside,

or each such punishment applicable to the member under the sentence is

disapproved by the person acting under section 860(c) of this title,

remitted, set aside, suspended, or mitigated\'\'.

SEC. 573. FLEXIBILITY IN ELIGIBILITY FOR TRANSITIONAL COMPENSATION.

\(a\) Authority.\--Section 1059 of title 10, United States Code, is

amended by adding at the end the following new subsection:

\`\`(m) Additional Eligibility.\--The Secretary concerned, under

regulations prescribed under subsection (k), may authorize eligibility

for benefits under this section to dependents of a member or former

member of the armed forces not covered by subsection (b) if the

Secretary concerned determines that there are extenuating circumstances

such that granting benefits under this section is consistent with the

intent of this section.\'\'.

\(b\) Effective Date.\--The authority under subsection (m) of section

1059 of title 10, United States Code, as added by subsection (a), may

only be exercised with respect to eligibility for benefits under such

section by reason of conduct on or after the date of the enactment of

this Act.

SEC. 574. TYPES OF ADMINISTRATIVE SEPARATIONS TRIGGERING COVERAGE.

Section 1059(b)(2) of title 10, United States Code, is amended by

inserting \`\`, voluntarily or involuntarily,\'\' after
\`\`administratively

separated\'\'.

SEC. 575. ON-GOING REVIEW GROUP.

Not later than two years after the date of the enactment of this

Act, the Secretary of Defense shall convene a working group of not less

than 12 members, composed in the same manner as the Defense Task Force

on Domestic Violence established pursuant to section 591 of the

National Defense Authorization Act for Fiscal Year 2000 (Public Law

106-65). The purpose of the working group shall be to review and assess

the progress of the Department of Defense in implementation of the

recommendations of the Defense Task Force on Domestic Violence. In

reviewing the status of the Department\'s efforts, the group should

specifically focus on the Department\'s efforts to ensure

confidentiality for victims and accountability and education of

commanding officers and chaplains.

SEC. 576. RESOURCES FOR DEPARTMENT OF DEFENSE IMPLEMENTATION

ORGANIZATION.

The Secretary of Defense shall ensure that necessary resources,

including personnel, facilities, and other administrative support, are

provided to the organization within the Office of the Secretary of

Defense with direct responsibility for oversight of implementation by

the military departments of recommendations of the Task Force in order

for that organization to carry out its duties and responsibilities.

SEC. 577. FATALITY REVIEWS.

\(a\) Review of Fatalities.\--The Secretary of Defense shall conduct a

multidisciplinary, impartial review (referred to as a \`\`fatality

review\'\') in the case of each fatality known or suspected to have

resulted from domestic violence or child abuse against\--

\(1\) a member of the Armed Forces;

\(2\) a current or former dependent of a member of the Armed

Forces; or

\(3\) a current or former intimate partner who has a child in

common or has shared a common domicile with a member of the

Armed Forces.

\(b\) Matters to be Included.\--The report of a fatality review under

subsection (a) shall, at a minimum, include the following:

\(1\) An executive summary.

\(2\) Data setting forth victim demographics, injuries,

autopsy findings, homicide or suicide methods, weapons, police

information, assailant demographics, and household and family

information.

\(3\) Legal disposition.

\(4\) System intervention and failures within the Department

of Defense.

\(5\) A discussion of significant findings.

\(6\) Recommendations for systemic changes within the

Department of Defense.

SEC. 578. SENSE OF CONGRESS.

It is the sense of Congress that\--

\(1\) the Secretary of Defense should adopt the strategic

plan proposed by the Defense Task Force on Domestic Violence in

its Third Year Report, as required by section 591(a) of the

Department of Defense Authorization Act for Fiscal Year 2000

(Public Law 106-65); and

\(2\) the Secretary of each military department should

establish and support a Victim Advocate Protocol and provide

for nondisclosure to ensure confidentiality for victims who

come forward to receive advocacy, support, information, and

resources, as recommended by the Defense Task Force on Domestic

Violence.

TITLE VI\--COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A\--Pay and Allowances

SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2004.

\(a\) Waiver of Section 1009 Adjustment.\--The adjustment to become

effective during fiscal year 2004 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 for Members of Armed Forces.\--Effective

on January 1, 2004, the rates of monthly basic pay for members of the

Armed Forces within each pay grade are as follows:

COMMISSIONED OFFICERS\\1\\

Years of service computed under section 205 of title 37, United States

Code

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Pay Grade 2 or less Over 2 Over 3 Over 4 Over 6

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-10\\2\\\...\...\... \$0.00 \$0.00 \$0.00 \$0.00 \$0.00

O-9\...\...\...\.... 0.00 0.00 0.00 0.00 0.00

O-8\...\...\...\.... 7,751.10 8,004.90 8,173.20 8,220.60 8,430.30

O-7\...\...\...\.... 6,440.70 6,739.80 6,878.40 6,988.50 7,187.40

O-6\...\...\...\.... 4,773.60 5,244.30 5,588.40 5,588.40 5,609.70

O-5\...\...\...\.... 3,979.50 4,482.90 4,793.40 4,851.60 5,044.80

O-4\...\...\...\.... 3,433.50 3,974.70 4,239.90 4,299.00 4,545.30

O-3\\3\\\...\...\.... 3,018.90 3,422.40 3,693.90 4,027.20 4,220.10

O-2\\3\\\...\...\.... 2,595.60 2,956.50 3,405.00 3,519.90 3,592.50

O-1\\3\\\...\...\.... 2,253.60 2,345.10 2,834.70 2,834.70 2,834.70

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 8 Over 10 Over 12 Over 14 Over 16

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-10\\2\\\...\...\... \$0.00 \$0.00 \$0.00 \$0.00 \$0.00

O-9\...\...\...\.... 0.00 0.00 0.00 0.00 0.00

O-8\...\...\...\.... 8,781.90 8,863.50 9,197.10 9,292.80 9,579.90

O-7\...\...\...\.... 7,384.20 7,611.90 7,839.00 8,066.70 8,781.90

O-6\...\...\...\.... 5,850.00 5,882.10 5,882.10 6,216.30 6,807.30

O-5\...\...\...\.... 5,161.20 5,415.90 5,602.80 5,844.00 6,213.60

O-4\...\...\...\.... 4,809.30 5,137.80 5,394.00 5,571.60 5,673.60

O-3\\3\\\...\...\.... 4,431.60 4,568.70 4,794.30 4,911.30 4,911.30

O-2\\3\\\...\...\.... 3,592.50 3,592.50 3,592.50 3,592.50 3,592.50

O-1\\3\\\...\...\.... 2,834.70 2,834.70 2,834.70 2,834.70 2,834.70

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 18 Over 20 Over 22 Over 24 Over 26

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-10\\2\\\...\...\... \$0.00 \$12,524.7 \$12,586.2 \$12,847.8
\$13,303.80

0 0 0

O-9\...\...\...\.... 0.00 10,954.50 11,112.30 11,340.30 11,738.40

O-8\...\...\...\.... 9,995.70 10,379.10 10,635.30 10,635.30 10,635.30

O-7\...\...\...\.... 9,386.10 9,386.10 9,386.10 9,386.10 9,433.50

O-6\...\...\...\.... 7,154.10 7,500.90 7,698.30 7,897.80 8,285.40

O-5\...\...\...\.... 6,389.70 6,563.40 6,760.80 6,760.80 6,760.80

O-4\...\...\...\.... 5,733.00 5,733.00 5,733.00 5,733.00 5,733.00

O-3\\3\\\...\...\.... 4,911.30 4,911.30 4,911.30 4,911.30 4,911.30

O-2\\3\\\...\...\.... 3,592.50 3,592.50 3,592.50 3,592.50 3,592.50

O-1\\3\\\...\...\.... 2,834.70 2,834.70 2,834.70 2,834.70 2,834.70

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\\1\\Notwithstanding the basic pay rates specified in this table, the

actual rate of basic pay for commissioned officers in pay grades O-7

through O-10 may not exceed the rate of pay for level III of the

Executive Schedule and the actual rate of basic pay for all other

officers may not exceed the rate of pay for level V of the Executive

Schedule.

\\2\\Subject to the preceding footnote, the rate of basic pay for an

officer in this grade while serving as Chairman or Vice Chairman of

the Joint Chiefs of Staff, Chief of Staff of the Army, Chief of Naval

Operations, Chief of Staff of the Air Force, Commandant of the Marine

Corps, or Commandant of the Coast Guard, is \$14,679.30, regardless of

cumulative years of service computed under section 205 of title 37,

United States Code.

\\3\\This table does not apply to commissioned officers in pay grade
O-1,

O-2, or O-3 who have been credited with over 4 years of active duty

service as an enlisted member or warrant officer.

COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN

ENLISTED MEMBER OR WARRANT OFFICER

Years of service computed under section 205 of title 37, United States

Code

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Pay Grade 2 or less Over 2 Over 3 Over 4 Over 6

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-3E\...\...\...\... \$0.00 \$0.00 \$0.00 \$4,027.20 \$4,220.10

O-2E\...\...\...\... 0.00 0.00 0.00 3,537.00 3,609.90

O-1E\...\...\...\... 0.00 0.00 0.00 2,848.50 3,042.30

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 8 Over 10 Over 12 Over 14 Over 16

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-3E\...\...\...\... \$4,431.60 \$4,568.70 \$4,794.30 \$4,984.20
\$5,092.80

O-2E\...\...\...\... 3,724.80 3,918.60 4,068.60 4,180.20 4,180.20

O-1E\...\...\...\... 3,154.50 3,269.40 3,382.20 3,537.00 3,537.00

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 18 Over 20 Over 22 Over 24 Over 26

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

O-3E\...\...\...\... \$5,241.30 \$5,241.30 \$5,241.30 \$5,241.30
\$5,241.30

O-2E\...\...\...\... 4,180.20 4,180.20 4,180.20 4,180.20 4,180.20

O-1E\...\...\...\... 3,537.00 3,537.00 3,537.00 3,537.00 3,537.00

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

WARRANT OFFICERS\\1\\

Years of service computed under section 205 of title 37, United States

Code

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Pay Grade 2 or less Over 2 Over 3 Over 4 Over 6

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

W-5\...\...\...\..... \$0.00 \$0.00 \$0.00 \$0.00 \$0.00

W-4\...\...\...\..... 3,119.40 3,355.80 3,452.40 3,547.20 3,710.40

W-3\...\...\...\..... 2,848.80 2,967.90 3,089.40 3,129.30 3,257.10

W-2\...\...\...\..... 2,505.90 2,649.00 2,774.10 2,865.30 2,943.30

W-1\...\...\...\..... 2,212.80 2,394.00 2,515.20 2,593.50 2,802.30

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 8 Over 10 Over 12 Over 14 Over 16

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

W-5\...\...\...\..... \$0.00 \$0.00 \$0.00 \$0.00 \$0.00

W-4\...\...\...\..... 3,871.50 4,035.00 4,194.30 4,359.00 4,617.30

W-3\...\...\...\..... 3,403.20 3,595.80 3,786.30 3,988.80 4,140.60

W-2\...\...\...\..... 3,157.80 3,321.60 3,443.40 3,562.20 3,643.80

W-1\...\...\...\..... 2,928.30 3,039.90 3,164.70 3,247.20 3,321.90

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 18 Over 20 Over 22 Over 24 Over 26

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

W-5\...\...\...\..... \$0.00 \$5,360.70 \$5,544.30 \$5,728.80 \$5,914.20

W-4\...\...\...\..... 4,782.60 4,944.30 5,112.00 5,277.00 5,445.90

W-3\...\...\...\..... 4,291.80 4,356.90 4,424.10 4,570.20 4,716.30

W-2\...\...\...\..... 3,712.50 3,843.00 3,972.60 4,103.70 4,103.70

W-1\...\...\...\..... 3,443.70 3,535.80 3,535.80 3,535.80 3,535.80

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\\1\\Notwithstanding the basic pay rates specified in this table, the

actual rate of basic pay for warrant officers may not exceed the rate

of pay for level V of the Executive Schedule.

ENLISTED MEMBERS\\1\\

Years of service computed under section 205 of title 37, United States

Code

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Pay Grade 2 or less Over 2 Over 3 Over 4 Over 6

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

E-9\\2\\\...\...\..... \$0.00 \$0.00 \$0.00 \$0.00 \$0.00

E-8\...\...\...\..... 0.00 0.00 0.00 0.00 0.00

E-7\...\...\...\..... 2,145.00 2,341.20 2,430.60 2,549.70 2,642.10

E-6\...\...\...\..... 1,855.50 2,041.20 2,131.20 2,218.80 2,310.00

E-5\...\...\...\..... 1,700.10 1,813.50 1,901.10 1,991.10 2,130.60

E-4\...\...\...\..... 1,558.20 1,638.30 1,726.80 1,814.10 1,891.50

E-3\...\...\...\..... 1,407.00 1,495.50 1,585.50 1,585.50 1,585.50

E-2\...\...\...\..... 1,331.40 1,331.40 1,331.40 1,331.40 1,331.40

E-1\\3\\\...\...\..... 1,173.90 1,173.90 1,173.90 1,173.90 1,173.90

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 8 Over 10 Over 12 Over 14 Over 16

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

E-9\\2\\\...\...\..... \$0.00 \$3,769.20 \$3,854.70 \$3,962.40
\$4,089.30

E-8\...\...\...\..... 3,085.50 3,222.00 3,306.30 3,407.70 3,517.50

E-7\...\...\...\..... 2,801.40 2,891.10 2,980.20 3,139.80 3,219.60

E-6\...\...\...\..... 2,516.10 2,596.20 2,685.30 2,763.30 2,790.90

E-5\...\...\...\..... 2,250.90 2,339.70 2,367.90 2,367.90 2,367.90

E-4\...\...\...\..... 1,891.50 1,891.50 1,891.50 1,891.50 1,891.50

E-3\...\...\...\..... 1,585.50 1,585.50 1,585.50 1,585.50 1,585.50

E-2\...\...\...\..... 1,331.40 1,331.40 1,331.40 1,331.40 1,331.40

E-1\\3\\\...\...\..... 1,173.90 1,173.90 1,173.90 1,173.90 1,173.90

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Over 18 Over 20 Over 22 Over 24 Over 26

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

E-9\\2\\\...\...\..... \$4,216.50 \$4,421.10 \$4,594.20 \$4,776.60
\$5,054.70

E-8\...\...\...\..... 3,715.50 3,815.70 3,986.40 4,081.20 4,314.30

E-7\...\...\...\..... 3,295.50 3,341.70 3,498.00 3,599.10 3,855.00

E-6\...\...\...\..... 2,809.80 2,809.80 2,809.80 2,809.80 2,809.80

E-5\...\...\...\..... 2,367.90 2,367.90 2,367.90 2,367.90 2,367.90

E-4\...\...\...\..... 1,891.50 1,891.50 1,891.50 1,891.50 1,891.50

E-3\...\...\...\..... 1,585.50 1,585.50 1,585.50 1,585.50 1,585.50

E-2\...\...\...\..... 1,331.40 1,331.40 1,331.40 1,331.40 1,331.40

E-1\\3\\\...\...\..... 1,173.90 1,173.90 1,173.90 1,173.90 1,173.90

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\\1\\Notwithstanding the basic pay rates specified in this table, the

actual rate of basic pay for enlisted members may not exceed the rate

of pay for level V of the Executive Schedule.

\\2\\Subject to the preceding footnote, the rate of basic pay for an

enlisted member in this grade while serving as Sergeant Major of the

Army, Master Chief Petty Officer of the Navy, Chief Master Sergeant of

the Air Force, Sergeant Major of the Marine Corps, or Master Chief

Petty Officer of the Coast Guard, is \$6,090.90, regardless of

cumulative years of service computed under section 205 of title 37,

United States Code.

\\3\\In the case of members in pay grade E-1 who have served less than 4

months on active duty, the rate of basic pay is \$1,086.00.

\(c\) Increase in Basic Pay for Other Members of Uniformed

Services.\--Effective on January 1, 2004, the rates of monthly basic pay

for members of the National Oceanic and Atmospheric Administration and

the Public Health Service are increased by 2 percent.

\(d\) Definitions.\--In this section, the terms \`\`armed forces\'\' and

\`\`uniformed services\'\' have the meanings given such terms in section

101 of title 37, United States Code.

SEC. 602. COMPUTATION OF BASIC PAY RATE FOR COMMISSIONED OFFICERS WITH

PRIOR ENLISTED OR WARRANT OFFICER SERVICE.

Section 203(d)(2) of title 37, United States Code, is amended\--

\(1\) in subparagraph (A), by striking \`\`enlisted member,\'\'

and all that follows through the period and inserting

\`\`enlisted member.\'\'; and

\(2\) by striking subparagraph (B) and inserting the

following new subparagraph:

\`\`(B) Service as a warrant officer, as an enlisted member,

or as a warrant officer and an enlisted member, for which at

least 1,460 points have been credited to the officer for the

purposes of section 12732(a)(2) of title 10.\'\'.

SEC. 603. SPECIAL SUBSISTENCE ALLOWANCE AUTHORITIES FOR MEMBERS

ASSIGNED TO HIGH-COST DUTY LOCATION OR UNDER OTHER UNIQUE

AND UNUSUAL CIRCUMSTANCES.

\(a\) In General.\--Section 402 of title 37, United States Code, is

amended\--

\(1\) by redesignating subsections (f) and (g) as subsections

\(g\) and (h), respectively; and

\(2\) by inserting after subsection (e) the following new

subsection:

\`\`(f) Special Rule for High-Cost Duty Locations and Other Unique

and Unusual Circumstances.\--The Secretary of Defense may authorize a

member of the armed forces who is assigned to duty in a high-cost duty

location or under other unique and unusual circumstances, but is not

entitled to the meals portion of the per diem in connection with that

duty, to receive any or all of the following:

\`\`(1) Meals at no cost to the member, regardless of the

entitlement of the member to a basic allowance for subsistence

under subsection (a).

\`\`(2) A basic allowance for subsistence at the standard

rate, regardless of the entitlement of the member for all meals

or select meals during the duty day.

\`\`(3) A supplemental subsistence allowance at a rate higher

than the basic allowance for subsistence rates in effect under

this section, regardless of the entitlement of the member for

all meals or select meals during the duty day.\'\'.

\(b\) Retroactive and Prospective Application.\--Subsection (f) of

section 402 of title 37, United States Code, as added by subsection

(a), shall apply with respect to members of the Armed Forces assigned

to duty in a high-cost duty location or under other unique and unusual

circumstances, as determined pursuant to regulations prescribed

pursuant to subsection (c), after September 11, 2001.

\(c\) Regulations; Time Limits.\--Final regulations to carry out

subsection (f) of section 402 of title 37, United States Code, as added

by subsection (a), shall be prescribed not later than 180 days after

the date of the enactment of this Act. The regulations shall provide a

method by which a member of the Armed Forces covered by such subsection

\(f\) may obtain reimbursement for subsistence expenses incurred by the

member during the period beginning on September 11, 2001, and ending on

the date the regulations take effect.

Subtitle B\--Bonuses and Special and Incentive Pays

SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY

AUTHORITIES FOR RESERVE FORCES.

\(a\) Selected Reserve Reenlistment Bonus.\--Section 308b(f) of title

37, United States Code, is amended by striking \`\`December 31, 2003\'\'

and inserting \`\`December 31, 2004\'\'.

\(b\) Selected Reserve Enlistment Bonus.\--Section 308c(e) of such

title is amended by striking \`\`December 31, 2003\'\' and inserting

\`\`December 31, 2004\'\'.

\(c\) Special Pay for Enlisted Members Assigned to Certain High

Priority Units.\--Section 308d(c) of such title is amended by striking

\`\`December 31, 2003\'\' and inserting \`\`December 31, 2004\'\'.

\(d\) Selected Reserve Affiliation Bonus.\--Section 308e(e) of such

title is amended by striking \`\`December 31, 2003\'\' and inserting

\`\`December 31, 2004\'\'.

\(e\) Ready Reserve Enlistment and Reenlistment Bonus.\--Section

308h(g) of such title is amended by striking \`\`December 31, 2003\'\'
and

inserting \`\`December 31, 2004\'\'.

\(f\) Prior Service Enlistment Bonus.\--Section 308i(f) of such title

is amended by striking \`\`December 31, 2003\'\' and inserting
\`\`December

31, 2004\'\'.

SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY

AUTHORITIES FOR CERTAIN HEALTH CARE PROFESSIONALS.

\(a\) Nurse Officer Candidate Accession Program.\--Section 2130a(a)(1)

of title 10, United States Code, is amended by striking \`\`December 31,

2003\'\' and inserting \`\`December 31, 2004\'\'.

\(b\) Repayment of Education Loans for Certain Health Professionals

Who Serve in the Selected Reserve.\--Section 16302(d) of such title is

amended by striking \`\`January 1, 2004\'\' and inserting \`\`January 1,

2005\'\'.

\(c\) Accession Bonus for Registered Nurses.\--Section 302d(a)(1) of

title 37, United States Code, is amended by striking \`\`December 31,

2003\'\' and inserting \`\`December 31, 2004\'\'.

\(d\) Incentive Special Pay for Nurse Anesthetists.\--Section

302e(a)(1) of such title is amended by striking \`\`December 31,
2003\'\'

and inserting \`\`December 31, 2004\'\'.

\(e\) Special Pay for Selected Reserve Health Professionals in

Critically Short Wartime Specialties.\--Section 302g(f) of such title is

amended by striking \`\`December 31, 2003\'\' and inserting \`\`December
31,

2004\'\'.

\(f\) Accession Bonus for Dental Officers.\--Section 302h(a)(1) of

such title is amended by striking \`\`December 31, 2003\'\' and
inserting

\`\`December 31, 2004\'\'.

SEC. 613. ONE-YEAR EXTENSION OF SPECIAL PAY AND BONUS AUTHORITIES FOR

NUCLEAR OFFICERS.

\(a\) Special Pay for Nuclear-Qualified Officers Extending Period of

Active Service.\--Section 312(e) of title 37, United States Code, is

amended by striking \`\`December 31, 2003\'\' and inserting \`\`December
31,

2004\'\'.

\(b\) Nuclear Career Accession Bonus.\--Section 312b(c) of such title

is amended by striking \`\`December 31, 2003\'\' and inserting
\`\`December

31, 2004\'\'.

\(c\) Nuclear Career Annual Incentive Bonus.\--Section 312c(d) of such

title is amended by striking \`\`December 31, 2003\'\' and inserting

\`\`December 31, 2004\'\'.

SEC. 614. ONE-YEAR EXTENSION OF OTHER BONUS AND SPECIAL PAY

AUTHORITIES.

\(a\) Aviation Officer Retention Bonus.\--Section 301b(a) of title 37,

United States Code, is amended by striking \`\`December 31, 2003\'\' and

inserting \`\`December 31, 2004\'\'.

\(b\) Reenlistment Bonus for Active Members.\--Section 308(g) of such

title is amended by striking \`\`December 31, 2003\'\' and inserting

\`\`December 31, 2004\'\'.

\(c\) Enlistment Bonus for Active Members.\--Section 309(e) of such

title is amended by striking \`\`December 31, 2003\'\' and inserting

\`\`December 31, 2004\'\'.

\(d\) Retention Bonus for Members With Critical Military Skills.\--

Section 323(i) of such title is amended by striking \`\`December 31,

2003\'\' and inserting \`\`December 31, 2004\'\'.

\(e\) Accession Bonus for New Officers in Critical Skills.\--Section

324(g) of such title is amended by striking \`\`December 31, 2003\'\'
and

inserting \`\`December 31, 2004\'\'.

SEC. 615. COMPUTATION OF HAZARDOUS DUTY INCENTIVE PAY FOR DEMOLITION

DUTY AND PARACHUTE JUMPING BY MEMBERS OF RESERVE

COMPONENTS ENTITLED TO COMPENSATION UNDER SECTION 206 OF

TITLE 37.

\(a\) In General.\--Section 301(f) of title 37, United States Code, is

amended by adding at the end the following new paragraph:

\`\`(3) Notwithstanding paragraphs (1) or (2), if a member described

in paragraph (1) performs the duty described in clauses (3) or (4) of

subsection (a) in any month, the member shall be entitled for that

month to the full amount specified in the first sentence of subsection

(c)(1), in the case of the duty described in clause (4) of subsection

\(a\) or parachute jumping involving the use of a static line, or the

full amount specified in the second sentence of subsection (c)(1), in

the case of parachute jumping in military free fall operations.\'\'.

\(b\) Effective Date.\--The amendment made by subsection (a) shall

take effect October 1, 2003.

SEC. 616. AVAILABILITY OF HOSTILE FIRE AND IMMINENT DANGER PAY FOR

RESERVE COMPONENT MEMBERS ON INACTIVE DUTY.

\(a\) Expansion and Clarification of Current Law.\--Section 310 of

title 37, United States Code, is amended\--

\(1\) by redesignating subsections (b) and (c) as subsections

\(c\) and (d), respectively; and

\(2\) by striking subsection (a) and inserting the following

new subsections:

\`\`(a) Eligibility and Special Pay Amount.\--Under regulations

prescribed by the Secretary of Defense, a member of a uniformed service

may be paid special pay at the rate of \$150 for any month in which\--

\`\`(1) the member was entitled to basic pay or compensation

under section 204 or 206 of this title; and

\`\`(2) the member\--

\`\`(A) was subject to hostile fire or explosion of

hostile mines;

\`\`(B) was on duty in an area in which the member

was in imminent danger of being exposed to hostile fire

or explosion of hostile mines and in which, during the

period the member was on duty in the area, other

members of the uniformed services were subject to

hostile fire or explosion of hostile mines;

\`\`(C) was killed, injured, or wounded by hostile

fire, explosion of a hostile mine, or any other hostile

action; or

\`\`(D) was on duty in a foreign area in which the

member was subject to the threat of physical harm or

imminent danger on the basis of civil insurrection,

civil war, terrorism, or wartime conditions.

\`\`(b) Continuation During Hospitalization.\--A member covered by

subsection (a)(2)(C) who is hospitalized for the treatment of the

injury or wound may be paid special pay under this section for not more

than three additional months during which the member is so

hospitalized.\'\'.

\(b\) Clerical Amendments.\--Such section is further amended\--

\(1\) in subsection (c), as redesignated by subsection

(a)(1), by inserting \`\`Limitations and Administration.\--\'\'

before \`\`(1)\'\'; and

\(2\) in subsection (d), as redesignated by subsection

(a)(1), by inserting \`\`Determinations of Fact.\--\'\' before

\`\`Any\'\'.

SEC. 617. EXPANSION OF OVERSEAS TOUR EXTENSION INCENTIVE PROGRAM TO

OFFICERS.

\(a\) Special Pay or Bonus for Extending Overseas Tour of Duty.\--(1)

Subsections (a) and (b) of section 314 of title 37, United States Code,

are amended by striking \`\`an enlisted member\'\' and inserting \`\`a

member\'\'.

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

\`\`Sec. 314. Special pay or bonus: qualified members extending duty at

designated locations overseas\'\'.

\(B\) The item relating to such section in the table of sections at

the beginning of chapter 5 of such title is amended to read as follows:

\`\`314. Special pay or bonus: qualified members extending duty at

designated locations overseas.\'\'.

\(b\) Rest and Recuperative Absence in Lieu of Pay or Bonus.\--(1)

Subsection (a) of section 705 of title 10, United States Code, is

amended by striking \`\`an enlisted member\'\' and inserting \`\`a
member\'\'.

\(2\) The heading of such section, and the item relating to such

section in the table of sections at the beginning of chapter 40 of such

title, are each amended by striking the sixth word.

SEC. 618. ELIGIBILITY OF APPOINTED WARRANT OFFICERS FOR ACCESSION BONUS

FOR NEW OFFICERS IN CRITICAL SKILLS.

Section 324 of title 37, United States Code, is amended in

subsections (a) and (f)(1) by inserting \`\`or an appointment\'\' after

\`\`commission\'\'.

SEC. 619. INCENTIVE PAY FOR DUTY ON GROUND IN ANTARCTICA OR ON ARCTIC

ICEPACK.

\(a\) In General.\--(1) Chapter 5 of title 37, United States Code, is

amended by inserting after section 301e the following new section:

\`\`Sec. 301f. Incentive pay: duty on ground in Antarctica or on Arctic

icepack

\`\`(a) Availability of Incentive Pay.\--A member of the uniformed

services who performs duty at a location described in subsection (b) is

entitled to special pay under this section at a rate of \$5 for each day

of that duty.

\`\`(b) Covered Locations.\--Subsection (a) applies with respect to

duty performed on the ground in Antarctica or on the Arctic
icepack.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by inserting after the item relating to section 301e the

following new item:

\`\`301f. Incentive pay: duty on ground in Antarctica or on Arctic

icepack.\'\'.

\(b\) Effective Date.\--Section 301f of title 37, United States Code,

as added by subsection (a), shall take effect on October 1, 2003.

SEC. 620. SPECIAL PAY FOR SERVICE AS MEMBER OF WEAPONS OF MASS

DESTRUCTION CIVIL SUPPORT TEAM.

\(a\) In General.\--(1) Chapter 5 of title 37, United States Code, is

amended by inserting after section 305a the following new section:

\`\`Sec. 305b. Special pay: service as member of Weapons of Mass

Destruction Civil Support Team

\`\`(a) Availability of Special Pay.\--The Secretary of a military

department may pay special pay under this section to a member of the

armed forces under the jurisdiction of that Secretary who is entitled

to basic pay under section 204 and is assigned by orders to duty as a

member of a Weapons of Mass Destruction Civil Support Team.

\`\`(b) Monthly Rate.\--Special pay payable under subsection (a) shall

be paid at a rate equal to \$150 a month.

\`\`(c) Eligibility of Reserve Component Members When Performing

Inactive Duty Training.\--Under regulations prescribed by the Secretary

concerned and to the extent provided for in appropriation Acts, when a

member of a reserve component of the armed forces who is entitled to

compensation under section 206 of this title performs duty under orders

as a member of a Weapons of Mass Destruction Civil Support Team, the

member may be paid an increase in compensation equal to \\1/30\\ of the

monthly special pay specified in subsection (b) for each day on which

the member performs such duty.

\`\`(d) Definition.\--In this section, the term \`Weapons of Mass

Destruction Civil Support Team\' means a team of members of the reserve

components of the armed forces that is established under section

12310(c) of title 10 in support of emergency preparedness programs to

prepare for or to respond to any emergency involving the use of a

weapon of mass destruction.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by inserting after the item relating to section 305a the

following new item:

\`\`305b. Special pay: service as member of Weapons of Mass Destruction

Civil Support Team.\'\'.

\(b\) Effective Date.\--Section 305b of title 37, United States Code,

as added by subsection (a), shall take effect on October 1, 2003.

SEC. 621. INCENTIVE BONUS FOR AGREEMENT TO SERVE IN CRITICALLY SHORT

MILITARY OCCUPATIONAL SPECIALTY.

\(a\) In General.\--Chapter 5 of title 37, United States Code, is

amended by adding at the end the following new section:

\`\`Sec. 326. Incentive bonus: lateral conversion bonus for service in

critically short military occupational speciality

\`\`(a) Incentive Bonus Authorized.\--The Secretary concerned may pay

a bonus under this section to a member of the armed forces who executes

a written agreement to convert to, and serve for a period of not less

than two years in, a critically short military occupational specialty.

\`\`(b) Eligible Members.\--A bonus may only be paid under this

section only to a member who\--

\`\`(1) is entitled to basic pay; and

\`\`(2) is serving in pay grade E-6 (with less than 10 years

of service computed under section 205 of this title) or pay

grade E-5 or below (regardless of years of service) at the time

the agreement under subsection (a) is executed.

\`\`(c) Amount and Payment of Bonus.\--(1) A bonus under this section

may not exceed \$4,000.

\`\`(2) A bonus payable under this section shall be disbursed in one

lump sum payment when the member\'s conversion to the critically short

military occupational specialty is approved by the personnel chief of

the member\'s armed force.

\`\`(d) Relationship to Other Pay and Allowances.\--A bonus paid to a

member under this section is in addition to any other pay and

allowances to which the member is entitled.

\`\`(e) Repayment of Bonus.\--(1) A member who receives a bonus under

this section and who, voluntarily or because of misconduct, fails to

serve in the critically short military occupational specialty for the

period specified in the agreement shall refund to the United States an

amount that bears the same ratio to the bonus amount paid to the member

as the unserved part of such period bears to the total period agreed to

be served.

\`\`(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 five years after the termination of the agreement for which a

bonus was paid under this section shall not discharge the person

signing such agreement from the debt arising under paragraph (1).

\`\`(4) Under regulations prescribed pursuant to subsection (f), the

Secretary concerned may waive, in whole 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) Regulations.\--The Secretaries concerned shall prescribe

regulations to carry out this section. Regulations prescribed by the

Secretary of a military department shall be subject to the approval of

the Secretary of Defense.

\`\`(g) Definition.\--In this section, the term \`critically short

military occupational specialty\' means a military occupational

specialty, military rating, or other military speciality designated by

the Secretary concerned as undermanned for purposes of this section.

\`\`(h) Termination of Authority.\--No agreement under this section

may be entered into after December 31, 2004.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by adding at the end the following new item:

\`\`326. Incentive bonus: lateral conversion bonus for service in

critically short military occupational

speciality.\'\'.

SEC. 622. INCREASE IN RATE FOR IMMINENT DANGER PAY AND FAMILY

SEPARATION ALLOWANCE RELATED TO SERVICE IN OPERATION

IRAQI FREEDOM OR OPERATION ENDURING FREEDOM.

\(a\) Special Payment Rates.\--Effective October 1, 2003, in the case

of a member of the uniformed services who serves, for any period of

time during a month, in a combat zone designated for Operation Iraqi

Freedom or Operation Enduring Freedom, the monthly rate for imminent

danger pay under section 310 of title 37, United States Code, shall be

deemed to be \$225 and the monthly rate for the family separation

allowance under section 427 of such title shall be deemed to be \$250.

\(b\) Duration.\--The special rates for imminent danger pay and the

family separation allowance in effect under subsection (a) for an

operation referred to in such subsection expire on the date the

President terminates the operation.

SEC. 623. AVAILABILITY OF HOSTILE FIRE AND IMMINENT DANGER PAY FOR

RESERVE COMPONENT MEMBERS SERVING IN RESPONSE TO CERTAIN

DOMESTIC TERRORIST ATTACKS.

\(a\) Availability of Special Pay.\--Subsection (a)(2) of section 310

of title 37, United States Code, as amended by section 616 of this Act,

is amended\--

\(1\) by striking \`\`or\'\' at the end of subparagraph (C);

\(2\) by redesignating subparagraph (D) as subparagraph (E);

and

\(3\) by inserting after subparagraph (C) the following new

subparagraph (D):

\`\`(D) was on duty as a first responder, or as a member

assigned to accompany or protect first responders, to a

terrorist attack on the United States regarding which there is

an immediate threat of physical harm or imminent danger as a

result of direct or residual effects of the attack or potential

secondary attacks; or\'\'.

\(b\) First Responder Defined.\--Such section is further amended by

adding at the end the following new subsection:

\`\`(e) First Responder Defined.\--In this section, the term \`first

responder\' means a member of the uniformed services who, as part of the

member\'s assigned duties, is expected to arrive at the site of a

terrorist attack within 12 hours after the attack.\'\'.

Subtitle C\--Travel and Transportation Allowances

SEC. 631. SHIPMENT OF PRIVATELY OWNED MOTOR VEHICLE WITHIN CONTINENTAL

UNITED STATES.

\(a\) Authority to Procure Contract for Transportation of Motor

Vehicle.\--Section 2634 of title 10, United States Code, is amended\--

\(1\) by redesignating subsection (h) as subsection (i); and

\(2\) by inserting after subsection (g) the following new

subsection (h):

\`\`(h) In the case of a change of permanent station described in

subparagraph (A) or (B) of subsection (i)(1), the Secretary concerned

may authorize the member to arrange for the shipment of the motor

vehicle in lieu of transportation at the expense of the United States

under this section. The Secretary concerned may pay the member a

monetary allowance in lieu of transportation, as established under

section 404(d)(1) of title 37, and the member shall be responsible for

any transportation costs in excess of such allowance.\'\'.

\(b\) Allowance for Self-Procurement of Transportation of Motor

Vehicle.\--Section 406(b)(1)(B) of title 37, United States Code, is

amended by adding at the end the following new sentence: \`\`In the case

of the transportation of a motor vehicle arranged by the member under

section 2634(h) of title 10, the Secretary concerned may pay the

member, upon proof of shipment, a monetary allowance in lieu of

transportation, as established under section 404(d)(1) of this

title.\'\'.

SEC. 632. PAYMENT OR REIMBURSEMENT OF STUDENT BAGGAGE STORAGE COSTS FOR

DEPENDENT CHILDREN OF MEMBERS STATIONED OVERSEAS.

Section 430(b)(2) of title 37, United States Code, is amended in

the first sentence by inserting before the period at the end the

following: \`\`or during a different period in the same fiscal year

selected by the member\'\'.

SEC. 633. REIMBURSEMENT FOR LODGING EXPENSES OF CERTAIN RESERVE

COMPONENT AND RETIRED MEMBERS DURING AUTHORIZED LEAVE

FROM TEMPORARY DUTY LOCATION.

\(a\) Reimbursement Authorized.\--The Secretary concerned (as defined

in section 101 of title 37, United States Code) may reimburse a member

of the Armed Forces described in subsection (b) for lodging expenses

incurred by the member at the member\'s duty location while the member

is in an authorized leave status.

\(b\) Covered Members.\--Subsection (a) applies with respect to a

member of a reserve component who is called or ordered to active duty

for a period of more than 30 days, or a retired member who is ordered

to active duty under section 688(a) of title 10, United States Code, if

the member\--

\(1\) immediately before taking authorized leave was

performing duty at a location away from the member\'s home;

\(2\) was receiving a per diem allowance under section

404(a)(4) of title 37, United States Code, to cover lodging and

subsistence expenses incurred at the duty location because

quarters of the United States were not available for assignment

to the member at that location; and

\(3\) immediately after completing the authorized leave,

returned to the duty location.

\(c\) Amount of Reimbursement.\--The amount of the reimbursement

provided to a member under subsection (a) may not exceed the lesser

of\--

\(1\) the actual daily cost of lodging incurred by the member

at the duty location while the member was in an authorized

leave status; and

\(2\) the lodging portion of the applicable daily per diem

rate for that duty location.

\(d\) Retroactive Application.\--This section applies with respect to

members of the reserve components described in subsection (b) who,

since September 11, 2001, were or are called or ordered to active duty

for a period of more than 30 days and retired members described in such

subsection who, since that date, were or are ordered to active duty

under section 688(a) of title 10, United States Code.

Subtitle D\--Retired Pay and Survivors Benefits

SEC. 641. FUNDING FOR SPECIAL COMPENSATION AUTHORITIES FOR DEPARTMENT

OF DEFENSE RETIREES.

\(a\) Source of Payments.\--

\(1\) Section 1413(g) of title 10, United States Code, is

amended\--

\(A\) by inserting before \`\`Payments under\'\' the

following new sentence: \`\`Payments under this section

for a member of the Army, Navy, Air Force, or Marine

Corps shall be paid from the Department of Defense

Military Retirement Fund.\'\'; and

\(B\) by inserting \`\`for any other member\'\' before

\`\`for any fiscal year\'\'.

\(2\) Section 1413a(h) of such title is amended\--

\(A\) by inserting before \`\`Payments under\'\' the

following new sentence: \`\`Payments under this section

for a member of the Army, Navy, Air Force, or Marine

Corps shall be paid from the Department of Defense

Military Retirement Fund.\'\'; and

\(B\) by inserting \`\`for any other member\'\' before

\`\`for any fiscal year\'\'.

\(b\) Payment of Increased Retirement Trust Fund Costs Due to

Concurrent Receipt or Enhanced Special Disability Compensation

Payments.\--

\(1\) Section 1463(a)(1) of this title is amended by

inserting before the semicolon the following: \`\`and payments

under section 1413, 1413a, or 1414 of this title paid to such

members\'\'.

\(2\) Section 1465(b) of such title is amended by adding at

the end the following new paragraph:

\`\`(3) At the same time that the Secretary of Defense makes the

determination required by paragraph (1) for any fiscal year, the

Secretary shall determine the amount of the Treasury contribution to be

made to the Fund for the next fiscal year under section 1466(b)(2)(D)

of this title. That amount shall be determined in the same manner as

the determination under paragraph (1) of the total amount of Department

of Defense contributions to be made to the Fund during that fiscal year

under section 1466(a) of this title, except that for purposes of this

paragraph the Secretary, in making the calculations required by

subparagraphs (A) and (B) of that paragraph, shall use the single level

percentages determined under subsection (c)(4), rather than those

determined under subsection (c)(1).\'\'.

\(3\) Section 1465(c) of such title is amended\--

\(A\) in paragraph (1)\--

\(i\) in subparagraph (A), by inserting before the

semicolon at the end the following: \`\`, to be

determined without regard to section 1413, 1413a, or

1414 of this title\'\';

\(ii\) in subparagraph (B), by inserting before the

period at the end the following: \`\`, to be determined

without regard to section 1413, 1413a, or 1414 of this

title\'\'; and

\(iii\) in the sentence following subparagraph (B),

by striking \`\`subsection (b)\'\' and inserting

\`\`subsection (b)(1)\'\';

\(B\) by redesignating paragraph (4) as paragraph (5); and

\(C\) by inserting after paragraph (3) the following new

paragraph (4):

\`\`(4) Whenever the Secretary carries out an actuarial valuation

under paragraph (1), the Secretary shall include as part of such

valuation the following:

\`\`(A) A determination of a single level percentage

determined in the same manner as applies under subparagraph (A)

of paragraph (1), but based only upon the provisions of section

1413, 1413a, or 1414 of this title (whichever is in effect).

\`\`(B) A determination of a single level percentage

determined in the same manner as applies under subparagraph (B)

of paragraph (1), but based only upon the provisions of section

1413, 1413a, or 1414 of this title (whichever is in effect).

Such single level percentages shall be used for the purposes of

subsection (b)(3).\'\'.

\(4\) Section 1466(b) of such title is amended\--

\(A\) in paragraph (1), by striking \`\`sections 1465(a) and

1465(c)\'\' and inserting \`\`sections 1465(a), 1465(b)(3),

1465(c)(2), and 1465(c)(3)\'\'; and

\(B\) by adding at the end of paragraph (2) the following new

subparagraph:

\`\`(D) The amount for that year determined by the Secretary

of Defense under section 1465(b)(3) of this title for the cost

to the Fund arising from increased amounts payable from the

Fund by reason of section 1413, 1413a, or 1414 of this

title.\'\'.

\(c\) Effective Date.\--The amendments made by this section shall take

effect on October 1, 2003.

Subtitle E\--Commissary and Nonappropriated Fund Instrumentality

Benefits

SEC. 651. EXPANDED COMMISSARY ACCESS FOR SELECTED RESERVE MEMBERS,

RESERVE RETIREES UNDER AGE 60, AND THEIR DEPENDENTS.

\(a\) Access to Military Commissaries.\--Section 1065 of title 10,

United States Code, is amended\--

\(1\) in subsections (a), (b), and (c), by inserting

\`\`commissary stores and\'\' after \`\`use\'\' each place it appears;

and

\(2\) in subsection (d)\--

\(A\) by inserting \`\`commissary stores and\'\' after

\`\`use\'\' the first and third places it appears; and

\(B\) by inserting \`\`stores and\'\' after \`\`use\'\' the

second and fourth places it appears.

\(b\) Conforming Amendments; Transfer of Section.\--Chapter 54 of such

title is amended\--

\(1\) by striking sections 1063 and 1064;

\(2\) in section 1063a(c)(2), by striking \`\`section 1065(e)\'\'

and inserting \`\`section 1063(e)\'\';

\(3\) by redesignating section 1063a, as amended by paragraph

(2), as section 1064;

\(4\) by transferring section 1065, as amended by subsection

(a), so as to appear after section 1062; and

\(5\) by striking the heading of such section, as amended by

subsection (a) and transferred by paragraph (4), and inserting

the following new heading:

\`\`Sec. 1063. Use of commissary stores and MWR retail facilities:

members of reserve components and reserve retirees under

age 60\'\'.

\(c\) Clerical Amendments.\--The table of sections at the beginning of

such chapter is amended by striking the items relating to sections

1063, 1063a, 1064, and 1065 and inserting the following new items:

\`\`1063. Use of commissary stores and MWR retail facilities: members of

reserve components and reserve retirees

under age 60.

\`\`1064. Use of commissary stores and MWR retail facilities: members of

National Guard serving in federally

declared disaster or national emergency.\'\'.

SEC. 652. DEFENSE COMMISSARY SYSTEM AND EXCHANGE STORES SYSTEM.

\(a\) Existence of Systems.\--Chapter 147 of title 10, United States

Code, is amended by inserting before section 2482 the following new

section:

\`\`Sec. 2481. Existence of defense commissary system and exchange
stores

system

\`\`(a) In General.\--The Secretary of Defense shall operate a defense

commissary system and an exchange stores system in the manner provided

by this chapter and other provisions of law.

\`\`(b) Separate Systems.\--Except as authorized by section 2490a of

this title, the defense commissary system and the exchange stores

system shall be operated as separate systems of the Department of

Defense.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by inserting before the item relating to

section 2482 the following new item:

\`\`2481. Existence of defense commissary system and exchange stores

system.\'\'.

SEC. 653. LIMITATIONS ON PRIVATE OPERATION OF DEFENSE COMMISSARY STORE

FUNCTIONS.

Section 2482(a) of title 10, United States Code, is amended\--

\(1\) by striking the first and second sentences and

inserting the following: \`\`(1) Under such regulations as the

Secretary of Defense may approve, private persons may operate

selected commissary store functions, except that such functions

may not include functions relating to the procurement of

products to be sold in a commissary store or functions relating

to the overall management of a commissary system or the

management of a commissary store.\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(2) Any change to private operation of a commissary store

function shall not take effect until the Secretary of Defense submits

written notice of the proposed change to Congress and a period of 90

days of continuous session of Congress expires following the date on

which notice was received, determined as provided in section 2486(d)(2)

of this title.\'\'.

SEC. 654. USE OF APPROPRIATED FUNDS TO OPERATE DEFENSE COMMISSARY

SYSTEM.

\(a\) Requirement That Commissary Operating Expenses Be Paid From

Appropriated Funds.\--Section 2484 of title 10, United States Code, is

amended\--

\(1\) in subsection (a), by striking \`\`may\'\' and inserting

\`\`shall\'\'; and

\(2\) in subsection (b), by striking \`\`may\'\' in the first

sentence and inserting \`\`shall\'\'.

\(b\) Supplemental Funds for Commissary Operations.\--Such section is

further amended by adding at the end the following new subsection:

\`\`(c) Supplemental Funds for Commissary Operations.\--Amounts

appropriated to cover the expenses of operating the Defense Commissary

Agency and the defense commissary system may be supplemented with

additional funds from manufacturers\' coupon redemption fees, handling

fees for tobacco products, and other amounts received as reimbursement

for other support activities provided by commissary activities.\'\'.

\(c\) Effective Date.\--The amendments made by this section shall take

effect on October 1, 2003.

SEC. 655. RECOVERY OF NONAPPROPRIATED FUND INSTRUMENTALITY AND

COMMISSARY STORE INVESTMENTS IN REAL PROPERTY AT MILITARY

INSTALLATIONS CLOSED OR REALIGNED.

\(a\) 1988 Law.\--Section 204(b)(7)(C)(i) of the Defense Authorization

Amendments and Base Closure and Realignment Act (Public Law 100-526; 10

U.S.C. 2687 note) is amended in the second sentence by striking \`\`The

Secretary may use amounts in the account (in such an aggregate amount

as is provided in advance in appropriation Acts)\'\' and inserting

\`\`Amounts in the account shall be available to the Secretary, without

appropriation and until expended,\'\'.

\(b\) 1990 Law.\--Section 2906(d)(3) 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 Secretary may use

amounts in the account (in such an aggregate amount as is provided in

advance in appropriation Acts)\'\' and inserting \`\`Amounts in the
account

shall be available to the Secretary, without appropriation and until

expended,\'\'.

SEC. 656. COMMISSARY SHELF-STOCKING PILOT PROGRAM.

\(a\) Pilot Program Authority.\--Subject to subsection (c), the

Secretary of Defense may conduct a pilot program under which the

stocking of shelves at three defense commissary stores operated by the

Defense Commissary Agency shall be the sole responsibility of Federal

employees of the Agency or employees contracted by the agency.

\(b\) Implementation Plan.\--(1) 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 plan for the conduct

of the pilot program. The plan shall be submitted not later than six

months after the date of the enactment of this Act.

\(2\) The plan shall include the following:

\(A\) The financial structure of the pilot program and

expected costs.

\(B\) The Secretary\'s request to the Office of Personnel

Management to conduct the pilot program as a Federal civilian

personnel demonstration project under chapter 47 of title 5,

United States Code, or a plan to provide otherwise a

sufficiently flexible Federal civilian workforce for the pilot

program through another authority.

\(C\) Specification of the three sites for the conduct of the

pilot program and the criteria used to select those sites.

\(D\) Proposed duration of the pilot program and the expected

timing for providing to Congress the results of the pilot

program and recommendations of the Secretary.

\(E\) Other observations and recommendations of the

Secretary.

\(c\) Implementation.\--The Secretary of Defense may not begin to

conduct the pilot program until a period of 30 days has elapsed after

the date of the submission of the plan for the pilot program under

subsection (b).

Subtitle F\--Other Matters

SEC. 661. REPEAL OF CONGRESSIONAL NOTIFICATION REQUIREMENT FOR

DESIGNATION OF CRITICAL MILITARY SKILLS FOR RETENTION

BONUS.

Section 323(b) of title 37, United States Code, is amended\--

\(1\) by striking \`\`(1)\'\'; and

\(2\) by striking paragraph (2).

TITLE VII\--HEALTH CARE PROVISIONS

SEC. 701. REVISION OF DEPARTMENT OF DEFENSE MEDICARE-ELIGIBLE RETIREE

HEALTH CARE FUND TO PERMIT MORE ACCURATE ACTUARIAL

VALUATIONS.

Section 1115(c) of title 10, United States Code, is amended by

adding at the end of paragraph (1) the following: \`\`In determining

single level dollar amounts under subparagraphs (A) and (B) of this

paragraph, the Secretary of Defense may determine a separate single

level dollar amount under either or both subparagraphs for any

participating uniformed service, if, in the judgment of the Secretary,

such a determination would produce a more accurate and appropriate

actuarial valuation for that uniformed service.\'\'.

SEC. 702. TRANSFER OF CERTAIN MEMBERS FROM PHARMACY AND THERAPEUTICS

COMMITTEE TO UNIFORM FORMULARY BENEFICIARY ADVISORY PANEL

UNDER THE PHARMACY BENEFITS PROGRAM.

Section 1074g of title 10, United States Code, is amended\--

\(1\) in subsection (b)(1) in the second sentence, by

striking \`\`facilities,\'\' and all that follows through the end

of the sentence and inserting \`\`facilities and representatives

of providers in facilities of the uniformed services.\'\'; and

\(2\) in subsection (c)(2)\--

\(A\) by striking \`\`represent nongovernmental\'\' and

inserting the following: \`\`represent\--

\`\`(A) nongovernmental\'\';

\(B\) by striking the period at the end and inserting

a semicolon; and

\(C\) by adding at the end the following new

subparagraphs:

\`\`(B) contractors responsible for the TRICARE retail

pharmacy program;

\`\`(C) contractors responsible for the national mail-order

pharmacy program; and

\`\`(D) TRICARE network providers.\'\'.

SEC. 703. PERMANENT EXTENSION OF AUTHORITY TO ENTER INTO PERSONAL

SERVICES CONTRACTS FOR THE PERFORMANCE OF HEALTH CARE

RESPONSIBILITIES AT LOCATIONS OTHER THAN MILITARY MEDICAL

TREATMENT FACILITIES.

Section 1091(a)(2) of title 10, United States Code, is amended by

striking \`\`The Secretary may not enter into a contract under this

paragraph after December 31, 2003.\'\'.

SEC. 704. PLAN FOR PROVIDING HEALTH COVERAGE INFORMATION TO MEMBERS,

FORMER MEMBERS, AND DEPENDENTS ELIGIBLE FOR CERTAIN

HEALTH BENEFITS.

\(a\) Health Information Plan Required.\--The Secretary of Defense

shall develop a plan to\--

\(1\) ensure that each household that includes one or more

eligible persons is provided information concerning\--

\(A\) the extent of health coverage provided by

sections 1079 or 1086 of title 10, United States Code,

for each such person;

\(B\) the costs, including the limits on such costs,

that each such person is required to pay for such

health coverage;

\(C\) sources of information for locating TRICARE-

authorized providers in the household\'s locality; and

\(D\) methods to obtain assistance in resolving

difficulties encountered with billing, payments,

eligibility, locating TRICARE-authorized providers,

collection actions, and such other issues as the

Secretary considers appropriate;

\(2\) provide mechanisms to ensure that each eligible person

has access to information identifying TRICARE-authorized

providers in the person\'s locality who have agreed to accept

new patients under section 1079 or 1086 of title 10, United

States Code, and to ensure that such information is

periodically updated;

\(3\) provide mechanisms to ensure that each eligible person

who requests assistance in locating a TRICARE-authorized

provider is provided such assistance;

\(4\) provide information and recruitment materials and

programs aimed at attracting participation of health care

providers as necessary to meet health care access requirements

for all eligible persons; and

\(5\) provide mechanisms to allow for the periodic

identification by the Department of Defense of the number and

locality of eligible persons who may intend to rely on TRICARE-

authorized providers for health care services.

\(b\) Implementation of Plan.\--The Secretary of Defense shall

implement the plan required by subsection (a) with respect to any

contract entered into by the Department of Defense after May 31, 2003,

for managed health care.

\(c\) Definitions.\--In this section:

\(1\) The term \`\`eligible person\'\' means a person eligible

for health benefits under section 1079 or 1086 of title 10,

United States Code.

\(2\) The term \`\`TRICARE-authorized provider\'\' means a

facility, doctor, or other provider of health care services\--

\(A\) that meets the licensing and credentialing

certification requirements in the State where the

services are rendered;

\(B\) that meets requirements under regulations

relating to TRICARE for the type of health care

services rendered; and

\(C\) that has accepted reimbursement by the

Secretary of Defense as payment for services rendered

during the 12-month period preceding the date of the

most recently updated provider information provided to

households under the plan required by subsection (a).

\(d\) Submission of Plan.\--Not later than March 31, 2004, the

Secretary shall submit to the Committees on Armed Services of the

Senate and House of Representatives the plan required by subsection

(a), together with a schedule for implementation of the plan.

SEC. 705. WORKING GROUP ON MILITARY HEALTH CARE FOR PERSONS RELIANT ON

HEALTH CARE FACILITIES AT MILITARY INSTALLATIONS TO BE

CLOSED OR REALIGNED.

Section 722 of the National Defense Authorization Act for Fiscal

Year 1993 (Public Law 102-484; 10 U.S.C. 1073 note) is amended by

striking subsections (a), (b), (c), and (d) and inserting the following

new subsections:

\`\`(a) Establishment.\--Not later than December 31, 2003, the

Secretary of Defense shall establish a working group on the provision

of military health care to persons who rely for health care on health

care facilities located at military installations\--

\`\`(1) inside the United States that are selected for

closure or realignment in the 2005 round of realignments and

closures authorized by sections 2912, 2913, and 2914 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), as

added by title XXX of the National Defense Authorization Act

for Fiscal Year 2002 (Public Law 107-107; 155 Stat. 1342); or

\`\`(2) outside the United States that are selected for

closure or realignment as a result of force posture changes.

\`\`(b) Membership.\--The members of the working group shall include,

at a minimum, the following:

\`\`(1) The Assistant Secretary of Defense of Health Affairs,

or the designee of the Assistant Secretary.

\`\`(2) The Surgeon General of the Army, or the designee of

that Surgeon General.

\`\`(3) The Surgeon General of the Navy, or the designee of

that Surgeon General.

\`\`(4) The Surgeon General of the Air Force, or the designee

of that Surgeon General.

\`\`(5) At least one independent member from each TRICARE

region, but not to exceed a total of 12 members appointed under

this paragraph, whose experience in matters within the

responsibility of the working group qualify that person to

represent persons authorized health care under chapter 55 of

title 10, United States Code.

\`\`(c) Duties.\--(1) In developing the selection criteria and

recommendations for the 2005 round of realignments and closures

required by sections 2913 and 2914 of the Defense Base Closure and

Realignment Act of 1990, the Secretary of Defense shall consult with

the working group.

\`\`(2) The working group shall be available to provide assistance to

the Defense Base Closure and Realignment Commission.

\`\`(3) In the case of each military installation referred to in

paragraph (1) or (2) of subsection (a) whose closure or realignment

will affect the accessibility to health care services for persons

entitled to such services under chapter 55 of title 10, United States

Code, the working group shall provide to the Secretary of Defense a

plan for the provision of the health care services to such persons.

\`\`(d) Special Considerations.\--In carrying out its duties under

subsection (c), the working group\--

\`\`(1) shall conduct meetings with persons entitled to

health care services under chapter 55 of title 10, United

States Code, or representatives of such persons;

\`\`(2) may use reliable sampling techniques;

\`\`(3) may visit the areas where closures or realignments of

military installations will adversely affect the accessibility

of health care for such persons and may conduct public

meetings; and

\`\`(4) shall ensure that members of the uniformed services

on active duty, members and former members of the uniformed

services entitled to retired or retainer pay, and dependents

and survivors of such members and retired personnel are

afforded the opportunity to express their views.\'\'.

SEC. 706. ACCELERATION OF IMPLEMENTATION OF CHIROPRACTIC HEALTH CARE

FOR MEMBERS ON ACTIVE DUTY.

The Secretary of Defense shall accelerate the implementation of the

plan required by section 702 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (Public Law 106-398) (relating

to chiropractic health care services and benefits), with a goal of

completing implementation of the plan by October 1, 2005.

SEC. 707. MEDICAL AND DENTAL SCREENING FOR MEMBERS OF SELECTED RESERVE

UNITS ALERTED FOR MOBILIZATION.

Section 1074a of title 10, United States Code, is amended by adding

at the end the following new subsection:

\`\`(f)(1) The Department of Defense may provide medical and dental

screening and care to members of the Selected Reserve who are assigned

to a unit that has been alerted that the unit will be mobilized for

active duty in support of an operational mission or contingency

operation, during a national emergency, or in a time of war.

\`\`(2) The medical and dental screening and care that may be

provided under this subsection is screening and care necessary to

ensure that a member meets the medical and dental standards for

required deployment.

\`\`(3) The services provided under this subsection shall be provided

to a member at no cost to the member and at any time after the unit to

which the member is assigned is alerted or otherwise notified that the

unit will be mobilized.\'\'.

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

MATTERS

Subtitle A\--Amendments to General Contracting Authorities, Procedures,

and Limitations

SEC. 801. EXTENSION OF AUTHORITY TO CARRY OUT CERTAIN PROTOTYPE

PROJECTS.

Section 845 of the National Defense Authorization Act for Fiscal

Year 1994 (Public Law 103-160; 10 U.S.C. 2371 note) is amended in

subsection (g) by striking \`\`September 30, 2004\'\' and inserting

\`\`September 30, 2008\'\'.

SEC. 802. ELIMINATION OF CERTAIN SUBCONTRACT NOTIFICATION REQUIREMENTS.

Subsection (e) of section 2306 of title 10, United States Code, is

amended\--

\(1\) by striking \`\`(A)\'\' and \`\`(B)\'\' and inserting \`\`(i)\'\'

and \`\`(ii)\'\', respectively;

\(2\) by redesignating paragraphs (1) and (2) as

subparagraphs (A) and (B), respectively;

\(3\) by striking \`\`Each\'\' and inserting \`\`(1) Except as

provided in paragraph (2), each\'\'; and

\(4\) by adding at the end the following new paragraph:

\`\`(2) Paragraph (1) shall not apply to a prime contract with a

contractor that maintains a purchasing system approved by the

contracting officer for the contract.\'\'.

SEC. 803. ELIMINATION OF REQUIREMENT TO FURNISH WRITTEN ASSURANCES OF

TECHNICAL DATA CONFORMITY.

Section 2320(b) of title 10, United States Code, is amended\--

\(1\) by striking paragraph (7); and

\(2\) by redesignating paragraphs (8) and (9) as paragraphs

\(7\) and (8), respectively.

SEC. 804. LIMITATION PERIOD FOR TASK AND DELIVERY ORDER CONTRACTS.

\(a\) In General.\--Chapter 137 of title 10, United States Code, is

amended\--

\(1\) in section 2304a\--

\(A\) in subsection (e)\--

\(i\) by inserting \`\`(1)\'\' before \`\`A task\'\';

and

\(ii\) by adding at the end the following new

paragraphs:

\`\`(2) Unless use of procedures other than competitive procedures is

authorized by an exception in subsection (c) of section 2304 of this

title and approved in accordance with subsection (f) of such section,

competitive procedures shall be used for making such a modification.

\`\`(3) Notice regarding the modification shall be provided in

accordance with section 18 of the Office of Federal Procurement Policy

Act (41 U.S.C. 416) and section 8(e) of the Small Business Act (15

U.S.C. 637(e)).\'\'; and

\(B\) by striking subsection (f) and inserting the

following:

\`\`(f) Limitation on Contract Period.\--The base period of a task

order contract or delivery order contract entered into under this

section may not exceed five years unless a longer period is

specifically authorized in a law that is applicable to such contract.

The contract may be extended for an additional 5 years (for a total

contract period of not more than 10 years) through modifications,

options, or otherwise.\'\'; and

\(2\) in section 2304b\--

\(A\) by striking subsection (a) and inserting the

following:

\`\`(a) In General.\--A task order contract (as defined in section

2304d of this title) for procurement of advisory and assistance

services shall be subject to the requirements of this section, sections

2304a and 2304c of this title, and other applicable provisions of

law.\'\';

\(B\) by striking subsections (b), (f), and (g) and

redesignating subsections (c), (d), (e), (h), and (i)

as subsections (b) through (f);

\(C\) by amending subsection (c) (as redesignated by

subparagraph (B)) to read as follows:

\`\`(c) Required Content of Contract.\--A task order contract

described in subsection (a) shall contain the same information that is

required by section 2304a(b) to be included in the solicitation of

offers for that contract.\'\'; and

\(D\) in subsection (d) (as redesignated by

subparagraph (B))\--

\(i\) in paragraph (1), by striking \`\`under

this section\'\' and inserting \`\`described in

subsection (a)\'\'; and

\(ii\) in paragraph (2), by striking \`\`under

this section\'\'.

\(b\) Repeals.\--(1) Subsection (g) of section 2306c of title 10,

United States Code, is repealed.

\(2\) Subsection (c) of section 811 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116 Stat.

2608\) is repealed.

SEC. 805. ADDITIONAL AUTHORITIES RELATING TO OBTAINING PERSONAL

SERVICES.

\(a\) In General.\--Section 129b of title 10, United States Code, is

amended\--

\(1\) in subsection (a)(1), by striking \`\`in accordance with

section 3109 of title 5\'\'; and

\(2\) by adding at the end the following new subsection:

\`\`(d) Additional Authority.\--(1) In addition to the authority

provided under subsection (a), the Secretary of Defense may enter into

personal services contracts with individuals, regardless of their

nationality, outside of the United States.

\`\`(2) The contracting officer for a personal services contract

shall be responsible for ensuring that a personal services contract is

the appropriate vehicle for carrying out the purpose of the

contract.\'\'.

\(b\) Intelligence Components.\--(1) Subchapter I of chapter 21 of

title 10, United States Code, is amended by adding at the end the

following new section:

\`\`Sec. 426. Personal services contracts: authority and limitations

\`\`(a) Personal Services.\--(1) The Secretary of Defense may,

notwithstanding section 3109 of title 5, enter into personal services

contracts in the United States if the personal services directly

support the mission of a defense intelligence component or counter-

intelligence organization.

\`\`(2) The contracting officer for a personal services contract

shall be responsible for ensuring that a personal services contract is

the appropriate vehicle for carrying out the purpose of the contract.

\`\`(b) Definition.\--In this section, the term \`defense intelligence

component\' means a component of the Department of Defense that is an

element of the intelligence community, as defined in section 3(4) of

the National Security Act of 1947 (50 U.S.C. 401a(4)).\'\'.

\(2\) The table of sections at the beginning of such subchapter is

amended by adding at the end the following new item:

\`\`426. Personal services contracts: authority and limitations.\'\'.

\(c\) Special Operations Command.\--Section 167 of title 10, United

States Code, is amended by adding at the end the following new

subsection:

\`\`(l) Personal Services Contracts.\--(1) The Secretary of Defense

may, notwithstanding section 3109 of title 5, enter into personal

services contracts in the United States if the personal services

directly support the mission of the special operations command.

\`\`(2) The contracting officer for a personal services contract

shall be responsible for ensuring that a personal services contract is

the appropriate vehicle for carrying out the purpose of the

contract.\'\'.

SEC. 806. EVALUATION OF PROMPT PAYMENT PROVISIONS.

\(a\) Evaluation Requirement.\--The Secretary of Defense shall

evaluate provisions of law and regulation relating to the prompt

payment of amounts due contractors under contracts with the Department

of Defense.

\(b\) Matters Covered.\--In carrying out such evaluation, the

Secretary shall focus in particular on the implementation of prompt

payment provisions with respect to small businesses, including\--

\(1\) an analysis of compliance by the Department of Defense

with chapter 39 of title 31, United States Code, and

regulations applicable to the Department of Defense under that

chapter, with respect to small business contractors;

\(2\) a determination of the number of Department of Defense

contracts with small businesses that are not in compliance with

prompt payment requirements; and

\(3\) a determination of the average length of time that

elapses between performance of work by small business

contractors under Department of Defense contracts and payment

for such work.

Subtitle B\--United States Defense Industrial Base Provisions

Part I\--Critical Items Identification and Domestic Production

Capabilities Improvement Program

SEC. 811. ASSESSMENT OF UNITED STATES DEFENSE INDUSTRIAL BASE

CAPABILITIES.

\(a\) Assessment Program.\--The Secretary of Defense, in coordination

with the Secretary of each military department, shall establish a

program to assess the capabilities of the United States defense

industrial base to produce military systems necessary to support

national security requirements.

\(b\) Designee.\--The Secretary of each military department shall

designate a position to be responsible for assisting in carrying out

the program under subsection (a) with respect to the military

department concerned. The person designated to serve in such position

shall do the following:

\(1\) Report to the Service Acquisition Executive of the

military department concerned on defense industrial base

matters affecting the acquisition and production of military

systems.

\(2\) Provide information to assist the Secretary of Defense

in carrying out the Secretary\'s duties as a member of the

National Defense Technology and Industrial Base Council (as

established under section 2502 of title 10, United States

Code).

\(3\) Oversee the collection of data to assist the Secretary

of Defense in carrying out subsection (c).

\(4\) Oversee the process for identifying and determining

critical items to assist the Secretary of Defense in carrying

out section 812.

\(c\) Collection of Data.\--The Secretary of Defense shall collect

data in support of the program. At a minimum, with respect to each

procurement for a covered military system, the following information

shall be collected:

\(1\) With respect to the contractor awarded the contract:

\(A\) An identification of the critical item or items

included in the covered military system and whether the

item is of a domestic or foreign source.

\(B\) Whether the contractor is a foreign contractor,

and, if so\--

\(i\) whether the contract was awarded on a

sole source basis because of the unavailability

of responsible offerors with United States

production capabilities; or

\(ii\) whether the contract was awarded after

receipt of offers from responsible offerors

with United States production capabilities.

