PUBLIC LAW 104–196—SEPT. 16, 1996 110 STAT. 2385

Public Law 104–196

104th Congress

An Act

Making appropriations for military construction, family housing, and base realignment and closure for the Department of Defense for the fiscal year ending September 30, 1997, and for other purposes.

Be it enacted by the Senate and House of Representatives of

the United States of America in Congress assembled, That the

following sums are appropriated, out of any money in the Treasury

not otherwise appropriated, for the fiscal year ending September

30, 1997, for military construction, family housing, and base realignment and closure functions administered by the Department of

Defense, and for other purposes, namely:

MILITARY CONSTRUCTION, ARMY

(INCLUDING RESCISSIONS)

For acquisition, construction, installation, and equipment of

temporary or permanent public works, military installations, facilities, and real property for the Army as currently authorized by

law, including personnel in the Army Corps of Engineers and other

personal services necessary for the purposes of this appropriation,

and for construction and operation of facilities in support of the

functions of the Commander in Chief, $565,688,000, to remain

available until September 30, 2001: Provided, That of this amount,

not to exceed $50,538,000 shall be available for study, planning,

design, architect and engineer services, and host nation support,

as authorized by law, unless the Secretary of Defense determines

that additional obligations are necessary for such purposes and

notifies the Committees on Appropriations of both Houses of Congress of his determination and the reasons therefor: Provided further, That of the funds appropriated for ‘‘Military Construction, Army’’ under Public Law 103–110, $2,028,000 is hereby rescinded.

MILITARY CONSTRUCTION, NAVY

(INCLUDING RESCISSIONS)

For acquisition, construction, installation, and equipment of

temporary or permanent public works, naval installations, facilities,

and real property for the Navy as currently authorized by law,

including personnel in the Naval Facilities Engineering Command

and other personal services necessary for the purposes of this appropriation, $707,094,000, to remain available until September 30,

2001: Provided, That of this amount, not to exceed $49,927,000

shall be available for study, planning, design, architect and engineer

services, as authorized by law, unless the Secretary of Defense

Military

Construction

Appropriations

Act, 1997.

Sept. 16, 1996

[H.R. 3517]
110 STAT. 2386 PUBLIC LAW 104–196—SEPT. 16, 1996

determines that additional obligations are necessary for such purposes and notifies the Committees on Appropriations of both Houses

of Congress of his determination and the reasons therefor: Provided

further, That of the funds appropriated for ‘‘Military Construction, Navy’’ under Public Law 102–380, $9,000,000 is hereby rescinded:

Provided further, That of the funds appropriated for ‘‘Military Construction, Navy’’ under Public Law 103–110, $2,300,000 is

hereby rescinded.

MILITARY CONSTRUCTION, AIR FORCE

(INCLUDING RESCISSIONS)

For acquisition, construction, installation, and equipment of

temporary or permanent public works, military installations, facilities, and real property for the Air Force as currently authorized

by law, $754,064,000, to remain available until September 30, 2001:

Provided, That of this amount, not to exceed $50,687,000 shall

be available for study, planning, design, architect and engineer

services, as authorized by law, unless the Secretary of Defense

determines that additional obligations are necessary for such purposes and notifies the Committees on Appropriations of both Houses

of Congress of his determination and the reasons therefor: Provided

further, That of the funds appropriated for ‘‘Military Construction, Air Force’’ under Public Law 103–307, $2,100,000 is hereby

rescinded.

MILITARY CONSTRUCTION, DEFENSE-WIDE

(INCLUDING TRANSFER OF FUNDS AND RESCISSIONS)

For acquisition, construction, installation, and equipment of

temporary or permanent public works, installations, facilities, and

real property for activities and agencies of the Department of

Defense (other than the military departments), as currently authorized by law, $763,922,000, to remain available until September

30, 2001: Provided, That such amounts of this appropriation as

may be determined by the Secretary of Defense may be transferred

to such appropriations of the Department of Defense available for

military construction or family housing as he may designate, to

be merged with and to be available for the same purposes, and

for the same time period, as the appropriation or fund to which

transferred: Provided further, That of the amount appropriated,

not to exceed $12,239,000 shall be available for study, planning,

design, architect and engineer services, as authorized by law, unless

the Secretary of Defense determines that additional obligations

are necessary for such purposes and notifies the Committees on

Appropriations of both Houses of Congress of his determination

and the reasons therefor: Provided further, That of the funds appropriated for ‘‘Military Construction, Defense-wide’’ under Public Law

104–32, $7,000,000 is hereby rescinded.

