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(1) the Committee on Armed Services, the Com-
mittee on Foreign Affairs, and the Committee on Ap-
propriations of the House of Representatives; and 
(2) the Committee on Armed Services, the Com-
mittee on Foreign Relations, and the Committee on 
Appropriations of the Senate. 
(m) EXPIRATION.—The authority provided under this 
section may not be exercised after September 30, 2014, ex-
cept with respect to amounts appropriated or transferred 
to the Fund prior to such date, which can continue to be 
obligated and expended as provided in subsection (i). 
(n) ADMINISTRATIVE EXPENSES.—Amounts in the 
Fund may be used for necessary administrative expenses. 
SEC. 1208. AUTHORITY TO BUILD THE CAPACITY OF CER-
TAIN COUNTERTERRORISM FORCES OF EAST 
AFRICAN COUNTRIES. 
(a) AUTHORITY.—The Secretary of Defense may, with 
the concurrence of the Secretary of State, provide assistance 
during fiscal years 2012 and 2013 as follows: 
(1) To enhance the capacity of the national mili-
tary forces, security agencies serving a similar defense 
function, and border security forces of Djibouti, Ethi-
opia, and Kenya to conduct counterterrorism oper-
ations against al Qaeda, al Qaeda affiliates, and al 
Shabaab.
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† HR 1540 EAS 
(2) To enhance the capacity of national military 
forces participating in the African Union Mission in 
Somalia to conduct counterterrorism operations de-
scribed in paragraph (1). 
(b) TYPES OF ASSISTANCE.— 
(1) AUTHORIZED ELEMENTS.—Assistance under 
subsection (a) may include the provision of equip-
ment, supplies, training, and minor military con-
struction. 
(2) REQUIRED
ELEMENTS.—Assistance under 
subsection (a) shall be provided in a manner that 
promotes— 
(A) observance of and respect for human 
rights and fundamental freedoms; and 
(B) respect for legitimate civilian authority 
in the country receiving such assistance. 
(3) ASSISTANCE
OTHERWISE
PROHIBITED
BY 
LAW.—The Secretary of Defense may not use the au-
thority in subsection (a) to provide any type of assist-
ance described in this subsection that is otherwise 
prohibited by any provision of law. 
(c) FUNDING.— 
(1) IN GENERAL.—Of the amount authorized to 
be appropriated for each of fiscal years 2012 and 
2103 for the Department of Defense for operation and
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† HR 1540 EAS 
maintenance (other than operation and maintenance 
for overseas contingency operations), $75,000,000 
may be utilized to provide assistance under subsection 
(a). 
(2) AVAILABILITY
OF
FUNDS
FOR
ASSISTANCE 
ACROSS
FISCAL
YEARS.—Amounts available under 
this subsection for the authority in subsection (a) for 
a fiscal year may be used for assistance under that 
authority that begins in such fiscal year but ends in 
the next fiscal year. 
(d) NOTICE TO CONGRESS.— 
(1) IN GENERAL.—Not later than 30 days before 
providing assistance under subsection (a), the Sec-
retary of Defense shall submit to the committees of 
Congress specified in paragraph (2) a notice setting 
forth the assistance to be provided, including the types 
of such assistance, the budget for such assistance, and 
the completion date for the provision of such assist-
ance. 
(2) COMMITTEES OF CONGRESS.—The commit-
tees of Congress specified in this paragraph are— 
(A) the Committee on Armed Services, the 
Committee on Foreign Relations, and the Com-
mittee on Appropriations of the Senate; and
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† HR 1540 EAS 
(B) the Committee on Armed Services, the 
Committee on Foreign Affairs, and the Com-
mittee on Appropriations of the House of Rep-
resentatives. 
SEC. 1209. SUPPORT OF FORCES PARTICIPATING IN OPER-
ATIONS TO DISARM THE LORD’S RESISTANCE 
ARMY. 
(a) AUTHORITY.—Pursuant to the policy established 
by the Lord’s Resistance Army Disarmament and Northern 
Uganda Recovery Act of 2009 (Public Law 111–172; 124 
Stat. 1209), the Secretary of Defense may, with the concur-
rence of Secretary of State, provide logistic support, sup-
plies, and services and intelligence support for forces par-
ticipating in operations to mitigate and eliminate the 
threat posed by the Lord’s Resistance Army as follows: 
(1) The national military forces of Uganda. 
(2) The national military forces of any other 
country determined by the Secretary of Defense, with 
the concurrence of the Secretary of State, to be par-
ticipating in such operations. 
(b) 
PARTICIPATION
OF
UNITED
STATES
PER-
SONNEL.—No United States Armed Forces personnel, 
United States civilian employees, or United States civilian 
contractor personnel may participate in combat operations 
in connection with the provision of support under sub-
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† HR 1540 EAS 
section (a), except for the purpose of acting in self-defense 
or of rescuing any United States citizen (including any 
member of the United States Armed Forces, any United 
States civilian employee, or any United States civilian con-
tractor). 
(c) FUNDING.—Of the amount authorized to be appro-
priated for the Department of Defense for each of fiscal 
years 2012 and 2013 for operation and maintenance, not 
more than $35,000,000 may be utilized in each such fiscal 
year to provide support under subsection (a). 
(d) LIMITATIONS.— 
(1) IN GENERAL.—The Secretary of Defense may 
not use the authority in subsection (a) to provide any 
type of support that is otherwise prohibited by any 
provision of law. 
(2) ELIGIBLE COUNTRIES.—The Secretary of De-
fense may not use the authority in subsection (a) to 
provide support to any foreign country that is other-
wise prohibited from receiving such type of support 
under any other provision of law. 
