H. R. 2638—125 
SEC. 112. None of the funds made available in this title for 
military construction in the United States territories and posses-
sions in the Pacific and on Kwajalein Atoll, or in countries bordering 
the Arabian Sea, may be used to award any contract estimated 
by the Government to exceed $1,000,000 to a foreign contractor: 
Provided, That this section shall not be applicable to contract 
awards for which the lowest responsive and responsible bid of 
a United States contractor exceeds the lowest responsive and 
responsible bid of a foreign contractor by greater than 20 percent: 
Provided further, That this section shall not apply to contract 
awards for military construction on Kwajalein Atoll for which the 
lowest responsive and responsible bid is submitted by a Marshallese 
contractor. 
SEC. 113. The Secretary of Defense is to inform the appropriate 
committees of both Houses of Congress, including the Committees 
on Appropriations, of the plans and scope of any proposed military 
exercise involving United States personnel 30 days prior to its 
occurring, if amounts expended for construction, either temporary 
or permanent, are anticipated to exceed $100,000. 
SEC. 114. Not more than 20 percent of the funds made available 
in this title which are limited for obligation during the current 
fiscal year shall be obligated during the last two months of the 
fiscal year. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 115. Funds appropriated to the Department of Defense 
for construction in prior years shall be available for construction 
authorized for each such military department by the authorizations 
enacted into law during the current session of Congress. 
SEC. 116. For military construction or family housing projects 
that are being completed with funds otherwise expired or lapsed 
for obligation, expired or lapsed funds may be used to pay the 
cost of associated supervision, inspection, overhead, engineering 
and design on those projects and on subsequent claims, if any. 
SEC. 117. Notwithstanding any other provision of law, any 
funds made available to a military department or defense agency 
for the construction of military projects may be obligated for a 
military construction project or contract, or for any portion of such 
a project or contract, at any time before the end of the fourth 
fiscal year after the fiscal year for which funds for such project 
were made available, if the funds obligated for such project: (1) 
are obligated from funds available for military construction projects; 
and (2) do not exceed the amount appropriated for such project, 
plus any amount by which the cost of such project is increased 
pursuant to law. 
SEC. 118. (a) The Secretary of Defense, in consultation with 
the Secretary of State, shall submit to the Committees on Appro-
priations of both Houses of Congress, by February 15 of each 
year, an annual report in unclassified and, if necessary, classified 
form, on actions taken by the Department of Defense and the 
Department of State during the previous fiscal year to encourage 
host countries to assume a greater share of the common defense 
burden of such countries and the United States. 
(b) The report under subsection (a) shall include a description 
of— 
(1) attempts to secure cash and in-kind contributions from 
host countries for military construction projects;
H. R. 2638—126 
(2) attempts to achieve economic incentives offered by host 
countries to encourage private investment for the benefit of 
the United States Armed Forces; 
(3) attempts to recover funds due to be paid to the United 
States by host countries for assets deeded or otherwise imparted 
to host countries upon the cessation of United States operations 
at military installations; 
(4) the amount spent by host countries on defense, in 
dollars and in terms of the percent of gross domestic product 
(GDP) of the host country; and 
(5) for host countries that are members of the North 
Atlantic Treaty Organization (NATO), the amount contributed 
to NATO by host countries, in dollars and in terms of the 
percent of the total NATO budget. 
(c) In this section, the term ‘‘host country’’ means other member 
countries of NATO, Japan, South Korea, and United States allies 
bordering the Arabian Sea. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 119. In addition to any other transfer authority available 
to the Department of Defense, proceeds deposited to the Department 
of Defense Base Closure Account established by section 207(a)(1) 
of the Defense Authorization Amendments and Base Closure and 
Realignment Act (10 U.S.C. 2687 note) pursuant to section 
207(a)(2)(C) of such Act, may be transferred to the account estab-
lished by section 2906(a)(1) of the Defense Base Closure and 
Realignment Act of 1990 (10 U.S.C. 2687 note), to be merged 
with, and to be available for the same purposes and the same 
time period as that account. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 120. Subject to 30 days prior notification, or 14 days 
for a notification provided in an electronic medium pursuant to 
sections 480 and 2883, of title 10, United States Code, to the 
Committees on Appropriations of both Houses of Congress, such 
additional amounts as may be determined by the Secretary of 
Defense may be transferred to: (1) the Department of Defense 
Family Housing Improvement Fund from amounts appropriated 
for construction in ‘‘Family Housing’’ accounts, to be merged with 
and to be available for the same purposes and for the same period 
of time as amounts appropriated directly to the Fund; or (2) the 
Department of Defense Military Unaccompanied Housing Improve-
ment Fund from amounts appropriated for construction of military 
unaccompanied housing in ‘‘Military Construction’’ accounts, to be 
merged with and to be available for the same purposes and for 
the same period of time as amounts appropriated directly to the 
Fund: Provided, That appropriations made available to the Funds 
shall be available to cover the costs, as defined in section 502(5) 
of the Congressional Budget Act of 1974, of direct loans or loan 
guarantees issued by the Department of Defense pursuant to the 
provisions of subchapter IV of chapter 169 of title 10, United States 
Code, pertaining to alternative means of acquiring and improving 
military family housing, military unaccompanied housing, and sup-
porting facilities. 
