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proves or implements the transfer of administrative respon-
sibilities or budgetary resources of any program, project,
or activity financed by this Act to the jurisdiction of an-
other Federal agency not financed by this Act without the
express authorization of Congress: Provided, That this limi-
tation shall not apply to transfers of funds expressly pro-
vided for in Defense Appropriations Acts, or provisions of
Acts providing supplemental appropriations for the De-
partment of Defense.
SEC. 8066. (a) LIMITATION ON TRANSFER OF DE-
FENSE ARTICLES AND SERVICES.—Notwithstanding any
other provision of law, none of the funds available to the
Department of Defense for the current fiscal year may be
obligated or expended to transfer to another nation or an
international organization any defense articles or services
(other than intelligence services) for use in the activities de-
scribed in subsection (b) unless the congressional defense
committees, the Committee on International Relations of
the House of Representatives, and the Committee on For-
eign Relations of the Senate are notified 15 days in advance
of such transfer.
(b) COVERED ACTIVITIES.—This section applies to—
(1) any international peacekeeping or peace-en-
forcement operation under the authority of chapter VI
or chapter VII of the United Nations Charter under
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the authority of a United Nations Security Council
resolution; and
(2) any other international peacekeeping, peace-
enforcement, or humanitarian assistance operation.
(c) REQUIRED NOTICE.—A notice under subsection (a)
shall include the following:
(1) A description of the equipment, supplies, or
services to be transferred.
(2) A statement of the value of the equipment,
supplies, or services to be transferred.
(3) In the case of a proposed transfer of equip-
ment or supplies—
(A) a statement of whether the inventory re-
quirements of all elements of the Armed Forces
(including the reserve components) for the type
of equipment or supplies to be transferred have
been met; and
(B) a statement of whether the items pro-
posed to be transferred will have to be replaced
and, if so, how the President proposes to provide
funds for such replacement.
SEC. 8067. To the extent authorized by subchapter VI
of chapter 148 of title 10, United States Code, the Secretary
of Defense may issue loan guarantees in support of United
States defense exports not otherwise provided for: Provided,
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That the total contingent liability of the United States for
guarantees issued under the authority of this section may
not exceed $15,000,000,000: Provided further, That the ex-
posure fees charged and collected by the Secretary for each
guarantee shall be paid by the country involved and shall
not be financed as part of a loan guaranteed by the United
States: Provided further, That the Secretary shall provide
quarterly reports to the Committees on Appropriations,
Armed Services, and Foreign Relations of the Senate and
the Committees on Appropriations, Armed Services, and
International Relations in the House of Representatives on
the implementation of this program: Provided further, That
amounts charged for administrative fees and deposited to
the special account provided for under section 2540c(d) of
title 10, shall be available for paying the costs of adminis-
trative expenses of the Department of Defense that are at-
tributable to the loan guarantee program under subchapter
VI of chapter 148 of title 10, United States Code.
SEC. 8068. None of the funds available to the Depart-
ment of Defense under this Act shall be obligated or ex-
pended to pay a contractor under a contract with the De-
partment of Defense for costs of any amount paid by the
contractor to an employee when—
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(1) such costs are for a bonus or otherwise in ex-
cess of the normal salary paid by the contractor to the
employee; and
(2) such bonus is part of restructuring costs asso-
ciated with a business combination.
SEC. 8069. (a) None of the funds appropriated or oth-
erwise made available in this Act may be used to transport
or provide for the transportation of chemical munitions or
agents to the Johnston Atoll for the purpose of storing or
demilitarizing such munitions or agents.
(b) The prohibition in subsection (a) shall not apply
to any obsolete World War II chemical munition or agent
of the United States found in the World War II Pacific
Theater of Operations.
(c) The President may suspend the application of sub-
section (a) during a period of war in which the United
States is a party.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8070. During the current fiscal year, no more
than $30,000,000 of appropriations made in this Act under
the heading ‘‘Operation and Maintenance, Defense-Wide’’
may be transferred to appropriations available for the pay
of military personnel, to be merged with, and to be available
for the same time period as the appropriations to which
transferred, to be used in support of such personnel in con-
nection with support and services for eligible organizations
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and activities outside the Department of Defense pursuant
to section 2012 of title 10, United States Code.
SEC. 8071. During the current fiscal year, in the case
of an appropriation account of the Department of Defense
for which the period of availability for obligation has ex-
pired or which has closed under the provisions of section
1552 of title 31, United States Code, and which has a nega-
tive unliquidated or unexpended balance, an obligation or
an adjustment of an obligation may be charged to any cur-
rent appropriation account for the same purpose as the ex-
pired or closed account if—
(1) the obligation would have been properly
chargeable (except as to amount) to the expired or
closed account before the end of the period of avail-
ability or closing of that account;
(2) the obligation is not otherwise properly
chargeable to any current appropriation account of
the Department of Defense; and
(3) in the case of an expired account, the obliga-
tion is not chargeable to a current appropriation of
the Department of Defense under the provisions of sec-
tion 1405(b)(8) of the National Defense Authorization
Act for Fiscal Year 1991, Public Law 101–510, as
amended (31 U.S.C. 1551 note): Provided, That in
the case of an expired account, if subsequent review
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or investigation discloses that there was not in fact a
negative unliquidated or unexpended balance in the
account, any charge to a current account under the
authority of this section shall be reversed and re-
corded against the expired account: Provided further,
That the total amount charged to a current appro-
priation under this section may not exceed an
amount equal to 1 percent of the total appropriation
for that account.
SEC. 8072. Funds appropriated in title II of this Act
and for the Defense Health Program in title VI of this Act
for supervision and administration costs for facilities
maintenance and repair, minor construction, or design
projects may be obligated at the time the reimbursable order
is accepted by the performing activity: Provided, That for
the purpose of this section, supervision and administration
costs includes all in-house Government cost.
