H. R. 3230—278
SEC. 1256. REPORT ON PARITY OF BENEFITS FOR ACTIVE DUTY
SERVICE AND RESERVE SERVICE.
No later than six months after the date of the enactment
of this Act, the Secretary of Defense shall submit to Congress
a report providing recommendations for changes in law that the
Secretary considers necessary, feasible, and affordable to reduce
the disparities in pay and benefits that occur between active compo-
nent members of the Armed Forces and reserve component members
as a result of eligibility based on length of time on active duty.
SEC. 1257. INFORMATION ON PROPOSED FUNDING FOR THE GUARD
AND RESERVE COMPONENTS IN FUTURE-YEARS DEFENSE
PROGRAMS.
(a) IN GENERAL.—(1) Chapter 1013 of title 10, United States
Code, is amended by adding at the end the following new section:
‘‘§ 10543. National Guard and reserve component equipment
procurement and military construction funding:
inclusion in future-years defense program
‘‘The Secretary of Defense shall specify in each future-years
defense program submitted to Congress under section 221 of this
title the estimated expenditures and the proposed appropriations,
for each fiscal year of the period covered by that program, for
the procurement of equipment and for military construction for
each of the reserve components of the armed forces.’’.
(2) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘10543. National Guard and reserve component equipment procurement and mili-
tary construction funding: inclusion in future-years defense program.’’.
(b) EFFECTIVE DATE.—Section 10543 of title 10, United States
Code, as added by subsection (a), shall apply with respect to each
future-years defense program submitted to Congress after the date
of the enactment of this Act.
TITLE XIII—ARMS CONTROL AND
RELATED MATTERS
Subtitle A—Arms Control, Counterpro- liferation Activities, and Related
Matters
Sec. 1301. Extension of counterproliferation authorities.
Sec. 1302. Limitation on retirement or dismantlement of strategic nuclear delivery
systems.
Sec. 1303. Strengthening certain sanctions against nuclear proliferation activities.
Sec. 1304. Authority to pay certain expenses relating to humanitarian and civic
assistance for clearance of landmines.
Sec. 1305. Report on military capabilities of People’s Republic of China.
Sec. 1306. Presidential report regarding weapons proliferation and policies of the
People’s Republic of China.
Sec. 1307. United States-People’s Republic of China Joint Defense Conversion Com-
mission.
Sec. 1308. Sense of Congress concerning export controls.
Sec. 1309. Counterproliferation Program Review Committee.
Sec. 1310. Sense of Congress concerning assisting other countries to improve
security of fissile material.
Sec. 1311. Review by Director of Central Intelligence of National Intelligence Esti-
mate 95–19.
Subtitle B—Commission to Assess the Ballistic Missile Threat to the United
States
Sec. 1321. Establishment of Commission.
H. R. 3230—279
Sec. 1322. Duties of Commission.
Sec. 1323. Report.
Sec. 1324. Powers.
Sec. 1325. Commission procedures.
Sec. 1326. Personnel matters.
Sec. 1327. Miscellaneous administrative provisions.
Sec. 1328. Funding.
Sec. 1329. Termination of the Commission.
Subtitle 
A—Arms 
Control, 
Counter-
proliferation 
Activities, 
and 
Related
Matters
SEC. 1301. EXTENSION OF COUNTERPROLIFERATION AUTHORITIES.
(a) ONE-YEAR EXTENSION OF AUTHORITY.—Section 1505 of the
Weapons of Mass Destruction Control Act of 1992 (title XV of
Public Law 102–484; 22 U.S.C. 5859a) is amended—
(1) in subsection (d)(3), by striking out ‘‘or’’ after ‘‘fiscal
year 1995,’’ and by inserting ‘‘, or $15,000,000 for fiscal year
1997’’ before the period at the end; and
(2) in subsection (f), by striking out ‘‘1996’’ and inserting
in lieu thereof ‘‘1997’’.