\(C\) Whether the contractor is a United States

contractor, and, if the contractor plans to perform

work under the contract outside the United States, an

identification of the locations where the work

(including research, development, and manufacturing)

will be performed, an explanation of the business

rationale for why the decision was made to transfer the

work outside the United States, and a certification of

the specific percentage of the total contract to be

performed outside the United States.

\(2\) With respect to the offerors submitting bids or

proposals (other than the offeror awarded the contract):

\(A\) An identification of the critical item or items

included in the covered military system and whether the

item is of a domestic or foreign source.

\(B\) An identification of the domestic and foreign

offerors and the locations where the work (including

research, development, and manufacturing) was proposed

to be performed under the contract.

\(C\) A statement of whether there were no offerors

or whether there was only one offeror.

\(d\) Confidentiality.\--The Secretary of Defense shall make every

effort to ensure that the information collected under this section from

private sector entities remains confidential.

\(e\) Assessment.\--The Secretary of Defense shall prepare an

assessment of the data compiled under this section during every two-

year period and shall submit the results of the assessment to the

Committees on Armed Services of the Senate and the House of

Representatives, including the recommendations of the Secretary

regarding how procurement from the United States defense industrial

base can be maximized. The first such assessment shall cover the period

of fiscal Year 2002 and fiscal Year 2003 and shall be submitted to the

Committees no later than November 1, 2004.

SEC. 812. IDENTIFICATION OF CRITICAL ITEMS: MILITARY SYSTEM BREAKOUT

LIST.

\(a\) Identification Process.\--The Secretary of Defense shall

establish a process to identify, with respect to each military system\--

\(1\) the items and components within the military system;

\(2\) the items and components within the military system

that are essential, in accordance with subsection (c); and

\(3\) the items and components within the military system

that are critical, in accordance with subsection (d).

\(b\) Military System Breakout List.\--The Secretary of Defense shall

produce a list, to be known as the \`\`military system breakout
list\'\',

consisting of the items and components identified under the process

established under subsection (a).

\(c\) Essential Items and Components.\--For purposes of determining

whether an item or component is essential, the Secretary shall include

only an item or component that\--

\(1\) is essential for the proper functioning and performance

of the military system of which the item or component is a

part; or

\(2\) involves a critical technology (as defined in section

2500 of title 10, United States Code).

\(d\) Critical Items or Components.\--(1) For purposes of determining

whether an item or component is critical, the Secretary shall include

only an item or component that\--

\(A\) is essential, as determined under subsection (c); and

\(B\) with respect to which there is a high barrier to entry

for the production of the item or component.

\(2\) For purposes of paragraph (1)(B), a high barrier to entry for

the production of an item or component means that\--

\(A\) there would be a significant period of time required to

reestablish United States production capabilities; and

\(B\) the level of investment necessary to reestablish United

States production capabilities that are able to meet surge and

sustained production rates for wartime requirements is

significant.

\(e\) Report.\--Not later than November 1 of each year, beginning with

November 1, 2004, the Secretary of Defense shall submit to the

Committees on Armed Services of the Senate and the House of

Representatives a report on the implementation of this section. The

report shall include the following:

\(1\) A list of each military system covered by the process

established under subsection (a).

\(2\) A list of items and components determined to be

essential.

\(3\) A list of items and components determined to be

critical.

\(4\) A list of the items and components contained in the

lists provided under paragraphs (2) and (3) that are

manufactured or produced outside the United States.

SEC. 813. PROCUREMENT OF CERTAIN CRITICAL ITEMS FROM AMERICAN SOURCES.

\(a\) Requirement for Procurement of Certain Critical Items Produced

in United States.\--With respect to items that meet the criteria set

forth in subsection (b), the Secretary of Defense may procure such

items only if the items are entirely produced in the United States.

\(b\) Criteria.\--For purposes of subsection (a), an item meets the

criteria of this subsection if\--

\(1\) it is a critical item; and

\(2\) there are limited sources of production capability of

the item in the United States.

\(c\) Exception.\--Subsection (a) does not apply to a procurement of

an item when the Secretary of Defense determines in writing that the

Department of Defense\'s need for the item is of such an unusual and

compelling urgency that the United States would be seriously injured

unless the Department is permitted to procure the item from sources

outside the United States.

\(d\) Applicability.\--Subsection (a) shall apply to contracts for the

procurement of covered military systems and subcontracts under such

contracts.

SEC. 814. PRODUCTION CAPABILITIES IMPROVEMENT FOR CERTAIN CRITICAL

ITEMS USING DEFENSE INDUSTRIAL BASE CAPABILITIES FUND.

\(a\) Establishment of Fund.\--There is established in the Treasury of

the United States a separate fund to be known as the Defense Industrial

Base Capabilities Fund (hereafter in this section referred to as the

\`\`Fund\'\').

\(b\) Moneys in Fund.\--There shall be credited to the Fund amounts

appropriated to it.

\(c\) Authorization of Appropriations.\--There is authorized to be

appropriated to the Fund \$100,000,000 for fiscal year 2004.

\(d\) Use of Fund.\--The Secretary of Defense is authorized to use all

amounts in the Fund, subject to appropriation, for the purposes of

establishing capabilities within the United States to produce critical

items that meet any of the following criteria:

\(1\) The item is available only from foreign contractors.

\(2\) The item is available only from a limited number of

United States contractors.

\(e\) Limitation on Use of Fund.\--Before the obligation of any

amounts in the Fund, the Secretary of Defense shall submit to Congress

a report describing the Secretary\'s plans for implementing the Fund

established in subsection (a), including the priorities for the

obligation of amounts in the Fund, the criteria for determining the

recipients of such amounts, and the mechanisms through which such

amounts may be provided to the recipients.

\(f\) Availability of Funds.\--Amounts in the Fund shall remain

available until expended.

\(g\) Fund Manager.\--The Secretary of Defense shall designate a Fund

manager. The duties of the Fund manager shall include\--

\(1\) ensuring the visibility and accountability of

transactions engaged in through the Fund; and

\(2\) reporting to Congress each year regarding activities of

the Fund during the previous fiscal year.

Part II\--Requirements Relating to Specific Items

SEC. 821. DOMESTIC SOURCE LIMITATION AMENDMENTS.

\(a\) Additional Items.\--Section 2534(a) of title 10, United States

Code, is amended by adding at the end of the following new paragraphs:

\`\`(6) Fuzes used for ordnance.

\`\`(7) Microwave power tubes or traveling wave tubes.

\`\`(8) PAN carbon fiber.

\`\`(9) Aircraft tires.

\`\`(10) Ground vehicle tires.

\`\`(11) Tank track assemblies.

\`\`(12) Tank track components.

\`\`(13) Pre-formed retort packaging in direct contact with

main entree meals within meals ready-to-eat listed in Federal

Supply Class 8970.\'\'.

\(b\) Amendment of National Technology and Industrial Base.\--

Paragraph (1) of section 2500 of title 10, United States Code, is

amended\--

\(1\) by striking all that follows after \`\`States\'\' to the

end of the paragraph and inserting a period; and

\(2\) by striking \`\`production, or maintenance\'\' and

inserting \`\`production, and maintenance\'\'.

\(c\) Amendment of Waiver Authority.\--Section 2534(d) of title 10,

United States Code, is amended\--

\(1\) in the text before paragraph (1), by inserting \`\`in

writing\'\' after \`\`determines\'\';

\(2\) by striking paragraphs (1), (2), (3), (6), (7), and

(8);

\(3\) by redesignating paragraphs (4) and (5) as paragraphs

\(2\) and (3), respectively, and in such paragraph (3), as so

redesignated, by adding at the end the following: \`\`This

exception shall not apply to items determined to be critical by

the Secretary of Defense under section 812 of the National

Defense Authorization Act for Fiscal Year 2004.\'\'; and

\(4\) by inserting before paragraph (2), as so redesignated,

the following new paragraph (1):

\`\`(1) The Department of Defense\'s need for the item is of

such an unusual and compelling urgency that the United States

would be seriously injured unless the Department is permitted

to procure the item from sources outside the United States.\'\'.

SEC. 822. REQUIREMENTS RELATING TO BUYING COMMERCIAL ITEMS CONTAINING

SPECIALTY METALS FROM AMERICAN SOURCES.

\(a\) Specialty Metals and Other Industrial Base Protection

Measures.\--(1) Subsection (b) of section 2533a of title 10, United

States Code, is amended\--

\(A\) in paragraph (1)(B), by inserting before the semicolon

the following: \`\`and the materials and components thereof\'\';

and

\(B\) in paragraph (2), by inserting before the period the

following: \`\` and any specialty metal that may be part of

another item\'\'.

\(2\) Subsection (c) of such section is amended\--

\(A\) by striking \`\`or the Secretary of the military

department concerned\'\'; and

\(B\) by adding at the end the following: \`\`For each such

determination, the Secretary of Defense shall notify Congress

in writing of the factors supporting the determination.\'\'.

\(3\) Section 2533a of such title is amended by adding at the end the

following new subsection:

\`\`(l) Authority Not Delegable.\--The Secretary may not delegate any

authority under this section to anyone other than the Under Secretary

of Defense for Acquisition, Technology, and Logistics.\'\'.

\(b\) Exception to Berry Amendment for Commercial Items Containing

Specialty Metals.\--Section 2533a of title 10, United States Code, is

amended\--

\(1\) by redesignating subsections (i) and (j) as subsections

\(j\) and (k), respectively; and

\(2\) by inserting after subsection (h) the following new

subsection:

\`\`(i) Exception for Commercial Items Containing Specialty Metals.\--

\`\`(1) In General.\--Subsection (a) does not apply to the

procurement of a commercial item containing specialty metals

if\--

\`\`(A) the contractor agrees to comply with the

requirement set forth in paragraph (2); or

\`\`(B) the Secretary of Defense determines in

writing that the Department of Defense\'s need for the

commercial item containing specialty metal is of such

an unusual and compelling urgency that the United

States would be seriously injured unless the Department

is permitted to procure the item containing specialty

metal from outside the United States.

\`\`(2) Requirement to purchase equivalent amount of domestic

metal.\--For purposes of paragraph (1)(A), the requirement set

forth in this paragraph is that the contractor for each

contract entered into by the Secretary for the procurement of a

commercial item containing specialty metal agrees to purchase,

over the 18-month period beginning on the date of award of the

contract, an amount of specialty metal that is\--

\`\`(A) produced, including such functions as melting

and smelting, in the United States; and

\`\`(B) equivalent to\--

\`\`(i) the amount of specialty metal

(measured by factors including volume, type,

and grade) purchased to carry out the work

under the contract (including the work under

each subcontract at any tier under the

contract); plus

\`\`(ii) 10 percent of the amount referred to

in clause (i).

\`\`(3) Relationship to other exceptions.\--The exceptions

under subsections (c), (d), and (h) of this section shall not

apply to the procurement of a commercial item containing

specialty metals.

\`\`(4) Notice to congress.\--The Secretary of Defense shall

not enter into a contract to procure a commercial item

containing specialty metal pursuant to the exception in

subsection (a) until Congress is notified that the Secretary

has applied the exception and a period of 15 days has expired

after such notification is made.

\`\`(5) Notice to industry.\--The Secretary of Defense shall

publish a notice in the Federal Register on the method that the

Department of Defense will use to measure an equivalent amount

of specialty metal for purposes of this subsection. Such a

method shall consider factors such as volume, type, and grade

of specialty metal that otherwise would be produced from United

States sources.\'\'.

\(c\) Removal of Specialty Metal From Subsection (e) Exception.\--

Subsection (e) of such section is amended\--

\(1\) in the heading, by striking \`\`Specialty Metals and\'\';

and

\(2\) by striking \`\`specialty metals or\'\'.

\(d\) Conforming Amendment.\--Subsection (a) of section 2533a of such

title is amended by striking \`\`through (h)\'\' and inserting
\`\`through

(i)\'\'.

\(e\) Effective Date.\--Section 2533a(i) of title 10, United States

Code, as added by subsection (a), shall apply to each contract for the

procurement of a commercial item containing specialty metal entered

into before, on, or after the date of the enactment of this Act.

SEC. 823. ELIMINATION OF UNRELIABLE SOURCES OF DEFENSE ITEMS AND

COMPONENTS.

\(a\) Identification of Certain Countries.\--The Secretary of Defense

shall identify foreign countries that, by law, policy, or regulation,

restricted the provision or sale of military goods or services to the

United States because of United States policy toward, or military

operations in, Iraq since September 12, 2002.

\(b\) Prohibition on Procurement of Certain Items From Identified

Countries.\--The Secretary of Defense may not procure any items or

components contained in military systems if the items or components, or

the systems, are manufactured in any foreign country identified under

subsection (a).

\(c\) Waiver Authority.\--The Secretary of Defense may waive the

limitation in subsection (b) if the Secretary determines in writing and

notifies Congress that the Department of Defense\'s need for the item is

of such an unusual and compelling urgency that the United States would

be seriously injured unless the Department is permitted to procure the

item from the sources identified in subsection (a).

\(d\) Effective Date.\--(1) Subject to paragraph (2), subsection (b)

applies to contracts in existence on the date of the enactment of this

Act or entered into after such date.

\(2\) With respect to contracts in existence on the date of the

enactment of this Act, the Secretary of Defense shall take such action

as is necessary to ensure that such contracts are in compliance with

subsection (b) not later than 24 months after such date.

SEC. 824. CONGRESSIONAL NOTIFICATION REQUIRED BEFORE EXERCISING

EXCEPTION TO REQUIREMENT TO BUY SPECIALTY METALS FROM

AMERICAN SOURCES.

Section 2533a(c) of title 10, United States Code, is amended by

adding at the end the following new sentence: \`\`The Secretary of

Defense or the Secretary of the military department concerned may not

procure specialty metals pursuant to the exception authorized by this

subsection until the Secretary submits to Congress and publishes in the

Federal Register notice of the determination made under this subsection

and a period of 15 days expires after the date such notification is

submitted.\'\'.

SEC. 825. REPEAL OF AUTHORITY FOR FOREIGN PROCUREMENT OF PARA-ARAMID

FIBERS AND YARNS.

Section 807 of the Strom Thurmond National Defense Authorization

Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat. 2084) is

repealed.

SEC. 826. REQUIREMENT FOR MAJOR DEFENSE ACQUISITION PROGRAMS TO USE

MACHINE TOOLS ENTIRELY PRODUCED WITHIN THE UNITED STATES.

\(a\) In General.\--(1) Chapter 144 of title 10, United States Code,

is amended by inserting after section 2435 the following new section:

\`\`Sec. 2436. Major defense acquisition programs: requirement for

certain items to be entirely produced in United States

\`\`The Secretary of Defense shall require that, for any procurement

of a major defense acquisition program\--

\`\`(1) the contractor for the procurement shall use only

machine tools entirely produced within the United States to

carry out the contract; and

\`\`(2) any subcontractor under the contract shall comply

with paragraph (1) in the case of any contract in an amount

that is \$5,000,000 or greater.

\(2\) The table of sections at the beginning of such chapter is

amended by inserting after the item relating to section 2435 the

following new item:

\`\`2436. Major defense acquisition programs: requirement for certain

items to be entirely produced in United

States.\'\'.

\(b\) Effective Date.\--Section 2436 of title 10, United States Code,

as added by subsection (a), shall apply with respect to contracts

entered into after the date occurring four years after the date of the

enactment of this Act.

SEC. 827. DATA COLLECTION AND TECHNICAL ASSISTANCE CENTER RELATING TO

MACHINE TOOLS.

\(a\) Collection of Data on Contracts Using Machine Tools.\--The

Secretary of Defense shall collect data in order to identify all

contractors and subcontractors that use machine tools in carrying out

any defense contract in an amount that is \$5,000,000 or greater.

\(b\) Technical Assistance Center.\--The Secretary of Defense shall

establish a center to provide technical assistance to machine tool

companies in the United States, and entities that use machine tools, to

seek guidance with respect to government contracting regulations,

including compliance procedures, and opportunities for contracting with

the Department of Defense. As part of the assistance provided through

the center, the Secretary may provide information about defense

contracts that are expected to be carried out through the use of

machine tools.

\(c\) Definition.\--In this section the term \`\`machine tools\'\'

includes machine tools in the North American Industry Classification

System (NAICS) codes 333511, 333512, 333513, 333514, and 333515.

SEC. 828. BUY AMERICAN ENHANCEMENT.

Section 2533 of title 10, United States Code, is amended\--

\(1\) by redesignating subsection (b) as subsection (c); and

\(2\) by inserting after subsection (a) the following new

subsection (b):

\`\`(b) In determining under section 2 of the Buy American Act (41

U.S.C. 10a et seq.) whether application of such Act is inconsistent

with the public interest, the Secretary of Defense shall not consider

the provisions of any trade agreement between the United States and a

foreign country that is in effect at the time of the determination.\'\'.

SEC. 829. REQUIREMENT RELATING TO PURCHASES BY DEPARTMENT OF DEFENSE

SUBJECT TO BUY AMERICAN ACT.

In applying section 2 of the Buy American Act (41 U.S.C. 10a) to

acquisitions by the Department of Defense, the term \`\`substantially

all\'\' shall mean at least 65 percent.

Part III\--General Provisions

SEC. 831. DEFINITIONS.

In this subtitle:

\(1\) Covered military system.\--The term \`\`covered military

system\'\' means a military system that includes one or more

critical items.

\(2\) Military system.\--The term \`\`military system\'\' means a

military system necessary to support national security

requirements, as determined by the Secretary of Defense, and

which costs more than \$25,000. At a minimum, the term includes

the following:

\(A\) Weapons listed in Federal Supply Group 10.

\(B\) Nuclear ordnance listed in Federal Supply Group

11\.

\(C\) Fire control equipment listed in Federal Supply

Group 12.

\(D\) Ammunition and explosives listed in Federal

Supply Group 13.

\(E\) Guided missiles listed in Federal Supply Group

14\.

\(F\) Aircraft and related components, accessories,

and equipment listed in Federal Supply Groups 15, 16,

and 17.

\(G\) Space vehicles listed in Federal Supply Group

18\.

\(H\) Ships, small craft, pontoons, and floating

docks listed in Federal Supply Group 19.

\(I\) Ship and marine equipment listed in Federal

Supply Group 20.

\(J\) Tracked combat vehicles listed in Federal

Supply Class 2350.

\(K\) Engines, turbines, and components listed in

Federal Supply Group 28.

\(3\) Critical item.\--The term \`\`critical item\'\' means an

item or component determined to be critical by the Secretary of

Defense under section 812.

\(4\) Item.\--The term \`\`item\'\' means an end item.

\(5\) Component.\--The term \`\`component\'\' means an article,

material, or supply incorporated into an end item. The term

includes software and subassemblies.

\(6\) Foreign contractor.\--The term \`\`foreign contractor\'\'

means a contractor or subcontractor organized or existing under

the laws of a country other than the United States.

\(7\) United states contractor.\--The term \`\`United States

contractor\'\' means a contractor or subcontractor organized or

existing under the laws of the United States.

\(8\) United states production capabilities.\--The term

\`\`United States production capabilities\'\' means, with respect

to an item or component, facilities located in the United

States to design, develop, or manufacture the item or

component.

TITLE IX\--DEPARTMENT OF

DEFENSE ORGANIZATION AND MANAGEMENT

SEC. 901. CHANGE IN TITLE OF SECRETARY OF THE NAVY TO SECRETARY OF THE

NAVY AND MARINE CORPS.

\(a\) Change in Title.\--The position of the Secretary of the Navy is

hereby redesignated as the Secretary of the Navy and Marine Corps.

\(b\) References.\--Any reference to the Secretary of the Navy in any

law, regulation, document, record, or other paper of the United States

shall be considered to be a reference to the Secretary of the Navy and

Marine Corps.

SEC. 902. REDESIGNATION OF NATIONAL IMAGERY AND MAPPING AGENCY AS

NATIONAL GEOSPATIAL-INTELLIGENCE AGENCY.

\(a\) Redesignation.\--The National Imagery and Mapping Agency of the

Department of Defense is hereby redesignated as the National

Geospatial-Intelligence Agency.

\(b\) Definition of Geospatial Intelligence.\--Section 467 of title

10, United States Code, is amended by adding at the end the following

new paragraph:

\`\`(5) The term \`geospatial intelligence\' means the

exploitation and analysis of imagery and geospatial information

to describe, assess, and visually depict physical features and

geographically referenced activities on the earth. Geospatial

intelligence consists of imagery, imagery intelligence, and

geospatial information.\'\'.

\(c\) Agency Missions.\--(1) Section 442(a) of title 10, United States

Code, is amended\--

\(A\) in paragraph (1), by inserting \`\`geospatial

intelligence consisting of\'\' after \`\`provide\'\'; and

\(B\) in paragraph (2), by striking \`\`Imagery, intelligency,

and information\'\' and inserting \`\`Geospatial intelligence\'\'.

\(2\) Section 110(a) of the National Security Act of 1947 (50 U.S.C.

404e(a)) is amended by striking \`\`imagery\'\' and inserting
\`\`geospatial

intelligence\'\'.

\(d\) Conforming Amendments to Title 10, United States Code.\--Title

10, United States Code, is amended as follows:

\(1\) The heading of chapter 22 is amended to read as

follows:

\`\`CHAPTER 22\--NATIONAL GEOSPATIAL-INTELLIGENCE AGENCY\'\'.

\(2\) Chapter 22 is amended\--

\(A\) by striking \`\`National Imagery and Mapping

Agency\'\' each place it appears and inserting \`\`National

Geospatial-Intelligence Agency\'\'; and

\(B\) in section 453(b), by striking \`\`NIMA\'\' in

paragraphs (1) and (2) and inserting \`\`NGA\'\'.

\(3\) Section 193 is amended\--

\(A\) by striking \`\`National Imagery and Mapping

Agency\'\' in subsections (d)(1), (d)(2), (e), and (f)(4)

and inserting \`\`National Geospatial-Intelligence

Agency\'\';

\(B\) in the heading for subsection (d), by striking

\`\`National Imagery and Mapping Agency\'\' and inserting

\`\`National Geospatial-Intelligence Agency\'\'; and

\(C\) in the heading for subsection (e), by striking

\`\`NIMA\'\' and inserting \`\`NGA\'\'.

\(4\) Section 201 is amended by striking \`\`National Imagery

and Mapping Agency\'\' in subsections (b)(2)(C) and (c)(2)(C) and

inserting \`\`National Geospatial-Intelligence Agency\'\'.

(5)(A) Section 424 is amended by striking \`\`National

Imagery and Mapping Agency\'\' in subsection (b)(3) and inserting

\`\`National Geospatial-Intelligence Agency\'\'.

(B)(i) The heading of such section is amended to read as

follows:

\`\`Sec. 424. Disclosure of organizational and personnel information:

exemption for specified intelligence agencies\'\'.

\(ii\) The item relating to that section in the table of

sections at the beginning of subchapter I of chapter 21 is

amended to read as follows:

\`\`424. Disclosure of organizational and personnel information:

exemption for specified intelligence

agencies.\'\'.

\(6\) Section 425(a) is amended by adding at the end the

following new paragraph:

\`\`(5) The words \`National Geospatial-Intelligence Agency\',

the initials \'NGA,\' or the seal of the National Geospatial-

Intelligence Agency.\'\'.

\(7\) Section 1614(2)(C) is amended by striking \`\`National

Imagery and Mapping Agency\'\' and inserting \`\`National

Geospatial-Intelligence Agency\'\'.

\(8\) The tables of chapters at the beginning of subtitle A,

and at the beginning of part I of subtitle A, are each amended

by striking \`\`Imagery and Mapping\'\' in the item relating to

chapter 22 and inserting \`\`Geospatial-Intelligence\'\'.

\(e\) Conforming Amendments to National Security Act of 1947.\--The

National Security Act of 1947 is amended as follows:

\(1\) Section 3 (50 U.S.C. 401a) is amended by striking

\`\`National Imagery and Mapping Agency\'\' in paragraph (4)(E) and

inserting \`\`National Geospatial- Intelligence Agency\'\'.

\(2\) Section 105 (50 U.S.C. 403-5) is amended by striking

\`\`National Imagery and Mapping Agency\'\' in subsections (b)(2)

and (d)(3) and inserting \`\`National Geospatial-Intelligence

Agency\'\'.

\(3\) Section 105A (50 U.S.C. 403-5a) is amended by striking

\`\`National Imagery and Mapping Agency\'\' in subsection (b)(1)(C)

and inserting \`\`National Geospatial-Intelligence Agency\'\'.

\(4\) Section 105C (50 U.S.C. 403-5c) is amended\--

\(A\) by striking \`\`National Imagery and Mapping

Agency\'\' each place it appears and inserting \`\`National

Geospatial-Intelligence Agency\'\';

\(B\) by striking \`\`NIMA\'\' each place it appears and

inserting \`\`NGA\'\'; and

\(C\) by striking \`\`national imagery and mapping

agency\'\' in the section heading and inserting

\`\`national geospatial-intelligence agency\'\'.

\(5\) Section 106 (50 U.S.C. 403-6) is amended by striking

\`\`National Imagery and Mapping Agency\'\' in subsection (a)(2)(C)

and inserting \`\`National Geospatial-Intelligence Agency\'\'.

\(6\) Section 110 (50 U.S.C. 404e) is amended\--

\(A\) by striking \`\`National Imagery and Mapping

Agency\'\' in subsections (a), (b), and (c) and inserting

\`\`National Geospatial-Intelligence Agency\'\'; and

\(B\) by striking \`\`national imagery and mapping

agency\'\' in the section heading and inserting

\`\`national geospatial-intelligence agency\'\'.

\(7\) The table of contents in the first section is amended\--

\(A\) by striking the item relating to section 105C

and inserting the following:

\`\`Sec. 105C. Protection of operational files of National Geospatial-

Intelligence Agency.\'\';

and

\(B\) by striking the item relating to section 110

and inserting the following:

\`\`Sec. 110. National mission of National Geospatial-Intelligence

Agency.\'\'.

\(f\) Cross Reference Correction.\--Section 442(d) of title 10, United

States Code, is by striking \`\`section 120(a) of the National Security

Act of 1947\'\' and inserting \`\`section 110(a) of the National
Security

Act of 1947 (50 U.S.C. 404e(a))\'\'.

\(g\) References.\--Any reference to the National Imagery and Mapping

Agency in any law, regulation, map, document, record, or other paper of

the United States shall be considered to be a reference to the National

Geospatial-Intelligence Agency.

SEC. 903. PILOT PROGRAM FOR PROVISION OF SPACE SURVEILLANCE NETWORK

SERVICES TO NON-UNITED STATES GOVERNMENTAL ENTITIES.

\(a\) In General.\--Chapter 135 of title 10, United States Code, is

amended by adding at the end the following new section:

\`\`Sec. 2272. Space surveillance network: pilot program for provision
of

satellite tracking support to entities outside United

States Government

\`\`(a) Pilot Program.\--The Secretary of Defense may carry out a

pilot program to determine the feasibility and desirability of

providing to non-United States Governmental entities space surveillance

data support described in subsection (b).

\`\`(b) Space Surveillance Data Support.\--Under such a pilot program,

the Secretary may provide to a non-United States Governmental entity,

subject to an agreement described in subsection (c), the following:

\`\`(1) Satellite tracking services from assets owned or

controlled by the Department of Defense, but only if the

Secretary determines, in the case of any such agreement, that

providing such services to that entity is in the national

security interests of the United States.

\`\`(2) Space surveillance data and the analysis of space

surveillance data, but only if the Secretary determines, in the

case of any such agreement, that providing such data and

analysis to that entity is in the national security interests

of the United States.

\`\`(c) Required Agreement.\--The Secretary may not provide space

surveillance data support to a non-United States Governmental entity

under the pilot program unless that entity enters into an agreement

with the Secretary under which the entity\--

\`\`(1) agrees to pay an amount that may be charged by the

Secretary under subsection (f); and

\`\`(2) agrees not to transfer any data or technical

information received under the agreement, including the

analysis of tracking data, to any other entity without the

Secretary\'s express approval.

\`\`(d) Requirements With Respect to Foreign Transactions.\--(1) The

Secretary may enter into an agreement under subsection (c) to provide

space surveillance data support to a foreign government or other

foreign entity only with the concurrence of the Secretary of State.

\`\`(2) In the case of such an agreement that is entered into with a

foreign government or other foreign entity, the Secretary of Defense

may provide approval under subsection (c)(2) for a transfer of data or

technical information only with the concurrence of the Secretary of

State.

\`\`(e) Prohibition Concerning Provision of Intelligence Assets or

Data.\--Nothing in this section shall be considered to authorize the

provision of services or information concerning, or derived from,

United States intelligence assets or data.

\`\`(f) Charges.\--As a condition of an agreement under subsection

(c), the Secretary of Defense may require the non-United States

Governmental entity entering into the agreement to pay to the

Department of Defense such amounts as the Secretary determines to be

necessary to reimburse the Department of Defense for the costs to the

Department of providing space surveillance data support under the

agreement.

\`\`(g) Crediting of Funds Received.\--Funds received pursuant to an

agreement under this section shall be credited to accounts of the

Department of Defense that are current when the proceeds are received

and that are available for the same purposes as the accounts originally

charged to perform the services. Funds so credited shall merge with and

become available for obligation for the same period as the accounts to

which they are credited.

\`\`(h) Procedures.\--The Secretary shall establish procedures for the

conduct of the pilot program. As part of those procedures, the

Secretary may allow space surveillance data and analytical support to

be provided through a contractor of the Department of Defense.

\`\`(i) Duration of Pilot Program.\--The pilot program under this

section shall be conducted during the three-year period beginning on a

date specified by the Secretary of Defense, which date shall be not

later than 180 days after the date of the enactment of this
section.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by adding at the end the following new item:

\`\`2272. Space surveillance network: pilot program for provision of

satellite tracking services and data to

entities outside United States

Government.\'\'.

SEC. 904. CLARIFICATION OF RESPONSIBILITY OF MILITARY DEPARTMENTS TO

SUPPORT COMBATANT COMMANDS.

Sections 3013(c)(4), 5013(c)(4), and 8013(c)(4) of title 10, United

States Code, are each amended by striking \`\`(to the maximum extent

practicable)\'\'.

SEC. 905. BIENNIAL REVIEW OF NATIONAL MILITARY STRATEGY BY CHAIRMAN OF

THE JOINT CHIEFS OF STAFF.

\(a\) Biennial Review.\--Section 153 of title 10, United States Code,

by adding at the end the following new subsection:

\`\`(d) Biennial Review of National Military Strategy.\--(1) Not later

then February 15 of each even-numbered year, the Chairman shall submit

to the Committee on Armed Services of the Senate and the Committee on

Armed Services of the House of Representatives a report containing the

results of a comprehensive examination of the national military

strategy. Each such examination shall be conducted by the Chairman in

conjunction with the other members of the Joint Chiefs of Staff and the

commanders of the unified and specified commands.

\`\`(2) Each report on the examination of the national military

strategy under paragraph (1) shall include the following:

\`\`(A) Delineation of a national military strategy

consistent with the most recent National Security Strategy

prescribed by the President pursuant to section 108 of the

National Security Act of 1947 (50 U.S.C. 404a) and the most

recent Quadrennial Defense Review prescribed by the Secretary

of Defense pursuant to section 118 of this title.

\`\`(B) A description of the strategic environment and the

opportunities and challenges that affect United States national

interests and United States national security.

\`\`(C) A description of the regional threats to United

States national interests and United States national security.

\`\`(D) A description of the international threats posed by

terrorism, weapons of mass destruction, and asymmetric

challenges to United States national security.

\`\`(E) Identification of United States national military

objectives and the relationship of those objectives to the

strategic environment, regional, and international threats.

\`\`(F) Identification of the strategy, underlying concepts,

and component elements that contribute to the achievement of

United States national military objectives.

\`\`(G) Assessment of the capabilities and adequacy of United

States forces (including both active and reserve components) to

successfully execute the national military strategy.

\`\`(H) Assessment of the capabilities, adequacy, and

interoperability of regional allies of the United States and or

other friendly nations to support United States forces in

combat operations and other operations for extended periods of

time.

\`\`(I) Assessment of the resources, basing requirements, and

support structure needed to provide the capabilities necessary

to be assured United States forces can successfully achieve

national military objectives and to assess what resources and

support might be required to sustain allies or friendly nation

forces during combat operations.

\`\`(3)(A) As part of the assessment under this subsection, the

Chairman, in conjunction with the other members of the Joint Chiefs of

Staff and the commanders of the unified and specified commands, shall

undertake an assessment of the nature and magnitude of the strategic

and military risks associated with successfully executing the missions

called for under the current National Military Strategy.

\`\`(B) In preparing the assessment of risk, the Chairman should

assume the existence of those threats described in subparagraphs (C)

and (D) of paragraph (2) and should assess the risk associated with two

regional threats occurring nearly simultaneously.

\`\`(C) In addition to the assumptions to be made under subparagraph

(B), the Chairman should make other assumptions pertaining to the

readiness of United States forces (in both the active and reserve

components), the length of conflict and the level of intensity of

combat operations, and the levels of support from allies and other

friendly nations.

\`\`(4) Before submitting a report under this subsection to the

Committees on Armed Services of the Senate and House of

Representatives, the Chairman shall provide the report to the Secretary

of Defense. The Secretary\'s assessment and comments thereon (if any)

shall be included with the report. If the Chairman\'s assessment in such

report in any year is that the risk associated with executing the

missions called for under the National Military Strategy is

significant, the Secretary shall include with the report as submitted

to those committees the Secretary\'s plan for mitigating the risk.\'\'.

\(b\) Conforming Amendment.\--Subsection (b)(1) of such section is

amended by striking \`\`each year\'\' and inserting \`\`of each
odd-numbered

year\'\'.

SEC. 906. AUTHORITY FOR ACCEPTANCE BY ASIA-PACIFIC CENTER FOR SECURITY

STUDIES OF GIFTS AND DONATIONS FROM NONFOREIGN SOURCES.

\(a\) Authority.\--Subsection (a) of section 2611 of title 10, United

States Code, is amended\--

\(1\) by striking \`\`Foreign\'\' in the subsection caption;

\(2\) by striking \`\`foreign\'\' in paragraph (1) after

\`\`Center,\'\'; and

\(3\) by adding at the end of paragraph (1) the following

sentence: \`\`Such gifts and donations may be accepted from any

agency of the United States, any State or local government, any

foreign government, any foundation or other charitable

organization (including any that is organized or operates under

the laws of a foreign country), or any other private source in

the United States or a foreign country.\'\'.

\(b\) Conforming Amendments.\--Such section is further amended\--

\(1\) by striking \`\`foreign\'\' in subsection (c); and

\(2\) in subsection (f)\--

\(A\) by striking \`\`Foreign\'\' in the subsection

caption;

\(B\) by striking \`\`foreign\'\' after \`\`section, a\'\';

and

\(C\) by striking \`\`from a foreign\'\' and all that

follows through \`\`country.\'\' and inserting a period.

\(c\) Clerical Amendments.\-- The heading of such section, and the

item relating to such section in the table of sections at the beginning

of chapter 155 of such title, are each amended by striking the third

word after the colon.

SEC. 907. REPEAL OF ROTATING CHAIRMANSHIP OF ECONOMIC ADJUSTMENT

COMMITTEE.

Section 4004(b) of the Defense Economic Adjustment,

Diversification, Conversion, and Stabilization Act of 1990 (division D

of Public Law 101-510; 10 U.S.C. 2391 note) is amended\--

\(1\) by striking \`\`Until October 1, 1997, the\'\' and

inserting \`\`The\'\'; and

\(2\) by striking the second sentence.

SEC. 908. PILOT PROGRAM FOR IMPROVED CIVILIAN PERSONNEL MANAGEMENT.

\(a\) Pilot Program.\--(1) The Secretary of Defense may carry out a

pilot program using an automated workforce management system to

demonstrate improved efficiency in the performance of civilian

personnel management.

\(2\) Under the pilot program, the Secretary of Defense shall provide

the Secretary of each military department with the authority for the

following:

\(A\) To use an automated workforce management system for its

civilian workforce to assess its potential to substantially

reduce hiring cycle times, lower labor costs, increase

efficiency, improve performance management, provide better

management reporting, and enable it to make operational new

personnel management flexibilities granted under the civilian

personnel transformation program.

\(B\) Identify one regional civilian personnel center (or

equivalent) in each military department for participation in

the pilot program.

\(3\) The Secretary may carry out the pilot program under this

subsection at each selected regional civilian personnel center for a

period of two years beginning not later than March 1, 2004.

\(b\) Pilot Program Characteristics.\--The pilot program civilian

personnel management system shall have at a minimum the following

characteristics:

\(1\) Currently in use by Federal Government agencies outside

the Department of Defense.

\(2\) Able to be purchased on an annual subscription basis.

\(3\) Requires no capital investment, software license fees,

transaction charges, or \`\`per seat\'\' or \`\`concurrent user\'\'

restrictions.

\(4\) Capable of automating the workforce management

functions of job definition, position management, recruitment,

staffing, and performance management using integrated vendor-

supplied and supported data, expert system rules engines, and

software functionality across those functions.

\(5\) Has a \`\`native web\'\' technical architecture and an

Oracle database.

\(6\) Fully hosted by the vendor so that the customer

requires only Internet access and an Internet browser to use

the system.

\(7\) Capable of operating completely \`\`server side\'\' so that

no software is required on the client system and no invasive

elements are used.

\(c\) Implementation Plan.\--(1) The Secretary shall submit to the

Committee on Armed Services of the Senate and the Committee on Armed

Services of the House of Representatives a plan for the implementation

of the pilot program. The plan shall be submitted no later than six

months after the date of the enactment of this Act.

\(2\) The plan shall include the following:

\(A\) The Secretary\'s request to the Office of Personnel

Management to conduct the pilot program as a Federal civilian

personnel demonstration project under chapter 47 of title 5,

United States Code, or a plan to provide for the pilot program

through another plan.

\(B\) The expected cost of the pilot program.

\(C\) Identification of the regional civilian personnel

centers for participation in the pilot program and the criteria

used to select them.

\(D\) Expected timing for providing to Congress the results

of the pilot program and recommendations of the Secretary.

\(d\) Implementation.\--The Secretary may not begin to implement the

pilot program until a period of 30 days has elapsed after the date of

the submission of the plan for the pilot program under subsection (c).

SEC. 909. EXTENSION OF CERTAIN AUTHORITIES APPLICABLE TO THE PENTAGON

RESERVATION TO INCLUDE DESIGNATED PENTAGON CONTINUITY-OF-

GOVERNMENT LOCATIONS.

Section 2674 of title 10, United States Code, is amended by adding

at the end the following new subsection:

\`\`(g) For purposes of subsections (b), (c), (d), and (e), the terms

\`Pentagon Reservation\' and \`National Capital Region\' shall be
treated

as including the land and physical facilities at the Raven Rock

Mountain Complex and such other areas of land, locations, and physical

facilities of the Department of Defense within 100 miles of the

District of Columbia as the Secretary of Defense determines are

necessary to meet the needs of the Department of Defense directly

relating to continuity of operations and continuity of government.\'\'.

SEC. 910. DEFENSE ACQUISITION WORKFORCE REDUCTIONS.

\(a\) Revised Limitation.\--Subchapter V of chapter 87 of title 10,

United States Code, is amended by adding at the end the following new

section:

\`\`Sec. 1765. Defense acquisition workforce: limitation

\`\`(a) Limitation.\--Effective October 1, 2008, the number of defense

acquisition and support personnel in the Department of Defense may not

exceed 75 percent of the baseline number.

\`\`(b) Phased Reduction.\--The number of defense acquisition and

support personnel in the Department of Defense\--

\`\`(1) as of October 1, 2004, may not exceed 95 percent of

the baseline number;

\`\`(2) as of October 1, 2005, may not exceed 90 percent of

the baseline number;

\`\`(3) as of October 1, 2006, may not exceed 85 percent of

the baseline number; and

\`\`(4) as of October 1, 2007, may not exceed 80 percent of

the baseline number.

\`\`(c) Baseline Number.\--In this section, the term \`baseline number\'

means the number of defense acquisition and support personnel in the

Department of Defense as of October 1, 2003.

\`\`(d) Defense Acquisition and Support Personnel Defined.\--In this

section, the term \`defense acquisition and support personnel\' means

military and civilian personnel (other than civilian personnel who are

employed at a maintenance depot) who are assigned to, or employed in,

acquisition organizations of the Department of Defense (as specified in

Department of Defense Instruction numbered 5000.58 dated January 14,

1992), and any other organizations which the Secretary may determine to

have a predominantly acquisition mission.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such subchapter is amended by adding at the end the following new item:

\`\`1765. Defense acquisition workforce: limitation.\'\'.

SEC. 911. REQUIRED FORCE STRUCTURE.

\(a\) Army.\--Section 3062 of title 10, United States Code, is amended

by adding at the end the following new subsection:

\`\`(e) The Army shall be so organized as to include not less than\--

\`\`(1) 10 active and eight National Guard combat divisions

or their equivalents;

\`\`(2) one active armored cavalry regiment and one light

cavalry regiment or their equivalents;

\`\`(3) 15 National Guard enhanced brigades or their

equivalents; and

\`\`(4) such other active and reserve component land combat,

rotary-wing aviation, and other services as may be required to

support forces specified in paragraphs (1) through (3).\'\'.

\(b\) Navy.\--Section 5062 of such title is amended by adding at the

end the following new subsection:

\`\`(d) The Navy, within the Department of the Navy, shall be so

organized as to include\--

\`\`(1) not less than 305 vessels in active service;

\`\`(2) not less than 12 aircraft carrier battle groups or

their equivalents, not less than 12 amphibious ready groups or

their equivalents, not less than 55 attack submarines, not less

than 108 active surface combatant vessels, and not less than 8

reserve combatant vessels; and

\`\`(3) such other active and reserve naval combat, naval

aviation, and service forces as may be required to support

forces specified in paragraphs (1) and (2).\'\'.

\(c\) Air Force.\--Section 8062 of title 10, United States Code, is

amended by adding at the end the following new subsection:

\`\`(g) Notwithstanding subsection (e), the Air Force shall be so

organized as to include not less than\--

\`\`(1) 46 active fighter squadrons or their equivalents;

\`\`(2) 38 National Guard and Reserve squadrons or their

equivalents;

\`\`(3) 96 combat-coded bomber aircraft in active service;

and

\`\`(4) such other squadrons, reserve groups, and supporting

auxiliary and reserve units as may be required to support

forces specified in paragraphs (1) through (3).\'\'.

TITLE X\--GENERAL PROVISIONS

Subtitle A\--Financial Matters

SEC. 1001. TRANSFER AUTHORITY.

\(a\) Authority To Transfer Authorizations.\--(1) Upon determination

by the Secretary of Defense that such action is necessary in the

national interest, the Secretary may transfer amounts of authorizations

made available to the Department of Defense in this division for fiscal

year 2004 between any such authorizations for that fiscal year (or any

subdivisions thereof). Amounts of authorizations so transferred shall

be merged with and be available for the same purposes as the

authorization to which transferred.

\(2\) The total amount of authorizations that the Secretary may

transfer under the authority of this section may not exceed

\$2,500,000,000.

\(b\) Limitations.\--The authority provided by this section to

transfer authorizations\--

\(1\) may only be used to provide authority for items that

have a higher priority than the items from which authority is

transferred; and

\(2\) may not be used to provide authority for an item that

has been denied authorization by Congress.

\(c\) Effect on Authorization Amounts.\--A transfer made from one

account to another under the authority of this section shall be deemed

to increase the amount authorized for the account to which the amount

is transferred by an amount equal to the amount transferred.

\(d\) Notice to Congress.\--The Secretary shall promptly notify

Congress of each transfer made under subsection (a).

SEC. 1002. AUTHORIZATION OF SUPPLEMENTAL APPROPRIATIONS FOR FISCAL YEAR

2003\.

\(a\) DOD Authorizations.\--Amounts authorized to be appropriated to

the Department of Defense for fiscal year 2003 in the Bob Stump

National Defense Authorization Act for Fiscal Year 2003 (Public Law

107-314) are hereby adjusted, with respect to any such authorized

amount, by the amount by which appropriations pursuant to such

authorization are increased (by a supplemental appropriation) or

decreased (by a rescission), or both, or are increased by a transfer of

funds, pursuant to the following:

\(1\) Chapters 3 and 8 of title I of the Emergency Wartime

Supplemental Appropriations Act, 2003 (Public Law 108-11).

\(2\) Any Act enacted after May 23, 2003, making supplemental

appropriations for fiscal year 2003 for the military functions

of the Department of Defense.

\(b\) NNSA Authorizations.\--Amounts authorized to be appropriated to

the Department of Energy for fiscal year 2003 in the Bob Stump National

Defense Authorization Act for Fiscal Year 2003 (Public Law 107-314) are

hereby adjusted, with respect to any such authorized amount, by the

amount by which appropriations pursuant to such authorization are

increased (by a supplemental appropriation) or decreased (by a

rescission), or both, or are increased by a transfer of funds, pursuant

to the following:

\(1\) Chapter 4 of the Emergency Wartime Supplemental

Appropriations Act, 2003 (Public Law 108-11).

\(2\) Any Act enacted after May 23, 2003, making supplemental

appropriations for fiscal year 2003 for the atomic energy

defense activities of the Department of Energy.

SEC. 1003. AUTHORITY TO TRANSFER PROCUREMENT FUNDS FOR A MAJOR DEFENSE

ACQUISITION PROGRAM FOR CONTINUED DEVELOPMENT WORK ON

THAT PROGRAM.

\(a\) Authority.\--Section 2214 of title 10, United States Code, is

amended\--

\(1\) by redesignating subsections (b), (c), and (d) as

subsections (c), (d), and (e), respectively; and

\(2\) by inserting after subsection (a) the following new

subsection (b):

\`\`(b) Transfer of Procurement Funds For Development Activities for

Major Defense Acquisition Systems.\--(1) In the case of a major defense

acquisition program (as defined in section 2430 of this title) for

which funds are currently available both for procurement and for

research, development, test, and evaluation, if the Secretary concerned

determines that funds are required for further research, development,

test, and evaluation activities for that program in excess of the funds

currently available for that purpose, the Secretary may (subject to

paragraph (2)) transfer funds available for that program for

procurement to funds available for that program for research,

development, test, and evaluation for the purpose of continuing

research, development, test, and evaluation activities for that

program.

\`\`(2)(A) The total amount transferred under the authority of

paragraph (1) for any acquisition program may not exceed \$20,000,000.

\`\`(B) The total amount transferred under the authority of paragraph

\(1\) from amounts made available for any fiscal year may not exceed

\$250,000,000.

\`\`(3) The authority provided by paragraph (1) is in addition to any

other transfer authority that may be provided by law.

\`\`(4) Upon a determination that all or part of the funds

transferred under paragraph (1) are not necessary for the purpose for

which the transfer was made, such amounts may be transferred back to a

Procurement appropriation for the purpose of procurement of the

acquisition program for which funds were transferred.\'\'.

\(b\) Effective Date.\--The amendments made by subsection (a) shall

not apply with respect to funds appropriated for a fiscal year before

fiscal year 2004.

SEC. 1004. RESTORATION OF AUTHORITY TO ENTER INTO 12-MONTH LEASES AT

ANY TIME DURING THE FISCAL YEAR.

Section 2410a(a) of title 10, United States Code, is amended by

inserting after \`\`severable services\'\' the following: \`\`and the
lease

of real or personal property, including the maintenance of such

property when contracted for as part of the lease agreement,\'\'.

SEC. 1005. AUTHORITY FOR RETENTION OF ADDITIONAL AMOUNTS REALIZED FROM

ENERGY COST SAVINGS.

\(a\) Increase in Amount of Energy Cost Savings Retained.\--Section

2865(b)(1) of title 10, United States Code, is amended by striking

\`\`Two-thirds of the portion of the funds appropriated to Department of

Defense for a fiscal year that is\'\' and inserting \`\`Funds
appropriated

to the Department of Defense for a fiscal year that are\'\'.

\(b\) Effective Date.\--The amendment made by subsection (a) shall not

apply to funds appropriated for a fiscal year before fiscal year 2004.

SEC. 1006. REPEAL OF REQUIREMENT FOR TWO-YEAR BUDGET CYCLE FOR THE

DEPARTMENT OF DEFENSE.

Section 1405 of the Department of Defense Authorization Act, 1986

(Public Law 99-145; 31 U.S.C. 1105 note), is repealed.

SEC. 1007. AUTHORITY TO PROVIDE REIMBURSEMENT FOR USE OF PERSONAL

CELLULAR TELEPHONES WHEN USED FOR OFFICIAL GOVERNMENT

BUSINESS.

\(a\) In General.\--(1) Chapter 134 of title 10, United States Code,

is amended by inserting after section 2257 the following new section:

\`\`Sec. 2258. Personal cellular telephones: reimbursement when used for

Government business

\`\`(a) General Authority.\--The Secretary of Defense may reimburse

members of the Army, Navy, Air Force, and Marine Corp, and civilian

officers and employees of the Department of Defense, for cellular

telephone use on a privately owned cellular telephone when used on

official Government business. Such reimbursement shall be on a flat-

rate basis.

\`\`(b) Reimbursement Rate.\--The Secretary of Defense may prescribe

the reimbursement rate for purposes of subsection (a). That

reimbursement rate may not exceed the equivalent Government costs of

providing a cellular telephone to employees on official Government

business.\'\'.

\(2\) The table of sections at the beginning of subchapter II of such

chapter is amended by inserting after the item relating to section 2257

the following new item:

\`\`2258. Personal cellular telephones: reimbursement when used for

Government business.\'\'.

\(b\) Effective Date.\--Section 2258 of title 10, United States Code,

as added by subsection (a), shall take effect on October 1, 2003, and

shall apply with respect to the use of cellular phones on or after that

date.

Subtitle B\--Naval Vessels and Shipyards

SEC. 1011. REPEAL OF REQUIREMENT REGARDING PRESERVATION OF SURGE

CAPABILITY FOR NAVAL SURFACE COMBATANTS.

\(a\) Repeal.\--Section 7296 of title 10, United States Code, is

amended by striking subsection (b).

\(b\) Clerical Amendments.\--Such section is further amended\--

\(1\) by striking \`\`(3) Any notification under paragraph

(1)(A)\'\' and inserting \`\`(b) Content of Notification.\--Any

notification under subsection (a)(1)(A)\'\';

\(2\) by redesignating subparagraphs (A), (B), and (C) of

subsection (b) (as redesignated by paragraph (1)) as paragraphs

(1), (2), and (3), respectively; and

\(3\) by striking \`\`subparagraph (B)\'\' in subsection (b)(3)

(as redesignated by paragraphs (1) and (2)) and inserting

\`\`paragraph (2)\'\'.

SEC. 1012. ENHANCEMENT OF AUTHORITY RELATING TO USE FOR EXPERIMENTAL

PURPOSES OF VESSELS STRICKEN FROM NAVAL VESSEL REGISTER.

\(a\) Sale of Material and Equipment Stripped From Vessel.\--

Subsection (b)(1) of section 7306a of title 10, United States Code, is

amended by adding at the end the following new sentence: \`\`Material
and

equipment stripped from the vessel may be sold by a contractor or a

designated sales agent on behalf of the Navy.\'\'.

\(b\) Use of Proceeds.\--(1) Subsection (b)(2) of such section is

amended by striking \`\`scrapping services\'\' and all that follows
through

the end of such subsection and inserting \`\`services needed for such

stripping and for environmental remediation required for the use of the

vessel for experimental purposes. Amounts received in excess of amounts

needed for reimbursement of those costs shall be deposited into the

account from which the stripping and environmental remediation expenses

were incurred and shall be available for stripping and environmental

remediation of other vessels to be used for experimental purposes.\'\'.

\(2\) The amendment made by paragraph (1) shall not apply with

respect to proceeds from the stripping of a vessel under any vessel

stripping contract entered into before the date of the enactment of

this Act.

\(c\) Clarification of Covered Experimental Purposes.\--Such section

is further amended by adding at the end the following new subsection:

\`\`(c) Use for Experimental Purposes Defined.\--In this section, the

term \`use for experimental purposes\' includes use of a vessel in a
Navy

sink exercise or for target purposes.\'\'.

SEC. 1013. AUTHORIZATION FOR TRANSFER OF VESSELS STRICKEN FROM NAVAL

VESSEL REGISTER FOR USE AS ARTIFICIAL REEFS.

\(a\) Authority.\--Chapter 633 of title 10, United States Code, is

amended by inserting after section 7306a the following new section:

\`\`Sec. 7306b. Vessels stricken from Naval Vessel Register: transfer by

gift or otherwise for use as artificial reefs

\`\`(a) Authority To Make Transfer.\--The Secretary of the Navy may

transfer, by gift or otherwise, any vessel stricken from the Naval

Vessel Register to any State, Commonwealth, or possession of the United

States or any municipal corporation or political subdivision thereof

for use as an artificial reef as provided in subsection (b).

\`\`(b) Vessel To Be Used as Artificial Reef.\--An agreement for the

transfer of a vessel under subsection (a) shall require that\--

\`\`(1) the transferee use, site, construct, monitor, and

manage the vessel only as an artificial reef in accordance with

the requirements of the National Fishing Enhancement Act of

1984 (33 U.S.C. 2101 et seq.), except that the transferee also

may use the artificial reef to enhance diving opportunities if

that use does not have an adverse effect on fishery resources;

and

\`\`(2) the transferee shall obtain, and bear all of the

responsibility for complying with, all applicable Federal,

State, interstate, and local permits for siting, constructing,

monitoring, and managing a vessel as an artificial reef.

\`\`(c) Additional Terms.\--The Secretary may require such additional

terms in connection with a conveyance authorized by this section as the

Secretary considers appropriate.

\`\`(d) Cost Sharing on Transfers.\--The Secretary of the Navy may

share with the recipient any of the costs associated with transferring

a vessel under this section.

\`\`(e) Application for More Than One Vessel.\--A State, Commonwealth,

or possession of the United States, or any municipal corporation or

political subdivision thereof, may apply for more than one vessel under

this section.

\`\`(f) Definition.\--In this section, the term \`fishery resources\'

has the meaning given such term in section 3(14) of the Magnuson-

Stevens Fishery Conservation and Management Act of 1976 (16 U.S.C.

1802(14)).\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by inserting after the item relating to section

7306a the following new item:

\`\`7306b. Vessels stricken from Naval Vessel Register: transfer by gift

or otherwise for use as artificial

reefs.\'\'.

SEC. 1014. PILOT PROGRAM FOR SEALIFT SHIP CONSTRUCTION.

\(a\) Establishment of Pilot Program.\--The Secretary of the Navy may

establish a pilot program, under which the Secretary of the Navy,

subject to the availability of appropriations, may guarantee loans

for\--

\(1\) the construction in a United States shipyard of two

qualified sealift ships that are to be documented under the

laws of the United States for use in United States-flag

commercial service; and

\(2\) the acquisition of facilities or equipment pertaining

to the marine operations of those ships, which may include

specialized loading equipment.

\(b\) Conditions of Guarantee.\--A guarantee under this section is

subject to the following conditions:

\(1\) MSP.\--The owner of the ships for which guarantees are

issued shall apply for an operating agreement with the

Secretary of Transportation under subtitle B of title XXXV.

\(2\) NDF; charter.\--If the Secretary of the Navy requests,

the owner of the ships shall engage in negotiations on

reasonable terms and conditions for\--

\(A\) installation and maintenance of defense

features for national defense purposes on one or both

ships under section 2218 of title 10, United States

Code; and

\(B\) a short-term charter to the United States

Government of at least one ship for which a guarantee

is issued, for a period of at least 60 days prior to

entry into commercial service, for the purpose of

demonstrating the military capabilities of the ships.

\(c\) Payment of Cost.\--The cost of a guarantee under this section

shall be paid for with amounts made available in appropriations Acts.

\(d\) Percentage Limitation; Term.\--A guarantee under this section

may apply\--

\(1\) to up to 87.5 percent of the loan principal; and

\(2\) for a term ending up to 25 years after delivery of the

second ship.

\(e\) Authorities, Procedures, Requirements, and Restrictions.\--The

Secretary of the Navy, subject to the other provisions of this

section\--

\(1\) in implementing this section, may exercise authorities

that are substantially the same as the authorities available to

the Secretary of Transportation under title XI of the Merchant

Marine Act, 1936 (46 App. U.S.C. 1271 et seq.) with respect to

loan guarantees under that title;

\(2\) shall implement this section under procedures,

requirements, and restrictions that are substantially the same

as those under which loan guarantees are made under that title,

including the regulations implementing that title; and

\(3\) may establish such additional requirements for loan

guarantees under this section as the Secretary determines to be

necessary to minimize the cost of such guarantees.

\(f\) Interagency Agreement.\--The Secretary of Transportation shall

enter into an interagency agreement or other appropriate arrangement

with the Secretary of the Navy to make available to the Department of

the Navy such Maritime Administration personnel with expertise in

vessel construction financing as are necessary to carry out the program

under this section.

\(g\) Definitions.\--In this section:

\(1\) Cost.\--The term \`\`cost\'\', with respect to a loan

guarantee under this section, has the meaning given that term

in section 502 of the Congressional Budget and Impoundment

Control Act of 1974 (2 U.S.C. 661a).

\(2\) Qualified sealift ship.\--The term \`\`qualified sealift

ship\'\' means a roll-on, roll-off vessel that is\--

\(A\) militarily useful for additional medium- to

long-haul strategic sealift capacity;

\(B\) designed to carry at least 10,000 tons of

cargo; and

\(C\) capable of operating commercially in the

foreign commerce of the United States.

\(h\) Authorization of Appropriations.\--There are authorized to be

appropriated to the Secretary of the Navy to carry out this section

\$40,000,000.

Subtitle C\--Reports

SEC. 1021. REPEAL AND MODIFICATION OF VARIOUS REPORTING REQUIREMENTS

APPLICABLE TO THE DEPARTMENT OF DEFENSE.

\(a\) Title 10, United States Code.\--Title 10, United States Code, is

amended as follows:

\(1\) Section 113 is amended by striking subsection (m).

\(2\) Section 117(e) is amended by striking \`\`each month\'\'

and all that follows through \`\`subsection (d)\'\' and inserting

\`\`each quarter submit to the congressional defense committees a

report in writing containing the results of the most recent

joint readiness review under subsection (d)(1)(A)\'\'.

\(3\) Section 127(d) is amended to read as follows:

\`\`(d) Annual Report.\--Not later than December 1 each year, the

Secretary of Defense shall submit to the congressional defense

committees a report on expenditures during the preceding fiscal year

under subsections (a) and (b).\'\'.

\(4\) Section 127a is amended\--

\(A\) in subsection (a)\--

\(i\) by striking paragraph (3); and

\(ii\) by redesignating paragraph (4) as

paragraph (3); and

\(B\) by striking subsection (d).

\(5\) Section 128 is amended by striking subsection (d).

\(6\) Section 184 is amended by striking subsection (b).

\(7\) Section 226(a) is amended\--

\(A\) by striking \`\`December 15\'\' and inserting

\`\`January 15\'\'; and

\(B\) by striking \`\`in the following year\'\' in

paragraph (1) and inserting \`\`in that year\'\'.

(8)(A) Section 228 is amended\--

\(i\) in subsection (a)\--

\(I\) by striking \`\`Monthly\'\' in the

subsection heading and inserting \`\`Quarterly\'\';

\(II\) by striking \`\`monthly\'\' and inserting

\`\`quarterly\'\'; and

\(III\) by striking \`\`month\'\' and inserting

\`\`fiscal-year quarter\'\'; and

\(ii\) in subsection (c), by striking \`\`month\'\' each

place it appears and inserting \`\`quarter\'\'.

(B)(i) The heading of such section is amended to read as

follows:

\`\`Sec. 228. Quarterly reports on allocation of funds within operation

and maintenance budget subactivities\'\'.

\(ii\) The item relating to section 228 in the table of

sections at the beginning of chapter 9 is amended to read as

follows:

\`\`228. Quarterly reports on allocation of funds within operation and

maintenance budget subactivities.\'\'.

(9)(A) Section 484 is repealed.

\(B\) The table of sections at the beginning of such chapter

is amended by striking the item relating to section 484.

(10)(A) Section 520c is amended\--

\(i\) by striking subsection (b);

\(ii\) by striking \`\`(a) Provision of Meals and

Refreshments.\--\'\'; and

\(iii\) by striking the heading for such section and

inserting the following:

\`\`Sec. 520c. Recruiting functions: provision of meals and

refreshments\'\'.

\(B\) The item relating to such section in the table of

sections at the beginning of chapter 31 is amended to read as

follows:

\`\`520c. Recruiting functions: provision of meals and
refreshments.\'\'.

\(11\) Section 983(e)(1) is amended by striking \`\`and to

Congress\'\'.

\(12\) Section 1060 is amended by striking subsection (d).

\(13\) Section 1130 is amended\--

\(A\) in subsection (a), by striking \`\`the other

determinations necessary to comply with subsection

(b)\'\' and inserting \`\`respond with a detailed

description of the rationale supporting the

determination\'\'; and

\(B\) by striking subsection (b).

\(14\) Section 1557 is amended by striking subsection (e).

\(15\) Section 1563 is amended\--

\(A\) in subsection (a), by striking \`\`the other

determinations necessary to comply with subsection

(b)\'\' and inserting \`\`respond with a detailed

description of the rationale supporting the

determination\'\'; and

\(B\) by striking subsection (b).

\(16\) Section 2010 is amended by striking subsection (b).

\(17\) Section 2166 is amended\--

\(A\) in subsection (e)(5), by inserting \`\`and to

Congress\'\' after \`\`to the Secretary of Defense\'\'; and

\(B\) by striking subsection (i).

\(18\) Section 2208(j)(2) is amended by striking \`\`and

notifies Congress regarding the reasons for the waiver\'\'.

\(19\) Section 2216(i) is amended\--

\(A\) by striking \`\`Quarterly Reports.\--(1) Not later

than 15 days after the end of each calendar quarter\'\'

and inserting \`\`Annual Report.\--(1) Not later than 60

days after the end of each fiscal year\'\'; and

\(B\) by striking \`\`quarter\'\' in subparagraphs (A),

(B), and (C) of paragraph (1) and inserting \`\`fiscal

year\'\'.

\(20\) Section 2224(e) is amended by inserting \`\`through

2007\'\' after \`\`Each year\'\'.

\(21\) Section 2255(b)\--

\(A\) by striking paragraph (2); and

\(B\) by striking \`\`(1)\'\' after \`\`(b) Exception.\--\'\'.

\(22\) Section 2281 is amended by striking subsection (d).

(23)(A) Section 2282 is repealed.

\(B\) The table of sections at the beginning of chapter 136

is amended by striking the item relating to section 2282.

\(24\) Section 2323 is amended\--

\(A\) in subsection (d)\--

\(i\) by striking \`\`Defense\--\'\' and all that

follows through \`\`the extent\'\' and inserting

\`\`Defense to the extent\'\';

\(ii\) by striking \`\`; and\'\' and inserting a

period; and

\(iii\) by striking paragraph (2); and

\(B\) by striking subsection (i).

\(25\) Section 2327(c)(1) is amended\--

\(A\) in subparagraph (A), by striking \`\`after the

date on which such head of an agency submits to

Congress a report on the contract\'\' and inserting \`\`if

in the best interests of the Government\'\';

\(B\) in subparagraph (B), by striking \`\`A report

under subparagraph (A)\'\' and inserting \`\`The Secretary

shall maintain records of each contract entered into by

reason of subparagraph (A). Such records\'\'; and

\(C\) by striking subparagraph (C).

\(26\) Section 2350j is amended by striking subsections (e)

and (g).

\(27\) Section 2367 is amended by striking subsection (d).

\(28\) Section 2371 is amended by striking subsection (h).

\(29\) Section 2374a is amended by striking subsection (e).

\(30\) Section 2410m(c) is amended\--

\(A\) by striking \`\`Reporting Requirement.\--Each

year\'\' and inserting \`\`Annual Report.\--Not later than

60 days after the end of each fiscal year\'\';

\(B\) by inserting \`\`at the end of such fiscal year\'\'

in paragraph (1) before the period;

\(C\) by striking \`\`during the year preceding the

year in which the report is submitted\'\' in paragraph

\(2\) and inserting \`\`under this section during that

fiscal year\'\';

\(D\) by striking \`\`in such preceding year\'\' in

paragraph (3) and inserting \`\`under this section during

that fiscal year\'\'; and

\(E\) by striking \`\`in such preceding year\'\' in

paragraph (4) and inserting \`\`under this section during

that fiscal year\'\'.

\(31\) Section 2433 is amended\--

\(A\) in subsection (d)\--

\(i\) in paragraphs (1) and (2), by striking

\`\`, or by at least 25 percent,\'\'; and

\(ii\) in paragraph (3)\--

\(I\) by striking \`\`or by at least 25

percent,\'\' both places it appears; and

\(II\) by inserting a comma after

\`\`paragraph (1)\'\'; and

\(B\) in subsection (e)\--

\(i\) by striking paragraph (2);

\(ii\) by redesignating paragraph (3) as

paragraph (2);

\(iii\) in paragraph (2), as so redesignated,

by striking \`\`or if a\'\' in the first sentence

and all that follows through \`\`paragraph

(2),\'\'; and

\(iv\) by designating the second sentence of

such paragraph as paragraph (3) and in that

paragraph\--

\(I\) by inserting \`\`under paragraph

(2)\'\' after \`\`The prohibition\'\'; and

\(II\) by striking \`\`the date\--\'\' and

all that follows through \`\`subsection

(d).\'\' and inserting \`\`the date on

which Congress receives the Selected

Acquisition Report under paragraph (1)

with respect to that program.\'\'.

\(32\) Section 2457 is amended by striking subsection (d).

\(33\) Section 2493 is amended by striking subsection (g).

\(34\) Section 2515 is amended by striking subsection (d).

\(35\) Section 2521 is amended by striking subsection (e).

\(36\) Section 2536 is amended\--

\(A\) in subsection (b)(2)\--

\(i\) by striking \`\`notify Congress\'\' in the

first sentence and inserting \`\`maintain a

record\'\'; and

\(ii\) by striking the second sentence and

inserting the following: \`\`The records

maintained under the preceding sentence with

respect to a waiver shall include a

justification in suport of the decision to

grant the waiver and shall be retrievable for

any particular waiver or for waivers during any

period of time.\'\'; and

\(B\) by adding at the end the following new

subsection:

\`\`(d) The Secretary of Defense shall maintain an account of actions

relating to the award of contracts to a prime contractor. The Secretary

of Defense shall include in such accounts the reasons for exercising

the awards and the work expected to be performed.\'\'.

\(37\) Section 2541d is amended\--

\(A\) by striking subsection (b); and

\(B\) in subsection (a), by striking \`\`(a)\'\' and all

that follows through \`\`The Secretary of Defense\'\' and

inserting \`\`The Secretary of Defense\'\'.

\(38\) Section 2561 is amended by striking subsections (c),

\(d\) and (f).

\(39\) Section 2563(c)(2) is amended by striking \`\`and

notifies Congress regarding the reasons for the waiver\'\'.

\(40\) Section 2645 is amended by striking subsections (d)

and (g).

\(41\) Section 2667a(c)(2) is amended by striking \`\`45 days\'\'

and inserting \`\`14 days\'\'.

\(42\) Section 2676(d) is amended by striking \`\`21 days\'\' and

inserting \`\`14 days\'\'.

\(43\) Section 2680 is amended by striking subsection (e).

\(44\) Section 2696 is amended by striking subsections (c)

and (d).