SEC. 8073. During the current fiscal year and here-
after, the Secretary of Defense may waive reimbursement
of the cost of conferences, seminars, courses of instruction,
or similar educational activities of the Asia-Pacific Center
for Security Studies for military officers and civilian offi-
cials of foreign nations if the Secretary determines that at-
tendance by such personnel, without reimbursement, is in
the national security interest of the United States: Pro-
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vided, That costs for which reimbursement is waived pursu-
ant to this section shall be paid from appropriations avail-
able for the Asia-Pacific Center.
SEC. 8074. (a) Notwithstanding any other provision
of law, the Chief of the National Guard Bureau may permit
the use of equipment of the National Guard Distance Learn-
ing Project by any person or entity on a space-available,
reimbursable basis. The Chief of the National Guard Bu-
reau shall establish the amount of reimbursement for such
use on a case-by-case basis.
(b) Amounts collected under subsection (a) shall be
credited to funds available for the National Guard Distance
Learning Project and be available to defray the costs associ-
ated with the use of equipment of the project under that
subsection. Such funds shall be available for such purposes
without fiscal year limitation.
SEC. 8075. Using funds available by this Act or any
other Act, the Secretary of the Air Force, pursuant to a
determination under section 2690 of title 10, United States
Code, may implement cost-effective agreements for required
heating facility modernization in the Kaiserslautern Mili-
tary Community in the Federal Republic of Germany: Pro-
vided, That in the City of Kaiserslautern such agreements
will include the use of United States anthracite as the base
load energy for municipal district heat to the United States
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Defense installations: Provided further, That at Landstuhl
Army Regional Medical Center and Ramstein Air Base,
furnished heat may be obtained from private, regional or
municipal services, if provisions are included for the con-
sideration of United States coal as an energy source.
SEC. 8076. None of the funds appropriated in title IV
of this Act may be used to procure end-items for delivery
to military forces for operational training, operational use
or inventory requirements: Provided, That this restriction
does not apply to end-items used in development, proto-
typing, and test activities preceding and leading to accept-
ance for operational use: Provided further, That this restric-
tion does not apply to programs funded within the National
Foreign Intelligence Program: Provided further, That the
Secretary of Defense may waive this restriction on a case-
by-case basis by certifying in writing to the Committees on
Appropriations of the House of Representatives and the
Senate that it is in the national security interest to do so.
SEC. 8077. None of the funds made available in this
Act may be used to approve or license the sale of the F–
22 advanced tactical fighter to any foreign government.
SEC. 8078. (a) The Secretary of Defense may, on a
case-by-case basis, waive with respect to a foreign country
each limitation on the procurement of defense items from
foreign sources provided in law if the Secretary determines
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that the application of the limitation with respect to that
country would invalidate cooperative programs entered into
between the Department of Defense and the foreign country,
or would invalidate reciprocal trade agreements for the pro-
curement of defense items entered into under section 2531
of title 10, United States Code, and the country does not
discriminate against the same or similar defense items pro-
duced in the United States for that country.
(b) Subsection (a) applies with respect to—
(1) contracts and subcontracts entered into on or
after the date of the enactment of this Act; and
(2) options for the procurement of items that are
exercised after such date under contracts that are en-
tered into before such date if the option prices are ad-
justed for any reason other than the application of a
waiver granted under subsection (a).
(c) Subsection (a) does not apply to a limitation re-
garding construction of public vessels, ball and roller bear-
ings, food, and clothing or textile materials as defined by
section 11 (chapters 50–65) of the Harmonized Tariff
Schedule and products classified under headings 4010,
4202, 4203, 6401 through 6406, 6505, 7019, 7218 through
7229, 7304.41 through 7304.49, 7306.40, 7502 through
7508, 8105, 8108, 8109, 8211, 8215, and 9404.
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SEC. 8079. Funds made available to the Civil Air Pa-
trol in this Act under the heading ‘‘Drug Interdiction and
Counter-Drug Activities, Defense’’ may be used for the Civil
Air Patrol Corporation’s counterdrug program, including
its demand reduction program involving youth programs,
as well as operational and training drug reconnaissance
missions for Federal, State, and local government agencies;
and for equipment needed for mission support or perform-
ance: Provided, That the Department of the Air Force
should waive reimbursement from the Federal, State, and
local government agencies for the use of these funds.
SEC. 8080. (a) PROHIBITION.—None of the funds made
available by this Act may be used to support any training
program involving a unit of the security forces of a foreign
country if the Secretary of Defense has received credible in-
formation from the Department of State that the unit has
committed a gross violation of human rights, unless all nec-
essary corrective steps have been taken.
(b) MONITORING.—The Secretary of Defense, in con-
sultation with the Secretary of State, shall ensure that prior
to a decision to conduct any training program referred to
in subsection (a), full consideration is given to all credible
information available to the Department of State relating
to human rights violations by foreign security forces.
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(c) WAIVER.—The Secretary of Defense, after consulta-
tion with the Secretary of State, may waive the prohibition
in subsection (a) if he determines that such waiver is re-
quired by extraordinary circumstances.
(d) REPORT.—Not more than 15 days after the exercise
of any waiver under subsection (c), the Secretary of Defense
shall submit a report to the congressional defense commit-
tees describing the extraordinary circumstances, the purpose
and duration of the training program, the United States
forces and the foreign security forces involved in the train-
ing program, and the information relating to human rights
violations that necessitates the waiver.
SEC. 8081. The Secretary of Defense, in coordination
with the Secretary of Health and Human Services, may
carry out a program to distribute surplus dental equipment
of the Department of Defense, at no cost to the Department
of Defense, to Indian Health Service facilities and to feder-
ally-qualified health centers (within the meaning of section
1905(l)(2)(B) of the Social Security Act (42 U.S.C.
1396d(l)(2)(B))).
