I
107TH CONGRESS
2D SESSION
H. R. 4546
To authorize appropriations for fiscal year 2003 for military activities of
the Department of Defense, and for military construction, to prescribe
military personnel strengths for fiscal year 2003, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL 23, 2002
Mr. STUMP (for himself and Mr. SKELTON) (both by request) introduced the
following bill; which was referred to the Committee on Armed Services
A BILL
To authorize appropriations for fiscal year 2003 for military
activities of the Department of Defense, and for military
construction, to prescribe military personnel strengths
for fiscal year 2003, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘National Defense Au-
thorization Act for Fiscal Year 2003’’.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
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DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Defense Health Program.
Subtitle B—Multi-Year Contract Authorizations
Sec. 111. Multiyear procurement authority for F/A–18E/F engines.
Sec. 112. Multiyear procurement authority for the C–130J aircraft.
TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
Subtitle A—Authorization of Appropriations
Sec. 201. Authorization of appropriations.
Subtitle B—Program Requirements, Restrictions, and Limitations
Sec. 211. Cost limitations applicable to F–22 aircraft program.
TITLE III—OPERATION AND MAINTENANCE
Subtitle A—Authorization of Appropriations
Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Subtitle B—Depot Issues
Sec. 311. Repeal of time limitation of exclusion of expenditures on contracting
for depot-level maintenance.
TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS
Subtitle A—Active Forces
Sec. 401. End strengths for active forces.
Sec. 402. Exclusions from limitation of active duty officers in grades above
major general.
Sec. 403. Extension of authorities relating to management of general officers.
Subtitle B—Reserve Forces
Sec. 411. End strengths for selected reserve.
Sec. 412. End strengths for reserve on active duty in support of the reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2003 limitation on number of non-dual status technicians.
Sec. 415. Increase strength and grade ceilings to account for reserve component
members on active duty in support of a contingency operation.
TITLE V—MILITARY PERSONNEL POLICY
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Subtitle A—Officer Personnel Policy
Sec. 501. Establish additional deputy commandant billet.
Subtitle B—Reserve Component Personnel Policy
Sec. 511. Authority for limited extension of medical deferment of mandatory re-
tirement or separation for reserve officers.
Sec. 512. Definition for weapon of mass destruction.
Sec. 513. Expansion of reserve component delayed training program.
Subtitle C—Military Spouses and Family Members
Sec. 521. Prohibiting payments of retired pay from members on active duty.
Sec. 522. Revocation of ‘‘ten-year rule’’ for direct payment of retired pay.
Sec. 523. Increases for divisions of retired pay expressed as a dollar amount.
Sec. 524. Allowing member to submit application for direct payment.
Sec. 525. Allow member to waive notice and provide court order upon request.
Subtitle D—Military Justice Matters
Sec. 531. Courts-martial for the National Guard when not in Federal service.
Subtitle E—Other Matters
Sec. 541. Vehicle storage in lieu of transportation when member is ordered to
non-foreign duty station outside continental United States.
Sec. 542. Administrative support and services for foreign liaison officers.
TITLE VI—COMPENSATION AND OTHER PERSONNEL BENEFITS
Subtitle A—Pay and Allowances
Sec. 601. Increase in basic pay for fiscal year 2003.
Sec. 602. Increase basic allowance for subsistence for members forced to pur-
chase meals outside messing facilities.
Sec. 603. Extension of basic housing allowance for low cost or no cost moves
to moves outside the United States.
Subtitle B—Bonuses and Special and Incentive Pays
Sec. 611. Extension of authorities relating to payment of other bonuses and
special pays.
Sec. 612. Extension of certain bonus and special pay authorities for nurse offi-
cer candidates, registered nurses, nurse anesthetists, and den-
tal officers.
Sec. 613. One-year extension of certain bonus and special pay authorities for
reserve forces.
Sec. 614. Increase prior service enlistment bonus.
Sec. 615. Authorize payment of distribution incentive pay.
Subtitle C—Travel and Transportation Allowances
Sec. 621. Equitable compensation support for military funeral honors.
Sec. 622. Expansion of overseas tour extension benefits.
Sec. 623. Extension of period for use of leave travel entitlement for consecutive
overseas tours.
Subtitle D—Retirement and Survivor Benefit Matters
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Sec. 631. Clarification of disability severance pay computation.
Sec. 632. Authority to increase retired pay for enlisted reserve component per-
sonnel decorated for extraordinary heroism.
Sec. 633. Survivor benefit plan; multiple beneficiaries.
Sec. 634. Survivor benefit plan; presumptive proportionate share.
Sec. 635. Survivor benefit plan; financial responsibility for survivor benefit plan
participation.