\(45\) Section 2703(c)(2) is amended\--

\(A\) by striking subparagraph (B);

\(B\) by striking \`\`unless the Secretary\--\'\' and all

that follows through \`\`determines that\'\' and inserting

\`\`unless the Secretary determines that\'\'; and

\(C\) by redesignating clauses (i), (ii), and (iii)

as subparagraphs (A), (B), and (C), respectively, and

realigning such subparagraphs (as so redesignated) two

ems from the left margin.

(46)(A) Section 2723 is repealed.

\(B\) The table of sections at the beginning of chapter 161

is amended by striking the item relating to section 2723.

\(47\) Section 2803(b) is amended by striking \`\`21-day

period\'\' and inserting \`\`seven-day period\'\'.

\(48\) Section 2804(b) is amended by striking \`\`21-day

period\'\' and inserting \`\`14-day period\'\'.

\(49\) Section 2805(b) is amended\--

\(A\) in paragraph (1), by striking \`\`\$750,000\'\' and

inserting \`\`\$1,000,000\'\'; and

\(B\) in paragraph (2), by striking \`\`21-day period\'\'

and inserting \`\`seven-day period\'\'\'.

\(50\) Section 2807 is amended\--

\(A\) in subsection (b)\--

\(i\) by striking \`\`\$500,000\'\' and inserting

\`\`\$1,000,000\'\'; and

\(ii\) by striking \`\`not less than 21 days\'\';

and

\(B\) in subsection (c)(2), by striking \`\`21 days\'\'

and inserting \`\`14 days\'\'.

\(51\) Section 2809(f)(2) is amended by striking \`\`21

calendar days\'\' and inserting \`\`14 days\'\'.

\(52\) Section 2812(c)(1)(B) is amended by striking \`\`21

days\'\' and inserting \`\`14 days\'\'.

\(53\) Section 2813(c) is amended by striking \`\`30-day

period\'\' and inserting \`\`21-day period\'\'.

\(54\) Section 2825 is amended\--

\(A\) by striking \`\`21 days\'\' in the last sentence of

subsection (b)(1)(B) and inserting \`\`14 days\'\'; and

\(B\) by striking \`\`21 days\'\' in subsection (c)(1)(D)

and inserting \`\`14 days\'\'.

\(55\) Section 2826 is amended\--

\(A\) by striking \`\`(a) Local Comparability.\--\'\'; and

\(B\) by striking subsection (b).

\(56\) Section 2827(b)(2) is amended by striking \`\`21 days\'\'

and inserting \`\`14 days\'\'.

\(57\) Section 2836(f)(2) is amended by striking \`\`21

calendar days\'\' and inserting \`\`14 days\'\'.

\(58\) Section 2837(c)(2) is amended by striking \`\`21-day

period\'\' and inserting \`\`14-day period\'\'.

\(59\) Section 2854(b) is amended by striking \`\`21-day

period\'\' and inserting \`\`seven-day period\'\'.

\(60\) Section 2854a(c)(2) is amended by striking \`\`21

calendar days\'\' and inserting \`\`14 days\'\'.

\(61\) Section 2865 is amended\--

\(A\) in subsection (e)\--

\(i\) by striking \`\`(1)\'\' before \`\`The

Secretary\'\'; and

\(ii\) by striking paragraph (2); and

\(B\) by striking subsection (f).

\(62\) Section 2866(c) is amended\--

\(A\) by striking \`\`(1)\'\' before \`\`The Secretary\'\';

and

\(B\) by striking paragraph (2).

\(63\) Section 2867(c) is amended by striking \`\`21-day

period\'\' and inserting \`\`14-day period\'\'.

\(64\) Section 2875(e) is amended by striking \`\`30-day

period\'\' and inserting \`\`14-day period\'\'.

\(65\) Section 2883(f) is amended by striking \`\`30-day

period\'\' and inserting \`\`14-day period\'\'.

\(66\) Section 2902(g) is amended\--

\(A\) by striking paragraph (2); and

\(B\) by striking \`\`(1)\'\' after \`\`(g)\'\'.

\(67\) Section 4342(h) is amended by striking \`\`Secretary of

the Army\'\' and inserting \`\`Superintendent\'\'.

\(68\) Section 4357(c) is amended is amended by striking

\`\`the expiration of 30 days following\'\'.

\(69\) Section 6954(f) is amended by striking \`\`Secretary of

the Navy\'\' and inserting \`\`Superintendent of the Naval

Academy\'\'.

\(70\) Section 6975(c) is amended is amended by striking

\`\`the expiration of 30 days following\'\'.

\(71\) Section 7049(c) is amended\--

\(A\) by striking \`\`Certification\'\' in the subsection

heading and inserting \`\`Determination\'\'; and

\(B\) by striking \`\`, and certifies to\'\' and all that

follows through \`\`House of Representatives,\'\'.

\(72\) Section 9342(h) is amended by striking \`\`Secretary of

the Air Force\'\' and inserting \`\`Superintendent\'\'.

\(73\) Section 9356(c) is amended is amended by striking

\`\`the expiration of 30 days following\'\'.

\(74\) Section 12302\--

\(A\) in subsection (b), by striking the last

sentence; and

\(B\) by striking subsection (d).

(75)(A) Section 16137 is repealed.

\(B\) The table of sections at the beginning of chapter 1606

is amended by striking the item relating to section 16137.

\(b\) National Defense Authorization Act for Fiscal Year 1991.\--Part

B of title XXIX of the National Defense Authorization Act for Fiscal

Year 1991 (Public Law 101-510; 10 U.S.C. 2687 note) is amended as

follows:

\(1\) Section 2921 is amended\--

\(A\) in subsection (f)(1), by striking \`\`30 days\'\'

and inserting \`\`14 days\'\'; and

\(B\) in subsection (g), by striking \`\`30 days\'\' in

paragraphs (1) and (2) and inserting \`\`14 days\'\'.

\(2\) Section 2926 is amended by striking subsection (g).

\(c\) National Defense Authorization Act for Fiscal Years 1992 and

1993.\--The National Defense Authorization Act for Fiscal Years 1992 and

1993 (Public Law 102-190) is amended as follows:

\(1\) Section 734 (10 U.S.C. 1074 note) is amended by

striking subsection (c).

\(2\) Section 2868(a) (10 U.S.C. 2802 note) is amended by

striking \`\`The Secretary of Defense\'\' and all that follows

through \`\`is to be authorized\'\' and inserting \`\`Not later than

30 days after the date on which a decision is made selecting

the site or sites for the permanent basing of a new weapon

system, the Secretary of Defense shall submit to Congress\'\'.

\(d\) National Defense Authorization Act for Fiscal Year 1993.\--The

National Defense Authorization Act for Fiscal Year 1993 (Public Law

102-484) is amended as follows:

\(1\) Section 324 (10 U.S.C. 2701 note) is amended\--

\(A\) by striking \`\`(a) Sense of Congress.\--\'\'; and

\(B\) by striking subsection (b).

\(2\) Section 1082(b)(1) (10 U.S.C. 113 note) is amended by

striking \`\`the Secretary of Defense\--\'\' and all that follows

and inserting \`\`the Secretary of Defense determines that it is

in the national security interests of the United States for the

military departments to do so.\'\'.

\(e\) National Defense Authorization Act for Fiscal Year 1995.\--

Section 721 of the National Defense Authorization Act for Fiscal Year

1995 (Public Law 103-337; 10 U.S.C. 1074 note) is amended by striking

subsection (h).

\(f\) National Defense Authorization Act for Fiscal Year 1997.\--The

National Defense Authorization Act for Fiscal Year 1997 (Public Law

104-201) is amended as follows:

\(1\) Section 324 (10 U.S.C. 2706 note) is amended by

striking subsection (c).

\(2\) Section 1065(b) (10 U.S.C. 113 note) is amended\--

\(A\) by striking \`\`(1)\'\' before \`\`Notwithstanding\'\';

and

\(B\) by striking paragraph (2).

\(g\) Department of Defense Appropriations Act, 1997.\--Section 8009

of the Department of Defense Appropriations Act, 1997 (as contained in

section 101(b) of Public Law 104-208; 110 Stat. 3009-89), is amended by

striking \`\`, unless the congressional defense committees have been

notified at least thirty days in advance of the proposed contract

award\'\'.

\(h\) National Defense Authorization Act for Fiscal Year 1998.\--

Section 349 of the National Defense Authorization Act for Fiscal Year

1998 (Public Law 105-85; 10 U.S.C. 2702 note) is amended by striking

subsection (e).

\(i\) Strom Thurmond National Defense Authorization Act for Fiscal

Year 1999.\--The Strom Thurmond National Defense Authorization Act for

Fiscal Year 1999 (Public Law 105-261) is amended as follows:

\(1\) Section 745(e) (10 U.S.C. 1071 note) is amended\--

\(A\) by striking \`\`(1)\'\' before \`\`The Secretary of

Defense\'\'; and

\(B\) by striking paragraph (2).

\(2\) Section 1223 (22 U.S.C. 1928 note) is repealed.

\(j\) National Defense Authorization Act for Fiscal Year 2000.\--The

National Defense Authorization Act for Fiscal Year 2000 (Public Law

106-65) is amended as follows:

\(1\) Section 212 (10 U.S.C. 2501 note) is amended by

striking subsection (c).

\(2\) Section 724 (10 U.S.C. 1092 note) is amended by

striking subsection (e).

\(4\) Section 1039 (10 U.S.C. 113 note) is amended by

striking subsection (b).

\(k\) Military Construction Appropriations Act, 2001.\--Section 125 of

the Military Construction Appropriations Act, 2001 (division A of

Public Law 106-246; 114 Stat. 517), is repealed.

\(l\) Department of Defense Appropriations Act, 2001.\--Section 8019

of the Department of Defense Appropriations Act, 2001 (Public Law 106-

259; 114 Stat. 678; 10 U.S.C. 2687 note), is amended by striking \`\`of

Congress:\'\' and all that follows through \`\`this provision\'\' and

inserting \`\`of Congress\'\'.

\(m\) Floyd D. Spence National Defense Authorization Act for Fiscal

Year 2001.\--Section 1006 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by Public

Law 106-398; 114 Stat. 1654A-247; 10 U.S.C. 2226 note), is amended by

striking subsection (c).

\(n\) Department of Defense Appropriations Act, 2002.\--Section 8009

of the Department of Defense Appropriations Act, 2002 (division A of

Public Law 107-117; 115 Stat. 2249; 10 U.S.C. 401 note), is amended by

striking \`\`, and these obligations shall be reported to the
Congress\'\'.

SEC. 1022. REPORT ON OPERATION IRAQI FREEDOM.

\(a\) Report Required.\--Not later than June 15, 2004, 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 Operation Iraqi Freedom. The Secretary

shall submit to those committees a preliminary report on the conduct of

those hostilities not later than January 15, 2004.

\(b\) Discussion of Accomplishments and Shortcomings.\--The report

(and the preliminary report, to the extent feasible) shall contain a

discussion, with a particular emphasis on accomplishments and

shortcomings, of the following matters:

\(1\) The military objectives of the multinational coalition.

\(2\) The military strategy of the multinational coalition to

achieve those military objectives and how the military strategy

contributed to the achievement of those objectives.

\(3\) The deployment of United States forces and the

transportation of supplies to the theater of operations,

including an assessment of airlift, sealift, afloat

prepositioning ships, and Maritime Prepositioning Squadron

ships.

\(4\) The conduct of military operations.

\(5\) The use of special operations forces, including

operational and intelligence uses classified under special

access procedures.

\(6\) The use and performance of United States military

equipment, weapon systems, and munitions (including items

classified under special access procedures) and an analysis

of\--

\(A\) any equipment or capabilities that were in

research and development and if available could have

been used in the theater of operations; and

\(B\) any equipment or capabilities that were

available and could have been used but were not

introduced into the theater of operations.

\(7\) The scope of logistics support, including support from

other nations.

\(8\) The acquisition policies and processes used to support

the forces in the theater of operations.

\(9\) The personnel management actions taken to support the

forces in the theater of operations.

\(10\) The effectiveness of reserve component forces,

including a discussion of each of the following matters:

\(A\) The readiness and activation of such forces.

\(B\) The decisionmaking process regarding both

activation of reserve component forces and deployment

of those forces to the theater of operations.

\(C\) The post-activation training received by such

forces.

\(D\) The integration of forces and equipment of

reserve component forces into the active component

forces.

\(E\) The use and performance of the reserve

component forces in operations in the theater of

operations.

\(F\) The use and performance of such forces at duty

stations outside the theater of operations.

\(11\) The role of the law of armed conflict in the planning

and execution of military operations by United States forces

and the other coalition forces and the effects on operations of

Iraqi compliance or noncompliance with the law of armed

conflict, including a discussion regarding each of the

following matters:

\(A\) Use of Iraqi civilians as human shields.

\(B\) Collateral damage and civilian casualties.

\(C\) Treatment of prisoners of war.

\(D\) Repatriation of prisoners of war.

\(E\) Use of ruses and acts of perfidy.

\(F\) War crimes.

\(G\) Environmental terrorism.

\(H\) Conduct of neutral nations.

\(12\) The actions taken by the coalition forces in

anticipation of, and in response to, Iraqi acts of

environmental terrorism.

\(13\) The actions taken by the coalition forces in

anticipation of possible Iraqi use of weapons of mass

destruction.

\(14\) Evidence of Iraqi weapons of mass destruction programs

and Iraqi preparations for the use of such weapons.

\(15\) The contributions of United States and coalition

intelligence and counterintelligence systems and personnel,

including contributions regarding bomb damage assessments and

particularly including United States tactical intelligence and

related activities (TIARA) programs and the Joint Military

Intelligence Program (JMIP).

\(16\) Command, control, communications, and operational

security of the coalition forces as a whole, and command,

control, communications, and operational security of the United

States forces.

\(17\) The rules of engagement for the coalition forces.

\(18\) The actions taken to reduce the casualties among

coalition forces caused by the fire of such forces.

\(19\) The role of supporting combatant commands and Defense

Agencies of the Department of Defense.

\(20\) The policies and procedures relating to the media,

including the use of embedded media.

\(21\) The assignment of roles and missions to the United

States forces and other coalition forces and the performance of

those forces in carrying out their assigned roles and missions.

\(22\) The preparedness, including doctrine and training, of

the United States forces.

\(23\) The acquisition of foreign military technology from

Iraq, and any compromise of military technology of the United

States or other countries in the multinational coalition.

\(24\) The problems posed by Iraqi possession and use of

equipment produced in the United States and other coalition

nations.

\(25\) The use of deception by Iraqi forces and by coalition

forces.

\(26\) The military criteria used to determine when to

progress from one phase of military operations to another phase

of military operations.

\(27\) The role, if any, of the Status of Resources and

Training System (SORTS) in determining which units would be

employed during the operation.

\(28\) The role of the Coast Guard.

\(29\) The direct and indirect cost of military operations,

including an assessment of the total incremental expenditures

made by the Department of Defense as a result of Operation

Iraqi Freedom.

\(c\) Casualty Statistics.\--The report (and the preliminary report,

to the extent feasible) shall also contain\--

\(1\) the number of military and civilian casualties

sustained by coalition nations; and

\(2\) estimates of such casualties sustained by Iraq and by

nations not directly participating in hostilities during

Operation Iraqi Freedom.

\(d\) Classification of Reports.\--The Secretary of Defense shall

submit both the report and the preliminary report in a classified form

and an unclassified form.

SEC. 1023. REPORT ON DEPARTMENT OF DEFENSE POST-CONFLICT ACTIVITIES IN

IRAQ.

\(a\) Report Required.\--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 activities of the Department of Defense in

post-conflict Iraq.

\(b\) Report Elements.\--The report shall discuss the range of

infrastructure reconstruction, civil administration, humanitarian

assistance, interim governance, and political development activities

undertaken in Iraq by officials of the Department and by those

civilians reporting to the Secretary of Defense and the missions

undertaken in Iraq by United States military forces during the post-

conflict period. In particular, the report shall include a discussion

of the following:

\(1\) The evolution of the organizational structure of the

civilian groups reporting to the Secretary, including the

Office of Reconstruction and Humanitarian Assistance, on issues

of Iraqi post-conflict administration and reconstruction and

the factors influencing that evolution.

\(2\) The relationship of the Department of Defense with

other United States departments and agencies involved in post-

conflict administration and reconstruction planning and

execution in Iraq.

\(3\) The relationship of Department of Defense entities,

including the Office of Reconstruction and Humanitarian

Assistance, with intergovernmental and nongovernmental

organizations contributing to the reconstruction and governance

efforts.

\(4\) Progress made to the date of the report in\--

\(A\) rebuilding Iraqi infrastructure;

\(B\) providing for the humanitarian needs of the

Iraqi people;

\(C\) reconstituting the Iraqi governmental

bureaucracy and its provision of services; and

\(D\) developing mechanisms of fully transitioning

Iraq to representative self-government.

\(5\) Progress made to the date of the report by Department

of Defense civilians and military personnel in accounting for

any Iraqi weapons of mass destruction and associated weapons

capabilities.

\(6\) Progress made to the date of the report by United

States military personnel in providing security in Iraq and in

transferring security functions to a reconstituted Iraqi police

force and military.

\(7\) The Secretary\'s assessment of the scope of the ongoing

needed commitment of United States military forces and of the

remaining tasks to be completed by Department of Defense

civilian personnel in the governance and reconstruction areas,

including an estimate of the total expenditures the Department

of Defense expects to make for activities in post-conflict

Iraq.

SEC. 1024. REPORT ON DEVELOPMENT OF MECHANISMS TO BETTER CONNECT

DEPARTMENT OF DEFENSE SPACE CAPABILITIES TO THE WAR

FIGHTER.

Not later than March 15, 2004, the Secretary of Defense shall

submit to the congressional defense committees a report on development

and implementation of systematic mechanisms to provide for integrating

into activities of the United States Strategic Command planning and

requirements for connecting space capabilities of that command with the

war fighter.

Subtitle D\--Procurement of Defense Biomedical Countermeasures

SEC. 1031. RESEARCH AND DEVELOPMENT OF DEFENSE BIOMEDICAL

COUNTERMEASURES.

\(a\) In General.\--The Secretary of Defense (in this section referred

to as the \`\`Secretary\'\') shall carry out a program to accelerate the

research, development and procurement of biomedical countermeasures,

including but not limited to therapeutics and vaccines, for the

protection of the Armed Forces from attack by one or more biological,

chemical, radiological, or nuclear agents.

\(b\) Interagency Cooperation.\--(1) In carrying out the program under

subsection (a), the Secretary may enter into interagency agreements and

other collaborative undertakings with other Federal agencies. Under

such agreements and undertakings, the participating agencies are

authorized to provide funds and receive funds from other participating

agencies.

\(2\) The Secretary, in consultation with the Secretary of Health and

Human Services and the Secretary of Homeland Security, shall ensure

that the activities of the Department of Defense in carrying out the

program are coordinated with, complement, and do not unnecessarily

duplicate activities of the Department of Health and Human Services or

the Department of Homeland Security.

\(c\) Expedited Procurement Authority.\--(1)(A) For any procurement by

the Secretary, of property or services for use (as determined by the

Secretary) in performing, administering, or supporting biomedical

countermeasures research or development, the amount specified in

section 4(11) of the Office of Federal Procurement Policy Act (41

U.S.C. 403(11)), as applicable pursuant to section 302A(a) of the

Federal Property and Administrative Services Act of 1949 (41 U.S.C.

252a(a)), shall be deemed to be \$25,000,000 in the administration, with

respect to such procurement, of sections 302A(b) (41 U.S.C. 252a(b))

and 303(g)(1)(A) (42 U.S.C. 253(g)(1)(A)) of the Federal Property and

Administrative Services Act of 1949 and the regulations implementing

those sections.

\(B\) The Secretary shall institute appropriate internal controls for

use of the authority under subparagraph (A), including requirements for

documenting the justification for each use of such authority.

(2)(A) For a procurement described in paragraph (1), the amount

specified in subsections (c), (d), and (f) of section 32 of the Office

of Federal Procurement Policy Act (41 U.S.C. 428) shall be deemed to be

\$15,000 in the administration of that section with respect to such

procurement.

\(B\) The Secretary shall institute appropriate internal controls for

each use of the authority under subparagraph (A) for a procurement

greater than \$2,500.

\(d\) Facilities Authority.\--(1) The Secretary may acquire, lease,

construct, improve, renovate, remodel, repair, operate, and maintain

laboratories, other research facilities and equipment, and other real

or personal property that the Secretary determines necessary for

carrying out the program under this section. The authority under this

paragraph is in addition to any other authority under law.

\(2\) Nothing in this section shall be construed to authorize the

Secretary to acquire, lease, construct, improve, renovate, remodel,

repair, operate, or maintain facilities having general utility.

\(e\) Authority for Personal Services Contracts.\--The authority

provided by section 1091 of title 10, United States Code, for personal

services contracts to carry out health care responsibilities in medical

treatment facilities of the Department of Defense shall also be

available, subject to the same terms and conditions, for personal

services contracts to carry out research and development activities

under this section. The number of individuals whose personal services

are obtained under this subsection may not exceed 30 at any time.

\(f\) Streamlined Personnel Authority.\--(1) Without regard to any

provision of title 5, United States Code, governing appointments in the

competitive service, and without regard to any provision of chapter 51,

or subchapter III of chapter 43, of such title relating to

classification and General Schedule pay rates, the Secretary may

appoint professional and technical employees, not to exceed 30 such

employees at any time, to positions in the Department of Defense to

carry out research and development under the program under this

section. The authority under this paragraph is in addition to any other

authority under law.

\(2\) The Secretary may use the authority under paragraph (1) only

upon a determination by the Secretary that use of such authority is

necessary to accelerate the research and development under the program.

\(3\) The Secretary shall institute appropriate internal controls for

each use of the authority under paragraph (1).

SEC. 1032. PROCUREMENT OF DEFENSE BIOMEDICAL COUNTERMEASURES.

\(a\) Determination of Material Threats.\--(1) The Secretary of

Defense (in this section referred to as the \`\`Secretary\'\'), in

consultation with the Secretary of Health and Human Services and the

Secretary of Homeland Security shall on an ongoing basis\--

\(A\) assess current and emerging threats of use of

biological, chemical, radiological, and nuclear agents; and

\(B\) identify, on the basis of such assessment, those agents

that present a material risk of use against the Armed Forces.

\(2\) The Secretary, in consultation with the Secretary of Health and

Human Services and the Secretary of Homeland Security, shall on an

ongoing basis\--

\(A\) assess the potential consequences to the health of

members of the Armed Forces of use against the Armed Forces of

the agents identified under paragraph (1)(B); and

\(B\) identify, on the basis of such assessment, those agents

for which countermeasures are necessary to protect the health

of members of the Armed Forces.

\(b\) Assessment of Availability and Appropriateness of

Countermeasures.\--The Secretary, in consultation with the Secretary of

Health and Human Services and the Secretary of Homeland Security, shall

on an ongoing basis assess the availability and appropriateness of

specific countermeasures to address specific threats identified under

subsection (a).

\(c\) Secretary\'s Determination of Countermeasures Appropriate for

Procurement.\--(1) The Secretary, in accordance with paragraph (2),

shall on an ongoing basis identify specific countermeasures that the

Secretary determines to be appropriate for procurement for the

Department of Defense stockpile of biomedical countermeasures.

\(2\) The Secretary may not identify a specific countermeasure under

paragraph (1) unless the Secretary determines that\--

\(A\) the countermeasure is a qualified countermeasure; and

\(B\) it is reasonable to expect that producing and

delivering, within 5 years, the quantity of that countermeasure

required to meet the needs of the Department (as determined by

the Secretary) is feasible.

\(d\) Definitions.\--In this section:

\(1\) The term \`\`qualified countermeasure\'\' means a

biomedical countermeasure\--

\(A\) that is approved under section 505(a) of the

Federal Food, Drug, and Cosmetic Act (21 U.S.C. 355) or

licensed under section 351 of the Public Health Service

Act (42 U.S.C. 262), or that is approved under section

515 or cleared under section 510(k) of the Federal

Food, Drug, and Cosmetic Act (21 U.S.C. 360e and 360)

for use as such a countermeasure to a biological,

chemical, radiological, or nuclear agent identified as

a material threat under subsection (a); or

\(B\) with respect to which the Secretary, in

consultation with the Secretary of Health and Human

Services, makes a determination that sufficient and

satisfactory clinical experience or research data

(including data, if available, from preclinical and

clinical trials) exists to support a reasonable

conclusion that the product will, not later than 5

years after the date on which the Secretary identifies

the product under subsection (c)(1), qualify for such

approval or licensing for use as such a countermeasure.

\(2\) The term \`\`biomedical countermeasure\'\' means a drug (as

defined in section 201(g)(1) of the Federal Food, Drug, and

Cosmetic Act (21 U.S.C. 321(g)(1))), device (as defined in

section 201(h) of the Federal Food, Drug, and Cosmetic Act (21

U.S.C. 321(h))), or biological product (as defined in section

351(i) of the Public Health Service Act (42 U.S.C. 262(i)) that

is\--

\(A\) used to treat, identify, or prevent harm from

any biological, chemical, radiological, or nuclear

agent that may cause a military health emergency

affecting the Armed Forces; or

\(B\) used to treat, identify, or prevent harm from a

condition that may result in adverse health

consequences or death and may be caused by

administering a drug or biological product that is used

as described in subparagraph (A).

\(e\) Funding.\--(1) Of the amount authorized to be appropriated for

the Department of Defense and available within the transfer authority

established under section 1001 of this Act for fiscal year 2004 and for

each fiscal year thereafter, such sums are authorized as may be

necessary for the costs incurred by the Secretary in the procurement of

countermeasures under this section, subject to paragraph (2).

\(2\) Amounts authorized to be appropriated under paragraph (1) shall

not be available to pay\--

\(A\) costs for the purchase of vaccines under procurement

contracts entered into before January 1, 2003;

\(B\) costs under new contracts, or costs of new obligations

under contracts previously entered into, for procurement of a

countermeasure after the date of a determination under

subsection (c)(2)(D) that the countermeasure does have a

significant commercial market other than as a biomedical

countermeasure; or

\(C\) administrative costs.

SEC. 1033. AUTHORIZATION FOR USE OF MEDICAL PRODUCTS IN EMERGENCIES.

\(a\) Use of Medical Products Authorized.\--During the period in which

a declaration of emergency under subsection (b) is in effect, the

Secretary of Defense, in accordance with this section, may authorize

the use on members of the Armed Forces of a drug or device intended

solely for use in an actual or potential emergency.

\(b\) Declaration of Emergency.\--(1) A declaration of emergency

referred to in subsection (a) is a declaration by the Secretary of

Defense that there exists a military emergency, or a significant

potential for a military emergency, involving a heightened risk to the

Armed Forces of attack by one or more biological, chemical,

radiological, or nuclear agents.

\(2\) Subject to paragraph (3), the period during which a declaration

of emergency under this subsection is in effect begins upon the making

of the declaration and ends upon the first to occur of the following

events:

\(A\) The making of a determination by the Secretary that the

military emergency, or the significant potential for a military

emergency, has ceased to exist.

\(B\) The expiration of the one-year period beginning on the

date on which the declaration of emergency is made.

\(3\) Before the expiration of the period during which a declaration

of emergency is in effect, the Secretary may declare one or more

extensions of that declaration of emergency. In such a case, the date

on which the most recent extension was declared shall be treated for

purposes of subsection (2)(B) as the date on which the declaration of

emergency is made.

\(c\) Criteria for Issuance of Authorization.\--The Secretary, in

consultation with the Secretary of Health and Human Services, may use

the authority under subsection (a) with respect to a biomedical

countermeasure only if the Secretary make a determination that\--

\(1\) an agent to which a declaration of emergency under

subsection (b) relates can cause a serious or life-threatening

disease or condition;

\(2\) based on the totality of scientific evidence available

to the Secretary, including data from adequate and well-

controlled clinical trials, if available, it is reasonable to

believe that\--

\(A\) such countermeasure may be effective in

detecting, diagnosing, treating, or preventing such

disease or condition; or

\(B\) the known and potential benefits of such

countermeasure, when used to detect, diagnose, treat,

or prevent such disease or condition, outweigh the

known and potential risks of such countermeasure;

\(3\) no adequate, approved, and available alternative exists

to such countermeasure for detecting, diagnosing, treating, or

preventing such disease or condition; and

\(4\) such other criteria as the Secretary may by regulation

prescribe are satisfied.

\(d\) Scope of Authorization.\--For each use of the authority under

subsection (a), the Secretary, in consultation with the Secretary of

Health and Human Services, shall\--

\(1\) specify each disease or condition that the biological

countermeasure may be used to detect, diagnose, treat, or

prevent; and

\(2\) set forth each determination under subsection (c) with

respect to that countermeasure and the basis for each such

determination.

\(e\) Condition.\--In carrying out this section, the Secretary shall

ensure compliance with section 1107 of title 10, United States Code,

and section 731(a)(3) of the Strom Thurmond National Defense

Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat.

2071; 10 U.S.C. 1107 note).

Subtitle E\--Other Matters

SEC. 1041. CODIFICATION AND REVISION OF DEFENSE COUNTERINTELLIGENCE

POLYGRAPH PROGRAM AUTHORITY.

\(a\) Codification.\--(1) Chapter 21 of title 10, United States Code,

is amended by inserting at the end of subchapter I (after the section

added by section 805(b)(1) of this Act) the following new section:

\`\`Sec. 427. Counterintelligence polygraph program

\`\`(a) Authority for Program.\--The Secretary of Defense may carry

out a program for the administration of counterintelligence polygraph

examinations to persons described in subsection (b). The program shall

be based on Department of Defense Directive 5210.48, dated December 24,

1984\.

\`\`(b) Persons Covered.\--Except as provided in subsection (c), the

following persons whose duties involve access to information that has

been classified at the level of top secret or designated as being

within a special access program under section 4.4(a) of Executive Order

12958 (or a successor Executive order) are subject to this section:

\`\`(1) Military and civilian personnel of the Department of

Defense.

\`\`(2) Personnel of defense contractors.

\`\`(3) A person assigned or detailed to the Department of

Defense.

\`\`(4) An applicant for a position in the Department of

Defense.

\`\`(c) Exceptions From Coverage for Certain Intelligence Agencies

and Functions.\--This section does not apply to the following persons:

\`\`(1) A person assigned or detailed to the Central

Intelligence Agency or to an expert or consultant under a

contract with the Central Intelligence Agency.

\`\`(2) A person who is\--

\`\`(A) employed by or assigned or detailed to the

National Security Agency;

\`\`(B) an expert or consultant under contract to the

National Security Agency;

\`\`(C) an employee of a contractor of the National

Security Agency; or

\`\`(D) a person applying for a position in the

National Security Agency.

\`\`(3) A person assigned to a space where sensitive

cryptographic information is produced, processed, or stored.

\`\`(4) A person employed by, or assigned or detailed to, an

office within the Department of Defense for the collection of

specialized national foreign intelligence through

reconnaissance programs or a contractor of such an office.

\`\`(d) Oversight.\--(1) The Secretary shall establish a process to

monitor responsible and effective application of polygraphs within the

Department of Defense.

\`\`(2) The Secretary shall make information on the use of polygraphs

within the Department of Defense available to the congressional defense

committees.

\`\`(e) Polygraph Research Program.\--The Secretary of Defense shall

carry out a continuing research program to support the polygraph

activities of the Department of Defense. The program shall include\--

\`\`(1) an on-going evaluation of the validity of polygraph

techniques used by the Department;

\`\`(2) research on polygraph countermeasures and anti-

countermeasures; and

\`\`(3) developmental research on polygraph techniques,

instrumentation, and analytic methods.\'\'.

\(2\) The table of sections at the beginning of subchapter I of such

chapter is amended by adding at the end (after the item added by

section 805(b)(2) of this Act) the following new item:

\`\`427. Counterintelligence polygraph program.\'\'.

\(b\) Conforming Repeal.\--Section 1121 of the National Defense

Authorization Act for Fiscal Years 1988 and 1989 (10 U.S.C. 113 note),

is repealed.

\(c\) Effective Date.\--The amendments made by this section shall take

effect on October 1, 2003.

SEC. 1042. CODIFICATION AND REVISION OF LIMITATION ON MODIFICATION OF

MAJOR ITEMS OF EQUIPMENT SCHEDULED FOR RETIREMENT OR

DISPOSAL.

\(a\) In General.\--(1) Chapter 134 of title 10, United States Code,

is amended by inserting after section 2244 the following new section:

\`\`Sec. 2244a. Equipment scheduled for retirement or disposal:

limitation on expenditures for modifications

\`\`(a) Prohibition.\--Except as otherwise provided in this section,

the Secretary of a military department may not carry out a significant

modification of an aircraft, weapon, vessel, or other item of equipment

that the Secretary plans to retire or otherwise dispose of within five

years after the date on which the modification, if carried out, would

be completed.

\`\`(b) Significant Modifications Defined.\--For purposes of this

section, a significant modification is any modification for which the

cost is in an amount equal to or greater than \$1,000,000.

\`\`(c) Exception for Safety Modifications.\--The prohibition in

subsection (a) does not apply to a safety modification.

\`\`(d) Waiver Authority.\--The Secretary concerned may waive the

prohibition in subsection (a) in the case of any modification otherwise

subject to that subsection if the Secretary determines that carrying

out the modification is in the national security interest of the United

States. Whenever the Secretary issues such a waiver, the Secretary

shall notify the congressional defense committees in writing.\'\'.

\(2\) The table of sections at the beginning of subchapter I of such

chapter is amended by inserting after the item relating to section 2244

the following new item:

\`\`2244a. Equipment scheduled for retirement or disposal: limitation on

expenditures for modifications.\'\'.

\(b\) Conforming Repeal.\--Section 8053 of the Department of Defense

Appropriations Act, 1998 (10 U.S.C. 2241 note), is repealed.

SEC. 1043. ADDITIONAL DEFINITIONS FOR PURPOSES OF TITLE 10, UNITED

STATES CODE.

\(a\) General Definitions.\--Section 101(a) of title 10, United States

Code, is amended by adding at the end the following new paragraphs:

\`\`(16) The term \`congressional defense committees\' means\--

\`\`(A) the Committee on Armed Services and the

Committee on Appropriations of the Senate; and

\`\`(B) the Committee on Armed Services and the

Committee on Appropriations of the House of

Representatives.

\`\`(17) 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).\'\'.

\(b\) References to Congressional Defense Committees.\--Title 10,

United States Code, is further amended as follows:

\(1\) Section 135(e) is amended\--

\(A\) by striking \`\`(1)\'\';

\(B\) by striking \`\`each congressional committee

specified in paragraph (2)\'\' and inserting \`\`each of

the congressional defense committees\'\'; and

\(C\) by striking paragraph (2).

\(2\) Section 153(c) is amended\--

\(A\) by striking \`\`committees of Congress named in

paragraph (2)\'\' and inserting \`\`congressional defense

committees\'\';

\(B\) by striking paragraph (2); and

\(C\) by designating the second sentence of paragraph

\(1\) as paragraph (2) and in that paragraph (as so

designated) by striking \`\`The report\'\' and inserting

\`\`Each report under paragraph (1)\'\'.

\(3\) Section 181(d)(2) is amended\--

\(A\) by striking \`\`subsection:\'\' and all that

follows through \`\`oversight\'\' and inserting

\`\`subsection, the term \`oversight\'\'; and

\(B\) by striking subparagraph (B).

\(4\) Section 224 is amended by striking subsection (f).

\(5\) Section 228(e) is amended\--

\(A\) by striking \`\`Definitions\'\' and all that

follows through \`\`(1) The term\'\' and inserting \`\`O&M

Budget Activity Defined.\--In this section, the term\'\';

and

\(B\) by striking paragraph (2).

\(6\) Section 229 is amended by striking subsection (f).

\(7\) Section 1107(f)(4) is amended by striking subparagraph

(C).

\(8\) Section 2216(j) is amended by striking paragraph (3).

\(9\) Section 2218(l) is amended\--

\(A\) by striking paragraph (4); and

\(B\) by redesignating paragraph (5) as paragraph

(4).

\(10\) Section 2306b(l) is amended\--

\(A\) by striking paragraph (9); and

\(B\) by redesignating paragraph (10) as paragraph

(9).

\(11\) Section 2308(e)(2) is amended\--

\(A\) by striking subparagraph (A); and

\(B\) by redesignating subparagraphs (B) and (C) as

subparagraphs (A) and (B), respectively.

\(12\) Section 2366(e) is amended\--

\(A\) by striking paragraph (7); and

\(B\) by redesignating paragraphs (8) and (9) as

paragraphs (7) and (8), respectively.

\(13\) Section 2399(h) is amended\--

\(A\) by striking \`\`Definitions.\--\'\' and all that

follows through \`\`(1) The term\'\' and inserting

\`\`Operational Test and Evaluation Defined.\--In this

section, the term\'\';

\(B\) by striking paragraph (2);

\(C\) by redesignating subparagraphs (A), (B), and

\(C\) as paragraphs (1), (2), and (3), respectively; and

\(D\) by realigning those paragraphs (as so

redesignated) so as to be indented two ems from the

left margin.

\(14\) Section 2667(h) is amended by striking paragraph (1).

\(15\) Section 2688(e)(1) is amended by striking \`\`the

Committee on\'\' the first place it appears and all that follows

through \`\`House of Representatives\'\' and inserting \`\`the

congressional defense committees\'\'.

\(16\) Section 2801(c)(4) is amended by striking \`\`the

Committee on\'\' the first place it appears and all that follows

through \`\`House of Representatives\'\' and inserting \`\`the

congressional defense committees\'\'.

\(c\) References to Base Closure Laws.\--Title 10, United States Code,

is further amended as follows:

\(1\) Section 2306c(h) is amended by striking \`\`Additional\'\'

and all that follows through \`\`(2) The term\'\' and inserting

\`\`Military Installation Defined.\--In this section, the term\'\'.

\(2\) Section 2490a(f) is amended\--

\(A\) by striking \`\`Definitions.\--\'\' and all that

follows through \`\`(1) The term\'\' and inserting

\`\`Nonappropriated Fund Instrumentality Defined.\--In

this section, the term\'\'; and

\(B\) by striking paragraph (2).

\(3\) Section 2667(h), as amended by subsection (b)(13), is

further amended by striking \`\`section:\'\' and all that follows

through \`\`(3) The term\'\' and inserting \`\`section, the term\'\'.

\(4\) Section 2696(e) is amended\--

\(A\) by striking paragraphs (1), (2), (3), and (4)

and inserting the following:

\`\`(1) A base closure law.\'\'; and

\(B\) by redesignating paragraph (6) as paragraph

(2).

\(5\) Section 2705 is amended by striking subsection (h).

\(6\) Section 2871 is amended by striking paragraph (2).

SEC. 1044. INCLUSION OF ANNUAL MILITARY CONSTRUCTION AUTHORIZATION

REQUEST IN ANNUAL DEFENSE AUTHORIZATION REQUEST.

\(a\) Inclusion of Military Construction Request.\--Section 113a(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) Authority to carry out military construction

projects, as required by section 2802 of this title.\'\'.

\(b\) Repeal of Separate Transmission of Request.\--(1) Section 2859

of such title is repealed.

\(2\) The table of sections at the beginning of subchapter III of

chapter 169 of such title is amended by striking the item relating to

section 2859.

SEC. 1045. TECHNICAL AND CLERICAL AMENDMENTS.

\(a\) Title 10, United States Code.\--Title 10, United States Code, is

amended as follows:

\(1\) The tables of chapters at the beginning of subtitle A,

and at the beginning of part IV of subtitle A, are amended by

striking \`\`2701\'\' in the item relating to chapter 160 and

inserting \`\`2700\'\'.

\(2\) Section 101(a)(9)(D) is amended by striking

\`\`Transportation\'\' and inserting \`\`Homeland Security\'\'.

\(3\) Section 2002(a)(2) is amended by striking \`\`Foreign

Service Institute\'\' and inserting \`\`George P. Schultz National

Foreign Affairs Training Center\'\'.

(4)(A) Section 2248 is repealed.

\(B\) The table of sections at the beginning of chapter 134

is amended by striking the item relating to section 2248.

\(5\) Section 2305a(c) is amended by striking \`\`the Brooks

Architect-Engineers Act (40 U.S.C. 541 et seq.)\'\' and inserting

\`\`chapter 11 of title 40\'\'.

\(6\) Section 2432(h)(1) is amended by inserting \`\`program\'\'

in the first sentence after \`\`for such\'\'.

\(7\) Section 7305(d) is amended by inserting \`\`such\'\' before

\`\`title III\'\'.

\(b\) Title 37, United States Code.\--Title 37, United States Code, is

amended as follows:

\(1\) Section 323(a) is amended by striking \`\`1 year\'\' in

paragraphs (1) and (2) and inserting \`\`one year\'\'.

\(2\) Section 402(b) is amended\--

\(A\) by striking paragraph (1); and

\(B\) in paragraph (2), by striking \`\`On and after

January 1, 2002, the\'\' and inserting \`\`The\'\'.

\(c\) Floyd D. Spence National Defense Authorizaton Act for Fiscal

Year 2001.\--The Floyd D. Spence National Defense Authorization Act for

Fiscal Year 2001 (as enacted into law by Public Law 106-398) is amended

as follows:

\(1\) Section 1308(c) (22 U.S.C. 5959) is amended\--

\(A\) by redesignating paragraph (7) as paragraph

(8); and

\(B\) by redesignating the second paragraph (6) as

paragraph (7).

\(2\) Section 814 (10 U.S.C. 1412 note) is amended in

subsection (d)(1) by striking \`\`the Clinger-Cohen Act of 1996

(divisions D and E of Public Law 104-106)\'\' and inserting

\`\`subtitle III of title 40, United States Code\'\'.

\(d\) National Defense Authorization Act for Fiscal Year 2000.\--

Section 1305 of the National Defense Authorization Act for Fiscal Year

2000 (Public Law 106-65; 22 U.S.C. 5952 note) is amended by striking

the second period at the end.

\(e\) Strom Thurmond National Defense Authorization Act for Fiscal

Year 1999.\--Section 819(a) of the Strom Thurmond National Defense

Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat.

2089\) is amended by striking \`\`section 201(c) of the Federal Property

and Administrative Services Act of 1949 (40 U.S.C. 481(c)),\'\' and

inserting \`\`section 503 of title 40, United States Code,\'\'.

\(f\) National Defense Authorization Act for Fiscal Year 1997.\--

Section 1084(e) of the National Defense Authorization Act for Fiscal

Year 1997 (Public Law 104-201; 110 Stat. 2675) is amended by striking

\`\`98-515\'\' and inserting \`\`98-525\'\'. The amendment made by the

preceding sentence shall take effect as if included in Public Law 104-

201\.

\(g\) Federal Acquisition Streamlining Act of 1994.\--Subsection (d)

of section 1004 of the Federal Acquisition Streamlining Act of 1994

(Public Law 103-355; 108 Stat, 3253) is amended by striking
\`\`under\--\'\'

and all that follows through the end of paragraph (2) and inserting

\`\`under chapter 11 of title 40, United States Code.\'\'.

\(h\) Armed Forces Retirement Home Act of 1991.\--Section

1520(b)(1)(C) of the Armed Forces Retirement Home Act of 1991 (24

U.S.C. 420(b)(1)(C)) is amended by inserting \`\`Armed Forces\'\' before

\`\`Retirement Home Trust Fund\'\'.

SEC. 1046. AUTHORITY TO PROVIDE LIVING QUARTERS FOR CERTAIN STUDENTS IN

COOPERATIVE AND SUMMER EDUCATION PROGRAMS OF THE NATIONAL

SECURITY AGENCY.

Section 2195 of title 10, United States Code, is amended by adding

at the end the following new subsection:

\`\`(d)(1) The Director of the National Security Agency may provide a

qualifying employee of a defense laboratory of that Agency with living

quarters at no charge, or at a rate or charge prescribed by the

Director by regulation, without regard to section 5911(c) of title 5.

\`\`(2) In this subsection, the term \`qualifying employee\' means a

student who is employed at the National Security Agency under\--

\`\`(A) a Student Educational Employment Program of the

Agency conducted under this section or any other provision of

law; or

\`\`(B) a similar cooperative or summer education program of

the Agency that meets the criteria for Federal cooperative or

summer education programs prescribed by the Office of Personnel

Management.\'\'.

SEC. 1047. USE OF DRUG INTERDICTION AND COUNTER-DRUG FUNDS TO SUPPORT

ACTIVITIES OF THE GOVERNMENT OF COLOMBIA.

\(a\) Authority to Provide Assistance.\--During fiscal years 2004 and

2005, the Secretary of Defense may use funds made available to the

Department of Defense for drug interdiction and counter-drug activities

to provide assistance to the Government of Colombia\--

\(1\) to support a unified campaign against narcotics

trafficking in Colombia;

\(2\) to support a unified campaign against activities by

designated terrorist organizations, such as the Revolutionary

Armed Forces of Colombia (FARC), the National Liberation Army

(ELN), and the United Self-Defense Forces of Colombia (AUC);

and

\(3\) to take actions to protect human health and welfare in

emergency circumstances, including undertaking rescue

operations.

\(b\) Relation to Other Assistance Authority.\--The authority provided

by subsection (a) is in addition to other provisions of law authorizing

the provision of assistance to the Government of Colombia.

SEC. 1048. AUTHORITY FOR JOINT TASK FORCES TO PROVIDE SUPPORT TO LAW

ENFORCEMENT AGENCIES CONDUCTING COUNTER-TERRORISM

ACTIVITIES.

\(a\) Authority.\--A joint task force of the Department of Defense

that provides support to law enforcement agencies conducting counter-

drug activities may also provide, consistent with all applicable laws

and regulations, support to law enforcement agencies conducting

counter-terrorism activities.

\(b\) Conditions.\--Any support provided under subsection (a) may only

be provided in the geographic area of responsibility of the joint task

force.

SEC. 1049. USE OF NATIONAL DRIVER REGISTER FOR PERSONNEL SECURITY

INVESTIGATIONS AND DETERMINATIONS.

Section 30305(b) of title 49, United States Code, is amended\--

\(1\) by redesignating paragraphs (9) through (11) as

paragraphs (10) through (12), respectively; and

\(2\) by inserting after paragraph (8) the following new

paragraph:

\`\`(9) An individual who is being investigated for\--

\`\`(A) eligibility for access to a particular level of

classified information for purposes of Executive Order No.

12968, or any successor Executive order; or

\`\`(B) Federal employment under authority of Executive Order

No. 10450, or any successor Executive order,

may request the chief driver licensing official of a State to provide

information about the individual pursuant to subsection (a) of this

section to a Federal department or agency that is authorized to

investigate the individual for the purpose of assisting in the

determination of the eligibility of the individual for access to

classified information or for Federal employment. A Federal department

or agency that receives such information about an individual may use it

in accordance with applicable law. Information may not be obtained from

the Register under this paragraph if the information was entered in the

Register more than 3 years before the request, unless the information

is about a revocation or suspension still in effect on the date of the

request.\'\'.

SEC. 1050. PROTECTION OF OPERATIONAL FILES OF THE NATIONAL SECURITY

AGENCY.

The National Security Agency Act of 1959 (50 U.S.C. 402 note) is

amended by adding at the end the following new section:

\`\`Sec. 19. (a) Exemption of Certain Operational Files From Search,

Review, Publication, or Disclosure.\--(1) The Director of the National

Security Agency, with the coordination of the Director of Central

Intelligence, may exempt operational files of the National Security

Agency from the provisions of section 552 of title 5, United States

Code, which require publication, disclosure, search, or review in

connection therewith.

\`\`(2)(A) Subject to subparagraph (B), for the purposes of this

section, the term \`operational files\' means files of the National

Security Agency that document the means by which foreign intelligence

or counterintelligence is collected through technical systems.

\`\`(B) Files that contain disseminated intelligence are not

operational files.

\`\`(3) Notwithstanding paragraph (1), exempted operational files

shall continue to be subject to search and review for information

concerning\--

\`\`(A) United States citizens or aliens lawfully admitted

for permanent residence who have requested information on

themselves pursuant to the provisions of section 552 of title 5

or section 552a of title 5, United States Code;

\`\`(B) any special activity the existence of which is not

exempt from disclosure under the provisions of section 552 of

title 5, United States Code; or

\`\`(C) the specific subject matter of an investigation by

any of the following for any impropriety, or violation of law,

Executive order, or Presidential directive, in the conduct of

an intelligence activity:

\`\`(i) The Permanent Select Committee on

Intelligence of the House of Representatives.

\`\`(ii) The Select Committee on Intelligence of the

Senate.

\`\`(iii) The Intelligence Oversight Board.

\`\`(iv) The Department of Justice.

\`\`(v) The Office of General Counsel of the National

Security Agency.

\`\`(vi) The Office of the Director of the National

Security Agency.

\`\`(4)(A) Files that are not exempted under paragraph (1) which

contain information derived or disseminated from exempted operational

files shall be subject to search and review.

\`\`(B) The inclusion of information from exempted operational files

in files that are not exempted under paragraph (1) shall not affect the

exemption under paragraph (1) of the originating operational files from

search, review, publication, or disclosure.

\`\`(C) The declassification of some of the information contained in

exempted operational files shall not affect the status of the

operational file as being exempt from search, review, publication, or

disclosure.

\`\`(D) Records from exempted operational files which have been

disseminated to and referenced in files that are not exempted under

paragraph (1) and which have been returned to exempted operational

files for sole retention shall be subject to search and review.

\`\`(5) The provisions of paragraph (1) may not be superseded except

by a provision of law which is enacted after the date of the enactment

of this section, and which specifically cites and repeals or modifies

its provisions.

\`\`(6)(A) Except as provided in subparagraph (B), whenever any

person who has requested agency records under section 552 of title 5,

United States Code, alleges that the National Security Agency has

withheld records improperly because of failure to comply with any

provision of this section, judicial review shall be available under the

terms set forth in section 552(a)(4)(B) of title 5, United States Code.

\`\`(B) Judicial review shall not be available in the manner provided

for under subparagraph (A) as follows:

\`\`(i) In any case in which information specifically

authorized under criteria established by an Executive order to

be kept secret in the interests of national defense or foreign

relations which is filed with, or produced for, the court by

the National Security Agency, such information shall be

examined ex parte, in camera by the court.

\`\`(ii) The court shall, to the fullest extent practicable,

determine the issues of fact based on sworn written submissions

of the parties.

\`\`(iii) When a complainant alleges that requested records

are improperly withheld because of improper placement solely in

exempted operational files, the complainant shall support such

allegation with a sworn written submission based upon personal

knowledge or otherwise admissible evidence.

\`\`(iv)(I) When a complainant alleges that requested records

were improperly withheld because of improper exemption of

operational files, the National Security Agency shall meet its

burden under section 552(a)(4)(B) of title 5, United States

Code, by demonstrating to the court by sworn written submission

that exempted operational files likely to contain responsive

records currently perform the functions set forth in paragraph

(2).

\`\`(II) The court may not order the National Security Agency

to review the content of any exempted operational file or files

in order to make the demonstration required under subclause

(I), unless the complainant disputes the National Security

Agency\'s showing with a sworn written submission based on

personal knowledge or otherwise admissible evidence.

\`\`(v) In proceedings under clauses (iii) and (iv), the

parties may not obtain discovery pursuant to rules 26 through

36 of the Federal Rules of Civil Procedure, except that

requests for admission may be made pursuant to rules 26 and 36.

\`\`(vi) If the court finds under this paragraph that the

National Security Agency has improperly withheld requested

records because of failure to comply with any provision of this

subsection, the court shall order the Agency to search and

review the appropriate exempted operational file or files for

the requested records and make such records, or portions

thereof, available in accordance with the provisions of section

552 of title 5, United States Code, and such order shall be the

exclusive remedy for failure to comply with this subsection.

\`\`(vii) If at any time following the filing of a complaint

pursuant to this paragraph the National Security Agency agrees

to search the appropriate exempted operational file or files

for the requested records, the court shall dismiss the claim

based upon such complaint.

\`\`(viii) Any information filed with, or produced for the

court pursuant to clauses (i) and (iv) shall be coordinated

with the Director of Central Intelligence prior to submission

to the court.

\`\`(b) Decennial Review of Exempted Operational Files.\--(1) Not less

than once every 10 years, the Director of the National Security Agency

and the Director of Central Intelligence shall review the exemptions in

force under subsection (a)(1) to determine whether such exemptions may

be removed from the category of exempted files or any portion thereof.

The Director of Central Intelligence must approve any determination to

remove such exemptions.

\`\`(2) The review required by paragraph (1) shall include

consideration of the historical value or other public interest in the

subject matter of the particular category of files or portions thereof

and the potential for declassifying a significant part of the

information contained therein.

\`\`(3) A complainant that alleges that the National Security Agency

has improperly withheld records because of failure to comply with this

subsection may seek judicial review in the district court of the United

States of the district in which any of the parties reside, or in the

District of Columbia. In such a proceeding, the court\'s review shall be

limited to determining the following:

\`\`(A) Whether the National Security Agency has conducted

the review required by paragraph (1) before the expiration of

the 10-year period beginning on the date of the enactment of

this section or before the expiration of the 10-year period

beginning on the date of the most recent review.

\`\`(B) Whether the National Security Agency, in fact,

considered the criteria set forth in paragraph (2) in

conducting the required review.\'\'.

SEC. 1051. ASSISTANCE FOR STUDY OF FEASIBILITY OF BIENNIAL UNITED

STATES INTERNATIONAL AIR TRADE SHOW AND FOR INITIAL

IMPLEMENTATION.

\(a\) Assistance for Feasibility Study.\--(1) The Secretary of Defense

shall provide assistance to the nonprofit organization named United

States Air and Trade Show Inc. for expenses of a study by that

organization of the feasibility of the establishment and operation of a

biennial United States international air trade show.

\(2\) The Secretary shall provide for the organization specified in

paragraph (1) to submit to the Secretary a report containing the

results of the study not later than September 30, 2004. The Secretary

shall promptly submit the report to Congress, together with such

comments on the report as the Secretary considers appropriate.

\(b\) Assistance for Implementation.\--If the organization conducting

the study under subsection (a) determines that the establishment and

operation of such an air show is feasible and should be implemented,

the Secretary shall provide assistance to that organization for the

initial expenses of implementing such an air show.

\(c\) Amount of Assistance.\--The amount of assistance provided by the

Secretary under subsections (a) and (b)\--

\(1\) may not exceed a total of \$1,000,000, to be derived

from amounts available for operation and maintenance for the

Air Force for fiscal year 2004; and

\(2\) may not exceed one-half of the cost of the study and

may not exceed one-half the cost of such initial

implementation.

SEC. 1052. CONTINUATION OF REASONABLE ACCESS TO MILITARY INSTALLATIONS

FOR PERSONAL COMMERCIAL SOLICITATION.

\(a\) Continued Access to Members.\--Section 2679 of title 10, United

States Code, is amended\--

\(1\) in subsection (a), by inserting \`\`Access by

Representatives of Veterans\' Organizations.\--(1)\'\' before

\`\`Upon certification\'\';

\(2\) by redesignating subsections (b) and (c) as paragraphs

\(2\) and (3), respectively;

\(3\) in paragraph (2), as so redesignated, by striking

\`\`subsection (a)\'\' and inserting \`\`paragraph (1)\'\';

\(4\) in paragraph (3), as so redesignated, by striking

\`\`section\'\' and inserting \`\`subsection\'\';

\(5\) by redesignating subsection (d) as subsection (c); and

\(6\) by inserting before such subsection the following new

subsection (b):

\`\`(b) Access for Personal Commercial Solicitation.\--An amendment or

other revision to a Department of Defense directive relating to access

to military installations for the purpose of conducting limited

personal commercial solicitation shall not take effect until the end of

the 90-day period beginning on the date the Secretary of Defense

submits to Congress notice of the amendment or revision and the reasons

therefor.\'\'.

\(b\) Clerical Amendments.\--(1) The heading of such section is

amended to read as follows:

\`\`Sec. 2679. Access to and use of space and equipment at military

installations: representatives of veterans\' organizations

and other persons\'\'.

\(2\) The item relating to such section in the table of sections at

the beginning of chapter 159 of such title is amended to read as

follows:

\`\`2679. Access to and use of space and equipment at military

installations: representatives of veterans\'

organizations and other persons.\'\'.

SEC. 1053. COMMISSION ON NUCLEAR STRATEGY OF THE UNITED STATES.

\(a\) Establishment of Commission.\--

\(1\) Establishment.\--There is hereby established a

commission to be known as the \`\`Commission on Nuclear Strategy

of the United States\'\' (hereinafter this this section referred

to as the \`\`Commission\'\'). The Secretary of Defense, in

consultation with the Secretary of Energy, shall enter into a

contract with a federally funded research and development

center to provide for the organization, management, and suport

of the Commission.

\(2\) Composition.\--(A) The Commission shall be composed of

12 members appointed by the Secretary of Defense. In selecting

individuals for appointment to the Commission, the Secretary of

Defense shall consult with the chairman and ranking minority

member of the Committee on Armed Services of the Senate and the

chairman and ranking minority member of the Committee on Armed

Services of the House of Representatives.

\(B\) Members of the Commission shall be appointed from among

private United States citizens with knowledge and expertise in

the political, military, operational, and technical aspects of

nuclear strategy.

\(3\) Chairman of the commission.\--The Secretary of Defense

shall designate one of the members of the Commission to serve

as chairman of the Commission.

\(4\) 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.

\(5\) Security clearances.\--All members of the Commission

shall hold appropriate security clearances.

\(b\) Duties of Commission.\--

\(1\) Review of nuclear strategy.\--The Commission shall

consider all matters of policy, force structure, nuclear

stockpile stewardship, estimates of threats and force

requirements, and any other issue the Commission may consider

necessary in order to assess and make recommendations about

current United States nuclear strategy as envisioned in the

National Security Strategy of the United States and the Nuclear

Posture Review, as well as possible alternative future

strategies.

\(2\) Assessment of range of nuclear strategies.\--The

Commission shall assess possible future nuclear strategies for

the United States that could be pursued over the next 20 years.

\(3\) Relations with russia.\--The Commission shall give

special attention to assessing how the United States goal of

strengthening partnership with Russia may be advanced or

adversely affected by each of the possible nuclear strategies

considered. The Commission shall also assess how relations with

China, and the overall global security environment, may be

affected by each of those possible nuclear strategies.

\(4\) Other matters to be included.\--For each of the possible

nuclear strategies considered, the Commission shall include in

its report under subsection (c)(1), at a minimum, the

following:

\(A\) A discussion of the policy defining the

deterrence and military-political objectives of the

United States against potential adversaries.

\(B\) A discussion of the military requirements for

United States forces, the force structure and

capabilities necessary to meet those requirements, and

how they relate to the achievement of the objectives

identified under subparagraph (A).

\(C\) Appropriate quantitative and qualitative

analysis, including force-on-force exchange modeling,

to calculate the effectiveness of the strategy under

various scenario conditions, including scenarios of

strategic and tactical surprise.

\(D\) An assessment of the role of missile defenses

in the strategy, the dependence of the strategy on

missile defense effectiveness, and the effect of

missile defenses on the threat environment.

\(E\) An assessment of the implications of the

proliferation of missiles and weapons of mass

destruction, the proliferation of underground

facilities and mobile launch platforms, and China\'s

modernization of strategic forces.

\(F\) An assessment of the implications of

asymmetries between the United States and Russia,

including doctrine, nonstrategic nuclear weapons, and

active and passive defenses.

\(G\) An assessment of strategies or options for

dealing with nuclear capable nations that may provide

nuclear weapons to terrorist or transnational groups.

\(H\) An assessment of the contribution of non-

proliferation strategies and programs to the overall

security of the United States and how those strategies

and programs may affect the overall requirements of

future nuclear strategy.

\(I\) An assessment of the effect of the strategy on

the nuclear programs of emerging nuclear weapons

states, including North Korea, Iran, Pakistan, and

India.

\(5\) Recommendations.\--The Commission shall include in its

report recommendations for any continuities or changes in

nuclear strategy it believes should be taken to enhance the

national security of the United States.

\(6\) Cooperation from government officials.\--(A) In carrying

out its duties, the Commission shall receive the full and

timely cooperation of the Secretary of Defense, the Secretary

of Energy, and any other United States Government official in

providing the Commission with analyses, briefings, and other

information necessary for the fulfillment of its

responsibilities.

\(B\) The Secretary of Energy and the Secretary of Defense

shall each designate at least one officer or employee of the

Department of Energy and the Department of Defense,

respectively, to serve as a liaison officer between the

department and the Commission. The Director of Central

Intelligence may designate at least one officer or employee of

the Central Intelligence Agency to serve as a liaison officer

between that agency and the Commission.

\(c\) Reports.\--

\(1\) Commission report.\--The Commission shall submit to the

Secretary of Defense and to the Committees on Armed Services of

the Senate and House of Representatives a report on the

Commission\'s findings and conclusions not later than 18 months

after the date of its first meeting.

\(2\) Secretary of defense response.\--Not later than one year

after the date on which the Commission submits its report under

paragraph (1), the Secretary of Defense shall submit to

Congress a report\--

\(A\) commenting on the Commission\'s findings and

conclusions; and

\(B\) explaining what actions, if any, the Secretary

intends to take to implement the recommendations of the

Commission and, with respect to each such

recommendation, the Secretary\'s reasons for

implementing, or not implementing, the recommendation.

\(d\) Hearings and Procedures.\--

\(1\) Hearings.\--The Commission may, for the purpose of

carrying out the purposes of this section, hold hearings and

take testimony.

\(2\) Procedures.\--The federally funded research and

development center referred to in subsection (a)(1) shall be

responsible for establishing appropriate procedures for the

Commission.

\(3\) 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.

\(e\) Funding.\--Funds for activities of the Commission shall be

provided from amounts appropriated for the Department of Defense.

\(f\) Termination of Commission.\--The Commission shall terminate 60

days after the date of the submission of its report under subsection

(c)(1).

\(g\) Implementation.\--

\(1\) FFRDC contract.\--The Secretary of Defense shall enter

into the contract required under subsection (a)(1) not later

than 60 days after the date of the enactment of this Act.

\(2\) First meeting.\--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. 1054. EXTENSION OF COUNTERPROLIFERATION PROGRAM REVIEW COMMITTEE.

Section 1605(f) of the National Defense Authorization Act for

Fiscal Year 1994 (22 U.S.C. 2751 note) is amended by striking

\`\`September 30, 2004\'\' and inserting \`\`September 30, 2008\'\'.

SEC. 1055. ASSIGNMENT OF MEMBERS TO ASSIST BUREAU OF BORDER SECURITY

AND BUREAU OF CITIZENSHIP AND IMMIGRATION SERVICES OF THE

DEPARTMENT OF HOMELAND SECURITY.

\(a\) Assignment Authority of Secretary of Defense.\--Chapter 18 of

title 10, United States Code, is amended by inserting after section 374

the following new section:

\`\`Sec. 374a. Assignment of members to assist border patrol and control

\`\`(a) Assignment Authorized.\--Upon submission of a request

consistent with subsection (b), the Secretary of Defense may assign

members of the Army, Navy, Air Force, and Marine Corps to assist\--

\`\`(1) the Bureau of Border Security of the Department of

Homeland Security in preventing the entry of terrorists, drug

traffickers, and illegal aliens into the United States; and

\`\`(2) the United States Customs Service of the Department

of Homeland Security in the inspection of cargo, vehicles, and

aircraft at points of entry into the United States to prevent

the entry of weapons of mass destruction, components of weapons

of mass destruction, prohibited narcotics or drugs, or other

terrorist or drug trafficking items.

\`\`(b) Request for Assignment.\--The assignment of members under

subsection (a) may occur only if\--

\`\`(1) the assignment is at the request of the Secretary of

Homeland Security; and

\`\`(2) the request is accompanied by a certification by the

Secretary of Homeland Security that the assignment of members

pursuant to the request is necessary to respond to a threat to

national security posed by the entry into the United States of

terrorists, drug traffickers, or illegal aliens.

\`\`(c) Training Program Required.\--The Secretary of Homeland

Security and the Secretary of Defense, shall establish a training

program to ensure that members receive general instruction regarding

issues affecting law enforcement in the border areas in which the

members may perform duties under an assignment under subsection (a). A

member may not be deployed at a border location pursuant to an

assignment under subsection (a) until the member has successfully

completed the training program.

\`\`(d) Conditions of Use.\--(1) Whenever a member who is assigned

under subsection (a) to assist the Bureau of Border Security or the

United States Customs Service is performing duties at a border location

pursuant to the assignment, a civilian law enforcement officer from the

agency concerned shall accompany the member.

\`\`(2) Nothing in this section shall be construed to\--

\`\`(A) authorize a member assigned under subsection (a) to

conduct a search, seizure, or other similar law enforcement

activity or to make an arrest; and

\`\`(B) supersede section 1385 of title 18 (popularly known

as the \`Posse Comitatus Act\').

\`\`(e) Establishment of Ongoing Joint Task Forces.\--(1) The

Secretary of Homeland Security may establish ongoing joint task forces

if the Secretary of Homeland Security determines that the joint task

force, and the assignment of members to the joint task force, is

necessary to respond to a threat to national security posed by the

entry into the United States of terrorists, drug traffickers, or

illegal aliens.

\`\`(2) If established, the joint task force shall fully comply with

the standards as set forth in this section.

\`\`(f) Notification Requirements.\--The Secretary of Homeland

Security shall provide to the Governor of the State in which members

are to be deployed pursuant to an assignment under subsection (a) and

to local governments in the deployment area notification of the

deployment of the members to assist the Department of Homeland Security

under this section and the types of tasks to be performed by the

members.

\`\`(g) Reimbursement Requirement.\--Section 377 of this title shall

apply in the case of members assigned under subsection (a).

\`\`(h) Termination of Authority.\--No assignment may be made or

continued under subsection (a) after September 30, 2005.\'\'.

\(b\) Commencement of Training Program.\--The training program

required by subsection (b) of section 374a of title 10, United States

Code, shall be established as soon as practicable after the date of the

enactment of this Act.

\(c\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by inserting after the item relating to section

374 the following new item:

\`\`374a. Assignment of members to assist border patrol and
control.\'\'.

SEC. 1056. REPORT CONCERNING STRATEGIC NUCLEAR WARHEADS DISMANTLED

PURSUANT TO THE TREATY BETWEEN THE UNITED STATES OF

AMERICA AND THE RUSSIAN FEDERATION ON STRATEGIC OFFENSIVE

REDUCTIONS.

Not later than 60 days after the exchange of instruments of

ratification of the Treaty Between the United States of America and the

Russian Federation on Strategic Offensive Reductions or 60 days after

the date of the enactment of this Act, whichever occurs last, and on

February 15 of each subsequent year, the President shall submit to

Congress a report concerning any strategic nuclear warheads dismantled

within the boundaries of the treaty during the preceding calendar year

and any such warheads to be dismantled in that calendar year, pursuant

to such treaty. During the one-year period beginning on the date of the

exchange of instruments of ratification of such treaty, any such report

shall not include information concerning any dismantling of warheads

during the preceding calendar year.

SEC. 1057. PILOT PROGRAM TO IMPROVE USE OF AIR FORCE AND AIR NATIONAL

GUARD MODULAR AIRBORNE FIRE-FIGHTING SYSTEMS TO FIGHT

WILDFIRES.

\(a\) Temporary Exception to Economy Act Requirement.\--

Notwithstanding section 1535(a)(4) of title 31, United States Code, the

Secretary of the Interior and the Secretary of Agriculture may procure

the services of military aircraft (and personnel of the Armed Forces to

operate and maintain such aircraft) of Air Force and Air National Guard

Modular Airborne Fire-Fighting Systems units in California, Colorado,

North Carolina, and Wyoming to fight a wildfire without first comparing

the cost and convenience of procuring such services from such source to

the cost of procuring the same services from a commercial enterprise.

