H. R. 5010—50
later than 30 days after the end of each fiscal quarter to the
Committees on Appropriations of the Senate and House of Rep-
resentatives that details any transfer of funds from the ‘‘Overseas
Contingency Operations Transfer Fund’’: Provided further, That
the report shall explain any transfer for the maintenance of real
property, pay of civilian personnel, base operations support, and
weapon, vehicle or equipment maintenance.
SEC. 8131. For purposes of section 1553(b) of title 31, United
States Code, any subdivision of appropriations made in this Act
under the heading ‘‘Shipbuilding and Conversion, Navy’’ shall be
considered to be for the same purpose as any subdivision under
the heading ‘‘Shipbuilding and Conversion, Navy’’ appropriations
in any prior year, and the 1 percent limitation shall apply to
the total amount of the appropriation.
SEC. 8132. The budget of the President for fiscal year 2004
submitted to the Congress pursuant to section 1105 of title 31,
United States Code, and each annual budget request thereafter,
shall include separate budget justification documents for costs of
United States Armed Forces’ participation in contingency operations
for the Military Personnel accounts, the Overseas Contingency
Operations Transfer Fund, the Operation and Maintenance
accounts, and the Procurement accounts: Provided, That these
budget justification documents shall include a description of the
funding requested for each anticipated contingency operation, for
each military service, to include active duty and Guard and Reserve
components, and for each appropriation account: Provided further,
That these documents shall include estimated costs for each element
of expense or object class, a reconciliation of increases and decreases
for ongoing contingency operations, and programmatic data
including, but not limited to troop strength for each active duty
and Guard and Reserve component, and estimates of the major
weapons systems deployed in support of each contingency: Provided
further, That these documents shall include budget exhibits OP–
5 and OP–32, as defined in the Department of Defense Financial
Management Regulation, for the Overseas Contingency Operations
Transfer Fund for fiscal years 2002 and 2003.
SEC. 8133. Notwithstanding any other provision in this Act,
the total amount appropriated in this Act is hereby reduced by
$59,260,000, to reduce cost growth in travel, to be distributed
as follows:
‘‘Operation and Maintenance, Army’’, $14,000,000;
‘‘Operation and Maintenance, Navy’’, $9,000,000;
‘‘Operation and Maintenance, Marine Corps’’, $10,000,000;
‘‘Operation and Maintenance, Air Force’’, $15,000,000; and
‘‘Operation and Maintenance, Defense-Wide’’, $11,260,000.
SEC. 8134. None of the funds in this Act may be used for
research, development, test, evaluation, procurement or deployment
of nuclear armed interceptors of a missile defense system.
(INCLUDING RESCISSIONS)
SEC. 8135. (a) The total amount appropriated or otherwise
made available in titles II, III, and IV of this Act is hereby reduced
by $1,374,000,000 to reflect revised economic assumptions: Pro-
vided, That the Secretary of Defense shall allocate this reduction
proportionately to each budget activity, activity group, subactivity
group, and each program, project, and activity within each
H. R. 5010—51
applicable appropriation account: Provided further, That appropria-
tions made available in this Act for the pay and benefits of military
personnel are exempt from reductions under this provision.
(b) Of the funds provided in the Department of Defense Appro-
priations Act, 2002, (division A of Public Law 107–117),
$300,000,000 are rescinded from amounts made available under
titles III and IV of that Act: Provided, That the Secretary of Defense
shall allocate this rescission proportionately by program, project,
and activity.
SEC. 8136. During the current fiscal year, section 2533a(f)
of Title 10, United States Code, shall not apply to any fish, shellfish,
or seafood product. This section is applicable to contracts and sub-
contracts for the procurement of commercial items notwithstanding
section 34 of the Office of Federal Procurement Policy Act (41
U.S.C. 430).
SEC. 8137. None of the funds appropriated by this Act may
be used to convert the 939th Combat Search and Rescue Wing
of the Air Force Reserve until the Secretary of the Air Force
certifies to the Congress the following: (a) that a functionally com-
parable search and rescue capability is available in the 939th Search
and Rescue Wing’s area of responsibility; (b) that any new aircraft
assigned to the unit will comply with local environmental and
noise standards; and (c) that the Air Force has developed a plan
for the transition of personnel and manpower billets currently
assigned to this unit.