(e) NOTICE TO CONGRESS ON ELIGIBLE COUNTRIES.— 
The Secretary of Defense may not provide support under 
subsection (a) for the national military forces of a country 
determined to be eligible for such support under that sub-
section until the Secretary notifies the appropriate commit-
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† HR 1540 EAS 
tees of Congress of the eligibility of the country for such 
support. 
(f) NOTICE TO CONGRESS ON SUPPORT TO BE PRO-
VIDED.—Not later than 5 days after the date on which 
funds are obligated to provide support under subsection (a), 
the Secretary of Defense shall submit to the appropriate 
committees of Congress a notice setting forth the following: 
(1) The type of support to be provided. 
(2) The national military forces to be supported. 
(3) The objectives of such support. 
(4) The estimated cost of such support. 
(5) The intended duration of such support. 
(g) QUARTERLY REPORTS TO CONGRESS.—The Sec-
retary of State and the Secretary of Defense shall jointly 
submit to the appropriate committees of Congress on a 
quarterly basis a report on the obligation of funds under 
this section during the preceding quarter. 
(h) DEFINITIONS.—In this section: 
(1) The term ‘‘appropriate committees of Con-
gress’’ means— 
(A) the Committee on Armed Services, the 
Committee on Foreign Relations, and the Com-
mittee on Appropriations of the Senate; and 
(B) the Committee on Armed Services, the 
Committee on Foreign Affairs, and the Com-
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† HR 1540 EAS 
mittee on Appropriations of the House of Rep-
resentatives. 
(2) The term ‘‘logistic support, supplies, and 
services’’ has the meaning given that term in section 
2350(1) of title 10, United States Code. 
(i) EXPIRATION.—The authority provided under this 
section may not be exercised after September 30, 2013. 
Subtitle B—Matters Relating to 
Iraq, Afghanistan, and Pakistan 
SEC. 1221. EXTENSION AND MODIFICATION OF LOGISTICAL 
SUPPORT 
FOR 
COALITION 
FORCES 
SUP-
PORTING OPERATIONS IN IRAQ AND AFGHAN-
ISTAN. 
(a) EXTENSION.—Section 1234 of the National Defense 
Authorization Act for Fiscal Year 2008 (Public Law 110– 
181; 122 Stat. 394), as amended by section 1218 of the Ike 
Skelton National Defense Authorization Act for Fiscal Year 
2011 (Public Law 111–383; 124 Stat. 4394), is further 
amended by striking ‘‘fiscal year 2011’’ each place it ap-
pears and inserting ‘‘fiscal year 2012’’. 
(b) AMOUNT OF FUNDS AVAILABLE.—Subsection (d) of 
such section is amended by striking ‘‘$400,000,000’’ and in-
serting ‘‘$450,000,000’’. 
(c) ADDITIONAL LIMITATION
ON AVAILABILITY
OF 
FUNDS.—Of the funds available for logistical support under
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† HR 1540 EAS 
such section during fiscal year 2012, not more than 
$200,000,000 may be obligated and expended until the Sec-
retary of Defense submits the report required by section 
1234 of the Ike Skelton National Defense Authorization Act 
for Fiscal Year 2011 (124 Stat. 4397). 
SEC. 1222. ONE-YEAR EXTENSION OF AUTHORITY TO TRANS-
FER DEFENSE ARTICLES AND PROVIDE DE-
FENSE SERVICES TO THE MILITARY AND SE-
CURITY FORCES OF IRAQ AND AFGHANISTAN. 
(a) EXTENSION OF AUTHORITY.—Subsection (h) of sec-
tion 1234 of the National Defense Authorization Act for Fis-
cal Year 2010 (Public Law 111–84; 123 Stat. 2532), as 
amended by section 1214 of the Ike Skelton National De-
fense Authorization Act for Fiscal Year 2011 (Public Law 
111–383; 124 Stat. 4391), is further amended by striking 
‘‘December 31, 2011’’ and inserting ‘‘December 31, 2012’’. 
(b) QUARTERLY REPORTS.—Subsection (f)(1) of such 
section, as so amended, is further amended by striking ‘‘and 
every 90 days thereafter through March 31, 2012’’ and in-
serting ‘‘every 90 days thereafter through March 31, 2012, 
and at the end of each calendar quarter, if any, thereafter 
through March 31, 2013, in which the authority in sub-
section (a) is implemented’’.
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† HR 1540 EAS 
SEC. 1223. ONE-YEAR EXTENSION OF AUTHORITIES APPLI-
CABLE TO THE PAKISTAN COUNTERINSUR-
GENCY FUND. 
(a) ONE-YEAR EXTENSION.—Subsection (h) of section 
1224 of the National Defense Authorization Act for Fiscal 
Year 2010 (Public Law 111–84; 123 Stat. 2521), as amend-
ed by section 1220(a) of the Ike Skelton National Defense 
Authorization Act for Fiscal Year 2011 (Public Law 111– 
383; 124 Stat. 4395), is further amended by striking ‘‘Sep-
tember 30, 2011’’ both places it appears and inserting ‘‘Sep-
tember 30, 2012’’. 
(b) CLARIFICATION
OF
SOURCE
OF
FUNDS
FOR 
FUND.—Subsection (a)(1)(A) of such section is amended by 
striking ‘‘for fiscal year 2009’’. 
SEC. 1224. ONE-YEAR EXTENSION OF AUTHORITY TO USE 
FUNDS FOR REINTEGRATION ACTIVITIES IN 
AFGHANISTAN. 
Section 1216 of the Ike Skelton National Defense Au-
thorization Act for Fiscal Year 2011 (Public Law 111–383; 
124 Stat. 4392) is amended— 
(1) in subsection (a), by striking ‘‘fiscal year 
2011’’ and inserting ‘‘in each of fiscal years 2011 and 
2012’’; and 
(2) in subsection (e), by striking ‘‘December 31, 
2011’’ and inserting ‘‘December 31, 2012’’.
