FILE h2266.enr
          --H.R.2266--
              H.R.2266
          One Hundred Fifth Congress
          of the
          United States of America
          AT THE FIRST SESSION
          Begun and held at the City of Washington on Tuesday,
          the seventh day of January, one thousand nine hundred and
          ninety-seven
          An Act
          Making appropriations for the Department of Defense for the fiscal
          year ending September 30, 1998, and for other purposes.
             [Italic->] Be it enacted by the Senate and House of
          Representatives of the United States of America in Congress
          assembled [<-Italic] , That the following sums are appropriated, 
          out of any money in the Treasury not otherwise appropriated, for 
          the fiscal year ending September 30, 1998, for military functions
          administered by the Department of Defense, and for other purposes,
          namely:
                                         TITLE I
                                   MILITARY PERSONNEL
                                MILITARY PERSONNEL, ARMY
            For pay, allowances, individual clothing, subsistence, interest 
          on deposits, gratuities, permanent change of station travel
          (including all expenses thereof for organizational movements), and
          expenses of temporary duty travel between permanent duty stations,
          for members of the Army on active duty (except members of reserve
          components provided for elsewhere), cadets, and aviation cadets; 
          and for payments pursuant to section 156 of Public Law 97-377, as
          amended (42 U.S.C. 402 note), to section 229(b) of the Social
          Security Act (42 U.S.C. 429(b)), and to the Department of Defense
          Military Retirement Fund; $20,452,057,000.
                                MILITARY PERSONNEL, NAVY
            For pay, allowances, individual clothing, subsistence, interest 
          on deposits, gratuities, permanent change of station travel
          (including all expenses thereof for organizational movements), and
          expenses of temporary duty travel between permanent duty stations,
          for members of the Navy on active duty (except members of the
          Reserve provided for elsewhere), midshipmen, and aviation cadets;
          and for payments pursuant to section 156 of Public Law 97-377, as
          amended (42 U.S.C. 402 note), to section 229(b) of the Social
          Security Act (42 U.S.C. 429(b)), and to the Department of Defense
          Military Retirement Fund; $16,493,518,000.
                            MILITARY PERSONNEL, MARINE CORPS
            For pay, allowances, individual clothing, subsistence, interest 
          on deposits, gratuities, permanent change of station travel
          (including all expenses thereof for organizational movements), and
          expenses of temporary duty travel between permanent duty stations,
          for members of the Marine Corps on active duty (except members of
          the Reserve provided for elsewhere); and for payments pursuant to
          section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note),
          to section 229(b) of the Social Security Act (42 U.S.C. 429(b)), 
          and to the Department of Defense Military Retirement Fund;
          $6,137,899,000.
                              MILITARY PERSONNEL, AIR FORCE
            For pay, allowances, individual clothing, subsistence, interest 
          on deposits, gratuities, permanent change of station travel
          (including all expenses thereof for organizational movements), and
          expenses of temporary duty travel between permanent duty stations,
          for members of the Air Force on active duty (except members of
          reserve components provided for elsewhere), cadets, and aviation
          cadets; and for payments pursuant to section 156 of Public Law
          97-377, as amended (42 U.S.C. 402 note), to section 229(b) of the
          Social Security Act (42 U.S.C. 429(b)), and to the Department of
          Defense Military Retirement Fund; $17,102,120,000.
                                 RESERVE PERSONNEL, ARMY
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Army Reserve on active
          duty under sections 10211, 10302, and 3038 of title 10, United
          States Code, or while serving on active duty under section 12301(d)
          of title 10, United States Code, in connection with performing duty
          specified in section 12310(a) of title 10, United States Code, or
          while undergoing reserve training, or while performing drills or
          equivalent duty or other duty, and for members of the Reserve
          Officers' Training Corps, and expenses authorized by section 16131
          of title 10, United States Code; and for payments to the Department
          of Defense Military Retirement Fund; $2,032,046,000.
                                 RESERVE PERSONNEL, NAVY
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Navy Reserve on active
          duty under section 10211 of title 10, United States Code, or while
          serving on active duty under section 12301(d) of title 10, United
          States Code, in connection with performing duty specified in 
          section 12310(a) of title 10, United States Code, or while
          undergoing reserve training, or while performing drills or
          equivalent duty, and for members of the Reserve Officers' Training
          Corps, and expenses authorized by section 16131 of title 10, United
          States Code; and for payments to the Department of Defense Military
          Retirement Fund; $1,376,601,000.
                             RESERVE PERSONNEL, MARINE CORPS
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Marine Corps Reserve on
          active duty under section 10211 of title 10, United States Code, or
          while serving on active duty under section 12301(d) of title 10,
          United States Code, in connection with performing duty specified in
          section 12310(a) of title 10, United States Code, or while
          undergoing reserve training, or while performing drills or
          equivalent duty, and for members of the Marine Corps platoon 
          leaders class, and expenses authorized by section 16131 of title 
          10, United States Code; and for payments to the Department of
          Defense Military Retirement Fund; $391,770,000.
                              RESERVE PERSONNEL, AIR FORCE
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Air Force Reserve on
          active duty under sections 10211, 10305, and 8038 of title 10,
          United States Code, or while serving on active duty under section
          12301(d) of title 10, United States Code, in connection with
          performing duty specified in section 12310(a) of title 10, United
          States Code, or while undergoing reserve training, or while
          performing drills or equivalent duty or other duty, and for members
          of the Air Reserve Officers' Training Corps, and expenses 
          authorized by section 16131 of title 10, United States Code; and 
          for payments to the Department of Defense Military Retirement Fund;
          $815,915,000.
                             NATIONAL GUARD PERSONNEL, ARMY
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Army National Guard while
          on duty under section 10211, 10302, or 12402 of title 10 or section
          708 of title 32, United States Code, or while serving on duty under
          section 12301(d) of title 10 or section 502(f) of title 32, United
          States Code, in connection with performing duty specified in 
          section 12310(a) of title 10, United States Code, or while
          undergoing training, or while performing drills or equivalent duty
          or other duty, and expenses authorized by section 16131 of title 
          10, United States Code; and for payments to the Department of
          Defense Military Retirement Fund; $3,333,867,000.
                           NATIONAL GUARD PERSONNEL, AIR FORCE
            For pay, allowances, clothing, subsistence, gratuities, travel,
          and related expenses for personnel of the Air National Guard on 
          duty under section 10211, 10305, or 12402 of title 10 or section 
          708 of title 32, United States Code, or while serving on duty under
          section 12301(d) of title 10 or section 502(f) of title 32, United
          States Code, in connection with performing duty specified in 
          section 12310(a) of title 10, United States Code, or while
          undergoing training, or while performing drills or equivalent duty
          or other duty, and expenses authorized by section 16131 of title 
          10, United States Code; and for payments to the Department of
          Defense Military Retirement Fund; $1,334,712,000.
                                        TITLE II
                                OPERATION AND MAINTENANCE
                             OPERATION AND MAINTENANCE, ARMY
                              (INCLUDING TRANSFER OF FUNDS)
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance of the Army, as authorized by law; and 
          not to exceed $11,437,000 can be used for emergencies and
          extraordinary expenses, to be expended on the approval or authority
          of the Secretary of the Army, and payments may be made on his
          certificate of necessity for confidential military purposes;
          $16,754,306,000 and, in addition, $50,000,000 shall be derived by
          transfer from the National Defense Stockpile Transaction Fund: 
          [Italic->] Provided [<-Italic] , That of the funds appropriated in
          this paragraph, not less than $300,000,000 shall be made available
          only for conventional ammunition care and maintenance.
                             OPERATION AND MAINTENANCE, NAVY
                              (INCLUDING TRANSFER OF FUNDS)
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance of the Navy and the Marine Corps, as
          authorized by law; and not to exceed $5,500,000 can be used for
          emergencies and extraordinary expenses, to be expended on the
          approval or authority of the Secretary of the Navy, and payments 
          may be made on his certificate of necessity for confidential
          military purposes; $21,617,766,000 and, in addition, $50,000,000
          shall be derived by transfer from the National Defense Stockpile
          Transaction Fund.
                         OPERATION AND MAINTENANCE, MARINE CORPS
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance of the Marine Corps, as authorized by 
          law; $2,372,635,000.
                          OPERATION AND MAINTENANCE, AIR FORCE
                              (INCLUDING TRANSFER OF FUNDS)
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance of the Air Force, as authorized by law;
          and not to exceed $8,362,000 can be used for emergencies and
          extraordinary expenses, to be expended on the approval or authority
          of the Secretary of the Air Force, and payments may be made on his
          certificate of necessity for confidential military purposes;
          $18,492,883,000 and, in addition, $50,000,000 shall be derived by
          transfer from the National Defense Stockpile Transaction Fund.
                         OPERATION AND MAINTENANCE, DEFENSE-WIDE
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance of activities and agencies of the
          Department of Defense (other than the military departments), as
          authorized by law; $10,369,740,000, of which not to exceed
          $25,000,000 may be available for the CINC initiative fund account;
          and of which not to exceed $28,850,000 can be used for emergencies
          and extraordinary expenses, to be expended on the approval or
          authority of the Secretary of Defense, and payments may be made on
          his certificate of necessity for confidential military purposes.
                         OPERATION AND MAINTENANCE, ARMY RESERVE
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance, including training, organization, and
          administration, of the Army Reserve; repair of facilities and
          equipment; hire of passenger motor vehicles; travel and
          transportation; care of the dead; recruiting; procurement of
          services, supplies, and equipment; and communications;
          $1,207,891,000.
                         OPERATION AND MAINTENANCE, NAVY RESERVE
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance, including training, organization, and
          administration, of the Navy Reserve; repair of facilities and
          equipment; hire of passenger motor vehicles; travel and
          transportation; care of the dead; recruiting; procurement of
          services, supplies, and equipment; and communications; $921,711,000.
                     OPERATION AND MAINTENANCE, MARINE CORPS RESERVE
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance, including training, organization, and
          administration, of the Marine Corps Reserve; repair of facilities
          and equipment; hire of passenger motor vehicles; travel and
          transportation; care of the dead; recruiting; procurement of
          services, supplies, and equipment; and communications; $116,366,000.
                      OPERATION AND MAINTENANCE, AIR FORCE RESERVE
            For expenses, not otherwise provided for, necessary for the
          operation and maintenance, including training, organization, and
          administration, of the Air Force Reserve; repair of facilities and
          equipment; hire of passenger motor vehicles; travel and
          transportation; care of the dead; recruiting; procurement of
          services, supplies, and equipment; and communications;
          $1,632,030,000.
                     OPERATION AND MAINTENANCE, ARMY NATIONAL GUARD
            For expenses of training, organizing, and administering the Army
          National Guard, including medical and hospital treatment and 
          related expenses in non-Federal hospitals; maintenance, operation,
          and repairs to structures and facilities; hire of passenger motor
          vehicles; personnel services in the National Guard Bureau; travel
          expenses (other than mileage), as authorized by law for Army
          personnel on active duty, for Army National Guard division,
          regimental, and battalion commanders while inspecting units in
          compliance with National Guard Bureau regulations when specifically
          authorized by the Chief, National Guard Bureau; supplying and
          equipping the Army National Guard as authorized by law; and 
          expenses of repair, modification, maintenance, and issue of 
          supplies and equipment (including aircraft); $2,419,632,000: 
          [Italic->] Provided [<-Italic] , That not later than March 15, 
          1998, the Director of the Army National Guard shall provide a 
          report to the congressional defense committees identifying the
          allocation, by installation and activity, of all base operations
          funds appropriated under this heading.
                      OPERATION AND MAINTENANCE, AIR NATIONAL GUARD
            For operation and maintenance of the Air National Guard, 
          including medical and hospital treatment and related expenses in
          non-Federal hospitals; maintenance, operation, repair, and other
          necessary expenses of facilities for the training and 
          administration of the Air National Guard, including repair of
          facilities, maintenance, operation, and modification of aircraft;
          transportation of things, hire of passenger motor vehicles;
          supplies, materials, and equipment, as authorized by law for the 
          Air National Guard; and expenses incident to the maintenance and 
          use of supplies, materials, and equipment, including such as may be
          furnished from stocks under the control of agencies of the
          Department of Defense; travel expenses (other than mileage) on the
          same basis as authorized by law for Air National Guard personnel on
          active Federal duty, for Air National Guard commanders while
          inspecting units in compliance with National Guard Bureau
          regulations when specifically authorized by the Chief, National
          Guard Bureau; $3,013,282,000.
                      OVERSEAS CONTINGENCY OPERATIONS TRANSFER FUND
                              (INCLUDING TRANSFER OF FUNDS)
            For expenses directly relating to Overseas Contingency Operations
          by United States military forces; $1,884,000,000:  [Italic->]
          Provided [<-Italic] , That the Secretary of Defense may transfer
          these funds only to operation and maintenance accounts within this
          title, and working capital funds:  [Italic->] Provided further
          [<-Italic] , That the funds transferred shall be merged with and
          shall be available for the same purposes and for the same time
          period, as the appropriation to which transferred:  [Italic->]
          Provided further [<-Italic] , That the transfer authority provided
          in this paragraph is in addition to any other transfer authority
          contained elsewhere in this Act.
                   UNITED STATES COURT OF APPEALS FOR THE ARMED FORCES
            For salaries and expenses necessary for the United States Court 
          of Appeals for the Armed Forces; $6,952,000, of which not to exceed
          $2,500 can be used for official representation purposes.
                             ENVIRONMENTAL RESTORATION, ARMY
                              (INCLUDING TRANSFER OF FUNDS)
            For the Department of the Army, $375,337,000, to remain available
          until transferred:  [Italic->] Provided [<-Italic] , That the
          Secretary of the Army shall, upon determining that such funds are
          required for environmental restoration, reduction and recycling of
          hazardous waste, removal of unsafe buildings and debris of the
          Department of the Army, or for similar purposes, transfer the funds
          made available by this appropriation to other appropriations made
          available to the Department of the Army, to be merged with and to 
          be available for the same purposes and for the same time period as
          the appropriations to which transferred:  [Italic->] Provided
          further [<-Italic] , That upon a determination that all or part of
          the funds transferred from this appropriation are not necessary for
          the purposes provided herein, such amounts may be transferred back
          to this appropriation:  [Italic->] Provided further [<-Italic] ,
          That not more than twenty-five per centum of funds provided under
          this heading may be obligated for environmental remediation by the
          Corps of Engineers under total environmental remediation contracts.
                             ENVIRONMENTAL RESTORATION, NAVY
                              (INCLUDING TRANSFER OF FUNDS)
            For the Department of the Navy, $275,500,000, to remain available
          until transferred:  [Italic->] Provided [<-Italic] , That the
          Secretary of the Navy shall, upon determining that such funds are
          required for environmental restoration, reduction and recycling of
          hazardous waste, removal of unsafe buildings and debris of the
          Department of the Navy, or for similar purposes, transfer the funds
          made available by this appropriation to other appropriations made
          available to the Department of the Navy, to be merged with and to 
          be available for the same purposes and for the same time period as
          the appropriations to which transferred:  [Italic->] Provided
          further [<-Italic] , That upon a determination that all or part of
          the funds transferred from this appropriation are not necessary for
          the purposes provided herein, such amounts may be transferred back
          to this appropriation.
                          ENVIRONMENTAL RESTORATION, AIR FORCE
                              (INCLUDING TRANSFER OF FUNDS)
            For the Department of the Air Force, $376,900,000, to remain
          available until transferred:  [Italic->] Provided [<-Italic] , That
          the Secretary of the Air Force shall, upon determining that such
          funds are required for environmental restoration, reduction and
          recycling of hazardous waste, removal of unsafe buildings and 
          debris of the Department of the Air Force, or for similar purposes,
          transfer the funds made available by this appropriation to other
          appropriations made available to the Department of the Air Force, 
          to be merged with and to be available for the same purposes and for
          the same time period as the appropriations to which transferred: 
          [Italic->] Provided further [<-Italic] , That upon a determination
          that all or part of the funds transferred from this appropriation
          are not necessary for the purposes provided herein, such amounts 
          may be transferred back to this appropriation.
