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the advisory committee’s evaluation of such program
as implemented.
(f) APPLICABILITY
OF TEMPORARY ORGANIZATIONS
LAW.—(1) Section 3161 of title 5, United States Code, shall
apply to the advisory committee under this section.
(2) The Federal Advisory Committee Act (5 U.S.C.
App.) shall not apply to the oversight advisory committee
under this section.
(g) TERMINATION.—The advisory committee shall ter-
minate 90 days after the date on which the committee sub-
mits the report to the Secretary of Defense under subsection
(e)(3).
SEC. 716. GROUNDS FOR PRESIDENTIAL WAIVER OF RE-
QUIREMENT FOR INFORMED CONSENT OR
OPTION TO REFUSE REGARDING ADMINIS-
TRATION OF DRUGS NOT APPROVED FOR
GENERAL USE.
(a) INVESTIGATIONAL NEW DRUGS.—Section 1107(f)
of title 10, United States Code, is amended—
(1) in paragraph (1), by striking ‘‘obtaining
consent—’’ and all that follows through ‘‘(C) is’’ and
inserting ‘‘obtaining consent is’’; and
(2) by striking paragraph (2) and inserting the
following new paragraph:
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‘‘(2) The waiver authority provided in paragraph (1)
shall not be construed to apply to any case other than a
case in which prior consent for administration of a par-
ticular drug is required by reason of a determination by
the Secretary of Health and Human Services that such drug
is subject to the investigational new drug requirements of
section 505(i) of the Federal Food, Drug, and Cosmetic
Act.’’.
(b) EMERGENCY USE DRUGS.—Section 1107a(a) of
such title is amended—
(1) by inserting ‘‘(A)’’ after ‘‘PRESIDENT.—(1)’’;
(2) by striking ‘‘is not feasible,’’ and all that fol-
lows through ‘‘members affected, or’’; and
(3) by adding at the end the following new sub-
paragraph:
‘‘(B) The waiver authority provided in subparagraph
(A) shall not be construed to apply to any case other than
a case in which an individual is required to be informed
of an option to accept or refuse administration of a par-
ticular product by reason of a determination by the Sec-
retary of Health and Human Services that emergency use
of such product is authorized under section 564 of the Fed-
eral Food, Drug, and Cosmetic Act.’’.
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SEC. 717. ELIGIBILITY OF CADETS AND MIDSHIPMEN FOR
MEDICAL AND DENTAL CARE AND DISABILITY
BENEFITS.
(a) MEDICAL AND DENTAL CARE.—(1) Chapter 55 of
title 10, United States Code, is amended by inserting after
section 1074a the following new section:
‘‘§ 1074b. Medical and dental care: cadets and mid-
shipmen
‘‘(a) ELIGIBILITY.—Under joint regulations prescribed
by the administering Secretaries, the following persons are,
except as provided in subsection (c), entitled to the benefits
described in subsection (b):
‘‘(1) A cadet at the United States Military Acad-
emy, the United States Air Force Academy, or the
Coast Guard Academy, and a midshipman at the
United States Naval Academy, who incurs or aggra-
vates an injury, illness, or disease in the line of duty.
‘‘(2) Each member of, and each designated appli-
cant for membership in, the Senior Reserve Officers’
Training Corps who incurs or aggravates an injury,
illness, or disease in the line of duty while performing
duties under section 2109 of this title.
‘‘(b) BENEFITS.—A person eligible for benefits in sub-
section (a) for an injury, illness, or disease is entitled to—
‘‘(1) the medical and dental care under this
chapter that is appropriate for the treatment of the
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injury, illness, or disease until the injury, illness, dis-
ease, or any resulting disability cannot be materially
improved by further hospitalization or treatment; and
‘‘(2) meals during hospitalization.
‘‘(c) EXCEPTION.—A person is not entitled to benefits
under subsection (b) for an injury, illness, or disease, or
the aggravation of an injury, illness, or disease that is a
result of the gross negligence or the misconduct of that per-
son.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
1074a the following new item:
‘‘1074b. Medical and dental care: cadets and midshipmen of the service acad-
emies.’’.
(b) ELIGIBILITY
OF ACADEMY CADETS
AND MID-
SHIPMEN FOR DISABILITY RETIRED PAY.—(1)(A) Section
1217 of title 10, United States Code, is amended to read
as follows:
‘‘§ 1217. Cadets, midshipmen, and aviation cadets: ap-
plicability of chapter
‘‘(a) This chapter applies to cadets at the United
States Military Academy, the United States Air Force
Academy, and the United States Coast Guard Academy and
midshipmen of the United States Naval Academy.
‘‘(b) Monthly cadet pay and monthly midshipman pay
under section 203(c) of title 37 shall be considered to be
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basic pay for purposes of this chapter and the computation
of retired pay and severance and separation pay to which
entitlement is established under this chapter.’’.
(B) The item related to section 1217 in the table of
sections at the beginning of chapter 61 of such title is
amended to read as follows:
‘‘1217. Cadets, midshipmen, and aviation cadets: applicability of chapter.’’.
(2) The amendments made by paragraph (1) shall take
effect on October 1, 2004.
SEC. 718. CONTINUATION OF SUB-ACUTE CARE FOR TRANSI-
TION PERIOD.
Section 1074j(b) of title 10, United States Code, is
amended by adding at the end the following new paragraph:
‘‘(4) The Secretary of Defense may take such actions
as are necessary to ensure that there is an effective transi-
tion in the furnishing of part-time or intermittent home
health care benefits for covered beneficiaries who were re-
ceiving such benefits before the establishment of the program
under this section. The actions taken under this paragraph
may include the continuation of such benefits on an ex-
tended basis for such time as the Secretary determines ap-
propriate.’’.
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SEC. 719. TEMPORARY AUTHORITY FOR WAIVER OF COLLEC-
TION OF PAYMENTS DUE FOR CHAMPUS BEN-
EFITS RECEIVED BY DISABLED PERSONS UN-
AWARE OF LOSS OF CHAMPUS ELIGIBILITY.
(a) AUTHORITY TO WAIVE DEBT.—(1) The Secretary
of Defense, in consultation with the other administering
Secretaries, may waive (in whole or in part) the collection
of payments otherwise due from a person described in sub-
section (b) for health benefits received by such person under
section 1086 of title 10, United States Code, after the termi-
nation of that person’s eligibility for such benefits.
(2) If the Secretary of Defense waives collection of pay-
ments from a person under paragraph (1), the Secretary
may also authorize a continuation of benefits for such per-
son under such section 1086 for a period ending not later
than the end of the period specified in subsection (c) of this
section.
(b) ELIGIBLE PERSONS.—A person is eligible for relief
under subsection (a)(1) if—
(1) the person is described in paragraph (1) of
subsection (d) of section 1086 of title 10, United
States Code;
(2) except for such paragraph, the person would
have been eligible for the health benefits under such
section; and
(3) at the time of the receipt of such benefits—
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(A) the person satisfied the criteria specified
in paragraph (2)(B) of such subsection (d); and
(B) the person was unaware of the loss of
eligibility to receive the health benefits.
(c) PERIOD OF APPLICABILITY.—The authority pro-
vided under this section to waive collection of payments and
to continue benefits shall apply, under terms and conditions
prescribed by the Secretary of Defense, to health benefits
provided under section 1086 of title 10, United States Code,
during the period beginning on July 1, 1999, and ending
at the end of December 31, 2004.
(d) CONSULTATION WITH OTHER ADMINISTERING
SECRETARIES.—(1) The Secretary of Defense shall consult
with the other administering Secretaries in exercising the
authority provided in this section.
(2) In this subsection, the term ‘‘administering Secre-
taries’’ has the meaning given such term in section 1072(3)
of title 10, United States Code.
SEC. 720. VACCINE HEALTHCARE CENTERS NETWORK.
Section 1110 of title 10, United States Code, is amend-
ed by adding at the end the following:
‘‘(c) VACCINE HEALTHCARE CENTERS NETWORK.—(1)
The Secretary shall carry out this section through the Vac-
cine Healthcare Centers Network as established by the Sec-
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retary in collaboration with the Director of the Centers for
Disease Control and Prevention.
‘‘(2) In addition to conducting the activities described
in subsection (b), it shall be the purpose of the Vaccine
Healthcare Centers Network to improve—
‘‘(A) the safety and quality of vaccine adminis-
tration for the protection of members of the armed
forces;
‘‘(B) the submission of data to the Vaccine-re-
lated Adverse Events Reporting System to include
comprehensive content and follow-up data;
‘‘(C) the access to clinical management services
to members of the armed forces who experience vac-
cine adverse events;
‘‘(D) the knowledge and understanding by mem-
bers of the armed forces and vaccine-providers of im-
munization benefits and risks.
‘‘(E) networking between the Department of De-
fense, the Department of Health and Human Services,
the Department of Veterans Affairs, and private advo-
cacy and coalition groups with regard to immuniza-
tion benefits and risks; and
‘‘(F) clinical research on the safety and efficacy
of vaccines.
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‘‘(3) To achieve the purposes described in paragraph
(2), the Vaccine Healthcare Centers Network, in collabora-
tion with the medical departments of the armed forces, shall
carry out the following:
‘‘(A)(i) Establish a network of centers of excel-
lence in clinical immunization safety assessment that
provides for outreach, education, and confidential
consultative and direct patient care services for vac-
cine related adverse events prevention, diagnosis,
treatment and follow-up with respect to members of
the armed services.
‘‘(ii) Such centers shall provide expert second
opinions for such members regarding medical exemp-
tions under this section and for additional care that
is not available at the local medical facilities of such
members.
‘‘(B) Develop standardized educational outreach
activities to support the initial and ongoing provision
of training and education for providers and nursing
personnel who are engaged in delivering immuniza-
tion services to the members of the armed forces.
‘‘(C) Develop a program for quality improve-
ment in the submission and understanding of data
that is provided to the Vaccine-related Adverse Events
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Reporting System, particularly among providers and
members of the armed forces.
‘‘(D) Develop and standardize a quality im-
provement program for the Department of Defense re-
lating to immunization services.
‘‘(E) Develop an effective network system, with
appropriate internal and external collaborative ef-
forts, to facilitate integration, educational outreach,
research, and clinical management of adverse vaccine
events.
‘‘(F) Provide education and advocacy for vaccine
recipients to include access to vaccine safety pro-
grams, medical exemptions, and quality treatment.
‘‘(G) Support clinical studies with respect to the
safety and efficacy of vaccines, including outcomes
studies on the implementation of recommendations
contained in the clinical guidelines for vaccine-related
adverse events.
‘‘(H) Develop implementation recommendations
for vaccine exemptions or alternative vaccine strate-
gies for members of the armed forces who have had
prior, or who are susceptible to, serious adverse
events, including those with genetic risk factors, and
the discovery of treatments for adverse events that are
most effective.
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‘‘(4) It is the sense of the Senate—
‘‘(A) to recognize the important work being done
by the Vaccine Healthcare Center Network for the
members of the armed forces; and
‘‘(B) that each of the military departments (as
defined in section 102 of title 5, United States Code)
is strongly encouraged to fund the Vaccine Healthcare
Center Network.’’.
SEC. 721. USE OF DEPARTMENT OF DEFENSE FUNDS FOR
ABORTIONS IN CASES OF RAPE AND INCEST.
Section 1093(a) of title 10, United States Code, is
amended by inserting before the period at the end the fol-
lowing: ‘‘ or in a case in which the pregnancy is the result
of an act of rape or incest’’.
TITLE VIII—ACQUISITION POL-
ICY, ACQUISITION MANAGE-
MENT, AND RELATED MAT-
TERS
Subtitle A—Acquisition Policy and
Management
SEC. 801. RESPONSIBILITIES OF ACQUISITION EXECUTIVES
AND CHIEF INFORMATION OFFICERS UNDER
THE CLINGER-COHEN ACT.
(a) ACQUISITIONS
OF INFORMATION TECHNOLOGY
EQUIPMENT INTEGRAL TO A WEAPON OR WEAPON SYS-
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TEM.—(1) Chapter 131 of title 10, United States Code, is
amended by inserting after section 2223 the following:
‘‘§ 2223a. Acquisition 
of 
information 
technology
equipment integral to a weapon or a
weapon system
‘‘(a) RESPONSIBILITIES
OF
ACQUISITION
EXECU-
TIVES.—The acquisition executive of each military depart-
ment shall be responsible for ensuring that, with regard to
a weapon or weapon system acquired or to be acquired by
or for that military department—
‘‘(1) the acquisition of information technology
equipment that is integral to the weapon or a weapon
system is conducted in a manner that is consistent
with the capital planning, investment control, and
performance and results-based management processes
and requirements provided under sections 11302,
11303, 11312, and 11313 of title 40, to the extent that
such processes requirements are applicable to the ac-
quisition of such equipment;
‘‘(2) issues of spectrum availability, interoper-
ability, and information security are appropriately
addressed in the development of the weapon or weap-
on system; and
‘‘(3) in the case of information technology equip-
ment that is to be incorporated into a weapon or a
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weapon system under a major defense acquisition
program, the information technology equipment is in-
corporated in a manner that is consistent with—
‘‘(A) the planned approach to applying cer-
tain provisions of law to major defense acquisi-
tion programs following the evolutionary acqui-
sition process that the Secretary of Defense re-
ported to Congress under section 802 of the Bob
Stump National Defense Authorization Act for
Fiscal Year 2003 (Public Law 107–314; 116
Stat. 2602);
‘‘(B) the acquisition policies that apply to
spiral development programs under section 803
of such Act (116 Stat. 2603; 10 U.S.C. 2430
note); and
‘‘(C) the software acquisition processes of
the military department or Defense Agency con-
cerned under section 804 of such Act (116 Stat.
2604; 10 U.S.C. 2430 note).
‘‘(b) BOARD OF SENIOR ACQUISITION OFFICIALS.—(1)
The Secretary of Defense shall establish a board of senior
acquisition officials to develop policy and provide oversight
on the implementation of the requirements of this section
and chapter 113 of title 40 in procurements of information
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technology equipment that is integral to a weapon or a
weapon system.
‘‘(2) The board shall be composed of the following offi-
cials:
‘‘(A) The Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics, who shall be the
Chairman.
‘‘(B) The acquisition executives of the military
departments.
‘‘(C) The Chief Information Officer of the De-
partment of Defense.
‘‘(3) Any question regarding whether information tech-
nology equipment is integral to a weapon or weapon system
shall be resolved by the board in accordance with policies
established by the board.
‘‘(c) INAPPLICABILITY
OF OTHER LAWS.—The fol-
lowing provisions of law do not apply to information tech-
nology equipment that is integral to a weapon or a weapon
system:
‘‘(1) Section 11315 of title 40.
‘‘(2) The policies and procedures established
under section 11316 of title 40.
‘‘(3) Subsections (d) and (e) of section 811 of the
Floyd D. Spence National Defense Authorization Act
for Fiscal Year 2001 (as enacted into law by Public
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Law 106–398; 114 Stat. 1654A–211), and the re-
quirements and prohibitions that are imposed by De-
partment of Defense Directive 5000.1 pursuant to
subsections (b) and (c) of such section.
‘‘(4) Section 351 of the Bob Stump National De-
fense Authorization Act for Fiscal Year 2003 (Public
Law 107–314; 116 Stat. 2516; 10 U.S.C. 221 note).
‘‘(d) DEFINITIONS.—In this section:
‘‘(1) The term ‘acquisition executive’, with re-
spect to a military department, means the official
who is designated as the senior procurement executive
of the military department under section 16(3) of the
Office of Federal Procurement Policy Act (41 U.S.C.
414(3)).
‘‘(2) The term ‘information technology’ has the
meaning given such term in section 11101 of title 40.
‘‘(3) The term ‘major defense acquisition pro-
gram’ has the meaning given such term in section
2430 of this title.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
2223 the following new item:
‘‘2223a. Acquisition of information technology equipment integral to a weapon or
a weapon system.’’.
(b) CONFORMING AMENDMENTS.—Section 2223 of such
title is amended—
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(1) by redesignating subsection (c) as subsection
(d); and
(2) by inserting after subsection (b) the following
new subsection (c):
‘‘(c) EQUIPMENT INTEGRAL TO A WEAPON OR WEAPON
SYSTEM.—(1) In the case of information technology equip-
ment that is integral to a weapon or weapon system ac-
quired or to be acquired by or for a military department,
the responsibilities under this section shall be performed by
the acquisition executive of that military department pur-
suant to the guidance and oversight of the board of senior
acquisition officials established under section 2223a(b) of
this title.
‘‘(2) In this subsection, the term ‘acquisition executive’
has the meaning given said term in section 2223a(d) of this
title.’’.
SEC. 802. SOFTWARE-RELATED PROGRAM COSTS UNDER
MAJOR DEFENSE ACQUISITION PROGRAMS.
(a) CONTENT OF QUARTERLY UNIT COST REPORT.—
Subsection (b) of section 2433 of title 10, United States
Code, is amended by adding at the end the following new
paragraph:
‘‘(5) Any significant changes in the total pro-
gram cost for development and procurement of the
software component of the program, schedule mile-
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stones for the software component of the program, or
expected performance for the software component of
the program that are known, expected, or anticipated
by the program manager.’’.
(b) CONTENT OF SELECTED ACQUISITION REPORT.—
(1) Subsection (g)(1) of such section is amended by adding
at the end the following new subparagraph:
‘‘(Q) In any case in which one or more problems
with the software component of the program signifi-
cantly contributed to the increase in program unit
costs, the action taken and proposed to be taken to
solve such problems.’’.
(2) Section 2432(e) of title 10, United States Code, is
amended—
(A) by redesignating paragraphs (7), (8), and
(9), as paragraphs (8), (9) and (10), respectively; and
(B) by inserting after paragraph (6) the fol-
lowing new paragraph (7):
‘‘(7) The reasons for any significant changes
(from the previous Selected Acquisition Report) in the
total program cost for development and procurement
of the software component of the program, schedule
milestones for the software component of the program,
or expected performance for the software component of
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the program that are known, expected, or anticipated
by the program manager.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2004, and shall apply
with respect to reports due to be submitted to Congress on
or after such date.
SEC. 803. INTERNAL CONTROLS FOR DEPARTMENT OF DE-
FENSE PURCHASES THROUGH GSA CLIENT
SUPPORT CENTERS.
(a) LIMITATION.—No official of the Department of De-
fense may place an order for, make a purchase of, or other-
wise procure property or services in an amount in excess
of $100,000 through any particular GSA Client Support
Center until the Inspector General of the Department of De-
fense has, after the date of the enactment of this Act—
(1) reviewed the policies, procedures, and inter-
nal controls of such Client Support Center in con-
sultation with the Inspector General of the General
Services Administration; and
(2) certified in writing to the Secretary of De-
fense and the Administrator of General Services that
such policies, procedures, and internal controls are
adequate to ensure the compliance of such Client Sup-
port Center with the requirements of law and regula-
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tions that are applicable to orders, purchases, and
other procurements of property and services.
(b) GSA CLIENT SUPPORT CENTER DEFINED.—In
this section, the term ‘‘GSA Client Support Center’’ means
a Client Support Center of the Federal Technology Service
of the General Services Administration.
(c) EFFECTIVE DATE AND APPLICABILITY.—This sec-
tion shall take effect on the date of the enactment of this
Act and shall apply with respect to orders, purchases, and
other procurements that are initiated by the Department
of Defense with a GSA Client Support Center on or after
such date.
SEC. 804. DEFENSE COMMERCIAL SATELLITE SERVICES
PROCUREMENT PROCESS.
(a) REQUIREMENT FOR DETERMINATION.—The Sec-
retary of Defense shall review alternative mechanisms for
procuring commercial satellite services and provide guid-
ance to the Director of the Defense Information Systems
Agency and the Secretaries of the military departments on
how such procurements should be conducted. The alternative
procurement mechanisms reviewed by the Secretary of De-
fense shall, at a minimum, include the following:
(1) Procurement under indefinite delivery, in-
definite quantity contracts of the Federal Technology
Service of the General Services Administration.
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(2) 
Procurement 
directly 
from 
commercial
sources that are qualified as described in subsection
(b), using full and open competition (as defined in
section 4(6) of the Office of Federal Procurement Pol-
icy Act (41 U.S.C. 403(6))).
(3) Procurement by any other means that has
been used by the Director of the Defense Information
Systems Agency or the Secretary of a military de-
partment to enter into a contract for the procurement
of commercial satellite services that is in force on the
date of the enactment of this Act.
(b) QUALIFIED SOURCES.—A source of commercial
satellite services referred to in paragraph (2) of subsection
(a) is a qualified source if the source is incorporated under
the laws of a State of the United States and is either—
(1) a source of commercial satellite services
under a Federal Technology Service contract for the
procurement of commercial satellite services described
in paragraph (1) of such subsection that is in force
on the date of the enactment of this Act; or
(2) a source of commercial satellite services that
meets qualification requirements (as defined in sec-
tion 2319 of title 10, United States Code, and estab-
lished in accordance with that section) to enter into
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a Federal Technology Service contract for the procure-
ment of commercial satellite services.
(c) REPORT.—Not later than April 30, 2005, the Sec-
retary of Defense shall submit to Congress a report setting
forth the conclusions resulting from the Secretary’s review
under subsection (a). The report shall include—
(1) the guidance provided under such subsection;
and
(2) a discussion of the rationale for that guid-
ance.
SEC. 805. REVISION AND EXTENSION OF AUTHORITY FOR
ADVISORY PANEL ON REVIEW OF GOVERN-
MENT PROCUREMENT LAWS AND REGULA-
TIONS.
(a) RELATIONSHIP OF RECOMMENDATIONS TO SMALL
BUSINESSES.—Section 1423 of the National Defense Au-
thorization Act for Fiscal Year 2004 (Public Law 106–136;
117 Stat. 1669; 41 U.S.C. 405 note) is amended—
(1) by redesignating subsection (d) as subsection
(e); and
(2) by inserting after subsection (c) the following
new subsection (d):
‘‘(d) ISSUES RELATING TO SMALL BUSINESSES.—In
developing recommendations under subsection (c)(2), the
panel shall—
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‘‘(1) consider the effects of its recommendations
on small business concerns; and
‘‘(2) include any recommended modifications of
laws, regulations, and policies that the panel con-
siders necessary to enhance and ensure competition in
contracting that affords small business concerns
meaningful opportunity to participate in Federal
Government contracts.’’.
