```

[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1438 Enrolled Bill (ENR)]

        S.1438

                      One Hundred Seventh Congress

                                 of the

                        United States of America

                          AT THE FIRST SESSION

         Begun and held at the City of Washington on Wednesday,
             the third day of January, two thousand and one

                                 An Act

 
To authorize appropriations for fiscal year 2002 for military activities 
of the Department of Defense, for military construction, and for defense 
activities of the Department of Energy, to prescribe personnel strengths 
   for such fiscal year for the Armed Forces, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Defense Authorization Act 
for Fiscal Year 2002''.
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.
    (a) Divisions.--This Act is organized into three divisions as 
follows:
        (1) Division A--Department of Defense Authorizations.
        (2) Division B--Military Construction Authorizations.
        (3) Division C--Department of Energy National Security 
    Authorizations and Other Authorizations.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:
Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

               Subtitle A--Authorization of Appropriations

Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical Agents and Munitions Destruction, Defense.
Sec. 107. Defense Health Program.

                        Subtitle B--Army Programs

Sec. 111. Repeal of limitations on bunker defeat munitions program.
Sec. 112. Extension of pilot program on sales of manufactured articles 
          and services of certain Army industrial facilities without 
          regard to availability from domestic sources.
Sec. 113. Limitations on acquisition of interim armored vehicles and 
          deployment of interim brigade combat teams.

                        Subtitle C--Navy Programs

Sec. 121. Virginia class submarine program.
Sec. 122. Multiyear procurement authority for F/A-18E/F aircraft 
          engines.
Sec. 123. V-22 Osprey aircraft program.
Sec. 124. Report on status of V-22 Osprey aircraft before resumption of 
          flight testing.

                     Subtitle D--Air Force Programs

Sec. 131. Multiyear procurement authority for C-17 aircraft.

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

               Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.
Sec. 203. Supplemental authorization of appropriations for fiscal year 
          2001 for research, development, test, and evaluation, Defense-
          wide.

     Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Naval surface fire support assessment.
Sec. 212. Collaborative program for development of advanced radar 
          systems.
Sec. 213. Repeal of limitations on total cost of engineering and 
          manufacturing development for F-22 aircraft program.
Sec. 214. Joint biological defense program.
Sec. 215. Cooperative Department of Defense-Department of Veterans 
          Affairs medical research program.
Sec. 216. C-5 aircraft reliability enhancement and reengining program.

                  Subtitle C--Ballistic Missile Defense

Sec. 231. Transfer of responsibility for procurement for missile defense 
          programs from Ballistic Missile Defense Organization to 
          military departments.
Sec. 232. Program elements for Ballistic Missile Defense Organization.
Sec. 233. Support of ballistic missile defense activities of the 
          Department of Defense by the national defense laboratories of 
          the Department of Energy.
Sec. 234. Missile defense testing initiative.
Sec. 235. Construction of test bed facilities for missile defense 
          system.

    Subtitle D--Air Force Science and Technology for the 21st Century

Sec. 251. Short title.
Sec. 252. Science and technology investment and development planning.
Sec. 253. Study and report on effectiveness of Air Force science and 
          technology program changes.

                        Subtitle E--Other Matters

Sec. 261. Establishment of unmanned aerial vehicle joint operational 
          test bed system.
Sec. 262. Demonstration project to increase small business and 
          university participation in Office of Naval Research efforts 
          to extend benefits of science and technology research to 
          fleet.
Sec. 263. Communication of safety concerns from operational test and 
          evaluation officials to program managers.

                  TITLE III--OPERATION AND MAINTENANCE

               Subtitle A--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
Sec. 305. Funds for renovation of Department of Veterans Affairs 
          facilities adjacent to Naval Training Center, Great Lakes, 
          Illinois.
Sec. 306. Defense Language Institute Foreign Language Center expanded 
          Arabic language program.

                  Subtitle B--Environmental Provisions

Sec. 311. Inventory of unexploded ordnance, discarded military 
          munitions, and munitions constituents at defense sites (other 
          than operational ranges).
Sec. 312. Establishment of new program element for remediation of 
          unexploded ordnance, discarded military munitions, and 
          munitions constituents.
Sec. 313. Assessment of environmental remediation of unexploded 
          ordnance, discarded military munitions, and munitions 
          constituents.
Sec. 314. Conformity of surety authority under environmental restoration 
          program with surety authority under CERCLA.
Sec. 315. Elimination of annual report on contractor reimbursement for 
          costs of environmental response actions.
Sec. 316. Pilot program for sale of air pollution emission reduction 
          incentives.
Sec. 317. Department of Defense energy efficiency program.
Sec. 318. Procurement of alternative fueled and hybrid light duty 
          trucks.
Sec. 319. Reimbursement of Environmental Protection Agency for certain 
          response costs in connection with Hooper Sands Site, South 
          Berwick, Maine.
Sec. 320. River mitigation studies.

   Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

Sec. 331. Commissary benefits for new members of the Ready Reserve.
Sec. 332. Reimbursement for use of commissary facilities by military 
          departments for purposes other than commissary sales.
Sec. 333. Public releases of commercially valuable information of 
          commissary stores.
Sec. 334. Rebate agreements with producers of foods provided under 
          special supplemental food program.
Sec. 335. Civil recovery for nonappropriated fund instrumentality costs 
          related to shoplifting.

                 Subtitle D--Workforce and Depot Issues

Sec. 341. Revision of authority to waive limitation on performance of 
          depot-level maintenance.
Sec. 342. Exclusion of certain expenditures from limitation on private 
          sector performance of depot-level maintenance.
Sec. 343. Protections for purchasers of articles and services 
          manufactured or performed by working-capital funded industrial 
          facilities of the Department of Defense.
Sec. 344. Revision of deadline for annual report on commercial and 
          industrial activities.
Sec. 345. Pilot manpower reporting system in Department of the Army.
Sec. 346. Development of Army workload and performance system and 
          Wholesale Logistics Modernization Program.

                Subtitle E--Defense Dependents Education

Sec. 351. Assistance to local educational agencies that benefit 
          dependents of members of the Armed Forces and Department of 
          Defense civilian employees.
Sec. 352. Impact aid for children with severe disabilities.
Sec. 353. Availability of auxiliary services of defense dependents' 
          education system for dependents who are home school students.
Sec. 354. Comptroller General study of adequacy of compensation provided 
          for teachers in the Department of Defense overseas dependents' 
          schools.

                        Subtitle F--Other Matters

Sec. 361. Availability of excess defense personal property to support 
          Department of Veterans Affairs initiative to assist homeless 
          veterans.
Sec. 362. Incremental implementation of Navy-Marine Corps Intranet 
          contract.
Sec. 363. Comptroller General study and report of National Guard 
          Distributive Training Technology Project.
Sec. 364. Reauthorization of warranty claims recovery pilot program.
Sec. 365. Evaluation of current demonstration programs to improve 
          quality of personal property shipments of members.
Sec. 366. Sense of Congress regarding security to be provided at 2002 
          Winter Olympic Games.

               TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                        Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.
Sec. 403. Increase in senior enlisted active duty grade limit for Navy, 
          Marine Corps, and Air Force.

                       Subtitle B--Reserve Forces

Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the 
          reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2002 limitation on non-dual status technicians.
Sec. 415. Limitations on numbers of reserve personnel serving on active 
          duty or full-time National Guard duty in certain grades for 
          administration of reserve components.

        Subtitle C--Other Matters Relating to Personnel Strengths

Sec. 421. Administration of end strengths.
Sec. 422. Active duty end strength exemption for National Guard and 
          reserve personnel performing funeral honors functions.

               Subtitle D--Authorization of Appropriations

Sec. 431. Authorization of appropriations for military personnel.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. Enhanced flexibility for management of senior general and flag 
          officer positions.
Sec. 502. Certifications of satisfactory performance for retirement of 
          officers in grades above major general and rear admiral.
Sec. 503. Review of actions of selection boards.
Sec. 504. Temporary reduction of time-in-grade requirement for 
          eligibility for promotion for certain active-duty list 
          officers in grades of first lieutenant and lieutenant (junior 
          grade).
Sec. 505. Authority for promotion without selection board consideration 
          for all fully qualified officers in grade of first lieutenant 
          or lieutenant (junior grade) in the Navy.
Sec. 506. Authority to adjust date of rank of certain promotions delayed 
          by reason of unusual circumstances.
Sec. 507. Authority for limited extension of medical deferment of 
          mandatory retirement or separation.
Sec. 508. Authority for limited extension on active duty of members 
          subject to mandatory retirement or separation.
Sec. 509. Exemption from certain administrative limitations for retired 
          officers ordered to active duty as defense or service 
          attaches.
Sec. 510. Officer in charge of United States Navy Band.

             Subtitle B--Reserve Component Personnel Policy

Sec. 511. Placement on active-duty list of certain Reserve officers on 
          active duty for a period of three years or less.
Sec. 512. Exception to baccalaureate degree requirement for appointment 
          of Reserve officers to grades above first lieutenant.
Sec. 513. Improved disability benefits for certain reserve component 
          members.
Sec. 514. Time-in-grade requirement for reserve component officers 
          retired with a nonservice-connected disability.
Sec. 515. Equal treatment of Reserves and full-time active duty members 
          for purposes of managing personnel deployments.
Sec. 516. Modification of physical examination requirements for members 
          of the Individual Ready Reserve.
Sec. 517. Retirement of Reserve members without requirement for formal 
          application or request.
Sec. 518. Space-required travel by Reserves on military aircraft.
Sec. 519. Payment of Federal Employee Health Benefit Program premiums 
          for certain Reservists called to active duty in support of 
          contingency operations.

  Subtitle C--Joint Specialty Officers and Joint Professional Military 
                                Education

Sec. 521. Nominations and promotions for joint specialty officers.
Sec. 522. Joint duty credit.
Sec. 523. Retroactive joint service credit for duty in certain joint 
          task forces.
Sec. 524. Revision to annual report on joint officer management.
Sec. 525. Requirement for selection for joint specialty before promotion 
          to general or flag officer grade.
Sec. 526. Independent study of joint officer management and joint 
          professional military education reforms.
Sec. 527. Professional development education.
Sec. 528. Authority for National Defense University to enroll certain 
          private sector civilians.
Sec. 529. Continuation of reserve component professional military 
          education test.

               Subtitle D--Military Education and Training

Sec. 531. Defense Language Institute Foreign Language Center.
Sec. 532. Authority for the Marine Corps University to award degree of 
          master of strategic studies.
Sec. 533. Foreign students attending the service academies.
Sec. 534. Increase in maximum age for appointment as a cadet or 
          midshipman in Senior Reserve Officers' Training Corps 
          scholarship programs.
Sec. 535. Participation of regular enlisted members of the Armed Forces 
          in Senior Reserve Officers' Training Corps program.
Sec. 536. Authority to modify the service obligation of certain ROTC 
          cadets in military junior colleges receiving financial 
          assistance.
Sec. 537. Repeal of limitation on number of Junior Reserve Officers' 
          Training Corps units.
Sec. 538. Modification of nurse officer candidate accession program 
          restriction on students attending educational institutions 
          with senior reserve officers' training programs.
Sec. 539. Reserve health professionals stipend program expansion.
Sec. 540. Housing allowance for the chaplain for the Corps of Cadets at 
          the United States Military Academy.

              Subtitle E--Recruiting and Accession Programs

Sec. 541. 18-month enlistment pilot program.
Sec. 542. Improved benefits under the Army College First program.
Sec. 543. Correction and extension of certain Army recruiting pilot 
          program authorities.
Sec. 544. Military recruiter access to secondary school students.
Sec. 545. Permanent authority for use of military recruiting funds for 
          certain expenses at Department of Defense recruiting 
          functions.
Sec. 546. Report on health and disability benefits for pre-accession 
          training and education programs.

       Subtitle F--Decorations, Awards, and Posthumous Commissions

Sec. 551. Authority for award of the Medal of Honor to Humbert R. 
          Versace, Jon E. Swanson, and Ben L. Salomon for valor.
Sec. 552. Review regarding award of Medal of Honor to certain Jewish 
          American and Hispanic American war veterans.
Sec. 553. Authority to issue duplicate Medals of Honor and to replace 
          stolen military decorations.
Sec. 554. Retroactive Medal of Honor special pension.
Sec. 555. Waiver of time limitations for award of certain decorations to 
          certain persons.
Sec. 556. Sense of Congress on issuance of certain medals.
Sec. 557. Sense of Congress on development of a more comprehensive, 
          uniform policy for the award of decorations to military and 
          civilian personnel of the Department of Defense.
Sec. 558. Posthumous Army commission in the grade of captain in the 
          Chaplains Corps to Ella E. Gibson for service as chaplain of 
          the First Wisconsin Heavy Artillery Regiment during the Civil 
          War.

                     Subtitle G--Funeral Honors Duty

Sec. 561. Participation of military retirees in funeral honors details.
Sec. 562. Funeral honors duty performed by Reserve and Guard members to 
          be treated as inactive-duty training for certain purposes.
Sec. 563. Use of military leave for funeral honors duty by Reserve 
          members and National Guardsmen.
Sec. 564. Authority to provide appropriate articles of clothing as a 
          civilian uniform for civilians participating in funeral honor 
          details.

             Subtitle H--Military Spouses and Family Members

Sec. 571. Improved financial and other assistance to military spouses 
          for job training and education.
Sec. 572. Persons authorized to be included in surveys of military 
          families regarding Federal programs.
Sec. 573. Clarification of treatment of classified information 
          concerning persons in a missing status.
Sec. 574. Transportation to annual meeting of next-of-kin of persons 
          unaccounted for from conflicts after World War II.
Sec. 575. Amendments to charter of Defense Task Force on Domestic 
          Violence.

        Subtitle I--Military Justice and Legal Assistance Matters

Sec. 581. Blood alcohol content limit for the offense under the Uniform 
          Code of Military Justice of drunken operation of a vehicle, 
          aircraft, or vessel.
Sec. 582. Requirement that courts-martial consist of not less than 12 
          members in capital cases.
Sec. 583. Acceptance of voluntary legal assistance for the civil affairs 
          of members and former members of the uniformed services and 
          their dependents.

                        Subtitle J--Other Matters

Sec. 591. Congressional review period for change in ground combat 
          exclusion policy.
Sec. 592. Per diem allowance for lengthy or numerous deployments.
Sec. 593. Clarification of disability severance pay computation.
Sec. 594. Transportation or storage of privately owned vehicles on 
          change of permanent station.
Sec. 595. Repeal of requirement for final Comptroller General report 
          relating to Army end strength allocations.
Sec. 596. Continued Department of Defense administration of National 
          Guard Challenge program and Department of Defense Starbase 
          program.
Sec. 597. Report on Defense Science Board recommendation on original 
          appointments in regular grades for Academy graduates and 
          certain other new officers.
Sec. 598. Sense of Congress regarding the selection of officers for 
          recommendation for appointment as Commander, United States 
          Transportation Command.

           TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2002.
Sec. 602. Basic pay rate for certain reserve commissioned officers with 
          prior service as an enlisted member or warrant officer.
Sec. 603. Reserve component compensation for distributed learning 
          activities performed as inactive-duty training.
Sec. 604. Subsistence allowances.
Sec. 605. Eligibility for temporary housing allowance while in travel or 
          leave status between permanent duty stations.
Sec. 606. Uniform allowance for officers.
Sec. 607. Family separation allowance for members electing unaccompanied 
          tour by reason of health limitations of dependents.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. One-year extension of certain bonus and special pay 
          authorities for reserve forces.
Sec. 612. One-year extension of certain bonus and special pay 
          authorities for nurse officer candidates, registered nurses, 
          and nurse anesthetists.
Sec. 613. One-year extension of special pay and bonus authorities for 
          nuclear officers.
Sec. 614. One-year extension of other bonus and special pay authorities.
Sec. 615. Hazardous duty pay for members of maritime visit, board, 
          search, and seizure teams.
Sec. 616. Eligibility for certain career continuation bonuses for early 
          commitment to remain on active duty.
Sec. 617. Secretarial discretion in prescribing submarine duty incentive 
          pay rates.
Sec. 618. Conforming accession bonus for dental officers authority with 
          authorities for other special pay and bonuses.
Sec. 619. Modification of eligibility requirements for Individual Ready 
          Reserve bonus for reenlistment, enlistment, or extension of 
          enlistment.
Sec. 620. Installment payment authority for 15-year career status bonus.
Sec. 621. Accession bonus for new officers in critical skills.
Sec. 622. Education savings plan to encourage reenlistments and 
          extensions of service in critical specialties.
Sec. 623. Continuation of payment of special and incentive pay at 
          unreduced rates during stop loss periods.
Sec. 624. Retroactive authorization for imminent danger pay for service 
          in connection with Operation Enduring Freedom.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Minimum per diem rate for travel and transportation allowance 
          for travel performed upon a change of permanent station and 
          certain other travel.
Sec. 632. Eligibility for payment of subsistence expenses associated 
          with occupancy of temporary lodging incident to reporting to 
          first permanent duty station.
Sec. 633. Reimbursement of members for mandatory pet quarantine fees for 
          household pets.
Sec. 634. Increased weight allowance for transportation of baggage and 
          household effects for junior enlisted members.
Sec. 635. Eligibility of additional members for dislocation allowance.
Sec. 636. Partial dislocation allowance authorized for housing moves 
          ordered for Government convenience.
Sec. 637. Allowances for travel performed in connection with members 
          taking authorized leave between consecutive overseas tours.
Sec. 638. Travel and transportation allowances for family members to 
          attend burial of a deceased member of the uniformed services.
Sec. 639. Funded student travel for foreign study under an education 
          program approved by a United States school.

           Subtitle D--Retirement and Survivor Benefit Matters

Sec. 641. Contingent authority for concurrent receipt of military 
          retired pay and veterans' disability compensation and 
          enhancement of special compensation authority.
Sec. 642. Survivor Benefit Plan annuities for surviving spouses of 
          members who die while on active duty and not eligible for 
          retirement.

                        Subtitle E--Other Matters

Sec. 651. Payment for unused leave in excess of 60 days accrued by 
          members of reserve components on active duty for one year or 
          less.
Sec. 652. Additional authority to provide assistance for families of 
          members of the Armed Forces.
Sec. 653. Authorization of transitional compensation and commissary and 
          exchange benefits for dependents of commissioned officers of 
          the Public Health Service and the National Oceanic and 
          Atmospheric Administration who are separated for dependent 
          abuse.
Sec. 654. Transfer of entitlement to educational assistance under 
          Montgomery GI Bill by members of the Armed Forces with 
          critical military skills.

                    TITLE VII--HEALTH CARE PROVISIONS

                Subtitle A--TRICARE Program Improvements

Sec. 701. Sub-acute and long-term care program reform.
Sec. 702. Prosthetics and hearing aids.
Sec. 703. Durable medical equipment.
Sec. 704. Rehabilitative therapy.
Sec. 705. Report on mental health benefits.
Sec. 706. Clarification of eligibility for reimbursement of travel 
          expenses of adult accompanying patient in travel for specialty 
          care.
Sec. 707. TRICARE program limitations on payment rates for institutional 
          health care providers and on balance billing by institutional 
          and noninstitutional health care providers.
Sec. 708. Improvements in administration of the TRICARE program.

                     Subtitle B--Senior Health Care

Sec. 711. Clarifications and improvements regarding the Department of 
          Defense Medicare-Eligible Retiree Health Care Fund.

                     Subtitle C--Studies and Reports

Sec. 721. Comptroller General study of health care coverage of members 
          of the reserve components of the Armed Forces and the National 
          Guard.
Sec. 722. Comptroller General study of adequacy and quality of health 
          care provided to women under the defense health program.
Sec. 723. Repeal of obsolete report requirement.
Sec. 724. Comptroller General report on requirement to provide 
          screenings, physical examinations, and other care for certain 
          members.

                        Subtitle D--Other Matters

Sec. 731. Prohibition against requiring military retirees to receive 
          health care solely through the Department of Defense.
Sec. 732. Fees for trauma and other medical care provided to civilians.
Sec. 733. Enhancement of medical product development.
Sec. 734. Pilot program providing for Department of Veterans Affairs 
          support in the performance of separation physical 
          examinations.
Sec. 735. Modification of prohibition on requirement of nonavailability 
          statement or preauthorization.
Sec. 736. Transitional health care for members separated from active 
          duty.
Sec. 737. Two-year extension of health care management demonstration 
          program.
Sec. 738. Joint DOD-VA pilot program for providing graduate medical 
          education and training for physicians.

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

          Subtitle A--Procurement Management and Administration

Sec. 801. Management of procurement of services.
Sec. 802. Savings goals for procurements of services.
Sec. 803. Competition requirement for purchase of services pursuant to 
          multiple award contracts.
Sec. 804. Reports on maturity of technology at initiation of major 
          defense acquisition programs. 

                  Subtitle B--Use of Preferred Sources

Sec. 811. Applicability of competition requirements to purchases from a 
          required source.
Sec. 812. Extension of mentor-protege program.
Sec. 813. Increase of assistance limitation regarding procurement 
          technical assistance program.

 Subtitle C--Amendments to General Contracting Authorities, Procedures, 
                           and Related Matters

Sec. 821. Amendments to conform with administrative changes in 
          acquisition phase and milestone terminology and to make 
          related adjustments in certain requirements applicable at 
          milestone transition points.
Sec. 822. Follow-on production contracts for products developed pursuant 
          to prototype projects.
Sec. 823. One-year extension of program applying simplified procedures 
          to certain commercial items.
Sec. 824. Acquisition workforce qualifications.
Sec. 825. Report on implementation of recommendations of the acquisition 
          2005 task force.

                        Subtitle D--Other Matters

Sec. 831. Identification of errors made by executive agencies in 
          payments to contractors and recovery of amounts erroneously 
          paid.
Sec. 832. Codification and modification of provision of law known as the 
          ``Berry amendment''.
Sec. 833. Personal services contracts to be performed by individuals or 
          organizations abroad.
Sec. 834. Requirements regarding insensitive munitions.
Sec. 835. Inapplicability of limitation to small purchases of miniature 
          or instrument ball or roller bearings under certain 
          circumstances.
Sec. 836. Temporary emergency procurement authority to facilitate the 
          defense against terrorism or biological or chemical attack.

       TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

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

Sec. 901. Deputy Under Secretary of Defense for Personnel and Readiness.
Sec. 902. Sense of Congress on functions of new Office of Force 
          Transformation in the Office of the Secretary of Defense.
Sec. 903. Suspension of reorganization of engineering and technical 
          authority policy within the Naval Sea Systems Command pending 
          report to congressional committees.

                      Subtitle B--Space Activities

Sec. 911. Joint management of space programs.
Sec. 912. Requirement to establish in the Air Force an officer career 
          field for space.
Sec. 913. Secretary of Defense report on space activities.
Sec. 914. Comptroller General assessment of implementation of 
          recommendations of Space Commission.
Sec. 915. Sense of Congress regarding officers recommended to be 
          appointed to serve as Commander of United States Space 
          Command.

                           Subtitle C--Reports

Sec. 921. Revised requirement for Chairman of the Joint Chiefs of Staff 
          to advise Secretary of Defense on the assignment of roles and 
          missions to the Armed Forces.
Sec. 922. Revised requirements for content of annual report on joint 
          warfighting experimentation.
Sec. 923. Repeal of requirement for one of three remaining required 
          reports on activities of Joint Requirements Oversight Council.
Sec. 924. Revised joint report on establishment of national 
          collaborative information analysis capability.

                        Subtitle D--Other Matters

Sec. 931. Conforming amendments relating to change of name of Military 
          Airlift Command to Air Mobility Command.
Sec. 932. Organizational realignment for Navy Director for Expeditionary 
          Warfare.

                       TITLE X--GENERAL PROVISIONS

                      Subtitle A--Financial Matters

Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Authorization of supplemental appropriations for fiscal year 
2001.
Sec. 1004. United States contribution to NATO common-funded budgets in 
fiscal year 2002.
Sec. 1005. Limitation on funds for Bosnia and Kosovo peacekeeping 
operations for fiscal year 2002.
Sec. 1006. Maximum amount for National Foreign Intelligence Program.
Sec. 1007. Clarification of applicability of interest penalties for late 
payment of interim payments due under contracts for services.
Sec. 1008. Reliability of Department of Defense financial statements.
Sec. 1009. Financial Management Modernization Executive Committee and 
financial feeder systems compliance process.
Sec. 1010. Authorization of funds for ballistic missile defense programs 
or combating terrorism programs of the Department of Defense.

                 Subtitle B--Naval Vessels and Shipyards

Sec. 1011. Authority to transfer naval vessels to certain foreign 
countries.
Sec. 1012. Sale of Glomar Explorer to the lessee.
Sec. 1013. Leasing of Navy ships for university national oceanographic 
laboratory system.
Sec. 1014. Increase in limitations on administrative authority of the 
Navy to settle admiralty claims.

                   Subtitle C--Counter-Drug Activities

Sec. 1021. Extension and restatement of authority to provide Department 
of Defense support for counter-drug activities of other governmental 
agencies.
Sec. 1022. Extension of reporting requirement regarding Department of 
Defense expenditures to support foreign counter-drug activities.
Sec. 1023. Authority to transfer Tracker aircraft currently used by 
Armed Forces for counter-drug purposes.
Sec. 1024. Limitation on use of funds for operation of Tethered Aerostat 
Radar System pending submission of required report.

                      Subtitle D--Strategic Forces

Sec. 1031. Repeal of limitation on retirement or dismantlement of 
strategic nuclear delivery systems.
Sec. 1032. Air Force bomber force structure.
Sec. 1033. Additional element for revised nuclear posture review.
Sec. 1034. Report on options for modernization and enhancement of 
missile wing helicopter support.

           Subtitle E--Other Department of Defense Provisions

Sec. 1041. Secretary of Defense recommendation on need for Department of 
Defense review of proposed Federal agency actions to consider possible 
impact on national defense.
Sec. 1042. Department of Defense reports to Congress to be accompanied 
by electronic version upon request.
Sec. 1043. Department of Defense gift authorities.
Sec. 1044. Acceleration of research, development, and production of 
medical countermeasures for defense against biological warfare agents.
Sec. 1045. Chemical and biological protective equipment for military 
personnel and civilian employees of the Department of Defense.
Sec. 1046. Sale of goods and services by Naval Magazine, Indian Island, 
Alaska.
Sec. 1047. Report on procedures and guidelines for embarkation of 
civilian guests on naval vessels for public affairs purposes.
Sec. 1048. Technical and clerical amendments.
Sec. 1049. Termination of referendum requirement regarding continuation 
of military training on island of Vieques, Puerto Rico, and imposition 
of additional conditions on closure of live-fire training range.

                        Subtitle F--Other Matters

Sec. 1061. Assistance for firefighters.
Sec. 1062. Extension of times for Commission on the Future of the United 
States Aerospace industry to report and to terminate.
Sec. 1063. Appropriations to Radiation Exposure Compensation Trust Fund.
Sec. 1064. Waiver of vehicle weight limits during periods of national 
emergency.
Sec. 1065. Repair, restoration, and preservation of Lafayette Escadrille 
Memorial, Marnes-la-Coquette, France.

                  TITLE XI--CIVILIAN PERSONNEL MATTERS

          Subtitle A--Department of Defense Civilian Personnel

Sec. 1101. Personnel pay and qualifications authority for Department of 
Defense Pentagon Reservation civilian law enforcement and security 
force.
Sec. 1102. Pilot program for payment of retraining expenses.
Sec. 1103. Authority of civilian employees to act as notaries.
Sec. 1104. Authority to appoint certain health care professionals in the 
excepted service.

           Subtitle B--Civilian Personnel Management Generally

Sec. 1111. Authority to provide hostile fire pay.
Sec. 1112. Payment of expenses to obtain professional credentials.
Sec. 1113. Parity in establishment of wage schedules and rates for 
prevailing rate employees.
Sec. 1114. Modification of limitation on premium pay.
Sec. 1115. Participation of personnel in technical standards development 
activities.
Sec. 1116. Retention of travel promotional items.
Sec. 1117. Applicability of certain laws to certain individuals assigned 
to work in the Federal Government.

               Subtitle C--Intelligence Civilian Personnel

Sec. 1121. Authority to increase maximum number of positions in the 
Defense Intelligence Senior Executive Service.

               Subtitle D--Matters Relating to Retirement

Sec. 1131. Improved portability of retirement coverage for employees 
moving between civil service employment and employment by 
nonappropriated fund instrumentalities.
Sec. 1132. Federal employment retirement credit for nonappropriated fund 
instrumentality service.
Sec. 1133. Modification of limitations on exercise of voluntary 
separation incentive pay authority and voluntary early retirement 
authority.

              TITLE XII--MATTERS RELATING TO OTHER NATIONS

       Subtitle A--Matters Related to Arms Control and Monitoring

Sec. 1201. Clarification of authority to furnish nuclear test monitoring 
equipment to foreign governments.
Sec. 1202. Limitation on funding for Joint Data Exchange Center in 
Moscow.
Sec. 1203. Support of United Nations-sponsored efforts to inspect and 
monitor Iraqi weapons activities.
Sec. 1204. Authority for employees of Federal Government contractors to 
accompany chemical weapons inspection teams at Government-owned 
facilities.
Sec. 1205. Plan for securing nuclear weapons, material, and expertise of 
the states of the former Soviet Union.

   Subtitle B--Matters Relating to Allies and Friendly Foreign Nations

Sec. 1211. Acquisition of logistical support for security forces.
Sec. 1212. Extension of authority for international cooperative research 
and development projects.
Sec. 1213. Cooperative agreements with foreign countries and 
international organizations for reciprocal use of test facilities.
Sec. 1214. Sense of Congress on allied defense burdensharing.

                           Subtitle C--Reports

Sec. 1221. Report on significant sales and transfers of military 
hardware, expertise, and technology to the People's Republic of China.
Sec. 1222. Repeal of requirement for reporting to Congress on military 
deployments to Haiti.
Sec. 1223. Report by Comptroller General on provision of defense 
articles, services, and military education and training to foreign 
countries and international organizations.

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

Sec. 1301. Specification of Cooperative Threat Reduction programs and 
funds.
Sec. 1302. Funding allocations.
Sec. 1303. Limitation on use of funds until submission of reports.
Sec. 1304. Requirement to consider use of revenue generated by 
activities carried out under Cooperative Threat Reduction programs.
Sec. 1305. Prohibition against use of funds for second wing of fissile 
material storage facility.
Sec. 1306. Prohibition against use of funds for certain construction 
activities.
Sec. 1307. Reports on activities and assistance under Cooperative Threat 
Reduction programs.
Sec. 1308. Chemical weapons destruction.
Sec. 1309. Additional matter in annual report on activities and 
assistance under Cooperative Threat Reduction programs.

                 TITLE XIV--ARMED FORCES RETIREMENT HOME

Sec. 1401. Amendment of Armed Forces Retirement Home Act of 1991.
Sec. 1402. Definitions.
Sec. 1403. Revision of authority establishing the Armed Forces 
Retirement Home.
Sec. 1404. Chief Operating Officer.
Sec. 1405. Residents of Retirement Home.
Sec. 1406. Local Boards of Trustees.
Sec. 1407. Directors, Deputy Directors, Associate Directors, and staff 
of facilities.
Sec. 1408. Disposition of effects of deceased persons and unclaimed 
property.
Sec. 1409. Transitional provisions.
Sec. 1410. Conforming and clerical amendments and repeals of obsolete 
provisions.

          TITLE XV--ACTIVITIES RELATING TO COMBATING TERRORISM

          Subtitle A--Increased Funding for Combating Terrorism

Sec. 1501. Definitions.
Sec. 1502. Authorization of emergency appropriations for fiscal year 
2001 made by Public Law 107-38 and allocated for national defense 
functions.
Sec. 1503. Authorization of emergency supplemental appropriations for 
fiscal year 2002.
Sec. 1504. Authorization of use of funds for military construction 
projects.
Sec. 1505. Treatment of transferred amounts.
Sec. 1506. Quarterly reports.

       Subtitle B--Policy Matters Relating to Combating Terrorism

Sec. 1511. Study and report on the role of the Department of Defense 
with respect to homeland security.
Sec. 1512. Combating Terrorism Readiness Initiatives Fund for combatant 
commands.
Sec. 1513. Conveyances of equipment and related materials loaned to 
State and local governments as assistance for emergency response to a 
use or threatened use of a weapon of mass destruction.
Sec. 1514. Two-year extension of advisory panel to assess domestic 
response capabilities for terrorism involving weapons of mass 
destruction.

                  TITLE XVI--UNIFORMED SERVICES VOTING

Sec. 1601. Sense of Congress regarding the importance of voting.
Sec. 1602. Voting assistance programs.
Sec. 1603. Guarantee of residency for military personnel.
Sec. 1604. Electronic voting demonstration project.
Sec. 1605. Governors' reports on implementation of recommendations for 
changes in State law made under Federal Voting Assistance Program.
Sec. 1606. Simplification of voter registration and absentee ballot 
application procedures for absent uniformed services and overseas 
voters.
Sec. 1607. Use of certain Department of Defense facilities as polling 
places.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title; definition.

                             TITLE XXI--ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
2001 projects.
Sec. 2106. Modification of authority to carry out certain fiscal year 
2000 projects.

                            TITLE XXII--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
2001 projects.
Sec. 2206. Modification of authority to carry out certain fiscal year 
2000 project.

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Modification of authority to carry out certain fiscal year 
2001 projects.

                      TITLE XXIV--DEFENSE AGENCIES

Sec. 2401. Authorized Defense Agencies construction and land acquisition 
projects.
Sec. 2402. Energy conservation projects.
Sec. 2403. Authorization of appropriations, Defense Agencies.
Sec. 2404. Cancellation of authority to carry out certain fiscal year 
2001 projects.
Sec. 2405. Modification of authority to carry out certain fiscal year 
2000 projects.
Sec. 2406. Modification of authority to carry out certain fiscal year 
1999 project.
Sec. 2407. Modification of authority to carry out certain fiscal year 
1995 project.
Sec. 2408. Prohibition on expenditures to develop forward operating 
location on Aruba.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                 PROGRAM

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

                TITLE XXVI--GUARD AND RESERVE FACILITIES

Sec. 2601. Authorized guard and reserve construction and land 
acquisition projects.

         TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1999 
projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1998 
projects.
Sec. 2704. Effective date.

                    TITLE XXVIII--GENERAL PROVISIONS

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

Sec. 2801. Increase in thresholds for certain unspecified minor military 
construction projects.
Sec. 2802. Exclusion of unforeseen environmental hazard remediation from 
limitation on authorized cost variations.
Sec. 2803. Repeal of annual reporting requirement on military 
construction and military family housing activities.
Sec. 2804. Funds for housing allowances of members assigned to military 
family housing under alternative authority for acquisition and 
improvement of military housing.
Sec. 2805. Extension of alternative authority for acquisition and 
improvement of military housing.
Sec. 2806. Treatment of financing costs as allowable expenses under 
contracts for utility services from utility systems conveyed under 
privatization initiative.

         Subtitle B--Real Property and Facilities Administration

Sec. 2811. Use of military installations for certain recreational 
activities.
Sec. 2812. Availability of proceeds of sales of Department of Defense 
property from certain closed military installations.
Sec. 2813. Pilot program to provide additional tools for efficient 
operation of military installations.
Sec. 2814. Demonstration program on reduction in long-term facility 
maintenance costs.
Sec. 2815. Base efficiency project at Brooks Air Force Base, Texas.

 Subtitle C--Implementation of Prior Base Closure and Realignment Rounds

Sec. 2821. Lease back of base closure property.

                      Subtitle D--Land Conveyances

                        Part I--Army Conveyances

Sec. 2831. Land conveyance, Whittier-Anchorage Pipeline Tank Farm, 
Anchorage, Alaska.
Sec. 2832. Lease authority, Fort Derussy, Hawaii.
Sec. 2833. Modification of land exchange, Rock Island Arsenal, Illinois.
Sec. 2834. Land conveyance, Fort Des Moines, Iowa.
Sec. 2835. Modification of land conveyances, Fort Dix, New Jersey.
Sec. 2836. Land conveyance, Engineer Proving Ground, Fort Belvoir, 
Virginia.
Sec. 2837. Land exchange and consolidation, Fort Lewis, Washington.
Sec. 2838. Land conveyance, Army Reserve Center, Kewaunee, Wisconsin.

                        Part II--Navy Conveyances

Sec. 2841. Transfer of jurisdiction, Centerville Beach Naval Station, 
Humboldt County, California.
Sec. 2842. Land conveyance, Port of Long Beach, California.
Sec. 2843. Conveyance of pier, Naval Base, San Diego, California.
Sec. 2844. Modification of authority for conveyance of Naval Computer 
and Telecommunications Station, Cutler, Maine.
Sec. 2845. Land transfer and conveyance, Naval Security Group Activity, 
Winter Harbor, Maine.
Sec. 2846. Land acquisition, Perquimans County, North Carolina.
Sec. 2847. Land conveyance, Naval Weapons Industrial Reserve Plant, 
Toledo, Ohio.
Sec. 2848. Modification of land conveyance, former United States Marine 
Corps Air Station, Eagle Mountain Lake, Texas.

                     Part III--Air Force Conveyances

Sec. 2851. Conveyance of avigation easements, former Norton Air Force 
Base, California.
Sec. 2852. Reexamination of land conveyance, Lowry Air Force Base, 
Colorado.
Sec. 2853. Water rights conveyance, Andersen Air Force Base, Guam.
Sec. 2854. Conveyance of segment of Loring petroleum pipeline, Maine, 
and related easements.
Sec. 2855. Land conveyance, petroleum terminal serving former Loring Air 
Force Base and Bangor Air National Guard Base, Maine.
Sec. 2856. Land conveyances, certain former Minuteman III ICBM 
facilities in North Dakota.
Sec. 2857. Land conveyances, Charleston Air Force Base, South Carolina.
Sec. 2858. Transfer of jurisdiction, Mukilteo Tank Farm, Everett, 
Washington.

                        Subtitle E--Other Matters

Sec. 2861. Management of the Presidio of San Francisco.
Sec. 2862. Transfer of jurisdiction for development of Air Force morale, 
welfare, and recreation facility, Park City, Utah.
Sec. 2863. Alternate site for United States Air Force Memorial, 
preservation of open space on Arlington Ridge tract, and related land 
transfer at Arlington National Cemetery, Virginia.
Sec. 2864. Establishment of memorial to victims of terrorist attack on 
Pentagon Reservation and authority to accept monetary contributions for 
memorial and repair of Pentagon.
Sec. 2865. Repeal of limitation on cost of renovation of Pentagon 
Reservation.
Sec. 2866. Development of United States Army Heritage and Education 
Center at Carlisle Barracks, Pennsylvania.
Sec. 2867. Effect of limitation on construction of roads or highways, 
Marine Corps Base, Camp Pendleton, California.
Sec. 2868. Establishment of World War II memorial at additional location 
on Guam.
Sec. 2869. Demonstration project for purchase of fire, security, police, 
public works, and utility services from local government agencies.
Sec. 2870. Report on future land needs of United States Military 
Academy, New York, and adjacent community.
Sec. 2871. Naming of Patricia C. Lamar Army National Guard Readiness 
Center, Oxford, Mississippi.

             TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

Sec. 2901. Short title.
Sec. 2902. Withdrawal and reservation of lands for National Training 
Center.
Sec. 2903. Map and legal description.
Sec. 2904. Management of withdrawn and reserved lands.
Sec. 2905. Water rights.
Sec. 2906. Environmental compliance and environmental response 
requirements.
Sec. 2907. West Mojave Coordinated Management Plan.
Sec. 2908. Release of wilderness study areas.
Sec. 2909. Training activity separation from utility corridors.
Sec. 2910. Duration of withdrawal and reservation.
Sec. 2911. Extension of initial withdrawal and reservation.
Sec. 2912. Termination and relinquishment.
Sec. 2913. Delegation of authority.

    TITLE XXX--REALIGNMENT AND CLOSURE OF MILITARY INSTALLATIONS AND 
   PREPARATION OF INFRASTRUCTURE PLAN FOR THE NUCLEAR WEAPONS COMPLEX

Sec. 3001. Authorization of round of realignments and closures of 
military installations in 2005.
Sec. 3002. Selection criteria.
Sec. 3003. Revised procedures for making recommendations for 
realignments and closures and commission consideration of 
recommendations.
Sec. 3004. Limitations on privatization in place.
Sec. 3005. Department of Defense Base Closure Account 2005.
Sec. 3006. Implementation of closure and realignment decisions.
Sec. 3007. Technical and clarifying amendments.
Sec. 3008. Preparation of infrastructure plan for the nuclear weapons 
complex.

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

       TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

          Subtitle A--National Security Programs Authorizations

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

                Subtitle B--Recurring General Provisions

Sec. 3121. Reprogramming.
Sec. 3122. Limits on minor construction projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
activities.
Sec. 3127. Funds available for all national security programs of the 
Department of Energy.
Sec. 3128. Availability of funds.
Sec. 3129. Transfer of defense environmental management funds.
Sec. 3130. Transfer of weapons activities funds.

    Subtitle C--Program Authorizations, Restrictions, and Limitations

Sec. 3131. Consolidation of Nuclear Cities Initiative program with 
Initiatives for Proliferation Prevention program.
Sec. 3132. Nuclear Cities Initiative.
Sec. 3133. Limitation on availability of funds for weapons activities 
for facilities and infrastructure.
Sec. 3134. Limitation on availability of funds for other defense 
activities for national security programs administrative support.
Sec. 3135. Termination date of Office of River Protection, Richland, 
Washington.
Sec. 3136. Support for public education in the vicinity of Los Alamos 
National Laboratory, New Mexico.
Sec. 3137. Reports on achievement of milestones for National Ignition 
Facility.

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

Sec. 3141. Establishment of Principal Deputy Administrator of National 
Nuclear Security Administration.
Sec. 3142. Elimination of requirement that national security 
laboratories and nuclear weapons production facilities report to Deputy 
Administrator for Defense Programs.
Sec. 3143. Repeal of duplicative provision relating to dual office 
holding by personnel of National Nuclear Security Administration.
Sec. 3144. Report on adequacy of Federal pay and hiring authorities to 
meet personnel requirements of National Nuclear Security Administration.

                        Subtitle E--Other Matters

Sec. 3151. Improvements to Energy Employees Occupational Illness 
Compensation Program.
Sec. 3152. Department of Energy counterintelligence polygraph program.
Sec. 3153. One-year extension of authority of Department of Energy to 
pay voluntary separation incentive payments.
Sec. 3154. Annual assessment and report on vulnerability of Department 
of Energy facilities to terrorist attack.
Sec. 3155. Disposition of surplus defense plutonium at Savannah River 
Site, Aiken, South Carolina.
Sec. 3156. Modification of date of report of panel to assess the 
reliability, safety, and security of the United States nuclear 
stockpile.

            Subtitle F--Rocky Flats National Wildlife Refuge

Sec. 3171. Short title.
Sec. 3172. Findings and purposes.
Sec. 3173. Definitions.
Sec. 3174. Future ownership and management.
Sec. 3175. Transfer of management responsibilities and jurisdiction over 
Rocky Flats.
Sec. 3176. Administration of retained property; continuation of cleanup 
and closure.
Sec. 3177. Rocky Flats National Wildlife Refuge.
Sec. 3178. Comprehensive planning process.
Sec. 3179. Property rights.
Sec. 3180. Liabilities and other obligations.
Sec. 3181. Rocky Flats Museum.
Sec. 3182. Annual report on funding.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
Sec. 3303. Authority to dispose of certain materials in National Defense 
Stockpile.
Sec. 3304. Revision of limitations on required disposals of certain 
materials in National Defense Stockpile.
Sec. 3305. Acceleration of required disposal of cobalt in National 
Defense Stockpile.
Sec. 3306. Restriction on disposal of manganese ferro.

                  TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

                   TITLE XXXV--MARITIME ADMINISTRATION

Sec. 3501. Authorization of appropriations for fiscal year 2002.
Sec. 3502. Define ``war risks'' to vessels to include confiscation, 
expropriation, nationalization, and deprivation of the vessels.
Sec. 3503. Holding obligor's cash as collateral under title XI of 
Merchant Marine Act, 1936.

SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

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

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                          TITLE I--PROCUREMENT

               Subtitle A--Authorization of Appropriations

Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical Agents and Munitions Destruction, Defense.
Sec. 107. Defense Health Program.

                        Subtitle B--Army Programs

Sec. 111. Repeal of limitations on bunker defeat munitions program.
Sec. 112. Extension of pilot program on sales of manufactured articles 
          and services of certain Army industrial facilities without 
          regard to availability from domestic sources.
Sec. 113. Limitations on acquisition of interim armored vehicles and 
          deployment of interim brigade combat teams.

                        Subtitle C--Navy Programs

Sec. 121. Virginia class submarine program.
Sec. 122. Multiyear procurement authority for F/A-18E/F aircraft 
          engines.
Sec. 123. V-22 Osprey aircraft program.
Sec. 124. Report on status of V-22 Osprey aircraft before resumption of 
          flight testing.

                     Subtitle D--Air Force Programs

Sec. 131. Multiyear procurement authority for C-17 aircraft.

              Subtitle A--Authorization of Appropriations

SEC. 101. ARMY.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Army as follows:
        (1) For aircraft, $2,075,372,000.
        (2) For missiles, $1,086,954,000.
        (3) For weapons and tracked combat vehicles, $2,348,145,000.
        (4) For ammunition, $1,187,233,000.
        (5) For other procurement, $4,044,080,000.

SEC. 102. NAVY AND MARINE CORPS.

    (a) Navy.--Funds are hereby authorized to be appropriated for 
fiscal year 2002 for procurement for the Navy as follows:
        (1) For aircraft, $8,323,147,000.
        (2) For weapons, including missiles and torpedoes, 
    $1,484,321,000.
        (3) For shipbuilding and conversion, $9,370,972,000.
        (4) For other procurement, $4,282,471,000.
    (b) Marine Corps.--Funds are hereby authorized to be appropriated 
for fiscal year 2002 for procurement for the Marine Corps in the amount 
of $1,014,637,000.
    (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized 
to be appropriated for fiscal year 2002 for procurement of ammunition 
for the Navy and the Marine Corps in the amount of $466,907,000.

SEC. 103. AIR FORCE.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Air Force as follows:
        (1) For aircraft, $10,789,167,000.
        (2) For missiles, $3,222,636,000.
        (3) For ammunition, $881,844,000.
        (4) For other procurement, $8,196,021,000.

SEC. 104. DEFENSE-WIDE ACTIVITIES.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for Defense-wide procurement in the amount of $2,279,482,000.

SEC. 105. DEFENSE INSPECTOR GENERAL.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Inspector General of the Department of Defense 
in the amount of $2,800,000.
    SEC. 106. CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, DEFENSE.
    There is hereby authorized to be appropriated for fiscal year 2002 
for the Department of Defense for Chemical Agents and Munitions 
Destruction, Defense, the amount of $1,153,557,000 for--
        (1) the destruction of lethal chemical agents and munitions in 
    accordance with section 1412 of the Department of Defense 
    Authorization Act, 1986 (50 U.S.C. 1521); and
        (2) the destruction of chemical warfare materiel of the United 
    States that is not covered by section 1412 of such Act.

SEC. 107. DEFENSE HEALTH PROGRAM.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the Department of Defense for procurement for carrying out health 
care programs, projects, and activities of the Department of Defense in 
the total amount of $267,915,000.

                       Subtitle B--Army Programs

    SEC. 111. REPEAL OF LIMITATIONS ON BUNKER DEFEAT MUNITIONS PROGRAM.
    Section 116 of the National Defense Authorization Act for Fiscal 
Year 1995 (Public Law 103-337; 108 Stat. 2682) is repealed.
    SEC. 112. EXTENSION OF PILOT PROGRAM ON SALES OF MANUFACTURED 
      ARTICLES AND SERVICES OF CERTAIN ARMY INDUSTRIAL FACILITIES 
      WITHOUT REGARD TO AVAILABILITY FROM DOMESTIC SOURCES.
    Section 141(a) of the National Defense Authorization Act for Fiscal 
Year 1998 (Public Law 105-85; 10 U.S.C. 4543 note) is amended--
        (1) by striking ``through 2001'' and inserting ``through 
    2002''; and
        (2) by inserting before the period at the end the following: 
    ``, except that during fiscal year 2002 the Secretary may only use 
    articles manufactured at, and services provided by, not more than 
    one Army industrial facility''.
    SEC. 113. LIMITATIONS ON ACQUISITION OF INTERIM ARMORED VEHICLES 
      AND DEPLOYMENT OF INTERIM BRIGADE COMBAT TEAMS.
    Section 113 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-23) is amended--
        (1) by redesignating subsection (f) as subsection (j); and
        (2) by inserting after subsection (e) the following new 
    subsections:
    ``(f) Waiver of Comparison Requirement.--The Secretary of Defense 
may waive subsections (c) and (e)(1) and submit to the congressional 
defense committees a certification under subsection (e)(2) without 
regard to the requirement in that subsection for the completion of a 
comparison of costs and operational effectiveness if the Secretary 
includes in the submittal a certification of each of the following:
        ``(1) That the results of executed tests and existing analyses 
    are sufficient for making a meaningful comparison of the costs and 
    operational effectiveness of the interim armored vehicles referred 
    to in subparagraph (A) of subsection (c)(1) and the medium armored 
    vehicles referred to in subparagraph (B) of such subsection.
        ``(2) That the conduct of a comparative evaluation of those 
    vehicles in a realistic field environment would provide no 
    significant additional data relevant to that comparison.
        ``(3) That the Secretary has evaluated the existing data on 
    cost and operational effectiveness of those vehicles and, taking 
    that data into consideration, approves the obligation of funds for 
    the acquisition of additional interim armored vehicles.
        ``(4) That sufficient resources will be requested in the 
    future-years defense program to fully fund the Army's requirements 
    for interim brigade combat teams.
        ``(5) That the force structure resulting from the establishment 
    of the interim brigade combat teams and the subsequent achievement 
    of operational capability by those teams will not diminish the 
    combat power of the Army.
    ``(g) Experimentation Program.--The Secretary of the Army shall 
develop and provide resources for an experimentation program that 
will--
        ``(1) provide information as to the design of the objective 
    force; and
        ``(2) include a formal linkage of the interim brigade combat 
    teams to that experimentation.
    ``(h) Operational Evaluation.--(1) The Secretary of the Army shall 
conduct an operational evaluation of the initial interim brigade combat 
team. The evaluation shall include deployment of the team to the 
evaluation site and team execution of combat missions across the full 
spectrum of potential threats and operational scenarios.
    ``(2) The operational evaluation under paragraph (1) may not be 
conducted until the plan for such evaluation is approved by the 
Director of Operational Test and Evaluation of the Department of 
Defense.
    ``(i) Limitation on Procurement of Interim Armored Vehicles and 
Deployment of IBCTs.--(1) The actions described in paragraph (2) may 
not be taken until the date that is 30 days after the date on which the 
Secretary of Defense--
        ``(A) submits to Congress a report on the operational 
    evaluation carried out under subsection (h); and
        ``(B) certifies to Congress that the results of that 
    operational evaluation indicate that the design for the interim 
    brigade combat team is operationally effective and operationally 
    suitable.
    ``(2) The limitation in paragraph (1) applies to the following 
actions:
        ``(A) Procurement of interim armored vehicles in addition to 
    those necessary for equipping the first three interim brigade 
    combat teams.
        ``(B) Deployment of any interim brigade combat team outside the 
    United States.
    ``(3) The Secretary of Defense may waive the applicability of 
paragraph (1) to a deployment described in paragraph (2)(B) if the 
Secretary--
        ``(A) determines that the deployment is in the national 
    security interests of the United States; and
        ``(B) submits to Congress, in writing, a notification of the 
    waiver together with a discussion of the reasons for the waiver.''.

                       Subtitle C--Navy Programs

SEC. 121. VIRGINIA CLASS SUBMARINE PROGRAM.

    Section 123(b)(1) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-25) is amended--
        (1) by striking ``five Virginia class submarines'' and 
    inserting ``seven Virginia class submarines''; and
        (2) by striking ``2006'' and inserting ``2007''.
    SEC. 122. MULTIYEAR PROCUREMENT AUTHORITY FOR F/A-18E/F AIRCRAFT 
      ENGINES.
    (a) Multiyear Authority.--Beginning with the 2002 program year, the 
Secretary of the Navy may, in accordance with section 2306b of title 
10, United States Code, enter into a multiyear contract for the 
procurement of engines for F/A-18E/F aircraft.
    (b) Required Certifications.--In the case of a contract authorized 
by subsection (a) of this section, a certification under subsection 
(i)(1)(A) of section 2306b of title 10, United States Code, with 
respect to that contract may only be submitted if the certification 
includes an additional certification that each of the conditions 
specified in subsection (a) of that section has been satisfied with 
respect to that contract.
    (c) Congressional Notice-and-Wait Period.--Upon transmission to 
Congress of a certification referred to in subsection (b) with respect 
to a contract authorized by subsection (a), the contract may then be 
entered into only after a period of 30 days has elapsed after the date 
of the transmission of such certification.

SEC. 123. V-22 OSPREY AIRCRAFT PROGRAM.

    The production rate for V-22 Osprey aircraft may not be increased 
above the minimum sustaining production rate for which funds are 
authorized to be appropriated by this Act until the Secretary of 
Defense certifies to Congress that successful operational testing of 
the aircraft demonstrates that--
        (1) the solutions to the problems regarding the reliability of 
    hydraulic system components and flight control software that were 
    identified by the panel appointed by the Secretary of Defense on 
    January 5, 2001, to review the V-22 aircraft program are adequate 
    to achieve low risk for crews and passengers aboard V-22 aircraft 
    that are operating under operational conditions;
        (2) the V-22 aircraft can achieve reliability and 
    maintainability levels that are sufficient for the aircraft to 
    achieve operational availability at the level required for fleet 
    aircraft;
        (3) the V-22 aircraft will be operationally effective--
            (A) when employed in operations with other V-22 aircraft; 
        and
            (B) when employed in operations with other types of 
        aircraft; and
        (4) the V-22 aircraft can be operated effectively, taking into 
    consideration the downwash effects inherent in the operation of the 
    aircraft, when the aircraft--
            (A) is operated in remote areas with unimproved terrain and 
        facilities;
            (B) is deploying and recovering personnel--
                (i) while hovering within the zone of ground effect; 
            and
                (ii) while hovering outside the zone of ground effect; 
            and
            (C) is operated with external loads.
    SEC. 124. REPORT ON STATUS OF V-22 OSPREY AIRCRAFT BEFORE 
      RESUMPTION OF FLIGHT TESTING.
    Not later than 30 days before the resumption of flight testing of 
the V-22 Osprey aircraft, the Secretary of Defense shall submit to 
Congress a report containing the following:
        (1) A comprehensive description of the status of the hydraulics 
    system and flight control software of the V-22 Osprey aircraft, 
    including--
            (A) a description and analysis of any deficiencies in the 
        hydraulics system and flight control software of the V-22 
        Osprey aircraft; and
            (B) a description and assessment of the actions taken to 
        redress each such deficiency.
        (2) A description of the current actions, and any proposed 
    actions, of the Department of Defense to implement the 
    recommendations of the panel appointed by the Secretary of Defense 
    on January 5, 2001, to review the V-22 aircraft program.
        (3) An assessment of the recommendations of the National 
    Aeronautics and Space Administration on tiltrotor aeromechanics 
    provided in a briefing to the Undersecretary of Defense for 
    Acquisition, Logistics, and Technology on August 14, 2001.
        (4) Notice of the waiver, if any, of any item capability or any 
    other requirement specified in the Joint Operational Requirements 
    Document for the V-22 Osprey aircraft, including a justification of 
    each such waiver.

                     Subtitle D--Air Force Programs

    SEC. 131. MULTIYEAR PROCUREMENT AUTHORITY FOR C-17 AIRCRAFT.
    (a) Multiyear Authority.--Beginning with the 2002 program year, the 
Secretary of the Air Force may enter into a multiyear contract for the 
procurement of up to 60 C-17 aircraft. Such a contract shall be entered 
into in accordance with section 2306b of title 10, United States Code, 
except that, notwithstanding subsection (k) of such section, such a 
contract may be for a period of six program years.
    (b) Required Certifications.--In the case of a contract authorized 
by subsection (a) of this section, a certification under subsection 
(i)(1)(A) of section 2306b of title 10, United States Code, with 
respect to that contract may only be submitted if the certification 
includes an additional certification that each of the conditions 
specified in subsection (a) of that section has been satisfied with 
respect to that contract.
    (c) Congressional Notice-and-Wait Period.--Upon transmission to 
Congress of a certification referred to in subsection (b) with respect 
to a contract authorized by subsection (a), the contract may then be 
entered into only after a period of 30 days has elapsed after the date 
of the transmission of such certification.

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

               Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.
Sec. 203. Supplemental authorization of appropriations for fiscal year 
          2001 for research, development, test, and evaluation, Defense-
          wide.

     Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Naval surface fire support assessment.
Sec. 212. Collaborative program for development of advanced radar 
          systems.
Sec. 213. Repeal of limitations on total cost of engineering and 
          manufacturing development for F-22 aircraft program.
Sec. 214. Joint biological defense program.
Sec. 215. Cooperative Department of Defense-Department of Veterans 
          Affairs medical research program.
Sec. 216. C-5 aircraft reliability enhancement and reengining program.

                  Subtitle C--Ballistic Missile Defense

Sec. 231. Transfer of responsibility for procurement for missile defense 
          programs from Ballistic Missile Defense Organization to 
          military departments.
Sec. 232. Program elements for Ballistic Missile Defense Organization.
Sec. 233. Support of ballistic missile defense activities of the 
          Department of Defense by the national defense laboratories of 
          the Department of Energy.
Sec. 234. Missile defense testing initiative.
Sec. 235. Construction of test bed facilities for missile defense 
          system.

    Subtitle D--Air Force Science and Technology for the 21st Century

Sec. 251. Short title.
Sec. 252. Science and technology investment and development planning.
Sec. 253. Study and report on effectiveness of Air Force science and 
          technology program changes.

                        Subtitle E--Other Matters

Sec. 261. Establishment of unmanned aerial vehicle joint operational 
          test bed system.
Sec. 262. Demonstration project to increase small business and 
          university participation in Office of Naval Research efforts 
          to extend benefits of science and technology research to 
          fleet.
Sec. 263. Communication of safety concerns from operational test and 
          evaluation officials to program managers.

              Subtitle A--Authorization of Appropriations

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the use of the Department of Defense for research, development, 
test, and evaluation as follows:
        (1) For the Army, $6,675,325,000.
        (2) For the Navy, $10,784,264,000.
        (3) For the Air Force, $14,407,187,000.
        (4) For Defense-wide activities, $14,593,995,000, of which 
    $221,355,000 is authorized for the Director of Operational Test and 
    Evaluation.

SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

    (a) Fiscal Year 2002.--Of the amounts authorized to be appropriated 
by section 201, $5,070,605,000 shall be available for basic research 
and applied research projects.
    (b) Basic Research and Applied Research Defined.--For purposes of 
this section, the term ``basic research and applied research'' means 
work funded in program elements for defense research and development 
under Department of Defense category 6.1 or 6.2.
    SEC. 203. SUPPLEMENTAL AUTHORIZATION OF APPROPRIATIONS FOR FISCAL 
      YEAR 2001 FOR RESEARCH, DEVELOPMENT, TEST, AND EVALUATION, 
      DEFENSE-WIDE.
    In addition to the funds authorized to be appropriated under 
section 201(4) of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-32), there is hereby authorized to be appropriated 
$1,000,000 for fiscal year 2001 for the use of the Department of 
Defense for research, development, test, and evaluation, for Defense-
wide activities.

    Subtitle B--Program Requirements, Restrictions, and Limitations

SEC. 211. NAVAL SURFACE FIRE SUPPORT ASSESSMENT.

    (a) Assessment Required.--The Secretary of Defense shall carry out 
an assessment of the requirements for naval surface fire support of 
ground forces operating in the littoral environment, including the role 
of an advanced fire support missile system for Navy combatant vessels. 
The matters assessed shall include the Secretary of the Navy's program 
plan, schedule, and funding for meeting such requirements.
    (b) Report.--Not later than March 31, 2002, the Secretary of 
Defense shall submit to the congressional defense committees a report 
containing the results of the assessment required by subsection (a).
    SEC. 212. COLLABORATIVE PROGRAM FOR DEVELOPMENT OF ADVANCED RADAR 
      SYSTEMS.
    (a) Program Required.--The Secretary of Defense shall carry out a 
program to develop and demonstrate advanced technologies and concepts 
leading to advanced radar systems for naval and other applications.
    (b) Description of Program.--The program under subsection (a) shall 
be carried out collaboratively by the Director of Defense Research and 
Engineering, the Secretary of the Navy, the Director of the Defense 
Advanced Research Projects Agency, and other appropriate elements of 
the Department of Defense. The program shall include the following 
activities:
        (1) Activities needed for development and maturation of the 
    technologies for advanced electronics materials to extend the range 
    and sensitivity of radars.
        (2) Identification of acquisition systems for use of the new 
    technology.
    (c) Report.--Not later than March 31, 2002, the Director of Defense 
Research and Engineering shall submit to the congressional defense 
committees a report on the implementation of the program under 
subsection (a). The report shall include the following:
        (1) A description of the management plan for the program and 
    any agreements relating to that plan.
        (2) A schedule for the program.
        (3) Identification of the funding required for fiscal year 2003 
    and for the future-years defense program to carry out the program.
        (4) A list of program capability goals and objectives.
    SEC. 213. REPEAL OF LIMITATIONS ON TOTAL COST OF ENGINEERING AND 
      MANUFACTURING DEVELOPMENT FOR F-22 AIRCRAFT PROGRAM.
    (a) Repeal.--The following provisions of law are repealed:
        (1) Section 217(a) of the National Defense Authorization Act 
    for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1660).
        (2) Section 8125 of the Department of Defense Appropriations 
    Act, 2001 (Public Law 106-259; 114 Stat. 702).
        (3) Section 219(b) of the Floyd D. Spence National Defense 
    Authorization Act for Fiscal Year 2001 (as enacted into law by 
    Public Law 106-398; 114 Stat. 1654A-38).
    (b) Conforming Amendments.--(1) Section 217 of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 
1660), as amended by subsection (a)(1), is further amended--
        (A) in subsection (c)--
            (i) by striking ``limitations set forth in subsections (a) 
        and (b)'' and inserting ``limitation set forth in subsection 
        (b)''; and
            (ii) by striking paragraph (3); and
        (B) in subsection (d)(2), by striking subparagraphs (D) and 
    (E).
    (2) Section 131 of the National Defense Authorization Act for 
Fiscal Year 2000 (Public Law 106-65; 113 Stat. 536) is amended--
        (A) in subsection (a)(2), by striking ``That the'' and all that 
    follows through ``respectively,'' and inserting ``That the 
    production phase for that program can be executed within the 
    limitation on total cost applicable to that program under 
    subsection (b)''; and
        (B) in subsection (b)(3), by striking ``for the remainder of 
    the engineering and manufacturing development phase and''.

SEC. 214. JOINT BIOLOGICAL DEFENSE PROGRAM.

    Section 217(a) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-36) is amended by striking ``funds 
authorized to be appropriated by this Act may not'' and inserting ``no 
funds authorized to be appropriated to the Department of Defense for 
fiscal year 2002 may''.
    SEC. 215. COOPERATIVE DEPARTMENT OF DEFENSE-DEPARTMENT OF VETERANS 
      AFFAIRS MEDICAL RESEARCH PROGRAM.
    Of the funds authorized to be appropriated by section 201(4), 
$2,500,000 shall be available for the cooperative Department of 
Defense/Department of Veterans Affairs medical research program. The 
Secretary of Defense shall transfer such amount to the Secretary of 
Veterans Affairs for such purpose not later than 30 days after the date 
of the enactment of this Act.
    SEC. 216. C-5 AIRCRAFT RELIABILITY ENHANCEMENT AND REENGINING 
      PROGRAM.
    (a) Kit Development.--The Secretary of the Air Force shall ensure 
that engineering manufacturing and development under the C-5 aircraft 
reliability enhancement and reengining program includes kit development 
for at least one C-5A aircraft.
    (b) Aircraft To Be Used for Kit Development.--The C-5A aircraft to 
be used for purposes of the kit development under subsection (a) shall 
be an aircraft from among the 74 C-5A aircraft of the Air Force.

                 Subtitle C--Ballistic Missile Defense

    SEC. 231. TRANSFER OF RESPONSIBILITY FOR PROCUREMENT FOR MISSILE 
      DEFENSE PROGRAMS FROM BALLISTIC MISSILE DEFENSE ORGANIZATION TO 
      MILITARY DEPARTMENTS.
    (a) Budgeting of Missile Defense Procurement Authority.--Section 
224 of title 10, United States Code is amended--
        (1) in subsection (a), by striking ``procurement'' both places 
    it appears and inserting ``research, development, test, and 
    evaluation''; and
        (2) by striking subsections (b) and (c) and inserting the 
    following:
    ``(b) Transfer Criteria.--(1) The Secretary of Defense shall 
establish criteria for the transfer of responsibility for a ballistic 
missile defense program from the Director of the Ballistic Missile 
Defense Organization to the Secretary of a military department. The 
criteria established for such a transfer shall, at a minimum, address 
the following:
        ``(A) The technical maturity of the program.
        ``(B) The availability of facilities for production.
        ``(C) The commitment of the Secretary of the military 
    department concerned to procurement funding for that program, as 
    shown by funding through the future-years defense program and other 
    defense planning documents.
    ``(2) The Secretary shall submit the criteria established, and any 
modifications to those criteria, to the congressional defense 
committees.
    ``(c) Notification of Transfer.--Before responsibility for a 
ballistic missile defense program is transferred from the Director of 
the Ballistic Missile Defense Organization to the Secretary of a 
military department, the Secretary of Defense shall submit to the 
congressional defense committees notice in writing of the Secretary's 
intent to make that transfer. The Secretary shall include with such 
notice a certification that the program has met the criteria 
established under subsection (b) for such a transfer. The transfer may 
then be carried out after the end of the 60-day period beginning on the 
date of such notice.
    ``(d) Conforming Budget and Planning Transfers.--When a ballistic 
missile defense program is transferred from the Ballistic Missile 
Defense Organization to the Secretary of a military department in 
accordance with this section, the Secretary of Defense shall ensure 
that all appropriate conforming changes are made to proposed or 
projected funding allocations in the future-years defense program under 
section 221 of this title and other Department of Defense program, 
budget, and planning documents.
    ``(e) Follow-on Research, Development, Test, and Evaluation.--The 
Secretary of Defense shall ensure that, before a ballistic missile 
defense program is transferred from the Director of the Ballistic 
Missile Defense Organization to the Secretary of a military department, 
roles and responsibilities for research, development, test, and 
evaluation related to system improvements for that program are clearly 
defined.
    ``(f) Congressional Defense Committees.--In this section, the term 
`congressional defense committees' means the following:
        ``(1) The Committee on Armed Services and the Committee on 
    Appropriations of the Senate.
        ``(2) The Committee on Armed Services and the Committee on 
    Appropriations of the House of Representatives.''.
    (b) Clerical Amendments.--(1) The heading of that section is 
amended to read as follows:
``Sec. 224. Ballistic missile defense programs: display of amounts for 
    research, development, test, and evaluation''.
    (2) The item relating to that section in the table of sections at 
the beginning of chapter 9 of such title is amended to read as follows:

``224. Ballistic missile defense programs: display of amounts for 
research, development, test, and evaluation.''.

    SEC. 232. PROGRAM ELEMENTS FOR BALLISTIC MISSILE DEFENSE 
      ORGANIZATION.
    (a) Revision in Program Elements.--Subsection (a) of section 223 of 
title 10, United States Code, is amended--
        (1) by striking ``in accordance with the following program 
    elements:'' and inserting ``in accordance with program elements 
    governing functional areas as follows:''; and
        (2) by striking paragraphs (1) through (12) and inserting the 
    following:
        ``(1) Technology.
        ``(2) Ballistic Missile Defense System.
        ``(3) Terminal Defense Segment.
        ``(4) Midcourse Defense Segment.
        ``(5) Boost Defense Segment.
        ``(6) Sensors Segment.''.
    (b) Additional Requirements.--Subsection (b) of such section is 
amended to read as follows:
    ``(b) Separate Program Elements for Programs Entering Engineering 
and Manufacturing Development.--(1) The Secretary of Defense shall 
ensure that each ballistic missile defense program that enters 
engineering and manufacturing development is assigned a separate, 
dedicated program element.
    ``(2) In this subsection, the term `engineering and manufacturing 
development' means the development phase whose primary objectives are 
to--
        ``(A) translate the most promising design approach into a 
    stable, interoperable, producible, supportable, and cost-effective 
    design;
        ``(B) validate the manufacturing or production process; and
        ``(C) demonstrate system capabilities through testing.''.
    (c) Requirement for Annual Program Goals.--(1) The Secretary of 
Defense shall each year establish cost, schedule, testing, and 
performance goals for the ballistic missile defense programs of the 
Department of Defense for the period covered by the future-years 
defense program that is submitted to Congress that year under section 
221 of title 10, United States Code. Not later than February 1 each 
year, the Secretary shall submit to the congressional defense 
committees a statement of the goals so established.
    (2) The statement of goals submitted under paragraph (1) for any 
year after 2002 shall be an update of the statement submitted under 
that paragraph for the preceding year.
    (3) Each statement of goals submitted under paragraph (1) shall set 
forth cost, schedule, testing, and performance goals that pertain to 
each functional area program element identified in subsection (a), and 
each program element identified in subsection (b), of section 223 of 
title 10, United States Code.
    (d) Annual Program Plan.--(1) With the submission of the statement 
of goals under subsection (c) for any year, the Secretary of Defense 
shall submit to the congressional defense committees a program of 
activities planned to be carried out for each missile defense program 
that enters engineering and manufacturing development (as defined in 
section 223(b)(2) of title 10, United States Code, as added by 
subsection (b)).
    (2) Each program plan under paragraph (1) shall include the 
following:
        (A) A funding profile that includes an estimate of--
            (i) the total expenditures to be made in the fiscal year in 
        which the plan is submitted and the following fiscal year, 
        together with the estimated total life-cycle costs of the 
        program; and
            (ii) a display of such expenditures (shown for significant 
        procurement, construction, and research and development) for 
        the fiscal year in which the plan is submitted and the 
        following fiscal year.
        (B) A program schedule for the fiscal year in which the plan is 
    submitted and the following fiscal year for each of the following:
            (i) Significant procurement.
            (ii) Construction.
            (iii) Research and development.
            (iv) Flight tests.
            (v) Other significant testing activities.
    (3) Information specified in paragraph (2) need not be included in 
the plan for any year under paragraph (1) to the extent such 
information has already been provided, or will be provided in the 
current fiscal year, in annual budget justification documents of the 
Department of Defense submitted to Congress or in other required 
reports to Congress.
    (e) Internal DOD Reviews.--(1) The officials and elements of the 
Department of Defense specified in paragraph (2) shall on an ongoing 
basis--
        (A) review the development of goals under subsection (c) and 
    the annual program plan under subsection (d); and
        (B) provide to the Secretary of Defense and the Director of the 
    Ballistic Missile Defense Organization any comments on such matters 
    as considered appropriate.
    (2) Paragraph (1) applies with respect to the following:
        (A) The Under Secretary of Defense for Acquisition, Technology, 
    and Logistics.
        (B) The Director of Operational Test and Evaluation.
        (C) The Director of Program Analysis and Evaluation.
        (D) The Joint Requirements Oversight Council.
        (E) The Cost Analysis and Improvement Group.
    (f) Demonstration of Critical Technologies.--(1) The Director of 
the Ballistic Missile Defense Organization shall develop a plan for 
ensuring that each critical technology for a missile defense program is 
successfully demonstrated in an appropriate environment before that 
technology enters into operational service as part of a missile defense 
program.
    (2) The Director of Operational Test and Evaluation of the 
Department of Defense shall monitor the development of the plan under 
paragraph (1) and shall submit to the Director of the Ballistic Missile 
Defense Organization any comments regarding that plan that the Director 
of Operational Test and Evaluation considers appropriate.
    (g) Comptroller General Assessment.--(1) At the conclusion of each 
of fiscal years 2002 and 2003, the Comptroller General of the United 
States shall assess the extent to which the Ballistic Missile Defense 
Organization achieved the goals established under subsection (c) for 
such fiscal year.
    (2) Not later than February 15, 2003, and February 15, 2004, the 
Comptroller General shall submit to the congressional defense 
committees a report on the Comptroller General's assessment under 
paragraph (1) with respect to the preceding fiscal year.
    (h) Annual OT&E Assessment of Test Program.--(1) The Director of 
Operational Test and Evaluation shall each year assess the adequacy and 
sufficiency of the Ballistic Missile Defense Organization test program 
during the preceding fiscal year.
    (2) Not later than February 15 each year the Director shall submit 
to the congressional defense committees a report on the assessment 
under paragraph (1) with respect to the preceding fiscal year.
    SEC. 233. SUPPORT OF BALLISTIC MISSILE DEFENSE ACTIVITIES OF THE 
      DEPARTMENT OF DEFENSE BY THE NATIONAL DEFENSE LABORATORIES OF THE 
      DEPARTMENT OF ENERGY.
    (a) Funds To Carry Out Certain Ballistic Missile Defense 
Activities.--Of the amounts authorized to be appropriated to the 
Department of Defense pursuant to section 201(4), $25,000,000 shall be 
available, subject to subsection (b) and at the discretion of the 
Director of the Ballistic Missile Defense Organization, for research, 
development, and demonstration activities at the national laboratories 
of the Department of Energy in support of the missions of the Ballistic 
Missile Defense Organization, including the following activities:
        (1) Technology development, concept demonstration, and 
    integrated testing to enhance performance, reduce risk, and improve 
    reliability in hit-to-kill interceptors for ballistic missile 
    defense.
        (2) Support for science and engineering teams to assess 
    critical technical problems and prudent alternative approaches as 
    agreed upon by the Director of the Ballistic Missile Defense 
    Organization and the Administrator for Nuclear Security.
    (b) Requirement for Matching Funds From NNSA.--Funds shall be 
available as provided in subsection (a) only if the Administrator for 
Nuclear Security makes available matching funds for the activities 
referred to in subsection (a).
    (c) Memorandum of Understanding.--The activities referred to in 
subsection (a) shall be carried out under the memorandum of 
understanding entered into by the Secretary of Energy and the Secretary 
of Defense for the use of national laboratories for ballistic missile 
defense programs, as required by section 3131 of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 
2034) and modified pursuant to section 3132 of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted 
into law by Public Law 106-398; 114 Stat. 1654A-455) to provide for 
jointly funded projects.

SEC. 234. MISSILE DEFENSE TESTING INITIATIVE.

    (a) Testing Infrastructure.--(1) The Secretary of Defense shall 
ensure that each annual budget request of the Department of Defense--
        (A) is designed to provide for comprehensive testing of 
    ballistic missile defense programs during early stages of 
    development; and
        (B) includes necessary funding to support and improve test 
    infrastructure and provide adequate test assets for the testing of 
    such programs.
    (2) The Secretary shall ensure that ballistic missile defense 
programs incorporate, to the greatest possible extent, operationally 
realistic test configurations (referred to as ``test bed'' 
configurations) to demonstrate system performance across a broad range 
of capability and, during final stages of operational testing, to 
demonstrate reliable performance.
    (3) The Secretary shall ensure that the test infrastructure for 
ballistic missile defense programs is capable of supporting continued 
testing of ballistic missile defense systems after deployment.
    (b) Requirements for Early Stages of System Development.--In order 
to demonstrate acceptable risk and developmental stability, the 
Secretary of Defense shall ensure that any ballistic missile defense 
program incorporates, to the maximum extent practicable, the following 
elements during the early stages of system development:
        (1) Pursuit of parallel conceptual approaches and technological 
    paths for all critical problematic components until effective and 
    reliable solutions can be demonstrated.
        (2) Comprehensive ground testing in conjunction with flight-
    testing for key elements of the proposed system that are considered 
    to present high risk, with such ground testing to make use of 
    existing facilities and combinations of facilities that support 
    testing at the highest possible levels of integration.
        (3) Where appropriate, expenditures to enhance the capabilities 
    of existing test facilities, or to construct new test facilities, 
    to support alternative complementary test methodologies.
        (4) Sufficient funding of test instrumentation to ensure 
    accurate measurement of all critical test events.
        (5) Incorporation into the program of sufficient schedule 
    flexibility and expendable test assets, including missile 
    interceptors and targets, to ensure that failed or aborted tests 
    can be repeated in a prudent, but expeditious manner.
        (6) Incorporation into flight-test planning for the program, 
    where possible, of--
            (A) methods that make the most cost-effective use of test 
        opportunities;
            (B) events to demonstrate engagement of multiple targets, 
        ``shoot-look-shoot'', and other planned operational concepts; 
        and
            (C) exploitation of opportunities to facilitate early 
        development and demonstration of ``family of systems'' 
        concepts.
    (c) Specific Requirements for Ground-Based Mid-Course Interceptor 
Systems.--For ground-based mid-course interceptor systems, the 
Secretary of Defense shall initiate steps during fiscal year 2002 to 
establish a flight-test capability of launching not less than three 
missile defense interceptors and not less than two ballistic missile 
targets to provide a realistic test infrastructure.
    SEC. 235. CONSTRUCTION OF TEST BED FACILITIES FOR MISSILE DEFENSE 
      SYSTEM.
    (a) Authority To Acquire or Construct Facilities.--(1) The 
Secretary of Defense, using funds appropriated to the Department of 
Defense for research, development, test, and evaluation for fiscal 
years after fiscal year 2001 that are available for programs of the 
Ballistic Missile Defense Organization, may carry out all construction 
projects, or portions of construction projects, including projects for 
the acquisition, improvement, or construction of facilities, necessary 
to establish and operate the Missile Defense System Test Bed.
    (2) The authority provided in subsection (a) may be used to 
acquire, improve, or construct facilities at a total cost not to exceed 
$500,000,000.
    (b) Authority To Provide Assistance to Local Communities.--(1) 
Subject to paragraph (2), the Secretary of Defense, using funds 
appropriated to the Department of Defense for research, development, 
test, and evaluation for fiscal year 2002 that are available for 
programs of the Ballistic Missile Defense Organization, may provide 
assistance to local communities to meet the need for increased 
municipal or community services or facilities resulting from the 
construction, installation, or operation of the Missile Defense System 
Test Bed Facilities. Such assistance may be provided by grant or 
otherwise.
    (2) Assistance may be provided to a community under paragraph (1) 
only if the Secretary of Defense determines that there is an immediate 
and substantial increase in the need for municipal or community 
services or facilities as a direct result of the construction, 
installation, or operation of the Missile Defense System Test Bed 
Facilities.

   Subtitle D--Air Force Science and Technology for the 21st Century

SEC. 251. SHORT TITLE.

    This subtitle may be cited as the ``Air Force Science and 
Technology for the 21st Century Act''.
    SEC. 252. SCIENCE AND TECHNOLOGY INVESTMENT AND DEVELOPMENT 
      PLANNING.
    (a) Sense of Congress.--It is the sense of Congress that the 
Secretary of the Air Force should carry out each of the following:
        (1) Continue and improve efforts to ensure that--
            (A) the Air Force science and technology community is 
        represented, and the recommendations of that community are 
        considered, at all levels of program planning and budgetary 
        decisionmaking within the Air Force;
            (B) advocacy for science and technology development is 
        institutionalized across all levels of Air Force management in 
        a manner that is not dependent on individuals; and
            (C) the value of Air Force science and technology 
        development is made increasingly apparent to the warfighters, 
        by linking the needs of those warfighters with decisions on 
        science and technology development.
        (2) Complete and adopt a policy directive that provides for 
    changes in how the Air Force makes budgetary and nonbudgetary 
    decisions with respect to its science and technology development 
    programs and how it carries out those programs.
        (3) At least once every five years, conduct a review of the 
    long-term challenges and short-term objectives of the Air Force 
    science and technology programs that is consistent with the review 
    specified in section 252 of the Floyd D. Spence National Defense 
    Authorization Act for Fiscal Year 2001 (as enacted into law by 
    Public Law 106-398; 114 Stat. 1654A-46).
        (4) Ensure that development and science and technology planning 
    and investment activities are carried out for future space 
    warfighting systems and for future nonspace warfighting systems in 
    an integrated manner.
        (5) Elevate the position within the Office of the Secretary of 
    the Air Force that has primary responsibility for budget and policy 
    decisions for science and technology programs.
    (b) Reinstatement of Development Planning.--(1) The Secretary of 
the Air Force shall reinstate and implement a revised development 
planning process that provides for each of the following:
        (A) Coordinating the needs of Air Force warfighters with 
    decisions on science and technology development.
        (B) Giving input into the establishment of priorities among 
    science and technology programs.
        (C) Analyzing Air Force capability options for the allocation 
    of Air Force resources.
        (D) Developing concepts for technology, warfighting systems, 
    and operations with which the Air Force can achieve its critical 
    future goals.
        (E) Evaluating concepts for systems and operations that 
    leverage technology across Air Force organizational boundaries.
        (F) Ensuring that a ``system-of-systems'' approach is used in 
    carrying out the various Air Force capability planning exercises.
        (G) Utilizing existing analysis capabilities within the Air 
    Force product centers in a collaborative and integrated manner.
    (2) Not later than one year after the date of the enactment of this 
Act, the Secretary of the Air Force shall submit to Congress a report 
on the implementation of the planning process required by paragraph 
(1). The report shall include the annual amount that the Secretary 
considers necessary to carry out paragraph (1).
    SEC. 253. STUDY AND REPORT ON EFFECTIVENESS OF AIR FORCE SCIENCE 
      AND TECHNOLOGY PROGRAM CHANGES.
    (a) Requirement.--The Secretary of the Air Force, in cooperation 
with the National Research Council of the National Academy of Sciences, 
shall carry out a study to determine how the changes to the Air Force 
science and technology program implemented during the past two years 
affect the future capabilities of the Air Force.
    (b) Matters Studied.--(1) The study shall review and assess whether 
such changes as a whole are sufficient to ensure the following:
        (A) That the concerns about the management of the science and 
    technology program that have been raised by Congress, the Defense 
    Science Board, the Air Force Science Advisory Board, and the Air 
    Force Association have been adequately addressed.
        (B) That appropriate and sufficient technology is available to 
    ensure the military superiority of the United States and counter 
    future high-risk threats.
        (C) That the science and technology investments are balanced to 
    meet the near-, mid-, and long-term needs of the Air Force.
        (D) That technologies are made available that can be used to 
    respond flexibly and quickly to a wide range of future threats.
        (E) That the Air Force organizational structure provides for a 
    sufficiently senior level advocate of science and technology to 
    ensure an ongoing, effective presence of the science and technology 
    community during the budget and planning process.
    (2) In addition, the study shall assess the specific changes to the 
Air Force science and technology program as follows:
        (A) Whether the biannual science and technology summits provide 
    sufficient visibility into, and understanding and appreciation of, 
    the value of the science and technology program to the senior level 
    of Air Force budget and policy decisionmakers.
        (B) Whether the applied technology councils are effective in 
    contributing the input of all levels beneath the senior leadership 
    into the coordination, focus, and content of the science and 
    technology program.
        (C) Whether the designation of the commander of the Air Force 
    Materiel Command as the science and technology budget advocate is 
    effective to ensure that an adequate Air Force science and 
    technology budget is requested.
        (D) Whether the revised development planning process is 
    effective to aid in the coordination of the needs of the Air Force 
    warfighters with decisions on science and technology investments 
    and the establishment of priorities among different science and 
    technology programs.
        (E) Whether the implementation of section 252 of the Floyd D. 
    Spence National Defense Authorization Act for Fiscal Year 2001 (as 
    enacted into law by Public Law 106-398; 114 Stat. 1654A-46) is 
    effective to identify the basis for the appropriate science and 
    technology program funding level and investment portfolio.
    (c) Report.--Not later than May 1, 2003, the Secretary of the Air 
Force shall submit to Congress the results of the study.

                       Subtitle E--Other Matters

    SEC. 261. ESTABLISHMENT OF UNMANNED AERIAL VEHICLE JOINT 
      OPERATIONAL TEST BED SYSTEM.
    (a) Establishment of Test Bed System.--The commander of the United 
States Joint Forces Command shall establish a government flight 
activity capability (referred to as a ``test bed'') within the 
facilities and resources of that command to evaluate and ensure joint 
interoperability of unmanned aerial vehicle systems. That capability 
shall be independent of the military departments and shall be managed 
directly by the Joint Forces Command.
    (b) Priority for Use of Predator Assets.--The Secretary of the Navy 
shall ensure that the commander of the United States Joint Forces 
Command controls the priority for use of the two Predator unmanned 
aerial vehicles currently undergoing operational testing by the Navy, 
together with associated payloads and antennas and the associated 
tactical control system (TCS) ground station.
    (c) Use by Joint Forces Command.--The items specified to in 
subsection (b) may be used by the commander of the United States Joint 
Forces Command only through the independent joint operational test bed 
system established pursuant to subsection (a) for testing of those 
items, including further development of the associated tactical control 
system (TCS) ground station, other aspects of unmanned aerial vehicle 
interoperability, and participation in such experiments and exercises 
as the commander considers appropriate to the mission of that command.
    SEC. 262. DEMONSTRATION PROJECT TO INCREASE SMALL BUSINESS AND 
      UNIVERSITY PARTICIPATION IN OFFICE OF NAVAL RESEARCH EFFORTS TO 
      EXTEND BENEFITS OF SCIENCE AND TECHNOLOGY RESEARCH TO FLEET.
    (a) Project Required.--The Secretary of the Navy, acting through 
the Chief of Naval Research, shall carry out a demonstration project to 
increase access to Navy facilities of small businesses and universities 
that are engaged in science and technology research beneficial to the 
fleet.
    (b) Project Elements.--In carrying out the demonstration project, 
the Secretary shall--
        (1) establish and operate a Navy Technology Extension Center at 
    a location to be selected by the Secretary;
        (2) permit participants in the Small Business Innovation 
    Research Program (SBIR) and Small Business Technology Transfer 
    Program (STTR) that are awarded contracts by the Office of Naval 
    Research to access and use Navy Major Range Test Facilities Base 
    (MRTFB) facilities selected by the Secretary for purposes of 
    carrying out such contracts, and charge such participants for such 
    access and use at the same established rates that Department of 
    Defense customers are charged; and
        (3) permit universities, institutions of higher learning, and 
    federally funded research and development centers collaborating 
    with participants referred to in paragraph (2) to access and use 
    such facilities for such purposes, and charge such entities for 
    such access and use at such rates.
    (c) Period of Project.--The demonstration project shall be carried 
out during the three-year period beginning on the date of the enactment 
of this Act.
    (d) Report.--Not later than February 1, 2004, the Secretary shall 
submit to Congress a report on the demonstration project. The report 
shall include a description of the activities carried out under the 
demonstration project and any recommendations for the improvement or 
expansion of the demonstration project that the Secretary considers 
appropriate.
    SEC. 263. COMMUNICATION OF SAFETY CONCERNS FROM OPERATIONAL TEST 
      AND EVALUATION OFFICIALS TO PROGRAM MANAGERS.
    Section 139 of title 10, United States Code, is amended--
        (1) by redesignating subsections (f) through (i) as subsections 
    (g) through (j), respectively; and
        (2) by inserting after subsection (e) the following new 
    subsection:
    ``(f) The Director shall ensure that safety concerns developed 
during the operational test and evaluation of a weapon system under a 
major defense acquisition program are communicated in a timely manner 
to the program manager for that program for consideration in the 
acquisition decisionmaking process.''.

                  TITLE III--OPERATION AND MAINTENANCE

               Subtitle A--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
Sec. 305. Funds for renovation of Department of Veterans Affairs 
          facilities adjacent to Naval Training Center, Great Lakes, 
          Illinois.
Sec. 306. Defense Language Institute Foreign Language Center expanded 
          Arabic language program.

                  Subtitle B--Environmental Provisions

Sec. 311. Inventory of unexploded ordnance, discarded military 
          munitions, and munitions constituents at defense sites (other 
          than operational ranges).
Sec. 312. Establishment of new program element for remediation of 
          unexploded ordnance, discarded military munitions, and 
          munitions constituents.
Sec. 313. Assessment of environmental remediation of unexploded 
          ordnance, discarded military munitions, and munitions 
          constituents.
Sec. 314. Conformity of surety authority under environmental restoration 
          program with surety authority under CERCLA.
Sec. 315. Elimination of annual report on contractor reimbursement for 
          costs of environmental response actions.
Sec. 316. Pilot program for sale of air pollution emission reduction 
          incentives.
Sec. 317. Department of Defense energy efficiency program.
Sec. 318. Procurement of alternative fueled and hybrid light duty 
          trucks.
Sec. 319. Reimbursement of Environmental Protection Agency for certain 
          response costs in connection with Hooper Sands Site, South 
          Berwick, Maine.
Sec. 320. River mitigation studies.

   Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

Sec. 331. Commissary benefits for new members of the Ready Reserve.
Sec. 332. Reimbursement for use of commissary facilities by military 
          departments for purposes other than commissary sales.
Sec. 333. Public releases of commercially valuable information of 
          commissary stores.
Sec. 334. Rebate agreements with producers of foods provided under 
          special supplemental food program.
Sec. 335. Civil recovery for nonappropriated fund instrumentality costs 
          related to shoplifting.

                 Subtitle D--Workforce and Depot Issues

Sec. 341. Revision of authority to waive limitation on performance of 
          depot-level maintenance.
Sec. 342. Exclusion of certain expenditures from limitation on private 
          sector performance of depot-level maintenance.
Sec. 343. Protections for purchasers of articles and services 
          manufactured or performed by working-capital funded industrial 
          facilities of the Department of Defense.
Sec. 344. Revision of deadline for annual report on commercial and 
          industrial activities.
Sec. 345. Pilot manpower reporting system in Department of the Army.
Sec. 346. Development of Army workload and performance system and 
          Wholesale Logistics Modernization Program.

                Subtitle E--Defense Dependents Education

Sec. 351. Assistance to local educational agencies that benefit 
          dependents of members of the Armed Forces and Department of 
          Defense civilian employees.
Sec. 352. Impact aid for children with severe disabilities.
Sec. 353. Availability of auxiliary services of defense dependents' 
          education system for dependents who are home school students.
Sec. 354. Comptroller General study of adequacy of compensation provided 
          for teachers in the Department of Defense overseas dependents' 
          schools.

                        Subtitle F--Other Matters

Sec. 361. Availability of excess defense personal property to support 
          Department of Veterans Affairs initiative to assist homeless 
          veterans.
Sec. 362. Incremental implementation of Navy-Marine Corps Intranet 
          contract.
Sec. 363. Comptroller General study and report of National Guard 
          Distributive Training Technology Project.
Sec. 364. Reauthorization of warranty claims recovery pilot program.
Sec. 365. Evaluation of current demonstration programs to improve 
          quality of personal property shipments of members.
Sec. 366. Sense of Congress regarding security to be provided at 2002 
          Winter Olympic Games.

              Subtitle A--Authorization of Appropriations

SEC. 301. OPERATION AND MAINTENANCE FUNDING.

    (a) Authorization of Appropriations.--Funds are hereby authorized 
to be appropriated for fiscal year 2002 for the use of the Armed Forces 
and other activities and agencies of the Department of Defense for 
expenses, not otherwise provided for, for operation and maintenance, in 
amounts as follows:
        (1) For the Army, $20,653,241,000.
        (2) For the Navy, $26,461,299,000.
        (3) For the Marine Corps, $2,872,524,000.
        (4) For the Air Force, $25,598,767,000.
        (5) For Defense-wide activities, $11,949,586,000.
        (6) For the Army Reserve, $1,824,146,000.
        (7) For the Naval Reserve, $1,000,050,000.
        (8) For the Marine Corps Reserve, $142,853,000.
        (9) For the Air Force Reserve, $2,029,866,000.
        (10) For the Army National Guard, $3,696,559,000.
        (11) For the Air National Guard, $3,967,361,000.
        (12) For the Defense Inspector General, $149,221,000.
        (13) For the United States Court of Appeals for the Armed 
    Forces, $9,096,000.
        (14) For Environmental Restoration, Army, $389,800,000.
        (15) For Environmental Restoration, Navy, $257,517,000.
        (16) For Environmental Restoration, Air Force, $385,437,000.
        (17) For Environmental Restoration, Defense-wide, $23,492,000.
        (18) For Environmental Restoration, Formerly Used Defense 
    Sites, $230,255,000.
        (19) For Overseas Humanitarian, Disaster, and Civic Aid 
    programs, $49,700,000.
        (20) For Drug Interdiction and Counter-drug Activities, 
    Defense-wide, $820,381,000.
        (21) For the Kaho'olawe Island Conveyance, Remediation, and 
    Environmental Restoration Trust Fund, $40,000,000.
        (22) For Defense Health Program, $17,570,750,000.
        (23) For Cooperative Threat Reduction programs, $403,000,000.
        (24) For Overseas Contingency Operations Transfer Fund, 
    $2,844,226,000.
        (25) For Support for International Sporting Competitions, 
    Defense, $15,800,000.
    (b) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (5) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by $125,000,000, which represents savings resulting from reduced energy 
costs.

SEC. 302. WORKING CAPITAL FUNDS.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the use of the Armed Forces and other activities and agencies of 
the Department of Defense for providing capital for working capital and 
revolving funds in amounts as follows:
        (1) For the Defense Working Capital Funds, $1,656,396,000.
        (2) For the National Defense Sealift Fund, $407,708,000.

SEC. 303. ARMED FORCES RETIREMENT HOME.

    (a) Amount for Fiscal Year 2002.--There is hereby authorized to be 
appropriated for fiscal year 2002 from the Armed Forces Retirement Home 
Trust Fund the sum of $71,440,000 for the operation of the Armed Forces 
Retirement Home.
    (b) Availability of Amounts Previously Appropriated.--Of amounts 
appropriated from the Armed Forces Retirement Home Trust Fund for 
fiscal year 2002 (and previous fiscal years to the extent such amounts 
remain unobligated), $22,400,000 shall be available, subject to the 
review and approval of the Secretary of Defense, for the development 
and construction of a blended use, multicare facility at the Naval Home 
and for the acquisition of a parcel of real property adjacent to the 
Naval Home consisting of approximately 15 acres.
    SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE TRANSACTION 
      FUND.
    (a) Transfer Authority.--To the extent provided in appropriations 
Acts, not more than $150,000,000 is authorized to be transferred from 
the National Defense Stockpile Transaction Fund to operation and 
maintenance accounts for fiscal year 2002 in amounts as follows:
        (1) For the Army, $50,000,000.
        (2) For the Navy, $50,000,000.
        (3) For the Air Force, $50,000,000.
    (b) Treatment of Transfers.--Amounts transferred under this 
section--
        (1) shall be merged with, and be available for the same 
    purposes and the same period as, the amounts in the accounts to 
    which transferred; and
        (2) may not be expended for an item that has been denied 
    authorization of appropriations by Congress.
    (c) Relationship to Other Transfer Authority.--The transfer 
authority provided in this section is in addition to the transfer 
authority provided in section 1001.
    SEC. 305. FUNDS FOR RENOVATION OF DEPARTMENT OF VETERANS AFFAIRS 
      FACILITIES ADJACENT TO NAVAL TRAINING CENTER, GREAT LAKES, 
      ILLINOIS.
    (a) Availability of Funds for Renovation.--Subject to subsection 
(b), of the amount authorized to be appropriated by section 301(a)(2) 
for operation and maintenance for the Navy, the Secretary of the Navy 
may make available to the Secretary of Veterans Affairs up to 
$2,000,000 for relocation of Department of Veterans Affairs activities 
and associated renovation of existing facilities at the North Chicago 
Department of Veterans Affairs Medical Center, Illinois.
    (b) Limitation.--The Secretary of the Navy may make funds available 
under subsection (a) only after the Secretary of the Navy and the 
Secretary of Veterans Affairs enter into an appropriate agreement for 
the use by the Secretary of the Navy of approximately 48 acres of real 
property at the North Chicago Department of Veterans Affairs property 
referred to in subsection (a) for expansion of the Naval Training 
Center, Great Lakes, Illinois.
    SEC. 306. DEFENSE LANGUAGE INSTITUTE FOREIGN LANGUAGE CENTER 
      EXPANDED ARABIC LANGUAGE PROGRAM.
    Of the amount authorized to be appropriated by section 301(a)(1) 
for operation and maintenance for the Army, $650,000 may be available 
for the Defense Language Institute Foreign Language Center for an 
expanded Arabic language program.

                  Subtitle B--Environmental Provisions

    SEC. 311. INVENTORY OF UNEXPLODED ORDNANCE, DISCARDED MILITARY 
      MUNITIONS, AND MUNITIONS CONSTITUENTS AT DEFENSE SITES (OTHER 
      THAN OPERATIONAL RANGES).
    (a) Inventory Required.--(1) Chapter 160 of title 10, United States 
Code, is amended by adding at the end the following new section:
``Sec. 2710. Inventory of unexploded ordnance, discarded military 
     munitions, and munitions constituents at defense sites (other than 
     operational ranges)
    ``(a) Inventory Required.--(1) The Secretary of Defense shall 
develop and maintain an inventory of defense sites that are known or 
suspected to contain unexploded ordnance, discarded military munitions, 
or munitions constituents.
    ``(2) The information in the inventory for each defense site shall 
include, at a minimum, the following:
        ``(A) A unique identifier for the defense site.
        ``(B) An appropriate record showing the location, boundaries, 
    and extent of the defense site, including identification of the 
    State and political subdivisions of the State in which the defense 
    site is located and any Tribal lands encompassed by the defense 
    site.
        ``(C) Known persons and entities, other than a military 
    department, with any current ownership interest or control of lands 
    encompassed by the defense site.
        ``(D) Any restrictions or other land use controls currently in 
    place at the defense site that might affect the potential for 
    public and environmental exposure to the unexploded ordnance, 
    discarded military munitions, or munitions constituents.
    ``(b) Site Prioritization.--(1) The Secretary shall develop, in 
consultation with representatives of the States and Indian Tribes, a 
proposed protocol for assigning to each defense site a relative 
priority for response activities related to unexploded ordnance, 
discarded military munitions, and munitions constituents based on the 
overall conditions at the defense site. After public notice and comment 
on the proposed protocol, the Secretary shall issue a final protocol 
and shall apply the protocol to defense sites listed on the inventory. 
The level of response priority assigned the site shall be included with 
the information required by subsection (a)(2).
    ``(2) In assigning the response priority for a defense site on the 
inventory, the Secretary shall primarily consider factors relating to 
safety and environmental hazard potential, such as the following:
        ``(A) Whether there are known, versus suspected, unexploded 
    ordnance, discarded military munitions, or munitions constituents 
    on all or any portion of the defense site and the types of 
    unexploded ordnance, discarded military munitions, or munitions 
    constituents present or suspected to be present.
        ``(B) Whether public access to the defense site is controlled, 
    and the effectiveness of these controls.
        ``(C) The potential for direct human contact with unexploded 
    ordnance, discarded military munitions, or munitions constituents 
    at the defense site and evidence of people entering the site.
        ``(D) Whether a response action has been or is being undertaken 
    at the defense site under the Formerly Used Defense Sites program 
    or other program.
        ``(E) The planned or mandated dates for transfer of the defense 
    site from military control.
        ``(F) The extent of any documented incidents involving 
    unexploded ordnance, discarded military munitions, or munitions 
    constituents at or from the defense site, including incidents 
    involving explosions, discoveries, injuries, reports, and 
    investigations.
        ``(G) The potential for drinking water contamination or the 
    release of munitions constituents into the air.
        ``(H) The potential for destruction of sensitive ecosystems and 
    damage to natural resources.
    ``(3) The priority assigned to a defense site included on the 
inventory shall not impair, alter, or diminish any applicable Federal 
or State authority to establish requirements for the investigation of, 
and response to, environmental problems at the defense site.
    ``(c) Updates and Availability.--(1) The Secretary shall annually 
update the inventory and site prioritization list to reflect new 
information that becomes available. The inventory shall be available in 
published and electronic form.
    ``(2) The Secretary shall work with communities adjacent to a 
defense site to provide information concerning conditions at the site 
and response activities. At a minimum, the Secretary shall provide the 
site inventory information and site prioritization list to appropriate 
Federal, State, tribal, and local officials, and, to the extent the 
Secretary considers appropriate, to civil defense or emergency 
management agencies and the public.
    ``(d) Exceptions.--This section does not apply to the following:
        ``(1) Any locations outside the United States.
        ``(2) The presence of military munitions resulting from combat 
    operations.
        ``(3) Operating storage and manufacturing facilities.
        ``(4) Operational ranges.
    ``(e) Definitions.--In this section:
        ``(1) The term `defense site' applies to locations that are or 
    were owned by, leased to, or otherwise possessed or used by the 
    Department of Defense. The term does not include any operational 
    range, operating storage or manufacturing facility, or facility 
    that is used for or was permitted for the treatment or disposal of 
    military munitions.
        ``(2) The term `discarded military munitions' means military 
    munitions that have been abandoned without proper disposal or 
    removed from storage in a military magazine or other storage area 
    for the purpose of disposal. The term does not include unexploded 
    ordnance, military munitions that are being held for future use or 
    planned disposal, or military munitions that have been properly 
    disposed of, consistent with applicable environmental laws and 
    regulations.
        ``(3)(A) The term `military munitions' means all ammunition 
    products and components produced for or used by the armed forces 
    for national defense and security, including ammunition products or 
    components under the control of the Department of Defense, the 
    Coast Guard, the Department of Energy, and the National Guard. The 
    term includes confined gaseous, liquid, and solid propellants, 
    explosives, pyrotechnics, chemical and riot control agents, smokes, 
    and incendiaries, including bulk explosives and chemical warfare 
    agents, chemical munitions, rockets, guided and ballistic missiles, 
    bombs, warheads, mortar rounds, artillery ammunition, small arms 
    ammunition, grenades, mines, torpedoes, depth charges, cluster 
    munitions and dispensers, demolition charges, and devices and 
    components thereof.
        ``(B) The term does not include wholly inert items, improvised 
    explosive devices, and nuclear weapons, nuclear devices, and 
    nuclear components, except that the term does include nonnuclear 
    components of nuclear devices that are managed under the nuclear 
    weapons program of the Department of Energy after all required 
    sanitization operations under the Atomic Energy Act of 1954 (42 
    U.S.C. 2011 et seq.) have been completed.
        ``(4) The term `munitions constituents' means any materials 
    originating from unexploded ordnance, discarded military munitions, 
    or other military munitions, including explosive and nonexplosive 
    materials, and emission, degradation, or breakdown elements of such 
    ordnance or munitions.
        ``(5) The term `operational range' means a military range that 
    is used for range activities, or a military range that is not 
    currently being used, but that is still considered by the Secretary 
    to be a range area, is under the jurisdiction, custody, or control 
    of the Department of Defense, and has not been put to a new use 
    that is incompatible with range activities.
        ``(6) The term `possessions' includes Johnston Atoll, Kingman 
    Reef, Midway Island, Nassau Island, Palmyra Island, and Wake 
    Island.
        ``(7) The term `Secretary' means the Secretary of Defense.
        ``(8) The term `State' means the several States, the District 
    of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of 
    the Northern Mariana Islands, and the territories and possessions.
        ``(9) The term `unexploded ordnance' means military munitions 
    that--
            ``(A) have been primed, fused, armed, or otherwise prepared 
        for action;
            ``(B) have been fired, dropped, launched, projected, or 
        placed in such a manner as to constitute a hazard to 
        operations, installations, personnel, or material; and
            ``(C) remain unexploded either by malfunction, design, or 
        any other cause.
        ``(10) The term `United States', in a geographic sense, means 
    the States, territories, and possessions and associated navigable 
    waters, contiguous zones, and ocean waters of which the natural 
    resources are under the exclusive management authority of the 
    United States.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2710. Inventory of unexploded ordnance, discarded military munitions, 
and munitions constituents at defense sites (other than operational 
ranges).''.

    (b) Initial Inventory.--The requirements of section 2710 of title 
10, United States Code, as added by subsection (a), shall be 
implemented as follows:
        (1) The initial inventory required by subsection (a) of such 
    section shall be completed not later than May 31, 2003.
        (2) The proposed prioritization protocol required by subsection 
    (b) of such section shall be available for public comment not later 
    than November 30, 2002.
    SEC. 312. ESTABLISHMENT OF NEW PROGRAM ELEMENT FOR REMEDIATION OF 
      UNEXPLODED ORDNANCE, DISCARDED MILITARY MUNITIONS, AND MUNITIONS 
      CONSTITUENTS.
    Section 2703 of title 10, United States Code, is amended--
        (1) by redesignating subsections (b) through (f) as subsections 
    (c) through (g), respectively; and
        (2) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) Program Elements for Ordnance Remediation.--The Secretary of 
Defense shall establish a program element for remediation of unexploded 
ordnance, discarded military munitions, and munitions constituents 
within each environmental restoration account established under 
subsection (a). The terms `unexploded ordnance', `discarded military 
munitions', and `munitions constituents' have the meanings given such 
terms in section 2710 of this title.''.
    SEC. 313. ASSESSMENT OF ENVIRONMENTAL REMEDIATION OF UNEXPLODED 
      ORDNANCE, DISCARDED MILITARY MUNITIONS, AND MUNITIONS 
      CONSTITUENTS.
    (a) Inclusion in 2003 Report on Environmental Restoration 
Activities.--The Secretary of Defense shall include in the report 
submitted to Congress under section 2706(a) of title 10, United States 
Code, in 2003 a comprehensive assessment of unexploded ordnance, 
discarded military munitions, and munitions constituents located at 
current and former facilities of the Department of Defense. The 
assessment shall include, at a minimum, the following:
        (1) Separate estimates of the aggregate projected costs of the 
    remediation of unexploded ordnance, discarded military munitions, 
    and munitions constituents at--
            (A) all operational ranges; and
            (B) all other defense sites.
        (2) A comprehensive plan for addressing the remediation of 
    unexploded ordinance, discarded military munitions, and munitions 
    constituents at defense sites, including an assessment of the 
    funding required and the period of time over which such funding 
    will be required.
        (3) An assessment of the technology currently available for the 
    remediation of unexploded ordnance, discarded military munitions, 
    and munitions constituents.
        (4) An assessment of the impact of improved technology on the 
    cost of such remediation and a plan for the development and use of 
    such improved technology.
    (b) Requirements for Cost Estimates.--(1) The estimates of 
aggregate projected costs required by subsection (a)(1) shall--
        (A) be stated as a range of aggregate projected costs, 
    including a low estimate and a high estimate;
        (B) set forth the differing assumptions underlying each such 
    low estimate and high estimate, including--
            (i) any public uses for the operational ranges and other 
        defense sites concerned that will be available after the 
        remediation is completed;
            (ii) the extent of the remediation required to make the 
        operational ranges and other defense sites concerned available 
        for such uses; and
            (iii) the technologies to be applied to achieve such level 
        of remediation; and
        (C) include, and identify separately, an estimate of the 
    aggregate projected costs of the remediation of any ground water 
    contamination that may be caused by unexploded ordnance, discarded 
    military munitions, or munitions constituents at the operational 
    ranges and other defense sites concerned.
    (2) The high estimate of the aggregate projected costs shall be 
based on the assumption that all unexploded ordnance, discarded 
military munitions, and munitions constituents at each operational 
range and other defense site will be addressed, regardless of whether 
there are any current plans to close the range or site or discontinue 
training at the range or site.
    (3) The estimate of the aggregate projected costs of remediation of 
ground water contamination under paragraph (1)(C) shall be based on a 
comprehensive assessment of the risk of such contamination and of the 
actions required to protect the ground water supplies concerned.
    (4) The standards for the report of liabilities of the Department 
of Defense shall not apply to the cost estimates required by subsection 
(a)(1).
    (c) Interim Assessment.--The report submitted to Congress under 
section 2706(a) of title 10, United States Code, in 2002 shall include 
the assessment required by subsection (a) to the extent that the 
information required to be provided as part of the assessment is 
available. The Secretary shall include an explanation of any 
limitations on the information available or qualifications on the 
information provided.
    (d) Definitions.--In this section, the terms ``unexploded 
ordnance'', ``discarded military munitions'', ``munitions 
constituents'', ``operational range'', and ``defense site'' have the 
meanings given such terms in section 2710 of title 10, United States 
Code, as added by section 311.
    SEC. 314. CONFORMITY OF SURETY AUTHORITY UNDER ENVIRONMENTAL 
      RESTORATION PROGRAM WITH SURETY AUTHORITY UNDER CERCLA.
    Section 2701(j)(1) of title 10, United States Code, is amended by 
striking ``, or after December 31, 1999''.
    SEC. 315. ELIMINATION OF ANNUAL REPORT ON CONTRACTOR REIMBURSEMENT 
      FOR COSTS OF ENVIRONMENTAL RESPONSE ACTIONS.
    (a) Report Elimination.--Section 2706 of title 10, United States 
Code, is amended--
        (1) by striking subsection (c); and
        (2) by redesignating subsections (d) and (e) as subsections (c) 
    and (d), respectively.
    (b) Conforming Amendments.--Subsection (d) of such section, as 
redesignated by subsection (a) of this section, is amended--
        (1) by striking paragraphs (1) and (3); and
        (2) by redesignating paragraphs (2), (4), and (5) as paragraphs 
    (1), (2), and (3), respectively.
    SEC. 316. PILOT PROGRAM FOR SALE OF AIR POLLUTION EMISSION 
      REDUCTION INCENTIVES.
    (a) Extension.--Section 351(a)(2) of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 
2701 note) is amended by striking ``September 30, 2001'' and inserting 
``September 30, 2003''.
    (b) Report Required.--(1) The Secretary of Defense shall prepare a 
report concerning the operation of the pilot program for the sale of 
economic incentives for the reduction of emission of air pollutants 
attributable to military facilities, as authorized by section 351 of 
the National Defense Authorization Act for Fiscal Year 1998 (Public Law 
105-85; 10 U.S.C. 2701 note). The report shall--
        (A) detail all transactions that have been completed under the 
    pilot program, the dollar amount of each transaction, and the 
    number and type of air pollutants involved in each transaction;
        (B) evaluate the extent to which retention of the proceeds of 
    sales under the pilot program, as required by subsection (c) of 
    such section, has provided incentives for such sales;
        (C) evaluate the extent of any loss to the United States 
    Treasury associated with the pilot program; and
        (D) evaluate the environmental impact of the pilot program.
    (2) Not later than March 1, 2003, the Secretary shall submit the 
report required by paragraph (1) to the Committee on Energy and 
Commerce and the Committee on Armed Services of the House of 
Representatives and the Committee on Environment and Public Works and 
the Committee on Armed Services of the Senate.
    SEC. 317. DEPARTMENT OF DEFENSE ENERGY EFFICIENCY PROGRAM.
    (a) Sense of Congress.--It is the sense of Congress that the 
Secretary of Defense should work to implement fuel efficiency reforms 
that allow for investment decisions based on the true cost of delivered 
fuel, strengthen the linkage between warfighting capability and fuel 
logistics requirements, provide high-level leadership encouraging fuel 
efficiency, target fuel efficiency improvements through science and 
technology investment, and include fuel efficiency in requirements and 
acquisition processes.
    (b) Energy Efficiency Program.--The Secretary shall carry out a 
program to significantly improve the energy efficiency of facilities of 
the Department of Defense through 2010. The Secretary shall designate a 
senior official of the Department of Defense to be responsible for 
managing the program for the Department and a senior official of each 
military department to be responsible for managing the program for such 
department.
    (c) Energy Efficiency Goals.--The goal of the energy efficiency 
program shall be to achieve reductions in energy consumption by 
facilities of the Department of Defense as follows:
        (1) In the case of industrial and laboratory facilities, 
    reductions in the average energy consumption per square foot of 
    such facilities, per unit of production or other applicable unit, 
    relative to energy consumption in 1990--
            (A) by 20 percent by 2005; and
            (B) by 25 percent by 2010.
        (2) In the case of other facilities, reductions in average 
    energy consumption per gross square foot of such facilities, 
    relative to energy consumption per gross square foot in 1985--
            (A) by 30 percent by 2005; and
            (B) by 35 percent by 2010.
    (d) Strategies for Improving Energy Efficiency.--In order to 
achieve the goals set forth in subsection (c), the Secretary shall, to 
the maximum extent practicable--
        (1) purchase energy-efficient products, as so designated by the 
    Environmental Protection Agency and the Department of Energy, and 
    other products that are energy-efficient;
        (2) utilize energy savings performance contracts, utility 
    energy-efficiency service contracts, and other contracts designed 
    to achieve energy conservation;
        (3) use life-cycle cost analysis, including assessment of life-
    cycle energy costs, in making decisions about investments in 
    products, services, construction, and other projects;
        (4) conduct energy efficiency audits for approximately 10 
    percent of all Department of Defense facilities each year;
        (5) explore opportunities for energy efficiency in industrial 
    facilities for steam systems, boiler operation, air compressor 
    systems, industrial processes, and fuel switching; and
        (6) retire inefficient equipment on an accelerated basis where 
    replacement results in lower life-cycle costs.
    (e) Reporting Requirements.--Not later than January 1, 2002, and 
each January 1 thereafter through 2010, the Secretary shall submit to 
the congressional defense committees the report required to be prepared 
by the Secretary pursuant to section 303 of Executive Order 13123 (64 
Fed. Reg. 30851; 42 U.S.C. 8251 note) regarding the progress made 
toward achieving the energy efficiency goals of the Department of 
Defense.
    SEC. 318. PROCUREMENT OF ALTERNATIVE FUELED AND HYBRID LIGHT DUTY 
      TRUCKS.
    (a) Defense Fleets Not Covered by Requirement in Energy Policy Act 
of 1992.--(1) The Secretary of Defense shall coordinate with the 
Administrator of General Services to ensure that only hybrid vehicles 
are procured by the Administrator for the Department of Defense fleet 
of light duty trucks that is not in a fleet of vehicles to which 
section 303 of the Energy Policy Act of 1992 (42 U.S.C. 13212) applies.
    (2) The Secretary, in consultation with the Administrator, may 
waive the policy regarding the procurement of hybrid vehicles in 
paragraph (1) to the extent that the Secretary determines necessary--
        (A) in the case of trucks that are exempt from the requirements 
    of section 303 of the Energy Policy Act of 1992 for national 
    security reasons under subsection (b)(3)(E) of such section, to 
    meet specific requirements of the Department of Defense for 
    capabilities of light duty trucks;
        (B) to procure vehicles consistent with the standards 
    applicable to the procurement of fleet vehicles for the Federal 
    Government; or
        (C) to adjust to limitations on the commercial availability of 
    light duty trucks that are hybrid vehicles.
    (3) This subsection applies with respect to procurements of light 
duty trucks in fiscal year 2005 and subsequent fiscal years.
    (b) Requirement To Exceed Requirement in Energy Policy Act of 
1992.--(1) The Secretary of Defense shall coordinate with the 
Administrator of General Services to ensure that, of the light duty 
trucks procured in fiscal years after fiscal year 2004 for the fleets 
of light duty vehicles of the Department of Defense to which section 
303 of the Energy Policy Act of 1992 applies--
        (A) five percent of the total number of such trucks that are 
    procured in each of fiscal years 2005 and 2006 are alternative 
    fueled vehicles or hybrid vehicles; and
        (B) ten percent of the total number of such trucks that are 
    procured in each fiscal year after fiscal year 2006 are alternative 
    fueled vehicles or hybrid vehicles.
    (2) Light duty trucks acquired for the Department of Defense that 
are counted to comply with section 303 of the Energy Policy Act of 1992 
for a fiscal year shall be counted to determine the total number of 
light duty trucks procured for the Department of Defense for that 
fiscal year for the purposes of paragraph (1), but shall not be counted 
to satisfy the requirement in that paragraph.
    (c) Report on Plans for Implementation.--At the same time that the 
President submits the budget for fiscal year 2003 to Congress under 
section 1105(a) of title 31, United States Code, the Secretary shall 
submit to Congress a report summarizing the plans for carrying out 
subsections (a) and (b).
    (d) Definitions.--In this section:
        (1) The term ``hybrid vehicle'' means a motor vehicle that 
    draws propulsion energy from onboard sources of stored energy that 
    are both--
            (A) an internal combustion or heat engine using combustible 
        fuel; and
            (B) a rechargeable energy storage system.
        (2) The term ``alternative fueled vehicle'' has the meaning 
    given that term in section 301 of the Energy Policy Act of 1992 (42 
    U.S.C. 13211).
    SEC. 319. REIMBURSEMENT OF ENVIRONMENTAL PROTECTION AGENCY FOR 
      CERTAIN RESPONSE COSTS IN CONNECTION WITH HOOPER SANDS SITE, 
      SOUTH BERWICK, MAINE.
    (a) Authority To Reimburse.--Using amounts specified in subsection 
(c), the Secretary of the Navy may pay $1,005,478 to the Hooper Sands 
Special Account within the Hazardous Substance Superfund established by 
section 9507 of the Internal Revenue Code of 1986 to reimburse the 
Environmental Protection Agency for the response costs incurred by the 
Environmental Protection Agency for actions taken between May 12, 1992, 
and July 31, 2000, pursuant to the Comprehensive Environmental 
Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et 
seq.) at the Hooper Sands site in South Berwick, Maine, in accordance 
with the interagency agreement entered into by the Department of the 
Navy and the Environmental Protection Agency in January 2001.
    (b) Treatment of Reimbursement.--Payment of the amount authorized 
by subsection (a) shall be in full satisfaction of amounts due from the 
Department of the Navy to the Environmental Protection Agency for the 
response costs described in that subsection.
    (c) Source of Funds.--Payment under subsection (a) shall be made 
using amounts authorized to be appropriated by section 301(a)(15) to 
the Environmental Restoration Account, Navy, established by section 
2703(a)(3) of title 10, United States Code.

SEC. 320. RIVER MITIGATION STUDIES.

    (a) Port of Orange, Sabine River.--The Secretary of Defense may 
conduct a study regarding protruding structures and submerged objects 
remaining from the World War II Navy ship building industry located at 
the former Navy installation in Orange, Texas, which create 
navigational hazards along the Sabine River and surrounding the Port of 
Orange.
    (b) Philadelphia Naval Shipyard, Delaware River.--The Secretary of 
Defense may conduct a study regarding floating and partially submerged 
debris possibly relating to the Philadelphia Naval Shipyard in that 
portion of the Delaware River from Philadelphia, Pennsylvania, to the 
mouth of the river which create navigational hazards along the river.
    (c) Use of Existing Information.--In conducting a study authorized 
by this section, the Secretary of Defense shall take into account any 
information available from other studies conducted in connection with 
the same navigation channels.
    (d) Consultation.--The Secretary of Defense shall conduct the 
studies authorized by this section in consultation with appropriate 
State and local government entities and Federal agencies.
    (e) Report on Study Results.--Not later than April 30, 2002, the 
Secretary of Defense shall submit to the Committee on Armed Services of 
the House of Representatives and the Committee on Armed Services of the 
Senate a report that--
        (1) summarizes the results of each study conducted under this 
    section; and
        (2) contains an evaluation by the Secretary of the extent to 
    which the navigational hazards identified in each study are the 
    result of Department of Defense activities.
    (f) Cost Sharing.--Nothing in this section is intended to require 
non-Federal cost sharing of the costs incurred by the Secretary of 
Defense to conduct a study authorized by this section.
    (g) Relation to Other Laws and Agreements.--This section is not 
intended to modify any authorities provided to the Secretary of the 
Army by the Water Resources Development Act of 1986 (33 U.S.C. 2201 et 
seq.), nor is it intended to modify any non-Federal cost-sharing 
responsibilities outlined in any local cooperation agreements.

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

    SEC. 331. COMMISSARY BENEFITS FOR NEW MEMBERS OF THE READY RESERVE.
    (a) Eligibility.--Section 1063 of title 10, United States Code, is 
amended--
        (1) by redesignating subsections (b) and (c) as subsections (c) 
    and (d), respectively; and
        (2) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) Eligibility of New Members.--(1) The Secretary concerned 
shall authorize a new member of the Ready Reserve to use commissary 
stores of the Department of Defense for a number of days accruing at 
the rate of two days for each month in which the member participates 
satisfactorily in training required under section 10147(a)(1) of this 
title or section 502(a) of title 32, as the case may be.
    ``(2) For the purposes of paragraph (1), a person shall be 
considered a new member of the Ready Reserve upon becoming a member and 
continuing without a break in the membership until the earlier of--
        ``(A) the date on which the member becomes eligible to use 
    commissary stores under subsection (a); or
        ``(B) December 31 of the first calendar year in which the 
    membership has been continuous for the entire year.
    ``(3) A new member may not be authorized under this subsection to 
use commissary stores for more than 24 days for any calendar year.''.
    (b) Required Documentation.--Subsection (d) of such section, as 
redesignated by subsection (a)(1), is amended by adding at the end the 
following new sentence: ``The regulations shall specify the required 
documentation of satisfactory participation in training for the 
purposes of subsection (b).''.
    (c) Conforming Amendment.--Subsection (c) of such section, as 
redesignated by subsection (a)(1), is amended by striking ``Subsection 
(a)'' and inserting ``Subsections (a) and (b)''.
    (d) Clerical Amendments.--(1) The heading for such section is 
amended to read as follows:
``Sec. 1063. Use of commissary stores: members of Ready Reserve''.
    (2) Subsection (a) of such section is amended by striking ``of 
Ready Reserve'' and inserting ``With 50 or More Creditable Points''.
    (3) The item relating to such section in the table of sections at 
the beginning of chapter 54 of title 10, United States Code, is amended 
to read as follows:
``1063. Use of commissary stores: members of Ready Reserve.''.