SEC. 8138. NAVY DRY-DOCK AFDL–47 (a) REQUIREMENT FOR
SALE.—Notwithstanding any other provision of law, the Secretary
of the Navy shall sell the Navy Dry-dock AFDL–47, located in
Charleston, South Carolina, to Detyens Shipyards, Inc., the current
lessee of the dry-dock from the Navy.
(b) CONSIDERATION.—As consideration for the sale of the dry-
dock under subsection (a), the Secretary shall receive an amount
equal to the fair market value of the dry-dock at the time of
the sale, as determined by the Secretary, taking into account
amounts paid by, or due and owing from, the lessee.
SEC. 8139. From funds made available in this Act for the
Office of Economic Adjustment under the heading ‘‘Operation and
Maintenance, Defense-Wide’’, $100,000 shall be available for the
elimination of asbestos at former Battery 204, Odiorne Point, New
Hampshire.
SEC. 8140. The Secretary of Defense may, using amounts appro-
priated or otherwise made available by this Act, make a grant
to the National D-Day Museum in the amount of $3,000,000.
SEC. 8141. (a) PRELIMINARY STUDY AND ANALYSIS REQUIRED.—
The Secretary of the Army shall carry out a preliminary engineering
study and environmental analysis regarding the establishment of
a connector road between United States Route 1 and Telegraph
Road in the vicinity of Fort Belvoir, Virginia.
(b) FUNDING.—Of the amount appropriated by title II under
the heading ‘‘OPERATION
AND
MAINTENANCE, ARMY’’, up to
$5,000,000 may be available for the preliminary study and analysis
required by subsection (a).
SEC. 8142. Of the amount appropriated by title V under the
heading ‘‘NATIONAL DEFENSE SEALIFT FUND’’, up to $10,000,000
may be available for implementing the recommendations resulting
from the Navy’s Non-Self Deployable Watercraft (NDSW) Study
and the Joint Chiefs of Staff Focused Logistics Study, which are
H. R. 5010—52
to determine the requirements of the Navy for providing lift support
for mine warfare ships and other vessels.
SEC. 8143. (a) Congress finds that—
(1) the Medal of Honor is the highest award for valor
in action against an enemy force which can be bestowed upon
an individual serving in the Armed Forces of the United States;
(2) the Medal of Honor was established by Congress during
the Civil War to recognize soldiers who had distinguished them-
selves by gallantry in action;
(3) the Medal of Honor was conceived by Senator James
Grimes of the State of Iowa in 1861; and
(4) the Medal of Honor is the Nation’s highest military
honor, awarded for acts of personal bravery or self-sacrifice
above and beyond the call of duty.
(b)(1) Chapter 9 of title 36, United States Code, is amended
by adding at the end the following new section:
‘‘§ 903. Designation of Medal of Honor Flag
‘‘(a) DESIGNATION.—The Secretary of Defense shall design and
designate a flag as the Medal of Honor Flag. In selecting the
design for the flag, the Secretary shall consider designs submitted
by the general public.
‘‘(b) PRESENTATION.—The Medal of Honor Flag shall be pre-
sented as specified in sections 3755, 6257, and 8755 of title 10
and section 505 of title 14.’’.
(2) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘903. Designation of Medal of Honor Flag.’’.
(c)(1)(A) Chapter 357 of title 10, United States Code, is amended
by adding at the end the following new section:
‘‘§ 3755. Medal of honor: presentation of Medal of Honor Flag
‘‘The President shall provide for the presentation of the Medal
of Honor Flag designated under section 903 of title 36 to each
person to whom a medal of honor is awarded under section 3741
of this title after the date of the enactment of this section. Presen-
tation of the flag shall be made at the same time as the presentation
of the medal under section 3741 or 3752(a) of this title.’’.