                         ENVIRONMENTAL RESTORATION, DEFENSE-WIDE
                              (INCLUDING TRANSFER OF FUNDS)
            For the Department of Defense, $26,900,000, to remain available
          until transferred:  [Italic->] Provided [<-Italic] , That the
          Secretary of Defense shall, upon determining that such funds are
          required for environmental restoration, reduction and recycling of
          hazardous waste, removal of unsafe buildings and debris of the
          Department of Defense, or for similar purposes, transfer the funds
          made available by this appropriation to other appropriations made
          available to the Department of Defense, to be merged with and to be
          available for the same purposes and for the same time period as the
          appropriations to which transferred:  [Italic->] Provided further
          [<-Italic] , That upon a determination that all or part of the 
          funds transferred from this appropriation are not necessary for the
          purposes provided herein, such amounts may be transferred back to
          this appropriation.
                 ENVIRONMENTAL RESTORATION, FORMERLY USED DEFENSE SITES
                              (INCLUDING TRANSFER OF FUNDS)
            For the Department of the Army, $242,300,000, to remain available
          until transferred:  [Italic->] Provided [<-Italic] , That the
          Secretary of the Army shall, upon determining that such funds are
          required for environmental restoration, reduction and recycling of
          hazardous waste, removal of unsafe buildings and debris at sites
          formerly used by the Department of Defense, transfer the funds made
          available by this appropriation to other appropriations made
          available to the Department of the Army, to be merged with and to 
          be available for the same purposes and for the same time period as
          the appropriations to which transferred:  [Italic->] Provided
          further [<-Italic] , That upon a determination that all or part of
          the funds transferred from this appropriation are not necessary for
          the purposes provided herein, such amounts may be transferred back
          to this appropriation.
                     OVERSEAS HUMANITARIAN, DISASTER, AND CIVIC AID
            For expenses relating to the Overseas Humanitarian, Disaster, and
          Civic Aid programs of the Department of Defense (consisting of the
          programs provided under sections 401, 402, 404, 2547, and 2551 of
          title 10, United States Code); $47,130,000, to remain available
          until September 30, 1999.
                          FORMER SOVIET UNION THREAT REDUCTION
            For assistance to the republics of the former Soviet Union,
          including assistance provided by contract or by grants, for
          facilitating the elimination and the safe and secure transportation
          and storage of nuclear, chemical and other weapons; for 
          establishing programs to prevent the proliferation of weapons,
          weapons components, and weapon-related technology and expertise; 
          for programs relating to the training and support of defense and
          military personnel for demilitarization and protection of weapons,
          weapons components and weapons technology and expertise;
          $382,200,000, to remain available until September 30, 2000: 
          [Italic->] Provided [<-Italic] , That of the amounts provided under
          this heading, $35,000,000 shall be available only to support the
          dismantling and disposal of nuclear submarines and submarine 
          reactor components in the Russian Far East:  [Italic->] Provided
          further [<-Italic] , That of the amounts provided under this
          heading, $5,000,000 shall be available only for the Arctic Military
          Environmental Cooperation Program.
                          QUALITY OF LIFE ENHANCEMENTS, DEFENSE
           For expenses, not otherwise provided for, resulting from unfunded
          shortfalls in the repair and maintenance of real property of the
          Department of Defense (including military housing and barracks);
          $360,000,000, for the maintenance of real property of the 
          Department of Defense (including minor construction and major
          maintenance and repair), which shall remain available for 
          obligation until September 30, 1999, as follows:
                Army, $100,000,000;
                Navy, $70,000,000;
                Marine Corps, $45,000,000; and
                Air Force, $145,000,000.
                                        TITLE III
                                       PROCUREMENT
                               AIRCRAFT PROCUREMENT, ARMY
            For construction, procurement, production, modification, and
          modernization of aircraft, equipment, including ordnance, ground
          handling equipment, spare parts, and accessories therefor;
          specialized equipment and training devices; expansion of public and
          private plants, including the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $1,346,317,000, to
          remain available for obligation until September 30, 2000.
                                MISSILE PROCUREMENT, ARMY
            For construction, procurement, production, modification, and
          modernization of missiles, equipment, including ordnance, ground
          handling equipment, spare parts, and accessories therefor;
          specialized equipment and training devices; expansion of public and
          private plants, including the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $762,409,000, to
          remain available for obligation until September 30, 2000.
                PROCUREMENT OF WEAPONS AND TRACKED COMBAT VEHICLES, ARMY
            For construction, procurement, production, and modification of
          weapons and tracked combat vehicles, equipment, including ordnance,
          spare parts, and accessories therefor; specialized equipment and
          training devices; expansion of public and private plants, including
          the land necessary therefor, for the foregoing purposes, and such
          lands and interests therein, may be acquired, and construction
          prosecuted thereon prior to approval of title; and procurement and
          installation of equipment, appliances, and machine tools in public
          and private plants; reserve plant and Government and
          contractor-owned equipment layaway; and other expenses necessary 
          for the foregoing purposes; $1,298,707,000, to remain available for
          obligation until September 30, 2000.
                             PROCUREMENT OF AMMUNITION, ARMY
            For construction, procurement, production, and modification of
          ammunition, and accessories therefor; specialized equipment and
          training devices; expansion of public and private plants, including
          ammunition facilities authorized by section 2854 of title 10, 
          United States Code, and the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $1,037,202,000, to
          remain available for obligation until September 30, 2000.
                                 OTHER PROCUREMENT, ARMY
            For construction, procurement, production, and modification of
          vehicles, including tactical, support, and non-tracked combat
          vehicles; communications and electronic equipment; other support
          equipment; spare parts, ordnance, and accessories therefor;
          specialized equipment and training devices; expansion of public and
          private plants, including the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $2,679,130,000, to
          remain available for obligation until September 30, 2000.
                               AIRCRAFT PROCUREMENT, NAVY
            For construction, procurement, production, modification, and
          modernization of aircraft, equipment, including ordnance, spare
          parts, and accessories therefor; specialized equipment; expansion 
          of public and private plants, including the land necessary 
          therefor, and such lands and interests therein, may be acquired, 
          and construction prosecuted thereon prior to approval of title; and
          procurement and installation of equipment, appliances, and machine
          tools in public and private plants; reserve plant and Government 
          and contractor-owned equipment layaway; $6,535,444,000, to remain
          available for obligation until September 30, 2000.
                                WEAPONS PROCUREMENT, NAVY
            For construction, procurement, production, modification, and
          modernization of missiles, torpedoes, other weapons, and related
          support equipment including spare parts, and accessories therefor;
          expansion of public and private plants, including the land 
          necessary therefor, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; $1,102,193,000,
          to remain available for obligation until September 30, 2000.
                    PROCUREMENT OF AMMUNITION, NAVY AND MARINE CORPS
            For construction, procurement, production, and modification of
          ammunition, and accessories therefor; specialized equipment and
          training devices; expansion of public and private plants, including
          ammunition facilities authorized by section 2854 of title 10, 
          United States Code, and the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $397,547,000, to
          remain available for obligation until September 30, 2000.
                            SHIPBUILDING AND CONVERSION, NAVY
            For expenses necessary for the construction, acquisition, or
          conversion of vessels as authorized by law, including armor and
          armament thereof, plant equipment, appliances, and machine tools 
          and installation thereof in public and private plants; reserve 
          plant and Government and contractor-owned equipment layaway;
          procurement of critical, long leadtime components and designs for
          vessels to be constructed or converted in the future; and expansion
          of public and private plants, including land necessary therefor, 
          and such lands and interests therein, may be acquired, and
          construction prosecuted thereon prior to approval of title, as
          follows:
                For continuation of the SSN-21 attack submarine program,
              $153,444,000;
                NSSN, $2,314,903,000;
                NSSN (AP), $284,859,000;
                CVN-77 (AP), $50,000,000;
                CVN Refuelings, $1,615,003,000;
                CVN Refuelings (AP), $46,855,000;
                DDG-51 destroyer program, $3,411,200,000;
                DDG-51 destroyer program (AP), $157,806,000;
                LPD-17 amphibious transport dock ship (AP), $100,000,000;
                Oceanographic ship program (AP), $16,000,000;
                LCAC landing craft air cushion program, $20,000,000; and
                For craft, outfitting, post delivery, conversions, and first
              destination transportation, $137,521,000;
          In all: $8,235,591,000, to remain available for obligation until
          September 30, 2002:  [Italic->] Provided [<-Italic] , That
          additional obligations may be incurred after September 30, 2002, 
          for engineering services, tests, evaluations, and other such
          budgeted work that must be performed in the final stage of ship
          construction:  [Italic->] Provided further [<-Italic] , That none 
          of the funds provided under this heading for the construction or
          conversion of any naval vessel to be constructed in shipyards in 
          the United States shall be expended in foreign facilities for the
          construction of major components of such vessel:  [Italic->]
          Provided further [<-Italic] , That none of the funds provided under
          this heading shall be used for the construction of any naval vessel
          in foreign shipyards.
                                 OTHER PROCUREMENT, NAVY
            For procurement, production, and modernization of support
          equipment and materials not otherwise provided for, Navy ordnance
          (except ordnance for new aircraft, new ships, and ships authorized
          for conversion); the purchase of not to exceed 194 passenger motor
          vehicles for replacement only; and the purchase of one vehicle
          required for physical security of personnel, notwithstanding price
          limitations applicable to passenger vehicles but not to exceed
          $232,340 per vehicle; expansion of public and private plants,
          including the land necessary therefor, and such lands and interests
          therein, may be acquired, and construction prosecuted thereon prior
          to approval of title; and procurement and installation of 
          equipment, appliances, and machine tools in public and private
          plants; reserve plant and Government and contractor-owned equipment
          layaway; $3,144,205,000, to remain available for obligation until
          September 30, 2000.
                                PROCUREMENT, MARINE CORPS
            For expenses necessary for the procurement, manufacture, and
          modification of missiles, armament, military equipment, spare 
          parts, and accessories therefor; plant equipment, appliances, and
          machine tools, and installation thereof in public and private
          plants; reserve plant and Government and contractor-owned equipment
          layaway; vehicles for the Marine Corps, including the purchase of
          not to exceed 40 passenger motor vehicles for replacement only; and
          expansion of public and private plants, including land necessary
          therefor, and such lands and interests therein, may be acquired, 
          and construction prosecuted thereon prior to approval of title;
          $482,398,000, to remain available for obligation until September 
          30, 2000.
                             AIRCRAFT PROCUREMENT, AIR FORCE
            For construction, procurement, and modification of aircraft and
          equipment, including armor and armament, specialized ground 
          handling equipment, and training devices, spare parts, and
          accessories therefor; specialized equipment; expansion of public 
          and private plants, Government-owned equipment and installation
          thereof in such plants, erection of structures, and acquisition of
          land, for the foregoing purposes, and such lands and interests
          therein, may be acquired, and construction prosecuted thereon prior
          to approval of title; reserve plant and Government and
          contractor-owned equipment layaway; and other expenses necessary 
          for the foregoing purposes including rents and transportation of
          things; $6,480,983,000, to remain available for obligation until
          September 30, 2000:  [Italic->] Provided [<-Italic] , That of the
          funds made available under this heading, $331,000,000 shall be
          available for long lead activities related to the procurement of
          additional B-2 bombers:  [Italic->] Provided further [<-Italic] ,
          That if the President determines that no additional B-2 bombers
          should be procured during this fiscal year, and he certifies to the
          Congress his decision, the funding described in the previous 
          proviso shall be made available to modify and repair the existing
          fleet of B-2 bombers.
                             MISSILE PROCUREMENT, AIR FORCE
            For construction, procurement, and modification of missiles,
          spacecraft, rockets, and related equipment, including spare parts
          and accessories therefor, ground handling equipment, and training
          devices; expansion of public and private plants, Government-owned
          equipment and installation thereof in such plants, erection of
          structures, and acquisition of land, for the foregoing purposes, 
          and such lands and interests therein, may be acquired, and
          construction prosecuted thereon prior to approval of title; reserve
          plant and Government and contractor-owned equipment layaway; and
          other expenses necessary for the foregoing purposes including rents
          and transportation of things; $2,394,202,000, to remain available
          for obligation until September 30, 2000.
                          PROCUREMENT OF AMMUNITION, AIR FORCE
            For construction, procurement, production, and modification of
          ammunition, and accessories therefor; specialized equipment and
          training devices; expansion of public and private plants, including
          ammunition facilities authorized by section 2854 of title 10, 
          United States Code, and the land necessary therefor, for the
          foregoing purposes, and such lands and interests therein, may be
          acquired, and construction prosecuted thereon prior to approval of
          title; and procurement and installation of equipment, appliances,
          and machine tools in public and private plants; reserve plant and
          Government and contractor-owned equipment layaway; and other
          expenses necessary for the foregoing purposes; $398,534,000, to
          remain available for obligation until September 30, 2000.
                              OTHER PROCUREMENT, AIR FORCE
            For procurement and modification of equipment (including ground
          guidance and electronic control equipment, and ground electronic 
          and communication equipment), and supplies, materials, and spare
          parts therefor, not otherwise provided for; the purchase of not to
          exceed 196 passenger motor vehicles for replacement only; the
          purchase of one vehicle required for physical security of 
          personnel, notwithstanding price limitations applicable to 
          passenger vehicles but not to exceed $232,340 per vehicle; and
          expansion of public and private plants, Government-owned equipment
          and installation thereof in such plants, erection of structures, 
          and acquisition of land, for the foregoing purposes, and such lands
          and interests therein, may be acquired, and construction prosecuted
          thereon, prior to approval of title; reserve plant and Government
          and contractor-owned equipment layaway; $6,592,909,000, to remain
          available for obligation until September 30, 2000.
                                PROCUREMENT, DEFENSE-WIDE
            For expenses of activities and agencies of the Department of
          Defense (other than the military departments) necessary for
          procurement, production, and modification of equipment, supplies,
          materials, and spare parts therefor, not otherwise provided for; 
          the purchase of not to exceed 381 passenger motor vehicles for
          replacement only; expansion of public and private plants, 
          equipment, and installation thereof in such plants, erection of
          structures, and acquisition of land for the foregoing purposes, and
          such lands and interests therein, may be acquired, and construction
          prosecuted thereon prior to approval of title; reserve plant and
          Government and contractor-owned equipment layaway; $2,106,444,000,
          to remain available for obligation until September 30, 2000.
                          NATIONAL GUARD AND RESERVE EQUIPMENT
            For procurement of aircraft, missiles, tracked combat vehicles,
          ammunition, other weapons, and other procurement for the reserve
          components of the Armed Forces; $653,000,000, to remain available
          for obligation until September 30, 2000:  [Italic->] Provided
          [<-Italic] , That the Chiefs of the Reserve and National Guard
          components shall, not later than 30 days after the enactment of 
          this Act, individually submit to the congressional defense
          committees the modernization priority assessment for their
          respective Reserve or National Guard component.
                                        TITLE IV
                       RESEARCH, DEVELOPMENT, TEST AND EVALUATION
                    RESEARCH, DEVELOPMENT, TEST AND EVALUATION, ARMY
            For expenses necessary for basic and applied scientific research,
          development, test and evaluation, including maintenance,
          rehabilitation, lease, and operation of facilities and equipment;
          $5,156,507,000, to remain available for obligation until September
          30, 1999.
                    RESEARCH, DEVELOPMENT, TEST AND EVALUATION, NAVY
            For expenses necessary for basic and applied scientific research,
          development, test and evaluation, including maintenance,
          rehabilitation, lease, and operation of facilities and equipment;
          $8,115,686,000, to remain available for obligation until September
          30, 1999:  [Italic->] Provided [<-Italic] , That funds appropriated
          in this paragraph which are available for the V-22 may be used to
          meet unique requirements of the Special Operations Forces.
                  RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE
            For expenses necessary for basic and applied scientific research,
          development, test and evaluation, including maintenance,
          rehabilitation, lease, and operation of facilities and equipment;
          $14,507,804,000, to remain available for obligation until September
          30, 1999:  [Italic->] Provided [<-Italic] , That of the funds made
          available in this paragraph, $4,000,000 shall be only for
          development of coal-derived jet fuel technologies.
