Union Calendar No. 75
105TH CONGRESS
1ST SESSION
H. R. 1119
[Report No. 105–132]
A BILL
To authorize appropriations for fiscal years 1998
and 1999 for military activities of the Depart-
ment of Defense, to prescribe military personnel
strengths for fiscal years 1998 and 1999, and for
other purposes.
JUNE 16, 1997
Reported with amendments, committed to the Committee
of the Whole House on the State of the Union, and or-
dered to be printed
IB
Union Calendar No. 75
105TH CONGRESS
1ST SESSION
H. R. 1119
[Report No. 105–132]
To authorize appropriations for fiscal years 1998 and 1999 for military
activities of the Department of Defense, to prescribe military personnel
strengths for fiscal years 1998 and 1999, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 19, 1997
Mr. SPENCE (for himself and Mr. DELLUMS) (both by request) introduced the
following bill; which was referred to the Committee on National Security
JUNE 16, 1997
Reported with amendments, committed to the Committee of the Whole House
on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
[For text of introduced bill, see copy of bill as introduced on March 19, 1997]
A BILL
To authorize appropriations for fiscal years 1998 and 1999
for military activities of the Department of Defense,
to prescribe military personnel strengths for fiscal years
1998 and 1999, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘National Defense Au-
thorization Act for Fiscal Year 1998’’.
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF
CONTENTS.
(a) DIVISIONS.—This Act is organized into three divi-
sions as follows:
(1) Division A—Department of Defense Author-
izations.
(2) Division B—Military Construction Author-
izations.
(3) Division C—Department of Energy National
Security Authorizations and Other Authorizations.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.
DIVISION A—DEPARTMENT OF DEFENSE
AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Reserve components.
Sec. 106. Defense Inspector General.
Sec. 107. Chemical Demilitarization Program.
Sec. 108. Defense health programs.
Sec. 109. Defense Export Loan Guarantee Program.
Subtitle B—Other Matters
Sec. 121. Limitation on obligation of funds for the Seawolf Submarine program.
Sec. 122. Report on annual budget submission regarding the reserve components.
TITLE II—RESEARCH, DEVELOPMENT, TEST, AND
EVALUATION
Subtitle A—Authorization of Appropriations
Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.
Sec. 203. Dual-use technology program.
Subtitle B—Program Requirements, Restrictions, and
Limitations
Sec. 211. Manufacturing technology program.
Sec. 212. Report on Strategic Environmental Research and Development
Program.
Sec. 213. Tactical unmanned aerial vehicles.
Sec. 214. Revisions to membership of and appointment authority for National
Ocean Research Leadership Council.
Sec. 215. Maintenance and repair of real property at Air Force installations.
Sec. 216. Expansion of eligibility for Defense Experimental Program to Stimu-
late Competitive Research.
Sec. 217. Limitation on use of funds for adaption of Integrated Defensive Elec-
tronic Countermeasures (IDECM) program to F/A–18E/F air-
craft and A/V–8B aircraft.
Sec. 218. Bioassay testing of veterans exposed to ionizing radiation during mili-
tary service.
Subtitle C—Ballistic Missile Defense Programs
Sec. 231. Budgetary treatment of amounts requested for procurement for Ballistic
Missile Defense programs.
Sec. 232. Cooperative ballistic missile defense program.
Sec. 233. Deployment dates for core theater missile defense programs
Sec. 234. Annual report on threat posed to the United States by weapons of mass
destruction, ballistic missiles, and cruise missiles.
Sec. 235. Director of Ballistic Missile Defense Organization.
Sec. 236. Tactical high energy laser program.
TITLE III—OPERATION AND MAINTENANCE
Subtitle A—Authorization of Appropriations
Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
Sec. 305. Refurbishment and installation of air search radar.
Sec. 306. Refurbishment of M1–A1 tanks.
Sec. 307. Procurement and electronic commerce technical assistance program.
Sec. 308. Availability of funds for separation pay for defense acquisition
personnel.
Subtitle B—Military Readiness Issues
Sec. 311. Expansion of scope of quarterly readiness reports.
Sec. 312. Limitation on reallocation of funds within operation and maintenance
appropriations.
Sec. 313. Operation of prepositioned fleet, National Training Center, Fort Irwin,
California.
Sec. 314. Prohibition of implementation of tiered readiness system.
Sec. 315. Reports on transfers from high-priority readiness appropriations.
Sec. 316. Report on Chairman, Joint Chiefs of Staff Exercise Program and Part-
nership for Peace program.
Sec. 317. Quarterly reports on execution of operation and maintenance
appropriations.
Subtitle C—Civilian Personnel
Sec. 321. Pay practices when overseas teachers transfer to general schedule
positions.
Sec. 322. Use of approved fire-safe accommodations by Government employees on
official business.
Subtitle D—Depot-Level Activities
Sec. 331. Extension of authority for aviation depots and naval shipyards to
engage in defense-related production and services.
Sec. 332. Exclusion of certain large maintenance and repair projects from per-
centage limitation on contracting for depot-level maintenance.
Sec. 333. Restrictions on contracts for performance of depot-level maintenance
and repair at certain facilities.
Sec. 334. Core logistics functions of Department of Defense.
Sec. 335. Centers of Industrial and Technical Excellence.
Sec. 336. Personnel reductions, Army depots participating in Army Workload
and Performance System.
Subtitle E—Environmental Provisions
Sec. 341. Revision of membership terms for Strategic Environmental Research
and Development Program scientific advisory board.
Sec. 342. Amendments to authority to enter into agreements with other agencies
in support of environmental technology certification.
Sec. 343. Authorization to pay negotiated settlement for environmental cleanup at
former Department of Defense sites in Canada.
Sec. 344. Modifications of authority to store and dispose of nondefense toxic and
hazardous materials.
Sec. 345. Revision of report requirement for Navy program to monitor ecological
effects of organotin.
Sec. 346. Partnerships for investment in innovative environmental technologies.
Sec. 347. Pilot program to test an alternative technology for eliminating solid
and liquid waste emissions during ship operations.
Subtitle F—Commissaries and Nonappropriated Fund
Instrumentalities
Sec. 361. Reorganization of laws regarding commissaries and exchanges and other
morale, welfare, and recreation activities.
Sec. 362. Merchandise and pricing requirements for commissary stores.
Sec. 363. Limitation on noncompetitive procurement of brand-name commercial
items for resale in commissary stores.
Sec. 364. Transfer of jurisdiction over exchange, commissary, and morale,
welfare, and recreation activities to Under Secretary of Defense
(Comptroller).
Sec. 365. Public and private partnerships to benefit morale, welfare, and
recreation activities.
Sec. 366. Treatment of certain amounts received by Defense Commissary Agency.
Sec. 367. Authorized use of appropriated funds for relocation of Navy Exchange
Service Command.
Subtitle G—Other Matters
Sec. 371. Assistance to local educational agencies that benefit dependents of mem-
bers of the Armed Forces and Department of Defense civilian
employees.
Sec. 372. Continuation of Operation Mongoose.
Sec. 373. Inclusion of Air Force depot maintenance as operation and
maintenance budget activity group.
Sec. 374. Programs to commemorate 50th anniversary of Marshall Plan and Ko-
rean conflict.
Sec. 375. Prohibition on use of Special Operations Command budget for base op-
eration support.
Sec. 376. Continuation and expansion of demonstration program to identify over-
payments made to vendors.
Sec. 377. Applicability of Federal printing requirements to Defense Automated
Printing Service.
Sec. 378. Base operations support for military installations on Guam.
TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS
Subtitle A—Active Forces
Sec. 401. End strengths for active forces.
Subtitle B—Reserve Forces
Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for reserves on active duty in support of the Reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Increase in number of members in certain grades authorized to serve
on active duty in support of the reserves.
Subtitle C—Authorization of Appropriations
Sec. 421. Authorization of appropriations for military personnel.
TITLE V—MILITARY PERSONNEL POLICY
Subtitle A—Officer Personnel Policy
Sec. 501. Limitation on number of general and flag officers who may serve in
positions outside their own service.
Sec. 502. Exclusion of certain retired officers from limitation on period of recall
to active duty.
Sec. 503. Clarification of officers eligible for consideration by selection boards.
Sec. 504. Authority to defer mandatory retirement for age of officers serving as
chaplains.
Subtitle B—Reserve Component Matters
Sec. 511. Individual Ready Reserve activation authority.
Sec. 512. Termination of Mobilization Income Insurance Program.
Sec. 513. Correction of inequities in medical and dental care and death and dis-
ability benefits for reserve members who incur or aggravate an
illness in the line of duty.
Sec. 514. Time-in-grade requirements for reserve commissioned officers retired
during force drawdown period.
Sec. 515. Authority to permit non-unit assigned officers to be considered by
vacancy promotion board to general officer grades.
Sec. 516. Grade requirement for officers eligible to serve on involuntary
separation boards.
Sec. 517. Limitation on use of Air Force Reserve AGR personnel for Air Force
base security functions.
Subtitle C—Military Technicians
Sec. 521. Authority to retain on the reserve active-status list until age 60
military technicians in the grade of brigadier general.
Sec. 522. Military technicians (dual status).
Sec. 523. Non-dual status military technicians.
Subtitle D—Measures To Improve Recruit Quality and Reduce
Recruit Attrition
Sec. 531. Reform of military recruiting systems.
Sec. 532. Improvements in medical prescreening of applicants for military
service.
Sec. 533. Improvements in physical fitness of recruits.
Subtitle E—Military Education and Training
Sec. 541. Independent panel to review military basic training.
Sec. 542. Reform of Army drill sergeant selection and training process.
Sec. 543. Requirement for candidates for admission to United States Naval Acad-
emy to take oath of allegiance.
Sec. 544. Reimbursement of expenses incurred for instruction at service academies
of persons from foreign countries.
Sec. 545. United States Naval Postgraduate School.
Sec. 546. Air Force Academy cadet foreign exchange program.
Sec. 547. Training in human relations matters for Army drill sergeant trainees.
Sec. 548. Study of feasibility of gender-segregated basic training.
Subtitle F—Military Decorations and Awards
Sec. 551. Study of new decorations for injury or death in line of duty.
Sec. 552. Purple heart to be awarded only to members of the armed forces.
Sec. 553. Eligibility for Armed Forces Expeditionary Medal for participation in
Operation Joint Endeavor or Operation Joint Guard.
Sec. 554. Waiver of time limitations for award of certain decorations to specified
persons.
Subtitle G—Other Matters
Sec. 561. Suspension of temporary early retirement authority.
Sec. 562. Treatment of educational accomplishments of National Guard Challenge
Program participants.
Sec. 563. Authority for personnel to participate in management of certain non-
Federal entities.
Sec. 564. Crew requirements of WC–130J aircraft.
Sec. 565. Comptroller General study of Department of Defense civil military pro-
grams.
Sec. 566. Treatment of participation of members in Department of Defense civil
military programs.
Sec. 567. Continuation of support to senior military colleges.
Sec. 568. Restoration of missing persons authorities applicable to Department of
Defense as in effect before enactment of National Defense Author-
ization Act for Fiscal Year 1997.
Sec. 569. Establishment of sentence of confinement for life without eligibility for
parole.
Sec. 570. Limitation on appeal of denial of parole for offenders serving life
sentence.
Sec. 571. Establishment of Public Affairs Branch in the Army.
TITLE VI—COMPENSATION AND OTHER PERSONNEL
BENEFITS
Subtitle A—Pay and Allowances
Sec. 601. Increase in basic pay for fiscal year 1998.
Sec. 602. Annual adjustment of basic pay and protection of member’s total com-
pensation while performing certain duty.
Sec. 603. Use of food cost information to determine basic allowance for
subsistence.
Sec. 604. Consolidation of basic allowance for quarters, variable housing
allowance, and overseas housing allowances.
Subtitle B—Bonuses and Special and Incentive Pays
Sec. 611. One-year extension of certain bonuses and special pay authorities for
reserve forces.
Sec. 612. One-year extension of certain bonuses and special pay authorities for
nurse 
officer 
candidates, 
registered 
nurses, 
and 
nurse
anesthetists.
Sec. 613. One-year extension of authorities relating to payment of other bonuses
and special pays.
Sec. 614. Increase in minimum monthly rate of hazardous duty incentive pay for
certain members.
Sec. 615. Availability of multiyear retention bonus for dental officers.
Sec. 616. Increase in variable and additional special pays for certain dental
officers.
Sec. 617. Special pay for duty at designated hardship duty locations.
Sec. 618. Selected Reserve reenlistment bonus.
Sec. 619. Selected Reserve enlistment bonus for former enlisted members.
Sec. 620. Special pay or bonuses for enlisted members extending tours of duty
overseas.
Sec. 621. Increase in amount of family separation allowance.
Sec. 622. Change in requirements for Ready Reserve muster duty allowance.
Subtitle C—Travel and Transportation Allowances
Sec. 631. Travel and transportation allowances for dependents of member
sentenced by court-martial.
Sec. 632. Dislocation allowance.
Subtitle D—Retired Pay, Survivor Benefits, and Related
Matters
Sec. 641. Time in which certain changes in beneficiary under survivor benefit
plan may be made.
Subtitle E—Other Matters
Sec. 651. Definition of sea duty for purposes of career sea pay.
Sec. 652. Loan repayment program for commissioned officers in certain health
professions.
Sec. 653. Conformance of NOAA commissioned officers separation pay to
separation pay for members of other uniformed services.
Sec. 654. Reimbursement of Public Health Service officers for adoption expenses.
Sec. 655. Payment of back quarters and subsistence allowances to World War II
veterans who served as guerrilla fighters in the Philippines.
Sec. 656. Space available travel for members of selected reserve.
Sec. 657. Study on military personnel at, near, or below the poverty line.
Sec. 658. Implementation of Department of Defense supplemental food program
for military personnel outside the United States.
TITLE VII—HEALTH CARE PROVISIONS
Subtitle A—Health Care Services
Sec. 701. Expansion of retiree dental insurance plan to include surviving spouse
and child dependents of certain deceased members.
Sec. 702. Provision of prosthetic devices to covered beneficiaries.
Subtitle B—TRICARE Program
Sec. 711. Addition of definition of TRICARE program to title 10.
Sec. 712. Plan for expansion of managed care option of TRICARE program.
Subtitle C—Uniformed Services Treatment Facilities
Sec. 721. Implementation of designated provider agreements for Uniformed Serv-
ices Treatment Facilities.
Sec. 722. Limitation on total payments.
Sec. 723. Continued acquisition of reduced-cost drugs.
Subtitle D—Other Changes to Existing Laws Regarding Health
Care Management
Sec. 731. Waiver or reduction of copayments under overseas dental program.
Sec. 732. Premium collection requirements for medical and dental insurance pro-
grams.
Sec. 733. Consistency between CHAMPUS and medicare in payment rates for
services.
Sec. 734. Use of personal services contracts for provision of health care services
and legal protection for providers.
Sec. 735. Portability of State licenses for Department of Defense health care pro-
fessionals.
Sec. 736. Standard form and requirements regarding claims for payment for
services.
Sec. 737. Medical personnel conscience clause.
Subtitle E—Other Matters
Sec. 741. Continued admission of civilians as students in physician assistant
training program of Army Medical Department.
Sec. 742. Emergency health care in connection with overseas activities of On-Site
Inspection Agency of Department of Defense.
Sec. 743. Comptroller General study of adequacy and effect of maximum allow-
able charges for physicians under CHAMPUS.
Sec. 744. Comptroller General study of Department of Defense pharmacy
programs.
Sec. 745. Comptroller General study of Navy graduate medical education
program.
Sec. 746. Study of expansion of pharmaceuticals by mail program to include ad-
ditional medicare-eligible covered beneficiaries.
TITLE VIII—ACQUISITION POLICY, ACQUISITION
MANAGEMENT, AND RELATED MATTERS
Subtitle A—Acquisition Policy
Sec. 801. Case-by-case waivers of domestic source limitations.
Sec. 802. Expansion of authority to enter into contracts crossing fiscal years to
all severable services contracts not exceeding a year.
Sec. 803. Clarification of vesting of title under contracts.
Sec. 804. Exclusion of disaster relief, humanitarian, and peacekeeping operations
from restrictions on use of undefinitized contract actions.
Sec. 805. Limitation and report on payment of restructuring costs under defense
contracts.
Sec. 806. Authority relating to purchase of certain vehicles.
Sec. 807. Multiyear procurement contracts.
Sec. 808. Domestic source limitation amendments.
Sec. 809. Repeal of expiration of domestic source limitation for certain naval ves-
sel propellers.
Subtitle B—Other Matters
Sec. 821. Repeal of certain acquisition reports and requirements.
Sec. 822. Extension of authority for use of test and evaluation installations by
commercial entities.
Sec. 823. Requirement to develop and maintain list of firms not eligible for de-
fense contracts.
TITLE IX—DEPARTMENT OF DEFENSE ORGANIZATION AND
MANAGEMENT
Sec. 901. Limitation on operation and support funds for the Office of the
Secretary of Defense.
Sec. 902. Components of National Defense University.
Sec. 903. Authorization for the Marine Corps University to employ civilian
professors.
Sec. 904. Center for the Study of Chinese Military Affairs.
Sec. 905. White House Communications Agency.
Sec. 906. Revision to required frequency for provision of policy guidance for con-
tingency plans.
Sec. 907. Termination of the Defense Airborne Reconnaissance Office.
TITLE X—GENERAL PROVISIONS
Subtitle A—Financial Matters
Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Authority for obligation of unauthorized fiscal year 1997 defense
appropriations.
Sec. 1004. Authorization of supplemental appropriations for fiscal year 1997.
Sec. 1005. Increase in fiscal year 1996 transfer authority.
Sec. 1006. Fisher House trust funds.
Sec. 1007. Flexibility in financing closure of certain outstanding contracts for
which a small final payment is due.
Subtitle B—Naval Vessels and Shipyards
Sec. 1021. Relationship of certain laws to disposal of vessels for export from the
Naval Vessel Register and the National Defense Reserve Fleet.
Sec. 1022. Authority to enter into a long-term charter for a vessel in support of
the Surveillance Towed-Array Sensor (SURTASS) program.
Sec. 1023. Transfer of two specified obsolete tugboats of the Army.
Sec. 1024. Naming of a DDG–51 class destroyer the U.S.S. Thomas F. Connolly.
Sec. 1025. Congressional review period with respect to transfer of the ex-
U.S.S. Midway (CV–41).
Subtitle C—Counter-Drug Activities
Sec. 1031. Prohibition on use of National Guard for civil-military activities
under State drug interdiction and counter-drug activities plan.
Subtitle D—Miscellaneous Report Requirements and Repeals
Sec. 1041. Repeal of miscellaneous obsolete reports required by prior defense au-
thorization Acts.
Sec. 1042. Repeal of annual report requirement relating to training of special op-
erations forces with friendly foreign forces.
Subtitle E—Other Matters
Sec. 1051. Authority for special agents of the Defense Criminal Investigative
Service to execute warrants and make arrests.
Sec. 1052. Study of investigative practices of military criminal investigative or-
ganizations relating to sex crimes.
Sec. 1053. Technical and clerical amendments.
Sec. 1054. Display of POW/MIA flag.
Sec. 1055. Certification required before observance of moratorium on use by
Armed Forces of antipersonnel landmines.
Sec. 1056. Protection of safety-related information voluntarily provided by air
carriers.
Sec. 1057. National Guard Challenge Program to create opportunities for civilian
youth.
Sec. 1058. Lease of non-excess personal property of the military departments.
Sec. 1059. Commendation of members of the Armed Forces and Government civil-
ian personnel who served during the Cold War.
TITLE XI—COOPERATIVE THREAT REDUCTION WITH
STATES OF FORMER SOVIET UNION
Sec. 1101. Specification of Cooperative Threat Reduction programs.
Sec. 1102. Fiscal year 1998 funding allocations.
Sec. 1103. Prohibition on use of funds for specified purposes.
Sec. 1104. Limitation on use of funds until specified reports are submitted.
Sec. 1105. Limitation on use of funds until submission of certification.
Sec. 1106. Use of funds for chemical weapons destruction facility.
Sec. 1107. Limitation on use of funds for storage facility for Russian fissile mate-
rial.
Sec. 1108. Limitation on use of funds for weapons storage security.
Sec. 1109. Report to Congress on issues regarding payment of taxes or duties on
assistance provided to Russia under Cooperative Threat
Reduction programs.
Sec. 1110. Limitation on obligation of funds for a specified period.
Sec. 1111. Availability of funds.
TITLE XII—MATTERS RELATING TO OTHER NATIONS
Sec. 1201. Reports to Congress relating to United States forces in Bosnia.
Sec. 1202. One-year extension of counterproliferation authorities.
Sec. 1203. Report on future military capabilities and strategy of the People’s Re-
public of China.
Sec. 1204. Temporary use of general purpose vehicles and nonlethal military
equipment under acquisition and cross servicing agreements.
DIVISION B—MILITARY CONSTRUCTION
AUTHORIZATIONS
Sec. 2001. Short title.
TITLE XXI—ARMY
Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Correction in authorized uses of funds, Fort Irwin, California.
TITLE XXII—NAVY
Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Authorization of military construction project at Naval Air Station,
Pascagoula, 
Mississippi, 
for 
which 
funds 
have 
been
appropriated.
TITLE XXIII—AIR FORCE
Sec. 2301. Authorized Air Force construction and land acquisition projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Authorization of military construction project at McConnell Air Force
Base, Kansas, for which funds have been appropriated.
TITLE XXIV—DEFENSE AGENCIES
Sec. 2401. Authorized Defense Agencies construction and land acquisition
projects.
Sec. 2402. Military housing planning and design.
Sec. 2403. Improvements to military family housing units.
Sec. 2404. Energy conservation projects.
Sec. 2405. Authorization of appropriations, Defense Agencies.
Sec. 2406. Correction in authorized uses of funds, McClellan Air Force Base,
California.
Sec. 2407. Modification of authority to carry out fiscal year 1995 projects.
TITLE XXV—NORTH ATLANTIC TREATY ORGANIZATION
SECURITY INVESTMENT PROGRAM
Sec. 2501. Authorized NATO construction and land acquisition projects.
Sec. 2502. Authorization of appropriations, NATO.
TITLE XXVI—GUARD AND RESERVE FORCES FACILITIES
Sec. 2601. Authorized Guard and Reserve construction and land acquisition
projects.
Sec. 2602. Authorization of military construction projects for which funds have
been appropriated.
Sec. 2603. Army Reserve construction project, Salt Lake City, Utah.
TITLE XXVII—EXPIRATION AND EXTENSION OF
AUTHORIZATIONS
Sec. 2701. Expiration of authorizations and amounts required to be specified by
law.
Sec. 2702. Extension of authorizations of certain fiscal year 1995 projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1994 projects.
Sec. 2704. Extension of authorizations of certain fiscal year 1993 projects.
Sec. 2705. Extension of authorizations of certain fiscal year 1992 projects.
Sec. 2706. Extension of availability of funds for construction of Over-the-Horizon
Radar in Puerto Rico.
Sec. 2707. Effective date.
TITLE XXVIII—GENERAL PROVISIONS
Subtitle A—Military Construction Program and Military
Family Housing Changes
Sec. 2801. Use of mobility enhancement funds for unspecified minor construction.
Sec. 2802. Limitation on use of operation and maintenance funds for facility re-
pair projects.
Sec. 2803. Leasing of military family housing, United States Southern Com-
mand, Miami, Florida.
Sec. 2804. Use of financial incentives provided as part of energy savings and
water conservation activities.
Sec. 2805. Congressional notification requirements regarding use of Department
of Defense housing funds for investments in nongovernmental en-
tities.