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† HR 1540 EAS 
SEC. 1225. MODIFICATION OF AUTHORITY ON PROGRAM TO 
DEVELOP AND CARRY OUT INFRASTRUCTURE 
PROJECTS IN AFGHANISTAN. 
(a) FUNDING.—Subsection (f) of section 1217 of the Ike 
Skelton National Defense Authorization Act for Fiscal Year 
2011 (Public Law 111–383; 124 Stat. 4393; 22 U.S.C. 7513 
note) is amended— 
(1) in paragraph (1), by inserting ‘‘or 2012’’ 
after ‘‘fiscal year 2011’’; and 
(2) in paragraph (2), by striking ‘‘until Sep-
tember 30, 2012.’’ and inserting ‘‘as follows: 
‘‘(A) In the case of funds for fiscal year 
2011, until September 30, 2012. 
‘‘(B) In the case of funds for fiscal year 
2012, until September 30, 2013.’’. 
(b) NOTICE TO CONGRESS.—Subsection (g) of such sec-
tion is amended by striking ‘‘30 days’’ and inserting ‘‘15 
days’’. 
SEC. 1226. ONE-YEAR EXTENSION OF AUTHORITY FOR REIM-
BURSEMENT OF CERTAIN COALITION NA-
TIONS FOR SUPPORT PROVIDED TO UNITED 
STATES MILITARY OPERATIONS. 
(a) EXTENSION.—Subsection (a) of section 1233 of the 
National Defense Authorization Act for Fiscal Year 2008 
(Public Law 110–181; 122 Stat. 393), as amended by sec-
tion 1223 of the National Defense Authorization Act for Fis-
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† HR 1540 EAS 
cal Year 2010 (Public Law 111–84; 123 Stat. 2519) and 
section 1213 of the Ike Skelton National Defense Authoriza-
tion Act for Fiscal Year 2011 (Public Law 111–383; 12 
Stat. 4391), is further amended by striking ‘‘by section 
1510 of the Ike Skelton National Defense Authorization Act 
for Fiscal Year 2011’’ and inserting ‘‘for fiscal year 2012 
for overseas contingency operations’’. 
(b) LIMITATION ON AMOUNT AVAILABLE.—Subsection 
(d)(1) of such section, as so amended, is further amended— 
(1) by striking ‘‘fiscal year 2010 or 2011’’ and 
inserting ‘‘fiscal year 2012’’; and 
(2) by striking ‘‘$1,600,000,000’’ and inserting 
‘‘$1,750,000,000’’. 
(c) TECHNICAL AMENDMENT.—Subsection (c)(2) of 
such section, as so amended, is further amended by insert-
ing a comma after ‘‘Budget’’. 
(d) EXTENSION OF NOTICE REQUIREMENT RELATING 
TO REIMBURSEMENT OF PAKISTAN FOR SUPPORT PRO-
VIDED BY PAKISTAN.—Section 1232(b)(6) of the National 
Defense Authorization Act for Fiscal Year 2008 (122 Stat. 
393), as most recently amended by section 1213(d) of the 
Ike Skelton National Defense Authorization Act for Fiscal 
Year 2011, is further amended by striking ‘‘September 30, 
2012’’ and inserting ‘‘September 30, 2013’’.
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† HR 1540 EAS 
SEC. 1227. TWO-YEAR EXTENSION OF CERTAIN REPORTS ON 
AFGHANISTAN. 
(a) REPORT ON PROGRESS TOWARD SECURITY AND 
STABILITY IN AFGHANISTAN.—Section 1230(a) of the Na-
tional Defense Authorization Act for Fiscal Year 2008 (Pub-
lic Law 110–181; 122 Stat. 385), as most recently amended 
by section 1231 of the Ike Skelton National Defense Author-
ization Act for Fiscal Year 2011 (Public Law 111–383; 124 
Stat. 4395), is further amended by striking ‘‘2012’’ and in-
serting ‘‘2014’’. 
(b) REPORT
ON UNITED STATES PLAN
FOR SUS-
TAINING AFGHANISTAN NATIONAL SECURITY FORCES.— 
Section 1231(a) of the National Defense Authorization Act 
for Fiscal Year 2008 (122 Stat. 390), as amended by section 
1232 of the Ike Skelton National Defense Authorization Act 
for Fiscal Year 2011 (124 Stat. 4395), is further amended 
by striking ‘‘2012’’ and inserting ‘‘2014’’. 
SEC. 1228. AUTHORITY TO SUPPORT OPERATIONS AND AC-
TIVITIES OF THE OFFICE OF SECURITY CO-
OPERATION IN IRAQ. 
(a) AUTHORITY.—The Secretary of Defense may sup-
port United States Government transition activities in Iraq 
by providing funds for the following: 
(1) Operations and activities of the Office of Se-
curity Cooperation in Iraq.
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† HR 1540 EAS 
(2) Operations and activities of security assist-
ance teams in Iraq. 
(b) TYPES OF SUPPORT.—The operations and activi-
ties for which the Secretary may provide funds under the 
authority in subsection (a) may include life support, trans-
portation and personal security, and minor construction 
and renovation of facilities. 
(c) LIMITATION ON AMOUNT.—The total amount of 
funds provided under the authority in subsection (a) in fis-
cal year 2012 may not exceed $524,000,000. 
(d) SOURCE OF FUNDS.—Funds for purposes of sub-
section (a) for fiscal year 2012 shall be derived from 
amounts available for that fiscal year for operation and 
maintenance for the Air Force. 
