H. R. 2863—36
to the congressional defense committees that it is in the national 
interest to do so. 
SEC. 8073. The Secretary of Defense shall provide a classified 
quarterly report beginning 30 days after enactment of this Act, 
to the House and Senate Appropriations Committees, Subcommit-
tees on Defense on certain matters as directed in the classified 
annex accompanying this Act. 
SEC. 8074. During the current fiscal year, refunds attributable 
to the use of the Government travel card, refunds attributable 
to the use of the Government Purchase Card and refunds attrib-
utable to official Government travel arranged by Government Con-
tracted 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. 8075. (a) REGISTERING FINANCIAL MANAGEMENT INFORMA-
TION
TECHNOLOGY
SYSTEMS
WITH
DOD CHIEF
INFORMATION 
OFFICER.—None of the funds appropriated in this Act may be used 
for a mission critical or mission essential financial management 
information technology 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 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 financial management information technology system shall be 
considered a mission critical or mission essential information tech-
nology system as defined by the Under Secretary of Defense (Comp-
troller). 
(b) CERTIFICATIONS
AS
TO
COMPLIANCE
WITH
FINANCIAL 
MANAGEMENT MODERNIZATION PLAN.—
(1) During the current fiscal year, a financial management 
automated information system, a mixed information system 
supporting financial and non-financial systems, or a system 
improvement of more than $1,000,000 may not receive Mile-
stone A approval, 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 system is being developed 
and managed in accordance with the Department’s Financial 
Management Modernization 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 congres-
sional defense committees timely notification 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 Milestone A approval, Mile-
stone 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 additional certifications, as 
appropriate, with respect to any such system.
H. R. 2863—37
(2) The Chief Information Officer shall provide the congres-
sional defense committees timely notification 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 confirmation 
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 Information Grid. 
(d) DEFINITIONS.—For purposes of this section: 
(1) The term ‘‘Chief Information Officer’’ means the senior 
official of the Department of Defense designated by the Sec-
retary of Defense pursuant to section 3506 of title 44, United 
States Code. 
(2) The term ‘‘information technology system’’ has the 
meaning given the term ‘‘information technology’’ in section 
5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401). 
SEC. 8076. 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 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. 8077. 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 support of the ground-based elements 
of the National Ballistic Missile Defense System. 
SEC. 8078. 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 nomenclature 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 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 demili-
tarization process; or (2) used to manufacture ammunition pursuant 
to a contract with the Department of Defense or the manufacture 
of ammunition for export pursuant to a License for Permanent 
Export of Unclassified Military Articles issued by the Department 
of State.
H. R. 2863—38
SEC. 8079. Notwithstanding any other provision of law, the 
Chief of the National Guard Bureau, or his designee, may waive 
payment of all or part of the consideration 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. 8080. 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 located: Provided 
further, That such local procurement requirements for malt bev-
erages and wine shall apply to all alcoholic beverages only for 
military installations 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. 8081. Funds available to the Department of Defense for 
the Global Positioning System during the current fiscal year may 
be used to fund civil requirements associated with the satellite 
and ground control segments of such system’s modernization pro-
gram. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 8082. Of the amounts appropriated in this Act under 
the heading ‘‘Operation and Maintenance, Army’’, $147,900,000 
shall remain available until expended: Provided, That notwith-
standing any other provision of law, the Secretary of Defense is 
authorized to transfer such funds to other activities of the Federal 
Government: Provided further, 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 
related to projects described in further detail in the Classified 
Annex accompanying the Department of Defense Appropriations 
Act, 2006, consistent with the terms and conditions set forth therein: 
Provided further, That contracts entered into under the authority 
of this section may provide for such indemnification as the Secretary 
determines to be necessary: Provided further, That projects author-
ized by this section shall comply with applicable Federal, State, 
and local law to the maximum extent consistent with the national 
security, as determined by the Secretary of Defense. 
SEC. 8083. Section 8106 of the Department of Defense Appro-
priations Act, 1997 (titles I through VIII of the matter under 
subsection 101(b) of Public Law 104–208; 110 Stat. 3009–111; 10 
U.S.C. 113 note) shall continue in effect to apply to disbursements 
that are made by the Department of Defense in fiscal year 2006.
H. R. 2863—39
SEC. 8084. In addition to amounts provided elsewhere in this 
Act, $2,200,000 is hereby appropriated to the Department of 
Defense, to remain available for obligation until expended: Provided, 
That notwithstanding any other provision of law, these funds shall 
be available only for a grant to the Fisher House Foundation, 
Inc., only for the construction and furnishing of additional Fisher 
Houses to meet the needs of military family members when con-
fronted with the illness or hospitalization of an eligible military 
beneficiary. 
SEC. 8085. (a) The Secretary of Defense, in coordination with 
the Secretary of Health and Human Services, may carry out a 
program to distribute surplus dental and medical equipment of 
the Department of Defense, at no cost to the Department of Defense, 
to Indian Health Service facilities and to federally-qualified health 
centers (within the meaning of section 1905(l)(2)(B) of the Social 
Security Act (42 U.S.C. 1396d(l)(2)(B))). 
(b) In carrying out this provision, the Secretary of Defense 
shall give the Indian Health Service a property disposal priority 
equal to the priority given to the Department of Defense and 
its twelve special screening programs in distribution of surplus 
dental and medical supplies and equipment. 
SEC. 8086. Amounts appropriated in title II of this Act are 
hereby reduced by $265,000,000 to reflect savings attributable to 
efficiencies and management improvements in the funding of mis-
cellaneous or other contracts in the military departments, as follows: 
(1) From ‘‘Operation and Maintenance, Army’’, $26,000,000. 
(2) From ‘‘Operation and Maintenance, Navy’’, $85,000,000. 
(3) From ‘‘Operation and Maintenance, Air Force’’, 
$154,000,000. 
SEC. 8087. The total amount appropriated or otherwise made 
available in this Act is hereby reduced by $100,000,000 to limit 
excessive growth in the procurement of advisory and assistance 
services, to be distributed as follows: 
‘‘Operation and Maintenance, Army’’, $25,000,000. 
‘‘Operation and Maintenance, Navy’’, $10,000,000. 
‘‘Operation and Maintenance, Air Force’’, $30,000,000. 
‘‘Operation and Maintenance, Defense-Wide’’, $35,000,000. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 8088. Of the amounts appropriated in this Act under 
the heading ‘‘Research, Development, Test and Evaluation, Defense-
Wide’’, $132,866,000 shall be made available for the Arrow missile 
defense program: Provided, That of this amount, $60,250,000 shall 
be available for the purpose of producing Arrow missile components 
in the United States and Arrow missile components and missiles 
in Israel to meet Israel’s defense requirements, consistent with 
each nation’s laws, regulations and procedures, and $10,000,000 
shall be available for the purpose of the initiation of a joint feasi-
bility study designated the Short Range Ballistic Missile Defense 
(SRBMD) initiative: Provided further, That funds made available 
under this provision for production of missiles and missile compo-
nents may be transferred to appropriations available for the 
procurement of weapons and equipment, to be merged with and 
to be available for the same time period and the same purposes 
as the appropriation to which transferred: Provided further, That 
the transfer authority provided under this provision is in addition 
to any other transfer authority contained in this Act.