Subtitle B—Real Property And Facilities Administration
Sec. 2811. Increase in ceiling for minor land acquisition projects.
Sec. 2812. Administrative expenses for certain real property transactions.
Sec. 2813. Disposition of proceeds from sale of Air Force Plant 78, Brigham City,
Utah.
Subtitle C—Defense Base Closure and Realignment
Sec. 2821. Consideration of military installations as sites for new Federal facili-
ties.
Sec. 2822. Prohibition against conveyance of property at military installations to
State-owned shipping companies.
Subtitle D—Land Conveyances
PART I—ARMY CONVEYANCES
Sec. 2831. Land conveyance, James T. Coker Army Reserve Center, Durant,
Oklahoma.
Sec. 2832. Land conveyance, Fort A. P. Hill, Virginia.
Sec. 2833. Expansion of land conveyance, Indiana Army Ammunition Plant,
Charlestown, Indiana.
Sec. 2834. Modification of land conveyance, Lompoc, California.
Sec. 2835. Modification of land conveyance, Rocky Mountain Arsenal, Colorado.
Sec. 2836. Correction of land conveyance authority, Army Reserve Center,
Anderson, South Carolina.
Sec. 2837. Land conveyance, Fort Bragg, North Carolina.
Sec. 2838. Land conveyance, Gibson Army Reserve Center, Chicago, Illinois.
Sec. 2839. Land conveyance, Fort Dix, New Jersey.
PART II—NAVY CONVEYANCES
Sec. 2851. Correction of lease authority, Naval Air Station, Meridian,
Mississippi.
PART III—AIR FORCE CONVEYANCES
Sec. 2861. Land transfer, Eglin Air Force Base, Florida.
Sec. 2862. Study of land exchange options, Shaw Air Force Base, South Caro-
lina.
Sec. 2863. Land conveyance, March Air Force Base, California.
Subtitle E—Other Matters
Sec. 2881. Repeal of requirement to operate Naval Academy dairy farm.
Sec. 2882. Long-term lease of property, Naples Italy.
Sec. 2883. Designation of military family housing at Lackland Air Force Base,
Texas, in honor of Frank Tejeda, a former Member of the House
of Representatives.
TITLE XXIX—SIKES ACT IMPROVEMENT
Sec. 2901. Short title.
Sec. 2902. Definition of Sikes Act for purposes of amendments.
Sec. 2903. Codification of short title of Act.
Sec. 2904. Integrated natural resource management plans.
Sec. 2905. Review for preparation of integrated natural resource management
plans.
Sec. 2906. Annual reviews and reports.
Sec. 2907. Transfer of wildlife conservation fees from closed military installa-
tions.
Sec. 2908. Federal enforcement of integrated natural resource management plans
and enforcement of other laws.
Sec. 2909. Natural resource management services.
Sec. 2910. Definitions.
Sec. 2911. Cooperative agreements.
Sec. 2912. Repeal of superseded provision.
Sec. 2913. Clerical amendments.
Sec. 2914. Authorizations of appropriations.
DIVISION C—DEPARTMENT OF ENERGY
NATIONAL 
SECURITY 
AUTHORIZA-
TIONS AND OTHER AUTHORIZATIONS
TITLE XXXI—DEPARTMENT OF ENERGY NATIONAL
SECURITY PROGRAMS
Subtitle A—National Security Programs Authorizations
Sec. 3101. Weapons activities.
Sec. 3102. Environmental restoration and waste management.
Sec. 3103. Other defense activities.
Sec. 3104. Defense nuclear waste disposal.
Subtitle B—Recurring General Provisions
Sec. 3121. Reprogramming.
Sec. 3122. Limits on general plant projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction activities.
Sec. 3127. Funds available for all national security programs of the Department
of Energy.
Sec. 3128. Authority relating to transfers of defense environmental management
funds.
Subtitle C—Program Authorizations, Restrictions, and
Limitations
Sec. 3131. Ballistic Missile Defense National Laboratory Program.
Subtitle D—Other Matters
Sec. 3141. Plan for stewardship, management, and certification of warheads in
the nuclear weapons stockpile.
Sec. 3142. Repeal of obsolete reporting requirements.
Sec. 3143. Revisions to defense nuclear facilities workforce restructuring plan re-
quirements.
Sec. 3144. Extension of authority for appointment of certain scientific, engineer-
ing, and technical personnel.
Sec. 3145. Report on proposed contract for Hanford Tank Waste Vitrification
project.
Sec. 3146. Limitation on conduct of subcritical nuclear weapons tests.
Sec. 3147. Limitation on use of certain funds until future use plans are
submitted.
Sec. 3148. Plan for external oversight of national laboratories.
Sec. 3149. University-based research center.
Sec. 3150. Stockpile stewardship program.
Sec. 3151. Reports on advanced supercomputer sales to certain foreign nations.
TITLE XXXII—DEFENSE NUCLEAR FACILITIES SAFETY
BOARD
Sec. 3201. Authorization.
Sec. 3202. Plan for transfer of facilities from jurisdiction of Defense Nuclear Fa-
cilities Safety Board to jurisdiction of Nuclear Regulatory Com-
mission.
TITLE XXXIII—NATIONAL DEFENSE STOCKPILE
Sec. 3301. Authorized uses of stockpile funds.
Sec. 3302. Disposal of beryllium copper master alloy in National Defense Stock-
pile.
Sec. 3303. Disposal of titanium sponge in National Defense Stockpile.
Sec. 3304. Conditions on transfer of stockpiled platinum reserves for Treasury
use.
Sec. 3305. Restrictions on disposal of certain manganese ferro.
Sec. 3306. Required procedures for disposal of strategic and critical materials.
TITLE XXXIV—NAVAL PETROLEUM RESERVES
Sec. 3401. Authorization of appropriations.
Sec. 3402. Price requirement on sale of certain petroleum during fiscal year 1998.
Sec. 3403. Termination of assignment of Navy officers to Office of Naval
Petroleum and Oil Shale Reserves.
TITLE XXXV—PANAMA CANAL COMMISSION
Subtitle A—Authorization of Expenditures From Revolving
Fund
Sec. 3501. Short title.
Sec. 3502. Authorization of expenditures.
Sec. 3503. Purchase of vehicles.
Sec. 3504. Expenditures only in accordance with treaties.
Subtitle B—Facilitation of Panama Canal Transition
Sec. 3511. Short title; references.
Sec. 3512. Definitions relating to Canal transition.
PART I—TRANSITION MATTERS RELATING TO COMMISSION OFFICERS AND
EMPLOYEES
Sec. 3521. Authority for the Administrator of the Commission to accept
appointment as the Administrator of the Panama Canal
Authority.
Sec. 3522. Post-Canal Transfer Personnel Authorities.
Sec. 3523. Enhanced authority of Commission to establish compensation of Com-
mission officers and employees.
Sec. 3524. Travel, transportation, and subsistence expenses for Commission per-
sonnel no longer subject to Federal Travel Regulation.
Sec. 3525. Enhanced recruitment and retention authorities.
Sec. 3526. Transition separation incentive payments.
Sec. 3527. Labor-management relations.
Sec. 3528. Availability of Panama Canal Revolving Fund for severance pay for
certain employees separated by Panama Canal Authority after
Canal Transfer Date.
PART II—TRANSITION MATTERS RELATING TO OPERATION AND
ADMINISTRATION OF CANAL
Sec. 3541. Establishment of procurement system and board of contract appeals.
Sec. 3542. Transactions with the Panama Canal Authority.
Sec. 3543. Time limitations on filing of claims for damages.
Sec. 3544. Tolls for small vessels.
Sec. 3545. Date of actuarial evaluation of FECA liability.
Sec. 3546. Notaries public.
Sec. 3547. Commercial services.
Sec. 3548. Transfer from President to Commission of certain regulatory functions
relating to employment classification appeals.
Sec. 3549. Enhanced printing authority.
Sec. 3550. Technical and conforming amendments.
TITLE XXXVI—MARITIME ADMINISTRATION
Sec. 3601. Authorization of appropriations for fiscal year 1998.
Sec. 3602. Repeal of obsolete annual report requirement concerning relative cost
of shipbuilding in the various coastal districts of the United
States.
Sec. 3603. Provisions relating to maritime security fleet program.
Sec. 3604. Authority to utilize replacement vessels and capacity.
Sec. 3605. Authority to convey national defense reserve fleet vessel.
SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.
For purposes of this Act, the term ‘‘congressional de-
fense committees’’ means—
(1) the Committee on Armed Services and the
Committee on Appropriations of the Senate; and
(2) the Committee on National Security and the
Committee on Appropriations of the House of Rep-
resentatives.
DIVISION A—DEPARTMENT OF
DEFENSE AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of
Appropriations
SEC. 101. ARMY.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for procurement for the Army as follows:
(1) For aircraft, $1,535,264,000.
(2) For missiles, $1,176,516,000.
(3) For weapons and tracked combat vehicles,
$1,519,527,000.
(4) For ammunition, $1,093,802,000.
(5) For other procurement, $2,640,277,000.
SEC. 102. NAVY AND MARINE CORPS.
(a) NAVY.—Funds are hereby authorized to be appro-
priated for fiscal year 1998 for procurement for the Navy
as follows:
(1) For aircraft, $6,172,950,000.
(2) For weapons, including missiles and tor-
pedoes, $1,214,687,000.
(3) 
For 
shipbuilding 
and 
conversion,
$7,654,977,000.
(4) For other procurement, $3,073,432,000.
(b) MARINE CORPS.—Funds are hereby authorized to
be appropriated for fiscal year 1998 for procurement for
the Marine Corps in the amount of $442,807,000.
(c) NAVY AND MARINE CORPS AMMUNITION.—Funds
are hereby authorized to be appropriated for procurement
of ammunition for the Navy and the Marine Corps in the
amount of $470,355,000.
SEC. 103. AIR FORCE.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for procurement for the Air Force as follows:
(1) For aircraft, $6,770,900,000.
(2) For missiles, $2,389,183,000.
(3) For ammunition, $436,984,000.
(4) For other procurement, $6,574,096,000.
SEC. 104. DEFENSE-WIDE ACTIVITIES.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for Defense-wide procurement in the amount
of $1,836,989,000.
SEC. 105. RESERVE COMPONENTS.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for procurement of aircraft, vehicles, commu-
nications equipment, and other equipment for the reserve
components of the Armed Forces as follows:
(1) For the Army National Guard, $102,700,000.
(2) For the Air National Guard, $117,775,000.
(3) For the Army Reserve, $90,400,000.
(4) For the Naval Reserve, $118,000,000.
(5) For the Air Force Reserve, $167,630,000.
(6) For the Marine Corps Reserve, $98,600,000.
(7) For the Coast Guard Reserve, $5,250,000.
SEC. 106. DEFENSE INSPECTOR GENERAL.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for procurement for the Inspector General of
the Department of Defense in the amount of $1,800,000.
SEC. 107. CHEMICAL DEMILITARIZATION PROGRAM.
There is hereby authorized to be appropriated for fiscal
year 1998 the amount of $610,700,000 for—
(1) the destruction of lethal chemical agents and
munitions in accordance with section 1412 of the De-
partment of Defense Authorization Act, 1986 (50
U.S.C. 1521); and
(2) the destruction of chemical warfare materiel
of the United States that is not covered by section
1412 of such Act.
SEC. 108. DEFENSE HEALTH PROGRAMS.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for the Department of Defense for procure-
ment for carrying out health care programs, projects, and
activities of the Department of Defense in the total amount
of $279,068,000.
SEC. 109. DEFENSE EXPORT LOAN GUARANTEE PROGRAM.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for the Department of Defense for carrying
out the Defense Export Loan Guarantee Program in the
total amount of $1,231,000.
Subtitle B—Other Matters
SEC. 121. LIMITATION ON OBLIGATION OF FUNDS FOR THE
SEAWOLF SUBMARINE PROGRAM.
(a) LIMITATION.—The Secretary of the Navy may not
obligate more than 50 percent of the funds appropriated
for fiscal year 1998 for Shipbuilding and Conversion for
the Navy that are specified as being available for the
Seawolf submarine program until the Secretary certifies to
the congressional defense committees that the Secretary will
include in the future-years defense program accompanying
the fiscal year 1999 budget for the Department of Defense
not less than 50 percent of the amount necessary to fully
fund incorporation into each of the first four vessels in the
New Attack Submarine program the technology insertion
opportunities specified in subsection (b).
(b) TECHNOLOGY INSERTION OPPORTUNITIES.—The
technology insertion opportunities referred to in subsection
(a) are those technology insertion opportunities available
for the first four vessels in the New Attack Submarine pro-
gram that were presented by the Assistant Secretary of the
Navy (Research, Development, and Acquisition) in testi-
mony before the Procurement Subcommittee of the Commit-
tee on National Security of the House of Representatives
on March 18, 1997.
SEC. 122. REPORT ON ANNUAL BUDGET SUBMISSION RE-
GARDING THE RESERVE COMPONENTS.
(a) IN GENERAL.—Chapter 1013 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 10544. Budget information
‘‘(a) REPORT.—The Secretary of Defense shall submit
to the congressional committees specified in subsection (d),
at the same time that the President submits the budget for
a fiscal year under section 1105(a) of title 31, United States
Code, a report on amounts requested in that budget for the
reserve components.
‘‘(b) CONTENT.—The report shall include the following:
‘‘(1) A description of the anticipated effect that
the amounts requested (if approved by Congress) will
have to enhance the capabilities of each of the reserve
components.
‘‘(2) A listing, with respect to each such compo-
nent, of each of the following:
‘‘(A) The amount requested for each major
weapon system for which funds are requested in
the budget for that component.
‘‘(B) The amount requested for each item of
equipment (other than a major weapon system)
for which funds are requested in the budget for
that component.
‘‘(c) INCLUSION OF INFORMATION IN NEXT FYDP.—
The Secretary of Defense shall specifically display in the
each future-years defense program (or program revision)
submitted to Congress under section 221 of this title the
amounts programmed for procurement of equipment for
each of the reserve components.
‘‘(d) CONGRESSIONAL COMMITTEES SPECIFIED.—The
congressional committees referred to in subsection (a) are
the following:
‘‘(1) The Committee on Armed Services and the
Committee on Appropriations of the Senate.
‘‘(2) The Committee on National Security and
the Committee on Appropriations of the House of
Representatives.
‘‘(e) EXCLUSION OF COAST GUARD RESERVE.—In this
section, the term ‘reserve components’ does not include the
Coast Guard Reserve.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘10544. Budget information.’’.
TITLE II—RESEARCH, DEVELOP-
MENT, TEST, AND EVALUA-
TION
Subtitle A—Authorization of
Appropriations
SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for the use of the Department of Defense for
research, development, test, and evaluation as follows:
(1) For the Army, $4,752,913,000.
(2) For the Navy, $7,946,996,000.
(3) For the Air Force, $14,659,736,000.
(4) For Defense-wide activities, $9,914,080,000,
of which—
(A) $279,683,000 is authorized for the ac-
tivities of the Director, Test and Evaluation; and
(B) $23,384,000 is authorized for the Direc-
tor of Operational Test and Evaluation.
SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.
(a) FISCAL YEAR 1998.—Of the amounts authorized
to be appropriated by section 201, $4,131,871,000 shall be
available for basic research and applied research projects.
(b) BASIC RESEARCH AND APPLIED RESEARCH DE-
FINED.—For purposes of this section, the term ‘‘basic re-
search and applied research’’ means work funded in pro-
gram elements for defense research and development under
Department of Defense category 6.1 or 6.2.
SEC. 203. DUAL-USE TECHNOLOGY PROGRAM.
(a) FUNDING REQUIREMENT.—Of the amounts appro-
priated pursuant to the authorizations in section 201 for
the Department of Defense for science and technology pro-
grams for each of fiscal years 1998 through 2001, at least
the following percentages of such amounts shall be available
in the applicable fiscal year only for dual-use projects of
the Department of Defense:
(1) For fiscal year 1998, 5 percent.
(2) For fiscal year 1999, 7 percent.
(3) For fiscal year 2000, 10 percent.
(4) For fiscal year 2001, 15 percent.
(b) SENIOR OFFICIAL FOR DUAL-USE PROGRAM.—The
person responsible for developing policy relating to, and en-
suring effective implementation of, the dual-use technology
program of the Department of Defense is the senior official
designated by the Secretary of Defense under section 203(b)
of the National Defense Authorization Act for Fiscal Year
1997 (Public Law 104–201; 110 Stat. 2451).
(c) LIMITATION ON OBLIGATIONS.—(1) Except as pro-
vided in paragraph (2), funds made available pursuant to
subsection (a) may not be obligated until the senior official
referred to in subsection (b) approves the obligation.
(2) Paragraph (1) does not apply with respect to funds
made available pursuant to subsection (a) to the Defense
Advanced Research Projects Agency.
(3) Funds made available pursuant to subsection (a)
may be used for a dual-use project only if the contract, coop-
erative agreement, or other transaction by which the project
is carried out is entered into through the use of competitive
procedures.
(d) TRANSFER AUTHORITY.—In addition to the trans-
fer authority provided in section 1001, the Secretary of De-
fense may transfer funds made available pursuant to sub-
section (a) for a dual-use project from a military depart-
ment or defense agency to another military department or
defense agency to ensure efficient implementation of the
dual-use technology program. The Secretary may delegate
the authority provided in the preceding sentence to the sen-
ior official referred to in subsection (b).
(e) FEDERAL COST SHARE.—(1) The share contributed
by the Secretary of a military department or the head of
a defense agency for the cost of a dual-use project during
fiscal years 1998, 1999, 2000, and 2001 may not be greater
than 50 percent of the cost of the project for that fiscal year.
(2) In calculating the share of the costs of a dual-use
program contributed by a military department or a non-
Government entity, the Secretaries of the military depart-
ments may not consider in-kind contributions.
(f) DEFINITIONS.—In this section, the terms ‘‘dual-use
technology program’’, ‘‘dual-use project’’, and ‘‘science and
technology program’’ have the meanings provided by section
203(h) of the National Defense Authorization Act for Fiscal
Year 1997 (Public Law 104–201; 110 Stat. 2452).
Subtitle B—Program Requirements,
Restrictions, and Limitations
SEC. 211. MANUFACTURING TECHNOLOGY PROGRAM.
Section 2525 of title 10, United States Code, is amend-
ed by adding at the end the following new subsection:
‘‘(e) FUNDING REQUIREMENT.—(1) Subject to para-
graph (2), the Secretary of Defense shall make available
each fiscal year for the Manufacturing Technology Program
the greater of the following amounts:
‘‘(A) 0.25 percent of the amount available for the
fiscal year concerned for the demonstration and vali-
dation, engineering and manufacturing development,
operational systems development, and procurement
programs of the military departments and Defense
Agencies.
‘‘(B) The amount authorized to be appropriated
by law for the fiscal year concerned for projects of the
military departments and Defense Agencies under the
Manufacturing Technology Program.
‘‘(2) Paragraph (1) applies to fiscal years 1998, 1999,
and 2000.
‘‘(f) TRANSFER AUTHORITY.—The Secretary of Defense
may transfer funds made available pursuant to subsection
(e) from a military department or Defense Agency to an-
other military department or Defense Agency to ensure effi-
cient implementation of the Manufacturing Technology
Program. The Secretary may delegate the authority pro-
vided in the preceding sentence to the Under Secretary of
Defense for Acquisition and Technology. Authority to trans-
fer funds under this subsection is in addition to any other
authority provided by law to transfer funds (whether en-
acted before, on, or after the date of the enactment of this
section) and is not subject to any dollar limitation or notifi-
cation requirement contained in any other such authority
to transfer funds.
‘‘(g) REPORT.—(1) At the same time the President sub-
mits to Congress the budget for fiscal year 1999 pursuant
to section 1105(a) of title 31, the Secretary of Defense shall
submit to Congress a report that—
‘‘(A) specifies the plans of the Secretary for ex-
penditures under the program during fiscal years
1998, 1999, and 2000; and
‘‘(B) assesses the effectiveness of the program.
‘‘(2) The Secretary shall submit an updated version
of such report at the same time the President submits the
budget for each fiscal year after fiscal year 1999 during
which the program is in effect shall include—
‘‘(A) an assessment of whether the funding of the
program, as provided pursuant to the funding re-
quirement of subsection (e), is sufficient; and
‘‘(B) any recommendations considered appro-
priate by the Secretary for changes in, or an exten-
sion of, the funding requirement of subsection (e).’’.
SEC. 212. REPORT ON STRATEGIC ENVIRONMENTAL RE-
SEARCH AND DEVELOPMENT PROGRAM.
(a) REPORT.—Not later than February 28, 1998, the
Secretary of Defense shall submit to Congress a report con-
taining, for each project or activity of the Strategic Envi-
ronmental Research and Development Program—
(1) an explanation of why the project or activity
is not duplicative of environmentally related research,
development, and demonstration activities of other de-
partments and agencies of the Federal Government, of
State and local governments, or of other organizations
engaged in such activities; and
(2) an explanation of why the project or activity
is uniquely related to and necessary for the mission
of the Department of Defense.
(b) LIMITATION ON USE OF FUNDS PENDING SUBMIS-
SION OF REPORT.—Not more than 50 percent of the funds
appropriated for the Strategic Environmental Research and
Development Program pursuant to the authorization of ap-
propriations in section 201(4) may be expended until the
Secretary of Defense submits the report required under this
section.
SEC. 213. TACTICAL UNMANNED AERIAL VEHICLES.
(a) PROHIBITION ON FUNDING FOR OUTRIDER ACTD
PROGRAM.—No funds authorized to be appropriated under
section 201 may be obligated for the Outrider Advanced
Concept Technology Demonstration (ACTD) program.
(b) FUNDING REQUIREMENTS.—Of the funds author-
ized to be appropriated for tactical unmanned aerial vehi-
cles (TUAV) under section 201—
(1) $10,000,000 shall be available to carry out a
competition for an unmanned aerial vehicle capable
of vertical takeoff and landing; and
(2) $11,500,000 shall be available to provide a
Predator Unmanned Aerial Vehicle system equipped
with synthetic aperture radar and associated equip-
ment to facilitate the development of a common Tac-
tical Control System for unmanned aerial vehicles.
SEC. 214. REVISIONS TO MEMBERSHIP OF AND APPOINT-
MENT AUTHORITY FOR NATIONAL OCEAN RE-
SEARCH LEADERSHIP COUNCIL.
(a) MEMBERSHIP REVISIONS.—Section 7902(b) of title
10, United States Code, is amended—
(1) by striking out paragraph (11); and
(2) in paragraph (17), by striking out ‘‘One
member’’ and inserting in lieu thereof ‘‘Not more
than four members’’.
(b) APPOINTMENT AUTHORITY REVISIONS.—Section
7902 of such title is amended—
(1) in paragraphs (14), (15), (16), and (17) of
subsection (b), by striking out ‘‘chairman’’ each place
it appears and inserting in lieu thereof ‘‘President’’;
and
(2) by adding at the end the following new sub-
section:
‘‘(j) DELEGATION OF APPOINTMENT AUTHORITY.—The
President may delegate the authority to make appointments
under subsection (b) to the head of a department, without
authority to redelegate.’’.
(c) CONFORMING AMENDMENTS.—(1) Section 7902 of
such title is further amended—
(A) in subsection (b), by redesignating para-
graphs (12), (13), (14), (15), (16), and (17) as para-
graphs (11), (12), (13), (14), (15), and (16), respec-
tively; and
(B) in subsection (d), by striking out ‘‘(14), (15),
(16), or (17)’’ and inserting in lieu thereof ‘‘(13),
(14), (15), or (16)’’.