\(b\) Duration of Pilot Program.\--The authority provided by

subsection (a) expires December 31, 2005.

\(c\) Reporting Requirement.\--Not later than February 1, 2005, the

Secretary of the Interior and the Secretary of Agriculture shall submit

to Congress a report describing\--

\(1\) the use of the exception provided in subsection (a) to

expedite the procurement of the services of Air Force and Air

National Guard Modular Airborne Fire-Fighting Systems units to

fight wildfires; and

\(2\) the ability of these units in responding to wildfires

in a timely and effective manner.

SEC. 1058. STUDY ON FEASIBILITY OF USE OF SMALL BUSINESSES, MINORITY-

OWNED BUSINESSES, AND WOMEN-OWNED BUSINESSES IN EFFORTS

TO REBUILD IRAQ.

The Secretary of Defense shall commission a study of the

feasibility of using small businesses, minority-owned businesses, and

women-owned businesses in the United States\' efforts to rebuild Iraq.

The study shall include the development of outreach procedures to

provide, to small businesses, minority-owned businesses, and women-

owned businesses, information on participating in rebuilding Iraq.

SEC. 1059. SENSE OF CONGRESS REGARDING CONTINUATION OF MISSION AND

FUNCTIONS OF ARMY PEACEKEEPING INSTITUTE.

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

maintain the functions and missions of the Army Peacekeeping Institute

at the Army War College in Carlisle, Pennsylvania, or within a joint

entity of the Department of Defense, such as the National Defense

University or the Joint Forces Command, to ensure that members of the

Armed Forces continue to study the strategic challenges and uses of

peacekeeping missions and to prepare the Armed Forces for conducting

such missions.

SEC. 1060. ASSESSMENT OF EFFECTS OF SPECIFIED STATUTORY LIMITATIONS ON

THE GRANTING OF SECURITY CLEARANCES.

Not later than 60 days after the date of the enactment of this Act,

the Secretary of Defense shall submit to the Committee on Armed

Services of the Senate and the Committee on Armed Services of the House

of Representatives an assessment of the effects of the provisions of

section 986 of title 10, United States Code (relating to limitations on

security clearances), on the granting (or renewal) of security

clearances for Department of Defense personnel and defense contractor

personnel. The assessment shall review the affects of the

disqualification factors specified in subsection (c) of that section

and shall include such recommendations for legislation or

administrative steps as the Secretary considers necessary.

TITLE XI\--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

Subtitle A\--Department of Defense Civilian Personnel Generally

SEC. 1101. MODIFICATION OF THE OVERTIME PAY CAP.

Section 5542(a)(2) of title 5, United States Code, is amended\--

\(1\) by inserting \`\`the greater of\'\' before \`\`one and one-

half\'\'; and

\(2\) by inserting \`\`or the hourly rate of basic pay of the

employee\'\' after \`\`law)\'\' the second place it appears.

SEC. 1102. MILITARY LEAVE FOR MOBILIZED FEDERAL CIVILIAN EMPLOYEES.

\(a\) In General.\--Subsection (b) of section 6323 of title 5, United

States Code, is amended\--

\(1\) in paragraph (2)\--

\(A\) by redesignating subparagraphs (A) and (B) as

clauses (i) and (ii), respectively, and at the end of

clause (ii), as so redesignated, by inserting \`\`or\'\';

and

\(B\) by inserting \`\`(A)\'\' after \`\`(2)\'\'; and

\(2\) by inserting the following before the text beginning

with \`\`is entitled\'\':

\`\`(B) performs full-time military service as a result of a

call or order to active duty in support of a contingency

operation as defined in section 101(a)(13) of title 10;\'\'.

\(b\) Effective Date.\--The amendments made by subsection (a) shall

apply to military service performed on or after the date of the

enactment of this Act.

SEC. 1103. COMMON OCCUPATIONAL AND HEALTH STANDARDS FOR DIFFERENTIAL

PAYMENTS AS A CONSEQUENCE OF EXPOSURE TO ASBESTOS.

\(a\) Prevailing Rate Systems.\--Section 5343(c)(4) of title 5, United

States Code, is amended by inserting before the semicolon at the end

the following: \`\`, and for any hardship or hazard related to asbestos,

such differentials shall be determined by applying occupational safety

and health standards consistent with the permissible exposure limit

promulgated by the Secretary of Labor under the Occupational Safety and

Health Act of 1970\'\'.

\(b\) General Schedule Pay Rates.\--Section 5545(d) of such title is

amended by inserting before the period at the end of the first sentence

the following: \`\`, and for any hardship or hazard related to asbestos,

such differentials shall be determined by applying occupational safety

and health standards consistent with the permissible exposure limit

promulgated by the Secretary of Labor under the Occupational Safety and

Health Act of 1970\'\'.

\(c\) Applicability.\--Subject to any vested constitutional property

rights, any administrative or judicial determination after the date of

enactment of this Act concerning backpay for a differential established

under sections 5343(c)(4) or 5545(d) of such title shall be based on

occupational safety and health standards described in the amendments

made by subsections (a) and (b).

SEC. 1104. INCREASE IN ANNUAL STUDENT LOAN REPAYMENT AUTHORITY.

Section 5379(b)(2)(A) of title 5, United States Code, is amended by

striking \`\`\$6,000\'\' and inserting \`\`\$10,000\'\'.

SEC. 1105. AUTHORIZATION FOR CABINET SECRETARIES, SECRETARIES OF

MILITARY DEPARTMENTS, AND HEADS OF EXECUTIVE AGENCIES TO

BE PAID ON A BIWEEKLY BASIS.

\(a\) Authorization.\--Section 5504 of title 5, United States Code, is

amended\--

\(1\) by redesignating subsection (c) as subsection (d);

\(2\) by striking the last sentence of both subsection (a)

and subsection (b); and

\(3\) by inserting after subsection (b) the following:

\`\`(c) For the purposes of this section:

\`\`(1) The term \`employee\' means\--

\`\`(A) an employee in or under an Executive agency;

\`\`(B) an employee in or under the Office of the

Architect of the Capitol, the Botanic Garden, and the

Library of Congress, for whom a basic administrative

workweek is established under section 6101(a)(5) of

this title; and

\`\`(C) an individual employed by the government of

the District of Columbia.

\`\`(2) The term \`employee\' does not include\--

\`\`(A) an employee on the Isthmus of Panama in the

service of the Panama Canal Commission; or

\`\`(B) an employee or individual excluded from the

definition of employee in section 5541(2) of this title

other than an employee or individual excluded by

clauses (ii), (iii), and (xiv) through (xvii) of such

section.

\`\`(3) Notwithstanding paragraph (2), an individual who

otherwise would be excluded from the definition of employee

shall be deemed to be an employee for purposes of this section

if the individual\'s employing agency so elects, under

guidelines in regulations promulgated by the Office of

Personnel Management under subsection (d)(2).\'\'.

\(b\) Guidelines.\--Subsection (d) of section 5504 of such title, as

redesignated by subsection (a), is amended\--

\(1\) by inserting \`\`(1)\'\' after \`\`(d)\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(2) The Office of Personnel Management shall provide guidelines

by regulation for exemptions to be made by the heads of agencies under

subsection (c)(3). Such guidelines shall provide for such exemptions

only under exceptional circumstances.\'\'.

SEC. 1106. SENIOR EXECUTIVE SERVICE AND PERFORMANCE.

\(a\) Senior Executive Pay.\--Chapter 53 of title 5, United States

Code, is amended\--

\(1\) in section 5304\--

\(A\) in subsection (g)(2)\--

\(i\) in subparagraph (A) by striking

\`\`subparagraphs (A)-(E)\'\' and inserting

\`\`subparagraphs (A)-(D)\'\'; and

\(ii\) in subparagraph (B) by striking

\`\`subsection (h)(1)(F)\'\' and inserting

\`\`subsection (h)(1)(D)\'\';

\(B\) in subsection (h)(1)\--

\(i\) by striking subparagraphs (B) and (C);

\(ii\) by redesignating subparagraphs (D),

(E), and (F) as subparagraphs (B), (C), and

(D), respectively;

\(iii\) in clause (ii) by striking \`\`or\'\' at

the end;

\(iv\) in clause (iii) by striking the period

and inserting a semicolon; and

\(v\) by adding at the end the following new

clauses:

\`\`(iv) a Senior Executive Service position under section

3132;

\`\`(v) a position in the Federal Bureau of Investigation and

Drug Enforcement Administration Senior Executive Service under

section 3151; or

\`\`(vi) a position in a system equivalent to the system in

clause (iv), as determined by the President\'s Pay Agent

designated under subsection (d).\'\'; and

\(C\) in subsection (h)(2)(B)\--

\(i\) in clause (i)\--

\(I\) by striking \`\`subparagraphs (A)

through (E)\'\' and inserting

\`\`subparagraphs (A) through (C)\'\'; and

\(II\) by striking \`\`clause (i) or

(ii)\'\' and inserting \`\`clause (i),

(ii), (iii), (iv), (v), or (vii)\'\'; and

\(ii\) in clause (ii)\--

\(I\) by striking \`\`paragraph

(1)(F)\'\' and inserting \`\`paragraph

(1)(D)\'\'; and

\(II\) by striking \`\`clause (i) or

(ii)\'\' and inserting \`\`clause (i),

(ii), (iii), (iv), (v), or (vi)\'\';

\(2\) by amending section 5382 to read as follows:

\`\`Sec. 5382. Establishment of rates of pay for the Senior Executive

Service

\`\`(a) Subject to regulations prescribed by the Office of Personnel

Management, there shall be established a range of rates of basic pay

for the Senior Executive Service, and each senior executive shall be

paid at one of the rates within the range, based on individual

performance, contribution to the agency\'s performance, or both, as

determined under a rigorous performance management system. The lowest

rate of the range shall not be less than the minimum rate of basic pay

payable under section 5376, and the highest rate, for any position

under this system or an equivalent system as determined by the

President\'s Pay Agent designated under section 5304(d), shall not

exceed the rate for level III of the Executive Schedule. The payment of

the rates shall not be subject to the pay limitation of section 5306(e)

or 5373.

\`\`(b) Notwithstanding the provisions of subsection (a), the

applicable maximum shall be level II of the Executive Schedule for any

agency that is certified under section 5307 as having a performance

appraisal system which, as designed and applied, makes meaningful

distinctions based on relative performance.

\`\`(c) No employee may suffer a reduction in pay by reason of

transfer from an agency with an applicable maximum rate of pay

prescribed under subsection (b) to an agency with an applicable maximum

rate of pay prescribed under subsection (a).\'\'; and

\(3\) in section 5383\--

\(A\) in subsection (a) by striking \`\`which of the

rates established under section 5382 of this title\'\'

and inserting \`\`which of the rates within a range

established under section 5382\'\'; and

\(B\) in subsection (c) by striking \`\`for any pay

adjustment under section 5382 of this title\'\' and

inserting \`\`as provided in regulations prescribed by

the Office under section 5385\'\'.

\(b\) Post-Employment Restrictions.\--(1) Clause (ii) of section

207(c)(2)(A) of title 18, United States Code is amended to read as

follows:

\`\`(ii) employed in a position which is not referred

to in clause (i) and for which that person is paid at a

rate of basic pay which is equal to or greater than 96

percent of the rate of basic pay for level II of the

Executive Schedule, or, for a period of 2 years

following the enactment of the National Defense

Authorization Act for Fiscal Year 2004, a person who,

on the day prior to the enactment of that Act, was

employed in a position which is not referred to in

clause (i) and for which the rate of basic pay,

exclusive of any locality-based pay adjustment under

section 5304 or section 5304a of title 5, was equal to

or greater than the rate of basic pay payable for level

5 of the Senior Executive Service on the day prior to

the enactment of that Act,\'\'.

\(2\) Subchapter I of chapter 73 of title 5, United States Code, is

amended by inserting at the end the following new section:

\`\`Sec. 7302. Post-employment notification

\`\`(a) Not later than the effective date of the amendments made by

section 1106 of the National Defense Authorization Act for Fiscal Year

2004, or 180 days after the date of enactment of that Act, whichever is

later, the Office of Personnel Management shall, in consultation with

the Attorney General and the Office of Government Ethics, promulgate

regulations requiring that each Executive branch agency notify any

employee of that agency who is subject to the provisions of section

207(c)(1) of title 18, as a result of the amendment to section

207(c)(2)(A)(ii) of that title by that Act.

\`\`(b) The regulations shall require that notice be given before, or

as part of, the action that affects the employee\'s coverage under

section 207(c)(1) of title 18, by virtue of the provisions of section

207(c)(2)(A)(ii) of that title, and again when employment or service in

the covered position is terminated.\'\'.

\(3\) The table of sections for chapter 73 of title 5, United States

Code, is amended by adding after the item relating to section 7301 the

following:

\`\`7302. Post-employment notification.\'\'.

\(c\) Effective Date and Applicability.\--(1) The amendments made by

this section shall take effect on the first day of the first pay period

beginning on or after the first January 1 following the date of

enactment of this section.

\(2\) The amendments made by subsection (a) may not result in a

reduction in the rate of basic pay for any senior executive during the

first year after the effective date of those amendments.

\(3\) For the purposes of paragraph (2), the rate of basic pay for a

senior executive shall be deemed to be the rate of basic pay set for

the senior executive under section 5383 of title 5, United States Code,

plus applicable locality pay paid to that senior executive, as of the

date of enactment of this Act.

SEC. 1107. DESIGN ELEMENTS OF PAY-FOR-PERFORMANCE SYSTEMS IN

DEMONSTRATION PROJECTS.

A pay-for-performance system may not be initiated under chapter 47

of title 5, United States Code, after the date of enactment of this

Act, unless it incorporates the following elements:

\(1\) adherence to merit principles set forth in section 2301

of such title;

\(2\) a fair, credible, and transparent employee performance

appraisal system;

\(3\) a link between elements of the pay-for-performance

system, the employee performance appraisal system, and the

agency\'s strategic plan;

\(4\) a means for ensuring employee involvement in the design

and implementation of the system;

\(5\) adequate training and retraining for supervisors,

managers, and employees in the implementation and operation of

the pay-for-performance system;

\(6\) a process for ensuring ongoing performance feedback and

dialogue between supervisors, managers, and employees

throughout the appraisal period, and setting timetables for

review;

\(7\) effective safeguards to ensure that the management of

the system is fair and equitable and based on employee

performance; and

\(8\) a means for ensuring that adequate agency resources are

allocated for the design, implementation, and administration of

the pay-for-performance system.

SEC. 1108. FEDERAL FLEXIBLE BENEFITS PLAN ADMINISTRATIVE COSTS.

\(a\) In General.\--Notwithstanding any other provision of law, an

agency or other employing entity of the Government which provides or

plans to provide a flexible spending account option for its employees

shall not impose any fee with respect to any of its employees in order

to defray the administrative costs associated therewith.

\(b\) Offset of Administrative Costs.\--Each such agency or employing

entity that offers a flexible spending account option under a program

established or administered by the Office of Personnel Management shall

periodically forward to such Office, or entity designated by such

Office, the amount necessary to offset the administrative costs of such

program which are attributable to such agency.

\(c\) Reports.\--(1) The Office shall submit a report to the Committee

on Government Reform of the House of Representatives and the Committee

on Governmental Affairs of the Senate no later than March 31, 2004,

specifying the administrative costs associated with the Governmentwide

program (referred to in subsection (b)) for fiscal year 2003, as well

as the projected administrative costs of such program for each of the 5

fiscal years thereafter.

\(2\) At the end of each of the first 3 calendar years in which an

agency or other employing entity offers a flexible spending account

option under this section, such agency or entity shall submit a report

to the Office of Management and Budget showing the amount of its

employment tax savings in such year which are attributable to such

option, net of administrative fees paid under section (b).

SEC. 1109. CLARIFICATION OF HATCH ACT.

No Federal employee or individual who, before the date of the

enactment of this Act, was employed in the Office of the Department of

Defense Inspector General and transferred to a Special Court sponsored

by the United Nations pursuant to the authority described in section

3582(a) of title 5, United States Code, shall be subject to enforcement

of the provisions of section 7326 of such title, except that this

section shall not apply in the event that such employee or individual

subsequently becomes reemployed in the civil service.

SEC. 1110. EMPLOYEE SURVEYS.

\(a\) In General.\--Each agency shall conduct an annual survey of its

employees (including survey questions unique to the agency and

questions prescribed under subsection (b)) to assess\--

\(1\) leadership and management practices that contribute to

agency performance; and

\(2\) employee satisfaction with\--

\(A\) leadership policies and practices;

\(B\) work environment;

\(C\) rewards and recognition for professional

accomplishment and personal contributions to achieving

organizational mission;

\(D\) opportunity for professional development and

growth; and

\(E\) opportunity to contribute to achieving

organizational mission.

\(b\) Regulations.\--The Office of Personnel Management shall issue

regulations prescribing survey questions that should appear on all

agency surveys under subsection (a) in order to allow a comparison

across agencies.

\(c\) Availability of Results.\--The results of the agency surveys

under subsection (a) shall be made available to the public and posted

on the website of the agency involved, unless the head of such agency

determines that doing so would jeopardize or negatively impact national

security.

\(d\) Agency defined.\--For purposes of this section, the term

\`\`agency\'\' means an Executive agency (as defined by section 105 of

title 5, United States Code).

SEC. 1111. HUMAN CAPITAL PERFORMANCE FUND.

\(a\) In General.\--Subpart D of part III of title 5, United States

Code, is amended by inserting after chapter 53 the following:

\`\`CHAPTER 54\--HUMAN CAPITAL PERFORMANCE FUND

\`\`Sec.

\`\`5401. Purpose.

\`\`5402. Definitions.

\`\`5403. Human Capital Performance Fund.

\`\`5404. Human capital performance payments.

\`\`5405. Regulations.

\`\`5406. Agency plan.

\`\`5407. Nature of payment.

\`\`5408. Appropriations.

\`\`Sec. 5401. Purpose

\`\`The purpose of this chapter is to promote, through the creation

of a Human Capital Performance Fund, greater performance in the Federal

Government. Monies from the Fund will be used to reward agencies\'

highest performing and most valuable employees. This Fund will offer

Federal managers a new tool to recognize employee performance that is

critical to the achievement of agency missions.

\`\`Sec. 5402. Definitions

\`\`For the purpose of this chapter\--

\`\`(1) \`agency\' means an Executive agency under section 105,

but does not include the General Accounting Office;

\`\`(2) \`employee\' includes\--

\`\`(A) an individual paid under a statutory pay

system defined in section 5302(1);

\`\`(B) a prevailing rate employee, as defined in

section 5342(a)(2); and

\`\`(C) a category of employees included by the

Office of Personnel Management following the review of

an agency plan under section 5403(b)(1);

but does not include\--

\`\`(i) an individual paid at an annual rate of basic

pay for a level of the Executive Schedule, under

subchapter II of chapter 53, or at a rate provided for

one of those levels under another provision of law;

\`\`(ii) a member of the Senior Executive Service

paid under subchapter VIII of chapter 53, or an

equivalent system;

\`\`(iii) an administrative law judge paid under

section 5372;

\`\`(iv) a contract appeals board member paid under

section 5372a;

\`\`(v) an administrative appeals judge paid under

section 5372b; and

\`\`(vi) an individual in a position which is

excepted from the competitive service because of its

confidential, policy-determining, policy-making, or

policy-advocating character; and

\`\`(3) \`Office\' means the Office of Personnel Management.

\`\`Sec. 5403. Human Capital Performance Fund

\`\`(a) There is hereby established the Human Capital Performance

Fund, to be administered by the Office for the purpose of this chapter.

\`\`(b)(1)(A) An agency shall submit a plan as described in section

5406 to be eligible for consideration by the Office for an allocation

under this section. An allocation shall be made only upon approval by

the Office of an agency\'s plan.

\`\`(B)(i) After the reduction for training required under section

5408, ninety percent of the remaining amount appropriated to the Fund

may be allocated by the Office to the agencies. Of the amount to be

allocated, an agency\'s pro rata distribution may not exceed its pro

rata share of Executive branch payroll.

\`\`(ii) If the Office does not allocate an agency\'s full pro rata

share, the undistributed amount remaining from that share will become

available for distribution to other agencies, as provided in

subparagraph (C).

\`\`(C)(i) After the reduction for training under section 5408, ten

percent of the remaining amount appropriated to the Fund, as well as

the amount of the pro rata share not distributed because of an agency\'s

failure to submit a satisfactory plan, shall be allocated among

agencies with exceptionally high-quality plans.

\`\`(ii) An agency with an exceptionally high-quality plan is

eligible to receive an additional distribution in addition to its full

pro rata distribution.

\`\`(2) Each agency is required to provide to the Office such payroll

information as the Office specifies necessary to determine the

Executive branch payroll.

\`\`Sec. 5404. Human capital performance payments

\`\`(a)(1) Notwithstanding any other provision of law, the Office may

authorize an agency to provide human capital performance payments to

individual employees based on exceptional performance contributing to

the achievement of the agency mission.

\`\`(2) The number of employees in an agency receiving payments from

the Fund, in any year, shall not be more than the number equal to 15

percent of the agency\'s average total civilian full- and part-time

permanent employment for the previous fiscal year.

\`\`(b)(1) A human capital performance payment provided to an

individual employee from the Fund, in any year, shall not exceed 10

percent of the employee\'s rate of basic pay.

\`\`(2) The aggregate of an employee\'s rate of basic pay, adjusted by

any locality-based comparability payments, and human capital

performance pay, as defined by regulation, may not exceed the rate of

basic pay for Executive Level IV in any year.

\`\`(3) Any human capital performance payment provided to an employee

from the Fund is in addition to any annual pay adjustment (under

section 5303 or any similar provision of law) and any locality-based

comparability payment that may apply.

\`\`(c) No monies from the Human Capital Performance Fund may be used

to pay for a new position, for other performance-related payments, or

for recruitment or retention incentives paid under sections 5753 and

5754\.

\`\`(d)(1) An agency may finance initial human capital performance

payments using monies from the Human Capital Performance Fund, as

available.

\`\`(2) In subsequent years, continuation of previously awarded human

capital performance payments shall be financed from other agency funds

available for salaries and expenses.

\`\`Sec. 5405. Regulations

\`\`The Office shall issue such regulations as it determines to be

necessary for the administration of this chapter, including the

administration of the Fund. The Office\'s regulations shall include

criteria governing\--

\`\`(1) an agency plan under section 5406;

\`\`(2) the allocation of monies from the Fund to agencies;

\`\`(3) the nature, extent, duration, and adjustment of, and

approval processes for, payments to individual employees under

this chapter;

\`\`(4) the relationship to this chapter of agency

performance management systems;

\`\`(5) training of supervisors, managers, and other

individuals involved in the process of making performance

distinctions; and

\`\`(6) the circumstances under which funds may be allocated

by the Office to an agency in amounts below or in excess of the

agency\'s pro rata share.

\`\`Sec. 5406. Agency plan

\`\`(a) To be eligible for consideration by the Office for an

allocation under this section, an agency shall\--

\`\`(1) develop a plan that incorporates the following

elements:

\`\`(A) adherence to merit principles set forth in

section 2301;

\`\`(B) a fair, credible, and transparent employee

performance appraisal system;

\`\`(C) a link between the pay-for-performance

system, the employee performance appraisal system, and

the agency\'s strategic plan;

\`\`(D) a means for ensuring employee involvement in

the design and implementation of the system;

\`\`(E) adequate training and retraining for

supervisors, managers, and employees in the

implementation and operation of the pay-for-performance

system;

\`\`(F) a process for ensuring ongoing performance

feedback and dialogue between supervisors, managers,

and employees throughout the appraisal period, and

setting timetables for review;

\`\`(G) effective safeguards to ensure that the

management of the system is fair and equitable and

based on employee performance; and

\`\`(H) a means for ensuring that adequate agency

resources are allocated for the design, implementation,

and administration of the pay-for-performance system;

\`\`(2) upon approval, receive an allocation of funding from

the Office;

\`\`(3) make payments to individual employees in accordance

with the agency\'s approved plan; and

\`\`(4) provide such information to the Office regarding

payments made and use of funds received under this section as

the Office may specify.

\`\`(b) The Office, in consultation with the Chief Human Capital

Officers Council, shall review and approve an agency\'s plan before the

agency is eligible to receive an allocation of funding from the Office.

\`\`(c) The Chief Human Capital Officers Council shall include in its

annual report to Congress under section 1303(d) of the Homeland

Security Act of 2002 an evaluation of the formulation and

implementation of agency performance management systems.

\`\`Sec. 5407. Nature of payment

\`\`Any payment to an employee under this section shall be part of

the employee\'s basic pay for the purposes of subchapter III of chapter

83, and chapters 84 and 87, and for such other purposes (other than

chapter 75) as the Office shall determine by regulation.

\`\`Sec. 5408. Appropriations

\`\`There is authorized to be appropriated \$500,000,000 for fiscal

year 2004, and, for each subsequent fiscal year, such sums as may be

necessary to carry out the provisions of this chapter. In the first

year of implementation, up to 10 percent of the amount appropriated to

the Fund shall be available to participating agencies to train

supervisors, managers, and other individuals involved in the appraisal

process on using performance management systems to make meaningful

distinctions in employee performance and on the use of the Fund.\'\'.

\(b\) Clerical Amendment.\--The table of chapters for part III of

title 5, United States Code, is amended by inserting after the item

relating to chapter 53 the following:

\`\`54. Human Capital Performance Fund 5401\'\'.

Subtitle B\--Department of Defense National Security Personnel System

SEC. 1121. DEPARTMENT OF DEFENSE NATIONAL SECURITY PERSONNEL SYSTEM.

\(a\) In General.\--(1) Subpart I of part III of title 5, United

States Code, is amended by adding at the end the following new chapter:

\`\`CHAPTER 99\--DEPARTMENT OF DEFENSE NATIONAL SECURITY PERSONNEL
SYSTEM

\`\`Sec.

\`\`9901. Definitions.

\`\`9902. Establishment of human resources management system.

\`\`9903. Attracting highly qualified experts.

\`\`9904. Employment of older Americans.

\`\`9905. Special pay and benefits for certain employees outside the

United States.

\`\`Sec. 9901. Definitions

\`\`For purposes of this chapter\--

\`\`(1) the term \`Director\' means the Director of the Office

of Personnel Management; and

\`\`(2) the term \`Secretary\' means the Secretary of Defense.

\`\`Sec. 9902. Establishment of human resources management system

\`\`(a) In General.\--Notwithstanding any other provision of this

part, the Secretary may, in regulations prescribed jointly with the

Director, establish, and from time to time adjust, a human resources

management system for some or all of the organizational or functional

units of the Department of Defense. If the Secretary certifies that

issuance or adjustment of a regulation, or the inclusion, exclusion, or

modification of a particular provision therein, is essential to the

national security, the Secretary may, subject to the decision of the

President, waive the requirement in the preceding sentence that the

regulation or adjustment be issued jointly with the Director.

\`\`(b) System Requirements.\--Any system established under subsection

\(a\) shall\--

\`\`(1) be flexible;

\`\`(2) be contemporary;

\`\`(3) not waive, modify, or otherwise affect\--

\`\`(A) the public employment principles of merit and

fitness set forth in section 2301, including the

principles of hiring based on merit, fair treatment

without regard to political affiliation or other

nonmerit considerations, equal pay for equal work, and

protection of employees against reprisal for

whistleblowing;

\`\`(B) any provision of section 2302, relating to

prohibited personnel practices;

\`\`(C)(i) any provision of law referred to in

section 2302(b)(1), (8), and (9); or

\`\`(ii) any provision of law implementing any

provision of law referred to in section 2302(b)(1),

(8), and (9) by\--

\`\`(I) providing for equal employment

opportunity through affirmative action; or

\`\`(II) providing any right or remedy

available to any employee or applicant for

employment in the public service;

\`\`(D) any other provision of this part (as

described in subsection (c)); or

\`\`(E) any rule or regulation prescribed under any

provision of law referred to in this paragraph;

\`\`(4) ensure that employees may organize, bargain

collectively as provided for in this chapter, and participate

through labor organizations of their own choosing in decisions

which affect them, subject to the provisions of this chapter

and any exclusion from coverage or limitation on negotiability

established pursuant to law;

\`\`(5) not be limited by any specific law or authority under

this title that is waivable under this chapter or by any

provision of this chapter or any rule or regulation prescribed

under this title that is waivable under this chapter, except as

specifically provided for in this section; and

\`\`(6) include a performance management system that

incorporates the following elements:

\`\`(A) adherence to merit principles set forth in

section 2301;

\`\`(B) a fair, credible, and transparent employee

performance appraisal system;

\`\`(C) a link between the performance management

system and the agency\'s strategic plan;

\`\`(D) a means for ensuring employee involvement in

the design and implementation of the system;

\`\`(E) adequate training and retraining for

supervisors, managers, and employees in the

implementation and operation of the performance

management system;

\`\`(F) a process for ensuring ongoing performance

feedback and dialogue between supervisors, managers,

and employees throughout the appraisal period, and

setting timetables for review;

\`\`(G) effective safeguards to ensure that the

management of the system is fair and equitable and

based on employee performance; and

\`\`(H) a means for ensuring that adequate agency

resources are allocated for the design, implementation,

and administration of the performance management

system.

\`\`(c) Other Nonwaivable Provisions.\--The other provisions of this

part referred to in subsection (b)(3)(D) are (to the extent not

otherwise specified in this title)\--

\`\`(1) subparts A, B, E, G, and H of this part; and

\`\`(2) chapters 41, 45, 47, 55 (except subchapter V

thereof), 57, 59, 72, 73, and 79, and this chapter.

\`\`(d) Limitations Relating to Pay.\--(1) Nothing in this section

shall constitute authority to modify the pay of any employee who serves

in an Executive Schedule position under subchapter II of chapter 53 of

this title.

\`\`(2) Except as provided for in paragraph (1), the total amount in

a calendar year of allowances, differentials, bonuses, awards, or other

similar cash payments paid under this title to any employee who is paid

under section 5376 or 5383 of this title or under title 10 or under

other comparable pay authority established for payment of Department of

Defense senior executive or equivalent employees may not exceed the

total annual compensation payable to the Vice President under section

104 of title 3.

\`\`(3) To the maximum extent practicable, the rates of compensation

for civilian employees at the Department of Defense shall be adjusted

at the same rate, and in the same proportion, as are rates of

compensation for members of the uniformed services.

\`\`(e) Provisions To Ensure Collaboration With Employee

Representatives.\--(1) In order to ensure that the authority of this

section is exercised in collaboration with, and in a manner that

ensures the participation of, employee representatives in the planning,

development, and implementation of any human resources management

system or adjustments to such system under this section, the Secretary

and the Director shall provide for the following:

\`\`(A) The Secretary and the Director shall, with respect to

any proposed system or adjustment\--

\`\`(i) provide to the employee representatives

representing any employees who might be affected a

written description of the proposed system or

adjustment (including the reasons why it is considered

necessary);

\`\`(ii) give such representatives at least 30

calendar days (unless extraordinary circumstances

require earlier action) to review and make

recommendations with respect to the proposal; and

\`\`(iii) give any recommendations received from such

representatives under clause (ii) full and fair

consideration in deciding whether or how to proceed

with the proposal.

\`\`(B) Following receipt of recommendations, if any, from

such employee representatives with respect to a proposal

described in subparagraph (A), the Secretary and the Director

shall accept such modifications to the proposal in response to

the recommendations as they determine advisable and shall, with

respect to any parts of the proposal as to which they have not

accepted the recommendations\--

\`\`(i) notify Congress of those parts of the

proposal, together with the recommendations of the

employee representatives;

\`\`(ii) meet and confer for not less than 30

calendar days with the employee representatives, in

order to attempt to reach agreement on whether or how

to proceed with those parts of the proposal; and

\`\`(iii) at the Secretary\'s option, or if requested

by a majority of the employee representatives

participating, use the services of the Federal

Mediation and Conciliation Service during such meet and

confer period to facilitate the process of attempting

to reach agreement.

\`\`(C)(i) Any part of the proposal as to which the

representatives do not make a recommendation, or as to which

the recommendations are accepted by the Secretary and the

Director, may be implemented immediately.

\`\`(ii) With respect to any parts of the proposal as to

which recommendations have been made but not accepted by the

Secretary and the Director, at any time after 30 calendar days

have elapsed since the initiation of the congressional

notification, consultation, and mediation procedures set forth

in subparagraph (B), if the Secretary, in his discretion,

determines that further consultation and mediation is unlikely

to produce agreement, the Secretary may implement any or all of

such parts (including any modifications made in response to the

recommendations as the Secretary determines advisable), but

only after 30 days have elapsed after notifying Congress of the

decision to implement the part or parts involved (as so

modified, if applicable).

\`\`(iii) The Secretary shall notify Congress promptly of the

implementation of any part of the proposal and shall furnish

with such notice an explanation of the proposal, any changes

made to the proposal as a result of recommendations from the

employee representatives, and of the reasons why implementation

is appropriate under this subparagraph.

\`\`(D) If a proposal described in subparagraph (A) is

implemented, the Secretary and the Director shall\--

\`\`(i) develop a method for the employee

representatives to participate in any further planning

or development which might become necessary; and

\`\`(ii) give the employee representatives adequate

access to information to make that participation

productive.

\`\`(2) The Secretary may, at the Secretary\'s discretion, engage in

any and all collaboration activities described in this subsection at an

organizational level above the level of exclusive recognition.

\`\`(3) In the case of any employees who are not within a unit with

respect to which a labor organization is accorded exclusive

recognition, the Secretary and the Director may develop procedures for

representation by any appropriate organization which represents a

substantial percentage of those employees or, if none, in such other

manner as may be appropriate, consistent with the purposes of this

subsection.

\`\`(f) Provisions Regarding National Level Bargaining.\--(1) Any

human resources management system implemented or modified under this

chapter may include employees of the Department of Defense from any

bargaining unit with respect to which a labor organization has been

accorded exclusive recognition under chapter 71 of this title.

\`\`(2) For any bargaining unit so included under paragraph (1), the

Secretary may bargain at an organizational level above the level of

exclusive recognition. Any such bargaining shall\--

\`\`(A) be binding on all subordinate bargaining units at the

level of recognition and their exclusive representatives, and

the Department of Defense and its subcomponents, without regard

to levels of recognition;

\`\`(B) supersede all other collective bargaining agreements,

including collective bargaining agreements negotiated with an

exclusive representative at the level of recognition, except as

otherwise determined by the Secretary;

\`\`(C) not be subject to further negotiations for any

purpose, including bargaining at the level of recognition,

except as provided for by the Secretary; and

\`\`(D) except as otherwise specified in this chapter, not be

subject to review or to statutory third-party dispute

resolution procedures outside the Department of Defense.

\`\`(3) The National Guard Bureau and the Army and Air Force National

Guard are excluded from coverage under this subsection.

\`\`(4) Any bargaining completed pursuant to this subsection with a

labor organization not otherwise having national consultation rights

with the Department of Defense or its subcomponents shall not create

any obligation on the Department of Defense or its subcomponents to

confer national consultation rights on such a labor organization.

\`\`(g) Provisions Relating to Appellate Procedures.\--(1) The

Secretary shall\--

\`\`(A) establish an appeals process that provides that

employees of the Department of Defense are entitled to fair

treatment in any appeals that they bring in decisions relating

to their employment; and

\`\`(B) in prescribing regulations for any such appeals

process\--

\`\`(i) ensure that employees of the Department of

Defense are afforded the protections of due process;

and

\`\`(ii) toward that end, be required to consult with

the Merit Systems Protection Board before issuing any

such regulations.

\`\`(2) Any regulations establishing the appeals process required by

paragraph (1) that relate to any matters within the purview of chapter

77 shall\--

\`\`(A) provide for an independent review panel, appointed by

the President, which shall not include the Secretary or the

Deputy Secretary of Defense or any of their subordinates;

\`\`(B) be issued only after\--

\`\`(i) notification to the appropriate committees of

Congress; and

\`\`(ii) consultation with the Merit Systems

Protection Board and the Equal Employment Opportunity

Commission;

\`\`(C) ensure the availability of procedures that\--

\`\`(i) are consistent with requirements of due

process; and

\`\`(ii) provide, to the maximum extent practicable,

for the expeditious handling of any matters involving

the Department of Defense; and

\`\`(D) modify procedures under chapter 77 only insofar as

such modifications are designed to further the fair, efficient,

and expeditious resolution of matters involving the employees

of the Department of Defense.

\`\`(h) Provisions Related to Separation and Retirement Incentives.\--

\(1\) The Secretary may establish a program within the Department of

Defense under which employees may be eligible for early retirement,

offered separation incentive pay to separate from service voluntarily,

or both. This authority may be used to reduce the number of personnel

employed by the Department of Defense or to restructure the workforce

to meet mission objectives without reducing the overall number of

personnel. This authority is in addition to, and notwithstanding, any

other authorities established by law or regulation for such programs.

\`\`(2) For purposes of this section, the term \`employee\' means an

employee of the Department of Defense, serving under an appointment

without time limitation, except that such term does not include\--

\`\`(A) a reemployed annuitant under subchapter III of

chapter 83 or chapter 84 of this title, or another retirement

system for employees of the Federal Government;

\`\`(B) an employee having a disability on the basis of which

such employee is or would be eligible for disability retirement

under any of the retirement systems referred to in paragraph

(1); or

\`\`(C) for purposes of eligibility for separation incentives

under this section, an employee who is in receipt of a decision

notice of involuntary separation for misconduct or unacceptable

performance.

\`\`(3) An employee who is at least 50 years of age and has completed

20 years of service, or has at least 25 years of service, may, pursuant

to regulations promulgated under this section, apply and be retired

from the Department of Defense and receive benefits in accordance with

chapter 83 or 84 if the employee has been employed continuously within

the Department of Defense for more than 30 days before the date on

which the determination to conduct a reduction or restructuring within

1 or more Department of Defense components is approved pursuant to the

program established under subsection (a).

\`\`(4)(A) Separation pay shall be paid in a lump sum or in

installments and shall be equal to the lesser of\--

\`\`(i) an amount equal to the amount the employee would be

entitled to receive under section 5595(c) of this title, if the

employee were entitled to payment under such section; or

\`\`(ii) \$25,000.

\`\`(B) Separation pay shall not be a basis for payment, and shall

not be included in the computation, of any other type of Government

benefit. Separation pay shall not be taken into account for the purpose

of determining the amount of any severance pay to which an individual

may be entitled under section 5595 of this title, based on any other

separation.

\`\`(C) Separation pay, 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 paragraph (5).

\`\`(5)(A) An employee who receives separation pay under such program

may not be reemployed by the Department of Defense for a 12-month

period beginning on the effective date of the employee\'s separation,

unless this prohibition is waived by the Secretary on a case-by-case

basis.

\`\`(B) An employee who receives separation pay under this section on

the basis of a separation occurring on or after the date of the

enactment of the Federal Workforce Restructuring Act of 1994 (Public

Law 103-236; 108 Stat. 111) and accepts employment with the Government

of the United States, or who commences work through a personal services

contract with the United States within 5 years after the date of the

separation on which payment of the separation pay is based, shall be

required to repay the entire amount of the separation pay to the

Department of Defense. If the employment is with an Executive agency

(as defined by section 105 of this title) other than the Department of

Defense, the Director may, at the request of the head of that agency,

waive the repayment if the individual involved possesses unique

abilities and is the only qualified applicant available for the

position. If the employment is within the Department of Defense, the

Secretary may waive the repayment if the individual involved is the

only qualified applicant available for the position. If the employment

is with an entity in the legislative branch, the head of the entity or

the appointing official may waive the repayment if the individual

involved possesses unique abilities and is the only qualified applicant

available for the position. If the employment is with the judicial

branch, the Director of the Administrative Office of the United States

Courts may waive the repayment if the individual involved possesses

unique abilities and is the only qualified applicant available for the

position.

\`\`(6) Under this program, early retirement and separation pay may

be offered only pursuant to regulations established by the Secretary,

subject to such limitations or conditions as the Secretary may require.

\`\`(i) Provisions Relating to Reemployment.\--If annuitant receiving

an annuity from the Civil Service Retirement and Disability Fund

becomes employed in a position within the Department of Defense, his

annuity shall continue. An annuitant so reemployed shall not be

considered an employee for purposes of chapter 83 or 84.

\`\`(j) Additional Provisions Relating to Personnel Management.\--

Notwithstanding subsection (c), the Secretary may exercise authorities

that would otherwise be available to the Secretary under paragraphs

(1), (3), and (8) of section 4703(a) of this title.

\`\`Sec. 9903. Attracting highly qualified experts

\`\`(a) In General.\--The Secretary may carry out a program using the

authority provided in subsection (b) in order to attract highly

qualified experts in needed occupations, as determined by the

Secretary.

\`\`(b) Authority.\--Under the program, the Secretary may\--

\`\`(1) appoint personnel from outside the civil service and

uniformed services (as such terms are defined in section 2101

of this title) to positions in the Department of Defense

without regard to any provision of this title governing the

appointment of employees to positions in the Department of

Defense;

\`\`(2) prescribe the rates of basic pay for positions to

which employees are appointed under paragraph (1) at rates not

in excess of the maximum rate of basic pay authorized for

senior-level positions under section 5376 of this title, as

increased by locality-based comparability payments under

section 5304 of this title, notwithstanding any provision of

this title governing the rates of pay or classification of

employees in the executive branch; and

\`\`(3) pay any employee appointed under paragraph (1)

payments in addition to basic pay within the limits applicable

to the employee under subsection (d).

\`\`(c) Limitation on Term of Appointment.\--(1) Except as provided in

paragraph (2), the service of an employee under an appointment made

pursuant to this section may not exceed 5 years.

\`\`(2) The Secretary may, in the case of a particular employee,

extend the period to which service is limited under paragraph (1) by up

to 1 additional year if the Secretary determines that such action is

necessary to promote the Department of Defense\'s national security

missions.

\`\`(d) Limitations on Additional Payments.\--(1) The total amount of

the additional payments paid to an employee under this section for any

12-month period may not exceed the lesser of the following amounts:

\`\`(A) \$50,000 in fiscal year 2004, which may be adjusted

annually thereafter by the Secretary, with a percentage

increase equal to one-half of 1 percentage point less than the

percentage by which the Employment Cost Index, published

quarterly by the Bureau of Labor Statistics, for the base

quarter of the year before the preceding calendar year exceeds

the Employment Cost Index for the base quarter of the second

year before the preceding calendar year.

\`\`(B) The amount equal to 50 percent of the employee\'s

annual rate of basic pay.

For purposes of this paragraph, the term \`base quarter\' has the
meaning

given such term by section 5302(3).

\`\`(2) An employee appointed under this section is not eligible for

any bonus, monetary award, or other monetary incentive for service

except for payments authorized under this section.

\`\`(3) Notwithstanding any other provision of this subsection or of

section 5307, no additional payments may be paid to an employee under

this section in any calendar year if, or to the extent that, the

employee\'s total annual compensation will exceed the maximum amount of

total annual compensation payable at the salary set in accordance with

section 104 of title 3.

\`\`(e) Savings Provisions.\--In the event that the Secretary

terminates this program, in the case of an employee who, on the day

before the termination of the program, is serving in a position

pursuant to an appointment under this section\--

\`\`(1) the termination of the program does not terminate the

employee\'s employment in that position before the expiration of

the lesser of\--

\`\`(A) the period for which the employee was

appointed; or

\`\`(B) the period to which the employee\'s service is

limited under subsection (c), including any extension

made under this section before the termination of the

program; and

\`\`(2) the rate of basic pay prescribed for the position

under this section may not be reduced as long as the employee

continues to serve in the position without a break in service.

\`\`Sec. 9904. Employment of older Americans

\`\`(a) In General.\--Notwithstanding any other provision of law, the

Secretary may appoint older Americans into positions in the excepted

service for a period not to exceed 2 years, provided that\--

\`\`(1) any such appointment shall not result in\--

\`\`(A) the displacement of individuals currently

employed by the Department of Defense (including

partial displacement through reduction of nonovertime

hours, wages, or employment benefits); or

\`\`(B) the employment of any individual when any

other person is in a reduction-in-force status from the

same or substantially equivalent job within the

Department of Defense; and

\`\`(2) the individual to be appointed is otherwise qualified

for the position, as determined by the Secretary.

\`\`(b) Effect on Existing Retirement Benefits.\--Notwithstanding any

other provision of law, an individual appointed pursuant to subsection

\(a\) who otherwise is receiving an annuity, pension, retired pay, or

other similar payment shall not have the amount of said annuity,

pension, or other similar payment reduced as a result of such

employment.

\`\`(c) Extension of Appointment.\--Notwithstanding subsection (a),

the Secretary may extend an appointment made pursuant to this section

for up to an additional 2 years if the individual employee possesses

unique knowledge or abilities that are not otherwise available to the

Department of Defense.

\`\`(d) Definition.\--For purposes of this section, the term \`older

American\' means any citizen of the United States who is at least 55

years of age.

\`\`Sec. 9905. Special pay and benefits for certain employees outside
the

United States

\`\`The Secretary may provide to certain civilian employees of the

Department of Defense assigned to activities outside the United States

as determined by the Secretary to be in support of Department of

Defense activities abroad hazardous to life or health or so specialized

because of security requirements as to be clearly distinguishable from

normal Government employment\--

\`\`(1) allowances and benefits\--

\`\`(A) comparable to those provided by the Secretary

of State to members of the Foreign Service under

chapter 9 of title I of the Foreign Service Act of 1980

(Public Law 96-465, 22 U.S.C. 4081 et seq.) or any

other provision of law; or

\`\`(B) comparable to those provided by the Director

of Central Intelligence to personnel of the Central

Intelligence Agency; and

\`\`(2) special retirement accrual benefits and disability in

the same manner provided for by the Central Intelligence Agency

Retirement Act (50 U.S.C. 2001 et seq.) and in section 18 of

the Central Intelligence Agency Act of 1949 (50 U.S.C.

403r).\'\'.

\(2\) The table of chapters for part III of such title is amended by

adding at the end of subpart I the following new item:

\`\`99. Department of Defense National Security Personnel System.
9901\'\'.

\(b\) Impact on Department of Defense Civilian Personnel.\--(1) Any

exercise of authority under chapter 99 of such title (as added by

subsection (a)), including under any system established under such

chapter, shall be in conformance with the requirements of this

subsection.

\(2\) No other provision of this Act or of any amendment made by this

Act may be construed or applied in a manner so as to limit, supersede,

or otherwise affect the provisions of this section, except to the

extent that it does so by specific reference to this section.

TITLE XII\--MATTERS RELATING TO OTHER NATIONS

SEC. 1201. EXPANSION OF AUTHORITY TO PROVIDE ADMINISTRATIVE SUPPORT AND

SERVICES AND TRAVEL AND SUBSISTENCE EXPENSES FOR CERTAIN

FOREIGN LIAISON OFFICERS.

\(a\) Administrative Support and Services.\--Subsection (a) of section

1051a of title 10, United States Code, is amended\--

\(1\) by striking \`\`involved in a coalition with the United

States\'\';

\(2\) by striking \`\`temporarily\'\'; and

\(3\) by striking \`\` in connection with the planning for, or

conduct of, a coalition operation\'\'.

\(b\) Travel, Subsistence, and Other Expenses.\--Subsection (b) of

such section is amended\--

\(1\) by striking \`\`(1)\'\';

\(2\) by striking \`\`expenses specified in paragraph (2)\'\' and

inserting \`\`travel, subsistence, and similar personal

expenses\'\';

\(3\) by striking \`\`developing country\'\' and inserting

\`\`developing nation\'\';

\(4\) by striking \`\`in connection with the assignment of that

officer to the headquarters of a combatant command as described

in subsection (a)\'\' and inserting \`\`involved in a coalition

while the liaison officer is assigned temporarily to a

headquarters described in subsection (a) in connection with the

planning for, or conduct of, a coalition operation\'\'; and

\(5\) by striking paragraph (2).

\(c\) Reimbursement.\--Subsection (c) of such section is amended by

striking \`\`by\'\' before \`\`subsection (a)\'\' and inserting
\`\`under\'\'.

\(d\) Clerical Amendments.\--(1) The heading for section 1051a of such

title is amended to read as follows:

\`\`Sec. 1051a. Foreign officers: administrative services and support;

travel, subsistence, and other personal expenses\'\'.

\(2\) The subsection heading for subsection (a) of such section is

amended by striking \`\`Authority\'\' and inserting \`\`Administrative

Services and Support\'\'.

\(3\) The item relating to such section in the table of sections at

the beginning of chapter 53 of such title is amended to read as

follows:

\`\`1051a. Foreign officers: administrative services and support;
travel,

subsistence, and other personal

expenses.\'\'.

SEC. 1202. RECOGNITION OF SUPERIOR NONCOMBAT ACHIEVEMENTS OR

PERFORMANCE BY MEMBERS OF FRIENDLY FOREIGN FORCES AND

OTHER FOREIGN NATIONALS.

\(a\) Authority.\--Chapter 53 of title 10, United States Code, is

amended by inserting after section 1051a the following new section:

\`\`Sec. 1051b. Bilateral or regional cooperation programs: awards and

mementos to recognize superior noncombat achievements or

performance

\`\`(a) General Authority.\--The Secretary of Defense may present

awards and mementos purchased with funds appropriated for operation and

maintenance of the armed forces to recognize superior noncombat

achievements or performance by members of friendly foreign forces and

other foreign nationals that significantly enhance or support the

National Security Strategy of the United States.

\`\`(b) Activities That May Be Recognized.\--Activities that may be

recognized under subsection (a) include superior achievement or

performance that\--

\`\`(1) plays a crucial role in shaping the international

security environment in ways that protect and promote United

States interests;

\`\`(2) supports or enhances United States overseas presence

and peacetime engagement activities, including defense

cooperation initiatives, security assistance training and

programs, and training and exercises with the armed forces;

\`\`(3) helps to deter aggression and coercion, build

coalitions, and promote regional stability; or

\`\`(4) serves as a role model for appropriate conduct by

military forces in emerging democracies.

\`\`(c) Limitation.\--Expenditures for the purchase or production of

mementos for award under this section may not exceed the \`minimal

value\' established in accordance with section 7342(a)(5) of title
5.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such chapter is amended by inserting after the item relating to section

1051a the following new item:

\`\`1051b. Bilateral or regional cooperation programs: awards and

mementos to recognize superior noncombat

achievements or performance.\'\'.

SEC. 1203. EXPANSION OF AUTHORITY TO WAIVE CHARGES FOR COSTS OF

ATTENDANCE AT GEORGE C. MARSHALL EUROPEAN CENTER FOR

SECURITY STUDIES.

Section 1306(b)(1) of the National Defense Authorization Act for

Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2892) is amended by

striking \`\`of cooperation partner states of the North Atlantic Council

or the Partnership for Peace\'\' and inserting \`\`from states located
in

Europe or the territory of the former Soviet Union\'\'.

SEC. 1204. IDENTIFICATION OF GOODS AND TECHNOLOGIES CRITICAL FOR

MILITARY SUPERIORITY.

\(a\) In General.\--(1) Subchapter II of chapter 148 of title 10,

United States Code, is amended by adding at the end the following new

section:

\`\`Sec. 2508. Goods and technologies critical for military superiority:

list

\`\`(a) Requirement to Maintain List.\--(1) The Secretary of Defense

shall maintain a list of any goods or technology that, if obtained by a

potential adversary, could undermine the military superiority or

qualitative military advantage of the United States over potential

adversaries.

\`\`(2) In this section, the term \`goods or technology\' means\--

\`\`(A) any article, natural or manmade substance, material,

supply, or manufactured product, including inspection and test

equipment; and

\`\`(B) any information and know-how (whether in tangible

form, such as models, prototypes, drawings, sketches, diagrams,

blueprints, or manuals, or in intangible form, such as training

or technical services) that can be used to design, produce,

manufacture, utilize, or reconstruct goods, including computer

software and technical data.

\`\`(b) Matters to be Included on List.\--The Secretary shall include

on the list the following:

\`\`(1) Any technology or developing critical technology

(including conventional weapons, weapons of mass destruction,

and delivery systems) that could enhance a potential

adversary\'s military capabilities or that is critical to the

United States maintaining its military superiority and

qualitative military advantage.

\`\`(2) Any dual-use good, material, or know-how that could

enhance a potential adversary\'s military capabilities or that

is critical to the United States maintaining its military

superiority and qualitative military advantage, including those

used to manufacture weapons of mass destruction and their

associated delivery systems.

\`\`(c) Requirements.\--The Secretary shall ensure that\--

\`\`(1) the list is subject to a systematic, ongoing

assessment and analysis of dual-use technologies; and

\`\`(2) the list is updated not less often than every two

months.

\`\`(d) Availability.\--The list shall be made available\--

\`\`(1) in unclassified form on the Department of Defense

public website, in a usable form; and

\`\`(2) in classified form to the Committee on Armed Services

of the Senate and the Committee on Armed Services of the House

of Representatives.\'\'.

\(2\) The table of sections at the beginning of such subchapter is

amended by adding at the end the following new item:

\`\`2508. Goods and technologies critical for military superiority:

list.\'\'.

\(b\) Deadline for Establishment.\--The list required by section 2508

of title 10, United States Code, as added by subsection (a), shall be

established not later than 180 days after the enactment of this Act.

SEC. 1205. REPORT ON ACQUISITION BY IRAQ OF ADVANCED WEAPONS.

\(a\) Report.\--Not later than one year after the date of the

enactment of this Act, the Secretary of Defense shall submit to the

Committees on Armed Services and Foreign Relations of the Senate and

the Committees on Armed Services and International Relations of the

House of Representatives a report on the acquisition by Iraq of weapons

of mass destruction and associated delivery systems and the acquisition

by Iraq of advanced conventional weapons.

\(b\) Matters To Be Included.\--The report shall include the

following:

\(1\) A description of how Iraq was able to obtain any

materials, technology, and know-how for its nuclear, chemical,

biological, ballistic missile, and unmanned aerial vehicle

programs, and advanced conventional weapons programs, from 1979

through April 2003 from entities (including Iraqi citizens)

outside of Iraq.

\(2\) An assessment of the degree to which United States,

foreign, and multilateral export control regimes prevented

acquisition by Iraq of weapons of mass destruction-related

technology and materials and advanced conventional weapons and

delivery systems since the commencement of international

inspections in Iraq.

\(3\) An assessment of the effectiveness of United Nations

sanctions at halting the flow of militarily-useful contraband

to Iraq from 1991 until the end of Operation Iraqi Freedom.

\(4\) An assessment of how Iraq was able to evade

International Atomic Energy Agency and United Nations

inspections regarding chemical, nuclear, biological, and

missile weapons and related capabilities.

\(5\) Identification and a catalogue of the entities and

countries that transferred militarily useful contraband to Iraq

between 1991 and the end of Operation Iraqi Freedom, and the

nature of that contraband.

\(c\) Form of Report.\--The report shall be submitted in unclassified

form with a classified annex, if necessary.

SEC. 1206. AUTHORITY FOR CHECK CASHING AND CURRENCY EXCHANGE SERVICES

TO BE PROVIDED TO FOREIGN MILITARY MEMBERS PARTICIPATING

IN CERTAIN ACTIVITIES WITH UNITED STATES FORCES.

\(a\) Authority.\--Subsection (b) of section 3342 of title 31, United

States Code, is amended by adding at the end the following new

paragraph:

\`\`(8) A member of the military forces of an allied or

coalition nation who is participating in a joint operation,

joint exercise, humanitarian mission, or peacekeeping mission

with the Armed Forces of the United States, but\--

\`\`(A) only if\--

\`\`(i) such disbursing official action for

members of the military forces of that nation

is approved by the senior United States

military commander assigned to that operation

or mission; and

\`\`(ii) that nation has guaranteed payment

for any deficiency resulting from such

disbursing official action; and

\`\`(B) in the case of negotiable instruments, only

for a negotiable instrument drawn on a financial

institution located in the United States or on a

foreign branch of such an institution.\'\'.

\(b\) Technical Amendments.\--That subsection is further amended\--

\(1\) by striking \`\`only for\--\'\' in the matter preceding

paragraph (1) and inserting \`\`only for the following:\'\';

\(2\) by striking \`\`an\'\' at the beginning of paragraph (1)

and inserting \`\`An\'\';

\(3\) by striking \`\`personnel\'\' in paragraphs (2) and (6) and

inserting \`\`Personnel\'\';

\(4\) by striking \`\`a\'\' at the beginning of paragraphs (3),

(4), (5), and (7) and inserting \`\`A\'\';

\(5\) by striking the semicolon at the end of paragraphs (1)

through (5) and inserting a period;

\(6\) by striking \`\`; or\'\' at the end of paragraph (6) and

inserting a period; and

\(7\) by striking \`\`1752(1))\'\' in paragraph (7) and inserting

\`\`1752(1)))\'\'.

SEC. 1207. REQUIREMENTS FOR TRANSFER TO FOREIGN COUNTRIES OF CERTAIN

SPECIFIED TYPES OF EXCESS AIRCRAFT.

\(a\) Expansion of Transfer Requirement.\--Section 2581 of title 10,

United States Code, is amended\--

\(1\) in subsection (a)(1), by striking \`\`UH-1 Huey

helicopter or AH-1 Cobra helicopter\'\' and inserting \`\`UH-1 Huey

aircraft, AH-1 Cobra aircraft, T-2 Buckeye aircraft, or T-37

Tweet aircraft\'\'; and

\(2\) by striking \`\`helicopter\'\' each subsequent place it

appears in such section and inserting \`\`aircraft\'\'.

\(b\) Clerical Amendments.\--(1) The heading of such section is

amended to read as follows:

\`\`Sec. 2581. Specified excess aircraft: requirements for transfer to

foreign countries\'\'.

\(2\) The item relating to such section in the table of sections at

the beginning of chapter 153 of such title is amended to read as

follows:

\`\`2581. Specified excess aircraft: requirements for transfer to
foreign

countries.\'\'.

SEC. 1208. LIMITATION ON NUMBER OF UNITED STATES MILITARY PERSONNEL IN

COLOMBIA.

\(a\) Limitation.\--None of the funds available to the Department of

Defense for any fiscal year may be used to support or maintain more

than 500 members of the Armed Forces on duty in the Republic of

Colombia at any time.

\(b\) Exclusion of Certain Members.\--For purposes of determining

compliance with the limitation in subsection (a), the Secretary of

Defense may exclude the following military personnel:

\(1\) A member of the Armed Forces in the Republic of

Colombia for the purpose of rescuing or retrieving United

States military or civilian Government personnel, except that

the period for which such a member may be so excluded may not

exceed 30 days unless expressly authorized by law.

\(2\) A member of the Armed Forces assigned to the United

States Embassy in Colombia as an attache, as a member of the

security assistance office, or as a member of the Marine Corps

security contingent.

\(3\) A member of the Armed Forces in Colombia to participate

in relief efforts in responding to a natural disaster.

\(4\) Nonoperational transient military personnel.

\(5\) A member of the Armed Forces making a port call from a

military vessel in Colombia.

\(c\) National Security Waiver.\--(1) The Secretary of Defense may

waive the limitation in subsection (a) if the Secretary determines that

such waiver is in the national security interest of the United States.

\(2\) The Secretary shall notify the congressional defense committees

not later 15 days after the date of the exercise of the waiver

authority under paragraph (1).

SEC. 1209. ASSESSMENT AND REPORT CONCERNING THE LOCATION OF NATO

HEADQUARTERS.

\(a\) Assessment.\--The Secretary of Defense shall conduct a full and

complete assessment of costs to the United States associated with the

location of the headquarters of the North Atlantic Treaty Organization

(NATO) in Brussels, Belgium, and the costs and benefits of relocating

that headquarters to a suitable location in another NATO member

country, including those nations invited to join NATO at the Prague

summit in 2002. The Secretary shall conduct such assessment in

consultation with the Secretary of State.

\(b\) Report to Congress.\--Not later than 180 days after the date of

the enactment of this Act, the Secretary of Defense shall submit to

Congress a report of the findings of the assessment under subsection

(a).

SEC. 1210. SENSE OF CONGRESS ON REDEPLOYMENT OF UNITED STATES FORCES IN

EUROPE.

\(a\) Findings.\--Congress makes the following findings:

\(1\) In March 1999, in its initial round of expansion, the

North Atlantic Treaty Organization (NATO) admitted Poland, the

Czech Republic, and Hungary to the Alliance.

\(2\) At the Prague Summit on November 21-22, 2002, the NATO

heads of state and government invited the countries of

Bulgaria, Estonia, Latvia, Lithuania, Romania, Slovakia, and

Slovenia to join the Alliance.

\(3\) The countries admitted in the initial round of

expansion referred to in paragraph (1) and the seven new

invitee nations referred to in paragraph (2) will in

combination significantly alter the nature of the Alliance.

\(4\) During the first 50 years of the Alliance, NATO

materially contributed to the security and stability of Western

Europe, brining peace and prosperity to the member nations.

\(5\) The expansion of NATO is an opportunity to assist the

invitee nations in gaining the capabilities to ensure peace,

prosperity, and democracy for themselves during the next 50

years of the Alliance.

\(6\) The military structure and mission of NATO has changed,

no longer being focused on the threat of a Soviet invasion, but

evolving to handle new missions in the area of crisis

management, peacekeeping, and peace-support in the Euro-

Atlantic area of operations.

\(b\) Sense of Congress.\--In light of the findings in subsection (a),

it is the sense of Congress that\--

\(1\) the expansion of the North Atlantic Treaty Organization

Alliance and the evolution of the military mission of that

Alliance requires a fundamental reevaluation of the current

posture of United States forces stationed in Europe; and

\(2\) the President should\--

\(A\) initiate a reevaluation referred to in

paragraph (1); and

\(B\) in carrying out such a reevaluation, consider a

military posture that takes maximum advantage of basing

and training opportunities in the newly admitted and

invitee states referred to in paragraphs (1) and (2),

respectively, of subsection (a).

SEC. 1211. REPORT ON ACTIONS THAT COULD BE TAKEN REGARDING COUNTRIES

THAT INITIATE CERTAIN LEGAL ACTIONS AGAINST UNITED STATES

OFFICIALS.

\(a\) Finding.\--Congress finds that actions for or on behalf of a

foreign government that constitute attempts to commence legal

proceedings against, or attempts to compel the appearance of or

production of documents from, any current or former official or

employee of the United States or member of the Armed Forces of the

United States relating to the performance of official duties

constitutes a threat to the ability of the United States to take

necessary and timely military action.

\(b\) Report.\--Not later than 60 days after the date of the enactment

of this Act, the Secretary of Defense shall submit to Congress a report

on appropriate steps that could be taken by the Department of Defense

(including restrictions on military travel and limitations on military

support and exchange programs) to respond to any action by a foreign

government described in subsection (a).

SEC. 1212. SENSE OF CONGRESS CONCERNING NAVY PORT CALLS IN ISRAEL.

\(a\) Findings.\--Congress finds the following:

\(1\) The United States Sixth Fleet has not conducted regular

visits to the port of Haifa, Israel, since the attack on the

U.S.S. Cole in Aden, Yemen, on October 12, 2000, but previously

visited that port on a regular basis, with an average of 90

United States warships visiting Haifa each year.

\(2\) The United States Navy has invested millions of dollars

in expanding the capacity and capability of the port of Haifa

to accommodate United States Navy requirements and the port of

Haifa is among the most secure harbors in the world and offers

reliable and efficient repair facilities with close proximity

to capable air transport and communications.

\(3\) The forward presence of United States Navy ships is a

powerful deterrent to aggression and a tangible expression of

American national interests.

\(4\) The visits of the United States Sixth Fleet to Haifa

demonstrate the historic friendship of the American and Israeli

people and the commitment of the United States to the security

and survival of the State of Israel.

\(b\) Sense of Congress.\--It is the sense of Congress that\--

\(1\) the Secretary of Defense and the United States Navy

should engage with the Government of Israel and the Israel

Defense Forces to establish appropriate and effective

arrangements to ensure the safety of United States Navy vessels

and personnel; and

\(2\) upon such arrangements being made, the Sixth Fleet

should resume regular port visits to Haifa, Israel.

SEC. 1213. ASSISTANCE TO IRAQI CHILDREN INJURED DURING OPERATION IRAQI

FREEDOM.

\(a\) Assistance.\--The Secretary of Defense shall, to the maximum

extent practicable, provide all necessary support in an expeditious

manner to assist Iraqi children who were injured during Operation Iraqi

Freedom.

\(b\) Additional Requirements.\--Assistance described in subsection

\(a\) may be provided to a child only if adequate treatment from other

sources in Iraq or neighboring countries is not available and only

after completion of an evaluation by a physician or other appropriate

medical personnel of the United States Armed Forces. In addition,

assistance described in subsection (a) may be provided only if it would

not adversely affect military operations of the United States.

\(c\) Definition.\--In this section, the term \`\`Operation Iraqi

Freedom\'\' means operations of the United States Armed Forces, the
armed

forces of the United Kingdom, and the armed forces of other coalition

member countries initiated on or about March 19, 2003\--

\(1\) to disarm Iraq of its weapons of mass destruction;

\(2\) to enforce United Nations Security Council Resolution

1441 (November 8, 2002) and other relevant Security Council

resolutions with respect to Iraq; and

\(3\) to liberate the people of Iraq from the regime of

Saddam Hussein.

TITLE XIII\--COOPERATIVE THREAT REDUCTION WITH STATES OF THE FORMER

SOVIET UNION

SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS AND

FUNDS.

\(a\) Specification of CTR Programs.\--For purposes of section 301 and

other provisions of this Act, Cooperative Threat Reduction programs are

the programs specified in section 1501(b) of the National Defense

Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat.

2731; 50 U.S.C. 2362 note).

\(b\) Fiscal Year 2004 Cooperative Threat Reduction Funds Defined.\--

As used in this title, the term \`\`fiscal year 2004 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 \$450,800,000 authorized

to be appropriated to the Department of Defense for fiscal year 2004 in

section 301(19) for Cooperative Threat Reduction programs, the

following amounts may be obligated for the purposes specified:

\(1\) For strategic offensive arms elimination in Russia,

\$86,400,000.

\(2\) For strategic nuclear arms elimination in Ukraine,

\$3,900,000.

\(3\) For nuclear weapons transportation security in Russia,

\$23,200,000.

\(4\) For nuclear weapons storage security in Russia,

\$48,000,000.

\(5\) For activities designated as Other Program Support,

\$13,100,000.

\(6\) For defense and military contacts, \$11,100,000.

\(7\) For chemical weapons destruction in Russia,

\$171,500,000.

\(8\) For biological weapons proliferation prevention in the

former Soviet Union, \$54,200,000.

\(9\) For weapons of mass destruction proliferation

prevention in the states of the former Soviet Union,

\$39,400,000.

\(b\) Report on Obligation or Expenditure of Funds for Other

Purposes.\--No fiscal year 2004 Cooperative Threat Reduction funds may

be obligated or expended for a purpose other than a purpose listed in

paragraphs (1) through (9) 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 2004 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 2004 for a

purpose listed in any of the paragraphs in subsection (a) in excess of

the specific amount authorized for that purpose.

\(2\) An obligation of funds for a purpose stated in any of the

paragraphs in subsection (a) in excess of the specific amount

authorized for such purpose may be made using the authority provided in

paragraph (1) only after\--

\(A\) the Secretary submits to Congress notification of the

intent to do so together with a complete discussion of the

justification for doing so; and

\(B\) 15 days have elapsed following the date of the

notification.

\(3\) The Secretary may not, under the authority provided in

paragraph (1), obligate amounts for a purpose stated in any of

paragraphs (5) through (8) of subsection (a) in excess of 125 percent

of the specific amount authorized for such purpose.

SEC. 1303. LIMITATION ON USE OF FUNDS UNTIL CERTAIN PERMITS OBTAINED.