(b) REVISION AND EXTENSION OF REPORTING RE-
QUIREMENT.—Section 1423(d) of the National Defense Au-
thorization Act for Fiscal Year 2004 (Public Law 108–136;
117 Stat. 1669; 41 U.S.C. 405 note) is amended—
(1) by striking ‘‘one year after the establishment
of the panel’’ and inserting ‘‘one year after the date
of the enactment of the National Defense Authoriza-
tion Act for Fiscal Year 2005’’;
(2) by striking ‘‘Services and’’ both places it ap-
pears and inserting ‘‘Services,’’;
(3) by inserting ‘‘, and Small Business’’ after
‘‘Government Reform’’; and
(4) by inserting ‘‘, and Small Business and En-
trepreneurship’’ after ‘‘Governmental Affairs’’.
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Subtitle 
B—General 
Contracting
Authorities, 
Procedures, 
and
Limitations, and Other Matters
SEC. 811. INCREASED THRESHOLDS FOR APPLICABILITY OF
CERTAIN REQUIREMENTS.
(a) SENIOR PROCUREMENT EXECUTIVE APPROVAL OF
USE OF PROCEDURES OTHER THAN COMPETITIVE PROCE-
DURES.—Section 2304(f)(1)(B) of title 10, United States
Code, is amended by striking ‘‘$50,000,000’’ both places it
appears and inserting ‘‘$75,000,000’’.
(b) INFORMATION ON SUBCONTRACTING AUTHORITY
OF DEFENSE CONTRACTOR PERSONNEL.—Section 2416(d)
of such title is amended by striking ‘‘$500,000’’ and insert-
ing ‘‘$1,000,000’’.
SEC. 812. PERIOD FOR MULTIYEAR TASK AND DELIVERY
ORDER CONTRACTS.
(a) REVISED MAXIMUM PERIOD.—Section 2304a(f) of
title 10, United States Code, is amended by striking ‘‘a total
period of not more than five years.’’ and inserting ‘‘any
period up to five years and may extend the contract period
for one or more successive periods pursuant to an option
provided in the contract or a modification of the contract.
The total contract period as extended may not exceed eight
years unless such head of an agency personally determines
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in writing that exceptional circumstances necessitate a
longer contract period.’’.
(b) ANNUAL REPORT.—Not later than 60 days after
the end of each of fiscal years 2005 through 2009, the Sec-
retary of Defense shall submit to Congress a report setting
forth each extension of a contract period to a total of more
than eight years that was granted for task and delivery
order contracts of the Department of Defense during such
fiscal year under section 2304a(f) of title 10, United States
Code. The report shall include, with respect to each such
contract period extension—
(1) a discussion of the exceptional circumstances
on which the extension was based; and
(2) the justification for the determination of ex-
ceptional circumstances.
SEC. 813. SUBMISSION OF COST OR PRICING DATA ON NON-
COMMERCIAL MODIFICATIONS OF COMMER-
CIAL ITEMS.
(a) INAPPLICABILITY OF COMMERCIAL ITEMS EXCEP-
TION TO NONCOMMERCIAL MODIFICATIONS OF COMMERCIAL
ITEMS.—Subsection (b) of section 2306a of title 10, United
States Code, is amended by adding at the end the following
new paragraph:
‘‘(3) NONCOMMERCIAL MODIFICATIONS OF COM-
MERCIAL
ITEMS.—(A) The exception in paragraph
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(1)(B) does not apply to cost or pricing data on non-
commercial modifications of a commercial item that
are expected to cost, in the aggregate, more than
$500,000.
‘‘(B) In this paragraph, the term ‘noncommer-
cial modification’, with respect to a commercial item,
means a modification of such item that is not a
modification described in section 4(12)(C)(i) of the
Office of Federal Procurement Policy Act (41 U.S.C.
403(12)(C)(i)).
‘‘(C) Nothing in subparagraph (A) shall be
construed—
‘‘(i) to limit the applicability of the excep-
tion in subparagraph (A) or (C) of paragraph
(1) to cost or pricing data on a noncommercial
modification of a commercial item; or
‘‘(ii) to require the submission of cost or
pricing data on any aspect of an acquisition of
a commercial item other than the cost and pric-
ing of noncommercial modifications of such
item.’’.
(b) EFFECTIVE DATE
AND APPLICABILITY.—Para-
graph (3) of section 2306a of title 10, United States Code
(as added by subsection (a)), shall take effect on January
1, 2005, and shall apply with respect to offers submitted,
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and to modifications of contracts or subcontracts made, on
or after that date.
SEC. 814. DELEGATIONS OF AUTHORITY TO MAKE DETER-
MINATIONS RELATING TO PAYMENT OF DE-
FENSE CONTRACTORS FOR BUSINESS RE-
STRUCTURING COSTS.
Section 2325(a)(2) of title 10, United States Code, is
amended—
(1) by striking ‘‘paragraph (1) to an official’’
and all that follows and inserting ‘‘paragraph (1),
with respect to a business combination, to an official
of the Department of Defense—’’; and
(2) by adding at the end the following:
‘‘(A) below the level of an Assistant Secretary of
Defense for cases in which the amount of restruc-
turing costs is expected to exceed $25,000,000 over a
5-year period; or
‘‘(B) below the level of the Director of the Defense
Contract Management Agency for all other cases.’’.
SEC. 815. LIMITATION REGARDING SERVICE CHARGES IM-
POSED FOR DEFENSE PROCUREMENTS MADE
THROUGH CONTRACTS OF OTHER AGENCIES.
(a) LIMITATION.—(1) Chapter 141 of title 10, United
States Code, is amended by inserting after section 2382 the
following new section 2383:
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‘‘§ 2383. Procurements through contracts of other
agencies: service charges
‘‘(a) LIMITATION.—The head of an agency may not
procure goods or services (under section 1535 of title 31,
pursuant to a designation under section 11302(e) of title
40, or otherwise) through a contract entered into by an
agency outside the Department of Defense if the amount
charged such head of an agency by the contracting agency
for the goods or services includes a service charge in a total
amount that exceeds one percent of the amount charged by
the contractor for such goods or services under the contract.
‘‘(b) WAIVER AUTHORITY.—(1) The appropriate offi-
cial of the Department of Defense may waive the limitation
in subsection (a) in the case of any procurement for which
that official determines that it is in the national security
interests of the United States to do so.
‘‘(2) The appropriate official for exercise of the waiver
authority under paragraph (1) is as follows:
‘‘(A) In the case of a procurement by a Defense
Agency or Department of Defense Field Activity, the
Secretary of Defense.
‘‘(B) In the case of a procurement for a military
department, the Secretary of that military depart-
ment.
‘‘(3)(A) The Secretary of Defense may not delegate the
authority under paragraph (1) to any person other than
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the Deputy Secretary of Defense or the Under Secretary of
Defense for Acquisition, Technology, and Logistics.
‘‘(B) The Secretary of a military department may not
delegate the authority under paragraph (1) to any person
other than the acquisition executive of that military depart-
ment.
‘‘(c) INAPPLICABILITY TO CONTRACTS FOR CERTAIN
SERVICES.—This section does not apply to procurements of
the following services:
‘‘(1) Printing, binding, or blank-book work to
which section 502 of title 44 applies.
‘‘(2) Services available under programs pursuant
to section 103 of the Library of Congress Fiscal Oper-
ations Improvement Act of 2000 (Public Law 106–
481; 114 Stat. 2187; 2 U.S.C. 182c).
‘‘(d) 
INAPPLICABILITY
TO
COAST
GUARD
AND
NASA.—This section does not apply to the Coast Guard
when it is not operating as a service in the Navy or to
the National Aeronautics and Space Administration.
‘‘(e) DEFINITIONS.—In this section:
‘‘(1) The term ‘head of an agency’ has the mean-
ing given such term in section 2302 of this title.
‘‘(2) The term ‘acquisition executive’, with re-
spect to a military department, means the official
who is designated as the senior procurement executive
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of that military department under section 16(3) of the
Office of Federal Procurement Policy Act (41 U.S.C.
414(3)).’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
2382 the following new item:
‘‘2383. Procurements through contracts of other agencies: service charges.’’.
(b) EFFECTIVE DATE AND APPLICABILITY.—Section
2383 of title 10, United States Code, shall take effect on
October 1, 2004, and shall apply with respect to orders for
goods or services that are issued by the head of an agency
(as defined in section 2302 of such title) on or after such
date.
SEC. 816. SENSE OF THE SENATE ON EFFECTS OF COST IN-
FLATION ON THE VALUE RANGE OF THE CON-
TRACTS TO WHICH A SMALL BUSINESS CON-
TRACT RESERVATION APPLIES.
(a) SENSE OF THE SENATE.—It is the sense of the Sen-
ate that—
(1) in the administration of the requirement for
reservation of contracts for small businesses under
subsection (j) of section 15 of the Small Business Act
(15 U.S.C. 644), the maximum amount in the con-
tract value range provided under that subsection
should be treated as being adjusted to the same
amount to which the simplified acquisition threshold
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is increased whenever such threshold is increased
under law; and
(2) the Administrator for Federal Procurement
Policy, in consultation with the Federal Acquisition
Regulatory Council, should ensure that appropriate
governmentwide policies and procedures are in
place—
(A) to monitor socioeconomic data con-
cerning purchases made by means of purchase
cards or credit cards issued for use in trans-
actions on behalf of the Federal Government; and
(B) to encourage the placement of a fair
portion of such purchases with small businesses
consistent with governmentwide goals for small
business prime contracting established under sec-
tion 15(g) of the Small Business Act (15 U.S.C.
644(g)).
(b) 
SIMPLIFIED
ACQUISITION
THRESHOLD
DE-
FINED.—In this section, the term ‘‘simplified acquisition
threshold’’ has the meaning given such term in section 4(11)
of the Office of Federal Procurement Policy Act (41 U.S.C.
403(11)).
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Subtitle C—Extensions of
Temporary Program Authorities
SEC. 821. EXTENSION OF CONTRACT GOAL FOR SMALL DIS-
ADVANTAGED BUSINESS AND CERTAIN INSTI-
TUTIONS OF HIGHER EDUCATION.
Section 2323(k) of title 10, United States Code, is
amended by striking ‘‘2006’’ both places it appears and in-
serting ‘‘2009’’.
SEC. 822. EXTENSION OF MENTOR-PROTEGE PROGRAM.
Section 831 of the National Defense Authorization Act
for Fiscal Year 1991 (Public Law 101–510; 10 U.S.C. 2302
note) is amended—
(1) in subsection (j)—
(A) in paragraph (1), by striking ‘‘Sep-
tember 30, 2005’’ and inserting ‘‘September 30,
2010’’; and
(B) in paragraph (2), by striking ‘‘Sep-
tember 30, 2008’’ and inserting ‘‘September 30,
2013’’; and
(2) in subsection (l)(3), by striking ‘‘2007’’ and
inserting ‘‘2012’’.
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SEC. 823. EXTENSION OF TEST PROGRAM FOR NEGOTIA-
TION OF COMPREHENSIVE SMALL BUSINESS
SUBCONTRACTING PLANS.
Section 834(e) of the National Defense Authorization
Act for Fiscal Years 1990 and 1991 (Public Law 101–189;
15 U.S.C. 637 note) is amended by striking ‘‘September 30,
2005’’ and inserting ‘‘September 30, 2010’’.
SEC. 824. EXTENSION OF PILOT PROGRAM ON SALES OF
MANUFACTURED ARTICLES AND SERVICES OF
CERTAIN ARMY INDUSTRIAL FACILITIES.
Section 141(a) of the National Defense Authorization
Act for Fiscal Year 1998 (Public Law 105–85; 10 U.S.C.
4543 note) is amended by striking ‘‘through 2004’’ in the
first sentence and inserting ‘‘through 2009’’.
Subtitle D—Industrial Base Matters
SEC. 831. COMMISSION ON THE FUTURE OF THE NATIONAL
TECHNOLOGY AND INDUSTRIAL BASE.
(a) ESTABLISHMENT.—There is established a commis-
sion to be known as the Commission on the Future of the
National Technology and Industrial Base (hereafter in this
section referred to as the ‘‘Commission’’).
(b) MEMBERSHIP.—(1) The Commission shall be com-
posed of 12 members appointed by the President.
(2) The members of the Commission shall include—
(A) persons with extensive experience and na-
tional reputations for expertise in the defense indus-
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try, commercial industries that support the defense
industry, and the economics, finance, national secu-
rity, international trade, or foreign policy areas; and
(B) persons who are representative of labor orga-
nizations associated with the defense industry, and
persons who are representative of small business con-
cerns or organizations of small business concerns that
are involved in Department of Defense contracting
and other Federal Government contracting.
(3) The appointment of the members of the Commis-
sion under this subsection shall be made not later than
March 1, 2005.
(4) Members shall be appointed for the life of the Com-
mission. A vacancy in the Commission shall not affect its
powers, but shall be filled in the same manner in which
the original appointment was made.
(5) The President shall designate one member of the
Commission to serve as the Chairman of the Commission.
(c) MEETINGS.—(1) The Commission shall meet at the
call of the Chairman.
(2) A majority of the members of the Commission shall
constitute a quorum, but a lesser number may hold hear-
ings.
(d) DUTIES.—(1) The Commission shall—
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vide transformational breakthroughs in advanced
manufacturing technologies and processes that ensure
the strength and productivity of the national tech-
nology and industrial base.
(J) The role of small business concerns in
strengthening the national technology and industrial
base.
(e) REPORT.—Not later than March 1, 2007, the Com-
mission shall submit a report on its activities to the Presi-
dent and Congress. The report shall include the following
matters:
(1) The findings and conclusions of the Commis-
sion.
(2) The recommendations of the Commission for
actions by Federal Government officials to support
the maintenance of a robust national technology and
industrial base in the 21st century.
(3) The recommendations of the Commission for
addressing shortages in critical technologies, and
shortages of raw materials necessary for the produc-
tion of critical technologies, that could adversely affect
the national security of the United States.
(4) Any recommendations for legislation or
changes in regulations to support the implementation
of the findings of the Commission.
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(5) A discussion of appropriate measures to im-
plement the recommendations of the Commission.
(f) ADMINISTRATIVE REQUIREMENTS AND AUTHORI-
TIES.—(1) The Director of the Office of Management and
Budget shall ensure that the Commission is provided such
administrative services, facilities, staff, and other support
services as may be necessary for the Commission to carry
out its duties. Expenses of the Commission shall be paid
out of funds available to the Director.
(2) The Commission may hold such hearings, sit and
act at such times and places, take such testimony, and re-
ceive such evidence as the Commission considers advisable
to carry out the purposes of this section.
(3) The Commission may secure directly from any
Federal department or agency such information as the com-
mission considers necessary to carry out the provisions of
this section. Upon a request of the Chairman of the Com-
mission, the head of such department or agency shall fur-
nish such information to the Commission.
(4) The Commission may use the United States mails
in the same manner and under the same conditions as other
departments and agencies of the Federal Government.
(g) PERSONNEL MATTERS.—(1) Members of the Com-
mission shall serve without compensation for their service
on the Commission, except that each member of the Com-
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mission who is not an officer or employee of the United
States shall be allowed travel expenses, including per diem
in lieu of subsistence, at rates authorized for employees of
agencies under subchapter I of chapter 57 of title 5, United
States Code, while away from their homes or regular places
of business in the performance of services for the Commis-
sion.
(2) Section 3161 of title 5, United States Code, shall
apply to the Commission, except that—
(A) members of the Commission shall not be enti-
tled to pay for services under subsection (d) of such
section; and
(B) subsection (b)(2) of such section shall not
apply to the employees of the Commission.
(h) APPLICABILITY
OF FEDERAL ADVISORY COM-
MITTEE ACT.—The Federal Advisory Committee Act (5
U.S.C. App.) shall not apply to the Commission.
(i) TERMINATION.—The Commission shall terminate
30 days after the date on which the Commission submits
its report under subsection (e).
(j) DEFINITION OF NATIONAL TECHNOLOGY AND IN-
DUSTRIAL BASE.—In this section, the term ‘‘national tech-
nology and industrial base’’ has the meaning given such
term in section 2500 of title 10, United States Code.
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SEC. 832. WAIVER AUTHORITY FOR DOMESTIC SOURCE OR
CONTENT REQUIREMENTS.
(a) AUTHORITY.—Subchapter V of chapter 148 of title
10, United States Code, is amended by adding at the end
the following new section:
‘‘§ 2539c. Waiver of domestic source or content re-
quirements
‘‘(a) AUTHORITY.—Except as provided in subsection
(f), the Secretary of Defense may waive the application of
any domestic source requirement or domestic content re-
quirement referred to in subsection (b) and thereby author-
ize the procurement of items that are grown, reprocessed,
reused, produced, or manufactured—
‘‘(1) in a foreign country that has a Declaration
of Principles with the United States;
‘‘(2) in a foreign country that has a Declaration
of Principles with the United States substantially
from components and materials grown, reprocessed,
reused, produced, or manufactured in the United
States or any foreign country that has a Declaration
of Principles with the United States; or
‘‘(3) in the United States substantially from
components and materials grown, reprocessed, reused,
produced, or manufactured in the United States or
any foreign country that has a Declaration of Prin-
ciples with the United States.
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‘‘(b) COVERED REQUIREMENTS.—For purposes of this
section:
‘‘(1) A domestic source requirement is any re-
quirement under law that the Department of Defense
satisfy its requirements for an item by procuring an
item that is grown, reprocessed, reused, produced, or
manufactured in the United States or by a manufac-
turer that is a part of the national technology and in-
dustrial base (as defined in section 2500(1) of this
title).
‘‘(2) A domestic content requirement is any re-
quirement under law that the Department of Defense
satisfy its requirements for an item by procuring an
item produced or manufactured partly or wholly from
components and materials grown, reprocessed, reused,
produced, or manufactured in the United States.
‘‘(c) APPLICABILITY.—The authority of the Secretary
to waive the application of a domestic source or content
requirements under subsection (a) applies to the procure-
ment of items for which the Secretary of Defense determines
that—
‘‘(1) application of the requirement would im-
pede the reciprocal procurement of defense items
under a Declaration of Principles with the United
States; and
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‘‘(2) such country does not discriminate against
defense items produced in the United States to a
greater degree than the United States discriminates
against defense items produced in that country.
‘‘(d) LIMITATION ON DELEGATION.—The authority of
the Secretary to waive the application of domestic source
or content requirements under subsection (a) may not be
delegated to any officer or employee other than the Under
Secretary of Defense for Acquisition, Technology and Logis-
tics.
‘‘(e) CONSULTATIONS.—The Secretary may grant a
waiver of the application of a domestic source or content
requirement under subsection (a) only after consultation
with the United States Trade Representative, the Secretary
of Commerce, and the Secretary of State.
‘‘(f) LAWS NOT WAIVABLE.—The Secretary of Defense
may not exercise the authority under subsection (a) to
waive any domestic source or content requirement con-
tained in any of the following laws:
‘‘(1) The Small Business Act (15 U.S.C. 631 et
seq.).
‘‘(2) The Javits-Wagner-O’Day Act (41 U.S.C.
46 et seq.).
‘‘(3) Sections 7309 and 7310 of this title.
‘‘(4) Section 2533a of this title.
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‘‘(g) RELATIONSHIP
TO OTHER WAIVER AUTHOR-
ITY.—The authority under subsection (a) to waive a domes-
tic source requirement or domestic content requirement is
in addition to any other authority to waive such require-
ment.
‘‘(h) CONSTRUCTION WITH RESPECT TO LATER EN-
ACTED LAWS.—This section may not be construed as being
inapplicable to a domestic source requirement or domestic
content requirement that is set forth in a law enacted after
the enactment of this section solely on the basis of the later
enactment.
‘‘(i) DECLARATION OF PRINCIPLES.—(1) In this sec-
tion, the term ‘Declaration of Principles’ means a written
understanding (including any Statement of Principles) be-
tween the Department of Defense and its counterpart in a
foreign country signifying a cooperative relationship be-
tween the Department and its counterpart to standardize
or make interoperable defense equipment used by the armed
forces and the armed forces of the foreign country across
a broad spectrum of defense activities, including—
‘‘(A) harmonization of military requirements
and acquisition processes;
‘‘(B) security of supply;
‘‘(C) export procedures;
‘‘(D) security of information;
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‘‘(E) ownership and corporate governance;
‘‘(F) research and development;
‘‘(G) flow of technical information; and
‘‘(H) defense trade.
‘‘(2) A Declaration of Principles is underpinned by a
memorandum of understanding or other agreement pro-
viding for the reciprocal procurement of defense items be-
tween the United States and the foreign country concerned
without unfair discrimination in accordance with section
2531 of this title.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such subchapter is amended by inserting
after the item relating to section 2539b the following new
item:
‘‘2539c. Waiver of domestic source or content requirements.’’.
SEC. 833. CONSISTENCY WITH UNITED STATES OBLIGA-
TIONS UNDER TRADE AGREEMENTS.
No provision of this Act or any amendment made by
this Act shall apply to a procurement by or for the Depart-
ment of Defense to the extent that the Secretary of Defense,
in consultation with the Secretary of Commerce, the United
States Trade Representative, and the Secretary of State, de-
termines that it is inconsistent with United States obliga-
tions under a trade agreement.
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SEC. 834. REPEAL OF CERTAIN REQUIREMENTS AND LIMI-
TATIONS RELATING TO THE DEFENSE INDUS-
TRIAL BASE.
(a) ESSENTIAL ITEM IDENTIFICATION AND DOMESTIC
PRODUCTION CAPABILITIES IMPROVEMENT.—Sections 812,
813, and 814 of the National Defense Authorization Act for
Fiscal Year 2004 (Public Law 108–136; 117 Stat. 1542,
1543, 1545; 10 U.S.C. 2501 note) are repealed.
(b) ELIMINATION OF UNRELIABLE SOURCE FOR ITEMS
AND COMPONENTS.—Section 821 of such Act (117 Stat.
1546; 10 U.S.C. 2534 note) is repealed.