(2) Section 282 of the National Defense Authorization
Act for Fiscal Year 1997 (Public Law 104–201; 110 Stat.
2473) is amended by striking out subsection (c).
SEC. 215. MAINTENANCE AND REPAIR OF REAL PROPERTY
AT AIR FORCE INSTALLATIONS.
(a) IN GENERAL.—Chapter 949 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 9782. Maintenance and repair of real property
‘‘(a) ALLOCATION OF FUNDS.—The Secretary of the
Air Force shall allocate funds authorized to be appropriated
by a provision described in subsection (c) and a provision
described in subsection (d) for maintenance and repair of
real property at military installations of the Department
of the Air Force without regard to whether the installation
is supported with funds authorized by a provision described
in subsection (c) or (d).
‘‘(b) MIXING OF FUNDS PROHIBITED ON INDIVIDUAL
PROJECTS.—The Secretary of the Air Force may not com-
bine funds authorized to be appropriated by a provision
described in subsection (c) and funds authorized to be ap-
propriated by a provision described in subsection (d) for
an individual project for maintenance and repair of real
property at a military installation of the Department of
the Air Force.
‘‘(c) RESEARCH, DEVELOPMENT, TEST, AND EVALUA-
TION FUNDS.—The provision described in this subsection
is a provision of a national defense authorization Act that
authorizes funds to be appropriated for a fiscal year to the
Air Force for research, development, test, and evaluation.
‘‘(d) OPERATION
AND MAINTENANCE FUNDS.—The
provision described in this subsection is a provision of a
national defense authorization Act that authorizes funds to
be appropriated for a fiscal year to the Air Force for oper-
ation and maintenance.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘9782. Maintenance and repair of real property.’’.
SEC. 216. EXPANSION OF ELIGIBILITY FOR DEFENSE EXPER-
IMENTAL PROGRAM TO STIMULATE COMPETI-
TIVE RESEARCH.
Section 257 of the National Defense Authorization Act
for Fiscal Year 1995 (Public Law 103–337; U.S.C. 2358
note) is amended by adding at the end of subsection (d)
the following new paragraph:
‘‘(3) In this section, the term ‘State’ means a
State of the United States, the District of Columbia,
the Commonwealth of Puerto Rico, Guam, the Virgin
Islands, American Samoa, and the Commonwealth of
the Northern Mariana Islands.’’.
SEC. 217. LIMITATION ON USE OF FUNDS FOR ADAPTION OF
INTEGRATED DEFENSIVE ELECTRONIC COUN-
TERMEASURES (IDECM) PROGRAM TO F/A–18E/
F AIRCRAFT AND A/V–8B AIRCRAFT.
Not more than 50 percent of the amount authorized
to be appropriated in section 201(2) for development of the
Integrated Defensive Electronic Countermeasures (IDECM)
program for adaption to the F/A–18E/F aircraft and the
AV–8B aircraft may be obligated until the amount author-
ized in section 201(2) for development of the IDECM pro-
gram for adaption to the F/A–18C/D aircraft is obligated.
SEC. 218. BIOASSAY TESTING OF VETERANS EXPOSED TO
IONIZING 
RADIATION 
DURING 
MILITARY
SERVICE.
Of the amount provided in section 201(4),
$300,000 shall be available for the Nuclear Test Personnel
Review Program conducted by the Defense Special Weapons
Agency.
Subtitle C—Ballistic Missile
Defense Programs
SEC. 231. BUDGETARY TREATMENT OF AMOUNTS RE-
QUESTED FOR PROCUREMENT FOR BALLIS-
TIC MISSILE DEFENSE PROGRAMS.
(a) REQUIREMENT FOR INCLUSION IN BUDGET OF
BMDO.—(1) Chapter 9 of title 10, United States Code, is
amended by inserting after section 222 the following new
section:
‘‘§ 224. Ballistic missile defense programs: amounts
for procurement
‘‘(a) REQUIREMENT.—Any amount in the budget sub-
mitted to Congress under section 1105 of title 31 for any
fiscal year for procurement for the National Missile Defense
program or for any system that is part of the core theater
missile defense program shall be set forth under the account
of the Department of Defense for Defense-wide procurement
and, within that account, under the subaccount (or other
budget activity level) for the Ballistic Missile Defense Orga-
nization.
‘‘(b) CORE THEATER BALLISTIC MISSILE DEFENSE
PROGRAM.—For purposes of this section, the core theater
missile defense program consists of the systems specified in
section 234 of the Ballistic Missile Defense Act of 1995 (10
U.S.C. 2431 note).’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the item relating to section 222 the following new item:
‘‘224. Ballistic missile defense programs: amounts for procurement.’’.
SEC. 232. COOPERATIVE BALLISTIC MISSILE DEFENSE PRO-
GRAM.
(a) REQUIREMENT FOR NEW PROGRAM ELEMENT.—
The Secretary of Defense shall establish a program element
for the Ballistic Missile Defense Organization, to be referred
to as the ‘‘Cooperative Ballistic Missile Defense Program’’,
to support technical and analytical cooperative efforts be-
tween the United States and other nations that contribute
to United States ballistic missile defense capabilities. All
international cooperative ballistic missile defense programs
of the Department of Defense shall be budgeted and admin-
istered through that program element.
(b) RELATIONSHIP
TO
OTHER
PROGRAM
ELE-
MENTS.—The program element established pursuant to sub-
section (a) is in addition to the program elements for activi-
ties of the Ballistic Missile Defense Organization required
under section 251 of the National Defense Authorization Act
for Fiscal Year 1996 (Public Law 104–106; 110 Stat. 233;
10 U.S.C. 221 note).
SEC. 233. DEPLOYMENT DATES FOR CORE THEATER MIS-
SILE DEFENSE PROGRAMS.
(a) CHANGE IN DEPLOYMENT DATES.—Section 234(a)
of the Ballistic Missile Defense Act of 1995 (subtitle C of
title II of Public Law 104–106; 110 Stat. 229; 10 U.S.C.
2431 note) is amended—
(1) in the matter preceding paragraph (1), by
striking out ‘‘, to be carried out so as to achieve the
specified capabilities’’;
(2) in paragraph (1), by striking out ‘‘, with a
first unit equipped (FUE) during fiscal year 1998’’;
(3) in paragraph (2), by striking out ‘‘Navy
Lower Tier (Area) system’’ and all that follows
through ‘‘fiscal year 1999’’ and inserting in lieu
thereof ‘‘Navy Area Defense system’’;
(4) in paragraph (3)—
(A) by striking out ‘‘with a’’ and inserting
in lieu thereof ‘‘to be carried out so as to achieve
a’’; and
(B) by striking out ‘‘fiscal year 1998’’ and
‘‘fiscal year 2000’’ and inserting in lieu thereof
‘‘fiscal year 2000’’ and ‘‘fiscal year 2004’’, re-
spectively; and
(5) in paragraph (4), by striking out ‘‘Navy
Upper Tier (Theater Wide) system, with’’ and insert-
ing in lieu thereof ‘‘Navy Theater Wide system, to be
carried out so as to achieve’’.
(b) CONFORMING AMENDMENTS FOR PROGRAM ELE-
MENT NAME CHANGES.—Section 251(a) of the National De-
fense Authorization Act for Fiscal Year 1996 (Public Law
104–106; 110 Stat. 233; 10 U.S.C. 221 note) is amended—
(1) in paragraph (2), by striking out ‘‘Navy
Lower Tier (Area) system’’ and inserting in lieu
thereof ‘‘Navy Area Defense system’’; and
(2) in paragraph (4), by striking out ‘‘Navy
Upper Tier (Theater Wide) system’’ and inserting in
lieu thereof ‘‘Navy Theater Wide system’’.
SEC. 234. ANNUAL REPORT ON THREAT POSED TO THE
UNITED STATES BY WEAPONS OF MASS DE-
STRUCTION, 
BALLISTIC 
MISSILES, 
AND
CRUISE MISSILES.
(a) ANNUAL REPORT.—The Secretary of Defense shall
submit to Congress by January 30 of each year a report
on the threats posed to the United States and allies of the
United States—
(1) by weapons of mass destruction, ballistic
missiles, and cruise missiles; and
(2) by the proliferation of weapons of mass de-
struction, ballistic missiles, and cruise missiles.
(b) CONSULTATION.—Each report submitted under
subsection (a) shall be prepared in consultation with the
Director of Central Intelligence.
(c) MATTERS TO BE INCLUDED.—Each report submit-
ted under subsection (a) shall include the following:
(1) Identification of each foreign country and
non-State organization that possesses weapons of
mass destruction, ballistic missiles, or cruise missiles,
and a description of such weapons and missiles with
respect to each such foreign country and non-State or-
ganization.
(2) A description of the means by which any for-
eign country and non-State organization that has
achieved capability with respect to weapons of mass
destruction, ballistic missiles, or cruise missiles has
achieved that capability, including a description of
the international network of foreign countries and
private entities that provide assistance to foreign
countries and non-State organizations in achieving
that capability.
tities without authorization from their national Gov-
ernments.
(7) For each foreign country or non-State orga-
nization that has not achieved the capability to target
the United States or its territories with weapons of
mass destruction, ballistic missiles, or cruise missiles
as of the date of the enactment of this Act, an esti-
mate of how far in advance the United States is likely
to be warned before such foreign country or non-State
organization achieves that capability.
(8) For each foreign country or non-State orga-
nization that has not achieved the capability to target
members of the United States Armed Forces deployed
abroad with weapons of mass destruction, ballistic
missiles, or cruise missiles as of the date of the enact-
ment of this Act, an estimate of how far in advance
the United States is likely to be warned before such
foreign country or non-State organization achieves
that capability.
(d) CLASSIFICATION.—Each report under subsection
(a) shall be submitted in classified and unclassified form.
SEC. 235. DIRECTOR OF BALLISTIC MISSILE DEFENSE OR-
GANIZATION.
(a) IN GENERAL.—Subchapter II of chapter 8 of title
10, United States Code, is amended by adding at the end
the following new section:
‘‘§ 203. Director of Ballistic Missile Defense Organiza-
tion
‘‘(a) GRADE.—The position of Director of the Ballistic
Missile Defense Organization—
‘‘(1) may only be held by an officer of the armed
forces on the active-duty list; and
‘‘(2) shall be designated under section 601 of this
title as a position of importance and responsibility to
carry the grade of general or admiral or lieutenant
general or vice admiral.
‘‘(b) LINE OF AUTHORITY TO SECRETARY OF DE-
FENSE.—The Director of the Ballistic Missile Defense Orga-
nization reports directly to the Secretary of Defense and
(if so directed by the Secretary) the Deputy Secretary of
Defense, without intervening review or approval by any
other officer of the Department of Defense, with respect to
all matters pertaining to the management of ballistic mis-
sile defense programs for which the Director has responsibil-
ity (including matters pertaining to the status of those pro-
grams and the budgets for those programs).’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such subchapter is amended by adding at
the end the following new item:
‘‘203. Director of Ballistic Missile Defense Organization.’’.
SEC. 236. TACTICAL HIGH ENERGY LASER PROGRAM.
(a) TRANSFER OF PROGRAM.—The Secretary of De-
fense shall transfer the Tactical High Energy Laser pro-
gram from the Secretary of the Army to the Director of the
Ballistic Missile Defense Organization, to be carried out
under the Cooperative Ballistic Missile Defense Program es-
tablished pursuant to section 232(a).
(b) AUTHORIZATION.—Of the amount authorized to be
appropriated in section 201, $38,200,000 is authorized for
the Tactical High Energy Laser program.
TITLE III—OPERATION AND
MAINTENANCE
Subtitle A—Authorization of
Appropriations
SEC. 301. OPERATION AND MAINTENANCE FUNDING.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for the use of the Armed Forces and other
activities and agencies of the Department of Defense for ex-
penses, not otherwise provided for, for operation and main-
tenance, in amounts as follows:
(1) For the Army, $17,185,034,000.
(2) For the Navy, $21,372,699,000.
(3) For the Marine Corps, $2,381,245,000.
(4) For the Air Force, $18,745,985,000.
(5) For Defense-wide activities, $10,030,057,000.
(6) For the Army Reserve, $1,202,891,000.
(7) For the Naval Reserve, $849,711,000.
(8) For the Marine Corps Reserve, $110,366,000.
(9) For the Air Force Reserve, $1,629,120,000.
(10) 
For 
the 
Army 
National 
Guard,
$2,266,432,000.
(11) 
For 
the 
Air 
National 
Guard,
$2,985,969,000.
(12) 
For 
the 
Defense 
Inspector 
General,
$136,580,000.
(13) For the United States Court of Appeals for
the Armed Forces, $6,952,000.
(14) For Environmental Restoration, Army,
$377,337,000.
(15) For Environmental Restoration, Navy,
$277,500,000.
(16) For Environmental Restoration, Air Force,
$378,900,000.
(17) For Environmental Restoration, Defense-
wide, $27,900,000.
(18) For Environmental Restoration, Formerly
Used Defense Sites, $202,300,000.
(19) For Overseas Humanitarian, Disaster, and
Civic Aid programs, $50,000,000.
(20) For Drug Interdiction and Counter-drug
Activities, Defense-wide, $661,671,000.
(21) For the Kaho’olawe Island Conveyance, Re-
mediation, and Environmental Restoration Trust
Fund, $10,000,000.
(22) 
For 
Medical 
Programs, 
Defense,
$9,975,382,000.
(23) For Cooperative Threat Reduction pro-
grams, $284,700,000.
(24) For Overseas Contingency Operations
Transfer Fund, $1,467,500,000.
SEC. 302. WORKING CAPITAL FUNDS.
Funds are hereby authorized to be appropriated for fis-
cal year 1998 for the use of the Armed Forces and other
activities and agencies of the Department of Defense for
providing capital for working capital and revolving funds
in amounts as follows:
(1) For the Defense Working Capital Funds,
$971,952,000.
(2) For the National Defense Sealift Fund,
$1,181,626,000.
SEC. 303. ARMED FORCES RETIREMENT HOME.
There is hereby authorized to be appropriated for fiscal
year 1998 from the Armed Forces Retirement Home Trust
Fund the sum of $79,977,000 for the operation of the Armed
Forces Retirement Home, including the United States Sol-
diers’ and Airmen’s Home and the Naval Home.
SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE
TRANSACTION FUND.
(a) TRANSFER AUTHORITY.—To the extent provided in
appropriations Acts, not more than $150,000,000 is author-
ized to be transferred from the National Defense Stockpile
Transaction Fund to operation and maintenance accounts
for fiscal year 1998 in amounts as follows:
(1) For the Army, $50,000,000.
(2) For the Navy, $50,000,000.
(3) For the Air Force, $50,000,000.
(b) TREATMENT
OF TRANSFERS.—Amounts trans-
ferred under this section—
(1) shall be merged with, and be available for the
same purposes and the same period as, the amounts
in the accounts to which transferred; and
(2) may not be expended for an item that has
been denied authorization of appropriations by Con-
gress.
(c) RELATIONSHIP TO OTHER TRANSFER AUTHOR-
ITY.—The transfer authority provided in this section is in
addition to the transfer authority provided in section 1001.
SEC. 305. REFURBISHMENT AND INSTALLATION OF AIR
SEARCH RADAR.
Of the amount authorized to be appropriated pursuant
to section 301(2) for operation and maintenance for the
Navy, $6,000,000 shall be available only for the refurbish-
ment and installation of the AN/SPS-48E air search radar
for the Ship Self Defense System at the Integrated Ship
Defense Systems Engineering Center, Naval Surface War-
fare Center, Wallops Islands, Virginia.
SEC. 306. REFURBISHMENT OF M1–A1 TANKS.
Of the amount authorized to be appropriated pursuant
to section 301(1) for operation and maintenance for the
Army, $35,000,000 shall be available only for refurbishment
of M1–A1 tanks at the Anniston Army Depot under the
AIM-XXI program if the Secretary of Defense determines
that the cost effectiveness of the pilot AIM-XXI program is
validated through user trials conducted at the National
Training Center, Fort Irwin, California.
SEC. 307. PROCUREMENT AND ELECTRONIC COMMERCE
TECHNICAL ASSISTANCE PROGRAM.
(a) AUTHORIZATION.—Subject to subsection (c), of the
amount authorized to be appropriated under section 301(5),
$15,000,000 shall be available for carrying out the provi-
sions of chapter 142 of title 10, United States Code.
(b) PROHIBITION.—Subject to subsection (c), the Sec-
retary of Defense may not obligate or expend any funds
available for research, development, test, and evaluation to
establish or operate a resource center or program to provide
technical assistance relating to electronic commerce.
(c) LIMITATION.—Subsections (a) and (b) apply only
in the event of the consolidation of the procurement tech-
nical assistance program and the electronic commerce re-
source program as a single technical assistance program
funded with amounts available for operation and mainte-
nance.
SEC. 308. AVAILABILITY OF FUNDS FOR SEPARATION PAY
FOR DEFENSE ACQUISITION PERSONNEL.
Of the amount authorized to be appropriated pursuant
to section 301(5) for operation and maintenance for De-
fense-wide activities, $100,000,000 shall be available only
for the payment of separation pay for defense acquisition
personnel (other than pursuant to section 5597 of title 5,
United States Code).
Subtitle B—Military Readiness
Issues
SEC. 311. EXPANSION OF SCOPE OF QUARTERLY READI-
NESS REPORTS.
(a) EXPANDED REPORTS REQUIRED.—Section 482 of
title 10, United States Code, is amended to read as follows:
‘‘§ 482. Quarterly readiness reports
‘‘(a) QUARTERLY REPORTS REQUIRED.—Not later
than 30 days after the end of each calendar-year quarter,
the Secretary of Defense shall submit to the Committee on
Armed Services of the Senate and the Committee on Na-
tional Security of the House of Representatives a report on
military readiness. The report for a quarter shall contain
the information required by subsections (b) (d), and (e).
‘‘(b) READINESS
PROBLEMS
AND
REMEDIAL
AC-
TIONS.—Each report shall specifically describe—
‘‘(1) readiness problems or deficiencies identified
using the assessments considered under subsection (c);
‘‘(2) planned remedial actions; and
‘‘(3) the key indicators and other relevant infor-
mation related to the identified problem or deficiency.
‘‘(c) CONSIDERATION OF READINESS ASSESSMENTS.—
The information required under subsection (b) to be in-
cluded in the report for a quarter shall be based on readi-
ness assessments that are provided during that quarter—
‘‘(1) to any council, committee, or other body of
the Department of Defense—
‘‘(A) that has responsibility for readiness
oversight; and
‘‘(B) whose membership includes at least
one civilian officer in the Office of the Secretary
of Defense at the level of Assistant Secretary of
Defense or higher;
‘‘(2) by senior civilian and military officers of
the military departments and the commanders of the
unified and specified commands; and
‘‘(3) as part of any regularly established process
of periodic readiness reviews for the Department of
Defense as a whole.
‘‘(d) COMPREHENSIVE
READINESS
INDICATORS.—
Each report shall also include information regarding each
military department (and an evaluation of such informa-
tion) with respect to each of the following readiness indica-
tors:
‘‘(1) PERSONNEL STRENGTH.—
‘‘(A) Individual personnel status.
‘‘(B) Historical and projected personnel
trends.
‘‘(2) PERSONNEL TURBULENCE.—
‘‘(A) Recruit quality.
‘‘(B) Borrowed manpower.
‘‘(C) Personnel stability.
‘‘(3) OTHER PERSONNEL MATTERS.—
‘‘(A) Personnel morale.
‘‘(B) Medical and dental readiness.
‘‘(C) Recruit shortfalls.
‘‘(4) TRAINING.—
‘‘(A) Training unit readiness and pro-
ficiency.
‘‘(B) Operations tempo.
‘‘(C) Training funding.
‘‘(D) Training commitments and deploy-
ments.
‘‘(5) LOGISTICS—EQUIPMENT FILL.—
‘‘(A) Deployed equipment.
‘‘(B) Equipment availability.
‘‘(C) Equipment that is not mission capa-
ble.
‘‘(D) Age of equipment.
‘‘(E) Condition of nonpacing items.
‘‘(6) LOGISTICS—EQUIPMENT MAINTENANCE.—
‘‘(A) Maintenance backlog.
‘‘(7) LOGISTICS—SUPPLY.—
‘‘(A) Availability of ordnance and spares.
mary reason for the lower rating, by reason code and
definition.
‘‘(7) If the unit received a readiness rating below
C–1 in training for the quarter, the primary reason
for the lower rating, by reason code and definition.
‘‘(f) CLASSIFICATION OF REPORTS.—A report under
this section shall be submitted in unclassified form. To the
extent the Secretary of Defense determines necessary, the re-
port may also be submitted in classified form.’’.
(b) IMPLEMENTATION PLAN TO EXAMINE READINESS
INDICATORS.—Not later than January 15, 1998, the Sec-
retary of Defense shall submit to the congressional defense
committees a plan—
(1) specifying the manner in which the Secretary
will implement the additional reporting requirement
of subsection (d) of section 482 of title 10, United
States Code, as added by this section; and
(2) specifying the criteria proposed to be used to
evaluate the readiness indicators identified in such
subsection (d).
(c) LIMITATION PENDING RECEIPT OF IMPLEMENTA-
TION PLAN.—Of the amount available for fiscal year 1998
for operation and support activities of the Office of the Sec-
retary of Defense, 10 percent may not be obligated until
after the date on which the implementation plan required
by subsection (b) is submitted.
(d) FIRST REPORT; TRANSITION.—The first report re-
quired under section 482 of title 10, United States Code,
as amended by subsection (a), shall be submitted not later
than October 31, 1997. Until the report required for the
third quarter of 1998 is submitted, the Secretary of Defense
may omit the information required by subsection (d) of such
section if the Secretary determines that it is impracticable
to comply with such subsection with regard to the preceding
reports.
SEC. 312. LIMITATION ON REALLOCATION OF FUNDS WITH-
IN OPERATION AND MAINTENANCE APPRO-
PRIATIONS.
(a) LIMITATION.—Whenever the Secretary of Defense
proposes to reallocate funds within an O&M budget activity
in a manner described in subsection (b), the reallocation
may be made only—
(1) after the Secretary submits to the congres-
sional defense committees notice of the proposed re-
allocation; and
(2) if the procedures generally applicable to
transfers of funds between appropriations of the De-
partment of Defense have been followed with respect
to such reallocation.
(b) COVERED REALLOCATIONS.—Subsection (a) ap-
plies in the case of any reallocation of funds from a sub-
activity of an O&M budget activity to another subactivity
within the same O&M budget activity or to another O&M
budget activity within the same operation and maintenance
appropriation if the amount to be reallocated, when added
to any previous amounts reallocated from that subactivity
for that fiscal year, is in excess of $10,000,000.
(c) O&M BUDGET ACTIVITY DEFINED.—For purposes
of this section, the term ‘‘O&M budget activity’’ means a
budget activity within an operation and maintenance ap-
propriation of the Department of Defense for a fiscal year.
(d) COVERED FISCAL YEARS.—This section applies
with respect to funds appropriated for fiscal years 1998,
1999, and 2000.
SEC. 313. OPERATION OF PREPOSITIONED FLEET, NA-
TIONAL TRAINING CENTER, FORT IRWIN,
CALIFORNIA.
Of the amount authorized to be appropriated pursuant
to section 301(1) for operation and maintenance for the
Army, $60,200,000 shall be available only to pay costs asso-
ciated with the operation of the prepositioned fleet of equip-
ment during training rotations at the National Training
Center, Fort Irwin, California.
SEC. 314. PROHIBITION OF IMPLEMENTATION OF TIERED
READINESS SYSTEM.