SEC. 121. (a) Not later than 60 days before issuing any solicita-
tion for a contract with the private sector for military family housing
H. R. 2638—127 
the Secretary of the military department concerned shall submit 
to the Committees on Appropriations of both Houses of Congress 
the notice described in subsection (b). 
(b)(1) A notice referred to in subsection (a) is a notice of any 
guarantee (including the making of mortgage or rental payments) 
proposed to be made by the Secretary to the private party under 
the contract involved in the event of— 
(A) the closure or realignment of the installation for which 
housing is provided under the contract; 
(B) a reduction in force of units stationed at such installa-
tion; or 
(C) the extended deployment overseas of units stationed 
at such installation. 
(2) Each notice under this subsection shall specify the nature 
of the guarantee involved and assess the extent and likelihood, 
if any, of the liability of the Federal Government with respect 
to the guarantee. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 122. In addition to any other transfer authority available 
to the Department of Defense, amounts may be transferred from 
the accounts established by sections 2906(a)(1) and 2906A(a)(1) 
of the Defense Base Closure and Realignment Act of 1990 (10 
U.S.C. 2687 note), to the fund established by section 1013(d) of 
the Demonstration Cities and Metropolitan Development Act of 
1966 (42 U.S.C. 3374) to pay for expenses associated with the 
Homeowners Assistance Program. Any amounts transferred shall 
be merged with and be available for the same purposes and for 
the same time period as the fund to which transferred. 
SEC. 123. Notwithstanding any other provision of law, funds 
made available in this title for operation and maintenance of family 
housing shall be the exclusive source of funds for repair and mainte-
nance of all family housing units, including general or flag officer 
quarters: Provided, That not more than $35,000 per unit may 
be spent annually for the maintenance and repair of any general 
or flag officer quarters without 30 days prior notification to the 
Committees on Appropriations of both Houses of Congress, except 
that an after-the-fact notification shall be submitted if the limitation 
is exceeded solely due to costs associated with environmental 
remediation that could not be reasonably anticipated at the time 
of the budget submission: Provided further, That the Under Sec-
retary of Defense (Comptroller) is to report annually to the Commit-
tees on Appropriations of both Houses of Congress all operation 
and maintenance expenditures for each individual general or flag 
officer quarters for the prior fiscal year. 
SEC. 124. Amounts contained in the Ford Island Improvement 
Account established by subsection (h) of section 2814 of title 10, 
United States Code, are appropriated and shall be available until 
expended for the purposes specified in subsection (i)(1) of such 
section or until transferred pursuant to subsection (i)(3) of such 
section. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 125. None of the funds made available in this title, or 
in any Act making appropriations for military construction which 
remain available for obligation, may be obligated or expended to
H. R. 2638—128 
carry out a military construction, land acquisition, or family housing 
project at or for a military installation approved for closure, or 
at a military installation for the purposes of supporting a function 
that has been approved for realignment to another installation, 
in 2005 under 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), unless such a project at a military installation approved 
for realignment will support a continuing mission or function at 
that installation or a new mission or function that is planned 
for that installation, or unless the Secretary of Defense certifies 
that the cost to the United States of carrying out such project 
would be less than the cost to the United States of cancelling 
such project, or if the project is at an active component base that 
shall be established as an enclave or in the case of projects having 
multi-agency use, that another Government agency has indicated 
it will assume ownership of the completed project. The Secretary 
of Defense may not transfer funds made available as a result 
of this limitation from any military construction project, land 
acquisition, or family housing project to another account or use 
such funds for another purpose or project without the prior approval 
of the Committees on Appropriations of both Houses of Congress. 
This section shall not apply to military construction projects, land 
acquisition, or family housing projects for which the project is 
vital to the national security or the protection of health, safety, 
or environmental quality: Provided, That the Secretary of Defense 
shall notify the congressional defense committees within seven days 
of a decision to carry out such a military construction project. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 126. During the 5-year period after appropriations avail-
able in this Act to the Department of Defense for military construc-
tion and family housing operation and maintenance and construc-
tion have expired for obligation, upon a determination that such 
appropriations will not be necessary for the liquidation of obligations 
or for making authorized adjustments to such appropriations for 
obligations incurred during the period of availability of such appro-
priations, unobligated balances of such appropriations may be trans-
ferred into the appropriation ‘‘Foreign Currency Fluctuations, 
Construction, Defense’’, to be merged with and to be available 
for the same time period and for the same purposes as the appro-
priation to which transferred. 