                RESEARCH, DEVELOPMENT, TEST AND EVALUATION, DEFENSE-WIDE
            For expenses of activities and agencies of the Department of
          Defense (other than the military departments), necessary for basic
          and applied scientific research, development, test and evaluation;
          advanced research projects as may be designated and determined by
          the Secretary of Defense, pursuant to law; maintenance,
          rehabilitation, lease, and operation of facilities and equipment;
          $9,821,760,000, to remain available for obligation until September
          30, 1999:  [Italic->] Provided [<-Italic] , That not less than
          $409,898,000 of the funds appropriated in this paragraph shall be
          made available only for the Sea-Based Wide Area Defense (Navy
          Upper-Tier) Program:  [Italic->] Provided further [<-Italic] , That
          funds appropriated for the Dual-Use Applications Program under
          section 5803 of the Treasury, Postal Service, and General 
          Government Appropriations Act, 1997 (Public Law 104-208), shall
          remain available for obligation until September 30, 1998.
                       DEVELOPMENTAL TEST AND EVALUATION, DEFENSE
            For expenses, not otherwise provided for, of independent
          activities of the Director, Test and Evaluation in the direction 
          and supervision of developmental test and evaluation, including
          performance and joint developmental testing and evaluation; and
          administrative expenses in connection therewith; $258,183,000, to
          remain available for obligation until September 30, 1999.
                        OPERATIONAL TEST AND EVALUATION, DEFENSE
            For expenses, not otherwise provided for, necessary for the
          independent activities of the Director, Operational Test and
          Evaluation in the direction and supervision of operational test and
          evaluation, including initial operational test and evaluation which
          is conducted prior to, and in support of, production decisions;
          joint operational testing and evaluation; and administrative
          expenses in connection therewith; $31,384,000, to remain available
          for obligation until September 30, 1999.
                                         TITLE V
                             REVOLVING AND MANAGEMENT FUNDS
                              DEFENSE WORKING CAPITAL FUNDS
            For the Defense Working Capital Funds; $971,952,000.
                              NATIONAL DEFENSE SEALIFT FUND
            For National Defense Sealift Fund programs, projects, and
          activities, and for expenses of the National Defense Reserve Fleet,
          as established by section 11 of the Merchant Ship Sales Act of 1946
          (50 U.S.C. App. 1744); $1,074,948,000, to remain available until
          expended:  [Italic->] Provided [<-Italic] , That none of the funds
          provided in this paragraph shall be used to award a new contract
          that provides for the acquisition of any of the following major
          components unless such components are manufactured in the United
          States: auxiliary equipment, including pumps, for all shipboard
          services; propulsion system components (that is; engines, reduction
          gears, and propellers); shipboard cranes; and spreaders for
          shipboard cranes:  [Italic->] Provided further [<-Italic] , That 
          the exercise of an option in a contract awarded through the
          obligation of previously appropriated funds shall not be considered
          to be the award of a new contract:  [Italic->] Provided further
          [<-Italic] , That the Secretary of the military department
          responsible for such procurement may waive these restrictions on a
          case-by-case basis by certifying in writing to the Committees on
          Appropriations of the House of Representatives and the Senate, that
          adequate domestic supplies are not available to meet Department of
          Defense requirements on a timely basis and that such an acquisition
          must be made in order to acquire capability for national security
          purposes.
                                        TITLE VI
                          OTHER DEPARTMENT OF DEFENSE PROGRAMS
                                 DEFENSE HEALTH PROGRAM
            For expenses, not otherwise provided for, for medical and health
          care programs of the Department of Defense, as authorized by law;
          $10,369,075,000, of which $10,095,007,000 shall be for Operation 
          and maintenance, of which not to exceed two per centum shall remain
          available until September 30, 1999, and of which $274,068,000, to
          remain available for obligation until September 30, 2000, shall be
          for Procurement.
                   CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, DEFENSE
            For expenses, not otherwise provided for, necessary for the
          destruction of the United States stockpile of lethal chemical 
          agents and munitions in accordance with the provisions of section
          1412 of the Department of Defense Authorization Act, 1986 (50 
          U.S.C. 1521), and for the destruction of other chemical warfare
          materials that are not in the chemical weapon stockpile,
          $600,700,000, of which $462,200,000 shall be for Operation and
          maintenance, $72,200,000 shall be for Procurement to remain
          available until September 30, 2000, and $66,300,000 shall be for
          Research, development, test and evaluation to remain available 
          until September 30, 1999:  [Italic->] Provided [<-Italic] , That of
          the funds available under this heading, $1,000,000 shall be
          available until expended each year only for a Johnston Atoll
          off-island leave program:  [Italic->] Provided further [<-Italic] ,
          That the Secretaries concerned shall, pursuant to uniform
          regulations, prescribe travel and transportation allowances for
          travel by participants in the off-island leave program.
                 DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES, DEFENSE
                              (INCLUDING TRANSFER OF FUNDS)
            For drug interdiction and counter-drug activities of the
          Department of Defense, for transfer to appropriations available to
          the Department of Defense for military personnel of the reserve
          components serving under the provisions of title 10 and title 32,
          United States Code; for Operation and maintenance; for Procurement;
          and for Research, development, test and evaluation; $712,882,000: 
          [Italic->] Provided [<-Italic] , That the funds appropriated under
          this head shall be available for obligation for the same time 
          period and for the same purpose as the appropriation to which
          transferred:  [Italic->] Provided further [<-Italic] , That the
          transfer authority provided in this paragraph is in addition to any
          transfer authority contained elsewhere in this Act.
                             OFFICE OF THE INSPECTOR GENERAL
            For expenses and activities of the Office of the Inspector 
          General in carrying out the provisions of the Inspector General Act
          of 1978, as amended; $138,380,000, of which $136,580,000 shall be
          for Operation and maintenance, of which not to exceed $500,000 is
          available for emergencies and extraordinary expenses to be expended
          on the approval or authority of the Inspector General, and payments
          may be made on his certificate of necessity for confidential
          military purposes; and of which $1,800,000, to remain available
          until September 30, 2000, shall be for Procurement.
                                        TITLE VII
                                    RELATED AGENCIES
            CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM FUND
            For payment to the Central Intelligence Agency Retirement and
          Disability System Fund, to maintain proper funding level for
          continuing the operation of the Central Intelligence Agency
          Retirement and Disability System; $196,900,000.
                        INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT
                              (INCLUDING TRANSFER OF FUNDS)
            For necessary expenses of the Intelligence Community Management
          Account; $121,080,000, of which $39,011,000 for the Advanced
          Research and Development Committee and the Environmental
          Intelligence and Applications Program shall remain available until
          September 30, 1999:  [Italic->] Provided [<-Italic] , That of the
          funds appropriated under this heading, $27,000,000 shall be
          transferred to the Department of Justice for the National Drug
          Intelligence Center to support the Department of Defense's
          counter-drug intelligence responsibilities, and of the said amount,
          $1,500,000 for Procurement shall remain available until September
          30, 2000, and $3,000,000 for Research, development, test and
          evaluation shall remain available until September 30, 1999.
                PAYMENT TO KAHO'OLAWE ISLAND CONVEYANCE, REMEDIATION, AND
                             ENVIRONMENTAL RESTORATION FUND
            For payment to Kaho'olawe Island Conveyance, Remediation, and
          Environmental Restoration Fund, as authorized by law; $35,000,000,
          to remain available until expended.
                         NATIONAL SECURITY EDUCATION TRUST FUND
            For the purposes of title VIII of Public Law 102-183, $2,000,000,
          to be derived from the National Security Education Trust Fund, to
          remain available until expended.
                                       TITLE VIII
                                   GENERAL PROVISIONS
            SEC. 8001. No part of any appropriation contained in this Act
          shall be used for publicity or propaganda purposes not authorized 
          by the Congress.
            SEC. 8002. During the current fiscal year, provisions of law
          prohibiting the payment of compensation to, or employment of, any
          person not a citizen of the United States shall not apply to
          personnel of the Department of Defense:  [Italic->] Provided
          [<-Italic] , That salary increases granted to direct and indirect
          hire foreign national employees of the Department of Defense funded
          by this Act shall not be at a rate in excess of the percentage
          increase authorized by law for civilian employees of the Department
          of Defense whose pay is computed under the provisions of section
          5332 of title 5, United States Code, or at a rate in excess of the
          percentage increase provided by the appropriate host nation to its
          own employees, whichever is higher:  [Italic->] Provided further
          [<-Italic] , That this section shall not apply to Department of
          Defense foreign service national employees serving at United States
          diplomatic missions whose pay is set by the Department of State
          under the Foreign Service Act of 1980:  [Italic->] Provided further
          [<-Italic] , That the limitations of this provision shall not apply
          to foreign national employees of the Department of Defense in the
          Republic of Turkey.
            SEC. 8003. No part of any appropriation contained in this Act
          shall remain available for obligation beyond the current fiscal
          year, unless expressly so provided herein.
            SEC. 8004. No more than 20 per centum of the appropriations in
          this Act which are limited for obligation during the current fiscal
          year shall be obligated during the last two months of the fiscal
          year:  [Italic->] Provided [<-Italic] , That this section shall not
          apply to obligations for support of active duty training of reserve
          components or summer camp training of the Reserve Officers' 
          Training Corps.
                                   (TRANSFER OF FUNDS)
            SEC. 8005. Upon determination by the Secretary of Defense that
          such action is necessary in the national interest, he may, with the
          approval of the Office of Management and Budget, transfer not to
          exceed $2,000,000,000 of working capital funds of the Department of
          Defense or funds made available in this Act to the Department of
          Defense for military functions (except military construction)
          between such appropriations or funds or any subdivision thereof, to
          be merged with and to be available for the same purposes, and for
          the same time period, as the appropriation or fund to which
          transferred:  [Italic->] Provided [<-Italic] , That such authority
          to transfer may not be used unless for higher priority items, based
          on unforeseen military requirements, than those for which 
          originally appropriated and in no case where the item for which
          funds are requested has been denied by Congress:  [Italic->]
          Provided further [<-Italic] , That the Secretary of Defense shall
          notify the Congress promptly of all transfers made pursuant to this
          authority or any other authority in this Act:  [Italic->] Provided
          further [<-Italic] , That no part of the funds in this Act shall be
          available to prepare or present a request to the Committees on
          Appropriations for reprogramming of funds, unless for higher
          priority items, based on unforeseen military requirements, than
          those for which originally appropriated and in no case where the
          item for which reprogramming is requested has been denied by the
          Congress:  [Italic->] Provided further [<-Italic] , That of the
          authority provided under this section, not to exceed $65,000,000
          shall be available to meet requirements for termination of the
          Reserve Mobilization Insurance Program, notwithstanding chapter 
          1214 of title 10, United States Code.
                                   (TRANSFER OF FUNDS)
            SEC. 8006. During the current fiscal year, cash balances in
          working capital funds of the Department of Defense established
          pursuant to section 2208 of title 10, United States Code, may be
          maintained in only such amounts as are necessary at any time for
          cash disbursements to be made from such funds:  [Italic->] Provided
          [<-Italic] , That transfers may be made between such funds: 
          [Italic->] Provided further [<-Italic] , That transfers may be made
          between working capital funds and the `Foreign Currency
          Fluctuations, Defense' appropriation and the `Operation and
          Maintenance' appropriation accounts in such amounts as may be
          determined by the Secretary of Defense, with the approval of the
          Office of Management and Budget, except that such transfers may not
          be made unless the Secretary of Defense has notified the Congress 
          of the proposed transfer. Except in amounts equal to the amounts
          appropriated to working capital funds in this Act, no obligations
          may be made against a working capital fund to procure or increase
          the value of war reserve material inventory, unless the Secretary 
          of Defense has notified the Congress prior to any such obligation.
            SEC. 8007. Funds appropriated by this Act may not be used to
          initiate a special access program without prior notification 30
          calendar days in session in advance to the congressional defense
          committees.
            SEC. 8008. (a) None of the funds provided in this Act shall be
          available to initiate: (1) a multiyear contract that employs
          economic order quantity procurement in excess of $20,000,000 in any
          one year of the contract or that includes an unfunded contingent
          liability in excess of $20,000,000; or (2) a contract for advance
          procurement leading to a multiyear contract that employs economic
          order quantity procurement in excess of $20,000,000 in any one 
          year, unless the congressional defense committees have been 
          notified at least 30 days in advance of the proposed contract 
          award:  [Italic->] Provided [<-Italic] , That no part of any
          appropriation contained in this Act shall be available to initiate 
          a multiyear contract for which the economic order quantity advance
          procurement is not funded at least to the limits of the 
          Government's liability:  [Italic->] Provided further [<-Italic] ,
          That no part of any appropriation contained in this Act shall be
          available to initiate multiyear procurement contracts for any
          systems or component thereof if the value of the multiyear contract
          would exceed $500,000,000 unless specifically provided in this A
          ct:  [Italic->] Provided further [<-Italic] , That no multiyear
          procurement contract can be terminated without 10-day prior
          notification to the congressional defense committees:  [Italic->]
          Provided further [<-Italic] , That the execution of multiyear
          authority shall require the use of a present value analysis to
          determine lowest cost compared to an annual procurement.
            Funds appropriated in title III of this Act may be used for
          multiyear procurement contracts as follows:
                Apache Longbow radar;
                AV-8B aircraft; and
                Family of Medium Tactical Vehicles.
            (b) None of the funds provided in this Act and hereafter may be
          used to submit to Congress (or to any committee of Congress) a
          request for authority to enter into a contract covered by those
          provisions of subsection (a) that precede the first proviso of that
          subsection unless--
                (1) such request is made as part of the submission of the
              President's Budget for the United States Government for any
              fiscal year and is set forth in the Appendix to that budget as
              part of proposed legislative language for appropriations bills
              for the next fiscal year; or
                (2) such request is formally submitted by the President as a
              budget amendment; or
                (3) the Secretary of Defense makes such request in writing to
              the congressional defense committees.
            SEC. 8009. Within the funds appropriated for the operation and
          maintenance of the Armed Forces, funds are hereby appropriated
          pursuant to section 401 of title 10, United States Code, for
          humanitarian and civic assistance costs under chapter 20 of title
          10, United States Code. Such funds may also be obligated for
          humanitarian and civic assistance costs incidental to authorized
          operations and pursuant to authority granted in section 401 of
          chapter 20 of title 10, United States Code, and these obligations
          shall be reported to Congress on September 30 of each year: 
          [Italic->] Provided [<-Italic] , That funds available for operation
          and maintenance shall be available for providing humanitarian and
          similar assistance by using Civic Action Teams in the Trust
          Territories of the Pacific Islands and freely associated states of
          Micronesia, pursuant to the Compact of Free Association as
          authorized by Public Law 99-239:  [Italic->] Provided further
          [<-Italic] , That upon a determination by the Secretary of the Army
          that such action is beneficial for graduate medical education
          programs conducted at Army medical facilities located in Hawaii, 
          the Secretary of the Army may authorize the provision of medical
          services at such facilities and transportation to such facilities,
          on a nonreimbursable basis, for civilian patients from American
          Samoa, the Commonwealth of the Northern Mariana Islands, the
          Marshall Islands, the Federated States of Micronesia, Palau, and
          Guam.
            SEC. 8010. (a) During fiscal year 1998, the civilian personnel of
          the Department of Defense may not be managed on the basis of any
          end-strength, and the management of such personnel during that
          fiscal year shall not be subject to any constraint or limitation
          (known as an end-strength) on the number of such personnel who may
          be employed on the last day of such fiscal year.
            (b) The fiscal year 1999 budget request for the Department of
          Defense as well as all justification material and other
          documentation supporting the fiscal year 1999 Department of Defense
          budget request shall be prepared and submitted to the Congress as 
          if subsections (a) and (b) of this provision were effective with
          regard to fiscal year 1999.
            (c) Nothing in this section shall be construed to apply to
          military (civilian) technicians.
            SEC. 8011. Notwithstanding any other provision of law, none of 
          the funds made available by this Act shall be used by the 
          Department of Defense to exceed, outside the 50 United States, its
          territories, and the District of Columbia, 125,000 civilian
          workyears:  [Italic->] Provided [<-Italic] , That workyears shall 
          be applied as defined in the Federal Personnel Manual:  [Italic->]
          Provided further [<-Italic] , That workyears expended in dependent
          student hiring programs for disadvantaged youths shall not be
          included in this workyear limitation.