Subtitle E—Defense Acquisition
and Support Workforce
SEC. 841. LIMITATION AND REINVESTMENT AUTHORITY RE-
LATING TO REDUCTION OF THE DEFENSE AC-
QUISITION AND SUPPORT WORKFORCE.
(a) LIMITATION.—Notwithstanding any other provi-
sion of law, the defense acquisition and support workforce
may not be reduced, during fiscal years 2005, 2006, and
2007, below the level of that workforce as of September 30,
2003, determined on the basis of full-time employee equiva-
lence, except as may be necessary to strengthen the defense
acquisition and support workforce in higher priority posi-
tions in accordance with this section.
(b) INCREASE AND REALIGNMENT OF WORKFORCE.—
(1)(A) During fiscal years 2005, 2006, and 2007, the Sec-
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retary of Defense shall increase the number of persons em-
ployed in the defense acquisition and support workforce as
follows:
(i) During fiscal year 2005, to 105 percent of the
baseline number (as defined in subparagraph (B)).
(ii) During fiscal year 2006, to 110 percent of
the baseline number.
(iii) During fiscal year 2007, to 115 percent of
the baseline number.
(B) In this paragraph, the term ‘‘baseline number’’,
with respect to persons employed in the defense acquisition
and support workforce, means the number of persons em-
ployed in such workforce as of September 30, 2003 (deter-
mined on the basis of full-time employee equivalence).
(C) The Secretary of Defense may waive a requirement
in subparagraph (A) and, subject to subsection (a), employ
in the defense acquisition and support workforce a lesser
number of employees if the Secretary determines and cer-
tifies to the congressional defense committees that the cost
of increasing such workforce to the larger size as required
under that subparagraph would exceed the savings to be de-
rived from the additional oversight that would be achieved
by having a defense acquisition and support workforce of
such larger size.
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(2) During fiscal years 2005, 2006, and 2007, the Sec-
retary of Defense may realign any part of the defense acqui-
sition and support workforce to support reinvestment in
other, higher priority positions in such workforce.
(c) HIGHER PRIORITY POSITIONS.—For the purposes
of this section, higher priority positions in the defense ac-
quisition and support workforce include the following posi-
tions:
(1) Positions the responsibilities of which include
drafting performance-based work statements for serv-
ices contracts and overseeing the performance of con-
tracts awarded pursuant to such work statements.
(2) Positions the responsibilities of which include
conducting spending analyses, negotiating company-
wide pricing agreements, and taking other measures
to reduce contract costs.
(3) Positions the responsibilities of which include
reviewing contractor quality control systems, assess-
ing and analyzing quality deficiency reports, and
taking other measures to improve product quality.
(4) Positions the responsibilities of which include
effectively conducting public-private competitions in
accordance with Office of Management and Budget
Circular A–76.
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(5) Any other positions in the defense acquisition
and support workforce that the Secretary of Defense
identifies as being higher priority positions that are
staffed at levels not likely to ensure efficient and effec-
tive performance of all of the responsibilities of those
positions.
(d) STRATEGIC ASSESSMENT AND PLAN.—(1) The Sec-
retary of Defense shall—
(A) assess the extent to which the Department of
Defense can recruit, retain, train, and provide profes-
sional development opportunities for acquisition pro-
fessionals over the 10-fiscal year period beginning
with fiscal year 2005; and
(B) develop a human resources strategic plan for
the defense acquisition and support workforce that in-
cludes objectives and planned actions for improving
the management of such workforce.
(2) The Secretary shall submit to Congress, not later
than April 1, 2005, a report on the progress made in—
(A) completing the assessment required under
paragraph (1); and
(B) completing and implementing the strategic
plan required under such paragraph.
(e) DEFENSE ACQUISITION AND SUPPORT WORKFORCE
DEFINED.—In this section, the term ‘‘defense acquisition
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and support workforce’’ means members of the Armed
Forces and civilian personnel who are assigned to, or are
employed in, an organization of the Department of Defense
that has acquisition as its predominant mission, as deter-
mined by the Secretary of Defense.
SEC. 842. DEFENSE ACQUISITION WORKFORCE IMPROVE-
MENTS.
(a) SELECTION CRITERIA FOR ACQUISITION CORPS
AND FOR CRITICAL ACQUISITION POSITIONS.—(1) Section
1732(b)(1)(A) of title 10, United States Code, is amended
by striking ‘‘within grade GS–13 or above of’’ and inserting
‘‘for which the employee is being paid at a rate of basic
pay that equals or exceeds the minimum rate of basic pay
provided for grade GS–13 under’’.
(2) Section 1733(b)(1)(A)(i) of such title is amended
by striking ‘‘in a position within grade GS–14 or above
of the General Schedule, or’’ and inserting ‘‘who is cur-
rently serving in a position for which the employee is being
paid at a rate of basic pay that equals or exceeds the min-
imum rate of basic pay provided for grade GS–14 under
the General Schedule or is required to be filled by an em-
ployee who is’’.
(b) SCHOLARSHIP PROGRAM.—Section 1742 of such
title is amended—
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(1) 
by 
inserting 
‘‘(a) 
REQUIRED
PROGRAMS.—’’ before ‘‘The Secretary of Defense shall
conduct’’; and
(2) by adding at the end the following new sub-
section:
‘‘(b) SCHOLARSHIP PROGRAM REQUIREMENTS.—(1)
Each recipient of a scholarship under a program conducted
under subsection (a)(3) shall be required to sign a written
agreement that sets forth the terms and conditions of the
scholarship. The agreement shall include the following:
‘‘(A) Criteria for the recipient’s continued eligi-
bility for the scholarship.
‘‘(B) The terms of any requirement for the re-
cipient to reimburse the United States for educational
assistance provided under the scholarship upon—
‘‘(i) a failure by the recipient to satisfy the
criteria for continued eligibility for the scholar-
ship; or
‘‘(ii) a termination of the recipient’s service
in the Department of Defense before the end of
any period of obligated service provided in the
agreement, as described in paragraph (2).
‘‘(2) Subject to paragraph (3)(C), a recipient of a
scholarship under the program shall reimburse the United
States the total amount of educational assistance provided
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to the recipient under the program if the recipient is volun-
tarily separated from service or involuntarily separated for
cause from the Department of Defense before the end of any
period for which the recipient has agreed, as a condition
of the scholarship, to continue in the service of the Depart-
ment of Defense in an acquisition position.
‘‘(3)(A) If an employee fails to fulfill an agreement to
pay the Government any amount of educational assistance
provided to that person under the program, a sum equal
to such amount of the educational assistance is recoverable
by the Government from the employee or his estate by—
‘‘(i) setoff against accrued pay, compensation,
amount of retirement credit, or other amount due the
employee from the Government; and
‘‘(ii) such other method as is provided by law for
the recovery of amounts owing to the Government.
‘‘(B) An obligation to reimburse the United States
under an agreement entered into under this subsection is
for all purposes a debt owed to the United States.
‘‘(C) The Secretary of Defense may waive in whole or
in part a reimbursement required under this subsection or
under an agreement entered into under this subsection if
the Secretary determines that the recovery would be against
equity and good conscience or would be contrary to the best
interests of the United States.
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‘‘(D) A discharge in bankruptcy under title 11 that
is entered less than five years after the termination of an
agreement entered into under this subsection does not dis-
charge a person executing the agreement from a debt arising
under this subsection or such agreement.
‘‘(4) Nothing in this subsection shall be considered to
require that a position be offered to a recipient of a scholar-
ship under the program after such recipient successfully
completes the course of education for which the scholarship
is granted. However, the agreement entered into under this
subsection with respect to such scholarship shall be consid-
ered terminated if the recipient is not, within the time spec-
ified in the agreement, offered a full-time acquisition posi-
tion in the Department of Defense that—
‘‘(A) is commensurate with the recipient’s aca-
demic degree and experience; and
‘‘(B) is—
‘‘(i) in the excepted service, if the recipient
has not previously acquired competitive status,
with the right, after successful completion of two
years of service and such other requirements as
the Office of Personnel Management may pre-
scribe, to be appointed to a position in the com-
petitive service, notwithstanding subchapter I of
chapter 33 of title 5; or
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‘‘(ii) in the competitive service, if the recipi-
ent has previously acquired competitive status.’’.
(c) AUTHORITY TO ESTABLISH DIFFERENT MINIMUM
REQUIREMENTS.—(1) Section 1764(b) of such title is
amended—
(A) by redesignating paragraph (5) as para-
graph (6); and
(B) by inserting after paragraph (4) the fol-
lowing new paragraph (5):
‘‘(5) Deputy program manager.’’.
(2) Paragraph (1) of such section is amended by strik-
ing ‘‘in paragraph (5)’’ and inserting ‘‘in paragraph (6)’’.
Subtitle F—Public-Private
Competitions
SEC. 851. PUBLIC-PRIVATE COMPETITION FOR WORK PER-
FORMED BY CIVILIAN EMPLOYEES OF THE
DEPARTMENT OF DEFENSE.
(a) LIMITATION.—Section 2461(b) of title 10, United
States Code, is amended by adding at the end the following
new paragraph:
‘‘(5)(A) Notwithstanding subsection (d), a function of
the Department of Defense performed by 10 or more civilian
employees may not be converted, in whole or in part, to
performance by a contractor unless the conversion is based
on the results of a public-private competition process that—
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‘‘(i) formally compares the cost of civilian em-
ployee performance of that function with the costs of
performance by a contractor;
‘‘(ii) creates an agency tender, including a most
efficient organization plan, in accordance with Office
of Management and Budget Circular A–76, as imple-
mented on May 29, 2003;
‘‘(iii) requires continued performance of the
function by civilian employees unless the competitive
sourcing official concerned determines that, over all
performance periods stated in the solicitation of offers
for performance of the activity or function, the cost of
performance of the activity or function by a con-
tractor would be less costly to the Department of De-
fense by an amount that equals or exceeds the lesser
of $10,000,000 or 10 percent of the most efficient or-
ganization’s personnel-related costs for performance of
that activity or function by Federal employees; and
‘‘(iv) ensures that the public sector bid would not
be disadvantaged in the cost comparison process by a
proposal of an offeror to reduce costs for the Depart-
ment of Defense by not making an employer-spon-
sored health insurance plan available to the workers
who are to be employed in the performance of such
function under a contract or by offering to such work-
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ers an employer-sponsored health benefits plan that
requires the employer to contribute less towards the
premium or subscription share than that which is
paid by the Department of Defense for health benefits
for civilian employees under chapter 89 of title 5.
‘‘(B) Any function that is performed by civilian em-
ployees of the Department of Defense and is proposed to
be reengineered, reorganized, modernized, upgraded, ex-
panded, or changed in order to become more efficient shall
not be considered a new requirement for the purpose of the
competition requirements in subparagraph (A) or the re-
quirements for public-private competition in Office of Man-
agement and Budget Circular A–76.
‘‘(C) A function performed by more than 10 Federal
Government employees may not be separated into separate
functions for the purposes of avoiding the competition re-
quirement in subparagraph (A) or the requirements for
public-private competition in Office of Management and
Budget Circular A–76.
‘‘(D) The Secretary of Defense may waive the require-
ment for a public-private competition under subparagraph
(A) in specific instances if—
‘‘(i) the written waiver is prepared by the Sec-
retary of Defense or the relevant Assistant Secretary
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of Defense, Secretary of a military department, or
head of a Defense Agency;
‘‘(ii) the written waiver is accompanied by a de-
tailed determination that national security interests
are so compelling as to preclude compliance with the
requirement for a public-private competition; and
‘‘(iii) a copy of the waiver is published in the
Federal Register within 10 working days after the
date on which the waiver is granted, although use of
the waiver need not be delayed until its publication.’’.
(b) INAPPLICABILITY TO BEST-VALUE SOURCE SELEC-
TION PILOT PROGRAM.—(1) Paragraph (5) of section
2461(b) of title 10, United States Code, as added by sub-
section (a), shall not apply with respect to the pilot pro-
gram for best-value source selection for performance of in-
formation technology services authorized by section 336 of
the National Defense Authorization Act for Fiscal Year
2004 (Public Law 108–136; 117 Stat. 1444; 10 U.S.C. 2461
note).
SEC. 852. PERFORMANCE OF CERTAIN WORK BY FEDERAL
GOVERNMENT EMPLOYEES.
(a) GUIDELINES.—(1) The Secretary of Defense shall
prescribe guidelines and procedures for ensuring that con-
sideration is given to using Federal Government employees
on a regular basis for work that is performed under Depart-
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ment of Defense contracts and could be performed by Fed-
eral Government employees.
(2) The guidelines and procedures prescribed under
paragraph (1) shall provide for special consideration to be
given to contracts that—
(A) have been performed by Federal Government
employees at any time on or after October 1, 1980;
(B) are associated with the performance of inher-
ently governmental functions;
(C) were not awarded on a competitive basis; or
(D) have been determined by a contracting offi-
cer to be poorly performed due to excessive costs or in-
ferior quality.
(b) NEW REQUIREMENTS.—(1) No public-private com-
petition may be required under Office of Management and
Budget Circular A–76 or any other provision of law or reg-
ulation before the performance of a new requirement by
Federal Government employees commences, the performance
by Federal Government employees of work pursuant to sub-
section (a) commences, or the scope of an existing activity
performed by Federal Government employees is expanded.
Office of Management and Budget Circular A–76 shall be
revised to ensure that the heads of all Federal agencies give
fair consideration to the performance of new requirements
by Federal Government employees.
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(2) The Secretary of Defense shall, to the maximum
extent practicable, ensure that Federal Government employ-
ees are fairly considered for the performance of new require-
ments, with special consideration given to new requirements
that include functions that—
(A) are similar to functions that have been per-
formed by Federal Government employees at any time
on or after October 1, 1980; or
(B) are associated with the performance of inher-
ently governmental functions.
(c) USE OF FLEXIBLE HIRING AUTHORITY.—The Sec-
retary shall include the use of the flexible hiring authority
available through the National Security Personnel System
in order to facilitate performance by Federal Government
employees of new requirements and work that is performed
under Department of Defense contracts.
(d) INSPECTOR GENERAL REPORT.—Not later than
180 days after the enactment of this Act, the Inspector Gen-
eral of the Department of Defense shall submit to the Com-
mittees on Armed Services of the Senate and the House of
Representatives a report on the compliance of the Secretary
of Defense with the requirements of this section.
(e) DEFINITIONS.—In this section:
(1) The term ‘‘National Security Personnel Sys-
tem’’ means the human resources management system
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established under the authority of section 9902 of title
5, United States Code.
(2) The term ‘‘inherently governmental function’’
has the meaning given that term in section 5 of the
Federal Activities Inventory Reform Act of 1998
(Public Law 105–270; 112 Stat. 2384; 31 U.S.C. 501
note).
SEC. 853. COMPETITIVE SOURCING REPORTING REQUIRE-
MENT.
Not later than February 1, 2005, the Inspector General
of the Department of Defense shall submit to Congress a
report addressing whether the Department of Defense—
(1) employs a sufficient number of adequately
trained civilian employees—
(A) to conduct satisfactorily, taking into ac-
count equity, efficiency and expeditiousness, all
of the public-private competitions that are sched-
uled to be undertaken by the Department of De-
fense during the next fiscal year (including a
sufficient number of employees to formulate sat-
isfactorily the performance work statements and
most efficient organization plans for the pur-
poses of such competitions); and
(B) to administer any resulting contracts;
and
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(2) has implemented a comprehensive and reli-
able system to track and assess the cost and quality
of the performance of functions of the Department of
Defense by service contractors.
Subtitle G—Other Matters
SEC. 861. INAPPLICABILITY OF CERTAIN FISCAL LAWS TO
SETTLEMENTS UNDER SPECIAL TEMPORARY
CONTRACT CLOSEOUT AUTHORITY.
Section 804(a) of the National Defense Authorization
Act for Fiscal Year 2004 (Public Law 108–136; 117 Stat.
1541) is amended—
(1) by inserting ‘‘(1)’’ after ‘‘(a) AUTHOR-
ITY.—’’; and
(2) by adding at the end the following new para-
graph:
‘‘(2) Under regulations which the Secretary of Defense
may prescribe, a settlement of a financial account for a con-
tract for the procurement of property or services under
paragraph (1) may be made without regard to—
‘‘(A) section 1301 of title 31, United States Code;
and
‘‘(B) any other provision of law that would pre-
clude the Secretary from charging payments under
the contract—
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‘‘(i) to an unobligated balance in an appro-
priation available for funding that contract; or
‘‘(ii) if and to the extent that the unobli-
gated balance (if any) in such appropriation is
insufficient for funding such payments, to any
current appropriation that is available to the
Department of Defense for funding contracts for
the procurement of the same or similar property
or services.’’.
SEC. 862. DEMONSTRATION PROGRAM ON EXPANDED USE
OF RESERVES TO PERFORM DEVELOPMENTAL
TESTING, NEW EQUIPMENT TRAINING, AND
RELATED ACTIVITIES.
(a) REQUIREMENT FOR PROGRAM.—The Secretary of
the Army shall carry out a demonstration program on use
of members of reserve components of the Armed Forces to
perform test, evaluation, and related activities for an acqui-
sition program. The Secretary shall design and carry out
the demonstration program to achieve the purposes set forth
in subsection (b).
(b) PURPOSES.—The purposes of the demonstration
program are as follows:
(1) To determine whether cost savings and other
benefits result from use of members of reserve compo-
nents of the Armed Forces instead of contractor per-
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sonnel to perform test and evaluation activities for an
acquisition program and related acquisition, logistics,
and new equipment training activities for the acqui-
sition program.
(2) To evaluate the advisability of using appro-
priations available for multiyear research, develop-
ment, test, and evaluation and appropriations avail-
able for multiyear procurements to reimburse reserve
components for the pay, allowances, and other ex-
penses paid to or for Reserves used for the acquisition
program as described in paragraph (1).
(c) REIMBURSEMENT OF PERSONNEL ACCOUNTS OUT
OF PROCUREMENT AND RDT&E ACCOUNTS.—(1) The Sec-
retary of the Army may transfer from funds available to
the Army for an acquisition program to a reserve compo-
nent military personnel account the amount necessary to
reimburse that account for costs charged to that account for
military pay and allowances in connection with the use of
reserve component personnel for such acquisition program
under this section.
(2) Not more than $10,000,000 may be transferred
under this subsection during any fiscal year of the dem-
onstration program.
(3) Funds transferred to an account under this sub-
section shall be merged with other sums in the account and
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shall be available for the same period and purposes as the
sums with which merged.
(4) The transfer authority under this subsection is in
addition to any other transfer authority provided in this
or any other Act.
(d) NONWAIVER OF PERSONNEL AND TRAINING POLI-
CIES AND PROCEDURES.—Nothing in this section may be
construed to authorize any deviation from established per-
sonnel or training policies or procedures that are applicable
to the reserve components of the personnel used under the
demonstration program.
(e) TERMINATION.—The demonstration program under
this section shall terminate on September 30, 2009.
SEC. 863. APPLICABILITY OF COMPETITION EXCEPTIONS TO
ELIGIBILITY OF NATIONAL GUARD FOR FI-
NANCIAL ASSISTANCE FOR PERFORMANCE OF
ADDITIONAL DUTIES.
Section 113(b)(1)(B) of title 32, United States Code,
is amended by inserting before the period at the end the
following: ‘‘, subject to the exceptions provided in section
2304(c) of title 10’’.
SEC. 864. MANAGEMENT PLAN FOR CONTRACTOR SECURITY
PERSONNEL.
(a) REQUIREMENT FOR PLAN.—Not later than 90 days
after the date of the enactment of this Act, the Secretary
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of Defense shall submit to the congressional defense commit-
tees, the Select Committee on Intelligence of the Senate, and
the Permanent Select Committee on Intelligence of the
House of Representatives a plan for the management and
oversight of contractor security personnel by Federal Gov-
ernment personnel in areas where the Armed Forces are en-
gaged in military operations. In the preparation of such
plan, the Secretary shall coordinate, as appropriate, with
the heads of other departments and agencies of the Federal
Government that would be affected by the implementation
of the plan.
(b) POLICIES AND PROCEDURES.—The plan under this
section shall set forth policies and procedures applicable to
contractor security personnel in potentially hazardous
areas of military operations. The policies and procedures
shall address the following matters:
(1) Warning contractor security personnel of po-
tentially hazardous situations.
(2) Coordinating the movement of contractor se-
curity personnel, especially through areas of increased
risk or planned or ongoing military operations.
(3) Rapidly identifying contractor security per-
sonnel by members of the Armed Forces.
(4) Sharing relevant threat information with
contractor security personnel, and receiving informa-
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tion gathered by contractor security personnel for use
by United States and coalition forces.
(5) Providing appropriate assistance to con-
tractor security personnel who become engaged in hos-
tile situations.
(6) Providing medical assistance for, and evacu-
ation of, contractor personnel who become casualties
as a result of enemy actions.
(7) Investigating background and qualifications
of contractor security personnel and organizations.
(8) Establishing rules of engagement for armed
contractor security personnel, and ensuring proper
training and compliance with the rules of engage-
ment.
(c) OPTIONS FOR ENHANCED AND COST-EFFECTIVE
CONTRACTOR SECURITY.—The plan under subsection (a)
shall include assessed options for enhancing contractor secu-
rity and reducing contractor security costs in Iraq or in
locations of armed conflict in the future. The options cov-
ered shall include the following:
(1) Temporary commissioning of contractor secu-
rity personnel as reserve component officers in order
to subject such personnel to the military chain of com-
mand.
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(2) Requiring contractor security personnel to
obtain security clearances to facilitate the commu-
nication of critical threat information.
(3) Establishing a contract schedule for compa-
nies furnishing contractor security personnel to pro-
vide a more orderly process for the selection, training,
and compensation of such personnel.
(4) Establishing a contract schedule for compa-
nies to provide more cost-effective insurance for con-
tractor security personnel.
(5) Providing for United States indemnification
of contractors to reduce the costs of insuring con-
tractor security personnel.
SEC. 865. REPORT ON CONTRACTOR PERFORMANCE OF SE-
CURITY, INTELLIGENCE, LAW ENFORCEMENT,
AND CRIMINAL JUSTICE FUNCTIONS IN IRAQ.
