‘‘(A) for foreign currency fluctuation from Oc-
tober 1, 1987; and
‘‘(B) annually at the beginning of each fiscal
year by an amount which corresponds to the change
in the Consumer Price Index for all Urban Consum-
ers, published by the Bureau of Labor Statistics for
the Department of Labor, for the previous one-year
period ending on September 30.’’.
SEC. 804. SALE OF ELECTRICITY FROM ALTERNATE EN-
ERGY AND COGENERATION PRODUCTION FA-
CILITIES.
Section 2483(b) of title 10, United States Code, is
amended by inserting before the period the following: ‘‘and
may be used to accomplish energy-related military con-
struction projects as authorized in sections 2805(a)(1)
and 2865(a)(3) of this title’’.
SEC. 805. ENERGY SAVINGS AT MILITARY INSTALLATIONS.
(a) ENERGY EFFICIENT MAINTENANCE.—Subsection
(a) of section 2865 of title 10, United States Code, is
amended—
(1) in paragraph (3), by inserting ‘‘, including
energy efficient maintenance,’’ after ‘‘conservation
measures’’; and
(2) by adding at the end the following new
paragraph:
‘‘(4) For purposes of paragraph (3), the term ‘energy
efficient maintenance’ includes—
‘‘(A) the repair by replacement of equipment or
systems with the best available technology to meet
the same end needs, such as lighting, heating, cool-
ing, or industrial process; and
‘‘(B) improvements in the operation and main-
tenance process that result in energy cost savings,
such as training or improved controls.’’.
(b) USE
OF AMOUNTS FROM SALES
OF ELEC-
TRICITY.—Subsection (b)(2) of such section is amended
by inserting ‘‘and pursuant to section 2483(b) of this
title’’ after ‘‘under paragraph (1)’’.
SEC. 806. AUTHORIZATION TO ACQUIRE EXISTING FACILI-
TIES IN LIEU OF CARRYING OUT CONSTRUC-
TION AUTHORIZED BY LAW.
(a) ESTABLISHMENT OF AUTHORITY.—Subchapter I
of chapter 169 of title 10, United States Code, is amended
by adding at the end the following new section:
‘‘SEC. 813. ACQUISITION OF EXISTING FACILITIES IN LIEU
OF CONSTRUCTION.
‘‘(a) ACQUISITION AUTHORITY.—Subject to sub-
sections (b) and (c), if the Secretary concerned determines
that an existing facility at or near a military installation
would satisfy the requirements of a military construction
project authorized by law, the Secretary may acquire that
facility, including real property, using the funds appro-
priated for the authorized construction project in lieu of
carrying out the authorized construction project.
‘‘(b) REQUIRED DETERMINATION.—The authority
provided by this section may only be exercised if the Sec-
retary concerned makes a determination that the acquisi-
tion of an existing facility in lieu of new construction is
in the best interests of the Government.
‘‘(c) NOTIFICATION.—A contract may not be entered
into under this section until the Secretary concerned sub-
mits a report of the facts concerning the proposed trans-
action to the Committees on Armed Services of the House
of Representatives and the Senate.’’.
(b) APPLICATION OF SECTION.—Section 2813 of title
10, United States Code, as added by subsection (a), shall
apply with respect to—
(1) projects authorized on or after the date of
the enactment of this Act; and
(2) projects authorized before that date for
which construction contracts have not been awarded.
(c) CLERICAL AMENDMENT.—The table of sections
at the beginning of such subchapter is amended by adding
at the end the following new item:
‘‘2813. Acquisition of existing facilities in lieu of construction.’’.
SEC. 807. CLARIFICATION OF DEPARTMENT OF STATE
HOUSING POOL PARTICIPATION.
Section 2834(b) of title 10, United States Code, is
amended by striking out ‘‘shall be included’’ and inserting
in lieu thereof ‘‘shall be excluded’’.
Subtitle B—Defense Base Closure
and Realignment
SEC. 811. BASE CLOSURE ACCOUNT MANAGEMENT FLEXI-
BILITY.
(a) BASE CLOSURES UNDER 1988 ACT.—Section
207(a) of the Defense Authorization Amendments and
Base Closure and Realignment Act (title II of Public Law
100–526; 10 U.S.C. 2687 note) is amended by adding at
the end the following new paragraph:
‘‘(7) Proceeds received after September 30, 1995,
from the transfer or disposal of any property at a military
installation closed or realigned under this title shall be de-
posited directly into the Department of Defense Base Clo-
sure Account 1990, as established by section 2906(a) of
the Defense Base Closure and Realignment Act of 1990
(part A of title XXIX of Public Law 101–510; 10 U.S.C.
