nance, of which not to exceed $700,000 is available for
emergencies and extraordinary expenses to be expended on
the approval or authority of the Inspector General, and
payments may be made on the Inspector General’s certifi-
cate of necessity for confidential military purposes; and
of which $2,100,000, to remain available until September
30, 2007, shall be for Procurement; and of which
$100,000, to remain available until September 30, 2006,
shall be for Research, development, test and evaluation.
TITLE VII
RELATED AGENCIES
CENTRAL INTELLIGENCE AGENCY RETIREMENT AND
DISABILITY SYSTEM FUND
For payment to the Central Intelligence Agency Re-
tirement and Disability System Fund, to maintain the
proper funding level for continuing the operation of the
Central Intelligence Agency Retirement and Disability
System, $239,400,000.
INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For necessary expenses of the Intelligence Commu-
nity Management Account, $309,644,000, of which
$26,953,000 for the Advanced Research and Development
Committee shall remain available until September 30,
2006: Provided, That of the funds appropriated under this
heading, $46,100,000 shall be transferred to the Depart-
ment of Justice for the National Drug Intelligence Center
to support the Department of Defense’s counter-drug in-
telligence responsibilities, and of the said amount,
$1,500,000 for Procurement shall remain available until
September 30, 2007 and $1,000,000 for Research, devel-
opment, test and evaluation shall remain available until
September 30, 2006: Provided further, That the National
Drug Intelligence Center shall maintain the personnel and
technical resources to provide timely support to law en-
forcement authorities and the intelligence community by
conducting document and computer exploitation of mate-
rials collected in Federal, State, and local law enforcement
activity associated with counter-drug, counter-terrorism,
and national security investigations and operations.
NATIONAL SECURITY EDUCATION TRUST FUND
For the purposes of title VIII of Public Law 102–
183, $8,000,000, to be derived from the National Security
Education Trust Fund, to remain available until ex-
pended.
TITLE VIII
GENERAL PROVISIONS
SEC. 8001. No part of any appropriation contained
in this Act shall be used for publicity or propaganda pur-
poses not authorized by the Congress.
SEC. 8002. During the current fiscal year, provisions
of law prohibiting the payment of compensation to, or em-
ployment of, any person not a citizen of the United States
shall not apply to personnel of the Department of Defense:
Provided, That salary increases granted to direct and indi-
rect hire foreign national employees of the Department of
Defense funded by this Act shall not be at a rate in excess
of the percentage increase authorized by law for civilian
employees of the Department of Defense whose pay is
computed under the provisions of section 5332 of title 5,
United States Code, or at a rate in excess of the percent-
age increase provided by the appropriate host nation to
its own employees, whichever is higher: Provided further,
That this section shall not apply to Department of De-
fense foreign service national employees serving at United
States diplomatic missions whose pay is set by the Depart-
ment of State under the Foreign Service Act of 1980: Pro-
vided further, That the limitations of this provision shall
not apply to foreign national employees of the Department
of Defense in the Republic of Turkey.
SEC. 8003. No part of any appropriation contained
in this Act shall remain available for obligation beyond
the current fiscal year, unless expressly so provided herein.
SEC. 8004. No more than 20 percent of the appro-
priations in this Act which are limited for obligation dur-
ing the current fiscal year shall be obligated during the
last 2 months of the fiscal year: Provided, That this sec-
tion shall not apply to obligations for support of active
duty training of reserve components or summer camp
training of the Reserve Officers’ Training Corps.
(TRANSFER OF FUNDS)
SEC. 8005. Upon determination by the Secretary of
Defense that such action is necessary in the national inter-
est, he may, with the approval of the Office of Manage-
ment and Budget, transfer not to exceed $3,000,000,000
of working capital funds of the Department of Defense
or funds made available in this Act to the Department
of Defense for military functions (except military con-
struction) between such appropriations or funds or any
subdivision thereof, 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,
That such authority to transfer may not be used unless
for higher priority items, based on unforeseen military re-
quirements, than those for which originally appropriated
and in no case where the item for which funds are re-
quested has been denied by the Congress: Provided further,
That the Secretary of Defense shall notify the Congress
promptly of all transfers made pursuant to this authority
or any other authority in this Act: Provided further, That
no part of the funds in this Act shall be available to pre-
pare or present a request to the Committees on Appropria-
tions for reprogramming of funds, unless for higher pri-
ority items, based on unforeseen military requirements,
than those for which originally appropriated and in no
case where the item for which reprogramming is requested
has been denied by the Congress: Provided further, That
a request for multiple reprogrammings of funds using au-
thority provided in this section must be made prior to
June 30, 2005: Provided further, That transfers among
military personnel appropriations shall not be taken into
account for purposes of the limitation on the amount of
funds that may be transferred under this section.
(TRANSFER OF FUNDS)
SEC. 8006. During the current fiscal year, cash
balances in working capital funds of the Department of
Defense established pursuant to section 2208 of title 10,
United States Code, may be maintained in only such
amounts as are necessary at any time for cash disburse-
ments to be made from such funds: Provided, That trans-
fers may be made between such funds: Provided further,
That transfers may be made between working capital
funds and the ‘‘Foreign Currency Fluctuations, Defense’’
appropriation and the ‘‘Operation and Maintenance’’ ap-
propriation accounts in such amounts as may be deter-
mined by the Secretary of Defense, with the approval of
the Office of Management and Budget, except that such
transfers may not be made unless the Secretary of Defense
has notified the Congress of the proposed transfer. Except
in amounts equal to the amounts appropriated to working
capital funds in this Act, no obligations may be made
against a working capital fund to procure or increase the
value of war reserve material inventory, unless the Sec-
retary of Defense has notified the Congress prior to any
such obligation.
SEC. 8007. Funds appropriated by this Act may not
be used to initiate a special access program without prior
notification 30 calendar days in session in advance to the
congressional defense committees.
SEC. 8008. None of the funds provided in this Act
shall be available to initiate: (1) a multiyear contract that
employs economic order quantity procurement in excess of
$20,000,000 in any 1 year of the contract or that includes
an unfunded contingent liability in excess of $20,000,000;
or (2) a contract for advance procurement leading to a
multiyear contract that employs economic order quantity
procurement in excess of $20,000,000 in any 1 year, un-
less the congressional defense committees have been noti-
fied at least 30 days in advance of the proposed contract
award: Provided, That no part of any appropriation con-
tained in this Act shall be available to initiate a multiyear
contract for which the economic order quantity advance
procurement is not funded at least to the limits of the
Government’s liability: Provided further, That no part of
any appropriation contained in this Act shall be available
to initiate multiyear procurement contracts for any sys-
tems or component thereof if the value of the multiyear
contract would exceed $500,000,000 unless specifically
provided in this Act: Provided further, That no multiyear
procurement contract can be terminated without 10-day
prior notification to the congressional defense committees:
Provided further, That the execution of multiyear author-
ity shall require the use of a present value analysis to de-
termine lowest cost compared to an annual procurement:
Provided further, That none of the funds provided in this
Act may be used for a multiyear contract executed after
the date of the enactment of this Act unless in the case
of any such contract—
(1) the Secretary of Defense has submitted to
Congress a budget request for full funding of units
to be procured through the contract;
(2) cancellation provisions in the contract do
not include consideration of recurring manufacturing
costs of the contractor associated with the produc-
tion of unfunded units to be delivered under the con-
tract;
(3) the contract provides that payments to the
contractor under the contract shall not be made in
advance of incurred costs on funded units; and
(4) the contract does not provide for a price ad-
justment based on a failure to award a follow-on
contract.
Funds appropriated in title III of this Act may be
used for a multiyear procurement contract as follows:
Lightweight 155mm Howitzer.
SEC. 8009. Within the funds appropriated for the op-
eration and maintenance of the Armed Forces, funds are
hereby appropriated pursuant to section 401 of title 10,
United States Code, for humanitarian and civic assistance
costs under chapter 20 of title 10, United States Code.
