384
(c) EFFECT
ON
AUTHORIZATION
AMOUNTS.—A 
transfer made from one account to another under the au-
thority of this section shall be deemed to increase the 
amount authorized for the account to which the amount 
is transferred by an amount equal to the amount trans-
ferred. 
(d) NOTICE
TO CONGRESS.—The Secretary shall 
promptly notify Congress of each transfer made under 
subsection (a). 
SEC. 1002. AUTHORIZATION OF SUPPLEMENTAL APPRO-
PRIATIONS FOR FISCAL YEAR 2005. 
Amounts authorized to be appropriated to the De-
partment of Defense and the Department of Energy for 
fiscal year 2005 in the Ronald W. Reagan National De-
fense Authorization Act for Fiscal Year 2005 (Public Law 
108–375) are hereby adjusted, with respect to any such 
authorized amount, by the amount by which appropria-
tions pursuant to such authorization are increased by a 
supplemental appropriation or decreased by a rescission, 
or both, or are increased by a transfer of funds, pursuant 
to title I and chapter 2 of title IV of division A of the 
Emergency Supplemental Appropriations Act for Defense, 
the Global War on Terror, and Tsunami Relief, 2005 
(Public Law 109–13).
385
SEC. 1003. INCREASE IN FISCAL YEAR 2005 GENERAL 
TRANSFER AUTHORITY. 
Section 1001(a)(2) of the Ronald W. Reagan Na-
tional Defense Authorization Act for Fiscal Year 2005 
(Public Law 108–375; 118 Stat. 2037) is amended by 
striking 
‘‘$3,500,000,000’’ 
and 
inserting 
‘‘$6,185,000,000’’. 
SEC. 1004. REPORTS ON FEASIBILITY AND DESIRABILITY 
OF CAPITAL BUDGETING FOR MAJOR DE-
FENSE ACQUISITION PROGRAMS. 
(a) CAPITAL BUDGETING DEFINED.—For the pur-
poses of this section, the term ‘‘capital budgeting’’ means 
a budget process that— 
(1) identifies large capital outlays that are ex-
pected to be made in future years, together with 
identification of the proposed means to finance those 
outlays and the expected benefits of those outlays; 
(2) separately identifies revenues and outlays 
for capital assets from revenues and outlays for an 
operating budget; 
(3) allows for the issue of long-term debt to fi-
nance capital investments; and 
(4) provides the budget authority for acquiring 
a capital asset over several fiscal years (rather than 
in a single fiscal year at the beginning of such acqui-
sition).
386
(b) REPORTS REQUIRED.—Not later than July 1, 
2006, the Secretary of Defense and the Secretary of each 
military department shall each submit to Congress a re-
port analyzing the feasibility and desirability of using a 
capital budgeting system for the financing of major de-
fense acquisition programs. Each such report shall ad-
dress the following matters: 
(1) The potential long-term effect on the de-
fense industrial base of the United States of con-
tinuing with the current full up-front funding system 
for major defense acquisition programs. 
(2) Whether use of a capital budgeting system 
could create a more effective decisionmaking process 
for long-term investments in major defense acquisi-
tion programs. 
(3) The manner in which a capital budgeting 
system for major defense acquisition programs 
would affect the budget planning and formulation 
process of the military departments. 
(4) The types of financial mechanisms that 
would be needed to provide funds for such a capital 
budgeting system.
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Subtitle B—Naval Vessels and 
Shipyards 
SEC. 1011. CONVEYANCE, NAVY DRYDOCK, SEATTLE, WASH-
INGTON. 
(a) CONVEYANCE AUTHORIZED.—The Secretary of 
the Navy is authorized to sell the yard floating drydock 
YFD–70, located in Seattle, Washington, to Todd Pacific 
Shipyards Corporation, that company being the current 
user of the drydock. 
(b) CONDITION
OF CONVEYANCE.—The Secretary 
shall require as a condition of the conveyance under sub-
section (a) that the drydock remain at the facilities of 
Todd Pacific Shipyards Corporation until at least Sep-
tember 30, 2010. 
(c) CONSIDERATION.—As consideration for the con-
veyance of the drydock under subsection (a), the pur-
chaser shall pay to the United States an amount equal 
to the fair market value of the drydock, as determined 
by the Secretary. 
(d) TRANSFERS AT NO COST TO UNITED STATES.—
The provisions of section 7306(c) of title 10, United 
States Code, shall apply to the conveyance under this sec-
tion. 
(e) ADDITIONAL TERMS
AND CONDITIONS.—The 
Secretary may require such additional terms and condi-
388
tions in connection with the conveyance under subsection 
(a) as the Secretary considers appropriate to protect the 
interests of the United States. 
SEC. 1012. CONVEYANCE, NAVY DRYDOCK, JACKSONVILLE, 
FLORIDA. 
(a) CONVEYANCE AUTHORIZED.—The Secretary of 
the Navy is authorized to sell the medium auxiliary float-
ing drydock SUSTAIN (AFDM–7), located in Duval 
County, Florida, to Atlantic Marine Property Holding 
Company, that company being the current user of the dry-
dock. 
(b) CONDITION
OF CONVEYANCE.—The Secretary 
shall require as a condition of the conveyance under sub-
section (a) that the drydock remain at the facilities of At-
lantic Marine Property Holding Company until at least 
September 30, 2010. 
(c) CONSIDERATION.—As consideration for the con-
veyance of the drydock under subsection (a), the pur-
chaser shall pay to the United States an amount equal 
to the fair market value of the drydock, as determined 
by the Secretary. 
(d) TRANSFERS AT NO COST TO UNITED STATES.—
The provisions of section 7306(c) of title 10, United 
States Code, shall apply to the conveyance under this sec-
tion.