(b) FUNDING FLEXIBILITY.—Subsection (d) of such section is
further amended by adding at the end the following new paragraph:
‘‘(4)(A) In the event of a significant unforeseen development
related to the activities of the United Nations Special Commission
on Iraq for which the Secretary of Defense determines that financial
assistance under this section is required at a level which would
result in the total amount of assistance provided under this section
during the then-current fiscal year exceeding the amount specified
with respect to that year under paragraph (3), the Secretary of
Defense may provide such assistance notwithstanding the limitation
with respect to that fiscal year under paragraph (3). Funds for
such purpose may be derived from any funds available to the
Department of Defense for that fiscal year.
‘‘(B) Financial assistance may be provided under subparagraph
(A) only after the Secretary of Defense provides notice in writing
to the committees of Congress named in subsection (e)(2) of the
significant unforeseen development and of the Secretary’s intent
to provide assistance in excess of the limitation for that fiscal
year under paragraph (3). However, if the Secretary determines
in any case that under the specific circumstances of that case
advance notice is not possible, such notice shall be provided as
soon as possible and not later than 15 days after the date on
which the assistance is provided. Any notice under this subpara-
graph shall include a description of the development, the amount
of assistance provided or to be provided, and the source of the
funds for that assistance.’’.
SEC. 1302. LIMITATION ON RETIREMENT OR DISMANTLEMENT OF
STRATEGIC NUCLEAR DELIVERY SYSTEMS.
(a) FUNDING LIMITATION.—Funds available to the Department
of Defense may not be obligated or expended during fiscal year
1997 for retiring or dismantling, or for preparing to retire or
dismantle, any of the following strategic nuclear delivery systems:
(1) B–52H bomber aircraft.
(2) Trident ballistic missile submarines.
H. R. 3230—280
(3) Minuteman III intercontinental ballistic missiles.
(4) Peacekeeper intercontinental ballistic missiles.
(b) WAIVER AUTHORITY.—If the START II Treaty enters into
force during fiscal year 1996 or fiscal year 1997, the Secretary
of Defense may waive the application of the limitation under para-
graphs (2), (3), and (4) of subsection (a) to Trident ballistic missile
submarines, Minuteman III intercontinental ballistic missiles, and
Peacekeeper intercontinental ballistic missiles, respectively, to the
extent that the Secretary determines necessary in order to imple-
ment the treaty.
(c) FUNDING LIMITATION ON EARLY DEACTIVATION.—(1) If the
limitation under paragraphs (2), (3), and (4) of subsection (a) ceases
to apply by reason of a waiver under subsection (b), funds available
to the Department of Defense may nevertheless not be obligated
or expended during fiscal year 1997 to implement any agreement
or understanding to undertake substantial early deactivation of
a strategic nuclear delivery system specified in subsection (b) until
30 days after the date on which the President submits to Congress
a report concerning such actions.
(2) For purposes of this subsection, a substantial early deactiva-
tion is an action during fiscal year 1997 to deactivate a substantial
number of strategic nuclear delivery systems specified in subsection
(b) by—
(A) removing nuclear warheads from those systems; or
(B) taking other steps to remove those systems from combat
status.
(3) A report under this subsection shall include the following:
(A) The text of any understanding or agreement between
the United States and the Russian Federation concerning
substantial early deactivation of strategic nuclear delivery
systems under the START II Treaty.
(B) The plan of the Department of Defense for implement-
ing the agreement.
(C) An assessment of the Secretary of Defense of the
adequacy of the provisions contained in the agreement for mon-
itoring and verifying compliance of Russia with the terms of
the agreement.
(D) A determination by the President as to whether the
deactivations to occur under the agreement will be carried
out in a symmetrical, reciprocal, or equivalent manner.
(E) An assessment by the President of the effect of the
proposed early deactivation on the stability of the strategic
balance and relative strategic nuclear capabilities of the United
States and the Russian Federation at various stages during
deactivation and upon completion.
(d) START II TREATY DEFINED.—For purposes of this section,
the term ‘‘START II Treaty’’ means the Treaty Between the United
States of America and the Russian Federation on Further Reduction
and Limitation of Strategic Offensive Arms, signed at Moscow on
January 3, 1993, including the following protocols and memorandum
of understanding, all such documents being integral parts of and
collectively referred to as the ‘‘START II Treaty’’ (contained in
Treaty Document 103–1):
(1) The Protocol on Procedures Governing Elimination of
Heavy ICBMs and on Procedures Governing Conversion of Silo
Launchers of Heavy ICBMs Relating to the Treaty Between
the United States of America and the Russian Federation on
H. R. 3230—281
Further Reduction and Limitation of Strategic Offensive Arms
(also known as the ‘‘Elimination and Conversion Protocol’’).