SEC. 127. None of the funds appropriated or otherwise made 
available in this title may be used for any action that is related 
to or promotes the expansion of the boundaries or size of the 
Pinon Canyon Maneuver Site, Colorado. 
SEC. 128. Amounts appropriated or otherwise made available 
in an account funded under the headings in this title may be 
transferred among projects and activities within that account in 
accordance with the reprogramming guidelines for military 
construction and family housing construction contained in the 
explanatory statement described in section 4 (in the matter pre-
ceding division A of this consolidated Act), and in the guidance 
for military construction reprogrammings and notifications con-
tained in Department of Defense Financial Management Regulation 
7000.14–R, Volume 3, Chapter 7, of December 1996, as in effect 
on the date of enactment of this Act.
H. R. 2638—129 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 129. (a) Of the amount appropriated or otherwise made 
available by this Act for the Department of Defense under the 
heading ‘‘Military Construction, Air Force’’ and available for plan-
ning and design, the Secretary of the Air Force shall, in accordance 
with section 1535 of title 31, United States Code, transfer $500,000 
to the American Battle Monuments Commission to conduct an 
engineering study on the restoration of the Lafayette Escadrille 
Memorial in Marnes-La-Coquette, France. 
(b) The study conducted pursuant to subsection (a) shall 
include: 
(1) an estimate of costs to be incurred to restore the struc-
ture, features, landscaped grounds and caretaker’s quarters 
of the Lafayette Escadrille Memorial to standards similar to 
memorials and burial grounds administered by the American 
Battle Monuments Commission; and 
(2) an estimate of annual costs for the long-term preserva-
tion, maintenance, and operation of the memorial under those 
standards. 
(c) The amount transferred under subsection (a) shall remain 
available until expended. 
SEC. 130. Of the funds provided for ‘‘Family Housing Construc-
tion, Defense-Wide’’ under Public Law 110–5, $6,040,000 are hereby 
rescinded. 
SEC. 131. In addition to amounts otherwise appropriated or 
made available under the heading ‘‘Military Construction, Air 
National Guard’’, there is hereby appropriated an additional 
$28,000,000, to remain available until September 30, 2013, for 
the construction of Air National Guard fire stations: Provided, That 
notwithstanding any other provision of law, such funds may be 
obligated and expended to carry out planning and design and 
construction not otherwise authorized by law: Provided further, 
That within 30 days of enactment of this Act, and prior to obligation 
of funds, the Air National Guard shall submit to the Committees 
on Appropriations of both Houses of Congress an expenditure plan 
for funds provided under this section. 
SEC. 132. In addition to amounts otherwise appropriated or 
made available under the heading ‘‘Military Construction, Army 
National Guard’’, there is hereby appropriated an additional 
$147,000,000 to remain available until September 30, 2013, for 
the construction of facilities consistent with Army National Guard 
emerging requirements: Provided, That notwithstanding any other 
provision of law, such funds may be obligated and expended to 
carry out planning and design and construction not otherwise 
authorized by law: Provided further, That within 30 days of enact-
ment of this Act, and prior to obligation of funds, the Director 
of the Army National Guard shall submit to the Committees on 
Appropriations of both Houses of Congress an expenditure plan 
for funds provided under this section.
H. R. 2638—130 
TITLE II 
DEPARTMENT OF VETERANS AFFAIRS 
VETERANS BENEFITS ADMINISTRATION 
COMPENSATION AND PENSIONS 
(INCLUDING TRANSFER OF FUNDS) 
For the payment of compensation benefits to or on behalf of 
veterans and a pilot program for disability examinations as author-
ized by section 107 and chapters 11, 13, 18, 51, 53, 55, and 61 
of title 38, United States Code; pension benefits to or on behalf 
of veterans as authorized by chapters 15, 51, 53, 55, and 61 of 
title 38, United States Code; and burial benefits, the Reinstated 
Entitlement Program for Survivors, emergency and other officers’ 
retirement pay, adjusted-service credits and certificates, payment 
of premiums due on commercial life insurance policies guaranteed 
under the provisions of title IV of the Servicemembers Civil Relief 
Act (50 U.S.C. App. 541 et seq.) and for other benefits as authorized 
by sections 107, 1312, 1977, and 2106, and chapters 23, 51, 53, 
55, and 61 of title 38, United States Code, $43,111,681,000, to 
remain available until expended: Provided, That not to exceed 
$26,798,000 of the amount appropriated under this heading shall 
be reimbursed to ‘‘General operating expenses’’, ‘‘Medical support 
and compliance’’, and ‘‘Information technology systems’’ for nec-
essary expenses in implementing the provisions of chapters 51, 
53, and 55 of title 38, United States Code, the funding source 
for which is specifically provided as the ‘‘Compensation and pen-
sions’’ appropriation: Provided further, That such sums as may 
be earned on an actual qualifying patient basis, shall be reimbursed 
to ‘‘Medical care collections fund’’ to augment the funding of indi-
vidual medical facilities for nursing home care provided to pen-
sioners as authorized. 