            SEC. 8012. None of the funds made available by this Act shall be
          used in any way, directly or indirectly, to influence congressional
          action on any legislation or appropriation matters pending before
          the Congress.
            SEC. 8013. (a) None of the funds appropriated by this Act shall 
          be used to make contributions to the Department of Defense 
          Education Benefits Fund pursuant to section 2006(g) of title 10,
          United States Code, representing the normal cost for future 
          benefits under section 3015(c) of title 38, United States Code, for
          any member of the armed services who, on or after the date of
          enactment of this Act--
                (1) enlists in the armed services for a period of  active 
              duty of less than three years; or
                (2) receives an enlistment bonus under section 308a  or 308f
              of title 37, United States Code,
          nor shall any amounts representing the normal cost of such future
          benefits be transferred from the Fund by the Secretary of the
          Treasury to the Secretary of Veterans Affairs pursuant to section
          2006(d) of title 10, United States Code; nor shall the Secretary of
          Veterans Affairs pay such benefits to any such member:  [Italic->]
          Provided [<-Italic] , That in the case of a member covered by 
          clause (1), these limitations shall not apply to members in combat
          arms skills or to members who enlist in the armed services on or
          after July 1, 1989, under a program continued or established by the
          Secretary of Defense in fiscal year 1991 to test the cost-effective
          use of special recruiting incentives involving not more than
          nineteen noncombat arms skills approved in advance by the Secretary
          of Defense:  [Italic->] Provided further [<-Italic] , That this
          subsection applies only to active components of the Army.
            (b) None of the funds appropriated by this Act shall be available
          for the basic pay and allowances of any member of the Army
          participating as a full-time student and receiving benefits paid by
          the Secretary of Veterans Affairs from the Department of Defense
          Education Benefits Fund when time spent as a full-time student is
          credited toward completion of a service commitment:  [Italic->]
          Provided [<-Italic] , That this subsection shall not apply to those
          members who have reenlisted with this option prior to October 1,
          1987:  [Italic->] Provided further [<-Italic] , That this 
          subsection applies only to active components of the Army.
            SEC. 8014. None of the funds appropriated by this Act shall be
          available to convert to contractor performance an activity or
          function of the Department of Defense that, on or after the date of
          enactment of this Act, is performed by more than ten Department of
          Defense civilian employees until a most efficient and 
          cost-effective organization analysis is completed on such activity
          or function and certification of the analysis is made to the
          Committees on Appropriations of the House of Representatives and 
          the Senate:  [Italic->] Provided [<-Italic] , That this section
          shall not apply to a commercial or industrial type function of the
          Department of Defense that: (1) is included on the procurement list
          established pursuant to section 2 of the Act of June 25, 1938 (41
          U.S.C. 47), popularly referred to as the Javits-Wagner-O'Day Act;
          (2) is planned to be converted to performance by a qualified
          nonprofit agency for the blind or by a qualified nonprofit agency
          for other severely handicapped individuals in accordance with that
          Act; or (3) is planned to be converted to performance by a 
          qualified firm under 51 per centum Native American ownership.
                                   (TRANSFER OF FUNDS)
            SEC. 8015. Funds appropriated in title III of this Act for the
          Department of Defense Pilot Mentor-Protege Program may be
          transferred to any other appropriation contained in this Act solely
          for the purpose of implementing a Mentor-Protege Program
          developmental assistance agreement pursuant to section 831 of the
          National Defense Authorization Act for Fiscal Year 1991 (Public Law
          101-510; 10 U.S.C. 2301 note), as amended, under the authority of
          this provision or any other transfer authority contained in this Act.
            SEC. 8016. None of the funds in this Act may be available for the
          purchase by the Department of Defense (and its departments and
          agencies) of welded shipboard anchor and mooring chain 4 inches in
          diameter and under unless the anchor and mooring chain are
          manufactured in the United States from components which are
          substantially manufactured in the United States:  [Italic->]
          Provided [<-Italic] , That for the purpose of this section
          manufactured will include cutting, heat treating, quality control,
          testing of chain and welding (including the forging and shot
          blasting process):  [Italic->] Provided further [<-Italic] , That
          for the purpose of this section substantially all of the components
          of anchor and mooring chain shall be considered to be produced or
          manufactured in the United States if the aggregate cost of the
          components produced or manufactured in the United States exceeds 
          the aggregate cost of the components produced or manufactured
          outside the United States:  [Italic->] Provided further [<-Italic] 
          , That when adequate domestic supplies are not available to meet
          Department of Defense requirements on a timely basis, the Secretary
          of the service responsible for the procurement may waive this
          restriction on a case-by-case basis by certifying in writing to the
          Committees on Appropriations that such an acquisition must be made
          in order to acquire capability for national security purposes.
            SEC. 8017. None of the funds appropriated by this Act available
          for the Civilian Health and Medical Program of the Uniformed
          Services (CHAMPUS) shall be available for the reimbursement of any
          health care provider for inpatient mental health service for care
          received when a patient is referred to a provider of inpatient
          mental health care or residential treatment care by a medical or
          health care professional having an economic interest in the 
          facility to which the patient is referred:  [Italic->] Provided
          [<-Italic] , That this limitation does not apply in the case of
          inpatient mental health services provided under the program for the
          handicapped under subsection (d) of section 1079 of title 10, 
          United States Code, provided as partial hospital care, or provided
          pursuant to a waiver authorized by the Secretary of Defense because
          of medical or psychological circumstances of the patient that are
          confirmed by a health professional who is not a Federal employee
          after a review, pursuant to rules prescribed by the Secretary, 
          which takes into account the appropriate level of care for the
          patient, the intensity of services required by the patient, and the
          availability of that care.
            SEC. 8018. Funds available in this Act may be used to provide
          transportation for the next-of-kin of individuals who have been
          prisoners of war or missing in action from the Vietnam era to an
          annual meeting in the United States, under such regulations as the
          Secretary of Defense may prescribe.
            SEC. 8019. Notwithstanding any other provision of law, during the
          current fiscal year, the Secretary of Defense may, by executive
          agreement, establish with host nation governments in NATO member
          states a separate account into which such residual value amounts
          negotiated in the return of United States military installations in
          NATO member states may be deposited, in the currency of the host
          nation, in lieu of direct monetary transfers to the United States
          Treasury:  [Italic->] Provided [<-Italic] , That such credits may 
          be utilized only for the construction of facilities to support
          United States military forces in that host nation, or such real
          property maintenance and base operating costs that are currently
          executed through monetary transfers to such host nations: 
          [Italic->] Provided further [<-Italic] , That the Department of
          Defense's budget submission for fiscal year 1999 shall identify 
          such sums anticipated in residual value settlements, and identify
          such construction, real property maintenance or base operating 
          costs that shall be funded by the host nation through such c
          redits:  [Italic->] Provided further [<-Italic] , That all military
          construction projects to be executed from such accounts must be
          previously approved in a prior Act of Congress:  [Italic->] 
          Provided further [<-Italic] , That each such executive agreement
          with a NATO member host nation shall be reported to the
          congressional defense committees, the Committee on International
          Relations of the House of Representatives and the Committee on
          Foreign Relations of the Senate 30 days prior to the conclusion and
          endorsement of any such agreement established under this provision.
            SEC. 8020. None of the funds available to the Department of
          Defense may be used to demilitarize or dispose of M-1 Carbines, M-1
          Garand rifles, M-14 rifles, .22 caliber rifles, .30 caliber rifles,
          or M-1911 pistols.
            SEC. 8021. Notwithstanding any other provision of law, none of 
          the funds appropriated by this Act shall be available to pay more
          than 50 per centum of an amount paid to any person under section 
          308 of title 37, United States Code, in a lump sum.
            SEC. 8022. No more than $500,000 of the funds appropriated or 
          made available in this Act shall be used during a single fiscal 
          year for any single relocation of an organization, unit, activity 
          or function of the Department of Defense into or within the 
          National Capital Region:  [Italic->] Provided [<-Italic] , That the
          Secretary of Defense may waive this restriction on a case-by-case
          basis by certifying in writing to the congressional defense
          committees that such a relocation is required in the best interest
          of the Government.
            SEC. 8023. A member of a reserve component whose unit or whose
          residence is located in a State which is not contiguous with 
          another State is authorized to travel in a space required status on
          aircraft of the Armed Forces between home and place of inactive 
          duty training, or place of duty in lieu of unit training assembly,
          when there is no road or railroad transportation (or combination of
          road and railroad transportation between those locations): 
          [Italic->] Provided [<-Italic] , That a member traveling in that
          status on a military aircraft pursuant to the authority provided in
          this section is not authorized to receive travel, transportation, 
          or per diem allowances in connection with that travel.
            SEC. 8024. In addition to funds provided elsewhere in this Act,
          $8,000,000 is appropriated only for incentive payments authorized 
          by section 504 of the Indian Financing Act of 1974, 25 U.S.C. 1
          544:  [Italic->] Provided [<-Italic] , That these payments shall be
          available only to contractors which have submitted subcontracting
          plans pursuant to 15 U.S.C. 637(d), and according to regulations
          which shall be promulgated by the Secretary of Defense within 90
          days of the passage of this Act:  [Italic->] Provided further
          [<-Italic] , That contractors participating in the test program
          established by section 854 of Public Law 101-189 (15 U.S.C. 637
          note) shall be eligible for the program established by section 504
          of the Indian Financing Act of 1974 (25 U.S.C. 1544).
            SEC. 8025. During the current fiscal year, none of the funds
          available to the Department of Defense may be used to procure or
          acquire (1) defensive handguns unless such handguns are the M-9 or
          M-11 9mm Department of Defense standard handguns, or (2) offensive
          handguns except for the Special Operations Forces:  [Italic->]
          Provided [<-Italic] , That the foregoing shall not apply to 
          handguns and ammunition for marksmanship competitions.
            SEC. 8026. During the current fiscal year, funds appropriated or
          otherwise available for any Federal agency, the Congress, the
          judicial branch, or the District of Columbia may be used for the
          pay, allowances, and benefits of an employee as defined by section
          2105 of title 5, United States Code, or an individual employed by
          the government of the District of Columbia, permanent or temporary
          indefinite, who--
                (1) is a member of a Reserve component of the Armed  Forces,
              as described in section 10101 of title 10, United States Code,
              or the  National Guard, as described in section 101 of title  32;
                (2) performs, for the purpose of providing military  aid to
              enforce the law or providing assistance to civil  authorities 
              in the protection or saving of life or  property or prevention
              of injury--
                    (A) Federal service under sections 331,  332, 333, or
                  12406 of title 10, or other  provision of law, as
                  applicable; or
                    (B) full-time military service for his or  her State, the
                  District of Columbia, the  Commonwealth of Puerto Rico, or 
                  a territory of  the United States; and
                (3) requests and is granted--
                    (A) leave under the authority of this  section; or
                    (B) annual leave, which may be granted  without regard to
                  the provisions of sections  5519 and 6323(b) of title 5, if
                  such employee  is otherwise entitled to such annual leave:
           [Italic->] Provided [<-Italic] , That any employee who requests
          leave under subsection (3)(A) for service described in subsection
          (2) of this section is entitled to such leave, subject to the
          provisions of this section and of the last sentence of section
          6323(b) of title 5, and such leave shall be considered leave under
          section 6323(b) of title 5.
            SEC. 8027. None of the funds appropriated by this Act shall be
          available to perform any cost study pursuant to the provisions of
          OMB Circular A-76 if the study being performed exceeds a period of
          24 months after initiation of such study with respect to a single
          function activity or 48 months after initiation of such study for a
          multi-function activity.
            SEC. 8028. Funds appropriated by this Act for the American Forces
          Information Service shall not be used for any national or
          international political or psychological activities.
            SEC. 8029. Notwithstanding any other provision of law or
          regulation, the Secretary of Defense may adjust wage rates for
          civilian employees hired for certain health care occupations as
          authorized for the Secretary of Veterans Affairs by section 7455 of
          title 38, United States Code.
            SEC. 8030. None of the funds appropriated or made available in
          this Act shall be used to reduce or disestablish the operation of
          the 53rd Weather Reconnaissance Squadron of the Air Force Reserve,
          if such action would reduce the WC-130 Weather Reconnaissance
          mission below the levels funded in this Act.
            SEC. 8031. (a) Of the funds for the procurement of supplies or
          services appropriated by this Act, qualified nonprofit agencies for
          the blind or other severely handicapped shall be afforded the
          maximum practicable opportunity to participate as subcontractors 
          and suppliers in the performance of contracts let by the Department
          of Defense.
            (b) During the current fiscal year, a business concern which has
          negotiated with a military service or defense agency a
          subcontracting plan for the participation by small business 
          concerns pursuant to section 8(d) of the Small Business Act (15
          U.S.C. 637(d)) shall be given credit toward meeting that
          subcontracting goal for any purchases made from qualified nonprofit
          agencies for the blind or other severely handicapped.
            (c) For the purpose of this section, the phrase `qualified
          nonprofit agency for the blind or other severely handicapped' means
          a nonprofit agency for the blind or other severely handicapped that
          has been approved by the Committee for the Purchase from the Blind
          and Other Severely Handicapped under the Javits-Wagner-O'Day Act 
          (41 U.S.C. 46-48).
            SEC. 8032. During the current fiscal year, net receipts pursuant
          to collections from third party payers pursuant to section 1095 of
          title 10, United States Code, shall be made available to the local
          facility of the uniformed services responsible for the collections
          and shall be over and above the facility's direct budget amount.
            SEC. 8033. During the current fiscal year, the Department of
          Defense is authorized to incur obligations of not to exceed
          $350,000,000 for purposes specified in section 2350j(c) of title 
          10, United States Code, in anticipation of receipt of 
          contributions, only from the Government of Kuwait, under that
          section:  [Italic->] Provided [<-Italic] , That, upon receipt, such
          contributions from the Government of Kuwait shall be credited to 
          the appropriations or fund which incurred such obligations.
            SEC. 8034. Of the funds made available in this Act, not less than
          $26,247,000 shall be available for the Civil Air Patrol, of which
          $22,702,000 shall be available for operation and maintenance.
            SEC. 8035. (a) None of the funds appropriated in this Act are
          available to establish a new Department of Defense (department)
          federally funded research and development center (FFRDC), either as
          a new entity, or as a separate entity administrated by an
          organization managing another FFRDC, or as a nonprofit membership
          corporation consisting of a consortium of other FFRDCs and other
          non-profit entities.
            (b) Limitation on Compensation-Federally Funded Research and
          Development Center (FFRDC)- No member of a Board of Directors,
          Trustees, Overseers, Advisory Group, Special Issues Panel, Visiting
          Committee, or any similar entity of a defense FFRDC, and no paid
          consultant to any defense FFRDC, may be compensated for his or her
          services as a member of such entity, or as a paid consultant, 
          except under the same conditions, and to the same extent, as 
          members of the Defense Science Board:  [Italic->] Provided
          [<-Italic] , That a member of any such entity referred to 
          previously in this subsection shall be allowed travel expenses and
          per diem as authorized under the Federal Joint Travel Regulations,
          when engaged in the performance of membership duties.
            (c) Notwithstanding any other provision of law, none of the funds
          available to the department from any source during fiscal year 1998
          may be used by a defense FFRDC, through a fee or other payment
          mechanism, for charitable contributions, for construction of new
          buildings, for payment of cost sharing for projects funded by
          Government grants, or for absorption of contract overruns.
            (d) Notwithstanding any other provision of law, of the funds
          available to the department during fiscal year 1998, not more than
          6,206 staff years of technical effort (staff years) may be funded
          for defense FFRDCs:  [Italic->] Provided [<-Italic] , That of the
          specific amount referred to previously in this subsection, not more
          than 1,105 staff years may be funded for the defense studies and
          analysis FFRDCs.
            (e) Notwithstanding any other provision of law, the Secretary of
          Defense shall control the total number of staff years to be
          performed by defense FFRDCs during fiscal year 1998 so as to reduce
          the total amounts appropriated in titles II, III, and IV of this 
          Act by $71,800,000:  [Italic->] Provided [<-Italic] , That the 
          total amounts appropriated in titles II, III, and IV of this Act 
          are hereby reduced by $71,800,000 to reflect savings from the use 
          of defense FFRDCs by the department.
