H.R. 4435—FY15 NATIONAL DEFENSE 

AUTHORIZATION BILL

SUBCOMMITTEE ON SEAPOWER AND 

PROJECTION FORCES

SUMMARY OF BILL LANGUAGE............................................ 1

BILL LANGUAGE....................................................................... 7

DIRECTIVE REPORT LANGUAGE ........................................ 29

SUMMARY OF BILL LANGUAGE 

1
Table Of Contents 

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS 

TITLE I—PROCUREMENT 

LEGISLATIVE PROVISIONS

SUBTITLE C—NAVY PROGRAMS

Section 1XX—Multiyear Procurement Authority for Tomahawk Block IV 

Missiles

Section 1XX—Limitation on Availability of Funds for Moored Training Ship 

Program 

SUBTITLE D—AIR FORCE PROGRAMS

Section 1XX—Prohibition on Cancellation or Modification of Avionics 

Modernization Program for C-130 Aircraft 

TITLE II—RESEARCH, DEVELOPMENT, TEST, AND 

EVALUATION 

LEGISLATIVE PROVISIONS

SUBTITLE B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS

Section 2XX—Preliminary Design Review of Presidential Aircraft 

Recapitalization Program 

Section 2XX—Limitation on Availability of Funds for Unmanned CarrierLaunched Airborne Surveillance and Strike System 

TITLE III—OPERATION AND MAINTENANCE 

LEGISLATIVE PROVISIONS

SUBTITLE E—LIMITATIONS AND EXTENSIONS OF AUTHORITY

Section 3XX—Limitation on Authority to Enter into a Contract for the 

Sustainment, Maintenance, Repair, or Overhaul of the F117 Engine 

TITLE X—GENERAL PROVISIONS 

LEGISLATIVE PROVISIONS

SUBTITLE C—NAVAL VESSELS AND SHIPYARDS

Section 10XX—Sense of Congress Recognizing the Anniversary of the Sinking 

of the U.S.S. Thresher 

Section 10XX—Limitation on Expenditure of Funds until Commencement of 

Planning of Refueling and Complex Overhaul of the U.S.S. George Washington 

Section 10XX—Elimination of Requirement that a Qualified Aviator or Naval 

Flight Officer be in Command of an Inactivated Nuclear-Powered Aircraft 

Carrier Before Decommissioning 

Section 10XX—National Sea-Based Deterrence Fund 

Section 10XX—Definition of Combatant and Support Vessel for Purposes of 

the Annual Plan and Certification Relating to Budgeting for Construction of 

Naval Vessels 

2
DIVISION C—DEPARTMENT OF ENERGY NATIONAL 

SECURITY AUTHORIZATIONS AND OTHER 

AUTHORIZATIONS 

TITLE XXXV—MARITIME ADMINISTRATION 

LEGISLATIVE PROVISIONS

Section 3501—Authorization of Appropriations for National Security Aspects of 

the Merchant Marine for Fiscal Year 2015 

Section 3503—Sense of Congress on the Role of Domestic Maritime Industry in 

National Security 

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS 

TITLE I—PROCUREMENT 

LEGISLATIVE PROVISIONS

SUBTITLE C—NAVY PROGRAMS

Section 1XX—Multiyear Procurement Authority for Tomahawk Block IV Missiles 

 This section would authorize the Secretary of the Navy to enter into a 

multiyear contract for up to 5 years beginning in fiscal year 2015, pending 

submission to Congress of the certification requirements of section 2306b, title 10, 

United States Code, not later than 45 days prior to entering into the multiyear 

procurement contract. 

Section 1XX—Limitation on Availability of Funds for Moored Training Ship 

Program 

 This section would limit the obligation of 50 percent of the fiscal year 2015 

shipbuilding and conversion, Navy funding for the Moored Training Ship program 

until certain certifications and reviews regarding requirements and cost growth are 

provided to the congressional defense committees. 

SUBTITLE D—AIR FORCE PROGRAMS

Section 1XX—Prohibition on Cancellation or Modification of Avionics Modernization 

Program for C-130 Aircraft 

 This section would preclude the Secretary of the Air Force from modifying 

or canceling the C-130 Avionics Modernization Program in fiscal year 2015 and 

would also preclude the Secretary from beginning an alternative C-130H 

modernization program (except for developing and installing an Automatic 

3
Dependent Surveillance Broadcast system modification for the C-130H). The 

committee is concerned that any alternative modernization program the Air Force 

would pursue would offer less capability than the program of record. 

TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION 

LEGISLATIVE PROVISIONS

SUBTITLE B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS

Section 2XX—Preliminary Design Review of Presidential Aircraft Recapitalization 

Program 

 This section would require the Secretary of the Air Force to complete a 

preliminary design review of the Presidential Aircraft Recapitalization program 

prior to receiving a milestone B approval from the Milestone Decision Authority. 