(2) The Protocol on Exhibitions and Inspections of Heavy
Bombers Relating to the Treaty Between the United States
and the Russian Federation on Further Reduction and Limita-
tion of Strategic Offensive Arms (also known as the ‘‘Exhibitions
and Inspections Protocol’’).
(3) The Memorandum of Understanding on Warhead
Attribution and Heavy Bomber Data Relating to the Treaty
Between the United States of America and the Russian Federa-
tion on Further Reduction and Limitation of Strategic Offensive
Arms (also known as the ‘‘Memorandum on Attribution’’).
(e) RETENTION OF B–52H AIRCRAFT ON ACTIVE STATUS.—(1)
The Secretary of the Air Force shall maintain in active status
(including the performance of standard maintenance and upgrades)
the current fleet of B–52H bomber aircraft.
(2) For purposes of carrying out upgrades of B–52H bomber
aircraft during fiscal year 1997, the Secretary shall treat the entire
current fleet of such aircraft as aircraft expected to be maintained
in active status during the six-year period beginning on October
1, 1996.
SEC. 1303. STRENGTHENING CERTAIN SANCTIONS AGAINST NUCLEAR
PROLIFERATION ACTIVITIES.
(a) SANCTIONS.—Section 2(b)(4) of the Export-Import Bank Act
of 1945 (12 U.S.C. 635(b)(4)) is amended to read as follows:
‘‘(4)(A) If the Secretary of State determines that—
‘‘(i) any country that has agreed to International
Atomic Energy Agency nuclear safeguards materially vio-
lates, abrogates, or terminates, after October 26, 1977,
such safeguards;
‘‘(ii) any country that has entered into an agreement
for cooperation concerning the civil use of nuclear energy
with the United States materially violates, abrogates, or
terminates, after October 26, 1977, any guarantee or other
undertaking to the United States made in such agreement;
‘‘(iii) any country that is not a nuclear-weapon state
detonates, after October 26, 1977, a nuclear explosive
device;
‘‘(iv) any country willfully aids or abets, after June
29, 1994, any non-nuclear-weapon state to acquire any
such nuclear explosive device or to acquire unsafeguarded
special nuclear material; or
‘‘(v) any person knowingly aids or abets, after the date
of enactment of the National Defense Authorization Act
for Fiscal Year 1997, any non-nuclear-weapon state to
acquire any such nuclear explosive device or to acquire
unsafeguarded special nuclear material,
then the Secretary of State shall submit a report to the appro-
priate committees of the Congress and to the Board of Directors
of the Bank stating such determination and identifying each
country or person the Secretary determines has so acted.
‘‘(B)(i) If the Secretary of State makes a determination
under subparagraph (A)(v) with respect to a foreign person,
the Congress urges the Secretary to initiate consultations imme-
diately with the government with primary jurisdiction over
H. R. 3230—282
that person with respect to the imposition of the prohibition
contained in subparagraph (C).
‘‘(ii) In order that consultations with that government may
be pursued, the Board of Directors of the Bank shall delay
imposition of the prohibition contained in subparagraph (C)
for up to 90 days if the Secretary of State requests the Board
to make such delay. Following these consultations, the prohibi-
tion contained in subparagraph (C) shall apply immediately
unless the Secretary determines and certifies to the Congress
that that government has taken specific and effective actions,
including appropriate penalties, to terminate the involvement
of the foreign person in the activities described in subparagraph
(A)(v). The Board of Directors of the Bank shall delay the
imposition of the prohibition contained in subparagraph (C)
for up to an additional 90 days if the Secretary requests the
Board to make such additional delay and if the Secretary
determines and certifies to the Congress that that government
is in the process of taking the actions described in the preceding
sentence.
‘‘(iii) Not later than 90 days after making a determination
under subparagraph (A)(v), the Secretary of State shall submit
to the appropriate committees of the Congress a report on
the status of consultations with the appropriate government
under this subparagraph, and the basis for any determination
under clause (ii) that such government has taken specific correc-
tive actions.