SEC. 8082. The total amount appropriated in this Act
is hereby reduced by $338,000,000 to reflect savings from
favorable foreign currency fluctuations, to be derived as fol-
lows:
‘‘Military Personnel, Army’’, $80,000,000;
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‘‘Military Personnel, Navy’’, $6,500,000;
‘‘Military 
Personnel, 
Marine 
Corps’’,
$11,000,000;
‘‘Military Personnel, Air Force’’, $29,000,000;
‘‘Operation 
and 
Maintenance, 
Army’’,
$102,000,000;
‘‘Operation 
and 
Maintenance, 
Navy’’,
$21,500,000;
‘‘Operation and Maintenance, Marine Corps’’,
$2,000,000;
‘‘Operation 
and 
Maintenance, 
Air 
Force’’,
$46,000,000; and
‘‘Operation and Maintenance, Defense-Wide’’,
$40,000,000.
SEC. 8083. None of the funds appropriated or made
available in this Act to the Department of the Navy shall
be used to develop, lease or procure the T–AKE class of ships
unless the main propulsion diesel engines and propulsors
are manufactured in the United States by a domestically
operated entity: Provided, That the Secretary of Defense
may waive this restriction on a case-by-case basis by certi-
fying in writing to the Committees on Appropriations of
the House of Representatives and the Senate that adequate
domestic supplies are not available to meet Department of
Defense requirements on a timely basis and that such an
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acquisition must be made in order to acquire capability for
national security purposes or there exists a significant cost
or quality difference.
SEC. 8084. None of the funds appropriated or other-
wise made available by this or other Department of Defense
Appropriations Acts may be obligated or expended for the
purpose of performing repairs or maintenance to military
family housing units of the Department of Defense, includ-
ing areas in such military family housing units that may
be used for the purpose of conducting official Department
of Defense business.
SEC. 8085. Notwithstanding any other provision of
law, funds appropriated in this Act under the heading ‘‘Re-
search, Development, Test and Evaluation, Defense-Wide’’
for any advanced concept technology demonstration project
may only be obligated 30 days after a report, including a
description of the project and its estimated annual and total
cost, has been provided in writing to the congressional de-
fense committees: Provided, That the Secretary of Defense
may waive this restriction on a case-by-case basis by certi-
fying to the congressional defense committees that it is in
the national interest to do so.
SEC. 8086. Notwithstanding any other provision of
law, for the purpose of establishing all Department of De-
fense policies governing the provision of care provided by
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and financed under the military health care system’s case
management program under 10 U.S.C. 1079(a)(17), the
term ‘‘custodial care’’ shall be defined as care designed es-
sentially to assist an individual in meeting the activities
of daily living and which does not require the supervision
of trained medical, nursing, paramedical or other specially
trained individuals: Provided, That the case management
program shall provide that members and retired members
of the military services, and their dependents and survivors,
have access to all medically necessary health care through
the health care delivery system of the military services re-
gardless of the health care status of the person seeking the
health care: Provided further, That the case management
program shall be the primary obligor for payment of medi-
cally necessary services and shall not be considered as sec-
ondarily liable to title XIX of the Social Security Act, other
welfare programs or charity based care.
SEC. 8087. During the current fiscal year, refunds at-
tributable to the use of the Government travel card, refunds
attributable to the use of the Government Purchase Card
and refunds attributable to official Government travel ar-
ranged by Government Contracted Travel Management
Centers may be credited to operation and maintenance ac-
counts of the Department of Defense which are current when
the refunds are received.
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SEC. 8088. (a) REGISTERING FINANCIAL MANAGE-
MENT INFORMATION TECHNOLOGY SYSTEMS WITH DOD
CHIEF INFORMATION OFFICER.—None of the funds appro-
priated in this Act may be used for a mission critical or
mission essential financial management information tech-
nology system (including a system funded by the defense
working capital fund) that is not registered with the Chief
Information Officer of the Department of Defense. A system
shall be considered to be registered with that officer upon
the furnishing to that officer of notice of the system, together
with such information concerning the system as the Sec-
retary of Defense may prescribe. A financial management
information technology system shall be considered a mission
critical or mission essential information technology system
as defined by the Under Secretary of Defense (Comptroller).
(b) CERTIFICATIONS AS TO COMPLIANCE WITH FINAN-
CIAL MANAGEMENT MODERNIZATION PLAN.—
(1) During the current fiscal year, a financial
management major automated information system
may not receive Milestone A approval, Milestone B
approval, or full rate production, or their equivalent,
within the Department of Defense until the Under
Secretary of Defense (Comptroller) certifies, with re-
spect to that milestone, that the system is being devel-
oped and managed in accordance with the Depart-
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ment’s Financial Management Modernization Plan.
The Under Secretary of Defense (Comptroller) may
require additional certifications, as appropriate, with
respect to any such system.
(2) The Chief Information Officer shall provide
the congressional defense committees timely notifica-
tion of certifications under paragraph (1).
(c) CERTIFICATIONS
AS
TO
COMPLIANCE
WITH
CLINGER-COHEN ACT.—(1) During the current fiscal year,
a major automated information system may not receive
Milestone A approval, Milestone B approval, or full rate
production approval, or their equivalent, within the De-
partment of Defense until the Chief Information Officer cer-
tifies, with respect to that milestone, that the system is being
developed in accordance with the Clinger-Cohen Act of 1996
(40 U.S.C. 1401 et seq.). The Chief Information Officer may
require additional certifications, as appropriate, with re-
spect to any such system.
(2) The Chief Information Officer shall provide the
congressional defense committees timely notification of cer-
tifications under paragraph (1). Each such notification
shall include, at a minimum, the funding baseline and
milestone schedule for each system covered by such a certifi-
cation and confirmation that the following steps have been
taken with respect to the system:
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(A) Business process reengineering.
(B) An analysis of alternatives.
(C) An economic analysis that includes a calculation
of the return on investment.
(D) Performance measures.
(E) An information assurance strategy consistent with
the Department’s Global Information Grid.
(d) DEFINITIONS.—For purposes of this section:
(1) The term ‘‘Chief Information Officer’’ means
the senior official of the Department of Defense des-
ignated by the Secretary of Defense pursuant to sec-
tion 3506 of title 44, United States Code.
(2) The term ‘‘information technology system’’
has the meaning given the term ‘‘information tech-
nology’’ in section 5002 of the Clinger-Cohen Act of
1996 (40 U.S.C. 1401).