\(a\) Limitation on Use of Funds.\--With respect to a new project or

an incomplete project carried out by the Department of Defense under

Cooperative Threat Reduction programs, not more than 35 percent of the

total costs of the project may be obligated or expended from

Cooperative Threat Reduction funds for any fiscal year until\--

\(1\) the Secretary of Defense determines\--

\(A\) in the case of a new project, the number and

type of permits that may be required for the lifetime

of the project in the proposed location or locations of

the project; and

\(B\) in the case of an incomplete project, the

number and type of permits that may be required for the

remaining lifetime of the project; and

\(2\) the government of the state of the former Soviet Union

in which the project is being or is proposed to be carried out

obtains and transmits copies of all such permits to the

Department of Defense.

\(b\) Definitions.\--In this section, with respect to a project under

Cooperative Threat Reduction programs:

\(1\) New project.\--The term \`\`new project\'\' means a project

for which no funds have been obligated or expended as of the

date of the enactment of this Act.

\(2\) Incomplete project.\--The term \`\`incomplete project\'\'

means a project for which funds have been obligated or expended

before the date of the enactment of this Act and which is not

completed as of such date.

\(3\) Permit.\--The term \`\`permit\'\' means any local or

national permit for development, general construction,

environmental, land use, or other purposes that is required in

the state of the former Soviet Union in which the project is

being or is proposed to be carried out.

SEC. 1304. LIMITATION ON USE OF FUNDS FOR BIOLOGICAL RESEARCH IN THE

FORMER SOVIET UNION.

Of the funds authorized to be appropriated for biological weapons

proliferation prevention pursuant to section 1302, no funds may be

obligated for cooperative biodefense research or bioattack early

warning and preparedness under a Cooperative Threat Reduction program

at a site in a state of the former Soviet Union until the Secretary of

Defense notifies Congress that\--

\(1\) the Secretary has determined, through access to the

site, that no biological weapons research prohibited by

international law is being conducted at the site;

\(2\) the Secretary has assessed the vulnerability of the

site to external or internal attempts to exploit or obtain

dangerous pathogens illicitly; and

\(3\) the Secretary has begun to implement appropriate

security measures at the site to reduce that vulnerability and

to prevent the diversion of dangerous pathogens from legitimate

research.

SEC. 1305. AUTHORITY AND FUNDS FOR NONPROLIFERATION AND DISARMAMENT.

The Secretary of Defense is authorized to transfer \$78,000,000 in

prior year Cooperative Threat Reduction funds from the Department of

Defense to the Department of State Nonproliferation and Disarmament

Fund for disarmament and nonproliferation purposes outside the

territory of the former Soviet Union.

SEC. 1306. REQUIREMENT FOR ON-SITE MANAGERS.

\(a\) On-Site Manager Requirement.\--Before obligating any Cooperative

Threat Reduction funds for a project described in subsection (b), the

Secretary of Defense shall appoint a United States Federal Government

employee as an on-site manager.

\(b\) Projects Covered.\--Subsection (a) applies to a project\--

\(1\) to be located in a state of the former Soviet Union;

\(2\) which involves dismantlement, destruction, or storage

facilities, or construction of a facility; and

\(3\) with respect to which the total contribution by the

Department of Defense is expected to exceed \$25,000,000.

\(c\) Duties of On-Site Manager.\--The on-site manager appointed under

subsection (a) shall\--

\(1\) develop, in cooperation with representatives from

governments of countries participating in the project, a list

of those steps or activities critical to achieving the

project\'s disarmament or nonproliferation goals;

\(2\) establish a schedule for completing those steps or

activities;

\(3\) meet with all participants to seek assurances that

those steps or activities are being completed on schedule; and

\(4\) suspend United States participation in a project when a

non-United States participant fails to complete a scheduled

step or activity on time, unless directed by the Secretary of

Defense to resume United States participation.

\(d\) Steps or Activities.\--Steps or activities referred to in

subsection (c)(1) are those activities that, if not completed, will

prevent a project from achieving its disarmament or nonproliferation

goals, including, at a minimum, the following:

\(1\) Identification and acquisition of permits (as defined

in section 1303(b)).

\(2\) Verification that the items, substances, or

capabilities to be dismantled, secured, or otherwise modified

are available for dismantlement, securing, or modification.

\(3\) Timely provision of financial, personnel, management,

transportation, and other resources.

\(e\) Notification to Congress.\--In any case in which the Secretary

of Defense directs an on-site manager to resume United States

participation in a project under subsection (c)(4), the Secretary shall

concurrently notify Congress of such direction.

\(f\) Effective Date.\--This section shall take effect six months

after the date of the enactment of this Act.

SEC. 1307. PROVISIONS RELATING TO FUNDING FOR CHEMICAL WEAPONS

DESTRUCTION FACILITY IN RUSSIA.

\(a\) Inapplicability of Limitation on Use of Funds.\--(1) The

conditions described in section 1305 of the National Defense

Authorization Act for Fiscal Year 2000 (Public Law 106-65; 22 U.S.C.

5952 note) shall not apply to the obligation and expenditure of funds

available for obligation during fiscal year 2004 for the planning,

design, or construction of a chemical weapons destruction facility in

Russia if the President submits to Congress a written certification

that includes\--

\(A\) a statement as to why waiving the conditions is

important to the national security interests of the United

States;

\(B\) a full and complete justification for exercising this

waiver; and

\(C\) a plan to promote a full and accurate disclosure by

Russia regarding the size, content, status, and location of its

chemical weapons stockpile.

\(2\) The authority under paragraph (1) shall expire on September 30,

2004\.

\(b\) Availability of Funds.\--(1) Except as provided in paragraph

(2), of the funds that may be obligated for a chemical weapons

destruction facility in Russia as specified in section 1302(a)(7), the

Secretary of Defense may not obligate an amount greater than two times

the amount obligated by Russia and any other state for the planning,

design, construction, or operation of a chemical weapons destruction

facility in Russia.

\(2\) Of the funds that may be obligated for a chemical weapons

destruction facility in Russia as specified in section 1302(a)(7),

\$71,500,000 shall be available for obligation on and after October 1,

2003\.

SEC. 1308. STUDY RELATING TO EX-SOVIET URANIUM AND PLUTONIUM.

The Secretary of Defense shall submit a study to Congress not later

than one year after the date of the enactment of this Act, examining

the costs and benefits of purchasing all the ex-Soviet weapons-grade

uranium and plutonium in fiscal year 2005, and safeguarding it from

smuggling or theft until it can be rendered unusable for weapons.

TITLE XIV\--SERVICES ACQUISITION REFORM

SEC. 1401. SHORT TITLE.

This title may be cited as the \`\`Services Acquisition Reform Act of

2003\'\'.

SEC. 1402. EXECUTIVE AGENCY DEFINED.

In this title, 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)), unless specifically stated otherwise.

Subtitle A\--Acquisition Workforce and Training

SEC. 1411. DEFINITION OF ACQUISITION.

Section 4 of the Office of Federal Procurement Policy Act (41

U.S.C. 403) is amended by adding at the end the following:

\`\`(16) The term \`acquisition\'\--

\`\`(A) means the process of acquiring, with

appropriated funds, by contract for purchase or lease,

property or services (including construction) that

support the missions and goals of an executive agency,

from the point at which the requirements of the

executive agency are established in consultation with

the chief acquisition officer of the executive agency;

and

\`\`(B) includes\--

\`\`(i) the process of acquiring property or

services that are already in existence, or that

must be created, developed, demonstrated, and

evaluated;

\`\`(ii) the description of requirements to

satisfy agency needs;

\`\`(iii) solicitation and selection of

sources;

\`\`(iv) award of contracts;

\`\`(v) contract performance;

\`\`(vi) contract financing:

\`\`(vii) management and measurement of

contract performance through final delivery and

payment; and

\`\`(viii) technical and management functions

directly related to the process of fulfilling

agency requirements by contract.\'\'.

SEC. 1412. ACQUISITION WORKFORCE TRAINING FUND.

\(a\) Purposes.\--The purposes of this section are to ensure that the

Federal acquisition workforce\--

\(1\) adapts to fundamental changes in the nature of Federal

Government acquisition of property and services associated with

the changing roles of the Federal Government; and

\(2\) acquires new skills and a new perspective to enable it

to contribute effectively in the changing environment of the

21st century.

\(b\) Establishment of Fund.\--Section 37 of the Office of Federal

Procurement Policy Act (41 U.S.C. 433) is amended by adding at the end

of subsection (h) the following new paragraph:

\`\`(3) Acquisition workforce training fund.\--(A) The

Administrator of General Services shall establish an

acquisition workforce training fund. The Administrator shall

manage the fund through the Federal Acquisition Institute to

support the training of the acquisition workforce of the

executive agencies other than the Department of Defense. The

Administrator shall consult with the Administrator for Federal

Procurement Policy in managing the fund.

\`\`(B) There shall be credited to the acquisition workforce

training fund 5 percent of the fees collected by executive

agencies (other than the Department of Defense) under the

following contracts:

\`\`(i) Governmentwide task and delivery-order

contracts entered into under sections 303H and 303I of

the Federal Property and Administrative Services Act of

1949 (41 U.S.C. 253h and 253i).

\`\`(ii) Governmentwide contracts for the acquisition

of information technology as defined in section 11101

of title 40, United States Code, and multiagency

acquisition contracts for such technology authorized by

section 11314 of such title.

\`\`(iii) Multiple-award schedule contracts entered

into by the Administrator of General Services.

\`\`(C) The head of an executive agency that administers a

contract described in subparagraph (B) shall remit to the

General Services Administration the amount required to be

credited to the fund with respect to such contract at the end

of each quarter of the fiscal year.

\`\`(D) The Administrator of General Services, through the

Office of Federal Acquisition Policy, shall ensure that funds

collected for training under this section are not used for any

purpose other than the purpose specified in subparagraph (A).

\`\`(E) Amounts credited to the fund shall be in addition to

funds requested and appropriated for education and training

referred to in paragraph (1).

\`\`(F) Amounts credited to the fund shall remain available

until expended.\'\'.

\(c\) Exception.\--This section and the amendments made by this

section shall not apply to the acquisition workforce of the Department

of Defense.

SEC. 1413. ACQUISITION WORKFORCE RECRUITMENT PROGRAM.

\(a\) Authority To Carry Out Program.\--For purposes of sections 3304,

5333, and 5753 of title 5, United States Code, the head of a department

or agency of the United States (including the Secretary of Defense) may

determine that certain Federal acquisition positions are \`\`shortage

category\'\' positions in order to recruit and appoint directly to

positions of employment in the department or agency highly qualified

persons, such as any person who\--

\(1\) holds a bachelor\'s degree from an accredited

institution of higher education;

\(2\) holds, from an accredited law school or an accredited

institution of higher education\--

\(A\) a law degree; or

\(B\) a masters or equivalent degree in business

administration, public administration, or systems

engineering; or

\(3\) has significant experience with commercial acquisition

practices, terms, and conditions.

\(b\) Requirements.\--The exercise of authority to take a personnel

action under this section shall be subject to policies prescribed by

the Office of Personnel Management that govern direct recruitment,

including policies requiring appointment of a preference eligible who

satisfies the qualification requirements.

\(c\) Termination of Authority.\--The head of a department or agency

may not appoint a person to a position of employment under this section

after September 30, 2007.

\(d\) Report.\--Not later than March 31, 2007, the Administrator for

Federal Procurement Policy shall submit to Congress a report on the

implementation of this section. The report shall include\--

\(1\) the Administrator\'s assessment of the efficacy of the

exercise of the authority provided in this section in

attracting employees with unusually high qualifications to the

acquisition workforce; and

\(2\) any recommendations considered appropriate by the

Administrator on whether the authority to carry out the program

should be extended.

SEC. 1414. ARCHITECTURAL AND ENGINEERING ACQUISITION WORKFORCE.

The Administrator for Federal Procurement Policy, in consultation

with the Secretary of Defense, the Administrator of General Services,

and the Director of the Office of Personnel Management, shall develop

and implement a plan to ensure that the Federal Government maintains

the necessary capability with respect to the acquisition of

architectural and engineering services to\--

\(1\) ensure that Federal Government employees have the

expertise to determine agency requirements for such services;

\(2\) establish priorities and programs (including

acquisition plans);

\(3\) establish professional standards;

\(4\) develop scopes of work; and

\(5\) award and administer contracts for such services.

Subtitle B\--Adaptation of Business Acquisition Practices

PART I\--ADAPTATION OF BUSINESS MANAGEMENT PRACTICES

SEC. 1421. CHIEF ACQUISITION OFFICERS.

\(a\) Appointment of Chief Acquisition Officers.\--(1) Section 16 of

the Office of Federal Procurement Policy Act (41 U.S.C. 414) is amended

to read as follows:

\`\`SEC. 16. CHIEF ACQUISITION OFFICERS.

\`\`(a) Establishment of Agency Chief Acquisition Officers.\--The head

of each executive agency (other than the Department of Defense) shall

appoint or designate a non-career employee as Chief Acquisition Officer

for the agency, who shall\--

\`\`(1) have acquisition management as that official\'s

primary duty; and

\`\`(2) advise and assist the head of the executive agency

and other agency officials to ensure that the mission of the

executive agency is achieved through the management of the

agency\'s acquisition activities.

\`\`(b) Authority and Functions of Agency Chief Acquisition

Officers.\--The functions of each Chief Acquisition Officer shall

include\--

\`\`(1) monitoring the performance of acquisition activities

and acquisition programs of the executive agency, evaluating

the performance of those programs on the basis of applicable

performance measurements, and advising the head of the

executive agency regarding the appropriate business strategy to

achieve the mission of the executive agency;

\`\`(2) increasing the use of full and open competition in

the acquisition of property and services by the executive

agency by establishing policies, procedures, and practices that

ensure that the executive agency receives a sufficient number

of sealed bids or competitive proposals from responsible

sources to fulfill the Government\'s requirements (including

performance and delivery schedules) at the best value

considering the nature of the property or service procured;

\`\`(3) making acquisition decisions consistent with all

applicable laws and establishing clear lines of authority,

accountability, and responsibility for acquisition

decisionmaking within the executive agency;

\`\`(4) managing the direction of acquisition policy for the

executive agency, including implementation of the unique

acquisition policies, regulations, and standards of the

executive agency;

\`\`(5) developing and maintaining an acquisition career

management program in the executive agency to ensure that there

is an adequate professional workforce; and

\`\`(6) as part of the strategic planning and performance

evaluation process required under section 306 of title 5,

United States Code, and sections 1105(a)(28), 1115, 1116, and

9703 of title 31, United States Code\--

\`\`(A) assessing the requirements established for

agency personnel regarding knowledge and skill in

acquisition resources management and the adequacy of

such requirements for facilitating the achievement of

the performance goals established for acquisition

management;

\`\`(B) in order to rectify any deficiency in meeting

such requirements, developing strategies and specific

plans for hiring, training, and professional

development; and

\`\`(C) reporting to the head of the executive agency

on the progress made in improving acquisition

management capability.\'\'.

\(2\) The item relating to section 16 in the table of contents in

section 1(b) of such Act is amended to read as follows:

\`\`Sec. 16. Chief Acquisition Officers.\'\'.

\(b\) References to Senior Procurement Executive.\--

\(1\) Amendment to the office of federal policy act.\--

\(A\) Subsections (a)(2)(A) and (b) of section 20 of

the Office of Federal Procurement Policy Act (41 U.S.C.

418(a)(2)(A), (b)) are amended by striking \`\`senior

procurement executive\'\' each place it appears and

inserting \`\`Chief Acquisition Officer\'\'.

\(B\) Subsection (c)(2)(A)(ii) of section 29 of the

Office of Federal Procurement Policy Act (41 U.S.C.

425(c)(2)(A)(ii)) is amended by striking \`\`senior

procurement executive\'\' and inserting \`\`Chief

Acquisition Officer\'\'.

\(C\) Subsection (c) of section 37 of the Office of

Federal Procurement Policy Act (41 U.S.C. 433(c)) is

amended\--

\(i\) by striking \`\`Senior Procurement

Executive\'\' in the heading and inserting

\`\`Chief Acquisition Officer\'\'; and

\(ii\) by striking \`\`senior procurement

executive\'\' each place it appears and inserting

\`\`Chief Acquisition Officer\'\'.

\(2\) Amendment to title iii of the federal property and

administrative services act of 1949.\--Sections 302C(b) and

303(f)(1)(B)(iii) of the Federal Property and Administrative

Services Act of 1949 (41 U.S.C. 252c, 253) are amended by

striking \`\`senior procurement executive\'\' each place it appears

and inserting \`\`Chief Acquisition Officer\'\'.

\(3\) Amendment to title 10, united states code.\--The

following sections of title 10, United States Code are amended

by striking \`\`senior procurement executive\'\' each place it

appears and inserting \`\`Chief Acquisition Officer\'\':

\(A\) Section 133(c)(1).

\(B\) Subsections (d)(2)(B) and (f)(1) of section

2225\.

\(C\) Section 2302c(b).

\(D\) Section 2304(f)(1)(B)(iii).

\(E\) Section 2359a(i).

\(4\) References.\--Any reference to a senior procurement

executive of a department or agency of the United States in any

other provision of law or regulation, document, or record of

the United States shall be deemed to be a reference to the

Chief Acquisition Officer of the department or agency.

\(c\) Technical Correction.\--Section 1115(a) of title 31, United

States Code, is amended by striking \`\`section 1105(a)(29)\'\' and

inserting \`\`section 1105(a)(28)\'\'.

SEC. 1422. CHIEF ACQUISITION OFFICERS COUNCIL.

\(a\) Establishment of Council.\--The Office of Federal Procurement

Policy Act (41 U.S.C. 403 et seq.) is amended by inserting after

section 16 the following new section:

\`\`SEC. 16A. CHIEF ACQUISITION OFFICERS COUNCIL.

\`\`(a) Establishment.\--There is established in the executive branch

a Chief Acquisition Officers Council.

\`\`(b) Membership.\--The members of the Council shall be as follows:

\`\`(1) The Deputy Director for Management of the Office of

Management and Budget, who shall act as Chairman of the

Council.

\`\`(2) The Administrator for Federal Procurement Policy.

\`\`(3) The chief acquisition officer of each executive

agency.

\`\`(4) The Under Secretary of Defense for Acquisition,

Technology, and Logistics.

\`\`(5) Any other officer or employee of the United States

designated by the Chairman.

\`\`(c) Leadership; Support.\--(1) The Administrator for Federal

Procurement Policy shall lead the activities of the Council on behalf

of the Deputy Director for Management.

\`\`(2)(A) The Vice Chairman of the Council shall be selected by the

Council from among its members.

\`\`(B) The Vice Chairman shall serve a 1-year term, and may serve

multiple terms.

\`\`(3) The Administrator of General Services shall provide

administrative and other support for the Council.

\`\`(d) Principal Forum.\--The Council is designated the principal

interagency forum for monitoring and improving the Federal acquisition

system.

\`\`(e) Functions.\--The Council shall perform functions that include

the following:

\`\`(1) Develop recommendations for the Director of the

Office of Management and Budget on Federal acquisition policies

and requirements.

\`\`(2) Share experiences, ideas, best practices, and

innovative approaches related to Federal acquisition.

\`\`(3) Assist the Administrator in the identification,

development, and coordination of multiagency projects and other

innovative initiatives to improve Federal acquisition.

\`\`(4) Promote effective business practices that ensure the

timely delivery of best value products to the Federal

Government and achieve appropriate public policy objectives.

\`\`(5) Further integrity, fairness, competition, openness,

and efficiency in the Federal acquisition system.

\`\`(6) Work with the Office of Personnel Management to

assess and address the hiring, training, and professional

development needs of the Federal Government related to

acquisition.

\`\`(7) Work with the Administrator and the Federal

Acquisition Regulatory Council to promote the business

practices referred to in paragraph (4) and other results of the

functions carried out under this subsection.\'\'.

\(b\) Clerical Amendment.\--The table of contents in section 1(b) of

such Act is amended by inserting after the item relating to section 16

the following new item:

\`\`Sec. 16A. Chief Acquisition Officers Council.\'\'.

SEC. 1423. STATUTORY AND REGULATORY REVIEW.

\(a\) Establishment.\--Not later than 90 days after the date of the

enactment of this Act, the Administrator for Federal Procurement Policy

shall establish an advisory panel to review laws and regulations

regarding the use of commercial practices, performance-based

contracting, the performance of acquisition functions across agency

lines of responsibility, and the use of Governmentwide contracts.

\(b\) Membership.\--The panel shall be composed of at least nine

individuals who are recognized experts in acquisition law and

Government acquisition policy. In making appointments to the panel, the

Administrator shall\--

\(1\) consult with the Secretary of Defense, the

Administrator of General Services, the Committees on Armed

Services and Government Reform of the House of Representatives,

and the Committees on Armed Services and Governmental Affairs

of the Senate, and

\(2\) ensure that the members of the panel reflect the

diverse experiences in the public and private sectors.

\(c\) Duties.\--The panel shall\--

\(1\) review all Federal acquisition laws and regulations

with a view toward ensuring effective and appropriate use of

commercial practices and performance-based contracting; and

\(2\) make any recommendations for the repeal or amendment of

such laws or regulations that are considered necessary as a

result of such review\--

\(A\) to eliminate any provisions in such laws or

regulations that are unnecessary for the effective,

efficient, and fair award and administration of

contracts for the acquisition by the Federal Government

of goods and services;

\(B\) to ensure the continuing financial and ethical

integrity of acquisitions by the Federal Government;

and

\(C\) to protect the best interests of the Federal

Government.

\(d\) Report.\--Not later than one year after the establishment of the

panel, the panel shall submit to the Administrator and to the

Committees on Armed Services and Government Reform of the House of

Representatives and the Committees on Armed Services and Governmental

Affairs of the Senate a report containing a detailed statement of the

findings, conclusions, and recommendations of the panel.

PART II\--OTHER ACQUISITION IMPROVEMENTS

SEC. 1426. EXTENSION OF AUTHORITY TO CARRY OUT FRANCHISE FUND PROGRAMS.

Section 403(f) of the Federal Financial Management Act of 1994

(Public Law 103-356; 31 U.S.C. 501 note) is amended by striking

\`\`October 1, 2003\'\' and inserting \`\`October 1, 2006\'\'.

SEC. 1427. AGENCY ACQUISITION PROTESTS.

\(a\) Defense Contracts.\--(1) Chapter 137 of title 10, United States

Code, is amended by inserting after section 2305a the following new

section:

\`\`Sec. 2305b. Protests

\`\`(a) In General.\--An interested party may protest an acquisition

of supplies or services by an agency based on an alleged violation of

an acquisition law or regulation, and a decision regarding such alleged

violation shall be made by the agency in accordance with this section.

\`\`(b) Restriction on Contract Award Pending Decision.\--(1) Except

as provided in paragraph (2), a contract may not be awarded by an

agency after a protest concerning the acquisition has been submitted

under this section and while the protest is pending.

\`\`(2) The head of the acquisition activity responsible for the

award of the contract may authorize the award of a contract,

notwithstanding pending protest under this section, upon making a

written finding that urgent and compelling circumstances do not allow

for waiting for a decision on the protest.

\`\`(c) Restriction on Contract Performance Pending Decision.\--(1)

Except as provided in paragraph (2), performance of a contract may not

be authorized (and performance of the contract shall cease if

performance has already begun) in any case in which a protest of the

contract award is submitted under this section before the later of\--

\`\`(A) the date that is 10 days after the date of contract

award; or

\`\`(B) the date that is five days after an agency debriefing

date offered to an unsuccessful offeror for any debriefing that

is requested and, when requested, is required, under section

2305(b)(5) of this title.

\`\`(2) The head of the acquisition activity responsible for the

award of a contract may authorize performance of the contract

notwithstanding a pending protest under this section upon making a

written finding that urgent and compelling circumstances do not allow

for waiting for a decision on the protest.

\`\`(d) Deadline for Decision.\--The head of an agency shall issue a

decision on a protest under this section not later than the date that

is 20 working days after the date on which the protest is submitted to

such head of an agency.

\`\`(e) Construction.\--Nothing in this section shall affect the right

of an interested party to file a protest with the Comptroller General

under subchapter V of chapter 35 of title 31 or in the United States

Court of Federal Claims.

\`\`(f) Definitions.\--In this section, the terms \`protest\' and

\`interested party\' have the meanings given such terms in section 3551

of title 31.\'\'.

\(2\) The table of sections at the beginning of such chapter is

amended by inserting after the item relating to section 2305a the

following new item:

\`\`2305b. Protests.\'\'.

\(b\) Other Agencies.\--Title III of the Federal Property and

Administrative Services Act of 1949 is amended by inserting after

section 303M (41 U.S.C. 253m) the following new section:

\`\`SEC. 303N. PROTESTS.

\`\`(a) In General.\--An interested party may protest an acquisition

of supplies or services by an executive agency based on an alleged

violation of an acquisition law or regulation, and a decision regarding

such alleged violation shall be made by the agency in accordance with

this section.

\`\`(b) Restriction on Contract Award Pending Decision.\--(1) Except

as provided in paragraph (2), a contract may not be awarded by an

agency after a protest concerning the acquisition has been submitted

under this section and while the protest is pending.

\`\`(2) The head of the acquisition activity responsible for the

award of a contract may authorize the award of the contract,

notwithstanding a pending protest under this section, upon making a

written finding that urgent and compelling circumstances do not allow

for waiting for a decision on the protest.

\`\`(c) Restriction on Contract Performance Pending Decision.\--(1)

Except as provided in paragraph (2), performance of a contract may not

be authorized (and performance of the contract shall cease if

performance has already begun) in any case in which a protest of the

contract award is submitted under this section before the later of\--

\`\`(A) the date that is 10 days after the date of contract

award; or

\`\`(B) the date that is five days after an agency debriefing

date offered to an unsuccessful offeror for any debriefing that

is requested and, when requested, is required, under section

303B(e) of this title.

\`\`(2) The head of the acquisition activity responsible for the

award of a contract may authorize performance of the contract

notwithstanding a pending protest under this section upon making a

written finding that urgent and compelling circumstances do not allow

for waiting for a decision on the protest.

\`\`(d) Deadline for Decision.\--The head of an executive agency shall

issue a decision on a protest under this section not later than the

date that is 20 working days after the date on which the protest is

submitted to the executive agency.

\`\`(e) Construction.\--Nothing in this section shall affect the right

of an interested party to file a protest with the Comptroller General

under subchapter V of chapter 35 of title 31, United States Code, or in

the United States Court of Federal Claims.

\`\`(f) Definitions.\--In this section, the terms \`protest\' and

\`interested party\' have the meanings given such terms in section 3551

of title 31, United States Code.\'\'.

\(c\) Conforming Amendment.\--Section 3553(d)(4) of title 31, United

States Code, is amended\--

\(1\) in subparagraph (A), by striking \`\`or\'\' at the end;

\(2\) by striking the period at the end of subparagraph (B)

and inserting \`\`; or\'\'; and

\(3\) by adding at the end the following new subparagraph:

\`\`(C) in the case of a protest of the same matter regarding

such contract that is submitted under section 2305b of title 10

or section 303N of the Federal Property and Administrative

Services Act of 1949, the date that is 5 days after the date on

which a decision on that protest is issued.\'\'.

SEC. 1428. IMPROVEMENTS IN CONTRACTING FOR ARCHITECTURAL AND

ENGINEERING SERVICES.

\(a\) Title 10.\--Section 2855(b) of title 10, United States Code, is

amended\--

\(1\) in paragraph (2), by striking \`\`\$85,000\'\' and inserting

\`\`\$300,000\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(4) The selection and competition requirements described in

subsection (a) shall apply to any contract for architectural and

engineering services (including surveying and mapping services) that is

entered into by the head of an agency (as such term is defined in

section 2302 of this title).\'\'.

\(b\) Architectural and Engineering Services.\--Architectural and

engineering services (as defined in section 1102 of title 40, United

States Code) shall not be offered under multiple-award schedule

contracts entered into by the Administrator of General Services or

under Governmentwide task and delivery-order contracts entered into

under sections 2304a and 2304b of title 10, United States Code, or

sections 303H and 303I of the Federal Property and Administrative

Services Act of 1949 (41 U.S.C. 253h and 253i) unless such services\--

\(1\) are performed under the direct supervision of a

professional engineer licensed in a State; and

\(2\) are awarded in accordance with the selection procedures

set forth in chapter 11 of title 40, United States Code.

SEC. 1429. AUTHORIZATION OF TELECOMMUTING FOR FEDERAL CONTRACTORS.

\(a\) Amendment to the Federal Acquisition Regulation.\--Not later

than 180 days after the date of the enactment of this Act, the Federal

Acquisition Regulatory Council shall amend 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) to permit

telecommuting by employees of Federal Government contractors in the

performance of contracts entered into with executive agencies.

\(b\) Content of Amendment.\--The regulation issued pursuant to

subsection (a) shall, at a minimum, provide that solicitations for the

acquisition of property or services may not set forth any requirement

or evaluation criteria that would\--

\(1\) render an offeror ineligible to enter into a contract

on the basis of the inclusion of a plan of the offeror to

permit the offeror\'s employees to telecommute; or

\(2\) reduce the scoring of an offer on the basis of the

inclusion in the offer of a plan of the offeror to permit the

offeror\'s employees to telecommute, unless the contracting

officer concerned first\--

\(A\) determines that the requirements of the agency,

including the security requirements of the agency,

cannot be met if the telecommuting is permitted; and

\(B\) documents in writing the basis for that

determination.

\(c\) GAO Report.\--Not later than one year after the date on which

the regulation required by subsection (a) is published in the Federal

Register, the Comptroller General shall submit to Congress\--

\(1\) an evaluation of\--

\(A\) the conformance of the regulations with law;

and

\(B\) the compliance by executive agencies with the

regulations; and

\(2\) any recommendations that the Comptroller General

considers appropriate.

\(d\) Definition.\--In this section, the term \`\`executive agency\'\'
has

the meaning given that term in section 4 of the Office of Federal

Procurement Policy Act (41 U.S.C. 403).

Subtitle C\--Contract Incentives

SEC. 1431. INCENTIVES FOR CONTRACT EFFICIENCY.

\(a\) Incentives for Contract Efficiency.\--The Office of Federal

Procurement Policy Act (41 U.S.C. 403 et seq.) is amended by adding at

the end the following new section:

\`\`SEC. 41. INCENTIVES FOR EFFICIENT PERFORMANCE OF SERVICES CONTRACTS.

\`\`(a) Options for Services Contracts.\--An option included in a

contract for services to extend the contract by one or more periods may

provide that it be exercised on the basis of exceptional performance by

the contractor. A contract that contains such an option provision shall

include performance standards for measuring performance under the

contract, and to the maximum extent practicable be performance-based.

Such option provision shall only be exercised in accordance with

applicable provisions of law or regulation that set forth restrictions

on the duration of the contract containing the option.

\`\`(b) Definition of Performance-Based.\--In this section, the term

\`performance-based\', with respect to a contract, 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.\'\'.

\(b\) Clerical and Technical Amendments.\--(1) The table of contents

in section 1(b) of such Act is amended by striking the last item and

inserting the following:

\`\`Sec. 40. Protection of constitutional rights of contractors.

\`\`Sec. 41. Incentives for efficient performance of services

contracts.\'\'.

\(2\) The section before section 41 of such Act (as added by

subsection (a)) is redesignated as section 40.

Subtitle D\--Acquisitions of Commercial Items

SEC. 1441. ADDITIONAL INCENTIVE FOR USE OF PERFORMANCE-BASED

CONTRACTING FOR SERVICES.

\(a\) Other Contracts.\--Section 41 of the Office of Federal

Procurement Policy Act, as added by section 1431, is amended\--

\(1\) by redesignating subsection (b) as subsection (c); and

\(2\) by inserting after subsection (a) the following new

subsection:

\`\`(b) Incentive for Use of Performance-Based Services Contracts.\--

\(1\) A performance-based contract for the procurement of services

entered into by an executive agency or a performance-based task order

for services issued by an executive agency may be treated as a contract

for the procurement of commercial items if\--

\`\`(A) 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; and

\`\`(ii) identifies the specific end products or

output to be achieved; and

\`\`(B) the source of the services provides similar services

to the general public under terms and conditions similar to

those offered to the Federal Government.

\`\`(2) The regulations implementing this subsection shall require

agencies to collect and maintain reliable data sufficient to identify

the contracts or task orders treated as contracts for commercial items

using the authority of this subsection. The data may be collected using

the Federal Procurement Data System or other reporting mechanism.

\`\`(3) Not later than two years after the date of the enactment of

this subsection, the Director of the Office of Management and Budget

shall prepare and submit to the Committees on Governmental Affairs and

on Armed Services of the Senate and the Committees on Government Reform

and on Armed Services of the House of Representatives a report on the

contracts or task orders treated as contracts for commercial items

using the authority of this subsection. The report shall include data

on the use of such authority both government-wide and for each

department and agency.

\`\`(4) The authority under this subsection shall expire 10 years

after the date of the enactment of this subsection.\'\'.

\(b\) Center of Excellence in Service Contracting.\--Not later than

180 days after the date of the enactment of this Act, the Administrator

for Federal Procurement Policy shall establish a center of excellence

in contracting for services. The 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.

\(c\) Repeal of Superseded Provision.\--Subsection (b) of section 821

of the Floyd D. Spence National Defense Authorization Act for Fiscal

Year 2001 (as enacted into law by Public Law 106-398; 114 Stat. 1654A-

218\) is repealed.

SEC. 1442. AUTHORIZATION OF ADDITIONAL COMMERCIAL CONTRACT TYPES.

Section 8002(d) of the Federal Acquisition Streamlining Act of 1994

(Public Law 103-355; 108 Stat. 3387; 41 U.S.C. 264 note) is amended\--

\(1\) in paragraph (1), by striking \`\`and\'\';

\(2\) by striking the period at the end of paragraph (2) and

inserting \`\`; and\'\'; and

\(3\) by adding at the end the following new paragraph:

\`\`(3) authority for use of a time and materials contract or

a labor-hour contract for the procurement of commercial

services that are commonly sold to the general public through

such contracts.\'\'.

SEC. 1443. CLARIFICATION OF COMMERCIAL SERVICES DEFINITION.

Subparagraph (F) of section 4(12) of the Office of Federal

Procurement Policy Act (41 U.S.C. 403(12)(F)) is amended\--

\(1\) by striking \`\`catalog or\'\'; and

\(2\) by inserting \`\`or specific outcomes to be achieved\'\'

after \`\`performed\'\'.

SEC. 1444. DESIGNATION OF COMMERCIAL BUSINESS ENTITIES.

\(a\) In General.\--Section 4 of the Office of Federal Procurement

Policy Act (41 U.S.C. 403), as amended by section 1411, is further

amended\--

\(1\) by adding at the end of paragraph (12) the following

new subparagraph:

\`\`(I) Items or services produced or provided by a

commercial entity.\'\'; and

\(2\) by adding at the end the following new paragraph:

\`\`(17) The term \`commercial entity\' means any enterprise

whose primary customers are other than the Federal Government.

In order to qualify as a commercial entity, at least 90 percent

(in dollars) of the sales of the enterprise over the past three

business years must have been made to private sector

entities.\'\'.

\(b\) Collection of Data.\--Regulations implementing the amendments

made by subsection (a) shall require agencies to collect and maintain

reliable data sufficient to identify the contracts entered into or task

orders awarded for items or services produced or provided by a

commercial entity. The data may be collected using the Federal

Procurement Data System or other reporting mechanism.

\(c\) OMB Report.\--Not later than two years after the date of the

enactment of this subsection, the Director of the Office of Management

and Budget shall prepare and submit to the Committees on Governmental

Affairs and on Armed Services of the Senate and the Committees on

Government Reform and on Armed Services of the House of Representatives

a report on the contracts entered into or task orders awarded for items

or services produced or provided by a commercial entity. The report

shall include data on the use of such authority both government-wide

and for each department and agency.

\(d\) Comptroller General Review.\--The Comptroller General shall

review the implementation of the amendments made by subsection (a) to

evaluate the effectiveness of such implementation in increasing the

availability of items and services to the Federal Government at fair

and reasonable prices.

Subtitle E\--Other Matters

SEC. 1451. AUTHORITY TO ENTER INTO CERTAIN PROCUREMENT-RELATED

TRANSACTIONS AND TO CARRY OUT CERTAIN PROTOTYPE PROJECTS.

Title III of the Federal Property and Administrative Services Act

of 1949 (41 U.S.C. 251 et seq.) is amended by adding at the end the

following new section:

\`\`SEC. 318. AUTHORITY TO ENTER INTO CERTAIN TRANSACTIONS FOR DEFENSE

AGAINST OR RECOVERY FROM TERRORISM OR NUCLEAR,

BIOLOGICAL, CHEMICAL, OR RADIOLOGICAL ATTACK.

\`\`(a) Authority.\--

\`\`(1) In general.\--The head of an executive agency who

engages in basic research, applied research, advanced research,

and development projects that\--

\`\`(A) are necessary to the responsibilities of such

official\'s executive agency in the field of research

and development, and

\`\`(B) have the potential to facilitate defense

against or recovery from terrorism or nuclear,

biological, chemical, or radiological attack,

may exercise the same authority (subject to the same

restrictions and conditions) with respect to such research and

projects as the Secretary of Defense may exercise under section

2371 of title 10, United States Code, except for subsections

\(b\) and (f) of such section 2371.

\`\`(2) Prototype projects.\--The head of an executive agency

may, under the authority of paragraph (1), carry out prototype

projects that meet the requirements of subparagraphs (A) and

\(B\) of paragraph (1) in accordance with the requirements and

conditions provided for carrying out prototype projects under

section 845 of the National Defense Authorization Act for

Fiscal Year 1994 (Public Law 103-160; 10 U.S.C. 2371 note). In

applying the requirements and conditions of that section 845\--

\`\`(A) subsection (c) of that section shall apply

with respect to prototype projects carried out under

this paragraph; and

\`\`(B) the Director of the Office of Management and

Budget shall perform the functions of the Secretary of

Defense under subsection (d) of that section.

\`\`(3) Applicability to selected executive agencies.\--

\`\`(A) OMB authorization required.\--The head of an

executive agency may exercise authority under this

subsection only if authorized by the Director of the

Office of Management and Budget to do so.

\`\`(B) Relationship to authority of department of

homeland security.\--The authority under this subsection

shall not apply to the Secretary of Homeland Security

while section 831 of the Homeland Security Act of 2002

(Public Law 107-296; 116 Stat. 2224) is in effect.

\`\`(b) Annual Report.\--The annual report of the head of an executive

agency that is required under subsection (h) of section 2371 of title

10, United States Code, as applied to the head of the executive agency

by subsection (a), shall be submitted to the Committee on Governmental

Affairs of the Senate and the Committee on Government Reform of the

House of Representatives.

\`\`(c) Regulations.\--The Director of the Office of Management and

Budget shall prescribe regulations to carry out this section.\'\'.

SEC. 1452. AUTHORITY TO MAKE INFLATION ADJUSTMENTS TO SIMPLIFIED

ACQUISITION THRESHOLD.

Section 4(11) of the Office of Federal Procurement Policy Act (41

U.S.C. 403(11)) is amended by inserting before the period at the end

the following: \`\`, except that such amount may be adjusted by the

Administrator every five years to the amount equal to \$100,000 in

constant fiscal year 2003 dollars (rounded to the nearest \$10,000)\'\'.

SEC. 1453. PROHIBITION ON USE OF QUOTAS.

\(a\) In General.\--After the date of enactment of this Act, the

Office of Management and Budget may not establish, apply, or enforce

any numerical goal, target, or quota for subjecting the employees of a

department or agency of the Government to public-private competitions

or converting such employees or the work performed by such employees to

contractor performance under Office of Management and Budget Circular

A-76 or any other administrative regulation, directive, or policy

unless the goal, target, or quota is based on considered research and

sound analysis of past activities and is consistent with the stated

mission of the department or agency.

\(b\) Limitations.\--Subsection (a) shall not\--

\(1\) otherwise affect the implementation or enforcement of

the Government Performance and Results Act of 1993 (107 Stat.

285); or

\(2\) prevent any agency of the Executive branch from

subjecting work performed by Federal employees or private

contractors to public-private competition or conversions.

SEC. 1454. APPLICABILITY OF CERTAIN PROVISIONS TO SOLE SOURCE CONTRACTS

FOR GOODS AND SERVICES TREATED AS COMMERCIAL ITEMS.

\(a\) In General.\--No contract awarded on a sole source basis for the

procurement of items or services that are treated as or deemed to be

commercial items pursuant to the amendments made by section 1441, 1444,

or 1457 of this Act shall be exempt from\--

\(1\) cost accounting standards promulgated pursuant to

section 26 of the Office of Federal Procurement Policy Act (41

U.S.C. 422); and

\(2\) cost or pricing data requirements (commonly referred to

as truth in negotiating) under section 2306a of title 10,

United States Code, and section 304A of title III of the

Federal Property and Administrative Services Act of 1949 (41

U.S.C. 254b).

\(b\) Limitation.\--This section shall not apply to any contract in an

amount not greater than \$15,000,000.

SEC. 1455. PUBLIC DISCLOSURE OF NONCOMPETITIVE CONTRACTING FOR THE

RECONSTRUCTION OF INFRASTRUCTURE IN IRAQ.

\(a\) Disclosure Required.\--

\(1\) Publication and public availability.\--The head of an

executive agency of the United States that enters into a

contract for the repair, maintenance, or construction of

infrastructure in Iraq without full and open competition shall

publish in the Federal Register or Commerce Business Daily and

otherwise make available to the public, not later than 30 days

after the date on which the contract is entered into, the

following information:

\(A\) The amount of the contract.

\(B\) A brief description of the scope of the

contract.

\(C\) A discussion of how the executive agency

identified, and solicited offers from, potential

contractors to perform the contract, together with a

list of the potential contractors that were issued

solicitations for the offers.

\(D\) The justification and approval documents on

which was based the determination to use procedures

other than procedures that provide for full and open

competition.

\(2\) Inapplicability to contracts after fiscal year 2013.\--

Paragraph (1) does not apply to a contract entered into after

September 30, 2013.

\(b\) Classified Information.\--

\(1\) Authority to withhold.\--The head of an executive agency

may\--

\(A\) withhold from publication and disclosure under

subsection (a) any document that is classified for

restricted access in accordance with an Executive order

in the interest of national defense or foreign policy;

and

\(B\) redact any part so classified that is in a

document not so classified before publication and

disclosure of the document under subsection (a).

\(2\) Availability to congress.\--In any case in which the

head of an executive agency withholds information under

paragraph (1), the head of such executive agency shall make

available an unredacted version of the document containing that

information to the chairman and ranking member of each of the

following committees of Congress:

\(A\) The Committee on Governmental Affairs of the

Senate and the Committee on Government Reform of the

House of Representatives.

\(B\) The Committees on Appropriations of the Senate

and House of Representatives.

\(C\) Each committee that the head of the executive

agency determines has legislative jurisdiction for the

operations of such department or agency to which the

information relates.

\(c\) Fiscal Year 2003 Contracts.\--This section shall apply to

contracts entered into on or after October 1, 2002, except that, in the

case of a contract entered into before the date of the enactment of

this Act, subsection (a) shall be applied as if the contract had been

entered into on the date of the enactment of this Act.

\(d\) Relationship to Other Disclosure Laws.\--Nothing in this section

shall be construed as affecting obligations to disclose United States

Government information under any other provision of law.

\(e\) Definitions.\--In this section, the terms \`\`executive agency\'\'

and \`\`full and open competition\'\' have the meanings given such terms
in

section 4 of the Office of Federal Procurement Policy Act (41 U.S.C.

403).

SEC. 1456. AMENDMENTS RELATING TO FEDERAL EMERGENCY PROCUREMENT

FLEXIBILITY.

\(a\) Repeal of Sunset for Authorities Applicable to Procurements for

Defense Against or Recovery From Terrorism or Nuclear, Biological,

Chemical, or Radiological Attack.\--Section 852 of the Homeland Security

Act of 2002 (Public Law 107-296; 116 Stat. 2235) is amended by striking

\`\`, but only if a solicitation of offers for the procurement is issued

during the 1-year period beginning on the date of the enactment of this

Act\'\'.

\(b\) Applicability of Increased Simplified Acquisition Threshold.\--

\(1\) The matter preceding paragraph (1) of section 853(a) of the

Homeland Security Act of 2002 (Public Law 107-296; 116 Stat. 2235) is

amended to read as follows:

\`\`(a) Threshold Amounts.\--For a procurement referred to in section

852, the simplified acquisition threshold referred to in section 4(11)

of the Office of Federal Procurement Policy Act (41 U.S.C. 403(11)) is

deemed to be\--\'\'.

\(2\) Subsections (b) and (c) of section 853 of such Act are

repealed.

\(3\) The heading of section 853 of such Act is amended to read as

follows:

\`\`SEC. 853. INCREASED SIMPLIFIED ACQUISITION THRESHOLD FOR CERTAIN

PROCUREMENTS.\'\'.

\(4\) The table of contents in section 1(b) of such Act is amended by

striking the item relating to section 853 and inserting the following:

\`\`Sec. 853. Increased simplified acquisition threshold for certain

procurements.\'\'.

\(5\) Section 18(c)(1) of the Office of Federal Procurement Policy

Act (41 U.S.C. 416(c)(1)) is amended\--

\(A\) by striking \`\`or\'\' at the end of subparagraph (G);

\(B\) by striking the period at the end of subparagraph (H)

and inserting \`\`; or\'\'; and

\(C\) by adding at the end the following:

\`\`(I) the procurement is by the head of an executive agency

pursuant to the special procedures provided in section 853 of

the Homeland Security Act of 2002 (Public Law 107-296).\'\'.

\(c\) Applicability of Certain Commercial Items Authorities.\--(1)

Subsection (a) of section 855 of the Homeland Security Act of 2002

(Public Law 107-296; 116 Stat. 2236) is amended to read as follows:

\`\`(a) Authority.\--With respect to a procurement referred to in

section 852, the head of an executive agency may deem any item or

service to be a commercial item for the purpose of Federal procurement

laws.\'\'.

\(2\) Subsection (b)(1) of section 855 of such Act is amended by

striking \`\`to which any of the provisions of law referred to in

subsection (a) are applied\'\'.

\(d\) Extension of Deadline for Review and Report.\--Section 857(a) of

the Homeland Security Act of 2002 (Public Law 107-296; 116 Stat. 2237)

is amended by striking \`\`2004\'\' and inserting \`\`2006\'\'.

TITLE XV\--HIGHER EDUCATION RELIEF OPPORTUNITIES FOR STUDENTS

SEC. 1501. SHORT TITLE; REFERENCE.

\(a\) Short Title.\--This title may be cited as the \`\`Higher Education

Relief Opportunities for Students Act of 2003\'\'.

\(b\) Reference.\--References in this title to \`\`the Act\'\' are

references to the Higher Education Act of 1965 (20 U.S.C. 1001 et

seq.).

SEC. 1502. WAIVER AUTHORITY FOR RESPONSE TO MILITARY CONTINGENCIES AND

NATIONAL EMERGENCIES.

\(a\) Waivers and Modifications.\--

\(1\) In general.\--Notwithstanding any other provision of

law, unless enacted with specific reference to this section,

the Secretary of Education (referred to in this title as the

\`\`Secretary\'\') may waive or modify any statutory or regulatory

provision applicable to the student financial assistance

programs under title IV of the Act as the Secretary deems

necessary in connection with a war or other military operation

or national emergency to provide the waivers or modifications

authorized by paragraph (2).

\(2\) Actions authorized.\--The Secretary is authorized to

waive or modify any provision described in paragraph (1) as may

be necessary to ensure that\--

\(A\) recipients of student financial assistance

under title IV of the Act who are affected individuals

are not placed in a worse position financially in

relation to that financial assistance because of their

status as affected individuals;

\(B\) administrative requirements placed on affected

individuals who are recipients of student financial

assistance are minimized, to the extent possible

without impairing the integrity of the student

financial assistance programs, to ease the burden on

such students and avoid inadvertent, technical

violations or defaults;

\(C\) the calculation of \`\`annual adjusted family

income\'\' and \`\`available income\'\', as used in the

determination of need for student financial assistance

under title IV of the Act for any such affected

individual (and the determination of such need for his

or her spouse and dependents, if applicable), may be

modified to mean the sums received in the first

calendar year of the award year for which such

determination is made, in order to reflect more

accurately the financial condition of such affected

individual and his or her family;

\(D\) the calculation under section 484B(b)(2) of the

Act (20 U.S.C. 1091b(b)(2)) of the amount a student is

required to return in the case of an affected

individual may be modified so that no overpayment will

be required to be returned or repaid if the institution

has documented (i) the student\'s status as an affected

individual in the student\'s file, and (ii) the amount

of any overpayment discharged; and

\(E\) institutions of higher education, eligible

lenders, guaranty agencies, and other entities

participating in the student assistance programs under

title IV of the Act that are located in areas that are

declared disaster areas by any Federal, State or local

official in connection with a national emergency, or

whose operations are significantly affected by such a

disaster, may be granted temporary relief from

requirements that are rendered infeasible or

unreasonable by a national emergency, including due

diligence requirements and reporting deadlines.

\(b\) Notice of Waivers or Modifications.\--

\(1\) In general.\--Notwithstanding section 437 of the General

Education Provisions Act (20 U.S.C. 1232) and section 553 of

title 5, United States Code, the Secretary shall, by notice in

the Federal Register, publish the waivers or modifications of

statutory and regulatory provisions the Secretary deems

necessary to achieve the purposes of this section.

\(2\) Terms and conditions.\--The notice under paragraph (1)

shall include the terms and conditions to be applied in lieu of

such statutory and regulatory provisions.

\(3\) Case-by-case basis.\--The Secretary is not required to

exercise the waiver or modification authority under this

section on a case-by-case basis.

\(c\) Impact Report.\--The Secretary shall, not later than 15 months

after first exercising any authority to issue a waiver or modification

under subsection (a), report to the Committee on Education and the

Workforce of the House of Representatives and the Committee on Health,

Education, Labor and Pensions of the Senate on the impact of any

waivers or modifications issued pursuant to subsection (a) on affected

individuals and the programs under title IV of the Act, and the basis

for such determination, and include in such report the Secretary\'s

recommendations for changes to the statutory or regulatory provisions

that were the subject of such waiver or modification.

\(d\) No Delay in Waivers and Modifications.\--Sections 482(c) and 492

of the Higher Education Act of 1965 (20 U.S.C. 1089(c), 1098a) shall

not apply to the waivers and modifications authorized or required by

this title.

SEC. 1503. TUITION REFUNDS OR CREDITS FOR MEMBERS OF ARMED FORCES.

\(a\) Sense of Congress.\--It is the sense of Congress that\--

\(1\) all institutions offering postsecondary education

should provide a full refund to students who are affected

individuals for that portion of a period of instruction such

student was unable to complete, or for which such individual

did not receive academic credit, because he or she was called

up for active duty or active service; and

\(2\) if affected individuals withdraw from a course of study

as a result of such active duty or active service, such

institutions should make every effort to minimize deferral of

enrollment or reapplication requirements and should provide the

greatest flexibility possible with administrative deadlines

related to those applications.

\(b\) Definition of Full Refund.\--For purposes of this section, a

full refund includes a refund of required tuition and fees, or a credit

in a comparable amount against future tuition and fees.

SEC. 1504. USE OF PROFESSIONAL JUDGMENT.

A financial aid administrator shall be considered to be making a

necessary adjustment in accordance with section 479A(a) of the Act if

the administrator makes adjustments with respect to the calculation of

the expected student or parent contribution (or both) of an affected

individual, and adequately documents the need for the adjustment.

SEC. 1505. DEFINITIONS.

In this title:

\(1\) Active duty.\--The term \`\`active duty\'\' has the meaning

given such term in section 101(d)(1) of title 10, United States

Code, except that such term does not include active duty for

training or attendance at a service school.

\(2\) Affected individual.\--The term \`\`affected individual\'\'

means an individual who\--

\(A\) is serving on active duty during a war or other

military operation or national emergency;

\(B\) is performing qualifying National Guard duty

during a war or other military operation or national

emergency;

\(C\) resides or is employed in an area that is

declared a disaster area by any Federal, State, or

local official in connection with a national emergency;

or

\(D\) suffered direct economic hardship as a direct

result of a war or other military operation or national

emergency, as determined by the Secretary.

\(3\) Military operation.\--The term \`\`military operation\'\'

means a contingency operation as such term is defined in

section 101(a)(13) of title 10, United States Code.

\(4\) National emergency.\--The term \`\`national emergency\'\'

means a national emergency declared by the President of the

United States.

\(5\) Serving on active duty.\--The term \`\`serving on active

duty during a war or other military operation or national

emergency\'\' shall include service by an individual who is\--

\(A\) a Reserve of an Armed Force ordered to active

duty under section 12301(a), 12301(g), 12302, 12304, or

12306 of title 10, United States Code, or any retired

member of an Armed Force ordered to active duty under

section 688 of such title, for service in connection

with a war or other military operation or national

emergency, regardless of the location at which such

active duty service is performed; and

\(B\) any other member of an Armed Force on active

duty in connection with such war, operation, or

emergency or subsequent actions or conditions who has

been assigned to a duty station at a location other

than the location at which such member is normally

assigned.

\(6\) Qualifying national guard duty.\--The term \`\`qualifying

National Guard duty during a war or other military operation or

national emergency\'\' means service as a member of the National

Guard on full-time National Guard duty (as defined in section

101(d)(5) of title 10, United States Code) under a call to

active service authorized by the President or the Secretary of

Defense for a period of more than 30 consecutive days under

section 502(f) of title 32, United States Code, in connection

with a war, another military operation, or a national emergency

declared by the President and supported by Federal funds.

SEC. 1506. TERMINATION OF AUTHORITY.

The provisions of this title shall cease to be effective at the

close of September 30, 2005.

DIVISION B\--MILITARY CONSTRUCTION AUTHORIZATIONS

SEC. 2001. SHORT TITLE.

This division may be cited as the \`\`Military Construction

Authorization Act for Fiscal Year 2004\'\'.

TITLE XXI\--ARMY

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

\(a\) Inside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2104(a)(1), the

Secretary of the Army may acquire real property and carry out military

construction projects for the installations and locations inside the

United States, and in the amounts, set forth in the following table:

Army: Inside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

State location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Alabama\...\...\...\...\...\...\...\... Redstone Arsenal\.....
\$5,500,000

Alaska\...\...\...\...\...\...\...\.... Fort Wainwright\...\...
\$138,800,000

California\...\...\...\...\...\...\... Fort Irwin\...\...\.....
\$3,350,000

Colorado\...\...\...\...\...\...\..... Fort Carson\...\...\....
\$2,150,000

Georgia\...\...\...\...\...\...\...\... Fort Benning\...\...\...
\$34,500,000

Fort Stewart/Hunter \$138,550,000

Army Air Field\...\...

Hawaii\...\...\...\...\...\...\...\.... Helemano Military \$1,400,000

Reservation.

Schofield Barracks\... \$128,100,000

Kansas\...\...\...\...\...\...\...\.... Fort Leavenworth\.....
\$115,000,000

Fort Riley\...\...\..... \$40,000,000

Kentucky\...\...\...\...\...\...\..... Fort Knox\...\...\...\...
\$5,500,000

Louisiana\...\...\...\...\...\...\.... Fort Polk\...\...\...\...
\$72,000,000

Maryland\...\...\...\...\...\...\..... Fort Meade\...\...\.....
\$9,600,000

Massachusetts\...\...\...\...\...\... Soldier Systems \$5,500,000

Center, Natick\...\...

Missouri\...\...\...\...\...\...\..... Fort Leonard Wood\....
\$5,900,000

New Jersey\...\...\...\...\...\...\... Naval Air Engineering \$2,250,000

Center, Lakehurst\...

Picatinny Arsenal\.... \$11,800,000

New York\...\...\...\...\...\...\..... Fort Drum\...\...\...\...
\$139,300,000

North Carolina\...\...\...\...\..... Fort Bragg\...\...\.....
\$163,400,000

Oklahoma\...\...\...\...\...\...\..... Fort Sill\...\...\...\...
\$5,500,000

Texas\...\...\...\...\...\...\...\..... Fort Bliss\...\...\.....
\$5,400,000

Fort Hood\...\...\...\... \$56,700,000

Virginia\...\...\...\...\...\...\..... Fort Belvoir\...\...\...
\$7,000,000

Fort Lee\...\...\...\.... \$3,850,000

Fort Myer\...\...\...\... \$9,000,000

Washington\...\...\...\...\...\...\... Fort Lewis\...\...\.....
\$3,900,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\... \$1,108,500,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Outside the United States.\--Subject to subsection (c), using

amounts appropriated pursuant to the authorization of appropriations in

section 2104(a)(2), the Secretary of the Army may acquire real property

and carry out military construction projects for the installations and

locations outside the United States, and in the amounts, set forth in

the following table:

Army: Outside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Country location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Germany\...\...\...\...\...\...\...\... Grafenwoehr\...\...\...\...
\$76,000,000

Heidelberg\...\...\...\.... \$17,000,000

Hohenfels\...\...\...\..... \$13,200,000

Vilseck\...\...\...\...\.... \$31,000,000

Italy\...\...\...\...\...\...\...\..... Aviano Air Base\...\.....
\$28,500,000

Livorno\...\...\...\...\.... \$22,000,000

Korea\...\...\...\...\...\...\...\..... Camp Humphreys\...\...\...
\$191,150,000

Kwajalein\...\...\...\...\...\...\.... Kwajalein\...\...\...\.....
\$9,400,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\...\...\... \$388,250,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(c\) Condition on Projects Authorization.\--The authority of the

Secretary of the Army to proceed with the projects at Camp Humphreys,

Korea, referred to in the table in subsection (b), and to obligate

amounts appropriated pursuant to the authorization of appropriations in

section 2104(a)(2) in connection with such project, is subject to the

condition that the Secretary submit to the congressional defense

committees written notice in advance that the United States and the

Republic of Korea have entered into an agreement to ensure the

availability and use of land sufficient for such projects.

SEC. 2102. FAMILY HOUSING.

\(a\) Construction and Acquisition.\--Using amounts appropriated

pursuant to the authorization of appropriations in section

2104(a)(5)(A), the Secretary of the Army may construct or acquire

family housing units (including land acquisition and supporting

facilities) 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\...\...\...\... 140 Units\...\...\...\...\...\...
\$64,000,000

Arizona\...\...\...\...\...\...\...\...\...\...\... Fort
Huachuca\...\...\...\..... 220 Units\...\...\...\...\...\...
\$41,000,000

Kansas\...\...\...\...\...\...\...\...\...\...\.... Fort
Riley\...\...\...\...\..... 62 Units\...\...\...\...\...\....
\$16,700,000

Kentucky\...\...\...\...\...\...\...\...\...\..... Fort
Knox\...\...\...\...\...\... 178 Units\...\...\...\...\...\...
\$41,000,000

New Mexico\...\...\...\...\...\...\...\...\...\... White Sands Missile
Range.. 58 Units\...\...\...\...\...\.... \$14,600,000

Oklahoma\...\...\...\...\...\...\...\...\...\..... Fort
Sill\...\...\...\...\...\... 120 Units\...\...\...\...\...\...
\$25,373,000

Virginia\...\...\...\...\...\...\...\...\...\..... Fort
Lee\...\...\...\...\...\.... 90 Units\...\...\...\...\...\....
\$18,000,000

\-\-\-\-\-\-\-\-\-\-\-\--

Total:\...\...\...\...\..... \$220,673,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Planning and Design.\--Using amounts appropriated pursuant to

the authorization of appropriations in section 2104(a)(5)(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 \$34,488,000.

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)(5)(A), the Secretary of the Army may improve existing

military family housing units in an amount not to exceed \$156,030,000.

SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

\(a\) In General.\--Funds are hereby authorized to be appropriated for

fiscal years beginning after September 30, 2003, for military

construction, land acquisition, and military family housing functions

of the Department of the Army in the total amount of \$3,056,697,000, as

follows:

\(1\) For military construction projects inside the United

States authorized by section 2101(a), \$902,000,000.

\(2\) For military construction projects outside the United

States authorized by section 2101(b), \$359,350,000.

\(3\) For unspecified minor construction projects authorized

by section 2805 of title 10, United States Code, \$22,550,000.

\(4\) For architectural and engineering services and

construction design under section 2807 of title 10, United

States Code, \$128,580,000.

\(5\) For military family housing functions:

\(A\) For construction and acquisition, planning and

design, and improvement of military family housing and

facilities, \$409,191,000.

\(B\) For support of military family housing

(including the functions described in section 2833 of

title 10, United States Code), \$1,043,026,000.

\(6\) For the construction of phase 3 of a barracks complex,

D Street, at Fort Richardson, Alaska, authorized by section

2101(a) of the Military Construction Authorization Act for

Fiscal Year 2002 (division B of Public Law 107-107; 115 Stat.

1280), as amended by section 2105 of this Act, \$33,000,000.

\(7\) For the construction of phase 3 of a barracks complex,

17th and B Streets, at Fort Lewis, Washington, authorized by

section 2101(a) of the Military Construction Authorization Act

for Fiscal Year 2002 (division B of Public Law 107-107; 115

Stat. 1280), \$48,000,000.

\(8\) For the construction of phase 2 of a barracks complex,

Capron Road, at Schofield Barracks, Hawaii, authorized by

section 2101(a) of the Military Construction Authorization Act

for Fiscal Year 2003 (division B of Public Law 107-314; 116

Stat. 2681), \$49,000,000.

\(9\) For the construction of phase 2 of a barracks complex,

Range Road, at Fort Campbell, Kentucky, authorized by section

2101(a) of the Military Construction Authorization Act for

Fiscal Year 2003 (division B of Public Law 107-314; 116 Stat.

2681), \$49,000,000.

\(10\) For the construction of phase 2 of a consolidated

maintenance complex at Fort Sill, Oklahoma, authorized by

section 2101(a) of the Military Construction Authorization Act

for Fiscal Year 2003 (division B of Public Law 107-314; 116

Stat. 2681), \$13,000,000.

\(b\) Limitation on Total Cost of Construction Projects.\--

Notwithstanding the cost variations authorized by section 2853 of title

10, United States Code, and any other cost variation authorized by law,

the total cost of all projects carried out under section 2101 of this

Act may not exceed the sum of the following:

\(1\) The total amount authorized to be appropriated under

paragraphs (1) and (2) of subsection (a).

\(2\) \$32,000,000 (the balance of the amount authorized under

section 2101(a) for construction of a barracks, Fort Stewart/

Hunter Army Airfield, Georgia).

\(3\) \$87,000,000 (the balance of the amount authorized under

section 2101(a) for construction of the Lewis and Clark

Instructional Facility, Fort Leavenworth, Kansas).

\(4\) \$43,000,000 (the balance of the amount authorized under

section 2101(a) for construction of a barracks complex, Wheeler

Army Airfield, Fort Drum, New York).

\(5\) \$50,000,000 (the balance of the amount authorized under

section 2101(a) for construction of a barracks complex,

Bastogne Drive, Fort Bragg, North Carolina).

\(6\) \$18,900,000 (the balance of the amount authorized under

section 2101(b) for construction of a barracks complex,

Vilseck, Germany).

SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR

2002 PROJECTS.

\(a\) Modification.\--The table in section 2101(a) of the Military

Construction Authorization Act for Fiscal Year 2002 (division B of

Public Law 107-107; 115 Stat. 1281), as amended by section 2105 of the

Military Construction Authorization Act for Fiscal Year 2003 (division

B of Public Law 107-314; 116 Stat. 2689), is further amended\--

\(1\) in the item relating to Fort Richardson, Alaska, by

striking \`\`\$115,000,000\'\' in the amount column and inserting

\`\`\$117,000,000\'\'; and

\(2\) by striking the amount identified as the total in the

amount column and inserting \`\`\$1,364,750,000\'\'.

\(b\) Conforming Amendment.\--Section 2104(b)(2) of that Act (115

Stat. 1284) is amended by striking \`\`\$52,000,000\'\' and inserting

\`\`\$54,000,000\'\'.

TITLE XXII\--NAVY

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

\(a\) Inside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2204(a)(1), the

Secretary of the Navy may acquire real property and carry out military

construction projects for the installations and locations inside the

United States, and in the amounts, set forth in the following table:

Navy: Inside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

State location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Arizona\...\...\...\...\...\...\...\... Marine Corps Air \$22,230,000

Station, Yuma.

California\...\...\...\...\...\...\... Marine Corps Air- \$42,090,000

Ground Task Force

Training Center,

Twentynine Palms\.....

Marine Corps Air \$7,640,000

Station, Miramar\.....

Marine Corps Base, \$73,580,000

Camp Pendleton\...\....

Naval Air Facility, \$18,940,000

San Clemente Island..

Naval Air Station, \$34,510,000

Lemoore\...\...\...\.....

Naval Air Station, \$49,240,000

North Island\...\...\...

Naval Air Warfare \$12,230,000

Center, China Lake\...

Naval Air Warfare \$6,150,000

Center, Point Mugu,

San Nicholas Island..

Naval Postgraduate \$42,560,000

School, Monterey.

Naval Station, San \$49,710,000

Diego.

Connecticut\...\...\...\...\...\..... Naval Submarine Base, \$3,120,000

New London.

District of Columbia\...\...\..... Marine Corps Barracks. \$1,550,000

Florida\...\...\...\...\...\...\...\... Blount Island \$115,711,000

(Jacksonville).

Naval Air Station, \$9,190,000

Jacksonville\...\...\...

Naval Air Station, \$4,830,000

Whiting Field, Milton

Naval Surface Warfare \$9,550,000

Center, Coastal

Systems Station,

Panama City\...\...\....

Georgia\...\...\...\...\...\...\...\... Strategic Weapons \$11,510,000

Facility Atlantic,

Kings Bay\...\...\...\...

Hawaii\...\...\...\...\...\...\...\.... Fleet and Industrial
\$32,180,000

Supply Center, Pearl

Harbor\...\...\...\...\...

Naval Magazine, \$6,320,000

Lualualei.

Naval Shipyard, Pearl \$7,010,000

Harbor.

Illinois\...\...\...\...\...\...\..... Naval Training Center,
\$137,120,000

Great Lakes.

Indiana\...\...\...\...\...\...\...\... Naval Surface Warfare
\$11,400,000

Center, Crane\...\.....

Maryland\...\...\...\...\...\...\..... Naval Air Warfare \$28,270,000

Center, Patuxent

River\...\...\...\...\....

Naval Surface Warfare \$14,850,000

Center, Indian Head..

Mississippi\...\...\...\...\...\..... Naval Air Station, \$4,570,000

Meridian.

Naval Station, \$6,100,000

Pascagoula.

Nevada\...\...\...\...\...\...\...\.... Naval Air Station, \$4,700,000

Fallon.

New Jersey\...\...\...\...\...\...\... Naval Air Warfare \$20,681,000

Center, Lakehurst.

Naval Weapons Station, \$123,720,000

Earle.

North Carolina\...\...\...\...\..... Marine Corps Air \$6,240,000

Station, New River\...

Marine Corps Base, \$29,450,000

Camp Lejeune.

Rhode Island\...\...\...\...\...\.... Naval Station, Newport
\$16,140,000

Naval Undersea Warfare \$10,890,000

Center, Newport\...\...

South Carolina\...\...\...\...\..... Naval Weapons Station, \$2,350,000

Charleston.

Texas\...\...\...\...\...\...\...\..... Naval Air Station, \$5,400,000

Corpus Christi.

Virginia\...\...\...\...\...\...\..... Henderson Hall, \$1,970,000

Arlington.

Marine Corps Combat \$3,700,000

Development Command,

Quantico\...\...\...\....

Naval Air Station, \$10,000,000

Oceana.