‘‘(C) The Board of Directors of the Bank shall not give
approval to guarantee, insure, or extend credit, or participate
in the extension of credit in support of United States exports
to any country, or to or by any person, identified in the report
described in subparagraph (A).
‘‘(D) The prohibition in subparagraph (C) shall not apply
to approvals to guarantee, insure, or extend credit, or partici-
pate in the extension of credit in support of United States
exports to a country with respect to which a determination
is made under clause (i), (ii), (iii), or (iv) of subparagraph
(A) regarding any specific event described in such clause if
the President determines and certifies in writing to the Con-
gress not less than 45 days prior to the date of the first
approval following the determination that it is in the national
interest for the Bank to give such approvals.
‘‘(E) The prohibition in subparagraph (C) shall not apply
to approvals to guarantee, insure, or extend credit, or partici-
pate in the extension of credit in support of United States
exports to or by a person with respect to whom a determination
is made under clause (v) of subparagraph (A) regarding any
specific event described in such clause if—
‘‘(i) the Secretary of State determines and certifies
to the Congress that the appropriate government has taken
the corrective actions described in subparagraph (B)(ii);
or
‘‘(ii) the President determines and certifies in writing
to the Congress not less than 45 days prior to the date
of the first approval following the determination that—
‘‘(I) reliable information indicates that—
‘‘(aa) such person has ceased to aid or abet
any non-nuclear-weapon state to acquire any
H. R. 3230—283
nuclear 
explosive 
device 
or 
to 
acquire
unsafeguarded special nuclear material; and
‘‘(bb) steps have been taken to ensure that
the activities described in item (aa) will not
resume; or
‘‘(II) the prohibition would have a serious adverse
effect on vital United States interests.
‘‘(F) For purposes of this paragraph:
‘‘(i) The term ‘country’ has the meaning given to ‘foreign
state’ in section 1603(a) of title 28, United States Code.
‘‘(ii) The term ‘knowingly’ is used within the meaning
of the term ‘knowing’ in section 104(h)(3) of the Foreign
Corrupt Practices Act (15 U.S.C. 78dd–2(h)(3)).
‘‘(iii) The term ‘person’ means a natural person as
well as a corporation, business association, partnership,
society, trust, any other nongovernmental entity, organiza-
tion, or group, and any governmental entity operating as
a business enterprise, and any successor of any such entity.
‘‘(iv) The term ‘nuclear-weapon state’ has the meaning
given the term in Article IX(3) of the Treaty on the Non-
Proliferation of Nuclear Weapons, signed at Washington,
London, and Moscow on July 1, 1968.
‘‘(v) The term ‘non-nuclear-weapon state’ has the
meaning given the term in section 830(5) of the Nuclear
Proliferation Prevention Act of 1994 (Public Law 103–236;
108 Stat. 521).
‘‘(vi) The term ‘nuclear explosive device’ has the
meaning given the term in section 830(4) of the Nuclear
Proliferation Prevention Act of 1994 (Public Law 103–236;
108 Stat. 521).
‘‘(vii) The term ‘unsafeguarded special nuclear material’
has the meaning given the term in section 830(8) of the
Nuclear Proliferation Prevention Act of 1994.’’.
(b) RECOMMENDATIONS TO MAKE NONPROLIFERATION LAWS
MORE EFFECTIVE.—Not later than 180 days after the date of the
enactment of this Act, the President shall submit to the Congress
his recommendations on ways to make the laws of the United
States more effective in controlling and preventing the proliferation
of weapons of mass destruction and missiles. The report shall
identify all sources of Government funds used for such nonprolifera-
tion activities.
SEC. 1304. AUTHORITY TO PAY CERTAIN EXPENSES RELATING TO
HUMANITARIAN AND CIVIC ASSISTANCE FOR CLEARANCE
OF LANDMINES.