(3) The term ‘‘major automated information sys-
tem’’ has the meaning given that term in Department
of Defense Directive 5000.1.
SEC. 8089. During the current fiscal year, none of the
funds available to the Department of Defense may be used
to provide support to another department or agency of the
United States if such department or agency is more than
90 days in arrears in making payment to the Department
of Defense for goods or services previously provided to such
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department or agency on a reimbursable basis: Provided,
That this restriction shall not apply if the department is
authorized by law to provide support to such department
or agency on a nonreimbursable basis, and is providing the
requested support pursuant to such authority: Provided fur-
ther, That the Secretary of Defense may waive this restric-
tion on a case-by-case basis by certifying in writing to the
Committees on Appropriations of the House of Representa-
tives and the Senate that it is in the national security inter-
est to do so.
SEC. 8090. None of the funds provided in this Act may
be used to transfer to any nongovernmental entity ammuni-
tion held by the Department of Defense that has a center-
fire cartridge and a United States military nomenclature
designation of ‘‘armor penetrator’’, ‘‘armor piercing (AP)’’,
‘‘armor piercing incendiary (API)’’, or ‘‘armor-piercing in-
cendiary-tracer (API–T)’’, except to an entity performing
demilitarization services for the Department of Defense
under a contract that requires the entity to demonstrate to
the satisfaction of the Department of Defense that armor
piercing projectiles are either: (1) rendered incapable of
reuse by the demilitarization process; or (2) used to manu-
facture ammunition pursuant to a contract with the De-
partment of Defense or the manufacture of ammunition for
export pursuant to a License for Permanent Export of Un-
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classified Military Articles issued by the Department of
State.
SEC. 8091. Notwithstanding any other provision of
law, the Chief of the National Guard Bureau, or his des-
ignee, may waive payment of all or part of the consider-
ation that otherwise would be required under 10 U.S.C.
2667, in the case of a lease of personal property for a period
not in excess of 1 year to any organization specified in 32
U.S.C. 508(d), or any other youth, social, or fraternal non-
profit organization as may be approved by the Chief of the
National Guard Bureau, or his designee, on a case-by-case
basis.
SEC. 8092. None of the funds appropriated by this Act
shall be used for the support of any nonappropriated funds
activity of the Department of Defense that procures malt
beverages and wine with nonappropriated funds for resale
(including such alcoholic beverages sold by the drink) on
a military installation located in the United States unless
such malt beverages and wine are procured within that
State, or in the case of the District of Columbia, within
the District of Columbia, in which the military installation
is located: Provided, That in a case in which the military
installation is located in more than one State, purchases
may be made in any State in which the installation is lo-
cated: Provided further, That such local procurement re-
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quirements for malt beverages and wine shall apply to all
alcoholic beverages only for military installations in States
which are not contiguous with another State: Provided fur-
ther, That alcoholic beverages other than wine and malt bev-
erages, in contiguous States and the District of Columbia
shall be procured from the most competitive source, price
and other factors considered.
SEC. 8093. During the current fiscal year and here-
after, under regulations prescribed by the Secretary of De-
fense, the Center of Excellence for Disaster Management and
Humanitarian Assistance may also pay, or authorize pay-
ment for, the expenses of providing or facilitating education
and training for appropriate military and civilian per-
sonnel of foreign countries in disaster management, peace
operations, and humanitarian assistance.
SEC. 8094. (a) The Department of Defense is author-
ized to enter into agreements with the Department of Vet-
erans Affairs and federally-funded health agencies pro-
viding services to Native Hawaiians for the purpose of es-
tablishing a partnership similar to the Alaska Federal
Health Care Partnership, in order to maximize Federal re-
sources in the provision of health care services by federally-
funded health agencies, applying telemedicine technologies.
For the purpose of this partnership, Native Hawaiians
shall have the same status as other Native Americans who
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are eligible for the health care services provided by the In-
dian Health Service.
(b) The Department of Defense is authorized to develop
a consultation policy, consistent with Executive Order No.
13084 (issued May 14, 1998), with Native Hawaiians for
the purpose of assuring maximum Native Hawaiian par-
ticipation in the direction and administration of govern-
mental services so as to render those services more respon-
sive to the needs of the Native Hawaiian community.
(c) For purposes of this section, the term ‘‘Native Ha-
waiian’’ means any individual who is a descendant of the
aboriginal people who, prior to 1778, occupied and exer-
cised sovereignty in the area that now comprises the State
of Hawaii.
SEC. 8095. Of the amounts appropriated in this Act
under the heading ‘‘Research, Development, Test and Eval-
uation, Defense-Wide’’, $146,000,000 shall be made avail-
able for the Arrow missile defense program: Provided, That
of this amount, $66,000,000 shall be available for the pur-
pose of continuing the Arrow System Improvement Pro-
gram (ASIP), $10,000,000 shall be available for continuing
the 
Enhanced 
Arrow 
Deployability 
Program, 
and
$70,000,000 shall be available for the purpose of producing
Arrow missile components in the United States and Arrow
missile components and missiles in Israel to meet Israel’s
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defense requirements, consistent with each nation’s laws,
regulations and procedures: Provided further, That funds
made available under this provision for production of mis-
siles and missile components may be transferred to appro-
priations available for the procurement of weapons and
equipment, to be merged with and to be available for the
same time period and the same purposes as the appropria-
tion to which transferred: Provided further, That the trans-
fer authority provided under this provision is in addition
to any other transfer authority contained in this Act.
SEC. 8096. Funds available to the Department of De-
fense for the Global Positioning System during the current
fiscal year may be used to fund civil requirements associ-
ated with the satellite and ground control segments of such
system’s modernization program.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8097. Of the amounts appropriated in this Act
under the heading, ‘‘Operation and Maintenance, Defense-
Wide’’, $68,000,000 shall remain available until expended:
Provided, That notwithstanding any other provision of law,
the Secretary of Defense is authorized to transfer such funds
to other activities of the Federal Government.