    SEC. 332. REIMBURSEMENT FOR USE OF COMMISSARY FACILITIES BY 
      MILITARY DEPARTMENTS FOR PURPOSES OTHER THAN COMMISSARY SALES.
    (a) Requirement.--Chapter 147 of title 10, United States Code, is 
amended by inserting after section 2482a the following new section:
``Sec. 2483. Commissary stores: reimbursement for use of commissary 
     facilities by military departments
    ``(a) Payment Required.--The Secretary of a military department 
shall pay the Defense Commissary Agency the amount determined under 
subsection (b) for any use of a commissary facility by the military 
department for a purpose other than commissary sales or operations in 
support of commissary sales.
    ``(b) Amount.--The amount payable under subsection (a) for use of a 
commissary facility by a military department shall be equal to the 
share of depreciation of the facility that is attributable to that use, 
as determined under regulations prescribed by the Secretary of Defense.
    ``(c) Covered Facilities.--This section applies with respect to a 
commissary facility that is acquired, constructed, converted, expanded, 
installed, or otherwise improved (in whole or in part) with the 
proceeds of an adjustment or surcharge applied under section 2486(c) of 
this title.
    ``(d) Crediting of Payments.--The Director of the Defense 
Commissary Agency shall credit amounts paid under this section for use 
of a facility to an appropriate account to which proceeds of an 
adjustment or surcharge referred to in subsection (c) are credited.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
2482a the following new item:

``2483. Commissary stores: reimbursement for use of commissary 
facilities by military departments.''.

    SEC. 333. PUBLIC RELEASES OF COMMERCIALLY VALUABLE INFORMATION OF 
      COMMISSARY STORES.
    (a) Limitations and Authority.--Section 2487 of title 10, United 
States Code, is amended to read as follows:
``Sec. 2487. Commissary stores: release of certain commercially 
     valuable information to the public
    ``(a) Authority To Limit Release.--(1) The Secretary of Defense may 
limit the release to the public of any information described in 
paragraph (2) if the Secretary determines that it is in the best 
interest of the Department of Defense to limit the release of such 
information. If the Secretary determines to limit the release of any 
such information, the Secretary may provide for limited release of such 
information in accordance with subsection (b).
    ``(2) Paragraph (1) applies to the following:
        ``(A) Information contained in the computerized business 
    systems of commissary stores or the Defense Commissary Agency that 
    is collected through or in connection with the use of electronic 
    scanners in commissary stores, including the following information:
            ``(i) Data relating to sales of goods or services.
            ``(ii) Demographic information on customers.
            ``(iii) Any other information pertaining to commissary 
        transactions and operations.
        ``(B) Business programs, systems, and applications (including 
    software) relating to commissary operations that were developed 
    with funding derived from commissary surcharges.
    ``(b) Release Authority.--(1) The Secretary of Defense may, using 
competitive procedures, enter into a contract to sell information 
described in subsection (a)(2).
    ``(2) The Secretary of Defense may release, without charge, 
information on an item sold in commissary stores to the manufacturer or 
producer of that item or an agent of the manufacturer or producer.
    ``(3) The Secretary of Defense may, by contract entered into with a 
business, grant to the business a license to use business programs 
referred to in subsection (a)(2)(B), including software used in or 
comprising any such program. The fee charged for the license shall be 
based on the costs of similar programs developed and marketed by 
businesses in the private sector, determined by means of surveys.
    ``(4) Each contract entered into under this subsection shall 
specify the amount to be paid for information released or a license 
granted under the contract, as the case may be.
    ``(c) Form of Release.--Information described in subsection (a)(2) 
may not be released, under subsection (b) or otherwise, in a form that 
identifies any customer or that provides information making it possible 
to identify any customer.
    ``(d) Receipts.--Amounts received by the Secretary under this 
section shall be credited to funds derived from commissary surcharges, 
shall be merged with those funds, and shall be available for the same 
purposes as the funds with which merged.
    ``(e) Definition.--In this section, the term `commissary surcharge' 
means any adjustment or surcharge applied under section 2486(c) of this 
title.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 147 of title 10, United States Code, is amended by striking the 
item relating to section 2487 and inserting the following new item:

``2487. Commissary stores: release of certain commercially valuable 
information to the public.''.

    SEC. 334. REBATE AGREEMENTS WITH PRODUCERS OF FOODS PROVIDED UNDER 
      SPECIAL SUPPLEMENTAL FOOD PROGRAM.
    Section 1060a of title 10, United States Code, is amended--
        (1) by redesignating subsections (e) and (f) as subsections (f) 
    and (g), respectively; and
        (2) by inserting after subsection (d) the following new 
    subsection:
    ``(e) Rebate Agreements With Food Producers.--(1) In the 
administration of the program under this section, the Secretary of 
Defense may enter into a contract with a producer of a particular brand 
of food that provides for--
        ``(A) the Secretary of Defense to procure that particular brand 
    of food, exclusive of other brands of the same or similar food, for 
    the purpose of providing the food in commissary stores of the 
    Department of Defense as a supplemental food under the program; and
        ``(B) the producer to rebate to the Secretary amounts equal to 
    agreed portions of the amounts paid by the Secretary for the 
    procurement of that particular brand of food for the program.
    ``(2) The Secretary of Defense shall use competitive procedures 
under chapter 137 of this title to enter into contracts under this 
subsection.
    ``(3) The period covered by a contract entered into under this 
subsection may not exceed one year. No such contract may be extended by 
a modification of the contract, by exercise of an option, or by any 
other means. Nothing in this paragraph prohibits a contractor under a 
contract entered into under this subsection for any year from 
submitting an offer for, and being awarded, a contract that is to be 
entered into under this subsection for a successive year.
    ``(4) Amounts rebated under a contract entered into under paragraph 
(1) shall be credited to the appropriation available for carrying out 
the program under this section in the fiscal year in which rebated, 
shall be merged with the other sums in that appropriation, and shall be 
available for the program for the same period as the other sums in the 
appropriation.''.
    SEC. 335. CIVIL RECOVERY FOR NONAPPROPRIATED FUND INSTRUMENTALITY 
      COSTS RELATED TO SHOPLIFTING.
    Section 3701(b)(1)(B) of title 31, United States Code, is amended 
by inserting before the comma at the end the following: ``, including 
actual and administrative costs related to shoplifting, theft 
detection, and theft prevention''.

                 Subtitle D--Workforce and Depot Issues

    SEC. 341. REVISION OF AUTHORITY TO WAIVE LIMITATION ON PERFORMANCE 
      OF DEPOT-LEVEL MAINTENANCE.
    Section 2466 of title 10, United States Code, is amended--
        (1) by striking subsection (c); and
        (2) by inserting after subsection (a) the following new 
    subsections:
    ``(b) Waiver of Limitation.--The Secretary of Defense may waive the 
limitation in subsection (a) for a fiscal year if--
        ``(1) the Secretary determines that the waiver is necessary for 
    reasons of national security; and
        ``(2) the Secretary submits to Congress a notification of the 
    waiver together with the reasons for the waiver.
    ``(c) Prohibition on Delegation of Waiver Authority.--The authority 
to grant a waiver under subsection (b) may not be delegated.''.
    SEC. 342. EXCLUSION OF CERTAIN EXPENDITURES FROM LIMITATION ON 
      PRIVATE SECTOR PERFORMANCE OF DEPOT-LEVEL MAINTENANCE.
    Section 2474 of title 10, United States Code, is amended--
        (1) by redesignating subsection (f) as subsection (g); and
        (2) by inserting after subsection (e) the following new 
    subsection (f):
    ``(f) Exclusion of Certain Expenditures From Percentage 
Limitation.--(1) Amounts expended out of funds described in paragraph 
(2) for the performance of a depot-level maintenance and repair 
workload by non-Federal Government personnel at a Center of Industrial 
and Technical Excellence shall not be counted for purposes of applying 
the percentage limitation in section 2466(a) of this title if the 
personnel are provided by private industry or other entities outside 
the Department of Defense pursuant to a public-private partnership.
    ``(2) The funds referred to in paragraph (1) are funds available to 
the military departments and Defense Agencies for depot-level 
maintenance and repair workloads for fiscal years 2002 through 2005.
    ``(3) All funds covered by paragraph (1) shall be included as a 
separate item in the reports required under paragraphs (1), (2), and 
(3) of section 2466(e) of this title.''.
    SEC. 343. PROTECTIONS FOR PURCHASERS OF ARTICLES AND SERVICES 
      MANUFACTURED OR PERFORMED BY WORKING-CAPITAL FUNDED INDUSTRIAL 
      FACILITIES OF THE DEPARTMENT OF DEFENSE.
    (a) General Rule.--Section 2563(c) of title 10, United States Code, 
is amended--
        (1) in paragraph (1)(B), by striking ``in any case of willful 
    misconduct or gross negligence'' and inserting ``as provided in 
    paragraph (3)''; and
        (2) by adding at the end the following new paragraph:
    ``(3) Paragraph (1)(B) does not apply in any case of willful 
misconduct or gross negligence or in the case of a claim by a purchaser 
of articles or services under this section that damages or injury arose 
from the failure of the Government to comply with quality, schedule, or 
cost performance requirements in the contract to provide the articles 
or services.''.
    (b) Conforming Amendment.--Section 2474(e)(2)(B)(i) of such title 
is amended by striking ``in a case of willful conduct or gross 
negligence'' and inserting ``under the circumstances described in 
section 2563(c)(3) of this title''.
    SEC. 344. REVISION OF DEADLINE FOR ANNUAL REPORT ON COMMERCIAL AND 
      INDUSTRIAL ACTIVITIES.
    Section 2461(g) of title 10, United States Code, is amended by 
striking ``February 1'' and inserting ``June 30''.
    SEC. 345. PILOT MANPOWER REPORTING SYSTEM IN DEPARTMENT OF THE 
      ARMY.
    (a) Annual Reporting Requirement.--Not later than March 1 of each 
of the fiscal years 2002 through 2004, the Secretary of the Army shall 
submit to Congress a report describing the use during the previous 
fiscal year of non-Federal entities to provide services to the 
Department of the Army.
    (b) Content of Report.--Using information available from existing 
data collection and reporting systems available to the Department of 
the Army and the non-Federal entities referred to in subsection (a), 
the report shall--
        (1) specify the number of work year equivalents performed by 
    individuals employed by non-Federal entities in providing services 
    to the Department;
        (2) categorize the information by Federal supply class or 
    service code; and
        (3) indicate the appropriation from which the services were 
    funded and the major organizational element of the Department 
    procuring the services.
    (c) Limitation on Requirement for Non-Federal Entities To Provide 
Information.--For the purposes of meeting the requirements set forth in 
subsection (b), the Secretary of the Army may not require the provision 
of information beyond the information that is currently provided to the 
Department of the Army by the non-Federal entities referred to in 
subsection (a), except for the number of work year equivalents 
associated with Department of the Army contracts, identified by 
contract number, to the extent this information is available to the 
contractor from existing data collection systems.
    (d) Repeal of Obsolete Reporting Requirement.--Section 343 of the 
National Defense Authorization Act for Fiscal Year 2000 (Public Law 
106-65; 113 Stat. 569) is repealed.
    SEC. 346. DEVELOPMENT OF ARMY WORKLOAD AND PERFORMANCE SYSTEM AND 
      WHOLESALE LOGISTICS MODERNIZATION PROGRAM.
    (a) Relationship Between Systems.--(1) The Army Workload and 
Performance System, including all applications in the master plan 
submitted to Congress on June 8, 2001, and any revisions to the master 
plan, shall be developed in such a manner that its functionality and 
identity are in compliance with all statutory requirements. The Army 
Workload and Performance System shall continue as a standard Army-wide 
manpower system under the supervision and management of the Secretary 
of the Army.
    (2) The requirement in paragraph (1) is intended to encourage the 
sharing of data between the Army Workload and Performance System and 
the Wholesale Logistics Modernization Program and the development of 
the processes necessary to permit or enhance such data sharing.
    (b) Annual Progress Reports.--(1) Not later than February 1 of each 
year, the Secretary of the Army shall submit to Congress a progress 
report on the implementation of the master plan for the Army Workload 
and Performance System during the preceding year. The report shall 
specifically address any changes made to the master plan since the 
previous report.
    (2) The reporting requirement shall terminate when the Secretary 
certifies to Congress that the Army Workload and Performance System is 
fully implemented.
    (c) GAO Evaluation.--Not later than 60 days after the Secretary of 
the Army submits to Congress a progress report under subsection (b), 
the Comptroller General shall submit to Congress an evaluation of the 
report.
    (d) Army Workload and Performance System Defined.--The term ``Army 
Workload and Performance System'' includes all applications in the 
master plan for the System submitted to Congress on June 8, 2001, and 
any revision of such master plan.

                Subtitle E--Defense Dependents Education

    SEC. 351. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT 
      DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT OF 
      DEFENSE CIVILIAN EMPLOYEES.
    (a) Continuation of Department of Defense Program for Fiscal Year 
2002.--Of the amount authorized to be appropriated pursuant to section 
301(a)(5) for operation and maintenance for Defense-wide activities--
        (1) $30,000,000 shall be available only for the purpose of 
    providing educational agencies assistance to local educational 
    agencies; and
        (2) $1,000,000 shall be available only for the purpose of 
    making payments to local educational agencies to assist such 
    agencies in adjusting to reductions in the number of military 
    dependent students as a result of the closure or realignment of 
    military installations, as provided in section 386(d) of the 
    National Defense Authorization Act for Fiscal Year 1993 (Public Law 
    102-484; 20 U.S.C. 7703 note).
    (b) Notification.--Not later than June 30, 2002, the Secretary of 
Defense shall notify each local educational agency that is eligible for 
assistance or a payment under subsection (a) for fiscal year 2002 of--
        (1) that agency's eligibility for the assistance or payment; 
    and
        (2) the amount of the assistance or payment for which that 
    agency is eligible.
    (c) Disbursement of Funds.--The Secretary of Defense shall disburse 
funds made available under subsection (a) not later than 30 days after 
the date on which notification to the eligible local educational 
agencies is provided pursuant to subsection (b).
    (d) Definitions.--In this section:
        (1) The term ``educational agencies assistance'' means 
    assistance authorized under section 386(b) of the National Defense 
    Authorization Act for Fiscal Year 1993 (Public Law 102-484; 20 
    U.S.C. 7703 note).
        (2) The term ``local educational agency'' has the meaning given 
    that term in section 8013(9) of the Elementary and Secondary 
    Education Act of 1965 (20 U.S.C. 7713(9)).
    SEC. 352. IMPACT AID FOR CHILDREN WITH SEVERE DISABILITIES.
    Of the amount authorized to be appropriated pursuant to section 
301(a)(5) for operation and maintenance for Defense-wide activities, 
$5,000,000 shall be available for payments under section 363 of the 
Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 
(as enacted into law by Public Law 106-398; 114 Stat. 1654A-77; 20 
U.S.C. 7703a).
    SEC. 353. AVAILABILITY OF AUXILIARY SERVICES OF DEFENSE DEPENDENTS' 
      EDUCATION SYSTEM FOR DEPENDENTS WHO ARE HOME SCHOOL STUDENTS.
    Section 1407 of the Defense Dependents' Education Act of 1978 (20 
U.S.C. 926) is amended--
        (1) by redesignating subsection (d) as subsection (e); and
        (2) by inserting after subsection (c) the following new 
    subsection:
    ``(d) Auxiliary Services Available to Home School Students.--(1) A 
dependent who is educated in a home school setting, but who is eligible 
to enroll in a school of the defense dependents' education system, 
shall be permitted to use or receive auxiliary services of that school 
without being required to either enroll in that school or register for 
a minimum number of courses offered by that school. The dependent may 
be required to satisfy other eligibility requirements and comply with 
standards of conduct applicable to students actually enrolled in that 
school who use or receive the same auxiliary services.
    ``(2) For purposes of paragraph (1), the term `auxiliary services' 
includes use of academic resources, access to the library of the 
school, after hours use of school facilities, and participation in 
music, sports, and other extracurricular and interscholastic 
activities.''.
    SEC. 354. COMPTROLLER GENERAL STUDY OF ADEQUACY OF COMPENSATION 
      PROVIDED FOR TEACHERS IN THE DEPARTMENT OF DEFENSE OVERSEAS 
      DEPENDENTS' SCHOOLS.
    (a) GAO Study Required.--The Comptroller General shall carry out a 
study of the adequacy of the pay and other elements of the compensation 
provided for teachers in the defense dependents' education system 
established under the Defense Dependents' Education Act of 1978 (20 
U.S.C. 921 et seq.).
    (b) Specific Considerations.--In carrying out the study, the 
Comptroller General shall consider the following issues:
        (1) Whether the compensation is adequate for recruiting and 
    retaining high quality teachers.
        (2) Whether any revision of the Defense Department Overseas 
    Teachers Pay and Personnel Practices Act (20 U.S.C. 901 et seq.) or 
    the regulations under that Act is advisable to address any problems 
    identified with respect to the recruitment and retention of high 
    quality teachers or for other purposes.
    (c) Report.--Not later than May 1, 2002, the Comptroller General 
shall submit to Congress a report containing the results of the study, 
including--
        (1) the Comptroller General's conclusions on the issues 
    considered; and
        (2) any recommendations for actions that the Comptroller 
    General considers appropriate.

                       Subtitle F--Other Matters

    SEC. 361. AVAILABILITY OF EXCESS DEFENSE PERSONAL PROPERTY TO 
      SUPPORT DEPARTMENT OF VETERANS AFFAIRS INITIATIVE TO ASSIST 
      HOMELESS VETERANS.
    (a) Transfer Authority.--Subsection (a) of section 2557 of title 
10, United States Code, is amended--
        (1) by striking ``The Secretary'' and inserting ``(1) The 
    Secretary''; and
        (2) by adding at the end the following new paragraph:
    ``(2) The Secretary of Defense may make excess clothing, shoes, 
sleeping bags, and related nonlethal excess supplies available to the 
Secretary of Veterans Affairs for distribution to homeless veterans and 
programs assisting homeless veterans. The transfer of nonlethal excess 
supplies to the Secretary of Veterans Affairs under this paragraph 
shall be without reimbursement.''.
    (b) Clerical Amendments.--(1) The heading of such section is 
amended to read as follows:
``Sec. 2557. Excess nonlethal supplies: availability for homeless 
     veteran initiatives and humanitarian relief''.
    (2) The table of sections at the beginning of chapter 152 of such 
title is amended by striking the item relating to section 2557 and 
inserting the following new item:

``2557. Excess nonlethal supplies: availability for homeless veteran 
initiatives and humanitarian relief.''.

    SEC. 362. INCREMENTAL IMPLEMENTATION OF NAVY-MARINE CORPS INTRANET 
      CONTRACT.
    (a) Additional Phase-In Authority.--Section 814 of the Floyd D. 
Spence National Defense Authorization Act for Fiscal Year 2001 (as 
enacted into law by Public Law 106-398; 114 Stat. 1654A-215) is 
amended--
        (1) by redesignating subsections (c), (d), (e), and (f) as 
    subsections (f), (g), (h), and (i), respectively; and
        (2) by inserting after subsection (b) the following new 
    subsections:
    ``(c) Additional Phase-In Authority Pending Second Joint 
Certification.--(1)(A) Notwithstanding subsection (b)(3), the Secretary 
of the Navy may order additional work stations under the Navy-Marine 
Corps Intranet contract in excess of the number provided in the first 
increment of the contract under subsection (b)(2), but not to exceed an 
additional 100,000 work stations. The authority of the Secretary of the 
Navy to order additional work stations under this paragraph is subject 
to approval by both the Under Secretary of Defense for Acquisition, 
Technology, and Logistics and the Chief Information Officer of the 
Department of Defense.
    ``(B) The Under Secretary of Defense for Acquisition, Technology, 
and Logistics and the Chief Information Officer of the Department of 
Defense may not grant approval to the Secretary of the Navy to order 
additional work stations under subparagraph (A) until a three-phase 
customer test and evaluation, observed by the Department of Defense, is 
completed for a statistically significant representative sample of the 
work stations operating on the Navy-Marine Corps Intranet. The test and 
evaluation shall include end user testing of day-to-day operations 
(including e-mail capability and performance), scenario-driven events, 
and scenario-based interoperability testing.
    ``(2)(A) Notwithstanding subsection (b)(3), the Secretary of the 
Navy may order additional work stations under the Navy-Marine Corps 
Intranet contract in excess of the number provided in the first 
increment of the contract under subsection (b)(2) and the number 
ordered under the authority of paragraph (1), but not to exceed an 
additional 150,000 work stations. The authority of the Secretary of the 
Navy to order additional work stations under this paragraph is also 
subject to approval by both the Under Secretary of Defense for 
Acquisition, Technology, and Logistics and the Chief Information 
Officer of the Department of Defense.
    ``(B) The Under Secretary of Defense for Acquisition, Technology, 
and Logistics and the Chief Information Officer of the Department of 
Defense may not grant approval to the Secretary of the Navy to order 
additional work stations under subparagraph (A) until each of the 
following occurs:
        ``(i) There has been a full transition of not less than 20,000 
    work stations to the Navy-Marine Corps Intranet.
        ``(ii) The work stations referred to in clause (i) have met 
    applicable service-level agreements specified in the Navy-Marine 
    Corps Intranet contract, as determined by contractor performance 
    measurement under oversight by the Department of the Navy.
        ``(iii) The Chief Information Officer of the Navy certifies to 
    the Secretary of the Navy and the Chief Information Officer of the 
    Department of Defense that the results of the performance 
    evaluation referred to in clause (ii) are acceptable.
    ``(3) Of the work stations ordered under the authority provided by 
paragraph (2), not more than 50 percent may reach the major milestone 
known as `assumption of responsibility' until each of the following 
occurs:
        ``(A) All work stations for the headquarters of the Naval Air 
    Systems Command have met applicable service-level agreements 
    specified in the Navy-Marine Corps Intranet contract, as determined 
    by contractor performance measurement under oversight by the 
    Department of the Navy.
        ``(B) The Chief Information Officer of the Navy certifies to 
    the Secretary of the Navy and the Chief Information Officer of the 
    Department of Defense that the results of the performance 
    evaluation referred to in subparagraph (B) are acceptable.
    ``(4) For the purposes of this section, when the information 
infrastructure and systems of a user of a work station are transferred 
into Navy-Marine Corps Intranet infrastructure and systems under the 
Navy-Marine Corps Intranet contract consistent with the applicable 
service-level agreements specified in the Navy-Marine Corps Intranet 
contract, the work station shall be considered as having been provided 
for the Navy-Marine Corps Intranet.
    ``(d) Reporting and Review Requirements.--(1) If work stations are 
ordered using the authority provided by paragraph (1) or (2) of 
subsection (c), the Secretary of the Navy shall submit to Congress a 
report, current as of the date the determination is made to order the 
work stations, on the following:
        ``(A) The number of work stations operating on the Navy-Marine 
    Corps Intranet, including the number of work stations regarding 
    which assumption of responsibility has occurred.
        ``(B) The status of testing and implementation of the Navy-
    Marine Corps Intranet program.
        ``(C) The number of work stations to be ordered under paragraph 
    (1) or (2) of subsection (c), whichever applies.
    ``(2) A report containing the information required by paragraph (1) 
shall also be submitted to Congress when the requirements of paragraph 
(3) of subsection (c) are satisfied and additional work stations under 
the Navy-Marine Corps Intranet contract are authorized to reach 
assumption of responsibility.
    ``(3) The Comptroller General shall conduct a review of the impact 
that participation in the Navy-Marine Corps Intranet program has on 
information technology costs of working capital funded industrial 
facilities of the Department of the Navy and submit the results of the 
review to Congress.''.
    (b) Navy-Marine Corps Intranet Manager.--Such section is further 
amended by inserting after subsection (d), as added by subsection 
(a)(2) of this section, the following new subsection:
    ``(e) Assignment of Navy-Marine Corps Intranet Manager.--The 
Secretary of the Navy shall assign an employee of the Department of the 
Navy to the Navy-Marine Corps Intranet program whose sole 
responsibility will be to oversee and direct the program. The employee 
so assigned may not also be the program executive officer.''.
    (c) Definitions.--Subsection (i) of such section, as redesignated 
by subsection (a)(1) of this section, is amended--
        (1) by striking ``Navy-Marine Corps Intranet Contract 
    Defined.--'' and inserting ``Definitions.--(1)''; and
        (2) by adding at the end the following new paragraph:
        ``(2) In this section, the term `assumption of responsibility', 
    with respect to a work station, means the point at which the 
    contractor team under the Navy-Marine Corps Intranet contract 
    assumes operational control of, and responsibility for, the 
    existing information infrastructure and systems of a work station, 
    in order to prepare for ultimate transition of the work station to 
    the Navy-Marine Corps Intranet.''.
    SEC. 363. COMPTROLLER GENERAL STUDY AND REPORT OF NATIONAL GUARD 
      DISTRIBUTIVE TRAINING TECHNOLOGY PROJECT.
    (a) Study Required.--The Comptroller General of the United States 
shall conduct a study of the Distributive Training Technology Project 
of the National Guard. The study shall examine--
        (1) current requirements of the National Guard for 
    interconnection of networks of the Distributive Training Technology 
    Project with other networks, including networks of the Federal 
    Emergency Management Agency and other Federal, State, and local 
    emergency preparedness and response agencies; and
        (2) future requirements of the National Guard for 
    interconnection of networks of the Project with other networks, 
    including those Federal and State agencies having disaster response 
    functions.
    (b) Elements of Study.--For both the current requirements 
identified under subsection (a)(1) and future requirements identified 
under subsection (a)(2), the study shall examine the following:
        (1) Appropriate connections between the Project and other 
    networks.
        (2) Means of protecting the Project from outside intrusion.
        (3) Impediments to interconnectivity, including the extent to 
    which national security concerns affect interconnectivity and the 
    technological capability of the Department of Defense to impede 
    interconnectivity, as well as other concerns or limitations that 
    affect interconnectivity.
        (4) Means of improving interconnectivity.
    (c) Report.--Not later than 270 days after the date of the 
enactment of this Act, the Comptroller General shall submit to the 
Committee on Armed Services of the Senate and the Committee on Armed 
Services of the House of Representatives a report on the study 
conducted under subsection (a). The report shall describe the results 
of the study and shall include any recommendations that the Comptroller 
General considers appropriate in light of the study.
    SEC. 364. REAUTHORIZATION OF WARRANTY CLAIMS RECOVERY PILOT 
      PROGRAM.
    (a) Extension of Authority.--Subsection (f) of section 391 of the 
National Defense Authorization Act for Fiscal Year 1998 (Public Law 
105-85; 10 U.S.C. 2304 note) is amended by striking ``September 30, 
2000'' and inserting ``September 30, 2003''.
    (b) Reporting Requirements.--Subsection (g) of such section is 
amended--
        (1) in paragraph (1), by striking ``January 1, 2001'' and 
    inserting ``January 1, 2003''; and
        (2) in paragraph (2), by striking ``March 1, 2001'' and 
    inserting ``March 1, 2003''.
    SEC. 365. EVALUATION OF CURRENT DEMONSTRATION PROGRAMS TO IMPROVE 
      QUALITY OF PERSONAL PROPERTY SHIPMENTS OF MEMBERS.
    (a) Completion of Evaluation; Report.--Not later than March 31, 
2002, the Secretary of Defense shall complete the ongoing evaluation of 
all test programs regarding the transportation of household goods for 
members of the Armed Forces and submit to Congress a report containing 
the results of such evaluation.
    (b) Contents of Report.--The report shall include--
        (1) the results of each test program evaluated, including 
    whether the test program satisfied the goals for the movement of 
    such household goods (as contained in the General Accounting Report 
    NSIAD 97-49) and whether current business processes and information 
    technology capabilities require upgrading or other changes to 
    improve the transportation of such household goods; and
        (2) recommendations for policy improvements for military 
    household moves worldwide, including an estimate of the cost to 
    implement each recommendation.
    SEC. 366. SENSE OF CONGRESS REGARDING SECURITY TO BE PROVIDED AT 
      2002 WINTER OLYMPIC GAMES.
    It is the sense of Congress that the Secretary of Defense, upon 
receipt of the certification of the Attorney General required by 
section 2564(a) of title 10, United States Code, should authorize the 
provision of assistance in support of essential security and safety at 
the 2002 Winter Olympic Games to be held in Salt Lake City, Utah, and 
other locations in the State of Utah.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                        Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.
Sec. 403. Increase in senior enlisted active duty grade limit for Navy, 
          Marine Corps, and Air Force.

                       Subtitle B--Reserve Forces

Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the 
          reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2002 limitation on non-dual status technicians.
Sec. 415. Limitations on numbers of reserve personnel serving on active 
          duty or full-time National Guard duty in certain grades for 
          administration of reserve components.

        Subtitle C--Other Matters Relating to Personnel Strengths

Sec. 421. Administration of end strengths.
Sec. 422. Active duty end strength exemption for National Guard and 
          reserve personnel performing funeral honors functions.

               Subtitle D--Authorization of Appropriations

Sec. 431. Authorization of appropriations for military personnel.

                       Subtitle A--Active Forces

SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

    The Armed Forces are authorized strengths for active duty personnel 
as of September 30, 2002, as follows:
        (1) The Army, 480,000.
        (2) The Navy, 376,000.
        (3) The Marine Corps, 172,600.
        (4) The Air Force, 358,800.
    SEC. 402. REVISION IN PERMANENT END STRENGTH MINIMUM LEVELS.
    Section 691(b) of title 10, United States Code, is amended--
        (1) in paragraph (2), by striking ``372,000'' and inserting 
    ``376,000''; and
        (2) in paragraph (4), by striking ``357,000'' and inserting 
    ``358,800''.
    SEC. 403. INCREASE IN SENIOR ENLISTED ACTIVE DUTY GRADE LIMIT FOR 
      NAVY, MARINE CORPS, AND AIR FORCE.
    Section 517(a) of title 10, United States Code, is amended by 
striking ``2 percent (or, in the case of the Army, 2.5 percent)'' and 
inserting ``2.5 percent''.

                       Subtitle B--Reserve Forces

SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

    (a) In General.--The Armed Forces are authorized strengths for 
Selected Reserve personnel of the reserve components as of September 
30, 2002, as follows:
        (1) The Army National Guard of the United States, 350,000.
        (2) The Army Reserve, 205,000.
        (3) The Naval Reserve, 87,000.
        (4) The Marine Corps Reserve, 39,558.
        (5) The Air National Guard of the United States, 108,400.
        (6) The Air Force Reserve, 74,700.
        (7) The Coast Guard Reserve, 8,000.
    (b) Adjustments.--The end strengths prescribed by subsection (a) 
for the Selected Reserve of any reserve component shall be 
proportionately reduced by--
        (1) the total authorized strength of units organized to serve 
    as units of the Selected Reserve of such component which are on 
    active duty (other than for training) at the end of the fiscal 
    year; and
        (2) the total number of individual members not in units 
    organized to serve as units of the Selected Reserve of such 
    component who are on active duty (other than for training or for 
    unsatisfactory participation in training) without their consent at 
    the end of the fiscal year.
Whenever such units or such individual members are released from active 
duty during any fiscal year, the end strength prescribed for such 
fiscal year for the Selected Reserve of such reserve component shall be 
proportionately increased by the total authorized strengths of such 
units and by the total number of such individual members.
    SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF 
      THE RESERVES.
    Within the end strengths prescribed in section 411(a), the reserve 
components of the Armed Forces are authorized, as of September 30, 
2002, the following number of Reserves to be serving on full-time 
active duty or full-time duty, in the case of members of the National 
Guard, for the purpose of organizing, administering, recruiting, 
instructing, or training the reserve components:
        (1) The Army National Guard of the United States, 23,698.
        (2) The Army Reserve, 13,406.
        (3) The Naval Reserve, 14,811.
        (4) The Marine Corps Reserve, 2,261.
        (5) The Air National Guard of the United States, 11,591.
        (6) The Air Force Reserve, 1,437.
    SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS (DUAL STATUS).
    The minimum number of military technicians (dual status) as of the 
last day of fiscal year 2002 for the reserve components of the Army and 
the Air Force (notwithstanding section 129 of title 10, United States 
Code) shall be the following:
        (1) For the Army Reserve, 6,249.
        (2) For the Army National Guard of the United States, 23,615.
        (3) For the Air Force Reserve, 9,818.
        (4) For the Air National Guard of the United States, 22,422.
    SEC. 414. FISCAL YEAR 2002 LIMITATION ON NON-DUAL STATUS 
      TECHNICIANS.
    (a) Limitation.--The number of non-dual status technicians employed 
by the reserve components of the Army and the Air Force as of September 
30, 2002, may not exceed the following:
        (1) For the Army Reserve, 1,095.
        (2) For the Army National Guard of the United States, 1,600.
        (3) For the Air Force Reserve, 90.
        (4) For the Air National Guard of the United States, 350.
    (b) Non-Dual Status Technicians Defined.--In this section, the term 
``non-dual status technician'' has the meaning given that term in 
section 10217(a) of title 10, United States Code.
    SEC. 415. LIMITATIONS ON NUMBERS OF RESERVE PERSONNEL SERVING ON 
      ACTIVE DUTY OR FULL-TIME NATIONAL GUARD DUTY IN CERTAIN GRADES 
      FOR ADMINISTRATION OF RESERVE COMPONENTS.
    (a) Officers.--The text of section 12011 of title 10, United States 
Code, is amended to read as follows:
    ``(a) Limitations.--(1) Of the total number of members of a reserve 
component who are serving on full-time reserve component duty at the 
end of any fiscal year, the number of those members who may be serving 
in each of the grades of major, lieutenant colonel, and colonel may 
not, as of the end of that fiscal year, exceed the number determined in 
accordance with the following table:

----------------------------------------------------------------------------------------------------------------
                                                         Number of officers of that reserve component who may be
                                                                        serving in the grade of:
   ``Total number of members of a reserve component    ---------------------------------------------------------
     serving on full-time reserve component duty:                              Lieutenant
                                                              Major             Colonel             Colonel
----------------------------------------------------------------------------------------------------------------
Army Reserve:
10,000................................................              1,390                740              230
11,000................................................              1,529                803              242
12,000................................................              1,668                864              252
13,000................................................              1,804                924              262
14,000................................................              1,940                984              272
15,000................................................              2,075              1,044              282
16,000................................................              2,210              1,104              291
17,000................................................              2,345              1,164              300
18,000................................................              2,479              1,223              309
19,000................................................              2,613              1,282              318
20,000................................................              2,747              1,341              327
21,000................................................              2,877              1,400              336
 
Army National Guard:
20,000................................................              1,500                850              325
22,000................................................              1,650                930              350
24,000................................................              1,790              1,010              370
26,000................................................              1,930              1,085              385
28,000................................................              2,070              1,160              400
30,000................................................              2,200              1,235              405
32,000................................................              2,330              1,305              408
34,000................................................              2,450              1,375              411
36,000................................................              2,570              1,445              411
38,000................................................              2,670              1,515              411
40,000................................................              2,770              1,580              411
42,000................................................              2,837              1,644              411
 
Marine Corps Reserve:
1,100.................................................                106                 56               20
1,200.................................................                110                 60               21
1,300.................................................                114                 63               22
1,400.................................................                118                 66               23
1,500.................................................                121                 69               24
1,600.................................................                124                 72               25
1,700.................................................                127                 75               26
1,800.................................................                130                 78               27
1,900.................................................                133                 81               28
2,000.................................................                136                 84               29
2,100.................................................                139                 87               30
2,200.................................................                141                 90               31
2,300.................................................                143                 92               32
2,400.................................................                145                 94               33
2,500.................................................                147                 96               34
2,600.................................................                149                 98               35
Air Force Reserve:
500...................................................                 83                 85               50
1,000.................................................                155                165               95
1,500.................................................                220                240              135
2,000.................................................                285                310              170
2,500.................................................                350                369              203
3,000.................................................                413                420              220
3,500.................................................                473                464              230
4,000.................................................                530                500              240
4,500.................................................                585                529              247
5,000.................................................                638                550              254
5,500.................................................                688                565              261
6,000.................................................                735                575              268
7,000.................................................                770                595              280
8,000.................................................                805                615              290
10,000................................................                835                635              300
 
Air National Guard:
5,000.................................................                333                335              251
6,000.................................................                403                394              260
7,000.................................................                472                453              269
8,000.................................................                539                512              278
9,000.................................................                606                571              287
10,000................................................                673                630              296
11,000................................................                740                688              305
12,000................................................                807                742              314
13,000................................................                873                795              323
14,000................................................                939                848              332
15,000................................................              1,005                898              341
16,000................................................              1,067                948              350
17,000................................................              1,126                998              359
18,000................................................              1,185              1,048              368
19,000................................................              1,235              1,098              377
20,000................................................              1,283              1,148              380.
----------------------------------------------------------------------------------------------------------------

    ``(2) Of the total number of members of the Naval Reserve who are 
serving on full-time reserve component duty at the end of any fiscal 
year, the number of those members who may be serving in each of the 
grades of lieutenant commander, commander, and captain may not, as of 
the end of that fiscal year, exceed the number determined in accordance 
with the following table:

----------------------------------------------------------------------------------------------------------------
                                                         Number of officers who may be serving in the grade of:
 ``Total number of members of Naval Reserve serving on ---------------------------------------------------------
           full-time reserve component duty:                Lieutenant
                                                            commander          Commander            Captain
----------------------------------------------------------------------------------------------------------------
10,000................................................                807                447              141
11,000................................................                867                467              153
12,000................................................                924                485              163
13,000................................................                980                503              173
14,000................................................              1,035                521              183
15,000................................................              1,088                538              193
16,000................................................              1,142                555              203
17,000................................................              1,195                565              213
18,000................................................              1,246                575              223
19,000................................................              1,291                585              233
20,000................................................              1,334                595              242
21,000................................................              1,364                603              250
22,000................................................              1,384                610              258
23,000................................................              1,400                615              265
24,000................................................              1,410                620              270.
----------------------------------------------------------------------------------------------------------------

    ``(b) Determinations by Interpolation.--If the total number of 
members of a reserve component serving on full-time reserve component 
duty is between any two consecutive numbers in the first column of the 
appropriate table in paragraph (1) or (2) of subsection (a), the 
corresponding authorized strengths for each of the grades shown in that 
table for that component are determined by mathematical interpolation 
between the respective numbers of the two strengths. If the total 
number of members of a reserve component serving on full-time reserve 
component duty is more or less than the highest or lowest number, 
respectively, set forth in the first column of the appropriate table in 
paragraph (1) or (2) of subsection (a), the Secretary concerned shall 
fix the corresponding strengths for the grades shown in that table at 
the same proportion as is reflected in the nearest limit shown in the 
table.
    ``(c) Reallocations to Lower Grades.--Whenever the number of 
officers serving in any grade for duty described in subsection (a) is 
less than the number authorized for that grade under this section, the 
difference between the two numbers may be applied to increase the 
number authorized under this section for any lower grade.
    ``(d) Secretarial Waiver.--(1) Upon determining that it is in the 
national interest to do so, the Secretary of Defense may increase for a 
particular fiscal year the number of reserve officers that may be on 
full-time reserve component duty for a reserve component in a grade 
referred to in a table in subsection (a) by a number that does not 
exceed the number equal to 5 percent of the maximum number specified 
for the grade in that table.
    ``(2) Whenever the Secretary exercises the authority provided in 
paragraph (1), the Secretary shall submit to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives notice in writing of the adjustment made.
    ``(e) Full-Time Reserve Component Duty Defined.--In this section, 
the term `full-time reserve component duty' means the following duty:
        ``(1) Active duty described in sections 10211, 10302, 10303, 
    10304, 10305, 12310, or 12402 of this title.
        ``(2) Full-time National Guard duty (other than for training) 
    under section 502(f) of title 32.
        ``(3) Active duty described in section 708 of title 32.''.
    (b) Senior Enlisted Members.--The text of section 12012 of title 
10, United States Code, is amended to read as follows:
    ``(a) Limitations.--Of the total number of members of a reserve 
component who are serving on full-time reserve component duty at the 
end of any fiscal year, the number of those members in each of pay 
grades of E-8 and E-9 who may be serving on active duty under section 
10211 or 12310, or on full-time National Guard duty under the authority 
of section 502(f) of title 32 (other than for training) in connection 
with organizing, administering, recruiting, instructing, or training 
the reserve components or the National Guard may not, as of the end of 
that fiscal year, exceed the number determined in accordance with the 
following table:

------------------------------------------------------------------------
                                     Number of members of that reserve
  ``Total number of members of a    component who may be serving in the
reserve component serving on full-               grade of:
   time reserve component duty:   --------------------------------------
                                          E-8                 E-9
------------------------------------------------------------------------
Army Reserve:
10,000...........................              1,052              154
11,000...........................              1,126              168
12,000...........................              1,195              180
13,000...........................              1,261              191
14,000...........................              1,327              202
15,000...........................              1,391              213
16,000...........................              1,455              224
17,000...........................              1,519              235
18,000...........................              1,583              246
19,000...........................              1,647              257
20,000...........................              1,711              268
21,000...........................              1,775              278
 
Army National Guard:
20,000...........................              1,650              550
22,000...........................              1,775              615
24,000...........................              1,900              645
26,000...........................              1,945              675
28,000...........................              1,945              705
30,000...........................              1,945              725
32,000...........................              1,945              730
34,000...........................              1,945              735
36,000...........................              1,945              738
38,000...........................              1,945              741
40,000...........................              1,945              743
42,000...........................              1,945              743
 
Naval Reserve:
10,000...........................                340              143
11,000...........................                364              156
12,000...........................                386              169
13,000...........................                407              182
14,000...........................                423              195
15,000...........................                435              208
16,000...........................                447              221
17,000...........................                459              234
18,000...........................                471              247
19,000...........................                483              260
20,000...........................                495              273
21,000...........................                507              286
22,000...........................                519              299
23,000...........................                531              312
24,000...........................                540              325
 
Marine Corps Reserve:
1,100............................                 50               11
1,200............................                 55               12
1,300............................                 60               13
1,400............................                 65               14
1,500............................                 70               15
1,600............................                 75               16
1,700............................                 80               17
1,800............................                 85               18
1,900............................                 89               19
2,000............................                 93               20
2,100............................                 96               21
2,200............................                 99               22
2,300............................                101               23
2,400............................                103               24
2,500............................                105               25
2,600............................                107               26
 
Air Force Reserve:
500..............................                 75               40
1,000............................                145               75
1,500............................                208              105
2,000............................                270              130
2,500............................                325              150
3,000............................                375              170
3,500............................                420              190
4,000............................                460              210
4,500............................                495              230
5,000............................                530              250
5,500............................                565              270
6,000............................                600              290
7,000............................                670              330
8,000............................                740              370
10,000...........................                800              400
 
Air National Guard
5,000............................              1,020              405
6,000............................              1,070              435
7,000............................              1,120              465
8,000............................              1,170              490
9,000............................              1,220              510
10,000...........................              1,270              530
11,000...........................              1,320              550
12,000...........................              1,370              570
13,000...........................              1,420              589
14,000...........................              1,470              608
15,000...........................              1,520              626
16,000...........................              1,570              644
17,000...........................              1,620              661
18,000...........................              1,670              678
19,000...........................              1,720              695
20,000...........................              1,770              712.
------------------------------------------------------------------------

    ``(b) Determinations by Interpolation.--If the total number of 
members of a reserve component serving on full-time reserve component 
duty is between any two consecutive numbers in the first column of the 
table in subsection (a), the corresponding authorized strengths for 
each of the grades shown in that table for that component are 
determined by mathematical interpolation between the respective numbers 
of the two strengths. If the total number of members of a reserve 
component serving on full-time reserve component duty is more or less 
than the highest or lowest number, respectively, set forth in the first 
column of the table in subsection (a), the Secretary concerned shall 
fix the corresponding strengths for the grades shown in the table at 
the same proportion as is reflected in the nearest limit shown in the 
table.
    ``(c) Reallocations to Lower Grade.--Whenever the number of members 
serving in pay grade E-9 for duty described in subsection (a) is less 
than the number authorized for that grade under this section, the 
difference between the two numbers may be applied to increase the 
number authorized under this section for pay grade E-8.
    ``(d) Secretarial Waiver.--(1) Upon determining that it is in the 
national interest to do so, the Secretary of Defense may increase for a 
particular fiscal year the number of reserve enlisted members that may 
be on active duty or full-time National Guard duty as described in 
subsection (a) for a reserve component in a pay grade referred to in a 
table in subsection (a) by a number that does not exceed the number 
equal to 5 percent of the maximum number specified for that grade and 
reserve component in the table.
    ``(2) Whenever the Secretary exercises the authority provided in 
paragraph (1), the Secretary shall submit to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives notice in writing of the adjustment made.
    ``(e) Full-Time Reserve Component Duty Defined.--In this section, 
the term `full-time reserve component duty' has the meaning given the 
term in section 12011(e) of this title.''.

       Subtitle C--Other Matters Relating to Personnel Strengths

SEC. 421. ADMINISTRATION OF END STRENGTHS.

    (a) Increase in Percentage by Which Active Component End Strengths 
May Be Increased.--Section 115(c)(1) of title 10, United States Code, 
is amended by striking ``1 percent'' and inserting ``2 percent''.
    (b) Waiver of End Strengths During National Emergency.--The text of 
section 123a of such title is amended to read as follows:
    ``(a) During War or National Emergency.--If at the end of any 
fiscal year there is in effect a war or national emergency, the 
President may waive any statutory end strength with respect to that 
fiscal year. Any such waiver may be issued only for a statutory end 
strength that is prescribed by law before the waiver is issued.
    ``(b) Upon Termination of War or National Emergency.--Upon the 
termination of a war or national emergency with respect to which the 
President has exercised the authority provided by subsection (a), the 
President may defer the effectiveness of any statutory end strength 
with respect to the fiscal year during which the termination occurs. 
Any such deferral may not extend beyond the last day of the sixth month 
beginning after the date of such termination.
    ``(c) Statutory End Strength.--In this section, the term `statutory 
end strength' means any end-strength limitation with respect to a 
fiscal year that is prescribed by law for any military or civilian 
component of the armed forces or of the Department of Defense.''.
    SEC. 422. ACTIVE DUTY END STRENGTH EXEMPTION FOR NATIONAL GUARD AND 
      RESERVE PERSONNEL PERFORMING FUNERAL HONORS FUNCTIONS.
    Section 115(d) of title 10, United States Code, is amended by 
adding at the end the following new paragraphs:
        ``(10) Members of reserve components on active duty to prepare 
    for and to perform funeral honors functions for funerals of 
    veterans in accordance with section 1491 of this title.
        ``(11) Members on full-time National Guard duty to prepare for 
    and perform funeral honors functions for funerals of veterans in 
    accordance with section 1491 of this title.''.

              Subtitle D--Authorization of Appropriations

    SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.
    There is hereby authorized to be appropriated to the Department of 
Defense for military personnel for fiscal year 2002 a total of 
$82,307,281,000. The authorization in the preceding sentence supersedes 
any other authorization of appropriations (definite or indefinite) for 
such purpose for fiscal year 2002.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. Enhanced flexibility for management of senior general and flag 
          officer positions.
Sec. 502. Certifications of satisfactory performance for retirement of 
          officers in grades above major general and rear admiral.
Sec. 503. Review of actions of selection boards.
Sec. 504. Temporary reduction of time-in-grade requirement for 
          eligibility for promotion for certain active-duty list 
          officers in grades of first lieutenant and lieutenant (junior 
          grade).
Sec. 505. Authority for promotion without selection board consideration 
          for all fully qualified officers in grade of first lieutenant 
          or lieutenant (junior grade) in the Navy.
Sec. 506. Authority to adjust date of rank of certain promotions delayed 
          by reason of unusual circumstances.
Sec. 507. Authority for limited extension of medical deferment of 
          mandatory retirement or separation.
Sec. 508. Authority for limited extension on active duty of members 
          subject to mandatory retirement or separation.
Sec. 509. Exemption from certain administrative limitations for retired 
          officers ordered to active duty as defense or service 
          attaches.
Sec. 510. Officer in charge of United States Navy Band.

             Subtitle B--Reserve Component Personnel Policy

Sec. 511. Placement on active-duty list of certain Reserve officers on 
          active duty for a period of three years or less.
Sec. 512. Exception to baccalaureate degree requirement for appointment 
          of Reserve officers to grades above first lieutenant.
Sec. 513. Improved disability benefits for certain reserve component 
          members.
Sec. 514. Time-in-grade requirement for reserve component officers 
          retired with a nonservice-connected disability.
Sec. 515. Equal treatment of Reserves and full-time active duty members 
          for purposes of managing personnel deployments.
Sec. 516. Modification of physical examination requirements for members 
          of the Individual Ready Reserve.
Sec. 517. Retirement of Reserve members without requirement for formal 
          application or request.
Sec. 518. Space-required travel by Reserves on military aircraft.
Sec. 519. Payment of Federal Employee Health Benefit Program premiums 
          for certain Reservists called to active duty in support of 
          contingency operations.

  Subtitle C--Joint Specialty Officers and Joint Professional Military 
                                Education

Sec. 521. Nominations and promotions for joint specialty officers.
Sec. 522. Joint duty credit.
Sec. 523. Retroactive joint service credit for duty in certain joint 
          task forces.
Sec. 524. Revision to annual report on joint officer management.
Sec. 525. Requirement for selection for joint specialty before promotion 
          to general or flag officer grade.
Sec. 526. Independent study of joint officer management and joint 
          professional military education reforms.
Sec. 527. Professional development education.
Sec. 528. Authority for National Defense University to enroll certain 
          private sector civilians.
Sec. 529. Continuation of reserve component professional military 
          education test.

               Subtitle D--Military Education and Training

Sec. 531. Defense Language Institute Foreign Language Center.
Sec. 532. Authority for the Marine Corps University to award degree of 
          master of strategic studies.
Sec. 533. Foreign students attending the service academies.
Sec. 534. Increase in maximum age for appointment as a cadet or 
          midshipman in Senior Reserve Officers' Training Corps 
          scholarship programs.
Sec. 535. Participation of regular enlisted members of the Armed Forces 
          in Senior Reserve Officers' Training Corps program.
Sec. 536. Authority to modify the service obligation of certain ROTC 
          cadets in military junior colleges receiving financial 
          assistance.
Sec. 537. Repeal of limitation on number of Junior Reserve Officers' 
          Training Corps units.
Sec. 538. Modification of nurse officer candidate accession program 
          restriction on students attending educational institutions 
          with senior reserve officers' training programs.
Sec. 539. Reserve health professionals stipend program expansion.
Sec. 540. Housing allowance for the chaplain for the Corps of Cadets at 
          the United States Military Academy.

              Subtitle E--Recruiting and Accession Programs

Sec. 541. 18-month enlistment pilot program.
Sec. 542. Improved benefits under the Army College First program.
Sec. 543. Correction and extension of certain Army recruiting pilot 
          program authorities.
Sec. 544. Military recruiter access to secondary school students.
Sec. 545. Permanent authority for use of military recruiting funds for 
          certain expenses at Department of Defense recruiting 
          functions.
Sec. 546. Report on health and disability benefits for pre-accession 
          training and education programs.

       Subtitle F--Decorations, Awards, and Posthumous Commissions

Sec. 551. Authority for award of the Medal of Honor to Humbert R. 
          Versace, Jon E. Swanson, and Ben L. Salomon for valor.
Sec. 552. Review regarding award of Medal of Honor to certain Jewish 
          American and Hispanic American war veterans.
Sec. 553. Authority to issue duplicate Medals of Honor and to replace 
          stolen military decorations.
Sec. 554. Retroactive Medal of Honor special pension.
Sec. 555. Waiver of time limitations for award of certain decorations to 
          certain persons.
Sec. 556. Sense of Congress on issuance of certain medals.
Sec. 557. Sense of Congress on development of a more comprehensive, 
          uniform policy for the award of decorations to military and 
          civilian personnel of the Department of Defense.
Sec. 558. Posthumous Army commission in the grade of captain in the 
          Chaplains Corps to Ella E. Gibson for service as chaplain of 
          the First Wisconsin Heavy Artillery Regiment during the Civil 
          War.

                     Subtitle G--Funeral Honors Duty

Sec. 561. Participation of military retirees in funeral honors details.
Sec. 562. Funeral honors duty performed by Reserve and Guard members to 
          be treated as inactive-duty training for certain purposes.
Sec. 563. Use of military leave for funeral honors duty by Reserve 
          members and National Guardsmen.
Sec. 564. Authority to provide appropriate articles of clothing as a 
          civilian uniform for civilians participating in funeral honor 
          details.

             Subtitle H--Military Spouses and Family Members

Sec. 571. Improved financial and other assistance to military spouses 
          for job training and education.
Sec. 572. Persons authorized to be included in surveys of military 
          families regarding Federal programs.
Sec. 573. Clarification of treatment of classified information 
          concerning persons in a missing status.
Sec. 574. Transportation to annual meeting of next-of-kin of persons 
          unaccounted for from conflicts after World War II.
Sec. 575. Amendments to charter of Defense Task Force on Domestic 
          Violence.

        Subtitle I--Military Justice and Legal Assistance Matters

Sec. 581. Blood alcohol content limit for the offense under the Uniform 
          Code of Military Justice of drunken operation of a vehicle, 
          aircraft, or vessel.
Sec. 582. Requirement that courts-martial consist of not less than 12 
          members in capital cases.
Sec. 583. Acceptance of voluntary legal assistance for the civil affairs 
          of members and former members of the uniformed services and 
          their dependents.

                        Subtitle J--Other Matters

Sec. 591. Congressional review period for change in ground combat 
          exclusion policy.
Sec. 592. Per diem allowance for lengthy or numerous deployments.
Sec. 593. Clarification of disability severance pay computation.
Sec. 594. Transportation or storage of privately owned vehicles on 
          change of permanent station.
Sec. 595. Repeal of requirement for final Comptroller General report 
          relating to Army end strength allocations.
Sec. 596. Continued Department of Defense administration of National 
          Guard Challenge program and Department of Defense Starbase 
          program.
Sec. 597. Report on Defense Science Board recommendation on original 
          appointments in regular grades for Academy graduates and 
          certain other new officers.
Sec. 598. Sense of Congress regarding the selection of officers for 
          recommendation for appointment as Commander, United States 
          Transportation Command.

                  Subtitle A--Officer Personnel Policy

    SEC. 501. ENHANCED FLEXIBILITY FOR MANAGEMENT OF SENIOR GENERAL AND 
      FLAG OFFICER POSITIONS.
    (a) Repeal of Limit on Number of Officers on Active Duty in Grades 
of General and Admiral.--Section 528 of title 10, United States Code, 
is repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 32 of such title is amended by striking the item relating to 
section 528.
    SEC. 502. CERTIFICATIONS OF SATISFACTORY PERFORMANCE FOR RETIREMENT 
      OF OFFICERS IN GRADES ABOVE MAJOR GENERAL AND REAR ADMIRAL.
    Section 1370(c) of title 10, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(3)(A) The Secretary of Defense may delegate authority to make a 
certification with respect to an officer under paragraph (1) only to 
the Under Secretary of Defense for Personnel and Readiness or the 
Deputy Under Secretary of Defense for Personnel and Readiness.
    ``(B) If authority is delegated under subparagraph (A) and, in the 
course of consideration of an officer for a certification under 
paragraph (1), the Under Secretary or (if such authority is delegated 
to both the Under and Deputy Under Secretary) the Deputy Under 
Secretary makes a determination described in subparagraph (C) with 
respect to that officer, the Under Secretary or Deputy Under Secretary, 
as the case may be, may not exercise the delegated authority in that 
case, but shall refer the matter to the Secretary of Defense, who shall 
personally determine whether to issue a certification under paragraph 
(1) with respect to that officer.
    ``(C) A determination referred to in subparagraph (B) is a 
determination that there is potentially adverse information concerning 
an officer and that such information has not previously been submitted 
to the Senate in connection with the consideration by the Senate of a 
nomination of that officer for an appointment for which the advice and 
consent of the Senate is required.''.

SEC. 503. REVIEW OF ACTIONS OF SELECTION BOARDS.

    (a) In General.--(1) Chapter 79 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 1558. Review of actions of selection boards: correction of 
     military records by special boards; judicial review
    ``(a) Correction of Military Records.--The Secretary of a military 
department may correct a person's military records in accordance with a 
recommendation made by a special board. Any such correction may be made 
effective as of the effective date of the action taken on a report of a 
previous selection board that resulted in the action corrected in the 
person's military records.
    ``(b) Definitions.--In this section:
        ``(1) Special board.--(A) The term `special board' means a 
    board that the Secretary of a military department convenes under 
    any authority to consider whether to recommend a person for 
    appointment, enlistment, reenlistment, assignment, promotion, 
    retention, separation, retirement, or transfer to inactive status 
    in a reserve component instead of referring the records of that 
    person for consideration by a previously convened selection board 
    which considered or should have considered that person.
        ``(B) Such term includes a board for the correction of military 
    records convened under section 1552 of this title, if designated as 
    a special board by the Secretary concerned.
        ``(C) Such term does not include a promotion special selection 
    board convened under section 628 or 14502 of this title.
        ``(2) Selection board.--(A) The term `selection board' means a 
    selection board convened under section 573(c), 580, 580a, 581, 
    611(b), 637, 638, 638a, 14101(b), 14701, 14704, or 14705 of this 
    title, and any other board convened by the Secretary of a military 
    department under any authority to recommend persons for 
    appointment, enlistment, reenlistment, assignment, promotion, or 
    retention in the armed forces or for separation, retirement, or 
    transfer to inactive status in a reserve component for the purpose 
    of reducing the number of persons serving in the armed forces.
        ``(B) Such term does not include any of the following:
            ``(i) A promotion board convened under section 573(a), 
        611(a), or 14101(a) of this title.
            ``(ii) A special board.
            ``(iii) A special selection board convened under section 
        628 of this title.
            ``(iv) A board for the correction of military records 
        convened under section 1552 of this title.
        ``(3) Involuntarily board-separated.--The term `involuntarily 
    board-separated' means separated or retired from an armed force, or 
    transferred to the Retired Reserve or to inactive status in a 
    reserve component, as a result of a recommendation of a selection 
    board.
    ``(c) Relief Associated With Correction of Certain Actions.--(1) 
The Secretary of the military department concerned shall ensure that an 
involuntarily board-separated person receives relief under paragraph 
(2) or under paragraph (3) if the person, as a result of a correction 
of the person's military records under subsection (a), becomes entitled 
to retention on or restoration to active duty or to active status in a 
reserve component.
    ``(2)(A) A person referred to in paragraph (1) shall, with that 
person's consent, be restored to the same status, rights, and 
entitlements (less appropriate offsets against back pay and allowances) 
in that person's armed force as the person would have had if the person 
had not been selected to be involuntarily board-separated as a result 
of an action the record of which is corrected under subsection (a). An 
action under this subparagraph is subject to subparagraph (B).
    ``(B) Nothing in subparagraph (A) may be construed to permit a 
person to be on active duty or in an active status in a reserve 
component after the date on which the person would have been separated, 
retired, or transferred to the Retired Reserve or to inactive status in 
a reserve component if the person had not been selected to be 
involuntarily board-separated in an action of a selection board the 
record of which is corrected under subsection (a).
    ``(3) If an involuntarily board-separated person referred to in 
paragraph (1) does not consent to a restoration of status, rights, and 
entitlements under paragraph (2), the Secretary concerned shall pay 
that person back pay and allowances (less appropriate offsets), and 
shall provide that person service credit, for the period--
        ``(A) beginning on the date of the person's separation, 
    retirement, or transfer to the Retired Reserve or to inactive 
    status in a reserve component, as the case may be; and
        ``(B) ending on the earlier of--
            ``(i) the date on which the person would have been so 
        restored under paragraph (2), as determined by the Secretary 
        concerned; or
            ``(ii) the date on which the person would otherwise have 
        been separated, retired, or transferred to the Retired Reserve 
        or to inactive status in a reserve component, as the case may 
        be.
    ``(d) Finality of Unfavorable Action.--If a special board makes a 
recommendation not to correct the military records of a person 
regarding action taken in the case of that person on the basis of a 
previous report of a selection board, the action previously taken on 
that report shall be considered as final as of the date of the action 
taken on that report.
    ``(e) Regulations.--(1) The Secretary of each military department 
shall prescribe regulations to carry out this section. Regulations 
under this subsection may not apply to subsection (f), other than to 
paragraph (4)(C) of that subsection.
    ``(2) The Secretary may prescribe in the regulations under 
paragraph (1) the circumstances under which consideration by a special 
board may be provided for under this section, including the following:
        ``(A) The circumstances under which consideration of a person's 
    case by a special board is contingent upon application by or for 
    that person.
        ``(B) Any time limits applicable to the filing of an 
    application for such consideration.
    ``(3) Regulations prescribed by the Secretary of a military 
department under this subsection may not take effect until approved by 
the Secretary of Defense.
    ``(f) Judicial Review.--(1) A person seeking to challenge an action 
or recommendation of a selection board, or an action taken by the 
Secretary of the military department concerned on the report of a 
selection board, is not entitled to relief in any judicial proceeding 
unless the action or recommendation has first been considered by a 
special board under this section or the Secretary concerned has denied 
the convening of such a board for such consideration.
    ``(2)(A) A court of the United States may review a determination by 
the Secretary of a military department not to convene a special board 
in the case of any person. In any such case, the court may set aside 
the Secretary's determination only if the court finds the determination 
to be--
        ``(i) arbitrary or capricious;
        ``(ii) not based on substantial evidence;
        ``(iii) a result of material error of fact or material 
    administrative error; or
        ``(iv) otherwise contrary to law.
    ``(B) If a court sets aside a determination by the Secretary of a 
military department not to convene a special board, it shall remand the 
case to the Secretary concerned, who shall provide for consideration by 
a special board.
    ``(3) A court of the United States may review a recommendation of a 
special board or an action of the Secretary of the military department 
concerned on the report of a special board. In any such case, a court 
may set aside the action only if the court finds that the 
recommendation or action was--
        ``(A) arbitrary or capricious;
        ``(B) not based on substantial evidence;
        ``(C) a result of material error of fact or material 
    administrative error; or
        ``(D) otherwise contrary to law.
    ``(4)(A) If, six months after receiving a complete application for 
consideration by a special board in any case, the Secretary concerned 
has not convened a special board and has not denied consideration by a 
special board in that case, the Secretary shall be deemed for the 
purposes of this subsection to have denied consideration of the case by 
a special board.
    ``(B) If, six months after the convening of a special board in any 
case, the Secretary concerned has not taken final action on the report 
of the special board, the Secretary shall be deemed for the purposes of 
this subsection to have denied relief in such case.
    ``(C) Under regulations prescribed under subsection (e), the 
Secretary of a military department may waive the applicability of 
subparagraph (A) or (B) in a case if the Secretary determines that a 
longer period for consideration of the case is warranted. Such a waiver 
may be for an additional period of not more than six months. The 
Secretary concerned may not delegate authority to make a determination 
under this subparagraph.
    ``(g) Existing Jurisdiction.--Nothing in this section limits--
        ``(1) the jurisdiction of any court of the United States under 
    any provision of law to determine the validity of any law, 
    regulation, or policy relating to selection boards; or
        ``(2) the authority of the Secretary of a military department 
    to correct a military record under section 1552 of this title.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``1558. Review of actions of selection boards: correction of military 
records by special boards; judicial review.''.

    (b) Special Selection Boards.--Section 628 of such title is 
amended--
        (1) by redesignating subsection (g) as subsection (k); and
        (2) by inserting after subsection (f) the following new 
    subsections:
    ``(g) Judicial Review.--(1)(A) A court of the United States may 
review a determination by the Secretary of a military department under 
subsection (a)(1) or (b)(1) not to convene a special selection board in 
the case of any person. In any such case, the court may set aside the 
Secretary's determination only if the court finds the determination to 
be--
        ``(i) arbitrary or capricious;
        ``(ii) not based on substantial evidence;
        ``(iii) a result of material error of fact or material 
    administrative error; or
        ``(iv) otherwise contrary to law.
    ``(B) If a court sets aside a determination by the Secretary of a 
military department not to convene a special selection board under this 
section, it shall remand the case to the Secretary concerned, who shall 
provide for consideration by such a board.
    ``(2) A court of the United States may review the action of a 
special selection board convened under this section or an action of the 
Secretary of the military department concerned on the report of such a 
board. In any such case, a court may set aside the action only if the 
court finds that the action was--
        ``(A) arbitrary or capricious;
        ``(B) not based on substantial evidence;
        ``(C) a result of material error of fact or material 
    administrative error; or
        ``(D) otherwise contrary to law.
    ``(3)(A) If, six months after receiving a complete application for 
consideration by a special selection board under this section in any 
case, the Secretary concerned has not convened such a board and has not 
denied consideration by such a board in that case, the Secretary shall 
be deemed for the purposes of this subsection to have denied the 
consideration of the case by such a board.
    ``(B) If, six months after the convening of a special selection 
board under this section in any case, the Secretary concerned has not 
taken final action on the report of the board, the Secretary shall be 
deemed for the purposes of this subsection to have denied relief in 
such case.
    ``(C) Under regulations prescribed under subsection (j), the 
Secretary of a military department may waive the applicability of 
subparagraph (A) or (B) in a case if the Secretary determines that a 
longer period for consideration of the case is warranted. Such a waiver 
may be for an additional period of not more than six months. The 
Secretary concerned may not delegate authority to make a determination 
under this subparagraph.
    ``(h) Limitations of Other Jurisdiction.--No official or court of 
the United States may, with respect to a claim based to any extent on 
the failure of a person to be selected for promotion by a promotion 
board--
        ``(1) consider the claim unless the person has first been 
    referred by the Secretary concerned to a special selection board 
    convened under this section and acted upon by that board and the 
    report of the board has been approved by the President; or
        ``(2) except as provided in subsection (g), grant any relief on 
    the claim unless the person has been selected for promotion by a 
    special selection board convened under this section to consider the 
    person for recommendation for promotion and the report of the board 
    has been approved by the President.
    ``(i) Existing Jurisdiction.--Nothing in this section limits--
        ``(1) the jurisdiction of any court of the United States under 
    any provision of law to determine the validity of any law, 
    regulation, or policy relating to selection boards; or
        ``(2) the authority of the Secretary of a military department 
    to correct a military record under section 1552 of this title.
    ``(j) Regulations.--(1) The Secretary of each military department 
shall prescribe regulations to carry out this section. Regulations 
under this subsection may not apply to subsection (g), other than to 
paragraph (3)(C) of that subsection.
    ``(2) The Secretary may prescribe in the regulations under 
paragraph (1) the circumstances under which consideration by a special 
selection board may be provided for under this section, including the 
following:
        ``(A) The circumstances under which consideration of a person's 
    case by a special selection board is contingent upon application by 
    or for that person.
        ``(B) Any time limits applicable to the filing of an 
    application for such consideration.
    ``(3) Regulations prescribed by the Secretary of a military 
department under this subsection may not take effect until approved by 
the Secretary of Defense.''.
    (c) Effective Date.--(1) Except as provided in paragraph (2), the 
amendments made by this section shall apply with respect to any 
proceeding pending on or after the date of the enactment of this Act 
without regard to whether a challenge to an action of a selection board 
of any of the Armed Forces being considered in the proceeding was 
initiated before, on, or after that date.
    (2) The amendments made by this section shall not apply with 
respect to any action commenced in a court of the United States before 
the date of the enactment of this Act.
    SEC. 504. TEMPORARY REDUCTION OF TIME-IN-GRADE REQUIREMENT FOR 
      ELIGIBILITY FOR PROMOTION FOR CERTAIN ACTIVE-DUTY LIST OFFICERS 
      IN GRADES OF FIRST LIEUTENANT AND LIEUTENANT (JUNIOR GRADE).
    (a) Authority.--Subsection (a)(1)(B) of section 619 of title 10, 
United States Code, is amended by inserting before the period at the 
end the following: ``, except that the minimum period of service in 
effect under this subparagraph before October 1, 2005, shall be 
eighteen months''.
    (b) Stylistic Amendments.--Such section is further amended as 
follows:
        (1) Subsection (a) is amended by striking ``(a)(1)'' and 
    inserting ``(a) Time-in-Grade Requirements.--(1)''.
        (2) Subsection (b) is amended by striking ``(b)(1)'' and 
    inserting ``(b) Continued Eligibility for Consideration for 
    Promotion of Officers Who Have Previously Failed of Selection.--
    (1)''.
        (3) Subsection (c) is amended by striking ``(c)(1)'' and 
    inserting ``(c) Officers To Be Considered by Promotion Boards.--
    (1)''.
        (4) Subsection (d) is amended by inserting ``Certain Officers 
    Not To Be Considered.--'' after ``(d)''.
    (c) Technical Amendment.--Subsection (a)(4) of such section is 
amended by striking ``clause (A)'' and inserting ``subparagraph (A)''.
    SEC. 505. AUTHORITY FOR PROMOTION WITHOUT SELECTION BOARD 
      CONSIDERATION FOR ALL FULLY QUALIFIED OFFICERS IN GRADE OF FIRST 
      LIEUTENANT OR LIEUTENANT (JUNIOR GRADE) IN THE NAVY.
    (a) Active-Duty List Promotions.--(1) Section 624(a) of title 10, 
United States Code, is amended by adding at the end the following new 
paragraph:
    ``(3)(A) Except as provided in subsection (d), officers on the 
active-duty list in the grade of first lieutenant or, in the case of 
the Navy, lieutenant (junior grade) who are on an approved all-fully-
qualified-officers list shall be promoted to the next higher grade in 
accordance with regulations prescribed by the Secretary concerned.
    ``(B) An all-fully-qualified-officers list shall be considered to 
be approved for purposes of subparagraph (A) when the list is approved 
by the President. When so approved, such a list shall be treated in the 
same manner as a promotion list under this chapter.
    ``(C) The Secretary of a military department may make a 
recommendation to the President for approval of an all-fully-qualified-
officers list only when the Secretary determines that all officers on 
the list are needed in the next higher grade to accomplish mission 
objectives.
    ``(D) For purposes of this paragraph, an all-fully-qualified-
officers list is a list of all officers on the active-duty list in a 
grade who the Secretary of the military department concerned 
determines--
        ``(i) are fully qualified for promotion to the next higher 
    grade; and
        ``(ii) would be eligible for consideration for promotion to the 
    next higher grade by a selection board convened under section 
    611(a) of this title upon the convening of such a board.''.
    (2) Section 631 of such title is amended by adding at the end the 
following new subsection:
    ``(d) For the purposes of this chapter, an officer of the Army, Air 
Force, or Marine Corps who holds the grade of first lieutenant, and an 
officer of the Navy who holds the grade of lieutenant (junior grade), 
shall be treated as having failed of selection for promotion if the 
Secretary of the military department concerned determines that the 
officer would be eligible for consideration for promotion to the next 
higher grade by a selection board convened under section 611(a) of this 
title if such a board were convened but is not fully qualified for 
promotion when recommending for promotion under section 624(a)(3) of 
this title all fully qualified officers of the officer's armed force in 
such grade who would be eligible for such consideration.''.
    (3) Section 611 of such title is amended--
        (A) in subsection (a)--
            (i) by striking ``Under'' and all that follows through 
        ``require,'' and inserting ``Whenever the needs of the service 
        require, the Secretary of the military department concerned''; 
        and
            (ii) by adding at the end the following new sentence: ``The 
        preceding sentence does not require the convening of a 
        selection board in the case of officers in the permanent grade 
        of first lieutenant or, in the case of the Navy, lieutenant 
        (junior grade) when the Secretary concerned recommends for 
        promotion to the next higher grade under section 624(a)(3) of 
        this title all such officers whom the Secretary finds to be 
        fully qualified for promotion.'';
        (B) in subsection (b), by striking ``Under'' and all that 
    follows through ``require,'' and inserting ``Whenever the needs of 
    the service require, the Secretary of the military department 
    concerned''; and
        (C) by adding at the end the following new subsection:
    ``(c) The convening of selection boards under subsections (a) and 
(b) shall be under regulations prescribed by the Secretary of 
Defense.''.
    (b) Reserve Active-Status List Promotions.--(1) Section 14308(b) of 
title 10, United States Code, is amended by adding at the end the 
following new paragraph:
    ``(4)(A) Officers in the permanent grade of first lieutenant or, in 
the case of the Navy, lieutenant (junior grade) who are on an approved 
all-fully-qualified-officers list shall be promoted to the next higher 
grade in accordance with regulations prescribed by the Secretary 
concerned. Such promotions shall be in the manner specified in section 
12203 of this title.
    ``(B) An all-fully-qualified-officers list shall be considered to 
be approved for purposes of subparagraph (A) when the list is approved 
by the President. When so approved, such a list shall be treated in the 
same manner as a promotion list under this chapter and chapter 1403 of 
this title.
    ``(C) The Secretary of a military department may make a 
recommendation to the President for approval of an all-fully-qualified-
officers list only when the Secretary determines that all officers on 
the list are needed in the next higher grade to accomplish mission 
objectives.
    ``(D) For purposes of this paragraph, an all-fully-qualified-
officers list is a list of all officers on the reserve active-status 
list in a grade who the Secretary of the military department concerned 
determines--
        ``(i) are fully qualified for promotion to the next higher 
    grade; and
        ``(ii) would be eligible for consideration for promotion to the 
    next higher grade by a selection board convened under section 
    14101(a) of this title upon the convening of such a board.''.
    (2) Section 14504 of such title is amended by adding at the end the 
following new subsection:
    ``(c) Officers in Grade of First Lieutenant or Lieutenant (Junior 
Grade) Found Not Fully Qualified for Promotion.--For the purposes of 
this chapter, an officer of the Army, Air Force, or Marine Corps on a 
reserve active-status list who holds the grade of first lieutenant, and 
an officer of the Navy on a reserve active-status list who holds the 
grade of lieutenant (junior grade), shall be treated as having failed 
of selection for promotion if the Secretary of the military department 
concerned determines that the officer would be eligible for 
consideration for promotion to the next higher grade by a selection 
board convened under section 14101(a) of this title if such a board 
were convened but is not fully qualified for promotion when 
recommending for promotion under section 14308(b)(4) of this title all 
fully qualified officers of the officer's armed force in such grade who 
would be eligible for such consideration.''.
    (3) Section 14101(a) of such title is amended by adding at the end 
the following new paragraph:
    ``(3) Paragraph (1) does not require the convening of a selection 
board in the case of officers in the permanent grade of first 
lieutenant or, in the case of the Navy, lieutenant (junior grade) when 
the Secretary concerned recommends for promotion to the next higher 
grade under section 14308(b)(4) of this title all such officers whom 
the Secretary finds to be fully qualified for promotion.''.
    (c) Conforming Amendments.--Title 10, United States Code, is 
amended as follows:
        (1)(A) Section 619(d) is amended by adding at the end the 
    following new paragraph:
        ``(4) An officer in the grade of first lieutenant or, in the 
    case of the Navy, lieutenant (junior grade) who is on an approved 
    all-fully-qualified-officers list under section 624(a)(3) of this 
    title.''.
        (B) Section 14301(c) is amended by adding at the end the 
    following new paragraph:
        ``(5) An officer in the grade of first lieutenant or, in the 
    case of the Navy, lieutenant (junior grade) who is on an approved 
    all-fully-qualified-officers list under section 14308(b)(4) of this 
    title.''.
        (2)(A) Section 624(d) is amended--
            (i) in the second sentence of paragraph (1), by inserting 
        after ``on the promotion list'' the following: ``(including an 
        approved all-fully-qualified-officers list, if applicable)''; 
        and
            (ii) in the second sentence of paragraph (2), by inserting 
        after ``to such grade, the officer'' the following: ``shall be 
        retained on the promotion list (including an approved all-
        fully-qualified-officers list, if applicable) and''.
        (B) Section 14311 is amended--
            (i) in subsection (a)(2), by inserting after ``on the 
        promotion list'' the following: ``(including an approved all-
        fully-qualified-officers list, if applicable)''; and
            (ii) in subsection (b), by inserting in the second sentence 
        after ``on the promotion list'' the following: ``(including an 
        approved all-fully-qualified-officers list, if applicable)''.
        (3)(A) Section 628(a)(1) is amended by inserting after ``not so 
    considered,'' the following: ``or the name of a person that should 
    have been placed on an all-fully-qualified-officers list under 
    section 624(a)(3) of this title was not so placed,''.
        (B) Section 14502(a)(1) is amended by inserting after ``because 
    of administrative error,'' the following: ``or whose name was not 
    placed on an all-fully-qualified-officers list under section 
    14308(b)(4) of this title because of administrative error,''.
        (4) Section 1211(e) is amended by inserting after ``a promotion 
    list,'' the following: ``an approved all-fully-qualified-officers 
    list,''.
    (d) Technical Amendments To Strike Certain DOPMA References to 
Regular Officers.--Chapter 36 of such title is amended as follows:
        (1) Section 624(c) is amended--
            (A) by inserting ``, in the case of officers of the Army, 
        Air Force, or Marine Corps,'' after ``captain''; and
            (B) by inserting ``, in the case of officers of the Navy,'' 
        after ``or lieutenant'' the second place it appears.
        (2) Section 630 is amended by striking ``regular'' both places 
    it appears.
        (3) Sections 631(a) and 632(a) are each amended--
            (A) by striking ``Regular Army, Regular Air Force, or 
        Regular Marine Corps'' and inserting ``Army, Air Force, or 
        Marine Corps on the active-duty list'';
            (B) by striking ``Regular Navy'' and inserting ``Navy on 
        the active-duty list''; and
            (C) by striking ``regular'' each place it appears.
        (4)(A) The heading of section 630 and the item relating to that 
    section in the table of sections at the beginning of subchapter III 
    are each amended by striking the third word.
        (B) The heading of section 631 and the item relating to that 
    section in the table of sections at the beginning of subchapter III 
    are each amended by striking the eighth word.
        (C) The heading of section 632 and the item relating to that 
    section in the table of sections at the beginning of subchapter III 
    are each amended by striking the eighth and twenty-first words.
    SEC. 506. AUTHORITY TO ADJUST DATE OF RANK OF CERTAIN PROMOTIONS 
      DELAYED BY REASON OF UNUSUAL CIRCUMSTANCES.
    (a) Active Duty Officers.--Subsection 741(d) of title 10, United 
States Code, is amended by adding at the end the following new 
paragraph:
    ``(4)(A) The Secretary concerned may adjust the date of rank of an 
officer appointed under section 624(a) of this title to a higher grade 
that is not a general officer or flag officer grade if the appointment 
of that officer to that grade is delayed from the date on which (as 
determined by the Secretary) it would otherwise have been made by 
reason of unusual circumstances (as determined by the Secretary) that 
cause an unintended delay in--
        ``(i) the processing or approval of the report of the selection 
    board recommending the appointment of that officer to that grade; 
    or
        ``(ii) the processing or approval of the promotion list 
    established on the basis of that report.
    ``(B) The adjusted date of rank applicable to the grade of an 
officer under subparagraph (A) shall be consistent--
        ``(i) with the officer's position on the promotion list for 
    that grade and competitive category when additional officers in 
    that grade and competitive category were needed; and
        ``(ii) with compliance with the applicable authorized strengths 
    for officers in that grade and competitive category.
    ``(C) The adjusted date of rank applicable to the grade of an 
officer under subparagraph (A) shall be the effective date for--
        ``(i) the officer's pay and allowances for that grade; and
        ``(ii) the officer's position on the active-duty list.
    ``(D) When under subparagraph (A) the Secretary concerned adjusts 
the date of rank of an officer in a grade to which the officer was 
appointed by and with the advice and consent of the Senate and the 
adjustment is to a date before the date of the advice and consent of 
the Senate to that appointment, the Secretary shall promptly transmit 
to the Committee on Armed Services of the Senate a notification of that 
adjustment. Any such notification shall include the name of the officer 
and a discussion of the reasons for the adjustment of date of rank.
    ``(E) Any adjustment in date of rank under this paragraph shall be 
made under regulations prescribed by the Secretary of Defense, which 
shall apply uniformly among the Army, Navy, Air Force, and Marine 
Corps.''.
    (b) Reserve Officers.--(1) Section 14308(c) of such title is 
amended--
        (A) by redesignating paragraph (2) as paragraph (3); and
        (B) by inserting after paragraph (1) the following new 
    paragraph (2):
    ``(2) The date of rank of an officer appointed to a higher grade 
under this section may be adjusted in the same manner as an adjustment 
may be made under section 741(d)(4) of this title in the date of rank 
of an officer appointed to a higher grade under section 624(a) of this 
title. In any use of the authority under the preceding sentence, 
subparagraph (C)(ii) of such section shall be applied by substituting 
`reserve active-status list' for `active-duty list'.''.
    (2) Paragraph (3) of such section, as redesignated by paragraph 
(1)(A), is amended by inserting ``provided in paragraph (2) or as 
otherwise'' after ``Except as''.
    (c) Effective Date.--(1) Paragraph (4) of section 741(d) of title 
10, United States Code, as added by subsection (a), and paragraph (2) 
of section 14308(c) of such title, as added by subsection (b), shall 
apply with respect to any report of a selection board recommending 
officers for promotion to the next higher grade that is submitted to 
the Secretary of the military department concerned on or after the date 
of the enactment of this Act.
    (2) The Secretary of the military department concerned may apply 
the applicable paragraph referred to in paragraph (1) in the case of an 
appointment of an officer to a higher grade resulting from a report of 
a selection board submitted to the Secretary before the date of the 
enactment of this Act if the Secretary determines that such appointment 
would have been made on an earlier date that is on or after October 1, 
2001, and was delayed under the circumstances specified in paragraph 
(4) of section 741(d) of title 10, United States Code, as added by 
subsection (a).
    SEC. 507. AUTHORITY FOR LIMITED EXTENSION OF MEDICAL DEFERMENT OF 
      MANDATORY RETIREMENT OR SEPARATION.
    The text of section 640 of title 10, United States Code, is amended 
to read as follows:
    ``(a) If the Secretary of the military department concerned 
determines that the evaluation of the physical condition of an officer 
and determination of the officer's entitlement to retirement or 
separation for physical disability require hospitalization or medical 
observation and that such hospitalization or medical observation cannot 
be completed with confidence in a manner consistent with the member's 
well being before the date on which the officer would otherwise be 
required to retire or be separated under this title, the Secretary may 
defer the retirement or separation of the officer under this title.
    ``(b) A deferral of retirement or separation under subsection (a) 
may not extend for more than 30 days after completion of the evaluation 
requiring hospitalization or medical observation.''.
    SEC. 508. AUTHORITY FOR LIMITED EXTENSION ON ACTIVE DUTY OF MEMBERS 
      SUBJECT TO MANDATORY RETIREMENT OR SEPARATION.
    (a) Section 12305 Stop-Loss Authority.--Section 12305 of title 10, 
United States Code, is amended by adding at the end the following new 
subsection:
    ``(c) Upon the termination of a suspension made under the authority 
of subsection (a) of a provision of law otherwise requiring the 
separation or retirement of officers on active duty because of age, 
length of service or length of service in grade, or failure of 
selection for promotion, the Secretary concerned shall extend by up to 
90 days the otherwise required separation or retirement date of any 
officer covered by the suspended provision whose separation or 
retirement date, but for the suspension, would have been before the 
date of the termination of the suspension or within 90 days after the 
date of such termination.''.
    (b) Section 123 Stop-Loss Authority.--Section 123 of such title is 
amended by adding at the end the following new subsection:
    ``(d) Upon the termination of a suspension made under the authority 
of subsection (a) of a provision of law otherwise requiring the 
separation or retirement of officers on active duty because of age, 
length of service or length of service in grade, or failure of 
selection for promotion, the Secretary concerned shall extend by up to 
90 days the otherwise required separation or retirement date of any 
officer covered by the suspended provision whose separation or 
retirement date, but for the suspension, would have been before the 
date of the termination of the suspension or within 90 days after the 
date of such termination.''.
    SEC. 509. EXEMPTION FROM CERTAIN ADMINISTRATIVE LIMITATIONS FOR 
      RETIRED OFFICERS ORDERED TO ACTIVE DUTY AS DEFENSE OR SERVICE 
      ATTACHES.
    (a) Limitation of Period of Recalled Service.--Section 688(e)(2) of 
title 10, United States Code, is amended by adding at the end the 
following new subparagraph:
        ``(D) An officer who is assigned to duty as a defense attache 
    or service attache for the period of active duty to which 
    ordered.''.
    (b) Limitation on Number of Recalled Officers on Active Duty.--
Section 690(b)(2) of such title is amended by adding at the end the 
following new subparagraph:
        ``(E) An officer who is assigned to duty as a defense attache 
    or service attache for the period of active duty to which 
    ordered.''.
    (c) Applicability.--The amendments made by subsections (a) and (b) 
shall apply with respect to officers serving on active duty as a 
defense attache or service attache on or after the date of the 
enactment of this Act.
    SEC. 510. OFFICER IN CHARGE OF UNITED STATES NAVY BAND.
    (a) Detail and Grade.--Section 6221 of title 10, United States 
Code, is amended to read as follows:
``Sec. 6221. United States Navy Band; officer in charge
    ``(a) There is a Navy band known as the United States Navy Band.
    ``(b)(1) An officer of the Navy designated for limited duty under 
section 5589 or 5596 of this title who is serving in a grade above 
lieutenant may be detailed by the Secretary of the Navy as Officer in 
Charge of the United States Navy Band.
    ``(2) While serving as Officer in Charge of the United States Navy 
Band, an officer shall hold the grade of captain if appointed to that 
grade by the President, by and with the advice and consent of the 
Senate. Such an appointment may be made notwithstanding section 5596(d) 
of this title.''.
    (b) Clerical Amendment.--The item relating to such section in the 
table of sections at the beginning of chapter 565 of such title is 
amended to read as follows:
``6221. United States Navy Band; officer in charge.''.

             Subtitle B--Reserve Component Personnel Policy

    SEC. 511. PLACEMENT ON ACTIVE-DUTY LIST OF CERTAIN RESERVE OFFICERS 
      ON ACTIVE DUTY FOR A PERIOD OF THREE YEARS OR LESS.
    (a) Clarification of Exemption.--Section 641(1)(D) of title 10, 
United States Code, is amended to read as follows:
            ``(D) on active duty under section 12301(d) of this title, 
        other than as provided under subparagraph (C), if the call or 
        order to active duty, under regulations prescribed by the 
        Secretary concerned, specifies a period of three years or less 
        and continued placement on the reserve active-status list;''.
    (b) Retroactive Application.--(1) The Secretary of the military 
department concerned may provide that an officer who was excluded from 
the active-duty list under section 641(1)(D) of title 10, United States 
Code, as amended by section 521 of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-108), shall be considered to have been on 
the active-duty list during the period beginning on the date on which 
the officer was so excluded and ending on the date of the enactment of 
this Act.
    (2) The Secretary of the military department concerned may provide 
that a Reserve officer who was placed on the active-duty list on or 
after October 30, 1997, shall be placed on the reserve active-status 
list if the officer otherwise meets the conditions specified in section 
641(1)(D) of title 10, United States Code, as amended by subsection 
(a).
    SEC. 512. EXCEPTION TO BACCALAUREATE DEGREE REQUIREMENT FOR 
      APPOINTMENT OF RESERVE OFFICERS TO GRADES ABOVE FIRST LIEUTENANT.
    (a) Reauthorization of Waiver Authority for Army OCS Graduates and 
Inclusion of Certain Marine Officers.--Section 12205 of title 10, 
United States Code, is amended by adding at the end the following new 
subsection:
    ``(d) Waiver Authority for Army OCS Graduates and Certain Marine 
Corps Officers.--(1) The Secretary of the Army may waive the 
applicability of subsection (a) to any officer whose original 
appointment in the Army as a Reserve officer is through the Army 
Officer Candidate School program.
    ``(2) The Secretary of the Navy may waive the applicability of 
subsection (a) to any officer whose original appointment in the Marine 
Corps as a Reserve officer is through the Marine Corps meritorious 
commissioning program.
    ``(3) Any such waiver shall be made on a case-by-case basis, 
considering the individual circumstances of the officer involved, and 
may continue in effect for no more than two years after the waiver is 
granted. The Secretary concerned may provide for such a waiver to be 
effective before the date of the waiver, as appropriate in an 
individual case.''.
    (b) Effective Date.--Subsection (d) of section 12205 of title 10, 
United States Code, as added by subsection (a), shall apply with 
respect to officers appointed before, on, or after the date of the 
enactment of this Act.
    SEC. 513. IMPROVED DISABILITY BENEFITS FOR CERTAIN RESERVE 
      COMPONENT MEMBERS.
    (a) Medical and Dental Care.--Sections 1074a(a)(3) and 
1076(a)(2)(C) of title 10, United States Code, are each amended by 
striking ``, if the'' and all that follows through ``member's 
residence''.
    (b) Eligibility for Disability Retirement or Separation.--Sections 
1204(2)(B)(iii) and 1206(2)(B)(iii) of title 10, United States Code, 
are each amended by striking ``, if the'' and all that follows through 
``member's residence''.
    (c) Recovery, Care, and Disposition of Remains.--Section 
1481(a)(2)(D) of title 10, United States Code, is amended by striking 
``, if the site is outside reasonable commuting distance from the 
member's residence''.
    (d) Entitlement to Basic Pay.--Subsections (g)(1)(D) and (h)(1)(D) 
of section 204 of title 37, United States Code, are amended by striking 
``, if the site is outside reasonable commuting distance from the 
member's residence''.
    (e) Compensation for Inactive-Duty Training.--Section 206(a)(3)(C) 
of title 37, United States Code, is amended by striking ``, if the site 
is outside reasonable commuting distance from the member's residence''.
    SEC. 514. TIME-IN-GRADE REQUIREMENT FOR RESERVE COMPONENT OFFICERS 
      RETIRED WITH A NONSERVICE CONNECTED DISABILITY.
    Section 1370(d)(3)(B) of title 10, United States Code, is amended 
to read as follows:
    ``(B) A person covered by subparagraph (A) who has completed at 
least six months of satisfactory service in grade may be credited with 
satisfactory service in the grade in which serving at the time of 
transfer or discharge, notwithstanding failure of the person to 
complete three years of service in that grade, if that person is 
transferred from an active status or discharged as a reserve 
commissioned officer--
        ``(i) solely due to the requirements of a nondiscretionary 
    provision of law requiring that transfer or discharge due to the 
    person's age or years of service; or
        ``(ii) because the person no longer meets the qualifications 
    for membership in the Ready Reserve solely because of a physical 
    disability, as determined, at a minimum, by a medical evaluation 
    board and at the time of such transfer or discharge such person 
    (pursuant to section 12731b of this title or otherwise) meets the 
    service requirements established by section 12731(a) of this title 
    for eligibility for retired pay under chapter 1223 of this title, 
    unless the disability is described in section 12731b of this 
    title.''.
    SEC. 515. EQUAL TREATMENT OF RESERVES AND FULL-TIME ACTIVE DUTY 
      MEMBERS FOR PURPOSES OF MANAGING PERSONNEL DEPLOYMENTS.
    (a) Residence of Reserves at Home Station.--Paragraph (2) of 
section 991(b) of title 10, United States Code, is amended to read as 
follows:
    ``(2) In the case of a member of a reserve component who is 
performing active service pursuant to orders that do not establish a 
permanent change of station, the housing referred to in paragraph (1) 
is any housing (which may include the member's residence) that the 
member usually occupies for use during off-duty time when on garrison 
duty at the member's permanent duty station or homeport, as the case 
may be.''.
    (b) Effective Date.--The amendment made by this section shall apply 
with respect to duty performed on or after October 1, 2001.
    SEC. 516. MODIFICATION OF PHYSICAL EXAMINATION REQUIREMENTS FOR 
      MEMBERS OF THE INDIVIDUAL READY RESERVE.
    (a) IRR Requirement.--Section 10206 of title 10, United States 
Code, is amended--
        (1) in the matter in subsection (a) preceding paragraph (1), by 
    striking ``Ready Reserve'' and inserting ``Selected Reserve'';
        (2) by designating the second sentence of subsection (a) as 
    subsection (c);
        (3) by redesignating subsection (b) as subsection (d); and
        (4) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) A member of the Individual Ready Reserve or inactive National 
Guard shall be examined for physical fitness as necessary to determine 
the member's physical fitness for--
        ``(1) military duty or promotion;
        ``(2) attendance at a school of the armed forces; or
        ``(3) other action related to career progression.''.
    (b) Technical Amendment.--Subsection (a)(1) of such section is 
amended by striking ``his'' and inserting ``the member's''.
    SEC. 517. RETIREMENT OF RESERVE MEMBERS WITHOUT REQUIREMENT FOR 
      FORMAL APPLICATION OR REQUEST.
    (a) Retired Reserve.--Section 10154(2) of title 10, United States 
Code, is amended by striking ``upon their request''.
    (b) Retirement for Failure of Selection of Promotion.--(1) 
Paragraph (2) of section 14513 of such title is amended by striking ``, 
if the officer is qualified and applies for such transfer'' and 
inserting ``if the officer is qualified for such transfer and does not 
request (in accordance with regulations prescribed by the Secretary 
concerned) not to be transferred to the Retired Reserve''.
    (2)(A) The heading for such section is amended to read as follows:
``Sec. 14513. Failure of selection for promotion: transfer, retirement, 
      or discharge''.
    (B) The item relating to such section in the table of sections at 
the beginning of chapter 1407 of such title is amended to read as 
follows:

``14513. Failure of selection for promotion: transfer, retirement, or 
discharge.''.

    (c) Retirement for Years of Service or After Selection for Early 
Removal.--Section 14514 of such title is amended--
        (1) in paragraph (1), by striking ``, if the officer is 
    qualified and applies for such transfer'' and inserting ``if the 
    officer is qualified for such transfer and does not request (in 
    accordance with regulations prescribed by the Secretary concerned) 
    not to be transferred to the Retired Reserve''; and
        (2) by striking paragraph (2) and inserting the following:
        ``(2) be discharged from the officer's reserve appointment if 
    the officer is not qualified for transfer to the Retired Reserve or 
    has requested (in accordance with regulations prescribed by the 
    Secretary concerned) not to be so transferred.''.
    (d) Retirement for Age.--Section 14515 of such title is amended--
        (1) in paragraph (1), by striking ``, if the officer is 
    qualified and applies for such transfer'' and inserting ``if the 
    officer is qualified for such transfer and does not request (in 
    accordance with regulations prescribed by the Secretary concerned) 
    not to be transferred to the Retired Reserve''; and
        (2) by striking paragraph (2) and inserting the following:
        ``(2) be discharged from the officer's reserve appointment if 
    the officer is not qualified for transfer to the Retired Reserve or 
    has requested (in accordance with regulations prescribed by the 
    Secretary concerned) not to be so transferred.''.
    (e) Discharge or Retirement of Warrant Officers for Years of 
Service or Age.--(1) Chapter 1207 of such title is amended by adding at 
the end the following new section:
``Sec. 12244. Warrant officers: discharge or retirement for years of 
      service or for age
    ``Each reserve warrant officer of the Army, Navy, Air Force, or 
Marine Corps who is in an active status and has reached the maximum 
years of service or age prescribed by the Secretary concerned shall--
        ``(1) be transferred to the Retired Reserve if the warrant 
    officer is qualified for such transfer and does not request (in 
    accordance with regulations prescribed by the Secretary concerned) 
    not to be transferred to the Retired Reserve; or
        ``(2) be discharged if the warrant officer is not qualified for 
    transfer to the Retired Reserve or has requested (in accordance 
    with regulations prescribed by the Secretary concerned) not to be 
    so transferred.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``12244. Warrant officers: discharge or retirement for years of service 
or for age.''.

    (f) Discharge or Retirement of Enlisted Members for Years of 
Service or Age.--(1) Chapter 1203 of such title is amended by adding at 
the end the following new section:
``Sec. 12108. Enlisted members: discharge or retirement for years of 
      service or for age
    ``Each reserve enlisted member of the Army, Navy, Air Force, or 
Marine Corps who is in an active status and has reached the maximum 
years of service or age prescribed by the Secretary concerned shall--
        ``(1) be transferred to the Retired Reserve if the member is 
    qualified for such transfer and does not request (in accordance 
    with regulations prescribed by the Secretary concerned) not to be 
    transferred to the Retired Reserve; or
        ``(2) be discharged if the member is not qualified for transfer 
    to the Retired Reserve or has requested (in accordance with 
    regulations prescribed by the Secretary concerned) not to be so 
    transferred.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``12108. Enlisted members: discharge or retirement for years of service 
or for age.''.

    (g) Effective Date.--The amendments made by this section shall take 
effect on the first day of the first month that begins more than 180 
days after the date of the enactment of this Act.
    SEC. 518. SPACE-REQUIRED TRAVEL BY RESERVES ON MILITARY AIRCRAFT.
    (a) Correction of Impairment to Authorized Travel With 
Allowances.--Subsection (a) of section 18505 of title 10, United States 
Code, is amended by striking ``annual training duty or'' each place it 
appears.
    (b) Conforming Amendments.--The heading for such section, and the 
item relating to such section in the table of sections at the beginning 
of chapter 1805 of such title, are each amended by striking the fourth, 
fifth, sixth, and seventh words.
    SEC. 519. PAYMENT OF FEDERAL EMPLOYEE HEALTH BENEFIT PROGRAM 
      PREMIUMS FOR CERTAIN RESERVISTS CALLED TO ACTIVE DUTY IN SUPPORT 
      OF CONTINGENCY OPERATIONS.
    (a) In General.--Subsection (e) of section 8906 of title 5, United 
States Code, is amended by adding at the end the following new 
paragraph:
    ``(3)(A) An employing agency may pay both the employee and 
Government contributions, and any additional administrative expenses 
otherwise chargeable to the employee, with respect to health care 
coverage for an employee described in subparagraph (B) and the family 
of such employee.
    ``(B) An employee referred to in subparagraph (A) is an employee 
who--
        ``(i) is enrolled in a health benefits plan under this chapter;
        ``(ii) is a member of a reserve component of the armed forces;
        ``(iii) is called or ordered to active duty in support of a 
    contingency operation (as defined in section 101(a)(13) of title 
    10);
        ``(iv) is placed on leave without pay or separated from service 
    to perform active duty; and
        ``(v) serves on active duty for a period of more than 30 
    consecutive days.
    ``(C) Notwithstanding the one-year limitation on coverage described 
in paragraph (1)(A), payment may be made under this paragraph for a 
period not to exceed 18 months.''.
    (b) Conforming Amendment.--The matter preceding paragraph (1) in 
subsection (f) of such section is amended to read as follows:
    ``(f) The Government contribution, and any additional payments 
under subsection (e)(3)(A), for health benefits for an employee shall 
be paid--''.
    (c) Applicability.--The amendments made by this section apply with 
respect to employees called to active duty on or after December 8, 
1995, and an agency may make retroactive payments to such employees for 
premiums paid on or after such date.

 Subtitle C--Joint Specialty Officers and Joint Professional Military 
                               Education

    SEC. 521. NOMINATIONS AND PROMOTIONS FOR JOINT SPECIALTY OFFICERS.
    (a) Selection of Officers for the Joint Speciality.--Paragraph (2) 
of section 661(b) of title 10, United States Code, is amended by 
striking ``The Secretaries'' and all that follows through ``officers--
'' and inserting ``Each officer on the active-duty list on the date of 
the enactment of the National Defense Authorization Act for Fiscal Year 
2002 who has not before that date been nominated for the joint 
specialty by the Secretary of a military department, and each officer 
who is placed on the active-duty list after such date, who meets the 
requirements of subsection (c) shall automatically be considered to 
have been nominated for the joint specialty. From among those officers 
considered to be nominated for the joint specialty, the Secretary may 
select for the joint specialty only officers--''.
    (b) Promotion Rate for Officers With the Joint Specialty.--
Paragraph (2) of section 662(a) of such title is amended by striking 
``promoted at a rate'' and inserting ``promoted--
            ``(A) during the three-year period beginning on the date of 
        the enactment of the National Defense Authorization Act for 
        Fiscal Year 2002, at a rate not less than the rate for officers 
        of the same armed force in the same grade and competitive 
        category; and
            ``(B) after the end of the period specified in subparagraph 
        (A), at a rate''.

SEC. 522. JOINT DUTY CREDIT.

    Paragraph (4) of section 664(i) of title 10, United States Code, is 
amended--
        (1) in subparagraph (E), by striking ``The'' and inserting 
    ``Except as provided in subparagraph (F), the''; and
        (2) by adding at the end the following new subparagraph:
        ``(F) Service in a temporary joint task force assignment not 
    involved in combat or combat-related operations may not be credited 
    for the purposes of joint duty, unless, and only if--
            ``(i) the service of the officer and the nature of the 
        joint task force not only meet all criteria of this section, 
        except subparagraph (E), but also any additional criteria the 
        Secretary may establish;
            ``(ii) the Secretary has specifically approved the 
        operation conducted by the joint task force as one that 
        qualifies for joint service credit, and notifies Congress upon 
        each approval, providing the criteria that led to that 
        approval; and
            ``(iii) the operation is conducted by the joint task force 
        in an environment where an extremely fragile state of peace and 
        high potential for hostilities coexist.''.
    SEC. 523. RETROACTIVE JOINT SERVICE CREDIT FOR DUTY IN CERTAIN 
      JOINT TASK FORCES.
    (a) Authority.--In accordance with section 664(i) of title 10, 
United States Code, as amended by section 522, the Secretary of Defense 
may award joint service credit to any officer who served on the staff 
of a United States joint task force headquarters in an operation and 
during the period set forth in subsection (b) and who meets the 
criteria specified in such section. To determine which officers qualify 
for such retroactive credit, the Secretary shall undertake a case-by-
case review of the records of officers.
    (b) Eligible Operations.--Service in the following operations, 
during the specified periods, may be counted for credit under 
subsection (a):
        (1) Operation Northern Watch, during the period beginning on 
    August 1, 1992, and ending on a date to be determined.
        (2) Operation Southern Watch, during the period beginning on 
    August 27, 1992, and ending on a date to be determined.
        (3) Operation Able Sentry, during the period beginning on June 
    26, 1993, and ending on February 28, 1999.
        (4) Operation Joint Endeavor, during the period beginning on 
    December 25, 1995, and ending on December 19, 1996.
        (5) Operation Joint Guard, during the period beginning on 
    December 20, 1996, and ending on June 20, 1998.
        (6) Operation Desert Thunder, beginning on January 24, 1998, 
    and ending on December 15, 1998.
        (7) Operation Joint Forge, beginning on June 20, 1998, and 
    ending on June 10, 1999.
        (8) Operation Noble Anvil, beginning on March 24, 1999, and 
    ending on July 20, 1999.
        (9) Operation Joint Guardian, beginning on June 11, 1999, and 
    ending on a date to be determined.
    (c) Report.--Not later than one year after the date of the 
enactment of this Act, the Secretary of Defense shall submit to 
Congress a report of the numbers, by service, grade, and operation, of 
the officers given joint service credit in accordance with this 
section.
    SEC. 524. REVISION TO ANNUAL REPORT ON JOINT OFFICER MANAGEMENT.
    Section 667 of title 10, United States Code, is amended--
        (1) in paragraph (1)--
            (A) by inserting ``(A)'' after ``(1)''; and
            (B) by adding at the end the following new subparagraph:
        ``(B) The number of officers who meet the criteria for 
    selection for the joint specialty but were not selected, together 
    with the reasons why.'';
        (2) by amending paragraph (2) to read as follows:
        ``(2) The number of officers with the joint specialty, shown by 
    grade and branch or specialty and by education.'';
        (3) in paragraph (3)--
            (A) in subparagraph (A) and (B), by striking ``nominated'' 
        and inserting ``selected'';
            (B) by inserting ``and'' at the end of subparagraph (D);
            (C) by striking subparagraph (E); and
            (D) by redesignating subparagraph (F) as subparagraph (E);
        (4) in paragraph (4)(A), by striking ``nominated'' and 
    inserting ``selected'';
        (5) in paragraph (14)--
            (A) by inserting ``(A)'' after ``(14)''; and
            (B) by adding at the end the following new subparagraph:
        ``(B) An assessment of the extent to which the Secretary of 
    each military department is assigning personnel to joint duty 
    assignments in accordance with this chapter and the policies, 
    procedures, and practices established by the Secretary of Defense 
    under section 661(a) of this title.''; and
        (6) in paragraph (16), by striking ``section 664(i)'' in the 
    matter preceding subparagraph (A) and in subparagraph (B) and 
    inserting ``subparagraphs (E) and (F) of section 664(i)(4)''.
    SEC. 525. REQUIREMENT FOR SELECTION FOR JOINT SPECIALTY BEFORE 
      PROMOTION TO GENERAL OR FLAG OFFICER GRADE.
    (a) Requirement.--Subsection (a) of section 619a of title 10, 
United States Code, is amended by striking ``unless'' and all that 
follows and inserting ``unless--
        ``(1) the officer has completed a full tour of duty in a joint 
    duty assignment (as described in section 664(f) of this title); and
        ``(2) for appointments after September 30, 2007, the officer 
    has been selected for the joint specialty in accordance with 
    section 661 of this title.''.
    (b) Waiver Authority.--Subsection (b) of that section is amended by 
striking ``may waive subsection (a) in the following circumstances:'' 
and inserting ``may waive paragraph (1) or paragraph (2) of subsection 
(a), or both paragraphs (1) and (2) of subsection (a), in the following 
circumstances:''.
    (c) Proposed Legislative Changes.--Not later than December 1, 2002, 
the Secretary of Defense shall submit to Congress a draft proposal for 
such legislative changes as the Secretary considers needed to implement 
the amendment made by subsections (a) and (b).
    SEC. 526. INDEPENDENT STUDY OF JOINT OFFICER MANAGEMENT AND JOINT 
      PROFESSIONAL MILITARY EDUCATION REFORMS.
    (a) Study.--The Secretary of Defense shall provide for an 
independent study of the joint officer management system and the joint 
professional military education system. The Secretary shall ensure that 
the entity conducting the study is provided such information and 
support as required. The Secretary shall include in the contract for 
the study a requirement that the entity conducting the study submit a 
report to Congress on the study not later than one year after the date 
of the enactment of this Act.
    (b) Matters To Be Included With Respect to Joint Officer 
Management.--With respect to the joint officer management system, the 
entity conducting the independent study shall provide for the 
following:
        (1) Assessment of implications for joint officer education, 
    development, and management that would result from proposed joint 
    organizational operational concepts (such as standing joint task 
    forces) and from emerging officer management and personnel reforms 
    (such as longer careers and more stabilization), that are under 
    consideration by the Secretary of Defense.
        (2) Assessment of the effectiveness of the current joint 
    officer management system to develop and use joint specialty 
    qualified officers in meeting both current and future requirements 
    for joint specialty officers.
        (3) Recommendations, based on empirical and other data, to 
    improve the effectiveness of the joint officer management system, 
    especially with regard to the following:
            (A) The proper mix and sequencing of education assignments 
        and experience assignments (to include, with respect to both 
        types of assignments, consideration of the type and quality, 
        and the length, of such assignments) to qualify an officer as a 
        joint specialty officer, as well as the implications of 
        adopting a variable joint duty tour length and the advisability 
        and implications of a system of qualifying officers as joint 
        specialty officers that uses multiple shorter qualification 
        tracks to selection as a joint specialty officer than are now 
        codified.
            (B) The system of using joint specialty officers, including 
        the continued utility of such measures as--
                (i) the required fill of positions on the joint duty 
            assignment list, as specified in paragraphs (1) and (4) of 
            section 661(d) of title 10, United States Code;
                (ii) the fill by such officers of a required number of 
            critical billets, as prescribed by section 661(d)(2) of 
            such title;
                (iii) the mandated fill by general and flag officers of 
            a minimum number of critical billets, as prescribed by 
            section 661(d)(3) of such title; and
                (iv) current promotion policy objectives for officers 
            with the joint specialty, officers serving on the Joint 
            Staff, and officers serving in joint duty assignment list 
            positions, as prescribed by section 662 of such title.
            (C) Changes in policy and law required to provide officers 
        the required joint specialty qualification before promotion to 
        general or flag officer grade.
            (D) A determination of the number of reserve component 
        officers who would be qualified for designation as a joint 
        specialty officer by reason of experience or education if the 
        standards of existing law, including waiver authorities, were 
        applied to them, and recommendations for a process for 
        qualifying and employing future reserve component officers as 
        joint specialty officers.
    (c) Matters To Be Included With Respect to Joint Professional 
Military Education.--With respect to the joint professional military 
education system, the entity conducting the independent study shall 
provide for the following:
        (1) The number of officers who under the current system (A) 
    qualified as joint specialty officers by attending joint 
    professional military education programs before their first joint 
    duty assignment, (B) qualified as joint specialty officers after 
    arriving at their first joint duty assignment but before completing 
    that assignment, and (C) qualified as joint specialty officers 
    without any joint professional military education.
        (2) Recommended initiatives (include changes in officer 
    personnel management law, if necessary) to provide incentives and 
    otherwise facilitate attendance at joint professional military 
    education programs before an officer's first joint duty assignment.
        (3) Recommended goals for attendance at the Joint Forces Staff 
    College en route to a first joint duty assignment.
        (4) An assessment of the continuing utility of statutory 
    requirements for use of officers following joint professional 
    military education, as prescribed by section 662(d) of title 10, 
    United States Code.
        (5) Determination of whether joint professional military 
    education programs should remain principally an in-resident, multi-
    service experience and what role non-resident or distributive 
    learning can or should play in future joint professional military 
    education programs.
        (6) Examination of options for the length of and increased 
    capacity at Joint Forces Staff College, and whether other in-
    resident joint professional military education sources should be 
    opened, and if opened, how they might be properly accredited and 
    overseen to provide instruction at the level of the program 
    designated as ``joint professional military education''.
    (d) Chairman of Joint Chiefs of Staff.--With respect to the roles 
of the Secretary of Defense and the Chairman of the Joint Chiefs of 
Staff, the entity conducting the independent study shall--
        (1) provide for an evaluation of the current roles of the 
    Secretary of Defense, the Chairman of the Joint Chiefs of Staff, 
    and joint staff in law, policy, and implementation with regard to 
    establishing and maintaining oversight of joint officer management, 
    career guidelines, and joint professional military education; and
        (2) make recommendations to improve and strengthen those roles.
    (e) Requirements for Study Entity.--In providing for the 
independent study required by subsection (a), the Secretary of Defense 
shall ensure that the entity conducting the study--
        (1) is not a Department of Defense organization; and
        (2) shall, at a minimum, involve in the study, in an integral 
    way, the following persons:
            (A) The Chairman of the Joint Chiefs of Staff and available 
        former Chairmen of the Joint Chiefs of Staff.
            (B) Members and former members of the Joint Staff, the 
        Armed Forces, the Congress, and congressional staff who are or 
        who have been significantly involved in the development, 
        implementation, or modification of joint officer management and 
        joint professional military education.
            (C) Experts in joint officer management and education from 
        civilian academic and research centers.

SEC. 527. PROFESSIONAL DEVELOPMENT EDUCATION.

    (a) Executive Agent for Funding.--(1) Effective beginning with 
fiscal year 2003, the Secretary of Defense shall be the executive agent 
for funding professional development education operations of all 
components of the National Defense University, including the Joint 
Forces Staff College. The Secretary may not delegate the Secretary's 
functions and responsibilities under the preceding sentence to the 
Secretary of a military department.
    (2) Nothing in this subsection affects policies in effect on the 
date of the enactment of this Act with respect to--
        (A) the reporting of the President of the National Defense 
    University to the Chairman of the Joint Chiefs of Staff; or
        (B) provision of logistical and base operations support for 
    components of the National Defense University by the military 
    departments.
    (b) Preparation of Budget Requests.--Section 2162(b) of title 10, 
United States Code, is amended--
        (1) by redesignating paragraph (2) as paragraph (3); and
        (2) by inserting after paragraph (1) the following new 
    paragraph:
    ``(2) As executive agent for funding professional development 
education at the National Defense University, including the Joint 
Forces Staff College, the Secretary of Defense, with the advice of the 
Chairman of the Joint Chiefs of Staff, shall prepare the annual budget 
for professional development education operations at the National 
Defense University and set forth that request as a separate budget 
request in the materials submitted to Congress in support of the budget 
request for the Department of Defense. Nothing in the preceding 
sentence affects policies in effect on the date of the enactment of 
this paragraph with respect to budgeting for the funding of logistical 
and base operations support for components of the National Defense 
University through the military departments.''.
    (c) Funding Source.--(1) Section 2165 of title 10, United States 
Code, is amended by adding at the end the following new subsection:
    ``(d) Source of Funds for Professional Development Education 
Operations.--Funding for the professional development education 
operations of the National Defense University shall be provided from 
funds made available to the Secretary of Defense from the annual 
appropriation `Operation and Maintenance, Defense-wide'.''.
    (2) Subsection (d) of section 2165 of title 10, United States Code, 
as added by paragraph (1), shall become effective beginning with fiscal 
year 2003.
    SEC. 528. AUTHORITY FOR NATIONAL DEFENSE UNIVERSITY TO ENROLL 
      CERTAIN PRIVATE SECTOR CIVILIANS.
    (a) In General.--(1) Chapter 108 of title 10, United States Code, 
is amended by adding at the end the following new section:
``Sec. 2167. National Defense University: admission of private sector 
     civilians to professional military education program
    ``(a) Authority for Admission.--The Secretary of Defense may permit 
eligible private sector employees who work in organizations relevant to 
national security to receive instruction at the National Defense 
University in accordance with this section. No more than the equivalent 
of 10 full-time student positions may be filled at any one time by 
private sector employees enrolled under this section. Upon successful 
completion of the course of instruction in which enrolled, any such 
private sector employee may be awarded an appropriate diploma or degree 
under section 2165 of this title.
    ``(b) Eligible Private Sector Employees.--For purposes of this 
section, an eligible private sector employee is an individual employed 
by a private firm that is engaged in providing to the Department of 
Defense or other Government departments or agencies significant and 
substantial defense-related systems, products, or services or whose 
work product is relevant to national security policy or strategy. A 
private sector employee admitted for instruction at the National 
Defense University remains eligible for such instruction only so long 
as that person remains employed by the same firm.
    ``(c) Annual Certification by Secretary of Defense.--Private sector 
employees may receive instruction at the National Defense University 
during any academic year only if, before the start of that academic 
year, the Secretary of Defense determines, and certifies to the 
Committee on Armed Services of the Senate and the Committee on Armed 
Services of the House of Representatives, that providing instruction to 
private sector employees under this section during that year will 
further national security interests of the United States.
    ``(d) Program Requirements.--The Secretary of Defense shall ensure 
that--
        ``(1) the curriculum for the professional military education 
    program in which private sector employees may be enrolled under 
    this section is not readily available through other schools and 
    concentrates on national security relevant issues; and
        ``(2) the course offerings at the National Defense University 
    continue to be determined solely by the needs of the Department of 
    Defense.
    ``(e) Tuition.--The President of the National Defense University 
shall charge students enrolled under this section a rate--
        ``(1) that is at least the rate charged for employees of the 
    United States outside the Department of Defense, less 
    infrastructure costs, and
        ``(2) that considers the value to the school and course of the 
    private sector student.
    ``(f) Standards of Conduct.--While receiving instruction at the 
National Defense University, students enrolled under this section, to 
the extent practicable, are subject to the same regulations governing 
academic performance, attendance, norms of behavior, and enrollment as 
apply to Government civilian employees receiving instruction at the 
university.
    ``(g) Use of Funds.--Amounts received by the National Defense 
University for instruction of students enrolled under this section 
shall be retained by the university to defray the costs of such 
instruction. The source, and the disposition, of such funds shall be 
specifically identified in records of the university.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2167. National Defense University: admission of private sector 
civilians to professional military education program.''.

    (b) Effective Date.--Section 2167 of title 10, United States Code, 
as added by subsection (a), shall take effect on January 1, 2002.
    SEC. 529. CONTINUATION OF RESERVE COMPONENT PROFESSIONAL MILITARY 
      EDUCATION TEST.
    (a) Continuation of Concept Validation Test.--During fiscal year 
2002, the Secretary of Defense shall continue the concept validation 
test of Reserve component joint professional military education that 
was begun in fiscal year 2001 at the National Defense University.
    (b) Pilot Program.--If the Secretary of Defense determines that the 
results of the concept validation test referred to in subsection (a) 
warrant conducting a pilot program of the concept that was the subject 
of the test, the Secretary shall conduct such a pilot program during 
fiscal year 2003.
    (c) Funding.--The Secretary shall provide funds for the concept 
validation test under subsection (a) and for any pilot program under 
subsection (b) from funds appropriated to the Secretary of Defense in 
addition to those appropriated for operations of the National Defense 
University.

              Subtitle D--Military Education and Training

    SEC. 531. DEFENSE LANGUAGE INSTITUTE FOREIGN LANGUAGE CENTER.
    (a) Authority To Confer Associate of Arts Degree.--Chapter 108 of 
title 10, United States Code, is amended by adding after section 2167, 
as added by section 528(a)(1), the following new section:
``Sec. 2168. Defense Language Institute Foreign Language Center: degree 
     of Associate of Arts in foreign language
    ``(a) Subject to subsection (b), the Commandant of the Defense 
Language Institute may confer an Associate of Arts degree in a foreign 
language upon any graduate of the Foreign Language Center of the 
Institute who fulfills the requirements for that degree.
    ``(b) A degree may be conferred upon a student under this section 
only if the Provost of the Center certifies to the Commandant that the 
student has satisfied all the requirements prescribed for the degree.
    ``(c) The authority provided by subsection (a) shall be exercised 
under regulations prescribed by the Secretary of Defense.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding after the item relating to section 
2167, as added by section 528(a)(2), the following new item:

``2168. Defense Language Institute Foreign Language Center: degree of 
Associate of Arts in foreign language.''.

    SEC. 532. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD DEGREE 
      OF MASTER OF STRATEGIC STUDIES.
    (a) Marine Corps War College Degree.--Section 7102 of title 10, 
United States Code, is amended--
        (1) by redesignating subsection (b) as subsection (c); and
        (2) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) Marine Corps War College.--Upon the recommendation of the 
Director and faculty of the Marine Corps War College of the Marine 
Corps University, the President of the Marine Corps University may 
confer the degree of master of strategic studies upon graduates of the 
Marine Corps War College who fulfill the requirements for that 
degree.''.
    (b) Conforming Amendments.--(1) Subsection (a) of such section is 
amended by striking ``upon graduates'' and all that follows and 
inserting ``upon graduates of the Command and Staff College who fulfill 
the requirements for that degree.''.
    (2) Subsection (c) of such section, as redesignated by subsection 
(a)(1), is amended by striking ``subsection (a)'' and inserting 
``subsections (a) and (b)''.
    (3)(A) The heading of such section is amended to read as follows:
``Sec. 7102. Marine Corps University: masters degrees; board of 
     advisors''.
    (B) The item relating to such section in the table of sections at 
the beginning of chapter 609 of such title is amended to read as 
follows:

``7102. Marine Corps University: masters degrees; board of advisors.''.

    (c) Codification of Requirement for Board of Advisors.--(1) Section 
7102 of title 10, United States Code, as amended by subsections (a) and 
(b), is further amended by adding at the end the following new 
subsection:
    ``(d) Board of Advisors.--The Secretary of the Navy shall establish 
a board of advisors for the Marine Corps University. The Secretary 
shall ensure that the board is established so as to meet all 
requirements of the appropriate regional accrediting association.''.
    (2) Section 912 of the National Defense Authorization Act for 
Fiscal Year 1995 (Public Law 103-337; 10 U.S.C. 7102 note) is repealed.
    (d) Effective Date.--The authority to confer the degree of master 
of strategic studies under section 7102(b) of title 10, United States 
Code (as added by subsection (a)) may not be exercised until the 
Secretary of Education determines, and certifies to the President of 
the Marine Corps University, that the requirements established by the 
Marine Corps War College of the Marine Corps University for that degree 
are in accordance with generally applicable requirements for a degree 
of master of arts. Upon receipt of such a certification, the President 
of the University shall promptly transmit a copy of the certification 
to the Committee on Armed Services of the Senate and Committee on Armed 
Services of the House of Representatives.
    SEC. 533. FOREIGN STUDENTS ATTENDING THE SERVICE ACADEMIES.
    (a) United States Military Academy.--(1) Subsection (a)(1) of 
section 4344 of title 10, United States Code, is amended by striking 
``not more than 40 persons'' and inserting ``not more than 60 
persons''.
    (2) Subsection (b) of such section is amended--
        (A) in paragraph (2), by striking ``unless a written waiver of 
    reimbursement is granted by the Secretary of Defense'' in the first 
    sentence; and
        (B) by striking paragraph (3) and inserting the following:
    ``(3) The Secretary of Defense may waive, in whole or in part, the 
requirement for reimbursement of the cost of instruction for a cadet 
under paragraph (2). In the case of a partial waiver, the Secretary 
shall establish the amount waived.''.
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Military Academy to 
receive instruction under section 4344 of title 10, United States Code, 
before the date of the enactment of this Act.
    (b) United States Naval Academy.--(1) Subsection (a)(1) of section 
6957 of such title is amended by striking ``not more than 40 persons'' 
and inserting ``not more than 60 persons''.
    (2) Subsection (b) of such section is amended--
        (A) in paragraph (2), by striking ``unless a written waiver of 
    reimbursement is granted by the Secretary of Defense'' in the first 
    sentence; and
        (B) by striking paragraph (3) and inserting the following:
    ``(3) The Secretary of Defense may waive, in whole or in part, the 
requirement for reimbursement of the cost of instruction for a 
midshipman under paragraph (2). In the case of a partial waiver, the 
Secretary shall establish the amount waived.''.
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Naval Academy to 
receive instruction under section 6957 of title 10, United States Code, 
before the date of the enactment of this Act.
    (c) United States Air Force Academy.--(1) Subsection (a)(1) of 
section 9344 of such title is amended by striking ``not more than 40 
persons'' and inserting ``not more than 60 persons''.
    (2) Subsection (b) of such section is amended--
        (A) in paragraph (2), by striking ``unless a written waiver of 
    reimbursement is granted by the Secretary of Defense'' in the first 
    sentence; and
        (B) by striking paragraph (3) and inserting the following:
    ``(3) The Secretary of Defense may waive, in whole or in part, the 
requirement for reimbursement of the cost of instruction for a cadet 
under paragraph (2). In the case of a partial waiver, the Secretary 
shall establish the amount waived.''.