(a) AUTHORITY TO PAY EXPENSES.—Section 401(c) of title 10,
United States Code, is amended—
(1) by redesignating paragraph (2) as paragraph (4); and
(2) by inserting after paragraph (1) the following new para-
graphs:
‘‘(2) Expenses covered by paragraph (1) include the following
expenses incurred in providing assistance described in subsection
(e)(5):
‘‘(A) Travel, transportation, and subsistence expenses of
Department of Defense personnel providing such assistance.
‘‘(B) The cost of any equipment, services, or supplies
acquired for the purpose of carrying out or supporting the
H. R. 3230—284
activities described in subsection (e)(5), including any nonlethal,
individual, or small-team landmine clearing equipment or sup-
plies that are to be transferred or otherwise furnished to a
foreign country in furtherance of the provision of assistance
under this section.
‘‘(3) The cost of equipment, services, and supplies provided
in any fiscal year under paragraph (2)(B) may not exceed
$5,000,000.’’.
(b) COORDINATION WITH OTHER LAWS.—Section 401(b) of such
title is amended—
(1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and
(2) by adding at the end the following:
‘‘(2) Any authority provided under any other provision of law
to provide assistance that is described in subsection (e)(5) to a
foreign country shall be carried out in accordance with, and subject
to, the limitations prescribed in this section. Any such provision
may be construed as superseding a provision of this section only
if, and to the extent that, such provision specifically refers to
this section and specifically identifies the provision of this section
that is to be considered superseded or otherwise inapplicable under
such provision.’’.
SEC. 1305. REPORT 
ON 
MILITARY 
CAPABILITIES 
OF 
PEOPLE’S
REPUBLIC OF CHINA.
(a) REPORT.—The Secretary of Defense shall prepare a report,
in both classified and unclassified form, on the future pattern
of military modernization of the People’s Republic of China. The
report shall address both the probable course of military-techno-
logical development in the People’s Liberation Army and the
development of Chinese military strategy and operational concepts.
(b) MATTERS TO BE INCLUDED.—The report shall include analy-
ses and forecasts of the following:
(1) Trends that would lead the People’s Republic of China
toward advanced intelligence, surveillance, and reconnaissance
capabilities, either through a development program or by gain-
ing access to commercial or third-party systems with militarily
significant capabilities.
(2) Efforts by the People’s Republic of China to develop
highly accurate and low-observable ballistic and cruise missiles,
and the investments in infrastructure that would allow for
production of such weapons in militarily significant quantities,
particularly in numbers sufficient to conduct attacks capable
of overwhelming projected defense capabilities in the region.
(3) Development by the People’s Republic of China of
enhanced command and control networks, particularly those
capable of battle management that would include long-range
precision strikes.
(4) Programs of the People’s Republic of China involving
unmanned aerial vehicles, particularly those with extended
ranges or loitering times.
(5) Exploitation by the People’s Republic of China of the
Global Positioning System or other similar systems, including
commercial land surveillance satellites, for significant military
purposes, including particularly for increasing the accuracy
of weapons or the situational awareness of operating forces.
H. R. 3230—285
(6) Development by the People’s Republic of China of
capabilities for denial of sea control, such as advanced sea
mines or improved submarine capabilities.
(7) Continued development by the People’s Republic of
China of follow-on forces, particularly those capable of rapid
air or amphibious assault.
(c) SUBMISSION
OF REPORT.—The report shall be submitted
to Congress not later than February 1, 1997.
SEC. 1306. PRESIDENTIAL 
REPORT 
REGARDING 
WEAPONS 
PRO-
LIFERATION AND POLICIES OF THE PEOPLE’S REPUBLIC
OF CHINA.