(a) PROHIBITION.—The Secretary of a military de-
partment may not implement, or be required to implement,
a readiness system for units of the Armed Forces under the
jurisdiction of that Secretary under which a military unit
would be categorized into one of several categories (or
‘‘tiers’’) according to the likelihood that the unit will be re-
quired to respond to a military conflict and the time in
which the unit will be required to respond, if that system
would have the effect of changing the methods used as of
October 1, 1996, by the Armed Forces under the jurisdiction
of that Secretary for determining the priorities for allocat-
ing to such military units funding, personnel, equipment,
equipment maintenance, and training resources, and the
associated levels of readiness of those units that result from
those priorities.
(b) REPORT TO CONGRESS REQUESTING WAIVER.—If
the Secretary of Defense determines that implementation,
for one or more of the Armed Forces, of a tiered readiness
system that is otherwise prohibited by subsection (a) would
be in the national security interests of the United States,
the Secretary shall submit to the Committee on Armed Serv-
ices of the Senate and the Committee on National Security
of the House of Representatives a report setting forth that
determination of the Secretary, together with the rationale
for that determination, and a request for the enactment of
legislation to allow implementation of such a system.
SEC. 315. REPORTS ON TRANSFERS FROM HIGH-PRIORITY
READINESS APPROPRIATIONS.
(a) ANNUAL AND QUARTERLY REPORTS REQUIRED.—
Chapter 23 of title 10, United States Code, is amended by
adding at the end the following new section:
‘‘§ 483. Reports on transfers from high-priority readi-
ness appropriations
‘‘(a) ANNUAL REPORTS.—Not later than the date on
which the President submits the budget for a fiscal year
to Congress pursuant to section 1105 of title 31, the Sec-
retary of Defense shall submit to the Committee on Armed
Services and the Committee on Appropriations of the Sen-
ate and the Committee on National Security and the Com-
mittee on Appropriations of the House of Representatives
a report on transfers during the preceding fiscal year from
funds available for each covered budget activity.
‘‘(b) QUARTERLY REPORTS.—Not later than 30 days
after the end of each quarter of a fiscal year, the Secretary
of Defense shall submit to the congressional committees spec-
ified in subsection (a) a report on transfers, during that
fiscal year quarter, from funds available for each covered
budget activity.
‘‘(c) MATTERS TO BE INCLUDED.—In each report
under subsection (a) or (b), the Secretary of Defense shall
include for each covered budget activity the following:
‘‘(1) A statement, for the period covered by the
report, of—
‘‘(A) the total amount of transfers into
funds available for that activity;
‘‘(B) the total amount of transfers from
funds available for that activity; and
‘‘(C) the net amount of transfers into, or
out of, funds available for that activity.
‘‘(2) A detailed explanation of the transfers into,
and out of, funds available for that activity during
the period covered by the report.
‘‘(d) COVERED BUDGET ACTIVITY DEFINED.—In this
section, the term ‘covered budget activity’ means each of the
following:
‘‘(1) The budget activity groups (known as ‘sub-
activities’) within the Operating Forces budget activ-
ity of the annual Operation and Maintenance, Army,
appropriation that are designated as follows:
‘‘(A) All subactivities under the category of
Land Forces.
‘‘(B) Land Forces Depot Maintenance.
‘‘(C) Base Support.
‘‘(D) Maintenance of Real Property.
‘‘(2) The Air Operations budget activity groups
(known as ‘subactivities’) within the Operating
Forces budget activity of the annual Operation and
Maintenance, Navy, appropriation that are des-
ignated as follows:
‘‘(A) Mission and Other Flight Operations.
‘‘(B) Fleet Air Training.
‘‘(C) Aircraft Depot Maintenance.
‘‘(D) Base Support.
‘‘(E) Maintenance of Real Property.
‘‘(3) The Ship Operations budget activity groups
(known as ‘subactivities’) within the Operating
Forces budget activity of the annual Operation and
Maintenance, Navy, appropriation that are des-
ignated as follows:
‘‘(A) Mission and Other Ship Operations.
‘‘(B) Ship Operational Support and Train-
ing.
‘‘(C) Ship Depot Maintenance.
‘‘(D) Base Support.
‘‘(E) Maintenance of Real Property.
‘‘(4) The Expeditionary Forces budget activity
groups (known as ‘subactivities’) within the Operat-
ing Forces budget activity of the annual Operation
and Maintenance, Marine Corps, appropriation that
are designated as follows:
‘‘(A) Operational Forces.
‘‘(B) Depot Maintenance.
‘‘(C) Base Support.
‘‘(D) Maintenance of Real Property.
‘‘(5) The Air Operations and Combat Related
Operations budget activity groups (known as ‘sub-
activities’) within the Operating Forces budget activ-
ity of the annual Operation and Maintenance, Air
Force, appropriation that are designated as follows:
‘‘(A) Primary Combat Forces.
‘‘(B) Primary Combat Weapons.
‘‘(C) Air Operations Training.
‘‘(D) Depot Maintenance.
‘‘(E) Base Support.
‘‘(F) Maintenance of Real Property.
‘‘(6) The Mobility Operations budget activity
group (known as a ‘subactivity’) within the Mobiliza-
tion budget activity of the annual Operation and
Maintenance, Air Force, appropriation that is des-
ignated as Airlift Operations.
‘‘(e) TERMINATION.—The requirements specified in
subsections (a) and (b) shall terminate upon the submission
of the annual report under subsection (a) covering fiscal
year 2000.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘483. Reports on transfers from high-priority readiness appropriations.’’.
SEC. 316. REPORT ON CHAIRMAN, JOINT CHIEFS OF STAFF
EXERCISE PROGRAM AND PARTNERSHIP FOR
PEACE PROGRAM.
(a) REPORT.—Not later than February 16, 1998, the
Secretary of Defense shall submit to the Committee on
Armed Services of the Senate and the Committee on Na-
tional Security of the House of Representatives a report on
the military exercises conducted by the Department of De-
fense during fiscal years 1995, 1996, and 1997 and the
military exercises planned to be conducted during fiscal
years 1998, 1999, and 2000, under the training exercises
program known as the ‘‘CJCS Exercise Program’’ and
under the training exercises program known as the Partner-
ship for Peace program.
(b) INFORMATION ON EXERCISES CONDUCTED OR TO
BE CONDUCTED.—The report under subsection (a) shall in-
clude the following information for each such exercise,
which shall be set forth by fiscal year and shown within
fiscal year by the sponsoring command:
(1) Name of the exercise.
(2) Type, description, duration, and objectives of
the exercise
(3) Command sponsoring the exercise.
(4) Participating units, including the number of
personnel participating in each unit.
(5) For each participating unit, the percentage
of the tasks on that unit’s specification of tasks knows
as a Mission Essential Task List (or comparable spec-
ification, in the case of any of the Armed Forces that
do not maintain a Mission Essential Task List des-
ignation) scheduled to be performed as part of the ex-
ercise.
(6) The cost of the exercise to the Chairman of
the Joint Chiefs of Staff and the cost to each of the
Armed Forces participating in the exercise, with a de-
scription of the categories of activities for which those
costs are incurred in each such case.
(7) The priority of the exercise in relation to all
other exercises planned by the sponsoring command to
be conducted during that fiscal year.
(8) In the case of an exercise conducted under the
Partnership for Peace program, the country with
which each the exercise was conducted.
(c) ASSESSMENT.—The report shall include—
(1) an assessment of the ability of each of the
Armed Forces to meet requirements of the CJCS Exer-
cise Program and the Partnership for Peace program
with available assets;
(2) an assessment of the training value of each
exercise covered in the report to each unit participat-
ing in the exercise, including for each such unit an
assessment of the value of the percentage under sub-
section (b)(5) as an indicator of the training value of
the exercise for that unit; and
(3) options to minimize the negative effects on
operational and personnel tempo resulting from the
CJCS Exercise Program and the Partnership for
Peace program.
(d) FUNDING LIMITATION PENDING RECEIPT OF RE-
PORT.—Of the funds available for fiscal year 1998 for the
conduct of the CJSC Exercise Program, not more than 50
percent may be expended before the report under subsection
(a) is submitted.
SEC. 317. QUARTERLY REPORTS ON EXECUTION OF OPER-
ATION AND MAINTENANCE APPROPRIATIONS.
(a) REPORT REQUIRED.—Chapter 23 of title 10, Unit-
ed States Code, is amended by inserting after section 483,
as added by section 315, the following new section:
‘‘§ 484. Quarterly reports on execution of operation
and maintenance appropriations
‘‘(a) REPORT REQUIRED.—Not later than 60 days
after the end of each quarter of a fiscal year, the Secretary
of Defense shall submit to the Committee on Armed Services
and the Committee on Appropriations of the Senate and
the Committee on National Security and the Committee on
Appropriations of the House of Representatives a report
containing budget execution data for each budget activity
group (known as a ‘subactivity’) within the annual oper-
ation and maintenance appropriations for the period cov-
ered by the report. A report shall cover all preceding quar-
ters of the fiscal year involved.
‘‘(b) MANNER OF PRESENTING DATA.—The budget exe-
cution data required under subsection (a) shall be displayed
for the fiscal year involved in the same manner used in
the operation and maintenance tables contained in the
budget justification document entitled ‘O–1 Exhibit’ sub-
mitted to Congress in support of the budget of the Depart-
ment of Defense, as included in the budget of the President
submitted under section 1105 of title 31.
‘‘(c) REQUIRED INFORMATION.—The following infor-
mation shall be provided for each budget activity group:
‘‘(1) Amounts authorized to be appropriated.
‘‘(2) Amounts appropriated.
‘‘(3) Direct obligations.
‘‘(4) Total obligational authority.
‘‘(5) Amounts related to unbudgeted contingency
operations.
‘‘(6) Direct obligations related to unbudgeted
contingency operations.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the item relating to section 483, as added by section 315,
the following new item:
‘‘484. Quarterly reports on execution of operation and maintenance appropria-
tions.’’.
Subtitle C—Civilian Personnel
SEC. 321. PAY PRACTICES WHEN OVERSEAS TEACHERS
TRANSFER TO GENERAL SCHEDULE POSI-
TIONS.
Section 5334(d) of title 5, United States Code, is
amended by striking out ‘‘is deemed increased by 20 per-
cent’’ and inserting in lieu thereof ‘‘shall be increased by
such amount as may be authorized, if any, under regula-
tions issued by the Secretary of Defense, but not to exceed
20 percent,’’.
SEC. 322. USE OF APPROVED FIRE-SAFE ACCOMMODATIONS
BY GOVERNMENT EMPLOYEES ON OFFICIAL
BUSINESS.
(a) PERCENTAGE USE REQUIREMENT.—Section 5707a
of title 5, United States Code, is amended—
(1) by redesignating subsections (a) through (d)
as subsections (b) through (e), respectively; and
(2) by inserting after the section heading the fol-
lowing new subsection:
‘‘(a)(1) For the purpose of making payments under
this chapter for lodging expenses incurred in a State, each
agency shall ensure that not less than 90 percent of the com-
mercial-lodging room nights for employees of that agency
for a fiscal year are booked in approved places of public
accommodation.
‘‘(2) Each agency shall establish explicit procedures to
satisfy the percentage requirement of paragraph (1).’’.
(b) DEFINITIONS.—Such section is further amended by
adding at the end the following new subsection:
‘‘(f) For purposes of this section:
‘‘(1) The term ‘agency’ does not include the gov-
ernment of the District of Columbia.
‘‘(2) The term ‘approved places of public accom-
modation’ means hotels, motels, and other places of
public accommodation that are listed by the Federal
Emergency Management Agency as meeting the re-
quirements of the fire prevention and control guide-
lines described in section 29 of the Federal Fire Pre-
vention and Control Act of 1974 (15 U.S.C. 2225).
‘‘(3) The term ‘State’ means any State, the Dis-
trict of Columbia, the Commonwealth of Puerto Rico,
the Commonwealth of the Northern Mariana Islands,
the Trust Territory of the Pacific Islands, the Virgin
Islands, Guam, American Samoa, or any other terri-
tory or possession of the United States.’’.
(c) CONFORMING AMENDMENTS.—Such section is fur-
ther amended—
(1) in subsection (b), as redesignated by sub-
section (a)(1)—
(A) by striking out ‘‘places of public accom-
modation that meet the requirements of the fire
prevention and control guidelines described in
section 29 of the Federal Fire Prevention and
Control Act of 1974’’ and inserting in lieu there-
of ‘‘approved places of public accommodation’’;
and
(B) by striking out ‘‘as defined in section 4
of the Federal Fire Prevention and Control Act
of 1974’’;
(2) in subsection (c), as redesignated by sub-
section (a)(1), by striking out ‘‘does not meet the re-
quirements of the fire prevention and control guide-
lines described in section 29 of the Federal Fire Pre-
vention and Control Act of 1974’’ and inserting in
lieu thereof ‘‘is not an approved place of public ac-
commodation’’; and
(3) in subsection (e), as redesignated by sub-
section (a)(1)—
(A) by striking out ‘‘encourage’’ and insert-
ing in lieu thereof ‘‘facilitate the ability of ’’; and
(B) by striking out ‘‘places of public accom-
modation that meet the requirements of the fire
prevention and control guidelines described in
section 29 of the Federal Fire Prevention and
Control Act of 1974’’ and inserting in lieu there-
of ‘‘approved places of public accommodation’’.
(d) REPORT ON IMPLEMENTATION.—Not later than
March 31, 1998, the Administrator of General Services,
after consultation with the agencies covered by section
5707a of title 5, United States Code, shall submit to Con-
gress a report describing the procedures established by each
agency to satisfy the percentage requirement imposed by
subsection (a) of such section, as amended by this section.
Subtitle D—Depot-Level Activities
SEC. 331. EXTENSION OF AUTHORITY FOR AVIATION DE-
POTS AND NAVAL SHIPYARDS TO ENGAGE IN
DEFENSE-RELATED PRODUCTION AND SERV-
ICES.
Section 1425(e) of the National Defense Authorization
Act for Fiscal Year 1991 (Public Law 101–510; 104 Stat.
1684) is amended by striking out ‘‘September 30, 1997’’
and inserting in lieu thereof ‘‘September 30, 1999’’.
SEC. 332. EXCLUSION OF CERTAIN LARGE MAINTENANCE
AND REPAIR PROJECTS FROM PERCENTAGE
LIMITATION ON CONTRACTING FOR DEPOT-
LEVEL MAINTENANCE.
Section 2466 of title 10, United States Code, is amend-
ed by inserting after subsection (a) the following new sub-
section:
‘‘(b) TREATMENT OF CERTAIN LARGE PROJECTS.—If
a maintenance or repair project concerning an aircraft car-
rier or submarine that is contracted for performance by
non-Federal Government personnel and that accounts for
five percent or more of the funds made available in a fiscal
year to a military department or a Defense Agency for
depot-level maintenance and repair workload, the project
and the funds necessary for the project shall not be consid-
ered when applying the percentage limitation specified in
subsection (a) to that military department or Defense
Agency.’’.
SEC. 333. RESTRICTIONS ON CONTRACTS FOR PERFORM-
ANCE OF DEPOT-LEVEL MAINTENANCE AND
REPAIR AT CERTAIN FACILITIES.
(a) DEPOT-LEVEL MAINTENANCE AND REPAIR DE-
FINED.—(1) Chapter 146 of title 10, United States Code,
is amended by inserting before section 2461 the following
new section:
‘‘§ 2460. Definition of depot-level maintenance and re-
pair
‘‘(a) IN GENERAL.—In this chapter, the term ‘depot-
level maintenance and repair’ means material maintenance
or repair requiring the overhaul, upgrading, or rebuilding
of parts, assemblies, or subassemblies, and the testing and
reclamation of equipment as necessary, regardless of the
source of funds for the maintenance or repair. The term
includes all aspects of software maintenance and such por-
tions of interim contractor support, contractor logistics sup-
port, or any similar contractor support for the performance
of services that are described in the preceding sentence.
‘‘(b) EXCEPTION.—The term does not include the pro-
curement of a major weapon system modification or up-
grade, except where the changes to the system are primarily
for safety reasons, to correct a deficiency, or to improve pro-
gram performance.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting before the item relating to sec-
tion 2461 the following new item:
‘‘2460. Definition of depot-level maintenance and repair.’’.
(b) RESTRICTION ON CERTAIN CONTRACTS.—Section
2469 of title 10, United States Code, is amended—
(1) in subsections (a) and (b), by striking out
‘‘or repair’’ and inserting in lieu thereof ‘‘and re-
pair’’; and
(2) by adding at the end the following new sub-
section:
‘‘(d) RESTRICTION ON CONTRACTS AT CERTAIN FA-
CILITIES.—
‘‘(1) RESTRICTION.—The Secretary of Defense
may not enter into any contract for the performance
of depot-level maintenance and repair of weapon sys-
tems or other military equipment of the Department
of Defense, or for the performance of management
functions related to depot-level maintenance and re-
pair of such systems or equipment, at any military
installation where a depot-level maintenance and re-
pair facility was approved in 1995 for closure under
the Defense Base Closure and Realignment Act of
1990 (part A of title XXIX of Public Law 101–510;
10 U.S.C. 2687 note). In the preceding sentence, the
term ‘military installation’ includes a former mili-
tary installation closed under the Act that was a
military installation when it was approved for clo-
sure under the Act.
‘‘(2) EXCEPTION.—Paragraph (1) shall not
apply with respect to an installation or former instal-
lation described in such paragraph if the Secretary of
Defense certifies to Congress, not later than 45 days
before entering into a contract for depot-level mainte-
nance and repair at the installation or former instal-
lation, that—
‘‘(A) not less than 80 percent of the capac-
ity at each of the depot-level maintenance and
repair activities of the military department con-
cerned is being utilized on an ongoing basis to
perform industrial operations in support of the
depot-level maintenance and repair of weapon
systems and other military equipment of the De-
partment of Defense;
‘‘(B) the Secretary has determined, on the
basis of a detailed analysis (which the Secretary
shall submit to Congress with the certification),
that the total amount of the costs of the proposed
contract to the Government, both recurring and
nonrecurring and including any costs associated
with planning for and executing the proposed
contract, would be less than the costs that would
otherwise be incurred if the depot-level mainte-
nance and repair to be performed under the con-
tract were performed using equipment and facili-
ties of the Department of Defense;
‘‘(C) all of the information upon which the
Secretary determined that the total costs to the
Government would be less under the contract is
available for examination; and
‘‘(D) none of the depot-level maintenance
and repair to be performed under the contract
was considered, before July 1, 1995, to be a core
logistics capability of the military department
concerned pursuant to section 2464 of this title.
‘‘(3) CAPACITY OF DEPOT-LEVEL ACTIVITIES.—
For purposes of paragraph (2)(A), the capacity of
depot-level maintenance and repair activities shall be
considered to be the same as the maximum potential
capacity identified by the Defense Base Closure and
Realignment Commission for purposes of the selection
in 1995 of military installations for closure or re-
alignment under the Defense Base Closure and Re-
alignment Act of 1990, without regard, after 1995, to
any limitation on the maximum number of Federal
employees (expressed as full time equivalent employees
or otherwise), Federal employment levels, or the ac-
tual availability of equipment to support depot-level
maintenance and repair.
‘‘(4) GAO REVIEW.—At the same time that the
Secretary submits the certification and analysis to
Congress under paragraph (2), the Secretary shall
submit a copy of the certification and analysis to the
Comptroller General. The Comptroller General shall
review the analysis and the information referred to in
subparagraph (C) of paragraph (2) and, not later
than 30 days after Congress receives the certification,
submit to Congress a report containing a statement
regarding whether the Comptroller General concurs
with the determination of the Secretary included in
the certification pursuant to subparagraph (B) of that
paragraph.
‘‘(5) APPLICATION.—This subsection shall apply
with respect to any contract described in paragraph
(1) that is entered into, or proposed to be entered
into, after January 1, 1997.’’.
SEC. 334. CORE LOGISTICS FUNCTIONS OF DEPARTMENT OF
DEFENSE.
Section 2464(a) of title 10, United States Code, is
amended—
(1) in paragraph (1), by striking out ‘‘a logistics
capability (including personnel, equipment, and fa-
cilities)’’ and inserting in lieu thereof ‘‘a core logistics
capability that is Government-owned and Govern-
ment-operated (including Government personnel and
Government-owned and Government-operated equip-
ment and facilities)’’;
(2) in paragraph (2), by striking out ‘‘the logis-
tics’’ and inserting in lieu thereof ‘‘the core logistics’’;
and
(3) by adding at the end the following new para-
graphs:
‘‘(3) Those core logistics activities identified under
paragraphs (1) and (2) shall include the capability, facili-
ties, and equipment to maintain and repair all types of
weapon systems and other military equipment that are
identified by the Secretary, in consultation with the Joint
Chiefs of Staff, as necessary to enable the armed forces to
fulfill the national military strategy, including the capabil-
ity and capacity to maintain and repair any new mission-
essential weapon system or materiel within four years after
the system or materiel achieves initial operational capabil-
ity.
‘‘(4) The Secretary of Defense shall require the per-
formance of core logistics activities identified under para-
graphs (1), (2), and (3) at Government-owned, Government-
operated facilities of the Department of Defense (including
Government-owned, Government-operated facilities of a
military department) and shall assign such facilities suffi-
cient workload to ensure cost efficiency and technical pro-
ficiency in peacetime while preserving the surge capacity
and reconstitution capabilities necessary to meet the mili-
tary contingencies provided for in the national military
strategy.’’.
SEC. 335. CENTERS OF INDUSTRIAL AND TECHNICAL EX-
CELLENCE.
(a) DESIGNATION AND PURPOSE.—(1) Chapter 146 of
title 10, United States Code, is amended by adding at the
end the following new section:
‘‘§ 2474. Centers of Industrial and Technical Excel-
lence: designation; public-private partner-
ships
‘‘(a) DESIGNATION.—(1) The Secretary of Defense
shall designate each depot-level activity of the military de-
partments and the Defense Agencies (other than facilities
approved for closure or major realignment under the De-
fense Base Closure and Realignment Act of 1990 (part A
of title XXIX of Public Law 101–510; 10 U.S.C. 2687 note))
as a Center of Industrial and Technical Excellence in the
recognized core competencies of the activity.
‘‘(2) The Secretary shall establish a policy to encourage
the Secretary of each military department and the head of
each Defense Agency to reengineer industrial processes and
adopt best-business practices at their depot-level activities
in connection with their core competency requirements, so
as to serve as recognized leaders in their core competencies
throughout the Department of Defense and in the national
technology and industrial base (as defined in section
2500(1) of this title).
‘‘(b) PUBLIC-PRIVATE PARTNERSHIPS.—The Secretary
of Defense shall enable Centers of Industrial and Technical
Excellence to form public-private partnerships for the per-
formance of depot-level maintenance and repair and shall
encourage the use of such partnerships to maximize the uti-
lization of the capacity at such Centers.
‘‘(c) ADDITIONAL WORK.—The policy required under
subsection (a) shall include measures to enable a private
sector entity that enters into a partnership arrangement
under subsection (b) or leases excess equipment and facili-
ties at a Center of Industrial and Technical Excellence pur-
suant to section 2471 of this title to perform additional
work at the Center, subject to the limitations outlined in
subsection (b) of such section, outside of the types of work
normally assigned to the Center.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘2474. Centers of Industrial and Technical Excellence: designation; public-private
partnerships.’’.