(B) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘3755. Medal of honor: presentation of Medal of Honor Flag.’’.
(2)(A) Chapter 567 of such title is amended by adding at the
end the following new section:
‘‘§ 6257. Medal of honor: presentation of Medal of Honor Flag
‘‘The President shall provide for the presentation of the Medal
of Honor Flag designated under section 903 of title 36 to each
person to whom a medal of honor is awarded under section 6241
of this title after the date of the enactment of this section. Presen-
tation of the flag shall be made at the same time as the presentation
of the medal under section 6241 or 6250 of this title.’’.
(B) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘6257. Medal of honor: presentation of Medal of Honor Flag.’’.
(3)(A) Chapter 857 of title 10, United States Code, is amended
by adding at the end the following new section:
H. R. 5010—53
‘‘§ 8755. Medal of honor: presentation of Medal of Honor Flag
‘‘The President shall provide for the presentation of the Medal
of Honor Flag designated under section 903 of title 36 to each
person to whom a medal of honor is awarded under section 8741
of this title after the date of the enactment of this section. Presen-
tation of the flag shall be made at the same time as the presentation
of the medal under section 8741 or 8752(a) of this title.’’.
(B) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘8755. Medal of honor: presentation of Medal of Honor Flag.’’.
(4)(A) Chapter 13 of title 14, United States Code, is amended
by inserting after section 504 the following new section:
‘‘§ 505. Medal of honor: presentation of Medal of Honor Flag
‘‘The President shall provide for the presentation of the Medal
of Honor Flag designated under section 903 of title 36 to each
person to whom a medal of honor is awarded under section 491
of this title after the date of the enactment of this section. Presen-
tation of the flag shall be made at the same time as the presentation
of the medal under section 491 or 498 of this title.’’.
(B) The table of sections at the beginning of such chapter
is amended by inserting after the item relating to section 504
the following new item:
‘‘505. Medal of honor: presentation of Medal of Honor Flag.’’.
(d) The President shall provide for the presentation of the
Medal of Honor Flag designated under section 903 of title 36,
United States Code, as added by subsection (b), to each person
awarded the Medal of Honor before the date of enactment of this
Act who is living as of that date. Such presentation shall be made
as expeditiously as possible after the date of the designation of
the Medal of Honor Flag by the Secretary of Defense under such
section.
SEC. 8144. (a) The conditions described in section 1305 of
the National Defense Authorization Act for Fiscal Year 2000 (Public
Law 106–65; 22 U.S.C. 5952 note) shall not apply to the obligation
and expenditure of funds for fiscal years 2000, 2001, 2002 and
2003 for the planning, design, or construction of a chemical weapons
destruction facility in Russia if the President submits to Congress
a written certification that includes—
(1) a statement as to why waiving the conditions is impor-
tant to the national security interests of the United States;
(2) a full and complete justification for exercising this
waiver; and
(3) a plan to promote a full and accurate disclosure by
Russia regarding the size, content, status, and location of its
chemical weapons stockpile.
(b) EXPIRATION OF AUTHORITY.—The authority under paragraph
(a) shall expire on September 30, 2003.
SEC. 8145. Effective as of August 2, 2002, the 2002 Supple-
mental Appropriations Act for Further Recovery From and Response
To Terrorist Attacks on the United States (Public Law 107–206)
is amended—
(1) in section 305(a) (116 Stat. 840), by striking ‘‘fiscal
year 2002’’ and inserting ‘‘fiscal years 2002 and 2003’’; and
(2) in section 309 (116 Stat. 841), by striking ‘‘of’’ after
‘‘instead’’.
H. R. 5010—54
SEC. 8146. The Secretary of Defense may modify the grant
made to the State of Maine pursuant to section 310 of the 2002
Supplemental Appropriations Act for Further Recovery From and
Response To Terrorist Attacks on the United States (Public Law
107–206) such that the modified grant is for purposes of supporting
community adjustment activities relating to the closure of the Naval
Security Group Activity, Winter Harbor, Maine (the naval base
on Schoodic Point, within Acadia National Park), and the reuse
of such Activity, including reuse as a research and education center
the activities of which may be consistent with the purposes of
Acadia National Park, as determined by the Secretary of the
Interior. The grant may be so modified not later than 60 days
after the date of the enactment of this Act.