(e) COVERAGE OF COSTS OF OSCI IN CONNECTION 
WITH SALES OF DEFENSE ARTICLES OR DEFENSE SERV-
ICES TO IRAQ.—The President shall ensure that any letter 
of offer for the sale to Iraq of any defense articles or defense 
services issued after the date of the enactment of this Act 
includes, consistent with the provisions of the Arms Export 
Control Act (22 U.S.C. 2751 et seq.), charges for adminis-
trative services sufficient to recover the pro rata costs of 
operations and activities of the Office of Security Coopera-
tion in Iraq and associated security assistance teams in 
Iraq in connection with such sale.
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† HR 1540 EAS 
SEC. 1229. BENCHMARKS TO EVALUATE THE PROGRESS 
BEING MADE TOWARD THE TRANSITION OF 
SECURITY RESPONSIBILITIES FOR AFGHANI-
STAN TO THE GOVERNMENT OF AFGHANI-
STAN. 
(a) FINDINGS.—Congress makes the following findings: 
(1) October 7, 2011, will mark the 10-year anni-
versary of the start of Operation Enduring Freedom 
in Afghanistan. 
(2) Military operations in Afghanistan have cost 
United States taxpayers more than $300,000,000,000 
to date. 
(3) As of June 6, 2011, 1,599 members of the 
United States Armed Forces have lost their lives in 
support of Operation Enduring Freedom in Afghani-
stan and more than 11,000 have been wounded. 
(4) On December 1, 2009, at a speech at the 
United States Military Academy at West Point, New 
York, President Barack Obama stated that the United 
States would begin the transfer of United States 
Armed Forces out of Afghanistan in July 2011 with 
the pace of reductions to be based upon conditions on 
the ground. 
(5) In the December 2010 Afghanistan-Pakistan 
Annual Review, President Obama reaffirmed that the
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† HR 1540 EAS 
killed Osama bin Laden, leader of al Qaeda. While 
the impact of his death on al Qaeda remains to be 
seen, Secretary of Defense Robert Gates called the 
death of bin Laden a ‘‘game changer’’ in a speech on 
May 6, 2011. 
(b) BENCHMARKS REQUIRED.—The President shall es-
tablish, and may update from time to time, a comprehen-
sive set of benchmarks to evaluate progress being made to-
ward the objective of transitioning and transferring lead 
security responsibilities in Afghanistan to the Government 
of Afghanistan by December 31, 2014. 
(c) TRANSITION PLAN.—The President shall devise a 
plan based on inputs from military commanders, NATO 
and Coalition allies, the diplomatic missions in the region, 
and appropriate members of the Cabinet, along with the 
consultation of Congress, for expediting the drawdown of 
United States combat troops in Afghanistan and accel-
erating the transfer of security authority to Afghan authori-
ties. 
(d) SUBMITTAL TO CONGRESS.—The President shall 
include the most current set of benchmarks established pur-
suant to subsection (b) and the plan pursuant to subsection 
(c) with each report on progress toward security and sta-
bility in Afghanistan that is submitted to Congress under 
sections 1230 and 1231 of the National Defense Authoriza-
565 
† HR 1540 EAS 
tion Act for Fiscal Year 2008 (Public Law 110–181; 122 
Stat. 385, 390). 
SEC. 1230. CERTIFICATION REQUIREMENT REGARDING EF-
FORTS BY GOVERNMENT OF PAKISTAN TO IM-
PLEMENT A STRATEGY TO COUNTER IMPRO-
VISED EXPLOSIVE DEVICES. 
(a) CERTIFICATION REQUIREMENT.— 
(1) IN GENERAL.—None of the amounts author-
ized to be appropriated under this Act for the Paki-
stan Counterinsurgency Fund or transferred to the 
Pakistan Counterinsurgency Fund from the Pakistan 
Counterinsurgency Capability Fund should be made 
available for the Government of Pakistan until the 
Secretary of Defense, in consultation with the Sec-
retary of State, certifies to the congressional defense 
committees and the Committee on Foreign Relations 
of the Senate and the Committee on Foreign Affairs 
of the House of Representatives that the Government 
of Pakistan is demonstrating a continuing commit-
ment to and is making significant efforts towards the 
implementation of a strategy to counter improvised 
explosive devices (IEDs). 
(2) SIGNIFICANT IMPLEMENTATION EFFORTS.— 
For purposes of this subsection, significant implemen-
tation efforts include attacking IED networks, moni-
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† HR 1540 EAS 
toring of known precursors used in IEDs, and the de-
velopment of a strict protocol for the manufacture of 
explosive materials, including calcium ammonium ni-
trate, and accessories and their supply to legitimate 
end users. 
(b) WAIVER.—The Secretary of Defense, in consulta-
tion with the Secretary of State, may waive the require-
ments of subsection (a) if the Secretary determines it is in 
the national security interest of the United States to do so. 
SEC. 1231. REPORT ON COALITION SUPPORT FUND REIM-
BURSEMENTS TO THE GOVERNMENT OF PAKI-
STAN FOR OPERATIONS CONDUCTED IN SUP-
PORT OF OPERATION ENDURING FREEDOM. 
(a) IN GENERAL.—Not later than 120 days after the 
date of the enactment of this Act, the Secretary of Defense 
shall submit a report to the congressional defense commit-
tees and the Committee on Foreign Relations of the Senate 
and the Committee on Foreign Affairs of the House of Rep-
resentatives assessing the effectiveness of the Coalition Sup-
port Fund reimbursements to the Government of Pakistan 
for operations conducted in support of Operation Enduring 
Freedom. 
(b) ELEMENTS.—The report required under subsection 
(a) shall include the following elements:
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† HR 1540 EAS 
(1) A description of the types of reimbursements 
requested by the Government of Pakistan. 
(2) The total amount reimbursed to the Govern-
ment of Pakistan since the beginning of Operation 
Enduring Freedom, in the aggregate and by fiscal 
year. 