Section 2XX—Limitation on Availability of Funds for Unmanned Carrier-Launched 

Airborne Surveillance and Strike System 

 This section would prohibit the Secretary of the Navy from awarding a 

contract for the Unmanned Carrier-Launched Airborne Surveillance and Strike 

(UCLASS) system air vehicle segment until the Secretary of Defense completes a 

UCLASS requirements review and provides the results of that review to the 

congressional defense committees. 

TITLE III—OPERATION AND MAINTENANCE 

LEGISLATIVE PROVISIONS

SUBTITLE E—LIMITATIONS AND EXTENSIONS OF AUTHORITY

Section 3XX—Limitation on Authority to Enter into a Contract for the Sustainment, 

Maintenance, Repair, or Overhaul of the F117 Engine 

 This section would prohibit the Secretary of the Air Force from entering 

into a subsequent contract for the sustainment, maintenance, repair, and overhaul 

of the F117 engine until the Under Secretary of Defense for Acquisition, Technology 

and Logistics certifies to the congressional defense committees that the Secretary of 

the Air Force has structured the contract in such a way that provides the Secretary 

required insight into all aspects of F117 component and subcomponent historical 

usage, cost, service-life, and supply chain management data sufficient to determine 

that the Secretary is paying a fair and reasonable price for F117 sustainment as 

4
compared to the PW2000 commercial-derivative sustainment price in the private 

sector. 

TITLE X—GENERAL PROVISIONS 

LEGISLATIVE PROVISIONS

SUBTITLE C—NAVAL VESSELS AND SHIPYARDS

Section 10XX—Sense of Congress Recognizing the Anniversary of the Sinking of the 

U.S.S. Thresher 

 This section would express the sense of Congress in recognition of the 

anniversary of the sinking of the USS Thresher. 

Section 10XX—Limitation on Expenditure of Funds until Commencement of 

Planning of Refueling and Complex Overhaul of the U.S.S. George Washington 

 This section would limit the expenditure of funds authorized to be 

appropriated by this Act for the Office of the Secretary of Defense for fiscal year 

2015 until the Secretary of Defense obligates funds to commence the planning and 

long lead time material procurement associated with the refueling and complex 

overhaul of the USS George Washington (CVN-73). 

Section 10XX—Elimination of Requirement that a Qualified Aviator or Naval Flight 

Officer be in Command of an Inactivated Nuclear-Powered Aircraft Carrier Before 

Decommissioning 

 This section would authorize an exception to section 5942(a) of title 10, 

United States Code, and allow a nuclear-powered aircraft carrier to be commanded 

by a non-aviation officer during an inactivation period that leads to the permanent 

decommissioning and disposal of such an aircraft carrier. 

Section 10XX—National Sea-Based Deterrence Fund 

 This section would create a National Sea-Based Deterrence Fund to 

manage the obligation and expenditures for the advanced procurement or 

construction of nuclear-powered strategic ballistic missile submarines. 

Section 10XX—Definition of Combatant and Support Vessel for Purposes of the 

Annual Plan and Certification Relating to Budgeting for Construction of Naval 

Vessels 

 This section would define the term "combatant and support vessel" that is 

used to support Department of the Navy's 30-year shipbuilding plan. 

5
DIVISION C—DEPARTMENT OF ENERGY NATIONAL 

SECURITY AUTHORIZATIONS AND OTHER 

AUTHORIZATIONS 

TITLE XXXV—MARITIME ADMINISTRATION 

LEGISLATIVE PROVISIONS

Section 3501—Authorization of Appropriations for National Security Aspects of the 

Merchant Marine for Fiscal Year 2015 

 This section would authorize appropriations for the national security 

aspects of the merchant marine for fiscal year 2015. 

Section 3503—Sense of Congress on the Role of Domestic Maritime Industry in 

National Security 

 This section would express the sense of Congress regarding the role of 

domestic maritime industry in national security. 

6
BILL LANGUAGE 

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[HB] 

1 SEC. 1ll. øLog 53797¿ MULTIYEAR PROCUREMENT AU2 THORITY FOR TOMAHAWK BLOCK IV MIS3 SILES. 

4 (a) AUTHORITY FOR MULTIYEAR PROCUREMENT.—

5 (1) IN GENERAL.—Subject to section 2306b of 

6 title 10, United States Code, the Secretary of the 

7 Navy may enter into one or more multiyear con8 tracts for a period of not more than five years, be9 ginning with the fiscal year 2015 program year, for 

10 the procurement of Tomahawk block IV missiles. 

11 (2) SUBMISSION OF WRITTEN CERTIFICATION

12 BY SECRETARY OF DEFENSE.—For purposes of car13 rying out subsection (i)(1) of such section 2306b 

14 with respect to a contract entered into under para15 graph (1), the Secretary shall substitute ‘‘the date 

16 that is 45 days before the date on which the Sec17 retary enters into a contract under section ø1ll

18 of the National Defense Authorization Act for Fiscal 

19 Year 2015¿’’ for ‘‘March 1 of the year in which the 

20 Secretary requests legislative authority to enter into 

21 such contract’’. 