Such funds may also be obligated for humanitarian and
civic assistance costs incidental to authorized operations
and pursuant to authority granted in section 401 of chap-
ter 20 of title 10, United States Code, and these obliga-
tions shall be reported as required by section 401(d) of
title 10, United States Code: Provided, That funds avail-
able for operation and maintenance shall be available for
providing humanitarian and similar assistance by using
Civic Action Teams in the Trust Territories of the Pacific
Islands and freely associated states of Micronesia, pursu-
ant to the Compact of Free Association as authorized by
Public Law 99–239: Provided further, That upon a deter-
mination by the Secretary of the Army that such action
is beneficial for graduate medical education programs con-
ducted at Army medical facilities located in Hawaii, the
Secretary of the Army may authorize the provision of med-
ical services at such facilities and transportation to such
facilities, on a nonreimbursable basis, for civilian patients
from American Samoa, the Commonwealth of the North-
ern Mariana Islands, the Marshall Islands, the Federated
States of Micronesia, Palau, and Guam.
SEC. 8010. (a) During fiscal year 2005, the civilian
personnel of the Department of Defense may not be man-
aged on the basis of any end-strength, and the manage-
ment of such personnel during that fiscal year shall not
be subject to any constraint or limitation (known as an
end-strength) on the number of such personnel who may
be employed on the last day of such fiscal year.
(b) The fiscal year 2006 budget request for the De-
partment of Defense as well as all justification material
and other documentation supporting the fiscal year 2006
Department of Defense budget request shall be prepared
and submitted to the Congress as if subsections (a) and
(b) of this provision were effective with regard to fiscal
year 2006.
(c) Nothing in this section shall be construed to apply
to military (civilian) technicians.
SEC. 8011. None of the funds appropriated in this
or any other Act may be used to initiate a new installation
overseas without 30-day advance notification to the Com-
mittees on Appropriations.
SEC. 8012. None of the funds made available by this
Act shall be used in any way, directly or indirectly, to in-
fluence congressional action on any legislation or appro-
priation matters pending before the Congress.
SEC. 8013. None of the funds appropriated by this
Act shall be available for the basic pay and allowances of
any member of the Army participating as a full-time stu-
dent and receiving benefits paid by the Secretary of Vet-
erans Affairs from the Department of Defense Education
Benefits Fund when time spent as a full-time student is
credited toward completion of a service commitment: Pro-
vided, That this subsection shall not apply to those mem-
bers who have reenlisted with this option prior to October
1, 1987: Provided further, That this subsection applies
only to active components of the Army.
SEC. 8014. (a) LIMITATION
ON CONVERSION
TO
CONTRACTOR PERFORMANCE.—None of the funds appro-
priated by this Act shall be available to convert to con-
tractor performance an activity or function of the Depart-
ment of Defense that, on or after the date of the enact-
ment of this Act, is performed by more than 10 Depart-
ment of Defense civilian employees unless—
(1) the conversion is based on the result of a
public-private competition that includes a most effi-
cient and cost effective organization plan developed
by such activity or function;
(2) the Competitive Sourcing Official deter-
mines that, over all performance periods stated in
the solicitation of offers for performance of the ac-
tivity or function, the cost of performance of the ac-
tivity or function by a contractor would be less costly
to the Department of Defense by an amount that
equals or exceeds the lesser of—
(A) 10 percent of the most efficient organi-
zation’s personnel-related costs for performance
of that activity or function by Federal employ-
ees; or
(B) $10,000,000; and
(3) the contractor does not receive an advan-
tage for a proposal that would reduce costs for the
Department of Defense by—
(A) not making an employer-sponsored
health insurance plan available to the workers
who are to be employed in the performance of
that activity or function under the contract; or
(B) offering to such workers an employer-
sponsored health benefits plan that requires the
employer to contribute less towards the pre-
mium or subscription share than the amount
that is paid by the Department of Defense for
health benefits for civilian employees under
chapter 89 of title 5, United States Code.
(b) EXCEPTIONS.—
(1) This section and subsections (a), (b), and
(c) of section 2461 of title 10, United States Code,
shall not apply to a commercial or industrial type
function of the Department of Defense that—
(A) is included on the procurement list es-
tablished pursuant to section 2 of the Javits-
Wagner-O’Day Act (41 U.S.C. 47);
(B) is planned to be converted to perform-
ance by a qualified nonprofit agency for the
blind or by a qualified nonprofit agency for
other severely handicapped individuals in ac-
cordance with that Act; or
(C) is planned to be converted to perform-
ance by a qualified firm under at least 51 per-
cent ownership by an Indian tribe, as defined in
section 4(e) of the Indian Self-Determination
and Education Assistance Act (25 U.S.C.
450b(e)), or a Native Hawaiian Organization,
as defined in section 8(a)(15) of the Small
Business Act (15 U.S.C. 637(a)(15)).
(2) This section shall not apply to depot con-
tracts or contracts for depot maintenance as pro-
vided in sections 2469 and 2474 of title 10, United
States Code.
(c) TREATMENT OF CONVERSION.—The conversion
of any activity or function of the Department of Defense
under the authority provided by this section shall be cred-
ited toward any competitive or outsourcing goal, target,
or measurement that may be established by statute, regu-
lation, or policy and is deemed to be awarded under the
authority of, and in compliance with, subsection (h) of sec-
tion 2304 of title 10, United States Code, for the competi-
tion or outsourcing of commercial activities.
(TRANSFER OF FUNDS)
SEC. 8015. Funds appropriated in title III of this Act
for the Department of Defense Pilot Mentor-Protege Pro-
gram may be transferred to any other appropriation con-
tained in this Act solely for the purpose of implementing
a Mentor-Protege Program developmental assistance
agreement pursuant to section 831 of the National De-
fense Authorization Act for Fiscal Year 1991 (Public Law
101–510; 10 U.S.C. 2302 note), as amended, under the
authority of this provision or any other transfer authority
contained in this Act.
SEC. 8016. None of the funds in this Act may be
available for the purchase by the Department of Defense
(and its departments and agencies) of welded shipboard
anchor and mooring chain 4 inches in diameter and under
unless the anchor and mooring chain are manufactured
in the United States from components which are substan-
tially manufactured in the United States: Provided, That
for the purpose of this section manufactured will include
cutting, heat treating, quality control, testing of chain and
welding (including the forging and shot blasting process):
Provided further, That for the purpose of this section sub-
stantially all of the components of anchor and mooring
chain shall be considered to be produced or manufactured
in the United States if the aggregate cost of the compo-
nents produced or manufactured in the United States ex-
ceeds the aggregate cost of the components produced or
manufactured outside the United States: Provided further,
That when adequate domestic supplies are not available
to meet Department of Defense requirements on a timely
basis, the Secretary of the service responsible for the pro-
curement may waive this restriction on a case-by-case
basis by certifying in writing to the Committees on Appro-
priations that such an acquisition must be made in order
to acquire capability for national security purposes.
SEC. 8017. None of the funds appropriated by this
Act available for the Civilian Health and Medical Program
of the Uniformed Services (CHAMPUS) or TRICARE
shall be available for the reimbursement of any health care
provider for inpatient mental health service for care re-
ceived when a patient is referred to a provider of inpatient
mental health care or residential treatment care by a med-
ical or health care professional having an economic inter-
est in the facility to which the patient is referred: Pro-
vided, That this limitation does not apply in the case of
inpatient mental health services provided under the pro-
gram for persons with disabilities under subsection (d) of
section 1079 of title 10, United States Code, provided as
partial hospital care, or provided pursuant to a waiver au-
thorized by the Secretary of Defense because of medical
or psychological circumstances of the patient that are con-
firmed by a health professional who is not a Federal em-
ployee after a review, pursuant to rules prescribed by the
Secretary, which takes into account the appropriate level
of care for the patient, the intensity of services required
by the patient, and the availability of that care.