(a) REPORT REQUIRED.—Not later than 60 days after
the date of the enactment of this Act, the Secretary of De-
fense shall submit to the congressional defense committees
a report on the procurement of services, by an agency of
the United States Government or by the Coalition Provi-
sional Authority, for the performance of security, intel-
ligence, law enforcement, and criminal justice functions in
Iraq.
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(b) CONTENT.—The report under subsection (a) shall
include, at a minimum, the following:
(1) Each security, intelligence, law enforcement,
or criminal justice function performed by a con-
tractor in Iraq.
(2) For each such function—
(A) a determination of whether such func-
tion is an inherently governmental function, to-
gether with a discussion of the factual basis and
rationale for that determination;
(B) an explanation of the basis for the deci-
sion to rely on a contractor to perform such
function, including a discussion of the extent to
which the Armed Forces lacked the expertise or
manpower to perform that function using Armed
Forces personnel;
(C) a description of the chain of command
for the contractor performing such function, to-
gether with a discussion of the manner in which
the United States Government or the Coalition
Provisional Authority supervises and directs the
contractor’s performance of that function; and
(D) what sanctions are available to impose
on any contractor employee who—
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(i) fails to comply with a requirement
of law or regulation that applies to such
employee in the performance of that func-
tion; or
(ii) engages in other misconduct in the
performance of that function.
(3) An explanation of the legal status of con-
tractor employees in the performance of such func-
tions after the administration of the sovereign powers
of Iraq is transferred from the Coalition Provisional
Authority to a government of Iraq on June 30, 2004.
(c) COORDINATION.—In the preparation of the report
under this section, the Secretary of Defense shall coordinate,
as appropriate, with the heads of any departments and
agencies of the Federal Government that are involved in the
procurement of services for the performance of functions de-
scribed in subsection (a).
(d) ADDITIONAL CONGRESSIONAL RECIPIENTS.—In
addition to submitting the report under this section to the
congressional defense committees, the Secretary of Defense
shall also submit the report to the Select Committee on In-
telligence of the Senate and the Permanent Select Com-
mittee on Intelligence of the House of Representatives.
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SEC. 866. ACCREDITATION STUDY OF COMMERCIAL OFF-
THE-SHELF PROCESSES FOR EVALUATING IN-
FORMATION TECHNOLOGY PRODUCTS AND
SERVICES.
(a) REQUIREMENT FOR STUDY.—The Secretary of De-
fense shall carry out a study of commercial off-the-shelf
processes that are available for measuring the quality of in-
formation technology and related services through assess-
ment of the production methods of the producers of the tech-
nology.
(b) PURPOSES.—The purposes of the study of commer-
cial off-the-shelf processes under subsection (a) are as fol-
lows:
(1) To assess the value of such a process as a
consistent methodology for identifying high quality
information technology and the engineering sources
capable of providing high quality information tech-
nology and related services.
(2) To determine whether to accredit such a
process for use in procurements of information tech-
nology and related services throughout the Depart-
ment of Defense.
(c) SAVINGS AND ENHANCEMENTS.—In carrying out
the study under subsection (a), the Secretary shall deter-
mine the benefits that would result for the Department of
Defense from use throughout the Department of Defense of
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a commercial off-the-shelf process described in that sub-
section to measure the quality of information technology
products and services in procurements described in sub-
section (b)(2), including—
(1) projected annual savings in costs of develop-
ment and maintenance of information technology;
and
(2) quantified enhancements of productivity,
schedule, performance, deficiency rates, and predict-
ability.
(d) BASELINE DATA.—To define a baseline for meas-
uring benefits under subsection (c), the Secretary shall use
empirical data that is readily available to the Department
of Defense and contractor sources.
(e) INFORMATION CONSIDERED.—The Secretary of De-
fense may consider projections of savings and quantifica-
tions of enhancements that are submitted by a contractor.
(f) INFORMATION TECHNOLOGY DEFINED.—In this
section, the term ‘‘information technology’’ has the meaning
given such term in section 11101(6) of title 40, United
States Code.
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SEC. 867. CONTRACTOR PERFORMANCE OF ACQUISITION
FUNCTIONS CLOSELY ASSOCIATED WITH IN-
HERENTLY GOVERNMENTAL FUNCTIONS.
(a) LIMITATION.—(1) Chapter 141 of title 10, United
States Code, is amended by inserting after section 2382 the
following new section:
‘‘§ 2383. Contractor performance of acquisition func-
tions closely associated with inherently
governmental functions
‘‘(a) LIMITATION.—The head of an agency may enter
a contract for the performance of acquisition functions
closely associated with inherently governmental functions
only if the Secretary determines that—
‘‘(1) appropriate military or civilian personnel
of the Department of Defense cannot reasonably be
made available to perform the functions;
‘‘(2) appropriate military or civilian personnel
of the Department of Defense are—
‘‘(A) to supervise contractor performance of
the contract; and
‘‘(B) to perform all inherently governmental
functions associated with the functions to be per-
formed under the contract; and
‘‘(3) the contractor does not have an organiza-
tional conflict of interest or the appearance of an or-
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ganizational conflict of interest in the performance of
the functions under the contract.
‘‘(b) DEFINITIONS.—In this section:
‘‘(1) The term ‘head of an agency’ has the mean-
ing given such term in section 2302(1) of this title,
except that such term does not include the Secretary
of Homeland Security or the Administrator of the
National Oceanic and Atmospheric Administration.
‘‘(2) The term ‘inherently governmental func-
tions’ has the meaning given such term in subpart 7.5
of part 7 of the Federal Acquisition Regulation.
‘‘(3) The term ‘functions closely associated with
inherently governmental functions’ means the func-
tions described in section 7.503(d) of the Federal Ac-
quisition Regulation.
‘‘(4) The term ‘organizational conflict of interest’
has the meaning given such term in subpart 9.5 of
part 9 of the Federal Acquisition Regulation.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
2382 the following new item:
‘‘2383. Contractor performance of acquisition functions closely associated with in-
herently governmental functions.’’.
(b) EFFECTIVE DATE AND APPLICABILITY.—Section
2383 of title 10, United States Code (as added by subsection
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(a)), shall take effect on the date of enactment of this Act
and shall apply to—
(1) contracts entered into on or after such date;
(2) any task or delivery order issued on or after
such date under a contract entered into before, on, or
after such date; and
(3) any decision on or after such date to exercise
an option or otherwise extend a contract for program
management or oversight of contracts for the recon-
struction of Iraq, regardless of whether such program
management or oversight contract was entered into
before, on, or after the date of enactment of this Act.
SEC. 868. CONTRACTING WITH EMPLOYERS OF PERSONS
WITH DISABILITIES.
(a) 
INAPPLICABILITY
OF
RANDOLPH-SHEPPARD
ACT.—The Randolph-Sheppard Act does not apply to any
contract described in subsection (b) for so long as the con-
tract is in effect, including for any period for which the
contract is extended pursuant to an option provided in the
contract.
(b) JAVITS-WAGNER-O’DAY CONTRACTS.—Subsection
(a) applies to any contract for the operation of a military
mess hall, military troop dining facility, or any similar
dining facility operated for the purpose of providing meals
to members of the Armed Forces that—
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(1) was entered into before the date of the enact-
ment of this Act with a nonprofit agency for the blind
or an agency for other severely handicapped in com-
pliance with section 3 of the Javits-Wagner-O’Day
Act (41 U.S.C. 48); and
(2) either—
(A) is in effect on such date; or
(B) was in effect on the date of the enact-
ment of the National Defense Authorization Act
for Fiscal Year 2004 (Public Law 108–136).
(c) REPEAL OF SUPERSEDED LAW.—Section 852 of
the National Defense Authorization Act for Fiscal Year
2004 (Public Law 108–136; 117 Stat. 1556) is repealed.
SEC. 869. ENERGY SAVINGS PERFORMANCE CONTRACTS.
The Secretary of Defense shall, to the extent prac-
ticable, exercise existing statutory authority, including the
authority provided by section 2865 of title 10, United States
Code, and section 8256 of title 42, United States Code, to
introduce life-cycle cost-effective upgrades to Federal assets
through shared energy savings contracting, demand man-
agement programs, and utility incentive programs.
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SEC. 870. AVAILABILITY OF FEDERAL SUPPLY SCHEDULE
SUPPLIES AND SERVICES TO UNITED SERV-
ICE ORGANIZATIONS, INCORPORATED.
Section 220107 of title 36, United States Code, is
amended by inserting after ‘‘Department of Defense’’ the
following: ‘‘, including access to General Services Adminis-
tration supplies and services through the Federal Supply
Schedule of the General Services Administration,’’.
SEC. 871. ACQUISITION OF AERIAL REFUELING AIRCRAFT
FOR THE AIR FORCE.
(a) 
COMPLIANCE
WITH
APPLICABLE
REQUIRE-
MENTS.—The Secretary of Defense shall ensure that the Sec-
retary of the Air Force does not proceed with the acquisition
of aerial refueling aircraft for the Air Force by lease or
other contract, either with full and open competition or
under section 135 of the National Defense Authorization Act
for Fiscal Year 2004 (Public Law 108–136; 117 Stat. 1413)
until the date that is 60 days after the date on which the
Secretary Defense has—
(1) reviewed all documentation for the acquisi-
tion, including—
(A) the completed aerial refueling analysis
of alternatives (AOA) required by section 134(b)
of the National Defense Authorization Act for
Fiscal Year 2004, pursuant to ‘‘Analysis of Al-
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ternatives (AoA) Guidance of KC–135 Recapital-
ization’’, dated February 24, 2004;
(B) the completed aerial refueling portion of
the Mobility Capabilities Study;
(C) a new validated capabilities document
in accordance with the applicable Chairman of
Joint Chiefs of Staff Instruction; and
(D) the approval of a Defense Acquisition
Board in accordance with Department of Defense
regulations; and
(2) submitted to the congressional defense com-
mittees a determination in writing that the acquisi-
tion is in compliance with all currently applicable
laws, Office of Management and Budget circulars,
and regulations.
(b) INDEPENDENT REVIEW.—Not later than 45 days
after the Secretary of Defense makes the determination de-
scribed in paragraph (2) of subsection (a), the Comptroller
General and the Inspector General of the Department of De-
fense shall each review the documentation referred to in
paragraph (1) of such subsection and submit to the congres-
sional defense committees a report on the extent to which
the acquisition is—
(1) in compliance with the requirements of this
section and all currently applicable laws, Office of
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Management and Budget circulars, and regulations;
and
(2) consistent with the analysis of alternatives
referred to in subparagraph (A) of subsection (a)(1)
and the other documentation referred to in such sub-
section.
(c) LIMITATION ON ACQUISITION BEYOND LOW-RATE
INITIAL PRODUCTION.—(1) The acquisition by lease or
other contract of any aerial refueling aircraft for the Air
Force beyond low-rate initial production shall be subject to,
and for such acquisition the Secretary of the Air Force shall
comply with, the requirements of sections 2366 and 2399
of title 10, United States Code.
(2) For the purposes of this subsection, the term ‘‘low-
rate initial production’’, with respect to a lease, shall have
the same meaning as applies in the administration of sec-
tions 2366 and 2399 of title 10, United States Code, with
regard to any other form of acquisition.
(d) SOURCE SELECTION FOR INTEGRATED SUPPORT
OF AERIAL REFUELING AIRCRAFT FLEET.—For the selec-
tion of a provider of integrated support for the aerial refuel-
ing aircraft fleet in any acquisition by lease or other con-
tract of aerial refueling aircraft for the Air Force, the Sec-
retary of the Air Force shall—
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(1) before selecting the provider, perform all
analyses required by law of—
(A) the costs and benefits of—
(i) the alternative of using Federal
Government personnel to provide such sup-
port; and
(ii) the alternative of using contractor
personnel to provide such support;
(B) the core logistics requirements;
(C) use of performance-based logistics; and
(D) the length of contract period; and
(2) select the provider on the basis of fairly con-
ducted full and open competition (as defined in sec-
tion 4(6) of the Office of Federal Procurement Policy
Act (41 U.S.C. 403(6))).
(e) PRICE INFORMATION.—Before the Secretary of the
Air Force commits to acquiring by lease or other contract
any aerial refueling aircraft for the Air Force, the Secretary
shall require the manufacturer to provide, with respect to
commercial items covered by the lease or contract, appro-
priate information on the prices at which the same or simi-
lar items have previously been sold that is adequate for eval-
uating the reasonableness of the price for the items.
(f) AUDIT SERVICES.—The Secretary of the Air Force
shall contact the Office of the Inspector General for the De-
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partment of Defense for review and approval of any Air
Force use of non-Federal audit services for any lease or
other contract for the acquisition of aerial refueling air-
craft.
TITLE IX—DEPARTMENT OF DE-
FENSE 
ORGANIZATION 
AND
MANAGEMENT
Subtitle A—Reserve Components
SEC. 901. MODIFICATION OF STATED PURPOSE OF THE RE-
SERVE COMPONENTS.
Section 10102 of title 10, United States Code, is
amended by striking ‘‘, during and after the period needed
to procure and train additional units and qualified persons
to achieve the planned mobilization,’’.
SEC. 902. COMMISSION ON THE NATIONAL GUARD AND RE-
SERVES.
(a) ESTABLISHMENT.—There is established a commis-
sion to be known as the ‘‘Commission on the National
Guard and Reserves’’ (hereafter in this section referred to
as the ‘‘Commission’’).
(b) COMPOSITION.—(1) The Commission shall be com-
posed of 13 members appointed as follows:
(A) Three members appointed by the chairman
of the Committee on Armed Services of the Senate.
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(B) Three members appointed by the chairman
of the Committee on Armed Services of the House of
Representatives.
(C) Two members appointed by the ranking mi-
nority member of the Committee on Armed Services
of the Senate.
(D) Two members appointed by the ranking mi-
nority member of the Committee on Armed Service of
the House of Representatives.
(E) Three members appointed by the Secretary
of Defense.
(2) The members of the Commission shall be appointed
from among persons who have knowledge and expertise in
the following areas:
(A) National security.
(B) Roles and missions of any of the Armed
Forces.
(C) The mission, operations, and organization of
the National Guard of the United States.
(D) The mission, operations, and organization of
the other reserve components of the Armed Forces.
(E) Military readiness of the Armed Forces.
(F) Personnel pay and other forms of compensa-
tion.
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(G) Other personnel benefits, including health
care.
(3) Members of the Commission shall be appointed for
the life of the Commission. A vacancy in the membership
of the Commission shall not affect the powers of the Com-
mission, but shall be filled in the same manner as the origi-
nal appointment.
(4) The Secretary of Defense shall designate a member
of the Commission to be chairman of the Commission.
(c) DUTIES.—(1) The Commission shall carry out a
study of the following matters:
(A) The roles and missions of the National
Guard and the other reserve components of the Armed
Forces.
(B) The compensation and other benefits, includ-
ing health care benefits, that are provided for mem-
bers of the reserve components under the laws of the
United States.
(2) In carrying out the study under paragraph (1),
the Commission shall—
(A) assess the current roles and missions of the
reserve components and identify appropriate poten-
tial future roles and missions for the reserve compo-
nents;
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(B) assess the capabilities of the reserve compo-
nents and determine how the units and personnel of
the reserve components may be best used to support
the military operations of the Armed Forces and the
achievement of national security objectives, including
homeland defense, of the United States;
(C) assess—
(i) the current organization and structure of
the National Guard and the other reserve compo-
nents; and
(ii) the plans of the Department of Defense
and the Armed Forces for future organization
and structure of the National Guard and the
other reserve components;
(D) assess the manner in which the National
Guard and the other reserve components are currently
organized and funded for training and identify an
organizational and funding structure for training
that best supports the achievement of training objec-
tives and operational readiness;
(E) assess the effectiveness of the policies and
programs of the National Guard and the other reserve
components for achieving operational readiness and
personnel readiness, including medical and personal
readiness;
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(F) assess—
(i) the adequacy and appropriateness of the
compensation and benefits currently provided for
the members of the National Guard and the other
reserve components, including the availability of
health care benefits and health insurance; and
(ii) the effects of proposed changes in com-
pensation and benefits on military careers in
both the regular and the reserve components of
the Armed Forces;
(G) identify various feasible options for improv-
ing the compensation and other benefits available to
the members of the National Guard and the members
of the other reserve components and assess—
(i) the cost-effectiveness of such options; and
(ii) the foreseeable effects of such options on
readiness, recruitment, and retention of per-
sonnel for careers in the regular and reserve com-
ponents the Armed Forces;
(H) assess the traditional military career paths
for members of the National Guard and the other re-
serve components and identify alternative career
paths that could enhance professional development;
and
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(I) assess the adequacy of the funding provided
for the National Guard and the other reserve compo-
nents for several previous fiscal years, including the
funding provided for National Guard and reserve
component equipment and the funding provided for
National Guard and other reserve component per-
sonnel in active duty military personnel accounts and
reserve military personnel accounts.
(d) FIRST MEETING.—The Commission shall hold its
first meeting not later than 30 days after the date on which
all members of the Commission have been appointed.
(e) ADMINISTRATIVE
AND PROCEDURAL AUTHORI-
TIES.—(1) Except as provided in paragraph (2), sections
955, 956, 957, 958, and 959 of the National Defense Author-
ization Act for Fiscal Year 1994 (Public Law 103–160; 107
Stat. 1740; 10 U.S.C 111 note) shall apply to the Commis-
sion.
(2)(A) The daily rate of pay payable under section
957(a) of Public Law 103–160 shall be equal to the daily
rate of basic pay prescribed for level IV of the Executive
Schedule.
(B) Section 957(f) of Public Law 103–160 (relating
to services of federally funded research and development
centers) shall not apply to the Commission.
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(3) The following provisions of law do not apply to
the Commission:
(A) Section 3161 of title 5, United States Code.
(B) The Federal Advisory Committee Act (5
U.S.C. App.).
(f) REPORTS.—(1) Not later than March 31, 2005, the
Commission shall submit to the Committees on Armed Serv-
ices of the Senate and the House of Representatives a report
setting forth—
(A) a strategic plan for the work of the Commis-
sion;
(B) a discussion of the activities of the Commis-
sion; and
(C) any initial findings of the Commission.
(2) Not later than December 31, 2005, the Commission
shall submit a final report to the Committees of Congress
referred to in paragraph (1). The final report shall include
any recommendations that the Commission determines ap-
propriate, including any recommended legislation, policies,
regulations, directives, and practices.
(g) TERMINATION.—The Commission shall terminate
90 days after the date on which the final report is submitted
under subsection (f)(2).
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(h) ANNUAL REVIEW BOARD.—(1)(A) Chapter 7 of
title 10, United States Code, is amended by adding at the
end the following new section:
‘‘§ 186. Reserve components: annual review
‘‘(a) INDEPENDENT REVIEW BOARD.—The Secretary
of Defense shall appoint a board to review the reserve com-
ponents of the armed forces.
‘‘(b) COMPOSITION
OF BOARD.—(1) The Secretary
shall appoint the members of the board from among persons
who have knowledge and expertise in the following areas:
‘‘(A) National security.
‘‘(B) Roles and missions of any of the armed
forces.
‘‘(C) The mission, operations, and organization
of any of the reserve components.
‘‘(D) Military readiness of the armed forces.
‘‘(E) Personnel pay and other forms of com-
pensation.
‘‘(F) Other personnel benefits, including health
care.
‘‘(2) The Secretary of Defense shall designate a member
of the board to be chairman of the board.
‘‘(c) DUTIES.—The board shall, on an annual basis—
‘‘(1) review—
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‘‘(A) the roles and missions of the reserve
components; and
‘‘(B) the compensation and other benefits,
including health care benefits, that are provided
for members of the reserve components under the
laws of the United States; and
‘‘(2) submit to the Secretary of Defense a report
on the review, which shall include the findings of the
board regarding the matters reviewed and any rec-
ommendations that the board considers appropriate
regarding those matters.
‘‘(d) REPORT TO CONGRESS.—Promptly after receiv-
ing the report under subsection (c)(2), the Secretary shall
transmit the report, together with any comments and rec-
ommendations that the Secretary considers appropriate, to
the Committee on Armed Services of the Senate and the
Committee on Armed Services of the House of Representa-
tives.
‘‘(e) ADMINISTRATIVE PROVISIONS.—Section 180(d) of
this title shall apply to the members of the review board
appointed under this section.’’.
(B) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘186. Reserve components: annual review.’’.
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(2) The first review board under section 186 of title
10, United States Code (as added by paragraph (1)), shall
be appointed during fiscal year 2006.
SEC. 903. CHAIN OF SUCCESSION FOR THE CHIEF OF THE
NATIONAL GUARD BUREAU.
(a) SENIOR OFFICER.—(1) Section 10502 of title 10,
United States Code, is amended by adding at the end the
following new subsection:
‘‘(e) SUCCESSION.—Unless otherwise directed by the
President or the Secretary of Defense, the most senior officer
among the officers of the Army National Guard of the
United States and the officers of the Air National Guard
of the United States performing the duties of positions in
the National Guard Bureau shall act as the Chief of the
National Guard Bureau during any period that—
‘‘(1) there is a vacancy in the position of Chief
of the National Guard Bureau; or
‘‘(2) the Chief is unable to perform the duties of
that position.’’.
(2)(A) The heading of such section is amended by add-
ing at the end the following: ‘‘; succession’’.
(B) The item relating to such section in the table of
sections at the beginning of chapter 1011 of such title is
amended to read as follows:
‘‘10502. Chief of the National Guard Bureau: appointment; adviser on National
Guard matters; grade; succession.’’.
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(b) CONFORMING AMENDMENT.—Section 10505 of such
title is amended by striking subsections (d) and (e).
SEC. 904. REDESIGNATION OF VICE CHIEF OF THE NA-
TIONAL GUARD BUREAU AS DIRECTOR OF
THE JOINT STAFF OF THE NATIONAL GUARD
BUREAU.
(a) REDESIGNATION OF POSITION.—Subsection (a)(1)
of section 10505 of title 10, United States Code, is amended
by striking ‘‘Vice Chief of the National Guard Bureau’’ and
inserting ‘‘Director of the Joint Staff of the National Guard
Bureau’’.
(b) CONFORMING
AMENDMENTS.—(1) Subsections
(a)(3)(A), (a)(3)(B), (b), (c), and (d) of section 10505 of
title 10, United States Code, are amended by striking ‘‘Vice
Chief of the National Guard Bureau’’ and inserting ‘‘Direc-
tor of the Joint Staff of the National Guard Bureau’’.
