ments in sections 2366 and 2399 of title 10, 
United States Code, but which may require 
limited operational test and evaluation for 
the purposes of ensuring the safety and real-
istic survivability of the materiel and the 
personnel using the materiel; and 
(B) the appropriate use, if any, of oper-
ational test and evaluation resources to assess 
technology readiness levels for purposes of section 
2366a of title 10, United States Code, and other 
applicable technology readiness requirements. 
(c) INCLUSION
OF TESTING NEEDS
IN STRATEGIC 
PLAN.—The Director of the Defense Test Resource Manage-
ment Center shall ensure that the strategic plan for Depart-
ment of Defense test and evaluation resources required by 
section 196 of title 10, United States Code— 
(1) reflects any testing needs of the Department 
of Defense that are identified in the review under 
paragraph (1); and 
(2) includes an assessment of the test and eval-
uation facilities, resources, and budgets that will be 
required to meet such needs. 
(d) REPORT.—Not later than nine months after the 
date of the enactment of this Act, the Under Secretary of 
Defense for Acquisition, Technology, and Logistics shall 
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submit to the congressional defense committees a report on 
the review conducted, and any new or revised guidance 
issued, pursuant to subsection (b). 
TITLE III—OPERATION AND 
MAINTENANCE 
Subtitle A—Authorization of Appropriations 
Sec. 301. Operation and maintenance funding. 
Sec. 302. Working capital funds. 
Sec. 303. Other Department of Defense Programs. 
Subtitle B—Environmental Provisions 
Sec. 311. Revision of requirement for unexploded ordnance program manager. 
Sec. 312. Identification and monitoring of military munitions disposal sites in 
ocean waters extending from United States coast to outer bound-
ary of outer Continental Shelf. 
Sec. 313. Reimbursement of Environmental Protection Agency for certain costs in 
connection with Moses Lake Wellfield Superfund Site, Moses 
Lake, Washington. 
Sec. 314. Funding of cooperative agreements under environmental restoration 
program. 
Sec. 315. Analysis and report regarding contamination and remediation respon-
sibility for Norwalk Defense Fuel Supply Point, Norwalk, Cali-
fornia. 
Subtitle C—Workplace and Depot Issues 
Sec. 321. Extension of exclusion of certain expenditures from percentage limita-
tion on contracting for depot-level maintenance. 
Sec. 322. Minimum capital investment for Air Force depots. 
Sec. 323. Extension of temporary authority for contractor performance of security 
guard functions. 
Subtitle D—Reports 
Sec. 331. Report on Nuclear Attack Submarine Depot Maintenance. 
Sec. 332. Report on Navy Fleet Response Plan. 
Sec. 333. Report on Navy surface ship rotational crew programs. 
Sec. 334. Report on Army live-fire ranges in Hawaii. 
Sec. 335. Comptroller General report on joint standards and protocols for access 
control systems at Department of Defense installations. 
Sec. 336. Report on Personnel Security Investigations for Industry and National 
Industrial Security Program. 
Subtitle E—Other Matters 
Sec. 341. Department of Defense strategic policy on prepositioning of materiel 
and equipment. 
Sec. 342. Authority to make Department of Defense horses available for adoption 
at end of useful working life. 
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Sec. 343. Sale and use of proceeds of recyclable munitions materials. 
Sec. 344. Capital security cost sharing. 
Sec. 345. Prioritization of funds within Navy mission operations, ship mainte-
nance, combat support forces, and weapons system support. 
Sec. 346. Prioritization of funds within Army reconstitution and transformation. 
Subtitle A—Authorization of 
Appropriations 
SEC. 301. OPERATION AND MAINTENANCE FUNDING. 
Funds are hereby authorized to be appropriated for fis-
cal year 2007 for the use of the Armed Forces and other 
activities and agencies of the Department of Defense for ex-
penses, not otherwise provided for, for operation and main-
tenance, in amounts as follows: 
(1) For the Army, $24,920,735,000. 
(2) For the Navy, $31,089,075,000. 
(3) For the Marine Corps, $3,974,081,000. 
(4) For the Air Force, $31,098,957,000. 