SEC. 8018. Notwithstanding any other provision of
law, during the current fiscal year and hereafter, the Sec-
retary of Defense may, by executive agreement, establish
with host nation governments in NATO member states a
separate account into which such residual value amounts
negotiated in the return of United States military installa-
tions in NATO member states may be deposited, in the
currency of the host nation, in lieu of direct monetary
transfers to the United States Treasury: Provided, That
such credits may be utilized only for the construction of
facilities to support United States military forces in that
host nation, or such real property maintenance and base
operating costs that are currently executed through mone-
tary transfers to such host nations: Provided further, That
the Department of Defense’s budget submission for subse-
quent fiscal years shall identify such sums anticipated in
residual value settlements, and identify such construction,
real property maintenance or base operating costs that
shall be funded by the host nation through such credits:
Provided further, That all military construction projects
to be executed from such accounts must be previously ap-
proved in a prior Act of Congress: Provided further, That
each such executive agreement with a NATO member host
nation shall be reported to the congressional defense com-
mittees, the Committee on International Relations of the
House of Representatives and the Committee on Foreign
Relations of the Senate 30 days prior to the conclusion
and endorsement of any such agreement established under
this provision.
SEC. 8019. None of the funds available to the De-
partment of Defense may be used to demilitarize or dis-
pose of M–1 Carbines, M–1 Garand rifles, M–14 rifles,
.22 caliber rifles, .30 caliber rifles, or M–1911 pistols.
SEC. 8020. No more than $500,000 of the funds ap-
propriated or made available in this Act shall be used dur-
ing a single fiscal year for any single relocation of an orga-
nization, unit, activity or function of the Department of
Defense into or within the National Capital Region: Pro-
vided, That the Secretary of Defense may waive this re-
striction on a case-by-case basis by certifying in writing
to the congressional defense committees that such a relo-
cation is required in the best interest of the Government.
SEC. 8021. In addition to the funds provided else-
where in this Act, $8,000,000 is appropriated only for in-
centive payments authorized by section 504 of the Indian
Financing Act of 1974 (25 U.S.C. 1544): Provided, That
a prime contractor or a subcontractor at any tier that
makes a subcontract award to any subcontractor or sup-
plier as defined in 25 U.S.C. 1544 or a small business
owned and controlled by an individual or individuals de-
fined under 25 U.S.C. 4221(9) shall be considered a con-
tractor for the purposes of being allowed additional com-
pensation under section 504 of the Indian Financing Act
of 1974 (25 U.S.C. 1544) whenever the prime contract
or subcontract amount is over $500,000 and involves the
expenditure of funds appropriated by an Act making Ap-
propriations for the Department of Defense with respect
to any fiscal year: Provided further, That notwithstanding
41 U.S.C. 430, this section shall be applicable to any De-
partment of Defense acquisition of supplies or services, in-
cluding any contract and any subcontract at any tier for
acquisition of commercial items produced or manufac-
tured, in whole or in part by any subcontractor or supplier
defined in 25 U.S.C. 1544 or a small business owned and
controlled by an individual or individuals defined under
25 U.S.C. 4221(9): Provided further, That businesses cer-
tified as 8(a) by the Small Business Administration pursu-
ant to section 8(a)(15) of Public Law 85–536, as amend-
ed, shall have the same status as other program partici-
pants under section 602 of Public Law 100–656, 102
Stat. 3825 (Business Opportunity Development Reform
Act of 1988) for purposes of contracting with agencies of
the Department of Defense.
SEC. 8022. None of the funds appropriated by this
Act shall be available to perform any cost study pursuant
to the provisions of OMB Circular A–76 if the study being
performed exceeds a period of 24 months after initiation
of such study with respect to a single function activity or
30 months after initiation of such study for a multi-func-
tion activity.
SEC. 8023. Funds appropriated by this Act for the
American Forces Information Service shall not be used for
any national or international political or psychological ac-
tivities.
SEC. 8024. Hereafter, notwithstanding any other
provision of law or regulation, the Secretary of Defense
may adjust wage rates for civilian employees hired for cer-
tain health care occupations as authorized for the Sec-
retary of Veterans Affairs by section 7455 of title 38,
United States Code.
SEC. 8025. During the current fiscal year, net re-
ceipts pursuant to collections from third party payers pur-
suant to section 1095 of title 10, United States Code, shall
be made available to the local facility of the uniformed
services responsible for the collections and shall be over
and above the facility’s direct budget amount.
SEC. 8026. During the current fiscal year, the De-
partment of Defense is authorized to incur obligations of
not to exceed $350,000,000 for purposes specified in sec-
tion 2350j(c) of title 10, United States Code, in anticipa-
tion of receipt of contributions, only from the Government
of Kuwait, under that section: Provided, That upon re-
ceipt, such contributions from the Government of Kuwait
shall be credited to the appropriations or fund which in-
curred such obligations.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8027. (a) Of the funds made available in this
Act, not less than $24,822,000 shall be available for the
Civil Air Patrol Corporation, of which—
(1) $21,722,000 shall be available from ‘‘Oper-
ation and Maintenance, Air Force’’ to support Civil
Air Patrol Corporation operation and maintenance,
readiness, counterdrug activities, and drug demand
reduction activities involving youth programs;
(2) $2,300,000 shall be available from ‘‘Aircraft
Procurement, Air Force’’; and
(3) $800,000 shall be available from ‘‘Other
Procurement, Air Force’’ for vehicle procurement.
(b) The Secretary of the Air Force should waive reim-
bursement for any funds used by the Civil Air Patrol for
counter-drug activities in support of Federal, State, and
local government agencies.
SEC. 8028. (a) None of the funds appropriated in this
Act are available to establish a new Department of De-
fense (department) federally funded research and develop-
ment center (FFRDC), either as a new entity, or as a
separate entity administrated by an organization man-
aging another FFRDC, or as a nonprofit membership cor-
poration consisting of a consortium of other FFRDCs and
other non-profit entities.
(b) No member of a Board of Directors, Trustees,
Overseers, Advisory Group, Special Issues Panel, Visiting
Committee, or any similar entity of a defense FFRDC,
and no paid consultant to any defense FFRDC, except
when acting in a technical advisory capacity, may be com-
pensated for his or her services as a member of such enti-
ty, or as a paid consultant by more than one FFRDC in
a fiscal year: Provided, That a member of any such entity
referred to previously in this subsection shall be allowed
travel expenses and per diem as authorized under the Fed-
eral Joint Travel Regulations, when engaged in the per-
formance of membership duties.
(c) Notwithstanding any other provision of law, none
of the funds available to the Department from any source
during fiscal year 2005 may be used by a defense FFRDC,
through a fee or other payment mechanism, for construc-
tion of new buildings, for payment of cost sharing for
projects funded by Government grants, for absorption of
contract overruns, or for certain charitable contributions,
not to include employee participation in community service
and/or development.
(d) Notwithstanding any other provision of law, of
the funds available to the department during fiscal year
2005, not more than 6,600 staff years of technical effort
(staff years) may be funded for defense FFRDCs: Pro-
vided, That this subsection shall not apply to staff years
funded in the National Foreign Intelligence Program
(NFIP).
(e) The Secretary of Defense shall, with the submis-
sion of the department’s fiscal year 2006 budget request,
submit a report presenting the specific amounts of staff
years of technical effort to be allocated for each defense
FFRDC during that fiscal year.
(f) Notwithstanding any other provision of this Act,
the total amount appropriated in this Act for FFRDCs
is hereby reduced by $40,000,000.
SEC. 8029. None of the funds appropriated or made
available in this Act shall be used to procure carbon, alloy
or armor steel plate for use in any Government-owned fa-
cility or property under the control of the Department of
Defense which were not melted and rolled in the United
States or Canada: Provided, That these procurement re-
strictions shall apply to any and all Federal Supply Class
9515, American Society of Testing and Materials (ASTM)
or American Iron and Steel Institute (AISI) specifications
of carbon, alloy or armor steel plate: Provided further,
That the Secretary of the military department responsible
for the procurement may waive this restriction on a case-
by-case basis by certifying in writing to the Committees
on Appropriations of the House of Representatives and the
Senate that adequate domestic supplies are not available
to meet Department of Defense requirements on a timely
basis and that such an acquisition must be made in order
to acquire capability for national security purposes: Pro-
vided further, That these restrictions shall not apply to
contracts which are in being as of the date of the enact-
ment of this Act.