READJUSTMENT BENEFITS 
For the payment of readjustment and rehabilitation benefits 
to or on behalf of veterans as authorized by chapters 21, 30, 31, 
33, 34, 35, 36, 39, 51, 53, 55, and 61 of title 38, United States 
Code, $3,832,944,000, to remain available until expended: Provided, 
That expenses for rehabilitation program services and assistance 
which the Secretary is authorized to provide under subsection (a) 
of section 3104 of title 38, United States Code, other than under 
paragraphs (1), (2), (5), and (11) of that subsection, shall be charged 
to this account. 
VETERANS INSURANCE AND INDEMNITIES 
For military and naval insurance, national service life insur-
ance, servicemen’s indemnities, service-disabled veterans insurance, 
and veterans mortgage life insurance as authorized by title 38, 
United States Code, chapters 19 and 21, $42,300,000, to remain 
available until expended.
H. R. 2638—131 
VETERANS HOUSING BENEFIT PROGRAM FUND 
For the cost of direct and guaranteed loans, such sums as 
may be necessary to carry out the program, as authorized by sub-
chapters I through III of chapter 37 of title 38, United States 
Code: Provided, That such costs, including the cost of modifying 
such loans, shall be as defined in section 502 of the Congressional 
Budget Act of 1974: Provided further, That during fiscal year 2009, 
within the resources available, not to exceed $500,000 in gross 
obligations for direct loans are authorized for specially adapted 
housing loans. 
In addition, for administrative expenses to carry out the direct 
and guaranteed loan programs, $157,210,000. 
VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT 
(INCLUDING TRANSFER OF FUNDS) 
For the cost of direct loans, $61,000, as authorized by chapter 
31 of title 38, United States Code: Provided, That such costs, 
including the cost of modifying such loans, shall be as defined 
in section 502 of the Congressional Budget Act of 1974: Provided 
further, That funds made available under this heading are available 
to subsidize gross obligations for the principal amount of direct 
loans not to exceed $3,180,000. 
In addition, for administrative expenses necessary to carry 
out the direct loan program, $320,000, which may be paid to the 
appropriation for ‘‘General operating expenses’’. 
NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT 
For administrative expenses to carry out the direct loan pro-
gram authorized by subchapter V of chapter 37 of title 38, United 
States Code, $646,000. 
GUARANTEED TRANSITIONAL HOUSING LOANS FOR HOMELESS 
VETERANS PROGRAM ACCOUNT 
For the administrative expenses to carry out the guaranteed 
transitional housing loan program authorized by subchapter VI 
of chapter 20 of title 38, United States Code, not to exceed $750,000 
of the amounts appropriated by this Act for ‘‘General operating 
expenses’’ and ‘‘Medical support and compliance’’ may be expended. 
VETERANS HEALTH ADMINISTRATION 
MEDICAL SERVICES 
(INCLUDING TRANSFER OF FUNDS) 
For necessary expenses for furnishing, as authorized by law, 
inpatient and outpatient care and treatment to beneficiaries of 
the Department of Veterans Affairs and veterans described in sec-
tion 1705(a) of title 38, United States Code, including care and 
treatment in facilities not under the jurisdiction of the Department, 
and including medical supplies and equipment, food services, and 
salaries and expenses of health-care employees hired under title 
38, United States Code, and aid to State homes as authorized 
by section 1741 of title 38, United States Code; $30,969,903,000, 
plus reimbursements, of which not less than $3,800,000,000 shall
H. R. 2638—132 
be expended for specialty mental health care and of which 
$250,000,000 shall be for establishment and implementation of 
a new rural health outreach and delivery initiative: Provided, That 
of the funds made available under this heading, not to exceed 
$1,600,000,000 shall be available until September 30, 2010: Pro-
vided further, That, notwithstanding any other provision of law, 
the Secretary of Veterans Affairs shall establish a priority for 
the provision of medical treatment for veterans who have service- 
connected disabilities, lower income, or have special needs: Provided 
further, That, notwithstanding any other provision of law, the Sec-
retary of Veterans Affairs shall give priority funding for the provi-
sion of basic medical benefits to veterans in enrollment priority 
groups 1 through 6: Provided further, That, notwithstanding any 
other provision of law, the Secretary of Veterans Affairs may 
authorize the dispensing of prescription drugs from Veterans Health 
Administration facilities to enrolled veterans with privately written 
prescriptions based on requirements established by the Secretary: 
Provided further, That the implementation of the program described 
in the previous proviso shall incur no additional cost to the Depart-
ment of Veterans Affairs: Provided further, That for the Department 
of Defense/Department of Veterans Affairs Health Care Sharing 
Incentive Fund, as authorized by section 8111(d) of title 38, United 
States Code, a minimum of $15,000,000, to remain available until 
expended, for any purpose authorized by section 8111 of title 38, 
United States Code. 