(3) The percentage and types of reimbursement 
requests made by the Government of Pakistan for 
which the United States Government has deferred or 
not provided payment. 
(4) An assessment of the effectiveness of Coalition 
Support Fund reimbursements in supporting oper-
ations conducted by the Government of Pakistan in 
support of Operation Enduring Freedom and of the 
impact of those operations in containing the ability 
of terrorist organizations to threaten the stability of 
Afghanistan and Pakistan and to impede the oper-
ations of the United States in Afghanistan. 
(5) Recommendations, if any, relative to poten-
tial alternatives to or termination of reimbursements 
from the Coalition Support Fund to the Government 
of Pakistan taking into account the transition plan 
for Afghanistan.
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† HR 1540 EAS 
(c) FORM.—The report required under subsection (a) 
shall be submitted in unclassified form, but may contain 
a classified annex. 
Subtitle C—Reports and Other 
Matters 
SEC. 1241. REPORT ON PROGRESS OF THE AFRICAN UNION 
IN OPERATIONALIZING THE AFRICAN STAND-
BY FORCE. 
(a) REPORT REQUIRED.—Not later than 180 days 
after the date of the enactment of this Act, the Under Sec-
retary of Defense for Policy shall submit to the Committees 
on Armed Services of the Senate and the House of Rep-
resentatives a report on the progress of the African Union 
in operationalizing the African Standby Force. 
(b) ELEMENTS.—The report required by subsection (a) 
shall include the following: 
(1) An assessment of the existing personnel 
strengths and capabilities of each of the five regional 
brigades of the African Standby Force and their bri-
gade-level headquarters. 
(2) An assessment of the specific capacity-build-
ing needs of the African Standby Force, including 
with respect to supply management, information 
management, strategic planning, and other critical 
components.
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† HR 1540 EAS 
(3) A description of the functionality of the sup-
ply depots of each brigade referred to in paragraph 
(1), and current information on existing stocks of 
each such brigade. 
(4) An assessment of the capacity of the African 
Union to manage the African Standby Force. 
(5) An assessment of inter-organizational coordi-
nation on assistance to the African Union and the Af-
rican Standby Force between multilateral donors, in-
cluding the United Nations, the European Union, and 
the North Atlantic Treaty Organization. 
(6) An assessment of the capacity of the African 
Union to absorb additional international assistance 
toward the development of a fully functional African 
Standby Force. 
SEC. 1242. COMPTROLLER GENERAL OF THE UNITED 
STATES REPORT ON THE NATIONAL GUARD 
STATE PARTNERSHIP PROGRAM. 
(a) REPORT REQUIRED.—Not later than March 31, 
2012, the Comptroller General of the United States shall 
submit to the Committee on Armed Services of the Senate 
and the Committee on Armed Services of the House of Rep-
resentatives a report on the National Guard State Partner-
ship Program.
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† HR 1540 EAS 
(b) ELEMENTS.—The report required by subsection (a) 
shall include the following: 
(1) A summary of the sources of funds for the 
State Partnership Program over the last five years. 
(2) An analysis of the types and frequency of ac-
tivities performed by participants in the State Part-
nership Program. 
(3) A description of the objectives of the State 
Partnership Program and the manner in which objec-
tives under the program are established and coordi-
nated with the Office of the Secretary of Defense, the 
geographic combatant commands, United States 
Country Teams, and other departments and agencies 
of the United States Government. 
(4) A description of the manner in which the De-
partment of Defense selects and designates particular 
State and foreign country partnerships under the 
State Partnership Program. 
(5) A description of the manner in which the De-
partment measures the effectiveness of the activities 
under the State Partnership Program in meeting the 
objectives of the program. 
(6) An assessment by the Comptroller General of 
the United States of the effectiveness of the activities
571 
† HR 1540 EAS 
under the State Partnership Program in meeting the 
objectives of the program. 
SEC. 1243. MAN-PORTABLE AIR-DEFENSE SYSTEMS ORIGI-
NATING FROM LIBYA. 
(a) STATEMENT OF POLICY.—Pursuant to section 11 
of the Department of State Authorities Act of 2006 (22 
U.S.C. 2349bb–6), the following is the policy of the United 
States: 
(1) To reduce and mitigate, to the greatest extent 
feasible, the threat posed to United States citizens and 
citizens of allies of the United States by man-portable 
air-defense systems (MANPADS) that were in Libya 
as of March 19, 2011. 
(2) To seek the cooperation of, and to assist, the 
Government of Libya and governments of neighboring 
countries and other countries (as determined by the 
President) to secure, remove, or eliminate stocks of 
man-portable air-defense systems described in para-
graph (1) that pose a threat to United States citizens 
and citizens of allies of the United States. 
(3) To pursue, as a matter of priority, an agree-
ment with the Government of Libya and governments 
of neighboring countries and other countries (as deter-
mined by the Secretary of State) to formalize coopera-
tion with the United States to limit the availability,
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† HR 1540 EAS 
transfer, and proliferation of man-portable air-defense 
systems described in paragraph (1). 
(b) INTELLIGENCE
COMMUNITY
ASSESSMENT
ON 
MANPADS IN LIBYA.— 
(1) IN GENERAL.—The Director of National In-
telligence shall submit to the appropriate committees 
of Congress an assessment by the intelligence commu-
nity that accounts for the disposition of, and the 
threat to United States citizens and citizens of allies 
of the United States posed by man-portable air-de-
fense systems that were in Libya as of March 19, 
2011. The assessment shall be submitted as soon as 
practicable, but not later than the end of the 45-day 
period beginning on the date of the enactment of this 
Act. 
(2) 
ELEMENTS.—The 
assessment 
submitted 
under this subsection shall include the following: 
(A) An estimate of the number of man-port-
able air-defense systems that were in Libya as of 
March 19, 2011. 