22 (b) CONDITION FOR OUT-YEAR CONTRACT PAY23 MENTS.—A contract entered into under subsection (a) 

24 shall provide that any obligation of the United States to 


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[HB] 

1 make a payment under the contract for a fiscal year after 

2 fiscal year 2015 is subject to the availability of appropria3 tions for that purpose for such later fiscal year.


April 14, 2014 (5:44 p.m.)

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[DB] 

1 SEC. 1ll. øLog 53972¿ LIMITATION ON AVAILABILITY OF 

2 FUNDS FOR MOORED TRAINING SHIP PRO3 GRAM. 

4 Of the funds authorized to be appropriated by this 

5 Act or otherwise made available for fiscal year 2015 for 

6 shipbuilding and construction, Navy, for design, conver7 sion, modification, or construction relating to the moored 

8 training ship program of the Navy, not more than 50 per9 cent may be obligated or expended until a period of 30 

10 days has elapsed following the date on which the Secretary 

11 of Defense certifies to the congressional defense commit12 tees that—

13 (1) the Chairman of the Joint Requirements 

14 Oversight Council has reviewed and approved the 

15 need for two additional moored training ships; 

16 (2) the Director of Cost Assessment and Pro17 gram Evaluation has reviewed and certified the cost 

18 estimates of the moored training ship program; and 

19 (3) the Under Secretary of Defense for Acquisi20 tion, Technology, and Logistics has reviewed and ap21 proved the budget, schedule, and construction plans 

22 for such two additional moored training ships.


April 24, 2014 (9:42 a.m.)

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[HB] 

1 SEC. 1ll. øLog 53569¿ PROHIBITION ON CANCELLATION OR 

2 MODIFICATION OF AVIONICS MODERNIZA3 TION PROGRAM FOR C–130 AIRCRAFT. 

4 None of the funds authorized to be appropriated by 

5 this Act or otherwise made available for fiscal year 2015 

6 for the Air Force may be used to—

7 (1) take any action to cancel or modify the avi8 onics modernization program of record for C–130 

9 aircraft; or 

10 (2) initiate an alternative communication, navi11 gation, surveillance, and air traffic management pro12 gram for C–130 aircraft that is designed or intended 

13 to replace the avionics modernization program de14 scribed in paragraph (1).


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[HB] 

1 SEC. 2ll. øLog 53634¿ PRELIMINARY DESIGN REVIEW OF 

2 PRESIDENTIAL AIRCRAFT RECAPITALIZA3 TION PROGRAM. 

4 The milestone decision authority (as defined in sec5 tion 2366b(g) of title 10, United States Code) may not 

6 make a waiver under section 2366b(d) of title 10, United 

7 States Code, with respect to the presidential aircraft re8 capitalization program of the Air Force.


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1 SEC. 2ll. øLog 54059¿ LIMITATION ON AVAILABILITY OF 

2 FUNDS FOR UNMANNED CARRIER-LAUNCHED 

3 AIRBORNE SURVEILLANCE AND STRIKE SYS4 TEM. 

5 (a) LIMITATION.—None of the funds authorized to 

6 be appropriated by this Act or otherwise made available 

7 for fiscal year 2015 for research, development, test, and 

8 evaluation, Navy, for the unmanned carrier-launched air9 borne surveillance and strike system may be obligated or 

10 expended to award a contract for air vehicle segment de11 velopment until a period of 15 days has elapsed following 

12 the date on which the Secretary of Defense submits the 

13 report under subsection (b). 

14 (b) REPORT.—Not later than December 31, 2014, 

15 the Secretary of Defense shall submit to the congressional 

16 defense committees a report that—

17 (1) certifies that a review of the requirements 

18 for air vehicle segments of the unmanned carrier19 launched surveillance and strike system is complete; 

20 and 

21 (2) includes the results of such review.


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[HB] 

1 SEC. 3ll[Log 53572]. LIMITATION ON AUTHORITY TO 

2 ENTER INTO A CONTRACT FOR THE 

3 SUSTAINMENT, MAINTENANCE, REPAIR, OR 

4 OVERHAUL OF THE F117 ENGINE. 

5 The Secretary of the Air Force may not enter into 

6 a contract for the sustainment, maintenance, repair, or 

7 overhaul of the F117 engine until the Under Secretary 

8 of Defense for Acquisition, Technology, and Logistics cer9 tifies to the congressional defense committees that the 

10 Secretary of the Air Force has structured the contract in 

11 such a way that provides the Secretary of the Air Force 

12 the required insight into all aspects of F117 system, sub13 system, components, and subcomponents regarding histor14 ical usage rates, cost, price, expected and actual service15 life, and supply chain management data sufficient to de16 termine that the Secretary of the Air Force is paying a 

17 fair and reasonable price for F117 sustainment, mainte18 nance, repair, and overhaul as compared to the PW2000 

19 commercial-derivative engine sustainment price for 

20 sustainment, maintenance, repair, and overhaul in the pri21 vate sector.