(5) For Defense-wide activities, $19,876,763,000. 
(6) For the Army Reserve, $2,300,102,000. 
(7) For the Naval Reserve, $1,288,764,000. 
(8) For the Marine Corps Reserve, $211,911,000. 
(9) For the Air Force Reserve, $2,723,800,000. 
(10) 
For 
the 
Army 
National 
Guard, 
$5,089,565,000. 
(11) 
For 
the 
Air 
National 
Guard, 
$5,336,017,000. 
(12) For the United States Court of Appeals for 
the Armed Forces, $11,721,000. 
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(13) For Environmental Restoration, Army, 
$413,794,000. 
(14) For Environmental Restoration, Navy, 
$304,409,000. 
(15) For Environmental Restoration, Air Force, 
$423,871,000. 
(16) For Environmental Restoration, Defense- 
wide, $18,431,000. 
(17) For Environmental Restoration, Formerly 
Used Defense Sites, $242,790,000. 
(18) For Overseas Humanitarian, Disaster, and 
Civic Aid programs, $63,204,000. 
(19) For Cooperative Threat Reduction pro-
grams, $372,128,000. 
(20) For the Overseas Contingency Operations 
Transfer Fund, $10,000,000. 
SEC. 302. WORKING CAPITAL FUNDS. 
Funds are hereby authorized to be appropriated for fis-
cal year 2007 for the use of the Armed Forces and other 
activities and agencies of the Department of Defense for 
providing capital for working capital and revolving funds 
in amounts as follows: 
(1) For the Defense Working Capital Funds, 
$180,498,000. 
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(2) For the National Defense Sealift Fund, 
$1,138,732,000. 
(3) For the Defense Working Capital Fund, De-
fense Commissary, $1,184,000,000. 
SEC. 303. OTHER DEPARTMENT OF DEFENSE PROGRAMS. 
(a) DEFENSE HEALTH PROGRAM.—Funds are hereby 
authorized to be appropriated for the Department of Defense 
for fiscal year 2007 for expenses, not otherwise provided for, 
for the Defense Health Program, in the amount of 
$21,226,521,000, of which— 
(1) $20,699,563,000 is for Operation and Main-
tenance; 
(2) $130,603,000 is for Research, Development, 
Test, and Evaluation; and 
(3) $396,355,000 is for Procurement. 
(b) DRUG INTERDICTION AND COUNTER-DRUG ACTIVI-
TIES, DEFENSE-WIDE.—Funds are hereby authorized to be 
appropriated for the Department of Defense for fiscal year 
2007 for expenses, not otherwise provided for, for Drug 
Interdiction and Counter-Drug Activities, Defense-wide, in 
the amount of $926,890,000. 
(c) DEFENSE INSPECTOR GENERAL.—Funds are here-
by authorized to be appropriated for the Department of De-
fense for fiscal year 2007 for expenses, not otherwise pro-
vided for, for the Office of the Inspector General of the De-
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partment of Defense, in the amount of $216,297,000, of 
which— 
(1) $214,897,000 is for Operation and Mainte-
nance; 
(2) $1,400,000 is for Procurement; and 
(3) $0 is for Research, Development, Test, and 
Evaluation. 
Subtitle B—Environmental 
Provisions 
SEC. 311. REVISION OF REQUIREMENT FOR UNEXPLODED 
ORDNANCE PROGRAM MANAGER. 
Section 2701(k) of title 10, United States Code, is 
amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘establish’’ and inserting 
‘‘designate’’; 
(B) by inserting ‘‘research,’’ after ‘‘charac-
terization,’’; and 
(C) by adding at the end the following: 
‘‘The position of program manager shall be filled 
by— 
‘‘(A) in the case of an employee, an employee in 
a position that is equivalent to pay grade O–6 or 
above; or 
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‘‘(B) in the case of a member of the armed forces, 
a commissioned officer of the Army, Navy, Air Force, 
or Marine Corps who is serving in the grade of colo-
nel, or in the case of the Navy, captain, or a higher 
grade.’’; and 
(2) by striking paragraph (2) and inserting the 
following: 
‘‘(2) The program manager shall report to the Deputy 
Under Secretary of Defense for Installations and Environ-
ment.’’. 