2687 note).’’.
(b) BASE CLOSURES UNDER 1990 ACT.—Section
2906 of the Defense Base Closure and Realignment Act
of 1990 (part A of title XXIX of Public Law 101–510;
10 U.S.C. 2687 note) is amended—
(1) in subsection (a)(2)—
(A) by striking out ‘‘and’’ at the end of
subparagraph (B);
(B) by striking out the period at the end
of subparagraph (C) and inserting in lieu there-
of ‘‘; and’’; and
(C) by adding at the end the following new
subparagraph:
‘‘(D) proceeds received after September 30,
1995, from the transfer or disposal of any property
at a military installation closed or realigned under
title II of the Defense Authorization Amendments
and Base Closure and Realignment Act (Public Law
100–526; 10 U.S.C. 2687 note).’’; and
(2) in subsection (b), by striking out paragraph
(1) and inserting in lieu thereof the following new
paragraph:
‘‘(1) The Secretary may use the funds in the Account
only for the purposes described in section 2905 or, after
September 30, 1995, for environmental restoration and
property management and disposal at installations closed
or realigned under title II of the Defense Authorization
Amendments and Base Closure and Realignment Act
(Public Law 100–526; 10 U.S.C. 2687 note).’’.
(c) TECHNICAL CORRECTION.—Paragraphs (2) and
(3) of section 2906(c) of the Defense Base Closure and
Realignment Act of 1990 (part A of title XXIX of Public
Law 101–510; 10 U.S.C. 2687 note) are amended by
striking out ‘‘after the termination of the Commission’’
and inserting in lieu thereof ‘‘after the termination of the
authority of the Secretary to carry out a closure or re-
alignment under this part’’.
SEC. 812. AUTHORITY TO CONTRACT FOR CERTAIN FUNC-
TIONS AT INSTALLATIONS BEING CLOSED OR
REALIGNED.
(a) BASE CLOSURES UNDER 1988 ACT.—(1) Section
204(b) of the Defense Authorization Amendments and
Base Closure and Realignment Act (title II of Public Law
100–526; 10 U.S.C. 2687 note) is amended by adding at
the end the following new paragraph:
‘‘(5) The Secretary of Defense may contract with
local governments for community services, including police
and fire protection, at those military installations to be
closed under this title if the Secretary determines that it
is in the best interest of the Department to have these
services provided by local governmental entities.’’.
(2) Section 205 of such Act is amended—
(A) by striking out ‘‘and’’ at the end of para-
graph (1);
(B) by striking out the period at the end of
paragraph (2) and inserting in lieu thereof ‘‘; and’’;
and
(C) by adding at the end the following new
paragraph:
‘‘(3) chapter 146 of title 10, United States
Code.’’.
(b) BASE CLOSURES UNDER 1990 ACT.—(1) Sub-
section (b)(2) of section 2905 of the Defense Base Closure
and Realignment Act of 1990 (part A of title XXIX of
Public Law 101–510; 10 U.S.C. 2687 note) is amended—
(A) by redesignating subparagraph (E) as sub-
paragraph (F); and
(B) by inserting after subparagraph (D) the fol-
lowing new subparagraph:
‘‘(E) The Secretary of Defense may contract with
local governments for community services, including police
and fire protection, at those military installations to be
closed under this part if the Secretary determines that it
is in the best interest of the Department to have these
services provided by local governmental entities.’’.
(2) Subsection (d) of such section is amended—
(A) by striking out ‘‘and’’ at the end of para-
graph (1);
(B) by striking out the period at the end of
paragraph (2) and inserting in lieu thereof ‘‘; and’’;
and
(C) by adding at the end the following new
paragraph:
‘‘(3) chapter 146 of title 10, United States
Code.’’.
SEC. 813. FUNDING FOR ENVIRONMENTAL RESTORATION
AT MILITARY INSTALLATIONS TO BE CLOSED.
(a) BASE CLOSURES UNDER 1988 ACT.—(1) Section
207 of the Defense Authorization Amendments and Base
Closure and Realignment Act (title II of Public Law 100–
526; 10 U.S.C. 2687 note) is amended by striking out sub-
section (b).