DEPARTMENT OF DEFENSE MILITARY UNACCOMPANIED HOUSING

IMPROVEMENT FUND

(INCLUDING TRANSFER OF FUNDS)

For the Department of Defense Military Unaccompanied Housing Improvement Fund, $5,000,000, to remain available until
PUBLIC LAW 104–196—SEPT. 16, 1996 110 STAT. 2387

expended: Provided, That subject to thirty days prior notification

to the Committees on Appropriations, such additional amounts as

may be determined by the Secretary of Defense may be transferred

to the Fund from amounts appropriated for the acquisition or

construction of military unaccompanied housing in ‘‘Military

Construction’’ accounts, to be merged with and to be made available

for the same purposes and for the same period of time as amounts

appropriated directly to the Fund: Provided further, That appropriations made available for the Fund in this Act shall be available

to cover the costs, as defined in section 502(5) of the Congressional

Budget Act of 1974, of direct loans and loan guarantees issued

by the Department of Defense pursuant to the provisions of subchapter IV of chapter 169 of title 10, United States Code, pertaining

to alternative means of acquiring and improving military unaccompanied housing and ancillary supporting facilities.

MILITARY CONSTRUCTION, ARMY NATIONAL GUARD

For construction, acquisition, expansion, rehabilitation, and

conversion of facilities for the training and administration of the

Army National Guard, and contributions therefor, as authorized

by chapter 133 of title 10, United States Code, and military

construction authorization Acts, $78,086,000, to remain available

until September 30, 2001.

MILITARY CONSTRUCTION, AIR NATIONAL GUARD

For construction, acquisition, expansion, rehabilitation, and

conversion of facilities for the training and administration of the

Air National Guard, and contributions therefor, as authorized by

chapter 133 of title 10, United States Code, and military construction authorization Acts, $189,855,000, to remain available until

September 30, 2001.

MILITARY CONSTRUCTION, ARMY RESERVE

For construction, acquisition, expansion, rehabilitation, and

conversion of facilities for the training and administration of the

Army Reserve as authorized by chapter 133 of title 10, United

States Code, and military construction authorization Acts,

$55,543,000, to remain available until September 30, 2001.

MILITARY CONSTRUCTION, NAVAL RESERVE

For construction, acquisition, expansion, rehabilitation, and

conversion of facilities for the training and administration of the

reserve components of the Navy and Marine Corps as authorized

by chapter 133 of title 10, United States Code, and military

construction authorization Acts, $37,579,000, to remain available

until September 30, 2001.

MILITARY CONSTRUCTION, AIR FORCE RESERVE

For construction, acquisition, expansion, rehabilitation, and

conversion of facilities for the training and administration of the

Air Force Reserve as authorized by chapter 133 of title 10, United

States Code, and military construction authorization Acts,

$52,805,000, to remain available until September 30, 2001.
110 STAT. 2388 PUBLIC LAW 104–196—SEPT. 16, 1996

NORTH ATLANTIC TREATY ORGANIZATION

SECURITY INVESTMENT PROGRAM

For the United States share of the cost of the North Atlantic

Treaty Organization Security Investment Program for the acquisition and construction of military facilities and installations (including international military headquarters) and for related expenses

for the collective defense of the North Atlantic Treaty Area as

authorized in military construction authorization Acts and section

2806 of title 10, United States Code, $172,000,000, to remain available until expended.

FAMILY HOUSING, ARMY

For expenses of family housing for the Army for construction,

including acquisition, replacement, addition, expansion, extension

and alteration and for operation and maintenance, including debt

payment, leasing, minor construction, principal and interest

charges, and insurance premiums, as authorized by law, as follows:

for Construction, $158,503,000, to remain available until September

30, 2001; for Operation and Maintenance, and for debt payment,

$1,212,466,000; in all $1,370,969,000.

FAMILY HOUSING, NAVY AND MARINE CORPS

For expenses of family housing for the Navy and Marine Corps

for construction, including acquisition, replacement, addition,

expansion, extension and alteration and for operation and maintenance, including debt payment, leasing, minor construction, principal and interest charges, and insurance premiums, as authorized

by law, as follows: for Construction, $499,886,000, to remain available until September 30, 2001; for Operation and Maintenance,

and for debt payment, $1,014,241,000; in all $1,514,127,000.