SEC. 312. IDENTIFICATION AND MONITORING OF MILITARY 
MUNITIONS DISPOSAL SITES IN OCEAN WA-
TERS EXTENDING FROM UNITED STATES 
COAST TO OUTER BOUNDARY OF OUTER CON-
TINENTAL SHELF. 
(a) IDENTIFICATION OF MILITARY MUNITIONS DIS-
POSAL SITES.— 
(1) REVIEW OF HISTORICAL RECORDS.—The Sec-
retary of Defense shall conduct a review of historical 
records to determine— 
(A) the number and probable locations of 
sites where the Armed Forces disposed of mili-
tary munitions within covered United States 
ocean waters; 
(B) the size of the disposal sites; and 
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(C) the types and quantities of military 
munitions disposed of at the sites. 
(2) COOPERATION.—The Secretary shall request 
the assistance of the Coast Guard, the National Oce-
anic and Atmospheric Administration, and other rel-
evant Federal agencies in conducting the review re-
quired by this subsection. 
(3) RELEASE OF INFORMATION.—The Secretary 
shall periodically release, but no less often than annu-
ally, information obtained during the review con-
ducted under this subsection. The Secretary may 
withhold from public release information about the 
exact nature and location of a disposal site if the Sec-
retary determines that the potential unauthorized re-
trieval of military munitions at the site could pose a 
significant threat to national defense or public safety. 
(4) REPORTING REQUIREMENTS.—The Secretary 
shall include the information obtained during a year 
through the review conducted under this subsection in 
the report submitted to Congress under section 
2706(a) of title 10, United States Code, for the same 
year. 
(b) IDENTIFICATION OF NAVIGATIONAL AND SAFETY 
HAZARDS.— 
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(1) INFORMATION FOR NAUTICAL CHARTS AND 
OTHER
NAVIGATIONAL
MATERIALS.—The Secretary 
shall share information obtained through the review 
conducted under subsection (a) with the Secretary of 
Commerce to assist the National Oceanic and Atmos-
pheric Administration in preparing nautical charts 
and other navigational materials for covered United 
States ocean waters to identify known or probable 
hazards from disposed military munitions. 
(2) INFORMATION
FOR
USERS.—The Secretary 
shall continue activities to inform potentially affected 
users of the ocean environment, and particularly fish-
ing operations, of the possible hazards from contact 
with military munitions and the proper methods to 
mitigate such hazards. 
(c) RESEARCH.— 
(1) IN GENERAL.—The Secretary shall conduct 
research on the effects of military munitions disposed 
of in covered United States ocean waters. 
(2) SPECIFIED
RESEARCH
EFFORTS.—The re-
search conducted under this subsection shall include 
the following: 
(A) The sampling and analysis of ocean 
waters and seabeds at or adjacent to the military 
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munitions disposal sites selected by the Secretary 
under paragraph (4). 
(B) The investigation into the long-term ef-
fects of seawater exposure on military munitions, 
particularly chemical munitions. 
(C) The development of effective safety 
measures when dealing with military munitions 
disposed of in seawater. 
(3) RESEARCH
METHODS.—In conducting re-
search under this subsection, the Secretary may make 
grants to, and enter into cooperative agreements with, 
qualified research entities, as determined by the Sec-
retary. 
(4) RESEARCH LOCATIONS.—In conducting re-
search under this subsection, the Secretary shall en-
sure that the sampling, analysis, and investigations 
are conducted at reasonably representative sites ap-
plying factors such as depth, water temperature, na-
ture of the military munitions present, and relative 
proximity to shore populations. The Secretary shall 
select at least two representative sites from each of the 
following areas: 
(A) Along the Atlantic coast. 
(B) Along the Pacific coast (including the 
coast of Alaska). 
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(C) Off the shore of the Hawaiian Islands. 
(d) MONITORING.—If research conducted under sub-
section (c) at a military munitions disposal site indicates 
that the disposed military munitions have caused or may 
be causing contamination of ocean waters or seabeds, the 
Secretary shall institute appropriate monitoring mecha-
nisms at that site to recognize and track the potential re-
lease of contamination into the ocean waters from military 
munitions. 