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[DS] 

1 SEC. 10ll[Log 53326]. SENSE OF CONGRESS RECOGNIZING 

2 THE ANNIVERSARY OF THE SINKING OF U.S.S. 

3 THRESHER. 

4 (a) FINDINGS.—Congress makes the following find5 ings: 

6 (1) U.S.S. Thresher was first launched at Ports7 mouth Naval Shipyard on July 9, 1960. 

8 (2) U.S.S. Thresher departed Portsmouth Naval 

9 Shipyard for her final voyage on April 9, 1963, with 

10 a crew of 16 officers, 96 sailors, and 17 civilians. 

11 (3) The mix of that crew reflects the unity of 

12 the naval submarine service, military and civilian, in 

13 the protection of the United States. 

14 (4) At approximately 7:47 a.m. on April 10, 

15 1963, while in communication with the surface ship 

16 U.S.S. Skylark, and approximately 220 miles off the 

17 coast of New England, U.S.S. Thresher began her 

18 final descent. 

19 (5) U.S.S. Thresher was declared lost with all 

20 hands on April 10, 1963. 

21 (6) In response to the loss of U.S.S. Thresher, 

22 the United States Navy instituted new regulations to 

23 ensure the health of the submariners and the safety 

24 of the submarines of the United States. 


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1 (7) Those regulations led to the establishment 

2 of the Submarine Safety and Quality Assurance pro3 gram (SUBSAFE), now one of the most comprehen4 sive military safety programs in the world. 

5 (8) SUBSAFE has kept the submariners of the 

6 United States safe at sea ever since as the strongest, 

7 safest submarine force in history. 

8 (9) Since the establishment of SUBSAFE, no 

9 SUBSAFE-certified submarine has been lost at sea, 

10 which is a legacy owed to the brave individuals who 

11 perished aboard U.S.S. Thresher. 

12 (10) From the loss of U.S.S. Thresher, there 

13 arose in the institutions of higher education in the 

14 United States the ocean engineering curricula that 

15 enables the preeminence of the United States in sub16 marine warfare. 

17 (11) The crew of U.S.S. Thresher demonstrated 

18 the ‘‘last full measure of devotion’’ in service to the 

19 United States, and this devotion characterizes the 

20 sacrifices of all submariners, past and present. 

21 (b) SENSE OF CONGRESS.—Congress—

22 (1) recognizes the 51st anniversary of the sink23 ing of U.S.S. Thresher; 


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1 (2) remembers with profound sorrow the loss of 

2 U.S.S. Thresher and her gallant crew of sailors and 

3 civilians on April 10, 1963; and 

4 (3) expresses its deepest gratitude to all subma5 riners on ‘‘eternal patrol’’, who are forever bound to6 gether by dedicated and honorable service to the 

7 United States of America.


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[DS] 

1 SEC. 10ll[Log 53896]. LIMITATION ON EXPENDITURE OF 

2 FUNDS UNTIL COMMENCEMENT OF PLAN3 NING OF REFUELING AND COMPLEX OVER4 HAUL OF THE U.S.S. GEORGE WASHINGTON. 

5 Not more than 50 percent of the funds authorized 

6 to be appropriated or otherwise made available under sec7 tion 301 of this Act for the Office of the Secretary of De8 fense for fiscal year 2015 may be obligated or expended 

9 until the Secretary of Defense obligates funds to com10 mence the planning and long lead time material procure11 ment associated with the refueling and complex overhaul 

12 of the U.S.S. George Washington (CVN–73).


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1 SEC. 10ll[Log 53685]. ELIMINATION OF REQUIREMENT 

2 THAT A QUALIFIED AVIATOR OR NAVAL 

3 FLIGHT OFFICER BE IN COMMAND OF AN IN4 ACTIVATED NUCLEAR-POWERED AIRCRAFT 

5 CARRIER BEFORE DECOMMISSIONING. 

6 Section 5942(a) of title 10, United States Code, is 

7 amended—

8 (1) by inserting ‘‘(1)’’ after ‘‘(a)’’; and 

9 (2) by adding at the end the following new 

10 paragraph: 

11 ‘‘(2) Paragraph (1) does not apply to command of 

12 a nuclear-powered aircraft carrier that has been inac13 tivated for the purpose of permanent decommissioning and 

14 disposal.’’.


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1 SEC. 10ll[Log 53772]. NATIONAL SEA-BASED DETERRENCE 

2 FUND. 

3 (a) IN GENERAL.—

4 (1) ESTABLISHMENT OF FUND.—Chapter 131 

5 of title 10, United States Code, is amended by in6 serting after section 2218 the following new section: 

7 ‘‘§ 2218a. National sea-based deterrence fund 

8 ‘‘(a) ESTABLISHMENT.—There is established in the 

9 Treasury a fund to be known as the ‘National Sea-Based 

10 Deterrence Fund’. 

11 ‘‘(b) ADMINISTRATION OF FUND.—The Secretary of 

12 Defense shall administer the Fund consistent with the 

13 provisions of this section. 