(b) REPORTING
REQUIREMENT.—Not later than
March 1, 1998, the Secretary of Defense shall submit to
Congress a report on the policies established by the Sec-
retary pursuant to section 2474 of title 10, United States
Code, to implement the requirements of such section. The
report shall include—
(1) the details of any public-private partnerships
entered into as of that date under subsection (b) of
such section;
(2) the details of any leases entered into as of
that date under section 2471 of such title with author-
ized entities for dual-use (military and nonmilitary)
purposes; and
(3) the effect that the partnerships and leases
had on capacity utilization, depot rate structures,
and readiness.
SEC. 336. PERSONNEL REDUCTIONS, ARMY DEPOTS PAR-
TICIPATING IN ARMY WORKLOAD AND PER-
FORMANCE SYSTEM.
The Secretary of the Army may not carry out a reduc-
tion in force of civilian employees at the five Army depots
participating in the demonstration and testing of the Army
Workload and Performance System until after the date on
which the Secretary submits to Congress a report certifying
that—
(1) the Army Workload and Performance System
is fully operational; and
(2) the manpower audits being performed by the
Comptroller General, the Army Audit Agency, and the
Inspector General of the Army as of the date of the
enactment of this Act have been completed.
Subtitle E—Environmental
Provisions
SEC. 341. REVISION OF MEMBERSHIP TERMS FOR STRATE-
GIC ENVIRONMENTAL RESEARCH AND DEVEL-
OPMENT PROGRAM SCIENTIFIC ADVISORY
BOARD.
Section 2904(b) of title 10, United States Code, is
amended in paragraph (4) by striking out ‘‘three’’ and in-
serting in lieu thereof ‘‘not less than two and not more than
four’’.
SEC. 342. AMENDMENTS TO AUTHORITY TO ENTER INTO
AGREEMENTS WITH OTHER AGENCIES IN
SUPPORT OF ENVIRONMENTAL TECHNOLOGY
CERTIFICATION.
(a) AUTHORITY TO ENTER INTO AGREEMENTS WITH
INDIAN TRIBES.—Section 327 of the National Defense Au-
thorization Act for Fiscal Year 1997 (Public Law 104–201;
110 Stat. 2483) is amended—
(1) in subsection (a), by inserting ‘‘, or with an
Indian tribe,’’ after ‘‘with an agency of a State or
local government’’;
(2) by redesignating subsection (e) as subsection
(f); and
(3) by inserting after subsection (d) the following
new subsection:
‘‘(e) DEFINITION.—In this section, the term ‘Indian
tribe’ has the meaning given that term by section 101(36)
of the Comprehensive Environmental Response, Compensa-
tion, and Liability Act of 1980 (42 U.S.C. 9601(36)).’’.
(b) ELIMINATION OF CERTAIN LIMITATION ON AU-
THORITY.—Subsection (b)(1) of such section is amended by
striking out ‘‘in carrying out its environmental restoration
activities’’.
SEC. 343. AUTHORIZATION TO PAY NEGOTIATED SETTLE-
MENT FOR ENVIRONMENTAL CLEANUP AT
FORMER DEPARTMENT OF DEFENSE SITES IN
CANADA.
(a) AUTHORIZATION.—To the extent provided in ap-
propriations Acts, the Secretary of Defense may pay an
amount to the Government of Canada of not more than
$100,000,000 (in fiscal year 1996 constant dollars), for pur-
poses of implementing the October 1996 negotiated settle-
ment between the United States and Canada relating to en-
vironmental cleanup at various sites in Canada that were
formerly used by the Department of Defense.
(b) METHOD OF PAYMENT.—The amount authorized
by subsection (a) shall be paid in 10 annual payments, with
the first payment made in fiscal year 1998.
(c) FISCAL YEAR 1998 PAYMENT.—The payment
under this section for fiscal year 1998 shall be made from
amounts appropriated pursuant to section 301(5).
SEC. 344. MODIFICATIONS OF AUTHORITY TO STORE AND
DISPOSE OF NONDEFENSE TOXIC AND HAZ-
ARDOUS MATERIALS.
(a) AUTHORITY TO STORE MATERIALS OWNED BY
MEMBERS OF THE ARMED FORCES.—Section 2692(a) of
title 10, United States Code, is amended—
(1) by inserting ‘‘either’’ before ‘‘by the Depart-
ment’’; and
(2) by inserting before the period at the end the
following: ‘‘or by a member of the armed forces (or a
dependent of the member) assigned to or provided
military housing on the installation’’.
(b) ADDITIONAL EXCEPTION TO LIMITATION ON STOR-
AGE
AND DISPOSAL.—Section 2692(b) of such title is
amended—
(1) by redesignating paragraphs (1) through (9)
as paragraphs (2) through (10), respectively; and
(2) by inserting before paragraph (2) (as so re-
designated) the following new paragraph (1):
‘‘(1) the storage, treatment, or disposal of mate-
rials that will be or have been used in connection
with an activity of the Department of Defense or in
connection with a service to be performed on an in-
stallation of the Department for the benefit of the De-
partment;’’.
(c) MODIFICATION TO EXCEPTION RELATING TO STOR-
AGE OR DISPOSAL OF EXPLOSIVES TO ASSIST LAW EN-
FORCEMENT AGENCIES.—Section 2692(b) of such title is
amended in paragraph (3) (as redesignated by subsection
(b))—
(1) by striking out ‘‘Federal law enforcement’’
and inserting in lieu thereof ‘‘Federal, State, or local
law enforcement’’; and
(2) by striking out ‘‘Federal agency’’ and insert-
ing in lieu thereof ‘‘Federal, State, or local agency’’.
(d) MODIFICATION TO EXCEPTION RELATING TO STOR-
AGE OF MATERIAL IN CONNECTION WITH USE OF A DE-
FENSE FACILITY.—Section 2692(b) of such title is amended
in paragraph (9) (as redesignated by subsection (b))—
(1) by striking out ‘‘by a private person in con-
nection with the authorized and compatible use by
that person of an industrial-type’’ and inserting in
lieu thereof ‘‘in connection with the authorized use of
a’’; and
(2) by striking out ‘‘; and’’ at the end and in-
serting in lieu thereof the following: ‘‘including the
use of such a facility for testing materiel and training
personnel;’’.
(e) MODIFICATION
TO
EXCEPTION
RELATING
TO
TREATMENT AND DISPOSAL OF MATERIAL IN CONNECTION
WITH USE OF A DEFENSE FACILITY.—Section 2692(b) of
such title is amended in paragraph (10) (as redesignated
by subsection (b))—
(1) by striking out ‘‘by a private person in con-
nection with the authorized and compatible commer-
cial use by that person of an industrial-type’’ and in-
serting in lieu thereof ‘‘in connection with the author-
ized use of a’’;
(2) by striking out ‘‘with that person’’ and in-
serting in lieu thereof ‘‘or agreement with the prospec-
tive user’’;
(3) by striking out ‘‘for that person’s’’ in sub-
paragraph (B) and inserting in lieu thereof ‘‘for the
prospective user’s’’; and
(4) by striking out the period at the end and in-
serting in lieu thereof ‘‘; and’’.
(f) ADDITIONAL EXCEPTION RELATING
TO SPACE
LAUNCH FACILITIES.—Section 2692(b) of such title is fur-
ther amended by adding at the end the following new para-
graph:
‘‘(11) the storage of any material that is not
owned by the Department of Defense if the Secretary
of the military department concerned determines that
the material is required or generated in connection
with the use of a space launch facility located on an
installation of the Department of Defense or on other
land controlled by the United States.’’.
(g) 
TECHNICAL
AMENDMENTS.—(1) 
Section
2692(a)(1) of such title is amended by striking out ‘‘stor-
age’’ and inserting in lieu thereof ‘‘storage, treatment,’’.
(2) The heading for section 2692 of such title is amend-
ed to read as follows:
‘‘§ 2692. Storage, treatment, and disposal of non-
defense toxic and hazardous materials’’.
(3) The item relating to section 2692 in the table of
sections at the beginning of chapter 159 of such title is
amended to read as follows:
‘‘2692. Storage, treatment, and disposal of nondefense toxic and hazardous mate-
rials.’’.
SEC. 345. REVISION OF REPORT REQUIREMENT FOR NAVY
PROGRAM TO MONITOR ECOLOGICAL EF-
FECTS OF ORGANOTIN.
Section 333(e) of the National Defense Authorization
Act for Fiscal Year 1997 (Public Law 104–201; 110 Stat.
2486) is amended—
(1) by striking out ‘‘June 1’’ and inserting in
lieu thereof ‘‘October 30’’;
(2) by striking out paragraphs (1) and (2);
(3) by redesignating paragraphs (3) and (4) as
paragraphs (1) and (2), respectively; and
(3) by adding at the end the following new para-
graph:
‘‘(3) A description of the present and future use,
if any, of antifouling paints containing organotin on
naval vessels.’’.
SEC. 346. PARTNERSHIPS FOR INVESTMENT IN INNOVATIVE
ENVIRONMENTAL TECHNOLOGIES.
(a) AUTHORITY.—Subject to subsection (b), the Sec-
retary of Defense may enter into a partnership with one
or more private sector entities to demonstrate and validate
innovative environmental technologies.
(b) LIMITATIONS.—The Secretary of Defense may enter
into a partnership with respect to an environmental tech-
nology under subsection (a)—
(1) subject to such terms and conditions as the
Secretary considers appropriate and in the national
interest; and
(2) only if the Secretary determines that the
technology has clear potential to be of significant
value to the Department of Defense in carrying out
its environmental activities.
(c) FUNDING.—Under a partnership entered into
under subsection (a), the Secretary may provide funds to
the partner or partners from appropriations available to
the Department of Defense for environmental activities, for
a period of up to five years.
(d) REPORT.—In the annual report required under
section 2706(a) of title 10, United States Code, the Sec-
retary of Defense shall include the following information
with respect to partnerships entered into under this section:
(1) The number of such partnerships.
(2) A description of the nature of the technology
involved in each such partnership.
(3) A list of all partners in such partnerships.
(e) COORDINATION.—The Secretary of Defense shall
ensure that the Department of Defense coordinates with the
Administrator of the Environmental Protection Agency in
any verification sponsored by the Department of tech-
nologies demonstrated and validated by a partnership en-
tered into under this section.
(f) TERMINATION OF AUTHORITY.—The authority to
enter into agreements under subsection (a) shall terminate
three years after the date of the enactment of this Act.
SEC. 347. PILOT PROGRAM TO TEST AN ALTERNATIVE
TECHNOLOGY FOR ELIMINATING SOLID AND
LIQUID WASTE EMISSIONS DURING SHIP OP-
ERATIONS.
(a) DETERMINATION BY SECRETARY OF THE NAVY.—
(1) The Secretary of the Navy shall make a determination
whether the alternative technology described in paragraph
(2) has the clear potential for significant benefit to the
Navy.
(2) The technology referred to in paragraph (1) is an
alternative technology designed to thermally treat on ship-
board all kinds of liquid and solid wastes generated on an
operating ship by means of a plasma arc melter system that
is compact, stationary, and uses a high alumina refractory
hearth.
(b) PILOT PROGRAM.—If the determination made
under subsection (a)(1) is in the affirmative, the Secretary
shall establish a pilot program to test the alternative tech-
nology. In conducting the test, the Secretary shall seek to
demonstrate whether the technology is valid, cost-effective,
and in compliance with environmental laws and regula-
tions.
(c) FUNDING.—From funds appropriated pursuant to
the authorization in section 301(2), the Secretary of the
Navy may use not more than $4,000,000 to carry out the
pilot program.
(d) REPORT.—(1) If the determination made under
subsection (a)(1) is in the affirmative, upon completion of
the test conducted under the pilot program the Secretary
shall submit to the Committee on Armed Services of the
Senate and the Committee on National Security of the
House of Representatives a report setting forth in detail the
results of the test. The report shall include recommendations
on whether the alternative technology merits implementa-
tion on naval vessels and such other recommendations as
the Secretary considers appropriate.
(2) If the determination made under subsection (a)(1)
is in the negative, the Secretary shall submit to the commit-
tees referred to in paragraph (1) a report containing the
analysis and data used by the Secretary in making the de-
termination and such other recommendations as the Sec-
retary considers appropriate.
Subtitle F—Commissaries and Non-
appropriated Fund Instrumen-
talities
SEC. 361. REORGANIZATION OF LAWS REGARDING COM-
MISSARIES AND EXCHANGES AND OTHER MO-
RALE, WELFARE, AND RECREATION ACTIVI-
TIES.
(a) DESCRIPTION OF CHAPTER.—(1) The heading of
chapter 147 of title 10, United States Code, is amended to
read as follows:
‘‘CHAPTER 147—COMMISSARIES AND EX-
CHANGES AND OTHER MORALE, WEL-
FARE, AND RECREATION ACTIVITIES’’.
(2) The tables of chapters at the beginning of subtitle
A, and at the beginning of part IV of subtitle A, of such
title are amended by striking out the item relating to chap-
ter 147 and inserting in lieu thereof the following new item:
‘‘147. Commissaries and Exchanges and Other Morale,
Welfare, and Recreation Activities ................... 2481’’.
(b) TRANSFER AND REDESIGNATION OF UNRELATED
PROVISIONS.—(1) Section 2481 of title 10, United States
Code, is transferred to chapter 159 of such title, inserted
after section 2685, and redesignated as section 2686.
(2) Sections 2483 and 2490 of such title are transferred
to the end of subchapter III of chapter 169 of such title
and redesignated as sections 2867 and 2868, respectively.
(3) Section 2491 of such title is redesignated as section
2500.
(c) CLERICAL AMENDMENTS.—(1) The table of sections
at the beginning of chapter 147 of title 10, United States
Code, is amended by striking out the items relating to sec-
tions 2481, 2483, and 2490.
(2) The table of sections at the beginning of chapter
159 of such title is amended by inserting after the item re-
lating to section 2685 the following new item:
‘‘2686. Utilities and services: sale; expansion and extension of systems and facili-
ties.’’.
(3) The table of sections at the beginning of subchapter
III of chapter 169 of such title is amended by adding at
the end the following new items:
‘‘2867. Sale of electricity from alternate energy and cogeneration production fa-
cilities.
‘‘2868. Utility services: furnishing for certain buildings.’’.
(4) The table of sections at the beginning of subchapter
I of chapter 148 of such title is amended by striking out
the item relating to section 2491 and inserting in lieu there-
of the following new item:
‘‘2500. Definitions.’’.
(d) CONFORMING AMENDMENTS.—(1) Section 2534(d)
of title 10, United States Code, is amended by striking out
‘‘section 2491(1)’’ both places it appears and inserting in
lieu thereof ‘‘section 2500(1)’’.
(2) Section 2865(b)(2) of such title is amended by
striking out ‘‘section 2483(b)(2)’’ and inserting in lieu
thereof ‘‘section 2867(b)(2)’’.
SEC. 362. MERCHANDISE AND PRICING REQUIREMENTS
FOR COMMISSARY STORES.
(a) AUTHORIZED COMMISSARY MERCHANDISE CAT-
EGORIES.—Subsection (b) of section 2486 of title 10, United
States Code, is amended—
(1) by striking out the matter preceding para-
graph (1) and inserting in lieu thereof the following:
‘‘(b) AUTHORIZED COMMISSARY MERCHANDISE CAT-
EGORIES.—Merchandise sold in, at, or by commissary
stores may include items only in the following cat-
egories:’’; and
(2) by striking out paragraph (11) and inserting
in lieu thereof the following new paragraph:
‘‘(11) Subject to the congressional notification re-
quirements of subsection (f), such other merchandise
categories as the Secretary of Defense may prescribe.’’.
(b) ALTERATION
OF UNIFORM SALES PRICE SUR-
CHARGE OR ADJUSTMENT.—Subsection (c) of such section
is amended—
(1) by inserting ‘‘UNIFORM SALES PRICE SUR-
CHARGE OR ADJUSTMENT.—’’ after ‘‘(c)’’;
(2) by striking out ‘‘in commissary stores.’’ and
inserting in lieu thereof ‘‘in, at, or by commissary
stores.’’; and
(3) by adding at the end the following new sen-
tence: ‘‘The uniform percentage in effect on the date
of the enactment of the National Defense Authoriza-
tion Act for Fiscal Year 1998 may not be changed ex-
cept by a law enacted after such date.’’.
(c) ESTABLISHMENT OF SALES PRICE.—Subsection
(d) of such section is amended to read as follows:
‘‘(d) SALES PRICE ESTABLISHMENT.—The Secretary
of Defense shall establish the sales price of each item of mer-
chandise sold in, at, or by commissary stores at the level
that will recoup the actual product cost of the item (consist-
ent with this section and sections 2484 and 2685 of this
title).’’.
(d) 
CONGRESSIONAL
NOTIFICATION; 
SPECIAL
RULES.—Such section is further amended by adding at the
end the following new subsections:
‘‘(f) CONGRESSIONAL NOTIFICATION.—(1) Any change
in the pricing policies for merchandise sold in, at, or by
commissary stores, and any addition of a merchandise cat-
egory under subsection (a)(11), shall not take effect until
the Secretary of Defense submits written notice of the pro-
posed change or addition to Congress and a period of 90
days of continuous session of Congress expires following the
date on which notice was received.
‘‘(2) For purposes of this subsection, the continuity of
a session of Congress is broken only by an adjournment of
the Congress sine die, and the days on which either House
is not in session because of an adjournment or recess of
more than three days to a day certain are excluded in a
computation of such 90-day period.
‘‘(g) SPECIAL RULE FOR CERTAIN MERCHANDISE.—
(1) Notwithstanding the general requirement that merchan-
dise sold in, at, or by commissary stores be commissary
store inventory, the Secretary of Defense may authorize the
sale of items in the merchandise categories specified in
paragraph (2) as noncommissary store inventory. Sub-
sections (c) and (d) shall not apply to the pricing of such
items of merchandise.
‘‘(2) The merchandise categories referred to in para-
graph (1) are as follows:
‘‘(A) Magazines and other periodicals.
‘‘(B) Tobacco products.’’.
(e) CLERICAL AND CONFORMING AMENDMENTS.—Such
section is further amended—
(1) in subsection (a), by inserting ‘‘IN GEN-
ERAL.—’’ after ‘‘(a)’’; and
(2) in subsection (e)—
(A) by inserting ‘‘SPECIAL
RULE
FOR
BRAND-NAME
COMMERCIAL
ITEMS.—’’ after
‘‘(e)’’; and
(B) by striking out ‘‘in commissary stores’’
both places it appears and inserting in lieu
thereof ‘‘in, at, or by commissary stores’’.
(f) EFFECT OF AMENDMENT.—(1) In the case of mer-
chandise categories authorized, before the date of the enact-
ment of this Act, for sale in, at, or by commissary stores
pursuant to regulations prescribed under subsection (b)(11)
of section 2486 of title 10, United States Code, as in effect
before such date, the Secretary of Defense may continue to
authorize the sale of such merchandise categories in, at, or
by commissary stores after such date notwithstanding the
amendment made by subsection (a)(2). However, the sale
in commissary store of such merchandise categories shall
be subject to the other requirements of such section 2486.
(2) Not later than 30 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit to
Congress a report specifying the commissary merchandise
categories covered by paragraph (1).
SEC. 363. LIMITATION ON NONCOMPETITIVE PROCURE-
MENT OF BRAND-NAME COMMERCIAL ITEMS
FOR RESALE IN COMMISSARY STORES.
Section 2486(e) of title 10, United States Code, as
amended by section 362(e)(2), is further amended by adding
at the end the following new sentence: ‘‘In determining
whether a brand name commercial item is regularly sold
outside of commissary stores, the Secretary shall consider
only sales of the item on a regional or national basis by
commercial grocery or other retail operations consisting of
multiple stores.’’.
SEC. 364. TRANSFER OF JURISDICTION OVER EXCHANGE,
COMMISSARY, AND MORALE, WELFARE, AND
RECREATION ACTIVITIES TO UNDER SEC-
RETARY OF DEFENSE (COMPTROLLER).
(a) COMPTROLLER JURISDICTION.—Section 135(c) of
title 10, United States Code, is amended—
(1) by striking out ‘‘and’’ at the end of para-
graph (4);
(2) by striking out the period at the end of para-
graph (5) and inserting ‘‘; and’’; and
(3) by adding at the end the following new para-
graph:
‘‘(6) in the areas of exchange, commissary, and
nonappropriated fund instrumentalities regarding
morale, welfare, and recreation activities.’’.
(b) CONFORMING AMENDMENT.—Section 136(b) of title
10, United States Code, is amended by striking out ‘‘ex-
change, commissary, and nonappropriated fund activi-
ties,’’.
SEC. 365. PUBLIC AND PRIVATE PARTNERSHIPS TO BENE-
FIT MORALE, WELFARE, AND RECREATION AC-
TIVITIES.
(a) PARTNERSHIPS AUTHORIZED.—Chapter 147 of
title 10, United States Code, as amended by section 361,
is further amended by inserting before section 2482 the fol-
lowing new section:
‘‘§ 2481. Morale, welfare, and recreation activities:
leases and other contracts to benefit
‘‘(a) LEASES AND OTHER CONTRACTS AUTHORIZED.—
The Secretary of Defense may authorize a nonappropriated
fund instrumentality to enter into leases, licensing agree-
ments, concession agreements, and other contracts with pri-
vate persons and State or local governments involving real
property (and related personal property) under the control
of the nonappropriated fund instrumentality in order to fa-
cilitate the provision of facilities, goods, or services to au-
thorized patrons of the nonappropriated fund instrumental-
ity.
‘‘(b) CONDITIONS.—A nonappropriated fund instru-
mentality may enter into an authorized lease or other con-
tract under subsection (a) only if the nonappropriated fund
instrumentality determines, in consultation with the Sec-
retary of Defense, that—
‘‘(1) the use of the property subject to the lease
or contract will provide appropriate space, or contrib-
ute to the provision of goods and services, for a mo-
rale, welfare, or recreation activity of the nonappro-
priated fund instrumentality;
‘‘(2) the lease or contract will not be inconsistent
with and will not adversely affect the mission of the
Department or the nonappropriated fund instrumen-
tality; and
‘‘(3) the lease or contract will enhance the use of
the property subject to the lease or contract.
‘‘(c) ACCESS TO RESULTING FACILITIES, GOODS, OR
SERVICES.—The use of a lease or contract under subsection
(a) to provide facilities, goods, or services shall not be con-
strued to permit the use of the resulting facilities, goods,
or services by persons who are not authorized patrons of
the nonappropriated fund instrumentality that is a party
to the lease or contract.
‘‘(d) LEASE AND CONTRACT TERMS.—Subsection (b)
of section 2667 of this title shall apply to a lease or contract
under subsection (a), except that references to the Secretary
concerned shall be deemed to mean the nonappropriated
fund instrumentality that is a party to the lease or con-
tract.
‘‘(e) MONEY RENTALS.—Money rentals received pursu-
ant to a lease or contract under subsection (a) shall be treat-
ed in the same manner as other receipts of the nonappro-
priated fund instrumentality that is a party to the lease
or contract, except that use of the rentals shall be restricted
to the installation at which the property covered by the lease
or contract is located.
‘‘(f) DEFINITION.—In this section, the term ‘nonappro-
priated fund instrumentality’ means the Army and Air
Force Exchange Service, Navy Exchange Service Command,
Marine Corps exchanges, or any other instrumentality of
the United States under the jurisdiction of the armed forces
which is conducted for the comfort, pleasure, contentment,
or physical or mental improvement of members of the armed
forces.’’.
(b) CLERICAL AMENDMENTS.—The table of sections at
the beginning of chapter 147 of such title, as amended by
section 361, is further amended by inserting before the item
relating to section 2482 the following new item:
‘‘2481. Morale, welfare, and recreation activities: leases and other contracts to ben-
efit.’’.