(e) DEFINITIONS.—In this Act: 
(1) The term ‘‘coast line’’ has the same meaning 
given that term in section 2 of the Submerged Lands 
Act (43 U.S.C. 1301). 
(2) The term ‘‘covered United States ocean wa-
ters’’ means that part of the ocean extending from the 
coast line to the outer boundary of the outer Conti-
nental Shelf. 
(3) The term ‘‘military munitions’’ has the same 
meaning given that term in section 101(e) of title 10, 
United States Code. 
(4) The term ‘‘outer Continental Shelf’’ has the 
same meaning given that term in section 2 of the 
Outer Continental Shelf Lands Act (43 U.S.C. 1331). 
(5) The term ‘‘Secretary’’ means the Secretary of 
Defense. 
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SEC. 313. REIMBURSEMENT OF ENVIRONMENTAL PROTEC-
TION AGENCY FOR CERTAIN COSTS IN CON-
NECTION 
WITH 
MOSES 
LAKE 
WELLFIELD 
SUPERFUND 
SITE, 
MOSES 
LAKE, 
WASH-
INGTON. 
(a) AUTHORITY
TO REIMBURSE.—Using funds de-
scribed in subsection (b), the Secretary of Defense may 
transfer not more than $111,114.03 to the Moses Lake 
Wellfield Superfund Site 10–6J Special Account to reim-
burse the Environmental Protection Agency for the costs in-
curred by the Environmental Protection Agency in over-
seeing a remedial investigation and feasibility study per-
formed by the Department of the Army under the Defense 
Environmental Restoration Program at the former Larson 
Air Force Base, Moses Lake Wellfield Superfund Site, Moses 
Lake, Washington. This reimbursement is provided for in 
the March 1999 interagency agreement entered into by the 
Department of the Army and the Environmental Protection 
Agency for the Moses Lake Wellfield Superfund Site. 
(b) SOURCE OF FUNDS.—Any payment under sub-
section (a) shall be made using funds authorized to be ap-
propriated by section 301(17) for operation and mainte-
nance for Environmental Restoration, Formerly Used De-
fense Sites. 
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SEC. 314. FUNDING OF COOPERATIVE AGREEMENTS UNDER 
ENVIRONMENTAL RESTORATION PROGRAM. 
Section 2701(d)(2) of title 10, United States Code, is 
amended by adding at the end the following new sentence: 
‘‘This two-year limitation does not apply to an agreement 
funded using amounts in the Department of Defense Base 
Closure Account 1990 or the Department of Defense Base 
Closure Account 2005 established under sections 2906 and 
2906A of the Defense Base Closure and Realignment Act 
of 1990 (part A of title XXIX of Public Law 101–510; 10 
U.S.C. 2687 note).’’. 
SEC. 315. ANALYSIS AND REPORT REGARDING CONTAMINA-
TION AND REMEDIATION RESPONSIBILITY 
FOR 
NORWALK 
DEFENSE 
FUEL 
SUPPLY 
POINT, NORWALK, CALIFORNIA. 
(a) ANALYSIS REQUIRED.—The Secretary of the Air 
Force shall conduct a comprehensive analysis on the con-
tamination and remediation costs of the Norwalk Defense 
Fuel Supply Point in Norwalk, California. As part of the 
analysis, the Secretary shall— 
(1) characterize the contamination at the Nor-
walk Defense Fuel Supply Point; 
(2) prepare a plan for the remediation of the 
Norwalk Defense Fuel Supply Point; 
(3) prepare an estimate of anticipated costs to 
responsible parties; 
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(4) prepare a timeline for implementation and 
completion of the remediation at the Norwalk Defense 
Fuel Supply Point; 
(5) describe the status of efforts to reach an allo-
cation agreement of responsibility for remediation of 
the Norwalk Defense Fuel Supply Point with all enti-
ties that have contributed to the contamination of the 
property; and 
(6) prepare a plan for removal or conveyance of 
infrastructure at the Norwalk Defense Fuel Supply 
Point, including costs and responsibility for those 
costs of elements of that plan. 