SEC. 8147. None of the funds appropriated by this Act may
be used for leasing of transport/VIP aircraft under any contract
entered into under any procurement procedures other than pursuant
to the Competition and Contracting Act.
SEC. 8148. (a) Funds appropriated by title II under the heading
‘‘Operation and Maintenance, Defense-Wide’’ may be used by the
Military Community and Family Policy Office of the Department
of Defense for the operation of multidisciplinary, impartial domestic
violence fatality review teams of the Department of Defense that
operate on a confidential basis.
(b) Of the total amount appropriated by title II under the
heading ‘‘Operation and Maintenance, Defense-Wide’’, $5,000,000
may be used for an advocate of victims of domestic violence to
provide confidential assistance to victims of domestic violence at
military installations.
(c) Not later than June 30, 2003, the Secretary of Defense
shall submit to the Congress a report on the implementation of
the recommendations included in the reports submitted to the Sec-
retary by the Defense Task Force on Domestic Violence.
SEC. 8149. (a) LIMITATION ON NUMBER OF GOVERNMENT CHARGE
CARD ACCOUNTS DURING FISCAL YEAR 2003.—The total number
of accounts for government purchase charge cards and government
travel charge cards for Department of Defense personnel during
fiscal year 2003 may not exceed 1,500,000 accounts.
(b) REQUIREMENT
FOR CREDITWORTHINESS
FOR ISSUANCE
OF
GOVERNMENT CHARGE CARD.—(1) The Secretary of Defense shall
evaluate the creditworthiness of an individual before issuing the
individual a government purchase charge card or government travel
charge card.
(2) An individual may not be issued a government purchase
charge card or government travel charge card if the individual
is found not credit worthy as a result of the evaluation under
paragraph (1).
(c) DISCIPLINARY ACTION FOR MISUSE OF GOVERNMENT CHARGE
CARD.—(1) The Secretary shall establish guidelines and procedures
for disciplinary actions to be taken against Department personnel
for improper, fraudulent, or abusive use of government purchase
charge cards and government travel charge cards.
(2) The guidelines and procedures under this subsection shall
include appropriate disciplinary actions for use of charge cards
for purposes, and at establishments, that are inconsistent with
the official business of the Department or with applicable standards
of conduct.
(3) The disciplinary actions under this subsection may include—
H. R. 5010—55
(A) the review of the security clearance of the individual
involved; and
(B) the modification or revocation of such security clearance
in light of the review.
(4) The guidelines and procedures under this subsection shall
apply uniformly among the Armed Forces and among the elements
of the Department.
(d) REPORT.—Not later than June 30, 2003, the Secretary shall
submit to the congressional defense committees a report on the
implementation of the requirements and limitations in this section,
including the guidelines and procedures established under sub-
section (c).
SEC. 8150. Notwithstanding any provision 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) or any other provision
of law, the Secretary of the Navy shall transfer administrative
jurisdiction of the portion of the former Charleston Naval Base,
South Carolina, comprising a law enforcement training facility of
the Department of Justice, together with any improvements
thereon, to the head of the department of the Federal Government
having jurisdiction of the Border Patrol as of the date of the transfer
under this section.
TITLE IX—COMMERCIAL REUSABLE IN-SPACE
TRANSPORTATION
SEC. 901. SHORT TITLE.
This title may be cited as the ‘‘Commercial Reusable In-Space
Transportation Act of 2002’’.
SEC. 902. FINDINGS.
Congress makes the following findings:
(1) It is in the national interest to encourage the production
of cost-effective, in-space transportation systems, which would
be built and operated by the private sector on a commercial
basis.
(2) The use of reusable in-space transportation systems
will enhance performance levels of in-space operations, enhance
efficient and safe disposal of satellites at the end of their
useful lives, and increase the capability and reliability of
existing ground-to-space launch vehicles.