            (f) Within 60 days after enactment of this Act, the Secretary of
          Defense shall submit to the congressional defense committees a
          report presenting the specific amounts of staff years of technical
          effort to be allocated by the department for each defense FFRDC
          during fiscal year 1998:  [Italic->] Provided [<-Italic] , That,
          after the submission of the report required by this subsection, the
          department may not reallocate more than five per centum of an
          FFRDC's staff years among other defense FFRDCs until 30 days after 
          a detailed justification for any such reallocation is submitted to
          the congressional defense committees.
            (g) The Secretary of Defense shall, with the submission of the
          department's fiscal year 1999 budget request, submit a report
          presenting the specific amounts of staff years of technical effort
          to be allocated for each defense FFRDC during that fiscal year.
            (h) No part of the reductions contained in subsection (e) of this
          section may be applied against any budget activity, activity group,
          subactivity group, line item, program element, program, project,
          subproject or activity which does not fund defense FFRDC activities
          within each appropriation account, and the reductions in subsection
          (e) shall be allocated on a proportional basis.
            (i) Not later than 90 days after enactment of this Act, the
          Secretary of Defense shall submit to the congressional defense
          committees a report listing the specific funding reductions
          allocated to each category listed in subsection (h) above pursuant
          to this section.
            SEC. 8036. None of the funds in this or any other Act shall be
          available for the preparation of studies on--
                (1) the cost effectiveness or feasibility of removal and
              transportation  of unitary chemical weapons or agents from the 
              8 chemical storage sites within the continental United  States
              to Johnston Atoll:  [Italic->] Provided [<-Italic] , That this 
              prohibition shall not apply to General Accounting  Office
              studies requested by a Member of Congress or a  Congressional
              Committee; and
                (2) the potential future uses of the 9 chemical  disposal
              facilities other than for the destruction of  stockpile 
              chemical munitions and as limited by section  1412(c)(2), 
              Public Law 99-145:  [Italic->] Provided [<-Italic] , That this 
              prohibition does not apply to future use studies for  the CAMDS
              facility at Tooele, Utah.
            SEC. 8037. None of the funds appropriated or made available in
          this Act shall be used to procure carbon, alloy or armor steel 
          plate for use in any Government-owned facility or property under 
          the control of the Department of Defense which were not melted and
          rolled in the United States or Canada:  [Italic->] Provided
          [<-Italic] , That these procurement restrictions shall apply to any
          and all Federal Supply Class 9515, American Society of Testing and
          Materials (ASTM) or American Iron and Steel Institute (AISI)
          specifications of carbon, alloy or armor steel plate:  [Italic->]
          Provided further [<-Italic] , That the Secretary of the military
          department responsible for the procurement may waive this
          restriction on a case-by-case basis by certifying in writing to the
          Committees on Appropriations of the House of Representatives and 
          the Senate that adequate domestic supplies are not available to 
          meet Department of Defense requirements on a timely basis and that
          such an acquisition must be made in order to acquire capability for
          national security purposes:  [Italic->] Provided further [<-Italic]
          , That these restrictions shall not apply to contracts which are in
          being as of the date of enactment of this Act.
            SEC. 8038. For the purposes of this Act, the term `congressional
          defense committees' means the National Security Committee of the
          House of Representatives, the Armed Services Committee of the
          Senate, the Subcommittee on Defense of the Committee on
          Appropriations of the Senate, and the Subcommittee on National
          Security of the Committee on Appropriations of the House of
          Representatives.
            SEC. 8039. During the current fiscal year, the Department of
          Defense may acquire the modification, depot maintenance and repair
          of aircraft, vehicles and vessels as well as the production of
          components and other Defense-related articles, through competition
          between Department of Defense depot maintenance activities and
          private firms:  [Italic->] Provided [<-Italic] , That the Senior
          Acquisition Executive of the military department or defense agency
          concerned, with power of delegation, shall certify that successful
          bids include comparable estimates of all direct and indirect costs
          for both public and private bids:  [Italic->] Provided further
          [<-Italic] , That Office of Management and Budget Circular A-76
          shall not apply to competitions conducted under this section.
            SEC. 8040. (a)(1) If the Secretary of Defense, after consultation
          with the United States Trade Representative, determines that a
          foreign country which is party to an agreement described in
          paragraph (2) has violated the terms of the agreement by
          discriminating against certain types of products produced in the
          United States that are covered by the agreement, the Secretary of
          Defense shall rescind the Secretary's blanket waiver of the Buy
          American Act with respect to such types of products produced in 
          that foreign country.
            (2) An agreement referred to in paragraph (1) is any reciprocal
          defense procurement memorandum of understanding, between the United
          States and a foreign country pursuant to which the Secretary of
          Defense has prospectively waived the Buy American Act for certain
          products in that country.
            (b) The Secretary of Defense shall submit to Congress a report on
          the amount of Department of Defense purchases from foreign entities
          in fiscal year 1998. Such report shall separately indicate the
          dollar value of items for which the Buy American Act was waived
          pursuant to any agreement described in subsection (a)(2), the Trade
          Agreement Act of 1979 (19 U.S.C. 2501 et seq.), or any 
          international agreement to which the United States is a party.
            (c) For purposes of this section, the term `Buy American Act'
          means title III of the Act entitled `An Act making appropriations
          for the Treasury and Post Office Departments for the fiscal year
          ending June 30, 1934, and for other purposes', approved March 3,
          1933 (41 U.S.C. 10a et seq.).
            SEC. 8041. The total amounts appropriated in titles II, III, and
          IV of this Act are hereby reduced by $300,000,000 to reflect 
          savings from the use of advisory and assistance services by the
          Department of Defense:  [Italic->] Provided [<-Italic] , That the
          savings shall be applied to the following titles in the following
          amounts:
                Title II, Operation and Maintenance, $112,000,000;
                Title III, Procurement, $62,000,000; and
                Title IV, Research, Development, Test and Evaluation,
              $126,000,000:
           [Italic->] Provided further [<-Italic] , That the savings 
          specified shall be applied only to funds budgeted to purchase
          advisory and assistance services:  [Italic->] Provided further
          [<-Italic] , That the savings shall be applied on a pro-rata basis
          to each program, project and activity which included budget funds
          for advisory and assistance services.
            SEC. 8042. Appropriations contained in this Act that remain
          available at the end of the current fiscal year as a result of
          energy cost savings realized by the Department of Defense shall
          remain available for obligation for the next fiscal year to the
          extent, and for the purposes, provided in section 2865 of title 10,
          United States Code.
            SEC. 8043. Notwithstanding any other provision of this Act, the
          amounts provided in all appropriation accounts in titles III and IV
          of this Act are reduced by 1.5 percent:  [Italic->] Provided
          [<-Italic] , That these reductions shall be applied on a pro-rata
          basis to each line item, program element, program, project,
          subproject, and activity within each appropriation account: 
          [Italic->] Provided further [<-Italic] , That not later than 60 
          days after the enactment of this Act, the Undersecretary of Defense
          (Comptroller) shall submit a report to the congressional defense
          committees listing the specific funding reductions allocated to 
          each category listed in the preceding proviso pursuant to this
          section.
                              (INCLUDING TRANSFER OF FUNDS)
            SEC. 8044. Amounts deposited during the current fiscal year to 
          the special account established under 40 U.S.C. 485(h)(2) and to 
          the special account established under 10 U.S.C. 2667(d)(1) are
          appropriated and shall be available until transferred by the
          Secretary of Defense to current applicable appropriations or funds
          of the Department of Defense under the terms and conditions
          specified by 40 U.S.C. 485(h)(2)(A) and (B) and 10 U.S.C.
          2667(d)(1)(B), to be merged with and to be available for the same
          time period and the same purposes as the appropriation to which
          transferred.
            SEC. 8045. During the current fiscal year, appropriations
          available to the Department of Defense may be used to reimburse a
          member of a reserve component of the Armed Forces who is not
          otherwise entitled to travel and transportation allowances and who
          occupies transient government housing while performing active duty
          for training or inactive duty training:  [Italic->] Provided
          [<-Italic] , That such members may be provided lodging in kind if
          transient government quarters are unavailable as if the member was
          entitled to such allowances under subsection (a) of section 404 of
          title 37, United States Code:  [Italic->] Provided further
          [<-Italic] , That if lodging in kind is provided, any authorized
          service charge or cost of such lodging may be paid directly from
          funds appropriated for operation and maintenance of the reserve
          component of the member concerned.
            SEC. 8046. The President shall include with each budget for a
          fiscal year submitted to the Congress under section 1105 of title
          31, United States Code, materials that shall identify clearly and
          separately the amounts requested in the budget for appropriation 
          for that fiscal year for salaries and expenses related to
          administrative activities of the Department of Defense, the 
          military departments, and the Defense Agencies.
            SEC. 8047. Notwithstanding any other provision of law, funds
          available for `Drug Interdiction and Counter-Drug Activities,
          Defense' may be obligated for the Young Marines program.
            SEC. 8048. Notwithstanding any other provision of this Act, the
          total amount appropriated in title IV of this Act is hereby reduced
          by $474,000,000:  [Italic->] Provided [<-Italic] , That each 
          program element, program, project, subproject, and activity funded
          in title IV of this Act shall be allocated a pro-rata share of any
          of the reductions made by this section:  [Italic->] Provided 
          further [<-Italic] , That not later than 60 days after the 
          enactment of this Act, the Undersecretary of Defense (Comptroller)
          shall submit a report to the congressional defense committees
          listing the specific funding reductions allocated to each category
          listed in the preceding proviso pursuant to this section.
            SEC. 8049. During the current fiscal year, amounts contained in
          the Department of Defense Overseas Military Facility Investment
          Recovery Account established by section 2921(c)(1) of the National
          Defense Authorization Act of 1991 (Public Law 101-510; 10 U.S.C.
          2687 note) shall be available until expended for the payments
          specified by section 2921(c)(2) of that Act.
            SEC. 8050. Of the funds appropriated or otherwise made available
          by this Act, not more than $119,200,000 shall be available for
          payment of the operating costs of NATO Headquarters:  [Italic->]
          Provided [<-Italic] , That the Secretary of Defense may waive this
          section for Department of Defense support provided to NATO forces 
          in and around the former Yugoslavia.
            SEC. 8051. During the current fiscal year, appropriations which
          are available to the Department of Defense for operation and
          maintenance may be used to purchase items having an investment item
          unit cost of not more than $100,000.
            SEC. 8052. (a) During the current fiscal year, none of the
          appropriations or funds available to the Department of Defense
          Working Capital Funds shall be used for the purchase of an
          investment item for the purpose of acquiring a new inventory item
          for sale or anticipated sale during the current fiscal year or a
          subsequent fiscal year to customers of the Department of Defense
          Working Capital Funds if such an item would not have been 
          chargeable to the Department of Defense Business Operations Fund
          during fiscal year 1994 and if the purchase of such an investment
          item would be chargeable during the current fiscal year to
          appropriations made to the Department of Defense for procurement.
            (b) The fiscal year 1999 budget request for the Department of
          Defense as well as all justification material and other
          documentation supporting the fiscal year 1999 Department of Defense
          budget shall be prepared and submitted to the Congress on the basis
          that any equipment which was classified as an end item and funded 
          in a procurement appropriation contained in this Act shall be
          budgeted for in a proposed fiscal year 1999 procurement
          appropriation and not in the supply management business area or any
          other area or category of the Department of Defense Working Capital
          Funds.
            SEC. 8053. None of the funds provided in this Act and hereafter
          shall be available for use by a military department to modify an
          aircraft, weapon, ship or other item of equipment, that the 
          military department concerned plans to retire or otherwise dispose
          of within 5 years after completion of the modification:  [Italic->]
          Provided [<-Italic] , That this prohibition shall not apply to
          safety modifications:  [Italic->] Provided further [<-Italic] , 
          That this prohibition may be waived by the Secretary of a military
          department if the Secretary determines it is in the best national
          security interest of the United States to provide such waiver and 
          so notifies the congressional defense committees in writing.
            SEC. 8054. None of the funds appropriated by this Act for 
          programs of the Central Intelligence Agency shall remain available
          for obligation beyond the current fiscal year, except for funds
          appropriated for the Reserve for Contingencies, which shall remain
          available until September 30, 1999.
            SEC. 8055. Notwithstanding any other provision of law, funds made
          available in this Act for the Defense Intelligence Agency may be
          used for the design, development, and deployment of General Defense
          Intelligence Program intelligence communications and intelligence
          information systems for the Services, the Unified and Specified
          Commands, and the component commands.
            SEC. 8056. Of the funds appropriated by the Department of Defense
          under the heading `OPERATION AND MAINTENANCE, DEFENSE-WIDE', not
          less than $8,000,000 shall be made available only for the 
          mitigation of environmental impacts, including training and
          technical assistance to tribes, related administrative support, the
          gathering of information, documenting of environmental damage, and
          developing a system for prioritization of mitigation and cost to
          complete estimates for mitigation, on Indian lands resulting from
          Department of Defense activities.
            SEC. 8057. Amounts collected for the use of the facilities of the
          National Science Center for Communications and Electronics during
          the current fiscal year pursuant to section 1459(g) of the
          Department of Defense Authorization Act, 1986, and deposited to the
          special account established under subsection 1459(g)(2) of that Act
          are appropriated and shall be available until expended for the
          operation and maintenance of the Center as provided for in
          subsection 1459(g)(2).
            SEC. 8058. None of the funds appropriated in this Act may be used
          to fill the commander's position at any military medical facility
          with a health care professional unless the prospective candidate 
          can demonstrate professional administrative skills.
            SEC. 8059. (a) None of the funds appropriated in this Act may be
          expended by an entity of the Department of Defense unless the
          entity, in expending the funds, complies with the Buy American Act.
          For purposes of this subsection, the term `Buy American Act' means
          title III of the Act entitled `An Act making appropriations for the
          Treasury and Post Office Departments for the fiscal year ending 
          June 30, 1934, and for other purposes', approved March 3, 1933 (41
          U.S.C. 10a et seq.).
            (b) If the Secretary of Defense determines that a person has been
          convicted of intentionally affixing a label bearing a `Made in
          America' inscription to any product sold in or shipped to the 
          United States that is not made in America, the Secretary shall
          determine, in accordance with section 2410f of title 10, United
          States Code, whether the person should be debarred from contracting
          with the Department of Defense.
            (c) In the case of any equipment or products purchased with
          appropriations provided under this Act, it is the sense of the
          Congress that any entity of the Department of Defense, in expending
          the appropriation, purchase only American-made equipment and
          products, provided that American-made equipment and products are
          cost-competitive, quality-competitive, and available in a timely
          fashion.
            SEC. 8060. None of the funds appropriated by this Act shall be
          available for a contract for studies, analysis, or consulting
          services entered into without competition on the basis of an
          unsolicited proposal unless the head of the activity responsible 
          for the procurement determines--
                (1) as a result of thorough technical evaluation,  only one
              source is found fully qualified to perform the  proposed work; or
                (2) the purpose of the contract is to explore an  unsolicited
              proposal which offers significant  scientific or technological
              promise, represents the  product of original thinking, and was
              submitted in  confidence by one source; or
                (3) the purpose of the contract is to take  advantage of
              unique and significant industrial  accomplishment by a specific
              concern, or to insure that  a new product or idea of a specific
              concern is given  financial support:
           [Italic->] Provided [<-Italic] , That this limitation shall not
          apply to contracts in an amount of less than $25,000, contracts
          related to improvements of equipment that is in development or
          production, or contracts as to which a civilian official of the
          Department of Defense, who has been confirmed by the Senate,
          determines that the award of such contract is in the interest of 
          the national defense.
            SEC. 8061. (a) Except as provided in subsections (b) and (c), 
          none of the funds made available by this Act may be used--
                (1) to establish a field operating agency; or
                (2) to pay the basic pay of a member of the Armed Forces or
              civilian employee of the department who is transferred or
              reassigned from a headquarters activity if the member or
              employee's place of duty remains at the location of that
              headquarters.
            (b) The Secretary of Defense or Secretary of a military 
          department may waive the limitations in subsection (a), on a
          case-by-case basis, if the Secretary determines, and certifies to
          the Committees on Appropriations of the House of Representatives 
          and Senate that the granting of the waiver will reduce the 
          personnel requirements or the financial requirements of the
          department.