SEC. 8098. Section 8106 of the Department of Defense
Appropriations Act, 1997 (titles I through VIII of the mat-
ter under subsection 101(b) of Public Law 104–208; 110
Stat. 3009–111; 10 U.S.C. 113 note) shall continue in effect
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to apply to disbursements that are made by the Department
of Defense in fiscal year 2003.
SEC. 8099. Of the funds made available under the
heading ‘‘Operation and Maintenance, Air Force’’,
$8,000,000 shall be available to realign railroad track on
Elmendorf Air Force Base and Fort Richardson.
SEC. 8100. Notwithstanding any other provision of
this Act, the total amount appropriated in this Act is here-
by reduced by $850,000,000, to reflect savings to be achieved
from business process reforms, management efficiencies, and
procurement of administrative and management support:
Provided, That none of the funds provided in this Act may
be used for consulting and advisory services for legislative
affairs and legislative liaison functions.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8101. Of the amounts appropriated in this Act
under the heading ‘‘Shipbuilding and Conversion, Navy’’,
$1,481,955,000 shall be available until September 30, 2003,
to fund prior year shipbuilding cost increases: Provided,
That upon enactment of this Act, the Secretary of the Navy
shall transfer such funds to the following appropriations in
the amounts specified: Provided further, That the amounts
transferred shall be merged with and be available for the
same purposes as the appropriations to which transferred:
To:
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Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 1996/03’’:
LPD–17 Amphibious Transport Dock
Ship Program, $300,681,000;
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 1998/03’’:
DDG–51 
Destroyer 
Program,
$76,100,000;
New SSN, $190,882,000;
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 1999/03’’:
DDG–51 
Destroyer 
Program,
$93,736,000;
LPD–17 Amphibious Transport Dock
Ship Program, $82,000,000;
New SSN, $292,000,000;
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 2000/03’’:
DDG–51 
Destroyer 
Program,
$72,924,000;
LPD–17 Amphibious Transport Dock
Ship Program, $187,000,000;
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 2001/03’’:
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DDG–51 
Destroyer 
Program,
$81,700,000;
New SSN, $6,932,000; and
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 2002/03’’:
DDG–51 
Destroyer 
Program,
$98,000,000.
SEC. 8102. The Secretary of the Navy may settle, or
compromise, and pay any and all admiralty claims under
10 U.S.C. 7622 arising out of the collision involving the
U.S.S. GREENEVILLE and the EHIME MARU, in any
amount and without regard to the monetary limitations in
subsections (a) and (b) of that section: Provided, That such
payments shall be made from funds available to the Depart-
ment of the Navy for operation and maintenance.
(TRANSFER OF FUNDS)
SEC. 8103. Upon enactment of this Act, the Secretary
of the Navy shall make the following transfers of funds: Pro-
vided, That the amounts transferred shall be available for
the same purpose as the appropriations to which trans-
ferred, and for the same time period as the appropriation
from which transferred: Provided further, That the amounts
shall be transferred between the following appropriations in
the amount specified:
From:
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Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 1994/2003’’:
DDG–51 
Destroyer 
program,
$7,900,000;
LHD–1 Amphibious Assault Ship pro-
gram, $6,500,000;
Oceanographic 
Ship 
program,
$3,416,000;
Craft, outfitting, post delivery, first
destination transportation, $1,800,000;
Mine warfare command and control
ship, $604,000;
To:
Under the heading, ‘‘Shipbuilding and Con-
version, Navy, 1999/2003’’:
LPD–17 Amphibious Transport Dock
Ship program, $20,220,000.
SEC. 8104. Notwithstanding section 229(a) of the So-
cial Security Act, no wages shall be deemed to have been
paid to any individual pursuant to that section in any cal-
endar year after 2001.
SEC. 8105. Up to $3,000,000 of the funds appropriated
under the heading ‘‘Operation and Maintenance, Navy’’ in
this Act for the Pacific Missile Range Facility may be made
available to contract for the repair, maintenance, and oper-
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ation of adjacent off-base water, drainage, and flood control
systems critical to base operations.
SEC. 8106. Notwithstanding any other provision of
law or regulation, the Secretary of Defense may exercise the
provisions of 38 U.S.C. 7403(g) for occupations listed in
38 U.S.C. 7403(a)(2) as well as the following:
Pharmacists, Audiologists, and Dental Hygien-
ists.
(A) 
The 
requirements 
of 
U.S.C.
7403(g)(1)(A) shall apply.
(B) 
The 
limitations 
of 
U.S.C.
7403(g)(1)(B) shall not apply.
SEC. 8107. Of the total amount appropriated by this
Act under the heading ‘‘Operation and Maintenance, De-
fense-Wide’’, $5,000,000 may be available for payments
under section 363 of the Floyd D. Spence National Defense
Authorization Act for Fiscal Year 2001 (as enacted into law
by Public Law 106–398; 114 Stat. 1654A–77).
SEC. 8108. In addition to funds made available else-
where in this Act $5,000,000 is hereby appropriated and
shall remain available until expended to provide assistance,
by grant or otherwise (such as, but not limited to, the provi-
sion of funds for repairs, maintenance, and/or for the pur-
chase of information technology, text books, teaching re-
sources), to public schools that have unusually high con-
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centrations of special needs military dependents enrolled:
Provided, That in selecting school systems to receive such
assistance, special consideration shall be given to school sys-
tems in States that are considered overseas assignments,
and all schools within these school systems shall be eligible
for assistance: Provided further, That up to $2,000,000 shall
be available for the Department of Defense to establish a
non-profit trust fund to assist in the public-private funding
of public school repair and maintenance projects, or provide
directly to non-profit organizations who in return will use
these monies to provide assistance in the form of repair,
maintenance, or renovation to public school systems that
have high concentrations of special needs military depend-
ents and are located in States that are considered overseas
assignments, and of which 2 percent shall be available to
support the administration and execution of the funds: Pro-
vided further, That to the extent a federal agency provides
this assistance, by contract, grant, or otherwise, it may ac-
cept and expend non-federal funds in combination with
these federal funds to provide assistance for the authorized
purpose, if the non-federal entity requests such assistance
and the non-federal funds are provided on a reimbursable
basis.