SEC. 8030. For the purposes of this Act, the term
‘‘congressional defense committees’’ means the Armed
Services Committee of the House of Representatives, the
Armed Services Committee of the Senate, the Sub-
committee on Defense of the Committee on Appropriations
of the Senate, and the Subcommittee on Defense of the
Committee on Appropriations of the House of Representa-
tives.
SEC. 8031. During the current fiscal year, the De-
partment of Defense may acquire the modification, depot
maintenance and repair of aircraft, vehicles and vessels
as well as the production of components and other De-
fense-related articles, through competition between De-
partment of Defense depot maintenance activities and pri-
vate firms: Provided, That the Senior Acquisition Execu-
tive of the military department or Defense Agency con-
cerned, with power of delegation, shall certify that success-
ful bids include comparable estimates of all direct and in-
direct costs for both public and private bids: Provided fur-
ther, That Office of Management and Budget Circular A–
76 shall not apply to competitions conducted under this
section.
SEC. 8032. (a)(1) If the Secretary of Defense, after
consultation with the United States Trade Representative,
determines that a foreign country which is party to an
agreement described in paragraph (2) has violated the
terms of the agreement by discriminating against certain
types of products produced in the United States that are
covered by the agreement, the Secretary of Defense shall
rescind the Secretary’s blanket waiver of the Buy Amer-
ican Act with respect to such types of products produced
in that foreign country.
(2) An agreement referred to in paragraph (1) is any
reciprocal defense procurement memorandum of under-
standing, between the United States and a foreign country
pursuant to which the Secretary of Defense has prospec-
tively waived the Buy American Act for certain products
in that country.
(b) The Secretary of Defense shall submit to the Con-
gress a report on the amount of Department of Defense
purchases from foreign entities in fiscal year 2005. Such
report shall separately indicate the dollar value of items
for which the Buy American Act was waived pursuant to
any agreement described in subsection (a)(2), the Trade
Agreement Act of 1979 (19 U.S.C. 2501 et seq.), or any
international agreement to which the United States is a
party.
(c) For purposes of this section, the term ‘‘Buy
American Act’’ means title III of the Act entitled ‘‘An Act
making appropriations for the Treasury and Post Office
Departments for the fiscal year ending June 30, 1934,
and for other purposes’’, approved March 3, 1933 (41
U.S.C. 10a et seq.).
SEC. 8033. Appropriations contained in this Act that
remain available at the end of the current fiscal year, and
at the end of each fiscal year hereafter, as a result of en-
ergy cost savings realized by the Department of Defense
shall remain available for obligation for the next fiscal
year to the extent, and for the purposes, provided in sec-
tion 2865 of title 10, United States Code.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8034. Amounts deposited during the current fis-
cal year and hereafter to the special account established
under 40 U.S.C. 572(b)(5)(A) and to the special account
established under 10 U.S.C. 2667(d)(1) are appropriated
and shall be available until transferred by the Secretary
of Defense to current applicable appropriations or funds
of the Department of Defense under the terms and condi-
tions specified by 40 U.S.C. 572(b)(5)(B) and 10 U.S.C.
2667(d)(1)(B), to be merged with and to be available for
the same time period and the same purposes as the appro-
priation to which transferred.
SEC. 8035. The President shall include with each
budget for a fiscal year submitted to the Congress under
section 1105 of title 31, United States Code, materials
that shall identify clearly and separately the amounts re-
quested in the budget for appropriation for that fiscal year
for salaries and expenses related to administrative activi-
ties of the Department of Defense, the military depart-
ments, and the defense agencies.
SEC. 8036. Notwithstanding any other provision of
law, funds available during the current fiscal year and
hereafter for ‘‘Drug Interdiction and Counter-Drug Activi-
ties, Defense’’ may be obligated for the Young Marines
program.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8037. During the current fiscal year, amounts
contained in the Department of Defense Overseas Military
Facility Investment Recovery Account established by sec-
tion 2921(c)(1) of the National Defense Authorization Act
of 1991 (Public Law 101–510; 10 U.S.C. 2687 note) shall
be available until expended for the payments specified by
section 2921(c)(2) of that Act.
SEC. 8038. (a) IN GENERAL.—Notwithstanding any
other provision of law, the Secretary of the Air Force may
convey at no cost to the Air Force, without consideration,
to Indian tribes located in the States of North Dakota,
South Dakota, Montana, and Minnesota relocatable mili-
tary housing units located at Grand Forks Air Force Base
and Minot Air Force Base that are excess to the needs
of the Air Force.
(b) PROCESSING OF REQUESTS.—The Secretary of
the Air Force shall convey, at no cost to the Air Force,
military housing units under subsection (a) in accordance
with the request for such units that are submitted to the
Secretary by the Operation Walking Shield Program on
behalf of Indian tribes located in the States of North Da-
kota, South Dakota, Montana, and Minnesota.
(c) RESOLUTION OF HOUSING UNIT CONFLICTS.—
The Operation Walking Shield Program shall resolve any
conflicts among requests of Indian tribes for housing units
under subsection (a) before submitting requests to the
Secretary of the Air Force under subsection (b).
(d) INDIAN TRIBE DEFINED.—In this section, the
term ‘‘Indian tribe’’ means any recognized Indian tribe in-
cluded on the current list published by the Secretary of
the Interior under section 104 of the Federally Recognized
Indian Tribe Act of 1994 (Public Law 103–454; 108 Stat.
4792; 25 U.S.C. 479a–1).
SEC. 8039. During the current fiscal year, appropria-
tions which are available to the Department of Defense
for operation and maintenance may be used to purchase
items having an investment item unit cost of not more
than $250,000.
SEC. 8040. (a) During the current fiscal year, none
of the appropriations or funds available to the Department
of Defense Working Capital Funds shall be used for the
purchase of an investment item for the purpose of acquir-
ing a new inventory item for sale or anticipated sale dur-
ing the current fiscal year or a subsequent fiscal year to
customers of the Department of Defense Working Capital
Funds if such an item would not have been chargeable
to the Department of Defense Business Operations Fund
during fiscal year 1994 and if the purchase of such an
investment item would be chargeable during the current
fiscal year to appropriations made to the Department of
Defense for procurement.
(b) The fiscal year 2006 budget request for the De-
partment of Defense as well as all justification material
and other documentation supporting the fiscal year 2006
Department of Defense budget shall be prepared and sub-
mitted to the Congress on the basis that any equipment
which was classified as an end item and funded in a pro-
curement appropriation contained in this Act shall be
budgeted for in a proposed fiscal year 2006 procurement
appropriation and not in the supply management business
area or any other area or category of the Department of
Defense Working Capital Funds.
SEC. 8041. None of the funds appropriated by this
Act for programs of the Central Intelligence Agency shall
remain available for obligation beyond the current fiscal
year, except for funds appropriated for the Reserve for
Contingencies, which shall remain available until Sep-
tember 30, 2006: Provided, That funds appropriated,
transferred, or otherwise credited to the Central Intel-
ligence Agency Central Services Working Capital Fund
during this or any prior or subsequent fiscal year shall
remain available until expended: Provided further, That
any funds appropriated or transferred to the Central Intel-
ligence Agency for advanced research and development ac-
quisition, for agent operations, and for covert action pro-
grams authorized by the President under section 503 of
the National Security Act of 1947, as amended, shall re-
main available until September 30, 2006.
SEC. 8042. Notwithstanding any other provision of
law, funds made available in this Act for the Defense In-
telligence Agency may be used for the design, develop-
ment, and deployment of General Defense Intelligence
Program intelligence communications and intelligence in-
formation systems for the Services, the Unified and Speci-
fied Commands, and the component commands.