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Air Force Academy 
to receive instruction under section 9344 of title 10, United States 
Code, before the date of the enactment of this Act.
    (d) Effective Date.--The amendments made by this section shall not 
apply with respect to any academic year that began before the date of 
the enactment of this Act.
    SEC. 534. INCREASE IN MAXIMUM AGE FOR APPOINTMENT AS A CADET OR 
      MIDSHIPMAN IN SENIOR RESERVE OFFICERS' TRAINING CORPS SCHOLARSHIP 
      PROGRAMS.
    (a) General ROTC Scholarship Program.--Section 2107(a) of title 10, 
United States Code, is amended--
        (1) by striking ``27 years of age on June 30'' and inserting 
    ``31 years of age on December 31''; and
        (2) by striking ``, except that'' and all that follows through 
    ``on such date'' the second place it appears.
    (b) Army Reserve and Army National Guard ROTC Scholarship 
Program.--Section 2107a(a)(1) of such title is amended--
        (1) by striking ``27 years of age on June 30'' and inserting 
    ``31 years of age on December 31''; and
        (2) by striking ``, except that'' and all that follows through 
    ``on such date'' the second place it appears.
    SEC. 535. PARTICIPATION OF REGULAR ENLISTED MEMBERS OF THE ARMED 
      FORCES IN SENIOR RESERVE OFFICERS' TRAINING CORPS PROGRAM.
    (a) Eligibility.--Section 2104(b)(3) of title 10, United States 
Code, is amended by striking ``a reserve component of''.
    (b) Pay Rate While on Field Training or Practice Cruise.--Section 
209(c) of title 37, United States Code, is amended by inserting before 
the period at the end the following: ``, except that the rate for a 
cadet or midshipman who is a member of the regular component of an 
armed force shall be the rate of basic pay applicable to the member 
under section 203 of this title''.
    SEC. 536. AUTHORITY TO MODIFY THE SERVICE OBLIGATION OF CERTAIN 
      ROTC CADETS IN MILITARY JUNIOR COLLEGES RECEIVING FINANCIAL 
      ASSISTANCE.
    (a) Authority To Modify Agreements.--Subsection (b) of section 
2107a of title 10, United States Code, is amended--
        (1) by inserting ``(1)'' after ``(b)'';
        (2) by redesignating paragraphs (1), (2), (3), (4), (5), and 
    (6) as subparagraphs (A), (B), (C), (D), (E), and (F), 
    respectively;
        (3) by designating the sentence following subparagraph (F), as 
    so redesignated, as paragraph (2); and
        (4) by adding at the end the following new paragraph:
    ``(3) In the case of a cadet under this section at a military 
junior college, the Secretary may, at any time and with the consent of 
the cadet concerned, modify an agreement described in paragraph (1)(F) 
submitted by the cadet to reduce or eliminate the troop program unit 
service obligation specified in the agreement and to establish, in lieu 
of that obligation, an active duty service obligation. Such a 
modification may be made only if the Secretary determines that it is in 
the best interests of the United States to do so.''.
    (b) Retroactive Application.--The authority of the Secretary of 
Defense under paragraph (3) of section 2107a(b) of title 10, United 
States Code, as added by subsection (a), may be exercised with regard 
to any agreement described in paragraph (1)(F) of such section 
(including agreements related to participation in the Advanced Course 
of the Army Reserve Officers' Training Corps at a military college or 
civilian institution) that was entered into during the period beginning 
on January 1, 1991, and ending on July 12, 2000 (in addition to any 
agreement described in that paragraph that is entered into on or after 
the date of the enactment of this Act).
    (c) Technical Amendment.--Subsection (h) of such section is amended 
by striking ``military college'' in the second sentence and inserting 
``military junior college''.
    SEC. 537. REPEAL OF LIMITATION ON NUMBER OF JUNIOR RESERVE 
      OFFICERS' TRAINING CORPS UNITS.
    Section 2031(a)(1) of title 10, United States Code, is amended by 
striking the second sentence.
    SEC. 538. MODIFICATION OF NURSE OFFICER CANDIDATE ACCESSION PROGRAM 
      RESTRICTION ON STUDENTS ATTENDING EDUCATIONAL INSTITUTIONS WITH 
      SENIOR RESERVE OFFICERS' TRAINING PROGRAMS.
    Section 2130a of title 10, United States Code, is amended--
        (1) in subsection (a)(2), by striking ``that does not have a 
    Senior Reserve Officers' Training Program established under section 
    2102 of this title''; and
        (2) in subsection (b)(1), by inserting before the semicolon at 
    the end ``or that has a Senior Reserve Officers' Training Program 
    for which the student is ineligible''.
    SEC. 539. RESERVE HEALTH PROFESSIONALS STIPEND PROGRAM EXPANSION.
    (a) Purpose of Program.--Subsection (a) of section 16201 of title 
10, United States Code, is amended--
        (1) by striking ``specialties critically needed in wartime'';
        (2) by striking ``training in such specialties'' and inserting 
    ``training that leads to a degree in medicine or dentistry or 
    training in a health professions specialty that is critically 
    needed in wartime''; and
        (3) by striking ``training in certain health care specialties'' 
    and inserting ``health care education and training''.
    (b) Medical and Dental Student Stipend.--Such section is further 
amended--
        (1) by redesignating subsections (b), (c), (d), and (e) as 
    subsections (c), (d), (e), and (f), respectively; and
        (2) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) Medical and Dental School Students.--(1) Under the stipend 
program under this chapter, the Secretary of the military department 
concerned may enter into an agreement with a person who--
        ``(A) is eligible to be appointed as an officer in a reserve 
    component;
        ``(B) is enrolled or has been accepted for enrollment in an 
    institution in a course of study that results in a degree in 
    medicine or dentistry;
        ``(C) signs an agreement that, unless sooner separated, the 
    person will--
            ``(i) complete the educational phase of the program;
            ``(ii) accept a reappointment or redesignation within the 
        person's reserve component, if tendered, based upon the 
        person's health profession, following satisfactory completion 
        of the educational and intern programs; and
            ``(iii) participate in a residency program; and
        ``(D) if required by regulations prescribed by the Secretary of 
    Defense, agrees to apply for, if eligible, and accept, if offered, 
    residency training in a health profession skill which has been 
    designated by the Secretary of Defense as a critically needed 
    wartime skill.
    ``(2) Under the agreement--
        ``(A) the Secretary of the military department concerned shall 
    agree to pay the participant a stipend, in the amount determined 
    under subsection (f), for the period or the remainder of the period 
    that the student is satisfactorily progressing toward a degree in 
    medicine or dentistry while enrolled in an accredited medical or 
    dental school;
        ``(B) the participant shall not be eligible to receive such 
    stipend before appointment, designation, or assignment as an 
    officer for service in the Ready Reserve;
        ``(C) the participant shall be subject to such active duty 
    requirements as may be specified in the agreement and to active 
    duty in time of war or national emergency as provided by law for 
    members of the Ready Reserve; and
        ``(D) the participant shall agree to serve in the Selected 
    Reserve, upon successful completion of the program, for the period 
    of service applicable under paragraph (3).
    ``(3)(A) Subject to subparagraph (B), the period for which a 
participant is required to serve in the Selected Reserve under the 
agreement pursuant to paragraph (2)(D) shall be one year for each 
period of six months, or part thereof, for which the participant is 
provided a stipend pursuant to the agreement.
    ``(B) In the case of a participant who enters into a subsequent 
agreement under subsection (c) and successfully completes residency 
training in a specialty designated by the Secretary of Defense as a 
specialty critically needed by the military department in wartime, the 
requirement to serve in the Selected Reserve may be reduced to one year 
for each year, or part thereof, for which the stipend was provided 
while enrolled in medical or dental school.''.
    (c) Wartime Critical Skills.--Subsection (c) of such section (as 
redesignated by subsection (b)(1)) is amended--
        (1) by inserting ``Wartime'' after ``Critical'' in the heading; 
    and
        (2) by inserting ``or has been appointed as a medical or dental 
    officer in the Reserve of the armed force concerned'' in paragraph 
    (1)(B) before the semicolon at the end.
    (d) Service Obligation Requirement.--Paragraph (2)(D) of subsection 
(c) of such section (as redesignated by subsection (b)(1)) and 
paragraph (2)(D) of subsection (d) of such section (as so redesignated) 
are amended by striking ``two years in the Ready Reserve for each 
year,'' and inserting ``one year in the Ready Reserve for each six 
months,''.
    (e) Cross-Reference.--Paragraph (2)(A) of subsection (c) of such 
section (as redesignated by subsection (b)(1)) and paragraph (2)(A) of 
subsection (d) of such section (as so redesignated) are amended by 
striking ``subsection (e)'' and inserting ``subsection (f)''.
    SEC. 540. HOUSING ALLOWANCE FOR THE CHAPLAIN FOR THE CORPS OF 
      CADETS AT THE UNITED STATES MILITARY ACADEMY.
    (a) Authority.--The second sentence of section 4337 of title 10, 
United States Code, is amended by striking ``the same allowances'' and 
all that follows through ``captain'' and inserting ``a monthly housing 
allowance in the same amount as the basic allowance for housing allowed 
to a lieutenant colonel''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on the first day of the first month beginning on or after 
the date of the enactment of this Act.

             Subtitle E--Recruiting and Accession Programs

SEC. 541. 18-MONTH ENLISTMENT PILOT PROGRAM.

    (a) In General.--(1) Chapter 333 of title 10, United States Code, 
is amended by adding at the end the following new section:

``Sec. 3264. 18-month enlistment pilot program

    ``(a) During the pilot program period, the Secretary of the Army 
shall carry out a pilot program with the objective of increasing 
participation of prior service persons in the Selected Reserve and 
providing assistance in building the pool of participants in the 
Individual Ready Reserve.
    ``(b) Under the program, the Secretary may, notwithstanding section 
505(c) of this title, accept persons for original enlistment in the 
Army for a term of enlistment consisting of 18 months service on active 
duty, to be followed by three years of service in the Selected Reserve 
and then service in the Individual Ready Reserve to complete the 
military service obligation.
    ``(c) Under regulations and conditions established by the Secretary 
of the Army, a member enlisting under this section may, at the end of 
the 18-month period of service on active duty under that enlistment, be 
permitted to reenlist for continued service on active duty in lieu of 
the service in the Selected Reserve and the Individual Ready Reserve 
otherwise required under the terms of the member's enlistment.
    ``(d) No more than 10,000 persons may be accepted for enlistment in 
the Army through the program under this section.
    ``(e) A person enlisting in the Army through the program under this 
section is eligible for an enlistment bonus under section 309 of title 
37, notwithstanding the enlistment time period specified in subsection 
(a) of that section.
    ``(f) For purposes of this section, the pilot program period is the 
period beginning on the date selected by the Secretary of the Army for 
the commencement of the pilot program, which date shall be not later 
than October 1, 2003, and ending on December 31, 2007.
    ``(g) Not later than December 31, 2007, and December 31, 2012, the 
Secretary of the Army shall submit to the Committee on Armed Services 
of the Senate and the Committee on Armed Services of the House of 
Representatives a report on the program under this section. In each 
such report, the Secretary shall set forth the views of the Secretary 
on the success of the program in meeting the objectives stated in 
subsection (a) and whether the program should be continued and, if so, 
whether it should be modified or expanded.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:
``3264. 18-month enlistment pilot program.''.

    (b) Implementation Report.--The Secretary of the Army shall submit 
to the Committee on Armed Services of the Senate and the Committee on 
Armed Services of the House of Representatives a report on the 
Secretary's plan for implementation of section 3264 of title 10, United 
States Code, as added by subsection (a). Such report shall be submitted 
not later than March 1, 2002.
    SEC. 542. IMPROVED BENEFITS UNDER THE ARMY COLLEGE FIRST PROGRAM.
    (a) Increased Maximum Period of Delayed Entry.--Section 573 of the 
National Defense Authorization Act for Fiscal Year 2000 (Public Law 
106-65; 113 Stat. 623; 10 U.S.C. 513 note) is amended--
        (1) in subsection (b)--
            (A) by striking the matter preceding paragraph (1) and 
        inserting the following:
    ``(b) Delayed Entry With Allowance for Higher Education.--Under the 
pilot program, the Secretary may--
        ``(1) exercise the authority under section 513 of title 10, 
    United States Code--'';
            (B) by redesignating paragraphs (1) and (2) as 
        subparagraphs (A) and (B), respectively, and realigning those 
        subparagraphs four ems from the left margin;
            (C) at the end of subparagraph (A), as so redesignated, by 
        inserting ``and'' after the semicolon; and
            (D) in subparagraph (B), as so redesignated, by striking 
        ``two years after the date of such enlistment as a Reserve 
        under paragraph (1)'' and inserting ``the maximum period of 
        delay determined for that person under subsection (c)''; and
        (2) in subsection (c)--
            (A) by striking ``paragraph (2)'' and inserting ``paragraph 
        (1)(B)'';
            (B) by striking ``two-year period'' and inserting ``30-
        month period''; and
            (C) by striking ``paragraph (1)'' and inserting ``paragraph 
        (1)(A)''.
    (b) Allowance Eligibility and Amount.--(1) Such section is further 
amended--
        (A) in subsection (b), by striking paragraph (3) and inserting 
    the following:
        ``(2) subject to paragraph (2) of subsection (d) and except as 
    provided in paragraph (3) of that subsection, pay an allowance to a 
    person accepted for enlistment under paragraph (1)(A) for each 
    month of the period during which that person is enrolled in and 
    pursuing a program described in paragraph (1)(B)''; and
        (B) in subsection (d)--
            (i) by redesignating paragraph (2) as paragraph (4);
            (ii) by striking paragraph (1) and inserting the following 
        new paragraphs:
    ``(1) The monthly allowance paid under subsection (b)(2) shall be 
equal to the amount of the subsistence allowance provided for certain 
members of the Senior Reserve Officers' Training Corps with the 
corresponding number of years of participation under section 209(a) of 
title 37, United States Code.
    ``(2) An allowance may not be paid to a person under this section 
for more than 24 months.
    ``(3) A member of the Selected Reserve of a reserve component may 
be paid an allowance under this section only for months during which 
the member performs satisfactorily as a member of a unit of the reserve 
component that trains as prescribed in section 10147(a)(1) of title 10, 
United States Code, or section 502(a) of title 32, United States Code. 
Satisfactory performance shall be determined under regulations 
prescribed by the Secretary.''.
    (2) The heading for such subsection is amended by striking ``Amount 
of''.
    (c) Ineligibility for Loan Repayments; Recoupment.--Such section is 
further amended--
        (1) by redesignating subsections (e), (f), and (g) as 
    subsections (g), (h), and (i), respectively; and
        (2) by inserting after subsection (d) the following new 
    subsections:
    ``(e) Ineligibility for Loan Repayments.--A person who has received 
an allowance under this section is not eligible for any benefits under 
chapter 109 of title 10, United States Code.
    ``(f) Recoupment of Allowance.--(1) A person who, after receiving 
an allowance under this section, fails to complete the total period of 
service required of that person in connection with delayed entry 
authorized for the person under section 513 of title 10, United States 
Code, shall repay the United States the amount which bears the same 
ratio to the total amount of that allowance paid to the person as the 
unserved part of the total required period of service bears to the 
total period.
    ``(2) An obligation to repay the United States imposed under 
paragraph (1) is for all purposes a debt owed to the United States.
    ``(3) A discharge of a person in bankruptcy under title 11, United 
States Code, that is entered less than five years after the date on 
which the person was, or was to be, enlisted in the regular Army 
pursuant to the delayed entry authority under section 513 of title 10, 
United States Code, does not discharge that person from a debt arising 
under paragraph (1).
    ``(4) The Secretary of the Army may waive, in whole or in part, a 
debt arising under paragraph (1) in any case for which the Secretary 
determines that recovery would be against equity and good conscience or 
would be contrary to the best interests of the United States.''.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to persons who, on or after the date of the 
enactment of this Act, are enlisted as described in subsection (a) of 
section 513 of title 10, United States Code, with delayed entry 
authorized under that section.
    SEC. 543. CORRECTION AND EXTENSION OF CERTAIN ARMY RECRUITING PILOT 
      PROGRAM AUTHORITIES.
    (a) Contract Recruiting Initiatives.--Subsection (d)(2) of section 
561 of the Floyd D. Spence National Defense Authorization Act for 
Fiscal Year 2001 (as enacted into law by Public Law 106-398; 114 Stat. 
1654A-130) is amended--
        (1) in subparagraphs (A) and (D), by inserting ``and Army 
    Reserve'' after ``Regular Army''; and
        (2) in subparagraph (B), by striking ``and chain of command''.
    (b) Extension of Authority.--Subsection (e) of such section is 
amended by striking ``December 31, 2005'' and inserting ``September 30, 
2007''.
    (c) Extension of Time for Reports.--Subsection (g) of such section 
is amended by striking ``February 1, 2006'' and inserting ``February 1, 
2008''.
    SEC. 544. MILITARY RECRUITER ACCESS TO SECONDARY SCHOOL STUDENTS.
    (a) Access to Secondary Schools.--Paragraph (1) of section 503(c) 
of title 10, United States Code, is amended to read as follows:
    ``(c) Access to Secondary Schools.--(1)(A) Each local educational 
agency receiving assistance under the Elementary and Secondary 
Education Act of 1965--
        ``(i) shall provide to military recruiters the same access to 
    secondary school students as is provided generally to postsecondary 
    educational institutions or to prospective employers of those 
    students; and
        ``(ii) shall, upon a request made by military recruiters for 
    military recruiting purposes, provide access to secondary school 
    student names, addresses, and telephone listings, notwithstanding 
    section 444(a)(5)(B) of the General Education Provisions Act (20 
    U.S.C. 1232g(a)(5)(B)).
    ``(B) A local educational agency may not release a student's name, 
address, and telephone listing under subparagraph (A)(ii) without the 
prior written consent of a parent of the student if the student, or a 
parent of the student, has submitted a request to the local educational 
agency that the student's information not be released for a purpose 
covered by that subparagraph without prior written parental consent. 
Each local education agency shall notify parents of the rights provided 
under the preceding sentence.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on July 1, 2002, immediately after the amendment to section 
503(c) of title 10, United States Code, made, effective that date, by 
section 563(a) of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-131).
    (c) Notification.--The Secretary of Education shall provide to 
local educational agencies notice of the provisions of subsection (c) 
of section 503 of title 10, United States Code, as in effect upon the 
amendments made by subsection (a). Such notice shall be provided not 
later than 120 days after the date of the enactment of this Act and 
shall be provided in consultation with the Secretary of Defense.
    SEC. 545. PERMANENT AUTHORITY FOR USE OF MILITARY RECRUITING FUNDS 
      FOR CERTAIN EXPENSES AT DEPARTMENT OF DEFENSE RECRUITING 
      FUNCTIONS.
    (a) Repeal of Termination Provision.--Section 520c of title 10, 
United States Code, is amended by striking subsection (c).
    (b) Technical Amendments.--Subsection (a) of such section is 
amended--
        (1) in paragraph (4), by striking ``recruiting events'' and 
    inserting ``recruiting functions''; and
        (2) in paragraph (5), by striking ``recruiting efforts'' the 
    first place it appears and inserting ``recruiting functions''.
    SEC. 546. REPORT ON HEALTH AND DISABILITY BENEFITS FOR PRE-
      ACCESSION TRAINING AND EDUCATION PROGRAMS.
    (a) Study.--The Secretary of Defense shall conduct a review of the 
health and disability benefit programs available to recruits and 
officer candidates engaged in training, education, or other types of 
programs while not yet on active duty and to cadets and midshipmen 
attending the service academies. The review shall be conducted with the 
participation of the Secretaries of the military departments.
    (b) Report.--Not later than March 1, 2002, the Secretary shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report on 
the findings of the review. The report shall include the following with 
respect to persons described in subsection (a):
        (1) A statement of the process and detailed procedures followed 
    by each of the Armed Forces under the jurisdiction of the Secretary 
    of a military department to provide health care and disability 
    benefits to all such persons injured in training, education, or 
    other types of programs conducted by the Secretary of a military 
    department.
        (2) Information on the total number of cases of such persons 
    requiring health care and disability benefits and the total number 
    of cases and average value of health care and disability benefits 
    provided under the authority for each source of benefits available 
    to those persons.
        (3) A discussion of the issues regarding health and disability 
    benefits for such persons that are encountered by the Secretary 
    during the review, to include discussions with individuals who have 
    received those benefits.
        (4) A statement of the processes and detailed procedures 
    followed by each of the Armed Forces under the jurisdiction of the 
    Secretary of a military department to provide recruits and officer 
    candidates with succinct information on the eligibility 
    requirements (including information on when they become eligible) 
    for health care benefits under the Defense health care program, and 
    the nature and availability of the benefits under the program.
        (5) A discussion of the necessity for legislative changes and 
    specific legislative proposals needed to improve the benefits 
    provided those persons.
        (6) An analysis of health and disability benefits under laws 
    administered by the Department of Veterans Affairs and the 
    Department of Labor for which those persons become eligible upon 
    being injured in training or education and a discussion of how 
    those benefits compare to the benefits those persons would receive 
    if retired for physical disability by the Department of Defense.

      Subtitle F--Decorations, Awards, and Posthumous Commissions

    SEC. 551. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO HUMBERT R. 
      VERSACE, JON E. SWANSON, AND BEN L. SALOMON FOR VALOR.
    (a) Waiver of Time Limitations.--Notwithstanding the time 
limitations specified in section 3744 of title 10, United States Code, 
or any other time limitation with respect to the awarding of certain 
medals to persons who served in the military service, the President may 
award the Medal of Honor under section 3741 of that title to any of the 
persons named in subsections (b), (c), and (d) for the acts of valor 
referred to in those respective subsections.
    (b) Humbert R. Versace.--Subsection (a) applies with respect to 
Humbert R. Versace, for conspicuous acts of gallantry and intrepidity 
at the risk of his life and beyond the call of duty between October 29, 
1963, and September 26, 1965, while interned as a prisoner of war by 
the Vietnamese Communist National Liberation Front (Viet Cong) in the 
Republic of Vietnam.
    (c) Jon E. Swanson.--Subsection (a) applies with respect to Jon E. 
Swanson, for conspicuous acts of gallantry and intrepidity at the risk 
of his life and beyond the call of duty on February 26, 1971, while 
piloting a Scout helicopter on a close-support reconnaissance mission 
in support of the Army of the Republic of Vietnam Task Force 333 in the 
Kingdom of Cambodia.
    (d) Ben L. Salomon.--Subsection (a) applies with respect to Ben L. 
Salomon, for conspicuous acts of gallantry and intrepidity at the risk 
of his life and beyond the call of duty on July 7, 1944, while 
defending the soldiers under his care as the Surgeon, 2d Battalion, 
105th Infantry Regiment, 27th Infantry Division against an overwhelming 
enemy force at Saipan, Marianas Islands.
    SEC. 552. REVIEW REGARDING AWARD OF MEDAL OF HONOR TO CERTAIN 
      JEWISH AMERICAN AND HISPANIC AMERICAN WAR VETERANS.
    (a) Review Required.--The Secretary of each military department 
shall review the service records of each Jewish American war veteran or 
Hispanic American war veteran described in subsection (b) to determine 
whether that veteran should be awarded the Medal of Honor.
    (b) Covered Jewish American War Veterans and Hispanic American War 
Veterans.--The Jewish American war veterans and Hispanic American war 
veterans whose service records are to be reviewed under subsection (a) 
are the following:
        (1) Any Jewish American war veteran or Hispanic American war 
    veteran who was awarded the Distinguished Service Cross, the Navy 
    Cross, or the Air Force Cross before the date of the enactment of 
    this Act.
        (2) Any other Jewish American war veteran or Hispanic American 
    war veteran whose name is submitted to the Secretary concerned for 
    such purpose before the end of the one-year period beginning on the 
    date of the enactment of this Act.
    (c) Consultations.--In carrying out the review under subsection 
(a), the Secretary of each military department shall consult with the 
Jewish War Veterans of the United States of America and with such other 
veterans service organizations as the Secretary considers appropriate.
    (d) Recommendation Based on Review.--If the Secretary concerned 
determines, based upon the review under subsection (a) of the service 
records of any Jewish American war veteran or Hispanic American war 
veteran, that the award of the Medal of Honor to that veteran is 
warranted, the Secretary shall submit to the President a recommendation 
that the President award the Medal of Honor to that veteran.
    (e) Authority To Award Medal of Honor.--A Medal of Honor may be 
awarded to a Jewish American war veteran or Hispanic American war 
veteran in accordance with a recommendation of the Secretary concerned 
under subsection (d).
    (f) Waiver of Time Limitations.--An award of the Medal of Honor may 
be made under subsection (e) without regard to--
        (1) section 3744, 6248, or 8744 of title 10, United States 
    Code, as applicable; and
        (2) any regulation or other administrative restriction on--
            (A) the time for awarding the Medal of Honor; or
            (B) the awarding of the Medal of Honor for service for 
        which a Distinguished Service Cross, Navy Cross, or Air Force 
        Cross has been awarded.
    (g) Definition.--For purposes of this section, the term ``Jewish 
American war veteran'' means any person who served in the Armed Forces 
during World War II or a later period of war and who identified himself 
or herself as Jewish on his or her military personnel records.
    SEC. 553. AUTHORITY TO ISSUE DUPLICATE MEDALS OF HONOR AND TO 
      REPLACE STOLEN MILITARY DECORATIONS.
    (a) Army.--(1)(A) Chapter 357 of title 10, United States Code, is 
amended by adding at the end the following new section:

``Sec. 3754. Medal of honor: duplicate medal

    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Army may determine, as a 
duplicate or for display purposes only.''.
    (B) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:
``3754. Medal of honor: duplicate medal.''.

    (2) Section 3747 of such title is amended by striking ``lost'' and 
inserting ``stolen, lost,''.
    (b) Navy and Marine Corps.--(1)(A) Chapter 567 of title 10, United 
States Code, is amended by adding at the end the following new section:

``Sec. 6256. Medal of honor: duplicate medal

    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Navy may determine, as a 
duplicate or for display purposes only.''.
    (B) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:
``6256. Medal of honor: duplicate medal.''.

    (2) Section 6253 of such title is amended by striking ``lost'' and 
inserting ``stolen, lost,''.
    (c) Air Force.--(1)(A) Chapter 857 of title 10, United States Code, 
is amended by adding at the end the following new section:

``Sec. 8754. Medal of honor: duplicate medal

    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Air Force may determine, 
as a duplicate or for display purposes only.''.
    (B) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:
``8754. Medal of honor: duplicate medal.''.

    (2) Section 8747 of such title is amended by striking ``lost'' and 
inserting ``stolen, lost,''.
    (d) Coast Guard.--(1)(A) Chapter 13 of title 14, United States 
Code, is amended by inserting after section 503 the following new 
section:

``Sec. 504. Medal of honor: duplicate medal

    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary may determine, as a duplicate 
or for display purposes only.''.
    (B) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 503 the 
following new item:
``504. Medal of honor: duplicate medal.''.

    (2) Section 501 of such title is amended by inserting ``stolen,'' 
before ``lost,''.
    (e) Definition of Medal of Honor for Purposes of Federal 
Unauthorized-Use Crime.--Section 704(b)(2)(B) of title 18, United 
States Code, is amended to read as follows:
        ``(B) As used in this subsection, `Congressional Medal of 
    Honor' means--
            ``(i) a medal of honor awarded under section 3741, 6241, or 
        8741 of title 10 or section 491 of title 14;
            ``(ii) a duplicate medal of honor issued under section 
        3754, 6256, or 8754 of title 10 or section 504 of title 14; or
            ``(iii) a replacement of a medal of honor provided under 
        section 3747, 6253, or 8747 of title 10 or section 501 of title 
        14.''.
    SEC. 554. RETROACTIVE MEDAL OF HONOR SPECIAL PENSION.
    (a) Entitlement.--Notwithstanding any other provision of law, 
Robert R. Ingram of Jacksonville, Florida, who was awarded the Medal of 
Honor pursuant to Public Law 105-103 (111 Stat. 2218), shall be 
entitled to the special pension provided for under section 1562 of 
title 38, United States Code (and antecedent provisions of law), for 
months that begin after March 1966.
    (b) Amount.--The amount of special pension payable under subsection 
(a) for a month beginning before the date of the enactment of this Act 
shall be the amount of special pension provided for by law for that 
month for persons entered and recorded in the Army, Navy, Air Force, 
and Coast Guard Medal of Honor Roll (or antecedent Medal of Honor Roll 
required by law).
    SEC. 555. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN 
      DECORATIONS TO CERTAIN PERSONS.
    (a) Waiver.--Any limitation established by law or policy for the 
time within which a recommendation for the award of a military 
decoration or award must be submitted shall not apply to awards of 
decorations described in this section, the award of each such 
decoration having been determined by the Secretary concerned to be 
warranted in accordance with section 1130 of title 10, United States 
Code.
    (b) Silver Star.--Subsection (a) applies to the award of the Silver 
Star to Wayne T. Alderson, of Glassport, Pennsylvania, for gallantry in 
action from March 15 to March 18, 1945, while serving as a member of 
the Army.
    (c) Distinguished Flying Cross.--Subsection (a) applies to the 
award of the Distinguished Flying Cross for service during World War II 
(including multiple awards to the same individual) in the case of each 
individual concerning whom the Secretary of the Navy (or an officer of 
the Navy acting on behalf of the Secretary) submitted to the Committee 
on Armed Services of the House of Representatives and the Committee on 
Armed Services of the Senate, during the period beginning on October 
30, 2000, and ending on the day before the date of the enactment of 
this Act, a notice as provided in section 1130(b) of title 10, United 
States Code, that the award of the Distinguished Flying Cross to that 
individual is warranted and that a waiver of time restrictions 
prescribed by law for recommendation for such award is recommended.
    SEC. 556. SENSE OF CONGRESS ON ISSUANCE OF CERTAIN MEDALS.
    It is the sense of Congress that the Secretary of Defense should 
consider authorizing--
        (1) the issuance of a campaign medal, to be known as the Korea 
    Defense Service Medal, to each person who while a member of the 
    Armed Forces served in the Republic of Korea, or the waters 
    adjacent thereto, during the period beginning on July 28, 1954, and 
    ending on such date thereafter as the Secretary considers 
    appropriate;
        (2) the issuance of a campaign medal, to be known as the Cold 
    War Service Medal, to each person who while a member of the Armed 
    Forces served satisfactorily on active duty during the Cold War; 
    and
        (3) the award of the Vietnam Service Medal to any member or 
    former member of the Armed Forces who was awarded the Armed Forces 
    Expeditionary Medal for participation in military operations 
    designated as Operation Frequent Wind arising from the evacuation 
    of Vietnam on April 29 and 30, 1975.
    SEC. 557. SENSE OF CONGRESS ON DEVELOPMENT OF A MORE COMPREHENSIVE, 
      UNIFORM POLICY FOR THE AWARD OF DECORATIONS TO MILITARY AND 
      CIVILIAN PERSONNEL OF THE DEPARTMENT OF DEFENSE.
    (a) Findings.--Congress makes the following findings:
        (1) The role and importance of civilian nationals of the United 
    States as Federal employees and contractors in support of 
    operations of the Armed Forces worldwide has continued to expand.
        (2) The expanded role performed by those civilians, both in the 
    United States and overseas, has greatly increased the risk to those 
    civilians of injury and death from hostile actions taken against 
    United States Armed Forces, as demonstrated by the terrorist attack 
    on the Pentagon on September 11, 2001, in which scores of 
    Department of Defense civilian and contractor personnel were killed 
    or wounded.
        (3) On September 20, 2001, the Deputy Secretary of Defense 
    approved the creation of a new award, a medal for the defense of 
    freedom, to be awarded to civilians employed by the Department of 
    Defense who are killed or wounded as a result of hostile action and 
    at the same time directed that a comprehensive review be conducted 
    to develop a more uniform approach to the award of decorations to 
    military and civilian personnel of the Department of Defense.
    (b) Commendation of Creation of New Award.--Congress commends the 
decision announced by the Deputy Secretary of Defense on September 20, 
2001, to approve the creation of a new award, a medal for the defense 
of freedom, to be awarded to civilians employed by the Department of 
Defense who are killed or wounded as a result of hostile action.
    (c) Sense of Congress.--It is the sense of Congress that the 
Secretary of Defense should act expeditiously to develop a more 
comprehensive, uniform policy for the award of decorations to military 
and civilian personnel of the Department of Defense.
    SEC. 558. POSTHUMOUS ARMY COMMISSION IN THE GRADE OF CAPTAIN IN THE 
      CHAPLAINS CORPS TO ELLA E. GIBSON FOR SERVICE AS CHAPLAIN OF THE 
      FIRST WISCONSIN HEAVY ARTILLERY REGIMENT DURING THE CIVIL WAR.
    The President is authorized and requested to posthumously appoint 
Ella E. Gibson to the grade of captain in the Chaplains Corps of the 
Army, the commission to issue as of the date of her appointment as 
chaplain to the First Wisconsin Heavy Artillery regiment during the 
Civil War and to be considered to have been in effect during the time 
during which she faithfully performed the services of a chaplain to 
that regiment and for which Congress by law (Private Resolution 31 of 
the 40th Congress, approved March 3, 1869) previously provided for her 
to be paid the full pay and emoluments of a chaplain in the United 
States Army as if she had been regularly commissioned and mustered into 
service.

                    Subtitle G--Funeral Honors Duty

    SEC. 561. PARTICIPATION OF MILITARY RETIREES IN FUNERAL HONORS 
      DETAILS.
    (a) Authority.--Subsection (b)(2) of section 1491 of title 10, 
United States Code, is amended--
        (1) in the first sentence, by inserting ``(other than members 
    in a retired status)'' after ``members of the armed forces''; and
        (2) in the second sentence, by inserting ``(including members 
    in a retired status),'' after ``members of the armed forces''.
    (b) Funeral Honors Duty Allowance.--Section 435(a) of title 37, 
United States Code, is amended--
        (1) by inserting ``(1)'' after ``(a) Allowance Authorized.--''; 
    and
        (2) by adding at the end the following new paragraph:
    ``(2) The Secretary concerned may also authorize payment of that 
allowance to a member of the armed forces in a retired status for any 
day on which the member serves in a funeral honors detail under section 
1491 of title 10, if the time required for service in such detail 
(including time for preparation) is not less than two hours. The amount 
of an allowance paid to a member under this paragraph shall be in 
addition to any other compensation to which the member may be entitled 
under this title or title 10 or 38.''.
    SEC. 562. FUNERAL HONORS DUTY PERFORMED BY RESERVE AND GUARD 
      MEMBERS TO BE TREATED AS INACTIVE-DUTY TRAINING FOR CERTAIN 
      PURPOSES.
    (a) Reserve Members.--Section 12503(a) of title 10, United States 
Code, is amended by adding at the end the following new sentence: 
``Performance of funeral honors duty by a Reserve not on active duty 
shall be treated as inactive-duty training (including with respect to 
travel to and from such duty) for purposes of any provision of law 
other than sections 206 and 435 of title 37.''.
    (b) National Guard Members.--Section 115(a) of title 32, United 
States Code, is amended by adding at the end the following new 
sentence: ``Performance of funeral honors duty by such a member not on 
active duty or full-time National Guard duty shall be treated as 
inactive-duty training (including with respect to travel to and from 
such duty) for purposes of any provision of law other than sections 206 
and 435 of title 37.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to funeral honors duty performed on or after October 30, 2000.
    SEC. 563. USE OF MILITARY LEAVE FOR FUNERAL HONORS DUTY BY RESERVE 
      MEMBERS AND NATIONAL GUARDSMEN.
    Section 6323(a)(1) of title 5, United States Code, is amended by 
inserting ``funeral honors duty (as described in section 12503 of title 
10 and section 115 of title 32),'' after ``(as defined in section 101 
of title 37),''.
    SEC. 564. AUTHORITY TO PROVIDE APPROPRIATE ARTICLES OF CLOTHING AS 
      A CIVILIAN UNIFORM FOR CIVILIANS PARTICIPATING IN FUNERAL HONOR 
      DETAILS.
    Section 1491(d) of title 10, United States Code, is amended by 
adding at the end the following new paragraph:
        ``(3) Articles of clothing for members of a veterans 
    organization or other organization referred to in subsection (b)(2) 
    that, as determined by the Secretary concerned, are appropriate as 
    a civilian uniform for persons participating in a funeral honors 
    detail.''.

            Subtitle H--Military Spouses and Family Members

    SEC. 571. IMPROVED FINANCIAL AND OTHER ASSISTANCE TO MILITARY 
      SPOUSES FOR JOB TRAINING AND EDUCATION.
    (a) Examination of Existing Employment Assistance Programs.--(1) 
The Secretary of Defense shall examine existing Department of Defense 
and other Federal, State, and nongovernmental programs with the 
objective of improving retention of military personnel by increasing 
the employability of military spouses and assisting those spouses in 
gaining access to financial and other assistance for job training and 
education.
    (2) In conducting the examination, the Secretary shall give 
priority to facilitating and increasing access of military spouses to 
existing Department of Defense, Federal, State, and nongovernmental 
sources for the types of financial assistance set forth in paragraph 
(3), but shall also specifically assess whether the Department of 
Defense should begin a program for direct financial assistance to 
military spouses for some or all of those types of assistance and 
whether such a program of direct financial assistance would enhance 
retention.
    (3) In conducting the examination pursuant to paragraph (1), the 
Secretary should focus on financial assistance for military spouses for 
one or more of the following purposes:
        (A) Career-related education.
        (B) Certification and license fees for employment-related 
    purposes.
        (C) Apprenticeships and internships.
        (D) Technical training.
        (E) Training to improve job skills.
        (F) Career counseling.
        (G) Skills assessment.
        (H) Job-search skills.
        (I) Job-related transportation.
        (J) Child care.
        (K) Any additional employment-related purpose specified by the 
    Secretary for the purposes of the examination under paragraph (1).
    (4) Not later than March 30, 2002, the Secretary of Defense shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report on 
the results of the examination under paragraph (1).
    (b) Review of Department of Defense Policies.--(1) The Secretary of 
Defense shall review Department of Defense policies that affect 
employment and education opportunities for military spouses in the 
Department of Defense in order to further expand those opportunities. 
The review shall include the consideration of providing, to the extent 
authorized by law, separate spouse preferences for employment by 
appropriated and nonappropriated fund operations.
    (2) Not later than March 30, 2002, the Secretary of Defense shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report on 
the results of the review under paragraph (1).
    (c) Spouse Employment Assistance.--Section 1784 of title 10, United 
States Code, is amended by adding at the end the following new 
subsections:
    ``(d) Space-Available Use of Facilities for Spouse Training 
Purposes.--Under regulations prescribed by the Secretary of Defense, 
the Secretary of a military department may make available to a non-
Department of Defense entity space in non-excess facilities controlled 
by that Secretary for the purpose of the non-Department of Defense 
entity providing employment-related training for military spouses.
    ``(e) Employment by Other Federal Agencies.--The Secretary of 
Defense shall work with the Director of the Office of Personnel 
Management and the heads of other Federal departments and agencies to 
expand and facilitate the use of existing Federal programs and 
resources in support of military spouse employment.
    ``(f) Private-Sector Employment.--The Secretary of Defense--
        ``(1) shall seek to develop partnerships with firms in the 
    private sector to enhance employment opportunities for spouses of 
    members of the armed forces and to provide for improved job 
    portability for such spouses, especially in the case of the spouse 
    of a member of the armed forces accompanying the member to a new 
    geographical area because of a change of permanent duty station of 
    the member; and
        ``(2) shall work with the United States Chamber of Commerce and 
    other appropriate private-sector entities to facilitate the 
    formation of such partnerships.
    ``(g) Employment With DOD Contractors.--The Secretary of Defense 
shall examine and seek ways for incorporating hiring preferences for 
qualified spouses of members of the armed forces into contracts between 
the Department of Defense and private-sector entities.''.
    SEC. 572. PERSONS AUTHORIZED TO BE INCLUDED IN SURVEYS OF MILITARY 
      FAMILIES REGARDING FEDERAL PROGRAMS.
    (a) Extension of Survey Authority.--Subsection (a) of section 1782 
of title 10, United States Code, is amended to read as follows:
    ``(a) Authority.--The Secretary of Defense, in order to determine 
the effectiveness of Federal programs relating to military families and 
the need for new programs, may conduct surveys of--
        ``(1) members of the armed forces who are on active duty, in an 
    active status, or retired;
        ``(2) family members of such members; and
        ``(3) survivors of deceased retired members and of members who 
    died while on active duty.''.
    (b) Federal Recordkeeping Requirements.--Subsection (c) of such 
section is amended to read as follows:
    ``(c) Federal Recordkeeping Requirements.--With respect to a survey 
authorized under subsection (a) that includes a person referred to in 
that subsection who is not an employee of the United States or is not 
otherwise considered an employee of the United States for the purposes 
of section 3502(3)(A)(i) of title 44, the person shall be considered as 
being an employee of the United States for the purposes of that 
section.''.
    SEC. 573. CLARIFICATION OF TREATMENT OF CLASSIFIED INFORMATION 
      CONCERNING PERSONS IN A MISSING STATUS.
    Section 1506(b)(2) of title 10, United States Code, is amended--
        (1) by inserting ``(A)'' after ``(2)'';
        (2) by striking the period at the end and inserting ``of all 
    missing persons from the conflict or period of war to which the 
    classified information pertains.''; and
        (3) by adding at the end the following new subparagraph:
    ``(B) For purposes of subparagraph (A), information shall be 
considered to be made reasonably accessible if placed in a separate and 
distinct file that is available for review by persons specified in 
subparagraph (A) upon the request of any such person either to review 
the separate file or to review the personnel file of the missing person 
concerned.''.
    SEC. 574. TRANSPORTATION TO ANNUAL MEETING OF NEXT-OF-KIN OF 
      PERSONS UNACCOUNTED FOR FROM CONFLICTS AFTER WORLD WAR II.
    (a) Authority for Department of Defense To Provide 
Transportation.--Chapter 157 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 2647. Next-of-kin of persons unaccounted for from conflicts 
     after World War II: transportation to annual meetings
    ``The Secretary of Defense may provide transportation for the next-
of-kin of persons who are unaccounted for from the Korean conflict, the 
Cold War, Vietnam War era, or the Persian Gulf War to and from an 
annual meeting in the United States. Such transportation shall be 
provided under such regulations as the Secretary of Defense may 
prescribe.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``2647. Next-of-kin of persons unaccounted for from conflicts after 
World War II: transportation to annual meetings.''.

    SEC. 575. AMENDMENTS TO CHARTER OF DEFENSE TASK FORCE ON DOMESTIC 
      VIOLENCE.
    (a) Members Appointed From Private Sector.--Subsection (h)(1) of 
section 591 of the National Defense Authorization Act for Fiscal Year 
2000 (Public Law 106-65; 113 Stat. 639; 10 U.S.C. 1562 note) is 
amended--
        (1) by inserting ``who is a member of the Armed Forces or 
    civilian officer or employee of the United States'' after ``Each 
    member of the task force'';
        (2) by striking ``, but shall'' and all that follows and 
    inserting a period; and
        (3) by adding at the end the following new sentence: ``Other 
    members of the task force shall be appointed in accordance with, 
    and subject to, section 3161 of title 5, United States Code.''.
    (b) Extension of Termination Date.--Subsection (j) of such section 
is amended by striking ``three years after the date of the enactment of 
this Act'' and inserting ``on April 24, 2003''.

       Subtitle I--Military Justice and Legal Assistance Matters

    SEC. 581. BLOOD ALCOHOL CONTENT LIMIT FOR THE OFFENSE UNDER THE 
      UNIFORM CODE OF MILITARY JUSTICE OF DRUNKEN OPERATION OF A 
      VEHICLE, AIRCRAFT, OR VESSEL.
    Section 911 of title 10, United States Code (article 111 of the 
Uniform Code of Military Justice), is amended--
        (1) by inserting ``(a)'' before ``Any person'';
        (2) by striking ``0.10 grams'' the first place it appears and 
    all that follows through ``chemical analysis'' and inserting ``in 
    excess of the applicable limit under subsection (b)''; and
        (3) by adding at the end the following:
    ``(b)(1) For purposes of subsection (a), the applicable limit on 
the alcohol concentration in a person's blood or breath is as follows:
        ``(A) In the case of the operation or control of a vehicle, 
    aircraft, or vessel in the United States, such limit is the blood 
    alcohol content limit under the law of the State in which the 
    conduct occurred, except as may be provided under paragraph (2) for 
    conduct on a military installation that is in more than one State 
    and subject to the maximum blood alcohol content limit specified in 
    paragraph (3).
        ``(B) In the case of the operation or control of a vehicle, 
    aircraft, or vessel outside the United States, the applicable blood 
    alcohol content limit is the maximum blood alcohol content limit 
    specified in paragraph (3) or such lower limit as the Secretary of 
    Defense may by regulation prescribe.
    ``(2) In the case of a military installation that is in more than 
one State, if those States have different blood alcohol content limits 
under their respective State laws, the Secretary may select one such 
blood alcohol content limit to apply uniformly on that installation.
    ``(3) For purposes of paragraph (1), the maximum blood alcohol 
content limit with respect to alcohol concentration in a person's blood 
is 0.10 grams of alcohol per 100 milliliters of blood and with respect 
to alcohol concentration in a person's breath is 0.10 grams of alcohol 
per 210 liters of breath, as shown by chemical analysis.
    ``(4) In this subsection:
        ``(A) The term `blood alcohol content limit' means the maximum 
    permissible alcohol concentration in a person's blood or breath for 
    purposes of operation or control of a vehicle, aircraft, or vessel.
        ``(B) The term `United States' includes the District of 
    Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, 
    Guam, and American Samoa and the term `State' includes each of 
    those jurisdictions.''.
    SEC. 582. REQUIREMENT THAT COURTS-MARTIAL CONSIST OF NOT LESS THAN 
      12 MEMBERS IN CAPITAL CASES.
    (a) Classification of General Court-Martial in Capital Cases.--
Section 816(1)(A) of title 10, United States Code (article 16(1)(A) of 
the Uniform Code of Military Justice) is amended by inserting after 
``five members'' the following: ``or, in a case in which the accused 
may be sentenced to a penalty of death, the number of members 
determined under section 825a of this title (article 25a)''.
    (b) Number of Members Required.--(1) Chapter 47 of title 10, United 
States Code (the Uniform Code of Military Justice), is amended by 
inserting after section 825 (article 25) the following new section:
``Sec. 825a. Art. 25a. Number of members in capital cases
    ``In a case in which the accused may be sentenced to a penalty of 
death, the number of members shall be not less than 12, unless 12 
members are not reasonably available because of physical conditions or 
military exigencies, in which case the convening authority shall 
specify a lesser number of members not less than five, and the court 
may be assembled and the trial held with not less than the number of 
members so specified. In such a case, the convening authority shall 
make a detailed written statement, to be appended to the record, 
stating why a greater number of members were not reasonably 
available.''.
    (2) The table of sections at the beginning of subchapter V of such 
chapter is amended by inserting after the item relating to section 825 
(article 25) the following new item:
``825a. 25a. Number of members in capital cases.''.

    (c) Absent and Additional Members.--Section 829(b) of such title 
(article 29 of the Uniform Code of Military Justice) is amended--
        (1) by inserting ``(1)'' after ``(b)'';
        (2) by striking ``five members'' both places it appears and 
    inserting ``the applicable minimum number of members''; and
        (3) by adding at the end the following new paragraph:
    ``(2) In this section, the term `applicable minimum number of 
members' means five members or, in a case in which the death penalty 
may be adjudged, the number of members determined under section 825a of 
this title (article 25a).''.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to offenses committed after December 31, 2002.
    SEC. 583. ACCEPTANCE OF VOLUNTARY LEGAL ASSISTANCE FOR THE CIVIL 
      AFFAIRS OF MEMBERS AND FORMER MEMBERS OF THE UNIFORMED SERVICES 
      AND THEIR DEPENDENTS.
    (a) Authority.--Subsection (a) of section 1588 of title 10, United 
States Code, is amended by adding at the end the following new 
paragraph:
        ``(5) Legal services voluntarily provided as legal assistance 
    under section 1044 of this title.''.
    (b) Defense of Legal Malpractice.--Subsection (d)(1) of that 
section is amended by adding at the end the following new subparagraph:
        ``(E) Section 1054 of this title (relating to legal 
    malpractice), for a person voluntarily providing legal services 
    accepted under subsection (a)(5), as if the person were providing 
    the services as an attorney of a legal staff within the Department 
    of Defense.''.

                       Subtitle J--Other Matters

    SEC. 591. CONGRESSIONAL REVIEW PERIOD FOR CHANGE IN GROUND COMBAT 
      EXCLUSION POLICY.
    Section 542(b) of the National Defense Authorization Act for Fiscal 
Year 1994 (Public Law 103-160; 10 U.S.C. 113 note) is amended--
        (1) in paragraph (1)--
            (A) by striking ``not less than 90 days''; and
            (B) by adding at the end the following new sentence: ``Such 
        a change may then be implemented only after the end of a period 
        of 30 days of continuous session of Congress (excluding any day 
        on which either House of Congress is not in session) following 
        the date on which the report is received.''; and
        (2) by adding at the end the following new paragraph:
    ``(5) For purposes of this subsection, the continuity of a session 
of Congress is broken only by an adjournment of the Congress sine 
die.''.
    SEC. 592. PER DIEM ALLOWANCE FOR LENGTHY OR NUMEROUS DEPLOYMENTS.
    (a) Funding Source for Allowance.--Section 436(a) of title 37, 
United States Code, is amended by adding at the end the following new 
sentence: ``The Secretary shall pay the allowance from appropriations 
available for operation and maintenance for the armed force in which 
the member serves.''.
    (b) Expanded Report Regarding Management of Individual Member 
Deployments.--Section 574(d) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-138) is amended in the second sentence by 
striking paragraphs (1) and (2) and inserting the following new 
paragraphs:
        ``(1) a discussion of the experience in tracking and recording 
    the deployments of members of the Armed Forces and the payment of 
    the per diem allowance for lengthy or numerous deployments in 
    accordance with section 436 of title 37, United States Code;
        ``(2) specific comments regarding the effect of section 991 of 
    title 10, United States Code, and section 436 of title 37, United 
    States Code, on the readiness of the Navy and Marine Corps given 
    the deployment intensive mission of these services; and
        ``(3) any recommendations for revision of section 991 of title 
    10, United States Code, or section 436 of title 37, United States 
    Code, that the Secretary considers appropriate.''.
    SEC. 593. CLARIFICATION OF DISABILITY SEVERANCE PAY COMPUTATION.
    (a) Clarification.--Section 1212(a)(2) of title 10, United States 
Code, is amended by striking ``for promotion'' in subparagraph (C) and 
the first place it appears in subparagraph (D).
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to members separated under section 1203 or 1206 of 
title 10, United States Code, on or after date of the enactment of this 
Act.
    SEC. 594. TRANSPORTATION OR STORAGE OF PRIVATELY OWNED VEHICLES ON 
      CHANGE OF PERMANENT STATION.
    (a) Advance Payment of Storage Costs.--Subsection (b) of section 
2634 of title 10, United States Code, is amended by adding at the end 
the following new paragraph:
    ``(4) Storage costs payable under this subsection may be paid in 
advance.''.
    (b) Shipment on Permanent Change of Station Within CONUS.--
Subsection (h)(1) of such section is amended by striking ``includes'' 
in the second sentence and all that follows and inserting ``includes 
the following:
            ``(A) An authorized change in home port of a vessel.
            ``(B) A transfer or assignment between two permanent 
        stations in the continental United States when--
                ``(i) the member cannot, because of injury or the 
            conditions of the order, drive the motor vehicle between 
            the permanent duty stations; or
                ``(ii) the Secretary concerned determines that it is 
            advantageous and cost-effective to the United States for 
            one motor vehicle of the member to be transported between 
            the permanent duty stations.''.
    (c) Effective Date.--The amendments made by this section apply to 
orders to make a change of permanent station that are issued on or 
after the date of the enactment of this Act.
    SEC. 595. REPEAL OF REQUIREMENT FOR FINAL COMPTROLLER GENERAL 
      REPORT RELATING TO ARMY END STRENGTH ALLOCATIONS.
    Section 552 of the National Defense Authorization Act for Fiscal 
Year 1996 (Public Law 104-106; 110 Stat. 319; 10 U.S.C. 115 note) is 
repealed.
    SEC. 596. CONTINUED DEPARTMENT OF DEFENSE ADMINISTRATION OF 
      NATIONAL GUARD CHALLENGE PROGRAM AND DEPARTMENT OF DEFENSE 
      STARBASE PROGRAM.
    (a) National Guard Challenge Program.--Section 509(b) of title 32, 
United States Code, is amended--
        (1) in paragraph (2)(A), by striking ``in a fiscal year'' and 
    inserting ``in fiscal year 2001 or 2002''; and
        (2) by adding at the end the following new paragraph:
    ``(4) The Secretary of Defense shall remain the executive agent to 
carry out the National Guard Challenge Program regardless of the source 
of funds for the program or any transfer of jurisdiction over the 
program within the executive branch. As provided in subsection (a), the 
Secretary may use the National Guard to conduct the program.''.
    (b) STARBASE Program.--Section 2193b(f) of title 10, United States 
Code, is amended--
        (1) by inserting ``(1)'' before ``The Secretary''; and
        (2) by adding at the end the following new paragraph:
    ``(2) The Secretary of Defense shall remain the executive agent to 
carry out the program regardless of the source of funds for the program 
or any transfer of jurisdiction over the program within the executive 
branch.''.
    (c) Repeal of Contingent Funding for JROTC.--(1) Section 2033 of 
title 10, United States Code, is repealed.
    (2) The table of sections at the beginning of chapter 102 of such 
title is amended by striking the item relating to section 2033.
    (3) The amendments made by this subsection shall take effect on 
October 1, 2002.
    SEC. 597. REPORT ON DEFENSE SCIENCE BOARD RECOMMENDATION ON 
      ORIGINAL APPOINTMENTS IN REGULAR GRADES FOR ACADEMY GRADUATES AND 
      CERTAIN OTHER NEW OFFICERS.
    The Secretary of Defense shall submit to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives a report on the legislative and policy changes 
required to implement the recommendation of the Defense Science Board 
(made in its report entitled ``Final Report on Human Resources 
Strategy'' and dated February 28, 2000) that all officers be given 
initial regular commissions. The Secretary shall include in that report 
a description of the measures necessary to transition the current 
active-duty officer corps to an all-regular status, if the Board's 
recommendation were adopted, and shall provide the Secretary's position 
with regard to implementing that recommendation. The report shall be 
submitted not later than six months after the date of the enactment of 
this Act.
    SEC. 598. SENSE OF CONGRESS REGARDING THE SELECTION OF OFFICERS FOR 
      RECOMMENDATION FOR APPOINTMENT AS COMMANDER, UNITED STATES 
      TRANSPORTATION COMMAND.
    (a) Findings.--Congress makes the following findings:
        (1) The Goldwater-Nichols Department of Defense Reorganization 
    Act of 1986 (Public Law 99-433) envisioned that officers would be 
    selected for recommendation to the President for appointment as the 
    commander of a combatant command under chapter 6 of title 10, 
    United States Code (as added by that Act), on the basis of being 
    the best qualified officer for that position, rather than the best 
    qualified officer of the armed force that had historically supplied 
    officers to serve in that position.
        (2) In order to provide for greater competition among the Armed 
    Forces for selection of officers for assignment as the commanders 
    of the combatant commands and assignment to certain other joint 
    positions in the grade of general or admiral, Congress provided 
    temporary relief from the limitation on the number of officers 
    serving on active duty in the grade of general or admiral in 
    section 405 of the National Defense Authorization Act for Fiscal 
    Year 1995 and thereafter extended that relief until September 30, 
    2003, but has also required that the Secretary of Defense be 
    furnished the name of at least one officer from each of the Armed 
    Forces for consideration for appointment to each such position.
        (3) Most of the positions of commanders of the combatant 
    commands have been filled successively by officers of more than one 
    of the Armed Forces since the enactment of the Goldwater-Nichols 
    Department of Defense Reorganization Act of 1986.
        (4) However, general officers of the Air Force with only 
    limited experience in the transportation services have usually 
    filled the position of commander of the United States 
    Transportation Command.
        (5) The United States Transportation Command could benefit from 
    the appointment of future commanders selected from the Army, Navy 
    and Marine Corps, in addition to the Air Force.
    (b) Sense of Congress.--It is the sense of Congress that the 
Secretary of Defense, when considering officers for recommendation to 
the President for appointment as commander of the United States 
Transportation Command, should not rely upon officers of one service 
which has traditionally provided officers to fill that position but 
should select for such recommendation the best qualified officer of the 
Army, Navy, Air Force, or Marine Corps.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2002.
Sec. 602. Basic pay rate for certain reserve commissioned officers with 
          prior service as an enlisted member or warrant officer.
Sec. 603. Reserve component compensation for distributed learning 
          activities performed as inactive-duty training.
Sec. 604. Subsistence allowances.
Sec. 605. Eligibility for temporary housing allowance while in travel or 
          leave status between permanent duty stations.
Sec. 606. Uniform allowance for officers.
Sec. 607. Family separation allowance for members electing unaccompanied 
          tour by reason of health limitations of dependents.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. One-year extension of certain bonus and special pay 
          authorities for reserve forces.
Sec. 612. One-year extension of certain bonus and special pay 
          authorities for nurse officer candidates, registered nurses, 
          and nurse anesthetists.
Sec. 613. One-year extension of special pay and bonus authorities for 
          nuclear officers.
Sec. 614. One-year extension of other bonus and special pay authorities.
Sec. 615. Hazardous duty pay for members of maritime visit, board, 
          search, and seizure teams.
Sec. 616. Eligibility for certain career continuation bonuses for early 
          commitment to remain on active duty.
Sec. 617. Secretarial discretion in prescribing submarine duty incentive 
          pay rates.
Sec. 618. Conforming accession bonus for dental officers authority with 
          authorities for other special pay and bonuses.
Sec. 619. Modification of eligibility requirements for Individual Ready 
          Reserve bonus for reenlistment, enlistment, or extension of 
          enlistment.
Sec. 620. Installment payment authority for 15-year career status bonus.
Sec. 621. Accession bonus for new officers in critical skills.
Sec. 622. Education savings plan to encourage reenlistments and 
          extensions of service in critical specialties.
Sec. 623. Continuation of payment of special and incentive pay at 
          unreduced rates during stop loss periods.
Sec. 624. Retroactive authorization for imminent danger pay for service 
          in connection with Operation Enduring Freedom.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Minimum per diem rate for travel and transportation allowance 
          for travel performed upon a change of permanent station and 
          certain other travel.
Sec. 632. Eligibility for payment of subsistence expenses associated 
          with occupancy of temporary lodging incident to reporting to 
          first permanent duty station.
Sec. 633. Reimbursement of members for mandatory pet quarantine fees for 
          household pets.
Sec. 634. Increased weight allowance for transportation of baggage and 
          household effects for junior enlisted members.
Sec. 635. Eligibility of additional members for dislocation allowance.
Sec. 636. Partial dislocation allowance authorized for housing moves 
          ordered for Government convenience.
Sec. 637. Allowances for travel performed in connection with members 
          taking authorized leave between consecutive overseas tours.
Sec. 638. Travel and transportation allowances for family members to 
          attend burial of a deceased member of the uniformed services.
Sec. 639. Funded student travel for foreign study under an education 
          program approved by a United States school.

           Subtitle D--Retirement and Survivor Benefit Matters

Sec. 641. Contingent authority for concurrent receipt of military 
          retired pay and veterans' disability compensation and 
          enhancement of special compensation authority.
Sec. 642. Survivor Benefit Plan annuities for surviving spouses of 
          members who die while on active duty and not eligible for 
          retirement.

                        Subtitle E--Other Matters

Sec. 651. Payment for unused leave in excess of 60 days accrued by 
          members of reserve components on active duty for one year or 
          less.
Sec. 652. Additional authority to provide assistance for families of 
          members of the Armed Forces.
Sec. 653. Authorization of transitional compensation and commissary and 
          exchange benefits for dependents of commissioned officers of 
          the Public Health Service and the National Oceanic and 
          Atmospheric Administration who are separated for dependent 
          abuse.
Sec. 654. Transfer of entitlement to educational assistance under 
          Montgomery GI Bill by members of the Armed Forces with 
          critical military skills.

                     Subtitle A--Pay and Allowances

    SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2002.
    (a) Waiver of Section 1009 Adjustment.--The adjustment to become 
effective during fiscal year 2002 required by section 1009 of title 37, 
United States Code, in the rates of monthly basic pay authorized 
members of the uniformed services shall not be made.
    (b) Increase in Basic Pay.--Effective on January 1, 2002, the rates 
of monthly basic pay for members of the uniformed services within each 
pay grade are as follows:
---------------------------------------------------------------------------
  

                        COMMISSIONED OFFICERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-10\2\.........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   7,180.20   7,415.40   7,571.10   7,614.90    7,809.30
O-7.............   5,966.40   6,371.70   6,371.70   6,418.20    6,657.90
O-6.............   4,422.00   4,857.90   5,176.80   5,176.80    5,196.60
O-5.............   3,537.00   4,152.60   4,440.30   4,494.30    4,673.10
O-4.............   3,023.70   3,681.90   3,927.60   3,982.50    4,210.50
O-3\3\..........   2,796.60   3,170.40   3,421.80   3,698.70    3,875.70
O-2\3\..........   2,416.20   2,751.90   3,169.50   3,276.30    3,344.10
O-1\3\..........   2,097.60   2,183.10   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-10\2\.........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   8,135.10   8,210.70   8,519.70   8,608.50    8,874.30
O-7.............   6,840.30   7,051.20   7,261.80   7,472.70    8,135.10
O-6.............   5,418.90   5,448.60   5,448.60   5,628.60    6,305.70
O-5.............   4,673.10   4,813.50   5,073.30   5,413.50    5,755.80
O-4.............   4,395.90   4,696.20   4,930.20   5,092.50    5,255.70
O-3\3\..........   4,070.10   4,232.40   4,441.20   4,549.50    4,549.50
O-2\3\..........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1\3\..........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-10\2\.........      $0.00  $11,601.9  $11,659.2  $11,901.3  $12,324.00
                                     0          0          0
O-9.............       0.00  10,147.50  10,293.60  10,504.80   10,873.80
O-8.............   9,259.50   9,614.70   9,852.00   9,852.00    9,852.00
O-7.............   8,694.90   8,694.90   8,694.90   8,694.90    8,738.70
O-6.............   6,627.00   6,948.30   7,131.00   7,316.10    7,675.20
O-5.............   5,919.00   6,079.80   6,262.80   6,262.80    6,262.80
O-4.............   5,310.60   5,310.60   5,310.60   5,310.60    5,310.60
O-3\3\..........   4,549.50   4,549.50   4,549.50   4,549.50    4,549.50
O-2\3\..........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1\3\..........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for commissioned officers in pay grades O-7
  through O-10 may not exceed the rate of pay for level III of the
  Executive Schedule and the actual rate of basic pay for all other
  officers may not exceed the rate of pay for level V of the Executive
  Schedule.
\2\Subject to the preceding footnote, while serving as Chairman or Vice
  Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
  Chief of Naval Operations, Chief of Staff of the Air Force, Commandant
  of the Marine Corps, or Commandant of the Coast Guard, the rate of
  basic pay for this grade is $13,598.10, regardless of cumulative years
  of service computed under section 205 of title 37, United States Code.
\3\This table does not apply to commissioned officers in pay grade O-1,
  O-2, or O-3 who have been credited with over 4 years of active duty
  service as an enlisted member or warrant officer.

  COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN
                   ENLISTED MEMBER OR WARRANT OFFICER
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-3E............      $0.00      $0.00      $0.00  $3,698.70   $3,875.70
O-2E............       0.00       0.00       0.00   3,276.30    3,344.10
O-1E............       0.00       0.00       0.00   2,638.50    2,818.20
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-3E............  $4,070.10  $4,232.40  $4,441.20  $4,617.00   $4,717.50
O-2E............   3,450.30   3,630.00   3,768.90   3,872.40    3,872.40
O-1E............   2,922.30   3,028.50   3,133.20   3,276.30    3,276.30
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-3E............  $4,855.20  $4,855.20  $4,855.20  $4,855.20   $4,855.20
O-2E............   3,872.40   3,872.40   3,872.40   3,872.40    3,872.40
O-1E............   3,276.30   3,276.30   3,276.30   3,276.30    3,276.30
------------------------------------------------------------------------

                           WARRANT OFFICERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   2,889.60   3,108.60   3,198.00   3,285.90   3,437.10
W-3..............   2,638.80   2,862.00   2,862.00   2,898.90   3,017.40
W-2..............   2,321.40   2,454.00   2,569.80   2,654.10   2,726.40
W-1..............   2,049.90   2,217.60   2,330.10   2,402.70   2,511.90
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   3,586.50   3,737.70   3,885.30   4,038.00   4,184.40
W-3..............   3,152.40   3,330.90   3,439.50   3,558.30   3,693.90
W-2..............   2,875.20   2,984.40   3,093.90   3,200.40   3,318.00
W-1..............   2,624.70   2,737.80   2,850.00   2,963.70   3,077.10
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
W-5..............      $0.00  $4,965.60  $5,136.00  $5,307.00  $5,478.60
W-4..............   4,334.40   4,480.80   4,632.60   4,782.00   4,935.30
W-3..............   3,828.60   3,963.60   4,098.30   4,233.30   4,368.90
W-2..............   3,438.90   3,559.80   3,680.10   3,801.30   3,801.30
W-1..............   3,189.90   3,275.10   3,275.10   3,275.10   3,275.10
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for warrant officers may not exceed the rate
  of pay for level V of the Executive Schedule.

                           ENLISTED MEMBERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
E-9\2\...........      $0.00      $0.00      $0.00      $0.00      $0.00
E-8..............       0.00       0.00       0.00       0.00       0.00
E-7..............   1,986.90   2,169.00   2,251.50   2,332.50   2,417.40
E-6..............   1,701.00   1,870.80   1,953.60   2,033.70   2,117.40
E-5..............   1,561.50   1,665.30   1,745.70   1,828.50   1,912.80
E-4..............   1,443.60   1,517.70   1,599.60   1,680.30   1,752.30
E-3..............   1,303.50   1,385.40   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............        \3\   1,105.50   1,105.50   1,105.50   1,105.50
                    1,105.50
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
E-9\2\...........      $0.00  $3,423.90  $3,501.30  $3,599.40  $3,714.60
E-8..............   2,858.10   2,940.60   3,017.70   3,110.10   3,210.30
E-7..............   2,562.90   2,645.10   2,726.40   2,808.00   2,892.60
E-6..............   2,254.50   2,337.30   2,417.40   2,499.30   2,558.10
E-5..............   2,030.10   2,110.20   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
E-9\2\...........  $3,830.40  $3,944.10  $4,098.30  $4,251.30  $4,467.00
E-8..............   3,314.70   3,420.30   3,573.00   3,724.80   3,937.80
E-7..............   2,975.10   3,057.30   3,200.40   3,292.80   3,526.80
E-6..............   2,602.80   2,602.80   2,602.80   2,602.80   2,602.80
E-5..............   2,193.30   2,193.30   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for enlisted members may not exceed the rate
  of pay for level V of the Executive Schedule.
\2\Subject to the preceding footnote, while serving as Sergeant Major of
  the Army, Master Chief Petty Officer of the Navy, Chief Master
  Sergeant of the Air Force, Sergeant Major of the Marine Corps, or
  Master Chief Petty Officer of the Coast Guard, basic pay for this
  grade is $5,382.90, regardless of cumulative years of service computed
  under section 205 of title 37, United States Code.
\3\In the case of members in pay grade E-1 who have served less than 4
  months on active duty, the rate of basic pay is $1,022.70.

    SEC. 602. BASIC PAY RATE FOR CERTAIN RESERVE COMMISSIONED OFFICERS 
      WITH PRIOR SERVICE AS AN ENLISTED MEMBER OR WARRANT OFFICER.
    (a) Service Credit.--Section 203(d) of title 37, United States 
Code, is amended--
        (1) by inserting ``(1)'' after ``(d)'';
        (2) by striking ``active service as a warrant officer or as a 
    warrant officer and an enlisted member'' and inserting ``service 
    described in paragraph (2)''; and
        (3) by adding at the end the following new paragraph:
    ``(2) Service to be taken into account for purposes of computing 
basic pay under paragraph (1) is as follows:
        ``(A) Active service as a warrant officer or as a warrant 
    officer and an enlisted member, in the case of--
            ``(i) a commissioned officer on active duty who is paid 
        from funds appropriated for active-duty personnel; or
            ``(ii) a commissioned officer on active Guard and Reserve 
        duty.
        ``(B) In the case of a commissioned officer (not referred to in 
    subparagraph (A)(ii)) who is paid from funds appropriated for 
    reserve personnel, service as a warrant officer, or as a warrant 
    officer and enlisted member, for which at least 1,460 points have 
    been credited to the officer for the purposes of section 
    12732(a)(2) of title 10.''.
    (b) Application of Amendments.--The amendments made by subsection 
(a) shall apply with respect to months beginning on or after the date 
of the enactment of this Act.
    SEC. 603. RESERVE COMPONENT COMPENSATION FOR DISTRIBUTED LEARNING 
      ACTIVITIES PERFORMED AS INACTIVE-DUTY TRAINING.
    (a) Compensation Authorized.--Section 206(d) of title 37, United 
States Code, is amended--
        (1) by striking ``This section'' and inserting ``(1) Except as 
    provided in paragraph (2), this section'';
        (2) by striking ``an armed force'' and inserting ``a uniformed 
    service''; and
        (3) by adding at the end the following new paragraph:
    ``(2) A member of the Selected Reserve of the Ready Reserve may be 
paid compensation under this section at a rate and under terms 
determined by the Secretary of Defense, but not to exceed the rate 
otherwise applicable to the member under subsection (a), upon the 
member's successful completion of a course of instruction undertaken by 
the member using electronic-based distributed learning methodologies to 
accomplish training requirements related to unit readiness or 
mobilization, as directed for the member by the Secretary concerned. 
The compensation may be paid regardless of whether the course of 
instruction was under the direct control of the Secretary concerned or 
included the presence of an instructor.''.
    (b) Definition of Inactive-Duty Training.--Section 101(22) of such 
title is amended by inserting after ``but'' the following: ``(except as 
provided in section 206(d)(2) of this title)''.

SEC. 604. SUBSISTENCE ALLOWANCES.

    (a) Baseline Amount for Calculating Allowance for Enlisted 
Members.--Section 402(b) of title 37, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(4) For purposes of implementing paragraph (2), the monthly rate 
of basic allowance for subsistence that was in effect for an enlisted 
member for calendar year 2001 is deemed to be $233.''.
    (b) Rate for Enlisted Members When Messing Facilities Not 
Available.--(1) Notwithstanding section 402 of title 37, United States 
Code, the Secretary of Defense, and the Secretary of Transportation 
with respect to the Coast Guard when it is not operating as a service 
in the Navy, may prescribe a rate of basic allowance for subsistence to 
apply to enlisted members of the uniformed services when messing 
facilities of the United States are not available. The rate may be 
higher than the rate of basic allowance for subsistence that would 
otherwise be applicable to the members under that section, but may not 
be higher than the highest rate that was in effect for enlisted members 
of the uniformed services under those circumstances before the date of 
the enactment of this Act.
    (2) Paragraph (1) shall cease to be effective on the first day of 
the first month for which the basic allowance for subsistence 
calculated for enlisted members of the uniformed services under section 
402 of title 37, United States Code, exceeds the rate of the basic 
allowance for subsistence prescribed under paragraph (1).
    (c) Continuation of BAS Transitional Authority.--Notwithstanding 
the repeal of subsections (c) through (f) of section 602 of the 
National Defense Authorization Act for Fiscal Year 1998 (Public Law 
105-85; 37 U.S.C. 402 note) by section 603(c) of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted 
into law by Public Law 106-398; 114 Stat. 1654A-145), the basic 
allowance for subsistence shall be paid in accordance with such 
subsections for October, November, and December of 2001.
    (d) Eligibility for Supplemental Subsistence Allowance.--Section 
402a(b)(1) of title 37, United States Code, is amended by inserting 
``with dependents'' after ``a member of the armed forces''.
    SEC. 605. ELIGIBILITY FOR TEMPORARY HOUSING ALLOWANCE WHILE IN 
      TRAVEL OR LEAVE STATUS BETWEEN PERMANENT DUTY STATIONS.
    (a) Repeal of Pay Grade Limitation.--Section 403(i) of title 37, 
United States Code, is amended by striking ``who is in a pay grade E-4 
(4 or more years of service) or above''.
    (b) Effective Date; Application.--The amendment made by this 
section shall take effect on January 1, 2003, and apply to members of 
the uniformed services in a travel or leave status between permanent 
duty stations on or after that date.

SEC. 606. UNIFORM ALLOWANCE FOR OFFICERS.

    (a) Relation to Initial Uniform Allowance.--Section 416(b)(1) of 
title 37, United States Code, is amended by striking ``$200'' and 
inserting ``$400''.
    (b) Effective Date.--The amendment made by this section shall take 
effect as of October 1, 2000.
    SEC. 607. FAMILY SEPARATION ALLOWANCE FOR MEMBERS ELECTING 
      UNACCOMPANIED TOUR BY REASON OF HEALTH LIMITATIONS OF DEPENDENTS.
    (a) Entitlement to Allowance.--Section 427(c) of title 37, United 
States Code, is amended--
        (1) by striking ``A member'' in the first sentence and 
    inserting ``(1) Except as provided in paragraph (2) or (3), a 
    member'';
        (2) in the second sentence, by striking ``The Secretary 
    concerned may waive the preceding sentence'' and inserting the 
    following:
    ``(3) The Secretary concerned may waive paragraph (1)''; and
        (3) by inserting after the first sentence the following new 
    paragraph:
    ``(2) The prohibition in the first sentence of paragraph (1) does 
not apply to a member who elects to serve an unaccompanied tour of duty 
because a dependent cannot accompany the member to or at that permanent 
station for certified medical reasons.''.
    (b) Application of Amendment.--Paragraph (2) of section 427(c) of 
title 37, United States Code, as added by subsection (a)(3), shall 
apply with respect to pay periods beginning on or after January 1, 
2002, for a member of the uniformed services covered by such paragraph 
regardless of the date on which the member first made the election to 
serve an unaccompanied tour of duty.

           Subtitle B--Bonuses and Special and Incentive Pays

    SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
      AUTHORITIES FOR RESERVE FORCES.
    (a) Special Pay for Health Professionals in Critically Short 
Wartime Specialties.--Section 302g(f) of title 37, United States Code, 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (b) Selected Reserve Reenlistment Bonus.--Section 308b(f) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (d) Special Pay for Enlisted Members Assigned to Certain High 
Priority Units.--Section 308d(c) of such title is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (f) Ready Reserve Enlistment and Reenlistment Bonus.--Section 
308h(g) of such title is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (g) Prior Service Enlistment Bonus.--Section 308i(f) of such title 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (h) Repayment of Education Loans for Certain Health Professionals 
Who Serve in the Selected Reserve.--Section 16302(d) of title 10, 
United States Code, is amended by striking ``January 1, 2002'' and 
inserting ``January 1, 2003''.
    SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
      AUTHORITIES FOR NURSE OFFICER CANDIDATES, REGISTERED NURSES, AND 
      NURSE ANESTHETISTS.
    (a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1) 
of title 10, United States Code, is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    (b) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of 
title 37, United States Code, is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    (c) Incentive Special Pay for Nurse Anesthetists.--Section 
302e(a)(1) of title 37, United States Code, is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    SEC. 613. ONE-YEAR EXTENSION OF SPECIAL PAY AND BONUS AUTHORITIES 
      FOR NUCLEAR OFFICERS.
    (a) Special Pay for Nuclear-Qualified Officers Extending Period of 
Active Service.--Section 312(e) of such title is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (b) Nuclear Career Accession Bonus.--Section 312b(c) of such title 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (c) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    SEC. 614. ONE-YEAR EXTENSION OF OTHER BONUS AND SPECIAL PAY 
      AUTHORITIES.
    (a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37, 
United States Code, is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (b) Reenlistment Bonus for Active Members.--Section 308(g) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (c) Enlistment Bonus for Active Members.--Section 309(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (d) Retention Bonus for Members With Critical Military Skills.--
Section 323(i) of such title is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    SEC. 615. HAZARDOUS DUTY PAY FOR MEMBERS OF MARITIME VISIT, BOARD, 
      SEARCH, AND SEIZURE TEAMS.
    (a) Additional Type of Duty Eligible for Pay.--Section 301(a) of 
title 37, United States Code, is amended--
        (1) in paragraph (10), by striking ``or'' at the end;
        (2) by redesignating paragraph (11) as paragraph (12); and
        (3) by inserting after paragraph (10) the following new 
    paragraph:
        ``(11) involving regular participation as a member of a team 
    conducting visit, board, search, and seizure operations aboard 
    vessels in support of maritime interdiction operations; or''.
    (b) Monthly Amount.--Subsection (c) of such section is amended--
        (1) in paragraph (1), by striking ``(10)'' and inserting 
    ``(11)''; and
        (2) in paragraph (2)(A), by striking ``(11)'' and inserting 
    ``(12)''.
    (c) Application of Amendment.--Paragraph (11) of section 301(a) of 
title 37, United States Code, as added by subsection (a)(3), shall 
apply to duty described in such paragraph that is performed on or after 
January 1, 2002.
    SEC. 616. ELIGIBILITY FOR CERTAIN CAREER CONTINUATION BONUSES FOR 
      EARLY COMMITMENT TO REMAIN ON ACTIVE DUTY.
    (a) Aviation Officers.--Section 301b(b)(4) of title 37, United 
States Code, is amended by inserting before the period at the end the 
following: ``or is within one year of completing such commitment''.
    (b) Surface Warfare Officers.--Section 319(a)(3) of such title is 
amended by inserting before the period at the end the following: ``or 
is within one year of completing such commitment''.
    SEC. 617. SECRETARIAL DISCRETION IN PRESCRIBING SUBMARINE DUTY 
      INCENTIVE PAY RATES.
    (a) Authority of Secretary of the Navy; Maximum Rate.--Subsection 
(b) of section 301c of title 37, United States Code, is amended to read 
as follows:
    ``(b) Monthly Rates.--The Secretary of the Navy shall prescribe the 
monthly rates of submarine duty incentive pay, except that the maximum 
monthly rate may not exceed $1,000.''.
    (b) Conforming and Clerical Amendments.--Such section is further 
amended--
        (1) in subsection (a)--
            (A) by inserting ``Eligibility Requirements.--'' after 
        ``(a)''; and
            (B) by striking ``set forth in'' each place it appears and 
        inserting ``prescribed pursuant to'';
        (2) in subsection (c), by inserting ``Exceptions.--'' after 
    ``(c)''; and
        (3) in subsection (d)--
            (A) by inserting ``Applicability to Certain Naval Reserve 
        Duty.--'' after ``(d)''; and
            (B) by striking ``authorized by'' and inserting 
        ``prescribed pursuant to''.
    (c) Transition.--The tables set forth in subsection (b) of section 
301c of title 37, United States Code, as in effect on the day before 
the date of the enactment of this Act, shall continue to apply until 
the later of the following:
        (1) January 1, 2002.
        (2) The date on which the Secretary of the Navy prescribes new 
    submarine duty incentive pay rates as authorized by the amendment 
    made by subsection (a).
    SEC. 618. CONFORMING ACCESSION BONUS FOR DENTAL OFFICERS AUTHORITY 
      WITH AUTHORITIES FOR OTHER SPECIAL PAY AND BONUSES.
    Section 302h(a)(1) of title 37, United States Code, is amended by 
striking ``the date of the enactment of this section, and ending on 
September 30, 2002'' and inserting ``September 23, 1996, and ending on 
December 31, 2002''.
    SEC. 619. MODIFICATION OF ELIGIBILITY REQUIREMENTS FOR INDIVIDUAL 
      READY RESERVE BONUS FOR REENLISTMENT, ENLISTMENT, OR EXTENSION OF 
      ENLISTMENT.
    (a) Eligibility Based on Qualifications in Critically Short Wartime 
Skills or Specialties.--Subsection (a) of section 308h of title 37, 
United States Code, is amended to read as follows:
    ``(a) Authority and Eligibility Requirements.--(1) The Secretary 
concerned may pay a bonus as provided in subsection (b) to an eligible 
person who reenlists, enlists, or voluntarily extends an enlistment in 
a reserve component of an armed force for assignment to an element 
(other than the Selected Reserve) of the Ready Reserve of that armed 
force if the reenlistment, enlistment, or extension is for a period of 
three years, or for a period of six years, beyond any other period the 
person is obligated to serve.
    ``(2) A person is eligible for a bonus under this section if the 
person--
        ``(A) is or has been a member of an armed force;
        ``(B) is qualified in a skill or specialty designated by the 
    Secretary concerned as a critically short wartime skill or 
    critically short wartime specialty; and
        ``(C) has not failed to complete satisfactorily any original 
    term of enlistment in the armed forces.
    ``(3) For the purposes of this section, the Secretary concerned may 
designate a skill or specialty as a critically short wartime skill or 
critically short wartime specialty for an armed force under the 
jurisdiction of the Secretary if the Secretary determines that--
        ``(A) the skill or specialty is critical to meet wartime 
    requirements of the armed force; and
        ``(B) there is a critical shortage of personnel in that armed 
    force who are qualified in that skill or specialty.''.
    (b) Clerical Amendments.--Such section is further amended--
        (1) in subsection (b), by inserting ``Bonus Amounts; Payment.--
    '' after ``(b)'';
        (2) in subsection (c), by inserting ``Repayment of Bonus.--'' 
    after ``(c)'';
        (3) in subsection (d), by inserting ``Treatment of 
    Reimbursement Obligation.--'' after ``(d)'';
        (4) in subsection (e), by inserting ``Effect of Bankruptcy.--'' 
    after ``(e)'';
        (5) in subsection (f), by inserting ``Regulations.--'' after 
    ``(f)''; and
        (6) in subsection (g), by inserting ``Termination of 
    Authority.--'' after ``(g)''.
    (c) Regulations.--Not later than 180 days after the date of the 
enactment of this Act, the Secretaries of the military departments 
shall prescribe such regulations as may be necessary for administering 
subsection (a) of section 308h of title 37, United States Code, as 
amended by this section.
    (d) Application of Amendment.--Subsection (a) of section 308h of 
title 37, United States Code, as amended by this section, shall apply 
with respect to reserve component reenlistments, enlistments, and 
extensions of enlistments that are executed on or after the first day 
of the first month that begins more than 180 days after the date of the 
enactment of this Act. Subsection (a) of such section 308h, as in 
effect on the day before the date of the enactment of this Act, shall 
continue to apply with respect to reserve component reenlistments, 
enlistments, and extensions of enlistments that are executed before the 
first day of that first month.
    SEC. 620. INSTALLMENT PAYMENT AUTHORITY FOR 15-YEAR CAREER STATUS 
      BONUS.
    (a) Member Election.--Section 322(d) of title 37, United States 
Code, is amended--
        (1) in paragraph (1), by striking ``paid in a single lump sum 
    of'' and inserting ``equal to'';
        (2) by redesignating paragraph (2) as paragraph (4), and in 
    such paragraph, by striking ``The bonus'' and inserting ``The lump 
    sum payment of the bonus, and the first installment payment in the 
    case of members who elect to receive the bonus in installments,''; 
    and
        (3) by inserting after paragraph (1) the following new 
    paragraphs:
    ``(2) A member electing to receive the bonus under this section 
shall elect one of the following payment options:
        ``(A) A single lump sum of $30,000.
        ``(B) Two installments of $15,000 each.
        ``(C) Three installments of $10,000 each.
        ``(D) Four installments of $7,500 each.
        ``(E) Five installments of $6,000 each.
    ``(3) If a member elects installment payments under paragraph (2), 
the second installment (and subsequent installments, as applicable) 
shall be paid on the earlier of the following dates:
        ``(A) The annual anniversary date of the payment of the first 
    installment.
        ``(B) January 15 of each succeeding calendar year.''.
    (b) Application to Existing Agreements.--The Secretary concerned 
(as defined in section 101(5) of title 37, United States Code) shall 
extend to each member of the uniformed services who has executed the 
written agreement required by subsection (a)(2) of section 322 of such 
title before the date of the enactment of this Act, but who has not 
received the lump sum payment by that date, an opportunity to make the 
election authorized by subsection (d) of such section, as amended by 
this section.
    SEC. 621. ACCESSION BONUS FOR NEW OFFICERS IN CRITICAL SKILLS.
    (a) Bonus Authorized.--Chapter 5 of title 37, United States Code, 
is amended by adding at the end the following new section:
``Sec. 324. Special pay: accession bonus for new officers in critical 
    skills
    ``(a) Accession Bonus Authorized.--Under regulations prescribed by 
the Secretary concerned, a person who executes a written agreement to 
accept a commission as an officer of the armed forces and serve on 
active duty in a designated critical officer skill for the period 
specified in the agreement may, upon acceptance of the agreement by the 
Secretary concerned, be paid an accession bonus in an amount determined 
by the Secretary concerned.
    ``(b) Designation of Critical Officer Skills.--(1) The Secretary 
concerned shall designate the critical officer skills for the purposes 
of this section. A skill may be designated as a critical officer skill 
for an armed force under this subsection if--
        ``(1) in order to meet requirements of the armed force, it is 
    critical for the armed force to have a sufficient number of 
    officers who are qualified in that skill; and
        ``(2) in order to mitigate a current or projected significant 
    shortage of personnel in the armed force who are qualified in that 
    skill, it is critical to access into that armed force in sufficient 
    numbers persons who are qualified in that skill or are to be 
    trained in that skill.
    ``(c) Limitation on Amount of Bonus.--The amount of an accession 
bonus under subsection (a) may not exceed $60,000.
    ``(d) Payment Method.--Upon acceptance of a written agreement under 
subsection (a) by the Secretary concerned, the total amount of the 
accession bonus payable under the agreement becomes fixed. The 
agreement shall specify whether the accession bonus will be paid by the 
Secretary in a lump sum or installments.
    ``(e) Relation to Other Accession Bonus Authority.--An individual 
may not receive an accession bonus under this section and section 302d, 
302h, 302j, or 312b of this title for the same period of service.
    ``(f) Repayment for Failure To Commence or Complete Obligated 
Service.--(1) An individual who, after having received all or part of 
the accession bonus under an agreement referred to in subsection (a), 
fails to accept a commission as an officer or to commence or complete 
the total period of active duty service specified in the agreement 
shall repay to the United States the amount that bears the same ratio 
to the total amount of the bonus authorized for such person as the 
unserved part of the period of agreed active duty service bears to the 
total period of the agreed active duty service. However, the amount 
required to be repaid by the individual may not exceed the amount of 
the accession bonus that was paid to the individual.
    ``(2) Subject to paragraph (3), an obligation to repay the United 
States imposed under paragraph (1) is for all purposes a debt owed to 
the United States. A discharge in bankruptcy under title 11 that is 
entered less than five years after the termination of an agreement 
entered into under subsection (a) does not discharge the individual 
signing the agreement from a debt arising under such agreement or under 
paragraph (1).
    ``(3) The Secretary concerned may waive, in whole or in part, the 
repayment requirement under paragraph (1) on a case-by-case basis if 
the Secretary concerned determines that repayment would be against 
equity and good conscience or would be contrary to the best interests 
of the United States.
    ``(g) Termination of Authority.--No agreement under this section 
may be entered into after December 31, 2002.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``324. Special pay: accession bonus for new officers in critical 
skills.''.

    SEC. 622. EDUCATION SAVINGS PLAN TO ENCOURAGE REENLISTMENTS AND 
      EXTENSIONS OF SERVICE IN CRITICAL SPECIALTIES.
    (a) Establishment of Savings Plan.--(1) Chapter 5 of title 37, 
United States Code, is amended by inserting after section 324, as added 
by section 621, the following new section:
``Sec. 325. Incentive bonus: savings plan for education expenses and 
    other contingencies
    ``(a) Benefit and Eligibility.--The Secretary concerned may 
purchase United States savings bonds under this section for a member of 
the armed forces who is eligible as follows:
        ``(1) A member who, before completing three years of service on 
    active duty, enters into a commitment to perform qualifying 
    service.
        ``(2) A member who, after completing three years of service on 
    active duty, but not more than nine years of service on active 
    duty, enters into a commitment to perform qualifying service.
        ``(3) A member who, after completing nine years of service on 
    active duty, enters into a commitment to perform qualifying 
    service.
    ``(b) Qualifying Service.--For the purposes of this section, 
qualifying service is service on active duty in a specialty designated 
by the Secretary concerned as critical to meet requirements (whether or 
not such specialty is designated as critical to meet wartime or 
peacetime requirements) for a period that--
        ``(1) is not less than six years; and
        ``(2) does not include any part of a period for which the 
    member is obligated to serve on active duty under an enlistment or 
    other agreement for which a benefit has previously been paid under 
    this section.
    ``(c) Forms of Commitment to Additional Service.--For the purposes 
of this section, a commitment means--
        ``(1) in the case of an enlisted member, a reenlistment; and
        ``(2) in the case of a commissioned officer, an agreement 
    entered into with the Secretary concerned.
    ``(d) Amounts of Bonds.--The total of the face amounts of the 
United States savings bonds authorized to be purchased for a member 
under this section for a commitment shall be as follows:
        ``(1) In the case of a purchase for a member under paragraph 
    (1) of subsection (a), $5,000.
        ``(2) In the case of a purchase for a member under paragraph 
    (2) of subsection (a), the amount equal to the excess of $15,000 
    over the total of the face amounts of any United States savings 
    bonds previously purchased for the member under this section.
        ``(3) In the case of a purchase for a member under paragraph 
    (3) of subsection (a), the amount equal to the excess of $30,000 
    over the total of the face amounts of any United States savings 
    bonds previously purchased for the member under this section.
    ``(e) Total Amount of Benefit.--The total amount of the benefit 
authorized for a member when United States savings bonds are purchased 
for the member under this section by reason of a commitment by that 
member shall be the sum of--
        ``(1) the purchase price of the United States savings bonds; 
    and
        ``(2) the amounts that would be deducted and withheld for the 
    payment of individual income taxes if the total amount computed 
    under this subsection for that commitment were paid to the member 
    as a bonus.
    ``(f) Amount Withheld for Taxes.--The total amount payable for a 
member under subsection (e)(2) for a commitment by that member shall be 
withheld, credited, and otherwise treated in the same manner as amounts 
deducted and withheld from the basic pay of the member.
    ``(g) Repayment for Failure To Complete Obligated Service.--(1) If 
a person fails to complete the qualifying service for which the person 
is obligated under a commitment for which a benefit has been paid under 
this section, the person shall refund to the United States the amount 
that bears the same ratio to the total amount paid for the person (as 
computed under subsection (e)) for that particular commitment as the 
uncompleted part of the period of qualifying service bears to the total 
period of the qualifying service for which obligated.
    ``(2) Subject to paragraph (3), an obligation to reimburse the 
United States imposed under paragraph (1) is for all purposes a debt 
owed to the United States.
    ``(3) The Secretary concerned may waive, in whole or in part, a 
refund required under paragraph (1) if the Secretary concerned 
determines that recovery would be against equity and good conscience or 
would be contrary to the best interests of the United States.
    ``(4) A discharge in bankruptcy under title 11 that is entered less 
than five years after the termination of an enlistment or other 
agreement under this section does not discharge the person signing such 
enlistment or other agreement from a debt arising under the enlistment 
or agreement, respectively, or this subsection.
    ``(h) Relationship to Other Special Pays.--The benefit authorized 
under this section is in addition to any other bonus or incentive or 
special pay that is paid or payable to a member under any other 
provision of this chapter for any portion of the same qualifying 
service.
    ``(i) Regulations.--This section shall be administered under 
regulations prescribed by the Secretary of Defense for the armed forces 
under his jurisdiction and by the Secretary of Transportation for the 
Coast Guard when the Coast Guard is not operating as a service in the 
Navy.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 324, as added 
by section 621(b), the following new item:

``325. Incentive bonus: savings plan for education expenses and other 
contingencies.''.

    (b) Application of Amendment.--Section 325 of title 37, United 
States Code, as added by subsection (a), shall apply with respect to 
reenlistments and other agreements for qualifying service, as described 
in that section, that are entered into on or after October 1, 2001.
    (c) Funding For Fiscal Year 2002.--Of the amount authorized to be 
appropriated to the Department of Defense for military personnel for 
fiscal year 2002 by section 421, $20,000,000 may be available in that 
fiscal year for the purchase of United States savings bonds under 
section 325 of title 37, United States Code, as added by subsection 
(a).
    SEC. 623. CONTINUATION OF PAYMENT OF SPECIAL AND INCENTIVE PAY AT 
      UNREDUCED RATES DURING STOP LOSS PERIODS.
    (a) Authority to Continue.--(1) Chapter 17 of title 37, United 
States Code, is amended by adding at the end the following new section:
``Sec. 909. Special and incentive pay: payment at unreduced rates 
    during suspension of personnel laws
    ``(a) Authority To Continue Payment at Unreduced Rates.--To ensure 
fairness and recognize the contributions of members of the armed forces 
to military essential missions, the Secretary of the military 
department concerned may authorize members who are involuntarily 
retained on active duty under section 123 or 12305 of title 10 or any 
other provision of law and who, immediately before retention on active 
duty, were entitled or eligible for special pay or incentive pay under 
chapter 5 of this title, to receive that special pay or incentive pay 
for qualifying service performed during the retention period, without a 
reduction in the payment rate below the rate the members received 
immediately before retention on active duty, notwithstanding any 
requirement otherwise applicable to that special pay or incentive pay 
that would reduce the payment rate by reason of the years of service of 
the members.
    ``(b) Suspension During Time of War.--Subsection (a) does not apply 
with respect to a special pay or incentive pay under chapter 5 of this 
title, whenever the authority to provide that special pay or incentive 
pay is suspended by the President or the Secretary of Defense during a 
time of war.
    ``(c) Qualifying Service Defined.--In this section, the term 
`qualifying service' means service for which a particular special pay 
or incentive pay is payable under the authority of a provision of 
chapter 5 of this title.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``909. Special and incentive pay: payment at unreduced rates during 
suspension of personnel laws.''.

    (b) Application of Amendments.--Section 909 of title 37, United 
States Code, as added by subsection (a)(1), shall apply with respect to 
pay periods beginning after September 11, 2001.
    SEC. 624. RETROACTIVE AUTHORIZATION FOR IMMINENT DANGER PAY FOR 
      SERVICE IN CONNECTION WITH OPERATION ENDURING FREEDOM.
    (a) Retroactive Authorization.--The Secretary of Defense may 
provide for the payment of imminent danger pay under section 310 of 
title 37, United States Code, to members of the Armed Forces assigned 
to duty in the areas specified in subsection (b) in connection with the 
contingency operation known as Operation Enduring Freedom with respect 
to periods of duty served in those areas during the period beginning on 
September 19, 2001, and ending October 31, 2001.
    (b) Specified Areas.--The areas referred to in subsection (a) are 
the following:
        (1) The land areas of Kyrgyzstan, Oman, the United Arab 
    Emirates, and Uzbekistan.
        (2) The Red Sea, the Gulf of Aden, the Gulf of Oman, and the 
    Arabian Sea (that portion north of 10+ north latitude and west of 
    68+ east longitude).

            Subtitle C--Travel and Transportation Allowances

    SEC. 631. MINIMUM PER DIEM RATE FOR TRAVEL AND TRANSPORTATION 
      ALLOWANCE FOR TRAVEL PERFORMED UPON A CHANGE OF PERMANENT STATION 
      AND CERTAIN OTHER TRAVEL.
    Section 404(d) of title 37, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(5) Effective January 1, 2003, the per diem rates established 
under paragraph (2)(A) for travel performed in connection with a change 
of permanent station or for travel described in paragraph (2) or (3) of 
subsection (a) shall be equal to the standard per diem rates 
established in the Federal travel regulation for travel within the 
continental United States of civilian employees and their dependents, 
unless the Secretaries concerned determine that a higher rate for 
members is more appropriate.''.
    SEC. 632. ELIGIBILITY FOR PAYMENT OF SUBSISTENCE EXPENSES 
      ASSOCIATED WITH OCCUPANCY OF TEMPORARY LODGING INCIDENT TO 
      REPORTING TO FIRST PERMANENT DUTY STATION.
    (a) Inclusion of Officers.--Subsection (a)(2)(C) of section 404a of 
title 37, United States Code, is amended by striking ``an enlisted 
member'' and inserting ``a member''.
    (b) Increase in Maximum Daily Authorized Rate.--Subsection (e) of 
such section is amended by striking ``$110'' and inserting ``$180''.
    (c) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2002, and apply with respect to 
an order issued on or after that date to a member of the uniformed 
services to report to the member's first permanent duty station.
    SEC. 633. REIMBURSEMENT OF MEMBERS FOR MANDATORY PET QUARANTINE 
      FEES FOR HOUSEHOLD PETS.
    (a) Increase in Maximum Reimbursement Amount.--Section 406(a)(1) of 
title 37, United States Code, is amended in the last sentence by 
striking ``$275'' and inserting ``$550''.
    (b) Application of Amendment.--The amendment made by subsection (a) 
shall apply with respect to the reimbursement of members of the 
uniformed services for mandatory pet quarantine fees incurred in 
connection with the mandatory quarantine of a household pet underway on 
the date of the enactment of this Act or beginning on or after that 
date.
    SEC. 634. INCREASED WEIGHT ALLOWANCE FOR TRANSPORTATION OF BAGGAGE 
      AND HOUSEHOLD EFFECTS FOR JUNIOR ENLISTED MEMBERS.
    (a) Increased Weight Allowances.--The table in section 406(b)(1)(C) 
of title 37, United States Code, is amended--
        (1) by striking the two footnotes; and
        (2) by striking the items relating to pay grade E-1 through E-4 
    and inserting the following new items:

``E-4.........................................       7,000        8,000
``E-3.........................................       5,000        8,000
``E-2.........................................       5,000        8,000
``E-1.........................................       5,000     8,000''.
 

  
    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2003, and apply with respect to 
an order in connection with a change of temporary or permanent station 
issued on or after that date.
    SEC. 635. ELIGIBILITY OF ADDITIONAL MEMBERS FOR DISLOCATION 
      ALLOWANCE.
    (a) Eligibility for Primary Dislocation Allowance.--Subsection (a) 
of section 407 of title 37, United States Code, is amended--
        (1) in paragraph (2), by adding at the end the following new 
    subparagraphs:
        ``(F) A member whose dependents actually move from the member's 
    place of residence in connection with the performance of orders for 
    the member to report to the member's first permanent duty station 
    if the move--
            ``(i) is to the permanent duty station or a designated 
        location; and
            ``(ii) is an authorized move.
        ``(G) Each of two members married to each other who--
            ``(i) is without dependents;
            ``(ii) actually moves with the member's spouse to a new 
        permanent duty station; and
            ``(iii) is assigned to family quarters of the United States 
        at or in the vicinity of the new duty station.''; and
        (2) by adding at the end the following new paragraph:
    ``(4) If a primary dislocation allowance is payable to two members 
described in paragraph (2)(G) who are married to each other, the amount 
of the allowance payable to such members shall be the amount otherwise 
payable under this subsection to the member in the higher pay grade, or 
to either member if both members are in the same pay grade. The 
allowance shall be paid jointly to both members.''.
    (b) Conforming Amendment.--Subsection (e) of such section is 
amended by inserting ``(except as provided in subsection (a)(2)(F))'' 
after ``first duty station''.
    (c) Application of Amendments.--The amendments made by this section 
shall apply with respect to an order issued on or after January 1, 
2002, in connection with a change of permanent station or for a member 
of the uniformed services to report to the member's first permanent 
duty station.
    SEC. 636. PARTIAL DISLOCATION ALLOWANCE AUTHORIZED FOR HOUSING 
      MOVES ORDERED FOR GOVERNMENT CONVENIENCE.
    (a) Authorization of Partial Dislocation Allowance.--Section 407 of 
title 37, United States Code, is amended--
        (1) by redesignating subsections (f) and (g) as subsections (g) 
    and (h), respectively; and
        (2) by inserting after subsection (e) the following new 
    subsection:
    ``(f) Partial Dislocation Allowance.--(1) Under regulations 
prescribed by the Secretary concerned, a member ordered to occupy or 
vacate family housing provided by the United States to permit the 
privatization or renovation of housing or for any other reason (other 
than pursuant to a permanent change of station) may be paid a partial 
dislocation allowance of $500.
    ``(2) Effective on the same date that the monthly rates of basic 
pay for all members are increased under section 1009 of this title or 
another provision of law, the Secretary of Defense shall adjust the 
rate of the partial dislocation allowance authorized by this subsection 
by the percentage equal to the average percentage increase in the rates 
of basic pay.
    ``(3) Subsections (c) and (d) do not apply to the partial 
dislocation allowance authorized by this subsection.''.
    (b) Application of Amendment.--Subsection (f) of title 37, United 
States Code, as added by subsection (a)(2), shall apply with respect to 
an order to move for a member of a uniformed service that is issued on 
or after the date of the enactment of this Act.
    SEC. 637. ALLOWANCES FOR TRAVEL PERFORMED IN CONNECTION WITH 
      MEMBERS TAKING AUTHORIZED LEAVE BETWEEN CONSECUTIVE OVERSEAS 
      TOURS.
    Section 411b(a)(1) of title 37, United States Code, is amended by 
striking ``, or his designee, or to a place no farther distant than his 
home of record''.
    SEC. 638. TRAVEL AND TRANSPORTATION ALLOWANCES FOR FAMILY MEMBERS 
      TO ATTEND BURIAL OF A DECEASED MEMBER OF THE UNIFORMED SERVICES.
    (a) Consolidation of Authorities.--Section 411f of title 37, United 
States Code, is amended to read as follows:
``Sec. 411f. Travel and transportation allowances: transportation for 
     survivors of deceased member to attend the member's burial 
     ceremonies
    ``(a) Allowances Authorized.--(1) The Secretary concerned may 
provide round trip travel and transportation allowances to eligible 
relatives of a member of the uniformed services who dies while on 
active duty or inactive duty in order that the eligible relatives may 
attend the burial ceremony of the deceased member.
    ``(2) The Secretary concerned may also provide round trip travel 
and transportation allowances to an attendant who accompanies an 
eligible relative provided travel and transportation allowances under 
paragraph (1) for travel to the burial ceremony if the Secretary 
concerned determines that--
        ``(A) the accompanied eligible relative is unable to travel 
    unattended because of age, physical condition, or other justifiable 
    reason; and
        ``(B) there is no other eligible relative of the deceased 
    member traveling to the burial ceremony who is eligible for travel 
    and transportation allowances under paragraph (1) and is qualified 
    to serve as the attendant.
    ``(b) Limitations.--(1) Except as provided in paragraphs (2) and 
(3), allowances under subsection (a) are limited to travel and 
transportation to a location in the United States, Puerto Rico, and the 
possessions of the United States and may not exceed the rates for two 
days and the time necessary for such travel.
    ``(2) If a deceased member was ordered or called to active duty 
from a place outside the United States, Puerto Rico, or the possessions 
of the United States, the allowances authorized under subsection (a) 
may be provided to and from such place and may not exceed the rates for 
two days and the time necessary for such travel.
    ``(3) If a deceased member is interred in a cemetery maintained by 
the American Battle Monuments Commission, the travel and transportation 
allowances authorized under subsection (a) may be provided to and from 
such cemetery and may not exceed the rates for two days and the time 
necessary for such travel.
    ``(c) Eligible Relatives.--(1) The following members of the family 
of a deceased member of the uniformed services are eligible for the 
travel and transportation allowances under subsection (a)(1):
        ``(A) The surviving spouse (including a remarried surviving 
    spouse) of the deceased member.
        ``(B) The unmarried child or children of the deceased member 
    referred to in section 401(a)(2) of this title.
        ``(C) If no person described in subparagraph (A) or (B) is 
    provided travel and transportation allowances under subsection 
    (a)(1), the parent or parents of the deceased member (as defined in 
    section 401(b)(2) of this title).
    ``(2) If no person described in paragraph (1) is provided travel 
and transportation allowances under subsection (a)(1), the travel and 
transportation allowances may be provided to--
        ``(A) the person who directs the disposition of the remains of 
    the deceased member under section 1482(c) of title 10, or, in the 
    case of a deceased member whose remains are commingled and buried 
    in a common grave in a national cemetery, the person who would have 
    been designated under such section to direct the disposition of the 
    remains if individual identification had been made; and
        ``(B) up to two additional persons closely related to the 
    deceased member who are selected by the person referred to in 
    subparagraph (A).
    ``(d) Expanded Allowances Related to Recovery of Remains From 
Vietnam Conflict.--(1) The Secretary of Defense may provide round trip 
travel and transportation allowances for the family of a deceased 
member of the armed forces who died while classified as a prisoner of 
war or as missing in action during the Vietnam conflict and whose 
remains are returned to the United States in order that the family 
members may attend the burial ceremony of the deceased member.
    ``(2) The allowances under paragraph (1) shall include round trip 
transportation from the places of residence of such family members to 
the burial ceremony and such living expenses and other allowances as 
the Secretary of Defense considers appropriate.
    ``(3) For purposes of paragraph (1), eligible family members of the 
deceased member of the armed forces include the following:
        ``(A) The surviving spouse (including a remarried surviving 
    spouse) of the deceased member.
        ``(B) The child or children, including children described in 
    section 401(b)(1) of this title, of the deceased member.
        ``(C) The parent or parents of the deceased member (as defined 
    in section 401(b)(2) of this title).
        ``(D) If no person described in subparagraph (A), (B), or (C) 
    is provided travel and transportation allowances under paragraph 
    (1), any brothers, sisters, halfbrothers, halfsisters, 
    stepbrothers, and stepsisters of the deceased member.
    ``(e) Burial Ceremony Defined.--In this section, the term `burial 
ceremony' includes the following:
        ``(1) An interment of casketed or cremated remains.
        ``(2) A placement of cremated remains in a columbarium.
        ``(3) A memorial service for which reimbursement is authorized 
    under section 1482(d)(2) of title 10.
        ``(4) A burial of commingled remains that cannot be 
    individually identified in a common grave in a national cemetery.
    ``(f) Regulations.--The Secretaries concerned shall prescribe 
uniform regulations to carry out this section.''.
    (b) Repeal of Superseded Laws; Conforming Amendment.--(1) Section 
1482 of title 10, United States Code, is amended by striking subsection 
(d) and redesignating subsections (e), (f), and (g) as subsections (d), 
(e), and (f), respectively.
    (2) Section 1481(a)(9) of such title is amended by striking 
``section 1482(g)'' and inserting ``section 1482(f)''.
    (3) The Funeral Transportation and Living Expense Benefits Act of 
1974 (Public Law 93-257; 37 U.S.C. 406 note) is repealed.
    (c) Application of Amendment.--Section 411f of title 37, United 
States Code, as amended by subsection (a), shall apply with respect to 
burial ceremonies of deceased members of the uniformed services that 
occur on or after the date of the enactment of this Act.
    SEC. 639. FUNDED STUDENT TRAVEL FOR FOREIGN STUDY UNDER AN 
      EDUCATION PROGRAM APPROVED BY A UNITED STATES SCHOOL.
    (a) Availability of Allowance.--Subsection (a) of section 430 of 
title 37, United States Code, is amended to read as follows:
    ``(a) Availability of Allowance.--(1) Under regulations prescribed 
by the Secretary of Defense, a member of a uniformed service may be 
paid the allowance set forth in subsection (b) if the member--
        ``(A) is assigned to a permanent duty station outside the 
    continental United States;
        ``(B) is accompanied by the member's dependents at or near that 
    duty station (unless the member's only dependents are in the 
    category of dependent described in paragraph (2)); and
        ``(C) has an eligible dependent child described in paragraph 
    (2).
    ``(2) An eligible dependent child of a member referred to in 
paragraph (1)(C) is a child who--
        ``(A) is under 23 years of age and unmarried;
        ``(B) is enrolled in a school in the continental United States 
    for the purpose of obtaining a formal education; and
        ``(C) is attending that school or is participating in a foreign 
    study program approved by that school and, pursuant to that foreign 
    study program, is attending a school outside the United States for 
    a period of not more than one year.''.
    (b) Type of Allowance Authorized.--Subsection (b) of such section 
is amended--
        (1) by inserting ``Allowance Authorized.--'' after ``(b)'';
        (2) in the first sentence of paragraph (1), by striking ``each 
    unmarried dependent child,'' and all that follows through ``the 
    school being attended'' and inserting ``each eligible dependent 
    child of the member of one annual trip between the school being 
    attended by that child''; and
        (3) by adding at the end the following new paragraph:
    ``(3) The transportation allowance paid under paragraph (1) for an 
annual trip of an eligible dependent child who is attending a school 
outside the United States may not exceed the transportation allowance 
that would be paid under this section for the annual trip of that child 
between the child's school in the continental United States and the 
member's duty station outside the continental United States and 
return.''.
    (c) Clerical and Conforming Amendments.--Such section is further 
amended--
        (1) in subsection (c), by inserting ``Use of Airlift and 
    Sealift Command.--'' after ``(c)'';
        (2) in subsection (d)--
            (A) by inserting ``Attendance at School in Alaska or 
        Hawaii.--'' after ``(d)''; and
            (B) by striking ``subsection (a)(3)'' and inserting 
        ``subsection (a)(2)'';
        (3) in subsection (e), by inserting ``Exception.--'' after 
    ``(e)''; and
        (4) in subsection (f), by inserting ``Definitions.--'' after 
    ``(f)''.
    (d) Application of Amendments.--The amendments made by this section 
shall apply with respect to travel described in subsection (b) of 
section 430 of title 37, United States Code, as amended by this 
section, that commences on or after the date of the enactment of this 
Act.

          Subtitle D--Retirement and Survivor Benefit Matters

    SEC. 641. CONTINGENT AUTHORITY FOR CONCURRENT RECEIPT OF MILITARY 
      RETIRED PAY AND VETERANS' DISABILITY COMPENSATION AND ENHANCEMENT 
      OF SPECIAL COMPENSATION AUTHORITY.
    (a) Restoration of Retired Pay Benefits.--Chapter 71 of title 10, 
United States Code, is amended by adding at the end the following new 
section:
``Sec. 1414. Members eligible for retired pay who have service-
     connected disabilities: payment of retired pay and veterans' 
     disability compensation; contingent authority
    ``(a) Payment of Both Retired Pay and Compensation.--Subject to 
subsection (b), a member or former member of the uniformed services who 
is entitled to retired pay (other than as specified in subsection (c)) 
and who is also entitled to veterans' disability compensation is 
entitled to be paid both without regard to sections 5304 and 5305 of 
title 38, subject to the enactment of qualifying offsetting legislation 
as specified in subsection (f).
    ``(b) Special Rule for Chapter 61 Career Retirees.--The retired pay 
of a member retired under chapter 61 of this title with 20 years or 
more of service otherwise creditable under section 1405 of this title 
at the time of the member's retirement is subject to reduction under 
sections 5304 and 5305 of title 38, but only to the extent that the 
amount of the member's retired pay under chapter 61 of this title 
exceeds the amount of retired pay to which the member would have been 
entitled under any other provision of law based upon the member's 
service in the uniformed services if the member had not been retired 
under chapter 61 of this title.
    ``(c) Exception.--Subsection (a) does not apply to a member retired 
under chapter 61 of this title with less than 20 years of service 
otherwise creditable under section 1405 of this title at the time of 
the member's retirement.
    ``(d) Definitions.--In this section:
        ``(1) The term `retired pay' includes retainer pay, emergency 
    officers' retirement pay, and naval pension.
        ``(2) The term `veterans' disability compensation' has the 
    meaning given the term `compensation' in section 101(12) of title 
    38.
    ``(e) Effective Date.--If qualifying offsetting legislation (as 
defined in subsection (f)) is enacted, the provisions of subsection (a) 
shall take effect on--
        ``(1) the first day of the first month beginning after the date 
    of the enactment of such qualifying offsetting legislation; or
        ``(2) the first day of the fiscal year that begins in the 
    calendar year in which such legislation is enacted, if that date is 
    later than the date specified in paragraph (1).
    ``(f) Effectiveness Contingent on Enactment of Offsetting 
Legislation.--(1) The provisions of subsection (a) shall be effective 
only if--
        ``(A) the President, in the budget for any fiscal year, 
    proposes the enactment of legislation that, if enacted, would be 
    qualifying offsetting legislation; and
        ``(B) after that budget is submitted to Congress, there is 
    enacted qualifying offsetting legislation.
    ``(2) In this subsection:
        ``(A) The term `qualifying offsetting legislation' means 
    legislation (other than an appropriations Act) that includes 
    provisions that--
            ``(i) offset fully the increased outlays to be made by 
        reason of the provisions of subsection (a) for each of the 
        first 10 fiscal years beginning after the date of the enactment 
        of such legislation;
            ``(ii) expressly state that they are enacted for the 
        purpose of the offset described in clause (i); and
            ``(iii) are included in full on the PayGo scorecard.
        ``(B) The term `PayGo scorecard' means the estimates that are 
    made by the Director of the Congressional Budget Office and the 
    Director of the Office of Management and Budget under section 
    252(d) of the Balanced Budget and Emergency Deficit Control Act of 
    1985 (2 U.S.C. 902(d)) with respect to the ten fiscal years 
    following the date of the enactment of the legislation that is 
    qualifying offsetting legislation for purposes of this section.''.
    (b) Conforming Termination of Special Compensation Program.--
Section 1413(a) of such title is amended by adding at the end the 
following new sentence: ``If the provisions of subsection (a) of 
section 1414 of this title become effective in accordance with 
subsection (f) of that section, payments under this section shall be 
terminated effective as of the month beginning on the effective date 
specified in subsection (e) of that section.''.
    (c) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``1414. Members eligible for retired pay who have service-connected 
disabilities: payment of retired pay and veterans' disability 
compensation; contingent authority.''.

    (d) Prohibition of Retroactive Benefits.--If the provisions of 
subsection (a) of section 1414 of title 10, United States Code, becomes 
effective in accordance with subsection (f) of that section, no benefit 
may be paid to any person by reason of those provisions for any period 
before the effective date specified in subsection (e) of that section.
    (e) Enhancement of Special Compensation Authority.--(1) Subsection 
(b) of section 1413 of title 10, United States Code, is amended by 
striking paragraphs (1), (2), and (3) and inserting the following:
        ``(1) For payments for months beginning with February 2002 and 
    ending with December 2002, the following:
            ``(A) For any month for which the retiree has a qualifying 
        service-connected disability rated as total, $300.
            ``(B) For any month for which the retiree has a qualifying 
        service-connected disability rated as 90 percent, $200.
            ``(C) For any month for which the retiree has a qualifying 
        service-connected disability rated as 80 percent or 70 percent, 
        $100.
            ``(D) For any month for which the retiree has a qualifying 
        service-connected disability rated as 60 percent, $50.
        ``(2) For payments for months beginning with January 2003 and 
    ending with September 2004, the following:
            ``(A) For any month for which the retiree has a qualifying 
        service-connected disability rated as total, $325.
            ``(B) For any month for which the retiree has a qualifying 
        service-connected disability rated as 90 percent, $225.
            ``(C) For any month for which the retiree has a qualifying 
        service-connected disability rated as 80 percent, $125.
            ``(D) For any month for which the retiree has a qualifying 
        service-connected disability rated as 70 percent, $100.
            ``(E) For any month for which the retiree has a qualifying 
        service-connected disability rated as 60 percent, $50.
        ``(3) For payments for months after September 2004, the 
    following:
            ``(A) For any month for which the retiree has a qualifying 
        service-connected disability rated as total, $350.
            ``(B) For any month for which the retiree has a qualifying 
        service-connected disability rated as 90 percent, $250.
            ``(C) For any month for which the retiree has a qualifying 
        service-connected disability rated as 80 percent, $150.
            ``(D) For any month for which the retiree has a qualifying 
        service-connected disability rated as 70 percent, $125.
            ``(E) For any month for which the retiree has a qualifying 
        service-connected disability rated as 60 percent, $50.''.
    (2) Subsection (d)(2) of such section is amended by striking ``70 
percent'' and inserting ``60 percent''.
    (3) The amendments made by this subsection shall take effect on 
February 1, 2002.
    SEC. 642. SURVIVOR BENEFIT PLAN ANNUITIES FOR SURVIVING SPOUSES OF 
      MEMBERS WHO DIE WHILE ON ACTIVE DUTY AND NOT ELIGIBLE FOR 
      RETIREMENT.
    (a) Surviving Spouse Annuity.--Paragraph (1) of section 1448(d) of 
title 10, United States Code, is amended to read as follows:
        ``(1) Surviving spouse annuity.--The Secretary concerned shall 
    pay an annuity under this subchapter to the surviving spouse of--
            ``(A) a member who dies while on active duty after--
                ``(i) becoming eligible to receive retired pay;
                ``(ii) qualifying for retired pay except that the 
            member has not applied for or been granted that pay; or
                ``(iii) completing 20 years of active service but 
            before the member is eligible to retire as a commissioned 
            officer because the member has not completed 10 years of 
            active commissioned service; or
            ``(B) a member not described in subparagraph (A) who dies 
        in line of duty while on active duty.''.
    (b) Computation of Annuity.--Section 1451(c)(1) of such title is 
amended--
        (1) in subparagraph (A)--
            (A) by striking ``based upon his years of active service 
        when he died.'' and inserting ``when he died determined as 
        follows:
                ``(i) In the case of an annuity provided under section 
            1448(d) of this title (other than in a case covered by 
            clause (ii)), such retired pay shall be computed as if the 
            member had been retired under section 1201 of this title on 
            the date of the member's death with a disability rated as 
            total.
                ``(ii) In the case of an annuity provided under section 
            1448(d)(1)(A) of this title by reason of the death of a 
            member not in line of duty, such retired pay shall be 
            computed based upon the member's years of active service 
            when he died.
                ``(iii) In the case of an annuity provided under 
            section 1448(f) of this title, such retired pay shall be 
            computed based upon the member or former member's years of 
            active service when he died computed under section 12733 of 
            this title.''; and
        (2) in subparagraph (B)(i), by striking ``if the member or 
    former member'' and all that follows and inserting ``as determined 
    under subparagraph (A).''.
    (c) Conforming Amendments.--(1) The heading for subsection (d) of 
section 1448 of such title is amended by striking ``Retirement-
Eligible''.
    (2) Subsection (c)(3) of section 1451 of such title is amended by 
striking ``1448(d)(1)(B) or 1448(d)(1)(C)'' and inserting ``clause (ii) 
or (iii) of section 1448(d)(1)(A)''.
    (d) Effective Date.--The amendments made by this section shall take 
effect as of September 10, 2001, and shall apply with respect to deaths 
of members of the Armed Forces occurring on or after that date.

                       Subtitle E--Other Matters

    SEC. 651. PAYMENT FOR UNUSED LEAVE IN EXCESS OF 60 DAYS ACCRUED BY 
      MEMBERS OF RESERVE COMPONENTS ON ACTIVE DUTY FOR ONE YEAR OR 
      LESS.
    (a) Eligibility.--Section 501(b)(5) of title 37, United States 
Code, is amended by--
        (1) striking ``or'' at the end of subparagraph (B);
        (2) striking the period at the end of subparagraph (C) and 
    inserting ``; or''; and
        (3) adding at the end the following new subparagraph:
        ``(D) by a member of a reserve component while serving on 
    active duty, full-time National Guard duty, or active duty for 
    training for a period of more than 30 days but not in excess of 365 
    days.''.
    (b) Application of Amendment.--Subparagraph (D) of section 
501(b)(5) of title 37, United States Code, as added by subsection 
(a)(3), shall apply with respect to periods of active duty beginning on 
or after October 1, 2001.
    SEC. 652. ADDITIONAL AUTHORITY TO PROVIDE ASSISTANCE FOR FAMILIES 
      OF MEMBERS OF THE ARMED FORCES.
    (a) Authority.--During fiscal year 2002, the Secretary of Defense 
may provide assistance for families of members of the Armed Forces 
serving on active duty in order to ensure that the children of such 
members obtain needed child care, education, and other youth services.
    (b) Primary Purpose of Assistance.--The assistance authorized by 
this section should be directed primarily toward providing needed 
family support, including child care, education, and other youth 
services, for children of members of the Armed Forces who are deployed, 
assigned to duty, or ordered to active duty in connection with the 
contingency operation known as Operation Enduring Freedom.
    SEC. 653. AUTHORIZATION OF TRANSITIONAL COMPENSATION AND COMMISSARY 
      AND EXCHANGE BENEFITS FOR DEPENDENTS OF COMMISSIONED OFFICERS OF 
      THE PUBLIC HEALTH SERVICE AND THE NATIONAL OCEANIC AND 
      ATMOSPHERIC ADMINISTRATION WHO ARE SEPARATED FOR DEPENDENT ABUSE.
    (a) Commissioned Officers of the Public Health Service.--Section 
221(a) of the Public Health Service Act (42 U.S.C. 213a(a)) is amended 
by adding at the end the following new paragraph:
        ``(17) Section 1059, Transitional compensation and commissary 
    and exchange benefits for dependents of members separated for 
    dependent abuse.''.
    (b) Commissioned Officers of the National Oceanic and Atmospheric 
Administration.--Section 3(a) of the Act entitled ``An Act to revise, 
codify, and enact into law, title 10 of the United States Code, 
entitled `Armed Forces', and title 32 of the United States Code, 
entitled `National Guard''', approved August 10, 1956 (33 U.S.C. 
857a(a)), is amended by adding at the end the following new paragraph:
        ``(17) Section 1059, Transitional compensation and commissary 
    and exchange benefits for dependents of members separated for 
    dependent abuse.''.
    SEC. 654. TRANSFER OF ENTITLEMENT TO EDUCATIONAL ASSISTANCE UNDER 
      MONTGOMERY GI BILL BY MEMBERS OF THE ARMED FORCES WITH CRITICAL 
      MILITARY SKILLS.