SEC. 366. TREATMENT OF CERTAIN AMOUNTS RECEIVED BY
DEFENSE COMMISSARY AGENCY.
Section 2482 of title 10, United States Code, is amend-
ed by adding at the end the following new subsection:
‘‘(c) TREATMENT OF CERTAIN RECEIPTS.—(1) The
Defense Commissary Agency shall deposit amounts received
from the sources specified in paragraph (2) into the same
account in which the proceeds from the adjustment of, or
surcharge on, commissary store prices authorized by sub-
section (a) of section 2685 of this title are deposited. In
such amounts as provided in appropriations Acts, the
amounts deposited under this paragraph shall be available
for the purposes described in subsection (b) of such section.
‘‘(2) Paragraph (1) shall apply with respect to
amounts received by the Defense Commissary Agency
from—
‘‘(A) the sale of items for recycling;
‘‘(B) the disposal of excess property;
‘‘(C) license fees, royalties, incentive allowances,
and management and other fees; and
‘‘(D) a nonappropriated fund instrumentality of
the United States.’’.
SEC. 367. AUTHORIZED USE OF APPROPRIATED FUNDS FOR
RELOCATION OF NAVY EXCHANGE SERVICE
COMMAND.
The Navy Exchange Service Command is not required
to reimburse the United States for appropriated funds allot-
ted to the Navy Exchange Service Command during fiscal
years 1994, 1995, and 1996 to cover costs incurred by the
Navy Exchange Service Command to relocate to Virginia
Beach, Virginia, and to lease headquarters space in Vir-
ginia Beach.
Subtitle G—Other Matters
SEC. 371. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES
THAT BENEFIT DEPENDENTS OF MEMBERS
OF THE ARMED FORCES AND DEPARTMENT
OF DEFENSE CIVILIAN EMPLOYEES.
(a) CONTINUATION
OF DEPARTMENT
OF DEFENSE
PROGRAM FOR FISCAL YEAR 1998.—Of the amount author-
ized to be appropriated pursuant to section 301(5) for oper-
ation and maintenance for Defense-wide activities—
(1) $30,000,000 shall be available for providing
educational agencies assistance (as defined in sub-
section (d)(1)) to local educational agencies; and
(2) $5,000,000 shall be available for making edu-
cational agencies payments (as defined in subsection
(d)(2)) to local educational agencies.
100
(b) NOTIFICATION.—Not later than June 30, 1998, the
Secretary of Defense shall—
(1) notify each local educational agency that is
eligible for educational agencies assistance for fiscal
year 1998 of that agency’s eligibility for such assist-
ance and the amount of such assistance for which that
agency is eligible; and
(2) notify each local educational agency that is
eligible for an educational agencies payment for fiscal
year 1998 of that agency’s eligibility for such pay-
ment and the amount of the payment for which that
agency is eligible.
(c) DISBURSEMENT OF FUNDS.—The Secretary of De-
fense shall disburse funds made available under paragraphs
(1) and (2) of subsection (a) not later than 30 days after
the date on which notification to the eligible local edu-
cational agencies is provided pursuant to subsection (b).
(d) DEFINITIONS.—In this section:
(1) The term ‘‘educational agencies assistance’’
means assistance authorized under section 386(b) of
the National Defense Authorization Act for Fiscal
Year 1993 (Public Law 102–484; 20 U.S.C. 7703
note).
(2) The term ‘‘educational agencies payments’’
means payments authorized under section 386(d) of
101
the National Defense Authorization Act for Fiscal
Year 1993 (Public Law 102–484; 20 U.S.C. 7703
note).
(3) The term ‘‘local educational agency’’ has the
meaning given that term in section 8013(9) of the El-
ementary and Secondary Education Act of 1965 (20
U.S.C. 7713(9)).
(e) TECHNICAL CORRECTION RELATING TO ORIGINAL
ASSISTANCE AUTHORITY.—Section 386(c)(1) of the Na-
tional Defense Authorization Act for Fiscal Year 1993 (Pub-
lic Law 102–484; 20 U.S.C. 7703 note) is amended—
(1) by striking out ‘‘section 8003(a)’’ and insert-
ing in lieu thereof ‘‘section 8003(a)(1)’’; and
(2) by striking out ‘‘(20 U.S.C. 7703(a))’’ and
inserting in lieu thereof ‘‘(20 U.S.C. 7703(a)(1))’’.
SEC. 372. CONTINUATION OF OPERATION MONGOOSE.
Section 135 of title 10, United States Code, is amended
by adding at the end the following new subsection:
‘‘(f) The Under Secretary of Defense (Comptroller)
shall be responsible for investigating evidence of fraud,
waste, and abuse uncovered as a result of the Department
of Defense program (known as Operation Mongoose) estab-
lished to identify and prevent fraud, waste, and abuse with-
in the Department of Defense, particularly fraud, waste,
102
and abuse regarding finance and accounting matters. The
program shall continue through fiscal year 2003.’’.
SEC. 373. INCLUSION OF AIR FORCE DEPOT MAINTENANCE
AS OPERATION AND MAINTENANCE BUDGET
ACTIVITY GROUP.
For fiscal year 1999 and each fiscal year thereafter,
Air Force depot-level maintenance of materiel shall be dis-
played as one or more budget activity groups (known as
‘‘subactivities’’) within the authorization request for Oper-
ation and Maintenance, Air Force, in the proposed budget
for that fiscal year submitted to Congress pursuant to sec-
tion 1105 of title 31, United States Code.
SEC. 374. PROGRAMS TO COMMEMORATE 50TH ANNIVER-
SARY OF MARSHALL PLAN AND KOREAN CON-
FLICT.
(a) COMMEMORATIVE PROGRAMS.—(1) The Secretary
of Defense may conduct a program to commemorate the
50th anniversary of the Marshall Plan that provided for
the reconstruction of the economies of Western Europe fol-
lowing World War II.
(2) The Secretary may conduct a program to com-
memorate the 50th anniversary of the Korean conflict.
(3) In conducting such commemorative programs, the
Secretary may coordinate, support, and facilitate other pro-
grams and activities of the Federal Government, State and
103
local governments, and other persons in commemoration of
the Marshall Plan or the Korean conflict.
(b) MARSHALL PLAN COMMEMORATIVE ACTIVITIES.—
The commemorative programs authorized by subsection
(a)(1) may include activities and ceremonies—
(1) to honor George C. Marshall, who developed
the Marshall Plan, for a lifetime of service to the
United States as a commissioned officer of the Army
(including service during World War II as Chief of
Staff of the Army with the rank of General of the
Army) and as Secretary of Defense and Secretary of
State at the beginning of the Cold War; and
(2) to provide the people of the United States
with a clear understanding and appreciation of the
significance of Marshall Plan.
(c) KOREAN
CONFLICT
COMMEMORATIVE
ACTIVI-
TIES.—The commemorative programs authorized by sub-
section (a)(2) may include activities and ceremonies—
(1) to provide the people of the United States
with a clear understanding and appreciation of the
lessons and history of the Korean conflict;
(2) to thank and honor veterans of the Korean
conflict and their families;
104
(3) to pay tribute to the sacrifices and contribu-
tions made on the home front by the people of the
United States during the Korean conflict;
(3) to highlight advances in technology, science,
and medicine related to military research conducted
during the Korean conflict;
(4) to recognize the contributions and sacrifices
made by the allies of the United States in the Korean
conflict; and
(5) to highlight the role of the Armed Forces of
the United States, then and now, in maintaining
world peace through strength.
(d) NAMES AND SYMBOLS.—The Secretary of Defense
shall have the sole and exclusive right to use the names ‘‘The
Department of Defense 50th Anniversary of the Marshall
Plan’’, ‘‘50th Anniversary of the Marshall Plan’’, and ‘‘The
Korean Conflict Commemoration’’, and such seal, emblems,
and badges incorporating such names as the Secretary may
lawfully adopt. Nothing in this section may be construed
to supersede rights that are established or vested before the
date of the enactment of this Act.
(e) COMMEMORATIVE ACCOUNT.—(1) There is estab-
lished in the Treasury an account to be known as the ‘‘De-
partment of Defense 50th Anniversary of the Marshall Plan
and Korean Conflict Commemoration Account’’, which shall
105
be administered by the Secretary of Defense as a single ac-
count. There shall be deposited into the account all proceeds
derived from the Secretary’s use of the exclusive rights de-
scribed in subsection (d). The Secretary may use funds in
the account only for the purpose of conducting the com-
memorative programs authorized by subsection (a).
(2) Not later than 60 days after completion of all ac-
tivities and ceremonies conducted as part of the commemo-
rative programs, the Secretary shall submit to Congress a
report containing an accounting of all the funds deposited
into and expended from the account or otherwise expended
under this section, and of any funds remaining in the ac-
count. Unobligated funds remaining in the account on that
date shall be held in the account until transferred by law.
(f) ACCEPTANCE OF VOLUNTARY SERVICES.—(1) Not-
withstanding section 1342 of title 31, United States Code,
the Secretary of Defense may accept from any person vol-
untary services to be provided in furtherance of the com-
memorative programs authorized by subsection (a).
(2) A person providing voluntary services under this
subsection shall be considered to be a Federal employee for
purposes of chapter 81 of title 5, United States Code, relat-
ing to compensation for work-related injuries. The person
shall also be considered a special governmental employee for
purposes of standards of conduct and sections 202, 203, 205,
106
207, 208, and 209 of title 18, United states Code. A person
who is not otherwise employed by the Federal Government
shall not be considered to be a Federal employee for any
other purpose by reason of the provision of voluntary serv-
ices under this subsection.
(3) The Secretary may provide for reimbursement of
incidental expenses incurred by a person providing vol-
untary services under this subsection. The Secretary shall
determine which expenses are eligible for reimbursement
under this paragraph.
SEC. 375. PROHIBITION ON USE OF SPECIAL OPERATIONS
COMMAND BUDGET FOR BASE OPERATION
SUPPORT.
Section 167(f) of title 10, United States Code, is
amended
(1) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively;
(2) by inserting ‘‘(1)’’ before ‘‘In addition’’; and
(3) by adding at the end the following new para-
graph:
‘‘(2) Funds provided for the special operations com-
mand as part of the budget for the special operations com-
mand under paragraph (1) may not be used to cover base
operation support expenses incurred at a military installa-
tion.’’.
107
SEC. 376. CONTINUATION AND EXPANSION OF DEMONSTRA-
TION 
PROGRAM 
TO 
IDENTIFY 
OVERPAY-
MENTS MADE TO VENDORS.
(a) SCOPE OF PROGRAM.—Section 354 of the National
Defense Authorization Act for Fiscal Year 1996 (Public
Law 104–106; 110 Stat. 268; 10 U.S.C. 2461 note) is
amended—
(1) in subsection (a), by striking out the second
sentence; and
(2) in subsection (b)(1), by striking out ‘‘of the
Defense Logistics Agency that relate to (at least) fiscal
years 1993, 1994, and 1995’’ and inserting in lieu
thereof ‘‘relating to fiscal years after fiscal year 1993
of the working-capital funds and industrial, commer-
cial, and support type activities managed through the
Defense Business Operations Fund, except the Defense
Logistics Agency to the extent such records have al-
ready been audited’’.
(b) COLLECTION METHOD; CONTRACTOR PAYMENTS.—
Such section is further amended by striking out subsections
(d) and (e) and inserting in lieu thereof the following new
subsections:
‘‘(d) COLLECTION METHOD.—In the case of an over-
payment to a vendor identified under the demonstration
program, the Secretary shall require the use of the proce-
dures specified in section 32.611 of the Federal Acquisition
108
Regulation, regarding a setoff against existing invoices for
payment to the vendor, as the first method by which the
Department shall seek to recover the amount of the overpay-
ment (and any applicable interest and penalties) from the
vendor.
‘‘(e) FEES FOR CONTRACTOR.—The Secretary shall
pay to the contractor under the contract entered into under
the demonstration program an amount not to exceed 25 per-
cent of the total amount recovered by the Department
(through the collection of overpayments and the use of
setoffs) solely on the basis of information obtained as a re-
sult of the audits performed by the contractor under the pro-
gram. When an overpayment is recovered through the use
of a setoff, amounts for the required payment to the contrac-
tor shall be derived from funds available to the working-
capital fund or industrial, commercial, or support type ac-
tivity for which the overpayment is recovered.’’.
SEC. 377. APPLICABILITY OF FEDERAL PRINTING REQUIRE-
MENTS TO DEFENSE AUTOMATED PRINTING
SERVICE.
(a) Subchapter I of chapter 8 of title 10, United States
Code, is amended by adding at the end the following new
section:
109
‘‘§ 195. Defense Automated Printing Service: applica-
bility of Federal printing requirements
‘‘The Defense Automated Printing Service shall com-
ply fully with the requirements of chapter 5 of title 44 relat-
ing to the production and procurement of printing, binding,
and blank-book work.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such subchapter is amended by adding at
the end the following new item:
‘‘195. Defense Automated Printing Service: applicability of Federal printing re-
quirements.’’.
SEC. 378. BASE OPERATIONS SUPPORT FOR MILITARY IN-
STALLATIONS ON GUAM.
(a) CONTRACTOR USE OF NONIMMIGRANT ALIENS.—
Each contract for base operations support to be performed
on Guam shall contain a condition that work under the
contract may not be performed by any alien who is issued
a visa or otherwise provided nonimmigrant status under
section 101(a)(15)(H)(ii) of the Immigration and National-
ity Act (8 U.S.C. 1101(a)(15)(H)(ii)).
(b) APPLICATION
OF SECTION.—This section shall
apply to contracts entered into, amended, or otherwise
modified on or after the date of the enactment of this Act.
110
TITLE IV—PERSONNEL
AUTHORIZATIONS
Subtitle A—Active Forces
SEC. 401. END STRENGTHS FOR ACTIVE FORCES.
The Armed Forces are authorized strengths for active
duty personnel as of September 30, 1998, as follows:
(1) The Army, 495,000.
(2) The Navy, 395,000.
(3) The Marine Corps, 174,000.
(4) The Air Force, 381,000.
Subtitle B—Reserve Forces
SEC. 411. END STRENGTHS FOR SELECTED RESERVE.
(a) IN GENERAL.—The Armed Forces are authorized
strengths for Selected Reserve personnel of the reserve com-
ponents as of September 30, 1998, as follows:
(1) The Army National Guard of the United
States, 366,516.
(2) The Army Reserve, 208,000.
(3) The Naval Reserve, 94,294.
(4) The Marine Corps Reserve, 42,000.
(5) The Air National Guard of the United
States, 107,377.
(6) The Air Force Reserve, 73,431.
(7) The Coast Guard Reserve, 8,000.
111
(b) WAIVER AUTHORITY.—The Secretary of Defense
may vary the end strength authorized by subsection (a) by
not more than 2 percent.
(c) ADJUSTMENTS.—The end strengths prescribed by
subsection (a) for the Selected Reserve of any reserve compo-
nent shall be proportionately reduced by—
(1) the total authorized strength of units orga-
nized to serve as units of the Selected Reserve of such
component which are on active duty (other than for
training) at the end of the fiscal year; and
(2) the total number of individual members not
in units organized to serve as units of the Selected
Reserve of such component who are on active duty
(other than for training or for unsatisfactory partici-
pation in training) without their consent at the end
of the fiscal year.
Whenever such units or such individual members are re-
leased from active duty during any fiscal year, the end
strength prescribed for such fiscal year for the Selected Re-
serve of such reserve component shall be proportionately in-
creased by the total authorized strengths of such units and
by the total number of such individual members.
112
SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE
DUTY IN SUPPORT OF THE RESERVES.
Within the end strengths prescribed in section 411(a),
the reserve components of the Armed Forces are authorized,
as of September 30, 1998, the following number of Reserves
to be serving on full-time active duty or full-time duty, in
the case of members of the National Guard, for the purpose
of organizing, administering, recruiting, instructing, or
training the reserve components:
(1) The Army National Guard of the United
States, 22,310.
(2) The Army Reserve, 11,500.
(3) The Naval Reserve, 16,136.
(4) The Marine Corps Reserve, 2,559.
(5) The Air National Guard of the United
States, 10,616.
(6) The Air Force Reserve, 748.
SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS
(DUAL STATUS).
(a) AUTHORIZATION FOR FISCAL YEAR 1998.—The
minimum number of military technicians (dual status) as
of the last day of fiscal year 1998 for the reserve components
of the Army and the Air Force (notwithstanding section 129
of title 10, United States Code) shall be the following:
(1) For the Army Reserve, 5,503.
113
(2) For the Army National Guard of the United
States, 23,125.
(3) For the Air Force Reserve, 9,802.
(4) For the Air National Guard of the United
States, 22,853.
(b) REQUESTS FOR FUTURE FISCAL YEARS.—Section
115(g) of title 10, United States Code, is amended by add-
ing at the end the following new sentence: ‘‘In each budget
submitted by the President to Congress under section 1105
of title 31, the end strength requested for military techni-
cians (dual status) for each reserve component of the Army
and Air Force shall be specifically set forth.’’.
SEC. 414. INCREASE IN NUMBER OF MEMBERS IN CERTAIN
GRADES AUTHORIZED TO SERVE ON ACTIVE
DUTY IN SUPPORT OF THE RESERVES.
(a) OFFICERS.—The table in section 12011(a) of title
10, United States Code, is amended to read as follows:
‘‘Grade
Army
Navy
Air
Force
Marine
Corps
Major or Lieutenant Commander .................
3,219
1,071
673
140
Lieutenant Colonel or Commander ...............
1,524
520
672
Colonel or Navy Captain ...............................
437
188
274
30’’.
(b) SENIOR ENLISTED MEMBERS.—The table in sec-
tion 12012(a) of such title is amended to read as follows:
‘‘Grade
Army
Navy
Air
Force
Marine
Corps
E–9 ..................................................................
627
202
371
E–8 ..................................................................
2,585
429
900
94’’.
114
Subtitle C—Authorization of
Appropriations
SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILI-
TARY PERSONNEL.
There is hereby authorized to be appropriated to the
Department of Defense for military personnel for fiscal year
1998 a total of $69,539,862,000. The authorization in the
preceding sentence supersedes any other authorization of
appropriations (definite or indefinite) for such purpose for
fiscal year 1998.
TITLE V—MILITARY PERSONNEL
POLICY
Subtitle A—Officer Personnel Policy
SEC. 501. LIMITATION ON NUMBER OF GENERAL AND FLAG
OFFICERS WHO MAY SERVE IN POSITIONS
OUTSIDE THEIR OWN SERVICE.
(a) IN GENERAL.—Chapter 41 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 721. General and flag officers: limitation on ap-
pointments, assignments, details, and du-
ties outside an officer’s own service
‘‘(a) LIMITATION.—An officer described in subsection
(b) may not be appointed, assigned, or detailed for a period
in excess of 90 days to a position external to that officer’s
115
armed force if, immediately following such appointment,
assignment, or detail, the number of officers described in
subsection (b) serving in positions external to such officers’
armed force for a period in excess of 90 days would be in
excess of 24.5 percent of the total number of such officers.
‘‘(b) COVERED OFFICERS.—The officers covered by
subsection (a), and to be counted for the purposes of the
limitation in that subsection, are the following:
‘‘(1) Any general or flag officer counted for pur-
poses of section 526(a) of this title.
‘‘(2) Any general or flag officer serving in a joint
duty assignment position designated by the Chairman
of the Joint Chiefs of Staff under section 526(b) of
this title.
‘‘(3) Any colonel or Navy captain counted for
purposes of section 777(d)(1) of this title.
‘‘(c) EXTERNAL POSITIONS.—For purposes of this sec-
tion, the following positions shall be considered to be exter-
nal to an officer’s armed force:
‘‘(1) Any position (including a position in joint
education) that is a joint duty assignment for pur-
poses of chapter 38 of this title.
‘‘(2) Any position in the Office of the Secretary
of Defense, a Defense Agency, or a Department of De-
fense Field Activity.
116
‘‘(3) Any position in the Joint Chiefs of Staff,
the Joint Staff, or the headquarters of a combatant
command (as defined in chapter 6 of this title).
‘‘(4) Any position in the National Guard Bu-
reau.
‘‘(5) Any position outside the Department of De-
fense, including any position in the headquarters of
the North Atlantic Treaty Organization or any other
international military command, any combined or
multinational command, or military mission.
‘‘(d) ASSIGNMENTS, ETC. FOR PERIODS IN EXCESS OF
90 DAYS.—For purposes of this section, the appointment,
assignment, or detail of an officer to a position shall be
considered to be for a period in excess of 90 days unless
the appointment, assignment, or detail specifies that it is
made a period of 90 days or less.
‘‘(e) WAIVER DURING PERIOD OF WAR OR NATIONAL
EMERGENCY.—The President may suspend the operation of
this section during any period of war or of national emer-
gency declared by Congress or the President.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘721. General and flag officers: limitation on appointments, assignments, details,
and duties outside an officer’s own service.’’.
117
SEC. 502. EXCLUSION OF CERTAIN RETIRED OFFICERS
FROM LIMITATION ON PERIOD OF RECALL TO
ACTIVE DUTY.
Effective October 1, 1997, section 688(e) of title 10,
United States Code, is amended—
(1) by inserting ‘‘(1)’’ before ‘‘A member’’; and
(2) adding at the end the following new para-
graph:
‘‘(2) Paragraph (1) shall not apply to the following
officers:
‘‘(A) A chaplain who is assigned to duty as a
chaplain for the period of active duty to which or-
dered.
‘‘(B) A health care professional (as characterized
by the Secretary concerned) who is assigned to duty
as a health care professional for the period of active
duty to which ordered.
‘‘(C) An officer assigned to duty with the Amer-
ican Battle Monuments Commission for the period of
active duty to which ordered.’’.
SEC. 503. CLARIFICATION OF OFFICERS ELIGIBLE FOR CON-
SIDERATION BY SELECTION BOARDS.
(a) OFFICERS ON THE ACTIVE-DUTY LIST.—Section
619(d) of title 10, United States Code, is amended—
118
(1) by striking out ‘‘grade—’’ in the matter pre-
ceding paragraph (1) and inserting in lieu thereof
‘‘grade any of the following officers:’’;
(2) in paragraph (1)—
(A) by striking out ‘‘an officer’’ and insert-
ing in lieu thereof ‘‘An officer’’; and
(B) by striking out ‘‘; or’’ at the end and
inserting in lieu thereof a period; and
(3) by redesignating paragraph (2) as para-
graph (3) and in that paragraph striking out ‘‘an of-
ficer’’ and inserting in lieu thereof ‘‘An officer’’; and
(4) by inserting after paragraph (1) the follow-
ing new paragraph (2):
‘‘(2) An officer who is recommended for pro-
motion to that grade in the report of an earlier selec-
tion board convened under that section, in the case of
such a report that has not yet been approved by the
President.’’.
(b) OFFICERS
ON
THE RESERVE ACTIVE-STATUS
LIST.—Section 14301(c) of such title is amended—
(1) by striking out ‘‘grade—’’ in the matter pre-
ceding paragraph (1) and inserting in lieu thereof
‘‘grade any of the following officers:’’;
119
(2) by striking out ‘‘an officer’’ in each of para-
graphs (1), (2), and (3) and inserting in lieu thereof
‘‘An officer’’;
(3) by striking out the semicolon at the end of
paragraph (1) and inserting in lieu thereof a period;
(4) by striking out ‘‘; or’’ at the end of para-
graph (2) and inserting in lieu thereof a period;
(5) by redesignating paragraphs (2) and (3), as
so amended, as paragraphs (3) and (4), respectively,
and in each such paragraph striking out ‘‘the next
higher grade’’ and inserting in lieu thereof ‘‘that
grade’’; and
(6) by inserting after paragraph (1) the follow-
ing new paragraph (2):
‘‘(2) An officer who is recommended for pro-
motion to that grade in the report of an earlier selec-
tion board convened under a provision referred to in
paragraph (1), in the case of such a report that has
not yet been approved by the President.’’.