SEC. 8043. Of the funds appropriated to the Depart-
ment of Defense under the heading ‘‘Operation and Main-
tenance, Defense-Wide’’, not less than $10,000,000 shall
be made available only for the mitigation of environmental
impacts, including training and technical assistance to
tribes, related administrative support, the gathering of in-
formation, documenting of environmental damage, and de-
veloping a system for prioritization of mitigation and cost
to complete estimates for mitigation, on Indian lands re-
sulting from Department of Defense activities.
SEC. 8044. (a) None of the funds appropriated in this
Act may be expended by an entity of the Department of
Defense unless the entity, in expending the funds, com-
plies with the Buy American Act. For purposes of this
subsection, the term ‘‘Buy American Act’’ means title III
of the Act entitled ‘‘An Act making appropriations for the
Treasury and Post Office Departments for the fiscal year
ending June 30, 1934, and for other purposes’’, approved
March 3, 1933 (41 U.S.C. 10a et seq.).
(b) If the Secretary of Defense determines that a per-
son has been convicted of intentionally affixing a label
bearing a ‘‘Made in America’’ inscription to any product
sold in or shipped to the United States that is not made
in America, the Secretary shall determine, in accordance
with section 2410f of title 10, United States Code, wheth-
er the person should be debarred from contracting with
the Department of Defense.
(c) In the case of any equipment or products pur-
chased with appropriations provided under this Act, it is
the sense of the Congress that any entity of the Depart-
ment of Defense, in expending the appropriation, purchase
only American-made equipment and products, provided
that American-made equipment and products are cost-
competitive, quality-competitive, and available in a timely
fashion.
SEC. 8045. None of the funds appropriated by this
Act shall be available for a contract for studies, analysis,
or consulting services entered into without competition on
the basis of an unsolicited proposal unless the head of the
activity responsible for the procurement determines—
(1) as a result of thorough technical evaluation,
only one source is found fully qualified to perform
the proposed work;
(2) the purpose of the contract is to explore an
unsolicited proposal which offers significant sci-
entific or technological promise, represents the prod-
uct of original thinking, and was submitted in con-
fidence by one source; or
(3) the purpose of the contract is to take ad-
vantage of unique and significant industrial accom-
plishment by a specific concern, or to insure that a
new product or idea of a specific concern is given fi-
nancial support: Provided, That this limitation shall
not apply to contracts in an amount of less than
$25,000, contracts related to improvements of equip-
ment that is in development or production, or con-
tracts as to which a civilian official of the Depart-
ment of Defense, who has been confirmed by the
Senate, determines that the award of such contract
is in the interest of the national defense.
SEC. 8046. (a) Except as provided in subsection (b)
and (c), none of the funds made available by this Act may
be used—
(1) to establish a field operating agency; or
(2) to pay the basic pay of a member of the
Armed Forces or civilian employee of the depart-
ment who is transferred or reassigned from a head-
quarters activity if the member or employee’s place
of duty remains at the location of that headquarters.
(b) The Secretary of Defense or Secretary of a mili-
tary department may waive the limitations in subsection
(a), on a case-by-case basis, if the Secretary determines,
and certifies to the Committees on Appropriations of the
House of Representatives and Senate that the granting
of the waiver will reduce the personnel requirements or
the financial requirements of the department.
(c) This section does not apply to field operating
agencies funded within the National Foreign Intelligence
Program.
SEC. 8047. Notwithstanding section 303 of Public
Law 96–487 or any other provision of law, the Secretary
of the Navy is authorized to lease real and personal prop-
erty at Naval Air Facility, Adak, Alaska, pursuant to 10
U.S.C. 2667(f), for commercial, industrial or other pur-
poses: Provided, That notwithstanding any other provision
of law, the Secretary of the Navy may remove hazardous
materials from facilities, buildings, and structures at
Adak, Alaska, and may demolish or otherwise dispose of
such facilities, buildings, and structures.
(RESCISSIONS)
SEC. 8048. Of the funds appropriated in Department
of Defense Appropriations Acts, the following funds are
hereby rescinded from the following accounts and pro-
grams in the specified amounts:
‘‘Former Soviet Union Threat Reduction, 2003/
2005’’, $50,000,000;
‘‘Aircraft Procurement, Navy, 2004/2006’’,
$2,900,000;
‘‘Shipbuilding and Conversion, Navy, 2004/
2008’’, $10,300,000;
‘‘Other 
Procurement, 
Navy, 
2004/2006’’,
$5,200,000;
‘‘Other Procurement, Air Force, 2004/2006’’,
$100,000,000;
‘‘Procurement, 
Defense-Wide, 
2004/2006’’
$23,400,000;
‘‘Research, Development, Test and Evaluation,
Army, 2004/2005’’, $42,650,000;
‘‘Research, Development, Test and Evaluation,
Navy, 2004/2005’’, $20,000,000;
‘‘Research, Development, Test and Evaluation,
Air Force, 2004/2005’’, $37,000,000; and
‘‘Research, Development, Test and Evaluation,
Defense-Wide, 2004/2005’’, $108,300,000.
SEC. 8049. None of the funds available in this Act
may be used to reduce the authorized positions for mili-
tary (civilian) technicians of the Army National Guard,
the Air National Guard, Army Reserve and Air Force Re-
serve for the purpose of applying any administratively im-
posed civilian personnel ceiling, freeze, or reduction on
military (civilian) technicians, unless such reductions are
a direct result of a reduction in military force structure.
SEC. 8050. None of the funds appropriated or other-
wise made available in this Act may be obligated or ex-
pended for assistance to the Democratic People’s Republic
of North Korea unless specifically appropriated for that
purpose.
SEC. 8051. During the current fiscal year and here-
after, funds appropriated in this Act are available to com-
pensate members of the National Guard for duty per-
formed pursuant to a plan submitted by a Governor of
a State and approved by the Secretary of Defense under
section 112 of title 32, United States Code: Provided,
That during the performance of such duty, the members
of the National Guard shall be under State command and
control: Provided further, That such duty shall be treated
as full-time National Guard duty for purposes of sections
12602(a)(2) and (b)(2) of title 10, United States Code.
SEC. 8052. Funds appropriated in this Act for oper-
ation and maintenance of the Military Departments, Com-
batant Commands and Defense Agencies shall be available
for reimbursement of pay, allowances and other expenses
which would otherwise be incurred against appropriations
for the National Guard and Reserve when members of the
National Guard and Reserve provide intelligence or coun-
terintelligence support to Combatant Commands, Defense
Agencies and Joint Intelligence Activities, including the
activities and programs included within the National For-
eign Intelligence Program (NFIP), the Joint Military In-
telligence Program (JMIP), and the Tactical Intelligence
and Related Activities (TIARA) aggregate: Provided, That
nothing in this section authorizes deviation from estab-
lished Reserve and National Guard personnel and training
procedures.
SEC. 8053. During the current fiscal year, none of
the funds appropriated in this Act may be used to reduce
the civilian medical and medical support personnel as-
signed to military treatment facilities below the September
30, 2004 level: Provided, That the Service Surgeons Gen-
eral may waive this section by certifying to the congres-
sional defense committees that the beneficiary population
is declining in some catchment areas and civilian strength
reductions may be consistent with responsible resource
stewardship and capitation-based budgeting.
SEC. 8054. Notwithstanding any other provision of
law, that not more than 35 percent of funds provided in
this Act for environmental remediation may be obligated
under indefinite delivery/indefinite quantity contracts with
a total contract value of $130,000,000 or higher.
SEC. 8055. (a) None of the funds available to the
Department of Defense for any fiscal year for drug inter-
diction or counter-drug activities may be transferred to
any other department or agency of the United States ex-
cept as specifically provided in an appropriations law.
(b) None of the funds available to the Central Intel-
ligence Agency for any fiscal year for drug interdiction
and counter-drug activities may be transferred to any
other department or agency of the United States except
as specifically provided in an appropriations law.