    (a) Authority To Transfer to Family Members.--(1) Subchapter II of 
chapter 30 of title 38, United States Code, is amended by adding at the 
end the following new section:
``Sec. 3020. Transfer of entitlement to basic educational assistance: 
     members of the Armed Forces with critical military skills
    ``(a) In General.--Subject to the provisions of this section, each 
Secretary concerned may, for the purpose of enhancing recruitment and 
retention of members of the Armed Forces with critical military skills 
and at such Secretary's sole discretion, permit an individual described 
in subsection (b) who is entitled to basic educational assistance under 
this subchapter to elect to transfer to one or more of the dependents 
specified in subsection (c) a portion of such individual's entitlement 
to such assistance, subject to the limitation under subsection (d).
    ``(b) Eligible Individuals.--An individual referred to in 
subsection (a) is any member of the Armed Forces who, at the time of 
the approval by the Secretary concerned of the member's request to 
transfer entitlement to basic educational assistance under this 
section--
        ``(1) has completed six years of service in the Armed Forces;
        ``(2) either--
            ``(A) has a critical military skill designated by the 
        Secretary concerned for purposes of this section; or
            ``(B) is in a military specialty designated by the 
        Secretary concerned for purposes of this section as requiring 
        critical military skills; and
        ``(3) enters into an agreement to serve at least four more 
    years as a member of the Armed Forces.
    ``(c) Eligible Dependents.--An individual approved to transfer an 
entitlement to basic educational assistance under this section may 
transfer the individual's entitlement as follows:
        ``(1) To the individual's spouse.
        ``(2) To one or more of the individual's children.
        ``(3) To a combination of the individuals referred to in 
    paragraphs (1) and (2).
    ``(d) Limitation on Months of Transfer.--The total number of months 
of entitlement transferred by an individual under this section may not 
exceed 18 months.
    ``(e) Designation of Transferee.--An individual transferring an 
entitlement to basic educational assistance under this section shall--
        ``(1) designate the dependent or dependents to whom such 
    entitlement is being transferred;
        ``(2) designate the number of months of such entitlement to be 
    transferred to each such dependent; and
        ``(3) specify the period for which the transfer shall be 
    effective for each dependent designated under paragraph (1).
    ``(f) Time for Transfer; Revocation and Modification.--(1) Subject 
to the time limitation for use of entitlement under section 3031 of 
this title, an individual approved to transfer entitlement to basic 
educational assistance under this section may transfer such entitlement 
at any time after the approval of the individual's request to transfer 
such entitlement without regard to whether the individual is a member 
of the Armed Forces when the transfer is executed.
    ``(2)(A) An individual transferring entitlement under this section 
may modify or revoke at any time the transfer of any unused portion of 
the entitlement so transferred.
    ``(B) The modification or revocation of the transfer of entitlement 
under this paragraph shall be made by the submittal of written notice 
of the action to both the Secretary concerned and the Secretary of 
Veterans Affairs.
    ``(g) Commencement of Use.--A dependent to whom entitlement to 
basic educational assistance is transferred under this section may not 
commence the use of the transferred entitlement until--
        ``(1) in the case of entitlement transferred to a spouse, the 
    completion by the individual making the transfer of six years of 
    service in the Armed Forces; or
        ``(2) in the case of entitlement transferred to a child, both--
            ``(A) the completion by the individual making the transfer 
        of 10 years of service in the Armed Forces; and
            ``(B) either--
                ``(i) the completion by the child of the requirements 
            of a secondary school diploma (or equivalency certificate); 
            or
                ``(ii) the attainment by the child of 18 years of age.
    ``(h) Additional Administrative Matters.--(1) The use of any 
entitlement to basic educational assistance transferred under this 
section shall be charged against the entitlement of the individual 
making the transfer at the rate of one month for each month of 
transferred entitlement that is used.
    ``(2) Except as provided under subsection (e)(2) and subject to 
paragraphs (4) and (5), a dependent to whom entitlement is transferred 
under this section is entitled to basic educational assistance under 
this subchapter in the same manner and at the same rate as the 
individual from whom the entitlement was transferred.
    ``(3) The death of an individual transferring an entitlement under 
this section shall not affect the use of the entitlement by the 
dependent to whom the entitlement is transferred.
    ``(4) Notwithstanding section 3031 of this title, a child to whom 
entitlement is transferred under this section may not use any 
entitlement so transferred after attaining the age of 26 years.
    ``(5) The administrative provisions of this chapter (including the 
provisions set forth in section 3034(a)(1) of this title) shall apply 
to the use of entitlement transferred under this section, except that 
the dependent to whom the entitlement is transferred shall be treated 
as the eligible veteran for purposes of such provisions.
    ``(6) The purposes for which a dependent to whom entitlement is 
transferred under this section may use such entitlement shall include 
the pursuit and completion of the requirements of a secondary school 
diploma (or equivalency certificate).
    ``(i) Overpayment.--(1) In the event of an overpayment of basic 
educational assistance with respect to a dependent to whom entitlement 
is transferred under this section, the dependent and the individual 
making the transfer shall be jointly and severally liable to the United 
States for the amount of the overpayment for purposes of section 3685 
of this title.
    ``(2) Except as provided in paragraph (3), if an individual 
transferring entitlement under this section fails to complete the 
service agreed to by the individual under subsection (b)(3) in 
accordance with the terms of the agreement of the individual under that 
subsection, the amount of any transferred entitlement under this 
section that is used by a dependent of the individual as of the date of 
such failure shall be treated as an overpayment of basic educational 
assistance under paragraph (1).
    ``(3) Paragraph (2) shall not apply in the case of an individual 
who fails to complete service agreed to by the individual--
        ``(A) by reason of the death of the individual; or
        ``(B) for a reason referred to in section 3011(a)(1)(A)(ii)(I) 
    of this title.
    ``(j) Approvals of Transfer Subject to Availability of 
Appropriations.--The Secretary concerned may approve transfers of 
entitlement to basic educational assistance under this section in a 
fiscal year only to the extent that appropriations for military 
personnel are available in that fiscal year for purposes of making 
deposits in the Department of Defense Education Benefits Fund under 
section 2006 of title 10 in that fiscal year to cover the present value 
of future benefits payable from the Fund for the Department of Defense 
portion of payments of basic educational assistance attributable to 
increased usage of benefits as a result of such transfers of 
entitlement in that fiscal year.
    ``(k) Regulations.--The Secretary of Defense shall prescribe 
regulations for purposes of this section. Such regulations shall 
specify the manner and effect of an election to modify or revoke a 
transfer of entitlement under subsection (f)(2) and shall specify the 
manner of the applicability of the administrative provisions referred 
to in subsection (h)(5) to a dependent to whom entitlement is 
transferred under this section.
    ``(l) Annual Report.--(1) Not later than January 31 each year 
(beginning in 2003), the Secretary of Defense shall submit to the 
Committees on Armed Services and the Committees on Veterans' Affairs of 
the Senate and House of Representatives a report on the transfers of 
entitlement to basic educational assistance under this section that 
were approved by each Secretary concerned during the preceding fiscal 
year.
    ``(2) Each report shall set forth--
        ``(A) the number of transfers of entitlement under this section 
    that were approved by such Secretary during the preceding fiscal 
    year; or
        ``(B) if no transfers of entitlement under this section were 
    approved by such Secretary during that fiscal year, a justification 
    for such Secretary's decision not to approve any such transfers of 
    entitlement during that fiscal year.
    ``(m) Secretary Concerned Defined.--Notwithstanding section 101(25) 
of this title, in this section, the term `Secretary concerned' means--
        ``(1) the Secretary of the Army with respect to matters 
    concerning the Army;
        ``(2) the Secretary of the Navy with respect to matters 
    concerning the Navy or the Marine Corps;
        ``(3) the Secretary of the Air Force with respect to matters 
    concerning the Air Force; and
        ``(4) the Secretary of Defense with respect to matters 
    concerning the Coast Guard, or the Secretary of Transportation when 
    it is not operating as a service in the Navy.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 3019 the 
following new item:

``3020. Transfer of entitlement to basic educational assistance: members 
of the Armed Forces with critical military skills.''.

    (b) Treatment Under Department of Defense Education Benefits 
Fund.--Section 2006(b)(2) of title 10, United States Code, is amended 
by adding at the end the following new subparagraph:
            ``(D) The present value of future benefits payable from the 
        Fund for the Department of Defense portion of payments of 
        educational assistance under subchapter II of chapter 30 of 
        title 38 attributable to increased usage of benefits as a 
        result of transfers of entitlement to basic educational 
        assistance under section 3020 of that title during such 
        period.''.
    (c) Plan for Implementation.--Not later than June 30, 2002, the 
Secretary of Defense shall submit to Congress a report describing the 
manner in which the Secretaries of the military departments and the 
Secretary of Transportation propose to exercise the authority granted 
by section 3020 of title 38, United States Code, as added by subsection 
(a). The report shall include the regulations prescribed under 
subsection (k) of that section for purposes of the exercise of the 
authority.
    (d) Funding for Fiscal Year 2002.--Of the amount authorized to be 
appropriated to the Department of Defense for military personnel for 
fiscal year 2002 by section 421, $30,000,000 may be available in fiscal 
year 2002 for deposit into the Department of Defense Education Benefits 
Fund under section 2006 of title 10, United States Code, for purposes 
of covering payments of amounts under subparagraph (D) of section 
2006(b)(2) of such title (as added by subsection (b)), as a result of 
transfers of entitlement to basic educational assistance under section 
3020 of title 38, United States Code (as added by subsection (a)).

                   TITLE VII--HEALTH CARE PROVISIONS

                Subtitle A--TRICARE Program Improvements

Sec. 701. Sub-acute and long-term care program reform.
Sec. 702. Prosthetics and hearing aids.
Sec. 703. Durable medical equipment.
Sec. 704. Rehabilitative therapy.
Sec. 705. Report on mental health benefits.
Sec. 706. Clarification of eligibility for reimbursement of travel 
          expenses of adult accompanying patient in travel for specialty 
          care.
Sec. 707. TRICARE program limitations on payment rates for institutional 
          health care providers and on balance billing by institutional 
          and noninstitutional health care providers.
Sec. 708. Improvements in administration of the TRICARE program.

                     Subtitle B--Senior Health Care

Sec. 711. Clarifications and improvements regarding the Department of 
          Defense Medicare-Eligible Retiree Health Care Fund.

                     Subtitle C--Studies and Reports

Sec. 721. Comptroller General study of health care coverage of members 
          of the reserve components of the Armed Forces and the National 
          Guard.
Sec. 722. Comptroller General study of adequacy and quality of health 
          care provided to women under the defense health program.
Sec. 723. Repeal of obsolete report requirement.
Sec. 724. Comptroller General report on requirement to provide 
          screenings, physical examinations, and other care for certain 
          members.

                        Subtitle D--Other Matters

Sec. 731. Prohibition against requiring military retirees to receive 
          health care solely through the Department of Defense.
Sec. 732. Fees for trauma and other medical care provided to civilians.
Sec. 733. Enhancement of medical product development.
Sec. 734. Pilot program providing for Department of Veterans Affairs 
          support in the performance of separation physical 
          examinations.
Sec. 735. Modification of prohibition on requirement of nonavailability 
          statement or preauthorization.
Sec. 736. Transitional health care for members separated from active 
          duty.
Sec. 737. Two-year extension of health care management demonstration 
          program.
Sec. 738. Joint DOD-VA pilot program for providing graduate medical 
          education and training for physicians.

                Subtitle A--TRICARE Program Improvements

    SEC. 701. SUB-ACUTE AND LONG-TERM CARE PROGRAM REFORM.
    (a) In General.--(1) Chapter 55 of title 10, United States Code, is 
amended by inserting after section 1074i the following new section:

``Sec. 1074j. Sub-acute care program

    ``(a) Establishment.--The Secretary of Defense shall establish an 
effective, efficient, and integrated sub-acute care benefits program 
under this chapter (hereinafter referred to in this section as the 
`program'). Except as otherwise provided in this section, the types of 
health care authorized under the program shall be the same as those 
provided under section 1079 of this title. The Secretary, after 
consultation with the other administering Secretaries, shall promulgate 
regulations to carry out this section.
    ``(b) Benefits.--(1) The program shall include a uniform skilled 
nursing facility benefit that shall be provided in the manner and under 
the conditions described in section 1861 (h) and (i) of the Social 
Security Act (42 U.S.C. 1395x (h) and (i)), except that the limitation 
on the number of days of coverage under section 1812 (a) and (b) of 
such Act (42 U.S.C. 1395d (a) and (b)) shall not be applicable under 
the program. Skilled nursing facility care for each spell of illness 
shall continue to be provided for as long as medically necessary and 
appropriate.
    ``(2) In this subsection:
        ``(A) The term `skilled nursing facility' has the meaning given 
    such term in section 1819(a) of the Social Security Act (42 U.S.C. 
    1395i-3(a)).
        ``(B) The term `spell of illness' has the meaning given such 
    term in section 1861(a) of such Act (42 U.S.C. 1395x(a)).
    ``(3) The program shall include a comprehensive, part-time or 
intermittent home health care benefit that shall be provided in the 
manner and under the conditions described in section 1861(m) of the 
Social Security Act (42 U.S.C. 1395x(m)).''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 1074i the 
following new item:
``1074j. Sub-acute care program.''.

    (b) Extended Benefits for Disabled Beneficiaries.--Section 1079 of 
title 10, United States Code, is amended by striking subsections (d), 
(e), and (f) and inserting the following new subsections:
    ``(d)(1) The Secretary of Defense shall establish a program to 
provide extended benefits for eligible dependents, which may include 
the provision of comprehensive health care services, including case 
management services, to assist in the reduction of the disabling 
effects of a qualifying condition of an eligible dependent. 
Registration shall be required to receive the extended benefits.
    ``(2) The Secretary of Defense, after consultation with the other 
administering Secretaries, shall promulgate regulations to carry out 
this subsection.
    ``(3) In this subsection:
        ``(A) The term `eligible dependent' means a dependent of a 
    member of the uniformed services on active duty for a period of 
    more than 30 days, as described in subparagraph (A), (D), or (I) of 
    section 1072(2) of this title, who has a qualifying condition.
        ``(B) The term `qualifying condition' means the condition of a 
    dependent who is moderately or severely mentally retarded, has a 
    serious physical disability, or has an extraordinary physical or 
    psychological condition.
    ``(e) Extended benefits for eligible dependents under subsection 
(d) may include comprehensive health care services (including services 
necessary to maintain, or minimize or prevent deterioration of, 
function of the patient) and case management services with respect to 
the qualifying condition of such a dependent, and include, to the 
extent such benefits are not provided under provisions of this chapter 
other than under this section, the following:
        ``(1) Diagnosis.
        ``(2) Inpatient, outpatient, and comprehensive home health care 
    supplies and services which may include cost effective and 
    medically appropriate services other than part-time or intermittent 
    services (within the meaning of such terms as used in the second 
    sentence of section 1861(m) of the Social Security Act).
        ``(3) Training, rehabilitation, special education, and 
    assistive technology devices.
        ``(4) Institutional care in private nonprofit, public, and 
    State institutions and facilities and, if appropriate, 
    transportation to and from such institutions and facilities.
        ``(5) Custodial care, notwithstanding the prohibition in 
    section 1077(b)(1) of this title.
        ``(6) Respite care for the primary caregiver of the eligible 
    dependent.
        ``(7) Such other services and supplies as determined 
    appropriate by the Secretary, notwithstanding the limitations in 
    subsection (a)(13).
    ``(f)(1) Members shall be required to share in the cost of any 
benefits provided to their dependents under subsection (d) as follows:
        ``(A) Members in the lowest enlisted pay grade shall be 
    required to pay the first $25 incurred each month, and members in 
    the highest commissioned pay grade shall be required to pay the 
    first $250 incurred each month. The amounts to be paid by members 
    in all other pay grades shall be determined under regulations to be 
    prescribed by the Secretary of Defense in consultation with the 
    administering Secretaries.
        ``(B) A member who has more than one dependent incurring 
    expenses in a given month under a plan covered by subsection (d) 
    shall not be required to pay an amount greater than would be 
    required if the member had only one such dependent.
    ``(2) In the case of extended benefits provided under paragraph (3) 
or (4) of subsection (e) to a dependent of a member of the uniformed 
services--
        ``(A) the Government's share of the total cost of providing 
    such benefits in any month shall not exceed $2,500, except for 
    costs that a member is exempt from paying under paragraph (3); and
        ``(B) the member shall pay (in addition to any amount payable 
    under paragraph (1)) the amount, if any, by which the amount of 
    such total cost for the month exceeds the Government's maximum 
    share under subparagraph (A).
    ``(3) A member of the uniformed services who incurs expenses under 
paragraph (2) for a month for more than one dependent shall not be 
required to pay for the month under subparagraph (B) of that paragraph 
an amount greater than the amount the member would otherwise be 
required to pay under that subparagraph for the month if the member 
were incurring expenses under that subparagraph for only one dependent.
    ``(4) To qualify for extended benefits under paragraph (3) or (4) 
of subsection (e), a dependent of a member of the uniformed services 
shall be required to use public facilities to the extent such 
facilities are available and adequate, as determined under joint 
regulations of the administering Secretaries.
    ``(5) The Secretary of Defense, in consultation with the other 
administering Secretaries, shall prescribe regulations to carry out 
this subsection.''.
    (c) Definitions of Custodial Care and Domiciliary Care.--Section 
1072 of title 10, United States Code, is amended by adding at the end 
the following new paragraphs:
        ``(8) The term `custodial care' means treatment or services, 
    regardless of who recommends such treatment or services or where 
    such treatment or services are provided, that--
            ``(A) can be rendered safely and reasonably by a person who 
        is not medically skilled; or
            ``(B) is or are designed mainly to help the patient with 
        the activities of daily living.
        ``(9) The term `domiciliary care' means care provided to a 
    patient in an institution or homelike environment because--
            ``(A) providing support for the activities of daily living 
        in the home is not available or is unsuitable; or
            ``(B) members of the patient's family are unwilling to 
        provide the care.''.
    (d) Continuation of Individual Case Management Services for Certain 
Eligible Beneficiaries.--(1) Notwithstanding the termination of the 
Individual Case Management Program by subsection (g), the Secretary of 
Defense shall, in any case in which the Secretary makes the 
determination described in paragraph (2), continue to provide payment 
as if such program were in effect for home health care or custodial 
care services provided to an eligible beneficiary that would otherwise 
be excluded from coverage under regulations implementing chapter 55 of 
title 10, United States Code.
    (2) The determination referred to in paragraph (1) is a 
determination that discontinuation of payment for services not 
otherwise provided under such chapter would result in the provision of 
services inadequate to meet the needs of the eligible beneficiary and 
would be unjust to such beneficiary.
    (3) For purposes of this subsection, ``eligible beneficiary'' means 
a covered beneficiary (as that term is defined in section 1072 of title 
10, United States Code) who, before the effective date of this section, 
was provided custodial care services under the Individual Case 
Management Program for which the Secretary provided payment.
    (e) Report on Initiatives Regarding Long-Term Care.--The Secretary 
of Defense shall, not later than April 1, 2002, submit to Congress a 
report on the feasibility and desirability of establishing new 
initiatives, taking into account chapter 90 of title 5, United States 
Code, to improve the availability of long-term care for members and 
retired members of the uniformed services and their families.
    (f) Reference in Title 10 to Long-Term Care Program in Title 5.--
(1) Chapter 55 of title 10, United States Code, is amended by inserting 
after section 1074j (as added by subsection (a)) the following new 
section:

``Sec. 1074k. Long-term care insurance

    ``Provisions regarding long-term care insurance for members and 
certain former members of the uniformed services and their families are 
set forth in chapter 90 of title 5.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 1074j (as added 
by subsection (a)) the following new item:
``1074k. Long-term care insurance.''.

    (g) Conforming Amendments.--(1) The following provisions of law are 
repealed:
        (A) Section 703 of the National Defense Authorization Act for 
    Fiscal Year 2000 (Public Law 106-65; 113 Stat. 682; 10 U.S.C. 1077 
    note).
        (B) Section 8118 of the Department of Defense Appropriations 
    Act, 2000 (Public Law 106-79; 113 Stat. 1260).
        (C) Section 8100 of the Department of Defense Appropriations 
    Act, 2001 (Public Law 106-259; 114 Stat. 696).
    (2) Section 1079 of title 10, United States Code, is amended in 
subsection (a) by striking paragraph (17).

SEC. 702. PROSTHETICS AND HEARING AIDS.

    Section 1077 of title 10, United States Code, is amended--
        (1) in subsection (a), by adding at the end the following:
        ``(16) A hearing aid, but only for a dependent of a member of 
    the uniformed services on active duty and only if the dependent has 
    a profound hearing loss, as determined under standards prescribed 
    in regulations by the Secretary of Defense in consultation with the 
    administering Secretaries.'';
        (2) in subsection (b)(2), by striking ``Hearing aids, 
    orthopedic footwear,'' and inserting ``Orthopedic footwear''; and
        (3) by adding at the end the following new subsection:
    ``(e)(1) Authority to provide a prosthetic device under subsection 
(a)(15) includes authority to provide the following:
        ``(A) Any accessory or item of supply that is used in 
    conjunction with the device for the purpose of achieving 
    therapeutic benefit and proper functioning.
        ``(B) Services necessary to train the recipient of the device 
    in the use of the device.
        ``(C) Repair of the device for normal wear and tear or damage.
        ``(D) Replacement of the device if the device is lost or 
    irreparably damaged or the cost of repair would exceed 60 percent 
    of the cost of replacement.
    ``(2) An augmentative communication device may be provided as a 
voice prosthesis under subsection (a)(15).
    ``(3) A prosthetic device customized for a patient may be provided 
under this section only by a prosthetic practitioner who is qualified 
to customize the device, as determined under regulations prescribed by 
the Secretary of Defense in consultation with the administering 
Secretaries.''.

SEC. 703. DURABLE MEDICAL EQUIPMENT.

    (a) Items Authorized.--Section 1077 of title 10, United States 
Code, as amended by section 702, is further amended--
        (1) in subsection (a)(12), by striking ``such as wheelchairs, 
    iron lungs, and hospital beds'' and inserting ``which''; and
        (2) by adding at the end the following new subsection:
    ``(f)(1) Items that may be provided to a patient under subsection 
(a)(12) include the following:
        ``(A) Any durable medical equipment that can improve, restore, 
    or maintain the function of a malformed, diseased, or injured body 
    part, or can otherwise minimize or prevent the deterioration of the 
    patient's function or condition.
        ``(B) Any durable medical equipment that can maximize the 
    patient's function consistent with the patient's physiological or 
    medical needs.
        ``(C) Wheelchairs.
        ``(D) Iron lungs.
        ``(E) Hospital beds.
    ``(2) In addition to the authority to provide durable medical 
equipment under subsection (a)(12), any customization of equipment 
owned by the patient that is durable medical equipment authorized to be 
provided to the patient under this section or section 1079(a)(5) of 
this title, and any accessory or item of supply for any such equipment, 
may be provided to the patient if the customization, accessory, or item 
of supply is essential for--
        ``(A) achieving therapeutic benefit for the patient;
        ``(B) making the equipment serviceable; or
        ``(C) otherwise assuring the proper functioning of the 
    equipment.''.
    (b) Provision of Items on Rental Basis.--Paragraph (5) of section 
1079(a) of such title is amended to read as follows:
        ``(5) Durable equipment provided under this section may be 
    provided on a rental basis.''.

SEC. 704. REHABILITATIVE THERAPY.

    Section 1077(a) of title 10, United States Code, as amended by 
sections 702 and 703, is further amended by inserting after paragraph 
(16) the following new paragraph:
        ``(17) Any rehabilitative therapy to improve, restore, or 
    maintain function, or to minimize or prevent deterioration of 
    function, of a patient when prescribed by a physician.''.

SEC. 705. REPORT ON MENTAL HEALTH BENEFITS.

    (a) Requirement for Study.--The Secretary of Defense shall carry 
out a study to determine the adequacy of the scope and availability of 
outpatient mental health benefits provided for members of the Armed 
Forces and covered beneficiaries under the TRICARE program.
    (b) Report.--Not later than March 31, 2002, the Secretary shall 
submit to the Committees on Armed Services of the Senate and the House 
of Representatives a report on the study, including the conclusions and 
any recommendations for legislation that the Secretary considers 
appropriate.
    SEC. 706. CLARIFICATION OF ELIGIBILITY FOR REIMBURSEMENT OF TRAVEL 
      EXPENSES OF ADULT ACCOMPANYING PATIENT IN TRAVEL FOR SPECIALTY 
      CARE.
    Section 1074i of title 10, United States Code, is amended by 
inserting before the period at the end the following: ``and, when 
accompaniment by an adult is necessary, for a parent or guardian of the 
covered beneficiary or another member of the covered beneficiary's 
family who is at least 21 years of age''.
    SEC. 707. TRICARE PROGRAM LIMITATIONS ON PAYMENT RATES FOR 
      INSTITUTIONAL HEALTH CARE PROVIDERS AND ON BALANCE BILLING BY 
      INSTITUTIONAL AND NONINSTITUTIONAL HEALTH CARE PROVIDERS.
    (a) Institutional Providers.--Section 1079(j) of title 10, United 
States Code, is amended--
        (1) in paragraph (2)(A)--
            (A) by striking ``(A)''; and
            (B) by striking ``may be determined under joint 
        regulations'' and inserting ``shall be determined under joint 
        regulations'';
        (2) by redesignating subparagraph (B) of paragraph (2) as 
    paragraph (4), and, in such paragraph, as so redesignated, by 
    striking ``subparagraph (A),'' and inserting ``this subsection,''; 
    and
        (3) by inserting before paragraph (4), as redesignated by 
    paragraph (2), the following new paragraph (3):
    ``(3) A contract for a plan covered by this section shall include a 
clause that prohibits each provider of services under the plan from 
billing any person covered by the plan for any balance of charges for 
services in excess of the amount paid for those services under the 
joint regulations referred to in paragraph (2), except for any unpaid 
amounts of deductibles or copayments that are payable directly to the 
provider by the person.''.
    (b) Noninstitutional Providers.--Section 1079(h)(4) of such title 
is amended--
        (1) by inserting ``(A)'' after ``(4)''; and
        (2) by adding at the end the following new subparagraph:
    ``(B) The regulations shall include a restriction that prohibits an 
individual health care professional (or other noninstitutional health 
care provider) from billing a beneficiary for services for more than 
the amount that is equal to--
        ``(i) the excess of the limiting charge (as defined in section 
    1848(g)(2) of the Social Security Act (42 U.S.C. 1395w-4(g)(2))) 
    that would be applicable if the services had been provided by the 
    professional (or other provider) as an individual health care 
    professional (or other noninstitutional health care provider) on a 
    nonassignment-related basis under part B of title XVIII of such Act 
    over the amount that is payable by the United States for those 
    services under this subsection, plus
        ``(ii) any unpaid amounts of deductibles or copayments that are 
    payable directly to the professional (or other provider) by the 
    beneficiary.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date that is 90 days after the date of the enactment of 
this Act.
    SEC. 708. IMPROVEMENTS IN ADMINISTRATION OF THE TRICARE PROGRAM.
    (a) Flexibility in Contracting.--(1) During the one-year period 
following the date of the enactment of this Act, section 1072(7) of 
title 10, United States Code, shall be deemed to be amended by striking 
``the competitive selection of contractors to financially underwrite''.
    (2) The terms and conditions of any contract to provide health care 
services under the TRICARE program entered into during the period 
described in paragraph (1) shall not be considered to be modified or 
terminated as a result of the termination of such period.
    (b) Reduction of Contract Start-Up Time.--Section 1095c(b) of such 
title is amended--
        (1) in paragraph (1)--
            (A) by striking ``The'' and inserting ``Except as provided 
        in paragraph (3), the''; and
            (B) by striking ``contract.'' and all that follows through 
        ``as soon as practicable after the award of the''; and
        (2) by adding at the end the following new paragraph:
    ``(3) The Secretary may reduce the nine-month start-up period 
required under paragraph (1) if--
        ``(A) the Secretary--
            ``(i) determines that a shorter period is sufficient to 
        ensure effective implementation of all contract requirements; 
        and
            ``(ii) submits notification to the Committees on Armed 
        Services of the House of Representatives and the Senate of the 
        Secretary's intent to reduce the nine-month start-up period; 
        and
        ``(B) 60 days have elapsed since the date of such 
    notification.''.

                     Subtitle B--Senior Health Care

    SEC. 711. CLARIFICATIONS AND IMPROVEMENTS REGARDING THE DEPARTMENT 
      OF DEFENSE MEDICARE-ELIGIBLE RETIREE HEALTH CARE FUND.
    (a) Clarification Regarding Coverage.--Subsection (b) of section 
1111 of title 10, United States Code, is amended to read as follows:
    ``(b) In this chapter:
        ``(1) The term `uniformed services retiree health care 
    programs' means the provisions of this title or any other provision 
    of law creating an entitlement to or eligibility for health care 
    for a member or former member of a participating uniformed service 
    who is entitled to retired or retainer pay, and an eligible 
    dependent under such program.
        ``(2) The term `eligible dependent' means a dependent described 
    in section 1076(a)(2) (other than a dependent of a member on active 
    duty), 1076(b), 1086(c)(2), or 1086(c)(3) of this title.
        ``(3) The term `medicare-eligible', with respect to any person, 
    means entitled to benefits under part A of title XVIII of the 
    Social Security Act (42 U.S.C. 1395c et seq.).
        ``(4) The term `participating uniformed service' means the 
    Army, Navy, Air Force, and Marine Corps, and any other uniformed 
    service that is covered by an agreement entered into under 
    subsection (c).''.
    (b) Participation of Other Uniformed Services.--(1) Section 1111 of 
such title is further amended by adding at the end the following new 
subsection:
    ``(c) The Secretary of Defense may enter into an agreement with any 
other administering Secretary (as defined in section 1072(3) of this 
title) for participation in the Fund by a uniformed service under the 
jurisdiction of that Secretary. Any such agreement shall require that 
Secretary to determine contributions to the Fund on behalf of the 
members of the uniformed service under the jurisdiction of that 
Secretary in a manner comparable to the determination with respect to 
contributions to the Fund made by the Secretary of Defense under 
section 1116 of this title, and such administering Secretary may make 
such contributions.''.
    (2) Section 1112 of such title is amended by adding at the end the 
following new paragraph:
        ``(4) Amounts paid into the Fund pursuant to section 1111(c) of 
    this title.''.
    (3) Section 1115 of such title is amended--
        (A) in subsection (a), by inserting ``participating'' before 
    ``uniformed services'';
        (B) in subparagraphs (A)(ii) and (B)(ii) of subsection (b)(1), 
    by inserting ``under the jurisdiction of the Secretary of Defense'' 
    after ``uniformed services'';
        (C) in subsection (b)(2), by inserting ``(or to the other 
    executive department having jurisdiction over the participating 
    uniformed service)'' after ``Department of Defense''; and
        (D) in subparagraphs (A) and (B) of subsection (c)(1), by 
    inserting ``participating'' before ``uniformed services''.
    (4) Section 1116(a) of such title is amended in paragraphs (1)(B) 
and (2)(B) by inserting ``under the jurisdiction of the Secretary of 
Defense'' after ``uniformed services''.
    (c) Clarification of Payments From the Fund.--(1) Subsection (a) of 
section 1113 of such title is amended to read as follows:
    ``(a) There shall be paid from the Fund amounts payable for the 
costs of all uniformed service retiree health care programs for the 
benefit of members or former members of a participating uniformed 
service who are entitled to retired or retainer pay and are medicare 
eligible, and eligible dependents who are medicare eligible.''.
    (2) Such section is further amended by adding at the end the 
following new subsections:
    ``(c)(1) In carrying out subsection (a), the Secretary of Defense 
may transfer periodically from the Fund to applicable appropriations of 
the Department of Defense, or to applicable appropriations of other 
departments or agencies, such amounts as the Secretary determines 
necessary to cover the costs chargeable to those appropriations for 
uniformed service retiree health care programs for beneficiaries under 
those programs who are medicare-eligible. Such transfers may include 
amounts necessary for the administration of such programs. Amounts so 
transferred shall be merged with and be available for the same purposes 
and for the same time period as the appropriation to which transferred. 
Upon a determination that all or part of the funds transferred from the 
Fund are not necessary for the purposes for which transferred, such 
amounts may be transferred back to the Fund. This transfer authority is 
in addition to any other transfer authority that may be available to 
the Secretary.
    ``(2) A transfer from the Fund under paragraph (1) may not be made 
to an appropriation after the end of the second fiscal year after the 
fiscal year that the appropriation is available for obligation. A 
transfer back to the Fund under paragraph (1) may not be made after the 
end of the second fiscal year after the fiscal year for which the 
appropriation to which the funds were originally transferred is 
available for obligation.
    ``(d) The Secretary of Defense shall by regulation establish the 
method or methods for calculating amounts to be transferred under 
subsection (c). Such method or methods may be based (in whole or in 
part) on a proportionate share of the volume (measured as the Secretary 
determines appropriate) of health care services provided or paid for 
under uniformed service retiree health care programs for beneficiaries 
under those programs who are medicare-eligible in relation to the total 
volume of health care services provided or paid for under Department of 
Defense health care programs.
    ``(e) The regulations prescribed by the Secretary under subsection 
(d) shall be provided to the Comptroller General not less than 60 days 
before such regulations become effective. The Comptroller General 
shall, not later than 30 days after receiving such regulations, report 
to the Secretary of Defense and Congress on the adequacy and 
appropriateness of the regulations.
    ``(f) If the Secretary of Defense enters into an agreement with 
another administering Secretary pursuant to section 1111(c), the 
Secretary of Defense may take the actions described in subsections (c), 
(d), and (e) on behalf of the beneficiaries and programs of the other 
participating uniformed service.''.
    (d) Source of Funds for Monthly Accrual Payments Into the Fund.--
Section 1116 of such title is further amended--
        (1) in subsection (a)(2)(B) (as amended by subsection (b)(4)), 
    by striking the sentence beginning ``Amounts paid into''; and
        (2) by adding at the end the following new subsection:
    ``(c) Amounts paid into the Fund under subsection (a) shall be paid 
from funds available for the health care programs of the participating 
uniformed services under the jurisdiction of the respective 
administering Secretaries.''.
    (e) Technical Amendments.--(1) Sections 1111(a), 1115(c)(2), 
1116(a)(1)(A), and 1116(a)(2)(A) of such title are amended by striking 
``Department of Defense retiree health care programs'' and inserting 
``uniformed services retiree health care programs''.
    (2) The heading for section 1111 of such title is amended to read 
as follows:
``Sec. 1111. Establishment and purpose of Fund; definitions; authority 
     to enter into agreements''.
    (3) The item relating to section 1111 in the table of sections at 
the beginning of chapter 56 of such title is amended to read as 
follows:

``1111. Establishment and purpose of Fund; definitions; authority to 
enter into agreements.''.

    (f) Effective Date.--The amendments made by this section shall take 
effect as if included in the enactment of chapter 56 of title 10, 
United States Code, by section 713(a)(1) of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted 
into law by Public Law 106-398; 114 Stat. 1654A-179).
    (g) First Year Contributions.--With respect to contributions under 
section 1116(a) of title 10, United States Code, for the first year 
that the Department of Defense Medicare-Eligible Retiree Health Care 
Fund is established under chapter 56 of such title, if the Board of 
Actuaries is unable to execute its responsibilities with respect to 
such section, the Secretary of Defense may make contributions under 
such section using methods and assumptions developed by the Secretary.

                    Subtitle C--Studies and Reports

    SEC. 721. COMPTROLLER GENERAL STUDY OF HEALTH CARE COVERAGE OF 
      MEMBERS OF THE RESERVE COMPONENTS OF THE ARMED FORCES AND THE 
      NATIONAL GUARD.
    (a) Requirement for Study.--The Comptroller General shall carry out 
a study of the needs of members of the reserve components of the Armed 
Forces and the National Guard and their families for health care 
benefits. The study shall include the following:
        (1) An analysis of how members of the reserve components of the 
    Armed Forces and the National Guard currently obtain coverage for 
    health care benefits when not on active duty, together with 
    statistics on enrollments in health care benefits plans, 
    including--
            (A) the percentage of such members who are not covered by 
        an employer health benefits plan;
            (B) the percentage of such members who are not covered by 
        an individual health benefits plan; and
            (C) the percentage of such members who are not covered by 
        any health insurance or other health benefits plan.
        (2) An assessment of the disruptions in health benefits 
    coverage that a mobilization of members of the reserve components 
    of the Armed Forces and the National Guard causes for the members 
    and their families.
        (3) An assessment of the cost and effectiveness of various 
    options for preventing or reducing disruptions described in 
    paragraph (2), including--
            (A) providing health care benefits to all members of the 
        reserve components of the Armed Forces and the National Guard 
        and their families through the TRICARE program, the Federal 
        Employees Health Benefits Program, or otherwise;
            (B) revising and extending the program of transitional 
        medical and dental care that is provided under section 1074b of 
        title 10, United States Code, for members of the Armed Forces 
        upon release from active duty served in support of a 
        contingency operation;
            (C) requiring the health benefits plans of such members, 
        including individual health benefits plans and group health 
        benefits plans, to permit such members to elect to resume 
        coverage under such health benefits plans upon release from 
        active duty in support of a contingency operation;
            (D) allowing members of the reserve components of the Armed 
        Forces and the National Guard to participate in TRICARE 
        Standard using various cost-sharing arrangements;
            (E) providing employers of members of the reserve 
        components of the Armed Forces and the National Guard with the 
        option of paying the costs of participation in the TRICARE 
        program for such members and their families using various cost-
        sharing arrangements;
            (F) providing financial assistance for paying premiums or 
        other subscription charges for continuation of coverage by 
        private sector health insurance or other health benefits plans; 
        and
            (G) any other options that the Comptroller General 
        determines advisable to consider.
    (b) Report.--Not later than May 1, 2002, the Comptroller General 
shall submit to Congress a report describing the findings of the study 
conducted under subsection (a).
    SEC. 722. COMPTROLLER GENERAL STUDY OF ADEQUACY AND QUALITY OF 
      HEALTH CARE PROVIDED TO WOMEN UNDER THE DEFENSE HEALTH PROGRAM.
    (a) Requirement for Study.--The Comptroller General shall carry out 
a study of the adequacy and quality of the health care provided to 
women under chapter 55 of title 10, United States Code.
    (b) Specific Consideration.--The study shall include an intensive 
review of the availability and quality of reproductive health care 
services.
    (c) Report.--The Comptroller General shall submit a report on the 
results of the study to Congress not later than May 1, 2002.
    SEC. 723. REPEAL OF OBSOLETE REPORT REQUIREMENT.
    Section 701 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 10 U.S.C. 1074g note) is amended by 
striking subsection (d).
    SEC. 724. COMPTROLLER GENERAL REPORT ON REQUIREMENT TO PROVIDE 
      SCREENINGS, PHYSICAL EXAMINATIONS, AND OTHER CARE FOR CERTAIN 
      MEMBERS.
    (a) Report Required.--The Comptroller General shall prepare a 
report on the advisability, need, and cost effectiveness of the 
requirements under section 1074a(d) of title 10, United States Code, 
that the Secretary of the Army provide medical and dental screenings, 
physical examinations, and certain dental care for early deploying 
members of the Selected Reserve. The report shall include any 
recommendations for changes to such requirements based on the most 
current information available on the value of periodic physical 
examinations and any role such examinations play in monitoring force 
and individual member pre-deployment and post-deployment health status.
    (b) Deadline for Submission.--The report required by subsection (a) 
shall be provided to the Committees on Armed Services of the Senate and 
the House of Representatives not later than June 1, 2002.

                       Subtitle D--Other Matters

    SEC. 731. PROHIBITION AGAINST REQUIRING MILITARY RETIREES TO 
      RECEIVE HEALTH CARE SOLELY THROUGH THE DEPARTMENT OF DEFENSE.
    (a) Prohibition.--Chapter 55 of title 10, United States Code, is 
amended by inserting after section 1086a the following new section:
``Sec. 1086b. Prohibition against requiring retired members to receive 
      health care solely through the Department of Defense
    ``The Secretary of Defense may not take any action that would 
require, or have the effect of requiring, a member or former member of 
the armed forces who is entitled to retired or retainer pay to enroll 
to receive health care from the Federal Government only through the 
Department of Defense.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
1086a the following new item:

``1086b. Prohibition against requiring retired members to receive health 
care solely through the Department of Defense.''.

    SEC. 732. FEES FOR TRAUMA AND OTHER MEDICAL CARE PROVIDED TO 
      CIVILIANS.
    (a) Requirement To Implement Procedures.--(1) Chapter 55 of title 
10, United States Code, is amended by inserting after section 1079a the 
following new section:
``Sec. 1079b. Procedures for charging fees for care provided to 
      civilians; retention and use of fees collected
    ``(a) Requirement To Implement Procedures.--The Secretary of 
Defense shall implement procedures under which a military medical 
treatment facility may charge civilians who are not covered 
beneficiaries (or their insurers) fees representing the costs, as 
determined by the Secretary, of trauma and other medical care provided 
to such civilians.
    ``(b) Use of Fees Collected.--A military medical treatment facility 
may retain and use the amounts collected under subsection (a) for--
        ``(1) trauma consortium activities;
        ``(2) administrative, operating, and equipment costs; and
        ``(3) readiness training.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 1079a the 
following new item:

``1079b. Procedures for charging fees for care provided to civilians; 
retention and use of fees collected.''.

    (b) Deadline for Implementation.--The Secretary of Defense shall 
begin to implement the procedures required by section 1079b(a) of title 
10, United States Code (as added by subsection (a)), not later than one 
year after the date of the enactment of this Act.
    SEC. 733. ENHANCEMENT OF MEDICAL PRODUCT DEVELOPMENT.
    Section 980 of title 10, United States Code, is amended--
        (1) by inserting ``(a)'' before ``Funds''; and
        (2) by adding at the end the following new subsection:
    ``(b) The Secretary of Defense may waive the prohibition in this 
section with respect to a specific research project to advance the 
development of a medical product necessary to the armed forces if the 
research project may directly benefit the subject and is carried out in 
accordance with all other applicable laws.''.
    SEC. 734. PILOT PROGRAM PROVIDING FOR DEPARTMENT OF VETERANS 
      AFFAIRS SUPPORT IN THE PERFORMANCE OF SEPARATION PHYSICAL 
      EXAMINATIONS.
    (a) Authority.--The Secretary of Defense and the Secretary of 
Veterans Affairs may jointly carry out a pilot program under which the 
Secretary of Veterans Affairs may perform the physical examinations 
required for members of the uniformed services separating from the 
uniformed services who are in one or more geographic areas designated 
for the pilot program by the Secretaries.
    (b) Reimbursement.--The Secretary of Defense shall reimburse the 
Secretary of Veterans Affairs for the cost incurred by the Secretary of 
Veterans Affairs in performing, under the pilot program, the elements 
of physical examination that are required by the Secretary concerned in 
connection with the separation of a member of a uniformed service. 
Reimbursements shall be paid out of funds available for the performance 
of separation physical examinations of members of that uniformed 
service in facilities of the uniformed services.
    (c) Agreement.--(1) If the Secretary of Defense and the Secretary 
of Veterans Affairs carry out the pilot program authorized by this 
section, the Secretaries shall enter into an agreement specifying the 
geographic areas in which the pilot program is carried out and the 
means for making reimbursement payments under subsection (b).
    (2) The other administering Secretaries shall also enter into the 
agreement to the extent that the Secretary of Defense determines 
necessary to apply the pilot program, including the requirement for 
reimbursement, to the uniformed services not under the jurisdiction of 
the Secretary of a military department.
    (d) Consultation Requirement.--In developing and carrying out the 
pilot program, the Secretary of Defense shall consult with the other 
administering Secretaries.
    (e) Period of Program.--The Secretary of Defense and the Secretary 
of Veterans Affairs may carry out the pilot program under this section 
beginning not later than July 1, 2002, and terminating on December 31, 
2005.
    (f) Reports.--(1) If the Secretary of Defense and the Secretary of 
Veterans Affairs carry out the pilot program authorized by this 
section--
        (A) not later than January 31, 2004, the Secretaries shall 
    jointly submit to Congress an interim report on the conduct of the 
    pilot program; and
        (B) not later than March 1, 2005, the Secretaries shall jointly 
    submit to Congress a final report on the conduct of the pilot 
    program.
    (2) Reports under this subsection shall include the Secretaries' 
assessment, as of the date of the report, of the efficacy of the 
performance of separation physical examinations as provided for under 
the pilot program.
    (g) Definitions.--In this section:
        (1) The term ``administering Secretaries'' has the meaning 
    given that term in section 1072(3) of title 10, United States Code.
        (2) The term ``Secretary concerned'' has the meaning given that 
    term in section 101(5) of title 37, United States Code.
    SEC. 735. MODIFICATION OF PROHIBITION ON REQUIREMENT OF 
      NONAVAILABILITY STATEMENT OR PREAUTHORIZATION.
    (a) Clarification of Covered Beneficiaries.--Subsection (a) of 
section 721 of the Floyd D. Spence National Defense Authorization Act 
for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 114 
Stat. 1654A-184) is amended by striking ``covered beneficiary under 
chapter 55 of title 10, United States Code, who is enrolled in TRICARE 
Standard,'' and inserting ``covered beneficiary under TRICARE Standard 
pursuant to chapter 55 of title 10, United States Code,''.
    (b) Repeal of Requirement for Notification Regarding Health Care 
Received From Another Source.--Subsection (b) of such section is 
repealed.
    (c) Waiver Authority.--Such section, as so amended, is further 
amended by striking subsection (c) and inserting the following new 
subsections:
    ``(b) Waiver Authority.--The Secretary may waive the prohibition in 
subsection (a) if--
        ``(1) the Secretary--
            ``(A) demonstrates that significant costs would be avoided 
        by performing specific procedures at the affected military 
        medical treatment facility or facilities;
            ``(B) determines that a specific procedure must be provided 
        at the affected military medical treatment facility or 
        facilities to ensure the proficiency levels of the 
        practitioners at the facility or facilities; or
            ``(C) determines that the lack of nonavailability statement 
        data would significantly interfere with TRICARE contract 
        administration;
        ``(2) the Secretary provides notification of the Secretary's 
    intent to grant a waiver under this subsection to covered 
    beneficiaries who receive care at the military medical treatment 
    facility or facilities that will be affected by the decision to 
    grant a waiver under this subsection;
        ``(3) the Secretary notifies the Committees on Armed Services 
    of the House of Representatives and the Senate of the Secretary's 
    intent to grant a waiver under this subsection, the reason for the 
    waiver, and the date that a nonavailability statement will be 
    required; and
        ``(4) 60 days have elapsed since the date of the notification 
    described in paragraph (3).
    ``(c) Waiver Exception for Maternity Care.--Subsection (b) shall 
not apply with respect to maternity care.''.
    (d) Effective Date.--(1) Subsection (a) of such section is amended 
by striking ``under any new contract for the provision of health care 
services''.
    (2) Subsection (d) of such section is amended by striking ``take 
effect on October 1, 2001.'' and inserting ``take effect on the earlier 
of the following:
        ``(1) The date that a new contract entered into by the 
    Secretary to provide health care services under TRICARE Standard 
    takes effect.
        ``(2) The date that is two years after the date of the 
    enactment of the National Defense Authorization Act for Fiscal Year 
    2002.''.
    (e) Report.--Not later than March 1, 2002, the Secretary of Defense 
shall submit to the Committees on Armed Services of the House of 
Representatives and the Senate a report on the Secretary's plans for 
implementing section 721 of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001, as amended by this section.
    SEC. 736. TRANSITIONAL HEALTH CARE FOR MEMBERS SEPARATED FROM 
      ACTIVE DUTY.
    (a) Permanent Authority for Involuntarily Separated Members and 
Mobilized Reserves.--Subsection (a) of section 1145 of title 10, United 
States Code, is amended--
        (1) in paragraph (1), by striking ``paragraph (2), a member'' 
    and all that follows through ``of the member),'' and inserting 
    ``paragraph (3), a member of the armed forces who is separated from 
    active duty as described in paragraph (2)'';
        (2) by redesignating paragraph (2) as paragraph (3);
        (3) by inserting after paragraph (1) the following new 
    paragraph (2):
    ``(2) This subsection applies to the following members of the armed 
forces:
        ``(A) A member who is involuntarily separated from active duty.
        ``(B) A member of a reserve component who is separated from 
    active duty to which called or ordered in support of a contingency 
    operation if the active duty is active duty for a period of more 
    than 30 days.
        ``(C) A member who is separated from active duty for which the 
    member is involuntarily retained under section 12305 of this title 
    in support of a contingency operation.
        ``(D) A member who is separated from active duty served 
    pursuant to a voluntary agreement of the member to remain on active 
    duty for a period of less than one year in support of a contingency 
    operation.''; and
        (4) in paragraph (3), as redesignated by paragraph (2), by 
    striking ``involuntarily'' each place it appears.
    (b) Conforming Amendments.--Such section 1145 is further amended--
        (1) in subsection (c)(1), by striking ``during the period 
    beginning on October 1, 1990, and ending on December 31, 2001''; 
    and
        (2) in subsection (e), by striking the first sentence.
    (c) Repeal of Superseded Authority.--(1) Section 1074b of title 10, 
United States Code, is repealed.
    (2) The table of sections at the beginning of chapter 55 of such 
title is amended by striking the item relating to section 1074b.
    (d) Transition Provision.--Notwithstanding the repeal of section 
1074b of title 10, United States Code, by subsection (c), the 
provisions of that section, as in effect before the date of the 
enactment of this Act, shall continue to apply to a member of the Armed 
Forces who is released from active duty in support of a contingency 
operation before that date.
    SEC. 737. TWO-YEAR EXTENSION OF HEALTH CARE MANAGEMENT 
      DEMONSTRATION PROGRAM.
    (a) Extension.--Subsection (d) of section 733 of the Floyd D. 
Spence National Defense Authorization Act for Fiscal Year 2001 (as 
enacted by Public Law 106-398; 114 Stat. 1654A-191) is amended by 
striking ``December 31, 2001'' and inserting ``December 31, 2003''.
    (b) Report.--Subsection (e) of that section is amended--
        (1) by striking ``Reports.--'' and inserting ``Report.--''; and
        (2) by striking ``March 15, 2002'' and inserting ``March 15, 
    2004''.
    SEC. 738. JOINT DOD-VA PILOT PROGRAM FOR PROVIDING GRADUATE MEDICAL 
      EDUCATION AND TRAINING FOR PHYSICIANS.
    (a) In General.--The Secretary of Defense and the Secretary of 
Veterans Affairs may jointly carry out a pilot program under which 
graduate medical education and training is provided to military 
physicians and physician employees of the Department of Defense and the 
Department of Veterans Affairs through one or more programs carried out 
in military medical treatment facilities of the Department of Defense 
and medical centers of the Department of Veterans Affairs.
    (b) Cost-Sharing Agreement.--If the Secretary of Defense and the 
Secretary of Veterans Affairs carry out a pilot program under 
subsection (a), the Secretaries shall enter into an agreement for 
carrying out the pilot program under which means are established for 
each respective Secretary to assist in paying the costs, with respect 
to individuals under the jurisdiction of such Secretary, incurred by 
the other Secretary in providing medical education and training under 
the pilot program.
    (c) Use of Existing Authorities.--To carry out the pilot program, 
the Secretary of Defense and the Secretary of Veterans Affairs shall 
exercise authorities provided to the Secretaries, respectively, under 
other laws relating to the furnishing or support of medical education 
and the cooperative use of facilities.
    (d) Period of Program.--If the Secretary of Defense and the 
Secretary of Veterans Affairs carry out a pilot program under 
subsection (a), such pilot program shall begin not later than August 1, 
2002, and shall terminate on July 31, 2007.
    (e) Reports.--If the Secretary of Defense and the Secretary of 
Veterans Affairs carry out a pilot program under subsection (a), not 
later than January 31, 2003, and January 31 of each year thereafter 
through 2008, the Secretaries shall jointly submit to Congress a report 
on the pilot program. The report shall cover the preceding year and 
shall include each Secretary's assessment of the efficacy of providing 
education and training under the program.

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

          Subtitle A--Procurement Management and Administration

Sec. 801. Management of procurement of services.
Sec. 802. Savings goals for procurements of services.
Sec. 803. Competition requirement for purchase of services pursuant to 
          multiple award contracts.
Sec. 804. Reports on maturity of technology at initiation of major 
          defense acquisition programs. 

                  Subtitle B--Use of Preferred Sources

Sec. 811. Applicability of competition requirements to purchases from a 
          required source.
Sec. 812. Extension of mentor-protege program.
Sec. 813. Increase of assistance limitation regarding procurement 
          technical assistance program.

 Subtitle C--Amendments to General Contracting Authorities, Procedures, 
                           and Related Matters

Sec. 821. Amendments to conform with administrative changes in 
          acquisition phase and milestone terminology and to make 
          related adjustments in certain requirements applicable at 
          milestone transition points.
Sec. 822. Follow-on production contracts for products developed pursuant 
          to prototype projects.
Sec. 823. One-year extension of program applying simplified procedures 
          to certain commercial items.
Sec. 824. Acquisition workforce qualifications.
Sec. 825. Report on implementation of recommendations of the acquisition 
          2005 task force.

                        Subtitle D--Other Matters

Sec. 831. Identification of errors made by executive agencies in 
          payments to contractors and recovery of amounts erroneously 
          paid.
Sec. 832. Codification and modification of provision of law known as the 
          ``Berry amendment''.
Sec. 833. Personal services contracts to be performed by individuals or 
          organizations abroad.
Sec. 834. Requirements regarding insensitive munitions.
Sec. 835. Inapplicability of limitation to small purchases of miniature 
          or instrument ball or roller bearings under certain 
          circumstances.
Sec. 836. Temporary emergency procurement authority to facilitate the 
          defense against terrorism or biological or chemical attack.

         Subtitle A--Procurement Management and Administration

SEC. 801. MANAGEMENT OF PROCUREMENT OF SERVICES.

    (a) Responsibility of Under Secretary of Defense for Acquisition, 
Technology, and Logistics.--Section 133(b)(2) of title 10, United 
States Code, is amended by inserting ``of goods and services'' after 
``procurement''.
    (b) Requirement for Management Structure.--(1) Chapter 137 of such 
title is amended by inserting after section 2328 the following new 
section:
``Sec. 2330. Procurement of services: management structure
    ``(a) Requirement for Management Structure.--(1) The Secretary of 
Defense shall establish and implement a management structure for the 
procurement of services for the Department of Defense. The management 
structure shall be comparable to the management structure that applies 
to the procurement of products by the Department.
    ``(2) The management structure required by paragraph (1) shall--
        ``(A) provide for a designated official in each military 
    department to exercise responsibility for the management of the 
    procurement of services for such department;
        ``(B) provide for a designated official for Defense Agencies 
    and other defense components outside the military departments to 
    exercise responsibility for the management of the procurement of 
    services for such Defense Agencies and components;
        ``(C) include a means by which employees of the departments, 
    Defense Agencies, and components are accountable to such designated 
    officials for carrying out the requirements of subsection (b); and
        ``(D) establish specific dollar thresholds and other criteria 
    for advance approvals of purchases under subsection (b)(1)(C) and 
    delegations of activity under subsection (b)(2).
    ``(b) Contracting Responsibilities of Designated Officials.--(1) 
The responsibilities of an official designated under subsection (a) 
shall include, with respect to the procurement of services for the 
military department or Defense Agencies and components by that 
official, the following:
        ``(A) Ensuring that the services are procured by means of 
    contracts or task orders that are in the best interests of the 
    Department of Defense and are entered into or issued and managed in 
    compliance with applicable statutes, regulations, directives, and 
    other requirements, regardless of whether the services are procured 
    through a contract or task order of the Department of Defense or 
    through a contract entered into or task order issued by an official 
    of the United States outside the Department of Defense.
        ``(B) Analyzing data collected under section 2330a of this 
    title on contracts that are entered into for the procurement of 
    services.
        ``(C) Approving, in advance, any procurement of services above 
    the thresholds established pursuant to subsection (a)(2)(D) that is 
    to be made through the use of--
            ``(i) a contract or task order that is not a performance-
        based contract or task order; or
            ``(ii) a contract entered into, or a task order issued, by 
        an official of the United States outside the Department of 
        Defense.
    ``(2) The responsibilities of a designated official may be 
delegated to other employees of the Department of Defense in accordance 
with the criteria established by the Secretary of Defense.
    ``(c) Definition.--In this section, the term `performance-based', 
with respect to a contract or a task order means that the contract or 
task order, respectively, includes the use of performance work 
statements that set forth requirements in clear, specific, and 
objective terms with measurable outcomes.''.
    (2) Not later than 180 days after the date of the enactment of this 
Act--
        (A) the Secretary of Defense shall establish and implement the 
    management structure required under section 2330 of title 10, 
    United States Code (as added by paragraph (1)); and
        (B) the Under Secretary of Defense for Acquisition, Technology, 
    and Logistics shall issue guidance for officials in the management 
    structure established under such section 2330 regarding how to 
    carry out their responsibilities under that section.
    (c) Tracking of Procurement of Services.--Chapter 137 of title 10, 
United States Code, as amended by subsection (b), is further amended by 
inserting after section 2330 the following new section:
``Sec. 2330a. Procurement of services: tracking of purchases
    ``(a) Data Collection Required.--The Secretary of Defense shall 
establish a data collection system to provide management information 
with regard to each purchase of services by a military department or 
Defense Agency in excess of the simplified acquisition threshold, 
regardless of whether such a purchase is made in the form of a 
contract, task order, delivery order, military interdepartmental 
purchase request, or any other form of interagency agreement.
    ``(b) Data To Be Collected.--The data required to be collected 
under subsection (a) includes the following:
        ``(1) The services purchased.
        ``(2) The total dollar amount of the purchase.
        ``(3) The form of contracting action used to make the purchase.
        ``(4) Whether the purchase was made through--
            ``(A) a performance-based contract, performance-based task 
        order, or other performance-based arrangement that contains 
        firm fixed prices for the specific tasks to be performed;
            ``(B) any other performance-based contract, performance-
        based task order, or performance-based arrangement; or
            ``(C) any contract, task order, or other arrangement that 
        is not performance based.
        ``(5) In the case of a purchase made through an agency other 
    than the Department of Defense, the agency through which the 
    purchase is made.
        ``(6) The extent of competition provided in making the purchase 
    and whether there was more than one offer.
        ``(7) Whether the purchase was made from--
            ``(A) a small business concern;
            ``(B) a small business concern owned and controlled by 
        socially and economically disadvantaged individuals; or
            ``(C) a small business concern owned and controlled by 
        women.
    ``(c) Compatibility With Data Collection System for Information 
Technology Purchases.--To the maximum extent practicable, a single data 
collection system shall be used to collect data under this section and 
information under section 2225 of this title.
    ``(d) Definitions.--In this section:
        ``(1) The term `performance-based', with respect to a contract, 
    task order, or arrangement, means that the contract, task order, or 
    arrangement, respectively, includes the use of performance work 
    statements that set forth contract requirements in clear, specific, 
    and objective terms with measurable outcomes.
        ``(2) The definitions set forth in section 2225(f) of this 
    title for the terms `simplified acquisition threshold', `small 
    business concern', `small business concern owned and controlled by 
    socially and economically disadvantaged individuals', and `small 
    business concern owned and controlled by women' shall apply.''.
    (d) Requirement for Program Review Structure.--(1) Not later than 
180 days after the date of the enactment of this Act, the Secretary of 
Defense shall issue and implement a policy that applies to the 
procurement of services by the Department of Defense a program review 
structure that is similar to the one developed for and applied to the 
procurement of weapon systems by the Department of Defense.
    (2) The program review structure for the procurement of services 
shall, at a minimum, include the following:
        (A) Standards for determining which procurements should be 
    subject to review by either the senior procurement executive of a 
    military department or the senior procurement executive of the 
    Department of Defense under such section, including criteria based 
    on dollar thresholds, program criticality, or other appropriate 
    measures.
        (B) Appropriate key decision points at which those reviews 
    should take place.
        (C) A description of the specific matters that should be 
    reviewed.
    (e) Comptroller General Review.--Not later than 90 days after the 
date on which the Secretary issues the policy required by subsection 
(d) and the Under Secretary of Defense for Acquisition, Technology, and 
Logistics issues the guidance required by subsection (b)(2), the 
Comptroller General shall submit to the Committees on Armed Services of 
the Senate and the House of Representatives an assessment of the 
compliance with the requirements of this section and the amendments 
made by this section.
    (f) Definitions.--In this section:
        (1) The term ``senior procurement executive'' means the 
    official designated as the senior procurement executive under 
    section 16(3) of the Office of Federal Procurement Policy Act (41 
    U.S.C. 414(3)).
        (2) The term ``performance-based'', with respect to a contract 
    or a task order means that the contract or task order, 
    respectively, includes the use of performance work statements that 
    set forth contract requirements in clear, specific, and objective 
    terms with measurable outcomes.
    (g) Clerical Amendments.--(1) The heading for section 2331 of title 
10, United States Code, is amended to read as follows:
``Sec. 2331. Procurement of services: contracts for professional and 
     technical services''.
    (2) The table of sections at the beginning of chapter 137 of such 
title is amended by striking the item relating to section 2331 and 
inserting the following new items:
``2330.  Procurement of services: management structure.
``2330a.Procurement of services: tracking of purchases.
``2331.  Procurement of services: contracts for professional and 
          technical services.''.
    SEC. 802. SAVINGS GOALS FOR PROCUREMENTS OF SERVICES.
    (a) Goals.--(1) It shall be an objective of the Department of 
Defense to achieve savings in expenditures for procurements of services 
through the use of--
        (A) performance-based services contracting;
        (B) appropriate competition for task orders under services 
    contracts; and
        (C) program review, spending analyses, and improved management 
    of services contracts.
    (2) In furtherance of such objective, the Department of Defense 
shall have goals to use improved management practices to achieve, over 
10 fiscal years, reductions in the total amount that would otherwise be 
expended by the Department for the procurement of services (other than 
military construction) in a fiscal year by the amount equal to 10 
percent of the total amount of the expenditures of the Department for 
fiscal year 2000 for procurement of services (other than military 
construction), as follows:
        (A) By fiscal year 2002, a three percent reduction.
        (B) By fiscal year 2003, a four percent reduction.
        (C) By fiscal year 2004, a five percent reduction.
        (D) By fiscal year 2011, a ten percent reduction.
    (b) Annual Report.--Not later than March 1, 2002, and annually 
thereafter through March 1, 2006, the Secretary of Defense shall submit 
to the congressional defense committees a report on the progress made 
toward meeting the objective and goals established in subsection (a). 
Each report shall include, at a minimum, the following information:
        (1) A summary of the steps taken or planned to be taken in the 
    fiscal year of the report to improve the management of procurements 
    of services.
        (2) A summary of the steps planned to be taken in the following 
    fiscal year to improve the management of procurements of services.
        (3) An estimate of the amount that will be expended by the 
    Department of Defense for procurements of services in the fiscal 
    year of the report.
        (4) An estimate of the amount that will be expended by the 
    Department of Defense for procurements of services in the following 
    fiscal year.
        (5) An estimate of the amount of savings that, as a result of 
    improvement of the management practices used by the Department of 
    Defense, will be achieved for the procurement of services by the 
    Department in the fiscal year of the report and in the following 
    fiscal year.
    SEC. 803. COMPETITION REQUIREMENT FOR PURCHASE OF SERVICES PURSUANT 
      TO MULTIPLE AWARD CONTRACTS.
    (a) Regulations Required.--Not later than 180 days after the date 
of the enactment of this Act, the Secretary of Defense shall promulgate 
in the Department of Defense Supplement to the Federal Acquisition 
Regulation regulations requiring competition in the purchase of 
services by the Department of Defense pursuant to multiple award 
contracts.
    (b) Content of Regulations.--(1) The regulations required by 
subsection (a) shall provide, at a minimum, that each individual 
purchase of services in excess of $100,000 that is made under a 
multiple award contract shall be made on a competitive basis unless a 
contracting officer of the Department of Defense--
        (A) waives the requirement on the basis of a determination 
    that--
            (i) one of the circumstances described in paragraphs (1) 
        through (4) of section 2304c(b) of title 10, United States 
        Code, applies to such individual purchase; or
            (ii) a statute expressly authorizes or requires that the 
        purchase be made from a specified source; and
        (B) justifies the determination in writing.
    (2) For purposes of this subsection, an individual purchase of 
services is made on a competitive basis only if it is made pursuant to 
procedures that--
        (A) require fair notice of the intent to make that purchase 
    (including a description of the work to be performed and the basis 
    on which the selection will be made) to be provided to all 
    contractors offering such services under the multiple award 
    contract; and
        (B) afford all contractors responding to the notice a fair 
    opportunity to make an offer and have that offer fairly considered 
    by the official making the purchase.
    (3) Notwithstanding paragraph (2), notice may be provided to fewer 
than all contractors offering such services under a multiple award 
contract described in subsection (c)(2)(A) if notice is provided to as 
many contractors as practicable.
    (4) A purchase may not be made pursuant to a notice that is 
provided to fewer than all contractors under paragraph (3) unless--
        (A) offers were received from at least three qualified 
    contractors; or
        (B) a contracting officer of the Department of Defense 
    determines in writing that no additional qualified contractors were 
    able to be identified despite reasonable efforts to do so.
    (c) Definitions.--In this section:
        (1) The term ``individual purchase'' means a task order, 
    delivery order, or other purchase.
        (2) The term ``multiple award contract'' means--
            (A) a contract that is entered into by the Administrator of 
        General Services under the multiple award schedule program 
        referred to in section 2302(2)(C) of title 10, United States 
        Code;
            (B) a multiple award task order contract that is entered 
        into under the authority of sections 2304a through 2304d of 
        title 10, United States Code, or sections 303H through 303K of 
        the Federal Property and Administrative Services Act of 1949 
        (41 U.S.C. 253h through 253k); and
            (C) any other indefinite delivery, indefinite quantity 
        contract that is entered into by the head of a Federal agency 
        with two or more sources pursuant to the same solicitation.
        (3) The term ``Defense Agency'' has the meaning given that term 
    in section 101(a)(11) of title 10, United States Code.
    (d) Applicability.--The regulations promulgated by the Secretary 
pursuant to subsection (a) shall take effect not later than 180 days 
after the date of the enactment of this Act and shall apply to all 
individual purchases of services that are made under multiple award 
contracts on or after the effective date, without regard to whether the 
multiple award contracts were entered into before, on, or after such 
effective date.
    SEC. 804. REPORTS ON MATURITY OF TECHNOLOGY AT INITIATION OF MAJOR 
      DEFENSE ACQUISITION PROGRAMS.
    (a) Reports Required.--Not later than March 1 of each of years 2003 
through 2006, the Secretary of Defense shall submit to the Committees 
on Armed Services of the Senate and the House of Representatives a 
report on the implementation of the requirement in paragraph 
4.7.3.2.2.2 of Department of Defense Instruction 5000.2, as in effect 
on the date of enactment of this Act, that technology must have been 
demonstrated in a relevant environment (or, preferably, in an 
operational environment) to be considered mature enough to use for 
product development in systems integration.
    (b) Contents of Reports.--Each report required by subsection (a) 
shall--
        (1) identify each case in which a major defense acquisition 
    program entered system development and demonstration during the 
    preceding calendar year and into which key technology has been 
    incorporated that does not meet the technological maturity 
    requirement described in subsection (a), and provide a 
    justification for why such key technology was incorporated; and
        (2) identify any determination of technological maturity with 
    which the Deputy Under Secretary of Defense for Science and 
    Technology did not concur and explain how the issue has been or 
    will be resolved.
    (c) Major Defense Acquisition Program Defined.--In this section, 
the term ``major defense acquisition program'' has the meaning given 
that term in section 139(a)(2) of title 10, United States Code.

                  Subtitle B--Use of Preferred Sources

    SEC. 811. APPLICABILITY OF COMPETITION REQUIREMENTS TO PURCHASES 
      FROM A REQUIRED SOURCE.
    (a) Conditions for Competition.--(1) Chapter 141 of title 10, 
United States Code, is amended by adding at the end the following:
``Sec. 2410n. Products of Federal Prison Industries: procedural 
      requirements
    ``(a) Market Research Before Purchase.--Before purchasing a product 
listed in the latest edition of the Federal Prison Industries catalog 
under section 4124(d) of title 18, the Secretary of Defense shall 
conduct market research to determine whether the Federal Prison 
Industries product is comparable in price, quality, and time of 
delivery to products available from the private sector.
    ``(b) Limited Competition Requirement.--If the Secretary determines 
that a Federal Prison Industries product is not comparable in price, 
quality, and time of delivery to products available from the private 
sector, the Secretary shall use competitive procedures for the 
procurement of the product. In conducting such a competition, the 
Secretary shall consider a timely offer from Federal Prison Industries 
for award in accordance with the specifications and evaluation factors 
specified in the solicitation.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following:

``2410n. Products of Federal Prison Industries: procedural 
requirements.''.

    (b) Applicability.--Section 2410n of title 10, United States Code 
(as added by subsection (a)), shall apply to purchases initiated on or 
after October 1, 2001.

SEC. 812. EXTENSION OF MENTOR-PROTEGE PROGRAM.

    Section 831 of the National Defense Authorization Act for Fiscal 
Year 1991 (Public Law 101-510; 10 U.S.C. 2302 note) is amended--
        (1) in subsection (j)--
            (A) in paragraph (1), by striking ``September 30, 2002'' 
        and inserting ``September 30, 2005''; and
            (B) in paragraph (2), by striking ``September 30, 2005'' 
        and inserting ``September 30, 2008''; and
        (2) in subsection (l)(3), by striking ``2004'' and inserting 
    ``2007''.
    SEC. 813. INCREASE OF ASSISTANCE LIMITATION REGARDING PROCUREMENT 
      TECHNICAL ASSISTANCE PROGRAM.
    Section 2414(a)(1) of title 10, United States Code, is amended by 
striking ``$300,000'' and inserting ``$600,000''.

Subtitle C--Amendments to General Contracting Authorities, Procedures, 
                          and Related Matters

    SEC. 821. AMENDMENTS TO CONFORM WITH ADMINISTRATIVE CHANGES IN 
      ACQUISITION PHASE AND MILESTONE TERMINOLOGY AND TO MAKE RELATED 
      ADJUSTMENTS IN CERTAIN REQUIREMENTS APPLICABLE AT MILESTONE 
      TRANSITION POINTS.
    (a) Acquisition Phase Terminology.--The following provisions of 
title 10, United States Code, are amended by striking ``engineering and 
manufacturing development'' each place it appears and inserting 
``system development and demonstration'': sections 2366(c) and 2434(a), 
and subsections (b)(3)(A)(i), (c)(3)(A), and (h)(1) of section 2432.
    (b) Milestone Transition Points.--(1) Section 811(c) of the Floyd 
D. Spence National Defense Authorization Act for Fiscal Year 2001 (as 
enacted into law by Public Law 106-398; 114 Stat. 1654A-211), is 
amended by striking ``Milestone I approval, Milestone II approval, or 
Milestone III approval (or the equivalent) of a major automated 
information system'' and inserting ``approval of a major automated 
information system at Milestone B or C or for full rate production, or 
an equivalent approval,''.
    (2) Department of Defense Directive 5000.1, as revised in 
accordance with subsection (b) of section 811 of such Act, shall be 
further revised as necessary to comply with subsection (c) of such 
section, as amended by paragraph (1), within 60 days after the date of 
the enactment of this Act.
    (c) Adjustments to Requirement for Determination of Quantity for 
Low-Rate Initial Production.--Section 2400(a) of title 10, United 
States Code, is amended--
        (1) by striking ``milestone II'' each place it appears in 
    paragraphs (1)(A), (2), (4) and (5) and inserting ``milestone B''; 
    and
        (2) in paragraph (2), by striking ``engineering and 
    manufacturing development'' and inserting ``system development and 
    demonstration''.
    (d) Adjustments to Requirements for Baseline Description and the 
Related Limitation.--Section 2435 of title 10, United States Code, is 
amended--
        (1) in subsection (b), by striking ``engineering and 
    manufacturing development'' and inserting ``system development and 
    demonstration''; and
        (2) in subsection (c)--
            (A) in paragraph (1), by striking ``demonstration and 
        validation'' and inserting ``system development and 
        demonstration'';
            (B) in paragraph (2), by striking ``engineering and 
        manufacturing development'' and inserting ``production and 
        deployment''; and
            (C) in paragraph (3), by striking ``production and 
        deployment'' and inserting ``full rate production''.
    SEC. 822. FOLLOW-ON PRODUCTION CONTRACTS FOR PRODUCTS DEVELOPED 
      PURSUANT TO PROTOTYPE PROJECTS.
    Section 845 of the National Defense Authorization Act for Fiscal 
Year 1994 (10 U.S.C. 2371 note) is amended--
        (1) by redesignating subsection (f) as subsection (g); and
        (2) by inserting after subsection (e) the following new 
    subsection (f):
    ``(f) Follow-On Production Contracts.--(1) A transaction entered 
into under this section for a prototype project that satisfies the 
conditions set forth in subsection (d)(1)(B)(i) may provide for the 
award of a follow-on production contract to the participants in the 
transaction for a specific number of units at specific target prices. 
The number of units specified in the transaction shall be determined on 
the basis of a balancing of the level of the investment made in the 
project by the participants other than the Federal Government with the 
interest of the Federal Government in having competition among sources 
in the acquisition of the product or products prototyped under the 
project.
    ``(2) A follow-on production contract provided for in a transaction 
under paragraph (1) may be awarded to the participants in the 
transaction without the use of competitive procedures, notwithstanding 
the requirements of section 2304 of title 10, United States Code, if--
        ``(A) competitive procedures were used for the selection of 
    parties for participation in the transaction;
        ``(B) the participants in the transaction successfully 
    completed the prototype project provided for in the transaction;
        ``(C) the number of units provided for in the follow-on 
    production contract does not exceed the number of units specified 
    in the transaction for such a follow-on production contract; and
        ``(D) the prices established in the follow-on production 
    contract do not exceed the target prices specified in the 
    transaction for such a follow-on production contract.''.
    SEC. 823. ONE-YEAR EXTENSION OF PROGRAM APPLYING SIMPLIFIED 
      PROCEDURES TO CERTAIN COMMERCIAL ITEMS.
    Section 4202 of the Clinger-Cohen Act of 1996 (divisions D and E of 
Public Law 104-106; 110 Stat. 652; 10 U.S.C. 2304 note) is amended in 
subsection (e) by striking ``January 1, 2002'' and inserting ``January 
1, 2003''.

SEC. 824. ACQUISITION WORKFORCE QUALIFICATIONS.

    (a) Qualifications.--Section 1724 of title 10, United States Code, 
is amended--
        (1) in subsection (a)--
            (A) by striking the matter preceding paragraph (1) and 
        inserting the following:
    ``(a) Contracting Officers.--The Secretary of Defense shall require 
that, in order to qualify to serve in an acquisition position as a 
contracting officer with authority to award or administer contracts for 
amounts above the simplified acquisition threshold referred to in 
section 2304(g) of this title, an employee of the Department of Defense 
or member of the armed forces (other than the Coast Guard) must, except 
as provided in subsections (c) and (d)--'';
            (B) in paragraph (1)--
                (i) by striking ``mandatory''; and
                (ii) by striking ``at the grade level'' and all that 
            follows and inserting ``(A) in the case of an employee, 
            serving in the position within the grade of the General 
            Schedule in which the employee is serving, and (B) in the 
            case of a member of the armed forces, in the member's 
            grade;''; and
            (C) in paragraph (3)(A), by inserting a comma after 
        ``business'';
        (2) by striking subsection (b) and inserting the following new 
    subsection:
    ``(b) GS-1102 Series Positions and Similar Military Positions.--(1) 
The Secretary of Defense shall require that in order to qualify to 
serve in a position in the Department of Defense that is in the GS-1102 
occupational series an employee or potential employee of the Department 
of Defense meet the requirements set forth in paragraph (3) of 
subsection (a). The Secretary may not require that in order to serve in 
such a position an employee or potential employee meet any of the 
requirements of paragraphs (1) and (2) of that subsection.
    ``(2) The Secretary of Defense shall require that in order for a 
member of the armed forces to be selected for an occupational specialty 
within the armed forces that (as determined by the Secretary) is 
similar to the GS-1102 occupational series a member of the armed forces 
meet the requirements set forth in paragraph (3) of subsection (a). The 
Secretary may not require that in order to be selected for such an 
occupational specialty a member meet any of the requirements of 
paragraphs (1) and (2) of that subsection.''; and
        (3) by striking subsections (c) and (d) inserting the following 
    new subsections:
    ``(c) Exceptions.--The qualification requirements imposed by the 
Secretary of Defense pursuant to subsections (a) and (b) shall not 
apply to an employee of the Department of Defense or member of the 
armed forces who--
        ``(1) served as a contracting officer with authority to award 
    or administer contracts in excess of the simplified acquisition 
    threshold on or before September 30, 2000;
        ``(2) served, on or before September 30, 2000, in a position 
    either as an employee in the GS-1102 series or as a member of the 
    armed forces in a similar occupational specialty;
        ``(3) is in the contingency contracting force; or
        ``(4) is described in subsection (e)(1)(B).
    ``(d) Waiver.--The acquisition career program board concerned may 
waive any or all of the requirements of subsections (a) and (b) with 
respect to an employee of the Department of Defense or member of the 
armed forces if the board certifies that the individual possesses 
significant potential for advancement to levels of greater 
responsibility and authority, based on demonstrated job performance and 
qualifying experience. With respect to each waiver granted under this 
subsection, the board shall set forth in a written document the 
rationale for its decision to waive such requirements. Such document 
shall be submitted to and retained by the Director of Acquisition 
Education, Training, and Career Development.
    ``(e) Developmental Opportunities.--(1) The Secretary of Defense 
may--
        ``(A) establish or continue one or more programs for the 
    purpose of recruiting, selecting, appointing, educating, 
    qualifying, and developing the careers of individuals to meet the 
    requirements in subparagraphs (A) and (B) of subsection (a)(3);
        ``(B) appoint individuals to developmental positions in those 
    programs; and
        ``(C) separate from the civil service after a three-year 
    probationary period any individual appointed under this subsection 
    who fails to meet the requirements described in subsection (a)(3).
    ``(2) To qualify for any developmental program described in 
paragraph (1)(B), an individual shall have--
        ``(A) been awarded a baccalaureate degree, with a grade point 
    average of at least 3.0 (or the equivalent), from an accredited 
    institution of higher education authorized to grant baccalaureate 
    degrees; or
        ``(B) completed at least 24 semester credit hours or the 
    equivalent of study from an accredited institution of higher 
    education in any of the disciplines of accounting, business, 
    finance, law, contracts, purchasing, economics, industrial 
    management, marketing, quantitative methods, or organization and 
    management.
    ``(f) Contingency Contracting Force.--The Secretary shall establish 
qualification requirements for the contingency contracting force 
consisting of members of the armed forces whose mission is to deploy in 
support of contingency operations and other operations of the 
Department of Defense, including--
        ``(1) completion of at least 24 semester credit hours or the 
    equivalent of study from an accredited institution of higher 
    education or similar educational institution in any of the 
    disciplines of accounting, business, finance, law, contracts, 
    purchasing, economics, industrial management, marketing, 
    quantitative methods, or organization and management; or
        ``(2) passing an examination that demonstrates skills, 
    knowledge, or abilities comparable to that of an individual who has 
    completed at least 24 semester credit hours or the equivalent of 
    study in any of the disciplines described in paragraph (1).''.
    (b) Clerical Amendment.--Section 1732(c)(2) of such title is 
amended by inserting a comma after ``business''.
    SEC. 825. REPORT ON IMPLEMENTATION OF RECOMMENDATIONS OF THE 
      ACQUISITION 2005 TASK FORCE.
    (a) Requirement for Report.--Not later than March 1, 2002, the 
Secretary of Defense shall submit to the Committees on Armed Services 
of the Senate and the House of Representatives a report on the extent 
of the implementation of the recommendations set forth in the final 
report of the Department of Defense Acquisition 2005 Task Force, 
entitled ``Shaping the Civilian Acquisition Workforce of the Future''.
    (b) Content of Report.--The report shall include the following:
        (1) For each recommendation in the final report that is being 
    implemented or that the Secretary plans to implement--
            (A) a summary of all actions that have been taken to 
        implement the recommendation; and
            (B) a schedule, with specific milestones, for completing 
        the implementation of the recommendation.
        (2) For each recommendation in the final report that the 
    Secretary does not plan to implement--
            (A) the reasons for the decision not to implement the 
        recommendation; and
            (B) a summary of any alternative actions the Secretary 
        plans to take to address the purposes underlying the 
        recommendation.
        (3) A summary of any additional actions the Secretary plans to 
    take to address concerns raised in the final report about the size 
    and structure of the acquisition workforce of the Department of 
    Defense.
    (c) Comptroller General Review.--Not later than 60 days after the 
date on which the Secretary submits the report required by subsection 
(a), the Comptroller General shall--
        (1) review the report; and
        (2) submit to the committees referred to in subsection (a) the 
    Comptroller General's assessment of the extent to which the 
    report--
            (A) complies with the requirements of this section; and
            (B) addresses the concerns raised in the final report about 
        the size and structure of the acquisition workforce of the 
        Department of Defense.

                       Subtitle D--Other Matters

    SEC. 831. IDENTIFICATION OF ERRORS MADE BY EXECUTIVE AGENCIES IN 
      PAYMENTS TO CONTRACTORS AND RECOVERY OF AMOUNTS ERRONEOUSLY PAID.
    (a) Program Required.--(1) Chapter 35 of title 31, United States 
Code, is amended by adding at the end the following new subchapter:

                    ``SUBCHAPTER VI--RECOVERY AUDITS

``Sec. 3561. Identification of errors made by executive agencies in 
     payments to contractors and recovery of amounts erroneously paid
    ``(a) Program Required.--The head of each executive agency that 
enters into contracts with a total value in excess of $500,000,000 in a 
fiscal year shall carry out a cost-effective program for identifying 
any errors made in paying the contractors and for recovering any 
amounts erroneously paid to the contractors.
    ``(b) Recovery Audits and Activities.--A program of an executive 
agency under subsection (a) shall include recovery audits and recovery 
activities. The head of the executive agency shall determine, in 
accordance with guidance provided under subsection (c), the classes of 
contracts to which recovery audits and recovery activities are 
appropriately applied.
    ``(c) OMB Guidance.--The Director of the Office of Management and 
Budget shall issue guidance for the conduct of programs under 
subsection (a). The guidance shall include the following:
        ``(1) Definitions of the terms `recovery audit' and `recovery 
    activity' for the purposes of the programs.
        ``(2) The classes of contracts to which recovery audits and 
    recovery activities are appropriately applied under the programs.
        ``(3) Protections for the confidentiality of--
            ``(A) sensitive financial information that has not been 
        released for use by the general public; and
            ``(B) information that could be used to identify a person.
        ``(4) Policies and procedures for ensuring that the 
    implementation of the programs does not result in duplicative 
    audits of contractor records.
        ``(5) Policies regarding the types of contracts executive 
    agencies may use for the procurement of recovery services, 
    including guidance for use, in appropriate circumstances, of a 
    contingency contract pursuant to which the head of an executive 
    agency may pay a contractor an amount equal to a percentage of the 
    total amount collected for the United States pursuant to that 
    contract.
        ``(6) Protections for a contractor's records and facilities 
    through restrictions on the authority of a contractor under a 
    contract for the procurement of recovery services for an executive 
    agency--
            ``(A) to require the production of any record or 
        information by any person other than an officer, employee, or 
        agent of the executive agency;
            ``(B) to establish, or otherwise have, a physical presence 
        on the property or premises of any private sector entity for 
        the purposes of performing the contract; or
            ``(C) to act as agents for the Government in the recovery 
        of funds erroneously paid to contractors.
        ``(7) Policies for the appropriate types of management 
    improvement programs authorized by section 3564 of this title that 
    executive agencies may carry out to address overpayment problems 
    and the recovery of overpayments.
``Sec. 3562. Disposition of recovered funds
    ``(a) Availability of Funds for Recovery Audits and Activities 
Program.--Funds collected under a program carried out by an executive 
agency under section 3561 of this title shall be available to the 
executive agency for the following purposes:
        ``(1) To reimburse the actual expenses incurred by the 
    executive agency in the administration of the program.
        ``(2) To pay contractors for services under the program in 
    accordance with the guidance issued under section 3561(c)(5) of 
    this title.
    ``(b) Funds Not Used for Program.--Any amounts erroneously paid by 
an executive agency that are recovered under such a program of an 
executive agency and are not used to reimburse expenses or pay 
contractors under subsection (a)--
        ``(1) shall be credited to the appropriations from which the 
    erroneous payments were made, shall be merged with other amounts in 
    those appropriations, and shall be available for the purposes and 
    period for which such appropriations are available; or
        ``(2) if no such appropriation remains available, shall be 
    deposited in the Treasury as miscellaneous receipts.
    ``(c) Priority of Other Authorized Dispositions.--Notwithstanding 
subsection (b), the authority under such subsection may not be 
exercised to use, credit, or deposit funds collected under such a 
program as provided in that subsection to the extent that any other 
provision of law requires or authorizes the crediting of such funds to 
a nonappropriated fund instrumentality, revolving fund, working-capital 
fund, trust fund, or other fund or account.

``Sec. 3563. Sources of recovery services

    ``(a) Consideration of Available Recovery Resources.--(1) In 
carrying out a program under section 3561 of this title, the head of an 
executive agency shall consider all resources available to that 
official to carry out the program.
    ``(2) The resources considered by the head of an executive agency 
for carrying out the program shall include the resources available to 
the executive agency for such purpose from the following sources:
        ``(A) The executive agency.
        ``(B) Other departments and agencies of the United States.
        ``(C) Private sector sources.
    ``(b) Compliance With Applicable Law and Regulations.--Before 
entering into a contract with a private sector source for the 
performance of services under a program of the executive agency carried 
out under section 3561 of this title, the head of an executive agency 
shall comply with--
        ``(1) any otherwise applicable provisions of Office of 
    Management and Budget Circular A-76; and
        ``(2) any other applicable provision of law or regulation with 
    respect to the selection between employees of the United States and 
    private sector sources for the performance of services.

``Sec. 3564. Management improvement programs

    ``In accordance with guidance provided by the Director of the 
Office of Management and Budget under section 3561 of this title, the 
head of an executive agency required to carry out a program under such 
section 3561 may carry out a program for improving management processes 
within the executive agency--
        ``(1) to address problems that contribute directly to the 
    occurrence of errors in the paying of contractors of the executive 
    agency; or
        ``(2) to improve the recovery of overpayments due to the 
    agency.
``Sec. 3565. Relationship to authority of inspectors general
    ``Nothing in this subchapter shall be construed as impairing the 
authority of an Inspector General under the Inspector General Act of 
1978 or any other provision of law.

``Sec. 3566. Privacy protections

    ``Any nongovernmental entity that, in the course of recovery 
auditing or recovery activity under this subchapter, obtains 
information that identifies an individual or with respect to which 
there is a reasonable basis to believe that the information can be used 
to identify an individual, may not disclose the information for any 
purpose other than such recovery auditing or recovery activity and 
governmental oversight of such activity, unless disclosure for that 
other purpose is authorized by the individual to the executive agency 
that contracted for the performance of the recovery auditing or 
recovery activity.

``Sec. 3567. Definition of executive agency

    ``Notwithstanding section 102 of this title, in this subchapter, 
the term `executive agency' has the meaning given that term in section 
4(1) of the Office of Federal Procurement Policy Act (41 U.S.C. 
403(1)).''.
    (2) The table of sections at the beginning of chapter 35 of such 
title is amended by adding at the end the following:

                    ``SUBCHAPTER VI--RECOVERY AUDITS

``3561. Identification of errors made by executive agencies in payments 
to contractors and recovery of amounts erroneously paid.

``3562. Disposition of recovered funds.

``3563. Sources of recovery services.

``3564. Management improvement programs.

``3565. Relationship to authority of inspectors general.

``3566. Privacy protections.

``3567. Definition of executive agency.''.

    (b) Reports.--(1) Not later than 30 months after the date of the 
enactment of this Act, and annually for each of the first two years 
following the year of the first report, the Director of the Office of 
Management and Budget shall submit to the Committee on Government 
Reform of the House of Representatives and the Committee on 
Governmental Affairs of the Senate, a report on the implementation of 
subchapter VI of chapter 35 of title 31, United States Code (as added 
by subsection (a)).
    (2) Each report shall include--
        (A) a general description and evaluation of the steps taken by 
    the heads of executive agencies to carry out the programs under 
    such subchapter, including any management improvement programs 
    carried out under section 3564 of such title 31;
        (B) the costs incurred by executive agencies to carry out the 
    programs under such subchapter; and
        (C) the amounts recovered under the programs under such 
    subchapter.
    (c) Conforming Amendment.--Section 3501 of such title is amended by 
inserting ``and subchapter VI'' after ``section 3513''.
    SEC. 832. CODIFICATION AND MODIFICATION OF PROVISION OF LAW KNOWN 
      AS THE ``BERRY AMENDMENT''.
    (a) Buy American Requirements.--(1) Chapter 148 of title 10, United 
States Code, is amended by inserting after section 2533 the following 
new section:
``Sec. 2533a. Requirement to buy certain articles from American 
      sources; exceptions
    ``(a) Requirement.--Except as provided in subsections (c) through 
(h), funds appropriated or otherwise available to the Department of 
Defense may not be used for the procurement of an item described in 
subsection (b) if the item is not grown, reprocessed, reused, or 
produced in the United States.
    ``(b) Covered Items.--An item referred to in subsection (a) is any 
of the following:
        ``(1) An article or item of--
            ``(A) food;
            ``(B) clothing;
            ``(C) tents, tarpaulins, or covers;
            ``(D) cotton and other natural fiber products, woven silk 
        or woven silk blends, spun silk yarn for cartridge cloth, 
        synthetic fabric or coated synthetic fabric (including all 
        textile fibers and yarns that are for use in such fabrics), 
        canvas products, or wool (whether in the form of fiber or yarn 
        or contained in fabrics, materials, or manufactured articles); 
        or
            ``(E) any item of individual equipment manufactured from or 
        containing such fibers, yarns, fabrics, or materials.
        ``(2) Specialty metals, including stainless steel flatware.
        ``(3) Hand or measuring tools.
    ``(c) Availability Exception.--Subsection (a) does not apply to the 
extent that the Secretary of Defense or the Secretary of the military 
department concerned determines that satisfactory quality and 
sufficient quantity of any such article or item described in subsection 
(b)(1) or specialty metals (including stainless steel flatware) grown, 
reprocessed, reused, or produced in the United States cannot be 
procured as and when needed at United States market prices.
    ``(d) Exception for Certain Procurements Outside the United 
States.--Subsection (a) does not apply to the following:
        ``(1) Procurements outside the United States in support of 
    combat operations.
        ``(2) Procurements by vessels in foreign waters.
        ``(3) Emergency procurements or procurements of perishable 
    foods by an establishment located outside the United States for the 
    personnel attached to such establishment.
    ``(e) Exception for Specialty Metals and Chemical Warfare 
Protective Clothing.--Subsection (a) does not preclude the procurement 
of specialty metals or chemical warfare protective clothing produced 
outside the United States if--
        ``(1) such procurement is necessary--
            ``(A) to comply with agreements with foreign governments 
        requiring the United States to purchase supplies from foreign 
        sources for the purposes of offsetting sales made by the United 
        States Government or United States firms under approved 
        programs serving defense requirements; or
            ``(B) in furtherance of agreements with foreign governments 
        in which both such governments agree to remove barriers to 
        purchases of supplies produced in the other country or services 
        performed by sources of the other country; and
        ``(2) any such agreement with a foreign government complies, 
    where applicable, with the requirements of section 36 of the Arms 
    Export Control Act (22 U.S.C. 2776) and with section 2457 of this 
    title.
    ``(f) Exception for Certain Foods.--Subsection (a) does not 
preclude the procurement of foods manufactured or processed in the 
United States.
    ``(g) Exception for Commissaries, Exchanges, and Other 
Nonappropriated Fund Instrumentalities.--Subsection (a) does not apply 
to items purchased for resale purposes in commissaries, exchanges, or 
nonappropriated fund instrumentalities operated by the Department of 
Defense.
    ``(h) Exception for Small Purchases.--Subsection (a) does not apply 
to purchases for amounts not greater than the simplified acquisition 
threshold referred to in section 2304(g) of this title.
    ``(i) Applicability to Contracts and Subcontracts for Procurement 
of Commercial Items.--This section is applicable to contracts and 
subcontracts for the procurement of commercial items notwithstanding 
section 34 of the Office of Federal Procurement Policy Act (41 U.S.C. 
430).
    ``(j) Geographic Coverage.--In this section, the term `United 
States' includes the possessions of the United States.''.
    (2) The table of sections at the beginning of subchapter V of such 
chapter is amended by inserting after the item relating to section 2533 
the following new item:

``2533a. Requirement to buy certain articles from American sources; 
exceptions.''.

    (b) Repeal of Source Provisions.--The following provisions of law 
are repealed:
        (1) Section 9005 of the Department of Defense Appropriations 
    Act, 1993 (Public Law 102-396; 10 U.S.C. 2241 note).
        (2) Section 8109 of the Department of Defense Appropriations 
    Act, 1997 (as contained in section 101(b) of Public Law 104-208; 
    110 Stat. 3009-111; 10 U.S.C. 2241 note).
    SEC. 833. PERSONAL SERVICES CONTRACTS TO BE PERFORMED BY 
      INDIVIDUALS OR ORGANIZATIONS ABROAD.
    Section 2 of the State Department Basic Authorities Act of 1956 (22 
U.S.C. 2669) is amended by adding at the end the following:
        ``(n) exercise the authority provided in subsection (c), upon 
    the request of the Secretary of Defense or the head of any other 
    department or agency of the United States, to enter into personal 
    service contracts with individuals to perform services in support 
    of the Department of Defense or such other department or agency, as 
    the case may be.''.
    SEC. 834. REQUIREMENTS REGARDING INSENSITIVE MUNITIONS.
    (a) Requirement To Ensure Safety.--(1) Chapter 141 of title 10, 
United States Code, is amended by inserting after section 2388 the 
following new section:
``Sec. 2389. Ensuring safety regarding insensitive munitions
    ``The Secretary of Defense shall ensure, to the extent practicable, 
that insensitive munitions under development or procurement are safe 
throughout development and fielding when subject to unplanned 
stimuli.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 2388 the 
following new item:
``2389. Ensuring safety regarding insensitive munitions.''.

    (b) Report Requirement.--At the same time that the budgets for 
fiscal years 2003 through 2005 are submitted to Congress under section 
1105(a) of title 31, United States Code, the Secretary of Defense shall 
submit to the Committees on Armed Services of the Senate and the House 
of Representatives a report on insensitive munitions. The reports shall 
include the following:
        (1) The number of waivers granted pursuant to Department of 
    Defense Regulation 5000.2-R (June 2001) during the preceding fiscal 
    year, together with a discussion of the justifications for the 
    waivers.
        (2) Identification of the funding proposed for insensitive 
    munitions in the budget with which the report is submitted, 
    together with an explanation of the proposed funding.
    SEC. 835. INAPPLICABILITY OF LIMITATION TO SMALL PURCHASES OF 
      MINIATURE OR INSTRUMENT BALL OR ROLLER BEARINGS UNDER CERTAIN 
      CIRCUMSTANCES.
    (a) In General.--Section 2534 of title 10, United States Code, is 
amended by adding at the end the following new subsection:
    ``(j) Inapplicability to Certain Contracts To Purchase Ball 
Bearings or Roller Bearings.--(1) This section does not apply with 
respect to a contract or subcontract to purchase items described in 
subsection (a)(5) (relating to ball bearings and roller bearings) for 
which--
        ``(A) the amount of the purchase does not exceed $2,500;
        ``(B) the precision level of the ball or roller bearings to be 
    procured under the contract or subcontract is rated lower than the 
    rating known as Annual Bearing Engineering Committee (ABEC) 5 or 
    Roller Bearing Engineering Committee (RBEC) 5, or an equivalent of 
    such rating;
        ``(C) at least two manufacturers in the national technology and 
    industrial base that are capable of producing the ball or roller 
    bearings have not responded to a request for quotation issued by 
    the contracting activity for that contract or subcontract; and
        ``(D) no bearing to be procured under the contract or 
    subcontract has a basic outside diameter (exclusive of flange 
    diameters) in excess of 30 millimeters.
    ``(2) Paragraph (1) does not apply to a purchase if such purchase 
would result in the total amount of purchases of ball bearings and 
roller bearings to satisfy requirements under Department of Defense 
contracts, using the authority provided in such paragraph, to exceed 
$200,000 during the fiscal year of such purchase.''.
    (b) Applicability.--Subsection (j) of such section 2534 (as added 
by subsection (a)) shall apply with respect to a contract or 
subcontract to purchase ball bearings or roller bearings entered into 
after the date of the enactment of this Act.
    SEC. 836. TEMPORARY EMERGENCY PROCUREMENT AUTHORITY TO FACILITATE 
      THE DEFENSE AGAINST TERRORISM OR BIOLOGICAL OR CHEMICAL ATTACK.
    (a) Increased Flexibility for Use of Streamlined Procedures.--The 
following special authorities apply to procurements of property and 
services by or for the Department of Defense for which funds are 
obligated during fiscal year 2002 and 2003:
        (1) Micropurchase and simplified acquisition thresholds.--For 
    any procurement of property or services for use (as determined by 
    the Secretary of Defense) to facilitate the defense against 
    terrorism or biological or chemical attack against the United 
    States--
            (A) the amount specified in subsections (c), (d), and (f) 
        of section 32 of the Office of Federal Procurement Policy Act 
        (41 U.S.C. 428) shall be deemed to be $15,000 in the 
        administration of that section with respect to such 
        procurement; and
            (B) the term ``simplified acquisition threshold'' means, in 
        the case of any contract to be awarded and performed, or 
        purchase to be made--
                (i) inside the United States in support of a 
            contingency operation, $250,000; or
                (ii) outside the United States in support of a 
            contingency operation, $500,000.
        (2) Commercial item treatment for procurements of 
    biotechnology.--For any procurement of biotechnology property or 
    biotechnology services for use (as determined by the Secretary of 
    Defense) to facilitate the defense against terrorism or biological 
    attack against the United States, the procurement shall be treated 
    as being a procurement of commercial items.
    (b) Recommendations for Additional Emergency Procurement Authority 
To Support Anti-Terrorism Operations.--Not later than March 1, 2002, 
the Secretary of Defense shall submit to the Committees on Armed 
Services of the Senate and the House of Representatives a report 
containing the Secretary's recommendations for additional emergency 
procurement authority that the Secretary (subject to the direction of 
the President) determines necessary to support operations carried out 
to combat terrorism.
    (c) Termination of Authority.--No contract may be entered into 
pursuant to the authority provided in subsection (a) after September 
30, 2003.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

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

Sec. 901. Deputy Under Secretary of Defense for Personnel and Readiness.
Sec. 902. Sense of Congress on functions of new Office of Force 
          Transformation in the Office of the Secretary of Defense.
Sec. 903. Suspension of reorganization of engineering and technical 
          authority policy within the Naval Sea Systems Command pending 
          report to congressional committees.

                      Subtitle B--Space Activities

Sec. 911. Joint management of space programs.
Sec. 912. Requirement to establish in the Air Force an officer career 
          field for space.
Sec. 913. Secretary of Defense report on space activities.
Sec. 914. Comptroller General assessment of implementation of 
          recommendations of Space Commission.
Sec. 915. Sense of Congress regarding officers recommended to be 
          appointed to serve as Commander of United States Space 
          Command.

                           Subtitle C--Reports

Sec. 921. Revised requirement for Chairman of the Joint Chiefs of Staff 
          to advise Secretary of Defense on the assignment of roles and 
          missions to the Armed Forces.
Sec. 922. Revised requirements for content of annual report on joint 
          warfighting experimentation.
Sec. 923. Repeal of requirement for one of three remaining required 
          reports on activities of Joint Requirements Oversight Council.
Sec. 924. Revised joint report on establishment of national 
          collaborative information analysis capability.

                        Subtitle D--Other Matters

Sec. 931. Conforming amendments relating to change of name of Military 
          Airlift Command to Air Mobility Command.
Sec. 932. Organizational realignment for Navy Director for Expeditionary 
          Warfare.

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

    SEC. 901. DEPUTY UNDER SECRETARY OF DEFENSE FOR PERSONNEL AND 
      READINESS.
    (a) Establishment of Position.--(1) Chapter 4 of title 10, United 
States Code, is amended by inserting after section 136 the following 
new section:
``Sec. 136a. Deputy Under Secretary of Defense for Personnel and 
     Readiness
    ``(a) There is a Deputy Under Secretary of Defense for Personnel 
and Readiness, appointed from civilian life by the President, by and 
with the advice and consent of the Senate.
    ``(b) The Deputy Under Secretary of Defense for Personnel and 
Readiness shall assist the Under Secretary of Defense for Personnel and 
Readiness in the performance of the duties of that position. The Deputy 
Under Secretary of Defense for Personnel and Readiness shall act for, 
and exercise the powers of, the Under Secretary when the Under 
Secretary is absent or disabled.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 136 the 
following new item:

``136a. Deputy Under Secretary of Defense for Personnel and 
Readiness.''.

    (b) Executive Level IV.--Section 5315 of title 5, United States 
Code, is amended by inserting after ``Deputy Under Secretary of Defense 
for Policy.'' the following:
        ``Deputy Under Secretary of Defense for Personnel and 
    Readiness.''.
    (c) Reduction in Number of Assistant Secretaries of Defense.--(1) 
Section 138(a) of title 10, United States Code, is amended by striking 
``nine'' and inserting ``eight''.
    (2) Section 5315 of title 5, United States Code, is amended by 
striking ``(9)'' after ``Assistant Secretaries of Defense'' and 
inserting ``(8)''.
    (d) Effective Date.--The amendments made by subsection (c) shall 
take effect on the date on which a person is first appointed as Deputy 
Under Secretary of Defense for Personnel and Readiness.
    SEC. 902. SENSE OF CONGRESS ON FUNCTIONS OF NEW OFFICE OF FORCE 
      TRANSFORMATION IN THE OFFICE OF THE SECRETARY OF DEFENSE.
    (a) Findings.--Congress finds the following:
        (1) The Armed Forces should give careful consideration to 
    implementing transformation to meet operational challenges and 
    exploit opportunities resulting from changes in the threat 
    environment and the emergence of new technologies.
        (2) The Department of Defense 2001 Quadrennial Defense Review 
    Report, issued by the Secretary of Defense on September 30, 2001, 
    states that ``The purpose of transformation is to maintain or 
    improve U.S. military preeminence in the face of potential 
    disproportionate discontinuous changes in the strategic 
    environment. Transformation must therefore be focused on emerging 
    strategic and operational challenges and the opportunities created 
    by these challenges.''.
        (3) That report further states that ``To support the 
    transformation effort, and to foster innovation and 
    experimentation, the Department will establish a new office 
    reporting directly to the Secretary and Deputy Secretary of 
    Defense.''.
    (b) Sense of Congress on Functions of Office of Force 
Transformation.--It is the sense of Congress that the Director of the 
Office of Force Transformation within the Office of the Secretary of 
Defense should advise the Secretary on--
        (1) development of force transformation strategies to ensure 
    that the military of the future is prepared to dissuade potential 
    military competitors and, if that fails, to fight and win 
    decisively across the spectrum of future conflict;
        (2) ensuring a continuous and broadly focused transformation 
    process;
        (3) service and joint acquisition and experimentation efforts, 
    funding for experimentation efforts, promising operational concepts 
    and technologies, and other transformation activities, as 
    appropriate; and
        (4) development of service and joint operational concepts, 
    transformation implementation strategies, and risk management 
    strategies.
    (c) Sense of Congress on Funding.--It is the sense of Congress that 
the Secretary of Defense should consider providing funding adequate for 
sponsoring selective prototyping efforts, war games, and studies and 
analyses and for appropriate staffing, as recommended by the Director 
of the Office of Force Transformation referred to in subsection (b).
    SEC. 903. SUSPENSION OF REORGANIZATION OF ENGINEERING AND TECHNICAL 
      AUTHORITY POLICY WITHIN THE NAVAL SEA SYSTEMS COMMAND PENDING 
      REPORT TO CONGRESSIONAL COMMITTEES.
    (a) Suspension of Reorganization.--During the period specified in 
subsection (b), the Secretary of the Navy may not grant final approval 
for any reorganization in engineering or technical authority policy for 
the Naval Sea Systems Command or any of the subsidiary activities of 
that command.
    (b) Report.--Subsection (a) applies during the period beginning on 
the date of the enactment of this Act and ending 45 days after the date 
on which the Secretary submits to the congressional defense committees 
a report that sets forth in detail the Navy's plans and justification 
for the reorganization of engineering and technical authority policy 
within the Naval Sea Systems Command.

                      Subtitle B--Space Activities

SEC. 911. JOINT MANAGEMENT OF SPACE PROGRAMS.

    (a) In General.--Part IV of subtitle A of title 10, United States 
Code, is amended by inserting after chapter 134 the following new 
chapter:

                     ``CHAPTER 135--SPACE PROGRAMS

``Sec.

``2271. Management of space programs: joint program offices and officer 
management programs.

``Sec. 2271. Management of space programs: joint program offices and 
     officer management programs
    ``(a) Joint Program Offices.--The Secretary of Defense shall take 
appropriate actions to ensure, to the maximum extent practicable, that 
space development and acquisition programs of the Department of Defense 
are carried out through joint program offices.
    ``(b) Officer Management Programs.--(1) The Secretary of Defense 
shall take appropriate actions to ensure, to the maximum extent 
practicable, that--
        ``(A) Army, Navy, and Marine Corps officers, as well as Air 
    Force officers, are assigned to the space development and 
    acquisition programs of the Department of Defense; and
        ``(B) Army, Navy, and Marine Corps officers, as well as Air 
    Force officers, are eligible, on the basis of qualification, to 
    hold leadership positions within the joint program offices referred 
    to in subsection (a).
    ``(2) The Secretary of Defense shall designate those positions in 
the Office of the National Security Space Architect of the Department 
of Defense (or any successor office) that qualify as joint duty 
assignment positions for purposes of chapter 38 of this title.''.
    (b) Clerical Amendment.--The tables of chapters at the beginning of 
such subtitle and the beginning of part IV of such subtitle are amended 
by inserting after the item relating to chapter 134 the following new 
item:

``135. Space Programs............................................2271''.

    SEC. 912. REQUIREMENT TO ESTABLISH IN THE AIR FORCE AN OFFICER 
      CAREER FIELD FOR SPACE.
    (a) In General.--Chapter 807 of title 10, United States Code, is 
amended by adding at the end the following new section:

``Sec. 8084. Officer career field for space

    ``The Secretary of the Air Force shall establish and implement 
policies and procedures to develop a career field for officers in the 
Air Force with technical competence in space-related matters to have 
the capabilty to--
        ``(1) develop space doctrine and concepts of space operations;
        ``(2) develop space systems; and
        ``(3) operate space systems.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:
``8084. Officer career field for space.''.
    SEC. 913. SECRETARY OF DEFENSE REPORT ON SPACE ACTIVITIES.
    (a) Report.--(1) Not later than March 15, 2002, the Secretary of 
Defense shall submit to the Committee on Armed Services of the Senate 
and the Committee on Armed Services of the House of Representatives a 
report on problems in the management and organization of the Department 
of Defense for space activities that were identified in the report of 
the Space Commission, including a description of the actions taken by 
the Secretary to address those problems.
    (2) For purposes of paragraph (1), the term ``report of the Space 
Commission'' means the report of the Commission To Assess United States 
National Security Space Management and Organization, dated January 11, 
2001, and submitted to Congress under section 1623 of the National 
Defense Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 
Stat. 815).
    (b) Matters To Be Included.--The report of the Secretary of Defense 
under subsection (a) shall include a description of, and rationale for, 
each of the following:
        (1) Actions taken by the Secretary of Defense to realign 
    management authorities and responsibilities for space programs of 
    the Department of Defense.
        (2) Steps taken to--
            (A) establish a career field for officers in the Air Force 
        with technical competence in space-related matters, in 
        accordance with section 8084 of title 10, United States Code, 
        as added by section 912;
            (B) ensure that officers in that career field are treated 
        fairly and objectively within the overall Air Force officer 
        personnel system; and
            (C) ensure that the primary responsibility for management 
        of that career field is assigned appropriately.
        (3) Other steps taken within the Air Force to ensure proper 
    priority for development of space systems.
        (4) Steps taken to ensure that the interests of the Army, the 
    Navy, and the Marine Corps in development and acquisition of space 
    systems, and in the operations of space systems, are protected.
        (5) Steps taken by the Office of the Secretary of Defense and 
    the military departments to ensure that the Army, Navy, and Marine 
    Corps continue to develop military and civilian personnel with the 
    required expertise in space system development, acquisition, 
    management, and operation.
        (6) Steps taken to ensure adequate oversight by the Office of 
    the Secretary of Defense of the actions of the Under Secretary of 
    the Air Force as the acquisition executive for Department of 
    Defense space programs.
        (7) Steps taken to improve oversight of the level of funding 
    provided for space programs and the level of personnel resources 
    provided for space programs.
    SEC. 914. COMPTROLLER GENERAL ASSESSMENT OF IMPLEMENTATION OF 
      RECOMMENDATIONS OF SPACE COMMISSION.
    (a) Assessment.--(1) The Comptroller General shall carry out an 
assessment through February 15, 2003, of the actions taken by the 
Secretary of Defense in implementing the recommendations in the report 
of the Space Commission that are applicable to the Department of 
Defense.
    (2) For purposes of paragraph (1), the term ``report of the Space 
Commission'' means the report of the Commission To Assess United States 
National Security Space Management and Organization, dated January 11, 
2001, and submitted to Congress under section 1623 of the National 
Defense Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 
Stat. 815).
    (b) Reports.--Not later than February 15 of each of 2002 and 2003, 
the Comptroller General shall submit to the Committee on Armed Services 
of the Senate and the Committee on Armed Services of the House of 
Representatives a report on the assessment carried out under subsection 
(a). Each report shall set forth the results of the assessment as of 
the date of such report.
    SEC. 915. SENSE OF CONGRESS REGARDING OFFICERS RECOMMENDED TO BE 
      APPOINTED TO SERVE AS COMMANDER OF UNITED STATES SPACE COMMAND.
    It is the sense of Congress that the position of commander of the 
United States Space Command, a position of importance and 
responsibility designated by the President under section 601 of title 
10, United States Code, to carry the grade of general or admiral and 
covered by section 604 of that title, relating to recommendations by 
the Secretary of Defense for appointment of officers to certain four-
star joint officer positions, should be filled by the best qualified 
officer of the Army, Navy, Air Force, or Marine Corps, rather than by 
officers from the same armed force that has traditionally provided 
officers for that position.

                          Subtitle C--Reports

    SEC. 921. REVISED REQUIREMENT FOR CHAIRMAN OF THE JOINT CHIEFS OF 
      STAFF TO ADVISE SECRETARY OF DEFENSE ON THE ASSIGNMENT OF ROLES 
      AND MISSIONS TO THE ARMED FORCES.
    (a) Assessment During Quadrennial Defense Review.--Section 118(e) 
of title 10, United States Code, is amended--
        (1) by inserting ``(1)'' after ``(e) CJCS Review.--'';
        (2) by designating the second and third sentences as paragraph 
    (3); and
        (3) by inserting after paragraph (1), as designated by 
    paragraph (1) of this subsection, the following new paragraph:
    ``(2) The Chairman shall include as part of that assessment the 
Chairman's assessment of the assignment of functions (or roles and 
missions) to the armed forces, together with any recommendations for 
changes in assignment that the Chairman considers necessary to achieve 
maximum efficiency of the armed forces. In preparing the assessment 
under this paragraph, the Chairman shall consider (among other matters) 
the following:
        ``(A) Unnecessary duplication of effort among the armed forces.
        ``(B) Changes in technology that can be applied effectively to 
    warfare.''.
    (b) Repeal of Requirement for Triennial Report on Assignment of 
Roles and Missions.--Section 153 of such title is amended--
        (1) by striking ``(a) Planning; Advice; Policy Formulation.--
    ''; and
        (2) by striking subsection (b).
    (c) Assessment With Respect to 2001 QDR.--With respect to the 2001 
Quadrennial Defense Review, the Chairman of the Joint Chiefs of Staff 
shall submit to Congress a separate assessment of functions (or roles 
and missions) of the Armed Forces in accordance with paragraph (2) of 
section 118(e) of title 10, United States Code, as added by subsection 
(a)(3). Such assessment shall be based on the findings in the 2001 
Quadrennial Defense Review, issued by the Secretary of Defense on 
September 30, 2001, and shall be submitted to Congress not later than 
one year after the date of the enactment of this Act.
    SEC. 922. REVISED REQUIREMENTS FOR CONTENT OF ANNUAL REPORT ON 
      JOINT WARFIGHTING EXPERIMENTATION.
    Section 485(b) of title 10, United States Code, is amended--
        (1) in paragraph (4)(E)--
            (A) by inserting ``(by lease or by purchase)'' after 
        ``acquire''; and
            (B) by inserting ``(including any prototype)'' after ``or 
        equipment''; and
        (2) by adding at the end the following new paragraph:
        ``(6) A specific assessment of whether there is a need for a 
    major force program for funding--
            ``(A) joint warfighting experimentation; and
            ``(B) the development and acquisition of any technology the 
        value of which has been empirically demonstrated through such 
        experimentation.''.
    SEC. 923. REPEAL OF REQUIREMENT FOR ONE OF THREE REMAINING REQUIRED 
      REPORTS ON ACTIVITIES OF JOINT REQUIREMENTS OVERSIGHT COUNCIL.
    Section 916 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-231) is amended--
        (1) in the section heading, by striking ``semiannual report'' 
    and inserting ``reports'';
        (2) in subsection (a)--
            (A) by striking ``Semiannual Report'' in the subsection 
        heading and inserting ``Reports Required''; and
            (B) by striking ``five semiannual''; and
        (3) in subsection (b)--
            (A) by striking ``September 1, 2002,''; and
            (B) by striking the period at the end of the last sentence 
        and inserting ``, except that the last report shall cover all 
        of the preceding fiscal year.''.
    SEC. 924. REVISED JOINT REPORT ON ESTABLISHMENT OF NATIONAL 
      COLLABORATIVE INFORMATION ANALYSIS CAPABILITY.
    (a) Revised Report.--At the same time as the submission of the 
budget for fiscal year 2003 under section 1105 of title 31, United 
States Code, the Secretary of Defense and the Director of Central 
Intelligence shall submit to the congressional defense committees and 
the congressional intelligence committees a revised report assessing 
alternatives for the establishment of a national collaborative 
information analysis capability.
    (b) Matters Included.--The revised report shall cover the same 
matters required to be included in the DOD/CIA report, except that the 
alternative architectures assessed in the revised report shall be 
limited to architectures that include the participation of all Federal 
agencies involved in the collection of intelligence. The revised report 
shall also identify any issues that would require legislative or 
regulatory changes in order to implement the preferred architecture 
identified in the revised report.
    (c) Officials To Be Consulted.--The revised report shall be 
prepared after consultation with all appropriate Federal officials, 
including the following:
        (1) The Secretary of the Treasury.
        (2) The Secretary of Commerce.
        (3) The Secretary of State.
        (4) The Attorney General.
        (5) The Director of the Federal Bureau of Investigation.
        (6) The Administrator of the Drug Enforcement Administration.
    (d) Definitions.--In this section:
        (1) Dod/cia report.--The term ``DOD/CIA report'' means the 
    joint report required by section 933 of the Floyd D. Spence 
    National Defense Authorization Act for Fiscal Year 2001 (as enacted 
    into law by Public Law 106-398; 114 Stat. 1654A-237).
        (2) Congressional intelligence committees.--The term 
    ``congressional intelligence committees'' means the Select 
    Committee on Intelligence of the Senate and the Permanent Select 
    Committee on Intelligence of the House of Representatives.

                       Subtitle D--Other Matters

    SEC. 931. CONFORMING AMENDMENTS RELATING TO CHANGE OF NAME OF 
      MILITARY AIRLIFT COMMAND TO AIR MOBILITY COMMAND.
    (a) Current References in Title 10, United States Code.--Section 
2554(d) of title 10, United States Code, and section 2555(a) of such 
title (relating to transportation services for international Girl Scout 
events) are amended by striking ``Military Airlift Command'' and 
inserting ``Air Mobility Command''.
    (b) Repeal of Obsolete Provision.--Section 8074 of such title is 
amended by striking subsection (c).
    (c) References in Title 37, United States Code.--Sections 430(c) 
and 432(b) of title 37, United States Code, are amended by striking 
``Military Airlift Command'' and inserting ``Air Mobility Command''.
    SEC. 932. ORGANIZATIONAL REALIGNMENT FOR NAVY DIRECTOR FOR 
      EXPEDITIONARY WARFARE.
    Section 5038(a) of title 10, United States Code, is amended by 
striking ``Office of the Deputy Chief of Naval Operations for 
Resources, Warfare Requirements, and Assessments'' and inserting 
``office of the Deputy Chief of Naval Operations with responsibility 
for warfare requirements and programs''.

                      TITLE X--GENERAL PROVISIONS

          Subtitle A--Department of Defense Civilian Personnel

Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Authorization of supplemental appropriations for fiscal year 
2001.
Sec. 1004. United States contribution to NATO common-funded budgets in 
fiscal year 2002.
Sec. 1005. Limitation on funds for Bosnia and Kosovo peacekeeping 
operations for fiscal year 2002.
Sec. 1006. Maximum amount for National Foreign Intelligence Program.
Sec. 1007. Clarification of applicability of interest penalties for late 
payment of interim payments due under contracts for services.
Sec. 1008. Reliability of Department of Defense financial statements.
Sec. 1009. Financial Management Modernization Executive Committee and 
financial feeder systems compliance process.
Sec. 1010. Authorization of funds for ballistic missile defense programs 
or combating terrorism programs of the Department of Defense.

                 Subtitle B--Naval Vessels and Shipyards

Sec. 1011. Authority to transfer naval vessels to certain foreign 
countries.
Sec. 1012. Sale of Glomar Explorer to the lessee.
Sec. 1013. Leasing of Navy ships for university national oceanographic 
laboratory system.
Sec. 1014. Increase in limitations on administrative authority of the 
Navy to settle admiralty claims.

                   Subtitle C--Counter-Drug Activities

Sec. 1021. Extension and restatement of authority to provide Department 
of Defense support for counter-drug activities of other governmental 
agencies.
Sec. 1022. Extension of reporting requirement regarding Department of 
Defense expenditures to support foreign counter-drug activities.
Sec. 1023. Authority to transfer Tracker aircraft currently used by 
Armed Forces for counter-drug purposes.
Sec. 1024. Limitation on use of funds for operation of Tethered Aerostat 
Radar System pending submission of required report.

                      Subtitle D--Strategic Forces

Sec. 1031. Repeal of limitation on retirement or dismantlement of 
strategic nuclear delivery systems.
Sec. 1032. Air Force bomber force structure.
Sec. 1033. Additional element for revised nuclear posture review.
Sec. 1034. Report on options for modernization and enhancement of 
missile wing helicopter support.

           Subtitle E--Other Department of Defense Provisions

Sec. 1041. Secretary of Defense recommendation on need for Department of 
Defense review of proposed Federal agency actions to consider possible 
impact on national defense.
Sec. 1042. Department of Defense reports to Congress to be accompanied 
by electronic version upon request.
Sec. 1043. Department of Defense gift authorities.
Sec. 1044. Acceleration of research, development, and production of 
medical countermeasures for defense against biological warfare agents.
Sec. 1045. Chemical and biological protective equipment for military 
personnel and civilian employees of the Department of Defense.
Sec. 1046. Sale of goods and services by Naval Magazine, Indian Island, 
Alaska.
Sec. 1047. Report on procedures and guidelines for embarkation of 
civilian guests on naval vessels for public affairs purposes.
Sec. 1048. Technical and clerical amendments.
Sec. 1049. Termination of referendum requirement regarding continuation 
of military training on island of Vieques, Puerto Rico, and imposition 
of additional conditions on closure of live-fire training range.

                        Subtitle F--Other Matters

Sec. 1061. Assistance for firefighters.
Sec. 1062. Extension of times for Commission on the Future of the United 
States Aerospace industry to report and to terminate.
Sec. 1063. Appropriations to Radiation Exposure Compensation Trust Fund.
Sec. 1064. Waiver of vehicle weight limits during periods of national 
emergency.
Sec. 1065. Repair, restoration, and preservation of Lafayette Escadrille 
Memorial, Marnes-la-Coquette, France.

                     Subtitle A--Financial Matters

SEC. 1001. TRANSFER AUTHORITY.

    (a) Authority To Transfer Authorizations.--(1) Upon determination 
by the Secretary of Defense that such action is necessary in the 
national interest, the Secretary may transfer amounts of authorizations 
made available to the Department of Defense in this division for fiscal 
year 2002 between any such authorizations for that fiscal year (or any 
subdivisions thereof). Amounts of authorizations so transferred shall 
be merged with and be available for the same purposes as the 
authorization to which transferred.
    (2) The total amount of authorizations that the Secretary may 
transfer under the authority of this section may not exceed 
$2,000,000,000.
    (b) Limitations.--The authority provided by this section to 
transfer authorizations--
        (1) may only be used to provide authority for items that have a 
    higher priority than the items from which authority is transferred; 
    and
        (2) may not be used to provide authority for an item that has 
    been denied authorization by Congress.
    (c) Effect on Authorization Amounts.--A transfer made from one 
account to another under the authority of this section shall be deemed 
to increase the amount authorized for the account to which the amount 
is transferred by an amount equal to the amount transferred.
    (d) Notice to Congress.--The Secretary shall promptly notify 
Congress of each transfer made under subsection (a).
SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.
    (a) Status of Classified Annex.--The Classified Annex prepared by 
the committee of conference to accompany the conference report on the 
bill S. 1438 of the One Hundred Seventh Congress and transmitted to the 
President is hereby incorporated into this Act.
    (b) Construction With Other Provisions of Act.--The amounts 
specified in the Classified Annex are not in addition to amounts 
authorized to be appropriated by other provisions of this Act.