(c) CLARIFYING AMENDMENTS.—Paragraphs (3) and
(4) of section 14301(c) of such title, as redesignated and
amended by subsection (b), are each amended by inserting
before the period at the end the following: ‘‘, if that nomina-
tion is pending before the Senate’’.
120
SEC. 504. AUTHORITY TO DEFER MANDATORY RETIREMENT
FOR AGE OF OFFICERS SERVING AS CHAP-
LAINS.
(a) AUTHORITY FOR DEFERRAL OF RETIREMENT FOR
CHAPLAINS PROVIDING DIRECT SUPPORT TO UNITS OR IN-
STALLATIONS.—Subsection (c) of section 1251 of title 10,
United States Code, is amended—
(1) by redesignating paragraphs (2) and (3) as
paragraphs (3) and (4), respectively; and
(2) by inserting after paragraph (1) the follow-
ing new paragraph (2):
‘‘(2) The Secretary concerned may defer the retirement
under subsection (a) of an officer who is appointed or des-
ignated as a chaplain if during the period of the deferment
the officer will be performing duties consisting primarily
of providing direct support as a chaplain to units or instal-
lations.’’.
(b) AUTHORITY FOR DEFERRAL OF RETIREMENT FOR
CHIEF AND DEPUTY CHIEF OF CHAPLAINS.—Such section
is further amended by adding at the end the following new
subsection:
‘‘(d) The Secretary concerned may defer the retirement
under subsection (a) of an officer who is the Chief of Chap-
lains or Deputy Chief of Chaplains of that officer’s armed
force. Such a deferment may not extend beyond the first
121
day of the month following the month in which the officer
becomes 68 years of age.’’.
(c) QUALIFICATION FOR SERVICE AS NAVY CHIEF OF
CHAPLAINS OR DEPUTY CHIEF OF CHAPLAINS.—(1) Sec-
tion 5142(b) of such title is amended by striking out ‘‘, who
are not on the retired list,’’.
(2) Section 5142a of such title is amended by striking
out ‘‘, who is not on the retired list,’’.
Subtitle B—Reserve Component
Matters
SEC. 511. INDIVIDUAL READY RESERVE ACTIVATION AU-
THORITY.
(a) IRR MEMBERS SUBJECT TO ORDER TO ACTIVE
DUTY OTHER THAN DURING WAR OR NATIONAL EMER-
GENCY.—Section 10144 of title 10, United States Code, is
amended—
(1) by inserting ‘‘(a)’’ before ‘‘Within the Ready
Reserve’’; and
(2) by adding at the end the following new sub-
section:
‘‘(b)(1) Within the Individual Ready Reserve of each
reserve component there is a category of members, as des-
ignated by the Secretary concerned, who are subject to being
ordered to active duty involuntarily in accordance with sec-
122
tion 12304 of this title. A member may not be placed in
that mobilization category unless—
‘‘(A) the member volunteers for that category;
and
‘‘(B) the member is selected for that category by
the Secretary concerned, based upon the needs of the
service and the grade and military skills of that mem-
ber.
‘‘(2) A member of the Individual Ready Reserve may
not be carried in such mobilization category of members
after the end of the 24-month period beginning on the date
of the separation of the member from active service.
‘‘(3) The Secretary shall designate the grades and mili-
tary skills or specialities of members to be eligible for place-
ment in such mobilization category.
‘‘(4) A member in such mobilization category shall be
eligible for benefits (other than pay and training) as are
normally available to members of the Selected Reserve, as
determined by the Secretary of Defense.’’.
(b) CRITERIA FOR ORDERING TO ACTIVE DUTY.—Sub-
section (a) of section 12304 of title 10, United States Code,
is amended by inserting after ‘‘of this title),’’ the following:
‘‘or any member in the Individual Ready Reserve mobiliza-
tion category and designated as essential under regulations
prescribed by the Secretary concerned,’’.
123
(c) MAXIMUM NUMBER.—Subsection (c) of such section
is amended—
(1) by inserting ‘‘and the Individual Ready Re-
serve’’ after ‘‘Selected Reserve’’; and
(2) by inserting ‘‘, of whom not more than
30,000 may be members of the Individual Ready Re-
serve’’ before the period at the end.
(d) CONFORMING AMENDMENTS.—Such section is fur-
ther amended—
(1) in subsection (f), by inserting ‘‘or Individual
Ready Reserve’’ after ‘‘Selected Reserve’’;
(2) in subsection (g), by inserting ‘‘, or member
of the Individual Ready Reserve,’’ after ‘‘to serve as
a unit’’; and
(3) by adding at the end the following new sub-
section:
‘‘(i) For purposes of this section, the term ‘Individual
Ready Reserve mobilization category’ means, in the case of
any reserve component, the category of the Individual
Ready Reserve described in section 10144(b) of this title.’’.
(e) CLERICAL AMENDMENTS.—(1) The heading of such
section is amended to read as follows:
124
‘‘§ 12304. Selected Reserve and certain Individual
Ready Reserve members; order to active
duty other than during war or national
emergency’’.
(2) The item relating to section 12304 in the table of
sections at the beginning of chapter 1209 of such title is
amended to read as follows:
‘‘12304. Selected Reserve and certain Individual Ready Reserve members; order
to active duty other than during war or national emergency’’.
SEC. 512. TERMINATION OF MOBILIZATION INCOME INSUR-
ANCE PROGRAM.
(a) IN GENERAL.—Chapter 1214 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 12533. Termination of program
‘‘(a) IN GENERAL.—The Secretary shall terminate the
insurance program in accordance with this section.
‘‘(b) TERMINATION OF NEW ENROLLMENTS.—The Sec-
retary may not enroll a member of the Ready Reserve for
coverage under the insurance program after the date of the
enactment of this section.
‘‘(c) TERMINATION OF COVERAGE.—(1) The enrollment
under the insurance program of insured members other
than insured members described in paragraph (2) is termi-
nated as of the date of the enactment of this section. The
enrollment of an insured member described in paragraph
125
(2) is terminated as of the date of the termination of the
period of covered service of that member described in that
paragraph.
‘‘(2) An insured member described in this paragraph
is an insured member who on the date of the enactment
of this section is serving on covered service for a period of
service, or has been issued an order directing the perform-
ance of covered service, that satisfies or would satisfy the
entitlement-to-benefits provisions of this chapter.
‘‘(d) TERMINATION OF PAYMENT OF BENEFITS.—The
Secretary may not make any benefit payment under the
insurance program after the date of the enactment of this
section other than to an insured member who on that date
(1) is serving on an order to covered service, (2) has been
issued an order directing performance of covered service, or
(3) has served on covered service before that date for which
benefits under the program have not been paid to the mem-
ber.
‘‘(e) TERMINATION OF INSURANCE FUND.—The Sec-
retary shall close the Fund not later than 60 days after
the date on which the last benefit payment from the Fund
is made. Any amount remaining in the Fund when closed
shall be covered into the Treasury as miscellaneous re-
ceipts.’’.
126
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘12533. Termination of program.’’.
SEC. 513. CORRECTION OF INEQUITIES IN MEDICAL AND
DENTAL CARE AND DEATH AND DISABILITY
BENEFITS 
FOR 
RESERVE 
MEMBERS 
WHO
INCUR OR AGGRAVATE AN ILLNESS IN THE
LINE OF DUTY.
(a) MEDICAL AND DENTAL CARE FOR DEPENDENTS.—
Section 1076(a)(2) of title 10, United States Code, is
amended—
(1) by striking out ‘‘or’’ at the end of subpara-
graph (A);
(2) by striking out the period at the end of sub-
paragraph (B) and inserting in lieu thereof ‘‘; or’’;
and
(3) by adding at the end the following new sub-
paragraph:
‘‘(C) who incurs or aggravates an injury or ill-
ness in the line of duty while serving on active duty
for a period of 30 days or less and whose orders are
subsequently modified to extend the period of active
duty to a period of more than 30 days.’’.
(b) 
MEDICAL
AND
DENTAL
CARE.—Section
1074a(a)(3) of such title is amended by inserting ‘‘while
127
remaining overnight immediately before the commencement
of inactive-duty training, or’’ after ‘‘in the line of duty’’.
(c) ELIGIBILITY FOR DISABILITY RETIREMENT.—Sec-
tion 1204(2)(C) of such title is amended by inserting ‘‘while
remaining overnight immediately before the commencement
of inactive-duty training, or’’ after ‘‘aggravated’’.
(d) ELIGIBILITY FOR DISABILITY SEPARATION.—Sec-
tion 1206 of such title is amended—
(1) by redesignating paragraphs (2), (3), and (4)
as paragraphs (3), (4), and (5) respectively; and
(2) by inserting after paragraph (1) the follow-
ing new paragraph:
‘‘(2) the disability was incurred in the line of
duty as a result of—
‘‘(A) performing active duty or inactive-
duty training;
‘‘(B) traveling directly to or from the place
at which such duty is performed; or
‘‘(C) an injury, illness, or disease incurred
or aggravated while remaining overnight imme-
diately before the commencement of inactive-duty
training, or while remaining overnight between
successive periods of inactive-duty training, at or
in the vicinity of the site of the inactive-duty
128
training, if the site is outside reasonable com-
muting distance of the member’s residence;’’.
(e) RECOVERY, CARE, AND DISPOSITION
OF RE-
MAINS.—Section 1481(a)(2)(D) of such title is amended by
inserting ‘‘remaining overnight immediately before the com-
mencement of inactive-duty training, or’’ after ‘‘(D)’’.
(f) ENTITLEMENT TO BASIC PAY.—Section 204 of title
37, United States Code, is amended by inserting ‘‘while re-
maining overnight immediately before the commencement
of inactive-duty training, or’’ in subsections (g)(1)(D) and
(h)(1)(D) after ‘‘in line of duty’’.
(g) COMPENSATION FOR INACTIVE-DUTY TRAINING.—
Section 206(a)(3)(C) of such title is amended by inserting
‘‘while remaining overnight immediately before the com-
mencement of inactive-duty training, or’’ after ‘‘in line of
duty’’.
SEC. 514. TIME-IN-GRADE REQUIREMENTS FOR RESERVE
COMMISSIONED OFFICERS RETIRED DURING
FORCE DRAWDOWN PERIOD.
(a) AUTHORITY COMPARABLE TO ACTIVE-DUTY LIST
OFFICERS.—Subsection (d)(3) of section 1370 of title 10,
United States Code, is amended by adding at the end the
following new subparagraph:
‘‘(F) The Secretary of Defense may authorize the Sec-
retary of a military department to reduce the three-year
129
period specified in subparagraph (A) to a period of not less
than two years in the case of retirements effective during
the period beginning on the date of the enactment of this
subparagraph and ending on September 30, 1999. The
number of officers in an armed force in a grade for whom
a reduction is made during any fiscal year in the period
of service-in-grade otherwise required under this paragraph
may not exceed the number equal to two percent of the au-
thorized reserve active status strength for that fiscal year
for officers of that armed force in that grade.’’.
(b) TECHNICAL AMENDMENTS.—Such section is fur-
ther amended—
(1) in subsection (a)(2)(A), by inserting ‘‘of’’
after ‘‘reduce such period to a period’’; and
(2) in subsection (d)(1), by striking out ‘‘chapter
1225’’ and inserting in lieu thereof ‘‘chapter 1223’’.
SEC. 515. AUTHORITY TO PERMIT NON-UNIT ASSIGNED OF-
FICERS TO BE CONSIDERED BY VACANCY
PROMOTION BOARD TO GENERAL OFFICER
GRADES.
(a) CONVENING
OF SELECTION BOARDS.—Section
14101(a)(2) of title 10, United States Code, is amended by
striking out ‘‘(except in the case of a board convened to con-
sider officers as provided in section 14301(e) of this title).’’.
130
(b) ELIGIBILITY
FOR CONSIDERATION
OF CERTAIN
ARMY OFFICERS.—Section 14301 of such title is amend-
ed—
(1) by striking out subsection (e); and
(2) by redesignating subsections (f) and (g) as
subsections (e) and (f), respectively.
(c) GENERAL OFFICER PROMOTIONS.—Section 14308
of such title is amended—
(1) in subsection (e)(2), by inserting ‘‘a grade
below colonel in’’ after ‘‘(2) an officer in’’; and
(2) in subsection (g)—
(A) by inserting ‘‘or the Air Force’’ in the
first sentence after ‘‘of the Army’’ the first place
it appears;
(B) by striking out ‘‘in that grade’’ in the
first sentence and all that follows through ‘‘Sec-
retary of the Army’’ and inserting in lieu thereof
‘‘in the Army Reserve or the Air Force Reserve,
as the case may be, in that grade’’; and
(C) by striking out the second sentence.
(d) VACANCY PROMOTIONS.—Section 14315(b)(1) of
such title is amended by striking out ‘‘the duties’’ in clause
(A) and all that follows through ‘‘as a unit,’’ and inserting
in lieu thereof ‘‘duties of a general officer of the next higher
reserve grade in the Army Reserve,’’.
131
SEC. 516. GRADE REQUIREMENT FOR OFFICERS ELIGIBLE
TO SERVE ON INVOLUNTARY SEPARATION
BOARDS.
Section 14906(a)(2) of title 10, United States Code,
is amended by striking out ‘‘a grade above lieutenant colo-
nel or commander’’ and inserting in lieu thereof ‘‘the grade
of lieutenant colonel or commander or a higher grade’’.
SEC. 517. LIMITATION ON USE OF AIR FORCE RESERVE AGR
PERSONNEL FOR AIR FORCE BASE SECURITY
FUNCTIONS.
(a) LIMITATION.—The Secretary of the Air Force may
not use members of the Air Force Reserve who are AGR
personnel for the performance of force protection, base secu-
rity, or security police functions at an Air Force facility
in the United States until six months after the date on
which the Secretary submits to Congress a report on such
use of AGR personnel.
(b) MATTERS TO BE INCLUDED IN REPORT.—The re-
port under subsection (a) shall include the following:
(1) A statement of the planned scope, including
each planned location, of such use of AGR personnel
during the year in which the report is submitted and
each of the five subsequent years.
(2) A detailed rationale for, and evaluation of,
the cost effectiveness of the use of AGR personnel to
perform such functions at Air Force facilities in the
132
United States compared to the use of Department of
Defense civilian personnel or contractor personnel for
the performance of these functions at those facilities.
(3) A plan, including a cost estimate, for the re-
employment, conversion to AGR status, or retirement
of civilian employees and military technicians who
are displaced by the use of Air Force Reserve AGR
personnel to perform those functions.
(c) AGR PERSONNEL DEFINED.—For the purposes of
this section, the term ‘‘AGR personnel’’ means members of
the Air Force Reserve who are on active duty (other than
for training) in connection with organizing, administering,
recruiting, instructing, or training the Air Force Reserve.
Subtitle C—Military Technicians
SEC. 521. AUTHORITY TO RETAIN ON THE RESERVE ACTIVE-
STATUS LIST UNTIL AGE 60 MILITARY TECH-
NICIANS IN THE GRADE OF BRIGADIER GEN-
ERAL.
(a) RETENTION.—Section 14702(a) of title 10, United
States Code, is amended—
(1) by striking out ‘‘section 14506 or 14507’’ and
inserting in lieu thereof ‘‘section 14506, 14507, or
14508’’; and
(2) by striking out ‘‘or colonel’’ and inserting in
lieu thereof ‘‘colonel, or brigadier general’’.
133
(b) TECHNICAL AMENDMENT.—Section 14508(c) of
such title is amended by striking out ‘‘not later than the
date on which the officer becomes 60 years of age’’ and in-
serting in lieu thereof ‘‘not later than the last day of the
month in which the officer becomes 60 years of age’’.
SEC. 522. MILITARY TECHNICIANS (DUAL STATUS).
(a) DEFINITION.—Subsection (a) of section 10216 of
title 10, United States Code, is amended to read as follows:
‘‘(a) IN GENERAL.—(1) For purposes of this section
and any other provision of law, a military technician (dual
status) is a Federal civilian employee who—
‘‘(A) is employed under section 3101 of title 5 or
section 709 of title 32;
‘‘(B) is required as a condition of that employ-
ment to maintain membership in the Selected Re-
serve; and
‘‘(C) is assigned to a position as a technician in
the administration and training of the Selected Re-
serve or in the maintenance and repair of supplies or
equipment issued to the Selected Reserve or the armed
forces.
‘‘(2) Military technicians (dual status) shall be author-
ized and accounted for as a separate category of civilian
employees.’’.
134
(b) UNIT MEMBERSHIP AND DUAL-STATUS REQUIRE-
MENT.—Subsection (d) of such section is amended to read
as follows:
‘‘(d) UNIT MEMBERSHIP REQUIREMENT.—(1) Unless
specifically exempted by law, each individual who is hired
as a military technician (dual status) after December 1,
1995, shall be required as a condition of that employment
to maintain membership in—
‘‘(A) the unit of the Selected Reserve by which
the individual is employed as a military technician;
or
‘‘(B) a unit of the Selected Reserve that the indi-
vidual is employed as a military technician to sup-
port.
‘‘(2) Paragraph (1) does not apply to a military tech-
nician (dual status) who is employed by the Army Reserve
in an area other than Army Reserve troop program units.
‘‘(e) DUAL-STATUS REQUIREMENT.—(1) Funds appro-
priated for the Department of Defense may not (except as
provided in paragraph (2)) be used for compensation as a
military technician of any individual hired as a military
technician after February 10, 1996, who is no longer a
member of the Selected Reserve.
‘‘(2) The Secretary concerned may pay compensation
described in paragraph (1) to an individual described in
135
that paragraph who is no longer a member of the Selected
Reserve for a period not to exceed six months following the
individual’s loss of membership in the Selected Reserve if
the Secretary determines such loss of membership was not
due to the failure of that individual to meet military stand-
ards.’’.
(c) 
NATIONAL
GUARD
DUAL-STATUS
REQUIRE-
MENT.—Section 709(b) of title 32, United States Code, is
amended by striking out ‘‘Except as prescribed by the Sec-
retary concerned, a technician’’ and inserting in lieu there-
of ‘‘A technician’’.
(d) PLAN FOR CLARIFICATION OF STATUTORY AU-
THORITY OF MILITARY TECHNICIANS.—(1) The Secretary
of Defense shall submit to Congress, as part of the budget
justification materials submitted in support of the budget
for the Department of Defense for fiscal year 1999, a legisla-
tive proposal to provide statutory authority and clarifica-
tion under title 5, United States Code—
(A) for the hiring, management, promotion, sep-
aration, and retirement of military technicians who
are employed in support of units of the Army Reserve
or Air Force Reserve; and
(B) for the transition to the competitive service
of an individual who is hired as military technician
in support of a unit of the Army Reserve or Air Force
136
Reserve and who (as determined by the Secretary con-
cerned) fails to maintain membership in the Selected
Reserve through no fault of the individual.
(2) The legislative proposal under paragraph (1) shall
be developed in consultation with the Director of the Office
of Personnel Management.
(e) CONFORMING REPEAL.—Section 8106 of Public
Law 104–61 (109 Stat. 654; 10 U.S.C. 10101 note) is re-
pealed.
(f) 
CROSS-REFERENCE
CORRECTIONS.—Section
10216(c)(1) of title 10, United States Code, is amended by
striking out ‘‘subsection (a)(1)’’ in subparagraphs (A), (B),
(C), and (D) and inserting in lieu thereof ‘‘subsection
(b)(1)’’.
(g) CONFORMING AMENDMENTS TO SECTION 10216.—
Section 10216 of title 10, United States Code, is further
amended as follows:
(1) The heading of subsection (b) is amended by
inserting ‘‘(DUAL STATUS)’’ after ‘‘MILITARY TECH-
NICIANS’’.
(2) Subsection (b)(1) is amended—
(A) by inserting ‘‘(dual status)’’ after ‘‘for
military technicians’’;
137
(B) by striking out ‘‘dual status military
technicians’’ and inserting in lieu thereof ‘‘mili-
tary technicians (dual status)’’;
(C) by inserting ‘‘(dual status)’’ after ‘‘mili-
tary technicians’’ in subparagraph (C).
(3) Subsection (b)(2) is amended by inserting
‘‘(dual status)’’ after ‘‘military technicians’’ both
places it appears.
(4) Subsection (b)(3) is amended by inserting
‘‘(dual status)’’ after ‘‘Military technician’’.
(5) Subsection (c) is amended—
(A) in the matter preceding paragraph
(1)(A), by inserting ‘‘(dual status)’’ after ‘‘mili-
tary technicians’’;
(B) in paragraph (1), by striking out ‘‘dual
status technicians’’ in subparagraphs (A), (B),
(C), and (D) and inserting in lieu thereof ‘‘mili-
tary technicians (dual status)’’;
(C) in paragraph (2)(A), by inserting
‘‘(dual status)’’ after ‘‘military technician’’; and
(D) in paragraph (2)(B), by striking out
‘‘delineate—’’ and all that follows through ‘‘or
other reasons’’ in clause (ii) and inserting in
lieu thereof ‘‘delineate the specific force structure
reductions’’.
138
(h) CLERICAL AMENDMENTS.—(1) The heading of sec-
tion 10216 of such title is amended to read as follows:
‘‘§ 10216. Military technicians (dual status)’’.
(2) The item relating to such section in the table of
sections at the beginning of chapter 1007 of such title is
amended to read as follows:
‘‘10216. Military technicians (dual status).’’.
(i) OTHER CONFORMING AMENDMENTS.—(1) Section
115(g) of such title is amended by inserting ‘‘(dual status)’’
in the first sentence after ‘‘military technicians’’ and in the
second sentence after ‘‘military technician’’.
(2) Section 115a(h) of such title is amended—
(A) by inserting ‘‘(displayed in the aggregate
and separately for military technicians (dual status)
and non-dual status military technicians)’’ in the
matter preceding paragraph (1) after ‘‘of the follow-
ing’’; and
(B) by striking out paragraph (3).
SEC. 523. NON-DUAL STATUS MILITARY TECHNICIANS.
(a) IN GENERAL.—(1) Chapter 1007 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 10217. Non-dual status military technicians
‘‘(a) DEFINITION.—For the purposes of this section
and any other provision of law, a non-dual status military
139
technician is a civilian employee of the Department of De-
fense who—
‘‘(1) was hired as a military technician before
the date of the enactment of the National Defense Au-
thorization Act for Fiscal Year 1998 under any of the
authorities specified in subsection (d); and
‘‘(2) as of the date of the enactment of that Act
is not a member of the Selected Reserve or after such
date ceases to be a member of the Selected Reserve.
‘‘(b) FISCAL YEAR 1998 LIMITATION.—As of Septem-
ber 30 1998, the number of civilian employees of a military
department who are non-dual status military technicians
may not exceed the following:
‘‘(1) For the Army Reserve, 1,200.
‘‘(2) For the Army National Guard of the United
States, 2,260.
‘‘(3) For the Air Force Reserve, 0.
‘‘(4) For the Air National Guard of the United
States, 395.
‘‘(c) REDUCTIONS FOR FUTURE YEARS.—For each of
the 10 fiscal years beginning with fiscal year 1999, the Sec-
retary of the military department concerned shall reduce
the number of non-dual status military technicians under
the jurisdiction of that Secretary, as of the end of that fiscal
140
year, from the authorized number for the preceding fiscal
year by not less—
‘‘(1) 120, for the Army Reserve;
‘‘(2) 226, for the Army National Guard of the
United States; and
‘‘(3) 39, for the Air National Guard of the Unit-
ed States.