(2) Subsection (a)(3)(B) of such section, as amended
by paragraph (1), is further amended by striking ‘‘as the
Vice Chief’’ and inserting ‘‘as the Director’’.
(3) Paragraphs (2) and (4) of subsection (a) of such
section are amended by striking ‘‘Chief and Vice Chief of
the National Guard Bureau’’ and inserting ‘‘Chief of the
National Guard Bureau and the Director of the Joint Staff
of the National Guard Bureau’’.
(4)(A) Subsection (e) of such section is amended—
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(i) by striking ‘‘Chief and Vice Chief of the Na-
tional Guard Bureau or in the absence or disability
of both the Chief and Vice Chief of the National
Guard Bureau’’ and inserting ‘‘Chief of the National
Guard Bureau and the Director of the Joint Staff of
the National Guard Bureau or in the absence or dis-
ability of both the Chief and the Director’’; and
(ii) by striking ‘‘Chief or Vice Chief’’ both places
it appears and inserting ‘‘Chief or Director’’.
(B) The heading for such subsection is amended by
striking ‘‘VICE CHIEF.—’’ and inserting ‘‘DIRECTOR OF
THE JOINT STAFF.—’’.
(5) Section 10506(a)(1) of title 10, United States Code,
is amended by striking ‘‘Chief and Vice Chief of the Na-
tional Guard Bureau’’ and inserting ‘‘Chief of the National
Guard Bureau and the Director of the Joint Staff of the
National Guard Bureau’’.
(c) CLERICAL AMENDMENTS.—(1) The heading for sec-
tion 10505 of title 10, United States Code, is amended to
read as follows:
‘‘§ 10505. Director of the Joint Staff of the National
Guard Bureau’’.
(2) The item relating to such section in the table of
sections at the beginning of chapter 1011 of such title is
amended to read as follows:
‘‘10505. Director of the Joint Staff of the National Guard Bureau.’’.
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(d) OTHER REFERENCES.—Any reference that is made
in any law, regulation, document, paper, or other record
of the United States to the Vice Chief of the National Guard
Bureau shall be deemed to be a reference to the Director
of the Joint Staff of the National Guard Bureau.
SEC. 905. AUTHORITY TO REDESIGNATE THE NAVAL RE-
SERVE.
(a) AUTHORITY OF SECRETARY OF THE NAVY.—The
Secretary of the Navy may, with the approval of the Presi-
dent, redesignate the Naval Reserve as the ‘‘Navy Reserve’’
effective on the date that is 180 days after the date on which
the Secretary submits recommended legislation under sub-
section (b).
(b) RECOMMENDED LEGISLATION.—If the Secretary of
the Navy exercises the authority to redesignate the Naval
Reserve under subsection (a), the Secretary shall submit to
the Committee on Armed Services of the Senate and the
Committee on Armed Services of the House of Representa-
tives recommended legislation that identifies each specific
provision of law that refers to the Naval Reserve and sets
forth an amendment to that specific provision of law to con-
form the reference to the new designation.
(c) EFFECT OF REDESIGNATION.—On and after the ef-
fective date of a redesignation of the Naval Reserve under
subsection (a), any reference in any law, map, regulation,
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document, paper, or other record of the United States to
the Naval Reserve shall be deemed to be a reference to the
Navy Reserve.
SEC. 906. HOMELAND SECURITY ACTIVITIES OF THE NA-
TIONAL GUARD.
(a) AUTHORITY.—Chapter 1 of title 32, United States
Code, is amended by adding at the end the following new
section:
‘‘§ 116. Homeland security activities
‘‘(a) USE OF PERSONNEL PERFORMING FULL-TIME
NATIONAL GUARD DUTY.—The Governor of a State may,
upon the request by the head of a Federal agency and with
the concurrence of the Secretary of Defense, order any per-
sonnel of the National Guard of the State to perform full-
time National Guard duty under section 502(f) of this title
for the purpose of carrying out homeland security activities,
as described in subsection (b).
‘‘(b) PURPOSE AND DURATION.—(1) The purpose for
the use of personnel of the National Guard of a State under
this section is to temporarily provide trained and dis-
ciplined personnel to a Federal agency to assist that agency
in carrying out homeland security activities.
‘‘(2) The duration of the use of the National Guard
of a State under this section shall be limited to a period
of 180 days. The Governor of the State may, with the con-
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currence of the Secretary of Defense, extend the period one
time for an additional 90 days to meet extraordinary cir-
cumstances.
‘‘(c) RELATIONSHIP
TO REQUIRED TRAINING.— A
member of the National Guard serving on full-time Na-
tional Guard duty under orders authorized under sub-
section (a) shall participate in the training required under
section 502(a) of this title in addition to the duty performed
for the purpose authorized under that subsection. The pay,
allowances, and other benefits of the member while partici-
pating in the training shall be the same as those to which
the member is entitled while performing duty for the pur-
pose of carrying out homeland security activities. The mem-
ber is not entitled to additional pay, allowances, or other
benefits for participation in training required under section
502(a)(1) of this title.
‘‘(d) READINESS.—To ensure that the use of units and
personnel of the National Guard of a State for homeland
security activities does not degrade the training and readi-
ness of such units and personnel, the following requirements
shall apply in determining the homeland security activities
that units and personnel of the National Guard of a State
may perform:
‘‘(1) The performance of the activities may not
adversely affect the quality of that training or other-
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wise interfere with the ability of a member or unit of
the National Guard to perform the military functions
of the member or unit.
‘‘(2) National Guard personnel will not degrade
their military skills as a result of performing the ac-
tivities.
‘‘(3) The performance of the activities will not
result in a significant increase in the cost of training.
‘‘(4) In the case of homeland security performed
by a unit organized to serve as a unit, the activities
will support valid unit training requirements.
‘‘(e) PAYMENT OF COSTS.—(1) The Secretary of De-
fense shall provide funds to the Governor of a State to pay
costs of the use of personnel of the National Guard of the
State for the performance of homeland security activities
under this section. Such funds shall be used for the following
costs:
‘‘(A) The pay, allowances, clothing, subsistence,
gratuities, travel, and related expenses (including all
associated training expenses, as determined by the
Secretary), as authorized by State law, of personnel
of the National Guard of that State used, while not
in Federal service, for the purpose of homeland secu-
rity activities.
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‘‘(B) The operation and maintenance of the
equipment and facilities of the National Guard of
that State used for the purpose of homeland security
activities.
‘‘(2) The Secretary of Defense shall require the head
of an agency receiving support from the National Guard
of a State in the performance of homeland security activi-
ties under this section to reimburse the Department of De-
fense for the payments made to the State for such support
under paragraph (1).
‘‘(f) MEMORANDUM OF AGREEMENT.—The Secretary of
Defense and the Governor of a State shall enter into a
memorandum of agreement with the head of each Federal
agency to which the personnel of the National Guard of that
State are to provide support in the performance of home-
land security activities under this section. The memo-
randum of agreement shall—
‘‘(1) specify how personnel of the National
Guard are to be used in homeland security activities;
‘‘(2) include a certification by the Adjutant Gen-
eral of the State that those activities are to be per-
formed at a time when the personnel are not in Fed-
eral service;
‘‘(3) include a certification by the Adjutant Gen-
eral of the State that—
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‘‘(A) participation by National Guard per-
sonnel in those activities is service in addition to
training required under section 502 of this title;
and
‘‘(B) the requirements of subsection (d) of
this section will be satisfied;
‘‘(4) include a certification by the Attorney Gen-
eral of the State (or, in the case of a State with no
position of Attorney General, a civilian official of the
State equivalent to a State attorney general), that the
use of the National Guard of the State for the activi-
ties provided for under the memorandum of agree-
ment is authorized by, and is consistent with, State
law;
‘‘(5) include a certification by the Governor of
the State or a civilian official of the State designated
by the Governor that the activities provided for under
the memorandum of agreement serve a State security
purpose; and
‘‘(6) include a certification by the head of the
Federal agency that the agency will have a plan to
ensure that the agency’s requirement for National
Guard support ends not later than 179 days after the
commencement of the support.
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‘‘(g) EXCLUSION FROM END-STRENGTH COMPUTA-
TION.—Notwithstanding any other provision of law, mem-
bers of the National Guard on active duty or full-time Na-
tional Guard duty for the purposes of administering (or
during fiscal year 2003 otherwise implementing) this sec-
tion shall not be counted toward the annual end strength
authorized for Reserves on active duty in support of the re-
serve components of the armed forces or toward the strengths
authorized in sections 12011 and 12012 of title 10.
‘‘(h) ANNUAL REPORT.—The Secretary of Defense shall
submit to Congress an annual report regarding any assist-
ance provided and activities carried out under this section
during the preceding fiscal year. The report shall include
the following:
‘‘(1) The number of members of the National
Guard excluded under subsection (g) from the com-
putation of end strengths.
‘‘(2) A description of the homeland security ac-
tivities conducted with funds provided under this sec-
tion.
‘‘(3) An accounting of the amount of funds pro-
vided to each State.
‘‘(4) A description of the effect on military train-
ing and readiness of using units and personnel of the
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National Guard to perform homeland security activi-
ties under this section.
‘‘(i) STATUTORY CONSTRUCTION.—Nothing in this sec-
tion shall be construed as a limitation on the authority of
any unit of the National Guard of a State, when such unit
is not in Federal service, to perform functions authorized
to be performed by the National Guard by the laws of the
State concerned.
‘‘(j) DEFINITIONS.—For purposes of this section:
‘‘(1) The term ‘Governor of a State’ means, in
the case of the District of Columbia, the Commanding
General of the National Guard of the District of Co-
lumbia.
‘‘(2) The term ‘State’ means each of the several
States, the District of Columbia, the Commonwealth
of Puerto Rico, or a territory or possession of the
United States.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such section is amended by adding at the
end the following new item:
‘‘116. Homeland security activities.’’.
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Subtitle B—Other Matters
SEC. 911. STUDY OF ROLES AND AUTHORITIES OF THE DI-
RECTOR OF DEFENSE RESEARCH AND ENGI-
NEERING.
(a) STUDY REQUIRED.—The Secretary of Defense shall
carry out a study of the roles and authorities of the Director
of Defense Research and Engineering.
(b) CONTENT OF STUDY.—The study under this section
shall include the following:
(1) An examination of the past and current roles
and authorities of the Director of Defense Research
and Engineering.
(2) An analysis to determine appropriate future
roles and authorities for the Director, including an
analysis of the following matters:
(A) The relationship of the Director to other
senior science and technology and acquisition of-
ficials of the military departments and the De-
fense Agencies
(B) The relationship of the Director to the
performance of the following functions:
(i) The planning, programming, and
budgeting of the science and technology pro-
grams of the Department of Defense, includ-
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ing those of the military departments and
the Defense Agencies.
(ii) The management of Department of
Defense laboratories and technical centers,
including the management of the Federal
Government scientific and technical work-
force for such laboratories and centers.
(iii) The promotion of the rapid tran-
sition of technologies to acquisition pro-
grams within the Department of Defense.
(iv) The promotion of the transfer of
technologies into and from the commercial
sector.
(v) The coordination of Department of
Defense science and technology activities
with organizations outside the Department
of Defense, including other Federal Govern-
ment agencies, international research orga-
nizations, industry, and academia.
(vi) The technical review of Depart-
ment of Defense acquisition programs and
policies.
(vii) The training and educational ac-
tivities for the national scientific and tech-
nical workforce.
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(viii) The development of science and
technology policies and programs relating to
the maintenance of the national technology
and industrial base.
(3) An examination of the duties of the Director
as the Chief Technology Officer of the Department of
Defense, especially in comparison to the duties of
similar positions in the Federal Government and in-
dustry.
(4) An examination of any other matters that
the Secretary considers appropriate for the study.
(c) REPORT.—(1) Not later than February 1, 2006, the
Secretary shall submit a report on the results of the study
under this section to the congressional defense committees.
(2) The report shall include recommendations regard-
ing the appropriate roles, authorities, and resources that
should be assigned to the Director of Defense Research and
Engineering in order to enable the Director to serve effec-
tively as the Chief Technology Officer of the Department
of Defense and to support the transformation of the Armed
Forces.
(d) ROLE OF DEFENSE SCIENCE BOARD IN STUDY AND
REPORT.—The Secretary shall act through the Defense
Science Board in carrying out the study under this section
and preparing the report under subsection (c).
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SEC. 912. DIRECTORS OF SMALL BUSINESS PROGRAMS.
(a) REDESIGNATION OF EXISTING POSITIONS AND OF-
FICES.—(1) Each of the following positions within the De-
partment of Defense is redesignated as the Director of Small
Business Programs:
(A) The Director of Small and Disadvantaged
Business Utilization of the Department of Defense.
(B) The Director of Small and Disadvantaged
Business Utilization of the Department of the Army.
(C) The Director of Small and Disadvantaged
Business Utilization of the Department of the Navy.
(D) The Director of Small and Disadvantaged
Business Utilization of the Department of the Air
Force.
(2) Each of the following offices within the Department
of Defense is redesignated as the Office of Small Business
Programs:
(A) The Office of Small and Disadvantaged
Business Utilization of the Department of Defense.
(B) The Office of Small and Disadvantaged
Business Utilization of the Department of the Army.
(C) The Office of Small and Disadvantaged
Business Utilization of the Department of the Navy.
(D) The Office of Small and Disadvantaged
Business Utilization of the Department of the Air
Force.
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(3) Any reference that is made in any law, regulation,
document, paper, or other record of the United States to
a position or office redesignated by paragraph (1) or (2)
shall be deemed to be a reference to the position or office
as so redesignated.
(b) DEPARTMENT OF DEFENSE POSITION AND OF-
FICE.—(1) Chapter 4 of title 10, United States Code, is
amended by inserting after section 133b the following new
section:
‘‘§ 133c. Director of Small Business Programs
‘‘(a) DIRECTOR.—There is a Director of Small Busi-
ness Programs in the Department of Defense. The Director
is appointed by the Secretary of Defense.
‘‘(b) OFFICE OF SMALL BUSINESS PROGRAMS.—The
Office of Small Business Programs of the Department of
Defense is the office that is established within the Office of
the Secretary of Defense under section 15(k) of the Small
Business Act (15 U.S.C. 644(k)). The Director of Small
Business Programs is the head of such office.
‘‘(c) DUTIES AND POWERS.—(1) The Director of Small
Business Programs shall, subject to paragraph (2), perform
such duties regarding small business programs of the De-
partment of Defense, and shall exercise such powers regard-
ing those programs, as the Secretary of Defense may pre-
scribe.
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‘‘(2) Section 15(k) of the Small Business Act (15
U.S.C. 644(k)), except for the designations of the Director
and the Office, applies to the Director of Small Business
Programs.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
133b the following new item:
‘‘133c. Director of Small Business Programs.’’.
(c) DEPARTMENT OF THE ARMY POSITION AND OF-
FICE.—(1) Chapter 303 of title 10, United States Code, is
amended by adding at the end the following new section:
‘‘§ 3024. Director of Small Business Programs
‘‘(a) DIRECTOR.—There is a Director of Small Busi-
ness Programs in the Department of the Army. The Director
is appointed by the Secretary of the Army.
‘‘(b) OFFICE OF SMALL BUSINESS PROGRAMS.—The
Office of Small Business Programs of the Department of
the Army is the office that is established within the Depart-
ment of the Army under section 15(k) of the Small Business
Act (15 U.S.C. 644(k)). The Director of Small Business
Programs is the head of such office.
‘‘(c) DUTIES AND POWERS.—(1) The Director of Small
Business Programs shall, subject to paragraph (2), perform
such duties regarding small business programs of the De-
partment of the Army, and shall exercise such powers re-
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garding those programs, as the Secretary of the Army may
prescribe.
‘‘(2) Section 15(k) of the Small Business Act (15
U.S.C. 644(k)), except for the designations of the Director
and the Office, applies to the Director of Small Business
Programs.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘3024. Director of Small Business Programs.’’.
(d) DEPARTMENT OF THE NAVY POSITION AND OF-
FICE.—(1) Chapter 503 of title 10, United States Code, is
amended by adding at the end the following new section:
‘‘§ 5028. Director of Small Business Programs
‘‘(a) DIRECTOR.—There is a Director of Small Busi-
ness Programs in the Department of the Navy. The Director
is appointed by the Secretary of the Navy.
‘‘(b) OFFICE OF SMALL BUSINESS PROGRAMS.—The
Office of Small Business Programs of the Department of
the Navy is the office that is established within the Depart-
ment of the Navy under section 15(k) of the Small Business
Act (15 U.S.C. 644(k)). The Director of Small Business
Programs is the head of such office.
‘‘(c) DUTIES AND POWERS.—(1) The Director of Small
Business Programs shall, subject to paragraph (2), perform
such duties regarding small business programs of the De-
partment of the Navy, and shall exercise such powers re-
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garding those programs, as the Secretary of the Navy may
prescribe.
‘‘(2) Section 15(k) of the Small Business Act (15
U.S.C. 644(k)), except for the designations of the Director
and the Office, applies to the Director of Small Business
Programs.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘5028. Director of Small Business Programs.’’.
(d) DEPARTMENT OF THE AIR FORCE POSITION AND
OFFICE.—(1) Chapter 803 of title 10, United States Code,
is amended by adding at the end the following new section:
‘‘§ 8024. Director of Small Business Programs
‘‘(a) DIRECTOR.—There is a Director of Small Busi-
ness Programs in the Department of the Air Force. The Di-
rector is appointed by the Secretary of the Air Force.
‘‘(b) OFFICE OF SMALL BUSINESS PROGRAMS.—The
Office of Small Business Programs of the Department of
the Air Force is the office that is established within the De-
partment of the Air Force under section 15(k) of the Small
Business Act (15 U.S.C. 644(k)). The Director of Small
Business Programs is the head of such office.
‘‘(c) DUTIES AND POWERS.—(1) The Director of Small
Business Programs shall, subject to paragraph (2), perform
such duties regarding small business programs of the De-
partment of the Air Force, and shall exercise such powers
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regarding those programs, as the Secretary of the Air Force
may prescribe.
‘‘(2) Section 15(k) of the Small Business Act (15
U.S.C. 644(k)), except for the designations of the Director
and the Office, applies to the Director of Small Business
Programs.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘8024. Director of Small Business Programs.’’.
SEC. 913. LEADERSHIP POSITIONS FOR THE NAVAL POST-
GRADUATE SCHOOL.
(a) DESIGNATION OF PRESIDENT.—(1) The position of
Superintendent of the Naval Postgraduate School is redesig-
nated as President of the Naval Postgraduate School.
(2) Any reference to the Superintendent of the Naval
Postgraduate School in any law, rule, regulation, docu-
ment, record, or other paper of the United States shall be
deemed to be a reference to the President of the Naval Post-
graduate School.
(3) Sections 7042, 7044, 7048(a), and 7049(e) of title
10, United States Code, are amended by striking ‘‘Super-
intendent’’ each place it appears and inserting ‘‘President’’.
(4) The heading of section 7042 of such title is amend-
ed by striking ‘‘Superintendent;’’ in the section heading
and inserting ‘‘President;’’.
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(b) PROVOST AND ACADEMIC DEAN.—(1) The position
of Academic Dean of the Naval Postgraduate School is re-
designated as Provost and Academic Dean of the Naval
Postgraduate School.
(2) Any reference to the Academic Dean of the Naval
Postgraduate School in any law, rule, regulation, docu-
ment, record, or other paper of the United States shall be
deemed to be a reference to the Provost and Academic Dean
of the Naval Postgraduate School.
(3)(A) Subsection (a) of section 7043 of title 10,
United States Code, is amended to read as follows:
‘‘(a) There is at the Naval Postgraduate School the sin-
gle civilian position of Provost and Academic Dean. The
Provost and Academic Dean shall be appointed, to serve
for periods of not more than five years, by the Secretary
of the Navy. Before making an appointment to the position
of Provost and Academic Dean, the Secretary shall consult
with the Board of Advisors for the Naval Postgraduate
School and consider any recommendation of the leadership
and faculty of the Naval Postgraduate School regarding an
appointment to the position.’’.
(B) The heading of such section is amended to read
as follows:
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‘‘§ 7043. Provost and Academic Dean’’.
(4) Sections 7043(b) and 7081(a) of title 10, United
States Code, are amended by striking ‘‘Academic Dean’’
and inserting ‘‘Provost and Academic Dean’’.
(5) Section 5102(c)(10) of title 5, United States Code,
is amended by striking ‘‘Academic Dean of the Post-
graduate School of the Naval Academy’’ and inserting
‘‘Provost and Academic Dean of the Naval Postgraduate
School’’.
(c) CLERICAL AMENDMENTS.—The table of sections at
the beginning of chapter 605 of such title 10, United States
Code, is amended by striking the items related to sections
7042 and 7043 and inserting the following new items:
‘‘7042. President: assistants.
‘‘7043. Provost and Academic Dean.’’.
SEC. 914. UNITED STATES MILITARY CANCER INSTITUTE.
(a) ESTABLISHMENT.—Chapter 104 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 2117. United States Military Cancer Institute
‘‘(a) ESTABLISHMENT.—(1) There is a United States
Military Cancer Institute in the University. The Director
of the United States Military Cancer Institute is the head
of the Institute.
‘‘(2) The Institute is composed of clinical and basic
scientists in the Department of Defense who have an exper-
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tise in research, patient care, and education relating to on-
cology and who meet applicable criteria for participation
in the Institute.
‘‘(3) The components of the Institute include military
treatment and research facilities that meet applicable cri-
teria and are designated as affiliates of the Institute.
‘‘(b) RESEARCH.—(1) The Director of the United
States Military Cancer Institute shall carry out research
studies on the following:
‘‘(A) The epidemiological features of cancer, in-
cluding assessments of the carcinogenic effect of ge-
netic and environmental factors, and of disparities in
health, inherent or common among populations of
various ethnic origins.
‘‘(B) The prevention and early detection of can-
cer.
‘‘(C) Basic, translational, and clinical investiga-
tion matters relating to the matters described in sub-
paragraphs (A) and (B).