MEDICAL SUPPORT AND COMPLIANCE 
For necessary expenses in the administration of the medical, 
hospital, nursing home, domiciliary, construction, supply, and 
research activities, as authorized by law; administrative expenses 
in support of capital policy activities; and administrative and legal 
expenses of the Department for collecting and recovering amounts 
owed the Department as authorized under chapter 17 of title 38, 
United States Code, and the Federal Medical Care Recovery Act 
(42 U.S.C. 2651 et seq.): $4,450,000,000, plus reimbursements, of 
which $250,000,000 shall be available until September 30, 2010. 
MEDICAL FACILITIES 
For necessary expenses for the maintenance and operation of 
hospitals, nursing homes, and domiciliary facilities and other nec-
essary facilities of the Veterans Health Administration; for adminis-
trative expenses in support of planning, design, project manage-
ment, real property acquisition and disposition, construction, and 
renovation of any facility under the jurisdiction or for the use 
of the Department; for oversight, engineering, and architectural 
activities not charged to project costs; for repairing, altering, 
improving, or providing facilities in the several hospitals and homes 
under the jurisdiction of the Department, not otherwise provided 
for, either by contract or by the hire of temporary employees and 
purchase of materials; for leases of facilities; and for laundry serv-
ices, $5,029,000,000, plus reimbursements, of which $350,000,000 
shall be available until September 30, 2010: Provided, That 
$300,000,000 for non-recurring maintenance provided under this 
heading shall be allocated in a manner not subject to the Veterans 
Equitable Resource Allocation.
H. R. 2638—133 
MEDICAL AND PROSTHETIC RESEARCH 
For necessary expenses in carrying out programs of medical 
and prosthetic research and development as authorized by chapter 
73 of title 38, United States Code, $510,000,000, plus reimburse-
ments, to remain available until September 30, 2010. 
NATIONAL CEMETERY ADMINISTRATION 
For necessary expenses of the National Cemetery Administra-
tion for operations and maintenance, not otherwise provided for, 
including uniforms or allowances therefor; cemeterial expenses as 
authorized by law; purchase of one passenger motor vehicle for 
use in cemeterial operations; hire of passenger motor vehicles; and 
repair, alteration or improvement of facilities under the jurisdiction 
of the National Cemetery Administration, $230,000,000, of which 
not to exceed $23,000,000 shall be available until September 30, 
2010. 
DEPARTMENTAL ADMINISTRATION 
GENERAL OPERATING EXPENSES 
For necessary operating expenses of the Department of Vet-
erans Affairs, not otherwise provided for, including administrative 
expenses in support of Department-Wide capital planning, manage-
ment and policy activities, uniforms, or allowances therefor; not 
to exceed $25,000 for official reception and representation expenses; 
hire of passenger motor vehicles; and reimbursement of the General 
Services Administration for security guard services, and the Depart-
ment of Defense for the cost of overseas employee mail, 
$1,801,867,000: Provided, That expenses for services and assistance 
authorized under paragraphs (1), (2), (5), and (11) of section 3104(a) 
of title 38, United States Code, that the Secretary of Veterans 
Affairs determines are necessary to enable entitled veterans: (1) 
to the maximum extent feasible, to become employable and to 
obtain and maintain suitable employment; or (2) to achieve max-
imum independence in daily living, shall be charged to this account: 
Provided further, That the Veterans Benefits Administration shall 
be funded at not less than $1,466,095,000: Provided further, That 
of the funds made available under this heading, not to exceed 
$83,000,000 shall be available for obligation until September 30, 
2010: Provided further, That from the funds made available under 
this heading, the Veterans Benefits Administration may purchase 
(on a one-for-one replacement basis only) up to two passenger 
motor vehicles for use in operations of that Administration in 
Manila, Philippines. 