Naval Amphibious Base, \$3,810,000

Little Creek.

Naval Space Command \$24,020,000

Center, Dahlgren\.....

Naval Station, Norfolk \$182,240,000

Norfolk Naval \$17,770,000

Shipyard, Portsmouth.

Washington\...\...\...\...\...\...\... Naval Air Station, \$4,350,000

Whidbey Island.

Naval Magazine, Indian \$2,240,000

Island.

Naval Shipyard, Puget \$12,120,000

Sound.

Naval Submarine Base, \$33,820,000

Bangor.

Strategic Weapons \$6,530,000

Facility Pacific,

Bangor\...\...\...\...\...

Various Locations\...\...\...\..... Various Locations, \$56,360,000

CONUS.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\.... \$1,340,662,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Outside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2204(a)(2), the

Secretary of the Navy may acquire real property and carry out military

construction projects for the locations outside the United States, and

in the amounts, set forth in the following table:

Navy: Outside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Country location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Bahrain\...\...\...\...\...\...\...\... Naval Support Activity,
\$18,030,000

Bahrain\...\...\...\...\...

Guam\...\...\...\...\...\...\...\...\... Commander, United \$1,700,000

States Naval Forces,

Marianas\...\...\...\.....

Italy\...\...\...\...\...\...\...\..... Naval Air Station, \$48,749,000

Sigonella\...\...\...\....

Naval Support Activity, \$39,020,000

La Maddalena\...\...\....

United Kingdom\...\...\...\...\..... Joint Maritime \$7,070,000

Facility, St. Mawgan..

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\..... \$114,569,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

SEC. 2202. FAMILY HOUSING.

\(a\) Construction and Acquisition.\--Using amounts appropriated

pursuant to the authorization of appropriations in section

2204(a)(5)(A), the Secretary of the Navy may construct or acquire

family housing units (including land acquisition and supporting

facilities) at the installations, for the purposes, and in the amounts

set forth in the following table:

Navy: Family Housing

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

State or Country Installation or location Purpose Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

California\...\...\...\...\...\...\...\...\...\... Naval Air Station,
Lemoore. 187 Units\...\...\...\...\...\... \$41,585,000

Florida\...\...\...\...\...\...\...\...\...\...\... Naval Air Station,
25 Units\...\...\...\...\...\.... \$4,447,000

Pensacola\...\...\...\...\.....

North Carolina\...\...\...\...\...\...\...\..... Marine Corps Air
Station, 339 Units\...\...\...\...\...\... 42,803,000

Cherry Point\...\...\...\.....

Marine Corps Base, Camp 519 Units\...\...\...\...\...\... \$68,531,000

Lejeune\...\...\...\...\...\....

\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\...\...\... \$157,366,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Planning and Design.\--Using amounts appropriated pursuant to

the authorization of appropriation 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 \$8,381,000.

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 \$20,446,000.

SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

\(a\) In General.\--Funds are hereby authorized to be appropriated for

fiscal years beginning after September 30, 2003, for military

construction, land acquisition, and military family housing functions

of the Department of the Navy in the total amount of \$2,288,917,000, as

follows:

\(1\) For military construction projects inside the United

States authorized by section 2201(a), \$1,005,882,000.

\(2\) For military construction projects outside the United

States authorized by section 2201(b), \$114,569,000.

\(3\) For unspecified minor construction projects authorized

by section 2805 of title 10, United States Code, \$13,624,000.

\(4\) For architectural and engineering services and

construction design under section 2807 of title 10, United

States Code, \$71,141,000.

\(5\) For military family housing functions:

\(A\) For construction and acquisition, planning and

design, and improvement of military family housing and

facilities, \$184,193,000.

\(B\) For support of military family housing

(including functions described in section 2833 of title

10, United States Code), \$852,778,000.

\(6\) For construction of a bachelors enlisted quarters

shipboard ashore at Naval Shipyard Norfolk, Virginia,

authorized by section 2201(a) of the Military Construction

Authorization Act for Fiscal Year 2003 (division B of Public

Law 107-314; 116 Stat. 2687), \$46,730,000.

\(b\) Limitation on Total Cost of Construction Projects.\--

Notwithstanding the cost variations authorized by section 2853 of title

10, United States Code, and any other cost variation authorized by law,

the total cost of all projects carried out under section 2201 of this

Act may not exceed the sum of the following:

\(1\) The total amount authorized to be appropriated under

paragraphs (1) and (2) of subsection (a).

\(2\) \$25,690,000 (the balance of the amount authorized under

section 2101(a) for construction of a tertiary sewage treatment

facility, Marine Corp Base, Camp Pendleton, California).

\(3\) \$58,190,000 (the balance of the amount authorized under

section 2101(a) for construction of a battle station training

facility, Naval Training Center, Great Lakes, Illinois).

\(4\) \$96,980,000 (the balance of the amount authorized under

section 2101(a) for construction of a general purpose berthing

pier, Naval Weapons Station Earle, New Jersey).

\(5\) \$118,170,000 (the balance of the amount authorized

under section 2101(a) for construction of the Pier 11

replacement, Naval Station, Norfolk, Virginia).

\(6\) \$28,750,000 (the balance of the amount authorized under

section 2101(a) for construction of outlying landing field

facilities, various locations in the continental United

States).

TITLE XXIII\--AIR FORCE

SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION

PROJECTS.

\(a\) Inside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2304(a)(1), the

Secretary of the Air Force may acquire real property and carry out

military construction projects for the installations and locations

inside the United States, and in the amounts, set forth in the

following table:

Air Force: Inside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

State location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Alabama\...\...\...\...\...\...\...\... Maxwell Air Force Base.
\$26,000,000

Alaska\...\...\...\...\...\...\...\.... Eielson Air Force Base.
\$33,261,000

Elmendorf Air Force \$2,000,000

Base.

Arizona\...\...\...\...\...\...\...\... Davis-Monthan Air Force
\$10,062,000

Base.

Arkansas\...\...\...\...\...\...\..... Little Rock Air Force \$7,445,000

Base.

California\...\...\...\...\...\...\... Beale Air Force Base\...
\$22,750,000

Edwards Air Force Base. \$26,744,000

Vandenberg Air Force \$16,500,000

Base.

Colorado\...\...\...\...\...\...\..... Buckley Air Force Base.
\$7,019,000

District of Columbia\...\...\..... Bolling Air Force Base. \$9,300,000

Florida\...\...\...\...\...\...\...\... Hurlburt Field\...\...\...
\$27,200,000

Tyndall Air Force Base. \$20,720,000

Georgia\...\...\...\...\...\...\...\... Robins Air Force Base..
\$37,164,000

Hawaii\...\...\...\...\...\...\...\.... Hickam Air Force Base..
\$73,296,000

Idaho\...\...\...\...\...\...\...\..... Mountain Home Air Force
\$5,445,000

Base.

Illinois\...\...\...\...\...\...\..... Scott Air Force Base\...
\$1,900,000

Mississippi\...\...\...\...\...\..... Columbus Air Force Base
\$2,200,000

Keesler Air Force Base. \$2,900,000

Missouri\...\...\...\...\...\...\..... Whiteman Air Force Base
\$11,600,000

New Jersey\...\...\...\...\...\...\... McGuire Air Force Base.
\$11,861,000

New Mexico\...\...\...\...\...\...\... Kirtland Air Force Base
\$11,247,000

Tularosa Radar Test \$3,600,000

Site.

North Carolina\...\...\...\...\..... Pope Air Force Base\....
\$24,499,000

Seymour Johnson Air \$23,022,000

Force Base.

North Dakota\...\...\...\...\...\.... Minot Air Force Base\...
\$3,190,000

Ohio\...\...\...\...\...\...\...\...\... Wright-Patterson Air
\$21,100,000

Force Base.

Oklahoma\...\...\...\...\...\...\..... Altus Air Force Base\...
\$1,167,000

Tinker Air Force Base.. \$19,444,000

South Carolina\...\...\...\...\..... Charleston Air Force \$9,042,000

Base.

Shaw Air Force Base\.... \$8,500,000

Texas\...\...\...\...\...\...\...\..... Goodfellow Air Force
\$20,335,000

Base.

Lackland Air Force Base \$57,360,000

Laughlin Air Force Base \$12,400,000

Sheppard Air Force Base \$38,167,000

Utah\...\...\...\...\...\...\...\...\... Hill Air Force Base\....
\$15,848,000

Virginia\...\...\...\...\...\...\..... Langley Air Force Base.
\$25,474,000

Washington\...\...\...\...\...\...\... McChord Air Force Base.
\$19,000,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\...\...\... \$668,762,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Outside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2304(a)(2), the

Secretary of the Air Force may acquire real property and carry out

military construction projects for the installations and locations

outside the United States, and in the amounts, set forth in the

following table:

Air Force: Outside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Country location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Germany\...\...\...\...\...\...\...\... Ramstein Air Base\...\...
\$41,866,000

Spangdahlem Air Base\... \$5,411,000

Italy\...\...\...\...\...\...\...\..... Aviano Air Base\...\.....
\$14,025,000

Korea\...\...\...\...\...\...\...\..... Kunsan Air Base\...\.....
\$7,059,000

Osan Air Base\...\...\.... \$16,638,000

Portugal\...\...\...\...\...\...\..... Lajes Field, Azores\....
\$4,086,000

Turkey\...\...\...\...\...\...\...\.... Incirlik Air Base\...\...
\$3,262,000

United Kingdom\...\...\...\...\..... Royal Air Force, \$42,487,000

Lakenheath.

Royal Air Force, \$10,558,000

Mildenhall.

Wake Island\...\...\...\...\...\..... Wake Island\...\...\...\...
\$24,000,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\..... \$169,392,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(c\) Unspecified Worldwide.\--Using amounts appropriated pursuant to

the authorization of appropriations in section 2304(a)(3), the

Secretary of the Air Force may acquire real property and carry out

military construction projects for the installation and location, and

in the amount, set forth in the following table:

Air Force: Unspecified Worldwide

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Location location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Unspecified Worldwide\...\...\.... Classified Location\.... \$29,501,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\..... \$29,501,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

SEC. 2302. FAMILY HOUSING.

\(a\) Construction and Acquisition.\--Using amounts appropriated

pursuant to the authorization of appropriations in section

2304(a)(6)(A), the Secretary of the Air Force may construct or acquire

family housing units (including land acquisition and supporting

facilities) at the installations, for the purposes, and in the amounts

set forth in the following table:

Air Force: Family Housing

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

State or Country Installation or location Purpose Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Arizona\...\...\...\...\...\...\...\...\...\...\... Davis-Monthan Air
Force 93 Units\...\...\...\...\...\.... \$19,357,000

Base\...\...\...\...\...\...\....

California\...\...\...\...\...\...\...\...\...\... Travis Air Force
Base\...\... 56 Units\...\...\...\...\...\.... \$12,723,000

Delaware\...\...\...\...\...\...\...\...\...\..... Dover Air Force
Base\...\.... 112 Units\...\...\...\...\...\... \$19,601,000

Florida\...\...\...\...\...\...\...\...\...\...\... Eglin Air Force
Base\...\.... 279 Units\...\...\...\...\...\... \$32,166,000

Idaho\...\...\...\...\...\...\...\...\...\...\..... Mountain Home Air
Force 186 Units\...\...\...\...\...\... \$37,126,000

Base\...\...\...\...\...\...\....

Maryland\...\...\...\...\...\...\...\...\...\..... Andrews Air Force
Base\..... 50 Units\...\...\...\...\...\.... \$20,233,000

Missouri\...\...\...\...\...\...\...\...\...\..... Whiteman Air Force
Base\.... 100 Units\...\...\...\...\...\... \$18,221,000

Montana\...\...\...\...\...\...\...\...\...\...\... Malmstrom Air Force
Base\... 94 Units\...\...\...\...\...\.... \$19,368,000

North Carolina\...\...\...\...\...\...\...\..... Seymour Johnson Air
Force 138 Units\...\...\...\...\...\... \$18,336,000

Base\...\...\...\...\...\...\....

North Dakota\...\...\...\...\...\...\...\...\.... Grand Forks Air Force
Base. 144 Units\...\...\...\...\...\... \$29,550,000

Minot Air Force Base\...\.... 200 Units\...\...\...\...\...\...
\$41,117,000

South Dakota\...\...\...\...\...\...\...\...\.... Ellsworth Air Force
Base\... 75 Units\...\...\...\...\...\.... \$16,240,000

Texas\...\...\...\...\...\...\...\...\...\...\..... Dyess Air Force
Base\...\.... 116 Units\...\...\...\...\...\... \$19,973,000

Randolph Air Force Base\.... 96 Units\...\...\...\...\...\....
\$13,754,000

Korea\...\...\...\...\...\...\...\...\...\...\..... Osan Air
Base\...\...\...\..... 111 Units\...\...\...\...\...\... \$44,765,000

Portugal\...\...\...\...\...\...\...\...\...\..... Lajes Field,
Azores\...\..... 42 Units\...\...\...\...\...\.... \$13,428,000

United Kingdom\...\...\...\...\...\...\...\..... Royal Air Force,
Lakenheath 89 Units\...\...\...\...\...\.... \$23,640,000

\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\...\...\... \$399,598,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Planning and Design.\--Using amounts appropriated pursuant to

the authorization of appropriations in section 2304(a)(6)(A), the

Secretary of the Air Force may carry out architectural and engineering

services and construction design activities with respect to the

construction or improvement of military family housing units in an

amount not to exceed \$33,488,000.

SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

Subject to section 2825 of title 10, United States Code, and using

amounts appropriated pursuant to the authorization of appropriations in

section 2304(a)(6)(A), the Secretary of the Air Force may improve

existing military family housing units in an amount not to exceed

\$227,979,000.

SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

\(a\) In General.\--Funds are hereby authorized to be appropriated for

fiscal years beginning after September 30, 2003, for military

construction, land acquisition, and military family housing functions

of the Department of the Air Force in the total amount of

\$2,477,609,000, as follows:

\(1\) For military construction projects inside the United

States authorized by section 2301(a), \$660,282,000.

\(2\) For military construction projects outside the United

States authorized by section 2301(b), \$169,392,000.

\(3\) For military construction projects at unspecified

worldwide locations authorized by section 2301(c), \$28,981,000.

\(4\) For unspecified minor construction projects authorized

by section 2805 of title 10, United States Code, \$12,000,000.

\(5\) For architectural and engineering services and

construction design under section 2807 of title 10, United

States Code, \$115,421,000.

\(6\) For military housing functions:

\(A\) For construction and acquisition, planning and

design, and improvement of military family housing and

facilities, \$657,065,000.

\(B\) For support of military family housing

(including functions described in section 2833 of title

10, United States Code), \$834,468,000.

\(b\) Limitation on Total Cost of Construction Projects.\--

Notwithstanding the cost variations authorized by section 2853 of title

10, United States Code, and any other cost variation authorized by law,

the total cost of all projects carried out under section 2301 of this

Act may not exceed the total amount authorized to be appropriated under

paragraphs (1), (2), and (3) of subsection (a).

TITLE XXIV\--DEFENSE AGENCIES

SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND

ACQUISITION PROJECTS.

\(a\) Inside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2405(a)(1), the

Secretary of Defense may acquire real property and carry out military

construction projects for the installations and locations inside the

United States, and in the amounts, set forth in the following table:

Defense Agencies: Inside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Agency location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Defense Education Activity\..... Marine Corps Base, Camp \$15,259,000

Lejeune, North

Carolina\...\...\...\.....

Defense Logistics Agency\...\.... Defense Distribution \$27,700,000

Depot, New Cumberland,

Pennsylvania\...\...\....

Eglin Air Force Base, \$4,800,000

Florida\...\...\...\...\...

Eielson Air Force Base, \$17,000,000

Alaska\...\...\...\...\....

Hickam Air Force Base, \$14,100,000

Hawaii\...\...\...\...\....

Hurlburt Field, Florida \$4,100,000

Offutt Air Force Base, \$13,400,000

Nebraska\...\...\...\.....

Langley Air Force Base, \$13,000,000

Virginia\...\...\...\.....

Laughlin Air Force \$4,688,000

Base, Texas\...\...\.....

McChord Air Force Base, \$8,100,000

Washington\...\...\...\...

Naval Air Station, \$9,200,000

Kingsville, Texas\.....

Nellis Air Force Base, \$12,800,000

Nevada\...\...\...\...\....

National Security Agency\...\.... Fort Meade, Maryland\... \$1,842,000

Special Operations Command\..... Dam Neck, Virginia\..... \$15,281,000

Fort Benning, Georgia.. \$2,100,000

Fort Bragg, North \$36,300,000

Carolina.

Fort Campbell, Kentucky \$7,800,000

Harrisburg \$3,000,000

International Airport,

Pennsylvania\...\...\....

Hurlburt Field, Florida \$6,000,000

MacDill, Air Force \$25,500,000

Base, Florida.

Naval Amphibious Base, \$2,800,000

Coronado, California..

TRICARE Management Activity\.... Fort Hood, Texas\...\.... \$9,400,000

Naval Station, \$15,714,000

Anacostia, District of

Columbia\...\...\...\.....

Naval Submarine Base, \$6,700,000

New London,

Connecticut\...\...\.....

United States Air Force \$22,100,000

Academy, Colorado\.....

Walter Reed Medical \$9,000,000

Center, District of

Columbia\...\...\...\.....

Washington Headquarters Arlington, Virginia\.... \$38,086,000

Services\...\...\...\...\...\...\....

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\..... \$345,770,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

\(b\) Outside the United States.\--Using amounts appropriated pursuant

to the authorization of appropriations in section 2405(a)(2), the

Secretary of Defense may acquire real property and carry out military

construction projects for the installations and locations outside the

United States, and in the amounts, set forth in the following table:

Defense Agencies: Outside the United States

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Installation or

Agency location Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Defense Education Activity\..... Grafenwoehr, Germany\... \$36,247,000

Heidelberg, Germany\.... \$3,086,000

Vilseck, Germany\...\.... \$1,773,000

Sigonella, Italy\...\.... \$30,234,000

Vicenza, Italy\...\...\... \$16,374,000

Camp Humphreys, Korea.. \$31,683,000

Special Operations Command\..... Stuttgart, Germany\..... \$11,400,000

TRICARE Management Activity\.... Anderson Air Force \$26,000,000

Base, Guam\...\...\...\...

Grafenwoehr, Germany\... \$12,585,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Total\...\...\...\..... \$169,382,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

SEC. 2402. FAMILY HOUSING.

Using amounts appropriated pursuant to the authorization of

appropriations in section 2405(a)(8)(A), the Secretary of Defense may

carry out architectural and engineering services and construction

design activities with respect to the construction or improvement of

military family housing units in an amount not to exceed \$300,000.

SEC. 2403. 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 2405(a)(8)(A), the Secretary of Defense may improve existing

military family housing units in an amount not to exceed \$50,000.

SEC. 2404. ENERGY CONSERVATION PROJECTS.

Using amounts appropriated pursuant to the authorization of

appropriations in section 2405(a)(6), the Secretary of Defense may

carry out energy conservation projects under section 2865 of title 10,

United States Code, in the amount of \$69,500,000.

SEC. 2405. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

\(a\) In General.\--Funds are hereby authorized to be appropriated for

fiscal years beginning after September 30, 2003, 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 \$1,223,066,000, as follows:

\(1\) For military construction projects inside the United

States authorized by section 2401(a), \$343,570,000.

\(2\) For military construction projects outside the United

States authorized by section 2401(b), \$152,017,000.

\(3\) For unspecified minor construction projects under

section 2805 of title 10, United States Code, \$16,153,000.

\(4\) For contingency construction projects of the Secretary

of Defense under section 2804 of title 10, United States Code,

\$8,960,000.

\(5\) For architectural and engineering services and

construction design under section 2807 of title 10, United

States Code, \$66,834,000.

\(6\) For energy conservation projects authorized by section

2404, \$69,500,000.

\(7\) For base closure and realignment activities as

authorized by the Defense Base Closure and Realignment Act of

1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C.

2687 note), \$370,427,000.

\(8\) For military family housing functions:

\(A\) For planning, design, and improvement of

military family housing and facilities, \$350,000.

\(B\) For support of military family housing

(including functions described in section 2833 of title

10, United States Code), \$49,440,000.

\(C\) For credit to the Department of Defense Family

Housing Improvement Fund established by section

2883(a)(1) of title 10, United States Code, \$300,000.

\(9\) For construction of the Defense Threat Reduction Center

at Fort Belvoir, Virginia, authorized by section 2401(a) of the

Military Construction Authorization Act for Fiscal Year 2003

(division B of Public Law 107-314; 116 Stat. 2695),

\$25,700,000.

\(10\) For the construction of phase 5 of an ammunition

demilitarization facility at Pueblo Depot Activity, Colorado,

authorized by section 2401(a) of the Military Construction

Authorization Act for Fiscal Year 1997 (division B of Public

Law 104-201; 110 Stat. 2775), as amended by section 2406 of the

Military Construction Authorization Act for Fiscal Year 2000

(division B of Public Law 106-65; 113 Stat. 839) and section

2407 of the Military Construction Authorization Act for Fiscal

Year 2003 (division B of Public Law 107-314; 116 Stat. 2698),

\$88,388,000.

\(11\) For the construction of phase 6 of an ammunition

demilitarization facility at Newport Army Ammunition Plant,

Indiana, authorized by section 2401(a) of the Military

Construction Authorization Act for Fiscal Year 1999 (division B

of Public Law 105-261; 112 Stat. 2193), as amended by section

2406 of the Military Construction Authorization Act for Fiscal

Year 2003 (division B of Public Law 107-314; 116 Stat. 2698),

\$15,207,000.

\(12\) For the construction of phase 4 of an ammunition

demilitarization facility at Blue Grass Army Depot, Kentucky,

authorized by section 2401(a) of the Military Construction

Authorization Act for Fiscal Year 2000 (division B of Public

Law 106-65; 113 Stat. 835), as amended by section 2405 of the

Military Construction Authorization Act for Fiscal Year 2002

(division B of Public Law 107-107; 115 Stat. 1298) and section

2405 of the Military Construction Authorization Act for Fiscal

Year 2003 (division B of Public Law 107-314; 116 Stat. 2698),

\$16,220,000.

\(b\) Limitation on Total Cost of Construction Projects.\--

Notwithstanding the cost variations authorized by section 2853 of title

10, United States Code, and any other cost variation authorized by law,

the total cost of all projects carried out under section 2401 of this

Act may not exceed the total amount authorized to be appropriated under

paragraphs (1) and (2) of subsection (a).

TITLE XXV\--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT

PROGRAM

SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.

The Secretary of Defense may make contributions for the North

Atlantic Treaty Organization Security Investment program as provided in

section 2806 of title 10, United States Code, in an amount not to

exceed the sum of the amount authorized to be appropriated for this

purpose in section 2502 and the amount collected from the North

Atlantic Treaty Organization as a result of construction previously

financed by the United States.

SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

Funds are hereby authorized to be appropriated for fiscal years

beginning after September 30, 2003, for contributions by the Secretary

of Defense under section 2806 of title 10, United States Code, for the

share of the United States of the cost of projects for the North

Atlantic Treaty Organization Security Investment program authorized by

section 2501, in the amount of \$169,300,000.

TITLE XXVI\--GUARD AND RESERVE FORCES FACILITIES

SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND

ACQUISITION PROJECTS.

There are authorized to be appropriated for fiscal years beginning

after September 30, 2003, 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, \$253,788,000; and

\(B\) for the Army Reserve, \$89,840,000.

\(2\) For the Department of the Navy, for the Naval and

Marine Corps Reserve, \$45,762,000.

\(3\) For the Department of the Air Force\--

\(A\) for the Air National Guard of the United

States, \$123,408,000; and

\(B\) for the Air Force Reserve, \$61,143,000.

TITLE XXVII\--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED TO BE

SPECIFIED BY LAW.

\(a\) Expiration of Authorizations After Three Years.\--Except as

provided in subsection (b), all authorizations contained in titles XXI

through XXVI for military construction projects, land acquisition,

family housing projects and facilities, and contributions to the North

Atlantic Treaty Organization Security Investment program (and

authorizations of appropriations therefor) shall expire on the later

of\--

\(1\) October 1, 2006; or

\(2\) the date of the enactment of an Act authorizing funds

for military construction for fiscal year 2007.

\(b\) 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, 2006; or

\(2\) the date of the enactment of an Act authorizing funds

for fiscal year 2007 for military construction projects, land

acquisition, family housing projects and facilities, and

contributions to the North Atlantic Treaty Organization

Security Investment program.

SEC. 2702. EXTENSION OF AUTHORIZATION OF CERTAIN FISCAL YEAR 2001

PROJECT.

\(a\) Extension of Certain Project.\--Notwithstanding section 2701 of

the Floyd D. Spence National Defense Authorization Act for Fiscal Year

2001 (as enacted into law by Public Law 106-398; 114 Stat. 1654A-407),

the authorization set forth in the table in subsection (b), as provided

in section 2102 of that Act, shall remain in effect until October 1,

2004, or the date of the enactment of an Act authorizing funds for

military construction for fiscal year 2005, whichever is later.

\(b\) Table.\--The table referred to in subsection (a) is as follows:

Army: Extension of 2001 Project Authorization

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

State Installation or location Project Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

South Carolina\...\...\...\...\...\...\...\... Fort
Jackson\...\...\...\.... New Construction\--GFOQ\...\.... \$250,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 2000

PROJECTS.

\(a\) Extension.\--Notwithstanding section 2701 of the Military

Construction Authorization Act for Fiscal Year 2000 (division B of

Public Law 106-65; 113 Stat. 841), the authorizations set forth in the

tables in subsection (b), as provided in section 2302 or 2601 of that

Act and extended by section 2702 of the Military Construction

Authorization Act for Fiscal Year 2003 (division B of Public Law 107-

314; 116 Stat. 2700), shall remain in effect until October 1, 2004, or

the date of the enactment of an Act authorizing funds for military

construction for fiscal year 2005, whichever is later.

\(b\) Tables.\--The tables referred to in subsection (a) is as

follows:

Air Force: Extension of 2000 Project Authorization

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

State Installation or location Project Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Oklahoma\...\...\...\...\...\...\...\...\...\... Tinker Air Force
Base\.... Replace Family Housing (41 \$6,000,000

Units)\...\...\...\...\...\...\....

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Army National Guard: Extension of 2000 Project Authorization

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

State Installation or location Project Amount

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Virginia\...\...\...\...\...\...\...\...\...\... Fort
Pickett\...\...\...\.... Multi-purpose Range-Heavy\.... \$13,500,000

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

SEC. 2704. EFFECTIVE DATE.

Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI of this Act shall take

effect on the later of\--

\(1\) October 1, 2003; or

\(2\) the date of the enactment of this Act.

TITLE XXVIII\--GENERAL PROVISIONS

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

Changes

SEC. 2801. INCREASE IN MAXIMUM AMOUNT OF AUTHORIZED ANNUAL EMERGENCY

CONSTRUCTION.

Section 2803(c)(1) of title 10, United States Code, is amended by

striking \`\`\$30,000,000\'\' and inserting \`\`\$45,000,000\'\'.

SEC. 2802. AUTHORITY TO LEASE MILITARY FAMILY HOUSING UNITS IN ITALY.

Section 2828(e)(2) of title 10, United States Code, is amended by

striking \`\`2,000 units\`\` and inserting \`\`2,800 units\'\'.

SEC. 2803. CHANGES TO ALTERNATIVE AUTHORITY FOR ACQUISITION AND

IMPROVEMENT OF MILITARY HOUSING.

\(a\) Space Limitations by Pay Grade.\--Section 2880(b)(2) of title

10, United States Code, is amended by striking \`\`unless the unit is

located on a military installation\'\'.

\(b\) Department of Defense Housing Fund.\--(1) Section 2883 of such

title is amended by striking subsections (a), (b), and (c) and

inserting the following new subsections (a) and (b):

\`\`(a) Establishment.\--There is hereby established on the books of

the Treasury an account to be known as the Department of Defense

Housing Improvement Fund (in this section referred to as the \`Fund\').

\`\`(b) Credits to Fund.\--There shall be credited to the Fund the

following:

\`\`(1) Amounts authorized for and appropriated to the Fund.

\`\`(2) Subject to subsection (e), any amounts that the

Secretary of Defense transfers, in such amounts as are provided

for in appropriation Acts, to the Fund from amounts authorized

and appropriated to the Department of Defense for the

acquisition or construction of military family housing or

military unaccompanied housing.

\`\`(3) Proceeds from the conveyance or lease of property or

facilities under section 2878 of this title for the purpose of

carrying out activities under this subchapter with respect to

military family housing or military unaccompanied housing.

\`\`(4) Income derived from any activities under this

subchapter with respect to military family housing or military

unaccompanied housing, income and gains realized from

investments under section 2875 of this title, and any return of

capital invested as part of such investments.

\`\`(5) Any amounts that the Secretary of the Navy transfers

to the Fund pursuant to section 2814(i)(3) of this title,

subject to the restrictions on the use of the transferred

amounts specified in that section.\'\'.

\(2\) Such section is further amended\--

\(A\) by redesignating subsections (d) through (g) as

subsections (c) through (f), respectively;

\(B\) in subsection (c), as so redesignated\--

\(i\) in the subsection heading, by striking

\`\`Funds\'\' and inserting \`\`Fund\'\';

\(ii\) in paragraph (1)\--

\(I\) by striking \`\`subsection (e)\'\' and

inserting \`\`subsection (d)\'\'; and

\(II\) by striking \`\`Department of Defense

Family Housing Improvement Fund\'\' and inserting

\`\`Fund\'\';

\(iii\) by striking paragraph (2); and

\(iv\) by redesignating paragraph (3) as paragraph

(2);

\(C\) in subsection (e), as so redesignated, by striking \`\`a

Fund under paragraph (1)(B) or (2)(B) of subsection (c)\'\' and

inserting \`\`the Fund under subsection (b)(2)\'\'; and

\(D\) in subsection (f), as so redesignated, by striking

\`\`\$850,000,000\'\' in paragraph (1) and inserting

\`\`\$900,000,000\'\'.

\(c\) Transfer of Unobligated Amounts.\--(1) The Secretary of Defense

shall transfer to the Department of Defense Housing Improvement Fund

established under section 2883(a) of title 10, United States Code (as

amended by subsection (b)), any amounts in the Department of Defense

Family Housing Improvement Fund and the Department of Defense Military

Unaccompanied Housing Improvement that remain available for obligation

as of the date of the enactment of this Act.

\(2\) Amounts transferred to the Department of Defense Housing

Improvement Fund under paragraph (1) shall be merged with amounts in

that Fund, and shall be available for the same purposes, and subject to

the same conditions and limitations, as other amounts in that Fund.

\(d\) Conforming Amendments.\--(1) Paragraph (3) of section 2814(i) of

such title is amended\--

\(A\) by striking subparagraph (A) and inserting the

following new subparagraph (A):

\`\`(A) The Secretary may transfer funds from the Ford Island

Improvement Account to the Department of Defense Housing Improvement

Fund established by section 2883(a) of this title.\'\'; and

\(B\) in subparagraph (B), by striking \`\`a fund\'\' and

inserting \`\`the Fund\'\'.

\(2\) Section 2871(6) of such title is amended by striking

\`\`Department of Defense Family Housing Improvement Fund or the

Department of Defense Military Unaccompanied Housing Improvement
Fund\'\'

and inserting \`\`Department of Defense Housing Improvement Fund\'\'.

\(3\) Section 2875(e) of such title is amended by striking

\`\`Department of Defense Family Housing Improvement Fund or the

Department of Defense Military Unaccompanied Housing Improvement
Fund\'\'

and inserting \`\`Department of Defense Housing Improvement Fund\'\'.

\(e\) Clerical Amendments.\--(1) The section heading for section 2883

of such title is amended to read as follows:

\`\`Sec. 2883. Department of Defense Housing Improvement Fund\'\'.

\(2\) The table of sections at the beginning subchapter IV of chapter

169 of such title is amended by striking the item relating to section

2883 and inserting the following new item:

\`\`2883. Department of Defense Housing Improvement Fund.\'\'.

SEC. 2804. ADDITIONAL MATERIAL FOR ANNUAL REPORT ON HOUSING

PRIVATIZATION PROGRAM.

Section 2884(b) of title 10, United States Code, is amended\--

\(1\) in paragraph (2), by inserting before the period at the

end the following: \`\`, and such recommendations as the

Secretary considers necessary for improving the extent and

effectiveness of the use of such authorities in the future\'\';

and

\(2\) by striking paragraph (3) and inserting the following

new paragraphs:

\`\`(3) A review of activities of the Secretary under this

subchapter during such preceding fiscal year, shown for

military family housing, military unaccompanied housing, dual

military family housing and military unaccompanied housing, and

ancillary supporting facilities.

\`\`(4) If a contract for the acquisition or construction of

military family housing, military unaccompanied housing, or

dual military family housing and military unaccompanied housing

entered into during the preceding fiscal year did not include

the acquisition or construction of the types of ancillary

supporting facilities specifically referred to in section

2871(1) of this title, a explanation of the reasons why such

ancillary supporting facilities were not included.

\`\`(5) A description of the Secretary\'s plans for housing

privatization activities under this subchapter (A) during the

fiscal year for which the budget is submitted, and (B) during

the period covered by the then-current future-years defense

plan under section 221 of this title.\'\'.

SEC. 2805. AUTHORITY TO CONVEY PROPERTY AT MILITARY INSTALLATIONS

CLOSED OR TO BE CLOSED IN EXCHANGE FOR MILITARY

CONSTRUCTION ACTIVITIES.

\(a\) In General.\--(1) Subchapter III of chapter 169 of title 10,

United States Code, is amended by adding at the end the following new

section:

\`\`Sec. 2869. Conveyance of property at military installations closed
or

to be closed in exchange for military construction

activities

\`\`(a) Conveyance Authorized; Consideration.\--The Secretary of

Defense may enter into an agreement to convey real property, including

any improvements thereon, located on a military installation that is

closed or realigned under a base closure law to any person who agrees,

in exchange for the real property\--

\`\`(1) to carry out, or provide services in connection with,

an authorized military construction project; or

\`\`(2) to transfer to the Secretary of Defense housing that

is constructed or provided by the person and located at or near

a military installation at which there is a shortage of

suitable military family housing or military unaccompanied

housing (or both).

\`\`(b) Conditions on Conveyance Authority.\--A conveyance of real

property may be made under subsection (a) only if\--

\`\`(1) the fair market value of the consideration to be

received in exchange for the real property conveyed under

subsection (a) is equal to or greater than the fair market

value of the property, including any improvements thereon, as

determined by the Secretary concerned; and

\`\`(2) in the event the fair market value of the

consideration to be received is equal to at least 90 percent,

but less than 100 percent, of the fair market value of the real

property to be conveyed, including any improvements thereon,

the recipient of the property agrees to pay to the Secretary of

Defense an amount equal to the difference in the fair market

values.

\`\`(c) Use of Authority.\--(1) To the maximum extent practicable, the

Secretary of Defense shall use the authority provided by subsection (a)

to convey at least 20 percent of the total acreage conveyed each fiscal

year at military installations closed or realigned under the base

closure laws. Notice of the proposed use of this authority shall be

provided in such manner as the Secretary may prescribe, including

publication in the Federal Register and otherwise. In determining such

total acreage for a fiscal year, the Secretary shall exclude real

property identified in a redevelopment plan as property essential to

the reuse or redevlopment of a military installation closed or to be

closed under a base closure law.

\`\`(2) To the maximum extent practicable, the Secretary of Defense

shall endeavor to use the authority provided by subsection (a) to

obtain military construction and military housing services having a

total value of at least \$200,000,000 each fiscal year for each of the

military departments.

\`\`(3) The Secretary concerned shall utilize the authority provided

in subsection (a) in lieu of obligating and expending funds

appropriated for military construction and military housing projects

that are authorized by law.

\`\`(d) Deposit of Funds.\--The Secretary of Defense may deposit funds

received under subsection (b)(2) in the Department of Defense Housing

Improvement Fund established under section 2883(a) of this title.

\`\`(e) Annual Report.\--The Secretary of Defense shall include each

year in the materials that the Secretary submits to Congress in support

of the budget submitted by the President pursuant to section 1105 of

title 31 a report detailing the extent to which the Secretary used the

authority provided by subsection (a) to convey real property in

exchange for military construction and military housing and plans for

the use of such authority for the future. The report shall include the

following:

\`\`(1) The total value of the real property that was

actually conveyed during the preceding fiscal year using the

authority provided by subsection (a).

\`\`(2) The total value of the military construction and

military housing services obtained in exchange, and, if the

dollar goal specified in subsection (c)(2) was not achieved for

a military department, an explanation regarding the reasons why

the goal was not achieved.

\`\`(3) The current inventory of unconveyed lands at military

installations closed or realigned under a base closure law.

\`\`(4) A description of the results of conveyances under

subsection (a) during the preceding fiscal year and plans for

such conveyances for the current fiscal year, the fiscal year

covered by the budget, and the period covered by the current

future-years defense program under section 221 of this title.

\`\`(f) Description of Property.\--The exact acreage and legal

description of real property conveyed under subsection (a) shall be

determined by surveys satisfactory to the Secretary of Defense.

\`\`(g) Additional Terms and Conditions.\--The Secretary of Defense

may require such additional terms and conditions in connection with a

conveyance under subsection (a) as the Secretary considers appropriate

to protect the interests of the United States.\'\'.

\(2\) The table of sections at the beginning of such subchapter is

amended by adding at the end the following new item:

\`\`2869. Conveyance of property at military installations closed or to

be closed in exchange for military

construction activities.\'\'.

\(b\) Exception to Requirement for Authorization of Number of Housing

Units.\--Section 2822(b) of such title is amended by adding at the end

the following new paragraph:

\`\`(6) Housing units constructed or provided under section

2869 of this title.\'\'.

\(c\) Conforming Amendment to Department of Defense Housing

Improvement Fund.\--Section 2883(b) of such title, as amended by section

2803, is further amended by adding at the end the following new

paragraph:

\`\`(6) Any amounts that the Secretary concerned transfers to

the Fund pursuant to section 2869 of this title.\'\'.

\(d\) Conforming Repeals to Base Closure Laws.\--(1) Section 204(e) of

the Defense Authorization Amendments and Base Closure and Realignment

Act (Public Law 100-526; 10 U.S.C. 2687 note) is repealed.

\(2\) Section 2905(f) 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 repealed.

SEC. 2806. CONGRESSIONAL NOTIFICATION AND REPORTING REQUIREMENTS AND

LIMITATIONS REGARDING USE OF OPERATION AND MAINTENANCE

FUNDS FOR CONSTRUCTION.

\(a\) In General.\--Subchapter I of chapter 169 of title 10, United

States Code, is amended by inserting after section 2809 the following

new section:

\`\`Sec. 2810. Use of operation and maintenance funds for construction:

notification and reporting requirements and limitations

\`\`(a) Advance Notification of Obligation of Funds.\--(1) The

Secretary concerned shall submit to the appropriate committees of

Congress advance written notice before appropriations available for

operation and maintenance are obligated for construction described in

paragraph (2). The notice shall be submitted not later than 14 days

before the date on which appropriations available for operation and

maintenance are first obligated for that construction and shall contain

the information required by subsection (c).

\`\`(2) Paragraph (1) applies with respect to any construction having

an estimated total cost of more than \$1,500,000, but not more than

\$5,000,000, which is paid for in whole or in part using appropriations

available for operation and maintenance, if\--

\`\`(A) the construction is necessary to meet urgent military

operational requirements of a temporary nature;

\`\`(B) the construction was not carried out at a military

installation where the United States is reasonably expected to

have a long-term interest or presence;

\`\`(C) the United States has no intention of using the

construction after the operational requirement has been

satisfied; and

\`\`(D) the level of construction is the minimum necessary to

meet the temporary operational need.

\`\`(b) Waiver Authority; Congressional Notification.\--(1) The

Secretary concerned may waive the advance notice requirement under

subsection (a) on a case-by-case basis if the Secretary determines

that\--

\`\`(A) the project is vital to the national security or to

the protection of health, safety, or the quality of the

environment; and

\`\`(B) the requirement for the construction is so urgent

that deferral of the construction during the period specified

in subsection (a)(1) would be inconsistent with national

security or the protection of health, safety, or environmental

quality, as the case may be.

\`\`(2) Not later than five days after the date on which a waiver is

granted under paragraph (1), the Secretary concerned shall provide to

the appropriate committees of Congress written notice containing the

reasons for the waiver and the information required by subsection (c)

with regard to the construction for which the waiver was granted.

\`\`(c) Content of Notice.\--The notice provided under subsection (a)

or (b) with regard to construction funded using appropriations

available for operation and maintenance shall include the following:

\`\`(1) A description of the purpose for which the funds are

being obligated.

\`\`(2) An estimate of the total amount to be obligated for

the construction.

\`\`(3) The reasons appropriations available for operation

and maintenance are being used.

\`\`(d) Limitations on Use of Operation and Maintenance Funds.\--(1)

The Secretary concerned shall not use appropriations available for

operation and maintenance to carry out any construction having an

estimated total cost of more than \$5,000,000.

\`\`(2) The total cost of construction carried out by the Secretaries

concerned in whole or in part using appropriations available for

operation and maintenance shall not exceed \$200,000,000 in any fiscal

year.

\`\`(e) Quarterly Report.\--The Secretary concerned shall submit to

the appropriate committees of Congress a quarterly report on the

worldwide obligation and expenditure of appropriations available for

operation and maintenance by the Secretary concerned for construction

during the preceding quarter.\'\'.

\(b\) Clerical Amendment.\--The table of sections at the beginning of

such subchapter is amended by inserting after the item relating to

section 2809 the following new item:

\`\`2810. Use of operation and maintenance funds for construction:

notification and reporting requirements and

limitations.\'\'.

SEC. 2807. INCREASE IN AUTHORIZED MAXIMUM LEASE TERM FOR FAMILY HOUSING

AND OTHER FACILITIES IN CERTAIN FOREIGN COUNTRIES.

\(a\) Lease of Military Family Housing.\--Section 2828(d)(1) of title

10, United States Code, is amended by striking \`\`ten years,\'\' and

inserting \`\`10 years, or 15 years in the case of leases in Korea,\'\'.

\(b\) Leases of Other Facilities.\--Section 2675 of such title is

amended by inserting after \`\`five years,\'\' the following: \`\`or 15
years

in the case of a lease in Korea,\'\'.

SEC. 2808. ANNUAL REPORT ON MILITARY CONSTRUCTION REQUIREMENTS TO

SUPPORT HOMELAND DEFENSE MISSIONS OF THE ARMED FORCES.

As part of the annual defense authorization request required by

section 113a(b) of title 10, United States Code, the Secretary of

Defense shall include an assessment of the military construction

requirements anticipated to be necessary to support the homeland

defense missions of the Armed Forces for the fiscal year for which the

defense authorization request is submitted, for the fiscal years

covered by the then-current future-years defense plan under section 221

of such title, and for subsequent fiscal years.

Subtitle B\--Real Property and Facilities Administration

SEC. 2811. REAL PROPERTY TRANSACTIONS.

\(a\) Increase in Land Acquisition Authority Cost Threshold.\--Section

2672 of title 10, United States Code, is amended by striking

\`\`\$500,000\'\' both places it appears and inserting
\`\`\$1,500,000\'\'.

\(b\) Prompt Notification of Certain Land Acquisitions.\--Section

2672a of such title is amended\--

\(1\) in subsection (a)(1), by striking \`\`he or his

designee\'\' and inserting \`\`the Secretary\'\';

\(2\) in subsection (b), by striking the last sentence; and

\(3\) by adding at the end the following new subsection:

\`\`(c) Not later than 10 days after the determination is made under

subsection (a)(1) that acquisition of an interest in land is needed in

the interest of the national defense, the Secretary of the military

department making that determination shall provide to the Committee on

Armed Services of the Senate and the Committee on Armed Services of the

House of Representatives written notice containing a description of the

property and interest to be acquired and the reasons for the

acquisition.\'\'.

\(c\) Modification of Related Notification Requirements.\--Section

2662 of such title is amended\--

\(1\) in subsection (a)\--

\(A\) by striking \`\`30 days\'\' and all that follows

through \`\`is submitted\'\' and inserting \`\`14 days after

the beginning of the month with respect to which a

single report containing the facts concerning such

transaction and all other such proposed transactions

for that month is submitted, not later than the first

day of that month,\'\'; and

\(B\) by striking \`\`\$500,000\'\' each place it appears

and inserting \`\`\$1,500,000\'\';

\(2\) in subsection (b), by striking \`\`more than\'\' and all

that follows through \`\`\$500,000\'\' and inserting \`\`more than

\$250,000 but not more than \$1,500,000\'\';

\(3\) in subsection (e)\--

\(A\) by striking \`\`\$500,000\'\' and inserting

\`\`\$1,000,000\'\'; and

\(B\) by striking \`\`thirty days\'\' and inserting \`\`14

days\'\'; and

\(4\) in subsection (g)(3), by striking \`\`30 days\'\' and

inserting \`\`14 days\'\'.

\(d\) Clerical Amendments.\--(1) The heading of section 2672 of such

title is amended to read as follows:

\`\`Sec. 2672. Authority to acquire low-cost interests in land\'\'.

\(2\) The item relating to section 2672 in the table of sections at

the beginning of chapter 159 of such title is amended to read as

follows:

\`\`2672. Authority to acquire low-cost interests in land.\'\'.

SEC. 2812. SENSE OF CONGRESS ON DEMOLITION OF ARMY TACONY WAREHOUSE

DEPOT SITE, PHILADELPHIA, PENNSYLVANIA.

\(a\) Findings.\--Congress finds the following:

\(1\) The Department of Defense Appropriations Act, 2001

(Public Law 106-259; 114 Stat. 656), appropriated \$5,000,000

for the demolition of the Army Tacony Warehouse depot site in

Philadelphia, Pennsylvania, operated by Fort Dix.

\(2\) The Secretary of the Army has yet to implement plans to

demolish the Tacony warehouse.

\(b\) Sense of Congress.\--It is the sense of Congress that the

Secretary of the Army should take swift action to finally demolish the

Tacony warehouse, as previously required by Act of Congress.

Subtitle C\--Land Conveyances

SEC. 2821. TERMINATION OF LEASE AND CONVEYANCE OF ARMY RESERVE

FACILITY, CONWAY, ARKANSAS.

\(a\) Termination of Lease.\--Upon the completion of the replacement

facility authorized for the Army Reserve facility located in Conway,

Arkansas, the Secretary of the Army may terminate the 99-year lease

between the Secretary and the University of Central Arkansas for the

property on which the old facility is located.

\(b\) Conveyance of Facility.\--As part of the termination of the

lease under subsection (a), the Secretary may convey, without

consideration, to the University of Central Arkansas all right, title,

and interest of the United States in and to the Army Reserve facility

located on the leased property.

\(c\) Assumption of Liability.\--The University of Central Arkansas

shall expressly accept any and all liability pertaining to the physical

condition of the Army Reserve facility conveyed under subsection (b)

and shall hold the United States harmless from any and all liability

arising from the facility\'s physical condition.

SEC. 2822. ACTIONS TO QUIET TITLE, FALLIN WATERS SUBDIVISION, EGLIN AIR

FORCE BASE, FLORIDA.

\(a\) Authority to Quiet Title.\--(1) Notwithstanding the restoration

provisions under the heading \`\`quartermaster corps\'\' in the Second

Deficiency Appropriation Act, 1940 (Act of June 27, 1940; chapter 437;

54 Stat. 655), the Secretary of the Air Force may take appropriate

action to quiet title to tracts of land referred to in paragraph (2)

on, at, adjacent, adjoining, or near Eglin Air Force Base, Florida. The

Secretary may take such action in order to resolve encroachments upon

private property by the United States and upon property of the United

States by private parties, which resulted from reliance on inaccurate

surveys.

\(2\) The tracts of land referred to in paragraph (1) are generally

described as south of United States Highway 98 and bisecting the north/

south section line of sections 13 and 14, township 2 south, range 25

west, located in the platted subdivision of Fallin Waters, Okaloosa

County, Florida. The exact acreage and legal description of such tracts

of land shall be determined by a survey satisfactory to the Secretary.

\(b\) Authorized Actions.\--In carrying out subsection (a),

appropriate action by the Secretary may include any of the following:

\(1\) Disclaiming, on behalf of the United States, any intent

by the United States to acquire by prescription any property at

or in the vicinity of Eglin Air Force Base.

\(2\) Disposing of tracts of land owned by the United States.

\(3\) Acquiring tracts of land by purchase, by donation, or

by exchange for tracts of land owned by the United States at or

adjacent to Eglin Air Force Base.

\(c\) Acreage Limitations.\--Individual tracts of land acquired or

conveyed by the Secretary under paragraph (2) or (3) of subsection (a)

may not exceed .10 acres. The total acreage so acquired may not exceed

two acres.

\(d\) Consideration.\--Any conveyance by the Secretary under this

section may be made, at the discretion of the Secretary, without

consideration, or by exchange for tracts of land adjoining Eglin Air

Force Base in possession of private parties who mistakenly believed

that they had acquired title to such tracts.

SEC. 2823. MODIFICATION OF LAND CONVEYANCE, EGLIN AIR FORCE BASE,

FLORIDA.

\(a\) Modification.\--Public Law 91-347 (84 Stat. 447) is amended\--

\(1\) in the first section, by inserting \`\`or for other

public purposes\'\' before the period at the end; and

\(2\) in section 3(1)\--

\(A\) by inserting \`\`or for other public purposes\'\'

after \`\`schools\'\'; and

\(B\) by striking \`\`such purpose\'\' and inserting

\`\`such a purpose\'\'.

\(b\) Alteration of Legal Instrument.\--The Secretary of the Air Force

shall execute and file in the appropriate office an amended deed or

other appropriate instrument effectuating the modification of the

reversionary interest retained by the United States in connection with

the conveyance made pursuant to Public Law 91-347.

SEC. 2824. LAND CONVEYANCE, FORT CAMPBELL, KENTUCKY AND TENNESSEE.

\(a\) Conveyance Authorized.\--The Secretary of the Army may convey to

the department of transportation of the State of Tennessee (in this

section referred to as the \`\`department\'\') all right, title, and

interest of the United States in and to a parcel of real property

(right-of-way), including any improvements thereon, located at Fort

Campbell, Kentucky and Tennessee, for the purpose of realigning and

upgrading United States Highway 79 from a two-lane highway to a four-

lane highway.

\(b\) Consideration.\--(1) As consideration for the conveyance under

subsection (a), the department shall pay from any source (including

Federal funds made available to the State from the Highway Trust Fund)

all of the costs of the Secretary incurred\--

\(A\) to convey the property, including costs related to the

preparation of documents under the National Environmental

Policy Act of 1969 (42 U.S.C. 4321 et seq.), surveys (including

all surveys required under subsection (c)), cultural reviews,

and administrative oversight;

\(B\) to relocate a cemetery to permit the highway

realignment and upgrading;

\(C\) to acquire approximately 200 acres of mission-essential

replacement property required to support the training mission

at Fort Campbell; and

\(D\) to dispose of residual Federal property located south

of the realigned highway.

\(2\) The Secretary may accept funds under this subsection from the

Federal Highway Administration or the State of Tennessee to pay costs

described in paragraph (1) and credit them to the appropriate

Department of the Army accounts for the purpose of paying such costs.

\(3\) All funds accepted by the Secretary under this subsection shall

remain available until expended.

\(c\) Description of Property.\--The exact acreage and legal

description of the property to be conveyed under subsection (a) or

acquired and disposed of under section (b) shall be determined by

surveys satisfactory to the Secretary.

\(d\) 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. 2825. LAND CONVEYANCE, ARMY AND AIR FORCE EXCHANGE SERVICE

PROPERTY, DALLAS, TEXAS.

\(a\) Conveyance Authorized.\--The Secretary of Defense may authorize

the Army and Air Force Exchange Service, a nonappropriated fund

instrumentality of the United States, to convey, by sale, all right,

title, and interest of the United States in and to a parcel of real

property, including any improvements thereon, located at 1515

Roundtable Drive in Dallas, Texas.

\(b\) Consideration.\--As consideration for conveyance under

subsection (a), the purchaser shall pay to the Secretary, in a single

lump sum payment, an amount equal to the fair market value of the real

property conveyed, as determined by the Secretary. Section 574(a) of

title 40, United States Code, shall apply with respect to the amounts

received by the Secretary under this subsection.

\(c\) 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 purchaser.

\(d\) 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. 2826. LAND CONVEYANCE, NAVAL RESERVE CENTER, ORANGE, TEXAS.

\(a\) Conveyance Authorized.\--The Secretary of the Navy may convey to

the City of Orange, Texas (in this section referred to as the

\`\`City\'\'), all right, title, and interest of the United States in
and

to a parcel of unimproved real property consisting of approximately 2.5

acres at Naval Reserve Center, Orange, Texas for the purpose of

permitting the City to use the property for road construction, economic

development, and other public purposes.

\(b\) Consideration.\--As consideration for the conveyance under

subsection (a), the City shall provide the United States, whether by

cash payment, in-kind contribution, or a combination thereof, an amount

that is not less than the fair market value, as determined by the

Secretary, of the property conveyed under such subsection.

\(c\) Payment of Costs of Conveyance.\--(1) The Secretary may require

the City to cover costs to be incurred by the Secretary, or to

reimburse the Secretary for costs incurred by the Secretary, to carry

out the conveyance under subsection (a), including survey costs, costs

related to environmental documentation, and other administrative costs

related to the conveyance. If amounts are collected from the City in

advance of the Secretary incurring the actual costs, and the amount

collected exceeds the costs actually incurred by the Secretary to carry

out the conveyance, the Secretary shall refund the excess amount to the

City.

\(2\) Amounts received as reimbursement under paragraph (1) shall be

credited to the fund or account that was used to cover the costs

incurred by the Secretary in carrying out the conveyance. Amounts so

credited shall be merged with amounts in such fund or account, and

shall be available for the same purposes, and subject to the same

conditions and limitations, as amounts in such fund or account.

\(d\) Exemption From Federal Screening.\--The conveyance authorized by

subsection (a) is exempt from the requirement to screen the property

for other Federal use pursuant to sections 2693 and 2696 of title 10,

United States Code.

\(e\) Description of Property.\--The exact acreage and legal

description of the real property to be conveyed under subsection (a)

shall be determined by a survey satisfactory to the Secretary.

\(f\) Additional Terms and Conditions.\--The Secretary may require

such additional 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. 2827. LAND CONVEYANCE, FORT BELVOIR, VIRGINIA.

\(a\) Conveyance Required.\--The Secretary of the Army shall convey,

without consideration, to Fairfax County, Virginia (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 10 acres at Fort

Belvoir and known as the John McNaughton Memorial baseball fields for

the purpose of permitting the County to use the property for

recreational purposes.

\(b\) Payment of Costs of Conveyance.\--(1) The Secretary may require

the County to cover costs to be incurred by the Secretary, or to

reimburse the Secretary for costs incurred by the Secretary, to carry

out the conveyance under subsection (a), including survey costs, costs

related to environmental documentation, and other administrative costs

related to the conveyance. If amounts are collected from the County in

advance of the Secretary incurring the actual costs, and the amount

collected exceeds the costs actually incurred by the Secretary to carry

out the conveyance, the Secretary shall refund the excess amount to the

County.

\(2\) Amounts received as reimbursement under paragraph (1) shall be

credited to the fund or account that was used to cover the costs

incurred by the Secretary in carrying out the conveyance. Amounts so

credited shall be merged with amounts in such fund or account, and

shall be available for the same purposes, and subject to the same

conditions and limitations, as amounts in such fund or account.

\(c\) 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.

\(d\) 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. 2828. LAND CONVEYANCE, PUGET SOUND NAVAL SHIPYARD, 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 2.8 acres at the eastern end of the Puget

Sound Naval Shipyard, Bremerton, Washington, immediately adjacent to

the Bremerton Transportation Center.

\(b\) Consideration.\--As consideration for the conveyance under

subsection (a), the City, directly or through an agreement with another

entity, shall replace administrative space on the parcel to be conveyed

by renovating for new occupancy approximately 7,500 square feet of

existing space in Building 433 at Naval Station, Bremerton, Washington,

at no cost to the United States, in accordance with plans and

specifications acceptable to the Secretary. In lieu of any portion of

such renovation, the Secretary may accept other facility alteration or

repair of not less than equal value.

\(c\) Payment of Costs of Conveyance.\--(1) The Secretary shall

require the City to cover costs to be incurred by the Secretary, or to

reimburse the Secretary for costs incurred by the Secretary, to carry

out the conveyance under subsection (a), including survey costs, costs

related to environmental documentation, and other administrative costs

related to the conveyance. If amounts are collected from the City in

advance of the Secretary incurring the actual costs, and the amount

collected exceeds the costs actually incurred by the Secretary to carry

out the conveyance, the Secretary shall refund the excess amount to the

City.

\(2\) Amounts received as reimbursement under paragraph (1) shall be

credited to the fund or account that was used to cover the costs

incurred by the Secretary in carrying out the conveyance. Amounts so

credited shall be merged with amounts in such fund or account, and

shall be available for the same purposes, and subject to the same

conditions and limitations, as amounts in such fund or account.

\(d\) Environmental Conditions.\--The Secretary may use funds

available in the Environmental Restoration Account, Navy to carry out

the environmental remediation of the real property to be conveyed under

subsection (a). Such environmental remediation shall be conducted in a

manner consistent with section 120 of the Comprehensive Environmental

Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9620),

including the requirement to consider the anticipated future land use

of the parcel.

\(e\) Exemption From Federal Screening.\--The conveyance authorized by

subsection (a) is exempt from the requirement to screen the property

for other Federal use pursuant to sections 2693 and 2696 of title 10,

United States Code.

\(f\) 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.

\(g\) Additional Terms and Conditions.\--The Secretary may require

such additional terms and conditions in connection with the conveyance

under subsection (a) as the Secretary considers appropriate to protect

the interests of the United States.

Subtitle D\--Other Matters

SEC. 2841. REDESIGNATION OF YUMA TRAINING RANGE COMPLEX AS BOB STUMP

TRAINING RANGE COMPLEX.

The military aviation training facility located in southwestern

Arizona and southeastern California and known as the Yuma Training

Range Complex shall be known and designated as the \`\`Bob Stump
Training

Range Complex\'\'. Any reference to such training range complex in any

law, regulation, map, document, record, or other paper of the United

States shall be considered to be a reference to the Bob Stump Training

Range Complex.

SEC. 2842. MODIFICATION OF AUTHORITY TO CONDUCT A ROUND OF REALIGNMENTS

AND CLOSURES OF MILITARY INSTALLATIONS IN 2005.

\(a\) Revision to Force Structure Plan for 2005 Round.\--Section

2912(a) of the Defense Base Closure and Realignment Act of 1990 (part A

of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note), as added by

section 3001 of the National Defense Authorization Act for Fiscal Year

2002 (Public Law 107-107; 115 Stat. 1342), is amended\--

\(1\) by striking subparagraph (A) of paragraph (1) and

inserting the following:

\`\`(A) A force-structure plan for the Armed Forces

that\--

\`\`(i) at a minimum, assumes the force

structure under the 1991 Base Force force

structure (as defined in paragraph (5)) that is

also known as the \`Cheney-Powell force

structure\'; and

\`\`(ii) includes such consideration as the

Secretary considers appropriate of an

assessment by the Secretary of\--

\`\`(I) the probable threats to the

national security during the 20-year

period beginning with fiscal year 2005;

\`\`(II) the probable end-strength

levels and major military force units

(including land force divisions,

carrier and other major combatant

vessels, air wings, and other

comparable units) needed to meet those

threats; and

\`\`(III) the anticipated levels of

funding that will be available for

national defense purposes during such

period.\'\';

\(2\) in paragraph (2)(A), by inserting before the period at

the end the following: \`\`, based upon an assumption that there

are no installations available outside the United States for

the permanent basing of elements of the Armed Forces\'\';

\(3\) in paragraph (4), by inserting after the first sentence

the following new sentence: \`\`Any such revision shall be

consistent with this subsection.\'\'; and

\(4\) by adding at the end the following new paragraph:

\`\`(5) Base force.\--In this subsection, the term \`1991 Base

Force force structure\' means the force structure plan for the

Armed Forces, known as the \`Base Force\', that was adopted by

the Secretary of Defense in November 1990 based upon

recommendations of the Chairman of the Joint Chiefs of Staff

and as incorporated in the President\'s budget for fiscal year

1992, as submitted to Congress in February 1991 and that

assumed the following force structure:

\`\`(A) For the Department of Defense, 1,600,000

members of the Armed Forces on active duty and 900,000

members in an active status in the reserve components.

\`\`(B) For the Army, 12 active divisions, six

National Guard divisions, and two cadre divisions or

their equivalents.

\`\`(C) For the Navy, 12 aircraft carrier battle

groups or their equivalents and 451 naval vessels,

including 85 attack submarines.

\`\`(D) For the Marine Corps, three active and one

Reserve divisions and three active and one Reserve air

wings.

\`\`(E) For the Air Force, 15 active fighter wings

and 11 National Guard fighter wings or their

equivalents.\'\'.

\(b\) Preparation of List of Military Installations Excluded from

Consideration in 2005 Round.\--Section 2913 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), as added by section 3002 of the National

Defense Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115

Stat. 1344), is amended by adding at the end the following new

subsections:

\`\`(g) Base Exclusion Criteria.\--In preparing the selection criteria

required by this section that will be used in making recommendations

for the closure or realignment of military installations inside the

United States, the Secretary shall ensure that the final criteria

reflect the requirement to develop a list of those military

installations to be excluded from the base closure and realignment

process, as provided in subsection (h).

\`\`(h) List of Installations Excluded From Consideration for Closure

or Realignment.\--(1) Before preparing the list required by section

2914(a) of the military installations inside the United States that the

Secretary recommends for closure or realignment, the Secretary shall

prepare a list of core military installations that the Secretary

considers absolutely essential to the national defense and that should

not be considered for closure.

\`\`(2) Not later than April 1, 2005, the Secretary shall submit to

the congressional defense committees, publish in the Federal Register,

and send to the Commission the list required by paragraph (1). The list

shall contain at least 50 percent of the total number of military

installations located inside the United States as of the date of the

enactment of the National Defense Authorization Act for Fiscal Year

2004\.

\`\`(3) The Commission shall consider the list based on the final

criteria developed under subsection (e). The Commission may modify this

list, in the manner provided in section 2903(d) and section 2914(d), if

the Commission finds that the inclusion of a military installation on

the list substantially violates the criteria. The Commission shall

forward to the President, not later than April 30, 2005, a report

containing its recommendations regarding the list, which must comply

with the percentages specified in paragraph (2). The Comptroller

General shall also comply with section 2903(d)(5) by that date.

\`\`(4) If the Commission submits a report to the President under

paragraph (3), the President shall notify Congress, not later than May

10, 2005, regarding whether the President approves or disapproves the

report. If the President disapproves the report, the Commission shall

be dissolved, and the process by which military installations may be

selected for closure or realignment under this part in 2005 shall be

terminated.

\`\`(5) A military installation included on the exclusion list

approved under this subsection may not be included on the closure and

realignment list prepared under section 2914(a) or otherwise considered

for closure or realignment as part of the base closure process in

2005.\'\'.

SEC. 2843. USE OF FORCE-STRUCTURE PLAN FOR THE ARMED FORCES IN

PREPARATION OF SELECTION CRITERIA FOR BASE CLOSURE ROUND.

Section 2913(a) of the Defense Base Closure and Realignment Act of

1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note),

as added by section 3002 of the National Defense Authorization Act for

Fiscal Year 2002 (Public Law 107-107; 115 Stat. 1344), is amended by

adding at the end the following new paragraph:

\`\`(3) Use of force-structure plan.\--In preparing the

proposed and final criteria to be used by the Secretary in

making recommendations under section 2914 for the closure or

realignment of military installations inside the United States,

the Secretary shall use the force-structure plan for the Armed

Forces prepared under section 2912(a).\'\'.

SEC. 2844. REQUIREMENT FOR UNANIMOUS VOTE OF DEFENSE BASE CLOSURE AND

REALIGNMENT COMMISSION TO RECOMMEND CLOSURE OF MILITARY

INSTALLATION NOT RECOMMENDED FOR CLOSURE BY SECRETARY OF

DEFENSE.

Section 2914(d) 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),

as added by section 3003 of the Military Construction Authorization Act

for Fiscal Year 2002 (division B of Public Law 107-107; 155 Stat, 1346)

and amended by section 2854 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116 Stat.

2728), is amended\--

\(1\) in paragraph (3), by striking \`\`to add\'\' and inserting

\`\`to consider additions\'\'; and

\(2\) in paragraph (5)\--

\(A\) by inserting \`\`and unanimous vote\'\' after

\`\`Site visit\'\'; and

\(B\) by inserting before the period at the end the

following: \`\`and the decision of the Commission to

recommend the closure of the installation is

unanimous\'\'.

SEC. 2845. CONSIDERATION OF PUBLIC-ACCESS-ROAD ISSUES RELATED TO

DISPOSAL OF PROPERTY AT MILITARY INSTALLATIONS UNDER BASE

CLOSURE PROCESS.

\(a\) 1988 Law.\--Section 204(b)(2)(E) of the Defense Authorization

Amendments and Base Closure and Realignment Act (Public Law 100-526; 10

U.S.C. 2687 note) is amended by adding at the end the following new

sentence: \`\`If a military installation to be closed or placed in an

inactive status under this title includes a road used for public access

through, into, or around the installation, the consultation required by

this subparagraph shall include a discussion of measures to ensure the

continued availability of the road for public use after the

installation is closed or placed in an inactive status.\'\'.

\(b\) 1990 Law.\--Section 2905(b)(2)(D) of the Defense Base Closure

and Realignment Act of 1990 (part A of title XXIX of Public Law 101-

510; 10 U.S.C. 2687 note) is amended by adding at the end the following

new sentence: \`\`If a military installation to be closed or placed in
an

inactive status under this part includes a road used for public access

through, into, or around the installation, the consultation required by

this subparagraph shall include a discussion of measures to ensure the

continued availability of the road for public use after the

installation is closed or placed in an inactive status.\'\'.

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

OTHER AUTHORIZATIONS

TITLE XXXI\--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

Subtitle A\--National Security Programs Authorizations

SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.

\(a\) Authorization of Appropriations.\--Funds are hereby authorized

to be appropriated to the Department of Energy for fiscal year 2004 for

the activities of the National Nuclear Security Administration in

carrying out programs necessary for national security in the amount of

\$8,822,075,000, to be allocated as follows:

\(1\) For weapons activities, \$6,393,000,000.

\(2\) For defense nuclear nonproliferation activities,

\$1,312,695,000.

\(3\) For naval reactors, \$768,400,000.

\(4\) For the Office of the Administrator for Nuclear

Security, \$347,980,000.

\(b\) Authorization of New Plant Projects.\--From funds referred to in

subsection (a) that are available for carrying out plant projects, the

Secretary of Energy may carry out, for weapons activities, the

following new plant projects:

Project 04-D-101, test capabilities revitalization, Sandia

National Laboratories, Albuquerque, New Mexico, \$36,450,000.

Project 04-D-102, exterior communications infrastructure

modernization, Sandia National Laboratories, Albuquerque, New

Mexico, \$20,000,000.

Project 04-D-103, project engineering and design, various

locations, \$2,000,000.

Project 04-D-104, national security sciences building, Los

Alamos National Laboratory, Los Alamos, New Mexico,

\$38,000,000.

Project 04-D-125, chemistry and metallurgy facility

replacement project, Los Alamos National Laboratory, Los

Alamos, New Mexico, \$20,500,000.

Project 04-D-126, Building 12-44 production cells upgrade,

Pantex plant, Amarillo, Texas, \$8,780,000.