    (c) Limitation on Use of Funds.--Funds appropriated pursuant to an 
authorization contained in this Act that are made available for a 
program, project, or activity referred to in the Classified Annex may 
only be expended for such program, project, or activity in accordance 
with such terms, conditions, limitations, restrictions, and 
requirements as are set out for that program, project, or activity in 
the Classified Annex.
    (d) Distribution of Classified Annex.--The President shall provide 
for appropriate distribution of the Classified Annex, or of appropriate 
portions of the annex, within the executive branch of the Government.
SEC. 1003. AUTHORIZATION OF SUPPLEMENTAL APPROPRIATIONS FOR FISCAL YEAR 
2001.
    Amounts authorized to be appropriated to the Department of Defense 
for fiscal year 2001 in the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398) are hereby adjusted, with respect to any such authorized 
amount, by the amount by which appropriations pursuant to such 
authorization were increased (by a supplemental appropriation) or 
decreased (by a rescission), or both, in title I of the Supplemental 
Appropriations Act, 2001 (Public Law 107-20).
SEC. 1004. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED BUDGETS IN 
FISCAL YEAR 2002.
    (a) Fiscal Year 2002 Limitation.--The total amount contributed by 
the Secretary of Defense in fiscal year 2002 for the common-funded 
budgets of NATO may be any amount up to, but not in excess of, the 
amount specified in subsection (b) (rather than the maximum amount that 
would otherwise be applicable to those contributions under the fiscal 
year 1998 baseline limitation).
    (b) Total Amount.--The amount of the limitation applicable under 
subsection (a) is the sum of the following:
        (1) The amounts of unexpended balances, as of the end of fiscal 
    year 2001, of funds appropriated for fiscal years before fiscal 
    year 2002 for payments for those budgets.
        (2) The amount specified in subsection (c)(1).
        (3) The amount specified in subsection (c)(2).
        (4) The total amount of the contributions authorized to be made 
    under section 2501.
    (c) Authorized Amounts.--Amounts authorized to be appropriated by 
titles II and III of this Act are available for contributions for the 
common-funded budgets of NATO as follows:
        (1) Of the amount provided in section 201(1), $708,000 for the 
    Civil Budget.
        (2) Of the amount provided in section 301(a)(1), $175,849,000 
    for the Military Budget.
    (d) Definitions.--For purposes of this section:
        (1) Common-funded budgets of nato.--The term ``common-funded 
    budgets of NATO'' means the Military Budget, the Security 
    Investment Program, and the Civil Budget of the North Atlantic 
    Treaty Organization (and any successor or additional account or 
    program of NATO).
        (2) Fiscal year 1998 baseline limitation.--The term ``fiscal 
    year 1998 baseline limitation'' means the maximum annual amount of 
    Department of Defense contributions for common-funded budgets of 
    NATO that is set forth as the annual limitation in section 
    3(2)(C)(ii) of the resolution of the Senate giving the advice and 
    consent of the Senate to the ratification of the Protocols to the 
    North Atlantic Treaty of 1949 on the Accession of Poland, Hungary, 
    and the Czech Republic (as defined in section 4(7) of that 
    resolution), approved by the Senate on April 30, 1998.
SEC. 1005. LIMITATION ON FUNDS FOR BOSNIA AND KOSOVO PEACEKEEPING 
OPERATIONS FOR FISCAL YEAR 2002.
    (a) Limitation.--Of the amounts authorized to be appropriated by 
section 301(a)(24) for the Overseas Contingency Operations Transfer 
Fund--
        (1) no more than $1,315,600,000 may be obligated for 
    incremental costs of the Armed Forces for Bosnia peacekeeping 
    operations; and
        (2) no more than $1,528,600,000 may be obligated for 
    incremental costs of the Armed Forces for Kosovo peacekeeping 
    operations.
    (b) Presidential Waiver.--The President may waive the limitation in 
subsection (a)(1), or the limitation in subsection (a)(2), after 
submitting to Congress the following:
        (1) The President's written certification that the waiver is 
    necessary in the national security interests of the United States.
        (2) The President's written certification that exercising the 
    waiver will not adversely affect the readiness of United States 
    military forces.
        (3) A report setting forth the following:
            (A) The reasons that the waiver is necessary in the 
        national security interests of the United States.
            (B) The specific reasons that additional funding is 
        required for the continued presence of United States military 
        forces participating in, or supporting, Bosnia peacekeeping 
        operations, or Kosovo peacekeeping operations, as the case may 
        be, for fiscal year 2002.
            (C) A discussion of the impact on the military readiness of 
        United States Armed Forces of the continuing deployment of 
        United States military forces participating in, or supporting, 
        Bosnia peacekeeping operations, or Kosovo peacekeeping 
        operations, as the case may be.
        (4) A supplemental appropriations request for the Department of 
    Defense for such amounts as are necessary for the additional fiscal 
    year 2002 costs associated with United States military forces 
    participating in, or supporting, Bosnia or Kosovo peacekeeping 
    operations.
    (c) Peacekeeping Operations Defined.--For the purposes of this 
section:
        (1) The term ``Bosnia peacekeeping operations'' has the meaning 
    given such term in section 1004(e) of the Strom Thurmond National 
    Defense Authorization Act for Fiscal Year 1999 (Public Law 105-261; 
    112 Stat. 2112).
        (2) The term ``Kosovo peacekeeping operations''--
            (A) means the operation designated as Operation Joint 
        Guardian and any other operation involving the participation of 
        any of the Armed Forces in peacekeeping or peace enforcement 
        activities in and around Kosovo; and
            (B) includes, with respect to Operation Joint Guardian or 
        any such other operation, each activity that is directly 
        related to the support of the operation.
SEC. 1006. MAXIMUM AMOUNT FOR NATIONAL FOREIGN INTELLIGENCE PROGRAM.
    The total amount authorized to be appropriated for the National 
Foreign Intelligence Program for fiscal year 2002 is the sum of the 
following:
        (1) The total amount set forth for the National Foreign 
    Intelligence Program for fiscal year 2002 in the message of the 
    President to Congress transmitted by the President on June 27, 
    2001, and printed as House Document 107-92, captioned 
    ``Communication of the President of the United States Transmitting 
    Requests for Fiscal Year 2002 Budget Amendments for the Department 
    of Defense''.
        (2) The total amount, if any, appropriated for the National 
    Foreign Intelligence Program for fiscal year 2002 pursuant to the 
    2001 Emergency Supplemental Appropriations Act for Recovery from 
    and Response to Terrorist Attacks on the United States (Public Law 
    107-38; 115 Stat. 220-221).
        (3) The total amount, if any, appropriated for the National 
    Foreign Intelligence Program for fiscal year 2002 in any law making 
    supplemental appropriations for fiscal year 2002 that is enacted 
    during the second session of the 107th Congress.
SEC. 1007. CLARIFICATION OF APPLICABILITY OF INTEREST PENALTIES FOR 
LATE PAYMENT OF INTERIM PAYMENTS DUE UNDER CONTRACTS FOR SERVICES.
    Section 1010(d) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-251) is amended by inserting before the 
period at the end of the first sentence the following: ``, and shall 
apply with respect to interim payments that are due on or after such 
date under contracts entered into before, on, or after that date''.
SEC. 1008. RELIABILITY OF DEPARTMENT OF DEFENSE FINANCIAL STATEMENTS.
    (a) Annual Report on Reliability.--(1) Not later than September 30 
of each year but subject to subsection (f), the Secretary of Defense 
shall submit to the recipients specified in paragraph (3) a report on 
the reliability of the Department of Defense financial statements, 
including the financial statements of each component of the Department 
that is required to prepare a financial statement under section 3515(c) 
of title 31, United States Code.
    (2) The annual report shall contain the following:
        (A) A conclusion regarding whether the policies and procedures 
    of the Department of Defense, and the systems used within the 
    Department of Defense, for the preparation of financial statements 
    allow the achievement of reliability in those financial statements.
        (B) For each of the financial statements prepared for the 
    Department of Defense for the fiscal year in which the report is 
    submitted, a conclusion regarding the expected reliability of the 
    financial statement (evaluated on the basis of Office of Management 
    and Budget guidance on financial statements), together with a 
    discussion of the major deficiencies to be expected in the 
    statement.
        (C) A summary of the specific sections of the annual Financial 
    Management Improvement Plan of the Department of Defense, current 
    as of the date of the report, that--
            (i) detail the priorities, milestones, and measures of 
        success that apply to the preparation of the financial 
        statements;
            (ii) detail the planned improvements in the process for the 
        preparation of financial statements that are to be implemented 
        within 12 months after the date on which the plan is issued; 
        and
            (iii) provide an estimate of when each financial statement 
        will convey reliable information.
    (3) The annual report shall be submitted to the following:
        (A) The Committee on Armed Services and the Committee on 
    Governmental Affairs of the Senate.
        (B) The Committee on Armed Services and the Committee on 
    Government Reform of the House of Representatives.
        (C) The Director of the Office of Management and Budget.
        (D) The Secretary of the Treasury.
        (E) The Comptroller General of the United States.
    (4) The Secretary of Defense shall make a copy of the annual report 
available to the Inspector General of the Department of Defense.
    (b) Minimization of Use of Resources for Unreliable Financial 
Statements.--(1) With respect to each financial statement for a fiscal 
year that the Secretary of Defense assesses as being expected to be 
unreliable in the annual report under subsection (a), the Under 
Secretary of Defense (Comptroller) shall take appropriate actions to 
minimize, consistent with the benefits to be derived, the resources 
(including contractor support) that are used to develop, compile, and 
report the financial statement.
    (2) With the annual budget justifications for the Department of 
Defense submitted to Congress each year, the Under Secretary of Defense 
(Comptroller) shall submit, with respect to the fiscal year in which 
submitted, the preceding fiscal year, and the following fiscal year, 
the following information:
        (A) An estimate of the resources that the Department of Defense 
    is saving or expects to save as a result of actions taken and to be 
    taken under paragraph (1) with respect to the preparation of 
    financial statements.
        (B) A discussion of how the resources saved as estimated under 
    subparagraph (A) have been redirected or are to be redirected from 
    the preparation of financial statements to the improvement of 
    systems underlying financial management within the Department of 
    Defense and to the improvement of financial management policies, 
    procedures, and internal controls within the Department of Defense.
    (c) Information to Auditors.--Not later than October 31 of each 
year, the Under Secretary of Defense (Comptroller) and the Assistant 
Secretary of each military department with responsibility for financial 
management and comptroller functions shall each provide to the auditors 
of the financial statement of that official's department for the fiscal 
year ending during the preceding month that official's preliminary 
management representation, in writing, regarding the expected 
reliability of the financial statement. The representation shall be 
consistent with guidance issued by the Director of the Office of 
Management and Budget and shall include the basis for the reliability 
assessment stated in the representation.
    (d) Limitation on Inspector General Audits.--(1) On each financial 
statement that an official asserts is unreliable under subsection (b) 
or (c), the Inspector General of the Department of Defense shall only 
perform the audit procedures required by generally accepted government 
auditing standards consistent with any representation made by 
management.
    (2) With the annual budget justifications for the Department of 
Defense submitted to Congress each year, the Under Secretary of Defense 
(Comptroller) shall submit, with respect to the fiscal year in which 
submitted, the preceding fiscal year, and the following fiscal year, 
information which the Inspector General shall report to the Under 
Secretary, as follows:
        (A) An estimate of the resources that the Inspector General is 
    saving or expects to save as a result of actions taken and to be 
    taken under paragraph (1) with respect to the auditing of financial 
    statements.
        (B) A discussion of how the resources saved as estimated under 
    subparagraph (A) have been redirected or are to be redirected from 
    the auditing of financial statements to the oversight and 
    improvement of systems underlying financial management within the 
    Department of Defense and to the oversight and improvement of 
    financial management policies, procedures, and internal controls 
    within the Department of Defense.
    (e) Effective Date.--The requirements of this section shall apply 
with respect to financial statements for fiscal years after fiscal year 
2001 and to the auditing of those financial statements.
    (f) Termination of Applicability.--If the Secretary of Defense 
certifies to the Inspector General of the Department of Defense that 
the financial statement for the Department of Defense, or a financial 
statement for a component of the Department of Defense, for a fiscal 
year is reliable, this section shall not apply with respect to that 
financial statement or to any successive financial statement for the 
Department of Defense, or for that component, as the case may be, for 
any later fiscal year.
SEC. 1009. FINANCIAL MANAGEMENT MODERNIZATION EXECUTIVE COMMITTEE AND 
FINANCIAL FEEDER SYSTEMS COMPLIANCE PROCESS.
    (a) Executive Committee.--(1) Chapter 7 of title 10, United States 
Code, is amended by adding at the end the following new section:
``Sec. 185. Financial Management Modernization Executive Committee
    ``(a) Establishment of Financial Management Modernization Executive 
Committee.--(1) The Secretary of Defense shall establish a Financial 
Management Modernization Executive Committee.
    ``(2) The Committee shall be composed of the following:
        ``(A) The Under Secretary of Defense (Comptroller), who shall 
    be the chairman of the committee.
        ``(B) The Under Secretary of Defense for Acquisition, 
    Technology, and Logistics.
        ``(C) The Under Secretary of Defense for Personnel and 
    Readiness.
        ``(D) The Chief Information Officer of the Department of 
    Defense.
        ``(E) Such additional personnel of the Department of Defense 
    (including appropriate personnel of the military departments and 
    Defense Agencies) as are designated by the Secretary.
    ``(3) The Committee shall be accountable to the Senior Executive 
Council (composed of the Secretary of Defense, the Deputy Secretary of 
Defense, the Under Secretary of Defense for Acquisition, Technology, 
and Logistics, the Secretary of the Army, the Secretary of the Navy, 
and the Secretary of the Air Force).
    ``(b) Duties.--In addition to other matters assigned to it by the 
Secretary of Defense, the Committee shall have the following duties:
        ``(1) To establish a process that ensures that each critical 
    accounting system, financial management system, and data feeder 
    system of the Department of Defense is compliant with applicable 
    Federal financial management and reporting requirements.
        ``(2) To develop a management plan for the implementation of 
    the financial and data feeder systems compliance process 
    established pursuant to paragraph (1).
        ``(3) To supervise and monitor the actions that are necessary 
    to implement the management plan developed pursuant to paragraph 
    (2), as approved by the Secretary of Defense.
        ``(4) To ensure that a Department of Defense financial 
    management enterprise architecture is developed and maintained in 
    accordance with--
            ``(A) the overall business process transformation strategy 
        of the Department; and
            ``(B) the architecture framework of the Department for 
        command, control, communications, computers, intelligence, 
        surveillance, and reconnaissance functions.
        ``(5) To ensure that investments in existing or proposed 
    financial management systems for the Department comply with the 
    overall business practice transformation strategy of the Department 
    and the financial management enterprise architecture developed 
    under paragraph (4).
        ``(6) To provide an annual accounting of each financial and 
    data feeder system investment technology project to ensure that 
    each such project is being implemented at acceptable cost and 
    within a reasonable schedule and is contributing to tangible, 
    observable improvements in mission performance.
    ``(c) Management Plan for Implementation of Financial Data Feeder 
Systems Compliance Process.--The management plan developed under 
subsection (b)(2) shall include among its principal elements at least 
the following elements:
        ``(1) A requirement for the establishment and maintenance of a 
    complete inventory of all budgetary, accounting, finance, and data 
    feeder systems that support the transformed business processes of 
    the Department and produce financial statements.
        ``(2) A phased process (consisting of the successive phases of 
    Awareness, Evaluation, Renovation, Validation, and Compliance) for 
    improving systems referred to in paragraph (1) that provides for 
    mapping financial data flow from the cognizant Department business 
    function source (as part of the overall business process 
    transformation strategy of the Department) to Department financial 
    statements.
        ``(3) Periodic submittal to the Secretary of Defense, the 
    Deputy Secretary of Defense, and the Senior Executive Council (or 
    any combination thereof) of reports on the progress being made in 
    achieving financial management transformation goals and milestones 
    included in the annual financial management improvement plan in 
    2002.
        ``(4) Documentation of the completion of each phase specified 
    in paragraph (2) of improvements made to each accounting, finance, 
    and data feeder system of the Department.
        ``(5) Independent audit by the Inspector General of the 
    Department, the audit agencies of the military departments, and 
    private sector firms contracted to conduct validation audits (or 
    any combination thereof) at the validation phase for each 
    accounting, finance, and data feeder system.
    ``(d) Data Feeder Systems.--In this section, the term `data feeder 
system' has the meaning given that term in section 2222(c)(2) of this 
title.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``185. Financial Management Modernization Executive Committee.''.

    (b) Annual Financial Management Improvement Plan.--(1) Subsection 
(a) of section 2222 of title 10, United States Code, is amended--
        (A) by striking ``Biennial'' in the subsection heading and 
    inserting ``Annual'';
        (B) by striking ``a biennial'' in the first sentence and 
    inserting ``an annual''; and
        (C) by striking ``even-numbered'' in the second sentence.
    (2) Subsection (c) of such section is amended--
        (A) by redesignating paragraph (2) as paragraph (3); and
        (B) by inserting after paragraph (1) the following new 
    paragraph (2):
    ``(2) In each such plan, the Secretary shall include the following:
        ``(A) A description of the actions to be taken in the fiscal 
    year beginning in the year in which the plan is submitted to 
    implement the annual performance goals, and the performance 
    milestones, included in the financial management improvement plan 
    submitted in 2002 pursuant to paragraphs (1) and (2), respectively, 
    of section 1009(c) of the National Defense Authorization Act for 
    Fiscal Year 2002.
        ``(B) An estimate of the amount expended in the fiscal year 
    ending in the year in which the plan is submitted to implement the 
    financial management improvement plan in such preceding calendar 
    year, set forth by system.
        ``(C) If an element of the financial management improvement 
    plan submitted in the fiscal year ending in the year in which the 
    plan is submitted was not implemented, a justification for the lack 
    of implementation of such element.''.
    (3)(A) The heading of such section is amended to read as follows:
``Sec. 2222. Annual financial management improvement plan''.
    (B) The item relating to section 2222 in the table of sections at 
the beginning of chapter 131 of such title is amended to read as 
follows:
``2222. Annual financial management improvement plan.''.

    (c) Additional Elements for Financial Management Improvement Plan 
in 2002.--In the annual financial management improvement plan submitted 
under section 2222 of title 10, United States Code, in 2002, the 
Secretary of Defense shall include the following:
        (1) Measurable annual performance goals for improvement of the 
    financial management of the Department of Defense.
        (2) Performance milestones for initiatives under that plan for 
    transforming the financial management operations of the Department 
    of Defense and for implementing a financial management architecture 
    for the Department.
        (3) An assessment of the anticipated annual cost of any plans 
    for transforming the financial management operations of the 
    Department of Defense and for implementing a financial management 
    architecture for the Department.
        (4) A discussion of the following:
            (A) The roles and responsibilities of appropriate 
        Department officials to ensure the supervision and monitoring 
        of the compliance of each accounting, finance, and data feeder 
        system of the Department with--
                (i) the business practice transformation strategy of 
            the Department;
                (ii) the financial management architecture of the 
            Department; and
                (iii) applicable Federal financial management systems 
            and reporting requirements.
            (B) A summary of the actions taken by the Financial 
        Management Modernization Executive Committee to ensure that 
        such systems comply with--
                (i) the business practice transformation strategy of 
            the Department;
                (ii) the financial management architecture of the 
            Department; and
                (iii) applicable Federal financial management systems 
            and reporting requirements.
    (d) Effective Date.--Paragraph (2) of section 2222(c) of title 10, 
United States Code, as added by subsection (b)(2), shall not apply with 
respect to the annual financial management improvement plan submitted 
under section 2222 of title 10, United States Code, in 2002.
SEC. 1010. AUTHORIZATION OF FUNDS FOR BALLISTIC MISSILE DEFENSE 
PROGRAMS OR COMBATING TERRORISM PROGRAMS OF THE DEPARTMENT OF DEFENSE.
    (a) Authorization.--There is hereby authorized to be appropriated 
for fiscal year 2002 for the military functions of the Department of 
Defense, in addition to amounts authorized to be appropriated in titles 
I, II, and III, the amount of $1,300,000,000, to be available, in 
accordance with subsection (b), for the following purposes:
        (1) Research, development, test, and evaluation for ballistic 
    missile defense programs of the Ballistic Missile Defense 
    Organization.
        (2) Activities of the Department of Defense for combating 
    terrorism.
    (b) Allocation by President.--(1) The amount authorized to be 
appropriated by subsection (a) shall be allocated between the purposes 
stated in paragraphs (1) and (2) of that subsection in such manner as 
may be determined by the President based upon the national security 
interests of the United States. The amount authorized in subsection (a) 
shall not be available for any other purpose.
    (2) Upon an allocation of such amount by the President, the amount 
so allocated shall be transferred to the appropriate regular 
authorization account under this division in the same manner as 
provided in section 1001. Transfers under this paragraph shall not be 
counted for the purposes of section 1001(a)(2).
    (3) Not later than 15 days after an allocation is made under this 
subsection, the Secretary of Defense shall submit to the congressional 
defense committees a report describing the allocation and the 
Secretary's plan for the use by the Department of Defense of the funds 
made available pursuant to such allocation.

                Subtitle B--Naval Vessels and Shipyards

SEC. 1011. AUTHORITY TO TRANSFER NAVAL VESSELS TO CERTAIN FOREIGN 
COUNTRIES.
    (a) Transfers by Grant.--The President is authorized to transfer 
vessels to foreign countries on a grant basis under section 516 of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2321j) as follows:
        (1) Poland.--To the Government of Poland, the OLIVER HAZARD 
    PERRY class guided missile frigate WADSWORTH (FFG 9).
        (2) Turkey.--To the Government of Turkey, the KNOX class 
    frigates CAPODANNO (FF 1093), THOMAS C. HART (FF 1092), DONALD B. 
    BEARY (FF 1085), McCANDLESS (FF 1084), REASONER (FF 1063), and 
    BOWEN (FF 1079).
    (b) Transfers by Sale.--The President is authorized to transfer 
vessels to foreign governments and foreign governmental entities on a 
sale basis under section 21 of the Arms Export Control Act (22 U.S.C. 
2761) as follows:
        (1) Taiwan.--To the Taipei Economic and Cultural Representative 
    Office in the United States (which is the Taiwan instrumentality 
    designated pursuant to section 10(a) of the Taiwan Relations Act), 
    the KIDD class guided missile destroyers KIDD (DDG 993), CALLAGHAN 
    (DDG 994), SCOTT (DDG 995), and CHANDLER (DDG 996).
        (2) Turkey.--To the Government of Turkey, the OLIVER HAZARD 
    PERRY class guided missile frigates ESTOCIN (FFG 15) and SAMUEL 
    ELIOT MORISON (FFG 13).
    (c) Grants Not Counted in Annual Total of Transferred Excess 
Defense Articles.--The value of a vessel transferred to another country 
on a grant basis under section 516 of the Foreign Assistance Act of 
1961 (22 U.S.C. 2321j) pursuant to authority provided by subsection (a) 
shall not be counted for the purposes of subsection (g) of that section 
in the aggregate value of excess defense articles transferred to 
countries under that section in any fiscal year.
    (d) Costs of Transfers on Grant Basis.--Any expense incurred by the 
United States in connection with a transfer authorized by this section 
shall be charged to the recipient (notwithstanding section 516(e)(1) of 
the Foreign Assistance Act of 1961 (22 U.S.C. 2321j(e)(1))) in the case 
of a transfer authorized to be made on a grant basis under subsection 
(a).
    (e) Waiver Authority.--For a vessel transferred on a grant basis 
pursuant to authority provided by subsection (a)(2), the President may 
waive reimbursement of charges for the lease of that vessel under 
section 61(a) of the Arms Export Control Act (22 U.S.C. 2796(a)) for a 
period of one year before the date of the transfer of that vessel.
    (f) Repair and Refurbishment in United States Shipyards.--To the 
maximum extent practicable, the President shall require, as a condition 
of the transfer of a vessel under this section, that the country to 
which the vessel is transferred have such repair or refurbishment of 
the vessel as is needed, before the vessel joins the naval forces of 
that country, performed at a shipyard located in the United States, 
including a United States Navy shipyard.
    (g) Expiration of Authority.--The authority to transfer a vessel 
under this section shall expire at the end of the two-year period 
beginning on the date of the enactment of this Act.
SEC. 1012. SALE OF GLOMAR EXPLORER TO THE LESSEE.
    (a) Authority.--The Secretary of the Navy may convey by sale all 
right, title, and interest of the United States in and to the vessel 
GLOMAR EXPLORER (AG 193) to the person who, on the date of the 
enactment of this Act, is the lessee of the vessel.
    (b) Consideration.--The price for which the vessel is sold under 
subsection (a) shall be a fair and reasonable amount determined by the 
Secretary of the Navy.
    (c) Additional Terms.--The Secretary may require such additional 
terms in connection with the conveyance authorized by this section as 
the Secretary considers appropriate.
    (d) Proceeds of Sale.--Amounts received by the Secretary from the 
sale under this section may, to the extent provided in an 
appropriations Act, be credited to the appropriation available for 
providing salvage facilities under section 7361 of title 10, United 
States Code, and are authorized to remain available until expended for 
that purpose.
SEC. 1013. LEASING OF NAVY SHIPS FOR UNIVERSITY NATIONAL OCEANOGRAPHIC 
LABORATORY SYSTEM.
    Subsection (g) of section 2667 of title 10, United States Code, is 
amended by adding at the end the following new paragraph:
    ``(3) Paragraph (1) does not apply to a renewal or extension of a 
lease by the Secretary of the Navy with a selected institution for 
operation of a ship within the University National Oceanographic 
Laboratory System if, under the lease, each of the following applies:
        ``(A) Use of the ship is restricted to federally supported 
    research programs and to non-Federal uses under specific conditions 
    with approval by the Secretary of the Navy.
        ``(B) Because of the anticipated value to the Navy of the 
    oceanographic research and training that will result from the 
    ship's operation, no monetary lease payments are required from the 
    lessee under the initial lease or under any renewal or extension.
        ``(C) The lessee is required to maintain the ship in a good 
    state of repair, readiness, and efficient operating condition, 
    conform to all applicable regulatory requirements, and assume full 
    responsibility for the safety of the ship, its crew, and scientific 
    personnel aboard.''.
SEC. 1014. INCREASE IN LIMITATIONS ON ADMINISTRATIVE AUTHORITY OF THE 
NAVY TO SETTLE ADMIRALTY CLAIMS.
    (a) Admiralty Claims Against the United States.--Section 7622 of 
title 10, United States Code, is amended--
        (1) in subsections (a) and (b), by striking ``$1,000,000'' and 
    inserting ``$15,000,000''; and
        (2) in subsection (c), by striking ``$100,000'' and inserting 
    ``$1,000,000''.
    (b) Admiralty Claims by the United States.--Section 7623 of such 
title is amended--
        (1) in subsection (a)(2), by striking ``$1,000,000'' and 
    inserting ``$15,000,000''; and
        (2) in subsection (c), by striking ``$100,000'' and inserting 
    ``$1,000,000''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to any claim accruing on or after February 1, 2001.

                  Subtitle C--Counter-Drug Activities

SEC. 1021. EXTENSION AND RESTATEMENT OF AUTHORITY TO PROVIDE DEPARTMENT 
OF DEFENSE SUPPORT FOR COUNTER-DRUG ACTIVITIES OF OTHER GOVERNMENTAL 
AGENCIES.
    Section 1004 of the National Defense Authorization Act for Fiscal 
Year 1991 (Public Law 101-510; 10 U.S.C. 374 note) is amended to read 
as follows:
``SEC. 1004. ADDITIONAL SUPPORT FOR COUNTER-DRUG ACTIVITIES.
    ``(a) Support to Other Agencies.--During fiscal years 2002 through 
2006, the Secretary of Defense may provide support for the counter-drug 
activities of any other department or agency of the Federal Government 
or of any State, local, or foreign law enforcement agency for any of 
the purposes set forth in subsection (b) if such support is requested--
        ``(1) by the official who has responsibility for the counter-
    drug activities of the department or agency of the Federal 
    Government, in the case of support for other departments or 
    agencies of the Federal Government;
        ``(2) by the appropriate official of a State or local 
    government, in the case of support for State or local law 
    enforcement agencies; or
        ``(3) by an appropriate official of a department or agency of 
    the Federal Government that has counter-drug responsibilities, in 
    the case of support for foreign law enforcement agencies.
    ``(b) Types of Support.--The purposes for which the Secretary of 
Defense may provide support under subsection (a) are the following:
        ``(1) The maintenance and repair of equipment that has been 
    made available to any department or agency of the Federal 
    Government or to any State or local government by the Department of 
    Defense for the purposes of--
            ``(A) preserving the potential future utility of such 
        equipment for the Department of Defense; and
            ``(B) upgrading such equipment to ensure compatibility of 
        that equipment with other equipment used by the Department of 
        Defense.
        ``(2) The maintenance, repair, or upgrading of equipment 
    (including computer software), other than equipment referred to in 
    paragraph (1) for the purpose of--
            ``(A) ensuring that the equipment being maintained or 
        repaired is compatible with equipment used by the Department of 
        Defense; and
            ``(B) upgrading such equipment to ensure the compatibility 
        of that equipment with equipment used by the Department of 
        Defense.
        ``(3) The transportation of personnel of the United States and 
    foreign countries (including per diem expenses associated with such 
    transportation), and the transportation of supplies and equipment, 
    for the purpose of facilitating counter-drug activities within or 
    outside the United States.
        ``(4) The establishment (including an unspecified minor 
    military construction project) and operation of bases of operations 
    or training facilities for the purpose of facilitating counter-drug 
    activities of the Department of Defense or any Federal, State, or 
    local law enforcement agency within or outside the United States or 
    counter-drug activities of a foreign law enforcement agency outside 
    the United States.
        ``(5) Counter-drug related training of law enforcement 
    personnel of the Federal Government, of State and local 
    governments, and of foreign countries, including associated support 
    expenses for trainees and the provision of materials necessary to 
    carry out such training.
        ``(6) The detection, monitoring, and communication of the 
    movement of--
            ``(A) air and sea traffic within 25 miles of and outside 
        the geographic boundaries of the United States; and
            ``(B) surface traffic outside the geographic boundary of 
        the United States and within the United States not to exceed 25 
        miles of the boundary if the initial detection occurred outside 
        of the boundary.
        ``(7) Construction of roads and fences and installation of 
    lighting to block drug smuggling corridors across international 
    boundaries of the United States.
        ``(8) Establishment of command, control, communications, and 
    computer networks for improved integration of law enforcement, 
    active military, and National Guard activities.
        ``(9) The provision of linguist and intelligence analysis 
    services.
        ``(10) Aerial and ground reconnaissance.
    ``(c) Limitation on Counter-Drug Requirements.--The Secretary of 
Defense may not limit the requirements for which support may be 
provided under subsection (a) only to critical, emergent, or 
unanticipated requirements.
    ``(d) Contract Authority.--In carrying out subsection (a), the 
Secretary of Defense may acquire services or equipment by contract for 
support provided under that subsection if the Department of Defense 
would normally acquire such services or equipment by contract for the 
purpose of conducting a similar activity for the Department of Defense.
    ``(e) Limited Waiver of Prohibition.--Notwithstanding section 376 
of title 10, United States Code, the Secretary of Defense may provide 
support pursuant to subsection (a) in any case in which the Secretary 
determines that the provision of such support would adversely affect 
the military preparedness of the United States in the short term if the 
Secretary determines that the importance of providing such support 
outweighs such short-term adverse effect.
    ``(f) Conduct of Training or Operation To Aid Civilian Agencies.--
In providing support pursuant to subsection (a), the Secretary of 
Defense may plan and execute otherwise valid military training or 
operations (including training exercises undertaken pursuant to section 
1206(a) of the National Defense Authorization Act for Fiscal Years 1990 
and 1991 (Public Law 101-189; 103 Stat. 1564)) for the purpose of 
aiding civilian law enforcement agencies.
    ``(g) Relationship to Other Laws.--(1) The authority provided in 
this section for the support of counter-drug activities by the 
Department of Defense is in addition to, and except as provided in 
paragraph (2), not subject to the requirements of chapter 18 of title 
10, United States Code.
    ``(2) Support under this section shall be subject to the provisions 
of section 375 and, except as provided in subsection (e), section 376 
of title 10, United States Code.
    ``(h) Congressional Notification of Facilities Projects.--(1) When 
a decision is made to carry out a military construction project 
described in paragraph (2), the Secretary of Defense shall submit to 
the congressional defense committees written notice of the decision, 
including the justification for the project and the estimated cost of 
the project. The project may be commenced only after the end of the 21-
day period beginning on the date on which the written notice is 
received by Congress.
    ``(2) Paragraph (1) applies to an unspecified minor military 
construction project that--
        ``(A) is intended for the modification or repair of a 
    Department of Defense facility for the purpose set forth in 
    subsection (b)(4); and
        ``(B) has an estimated cost of more than $500,000.''.
SEC. 1022. EXTENSION OF REPORTING REQUIREMENT REGARDING DEPARTMENT OF 
DEFENSE EXPENDITURES TO SUPPORT FOREIGN COUNTER-DRUG ACTIVITIES.
    Section 1022 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-255) is amended--
        (1) by inserting ``and April 15, 2002,'' after ``January 1, 
    2001,''; and
        (2) by striking ``fiscal year 2000'' and inserting ``the 
    preceding fiscal year''.
SEC. 1023. AUTHORITY TO TRANSFER TRACKER AIRCRAFT CURRENTLY USED BY 
ARMED FORCES FOR COUNTER-DRUG PURPOSES.
    (a) Transfer Authority.--The Secretary of Defense may transfer to 
the administrative jurisdiction and operational control of another 
Federal agency all Tracker aircraft in the inventory of the Department 
of Defense.
    (b) Effect of Failure To Transfer.--If the transfer authority 
provided by subsection (a) is not exercised by the Secretary of Defense 
by September 30, 2002, any Tracker aircraft remaining in the inventory 
of the Department of Defense may not be used by the Armed Forces for 
counter-drug purposes after that date.
SEC. 1024. LIMITATION ON USE OF FUNDS FOR OPERATION OF TETHERED 
AEROSTAT RADAR SYSTEM PENDING SUBMISSION OF REQUIRED REPORT.
    Not more than 50 percent of the funds appropriated or otherwise 
made available for fiscal year 2002 for operation of the Tethered 
Aerostat Radar System, which is used by the Armed Forces in maritime, 
air, and land counter-drug detection and monitoring, may be obligated 
or expended until such time as the Secretary of Defense submits to 
Congress the report on the status of the Tethered Aerostat Radar System 
required by section 1025 of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-256).

                      Subtitle D--Strategic Forces

SEC. 1031. REPEAL OF LIMITATION ON RETIREMENT OR DISMANTLEMENT OF 
STRATEGIC NUCLEAR DELIVERY SYSTEMS.
    Section 1302 of the National Defense Authorization Act for Fiscal 
Year 1998 (Public Law 105-85; 111 Stat. 1948) is repealed.
SEC. 1032. AIR FORCE BOMBER FORCE STRUCTURE.
    (a) Limitation.--None of the funds available to the Department of 
Defense for fiscal year 2002 may be obligated or expended for retiring 
or dismantling any of the 93 B-1B Lancer bombers in service as of June 
1, 2001, or for transferring or reassigning any of those aircraft from 
the unit or facility to which assigned as of that date, until 15 days 
after the Secretary of the Air Force submits to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives a report on the Air Force bomber force structure.
    (b) Matters To Be Included.--The report under subsection (a) shall 
set forth the following:
        (1) The Air Force plan for the modernization of the B-1B 
    aircraft fleet, including a transition plan for implementation of 
    that modernization plan and a description of the basing options for 
    the aircraft in that fleet.
        (2) The amount and type of bomber force structure in the Air 
    Force appropriate to meet the requirements of the national security 
    strategy of the United States.
        (3) Specifications of new missions to be assigned to the 
    National Guard units that currently fly B-1 aircraft and the 
    transition of those units and their facilities from the current B-1 
    mission to their future missions.
        (4) A description of the potential effect of the proposed 
    consolidation and reduction of the B-1 fleet on other National 
    Guard units in the affected States.
        (5) A justification of the cost and projected savings of 
    consolidating and reducing the B-1 fleet.
    (c) Amount and Type of Bomber Force Structure Defined.--In this 
section, the term ``amount and type of bomber force structure'' means 
the number of B-2 aircraft, B-52 aircraft, and B-1 aircraft that are 
required to carry out the current national security strategy.
SEC. 1033. ADDITIONAL ELEMENT FOR REVISED NUCLEAR POSTURE REVIEW.
    Section 1041(b) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-262) is amended by adding at the end the 
following new paragraph:
        ``(7) The possibility of deactivating or dealerting nuclear 
    warheads or delivery systems immediately, or immediately after a 
    decision to retire any specific warhead, class of warheads, or 
    delivery system.''.
SEC. 1034. REPORT ON OPTIONS FOR MODERNIZATION AND ENHANCEMENT OF 
MISSILE WING HELICOPTER SUPPORT.
    (a) Report Required.--The Secretary of Defense shall prepare a 
report regarding the options for providing the helicopter support 
missions for the Air Force intercontinental ballistic missile wings at 
Minot Air Force Base, North Dakota, Malmstrom Air Force Base, Montana, 
and F.E. Warren Air Force Base, Wyoming, for as long as these missions 
are required. The report shall include the Secretary's recommendations 
on a preferred option.
    (b) Options.--Options to be reviewed under subsection (a) include 
the following:
        (1) The current plan of the Air Force for replacement or 
    modernization of UH-1N helicopters currently flown by the Air Force 
    at the missile wings.
        (2) Replacement of the UH-1N helicopters currently flown by the 
    Air Force with UH-60 Black Hawk helicopters, the UH-1Y helicopter, 
    or another platform.
        (3) Replacement of the UH-1N helicopters with UH-60 helicopters 
    and transition of the mission to the Army National Guard, as 
    detailed in the Air Force Space Command/Army National Guard plan 
    entitled ``ARNG Helicopter Support to Air Force Space Command'' and 
    dated November 2000.
        (4) Replacement of the UH-1N helicopters with UH-60 helicopters 
    or another platform, and establishment of composite units combining 
    active duty Air Force and Army National Guard personnel.
        (5) Such other options as the Secretary of Defense considers 
    appropriate.
    (c) Factors.--Factors to be considered in preparing the report 
under subsection (a) include the following:
        (1) Any implications of transferring the helicopter support 
    missions on the command and control of, and responsibility for, 
    missile field force protection.
        (2) Current and future operational requirements, and the 
    capabilities of the UH-1N or UH-60 helicopter or other aircraft to 
    meet such requirements.
        (3) Cost, with particular attention to opportunities to realize 
    efficiencies over the long run.
        (4) Implications for personnel training and retention.
        (5) Evaluation of the assumptions used in the plan specified in 
    subsection (b)(3).
    (d) Consideration.--In preparing the report under subsection (a), 
the Secretary of Defense shall consider carefully the views of the 
Secretary of the Army, the Secretary of the Air Force, the commander of 
the United States Strategic Command, and the Chief of the National 
Guard Bureau.
    (e) Submission of Report.--The report required by subsection (a) 
shall be submitted to the congressional defense committees not later 
than the date on which the President submits to Congress the budget 
under section 1105 of title 31, United States Code, for fiscal year 
2003.

           Subtitle E--Other Department of Defense Provisions

SEC. 1041. SECRETARY OF DEFENSE RECOMMENDATION ON NEED FOR DEPARTMENT 
OF DEFENSE REVIEW OF PROPOSED FEDERAL AGENCY ACTIONS TO CONSIDER 
POSSIBLE IMPACT ON NATIONAL DEFENSE.
    (a) Recommendation on Need for Defense Impact Review Process.--The 
Secretary of Defense shall submit to the President the Secretary's 
recommendation as to whether there should be established within the 
executive branch a defense impact review process. The Secretary shall 
submit a copy of such recommendation to Congress.
    (b) Defense Impact Review Process.--(1) For purposes of this 
section, the term ``defense impact review process'' means a formal 
process within the executive branch--
        (A) to provide for review by the Department of Defense of 
    certain proposed actions of other Federal departments and agencies 
    to identify any reasonably foreseeable significant adverse impact 
    of such a proposed action on national defense; and
        (B) when such a review indicates that a proposed agency action 
    may have such an adverse impact--
            (i) to afford the Secretary of Defense a timely opportunity 
        to make recommendations for means to eliminate or mitigate any 
        such adverse impact; and
            (ii) to afford an opportunity for those recommendations to 
        be given reasonable and timely consideration by the agency to 
        which provided.
    (2) For purposes of such a review process, the proposed agency 
actions subject to review would be those for which a significant 
adverse impact on national defense is reasonably foreseeable and that 
meet such additional criteria as may be specified by the Secretary of 
Defense.
    (c) Time for Submission of Recommendation.--The Secretary shall 
submit the Secretary's recommendation under subsection (a) not later 
than 180 days after the date of the enactment of this Act.
SEC. 1042. DEPARTMENT OF DEFENSE REPORTS TO CONGRESS TO 
BE ACCOMPANIED BY ELECTRONIC VERSION UPON REQUEST.
    (a) In General.--Chapter 23 of title 10, United States Code, is 
amended by inserting after the table of sections the following new 
section:
``Sec. 480. Reports to Congress: submission in electronic form
    ``(a) Requirement.--Whenever the Secretary of Defense or any other 
official of the Department of Defense submits to Congress (or any 
committee of either House of Congress) a report that the Secretary (or 
other official) is required by law to submit, the Secretary (or other 
official) shall, upon request by any committee of Congress to which the 
report is submitted or referred, provide to Congress (or each such 
committee) a copy of the report in an electronic medium.
    ``(b) Exception.--Subsection (a) does not apply to a report 
submitted in classified form.
    ``(c) Definition.--In this section, the term `report' includes any 
certification, notification, or other communication in writing.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting before the item relating to 
section 481 the following new item:
``480. Reports to Congress: submission in electronic form.''.
SEC. 1043. DEPARTMENT OF DEFENSE GIFT AUTHORITIES.
    (a) Authority To Make Loans and Gifts.--(1) Subsection (a) of 
section 7545 of title 10, United States Code, is amended by striking 
``(a) Subject to'' and all that follows through ``to--'' and inserting 
the following:
    ``(a) Authority To Make Loans and Gifts.--The Secretary of the Navy 
may lend or give, without expense to the United States, items described 
in subsection (b) that are not needed by the Department of the Navy to 
any of the following:''.
    (2) Such subsection is further amended--
        (A) by capitalizing the first letter after the paragraph 
    designation in each of paragraphs (1) through (12);
        (B) by striking the semicolon at the end of paragraphs (1) 
    through (10) and inserting a period;
        (C) by striking ``; or'' at the end of paragraph (11) and 
    inserting a period;
        (D) in paragraph (5), by striking ``World War I or World War 
    II'' and inserting ``a foreign war'';
        (E) in paragraph (6), by striking ``soldiers' monument'' and 
    inserting ``servicemen's monument''; and
        (F) in paragraph (8), by inserting ``or memorial'' after 
    ``museum''.
    (b) Additional Items Authorized To Be Donated by Secretary of the 
Navy.--Such section is further amended--
        (1) by redesignating subsections (b) and (c) as subsections (d) 
    and (e), respectively;
        (2) by inserting after subsection (a) the following new 
    subsections:
    ``(b) Items Eligible for Disposal.--This section applies to the 
following types of property held by the Department of the Navy:
        ``(1) Captured, condemned, or obsolete ordnance material.
        ``(2) Captured, condemned, or obsolete combat or shipboard 
    material.
    ``(c) Regulations.--A loan or gift made under this section shall be 
subject to regulations prescribed by the Secretary and to regulations 
under section 205 of the Federal Property and Administrative Services 
Act of 1949 (40 U.S.C. 486).''; and
        (3) by adding at the end the following new subsection:
    ``(f) Authority To Transfer a Portion of a Vessel.--The Secretary 
may lend, give, or otherwise transfer any portion of the hull or 
superstructure of a vessel stricken from the Naval Vessel Register and 
designated for scrapping to a qualified organization specified in 
subsection (a). The terms and conditions of an agreement for the 
transfer of a portion of a vessel under this section shall include a 
requirement that the transferee will maintain the material conveyed in 
a condition that will not diminish the historical value of the material 
or bring discredit upon the Navy.''.
    (c) Clerical Amendments.--Such section is further amended--
        (1) in subsection (d) (as redesignated by subsection (b)(1)), 
    by inserting ``Maintenance of the Records of the Government.--'' 
    after the subsection designation; and
        (2) in subsection (e) (as redesignated by subsection (b)(1)), 
    by inserting ``Alternative Authorities To Make Gifts or Loans.--'' 
    after the subsection designation.
    (d) Conforming Amendments.--Section 2572(a) of such title is 
amended--
        (1) in paragraph (1), by inserting ``, county, or other 
    political subdivision of a State'' before the period at the end;
        (2) in paragraph (2), by striking ``soldiers' monument'' and 
    inserting ``servicemen's monument''; and
        (3) in paragraph (4), by inserting ``or memorial'' after ``An 
    incorporated museum''.
SEC. 1044. ACCELERATION OF RESEARCH, DEVELOPMENT, AND PRODUCTION OF 
MEDICAL COUNTERMEASURES FOR DEFENSE AGAINST BIOLOGICAL WARFARE AGENTS.
    (a) Aggressive Program Required.--(1) The Secretary of Defense 
shall carry out a program to aggressively accelerate the research, 
development, testing, and licensure of new medical countermeasures for 
defense against the biological warfare agents that are the highest 
threat.
    (2) The program shall include the following activities:
        (A) As the program's first priority, investment in multiple new 
    technologies for medical countermeasures for defense against the 
    biological warfare agents that are the highest threat, including 
    for the prevention and treatment of anthrax.
        (B) Leveraging of ideas and technologies from the biological 
    technology industry.
    (b) Study Required.--(1) The Secretary of Defense shall enter into 
a contract with the Institute of Medicine and the National Research 
Council under which the Institute and Council, in consultation with the 
Secretary, shall carry out a study of the review and approval process 
for new medical countermeasures for biological warfare agents. The 
purpose of the study shall be to identify--
        (A) new approaches to accelerating such process; and
        (B) definitive and reasonable methods for assuring the agencies 
    responsible for regulating such countermeasures that such 
    countermeasures will be effective in preventing disease in humans 
    or in providing safe and effective therapy against such agents.
    (2) Not later than June 1, 2002, the Institute and Council shall 
jointly submit to Congress a report on the results of the study.
    (c) Facility for Production of Vaccines.--(1) Subject to paragraph 
(2) and to the availability of funds for such purposes appropriated 
pursuant to an authorization of appropriations, the Secretary of 
Defense may--
        (A) design and construct a facility on a Department of Defense 
    installation for the production of vaccines to meet the 
    requirements of the Department of Defense to prevent or mitigate 
    the physiological effects of exposure to biological warfare agents;
        (B) operate that facility;
        (C) qualify and validate that facility for the production of 
    vaccines in accordance with the requirements of the Food and Drug 
    Administration; and
        (D) contract with a private-sector source for the production of 
    vaccines in that facility.
    (2) The authority under paragraph (1)(A) to construct a facility 
may be exercised only to the extent that a project for such 
construction is authorized by law in accordance with section 2802 of 
title 10, United States Code.
    (3) The Secretary shall use competitive procedures under chapter 
137 of title 10, United States Code, to enter into contracts to carry 
out subparagraphs (A), (B), and (D) of paragraph (1).
    (d) Plan Required.--(1) The Secretary shall develop a long-range 
plan to provide for the production and acquisition of vaccines to meet 
the requirements of the Department of Defense to prevent or mitigate 
the physiological effects of exposure to biological warfare agents.
    (2) The plan shall include the following:
        (A) An evaluation of the need for one or more vaccine 
    production facilities that are specifically dedicated to meeting 
    the requirements of the Department of Defense and other national 
    interests.
        (B) An evaluation of the options for the means of production of 
    such vaccines, including--
            (i) use of public facilities, private facilities, or a 
        combination of public and private facilities; and
            (ii) management and operation of the facilities by the 
        Federal Government, one or more private persons, or a 
        combination of the Federal Government and one or more private 
        persons.
        (C) A specification of the means that the Secretary determines 
    is most appropriate for the production of such vaccines.
    (3) The Secretary shall ensure that the plan is consistent with the 
requirement for safe and effective vaccines approved by the Food and 
Drug Administration.
    (4) In preparing the plan, the Secretary shall--
        (A) consider and, as the Secretary determines appropriate, 
    include the information compiled and the analyses developed in 
    preparing the reports required by sections 217 and 218 of the Floyd 
    D. Spence National Defense Authorization Act for Fiscal Year 2001 
    (as enacted into law by Public Law 106-398; 114 Stat. 1654A-36, 
    1654A-37); and
        (B) consult with the heads of other appropriate departments and 
    agencies of the Federal Government.
    (e) Report.--Not later than February 1, 2002, the Secretary shall 
submit to the congressional defense committees a report on the plan 
required by subsection (d). The report shall include, at a minimum, the 
contents of the plan and the following matters:
        (1) A description of the policies and requirements of the 
    Department of Defense regarding acquisition and use of such 
    vaccines.
        (2) The estimated schedule for the acquisition of such vaccines 
    in accordance with the plan.
        (3) A discussion of the options considered under subsection 
    (d)(2)(B) for the means of production of such vaccines.
        (4) The Secretary's recommendations for the most appropriate 
    course of action to meet the requirements specified in subsection 
    (d)(1), together with the justification for such recommendations 
    and the long-term cost of implementing such recommendations.
    (f) Funding.--Of the amount authorized to be appropriated under 
section 201(4) for research, development, test, and evaluation, 
Defense-wide, $5,000,000 may be available in Program Element 62384BP, 
and $5,000,000 may be available in Program Element 63384BP, for the 
program required by subsection (a).
SEC. 1045. CHEMICAL AND BIOLOGICAL PROTECTIVE EQUIPMENT FOR MILITARY 
PERSONNEL AND CIVILIAN EMPLOYEES OF THE DEPARTMENT OF DEFENSE.
    Not later than 120 days after the date of the enactment of this 
Act, the Secretary of Defense shall submit to Congress a report on the 
requirements of the Department of Defense, including the reserve 
components, regarding chemical and biological protective equipment. The 
report shall set forth the following:
        (1) A description of any current shortfalls with respect to 
    requirements regarding chemical and biological protective equipment 
    for military personnel, whether for individuals or units.
        (2) An assessment of what should be the appropriate level of 
    protection for civilian employees of the Department of Defense 
    against chemical and biological attack.
        (3) A plan for providing required chemical and biological 
    protective equipment for military personnel and civilian employees 
    of the Department of Defense.
        (4) An assessment of the costs associated with carrying out the 
    plan described in paragraph (3).
SEC. 1046. SALE OF GOODS AND SERVICES BY NAVAL MAGAZINE, INDIAN ISLAND, 
ALASKA.
    (a) Sale Authorized.--Subject to subsections (c) and (d) of section 
2563 of title 10, United States Code, the Secretary of the Navy may 
sell to a person outside the Department of Defense any article or 
service provided by the Naval Magazine, Indian Island, Alaska, that is 
not available from a United States commercial source.
    (b) Crediting of Proceeds.--The proceeds from the sale of any 
article or service under this section shall be credited to the 
appropriation supporting the maintenance and operation of the Naval 
Magazine, Indian Island, for the fiscal year in which the proceeds are 
received.
SEC. 1047. REPORT ON PROCEDURES AND GUIDELINES FOR EMBARKATION OF 
CIVILIAN GUESTS ON NAVAL VESSELS FOR PUBLIC AFFAIRS PURPOSES.
    Not later than February 1, 2002, the Secretary of the Navy shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report 
setting forth in detail the procedures and guidelines of the Navy for 
the embarkation of civilian guests on naval vessels for public affairs 
purposes. The report shall include the following:
        (1) Procedures for nominating and approving civilian guests for 
    embarkation on naval vessels.
        (2) Procedures for ensuring that civilian guest embarkations 
    are conducted only as part of regularly scheduled operations.
        (3) Guidelines regarding the operation of equipment by civilian 
    guests on naval vessels.
        (4) Any other procedures or guidelines the Secretary considers 
    necessary or appropriate to ensure that operational readiness and 
    safety are not hindered by activities related to the embarkation of 
    civilian guests on naval vessels.

SEC. 1048. TECHNICAL AND CLERICAL AMENDMENTS.

    (a) Title 10, United States Code.--Title 10, United States Code, is 
amended as follows:
        (1) The tables of chapters at the beginning of subtitle A, and 
    at the beginning of part II of subtitle A, are each amended by 
    striking the period after ``1111'' in the item relating to chapter 
    56.
        (2) Section 119(g)(2) is amended by striking ``National 
    Security Subcommittee'' and inserting ``Subcommittee on Defense''.
        (3) Section 130c(b)(3)(C) is amended by striking ``subsection 
    (f)'' and inserting ``subsection (g)''.
        (4) Section 176(a)(3) is amended by striking ``Chief Medical 
    Director'' and inserting ``Under Secretary for Health''.
        (5)(A) Section 503(c) is amended in paragraph (6)(A)(i) by 
    striking ``14101(18)'' and ``8801(18)'' and inserting ``14101'' and 
    ``8801'', respectively.
        (B) The amendment made by subparagraph (A) shall take effect on 
    July 1, 2002, immediately after the amendment to such section 
    effective that date by section 563(a) of the Floyd D. Spence 
    National Defense Authorization Act for Fiscal Year 2001 (as enacted 
    into law by Public Law 106-398; 114 Stat. 1654A-131).
        (6) Section 663(e) is amended--
            (A) by striking ``Armed Forces Staff College'' in paragraph 
        (1) and inserting ``Joint Forces Staff College''; and
            (B) by striking ``Armed Forces Staff College'' and 
        inserting ``Joint Forces Staff College''.
        (7) Section 667(17) is amended by striking ``Armed Forces Staff 
    College'' both places it appears and inserting ``Joint Forces Staff 
    College''.
        (8) Section 874(a) is amended by inserting after ``a sentence 
    of confinement for life without eligibility for parole'' the 
    following: ``that is adjudged for an offense committed after 
    October 29, 2000''.
        (9) Section 1056(c)(2) is amended by striking ``, not later 
    than September 30, 1991,''.
        (10) The table of sections at the beginning of chapter 55 is 
    amended by transferring the item relating to section 1074i, as 
    inserted by section 758(b) of the Floyd D. Spence National Defense 
    Authorization Act for Fiscal Year 2001 (as enacted by Public Law 
    106-398; 114 Stat. 1654A-200), so as to appear after the item 
    relating to section 1074h.
        (11) Section 1097a(e) is amended by striking ``section 1072'' 
    and inserting ``section 1072(2)''.
        (12) Sections 1111(a) and 1114(a)(1) are each amended by 
    striking ``hereafter'' and inserting ``hereinafter''.
        (13) Section 1116 is amended--
            (A) in subsection (a)(2)(B), by inserting an open 
        parenthesis before ``other than for training''; and
            (B) in subsection (b)(2)(D), by striking ``section 
        111(c)(4)'' and inserting ``section 1115(c)(4)''.
        (14) The heading for subchapter II of chapter 75 is transferred 
    within that chapter so as to appear before the table of sections at 
    the beginning of that subchapter (as if the amendment made by 
    section 721(c)(1) of the National Defense Authorization Act for 
    Fiscal Year 2000 (Public Law 106-65; 113 Stat. 694) had inserted 
    that heading following section 1471 instead of before section 
    1475).
        (15) Section 1611(d) is amended by striking ``with''.
        (16) Section 2166(e)(9) is amended by striking ``App. 2'' and 
    inserting ``App.''.
        (17) Section 2323(a)(1)(C) is amended--
            (A) by striking ``section 1046(3)'' and inserting ``section 
        365(3)'';
            (B) by striking ``20 U.S.C. 1135d-5(3)'' and inserting ``20 
        U.S.C. 1067k''; and
            (C) by striking ``, which, for the purposes of this 
        section'' and all that follows through the period at the end 
        and inserting a period.
        (18) Section 2375(b) is amended by inserting ``(41 U.S.C. 
    430)'' after ``section 34 of the Office of Federal Procurement 
    Policy Act''.
        (19) Section 2376(1) is amended by inserting ``(41 U.S.C. 
    403)'' after ``section 4 of the Office of Federal Procurement 
    Policy Act''.
        (20) Section 2410f(a) is amended by inserting after 
    ``inscription'' the following: ``, or another inscription with the 
    same meaning,''.
        (21) Section 2461a(a)(2) is amended by striking ``effeciency'' 
    and inserting ``efficiency''.
        (22) Section 2467 is amended--
            (A) in subsection (a)(2)--
                (i) by striking ``, United States Code'' in 
            subparagraph (A); and
                (ii) by striking ``such'' in subparagraphs (B) and (C); 
            and
            (B) in subsection (b)(2)(A), by striking ``United States 
        Code,''.
        (23) Section 2535 is amended--
            (A) in subsection (a)--
                (i) by striking ``intent of Congress'' and inserting 
            ``intent of Congress--'';
                (ii) by realigning clauses (1), (2), (3), and (4) so 
            that each such clause appears as a separate paragraph 
            indented two ems from the left margin; and
                (iii) in paragraph (1), as so realigned, by striking 
            ``Armed Forces'' and inserting ``armed forces'';
            (B) in subsection (b)(1)--
                (i) by striking ``in this section, the Secretary is 
            authorized and directed to--'' and inserting ``in 
            subsection (a), the Secretary of Defense shall--''; and
                (ii) by striking ``defense industrial reserve'' in 
            subparagraph (A) and inserting ``Defense Industrial 
            Reserve''; and
            (C) in subsection (c)--
                (i) by striking paragraph (1);
                (ii) by redesignating paragraph (2) as paragraph (1) 
            and in that paragraph--

                    (I) by striking ``means'' and inserting 
                ``means--'';
                    (II) by realigning clauses (A), (B), and (C) so 
                that each such clause appears as a separate 
                subparagraph indented four ems from the left margin; 
                and
                    (III) by inserting ``and'' at the end of 
                subparagraph (B), as so realigned; and

                (iii) by redesignating paragraph (3) as paragraph (2).
        (24) Section 2541c is amended by striking ``subtitle'' both 
    places it appears in the matter preceding paragraph (1) and 
    inserting ``subchapter''.
        (25) The second section 2582, added by section 1(a) of Public 
    Law 106-446 (114 Stat. 1932), is redesignated as section 2583, and 
    the item relating to that section in the table of sections at the 
    beginning of chapter 153 is revised to conform to such 
    redesignation.
        (26)(A) Section 2693(a) is amended--
            (i) in the matter preceding paragraph (1), by inserting 
        ``of Defense'' after ``Secretary''; and
            (ii) in paragraph (3)--
                (I) by inserting ``to the Secretary of Defense'' after 
            ``certifies'';
                (II) by inserting ``(42 U.S.C. 3762a)'' after ``of 
            1968''; and
                (III) by striking ``to the public agencies referred to 
            in section 515(a)(1) or 515(a)(3) of title I of such Act'' 
            and inserting ``to a public agency referred to in paragraph 
            (1) or (3) of subsection (a) of such section''.
        (B)(i) The heading of such section is amended to read as 
    follows:
``Sec. 2693. Conveyance of certain property: Department of Justice 
     correctional options program''.
        (ii) The item relating to such section in the table of sections 
    at the beginning of chapter 159 is amended to read as follows:

``2693. Conveyance of certain property: Department of Justice 
correctional options program.''.

        (27) Section 3014(f)(3) is amended by striking ``the number 
    equal to'' and all that follows and inserting ``67.''.
        (28) Section 5014(f)(3) is amended by striking ``the number 
    equal to'' and all that follows and inserting ``74.''.
        (29) Section 8014(f)(3) is amended by striking ``the number 
    equal to'' and all that follows and inserting ``60.''.
        (30) Section 9783(e)(1) is amended by striking ``40101(a)(2)'' 
    and inserting ``40102(a)(2)''.
        (31) Section 12741(a)(2) is amended by striking ``received'' 
    and inserting ``receive''.
    (b) Amendments Relating to Change in Title of Under Secretary of 
Defense for Acquisition, Technology, and Logistics.--Title 10, United 
States Code, is further amended as follows:
        (1) Section 133a(b) is amended by striking ``shall assist the 
    Under Secretary of Defense for Acquisition and Technology'' and 
    inserting ``shall assist the Under Secretary of Defense for 
    Acquisition, Technology, and Logistics''.
        (2) The following provisions are each amended by striking 
    ``Under Secretary of Defense for Acquisition and Technology'' and 
    inserting ``Under Secretary of Defense for Acquisition, Technology, 
    and Logistics'': sections 139(c), 139(g) (as redesignated by 
    section 263), 171(a)(3), 179(a)(1), 1702, 1703, 1707(a), 1722(a), 
    1722(b)(2)(B), 1735(c)(1), 1737(c)(1), 1737(c)(2)(B), 1741(b), 
    1746(a), 1761(b)(4), 1763, 2302c(a)(2), 2304(f)(1)(B)(iii), 
    2304(f)(6)(B), 2311(c)(1), 2311(c)(2)(B), 2350a(e)(1)(A), 
    2350a(e)(2)(B), 2350a(f)(1), 2399(b)(3), 2435(b), 2435(d)(2), 
    2521(a), and 2534(i)(3).
        (3)(A) The heading for section 1702 is amended to read as 
    follows:
``Sec. 1702. Under Secretary of Defense for Acquisition, Technology, 
     and Logistics: authorities and responsibilities''.
        (B) The item relating to section 1702 in the table of sections 
    at the beginning of subchapter I of chapter 87 is amended to read 
    as follows:

``1702. Under Secretary of Defense for Acquisition, Technology, and 
Logistics: authorities and responsibilities.''.

        (4) Section 2503(b) is amended by striking ``Under Secretary of 
    Defense for Acquisition'' and inserting ``Under Secretary of 
    Defense for Acquisition, Technology, and Logistics''.
    (c) Amendments To Substitute Calendar Dates for Date-of-Enactment 
References.--Title 10, United States Code, is further amended as 
follows:
        (1) Section 130c(d)(1) is amended by striking ``the date of the 
    enactment of the Floyd D. Spence National Defense Authorization Act 
    for Fiscal Year 2001'' and inserting ``October 30, 2000,''.
        (2) Section 184(a) is amended by striking ``the date of the 
    enactment of this section,'' and inserting ``October 30, 2000,''.
        (3) Section 986(a) is amended by striking ``the date of the 
    enactment of this section,'' and inserting ``October 30, 2000,''.
        (4) Section 1074g(a)(8) is amended by striking ``the date of 
    the enactment of this section'' and inserting ``October 5, 1999,''.
        (5) Section 1079(h)(2) is amended by striking ``the date of the 
    enactment of this paragraph'' and inserting ``February 10, 1996,''.
        (6) Section 1206(5) is amended by striking ``the date of the 
    enactment of the National Defense Authorization Act for Fiscal Year 
    2000,'' and inserting ``October 5, 1999,''.
        (7) Section 1405(c)(1) is amended by striking ``the date of the 
    enactment of the National Defense Authorization Act for Fiscal Year 
    1995,'' and inserting ``October 5, 1994,''.
        (8) Section 1407(f)(2) is amended by striking ``the date of the 
    enactment of this subsection--'' and inserting ``October 30, 2000--
    ''.
        (9) Section 1408(d)(6) is amended by striking ``the date of the 
    enactment of this paragraph'' and inserting ``August 22, 1996,''.
        (10) Section 1511(b) is amended by striking ``the date of the 
    enactment of this chapter.'' and inserting ``February 10, 1996.''.
        (11) Section 2461a(b)(1) is amended by striking ``the date of 
    the enactment of this section,'' and inserting ``October 30, 
    2000,''.
        (12) Section 4021(c)(1) is amended by striking ``the date of 
    the enactment of this section.'' and inserting ``November 29, 
    1989.''.
        (13) Section 6328(a) is amended by striking ``the date of the 
    enactment of this section'' and inserting ``February 10, 1996,''.
        (14) Section 7439 is amended--
            (A) in subsection (a)(2), by striking ``one year after the 
        date of the enactment of this section,'' and inserting 
        ``November 18, 1998,'';
            (B) in subsection (b)(1), by striking ``the date of the 
        enactment of this section,'' and inserting ``November 18, 
        1997,'';
            (C) in subsection (b)(2), by striking ``the end of the one-
        year period beginning on the date of the enactment of this 
        section.'' and inserting ``November 18, 1998.''; and
            (D) in subsection (f)(2), by striking ``the date of the 
        enactment of this section'' and inserting ``November 18, 
        1997,''.
        (15) Section 12533 is amended--
            (A) in each of subsections (b) and (c)(1), by striking 
        ``the date of the enactment of this section.'' and inserting 
        ``November 18, 1997.''; and
            (B) in each of subsections (c)(2) and (d), by striking 
        ``the date of the enactment of this section'' and inserting 
        ``November 18, 1997,''.
        (16) Section 12733(3) is amended--
            (A) in subparagraph (B), by striking ``the date of the 
        enactment of the Floyd D. Spence National Defense Authorization 
        Act for Fiscal Year 2001;'' and inserting ``October 30, 
        2000;''; and
            (B) in subparagraph (C), by striking ``the date of the 
        enactment of the Floyd D. Spence National Defense Authorization 
        Act for Fiscal Year 2001'' and inserting ``October 30, 2000,''.
    (d) Amendments Relating to Change in Title of McKinney-Vento 
Homeless Assistance Act.--The following provisions are each amended by 
striking ``Stewart B. McKinney Homeless Assistance Act'' and inserting 
``McKinney-Vento Homeless Assistance Act'':
        (1) Sections 2814(j)(2), 2854a(d)(2), and 2878(d)(4) of title 
    10, United States Code.
        (2) Sections 2905(b)(6)(A) and 2910(11) of the Defense Base 
    Closure and Realignment Act of 1990 (part A of title XXIX of Public 
    Law 101-510; 10 U.S.C. 2687 note).
        (3) Section 204(b)(6)(A) of the Defense Authorization 
    Amendments and Base Closure and Realignment Act (Public Law 100-
    526; 10 U.S.C. 2687 note).
        (4) Section 2915(c)(10) of the National Defense Authorization 
    Act for Fiscal Year 1994 (10 U.S.C. 2687 note).
        (5) Section 2(e)(4)(A) of the Base Closure Community 
    Redevelopment and Homeless Assistance Act of 1994 (Public Law 103-
    421; 10 U.S.C. 2687 note).
        (6) Section 1053(a) of the National Defense Authorization Act 
    for Fiscal Year 1997 (110 Stat. 2650).
    (e) Amendments To Repeal Obsolete Provisions.--Title 10, United 
States Code, is further amended as follows:
        (1) Section 1144 is amended--
            (A) in subsection (a)(3), by striking the second sentence; 
        and
            (B) by striking subsection (e).
        (2) Section 1581(b) is amended--
            (A) by striking ``(1)'' and all that follows through ``The 
        Secretary of Defense shall deposit'' and inserting ``The 
        Secretary of Defense shall deposit''; and
            (B) by striking ``on or after December 5, 1991,''.
        (3) Subsection (e) of section 1722 is repealed.
        (4) Subsection 1732(a) is amended by striking the second 
    sentence.
        (5) Section 1734 is amended--
            (A) in subsection (b)(1)(B), by striking ``on and after 
        October 1, 1991,''; and
            (B) in subsection (e)(2), by striking the last sentence.
        (6)(A) Section 1736 is repealed.
        (B) The table of sections at the beginning of subchapter III of 
    chapter 87 is amended by striking the item relating to section 
    1736.
        (7)(A) Sections 1762 and 1764 are repealed.
        (B) The table of sections at the beginning of subchapter V of 
    chapter 87 is amended by striking the items relating to sections 
    1762 and 1764.
        (8) Section 2112(a) is amended by striking ``, with the first 
    class graduating not later than September 21, 1982''.
        (9) Section 2218(d)(1) is amended by striking ``for fiscal 
    years after fiscal year 1993''.
        (10)(A) Section 2468 is repealed.
        (B) The table of sections at the beginning of chapter 146 is 
    amended by striking the item relating to section 2468.
        (11) Section 2832 is amended--
            (A) by striking ``(a)'' before ``The Secretary of 
        Defense''; and
            (B) by striking subsection (b).
        (12) Section 7430(b)(2) is amended--
            (A) by striking ``at a price less than'' and all that 
        follows through ``the current sales price'' and inserting ``at 
        a price less than the current sales price'';
            (B) by striking ``; or'' and inserting a period; and
            (C) by striking subparagraph (B).
    (f) Public Law 106-398.--Effective as of October 30, 2000, and as 
if included therein as enacted, the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398) is amended as follows:
        (1) Section 525(b)(1) (114 Stat. 1654A-109) is amended by 
    striking ``subsection (c)'' and inserting ``subsections (a) and 
    (b)''.
        (2) Section 1152(c)(2) (114 Stat. 1654A-323) is amended by 
    inserting ``inserting'' after ``and''.
    (g) Public Law 106-65.--Effective as of October 5, 1999, and as if 
included therein as enacted, the National Defense Authorization Act for 
Fiscal Year 2000 (Public Law 106-65) is amended as follows:
        (1) Section 531(b)(2)(A) (113 Stat. 602) is amended by 
    inserting ``in subsection (a),'' after ``(A)''.
        (2) Section 549(a)(2) (113 Stat. 611) is amended by striking 
    ``such chapter'' and inserting ``chapter 49 of title 10, United 
    States Code,''.
        (3) Section 576(a)(3) (10 U.S.C. 1501 note; 113 Stat. 625) is 
    amended by adding a period at the end.
        (4) Section 577(a)(2) (113 Stat. 625) is amended by striking 
    ``bad conduct'' in the first quoted matter and inserting ``bad-
    conduct''.
        (5) Section 811(d)(3)(B)(v) (10 U.S.C. 2302 note; 113 Stat. 
    709) is amended by striking ``Mentor-Protegee'' and inserting 
    ``Mentor-Protege''.
        (6) Section 1052(b)(1) (113 Stat. 764) is amended by striking 
    ```The Department'' and inserting ``the `Department''.
        (7) Section 1053(a)(5) (10 U.S.C. 113 note; 113 Stat. 764) is 
    amended by inserting ``and'' before ``Marines''.
        (8) Section 1402(f)(2)(A) (22 U.S.C. 2778 note; 113 Stat. 799) 
    is amended by striking ``3201 note'' and inserting ``6305(4)''.
        (9) Section 2902(d) (10 U.S.C. 111 note; 113 Stat. 882) is 
    amended by striking ``section 2871(b)'' and inserting ``section 
    2881(b)''.
    (h) Public Law 102-484.--The National Defense Authorization Act for 
Fiscal Year 1993 (Public Law 102-484) is amended as follows:
        (1) Section 3161(c)(6)(C) (42 U.S.C. 7274h(c)(6)(C)) is amended 
    by striking ``title IX of the Public Works and Economic Development 
    Act of 1965 (42 U.S.C. 3241 et seq.)'' and inserting ``title II of 
    the Public Works and Economic Development Act of 1965 (42 U.S.C. 
    3141 et seq.)''.
        (2) Section 4416(b)(1) (10 U.S.C. 12681 note) is amended by 
    striking ``force reduction period'' and inserting ``force reduction 
    transition period''.
        (3) Section 4461(5) (10 U.S.C. 1143 note) is amended by adding 
    a period at the end.
    (i) Other Laws.--
        (1) Section 1083(c) of the National Defense Authorization Act 
    for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 113 note) is 
    amended by striking ``Names'' and inserting ``Name''.
        (2) Section 845(d)(1)(B)(ii) of the National Defense 
    Authorization Act for Fiscal Year 1994 (Public Law 103-160; 10 
    U.S.C. 2371 note) is amended by inserting a closing parenthesis 
    after ``41 U.S.C. 414(3))''.
        (3) Section 1123(b) of the National Defense Authorization Act 
    for Fiscal Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1556) 
    is amended by striking ``Armed Forces Staff College'' each place it 
    appears and inserting ``Joint Forces Staff College''.
        (4) Section 1412(g)(2)(C)(vii) of the Department of Defense 
    Authorization Act, 1986 (50 U.S.C. 1521(g)(2)(C)(vii)) is amended 
    by striking ``(c)(3)'' and inserting ``(c)(4)''.
        (5) Section 8336 of title 5, United States Code, is amended--
            (A) in subsection (d)(2), by striking ``subsection (o)'' 
        and inserting ``subsection (p)''; and
            (B) by redesignating the second subsection (o), added by 
        section 1152(a)(2) of the Floyd D. Spence National Defense 
        Authorization Act for Fiscal Year 2001 (as enacted by Public 
        Law 106-398; 114 Stat. 1654A-320), as subsection (p).
        (6) Section 9001(3) of title 5, United States Code, is amended 
    by striking ``and'' at the end of subparagraph (A) and inserting 
    ``or''.
        (7) Section 318(h)(3) of title 37, United States Code, is 
    amended by striking ``subsection (a)'' and inserting ``subsection 
    (b)''.
        (8) Section 3695(a)(5) of title 38, United States Code, is 
    amended by striking ``1610'' and inserting ``1611''.
        (9) Section 13(b) of the Peace Corps Act (22 U.S.C. 2512(b)) is 
    amended by striking ``, subject to section 5532 of title 5, United 
    States Code''.
        (10) Section 127(g)(6) of the Trade Deficit Review Commission 
    Act (19 U.S.C. 2213 note), as amended by section 311(b) of the 
    Legislative Branch Appropriations Act, 2000 (Public Law 106-57; 113 
    Stat. 428), is amended--
            (A) by striking ``authorities.--'' and all that follows 
        through ``An individual'' and inserting ``authorities.--An 
        individual''; and
            (B) by striking subparagraph (B).
        (11) Section 28 of the Atomic Energy Act of 1954 (42 U.S.C. 
    2038) is amended in the last sentence by striking 
    ``, subject to'' and all that follows through the period at the end 
    and inserting a period.
        (12) Section 3212 of the National Nuclear Security 
    Administration Act (50 U.S.C. 2402) is amended by redesignating the 
    second subsection (e), added by section 3159(a) of the Floyd D. 
    Spence National Defense Authorization Act for Fiscal Year 2001 (as 
    enacted by Public Law 106-398; 114 Stat. 1654A-469), as subsection 
    (f).
    (j) Coordination With Other Amendments.--For purposes of applying 
amendments made by provisions of this Act other than provisions of this 
section, this section shall be treated as having been enacted 
immediately before the other provisions of this Act.
SEC. 1049. TERMINATION OF REFERENDUM REQUIREMENT REGARDING CONTINUATION 
OF MILITARY TRAINING ON ISLAND OF VIEQUES, PUERTO RICO, AND IMPOSITION 
OF ADDITIONAL CONDITIONS ON CLOSURE OF TRAINING RANGE.
    (a) In General.--Title XV of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-348) is amended by striking sections 1503, 
1504, and 1505 and inserting the following new sections:
``SEC. 1503. CONDITIONS ON CLOSURE OF VIEQUES NAVAL TRAINING RANGE.
    ``(a) Conditional Authority To Close.--The Secretary of the Navy 
may close the Vieques Naval Training Range on the island of Vieques, 
Puerto Rico, and discontinue training at that range only if the 
Secretary certifies to the President and Congress that both of the 
following conditions are satisfied:
        ``(1) One or more alternative training facilities exist that, 
    individually or collectively, provide an equivalent or superior 
    level of training for units of the Navy and the Marine Corps 
    stationed or deployed in the eastern United States.
        ``(2) The alternative facility or facilities are available and 
    fully capable of supporting such Navy and Marine Corps training 
    immediately upon cessation of training on Vieques.
    ``(b) Consultation Required.--In determining whether the conditions 
specified in paragraphs (1) and (2) of subsection (a) are satisfied, 
the Secretary of the Navy shall take into account the written views and 
recommendations of the Chief of Naval Operations and the Commandant of 
the Marine Corps. The Secretary shall submit these written views and 
recommendations to Congress with the certification submitted under 
subsection (a).
``SEC. 1504. CLOSURE OF VIEQUES NAVAL TRAINING RANGE AND DISPOSAL OF 
CLOSED RANGE.
    ``(a) Termination of Training and Related Closures.--If the 
conditions specified in section 1503(a) are satisfied and the Secretary 
of the Navy makes a determination to close the Vieques Naval Training 
Range and discontinue live-fire training at that range the Secretary of 
the Navy shall--
        ``(1) terminate all Navy and Marine Corps training operations 
    on the island of Vieques;
        ``(2) terminate all Navy and Marine Corps operations at Naval 
    Station Roosevelt Roads, Puerto Rico, that are related exclusively 
    to the use of the training range on the island of Vieques by the 
    Navy and the Marine Corps; and
        ``(3) close the Navy installations and facilities on the island 
    of Vieques, other than properties exempt from conveyance and 
    transfer under section 1506.
    ``(b) Transfer to Secretary of the Interior.--Upon termination of 
Navy and Marine Corps training operations on the island of Vieques, the 
Secretary of the Navy shall transfer, without reimbursement, to the 
administrative jurisdiction of the Secretary of the Interior--
        ``(1) the Live Impact Area on the island of Vieques;
        ``(2) all Department of Defense real properties on the eastern 
    side of the island that are identified as conservation zones; and
        ``(3) all other Department of Defense real properties on the 
    eastern side of the island.
    ``(c) Administration by Secretary of the Interior.--
        ``(1) Retention and administration.--The Secretary of the 
    Interior shall retain, and may not dispose of any of, the 
    properties transferred under paragraphs (2) and (3) of subsection 
    (b) and shall administer such properties as wildlife refuges under 
    the National Wildlife Refuge System Administration Act of 1966 (16 
    U.S.C. 668dd et seq.) pending the enactment of a law that addresses 
    the disposition of such properties.
        ``(2) Live impact area.--The Secretary of the Interior shall 
    assume responsibility for the administration of the Live Impact 
    Area upon transfer under paragraph (1) of subsection (b), 
    administer that area as a wilderness area under the Wilderness Act 
    (16 U.S.C. 1131 et seq.), and deny public access to the area.
    ``(d) Live Impact Area Defined.--In this section, the term `Live 
Impact Area' means the parcel of real property, consisting of 
approximately 900 acres (more or less), on the island of Vieques that 
is designated by the Secretary of the Navy for targeting by live 
ordnance in the training of forces of the Navy and Marine Corps.''.
    (b) Conforming Amendment.--Section 1507(c) of such Act (114 Stat. 
1654A-355) is amended by striking ``the issuance of a proclamation 
described in section 1504(a) or''.

                       Subtitle F--Other Matters

SEC. 1061. ASSISTANCE FOR FIREFIGHTERS.

    (a) Authorization of Appropriations.--Subsection (e) of section 33 
of the Federal Fire Prevention and Control Act of 1974 (15 U.S.C. 2229) 
is amended to read as follows:
    ``(e) Authorization of Appropriations.--
        ``(1) In general.--There are authorized to be appropriated 
    $900,000,000 for each of the fiscal years 2002 through 2004 for the 
    purposes of this section.
        ``(2) Administrative expenses.--Of the funds appropriated 
    pursuant to paragraph (1) for a fiscal year, the Director may use 
    not more than three percent of the funds to cover salaries and 
    expenses and other administrative costs incurred by the Director to 
    operate the office established under subsection (b)(2) and make 
    grants and provide assistance under this section.''.
    (b) Response to Terrorism or Use of Weapons of Mass Destruction.--
Subsection (b)(3) of such section is amended--
        (1) in subparagraph (B), by inserting ``(including response to 
    a terrorism incident or use of a weapon of mass destruction)'' 
    after ``response'';
        (2) in subparagraph (H), by striking ``and monitoring'' and 
    inserting ``, monitoring, and response to a terrorism incident or 
    use of a weapon of mass destruction''; and
        (3) in subparagraph (I), by inserting ``, including protective 
    equipment to respond to a terrorism incident or the use of a weapon 
    of mass destruction'' after ``personnel'' the second place it 
    appears.
    (c) Technical Amendments.--Subsection (b)(3) of such section is 
further amended--
        (1) by striking ``the grant funds--'' in the matter preceding 
    subparagraph (A) and inserting ``the grant funds for one or more of 
    the following purposes:'';
        (2) by capitalizing the initial letter of the first word of 
    each of subparagraphs (A) through (N);
        (3) by striking the semicolon at the end of each of 
    subparagraphs (A) through (L) and inserting a period; and
        (4) by striking ``; or'' at the end of subparagraph (M) and 
    inserting a period.
SEC. 1062. EXTENSION OF TIMES FOR COMMISSION ON THE FUTURE OF THE 
UNITED STATES AEROSPACE INDUSTRY TO REPORT AND TO TERMINATE.
    (a) Deadline for Report.--Subsection (d)(1) of section 1092 of the 
Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 
(as enacted into law by Public Law 106-398; 114 Stat. 1654A-302) is 
amended by striking ``March 1, 2002'' and inserting ``one year after 
the date of the first official meeting of the Commission''.
    (b) Termination of Commission.--Subsection (g) of such section is 
amended by striking ``30 days'' and inserting ``60 days''.
SEC. 1063. APPROPRIATIONS TO RADIATION EXPOSURE COMPENSATION TRUST 
FUND.
    Section 3(e) of the Radiation Exposure Compensation Act (42 U.S.C. 
2210 note) is amended to read as follows:
    ``(e) Appropriation.--
        ``(1) In general.--There are appropriated to the Fund, out of 
    any money in the Treasury not otherwise appropriated, for fiscal 
    year 2002 and each fiscal year thereafter through fiscal year 2011, 
    such sums as may be necessary, not to exceed the applicable maximum 
    amount specified in paragraph (2), to carry out the purposes of the 
    Fund.
        ``(2) Limitation.--Appropriation of amounts to the Fund 
    pursuant to paragraph (1) is subject to the following maximum 
    amounts:
            ``(A) For fiscal year 2002, $172,000,000.
            ``(B) For fiscal year 2003, $143,000,000.
            ``(C) For fiscal year 2004, $107,000,000.
            ``(D) For fiscal year 2005, $65,000,000.
            ``(E) For fiscal year 2006, $47,000,000.
            ``(F) For fiscal year 2007, $29,000,000.
            ``(G) For fiscal year 2008, $29,000,000.
            ``(H) For fiscal year 2009, $23,000,000.
            ``(I) For fiscal year 2010, $23,000,000.
            ``(J) For fiscal year 2011, $17,000,000.''.
SEC. 1064. WAIVER OF VEHICLE WEIGHT LIMITS DURING PERIODS OF NATIONAL 
EMERGENCY.
    Section 127 of title 23, United States Code, is amended by adding 
at the end the following new subsection:
    ``(h) Waiver for a Route in State of Maine During Periods of 
National Emergency.--
        ``(1) In general.--Notwithstanding any other provision of this 
    section, the Secretary, in consultation with the Secretary of 
    Defense, may waive or limit the application of any vehicle weight 
    limit established under this section with respect to the portion of 
    Interstate Route 95 in the State of Maine between Augusta and 
    Bangor for the purpose of making bulk shipments of jet fuel to the 
    Air National Guard Base at Bangor International Airport during a 
    period of national emergency in order to respond to the effects of 
    the national emergency.
        ``(2) Applicability.--Emergency limits established under 
    paragraph (1) shall preempt any inconsistent State vehicle weight 
    limits.''.
SEC. 1065. REPAIR, RESTORATION, AND PRESERVATION OF LAFAYETTE 
ESCADRILLE MEMORIAL, MARNES-LA-COQUETTE, FRANCE.
    (a) Authority To Make Grant.--(1) Subject to subsections (b) and 
(c), the Secretary of the Air Force may make a grant to the Lafayette 
Escadrille Memorial Foundation, Inc., to be used solely for the purpose 
of repairing, restoring, and preserving the structure, plaza, and 
surrounding grounds of the Lafayette Escadrille Memorial in Marnes la-
Coquette, France.
    (2) The amount of the grant may not exceed $2,000,000.
    (b) Contribution of Funds by France.--The Secretary of the Air 
Force may not make the grant authorized by subsection (a) until 30 days 
after the Secretary submits to Congress a report indicating that the 
government of France has also contributed funds toward the repair, 
restoration, and preservation of the memorial. The report shall specify 
the amount of the funds contributed by the government of France and 
describe the purpose for which the funds are to be used.
    (c) Conditions on Receipt of Grant.--(1) The grant under subsection 
(a) shall be subject to the following conditions:
        (A) That the Lafayette Escadrille Memorial Foundation submit to 
    the Secretary of the Air Force an annual report, until the grant 
    funds are fully expended, containing an itemized accounting of 
    expenditures of grant funds and describing the progress made to 
    repair, restore, and preserve the memorial.
        (B) That the Secretary and the Comptroller General of the 
    United States, or any of their duly authorized representatives, be 
    given access for the purpose of audit and examination to any books, 
    documents, papers, and records of the Lafayette Escadrille Memorial 
    Foundation.
        (C) That none of the grant funds be used for remuneration of 
    any entity or individual associated with fundraising for any 
    project in connection with the repair, restoration, and 
    preservation of the memorial.
    (2) The Secretary shall transmit to Congress a copy of each report 
received under paragraph (1)(A).
    (d) Report on Architectural and Engineering Costs.--Not later than 
one year after the date of the enactment of this Act, the Secretary of 
the Air Force shall submit to Congress a report containing an estimate 
of the architectural and engineering costs to be incurred to fully 
repair, restore, and preserve the memorial and ensure the long-term 
structural integrity of the memorial. The estimate shall be prepared by 
a private United States entity, under contract with the Secretary. 
Funds for the contract shall also be derived from the amount specified 
in subsection (e).
    (e) Funds for Grant.--Funds for the grant under subsection (a) 
shall be derived only from amounts authorized to be appropriated under 
section 301(a)(4) for operation and maintenance for the Air Force.

                  TITLE XI--CIVILIAN PERSONNEL MATTERS

          Subtitle A--Department of Defense Civilian Personnel

Sec. 1101. Personnel pay and qualifications authority for Department of 
Defense Pentagon Reservation civilian law enforcement and security 
force.
Sec. 1102. Pilot program for payment of retraining expenses.
Sec. 1103. Authority of civilian employees to act as notaries.
Sec. 1104. Authority to appoint certain health care professionals in the 
excepted service.

           Subtitle B--Civilian Personnel Management Generally

Sec. 1111. Authority to provide hostile fire pay.
Sec. 1112. Payment of expenses to obtain professional credentials.
Sec. 1113. Parity in establishment of wage schedules and rates for 
prevailing rate employees.
Sec. 1114. Modification of limitation on premium pay.
Sec. 1115. Participation of personnel in technical standards development 
activities.
Sec. 1116. Retention of travel promotional items.
Sec. 1117. Applicability of certain laws to certain individuals assigned 
to work in the Federal Government.

               Subtitle C--Intelligence Civilian Personnel

Sec. 1121. Authority to increase maximum number of positions in the 
Defense Intelligence Senior Executive Service.

               Subtitle D--Matters Relating To Retirement

Sec. 1131. Improved portability of retirement coverage for employees 
moving between civil service employment and employment by 
nonappropriated fund instrumentalities.
Sec. 1132. Federal employment retirement credit for nonappropriated fund 
instrumentality service.
Sec. 1133. Modification of limitations on exercise of voluntary 
separation incentive pay authority and voluntary early retirement 
authority.

          Subtitle A--Department of Defense Civilian Personnel

SEC. 1101. PERSONNEL PAY AND QUALIFICATIONS AUTHORITY FOR DEPARTMENT OF 
DEFENSE PENTAGON RESERVATION CIVILIAN LAW ENFORCEMENT AND SECURITY 
FORCE.
    Section 2674(b) of title 10, United States Code, is amended--
        (1) by inserting ``(1)'' before the text in the first paragraph 
    of that subsection;
        (2) by redesignating paragraphs (1) and (2) as subparagraphs 
    (A) and (B), respectively; and
        (3) by adding at the end the following new paragraph:
    ``(2) For positions for which the permanent duty station is the 
Pentagon Reservation, the Secretary, in his sole and exclusive 
discretion, may without regard to the pay provisions of title 5, fix 
the rates of basic pay for such positions occupied by civilian law 
enforcement and security personnel appointed under the authority of 
this section so as to place such personnel on a comparable basis with 
personnel of other similar Federal law enforcement and security 
organizations within the vicinity of the Pentagon Reservation, not to 
exceed the basic pay for personnel performing similar duties in the 
United States Secret Service Uniformed Division or the United States 
Park Police.''.
SEC. 1102. PILOT PROGRAM FOR PAYMENT OF RETRAINING EXPENSES.
    (a) Authority To Carry Out Pilot Program.--(1) The Secretary of 
Defense may establish a pilot program to facilitate the reemployment of 
eligible employees of the Department of Defense who are involuntarily 
separated due to a reduction in force, relocation as a result of a 
transfer of function, realignment, or change of duty station. Under the 
pilot program, the Secretary may pay retraining incentives to encourage 
non-Federal employers to hire and retain such eligible employees.
    (2) Under the pilot program, the Secretary may enter into an 
agreement with a non-Federal employer under which the employer agrees--
        (A) to employ an eligible employee for at least 12 months at a 
    salary that is mutually agreeable to the employer and the eligible 
    employee; and
        (B) to certify to the Secretary the amount of costs incurred by 
    the employer for any necessary training (as defined by the 
    Secretary) provided to such eligible employee in connection with 
    the employment.
    (3) The Secretary may pay a retraining incentive to the non-Federal 
employer upon the employee's completion of 12 months of continuous 
employment with that employer. The Secretary shall determine the amount 
of the incentive, except that in no event may such amount exceed the 
lesser of the amount certified with respect to such eligible employee 
under paragraph (2)(B), or $10,000.
    (4) In a case in which an eligible employee does not remain 
employed by the non-Federal employer for at least 12 months, the 
Secretary may pay to the employer a prorated amount of what would have 
been the full retraining incentive if the eligible employee had 
remained employed for such 12-month period.
    (b) Eligible Employees.--For purposes of this section, an eligible 
employee is an employee of the Department of Defense, serving under an 
appointment without time limitation, who has been employed by the 
Department for a continuous period of at least 12 months and who has 
been given notice of separation pursuant to a reduction in force, 
relocation as a result of a transfer of function, realignment, or 
change of duty station, except that such term does not include--
        (1) a reemployed annuitant under the retirement systems 
    described in subchapter III of chapter 83 of title 5, United States 
    Code, or chapter 84 of such title, or another retirement system for 
    employees of the Federal Government;
        (2) an employee who, upon separation from Federal service, is 
    eligible for an immediate annuity under subchapter III of chapter 
    83 of such title, or subchapter II of chapter 84 of such title; or
        (3) an employee who is eligible for disability retirement under 
    any of the retirement systems referred to in paragraph (1).
    (c) Duration.--No incentive may be paid under the pilot program for 
training commenced after September 30, 2005.
    (d) Definitions.--In this section:
        (1) The term ``non-Federal employer'' means an employer that is 
    not an Executive agency, as defined in section 105 of title 5, 
    United States Code, or an entity in the legislative or judicial 
    branch of the Federal Government.
        (2) The term ``reduction in force'' has the meaning of that 
    term as used in chapter 35 of such title 5.
        (3) The term ``realignment'' has the meaning given that term in 
    section 2910 of the Defense Base Closure and Realignment Act of 
    1990 (title XXIX of Public Law 101-510; 10 U.S.C. 2687 note).
SEC. 1103. AUTHORITY OF CIVILIAN EMPLOYEES TO ACT AS NOTARIES.
    (a) Clarification of Status of Civilian Attorneys Eligible To Act 
as Notaries.--Subsection (b) of section 1044a of title 10, United 
States Code, is amended by striking ``legal assistance officers'' in 
paragraph (2) and inserting ``legal assistance attorneys''.
    (b) Other Civilian Employees Designated To Act as Notaries 
Abroad.--Such subsection is further amended by adding at the end the 
following new paragraph:
        ``(5) For the performance of notarial acts at locations outside 
    the United States, all employees of a military department or the 
    Coast Guard who are designated by regulations of the Secretary 
    concerned or by statute to have those powers for exercise outside 
    the United States.''.
SEC. 1104. AUTHORITY TO APPOINT CERTAIN HEALTH CARE PROFESSIONALS IN 
THE EXCEPTED SERVICE.
    (a) Authority.--Chapter 81 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 1599c. Appointment in excepted service of certain health care 
      professionals
    ``(a) Authority.--The Secretary of Defense may appoint in the 
excepted service without regard to the provisions of subchapter I of 
chapter 33 of title 5 (except as provided in section 3328 of such title 
and in subsection (c) of this section) an individual who has--
        ``(1) a recognized degree or certificate from an accredited 
    institution in a covered health care profession or occupation; and
        ``(2) successfully completed a clinical education program 
    affiliated with the Department of Defense or the Department of 
    Veterans Affairs.
    ``(b) Covered Health Care Profession or Occupation.--For purposes 
of subsection (a), a covered health care profession or occupation is 
any of the following:
        ``(1) Physician.
        ``(2) Dentist.
        ``(3) Podiatrist.
        ``(4) Optometrist.
        ``(5) Nurse.
        ``(6) Physician assistant.
        ``(7) Expanded-function dental auxiliary.
    ``(c) Preferences in Hiring.--In using the authority provided by 
this section, the Secretary shall apply the principles of preference 
for the hiring of veterans and other individuals established in 
subchapter I of chapter 33 of title 5.
    ``(d) Probationary Period.--There shall be an initial probationary 
period of two years for appointments made under the authority of this 
section.
    ``(e) Promotions and Advancement.--(1) Promotions of individuals 
appointed under the authority of this section shall be made only after 
an examination performed in accordance with regulations prescribed by 
the Secretary.
    ``(2) Advancement of such individuals within a pay grade may be 
made in increments of the minimum rate of basic pay of the grade in 
accordance with regulations prescribed by the Secretary.
    ``(f) Review of Records by Board.--The record of each individual 
appointed under the authority of this section in the medical, dental, 
and nursing services shall be reviewed periodically by a board, which 
shall be appointed in accordance with regulations prescribed by the 
Secretary. If such board finds that such individual is not fully 
qualified and satisfactory, such individual shall be separated from 
service.
    ``(g) Adjustment of Pay.--In accordance with regulations prescribed 
by the Secretary, the grade and annual rate of basic pay of an 
individual appointed under this section whose level of assignment is 
changed from a level of assignment in which the grade level is based on 
both the nature of the assignment and qualifications may be adjusted to 
the grade and annual rate of basic pay otherwise appropriate.
    ``(h) Appointment to Additional Positions.--(1) The Secretary may 
use the authority of this subsection (subject to paragraph (2)) to 
establish the qualifications for, and appoint and advance an individual 
in the Department of Defense as--
        ``(A) a clinical or counseling psychologist (if such 
    psychologist holds a diploma as a diplomate in psychology from an 
    accrediting authority approved by the Secretary);
        ``(B) a certified or registered respiratory therapist;
        ``(C) a licensed physical therapist;
        ``(D) a licensed practical or vocational nurse;
        ``(E) a pharmacist; or
        ``(F) an occupational therapist.
    ``(2) Notwithstanding any other provision of this title or any 
other law, all matters relating to adverse actions, disciplinary 
actions, and grievance procedures involving an individual appointed to 
a position described in paragraph (1) (including such actions and 
procedures involving an employee in a probationary status) shall be 
resolved under the provisions of title 5 as though such individual had 
been appointed under such title.
    ``(i) Reinstatement.--In determining eligibility for reinstatement 
in the civil service of individuals appointed to positions in the 
Department of Defense under this section who at the time of appointment 
have a civil service status and whose employment in the Department of 
Defense is terminated, the period of service performed in the 
Department shall be included in computing the period of service under 
applicable civil service regulations.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``1599c. Appointment in excepted service of certain health care 
professionals.''.

          Subtitle B--Civilian Personnel Management Generally

SEC. 1111. AUTHORITY TO PROVIDE HOSTILE FIRE PAY.

    (a) In General.--Subchapter IV of chapter 59 of title 5, United 
States Code, is amended by adding at the end the following new section:

``Sec. 5949. Hostile fire pay

    ``(a) The head of an Executive agency may pay an employee hostile 
fire pay at the rate of $150 for any month in which the employee was--
        ``(1) subject to hostile fire or explosion of hostile mines;
        ``(2) on duty in an area in which the employee was in imminent 
    danger of being exposed to hostile fire or explosion of hostile 
    mines and in which, during the period on duty in that area, other 
    employees were subject to hostile fire or explosion of hostile 
    mines; or
        ``(3) killed, injured, or wounded by hostile fire, explosion of 
    a hostile mine, or any other hostile action.
    ``(b) An employee covered by subsection (a)(3) who is hospitalized 
for the treatment of his or her injury or wound may be paid hostile 
fire pay under this section for not more than three additional months 
during which the employee is so hospitalized.
    ``(c) An employee may be paid hostile fire pay under this section 
in addition to other pay and allowances to which entitled, except that 
an employee may not be paid hostile fire pay under this section for 
periods of time during which the employee receives payment under 
section 5925 of this title because of exposure to political violence or 
payment under section 5928 of this title.''.
    (b) Technical Amendment.--The table of sections at the beginning of 
chapter 59 of such title is amended by inserting at the end the 
following new item:
``5949. Hostile fire pay.''.

    (c) Effective Date.--This provision is effective as if enacted into 
law on September 11, 2001, and may be applied with respect to any 
hostile action that took place on or after that date.
SEC. 1112. PAYMENT OF EXPENSES TO OBTAIN PROFESSIONAL CREDENTIALS.
    (a) In General.--Chapter 57 of title 5, United States Code, is 
amended by adding at the end the following new section:
``Sec. 5757. Payment of expenses to obtain professional credentials
    ``(a) An agency may use appropriated funds or funds otherwise 
available to the agency to pay for--
        ``(1) expenses for employees to obtain professional 
    credentials, including expenses for professional accreditation, 
    State-imposed and professional licenses, and professional 
    certification; and
        ``(2) examinations to obtain such credentials.
    ``(b) The authority under subsection (a) may not be exercised on 
behalf of any employee occupying or seeking to qualify for appointment 
to any position that is excepted from the competitive service because 
of the confidential, policy-determining, policy-making, or policy-
advocating character of the position.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``5757. Payment of expenses to obtain professional credentials.''.

SEC. 1113. PARITY IN ESTABLISHMENT OF WAGE SCHEDULES AND RATES FOR 
PREVAILING RATE EMPLOYEES.
    (a) In General.--Paragraph (2) of section 5343(d) of title 5, 
United States Code, is amended to read as follows:
    ``(2) When the lead agency determines that there is a number of 
comparable positions in private industry insufficient to establish the 
wage schedules and rates, such agency shall establish the wage 
schedules and rates on the basis of--
        ``(A) local private industry rates; and
        ``(B) rates paid for comparable positions in private industry 
    in the nearest wage area that such agency determines is most 
    similar in the nature of its population, employment, manpower, and 
    industry to the local wage area for which the wage survey is being 
    made.''.
    (b) Effective Date.--Wage adjustments made pursuant to the 
amendment made by this section shall take effect in each applicable 
wage area on the first normal effective date of the applicable wage 
survey adjustment that occurs after the date of the enactment of this 
Act.
SEC. 1114. MODIFICATION OF LIMITATION ON PREMIUM PAY.
    (a) In General.--Section 5547 of title 5, United States Code, is 
amended to read as follows:

``Sec. 5547. Limitation on premium pay

    ``(a) An employee may be paid premium pay under sections 5542, 5545 
(a), (b), and (c), 5545a, and 5546 (a) and (b) only to the extent that 
the payment does not cause the aggregate of basic pay and such premium 
pay for any pay period for such employee to exceed the greater of--
        ``(1) the maximum rate of basic pay payable for GS-15 
    (including any applicable locality-based comparability payment 
    under section 5304 or similar provision of law and any applicable 
    special rate of pay under section 5305 or similar provision of 
    law); or
        ``(2) the rate payable for level V of the Executive Schedule.
    ``(b)(1) Subject to regulations prescribed by the Office of 
Personnel Management, subsection (a) shall not apply to an employee who 
is paid premium pay by reason of work in connection with an emergency 
(including a wildfire emergency) that involves a direct threat to life 
or property, including work performed in the aftermath of such an 
emergency.
    ``(2) Notwithstanding paragraph (1), no employee referred to in 
such paragraph may be paid premium pay under the provisions of law 
cited in subsection (a) if, or to the extent that, the aggregate of the 
basic pay and premium pay under those provisions for such employee 
would, in any calendar year, exceed the greater of--
        ``(A) the maximum rate of basic pay payable for GS-15 in effect 
    at the end of such calendar year (including any applicable 
    locality-based comparability payment under section 5304 or similar 
    provision of law and any applicable special rate of pay under 
    section 5305 or similar provision of law); or
        ``(B) the rate payable for level V of the Executive Schedule in 
    effect at the end of such calendar year.
    ``(3) Subject to regulations prescribed by the Office of Personnel 
Management, the head of an agency may determine that subsection (a) 
shall not apply to an employee who is paid premium pay to perform work 
that is critical to the mission of the agency. Such employees may be 
paid premium pay under the provisions of law cited in subsection (a) 
if, or to the extent that, the aggregate of the basic pay and premium 
pay under those provisions for such employee would not, in any calendar 
year, exceed the greater of--
        ``(A) the maximum rate of basic pay payable for GS-15 in effect 
    at the end of such calendar year (including any applicable 
    locality-based comparability payment under section 5304 or similar 
    provision of law and any applicable special rate of pay under 
    section 5305 or similar provision of law); or
        ``(B) the rate payable for level V of the Executive Schedule in 
    effect at the end of such calendar year.
    ``(c) The Office of Personnel Management shall prescribe 
regulations governing the methods of applying subsection (b)(2) and 
(b)(3) to employees who receive premium pay under section 5545(c) or 
5545a, or to firefighters covered by section 5545b who receive overtime 
pay for hours in their regular tour of duty, and the method of payment 
to such employees. Such regulations may limit the payment of such 
premium pay on a biweekly basis.
    ``(d) This section shall not apply to any employee of the Federal 
Aviation Administration or the Department of Defense who is paid 
premium pay under section 5546a.''.
    (b) Conforming Amendment.--Section 118 of the Treasury and General 
Government Appropriations Act, 2001 (as enacted into law by section 
1(3) of Public Law 106-554; 114 Stat. 2763A-134) is amended by striking 
``limitation on the rate of pay payable during a pay period contained 
in section 5547(c)(2)'' and inserting ``restrictions contained in 
section 5547''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on the first day of the first pay period beginning on 
or after the date that is 120 days following the date of enactment of 
this Act.
SEC. 1115. PARTICIPATION OF PERSONNEL IN TECHNICAL STANDARDS 
DEVELOPMENT ACTIVITIES.
    Subsection (d) of section 12 of the National Technology Transfer 
and Advancement Act of 1995 (Pub. Law 104-113; 15 U.S.C. 272 note) is 
amended--
        (1) by redesignating paragraph (4) as paragraph (5); and
        (2) by inserting after paragraph (3) the following new 
    paragraph (4):
        ``(4) Expenses of government personnel.--Section 5946 of title 
    5, United States Code, shall not apply with respect to any activity 
    of an employee of a Federal agency or department that is determined 
    by the head of that agency or department as being an activity 
    undertaken in carrying out this subsection.''.
SEC. 1116. RETENTION OF TRAVEL PROMOTIONAL ITEMS.
    (a) Definition.--In this section, the term ``agency'' has the 
meaning given that term under section 5701 of title 5, United States 
Code.
    (b) Retention of Travel Promotional Items.--To the extent provided 
under subsection (c), a Federal employee, member of the Foreign 
Service, member of a uniformed service, any family member or dependent 
of such an employee or member, or other individual who receives a 
promotional item (including frequent flyer miles, upgrade, or access to 
carrier clubs or facilities) as a result of using travel or 
transportation services obtained at Federal Government expense or 
accepted under section 1353 of title 31, United States Code, may retain 
the promotional item for personal use if the promotional item is 
obtained under the same terms as those offered to the general public 
and at no additional cost to the Federal Government.
    (c) Limitation.--Subsection (b)--
        (1) applies only to travel that--
            (A) is at the expense of an agency; or
            (B) is accepted by an agency under section 1353 of title 
        31, United States Code; and
        (2) does not apply to travel by any officer, employee, or other 
    official of the Government who is not in or under any agency.
    (d) Regulatory Authority.--Any agency with authority to prescribe 
regulations governing the acquisition, acceptance, use, or disposal of 
any travel or transportation services obtained at Government expense or 
accepted under section 1353 of title 31, United States Code, may 
prescribe regulations to carry out subsection (b) with respect to those 
travel or transportation services.
    (e) Repeal of Superseded Law.--Section 6008 of the Federal 
Acquisition Streamlining Act of 1994 (5 U.S.C. 5702 note; Public Law 
103-355) is repealed.
    (f) Applicability.--This section shall apply with respect to 
promotional items received before, on, or after the date of enactment 
of this Act.
SEC. 1117. APPLICABILITY OF CERTAIN LAWS TO CERTAIN INDIVIDUALS 
ASSIGNED TO WORK IN THE FEDERAL GOVERNMENT.
    Section 3374(c)(2) of title 5, United States Code, is amended by 
inserting ``the Ethics in Government Act of 1978, section 27 of the 
Office of Federal Procurement Policy Act,'' after ``chapter 73 of this 
title,''.

              Subtitle C--Intelligence Civilian Personnel

SEC. 1121. AUTHORITY TO INCREASE MAXIMUM NUMBER OF POSITIONS IN THE 
DEFENSE INTELLIGENCE SENIOR EXECUTIVE SERVICE.
    Section 1606(a) of title 10, United States Code, is amended by 
striking ``517'' and inserting ``544''.

               Subtitle D--Matters Relating To Retirement

SEC. 1131. IMPROVED PORTABILITY OF RETIREMENT COVERAGE FOR EMPLOYEES 
MOVING BETWEEN CIVIL SERVICE EMPLOYMENT AND EMPLOYMENT BY 
NONAPPROPRIATED FUND INSTRUMENTALITIES.
    (a) Civil Service Retirement System.--Section 8347(q) of title 5, 
United States Code, is amended--
        (1) in paragraph (1)--
            (A) by inserting ``and'' at the end of subparagraph (A);
            (B) by striking subparagraph (B); and
            (C) by redesignating subparagraph (C) as subparagraph (B); 
        and
        (2) in paragraph (2)(B)--
            (A) by striking ``vested''; and
            (B) by striking ``, as the term'' and all that follows 
        through ``such system''.
    (b) Federal Employees' Retirement System.--Section 8461(n) of such 
title is amended--
        (1) in paragraph (1)--
            (A) by inserting ``and'' at the end of subparagraph (A);
            (B) by striking subparagraph (B); and
            (C) by redesignating subparagraph (C) as subparagraph (B); 
        and
        (2) in paragraph (2)(B)--
            (A) by striking ``vested''; and
            (B) by striking ``, as the term'' and all that follows 
        through ``such system''.
SEC. 1132. FEDERAL EMPLOYMENT RETIREMENT CREDIT FOR NONAPPROPRIATED 
FUND INSTRUMENTALITY SERVICE.
    (a) Civil Service Retirement System.--(1) Section 8332(b) of title 
5, United States Code, is amended--
        (A) by striking ``and'' at the end of paragraph (15);
        (B) by striking the period at the end of paragraph (16) and 
    inserting ``; and'';
        (C) by inserting after paragraph (16) the following new 
    paragraph:
        ``(17) service performed by any individual as an employee paid 
    from nonappropriated funds of an instrumentality of the Department 
    of Defense or the Coast Guard described in section 2105(c) that is 
    not covered by paragraph (16) and that is not otherwise creditable, 
    if the individual elects (in accordance with regulations prescribed 
    by the Office) to have such service credited under this 
    paragraph.'';
        (D) in the last sentence, by inserting ``or (17)'' after 
    ``service of the type described in paragraph (16)''; and
        (E) by inserting after the last sentence the following: 
    ``Service credited under paragraph (17) may not also be credited 
    under any other retirement system provided for employees paid from 
    nonappropriated funds of a nonappropriated fund instrumentality.''.
    (2) Section 8334 of such title is amended by adding at the end the 
following new subsection:
    ``(n) Notwithstanding subsection (c), no deposit may be made with 
respect to service credited under section 8332(b)(17).''.
    (3) Section 8339 of such title is amended by adding at the end the 
following new subsection:
    ``(u) The annuity of an employee retiring under this subchapter 
with service credited under section 8332(b)(17) shall be reduced by the 
amount necessary to ensure that the present value of the annuity 
payable to the employee is actuarially equivalent to the present value 
of the annuity that would be payable to the employee under this 
subchapter if it were computed--
        ``(1) on the basis of service that does not include service 
    credited under section 8332(b)(17); and
        ``(2) assuming the employee separated from service on the 
    actual date of the separation of the employee.
The amount of the reduction shall be computed under regulations 
prescribed by the Office of Personnel Management for the administration 
of this subsection.''.
    (b) Federal Employees' Retirement System.--(1) Section 8411 of such 
title is amended--
        (A) in subsection (b)--
            (i) by striking ``and'' at the end of paragraph (4);
            (ii) by striking the period at the end of paragraph (5) and 
        inserting ``; and''; and
            (iii) by inserting after paragraph (5) the following new 
        paragraph:
        ``(6) service performed by any individual as an employee paid 
    from nonappropriated funds of an instrumentality of the Department 
    of Defense or the Coast Guard described in section 2105(c) that is 
    not otherwise creditable, if the individual elects (in accordance 
    with regulations prescribed by the Office) to have such service 
    credited under this paragraph.''; and
        (B) by adding at the end the following new subsection:
    ``(k)(1) The Office of Personnel Management shall accept, for the 
purposes of this chapter, the certification of the head of a 
nonappropriated fund instrumentality of the United States concerning 
service of the type described in subsection (b)(6) that was performed 
for such nonappropriated fund instrumentality.
    ``(2) Service credited under subsection (b)(6) may not also be 
credited under any other retirement system provided for employees paid 
from nonappropriated funds of a nonappropriated fund 
instrumentality.''.
    (2)(A) Section 8422 of such title is amended by adding at the end 
the following new subsection:
    ``(h) No deposit may be made with respect to service credited under 
section 8411(b)(6).''.
    (B) The heading for such section is amended to read as follows:
``Sec. 8422. Deductions from pay; contributions for other service''.
    (C) The item relating to such section in the table of contents at 
the beginning of chapter 84 of title 5, United States Code, is amended 
to read as follows:

``8422. Deductions from pay; contributions for other service.''.

    (3) Section 8415 of such title is amended by adding at the end the 
following new subsection:
    ``(j) The annuity of an employee retiring under this chapter with 
service credited under section 8411(b)(6) shall be reduced by the 
amount necessary to ensure that the present value of the annuity 
payable to the employee under this subchapter is actuarially equivalent 
to the present value of the annuity that would be payable to the 
employee under this subchapter if it were computed--
        ``(1) on the basis of service that does not include service 
    credited under section 8411(b)(6); and
        ``(2) assuming the employee separated from service on the 
    actual date of the separation of the employee.
The amount of the reduction shall be computed under regulations 
prescribed by the Office of Personnel Management for the administration 
of this subsection.''.
    (c) Applicability.--The amendments made by this section shall apply 
only to separations from service as an employee of the United States on 
or after the date of the enactment of this Act.
SEC. 1133. MODIFICATION OF LIMITATIONS ON EXERCISE OF VOLUNTARY 
SEPARATION INCENTIVE PAY AUTHORITY AND VOLUNTARY EARLY RETIREMENT 
AUTHORITY.
    (a) In General.--Section 1153(b) of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (as enacted into law by 
Public Law 106-398; 114 Stat. 1654A-323) is amended--
        (1) in paragraph (1)--
            (A) by striking ``(1) Subject to paragraph (2), the'' and 
        inserting ``The'';
            (B) by striking ``in each of fiscal years 2002 and 2003, 
        not more than 4000 employees of the Department of Defense are'' 
        and inserting ``in fiscal year 2002 not more than 2000 
        employees of the Department of Defense are, and in fiscal year 
        2003 not more than 6000 employees of the Department of Defense 
        are''; and
            (C) by redesignating subparagraphs (A) and (B) as 
        paragraphs (1) and (2), respectively; and
        (2) by striking paragraph (2).
    (b) Construction.--The amendments made by subsection (a) may be 
superceded by another provision of law that takes effect after the date 
of the enactment of this Act, and before October 1, 2003, establishing 
a uniform system of providing voluntary separation incentives 
(including a system for requiring approval of plans by the Office of 
Management and Budget) for employees of the Federal Government.

              TITLE XII--MATTERS RELATING TO OTHER NATIONS

       Subtitle A--Matters Related to Arms Control and Monitoring

Sec. 1201. Clarification of authority to furnish nuclear test monitoring 
equipment to foreign governments.
Sec. 1202. Limitation on funding for Joint Data Exchange Center in 
Moscow.
Sec. 1203. Support of United Nations-sponsored efforts to inspect and 
monitor Iraqi weapons activities.
Sec. 1204. Authority for employees of Federal Government contractors to 
accompany chemical weapons inspection teams at Government-owned 
facilities.
Sec. 1205. Plan for securing nuclear weapons, material, and expertise of 
the states of the former Soviet Union.

   Subtitle B--Matters Relating to Allies and Friendly Foreign Nations

Sec. 1211. Acquisition of logistical support for security forces.
Sec. 1212. Extension of authority for international cooperative research 
and development projects.
Sec. 1213. Cooperative agreements with foreign countries and 
international organizations for reciprocal use of test facilities.
Sec. 1214. Sense of Congress on allied defense burdensharing.

                           Subtitle C--Reports

Sec. 1221. Report on significant sales and transfers of military 
hardware, expertise, and technology to the People's Republic of China.
Sec. 1222. Repeal of requirement for reporting to Congress on military 
deployments to Haiti.
Sec. 1223. Report by Comptroller General on provision of defense 
articles, services, and military education and training to foreign 
countries and international organizations.

       Subtitle A--Matters Related to Arms Control and Monitoring

SEC. 1201. CLARIFICATION OF AUTHORITY TO FURNISH NUCLEAR TEST 
MONITORING EQUIPMENT TO FOREIGN GOVERNMENTS.
    (a) Redesignation of Existing Section.--(1) The second section 2555 
of title 10, United States Code, added by section 1203(a) of the Floyd 
D. Spence National Defense Authorization Act for Fiscal Year 2001 (as 
enacted into law by Public Law 106-398; 114 Stat. 1654A-324), is 
redesignated as section 2565.
    (2) The item relating to that section in the table of sections at 
the beginning of chapter 152 of that title is amended to read as 
follows:

``2565. Nuclear test monitoring equipment: furnishing to foreign 
governments.''.

    (b) Clarification of Authority.--Section 2565 of that title, as so 
redesignated by subsection (a), is amended--
        (1) in subsection (a)--
            (A) by striking ``Convey or'' in the subsection heading and 
        inserting ``Transfer Title to or Otherwise'';
            (B) in paragraph (1)--
                (i) by striking ``convey'' and inserting ``transfer 
            title''; and
                (ii) by striking ``and'' at the end;
            (C) by striking the period at the end of paragraph (2) and 
        inserting ``; and''; and
            (D) by adding at the end the following new paragraph:
        ``(3) inspect, test, maintain, repair, or replace any such 
    equipment.''; and
        (2) in subsection (b)--
            (A) by striking ``conveyed or otherwise provided'' and 
        inserting ``provided to a foreign government'';
            (B) by inserting ``and'' at the end of paragraph (1);
            (C) by striking ``; and'' at the end of paragraph (2) and 
        inserting a period; and
            (D) by striking paragraph (3).
SEC. 1202. LIMITATION ON FUNDING FOR JOINT DATA EXCHANGE CENTER IN 
MOSCOW.
    (a) Limitation.--Not more than 50 percent of the funds made 
available to the Department of Defense for fiscal year 2002 for 
activities associated with the Joint Data Exchange Center in Moscow, 
Russia, may be obligated for any such activity until--
        (1) the United States and the Russian Federation enter into a 
    cost-sharing agreement as described in subsection (d) of section 
    1231 of the Floyd D. Spence National Defense Authorization Act for 
    Fiscal Year 2001, as enacted into law by Public Law 106-398 (114 
    Stat. 1654A-329);
        (2) the United States and the Russian Federation enter into an 
    agreement or agreements exempting the United States and any United 
    States person from Russian taxes, and from liability under Russian 
    laws, with respect to activities associated with the Joint Data 
    Exchange Center;
        (3) the Secretary of Defense submits to the Committee on Armed 
    Services of the Senate and the Committee on Armed Services of the 
    House of Representatives a copy of each agreement referred to in 
    paragraphs (1) and (2); and
        (4) a period of 30 days has expired after the date of the final 
    submission under paragraph (3).
    (b) Joint Data Exchange Center.--For purposes of this section, the 
term ``Joint Data Exchange Center'' means the United States-Russian 
Federation joint center for the exchange of data to provide early 
warning of launches of ballistic missiles and for notification of such 
launches that is provided for in a joint United States-Russian 
Federation memorandum of agreement signed in Moscow in June 2000.
SEC. 1203. SUPPORT OF UNITED NATIONS-SPONSORED EFFORTS TO INSPECT AND 
MONITOR IRAQI WEAPONS ACTIVITIES.
    (a) Limitation on Amount of Assistance in Fiscal Year 2002.--The 
total amount of the assistance for fiscal year 2002 that is provided by 
the Secretary of Defense under section 1505 of the Weapons of Mass 
Destruction Control Act of 1992 (22 U.S.C. 5859a) as activities of the 
Department of Defense in support of activities under that Act may not 
exceed $15,000,000.
    (b) Extension of Authority To Provide Assistance.--Subsection (f) 
of section 1505 of the Weapons of Mass Destruction Control Act of 1992 
(22 U.S.C. 5859a) is amended by striking ``2001'' and inserting 
``2002''.
SEC. 1204. AUTHORITY FOR EMPLOYEES OF FEDERAL GOVERNMENT CONTRACTORS TO 
ACCOMPANY CHEMICAL WEAPONS INSPECTION TEAMS AT GOVERNMENT-OWNED 
FACILITIES.
    (a) Authority.--Section 303(b)(2) of the Chemical Weapons 
Convention Implementation Act of 1998 (22 U.S.C. 6723(b)(2)) is amended 
by inserting after ``designation of employees of the Federal 
Government'' the following: ``(and, in the case of an inspection of a 
United States Government facility, the designation of contractor 
personnel who shall be led by an employee of the Federal Government)''.
    (b) Credentials.--Section 304(c) of such Act (22 U.S.C. 6724(c)) is 
amended by striking ``Federal government'' and inserting ``Federal 
Government (and, in the case of an inspection of a United States 
Government facility, any accompanying contractor personnel)''.
SEC. 1205. PLAN FOR SECURING NUCLEAR WEAPONS, MATERIAL, AND EXPERTISE 
OF THE STATES OF THE FORMER SOVIET UNION.
    (a) Plan Required.--Not later than June 15, 2002, the President 
shall submit to Congress a plan, that has been developed in 
coordination with all relevant Federal agencies--
        (1) for cooperating with Russia on disposing, as soon as 
    practicable, of nuclear weapons and weapons-usable nuclear material 
    in Russia that Russia does not retain in its nuclear arsenals;
        (2) for assisting Russia in downsizing its nuclear weapons 
    research and production complex;
        (3) for cooperating with the other states of the former Soviet 
    Union on disposing, as soon as practicable, of all nuclear weapons 
    and weapons-usable nuclear material in such states; and
        (4) for preventing the outflow from the states of the former 
    Soviet Union of scientific expertise that could be used for 
    developing nuclear weapons, other weapons of mass destruction, and 
    delivery systems for such weapons.
    (b) Content of Plan.--The plan required by subsection (a) shall 
include the following:
        (1) Specific goals and measurable objectives for programs that 
    are designed to carry out the objectives described in subsection 
    (a).
        (2) Criteria for success for such programs, and a strategy for 
    eventual termination of United States contributions to such 
    programs and assumption of the ongoing support of those programs by 
    others.
        (3) A description of any administrative and organizational 
    changes necessary to improve the coordination and effectiveness of 
    such programs. In particular, the plan shall include consideration 
    of the creation of an interagency committee that would have primary 
    responsibilities within the executive branch for--
            (A) monitoring United States nonproliferation efforts in 
        the states of the former Soviet Union;
            (B) coordinating the implementation of United States policy 
        with respect to such efforts; and
            (C) recommending to the President integrated policies, 
        budget options, and private sector and international 
        contributions for such programs.
        (4) An estimate of the cost of carrying out such programs.
    (c) Consultation.--In developing the plan required by subsection 
(a), the President--
        (1) is encouraged to consult with the relevant states of the 
    former Soviet Union regarding the practicality of various options; 
    and
        (2) shall consult with the majority and minority leadership of 
    the appropriate committees of Congress.

  Subtitle B--Matters Relating to Allies and Friendly Foreign Nations

SEC. 1211. ACQUISITION OF LOGISTICAL SUPPORT FOR SECURITY FORCES.
    Section 5 of the Multinational Force and Observers Participation 
Resolution (22 U.S.C. 3424) is amended by adding at the end the 
following new subsection:
    ``(d)(1) The United States may use contractors to provide 
logistical support to the Multinational Force and Observers under this 
section in lieu of providing such support through a logistical support 
unit comprised of members of the United States Armed Forces.
    ``(2) Notwithstanding subsections (a) and (b) and section 7(b), 
support by a contractor under this subsection may be provided without 
reimbursement whenever the President determines that such action 
enhances or supports the national security interests of the United 
States.''.
SEC. 1212. EXTENSION OF AUTHORITY FOR INTERNATIONAL COOPERATIVE 
RESEARCH AND DEVELOPMENT PROJECTS.
    (a) Eligibility of Friendly Foreign Countries.--Section 2350a of 
title 10, United States Code, is amended--
        (1) in subsection (a)--
            (A) by inserting ``(1)'' after ``(a) Authority To Engage in 
        Cooperative R&D Projects.--'';
            (B) by striking ``major allies of the United States or NATO 
        organizations'' and inserting ``countries or organizations 
        referred to in paragraph (2)''; and
            (C) by adding at the end the following new paragraph:
    ``(2) The countries and organizations with which the Secretary may 
enter into a memorandum of agreement (or other formal agreement) under 
paragraph (1) are as follows:
        ``(A) The North Atlantic Treaty Organization.