INFORMATION TECHNOLOGY SYSTEMS 
For necessary expenses for information technology systems and 
telecommunications support, including developmental information 
systems and operational information systems; for pay and associated 
costs; and for the capital asset acquisition of information technology 
systems, including management and related contractual costs of 
said acquisitions, including contractual costs associated with oper-
ations authorized by section 3109 of title 5, United States Code,
H. R. 2638—134 
$2,489,391,000, plus reimbursements, to be available until Sep-
tember 30, 2010: Provided, That of the funds made available under 
this heading, not less than $48,000,000 shall be for the Financial 
and Logistics Integrated Technology Enterprise program: Provided 
further, That none of these funds may be obligated until the Depart-
ment of Veterans Affairs submits to the Committees on Appropria-
tions of both Houses of Congress, and such Committees approve, 
a plan for expenditure that: (1) meets the capital planning and 
investment control review requirements established by the Office 
of Management and Budget; (2) complies with the Department 
of Veterans Affairs enterprise architecture; (3) conforms with an 
established enterprise life cycle methodology; and (4) complies with 
the acquisition rules, requirements, guidelines, and systems acquisi-
tion management practices of the Federal Government: Provided 
further, That within 30 days of enactment of this Act, the Secretary 
of Veterans Affairs shall submit to the Committees on Appropria-
tions of both Houses of Congress a reprogramming base letter 
which provides, by project, the costs included in this appropriation. 
OFFICE OF INSPECTOR GENERAL 
For necessary expenses of the Office of Inspector General, to 
include information technology, in carrying out the provisions of 
the Inspector General Act of 1978 (5 U.S.C. App.), $87,818,000, 
of which $5,000,000 shall be available until September 30, 2010. 
CONSTRUCTION, MAJOR PROJECTS 
For constructing, altering, extending, and improving any of 
the facilities, including parking projects, under the jurisdiction or 
for the use of the Department of Veterans Affairs, or for any 
of the purposes set forth in sections 316, 2404, 2406, 8102, 8103, 
8106, 8108, 8109, 8110, and 8122 of title 38, United States Code, 
including 
planning, 
architectural 
and 
engineering 
services, 
construction management services, maintenance or guarantee 
period services costs associated with equipment guarantees provided 
under the project, services of claims analysts, offsite utility and 
storm drainage system construction costs, and site acquisition, 
where the estimated cost of a project is more than the amount 
set forth in section 8104(a)(3)(A) of title 38, United States Code, 
or where funds for a project were made available in a previous 
major project appropriation, $923,382,000, to remain available until 
expended, of which $10,000,000 shall be to make reimbursements 
as provided in section 13 of the Contract Disputes Act of 1978 
(41 U.S.C. 612) for claims paid for contract disputes: Provided, 
That except for advance planning activities, including needs assess-
ments which may or may not lead to capital investments, and 
other capital asset management related activities, including port-
folio development and management activities, and investment 
strategy studies funded through the advance planning fund and 
the planning and design activities funded through the design fund, 
including needs assessments which may or may not lead to capital 
investments, and funds provided for the purchase of land for the 
National Cemetery Administration through the land acquisition 
line item, none of the funds appropriated under this heading shall 
be used for any project which has not been approved by the Congress 
in the budgetary process: Provided further, That funds provided 
in this appropriation for fiscal year 2009, for each approved project
H. R. 2638—135 
shall be obligated: (1) by the awarding of a construction documents 
contract by September 30, 2009; and (2) by the awarding of a 
construction contract by September 30, 2010: Provided further, That 
the Secretary of Veterans Affairs shall promptly submit to the 
Committees on Appropriations of both Houses of Congress a written 
report on any approved major construction project for which obliga-
tions are not incurred within the time limitations established above: 
Provided further, That of the amount appropriated in this para-
graph, $923,382,000 shall be for the projects and activities, and 
in the amounts, specified under this heading in the explanatory 
statement described in section 4 (in the matter preceding division 
A of this consolidated Act). 
CONSTRUCTION, MINOR PROJECTS 
For constructing, altering, extending, and improving any of 
the facilities, including parking projects, under the jurisdiction or 
for the use of the Department of Veterans Affairs, including plan-
ning and assessments of needs which may lead to capital invest-
ments, architectural and engineering services, maintenance or guar-
antee period services costs associated with equipment guarantees 
provided under the project, services of claims analysts, offsite utility 
and storm drainage system construction costs, and site acquisition, 
or for any of the purposes set forth in sections 316, 2404, 2406, 
8102, 8103, 8106, 8108, 8109, 8110, 8122, and 8162 of title 38, 
United States Code, where the estimated cost of a project is equal 
to or less than the amount set forth in section 8104(a)(3)(A) of 
title 38, United States Code, $741,534,000, to remain available 
until expended, along with unobligated balances of previous 
‘‘Construction, minor projects’’ appropriations which are hereby 
made available for any project where the estimated cost is equal 
to or less than the amount set forth in such section: Provided, 
That funds in this account shall be available for: (1) repairs to 
any of the nonmedical facilities under the jurisdiction or for the 
use of the Department which are necessary because of loss or 
damage caused by any natural disaster or catastrophe; and (2) 
temporary measures necessary to prevent or to minimize further 
loss by such causes: Provided further: That $7,000,000 of the amount 
appropriated in this paragraph shall be for the installation of alter-
native fueling stations at 35 medical facility campuses. 