            (c) This section does not apply to field operating agencies 
          funded within the National Foreign Intelligence Program.
            SEC. 8062. Funds appropriated by this Act for intelligence
          activities are deemed to be specifically authorized by the Congress
          for purposes of section 504 of the National Security Act of 1947 
          (50 U.S.C. 414) during fiscal year 1998 until the enactment of the
          Intelligence Authorization Act for Fiscal Year 1998.
            SEC. 8063. Notwithstanding section 303 of Public Law 96-487 or 
          any other provision of law, the Secretary of the Navy is authorized
          to lease real and personal property at Naval Air Facility, Adak,
          Alaska, pursuant to 10 U.S.C. 2667(f), for commercial, industrial 
          or other purposes.
                                      (RESCISSIONS)
            SEC. 8064. Of the funds provided in Department of Defense
          Appropriations Acts, the following funds are hereby rescinded from
          the following accounts in the specified amounts:
                `Shipbuilding and Conversion, Navy, 1996/2000', $35,600,000;
                `Other Procurement, Navy, 1996/1998', $3,300,000;
                `Aircraft Procurement, Army, 1997/1999', $5,000,000;
                `Procurement of Ammunition, Army, 1997/1999', $5,000,000;
                `Other Procurement, Army, 1997/1999', $6,000,000;
                `Other Procurement, Navy, 1997/1999', $2,200,000;
                `Aircraft Procurement, Navy, 1997/1999', $24,000,000;
                `Research, Development, Test and Evaluation, Army, 
              1997/1998', $6,000,000;
                `Research, Development, Test and Evaluation, Navy, 
              1997/1998', $40,000,000;
                `Research, Development, Test and Evaluation, Air Force,
              1997/1998', $25,000,000; and
                `Research, Development, Test and Evaluation, Defense-Wide,
              1997/1998', $24,000,000.
            SEC. 8065. None of the funds available in this Act may be used to
          reduce the authorized positions for military (civilian) technicians
          of the Army National Guard, the Air National Guard, Army Reserve 
          and Air Force Reserve for the purpose of applying any
          administratively imposed civilian personnel ceiling, freeze, or
          reduction on military (civilian) technicians, unless such 
          reductions are a direct result of a reduction in military force
          structure.
            SEC. 8066. None of the funds appropriated or otherwise made
          available in this Act may be obligated or expended for assistance 
          to the Democratic People's Republic of North Korea unless
          specifically appropriated for that purpose.
            SEC. 8067. During the current fiscal year, funds appropriated in
          this Act are available to compensate members of the National Guard
          for duty performed pursuant to a plan submitted by a Governor of a
          State and approved by the Secretary of Defense under section 112 of
          title 32, United States Code:  [Italic->] Provided [<-Italic] , 
          That during the performance of such duty, the members of the
          National Guard shall be under State command and control:  
          [Italic->] Provided further [<-Italic] , That such duty shall be
          treated as full-time National Guard duty for purposes of sections
          12602(a)(2) and (b)(2) of title 10, United States Code.
            SEC. 8068. Funds appropriated in this Act for operation and
          maintenance of the Military Departments, Unified and Specified
          Commands and Defense Agencies shall be available for reimbursement
          of pay, allowances and other expenses which would otherwise be
          incurred against appropriations for the National Guard and Reserve
          when members of the National Guard and Reserve provide intelligence
          support to Unified Commands, Defense Agencies and Joint 
          Intelligence Activities, including the activities and programs
          included within the General Defense Intelligence Program and the
          Consolidated Cryptologic Program:  [Italic->] Provided [<-Italic] ,
          That nothing in this section authorizes deviation from established
          Reserve and National Guard personnel and training procedures.
            SEC. 8069. During the current fiscal year, none of the funds
          appropriated in this Act may be used to reduce the civilian medical
          and medical support personnel assigned to military treatment
          facilities below the September 30, 1997 level:  [Italic->] Provided
          [<-Italic] , That the Service Surgeons General may waive this
          section by certifying to the congressional defense committees that
          the beneficiary population is declining in some catchment areas and
          civilian strength reductions may be consistent with responsible
          resource stewardship and capitation-based budgeting.
                              (INCLUDING TRANSFER OF FUNDS)
            SEC. 8070. None of the funds appropriated in this Act may be
          transferred to or obligated from the Pentagon Reservation
          Maintenance Revolving Fund, unless the Secretary of Defense
          certifies that the total cost for the planning, design, 
          construction and installation of equipment for the renovation of 
          the Pentagon Reservation will not exceed $1,118,000,000.
            SEC. 8071. (a) None of the funds available to the Department of
          Defense for any fiscal year for drug interdiction or counter-drug
          activities may be transferred to any other department or agency of
          the United States except as specifically provided in an
          appropriations law.
            (b) None of the funds available to the Central Intelligence 
          Agency for any fiscal year for drug interdiction and counter-drug
          activities may be transferred to any other department or agency of
          the United States except as specifically provided in an
          appropriations law.
                                   (TRANSFER OF FUNDS)
            SEC. 8072. Appropriations available in this Act under the heading
          `OPERATION AND MAINTENANCE, DEFENSE-WIDE' for increasing energy and
          water efficiency in Federal buildings may, during their period of
          availability, be transferred to other appropriations or funds of 
          the Department of Defense for projects related to increasing energy
          and water efficiency, to be merged with and to be available for the
          same general purposes, and for the same time period, as the
          appropriation or fund to which transferred.
            SEC. 8073. None of the funds appropriated by this Act may be used
          for the procurement of ball and roller bearings other than those
          produced by a domestic source and of domestic origin:  [Italic->]
          Provided [<-Italic] , That the Secretary of the military department
          responsible for such procurement may waive this restriction on a
          case-by-case basis by certifying in writing to the Committees on
          Appropriations of the House of Representatives and the Senate, that
          adequate domestic supplies are not available to meet Department of
          Defense requirements on a timely basis and that such an acquisition
          must be made in order to acquire capability for national security
          purposes.
            SEC. 8074. Notwithstanding any other provision of law, funds
          available to the Department of Defense shall be made available to
          provide transportation of medical supplies and equipment, on a
          nonreimbursable basis, to American Samoa:  [Italic->] Provided
          [<-Italic] , That notwithstanding any other provision of law, funds
          available to the Department of Defense shall be made available to
          provide transportation of medical supplies and equipment, on a
          nonreimbursable basis, to the Indian Health Service when it is in
          conjunction with a civil-military project.
            SEC. 8075. None of the funds in this Act may be used to purchase
          any supercomputer which is not manufactured in the United States,
          unless the Secretary of Defense certifies to the congressional
          defense committees that such an acquisition must be made in order 
          to acquire capability for national security purposes that is not
          available from United States manufacturers.
            SEC. 8076. Notwithstanding any other provision of law, the Naval
          shipyards of the United States shall be eligible to participate in
          any manufacturing extension program financed by funds appropriated
          in this or any other Act.
            SEC. 8077. Notwithstanding any other provision of law, each
          contract awarded by the Department of Defense during the current
          fiscal year for construction or service performed in whole or in
          part in a State which is not contiguous with another State and has
          an unemployment rate in excess of the national average rate of
          unemployment as determined by the Secretary of Labor, shall include
          a provision requiring the contractor to employ, for the purpose of
          performing that portion of the contract in such State that is not
          contiguous with another State, individuals who are residents of 
          such State and who, in the case of any craft or trade, possess or
          would be able to acquire promptly the necessary skills:  [Italic->]
          Provided [<-Italic] , That the Secretary of Defense may waive the
          requirements of this section, on a case-by-case basis, in the
          interest of national security.
            SEC. 8078. During the current fiscal year, the Army shall use the
          former George Air Force Base as the airhead for the National
          Training Center at Fort Irwin:  [Italic->] Provided [<-Italic] ,
          That none of the funds in this Act shall be obligated or expended 
          to transport Army personnel into Edwards Air Force Base for 
          training rotations at the National Training Center.
            SEC. 8079. (a) The Secretary of Defense shall submit, on a
          quarterly basis, a report to the congressional defense committees,
          the Committee on International Relations of the House of
          Representatives and the Committee on Foreign Relations of the 
          Senate setting forth all costs (including incremental costs)
          incurred by the Department of Defense during the preceding quarter
          in implementing or supporting resolutions of the United Nations
          Security Council, including any such resolution calling for
          international sanctions, international peacekeeping operations, and
          humanitarian missions undertaken by the Department of Defense. The
          quarterly report shall include an aggregate of all such Department
          of Defense costs by operation or mission.
            (b) The Secretary of Defense shall detail in the quarterly 
          reports all efforts made to seek credit against past United Nations
          expenditures and all efforts made to seek compensation from the
          United Nations for costs incurred by the Department of Defense in
          implementing and supporting United Nations activities.
            SEC. 8080. (a) LIMITATION ON TRANSFER OF DEFENSE ARTICLES AND
          SERVICES- Notwithstanding any other provision of law, none of the
          funds available to the Department of Defense for the current fiscal
          year may be obligated or expended to transfer to another nation or
          an international organization any defense articles or services
          (other than intelligence services) for use in the activities
          described in subsection (b) unless the congressional defense
          committees, the Committee on International Relations of the House 
          of Representatives, and the Committee on Foreign Relations of the
          Senate are notified 15 days in advance of such transfer.
            (b) COVERED ACTIVITIES- This section applies to--
                (1) any international peacekeeping or peace-enforcement
              operation under the authority of chapter VI  or chapter VII of
              the United Nations Charter under the  authority of a United
              Nations Security Council  resolution; and
                (2) any other international peacekeeping, peace-enforcement,
              or humanitarian assistance operation.
            (c) REQUIRED NOTICE- A notice under subsection (a) shall include
          the following:
                (1) A description of the equipment, supplies, or  services to
              be transferred.
                (2) A statement of the value of the equipment,  supplies, or
              services to be transferred.
                (3) In the case of a proposed transfer of equipment  or
              supplies--
                    (A) a statement of whether the inventory  requirements of
                  all elements of the Armed  Forces (including the reserve
                  components) for  the type of equipment or supplies to be 
                  transferred have been met; and
                    (B) a statement of whether the items  proposed to be
                  transferred will have to be  replaced and, if so, how the
                  President proposes  to provide funds for such replacement.
            SEC. 8081. To the extent authorized by subchapter VI of chapter
          148 of title 10, United States Code, the Secretary of Defense shall
          issue loan guarantees in support of United States defense exports
          not otherwise provided for:  [Italic->] Provided [<-Italic] , That
          the total contingent liability of the United States for guarantees
          issued under the authority of this section may not exceed
          $15,000,000,000:  [Italic->] Provided further [<-Italic] , That the
          exposure fees charged and collected by the Secretary for each
          guarantee, shall be paid by the country involved and shall not be
          financed as part of a loan guaranteed by the United States: 
          [Italic->] Provided further [<-Italic] , That the Secretary shall
          provide quarterly reports to the Committees on Appropriations, 
          Armed Services and Foreign Relations of the Senate and the
          Committees on Appropriations, National Security and International
          Relations in the House of Representatives on the implementation of
          this program:  [Italic->] Provided further [<-Italic] , That 
          amounts charged for administrative fees and deposited to the 
          special account provided for under section 2540c(d) of title 10,
          shall be available for paying the costs of administrative expenses
          of the Department of Defense that are attributable to the loan
          guarantee program under subchapter VI of chapter 148 of title 10.
            SEC. 8082. None of the funds available to the Department of
          Defense shall be obligated or expended to make a financial
          contribution to the United Nations for the cost of an United 
          Nations peacekeeping activity (whether pursuant to assessment or a
          voluntary contribution) or for payment of any United States
          arrearage to the United Nations.
            SEC. 8083. None of the funds available to the Department of
          Defense under this Act shall be obligated or expended to pay a
          contractor under a contract with the Department of Defense for 
          costs of any amount paid by the contractor to an employee when--
                (1) such costs are for a bonus or otherwise in  excess of the
              normal salary paid by the contractor to  the employee; and
                (2) such bonus is part of restructuring costs  associated 
              with a business combination.
            SEC. 8084. (a) None of the funds appropriated or otherwise made
          available in this Act may be used to transport or provide for the
          transportation of chemical munitions or agents to the Johnston 
          Atoll for the purpose of storing or demilitarizing such munitions 
          or agents.
            (b) The prohibition in subsection (a) shall not apply to any
          obsolete World War II chemical munition or agent of the United
          States found in the World War II Pacific Theater of Operations.
            (c) The President may suspend the application of subsection (a)
          during a period of war in which the United States is a party.
            SEC. 8085. None of the funds provided in title II of this Act for
          `Former Soviet Union Threat Reduction' may be obligated or expended
          to finance housing for any individual who was a member of the
          military forces of the Soviet Union or for any individual who is or
          was a member of the military forces of the Russian Federation.
            SEC. 8086. During the current fiscal year, no more than
          $10,000,000 of appropriations made in this Act under the heading
          `OPERATION AND MAINTENANCE, DEFENSE-WIDE' may be transferred to
          appropriations available for the pay of military personnel, to be
          merged with, and to be available for the same time period as the
          appropriations to which transferred, to be used in support of such
          personnel in connection with support and services for eligible
          organizations and activities outside the Department of Defense
          pursuant to section 2012 of title 10, United States Code.
            SEC. 8087. For purposes of section 1553(b) of title 31, United
          States Code, any subdivision of appropriations made in this Act
          under the heading `SHIPBUILDING AND CONVERSION, NAVY' shall be
          considered to be for the same purpose as any subdivision under the
          heading `SHIPBUILDING AND CONVERSION, NAVY' appropriations in any
          prior year, and the 1 percent limitation shall apply to the total
          amount of the appropriation.
            SEC. 8088. Notwithstanding 31 U.S.C. 1552(a), not more than
          $14,000,000 appropriated under the heading `AIRCRAFT PROCUREMENT,
          AIR FORCE' in Public Law 102-396 which was available and obligated
          for the B-2 Aircraft Program shall remain available for expenditure
          and for adjusting obligations for such program until September 30,
          2003.
            SEC. 8089. During the current fiscal year, in the case of an
          appropriation account of the Department of Defense for which the
          period of availability for obligation has expired or which has
          closed under the provisions of section 1552 of title 31, United
          States Code, and which has a negative unliquidated or unexpended
          balance, an obligation or an adjustment of an obligation may be
          charged to any current appropriation account for the same purpose 
          as the expired or closed account if--
                (1) the obligation would have been properly  chargeable
              (except as to amount) to the expired or  closed account before
              the end of the period of  availability or closing of that
              account;
                (2) the obligation is not otherwise properly  chargeable to
              any current appropriation account of the  Department of 
              Defense; and
                (3) in the case of an expired account, the  obligation is not
              chargeable to a current appropriation  of the Department of
              Defense under the provisions of  section 1405(b)(8) of the
              National Defense  Authorization Act for Fiscal Year 1991, 
              Public Law 101-510, as amended (31 U.S.C. 1551 note): 
              [Italic->] Provided [<-Italic] , That in the case of an expired
              account, if subsequent review or investigation discloses that
              there was not in fact a negative unliquidated or unexpended
              balance in the account, any charge to a current account under
              the authority of this section shall be reversed and recorded
              against the expired account:  [Italic->] Provided further
              [<-Italic] , That the total amount charged to a current
              appropriation under this section may not exceed an amount equal
              to 1 percent of the total appropriation  for that account.