(2) Section 204(a)(3) of such Act is amended by
striking out ‘‘in the Account’’ and inserting in lieu thereof
‘‘in the Defense Environmental Restoration Account’’.
(b) BASE CLOSURES UNDER 1990 ACT.—(1) Section
2906 of the Defense Base Closure and Realignment Act
of 1990 (part A of title XXIX of Public Law 101–510;
10 U.S.C. 2687 note) is amended by striking out sub-
section (e).
(2) Section 2905(a)(1)(C) of such Act is amended by
striking out ‘‘in the Account;’’ and inserting in lieu thereof
‘‘in the Defense Environmental Restoration Account;’’.
Subtitle C—Land Transactions
SEC. 821. TRANSFER OF NATURAL GAS DISTRIBUTION SYS-
TEM AT FORT BELVOIR, VIRGINIA, TO THE
WASHINGTON GAS COMPANY.
(a) CONVEYANCE.—Subject to subsection (b), the
Secretary of the Army may convey to the Washington Gas
Company, Virginia, all right, title, and interest of the
United States in the following real property natural gas
system:
(1) All Government-owned utility fixtures,
structures, and improvements used to provide natu-
ral gas service to Fort Belvoir, Virginia, without the
underlying fee (land).
(2) Transfer includes a natural gas distribution
system consisting of approximately 15.6 miles of
natural gas distribution lines and other improve-
ments thereon and appurtenances thereto at Fort
Belvoir, Virginia.
(3) A utility easement and right of way appur-
tenant which may be necessary or appropriate to
provide for ingress and egress to and from the natu-
ral gas system and to satisfy any buffer zone re-
quirements imposed by any Federal or State agency.
(b) CONSIDERATION.—(1) In consideration for the
conveyance authorized in subsection (a), the Washington
Gas Company, shall—
(A) accept the natural gas system to be con-
veyed under this section in its existing condition;
(B) provide natural gas service to Fort Belvoir,
Virginia, at a beneficial rate to the Government;
(C) comply with all applicable environmental
laws and regulations including any permit or license
requirements;
(D) not expand the existing on-post natural gas
distribution system unless approved by the Installa-
tion Commander or his or her designee;
(E) take over the responsibility for ownership,
maintenance, repair, safety inspections, and leak test
surveys for the entire Fort Belvoir natural gas dis-
tribution system; and
(F) upgrade natural gas system at no cost to
the Government based on anticipated fuel oil conver-
sions to natural gas.
(c) TERMS.—Conveyance specified in subsection (a)
shall be subject to negotiation by and approval of the Sec-
retary of the Army as determined by him to be in the best
interests of the United States.
(d) REVERSION.—If the Secretary of the Army deter-
mines at any time that the Washington Gas Company is
not complying with the conditions specified in this section,
all right, title, and interest in and to the natural gas sys-
tem conveyed pursuant to subsection (a), including im-
provements to the natural gas system, shall revert to the
United States and the United States shall have the right
to access and operation of the natural gas system.
(e) DETERMINATION OF FAIR MARKET VALUE.—The
aggregate value of this transfer (value defined as benefits
to the Army), shall be certified by the Secretary to be of
equal or greater value than the fair market value of the
facility.
(f) DESCRIPTION OF PROPERTY.—The exact legal de-
scription of the equipment and facilities to be conveyed
pursuant to this section shall be determined by surveys
satisfactory to the Secretary. The cost of such surveys
shall be borne by the Washington Gas Company.
(g) ENVIRONMENTAL COMPLIANCE.—The Washing-
ton Gas Company, Virginia, shall be responsible for own-
ing, operating and installing natural gas distribution lines.
The Secretary of the Army will be responsible for clean-
up of any contaminated property prior to transfer pursu-
ant to the Comprehensive Environmental Response, Com-
pensation, and Liability Act of 1980 (42 U.S.C. 9601 et
seq.).
SEC. 822. TRANSFER OF WATER DISTRIBUTION SYSTEM AT
FORT LEE, VIRGINIA, TO THE AMERICAN
WATER COMPANY.
(a) CONVEYANCE.—Subject to subsection (b), the
Secretary of the Army may convey to the American Water
Company, Virginia, all right, title, and interest of the
United States in the following real property water system:
(1) All Government-owned utility fixtures,
structures, and improvements used to provide water
service and water distribution service to Fort Lee,
Virginia, without the underlying fee (land).