        ``(B) A NATO organization.
        ``(C) A member nation of the North Atlantic Treaty 
    Organization.
        ``(D) A major non-NATO ally.
        ``(E) Any other friendly foreign country.'';
        (2) in subsection (b)(1)--
            (A) by striking ``its major non-NATO allies'' and inserting 
        ``a country or organization referred to in subsection (a)(2)''; 
        and
            (B) by striking ``(NATO)'';
        (3) in subsection (d)--
            (A) in paragraph (1), by striking ``the major allies of the 
        United States'' and inserting ``countries and organizations 
        referred to in subsection (a)(2)''; and
            (B) in paragraph (2)--
                (i) by striking ``major ally of the United States'' and 
            inserting ``country or organization referred to in 
            subsection (a)(2)''; and
                (ii) by striking ``that ally's contribution'' and 
            inserting ``the contribution of that country or 
            organization'';
        (4) in subsection (e)(2)--
            (A) in subparagraph (A), by striking ``one or more of the 
        major allies of the United States'' and inserting ``any country 
        or organization referred to in subsection (a)(2)'';
            (B) in subparagraph (B), by striking ``major allies of the 
        United States or NATO organizations'' and inserting ``countries 
        and organizations referred to in subsection (a)(2)'';
            (C) in subparagraph (C), by striking ``major allies of the 
        United States'' and inserting ``countries and organizations 
        referred to in subsection (a)(2)''; and
            (D) in subparagraph (D), by striking ``major allies of the 
        United States'' and inserting ``countries and organizations 
        referred to in subsection (a)(2)'';
        (5) paragraphs (1)(A) and (4)(A) of subsection (g), by striking 
    ``major allies of the United States and other friendly foreign 
    countries'' and inserting ``countries referred to in subsection 
    (a)(2)'';
        (6) in subsection (h), by striking ``major allies of the United 
    States'' and inserting ``member nations of the North Atlantic 
    Treaty Organization, major non-NATO allies, and other friendly 
    foreign countries''; and
        (7) in subsection (i)--
            (A) in paragraph (1), by striking ``major allies of the 
        United States or NATO organizations'' and inserting ``countries 
        and organizations referred to in subsection (a)(2)'';
            (B) by striking paragraph (2); and
            (C) by redesignating paragraphs (3) and (4) as paragraphs 
        (2) and (3), respectively.
    (b) Notice-and-Wait Requirement.--Subsection (a) of such section is 
further amended by adding at the end the following new paragraph:
    ``(3) If such a memorandum of understanding (or other formal 
agreement) is with a country referred to in subparagraph (E) of 
paragraph (2), such memorandum (or agreement) may go into effect only 
after the Secretary submits to the Committees on Armed Services and on 
Foreign Relations of the Senate and to the Committees on Armed Services 
and on International Relations of the House of Representatives a report 
with respect to the proposed memorandum (or agreement) and a period of 
30 days has passed after the report has been submitted.''.
    (c) Delegation of Authority To Determine Eligibility of Projects.--
Subsection (b)(2) of such section is amended by striking ``to the 
Deputy Secretary of Defense'' and all that follows through the period 
at the end and inserting ``to the Deputy Secretary of Defense and to 
one other official of the Department of Defense.''.
    (d) Revision of Requirement for Annual Report on Eligible 
Countries.--Subsection (f)(2) of such section is amended to read as 
follows:
    ``(2) Not later than January 1 of each year, the Secretary of 
Defense shall submit to the Committees on Armed Services and on Foreign 
Relations of the Senate and to the Committees on Armed Services and on 
International Relations of the House of Representatives a report 
specifying--
        ``(A) the countries that are eligible to participate in a 
    cooperative project agreement under this section; and
        ``(B) the criteria used to determine the eligibility of such 
    countries.''.
    (e) Conforming Amendments.--(1) The heading of such section is 
amended to read as follows:
``Sec. 2350a. Cooperative research and development agreements: NATO 
      organizations; allied and friendly foreign countries''.
    (2) The item relating to such section in the table of sections at 
the beginning of subchapter II of chapter 138 of title 10, United 
States Code, is amended to read as follows:

``2350a. Cooperative research and development agreements: NATO 
organizations; allied and friendly foreign countries.''.

SEC. 1213. COOPERATIVE AGREEMENTS WITH FOREIGN COUNTRIES AND 
INTERNATIONAL ORGANIZATIONS FOR RECIPROCAL USE OF TEST FACILITIES.
    (a) Authority.--Subchapter II of chapter 138 of title 10, United 
States Code, is amended by adding at the end the following new section:
``Sec. 2350l. Cooperative agreements for reciprocal use of test 
      facilities: foreign countries and international organizations
    ``(a) Authority.--The Secretary of Defense, with the concurrence of 
the Secretary of State, may enter into a memorandum of understanding 
(or other formal agreement) with a foreign country or international 
organization to provide for the testing, on a reciprocal basis, of 
defense equipment (1) by the United States using test facilities of 
that country or organization, and (2) by that country or organization 
using test facilities of the United States.
    ``(b) Payment of Costs.--A memorandum or other agreement under 
subsection (a) shall provide that, when a party to the agreement uses a 
test facility of another party to the agreement, the party using the 
test facility is charged by the party providing the test facility in 
accordance with the following principles:
        ``(1) The user party shall be charged the amount equal to the 
    direct costs incurred by the provider party in furnishing test and 
    evaluation services by the providing party's officers, employees, 
    or governmental agencies.
        ``(2) The user party may also be charged indirect costs 
    relating to the use of the test facility, but only to the extent 
    specified in the memorandum or other agreement.
    ``(c) Determination of Indirect Costs; Delegation of Authority.--
(1) The Secretary of Defense shall determine the appropriateness of the 
amount of indirect costs charged by the United States pursuant to 
subsection (b)(2).
    ``(2) The Secretary may delegate the authority under paragraph (1) 
only to the Deputy Secretary of Defense and to one other official of 
the Department of Defense.
    ``(d) Retention of Funds Collected by the United States.--Amounts 
collected by the United States from a party using a test facility of 
the United States pursuant to a memorandum or other agreement under 
this section shall be credited to the appropriation accounts from which 
the costs incurred by the United States in providing such test facility 
were paid.
    ``(e) Definitions.--In this section:
        ``(1) The term `direct cost', with respect to the use of a test 
    facility pursuant to a memorandum or other agreement under 
    subsection (a)--
            ``(A) means any item of cost that is easily and readily 
        identified to a specific unit of work or output within the test 
        facility where the use occurred, that would not have been 
        incurred if such use had not occurred; and
            ``(B) may include costs of labor, materials, facilities, 
        utilities, equipment, supplies, and any other resources of the 
        test facility that are consumed or damaged in connection with--
                ``(i) the use; or
                ``(ii) the maintenance of the test facility for 
            purposes of the use.
        ``(2) The term `indirect cost', with respect to the use of a 
    test facility pursuant to a memorandum or other agreement under 
    subsection (a)--
            ``(A) means any item of cost that is not easily and readily 
        identified to a specific unit of work or output within the test 
        facility where the use occurred; and
            ``(B) may include general and administrative expenses for 
        such activities as supporting base operations, manufacturing, 
        supervision, procurement of office supplies, and utilities that 
        are accumulated costs allocated among several users.
        ``(3) The term `test facility' means a range or other facility 
    at which testing of defense equipment may be carried out.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such subchapter is amended by adding at the end the following new item:

``2350l. Cooperative agreements for reciprocal use of test facilities: 
foreign countries and international organizations.''.

SEC. 1214. SENSE OF CONGRESS ON ALLIED DEFENSE BURDENSHARING.
    It is the sense of Congress that--
        (1) the efforts of the President to increase defense 
    burdensharing by allied and friendly nations deserve strong 
    support; and
        (2) host nation support agreements with those nations in which 
    United States military personnel are assigned to permanent duty 
    ashore should be negotiated consistent with section 1221(a)(1) of 
    the National Defense Authorization Act for Fiscal Year 1998 (Public 
    Law 105-85; 50 U.S.C. 1541(a)(1)), which sets forth a goal of 
    obtaining from any such host nation financial contributions that 
    amount to 75 percent of the nonpersonnel costs incurred by the 
    United States Government for stationing United States military 
    personnel in that nation.

                          Subtitle C--Reports

SEC. 1221. REPORT ON SIGNIFICANT SALES AND TRANSFERS OF MILITARY 
HARDWARE, EXPERTISE, AND TECHNOLOGY TO THE PEOPLE'S REPUBLIC OF CHINA.
    Section 1202 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 113 Stat. 781; 10 U.S.C. 113 note) is 
amended by adding at the end the following new subsection:
    ``(d) Report on Significant Sales and Transfers to China.--(1) The 
report to be submitted under this section not later than March 1, 2002, 
shall include in a separate section a report describing any significant 
sale or transfer of military hardware, expertise, and technology to the 
People's Republic of China. The report shall set forth the history of 
such sales and transfers since 1995, forecast possible future sales and 
transfers, and address the implications of those sales and transfers 
for the security of the United States and its friends and allies in 
Asia.
    ``(2) The report shall include analysis and forecasts of the 
following matters related to military cooperation between selling 
states and the People's Republic of China:
        ``(A) The extent in each selling state of government knowledge, 
    cooperation, or condoning of sales or transfers of military 
    hardware, expertise, or technology to the People's Republic of 
    China.
        ``(B) An itemization of significant sales and transfers of 
    military hardware, expertise, or technology from each selling state 
    to the People's Republic of China that have taken place since 1995, 
    with a particular focus on command, control, communications, and 
    intelligence systems.
        ``(C) Significant assistance by any selling state to key 
    research and development programs of China, including programs for 
    development of weapons of mass destruction and delivery vehicles 
    for such weapons, programs for development of advanced conventional 
    weapons, and programs for development of unconventional weapons.
        ``(D) The extent to which arms sales by any selling state to 
    the People's Republic of China are a source of funds for military 
    research and development or procurement programs in the selling 
    state.
    ``(3) The report under paragraph (1) shall include, with respect to 
each area of analysis and forecasts specified in paragraph (2)--
        ``(A) an assessment of the military effects of such sales or 
    transfers to entities in the People's Republic of China;
        ``(B) an assessment of the ability of the People's Liberation 
    Army to assimilate such sales or transfers, mass produce new 
    equipment, or develop doctrine for use; and
        ``(C) the potential threat of developments related to such 
    effects on the security interests of the United States and its 
    friends and allies in Asia.''.
SEC. 1222. REPEAL OF REQUIREMENT FOR REPORTING TO CONGRESS ON MILITARY 
DEPLOYMENTS TO HAITI.
    Section 1232(b) of the National Defense Authorization Act for 
Fiscal Year 2000 (Public Law 106-65; 113 Stat. 788; 50 U.S.C. 1541 
note) is repealed.
SEC. 1223. REPORT BY COMPTROLLER GENERAL ON PROVISION OF DEFENSE 
ARTICLES, SERVICES, AND MILITARY EDUCATION AND TRAINING TO FOREIGN 
COUNTRIES AND INTERNATIONAL ORGANIZATIONS.
    (a) Study.--The Comptroller General shall conduct a study of the 
following:
        (1) The benefits derived by each foreign country or 
    international organization from the receipt of defense articles, 
    defense services, or military education and training provided after 
    December 31, 1989, pursuant to the drawdown of such articles, 
    services, or education and training from the stocks of the 
    Department of Defense under section 506, 516, or 552 of the Foreign 
    Assistance Act of 1961 (22 U.S.C. 2318, 2321j, or 2348a) or any 
    other provision of law.
        (2) Any benefits derived by the United States from the 
    provision of defense articles, defense services, and military 
    education and training described in paragraph (1).
        (3) The effect on the readiness of the Armed Forces as a result 
    of the provision by the United States of defense articles, defense 
    services, and military education and training described in 
    paragraph (1).
        (4) The cost to the Department of Defense with respect to the 
    provision of defense articles, defense services, and military 
    education and training described in paragraph (1).
    (b) Reports.--(1) Not later than April 15, 2002, the Comptroller 
General shall submit to Congress an interim report containing the 
results to that date of the study conducted under subsection (a).
    (2) Not later than August 1, 2002, the Comptroller General shall 
submit to Congress a final report containing the results of the study 
conducted under subsection (a).

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

Sec. 1301. Specification of Cooperative Threat Reduction programs and 
funds.
Sec. 1302. Funding allocations.
Sec. 1303. Limitation on use of funds until submission of reports.
Sec. 1304. Requirement to consider use of revenue generated by 
activities carried out under Cooperative Threat Reduction programs.
Sec. 1305. Prohibition against use of funds for second wing of fissile 
material storage facility.
Sec. 1306. Prohibition against use of funds for certain construction 
activities.
Sec. 1307. Reports on activities and assistance under Cooperative Threat 
Reduction programs.
Sec. 1308. Chemical weapons destruction.
Sec. 1309. Additional matter in annual report on activities and 
assistance under Cooperative Threat Reduction programs.

SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS AND 
FUNDS.
    (a) Specification of CTR Programs.--For purposes of section 301 and 
other provisions of this Act, Cooperative Threat Reduction programs are 
the programs specified in section 1501(b) of the National Defense 
Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 
2731; 50 U.S.C. 2362 note).
    (b) Fiscal Year 2002 Cooperative Threat Reduction Funds Defined.--
As used in this title, the term ``fiscal year 2002 Cooperative Threat 
Reduction funds'' means the funds appropriated pursuant to the 
authorization of appropriations in section 301 for Cooperative Threat 
Reduction programs.
    (c) Availability of Funds.--Funds appropriated pursuant to the 
authorization of appropriations in section 301 for Cooperative Threat 
Reduction programs shall be available for obligation for three fiscal 
years.

SEC. 1302. FUNDING ALLOCATIONS.

    (a) Funding for Specific Purposes.--Of the $403,000,000 authorized 
to be appropriated to the Department of Defense for fiscal year 2002 in 
section 301(23) for Cooperative Threat Reduction programs, not more 
than the following amounts may be obligated for the purposes specified:
        (1) For strategic offensive arms elimination in Russia, 
    $133,405,000.
        (2) For strategic nuclear arms elimination in Ukraine, 
    $51,500,000.
        (3) For nuclear weapons transportation security in Russia, 
    $9,500,000.
        (4) For nuclear weapons storage security in Russia, 
    $56,000,000.
        (5) For biological weapons proliferation prevention activities 
    in the former Soviet Union, $17,000,000.
        (6) For activities designated as Other Assessments/
    Administrative Support, $13,221,000.
        (7) For defense and military contacts, $18,650,000.
        (8) For chemical weapons destruction in Russia, $50,000,000.
        (9) For weapons of mass destruction infrastructure elimination 
    activities in Kazakhstan, $6,000,000.
        (10) For weapons of mass destruction infrastructure elimination 
    activities in Ukraine, $6,024,000.
        (11) For activities to assist Russia in the elimination of 
    plutonium production reactors, $41,700,000.
    (b) Report on Obligation or Expenditure of Funds for Other 
Purposes.--No fiscal year 2002 Cooperative Threat Reduction funds may 
be obligated or expended for a purpose other than a purpose listed in 
paragraphs (1) through (11) of subsection (a) until 30 days after the 
date that the Secretary of Defense submits to Congress a report on the 
purpose for which the funds will be obligated or expended and the 
amount of funds to be obligated or expended. Nothing in the preceding 
sentence shall be construed as authorizing the obligation or 
expenditure of fiscal year 2002 Cooperative Threat Reduction funds for 
a purpose for which the obligation or expenditure of such funds is 
specifically prohibited under this title or any other provision of law.
    (c) Limited Authority To Vary Individual Amounts.--(1) Subject to 
paragraphs (2) and (3), in any case in which the Secretary of Defense 
determines that it is necessary to do so in the national interest, the 
Secretary may obligate amounts appropriated for fiscal year 2002 for a 
purpose listed in any of the paragraphs in subsection (a) in excess of 
the amount specifically authorized for such purpose.
    (2) An obligation of funds for a purpose stated in any of the 
paragraphs in subsection (a) in excess of the specific amount 
authorized for such purpose may be made using the authority provided in 
paragraph (1) only after--
        (A) the Secretary submits to Congress notification of the 
    intent to do so together with a complete discussion of the 
    justification for doing so; and
        (B) 15 days have elapsed following the date of the 
    notification.
    (3) The Secretary may not, under the authority provided in 
paragraph (1), obligate amounts for the purposes stated in paragraph 
(6), (7), or (11) of subsection (a) in excess of 115 percent of the 
amount specifically authorized for such purposes.
    (d) Modification of Authority To Vary Individual Amounts of FY 2001 
Funds.--Section 1302(c)(3) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-340) is amended by striking ``(4),''.
SEC. 1303. LIMITATION ON USE OF FUNDS UNTIL SUBMISSION OF REPORTS.
    Not more than 50 percent of fiscal year 2002 Cooperative Threat 
Reduction funds may be obligated or expended until 30 days after the 
date of the submission of--
        (1) the report required to be submitted in fiscal year 2001 
    under section 1308(a) of the Floyd D. Spence National Defense 
    Authorization Act for Fiscal Year 2001 (as enacted into law by 
    Public Law 106-398; 114 Stat. 1654A-341); and
        (2) the multiyear plan required to be submitted for fiscal year 
    2001 under section 1308(h) of such Act.
SEC. 1304. REQUIREMENT TO CONSIDER USE OF REVENUE GENERATED BY 
ACTIVITIES CARRIED OUT UNDER COOPERATIVE THREAT REDUCTION PROGRAMS.
    The Secretary of Defense shall consider the use of revenue 
generated by activities carried out under Cooperative Threat Reduction 
programs in negotiating and executing contracts with Russia to carry 
out such programs.
SEC. 1305. PROHIBITION AGAINST USE OF FUNDS FOR SECOND WING OF FISSILE 
MATERIAL STORAGE FACILITY.
    (a) Prohibition.--No fiscal year 2002 Cooperative Threat Reduction 
funds and no funds authorized to be appropriated for Cooperative Threat 
Reduction programs for any prior fiscal year may be used for the 
construction of a second wing for a storage facility for Russian 
fissile material.
    (b) Conforming Amendment.--Section 1304 of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted 
into law by Public Law 106-398; 114 Stat. 1654A-341) is amended to read 
as follows:
``SEC. 1304. LIMITATION ON USE OF FUNDS FOR FISSILE MATERIAL STORAGE 
FACILITY.
    ``Out of funds authorized to be appropriated for Cooperative Threat 
Reduction programs for fiscal year 2001 or any other fiscal year, not 
more than $412,600,000 may be used for planning, design, or 
construction of the first wing for the storage facility for Russian 
fissile material referred to in section 1302(a)(5) other than planning, 
design, or construction to improve security at such first wing.''.
SEC. 1306. PROHIBITION AGAINST USE OF FUNDS FOR CERTAIN CONSTRUCTION 
ACTIVITIES.
    No fiscal year 2002 Cooperative Threat Reduction funds may be used 
for construction activities carried out under Russia's program to 
eliminate the production of weapons grade plutonium.
SEC. 1307. REPORTS ON ACTIVITIES AND ASSISTANCE UNDER COOPERATIVE 
THREAT REDUCTION PROGRAMS.
    Section 1308(c)(4) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-342) is amended--
        (1) in the matter preceding subparagraph (A)--
            (A) by striking ``audits'' and all that follows through 
        ``conducted'' and inserting ``means (including program 
        management, audits, examinations, and other means) used''; and
            (B) by striking ``and that such assistance is being used 
        for its intended purpose'' and inserting ``, that such 
        assistance is being used for its intended purpose, and that 
        such assistance is being used efficiently and effectively'';
        (2) in subparagraph (C), by inserting ``and an assessment of 
    whether the assistance being provided is being used effectively and 
    efficiently'' before the semicolon; and
        (3) in subparagraph (D), by striking ``audits, examinations, 
    and other''.

SEC. 1308. CHEMICAL WEAPONS DESTRUCTION.

    Section 1305 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 113 Stat. 794; 22 U.S.C. 5952 note) is 
amended by inserting before the period at the end the following: 
``until the Secretary of Defense submits to Congress a certification 
that there has been--
        ``(1) information provided by Russia, that the United States 
    assesses to be full and accurate, regarding the size of the 
    chemical weapons stockpile of Russia;
        ``(2) a demonstrated annual commitment by Russia to allocate at 
    least $25,000,000 to chemical weapons elimination;
        ``(3) development by Russia of a practical plan for destroying 
    its stockpile of nerve agents;
        ``(4) enactment of a law by Russia that provides for the 
    elimination of all nerve agents at a single site;
        ``(5) an agreement by Russia to destroy or convert its chemical 
    weapons production facilities at Volgograd and Novocheboksark; and
        ``(6) a demonstrated commitment from the international 
    community to fund and build infrastructure needed to support and 
    operate the facility.''.
SEC. 1309. ADDITIONAL MATTER IN ANNUAL REPORT ON ACTIVITIES AND 
ASSISTANCE UNDER COOPERATIVE THREAT REDUCTION PROGRAMS.
    Section 1308(c) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-341) (as amended by section 1308) is 
further amended by adding at the end of the following new paragraph:
        ``(6) A description of the amount of the financial commitment 
    from the international community, and from Russia, for the chemical 
    weapons destruction facility located at Shchuch'ye, Russia, for the 
    fiscal year beginning in the year in which the report is 
    submitted.''.

                TITLE XIV--ARMED FORCES RETIREMENT HOME

Sec. 1401. Amendment of Armed Forces Retirement Home Act of 1991.
Sec. 1402. Definitions.
Sec. 1403. Revision of authority establishing the Armed Forces 
          Retirement Home.
Sec. 1404. Chief Operating Officer.
Sec. 1405. Residents of Retirement Home.
Sec. 1406. Local Boards of Trustees.
Sec. 1407. Directors, Deputy Directors, Associate Directors, and staff 
          of facilities.
Sec. 1408. Disposition of effects of deceased persons and unclaimed 
          property.
Sec. 1409. Transitional provisions.
Sec. 1410. Conforming and clerical amendments and repeals of obsolete 
          provisions.
SEC. 1401. AMENDMENT OF ARMED FORCES RETIREMENT HOME ACT OF 1991.
    Except as otherwise expressly provided, whenever in this title an 
amendment or repeal is expressed in terms of an amendment to, or a 
repeal of, a section or other provision, the reference shall be 
considered to be made to a section or other provision of the Armed 
Forces Retirement Home Act of 1991 (title XV of Public Law 101-510; 24 
U.S.C. 401 et seq.).

SEC. 1402. DEFINITIONS.

    Section 1502 (24 U.S.C. 401) is amended--
        (1) by striking paragraphs (1), (2), (3), (4), and (5), and 
    inserting the following new paragraphs:
        ``(1) The term `Retirement Home' includes the institutions 
    established under section 1511, as follows:
            ``(A) The Armed Forces Retirement Home--Washington.
            ``(B) The Armed Forces Retirement Home--Gulfport.
        ``(2) The term `Local Board' means a Local Board of Trustees 
    established under section 1516.
        ``(3) The terms `Armed Forces Retirement Home Trust Fund' and 
    `Fund' mean the Armed Forces Retirement Home Trust Fund established 
    under section 1519(a).'';
        (2) by redesignating paragraphs (6), (7), and (8) as paragraphs 
    (4), (5), and (6), respectively; and
        (3) in paragraph (5), as so redesignated--
            (A) in subparagraph (C), by striking ``, Manpower and 
        Personnel'' and inserting ``for Personnel''; and
            (B) in subparagraph (D), by striking ``with responsibility 
        for personnel matters'' and inserting ``for Manpower and 
        Reserve Affairs''.
SEC. 1403. REVISION OF AUTHORITY ESTABLISHING THE ARMED FORCES 
RETIREMENT HOME.
    Section 1511 (24 U.S.C. 411) is amended to read as follows:
``SEC. 1511. ESTABLISHMENT OF THE ARMED FORCES RETIREMENT HOME.
    ``(a) Independent Establishment.--The Armed Forces Retirement Home 
is an independent establishment in the executive branch.
    ``(b) Purpose.--The purpose of the Retirement Home is to provide, 
through the Armed Forces Retirement Home--Washington and the Armed 
Forces Retirement Home--Gulfport, residences and related services for 
certain retired and former members of the Armed Forces.
    ``(c) Facilities.--(1) Each facility of the Retirement Home 
referred to in paragraph (2) is a separate establishment of the 
Retirement Home.
    ``(2) The United States Soldiers' and Airmen's Home is hereby 
redesignated as the Armed Forces Retirement Home--Washington. The Naval 
Home is hereby redesignated as the Armed Forces Retirement Home--
Gulfport.
    ``(d) Operation.--(1) The Chief Operating Officer of the Armed 
Forces Retirement Home is the head of the Retirement Home. The Chief 
Operating Officer is subject to the authority, direction, and control 
of the Secretary of Defense.
    ``(2) Each facility of the Retirement Home shall be maintained as a 
separate establishment of the Retirement Home for administrative 
purposes and shall be under the authority, direction, and control of 
the Director of that facility. The Director of each facility of the 
Retirement Home is subject to the authority, direction, and control of 
the Chief Operating Officer.
    ``(e) Property and Facilities.--(1) The Retirement Home shall 
include such property and facilities as may be acquired under paragraph 
(2) or accepted under section 1515(f) for inclusion in the Retirement 
Home.
    ``(2) The Secretary of Defense may acquire, for the benefit of the 
Retirement Home, property and facilities for inclusion in the 
Retirement Home.
    ``(3) The Secretary of Defense may dispose of any property of the 
Retirement Home, by sale, lease, or otherwise, that the Secretary 
determines is excess to the needs of the Retirement Home. The proceeds 
from such a disposal of property shall be deposited in the Armed Forces 
Retirement Home Trust Fund. No such disposal of real property shall be 
effective earlier than 120 days after the date on which the Secretary 
transmits a notification of the proposed disposal to the Committees on 
Armed Services of the Senate and the House of Representatives.
    ``(f) Department of Defense Support.--The Secretary of Defense may 
make available from the Department of Defense to the Retirement Home, 
on a nonreimbursable basis, administrative support and office services, 
legal and policy planning assistance, access to investigative 
facilities of the Inspector General of the Department of Defense and of 
the military departments, and any other support necessary to enable the 
Retirement Home to carry out its functions under this title.
    ``(g) Accreditation.--The Chief Operating Officer shall endeavor to 
secure for each facility of the Retirement Home accreditation by a 
nationally recognized civilian accrediting organization, such as the 
Continuing Care Accreditation Commission and the Joint Commission for 
Accreditation of Health Organizations.
    ``(h) Annual Report.--The Secretary of Defense shall transmit to 
Congress an annual report on the financial and other affairs of the 
Retirement Home for each fiscal year.''.

SEC. 1404. CHIEF OPERATING OFFICER.

    (a) Establishment and Authority of Position.--Section 1515 (24 
U.S.C. 415) is amended to read as follows:

``SEC. 1515. CHIEF OPERATING OFFICER.

    ``(a) Appointment.--(1) The Secretary of Defense shall appoint the 
Chief Operating Officer of the Retirement Home.
    ``(2) The Chief Operating Officer shall serve at the pleasure of 
the Secretary of Defense.
    ``(3) The Secretary of Defense shall evaluate the performance of 
the Chief Operating Officer at least once each year.
    ``(b) Qualifications.--To qualify for appointment as the Chief 
Operating Officer, a person shall--
        ``(1) be a continuing care retirement community professional;
        ``(2) have appropriate leadership and management skills; and
        ``(3) have experience and expertise in the operation and 
    management of retirement homes and in the provision of long-term 
    medical care for older persons.
    ``(c) Responsibilities.--(1) The Chief Operating Officer shall be 
responsible to the Secretary of Defense for the overall direction, 
operation, and management of the Retirement Home and shall report to 
the Secretary on those matters.
    ``(2) The Chief Operating Officer shall supervise the operation and 
administration of the Armed Forces Retirement Home--Washington and the 
Armed Forces Retirement Home--Gulfport, including the Local Boards of 
those facilities.
    ``(3) The Chief Operating Officer shall perform the following 
duties:
        ``(A) Issue, and ensure compliance with, appropriate rules for 
    the operation of the Retirement Home.
        ``(B) Periodically visit, and inspect the operation of, the 
    facilities of the Retirement Home.
        ``(C) Periodically examine and audit the accounts of the 
    Retirement Home.
        ``(D) Establish any advisory body or bodies that the Chief 
    Operating Officer considers to be necessary.
    ``(d) Compensation.--(1) The Secretary of Defense may prescribe the 
pay of the Chief Operating Officer, except that the annual rate of 
basic pay, including locality pay, of the Chief Operating Officer may 
not exceed the annual rate of basic pay payable for level III of the 
Executive Schedule under section 5314 of title 5, United States Code.
    ``(2) In addition to basic pay and any locality pay prescribed for 
the Chief Operating Officer, the Secretary may award the Chief 
Operating Officer, not more than once each year, a bonus based on the 
performance of the Chief Operating Officer for the year. The Secretary 
shall prescribe the amount of any such bonus.
    ``(3) The total amount of the basic pay and bonus paid the Chief 
Operating Officer for a year under this section may not exceed the 
annual rate of basic pay payable for level I of the Executive Schedule 
under section 5312 of title 5, United States Code.
    ``(e) Administrative Staff.--(1) The Chief Operating Officer may, 
subject to the approval of the Secretary of Defense, appoint a staff to 
assist in the performance of the Chief Operating Officer's duties in 
the overall administration of the Retirement Home.
    ``(2) The Chief Operating Officer shall prescribe the rates of pay 
applicable to the members of the staff appointed under paragraph (1), 
except that--
        ``(A) a staff member who is a member of the Armed Forces on 
    active duty or who is a full-time officer or employee of the United 
    States may not receive additional pay by reason of service on the 
    administrative staff; and
        ``(B) the limitations in section 5373 of title 5, United States 
    Code, relating to pay set by administrative action, shall apply to 
    the rates of pay prescribed under this paragraph.
    ``(f) Acceptance of Gifts.--(1) The Chief Operating Officer may 
accept gifts of money, property, and facilities on behalf of the 
Retirement Home.
    ``(2) Monies received as gifts, or realized from the disposition of 
property and facilities received as gifts, shall be deposited in the 
Armed Forces Retirement Home Trust Fund.''.
    (b) Transfer of Authorities.--(1) The following provisions are 
amended by striking ``Retirement Home Board'' each place it appears and 
inserting ``Chief Operating Officer'':
        (A) Section 1512 (24 U.S.C. 412), relating to eligibility and 
    acceptance for residence in the Armed Forces Retirement Home.
        (B) Section 1513(a) (24 U.S.C. 412(a)), relating to services 
    provided to residents of the Armed Forces Retirement Home.
        (C) Section 1518(c) (24 U.S.C. 418(c)), relating to inspection 
    of the Armed Forces Retirement Home.
    (2) Section 1519(c) (24 U.S.C. 419(c)), relating to authority to 
invest funds in the Armed Forces Retirement Home Trust Fund, is amended 
by striking ``Director'' and inserting ``Chief Operating Officer''.
    (3) Section 1521(a) (24 U.S.C. 421(a)), relating to payment of 
residents for services, is amended by striking ``Chairman of the Armed 
Forces Retirement Board'' and inserting ``Chief Operating Officer''.
    (4) Section 1522 (24 U.S.C. 422), relating to authority to accept 
certain uncompensated services, is amended--
        (A) in subsection (a)--
            (i) by striking ``Chairman of the Retirement Home Board or 
        the Director of each establishment'' and inserting ``Chief 
        Operating Officer or the Director of a facility''; and
            (ii) by striking ``unless'' and all that follows through 
        ``Retirement Home Board'';
        (B) in subsection (b)(1)--
            (i) by striking ``Chairman of the Retirement Home Board or 
        the Director of the establishment'' and inserting ``Chief 
        Operating Officer or the Director of a facility''; and
            (ii) by inserting ``offering the services'' after ``notify 
        the person'';
        (C) in subsection (b)(2), by striking ``Chairman'' and 
    inserting ``Chief Operating Officer'';
        (D) in subsection (c), by striking ``Chairman of the Retirement 
    Home Board or the Director of an establishment'' and inserting 
    ``Chief Operating Officer or the Director of a facility''; and
        (E) in subsection (e)--
            (i) by striking ``Chairman of the Retirement Board or the 
        Director of the establishment'' in the first sentence and 
        inserting ``Chief Operating Officer or the Director of a 
        facility''; and
            (ii) by striking ``Chairman'' in the second sentence and 
        inserting ``Chief Operating Officer''.
    (5) Section 1523(b) (24 U.S.C. 423(b)), relating to preservation of 
historic buildings and grounds at the Armed Forces Retirement Home--
Washington, is amended by striking ``Chairman of the Retirement Home 
Board'' and inserting ``Chief Operating Officer''.

SEC. 1405. RESIDENTS OF RETIREMENT HOME.

    (a) Repeal of Requirement of Resident To Reapply After Substantial 
Absence.--Subsection (e) of section 1512 (24 U.S.C. 412) is repealed.
    (b) Fees Paid by Residents.--Section 1514 (24 U.S.C. 414) is 
amended to read as follows:

``SEC. 1514. FEES PAID BY RESIDENTS.

    ``(a) Monthly Fees.--The Director of each facility of the 
Retirement Home shall collect a monthly fee from each resident of that 
facility.
    ``(b) Deposit of Fees.--The Directors shall deposit fees collected 
under subsection (a) in the Armed Forces Retirement Home Trust Fund.
    ``(c) Fixing Fees.--(1) The Chief Operating Officer, with the 
approval of the Secretary of Defense, shall from time to time prescribe 
the fees required by subsection (a). Changes to such fees shall be 
based on the financial needs of the Retirement Home and the ability of 
the residents to pay. A change of a fee may not take effect until 120 
days after the Secretary of Defense transmits a notification of the 
change to the Committees on Armed Services of the Senate and the House 
of Representatives.
    ``(2) The fee shall be fixed as a percentage of the monthly income 
and monthly payments (including Federal payments) received by a 
resident. The percentage shall be the same for each facility of the 
Retirement Home. The Secretary of Defense may make any adjustment in a 
percentage that the Secretary determines appropriate.
    ``(3) The fee shall be subject to a limitation on maximum monthly 
amount. The amount of the limitation shall be increased, effective on 
January 1 of each year, by the percentage of the increase in retired 
pay and retainer pay that takes effect on the preceding December 1 
under subsection (b) of section 1401a of title 10, United States Code, 
without regard to paragraph (3) of such subsection. The first increase 
in a limitation on maximum monthly amount shall take effect on January 
1, 2003.
    ``(d) Transitional Fee Structures.--(1) Until different fees are 
prescribed and take effect under subsection (c), the percentages and 
limitations on maximum monthly amount that are applicable to fees 
charged residents of the Retirement Home are (subject to any adjustment 
that the Secretary of Defense determines appropriate) as follows:
        ``(A) For months beginning before January 1, 2002--
            ``(i) for a permanent health care resident, 65 percent 
        (without limitation on maximum monthly amount); and
            ``(ii) for a resident who is not a permanent health care 
        resident, 40 percent (without limitation on maximum monthly 
        amount).
        ``(B) For months beginning after December 31, 2001--
            ``(i) for an independent living resident, 35 percent, but 
        not to exceed $1,000 each month;
            ``(ii) for an assisted living resident, 40 percent, but not 
        to exceed $1,500 each month; and
            ``(iii) for a long-term care resident, 65 percent, but not 
        to exceed $2,500 each month.
    ``(2) Notwithstanding the limitations on maximum monthly amount 
prescribed under subsection (c) or set forth in paragraph (1)(B), until 
the earlier of December 31, 2006, or the date on which an independent 
living resident or assisted living resident of the Armed Forces 
Retirement Home--Gulfport occupies a renovated room at that facility, 
as determined by the Secretary of Defense, the limitation on maximum 
monthly amount applicable to the resident for months beginning after 
December 31, 2001, shall be--
        ``(A) in the case of an independent living resident, $800; and
        ``(B) in the case of an assisted living resident, $1,300.''.

SEC. 1406. LOCAL BOARDS OF TRUSTEES.

    Section 1516 (24 U.S.C. 416) is amended to read as follows:

``SEC. 1516. LOCAL BOARDS OF TRUSTEES.

    ``(a) Establishment.--Each facility of the Retirement Home shall 
have a Local Board of Trustees.
    ``(b) Duties.--The Local Board for a facility shall serve in an 
advisory capacity to the Director of the facility and to the Chief 
Operating Officer.
    ``(c) Composition.--(1) The Local Board for a facility shall 
consist of at least 11 members who (except as otherwise specifically 
provided) shall be appointed by the Secretary of Defense in 
consultation with each of the Secretaries of the military departments 
concerned. At least one member of the Local Board shall have a 
perspective that is oriented toward the Retirement Home overall. The 
Local Board for a facility shall consist of the following members:
        ``(A) One member who is a civilian expert in nursing home or 
    retirement home administration and financing from the geographical 
    area of the facility.
        ``(B) One member who is a civilian expert in gerontology from 
    the geographical area of the facility.
        ``(C) One member who is a service expert in financial 
    management.
        ``(D) One representative of the Department of Veterans Affairs 
    regional office nearest in proximity to the facility, who shall be 
    designated by the Secretary of Veterans Affairs.
        ``(E) One representative of the resident advisory committee or 
    council of the facility.
        ``(F) One enlisted representative of the Services' Retiree 
    Advisory Council.
        ``(G) The senior noncommissioned officer of one of the Armed 
    Forces.
        ``(H) One senior representative of the military hospital 
    nearest in proximity to the facility.
        ``(I) One senior judge advocate from one of the Armed Forces.
        ``(J) The Director of the facility, who shall be a nonvoting 
    member.
        ``(K) One senior representative of one of the chief personnel 
    officers of the Armed Forces.
        ``(L) Other members designated by the Secretary of Defense (if 
    the Local Board is to have more than 11 members).
    ``(2) The Secretary of Defense shall designate one member of a 
Local Board to serve as the chairman of the Local Board at the pleasure 
of the Secretary of Defense.
    ``(d) Terms.--(1) Except as provided in subsections (e), (f), and 
(g), the term of office of a member of a Local Board shall be five 
years.
    ``(2) Unless earlier terminated by the Secretary of Defense, a 
person may continue to serve as a member of the Local Board after the 
expiration of the member's term until a successor is appointed or 
designated, as the case may be.
    ``(e) Early Expiration of Term.--A member of a Local Board who is a 
member of the Armed Forces or an employee of the United States serves 
as a member of the Local Board only for as long as the member is 
assigned to or serving in a position for which the duties include the 
duty to serve as a member of the Local Board.
    ``(f) Vacancies.--(1) A vacancy in the membership of a Local Board 
shall be filled in the manner in which the original appointment or 
designation was made, as the case may be.
    ``(2) A member appointed or designated to fill a vacancy occurring 
before the end of the term of the predecessor of the member shall be 
appointed or designated, as the case may be, for the remainder of the 
term for which the predecessor was appointed.
    ``(3) A vacancy in a Local Board shall not affect its authority to 
perform its duties.
    ``(g) Early Termination.--The Secretary of Defense may terminate 
the appointment of a member of a Local Board before the expiration of 
the member's term for any reason that the Secretary determines 
appropriate.
    ``(h) Compensation.--(1) Except as provided in paragraph (2), a 
member of a Local Board shall--
        ``(A) be provided a stipend consistent with the daily 
    government consultant fee for each day on which the member is 
    engaged in the performance of services for the Local Board; and
        ``(B) while away from home or regular place of business in the 
    performance of services for the Local Board, be allowed travel 
    expenses (including per diem in lieu of subsistence) in the same 
    manner as a person employed intermittently in Government under 
    sections 5701 through 5707 of title 5, United States Code.
    ``(2) A member of a Local Board who is a member of the Armed Forces 
on active duty or a full-time officer or employee of the United States 
shall receive no additional pay by reason of serving as a member of a 
Local Board.''.
SEC. 1407. DIRECTORS, DEPUTY DIRECTORS, ASSOCIATE DIRECTORS, AND STAFF 
OF FACILITIES.
    Section 1517 (24 U.S.C. 417) is amended to read as follows:
``SEC. 1517. DIRECTORS, DEPUTY DIRECTORS, ASSOCIATE DIRECTORS, AND 
STAFF OF FACILITIES.
    ``(a) Appointment.--The Secretary of Defense shall appoint a 
Director, a Deputy Director, and an Associate Director for each 
facility of the Retirement Home.
    ``(b) Director.--The Director of a facility shall--
        ``(1) be a civilian with experience as a continuing care 
    retirement community professional or a member of the Armed Forces 
    serving on active duty in a grade below brigadier general or, in 
    the case of the Navy, rear admiral (lower half);
        ``(2) have appropriate leadership and management skills; and
        ``(3) be required to pursue a course of study to receive 
    certification as a retirement facilities director by an appropriate 
    civilian certifying organization, if the Director is not so 
    certified at the time of appointment.
    ``(c) Duties of Director.--(1) The Director of a facility shall be 
responsible for the day-to-day operation of the facility, including the 
acceptance of applicants to be residents of that facility.
    ``(2) The Director of a facility shall keep accurate and complete 
records of the facility.
    ``(d) Deputy Director.--(1) The Deputy Director of a facility 
shall--
        ``(A) be a civilian with experience as a continuing care 
    retirement community professional or a member of the Armed Forces 
    serving on active duty in a grade below colonel or, in the case of 
    the Navy, captain; and
        ``(B) have appropriate leadership and management skills.
    ``(2) The Deputy Director of a facility shall serve at the pleasure 
of the Secretary of Defense.
    ``(e) Duties of Deputy Director.--The Deputy Director of a facility 
shall, under the authority, direction, and control of the Director of 
the facility, perform such duties as the Director may assign.
    ``(f) Associate Director.--(1) The Associate Director of a facility 
shall--
        ``(A) be a member of the Armed Forces serving on active duty in 
    the grade of Sergeant Major, Master Chief Petty Officer, or Chief 
    Master Sergeant or a member or former member retired in that grade; 
    and
        ``(B) have appropriate leadership and management skills.
    ``(2) The Associate Director of a facility shall serve at the 
pleasure of the Secretary of Defense.
    ``(g) Duties of Associate Director.--The Associate Director of a 
facility shall, under the authority, direction, and control of the 
Director and Deputy Director of the facility, serve as ombudsman for 
the residents and perform such other duties as the Director may assign.
    ``(h) Staff.--(1) The Director of a facility may, subject to the 
approval of the Chief Operating Officer, appoint and prescribe the pay 
of such principal staff as the Director considers appropriate to assist 
the Director in operating the facility.
    ``(2) The principal staff of a facility shall include persons with 
experience and expertise in the operation and management of retirement 
homes and in the provision of long-term medical care for older persons.
    ``(i) Annual Evaluation of Directors.--(1) The Chief Operating 
Officer shall evaluate the performance of each of the Directors of the 
facilities of the Retirement Home each year.
    ``(2) The Chief Operating Officer shall submit to the Secretary of 
Defense any recommendations regarding a Director that the Chief 
Operating Officer determines appropriate taking into consideration the 
annual evaluation.''.
SEC. 1408. DISPOSITION OF EFFECTS OF DECEASED PERSONS AND UNCLAIMED 
PROPERTY.
    (a) Legal Representation for Retirement Home.--Subsection (b)(2)(A) 
of section 1520 (24 U.S.C. 420) is amended by inserting ``who is a 
full-time officer or employee of the United States or a member of the 
Armed Forces on active duty'' after ``may designate an attorney''.
    (b) Correction of Reference.--Subsection (b)(1)(B) of such section 
is amended by inserting ``Armed Forces'' before ``Retirement Home Trust 
Fund''.

SEC. 1409. TRANSITIONAL PROVISIONS.

    Part B is amended by striking sections 1531, 1532, and 1533 and 
inserting the following new sections:
``SEC. 1531. TEMPORARY CONTINUATION OF ARMED FORCES RETIREMENT HOME 
BOARD.
    ``Until the Secretary of Defense appoints the first Chief Operating 
Officer after the enactment of the National Defense Authorization Act 
for Fiscal Year 2002, the Armed Forces Retirement Home Board, as 
constituted on the day before the date of the enactment of that Act, 
shall continue to serve and shall perform the duties of the Chief 
Operating Officer.
``SEC. 1532. DIRECTORS OF FACILITIES.
    ``(a) Active Duty Officers.--During the three-year period beginning 
on the date of the enactment of the National Defense Authorization Act 
for Fiscal Year 2002, the Directors and Deputy Directors of the 
facilities shall be members of the Armed Forces serving on active duty, 
notwithstanding the authority in subsections (b) and (d) of section 
1517 for the Directors and Deputy Directors to be civilians.
    ``(b) Temporary Continuation of Director of the Armed Forces 
Retirement Home--Washington.--The person serving as the Director of the 
Armed Forces Retirement Home--Washington on the day before the 
enactment of the National Defense Authorization Act for Fiscal Year 
2002 may continue to serve as the Director of that facility until April 
2, 2002.
``SEC. 1533. TEMPORARY CONTINUATION OF INCUMBENT DEPUTY DIRECTORS.
    ``A person serving as the Deputy Director of a facility of the 
Retirement Home on the day before the enactment of the National Defense 
Authorization Act for Fiscal Year 2002 may continue to serve, at the 
pleasure of the Secretary of Defense, as the Deputy Director until the 
date on which a Deputy Director is appointed for that facility under 
section 1517, except that the service in that position may not continue 
under this section after December 31, 2004.''.
SEC. 1410. CONFORMING AND CLERICAL AMENDMENTS AND REPEALS OF OBSOLETE 
PROVISIONS.
    (a) Conforming Amendments.--(1) Section 1513(b) (24 U.S.C. 413(b)), 
relating to services provided to residents of the Armed Forces 
Retirement Home, is amended by striking ``maintained as a separate 
establishment'' in the second sentence.
    (2) The heading for section 1519 (24 U.S.C. 419) is amended to read 
as follows:
``SEC. 1519. ARMED FORCES RETIREMENT HOME TRUST FUND.''.
    (3) Section 1520 (24 U.S.C. 420), relating to disposition of 
effects of deceased persons and unclaimed property, is amended--
        (A) in subsection (a), by striking ``each facility that is 
    maintained as a separate establishment'' and inserting ``a 
    facility'';
        (B) in subsection (b)(2)(A), by striking ``maintained as a 
    separate establishment''; and
        (C) in subsection (e), by striking ``Directors'' and inserting 
    ``Director of the facility''.
    (4)(A) Section 1523 (24 U.S.C. 423), relating to preservation of 
historic buildings and grounds at the Armed Forces Retirement Home--
Washington, is amended by striking ``United States Soldiers' and 
Airmen's Home'' each place it appears and inserting ``Armed Forces 
Retirement Home--Washington''.
    (B) The heading for such section is amended to read as follows:
``SEC. 1523. PRESERVATION OF HISTORIC BUILDINGS AND GROUNDS AT THE 
ARMED FORCES RETIREMENT HOME--WASHINGTON.''.
    (5) Section 1524 (24 U.S.C. 424), relating to conditional 
supervisory control of the Retirement Home Board, is repealed.
    (b) Repeal of Obsolete Provisions.--The following provisions are 
repealed:
        (1) Section 1512(f) (24 U.S.C. 412(f)), relating to the 
    applicability of certain eligibility requirements.
        (2) Section 1519(d) (24 U.S.C. 419(d)), relating to 
    transitional accounts in the Armed Forces Retirement Home Trust 
    Fund.
        (3) Part C, relating to effective date and authorization of 
    appropriations.
    (c) Addition of Table of Contents.--Section 1501 (24 U.S.C. 401 
note) is amended--
        (1) by inserting ``(a) Short Title.--'' before ``This title''; 
    and
        (2) by adding at the end the following new subsection:
    ``(b) Table of Contents.--The table of contents for this title is 
as follows:
``Sec. 1501. Short title; table of contents.
``Sec. 1502. Definitions.

        ``Part A--Establishment and Operation of Retirement Home

``Sec. 1511. Establishment of the Armed Forces Retirement Home.
``Sec. 1512. Residents of Retirement Home.
``Sec. 1513. Services provided residents.
``Sec. 1514. Fees paid by residents.
``Sec. 1515. Chief Operating Officer.
``Sec. 1516. Local Boards of Trustees.
``Sec. 1517. Directors, Deputy Directors, Associate Directors, and staff 
of facilities.
``Sec. 1518. Inspection of Retirement Home.
``Sec. 1519. Armed Forces Retirement Home Trust Fund.
``Sec. 1520. Disposition of effects of deceased persons; unclaimed 
property.
``Sec. 1521. Payment of residents for services.
``Sec. 1522. Authority to accept certain uncompensated services.
``Sec. 1523. Preservation of historic buildings and grounds at the Armed 
Forces Retirement Home--Washington.

                    ``Part B--Transitional Provisions

``Sec. 1531. Temporary Continuation of Armed Forces Retirement Home 
Board.
``Sec. 1532. Directors of Facilities.
``Sec. 1533. Temporary Continuation of Incumbent Deputy Directors.''.

          TITLE XV--ACTIVITIES RELATING TO COMBATING TERRORISM

          Subtitle A--Increased Funding for Combating Terrorism

Sec. 1501. Definitions.
Sec. 1502. Authorization of emergency appropriations for fiscal year 
2001 made by Public Law 107-38 and allocated for national defense 
functions.
Sec. 1503. Authorization of emergency supplemental appropriations for 
fiscal year 2002.
Sec. 1504. Authorization of use of funds for military construction 
projects.
Sec. 1505. Treatment of transferred amounts.
Sec. 1506. Quarterly reports.

       Subtitle B--Policy Matters Relating to Combating Terrorism

Sec. 1511. Study and report on the role of the Department of Defense 
with respect to homeland security.
Sec. 1512. Combating Terrorism Readiness Initiatives Fund for combatant 
commands.
Sec. 1513. Conveyances of equipment and related materials loaned to 
State and local governments as assistance for emergency response to a 
use or threatened use of a weapon of mass destruction.
Sec. 1514. Two-year extension of advisory panel to assess domestic 
response capabilities for terrorism involving weapons of mass 
destruction.

         Subtitle A--Increased Funding for Combating Terrorism

SEC. 1501. DEFINITIONS.

    For purposes of this subtitle:
        (1) The term ``ETR Supplemental Appropriations Act, 2001'' 
    means the 2001 Emergency Supplemental Appropriations Act for 
    Recovery from and Response to Terrorist Attacks on the United 
    States (Public Law 107-38).
        (2) The term ``Emergency Supplemental Appropriations Act, 
    2002'' means an Act (or a portion of an Act) making available for 
    obligation emergency appropriations that were provided, subject to 
    enactment in a subsequent appropriation Act, in the ETR 
    Supplemental Appropriations Act, 2001.
SEC. 1502. AUTHORIZATION OF EMERGENCY APPROPRIATIONS FOR FISCAL YEAR 
2001 MADE BY PUBLIC LAW 107-38 AND ALLOCATED FOR NATIONAL DEFENSE 
FUNCTIONS.
    (a) Adjustment in Authorization Amounts.--(1) Subject to paragraph 
(2), amounts authorized to be appropriated for fiscal year 2001 in the 
Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 
(as enacted into law by Public Law 106-398) are hereby increased, with 
respect to any such authorized amount, by the amount (if any) by which 
appropriations pursuant to such authorization are increased by amounts 
appropriated in the ETR Supplemental Appropriations Act, 2001, and 
transferred by the President (before the date of the enactment of this 
Act) to the Department of Defense or the National Nuclear Security 
Administration and subsequently allocated to such appropriations.
    (2) Authorization amounts may not be increased under paragraph (1) 
in excess of amounts derived from allocation of the amounts specified 
in subsection (b), for the Department of Defense, and in subsection 
(c), for the National Nuclear Security Administration.
    (b) Department of Defense.--Amounts referred to in subsection 
(a)(2) for the Department of Defense are amounts for emergency expenses 
to respond to the terrorist attacks on the United States that occurred 
on September 11, 2001, allocated to the Department of Defense for 
fiscal year 2001 for the use of the Armed Forces and other activities 
and agencies of the Department of Defense, including the purposes 
stated in section 1504, in the total amount of $13,741,000,000, as 
follows:
        (1) Increased situational awareness.--For Increased Situational 
    Awareness, $4,272,000,000.
        (2) Enhanced force protection.--For Enhanced Force Protection, 
    $1,509,000,000.
        (3) Improved command and control.--For Improved Command and 
    Control, $1,403,000,000.
        (4) Increased worldwide posture.--For Increased Worldwide 
    Posture, $3,603,000,000.
        (5) Offensive counterterrorism.--For Offensive 
    Counterterrorism, $1,459,000,000.
        (6) Initial crisis response.--For Initial Crisis Response, 
    $637,000,000.
        (7) Pentagon repair and upgrade.--For Pentagon Repair and 
    Upgrade Activities, $530,000,000.
        (8) Fuel costs.--For increased fuel costs, $100,000,000.
        (9) Airport and border security.--For airport and border 
    security, $228,000,000.
    (c) NNSA.--The amount referred to in subsection (a)(2) for the 
National Nuclear Security Administration is the amount of $5,000,000 
for emergency expenses to respond to the terrorist attacks on the 
United States that occurred on September 11, 2001, allocated for fiscal 
year 2001 atomic energy defense activities of the National Nuclear 
Security Administration for weapons activities.
    (d) Treatment as Additional Authorizations.--The amounts authorized 
to be appropriated by this section are in addition to amounts otherwise 
authorized to be appropriated by the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398) or any other Act, for fiscal year 2001 for the use of the 
Armed Forces and other activities and agencies of the Department of 
Defense and for the use of the National Nuclear Security 
Administration.
SEC. 1503. AUTHORIZATION OF EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR 
FISCAL YEAR 2002.
    (a) Department of Defense.--For emergency expenses to respond to 
the September 11, 2001, terrorist attacks on the United States, funds 
are hereby authorized to be appropriated to the Defense Emergency 
Response Fund for fiscal year 2002 for the use of the Armed Forces and 
other activities and agencies of the Department of Defense, including 
the purposes stated in section 1504, in the total amount of 
$7,349,000,000, as follows:
        (1) Increased situational awareness.--For Increased Situational 
    Awareness, $1,735,000,000.
        (2) Enhanced force protection.--For Enhanced Force Protection, 
    $881,000,000.
        (3) Improved command and control.--For Improved Command and 
    Control, $219,000,000.
        (4) Increased worldwide posture.--For Increased Worldwide 
    Posture, $2,938,000,000.
        (5) Offensive counterterrorism.--For Offensive 
    Counterterrorism, $545,000,000.
        (6) Initial crisis response.--For Initial Crisis Response, 
    $106,000,000.
        (7) Pentagon repair and upgrade.--For Pentagon Repair and 
    Upgrade Activities, $925,000,000.
    (b) NNSA.--For emergency expenses to respond to the September 11, 
2001, terrorist attacks on the United States and for other expenses to 
increase the security of the Nation's nuclear weapons complex, funds 
are hereby authorized to be appropriated for fiscal year 2002 for the 
atomic energy defense activities of the National Nuclear Security 
Administration in the amount of $106,000,000, to be available for 
weapons activities.
    (c) Department of Energy.--For emergency expenses to respond to the 
September 11, 2001, terrorist attacks on the United States, funds are 
hereby authorized to be appropriated for fiscal year 2002 to the 
Department of Energy in the total amount of $11,700,000, as follows:
        (1) For Defense Environmental Restoration and Waste Management, 
    $8,200,000.
        (2) For Other Defense Activities, $3,500,000.
    (d) Transfer of Defense Funds.--In order to carry out the specified 
purposes in subsection (a), the Secretary of Defense may transfer 
amounts authorized by subsection (a) from the Defense Emergency 
Response Fund to any other defense appropriations account, including 
the account ``Support for International Sporting Events, Defense'' and 
any military construction account as provided in section 1504.
    (e) Availability.--Amounts appropriated pursuant to authorizations 
in this section may remain available until expended, if so provided in 
appropriations Acts.
    (f) Source of Funds.--Amounts appropriated pursuant to 
authorizations in this section shall be derived from amounts provided, 
subject to subsequent appropriation, in the ETR Supplemental 
Appropriations Act, 2001.
    (g) Treatment as Additional Authorizations.--The amounts authorized 
to be appropriated by this section are in addition to amounts otherwise 
authorized to be appropriated, by the other provisions of this Act or 
by any other Act, for fiscal year 2001 for the use of the Armed Forces 
and other activities and agencies of the Department of Defense and for 
the use of the National Nuclear Security Administration.
SEC. 1504. AUTHORIZATION OF USE OF FUNDS FOR MILITARY CONSTRUCTION 
PROJECTS.
    (a) Authority for Use of Funds.--Qualified emergency defense 
appropriations may be used to acquire real property and carry out 
military construction projects not otherwise authorized by law that the 
Secretary of Defense determines are necessary to respond to or protect 
against acts or threatened acts of terrorism or to respond to the 
terrorist attacks on the United States that occurred on September 11, 
2001.
    (b) Project Authorization.--Any project with respect to which the 
Secretary makes a determination under subsection (a) and that is to be 
carried out using qualified emergency defense appropriations is hereby 
authorized for purposes of section 2802 of title 10, United States 
Code.
    (c) Qualified Emergency Defense Appropriations.--For purposes of 
this subsection, the term ``qualified emergency defense 
appropriations'' means emergency appropriations available to the 
Department of Defense that are authorized by section 1502 or 1503.

SEC. 1505. TREATMENT OF TRANSFERRED AMOUNTS.

    Amounts transferred under authority of section 1502 or 1503 shall 
be merged with, and shall be available for the same purposes and for 
the same time period as, the accounts to which transferred. The 
transfer authority under those sections is in addition to the transfer 
authority provided by section 1001 or any other provision of law.

SEC. 1506. QUARTERLY REPORTS.

    (a) Quarterly Report.--Promptly after the end of each quarter of a 
fiscal year, the Secretary of Defense and the Director of Central 
Intelligence shall each submit to the congressional defense committees 
a report (in classified and unclassified form, as needed) on the use of 
funds authorized by this subtitle. Each such report shall, at a 
minimum, specify the following:
        (1) Any balance of funds remaining in the Defense Emergency 
    Response Fund as of the end of the quarter covered by the report.
        (2) The accounts to which funds have been transferred or are to 
    be transferred and the amount of each such transfer.
        (3) Within such accounts, each project to which any such funds 
    have been transferred or are to be transferred and the amount of 
    funds obligated and the amount expended for each such project as of 
    the end of the quarter covered by the report.
    (b) Initial Report.--The first report under subsection (a) shall be 
submitted not later than January 2, 2002.
    (c) Final Report.--No further report under subsection (a) is 
required after all funds made available to the Department of Defense 
pursuant to such Act have been obligated.

       Subtitle B--Policy Matters Relating to Combating Terrorism

SEC. 1511. STUDY AND REPORT ON THE ROLE OF THE DEPARTMENT OF DEFENSE 
WITH RESPECT TO HOMELAND SECURITY.
    (a) Study Required.--The Secretary of Defense shall conduct a study 
on the appropriate role of the Department of Defense with respect to 
homeland security. The study shall identify and describe the policies, 
plans, and procedures of the Department of Defense for combating 
terrorism, including for the provision of support for the consequence 
management activities of other Federal, State, and local agencies. The 
study shall specifically identify the following:
        (1) The strategy, roles, and responsibilities of the Department 
    of Defense for combating terrorism.
        (2) How the Department of Defense will interact with the Office 
    of Homeland Security and how intelligence sharing efforts of the 
    Department of Defense will be organized relative to other Federal 
    agencies and departments and State and local governments.
        (3) The ability of the Department of Defense to protect the 
    United States from airborne threats, including threats originating 
    from within the borders of the United States.
        (4) Improvements that could be made to enhance the security of 
    the people of the United States against terrorist threats and 
    recommended actions (including legislative action) and programs to 
    address and overcome existing vulnerabilities.
        (5) The policies, plans, and procedures relating to how the 
    civilian official in the Department of Defense responsible for 
    combating terrorism and the Joint Task Force Civil Support of the 
    Joint Forces Command will coordinate the performance of functions 
    for combating terrorism with--
            (A) teams in the Department of Defense that have 
        responsibilities for responding to acts or threats of 
        terrorism, including--
                (i) weapons of mass destruction civil support teams 
            when operating as the National Guard under the command of 
            the Governor of a State, the Governor of Puerto Rico, or 
            the Commanding General of the District of Columbia National 
            Guard;
                (ii) weapons of mass destruction civil support teams 
            when operating as the Army National Guard of the United 
            States or the Air National Guard of the United States under 
            the command of the President;
                (iii) teams in the departments and agencies of the 
            Federal Government other than the Department of Defense 
            that have responsibilities for responding to acts or 
            threats of terrorism;
                (iv) organizations outside the Federal Government, 
            including any State, local and private entities, that 
            function as first responders to acts or threats of 
            terrorism; and
                (v) units and organizations of the Reserve Components 
            of the Armed Forces that have missions relating to 
            combating terrorism;
            (B) the Director of Military Support of the Department of 
        the Army;
            (C) any preparedness plans to combat terrorism that are 
        developed for installations of the Department of Defense by the 
        commanders of the installations and the integration of those 
        plans with the plans of the teams and organizations described 
        in subparagraph (A);
            (D) the policies, plans and procedures for using and 
        coordinating the integrated vulnerability assessment teams of 
        the Joint Staff inside and outside the United States; and
            (E) the missions of Fort Leonard Wood and other 
        installations for training units, weapons of mass destruction 
        civil support teams and other teams, and individuals in 
        combating terrorism.
        (6) The appropriate number and missions of the teams referred 
    to in paragraph (5)(A)(i).
        (7) How the Department of Defense Weapons of Mass Destruction 
    Civil Support Teams should interact with the Federal Bureau of 
    Investigation and the Federal Emergency Management Agency during 
    crisis response and consequence management situations.
    (b) Report.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary shall submit to Congress a report 
including the findings of the study conducted under subsection (a).
SEC. 1512. COMBATING TERRORISM READINESS INITIATIVES FUND FOR COMBATANT 
COMMANDS.
    (a) Funding for Initiatives.--Chapter 6 of title 10, United States 
Code, is amended by inserting after section 166a the following new 
section:
``Sec. 166b. Combatant commands: funding for combating terrorism 
     readiness initiatives
    ``(a) Combating Terrorism Readiness Initiatives Fund.--From funds 
made available in any fiscal year for the budget account in the 
Department of Defense known as the `Combating Terrorism Readiness 
Initiatives Fund', the Chairman of the Joint Chiefs of Staff may 
provide funds to the commander of a combatant command, upon the request 
of the commander, or, with respect to a geographic area or areas not 
within the area of responsibility of a commander of a combatant 
command, to an officer designated by the Chairman of the Joint Chiefs 
of Staff for such purpose. The Chairman may provide such funds for 
initiating any activity named in subsection (b) and for maintaining and 
sustaining the activity for the fiscal year in which initiated and one 
additional fiscal year.
    ``(b) Authorized Activities.--Activities for which funds may be 
provided under subsection (a) are the following:
        ``(1) Procurement and maintenance of physical security 
    equipment.
        ``(2) Improvement of physical security sites.
        ``(3) Under extraordinary circumstances--
            ``(A) physical security management planning;
            ``(B) procurement and support of security forces and 
        security technicians;
            ``(C) security reviews and investigations and vulnerability 
        assessments; and
            ``(D) any other activity relating to physical security.
    ``(c) Priority.--The Chairman of the Joint Chiefs of Staff, in 
considering requests for funds in the Combating Terrorism Readiness 
Initiatives Fund, should give priority consideration to emergency or 
emergent unforeseen high-priority requirements for combating terrorism.
    ``(d) Relationship to Other Funding.--Any amount provided by the 
Chairman of the Joint Chiefs of Staff for a fiscal year out of the 
Combating Terrorism Readiness Initiatives Fund for an activity referred 
to in subsection (b) shall be in addition to amounts otherwise 
available for that activity for that fiscal year.
    ``(e) Limitation.--Funds may not be provided under this section for 
any activity that has been denied authorization by Congress.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
166a the following new item:

``166b. Combatant commands: funding for combating terrorism readiness 
initiatives.''.

SEC. 1513. CONVEYANCES OF EQUIPMENT AND RELATED MATERIALS LOANED TO 
STATE AND LOCAL GOVERNMENTS AS ASSISTANCE FOR EMERGENCY RESPONSE TO A 
USE OR THREATENED USE OF A WEAPON OF MASS DESTRUCTION.
    Section 1412(e) of the Defense Against Weapons of Mass Destruction 
Act of 1996 (title XIV of Public Law 104-201; 110 Stat. 2718; 50 U.S.C. 
2312(e)) is amended by adding at the end the following new paragraph:
        ``(5) A conveyance of ownership of United States property to a 
    State or local government, without cost and without regard to 
    subsection (f) and title II of the Federal Property and 
    Administrative Services Act of 1949 (or any other provision of law 
    relating to the disposal of property of the United States), if the 
    property is equipment, or equipment and related materials, that is 
    in the possession of the State or local government on the date of 
    the enactment of the National Defense Authorization Act for Fiscal 
    Year 2002 pursuant to a loan of the property as assistance under 
    this section.''.
SEC. 1514. TWO-YEAR EXTENSION OF ADVISORY PANEL TO ASSESS DOMESTIC 
RESPONSE CAPABILITIES FOR TERRORISM INVOLVING WEAPONS OF MASS 
DESTRUCTION.
    (a) Extension of Advisory Panel.--Section 1405 of the Strom 
Thurmond National Defense Authorization Act for Fiscal Year 1999 (50 
U.S.C. 2301 note) is amended--
        (1) in subsection (h)(2), by striking ``2001'' and inserting 
    ``2003''; and
        (2) in subsection (l), by striking ``three years'' and 
    inserting ``five years''.
    (b) Pay and Expenses of Members.--(1) Subsection (k) of such 
section is amended to read as follows:
    ``(k) Compensation of Panel Members.--The provisions of paragraph 
(4) of section 591(c) of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1999 (as contained in section 
101(d) of division A of the Omnibus Consolidated and Emergency 
Supplemental Appropriations Act, 1999 (Public Law 105-277; 112 Stat. 
2681-212)), shall apply to members of the panel in the same manner as 
to members of the National Commission on Terrorism under that 
paragraph.''.
    (2) The amendment made by paragraph (1) shall apply with respect to 
periods of service on the advisory panel under section 1405 of the 
Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 
on or after the date of the enactment of this Act.

                  TITLE XVI--UNIFORMED SERVICES VOTING

Sec. 1601. Sense of Congress regarding the importance of voting.
Sec. 1602. Voting assistance programs.
Sec. 1603. Guarantee of residency for military personnel.
Sec. 1604. Electronic voting demonstration project.
Sec. 1605. Governors' reports on implementation of recommendations for 
changes in State law made under Federal Voting Assistance Program.
Sec. 1606. Simplification of voter registration and absentee ballot 
application procedures for absent uniformed services and overseas 
voters.
Sec. 1607. Use of certain Department of Defense facilities as polling 
places.

SEC. 1601. SENSE OF CONGRESS REGARDING THE IMPORTANCE OF VOTING.
    (a) Sense of Congress.--It is the sense of Congress that each 
person who is an administrator of a Federal, State, or local election--
        (1) should be aware of the importance of the ability of each 
    uniformed services voter to exercise the right to vote; and
        (2) should perform that person's duties as an election 
    administrator with the intent to ensure that--
            (A) each uniformed services voter receives the utmost 
        consideration and cooperation when voting;
            (B) each valid ballot cast by such a voter is duly counted; 
        and
            (C) all eligible American voters, regardless of race, 
        ethnicity, disability, the language they speak, or the 
        resources of the community in which they live, should have an 
        equal opportunity to cast a vote and to have that vote counted.
    (b) Uniformed Services Voter Defined.--In this section, the term 
``uniformed services voter'' means--
        (1) a member of a uniformed service (as defined in section 
    101(a)(5) of title 10, United States Code) in active service;
        (2) a member of the merchant marine (as defined in section 107 
    of the Uniformed and Overseas Citizens Absentee Voting Act (42 
    U.S.C. 1973ff-6)); and
        (3) a spouse or dependent of a member referred to in paragraph 
    (1) or (2) who is qualified to vote.

SEC. 1602. VOTING ASSISTANCE PROGRAMS.

    (a) In General.--(1) Chapter 80 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 1566. Voting assistance: compliance assessments; assistance
    ``(a) Regulations.--The Secretary of Defense shall prescribe 
regulations to require that the Army, Navy, Air Force, and Marine Corps 
ensure their compliance with any directives issued by the Secretary of 
Defense in implementing any voting assistance program.
    ``(b) Voting Assistance Programs Defined.--In this section, the 
term `voting assistance programs' means--
        ``(1) the Federal Voting Assistance Program carried out under 
    the Uniformed and Overseas Citizens Absentee Voting Act (42 U.S.C. 
    1973ff et seq.); and
        ``(2) any similar program.
    ``(c) Annual Effectiveness and Compliance Reviews.--(1) The 
Inspector General of each of the Army, Navy, Air Force, and Marine 
Corps shall conduct--
        ``(A) an annual review of the effectiveness of voting 
    assistance programs; and
        ``(B) an annual review of the compliance with voting assistance 
    programs of that armed force.
    ``(2) Upon the completion of each annual review under paragraph 
(1), each Inspector General specified in that paragraph shall submit to 
the Inspector General of the Department of Defense a report on the 
results of each such review. Such report shall be submitted in time 
each year to be reflected in the report of the Inspector General of the 
Department of Defense under paragraph (3).
    ``(3) Not later than March 31 each year, the Inspector General of 
the Department of Defense shall submit to Congress a report on--
        ``(A) the effectiveness during the preceding calendar year of 
    voting assistance programs; and
        ``(B) the level of compliance during the preceding calendar 
    year with voting assistance programs of each of the Army, Navy, Air 
    Force, and Marine Corps.
    ``(d) Inspector General Assessments.--(1) The Inspector General of 
the Department of Defense shall periodically conduct at Department of 
Defense installations unannounced assessments of the compliance at 
those installations with--
        ``(A) the requirements of the Uniformed and Overseas Citizens 
    Absentee Voting Act (42 U.S.C. 1973ff et seq.);
        ``(B) Department of Defense regulations regarding that Act and 
    the Federal Voting Assistance Program carried out under that Act; 
    and
        ``(C) other requirements of law regarding voting by members of 
    the armed forces.
    ``(2) The Inspector General shall conduct an assessment under 
paragraph (1) at not less than 10 Department of Defense installations 
each calendar year.
    ``(3) Each assessment under paragraph (1) shall include a review of 
such compliance--
        ``(A) within units to which are assigned, in the aggregate, not 
    less than 20 percent of the personnel assigned to duty at that 
    installation;
        ``(B) within a representative survey of members of the armed 
    forces assigned to that installation and their dependents; and
        ``(C) within unit voting assistance officers to measure program 
    effectiveness.
    ``(e) Regular Military Department Assessments.--The Secretary of 
each military department shall include in the set of issues and 
programs to be reviewed during any management effectiveness review or 
inspection at the installation level an assessment of compliance with 
the Uniformed and Overseas Citizens Absentee Voting Act (42 U.S.C. 
1973ff et seq.) and with Department of Defense regulations regarding 
the Federal Voting Assistance Program.
    ``(f) Voting Assistance Officers.--Voting assistance officers shall 
be appointed or assigned under Department of Defense regulations. 
Commanders at all levels are responsible for ensuring that unit voting 
officers are trained and equipped to provide information and assistance 
to members of the armed forces on voting matters. Performance 
evaluation reports pertaining to a member who has been assigned to 
serve as a voting assistance officer shall comment on the performance 
of the member as a voting assistance officer.
    ``(g) Delivery of Mail From Overseas Preceding Federal Elections.--
(1) During the four months preceding a general Federal election month, 
the Secretary of Defense shall periodically conduct surveys of all 
overseas locations and vessels at sea with military units responsible 
for collecting mail for return shipment to the United States and all 
port facilities in the United States and overseas where military-
related mail is collected for shipment to overseas locations or to the 
United States. The purpose of each survey shall be to determine if 
voting materials are awaiting shipment at any such location and, if so, 
the length of time that such materials have been held at that location. 
During the fourth and third months before a general Federal election 
month, such surveys shall be conducted biweekly. During the second and 
first months before a general Federal election month, such surveys 
shall be conducted weekly.
    ``(2) The Secretary shall ensure that voting materials are 
transmitted expeditiously by military postal authorities at all times.
    ``(3) In this section, the term `general Federal election month' 
means November in an even-numbered year.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``1566. Voting assistance: compliance assessments; assistance.''.

    (b) Initial Report.--The first report under section 1566(c)(3) of 
title 10, United States Code, as added by subsection (a), shall be 
submitted not later than March 31, 2003.
SEC. 1603. GUARANTEE OF RESIDENCY FOR MILITARY PERSONNEL.
    Article VII of the Soldiers' and Sailors' Civil Relief Act of 1940 
(50 U.S.C. App. 590 et seq.) is amended by adding at the end the 
following:
    ``Sec. 704. (a) For purposes of voting for any Federal office (as 
defined in section 301 of the Federal Election Campaign Act of 1971 (2 
U.S.C. 431)) or a State or local office, a person who is absent from a 
State in compliance with military or naval orders shall not, solely by 
reason of that absence--
        ``(1) be deemed to have lost a residence or domicile in that 
    State, without regard to whether or not the person intends to 
    return to that State;
        ``(2) be deemed to have acquired a residence or domicile in any 
    other State; or
        ``(3) be deemed to have become a resident in or a resident of 
    any other State.
    ``(b) In this section, the term `State' includes a territory or 
possession of the United States, a political subdivision of a State, 
territory, or possession, and the District of Columbia.''.
SEC. 1604. ELECTRONIC VOTING DEMONSTRATION PROJECT.
    (a) Establishment of Demonstration Project.--
        (1) In general.--Subject to paragraph (2), the Secretary of 
    Defense shall carry out a demonstration project under which absent 
    uniformed services voters are permitted to cast ballots in the 
    regularly scheduled general election for Federal office for 
    November 2002 through an electronic voting system. The project 
    shall be carried out with participation of sufficient numbers of 
    absent uniformed services voters so that the results are 
    statistically relevant.
        (2) Authority to delay implementation.--If the Secretary of 
    Defense determines that the implementation of the demonstration 
    project under paragraph (1) with respect to the regularly scheduled 
    general election for Federal office for November 2002 may adversely 
    affect the national security of the United States, the Secretary 
    may delay the implementation of such demonstration project until 
    the regularly scheduled general election for Federal office for 
    November 2004. The Secretary shall notify the Committee on Armed 
    Services and the Committee on Rules and Administration of the 
    Senate and the Committee on Armed Services and the Committee on 
    House Administration of the House of Representatives of any 
    decision to delay implementation of the demonstration project.
    (b) Coordination With State Election Officials.--The Secretary 
shall carry out the demonstration project under this section through 
cooperative agreements with State election officials of States that 
agree to participate in the project.
    (c) Report to Congress.--Not later than June 1 of the year 
following the year in which the demonstration project is conducted 
under this section, the Secretary of Defense shall submit to Congress a 
report analyzing the demonstration project. The Secretary shall include 
in the report any recommendations the Secretary considers appropriate 
for continuing the project on an expanded basis for absent uniformed 
services voters during the next regularly scheduled general election 
for Federal office.
    (d) Definitions.--In this section:
        (1) Absent uniformed services voter.--The term ``absent 
    uniformed services voter'' has the meaning given that term in 
    section 107(1) of the Uniformed and Overseas Citizens Absentee 
    Voting Act (42 U.S.C. 1973ff-6(1)).
        (2) State.--The term ``State'' includes the District of 
    Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin 
    Islands, and American Samoa.
SEC. 1605. GOVERNORS' REPORTS ON IMPLEMENTATION OF RECOMMENDATIONS FOR 
CHANGES IN STATE LAW MADE UNDER FEDERAL VOTING ASSISTANCE PROGRAM.
    (a) Reports.--(1) Whenever a State receives a uniformed services 
voting assistance legislative recommendation from the Secretary of 
Defense, acting as the Presidential designee, the chief executive 
authority of that State shall, not later than 90 days after receipt of 
that recommendation, provide a report on the status of implementation 
of that recommendation by that State.
    (2) If a legislative recommendation referred to in paragraph (1) 
has been implemented, in whole or in part, by a State, the report of 
the chief executive authority of that State under that paragraph with 
respect to that recommendation shall include a description of the 
changes made to State law to implement the recommendation. If the 
recommendation has not been implemented, the report shall include a 
statement of the status of the recommendation before the State 
legislature and a statement of any recommendation the chief executive 
officer has made or intends to make to the legislature with respect to 
that recommendation.
    (3) Any report under paragraph (1) shall be transmitted to the 
Secretary of Defense, acting as the Presidential designee. The 
Secretary shall transmit a copy of the response to each Member of 
Congress who represents that State.
    (b) Period of Applicability.--This section applies with respect to 
any uniformed services voting assistance legislative recommendation 
transmitted to a State by the Secretary of Defense, acting as the 
Presidential designee, during the three-year period beginning on the 
date of the enactment of this Act.
    (c) Definitions.--In this section:
        (1) The term ``uniformed services voting assistance legislative 
    recommendation'' means a recommendation of the Presidential 
    designee for a modification in the laws of a State for the purpose 
    of improving the access to the polls of absent uniformed services 
    voters and overseas voters.
        (2) The term ``Presidential designee'' means the head of the 
    executive department designated by the President under section 
    101(a) of the Uniformed and Overseas Citizens Absentee Voting Act 
    (42 U.S.C. 1973ff(a)).
        (3) The term ``State'' includes the District of Columbia, the 
    Commonwealth of Puerto Rico, Guam, the Virgin Islands, and American 
    Samoa.
        (4) The term ``Member of Congress'' includes a Delegate or 
    Resident Commissioner to the Congress.
SEC. 1606. SIMPLIFICATION OF VOTER REGISTRATION AND ABSENTEE BALLOT 
APPLICATION PROCEDURES FOR ABSENT UNIFORMED SERVICES AND OVERSEAS 
VOTERS.
    (a) Requirement for States To Accept Official Form for Simultaneous 
Voter Registration and Absentee Ballot Application.--
        (1) In general.--Section 102 of the Uniformed and Overseas 
    Citizens Absentee Voting Act (42 U.S.C. 1973ff-1) is amended--
            (A) in paragraph (2)--
                (i) by striking ``general, special, primary, or 
            runoff'';
                (ii) by inserting ``and absentee ballot application'' 
            after ``voter registration application'';
                (iii) by striking ``and'' after the semicolon at the 
            end;
            (B) by striking the period at the end of paragraph (3) and 
        inserting ``; and''; and
            (C) by adding at the end the following new paragraph:
        ``(4) use the official post card form (prescribed under section 
    101) for simultaneous voter registration application and absentee 
    ballot application.''.
        (2) Conforming amendment.--Section 101(b)(2) of such Act (42 
    U.S.C. 1973ff(b)(2)) is amended by striking ``as recommended in 
    section 104'' and inserting ``as required under section 102(4)''.
    (b) Use of Single Application for All Subsequent Elections.--
Section 104 of such Act (42 U.S.C. 1973ff-3) is amended to read as 
follows:
``SEC. 104. USE OF SINGLE APPLICATION FOR ALL SUBSEQUENT ELECTIONS.
    ``(a) In General.--If a State accepts and processes an official 
post card form (prescribed under section 101) submitted by an absent 
uniformed services voter or overseas voter for simultaneous voter 
registration and absentee ballot application (in accordance with 
section 102(a)(4)) and the voter requests that the application be 
considered an application for an absentee ballot for each subsequent 
election for Federal office held in the State during that year, the 
State shall provide an absentee ballot to the voter for each subsequent 
election for Federal office held in the State during that year.
    ``(b) Exception for Voters Changing Registration.--Subsection (a) 
shall not apply with respect to a voter registered to vote in a State 
for any election held after the voter notifies the State that the voter 
no longer wishes to be registered to vote in the State or after the 
State determines that the voter has registered to vote in another 
State.
    ``(c) Revision of Official Post Card Form.--The Presidential 
designee shall revise the official post card form (prescribed under 
section 101) to enable a voter using the form to--
        ``(1) request an absentee ballot for each election for Federal 
    office held in a State during a year; or
        ``(2) request an absentee ballot for only the next scheduled 
    election for Federal office held in a State.
    ``(d) No Effect on Voter Removal Programs.--Nothing in this section 
may be construed to prevent a State from removing any voter from the 
rolls of registered voters in the State under any program or method 
permitted under section 8 of the National Voter Registration Act of 
1993.''.
SEC. 1607. USE OF CERTAIN DEPARTMENT OF DEFENSE FACILITIES AS POLLING 
PLACES.
    (a) Use of Military Facilities.--Section 2670 of title 10, United 
States Code, is amended by adding at the end the following new 
subsection:
    ``(b) Use of Certain Facilities as Polling Places.--(1) 
Notwithstanding chapter 29 of title 18 (including sections 592 and 593 
of such title) or any other provision of law, the Secretary of Defense 
or Secretary of a military department may not (except as provided in 
paragraph (3)) prohibit the designation or use of a qualifying facility 
under the jurisdiction of the Secretary as an official polling place 
for local, State, or Federal elections.
    ``(2) A Department of Defense facility is a qualifying facility for 
purposes of this subsection if as of December 31, 2000--
        ``(A) the facility is designated as an official polling place 
    by a State or local election official; or
        ``(B) the facility has been used as such an official polling 
    place since January 1, 1996.
    ``(3) The limitation in paragraph (1) may be waived by the 
Secretary of Defense or Secretary of the military department concerned 
with respect to a particular Department of Defense facility if the 
Secretary of Defense or Secretary concerned determines that local 
security conditions require prohibition of the designation or use of 
that facility as an official polling place for any election.''.
    (b) Conforming and Clerical Amendments.--(1) Such section is 
further amended--
        (A) by striking ``Under'' and inserting ``(a) Use by Red 
    Cross.--Under''; and
        (B) by striking ``this section'' and inserting ``this 
    subsection''.
    (2) The heading of such section is amended to read as follows:
``Sec. 2670. Military installations: use by American National Red 
     Cross; use as polling places''.
    (3) The item relating to such section in the table of sections at 
the beginning of chapter 159 of such title is amended to read as 
follows:

``2670. Military installations: use by American National Red Cross; use 
as polling places.''.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

SEC. 2001. SHORT TITLE; DEFINITION.

    (a) Short Title.--This division may be cited as the ``Military 
Construction Authorization Act for Fiscal Year 2002''.
    (b) Definition of Fiscal Year 2001 Defense Authorization Act.--In 
this division, the term ``Spence Act'' means the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001, as enacted 
into law by Public Law 106-398 (114 Stat. 1654).

                            TITLE XXI--ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
          2001 projects.
Sec. 2106. Modification of authority to carry out certain fiscal year 
          2000 projects.
SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2104(a)(1), the 
Secretary of the Army may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:
---------------------------------------------------------------------------

                     Army: Inside the United States
------------------------------------------------------------------------
            State              Installation or location       Amount
------------------------------------------------------------------------
Alabama......................  Anniston Army Depot.....       $5,150,000
                               Fort Rucker.............      $18,200,000
                               Redstone Arsenal........       $9,900,000
Alaska.......................  Fort Richardson.........     $115,000,000
                               Fort Wainwright.........      $27,200,000
Arizona......................  Fort Huachuca...........       $6,100,000
                               Yuma Proving Ground.....       $3,100,000
California...................  Defense Language               $5,900,000
                                Institute.
                               Fort Irwin..............      $23,000,000
Colorado.....................  Fort Carson.............      $66,000,000
District of Columbia.........  Fort McNair.............      $11,600,000
Georgia......................  Fort Benning............      $23,900,000
                               Fort Gillem.............      $34,600,000
                               Fort Gordon.............      $34,000,000
                               Fort Stewart/Hunter Army      $39,800,000
                                Air Field..............
Hawaii.......................  Kahuku Windmill Site....         $900,000
                               Navy Public Works             $11,800,000
                                Center, Pearl Harbor...
                               Pohakuloa Training             $6,600,000
                                Facility...............
                               Wheeler Army Air Field..      $50,000,000
Illinois.....................  Rock Island Arsenal.....       $3,500,000
Kansas.......................  Fort Riley..............      $10,900,000
Kentucky.....................  Fort Campbell...........      $88,900,000
                               Fort Knox...............      $12,000,000
Louisiana....................  Fort Polk...............      $21,200,000
Maryland.....................  Aberdeen Proving Ground.      $58,300,000
                               Fort Meade..............      $11,200,000
Missouri.....................  Fort Leonard Wood.......       $7,850,000
New Jersey...................  Fort Monmouth...........      $20,000,000
                               Picatinny Arsenal.......      $10,200,000
New Mexico...................  White Sands Missile            $7,600,000
                                Range.
New York.....................  Fort Drum...............      $56,350,000
North Carolina...............  Fort Bragg..............      $21,300,000
                               Sunny Point Military          $11,400,000
                                Ocean Terminal.........
Oklahoma.....................  Fort Sill...............       $5,100,000
South Carolina...............  Fort Jackson............      $65,650,000
Texas........................  Corpus Christi Army           $10,400,000
                                Depot.
                               Fort Sam Houston........       $2,250,000
                               Fort Bliss..............       $5,000,000
                               Fort Hood...............     $104,200,000
Virginia.....................  Fort Belvoir............      $35,950,000
                               Fort Eustis.............      $34,650,000
                               Fort Lee................      $23,900,000
Washington...................  Fort Lewis..............     $238,200,000
                                                        ----------------
                                   Total:..............   $1,358,750,000
------------------------------------------------------------------------

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

                     Army: Outside the United States
------------------------------------------------------------------------
           Country             Installation or location       Amount
------------------------------------------------------------------------
Germany......................  Area Support Group,           $36,000,000
                                Bamberg................
                               Area Support Group,           $13,500,000
                                Darmstadt..............
                               Baumholder..............       $9,000,000
                               Hanau...................       $7,200,000
                               Heidelberg..............      $15,300,000
                               Mannheim................      $16,000,000
                               Wiesbaden Air Base......      $26,300,000
Japan........................  Camp Schab..............       $3,800,000
Korea........................  Camp Carroll............      $16,593,000
                               Camp Casey..............       $8,500,000
                               Camp Hovey..............      $35,750,000
                               Camp Humphreys..........      $14,500,000
                               Camp Jackson............       $6,100,000
                               Camp Stanley............      $28,000,000
                               Camp Yongsan............      $12,800,000
Kwajalein....................  Kwajalein Atoll.........      $11,000,000
                                                        ----------------
                                   Total:..............     $260,343,000
------------------------------------------------------------------------

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

                       Army: Unspecified Worldwide
------------------------------------------------------------------------
           Location                  Installation             Amount
------------------------------------------------------------------------
Unspecified Worldwide........  Classified Location.....       $4,000,000
------------------------------------------------------------------------

SEC. 2102. FAMILY HOUSING.

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

                                              Army: Family Housing
----------------------------------------------------------------------------------------------------------------
            State or Country                Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Alaska..................................  Fort Wainwright............  32 Units...................   $12,000,000
Arizona.................................  Fort Huachuca..............  72 Units...................   $10,800,000
Kansas..................................  Fort Leavenworth...........  80 Units...................   $20,000,000
Texas...................................  Fort Bliss.................  76 Units...................   $13,600,000
                                          Fort Sam Houston...........  80 Units...................   $11,200,000
Korea...................................  Camp Humphreys.............  54 Units...................   $12,800,000
                                                                                                   -------------
                                                                           Total:.................   $80,400,000
----------------------------------------------------------------------------------------------------------------

    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2104(a)(6)(A), the 
Secretary of the Army may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of family housing units in an amount not to 
exceed $11,592,000.
SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2104(a)(6)(A), the Secretary of the Army may improve existing 
military family housing units in an amount not to exceed $220,750,000.
SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.
    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Army in the total amount of $3,155,594,000, as 
follows:
        (1) For military construction projects inside the United States 
    authorized by section 2101(a), $1,127,750,000.
        (2) For military construction projects outside the United 
    States authorized by section 2101(b), $260,343,000.
        (3) For a military construction project at an unspecified 
    worldwide location authorized by section 2101(c), $4,000,000.
        (4) For unspecified minor construction projects authorized by 
    section 2805 of title 10, United States Code, $18,000,000.
        (5) For architectural and engineering services and construction 
    design under section 2807 of title 10, United States Code, 
    $159,533,000.
        (6) For military family housing functions:
            (A) For construction and acquisition, planning and design, 
        and improvement of military family housing and facilities, 
        $312,742,000.
            (B) For support of military family housing (including the 
        functions described in section 2833 of title 10, United States 
        Code), $1,089,573,000.
        (7) For the construction of a cadet development center at the 
    United States Military Academy, West Point, New York, authorized by 
    section 2101(a) of the Military Construction Authorization Act for 
    Fiscal Year 1999 (division B of Public Law 105-261; 112 Stat. 
    2182), $37,900,000.
        (8) For the construction of phase 2C of a barracks complex, 
    Tagaytay Street, at Fort Bragg, North Carolina, authorized by 
    section 2101(a) of the Military Construction Authorization Act for 
    Fiscal Year 2000 (division B of Public Law 106-65; 113 Stat. 825), 
    $17,500,000.
        (9) For the construction of phase 1C of a barracks complex, 
    Wilson Street, at Schofield Barracks, Hawaii, authorized by section 
    2101(a) of the Military Construction Authorization Act for Fiscal 
    Year 2000 (division B of Public Law 106-65; 113 Stat. 825), 
    $23,000,000.
        (10) For construction of phase 2 of a basic combat training 
    complex at Fort Leonard Wood, Missouri, authorized by section 
    2101(a) of the Military Construction Authorization Act for Fiscal 
    Year 2001 (division B of the Spence Act; 114 Stat. 1654A-389), as 
    amended by section 2105 of this Act, $27,000,000.
        (11) For the construction of phase 2 of a battle simulation 
    center at Fort Drum, New York, authorized by section 2101(a) of the 
    Military Construction Authorization Act for Fiscal Year 2001 
    (division B of the Spence Act; 114 Stat. 1654A-389), as amended by 
    section 2105 of this Act, $9,000,000.
        (12) For the construction of phase 1 of a barracks complex, 
    Butner Road, at Fort Bragg, North Carolina, authorized by section 
    2101(a) of the Military Construction Authorization Act for Fiscal 
    Year 2001 (division B of the Spence Act; 114 Stat. 1654A-389), 
    $49,000,000.
        (13) For the construction of phase 1 of a barracks complex, 
    Longstreet Road, at Fort Bragg, North Carolina, authorized by 
    section 2101(a) of the Military Construction Authorization Act for 
    Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-
    389), $27,000,000.
        (14) For the construction of a multipurpose digital training 
    range at Fort Hood, Texas, authorized by section 2101(a) of the 
    Military Construction Authorization Act for Fiscal Year 2001 
    (division B of the Spence Act; 114 Stat. 1654A-389), as amended by 
    section 2105 of this Act, $13,000,000.
        (15) For the homeowners assistance program, as authorized by 
    section 2832(a) of title 10, United States Code, $10,119,000, to 
    remain available until expended.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2101 of this 
Act may not exceed--
        (1) the total amount authorized to be appropriated under 
    paragraphs (1), (2), and (3) of subsection (a);
        (2) $52,000,000 (the balance of the amount authorized under 
    section 2201(a) for construction of a barracks complex, D Street, 
    at Fort Richardson, Alaska);
        (3) $41,000,000 (the balance of the amount authorized under 
    section 2201(a) for construction of phase 1 of a barracks complex, 
    Nelson Boulevard, at Fort Carson, Colorado);
        (4) $36,000,000 (the balance of the amount authorized under 
    section 2201(a) for construction of phase 1 of a basic combat 
    training complex at Fort Jackson, South Carolina); and
        (5) $102,000,000 (the balance of the amount authorized under 
    section 2201(a) for construction of a barracks complex, 17th & B 
    Streets, at Fort Lewis, Washington).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (15) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by $29,866,000, which represents the combination of savings resulting 
from adjustments to foreign currency exchange rates for military 
construction, military family housing construction, and military family 
housing support outside the United States and savings resulting from 
favorable bids, reduced overhead charges, and cancellations due to 
force structure changes.
SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2001 PROJECTS.
    (a) Modification.--The table in section 2101(a) of the Military 
Construction Authorization Act for Fiscal Year 2001 (division B of the 
Spence Act; 114 Stat. 1654A-389) is amended--
        (1) in the item relating to Fort Leonard Wood, Missouri, by 
    striking ``$65,400,000'' in the amount column and inserting 
    ``$69,800,000'';
        (2) in the item relating to Fort Drum, New York, by striking 
    ``$18,000,000'' in the amount column and inserting ``$21,000,000'';
        (3) in the item relating to Fort Hood, Texas, by striking 
    ``$36,492,000'' in the amount column and inserting ``$39,492,000''; 
    and
        (4) by striking the amount identified as the total in the 
    amount column and inserting ``$626,374,000''.
    (b) Conforming Amendments.--Section 2104 of that Act (114 Stat. 
1654A-391) is amended--
        (1) in subsection (a), in the matter preceding paragraph (1), 
    by striking ``$1,925,344,000'' and inserting ``$1,935,744,000''; 
    and
        (2) in subsection (b)--
            (A) in paragraph (2), by striking ``$22,600,000'' and 
        inserting ``$27,000,000'';
            (B) in paragraph (3), by striking ``$10,000,000'' and 
        inserting ``$13,000,000''; and
            (C) in paragraph (6), by striking ``$6,000,000'' and 
        inserting ``$9,000,000''.
SEC. 2106. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2000 PROJECTS.
    Section 2104 of the Military Construction Authorization Act for 
Fiscal Year 2000 (division B of Public Law 106-65; 113 Stat. 826), as 
amended by section 2105(c) of the Spence Act; 114 Stat. 1654A-393), is 
amended--
        (1) in subsection (a)--
            (A) in the matter preceding paragraph (1), by striking 
        ``$2,358,331,000'' and inserting ``$2,321,931,000''; and
            (B) in paragraph (1), by striking ``$930,058,000'' and 
        inserting ``$893,658,000''; and
        (2) in subsection (b)(7), by striking ``$102,500,000'' and 
    inserting ``$138,900,000''.

                            TITLE XXII--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
          2001 projects.
Sec. 2206. Modification of authority to carry out certain fiscal year 
          2000 project.
SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2204(a)(1), the 
Secretary of the Navy may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:
---------------------------------------------------------------------------

                     Navy: Inside the United States
------------------------------------------------------------------------
            State              Installation or location       Amount
------------------------------------------------------------------------
Arizona......................  Marine Corps Air              $22,570,000
                                Station, Yuma..........
California...................  Marine Air-Ground Task        $75,125,000
                                Force Training Center,
                                Twentynine Palms.......
                               Marine Corps Air               $4,470,000
                                Station, Camp Pendleton
                               Marine Corps Base, Camp       $96,490,000
                                Pendleton..............
                               Naval Air Facility, El        $23,520,000
                                Centro.................
                               Naval Air Station,            $10,010,000
                                Lemoore................
                               Naval Air Warfare             $30,200,000
                                Center, China Lake.....
                               Naval Air Warfare             $13,730,000
                                Center, Point Mugu, San
                                Nicholas Island........
                               Naval Amphibious Base,         $8,610,000
                                Coronado...............
                               Naval Construction            $12,400,000
                                Battalion Center, Port
                                Hueneme................
                               Naval Construction             $3,780,000
                                Training Center, Port
                                Hueneme................
                               Naval Station, San Diego      $47,240,000
District of Columbia.........  Naval Air Facility,            $9,810,000
                                Washington.............
Florida......................  Naval Air Station, Key        $11,400,000
                                West.
                               Naval Air Station,             $2,140,000
                                Whiting Field, Milton..
                               Naval Station, Mayport..      $16,420,000
                               Naval Station, Pensacola       $3,700,000
Hawaii.......................  Marine Corps Base,            $24,920,000
                                Kaneohe................
                               Naval Magazine Lualualei       $6,000,000
                               Naval Shipyard, Pearl         $20,000,000
                                Harbor.
                               Naval Station, Pearl          $54,700,000
                                Harbor.
                               Navy Public Works             $16,900,000
                                Center, Pearl Harbor...
Illinois.....................  Naval Training Center,        $82,260,000
                                Great Lakes............
Indiana......................  Naval Surface Warfare         $14,930,000
                                Center, Crane..........
Maine........................  Naval Air Station,            $67,395,000
                                Brunswick.
                               Naval Shipyard,               $14,620,000
                                Portsmouth.............
Maryland.....................  Naval Air Warfare              $2,260,000
                                Center, Patuxent River.
                               Naval Air Warfare              $5,100,000
                                Center, St. Inigoes....
                               Naval Explosive                $1,250,000
                                Ordinance Disposal
                                Technology Center,
                                Indian Head............
Mississippi..................  Naval Air Station,             $3,370,000
                                Meridian.
                               Naval Construction            $21,660,000
                                Battalion Center,
                                Gulfport...............
                               Naval Station,                 $4,680,000
                                Pascaguola.............
Missouri.....................  Marine Corps Support           $9,010,000
                                Activity, Kansas City..
Nevada.......................  Naval Air Station,             $6,150,000
                                Fallon.................
New Jersey...................  Naval Weapons Station,         $4,370,000
                                Earle..................
North Carolina...............  Marine Corps Air               $4,050,000
                                Station, New River.....
                               Marine Corps Base, Camp       $67,070,000
                                Lejeune................
Pennsylvania.................  Naval Foundry and             $14,800,000
                                Propeller Center,
                                Philadelphia...........
Rhode Island.................  Naval Station, Newport..      $15,290,000
                               Naval Underwater Warfare       $9,370,000
                                Center, Newport........
South Carolina...............  Marine Corps Air               $8,020,000
                                Station, Beaufort......
                               Marine Corps Recruit           $5,430,000
                                Depot, Parris Island...
Tennessee....................  Naval Support Activity,        $3,900,000
                                Millington.............
Virginia.....................  Marine Corps Air               $3,790,000
                                Facility, Quantico.....
                               Marine Corps Combat Dev        $9,390,000
                                Com....................
                               Naval Amphibious Base,         $9,090,000
                                Little Creek...........
                               Naval Station, Norfolk..     $139,270,000
Washington...................  Naval Air Station,             $7,370,000
                                Whidbey Island.........
                               Naval Station, Everett..       $6,820,000
                               Strategic Weapons              $3,900,000
                                Facility, Bangor.......
                                                        ----------------
                                   Total:..............   $1,058,750,000
------------------------------------------------------------------------

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

                     Navy: Outside the United States
------------------------------------------------------------------------
           Country             Installation or location       Amount
------------------------------------------------------------------------
Greece.......................  Naval Support Activity        $12,240,000
                                Joint Headquarters
                                Command, Larissa.......
                               Naval Support Activity,        $3,210,000
                                Souda Bay..............
Guam.........................  Naval Station, Guam.....       $9,300,000
                               Navy Public Works             $14,800,000
                                Center, Guam.
Iceland......................  Naval Air Station,             $2,820,000
                                Keflavik.
Italy........................  Naval Air Station,             $3,060,000
                                Sigonella.
Spain........................  Naval Station, Rota.....       $2,240,000
                                                        ----------------
                                   Total:..............      $47,670,000
------------------------------------------------------------------------

SEC. 2202. FAMILY HOUSING.

    (a) Construction and Acquisition.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2204(a)(5)(A), the Secretary of the Navy may construct or acquire 
family housing units (including land acquisition) at the installations, 
for the purposes, and in the amounts set forth in the following table:

                                              Navy: Family Housing
----------------------------------------------------------------------------------------------------------------
                  State                     Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Arizona.................................  Marine Corps Air Station,     51 Units..................    $9,017,000
                                           Yuma......................
California..............................  Marine Air-Ground Task        74 Units..................   $16,250,000
                                           Force Training Center,
                                           Twentynine Palms..........
Hawaii..................................  Marine Corps Base, Kaneohe.  172 Units..................   $46,996,000
                                          Naval Station, Pearl Harbor   70 Units..................   $16,827,000
Mississippi.............................  Naval Construction           160 Units..................   $23,354,000
                                           Battalion Center, Gulfport
Virginia................................  Marine Corps Combat           60 Units..................    $7,000,000
                                           Development Command,
                                           Quantico..................
Italy...................................  Naval Air Station,            10 Units..................    $2,403,000
                                           Sigonella.................
                                                                                                   -------------
                                                                           Total:.................  $121,847,000
----------------------------------------------------------------------------------------------------------------

  
    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2204(a)(5)(A), the 
Secretary of the Navy may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of military family housing units in an 
amount not to exceed $6,499,000.
SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2204(a)(5)(A), the Secretary of the Navy may improve existing 
military family housing units in an amount not to exceed $203,434,000.
SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.
    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Navy in the total amount of $2,366,742,000, as 
follows:
        (1) For military construction projects inside the United States 
    authorized by section 2201(a), $1,005,410,000.
        (2) For military construction projects outside the United 
    States authorized by section 2201(b), $47,670,000.
        (3) For unspecified minor construction projects authorized by 
    section 2805 of title 10, United States Code, $10,546,000.
        (4) For architectural and engineering services and construction 
    design under section 2807 of title 10, United States Code, 
    $39,557,000.
        (5) For military family housing functions:
            (A) For construction and acquisition, planning and design, 
        and improvement of military family housing and facilities, 
        $331,780,000.
            (B) For support of military housing (including functions 
        described in section 2833 of title 10, United States Code), 
        $910,095,000.
        (6) For construction of phase 6 of a large anachoic chamber 
    facility at the Patuxent River Naval Air Warfare Center, Maryland, 
    authorized by section 2201(a) of the Military Construction 
    Authorization Act for Fiscal Year 1993 (division B of Public Law 
    102-484; 106 Stat. 2590), $10,770,000.
        (7) For construction of the Commander-in-Chief Headquarters, 
    Pacific Command, Camp H.M. Smith, Hawaii, authorized by section 
    2201(a) of the Military Construction Authorization Act for Fiscal 
    Year 2000 (division B of Public Law 106-65; 113 Stat. 828), as 
    amended by section 2206 of this Act, $37,580,000.
        (8) For repair of a pier at Naval Station, San Diego, 
    California, authorized by section 2201(a) of the Military 
    Construction Authorization Act for Fiscal Year 2001 (division B of 
    the Spence Act; 114 Stat. 1654A-396), $17,500,000.
        (9) For replacement of a pier at Naval Station, Bremerton, 
    Washington, formerly Naval Shipyard, Bremerton, Puget Sound, 
    Washington, authorized by section 2201(a) of the Military 
    Construction Authorization Act for Fiscal Year 2001 (division B of 
    the Spence Act; 114 Stat. 1654A-396), as amended by section 2205 of 
    this Act, $24,460,000.
        (10) For construction of an industrial skills center at Puget 
    Sound Naval Shipyard, Bremerton, Washington, formerly Naval 
    Shipyard, Bremerton, Puget Sound, Washington, authorized by section 
    2201(a) of the Military Construction Authorization Act for Fiscal 
    Year 2001 (division B of the Spence Act; 114 Stat. 1654A-396), as 
    amended by section 2205 of this Act, $14,000,000.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2201 of this 
Act may not exceed--
        (1) the total amount authorized to be appropriated under 
    paragraphs (1) and (2) of subsection (a);
        (2) $33,240,000 (the balance of the amount authorized under 
    section 2201(a) for replacement of a pier, increment I, at Naval 
    Station, Norfolk, Virginia); and
        (3) $20,100,000 (the balance of the amount authorized under 
    section 2201(a) for a combined propulsion and explosives lab at 
    Naval Air Warfare Center, China Lake, California).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (10) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by $82,626,000, which represents the combination of savings resulting 
from adjustments to foreign currency exchange rates for military 
construction, military family housing construction, and military family 
housing support outside the United States and savings resulting from 
favorable bids, reduced overhead charges, and cancellations due to 
force structure changes.
SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2001 PROJECTS.
    (a) Authorized Construction and Land Acquisition.--The table in 
section 2201(a) of the Military Construction Authorization Act for 
Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-395) is 
amended--
        (1) in the item relating to Naval Shipyard, Bremerton, Puget 
    Sound, Washington, by striking ``$100,740,000'' in the amount 
    column and inserting ``$102,460,000'';
        (2) in the item relating to Naval Station, Bremerton, 
    Washington, by striking ``$11,930,000'' in the amount column and 
    inserting ``$1,930,000''; and
        (3) by striking the amount identified as the total in the 
    amount column and inserting ``$803,217,000''.
    (b) Planning and Design.--Section 2204(a) of that Act (114 Stat. 
1654A-398) is amended--
        (1) in the matter preceding paragraph (1), by striking 
    ``$2,227,995,000'' and inserting ``$2,208,407,000''; and
        (2) in paragraph (4), by striking ``$73,335,000'' and inserting 
    ``$53,747,000''.
    (c) Conforming Amendment.--Section 2204(b)(4) of that Act (114 
Stat. 1654A-398) is amended by striking ``$10,280,000'' and inserting 
``$14,000,000''.
SEC. 2206. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2000 PROJECT.
    (a) Modification.--The table in section 2201(a) of the Military 
Construction Authorization Act for Fiscal Year 2000 (division B of 
Public Law 106-65; 113 Stat. 828) is amended--
        (1) in the item relating to Camp H.M. Smith, Hawaii, by 
    striking ``$86,050,000'' in the amount column and inserting 
    ``$89,050,000''; and
        (2) by striking the amount identified as the total in the 
    amount column and inserting ``$820,230,000''.
    (b) Conforming Amendment.--Section 2204(b)(3) of that Act (113 
Stat. 831) is amended by striking ``$70,180,000'' and inserting 
``$73,180,000''.

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
          projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Modification of authority to carry out certain fiscal year 
          2001 projects.
SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION 
PROJECTS.
    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2304(a)(1), the 
Secretary of the Air Force may acquire real property and carry out 
military construction projects for the installations and locations 
inside the United States, and in the amounts, set forth in the 
following table:

                   Air Force: Inside the United States
------------------------------------------------------------------------
            State              Installation or location       Amount
------------------------------------------------------------------------
Alabama......................  Maxwell Air Force Base..      $34,400,000
Alaska.......................  Eareckson Air Force Base       $4,600,000
                               Elmendorf Air Force Base      $32,200,000
Arizona......................  Davis-Monthan Air Force       $23,500,000
                                Base...................
                               Luke Air Force Base.....       $4,500,000
Arkansas.....................  Little Rock Air Force         $18,100,000
                                Base...................
California...................  Beale Air Force Base....       $7,900,000
                               Edwards Air Force Base..      $16,300,000
                               Los Angeles Air Force         $23,000,000
                                Base.
                               Travis Air Force Base...      $10,100,000
                               Vandenberg Air Force          $11,800,000
                                Base.
Colorado.....................  Buckley Air Force Base..      $23,200,000
                               Schriever Air Force Base      $30,400,000
                               United States Air Force       $25,500,000
                                Academy................
Delaware.....................  Dover Air Force Base....       $7,300,000
District of Columbia.........  Bolling Air Force Base..       $2,900,000
Florida......................  Cape Canaveral Air Force       $7,800,000
                                Station................
                               Eglin Air Force Base....      $11,400,000
                               Hurlburt Field..........      $10,400,000
                               Tyndall Air Force Base..      $20,350,000
Georgia......................  Moody Air Force Base....       $8,600,000
                               Robins Air Force Base...      $14,650,000
Idaho........................  Mountain Home Air Force       $14,600,000
                                Base...................
Kansas.......................  McConnell Air Force Base       $5,100,000
Louisiana....................  Barksdale Air Force Base       $5,000,000
Maryland.....................  Andrews Air Force Base..      $19,420,000
Massachusetts................  Hanscom Air Force Base..       $9,400,000
Mississippi..................  Columbus Air Force Base.       $5,000,000
                               Keesler Air Force Base..      $28,600,000
Montana......................  Malmstrom Air Force Base       $4,650,000
Nevada.......................  Nellis Air Force Base...      $31,600,000
New Jersey...................  McGuire Air Force Base..      $36,550,000
New Mexico...................  Cannon Air Force Base...       $9,400,000
                               Kirtland Air Force Base.      $19,800,000
North Carolina...............  Pope Air Force Base.....      $17,800,000
North Dakota.................  Grand Forks Air Force          $7,800,000
                                Base.
Ohio.........................  Wright-Patterson Air          $28,250,000
                                Force Base.............
Oklahoma.....................  Altus Air Force Base....      $20,200,000
                               Tinker Air Force Base...      $21,400,000
South Carolina...............  Shaw Air Force Base.....       $5,800,000
South Dakota.................  Ellsworth Air Force Base      $12,200,000
Tennessee....................  Arnold Air Force Base...      $24,400,000
Texas........................  Dyess Air Force Base....      $16,800,000
                               Lackland Air Force Base.      $12,800,000
                               Laughlin Air Force Base.      $15,600,000
                               Sheppard Air Force Base.      $45,200,000
Utah.........................  Hill Air Force Base.....      $44,000,000
Virginia.....................  Langley Air Force Base..      $47,300,000
Washington...................  Fairchild Air Force Base       $2,800,000
                               McChord Air Force Base..      $20,700,000
Wyoming......................  F. E. Warren Air Force        $10,200,000
                                Base.
                                                        ----------------
                                   Total:..............     $891,270,000
------------------------------------------------------------------------

  
    (b) Outside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2304(a)(2), the 
Secretary of the Air Force may acquire real property and carry out 
military construction projects for the installations and locations 
outside the United States, and in the amounts, set forth in the 
following table:

                  Air Force: Outside the United States
------------------------------------------------------------------------
           Country             Installation or location       Amount
------------------------------------------------------------------------
Germany......................  Ramstein Air Force Base.      $42,900,000
                               Spangdahlem Air Base....       $8,700,000
Guam.........................  Andersen Air Force Base.      $10,150,000
Italy........................  Aviano Air Base.........      $11,800,000
Korea........................  Kunsan Air Base.........      $12,000,000
                               Osan Air Base...........     $101,142,000
Oman.........................  Masirah.................       $8,000,000
Turkey.......................  Eskisehir...............       $4,000,000
                               Incirlik................       $5,500,000
United Kingdom...............  Royal Air Force,              $11,300,000
                                Lakenheath.
                               Royal Air Force,              $22,400,000
                                Mildenhall.
Wake Island..................  Wake Island.............      $25,000,000
                                                        ----------------
                                   Total:..............     $262,892,000
------------------------------------------------------------------------

  
    (c) Unspecified Worldwide.--Using the amounts appropriated pursuant 
to the authorization of appropriations in section 2304(a)(3), the 
Secretary of the Air Force may acquire real property and carry out 
military construction projects for the installation and location, and 
in the amount, set forth in the following table:
---------------------------------------------------------------------------
  

                    Air Force: Unspecified Worldwide
------------------------------------------------------------------------
           Location                  Installation             Amount
------------------------------------------------------------------------
Unspecified Worldwide........  Classified Location.....       $4,458,000
------------------------------------------------------------------------

SEC. 2302. FAMILY HOUSING.

    (a) Construction and Acquisition.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2304(a)(6)(A), the Secretary of the Air Force may construct or acquire 
family housing units (including land acquisition) at the installations, 
for the purposes, and in the amounts set forth in the following table:

                                            Air Force: Family Housing
----------------------------------------------------------------------------------------------------------------
                 State                     Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Arizona................................  Luke Air Force Base........  120 Units.................     $15,712,000
California.............................  Travis Air Force Base......  118 Units.................     $18,150,000
Colorado...............................  Buckley Air Force Base.....   55 Units.................     $11,400,000
Delaware...............................  Dover Air Force Base.......  120 Units.................     $18,145,000
District of Columbia...................  Bolling Air Force Base.....  136 Units.................     $16,926,000
Hawaii.................................  Hickam Air Force Base......  102 Units.................     $25,037,000
Idaho..................................  Mountain Home Air Force       56 Units.................     $10,000,000
                                          Base......................
Louisiana..............................  Barksdale Air Force Base...   56 Units.................      $7,300,000
South Dakota...........................  Ellsworth Air Force Base...   78 Units.................     $13,700,000
Virginia...............................  Langley Air Force Base.....    4 Units.................      $1,200,000
Portugal...............................  Lajes Field, Azores........   64 Units.................     $13,230,000
                                                                                                 ---------------
                                                                          Total:................    $150,800,000
----------------------------------------------------------------------------------------------------------------

    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2304(a)(6)(A), the 
Secretary of the Air Force may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of military family housing units in an 
amount not to exceed $24,558,000.
SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2304(a)(6)(A), the Secretary of the Air Force may improve 
existing military family housing units in an amount not to exceed 
$375,345,000.
SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.
    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Air Force in the total amount of 
$2,573,122,000, as follows:
        (1) For military construction projects inside the United States 
    authorized by section 2301(a), $879,270,000.
        (2) For military construction projects outside the United 
    States authorized by section 2301(b), $223,592,000.
        (3) For a military construction project at an unspecified 
    worldwide location authorized by section 2301(c), $4,458,000.
        (4) For unspecified minor construction projects authorized by 
    section 2805 of title 10, United States Code, $11,250,000.
        (5) For architectural and engineering services and construction 
    design under section 2807 of title 10, United States Code, 
    $94,970,000.
        (6) For military housing functions:
            (A) For construction and acquisition, planning and design, 
        and improvement of military family housing and facilities, 
        $550,703,000.
            (B) For support of military family housing (including 
        functions described in section 2833 of title 10, United States 
        Code), $844,715,000.
        (7) $12,600,000 for construction of an air freight terminal and 
    base supply complex at McGuire Air Force Base, New Jersey, 
    authorized by section 2301(a) of the Military Construction 
    Authorization Act for Fiscal Year 2001 (division B of the Spence 
    Act; 114 Stat. 1654A-399), as amended by section 2305 of this Act.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2301 of this 
Act may not exceed--
        (1) the total amount authorized to be appropriated under 
    paragraphs (1), (2), and (3) of subsection (a);
        (2) $12,000,000 (the balance of the amount authorized under 
    section 2301(a) for a maintenance depot hanger at Hill Air Force 
    Base, Utah);
        (3) $15,300,000 (the balance of the amount authorized under 
    section 2301(b) for repair of an airfield runway at Wake Island); 
    and
        (4) $24,000,000 (the balance of the amount authorized under 
    section 2301(b) for a civil engineer complex at Osan Air Force 
    Base, Korea).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (7) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by $48,436,000, which represents the combination of savings resulting 
from adjustments to foreign currency exchange rates for military 
construction, military family housing construction, and military family 
housing support outside the United States and savings resulting from 
favorable bids, reduced overhead charges, and cancellations due to 
force structure changes.
SEC. 2305. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2001 PROJECTS.
    (a) McGuire Air Force Base.--The table in section 2301(a) of the 
Military Construction Authorization Act for Fiscal Year 2001 (division 
B of the Spence Act; 114 Stat. 1654A-399) is amended--
        (1) in the item relating to McGuire Air Force Base, New Jersey, 
    by striking ``$29,772,000'' in the amount column and inserting 
    ``$32,972,000''; and
        (2) by striking the amount identified as the total in the 
    amount column and inserting ``$748,955,000''.
    (b) Mountain Home Air Force Base.--The table in section 2302(a) of 
that Act (114 Stat. 1654A-400) is amended in the item relating to 
Mountain Home Air Force Base, Idaho, by striking ``119 Units'' in the 
purpose column and inserting ``46 Units''.
    (c) Conforming Amendment.--Section 2304(b)(2) of that Act (114 
Stat. 1654A-402) is amended by striking ``$9,400,000'' and inserting 
``$12,600,000''.

                      TITLE XXIV--DEFENSE AGENCIES

Sec. 2401. Authorized Defense Agencies construction and land acquisition 
projects.
Sec. 2402. Energy conservation projects.
Sec. 2403. Authorization of appropriations, Defense Agencies.
Sec. 2404. Cancellation of authority to carry out certain fiscal year 
2001 projects.
Sec. 2405. Modification of authority to carry out certain fiscal year 
2000 projects.
Sec. 2406. Modification of authority to carry out certain fiscal year 
1999 project.
Sec. 2407. Modification of authority to carry out certain fiscal year 
1995 project.
Sec. 2408. Prohibition on expenditures to develop forward operating 
location on Aruba.

SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND 
ACQUISITION PROJECTS.
    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2403(a)(1), the 
Secretary of Defense may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:

               Defense Agencies: Inside the United States
------------------------------------------------------------------------
            Agency             Installation or location       Amount
------------------------------------------------------------------------
Defense Education Activity...  Laurel Bay, South             $12,850,000
                                Carolina...............
                               Marine Corps Base, Camp        $8,857,000
                                Lejeune, North Carolina
Defense Logistics Agency.....  Defense Distribution          $30,000,000
                                Depot Tracy, California
                               Defense Distribution New      $19,900,000
                                Cumberland,
                                Pennsylvania...........
                               Eielson Air Force Base,        $8,800,000
                                Alaska.................
                               Fort Belvoir, Virginia..         $900,000
                               Grand Forks Air Force          $9,110,000
                                Base, North Dakota.....
                               Hickam Air Force Base,        $29,200,000
                                Hawaii.................
                               McGuire Air Force Base,        $4,400,000
                                New Jersey.............
                               Minot Air Force Base,         $14,000,000
                                North Dakota...........
                               Philadelphia,                  $2,429,000
                                Pennsylvania...........
                               Pope Air Force Base,           $3,400,000
                                North Carolina.........
Special Operations Command...  Aberdeen Proving Ground,       $3,200,000
                                Maryland...............
                               CONUS Classified........       $2,400,000
                               Fort Benning, Georgia...       $5,100,000
                               Fort Bragg, North             $33,562,000
                                Carolina...............
                               Fort Lewis, Washington..       $6,900,000
                               Hurlburt Field, Florida.      $13,400,000
                               MacDill Air Force Base,       $12,000,000
                                Florida................
                               Naval Station, San            $13,650,000
                                Diego, California......
TRICARE Management Activity..  Andrews Air Force Base,       $10,250,000
                                Maryland...............
                               Dyess Air Force Base,          $3,300,000
                                Texas..................
                               F. E. Warren Air Force         $2,700,000
                                Base, Wyoming..........
                               Fort Hood, Texas........      $12,200,000
                               Fort Stewart/Hunter Army      $11,000,000
                                Air Field, Georgia.....
                               Holloman Air Force Base,       $5,700,000
                                New Mexico.............
                               Hurlburt Field, Florida.       $8,800,000
                               Marine Corps Base, Camp       $15,300,000
                                Pendleton, California..
                               Marine Corps Logistics         $5,800,000
                                Base, Albany, Georgia..
                               Naval Air Station,             $6,600,000
                                Whidbey Island,
                                Washington.............
                               Naval Hospital,                $1,600,000
                                Twentynine Palms,
                                California.............
                               Naval Station, Mayport,       $24,000,000
                                Florida................
                               Naval Station, Norfolk,       $21,000,000
                                Virginia...............
                               Schriever Air Force            $4,000,000
                                Base, Colorado.........
Washington Headquarters        Pentagon Reservation,         $25,000,000
 Services....................   Virginia...............
                                                        ----------------
                                   Total:..............     $391,308,000
------------------------------------------------------------------------

    (b) Outside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2403(a)(2), the 
Secretary of Defense may acquire real property and carry out military 
construction projects for the installations and locations outside the 
United States, and in the amounts, set forth in the following table:
---------------------------------------------------------------------------
  

               Defense Agencies: Outside the United States
------------------------------------------------------------------------
            Agency             Installation or location       Amount
------------------------------------------------------------------------
Defense Education Activity...  Aviano Air Base, Italy..       $3,647,000
                               Geilenkirchen AB,              $1,733,000
                                Germany................
                               Heidelberg, Germany.....       $3,312,000
                               Kaiserslautern, Germany.       $1,439,000
                               Kitzingen, Germany......       $1,394,000
                               Landstuhl, Germany......       $1,444,000
                               Ramstein Air Force Base,       $2,814,000
                                Germany................
                               Royal Air Force,              $22,132,000
                                Feltwell, United
                                Kingdom................
                               Vogelweh Annex, Germany.       $1,558,000
                               Wiesbaden Air Base,            $1,378,000
                                Germany................
                               Wuerzburg, Germany......       $2,684,000
Defense Logistics Agency.....  Anderson Air Force Base,      $20,000,000
                                Guam...................
                               Camp Casey, Korea.......       $5,500,000
                               Naval Station, Rota,           $3,000,000
                                Spain..................
                               Yokota Air Base, Japan..      $13,000,000
Office Secretary of Defense..  Comalapa Air Base, El         $12,577,000
                                Salvador...............
TRICARE Management Activity..  Heidelberg, Germany.....      $28,000,000
                               Lajes Field, Azores,           $3,750,000
                                Portugal...............
                               Thule, Greenland........      $10,800,000
                                                        ----------------
                                   Total:..............     $140,162,000
------------------------------------------------------------------------

SEC. 2402. ENERGY CONSERVATION PROJECTS.

    Using amounts appropriated pursuant to the authorization of 
appropriations in section 2403(a)(6), the Secretary of Defense may 
carry out energy conservation projects under section 2865 of title 10, 
United States Code, in the amount of $27,100,000.
SEC. 2403. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.
    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of Defense (other than the military departments), in 
the total amount of $1,481,208,000, as follows:
        (1) For military construction projects inside the United States 
    authorized by section 2401(a), $391,308,000.
        (2) For military construction projects outside the United 
    States authorized by section 2401(b), $140,162,000.
        (3) For unspecified minor construction projects under section 
    2805 of title 10, United States Code, $24,492,000.
        (4) For contingency construction projects of the Secretary of 
    Defense under section 2804 of title 10, United States Code, 
    $10,000,000.
        (5) For architectural and engineering services and construction 
    design under section 2807 of title 10, United States Code, 
    $54,496,000.
        (6) For energy conservation projects authorized by section 
    2402, $27,100,000.
        (7) For base closure and realignment activities as authorized 
    by the Defense Base Closure and Realignment Act of 1990 (part A of 
    title XXIX of Public Law 101-510; 10 U.S.C. 2687 note), 
    $632,713,000.
        (8) For military family housing functions:
            (A) For improvement of military family housing and 
        facilities, $250,000.