                                   (TRANSFER OF FUNDS)
            SEC. 8090. Upon enactment of this Act, the Secretary of Defense
          shall make the following transfers of funds:  [Italic->] Provided
          [<-Italic] , That the amounts transferred shall be available for 
          the same purposes as the appropriations to which transferred, and
          for the same time period as the appropriation from which
          transferred:  [Italic->] Provided further [<-Italic] , That the
          amounts shall be transferred between the following appropriations 
          in the amount specified:
                From:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1989/2000':
                        SSN-688 attack submarine program, $3,000,000;
                        DDG-51 destroyer program, $1,500,000;
                        LHD-1 amphibious assault ship program, $8,000,000;
                        T-AO fleet oiler program, $3,453,000;
                        AOE combat support ship program, $3,600,000; and
                        For craft, outfitting, and post delivery,  $2,019,000;
                To:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1989/2000':
                        SSN-21 attack submarine program, $21,572,000;
                From:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1991/2001':
                        DDG-51 destroyer program, $1,060,000;
                        LHD-1 amphibious assault ship program, $1,600,000;
                        LSD-41 cargo variant ship program, $2,666,000;
                        AOE combat support ship program, $7,307,000; and
                        For craft, outfitting, and post delivery,  $12,000,000;
                To:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1991/2001':
                        SSN-21 attack submarine program, $24,633,000;
                From:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1996/2000':
                        LHD-1 amphibious assault ship program, $5,592,000;
                To:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1996/2000':
                        SSN-21 attack submarine program, $5,592,000;
                From:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1994/1998':
                        LHD-1 amphibious assault ship program, $400,000; and
                        DDG-51 destroyer program, $1,054,000;
                From:
                    Under the heading, `Shipbuilding and Conversion,  Navy,
                  1995/1999':
                        For craft, outfitting, and post delivery, 
                      conversions, and first destination transportation,
                      $715,000;
                From:
                    Under the heading, `Shipbuilding and Conversion, Navy,
                  1996/2000':
                        LHD-1 amphibious assault ship program, $17,513,000; and
                        For craft, outfitting, and post delivery, 
                      conversions, and first destination transportation,
                      $878,000;
                From:
                    Under the heading, `Shipbuilding and Conversion, Navy,
                  1997/2001':
                        For craft, outfitting, and post delivery, 
                      conversions, and first destination transportation,
                      $3,600,000;
                To:
                    Under the heading, `Shipbuilding and Conversion, Navy,
                  1997/2001':
                        DDG-51 destroyer program, $24,160,000;
                From:
                    Under the heading, `Shipbuilding and Conversion, Navy,
                  1996/2000':
                        Fast Patrol Boat, $9,500,000;
                To:
                    `Research, Development, Test and Evaluation, Navy,
                  1998/1999', $9,500,000;
                From:
                    Under the heading, `Shipbuilding and Conversion, Navy,
                  1997/2001':
                        Oceanographic ship SWATH, $45,000,000;
                To:
                    `Research, Development, Test and Evaluation, Navy,
                  1998/1999', $45,000,000;
                From:
                    `Aircraft Procurement, Air Force, 1997/1999', $73,531,000;
                To:
                    `Research, Development, Test and Evaluation, Air Force,
                  1997/1998', $73,531,000:
           [Italic->] Provided further [<-Italic] , That notwithstanding any
          other provision of law, to facilitate a full and final settlement 
          of all claims under contracts N00024-79-C-2614 and 
          N00024-77-C-2031, the Secretary of the Navy may offset the amount 
          of $1,660,680.84, owed by the Navy under contract N00024-79-C-2614
          for the T-ARC-7 against an equal amount, $1,660,680.84, owed to the
          Navy under contract N00024-77-C-2031 for the AD 43.
            SEC. 8091. The Under Secretary of Defense (Comptroller) shall
          submit to the congressional defense committees by February 1, 1998 
          a detailed report identifying, by amount and by separate budget
          activity, activity group, subactivity group, line item, program
          element, program, project, subproject, and activity, any activity
          for which the fiscal year 1999 budget request was reduced because
          Congress appropriated funds above the President's budget request 
          for that specific activity for fiscal year 1998.
            SEC. 8092. (a)  None of the funds available to the Department of
          Defense under this Act may be obligated or expended to reimburse a
          defense contractor for restructuring costs associated with a
          business combination of the defense contractor that occurs after 
          the date of enactment of this Act unless--
                (1) the auditable savings for the Department of  Defense
              resulting from the restructuring will exceed  the costs allowed
              by a factor of at least two to one; or
                (2) the savings for the Department of Defense  resulting from
              the restructuring will exceed the costs  allowed and the
              Secretary of Defense determines that  the business combination
              will result in the  preservation of a critical capability that
              might  otherwise be lost to the Department; and
                (3) the report required by section 818(e) of Public  Law
              103-337 to be submitted to Congress in 1997 is  submitted.
            (b) Not later than April 1, 1998, the Comptroller General shall,
          in consultation with the Inspector General of the Department of
          Defense, the Secretary of Defense, and the Secretary of Labor,
          submit to Congress a report which shall include the following:
                (1) an analysis and breakdown of the restructuring  costs 
              paid by or submitted to the Department of Defense  to companies
              involved in business combinations since  1993;
                (2) an analysis of the specific costs associated  with
              workforce reductions;
                (3) an analysis of the services provided to the  workers
              affected by business combinations;
                (4) an analysis of the effectiveness of the  restructuring
              costs used to assist laid off workers in  gaining employment; and
                (5) in accordance with section 818 of Public Law  103-337, an
              analysis of the savings reached from the  business combination
              relative to the restructuring  costs paid by the Department of
              Defense.
            (c) The report should set forth recommendations to make this
          program more effective for workers affected by business 
          combinations and more efficient in terms of the use of Federal
          dollars.
            SEC. 8093. Funds appropriated in title II of this Act for
          supervision and administration costs for facilities maintenance and
          repair, minor construction, or design projects may be obligated at
          the time the reimbursable order is accepted by the performing
          activity:  [Italic->] Provided [<-Italic] , That for the purpose of
          this section, supervision and administration costs includes all
          in-house Government cost.
            SEC. 8094. The Secretary of Defense may waive reimbursement of 
          the cost of conferences, seminars, courses of instruction, or
          similar educational activities of the Asia-Pacific Center for
          Security Studies for military officers and civilian officials of
          foreign nations if the Secretary determines that attendance by such
          personnel, without reimbursement, is in the national security
          interest of the United States:  [Italic->] Provided [<-Italic] ,
          That costs for which reimbursement is waived pursuant to this
          subsection shall be paid from appropriations available for the
          Asia-Pacific Center.
            SEC. 8095. (a) Notwithstanding any other provision of law, the
          Chief of the National Guard Bureau may permit the use of equipment
          of the National Guard Distance Learning Project by any person or
          entity on a space-available, reimbursable basis. The Chief of the
          National Guard Bureau shall establish the amount of reimbursement
          for such use on a case-by-case basis.
            (b) Amounts collected under subsection (a) shall be credited to
          funds available for the National Guard Distance Learning Project 
          and be available to defray the costs associated with the use of
          equipment of the project under that subsection. Such funds shall be
          available for such purposes without fiscal year limitation.
            SEC. 8096. Using funds available by this Act or any other Act, 
          the Secretary of the Air Force, pursuant to a determination under
          section 2690 of title 10, United States Code, may implement
          cost-effective agreements for required heating facility
          modernization in the Kaiserslautern Military Community in the
          Federal Republic of Germany:  [Italic->] Provided [<-Italic] , That
          in the City of Kaiserslautern such agreements will include the use
          of United States anthracite as the base load energy for municipal
          district heat to the United States Defense installations: 
          [Italic->] Provided further [<-Italic] , That at Landstuhl Army
          Regional Medical Center and Ramstein Air Base, furnished heat may 
          be obtained from private, regional or municipal services, if
          provisions are included for the consideration of United States coal
          as an energy source.
            SEC. 8097. Notwithstanding any other provision of law, and
          notwithstanding the provisions in section 7306 of title 10, United
          States Code, in addition to amounts otherwise appropriated or made
          available by this Act, $13,000,000 is appropriated to the 
          Department of the Navy and shall be available only for a grant to
          the Intrepid Sea-Air-Space Foundation only for the refurbishment of
          the former U.S.S. Intrepid (CV 11).
            SEC. 8098. In accordance with section 1557 of title 31, United
          States Code, the following obligated balance shall be exempt from
          subchapter IV of chapter 15 of such title and shall remain 
          available for expenditure without fiscal year limitation: Funds
          obligated by the Economic Development Administration for EDA 
          Project No. 04-49-04095 from funds made available in the Department
          of Defense Appropriations Act, 1994 (Public Law 103-189).
            SEC. 8099. None of the funds provided by this Act may be used to
          pay costs of instruction for an Air Force officer for enrollment
          commencing during the 1998-1999 academic year in a postgraduate
          degree program at a civilian educational institution if--
                (1) the degree program to be pursued by that officer is
              offered by the Air Force Institute of Technology (or was 
              offered by that institute during the 1996-1997 academic year);
                (2) the officer is qualified for enrollment at the Air Force
              Institute of Technology in that degree program; and
                (3) the number of students commencing that degree program at
              the Air Force Institute of Technology during the first semester
              of the 1998-1999 academic year is less than the number of
              students commencing that degree program for the first semester
              of the 1996-1997 academic year.
            SEC. 8100. During the current fiscal year, the amounts which are
          necessary for the operation and maintenance of the Fisher Houses
          administered by the Departments of the Army, the Navy, and the Air
          Force are hereby appropriated, to be derived from amounts which are
          available in the applicable Fisher House trust fund established
          under 10 U.S.C. 2221 for the Fisher Houses of each such department.
            SEC. 8101. During the current fiscal year, refunds attributable 
          to the use of the Government travel card by military personnel and
          civilian employees of the Department of Defense may be credited to
          operation and maintenance accounts of the Department of Defense
          which are current when the refunds are received.
            SEC. 8102. During the current fiscal year, not more than a total
          of $60,000,000 in withdrawal credits may be made by the Marine 
          Corps Supply Management activity group of the Navy Working Capital
          Fund, Department of Defense Working Capital Funds, to the credit of
          current applicable appropriations of a Department of Defense
          activity in connection with the acquisition of critical low density
          repairables that are capitalized into the Navy Working Capital Fund.
            SEC. 8103. Notwithstanding 31 U.S.C. 3902, during the current
          fiscal year interest penalties may be paid by the Department of
          Defense from funds financing the operation of the military
          department or defense agency with which the invoice or contract
          payment is associated.
            SEC. 8104. At the time the President submits his budget for 
          fiscal year 1999, the Department of Defense shall transmit to the
          congressional defense committees a budget justification document 
          for the active and reserve Military Personnel accounts, to be known
          as the `M-1', which shall identify, at the budget activity, 
          activity group, and subactivity group level, the amounts requested
          by the President to be appropriated to the Department of Defense 
          for military personnel in any budget request, or amended budget
          request, for fiscal year 1999.
            SEC. 8105. Notwithstanding any other provision in this Act, the
          total amount appropriated in this Act is hereby reduced by
          $100,000,000 to reflect savings due to excess inventory, to be
          distributed as follows: `Operation and Maintenance, Army',
          $40,000,000; `Operation and Maintenance, Navy', $40,000,000; and
          `Operation and Maintenance, Air Force', $20,000,000.
            SEC. 8106. Notwithstanding any other provision in this Act, the
          total amount appropriated in title III of this Act is hereby 
          reduced by $75,000,000 to reflect savings from repeal of section
          2403 of title 10, United States Code.
            SEC. 8107. The Secretary of the Army may exchange or sell one 
          Army C-20 aircraft and may apply the exchange allowance or sale
          proceeds in whole or in part payment for the acquisition of one 
          C-37 aircraft:  [Italic->] Provided [<-Italic] , That in addition 
          to such exchange allowance or sale proceeds, of the amount
          appropriated for fiscal year 1998 for Aircraft Procurement, Air
          Force, not more than $6,000,000 shall be made available for
          acquisition of the C-37 for the United States Army:  [Italic->]
          Provided further [<-Italic] , That in addition to such exchange
          allowance or sale proceeds, of the amount appropriated for fiscal
          year 1997 for Aircraft Procurement, Air Force, not more than
          $27,100,000 shall be made available for acquisition of the C-37 for
          the United States Army.
            SEC. 8108. During the current fiscal year, the Secretary of
          Defense may award contracts for capital assets having a development
          or acquisition cost of not less than $100,000 of a Working Capital
          Fund in advance of the availability of funds in the Working Capital
          Fund for minor construction, automatic data processing equipment,
          software, equipment, and other capital improvements.
            SEC. 8109. From funds made available by this Act for the Maritime
          Technology Program up to $250,000 shall be made available to assist
          with a pilot project that will facilitate the transfer of 
          commercial cruise ship shipbuilding technology and expertise to
          United States yards, utilize the experience and expertise of
          existing U.S.-flag cruise ship operators, and enable the operation
          of a U.S.-flag foreign-built cruise ship, and two newly constructed
          U.S.-flag cruise ships:  [Italic->] Provided [<-Italic] , That a
          person (including a related person with respect to that person) 
          who, within 18 months after the date of enactment, enters into a
          binding contract for construction in the United States of two 
          cruise ships, which contract shall provide for the construction of
          two cruise ships of equal or greater size than the cruise ship 
          being operated by such person on the date of enactment and shall
          require the delivery of the first cruise ship no later than January
          1, 2005, and the second cruise ship no later than January 1, 2008,
          may document with a coastwise endorsement a cruise ship constructed
          pursuant to this section and a foreign-built cruise ship otherwise
          in compliance with 46 U.S.C. 289, 883, and 12106 until such date
          which is 24 months after the delivery of the second cruise ship or
          any subsequently delivered cruise ship:  [Italic->] Provided 
          further [<-Italic] , That a person (including a related person with
          respect to that person) within the meaning of 46 U.S.C. 801 may not
          operate a U.S.-flag foreign-built cruise ship, or any other cruise
          ship, in coastwise trade between or among the islands of Hawaii,
          upon execution of the contract referred to in this section and
          continuing throughout the life expectancy (as that term is used in
          46 U.S.C. App. 1125) of a newly constructed U.S.-flag cruise ship
          referred to in this section, unless the cruise ship is operated by 
          a person (including a related person with respect to that person)
          that is operating a cruise ship in coastwise trade between or among
          the islands of Hawaii on the date of enactment, except if any 
          cruise ship constructed pursuant to this section operates in 
          regular service other than between or among the islands of Hawaii: 
          [Italic->] Provided further [<-Italic] , That for purposes of this
          section the term `cruise ship' means a vessel that is at least
          10,000 gross tons (as measured under chapter 143 of title 46, 
          United States Code) and has berth or stateroom accommodations for 
          at least 275 passengers:  [Italic->] Provided further [<-Italic] ,
          That for purposes of this section, unless otherwise defined in this
          section, the term `person' means a corporation, partnership or
          association the controlling interest of which is owned by citizens
          of the United States within the meaning of 46 U.S.C. 802(b): 
          [Italic->] Provided further [<-Italic] , That for purposes of this
          section the term `related person' means with respect to a person:
          (1) a holding company, subsidiary, affiliate or association of the
          person; and (2) an officer, director, or agent of the person or of
          an entity referred to in (1):  [Italic->] Provided further
          [<-Italic] , That none of the funds provided in this or any other
          Act may be obligated for the tooling to construct or the
          construction of vessels addressed by this section.
            SEC. 8110. The Secretary of Defense shall submit to the
          congressional defense committees not later than November 15, 1997 
          an aviation safety plan outlining an appropriate level of
          navigational safety upgrades for all Department of Defense aircraft
          and the associated funding profile to install these upgrades in an
          expeditious manner.
            SEC. 8111. Notwithstanding any other provision of law, the
          Secretary of Defense shall obligate the funds provided for
          University Research Initiatives in the Department of Defense
          Appropriations Act, 1997 (titles I through VIII under section 
          101(b) of Public Law 104-208) for the projects and in the amounts
          provided for in House Report 104-863 of the House of
          Representatives, 104th Congress, 2d session.
            SEC. 8112. The Secretary of Defense shall submit to the 
          Committees on Appropriations of the House of Representatives and
          Senate, not later than April 15, 1998, a report on alternatives for
          current theater combat simulations:  [Italic->] Provided [<-Italic]
          , That this report shall be based on a review and evaluation by the
          Defense Science Board of the adequacy of the current models used by
          the Department of Defense for theater combat simulations, with
          particular emphasis on the tactical warfare (TACWAR) model and the
          ability of that model to adequately measure airpower, stealth, and
          other asymmetrical United States warfighting advantages, and shall
          include the recommendations of the Defense Science Board for
          improvements to current models and modeling techniques.
            SEC. 8113. Effective on June 30, 1998, section 8106(a) of the
          Department of Defense Appropriations Act, 1997 (titles I through
          VIII of the matter under section 101(b) of Public Law 104-208; 110
          Stat. 3009-111; 10 U.S.C. 113 note), is amended by striking
          `$3,000,000' and inserting `$1,000,000'.