(2) Water system includes approximately 7
miles of transmission mains, 85 miles of distribution
and service lines, 416 fire hydrants, 3 elevated stor-
age tanks, 2 pumping stations and other improve-
ments thereon and appurtenances thereto at Fort
Lee, Virginia.
(3) A utility easement and right-of-way appur-
tenant which may be necessary or appropriate to
provide for ingress and egress to and from the water
system and to satisfy any buffer zone requirements
imposed by any Federal or State agency.
(b) CONSIDERATION.—In consideration for the con-
veyance authorized in subsection (a), the American Water
Company shall—
(1) accept the water system to be conveyed
under this section in its existing condition;
(2) provide water service to Fort Lee, Virginia,
at a beneficial rate to the Government;
(3) comply with all applicable environmental
laws and regulations including any permit or license
requirements; and
(4) not expand the existing onpost water dis-
tribution system unless approved by the Installation
Commander or his or her designee.
(c) TERMS.—Conveyance specified in subsection (a)
shall be subject to negotiation by and approval of the Sec-
retary of the Army as determined by him to be in the best
interests of the United States.
(d) REVERSION.—If the Secretary of the Army deter-
mines at any time that the American Water Company is
not complying with the conditions specified in this section,
all right, title, and interest in and to the water system
conveyed pursuant to subsection (a), including improve-
ments to the water system, shall revert to the United
States and the United States shall have the right of access
and operation of the water system.
(e) DETERMINATION OF FAIR MARKET VALUE.—The
aggregate value of this transfer (value defined as benefits
to the Army), shall be certified by the Secretary to be of
equal or greater value than the fair market value of the
facility.
(f) DESCRIPTION OF PROPERTY.—The exact legal de-
scription of the equipment and facilities to be conveyed
pursuant to this section shall be determined by surveys
satisfactory to the Secretary. The cost of such surveys will
be borne by the American Water Company.
(g) ENVIRONMENTAL COMPLIANCE.—The American
Water Company will be responsible for compliance with
all applicable environmental laws and regulations includ-
ing any permit or license requirements. The American
Water Company will be responsible for executing and con-
structing environmental betterments to the water system
as required by applicable law. The United States Army,
based on the availability of appropriated funding, will
share future environmental compliance costs based on a
pro rata share of the water distribution system as deter-
mined by the Secretary under subsection (c). The Army
will be responsible for cleanup of any contaminated prop-
erty prior to transfer pursuant to the Comprehensive En-
vironmental Response, Compensation, and Liability Act of
1980 (42 U.S.C. 9601 et seq.).
SEC. 823. TRANSFER OF WASTE WATER TREATMENT FACIL-
ITY AT FORT PICKETT, VIRGINIA, TO BLACK-
STONE, VIRGINIA.
(a) CONVEYANCE.—Subject to subsection (b), the
Secretary of the Army may convey to the town of Black-
stone, Virginia (in this section referred to as the ‘‘town’’),
all right, title, and interest of the United States in the
following real property waste water treatment facility:
(1) A parcel of real property consisting of ap-
proximately 11.5 acres, including a waste water
treatment facility and other improvements thereon
and appurtenances thereto at Fort Pickett, Virginia.
(2) All utility easements and right-of-way ap-
purtenant which may be necessary or appropriate to
provide for ingress and egress to and from the facil-
ity and to satisfy any buffer zone requirements im-
posed by any Federal or State agency.
(b) CONSIDERATION.—In consideration for the con-
veyance authorized in subsection (a), the town shall—
(1) design and construct an environmental up-
grade to the existing plant to meet environmental
standards;
(2) provide waste water treatment service to
Fort Pickett, Virginia, at a beneficial rate to the
Government;
(3) comply with all applicable environmental
laws and regulations, including any permit or license
requirements;
(4) reserve 75 percent of the existing Fort
Pickett, Virginia, waste water plant capacity for the
Army’s use at Fort Pickett, Virginia, should a fu-
ture need arise due to force realignment and mission
requirements;
(5) become responsible for future environmental
cleanup of the facility in accordance with the Com-
prehensive Environmental Response, Compensation
and Liability Act resulting from customers other
than the United States Army.
(c) TERMS.—Conveyance specified in subsection (a)
shall be subject to negotiation by and approval of the Sec-
retary of the Army as determined by him to be in the best
interests of the United States.
(d) REVERSION.—If the Secretary of the Army deter-
mines at any time that the town is not complying with
the conditions specified in this section, all right, title, and
interest in and to the waste water treatment system con-
veyed pursuant to subsection (a), including improvements
to the waste water treatment system, shall revert to the
United States and the United States shall have the right
of access and operation of the waste water treatment
system.