            (B) For support of military family housing (including 
        functions described in section 2833 of title 10, United States 
        Code), $43,762,000, of which not more than $37,298,000 may be 
        obligated or expended for the leasing of military family 
        housing units worldwide.
            (C) For credit to the Department of Defense Family Housing 
        Improvement Fund established by section 2883(a)(1) of title 10, 
        United States Code, $2,000,000.
        (9) For the construction of phase 6 of an ammunition 
    demilitarization facility at Pine Bluff Arsenal, Arkansas, 
    authorized by section 2401(a) of the Military Construction 
    Authorization Act for Fiscal Year 1995 (division B of Public Law 
    103-337; 108 Stat. 3040), as amended by section 2407 of the 
    Military Construction Authorization Act for Fiscal Year 1996 
    (division B of Public Law 104-106; 110 Stat. 539), section 2408 of 
    the Military Construction Authorization Act for Fiscal Year 1998 
    (division B of Public Law 105-85; 111 Stat. 1982), section 2406 of 
    the Military Construction Authorization Act for Fiscal Year 1999 
    (division B of Public Law 105-261; 112 Stat. 2197), and section 
    2407 of this Act, $26,000,000.
        (10) For the construction of phase 3 of an ammunition 
    demilitarization facility at Pueblo Army Depot, Colorado, 
    authorized by section 2401(a) of the Military Construction 
    Authorization Act for Fiscal Year 1997 (division B of Public Law 
    104-201; 110 Stat. 2775), as amended by section 2406 of the 
    Military Construction Authorization Act for Fiscal Year 2000 
    (division B of Public Law 106-65; 113 Stat. 839), $11,000,000.
        (11) For construction of phase 4 of an ammunition 
    demilitarization facility at Newport Army Depot, Indiana, 
    authorized by section 2401(a) of the Military Construction 
    Authorization Act for Fiscal Year 1999 (division B of Public Law 
    105-261; 112 Stat. 2193), $66,000,000.
        (12) For construction of phase 4 of an ammunition 
    demilitarization facility at Aberdeen Proving Ground, Maryland, 
    authorized by section 2401(a) of the Military Construction 
    Authorization Act for Fiscal Year 1999 (division B of Public Law 
    105-261; 112 Stat. 2193), as amended by section 2406 of this Act, 
    $66,500,000.
        (13) For the construction of phase 2 of an ammunition 
    demilitarization facility at Blue Grass Army Depot, Kentucky, 
    authorized by section 2401(a) of the Military Construction 
    Authorization Act for Fiscal Year 2000 (division B of Public Law 
    106-65, 113 Stat. 836), as amended by section 2405 of this Act, 
    $3,000,000.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2401 of this 
Act may not exceed the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a).
    (c) Adjustments.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (13) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by $17,575,000, which represents the combination of savings resulting 
from adjustments to foreign currency exchange rates for military 
construction, military family housing construction, and military family 
housing support outside the United States and savings resulting from 
favorable bids, reduced overhead charges, and cancellations due to 
force structure changes.
SEC. 2404. CANCELLATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2001 PROJECTS.
    (a) Cancellation of Projects at Camp Pendleton, California.--The 
table in section 2401(a) of the Military Construction Authorization Act 
for Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-
402) is amended--
        (1) under the agency heading TRICARE Management Activity, by 
    striking the item relating to Marine Corps Base, Camp Pendleton, 
    California; and
        (2) by striking the amount identified as the total in the 
    amount column and inserting ``$242,756,000''.
    (b) Cancellation of Projects at Unspecified Worldwide Locations.--
Section 2401(c) of that Act (114 Stat. 1654A-404) is amended by 
striking ``$451,135,000'' and inserting ``$30,065,000''.
    (c) Treatment of Authorization of Appropriations for Certain 
Canceled Projects.--Of the amount authorized to be appropriated by 
section 2403(a) of that Act (114 Stat. 1654A-404), and paragraph (1) of 
that section, $14,150,000 shall be available for purposes relating to 
construction of the Portsmouth Naval Hospital, Virginia, as authorized 
by section 2401(a) of the Military Construction Authorization Act for 
Fiscal Years 1990 and 1991 (division B of Public Law 101-189; 103 Stat. 
1640).
    (d) Reduction in Authorization of Appropriations for Projects at 
Unspecified Worldwide Locations.--Section 2403 of that Act (114 Stat. 
1654A-404) is amended--
        (1) in subsection (a)--
            (A) in the matter preceding paragraph (1), by striking 
        ``$1,883,902,000'' and inserting ``$1,828,872,000''; and
            (B) in paragraph (3), by striking ``$85,095,000'' and 
        inserting ``$30,065,000''; and
        (2) in subsection (b), by striking ``may not exceed--'' and all 
    that follows through the end of the subsection and inserting ``may 
    not exceed the total amount authorized to be appropriated under 
    paragraphs (1) and (2) of subsection (a).''.
SEC. 2405. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
2000 PROJECTS.
    (a) Modification.--The table in section 2401(a) of the Military 
Construction Authorization Act for Fiscal Year 2000 (division B of 
Public Law 106-65; 113 Stat. 835) is amended--
        (1) under the agency heading relating to Chemical 
    Demilitarization, in the item relating to Blue Grass Army Depot, 
    Kentucky, by striking ``$206,800,000'' in the amount column and 
    inserting ``$254,030,000'';
        (2) under the agency heading relating to TRICARE Management 
    Agency--
            (A) in the item relating to Fort Wainwright, Alaska, by 
        striking ``$133,000,000'' in the amount column and inserting 
        ``$215,000,000''; and
            (B) by striking the item relating to Naval Air Station, 
        Whidbey Island, Washington; and
        (3) by striking the amount identified as the total in the 
    amount column and inserting ``$711,950,000''.
    (b) Treatment of Authorization of Appropriations for Canceled 
Whidbey Island Project.--Of the amount authorized to be appropriated by 
section 2405(a) of that Act (113 Stat. 837), and paragraph (1) of that 
section, $4,700,000 shall be available for purposes relating to 
construction of the Portsmouth Naval Hospital, Virginia, as authorized 
by section 2401(a) of the Military Construction Authorization Act for 
Fiscal Years 1990 and 1991 (division B of Public Law 101-189; 103 Stat. 
1640).
    (c) Conforming Amendments.--Section 2405(b) of that Act (113 Stat. 
839) is amended--
        (1) in paragraph (2), by striking ``$115,000,000'' and 
    inserting ``$197,000,000''; and
        (2) in paragraph (3), by striking ``$184,000,000'' and 
    inserting ``$231,230,000''.
SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
1999 PROJECT.
    (a) Modification.--The table in section 2401(a) of the Military 
Construction Authorization Act for Fiscal Year 1999 (division B of 
Public Law 105-261; 112 Stat. 2193) is amended--
        (1) under the agency heading relating to Chemical 
    Demilitarization, in the item relating to Aberdeen Proving Ground, 
    Maryland, by striking ``$186,350,000'' in the amount column and 
    inserting ``$223,950,000''; and
        (2) by striking the amount identified as the total in the 
    amount column and inserting ``$727,616,000''.
    (b) Conforming Amendment.--Section 2404(b)(3) of that Act (112 
Stat. 2196) is amended by striking ``$158,000,000'' and inserting 
``$195,600,000''.
SEC. 2407. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
1995 PROJECT.
    The table in section 2401 of the Military Construction 
Authorization Act for Fiscal Year 1995 (division B of Public Law 103-
337; 108 Stat. 3040), as amended by section 2407 of the Military 
Construction Authorization Act for Fiscal Year 1996 (division B of 
Public Law 104-106; 110 Stat. 539), section 2408 of the Military 
Construction Authorization Act for Fiscal Year 1998 (division B of 
Public Law 105-85; 111 Stat. 1982), and section 2406 of the Military 
Construction Authorization Act for Fiscal Year 1999 (division B of 
Public Law 105-261; 112 Stat. 2197), is amended under the agency 
heading relating to Chemical Agents and Munitions Destruction, in the 
item relating to Pine Bluff Arsenal, Arkansas, by striking 
``$154,400,000'' in the amount column and inserting ``$177,400,000''.
SEC. 2408. PROHIBITION ON EXPENDITURES TO DEVELOP FORWARD OPERATING 
LOCATION ON ARUBA.
    None of the funds appropriated under the heading ``military 
construction, defense-wide'' in chapter 3 of title III of the Emergency 
Supplemental Act, 2000 (Public Law 106-246; 114 Stat. 579), may be used 
by the Secretary of Defense to develop any forward operating location 
on the island of Aruba.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

Sec. 2501. Authorized NATO construction and land acquisition projects.
Sec. 2502. Authorization of appropriations, NATO.
SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.
    The Secretary of Defense may make contributions for the North 
Atlantic Treaty Organization Security Investment Program as provided in 
section 2806 of title 10, United States Code, in an amount not to 
exceed the sum of the amount authorized to be appropriated for this 
purpose in section 2502 and the amount collected from the North 
Atlantic Treaty Organization as a result of construction previously 
financed by the United States.
SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.
    Funds are hereby authorized to be appropriated for fiscal years 
beginning after September 30, 2001, for contributions by the Secretary 
of Defense under section 2806 of title 10, United States Code, for the 
share of the United States of the cost of projects for the North 
Atlantic Treaty Organization Security Investment Program authorized by 
section 2501, in the amount of $162,600,000.

                TITLE XXVI--GUARD AND RESERVE FACILITIES

Sec. 2601. Authorized guard and reserve construction and land 
          acquisition projects.
SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
ACQUISITION PROJECTS.
    (a) In General.--There are authorized to be appropriated for fiscal 
years beginning after September 30, 2001, for the costs of acquisition, 
architectural and engineering services, and construction of facilities 
for the Guard and Reserve Forces, and for contributions therefor, under 
chapter 1803 of title 10, United States Code (including the cost of 
acquisition of land for those facilities), the following amounts:
        (1) For the Department of the Army--
            (A) for the Army National Guard of the United States, 
        $393,253,000; and
            (B) for the Army Reserve, $168,969,000.
        (2) For the Department of the Navy, for the Naval and Marine 
    Corps Reserve, $52,896,000.
        (3) For the Department of the Air Force--
            (A) for the Air National Guard of the United States, 
        $253,852,000; and
            (B) for the Air Force Reserve, $73,032,000.

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1999 
projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1998 
projects.
Sec. 2704. Effective date.

SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED TO BE 
SPECIFIED BY LAW.
    (a) Expiration of Authorizations After Three Years.--Except as 
provided in subsection (b), all authorizations contained in titles XXI 
through XXVI for military construction projects, land acquisition, 
family housing projects and facilities, and contributions to the North 
Atlantic Treaty Organization Security Investment program (and 
authorizations of appropriations therefor) shall expire on the later 
of--
        (1) October 1, 2004; or
        (2) the date of the enactment of an Act authorizing funds for 
    military construction for fiscal year 2005.
    (b) Exception.--Subsection (a) shall not apply to authorizations 
for military construction projects, land acquisition, family housing 
projects and facilities, and contributions to the North Atlantic Treaty 
Organization Security Investment program (and authorizations of 
appropriations therefor) for which appropriated funds have been 
obligated before the later of--
        (1) October 1, 2004; or
        (2) the date of the enactment of an Act authorizing funds for 
    fiscal year 2005 for military construction projects, land 
    acquisition, family housing projects and facilities, or 
    contributions to the North Atlantic Treaty Organization Security 
    Investment program.
SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1999 
PROJECTS.
    (a) Extension.--Notwithstanding section 2701 of the Military 
Construction Authorization Act for Fiscal Year 1999 (division B of 
Public Law 105-261; 112 Stat. 2199), authorizations set forth in the 
tables in subsection (b), as provided in section 2302 or 2601 of that 
Act, shall remain in effect until October 1, 2002, or the date of the 
enactment of an Act authorizing funds for military construction for 
fiscal year 2003, whichever is later.
    (b) Tables.--The tables referred to in subsection (a) are as 
follows:

                               Air Force: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Delaware..............................  Dover Air Force Base.....  Replace Family Housing (55         $8,998,000
                                                                    units)......................
Florida...............................  Patrick Air Force Base...  Replace Family Housing (46         $9,692,000
                                                                    units)......................
New Mexico............................  Kirtland Air Force Base..  Replace Family Housing (37         $6,400,000
                                                                    units)......................
Ohio..................................  Wright-Patterson Air       Replace Family Housing (40         $5,600,000
                                         Force Base..............   units)......................
----------------------------------------------------------------------------------------------------------------

                          Army National Guard: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Massachusetts.........................  Westfield................  Army Aviation Support              $9,274,000
                                                                    Facility....................
South Carolina........................  Spartanburg..............  Readiness Center.............      $5,260,000
----------------------------------------------------------------------------------------------------------------

SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1998 
PROJECTS.
    (a) Extension.--Notwithstanding section 2701 of the Military 
Construction Authorization Act for Fiscal Year 1998 (division B of 
Public Law 105-85; 111 Stat. 1984), authorizations set forth in the 
tables in subsection (b), as provided in section 2102, 2202, or 2302 of 
that Act and extended by section 2702 of the Military Construction 
Authorization Act for Fiscal Year 2001 (division B of the Spence Act; 
114 Stat. 1654A-408), shall remain in effect until October 1, 2002, or 
the date of the enactment of an Act authorizing funds for military 
construction for fiscal year 2003, whichever is later.
    (b) Tables.--The tables referred to in subsection (a) are as 
follows:

                                  Army: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Maryland..............................  Fort Meade...............  Family Housing Construction        $7,900,000
                                                                    (56 units)..................
----------------------------------------------------------------------------------------------------------------

                                 Navy: Extension of 1998 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
California............................  Naval Complex, San Diego.  Replace Family Housing (94        $13,500,000
                                                                    units)......................
California............................  Marine Corps Air Station,  Family Housing Construction       $28,881,000
                                         Miramar.................   (166 units).................
Louisiana.............................  Naval Complex, New         Replace Family Housing (100       $11,930,000
                                         Orleans.................   units)......................
Texas.................................  Naval Air Station, Corpus  Family Housing Construction       $22,250,000
                                         Christi.................   (212 units).................
----------------------------------------------------------------------------------------------------------------

                               Air Force: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
New Mexico............................  Kirtland Air Force Base..  Replace Family Housing (180       $20,900,000
                                                                    units)......................
----------------------------------------------------------------------------------------------------------------

SEC. 2704. EFFECTIVE DATE.

    Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take effect on 
the later of--
        (1) October 1, 2001; or
        (2) the date of the enactment of this Act.

                    TITLE XXVIII--GENERAL PROVISIONS

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

Sec. 2801. Increase in thresholds for certain unspecified minor military 
construction projects.
Sec. 2802. Exclusion of unforeseen environmental hazard remediation from 
limitation on authorized cost variations.
Sec. 2803. Repeal of annual reporting requirement on military 
construction and military family housing activities.
Sec. 2804. Funds for housing allowances of members assigned to military 
family housing under alternative authority for acquisition and 
improvement of military housing.
Sec. 2805. Extension of alternative authority for acquisition and 
improvement of military housing.
Sec. 2806. Treatment of financing costs as allowable expenses under 
contracts for utility services from utility systems conveyed under 
privatization initiative.

         Subtitle B--Real Property and Facilities Administration

Sec. 2811. Use of military installations for certain recreational 
activities.
Sec. 2812. Availability of proceeds of sales of Department of Defense 
property from certain closed military installations.
Sec. 2813. Pilot program to provide additional tools for efficient 
operation of military installations.
Sec. 2814. Demonstration program on reduction in long-term facility 
maintenance costs.
Sec. 2815. Base efficiency project at Brooks Air Force Base, Texas.

 Subtitle C--Implementation of Prior Base Closure and Realignment Rounds

Sec. 2821. Lease back of base closure property.

                      Subtitle D--Land Conveyances

                        Part I--Army Conveyances

Sec. 2831. Land conveyance, Whittier-Anchorage Pipeline Tank Farm, 
Anchorage, Alaska.
Sec. 2832. Lease authority, Fort DeRussy, Hawaii.
Sec. 2833. Modification of land exchange, Rock Island Arsenal, Illinois.
Sec. 2834. Land conveyance, Fort Des Moines, Iowa.
Sec. 2835. Modification of land conveyances, Fort Dix, New Jersey.
Sec. 2836. Land conveyance, Engineer Proving Ground, Fort Belvoir, 
Virginia.
Sec. 2837. Land exchange and consolidation, Fort Lewis, Washington.
Sec. 2838. Land conveyance, Army Reserve Center, Kewaunee, Wisconsin.

                        Part II--Navy Conveyances

Sec. 2841. Transfer of jurisdiction, Centerville Beach Naval Station, 
Humboldt County, California.
Sec. 2842. Land conveyance, Port of Long Beach, California.
Sec. 2843. Conveyance of pier, Naval Base, San Diego, California.
Sec. 2844. Modification of authority for conveyance of Naval Computer 
and Telecommunications Station, Cutler, Maine.
Sec. 2845. Land transfer and conveyance, Naval Security Group Activity, 
Winter Harbor, Maine.
Sec. 2846. Land acquisition, Perquimans County, North Carolina.
Sec. 2847. Land conveyance, Naval Weapons Industrial Reserve Plant, 
Toledo, Ohio.
Sec. 2848. Modification of land conveyance, former United States Marine 
Corps Air Station, Eagle Mountain Lake, Texas.

                     Part III--Air Force Conveyances

Sec. 2851. Conveyance of avigation easements, former Norton Air Force 
Base, California.
Sec. 2852. Reexamination of land conveyance, Lowry Air Force Base, 
Colorado.
Sec. 2853. Water rights conveyance, Andersen Air Force Base, Guam.
Sec. 2854. Conveyance of segment of Loring petroleum pipeline, Maine, 
and related easements.
Sec. 2855. Land conveyance, petroleum terminal serving former Loring Air 
Force Base and Bangor Air National Guard Base, Maine.
Sec. 2856. Land conveyances, certain former Minuteman III ICBM 
facilities in North Dakota.
Sec. 2857. Land conveyances, Charleston Air Force Base, South Carolina.
Sec. 2858. Transfer of jurisdiction, Mukilteo Tank Farm, Everett, 
Washington.

                        Subtitle E--Other Matters

Sec. 2861. Management of the Presidio of San Francisco.
Sec. 2862. Transfer of jurisdiction for development of Air Force morale, 
welfare, and recreation facility, Park City, Utah.
Sec. 2863. Alternate site for United States Air Force Memorial, 
preservation of open space on Arlington Ridge tract, and related land 
transfer at Arlington National Cemetery, Virginia.
Sec. 2864. Establishment of memorial to victims of terrorist attack on 
Pentagon Reservation and authority to accept monetary contributions for 
memorial and repair of Pentagon.
Sec. 2865. Repeal of limitation on cost of renovation of Pentagon 
Reservation.
Sec. 2866. Development of United States Army Heritage and Education 
Center at Carlisle Barracks, Pennsylvania.
Sec. 2867. Effect of limitation on construction of roads or highways, 
Marine Corps Base, Camp Pendleton, California.
Sec. 2868. Establishment of World War II memorial at additional location 
on Guam.
Sec. 2869. Demonstration project for purchase of fire, security, police, 
public works, and utility services from local government agencies.
Sec. 2870. Report on future land needs of United States Military 
Academy, New York, and adjacent community.
Sec. 2871. Naming of Patricia C. Lamar Army National Guard Readiness 
Center, Oxford, Mississippi.

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

SEC. 2801. INCREASE IN THRESHOLDS FOR CERTAIN UNSPECIFIED MINOR 
MILITARY CONSTRUCTION PROJECTS.
    (a) Projects Requiring Advance Approval of Secretary Concerned.--
Subsection (b)(1) of section 2805 of title 10, United States Code, is 
amended by striking ``$500,000'' and inserting ``$750,000''.
    (b) Projects Using Amounts for Operation and Maintenance.--
Subsection (c)(1) of that section is amended--
        (1) in subparagraph (A), by striking ``$1,000,000'' and 
    inserting ``$1,500,000''; and
        (2) in subparagraph (B), by striking ``$500,000'' and inserting 
    ``$750,000''.
SEC. 2802. EXCLUSION OF UNFORESEEN ENVIRONMENTAL HAZARD REMEDIATION 
FROM LIMITATION ON AUTHORIZED COST VARIATIONS.
    Subsection (d) of section 2853 of title 10, United States Code, is 
amended to read as follows:
    ``(d) The limitation on cost increases in subsection (a) does not 
apply to the following:
        ``(1) The settlement of a contractor claim under a contract.
        ``(2) The costs associated with the required remediation of an 
    environmental hazard in connection with a military construction 
    project or military family housing project, such as asbestos 
    removal, radon abatement, lead-based paint removal or abatement, or 
    any other legally required environmental hazard remediation, if the 
    required remediation could not have reasonably been anticipated at 
    the time the project was approved originally by Congress.''.
SEC. 2803. REPEAL OF ANNUAL REPORTING REQUIREMENT ON MILITARY 
CONSTRUCTION AND MILITARY FAMILY HOUSING ACTIVITIES.
    (a) Repeal.--Section 2861 of title 10, United States Code, is 
repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
subchapter III of chapter 169 of such title is amended by striking the 
item relating to section 2861.
SEC. 2804. FUNDS FOR HOUSING ALLOWANCES OF MEMBERS ASSIGNED TO MILITARY 
FAMILY HOUSING UNDER ALTERNATIVE AUTHORITY FOR ACQUISITION AND 
IMPROVEMENT OF MILITARY HOUSING.
    (a) In General.--Subchapter IV of chapter 169 of title 10, United 
States Code, is amended by inserting after section 2883 the following 
new section:
``Sec. 2883a. Funds for housing allowances of members of the armed 
      forces assigned to certain military family housing units
    ``(a) Authority to Transfer Funds To Cover Housing Allowances.--
During the fiscal year in which a contract is awarded for the 
acquisition or construction of military family housing units under this 
subchapter that are not to be owned by the United States, the Secretary 
of Defense may transfer the amount determined under subsection (b) with 
respect to such housing from appropriations available for support of 
military housing for the armed force concerned for that fiscal year to 
appropriations available for pay and allowances of military personnel 
of that same armed force for that same fiscal year.
    ``(b) Amount Transferred.--The total amount authorized to be 
transferred under subsection (a) in connection with a contract under 
this subchapter may not exceed an amount equal to any additional 
amounts payable during the fiscal year in which the contract is awarded 
to members of the armed forces assigned to the acquired or constructed 
housing units as basic allowance for housing under section 403 of title 
37 that would not otherwise have been payable to such members if not 
for assignment to such housing units.
    ``(c) Transfers Subject to Appropriations.--The transfer of funds 
under the authority of subsection (a) is limited to such amounts as may 
be provided in advance in appropriations Acts.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
that subchapter is amended by inserting after the item relating to 
section 2883 the following new item:

``2883a. Funds for housing allowances of members of the armed forces 
assigned to certain military family housing units.''.

SEC. 2805. EXTENSION OF ALTERNATIVE AUTHORITY FOR ACQUISITION AND 
IMPROVEMENT OF MILITARY HOUSING.
    Section 2885 of title 10, United States Code, is amended by 
striking ``2004'' and inserting ``2012''.
SEC. 2806. TREATMENT OF FINANCING COSTS AS ALLOWABLE EXPENSES UNDER 
CONTRACTS FOR UTILITY SERVICES FROM UTILITY SYSTEMS CONVEYED UNDER 
PRIVATIZATION INITIATIVE.
    (a) Evaluation of Federal Acquisition Regulation.--The Secretary of 
Defense shall conduct an evaluation of the Federal Acquisition 
Regulation to determine whether or not it is advisable to modify the 
Federal Acquisition Regulation to provide that a contract for utility 
services from a utility system conveyed under section 2688(a) of title 
10, United States Code, may include terms and conditions that recognize 
financing costs, such as return on equity and interest on debt, as an 
allowable expense when incurred by the conveyee of the utility system 
to acquire, operate, renovate, replace, upgrade, repair, or expand the 
utility system. The Secretary shall complete the evaluation not later 
than 90 days after the date of the enactment of this Act.
    (b) Submission of Recommendation to Federal Acquisition Regulatory 
Council.--If the Secretary determines under subsection (a) that it is 
advisable to modify the Federal Acquisition Regulation to provide that 
a contract described in such subsection may include terms and 
conditions described in such subsection, the Secretary shall submit the 
results of the evaluation to the Federal Acquisition Regulatory Council 
together with a recommendation regarding the amendments to the Federal 
Acquisition Regulation necessary to effectuate the modification.

        Subtitle B--Real Property and Facilities Administration

SEC. 2811. USE OF MILITARY INSTALLATIONS FOR CERTAIN RECREATIONAL 
ACTIVITIES.
    (a) Waiver Authority.--Section 2671 of title 10, United States 
Code, is amended--
        (1) in subsection (b), by striking ``(b)'' and inserting ``(e) 
    Regulations.--'' and transferring the subsection to the end of the 
    section; and
        (2) by inserting after subsection (a) the following new 
    subsection (b):
    ``(b) Waiver Authority.--(1) The Secretary of Defense may waive or 
otherwise modify the fish and game laws of a State or Territory 
otherwise applicable under subsection (a)(1) to hunting, fishing, or 
trapping at a military installation or facility if the Secretary 
determines that the application of such laws to such hunting, fishing, 
or trapping without modification could result in undesirable 
consequences for public health or safety at the installation or 
facility. The authority to waive such laws includes the authority to 
extend, but not reduce, the specified season for certain hunting, 
fishing, or trapping. The Secretary may not waive the requirements 
under subsection (a)(2) regarding a license for such hunting, fishing, 
or trapping or any fee imposed by a State or Territory to obtain such a 
license.
    ``(2) If the Secretary determines that a waiver of fish and game 
laws of a State or Territory is appropriate under paragraph (1), the 
Secretary shall provide written notification to the appropriate State 
or Territory officials stating the reasons for, and extent of, the 
waiver. The notification shall be provided at least 30 days before 
implementation of the waiver.''.
    (b) Clerical Amendments.--Such section is further amended--
        (1) in subsection (a), by inserting ``General Requirements for 
    Hunting, Fishing, and Trapping.--'' after ``(a)'';
        (2) in subsection (c), by inserting ``Violations.--'' after 
    ``(c)''; and
        (3) in subsection (d), by inserting ``Relation to Treaty 
    Rights.--'' after ``(d)''.
SEC. 2812. AVAILABILITY OF PROCEEDS OF SALES OF DEPARTMENT OF DEFENSE 
PROPERTY FROM CERTAIN CLOSED MILITARY INSTALLATIONS.
    (a) Modification of Availability Percentages.--Subsection (h)(2) of 
section 204 of the Federal Property and Administrative Services Act of 
1949 (40 U.S.C. 485) is amended by striking subparagraphs (A) and (B) 
and inserting the following new subparagraphs:
        ``(A) In the case of property located at a military 
    installation that is closed, such amount shall be available for 
    facility maintenance and repair or environmental restoration by the 
    military department that had jurisdiction over such property before 
    the closure of the military installation.
        ``(B) In the case of property located at any other military 
    installation--
            ``(i) 50 percent of such amount shall be available for 
        facility maintenance and repair or environmental restoration at 
        the military installation where such property was located 
        before it was disposed of or transferred; and
            ``(ii) 50 percent of such amount shall be available for 
        facility maintenance and repair and for environmental 
        restoration by the military department that had jurisdiction 
        over such property before it was disposed of or transferred.''.
    (b) Relation to Other Laws.--Subsection (h) of such section is 
further amended--
        (1) in paragraph (1), by inserting ``pursuant to a base closure 
    law'' after ``realignment'' in the first sentence; and
        (2) in paragraph (5), by inserting before the period at the end 
    the following: ``, and the term `base closure law' shall have the 
    meaning given that term in section 2667(h)(2) of such title''.
SEC. 2813. PILOT PROGRAM TO PROVIDE ADDITIONAL TOOLS FOR EFFICIENT 
OPERATION OF MILITARY INSTALLATIONS.
    (a) Initiative Authorized.--The Secretary of Defense may carry out 
a pilot program (to be known as the ``Pilot Efficient Facilities 
Initiative'') for purposes of determining the potential for increasing 
the efficiency and effectiveness of the operation of military 
installations.
    (b) Designation of Participating Military Installations.--(1) The 
Secretary of Defense may designate up to two military installations of 
each military department for participation in the Initiative.
    (2) Before designating a military installation under paragraph (1), 
the Secretary shall consult with employees at the installation and 
communities in the vicinity of the installation regarding the 
Initiative.
    (3) The Secretary shall transmit to Congress written notification 
of the designation of a military installation to participate in the 
Initiative not later than 30 days before taking any action to carry out 
the Initiative at the installation. The notification shall include a 
description of the steps taken by the Secretary to comply with 
paragraph (2).
    (c) Management Plan.--(1) As part of the notification required 
under subsection (b), the Secretary of Defense shall submit a 
management plan for the Initiative at the military installation 
designated in the notification.
    (2) The management plan for a designated military installation 
shall include a description of--
        (A) each proposed lease of real or personal property located at 
    the military installation;
        (B) each proposed disposal of real or personal property located 
    at the installation;
        (C) each proposed leaseback of real or personal property leased 
    or disposed of at the installation;
        (D) each proposed conversion of services at the installation 
    from Federal Government performance to non-Federal Government 
    performance, including performance by contract with a State or 
    local government or private entity or performance as consideration 
    for the lease or disposal of property at the installation; and
        (E) each other action proposed to be taken to improve mission 
    effectiveness and reduce the cost of providing quality installation 
    support at the installation.
    (3) With respect to each proposed action described under paragraph 
(2), the management plan shall include--
        (A) an estimate of the savings expected to be achieved as a 
    result of the action;
        (B) each regulation not required by statute that is proposed to 
    be waived to implement the action; and
        (C) each statute or regulation required by statute that is 
    proposed to be waived to implement the action, including--
            (i) an explanation of the reasons for the proposed waiver; 
        and
            (ii) a description of the action to be taken to protect the 
        public interests served by the statute or regulation, as the 
        case may be, in the event of the waiver.
    (4) The management plan shall include measurable criteria for the 
evaluation of the effects of the actions taken pursuant to the 
Initiative at the designated military installation.
    (d) Waiver of Statutory Requirements.--The Secretary of Defense may 
waive any statute, or regulation required by statute, for purposes of 
carrying out the Initiative only if specific authority for the waiver 
of such statute or regulation is provided in a law that is enacted 
after the date of the enactment of this Act.
    (e) Installation Efficiency Initiative Fund.--(1) There is 
established on the books of the Treasury a fund to be known as the 
``Installation Efficiency Initiative Fund''.
    (2) There shall be deposited in the Fund all cash rents, payments, 
reimbursements, proceeds, and other amounts from leases, sales, or 
other conveyances or transfers, joint activities, and other actions 
taken under the Initiative.
    (3) To the extent provided in advance in authorization Acts and 
appropriations Acts, amounts in the Fund shall be available to the 
Secretary of Defense for purposes of managing capital assets and 
providing support services at military installations participating in 
the Initiative. Amounts in the Fund may be used for such purposes in 
addition to, or in combination with, other amounts authorized to be 
appropriated for such purposes. Amounts in the Fund shall be available 
for such purposes for five years.
    (4) Subject to applicable financial management regulations, the 
Secretary shall structure the Fund, and provide administrative policies 
and procedures, in order to provide proper control of deposits in and 
disbursements from the Fund.
    (f) Report.--Not later than December 31, 2004, the Secretary of 
Defense shall submit to Congress a report on the Initiative. The report 
shall contain a description of the actions taken under the Initiative 
and include such other information, including recommendations, as the 
Secretary considers appropriate regarding the Initiative.
    (g) Definitions.--In this section:
        (1) The term ``Initiative'' means the Pilot Efficient 
    Facilities Initiative.
        (2) The term ``Fund'' means the Installation Efficiency 
    Initiative Fund.
        (3) The term ``military installation'' has the meaning given 
    such term in section 2687(e) of title 10, United States Code.
    (h) Termination.--The authority of the Secretary of Defense to 
carry out the Initiative shall terminate December 31, 2005.
SEC. 2814. DEMONSTRATION PROGRAM ON REDUCTION IN LONG-TERM FACILITY 
MAINTENANCE COSTS.
    (a) Authority To Carry Out Program.--The Secretary of the Army may 
conduct a demonstration program to assess the feasibility and 
desirability of including facility maintenance requirements in 
construction contracts for military construction projects for the 
purpose of determining whether such requirements facilitate reductions 
in the long-term facility maintenance costs of the military 
departments.
    (b) Contracts.--Not more than three contracts entered into in any 
year may contain requirements referred to in subsection (a) for the 
purpose of the demonstration program. The demonstration program may 
only cover contracts entered into on or after the date of the enactment 
of this Act.
    (c) Effective Period of Requirements.--The effective period of a 
requirement referred to in subsection (a) that is included in a 
contract for the purpose of the demonstration program may not exceed 
five years.
    (d) Reporting Requirements.--Not later than January 31, 2005, the 
Secretary of the Army shall submit to Congress a report on the 
demonstration program, including the following:
        (1) A description of all contracts that contain requirements 
    referred to in subsection (a) for the purpose of the demonstration 
    program.
        (2) An evaluation of the demonstration program and a 
    description of the experience of the Secretary with respect to such 
    contracts.
        (3) Any recommendations, including recommendations for the 
    termination, continuation, or expansion of the demonstration 
    program, that the Secretary considers appropriate.
    (e) Expiration.--The authority under subsection (a) to include 
requirements referred to in that subsection in contracts under the 
demonstration program shall expire on September 30, 2006.
    (f) Funding.--Amounts authorized to be appropriated for the Army 
for a fiscal year for military construction shall be available for the 
demonstration program under this section in such fiscal year.
SEC. 2815. BASE EFFICIENCY PROJECT AT BROOKS AIR FORCE BASE, TEXAS.
    (a) Administration of Project.--Section 136(m)(9) of the Military 
Construction Appropriations Act, 2001 (division A of Public Law 106-
246; 114 Stat. 524), is amended by striking ``, who shall be a civilian 
official of the Department appointed by the President with the advice 
and consent of the Senate''.
    (b) Indemnification of Transferees.--Not later than March 1, 2002, 
the Secretary of Defense shall submit to Congress a report evaluating 
the base efficiency project conducted under section 136 of the Military 
Construction Appropriations Act, 2001 (division A of Public Law 106-
246; 114 Stat. 520). The evaluation shall address whether the disposal 
of real property under subsection (e) or other provisions of that 
section requires any additional authority for the Secretary beyond the 
authority provided under existing law to hold harmless, defend, and 
indemnify the recipients of the property against claims arising out of 
Department of Defense activities on the property before disposal. If 
the Secretary determines that inclusion of such an indemnity provision 
would facilitate activities under the base efficiency project, the 
Secretary shall include a recommendation in the report regarding the 
nature and extent of the indemnification to be provided.

Subtitle C--Implementation of Prior Base Closure and Realignment Rounds

SEC. 2821. LEASE BACK OF BASE CLOSURE PROPERTY.
    (a) 1988 Law.--Section 204(b)(4) of the Defense Authorization 
Amendments and Base Closure and Realignment Act (Public Law 100-526; 10 
U.S.C. 2687 note) is amended--
        (1) by redesignating subparagraphs (E), (F), (G), (H), and (I) 
    as subparagraphs (F), (G), (H), (I), and (J), respectively; and
        (2) by inserting after subparagraph (D) the following new 
    subparagraph (E):
    ``(E)(i) The Secretary may transfer real property at an 
installation approved for closure or realignment under this title 
(including property at an installation approved for realignment which 
will be retained by the Department of Defense or another Federal agency 
after realignment) to the redevelopment authority for the installation 
if the redevelopment authority agrees to lease, directly upon transfer, 
one or more portions of the property transferred under this 
subparagraph to the Secretary or to the head of another department or 
agency of the Federal Government. Subparagraph (B) shall apply to a 
transfer under this subparagraph.
    ``(ii) A lease under clause (i) shall be for a term of not to 
exceed 50 years, but may provide for options for renewal or extension 
of the term by the department or agency concerned.
    ``(iii) A lease under clause (i) may not require rental payments by 
the United States.
    ``(iv) A lease under clause (i) shall include a provision 
specifying that if the department or agency concerned ceases requiring 
the use of the leased property before the expiration of the term of the 
lease, the remainder of the lease term may be satisfied by the same or 
another department or agency of the Federal Government using the 
property for a use similar to the use under the lease. Exercise of the 
authority provided by this clause shall be made in consultation with 
the redevelopment authority concerned.
    ``(v) Notwithstanding clause (iii), if a lease under clause (i) 
involves a substantial portion of the installation, the department or 
agency concerned may obtain facility services for the leased property 
and common area maintenance from the redevelopment authority or the 
redevelopment authority's assignee as a provision of the lease. The 
facility services and common area maintenance shall be provided at a 
rate no higher than the rate charged to non-Federal tenants of the 
transferred property. Facility services and common area maintenance 
covered by the lease shall not include--
        ``(I) municipal services that a State or local government is 
    required by law to provide to all landowners in its jurisdiction 
    without direct charge; or
        ``(II) firefighting or security-guard functions.''.
    (b) 1990 Law.--Section 2905(b)(4)(E) of the Defense Base Closure 
and Realignment Act of 1990 (part A of title XXIX of Public Law 101-
510; 10 U.S.C. 2687 note) is amended by adding at the end the following 
new clause:
    ``(v) Notwithstanding clause (iii), if a lease under clause (i) 
involves a substantial portion of the installation, the department or 
agency concerned may obtain facility services for the leased property 
and common area maintenance from the redevelopment authority or the 
redevelopment authority's assignee as a provision of the lease. The 
facility services and common area maintenance shall be provided at a 
rate no higher than the rate charged to non-Federal tenants of the 
transferred property. Facility services and common area maintenance 
covered by the lease shall not include--
        ``(I) municipal services that a State or local government is 
    required by law to provide to all landowners in its jurisdiction 
    without direct charge; or
        ``(II) firefighting or security-guard functions.''.

                      Subtitle D--Land Conveyances

                        PART I--ARMY CONVEYANCES

SEC. 2831. LAND CONVEYANCE, WHITTIER-ANCHORAGE PIPELINE TANK FARM, 
ANCHORAGE, ALASKA.
    (a) Conveyance Authorized.--The Secretary of the Army may convey to 
the Port of Anchorage, an entity of the Municipality of Anchorage, 
Alaska (in this section referred to as the ``Port''), all right, title, 
and interest of the United States in and to two adjoining parcels of 
real property, including any improvements thereon, consisting of 
approximately 48 acres in Anchorage, Alaska, which are known as the 
Whittier-Anchorage Pipeline Tank Farm, for the purpose of permitting 
the Port to use the parcels for economic development.
    (b) Consideration.--As consideration for the conveyance under 
subsection (a), the Port shall pay to the United States an amount, in 
cash or in-kind, equal to not less than the fair market value of the 
conveyed property, as determined by the Secretary. The Secretary may 
authorize the Port to carry out, as in-kind consideration, 
environmental remediation activities for the property to be conveyed.
    (c) Time for Conveyance.--The Secretary may delay the conveyance 
under subsection (a) until such time as the Army studies relating to 
the Alaska deployment of the Interim Brigade Combat Team in Alaska are 
completed.
    (d) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
shall be determined by a survey satisfactory to the Secretary. The cost 
of the survey shall be borne by the Port.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a) as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2832. LEASE AUTHORITY, FORT DERUSSY, HAWAII.
    (a) Lease Authorized.--Notwithstanding section 809 of the Military 
Construction Authorization Act, 1968 (Public Law 90-110; 81 Stat. 309), 
and section 2814(b) of the Military Construction Authorization Act, 
1989 (Public Law 100-456; 102 Stat. 2117), the Secretary of the Army 
may enter into a lease with the City and County of Honolulu, Hawaii, 
for the purpose of making available to the City and County a parcel of 
real property at Fort DeRussy, Hawaii, for the construction and 
operation of a parking facility. The size and location of the parcel 
shall be determined by the Secretary.
    (b) Terms and Conditions.--The lease under subsection (a) may be 
for such term of years, require such consideration, and contain such 
other terms and conditions as the Secretary considers appropriate to 
protect the interests of the United States.
    (c) Relationship to Other Lease Authority.--Section 2667 of title 
10, United States Code, shall not apply to the lease under subsection 
(a).
    (d) Disposition of Money Rentals.--All money rentals received 
pursuant to the lease under subsection (a) shall be--
        (1) retained by the Secretary;
        (2) credited to an appropriation account that supports the 
    operation and maintenance of Fort DeRussy; and
        (3) available for such purpose until expended.
SEC. 2833. MODIFICATION OF LAND EXCHANGE, ROCK ISLAND ARSENAL, 
ILLINOIS.
    (a) Additional Conveyance Authorized.--Subsection (a) of section 
2832 of the Military Construction Authorization Act for Fiscal Year 
2000 (division B of Public Law 106-65; 113 Stat. 857) is amended--
        (1) by  inserting  ``(1)''  after  ``Conveyance  Authorized.--
    ''; and
        (2) by adding at the end the following new paragraph:
    ``(2) The Secretary may convey to the City all right, title, and 
interest of the United States in and to an additional parcel of real 
property, including improvements thereon, at the Rock Island Arsenal 
consisting of approximately .513 acres.''.
    (b) Consideration.--Subsection (b) of such section is amended--
        (1) by inserting ``(1)'' after ``Consideration.--'';
        (2) by striking ``subsection (a)'' both places it appears and 
    inserting ``subsection (a)(1)''; and
        (3) by adding at the end the following new paragraph:
    ``(2) As consideration for the conveyance under subsection (a)(2), 
the City shall convey to the Secretary all right, title, and interest 
of the City in and to a parcel of real property consisting of 
approximately .063 acres and construct on the parcel, at the City's 
expense, a new access ramp to the Rock Island Arsenal.''.
SEC. 2834. LAND CONVEYANCE, FORT DES MOINES, IOWA.
    (a) Conveyance Authorized.--The Secretary of the Army may convey, 
without consideration, to Fort Des Moines Memorial Park, Inc., a 
nonprofit organization (in this section referred to as the ``Memorial 
Park''), all right, title, and interest of the United States in and to 
a parcel of real property, including improvements thereon, consisting 
of approximately 4.6 acres located at Fort Des Moines United States 
Army Reserve Center, Des Moines, Iowa, for the purpose of the 
establishment of the Fort Des Moines Memorial Park and Education 
Center.
    (b) Condition of Conveyance.--The conveyance under subsection (a) 
shall be subject to the condition that the Memorial Park use the 
property for museum and park purposes.
    (c) Reversion.--If the Secretary determines at any time that the 
real property conveyed under subsection (a) is not being used for 
museum and park purposes, all right, title, and interest in and to the 
real property, including any improvements thereon, shall revert to the 
United States, and the United States shall have the right of immediate 
entry thereon.
    (d) Reimbursement for Costs of Conveyance.--(1) The Memorial Park 
shall reimburse the Secretary for the excess costs incurred by the 
Secretary for any environmental assessment, study, or analysis, or for 
any other excess costs incurred by the Secretary, in connection with 
the conveyance authorized by this section, if the excess costs were 
incurred as a result of a request by the Memorial Park. In this 
paragraph, the term ``excess costs'' means costs in excess of those 
costs considered reasonable and necessary by the Secretary to comply 
with existing law to make the conveyance authorized by subsection (a).
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received under this subsection.
    (e) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
shall be determined by a survey satisfactory to the Secretary. The cost 
of the survey shall be borne by the Memorial Park.
    (f) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a) as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2835. MODIFICATION OF LAND CONVEYANCES, FORT DIX, NEW JERSEY.
    Section 2835(c) of the Military Construction Authorization Act for 
Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 2004) is 
amended by adding at the end the following new paragraph:
    ``(3) Notwithstanding paragraph (1) or (2), the Borough and Board 
may exchange between each other, without the consent of the Secretary, 
all or any portion of the property conveyed under subsection (a) so 
long as the property continues to be used by the grantees for economic 
development or educational purposes.''.
SEC. 2836. LAND CONVEYANCE, ENGINEER PROVING GROUND, FORT BELVOIR, 
VIRGINIA.
    (a) Conveyance Authorized.--The Secretary of the Army may convey to 
the Commonwealth of Virginia (in this section referred to as the 
``Commonwealth'') all right, title, and interest of United States in 
and to two parcels of real property, including any improvements 
thereon, located at the Engineer Proving Ground, Fort Belvoir, 
Virginia, as follows:
        (1) The parcel, consisting of approximately 170 acres, that is 
    to be used for construction of a portion of the Fairfax County 
    Parkway.
        (2) The parcel, consisting of approximately 11.45 acres, that 
    is subject to an easement previously granted to the Commonwealth as 
    Army easement DACA 31-3-96-440 for the construction of a portion of 
    Interstate Highway 95.
    (b) Consideration.--As consideration for the conveyance under 
subsection (a), the Commonwealth shall--
        (1) design and construct, at its expense and for public 
    benefit, the portion of the Fairfax County Parkway through the 
    Engineer Proving Ground;
        (2) provide a conceptual design for eventual incorporation and 
    construction by others of access into the Engineer Proving Ground 
    at the Rolling Road Interchange from Fairfax County Parkway as 
    specified in Virginia Department of Transportation Project #R000-
    029-249, C514;
        (3) provide such easements or rights of way for utilities under 
    or across the Fairfax County Parkway as the Secretary considers 
    appropriate for the optimum development of the Engineer Proving 
    Ground; and
        (4) pay the United States an amount, jointly determined by the 
    Secretary and the Commonwealth, appropriate to cover the costs of 
    constructing a replacement building for building 5089 located on 
    the Engineer Proving Ground.
    (c) Responsibility for Environmental Cleanup.--The Secretary shall 
retain liability under the Comprehensive Environmental Response, 
Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.), and 
any other applicable environmental statute or regulation, for any 
environmental hazard on the property conveyed under subsection (a) as 
of the date of the conveyance under that subsection.
    (d) Acceptance and Disposition of Funds.--(1) The Secretary of the 
Army may accept the funds paid by the Commonwealth as consideration 
under subsection (b)(4) and shall credit the accepted funds to the 
appropriation or appropriations that are appropriate for paying the 
costs of the replacement of Building 5089, located on the Engineer 
Proving Ground, Fort Belvoir, Virginia, consistent with paragraphs (2) 
and (3) of this subsection.
    (2) Funds accepted under paragraph (1) shall be available, until 
expended, for the replacement of Building 5089.
    (3) Funds appropriated pursuant to the authorization of 
appropriations in section 301(a)(1), and funds appropriated pursuant to 
the authorization of appropriations in section 2104(a)(4), shall be 
available in accordance with section 2805 of title 10, United States 
Code, for the excess, if any, of the cost of the replacement of 
Building 5089 over the amount available for such project under 
paragraph (2).
    (e) Description of Property.--(1) The exact acreage and legal 
description of the real property to be conveyed under subsection (a)(1) 
shall be determined by a survey satisfactory to the Secretary. The cost 
of the survey shall be borne by the Commonwealth.
    (2) The exact acreage and legal description of the real property to 
be conveyed under subsection (a)(2) are as set forth in Army easement 
DACA 31-3-96-440.
    (f) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a) as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2837. LAND EXCHANGE AND CONSOLIDATION, FORT LEWIS, WASHINGTON.
    (a) Exchange Authorized.--(1) The Secretary of the Army may convey 
to the Nisqually Tribe, a federally recognized Indian tribe whose 
tribal lands are located within the State of Washington, all right, 
title, and interest of the United States in and to two parcels of real 
property, including any improvements thereon, consisting of 
approximately 138 acres at Fort Lewis, Washington, in exchange for the 
real property described in subsection (b).
    (2) The property authorized for conveyance under paragraph (1) does 
not include Bonneville Power Administration transmission facilities or 
the right of way described in subsection (c).
    (b) Consideration.--As consideration for the conveyance under 
subsection (a), the Nisqually Tribe shall--
        (1) acquire from Thurston County, Washington, several parcels 
    of real property consisting of approximately 416 acres that are 
    owned by the county, are located within the boundaries of Fort 
    Lewis, and are currently leased by the Army; and
        (2) convey fee title over the acquired property to the 
    Secretary.
    (c) Right-of-Way for Bonneville Power Administration.--The 
Secretary may use the authority provided in section 2668 of title 10, 
United States Code, to convey to the Bonneville Power Administration a 
right-of-way that authorizes the Bonneville Power Administration to use 
real property at Fort Lewis as a route for the Grand Coulee-Olympia and 
Olympia-White River electric transmission lines and appurtenances for 
the purpose of facilitating the removal of such transmission lines from 
tribal lands of the Nisqually Tribe.
    (d) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
and acquired under subsection (b) shall be determined by surveys 
satisfactory to the Secretary and the Nisqually Tribe. The cost of a 
survey shall be borne by the recipient of the property being surveyed.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under this section as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2838. LAND CONVEYANCE, ARMY RESERVE CENTER, KEWAUNEE, WISCONSIN.
    (a) Conveyance Authorized.--The Administrator of General Services 
may convey, without consideration, to the City of Kewaunee, Wisconsin 
(in this section referred to as the ``City''), all right, title, and 
interest of the United States in and to a parcel of Federal real 
property, including improvements thereon, that is located at 401 5th 
Street in Kewaunee, Wisconsin, and contains a surplus Army Reserve 
Center. After such conveyance, the property may be used and occupied 
only by the City or by another local or State government entity 
approved by the City.
    (b) Reversionary Interest.--(1) During the 20-year period beginning 
on the date the Administrator makes the conveyance under subsection 
(a), if the Administrator determines that the conveyed property is not 
being used and occupied in accordance with such subsection, all right, 
title, and interest in and to the property, including any improvements 
thereon, shall revert to the United States.
    (2) Upon reversion, the Administrator shall immediately proceed to 
a public sale of the property. The Administrator shall deposit the net 
proceeds from the public sale in the land and water conservation fund 
established under section 2 of the Land and Water Conservation Fund Act 
of 1965 (16 U.S.C 460l-5).
    (c) Additional Limitation on Use.--The property conveyed under 
subsection (a) shall not be used for commercial purposes.
    (d) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
shall be determined by a survey satisfactory to the Administrator. The 
cost of the survey shall be borne by the City.
    (e) Additional Terms and Conditions.--The Administrator may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a) as the Administrator considers appropriate to 
protect the interests of the United States.

                       PART II--NAVY CONVEYANCES

SEC. 2841. TRANSFER OF JURISDICTION, CENTERVILLE BEACH NAVAL STATION, 
HUMBOLDT COUNTY, CALIFORNIA.
    (a) Transfer Authorized.--The Secretary of the Navy may transfer, 
without reimbursement, to the administrative jurisdiction of the 
Secretary of the Interior the real property, including any improvements 
thereon, consisting of the closed Centerville Beach Naval Station in 
Humboldt County, California, for the purpose of permitting the 
Secretary of the Interior to manage the real property as open space or 
for other public purposes.
    (b) Legal Description.--The exact acreage and legal description of 
the real property to be transferred under this section shall be 
determined by a survey satisfactory to the Secretary of the Navy. The 
cost of the survey shall be borne by the Secretary of the Interior.
    (c) Additional Terms and Conditions.--The Secretary of the Navy may 
require such additional terms and conditions in connection with the 
transfer under subsection (a) as the Secretary of the Navy considers 
appropriate to protect the interests of the United States.
SEC. 2842. LAND CONVEYANCE, PORT OF LONG BEACH, CALIFORNIA.
    (a) Conveyance Authorized.--The Secretary of the Navy may convey to 
the City of Long Beach, California, acting by and through its Board of 
Harbor Commissioners (in this section referred to as the ``City''), all 
right, title, and interest of the United States in and to up to 11.08 
acres of real property, including any improvements thereon, comprising 
a portion of the Navy Mole at the former Long Beach Naval Complex, Long 
Beach, California, for the purpose of permitting the City to use the 
property to support the reuse of other former Navy property conveyed to 
the City.
    (b) Consideration.--(1) Subject to paragraph (2), as consideration 
for the conveyance under subsection (a), the City shall--
        (A) convey to the Secretary all right, title, and interest of 
    the City in and to a parcel of real property of equal size on the 
    Mole that is acceptable to the Secretary; and
        (B) construct on the property conveyed under subparagraph (A) 
    suitable replacement fuel transfer and storage facilities for the 
    Navy, similar or equivalent to the facilities on the property to be 
    conveyed under subsection (a), as determined necessary by the 
    Secretary.
    (2) If the Secretary determines that replacement fuel transfer and 
storage facilities are not required by the Navy, the Secretary may make 
the conveyance under subsection (a) at no cost to the City.
    (c) Time for Conveyance.--Unless the Secretary makes the 
determination referred to in subsection (b)(2), the conveyance to the 
City authorized by subsection (a) shall be made only after the 
Secretary determines that the replacement fuel transfer and storage 
facilities have been constructed and are ready for use.
    (d) Construction Schedule.--The City shall construct the 
replacement fuel transfer and storage facilities pursuant to such 
schedule and in such a manner so as to not interrupt or otherwise 
adversely affect the capability of the Navy to accomplish its mission.
    (e) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsections (a) 
and (b) shall be determined by surveys satisfactory to the Secretary. 
The City shall be responsible for conducting the surveys.
    (f) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under this section as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2843. CONVEYANCE OF PIER, NAVAL BASE, SAN DIEGO, CALIFORNIA.
    (a) Conveyance Authorized.--(1) The Secretary of the Navy may 
convey, without consideration, to the San Diego Aircraft Carrier Museum 
or its designee (in this section referred to as the ``Museum'') all 
right, title, and interest of the United States in and to the property 
known as Pier 11A at Naval Base, San Diego, California, together with 
associated structures and interests in the land underlying the pier, if 
any, for the purpose of permitting the Museum to use the property to 
berth a vessel and operate a museum for the general public.
    (2) The Secretary may not make the conveyance until such time as 
the Museum certifies that the Museum has acquired an interest in 
property from the State of California or a political subdivision of the 
State to facilitate the use of the conveyed pier to berth a vessel and 
operate a museum for the general public.
    (b) Assumption of Liability.--The Museum shall expressly accept any 
and all liability pertaining to the physical condition of the property 
conveyed under subsection (a) and shall hold the United States harmless 
from any and all liability arising from the property's physical 
condition.
    (c) Reimbursement for Costs of Conveyance.--(1) The Museum shall 
reimburse the Secretary for the excess costs incurred by the Secretary 
for any environmental assessment, study, or analysis, or for any other 
excess costs incurred by the Secretary, in connection with the 
conveyance authorized by this section, if the excess costs were 
incurred as a result of a request by the Museum. In this paragraph, the 
term ``excess costs'' means costs in excess of those costs considered 
reasonable and necessary by the Secretary to comply with existing law 
to make the conveyance authorized by subsection (a).
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (d) Description of Property.--The exact acreage and legal 
description of the property to be conveyed under subsection (a) shall 
be determined by a survey satisfactory to the Secretary. The cost of 
the survey shall be borne by the Museum.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a) as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2844. MODIFICATION OF AUTHORITY FOR CONVEYANCE OF NAVAL COMPUTER 
AND TELECOMMUNICATIONS STATION, CUTLER, MAINE.
    Section 2853(a) of the Military Construction Authorization Act for 
Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-430) is 
amended by inserting ``any or'' before ``all right''.
SEC. 2845. LAND TRANSFER AND CONVEYANCE, NAVAL SECURITY GROUP ACTIVITY, 
WINTER HARBOR, MAINE.
    (a) Transfer of Jurisdiction of Schoodic Point Property 
Authorized.--(1) The Secretary of the Navy may transfer to the 
Secretary of the Interior administrative jurisdiction of a parcel of 
real property, including any improvements thereon and appurtenances 
thereto, consisting of approximately 26 acres as generally depicted as 
Tract 15-116 on the map entitled ``Acadia National Park Schoodic Point 
Area'', numbered 123/80,418 and dated May 2001. The map shall be on 
file and available for inspection in the appropriate offices of the 
National Park Service.
    (2) The transfer authorized by this subsection shall occur, if at 
all, concurrently with the reversion of administrative jurisdiction of 
a parcel of real property consisting of approximately 71 acres, as 
depicted as Tract 15-115 on the map referred to in paragraph (1), from 
the Secretary of the Navy to the Secretary of the Interior as 
authorized by Public Law 80-260 (61 Stat. 519) and to be executed on or 
about June 30, 2002.
    (b) Conveyance of Corea and Winter Harbor Properties Authorized.--
The Secretary of the Navy may convey, without consideration, to the 
State of Maine, any political subdivision of the State of Maine, or any 
tax-supported agency in the State of Maine, all right, title, and 
interest of the United States in and to any of the parcels of real 
property, including any improvements thereon and appurtenances thereto, 
consisting of approximately 485 acres and comprising the former 
facilities of the Naval Security Group Activity, Winter Harbor, Maine, 
located in Hancock County, Maine, less the real property described in 
subsection (a)(1), for the purpose of economic redevelopment.
    (c) Transfer of Personal Property.--The Secretary of the Navy may 
transfer, without consideration, to the Secretary of the Interior in 
the case of the real property transferred under subsection (a), or to 
any recipient of such real property in the case of real property 
conveyed under subsection (b), any or all personal property associated 
with the real property so transferred or conveyed, including any 
personal property required to continue the maintenance of the 
infrastructure of such real property (including the generators for an 
uninterrupted power supply in building 154 at the Corea site).
    (d) Maintenance of Property Pending Conveyance.--(1) The Secretary 
of the Navy shall maintain any real property, including any 
improvements thereon, appurtenances thereto, and supporting 
infrastructure, to be conveyed under subsection (b) in accordance with 
the protection and maintenance standards specified in section 101-
47.4913 of title 41, Code of Federal Regulations, until the earlier 
of--
        (A) the date of the conveyance of such real property under 
    subsection (b); or
        (B) September 30, 2003.
    (2) The requirement in paragraph (1) shall not be construed as 
authority to improve the real property, improvements, and 
infrastructure referred to in that paragraph so as to bring such real 
property, improvements, or infrastructure into compliance with any 
zoning or property maintenance codes or to repair any damage to such 
improvements and infrastructure caused by natural accident or disaster.
    (e) Interim Lease.--(1) Until such time as any parcel of real 
property to be conveyed under subsection (b) is conveyed by deed under 
that subsection, the Secretary of the Navy may lease such parcel to any 
person or entity determined by the Secretary to be an appropriate 
lessee of such parcel.
    (2) The amount of rent for a lease under paragraph (1) shall be the 
amount determined by the Secretary to be appropriate, and may be an 
amount less than the fair market value of the lease.
    (f) Reimbursement for Environmental and Other Assessments.--(1) The 
Secretary of the Navy may require each recipient of real property 
conveyed under subsection (b) to reimburse the Secretary for the excess 
costs incurred by the Secretary for any environmental assessment, 
study, or analysis carried out by the Secretary in connection with the 
conveyance of such property, if the excess costs were incurred as a 
result of a request by the recipient. In this paragraph, the term 
``excess costs'' means costs in excess of those costs considered 
reasonable and necessary by the Secretary to comply with existing law 
to make the conveyance to the recipient.
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (g) Description of Property.--The exact acreage and legal 
description of the real property transferred under subsection (a), and 
each parcel of real property conveyed under subsection (b), shall be 
determined by a survey satisfactory to the Secretary of the Navy. The 
cost of any survey for real property conveyed under subsection (b) 
shall be borne by the recipient of the real property.
    (h) Additional Terms and Conditions.--The Secretary of the Navy may 
require such additional terms and conditions in connection with any 
conveyance under subsection (b), and any lease under subsection (e), as 
the Secretary considers appropriate to protect the interests of the 
United States.
SEC. 2846. LAND ACQUISITION, PERQUIMANS COUNTY, NORTH CAROLINA.
    The Secretary of the Navy may, using funds previously appropriated 
for such purpose, acquire any and all right, title, and interest in and 
to a parcel of real property, including improvements thereon, 
consisting of approximately 240 acres, or any portion thereof, in 
Perquimans County, North Carolina, for purposes of including such 
parcel in the Harvey Point Defense Testing Activity, Hertford, North 
Carolina.
SEC. 2847. LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL RESERVE PLANT, 
TOLEDO, OHIO.
    (a) Conveyance Authorized.--(1) The Secretary of the Navy may 
convey, without consideration, to the Toledo-Lucas County Port 
Authority, Ohio (in this section referred to as the ``Port 
Authority''), any or all right, title, and interest of the United 
States in and to a parcel of real property, including any improvements 
thereon, consisting of approximately 29 acres and comprising the Naval 
Weapons Industrial Reserve Plant, Toledo, Ohio.
    (2) The Secretary may include in the conveyance under paragraph (1) 
such facilities, equipment, fixtures, and other personal property 
located or based on the parcel conveyed under that paragraph, or used 
in connection with the parcel, as the Secretary determines to be excess 
to the Navy.
    (b) Lease Authority.--Until such time as the real property 
described in subsection (a)(1) is conveyed by deed, the Secretary may 
lease such real property, and any personal property described in 
subsection (a)(2), to the Port Authority in exchange for such security, 
fire protection, and maintenance services as the Secretary considers 
appropriate.
    (c) Conditions of Conveyance.--The conveyance under subsection (a), 
and any lease under subsection (b), shall be subject to the conditions 
that the Port Authority--
        (1) accept the real and personal property concerned in their 
    condition at the time of the conveyance or lease, as the case may 
    be; and
        (2) except as provided in subsection (d), use the real and 
    personal property concerned, whether directly or through an 
    agreement with a public or private entity, for economic development 
    or such other public purposes as the Port Authority considers 
    appropriate.
    (d) Subsequent Use.--(1) Subject to the approval of the Secretary, 
the Port Authority may sublease real property or personal property 
covered by a lease under subsection (b) to another person for economic 
development or such other public purposes as the Port Authority 
considers appropriate.
    (2) Following the conveyance of real property under subsection (a), 
the Port Authority may lease or reconvey the real property, and any 
personal property conveyed with such real property under that 
subsection, for economic development or such other public purposes as 
the Port Authority considers appropriate.
    (e) Reimbursement for Costs of Conveyance and Lease.--(1) The Port 
Authority shall reimburse the Secretary for the excess costs incurred 
by the Secretary for any environmental assessment, study, or analysis, 
or for any other excess costs incurred by the Secretary, in connection 
with the conveyance authorized by this section, if the excess costs 
were incurred as a result of a request by the Port Authority. In this 
paragraph, the term ``excess costs'' means costs in excess of those 
costs considered reasonable and necessary by the Secretary to comply 
with existing law to make the conveyance authorized by subsection (a).
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (f) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection 
(a)(1), and an appropriate inventory or other description of the 
personal property to be conveyed under subsection (a)(2), shall be 
determined by a survey and other means satisfactory to the Secretary. 
The cost of the survey shall be borne by the Port Authority.
    (g) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a)(1), and any lease under subsection (b), as the 
Secretary considers appropriate to protect the interests of the United 
States.
SEC. 2848. MODIFICATION OF LAND CONVEYANCE, FORMER UNITED STATES MARINE 
CORPS AIR STATION, EAGLE MOUNTAIN LAKE, TEXAS.
    Section 5 of Public Law 85-258 (71 Stat. 583) is amended by 
inserting before the period at the end the following: ``or for the 
protection, maintenance, and operation of other Texas National Guard 
facilities''.

                    PART III--AIR FORCE CONVEYANCES

SEC. 2851. CONVEYANCE OF AVIGATION EASEMENTS, FORMER NORTON AIR FORCE 
BASE, CALIFORNIA.
    (a) Conveyance Required.--The Administrator of General Services 
shall convey, without consideration, to the Inland Valley Development 
Agency (the redevelopment authority for former Norton Air Force Base, 
California) two avigation easements (identified as APN 289-231-08 and 
APN 289-232-08) held by the United States.
    (b) Condition of Conveyance.--The conveyance required by subsection 
(a) shall be subject to the condition that, if the recipient sells one 
or both of the easements conveyed under subsection (a), the recipient 
shall pay to the United States an amount equal to the lesser of--
        (1) the sale price of the easement; or
        (2) the fair market value of the easement.
    (c) Duration of Condition.--The condition specified in subsection 
(b) shall apply only to a conveyance that occurs during the 10-year 
period beginning on the date the Administrator makes the conveyance 
required by subsection (a).
SEC. 2852. REEXAMINATION OF LAND CONVEYANCE, LOWRY AIR FORCE BASE, 
COLORADO.
    The Secretary of the Air Force shall reevaluate the terms and 
conditions of the pending negotiated sale agreement with the Lowry 
Redevelopment Authority for certain real property at Lowry Air Force 
Base, Colorado, in light of changed circumstances regarding the 
property, including changes in the flood plain designations affecting 
some of the property, to determine whether the changed circumstances 
warrant a reduction in the amount of consideration otherwise required 
under the agreement or other modifications to the agreement.
SEC. 2853. WATER RIGHTS CONVEYANCE, ANDERSEN AIR FORCE BASE, GUAM.
    (a) Authority To Convey.--In conjunction with the conveyance of the 
water supply system for Andersen Air Force Base, Guam, under the 
authority of section 2688 of title 10, United States Code, and in 
accordance with all the requirements of that section, the Secretary of 
the Air Force may convey all right, title, and interest of the United 
States, or such lesser estate as the Secretary considers appropriate to 
serve the interests of the United States, in the water rights related 
to the following Air Force properties located on Guam:
        (1) Andy South, also known as the Andersen Administrative 
    Annex.
        (2) Marianas Bonins Base Command.
        (3) Andersen Water Supply Annex, also known as the Tumon Water 
    Well or the Tumon Maui Well.
    (b) Additional Requirements.--The Secretary may exercise the 
authority contained in subsection (a) only if the Secretary--
        (1) determines that adequate supplies of potable groundwater 
    exist under the main base and northwest field portions of Andersen 
    Air Force Base to meet the current and long-term requirements of 
    the installation for water;
        (2) determines that such supplies of groundwater are 
    economically obtainable; and
        (3) requires the conveyee of the water rights under subsection 
    (a) to provide a water system capable of meeting the water supply 
    needs of the main base and northwest field portions of Andersen Air 
    Force Base, as determined by the Secretary.
    (c) Interim Water Supplies.--If the Secretary determines that it is 
in the best interests of the United States to transfer title to the 
water rights and utility systems at Andy South and Andersen Water 
Supply Annex before placing into service a replacement water system and 
well field on Andersen Air Force Base, the Secretary may require that 
the United States have the primary right to all water produced from 
Andy South and Andersen Water Supply Annex until the replacement water 
system and well field is placed into service and operates to the 
satisfaction of the Secretary. In exercising the authority provided by 
this subsection, the Secretary may retain a reversionary interest in 
the water rights and utility systems at Andy South and Andersen Water 
Supply Annex until such time as the replacement water system and well 
field is placed into service and operates to the satisfaction of the 
Secretary.
    (d) Sale of Excess Water Authorized.--(1) As part of the conveyance 
of water rights under subsection (a), the Secretary may authorize the 
conveyee of the water system to sell to public or private entities such 
water from Andersen Air Force Base as the Secretary determines to be 
excess to the needs of the United States. In the event the Secretary 
authorizes the conveyee to resell water, the Secretary shall negotiate 
a reasonable return to the United States of the value of such excess 
water sold by the conveyee, which return the Secretary may receive in 
the form of reduced charges for utility services provided by the 
conveyee.
    (2) If the Secretary cannot meet the requirements of subsection 
(b), and the Secretary determines to proceed with a water utility 
system conveyance under section 2688 of title 10, United States Code, 
without the conveyance of water rights, the Secretary may provide in 
any such conveyance that the conveyee of the water system may sell to 
public or private entities such water from Andy South and Andersen 
Water Supply Annex as the Secretary determines to be excess to the 
needs of the United States. The Secretary shall negotiate a reasonable 
return to the United States of the value of such excess water sold by 
the conveyee, which return the Secretary may receive in the form of 
reduced charges for utility services provided by the conveyee.
    (e) Treatment of Water Rights.--For purposes of section 2688 of 
title 10, United States Code, the water rights referred to in 
subsection (a) shall be considered as part of a utility system (as that 
term is defined in subsection (h)(2) of such section).
SEC. 2854. CONVEYANCE OF SEGMENT OF LORING PETROLEUM PIPELINE, MAINE, 
AND RELATED EASEMENTS.
    (a) Conveyance Authorized.--The Secretary of the Air Force may 
convey, without consideration, to the Loring Development Authority, 
Maine (in this section referred to as the ``Authority''), all right, 
title, and interest of the United States in and to the segment of the 
Loring Petroleum (POL) Pipeline, Maine, consisting of approximately 27 
miles in length and running between the Searsport terminal and Bangor 
Air National Guard Base.
    (b) Related Easements.--As part of the conveyance authorized by 
subsection (a), the Secretary may convey to the Authority, without 
consideration, all right, title, and interest of the United States in 
and to any easements or rights-of-way necessary for the operation or 
maintenance of the segment of pipeline conveyed under that subsection.
    (c) Reimbursement for Costs of Conveyance.--(1) The Authority shall 
reimburse the Secretary for the excess costs incurred by the Secretary 
for any environmental assessment, study, or analysis, or for any other 
excess costs incurred by the Secretary, in connection with the 
conveyance authorized by this section, if the excess costs were 
incurred as a result of a request by the Authority. In this paragraph, 
the term ``excess costs'' means costs in excess of those costs 
considered reasonable and necessary by the Secretary to comply with 
existing law to make the conveyance authorized by subsection (a).
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (d) Description of Property.--The exact acreage and legal 
description of the segment of pipeline conveyed under subsection (a), 
and of any easements or rights-of-way conveyed under subsection (b), 
shall be determined by surveys and other means satisfactory to the 
Secretary. The cost of any survey or other services performed at the 
direction of the Secretary under the preceding sentence shall be borne 
by the Authority.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under this section as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2855. LAND CONVEYANCE, PETROLEUM TERMINAL SERVING FORMER LORING 
AIR FORCE BASE AND BANGOR AIR NATIONAL GUARD BASE, MAINE.
    (a) Conveyance Authorized.--(1) The Secretary of the Air Force may 
convey to the Maine Port Authority of the State of Maine (in this 
section referred to as the ``Authority'') all right, title, and 
interest of the United States in and to the Petroleum Terminal (POL) at 
Mack Point, Searsport, Maine, which served former Loring Air Force Base 
and Bangor Air National Guard Base, Maine.
    (2) The conveyance under paragraph (1) may include the following:
        (A) A parcel of real property, including any improvements 
    thereon, consisting of approximately 20 acres and comprising a 
    portion of the Petroleum Terminal.
        (B) Any additional fuel tanks, other improvements, and 
    equipment located on the 43-acre parcel of property adjacent to the 
    property described in subparagraph (A), and leased by the Secretary 
    as of the date of the enactment of this Act, which constitutes the 
    remaining portion of the Petroleum Terminal.
    (b) Condition of Conveyance.--The Secretary may not make the 
conveyance under subsection (a) unless the Authority agrees to utilize 
the property to be conveyed under that subsection solely for economic 
development purposes.
    (c) Consideration.--(1) As consideration for the conveyance under 
subsection (a), the Authority shall lease to the Secretary 
approximately one acre of the real property conveyed under that 
subsection, together with any improvements thereon, that constitutes 
the Aerospace Fuels Laboratory (also known as Building 14).
    (2) The real property leased under this subsection shall include 
the parking lot, outbuildings, and other improvements associated with 
the Aerospace Fuels Laboratory and such easements of ingress and egress 
to the real property, including easements for utilities, as are 
required for the operations of the Aerospace Fuels Laboratory.
    (3) As part of the lease of real property under this subsection, 
the Authority shall maintain around the real property for the term of 
the lease a zone, not less than 75 feet in depth, free of improvements 
or encumbrances.
    (4) The lease under this subsection shall be without cost to the 
United States.
    (5) The term of the lease under this subsection may not exceed 25 
years. If operations at the Aerospace Fuels Laboratory cease before the 
expiration of the term of the lease otherwise provided for under this 
subsection, the lease shall be deemed to have expired upon the 
cessation of such operations.
    (d) Conveyance Contingent on Expiration of Lease of Fuel Tanks.--
The Secretary may not make the conveyance under subsection (a) until 
the expiration of the lease referred to in paragraph (2)(B) of that 
subsection.
    (e) Reimbursement for Costs of Conveyance.--(1) The Authority shall 
reimburse the Secretary for the excess costs incurred by the Secretary 
for any environmental assessment, study, or analysis, or for any other 
excess costs incurred by the Secretary, in connection with the 
conveyance authorized by this section, if the excess costs were 
incurred as a result of a request by the Authority. In this paragraph, 
the term ``excess costs'' means costs in excess of those costs 
considered reasonable and necessary by the Secretary to comply with 
existing law to make the conveyance authorized by subsection (a).
    (2) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (f) Description of Property.--The exact acreage and legal 
description of the real property conveyed under subsection (a) shall be 
determined by a survey satisfactory to the Secretary. The cost of the 
survey shall be borne by the Authority.
    (g) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a), and the lease under subsection (c), as the 
Secretary considers appropriate to protect the interests of the United 
States.
SEC. 2856. LAND CONVEYANCES, CERTAIN FORMER MINUTEMAN III ICBM 
FACILITIES IN NORTH DAKOTA.
    (a) Conveyances Authorized.--(1) The Secretary of the Air Force may 
convey, without consideration, to the State Historical Society of North 
Dakota (in this section referred to as the ``Historical Society'') all 
right, title, and interest of the United States in and to parcels of 
real property, together with any improvements thereon, of the Minuteman 
III ICBM facilities of the former 321st Missile Group at Grand Forks 
Air Force Base, North Dakota, as follows:
        (A) The parcel consisting of the launch facility designated 
    ``November-33''.
        (B) The parcel consisting of the missile alert facility and 
    launch control center designated ``Oscar-O''.
    (2) The purpose of the conveyance of the facilities is to provide 
for the establishment of an historical site allowing for the 
preservation, protection, and interpretation of the facilities.
    (b) Consultation.--The Secretary shall consult with the Secretary 
of State and the Secretary of Defense in order to ensure that the 
conveyances required by subsection (a) are carried out in accordance 
with applicable treaties.
    (c) Historical Site.--The Secretary may, in cooperation with the 
Historical Society, enter into one or more cooperative agreements with 
appropriate public or private entities or individuals in order to 
provide for the establishment and maintenance of the historic site 
referred to in subsection (a)(2).
    (d) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
shall be determined by survey satisfactory to the Secretary. The cost 
of the survey shall be borne by the Secretary.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under subsection (a) as the Secretary considers appropriate to protect 
the interests of the United States.
SEC. 2857. LAND CONVEYANCES, CHARLESTON AIR FORCE BASE, SOUTH CAROLINA.
    (a) Conveyance to State of South Carolina Authorized.--The 
Secretary of the Air Force may convey, without consideration, to the 
State of South Carolina (in this section referred to as the ``State''), 
all right, title, and interest of the United States in and to a portion 
(as determined under subsection (c)) of the real property, including 
any improvements thereon, consisting of approximately 24 acres at 
Charleston Air Force Base, South Carolina, and comprising the Air Force 
Family Housing Annex. The purpose of the conveyance is to facilitate 
the Remount Road Project.
    (b) Conveyance to City of North Charleston Authorized.--The 
Secretary may convey, without consideration, to the City of North 
Charleston, South Carolina (in this section referred to as the 
``City''), all right, title, and interest of the United States in and 
to a portion (as determined under subsection (c)) of the real property, 
including any improvements thereon, referred to in subsection (a). The 
purpose of the conveyance is to permit the use of the property by the 
City for municipal purposes.
    (c) Determination of Portions of Property To Be Conveyed.--(1) 
Subject to paragraph (2), the Secretary, the State, and the City shall 
jointly determine the portion of the property referred to in subsection 
(a) that is to be conveyed to the State under subsection (a) and the 
portion of the property that is to be conveyed to the City under 
subsection (b).
    (2) In determining under paragraph (1) the portions of property to 
be conveyed under this section, the portion to be conveyed to the State 
shall be the minimum portion of the property required by the State for 
the purpose specified in subsection (a), and the portion to be conveyed 
to the City shall be the balance of the property.
    (d) Limitation on Conveyances.--The Secretary may not carry out the 
conveyance of property authorized by subsection (a) or (b) until the 
completion of an assessment of environmental contamination of the 
property authorized to be conveyed by such subsection for purposes of 
determining responsibility for environmental remediation of such 
property.
    (e) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsections (a) 
and (b) shall be determined by surveys satisfactory to the Secretary. 
The cost of the survey for the property to be conveyed under subsection 
(a) shall be borne by the State, and the cost of the survey for the 
property to be conveyed under subsection (b) shall be borne by the 
City.
    (f) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under subsections (a) and (b) as the Secretary considers appropriate to 
protect the interests of the United States.
SEC. 2858. TRANSFER OF JURISDICTION, MUKILTEO TANK FARM, EVERETT, 
WASHINGTON.
    (a) Transfer Authorized.--The Secretary of the Air Force shall 
transfer, without reimbursement, to the Secretary of Commerce 
administrative jurisdiction over a parcel of real property, including 
improvements thereon, consisting of approximately 1.1 acres located at 
the Mukilteo Tank Farm in Everett, Washington, and containing the 
Mukilteo Research Center facility of the National Marine Fisheries 
Service.
    (b) Time for Conveyance.--The Secretary of the Air Force shall make 
the transfer under subsection (a) at the same time that the Secretary 
makes the conveyance authorized by section 2866 of the Military 
Construction Authorization Act for Fiscal Year 2001 (division B of the 
Spence Act; 114 Stat. 1654A-436).
    (c) Exchange.--With the consent of the Port Authority for Everett, 
Washington, the Secretary of Commerce may exchange with the Port 
Authority all or any portion of the property transferred under 
subsection (a) for a parcel of real property of equal area at the 
Mukilteo Tank Farm that is owned by the Port Authority.
    (d) Administration.--The Secretary of Commerce shall administer the 
property transferred under subsection (a) or received under subsection 
(c) through the Administrator of the National Oceanic and Atmospheric 
Administration as part of the Administration. The Administrator shall 
use the property as the location of a research facility, and may 
construct a new facility on the property for such research purposes as 
the Administrator considers appropriate.
    (e) Effect of Failure To Utilize Transferred Property.--(1) If, 
after the 12-year period beginning on the date of the enactment of this 
Act, the Administrator is not using any portion of the property 
transferred under subsection (a) or received under subsection (c) for 
the purpose specified in subsection (d), the Administrator shall 
convey, without consideration, to the Port Authority for Everett, 
Washington, all right, title, and interest in and to such portion of 
the real property, including improvements thereon.
    (2) The Port Authority shall use any real property conveyed to the 
Port Authority under this subsection for development and operation of a 
port facility and for other public purposes.
    (f) Legal Description.--The exact acreage and legal description of 
the real property to be transferred under subsection (a) shall be 
determined by a survey satisfactory to the Secretary of the Air Force. 
The cost of the survey shall be borne by the Secretary of Commerce.
    (g) Additional Terms and Conditions.--The Secretary of the Air 
Force may require such additional terms and conditions in connection 
with the transfer under subsection (a) as the Secretary of the Air 
Force considers appropriate to protect the interests of the United 
States.
    (h) Conforming Amendment.--Section 2866(a) of the Military 
Construction Authorization Act for Fiscal Year 2001 (division B of the 
Spence Act; 114 Stat. 1654A-436) is amended by striking ``22 acres'' 
and inserting ``20.9 acres''.

                       Subtitle E--Other Matters

SEC. 2861. MANAGEMENT OF THE PRESIDIO OF SAN FRANCISCO.
    (a) Authority To Lease Certain Housing Units for Use as Army 
Housing.--Title I of division I of the Omnibus Parks and Public Lands 
Management Act of 1996 (Public Law 104-333; 16 U.S.C. 460bb note) is 
amended by adding at the end the following new section:
``SEC. 107. CONDITIONAL AUTHORITY TO LEASE CERTAIN HOUSING UNITS WITHIN 
THE PRESIDIO.
    ``(a) Availability of Housing Units for Long-Term Army Lease.--
Subject to subsection (c), the Trust shall make available for lease, to 
those persons designated by the Secretary of the Army and for such 
length of time as requested by the Secretary of the Army, 22 housing 
units located within the Presidio that are under the administrative 
jurisdiction of the Trust and specified in the agreement between the 
Trust and the Secretary of the Army in existence as of the date of the 
enactment of this section.
    ``(b) Lease Amount.--The monthly amount charged by the Trust for 
the lease of a housing unit under this section shall be equivalent to 
the monthly rate of the basic allowance for housing that the occupant 
of the housing unit is entitled to receive under section 403 of title 
37, United States Code.
    ``(c) Condition on Continued Availability of Housing Units.--
Effective after the end of the four-year period beginning on the date 
of the enactment of this section, the Trust shall have no obligation to 
make housing units available under subsection (a) unless, during that 
four-year period, the Secretary of the Treasury purchases new 
obligations of at least $80,000,000 issued by the Trust under section 
104(d)(2). In the event that this condition is not satisfied, the 
existing agreement referred to in subsection (a) shall be renewed on 
the same terms and conditions for an additional five years.''.
    (b) Increased Borrowing Authority and Technical Corrections.--
Paragraphs (2) and (3) of section 104(d) of title I of division I of 
the Omnibus Parks and Public Lands Management Act of 1996, as amended 
by section 334 of appendix C of Public Law 106-113 (113 Stat. 1501A-
198) and amended and redesignated by section 101(13) of Public Law 106-
176 (114 Stat. 25), are amended--
        (1) in paragraph (2), by striking ``including a review of the 
    creditworthiness of the loan and establishment of a repayment 
    schedule,'' the second place it appears; and
        (2) in paragraph (3)--
            (A) by striking ``$50,000,000'' and inserting 
        ``$150,000,000''; and
            (B) by striking ``paragraph (3) of''.
SEC. 2862. TRANSFER OF JURISDICTION FOR DEVELOPMENT OF AIR FORCE 
MORALE, WELFARE, AND RECREATION FACILITY, PARK CITY, UTAH.
    (a) Transfer Authorized.--(1) The Secretary of the Interior may 
transfer, without reimbursement, to the administrative jurisdiction of 
the Secretary of the Air Force a parcel of real property in Park City, 
Utah, including any improvements thereon, that consists of 
approximately 35 acres, is located on the north side of State highway 
248 in township 2 south, range 4 east, Salt Lake meridian, and is 
designated as parcel 3 by the Bureau of Land Management. The real 
property to be transferred under this paragraph does not include any 
lands located on the south side of State highway 248.
    (2) The transfer shall be subject to existing rights, except that 
the Secretary of the Interior shall terminate any lease with respect to 
the parcel issued under the Act of June 14, 1926 (commonly known as the 
Recreation and Public Purposes Act; 43 U.S.C. 689 et seq.), and still 
in effect as of the date of the enactment of this Act.
    (b) Use of Transferred Land.--(1) The Secretary of the Air Force 
may use the real property transferred under subsection (a) as the 
location for an Air Force morale, welfare, and recreation facility to 
be developed using nonappropriated funds.
    (2) The Secretary of the Air Force may return the transferred 
property (or property acquired in exchange for the transferred property 
under subsection (c)) to the administrative jurisdiction of the 
Secretary of the Interior at any time upon certifying that development 
of the morale, welfare, and recreation facility would not be in the 
best interests of the Government.
    (c) Subsequent Conveyance Authority.--(1) In lieu of developing the 
Air Force morale, welfare, and recreation facility on the real property 
transferred under subsection (a), the Secretary of the Air Force may 
convey or lease the property to the State of Utah, a local government, 
or a private entity in exchange for other property to be used as the 
site of the facility.
    (2) The values of the properties exchanged by the Secretary under 
this subsection either shall be equal, or if they are not equal, the 
values shall be equalized by the payment of money to the grantor or to 
the Secretary as the circumstances require. The conveyance or lease 
shall be on such other terms as the Secretary of the Air Force 
considers to be advantageous to the development of the facility.
    (d) Alternative Development Authority.--The Secretary of the Air 
Force may lease the real property transferred under subsection (a), or 
any property acquired pursuant to subsection (c), to another party and 
may enter into a contract with the party for the design, construction, 
and operation of the Air Force morale, welfare, and recreation 
facility. The Secretary of the Air Force may authorize the contractor 
to operate the facility as both a military and a commercial operation 
if the Secretary determines that such an authorization is a necessary 
incentive for the contractor to agree to design, construct, and operate 
the facility.
    (e) Legal Description.--The exact acreage and legal description of 
the real property to be transferred under subsection (a) shall be 
determined by a survey. The cost of the survey shall be borne by the 
Secretary of the Air Force.
SEC. 2863. ALTERNATE SITE FOR UNITED STATES AIR FORCE MEMORIAL, 
PRESERVATION OF OPEN SPACE ON ARLINGTON RIDGE TRACT, AND RELATED LAND 
TRANSFER AT ARLINGTON NATIONAL CEMETERY, VIRGINIA.
    (a) Definitions.--In this section:
        (1) The term ``Arlington Naval Annex'' means the parcel of 
    Federal land located in Arlington County, Virginia, that is subject 
    to transfer to the administrative jurisdiction of the Secretary of 
    the Army under section 2881 of the Military Construction 
    Authorization Act for Fiscal Year 2000 (division B of Public Law 
    106-65; 113 Stat. 879).
        (2) The term ``Foundation'' means the Air Force Memorial 
    Foundation, which was authorized in Public Law 103-163 (107 Stat. 
    1973; 40 U.S.C. 1003 note) to establish a memorial in the District 
    of Columbia or its environs to honor the men and women who have 
    served in the United States Air Force and its predecessors.
        (3) The term ``Air Force Memorial'' means the United States Air 
    Force Memorial to be established by the Foundation.
        (4) The term ``Arlington Ridge tract'' means the parcel of 
    Federal land in Arlington County, Virginia, known as the Nevius 
    Tract and transferred to the Department of the Interior in 1953, 
    that is bounded generally by--
            (A) Arlington Boulevard (United States Route 50) to the 
        north;
            (B) Jefferson Davis Highway (Virginia Route 110) to the 
        east;
            (C) Marshall Drive to the south; and
            (D) North Meade Street to the west.
        (5) The term ``Section 29'' means a parcel of Federal land in 
    Arlington County, Virginia, that is currently administered by the 
    Secretary of the Interior within the boundaries of Arlington 
    National Cemetery and is identified as ``Section 29''.
    (b) Use of Arlington Naval Annex as Site for Air Force Memorial.--
        (1) Availability of site.--The Secretary of Defense shall make 
    available to the Foundation, without reimbursement, up to three 
    acres of the Arlington Naval Annex, which the Foundation shall use 
    as the location for the Air Force Memorial in lieu of any 
    previously approved location for the Air Force Memorial. The land 
    made available shall include the promontory adjacent to, and the 
    land underlying, Wing 8 of Federal Office Building #2 in the 
    northeast quadrant of the Arlington Naval Annex.
        (2) Exception.--The requirement to use the land made available 
    under paragraph (1) as the location for the Air Force Memorial, and 
    the prohibition on the use of any previously approved location, 
    shall not apply if the Secretary of Defense determines that it is 
    physically impracticable to construct the Air Force Memorial on 
    such land on account of the geological nature of the land.
        (3) Relation to other transfer authority.--Not later than six 
    months after the date of the enactment of this Act, the Secretary 
    of Defense shall transfer to the Secretary of the Army 
    administrative jurisdiction over the Arlington Naval Annex site 
    made available under this subsection for construction of the Air 
    Force Memorial. Nothing in this subsection alters the deadline for 
    transfer of the remainder of the Arlington Naval Annex to the 
    Secretary of the Army and remediation of the transferred land for 
    use as part of Arlington National Cemetery, as required by section 
    2881 of the Military Construction Authorization Act for Fiscal Year 
    2000.
    (c) Site Preparation.--
        (1) Preparation for construction.--Upon receipt of notification 
    from the Foundation that the Foundation has sufficient funds to 
    commence construction of the Air Force Memorial, the Secretary of 
    Defense, in coordination with the Foundation, shall remove Wing 8 
    of Federal Office Building #2 at the Arlington Naval Annex, as well 
    as its associated outbuilding and parking lot, and prepare the land 
    made available under subsection (b) for construction of the Air 
    Force Memorial. In addition to demolition and removal, such site 
    preparation work may include environmental remediation, 
    installation of water, sewer, telephone, electrical, and storm 
    water management infrastructure necessary for the memorial, 
    installation of sidewalks consistent with the design of the 
    memorial compliant with the requirements of the Americans With 
    Disabilities Act of 1990 (42 U.S.C. 12101 et seq.), and the 
    placement of screening berms and mature evergreen trees between 
    Federal Office Building #2 and the memorial.
        (2) Completion.--Not later than two years after the date on 
    which the Foundation provides the notification referred to in 
    paragraph (1), the Secretary of Defense shall complete the 
    demolition and removal of the structures and such site preparation 
    work as the Secretary agrees to undertake under this subsection.
        (3) Funding source.--The Secretary of Defense shall use amounts 
    appropriated for operation and maintenance to carry out the 
    demolition and removal work and site preparation described in 
    paragraph (1).
        (4) Assistance for displaced agency.--The Secretary of the Army 
    shall serve as the Executive Agent for the Ballistic Missile 
    Defense Organization in securing suitable sites, including, if 
    necessary, sites not currently owned by the United States, to 
    replace offices lost as a result of the demolition of Wing 8 of 
    Federal Office Building #2 at the Arlington Naval Annex.
    (d) Construction of Air Force Memorial.--
        (1) Commencement.--Upon the demolition and removal of the 
    structures required to be removed under subsection (c)(1), the 
    Secretary of Defense shall permit the Foundation to commence 
    construction of the Air Force Memorial on the Arlington Naval Annex 
    site made available under subsection (b).
        (2) Oversight.--The Secretary of Defense shall have exclusive 
    authority in all matters relating to approval of the siting and 
    design of the Air Force Memorial on the Arlington Naval Annex site, 
    and the siting, design, and construction of the memorial on such 
    site shall not be subject to the requirements of the Commemorative 
    Works Act (40 U.S.C. 1001 et seq.).
        (3) Effect of failure to commence construction.--If, within 
    five years after the date of the enactment of this Act, the 
    Foundation has not commenced construction of the Air Force Memorial 
    on the Arlington Naval Annex site made available under subsection 
    (b), the Secretary of Defense may revoke the authority of the 
    Foundation to use the site as the location of the memorial.
    (e) Access and Management of Air Force Memorial.--The Secretary of 
the Army may enter into a cooperative agreement with the Foundation to 
provide for management, maintenance, and repair of the Air Force 
Memorial constructed on the Arlington Naval Annex site made available 
under subsection (b) and to guarantee public access to the memorial.
    (f) Limitation on Use of Arlington Naval Annex as Site for Other 
Memorials or Museums.--Section 2881(b) of the Military Construction 
Authorization Act for Fiscal Year 2000 (division B of Public Law 106-
65; 113 Stat. 879) is amended by striking paragraph (2) and inserting 
the following new paragraph (2):
    ``(2) The Secretary of Defense shall reserve not more than four 
acres of the Navy Annex property south of the existing Columbia Pike as 
a site for--
        ``(A) a National Military Museum, if such site is recommended 
    for such purpose by the Commission on the National Military Museum 
    established under section 2901 and the Secretary of Defense 
    considers such site compatible with Arlington National Cemetery and 
    the Air Force Memorial; or
        ``(B) such other memorials or museums that the Secretary of 
    Defense considers compatible with Arlington National Cemetery and 
    the Air Force Memorial.''.
    (g) Preservation of Arlington Ridge Tract.--
        (1) General rule.--After the date of the enactment of this Act, 
    no additional structure or memorials shall be constructed on the 
    Arlington Ridge tract.
        (2) Option for future burials.--Paragraph (1) does not prohibit 
    the eventual use of a portion of the Arlington Ridge tract as a 
    location for in-ground burial sites and columbarium for the burial 
    of individuals eligible for burial in Arlington National Cemetery, 
    if the development of such sites is specifically authorized in a 
    law enacted after the date of the enactment of this Act.
    (h) Land Transfer, Section 29.--
        (1) Transfer required.--Not later than 30 days after the date 
    of the enactment of this Act, the Secretary of the Interior shall 
    transfer, without reimbursement, to the Secretary of the Army 
    administrative jurisdiction over that portion of Section 29 
    designated as the interment zone and consisting of approximately 12 
    acres. The Secretary of the Interior shall modify the boundaries of 
    the George Washington Memorial Parkway as may be necessary to 
    reflect the land transfer required by this subsection.
        (2) Use of transferred land.--The Secretary of the Army shall 
    use the transferred property for the development of in-ground 
    burial sites and columbarium that are designed to meet the contours 
    of Section 29.
        (3) Management of remainder.--The Secretary of the Interior 
    shall manage that portion of Section 29 not transferred under this 
    subsection in perpetuity to provide a natural setting and visual 
    buffer for Arlington House, the Robert E. Lee Memorial.
        (4) Repeal of obsolete law.--Section 2821(a) of the Military 
    Construction Authorization Act for Fiscal Year 1997 (division B of 
    Public Law 104-201; 110 Stat. 2791) is repealed.
SEC. 2864. ESTABLISHMENT OF MEMORIAL TO VICTIMS OF TERRORIST ATTACK ON 
PENTAGON RESERVATION AND AUTHORITY TO ACCEPT MONETARY CONTRIBUTIONS FOR 
MEMORIAL AND REPAIR OF PENTAGON.
    (a) Memorial Authorized.--The Secretary of Defense may establish a 
memorial at the Pentagon Reservation dedicated to the victims of the 
terrorist attack on the Pentagon that occurred on September 11, 2001. 
The Secretary shall use necessary amounts in the Pentagon Reservation 
Maintenance Revolving Fund established by section 2674(e) of title 10, 
United States Code, including amounts deposited in the Fund under 
subsection (c), to plan, design, construct, and maintain the memorial.
    (b) Acceptance of Contributions.--The Secretary of Defense may 
accept monetary contributions made for the purpose of assisting in--
        (1) the establishment of the memorial to the victims of the 
    terrorist attack; and
        (2) the repair of the damage caused to the Pentagon Reservation 
    by the terrorist attack.
    (c) Deposit of Contributions.--The Secretary of Defense shall 
deposit contributions accepted under subsection (b) in the Pentagon 
Reservation Maintenance Revolving Fund. The contributions shall be 
available for expenditure only for the purposes specified in subsection 
(b).
SEC. 2865. REPEAL OF LIMITATION ON COST OF RENOVATION OF PENTAGON 
RESERVATION.
    Section 2864 of the Military Construction Authorization Act for 
Fiscal Year 1997 (division B of Public Law 104-201; 110 Stat. 2806) is 
repealed.
SEC. 2866. DEVELOPMENT OF UNITED STATES ARMY HERITAGE AND EDUCATION 
CENTER AT CARLISLE BARRACKS, PENNSYLVANIA.
    (a) Authority To Enter into Agreement.--(1) The Secretary of the 
Army may enter into an agreement with the Military Heritage Foundation, 
a nonprofit organization, for the design, construction, and operation 
of a facility for the United States Army Heritage and Education Center 
at Carlisle Barracks, Pennsylvania (in this section referred to as the 
``facility'').
    (2) The facility is to be used for curation and storage of 
artifacts, research facilities, classrooms, and offices, and for 
education and other activities, agreed to by the Secretary, relating to 
the heritage of the Army. The facility may also be used to support such 
education and training as the Secretary considers appropriate.
    (b) Design and Construction.--The design of the facility shall be 
subject to the approval of the Secretary. At the election of the 
Secretary, the Secretary may--
        (1) accept funds from the Military Heritage Foundation for the 
    design and construction of the facility; or
        (2) permit the Military Heritage Foundation to contract for the 
    design and construction of the facility.
    (c) Acceptance of Facility.--(1) Upon satisfactory completion, as 
determined by the Secretary, of the facility, and upon the satisfaction 
of any and all financial obligations incident thereto by the Military 
Heritage Foundation, the Secretary shall accept the facility from the 
Military Heritage Foundation, and all right, title, and interest in and 
to the facility shall vest in the United States.
    (2) Upon becoming property of the United States, the facility shall 
be under the jurisdiction of the Secretary.
    (d) Use of Certain Gifts.--(1) Under regulations prescribed by the 
Secretary, the Commandant of the Army War College may, without regard 
to section 2601 of title 10, United States Code, accept, hold, 
administer, invest, and spend any gift, devise, or bequest of personnel 
property of a value of $250,000 or less made to the United States if 
such gift, devise, or bequest is for the benefit of the United States 
Army Heritage and Education Center.
    (2) The Secretary may pay or authorize the payment of any 
reasonable and necessary expense in connection with the conveyance or 
transfer of a gift, devise, or bequest under this subsection.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the agreement 
authorized to be entered into by subsection (a) as the Secretary 
considers appropriate to protect the interests of the United States.
SEC. 2867. EFFECT OF LIMITATION ON CONSTRUCTION OF ROADS OR HIGHWAYS, 
MARINE CORPS BASE, CAMP PENDLETON, CALIFORNIA.
    Section 2851(a) of the Military Construction Authorization Act for 
Fiscal Year 1999 (division B of Public Law 105-261; 112 Stat. 2219) is 
amended in the first sentence by inserting after ``maintain'' the 
following: ``, notwithstanding any provision of State law to the 
contrary,''.
SEC. 2868. ESTABLISHMENT OF WORLD WAR II MEMORIAL AT ADDITIONAL 
LOCATION ON GUAM.
    Section 2886 of the Military Construction Authorization Act for 
Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-441) is 
amended--
        (1) in subsection (a), by inserting ``, and on Federal lands 
    near Yigo,'' after ``Fena Caves'';
        (2) in the heading of subsection (b), by striking ``Memorial'' 
    and inserting ``Memorials''; and
        (3) in subsections (b) and (c), by striking ``memorial'' each 
    place it appears and inserting ``memorials''.
SEC. 2869. DEMONSTRATION PROJECT FOR PURCHASE OF FIRE, SECURITY, 
POLICE, PUBLIC WORKS, AND UTILITY SERVICES FROM LOCAL GOVERNMENT 
AGENCIES.
    (a) Extension.--Subsection (c) of section 816 of the National 
Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 
Stat. 2820), as added by section 2873 of the Strom Thurmond National 
Defense Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 
Stat. 2225), is amended by striking ``September 30, 2001.'' and 
inserting ``January 31, 2002, with regard to fire-fighting and police 
services, and September 30, 2003, with regard to other services 
described in subsection (a).''.
    (b) Conforming Amendment.--Section 1206 of the Supplemental 
Appropriations Act, 2001 (Public Law 107-20; 115 Stat. 161), is 
repealed.
SEC. 2870. REPORT ON FUTURE LAND NEEDS OF UNITED STATES MILITARY 
ACADEMY, NEW YORK, AND ADJACENT COMMUNITY.
    (a) Report Required.--Not later than February 1, 2002, the 
Secretary of the Army shall submit to Congress a report evaluating the 
future needs of the United States Military Academy for lands suitable 
for use for military training and the feasibility of making unneeded 
lands available to the Village of Highland Falls, New York, through fee 
simple conveyance, long-term lease under section 2667 of title 10, 
United States Code, or other means.
    (b) Consultation.--The Secretary shall prepare the report in 
consultation with appropriate officials of the Village of Highland 
Falls.
SEC. 2871. NAMING OF PATRICIA C. LAMAR ARMY NATIONAL GUARD READINESS 
CENTER, OXFORD, MISSISSIPPI.
    The Oxford Army National Guard Readiness Center, Oxford, 
Mississippi, shall be known and designated as the ``Patricia C. Lamar 
Army National Guard Readiness Center''. Any reference to that readiness 
center in any law, regulation, map, document, record, or other paper of 
the United States shall be considered to be a reference to the Patricia 
C. Lamar Army National Guard Readiness Center.

            TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

Sec. 2901. Short title.
Sec. 2902. Withdrawal and reservation of lands for National Training 
          Center.
Sec. 2903. Map and legal description.
Sec. 2904. Management of withdrawn and reserved lands.
Sec. 2905. Water rights.
Sec. 2906. Environmental compliance and environmental response 
          requirements.
Sec. 2907. West Mojave Coordinated Management Plan.
Sec. 2908. Release of wilderness study areas.
Sec. 2909. Training activity separation from utility corridors.
Sec. 2910. Duration of withdrawal and reservation.
Sec. 2911. Extension of initial withdrawal and reservation.
Sec. 2912. Termination and relinquishment.
Sec. 2913. Delegation of authority.

SEC. 2901. SHORT TITLE.

    This title may be cited as the ``Fort Irwin Military Land 
Withdrawal Act of 2001''.
SEC. 2902. WITHDRAWAL AND RESERVATION OF LANDS FOR NATIONAL TRAINING 
CENTER.
    (a) Withdrawal.--Subject to valid existing rights and except as 
otherwise provided in this title, all public lands and interests in 
lands described in subsection (c) are hereby withdrawn from all forms 
of appropriation under the general land laws, including the mining laws 
and mineral and geothermal leasing laws, and jurisdiction over such 
lands and interests in lands withdrawn and reserved by this title is 
hereby transferred to the Secretary of the Army.
    (b) Reservation.--The lands withdrawn under subsection (a) are 
reserved for use by the Secretary of the Army for the following 
purposes:
        (1) The conduct of combined arms military training at the 
    National Training Center.
        (2) The development and testing of military equipment at the 
    National Training Center.
        (3) Other defense-related purposes consistent with the purposes 
    specified in paragraphs (1) and (2).
        (4) Conservation and related research purposes.
    (c) Land Description.--The public lands and interests in lands 
withdrawn and reserved by this section comprise approximately 110,000 
acres in San Bernardino County, California, as generally depicted as 
``Proposed Withdrawal Land'' on the map entitled ``National Training 
Center--Proposed Withdrawal of Public Lands for Training Purposes'', 
dated September 21, 2000, and filed in accordance with section 2903.
    (d) Changes in Use.--The Secretary of the Army shall consult with 
the Secretary of the Interior before using the lands withdrawn and 
reserved by this section for any purpose other than those purposes 
identified in subsection (b).
    (e) Indian Tribes.--Nothing in this title shall be construed as 
altering any rights reserved for tribal use by treaty or Federal law. 
The Secretary of the Army shall consult with federally recognized 
Indian tribes in the vicinity of the lands withdrawn under subsection 
(a) before taking action affecting rights or cultural resources 
protected by treaty or Federal law.

SEC. 2903. MAP AND LEGAL DESCRIPTION.

    (a) Preparation of Map and Legal Description.--As soon as 
practicable after the date of the enactment of this Act, the Secretary 
of the Interior shall--
        (1) publish in the Federal Register a notice containing the 
    legal description of the lands withdrawn and reserved by this 
    title; and
        (2) file a map and legal description of the lands withdrawn and 
    reserved by this title with the Committee on Energy and Natural 
    Resources of the Senate and the Committee on Resources of the House 
    of Representatives.
    (b) Legal Effect.--The map and legal description shall have the 
same force and effect as if included in this title, except that the 
Secretary of the Interior may correct clerical and typographical errors 
in the map and legal description.
    (c) Availability.--Copies of the map and the legal description 
shall be available for public inspection in the following offices:
        (1) The offices of the California State Director, California 
    Desert District Office, and Riverside and Barstow Field Offices of 
    the Bureau of Land Management.
        (2) The Office of the Commander, National Training Center and 
    Fort Irwin.
    (d) Costs.--The Secretary of the Army shall reimburse the Secretary 
of the Interior for the costs incurred by the Secretary of the Interior 
in implementing this section.
SEC. 2904. MANAGEMENT OF WITHDRAWN AND RESERVED LANDS.
    (a) General Management Authority.--During the period of the 
withdrawal and reservation made by this title, the Secretary of the 
Army shall manage the lands withdrawn and reserved by this title for 
the purposes specified in section 2902.
    (b) Temporary Prohibition on Certain Use.--Military use of the 
lands withdrawn and reserved by this title that result in ground 
disturbance, as determined by the Secretary of the Army and the 
Secretary of the Interior, are prohibited until the Secretary of the 
Army and the Secretary of the Interior certify to Congress that there 
has been full compliance with respect to such lands with the 
appropriate provisions of this title, the Endangered Species Act of 
1973 (16 U.S.C. 1531 et seq.), the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.), and other applicable laws.
    (c) Access Restrictions.--
        (1) In general.--If the Secretary of the Army determines that 
    military operations, public safety, or national security require 
    the closure to the public of any road, trail, or other portion of 
    the lands withdrawn and reserved by this title, the Secretary may 
    take such action as the Secretary determines necessary or desirable 
    to effect and maintain such closure.
        (2) Limitation.--Any closure under paragraph (1) shall be 
    limited to the minimum areas and periods that the Secretary of the 
    Army determines are required for the purposes specified in such 
    paragraph.
        (3) Notice.--Immediately preceding and during any closure under 
    paragraph (1), the Secretary of the Army shall post appropriate 
    warning notices and take other steps, as necessary, to notify the 
    public of the closure.
    (d) Integrated Natural Resources Management Plan.--The Secretary of 
the Army shall prepare and implement, in accordance with title I of the 
Sikes Act (16 U.S.C. 670 et seq.), an integrated natural resources 
management plan for the lands withdrawn and reserved by this title. In 
addition to the elements required under the Sikes Act, the integrated 
natural resources management plan shall include the following:
        (1) A requirement that any hunting, fishing, and trapping on 
    the lands withdrawn and reserved by this title be conducted in 
    accordance with section 2671 of title 10, United States Code.
        (2) A requirement that the Secretary of the Army take necessary 
    actions to prevent, suppress, and manage brush and range fires 
    occurring within the boundaries of Fort Irwin and brush and range 
    fires occurring outside the boundaries of Fort Irwin that result 
    from military activities at Fort Irwin.
    (e) Firefighting.--Notwithstanding section 2465 of title 10, United 
States Code, the Secretary of the Army may obligate funds appropriated 
or otherwise available to the Secretary of the Army to enter into a 
memorandum of understanding, cooperative agreement, or contract for 
fire-fighting services to carry out the requirements of subsection 
(d)(2). The Secretary of the Army shall reimburse the Secretary of the 
Interior for costs incurred by the Secretary of the Interior to assist 
in carrying out the requirements of such subsection.
    (f) Consultation With National Aeronautics and Space 
Administration.--In preparing and implementing any plan, report, 
assessment, survey, opinion, or impact statement regarding the lands 
withdrawn and reserved by this title, the Secretary of the Army shall 
consult with the Administrator of the National Aeronautics and Space 
Administration whenever proposed Army actions have the potential to 
affect the operations or the environmental management of the Goldstone 
Deep Space Communications Complex. The requirement for consultation 
shall apply, at a minimum, to the following:
        (1) Plans for military training, military equipment testing, or 
    related activities that have the potential of impacting 
    communications between Goldstone Deep Space Communications Complex 
    and space flight missions or other transmission or receipt of 
    signals from outer space by the Goldstone Deep Space Communications 
    Complex.
        (2) The integrated natural resources management plan required 
    by subsection (d).
        (3) The West Mojave Coordinated Management Plan referred to in 
    section 2907.
        (4) Any document prepared in compliance with the Endangered 
    Species Act of 1973, the National Environmental Policy Act of 1969, 
    and other laws applicable to the lands withdrawn and reserved by 
    this title.
    (g) Use of Mineral Materials.--Notwithstanding any other provision 
of this title or the Act of July 31, 1947 (commonly known as the 
Materials Act of 1947; 30 U.S.C. 601 et seq.), the Secretary of the 
Army may use sand, gravel, or similar mineral material resources of the 
type subject to disposition under such Act from the lands withdrawn and 
reserved by this title if the use of such resources is required for 
construction needs of the National Training Center.

SEC. 2905. WATER RIGHTS.

    (a) No Reserved Water Right Established.--Nothing in this title 
shall be construed--
        (1) to establish a reservation in favor of the United States 
    with respect to any water or water right on the lands withdrawn and 
    reserved by this title; or
        (2) to authorize the appropriation of water on such lands by 
    the United States after the date of the enactment of this Act, 
    except in accordance with applicable State law.
    (b) Effect on Previously Acquired or Reserved Water Rights.--This 
section shall not be construed to affect any water rights acquired or 
reserved by the United States before the date of the enactment of this 
Act, and the Secretary of the Army may exercise any such previously 
acquired or reserved water rights.
SEC. 2906. ENVIRONMENTAL COMPLIANCE AND ENVIRONMENTAL RESPONSE 
REQUIREMENTS.
    (a) Agreements Concerning the Environment and Public Health.--The 
Secretary of the Army and the Secretary of the Interior shall enter 
into such agreements as are necessary, appropriate, and in the public 
interest to carry out the purposes of this title.
    (b) Relation to Other Environmental Laws.--Nothing in this title 
shall relieve, and no action taken under this title may relieve, the 
Secretary of the Army or the Secretary of the Interior, or any other 
person from any liability or other obligation under the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9601 et seq.), the Resource Conservation and Recovery Act of 
1976 (42 U.S.C. 6901 et seq.) or any other Federal or State law.
SEC. 2907. WEST MOJAVE COORDINATED MANAGEMENT PLAN.
    (a) Completion.--The Secretary of the Interior shall make every 
effort to complete the West Mojave Coordinated Management Plan not 
later than two years after the date of the enactment of this Act.
    (b) Consideration of Withdrawal and Reservation Impacts.--The 
Secretary of the Interior shall ensure that the West Mojave Coordinated 
Management Plan considers the impacts of the availability or 
nonavailability of the lands withdrawn and reserved by this title on 
the plan as a whole.
    (c) Consultation.--The Secretary of the Interior shall consult with 
the Secretary of the Army and the Administrator of the National 
Aeronautics and Space Administration in the development of the West 
Mojave Coordinated Management Plan.
SEC. 2908. RELEASE OF WILDERNESS STUDY AREAS.
    Congress hereby finds and directs that lands withdrawn and reserved 
by this title have been adequately studied for wilderness designation 
pursuant to section 603(c) of the Federal Land Policy and Management 
Act of 1976 (43 U.S.C. 1782(c)), and are no longer subject to the 
requirement of such section pertaining to the management of wilderness 
study areas in a manner that does not impair the suitability of such 
areas for preservation as wilderness.
SEC. 2909. TRAINING ACTIVITY SEPARATION FROM UTILITY CORRIDORS.
    (a) Required Separation.--All military ground activity training on 
the lands withdrawn and reserved by this title shall remain at least 
500 meters from any utility system, in existence as of the date of the 
enactment of this Act, in Utility Planning Corridor D, as described in 
the California Desert Conservation Area Plan, dated 1980 and 
subsequently amended.
    (b) Exception.--Subsection (a) does not modify the use of any lands 
used, as of the date of the enactment of this Act, by the National 
Training Center for training or alter any right of access granted by 
interagency agreement.
SEC. 2910. DURATION OF WITHDRAWAL AND RESERVATION.
    (a) Termination Date.--Unless extended pursuant to section 2911, 
unless relinquishment is postponed by the Secretary of the Interior 
pursuant to section 2912(b), and except as provided in section 2912(d), 
the withdrawal and reservation made by this title shall terminate 25 
years after the date of the enactment of this Act.
    (b) Limitation on Subsequent Availability for Appropriation.--At 
the time of termination of the withdrawal and reservation made by this 
title, the previously withdrawn lands shall not be open to any forms of 
appropriation under the general land laws, including the mining laws 
and the mineral and geothermal leasing laws, until the Secretary of the 
Interior publishes in the Federal Register an appropriate order 
specifying the date upon which such lands shall be restored to the 
public domain and opened.
SEC. 2911. EXTENSION OF INITIAL WITHDRAWAL AND RESERVATION.
    (a) Notification Requirement.--Not later than three years before 
the termination date specified in section 2910(a), the Secretary of the 
Army shall notify Congress and the Secretary of the Interior whether 
the Army will have a continuing military need, beyond the termination 
date, for all or any portion of the lands withdrawn and reserved by 
this title.
    (b) Process for Extension of Withdrawal and Reservation.--
        (1) Consultation and application.--If the Secretary of the Army 
    determines that there will be a continuing military need after the 
    termination date for any of the lands withdrawn and reserved by 
    this title, the Secretary of the Army shall--
            (A) consult with the Secretary of the Interior concerning 
        any adjustments to be made to the extent of, or to the 
        allocation of management responsibility for, such needed lands; 
        and
            (B) file with the Secretary of the Interior, within one 
        year after the notice required by subsection (a), an 
        application for extension of the withdrawal and reservation of 
        such needed lands.
        (2) Application requirements.--Notwithstanding any general 
    procedure of the Department of the Interior for processing Federal 
    land withdrawals, an application for extension of the land 
    withdrawal and reservation made by this title shall be considered 
    to be complete if the application includes the information required 
    by section 3 of Public Law 85-337 (commonly known as the Engle Act; 
    43 U.S.C. 157), except that no information shall be required 
    concerning the use or development of mineral, timber, or grazing 
    resources unless, and only to the extent, the Secretary of the Army 
    proposes to use or develop such resources during the period of 
    extension.
    (c) Submission of Proposed Extension to Congress.--The Secretary of 
the Interior and the Secretary of the Army may submit to Congress a 
legislative proposal for the extension of the withdrawal and 
reservation made by this title. The legislative proposal shall be 
accompanied by an appropriate analysis of environmental impacts 
associated with the proposal, as required by section 102(2)(C) of the 
National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).

SEC. 2912. TERMINATION AND RELINQUISHMENT.

    (a) Notice of Termination.--During the first 22 years of the 
withdrawal and reservation made by this title, if the Secretary of the 
Army determines that there is no continuing military need for the lands 
withdrawn and reserved by this title, or any portion of such lands, the 
Secretary of the Army shall submit to the Secretary of the Interior a 
notice of intent to relinquish jurisdiction over such lands. The notice 
shall specify the proposed date of relinquishment.
    (b) Acceptance of Jurisdiction.--The Secretary of the Interior may 
accept jurisdiction over any lands covered by a notice under subsection 
(a) if the Secretary of the Interior determines that the Secretary of 
the Army has taken or will take all environmental response and 
restoration activities required under applicable laws and regulations 
with respect to such lands.
    (c) Notice of Acceptance.--If the Secretary of the Interior decides 
to accept jurisdiction over lands covered by a notice under subsection 
(a) before the termination date of the withdrawal and reservation, the 
Secretary shall publish in the Federal Register an appropriate order 
that shall--
        (1) terminate the withdrawal and reservation of such lands 
    under this title;
        (2) constitute official acceptance of administrative 
    jurisdiction over the lands by the Secretary of the Interior; and
        (3) state the date upon which such lands shall be opened to the 
    operation of the general land laws, including the mining laws and 
    the mineral and geothermal leasing laws, if appropriate.
    (d) Retained Army Jurisdiction.--Notwithstanding the termination 
date specified in section 2910, unless and until the Secretary of the 
Interior accepts jurisdiction of land proposed for relinquishment 
pursuant to this section, such land shall remain withdrawn and reserved 
for the Secretary of the Army for the limited purposes of environmental 
response and restoration actions under section 2906 and continued land 
management responsibilities pursuant to the integrated natural 
resources management plan required under section 2904, until such 
environmental response and restoration activities on those lands are 
completed.
    (e) Severability of Functions.--All functions described under this 
section, including transfers, relinquishments, extensions, and other 
determinations, may be made on a parcel-by-parcel basis.

SEC. 2913. DELEGATION OF AUTHORITY.

    (a) Secretary of the Army.--The Secretary of the Army may delegate 
to officials in the Department of the Army such functions as the 
Secretary of the Army may determine appropriate to carry out this 
title.
    (b) Secretary of the Interior.--The functions of the Secretary of 
the Interior under this title may be delegated, except that the order 
described in section 2912(c) may be approved and signed only by the 
Secretary of the Interior, the Deputy Secretary of the Interior, or an 
Assistant Secretary of the Department of the Interior.

   TITLE XXX--REALIGNMENT AND CLOSURE OF MILITARY INSTALLATIONS AND 
   PREPARATION OF INFRASTRUCTURE PLAN FOR THE NUCLEAR WEAPONS COMPLEX

Sec. 3001. Authorization of round of realignments and closures of 
military installations in 2005.
Sec. 3002. Selection criteria.
Sec. 3003. Revised procedures for making recommendations for 
realignments and closures and commission consideration of 
recommendations.
Sec. 3004. Limitations on privatization in place.
Sec. 3005. Department of Defense Base Closure Account 2005.
Sec. 3006. Implementation of closure and realignment decisions.
Sec. 3007. Technical and clarifying amendments.
Sec. 3008. Preparation of infrastructure plan for the nuclear weapons 
complex.

SEC. 3001. AUTHORIZATION OF ROUND OF REALIGNMENTS AND CLOSURES OF 
MILITARY INSTALLATIONS IN 2005.
    The Defense Base Closure and Realignment Act of 1990 (part A of 
title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) is amended by 
adding at the end the following new section:
``SEC. 2912. 2005 ROUND OF REALIGNMENTS AND CLOSURES OF MILITARY 
INSTALLATIONS.
    ``(a) Force-Structure Plan and Infrastructure Inventory.--
        ``(1) Preparation and submission.--As part of the budget 
    justification documents submitted to Congress in support of the 
    budget for the Department of Defense for fiscal year 2005, the 
    Secretary shall include the following:
            ``(A) A force-structure plan for the Armed Forces based on 
        an assessment by the Secretary of the probable threats to the 
        national security during the 20-year period beginning with 
        fiscal year 2005, the probable end-strength levels and major 
        military force units (including land force divisions, carrier 
        and other major combatant vessels, air wings, and other 
        comparable units) needed to meet these threats, and the 
        anticipated levels of funding that will be available for 
        national defense purposes during such period.
            ``(B) A comprehensive inventory of military installations 
        world-wide for each military department, with specifications of 
        the number and type of facilities in the active and reserve 
        forces of each military department.
        ``(2) Relationship of plan and inventory.--Using the force-
    structure plan and infrastructure inventory prepared under 
    paragraph (1), the Secretary shall prepare (and include as part of 
    the submission of such plan and inventory) the following:
            ``(A) A description of the infrastructure necessary to 
        support the force structure described in the force-structure 
        plan.
            ``(B) A discussion of categories of excess infrastructure 
        and infrastructure capacity.
            ``(C) An economic analysis of the effect of the closure or 
        realignment of military installations to reduce excess 
        infrastructure.
        ``(3) Special considerations.--In determining the level of 
    necessary versus excess infrastructure under paragraph (2), the 
    Secretary shall consider the following:
            ``(A) The anticipated continuing need for and availability 
        of military installations outside the United States, taking 
        into account current restrictions on the use of military 
        installations outside the United States and the potential for 
        future prohibitions or restrictions on the use of such military 
        installations.
            ``(B) Any efficiencies that may be gained from joint 
        tenancy by more than one branch of the Armed Forces at a 
        military installation.
        ``(4) Revision.--The Secretary may revise the force-structure 
    plan and infrastructure inventory. If the Secretary makes such a 
    revision, the Secretary shall submit the revised plan or inventory 
    to Congress as part of the budget justification documents submitted 
    to Congress for fiscal year 2006.
    ``(b) Certification of Need for Further Closures and 
Realignments.--
        ``(1) Certification required.--On the basis of the force-
    structure plan and infrastructure inventory prepared under 
    subsection (a) and the descriptions and economic analysis prepared 
    under such subsection, the Secretary shall include as part of the 
    submission of the plan and inventory--
            ``(A) a certification regarding whether the need exists for 
        the closure or realignment of additional military 
        installations; and
            ``(B) if such need exists, a certification that the 
        additional round of closures and realignments would result in 
        annual net savings for each of the military departments 
        beginning not later than fiscal year 2011.
        ``(2) Effect of failure to certify.--If the Secretary does not 
    include the certifications referred to in paragraph (1), the 
    process by which military installations may be selected for closure 
    or realignment under this part in 2005 shall be terminated.
    ``(c) Comptroller General Evaluation.--
        ``(1) Evaluation required.--If the certification is provided 
    under subsection (b), the Comptroller General shall prepare an 
    evaluation of the following:
            ``(A) The force-structure plan and infrastructure inventory 
        prepared under subsection (a) and the final selection criteria 
        prepared under section 2913, including an evaluation of the 
        accuracy and analytical sufficiency of such plan, inventory, 
        and criteria.
            ``(B) The need for the closure or realignment of additional 
        military installations.
        ``(2) Submission.--The Comptroller General shall submit the 
    evaluation to Congress not later than 60 days after the date on 
    which the force-structure plan and infrastructure inventory are 
    submitted to Congress.
    ``(d) Authorization of Additional Round; Commission.--
        ``(1) Appointment of commission.--Subject to the certifications 
    required under subsection (b), the President may commence an 
    additional round for the selection of military installations for 
    closure and realignment under this part in 2005 by transmitting to 
    the Senate, not later than March 15, 2005, nominations pursuant to 
    section 2902(c) for the appointment of new members to the Defense 
    Base Closure and Realignment Commission.
        ``(2) Effect of failure to nominate.--If the President does not 
    transmit to the Senate the nominations for the Commission by March 
    15, 2005, the process by which military installations may be 
    selected for closure or realignment under this part in 2005 shall 
    be terminated.
        ``(3) Members.--Notwithstanding section 2902(c)(1), the 
    Commission appointed under the authority of this subsection shall 
    consist of nine members.
        ``(4) Terms; meetings; termination.--Notwithstanding 
    subsections (d), (e)(1), and (l) of section 2902, the Commission 
    appointed under the authority of this subsection shall meet during 
    calendar year 2005 and shall terminate on April 15, 2006.
        ``(5) Funding.--If no funds are appropriated to the Commission 
    by the end of the second session of the 108th Congress for the 
    activities of the Commission in 2005, the Secretary may transfer to 
    the Commission for purposes of its activities under this part in 
    that year such funds as the Commission may require to carry out 
    such activities. The Secretary may transfer funds under the 
    preceding sentence from any funds available to the Secretary. Funds 
    so transferred shall remain available to the Commission for such 
    purposes until expended.''.

SEC. 3002. SELECTION CRITERIA.

    The Defense Base Closure and Realignment Act of 1990 (part A of 
title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) is amended by 
inserting after section 2912, as added by section 3001, the following 
new section:

``SEC. 2913. SELECTION CRITERIA FOR 2005 ROUND.

    ``(a) Preparation of Proposed Selection Criteria.--
        ``(1) In general.--Not later than December 31, 2003, the 
    Secretary shall publish in the Federal Register and transmit to the 
    congressional defense committees the criteria proposed to be used 
    by the Secretary in making recommendations for the closure or 
    realignment of military installations inside the United States 
    under this part in 2005.