14 ‘‘(c) FUND PURPOSES.—(1) Funds in the Fund shall 

15 be available for obligation and expenditure only for the 

16 advanced procurement or construction of nuclear-powered 

17 strategic ballistic missile submarines. 

18 ‘‘(2) Funds in the Fund may not be used for a pur19 pose or program unless the purpose or program is author20 ized by law. 

21 ‘‘(d) DEPOSITS.—There shall be deposited in the 

22 Fund all funds appropriated to the Department of De23 fense for fiscal years after fiscal year 2017 for the ad24 vanced procurement or construction of nuclear-powered 

25 strategic ballistic missile submarines. 


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1 ‘‘(e) EXPIRATION OF FUNDS AFTER 10 YEARS.—No 

2 part of an appropriation that is deposited in the Fund 

3 pursuant to subsection (d) shall remain available for obli4 gation more than 10 years after the end of the fiscal year 

5 for which appropriated except to the extent specifically 

6 provided by law. 

7 ‘‘(f) BUDGET REQUESTS.—Budget requests sub8 mitted to Congress for the Fund shall separately identify 

9 the amount requested for programs, projects, and activi10 ties for the construction (including the design of vessels) 

11 of nuclear-powered strategic ballistic missile submarines. 

12 ‘‘(g) DEFINITIONS.—In this section: 

13 ‘‘(1) The term ‘Fund’ means the National Sea14 Based Deterrence Fund established by subsection 

15 (a). 

16 ‘‘(2) The term ‘nuclear-powered strategic bal17 listic missile submarine’ means any nuclear-powered 

18 submarine owned, operated, or controlled by the De19 partment of Defense with the primary mission of 

20 launching nuclear-armed ballistic missiles.’’. 

21 (2) CLERICAL AMENDMENT.—The table of sec22 tions at the beginning of such chapter is amended 

23 by inserting after the item relating to section 2218 

24 the following new item:

‘‘2218a. National sea-based deterrence fund.’’.

25 (b) TRANSFER AUTHORITY.—


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1 (1) IN GENERAL.—Subject to paragraph (2), 

2 and to the extent provided in appropriations Acts, 

3 the Secretary of Defense may transfer to the Na4 tional Sea-Based Deterrence Fund established by 

5 section 2218a of title 10, United States Code, as 

6 added by subsection (a)(1), amounts not to exceed 

7 $3,500,000,000 from unobligated funds authorized 

8 to be appropriated for fiscal years 2014, 2015, or 

9 2016 for the Navy for shipbuilding and conversion, 

10 Navy, for the advanced procurement or construction, 

11 purchase, or alteration of nuclear-powered strategic 

12 ballistic missile submarines. The transfer authority 

13 provided under this paragraph is in addition to any 

14 other transfer authority provided to the Secretary of 

15 Defense by law. 

16 (2) AVAILABILITY.—Funds transferred to the 

17 National Sea-Based Deterrence Fund pursuant to 

18 paragraph (1) shall remain available for the same 

19 period for which the transferred funds were origi20 nally appropriated. 


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1 SEC. 10ll[Log 53806]. DEFINITION OF COMBATANT AND 

2 SUPPORT VESSEL FOR PURPOSES OF THE AN3 NUAL PLAN AND CERTIFICATION RELATING 

4 TO BUDGETING FOR CONSTRUCTION OF 

5 NAVAL VESSELS. 

6 Section 231(f) of title 10, United States Code, is 

7 amended by adding at the end the following new para8 graph: 

9 ‘‘(4) The term ‘combatant and support vessel’ 

10 means any commissioned ship built or armed for 

11 naval combat or any naval ship designed to provide 

12 support to combatant ships and other naval oper13 ations. Such term does not include patrol coastal 

14 ships, non-commissioned combatant craft specifically 

15 designed for combat roles, or ships that are des16 ignated for potential mobilization.’’.


April 11, 2014 (3:09 p.m.)

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[DS] 

1 SEC. 3501 [Log 53132]. AUTHORIZATION OF APPROPRIA2 TIONS FOR NATIONAL SECURITY ASPECTS OF 

3 THE MERCHANT MARINE FOR FISCAL YEAR 

4 2015. 

5 Funds are hereby authorized to be appropriated for 

6 fiscal year 2015, to be available without fiscal year limita7 tion if so provided in appropriations Acts, for the use of 

8 the Department of Transportation for Maritime Adminis9 tration programs associated with maintaining national se10 curity aspects of the merchant marine, as follows: 

11 (1) For expenses necessary for operations of the 

12 United States Merchant Marine Academy, 

13 $79,790,000, of which—

14 (A) $65,290,000 shall remain available 

15 until expended for Academy operations; 

16 (B) $14,500,000 shall remain available 

17 until expended for capital asset management at 

18 the Academy. 