(TRANSFER OF FUNDS)
SEC. 8056. Appropriations available under the head-
ing ‘‘Operation and Maintenance, Defense-Wide’’ for the
current fiscal year and hereafter for increasing energy and
water efficiency in Federal buildings may, during their pe-
riod of availability, be transferred to other appropriations
or funds of the Department of Defense for projects related
to increasing energy and water efficiency, to be merged
with and to be available for the same general purposes,
and for the same time period, as the appropriation or fund
to which transferred.
SEC. 8057. None of the funds appropriated by this
Act may be used for the procurement of ball and roller
bearings other than those produced by a domestic source
and of domestic origin: Provided, That the Secretary of
the military department responsible for such procurement
may waive this restriction on a case-by-case basis by certi-
fying in writing to the Committees on Appropriations of
the House of Representatives and the Senate, that ade-
quate domestic supplies are not available to meet Depart-
ment of Defense requirements on a timely basis and that
such an acquisition must be made in order to acquire ca-
pability for national security purposes: Provided further,
That this restriction shall not apply to the purchase of
‘‘commercial items’’, as defined by section 4(12) of the
Office of Federal Procurement Policy Act, except that the
restriction shall apply to ball or roller bearings purchased
as end items.
SEC. 8058. Notwithstanding any other provision of
law, funds available to the Department of Defense shall
be made available to provide transportation of medical
supplies and equipment, on a nonreimbursable basis, to
American Samoa, and funds available to the Department
of Defense shall be made available to provide transpor-
tation of medical supplies and equipment, on a non-
reimbursable basis, to the Indian Health Service when it
is in conjunction with a civil-military project.
SEC. 8059. None of the funds in this Act may be
used to purchase any supercomputer which is not manu-
factured in the United States, unless the Secretary of De-
fense certifies to the congressional defense committees
that such an acquisition must be made in order to acquire
capability for national security purposes that is not avail-
able from United States manufacturers.
SEC. 8060. Notwithstanding any other provision of
law, each contract awarded by the Department of Defense
during the current fiscal year for construction or service
performed in whole or in part in a State (as defined in
section 381(d) of title 10, United States Code) which is
not contiguous with another State and has an unemploy-
ment rate in excess of the national average rate of unem-
ployment as determined by the Secretary of Labor, shall
include a provision requiring the contractor to employ, for
the purpose of performing that portion of the contract in
such State that is not contiguous with another State, indi-
viduals who are residents of such State and who, in the
case of any craft or trade, possess or would be able to
acquire promptly the necessary skills: Provided, That the
Secretary of Defense may waive the requirements of this
section, on a case-by-case basis, in the interest of national
security.
SEC. 8061. None of the funds made available in this
or any other Act may be used to pay the salary of any
officer or employee of the Department of Defense who ap-
proves or implements the transfer of administrative re-
sponsibilities or budgetary resources of any program,
project, or activity financed by this Act to the jurisdiction
of another Federal agency not financed by this Act with-
out the express authorization of Congress: Provided, That
this limitation shall not apply to transfers of funds ex-
pressly provided for in Defense Appropriations Acts, or
provisions of Acts providing supplemental appropriations
for the Department of Defense.
SEC. 8062. (a) LIMITATION ON TRANSFER OF DE-
FENSE ARTICLES AND SERVICES.—Notwithstanding any
other provision of law, none of the funds available to the
Department of Defense for the current fiscal year may be
obligated or expended to transfer to another nation or an
international organization any defense articles or services
(other than intelligence services) for use in the activities
described in subsection (b) unless the congressional de-
fense committees, the Committee on International Rela-
tions of the House of Representatives, and the Committee
on Foreign Relations of the Senate are notified 15 days
in advance of such transfer.
(b) COVERED ACTIVITIES.—This section applies to—
(1) any international peacekeeping or peace-en-
forcement operation under the authority of chapter
VI or chapter VII of the United Nations Charter
under the authority of a United Nations Security
Council resolution; and
(2) any other international peacekeeping, peace-
enforcement, or humanitarian assistance operation.
(c) REQUIRED NOTICE.—A notice under subsection
(a) shall include the following:
(1) A description of the equipment, supplies, or
services to be transferred.
(2) A statement of the value of the equipment,
supplies, or services to be transferred.
(3) In the case of a proposed transfer of equip-
ment or supplies—
(A) a statement of whether the inventory
requirements of all elements of the Armed
Forces (including the reserve components) for
the type of equipment or supplies to be trans-
ferred have been met; and
(B) a statement of whether the items pro-
posed to be transferred will have to be replaced
and, if so, how the President proposes to pro-
vide funds for such replacement.
SEC. 8063. To the extent authorized by subchapter
VI of chapter 148 of title 10, United States Code, for the
current fiscal year and hereafter the Secretary of Defense
may issue loan guarantees in support of United States de-
fense exports not otherwise provided for: Provided, That
the total contingent liability of the United States for guar-
antees issued under the authority of this section may not
exceed $15,000,000,000: Provided further, That the expo-
sure fees charged and collected by the Secretary for each
guarantee shall be paid by the country involved and shall
not be financed as part of a loan guaranteed by the United
States: Provided further, That the Secretary shall provide
quarterly reports to the Committees on Appropriations,
Armed Services, and Foreign Relations of the Senate and
the Committees on Appropriations, Armed Services, and
International Relations in the House of Representatives
on the implementation of this program: Provided further,
That amounts charged for administrative fees and depos-
ited to the special account provided for under section
2540c(d) of title 10, shall be available for paying the costs
of administrative expenses of the Department of Defense
that are attributable to the loan guarantee program under
subchapter VI of chapter 148 of title 10, United States
Code.
SEC. 8064. None of the funds available to the De-
partment of Defense under this Act shall be obligated or
expended to pay a contractor under a contract with the
Department of Defense for costs of any amount paid by
the contractor to an employee when—
(1) such costs are for a bonus or otherwise in
excess of the normal salary paid by the contractor
to the employee; and
(2) such bonus is part of restructuring costs as-
sociated with a business combination.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8065. During the current fiscal year, no more
than $30,000,000 of appropriations made in this Act
under the heading ‘‘Operation and Maintenance, Defense-
Wide’’ may be transferred to appropriations available for
the pay of military personnel, to be merged with, and to
be available for the same time period as the appropriations
to which transferred, to be used in support of such per-
sonnel in connection with support and services for eligible
organizations and activities outside the Department of De-
fense pursuant to section 2012 of title 10, United States
Code.
SEC. 8066. During the current fiscal year, in the case
of an appropriation account of the Department of Defense
for which the period of availability for obligation has ex-
pired or which has closed under the provisions of section
1552 of title 31, United States Code, and which has a
negative unliquidated or unexpended balance, an obliga-
tion or an adjustment of an obligation may be charged
to any current appropriation account for the same purpose
as the expired or closed account if—
(1) the obligation would have been properly
chargeable (except as to amount) to the expired or
closed account before the end of the period of avail-
ability or closing of that account;
(2) the obligation is not otherwise properly
chargeable to any current appropriation account of
the Department of Defense; and
(3) in the case of an expired account, the obli-
gation is not chargeable to a current appropriation
of the Department of Defense under the provisions
of section 1405(b)(8) of the National Defense Au-
thorization Act for Fiscal Year 1991, Public Law
101–510, as amended (31 U.S.C. 1551 note): Pro-
vided, That in the case of an expired account, if sub-
sequent review or investigation discloses that there
was not in fact a negative unliquidated or unex-
pended balance in the account, any charge to a cur-
rent account under the authority of this section shall
be reversed and recorded against the expired ac-
count: Provided further, That the total amount
charged to a current appropriation under this sec-
tion may not exceed an amount equal to 1 percent
of the total appropriation for that account.
