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discriminate against the same or similar defense items pro-
duced in the United States for that country. 
(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 en-
tered into before such date if the option prices are ad-
justed for any reason other than the application 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. 8064. (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 received credible in-
formation from the Department of State that the unit has 
committed a gross violation of human rights, unless all nec-
essary corrective steps have been taken. 
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(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 referred 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 security forces. 
(c) WAIVER.—The Secretary of Defense, after consulta-
tion with the Secretary of State, may waive the prohibition 
in subsection (a) if he determines that such waiver is re-
quired by extraordinary circumstances. 
(d) REPORT.—Not more than 15 days after the exercise 
of any waiver under subsection (c), the Secretary of Defense 
shall submit a report to the congressional defense commit-
tees describing the extraordinary circumstances, the purpose 
and duration of the training program, the United States 
forces and the foreign security forces involved in the train-
ing program, and the information relating to human rights 
violations that necessitates the waiver. 
SEC. 8065. 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 certi-
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fying 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 or there exists a significant cost 
or quality difference. 
SEC. 8066. None of the funds appropriated or other-
wise made available by this or other Department of Defense 
Appropriations Acts may be obligated or expended for the 
purpose of performing repairs or maintenance to military 
family housing units of the Department of Defense, includ-
ing areas in such military family housing units that may 
be used for the purpose of conducting official Department 
of Defense business. 
SEC. 8067. Notwithstanding any other provision of 
law, funds appropriated in this Act under the heading ‘‘Re-
search, Development, Test and Evaluation, Defense-Wide’’ 
for any new start advanced concept technology demonstra-
tion project may only be obligated 30 days after a report, 
including 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 congressional 
defense committees: Provided, That the Secretary of Defense 
may waive this restriction on a case-by-case basis by certi-
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fying to the congressional defense committees that it is in 
the national interest to do so. 
SEC. 8068. The Secretary of Defense shall provide a 
classified quarterly report beginning 30 days after enact-
ment of this Act, to the House and Senate Appropriations 
Committees, Subcommittees on Defense on certain matters 
as directed in the classified annex accompanying this Act. 
SEC. 8069. During the current fiscal year, refunds at-
tributable to the use of the Government travel card, refunds 
attributable to the use of the Government Purchase Card 
and refunds attributable to official Government travel ar-
ranged 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. 8070. (a) REGISTERING FINANCIAL MANAGE-
MENT INFORMATION TECHNOLOGY SYSTEMS WITH DOD 
CHIEF INFORMATION OFFICER.—None of the funds appro-
priated in this Act may be used for a mission critical or 
mission essential financial management information tech-
nology system (including a system funded by the defense 
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 
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the furnishing to that officer of notice of the system, together 
with such information concerning the system as the Sec-
retary of Defense may prescribe. A financial management 
information technology system shall be considered a mission 
critical or mission essential information technology system 
as defined by the Under Secretary of Defense (Comptroller). 
(b) CERTIFICATIONS AS TO COMPLIANCE WITH FINAN-
CIAL 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 Defense 
until the Under Secretary of Defense (Comptroller) 
certifies, with respect to that milestone, that the sys-
tem is being developed and managed in accordance 
with the Department’s Financial Management Mod-
ernization Plan. The Under Secretary of Defense 
(Comptroller) may require additional 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). 
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(c) CERTIFICATIONS
AS
TO
COMPLIANCE
WITH 
CLINGER-COHEN ACT.— 
(1) During the current fiscal year, a major auto-
mated information system may not receive Milestone 
A approval, Milestone B approval, or full rate pro-
duction approval, or their equivalent, within the De-
partment of Defense until the Chief Information Offi-
cer 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 additional 
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 a statement confirming 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. 
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(E) An information assurance strategy con-
sistent with the Department’s Global Informa-
tion Grid. 
(d) DEFINITIONS.—For purposes of this section: 
(1) The term ‘‘Chief Information Officer’’ means 
the senior official of the Department of Defense des-
ignated by the Secretary of Defense pursuant to sec-
tion 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. 8071. 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 Department 
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 department 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 authority: Provided fur-
ther, That the Secretary of Defense may waive this restric-
tion on a case-by-case basis by certifying in writing to the 
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Committees on Appropriations of the House of Representa-
tives and the Senate that it is in the national security inter-
est to do so. 
SEC. 8072. Notwithstanding section 12310(b) of title 
10, United States Code, a Reserve who is a member of the 
National Guard serving on full-time National Guard duty 
under section 502(f) of title 32 may perform duties in sup-
port of the ground-based elements of the National Ballistic 
Missile Defense System. 
SEC. 8073. None of the funds provided in this Act may 
be used to transfer to any nongovernmental entity ammuni-
tion held by the Department of Defense that has a center- 
fire cartridge and a United States military nomenclature 
designation of ‘‘armor penetrator’’, ‘‘armor piercing (AP)’’, 
‘‘armor piercing incendiary (API)’’, or ‘‘armor-piercing in-
cendiary-tracer (API–T)’’, except to an entity performing 
demilitarization services for the Department 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) rendered incapable of 
reuse by the demilitarization process; or (2) used to manu-
facture ammunition pursuant to a contract with the De-
partment of Defense or the manufacture of ammunition for 
export pursuant to a License for Permanent Export of Un-
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classified Military Articles issued by the Department of 
State. 
SEC. 8074. 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 section 2667 
of title 10, United States Code, in the case of a lease of 
personal property for a period not in excess of 1 year to 
any organization specified in section 508(d) of title 32, 
United States Code, or any other youth, social, or fraternal 
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. 8075. 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 Columbia, 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 installation is lo-
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cated: Provided further, That such local procurement re-
quirements for malt beverages and wine shall apply to all 
alcoholic beverages only for military installations in States 
which are not contiguous with another State: Provided fur-
ther, That alcoholic beverages other than wine and malt bev-
erages, in contiguous States and the District of Columbia 
shall be procured from the most competitive source, price 
and other factors considered. 
SEC. 8076. 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. 8077. Of the amounts appropriated in this Act 
under the heading ‘‘Operation and Maintenance, Army’’, 
$78,300,000 shall remain available until expended: Pro-
vided, That notwithstanding any other provision of law, the 
Secretary of Defense is authorized to transfer such funds 
to other activities of the Federal Government: Provided fur-
ther, That the Secretary of Defense is authorized to enter 
into and carry out contracts for the acquisition of real 
property, construction, personal services, and operations re-
lated to projects carrying out the purposes of this section: 
Provided further, That contracts entered into under the au-
thority of this section may provide for such indemnification 
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