Subtitle E—Other Matters
Sec. 641. Repeal of limited exemption from ban on honoraria for personnel at
certain Department of Defense schools.
TITLE VII—HEALTH CARE PROVISIONS
Subtitle A—TRICARE Program Improvements
Sec. 701. Improvements in the administration of the TRICARE program.
Sec. 702. Dependent dental care enhancements.
Subtitle B—Senior Health Care
Sec. 711. Improvements regarding the Department of Defense Medicare-Eligi-
ble Retiree Health Care Fund.
TITLE VIII—ACQUISITION POLICY, ACQUISITION MANAGEMENT,
AND RELATED MATTERS
Subtitle A—Acquisition Policy and Management
Sec. 801. Live-fire waiver authority.
Sec. 802. Repeal of certification of funding for support costs in the future years
defense program.
Sec. 803. Authority to waive domestic source or content requirements.
Sec. 804. Purchase of dinitrogen tetroxide, hydrazine, and hydrazine-related
products.
Subtitle B—Use of Preferred Sources
Sec. 811. Eligibility of HUBZone small business concerns and small business
concerns owned and controlled by service-disabled veterans
under the mentor prote´ge´ program.
Subtitle C—General Contracting Procedures and Limitations
Sec. 821. Contracting for security guards.
Sec. 822. Demonstration project using multi-year contracts for environmental
remediation.
Sec. 823. Micro-purchase exception for ball and roller bearings.
TITLE IX—DEPARTMENT OF DEFENSE ORGANIZATION AND
MANAGEMENT
Subtitle A—Department of Defense Organization
Sec. 901. Certification for Department of Defense professional accounting posi-
tions.
Sec. 902. Consequence Management Program Integration Office.
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SEC. 102. NAVY AND MARINE CORPS.
(a) NAVY.—Funds are hereby authorized to be appro-
priated for fiscal year 2003 for procurement for the Navy
as follows:
(1) For aircraft, $8,203,955,000.
(2) For weapons, including missiles and tor-
pedoes, $1,832,617,000.
(3) 
For 
shipbuilding 
and 
conversion,
$8,191,194,000.
(4) For other procurement, $4,347,024,000.
(b) MARINE CORPS.—Funds are hereby authorized to
be appropriated for fiscal year 2003 for procurement for
the Marine Corps in the amount of $1,288,383,000.
(c) NAVY AND MARINE CORPS AMMUNITION.—Funds
are hereby authorized to be appropriated for fiscal year
2003 for procurement of ammunition for the Navy and
Marine Corps in the amount of $1,015,153,000.
SEC. 103. AIR FORCE.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for procurement for the Air Force as fol-
lows:
(1) For aircraft, $12,067,405,000.
(2) For missiles, $3,575,162,000.
(3) 
For 
procurement 
of 
ammunition,
$1,133,864,000.
(4) For other procurement, $10,523,946,000.
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SEC. 104. DEFENSE-WIDE ACTIVITIES.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for defense-wide procurement in the
amount of $2,688,515,000.
SEC. 105. DEFENSE INSPECTOR GENERAL.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for procurement for the Defense Inspec-
tor General in the amount of $2,000,000.
SEC. 106. DEFENSE HEALTH PROGRAM.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for the Department of Defense for pro-
curement for carrying out health care programs, projects,
and activities of the Department of Defense in the total
amount of $278,742,000.
Subtitle B—Multi-Year Contract
Authorizations
SEC. 111. MULTIYEAR PROCUREMENT AUTHORITY FOR F/A–
18E/F E ENGINES.
Beginning with the fiscal year 2003 program year,
the Secretary of the Navy may, in accordance with section
2306b of title 10, United States Code, enter into a multi-
year contract for procurement of engines for F/A–18E/
F aircraft.
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SEC. 112. MULTIYEAR PROCUREMENT AUTHORITY FOR C–
130J AIRCRAFT.
Beginning with the fiscal year 2003 program year,
the Secretary of the Air Force may, in accordance with
section 2306b of title 10, United States Code, enter into
a multi-year contract for procurement of C–130J aircraft.
TITLE II—RESEARCH, DEVELOP-
MENT, TEST, AND EVALUA-
TION
Subtitle A—Authorization of
Appropriations
SEC. 201. AUTHORIZATION OF APPROPRIATIONS
Funds are hereby authorized to be appropriated for
fiscal year 2003 for the use of the Armed Forces for re-
search, development, test, and evaluation, as follows:
(1) For the Army, $6,918,494,000.
(2) For the Navy, $12,501,630,000.
(3) For the Air Force, $17,601,233,000.
(4) For Defense-wide research, development,
test, and evaluation, $16,835,605,000, of which
$222,054,000 is authorized for the Director of Oper-
ational Test and Evaluation.