SEC. 8067. Hereafter, funds appropriated for Oper-
ation and maintenance and for the Defense Health Pro-
gram in this Act, and in future appropriations acts for
the Department of Defense, for supervision and adminis-
tration costs for facilities maintenance and repair, minor
construction, or design projects, or any planning studies,
environmental assessments, or similar activities related to
installation support functions, may be obligated at the
time the reimbursable order is accepted by the performing
activity: Provided, That for the purpose of this section,
supervision and administration costs includes all in-house
Government cost.
SEC. 8068. (a) Notwithstanding any other provision
of law, the Chief of the National Guard Bureau may per-
mit the use of equipment of the National Guard Distance
Learning Project by any person or entity on a space-avail-
able, reimbursable basis. The Chief of the National Guard
Bureau shall establish the amount of reimbursement for
such use on a case-by-case basis.
(b) Amounts collected under subsection (a) shall be
credited to funds available for the National Guard Dis-
tance Learning Project and be available to defray the costs
associated with the use of equipment of the project under
that subsection. Such funds shall be available for such
purposes without fiscal year limitation.
SEC. 8069. Using funds available by this Act or any
other Act, the Secretary of the Air Force, pursuant to a
determination under section 2690 of title 10, United
States Code, may implement cost-effective agreements for
required 
heating 
facility 
modernization 
in 
the
Kaiserslautern Military Community in the Federal Repub-
lic of Germany: Provided, That in the City of
Kaiserslautern such agreements will include the use of
United States anthracite as the base load energy for mu-
nicipal district heat to the United States Defense installa-
tions: Provided further, That at Landstuhl Army Regional
Medical Center and Ramstein Air Base, furnished heat
may be obtained from private, regional or municipal serv-
ices, if provisions are included for the consideration of
United States coal as an energy source.
SEC. 8070. None of the funds appropriated in title
IV of this Act may be used to procure end-items for deliv-
ery to military forces for operational training, operational
use or inventory requirements: Provided, That this restric-
tion does not apply to end-items used in development,
prototyping, and test activities preceding and leading to
acceptance for operational use: Provided further, That this
restriction does not apply to programs funded within the
National Foreign Intelligence Program: Provided further,
That the Secretary of Defense may waive this restriction
on a case-by-case basis by certifying in writing to the
Committees on Appropriations of the House of Represent-
atives and the Senate that it is in the national security
interest to do so.
SEC. 8071. None of the funds made available in this
Act may be used to approve or license the sale of the F–
22 advanced tactical fighter to any foreign government.
SEC. 8072. (a) The Secretary of Defense may, on a
case-by-case basis, waive with respect to a foreign country
each limitation on the procurement of defense items from
foreign sources provided in law if the Secretary determines
that the application of the limitation with respect to that
country would invalidate cooperative programs entered
into between the Department of Defense and the foreign
country, or would invalidate reciprocal trade agreements
for the procurement of defense items entered into under
section 2531 of title 10, United States Code, and the
country does not discriminate against the same or similar
defense items produced in the United States for that coun-
try.
(b) Subsection (a) applies with respect to—
(1) contracts and subcontracts entered into on
or after the date of the enactment of this Act; and
(2) options for the procurement of items that
are exercised after such date under contracts that
are entered into before such date if the option prices
are adjusted for any reason other than the applica-
tion of a waiver granted under subsection (a).
(c) Subsection (a) does not apply to a limitation re-
garding construction of public vessels, ball and roller bear-
ings, food, and clothing or textile materials as defined by
section 11 (chapters 50–65) of the Harmonized Tariff
Schedule and products classified under headings 4010,
4202, 4203, 6401 through 6406, 6505, 7019, 7218
through 7229, 7304.41 through 7304.49, 7306.40, 7502
through 7508, 8105, 8108, 8109, 8211, 8215, and 9404.
SEC. 8073. (a) PROHIBITION.—None of the funds
made available by this Act may be used to support any
training program involving a unit of the security forces
of a foreign country if the Secretary of Defense has re-
ceived credible information from the Department of State
that the unit has committed a gross violation of human
rights, unless all necessary corrective steps have been
taken.
(b) MONITORING.—The Secretary of Defense, in con-
sultation with the Secretary of State, shall ensure that
prior to a decision to conduct any training program re-
ferred to in subsection (a), full consideration is given to
all credible information available to the Department of
State relating to human rights violations by foreign secu-
rity forces.
(c) WAIVER.—The Secretary of Defense, after con-
sultation with the Secretary of State, may waive the prohi-
bition in subsection (a) if he determines that such waiver
is required by extraordinary circumstances.
(d) REPORT.—Not more than 15 days after the exer-
cise of any waiver under subsection (c), the Secretary of
Defense shall submit a report to the congressional defense
committees describing the extraordinary circumstances,
the purpose and duration of the training program, the
United States forces and the foreign security forces in-
volved in the training program, and the information relat-
ing to human rights violations that necessitates the waiv-
er.
SEC. 8074. The Secretary of Defense, in coordination
with the Secretary of Health and Human Services, may
carry out a program to distribute surplus dental equip-
ment of the Department of Defense, at no cost to the De-
partment of Defense, to Indian Health Service facilities
and to federally-qualified health centers (within the mean-
ing of section 1905(l)(2)(B) of the Social Security Act (42
U.S.C. 1396d(l)(2)(B))).
SEC. 8075. None of the funds appropriated or made
available in this Act to the Department of the Navy shall
be used to develop, lease or procure the T–AKE class of
ships unless the main propulsion diesel engines and
propulsors are manufactured in the United States by a
domestically operated entity: Provided, That the Secretary
of Defense may waive this restriction on a case-by-case
basis by certifying in writing to the Committees on Appro-
priations of the House of Representatives and the Senate
that adequate domestic supplies are not available to meet
Department of Defense requirements on a timely basis
and that such an acquisition must be made in order to
acquire capability for national security purposes or there
exists a significant cost or quality difference.
SEC. 8076. None of the funds appropriated or other-
wise made available by this or other Department of De-
fense Appropriations Acts may be obligated or expended
for the purpose of performing repairs or maintenance to
military family housing units of the Department of De-
fense, including areas in such military family housing
units that may be used for the purpose of conducting offi-
cial Department of Defense business.
SEC. 8077. Notwithstanding any other provision of
law, funds appropriated in this Act under the heading
‘‘Research, Development, Test and Evaluation, Defense-
Wide’’ for any advanced concept technology demonstration
project may only be obligated 30 days after a report, in-
cluding a description of the project, the planned acquisi-
tion and transition strategy and its estimated annual and
total cost, has been provided in writing to the congres-
sional defense committees: Provided, That the Secretary
of Defense may waive this restriction on a case-by-case
basis by certifying to the congressional defense committees
that it is in the national interest to do so.
SEC. 8078. The Secretary of Defense shall provide
a classified quarterly report, beginning December 15,
2004, to the House and Senate Appropriations Commit-
tees, Subcommittees on Defense on certain matters as di-
rected in the classified annex accompanying this Act.
SEC. 8079. During the current fiscal year and here-
after, refunds attributable to the use of the Government
travel card, refunds attributable to the use of the Govern-
ment Purchase Card and refunds attributable to official
Government travel arranged by Government Contracted
Travel Management Centers may be credited to operation
and maintenance, and research, development, test and
evaluation accounts of the Department of Defense which
are current when the refunds are received.
SEC. 8080. (a) REGISTERING FINANCIAL MANAGE-
MENT INFORMATION TECHNOLOGY SYSTEMS WITH DOD
CHIEF INFORMATION OFFICER.—None of the funds ap-
propriated in this Act may be used for a mission critical
or mission essential financial management information
technology system (including a system funded by the de-
fense working capital fund) that is not registered with the
Chief Information Officer of the Department of Defense.
A system shall be considered to be registered with that
officer upon the furnishing to that officer of notice of the
system, together with such information concerning the
system as the Secretary of Defense may prescribe. A fi-
nancial management information technology system shall
be considered a mission critical or mission essential infor-
mation technology system as defined by the Under Sec-
retary of Defense (Comptroller).