(B) An estimate of the number of man-port-
able air-defense systems in Libya as of March 
19, 2011, that are currently in the secure custody 
of the Government of Libya, the United States, 
an ally of the United States, a member of the
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† HR 1540 EAS 
North Atlantic Treaty Organization (NATO), or 
the United Nations. 
(C) An estimate of the number of man-port-
able air-defense systems in Libya as of March 
19, 2011, that were destroyed, disabled, or other-
wise rendered unusable during Operation Uni-
fied Protector and since the end of Operation 
Unified Protector. 
(D) An assessment of the number of man- 
portable air-defense systems that is the difference 
between the number of man-portable air-defense 
systems in Libya as of March 19, 2011, and the 
cumulative number of man-portable air-defense 
systems accounted for under subparagraphs (B) 
and (C), and the current disposition and loca-
tions of such man-portable air-defense systems. 
(E) An assessment of the number of man- 
portable air-defense systems that are currently in 
the custody of militias in Libya. 
(F) A list of any organizations designated 
as terrorist organizations by the Department of 
State, or affiliate organizations or members of 
such organizations, that are known or believed to 
have custody of any man-portable air-defense
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† HR 1540 EAS 
systems that were in the custody of the Govern-
ment of Libya as of March 19, 2011. 
(G) An assessment of the threat posed to 
United States citizens and citizens of allies of the 
United States from unsecured man-portable air- 
defense systems (as defined in section 11 of the 
Department of State Authorities Act of 2006) 
originating from Libya. 
(H) An assessment of the effect of the pro-
liferation of man-portable air-defense systems 
that were in Libya as of March 19, 2011, on the 
price and availability of man-portable air-de-
fense systems that are on the global arms market. 
(3) NOTICE REGARDING DELAY IN SUBMITTAL.— 
If, before the end of the 45-day period specified in 
paragraph (1), the Director determines that the as-
sessment required by that paragraph cannot be sub-
mitted by the end of that period as required by that 
paragraph, the Director shall (before the end of that 
period) submit to the appropriate committees of Con-
gress a report setting forth— 
(A) the reasons why the assessment cannot 
be submitted by the end of that period; and 
(B) an estimated date for the submittal of 
the assessment.
575 
† HR 1540 EAS 
(c) COMPREHENSIVE
STRATEGY
ON
THREAT
OF 
MANPADS ORIGINATING FROM LIBYA.— 
(1) STRATEGY REQUIRED.—The President shall 
develop and implement, and from time to time up-
date, a comprehensive strategy, pursuant to section 11 
of the Department of State Authorities Act of 2006, 
to reduce and mitigate the threat posed to United 
States citizens and citizens of allies of the United 
States from man-portable air-defense systems that 
were in Libya as of March 19, 2011. 
(2) REPORT REQUIRED.— 
(A) IN GENERAL.—Not later than 45 days 
after the assessment required by subsection (b) is 
submitted to the appropriate committees of Con-
gress, the President shall submit to the appro-
priate committees of Congress a report setting 
forth the strategy required by paragraph (1). 
(B) ELEMENTS.—The report required by 
this paragraph shall include the following: 
(i) An assessment of the effectiveness of 
efforts undertaken to date by the United 
States, Libya, Mauritania, Egypt, Algeria, 
Tunisia, Mali, Morocco, Niger, Chad, the 
United Nations, the North Atlantic Treaty 
Organization, and any other country or en-
576 
† HR 1540 EAS 
tity (as determined by the President) to re-
duce the threat posed to United States citi-
zens and citizens of allies of the United 
States from man-portable air-defense sys-
tems that were in Libya as of March 19, 
2011. 
(ii) A timeline for future efforts by the 
United States, Libya, and neighboring 
countries to— 
(I) secure, remove, or disable any 
man-portable air-defense systems that 
remain in Libya; 
(II) counter proliferation of man- 
portable 
air-defense 
systems 
origi-
nating from Libya that are in the re-
gion; and 
(III) disrupt the ability of terror-
ists, non-state actors, and state spon-
sors of terrorism to acquire such man- 
portable air-defense systems. 
(iii) A description of any additional 
funding required to address the threat of 
man-portable 
air-defense 
systems 
origi-
nating from Libya.
577 
† HR 1540 EAS 
(iv) A description of technologies cur-
rently available to reduce the susceptibility 
and vulnerability of civilian aircraft to 
man-portable air-defense systems, including 
an assessment of the feasibility of using air-
craft-based anti-missile systems to protect 
United States passenger jets. 
(v) Recommendations for the most ef-
fective policy measures that can be taken to 
reduce and mitigate the threat posed to 
United States citizens and citizens of allies 
of the United States from man-portable air- 
defense systems that were in Libya as of 
March 19, 2011. 
(vi) Such recommendations for legisla-
tive or administrative action as the Presi-
dent considers appropriate to implement the 
strategy required by paragraph (1). 
(C) FORM.—The report required by this 
paragraph shall be submitted in unclassified 
form, but may include a classified annex. 
(d) APPROPRIATE COMMITTEES OF CONGRESS DE-
FINED.—In this section, the term ‘‘appropriate committees 
of Congress’’ means—
578 
† HR 1540 EAS 
(1) the Committee on Armed Services, the Com-
mittee on Foreign Relations, and the Select Com-
mittee on Intelligence of the Senate; and 
(2) the Committee on Armed Services, the Com-
mittee on Foreign Affairs, and the Permanent Select 
Committee on Intelligence of the House of Representa-
tives. 
SEC. 1244. DEFENSE COOPERATION WITH REPUBLIC OF 
GEORGIA. 