19 (2) For expenses necessary to support the State 

20 maritime academies, $17,650,000, of which—

21 (A) $2,400,000 shall remain available until 

22 expended for student incentive payments; 


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[DS] 

1 (B) $3,600,000 shall remain available until 

2 expended for direct payments to such acad3 emies; 

4 (C) $11,300,000 shall remain available 

5 until expended for maintenance and repair of 

6 State maritime academy training vessels; and 

7 (D) $350,000 shall remain available until 

8 expended for improving the monitoring of grad9 uates’ service obligation. 

10 (3) For expenses necessary to support Maritime 

11 Administration operations and programs, 

12 $50,960,000. 

13 (4) For expenses necessary to dispose of vessels 

14 in the National Defense Reserve Fleet, $4,800,000, 

15 to remain available until expended. 

16 (5) For expenses to maintain and preserve a 

17 United States-flag merchant marine to serve the na18 tional security needs of the United States under 

19 chapter 531 of title 46, United States Code, 

20 $186,000,000. 

21 (6) For the cost (as defined in section 502(5) 

22 of the Federal Credit Reform Act of 1990 (2 U.S.C. 

23 661a(5)) of loan guarantees under the program au24 thorized by chapter 537 of title 46, United States 

25 Code, $73,100,000, of which $3,100,000 shall reVerDate 0ct 09 2002 12:50 Apr 07, 2014 Jkt 000000 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 C:\USERS\HASAVAGE\APPDATA\ROAMING\SOFTQUAD\XMETAL\7.0\GEN\C\LOG53132.X

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1 main available until expended for administrative ex2 penses of the program.


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7

1 SEC. 3503 [Log 53687]. SENSE OF CONGRESS ON THE ROLE 

2 OF DOMESTIC MARITIME INDUSTRY IN NA3 TIONAL SECURITY. 

4 (a) FINDINGS.—Congress finds that—

5 (1) the United States domestic maritime indus6 try carries hundreds of million of tons of cargo an7 nually, supports nearly 500,000 jobs, and provides 

8 nearly 100 billion in annual economic output; 

9 (2) the Nation’s military sealift capacity will 

10 benefit from one of the fastest growing segments of 

11 the domestic trades, 14 domestic trade tankers that 

12 are on order to be constructed at United States 

13 shipyards as of February 1, 2014; 

14 (3) the domestic trades’ vessel innovations that 

15 transformed worldwide maritime commerce include 

16 the development of containerships, self-unloading 

17 vessels, articulated tug-barges, trailer barges, chem18 ical parcel tankers, railroad-on-barge carfloats, and 

19 river flotilla towing systems; 

20 (4) the national security benefits of the domes21 tic maritime industry are unquestioned as the De22 partment of Defense depends on United States do23 mestic trades’ fleet of container ships, roll-on/roll-off 

24 ships, and product tankers to carry military cargoes; 

25 (5) the Department of Defense benefits from a 

26 robust commercial shipyard and ship repair industry 


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8

1 and current growth in that sector is particularly im2 portant as Federal budget cuts may reduce the num3 ber of new constructed military vessels; and 

4 (6) the domestic fleet is essential to national se5 curity and was a primary source of mariners needed 

6 to crew United States Government-owned sealift ves7 sels activated from reserve status during Operations 

8 Enduring Freedom and Iraqi Freedom in the period 

9 2002 through 2010. 

10 (b) SENSE OF CONGRESS.—It is the sense of Con11 gress that United States coastwise trade laws promote a 

12 strong domestic trade maritime industry, which supports 

13 the national security and economic vitality of the United 

14 States and the efficient operation of the United States 

15 transportation system.


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DIRECTIVE REPORT LANGUAGE 

29
Table Of Contents 

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS 

TITLE I—PROCUREMENT 

SHIPBUILDING AND CONVERSION, NAVY

Items of Special Interest 

Joint High Speed Vessel 

Littoral Combat Ship 

Shipbuilding warranties and guarantees 

Surface ship test platform 

TITLE II—RESEARCH, DEVELOPMENT, TEST, AND 

EVALUATION 

RESEARCH, DEVELOPMENT, TEST, AND EVALUATION, NAVY

Items of Special Interest 

Unmanned Carrier-Launched Surveillance and Strike Program 

TITLE X—GENERAL PROVISIONS 

ITEMS OF SPECIAL INTEREST 

OTHER MATTERS

Force Structure Assessment 

DIVISION C—DEPARTMENT OF ENERGY NATIONAL 

SECURITY AUTHORIZATIONS AND OTHER 

AUTHORIZATIONS 

TITLE XXXV—MARITIME ADMINISTRATION 

ITEMS OF SPECIAL INTEREST 

Recapitalization of the U.S. Maritime Ready Reserve Force Fleet 

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS 

TITLE I—PROCUREMENT 

SHIPBUILDING AND CONVERSION, NAVY

Items of Special Interest 

Joint High Speed Vessel 

 The committee is aware of the premium that the Department of Defense 

places on the ability of U.S. military forces to deploy quickly to a full spectrum of 

engagements. In addition, the Department values the ability of U.S. forces to 

debark and embark in a wide range of port environments, from modern to austere. 