(3) Commercial reusable in-space transportation systems
will enhance the economic well-being and national security
of the United States by reducing space operations costs for
commercial and national space programs and by adding new
space capabilities to space operations.
(4) Commercial reusable in-space transportation systems
will provide new cost-effective space capabilities (including
orbital transfers from low altitude orbits to high altitude orbits
and return, the correction of erroneous satellite orbits, and
the recovery, refurbishment, and refueling of satellites) and
the provision of upper stage functions to increase ground-to-
orbit launch vehicle payloads to geostationary and other high
energy orbits.
(5) Commercial reusable in-space transportation systems
can enhance and enable the space exploration of the United
States by providing lower cost trajectory injection from earth
H. R. 5010—56
orbit, transit trajectory control, and planet arrival deceleration
to support potential National Aeronautics and Space Adminis-
tration missions to Mars, Pluto, and other planets.
(6) Satellites stranded in erroneous earth orbit due to defi-
ciencies in their launch represent substantial economic loss
to the United States and present substantial concerns for the
current backlog of national space assets.
(7) Commercial reusable in-space transportation systems
can provide new options for alternative planning approaches
and risk management to enhance the mission assurance of
national space assets.
(8) Commercial reusable in-space transportation systems
developed by the private sector can provide in-space transpor-
tation services to the National Aeronautics and Space Adminis-
tration, the Department of Defense, the National Reconnais-
sance Office, and other agencies without the need for the United
States to bear the cost of production of such systems.
(9) The availability of loan guarantees, with the cost of
credit risk to the United States paid by the private-sector,
is an effective means by which the United States can help
qualifying private-sector companies secure otherwise unattain-
able private financing for the production of commercial reusable
in-space transportation systems, while at the same time mini-
mizing Government commitment and involvement in the
development of such systems.
SEC. 903. LOAN GUARANTEES FOR PRODUCTION OF COMMERCIAL
REUSABLE IN-SPACE TRANSPORTATION.
(a) AUTHORITY TO MAKE LOAN GUARANTEES.—The Secretary
may guarantee loans made to eligible United States commercial
providers for purposes of producing commercial reusable in-space
transportation services or systems.
(b) ELIGIBLE UNITED STATES COMMERCIAL PROVIDERS.—The
Secretary shall prescribe requirements for the eligibility of United
States commercial providers for loan guarantees under this section.
Such requirements shall ensure that eligible providers are finan-
cially capable of undertaking a loan guaranteed under this section.
(c) LIMITATION ON LOANS GUARANTEED.—The Secretary may
not guarantee a loan for a United States commercial provider
under this section unless the Secretary determines that credit would
not otherwise be reasonably available at the time of the guarantee
for the commercial reusable in-space transportation service or
system to be produced utilizing the proceeds of the loan.
(d) CREDIT SUBSIDY.—
(1) COLLECTION
REQUIRED.—The Secretary shall collect
from each United States commercial provider receiving a loan
guarantee under this section an amount equal to the amount,
as determined by the Secretary, to cover the cost, as defined
in section 502(5) of the Federal Credit Reform Act of 1990,
of the loan guarantee.
(2) PERIODIC DISBURSEMENTS.—In the case of a loan guar-
antee in which proceeds of the loan are disbursed over time,
the Secretary shall collect the amount required under this
subsection on a pro rata basis, as determined by the Secretary,
at the time of each disbursement.
(e) OTHER TERMS AND CONDITIONS.—
H. R. 5010—57
(1) PROHIBITION ON SUBORDINATION.—A loan guaranteed
under this section may not be subordinated to another debt
contracted by the United States commercial provider concerned,
or to any other claims against such provider.
(2) RESTRICTION
ON
INCOME.—A loan guaranteed under
this section may not—
(A) provide income which is excluded from gross income
for purposes of chapter 1 of the Internal Revenue Code
of 1986; or
(B) provide significant collateral or security, as deter-
mined by the Secretary, for other obligations the income
from which is so excluded.