(b) REPORT REQUIRED.—Not later than January 30, 
2007, the Secretary shall submit to Congress a report con-
taining the results of the analysis conducted under sub-
section (a) and addressing each of the matters specified in 
paragraphs (1) through (6) of such subsection. 
(c) CONVEYANCE
REQUIREMENTS.—The Secretary 
shall not convey property by public auction at the Norwalk 
Defense Fuel Supply Point before such time as the Secretary 
has— 
(1) pursued a fair market transfer of the prop-
erty to the City of Norwalk, California, taking into 
consideration all contamination of the property; 
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(2) submitted the report required by subsection 
(b); and 
(3) submitted an additional report to Congress 
explaining the efforts undertaken by the Secretary to 
reach agreement with the City on the sale of the prop-
erty, including the reasons that those efforts were not 
successful, and 30-days have elapsed after this report 
is submitted. 
Subtitle C—Workplace and Depot 
Issues 
SEC. 321. EXTENSION OF EXCLUSION OF CERTAIN EXPENDI-
TURES FROM PERCENTAGE LIMITATION ON 
CONTRACTING FOR DEPOT-LEVEL MAINTE-
NANCE. 
Section 2474(f)(1) of title 10, United States Code, is 
amended by striking ‘‘fiscal years 2003 through 2009’’ and 
inserting ‘‘fiscal years 2003 through 2014’’. 
SEC. 322. MINIMUM CAPITAL INVESTMENT FOR AIR FORCE 
DEPOTS. 
(a) INVESTMENT REQUIRED.—Chapter 803 of title 10, 
United States Code, is amended by adding at the end the 
following new section: 
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‘‘§ 8025. Minimum capital investment in Air Force de-
pots 
‘‘(a) MINIMUM INVESTMENT REQUIREMENT.—Each 
fiscal year, the Secretary of the Air Force shall invest in 
the capital budgets of the depots of the Air Force a total 
amount equal to not less than six percent of the total com-
bined revenue of all the depots of the Air Force for the pre-
ceding fiscal year. 
‘‘(b) WAIVER.—The Secretary of the Air Force may 
waive the requirement under subsection (a) if the Secretary 
determines that the waiver is necessary for reasons of na-
tional security and notifies the congressional defense com-
mittees.’’. 
(b) CLERICAL AMENDMENT.—The table of sections at 
the beginning of such chapter is amended by adding at the 
end the following new item: 
‘‘8025. Minimum capital investment for Air Force depots.’’. 
(c) EFFECTIVE DATE.—Section 8025 of title 10, 
United States Code, shall apply with respect to fiscal years 
beginning after the date of the enactment of this Act. 
SEC. 323. EXTENSION OF TEMPORARY AUTHORITY FOR 
CONTRACTOR PERFORMANCE OF SECURITY 
GUARD FUNCTIONS. 
(a) ONE-YEAR EXTENSION.—Section 332(c) of the Bob 
Stump National Defense Authorization Act for Fiscal Year 
2003 (Public Law 107–314) is amended by striking ‘‘Sep-
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tember 30, 2007’’ both places it appears and inserting ‘‘Sep-
tember 30, 2008’’. 
(b) REPORT ON CONTRACTOR PERFORMANCE OF SECU-
RITY-GUARD FUNCTIONS.—Not later than February 1, 
2007, the Secretary of Defense shall submit to the Com-
mittee on Armed Services of the Senate and the Committee 
on Armed Services of the House of Representatives, a report 
on contractor performance of security guard functions 
under section 332 of the Bob Stump National Defense Au-
thorization Act for Fiscal Year 2003 (Public Law 107–314). 
The report shall include the following: 
(1) An explanation of progress made toward im-
plementing each of the seven recommendations in the 
Comptroller General report entitled ‘‘Contract Secu-
rity Guards: Army’s Guard Program Requires Great-
er Oversight and Reassessment of Acquisition Ap-
proach’’ (GAO–06–284). 
(2) An assessment, taking into considerations the 
observations made by the GAO on the report of the 
Department of Defense of November 2005 that is enti-
tled ‘‘Department of Defense Installation Security 
Guard Requirement Assessment and Plan’’, of the fol-
lowing: 
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