30
 The committee notes that the Joint High Speed Vessel (JHSV), crewed by 

Military Sealift Command mariners, has demonstrated the ability to transport 

military forces, as well as humanitarian relief personnel and materiel, in a manner 

that is responsive, deployable, agile, versatile, and sustainable. The USNS 

Spearhead (JHSV-1) is currently deployed to the U.S. 6th Fleet area of 

responsibility. 

 The JHSV is designed to transport 600 short tons of military cargo 1,200 

nautical miles at an average speed of 35 knots in sea state 3. JHSVs support Navy 

Expeditionary Combat Command and riverine forces, theater cooperating missions, 

Seabees, and Marine Corps and Army transportation. The original procurement 

objective for the JHSV was 18 ships. This procurement number was lowered to 10 

JHSVs as part of the budget request for fiscal year 2013. 

 The committee notes that the JHSV has the ability to support multiple 

branches of the military services, provide high-speed intra-theater sealift, operate 

in littoral environments and austere port environments, and support humanitarian 

and disaster relief activities. The committee also notes that the ship’s construction 

line is still operational. For these reasons, the committee directs the Secretary of 

the Navy to submit a report to the congressional defense committees by April 1, 

2015, on the operational benefits and cost savings associated with continuing to 

procure JHSVs. The report should specifically address the costs and benefits of 

buying the eight additional JHSVs that were originally part of the program. 

Littoral Combat Ship 

 The committee is concerned about the survivability, lethality and 

endurance of the Navy’s Littoral Combat Ship (LCS), as noted by the Government 

Accountability Office and others. In a July 2013 report, the Government 

Accountability Office stated that the Navy has lowered its expectations of LCS 

capability over time from a ship that would be employable and sustainable 

throughout a battle zone regardless of the threat, to one that is not to be employed 

outside a benign, low-threat environment unless escorted. In February 2014, the 

Secretary of Defense reduced the total number of LCS seaframes to 32 from the 

planned procurement of 52 and also directed the Navy to submit alternate proposals 

to procure “a capable and lethal small surface combatant generally consistent with 

the capabilities of a frigate.” The Chief of Naval Operations has directed a Small 

Surface Combatant Task Force to report on the results by July 31, 2014. 

 Therefore, the committee directs the Comptroller General of the United 

States to provide a report to the congressional defense committees by April 1, 2015, 

that examines the Department of the Navy’s study and its implications for the 

procurement of future small surface combatants. This report should assess: 

 (1) The study's methodologies and key assumptions; 

 (2) Any alternate ship design(s) and modifications to the Littoral Combat 

Ship that the Navy evaluated, including expectations of cost, schedule, and 

requirements; and 

31
 (3) The extent to which the study was consistent with the approach of a 

formal analysis of alternatives, as set forth in Department of Defense acquisition 

policy. 

Shipbuilding warranties and guarantees 

 The committee notes that the Government Accountability Office recently 

reported that the Navy continues to accept delivery of ships with large numbers of 

deficiencies. Depending on the contract type under which the ships were 

constructed, the Government may share a significant portion of the costs associated 

with fixing these deficiencies. In order to better assess the magnitude of this issue, 

the committee directs the Comptroller General of the United States to submit a 

report to the congressional defense committees by October 1, 2015, on the efficacy of 

warranties, guarantees, and other such mechanisms that are used in U.S. 

shipbuilding programs. This report should have a particular focus on: 

 (1) The extent to which these mechanisms are used in Government and 

commercial shipbuilding programs; 

 (2) How the Government assigns responsibility for a defect and corrects 

such problems; and 

(3) The extent to which these mechanisms may reduce the Government’s 

exposure to additional costs resulting from defective workmanship or equipment. 

Surface ship test platform 

 The committee notes that the Manta test platform concept has been 

successfully used to evaluate submarine sensors at a greatly reduced cost compared 

to using a full-size submarine for test and evaluation. The committee believes that 

a similar surface ship test system could be utilized to test and evaluate existing and 

emerging sonar systems for surface ships. Therefore, the committee directs the 

Secretary of the Navy to submit a report to the congressional defense committees by 

March 1, 2015, to include a cost-benefit assessment of designing and fabricating a 

purpose-built surface ship test craft that could be utilized to test and evaluate 

existing and emerging sonar systems for surface ships. 

TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION 

RESEARCH, DEVELOPMENT, TEST, AND EVALUATION, NAVY

Items of Special Interest 

Unmanned Carrier-Launched Surveillance and Strike Program 

 The budget request contained $403.0 million in PE 64404N for Unmanned 

Carrier-Launched Airborne Surveillance and Strike (UCLASS) development.

