To increase burdensharing for the United States military presence in the Persian Gulf region.

Summary: Persian Gulf Security Cost Fairness Act - Expresses the sense of Congress that the countries of the Gulf Cooperation Council that relied on the United States for their military protection in 1990 and 1991 and that continue to depend on the United States for their security and stability should share in the responsibility for that stability and security commensurate with their national capabilities.Directs the President to seek to have each country in the Persian Gulf region to which the United States extends military protection take one or more specified financial and budgetary actions to increase their burden sharing.Authorizes the President, in seeking such actions or in responding to a country's failure to undertake one or more of them, to: (1) reduce the end strength level of members of the armed forces assigned to the Persian Gulf region; (2) impose on the country fees or other charges similar to those such countries impose on U.S. forces stationed in them; (3) suspend, modify, or terminate any bilateral security agreement the United States has with that country; or (4) reduce any U.S. bilateral assistance appropriated for that country.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Persian Gulf Security Cost Fairness 
Act''.

 SEC. 2. SENSE OF CONGRESS.

    It is the sense of the Congress that--
            (1) the several key oil-producing countries that relied on 
        the United States for their military protection in 1990 and 
        1991, including during the Persian Gulf conflict, and continue 
        to depend on the United States for their security and 
        stability, should share in the responsibility for that 
        stability and security commensurate with their national 
        capabilities; and
            (2) the countries of the Gulf Cooperation Council (Bahrain, 
        Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab 
        Emirates) have the economic capability to contribute more 
        toward their own security and stability and therefore these 
        countries should contribute commensurate with that capability.

SEC. 3. EFFORTS TO INCREASE BURDENSHARING BY COUNTRIES IN THE PERSIAN 
              GULF REGION BENEFITTING FROM UNITED STATES MILITARY 
              PRESENCE.

    The President shall seek to have each country in the Persian Gulf 
region to which the United States extends military protection (either 
through security agreements, basing arrangements, or mutual 
participation in multinational military organizations or operations) 
take one or more of the following actions:
            (1) For any country in which United States military 
        personnel are assigned to permanent duty ashore, increase its 
        financial contributions to the payment of the nonpersonnel 
        costs incurred by the United States government for stationing 
        United States military personnel in that country, with the goal 
        of achieving by September 30, 2004, 75 percent of such costs. 
        An increase in financial contributions by any country under 
        this paragraph may include the elimination of taxes, fees, or 
        other charges levied on the United States military personnel, 
        equipment, or facilities stationed in that country.
            (2) Increase its annual budgetary outlays for national 
        defense as a percentage of its gross domestic product by 10 
        percent or at least to a level commensurate to that of the 
        United States by September 30, 2002.
            (3) Increase its annual budgetary outlays for foreign 
        assistance (to promote democratization, economic stabilization, 
        transparency arrangements, defense economic conversion, respect 
        for the rule of law, and internationally recognized human 
        rights) by 10 percent or at least to a level commensurate to 
        that of the United States by September 30, 2002.
            (4) Increase the amount of military assets (including 
        personnel, equipment, logistics, support and other resources) 
        that it contributes, or would be prepared to contribute, to 
        military activities in the Persian Gulf region.

SEC. 4. AUTHORITIES TO ENCOURAGE ACTIONS BY UNITED STATES ALLIES.

    In seeking the actions described in section 3 with respect to any 
country, or in response to a failure by any country to undertake one or 
more of such actions, the President may take any of the following 
measures to the extent otherwise authorized by law:
            (1) Reduce the end strength level of members of the Armed 
        Forces assigned to permanent or part-time duty in the Persian 
        Gulf region.
            (2) Impose on those countries fees or other charges similar 
        to those that such countries impose on United States forces 
        stationed in such countries.
            (3) Suspend, modify, or terminate any bilateral security 
        agreement the United States has with that country, consistent 
        with the terms of such agreement.
            (4) Reduce (through rescission, impoundment, or other 
        appropriate procedures as authorized by law) any United States 
bilateral assistance appropriated for that country.
            (5) Take any other action the President determines to be 
        appropriate as authorized by law.

SEC. 5. REPORT ON PROGRESS IN INCREASING ALLIED BURDENSHARING.

    Not later than March 1, 2002, the Secretary of Defense shall submit 
to Congress a report on--
            (1) steps taken by other countries to complete the actions 
        described in section 3;
            (2) all measure taken by the President, including those 
        authorized in section 4, to achieve the actions described in 
        section 3;
            (3) the difference between the amount allocated by other 
        countries for each of the actions described in section 3 during 
        the period beginning on October 1, 2001, and ending on 
        September 30, 2002, and during the period beginning on October 
        1, 2002, and ending on September 30, 2003; and
            (4) the budgetary savings to the United States that are 
        expected to accrue as a result of the steps described under 
        paragraph (1).

SEC. 6. REVIEW AND REPORT ON NATIONAL SECURITY BASES FOR FORWARD 
              DEPLOYMENT AND BURDENSHARING RELATIONSHIPS.

    (a) Review.--In order to ensure the best allocation of budgetary 
resources, the President shall undertake a review of the status of 
elements of the United States Armed Forces that are permanently 
stationed outside the United States. The review shall include an 
assessment of the following:
            (1) The requirements that are to be found in agreements 
        between the United States and the allies of the United States 
        in the Persian Gulf region.
            (2) The national security interests that support permanent 
        stationing of elements of the United States Armed Forces 
        outside the United States.
            (3) The stationing costs associated with forward deployment 
        of elements of the United States Armed Forces.
            (4) The alternatives available to forward deployment (such 
        as material prepositioning, enhanced airlift and sealift, or 
        joint training operations) to meet such requirements or 
        national security interests, with such alternatives identified 
        and described in detail.
            (5) The costs and force structure configurations associated 
        with such alternatives to forward deployment.
            (6) The financial contributions that allies of the United 
        States in the Persian Gulf region make to common defense 
        efforts (to promote democratization, economic stabilization, 
        transparency arrangements, defense economic conversion, respect 
        for the rule of law, and internationally recognized human 
        rights).
            (7) The contributions that allies of the United States in 
        the Persian Gulf region make to meeting the stationing costs 
        associated with the forward deployment of elements of the 
        United States Armed Forces.
            (8) The annual expenditures of the United States and its 
        allies in the Persian Gulf region on national defense, and the 
        relative percentages of each country's gross domestic product 
        constituted by those expenditures.
    (b) Report.--The President shall submit to Congress a report on the 
review under subsection (a). The report shall be submitted not later 
than March 1, 2002, in classified and unclassified form.