SEC. 8109. Notwithstanding any other provision in
this Act, the total amount appropriated in this Act is here-
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by reduced by $400,000,000, to reduce cost growth in infor-
mation technology development, to be distributed as follows:
‘‘Operation and Maintenance, Defense-Wide’’,
$19,500,000;
‘‘Other Procurement, Army’’, $53,200,000;
‘‘Other Procurement, Navy’’, $20,600,000;
‘‘Procurement, Marine Corps’’, $3,400,000;
‘‘Other Procurement, Air Force’’, $12,000,000;
‘‘Procurement, Defense-Wide’’, $3,500,000;
‘‘Research, Development, Test and Evaluation,
Army’’, $17,700,000;
‘‘Research, Development, Test and Evaluation,
Navy’’, $25,600,000;
‘‘Research, Development, Test and Evaluation,
Air Force’’, $27,200,000;
‘‘Research, Development, Test and Evaluation,
Defense-Wide’’, $36,600,000;
‘‘Defense Working Capital Funds’’, $148,600,000;
and
‘‘Defense Health Program’’, $32,100,000.
SEC. 8110. In addition to the amounts appropriated
or otherwise made available in this Act, $4,000,000, to re-
main available until September 30, 2003, is hereby appro-
priated to the Department of Defense: Provided, That the
Secretary of Defense shall make a grant in the amount of
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$4,000,000 to the American Red Cross for Armed Forces
Emergency Services.
SEC. 8111. None of the funds appropriated in this Act
under the heading ‘‘Overseas Contingency Operations
Transfer Fund’’ may be transferred or obligated for Depart-
ment of Defense expenses not directly related to the conduct
of overseas contingencies: Provided, That the Secretary of
Defense shall submit a report no later than 30 days after
the end of each fiscal quarter to the Committees on Appro-
priations of the Senate and House of Representatives that
details any transfer of funds from the ‘‘Overseas Contin-
gency Operations Transfer Fund’’: Provided further, That
the report shall explain any transfer for the maintenance
of real property, pay of civilian personnel, base operations
support, and weapon, vehicle or equipment maintenance.
SEC. 8112. For purposes of section 1553(b) of title 31,
United States Code, any subdivision of appropriations
made in this Act under the heading ‘‘Shipbuilding and
Conversion, Navy’’ shall be considered to be for the same
purpose as any subdivision under the heading ‘‘Ship-
building and Conversion, Navy’’ appropriations in any
prior year, and the 1 percent limitation shall apply to the
total amount of the appropriation.
SEC. 8113. The budget of the President for fiscal year
2004 submitted to the Congress pursuant to section 1105
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of title 31, United States Code, and each annual budget re-
quest thereafter, shall include separate budget justification
documents for costs of United States Armed Forces’ partici-
pation in contingency operations for the Military Personnel
accounts, the Overseas Contingency Operations Transfer
Fund, the Operation and Maintenance accounts, and the
Procurement accounts: Provided, That these budget jus-
tification documents shall include a description of the fund-
ing requested for each anticipated contingency operation,
for each military service, to include active duty and Guard
and Reserve components, and for each appropriation ac-
count: Provided further, That these documents shall include
estimated costs for each element of expense or object class,
a reconciliation of increases and decreases for ongoing con-
tingency operations, and programmatic data including, but
not limited to troop strength for each active duty and
Guard and Reserve component, and estimates of the major
weapons systems deployed in support of each contingency:
Provided further, That these documents shall include budget
exhibits OP–5 and OP–32, as defined in the Department
of Defense Financial Management Regulation, for the Over-
seas Contingency Operations Transfer Fund for fiscal years
2002 and 2003.
SEC. 8114. Notwithstanding any other provision in
this Act, the total amount appropriated in this Act is here-
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(b) The total amount appropriated or otherwise made
available by this Act is hereby reduced by $814,300,000 to
reflect revised economic assumptions: Provided, That the
Secretary of Defense shall allocate this reduction propor-
tionately by program, project, and activity: Provided fur-
ther, That appropriations made available in this Act for
the pay and benefits of military personnel are exempt from
reductions under this provision.
SEC. 8117. Section 8159 of the Department of Defense
Appropriations Act, 2002 (division A of Public Law 107–
117; 115 Stat. 2284), is revised by adding the following
paragraph (g):
‘‘(g) Notwithstanding any other provision of law, any
payments made pursuant to Subsection (c)(3) above may
be made from appropriations available for operation and
maintenance or for lease or procurement of aircraft at the
time that the lease is signed.’’.
(TRANSFER OF FUNDS)
SEC. 8118. In addition to the amounts appropriated
or otherwise made available by this Act, $300,000,000 is
hereby appropriated to the Department of Defense and shall
be available only for transfer to the United States Coast
Guard.
SEC. 8119. During the current fiscal year, section
2533a(f) of Title 10, United States Code, shall not apply
to any fish, shellfish, or seafood product. This section is ap-
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plicable to contracts and subcontracts for the procurement
of commercial items notwithstanding section 34 of the Office
of Federal Procurement Policy Act (41 U.S.C. 430).
SEC. 8120. None of the funds appropriated by this Act
may be used to convert the 939th Combat Search and Res-
cue Wing of the Air Force Reserve until the Secretary of
the Air Force certifies to the Congress the following: (a) that
a functionally comparable search and rescue capability is
available in the 939th Search and Rescue Wing’s area of
responsibility; (b) that any new aircraft assigned to the
unit will comply with local environmental and noise stand-
ards; and (c) that the Air Force has developed a plan for
the transition of personnel and manpower billets currently
assigned to this unit.
SEC. 8121. NAVY DRY-DOCK AFDL–47 (a) REQUIRE-
MENT FOR SALE.—Notwithstanding any other provision of
law, the Secretary of the Navy shall sell the Navy Dry-dock
AFDL–47, located in Charleston, South Carolina, to
Detyens Shipyards, Inc., the current lessee of the dry-dock
from the Navy.