‘‘(2) The research studies under paragraph (1) shall
include complementary research on oncologic nursing.
‘‘(c) COLLABORATIVE RESEARCH.—The Director of the
United States Military Cancer Institute shall carry out the
research studies under subsection (b) in collaboration with
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other cancer research organizations and entities selected by
the Institute for purposes of the research studies.
‘‘(d) ANNUAL REPORT.—(1) Promptly after the end of
each fiscal year, the Director of the United States Military
Cancer Institute shall submit to the President of the Univer-
sity a report on the results of the research studies carried
out under subsection (b).
‘‘(2) Not later than 60 days after receiving the annual
report under paragraph (1), the President of the University
shall transmit such report to the Secretary of Defense and
to Congress.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘2117. United States Military Cancer Institute.’’.
SEC. 915. AUTHORITIES OF THE JUDGE ADVOCATES GEN-
ERAL.
(a) DEPARTMENT OF THE ARMY.—(1) Section 3019(b)
of title 10, United States Code, is amended by striking ‘‘The
General Counsel’’ and inserting ‘‘Subject to sections 806
and 3037 of this title, the General Counsel’’.
(2)(A) Section 3037 of such title is amended to read
as follows:
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‘‘§ 3037. Judge Advocate General, Assistant Judge Ad-
vocate General: appointment; duties
‘‘(a) POSITION
OF JUDGE ADVOCATE GENERAL.—
There is a Judge Advocate General in the Army, who is
appointed by the President, by and with the advice and
consent of the Senate, from officers of the Judge Advocate
General’s Corps. The term of office is four years, but may
be sooner terminated or extended by the President. The
Judge Advocate General, while so serving, has the grade of
lieutenant general.
‘‘(b) APPOINTMENT.—The Judge Advocate General of
the Army shall be appointed from those officers who at the
time of appointment are members of the bar of a Federal
court or the highest court of a State or Territory, and who
have had at least eight years of experience in legal duties
as commissioned officers.
‘‘(c) DUTIES.—The Judge Advocate General, in addi-
tion to other duties prescribed by law—
‘‘(1) is the legal adviser of the Secretary of the
Army, the Chief of Staff of the Army, and the Army
Staff, and of all offices and agencies of the Depart-
ment of the Army;
‘‘(2) shall direct and supervise the members of
the Judge Advocate General’s Corps and civilian at-
torneys employed by the Department of the Army
(other than those assigned or detailed to the Office of
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the General Counsel of the Army) in the performance
of their duties;
‘‘(3) shall direct and supervise the performance
of duties under chapter 47 of this title (the Uniform
Code of Military Justice) by any member of the
Army;
‘‘(4) shall receive, revise, and have recorded the
proceedings of courts of inquiry and military com-
missions; and
‘‘(5) shall perform such other legal duties as may
be directed by the Secretary of the Army.
‘‘(d) POSITION OF ASSISTANT JUDGE ADVOCATE GEN-
ERAL.—There is an Assistant Judge Advocate General in
the Army, who is appointed by the President, by and with
the advice and consent of the Senate, from officers of the
Army who have the qualifications prescribed in subsection
(b) for the Judge Advocate General. The term of office of
the Assistant Judge Advocate General is four years, but
may be sooner terminated or extended by the President. An
officer appointed as Assistant Judge Advocate General who
holds a lower regular grade shall be appointed in the reg-
ular grade of major general.
‘‘(e) APPOINTMENTS RECOMMENDED BY SELECTION
BOARDS.—Under regulations prescribed by the Secretary of
Defense, the Secretary of the Army, in selecting an officer
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for recommendation to the President under subsection (a)
for appointment as the Judge Advocate General or under
subsection (d) for appointment as the Assistant Judge Advo-
cate General, shall ensure that the officer selected is rec-
ommended by a board of officers that, insofar as prac-
ticable, is subject to the procedures applicable to selection
boards convened under chapter 36 of this title.’’.
(B) The item relating to such section in the table of
sections at the beginning of chapter 305 of such title is
amended to read as follows:
‘‘3037. Judge Advocate General, Assistant Judge Advocate General: appointment;
duties.’’.
(b) DEPARTMENT OF THE NAVY.—(1) Section 5019(b)
of title 10, United States Code, is amended by striking ‘‘The
General Counsel’’ and inserting ‘‘Subject to sections 806
and 5148 of this title, the General Counsel’’.
(2) Section 5148 of such title is amended—
(A) in subsection (b), by striking the fourth sen-
tence and inserting the following: ‘‘The Judge Advo-
cate General, while so serving, has the grade of vice
admiral or lieutenant general, as appropriate.’’; and
(B) by striking subsection (d) and inserting the
following:
‘‘(d) The Judge Advocate General, in addition to other
duties prescribed by law—
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‘‘(1) is the legal adviser of the Secretary of the
Navy, the Chief of Naval Operations, and all offices,
bureaus, and agencies of the Department of the Navy;
‘‘(2) shall direct and supervise the judge advo-
cates of the Navy and the Marine Corps and civilian
attorneys employed by the Department of the Navy
(other than those assigned or detailed to the Office of
the General Counsel of the Navy) in the performance
of their duties;
‘‘(3) shall direct and supervise the performance
of duties under chapter 47 of this title (the Uniform
Code of Military Justice) by any member of the Navy
or Marine Corps;
‘‘(4) shall receive, revise, and have recorded the
proceedings of courts of inquiry and military com-
missions; and
‘‘(5) shall perform such other legal duties as may
be directed by the Secretary of the Navy.’’.
(c) DEPARTMENT OF THE AIR FORCE.—(1) Section
8019(b) of title 10, United States Code, is amended by strik-
ing ‘‘The General Counsel’’ and inserting ‘‘Subject to sec-
tions 806 and 8037 of this title, the General Counsel’’.
(2) Section 8037 of such title is amended—
(A) in subsection (a), by striking the third sen-
tence and inserting the following: ‘‘The Judge Advo-
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cate General, while so serving, has the grade of lieu-
tenant general.’’; and
(B) in subsection (c)—
(i) by striking ‘‘General shall,’’ in the mat-
ter preceding paragraph (1) and inserting ‘‘Gen-
eral,’’;
(ii) by redesignating paragraphs (1) and
(2) as paragraphs (4) and (5), respectively, and,
in each such paragraph, by inserting ‘‘shall’’ be-
fore the first word; and
(iii) by inserting after paragraph (1) the
following new paragraphs:
‘‘(1) is the legal adviser of the Secretary of the
Air Force, the Chief of Staff of the Air Force, and the
Air Staff, and of all offices and agencies of the De-
partment of the Air Force;
‘‘(2) shall direct and supervise the members of
the Air Force designated as judge advocates and civil-
ian attorneys employed by the Department of the Air
Force (other than those assigned or detailed to the Of-
fice of the General Counsel of the Air Force) in the
performance of their duties;
‘‘(3) shall direct and supervise the performance
of duties under chapter 47 of this title (the Uniform
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Code of Military Justice) by any member of the Air
Force;’’.
(d) EXCLUSION FROM LIMITATION ON GENERAL AND
FLAG OFFICER DISTRIBUTION.—Section 525(b) of title 10,
United States Code, is amended by adding at the end the
following new paragraph:
‘‘(9) An officer while serving as the Judge Advocate
General of the Army, the Judge Advocate General of the
Navy, or the Judge Advocate General of the Air Force is
in addition to the number that would otherwise be per-
mitted for that officer’s armed force for officers serving on
active duty in grades above major general or rear admiral
under paragraph (1) or (2), as the case may be.’’.
TITLE X—GENERAL PROVISIONS
Subtitle A—Financial Matters
SEC. 1001. TRANSFER AUTHORITY.
(a) AUTHORITY TO TRANSFER AUTHORIZATIONS.—(1)
Upon determination by the Secretary of Defense that such
action is necessary in the national interest, the Secretary
may transfer amounts of authorizations made available to
the Department of Defense in this division for fiscal year
2005 between any such authorizations for that fiscal year
(or any subdivisions thereof). Amounts of authorizations so
transferred shall be merged with and be available for the
same purposes as the authorization to which transferred.
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(2) The total amount of authorizations that the Sec-
retary may transfer under the authority of this section may
not exceed $3,000,000,000.
(b) LIMITATIONS.—The authority provided by this sec-
tion to transfer authorizations—
(1) may only be used to provide authority for
items that have a higher priority than the items from
which authority is transferred; and
(2) may not be used to provide authority for an
item that has been denied authorization by Congress.
(c) EFFECT ON AUTHORIZATION AMOUNTS.—A trans-
fer made from one account to another under the authority
of this section shall be deemed to increase the amount au-
thorized for the account to which the amount is transferred
by an amount equal to the amount transferred.
(d) NOTICE
TO
CONGRESS.—The Secretary shall
promptly notify Congress of each transfer made under sub-
section (a).
SEC. 1002. UNITED STATES CONTRIBUTION TO NATO COM-
MON-FUNDED BUDGETS IN FISCAL YEAR 2005.
(a) FISCAL
YEAR
2005 LIMITATION.—The total
amount contributed by the Secretary of Defense in fiscal
year 2005 for the common-funded budgets of NATO may
be any amount up to, but not in excess of, the amount speci-
fied in subsection (b) (rather than the maximum amount
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that would otherwise be applicable to those contributions
under the fiscal year 1998 baseline limitation).
(b) TOTAL AMOUNT.—The amount of the limitation
applicable under subsection (a) is the sum of the following:
(1) The amounts of unexpended balances, as of
the end of fiscal year 2004, of funds appropriated for
fiscal years before fiscal year 2005 for payments for
those budgets.
(2) The amount specified in subsection (c)(1).
(3) The amount specified in subsection (c)(2).
(4) The total amount of the contributions author-
ized to be made under section 2501.
(c) AUTHORIZED AMOUNTS.—Amounts authorized to
be appropriated by titles II and III of this Act are available
for contributions for the common-funded budgets of NATO
as follows:
(1) Of the amount provided in section 201(1),
$756,000 for the Civil Budget.
(2) Of the amount provided in section 301(1),
$222,492,000 for the Military Budget.
(d) DEFINITIONS.—For purposes of this section:
(1) COMMON-FUNDED BUDGETS OF NATO.—The
term ‘‘common-funded budgets of NATO’’ means the
Military Budget, the Security Investment Program,
and the Civil Budget of the North Atlantic Treaty Or-
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ganization (and any successor or additional account
or program of NATO).
(2) FISCAL YEAR 1998 BASELINE LIMITATION.—
The term ‘‘fiscal year 1998 baseline limitation’’
means the maximum annual amount of Department
of Defense contributions for common-funded budgets of
NATO that is set forth as the annual limitation in
section 3(2)(C)(ii) of the resolution of the Senate giv-
ing the advice and consent of the Senate to the ratifi-
cation of the Protocols to the North Atlantic Treaty
of 1949 on the Accession of Poland, Hungary, and the
Czech Republic (as defined in section 4(7) of that res-
olution), approved by the Senate on April 30, 1998.
SEC. 1003. REDUCTION IN OVERALL AUTHORIZATION DUE
TO INFLATION SAVINGS.
(a) REDUCTION.—The total amount authorized to be
appropriated by titles I, II, and III is the amount equal
to the sum of the individual authorizations in those titles
reduced by $1,670,000,000.
(b) SOURCE
OF SAVINGS.—Reductions required in
order to comply with subsection (a) shall be derived from
savings resulting from lower-than-expected inflation as a
result of the annual review of the budget conducted by the
Office of Management and Budget.
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(c) ALLOCATION OF REDUCTION.—The Secretary of
Defense shall allocate the reduction required by subsection
(a) among the accounts in titles I, II, and III to reflect
the extent to which net inflation savings are available in
those accounts.
SEC. 1004. DEFENSE BUSINESS SYSTEMS INVESTMENT MAN-
AGEMENT.
(a) REQUIREMENT FOR DEFENSE BUSINESS ENTER-
PRISE ARCHITECTURE AND TRANSITION PLAN.—(1) Not
later than September 30, 2005, the Secretary of Defense
shall develop—
(A) a defense business enterprise architecture
covering all defense business systems of the Depart-
ment of Defense and the functions and activities sup-
ported by such systems that—
(i) is sufficiently defined to effectively
guide, constrain, and permit implementation of
interoperable business system solutions; and
(ii) is consistent with the applicable policies
and procedures prescribed by the Director of the
Office of Management and Budget; and
(B) a transition plan for implementing the de-
fense business enterprise architecture.
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(2) In carrying out paragraph (1), the Secretary shall
act through the Defense Business Systems Management
Committee established under subsection (h).
(b) COMPOSITION OF ENTERPRISE ARCHITECTURE.—
The defense business enterprise architecture developed under
subsection (a)(1)(A) shall include the following:
(1) An information infrastructure that, at a
minimum, would enable the Department of Defense
to—
(A) comply with all Federal accounting, fi-
nancial management, and reporting require-
ments;
(B) routinely produce timely, accurate, and
reliable financial information for management
purposes;
(C) integrate budget, accounting, and pro-
gram information and systems; and
(D) provide for the systematic measurement
of performance, including the ability to produce
timely, relevant, and reliable cost information.
(2) Policies, procedures, data standards, and sys-
tem interface requirements that are to apply uni-
formly throughout the Department of Defense.
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(c) COMPOSITION
OF TRANSITION PLAN.—(1) The
transition plan developed under subsection (a)(1)(B) shall
include the following:
(A) The acquisition strategy for new systems
that are expected to be needed to complete the defense
business enterprise architecture.
(B) A listing of the defense business systems as
of December 2, 2002 (known as ‘‘legacy systems’’),
that will not be part of the objective defense business
enterprise architecture, together with the schedule for
terminating those legacy systems that provides for re-
ducing the use of those legacy systems in phases.
(C) A listing of the legacy systems (referred to in
subparagraph (B)) that will be a part of the objective
defense business system, together with a strategy for
making the modifications to those systems that will be
needed to ensure that such systems comply with the
defense business enterprise architecture.
(2) Each of the strategies under paragraph (1) shall
include specific time-phased milestones, performance
metrics, and a statement of the financial and nonfinancial
resource needs.
(d) CONDITIONS FOR USE OF FUNDS FOR DEFENSE
BUSINESS SYSTEM MODERNIZATION.—(1) After September
30, 2005, an officer or employee of the United States may
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not obligate or expend an amount in excess of $1,000,000
for a defense business system modernization unless the Sec-
retary of Defense or the official delegated authority for the
system covered by such modernization under subsection (e)
has determined in writing that such defense business system
modernization—
(A) is consistent with the defense business enter-
prise architecture and transition plan developed
under subsection (a); or
(B) is necessary to—
(i) achieve a critical national security ca-
pability or address a critical requirement in an
area such as safety or security; or
(ii) prevent a significant adverse effect on a
project that is needed to achieve an essential ca-
pability, taking into consideration the alter-
native solutions for preventing such adverse ef-
fect.
(2) A violation of paragraph (1) is a violation of sec-
tion 1341(a)(1)(A) of title 31, United States Code.
(e) ACCOUNTABILITY FOR DEFENSE BUSINESS SYS-
TEMS.—The Secretary of Defense shall delegate authority
for the planning, design, acquisition, development, deploy-
ment, operation, maintenance, modernization, and over-
sight of defense business systems as follows:
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(1) To the Under Secretary of Defense for Acqui-
sition, Technology, and Logistics, for—
(A) defense business systems the primary
purpose of which is to support acquisition activi-
ties in the Department of Defense;
(B) defense business systems the primary
purpose of which is to support logistics activities
in the Department of Defense; and
(C) defense business systems the primary
purpose of which is to support installations and
environment activities in the Department of De-
fense.
(2) To the Under Secretary of Defense (Comp-
troller) and Chief Financial Officer, for—
(A) defense business systems the primary
purpose of which is to support financial manage-
ment activities in the Department of Defense;
and
(B) defense business systems the primary
purpose of which is to support strategic planning
and budgeting activities in the Department of
Defense.
(3) To the Under Secretary of Defense for Per-
sonnel and Readiness, for defense business systems the
primary purpose of which is to support human re-
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source management activities in the Department of
Defense.
(4) To the Assistant Secretary of Defense (Net-
works and Information Integration) and Chief Infor-
mation Officer, for defense business systems the pri-
mary purpose of which is to support information
technology infrastructure and information assurance
activities of the Department of Defense.
(5) To the Deputy Secretary of Defense or an
Under Secretary of Defense, as designated by the Sec-
retary of Defense, for defense business systems the pri-
mary purpose of which is to support any activity of
the Department of Defense not described in another
paragraph of this subsection.
(f) DEFENSE BUSINESS SYSTEM INVESTMENT RE-
VIEW.—(1) The Secretary of Defense shall require each offi-
cial to whom authority is delegated under subsection (e) to
establish an investment review process to review the plan-
ning, design, acquisition, development, deployment, oper-
ation, maintenance, and modernization of all defense busi-
ness systems covered by the authority so delegated to that
official, and to analyze project cost benefits and risks of
such systems.
(2) Each investment review process established under
paragraph (1) shall be consistent with the requirements of
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section 11312 of title 40, United States Code, and shall in-
clude the following features:
(A) An investment review board composed of ap-
propriate officials from among the Armed Forces,
combatant commands, the Joint Staff, and Defense
Agencies.
(B) Review and approval, by the investment re-
view board, of each defense business system as an in-
vestment before the obligation or expenditure of funds
on such system.
(C) Periodic review of each defense business sys-
tem investment not less often than annually.
(D) Use of threshold criteria to ensure that each
defense business system investment, and that account-
ability for each defense business system investment, is
reviewed at a level of review within the Department
of Defense that is appropriate for the scope, com-
plexity, and cost of the investment.
(E) Procedures for making determinations in ac-
cordance with the requirements of subsection (d).
(g) DEFENSE
BUSINESS
SYSTEMS
BUDGET
EX-
HIBIT.—For each budget for a fiscal year after fiscal year
2005 that the President submits to Congress under section
1105(a) of title 31, United States Code, the Secretary of
Defense shall include in the documentation on major func-
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tional category 050 (National Defense) that the Secretary
submits to the congressional defense committees in support
of such budget a defense business systems budget exhibit that
includes the following information:
(1) Identification of each defense business system
for which funding is proposed in that budget.
(2) Identification of all funds, by appropriation,
proposed in that budget for each such system,
including—
(A) funds for current services (to operate
and maintain the system); and
(B) funds for business systems moderniza-
tion, identified for each specific appropriation.
(3) For each such system, identification of the of-
ficial to whom authority for such system is delegated
under subsection (e).
(4) For each such system, a description of each
determination made under subsection (d) with regard
to such system.
(h) DEFENSE BUSINESS SYSTEM MANAGEMENT COM-
MITTEE.—(1) The Secretary of Defense shall establish a De-
fense Business Systems Management Executive Committee.
The Committee shall be composed of the following members:
(A) The Deputy Secretary of Defense, who shall
be the chairman of the Committee.
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(B) The Under Secretary of Defense for Acquisi-
tion, Logistics, and Technology.
(C) The Under Secretary of Defense for Per-
sonnel and Readiness.
(D) The Under Secretary of Defense (Comp-
troller) and Chief Financial Officer.
(E) The Assistant Secretary of Defense (Networks
and Information Integration) and Chief Information
Officer.
(F) The Secretaries of the military departments.
(G) The heads of the Defense Agencies.
(H) Any personnel assigned to the Joint Staff,
personnel assigned to combatant commands, or other
Department of Defense personnel that the Secretary of
Defense designates to serve on the Committee.
(2) In addition to any other duties assigned to the
Committee by the Secretary of Defense, the Committee shall
have the following duties:
(A) To submit to the Secretary recommended
policies and procedures that the Committee considers
necessary to effectively integrate compliance with the
requirements of this section into all business activities
and any transformation, reform, reorganization, or
process improvement initiatives undertaken within
the Department of Defense.
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(B) To review and approve defense business sys-
tems modernization plans, including review and ap-
proval of any major update of the defense business en-
terprise architecture.
(C) To coordinate defense business system mod-
ernization initiatives to maximize benefits and mini-
mize costs for the Department of Defense.
(D) To ensure that funds are not obligated for
the modernization of any defense business system in
violation of subsection (d)(1).
(E) To periodically report to the Secretary on
the status of defense business system modernization ef-
forts.
(i) DEFINITIONS.—In this section:
(1) The term ‘‘defense business system’’ means
any information system (except a national security
system, as defined in section 2315 of title 10, United
States Code) that is operated by, for, or on behalf of
the Department of Defense to support business activi-
ties such as acquisition, financial management, logis-
tics, strategic planning and budgeting, installations
and environment, and human resource management.
(2) The term ‘‘enterprise architecture’’ has the
meaning given that term in section 3601(4) of title
44, United States Code.
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(3) The terms ‘‘information system’’ and ‘‘infor-
mation technology’’ have the meanings given those
terms in section 11101 of title 40, United States Code.
(4) The term ‘‘modernization’’, with respect to a
defense business system, means the acquisition or de-
velopment of a new defense business system or any
significant modification or enhancement of an exist-
ing defense business system (other than as necessary
to maintain current services).
(j) ANNUAL REPORT.—Not later than March 15 of
2005 and each year thereafter through 2009, the Secretary
of Defense shall submit to the congressional defense commit-
tees a report on the progress made by the Department of
Defense in implementing the defense business enterprise ar-
chitecture and transition plan required by this section.
Each report shall include, at a minimum, the following in-
formation:
(1) A description of the specific actions taken
and planned to be taken to implement the defense
business enterprise architecture and the transition
plan.
(2) Specific milestones, performance measures,
and resource commitments for such actions.
(k) COMPTROLLER GENERAL ASSESSMENT.—Not later
than 60 days after the date on which the Secretary of De-
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fense approves the defense business enterprise architecture
and transition plan developed under subsection (a), and
again each year not later than 60 days after the submission
of the annual report under subsection (j), the Comptroller
General shall submit to the congressional defense committees
an assessment of the extent to which the actions taken by
the Department comply with the requirements of this sec-
tion.
(l) RELATIONSHIP TO OTHER LAW.—Nothing in this
section shall be construed to modify or affect the applica-
bility of the restrictions and requirements provided in sec-
tion 8088 of the Department of Defense Appropriations Act,
2003 (Public Law 107–248; 116 Stat. 1556).