GRANTS FOR CONSTRUCTION OF STATE EXTENDED CARE FACILITIES 
For grants to assist States to acquire or construct State nursing 
home and domiciliary facilities and to remodel, modify, or alter 
existing hospital, nursing home, and domiciliary facilities in State 
homes, for furnishing care to veterans as authorized by sections 
8131 through 8137 of title 38, United States Code, $175,000,000, 
to remain available until expended. 
GRANTS FOR CONSTRUCTION OF STATE VETERANS CEMETERIES 
For grants to assist States in establishing, expanding, or 
improving State veterans cemeteries as authorized by section 2408 
of title 38, United States Code, $42,000,000, to remain available 
until expended.
H. R. 2638—136 
ADMINISTRATIVE PROVISIONS 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 201. Any appropriation for fiscal year 2009 for ‘‘Compensa-
tion and pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insur-
ance and indemnities’’ may be transferred as necessary to any 
other of the mentioned appropriations: Provided, That before a 
transfer may take place, the Secretary of Veterans Affairs shall 
request from the Committees on Appropriations of both Houses 
of Congress the authority to make the transfer and such Committees 
issue an approval, or absent a response, a period of 30 days has 
elapsed. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 202. Amounts made available for the Department of Vet-
erans Affairs for fiscal year 2009, in this Act or any other Act, 
under the ‘‘Medical services’’, ‘‘Medical support and compliance’’, 
and ‘‘Medical facilities’’ accounts may be transferred among the 
accounts to the extent necessary to implement the restructuring 
of the Veterans Health Administration accounts: Provided, That 
any transfers between the ‘‘Medical services’’ and ‘‘Medical support 
and compliance’’ accounts of 1 percent or less of the total amount 
appropriated to the account in this or any other Act may take 
place subject to notification from the Secretary of Veterans Affairs 
to the Committees on Appropriations of both Houses of Congress 
of the amount and purpose of the transfer: Provided further, That 
any transfers between the ‘‘Medical services’’ and ‘‘Medical support 
and compliance’’ accounts in excess of 1 percent, or exceeding the 
cumulative 1 percent for the fiscal year, may take place only after 
the Secretary requests from the Committees on Appropriations 
of both Houses of Congress the authority to make the transfer 
and an approval is issued: Provided further, That any transfers 
to or from the ‘‘Medical facilities’’ account may take place only 
after the Secretary requests from the Committees on Appropriations 
of both Houses of Congress the authority to make the transfer 
and an approval is issued. 
SEC. 203. Appropriations available in this title for salaries 
and expenses shall be available for services authorized by section 
3109 of title 5, United States Code, hire of passenger motor vehicles; 
lease of a facility or land or both; and uniforms or allowances 
therefore, as authorized by sections 5901 through 5902 of title 
5, United States Code. 
SEC. 204. No appropriations in this title (except the appropria-
tions for ‘‘Construction, major projects’’, and ‘‘Construction, minor 
projects’’) shall be available for the purchase of any site for or 
toward the construction of any new hospital or home. 
SEC. 205. No appropriations in this title shall be available 
for hospitalization or examination of any persons (except bene-
ficiaries entitled to such hospitalization or examination under the 
laws providing such benefits to veterans, and persons receiving 
such treatment under sections 7901 through 7904 of title 5, United 
States Code, or the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.)), unless reimburse-
ment of the cost of such hospitalization or examination is made 
to the ‘‘Medical services’’ account at such rates as may be fixed 
by the Secretary of Veterans Affairs.
H. R. 2638—137 
SEC. 206. Appropriations available in this title for ‘‘Compensa-
tion and pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insur-
ance and indemnities’’ shall be available for payment of prior year 
accrued obligations required to be recorded by law against the 
corresponding prior year accounts within the last quarter of fiscal 
year 2008. 