(e) DETERMINATION OF FAIR MARKET VALUE.—The
aggregate value of this transfer (value defined as benefits
to the Army), shall be certified by the Secretary to be of
equal or greater value than the fair market value of the
facility.
(f) DESCRIPTION OF PROPERTY.—The exact acreage
and legal description of the property to be conveyed pursu-
ant to this section shall be determined by surveys satisfac-
tory to the Secretary. The cost of such surveys shall be
borne by the town.
(g) ENVIRONMENTAL COMPLIANCE.—The town shall
be responsible for compliance with all applicable environ-
mental laws and regulations including any permit or li-
cense requirements. The town shall also be responsible for
executing and constructing environmental betterments to
the plan as required by applicable law. The United States
Army based on the availability of appropriated funding
and the town will share future environmental compliance
costs based on a pro rata share of reserved plant capacity
as determined by the Secretary under subsection (c). The
Army will be responsible for cleanup of any contaminated
property prior to transfer pursuant to the Comprehensive
Environmental Response, Compensation, and Liability Act
of 1980 (42 U.S.C. 9601 et seq.).
SEC. 824. TRANSFER OF WATER DISTRIBUTION SYSTEM
AND 
RESERVOIR 
AT 
STEWART 
ARMY
SUBPOST TO NEW WINDSOR, NEW YORK.
(a) CONVEYANCE.—Subject to subsection (b), the
Secretary of the Army may convey to the town of New
Windsor, New York (in this section referred to as the
‘‘town’’), all right, title, and interest of the United States
in the following real property water system:
(1) All Government-owned utility fixtures,
structures, water reservoir, distribution plant, and
improvements currently used to provide water serv-
ice and water distribution service to Stewart Army
Subpost, New York, and the surrounding area, to in-
clude the underlying fee (land) of the reservoir and
the water treatment plant.
(2) Transfer also includes all water trans-
mission mains, water distribution and service lines,
fire hydrants, water pumping stations, and other im-
provements thereon and appurtenances thereto at
Stewart Army Subpost, New York.
(3) A utility easement and right-of-way appur-
tenant which may be necessary or appropriate to
provide for ingress and egress to and from the water
system and to satisfy any buffer zone requirements
imposed by any Federal or State agency.
(b) CONSIDERATION.—In consideration for the con-
veyance authorized in subsection (a), the town shall—
(1) accept the water system to be conveyed
under this section in its existing conditions;
(2) provide water service to Stewart Army
Subpost, New York, at a beneficial rate to the Gov-
ernment;
(3) comply with all applicable environmental
laws and regulations including any permit or license
requirements; and
(4) not expand the existing on-post water serv-
ice system unless approved by the Installation Com-
mander or his or her designee.
(c) TERMS.—Conveyance specified in subsection (a)
shall be subject to negotiation by and approval of the Sec-
retary of the Army as determined by him to be in the best
interests of the United States.
(d) REVERSION.—If the Secretary of the Army deter-
mines at any time that the town is not complying with
the conditions specified in this section, all right, title, and
interest in and to the water system conveyed pursuant to
subsection (a), including improvements to the water sys-
tem, shall revert to the United States and the United
States shall have the right of access and operation of the
water system.
(e) DETERMINATION OF FAIR MARKET VALUE.—The
aggregate value of this transfer (value defined as benefits
to the Army), shall be certified by the Secretary to be of
equal or greater value than the fair market value of the
facility.
(f) DESCRIPTION OF PROPERTY.—The exact legal de-
scription of the equipment and facilities to be conveyed
pursuant to this section shall be determined by surveys
satisfactory to the Secretary. The cost of such surveys will
be borne by the town.
(g) ENVIRONMENTAL COMPLIANCE.—The town will
be responsible for compliance with all applicable environ-
mental laws and regulations including any permit or li-
cense requirements. The town will be responsible for exe-
cuting and constructing environmental betterments to the
water system as required by applicable law. The United
States Army, based on the availability of appropriated
funding, will share future environmental compliance costs
based on a pro rata share of the water distribution system
as determined by the Secretary under subsection (c). The
Army will be responsible for cleanup of any contaminated
property prior to transfer pursuant to the Comprehensive
Environmental Response, Compensation, and Liability Act
of 1980 (42 U.S.C. 9601 et seq.).
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