FAMILY HOUSING, AIR FORCE

For expenses of family housing for the Air Force for construction, including acquisition, replacement, addition, expansion, extension and alteration and for operation and maintenance, including

debt payment, leasing, minor construction, principal and interest

charges, and insurance premiums, as authorized by law, as follows:

for Construction, $317,507,000, to remain available until September

30, 2001; for Operation and Maintenance, and for debt payment,

$816,509,000; in all $1,134,016,000.

FAMILY HOUSING, DEFENSE-WIDE

For expenses of family housing for the activities and agencies

of the Department of Defense (other than the military departments)

for construction, including acquisition, replacement, addition,

expansion, extension and alteration, and for operation and maintenance, leasing, and minor construction, as authorized by law, as

follows: for Construction, $4,371,000, to remain available until

September 30, 2001; for Operation and Maintenance, $30,963,000;

in all $35,334,000.
PUBLIC LAW 104–196—SEPT. 16, 1996 110 STAT. 2389

DEPARTMENT OF DEFENSE FAMILY HOUSING IMPROVEMENT FUND

(INCLUDING TRANSFER OF FUNDS)

For the Department of Defense Family Housing Improvement Fund, $25,000,000, to remain available until expended: Provided,

That, subject to thirty days prior notification to the Committees

on Appropriations, such additional amounts as may be determined

by the Secretary of Defense may be transferred to the Fund from

amounts appropriated for construction in ‘‘Family Housing’’

accounts, to be merged with and to be available for the same

purposes and for the same period of time as amounts appropriated

directly to the Fund: Provided further, That appropriations made

available to the Fund in this Act shall be available to cover the

costs, as defined in section 502(5) of the Congressional Budget

Act of 1974, of direct loans or loan guarantees issued by the Department of Defense pursuant to the provisions of subchapter IV of

chapter 169, title 10, United States Code, pertaining to alternative

means of acquiring and improving military family housing and

supporting facilities.

HOMEOWNERS ASSISTANCE FUND, DEFENSE

For use in the Homeowners Assistance Fund established by

section 1013(d) of the Demonstration Cities and Metropolitan Development Act of 1966, as amended (42 U.S.C. 3374), $36,181,000,

to remain available until expended.

BASE REALIGNMENT AND CLOSURE ACCOUNT, PART II

For deposit into the Department of Defense Base Closure

Account 1990 established by section 2906(a)(1) of the Department

of Defense Authorization Act, 1991 (Public Law 101–510),

$352,800,000, to remain available until expended: Provided, That

not more than $223,789,000 of the funds appropriated herein shall

be available solely for environmental restoration, unless the Secretary of Defense determines that additional obligations are necessary for such purposes and notifies the Committees on Appropriations of both Houses of Congress of his determination and the

reasons therefor.

BASE REALIGNMENT AND CLOSURE ACCOUNT, PART III

For deposit into the Department of Defense Base Closure

Account 1990 established by section 2906(a)(1) of the Department

of Defense Authorization Act, 1991 (Public Law 101–510),

$971,925,000, to remain available until expended: Provided, That

not more than $351,967,000 of the funds appropriated herein shall

be available solely for environmental restoration, unless the Secretary of Defense determines that additional obligations are necessary for such purposes and notifies the Committees on Appropriations of both Houses of Congress of his determination and the

reasons therefor.

BASE REALIGNMENT AND CLOSURE ACCOUNT, PART IV

For deposit into the Department of Defense Base Closure

Account 1990 established by section 2906(a)(1) of the Department

of Defense Authorization Act, 1991 (Public Law 101–510),
110 STAT. 2390 PUBLIC LAW 104–196—SEPT. 16, 1996

$1,182,749,000, to remain available until expended: Provided, That

not more than $200,841,000 of the funds appropriated herein shall

be available solely for environmental restoration, unless the Secretary of Defense determines that additional obligations are necessary for such purposes and notifies the Committees on Appropriations of both Houses of Congress of his determination and the

reasons therefor.

GENERAL PROVISIONS

SEC. 101. None of the funds appropriated in Military Construction Appropriations Acts shall be expended for payments under

a cost-plus-a-fixed-fee contract for work, where cost estimates exceed

$25,000, to be performed within the United States, except Alaska,

without the specific approval in writing of the Secretary of Defense

setting forth the reasons therefor: Provided, That the foregoing

shall not apply in the case of contracts for environmental restoration

at an installation that is being closed or realigned where payments

are made from a Base Realignment and Closure Account.