(a) PLAN FOR NORMALIZATION.—Not later than 90 
days after the date of the enactment of this Act, the Presi-
dent shall develop and submit to the congressional defense 
committees and the Committee on Foreign Relations of the 
Senate and the Committee on Foreign Affairs of the House 
of Representatives a plan for the normalization of United 
States defense cooperation with the Republic of Georgia, in-
cluding the sale of defensive arms. 
(b) OBJECTIVES.—The plan required under subsection 
(a) shall address the following objectives: 
(1) To establish a normalized defense cooperation 
relationship between the United States and the Re-
public of Georgia, taking into consideration the 
progress of the Government of the Republic of Georgia 
on democratic and economic reforms and the capacity 
of the Georgian armed forces.
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† HR 1540 EAS 
(2) To support the Government of the Republic 
of Georgia in providing for the defense of its govern-
ment, people, and sovereign territory, consistent with 
the continuing commitment of the Government of the 
Republic of Georgia to its nonuse-of-force pledge and 
consistent with Article 51 of the Charter of the United 
Nations. 
(3) To provide for the sale by the United States 
of defense articles and services in support of the ef-
forts of the Government of the Republic of Georgia to 
provide for its own self-defense consistent with para-
graphs (1) and (2). 
(4) To continue to enhance the ability of the 
Government of the Republic of Georgia to participate 
in coalition operations and meet NATO partnership 
goals. 
(5) To encourage NATO member and candidate 
countries to restore and enhance their sales of defen-
sive articles and services to the Republic of Georgia 
as part of a broader NATO effort to deepen its defense 
relationship and cooperation with the Republic of 
Georgia. 
(6) To ensure maximum transparency in the 
United States-Georgia defense relationship.
580 
† HR 1540 EAS 
(c) INCLUDED
INFORMATION.—The plan required 
under subsection (a) shall include the following informa-
tion: 
(1) A needs-based assessment, or an update to an 
existing needs-based assessment, of the defense require-
ments of the Republic of Georgia, which shall be pre-
pared by the Department of Defense. 
(2) A description of each of the requests by the 
Government of the Republic of Georgia for purchase 
of defense articles and services during the two-year 
period ending on the date of the report. 
(3) A summary of the defense needs asserted by 
the Government of the Republic of Georgia as jus-
tification for its requests for defensive arms purchases. 
(4) A description of the action taken on any de-
fensive arms sale request by the Government of the 
Republic of Georgia and an explanation for such ac-
tion. 
(d) FORM.—The plan required under subsection (a) 
shall be submitted in unclassified form, but may contain 
a classified annex. 
SEC. 1245. IMPOSITION OF SANCTIONS WITH RESPECT TO 
THE FINANCIAL SECTOR OF IRAN. 
(a) FINDINGS.—Congress makes the following findings:
581 
† HR 1540 EAS 
(1) On November 21, 2011, the Secretary of the 
Treasury issued a finding under section 5318A of 
title 31, United States Code, that identified Iran as 
a jurisdiction of primary money laundering concern. 
(2) In that finding, the Financial Crimes En-
forcement Network of the Department of the Treasury 
wrote, ‘‘The Central Bank of Iran, which regulates 
Iranian banks, has assisted designated Iranian banks 
by transferring billions of dollars to these banks in 
2011. In mid-2011, the CBI transferred several billion 
dollars to designated banks, including Saderat, 
Mellat, EDBI and Melli, through a variety of pay-
ment schemes. In making these transfers, the CBI at-
tempted to evade sanctions by minimizing the direct 
involvement of large international banks with both 
CBI and designated Iranian banks.’’. 
(3) On November 22, 2011, the Under Secretary 
of the Treasury for Terrorism and Financial Intel-
ligence, David Cohen, wrote, ‘‘Treasury is calling out 
the entire Iranian banking sector, including the Cen-
tral Bank of Iran, as posing terrorist financing, pro-
liferation financing, and money laundering risks for 
the global financial system.’’. 
(b) DESIGNATION OF FINANCIAL SECTOR OF IRAN AS 
OF PRIMARY MONEY LAUNDERING CONCERN.—The finan-
582 
† HR 1540 EAS 
cial sector of Iran, including the Central Bank of Iran, is 
designated as of primary money laundering concern for 
purposes of section 5318A of title 31, United States Code, 
because of the threat to government and financial institu-
tions resulting from the illicit activities of the Government 
of Iran, including its pursuit of nuclear weapons, support 
for international terrorism, and efforts to deceive respon-
sible financial institutions and evade sanctions. 
(c) FREEZING OF ASSETS OF IRANIAN FINANCIAL IN-
STITUTIONS.—The President shall, pursuant to the Inter-
national Emergency Economic Powers Act (50 U.S.C. 1701 
et seq.), block and prohibit all transactions in all property 
and interests in property of an Iranian financial institu-
tion if such property and interests in property are in the 
United States, come within the United States, or are or 
come within the possession or control of a United States 
person. 
(d) IMPOSITION OF SANCTIONS WITH RESPECT TO 
THE CENTRAL BANK OF IRAN AND OTHER IRANIAN FINAN-
CIAL INSTITUTIONS.— 
(1) IN
GENERAL.—Except as specifically pro-
vided in this subsection, beginning on the date that 
is 60 days after the date of the enactment of this Act, 
the President—
583 
† HR 1540 EAS 
(A) shall prohibit the opening or maintain-
ing in the United States of a correspondent ac-
count or a payable-through account by a foreign 
financial institution that the President deter-
mines has knowingly conducted or facilitated 
any significant financial transaction with the 
Central Bank of Iran or another Iranian finan-
cial institution designated by the Secretary of 
the Treasury for the imposition of sanctions pur-
suant to the International Emergency Economic 
Powers Act (50 U.S.C. 1701 et seq.); and 
(B) may impose sanctions pursuant to the 
International Emergency Economic Powers Act 
(50 U.S.C. 1701 et seq.) with respect to the Cen-
tral Bank of Iran. 