(3) TREATMENT OF GUARANTEE.—The guarantee of a loan
under this section shall be conclusive evidence of the following:
(A) That the guarantee has been properly obtained.
(B) That the loan qualifies for the guarantee.
(C) That, but for fraud or material misrepresentation
by the holder of the loan, the guarantee is valid, legal,
and enforceable.
(4) OTHER TERMS AND CONDITIONS.—The Secretary may
establish any other terms and conditions for a guarantee of
a loan under this section, as the Secretary considers appropriate
to protect the financial interests of the United States.
(f) ENFORCEMENT OF RIGHTS.—
(1) IN
GENERAL.—The Attorney General may take any
action the Attorney General considers appropriate to enforce
any right accruing to the United States under a loan guarantee
under this section.
(2) FORBEARANCE.—The Attorney General may, with the
approval of the parties concerned, forebear from enforcing any
right of the United States under a loan guaranteed under
this section for the benefit of a United States commercial pro-
vider if such forbearance will not result in any cost, as defined
in section 502(5) of the Federal Credit Reform Act of 1990,
to the United States.
(3) UTILIZATION OF PROPERTY.—Notwithstanding any other
provision of law and subject to the terms of a loan guaranteed
under this section, upon the default of a United States commer-
cial provider under the loan, the Secretary may, at the election
of the Secretary—
(A) assume control of the physical asset financed by
the loan; and
(B) complete, recondition, reconstruct, renovate, repair,
maintain, operate, or sell the physical asset.
(g) CREDIT INSTRUMENTS.—
(1) AUTHORITY TO ISSUE INSTRUMENTS.—Notwithstanding
any other provision of law, the Secretary may, subject to such
terms and conditions as the Secretary considers appropriate,
issue credit instruments to United States commercial providers
of in-space transportation services or system, with the aggre-
gate cost (as determined under the provisions of the Federal
Credit Reform Act of 1990 (2 U.S.C. 661 et seq.)) of such
instruments not to exceed $1,500,000,000, but only to the extent
that new budget authority to cover such costs is provided in
subsequent appropriations Acts or authority is otherwise pro-
vided in subsequent appropriations Acts.
H. R. 5010—58
(2) CREDIT SUBSIDY.—The Secretary shall provide a credit
subsidy for any credit instrument issued under this subsection
in accordance with the provisions of the Federal Credit Reform
Act of 1990.
(3) CONSTRUCTION.—The eligibility of a United States
commercial provider of in-space transportation services or sys-
tems for a credit instrument under this subsection is in addition
to any eligibility of such provider for a loan guarantee under
other provisions of this section.
SEC. 904. DEFINITIONS.
In this title:
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary
of Defense.
(2) COMMERCIAL
PROVIDER.—The term ‘‘commercial pro-
vider’’ means any person or entity providing commercial
reusable in-orbit space transportation services or systems, pri-
mary control of which is held by persons other than the Federal
Government, a State or local government, or a foreign govern-
ment.
(3) IN-SPACE
TRANSPORTATION
SERVICES.—The term ‘‘in-
space transportation services’’ means operations and activities
involved in the direct transportation or attempted transpor-
tation of a payload or object from one orbit to another by
means of an in-space transportation vehicle.
(4) IN-SPACE TRANSPORTATION SYSTEM.—The term ‘‘in-space
transportation system’’ means the space and ground elements,
including in-space transportation vehicles and support space
systems, and ground administration and control facilities and
associated equipment, necessary for the provision of in-space
transportation services.
(5) IN-SPACE
TRANSPORTATION
VEHICLE.—The term ‘‘in-
space transportation vehicle’’ means a vehicle designed—
(A) to be based and operated in space;
(B) to transport various payloads or objects from one
orbit to another orbit; and
(C) to be reusable and refueled in space.
(6) UNITED
STATES
COMMERCIAL
PROVIDER.—The term
‘‘United States commercial provider’’ means any commercial
provider organized under the laws of the United States that
is more than 50 percent owned by United States nationals.
H. R. 5010—59
This Act may be cited as the ‘‘Department of Defense Appropria-
tions Act, 2003’’.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.