SEC. 102. Funds appropriated to the Department of Defense

for construction shall be available for hire of passenger motor

vehicles.

SEC. 103. Funds appropriated to the Department of Defense

for construction may be used for advances to the Federal Highway

Administration, Department of Transportation, for the construction

of access roads as authorized by section 210 of title 23, United

States Code, when projects authorized therein are certified as

important to the national defense by the Secretary of Defense.

SEC. 104. None of the funds appropriated in this Act may

be used to begin construction of new bases inside the continental

United States for which specific appropriations have not been made.

SEC. 105. No part of the funds provided in Military Construction

Appropriations Acts shall be used for purchase of land or land

easements in excess of 100 per centum of the value as determined

by the Army Corps of Engineers or the Naval Facilities Engineering

Command, except (a) where there is a determination of value by

a Federal court, or (b) purchases negotiated by the Attorney General

or his designee, or (c) where the estimated value is less than

$25,000, or (d) as otherwise determined by the Secretary of Defense

to be in the public interest.

SEC. 106. None of the funds appropriated in Military Construction Appropriations Acts shall be used to (1) acquire land, (2)

provide for site preparation, or (3) install utilities for any family

housing, except housing for which funds have been made available

in annual Military Construction Appropriations Acts.

SEC. 107. None of the funds appropriated in Military Construction Appropriations Acts for minor construction may be used to

transfer or relocate any activity from one base or installation to

another, without prior notification to the Committees on Appropriations.

SEC. 108. No part of the funds appropriated in Military

Construction Appropriations Acts may be used for the procurement

of steel for any construction project or activity for which American

steel producers, fabricators, and manufacturers have been denied

the opportunity to compete for such steel procurement.

SEC. 109. None of the funds available to the Department of

Defense for military construction or family housing during the
PUBLIC LAW 104–196—SEPT. 16, 1996 110 STAT. 2391

current fiscal year may be used to pay real property taxes in

any foreign nation.

SEC. 110. None of the funds appropriated in Military Construction Appropriations Acts may be used to initiate a new installation

overseas without prior notification to the Committees on Appropriations.

SEC. 111. None of the funds appropriated in Military Construction Appropriations Acts may be obligated for architect and engineer

contracts estimated by the Government to exceed $500,000 for

projects to be accomplished in Japan, in any NATO member country,

or in countries bordering the Arabian Gulf, unless such contracts

are awarded to United States firms or United States firms in

joint venture with host nation firms.

SEC. 112. None of the funds appropriated in Military Construction Appropriations Acts for military construction in the United

States territories and possessions in the Pacific and on Kwajalein

Atoll, or in countries bordering the Arabian Gulf, may be used

to award any contract estimated by the Government to exceed

$1,000,000 to a foreign contractor: Provided, That this section shall

not be applicable to contract awards for which the lowest responsive

and responsible bid of a United States contractor exceeds the lowest

responsive and responsible bid of a foreign contractor by greater

than 20 per centum.

SEC. 113. The Secretary of Defense is to inform the appropriate

Committees of Congress, including the Committees on Appropriations, of the plans and scope of any proposed military exercise

involving United States personnel thirty days prior to its occurring,

if amounts expended for construction, either temporary or permanent, are anticipated to exceed $100,000.

SEC. 114. Not more than 20 per centum of the appropriations

in Military Construction Appropriations Acts which are limited

for obligation during the current fiscal year shall be obligated

during the last two months of the fiscal year.

(TRANSFER OF FUNDS)

SEC. 115. Funds appropriated to the Department of Defense

for construction in prior years shall be available for construction

authorized for each such military department by the authorizations

enacted into law during the current session of Congress.

SEC. 116. For military construction or family housing projects

that are being completed with funds otherwise expired or lapsed

for obligation, expired or lapsed funds may be used to pay the

cost of associated supervision, inspection, overhead, engineering

and design on those projects and on subsequent claims, if any.

SEC. 117. Notwithstanding any other provision of law, any

funds appropriated to a military department or defense agency

for the construction of military projects may be obligated for a

military construction project or contract, or for any portion of such

a project or contract, at any time before the end of the fourth

fiscal year after the fiscal year for which funds for such project

were appropriated if the funds obligated for such project (1) are

obligated from funds available for military construction projects,

and (2) do not exceed the amount appropriated for such project,

plus any amount by which the cost of such project is increased

pursuant to law.