(b) CONSIDERATION.—As consideration for the sale of
the dry-dock under subsection (a), the Secretary shall re-
ceive an amount equal to the fair market value of the dry-
dock at the time of the sale, as determined by the Secretary,
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taking into account amounts paid by, or due and owing
from, the lessee.
SEC. 8122. (a) MANAGEMENT OF CHEMICAL DEMILI-
TARIZATION ACTIVITIES
AT BLUEGRASS ARMY DEPOT,
KENTUCKY.—If a technology other than the baseline incin-
eration program is selected for the destruction of lethal
chemical munitions pursuant to section 142 of the Strom
Thurmond National Defense Authorization Act for Fiscal
Year 1999 (Public Law 105–261; 50 U.S.C. 1521 note), the
program manager for the Assembled Chemical Weapons As-
sessment shall be responsible for management of the con-
struction, operation, and closure, and any contracting re-
lating thereto, of chemical demilitarization activities at
Bluegrass Army Depot, Kentucky, including management
of the pilot-scale facility phase of the alternative technology.
(b) MANAGEMENT OF CHEMICAL DEMILITARIZATION
ACTIVITIES AT PUEBLO DEPOT, COLORADO.—The program
manager for the Assembled Chemical Weapons Assessment
shall be responsible for management of the construction, op-
eration, and closure, and any contracting relating thereto,
of chemical demilitarization activities at Pueblo Army
Depot, Colorado, including management of the pilot-scale
facility phase of the alternative technology selected for the
destruction of lethal chemical munitions.
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SEC. 8123. From funds made available in this Act for
the Office of Economic Adjustment under the heading ‘‘Op-
eration and Maintenance, Defense-Wide’’, $100,000 shall be
available for the elimination of asbestos at former Battery
204, Odiorne Point, New Hampshire.
SEC. 8124. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, AIR FORCE’’, up to $5,000,000 may be avail-
able for the Variable Flow Ducted Rocket propulsion system
(PE 063216F).
SEC. 8125. Of the total amount appropriated by title
IV under the heading ‘‘RESEARCH, DEVELOPMENT, TEST
AND EVALUATION, NAVY’’, $7,000,000 may be used for the
Human Resource Enterprise Strategy at the Space and
Naval Warfare Information Technology Center.
SEC. 8126. Of the amounts appropriated in H.R.
4775, chapter 3, under the heading ‘‘DEFENSE EMERGENCY
RESPONSE FUND’’, up to $4,500,000 may be made available
to settle the disputed takings of property adjacent to the
Tooele Army Depot, Utah.
SEC. 8127. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, DEFENSE-WIDE’’, up to $3,000,000 may be
available for execution of the ferrite diminishing manufac-
turing program by the Defense Micro-Electronics Activity.
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SEC. 8128. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, ARMY’’, up to $5,000,000 may be available
for the Medical Vanguard Project to expand the clinical
trial of the Internet-based diabetes managements system
under that project.
SEC. 8129. (a) AMOUNT AVAILABLE FOR LIVE FIRE
RANGE UPGRADES.—Of the amount appropriated by title
II under the heading ‘‘OPERATION
AND MAINTENANCE,
ARMY’’, up to $3,700,000 may be available for Live Fire
Range Upgrades.
(b) SUPPLEMENT NOT SUPPLANT.—The amount avail-
able under subsection (a) for the purpose specified in that
subsection is in addition to any other amounts available
under this Act for that purpose.
SEC. 8130. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, ARMY’’, up to $5,000,000 may be used for ma-
terials joining for Army weapon systems.
SEC. 8131. Of the amount appropriated by III under
the heading ‘‘OTHER
PROCUREMENT, ARMY’’, up to
$500,000 may be available for PRC–117F SATCOM back-
pack radios.
SEC. 8132. Of the total amount appropriated by this
Act for Operation and Maintenance, Army, up to
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$5,000,000 may be used for Expandable Light Air Mobility
Shelters (ELAMS).
SEC. 8133. Of the amounts appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, NAVY’’, up to $10,000,000 may be made
available for extended range anti-air warfare.
SEC. 8134. Of the amount appropriated by title II
under the heading ‘‘OPERATION AND MAINTENANCE, ARMY
RESERVE’’, up to $3,000,000 may be available for Land
Forces Readiness for Information Operations Sustainment.
SEC. 8135. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, AIR FORCE’’, up to $1,000,000 may be avail-
able for Space and Missile Operations for the Civil Reserve
Space Service (CRSS) initiative.
SEC. 8136. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, AIR FORCE’’, $2,000,000 may be used for the
Viable Combat Avionics Initiative of the Air Force.
SEC. 8137. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, AIR FORCE’’ and available for Major T&E
Investment, up to $2,500,000 may be available for the
Maglev upgrade program.
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(b) The amount available under subsection (a) for the
program element and purpose set forth in that subsection
is in addition to any other amounts available under this
Act for that program element and purpose.
SEC. 8141. (a) PRELIMINARY STUDY AND ANALYSIS
REQUIRED.—The Secretary of the Army shall carry out a
preliminary engineering study and environmental analysis
regarding the establishment of a connector road between
United States Route 1 and Telegraph Road in the vicinity
of Fort Belvoir, Virginia.
(b) FUNDING.—Of the amount appropriated by title
II under the heading ‘‘OPERATION
AND MAINTENANCE,
ARMY’’, up to $5,000,000 may be available for the prelimi-
nary study and analysis required by subsection (a).
SEC. 8142. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, ARMY’’, up to $5,000,000 may be available
for research on miniature and micro fuel cell systems.
SEC. 8143. Of the funds appropriated in this Act
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, DEFENSE-WIDE’’, up to $3,000,000 may be
made available for the Supercritical Water Systems Explo-
sives Demilitarization Technology.