32
 The committee believes that current UCLASS Air System Segment 

requirements will not address the emerging anti-access/area-denial (A2/AD) 

challenges to U.S. power projection that originally motivated creation of the Navy 

Unmanned Combat Air System (N-UCAS) program during the 2006 Quadrennial 

Defense Review (QDR), and which were reaffirmed in both the 2010 QDR and 2012 

Defense Strategic Guidance. In particular, the disproportionate emphasis in the 

requirements on unrefueled endurance to enable continuous intelligence, 

surveillance, and reconnaissance (ISR) support to the Carrier Strike Group (CSG), a 

capability need presumably satisfied by the planned acquisition of 68 MQ-4C 

Tritons, would result in an aircraft with serious deficiencies in both survivability 

and internal weapons payload capacity and flexibility. Further, the cost limits for 

the aircraft are more consistent with a much less capable aircraft and will not 

enable the Navy to build a relevant vehicle that leverages readily available and 

mature technology. As planned, UCLASS appears unsupportive of the 2012 

Defense Strategic Guidance for the United States to “maintain its ability to project 

power in areas in which our access and freedom to operate are challenged.”

 The committee believes that the Navy needs a long-range, survivable 

unmanned ISR-strike aircraft as an integral part of the carrier air wings as soon as 

possible. However, investing in a program today that does not adequately address 

the threat will only delay, and could preclude, investment in and fielding of the 

right system later. Therefore, the committee believes special attention needs to be 

paid to threshold UCLASS requirements. 

 Finally, the committee is concerned with multiple aspects of the proposed 

UCLASS acquisition strategy, including: insufficient time and funding for 

contractors to mature their designs in support of a full-scope Preliminary Design 

Review, due in part to late-developing and still-evolving air system performance 

requirements; the additional risk to the program associated with the Navy’s 

decision to abandon the precision landing system developed and successfully tested 

during the UCAS-D effort; and the potential risk associated with NAVAIR 

developing the UCLASS Mission Control System internally. 

 Therefore, the committee directs the Secretary of Defense to conduct a 

review of the requirements for a carrier-based unmanned aircraft system to extend 

the ISR and precision strike reach of the carrier air wing in A2/AD threat 

environments projected for 2025-2035, and to provide a report on the review to the 

congressional defense committees by December 30, 2014. The review should pay 

special attention to revised threshold requirements for unrefueled mission 

endurance, automated aerial refueling, refueled mission endurance, survivability, 

internal weapons carriage and flexibility, and autonomy/mission control system 

functionality. It should include mission- and campaign-level quantitative analysis of 

representative carrier-based unmanned air system missions in the 2025-2035 

timeframe, including but not limited to ISR, precision strike, and electronic attack. 

It should also consider the overall composition of the future carrier air wing, 

including the optimal mix of manned and unmanned squadrons, for conducting 

representative joint ISR-strike campaigns in the 2030 timeframe. The committee 

33
also includes a provision elsewhere in this Act that would prohibit the Secretary of 

the Navy from awarding a contract for the UCLASS air vehicle segment until the 

Secretary of Defense completes the requirements review and provides the report to 

the congressional defense committees. 

TITLE X—GENERAL PROVISIONS 

ITEMS OF SPECIAL INTEREST 

OTHER MATTERS

Force Structure Assessment 

 The committee notes that the Secretary of the Navy conducted a Force 

Structure Assessment in 2012 that determined the proposed composition of Navy 

surface and subsurface vessels. This latest Force Structure Assessment determined 

that an overall Navy fleet of 306 ships would be necessary to support the overall 

defense strategy. Since the release of the 2012 Force Structure Assessment, the 

Secretary of Defense released the 2014 Quadrennial Defense Review which 

determined, in part, the requirement for 11 aircraft carriers and 92 large surface 

combatants. Therefore, the committee directs the Secretary of the Navy to update 

the most recent Force Structure Assessment and to submit it to the congressional 

defense committees by March 1, 2015. 

DIVISION C—DEPARTMENT OF ENERGY NATIONAL 

SECURITY AUTHORIZATIONS AND OTHER 

AUTHORIZATIONS 

TITLE XXXV—MARITIME ADMINISTRATION 

ITEMS OF SPECIAL INTEREST 

Recapitalization of the U.S. Maritime Ready Reserve Force Fleet 

 The committee believes it is in the interest of U.S. national security that 

the U.S. merchant marine, both ships and mariners, serve as a national auxiliary in 

times of war or national emergency. The Ready Reserve Force of the U.S. Maritime 

Administration, a component of the National Defense Reserve Fleet, plays an 

important role in U.S. national security by providing necessary readiness and 

efficiency in the form of a government-owned sealift fleet. The committee believes it 

is important that the Ready Reserve Force fleet remains capable, modern, and 

efficient in order to best serve the national security needs of the United States in 

times of war or national emergency. Accordingly, the committee directs the 

Commander, U.S. Transportation Command to brief the House Committee on 

34
Armed Services by September 1, 2014, on the options considered to modernize and 

recapitalize the Ready Reserve Force fleet and on the Commander's recommended 

path forward. 

35