(b) CERTIFICATIONS AS TO COMPLIANCE WITH FI-
NANCIAL MANAGEMENT MODERNIZATION PLAN.—
(1) During the current fiscal year, a financial
management automated information system, a mixed
information system supporting financial and non-fi-
nancial systems, or a system improvement of more
than $1,000,000 may not receive Milestone A ap-
proval, Milestone B approval, or full rate production,
or their equivalent, within the Department of De-
fense until the Under Secretary of Defense (Comp-
troller) certifies, with respect to that milestone, that
the system is being developed and managed in ac-
cordance with the Department’s Financial Manage-
ment Modernization Plan. The Under Secretary of
Defense (Comptroller) may require additional certifi-
cations, as appropriate, with respect to any such sys-
tem.
(2) The Chief Information Officer shall provide
the congressional defense committees timely notifica-
tion of certifications under paragraph (1).
(c) CERTIFICATIONS
AS
TO
COMPLIANCE
WITH
CLINGER-COHEN ACT.—
(1) During the current fiscal year, a major
automated information system may not receive Mile-
stone A approval, Milestone B approval, or full rate
production approval, or their equivalent, within the
Department of Defense until the Chief Information
Officer certifies, with respect to that milestone, that
the system is being developed in accordance with the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401 et seq.).
The Chief Information Officer may require addi-
tional certifications, as appropriate, with respect to
any such system.
(2) The Chief Information Officer shall provide
the congressional defense committees timely notifica-
tion of certifications under paragraph (1). Each
such notification shall include, at a minimum, the
funding baseline and milestone schedule for each
system covered by such a certification and confirma-
tion that the following steps have been taken with
respect to the system:
(A) Business process reengineering.
(B) An analysis of alternatives.
(C) An economic analysis that includes a
calculation of the return on investment.
(D) Performance measures.
(E) An information assurance strategy
consistent with the Department’s Global Infor-
mation Grid.
(d) DEFINITIONS.—For purposes of this section:
(1) The term ‘‘Chief Information Officer’’
means the senior official of the Department of De-
fense designated by the Secretary of Defense pursu-
ant to section 3506 of title 44, United States Code.
(2) The term ‘‘information technology system’’
has the meaning given the term ‘‘information tech-
nology’’ in section 5002 of the Clinger-Cohen Act of
1996 (40 U.S.C. 1401).
SEC. 8081. During the current fiscal year, none of
the funds available to the Department of Defense may be
used to provide support to another department or agency
of the United States if such department or agency is more
than 90 days in arrears in making payment to the Depart-
ment of Defense for goods or services previously provided
to such department or agency on a reimbursable basis:
Provided, That this restriction shall not apply if the de-
partment is authorized by law to provide support to such
department or agency on a nonreimbursable basis, and is
providing the requested support pursuant to such author-
ity: Provided further, That the Secretary of Defense may
waive this restriction on a case-by-case basis by certifying
in writing to the Committees on Appropriations of the
House of Representatives and the Senate that it is in the
national security interest to do so.
SEC. 8082. None of the funds provided in this Act
may be used to transfer to any nongovernmental entity
ammunition held by the Department of Defense that has
a center-fire cartridge and a United States military no-
menclature designation of ‘‘armor penetrator’’, ‘‘armor
piercing (AP)’’, ‘‘armor piercing incendiary (API)’’, or
‘‘armor-piercing incendiary-tracer (API-T)’’, except to an
entity performing demilitarization services for the Depart-
ment of Defense under a contract that requires the entity
to demonstrate to the satisfaction of the Department of
Defense that armor piercing projectiles are either: (1) ren-
dered incapable of reuse by the demilitarization process;
or (2) used to manufacture ammunition pursuant to a con-
tract with the Department of Defense or the manufacture
of ammunition for export pursuant to a License for Per-
manent Export of Unclassified Military Articles issued by
the Department of State.
SEC. 8083. Notwithstanding any other provision of
law, the Chief of the National Guard Bureau, or his des-
ignee, may waive payment of all or part of the consider-
ation that otherwise would be required under 10 U.S.C.
2667, in the case of a lease of personal property for a
period not in excess of 1 year to any organization specified
in 32 U.S.C. 508(d), or any other youth, social, or fra-
ternal non-profit organization as may be approved by the
Chief of the National Guard Bureau, or his designee, on
a case-by-case basis.
SEC. 8084. None of the funds appropriated by this
Act shall be used for the support of any nonappropriated
funds activity of the Department of Defense that procures
malt beverages and wine with nonappropriated funds for
resale (including such alcoholic beverages sold by the
drink) on a military installation located in the United
States unless such malt beverages and wine are procured
within that State, or in the case of the District of Colum-
bia, within the District of Columbia, in which the military
installation is located: Provided, That in a case in which
the military installation is located in more than one State,
purchases may be made in any State in which the installa-
tion is located: Provided further, That such local procure-
ment requirements for malt beverages and wine shall
apply to all alcoholic beverages only for military installa-
tions in States which are not contiguous with another
State: Provided further, That alcoholic beverages other
than wine and malt beverages, in contiguous States and
the District of Columbia shall be procured from the most
competitive source, price and other factors considered.
SEC. 8085. Funds available to the Department of De-
fense for the Global Positioning System during the current
fiscal year may be used to fund civil requirements associ-
ated with the satellite and ground control segments of
such system’s modernization program.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8086. Of the amounts appropriated in this Act
under the heading, ‘‘Research, Development, Test and
Evaluation, Defense-Wide’’, $60,000,000 shall remain
available until expended: Provided, That notwithstanding
120
ant to section 402 of S. Con. Res. 95 (108th Congress),
as made applicable to the House of Representatives by H.
Res. 649 (108th Congress): Provided further, That, if the
enactment of this title occurs during fiscal year 2005, such
amount is designated as making appropriations for over-
seas contingency operations pursuant to section 403 of
such S. Con. Res. 95.
OPERATION AND MAINTENANCE, DEFENSE-WIDE
For an additional amount for ‘‘Operation and Main-
tenance, Defense-Wide’’, $295,000,000: Provided, That, if
the enactment of this title occurs during fiscal year 2004,
such amount is designated as an emergency requirement
pursuant to section 402 of S. Con. Res. 95 (108th Con-
gress), as made applicable to the House of Representatives
by H. Res. 649 (108th Congress): Provided further, That,
if the enactment of this title occurs during fiscal year
2005, such amount is designated as making appropria-
tions for overseas contingency operations pursuant to sec-
tion 403 of such S. Con. Res. 95.
IRAQ FREEDOM FUND
(INCLUDING TRANSFER OF FUNDS)
For an additional amount for ‘‘Iraq Freedom Fund’’,
$2,978,000,000, to remain available for transfer until
September 30, 2006, for the purposes authorized under
this heading in Public Law 108–11: Provided, That the
127
ble to the House of Representatives by H. Res. 649 (108th
Congress): Provided further, That, if the enactment of this
title occurs during fiscal year 2005, such amount is des-
ignated as making appropriations for overseas contingency
operations pursuant to section 403 of such S. Con. Res.
95.
NATIONAL GUARD AND RESERVE EQUIPMENT
For an additional amount for ‘‘National Guard and
Reserve Equipment’’, $100,000,000, to remain available
until September 30, 2007: Provided, That, if the enact-
ment of this title occurs during fiscal year 2004, such
amount is designated as an emergency requirement pursu-
ant to section 402 of S. Con. Res. 95 (108th Congress),
as made applicable to the House of Representatives by H.
Res. 649 (108th Congress): Provided further, That, if the
enactment of this title occurs during fiscal year 2005, such
amount is designated as making appropriations for over-
seas contingency operations pursuant to section 403 of
such S. Con. Res. 95.
REVOLVING AND MANAGEMENT FUNDS
DEFENSE WORKING CAPITAL FUNDS
For an additional amount for ‘‘Defense Working
Capital Funds’’, $1,250,000,000: Provided, That, if the
enactment of this title occurs during fiscal year 2004, such
amount is designated as an emergency requirement pursu-