(m) REPEAL OF SUPERSEDED LAW.—Section 1004 of
the Bob Stump National Defense Authorization Act for Fis-
cal Year 2003 (Public Law 107–314; 116 Stat. 2629; 10
U.S.C. 113 note) is repealed.
SEC. 1005. UNIFORM FUNDING AND MANAGEMENT OF SERV-
ICE ACADEMY ATHLETIC AND RECREATIONAL
EXTRACURRICULAR PROGRAMS.
(a) UNITED STATES MILITARY ACADEMY.—(1) Chap-
ter 403 of title 10, United States Code, is amended by add-
ing at the end the following new section:
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‘‘§ 4359. Athletic and recreational extracurricular
programs: uniform funding
‘‘The authority and conditions provided in section
2494 of this title shall also apply to any athletic or rec-
reational extracurricular program of the Academy that—
‘‘(1) is not considered a morale, welfare, or recre-
ation program referred to in such section;
‘‘(2) is funded out of appropriated funds;
‘‘(3) is supported by a supplemental mission
nonappropriated fund instrumentality; and
‘‘(4) is not operated as a private organization.’’.
(2) The table of sections at the beginning of such title
is amended by adding at the end the following new item:
‘‘4359. Athletic and recreational extracurricular programs: uniform funding.’’.
(b) UNITED STATES NAVAL ACADEMY.—(1) Chapter
603 of title 10, United States Code, is amended by adding
at the end the following new section:
‘‘§ 6978. Athletic and recreational extracurricular
programs: uniform funding
‘‘The authority and conditions provided in section
2494 of this title shall also apply to any athletic or rec-
reational extracurricular program of the Naval Academy
that—
‘‘(1) is not considered a morale, welfare, or recre-
ation program referred to in such section;
‘‘(2) is funded out of appropriated funds;
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‘‘(3) is supported by a supplemental mission
nonappropriated fund instrumentality; and
‘‘(4) is not operated as a private organization.’’.
(2) The table of sections at the beginning of such title
is amended by adding at the end the following new item:
‘‘6978. Athletic and recreational extracurricular programs: uniform funding.’’.
(c) UNITED STATES AIR FORCE ACADEMY.—(1) Chap-
ter 903 of title 10, United States Code, is amended by add-
ing at the end the following new section:
‘‘§ 9358. Athletic and recreational extracurricular
programs: uniform funding
‘‘The authority and conditions provided in section
2494 of this title shall also apply to any athletic or rec-
reational extracurricular program of the Academy that—
‘‘(1) is not considered a morale, welfare, or recre-
ation program referred to in such section;
‘‘(2) is funded out of appropriated funds;
‘‘(3) is supported by a supplemental mission
nonappropriated fund instrumentality; and
‘‘(4) is not operated as a private organization.’’.
(2) The table of sections at the beginning of such title
is amended by adding at the end the following new item:
‘‘9358. Athletic and recreational extracurricular programs: uniform funding.’’.
(d) EFFECTIVE DATE AND APPLICABILITY.—This sec-
tion and the amendments made by this section shall take
effect on October 1, 2004, and shall apply with respect to
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funds appropriated for fiscal years beginning on or after
such date.
SEC. 1006. AUTHORIZATION OF APPROPRIATIONS FOR A
CONTINGENT EMERGENCY RESERVE FUND
FOR OPERATIONS IN IRAQ AND AFGHANI-
STAN.
(a) AUTHORIZATION OF SUPPLEMENTAL APPROPRIA-
TIONS.—In addition to any other amounts authorized to
be appropriated by this Act, there is hereby authorized to
be appropriated for the Department of Defense for fiscal
year 
2005, 
subject 
to 
subsections 
(b) 
and 
(c),
$25,000,000,000, to be available only for activities in sup-
port of operations in Iraq and Afghanistan.
(b) SPECIFIC AMOUNTS.—Of the amount authorized to
be appropriated under subsection (a), funds are authorized
to be appropriated in amounts for purposes as follows:
(1) For the Army for operation and mainte-
nance, $14,500,000,000.
(2) For the Navy for operation and mainte-
nance, $1,000,000,000.
(3) For the Marine Corps for operation and
maintenance, $2,000,000,000.
(4) For the Air Force for operation and mainte-
nance, $1,000,000,000.
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(5) For operation and maintenance, Defense-
wide activities, $2,000,000,000.
(6) For military personnel, $2,000,000,000.
(7) An additional amount of $2,500,000,000 to
be available for transfer to—
(A) operation and maintenance accounts;
(B) military personnel accounts;
(C) research, development, test, and evalua-
tion accounts;
(D) procurement accounts;
(E) classified programs; and
(F) Coast Guard operating expenses.
(c) AUTHORIZATION CONTINGENT ON BUDGET RE-
QUEST.—The authorization of appropriations in subsection
(a) shall be effective only to the extent that a budget request
for all or part of the amount authorized to be appropriated
under such subsection for the purposes set forth in such sub-
section is transmitted by the President to Congress after the
date of the enactment of this Act and includes a designation
of the requested amount as an emergency and essential to
support activities in Iraq and Afghanistan.
(d) TRANSFER AUTHORITY.—(1) Of the amount au-
thorized to be appropriated under subsection (b)(7) for
transfer, no transfer may be made until the Secretary of
Defense consults with the Chairmen and Ranking Members
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of the congressional defense committees and then notifies
such committees in writing not later than five days before
the transfer is made.
(2) The transfer authority provided under this section
is in addition to any other transfer authority available to
the Department of Defense.
(e) MONTHLY REPORT.—The Secretary of Defense
shall submit to the congressional defense committees each
month a report on the use of funds authorized to be appro-
priated under this section. The report for a month shall in-
clude in a separate display for each of Iraq and Afghani-
stan, the activity for which the funds were used, the purpose
for which the funds were used, the source of the funds used
to carry out that activity, and the account to which those
expenditures were charged.
Subtitle B—Naval Vessels and
Shipyards
SEC. 1011. EXCHANGE AND SALE OF OBSOLETE NAVY SERV-
ICE CRAFT AND BOATS.
(a) IN GENERAL.—Chapter 633 of title 10, United
States Code, is amended by inserting after section 7309 the
following new section:
‘‘§ 7309a. Service craft and boats: exchange or sale
‘‘(a) IN GENERAL.—The Secretary of the Navy may,
in acquiring personal property under section 503 of title
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40, exchange or sell obsolete Navy service craft or boats that
are similar to such personal property and apply the ex-
change allowance or proceeds of sale in whole or part pay-
ment for such personal property.
‘‘(b) USE OF PROCEEDS FOR COST OF PREPARATION
OF SALE.—In selling a service craft or boat under sub-
section (a), the Secretary shall obtain, to the extent prac-
ticable, amounts necessary to recover the full costs, whether
direct or indirect, incurred by the Navy in preparing the
service craft or boat for sale, including costs of towing, stor-
age, defueling, removal and disposal of hazardous wastes,
environmental surveys to determine the presence of regu-
lated materials containing polychlorinated biphenyl (PCB),
removal and disposal of such materials, and other related
costs.
‘‘(c) TREATMENT
OF ADDITIONAL PROCEEDS.—(1)
Any proceeds of sale of a service craft or boat under sub-
section (a) that are in addition to amounts necessary to
recover the costs of the preparation of sale of the service
craft or boat under subsection (b) shall be deposited in an
account in the Treasury established for purposes of this sec-
tion.
‘‘(2) Amounts in the account under paragraph (1)
shall be available to the Secretary for the payment of costs
associated with the preparation of obsolete Navy service
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craft or boats for sale or exchange under this section.
Amounts in the account shall be available for that purpose
without fiscal year limitation.
‘‘(3) The Secretary shall, on a periodic basis, deposit
amounts in the account under paragraph (1) that are in
excess of the amounts otherwise utilized under paragraph
(2) in the general Treasury as miscellaneous receipts, or
in another account in the Treasury as otherwise provided
by law.
‘‘(d) INAPPLICABILITY
OF CERTAIN PROCUREMENT
REQUIREMENTS.—Notwithstanding section 503(b)(3) of
title 40, section 3709 of the Revised Statutes (41 U.S.C.
5) shall not apply to the exchange or sale of service craft
or boats under this section.
‘‘(e) REGULATIONS.—The Secretary may prescribe reg-
ulations relating to the exercise of authority under this sec-
tion.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the item relating to section 7309 the following new item:
‘‘7309a. Service craft and boats: exchange or sale.’’.
SEC. 1012. LIMITATION ON DISPOSAL OF OBSOLETE NAVAL
VESSEL.
The Secretary of the Navy may not dispose of the de-
commissioned destroyer ex-Edson (DD–946) before October
1, 2007, to an entity that is not a nonprofit organization
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unless the Secretary first determines that there is no non-
profit organization that meets the criteria for donation of
that vessel under section 7306(a)(3) of title 10, United
States Code.
SEC. 1013. AWARD OF CONTRACTS FOR SHIP DISMANTLING
ON NET COST BASIS.
(a) IN GENERAL.—Chapter 633 of title 10, United
States Code, is amended by inserting after section 7305 the
following new section:
‘‘§ 7305a. Contracts for ship dismantling: award on
net cost basis
‘‘(a) AUTHORITY.—Notwithstanding any other provi-
sion of law, the Secretary of the Navy may use net cost
as a criterion in the selection of an offeror for award of
a contract for the dismantling of one or more ships stricken
from the Naval Vessel Register and may accord that cri-
terion such weight in the offer evaluation process as the Sec-
retary considers appropriate and specifies in the solicita-
tion of offers for that contract.
‘‘(b) COMPETITION.—In exercising the authority under
this section, the Secretary shall to the maximum extent
practicable use the competitive procedure or combination
of competitive procedures that is best suited under the cir-
cumstances.
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‘‘(c) RETENTION OF PROCEEDS.—When the Secretary
of the Navy awards a ship dismantling contract on a net
cost basis, the contractor may retain the proceeds from the
sale of scrap and reusable items from the vessel being dis-
mantled.
‘‘(d) DEFINITIONS.—For purposes of this section:
‘‘(1) The term ‘net cost’, with respect to a con-
tract for the dismantling of a ship, means the amount
equal to the excess of—
‘‘(A) the amount of the contractor’s gross
cost of performance of the contract, over
‘‘(B) the estimated value of scrap and reus-
able items that the contractor removes from the
ship during performance of the contract, as stat-
ed in the contractor’s offer for such contract.
‘‘(2) The term ‘scrap’ means personal property
that has no value except for its basic material con-
tent.
‘‘(3) The term ‘reusable item’, with respect to a
ship, means any demilitarized component or remov-
able portion of the ship or the ship’s equipment that
the Navy has identified as excess to its needs but
which has potential resale value on the open market.’’.
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(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the item relating to section 7305 the following new item:
‘‘7305a. Contracts for ship dismantling: award on net cost basis.’’.
SEC. 1014. AUTHORITY TO TRANSFER NAVAL VESSELS TO
CERTAIN FOREIGN COUNTRIES.
(a) AUTHORITY TO TRANSFER BY GRANT.—The Sec-
retary of the Navy is authorized to transfer vessels to foreign
countries on a grant basis under section 516 of the Foreign
Assistance Act of 1961 (22 U.S.C. 2321j) as follows:
(1) CHILE.—To the Government of Chile, the
SPRUANCE class destroyer O’BANNON (DD 987).
(2) PORTUGAL.—To the Government of Portugal,
the OLIVER HAZARD PERRY class guided missile
frigate GEORGE PHILIP (FFG 12) and the OLI-
VER HAZARD PERRY class guided missile frigate
USS SIDES (FFG 14).
(b) AUTHORITY TO TRANSFER BY SALE.—The Sec-
retary of the Navy is authorized to transfer vessels to foreign
countries on a sale basis under section 21 of the Arms Ex-
port Control Act (22 U.S.C. 2761) as follows:
(1) TAIWAN.—To the Taipei Economic and Cul-
tural Representative Office in the United States
(which is the Taiwan instrumentality designated pur-
suant to section 10(a) of the Taiwan Relations Act),
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the ANCHORAGE class dock landing ship ANCHOR-
AGE (LSD 36).
(2) CHILE.—To the Government of Chile, the
SPRUANCE class destroyer FLETCHER (DD 992).
(c) GRANTS NOT COUNTED IN ANNUAL TOTAL OF
TRANSFERRED EXCESS DEFENSE ARTICLES.—The value of
a vessel transferred to another country on a grant basis
under section 516 of the Foreign Assistance Act of 1961 (22
U.S.C. 2321j) pursuant to authority provided by subsection
(a) shall not be counted for the purposes of subsection (g)
of that section in the aggregate value of excess defense arti-
cles transferred to countries under that section in any fiscal
year.
(d) COSTS OF TRANSFERS.—Any expense incurred by
the United States in connection with a transfer authorized
by this section shall be charged to the recipient (notwith-
standing section 516(e)(1) of the Foreign Assistance Act of
1961 (22 U.S.C. 2321j(e)(1)).
(e) REPAIR AND REFURBISHMENT IN UNITED STATES
SHIPYARDS.—To the maximum extent practicable, the
President shall require, as a condition of the transfer of a
vessel under this section, that the country to which the vessel
is transferred have such repair or refurbishment of the vessel
as is needed, before the vessel joins the naval forces of that
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country, performed at a shipyard located in the United
States, including a United States Navy shipyard.
(f) EXPIRATION OF AUTHORITY.— The authority to
transfer a vessel under this section shall expire at the end
of the two-year period beginning on the date of the enact-
ment of this Act.
Subtitle C—Reports
SEC. 1021. REPORT ON CONTRACTOR SECURITY IN IRAQ.
(a) REPORT REQUIRED.—(1) Not later than 90 days
after the date of the enactment of this Act, the Secretary
of Defense shall submit a report on contractor security in
Iraq to the congressional defense committees. The report
shall include, at a minimum—
(A) information on the security of contractor em-
ployees in Iraq, as described in subsection (b);
(B) information on contract security personnel
in Iraq, as described in subsection (c); and
(C) any recommended actions that the Secretary
considers appropriate to enhance contractor security
in Iraq.
(2) The information included in the report shall be
current as of September 30, 2004.
(b) SECURITY
OF
CONTRACTOR
EMPLOYEES
IN
IRAQ.—The report under subsection (a) shall include infor-
mation on contractor employees in Iraq, as follows:
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(1) The number of contractor employees in each
of the following categories of nationals:
(A) Nationals of the United States.
(B) Nationals of Iraq.
(C) Nationals of states other than the
United States and Iraq.
(2) For each of the categories of nationals listed
in paragraph (1), the number of casualties among
contractor employees on and after May 1, 2003.
(c) CONTRACT SECURITY PERSONNEL.—The report re-
quired by subsection (a) shall include information on con-
tract security personnel of a contractor in Iraq, as follows:
(1) The number of contract security personnel
engaged in providing security services to personnel or
facilities in each of the following categories:
(A) Personnel or facilities of the United
States Government or the Coalition Provisional
Authority.
(B) Personnel or facilities of the Iraqi Gov-
ernment.
(C) Personnel or facilities of a contractor or
subcontractor.
(2) For each of the categories of nationals listed
in subsection (b)(1), the following information:
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(A) The number of contract security per-
sonnel.
(B) The range of annual rates of pay of the
contract security personnel.
(C) The number of casualties among the
contract security personnel on and after May 1,
2003.
(3) The number, types, and sources of weapons
that contract security personnel are authorized to pos-
sess in each of the following categories:
(A) Weapons provided by coalition forces.
(B) Weapons supplied by the contractor.
(C) Weapons supplied by other sources.
(4) The extent to which contract security per-
sonnel are equipped with other critical equipment,
such as body armor, armored vehicles, secure commu-
nications, and friend-foe identification.
(5) An assessment of the extent to which contract
security personnel have been engaged by hostile fire
on and after May 1, 2003.
(d) COORDINATION.—In the preparation of the report
under this section, the Secretary of Defense shall coordinate
with the heads of any other departments and agencies of
the Federal Government that are affected by the perform-
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ance of Federal Government contracts by contractor per-
sonnel in Iraq.
(e) ADDITIONAL CONGRESSIONAL RECIPIENTS.—In
addition to submitting the report on contractor security
under this section to the congressional defense committees,
the Secretary of Defense shall also submit the report to any
other committees of Congress that the Secretary determines
appropriate to receive such report taking into consideration
the requirements of the Federal Government that contractor
personnel in Iraq are engaged in satisfying.
(f) FORMS OF REPORT.—The report required by this
section shall be submitted in classified and unclassified
forms.
(g) DEFINITIONS.—In this section:
(1) The term ‘‘contract security personnel’’ in-
cludes employees of a contractor or subcontractor who,
under a covered contract, provide security services in
Iraq to—
(A) personnel or facilities of the United
States Government or the Coalition Provisional
Authority;
(B) personnel or facilities of the Iraqi Gov-
ernment; or
(C) personnel or facilities of a contractor.
(2) The term ‘‘covered contract’’—
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(A) means a contract entered into by an
agency of the United States Government or by
the Coalition Provisional Authority for the pro-
curement of products or services to be provided
in Iraq, regardless of the source of the funding
for such procurement; and
(B) includes a subcontract under such a
contract, regardless of the source of the funding
for such procurement.
(3) The term ‘‘national of the United States’’ has
the meaning given such term in section 101(22) of the
Immigration 
and 
Nationality 
Act 
(8 
U.S.C.
1101(22)).
(4) The term ‘‘national’’, except as provided in
paragraph (3), has the meaning given such term in
section 101(21) of such Act.
SEC. 1022. TECHNICAL CORRECTION TO REFERENCE TO
CERTAIN ANNUAL REPORTS.
Section 2474(f)(2) of title 10, United States Code, is
amended by striking ‘‘section 2466(e)’’ and inserting ‘‘sec-
tion 2466(d)’’.
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SEC. 1023. STUDY OF ESTABLISHMENT OF MOBILIZATION
STATION AT CAMP RIPLEY NATIONAL GUARD
TRAINING 
CENTER, 
LITTLE 
FALLS, 
MIN-
NESOTA.
Not later than 120 days after the date of the enactment
of this Act, the Secretary of Defense shall carry out and
complete a study on the feasibility of the use of Camp Rip-
ley National Guard Training Center, Little Falls, Min-
nesota, as a mobilization station for reserve components or-
dered to active duty under provisions of law referred to in
section 101(a)(13)(B) of title 10, United States Code. The
study shall include consideration of the actions necessary
to establish such center as a mobilization station.
SEC. 1024. REPORT ON TRAINING PROVIDED TO MEMBERS
OF THE ARMED FORCES TO PREPARE FOR
POST-CONFLICT OPERATIONS.
(a) STUDY ON TRAINING.—The Secretary of Defense
shall conduct a study to determine the extent to which mem-
bers of the Armed Forces assigned to duty in support of
contingency operations receive training in preparation for
post-conflict operations and to evaluate the quality of such
training.
(b) MATTERS TO BE INCLUDED IN STUDY.—As part
of the study under subsection (a), the Secretary shall specifi-
cally evaluate the following:
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(1) The doctrine, training, and leader-develop-
ment system necessary to enable members of the
Armed Forces to successfully operate in post-conflict
operations.
(2) The adequacy of the curricula at military
educational facilities to ensure that the Armed Forces
has a cadre of members skilled in post-conflict duties,
including a familiarity with applicable foreign lan-
guages and foreign cultures.
(3) The training time and resources available to
members and units of the Armed Forces to develop
cultural awareness about ethnic backgrounds and reli-
gious beliefs of the people living in areas in which
post-conflict operations are likely to occur.
(4) The adequacy of training transformation to
emphasize post-conflict operations, including inter-
agency coordination in support of combatant com-
manders.
(c) REPORT ON STUDY.—Not later than May 1, 2005,
the Secretary shall submit to the Committee on Armed Serv-
ices of the Senate and the Committee on Armed Services
of the House of Representatives a report on the result of
the study conducted under this section.
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SEC. 1025. REPORT ON AVAILABILITY OF POTENTIAL OVER-
LAND BALLISTIC MISSILE DEFENSE TEST
RANGES.
The Secretary of Defense shall submit to Congress a
report assessing the availability to the Department of De-
fense of potential ballistic missile defense test ranges for
overland intercept flight tests of defenses against ballistic
missile systems with a range of 750 to 1,500 kilometers.
SEC. 1026. OPERATION OF THE FEDERAL VOTING ASSIST-
ANCE PROGRAM AND THE MILITARY POSTAL
SYSTEM.
(a) REQUIREMENT FOR REPORTS.—(1) The Secretary
of Defense shall submit to Congress two reports on the ac-
tions that the Secretary has taken to ensure that—
(A) the Federal Voting Assistance Program func-
tions effectively to support absentee voting by mem-
bers of the Armed Forces deployed outside the United
States in support of Operation Iraqi Freedom, Oper-
ation Enduring Freedom, and all other contingency
operations; and
(B) the military postal system functions effec-
tively to support the morale of the personnel described
in subparagraph (A) and absentee voting by such
members.
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(2)(A) The first report under paragraph (1) shall be
submitted not later than 60 days after the date of the enact-
ment of this Act.
(B) The second report under paragraph (1) shall be
submitted not later than 60 days after the date on which
the first report is submitted under that paragraph.
(3) In this subsection, the term ‘‘Federal Voting Assist-
ance Program’’ means the program referred to in section
1566(b)(1) of title 10, United States Code.
(b) IMPLEMENTATION OF RECOMMENDED POSTAL SYS-
TEM IMPROVEMENTS.—Not later than 90 days after the date
of the enactment of this Act, the Secretary of Defense shall
submit to Congress a report setting forth—
(1) the actions taken to implement the rec-
ommendations of the Military Postal Service Agency
Task Force, dated 28 August 2000; and
(2) in the case of each such recommendation not
implemented or not fully implemented as of the date
of report, the reasons for not implementing or not
fully implementing such recommendation, as the case
may be.
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SEC. 1027. REPORT ON ESTABLISHING NATIONAL CENTERS
OF EXCELLENCE FOR UNMANNED AERIAL
AND GROUND VEHICLES.
(a) REPORT REQUIRED.—Not later than 120 days
after the date of the enactment of this Act, the Secretary
of Defense shall submit to the congressional defense commit-
tees a report on the need for one or more national centers
of excellence for unmanned aerial and ground vehicles.