        ``(2) Public comment.--The Secretary shall provide an 
    opportunity for public comment on the proposed criteria for a 
    period of at least 30 days and shall include notice of that 
    opportunity in the publication required under this subsection.
    ``(b) Military Value as Primary Consideration.--The selection 
criteria prepared by the Secretary shall ensure that military value is 
the primary consideration in the making of recommendations for the 
closure or realignment of military installations under this part in 
2005. Military value shall include at a minimum the following:
        ``(1) Preservation of training areas suitable for maneuver by 
    ground, naval, or air forces to guarantee future availability of 
    such areas to ensure the readiness of the Armed Forces.
        ``(2) Preservation of military installations in the United 
    States as staging areas for the use of the Armed Forces in homeland 
    defense missions.
        ``(3) Preservation of military installations throughout a 
    diversity of climate and terrain areas in the United States for 
    training purposes.
        ``(4) The impact on joint warfighting, training, and readiness.
        ``(5) Contingency, mobilization, and future total force 
    requirements at both existing and potential receiving locations to 
    support operations and training.
    ``(c) Special Considerations.--The selection criteria for military 
installations shall also address at a minimum the following:
        ``(1) The extent and timing of potential costs and savings, 
    including the number of years, beginning with the date of 
    completion of the closure or realignment, for the savings to exceed 
    the costs.
        ``(2) The economic impact on existing communities in the 
    vicinity of military installations.
        ``(3) The ability of both existing and potential receiving 
    communities' infrastructure to support forces, missions, and 
    personnel.
        ``(4) The impact of costs related to potential environmental 
    restoration, waste management, and environmental compliance 
    activities.
    ``(d) Effect on Department and Other Agency Costs.--Any selection 
criteria proposed by the Secretary relating to the cost savings or 
return on investment from the proposed closure or realignment of 
military installations shall take into account the effect of the 
proposed closure or realignment on the costs of any other activity of 
the Department of Defense or any other Federal agency that may be 
required to assume responsibility for activities at the military 
installations.
    ``(e) Final Selection Criteria.--Not later than February 16, 2004, 
the Secretary shall publish in the Federal Register and transmit to the 
congressional defense committees the final criteria to be used in 
making recommendations for the closure or realignment of military 
installations inside the United States under this part in 2005. Such 
criteria shall be the final criteria to be used, along with the force-
structure plan and infrastructure inventory referred to in section 
2912, in making such recommendations unless disapproved by an Act of 
Congress enacted on or before March 15, 2004.
    ``(f) Relation to Criteria for Earlier Rounds.--Section 2903(b), 
and the selection criteria prepared under such section, shall not apply 
with respect to the process of making recommendations for the closure 
or realignment of military installations in 2005.''.
SEC. 3003. REVISED PROCEDURES FOR MAKING RECOMMENDATIONS FOR 
REALIGNMENTS AND CLOSURES AND COMMISSION CONSIDERATION OF 
RECOMMENDATIONS.
    The Defense Base Closure and Realignment Act of 1990 (part A of 
title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) is amended by 
inserting after section 2913, as added by section 3002, the following 
new section:
``SEC. 2914. SPECIAL PROCEDURES FOR MAKING RECOMMENDATIONS FOR 
REALIGNMENTS AND CLOSURES FOR 2005 ROUND; COMMISSION CONSIDERATION OF 
RECOMMENDATIONS.
    ``(a) Recommendations Regarding Closure or Realignment of Military 
Installations.--If the Secretary makes the certifications required 
under section 2912(b), the Secretary shall publish in the Federal 
Register and transmit to the congressional defense committees and the 
Commission, not later than May 16, 2005, a list of the military 
installations inside the United States that the Secretary recommends 
for closure or realignment on the basis of the force-structure plan and 
infrastructure inventory prepared by the Secretary under section 2912 
and the final selection criteria prepared by the Secretary under 
section 2913.
    ``(b) Preparation of Recommendations.--
        ``(1) In general.--The Secretary shall comply with paragraphs 
    (2) through (6) of section 2903(c) in preparing and transmitting 
    the recommendations under this section. However, paragraph (6) of 
    section 2903(c) relating to submission of information to Congress 
    shall be deemed to require such submission within 48 hours.
        ``(2) Consideration of local government views.--(A) In making 
    recommendations to the Commission in 2005, the Secretary shall 
    consider any notice received from a local government in the 
    vicinity of a military installation that the government would 
    approve of the closure or realignment of the installation.
        ``(B) Notwithstanding the requirement in subparagraph (A), the 
    Secretary shall make the recommendations referred to in that 
    subparagraph based on the force-structure plan, infrastructure 
    inventory, and final selection criteria otherwise applicable to 
    such recommendations.
        ``(C) The recommendations shall include a statement of the 
    result of the consideration of any notice described in subparagraph 
    (A) that is received with respect to a military installation 
    covered by such recommendations. The statement shall set forth the 
    reasons for the result.
    ``(c) Recommendations To Retain Bases in Inactive Status.--In 
making recommendations for the closure or realignment of military 
installations, the Secretary may recommend that an installation be 
placed in an inactive status if the Secretary determines that--
        ``(1) the installation may be needed in the future for national 
    security purposes; or
        ``(2) retention of the installation is otherwise in the 
    interest of the United States.
    ``(d) Commission Review and Recommendations.--
        ``(1) In general.--Except as provided in this subsection, 
    section 2903(d) shall apply to the consideration by the Commission 
    of the recommendations transmitted by the Secretary in 2005. The 
    Commission's report containing its findings and conclusions, based 
    on a review and analysis of the Secretary's recommendations, shall 
    be transmitted to the President not later than September 8, 2005.
        ``(2) Availability of recommendations to congress.--After 
    September 8, 2005, the Commission shall promptly provide, upon 
    request, to any Member of Congress information used by the 
    Commission in making its recommendations.
        ``(3) Limitations on authority to add to closure or realignment 
    lists.--The Commission may not consider making a change in the 
    recommendations of the Secretary that would add a military 
    installation to the Secretary's list of installations recommended 
    for closure or realignment unless, in addition to the requirements 
    of section 2903(d)(2)(C)--
            ``(A) the Commission provides the Secretary with at least a 
        15-day period, before making the change, in which to submit an 
        explanation of the reasons why the installation was not 
        included on the closure or realignment list by the Secretary; 
        and
            ``(B) the decision to add the installation for Commission 
        consideration is supported by at least seven members of the 
        Commission.
        ``(4) Testimony by secretary.--The Commission shall invite the 
    Secretary to testify at a public hearing, or a closed hearing if 
    classified information is involved, on any proposed change by the 
    Commission to the Secretary's recommendations.
        ``(5) Comptroller general report.--The Comptroller General 
    report required by section 2903(d)(5)(B) analyzing the 
    recommendations of the Secretary and the selection process in 2005 
    shall be transmitted to the congressional defense committees not 
    later than July 1, 2005.
    ``(e) Review by the President.--
        ``(1) In general.--Except as provided in this subsection, 
    section 2903(e) shall apply to the review by the President of the 
    recommendations of the Commission under this section, and the 
    actions, if any, of the Commission in response to such review, in 
    2005. The President shall review the recommendations of the 
    Secretary and the recommendations contained in the report of the 
    Commission under subsection (d) and prepare a report, not later 
    than September 23, 2005, containing the President's approval or 
    disapproval of the Commission's recommendations.
        ``(2) Commission reconsideration.--If the Commission prepares a 
    revised list of recommendations under section 2903(e)(3) in 2005 in 
    response to the review of the President in that year under 
    paragraph (1), the Commission shall transmit the revised list to 
    the President not later than October 20, 2005.
        ``(3) Effect of failure to transmit.--If the President does not 
    transmit to Congress an approval and certification described in 
    paragraph (2) or (4) of section 2903(e) by November 7, 2005, the 
    process by which military installations may be selected for closure 
    or realignment under this part in 2005 shall be terminated.
        ``(4) Effect of transmittal.--A report of the President under 
    this subsection containing the President's approval of the 
    Commission's recommendations is deemed to be a report under section 
    2903(e) for purposes of sections 2904 and 2908.''.
SEC. 3004. LIMITATIONS ON PRIVATIZATION IN PLACE.
    Section 2904(a) of the Defense Base Closure and Realignment Act of 
1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) 
is amended--
        (1) by redesignating paragraphs (3) and (4) as paragraphs (4) 
    and (5), respectively; and
        (2) by inserting after paragraph (2) the following new 
    paragraph (3):
        ``(3) carry out the privatization in place of a military 
    installation recommended for closure or realignment by the 
    Commission in the 2005 report only if privatization in place is a 
    method of closure or realignment of the military installation 
    specified in the recommendations of the Commission in such report 
    and is determined by the Commission to be the most cost-effective 
    method of implementation of the recommendation;''.
SEC. 3005. DEPARTMENT OF DEFENSE BASE CLOSURE ACCOUNT 2005.
    (a) Establishment.--The Defense Base Closure and Realignment Act of 
1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) 
is amended by inserting after section 2906 the following new section:
``SEC. 2906A. DEPARTMENT OF DEFENSE BASE CLOSURE ACCOUNT 2005.
    ``(a) In General.--(1) If the Secretary makes the certifications 
required under section 2912(b), there shall be established on the books 
of the Treasury an account to be known as the `Department of Defense 
Base Closure Account 2005' (in this section referred to as the 
`Account'). The Account shall be administered by the Secretary as a 
single account.
    ``(2) There shall be deposited into the Account--
        ``(A) funds authorized for and appropriated to the Account;
        ``(B) any funds that the Secretary may, subject to approval in 
    an appropriation Act, transfer to the Account from funds 
    appropriated to the Department of Defense for any purpose, except 
    that such funds may be transferred only after the date on which the 
    Secretary transmits written notice of, and justification for, such 
    transfer to the congressional defense committees; and
        ``(C) except as provided in subsection (d), proceeds received 
    from the lease, transfer, or disposal of any property at a military 
    installation that is closed or realigned under this part pursuant 
    to a closure or realignment the date of approval of which is after 
    January 1, 2005.
    ``(3) The Account shall be closed at the time and in the manner 
provided for appropriation accounts under section 1555 of title 31, 
United States Code. Unobligated funds which remain in the Account upon 
closure shall be held by the Secretary of the Treasury until 
transferred by law after the congressional defense committees receive 
the final report transmitted under subsection (c)(2).
    ``(b) Use of Funds.--(1) The Secretary may use the funds in the 
Account only for the purposes described in section 2905 with respect to 
military installations the date of approval of closure or realignment 
of which is after January 1, 2005.
    ``(2) When a decision is made to use funds in the Account to carry 
out a construction project under section 2905(a) and the cost of the 
project will exceed the maximum amount authorized by law for a minor 
military construction project, the Secretary shall notify in writing 
the congressional defense committees of the nature of, and 
justification for, the project and the amount of expenditures for such 
project. Any such construction project may be carried out without 
regard to section 2802(a) of title 10, United States Code.
    ``(c) Reports.--(1)(A) No later than 60 days after the end of each 
fiscal year in which the Secretary carries out activities under this 
part using amounts in the Account, the Secretary shall transmit a 
report to the congressional defense committees of the amount and nature 
of the deposits into, and the expenditures from, the Account during 
such fiscal year and of the amount and nature of other expenditures 
made pursuant to section 2905(a) during such fiscal year.
    ``(B) The report for a fiscal year shall include the following:
        ``(i) The obligations and expenditures from the Account during 
    the fiscal year, identified by subaccount, for each military 
    department and Defense Agency.
        ``(ii) The fiscal year in which appropriations for such 
    expenditures were made and the fiscal year in which funds were 
    obligated for such expenditures.
        ``(iii) Each military construction project for which such 
    obligations and expenditures were made, identified by installation 
    and project title.
        ``(iv) A description and explanation of the extent, if any, to 
    which expenditures for military construction projects for the 
    fiscal year differed from proposals for projects and funding levels 
    that were included in the justification transmitted to Congress 
    under section 2907(1), or otherwise, for the funding proposals for 
    the Account for such fiscal year, including an explanation of--
            ``(I) any failure to carry out military construction 
        projects that were so proposed; and
            ``(II) any expenditures for military construction projects 
        that were not so proposed.
    ``(2) No later than 60 days after the termination of the authority 
of the Secretary to carry out a closure or realignment under this part 
with respect to military installations the date of approval of closure 
or realignment of which is after January 1, 2005, and no later than 60 
days after the closure of the Account under subsection (a)(3), the 
Secretary shall transmit to the congressional defense committees a 
report containing an accounting of--
        ``(A) all the funds deposited into and expended from the 
    Account or otherwise expended under this part with respect to such 
    installations; and
        ``(B) any amount remaining in the Account.
    ``(d) Disposal or Transfer of Commissary Stores and Property 
Purchased With Nonappropriated Funds.--(1) If any real property or 
facility acquired, constructed, or improved (in whole or in part) with 
commissary store funds or nonappropriated funds is transferred or 
disposed of in connection with the closure or realignment of a military 
installation under this part the date of approval of closure or 
realignment of which is after January 1, 2005, a portion of the 
proceeds of the transfer or other disposal of property on that 
installation shall be deposited in the reserve account established 
under section 204(b)(7)(C) of the Defense Authorization Amendments and 
Base Closure and Realignment Act (10 U.S.C. 2687 note).
    ``(2) The amount so deposited shall be equal to the depreciated 
value of the investment made with such funds in the acquisition, 
construction, or improvement of that particular real property or 
facility. The depreciated value of the investment shall be computed in 
accordance with regulations prescribed by the Secretary.
    ``(3) The Secretary may use amounts in the reserve account, without 
further appropriation, for the purpose of acquiring, constructing, and 
improving--
        ``(A) commissary stores; and
        ``(B) real property and facilities for nonappropriated fund 
    instrumentalities.
    ``(4) In this subsection, the terms `commissary store funds', 
`nonappropriated funds', and `nonappropriated fund instrumentality' 
shall have the meaning given those terms in section 2906(d)(4).
    ``(e) Account Exclusive Source of Funds for Environmental 
Restoration Projects.--Except as provided in section 2906(e) with 
respect to funds in the Department of Defense Base Closure Account 1990 
under section 2906 and except for funds deposited into the Account 
under subsection (a), funds appropriated to the Department of Defense 
may not be used for purposes described in section 2905(a)(1)(C). The 
prohibition in this subsection shall expire upon the closure of the 
Account under subsection (a)(3).''.
    (b) Conforming Amendments.--Section 2906 of that Act is amended--
        (1) in subsection (a)(2)(C), by inserting ``the date of 
    approval of closure or realignment of which is before January 1, 
    2005'' after ``under this part'';
        (2) in subsection (b)(1), by inserting ``with respect to 
    military installations the date of approval of closure or 
    realignment of which is before January 1, 2005,'' after ``section 
    2905'';
        (3) in subsection (c)(2)--
            (A) in the matter preceding subparagraph (A), by inserting 
        ``with respect to military installations the date of approval 
        of closure or realignment of which is before January 1, 2005,'' 
        after ``under this part''; and
            (B) in subparagraph (A), by inserting ``with respect to 
        such installations'' after ``under this part'';
        (4) in subsection (d)(1), by inserting ``the date of approval 
    of closure or realignment of which is before January 1, 2005'' 
    after ``under this part''; and
        (5) in subsection (e), by striking ``Except for'' and inserting 
    ``Except as provided in section 2906A(e) with respect to funds in 
    the Department of Defense Base Closure Account 2005 under section 
    2906A and except for''.
    (c) Clerical Amendment.--The section heading of section 2906 of 
that Act is amended by striking ``account'' and inserting ``department 
of defense base closure account 1990''.
SEC. 3006. IMPLEMENTATION OF CLOSURE AND REALIGNMENT DECISIONS.
    (a) Requirement To Receive Fair Market Value.--Section 
2905(b)(4)(B) of that Act is amended--
        (1) in the first sentence, by striking ``shall be without 
    consideration'' in the matter preceding clause (i) and inserting 
    ``may be without consideration''; and
        (2) by inserting after ``(B)'' the following new sentence: 
    ``With respect to military installations for which the date of 
    approval of closure or realignment is after January 1, 2005, the 
    Secretary shall seek to obtain consideration in connection with any 
    transfer under this paragraph of property located at the 
    installation in an amount equal to the fair market value of the 
    property, as determined by the Secretary.''.
    (b) Transfers in Connection With Payment of Environmental 
Remediation.--Section 2905(e) of that Act is amended--
        (1) in paragraph (1)(B), by adding at the end the following new 
    sentence: ``The real property and facilities referred to in 
    subparagraph (A) are also the real property and facilities located 
    at an installation approved for closure or realignment under this 
    part after 2001 that are available for purposes other than to 
    assist the homeless.'';
        (2) in paragraph (2)(A), by striking ``to be paid by the 
    recipient of the property or facilities'' and inserting ``otherwise 
    to be paid by the Secretary with respect to the property or 
    facilities'';
        (3) by striking paragraph (6);
        (4) by redesignating paragraphs (3), (4), and (5) as paragraphs 
    (4), (5), and (6), respectively; and
        (5) by inserting after paragraph (2) the following new 
    paragraph (3):
    ``(3) In the case of property or facilities covered by a 
certification under paragraph (2)(A), the Secretary may pay the 
recipient of such property or facilities an amount equal to the lesser 
of--
        ``(A) the amount by which the costs incurred by the recipient 
    of such property or facilities for all environmental restoration, 
    waste, management, and environmental compliance activities with 
    respect to such property or facilities exceed the fair market value 
    of such property or facilities as specified in such certification; 
    or
        ``(B) the amount by which the costs (as determined by the 
    Secretary) that would otherwise have been incurred by the Secretary 
    for such restoration, management, and activities with respect to 
    such property or facilities exceed the fair market value of such 
    property or facilities as so specified.''.
    (c) Scope of Indemnification of Transferees in Connection With 
Payment of Environmental Remediation.--Paragraph (6) of section 2905(e) 
of that Act, as redesignated by subsection (b)(4), is amended by 
inserting before the period the following: ``, except in the case of 
releases or threatened releases not disclosed pursuant to paragraph 
(4)''.
SEC. 3007. TECHNICAL AND CLARIFYING AMENDMENTS.
    (a) Relationship to Other Base Closure Authority.--Section 2909(a) 
of the Defense Base Closure and Realignment Act of 1990 (part A of 
title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) is amended by 
striking ``the date of the enactment of this Act and ending on December 
31, 1995,'' and inserting ``November 5, 1990, and ending on April 15, 
2006,''.
    (b) Commencement of Period for Notice of Interest in Property for 
Homeless.--Section 2905(b)(7)(D)(ii)(I) of that Act is amended by 
striking ``that date'' and inserting ``the date of publication of such 
determination in a newspaper of general circulation in the communities 
in the vicinity of the installation under subparagraph (B)(i)(IV)''.
    (c) Committee Name.--That Act is further amended by striking 
``National Security'' and inserting ``Armed Services'' each place it 
appears in the following provisions:
        (A) Section 2902(e)(2)(B)(ii).
        (B) Section 2908(b).
    (d) Other Clarifying Amendments.--(1) That Act is further amended 
by inserting ``or realignment'' after ``closure'' each place it appears 
in the following provisions:
        (A) Section 2905(b)(3).
        (B) Section 2905(b)(5).
        (C) Section 2905(b)(7)(B)(iv).
        (D) Section 2905(b)(7)(N).
        (E) Section 2910(10)(B).
    (2) That Act is further amended by inserting ``or realigned'' after 
``closed'' each place it appears in the following provisions:
        (A) Section 2905(b)(3)(C)(ii).
        (B) Section 2905(b)(3)(D).
        (C) Section 2905(b)(3)(E).
        (D) Section 2905(b)(5)(A).
        (E) Section 2910(9).
        (F) Section 2910(10).
    (3) Section 2905(e)(1)(B) of that Act is amended by inserting ``, 
or realigned or to be realigned,'' after ``closed or to be closed''.
SEC. 3008. PREPARATION OF INFRASTRUCTURE PLAN FOR THE NUCLEAR WEAPONS 
COMPLEX.
    (a) Infrastructure Plan for Nuclear Weapons Complex.--
        (1) Preparation and submission.--Not later than the date on 
    which the budget for the Department of Energy for fiscal year 2004 
    is submitted to Congress, the Secretary of Energy shall submit to 
    Congress an infrastructure plan for the nuclear weapons complex 
    adequate to support the nuclear weapons stockpile, the naval 
    reactors program, and nonproliferation and national security 
    activities.
        (2) Special considerations.--In preparing the infrastructure 
    plan, the Secretary shall take into consideration the following:
            (A) The Department of Defense Nuclear Posture Review 
        required pursuant to section 1041 of the Floyd D. Spence 
        National Defense Authorization Act for Fiscal Year 2001 (as 
        enacted into law by Public Law 106-398; 114 Stat. 1654A-262).
            (B) Any efficiencies and security benefits of consolidation 
        of facilities of the nuclear weapons complex.
            (C) The necessity to have a residual production capability.
    (b) Recommendations Regarding Realignments and Closures.--On the 
basis of the infrastructure plan prepared under subsection (a), the 
Secretary shall make such recommendations regarding the need to close 
or realign facilities of the nuclear weapons complex as the Secretary 
considers appropriate, including the Secretary's recommendations on 
whether to establish a process by which a round of closures and 
realignments would be carried out and any additional legislative 
authority necessary to implement the recommendations. The Secretary 
shall submit the recommendations as part of the infrastructure plan 
under subsection (a).
    (c) Definitions.--In this section:
        (1) The terms ``Secretary'' and ``Secretary of Energy'' mean 
    the Secretary of Energy, acting after consideration of the 
    recommendations of the Administrator for Nuclear Security.
        (2) The term ``nuclear weapons complex'' means the national 
    security laboratories and nuclear weapons production facilities (as 
    such terms are defined in section 3281 of the National Nuclear 
    Security Administration Act (50 U.S.C. 2471)) and the facilities of 
    the Naval Nuclear Propulsion Program provided for under the Naval 
    Nuclear Propulsion Executive Order (as such term is defined in 
    section 3216 of such Act (50 U.S.C. 2406)).

 DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND 
                          OTHER AUTHORIZATIONS
      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

          Subtitle A--National Security Programs Authorizations

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

                Subtitle B--Recurring General Provisions

Sec. 3121. Reprogramming.
Sec. 3122. Limits on minor construction projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
activities.
Sec. 3127. Funds available for all national security programs of the 
Department of Energy.
Sec. 3128. Availability of funds.
Sec. 3129. Transfer of defense environmental management funds.
Sec. 3130. Transfer of weapons activities funds.

    Subtitle C--Program Authorizations, Restrictions, and Limitations

Sec. 3131. Consolidation of Nuclear Cities Initiative program with 
Initiatives for Proliferation Prevention program.
Sec. 3132. Nuclear Cities Initiative.
Sec. 3133. Limitation on availability of funds for weapons activities 
for facilities and infrastructure.
Sec. 3134. Limitation on availability of funds for other defense 
activities for national security programs administrative support.
Sec. 3135. Termination date of Office of River Protection, Richland, 
Washington.
Sec. 3136. Support for public education in the vicinity of Los Alamos 
National Laboratory, New Mexico.
Sec. 3137. Reports on achievement of milestones for National Ignition 
Facility.

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

Sec. 3141. Establishment of Principal Deputy Administrator of National 
Nuclear Security Administration.
Sec. 3142. Elimination of requirement that national security 
laboratories and nuclear weapons production facilities report to Deputy 
Administrator for Defense Programs.
Sec. 3143. Repeal of duplicative provision relating to dual office 
holding by personnel of National Nuclear Security Administration.
Sec. 3144. Report on adequacy of Federal pay and hiring authorities to 
meet personnel requirements of National Nuclear Security Administration.

                        Subtitle E--Other Matters

Sec. 3151. Improvements to Energy Employees Occupational Illness 
Compensation Program.
Sec. 3152. Department of Energy counterintelligence polygraph program.
Sec. 3153. One-year extension of authority of Department of Energy to 
pay voluntary separation incentive payments.
Sec. 3154. Annual assessment and report on vulnerability of Department 
of Energy facilities to terrorist attack.
Sec. 3155. Disposition of surplus defense plutonium at Savannah River 
Site, Aiken, South Carolina.
Sec. 3156. Modification of date of report of panel to assess the 
reliability, safety, and security of the United States nuclear 
stockpile.

            Subtitle F--Rocky Flats National Wildlife Refuge

Sec. 3171. Short title.
Sec. 3172. Findings and purposes.
Sec. 3173. Definitions.
Sec. 3174. Future ownership and management.
Sec. 3175. Transfer of management responsibilities and jurisdiction over 
Rocky Flats.
Sec. 3176. Administration of retained property; continuation of cleanup 
and closure.
Sec. 3177. Rocky Flats National Wildlife Refuge.
Sec. 3178. Comprehensive planning process.
Sec. 3179. Property rights.
Sec. 3180. Liabilities and other obligations.
Sec. 3181. Rocky Flats Museum.
Sec. 3182. Annual report on funding.

         Subtitle A--National Security Programs Authorizations

SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.
    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for the activities of the National Nuclear 
Security Administration in carrying out programs necessary for national 
security in the amount of $7,121,094,000, to be allocated as follows:
        (1) Weapons activities.--For weapons activities, 
    $5,343,567,000, to be allocated as follows:
            (A) For stewardship operation and maintenance, 
        $4,601,871,000, to be allocated as follows:
                (i) For directed stockpile work, $1,002,274,000.
                (ii) For campaigns, $2,074,473,000, to be allocated as 
            follows:

                    (I) For operation and maintenance, $1,704,501,000.
                    (II) For construction, $369,972,000, to be 
                allocated as follows:

                        Project 01-D-101, distributed information 
                    systems laboratory, Sandia National Laboratories, 
                    Livermore, California, $5,400,000.
                        Project 00-D-103, terascale simulation 
                    facility, Lawrence Livermore National Laboratory, 
                    Livermore, California, $22,000,000.
                        Project 00-D-105, strategic computing complex, 
                    Los Alamos National Laboratory, Los Alamos, New 
                    Mexico, $11,070,000.
                        Project 00-D-107, joint computational 
                    engineering laboratory, Sandia National 
                    Laboratories, Albuquerque, New Mexico, $5,377,000.
                        Project 98-D-125, tritium extraction facility, 
                    Savannah River Plant, Aiken, South Carolina, 
                    $81,125,000.
                        Project 96-D-111, national ignition facility 
                    (NIF), Lawrence Livermore National Laboratory, 
                    Livermore, California, $245,000,000.
                (iii) For readiness in technical base and facilities, 
            $1,525,124,000, to be allocated as follows:

                    (I) For operation and maintenance, $1,348,260,000.
                    (II) For plant projects (including maintenance, 
                restoration, planning, construction, acquisition, 
                modification of facilities, and the continuation of 
                projects authorized in prior years, and land 
                acquisition related thereto), $176,864,000, to be 
                allocated as follows:

                        Project 02-D-103, project engineering and 
                    design (PED), various locations, $22,830,000.
                        Project 02-D-105, engineering technology 
                    complex upgrade, Lawrence Livermore National 
                    Laboratory, Livermore, California, $4,750,000.
                        Project 02-D-107, electrical power systems 
                    safety communications and bus upgrades, Nevada Test 
                    Site, Nevada, $3,507,000.
                        Project 01-D-101, microsystems and engineering 
                    sciences applications (MESA), Sandia National 
                    Laboratories, Albuquerque, New Mexico, $39,000,000.
                        Project 01-D-103, preliminary project design 
                    and engineering, various locations, $16,379,000.
                        Project 01-D-107, Atlas relocation, Nevada Test 
                    Site, Nevada, $3,300,000.
                        Project 01-D-126, weapons evaluation test 
                    laboratory, Pantex Plant, Amarillo, Texas, 
                    $7,700,000.
                        Project 01-D-800, sensitive compartmented 
                    information facility, Lawrence Livermore National 
                    Laboratory, Livermore, California, $12,993,000.
                        Project 99-D-103, isotope sciences facilities, 
                    Lawrence Livermore National Laboratory, Livermore, 
                    California, $4,400,000.
                        Project 99-D-104, protection of real property 
                    (roof reconstruction, phase II), Lawrence Livermore 
                    National Laboratory, Livermore, California, 
                    $2,800,000.
                        Project 99-D-106, model validation and system 
                    certification center, Sandia National Laboratories, 
                    Albuquerque, New Mexico, $4,955,000.
                        Project 99-D-108, renovate existing roadways, 
                    Nevada Test Site, Nevada, $2,000,000.
                        Project 99-D-125, replace boilers and controls, 
                    Kansas City Plant, Kansas City, Missouri, $300,000.
                        Project 99-D-127, stockpile management 
                    restructuring initiative, Kansas City plant, Kansas 
                    City, Missouri, $22,200,000.
                        Project 99-D-128, stockpile management 
                    restructuring initiative, Pantex Plant, Amarillo, 
                    Texas, $3,300,000.
                        Project 98-D-123, stockpile management 
                    restructuring initiative, tritium facility 
                    modernization and consolidation, Savannah River 
                    Plant, Aiken, South Carolina, $13,700,000.
                        Project 98-D-124, stockpile management 
                    restructuring initiative, Y-12 consolidation, Oak 
                    Ridge, Tennessee, $6,850,000.
                        Project 97-D-123, structural upgrades, Kansas 
                    City Plant, Kansas City, Missouri, $3,000,000.
                        Project 96-D-102, stockpile stewardship 
                    facilities revitalization, Phase VI, various 
                    locations, $2,900,000.
            (B) For secure transportation asset, $121,800,000, to be 
        allocated as follows:
                (i) For operation and maintenance, $77,571,000.
                (ii) For program direction, $44,229,000.
            (C) For safeguards and security, $448,881,000, to be 
        allocated as follows:
                (i) For operations and maintenance, $439,281,000.
                (ii) For plant projects (including maintenance, 
            restoration, planning, construction, acquisition, 
            modification of facilities, and the continuation of 
            projects authorized in prior years, and land acquisition 
            related thereto), $9,600,000, to be allocated as follows:

                    Project 99-D-132, stockpile management 
                restructuring initiative, nuclear material safeguards 
                and security upgrades project, Los Alamos National 
                Laboratory, Los Alamos, New Mexico, $9,600,000.

            (D) For facilities and infrastructure, $200,000,000.
            (E) The total amount authorized by this paragraph is the 
        sum of the amounts authorized to be appropriated by 
        subparagraphs (A) through (D), reduced by $28,985,000, to be 
        derived from a security charge for reimbursable work.
        (2) Defense nuclear nonproliferation.--For defense nuclear 
    nonproliferation activities, $776,886,000, to be allocated as 
    follows:
            (A) For nonproliferation and verification research and 
        development, $244,306,000, to be allocated as follows:
                (i) For operation and maintenance, $208,500,000.
                (ii) For plant projects (including maintenance, 
            restoration, planning, construction, acquisition, 
            modification of facilities, and the continuation of 
            projects authorized in prior years, and land acquisition 
            related thereto), $35,806,000, to be allocated as follows:

                    Project 00-D-192, nonproliferation and 
                international security center (NISC), Los Alamos 
                National Laboratory, Los Alamos, New Mexico, 
                $35,806,000.

            (B) For arms control and Russian transition initiatives, 
        $117,741,000.
            (C) For international materials protection, control, and 
        accounting, $143,800,000.
            (D) For highly enriched uranium transparency 
        implementation, $13,950,000.
            (E) For international nuclear safety, $10,000,000.
            (F) For fissile materials control and disposition, 
        $289,089,000, to be allocated as follows:
                (i) For United States surplus fissile materials 
            disposition, $228,089,000, to be allocated as follows:

                    (I) For operation and maintenance, $130,089,000.
                    (II) For plant projects (including maintenance, 
                restoration, planning, construction, acquisition, 
                modification of facilities, and the continuation of 
                projects authorized in prior years, and land 
                acquisition related thereto), $98,000,000, to be 
                allocated as follows:

                        Project 01-D-407, highly enriched uranium 
                    blend-down, Savannah River Site, Aiken, South 
                    Carolina, $24,000,000.
                        Project 99-D-141, pit disassembly and 
                    conversion facility, Savannah River Site, Aiken, 
                    South Carolina, $11,000,000.
                        Project 99-D-143, mixed oxide fuel fabrication 
                    facility, Savannah River Site, Aiken, South 
                    Carolina, $63,000,000.
                (ii) For Russian surplus fissile materials disposition, 
            $61,000,000.
            (G) The total amount authorized by this paragraph is the 
        sum of the amounts authorized to be appropriated by 
        subparagraphs (A) through (F), reduced by $42,000,000, to be 
        derived from offsets and use of prior year balances.
        (3) Naval reactors.--For naval reactors, $688,045,000, to be 
    allocated as follows:
            (A) For naval reactors development, $665,445,000, to be 
        allocated as follows:
                (i) For operation and maintenance, $652,245,000.
                (ii) For plant projects (including maintenance, 
            restoration, planning, construction, acquisition, 
            modification of facilities, and the continuation of 
            projects authorized in prior years, and land acquisition 
            related thereto), $13,200,000, to be allocated as follows:

                    Project 01-D-200, major office replacement 
                building, Schenectady, New York, $9,000,000.
                    Project 90-N-102, expended core facility dry cell 
                project, Naval Reactors Facility, Idaho, $4,200,000.

            (B) For program direction, $22,600,000.
        (4) Office of administrator for nuclear security.--For the 
    Office of the Administrator for Nuclear Security, and for program 
    direction for the National Nuclear Security Administration (other 
    than for naval reactors and secure transportation asset), 
    $312,596,000.
SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.
    (a) In General.--Funds are hereby authorized to be appropriated to 
the Department of Energy for fiscal year 2002 for environmental 
restoration and waste management activities in carrying out programs 
necessary for national security in the amount of $6,022,415,000, to be 
allocated as follows:
        (1) Closure projects.--For closure projects carried out in 
    accordance with section 3143 of the National Defense Authorization 
    Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2836; 42 
    U.S.C. 7277n), $1,080,538,000.
        (2) Site/project completion.--For site completion and project 
    completion in carrying out environmental management activities 
    necessary for national security programs, $959,696,000, to be 
    allocated as follows:
            (A) For operation and maintenance, $919,030,000.
            (B) For plant projects (including maintenance, restoration, 
        planning, construction, acquisition, modification of 
        facilities, and the continuation of projects authorized in 
        prior years, and land acquisition related thereto), 
        $40,666,000, to be allocated as follows:
                Project 01-D-402, Intec cathodic protection system 
            expansion, Idaho National Engineering and Environmental 
            Laboratory, Idaho Falls, Idaho, $3,256,000.
                Project 02-D-420, plutonium stabilization and 
            packaging, Savannah River Site, Aiken, South Carolina, 
            $20,000,000.
                Project 01-D-414, preliminary project, engineering and 
            design (PE&D), various locations, $2,754,000.
                Project 99-D-402, tank farm support services, F&H 
            areas, Savannah River Site, Aiken, South Carolina, 
            $5,040,000.
                Project 99-D-404, health physics instrumentation 
            laboratory, Idaho National Engineering and Environmental 
            Laboratory, Idaho Falls, Idaho, $2,700,000.
                Project 98-D-453, plutonium stabilization and handling 
            system for plutonium finishing plant, Richland, Washington, 
            $1,910,000.
                Project 96-D-471, chlorofluorocarbon heating, 
            ventilation, and air conditioning and chiller retrofit, 
            Savannah River Site, Aiken, South Carolina, $4,244,000.
                Project 86-D-103, decontamination and waste treatment 
            facility, Lawrence Livermore National Laboratory, 
            Livermore, California, $762,000.
        (3) Post-2006 completion.--For post-2006 completion in carrying 
    out environmental restoration and waste management activities 
    necessary for national security programs, $3,265,201,000, to be 
    allocated as follows:
            (A) For operation and maintenance, $1,955,979,000.
            (B) For uranium enrichment decontamination and 
        decommissioning fund contribution, $420,000,000.
            (C) For plant projects (including maintenance, restoration, 
        planning, construction, acquisition, modification of 
        facilities, and the continuation of projects authorized in 
        prior years, and land acquisition related thereto), $6,754,000, 
        to be allocated as follows:
                Project 93-D-187, high-level waste removal from filled 
            waste tanks, Savannah River Site, Aiken, South Carolina, 
            $6,754,000.
            (D) For the Office of River Protection in carrying out 
        environmental restoration and waste management activities 
        necessary for national security programs, $882,468,000, to be 
        allocated as follows:
                (i) For operation and maintenance, $322,151,000.
                (ii) For plant projects (including maintenance, 
            restoration, planning, construction, acquisition, 
            modification of facilities, and the continuation of 
            projects authorized in prior years, and land acquisition 
            related thereto), $560,317,000, to be allocated as follows:

                    Project 01-D-416, waste treatment and 
                immobilization plant, Richland, Washington, 
                $520,000,000.
                    Project 97-D-402, tank farm restoration and safe 
                operations, Richland, Washington, $33,473,000.
                    Project 94-D-407, initial tank retrieval systems, 
                Richland, Washington, $6,844,000.

        (4) Science and technology development.--For science and 
    technology development in carrying out environmental restoration 
    and waste management activities necessary for national security 
    programs, $216,000,000.
        (5) Excess facilities.--For excess facilities in carrying out 
    environmental restoration and waste management activities necessary 
    for national security programs, $1,300,000.
        (6) Safeguards and security.--For safeguards and security in 
    carrying out environmental restoration and waste management 
    activities necessary for national security programs, $205,621,000.
        (7) Program direction.--For program direction in carrying out 
    environmental restoration and waste management activities necessary 
    for national security programs, $355,761,000.
    (b) Adjustment.--The total amount authorized to be appropriated by 
subsection (a) is the sum of the amounts authorized to be appropriated 
by paragraphs (1) through (7) of that subsection, reduced by 
$61,702,000, of which $56,311,000 is to reflect an offset provided by 
use of prior year balances and $5,391,000 is to be derived from a 
security charge for reimbursable work.

SEC. 3103. OTHER DEFENSE ACTIVITIES.

    (a) In General.--Funds are hereby authorized to be appropriated to 
the Department of Energy for fiscal year 2002 for other defense 
activities in carrying out programs necessary for national security in 
the amount of $499,663,000, to be allocated as follows:
        (1) Intelligence.--For intelligence, $40,844,000.
        (2) Counterintelligence.--For counterintelligence, $46,000,000.
        (3) Security and emergency operations.--For security and 
    emergency operations, $250,427,000, to be allocated as follows:
            (A) For nuclear safeguards and security, $116,500,000.
            (B) For security investigations, $44,927,000.
            (C) For corporate management information programs, 
        $10,000,000.
            (D) For program direction, $79,000,000.
        (4) Independent oversight and performance assurance.--For 
    independent oversight and performance assurance, $14,904,000.
        (5) Office of environment, safety, and health.--For the Office 
    of Environment, Safety, and Health, $113,307,000, to be allocated 
    as follows:
            (A) For environment, safety, and health (defense), 
        $91,307,000.
            (B) For program direction, $22,000,000.
        (6) Worker and community transition assistance.--For worker and 
    community transition assistance, $20,000,000, to be allocated as 
    follows:
            (A) For worker and community transition, $18,000,000.
            (B) For program direction, $2,000,000.
        (7) Office of hearings and appeals.--For the Office of Hearings 
    and Appeals, $2,893,000.
        (8) National security programs administrative support.--For 
    national security programs administrative support, $22,000,000.
    (b) Adjustment.--The amount authorized to be appropriated pursuant 
to subsection (a) is the total of the amounts authorized to be 
appropriated by paragraphs (1) through (8) of that subsection, reduced 
by $10,712,000, of which $10,000,000 is to reflect an offset provided 
by use of prior year balances and $712,000 is to be derived from a 
security charge for reimbursable work.
SEC. 3104. DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION.
    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for privatization initiatives in carrying 
out environmental restoration and waste management activities necessary 
for national security programs in the amount of $153,537,000, to be 
allocated as follows:
        Project 02-PVT-1, Paducah disposal facility, Paducah, Kentucky, 
    $13,329,000.
        Project 02-PVT-2, Portsmouth disposal facility, Portsmouth, 
    Ohio, $2,000,000.
        Project 98-PVT-2, spent nuclear fuel dry storage, Idaho Falls, 
    Idaho, $49,332,000.
        Project 98-PVT-5, environmental management/waste management 
    disposal, Oak Ridge, Tennessee, $26,065,000.
        Project 97-PVT-2, advanced mixed waste treatment project, Idaho 
    Falls, Idaho, $52,000,000.
        Project 97-PVT-3, transuranic waste treatment, Oak Ridge, 
    Tennessee, $10,826,000.

SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for payment to the Nuclear Waste Fund 
established in section 302(c) of the Nuclear Waste Policy Act of 1982 
(42 U.S.C. 10222(c)) in the amount of $280,000,000.

                Subtitle B--Recurring General Provisions

SEC. 3121. REPROGRAMMING.

    (a) In General.--Except as provided in sections 3129 and 3130, 
until the Secretary of Energy submits to the congressional defense 
committees the report referred to in subsection (b) and a period of 30 
days has elapsed after the date on which such committees receive the 
report, the Secretary may not use amounts appropriated pursuant to this 
title for any program--
        (1) in amounts that exceed, in a fiscal year, the amount 
    authorized for that program by this title; or
        (2) which has not been presented to, or requested of, Congress.
    (b) Report.--(1) The report referred to in subsection (a) is a 
report containing a full and complete statement of the action proposed 
to be taken and the facts and circumstances relied upon in support of 
the proposed action.
    (2) In the computation of the 30-day period under subsection (a), 
there shall be excluded any day on which either House of Congress is 
not in session because of an adjournment of more than 3 days to a day 
certain.
    (c) Limitations.--(1) In no event may the total amount of funds 
obligated pursuant to this title exceed the total amount authorized to 
be appropriated by this title.
    (2) Funds appropriated pursuant to this title may not be used for 
an item for which Congress has specifically denied funds.
SEC. 3122. LIMITS ON MINOR CONSTRUCTION PROJECTS.
    (a) Authority.--The Secretary of Energy may carry out any minor 
construction project using operation and maintenance funds, or 
facilities and infrastructure funds, authorized by this title.
    (b) Annual Report.--The Secretary shall submit to the congressional 
defense committees on an annual basis a report on each exercise of the 
authority in subsection (a) during the preceding year. Each report 
shall provide a brief description of each minor construction project 
covered by the report.
    (c) Cost Variation Reports to Congressional Committees.--If, at any 
time during the construction of any minor construction project 
authorized by this title, the estimated cost of the project is revised 
and the revised cost of the project exceeds $5,000,000, the Secretary 
shall immediately submit to the congressional defense committees a 
report explaining the reasons for the cost variation.
    (d) Minor Construction Project Defined.--In this section, the term 
``minor construction project'' means any plant project not specifically 
authorized by law if the approved total estimated cost of the plant 
project does not exceed $5,000,000.

SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

    (a) In General.--(1) Except as provided in paragraph (2), 
construction on a construction project may not be started or additional 
obligations incurred in connection with the project above the total 
estimated cost, whenever the current estimated cost of the construction 
project, authorized by section 3101, 3102, or 3103, or which is in 
support of national security programs of the Department of Energy and 
was authorized by any previous Act, exceeds by more than 25 percent the 
higher of--
        (A) the amount authorized for the project; or
        (B) the amount of the total estimated cost for the project as 
    shown in the most recent budget justification data submitted to 
    Congress.
    (2) An action described in paragraph (1) may be taken if--
        (A) the Secretary of Energy has submitted to the congressional 
    defense committees a report on the actions and the circumstances 
    making such action necessary; and
        (B) a period of 30 days has elapsed after the date on which the 
    report is received by the committees.
    (3) In the computation of the 30-day period under paragraph (2), 
there is excluded any day on which either House of Congress is not in 
session because of an adjournment of more than 3 days to a day certain.
    (b) Exception.--Subsection (a) does not apply to a construction 
project with a current estimated cost of less than $5,000,000.

SEC. 3124. FUND TRANSFER AUTHORITY.

    (a) Transfer to Other Federal Agencies.--The Secretary of Energy 
may transfer funds authorized to be appropriated to the Department of 
Energy pursuant to this title to other Federal agencies for the 
performance of work for which the funds were authorized. Funds so 
transferred may be merged with and be available for the same purposes 
and for the same time period as the authorizations of the Federal 
agency to which the amounts are transferred.
    (b) Transfer Within Department of Energy.--(1) Subject to paragraph 
(2), the Secretary of Energy may transfer funds authorized to be 
appropriated to the Department of Energy pursuant to this title between 
any such authorizations. Amounts of authorizations so transferred may 
be merged with and be available for the same purposes and for the same 
period as the authorization to which the amounts are transferred.
    (2) Not more than 5 percent of any such authorization may be 
transferred between authorizations under paragraph (1). No such 
authorization may be increased or decreased by more than 5 percent by a 
transfer under such paragraph.
    (c) Limitations.--The authority provided by this subsection to 
transfer authorizations--
        (1) may be used only to provide funds for items relating to 
    activities necessary for national security programs that have a 
    higher priority than the items from which the funds are 
    transferred; and
        (2) may not be used to provide funds for an item for which 
    Congress has specifically denied funds.
    (d) Notice to Congress.--The Secretary of Energy shall promptly 
notify the Committees on Armed Services of the Senate and House of 
Representatives of any transfer of funds to or from authorizations 
under this title.
SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.
    (a) Requirement of Conceptual Design.--(1) Subject to paragraph (2) 
and except as provided in paragraph (3), before submitting to Congress 
a request for funds for a construction project that is in support of a 
national security program of the Department of Energy, the Secretary of 
Energy shall complete a conceptual design for that project.
    (2) If the estimated cost of completing a conceptual design for a 
construction project exceeds $3,000,000, the Secretary shall submit to 
Congress a request for funds for the conceptual design before 
submitting a request for funds for the construction project.
    (3) The requirement in paragraph (1) does not apply to a request 
for funds--
        (A) for a minor construction project the total estimated cost 
    of which is less than $5,000,000; or
        (B) for emergency planning, design, and construction activities 
    under section 3126.
    (b) Authority for Construction Design.--(1) Within the amounts 
authorized by this title, the Secretary of Energy may carry out 
construction design (including architectural and engineering services) 
in connection with any proposed construction project if the total 
estimated cost for such design does not exceed $600,000.
    (2) If the total estimated cost for construction design in 
connection with any construction project exceeds $600,000, funds for 
that design must be specifically authorized by law.
SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND CONSTRUCTION 
ACTIVITIES.
    (a) Authority.--The Secretary of Energy may use any funds available 
to the Department of Energy pursuant to an authorization in this title, 
including funds authorized to be appropriated for advance planning, 
engineering, and construction design, and for plant projects, under 
sections 3101, 3102, 3103, and 3104 to perform planning, design, and 
construction activities for any Department of Energy national security 
program construction project that, as determined by the Secretary, must 
proceed expeditiously in order to protect public health and safety, to 
meet the needs of national defense, or to protect property.
    (b) Limitation.--The Secretary may not exercise the authority under 
subsection (a) in the case of any construction project until the 
Secretary has submitted to the congressional defense committees a 
report on the activities that the Secretary intends to carry out under 
this section and the circumstances making those activities necessary.
    (c) Specific Authority.--The requirement of section 3125(b)(2) does 
not apply to emergency planning, design, and construction activities 
conducted under this section.
SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS OF THE 
DEPARTMENT OF ENERGY.
    Subject to the provisions of appropriation Acts and section 3121, 
amounts appropriated pursuant to this title for management and support 
activities and for general plant projects are available for use, when 
necessary, in connection with all national security programs of the 
Department of Energy.

SEC. 3128. AVAILABILITY OF FUNDS.

    (a) In General.--Except as provided in subsection (b), when so 
specified in an appropriations Act, amounts appropriated for operation 
and maintenance or for plant projects may remain available until 
expended.
    (b) Exception for Program Direction Funds.--Amounts appropriated 
for program direction pursuant to an authorization of appropriations in 
subtitle A shall remain available to be expended only until the end of 
fiscal year 2003.
SEC. 3129. TRANSFER OF DEFENSE ENVIRONMENTAL MANAGEMENT FUNDS.
    (a) Transfer Authority for Defense Environmental Management 
Funds.--The Secretary of Energy shall provide the manager of each field 
office of the Department of Energy with the authority to transfer 
defense environmental management funds from a program or project under 
the jurisdiction of that office to another such program or project.
    (b) Limitations.--(1) Not more than three transfers may be made to 
or from any program or project under subsection (a) in a fiscal year.
    (2) The amount transferred to or from a program or project in any 
one transfer under subsection (a) may not exceed $5,000,000.
    (3) A transfer may not be carried out by a manager of a field 
office under subsection (a) unless the manager determines that the 
transfer is necessary--
        (A) to address a risk to health, safety, or the environment; or
        (B) to assure the most efficient use of defense environmental 
    management funds at the field office.
    (4) Funds transferred pursuant to subsection (a) may not be used 
for an item for which Congress has specifically denied funds or for a 
new program or project that has not been authorized by Congress.
    (c) Exemption From Reprogramming Requirements.--The requirements of 
section 3121 shall not apply to transfers of funds pursuant to 
subsection (a).
    (d) Notification.--The Secretary, acting through the Assistant 
Secretary of Energy for Environmental Management, shall notify Congress 
of any transfer of funds pursuant to subsection (a) not later than 30 
days after such transfer occurs.
    (e) Definitions.--In this section:
        (1) The term ``program or project'' means, with respect to a 
    field office of the Department of Energy, any of the following:
            (A) A program referred to or a project listed in paragraph 
        (2) or (3) of section 3102(a).
            (B) A program or project not described in subparagraph (A) 
        that is for environmental restoration or waste management 
        activities necessary for national security programs of the 
        Department, that is being carried out by that office, and for 
        which defense environmental management funds have been 
        authorized and appropriated before the date of the enactment of 
        this Act.
        (2) The term ``defense environmental management funds'' means 
    funds appropriated to the Department of Energy pursuant to an 
    authorization for carrying out environmental restoration and waste 
    management activities necessary for national security programs.
    (f) Duration of Authority.--The managers of the field offices of 
the Department may exercise the authority provided under subsection (a) 
during the period beginning on October 1, 2001, and ending on September 
30, 2002.

SEC. 3130. TRANSFER OF WEAPONS ACTIVITIES FUNDS.

    (a) Transfer Authority for Weapons Activities Funds.--The Secretary 
of Energy shall provide the manager of each field office of the 
Department of Energy with the authority to transfer weapons activities 
funds from a program or project under the jurisdiction of that office 
to another such program or project.
    (b) Limitations.--(1) Not more than one transfer may be made to or 
from any program or project under subsection (a) in a fiscal year.
    (2) The amount transferred to or from a program or project in any 
one transfer under subsection (a) may not exceed $5,000,000.
    (3) A transfer may not be carried out by a manager of a field 
office under subsection (a) unless the manager determines that the 
transfer--
        (A) is necessary to address a risk to health, safety, or the 
    environment; or
        (B) will result in cost savings and efficiencies.
    (4) A transfer may not be carried out by a manager of a field 
office under subsection (a) to cover a cost overrun or scheduling delay 
for any program or project.
    (5) Funds transferred pursuant to subsection (a) may not be used 
for an item for which Congress has specifically denied funds or for a 
new program or project that has not been authorized by Congress.
    (c) Exemption From Reprogramming Requirements.--The requirements of 
section 3121 shall not apply to transfers of funds pursuant to 
subsection (a).
    (d) Notification.--The Secretary, acting through the Administrator 
for Nuclear Security, shall notify Congress of any transfer of funds 
pursuant to subsection (a) not later than 30 days after such transfer 
occurs.
    (e) Definitions.--In this section:
        (1) The term ``program or project'' means, with respect to a 
    field office of the Department of Energy, any of the following:
            (A) A program referred to or a project listed in section 
        3101(1).
            (B) A program or project not described in subparagraph (A) 
        that is for weapons activities necessary for national security 
        programs of the Department, that is being carried out by that 
        office, and for which weapons activities funds have been 
        authorized and appropriated before the date of the enactment of 
        this Act.
        (2) The term ``weapons activities funds'' means funds 
    appropriated to the Department of Energy pursuant to an 
    authorization for carrying out weapons activities necessary for 
    national security programs.
    (f) Duration of Authority.--The managers of the field offices of 
the Department may exercise the authority provided under subsection (a) 
during the period beginning on October 1, 2001, and ending on September 
30, 2002.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

SEC. 3131. CONSOLIDATION OF NUCLEAR CITIES INITIATIVE PROGRAM WITH 
INITIATIVES FOR PROLIFERATION PREVENTION PROGRAM.
    The Administrator for Nuclear Security shall consolidate the 
Nuclear Cities Initiative program with the Initiatives for 
Proliferation Prevention program under a single management line.

SEC. 3132. NUCLEAR CITIES INITIATIVE.

    (a) Limitations on Use of Funds.--No funds authorized to be 
appropriated for the Nuclear Cities Initiative after fiscal year 2001 
may be obligated or expended with respect to more than three nuclear 
cities, or more than two serial production facilities in Russia, until 
30 days after the Administrator for Nuclear Security submits to the 
appropriate congressional committees an agreement signed by the Russian 
Federation on access under the Nuclear Cities Initiative to the ten 
closed nuclear cities and four serial production facilities of the 
Nuclear Cities Initiative.
    (b) Annual Report.--(1) Not later than the first Monday in February 
each year, the Administrator shall submit to the appropriate 
congressional committees a report on financial and programmatic 
activities with respect to the Nuclear Cities Initiative during the 
preceding fiscal year.
    (2) Each report shall include, for the fiscal year covered by such 
report, the following:
        (A) A list of each project that is or was completed, ongoing, 
    or planned under the Nuclear Cities Initiative during such fiscal 
    year.
        (B) For each project listed under subparagraph (A), 
    information, current as of the end of such fiscal year, on the 
    following:
            (i) The purpose of such project.
            (ii) The budget for such project.
            (iii) The life-cycle costs of such project.
            (iv) Participants in such project.
            (v) The commercial viability of such project.
            (vi) The number of jobs in Russia created or to be created 
        by or through such project.
            (vii) Of the total amount of funds spent on such project, 
        the percentage of such amount spent in the United States and 
        the percentage of such amount spent overseas.
        (C) A certification by the Administrator that each project 
    listed under subparagraph (A) did contribute, is contributing, or 
    will contribute, as the case may be, to the downsizing of the 
    nuclear weapons complex in Russia, together with a description of 
    the evidence utilized to make such certification.
    (c) Definitions.--In this section:
        (1) Appropriate congressional committees.--The term 
    ``appropriate congressional committees'' means the Committee on 
    Armed Services of the Senate and the Committee on Armed Services of 
    the House of Representatives.
        (2) Nuclear cities initiative.--The term ``Nuclear Cities 
    Initiative'' means the initiative arising pursuant to the March 
    1998 discussion between the Vice President of the United States and 
    the Prime Minister of the Russian Federation and between the 
    Secretary of Energy of the United States and the Minister of Atomic 
    Energy of the Russian Federation.
        (3) Nuclear city.--The term ``nuclear city'' means any of the 
    nuclear cities within the complex of the Russia Ministry of Atomic 
    Energy (MINATOM) as follows:
            (A) Sarov (Arzamas-16 and Avangard).
            (B) Zarechnyy (Penza-19).
            (C) Novoural'sk (Sverdlovsk-44).
            (D) Lesnoy (Sverdlovsk-45).
            (E) Ozersk (Chelyabinsk-65).
            (F) Snezhinsk (Chelyabinsk-70).
            (G) Trechgornyy (Zlatoust-36).
            (H) Seversk (Tomsk-7).
            (I) Zhelenznogorsk (Krasnoyarsk-26).
            (J) Zelenogorsk (Krasnoyarsk-45).
SEC. 3133. LIMITATION ON AVAILABILITY OF FUNDS FOR WEAPONS ACTIVITIES 
FOR FACILITIES AND INFRASTRUCTURE.
    Not more than 50 percent of the funds authorized to be appropriated 
by section 3101(a)(1)(D) for the National Nuclear Security 
Administration for weapons activities for facilities and infrastructure 
may be obligated or expended until the Administrator for Nuclear 
Security submits to the congressional defense committees a report 
setting forth the following:
        (1) Criteria for the selection of projects to be carried out 
    using such funds.
        (2) Criteria for establishing priorities among projects so 
    selected.
        (3) A list of the projects so selected, including the priority 
    assigned to each such project.
SEC. 3134. LIMITATION ON AVAILABILITY OF FUNDS FOR OTHER DEFENSE 
ACTIVITIES FOR NATIONAL SECURITY PROGRAMS ADMINISTRATIVE SUPPORT.
    Not more than $5,000,000 of the funds authorized to be appropriated 
by section 3103(a)(8) for other defense activities for national 
security programs administrative support may be obligated or expended 
until the latest of the following:
        (1) The date on which the Secretary of Energy submits to 
    Congress a report setting forth the purposes for which the 
    Secretary plans to obligate and expend such funds.
        (2) The date on which the Administrator for Nuclear Security 
    submits to Congress the future-years nuclear security program for 
    fiscal year 2002 required by section 3253 of the National Nuclear 
    Security Administration Act (title XXXII of Public Law 106-65; 50 
    U.S.C. 2453).
        (3) The date on which the Secretary of Energy submits to 
    Congress the report on the feasibility of using an energy savings 
    performance contract mechanism to offset, or possibly cover, the 
    cost of a new office building for the Albuquerque operations office 
    of the Department of Energy, as completed by the Secretary in 
    accordance with the directive contained in Senate Report 106-50 
    (the report of the Committee on Armed Services of the Senate to 
    accompany the bill S. 1059 of the One Hundred Sixth Congress, 
    relating to the National Defense Authorization Act for Fiscal Year 
    2000; p. 470).
SEC. 3135. TERMINATION DATE OF OFFICE OF RIVER PROTECTION, RICHLAND, 
WASHINGTON.
    Subsection (f) of section 3139 of the Strom Thurmond National 
Defense Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 
Stat. 2250), as amended by section 3141 of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (as enacted into law by 
Public Law 106-398; 114 Stat. 1654A-462), is amended to read as 
follows:
    ``(f) Termination.--(1) The Office shall terminate on the later to 
occur of the following dates:
        ``(A) September 30, 2010.
        ``(B) The date on which the Assistant Secretary of Energy for 
    Environmental Management determines, in consultation with the head 
    of the Office, that continuation of the Office is no longer 
    necessary to carry out the responsibilities of the Department of 
    Energy under the Tri-Party Agreement.
    ``(2) The Assistant Secretary shall notify, in writing, the 
committees referred to in subsection (d) of a determination under 
paragraph (1).
    ``(3) In this subsection, the term `Tri-Party Agreement' means the 
Hanford Federal Facility Agreement and Consent Order entered into among 
the Department of Energy, the Environmental Protection Agency, and the 
State of Washington Department of Ecology.''.
SEC. 3136. SUPPORT FOR PUBLIC EDUCATION IN THE VICINITY OF LOS ALAMOS 
NATIONAL LABORATORY, NEW MEXICO.
    (a) Support for Fiscal 2002.--From amounts appropriated or 
otherwise made available to the Secretary of Energy by this title--
        (1) $6,900,000 shall be available for payment by the Secretary 
    for fiscal year 2002 to the Los Alamos National Laboratory 
    Foundation, a not-for-profit foundation chartered in accordance 
    with section 3167(a) of the National Defense Authorization Act for 
    Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2052); and
        (2) $8,000,000 shall be available for extension of the contract 
    between the Department of Energy and the Los Alamos Public Schools 
    through fiscal year 2002.
    (b) Support for Fiscal 2003.--Subject to the availability of 
appropriations, the Secretary is authorized to--
        (1) make payment for fiscal year 2003 similar to the payment 
    referred to in subsection (a)(1); and
        (2) provide for a contract extension through fiscal year 2003 
    similar to the contract extension referred to in subsection (a)(2).
    (c) Use of Funds.--The foundation referred to in subsection (a)(1) 
shall--
        (1) utilize funds provided under this section as a contribution 
    to the endowment fund for the foundation; and
        (2) use the income generated from investments in the endowment 
    fund that are attributable to payments made under this section to 
    fund programs to support the educational needs of children in 
    public schools in the vicinity of Los Alamos National Laboratory.
    (d) Report.--Not later than March 1, 2002, the Secretary shall 
submit to the congressional defense committees a report setting forth 
the following:
        (1) An evaluation of the requirements for continued payments 
    beyond fiscal year 2003 into the endowment fund of the foundation 
    referred to in subsection (a) to enable the foundation to meet the 
    goals of the Department to support the recruitment and retention of 
    staff at the Los Alamos National Laboratory.
        (2) The Secretary's recommendations for any further support 
    beyond fiscal year 2003 directly to the Los Alamos Public Schools.
SEC. 3137. REPORTS ON ACHIEVEMENT OF MILESTONES FOR NATIONAL IGNITION 
FACILITY.
    (a) Notification of Achievement.--The Administrator for Nuclear 
Security shall notify the congressional defense committees when the 
National Ignition Facility (NIF), Lawrence Livermore National 
Laboratory, Livermore, California, achieves each Level I milestone and 
Level II milestone for the National Ignition Facility.
    (b) Report on Failure of Timely Achievement.--Not later than 10 
days after the date on which the National Ignition Facility fails to 
achieve a Level I milestone or Level II milestone for the National 
Ignition Facility in a timely manner, the Administrator shall submit to 
the congressional defense committees a report on such failure. Each 
such report shall include--
        (1) a statement of the failure of the National Ignition 
    Facility to achieve the milestone concerned in a timely manner;
        (2) an explanation for the failure; and
        (3) either--
            (A) an estimate when that milestone will be achieved; or
            (B) if that milestone will not be achieved--
                (i) a statement that that milestone will not be 
            achieved;
                (ii) an explanation why that milestone will not be 
            achieved; and
                (iii) the implications for the overall scope, schedule, 
            and budget of the National Ignition Facility project of not 
            achieving that milestone.
    (c) Milestones.--For purposes of this section, the Level I 
milestones and Level II milestones for the National Ignition Facility 
are as established in the August 2000 revised National Ignition 
Facility baseline document.
    (d) Termination.--The requirements of this section shall terminate 
on September 30, 2004.

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

SEC. 3141. ESTABLISHMENT OF PRINCIPAL DEPUTY ADMINISTRATOR OF NATIONAL 
NUCLEAR SECURITY ADMINISTRATION.
    (a) Establishment.--Subtitle A of the National Nuclear Security 
Administration Act (title XXXII of Public Law 106-65; 50 U.S.C. 2401 et 
seq.) is amended--
        (1) by redesignating section 3213 as section 3220 and 
    transferring such section, as so redesignated, to the end of that 
    subtitle; and
        (2) by inserting after section 3212 the following new section 
    3213:
``SEC. 3213. PRINCIPAL DEPUTY ADMINISTRATOR FOR NUCLEAR SECURITY.
    ``(a) In General.--(1) There is in the Administration a Principal 
Deputy Administrator, who is appointed by the President, by and with 
the advice and consent of the Senate.
    ``(2) The Principal Deputy Administrator shall be appointed from 
among persons who have extensive background in organizational 
management and are well qualified to manage the nuclear weapons, 
nonproliferation, and materials disposition programs of the 
Administration in a manner that advances and protects the national 
security of the United States.
    ``(b) Duties.--Subject to the authority, direction, and control of 
the Administrator, the Principal Deputy Administrator shall perform 
such duties and exercise such powers as the Administrator may 
prescribe, including the coordination of activities among the elements 
of the Administration. The Principal Deputy Administrator shall act 
for, and exercise the powers of, the Administrator when the 
Administrator is disabled or the position of Administrator is 
vacant.''.
    (b) Pay Level.--Section 5315 of title 5, United States Code, is 
amended--
        (1) by inserting before the item relating to Deputy 
    Administrators of the National Nuclear Security Administration the 
    following new item:
        ``Principal Deputy Administrator, National Nuclear Security 
    Administration.''; and
        (2) by inserting ``Additional'' before ``Deputy Administrators 
    of the National Nuclear Security Administration''.
    (c) Clerical Amendments.--The table of contents preceding section 
3201 of such Act is amended--
        (1) by striking the item relating to section 3213 and inserting 
    the following:
``Sec. 3213. Principal Deputy Administrator for National Security.'';

    and
        (2) by inserting after the item relating to section 3218 the 
    following new items:
``Sec. 3219. Scope of authority of Secretary of Energy to modify 
organization of Administration.
``Sec. 3220. Status of Administration and contractor personnel within 
Department of Energy.''.
SEC. 3142. ELIMINATION OF REQUIREMENT THAT NATIONAL SECURITY 
LABORATORIES AND NUCLEAR WEAPONS PRODUCTION FACILITIES REPORT TO DEPUTY 
ADMINISTRATOR FOR DEFENSE PROGRAMS.
    Section 3214 of the National Nuclear Security Administration Act 
(title XXXII of Public Law 106-65; 113 Stat. 959; 50 U.S.C. 2404) is 
amended by striking subsection (c).
SEC. 3143. REPEAL OF DUPLICATIVE PROVISION RELATING TO DUAL OFFICE 
HOLDING BY PERSONNEL OF NATIONAL NUCLEAR SECURITY ADMINISTRATION.
    Section 3245 of the National Nuclear Security Administration Act 
(50 U.S.C. 2443), as added by section 315 of the Energy and Water 
Development Appropriations Act, 2001 (as enacted into law by Public Law 
106-377; 114 Stat. 1441B-23), is repealed.
SEC. 3144. REPORT ON ADEQUACY OF FEDERAL PAY AND HIRING AUTHORITIES TO 
MEET PERSONNEL REQUIREMENTS OF NATIONAL NUCLEAR SECURITY 
ADMINISTRATION.
    (a) Report Required.--Not later than March 1, 2002, the 
Administrator for Nuclear Security shall submit to the congressional 
committees specified in subsection (b) a report on the adequacy of 
Federal pay and hiring authorities to meet the personnel requirements 
of the National Nuclear Security Administration. The report shall 
include the following:
        (1) A description of the Federal pay and hiring authorities 
    available to the Administrator.
        (2) A description of the Federal pay and hiring authorities 
    that are not available to the Administrator, and an explanation why 
    such authorities are not available.
        (3) If any Federal pay and hiring authorities referred to in 
    paragraph (1) are not being used, an explanation why such 
    authorities are not being used.
        (4) An assessment of whether or not existing Federal pay and 
    hiring authorities are adequate or inadequate to meet the personnel 
    requirements of the Administration.
        (5) Any recommendations that the Administrator considers 
    appropriate for modifications or enhancements of existing Federal 
    pay and hiring authorities in order to meet the personnel 
    requirements of the Administration.
        (6) Any recommendations that the Administrator considers 
    appropriate for new Federal pay and hiring authorities in order to 
    meet the personnel requirements of the Administration.
        (7) A plan for structuring the pay and hiring authorities with 
    respect to the Federal workforce of the Administration so to ensure 
    that such workforce meets applicable requirements of the most 
    current five-year program plan for the Administration.
    (b) Specified Committees.--The congressional committees referred to 
in subsection (a) are the following:
        (1) The Committee on Armed Services and the Committee on 
    Governmental Affairs of the Senate.
        (2) The Committee on Armed Services and the Committee on 
    Government Reform of the House of Representatives.

                       Subtitle E--Other Matters

SEC. 3151. IMPROVEMENTS TO ENERGY EMPLOYEES OCCUPATIONAL ILLNESS 
COMPENSATION PROGRAM.
    (a) Amendments to Energy Employees Program.--The Energy Employees 
Occupational Illness Compensation Program Act of 2000 (title XXXVI of 
the Floyd D. Spence National Defense Authorization Act for Fiscal Year 
2001 (as enacted into law by Public Law 106-398; 114 Stat. 1654A-394); 
42 U.S.C. 7384 et seq.) is amended as follows:
        (1) Certain leukemia as specified cancer.--Section 3621(17) 
    (114 Stat. 1654A-502; 42 U.S.C. 7384l(17)), as amended by section 
    2403 of the Supplemental Appropriations Act, 2001 (Public Law 107-
    20; 115 Stat. 175), is further amended by adding at the end the 
    following new subparagraph:
            ``(D) Leukemia (other than chronic lymphocytic leukemia), 
        if initial occupational exposure occurred before 21 years of 
        age and onset occurred more than two years after initial 
        occupational exposure.''.
        (2) Additional members of special exposure cohort.--Section 
    3626(b) (114 Stat. 1654A-505; 42 U.S.C. 7384q(b)) is amended in the 
    matter preceding paragraph (1) by inserting after ``Department of 
    Energy facility'' the following: ``, or at an atomic weapons 
    employer facility,''.
        (3) Establishment of chronic silicosis.--Section 3627(e)(2)(A) 
    (114 Stat. 1654A-506; 42 U.S.C. 7384r(e)(2)(A)) is amended by 
    striking ``category 1/1'' and inserting ``category 1/0''.
        (4) Survivors.--
            (A) Section 3628(e) (114 Stat. 1654A-506; 42 U.S.C. 
        7384s(e)) is amended to read as follows:
    ``(e) Payments in the Case of Deceased Persons.--(1) In the case of 
a covered employee who is deceased at the time of payment of 
compensation under this section, whether or not the death is the result 
of the covered employee's occupational illness, such payment may be 
made only as follows:
        ``(A) If the covered employee is survived by a spouse who is 
    living at the time of payment, such payment shall be made to such 
    surviving spouse.
        ``(B) If there is no surviving spouse described in subparagraph 
    (A), such payment shall be made in equal shares to all children of 
    the covered employee who are living at the time of payment.
        ``(C) If there is no surviving spouse described in subparagraph 
    (A) and if there are no children described in subparagraph (B), 
    such payment shall be made in equal shares to the parents of the 
    covered employee who are living at the time of payment.
        ``(D) If there is no surviving spouse described in subparagraph 
    (A), and if there are no children described in subparagraph (B) or 
    parents described in subparagraph (C), such payment shall be made 
    in equal shares to all grandchildren of the covered employee who 
    are living at the time of payment.
        ``(E) If there is no surviving spouse described in subparagraph 
    (A), and if there are no children described in subparagraph (B), 
    parents described in subparagraph (C), or grandchildren described 
    in subparagraph (D), then such payment shall be made in equal 
    shares to the grandparents of the covered employee who are living 
    at the time of payment.
        ``(F) Notwithstanding the other provisions of this paragraph, 
    if there is--
            ``(i) a surviving spouse described in subparagraph (A); and
            ``(ii) at least one child of the covered employee who is 
        living and a minor at the time of payment and who is not a 
        recognized natural child or adopted child of such surviving 
        spouse,
    then half of such payment shall be made to such surviving spouse, 
    and the other half of such payment shall be made in equal shares to 
    each child of the covered employee who is living and a minor at the 
    time of payment.
    ``(2) If a covered employee eligible for payment dies before filing 
a claim under this title, a survivor of that employee who may receive 
payment under paragraph (1) may file a claim for such payment.
    ``(3) For purposes of this subsection--
        ``(A) the `spouse' of an individual is a wife or husband of 
    that individual who was married to that individual for at least one 
    year immediately before the death of that individual;
        ``(B) a `child' includes a recognized natural child, a 
    stepchild who lived with an individual in a regular parent-child 
    relationship, and an adopted child;
        ``(C) a `parent' includes fathers and mothers through adoption;
        ``(D) a `grandchild' of an individual is a child of a child of 
    that individual; and
        ``(E) a `grandparent' of an individual is a parent of a parent 
    of that individual.''.
            (B) Section 3630(e) (114 Stat. 1654A-507; 42 U.S.C. 
        7384u(e)) is amended to read as follows:
    ``(e) Payments in the Case of Deceased Persons.--(1) In the case of 
a covered employee who is deceased at the time of payment of 
compensation under this section, whether or not the death is the result 
of the covered employee's occupational illness, such payment may be 
made only as follows:
        ``(A) If the covered employee is survived by a spouse who is 
    living at the time of payment, such payment shall be made to such 
    surviving spouse.
        ``(B) If there is no surviving spouse described in subparagraph 
    (A), such payment shall be made in equal shares to all children of 
    the covered employee who are living at the time of payment.
        ``(C) If there is no surviving spouse described in subparagraph 
    (A) and if there are no children described in subparagraph (B), 
    such payment shall be made in equal shares to the parents of the 
    covered employee who are living at the time of payment.
        ``(D) If there is no surviving spouse described in subparagraph 
    (A), and if there are no children described in subparagraph (B) or 
    parents described in subparagraph (C), such payment shall be made 
    in equal shares to all grandchildren of the covered employee who 
    are living at the time of payment.
        ``(E) If there is no surviving spouse described in subparagraph 
    (A), and if there are no children described in subparagraph (B), 
    parents described in subparagraph (C), or grandchildren described 
    in subparagraph (D), then such payment shall be made in equal 
    shares to the grandparents of the covered employee who are living 
    at the time of payment.
        ``(F) Notwithstanding the other provisions of this paragraph, 
    if there is--
            ``(i) a surviving spouse described in subparagraph (A); and
            ``(ii) at least one child of the covered employee who is 
        living and a minor at the time of payment and who is not a 
        recognized natural child or adopted child of such surviving 
        spouse,
    then half of such payment shall be made to such surviving spouse, 
    and the other half of such payment shall be made in equal shares to 
    each child of the covered employee who is living and a minor at the 
    time of payment.
    ``(2) If a covered employee eligible for payment dies before filing 
a claim under this title, a survivor of that employee who may receive 
payment under paragraph (1) may file a claim for such payment.
    ``(3) For purposes of this subsection--
        ``(A) the `spouse' of an individual is a wife or husband of 
    that individual who was married to that individual for at least one 
    year immediately before the death of that individual;
        ``(B) a `child' includes a recognized natural child, a 
    stepchild who lived with an individual in a regular parent-child 
    relationship, and an adopted child;
        ``(C) a `parent' includes fathers and mothers through adoption;
        ``(D) a `grandchild' of an individual is a child of a child of 
    that individual; and
        ``(E) a `grandparent' of an individual is a parent of a parent 
    of that individual.''.
            (C) Paragraph (18) of section 3621 (114 Stat. 1654A-502; 42 
        U.S.C. 7384l) is repealed.
            (D) The amendments made by this paragraph shall take effect 
        on July 1, 2001.
        (5) Election of remedies.--Section 3645 (114 Stat. 1654A-510; 
    42 U.S.C. 7385d) is amended by amending subsections (a) through (d) 
    to read as follows:
    ``(a) Effect of Tort Cases Filed Before Enactment of Original 
Law.--(1) Except as provided in paragraph (2), if an otherwise eligible 
individual filed a tort case specified in subsection (d) before October 
30, 2000, such individual shall be eligible for compensation and 
benefits under subtitle B.
    ``(2) If such tort case remained pending as of the date of the 
enactment of the National Defense Authorization Act for Fiscal Year 
2002, and such individual does not dismiss such tort case before 
December 31, 2003, such individual shall not be eligible for such 
compensation or benefits.
    ``(b) Effect of Tort Cases Filed Between Enactment of Original Law 
and Enactment of 2001 Amendments.--(1) Except as provided in paragraph 
(2), if an otherwise eligible individual filed a tort case specified in 
subsection (d) during the period beginning on October 30, 2000, and 
ending on the date of the enactment of the National Defense 
Authorization Act for Fiscal Year 2002, such individual shall not be 
eligible for such compensation or benefits.
    ``(2) If such individual dismisses such tort case on or before the 
last permissible date specified in paragraph (3), such individual shall 
be eligible for such compensation or benefits.
    ``(3) The last permissible date referred to in paragraph (2) is the 
later of the following dates:
        ``(A) April 30, 2003.
        ``(B) The date that is 30 months after the date the individual 
    first becomes aware that an illness covered by subtitle B of a 
    covered employee may be connected to the exposure of the covered 
    employee in the performance of duty under section 3623.
    ``(c) Effect of Tort Cases Filed After Enactment of 2001 
Amendments.--(1) If an otherwise eligible individual files a tort case 
specified in subsection (d) after the date of the enactment of the 
National Defense Authorization Act for Fiscal Year 2002, such 
individual shall not be eligible for such compensation or benefits if a 
final court decision is entered against such individual in such tort 
case.
    ``(2) If such a final court decision is not entered, such 
individual shall nonetheless not be eligible for such compensation or 
benefits, except as follows: If such individual dismisses such tort 
case on or before the last permissible date specified in paragraph (3), 
such individual shall be eligible for such compensation and benefits.
    ``(3) The last permissible date referred to in paragraph (2) is the 
later of the following dates:
        ``(A) April 30, 2003.
        ``(B) The date that is 30 months after the date the individual 
    first becomes aware that an illness covered by subtitle B of a 
    covered employee may be connected to the exposure of the covered 
    employee in the performance of duty under section 3623.
    ``(d) Covered Tort Cases.--A tort case specified in this subsection 
is a tort case alleging a claim referred to in section 3643 against a 
beryllium vendor or atomic weapons employer.''.
        (6) Attorney fees.--Section 3648 (114 Stat. 1654A-511; 42 
    U.S.C. 7385g) is amended--
            (A) in subsection (a), by inserting after ``the claim of an 
        individual'' the following: ``for payment of lump-sum 
        compensation'';
            (B) in subsection (b)(1), by inserting after ``initial 
        claim'' the following: ``for payment of lump-sum 
        compensation'';
            (C) in subsection (b)(2), by striking ``with respect to any 
        claim'' and all that follows through the period at the end and 
        inserting ``with respect to objections to a recommended 
        decision denying payment of lump-sum compensation.'';
            (D) by redesignating subsection (c) as subsection (d); and
            (E) by inserting after subsection (b) the following new 
        subsection (c):
    ``(c) Inapplicability to Other Services.--This section shall not 
apply with respect to services rendered that are not in connection with 
such a claim for payment of lump-sum compensation.''.
    (b) Study of Residual Contamination of Facilities.--(1) The 
National Institute for Occupational Safety and Health shall, with the 
cooperation of the Department of Energy and the Department of Labor, 
carry out a study on the following matters:
        (A) Whether or not significant contamination remained in any 
    atomic weapons employer facility or facility of a beryllium vendor 
    after such facility discontinued activities relating to the 
    production of nuclear weapons.
        (B) If so, whether or not such contamination could have caused 
    or substantially contributed to the cancer of a covered employee 
    with cancer or a covered beryllium illness, as the case may be.
    (2)(A) The National Institute for Occupational Safety and Health 
shall submit to the applicable congressional committees the following 
reports:
        (i) Not later than 180 days after the date of the enactment of 
    this Act, a report on the progress made as of the date of the 
    report on the study required by paragraph (1).
        (ii) Not later than one year after the date of the enactment of 
    this Act, a final report on the study required by paragraph (1).
    (B) In this paragraph, the term ``applicable congressional 
committees'' means--
        (i) the Committee on Armed Services, Committee on 
    Appropriations, Committee on the Judiciary, and Committee on 
    Health, Education, Labor, and Pensions of the Senate; and
        (ii) the Committee on Armed Services, Committee on 
    Appropriations, Committee on the Judiciary, and Committee on 
    Education and the Workforce of the House of Representatives.
    (3) Amounts for the study under paragraph (1) shall be derived from 
amounts authorized to be appropriated by section 3614(a) of the Energy 
Employees Occupational Illness Compensation Program Act of 2000 (114 
Stat. 1654A-498).
    (4) In this subsection:
        (A) The terms ``atomic weapons employer facility'', ``beryllium 
    vendor'', ``covered employee with cancer'', and ``covered beryllium 
    illness'' have the meanings given those terms in section 3621 of 
    the Energy Employees Occupational Illness Compensation Program Act 
    of 2000 (114 Stat. 1654A-498; 42 U.S.C. 7384l).
        (B) The term ``contamination'' means the presence of any--
            (i) material that emitted radiation and was used in the 
        production of an atomic weapon, excluding uranium mining and 
        milling; or
            (ii) beryllium dust, particles, or vapor,
    exposure to which could cause or substantially contribute to the 
    cancer of a covered employee with cancer or a covered beryllium 
    illness, as the case may be.
SEC. 3152. DEPARTMENT OF ENERGY COUNTERINTELLIGENCE POLYGRAPH PROGRAM.
    (a) New Counterintelligence Polygraph Program Required.--The 
Secretary of Energy shall carry out, under regulations prescribed under 
this section, a new counterintelligence polygraph program for the 
Department of Energy. The purpose of the new program is to minimize the 
potential for release or disclosure of classified data, materials, or 
information.
    (b) Authorities and Limitations.--(1) The Secretary shall prescribe 
regulations for the new counterintelligence polygraph program required 
by subsection (a) in accordance with the provisions of subchapter II of 
chapter 5 of title 5, United States Code (commonly referred to as the 
Administrative Procedures Act).
    (2) In prescribing regulations for the new program, the Secretary 
shall take into account the results of the Polygraph Review.
    (3) Not later than six months after obtaining the results of the 
Polygraph Review, the Secretary shall issue a notice of proposed 
rulemaking for the new program.
    (c) Repeal of Existing Polygraph Program.--Effective 30 days after 
the Secretary submits to the congressional defense committees the 
Secretary's certification that the final rule for the new 
counterintelligence polygraph program required by subsection (a) has 
been fully implemented, section 3154 of the Department of Energy 
Facilities Safeguards, Security, and Counterintelligence Enhancement 
Act of 1999 (subtitle D of title XXXI of Public Law 106-65; 42 U.S.C. 
7383h) is repealed.
    (d) Report on Further Enhancement of Personnel Security Program.--
(1) Not later than January 1, 2003, the Administrator for Nuclear 
Security shall submit to Congress a report setting forth the 
recommendations of the Administrator for any legislative action that 
the Administrator considers appropriate in order to enhance the 
personnel security program of the Department of Energy.
    (2) Any recommendations under paragraph (1) regarding the use of 
polygraphs shall take into account the results of the Polygraph Review.
    (e) Polygraph Review Defined.--In this section, the term 
``Polygraph Review'' means the review of the Committee to Review the 
Scientific Evidence on the Polygraph of the National Academy of 
Sciences.
SEC. 3153. ONE-YEAR EXTENSION OF AUTHORITY OF DEPARTMENT OF ENERGY TO 
PAY VOLUNTARY SEPARATION INCENTIVE PAYMENTS.
    (a) In General.--Section 3161(a) of the National Defense 
Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 
942; 5 U.S.C. 5597 note) is amended by striking ``January 1, 2003'' and 
inserting ``January 1, 2004''.
    (b) Construction.--The amendment made by subsection (a) may be 
superseded by another provision of law that takes effect after the date 
of the enactment of this Act, and before January 1, 2004, establishing 
a uniform system for providing voluntary separation incentives 
(including a system for requiring approval of plans by the Office of 
Management and Budget) for employees of the Federal Government.
SEC. 3154. ANNUAL ASSESSMENT AND REPORT ON VULNERABILITY OF DEPARTMENT 
OF ENERGY FACILITIES TO TERRORIST ATTACK.
    (a) In General.--Part C of title VI of the Department of Energy 
Organization Act (42 U.S.C. 7251 et seq.) is amended by adding at the 
end the following new section:

    ``annual assessment and report on vulnerability of facilities to 
                            terrorist attack

    ``Sec. 663. (a) The Secretary shall, on an annual basis, conduct a 
comprehensive assessment of the vulnerability of Department facilities 
to terrorist attack.
    ``(b) Not later than January 31 each year, the Secretary shall 
submit to Congress a report on the assessment conducted under 
subsection (a) during the preceding year. Each report shall include the 
results of the assessment covered by such report, together with such 
findings and recommendations as the Secretary considers appropriate.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
that Act is amended by inserting after the item relating to section 662 
the following new item:

``Sec. 663. Annual assessment and report on vulnerability of facilities 
to terrorist attack.''.

SEC. 3155. DISPOSITION OF SURPLUS DEFENSE PLUTONIUM AT SAVANNAH RIVER 
SITE, AIKEN, SOUTH CAROLINA.
    (a) Consultation Required.--The Secretary of Energy shall consult 
with the Governor of the State of South Carolina regarding any 
decisions or plans of the Secretary related to the disposition of 
surplus defense plutonium and defense plutonium materials located at 
the Savannah River Site, Aiken, South Carolina.
    (b) Notice Required.--For each shipment of defense plutonium or 
defense plutonium materials to the Savannah River Site, the Secretary 
shall, not less than 30 days before the commencement of such shipment, 
submit to the congressional defense committees a report providing 
notice of such shipment.
    (c) Plan for Disposition.--The Secretary shall prepare a plan for 
disposal of the surplus defense plutonium and defense plutonium 
materials currently located at the Savannah River Site and for disposal 
of defense plutonium and defense plutonium materials to be shipped to 
the Savannah River Site in the future. The plan shall include the 
following:
        (1) A review of each option considered for such disposal.
        (2) An identification of the preferred option for such 
    disposal.
        (3) With respect to the facilities for such disposal that are 
    required by the Department of Energy's Record of Decision for the 
    Storage and Disposition of Weapons-Usable Fissile Materials Final 
    Programmatic Environmental Impact Statement dated January 14, 
    1997--
            (A) a statement of the cost of construction and operation 
        of such facilities;
            (B) a schedule for the expeditious construction of such 
        facilities, including milestones; and
            (C) a firm schedule for funding the cost of such 
        facilities.
        (4) A specification of the means by which all such defense 
    plutonium and defense plutonium materials will be removed in a 
    timely manner from the Savannah River Site for storage or disposal 
    elsewhere.
    (d) Plan for Alternative Disposition.--If the Secretary determines 
not to proceed at the Savannah River Site with construction of the 
plutonium immobilization plant, or with the mixed oxide fuel 
fabrication facility, the Secretary shall prepare a plan that 
identifies a disposition path for all defense plutonium and defense 
plutonium materials that would otherwise have been disposed of at such 
plant or such facility, as applicable.
    (e) Submission of Plans.--Not later than February 1, 2002, the 
Secretary shall submit to Congress the plan required by subsection (c) 
(and the plan prepared under subsection (d), if applicable).
    (f) Limitation on Plutonium Shipments.--If the Secretary does not 
submit to Congress the plan required by subsection (c) (and the plan 
prepared under subsection (d), if applicable) by February 1, 2002, the 
Secretary shall be prohibited from shipping defense plutonium or 
defense plutonium materials to the Savannah River Site during the 
period beginning on February 1, 2002, and ending on the date on which 
such plans are submitted to Congress.
    (g) Rule of Construction.--Nothing in this section may be construed 
to prohibit or limit the Secretary from shipping defense plutonium or 
defense plutonium materials to sites other than the Savannah River Site 
during the period referred to in subsection (f) or any other period.
    (h) Annual Report on Funding for Fissile Materials Disposition 
Activities.--The Secretary shall include with the budget justification 
materials submitted to Congress in support of the Department of Energy 
budget for each fiscal year (as submitted with the budget of the 
President under section 1105(a) of title 31, United States Code) a 
report setting forth the extent to which amounts requested for the 
Department for such fiscal year for fissile materials disposition 
activities will enable the Department to meet commitments for the 
disposition of surplus defense plutonium and defense plutonium 
materials located at the Savannah River Site, and for any other fissile 
materials disposition activities, in such fiscal year.
SEC. 3156. MODIFICATION OF DATE OF REPORT OF PANEL TO ASSESS THE 
RELIABILITY, SAFETY, AND SECURITY OF THE UNITED STATES NUCLEAR 
STOCKPILE.
    Section 3159(d) of the Strom Thurmond National Defense 
Authorization Act for Fiscal Year 1999 (Public Law 105-261; 42 U.S.C. 
2121 note) is amended by striking ``of each year, beginning with 
1999,'' and inserting ``of 1999 and 2000, and not later than February 
1, 2002,''.

            Subtitle F--Rocky Flats National Wildlife Refuge

SEC. 3171. SHORT TITLE.

    This subtitle may be cited as the ``Rocky Flats National Wildlife 
Refuge Act of 2001''.

SEC. 3172. FINDINGS AND PURPOSES.

    (a) Findings.--Congress finds the following:
        (1) The Federal Government, through the Atomic Energy 
    Commission, acquired the Rocky Flats site in 1951 and began 
    operations there in 1952. The site remains a Department of Energy 
    facility. Since 1992, the mission of the Rocky Flats site has 
    changed from the production of nuclear weapons components to 
    cleanup and closure in a manner that is safe, environmentally and 
    socially responsible, physically secure, and cost-effective.
        (2) The majority of the Rocky Flats site has generally remained 
    undisturbed since its acquisition by the Federal Government.
        (3) The State of Colorado is experiencing increasing growth and 
    development, especially in the metropolitan Denver Front Range area 
    in the vicinity of the Rocky Flats site. That growth and 
    development reduces the amount of open space and thereby diminishes 
    for many metropolitan Denver communities the vistas of the striking 
    Front Range mountain backdrop.
        (4) Some areas of the Rocky Flats site contain contamination 
    and will require further response action. The national interest 
    requires that the ongoing cleanup and closure of the entire site be 
    completed safely, effectively, and without unnecessary delay and 
    that the site thereafter be retained by the United States and 
    managed so as to preserve the value of the site for open space and 
    wildlife habitat.
        (5) The Rocky Flats site provides habitat for many wildlife 
    species, including a number of threatened and endangered species, 
    and is marked by the presence of rare xeric tallgrass prairie plant 
    communities. Establishing the site as a unit of the National 
    Wildlife Refuge System will promote the preservation and 
    enhancement of those resources for present and future generations.
    (b) Purposes.--The purposes of this subtitle are--
        (1) to provide for the establishment of the Rocky Flats site as 
    a national wildlife refuge following cleanup and closure of the 
    site;
        (2) to create a process for public input on the management of 
    the refuge referred to in paragraph (1) before transfer of 
    administrative jurisdiction to the Secretary of the Interior; and
        (3) to ensure that the Rocky Flats site is thoroughly and 
    completely cleaned up.

SEC. 3173. DEFINITIONS.

    In this subtitle:
        (1) CERCLA.--The term ``CERCLA'' means the Comprehensive 
    Environmental Response, Compensation, and Liability Act of 1980 (42 
    U.S.C. 9601 et seq.).
        (2) Cleanup and closure.--The term ``cleanup and closure'' 
    means the response actions for covered substances carried out at 
    Rocky Flats, as required by any of the following:
            (A) The RFCA.
            (B) CERCLA.
            (C) RCRA.
            (D) The Colorado Hazardous Waste Act, 25-15-101 to 25-15-
        327, Colorado Revised Statutes.
        (3) Covered substance.--The term ``covered substance'' means 
    any of the following:
            (A) Any hazardous substance, as such term is defined in 
        paragraph (14) of section 101 of CERCLA (42 U.S.C. 9601).
            (B) Any pollutant or contaminant, as such term is defined 
        in paragraph (33) of such section 101.
            (C) Any petroleum, including crude oil or any fraction 
        thereof which is not otherwise specifically listed or 
        designated as a hazardous substance under subparagraphs (A) 
        through (F) of paragraph (14) of such section 101.
        (4) RCRA.--The term ``RCRA'' means the Solid Waste Disposal Act 
    (42 U.S.C. 6901 et seq.), popularly known as the Resource 
    Conservation and Recovery Act.
        (5) Refuge.--The term ``refuge'' means the Rocky Flats National 
    Wildlife Refuge established under section 3177.
        (6) Response action.--The term ``response action'' means any of 
    the following:
            (A) A response, as such term is defined in paragraph (25) 
        of section 101 of CERCLA (42 U.S.C. 9601).
            (B) A corrective action under RCRA or under the Colorado 
        Hazardous Waste Act, 25-15-101 to 25-15-327, Colorado Revised 
        Statutes.
            (C) Any requirement for institutional controls imposed by 
        any of the laws referred to in subparagraph (A) or (B).
        (7) RFCA.--The term ``RFCA'' means the Rocky Flats Cleanup 
    Agreement, an intergovernmental agreement, dated July 19, 1996, 
    among--
            (A) the Department of Energy;
            (B) the Environmental Protection Agency; and
            (C) the Department of Public Health and Environment of the 
        State of Colorado.
        (8) Rocky flats.--
            (A) In general.--Except as provided in subparagraph (B), 
        the term ``Rocky Flats'' means the Rocky Flats Environmental 
        Technology Site, Colorado, a defense nuclear facility, as 
        depicted on the map titled ``Rocky Flats Environmental 
        Technology Site'', dated October 22, 2001, and available for 
        inspection in the appropriate offices of the United States Fish 
        and Wildlife Service.
            (B) Exclusions.--The term ``Rocky Flats'' does not 
        include--
                (i) the land and facilities of the Department of 
            Energy's National Renewable Energy Laboratory, including 
            the acres retained by the Secretary under section 3174(f); 
            and
                (ii) any land and facilities not within the boundaries 
            depicted on the map referred to in subparagraph (A).
        (9) Secretary.--The term ``Secretary'' means the Secretary of 
    Energy.

SEC. 3174. FUTURE OWNERSHIP AND MANAGEMENT.

    (a) Federal Ownership.--Except as expressly provided in this 
subtitle, all right, title, and interest of the United States, held on 
or acquired after the date of the enactment of this Act, to land or 
interest therein, including minerals, within the boundaries of Rocky 
Flats shall be retained by the United States.
    (b) Lindsay Ranch.--The structures that comprise the former Lindsay 
Ranch homestead site in the Rock Creek Reserve area of the buffer zone, 
as depicted on the map referred to in section 3173(8)(A), shall be 
permanently preserved and maintained in accordance with the National 
Historic Preservation Act (16 U.S.C. 470 et seq.).
    (c) Prohibition on Annexation.--Neither the Secretary nor the 
Secretary of the Interior shall allow the annexation of land within the 
refuge by any unit of local government.
    (d) Prohibition on Through Roads.--Except as provided in subsection 
(e), no public road shall be constructed through Rocky Flats.
    (e) Transportation Right-of-Way.--
        (1) In general.--
            (A) Availability of land.--On submission of an application 
        meeting each of the conditions specified in paragraph (2), the 
        Secretary, in consultation with the Secretary of the Interior, 
        shall make available land along the eastern boundary of Rocky 
        Flats for the sole purpose of transportation improvements along 
        Indiana Street.
            (B) Boundaries.--Land made available under this paragraph 
        may not extend more than 300 feet from the west edge of the 
        Indiana Street right-of-way, as that right-of-way exists as of 
        the date of the enactment of this Act.
            (C) Easement or sale.--Land may be made available under 
        this paragraph by easement or sale to one or more appropriate 
        entities.
            (D) Compliance with applicable law.--Any action under this 
        paragraph shall be taken in compliance with applicable law.
        (2) Conditions.--An application referred to in paragraph (1) 
    meets the conditions specified in this paragraph if the 
    application--
            (A) is submitted by any county, city, or other political 
        subdivision of the State of Colorado; and
            (B) includes documentation demonstrating that the 
        transportation improvements for which the land is to be made 
        available--
                (i) are carried out so as to minimize adverse effects 
            on the management of Rocky Flats as a wildlife refuge; and
                (ii) are included in the regional transportation plan 
            of the metropolitan planning organization designated for 
            the Denver metropolitan area under section 5303 of title 
            49, United States Code.
    (f) Wind Technology Expansion Area.--The Secretary shall retain, 
for the use of the National Renewable Energy Laboratory, the 
approximately 25 acres identified on the map referred to in section 
3173(8)(A) as the ``Wind Technology Expansion Area''.
SEC. 3175. TRANSFER OF MANAGEMENT RESPONSIBILITIES AND JURISDICTION 
OVER ROCKY FLATS.
    (a) Transfer Required.--
        (1) In general.--Subject to the other provisions of this 
    section, the Secretary shall transfer administrative jurisdiction 
    over the property that is to comprise the refuge to the Secretary 
    of the Interior.
        (2) Date of transfer.--The transfer shall be carried out not 
    earlier than the completion certification date, and not later than 
    30 business days after that date.
        (3) Completion certification date.--For purposes of paragraph 
    (2), the completion certification date is the date on which the 
    Administrator of the Environmental Protection Agency certifies to 
    the Secretary and to the Secretary of the Interior that cleanup and 
    closure at Rocky Flats has been completed, except for the operation 
    and maintenance associated with response actions, and that all 
    response actions are operating properly and successfully.
    (b) Memorandum of Understanding.--
        (1) Required elements.--The transfer required by subsection (a) 
    shall be carried out pursuant to a memorandum of understanding 
    between the Secretary and the Secretary of the Interior. The 
    memorandum of understanding shall--
            (A) provide for the division of responsibilities between 
        the Secretary and the Secretary of the Interior necessary to 
        carry out such transfer;
            (B) address the impacts that any property rights referred 
        to in section 3179(a) may have on the management of the refuge, 
        and provide strategies for resolving or mitigating these 
        impacts;
            (C) identify the land the administrative jurisdiction of 
        which is to be transferred to the Secretary of the Interior; 
        and
            (D) specify the allocation of the Federal costs incurred at 
        the refuge after the date of such transfer for any site 
        investigations, response actions, and related activities for 
        covered substances.
        (2) Publication of draft.--Not later than one year after the 
    date of the enactment of this Act, the Secretary and the Secretary 
    of the Interior shall publish in the Federal Register a draft of 
    the memorandum of understanding.
        (3) Finalization and implementation.--
            (A) Not later than 18 months after the date of the 
        enactment of this Act, the Secretary and Secretary of the 
        Interior shall finalize and implement the memorandum of 
        understanding.
            (B) In finalizing the memorandum of understanding, the 
        Secretary and Secretary of the Interior shall specifically 
        identify the land the administrative jurisdiction of which is 
        to be transferred to the Secretary of the Interior and provide 
        for a determination of the exact acreage and legal description 
        of such land by a survey mutually satisfactory to the Secretary 
        and the Secretary of the Interior.
    (c) Transfer of Improvements.--The transfer required by subsection 
(a) may include such buildings or other improvements as the Secretary 
of the Interior has requested in writing for purposes of managing the 
refuge.
    (d) Property Retained for Response Actions.--
        (1) In general.--The transfer required by subsection (a) shall 
    not include, and the Secretary shall retain jurisdiction, 
    authority, and control over, the following real property and 
    facilities at Rocky Flats:
            (A) Any engineered structure, including caps, barrier 
        walls, and monitoring or treatment wells, to be used in 
        carrying out a response action for covered substances.
            (B) Any real property or facility to be used for any other 
        purpose relating to a response action or any other action that 
        is required to be carried out by the Secretary at Rocky Flats.
        (2) Consultation.--The Secretary shall consult with the 
    Secretary of the Interior, the Administrator of the Environmental 
    Protection Agency, and the Governor of the State of Colorado on the 
    identification of all real property and facilities to be retained 
    under this subsection.
    (e) Cost.--The transfer required by subsection (a) shall be 
completed without cost to the Secretary of the Interior.
    (f) No Reduction in Funds.--The transfer required by subsection 
(a), and the memorandum of understanding required by subsection (b), 
shall not result in any reduction in funds available to the Secretary 
for cleanup and closure of Rocky Flats.
SEC. 3176. ADMINISTRATION OF RETAINED PROPERTY; CONTINUATION OF CLEANUP 
AND CLOSURE.
    (a) Administration of Retained Property.--
        (1) In general.--In administering the property retained under 
    section 3175(d), the Secretary shall consult with the Secretary of 
    the Interior to minimize any conflict between--
            (A) the administration by the Secretary of such property 
        for a purpose relating to a response action; and
            (B) the administration by the Secretary of the Interior of 
        land the administrative jurisdiction of which is transferred 
        under section 3175(a).
        (2) Priority in case of conflict.--In the case of any such 
    conflict, the Secretary and the Secretary of the Interior shall 
    ensure that the administration for a purpose relating to a response 
    action, as described in paragraph (1)(A), shall take priority.
        (3) Access.--The Secretary of the Interior shall provide to the 
    Secretary such access and cooperation with respect to the refuge as 
    the Secretary requires to carry out operation and maintenance, 
    future response actions, natural resources restoration, or any 
    other obligations.
    (b) Ongoing Cleanup and Closure.--
        (1) In general.--The Secretary shall carry out to completion 
    cleanup and closure at Rocky Flats.
        (2) Cleanup levels.--The Secretary shall carry out such cleanup 
    and closure to the levels established for soil, water, and other 
    media, following a thorough review by the parties to the RFCA and 
    the public (including the United States Fish and Wildlife Service 
    and other interested government agencies) of the appropriateness of 
    the interim levels in the RFCA.
        (3) No restriction on use of new technologies.--Nothing in this 
    subtitle, and no action taken under this subtitle, restricts the 
    Secretary from using at Rocky Flats any new technology that may 
    become available for remediation of contamination.
    (c) Opportunity To Comment.--The Secretary of the Interior shall 
have the opportunity to comment with respect to any proposed response 
action as to the impacts, if any, of such proposed response action on 
the refuge.
    (d) Rules of Construction.--
        (1) No relief from obligations under other law.--Nothing in 
    this subtitle, and no action taken under this subtitle--
            (A) relieves the Secretary, the Administrator of the 
        Environmental Protection Agency, the Secretary of the Interior, 
        or any other person from any obligation or other liability with 
        respect to Rocky Flats under the RFCA or any Federal or State 
        law;
            (B) impairs or alters any provision of the RFCA; or
            (C) alters any authority of the Administrator of the 
        Environmental Protection Agency under section 120(e) of CERCLA 
        (42 U.S.C. 9620(e)), or any authority of the State of Colorado.
        (2) Cleanup levels.--Nothing in this subtitle shall reduce the 
    level of cleanup and closure at Rocky Flats required under the RFCA 
    or any Federal or State law.
        (3) Payment of response action costs.--Nothing in this subtitle 
    affects the obligation of a Federal department or agency that had 
    or has operations at Rocky Flats resulting in the release or 
    threatened release of a covered substance to pay the costs of 
    response actions carried out to abate the release of, or clean up, 
    the covered substance.
SEC. 3177. ROCKY FLATS NATIONAL WILDLIFE REFUGE.
    (a) In General.--On completion of the transfer required by section 
3175(a), and subject to section 3176(a), the Secretary of the Interior 
shall commence administration of the real property comprising the 
refuge in accordance with this subtitle.
    (b) Establishment of Refuge.--Not later than 30 days after the 
transfer required by section 3175(a), the Secretary of the Interior 
shall establish at Rocky Flats a national wildlife refuge to be known 
as the Rocky Flats National Wildlife Refuge.
    (c) Composition.--The refuge shall be comprised of the property the 
administrative jurisdiction of which was transferred as required by 
section 3175(a).
    (d) Notice.--The Secretary of the Interior shall publish in the 
Federal Register a notice of the establishment of the refuge.
    (e) Administration and Purposes.--
        (1) In general.--The Secretary of the Interior shall manage the 
    refuge in accordance with applicable law, including this subtitle, 
    the National Wildlife Refuge System Administration Act of 1966 (16 
    U.S.C. 668dd et seq.), and the purposes specified in that Act.
        (2) Refuge purposes.--The refuge shall be managed for the 
    purposes of--
            (A) restoring and preserving native ecosystems;
            (B) providing habitat for, and population management of, 
        native plants and migratory and resident wildlife;
            (C) conserving threatened and endangered species (including 
        species that are candidates for listing under the Endangered 
        Species Act of 1973 (16 U.S.C. 1531 et seq.)); and
            (D) providing opportunities for compatible scientific 
        research.
        (3) Management.--In managing the refuge, the Secretary of the 
    Interior shall--
            (A) ensure that wildlife-dependent recreation and 
        environmental education and interpretation are the priority 
        public uses of the refuge; and
            (B) comply with all response actions.

SEC. 3178. COMPREHENSIVE PLANNING PROCESS.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, in developing a comprehensive conservation plan 
for the refuge in accordance with section 4(e) of the National Wildlife 
Refuge System Administration Act of 1966 (16 U.S.C. 668dd(e)), the 
Secretary of the Interior shall establish a comprehensive planning 
process that involves the public and local communities. The Secretary 
of the Interior shall establish such process in consultation with the 
Secretary, the members of the Coalition, the Governor of the State of 
Colorado, and the Federal and State of Colorado officials who have been 
designated as trustees for Rocky Flats under section 107(f)(2) of 
CERCLA (42 U.S.C. 9607(f)(2)).
    (b) Other Participants.--In addition to the entities specified in 
subsection (a), the comprehensive planning process required by 
subsection (a) shall include the opportunity for direct involvement of 
entities that are not members of the Coalition as of the date of the 
enactment of this Act, including the Rocky Flats Citizens' Advisory 
Board and the cities of Thornton, Northglenn, Golden, Louisville, and 
Lafayette, Colorado.
    (c) Dissolution of Coalition.--If the Coalition dissolves, or if 
any Coalition member elects to leave the Coalition during the 
comprehensive planning process required by subsection (a)--
        (1) such comprehensive planning process shall continue; and
        (2) an opportunity shall be provided to each entity that is a 
    member of the Coalition as of September 1, 2000, for direct 
    involvement in such comprehensive planning process.
    (d) Contents.--In addition to the requirements of section 4(e) of 
the National Wildlife Refuge System Administration Act of 1966 (16 
U.S.C. 668dd(e)), the comprehensive conservation plan referred to in 
subsection (a) shall address and make recommendations on the following:
        (1) The identification of any land referred to in subsection 
    (e) of section 3174 that could be made available under that 
    subsection.
        (2) The characteristics and configuration of any perimeter 
    fencing that may be appropriate or compatible for cleanup and 
    closure purposes, refuge purposes, or other purposes.
        (3) The feasibility of locating, and the potential location 
    for, a visitor and education center at the refuge.
        (4) Any other issues relating to Rocky Flats.
    (e) Coalition Defined.--In this section, the term ``Coalition'' 
means the Rocky Flats Coalition of Local Governments established by the 
Intergovernmental Agreement, dated February 16, 1999, among--
        (1) the city of Arvada, Colorado;
        (2) the city of Boulder, Colorado;
        (3) the city of Broomfield, Colorado;
        (4) the city of Westminster, Colorado;
        (5) the town of Superior, Colorado;
        (6) Boulder County, Colorado; and
        (7) Jefferson County, Colorado.
    (f) Report.--Not later than three years after the date of the 
enactment of this Act, the Secretary of the Interior shall submit to 
Congress--
        (1) the comprehensive conservation plan referred to in 
    subsection (a); and
        (2) a report that contains--
            (A) an outline of the involvement of the public and local 
        communities in the comprehensive planning process, as required 
        by subsection (a);
            (B) to the extent that any input or recommendation from the 
        comprehensive planning process is not accepted, a clear 
        statement of the reasons why such input or recommendation is 
        not accepted; and
            (C) a discussion of the impacts of any property rights 
        referred to in section 3179(a) on management of the refuge, and 
        an identification of strategies for resolving and mitigating 
        these impacts.

SEC. 3179. PROPERTY RIGHTS.

    (a) In General.--Except as provided in subsections (c) and (d), 
nothing in this subtitle limits any valid, existing property right at 
Rocky Flats that is owned by any person or entity, including, but not 
limited to--
        (1) any mineral right;
        (2) any water right or related easement; and
        (3) any facility or right-of-way for a utility.
    (b) Access.--Except as provided in subsection (c), nothing in this 
subtitle affects any right of an owner of a property right referred to 
in subsection (a) to access the owner's property.
    (c) Reasonable Conditions.--
        (1) In general.--The Secretary or the Secretary of the Interior 
    may impose such reasonable conditions on access to property rights 
    referred to in subsection (a) as are appropriate for the cleanup 
    and closure of Rocky Flats and for the management of the refuge.
        (2) No effect on other law.--Nothing in this subtitle affects 
    any Federal, State, or local law (including any regulation) 
    relating to the use, development, and management of property rights 
    referred to in subsection (a).
        (3) No effect on access rights.--Nothing in this subsection 
    precludes the exercise of any access right, in existence on the 
    date of the enactment of this Act, that is necessary to perfect or 
    maintain a water right in existence on that date.
    (d) Utility Extension.--
        (1) In general.--The Secretary or the Secretary of the Interior 
    may allow not more than one extension from an existing utility 
    right-of-way on Rocky Flats, if necessary.
        (2) Conditions.--An extension under paragraph (1) shall be 
    subject to the conditions specified in subsection (c).
    (e) Easement Surveys.--Subject to subsection (c), until the date 
that is 180 days after the date of the enactment of this Act, an entity 
that possesses a decreed water right or prescriptive easement relating 
to land at Rocky Flats may carry out such surveys at Rocky Flats as the 
entity determines are necessary to perfect the right or easement.

SEC. 3180. LIABILITIES AND OTHER OBLIGATIONS.

    (a) In General.--Nothing in this subtitle shall relieve, and no 
action may be taken under this subtitle to relieve, the Secretary, the 
Secretary of the Interior, or any other person from any liability or 
other obligation at Rocky Flats under CERCLA, RCRA, or any other 
Federal or State law.
    (b) Cost Recovery, Contribution, and Other Action.--Nothing in this 
subtitle is intended to prevent the United States from bringing a cost 
recovery, contribution, or other action that would otherwise be 
available under Federal or State law.

SEC. 3181. ROCKY FLATS MUSEUM.

    (a) Museum.--To commemorate the contribution that Rocky Flats and 
its worker force provided to winning the Cold War and the impact that 
such contribution has had on the nearby communities and the State of 
Colorado, the Secretary may establish a Rocky Flats Museum.
    (b) Location.--The Rocky Flats Museum shall be located in the city 
of Arvada, Colorado, unless, after consultation under subsection (c), 
the Secretary determines otherwise.
    (c) Consultation.--The Secretary shall consult with the city of 
Arvada, other local communities, and the Colorado State Historical 
Society on--
        (1) the development of the museum;
        (2) the siting of the museum; and
        (3) any other issues relating to the development and 
    construction of the museum.
    (d) Report.--Not later than three years after the date of the 
enactment of this Act, the Secretary, in coordination with the city of 
Arvada, shall submit to Congress a report on the costs associated with 
the construction of the museum and any other issues relating to the 
development and construction of the museum.

SEC. 3182. ANNUAL REPORT ON FUNDING.

    For each of fiscal years 2003 through 2007, at the time of 
submission of the budget of the President under section 1105(a) of 
title 31, United States Code, for such fiscal year, the Secretary and 
the Secretary of the Interior shall jointly submit to Congress a report 
on the costs of implementation of this subtitle. The report shall 
include--
        (1) the costs incurred by each Secretary in implementing this 
    subtitle during the preceding fiscal year; and
        (2) the funds required by each Secretary to implement this 
    subtitle during the current and subsequent fiscal years.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

SEC. 3201. AUTHORIZATION.

    There are authorized to be appropriated for fiscal year 2002, 
$18,500,000 for the operation of the Defense Nuclear Facilities Safety 
Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286 
et seq.).

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
Sec. 3303. Authority to dispose of certain materials in National Defense 
Stockpile.
Sec. 3304. Revision of limitations on required disposals of certain 
materials in National Defense Stockpile.
Sec. 3305. Acceleration of required disposal of cobalt in National 
Defense Stockpile.
Sec. 3306. Restriction on disposal of manganese ferro.

SEC. 3301. DEFINITIONS.

    In this title:
        (1) The term ``National Defense Stockpile'' means the stockpile 
    provided for in section 4 of the Strategic and Critical Materials 
    Stock Piling Act (50 U.S.C. 98c).
        (2) The term ``National Defense Stockpile Transaction Fund'' 
    means the fund established under section 9(a) of the Strategic and 
    Critical Materials Stock Piling Act (50 U.S.C. 98h(a)).
        (3) The term ``Market Impact Committee'' means the Market 
    Impact Committee appointed under section 10(c) of the Strategic and 
    Critical Materials Stock Piling Act (50 U.S.C. 98h-1(c)).
SEC. 3302. AUTHORIZED USES OF STOCKPILE FUNDS.
    (a) Obligation of Stockpile Funds.--During fiscal year 2002, the 
National Defense Stockpile Manager may obligate up to $65,200,000 of 
the funds in the National Defense Stockpile Transaction Fund for the 
authorized uses of such funds under section 9(b)(2) of the Strategic 
and Critical Materials Stock Piling Act (50 U.S.C. 98h(b)(2)), 
including the disposal of hazardous materials that are environmentally 
sensitive.
    (b) Additional Obligations.--The National Defense Stockpile Manager 
may obligate amounts in excess of the amount specified in subsection 
(a) if the National Defense Stockpile Manager notifies Congress that 
extraordinary or emergency conditions necessitate the additional 
obligations. The National Defense Stockpile Manager may make the 
additional obligations described in the notification after the end of 
the 45-day period beginning on the date on which Congress receives the 
notification.
    (c) Limitations.--The authorities provided by this section shall be 
subject to such limitations as may be provided in appropriations Acts.
SEC. 3303. AUTHORITY TO DISPOSE OF CERTAIN MATERIALS IN NATIONAL 
DEFENSE STOCKPILE.
    (a) Disposal Authorized.--Subject to the conditions specified in 
subsection (b), the President may dispose of obsolete and excess 
materials contained in the National Defense Stockpile. The materials 
subject to disposal under this subsection and the quantity of each 
material authorized to be disposed of by the President are set forth in 
the following table:
---------------------------------------------------------------------------

                     Authorized Stockpile Disposals
------------------------------------------------------------------------
   Material for disposal                              Quantity
------------------------------------------------------------------------
Bauxite...................................  40,000 short tons
Chromium Metal............................  3,512 short tons
Iridium...................................  25,140 troy ounces
Jewel Bearings............................  30,273,221 pieces
Manganese Ferro HC........................  209,074 short tons
Palladium.................................  11 troy ounces
Quartz Crystal............................  216,648 pounds
Tantalum Metal Ingot......................  120,228 pounds contained
Tantalum Metal Powder.....................  36,020 pounds contained
Thorium Nitrate...........................  600,000 pounds.
------------------------------------------------------------------------

  
    (b) Minimization of Disruption and Loss.--The President may not 
dispose of materials under subsection (a) to the extent that the 
disposal will result in--
        (1) undue disruption of the usual markets of producers, 
    processors, and consumers of the materials proposed for disposal; 
    or
        (2) avoidable loss to the United States.
    (c) Relationship to Other Disposal Authority.--The disposal 
authority provided in subsection (a) is new disposal authority and is 
in addition to, and shall not affect, any other disposal authority 
provided by law regarding the materials specified in such subsection.
SEC. 3304. REVISION OF LIMITATIONS ON REQUIRED DISPOSALS OF CERTAIN 
MATERIALS IN NATIONAL DEFENSE STOCKPILE.
    (a) Public Law 105-261.--Section 3303 of the Strom Thurmond 
National Defense Authorization Act for Fiscal Year 1999 (Public Law 
105-261; 50 U.S.C. 98d note) is amended--
        (1) in subsection (a)--
            (A) by striking ``the amount of--'' and inserting ``total 
        amounts not less than--'';
            (B) by striking ``and'' at the end of paragraph (3); and
            (C) by striking paragraph (4) and inserting the following 
        new paragraphs:
        ``(4) $760,000,000 by the end of fiscal year 2005; and
        ``(5) $770,000,000 by the end of fiscal year 2011.''; and
        (2) in subsection (b)(2), by striking ``receipts in the amounts 
    specified in subsection (a)'' and inserting ``receipts in the total 
    amount specified in subsection (a)(5)''.
    (b) Public Law 105-85.--Section 3305 of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 50 U.S.C. 
98d note) is amended--
        (1) in subsection (a), by striking ``amounts equal to--'' and 
    inserting ``total amounts not less than--''; and
        (2) in subsection (b), by striking paragraph (2) and inserting 
    the following new paragraph:
    ``(2) The President may not dispose of cobalt under this section in 
fiscal year 2006 in excess of the disposals necessary to result in 
receipts during that fiscal year in the total amount specified in 
subsection (a)(5).''.
    (c) Public Law 104-201.--Section 3303 of the National Defense 
Authorization Act for Fiscal Year 1997 (Public Law 104-201; 50 U.S.C. 
98d note) is amended--
        (1) in subsection (a), by striking ``amounts equal to--'' and 
    inserting ``total amounts not less than--''; and
        (2) in subsection (b), by striking paragraph (2) and inserting 
    the following new paragraph:
    ``(2) The President may not dispose of materials under this section 
during the 10-fiscal year period referred to in subsection (a)(2) in 
excess of the disposals necessary to result in receipts during that 
period in the total amount specified in such subsection.''.
SEC. 3305. ACCELERATION OF REQUIRED DISPOSAL OF COBALT IN NATIONAL 
DEFENSE STOCKPILE.
    Section 3305(a) of the National Defense Authorization Act for 
Fiscal Year 1998 (Public Law 105-85; 50 U.S.C. 98d note), as amended by 
section 3304(b) of this Act, is amended--
        (1) in paragraph (1), by striking ``2003'' and inserting 
    ``2002'';
        (2) in paragraph (2), by striking ``2004'' and inserting 
    ``2003'';
        (3) in paragraph (3), by striking ``2005'' and inserting 
    ``2004'';
        (4) in paragraph (4), by striking ``2006'' and inserting 
    ``2005''; and
        (5) in paragraph (5), by striking ``2007'' and inserting 
    ``2006''.
SEC. 3306. RESTRICTION ON DISPOSAL OF MANGANESE FERRO.
    (a) Temporary Quantity Restrictions.--During fiscal years 2002 
through 2005, the disposal of manganese ferro in the National Defense 
Stockpile may not exceed the following quantities:
        (1) During fiscal year 2002, 25,000 short tons of all grades of 
    manganese ferro.
        (2) During fiscal year 2003, 25,000 short tons of high carbon 
    manganese ferro of the highest grade.
        (3) During each of the fiscal years 2004 and 2005, 50,000 short 
    tons of high carbon manganese ferro of the highest grade.
    (b) Conforming Amendment.--Section 3304 of the National Defense 
Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 
629) is repealed.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

    (a) Amount.--There are hereby authorized to be appropriated to the 
Secretary of Energy $17,371,000 for fiscal year 2002 for the purpose of 
carrying out activities under chapter 641 of title 10, United States 
Code, relating to the naval petroleum reserves.
    (b) Period of Availability.--Funds appropriated pursuant to the 
authorization of appropriations in subsection (a) shall remain 
available until expended.

                  TITLE XXXV--MARITIME ADMINISTRATION

Sec. 3501. Authorization of appropriations for fiscal year 2002.
Sec. 3502. Define ``war risks'' to vessels to include confiscation, 
expropriation, nationalization, and deprivation of the vessels.
Sec. 3503. Holding obligor's cash as collateral under title XI of 
Merchant Marine Act, 1936.

SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 2002.
    Funds are hereby authorized to be appropriated for fiscal year 
2002, to be available without fiscal year limitation if so provided in 
appropriations Acts, for the use of the Department of Transportation 
for the Maritime Administration as follows:
        (1) For expenses necessary for operations and training 
    activities, $89,054,000.
        (2) For expenses under the loan guarantee program authorized by 
    title XI of the Merchant Marine Act, 1936 (46 App. U.S.C. 1271 et 
    seq.), $103,978,000, of which--
            (A) $100,000,000 is for the cost (as defined in section 
        502(5) of the Federal Credit Reform Act of 1990 (2 U.S.C. 
        661a(5))) of loan guarantees under the program; and
            (B) $3,978,000 is for administrative expenses related to 
        loan guarantee commitments under the program.
        (3) For expenses to dispose of obsolete vessels in the National 
    Defense Reserve Fleet, $10,000,000.
SEC. 3502. DEFINE ``WAR RISKS'' TO VESSELS TO INCLUDE CONFISCATION, 
EXPROPRIATION, NATIONALIZATION, AND DEPRIVATION OF THE VESSELS.
    Section 1201(c) of the Merchant Marine Act, 1936 (46 App. U.S.C. 
1281(c)) is amended to read as follows:
    ``(c) The term `war risks' includes to such extent as the Secretary 
may determine--
        ``(1) all or any part of any loss that is excluded from marine 
    insurance coverage under a `free of capture or seizure' clause, or 
    under analogous clauses; and
        ``(2) other losses from hostile acts, including confiscation, 
    expropriation, nationalization, or deprivation.''.
SEC. 3503. HOLDING OBLIGOR'S CASH AS COLLATERAL UNDER TITLE XI OF 
MERCHANT MARINE ACT, 1936.
    Title XI of the Merchant Marine Act, 1936 (46 App. U.S.C. 1271 et 
seq.) is amended by inserting after section 1108 the following:

``SEC. 1109. DEPOSIT FUND.

    ``(a) Establishment of Deposit Fund.--There is established in the 
Treasury a deposit fund for purposes of this section. The Secretary 
may, in accordance with an agreement under subsection (b), deposit into 
and hold in the deposit fund cash belonging to an obligor to serve as 
collateral for a guarantee under this title made with respect to the 
obligor.
    ``(b) Agreement.--
        ``(1) In general.--The Secretary and an obligor shall enter 
    into a reserve fund or other collateral account agreement to govern 
    the deposit, withdrawal, retention, use, and reinvestment of cash 
    of the obligor held in the deposit fund established by subsection 
    (a).
        ``(2) Terms.--The agreement shall contain such terms and 
    conditions as are required under this section and such additional 
    terms as are considered by the Secretary to be necessary to protect 
    fully the interests of the United States.
        ``(3) Security interest of united states.--The agreement shall 
    include terms that grant to the United States a security interest 
    in all amounts deposited into the deposit fund.
    ``(c) Investment.--The Secretary may invest and reinvest any part 
of the amounts in the deposit fund established by subsection (a) in 
obligations of the United States with such maturities as ensure that 
amounts in the deposit fund will be available as required for purposes 
of agreements under subsection (b). Cash balances of the deposit fund 
in excess of current requirements shall be maintained in a form of 
uninvested funds and the Secretary of the Treasury shall pay interest 
on these funds.
    ``(d) Withdrawals.--
        ``(1) In general.--The cash deposited into the deposit fund 
    established by subsection (a) may not be withdrawn without the 
    consent of the Secretary.
        ``(2) Use of income.--Subject to paragraph (3), the Secretary 
    may pay any income earned on cash of an obligor deposited into the 
    deposit fund in accordance with the terms of the agreement with the 
    obligor under subsection (b).
        ``(3) Retention against default.--The Secretary may retain and 
    offset any or all of the cash of an obligor in the deposit fund, 
    and any income realized thereon, as part of the Secretary's 
    recovery against the obligor in case of a default by the obligor on 
    an obligation.''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
```