10 USC 2860

note.
110 STAT. 2392 PUBLIC LAW 104–196—SEPT. 16, 1996

(TRANSFER OF FUNDS)

SEC. 118. During the five-year period after appropriations available to the Department of Defense for military construction and

family housing operation and maintenance and construction have

expired for obligation, upon a determination that such appropriations will not be necessary for the liquidation of obligations or

for making authorized adjustments to such appropriations for

obligations incurred during the period of availability of such appropriations, unobligated balances of such appropriations may be transferred into the appropriation ‘‘Foreign Currency Fluctuations,

Construction, Defense’’ to be merged with and to be available for

the same time period and for the same purposes as the appropriation to which transferred.

SEC. 119. The Secretary of Defense is to provide the Committees

on Appropriations of the Senate and the House of Representatives

with an annual report by February 15, containing details of the

specific actions proposed to be taken by the Department of Defense

during the current fiscal year to encourage other member nations

of the North Atlantic Treaty Organization, Japan, Korea, and

United States allies bordering the Arabian Gulf to assume a greater

share of the common defense burden of such nations and the United

States.

(TRANSFER OF FUNDS)

SEC. 120. During the current fiscal year, in addition to any

other transfer authority available to the Department of Defense,

proceeds deposited to the Department of Defense Base Closure

Account established by section 207(a)(1) of the Defense Authorization Amendments and Base Closure and Realignment Act (Public

Law 100–526) pursuant to section 207(a)(2)(C) of such Act, may

be transferred to the account established by section 2906(a)(1) of

the Department of Defense Authorization Act, 1991, to be merged

with, and to be available for the same purposes and the same

time period as that account.

SEC. 121. No funds appropriated pursuant to this Act may

be expended by an entity unless the entity agrees that in expending

the assistance the entity will comply with sections 2 through 4

of the Act of March 3, 1933 (41 U.S.C. 10a–10c, popularly known

as the ‘‘Buy American Act’’).

SEC. 122. (a) In the case of any equipment or products that

may be authorized to be purchased with financial assistance provided under this Act, it is the sense of the Congress that entities

receiving such assistance should, in expending the assistance, purchase only American-made equipment and products.

(b) In providing financial assistance under this Act, the Secretary of the Treasury shall provide to each recipient of the assistance a notice describing the statement made in subsection (a)

by the Congress.

SEC. 123. The National Guard Bureau shall annually prepare

a future years defense plan based on the requirement and priorities

of the National Guard: Provided, That this plan shall be presented

to the committees of Congress concurrent with the President’s

budget submission for each fiscal year.

SEC. 124. It is the sense of the Congress that the Secretary

of the Army should name buildings numbered 5308 and 5309 at

Redstone Arsenal, Alabama, as the Howell Heflin Complex.

10 USC 10503

note.

Notice.

Reports.

10 USC 2860

note.
PUBLIC LAW 104–196—SEPT. 16, 1996 110 STAT. 2393

LEGISLATIVE HISTORY—H.R. 3517:

HOUSE REPORTS: Nos. 104–591 (Comm. on Appropriations) and 104–721 (Comm.

of Conference).

SENATE REPORTS: No. 104–287 (Comm. on Appropriations).

CONGRESSIONAL RECORD, Vol. 142 (1996):

May 30, considered and passed House.

June 26, considered and passed Senate, amended.

Aug. 1, House agreed to conference report.

Sept. 5, Senate agreed to conference report.

WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 32 (1996):

Sept. 16, Presidential statement.

Æ

(TRANSFER OF FUNDS)

SEC. 125. During the current fiscal year, in addition to any

other transfer authority available to the Department of Defense,

amounts may be transferred from the account established by section

2906(a)(1) of the Department of Defense Authorization Act, 1991,

to the fund established by section 1013(d) of the Demonstration

Cities and Metropolitan Development Act of 1966 (42 U.S.C. 3374)

to pay for expenses associated with the Homeowners Assistance

Program. Any amounts transferred shall be merged with and be

available for the same purposes and for the same time period

as the fund to which transferred.

This Act may be cited as the ‘‘Military Construction Appropriations Act, 1997’’.

Approved September 16, 1996.