(a) FINDINGS.—The Congress finds that—
(1) the People’s Republic of China acceded to the Treaty
on the Non-Proliferation of Nuclear Weapons (hereafter in this
section referred to as the ‘‘NPT’’) on March 9, 1992;
(2) the People’s Republic of China is not a member of
the Nuclear Suppliers Group and remains the only major
nuclear supplier that continues to transfer nuclear technology,
equipment, and materials to countries that have not agreed
to the application of safeguards of the International Atomic
Energy Agency (hereafter in this section referred to as the
‘‘IAEA’’) over all of their nuclear materials;
(3) on June 30, 1995, the United States and 29 other
members of the Nuclear Suppliers Group notified the Director
General of the IAEA that the Government of each respective
country has decided that the controls of that Group should
not be defeated by the transfer of component parts;
(4) a state-owned entity in the People’s Republic of China,
the China Nuclear Energy Industry Corporation, has knowingly
transferred 
specially 
designed 
ring 
magnets 
to 
an
unsafeguarded uranium enrichment facility in the Islamic
Republic of Pakistan;
(5) ring magnets are identified on the Trigger List of the
Nuclear Suppliers Group as a component of magnetic suspen-
sion bearings which are to be exported only to countries that
have safeguards of the IAEA over all of their nuclear materials;
(6) these ring magnets could contribute significantly to
the ability of the Islamic Republic of Pakistan to produce addi-
tional unsafeguarded enriched uranium, a nuclear explosive
material;
(7) the Government of the People’s Republic of China has
transferred nuclear equipment and technology to the Islamic
Republic of Iran, despite repeated claims by the Government
of the United States that the Islamic Republic of Iran is engaged
in clandestine efforts to acquire a nuclear explosive device;
(8) representatives of the Government of the People’s
Republic of China have repeatedly assured the Government
of the United States that the People’s Republic of China would
abide by the guidelines of the Missile Technology Control
Regime (hereafter in this section referred to as the ‘‘MTCR’’);
(9) the Government of China has transferred M–11 missiles
to the Islamic Republic of Pakistan; and
(10) the M–11 missile conforms to the definition of a
nuclear-capable missile under the MTCR.
(b) SENSE
OF
THE
CONGRESS.—It is the sense of the
Congress that—
H. R. 3230—286
(1) the assistance that the People’s Republic of China has
provided to the Islamic Republic of Iran and to the Islamic
Republic of Pakistan could contribute to the ability of such
countries to manufacture nuclear weapons;
(2) the recent transfer by the People’s Republic of China
of ring magnets to an unsafeguarded uranium enrichment facil-
ity in the Islamic Republic of Pakistan conflicts with China’s
obligations under Articles I and III of the NPT, as well as
the official nonproliferation policies and assurances by the Peo-
ple’s Republic of China and the Islamic Republic of Pakistan
with respect to the nonproliferation of nuclear weapons and
nuclear-capable missiles;
(3) the transfer of M–11 missiles from the People’s Republic
of China to the Islamic Republic of Pakistan is inconsistent
with longstanding United States Government interpretations
of assurances from the Government of the People’s Republic
of China with respect to that country’s intent to abide by
the guidelines of the MTCR;
(4) violations by the People’s Republic of China of the
standards and objectives of the MTCR and global nuclear non-
proliferation regimes have jeopardized the credibility of the
MTCR and such regimes;
(5) the MTCR and global nuclear nonproliferation regimes
require collective international action to impose costs against
and to withhold benefits from any country, including the Peo-
ple’s Republic of China, that engages in activities that are
contrary to the objectives of those regimes;
(6) the President should explore with the governments
of other countries new opportunities for collective action in
response to activities of any country, including the People’s
Republic of China, that aid or abet the global proliferation
of weapons of mass destruction or their means of delivery;
and
(7) the President should communicate to the Government
of the People’s Republic of China the sense of the Congress
that the stability and growth of future relations between the
people, the economies, and the Governments of the United
States and the People’s Republic of China will significantly
depend upon substantive evidence of cooperation by the Govern-
ment of the People’s Republic of China in efforts to halt the
global proliferation of weapons of mass destruction and their
means of delivery.
(c) REPORT.—Not later than 60 days after the date of the
enactment of this Act, the President shall submit to the Congress
a report, in both classified and unclassified form, concerning the
transfer from the People’s Republic of China to the Islamic Republic
of Pakistan of technology, equipment, or materials important to
the production of nuclear weapons and their means of delivery.
The President shall include in the report the following:
(1) The specific justification of the Secretary of State for
determining that there was not a sufficient basis for imposing
sanctions under section 2(b)(4) of the Export-Import Bank Act
of 1945, as amended by section 825 of the Nuclear Proliferation
Prevention Act of 1994, by reason of the transfer of ring
magnets and other technology, equipment, or materials from
the People’s Republic of China to the Islamic Republic of Paki-
stan.