Project 04-D-127, cleaning and loading modifications,

Savannah River Site, Aiken, South Carolina, \$2,750,000.

Project 04-D-128, TA-18 Mission relocation project, Los

Alamos National Laboratory, Los Alamos, New Mexico, \$8,820,000.

Project 04-D-203, facilities and infrastructure

recapitalization program, project engineering and design,

various locations, \$3,719,000.

SEC. 3102. DEFENSE ENVIRONMENTAL MANAGEMENT.

\(a\) Authorization of Appropriations.\--Funds are hereby authorized

to be appropriated to the Department of Energy for fiscal year 2004 for

environmental management activities in carrying out programs necessary

for national security in the amount of \$6,819,314,000, to be allocated

as follows:

\(1\) For defense site acceleration completion,

\$5,824,135,000.

\(2\) For defense environmental services, \$995,179,000.

\(b\) Authorization of New Plant Projects.\--From funds referred to in

subsection (a) that are available for carrying out plant projects, the

Secretary of Energy may carry out, for defense site acceleration

completion, the following new plant projects:

Project 04-D-408, glass waste storage building #2, Savannah

River Site, Aiken, South Carolina, \$20,259,000.

Project 04-D-414, project engineering and design, various

locations, \$23,500,000.

Project 04-D-423, 3013 container surveillance capability in

235-F, Savannah River Site, Aiken, South Carolina, \$1,134,000.

SEC. 3103. OTHER DEFENSE ACTIVITIES.

Funds are hereby authorized to be appropriated to the Department of

Energy for fiscal year 2004 for other defense activities in carrying

out programs necessary for national security in the amount of

\$497,331,000.

SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL.

Funds are hereby authorized to be appropriated to the Department of

Energy for fiscal year 2004 for defense nuclear waste disposal for

payment to the Nuclear Waste Fund established in section 302(c) of the

Nuclear Waste Policy Act of 1982 (42 U.S.C. 10222(c)) in the amount of

\$430,000,000.

SEC. 3105. ENERGY SUPPLY.

Funds are hereby authorized to be appropriated to the Department of

Energy for fiscal year 2004 for energy supply activities in carrying

out programs necessary for national security in the amount of

\$110,473,000.

Subtitle B\--Program Authorizations, Restrictions, and Limitations

SEC. 3111. MODIFICATION OF PROHIBITION RELATING TO LOW-YIELD NUCLEAR

WEAPONS.

Section 3136 of the National Defense Authorization Act for Fiscal

Year 1994 (42 U.S.C. 2121 note) is amended\--

\(1\) in the section heading, by striking \`\`research and

development\'\' and inserting \`\`development and production\'\';

\(2\) in subsection (a), by striking \`\`conduct research and

development which could lead to the production by the United

States of\'\' and insert \`\`develop or produce\'\';

\(3\) in subsection (b)\--

\(A\) by striking \`\`conduct, or provide for the

conduct of, research and development which could lead

to the production by the United States of\'\' and insert

\`\`develop, produce, or provide for the development or

production of,\'\'; and

\(B\) by striking \`\`the date of the enactment of this

Act,\'\' and inserting \`\`November 30, 1993,\'\';

\(4\) in subsection (c)\--

\(A\) by striking \`\`Research and\'\' in the subsection

heading;

\(B\) by striking \`\`research and\'\' in the matter

preceding paragraph (1); and

\(C\) by inserting \`\`, including assessment of low-

yield nuclear weapons development by other nations that

may pose a national security risk to the United

States\'\' before the period at the end of paragraph (3);

\(5\) by redesignating subsection (d) as subsection (e); and

\(6\) by inserting after subsection (c) the following new

subsection (d):

\`\`(d) Effect on Studies and Design Work.\--Nothing in this section

shall prohibit the Secretary of Energy from conducting, or providing

for the conduct of, concept definition studies, feasibility studies, or

detailed engineering design work.\'\'.

SEC. 3112. TERMINATION OF REQUIREMENT FOR ANNUAL UPDATES OF LONG-TERM

PLAN FOR NUCLEAR WEAPONS STOCKPILE LIFE EXTENSION

PROGRAM.

Section 3133 of the National Defense Authorization Act for Fiscal

Year 2000 (42 U.S.C. 2121 note) is amended by adding at the end the

following new subsection:

\`\`(g) Termination of Annual Updates.\--Effective December 31, 2004,

the requirements of subsections (c), (d), (e), and (f) shall

terminate.\'\'.

SEC. 3113. EXTENSION TO ALL DOE FACILITIES OF AUTHORITY TO PROHIBIT

DISSEMINATION OF CERTAIN UNCLASSIFIED INFORMATION.

Subsection a. of section 148 of the Atomic Energy Act of 1954 (42

U.S.C. 2168) is amended in paragraph (1)\--

\(1\) in the matter preceding subparagraph (A), by striking

\`\`, with respect to atomic energy defense programs,\'\';

\(2\) in subparagraph (A), by striking \`\`production

facilities or utilization facilities\'\' and inserting

\`\`production facilities, utilization facilities, nuclear waste

storage facilities, or uranium enrichment facilities, or any

other facilities at which activities relating to nuclear

weapons or nuclear materials are carried out, that are under

the control or jurisdiction of the Secretary of Energy\'\'; and

\(3\) in subparagraph (B), by striking \`\`production or

utilization facilities\'\' and inserting \`\`such facilities\'\'.

SEC. 3114. DEPARTMENT OF ENERGY PROJECT REVIEW GROUPS NOT SUBJECT TO

FEDERAL ADVISORY COMMITTEE ACT BY REASON OF INCLUSION OF

EMPLOYEES OF DEPARTMENT OF ENERGY MANAGEMENT AND

OPERATING CONTRACTORS.

An officer or employee of a management and operating contractor of

the Department of Energy, when serving as a member of a group reviewing

or advising on matters related to any one or more management and

operating contracts of the Department, shall be treated as an officer

or employee of the Department for purposes of determining whether the

group is an advisory committee within the meaning of section 3 of the

Federal Advisory Committee Act (5 U.S.C. App.).

SEC. 3115. AVAILABILITY OF FUNDS.

Section 3628 of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003 (Public Law 107-314; 116 Stat. 2760; 42 U.S.C.

7386h) is amended to read as follows:

\`\`SEC. 3628. AVAILABILITY OF FUNDS.

\`\`(a) In General.\--Except as provided in subsection (b), amounts

appropriated pursuant to a DOE national security authorization for a

fiscal year\--

\`\`(1) shall remain available to be expended only in that

fiscal year and the two succeeding fiscal years, in the case of

amounts for the National Nuclear Security Administration; and

\`\`(2) may, when so specified in an appropriations Act,

remain available until expended, in all other cases.

\`\`(b) Program Direction.\--Amounts appropriated pursuant to a DOE

national security authorization for a fiscal year for program direction

shall remain available to be obligated only until the end of that

fiscal year.\'\'.

SEC. 3116. LIMITATION ON OBLIGATION OF FUNDS FOR NUCLEAR TEST READINESS

PROGRAM.

Not more than 40 percent of the funds made available to the

Secretary of Energy for fiscal year 2004 for the Nuclear Test Readiness

program of the Department of Energy may be obligated until\--

\(1\) the Secretary of Energy submits to the Committees on

Armed Services of the Senate and the House of Representatives

the report required by section 3142(c) of the Bob Stump

National Defense Authorization Act for Fiscal Year 2003 (Public

Law 107-314; 116 Stat. 2733), relating to plans for achieving

enhanced readiness postures for resumption by the United States

of underground nuclear weapons tests; and

\(2\) a period of 30 days has passed after the date on which

such report is received by those committees.

SEC. 3117. REQUIREMENT FOR ON-SITE MANAGERS.

\(a\) On-Site Manager Requirement.\--Before obligating any defense

nuclear nonproliferation funds for a project described in subsection

(b), the Secretary of Energy shall appoint a United States Federal

Government employee as an on-site manager.

\(b\) Projects Covered.\--Subsection (a) applies to a project\--

\(1\) to be located in a state of the former Soviet Union;

\(2\) which involves dismantlement, destruction, or storage

facilities, or construction of a facility; and

\(3\) with respect to which the total contribution by the

Department of Energy is expected to exceed \$25,000,000.

\(c\) Duties of On-Site Manager.\--The on-site manager appointed under

subsection (a) shall\--

\(1\) develop, in cooperation with representatives from

governments of countries participating in the project, a list

of those steps or activities critical to achieving the

project\'s disarmament or nonproliferation goals;

\(2\) establish a schedule for completing those steps or

activities;

\(3\) meet with all participants to seek assurances that

those steps or activities are being completed on schedule; and

\(4\) suspend United States participation in a project when a

non-United States participant fails to complete a scheduled

step or activity on time, unless directed by the Secretary of

Energy to resume United States participation.

\(d\) Steps or Activities.\--Steps or activities referred to in

subsection (c)(1) are those activities that, if not completed, will

prevent a project from achieving its disarmament or nonproliferation

goals, including, at a minimum, the following:

\(1\) Identification and acquisition of permits (as defined

in subsection (f)).

\(2\) Verification that the items, substances, or

capabilities to be dismantled, secured, or otherwise modified

are available for dismantlement, securing, or modification.

\(3\) Timely provision of financial, personnel, management,

transportation, and other resources.

\(e\) Notification to Congress.\--In any case in which the Secretary

of Energy directs an on-site manager to resume United States

participation in a project under subsection (c)(4), the Secretary shall

concurrently notify Congress of such direction.

\(f\) Permit Defined.\--In this section, the term \`\`permit\'\' means
any

local or national permit for development, general construction,

environmental, land use, or other purposes that is required in the

state of the former Soviet Union in which the project is being or is

proposed to be carried out.

\(g\) Effective Date.\--This section shall take effect six months

after the date of the enactment of this Act.

Subtitle C\--Consolidation of National Security Provisions

SEC. 3121. TRANSFER AND CONSOLIDATION OF RECURRING AND GENERAL

PROVISIONS ON DEPARTMENT OF ENERGY NATIONAL SECURITY

PROGRAMS.

\(a\) Purpose.\--

\(1\) In general.\--The purpose of this section is to assemble

together, without substantive amendment but with technical and

conforming amendments of a non-substantive nature, recurring

and general provisions of law on Department of Energy national

security programs that remain in force in order to consolidate

and organize such provisions of law into a single Act intended

to comprise general provisions of law on such programs.

\(2\) Construction of transfers.\--The transfer of a provision

of law by this section shall not be construed as amending,

altering, or otherwise modifying the substantive effect of such

provision.

\(3\) 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 after the other provisions of

this Act.

\(4\) Treatment of satisfied requirements.\--Any requirement

in a provision of law transferred under this section (including

a requirement that an amendment to law be executed) that has

been fully satisfied in accordance with the terms of such

provision of law as of the date of transfer under this section

shall be treated as so fully satisfied, and shall not be

treated as being revived solely by reason of transfer under

this section.

\(5\) Classification.\--The provisions of the Atomic Energy

Defense Act, as amended by this section, shall be classified to

the United States Code as a new chapter of title 50, United

States Code.

\(b\) Division Heading.\--The Bob Stump National Defense Authorization

Act for Fiscal Year 2003 (Public Law 107-314) is amended by adding at

the end the following new division heading:

\`\`DIVISION D\--ATOMIC ENERGY DEFENSE PROVISIONS\'\'.

\(c\) Short Title; Definition.\--

\(1\) Short title.\--Section 3601 of the Atomic Energy Defense

Act (title XXXVI of Public Law 107-314; 116 Stat. 2756) is\--

\(A\) transferred to the end of the Bob Stump

National Defense Authorization Act for Fiscal Year

2003;

\(B\) redesignated as section 4001;

\(C\) inserted after the heading for division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as added by subsection (b); and

\(D\) amended by striking \`\`title\'\' and inserting

\`\`division\'\'.

\(2\) Definition.\--Division D of the Bob Stump National

Defense Authorization Act for Fiscal Year 2003, as amended by

this section, is further amended by adding at the end the

following new section:

\`\`SEC. 4002. DEFINITION.

\`\`In this division, 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.\'\'.

\(d\) Organizational Matters.\--

\(1\) Title heading.\--Division D of the Bob Stump National

Defense Authorization Act for Fiscal Year 2003, as amended by

this section, is further amended by adding at the end the

following:

\`\`TITLE XLI\--ORGANIZATIONAL MATTERS\'\'.

\(2\) Naval nuclear propulsion program.\--Section 1634 of the

Department of Defense Authorization Act, 1985 (Public Law 98-

525; 98 Stat. 2649) is\--

\(A\) transferred to title XLI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) inserted after the title heading for such

title, as so added; and

\(C\) amended\--

\(i\) by striking the section heading and

inserting the following new section heading:

\`\`SEC. 4101. NAVAL NUCLEAR PROPULSION PROGRAM.\'\';

and

\(ii\) by striking \`\`Sec. 1634.\'\'.

\(3\) Management structure for facilities and laboratories.\--

Section 3140 of the National Defense Authorization Act for

Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2833) is\--

\(A\) transferred to title XLI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4102;

\(C\) inserted after section 4101, as added by

paragraph (2); and

\(D\) amended in subsection (d)(2), by striking \`\`120

days after the date of the enactment of this Act,\'\' and

inserting \`\`January 21, 1997,\'\'.

\(4\) Restriction on licensing requirements for certain

activities and facilities.\--Section 210 of the Department of

Energy National Security and Military Applications of Nuclear

Energy Authorization Act of 1981 (Public Law 96-540; 94 Stat.

3202\) is\--

\(A\) transferred to title XLI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4102, as added by

paragraph (3); and

\(C\) amended\--

\(i\) by striking the section heading and

inserting the following new section heading:

\`\`SEC. 4103. RESTRICTION ON LICENSING REQUIREMENT FOR CERTAIN DEFENSE

ACTIVITIES AND FACILITIES.\'\';

\(ii\) by striking \`\`Sec. 210.\'\'; and

\(iii\) by striking \`\`this or any other Act\'\'

and inserting \`\`the Department of Energy

National Security and Military Applications of

Nuclear Energy Authorization Act of 1981

(Public Law 96-540) or any other Act\'\'.

\(e\) Nuclear Weapons Stockpile Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLII\--NUCLEAR WEAPONS STOCKPILE MATTERS

\`\`Subtitle A\--Stockpile Stewardship and Weapons Production\'\'.

\(2\) Stockpile stewardship program.\--Section 3138 of the

National Defense Authorization Act for Fiscal Year 1994 (Public

Law 103-160; 107 Stat. 1946), as amended by section 3152(e) of

the National Defense Authorization Act for Fiscal Year 1998

(Public Law 105-85; 111 Stat. 2042), is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4201; and

\(C\) inserted after the heading for subtitle A of

such title, as so added.

\(3\) Stockpile stewardship criteria.\--Section 3158 of the

Strom Thurmond National Defense Authorization Act for Fiscal

Year 1999 (Public Law 105-261; 112 Stat. 2257), as amended,

is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4202; and

\(C\) inserted after section 4201, as added by

paragraph (2).

\(4\) Plan for stewardship, management, and certification of

warheads in stockpile.\--Section 3151 of the National Defense

Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111

Stat. 2041) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4203; and

\(C\) inserted after section 4202, as added by

paragraph (3).

\(5\) Stockpile life extension program.\--Section 3133 of the

National Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 926), as amended by section 3112, is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4204;

\(C\) inserted after section 4203, as added by

paragraph (4); and

\(D\) amended in subsection (c)(1) by striking \`\`the

date of the enactment of this Act\'\' and inserting

\`\`October 5, 1999\'\'.

\(6\) Annual assessments and reports on condition of

stockpile.\--Section 3141 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116

Stat. 2730) is\--

\(A\) transferred to title XLII of division D of such

Act, as amended by this subsection;

\(B\) redesignated as section 4205;

\(C\) inserted after section 4204, as added by

paragraph (5); and

\(D\) amended in subsection (d)(3)(B) by striking

\`\`section 3137 of the National Defense Authorization

Act for Fiscal Year 1996 (42 U.S.C. 2121 note)\'\' and

inserting \`\`section 4212\'\'.

\(7\) Form of certain certifications regarding stockpile.\--

Section 3194 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by

Public Law 106-398; 114 Stat. 1654A-481) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4206; and

\(C\) inserted after section 4205, as added by

paragraph (6).

\(8\) Nuclear test ban readiness program.\--Section 1436 of

the National Defense Authorization Act, Fiscal Year 1989

(Public Law 100-456; 102 Stat. 2075) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4207;

\(C\) inserted after section 4206, as added by

paragraph (7); and

\(D\) amended in the section heading by adding a

period at the end.

\(9\) Study on nuclear test readiness postures.\--Section 3152

of the National Defense Authorization Act for Fiscal Year 1996

(Public Law 104-106; 110 Stat. 623), as amended by section 3192

of the Floyd D. Spence National Defense Authorization Act for

Fiscal Year 2001 (as enacted into law by Public Law 106-398;

114 Stat. 1654A-480), is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4208; and

\(C\) inserted after section 4207, as added by

paragraph (8).

\(10\) Requirements for requests for new or modified nuclear

weapons.\--Section 3143 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116

Stat. 2733) is\--

\(A\) transferred to title XLII of division D of such

Act, as amended by this subsection;

\(B\) redesignated as section 4209; and

\(C\) inserted after section 4208, as added by

paragraph (9).

\(11\) Limitation on underground nuclear weapons tests.\--

Subsection (f) of section 507 of the Energy and Water

Development Appropriations Act, 1993 (Public Law 102-337; 106

Stat. 1345) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4209, as added by

paragraph (10); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4210. LIMITATION ON UNDERGROUND NUCLEAR WEAPONS TESTS.\'\';

and

\(ii\) by striking \`\`(f)\'\'.

\(12\) Testing of nuclear weapons.\--Section 3137 of the

National Defense Authorization Act for Fiscal Year 1994 (Public

Law 103-160; 107 Stat. 1946) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4211;

\(C\) inserted after section 4210, as added by

paragraph (11); and

\(D\) amended\--

\(i\) in subsection (a), by inserting \`\`of

the National Defense Authorization Act for

Fiscal Year 1994 (Public Law 103-160)\'\' after

\`\`section 3101(a)(2)\'\'; and

\(ii\) in subsection (b), by striking \`\`this

Act\'\' and inserting \`\`the National Defense

Authorization Act for Fiscal Year 1994\'\'.

\(13\) Manufacturing infrastructure for stockpile.\--Section

3137 of the National Defense Authorization Act for Fiscal Year

1996 (Public Law 104-106; 110 Stat. 620), as amended by section

3132 of the National Defense Authorization Act for Fiscal Year

1997 (Public Law 104-201; 110 Stat. 2829), is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4212;

\(C\) inserted after section 4211, as added by

paragraph (12); and

\(D\) amended in subsection (d) by inserting \`\`of the

National Defense Authorization Act for Fiscal Year 1996

(Public Law 104-106)\'\' after \`\`section 3101(b)\'\'.

\(14\) Reports on critical difficulties at laboratories and

plants.\--Section 3159 of the National Defense Authorization Act

for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2842), as

amended by section 1305 of the National Defense Authorization

Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1954)

and section 3163 of the National Defense Authorization Act for

Fiscal Year 2000 (Public Law 106-65; 113 Stat. 944), is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4213; and

\(C\) inserted after section 4212, as added by

paragraph (13).

\(15\) Subtitle heading on tritium.\--Title XLII of division D

of the Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection, is further amended by

adding at the end the following new subtitle heading:

\`\`Subtitle B\--Tritium\'\'.

\(16\) Tritium production program.\--Section 3133 of the

National Defense Authorization Act for Fiscal Year 1996 (Public

Law 104-106; 110 Stat. 618) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4231;

\(C\) inserted after the heading for subtitle B of

such title XLII, as added by paragraph (15); and

\(D\) amended\--

\(i\) by striking \`\`the date of the enactment

of this Act\'\' each place it appears and

inserting \`\`February 10, 1996\'\'; and

\(ii\) in subsection (b), by inserting \`\`of

the National Defense Authorization Act for

Fiscal Year 1996 (Public Law 104-106)\'\' after

\`\`section 3101\'\'.

\(17\) Tritium recycling.\--Section 3136 of the National

Defense Authorization Act for Fiscal Year 1996 (Public Law 104-

106; 110 Stat. 620) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4232; and

\(C\) inserted after section 4231, as added by

paragraph (16).

\(18\) Tritium Production.\--Subsections (c) and (d) of

section 3133 of the National Defense Authorization Act for

Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2830) are\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4232, as added by

paragraph (17); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4233. TRITIUM PRODUCTION.\'\';

\(ii\) by redesignating such subsections as

subsections (a) and (b), respectively; and

\(iii\) in subsection (a), as so

redesignated, by inserting \`\`of Energy\'\' after

\`\`The Secretary\'\'.

\(19\) Modernization and consolidation of tritium recycling

facilities.\--Section 3134 of the National Defense Authorization

Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2830)

is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4234;

\(C\) inserted after section 4233, as added by

paragraph (18); and

\(D\) amended in subsection (b) by inserting \`\`of the

National Defense Authorization Act for Fiscal Year 1997

(Public Law 104-201)\'\' after \`\`section 3101\'\'.

\(20\) Procedures for meeting tritium production

requirements.\--Section 3134 of the National Defense

Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113

Stat. 927) is\--

\(A\) transferred to title XLII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4235; and

\(C\) inserted after section 4234, as added by

paragraph (19).

\(f\) Proliferation Matters.\--

\(1\) Title heading.\--Division D of the Bob Stump National

Defense Authorization Act for Fiscal Year 2003, as amended by

this section, is further amended by adding at the end the

following new title heading:

\`\`TITLE XLIII\--PROLIFERATION MATTERS\'\'.

\(2\) International cooperative stockpile stewardship.\--

Section 3133 of the National Defense Authorization Act for

Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2036), as

amended by sections 1069 and 3131 of the Strom Thurmond

National Defense Authorization Act for Fiscal Year 1999 (Public

Law 105-261; 112 Stat. 2136, 2246), is\--

\(A\) transferred to title XLIII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4301;

\(C\) inserted after the heading for such title, as

so added; and

\(D\) amended in subsection (b)(3) by striking \`\`of

this Act\'\' and inserting \`\`of the National Defense

Authorization Act for Fiscal Year 1998 (Public Law 105-

85)\'\'.

\(3\) Nonproliferation initiatives and activities.\--Section

3136 of the National Defense Authorization Act for Fiscal Year

2000 (Public Law 106-65; 113 Stat. 927) is\--

\(A\) transferred to title XLIII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4302;

\(C\) inserted after section 4301, as added by

paragraph (2); and

\(D\) amended in subsection (b)(1) by striking \`\`this

title\'\' and inserting \`\`title XXXI of the National

Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65)\'\'.

\(4\) Annual report on materials protection, control, and

accounting program.\--Section 3171 of the Floyd D. Spence

National Defense Authorization Act for Fiscal Year 2001 (as

enacted into law by Public Law 106-398; 114 Stat. 1645A-475)

is\--

\(A\) transferred to title XLIII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4303;

\(C\) inserted after section 4302, as added by

paragraph (3); and

\(D\) amended in subsection (c)(1) by striking \`\`this

Act\'\' and inserting \`\`the Floyd D. Spence National

Defense Authorization Act for Fiscal Year 2001 (as

enacted into law by Public Law 106-398)\'\'.

\(5\) Nuclear cities initiative.\--Section 3172 of the Floyd

D. Spence National Defense Authorization Act for Fiscal Year

2001 (as enacted into law by Public Law 106-398; 114 Stat.

1645A-476) is\--

\(A\) transferred to title XLIII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4304; and

\(C\) inserted after section 4303, as added by

paragraph (4).

\(6\) Programs on fissile materials.\--Section 3131 of the

National Defense Authorization Act for Fiscal Year 1996 (Public

Law 104-106; 110 Stat. 617), as amended by section 3152 of the

Bob Stump National Defense Authorization Act for Fiscal Year

2003 (Public Law 107-314; 116 Stat. 2738), is\--

\(A\) transferred to title XLIII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4305; and

\(C\) inserted after section 4304, as added by

paragraph (5).

\(g\) Environmental Restoration and Waste Management Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLIV\--ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT MATTERS

\`\`Subtitle A\--Environmental Restoration and Waste Management\'\'.

\(2\) Defense environmental restoration and waste management

account.\--Section 3134 of the National Defense Authorization

Act for Fiscal Years 1992 and 1993 (Public Law 102-190; 105

Stat. 1575) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4401; and

\(C\) inserted after the heading for subtitle A of

such title, as so added.

\(3\) Future use plans for environmental management

program.\--Section 3153 of the National Defense Authorization

Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2839)

is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4402;

\(C\) inserted after section 4401, as added by

paragraph (2); and

\(D\) amended\--

\(i\) in subsection (d), by striking \`\`the

date of the enactment of this Act\'\' and

inserting \`\`September 23, 1996,\'\'; and

\(ii\) in subsection (h)(1), by striking

\`\`the date of the enactment of this Act\'\' and

inserting \`\`September 23, 1996\'\'.

\(4\) Integrated fissile materials management plan.\--Section

3172 of the National Defense Authorization Act for Fiscal Year

2000 (Public Law 106-65; 113 Stat. 948) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4403; and

\(C\) inserted after section 4402, as added by

paragraph (3).

\(5\) Baseline environmental management reports.\--Section

3153 of the National Defense Authorization Act for Fiscal Year

1994 (Public Law 103-160; 107 Stat. 1950), as amended by

section 3160 of the National Defense Authorization Act for

Fiscal Year 1995 (Public Law 103-337; 108 Stat. 3094), section

3152 of the National Defense Authorization Act for Fiscal Year

1997 (Public Law 104-201; 110 Stat. 2839), and section 3160 of

the National Defense Authorization Act for Fiscal Year 1998

(Public Law 105-85; 111 Stat. 2048), is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4404; and

\(C\) inserted after section 4403, as added by

paragraph (4).

\(6\) Accelerated schedule of environmental restoration and

waste management.\--Section 3156 of the National Defense

Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110

Stat. 625) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4405;

\(C\) inserted after section 4404, as added by

paragraph (5); and

\(D\) amended in subsection (b)(2) by inserting

before the period the following: \`\`, the predecessor

provision to section 4404 of this Act\'\'.

\(7\) Defense waste cleanup technology program.\--Section 3141

of the National Defense Authorization Act for Fiscal Years 1990

and 1991 (Public Law 101-189; 103 Stat. 1679) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4406;

\(C\) inserted after section 4405, as added by

paragraph (6); and

\(D\) amended in the section heading by adding a

period at the end.

\(8\) Report on environmental restoration expenditures.\--

Section 3134 of the National Defense Authorization Act for

Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1833) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4407;

\(C\) inserted after section 4406, as added by

paragraph (7); and

\(D\) amended in the section heading by adding a

period at the end.

\(9\) Public participation in planning for environmental

restoration and waste management.\--Subsection (e) of section

3160 of the National Defense Authorization Act for Fiscal Year

1995 (Public Law 103-337; 108 Stat. 3095) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4407, as added by

paragraph (8); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4408. PUBLIC PARTICIPATION IN PLANNING FOR ENVIRONMENTAL

RESTORATION AND WASTE MANAGEMENT AT DEFENSE NUCLEAR

FACILITIES.\'\';

and

\(ii\) by striking \`\`(e) Public Participation

in Planning.\--\'\'.

\(10\) Subtitle heading on closure of facilities.\--Title XLIV

of division D of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this subsection, is

further amended by adding at the end the following new subtitle

heading:

\`\`Subtitle B\--Closure of Facilities\'\'.

\(11\) Projects to accelerate closure activities at defense

nuclear facilities.\--Section 3143 of the National Defense

Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110

Stat. 2836) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4421;

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (10); and

\(D\) amended in subsection (i), by striking \`\`the

expiration of the 15-year period beginning on the date

of the enactment of this Act\'\' and inserting

\`\`September 23, 2011\'\'.

\(12\) Reports in connection with permanent closure of

defense nuclear facilities.\--Section 3156 of the National

Defense Authorization Act for Fiscal Years 1990 and 1991

(Public Law 101-189; 103 Stat. 1683) is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4422;

\(C\) inserted after section 4421, as added by

paragraph (11); and

\(D\) amended in the section heading by adding a

period at the end.

\(13\) Subtitle heading on Privatization.\--Title XLIV of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle C\--Privatization\'\'.

\(14\) Defense environmental management privatization

projects.\--Section 3132 of the National Defense Authorization

Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2034)

is\--

\(A\) transferred to title XLIV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4431;

\(C\) inserted after the heading for subtitle C of

such title, as added by paragraph (13); and

\(D\) amended\--

\(i\) in subsections (a), (c)(1)(B)(i), and

(d), by inserting \`\`of the National Defense

Authorization Act for Fiscal Year 1998 (Public

Law 105-85)\'\' after \`\`section 3102(i)\'\'; and

\(ii\) in subsections (c)(1)(B)(ii) and (f),

by striking \`\`the date of enactment of this

Act\'\' and inserting \`\`November 18, 1997\'\'.

\(h\) Safeguards and Security Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLV\--SAFEGUARDS AND SECURITY MATTERS

\`\`Subtitle A\--Safeguards and Security\'\'.

\(2\) Prohibition on international inspections of facilities

without protection of restricted data.\--Section 3154 of the

National Defense Authorization Act for Fiscal Year 1996 (Public

Law 104-106; 110 Stat. 624) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4501;

\(C\) inserted after the heading for subtitle A of

such title, as so added; and

\(D\) amended\--

\(i\) by striking \`\`(1) The\'\' and inserting

\`\`The\'\'; and

\(ii\) by striking \`\`(2) For purposes of

paragraph (1),\'\' and inserting \`\`(c) Restricted

Data Defined.\--In this section,\'\'.

\(3\) Restrictions on access to laboratories by foreign

visitors from sensitive countries.\--Section 3146 of the

National Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 935) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4502;

\(C\) inserted after section 4501, as added by

paragraph (2); and

\(D\) amended\--

\(i\) in subsection (b)(2)\--

\(I\) in the matter preceding

subparagraph (A), by striking \`\`30 days

after the date of the enactment of this

Act\'\' and inserting \`\`on November 4,

1999,\'\'; and

\(II\) in subparagraph (A), by

striking \`\`The date that is 90 days

after the date of the enactment of this

Act\'\' and inserting \`\`January 3,

2000\'\';

\(ii\) in subsection (d)(1), by striking

\`\`the date of the enactment of this Act,\'\' and

inserting \`\`October 5, 1999,\'\'; and

\(iii\) in subsection (g), by adding at the

end the following new paragraphs:

\`\`(3) The term \`national laboratory\' means any of the

following:

\`\`(A) Lawrence Livermore National Laboratory,

Livermore, California.

\`\`(B) Los Alamos National Laboratory, Los Alamos,

New Mexico.

\`\`(C) Sandia National Laboratories, Albuquerque,

New Mexico and Livermore, California.

\`\`(4) The term \`Restricted Data\' has the meaning given that

term in section 11 y. of the Atomic Energy Act of 1954 (42

U.S.C. 2014(y)).\'\'.

\(4\) Background investigations on certain personnel.\--

Section 3143 of the National Defense Authorization Act for

Fiscal Year 2000 (Public Law 106-65; 113 Stat. 934) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4503;

\(C\) inserted after section 4502, as added by

paragraph (3); and

\(D\) amended\--

\(i\) in subsection (b), by striking \`\`the

date of the enactment of this Act\'\' and

inserting \`\`October 5, 1999,\'\'; and

\(ii\) by adding at the end the following new

subsection:

\`\`(c) Definitions.\--In this section, the terms \`national

laboratory\' and \`Restricted Data\' have the meanings given such terms
in

section 4502(g).\'\'.

\(5\) Counterintelligence polygraph program.\--

\(A\) Department of energy counterintelligence

polygraph program.\--Section 3152 of the National

Defense Authorization Act for Fiscal Year 2002 (Public

Law 107-107; 115 Stat. 1376) is\--

\(i\) transferred to title XLV of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) redesignated as section 4504;

\(iii\) inserted after section 4503, as added

by paragraph (4); and

\(iv\) amended in subsection (c) by striking

\`\`section 3154 of the Department of Energy

Facilities Safeguards, Security, and

Counterintelligence Enhancement Act of 1999

(subtitle D of title XXXI of Public Law 106-65;

42 U.S.C. 7383h)\'\' and inserting \`\`section

4504A\'\'.

\(B\) Counterintelligence polygraph program.\--Section

3154 of the National Defense Authorization Act for

Fiscal Year 2000 (Public Law 106-65; 113 Stat. 941), as

amended by section 3135 of the Floyd D. Spence National

Defense Authorization Act for Fiscal Year 2001 (as

enacted into law by Public Law 106-398; 114 Stat.

1654A-456), is\--

\(i\) transferred to title XLV of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) redesignated as section 4504A;

\(iii\) inserted after section 4504, as added

by subparagraph (A); and

\(iv\) amended in subsection (h) by striking

\`\`180 days after the date of the enactment of

this Act,\'\' and inserting \`\`April 5, 2000,\'\'.

\(6\) Notice of security and counterintelligence failures.\--

Section 3150 of the National Defense Authorization Act for

Fiscal Year 2000 (Public Law 106-65; 113 Stat. 939) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4505; and

\(C\) inserted after section 4504A, as added by

paragraph (5)(B).

\(7\) Annual report on security functions at nuclear weapons

facilities.\--Section 3162 of the National Defense Authorization

Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2049)

is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4506;

\(C\) inserted after section 4505, as added by

paragraph (6); and

\(D\) amended in subsection (b) by inserting \`\`of the

National Defense Authorization Act for Fiscal Year 1998

(Public Law 105-85; 111 Stat. 2048; 42 U.S.C. 7251

note)\'\' after \`\`section 3161\'\'.

\(8\) Report on counterintelligence and security practices at

laboratories.\--Section 3152 of the National Defense

Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113

Stat. 940) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4507;

\(C\) inserted after section 4506, as added by

paragraph (7); and

\(D\) amended by adding at the end the following new

subsection:

\`\`(c) National Laboratory Defined.\--In this section, the term

\`national laboratory\' has the meaning given that term in section

4502(g)(3).\'\'.

\(9\) Report on security vulnerabilities of national

laboratory computers.\--Section 3153 of the National Defense

Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113

Stat. 940) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4508;

\(C\) inserted after section 4507, as added by

paragraph (8); and

\(D\) amended by adding at the end the following new

subsection:

\`\`(f) National Laboratory Defined.\--In this section, the term

\`national laboratory\' has the meaning given that term in section

4502(g)(3).\'\'.

\(10\) Subtitle heading on classified information.\--Title XLV

of division D of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this subsection, is

further amended by adding at the end the following new subtitle

heading:

\`\`Subtitle B\--Classified Information\'\'.

\(11\) Review of certain documents before declassification

and release.\--Section 3155 of the National Defense

Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110

Stat. 625) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4521; and

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (10).

\(12\) Protection against inadvertent release of restricted

data and formerly restricted data.\--Section 3161 of the Strom

Thurmond National Defense Authorization Act for Fiscal Year

1999 (Public Law 105-261; 112 Stat. 2259), as amended by

section 1067(3) of the National Defense Authorization Act for

Fiscal Year 2000 (Public Law 106-65; 113 Stat. 774) and section

3193 of the Floyd D. Spence National Defense Authorization Act

for Fiscal Year 2001 (as enacted into law by Public Law 106-

398; 114 Stat. 1654A-480), is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4522;

\(C\) inserted after section 4521, as added by

paragraph (11); and

\(D\) amended\--

\(i\) in subsection (c)(1), by striking \`\`the

date of the enactment of this Act\'\' and

inserting \`\`October 17, 1998,\'\';

\(ii\) in subsection (f)(1), by striking

\`\`the date of the enactment of this Act\'\' and

inserting \`\`October 17, 1998\'\'; and

\(iii\) in subsection (f)(2), by striking

\`\`The Secretary\'\' and inserting \`\`Commencing

with inadvertent releases discovered on or

after October 30, 2000, the Secretary\'\'.

\(13\) Supplement to plan for declassification of restricted

data and formerly restricted data.\--Section 3149 of the

National Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 938) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4523;

\(C\) inserted after section 4522, as added by

paragraph (12); and

\(D\) amended\--

\(i\) in subsection (a), by striking

\`\`subsection (a) of section 3161 of the Strom

Thurmond National Defense Authorization Act for

Fiscal Year 1999 (Public Law 105-261; 112 Stat.

2260; 50 U.S.C. 435 note)\'\' and inserting

\`\`subsection (a) of section 4522\'\';

\(ii\) in subsection (b)\--

\(I\) by striking \`\`section

3161(b)(1) of that Act\'\' and inserting

\`\`subsection (b)(1) of section 4522\'\';

and

\(II\) by striking \`\`the date of the

enactment of that Act\'\' and inserting

\`\`October 17, 1998,\'\';

\(iii\) in subsection (c)\--

\(I\) by striking \`\`section 3161(c)

of that Act\'\' and inserting

\`\`subsection (c) of section 4522\'\'; and

\(II\) by striking \`\`section 3161(a)

of that Act\'\' and inserting

\`\`subsection (a) of such section\'\'; and

\(iv\) in subsection (d), by striking

\`\`section 3161(d) of that Act\'\' and inserting

\`\`subsection (d) of section 4522\'\'.

\(14\) Protection of classified information during

laboratory-to-laboratory exchanges.\--Section 3145 of the

National Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 935) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4524; and

\(C\) inserted after section 4523, as added by

paragraph (13).

\(15\) Identification in budgets of amount for

declassification activities.\--Section 3173 of the National

Defense Authorization Act for Fiscal Year 2000 (Public Law 106-

65; 113 Stat. 949) is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4525;

\(C\) inserted after section 4524, as added by

paragraph (14); and

\(D\) amended in subsection (b) by striking \`\`the

date of the enactment of this Act\'\' and inserting

\`\`October 5, 1999,\'\'.

\(16\) Subtitle heading on emergency response.\--Title XLV of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle C\--Emergency Response\'\'.

\(17\) Responsibility for defense programs emergency response

program.\--Section 3158 of the National Defense Authorization

Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 626)

is\--

\(A\) transferred to title XLV of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4541; and

\(C\) inserted after the heading for subtitle C of

such title, as added by paragraph (16).

\(i\) Personnel Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLVI\--PERSONNEL MATTERS

\`\`Subtitle A\--Personnel Management\'\'.

\(2\) Authority for appointment of certain scientific,

engineering, and technical personnel.\--Section 3161 of the

National Defense Authorization Act for Fiscal Year 1995 (Public

Law 103-337; 108 Stat. 3095), as amended by section 3139 of the

National Defense Authorization Act for Fiscal Year 1998 (Public

Law 105-85; 111 Stat. 2040), sections 3152 and 3155 of the

Strom Thurmond National Defense Authorization Act for Fiscal

Year 1999 (Public Law 105-261; 112 Stat. 2253, 2257), and

section 3191 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by

Public Law 106-398; 114 Stat. 1654A-480), is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4601; and

\(C\) inserted after the heading for subtitle A of

such title, as so added.

\(3\) Whistleblower protection program.\--Section 3164 of the

National Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 946) is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4602;

\(C\) inserted after section 4601, as added by

paragraph (2); and

\(D\) amended in subsection (n) by striking \`\`60 days

after the date of the enactment of this Act,\'\' and

inserting \`\`December 5, 1999,\'\'.

\(4\) Employee incentives for workers at closure project

facilities.\--Section 3136 of the Floyd D. Spence National

Defense Authorization Act for Fiscal Year 2001 (as enacted into

law by Public Law 106-398; 114 Stat. 1654A-458) is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4603;

\(C\) inserted after section 4602, as added by

paragraph (3); and

\(D\) amended\--

\(i\) in subsections (c) and (i)(1)(A), by

striking \`\`section 3143 of the National Defense

Authorization Act for Fiscal Year 1997 (42

U.S.C. 7274n)\'\' and inserting \`\`section 4421\'\';

and

\(ii\) in subsection (g), by striking

\`\`section 3143(h) of the National Defense

Authorization Act for Fiscal Year 1997\'\' and

inserting \`\`section 4421(h)\'\'.

\(5\) Defense nuclear facility workforce restructuring

plan.\--Section 3161 of the National Defense Authorization Act

for Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2644), as

amended by section 1070(c)(2) of the National Defense

Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108

Stat. 2857), Public Law 105-277 (112 Stat. 2681-419, 2681-430),

and section 1048(h)(1) of the National Defense Authorization

Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat. 1229),

is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4604;

\(C\) inserted after section 4603, as added by

paragraph (4); and

\(D\) amended\--

\(i\) in subsection (a), by striking

\`\`(hereinafter in this subtitle referred to as

the \`Secretary\')\'\'; and

\(ii\) by adding at the end the following new

subsection:

\`\`(g) Department of Energy Defense Nuclear Facility Defined.\--In

this section, the term \`Department of Energy defense nuclear facility\'

means\--

\`\`(1) a production facility or utilization facility (as

those terms are defined in section 11 of the Atomic Energy Act

of 1954 (42 U.S.C. 2014)) that is under the control or

jurisdiction of the Secretary and that is operated for national

security purposes (including the tritium loading facility at

Savannah River, South Carolina, the 236 H facility at Savannah

River, South Carolina; and the Mound Laboratory, Ohio), but the

term does not include any facility that does not conduct atomic

energy defense activities and does not include any facility or

activity covered by Executive Order Number 12344, dated

February 1, 1982, pertaining to the naval nuclear propulsion

program;

\`\`(2) a nuclear waste storage or disposal facility that is

under the control or jurisdiction of the Secretary;

\`\`(3) a testing and assembly facility that is under the

control or jurisdiction of the Secretary and that is operated

for national security purposes (including the Nevada Test Site,

Nevada; the Pinnellas Plant, Florida; and the Pantex facility,

Texas);

\`\`(4) an atomic weapons research facility that is under the

control or jurisdiction of the Secretary (including Lawrence

Livermore, Los Alamos, and Sandia National Laboratories); or

\`\`(5) any facility described in paragraphs (1) through (4)

that\--

\`\`(A) is no longer in operation;

\`\`(B) was under the control or jurisdiction of the

Department of Defense, the Atomic Energy Commission, or

the Energy Research and Development Administration; and

\`\`(C) was operated for national security

purposes.\'\'.

\(6\) Authority to provide certificate of commendation to

employees.\--Section 3195 of the Floyd D. Spence National

Defense Authorization Act for Fiscal Year 2001 (as enacted into

law by Public Law 106-398; 114 Stat. 1654A-481) is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4605; and

\(C\) inserted after section 4604, as added by

paragraph (5).

\(7\) Subtitle heading on training and education.\--Title XLVI

of division D of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this subsection, is

further amended by adding at the end the following new subtitle

heading:

\`\`Subtitle B\--Education and Training\'\'.

\(8\) Executive management training.\--Section 3142 of the

National Defense Authorization Act for Fiscal Years 1990 and

1991 (Public Law 101-189; 103 Stat. 1680) is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4621;

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (7); and

\(D\) amended in the section heading by adding a

period at the end.

\(9\) Stockpile stewardship recruitment and training

program.\--Section 3131 of the National Defense Authorization

Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 3085)

is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4622;

\(C\) inserted after section 4621, as added by

paragraph (8); and

\(D\) amended\--

\(i\) in subsection (a)(1), by striking

\`\`section 3138 of the National Defense

Authorization Act for Fiscal Year 1994 (Public

Law 103-160; 107 Stat. 1946; 42 U.S.C. 2121

note)\'\' and inserting \`\`section 4201\'\'; and

\(ii\) in subsection (b)(2), by inserting

\`\`of the National Defense Authorization Act for

Fiscal Year 1995 (Public Law 103-337)\'\' after

\`\`section 3101(a)(1)\'\'.

\(10\) Fellowship program for development of skills critical

to nuclear weapons complex.\--Section 3140 of the National

Defense Authorization Act for Fiscal Year 1996 (Public Law 104-

106; 110 Stat 621), as amended by section 3162 of the National

Defense Authorization Act for Fiscal Year 2000 (Public Law 106-

65; 113 Stat. 943), is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4623; and

\(C\) inserted after section 4622, as added by

paragraph (9).

\(11\) Subtitle heading on worker safety.\--Title XLVI of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle C\--Worker Safety\'\'.

\(12\) Worker protection at nuclear weapons facilities.\--

Section 3131 of the National Defense Authorization Act for

Fiscal Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1571)

is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4641;

\(C\) inserted after the heading for subtitle C of

such title, as added by paragraph (11); and

\(D\) amended in subsection (e) by inserting \`\`of the

National Defense Authorization Act for Fiscal Years

1992 and 1993 (Public Law 102-190)\'\' after \`\`section

3101(9)(A)\'\'.

\(13\) Safety oversight and enforcement at defense nuclear

facilities.\--Section 3163 of the National Defense Authorization

Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 3097)

is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4642;

\(C\) inserted after section 4641, as added by

paragraph (12); and

\(D\) amended in subsection (b) by striking \`\`90 days

after the date of the enactment of this Act,\'\' and

inserting \`\`January 5, 1995,\'\'.

\(14\) Program to monitor workers at defense nuclear

facilities exposed to hazardous or radioactive substances.\--

Section 3162 of the National Defense Authorization Act for

Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2646) is\--

\(A\) transferred to title XLVI of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4643;

\(C\) inserted after section 4642, as added by

paragraph (13); and

\(D\) amended\--

\(i\) in subsection (b)(6), by striking \`\`1

year after the date of the enactment of this

Act\'\' and inserting \`\`October 23, 1993\'\';

\(ii\) in subsection (c), by striking \`\`180

days after the date of the enactment of this

Act,\'\' and inserting \`\`April 23, 1993,\'\'; and

\(iii\) by adding at the end the following

new subsection:

\`\`(d) Definitions.\--In this section:

\`\`(1) The term \`Department of Energy defense nuclear

facility\' has the meaning given that term in section 4604(g).

\`\`(2) The term \`Department of Energy employee\' means any

employee of the Department of Energy employed at a Department

of Energy defense nuclear facility, including any employee of a

contractor of subcontractor of the Department of Energy

employed at such a facility.\'\'.

\(j\) Budget and Financial Management Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLVII\--BUDGET AND FINANCIAL MANAGEMENT MATTERS

\`\`Subtitle A\--Recurring National Security Authorization
Provisions\'\'.

\(2\) Recurring national security authorization provisions.\--

Sections 3620 through 3631 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-314; 116

Stat. 2756) are\--

\(A\) transferred to title XLVII of division D of

such Act, as added by paragraph (1);

\(B\) redesignated as sections 4701 through 4712,

respectively;

\(C\) inserted after the heading for subtitle A of

such title, as so added; and

\(D\) amended\--

\(i\) in section 4702, as so redesignated, by

striking \`\`sections 3629 and 3630\'\' and

inserting \`\`sections 4710 and 4711\'\';

\(ii\) in section 4706(a)(3)(B), as so

redesignated, by striking \`\`section 3626\'\' and

inserting \`\`section 4707\'\';

\(iii\) in section 4707(c), as so

redesignated, by striking \`\`section

3625(b)(2)\'\' and inserting \`\`section

4706(b)(2)\'\';

\(iv\) in section 4710(c), as so

redesignated, by striking \`\`section 3621\'\' and

inserting \`\`section 4702\'\';

\(v\) in section 4711(c), as so redesignated,

by striking \`\`section 3621\'\' and inserting

\`\`section 4702\'\'; and

\(vi\) in section 4712, as so redesignated,

by striking \`\`section 3621\'\' and inserting

\`\`section 4702\'\'.

\(3\) Subtitle heading on penalties.\--Title XLVII of division

D of the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle B\--Penalties\'\'.

\(4\) Restriction on use of funds to pay penalties under

environmental laws.\--Section 3132 of the National Defense

Authorization Act for Fiscal Year 1987 (Public Law 99-661; 100

Stat. 4063) is\--

\(A\) transferred to title XLVII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4721;

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (3); and

\(D\) amended in the section heading by adding a

period at the end.

\(5\) Restriction on use of funds to pay penalties under

clean air act.\--Section 211 of the Department of Energy

National Security and Military Applications of Nuclear Energy

Authorization Act of 1981 (Public Law 96-540; 94 Stat. 3203)

is\--

\(A\) transferred to title XLVII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4721, as added by

paragraph (4); and

\(C\) amended\--

\(i\) by striking the section heading and

inserting the following new section heading:

\`\`SEC. 4722. RESTRICTION ON USE OF FUNDS TO PAY PENALTIES UNDER CLEAN

AIR ACT.\'\';

\(ii\) by striking \`\`Sec. 211.\'\'; and

\(iii\) by striking \`\`this or any other Act\'\'

and inserting \`\`the Department of Energy

National Security and Military Applications of

Nuclear Energy Authorization Act of 1981

(Public Law 96-540) or any other Act\'\'.

\(6\) Subtitle heading on other matters.\--Title XLVII of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle C\--Other Matters\'\'.

\(7\) Single request for authorization of appropriations for

common defense and security programs.\--Section 208 of the

Department of Energy National Security and Military

Applications of Nuclear Energy Authorization Act of 1979

(Public Law 95-509; 92 Stat. 1779) is\--

\(A\) transferred to title XLVII of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after the heading for subtitle C of

such title, as added by paragraph (6); and

\(C\) amended\--

\(i\) by striking the section heading and

inserting the following new section heading:

\`\`SEC. 4731. SINGLE REQUEST FOR AUTHORIZATION OF APPROPRIATIONS FOR

COMMON DEFENSE AND SECURITY PROGRAMS.\'\';

and

\(ii\) by striking \`\`Sec. 208.\'\'.

\(k\) Administrative Matters.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLVIII\--ADMINISTRATIVE MATTERS

\`\`Subtitle A\--Contracts\'\'.

\(2\) Costs not allowed under certain contracts.\--Section

1534 of the Department of Defense Authorization Act, 1986

(Public Law 99-145; 99 Stat. 774), as amended by section 3131

of the National Defense Authorization Act for Fiscal Years 1988

and 1989 (Public Law 100-180; 101 Stat. 1238), is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4801;

\(C\) inserted after the heading for subtitle A of

such title, as so added; and

\(D\) amended\--

\(i\) in the section heading, by adding a

period at the end; and

\(ii\) in subsection (b)(1), by striking

\`\`the date of the enactment of this Act,\'\' and

inserting \`\`November 8, 1985,\'\'.

\(3\) Prohibition on bonuses to contractors operating defense

nuclear facilities.\--Section 3151 of the National Defense

Authorization Act for Fiscal Years 1990 and 1991 (Public Law

101-189; 103 Stat. 1682) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4802;

\(C\) inserted after section 4801, as added by

paragraph (2); and

\(D\) amended\--

\(i\) in the section heading, by adding a

period at the end;

\(ii\) in subsection (a), by striking \`\`the

date of the enactment of this Act\'\' and

inserting \`\`November 29, 1989\'\';

\(iii\) in subsection (b), by striking \`\`6

months after the date of the enactment of this

Act,\'\' and inserting \`\`May 29, 1990,\'\'; and

\(iv\) in subsection (d), by striking \`\`90

days after the date of the enactment of this

Act\'\' and inserting \`\`March 1, 1990\'\'.

\(4\) Contractor liability for injury or loss of property

arising from atomic weapons testing programs.\--Section 3141 of

the National Defense Authorization Act for Fiscal Year 1991

(Public Law 101-510; 104 Stat. 1837) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4803;

\(C\) inserted after section 4802, as added by

paragraph (3); and

\(D\) amended\--

\(i\) in the section heading, by adding a

period at the end; and

\(ii\) in subsection (d), by striking \`\`the

date of the enactment of this Act\'\' each place

it appears and inserting \`\`November 5, 1990,\'\'.

\(5\) Subtitle heading on research and development.\--Title

XLVIII of division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

subsection, is further amended by adding at the end the

following new subtitle heading:

\`\`Subtitle B\--Research and Development\'\'.

\(6\) Laboratory-directed research and development.\--Section

3132 of the National Defense Authorization Act for Fiscal Year

1991 (Public Law 101-510; 104 Stat. 1832) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4811;

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (5); and

\(D\) amended in the section heading by adding a

period at the end.

\(7\) Limitations on use of funds for laboratory directed

research and development.\--

\(A\) Limitations on use of funds for laboratory

directed research and development.\--Section 3137 of the

National Defense Authorization Act for Fiscal Year 1998

(Public Law 105-85; 111 Stat. 2038) is\--

\(i\) transferred to title XLVIII of division

D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as

amended by this subsection;

\(ii\) redesignated as section 4812;

\(iii\) inserted after section 4811, as added

by paragraph (6); and

\(iv\) amended\--

\(I\) in subsection (b), by striking

\`\`section 3136(b) of the National

Defense Authorization Act for Fiscal

Year 1997 (Public Law 104-201; 110

Stat. 2831; 42 U.S.C. 7257b)\'\' and

inserting \`\`section 4812A(b)\'\';

\(II\) in subsection (d)\--

(aa) by striking \`\`section

3136(b)(1)\'\' and inserting

\`\`section 4812A(b)(1)\'\'; and

(bb) by striking \`\`section

3132(c) of the National Defense

Authorization Act for Fiscal

Year 1991 (42 U.S.C.

7257a(c))\'\' and inserting

\`\`section 4811(c)\'\'; and

\(III\) in subsection (e), by

striking \`\`section 3132(d) of the

National Defense Authorization Act for

Fiscal Year 1991 (42 U.S.C. 7257a(d))\'\'

and inserting \`\`section 4811(d)\'\'.

\(B\) Limitation on use of funds for certain research

and development purposes.\--Section 3136 of the National

Defense Authorization Act for Fiscal Year 1997 (Public

Law 104-201; 110 Stat. 2830), as amended by section

3137 of the National Defense Authorization Act for

Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2038),

is\--

\(i\) transferred to title XLVIII of division

D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as

amended by this subsection;

\(ii\) redesignated as section 4812A;

\(iii\) inserted after section 4812, as added

by paragraph (7); and

\(iv\) amended in subsection (a) by inserting

\`\`of the National Defense Authorization Act for

Fiscal Year 1997 (Public Law 104-201)\'\' after

\`\`section 3101\'\'.

\(8\) Critical technology partnerships.\--Section 3136 of the

National Defense Authorization Act for Fiscal Years 1992 and

1993 (Public Law 102-190; 105 Stat. 1577), as amended by

section 203(b)(3) of Public Law 103-35 (107 Stat. 102), is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4813; and

\(C\) inserted after section 4812A, as added by

paragraph (7)(B).

\(9\) University-based research collaboration program.\--

Section 3155 of the National Defense Authorization Act for

Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2044) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4814;

\(C\) inserted after section 4813, as added by

paragraph (8); and

\(D\) amended in subsection (c) by striking \`\`this

title\'\' and inserting \`\`title XXXI of the National

Defense Authorization Act for Fiscal Year 1998 (Public

Law 105-85)\'\'.

\(10\) Subtitle heading on facilities management.\--Title

XLVIII of division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

subsection, is further amended by adding at the end the

following new subtitle heading:

\`\`Subtitle C\--Facilities Management\'\'.

\(11\) Transfers of real property at certain facilities.\--

Section 3158 of the National Defense Authorization Act for

Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2046) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4831; and

\(C\) inserted after the heading for subtitle C of

such title, as added by paragraph (10).

\(12\) Engineering and manufacturing research, development,

and demonstration at certain nuclear weapons production

plants.\--Section 3156 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by

Public Law 106-398; 114 Stat. 1654A-467) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4832; and

\(C\) inserted after section 4831, as added by

paragraph (11).

\(13\) Pilot program on use of proceeds of disposal or

utilization of certain assets.\--Section 3138 of the National

Defense Authorization Act for Fiscal Year 1998 (Public Law 105-

85; 111 Stat. 2039) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) redesignated as section 4833;

\(C\) inserted after section 4832, as added by

paragraph (12); and

\(D\) amended in subsection (d) by striking

\`\`sections 202 and 203(j) of the Federal Property and

Administrative Services Act of 1949 (40 U.S.C. 483 and

484(j))\'\' and inserting \`\`subchapter II of chapter 5

and section 549 of title 40, United States Code,\'\'.

\(14\) Subtitle heading on other matters.\--Title XLVIII of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle D\--Other Matters\'\'.

\(15\) Semiannual reports on local impact assistance.\--

Subsection (f) of section 3153 of the National Defense

Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111

Stat. 2044) is\--

\(A\) transferred to title XLVIII of division D of

the Bob Stump National Defense Authorization Act for

Fiscal Year 2003, as amended by this subsection;

\(B\) inserted after the heading for subtitle D of

such title, as added by paragraph (14); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4851. SEMIANNUAL REPORTS ON LOCAL IMPACT ASSISTANCE.\'\';

\(ii\) by striking \`\`(f) Semiannual Reports

to Congress of Local Impact Assistance.\--\'\';

and

\(iii\) by striking \`\`section 3161(c)(6) of

the National Defense Authorization Act of 1993

(42 U.S.C. 7274h(c)(6))\'\' and inserting

\`\`section 4604(c)(6)\'\'.

\(l\) Matters Relating to Particular Facilities.\--

\(1\) Headings.\--Division D of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003, as amended by this

section, is further amended by adding at the end the following

new headings:

\`\`TITLE XLIX\--MATTERS RELATING TO PARTICULAR FACILITIES

\`\`Subtitle A\--Hanford Reservation, Washington\'\'.

\(2\) Safety measures for waste tanks.\--Section 3137 of the

National Defense Authorization Act for Fiscal Year 1991 (Public

Law 101-510; 104 Stat. 1833) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as added by paragraph (1);

\(B\) redesignated as section 4901;

\(C\) inserted after the heading for subtitle A of

such title, as so added; and

\(D\) amended\--

\(i\) in the section heading, by adding a

period at the end;

\(ii\) in subsection (a), by striking

\`\`Within 90 days after the date of the

enactment of this Act,\'\' and inserting \`\`Not

later than February 3, 1991,\'\';

\(iii\) in subsection (b), by striking

\`\`Within 120 days after the date of the

enactment of this Act,\'\' and inserting \`\`Not

later than March 5, 1991,\'\';

\(iv\) in subsection (c), by striking

\`\`Beginning 120 days after the date of the

enactment of this Act,\'\' and inserting

\`\`Beginning March 5, 1991,\'\'; and

\(v\) in subsection (d), by striking \`\`Within

six months after the date of the enactment of

this Act,\'\' and inserting \`\`Not later than May

5, 1991,\'\'.

\(3\) Programs for persons who may have been exposed to

radiation released from hanford reservation.\--Section 3138 of

the National Defense Authorization Act for Fiscal Year 1991

(Public Law 101-510; 104 Stat. 1834), as amended by section

3138 of the National Defense Authorization Act for Fiscal Year

1995 (Public Law 103-337; 108 Stat. 3087), is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4902;

\(C\) inserted after section 4901, as added by

paragraph (2); and

\(D\) amended\--

\(i\) in the section heading, by adding a

period at the end;

\(ii\) in subsection (a), by striking \`\`this

title\'\' and inserting \`\`title XXXI of the

National Defense Authorization Act for Fiscal

Year 1991 (Public Law 101-510)\'\'; and

\(iii\) in subsection (c)\--

\(I\) in paragraph (2), by striking

\`\`six months after the date of the

enactment of this Act,\'\' and inserting

\`\`May 5, 1991,\'\'; and

\(II\) in paragraph (3), by striking

\`\`18 months after the date of the

enactment of this Act,\'\' and inserting

\`\`May 5, 1992,\'\'.

\(4\) Waste tank cleanup program.\--Section 3139 of the Strom

Thurmond National Defense Authorization Act for Fiscal Year

1999 (Public Law 105-261; 112 Stat. 2250), as amended by

section 3141 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by

Public Law 106-398; 114 Stat. 1654A-463) and section 3135 of

the National Defense Authorization Act for Fiscal Year 2002

(Public Law 107-107; 115 Stat. 1368), is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4903;

\(C\) inserted after section 4902, as added by

paragraph (3); and

\(D\) amended in subsection (d) by striking \`\`30 days

after the date of the enactment of the Floyd D. Spence

National Defense Authorization Act for Fiscal Year

2001,\'\' and inserting \`\`November 29, 2000,\'\'.

\(5\) River protection project.\--Subsection (a) of section

3141 of the Floyd D. Spence National Defense Authorization Act

for Fiscal Year 2001 (as enacted into law by Public Law 106-

398; 114 Stat. 1654A-462) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4903, as added by

paragraph (4); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4904. RIVER PROTECTION PROJECT.\'\';

and

\(ii\) by striking \`\`(a) Redesignation of

Project.\--\'\'.

\(6\) Funding for termination costs of river protection

project.\--Section 3131 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into law by

Public Law 106-398; 114 Stat. 1654A-454) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as section 4905;

\(C\) inserted after section 4904, as added by

paragraph (5); and

\(D\) amended\--

\(i\) by striking \`\`section 3141\'\' and

inserting \`\`section 4904\'\'; and

\(ii\) by striking \`\`the date of the

enactment of this Act\'\' and inserting \`\`October

30, 2000\'\'.

\(7\) Subtitle heading on savannah river site, south

carolina.\--Title XLIX of division D of the Bob Stump National

Defense Authorization Act for Fiscal Year 2003, as amended by

this subsection, is further amended by adding at the end the

following new subtitle heading:

\`\`Subtitle B\--Savannah River Site, South Carolina\'\'.

\(8\) Accelerated schedule for isolating high-level nuclear

waste at defense waste processing facility.\--Section 3141 of

the National Defense Authorization Act for Fiscal Year 1997

(Public Law 104-201; 110 Stat. 2834) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) redesignated as 4911; and

\(C\) inserted after the heading for subtitle B of

such title, as added by paragraph (7).

\(9\) Multi-year plan for clean-up.\--Subsection (e) of

section 3142 of the National Defense Authorization Act for

Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2834) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4911, as added by

paragraph (8); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4912. MULTI-YEAR PLAN FOR CLEAN-UP.\'\';

and

\(ii\) by striking \`\`(e) Multi-Year Plan for

Clean-Up at Savannah River Site.\--The

Secretary\'\' and inserting \`\`The Secretary of

Energy\'\'.

\(10\) Continuation of processing, treatment, and disposal of

legacy nuclear materials.\--

\(A\) Fiscal year 2001.\--Subsection (a) of section

3137 of the Floyd D. Spence National Defense

Authorization Act for Fiscal Year 2001 (as enacted into

law by Public Law 106-398; 114 Stat 1654A-460) is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) inserted after section 4912, as added

by paragraph (9); and

\(iii\) amended\--

\(I\) by inserting before the text

the following new section heading:

\`\`SEC. 4913. CONTINUATION OF PROCESSING, TREATMENT, AND DISPOSAL OF

LEGACY NUCLEAR MATERIALS.\'\';

and

\(II\) by striking \`\`(a)

Continuation.\--\'\'.

\(B\) Fiscal year 2000.\--Section 3132 of the National

Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 924) is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) redesignated as section 4913A; and

\(iii\) inserted after section 4913, as added

by subparagraph (A).

\(C\) Fiscal year 1999.\--Section 3135 of the Strom

Thurmond National Defense Authorization Act for Fiscal

Year 1999 (Public Law 105-261; 112 Stat. 2248) is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) redesignated as section 4913B; and

\(iii\) inserted after section 4913A, as

added by subparagraph (B).

\(D\) Fiscal year 1998.\--Subsection (b) of section

3136 of the National Defense Authorization Act for

Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2038)

is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) inserted after section 4913B, as added

by subparagraph (C); and

\(iii\) amended\--

\(I\) by inserting before the text

the following new section heading:

\`\`SEC. 4913C. CONTINUATION OF PROCESSING, TREATMENT, AND DISPOSAL OF

LEGACY NUCLEAR MATERIALS.\'\';

and

\(II\) by striking \`\`(b) Requirement

for Continuing Operations at Savannah

River Site.\--\'\'.

\(E\) Fiscal year 1997.\--Subsection (f) of section

3142 of the National Defense Authorization Act for

Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2836)

is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) inserted after section 4913C, as added

by subparagraph (D); and

\(iii\) amended\--

\(I\) by inserting before the text

the following new section heading:

\`\`SEC. 4913D. CONTINUATION OF PROCESSING, TREATMENT, AND DISPOSAL OF

LEGACY NUCLEAR MATERIALS.\'\';

\(II\) by striking \`\`(f) Requirement

for Continuing Operations at Savannah

River Site.\--The Secretary\'\' and

inserting \`\`The Secretary of Energy\'\';

and

\(III\) by striking \`\`subsection

(e)\'\' and inserting \`\`section 4912\'\'.

\(11\) Limitation on use of funds for decommissioning f-

canyon facility.\--Subsection (b) of section 3137 of the Floyd

D. Spence National Defense Authorization Act for Fiscal Year

2001 (as enacted into law by Public Law 106-398; 114 Stat.

1654A-460) is\--

\(A\) transferred to title XLIX of division D of the

Bob Stump National Defense Authorization Act for Fiscal

Year 2003, as amended by this subsection;

\(B\) inserted after section 4913D, as added by

paragraph (10)(E); and

\(C\) amended\--

\(i\) by inserting before the text the

following new section heading:

\`\`SEC. 4914. LIMITATION ON USE OF FUNDS FOR DECOMMISSIONING F-CANYON

FACILITY.\'\';

\(ii\) by striking \`\`(b) Limitation on Use of

Funds for Decommissioning F-Canyon Facility.\--

\'\';

\(iii\) by striking \`\`this or any other Act\'\'

and inserting \`\`the Floyd D. Spence National

Defense Authorization Act for Fiscal Year 2001

(as enacted into law by Public Law 106-398) or

any other Act\'\'; and

\(iv\) by striking \`\`the Secretary\'\' in the

matter preceding paragraph (1) and inserting

\`\`the Secretary of Energy\'\'.

\(12\) Disposition of plutonium.\--

\(A\) Disposition of weapons usable plutonium.\--

Section 3182 of the Bob Stump National Defense

Authorization Act for Fiscal Year 2003 (Public Law 107-

314; 116 Stat. 2747) is\--

\(i\) transferred to title XLIX of division D

of such Act, as amended by this subsection;

\(ii\) redesignated as section 4915; and

\(iii\) inserted after section 4914, as added

by paragraph (11).

\(B\) Disposition of surplus defense plutonium.\--

Section 3155 of the National Defense Authorization Act

for Fiscal Year 2002 (Public Law 107-107; 115 Stat.

1378\) is\--

\(i\) transferred to title XLIX of division D

of the Bob Stump National Defense Authorization

Act for Fiscal Year 2003, as amended by this

subsection;

\(ii\) redesignated as section 4915A; and

\(iii\) inserted after section 4915, as added

by subparagraph (A).

\(13\) Subtitle heading on other facilities.\--Title XLIX of

division D of the Bob Stump National Defense Authorization Act

for Fiscal Year 2003, as amended by this subsection, is further

amended by adding at the end the following new subtitle

heading:

\`\`Subtitle C\--Other Facilities\'\'.

\(14\) Payment of costs of operation and maintenance of

infrastructure at nevada test site.\--Section 3144 of the

National Defense Authorization Act for Fiscal Year 1997 (Public

Law 104-201; 110 Stat. 2838) is\--

\(A\) transferred to title XLIX of division D of such

Act, as amended by this subsection;

\(B\) redesignated as section 4921; and

\(C\) inserted after the heading for subtitle C of

such title, as added by paragraph (13).

\(m\) Conforming Amendments.\--(1) Title XXXVI of the Bob Stump

National Defense Authorization Act for Fiscal Year 2003 (Public Law

107-314; 116 Stat. 1756) is repealed.

\(2\) Subtitle E of title XXXI of the National Defense Authorization

Act for Fiscal Year 1993 (Public Law 102-484; 42 U.S.C. 7274h et seq.)

is repealed.