(b) GOAL OF CENTERS.—The goal of the centers cov-
ered by the report is to promote interservice cooperation and
coordination in the following areas:
(1) Development of joint doctrine for the organi-
zation, training, and use of unmanned aerial and
ground vehicles.
(2) Joint research, development, test, and evalua-
tion, and joint procurement of unmanned aerial and
ground vehicles.
(3) Identification and coordination, in conjunc-
tion with the private sector and academia, of the fu-
ture development of unmanned aerial and ground ve-
hicles.
(4) Monitoring of the development and utiliza-
tion of unmanned aerial and ground vehicles in other
nations for both military and non-military purposes.
(5) The providing of joint training and profes-
sional development opportunities in the use and oper-
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ation of unmanned aerial and ground vehicles to
military personnel of all ranks and levels of responsi-
bility.
(c) REPORT REQUIREMENTS.—The report shall in-
clude, at a minimum, the following:
(1) A list of facilities where the Defense Depart-
ment currently conducts or plans to conduct research,
development, and testing activities on unmanned aer-
ial and ground vehicles.
(2) A list of facilities where the Department of
Defense currently deploys or has committed to deploy-
ing unmanned aerial or ground vehicles.
(3) The extent to which existing facilities de-
scribed in paragraphs (1) and (2) have sufficient un-
used capacity and expertise to research, develop, test,
and deploy the current and next generations of un-
manned aerial and ground vehicles and to provide for
the development of doctrine on the use and training
of operators of such vehicles.
(4) The extent to which efficiencies on research,
development, testing, and deployment of existing or
future unmanned aerial and ground vehicles can be
achieved through consolidation at one or more na-
tional centers of excellence for unmanned aerial and
ground vehicles.
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(5) A list of potential locations for national cen-
ters of excellence.
(d) CONSIDERATIONS.—In determining the potential
locations for the national centers of excellence under this
section, the Secretary of Defense shall take into consider-
ation existing Air Force facilities that have—
(1) a workforce of skilled personnel;
(2) existing capacity of runways and other fa-
cilities to accommodate the research, testing, and de-
ployment of current and future unmanned aerial ve-
hicles; and
(3) minimal restrictions on the research, develop-
ment, and testing of unmanned aerial vehicles result-
ing from proximity to large population centers or air-
space heavily utilized by commercial flights.
SEC. 1028. REPORT ON POST-MAJOR COMBAT OPERATIONS
PHASE OF OPERATION IRAQI FREEDOM.
(a) REPORT REQUIRED.—(1) Not later than March 31,
2005, the Secretary of Defense shall submit to the congres-
sional defense committees a report on the conduct of mili-
tary operations during the post-major combat operations
phase of Operation Iraqi Freedom.
(2) The report shall be prepared in consultation with
the Chairman of the Joint Chiefs of Staff, the Commander
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of the United States Central Command, and such other offi-
cials as the Secretary considers appropriate.
(b) CONTENT.—(1) The report shall include a discus-
sion of the matters described in paragraph (2), with a par-
ticular emphasis on accomplishments and shortcomings and
on near-term and long-term corrective actions to address
such shortcomings.
(2) The matters to be discussed in the report are as
follows:
(A) The military and political objectives of the
international coalition conducting the post-major
combat operations phase of Operation Iraqi Freedom,
and the military strategy selected to achieve such ob-
jectives, together with an assessment of the execution
of the military strategy.
(B) The mobilization process for the reserve com-
ponents of the Armed Forces, including the timeliness
of notification, training and certification, and subse-
quent demobilization.
(C) The use and performance of major items of
United States military equipment, weapon systems,
and munitions (including non-lethal weapons and
munitions, items classified under special access proce-
dures, and items drawn from prepositioned stocks)
and any expected effects of the experience with the use
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and performance of such items on the doctrinal and
tactical employment of such items and on plans for
continuing the acquisition of such items.
(D) Any additional requirements for military
equipment, weapon systems, munitions, force struc-
ture, or other capability identified during the post-
major combat operations phase of Operation Iraqi
Freedom, including changes in type or quantity for
future operations.
(E) The effectiveness of joint air operations, to-
gether with an assessment of the effectiveness of—
(i) the employment of close air support; and
(ii) attack helicopter operations.
(F) The use of special operations forces, includ-
ing operational and intelligence uses.
(G) The scope of logistics support, including sup-
port to and from other nations and from inter-
national organizations and organizations and indi-
viduals from the private sector in Iraq.
(H) The incidents of accidental fratricide, in-
cluding a discussion of the effectiveness of the tracking
of friendly forces and the use of the combat identifica-
tion systems in mitigating friendly fire incidents.
(I) The adequacy of spectrum and bandwidth to
transmit information to operational forces and assets,
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including unmanned aerial vehicles, ground vehicles,
and individual soldiers.
(J) The effectiveness of strategic, operational,
and tactical information operations, including psy-
chological operations and assets, organization, and
doctrine related to civil affairs, in achieving estab-
lished objectives, together with a description of techno-
logical and other restrictions on the use of informa-
tion operations capabilities.
(K) The readiness of the reserve component forces
used in the post-major combat operations phase of
Operation Iraqi Freedom, including an assessment of
the success of the reserve component forces in accom-
plishing their missions.
(L) The adequacy of intelligence support during
the post-major combat operations phase of Operation
Iraqi Freedom, including the adequacy of such sup-
port in searches for weapons of mass destruction.
(M) The rapid insertion and integration, if any,
of developmental but mission-essential equipment, or-
ganizations, or procedures during the post-major com-
bat operations phase of Operation Iraqi Freedom.
(N) A description of the coordination, commu-
nication, and unity of effort between the Armed
Forces, the Coalition Provisional Authority, other
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United States government agencies and organizations,
nongovernmental organizations, and political, secu-
rity, and nongovernmental organizations of Iraq, in-
cluding an assessment of the effectiveness of such ef-
forts.
(O) The adequacy of training for military units
once deployed to the United States Central Command,
including training for changes in unit mission and
continuation training for high-intensity conflict mis-
sions.
(P) An estimate of the funding required to re-
turn or replace equipment used to date in Operation
Iraqi Freedom, including equipment in prepositioned
stocks, to mission-ready condition.
(Q) A description of military civil affairs and
reconstruction efforts, including through the Com-
manders Emergency Response Program, and an as-
sessment of the effectiveness of such efforts and pro-
grams.
(R) The adequacy of the requirements determina-
tion and acquisition processes, acquisition, and dis-
tribution of force protection equipment, including
personal gear, vehicles, helicopters, and defense de-
vices.
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(S) The most critical lessons learned that could
lead to long-term doctrinal, organizational, and tech-
nological changes, and the probable effects that an im-
plementation of those changes would have on current
visions, goals, and plans for transformation of the
Armed Forces or the Department of Defense.
(T) The planning for and implementation of mo-
rale, welfare, and recreation programs for deployed
forces and support to dependents, including rest and
recuperation programs and personal communication
benefits such as telephone, mail, and email services,
including an assessment of the effectiveness of such
programs.
(U) An analysis of force rotation plans, includ-
ing individual personnel and unit rotations, differing
deployment lengths, and in-theater equipment repair
and leave behinds.
(c) FORM OF REPORT.—The report shall be submitted
in unclassified form, but may include a classified annex.
(d) POST-MAJOR COMBAT OPERATIONS PHASE OF OP-
ERATION IRAQI FREEDOM DEFINED.—In this section, the
term ‘‘post-major combat operations phase of Operation
Iraqi Freedom’’ means the period of Operation Iraqi Free-
dom beginning on May 2, 2003, and ending on December
31, 2004.
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SEC. 1029. COMPTROLLER GENERAL ANALYSIS OF USE OF
TRANSITIONAL BENEFIT CORPORATIONS IN
CONNECTION WITH COMPETITIVE SOURCING
OF PERFORMANCE OF DEPARTMENT OF DE-
FENSE ACTIVITIES AND FUNCTIONS.
(a) REQUIREMENT FOR ANALYSIS.—Not later than
February 1, 2005, the Comptroller General shall submit to
Congress an analysis of the potential for use of transitional
benefit corporations in connection with competitive
sourcing of the performance of activities and functions of
the Department of Defense.
(b) SPECIFIC ISSUES.—The analysis under this section
shall—
(1) address the capabilities of transitional ben-
efit corporations—
(A) to preserve human capital and surge
capability;
(B) to promote economic development and
job creation;
(C) to generate cost savings; and
(D) to generate efficiencies that are com-
parable to or exceed the efficiencies that result
from competitive sourcing carried out by the De-
partment of Defense under the procedures appli-
cable to competitive sourcing by the Department
of Defense; and
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(2) identify areas within the Department of De-
fense in which transitional benefit corporations could
be used to add value, reduce costs, and provide oppor-
tunities for beneficial use of employees and other re-
sources that are displaced by competitive sourcing of
the performance of activities and functions of the De-
partment of Defense.
(d) TRANSITIONAL
BENEFIT
CORPORATION
DE-
FINED.—In this section, the term ‘‘transitional benefit cor-
poration’’ means a corporation that facilitates the transfer
of designated (usually underutilized) real estate, equipment,
intellectual property, or other assets of the United States
to the private sector in a process that enables employees
of the United States in positions associated with the use
of such assets to retain eligibility for Federal employee bene-
fits and to continue to accrue those benefits.
SEC. 1029A. COMPTROLLER GENERAL STUDY OF PROGRAMS
OF 
TRANSITION 
ASSISTANCE 
FOR 
PER-
SONNEL 
SEPARATING 
FROM 
THE 
ARMED
FORCES.
(a) REQUIREMENT
FOR STUDY.—The Comptroller
General shall carry out a study of the programs of the De-
partment of Defense and other departments and agencies
of the Federal Government under which transition assist-
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ance is provided to personnel who are separating from ac-
tive duty service in the Armed Forces.
(b) REPORT.—Not later than 180 days after the date
of the enactment of this Act, the Comptroller General shall
submit a report on the results of the study to the Committees
on Armed Services of the Senate and the House of Rep-
resentatives. The report shall include the following matters:
(1) Regarding the transition assistance programs
under section 1142 and 1144 of title 10, United
States Code—
(A) an analysis of the extent to which such
programs are meeting the current needs of mem-
bers of the Armed Forces as such personnel are
discharged 
or 
released 
from 
active 
duty,
including—
(i) a discussion of the original pur-
poses of the programs;
(ii) a discussion of how the programs
are currently being administered in rela-
tionship to those purposes; and
(iii) an assessment of whether the pro-
grams are adequate to meet the current
needs of members of the reserve components,
including the National Guard; and
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(B) any recommendations that the Comp-
troller General considers appropriate for improv-
ing such programs, including any recommenda-
tion regarding whether participation by mem-
bers of the Armed Forces in such programs
should be required.
(2) An analysis of the differences, if any, among
the Armed Forces and among the commands of mili-
tary installations of the Armed Forces regarding how
transition assistance is being provided under the
transition assistance programs, together with any rec-
ommendations that the Comptroller General considers
appropriate—
(A) to achieve uniformity in the provision
of assistance under such programs; and
(B) to ensure that the transition assistance
is provided under such programs to members of
the Armed Forces who are being separated at
medical facilities of the uniformed services or
Department of Veterans Affairs medical centers
and to Armed Forces personnel on a temporary
disability retired list under section 1202 or 1205
of title 10, United States Code.
(3) An analysis of the relationship of Depart-
ment of Defense transition assistance programs to the
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transition assistance programs of the Department of
Veterans Affairs and the Department of Labor, in-
cluding the relationship of the benefits delivery at dis-
charge program carried out jointly by the Department
of Defense and the Department of Veterans Affairs to
the other transition assistance programs.
(4) The rates of participation of Armed Forces
personnel in the transition assistance programs, to-
gether with any recommendations that the Comp-
troller General considers appropriate to increase such
participation rates, including any revisions of such
programs that could result in increased participation.
(5) An assessment of whether the transition as-
sistance information provided to Armed Forces per-
sonnel omits transition information that would be
beneficial to such personnel, including an assessment
of the extent to which information is provided under
the transition assistance programs regarding partici-
pation in Federal Government procurement opportu-
nities available at prime contract and subcontract
levels to veterans with service-connected disabilities
and other veterans, together with any recommenda-
tions that the Comptroller General considers appro-
priate regarding additional information that should
be provided and any other recommendations that the
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Comptroller General considers appropriate for en-
hancing the provision of counseling on such procure-
ment opportunities.
(6) An assessment of the extent to which rep-
resentatives of military service organizations and vet-
erans’ service organizations are afforded opportunities
to participate, and do participate, in preseparation
briefings under transition assistance programs, to-
gether with any recommendations that the Comp-
troller General considers appropriate regarding how
representatives of such organizations could better be
used to disseminate transition assistance information
and provide preseparation counseling to Armed
Forces personnel, including personnel of the reserve
components who are being released from active duty
for continuation of service in the reserve components.
(7) An analysis of the use of post-deployment
and predischarge health screenings, together with any
recommendations that the Comptroller General con-
siders appropriate regarding whether and how to in-
tegrate the health screening process and the transition
assistance programs into a single, coordinated
preseparation program for Armed Forces personnel
being discharged or released from active duty.
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(8) An analysis of the processes of the Armed
Forces for conducting physical examinations of mem-
bers of the Armed Forces in connection with discharge
and release from active duty, including—
(A) how post-deployment questionnaires are
used;
(B) the extent to which Armed Forces per-
sonnel waive the physical examinations; and
(C) how, and the extent to which, Armed
Forces personnel are referred for followup health
care.
(9) A discussion of the current process by which
mental health screenings are conducted, followup men-
tal health care is provided for, and services are pro-
vided in cases of post-traumatic stress disorder and
related conditions for members of the Armed Forces in
connection with discharge and release from active
duty, together with—
(A) for each of the Armed Forces, the pro-
grams that are in place to identify and treat
cases of post-traumatic stress disorder and re-
lated conditions; and
(B) for persons returning from deployments
in connection with Operation Enduring Freedom
and Operation Iraqi Freedom—
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(i) the number of persons treated as a
result of such screenings; and
(ii) the types of interventions.
(c) ACQUISITION OF SUPPORTING INFORMATION.—In
carrying out the study under this section, the Comptroller
General shall seek to obtain views from the following per-
sons:
(1) The Secretary of Defense and the Secretaries
of the military departments.
(2) The Secretary of Veterans Affairs.
(3) The Secretary of Labor.
(4) Armed Forces personnel who have received
transition assistance under the programs covered by
the study and Armed Forces personnel who have de-
clined to accept transition assistance offered under
such programs.
(5) Representatives of military service organiza-
tions and representatives of veterans’ service organi-
zations.
(6) Persons having expertise in health care (in-
cluding mental health care) provided under the De-
fense Health Program, including Department of De-
fense personnel, Department of Veterans Affairs per-
sonnel, and persons in the private sector.
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SEC. 1029B. STUDY ON COORDINATION OF JOB TRAINING
AND CERTIFICATION STANDARDS.
(a) REQUIREMENT FOR STUDY.—The Secretary of De-
fense and the Secretary of Labor shall jointly carry out a
study to determine ways to coordinate the standards ap-
plied by the Armed Forces for the training and certification
of members of the Armed Forces in military occupational
specialties with the standards that are applied to cor-
responding civilian occupations by occupational licensing
or certification agencies of governments and occupational
certification agencies in the private sector.
(b) REPORT.—Not later than 180 days after the date
of the enactment of this Act, the Secretary of Labor shall
submit a joint report on the results of the study under sub-
section (a) to Congress.
SEC. 1029C. CONTENT OF PRESEPARATION COUNSELING
FOR PERSONNEL SEPARATING FROM ACTIVE
DUTY SERVICE.
Section 1142 of title 10, United States Code, is
amended—
(1) by adding at the end of subsection (b) the fol-
lowing new paragraph:
‘‘(11) Information on participation in Federal
Government procurement opportunities that are
available at the prime contract level and at sub-
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contract levels to veterans with service-connected dis-
abilities and other veterans.’’; and
(2) by adding at the end the following new sub-
section:
‘‘(d) REQUIREMENTS RELATING TO COUNSELING ON
PROCUREMENT OPPORTUNITIES.—(1) For the counseling
under subsection (b)(11), the Secretary concerned may pro-
vide for participation of representatives of the Secretary of
Veterans Affairs, representatives of the Administrator of the
Small Business Administration, representatives of other ap-
propriate executive agencies, and representatives of Vet-
erans’ Business Outreach Centers and Small Business De-
velopment Centers.
‘‘(2) The Secretary concerned may provide for the
counseling under paragraph (11) of subsection (b) to be of-
fered at medical centers of the Department of Veterans Af-
fairs as well as the medical care facilities of the uniformed
services and other facilities at which the counseling on the
other matters required under such subsection is offered. The
access of representatives described in paragraph (1) to a
member of the armed forces to provide such counseling shall
be subject to the consent of that member.’’.
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SEC. 1029D. PERIODIC DETAILED ACCOUNTING FOR OPER-
ATIONS OF THE GLOBAL WAR ON TERRORISM.
(a) QUARTERLY ACCOUNTING.—Not later than 45 days
after the end of each quarter of a year, the Secretary of
Defense shall submit to the congressional defense commit-
tees, for such quarter for each operation described in sub-
section (b), a full accounting of all costs incurred for such
operation during such quarter and all amounts expended
during such quarter for such operation, and the purposes
for which such costs were incurred and such amounts were
expended.
(b) OPERATIONS COVERED.—The operations referred
to in subsection (a) are as follows:
(1) Operation Iraqi Freedom.
(2) Operation Enduring Freedom.
(3) Operation Noble Eagle.
(4) Any other operation that the President des-
ignates as being an operation of the Global War on
Terrorism.
(c) REQUIREMENT FOR COMPREHENSIVENESS.—For
the purpose of providing a full and complete accounting of
the costs and expenditures under subsection (a) for oper-
ations described in subsection (b), the Secretary shall ac-
count in the quarterly submission under subsection (a) for
all costs and expenditures that are reasonably attributable
to such operations, including personnel costs.
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SEC. 1029E. REPORT ON THE STABILIZATION OF IRAQ.
Not later than 120 days after the date of the enactment
of this Act, the President shall submit to the congressional
defense committees an unclassified report (with classified
annex, if necessary) on the strategy of the United States
and coalition forces for stabilizing Iraq. The report shall
contain a detailed explanation of the strategy, together with
the following information:
(1) A description of the efforts of the President
to work with the United Nations to provide support
for, and assistance to, the transitional government in
Iraq, and, in particular, the efforts of the President
to negotiate and secure adoption by the United Na-
tions Security Council of Resolution 1546.
(2) A description of the efforts of the President
to continue to work with North Atlantic Treaty Orga-
nization (NATO) member states and non-NATO
member states to provide support for and augment co-
alition forces, including efforts, as determined by the
United States combatant commander, in consultation
with coalition forces, to evaluate the—
(A) the current military forces of the NATO
and non-NATO member countries deployed to
Iraq;
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(B) the current police forces of NATO and
non-NATO member countries deployed to Iraq;
and
(C) the current financial resources of NATO
and non-NATO member countries provided for
the stabilization and reconstruction of Iraq.
(3) As a result of the efforts described in para-
graph (2)—
(A) a list of the NATO and non-NATO
member countries that have deployed and will
have agreed to deploy military and police forces;
and
(B) with respect to each such country, the
schedule and level of such deployments.
(4) A description of the efforts of the United
States and coalition forces to develop the domestic se-
curity forces of Iraq for the internal security and ex-
ternal defense of Iraq, including a description of
United States plans to recruit, train, equip, and de-
ploy domestic security forces of Iraq.
(5) As a result of the efforts described in para-
graph (4)—
(A) the number of members of the security
forces of Iraq that have been recruited;
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(B) the number of members of the security
forces of Iraq that have been trained; and
(C) the number of members of the security
forces of Iraq that have been deployed.
(6) A description of the efforts of the United
States and coalition forces to assist in the reconstruc-
tion of essential infrastructure of Iraq, including the
oil industry, electricity generation, roads, schools, and
hospitals.
(7) A description of the efforts of the United
States, coalition partners, and relevant international
agencies to assist in the development of political insti-
tutions and prepare for democratic elections in Iraq.
(8) A description of the obstacles, including fi-
nancial, technical, logistic, personnel, political, and
other obstacles, faced by NATO in generating and de-
ploying military forces out of theater to locations such
as Iraq.
SEC. 1029F. REPORTS ON MATTERS RELATING TO DETAIN-
MENT OF PRISONERS BY THE DEPARTMENT
OF DEFENSE.
(a) REPORTS REQUIRED.—Not later than 90 days
after the date of the enactment of this Act, and annually
thereafter, the Secretary of Defense shall submit to the ap-
propriate committees of Congress a report on the population
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of persons held by the Department of Defense for more than
45 days and on the facilities in which such persons are held.
(b) REPORT ELEMENTS.—Each report under sub-
section (a) shall include the following:
(1) General information on the foreign national
detainees in the custody of the Department on the
date of such report, including the following:
(A) The best estimate of the Department of
the number of the total number of detainees in
the custody of the Department as of the date of
such report.
(B) The countries in which such detainees
were detained, and the number of detainees de-
tained in each such country.
(C) The best estimate of the Department of
the total number of detainees released from the
custody of the Department during the one-year
period ending on the date of such report.
(2) For each foreign national detained and
registered with the National Detainee Reporting
Center by the Department on the date of such re-
port the following:
(A) The Internment Serial Number or other
appropriate identification number.
(B) The nationality, if available.
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(C) The place at which taken into custody,
if available.
(D) The circumstances of being taken into
custody, if available.
(E) The place of detention.
(F) The current length of detention.
(G) A categorization as a civilian detainee,
enemy prisoner of war/prisoner of war, or enemy
combatant.
(H) Information as to transfer to the juris-
diction of another country, including the iden-
tity of such country.
(3) Information on the detention facilities and
practices of the Department for the one-year period
ending on the date of such report, including for each
facility of the Department at which detainees were de-
tained by the Department during such period the fol-
lowing:
(A) The name of such facility.
(B) The location of such facility.
(C) The number of detainees detained at
such facility as of the end of such period.
(D) The capacity of such facility.