SEC. 207. Appropriations available in this title shall be available 
to pay prior year obligations of corresponding prior year appropria-
tions accounts resulting from sections 3328(a), 3334, and 3712(a) 
of title 31, United States Code, except that if such obligations 
are from trust fund accounts they shall be payable only from ‘‘Com-
pensation and pensions’’. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 208. Notwithstanding any other provision of law, during 
fiscal year 2009, the Secretary of Veterans Affairs shall, from the 
National Service Life Insurance Fund (38 U.S.C. 1920), the Vet-
erans’ Special Life Insurance Fund (38 U.S.C. 1923), and the United 
States Government Life Insurance Fund (38 U.S.C. 1955), reimburse 
the ‘‘General operating expenses’’ and ‘‘Information technology sys-
tems’’ accounts for the cost of administration of the insurance 
programs financed through those accounts: Provided, That 
reimbursement shall be made only from the surplus earnings 
accumulated in such an insurance program during fiscal year 2009 
that are available for dividends in that program after claims have 
been paid and actuarially determined reserves have been set aside: 
Provided further, That if the cost of administration of such an 
insurance program exceeds the amount of surplus earnings accumu-
lated in that program, reimbursement shall be made only to the 
extent of such surplus earnings: Provided further, That the Sec-
retary shall determine the cost of administration for fiscal year 
2009 which is properly allocable to the provision of each such 
insurance program and to the provision of any total disability 
income insurance included in that insurance program. 
SEC. 209. Amounts deducted from enhanced-use lease proceeds 
to reimburse an account for expenses incurred by that account 
during a prior fiscal year for providing enhanced-use lease services, 
may be obligated during the fiscal year in which the proceeds 
are received. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 210. Funds available in this title or funds for salaries 
and other administrative expenses shall also be available to 
reimburse the Office of Resolution Management of the Department 
of Veterans Affairs and the Office of Employment Discrimination 
Complaint Adjudication under section 319 of title 38, United States 
Code, for all services provided at rates which will recover actual 
costs but not exceed $34,158,000 for the Office of Resolution 
Management and $3,278,000 for the Office of Employment and 
Discrimination Complaint Adjudication: Provided, That payments 
may be made in advance for services to be furnished based on 
estimated costs: Provided further, That amounts received shall be 
credited to the ‘‘General operating expenses’’ and ‘‘Information tech-
nology systems’’ accounts for use by the office that provided the 
service.
H. R. 2638—138 
SEC. 211. No appropriations in this title shall be available 
to enter into any new lease of real property if the estimated annual 
rental is more than $1,000,000 unless the Secretary submits a 
report which the Committees on Appropriations of both Houses 
of Congress approve within 30 days following the date on which 
the report is received. 
SEC. 212. No funds of the Department of Veterans Affairs 
shall be available for hospital care, nursing home care, or medical 
services provided to any person under chapter 17 of title 38, United 
States Code, for a non-service-connected disability described in sec-
tion 1729(a)(2) of such title, unless that person has disclosed to 
the Secretary of Veterans Affairs, in such form as the Secretary 
may require, current, accurate third-party reimbursement informa-
tion for purposes of section 1729 of such title: Provided, That 
the Secretary may recover, in the same manner as any other debt 
due the United States, the reasonable charges for such care or 
services from any person who does not make such disclosure as 
required: Provided further, That any amounts so recovered for care 
or services provided in a prior fiscal year may be obligated by 
the Secretary during the fiscal year in which amounts are received. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 213. Notwithstanding any other provision of law, proceeds 
or revenues derived from enhanced-use leasing activities (including 
disposal) may be deposited into the ‘‘Construction, major projects’’ 
and ‘‘Construction, minor projects’’ accounts and be used for 
construction (including site acquisition and disposition), alterations, 
and improvements of any medical facility under the jurisdiction 
or for the use of the Department of Veterans Affairs. Such sums 
as realized are in addition to the amount provided for in ‘‘Construc-
tion, major projects’’ and ‘‘Construction, minor projects’’. 
SEC. 214. Amounts made available under ‘‘Medical services’’ 
are available— 
(1) for furnishing recreational facilities, supplies, and equip-
ment; and 
(2) for funeral expenses, burial expenses, and other 
expenses incidental to funerals and burials for beneficiaries 
receiving care in the Department. 
(INCLUDING TRANSFER OF FUNDS) 
SEC. 215. Such sums as may be deposited to the Medical 
Care Collections Fund pursuant to section 1729A of title 38, United 
States Code, may be transferred to ‘‘Medical services’’, to remain 
available until expended for the purposes of that account. 
SEC. 216. Notwithstanding any other provision of law, the 
Secretary of Veterans Affairs shall allow veterans who are eligible 
under existing Department of Veterans Affairs medical care require-
ments and who reside in Alaska to obtain medical care services 
from medical facilities supported by the Indian Health Service 
or tribal organizations. The Secretary shall: (1) limit the application 
of this provision to rural Alaskan veterans in areas where an 
existing Department of Veterans Affairs facility or Veterans Affairs- 
contracted service is unavailable; (2) require participating veterans 
and facilities to comply with all appropriate rules and regulations, 
as established by the Secretary; (3) require this provision to be 
consistent with Capital Asset Realignment for Enhanced Services