\(3\) Section 8905a(d)(5)(A) of title 5, United States Code, is

amended by striking \`\`section 3143 of the National Defense

Authorization Act for Fiscal Year 1997 (42 U.S.C. 7274n)\'\' and

inserting \`\`section 4421 of the Atomic Energy Defense Act\'\'.

TITLE XXXII\--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

SEC. 3201. AUTHORIZATION.

There are authorized to be appropriated for fiscal year 2004,

\$19,559,000 for the operation of the Defense Nuclear Facilities Safety

Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286

et seq.).

TITLE XXXIII\--NATIONAL DEFENSE STOCKPILE

SEC. 3301. AUTHORIZED USES OF NATIONAL DEFENSE STOCKPILE FUNDS.

\(a\) Obligation of Stockpile Funds.\--During fiscal year 2004, the

National Defense Stockpile Manager may obligate up to \$69,701,000 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. REVISIONS TO OBJECTIVES FOR RECEIPTS FOR FISCAL YEAR 2000

DISPOSALS.

\(a\) In General.\--Section 3402(b) of the National Defense

Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 Stat.

972; 50 U.S.C. 98d note) is amended\--

\(1\) by striking \`\`and\'\' at the end of paragraph (2); and

\(2\) by striking paragraph (3) and inserting the following

new paragraphs:

\`\`(3) \$310,000,000 before the end of fiscal year 2008; and

\`\`(4) \$320,000,000 before the end of fiscal year 2009.\'\'.

\(b\) Effective Date.\--The amendments made by subsection (a) shall

take effect on October 1, 2003, or the date of the enactment of this

Act, whichever is later.

TITLE XXXIV\--NAVAL PETROLEUM RESERVES

SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

\(a\) Amount.\--There are hereby authorized to be appropriated to the

Secretary of Energy \$16,500,000 for fiscal year 2004 for the purpose of

carrying out activities under chapter 641 of title 10, United States

Code, relating to the naval petroleum reserves.

\(b\) Period of Availability.\--Funds appropriated pursuant to the

authorization of appropriations in subsection (a) shall remain

available until expended.

TITLE XXXV\--MARITIME ADMINISTRATION

Subtitle A\--General Provisions

SEC. 3501. SHORT TITLE.

This title may be cited as the \`\`Maritime Security Act of 2003\'\'.

SEC. 3502. DEFINITIONS.

In this subtitle:

\(1\) Bulk cargo.\--The term \`\`bulk cargo\'\' means cargo that

is loaded and carried in bulk without mark or count.

\(2\) Contractor.\--The term \`\`contractor\'\' means an owner or

operator of a vessel that enters into an operating agreement

for the vessel with the Secretary under section 3512.

\(3\) Fleet.\--The term \`\`Fleet\'\' means the Maritime Security

Fleet established under section 3511(a).

\(4\) Foreign commerce.\--The term \`\`foreign commerce\'\'\--

\(A\) subject to subparagraph (B), means commerce or

trade between the United States, its territories or

possessions, or the District of Columbia, and a foreign

country; and

\(B\) includes, in the case of liquid and dry bulk

cargo carrying services, trading between foreign ports

in accordance with normal commercial bulk shipping

practices in such manner as will permit United States-

documented vessels freely to compete with foreign-flag

bulk carrying vessels in their operation or in

competing for charters, subject to rules and

regulations promulgated by the Secretary of

Transportation pursuant to subtitle B or C.

\(5\) Former participating fleet vessel.\--The term \`\`former

participating fleet vessel\'\' means\--

\(A\) any vessel that\--

\(i\) on October 1, 2005\--

\(I\) will meet the requirements of

paragraph (1), (2), (3), or (4) of

section 3511(c); and

\(II\) will be less than 25 years of

age, or less than 30 years of age in

the case of a LASH vessel; and

\(ii\) on December 31, 2003, is covered by an

operating agreement under subtitle B of title

VI of the Merchant Marine Act, 1936 (46 App.

U.S.C. 1187 et seq.); and

\(B\) any vessel that\--

\(i\) is a replacement for a vessel described

in subparagraph (A);

\(ii\) is controlled by the person that

controls such replaced vessel;

\(iii\) is eligible to be included in the

Fleet under section 3511(b);

\(iv\) is approved by the Secretary and the

Secretary of Defense; and

\(v\) begins operation under an operating

agreement under subtitle B by not later than

the end of the 30-month period beginning on the

date the operating agreement is entered into by

the Secretary.

\(6\) LASH vessel.\--The term \`\`LASH vessel\'\' means a lighter

aboard ship vessel.

\(7\) Person.\--The term \`\`person\'\' includes corporations,

partnerships, and associations existing under or authorized by

the laws of the United States, or any State, Territory,

District, or possession thereof, or of any foreign country.

\(8\) Product tank vessel.\--The term \`\`product tank vessel\'\'

means a double hulled tank vessel capable of carrying

simultaneously more than 2 separated grades of refined

petroleum products.

\(9\) Secretary.\--The term \`\`Secretary\'\' means the Secretary

of Transportation.

\(10\) United states.\--The term \`\`United States\'\' includes

the District of Columbia, the Commonwealth of Puerto Rico, the

Northern Mariana Islands, Guam, American Samoa, the Virgin

Islands.

\(11\) United states-documented vessel.\--The term \`\`United

States-documented vessel\'\' means a vessel documented under

chapter 121 of title 46, United States Code.

Subtitle B\--Maritime Security Fleet

SEC. 3511. ESTABLISHMENT OF MARITIME SECURITY FLEET.

\(a\) In General.\--The Secretary of Transportation shall establish a

fleet of active, militarily useful, privately owned vessels to meet

national defense and other security requirements and maintain a United

States presence in international commercial shipping. The Fleet shall

consist of privately owned, United States-documented vessels for which

there are in effect operating agreements under this subtitle, and shall

be known as the Maritime Security Fleet.

\(b\) Vessel Eligibility.\--A vessel is eligible to be included in the

Fleet if\--

\(1\) the vessel meets the requirements of paragraph (1),

(2), (3), or (4) of subsection (c);

\(2\) the vessel is operated (or in the case of a vessel to

be constructed, will be operated) in providing transportation

in foreign commerce;

\(3\) the vessel is self-propelled and is\--

\(A\) a roll-on/roll-off vessel with a carrying

capacity of at least 80,000 square feet or 500 twenty-

foot equivalent units and that is 15 years of age or

less on the date the vessel is included in the Fleet;

\(B\) a tank vessel that is constructed in the United

States after the date of the enactment of this

subtitle;

\(C\) a tank vessel that is 10 years of age or less

on the date the vessel is included in the Fleet;

\(D\) a LASH vessel that is 25 years of age or less

on the date the vessel is included in the Fleet; or

\(E\) any other type of vessel that is 15 years of

age or less on the date the vessel is included in the

Fleet;

except that the Secretary of Transportation shall waive the

application of an age restriction under this paragraph if the

waiver is requested by the Secretary of Defense;

\(4\) the vessel is determined by the Secretary of Defense to

be suitable for use by the United States for national defense

or military purposes in time of war or national emergency; and

\(5\) the vessel\--

\(A\) is a United States-documented vessel; or

\(B\) is not a United States-documented vessel, but\--

\(i\) the owner of the vessel has

demonstrated an intent to have the vessel

documented under chapter 121 of title 46,

United States Code, if it is included in the

Fleet; and

\(ii\) at the time an operating agreement for

the vessel is entered into under this subtitle,

the vessel is eligible for documentation under

chapter 121 of title 46, United States Code.

\(c\) Requirements Regarding Citizenship of Owners and Charterers.\--

\(1\) Vessel owned and operated by section 2 citizens.\--A

vessel meets the requirements of this paragraph if, during the

period of an operating agreement under this subtitle that

applies to the vessel, the vessel will be owned and operated by

persons one or more persons that are citizens of the United

States under section 2 of the Shipping Act, 1916 (46 App.

U.S.C. 802).

\(2\) Vessel owned by section 2 citizen and chartered to

documentation citizen.\--A vessel meets the requirements of this

paragraph if\--

\(A\) during the period of an operating agreement

under this subtitle that applies to the vessel, the

vessel will be\--

\(i\) owned by a person that is a citizen of

the United States under section 2 of the

Shipping Act, 1916 (46 App. U.S.C. 802); and

\(ii\) demise chartered to a person\--

\(I\) that is eligible to document

the vessel under chapter 121 of title

46, United States Code;

\(II\) the chairman of the board of

directors, chief executive officer, and

a majority of the members of the board

of directors of which are citizens of

the United States under section 2 of

the Shipping Act, 1916 (46 App. U.S.C.

802), and are appointed and subjected

to removal only upon approval by the

Secretary; and

\(III\) that certifies that there are

no treaties, statutes, regulations, or

other laws that would prohibit the

contractor for the vessel from

performing its obligations under an

operating agreement under this

subtitle; and

\(B\) in the case of a vessel that will be chartered

to a person that is owned or controlled by another

person that is not a citizen of the United States under

section 2 of the Shipping Act, 1916 (46 App. U.S.C.

802), the other person enters into an agreement with

the Secretary not to influence the operation of the

vessel in a manner that will adversely affect the

interests of the United States.

\(3\) Vessel owned and operated by defense contractor.\--A

vessel meets the requirements of this paragraph if, during the

period of an operating agreement under this subtitle that

applies to the vessel, the vessel will be owned and operated by

one or more persons that\--

\(A\) are eligible to document a vessel under chapter

121 of title 46, United States Code;

\(B\) operates or manages other United States-

documented vessels for the Secretary of Defense, or

charters other vessels to the Secretary of Defense;

\(C\) has entered into a Special Security Agreement

for purposes of this paragraph with the Secretary of

Defense;

\(D\) makes the certification described in paragraph

(2)(A)(ii)(III); and

\(E\) in the case of a vessel described in paragraph

(2)(B), enters into an agreement referred to in that

paragraph.

\(4\) Vessel owned by documentation citizen and chartered to

section 2 citizen.\--A vessel meets the requirements of this

paragraph if, during the period of an operating agreement under

this subtitle that applies to the vessel, the vessel will be\--

\(A\) owned by a person that is eligible to document

a vessel under chapter 121 of title 46, United States

Code; and

\(B\) demise chartered to a person that is a citizen

of the United States under section 2 of the Shipping

Act, 1916 (46 App. U.S.C. 802).

\(d\) Request by Secretary of Defense.\--The Secretary of Defense

shall request the Secretary of Homeland Security to issue any waiver

under the first section of Public Law 81-891 (64 Stat. 1120; 46 App.

U.S.C. note prec. 3) that is necessary for purposes of this subtitle.

SEC. 3512. AWARD OF OPERATING AGREEMENTS.

\(a\) In General.\--The Secretary shall require, as a condition of

including any vessel in the Fleet, that the person that is the owner or

charterer of the vessel for purposes of section 3511(c) enter into an

operating agreement with the Secretary under this section.

\(b\) Procedure for Applications.\--

\(1\) Acceptance of applications.\--Beginning no later than 30

days after the effective date of this subtitle, the Secretary

shall accept applications for enrollment of vessels in the

Fleet.

\(2\) Action on applications.\--Within 90 days after receipt

of an application for enrollment of a vessel in the Fleet, the

Secretary shall enter into an operating agreement with the

applicant or provide in writing the reason for denial of that

application.

\(c\) Priority for Awarding Agreements.\--

\(1\) In general.\--Subject to the availability of

appropriations, the Secretary shall enter into operating

agreements according to the following priority:

\(A\) New tank vessels.\--First, for any tank vessel

that\--

\(i\) is constructed in the United States

after the effective date of this subtitle;

\(ii\) is eligible to be included in the

Fleet under section 3511(b); and

\(iii\) during the period of an operating

agreement under this subtitle that applies to

the vessel, will be owned and operated by one

or more persons that are citizens of the United

States under section 2 of the Shipping Act,

1916 (46 App. U.S.C. 802),

except that the Secretary shall not enter into

operating agreements under this subparagraph for more

than 5 such vessels.

\(B\) Former participating vessels.\--Second, to the

extent amounts are available after applying

subparagraphs (A), for any former participating fleet

vessel, except that the Secretary shall not enter into

operating agreements under this subparagraph for more

than 47 vessels.

\(C\) Certain vessels operated by section 2

citizens.\--Third, to the extent amounts are available

after applying subparagraphs (A) and (B), for any other

vessel that is eligible to be included in the Fleet

under section 3511(b), and that, during the period of

an operating agreement under this subtitle that applies

to the vessel, will be\--

\(i\) owned and operated by one or more

persons that are citizens of the United States

under section 2 of the Shipping Act, 1916 (46

App. U.S.C. 802); or

\(ii\) owned by a person that is eligible to

document the vessel under chapter 121 of title

46, United States Code, and operated by a

person that is a citizen of the United States

under section 2 of the Shipping Act, 1916 (46

App. U.S.C. 802).

\(D\) Other eligible vessels.\--Fourth, to the extent

amounts are available after applying subparagraphs (A),

(B), and (C), for any other vessel that is eligible to

be included in the Fleet under section 3511(b).

\(2\) Reduction in number of slots for former participating

fleet vessels.\--The number in paragraph (1)(B) shall be reduced

by 1\--

\(A\) for each former participating fleet vessel for

which an application for enrollment in the Fleet is not

received by the Secretary within the 90-day period

beginning on the effective date of this subtitle; and

\(B\) for each former participating fleet vessel for

which an application for enrollment in the Fleet

received by the Secretary is not approved by the

Secretary of Defense within the 90-day period beginning

on the date of such receipt.

\(3\) Discretion within priority.\--The Secretary\--

\(A\) subject to subparagraph (B), may award

operating agreements within each priority under

paragraph (1) as the Secretary considers appropriate;

and

\(B\) shall award operating agreement within a

priority\--

\(i\) in accordance with operational

requirements specified by the Secretary of

Defense; and

\(ii\) subject to the approval of the

Secretary of Defense.

\(4\) Treatment of tank vessel to be replaced.\--(A) For

purposes of the application of paragraph (1)(A) with respect to

the award of an operating agreement, the Secretary may treat an

existing tank vessel that is eligible to be included in the

Fleet under section 3511(b) as a vessel that is constructed in

the United States after the effective date of this subtitle,

if\--

\(i\) a binding contract for construction in the

United States of a replacement vessel to be operated

under the operating agreement is executed by not later

than 9 months after the first date amounts are

available to carry out this subtitle; and

\(ii\) the replacement vessel is eligible to be

included in the Fleet under section 3511(b).

\(B\) No payment under this subtitle may be made for an

existing tank vessel for which an operating agreement is

awarded under this paragraph after the earlier of\--

\(i\) 4 years after the first date amounts are

available to carry out this subtitle; or

\(ii\) the date of delivery of the replacement tank

vessel.

\(d\) Limitation.\--The Secretary may not award operating agreements

under this subtitle that require payments under section 3515 for a

fiscal year for more than 60 vessels.

SEC. 3513. EFFECTIVENESS OF OPERATING AGREEMENTS.

\(a\) Effectiveness, Generally.\--The Secretary may enter into an

operating agreement under this subtitle for fiscal year 2006. Except as

provided in subsection (b), the agreement shall be effective only for 1

fiscal year, but shall be renewable, subject to the availability of

appropriations, for each subsequent fiscal year through the end of

fiscal year 2015.

\(b\) Vessels Under Charter to U.S.\--Unless an earlier date is

requested by the applicant, the effective date for an operating

agreement with respect to a vessel that is, on the date of entry into

an operating agreement, on charter to the United States Government,

other than a charter pursuant to an Emergency Preparedness Agreement

under section 3516, shall be the expiration or termination date of the

Government charter covering the vessel, or any earlier date the vessel

is withdrawn from that charter.

\(c\) Termination.\--

\(1\) In general.\--If the contractor with respect to an

operating agreement fails to comply with the terms of the

agreement\--

\(A\) the Secretary shall terminate the operating

agreement; and

\(B\) any budget authority obligated by the agreement

shall be available to the Secretary to carry out this

subtitle.

\(2\) Early termination.\--An operating agreement under this

subtitle shall terminate on a date specified by the contractor

if the contractor notifies the Secretary, by not later than 60

days before the effective date of the termination, that the

contractor intends to terminate the agreement.

\(d\) Nonrenewal for Lack of Funds.\--

\(1\) Notification of congress.\--If, by the first day of a

fiscal year, sufficient funds have not been appropriated under

the authority provided by this subtitle for that fiscal year,

then the Secretary shall notify the Congress that operating

agreements authorized under this subtitle for which sufficient

funds are not available will not be renewed for that fiscal

year if sufficient funds are not appropriated by the 60th day

of that fiscal year.

\(2\) Release of vessels from obligations.\--If funds are not

appropriated under the authority provided by this subtitle for

any fiscal year by the 60th day of that fiscal year, then each

vessel covered by an operating agreement under this subtitle

for which funds are not available\--

\(A\) is thereby released from any further obligation

under the operating agreement;

\(B\) the owner or operator of the vessel may

transfer and register such vessel under a foreign

registry that is acceptable to the Secretary of

Transportation and the Secretary of Defense,

notwithstanding section 9 of the Shipping Act, 1916 (46

App. U.S.C. 808); and

\(C\) if section 902 of the Merchant Marine Act, 1936

(46 App. U.S.C. 1242) is applicable to such vessel

after registration of the vessel under such a registry,

then the vessel is available to be requisitioned by the

Secretary of Transportation pursuant to section 902 of

such Act.

SEC. 3514. OBLIGATIONS AND RIGHTS UNDER OPERATING AGREEMENTS.

\(a\) Operation of Vessel.\--An operating agreement under this

subtitle shall require that, during the period a vessel is operating

under the agreement\--

\(1\) the vessel\--

\(A\) shall be operated exclusively in the foreign

commerce or in mixed foreign commerce and domestic

trade allowed under a registry endorsement issued under

section 12105 of title 46, United States Code; and

\(B\) shall not otherwise be operated in the

coastwise trade; and

\(2\) the vessel shall be documented under chapter 121 of

title 46, United States Code.

\(b\) Annual Payments by Secretary.\--

\(1\) In general.\--An operating agreement under this subtitle

shall require, subject to the availability of appropriations,

that the Secretary make a payment each fiscal year to the

contractor in accordance with section 3515.

\(2\) Operating agreement is obligation of united states

government.\--An operating agreement under this subtitle

constitutes a contractual obligation of the United States

Government to pay the amounts provided for in the agreement to

the extent of actual appropriations.

\(c\) Documentation Requirement.\--Each vessel covered by an operating

agreement (including an agreement terminated under section 3513(c)(2))

shall remain documented under chapter 121 of title 46, United States

Code, until the date the operating agreement would terminate according

to its terms.

\(d\) National Security Requirements.\--

\(1\) In general.\--A contractor with respect to an operating

agreement (including an agreement terminated under section

3513(c)(2)) shall continue to be bound by the provisions of

section 3516 until the date the operating agreement would

terminate according to its terms.

\(2\) Emergency preparedness agreement.\--All terms and

conditions of an Emergency Preparedness Agreement entered into

under section 3516 shall remain in effect until the date the

operating agreement would terminate according to its terms,

except that the terms of such Emergency Preparedness Agreement

may be modified by the mutual consent of the contractor and the

Secretary of Transportation and the Secretary of Defense.

\(e\) Transfer of Operating Agreements.\--A contractor under an

operating agreement may transfer the agreement (including all rights

and obligations under the agreement) to any person that is eligible to

enter into that operating agreement under this subtitle, if the

transfer is approved by the Secretary and the Secretary of Defense.

SEC. 3515. PAYMENTS.

\(a\) Annual payment.\--

\(1\) In general.\--The Secretary, subject to the availability

of appropriations and the other provisions of this section,

shall pay to the contractor for an operating agreement, for

each vessel that is covered by the operating agreement, an

amount equal to\--

\(A\) \$2,600,000 for each of fiscal years 2006 and

2007, and

\(B\) such amount, not less than \$2,600,000, for each

fiscal year thereafter for which the agreement is in

effect as the Secretary, with the concurrence of the

Secretary of Defense, considers to be necessary to meet

the operational requirements of the Secretary of

Defense.

\(2\) Timing.\--The amount shall be paid in equal monthly

installments at the end of each month. The amount shall not be

reduced except as provided by this section.

\(b\) Certification Required for Payment.\--As a condition of

receiving payment under this section for a fiscal year for a vessel,

the contractor for the vessel shall certify, in accordance with

regulations issued by the Secretary, that the vessel has been and will

be operated in accordance with section 3514(a)(1) for at least 320 days

in the fiscal year. Days during which the vessel is drydocked,

surveyed, inspected, or repaired shall be considered days of operation

for purposes of this subsection.

\(c\) Limitations.\--The Secretary of Transportation shall not make

any payment under this subtitle for a vessel with respect to any days

for which the vessel is\--

\(1\) under a charter to the United States Government, other

than a charter pursuant to an Emergency Preparedness Agreement

under section 3516;

\(2\) not operated or maintained in accordance with an

operating agreement under this subtitle; or

\(3\) more than\--

\(A\) 25 years of age, except as provided in

subparagraph (B) or (C);

\(B\) 20 years of age, in the case of a tank vessel;

or

\(C\) 30 years of age, in the case of a LASH vessel.

\(d\) Reductions in Payments.\--With respect to payments under this

subtitle for a vessel covered by an operating agreement, the

Secretary\--

\(1\) except as provided in paragraph (2), shall not reduce

any payment for the operation of the vessel to carry military

or other preference cargoes under section 2631 of title 10,

United States Code, the Act of March 26, 1934 (46 App. U.S.C.

1241-1), section 901(a), 901(b), or 901b of the Merchant Marine

Act, 1936 (46 App. U.S.C. 1241(a), 1241(b), or 1241f), or any

other cargo preference law of the United States;

\(2\) shall not make any payment for any day that the vessel

is engaged in transporting more than 7,500 tons of civilian

bulk preference cargoes pursuant to section 901(a), 901(b), or

901b of the Merchant Marine Act, 1936 (46 App. U.S.C. 1241(a),

1241(b), or 1241f), that is cargo; and

\(3\) shall make a pro rata reduction in payment for each day

less than 320 in a fiscal year that the vessel is not operated

in accordance with section 3514(a)(1), with days during which

the vessel is drydocked or undergoing survey, inspection, or

repair considered to be days on which the vessel is operated.

SEC. 3516. NATIONAL SECURITY REQUIREMENTS.

\(a\) Emergency Preparedness Agreement Required.\--The Secretary shall

establish an Emergency Preparedness Program under this section that is

approved by the Secretary of Defense. Under the program, the Secretary

shall include in each operating agreement under this subtitle a

requirement that the contractor enter into an Emergency Preparedness

Agreement under this section with the Secretary. The Secretary shall

negotiate and enter into an Emergency Preparedness Agreement with each

contractor as promptly as practicable after the contractor has entered

into an operating agreement under this subtitle.

\(b\) Terms of Agreement.\--

\(1\) In general.\--An Emergency Preparedness Agreement under

this section shall require that upon a request by the Secretary

of Defense during time of war or national emergency, or

whenever determined by the Secretary of Defense to be necessary

for national security or contingency operation (as that term is

defined in section 101 of title 10, United States Code), a

contractor for a vessel covered by an operating agreement under

this subtitle shall make available commercial transportation

resources (including services).

\(2\) Basic terms.\--(A) The basic terms of the Emergency

Preparedness Agreement shall be established (subject to

subparagraph (B)) pursuant to consultations among the Secretary

and the Secretary of Defense.

\(B\) In any Emergency Preparedness Agreement, the Secretary

and a contractor may agree to additional or modifying terms

appropriate to the contractor\'s circumstances if those terms

have been approved by the Secretary of Defense.

\(c\) Participation After Expiration of Operating Agreement.\--Except

as provided by section 3514(c), the Secretary may not require, through

an Emergency Preparedness Agreement or operating agreement, that a

contractor continue to participate in an Emergency Preparedness

Agreement after the operating agreement with the contractor has expired

according to its terms or is otherwise no longer in effect. After

expiration of an Emergency Preparedness Agreement, a contractor may

volunteer to continue to participate in such an agreement.

\(d\) Resources Made Available.\--The commercial transportation

resources to be made available under an Emergency Preparedness

Agreement shall include vessels or capacity in vessels, intermodal

systems and equipment, terminal facilities, intermodal and management

services, and other related services, or any agreed portion of such

nonvessel resources for activation as the Secretary of Defense may

determine to be necessary, seeking to minimize disruption of the

contractor\'s service to commercial shippers.

\(e\) Compensation.\--

\(1\) In general.\--The Secretary shall include in each

Emergency Preparedness Agreement provisions approved by the

Secretary of Defense under which the Secretary of Defense shall

pay fair and reasonable compensation for all commercial

transportation resources provided pursuant to this section.

\(2\) Specific requirements.\--Compensation under this

subsection\--

\(A\) shall not be less than the contractor\'s

commercial market charges for like transportation

resources;

\(B\) shall be fair and reasonable considering all

circumstances;

\(C\) shall be provided from the time that a vessel

or resource is required by the Secretary of Defense

until the time that it is redelivered to the contractor

and is available to reenter commercial service; and

\(D\) shall be in addition to and shall not in any

way reflect amounts payable under section 3515.

\(f\) Temporary Replacement Vessels.\--Notwithstanding section 2631 of

title 10, United States Code, the Act of March 26, 1934 (46 App. U.S.C.

1241-1), section 901(a), 901(b), or 901b of the Merchant Marine Act,

1936 (46 App. U.S.C. 1241(a), 1241(b), or 1241f), or any other cargo

preference law of the United States\--

\(1\) a contractor may operate or employ in foreign commerce

a foreign-flag vessel or foreign-flag vessel capacity as a

temporary replacement for a United States-documented vessel or

United States-documented vessel capacity that is activated by

the Secretary of Defense under an Emergency Preparedness

Agreement or under a primary Department of Defense-approved

sealift readiness program; and

\(2\) such replacement vessel or vessel capacity shall be

eligible during the replacement period to transport preference

cargoes subject to section 2631 of title 10, United States

Code, the Act of March 26, 1934 (46 App. U.S.C. 1241-1), and

sections 901(a), 901(b), and 901b of the Merchant Marine Act,

1936 (46 App. U.S.C. 1241(a), 1241(b), and 1241b) to the same

extent as the eligibility of the vessel or vessel capacity

replaced.

\(g\) Redelivery and Liability of United States for Damages.\--

\(1\) In general.\--All commercial transportation resources

activated under an Emergency Preparedness Agreement shall, upon

termination of the period of activation, be redelivered to the

contractor in the same good order and condition as when

received, less ordinary wear and tear, or the Secretary of

Defense shall fully compensate the contractor for any necessary

repair or replacement.

\(2\) Limitation on liability of u.s.\--Except as may be

expressly agreed to in an Emergency Preparedness Agreement, or

as otherwise provided by law, the Government shall not be

liable for disruption of a contractor\'s commercial business or

other consequential damages to a contractor arising from

activation of commercial transportation resources under an

Emergency Preparedness Agreement.

SEC. 3517. REGULATORY RELIEF.

\(a\) Operation in Foreign Commerce.\--A contractor for a vessel

included in an operating agreement under this subtitle may operate the

vessel in the foreign commerce of the United States without

restriction.

\(b\) Other Restrictions.\--The restrictions of section 901(b)(1) of

the Merchant Marine Act, 1936 (46 App. U.S.C. 1241(b)(1)) concerning

the building, rebuilding, or documentation of a vessel in a foreign

country shall not apply to a vessel for any day the operator of that

vessel is receiving payments for operation of that vessel under an

operating agreement under this subtitle.

\(c\) Telecommunications Equipment.\--The telecommunications and other

electronic equipment on an existing vessel that is redocumented under

the laws of the United States for operation under an operating

agreement under this subtitle shall be deemed to satisfy all Federal

Communications Commission equipment certification requirements, if\--

\(1\) such equipment complies with all applicable

international agreements and associated guidelines as

determined by the country in which the vessel was documented

immediately before becoming documented under the laws of the

United States;

\(2\) that country has not been identified by the Secretary

as inadequately enforcing international regulations as to that

vessel; and

\(3\) at the end of its useful life, such equipment will be

replaced with equipment that meets Federal Communications

Commission equipment certification standards.

SEC. 3518. SPECIAL RULE REGARDING AGE OF FORMER PARTICIPATING FLEET

VESSEL.

Sections 3511(b)(3) and 3515(c)(3) shall not apply to a former

participating fleet vessel described in section 3502(5)(A), during the

30-month period referred to in section 3502(5)(B)(v) with respect to

the vessel, if the Secretary determines that the contractor for the

vessel has entered into an arrangement to obtain and operate under the

operating agreement for the former participating fleet vessel a

replacement vessel that, upon commencement of such operation, will be

eligible to be included in the Fleet under section 3511(b).

SEC. 3519. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated for payments under section

3515, to remain available until expended, \$156,000,000 for each of

fiscal years 2006 and 2007, and such sums as may be necessary for each

fiscal year thereafter through fiscal year 2015.

SEC. 3520. AMENDMENT TO SHIPPING ACT, 1916.

Section 9 of the Shipping Act, 1916 (46 App. U.S.C. 808) is amended

by redesignating the second subsection (e) as subsection (f), and by

adding at the end the following:

\`\`(g) Notwithstanding subsection (c)(2), the Merchant Marine Act,

1936, or any contract entered into with the Secretary of Transportation

under that Act, a vessel may be placed under a foreign registry,

without approval of the Secretary, if\--

\`\`(1)(A) the Secretary, with the concurrence of the

Secretary of Defense, determines that at least one replacement

vessel of like capability and of a capacity that is equivalent

or greater, as measured by deadweight tons, gross tons, or

container equivalent units, as appropriate, is documented under

chapter 121 of title 46, United States Code, by the owner of

the vessel placed under the foreign registry; and

\`\`(B) the replacement vessel is not more than 10 years of

age on the date of that documentation; and

\`\`(2) an operating agreement covering the vessel under the

Maritime Security Act of 2003 has expired.\'\'.

SEC. 3521. REGULATIONS.

\(a\) In General.\--The Secretary of Transportation and the Secretary

of Defense may each prescribe rules as necessary to carry out this

subtitle and the amendments made by this subtitle.

\(b\) Interim Rules.\--The Secretary of Transportation and the

Secretary of Defense may each prescribe interim rules necessary to

carry out this subtitle and the amendments made by this subtitle. For

this purpose, the Secretaries are excepted from compliance with the

notice and comment requirements of section 553 of title 5, United

States Code. All interim rules prescribed under the authority of this

subsection that are not earlier superseded by final rules shall expire

no later than 270 days after the effective date of this subtitle.

SEC. 3522. REPEALS AND CONFORMING AMENDMENTS.

\(a\) Repeals.\--The following provisions are repealed:

\(1\) Subtitle B of title VI of the Merchant Marine Act, 1936

(46 App. U.S.C. 1187 et seq.).

\(2\) Section 804 of the Merchant Marine Act, 1936 (46 App.

U.S.C. 1222).

\(b\) Conforming Amendment.\--Section 12102(d)(4) of title 46, United

States Code, is amended by inserting \`\`or section 3511(b) of the

Maritime Security Act of 2003\'\' after \`\`Merchant Marine Act,
1936\'\'.

SEC. 3523. EFFECTIVE DATES.

\(a\) In General.\--Except as provided in subsections (b) and (c),

this subtitle shall take effect October 1, 2004.

\(b\) Repeals and Conforming Amendments.\--Section 3522 shall take

effect October 1, 2005.

\(c\) Regulations.\--Section 3521 and this section shall take effect

on the date of the enactment of this Act.

Subtitle C\--National Defense Tank Vessel Construction Assistance

SEC. 3531. NATIONAL DEFENSE TANK VESSEL CONSTRUCTION PROGRAM.

The Secretary of Transportation shall establish a program for the

provision of financial assistance for the construction in the United

States of a fleet of up to 5 privately owned product tank vessels\--

\(1\) to be operated in commercial service in foreign

commerce; and

\(2\) to be available for national defense purposes in time

of war or national emergency pursuant to an Emergency

Preparedness Plan approved by the Secretary of Defense pursuant

to section 3533(e) of this subtitle.

SEC. 3532. APPLICATION PROCEDURE. -

\(a\) Request for Proposals.\--Within 90 days after the date of the

enactment of this subtitle, and on an as-needed basis thereafter, the

Secretary, in consultation with the Secretary of Defense, shall publish

in the Federal Register a request for competitive proposals for the

construction of new product tank vessels necessary to meet the

commercial and national security needs of the United States and to be

built with assistance under this subtitle.

\(b\) Qualification.\--Any citizen of the United States or any

shipyard in the United States may submit a proposal to the Secretary of

Transportation for purposes of constructing a product tank vessel with

assistance under this subtitle.

\(c\) Requirement.\--The Secretary, with the concurrence of the

Secretary of Defense, may enter into an agreement with the submitter of

a proposal for assistance under this subtitle if the Secretary

determines that\--

\(1\) the plans and specifications call for construction of a

new product tank vessel of not less than 35,000 deadweight tons

and not greater than 60,000 deadweight tons, that\--

\(A\) will meet the requirements of foreign commerce;

\(B\) is capable of carrying militarily useful

petroleum products, and will be suitable for national

defense or military purposes in time of war, national

emergency, or other military contingency; and

\(C\) will meet the construction standards necessary

to be documented under the laws of the United States;

\(2\) the shipyard in which the vessel will be constructed

has the necessary capacity and expertise to successfully

construct the proposed number and type of product tank vessels

in a reasonable period of time as determined by the Secretary

of Transportation, taking into consideration the recent prior

commercial shipbuilding history of the proposed shipyard in

delivering a vessel or series of vessels on time and in

accordance with the contract price and specifications; and

\(3\) the person proposed to be the operator of the proposed

vessel possesses the ability, experience, financial resources,

and any other qualifications determined to be necessary by the

Secretary for the operation and maintenance of the vessel.

\(d\) Priority.\--The Secretary\--

\(1\) subject to paragraph (2), shall give priority

consideration to a proposal submitted by a person that is a

citizen of the United States under section 2 of the Shipping

Act, 1916 (46 App. U.S.C. 802); and

\(2\) may give priority to consideration of proposals that

provide the best value to the Government, taking into

consideration\--

\(A\) the costs of vessel construction; and

\(B\) the commercial and national security needs of

the United States.

SEC. 3533. AWARD OF ASSISTANCE.

\(a\) In General.\--If after review of a proposal, the Secretary

determines that the proposal fulfills the requirements under this

subtitle, the Secretary may enter into a contract with the proposed

purchaser and the proposed shipyard for the construction of a product

tank vessel with assistance under this subtitle.

\(b\) Amount of Assistance.\--The contract shall provide that the

Secretary shall pay, subject to the availability of appropriations, up

to 75 percent of the actual construction cost of the vessel, but in no

case more than \$50,000,000 per vessel.

\(c\) Construction in United States.\--A contract under this section

shall require that construction of a vessel with assistance under this

subtitle shall be performed in a shipyard in the United States.

\(d\) Documentation of Vessel.\--

\(1\) Contract requirement.\--A contract under this section

shall require that, upon delivery of a vessel constructed with

assistance under the contract, the vessel shall be documented

under chapter 121 of title 46, United States Code with a

registry endorsement only.

\(2\) Restriction on coastwise endorsement.\--A vessel

constructed with assistance under this subtitle shall not be

eligible for a certificate of documentation with a coastwise

endorsement.

\(3\) Authority to reflag not applicable.\--Section 9(g) of

the Shipping Act, 1916, (46 App. U.S.C. 808(g)) shall not apply

to a vessel constructed with assistance under this subtitle.

\(e\) Emergency Preparedness Agreement.\--

\(1\) In general.\--A contract under this section shall

require that the person who will be the operator of a vessel

constructed with assistance under the contract shall enter into

an Emergency Preparedness Agreement for the vessel under

section 3516.

\(2\) Treatment as contractor.\--For purposes of the

application, under paragraph (1), of section 3516 to a vessel

constructed with assistance under this subtitle, the term

\`\`contractor\'\' as used in section 3516 means the person who

will be the operator of a vessel constructed with assistance

under this subtitle.

\(f\) Additional Terms.\--The Secretary shall incorporate in the

contract the requirements set forth in this subtitle, and may

incorporate in the contract any additional terms the Secretary

considers necessary.

SEC. 3534. PRIORITY FOR TITLE XI ASSISTANCE.

Section 1103 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1273)

is amended by adding at the end the following:

\`\`(i) Priority.\--In guaranteeing and entering commitments to

guarantee under this section, the Secretary shall give priority to

guarantees and commitments for vessels that are otherwise eligible for

a guarantee under this section and that are constructed with assistance

under subtitle C of the Maritime Security Act of 2003.\'\'.

SEC. 3535. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated to the Secretary to carry

out this subtitle a total of \$250,000,000 for fiscal years after fiscal

year 2004.

Subtitle D\--Maritime Administration Authorization

SEC. 3541. AUTHORIZATION OF APPROPRIATIONS FOR MARITIME ADMINISTRATION

FOR FISCAL YEAR 2004.

Funds are hereby authorized to be appropriated for fiscal year

2004, to be available without fiscal year limitation if so provided in

appropriations Acts, for the use of the Department of Transportation

for the Maritime Administration as follows:

\(1\) For expenses necessary for operations and training

activities, \$104,400,000, of which \$13,000,000 is for capital

improvements at the United States Merchant Marine Academy.

\(2\) 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.), \$39,498,000, of which\--

\(A\) \$35,000,000 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

\(B\) \$4,498,000 is for administrative expenses

related to loan guarantee commitments under the

program.

\(3\) For expenses to dispose of obsolete vessels in the

National Defense Reserve Fleet, \$20,000,000.

SEC. 3542. AUTHORITY TO CONVEY VESSEL USS HOIST (ARS-40).

\(a\) In General.\--Notwithstanding any other law, the Secretary of

Transportation may convey the right, title, and interest of the United

States Government in and to the vessel USS HOIST (ARS-40), to the Last

Patrol Museum, located in Toledo, Ohio (a not-for-profit corporation,

in this section referred to as the \`\`recipient\'\'), for use as a

military museum, if\--

\(1\) the recipient agrees to use the vessel as a nonprofit

military museum;

\(2\) the vessel is not used for commercial transportation

purposes;

\(3\) the recipient agrees to make the vessel available to

the Government when the Secretary requires use of the vessel by

the Government;

\(4\) the recipient agrees that when the recipient no longer

requires the vessel for use as a military museum\--

\(A\) the recipient will, at the discretion of the

Secretary, reconvey the vessel to the Government in

good condition except for ordinary wear and tear; or

\(B\) if the Board of Trustees of the recipient has

decided to dissolve the recipient according to the laws

of the State of New York, then\--

\(i\) the recipient shall distribute the

vessel, as an asset of the recipient, to a

person that has been determined exempt from

taxation under the provisions of section

501(c)(3) of the Internal Revenue Code, or to

the Federal Government or a State or local

government for a public purpose; and

\(ii\) the vessel shall be disposed of by a

court of competent jurisdiction of the county

in which the principal office of the recipient

is located, for such purposes as the court

shall determine, or to such organizations as

the court shall determine are organized

exclusively for public purposes;

\(5\) the recipient agrees to hold the Government harmless

for any claims arising from exposure to asbestos,

polychlorinated biphenyls, or lead paint after conveyance of

the vessel, except for claims arising from use by the

Government under paragraph (3) or (4); and

\(6\) the recipient 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.

\(b\) Delivery of Vessel.\--If a conveyance is made under this

section, the Secretary shall deliver the vessel at the place where the

vessel is located on the date of enactment of this Act, in its present

condition, and without cost to the Government.

\(c\) Other Unneeded Equipment.\--The Secretary may also convey any

unneeded equipment from other vessels in the National Defense Reserve

Fleet in order to restore the USS HOIST (ARS-40) to museum quality.

\(d\) Retention of Vessel in NDRF.\--

\(1\) In general.\--The Secretary shall retain in the National

Defense Reserve Fleet the vessel authorized to be conveyed

under subsection (a), until the earlier of\--

\(A\) 2 years after the date of the enactment of this

Act; or

\(B\) the date of conveyance of the vessel under

subsection (a).

\(2\) Limitation.\--Paragraph (1) does not require the

Secretary to retain the vessel in the National Defense Reserve

Fleet if the Secretary determines that retention of the vessel

in the fleet will pose an unacceptable risk to the marine

environment.

SEC. 3543. AUTHORITY TO CONVEY NDRF VESSELS AND VESSEL CONTENTS.

\(a\) In General.\--Notwithstanding any other law, the Secretary of

Transportation may convey the right, title, and interest of the United

States Government in and to any or all of the vessels USS ORION (AS-

18), USS HOWARD W. GILMORE (AS-16), USS SPERRY (AS-12), USS NEREUS (AS-

17), USS PROTEUS (XAS-19), and S.S. HATTIESBURG VICTORY (number

248651), a barge and its inventoried contents (YFNB 4, also known as

SSE-512), and the contents (Victory class spares) that have been

removed from the S.S. CATAWBA VICTORY, to Beauchamp Tower Corporation

(a not-for-profit corporation, in this section referred to as the

\`\`recipient\'\') for use as moored support ships for the corporation
and

as memorials to the Fulton class ships and the Victory class ships,

if\--

\(1\) the vessel is not used for commercial transportation

purposes;

\(2\) the recipient agrees to make the vessel available to

the Government when the Secretary requires use of the vessel by

the Government;

\(3\) the recipient agrees that when the recipient no longer

requires the vessel for use as a moored support ship for the

corporation and as a memorial to the Fulton class ships and the

Victory class ships\--

\(A\) the recipient shall, at the discretion of the

Secretary, reconvey the vessel to the Government in

good condition except for ordinary wear and tear; or

\(B\) if the Board of Trustees of the recipient has

decided to dissolve the recipient according to the laws

of the State of Florida, then\--

\(i\) the recipient shall distribute the

vessel, as an asset of the recipient, to a

person that has been determined exempt from

taxation under section 501(c)(3) of the

Internal Revenue Code, or to the Federal

Government or a State or local government for a

public purpose; and

\(ii\) the vessel shall be disposed of by a

court of competent jurisdiction of the county

in which the principal office of the recipient

is located, for such purposes as the court

shall determine, or to such organizations as

the court shall determine are organized

exclusively for public purposes;

\(4\) the recipient agrees to hold the Government harmless

for any claims arising from exposure to asbestos after

conveyance of the vessel, except for claims arising from use by

the Government under paragraph (2) or (3); and

\(5\) the recipient has available, for use to restore the

vessel, in the form of cash, liquid assets, a written loan

commitment, or financial resources\--

\(A\) except as provided in subparagraph (B), of at

least \$1,500,000 for each vessel conveyed; and

\(B\) at least \$50,000 for each barge with contents

conveyed.

\(b\) Delivery of Vessel.\--If a conveyance of a vessel is made under

this section, the Secretary shall deliver the vessel at the place where

the vessel is located on the date of the enactment of this Act, in its

present condition, without cost to the Government.

\(c\) Management of Vessels Pending Conveyance.\--

\(1\) 2-year holding period.\--The Secretary shall remove all

vessels authorized to be conveyed under this section from the

scrapping disposal list for a period of 2 years.

\(2\) Disposal at end of holding period.\--If a vessel has not

been received and transported from its conveyance location by

the recipient before the end of such 2-year period, the

Secretary may dispose of the vessel as the Secretary determines

to be appropriate.

\(3\) Disposal during holding period.\--Notwithstanding

paragraph (1), the Secretary may dispose of a vessel authorized

to be conveyed under this section during the 2-year period

provided for in paragraph (1), if it is determined that the

vessel is in danger of sinking or presents an immediate

critical hazard to the National Defense Reserve Fleet or

environmental safety.

\(d\) Other Unneeded Equipment.\--The Secretary may convey to the

recipient any unneeded equipment, materials, and spares from other

vessels or in storage with the Maritime Administration and the National

Defense Reserve Fleet, for the recipient\'s use, including the

restoration and refit of the vessels conveyed under this section and to

assist other vessel museums.

\(e\) Retention of Vessel in NDRF.\--The Secretary shall retain in the

National Defense Reserve Fleet each vessel authorized to be conveyed

under subsection (a), until the earlier of\--

\(1\) 2 years after the date of the enactment of this Act; or

\(2\) the date of conveyance of the vessel under subsection

(a).

TITLE XXXVI\--NUCLEAR SECURITY INITIATIVE

SEC. 3601. SHORT TITLE.

This title may be cited as the \`\`Nuclear Security Initiative Act of

2003\'\'.

Subtitle A\--Nonproliferation Program Enhancements

SEC. 3611. ESTABLISHMENT OF INTERNATIONAL NUCLEAR MATERIALS PROTECTION

AND COOPERATION PROGRAM IN DEPARTMENT OF STATE.

\(a\) Policy With Respect to Former Soviet Union.\--It is the policy

of the United States to seek to cooperate with the Russian Federation

and each other independent state of the former Soviet Union to effect

as quickly as is reasonably practical basic security measures (such as

the replacement of doors, the bricking of or placement of bars in

windows, the clearing of underbrush from facility perimeters, and the

erection of fences) at each facility in the Russian Federation and each

such state that is used for storing nuclear weapons or nuclear

materials and is not yet protected by such measures.

\(b\) Policy Worldwide.\--It is the policy of the United States to

seek to cooperate with all appropriate nations\--

\(1\) to attempt to ensure that all nuclear weapons and

nuclear materials worldwide are secure and accounted for

according to stringent standards; and

\(2\) to minimize the number of facilities worldwide at which

separated plutonium and highly enriched uranium are present, so

as to achieve the highest and most sustainable levels of

security for such facilities in the most cost-effective manner.

\(c\) Expansion of Program to Additional Countries Authorized.\--(1)

The Secretary of State may establish an international nuclear materials

protection and cooperation program with respect to countries other than

the Russian Federation and the other independent states of the former

Soviet Union.

\(2\) In carrying out such program, the Secretary of State may

provide such funds as are needed to remove nuclear materials from

potentially vulnerable facilities, including funds to cover the costs

of\--

\(A\) transporting such materials from those facilities to

secure facilities;

\(B\) purchasing such materials;

\(C\) converting those facilities to a use that no longer

requires nuclear materials; and

\(D\) providing incentives to facilitate the removal of such

materials from such facilities.

(3)(A) The Secretary of Energy may provide technical assistance to

the Secretary of State in the efforts of the Secretary of State, in

carrying out the program, to assist such countries to review and

improve their security programs with respect to nuclear weapons and

nuclear materials.

\(B\) The technical assistance provided under subparagraph (A) may,

where consistent with the treaty obligations of the United States,

include the sharing of technology or methodologies to the countries

referred to in that subparagraph. Any such sharing shall take into

account the sovereignty of the country concerned and the nuclear

weapons programs of such country, as well as the sensitivity of any

information involved regarding United States nuclear weapons or nuclear

weapons systems.

\(C\) The Secretary of State may include the Russian Federation in

activities under this paragraph if the Secretary determines that the

experience of the Russian Federation under the International Nuclear

Materials Protection and Cooperation program of the Department of

Energy would make the participation of the Russian Federation in those

activities useful in providing technical assistance under subparagraph

(A).

Subtitle B\--Administration and Oversight of Threat Reduction and

Nonproliferation Programs

SEC. 3621. ANALYSIS OF EFFECT ON THREAT REDUCTION AND NONPROLIFERATION

PROGRAMS OF CONGRESSIONAL OVERSIGHT MEASURES WITH RESPECT

TO SUCH PROGRAMS.

\(a\) Analysis of and Report on Congressional Oversight Measures.\--

\(1\) The National Academy of Sciences shall carry out an analysis of
the

effect on threat reduction and nonproliferation programs of applicable

congressional oversight measures. The analysis shall take into

account\--

\(A\) the national security interests of the United States;

\(B\) the need for accountability in the expenditure of funds

by the United States;

\(C\) the effect of such congressional oversight measures on

the continuity and effectiveness of such programs; and

\(D\) the oversight responsibilities of Congress with respect

to such programs.

\(2\) In carrying out the analysis, the National Academy of Sciences

shall consult with the chairs and ranking minority members of the

Committees on Armed Services of the Senate and the House of

Representatives.

\(b\) Report.\--Not later than November 1, 2004, the National Academy

of Sciences shall submit to Congress a report on the analysis required

by subsection (a). The report shall\--

\(1\) identify, and describe the purpose of, each

congressional oversight measure; and

\(2\) set forth such recommendations as the National Academy

of Sciences considers appropriate as to whether the measure

should be retained, amended, or repealed, together with the

reasoning underlying that determination.

\(c\) Definitions.\--In this section:

\(1\) the term \`\`congressional oversight measure\'\' means\--

\(A\) the restrictions in subsection (d) of section

1203 of the Cooperative Threat Reduction Act of 1993

(22 U.S.C. 5952);

\(B\) the eligibility requirements in paragraphs (1)

through (4) of section 502 of the FREEDOM Support Act

(22 U.S.C. 5852);

\(C\) the prohibition in section 1305 of the National

Defense Authorization Act for Fiscal Year 2000 (Public

Law 106-65; 113 Stat. 512; 22 U.S.C. 5952 note); and

\(D\) any restriction or prohibition on the use of

funds otherwise available for threat reduction and

nonproliferation programs that applies absent the

submission to Congress (or any one or more officers or

committees of Congress) of a report, certification, or

other matter.

\(2\) The term \`\`threat reduction and nonproliferation

programs\'\' means\--

\(A\) 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); and

\(B\) any programs for which funds are made available

under the defense nuclear nonproliferation account of

the Department of Energy.

SEC. 3622. ANNUAL REPORT ON THE USE OF FUNDS APPROPRIATED FOR THREAT

REDUCTION AND NONPROLIFERATION IN STATES OF THE FORMER

SOVIET UNION.

\(a\) Report.\--Not later than December 31 of each year, the Secretary

of Energy shall submit to Congress a report on the use, during the

fiscal year ending September 30 of that year, of funds appropriated for

threat reduction and nonproliferation programs in the Russian

Federation and the other independent states of the former Soviet Union.

The report shall be prepared in consultation with the Secretary of

Defense and shall include the following:

\(1\) A description of the use of such funds and the manner

in which such funds are being monitored and accounted for,

including\--

\(A\) the amounts obligated, and the amounts

expended, for such activities;

\(B\) the purposes for which such amounts were

obligated and expended;

\(C\) the forms of assistance provided, and the

justification for each form of assistance provided;

\(D\) the success of each such activity, including

the purposes achieved for each such activity;

\(E\) a description of the participation in such

activities by private sector entities in the United

States and by Federal agencies; and

\(F\) any other information that the Secretary of

Energy considers appropriate to provide a complete

description of the operation and success of such

activities.

\(2\) An accounting of the financial commitment made by the

Russian Federation, as of the date of the end of the fiscal

year covered by the report, to the destruction of its weapons

of mass destruction and to threat reduction and

nonproliferation programs.

\(3\) A description of the efforts made by the United States

to encourage the Russian Federation to continue to maintain its

current level of financial commitment at a level not less than

the level of its commitment for fiscal year 2003, and the

response of the Russian Federation to such efforts.

\(4\) A description of the access provided by the Russian

Federation to the United States during the fiscal year covered

by the report to the facilities with respect to which the

United States is providing assistance under threat reduction

and nonproliferation programs.

\(b\) Consultation Required.\--In preparing the report, the Secretary

of Energy shall consult with the chairs and ranking minority members of

the following congressional committees:

\(1\) The Committee on Armed Services, Committee on

Appropriations, and Committee on International Relations of the

House of Representatives.

\(2\) The Committee on Armed Services, Committee on

Appropriations, and Committee on Foreign Relations of the

Senate.

\(c\) Information from Russian Federation.\--In the case of activities

covered by the report that are carried out in the Russian Federation,

the Secretary of Energy shall, in preparing the report, include

information provided by the Russian Federation with respect to those

activities.

\(d\) Definition.\--In this section, the term \`\`threat reduction and

nonproliferation programs\'\' has the meaning given such term in section

3621\.

SEC. 3623. PLAN FOR AND COORDINATION OF CHEMICAL AND BIOLOGICAL WEAPONS

NONPROLIFERATION PROGRAMS WITH STATES OF THE FORMER

SOVIET UNION.

\(a\) Chemical and Biological Weapons Plan.\--Section 1205 of the

National Defense Authorization Act for Fiscal Year 2002 (Public Law

107-107; 115 Stat. 1247), as amended by section 1205 of the Bob Stump

National Defense Authorization Act for Fiscal Year 2003 (Public Law

107-314; 116 Stat. 2664) is amended\--

\(1\) by redesignating subsection (d) as subsection (e); and

\(2\) by inserting after subsection (c) the following new

subsection (d):

\`\`(d) Chemical and Biological Weapons.\--(1) Not later than June 1,

2004, the President shall develop with the President of the Russian

Federation and submit to Congress a comprehensive, detailed plan\--

\`\`(A) to account for, secure, and destroy all chemical and

biological weapons, and the chemical and biological materials

designed for use in such weapons, that are located in Russia

and the independent states of the former Soviet Union; and

\`\`(B) to prevent the outflow from those states of the

technology and scientific expertise that could be used for

developing those weapons, including delivery systems.

\`\`(2) The plan required by paragraph (1) shall include the

following:

\`\`(A) Specific goals and measurable objectives for the

programs that are designed to carry out the objectives

specified in subparagraphs (A) and (B) of paragraph (1).

\`\`(B) Identification of all significant obstacles to

achieving those objectives and the means for overcoming those

obstacles.

\`\`(C) Criteria for success for those programs and a

strategy for eventual termination of United States

contributions to those programs and assumption of the ongoing

support of those programs by the Russian Federation.

\`\`(D) Specification of the fiscal and other resources

necessary in each of the eight fiscal years after fiscal year

2003 to achieve those objectives, including contributions from

the international community.

\`\`(E) Arrangements for United States oversight and access

to sites.

\`\`(F) Recommendations for any changes\--

\`\`(i) in the structure or organization of the

programs for carrying out those objectives; and

\`\`(ii) in regulations or legislation that would

increase the efficiency and coordination of those

programs or would otherwise contribute to the

achievement of those objectives.

\`\`(3) In developing the plan required by paragraph (1), the

President shall consult with\--

\`\`(A) the majority and minority leadership of the

appropriate committees of Congress; and

\`\`(B) appropriate officials of the states of the former

Soviet Union.

\`\`(4)(A) The President, after consultation with the majority and

minority leadership of the appropriate committees of Congress, shall

designate a senior official of the Executive Branch, and provide that

official with sufficient authority and staffing and other resources, to

coordinate the programs referred to in paragraph (2)(A).

\`\`(B) The President shall designate that official not later than 12

months after the date of the enactment of this subsection.\'\'.

\(b\) Report Required To Cover Both Plans.\--Subsection (e) of section

1205 of the National Defense Authorization Act for Fiscal Year 2002

(Public Law 107-107; 115 Stat. 1247), as redesignated by subsection

(a), is amended\--

\(1\) in the subsection heading, by striking \`\`Plan.\--\'\' and

inserting \`\`Plans.\--\'\';

\(2\) in paragraph (1)\--

\(A\) by striking \`\`January 31, 2003,\'\' and inserting

\`\`January 31, 2005,\'\'; and

\(B\) by striking \`\`plan required by subsection (a)\'\'

and inserting \`\`plans required by subsections (a) and

(d)(1)\'\'; and

\(3\) in paragraph (2)\--

\(A\) in subparagraph (A), by striking \`\`plan

required by subsection (a)\'\' and inserting \`\`plans

required by subsections (a) and (d)(1)\'\'; and

\(B\) in subparagraphs (B), (C), and (D) by striking

\`\`plan\'\' each place it appears and inserting \`\`plans\'\'.

\(c\) Conforming Amendment.\--The heading of section 1205 of the

National Defense Authorization Act for Fiscal Year 2002 (Public Law

107-107; 115 Stat. 1247) is amended to read as follows:

\`\`SEC. 1205. PLANS FOR SECURING NUCLEAR WEAPONS, MATERIAL, AND

EXPERTISE OF, AND FOR COORDINATING CHEMICAL AND

BIOLOGICAL WEAPONS NONPROLIFERATION PROGRAMS WITH, STATES

OF THE FORMER SOVIET UNION.\'\'.

\(d\) Effective Date for First Report Covering Both Plans.\--The

amendments made by subsection (b) shall apply with respect to the first

report due after January 31, 2004.

Subtitle C\--United States\--Russia Relations

SEC. 3631. COMPREHENSIVE INVENTORIES AND DATA EXCHANGES ON NUCLEAR

WEAPONS-GRADE MATERIAL AND NUCLEAR WEAPONS.

\(a\) Findings.\--Congress finds that inventories of nuclear weapons-

grade material and nuclear weapons should be tracked in order, among

other things\--

\(1\) to make it more likely that the Russian Federation can

fully account for its entire inventory of nuclear weapons-grade

material and nuclear weapons; and

\(2\) to make it more likely that the sources of any such

material or weapons possessed or used by any foreign state or

terrorist organization can be identified.

\(b\) Statement of Policy.\--To the extent that the President

considers prudent, it is the policy of the United States to seek to

establish jointly with the Russian Federation comprehensive inventories

and data exchanges of Russian Federation and United States nuclear

weapons-grade material and nuclear weapons, with particular attention

to tactical warheads and warheads that are no longer operationally

deployed.

\(c\) Assistance in Developing Comprehensive Inventories.\--

Notwithstanding any other provision of law, the United States should

seek to work with the Russian Federation to develop comprehensive

inventories of Russian highly enriched uranium, weapons-grade

plutonium, and assembled warheads, with special attention to be focused

on tactical warheads and warheads that are no longer operationally

deployed.

\(d\) Data Exchanges.\--As part of the development of inventories

under subsection (c), to the maximum extent practicable and without

jeopardizing United States national security interests, the United

States may exchange data with the Russian Federation on categories of

material and weapons described in subsection (c).

\(e\) Report.\--Not later than 12 months after the date of the

enactment of this Act, and annually thereafter until a comprehensive

inventory is created and the information collected from the inventory

is exchanged between the United States and the Russian Federation, the

President shall submit to Congress a report, in both classified and

unclassified form as necessary, describing the progress that has been

made toward creating an inventory and exchanging the information.

SEC. 3632. ESTABLISHMENT OF DUMA-CONGRESS NUCLEAR THREAT REDUCTION

WORKING GROUP.

\(a\) Establishment of Working Group.\--There is hereby established a

working group to be known as the \`\`Nuclear Threat Reduction Working

Group\'\' as an interparliamentary group of the United States and the

Russian Federation.

\(b\) Purpose of Working Group.\--The purpose of the Working Group

established by subsection (a) shall be to explore means to enhance

cooperation between the United States and the Russian Federation with

respect to nuclear nonproliferation and security, and such other issues

related to reducing nuclear weapons dangers as the delegations from the

two legislative bodies may consider appropriate.

\(c\) Membership.\--(1) The majority leader of the Senate, after

consultation with the minority leader of the Senate, shall appoint 10

Senators to the Working Group established by subsection (a).

\(2\) The Speaker of the House of Representatives, after consultation

with the minority leader of the House of Representatives, shall appoint

30 Representatives to the Working Group.

SEC. 3633. JOINT UNITED STATES/NORTH ATLANTIC TREATY ORGANIZATION

COOPERATION WITH RUSSIA ON THEATER-LEVEL BALLISTIC

MISSILE DEFENSES.

\(a\) Policy.\--It is the policy of the United States that the

President should seek to ensure that the United States takes the lead

in arranging for the United States, in conjunction with the North

Atlantic Treaty Organization, to enter into appropriate cooperative

relationships with the Russian Federation with respect to the

development and deployment of theater-level ballistic missile defenses.

\(b\) Purpose of Cooperative Relationships.\--It is the policy of the

United States\--

\(1\) that the purpose of the cooperative relationships

described in subsection (a) is to increase transparency and

confidence with the Russian Federation;

\(2\) that United States defense and security cooperation

with the Russian Federation should contribute to defining a new

bilateral strategic framework that is not rooted in the concept

of \`\`mutual assured destruction\'\'; and

\(3\) that that new bilateral strategic framework should be

based upon improving the security of the United States and the

Russian Federation by promoting transparency and confidence

between the two countries.

\(c\) Report to Congress.\--Not later than one year after the date of

the enactment of this Act, the President shall transmit to Congress a

report (in unclassified or classified form as necessary) on the

feasibility of increasing cooperation with the Russian Federation on

the subject of theater-level ballistic missile defenses and on the

purposes and objectives set forth in subsection (b). The report shall

include\--

\(1\) recommendations from the Department of Defense and

Missile Defense Agency;

\(2\) a threat assessment; and

\(3\) an assessment of possible benefits to missile defense

programs of the United States.

SEC. 3634. ENCOURAGEMENT OF ENHANCED COLLABORATION TO ACHIEVE MORE

RELIABLE RUSSIAN EARLY WARNING SYSTEMS.

\(a\) Findings.\--Congress finds that\--

\(1\) the innovative United States-Russian space-based remote

sensor research and development program known as the Russian-

American Observation Satellite (RAMOS) program addresses a

variety of defense concerns while promoting enhanced

transparency and confidence between the United States and the

Russian Federation; and

\(2\) an initial concept of co-orbiting United States and

Russian satellites for simultaneous stereo observations is

complete and should be continued.

\(b\) Policy.\--To the exent that the President considers prudent, it

is the policy of the United States\--

\(1\) to encourage joint efforts by the United States and the

Russian Federation to reduce the chances of a Russian nuclear

attack anywhere in the world as the result of misinformation or

miscalculation by developing the capabilities and increasing

the reliability of Russian ballistic missile early-warning

systems, including the Russian-American Observation Satellite

(RAMOS) program; and

\(2\) to encourage other United States-Russian programs to

ensure that the Russia Federation has reliable information,

including real-time data, regarding launches of ballistic

missiles anywhere in the world.

\(c\) Interim RAMOS Funding.\--To the extent that the Secretary of

Defense considers prudent, the Secretary of Defense shall ensure that,

pending the execution of a new agreement between the United States and

the Russian Federation providing for the conduct of the RAMOS program,

sufficient amounts of funds appropriated for that program are used in

order to ensure the satisfactory continuation of that program during

fiscal years 2004 and 2005.

SEC. 3635. TELLER-KURCHATOV ALLIANCE FOR PEACE.

\(a\) Findings.\--Congress finds that\--

\(1\) Edward Teller of the United States and Igor Kurchatov

of the former Soviet Union were architects of the nuclear

weapons programs in their respective countries;

\(2\) these outstanding individuals both expressed a longing

for peace and opposition to war; and

\(3\) as the United States and the Russian Federation work

together to redirect the nations of the world towards the

peaceful use of nuclear energy, seeking to improve the quality

of life for all human beings, it is appropriate to establish an

alliance for peace in the names of Edward Teller and Igor

Kurchatov.

\(b\) Teller-Kurchatov Alliance for Peace.\--(1) To the extent that

the Secretary of Energy considers prudent, the Secretary shall seek to

enter into an agreement with the Minister of Atomic Energy of the

Russian Federation to carry out a cooperative venture, to be known as

the Teller-Kurchatov Alliance for Peace, to develop and promote

peaceful, safe, and environmentally sensitive uses of nuclear energy.

\(2\) The cooperative venture referred to in paragraph (1) shall

involve the national security laboratories of the National Nuclear

Security Administration and the laboratories of the Ministry of Atomic

Energy and the Kurchatov Institute of the Russian Federation.

\(3\) The cooperative venture shall be directed by two co-chairs, one

each from the United States and the Russian Federation. The co-chair

from the United States shall serve for a term of two years and shall be

designated by the Administrator for Nuclear Security from among

officials of the three national security laboratories, with each

laboratory represented on a rotating basis.

SEC. 3636. NONPROLIFERATION FELLOWSHIPS.

\(a\) In General.\--(1) From amounts made available to carry out this

section, the Administrator for Nuclear Security may carry out a program

under which the Administrator awards, to scientists employed at the

Kurchatov Institute of the Russian Federation and Lawrence Livermore

National Laboratory, international exchange fellowships, to be known as

Teller-Kurchatov Fellowships, in the nuclear nonproliferation sciences.

\(2\) The purpose of the program shall be to provide opportunities

for advancement in the field of nuclear nonproliferation to scientists

who, as demonstrated by their academic or professional achievements,

show particular promise of making significant contributions in that

field.

\(3\) A fellowship awarded to a scientist under the program shall be

for study and training at (and, where appropriate, at an institution of

higher education in the vicinity of)\--

\(A\) the Kurchatov Institute, in the case of a scientist

employed at Lawrence Livermore National Laboratory; and

\(B\) Lawrence Livermore National Laboratory, in the case of

a scientist employed at the Kurchatov Institute.

\(4\) The duration of a fellowship under the program may not exceed

two years. The Administrator may provide for a longer duration in an

individual case to the extent warranted by extraordinary circumstances,

as determined by the Administrator.

\(5\) In a calendar year, the Administrator may not award more than\--

\(A\) one fellowship to a scientist employed at the Kurchatov

Institute; and

\(B\) one fellowship to a scientist employed at Lawrence

Livermore National Laboratory.

\(6\) A fellowship under the program shall include\--

\(A\) travel expenses;

\(B\) any tuition and fees at an institution of higher

education for study or training under the fellowship; and

\(C\) any other expenses that the Administrator considers

appropriate, such as room and board.

\(b\) Funding.\--Amounts available to the Department of Energy for

defense nuclear nonproliferation activities shall be available for the

fellowships authorized by subsection (a).

\(c\) Definitions.\--In this section\--

\(1\) the term \`\`institution of higher education\'\' means a

college, university, or other educational institution that is

empowered by an appropriate authority, as determined by the

Administrator, to award degrees higher than the baccalaureate

level;

\(2\) the term \`\`nuclear nonproliferation sciences\'\' means

bodies of scientific knowledge relevant to developing or

advancing the means to prevent or impede the proliferation of

nuclear weaponry; and

\(3\) the term \`\`scientist\'\' means an individual who has a

degree from an institution of higher education in a science

that has practical application in the field of nuclear

nonproliferation.

Subtitle D\--Other Matters

SEC. 3641. PROMOTION OF DISCUSSIONS ON NUCLEAR AND RADIOLOGICAL

SECURITY AND SAFETY BETWEEN THE INTERNATIONAL ATOMIC

ENERGY AGENCY AND THE ORGANIZATION FOR ECONOMIC

COOPERATION AND DEVELOPMENT.

\(a\) Findings.\--Congress finds that\--

\(1\) cooperative programs to control potential threats from

any fissile and radiological materials, whatever and wherever

their sources, should be expanded to include additional states

and international organizations; and

\(2\) addressing issues of nuclear weapons and materials, as

well as the issue of radiological dispersal bombs, in new

forums around the world is crucial to the generation of

innovative mechanisms directed at addressing the threats.

\(b\) Sense of Congress Regarding Initiation of Dialogue Between the

IAEA and the OECD.\--It is the sense of Congress that\--

\(1\) the United States should seek to initiate discussions

between the International Atomic Energy Agency and the

Organization for Economic Cooperation and Development for the

purpose of exploring issues of nuclear and radiological

security and safety, including the creation of new sources of

revenue (including debt reduction) for states to provide

nuclear security; and

\(2\) the discussions referred to in paragraph (1) should

also provide a forum to explore possible sources of funds in

support of the G-8 Global Partnership Against the Spread of

Weapons and Materials of Mass Destruction.

\(c\) Report.\--Not later than 12 months after the date of the

enactment of this Act, the President shall submit to Congress a report

on\--

\(1\) the efforts made by the United States to initiate the

discussions described in subsection (b);

\(2\) the results of those efforts; and

\(3\) any plans for further discussions and the purposes of

such discussions.

Passed the House of Representatives May 22, 2003.

Attest:

JEFF TRANDAHL,

Clerk.