            SEC. 8114. None of the funds appropriated in title IV of this Act
          may be used to procure end-items for delivery to military forces 
          for operational training, operational use or inventory 
          requirements:  [Italic->] Provided [<-Italic] , That this
          restriction does not apply to end-items used in development,
          prototyping, and test activities preceding and leading to 
          acceptance for operational use:  [Italic->] Provided further
          [<-Italic] , That this restriction does not apply to programs 
          funded within the National Foreign Intelligence Program:  
          [Italic->] Provided further [<-Italic] , That the Secretary of
          Defense may waive this restriction on a case-by-case basis by
          certifying in writing to the Committees on Appropriations of the
          House of Representatives and the Senate that it is in the national
          security interest to do so.
            SEC. 8115. It is the sense of the Congress that all member 
          nations of the North Atlantic Treaty Organization (NATO) should
          contribute their proportionate share to pay for the costs of the
          Partnership for Peace program and for any future costs attributable
          to the expansion of NATO.
            SEC. 8116. The budget of the President for fiscal year 1999
          submitted to Congress pursuant to section 1105 of title 31, United
          States Code, and each annual budget request thereafter, shall
          include budget activity groups (known as `subactivities') in the
          operation and maintenance accounts of the military departments and
          other appropriation accounts, as may be necessary, to separately
          identify all costs incurred by the Department of Defense to support
          the expansion of the North Atlantic Treaty Organization. The budget
          justification materials submitted to Congress in support of the
          budget of the Department of Defense for fiscal year 1999, and
          subsequent fiscal years, shall provide complete, detailed estimates
          for the incremental costs of such expansion.
            SEC. 8117. None of the funds made available in this Act may be
          obligated or expended to enter into or renew a contract with a
          contractor that is subject to the reporting requirement set forth 
          in subsection (d) of section 4212 of title 38, United States Code,
          but has not submitted the most recent report required by such
          subsection for 1997 or a subsequent year.
            SEC. 8118. None of the funds made available in this Act may be
          used to approve or license the sale of the F-22 advanced tactical
          fighter to any foreign government.
            SEC. 8119. None of the funds appropriated or otherwise made
          available by this Act may be made available for the United States
          Man and the Biosphere Program, or related projects.
            SEC. 8120. Up to $4,500,000 of funds available to the Department
          of Defense may be available for the payment of claims for loss and
          damage to personal property suffered as a direct result of the
          flooding in the Red River Basin during April and May, 1997 by
          members of the Armed Forces residing in the vicinity of Grand Forks
          Air Force Base, North Dakota, without regard to the provisions of
          section 3721(e) of title 31, United States Code.
            SEC. 8121. Of the total amount appropriated under title II for 
          the Navy, the Secretary of the Navy shall make $25,000,000 
          available for a program to demonstrate expanded use of
          multitechnology automated reader cards throughout the Navy and the
          Marine Corps, including demonstration of the use of the so-called
          `smartship' technology of the ship-to-shore work load/off load
          program.
            SEC. 8122. (a) FINDINGS- (1) The North Atlantic Treaty
          Organization, at the Madrid summit, decided to admit three new
          members, the Czech Republic, Poland and Hungary.
            (2) The President, on behalf of the United States endorsed and
          advocated the expansion of the North Atlantic Treaty Organization 
          to include three additional members.
            (3) The Senate will consider the ratification of instruments to
          approve the admissions of new members to the North Atlantic Treaty
          Organization.
            (4) The United States has contributed more than $20,000,000,000
          since 1952 for infrastructure and support of the Alliance.
            (5) In appropriations Acts considered by the Congress for fiscal
          year 1998, $449,000,000 has been requested by the President for
          expenditures in direct support of United States participation in 
          the Alliance.
            (6) In appropriations Acts considered by the Congress for fiscal
          year 1998, $9,983,300,000 has been requested by the President in
          support of United States military expenditures in North Atlantic
          Treaty Organization countries.
            (b) REPORT TO CONGRESS- The Secretary of Defense shall identify
          and report to the congressional defense committees not later than
          October 1, 1997--
                (1) the amounts necessary, by appropriation account, for all
              anticipated costs to the United States for the admission of the
              Czech Republic, Poland and Hungary to the North Atlantic Treaty
              Organization for the fiscal years 1998, 1999, 2000, 2001 and
              2002; and
                (2) any new commitments or obligations entered into or 
              assumed by the United States in association with the admission
              of new members to the Alliance, to include the deployment of
              United States military personnel, the provision of defense
              articles or equipment, training activities and the modification
              and construction of military facilities.
            SEC. 8123. (a) The Secretary of Defense may, on a case-by-case
          basis, waive with respect to a foreign country each limitation on
          the procurement of defense items from foreign sources provided in
          law if the Secretary determines that the application of the
          limitation with respect to that country would invalidate 
          cooperative programs entered into between the Department of Defense
          and the foreign country, or would invalidate reciprocal trade
          agreements for the procurement of defense items entered into under
          section 2531 of title 10, United States Code, and the country does
          not discriminate against the same or similar defense items produced
          in the United States for that country.
            (b) Subsection (a) applies with respect to--
                (1) contracts and subcontracts entered into on or after the
              date of the enactment of this Act; and
                (2) options for the procurement of items that are exercised
              after such date under contracts that are entered into before
              such date if the option prices are adjusted for any reason 
              other than the application of a waiver granted under subsection
              (a).
            (c) Subsection (a) does not apply to a limitation regarding
          construction of warships, ball and roller bearings, and clothing or
          textile materials as defined by section 11 (chapters 50-65) of the
          Harmonized Tariff Schedule and products classified under headings
          4010, 4202, 4203, 6401 through 6406, 6505, 7019, and 9404.
            SEC. 8124. It is the sense of Congress that should the Senate
          ratify NATO enlargement, that the proportional cost of the United
          States share of the NATO common budget should not increase, and 
          that if any NATO member does not pay its share, the United States
          shall not pay either.
            SEC. 8125. Congress finds that the Defense Base Closure and
          Realignment Commission directed the transfer of only 10
          electro-magnetic test environment systems from Eglin Air Force 
          Base, Florida to Nellis Air Force Base, Nevada.
            SEC. 8126. (a) FINDINGS- 
                (1) the Department of Defense budget is insufficient to
              fulfill all the requirements on the unfunded priorities lists 
              of the military services and defense agencies;
                (2) the documented printing expenses of the Department of
              Defense amount to several hundred million dollars per year, and
              a similar amount of undocumented printing expenses may be
              included in external defense contracts;
                (3) printing in two or more colors generally increases costs;
                (4) the Joint Committee on Printing of the Congress of the
              United States has established regulations intended to protect
              taxpayers from extravagant Government printing expenses;
                (5) the Government Printing and Binding Regulations published
              by the Joint Committee on Printing direct that `* * * it is the
              responsibility of the head of any department, independent 
              office or establishment of the Government to assure that all
              multicolor printing shall contribute demonstrable value toward
              achieving a greater fulfillment of the ultimate end-purpose of
              whatever printed item in which it is included.';
                (6) the Department of Defense publishes a large number of
              brochures, calendars, and other products in which the use of
              multicolor printing does not appear to meet the demonstrably
              valuable contribution requirement of the Joint Committee on
              Printing, but instead appears to be used primarily for
              decorative effect; and
                (7) the Department of Defense could save resources for higher
              priority needs by reducing printing expenses.
            (b) SENSE OF THE SENATE- Therefore, it is the sense of the Senate
          that--
                (1) the Secretary of Defense should ensure that the printing
              costs of the Department of Defense and military services are
              held to the lowest amount possible;
                (2) the Department of Defense should strictly comply with the
              Printing and Binding Regulations published by the Joint
              Committee on Printing of the Congress of the United States; and
                (3) the Department of Defense budget submission for fiscal
              year 1999 should reflect the savings that will result from the
              stricter printing guidelines in paragraphs (1) and (2).
                                      (RESCISSIONS)
            SEC. 8127. Of the funds provided in title III of the Department 
          of Defense Appropriations Act, 1996 (Public Law 104-61), 
          $62,000,000 are rescinded, and of the funds provided in title IV of
          the Department of Defense Appropriations Act, 1997 (as contained in
          section 101(b) of Public Law 104-208), $38,000,000 are rescinded: 
          [Italic->] Provided [<-Italic] , That such rescissions shall not be
          made before July 1, 1998:  [Italic->] Provided further [<-Italic] ,
          That not later than June 1, 1998, the Undersecretary of Defense
          (Comptroller) shall submit a report to the congressional defense
          committees listing the specific programs, projects and activities
          proposed for rescission subject to the provisions of this section.
            SEC. 8128. Section 303(e) of the 1997 Emergency Supplemental
          Appropriations Act for Recovery from Natural Disasters, and for
          Overseas Peacekeeping Efforts, Including Those in Bosnia (Public 
          Law 105-18; 111 Stat. 168) is struck and the following is inserted
          in lieu thereof:
            `(e) AVAILABILITY OF FUNDS- The Secretary may use funds available
          in the Defense Working Capital Fund for the payment of the costs of
          utilities, maintenance and repair, and improvements entered into
          under the lease under this section.'.
            SEC. 8129. Subject to amounts appropriated under the heading
          `SHIPBUILDING AND CONVERSION, NAVY' in this Act for the New Attack
          Submarine Program, and notwithstanding any provisions of the
          National Defense Authorization Act for Fiscal Year 1996 and of the
          National Defense Authorization Act for Fiscal Year 1997 to the
          contrary, and notwithstanding section 2304(k) of title 10, United
          States Code, and the policy set forth in paragraph (1) of that
          section, the Secretary of the Navy may enter into a contract during
          fiscal year 1998 for the necessary procurement of four submarines
          under the New Attack Submarine Program with one of the two
          shipbuilders which are party to the Team Agreement between Electric
          Boat Corporation and Newport News Shipbuilding and Dry Dock Company
          dated February 25, 1997, that was submitted to the Congress by the
          Secretary of the Navy on March 31, 1997, as the prime contractor on
          the condition such prime contractor enter into one or more
          subcontracts (under such prime contract) with the other shipbuilder
          which is a party to such Team Agreement as contemplated in such 
          Team Agreement, with such contract providing for construction of 
          the first submarine in fiscal year 1998 and for the advance
          construction and advance procurement of material for the second,
          third, and fourth submarines in fiscal year 1998:  [Italic->]
          Provided [<-Italic] , That such prime contract shall provide that 
          if such contract is terminated, the United States shall not be
          liable for termination costs in excess of the total amount
          appropriated for the New Attack Submarine Program.
            SEC. 8130. In addition to amounts provided elsewhere in this Act,
          $3,000,000 is hereby appropriated for `Operation and Maintenance,
          Defense-Wide', and shall be made available only for the
          establishment of the `21st Century National Security Strategy Study
          Group' (hereafter in this section referred to as the `Study 
          Group'):  [Italic->] Provided [<-Italic] , That these funds may be
          obligated only upon the completion of a memorandum of agreement
          between the Secretary of Defense (after consultation with the
          President), the Speaker of the House of Representatives, the
          Minority Leader of the House of Representatives, the Majority 
          Leader of the Senate, and the Minority Leader of the Senate: 
          [Italic->] Provided further [<-Italic] , That this memorandum of
          agreement will set forth the scope of the Group's work, as well as
          its charter, composition, authorities, lifespan, and products to be
          generated:  [Italic->] Provided further [<-Italic] , That this
          memorandum of agreement shall be completed not later than December
          15, 1997.
            SEC. 8131. (a) PANEL TO REVIEW LONG-RANGE AIR POWER- (1) There is
          hereby established an independent panel to evaluate the adequacy of
          current planning for United States long-range air power and the
          requirement for continued low-rate production of B-2 stealth bombers.
            (2) The panel shall be composed of nine members appointed as
          follows:
                (A) two members shall be named by the President;
                (B) two members shall be named by the Speaker of the House of
              Representatives;
                (C) one member shall be named by the Minority Leader of the
              House of Representatives;
                (D) two members shall be named by the Majority Leader of the
              Senate;
                (E) one member shall be named by the Minority Leader of the
              Senate; and
                (F) one member, who will serve as chairman of the panel, 
              shall be named by the President.
            (b) FUNCTIONS OF PANEL- (1) Not later than March 1, 1998, the
          panel shall submit to the President and Congress a report 
          containing its conclusions and recommendations concerning the
          appropriate B-2 bomber force and specifically stating its
          recommendation on whether additional funds for the B-2 should be
          used for continued low-rate production of the B-2 or for upgrades 
          to improve deployability, survivability and maintainability.
            (2) As part of its evaluation and review, the panel shall
          consider, but not be limited to, the following:
                (A) scenarios involving no warning time and little warning
              time from potential adversaries;
                (B) the make-up of the current bomber fleet and expected
              attrition to that fleet over the next 15 years;
                (C) the potential effect of additional B-2 bombers on
              deterrence;
                (D) the potential effect of additional B-2 bombers in the
              `halt phase' of a conflict;
                (E) the potential of a biological or chemical `lock-out' of
              tactical United States assets by future adversaries and the
              effect of additional B-2 bombers toward mitigating such a tactic;
                (F) trade-offs between additional B-2 bombers and other
              programmed Department of Defense assets in meeting the 
              scenarios described in subsections (b)(2)(A) through (b)(2)(E)
              above;
                (G) the desirability of an increased rate of purchase of
              precision-guided munitions for aircraft in the existing B-2
              fleet;
                (H) the desirability of improving the low observable
              characteristics of the existing B-2 fleet; and
                (I) the affordability of additional B-2 bombers in the 
              context of projected levels of future defense funding.
            (c) PANEL ADMINISTRATION- (1) The members of the panel shall be
          allowed travel expenses, including per diem in lieu of subsistence,
          at rates authorized for employees of agencies under subchapter I of
          chapter 57 of title 5, United States Code, while away from their
          homes or regular places of business in the performance of services
          for the panel.
            (2) Upon the request of the chairman of the panel, the Secretary
          of Defense may detail to the panel, on a nonreimbursable basis,
          personnel of the Department of Defense to assist the panel in
          carrying out its duties. The Secretary of Defense shall furnish to
          the panel such administrative and support services as may be
          requested by the chairman of the panel and shall ensure that all
          appropriate actions are taken to preserve the options of the
          President until the panel submits its report under subsection (b)(1).
            (d) FUNDING- The Secretary of Defense shall, upon the request of
          the panel, make available to the panel such amounts as the panel 
          may require to carry out its duties under this section.
            (e) TERMINATION OF THE PANEL- The panel shall terminate 30 days
          after the date on which it submits its report under subsection
          (b)(1).
            SEC. 8132. None of the funds in this Act may be made available 
          for the deployment of United States Armed Forces in the Republic of
          Bosnia and Herzegovina after June 30, 1998, unless the President,
          after consultation with the bipartisan leadership of the Senate and
          the House of Representatives, transmits to the Congress not later
          than May 15, 1998 a certification that the continued presence of
          United States Armed Forces is required in order to meet the 
          national security interests of the United States:  [Italic->]
          Provided [<-Italic] , That such certification shall specify the
          following aspects of any deployment beyond June 30, 1998--
                (1) the reasons why such deployment is in the national
              interest;
                (2) the number of United States military personnel to be
              deployed in and around the Republic of Bosnia and Herzegovina
              and the former Yugoslavia;
                (3) the expected duration of any such deployment;
                (4) the mission and objectives of United States military
              forces deployed in and around the Republic of Bosnia and
              Herzegovina and the former Yugoslavia;
                (5) the exit strategy for United States forces engaged in 
              such  deployment;
                (6) the costs associated with any deployment beyond June 30,
              1998; and
                (7) the impact of such deployment on the morale, retention,
              and effectiveness of United States forces:
           [Italic->] Provided further [<-Italic] , That concurrent with said
          certification, the President shall submit a supplemental
          appropriations request for such amounts as are necessary for any
          continued deployment beyond June 30, 1998:  [Italic->] Provided
          further [<-Italic] , That nothing in this section shall be deemed 
          to restrict the authority of the President under the Constitution 
          to protect the lives of United States citizens.
            This Act may be cited as the `Department of Defense 
          Appropriations Act, 1998'.
          Speaker of the House of Representatives.
          Vice President of the United States and  
          President of the Senate.