‘‘(d) EMPLOYMENT AUTHORITIES.—The authorities re-
ferred to in subsection (a) are the following:
‘‘(1) Section 10216 of this title.
‘‘(2) Section 709 of title 32.
‘‘(3) The requirements referred to in section 8401
of title 5.
‘‘(4) Section 8016 of the Department of Defense
Appropriations Act, 1996 (Public Law 104–61; 109
Stat. 654), and any comparable provision provided
on an annual basis in the Department of Defense Ap-
propriations Acts for fiscal years 1984 through 1995.
‘‘(5) Any memorandum of agreement between the
Department of Defense and the Office of Personnel
Management providing for the hiring of military
technicians.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘10217. Non-dual status military technicians.’’.
141
(b) PLAN FOR NON-DUAL STATUS TECHNICIANS.—Not
later than March 31, 1998, the Secretary of Defense shall
submit to Congress a report setting forth recommendations
of the Secretary (including proposals for such legislative
changes as may be necessary to implement the recommenda-
tions of the Secretary) for eliminating non-dual status mili-
tary technician positions. In developing the plan, the Sec-
retary shall consider (among other alternatives) the feasibil-
ity and cost of each of the following:
(1) Elimination or consolidation of functions
and positions.
(2) Contracting for performance by contractor
personnel of functions currently performed by person-
nel in those positions.
(3) Conversion of those technicians and posi-
tions, in the case of technicians of the Army National
Guard of the United States or the Air National
Guard of the United States, to State employment and
positions or competitive service employment positions
under title 5, United States Code.
(4) Conversion of those technicians or positions
to employment and positions in the competitive serv-
ice under title 5, United States Code, in the case of
technicians of the Army Reserve.
142
(5) Use of incentives to facilitate the reductions
required under subsection (c) of section 10217 of title
10, United States Code, as added by subsection (a).
Subtitle D—Measures To Improve
Recruit Quality and Reduce Re-
cruit Attrition
SEC. 531. REFORM OF MILITARY RECRUITING SYSTEMS.
(a) IN GENERAL.—The Secretary of Defense shall
carry out reforms in the recruiting systems of the Army,
Navy, Air Force, and Marine Corps in order to improve
the quality of new recruits and to reduce attrition among
recruits.
(b) SPECIFIC REFORMS.—As part of the reforms in
military recruiting systems to be undertaken under sub-
section (a), the Secretary shall take the following steps:
(1) Improve the system of separation codes used
for recruits who are separated during recruit training
by (A) revising and updating those codes to allow
more accurate and useful data collection about those
separations, and (B) prescribing regulations to ensure
that those codes are interpreted in a uniform manner
by the military services.
(2) Develop a reliable database for (A) analyzing
service-wide data on reasons for attrition of new re-
143
cruits, and (B) undertaking service-wide measures to
control and manage such attrition.
(3) Require that the Secretary of each military
department (A) adopt or strengthen incentives for re-
cruiters to thoroughly prescreen potential candidates
for recruitment, and (B) link incentives for recruiters,
in part, to the ability of a recruiter to screen out un-
qualified candidates before enlistment.
(4) Require that the Secretary of each military
department include as a measurement of recruiter
performance the percentage of persons enlisted by a
recruiter who complete initial combat training or
basic training.
(5) Assess trends in the number and use of waiv-
ers over the 1991–1997 period that were issued to per-
mit applicants to enlist with medical or other condi-
tions that would otherwise be disqualifying.
(6) Require the Secretary of each military de-
partment to implement policies and procedures (A) to
ensure the prompt separation of recruits who are un-
able to successfully complete basic training, and (B)
to remove those recruits from the training environ-
ment while separation proceedings are pending.
(c) REPORT.—The Secretary shall submit to Congress
a report of the trends assessed under subsection (b)(5). The
144
information on those trends provided in the report shall be
shown by armed force and by category of waiver. The report
shall include recommendations of the Secretary for chang-
ing, revising, or limiting the use of waivers referred to in
that subsection and shall be submitted not later than March
31, 1998.
SEC. 532. IMPROVEMENTS IN MEDICAL PRESCREENING OF
APPLICANTS FOR MILITARY SERVICE.
(a) IN GENERAL.—The Secretary of Defense shall im-
prove the medical prescreening of applicants for entrance
into the Army, Navy, Air Force, or Marine Corps.
(b) SPECIFIC STEPS.—As part of those improvements,
the Secretary shall take the following steps:
(1) Require that each applicant for service in the
Army, Navy, Air Force, or Marine Corps (A) provide
to the Secretary the name of the applicant’s medical
insurer and the names of past medical providers, and
(B) sign a release allowing the Secretary to request
and obtain medical records of the applicant.
(2) Require that the forms and procedures for
medical prescreening of applicants that are used by
recruiters and by Military Entrance Processing Com-
mands be revised so as to ensure that medical ques-
tions are specific, unambiguous, and tied directly to
145
the types of medical separations most common for re-
cruits during basic training and follow-on training.
(3) Add medical screening tests to the examina-
tions of recruits carried out by Military Entrance
Processing Station, provide more thorough medical
examinations to selected groups of applicants, or both,
to the extent that the Secretary determines that to do
so could be cost effective in reducing attrition at basic
training.
(4) Assign the responsibility for evaluating medi-
cal conditions of a recruit that are missed during ac-
cession processing to an agency or contractor other
than the Military Entrance Processing Command
which carried out the accession processing of that re-
cruit (such command being the organization respon-
sible for accession medical exams).
(5) Require that the Secretary of each military
department test an applicant for entrance into the
Armed Forces for use of illegal drugs at the Military
Entrance Processing Station which carries out the ac-
cession processing of that recruit (in addition to any
subsequent drug testing that may be required).
146
SEC. 533. IMPROVEMENTS IN PHYSICAL FITNESS OF RE-
CRUITS.
(a) IN GENERAL.—The Secretary of Defense shall take
steps to improve the physical fitness of recruits before they
enter basic training.
(b) SPECIFIC STEPS.—As part of those improvements,
the Secretary shall take the following steps:
(1) Direct the Secretary of each military depart-
ment to implement programs under which new re-
cruits who are in the Delayed Entry Program are en-
couraged to participate in physical fitness activities
before reporting to basic training.
(2) Develop a range of incentives for new re-
cruits to participate in physical fitness programs, as
well as for those recruits who improve their level of
fitness while in the Delayed Entry Program, which
may include the use of monetary or other incentives,
access to Department of Defense military fitness fa-
cilities, and access to military medical facilities in
the case of a recruit who is injured while participat-
ing in physical activities with recruiters or other
military personnel.
(3) Evaluate whether partnerships between re-
cruiters and reserve components, or other innovative
arrangements, could provide a pool of qualified per-
sonnel to assist in the conduct of physical training
147
programs for new recruits in the Delayed Entry Pro-
gram.
Subtitle E—Military Education and
Training
SEC. 541. INDEPENDENT PANEL TO REVIEW MILITARY
BASIC TRAINING.
(a) ESTABLISHMENT.—There is hereby established a
panel to review the basic training programs of the Army,
Navy, Air Force, and Marine Corps and to make rec-
ommendations on improvements to those programs.
(b) COMPOSITION.—(1) The panel shall be composed
of seven members, appointed as follows:
(A) Three members shall be appointed jointly by
the chairman and ranking minority party member of
the Committee on National Security of the House of
Representatives.
(B) Three members shall be appointed jointly by
the chairman and ranking minority party member of
the Committee on Armed Services of the Senate.
(C) One member shall be appointed by the Sec-
retary of Defense.
(2) The members of the panel shall choose one of the
members to chair the panel.
148
(c) QUALIFICATIONS.—Members of the panel shall be
appointed from among private United States citizens with
knowledge and expertise in one or more of the following:
(1) Training of military personnel.
(2) Social and cultural matters affecting en-
trance into the Armed Forces and affecting military
service, military training, and military readiness,
such knowledge and expertise to have been gained
through recognized research, policy making and prac-
tical experience, as demonstrated by retired military
personnel, representatives from educational organiza-
tions, and leaders from civilian industry and other
Government agencies.
(3) Factors that define appropriate military job
qualifications, including physical, mental, and edu-
cational factors.
(4) Combat or other theater of war operations.
(d) PANEL FUNCTIONS RELATING TO BASIC TRAINING
PROGRAMS GENERALLY.—The panel shall review the course
objectives, structure, and length of the basic training pro-
grams of the Army, Navy, Air Force, and Marine Corps.
As part of that review, the panel shall (with respect to each
of those services) take the following measures:
149
(1) Determine the current end-state objectives es-
tablished for graduates of basic training, particularly
in regard to—
(A) physical conditioning;
(B) technical and physical skills pro-
ficiency;
(C) knowledge;
(D) military socialization, including the in-
culcation of service values and attitudes; and
(E) basic combat operational requirements.
(2) Assess whether those current end-state objec-
tives, and basic training itself, should be modified (in
structure, length, focus, program of instruction, train-
ing methods or otherwise) based, in part, on the fol-
lowing:
(A) An assessment of the perspectives of
operational units on the quality and qualifica-
tions of the initial entry training graduates
being assigned to those units, considering in par-
ticular whether the basic training system pro-
duces graduates who arrive in operational units
with an appropriate level of skills, physical con-
ditioning, and degree of military socialization to
meet unit requirements and needs.
150
(B) An assessment of the demographics,
backgrounds, attitudes, experience, and physical
fitness of new recruits entering basic training,
considering in particular the question of wheth-
er, given the entry level demographics, education,
and background of new recruits, the basic train-
ing systems and objectives are most efficiently
and effectively structured and conducted to
produce graduates who meet service needs.
(C) An assessment of the perspectives of per-
sonnel who conduct basic training with regard to
measures required to improve basic training.
(e) PANEL FUNCTIONS RELATING TO GENDER-INTE-
GRATED AND GENDER-SEGREGATED BASIC TRAINING.—
The panel shall review the basic training policies of each
of the Army, Navy, Air Force, and Marine Corps with re-
gard to gender-integrated and gender-segregated basic
training. As part of that review, the panel shall (with re-
spect to each of those services) take the following measures:
(1) Determine the historical rationales for the es-
tablishment and disestablishment of gender-integrated
or gender-segregated basic training.
(2) Examine the current rationales for the use of
gender-integrated or gender-segregated basic training
and, as part of such examination, evaluate whether at
151
the time any of the services made a decision to inte-
grate, or to segregate, basic training by gender, the
Secretary of the military department concerned had
substantive reason to believe, or has since developed
data to support, any of the following:
(A) That gender-integrated basic training,
or gender-segregated basic training, improves the
readiness or performance of operational units
(B) That the entry level of new recruits
with regard to physical condition, attitudes, and
values is so different from that required and ex-
pected in the military services in general, and in
operational units in particular, that an intense
period of focused training is required, free from
the additional challenges of training males and
females together.
(C) That a significant percentage of women
entering basic training experienced sexual abuse
or assault before entering military service and
that gender-segregated basic training (with
same-sex drill instructors) provides the best op-
portunity for such women to have positive mili-
tary female role models as mentors and to enter
gender-integrated operational forces from a posi-
tion of confidence, strength, and knowledge.
152
(3) Assess whether the concept of ‘‘training as
you will fight’’ is a valid rationale for gender-inte-
grated basic training or whether the training require-
ments and objectives for basic training are suffi-
ciently different from those of operational unit so that
such concept, when balanced against other factors re-
lating to basic training, might not be a sufficient ra-
tionale for gender-integrated basic training.
(4) Assess the degree to which different standards
have been established, or if not established are in fact
being implemented, for males and females in basic
training for matters such as physical fitness, physical
performance (such as confidence and obstacle courses),
military skills (such as marksmanship and hand-gre-
nade qualifications), and nonphysical tasks required
of individuals and, to the degree that differing stand-
ards exist or are in fact being implemented, assess the
effect of the use of those differing standards.
(5) Assess the degree to which performance
standards in basic training are based on military
readiness.
(6) Review Department of Defense and military
department efforts to objectively measure or evaluate
the effectiveness of gender-integrated basic training, as
compared to gender-segregated basic training, par-
153
ticularly with regard to the adequacy and scope of the
efforts and with regard to the relevancy of findings to
operational unit requirements.
(7) Compare the pattern of attrition in gender-
integrated basic training units with the pattern of at-
trition in gender-segregated basic training units and
assess the relevancy of the findings of such compari-
son.
(8) Compare the level of readiness and morale of
gender-integrated basic training units with the level
of readiness and morale of gender-segregated units
and assess the relevancy of the findings of such com-
parison.
(f) RECOMMENDATIONS.—The panel shall prepare—
(1) an evaluation of gender-integrated and gen-
der-segregated basic training programs, based upon
the review under subsection (e); and
(2) recommendations for such changes to the cur-
rent system of basic training as the panel considers
warranted.
(g) REPORTS.—(1) Not later than six months after the
members of the panel are appointed, the panel shall submit
an interim report on its findings and conclusions to the
Secretary of Defense.
154
(2) Not later than one year after establishment of the
panel, the panel shall submit a final report to the Secretary
of Defense. The final report shall include recommendations
for legislative and administrative changes to basic training
programs to improve the readiness and performance of ini-
tial entry training graduates and to reduce attrition, both
during training and in the first term of enlistment.
(h) SUBMISSION OF REPORTS TO CONGRESS.—Not
later than one month after receipt of the panel’s interim
report and one month after receipt of the panel’s final re-
port, the Secretary of Defense shall submit the report to
Congress together with the views of the Secretary regarding
the report and the matter covered in the report.
(i) PAY
AND EXPENSES
OF MEMBERS.—(1) Each
member of the panel who is not an employee of the Govern-
ment shall be paid at a rate equal to the daily equivalent
of the annual rate of basic pay payable for level IV of the
Executive Schedule under section 5315 of title 5, United
States Code, for each day (including travel time) during
which the member is engaged in the performance of the du-
ties of the panel.
(2) The members of the panel shall be allowed travel
expenses, including per diem in lieu of subsistence, at rates
authorized for employees of agencies under subchapter I of
chapter 57 of title 5, United States Code, while away from
155
their homes or regular places of business in the performance
of services for the panel.
(j) ADMINISTRATIVE SUPPORT.—(1) Upon the request
of the chairman of the panel, the Secretary of Defense may
detail to the panel, on a nonreimbursable basis, personnel
of the Department of Defense to assist the panel in carrying
out its duties.
(2) The Secretary of Defense shall furnish to the panel
such administrative and support services as may be re-
quested by the chairman of the panel.
(k) FUNDING.—The Secretary of Defense shall, upon
the request of the panel, make available to the panel such
amounts as the panel may require to carry out its duties
under this title.
(l) TERMINATION OF THE PANEL.—The panel shall
terminate 60 days after the date on which it submits its
final report under subsection (g).
(m) SUBSEQUENT CONSIDERATION BY CONGRESS.—
After submission of the final report of the panel to Congress,
the Congress shall, based upon the results of the study (and
such other matters as Congress considers appropriate), con-
sider whether to require by law that the Secretaries of the
military departments conduct basic training on a gender-
segregated basis.
156
SEC. 542. REFORM OF ARMY DRILL SERGEANT SELECTION
AND TRAINING PROCESS.
(a) IN GENERAL.—The Secretary of the Army shall re-
form the process for selection and training of drill sergeants
for the Army.
(b) MEASURES TO BE TAKEN.—As part of such re-
form, the Secretary shall undertake the following measures
(unless, in the case of any such measure, the Secretary de-
termines that that measure would not result in improved
effectiveness and efficiency in the drill sergeant selection
and training process):
(1) Review the overall process used by the De-
partment of the Army for selection of drill sergeants
to determine—
(A) if that process is providing drill ser-
geant candidates in sufficient quantity and qual-
ity to meet the needs of the training system; and
(B) whether duty as a drill sergeant is a ca-
reer-enhancing assignment (or is seen by poten-
tial drill sergeant candidates as a career-enhanc-
ing assignment) and what steps could be taken
to ensure that such duty is in fact a career-en-
hancing assignment.
(2) Incorporate into the selection process for all
drill sergeants the views and recommendations of the
officers and senior noncommissioned officers in the
157
chain of command of each candidate for selection
(particularly those of senior noncommissioned offi-
cers) regarding the candidate’s suitability and quali-
fications to be a drill sergeant.
(3) Establish a requirement for psychological
screening for each drill sergeant candidate.
(4) Reform the psychological screening process
for drill sergeant candidates to improve the quality,
depth, and rigor of that screening process.
(5) Revise the evaluation system for drill ser-
geants in training to provide for a so-called ‘‘whole
person’’ assessment that gives insight into the quali-
fications and suitability of a drill sergeant candidate
beyond the candidate’s ability to accomplish required
performance tasks.
(6) Revise the Army military personnel records
system so that, under specified conditions and cir-
cumstances, a drill sergeant trainee who fails to com-
plete the training to be a drill sergeant and is denied
graduation will not have the fact of that failure re-
corded in those records. The conditions and cir-
cumstances under which the authority provided in the
preceding sentence may be shall be prescribed by the
Secretary in regulations.
158
(7) Provide each drill sergeant in training with
the opportunity, before or during that training, to
work with new recruits in initial entry training and
to be evaluated on that opportunity.
(c) REPORT.—Not later than March 31, 1998, the Sec-
retary shall submit to the Committee on National Security
of the House of Representatives and the Committee on
Armed Services of the Senate a report of the reforms adopt-
ed pursuant to this section or, in the case of any measure
specified in any of paragraphs (1) through (7) of subsection
(b) that was not adopted, the rationale why that measure
was not adopted.
SEC. 543. REQUIREMENT FOR CANDIDATES FOR ADMISSION
TO UNITED STATES NAVAL ACADEMY TO
TAKE OATH OF ALLEGIANCE.
(a) REQUIREMENT.—Section 6958 of title 10, United
States Code, is amended by adding at the end the following
new subsection:
‘‘(d) To be admitted to the Naval Academy, an ap-
pointee must take and subscribe to an oath prescribed by
the Secretary of the Navy. If a candidate for admission re-
fuses to take and subscribe to the prescribed oath, the can-
didate’s appointment is terminated.’’.
159
(b) EXCEPTION
FOR MIDSHIPMEN FROM FOREIGN
COUNTRIES.—Section 6957 of such title is amended by add-
ing at the end the following new subsection:
‘‘(d) A person receiving instruction under this section
is not subject to section 6958(d) of this title.’’.
SEC. 544. REIMBURSEMENT OF EXPENSES INCURRED FOR
INSTRUCTION AT SERVICE ACADEMIES OF
PERSONS FROM FOREIGN COUNTRIES.
(a) UNITED STATES MILITARY ACADEMY.—Section
4344(b) of title 10, United States Code, is amended—
(1) in paragraph (2), by striking out the period
at the end and inserting in lieu thereof the following:
‘‘, except that the reimbursement rates may not be less
than the cost to the United States of providing such
instruction, including pay, allowances, and emolu-
ments, to a cadet appointed from the United States.’’;
and
(2) by adding at the end the following new para-
graph:
‘‘(3) The amount of reimbursement waived under
paragraph (2) may not exceed 25 percent of the per-person
reimbursement amount otherwise required to be paid by a
foreign country under such paragraph, except in the case
of not more than five persons receiving instruction at the
Academy under this section at any one time.’’.
160
(b) NAVAL ACADEMY.—Section 6957(b) of such title is
amended—
(1) in paragraph (2), by striking out the period
at the end and inserting in lieu thereof the following:
‘‘, except that the reimbursement rates may not be less
than the cost to the United States of providing such
instruction, including pay, allowances, and emolu-
ments, to a midshipman appointed from the United
States.’’; and
(2) by adding at the end the following new para-
graph:
‘‘(3) The amount of reimbursement waived under
paragraph (2) may not exceed 25 percent of the per-person
reimbursement amount otherwise required to be paid by a
foreign country under such paragraph, except in the case
of not more than five persons receiving instruction at the
Naval Academy under this section at any one time.’’.
(c) AIR FORCE ACADEMY.—Section 9344(b) of such
title is amended—
(1) in paragraph (2), by striking out the period
at the end and inserting in lieu thereof the following:
‘‘, except that the reimbursement rates may not be less
than the cost to the United States of providing such
instruction, including pay, allowances, and emolu-
161
ments, to a cadet appointed from the United States.’’;
and
(2) by adding at the end the following new para-
graph:
‘‘(3) The amount of reimbursement waived under
paragraph (2) may not exceed 25 percent of the per-person
reimbursement amount otherwise required to be paid by a
foreign country under such paragraph, except in the case
of not more than five persons receiving instruction at the
Academy under this section at any one time.’’.
SEC. 545. UNITED STATES NAVAL POSTGRADUATE SCHOOL.
(a) AUTHORITY TO ADMIT ENLISTED MEMBERS AS
STUDENTS.—Section 7045 of title 10, United States Code,
is amended—
(1) in subsection (a)—
(A) by inserting ‘‘(1)’’ after ‘‘(a)’’; and
(B) by adding at the end the following new
paragraph:
‘‘(2) The Secretary may permit an enlisted member
of the armed forces who is assigned to the Naval Post-
graduate School or to a nearby command to receive instruc-
tion at the Naval Postgraduate School. Admission of en-
listed members for instruction under this paragraph shall
be on a space-available basis.’’;
(2) in subsection (b)—
162
(A) by striking out ‘‘the students’’ and in-
serting in lieu thereof ‘‘officers’’; and
(B) by adding at the end the following new
sentence: ‘‘In the case of an enlisted member per-
mitted to receive instruction at the Postgraduate
School, the Secretary of the Navy shall charge
that member only for such costs and fees as the
Secretary considers appropriate (taking into
consideration the admission of enlisted members
on a space-available basis).’’; and
(3) in subsection (c)—
(A) by striking out ‘‘officers’’ both places it
appears and inserting in lieu thereof ‘‘members’’;
and
(B) by striking out ‘‘the same regulations’’
and inserting in lieu thereof ‘‘regulations, as de-
termined appropriate by the Secretary of the
Navy,’’.
(b) EXPANSION OF AUTHORITY TO ADMIT CIVILIANS
AS STUDENTS.—Section 7047 of such title is amended to
read as follows:
‘‘§ 7047. Civilian students at institutions of higher
education: admission
‘‘(a) ADMISSION
ON
TUITION-FREE, EXCHANGE
BASIS.—(1) The Secretary of the Navy may enter into an
163
agreement with an accredited institution of higher edu-
cation (or a consortium of such institutions) under which
students described in subsection (c) who are enrolled at that
institution (or an institution in such consortium) are per-
mitted to receive instruction at the Naval Postgraduate
School on a space-available, tuition-free basis in exchange
for which the institution of higher education (or each insti-
tution in the consortium) agrees to enroll, on a tuition-free
basis, officers of the armed forces or other persons properly
admitted for instruction at the Naval Postgraduate School.
‘‘(2) Exchange of students under paragraph (1) need
not be on a one-for-one basis.
‘‘(3) An exchange under such an agreement shall be
on the basis of in-kind reimbursement, with the total value
of the instruction provided during a year by the Naval Post-
graduate School to civilian students from the institutions
that are parties to the agreement being at least as great
as the value of instruction provided by those institutions
to students from the Naval Postgraduate School.
‘‘(4) In determining the value of the in-kind reim-
bursement for the instruction provided by the Naval Post-
graduate School, the Secretary shall use the same amount
charged by the Secretary for the provision of the same in-
struction to a Federal employee who is not a Department
of Defense employee.