(5) 
For 
the 
Defense 
Health 
Program,
$67,214,000.
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Subtitle 
B—Program 
Require-
ments, Restrictions, and Limita-
tions
SEC. 211. COST LIMITATIONS APPLICABLE TO F–22 AIR-
CRAFT PROGRAM.
(a) 1998 DEFENSE AUTHORIZATION ACT.—Section
217 of the National Defense Authorization Act for Fiscal
Year 1998 (Public Law 105–85; 111 Stat. 1629) is re-
pealed.
(b) 2001 DEFENSE APPROPRIATIONS ACT.—Section
8125 of the Department of Defense Appropriations Act,
2001 (Public Law 106–259; 114 Stat. 692) is repealed;
and
(c) FLOYD B. SPENCE DEFENSE AUTHORIZATION
ACT.—Section 219 of the Floyd B. Spence National De-
fense Authorization Act for Fiscal year 2001 (Public Law
106–348; 114 Stat. 1654) is repealed.
TITLE III—OPERATION AND
MAINTENANCE
Subtitle A—Authorization of
Appropriations
SEC. 301. OPERATION AND MAINTENANCE FUNDING.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for the use of the Armed Forces of the
United States and other activities and agencies of the De-
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partment of Defense, for expenses, not otherwise provided
for, for operation and maintenance, in amounts as follows:
(1) For the Army, $24,581,055,000.
(2) For the Navy, $29,028,813,000.
(3) For the Marine Corps, $3,357,952,000.
(4) For the Air Force, $27,304,623,000.
(5) 
For 
the 
Defense-wide 
activities,
$14,515,304,000.
(6) For the Army Reserve, $1,923,330,000.
(7) For the Naval Reserve, $1,165,961,000.
(8) 
For 
the 
Marine 
Corps 
Reserve,
$185,532,000.
(9) For the Air Force Reserve, $2,190,817,000.
(10) 
For 
the 
Army 
National 
Guard,
$4,136,822,000.
(11) 
For 
the 
Air 
National 
Guard,
$4,150,861,000.
(12) For the Defense Inspector General,
$163,440,000.
(13) For the United States Court of Appeals
for the Armed Forces, $9,925,000.
(14) For Environmental Restoration, Army,
$395,900,000.
(15) For Environmental Restoration, Navy,
$256,948,000.
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(16) For Environmental Restoration, Air Force,
$389,773,000.
(17) For Environmental Restoration, Defense-
wide, $23,498,000.
(18) For Environmental Restoration, Formerly
Used Defense Sites, $212,102,000.
(19) For Overseas Humanitarian, Disaster, and
Civic Aid programs, $58,400,000.
(20) For Drug Interdiction and Counter-drug
Activities, Defense-wide, $848,907,000.
(21) For the Kaho’olawe Island Conveyance,
Remediation, and Environmental Restoration Trust
Fund, $25,000,000.
(22) 
For 
the 
Defense 
Health 
Program,
$14,360,271,000.
(23) For Cooperative Threat Reduction pro-
grams, $416,700,000.
(24) For Overseas Contingency Operations
Transfer Fund, $50,000,000.
(25) For Defense Emergency Response Funds,
$20,055,000,000.
(26) For Support for International Sporting
Competitions, Defense, $19,000,000.
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SEC. 302. WORKING CAPITAL FUNDS.
Funds are hereby authorized to be appropriated for
fiscal year 2003 for the use of the Armed Forces of the
United States and other activities and agencies of the De-
partment of Defense for providing capital for working cap-
ital and revolving funds in amounts as follows:
(1) For the Defense Working Capital Funds,
$2,338,759,000.
(2) For the National Defense Sealift Fund,
$934,129,000.
SEC. 303. ARMED FORCES RETIREMENT HOME.
There is hereby authorized to be appropriated for fis-
cal year 2003 from the Armed Forces Retirement Home
Trust Fund the sum of $69,921,000 for the operation of
the Armed Forces Retirement Home, including the United
States Soldiers’ and Airmen’s Home and the Naval Home.
Subtitle B—Depot Issues
SEC. 311. REPEAL OF TIME LIMITATION ON EXCLUSION OF
EXPENDITURES 
ON 
CONTRACTING 
FOR
DEPOT-LEVEL MAINTENANCE.
Paragraph (2) of section 2474(f) of title 10, United
States Code, is amended by striking ‘‘for fiscal years 2002
through 2005’’.
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TITLE IV—MILITARY
PERSONNEL AUTHORIZATIONS
Subtitle A—Active Forces
SEC. 401. END STRENGTHS FOR ACTIVE FORCES.