SEC. 8144. AGROTERRORIST ATTACK RESPONSE. (a)
AVAILABILITY.—(1) Of the amount appropriated under title
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IV for Research, Development, Test and Evaluation, De-
fense-Wide, the amount available for basic research, line 8,
the Chemical and Biological Defense Program (PE
0601384BP) is hereby increased by $1,000,000, with the
amount of such increase to be available for research, anal-
ysis, and assessment of Federal, State, and local efforts to
counter potential agroterrorist attacks.
(2) The amount available under paragraph (1) for re-
search, analysis, and assessment described in that para-
graph is in addition to any other amounts available in this
Act for such research, analysis, and assessment.
(b) OFFSET.—Of the amount appropriated under title
IV for Research, Development, Test and Evaluation, De-
fense-Wide, the amount available for Agroterror prediction
and risk assessment, line 37, Chemical and Biological De-
fense Program (PE 0603384BP), is hereby reduced by
$1,000,000.
SEC. 8145. Effective upon the enactment of the Act en-
titled ‘‘An Act making supplemental appropriations for fur-
ther recovery from and response to terrorist attacks on the
United States for the fiscal year ending September 30, 2002,
and for other purposes’’, section 309 of such Act is amended
by striking ‘‘of’’ after the word ‘‘instead’’.
SEC. 8146. The Secretary of Defense may modify the
grant made to the State of Maine pursuant to section 310
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of the 2002 Supplemental Appropriations Act for Further
Recovery From and Response To Terrorist Attacks on the
United States (Public Law 107–ll) such that the modi-
fied grant is for purposes of supporting community adjust-
ment activities relating to the closure of the Naval Security
Group Activity, Winter Harbor, Maine (the naval base on
Schoodic Point, within Acadia National Park), and the
reuse of such Activity, including reuse as a research and
education center the activities of which may be consistent
with the purposes of Acadia National Park, as determined
by the Secretary of the Interior. The grant may be so modi-
fied not later than 60 days after the date of the enactment
of this Act
SEC. 8147. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, NAVY’’, up to $8,000,000 may be available for
the Integrated Biological Warfare Technology Platform.
SEC. 8148. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, ARMY’’, up to $5,000,000 may be available
for the Rotary, Multi-Fuel, Auxiliary Power Unit.
SEC. 8149. CORPORATE EXPATRIATES. (a) LIMITA-
TION.—None of the funds made available in this Act may
be obligated for payment on any new contract to a sub-
sidiary of a publicly traded corporation if the corporation
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incorporated after December 31, 2001 in a tax haven coun-
try but the United States is the principal market for the
public trading of the corporation’s stock.
(b) DEFINITION.—For purposes of subsection (a), the
term ‘‘tax haven country’’ means each of the following: Bar-
bados, Bermuda, British Virgin Islands, Cayman Islands,
Commonwealth of the Bahamas, Cyprus, Gibraltar, Isle of
Man, the Principality of Liechtenstein, the Principality of
Monaco, the Republic of the Seychelles, and any other coun-
try that the Secretary of the Treasury determines is used
as a site of incorporation primarily for the purpose of
avoiding United States taxation.
(c) WAIVER.—The President may waive subsection (a)
with respect to any specific contract if the President cer-
tifies to the Appropriations Committees of the House of
Representatives and the Senate that the waiver is required
in the interest of national security.
SEC. 8150. Of the total amount appropriated by title
II under the heading ‘‘OPERATION
AND MAINTENANCE,
NAVY’’, for Servicewide Communications, $6,000,000 may
be used for the Critical Infrastructure Protection Program.
SEC. 8151. Of the amount appropriated by title II
under the heading ‘‘OPERATION AND MAINTENANCE, AIR
FORCE’’, up to $500,000 may be available for a contribu-
tion to the Griffiss Local Development Corporation (GLDC)
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for the renovation of Hangar Building 101 at former Grif-
fiss Air Force Base, New York, in order to facilitate the
reuse of the building for economic development purposes.
Such renovation may include a new roof, building systems,
fixtures, and lease-hold improvements of the building.
SEC. 8152. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, DEFENSE–WIDE’’, up to $5,000,000 may be
available for the Maintainers Remote Logistics Network.
SEC. 8153. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, NAVY’’, up to $5,000,000 may be available for
the Integrated Chemical Biological Warfare Agent Detector
Chip.
SEC. 8154. Of the funds provided under the heading
‘‘RESEARCH
AND DEVELOPMENT, AIR FORCE’’, up to
$1,000,000 may be made available for research on
nanoenergetic materials.
SEC. 8155. Of the amount appropriated by title II
under the heading ‘‘OPERATION AND MAINTENANCE, ARMY
NATIONAL GUARD’’, up to $2,000,000 may be available for
the Communicator emergency notification system.
SEC. 8156. The Secretary of Defense may, using
amounts appropriated or otherwise made available by this
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Act, make a grant to the National D–Day Museum in the
amount of $5,000,000.
SEC. 8157. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND
EVALUATION, NAVY’’, up to $6,000,000 may be available for
the Center for Advanced Power Systems.
SEC. 8158. Out of the Operation and Maintenance, De-
fense-Wide, funds appropriated, up to $1,000,000 may be
available to continue the Department of Defense’s internal
security-container lock retrofit program for purchasing ad-
ditional security locks.
SEC. 8159. Of the amount appropriated by title V
under the heading ‘‘NATIONAL DEFENSE SEALIFT FUND’’,
up to $10,000,000 may be available for implementing the
recommendations resulting from the Navy’s Non-Self
Deployable Watercraft (NDSW) Study and the Joint Chiefs
of Staff Focused Logistics Study, which are to determine
the requirements of the Navy for providing lift support for
mine warfare ships and other vessels.
SEC. 8160. Of the amount appropriated by title II
under the heading ‘‘OPERATION AND MAINTENANCE, AIR
NATIONAL GUARD’’, up to $350,000 may be available for
medical equipment.
SEC. 8161. Of the amount appropriated by title IV
under the heading ‘‘RESEARCH, DEVELOPMENT, TEST AND