(2) EXCEPTION FOR SALES OF FOOD, MEDICINE, 
AND MEDICAL DEVICES.—The President may not im-
pose sanctions under paragraph (1) with respect to 
any person for conducting or facilitating a trans-
action for the sale of food, medicine, or medical de-
vices to Iran. 
(3) APPLICABILITY OF SANCTIONS WITH RESPECT 
TO FOREIGN CENTRAL BANKS.—Except as provided in 
paragraph (4), sanctions imposed under paragraph 
(1)(A) shall apply with respect to a foreign financial
584 
† HR 1540 EAS 
institution owned or controlled by the government of 
a foreign country, including a central bank of a for-
eign country, only insofar as it engages in a financial 
transaction for the sale or purchase of petroleum or 
petroleum products to or from Iran conducted or fa-
cilitated on or after that date that is 180 days after 
the date of the enactment of this Act. 
(4) APPLICABILITY OF SANCTIONS WITH RESPECT 
TO PETROLEUM TRANSACTIONS.— 
(A) REPORT REQUIRED.—Not later than 60 
days after the date of the enactment of this Act, 
and every 60 days thereafter, the Administrator 
of the Energy Information Administration, in 
consultation with the Secretary of the Treasury, 
shall submit to Congress a report on the avail-
ability and price of petroleum and petroleum 
products produced in countries other than Iran 
in the 60-day period preceding the submission of 
the report. 
(B) DETERMINATION REQUIRED.—Not later 
than 90 days after the date of the enactment of 
the Act, and every 180 days thereafter, the Presi-
dent shall make a determination, based on the 
reports required by subparagraph (A), of whether 
the price and supply of petroleum and petroleum
585 
† HR 1540 EAS 
products produced in countries other than Iran 
is sufficient to permit purchasers of petroleum 
and petroleum products from Iran to reduce sig-
nificantly in volume their purchases from Iran. 
(C) APPLICATION
OF
SANCTIONS.—Except 
as provided in subparagraph (D), sanctions im-
posed under paragraph (1)(A) shall apply with 
respect to a financial transaction conducted or 
facilitated by a foreign financial institution on 
or after the date that is 180 days after the date 
of the enactment of this Act for the purchase of 
petroleum or petroleum products from Iran if the 
President determines pursuant to subparagraph 
(B) that there is a sufficient supply of petroleum 
and petroleum products from countries other 
than Iran to permit a significant reduction in 
the volume of petroleum and petroleum products 
purchased from Iran by or through foreign fi-
nancial institutions. 
(D) EXCEPTION.—Sanctions imposed pur-
suant to paragraph (1) shall not apply with re-
spect to a foreign financial institution if the 
President determines and reports to Congress, 
not later than 90 days after the date on which 
the President makes the determination required
586 
† HR 1540 EAS 
by subparagraph (B), and every 180 days there-
after, that the country with primary jurisdiction 
over the foreign financial institution has signifi-
cantly reduced its volume of crude oil purchases 
from Iran during the period beginning on the 
date on which the President submitted the last 
report with respect to the country under this sub-
paragraph. 
(5) WAIVER.—The President may waive the im-
position of sanctions under paragraph (1) for a pe-
riod of not more than 120 days, and may renew that 
waiver for additional periods of not more than 120 
days, if the President— 
(A) determines that such a waiver is vital 
to the national security of the United States; and 
(B) submits to Congress a report— 
(i) providing a justification for the 
waiver; and 
(ii) that includes any concrete coopera-
tion the President has received or expects to 
receive as a result of the waiver. 
(e) MULTILATERAL DIPLOMACY INITIATIVE.— 
(1) IN GENERAL.—The President shall—
663 
† HR 1540 EAS 
TITLE 
XXV—NORTH 
ATLANTIC 
TREATY ORGANIZATION SE-
CURITY 
INVESTMENT 
PRO-
GRAM 
SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND 
ACQUISITION PROJECTS. 
The Secretary of Defense may make contributions for 
the North Atlantic Treaty Organization Security Invest-
ment Program as provided in section 2806 of title 10, 
United States Code, in an amount not to exceed the sum 
of the amount authorized to be appropriated for this pur-
pose in section 2502 and the amount collected from the 
North Atlantic Treaty Organization as a result of construc-
tion previously financed by the United States. 
SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO. 
Funds are hereby authorized to be appropriated for fis-
cal years beginning after September 30, 2011, for contribu-
tions by the Secretary of Defense under section 2806 of title 
10, United States Code, for the share of the United States 
of the cost of projects for the North Atlantic Treaty Organi-
zation Security Investment Program authorized by section 
2501, in the amount of $240,611,000.
689 
† HR 1540 EAS 
ment of Defense may not obligate funds for a 
data server, data server upgrade, data server 
farm, or data center unless approved by the 
Chief Information Officer of the Department of 
Defense or the Chief Information Officer of a 
component of the Department to whom the Chief 
Information Officer of the Department has spe-
cifically delegated such approval authority. 
(B) UNDER
PERFORMANCE
PLAN.—After 
May 1, 2012, a department, agency, or compo-
nent of the Department may not obligate funds 
for a data center, or any information systems 
technology used therein, unless that obligation is 
in accordance with the performance plan re-
quired by subsection (b) and is approved as de-
scribed in subparagraph (A). 
(2) REQUIREMENTS FOR APPROVALS.— 
(A) BEFORE PERFORMANCE PLAN.—An ap-
proval of the obligation of funds may not be 
granted under paragraph (1)(A) unless the offi-
cial granting the approval determines, in writ-
ing, that existing resources of the agency, compo-
nent, or element concerned cannot affordably or 
practically be used or modified to meet the re-