The Armed Forces are authorized strengths for active
duty personnel as of September 30, 2003, as follows:
(1) The Army, 480,000.
(2) The Navy, 375,700.
(3) The Marine Corps, 175,000.
(4) The Air Force, 359,000.
SEC. 402. EXCLUSION FROM LIMITATION OF ACTIVE DUTY
OFFICERS IN GRADES ABOVE MAJOR GEN-
ERAL OR REAR ADMIRAL; SENIOR MILITARY
ASSISTANT TO THE SECRETARY OF DEFENSE.
Section 525(b) of title 10, United States Code, is
amended—
(1) in paragraph (2)(B), by striking ‘‘16.2 per-
cent’’ and inserting ‘‘17.5 percent’’;
(2) in paragraph (3)—
(A) by inserting ‘‘(A)’’ after ‘‘(3)’’; and
(B) by adding at the end the following new
subparagraph:
‘‘(B) An officer while serving as the Senior
Military Assistant to the Secretary of Defense,
if serving in the grade of general or lieutenant
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general, or admiral or vice admiral, is in addi-
tion to the number that otherwise would be per-
mitted for his armed force for that grade under
paragraph (1) or (2).’’.
SEC. 403. EXTENSION OF AUTHORITIES RELATING TO MAN-
AGEMENT OF GENERAL OFFICERS.
(a) SENIOR JOINT OFFICER PROVISIONS.—Section
604(c) of title 10, United States Code, is amended by
striking ‘‘September 30, 2003’’ and inserting ‘‘December
31, 2004’’.
(b) DISTRIBUTION OF OFFICERS ON ACTIVE DUTY
IN GENERAL OFFICER AND FLAG OFFICER GRADES.—
Section 525(b)(5)(C) of such title is amended by striking
‘‘September 30, 2003’’ and inserting ‘‘December 31,
2004’’.
(c) AUTHORIZED STRENGTH LIMITATIONS FOR GEN-
ERAL AND FLAG OFFICERS ON ACTIVE DUTY.—Section
526(b)(3) of such title is amended by striking ‘‘October
1, 2002’’ and inserting ‘‘December 31, 2004’’.
Subtitle B—Reserve Forces
SEC. 411. END STRENGTHS FOR SELECTED RESERVE.
(a) IN GENERAL.—The Armed Forces are authorized
strengths for Selected Reserve personnel of the reserve
components as of September 30, 2003, as follows:
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(1) The Army National Guard of the United
States, 350,000.
(2) The Army Reserve, 205,000.
(3) The Naval Reserve, 87,800.
(4) The Marine Corps Reserve, 39,558.
(5) The Air National Guard of the United
States, 106,600.
(6) The Air Force Reserve, 75,600.
(7) The Coast Guard Reserve, 9,000.
(b) ADJUSTMENTS.—The end strengths prescribed by
subsection (a) for the Selected Reserve of any reserve com-
ponent shall be proportionately reduced by—
(1) the total authorized strength of units orga-
nized to serve as units of the Selected Reserve of
such component which are on active duty (other
than for training) at the end of the fiscal year, and
(2) the total number of individual members not
in units organized to serve as units of the Selected
Reserve of such component who are on active duty
(other than for training or for unsatisfactory partici-
pation in training) without their consent at the end
of the fiscal year.
Wherever such units or such individual members are re-
leased from active duty during any fiscal year, the end
strength prescribed for such fiscal year for the Selected
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1076a(k)(2) of title 10, United States Code, is amended
by inserting ‘‘(or, if not enrolled, if the member discon-
tinued participation under subsection (f))’’ after ‘‘sub-
section (a)’’.
(b) AUTHORITY TO PROVIDE LIMITED DENTAL
CARE TO DEPENDENTS ENROLLED IN A DENTAL CARE
PLAN.—Section 1077(c) of such title is amended—
(1) by striking ‘‘and’’ following ‘‘the United
States’’; and
(2) by inserting before the period at the end of
the following: ‘‘, and other dental care in special cir-
cumstances as determined under regulations issued
by the Secretary of Defense’’.
Subtitle B—Senior Health Care
SEC. 711. IMPROVEMENTS REGARDING THE DEPARTMENT
OF DEFENSE MEDICARE-ELIGIBLE RETIREE
HEALTH CARE FUND.
(a) SOURCE OF FUNDS FOR MONTHLY ACCRUAL
PAYMENTS INTO THE FUND.—Section 116(c) of title 10,
United States Code, is amended to read as follows:
‘‘(c) Amounts paid into the Fund under subsection
(a) shall be paid from funds available for the pay of mem-
bers of the participating uniformed services under the ju-
risdiction of the respective administering Secretaries.’’.