167
‘‘(2) In determining whether a member meets the eligi-
bility criteria under paragraph (1), the Secretary—
‘‘(A) shall not take into consideration the
amount of the supplemental subsistence allowance
payable under this section; but
‘‘(B) shall take into consideration the amount of
the basic allowance for housing that the member re-
ceives under section 403 of this title or would other-
wise receive under such section, in the case of a mem-
ber who is not entitled to that allowance as a result
of assignment to quarters of the United States or a
housing facility under the jurisdiction of a uniformed
service.
‘‘(c) APPLICATION FOR ALLOWANCE.—To request the
supplemental subsistence allowance, a member shall submit
an application to the Secretary concerned in such form and
containing such information as the Secretary concerned
may prescribe. A member applying for the supplemental
subsistence allowance shall furnish such evidence regarding
the member’s satisfaction of the eligibility criteria under
subsection (b) as the Secretary concerned may require.
‘‘(d) EFFECTIVE PERIOD.—The eligibility of a member
to receive the supplemental subsistence allowance terminates
upon the occurrence of any of the following events, even
168
though the member continues to meet the eligibility criteria
described in subsection (b):
‘‘(1) Payment of the supplemental subsistence al-
lowance for 12 consecutive months.
‘‘(2) Promotion of the member to a higher grade.
‘‘(3) Transfer of the member in a permanent
change of station.
‘‘(e) REAPPLICATION.—Upon the termination of the ef-
fective period of the supplemental subsistence allowance for
a member, or in anticipation of the imminent termination
of the allowance, a member may reapply for the allowance
under subsection (c) if the member continues to meet, or
once again meets, the eligibility criteria described in sub-
section (b).
‘‘(f) REPORTING
REQUIREMENT.—Not later than
March 1 of each year after 2001, the Secretary of Defense
shall submit to Congress a report specifying the number of
members of the armed forces who received, at any time dur-
ing the preceding year, the supplemental subsistence allow-
ance. In preparing the report, the Secretary of Defense shall
consult with the Secretary of Transportation. No report is
required under this subsection after March 1, 2006.
‘‘(g) DEFINITIONS.—In this section:
‘‘(1) The term ‘Secretary concerned’ means the
Secretary of Defense, and the Secretary of Transpor-
169
tation, with respect to the Coast Guard when it is not
operating as a service in the Navy.
‘‘(2) The terms ‘allotment’ and ‘household’ have
the meanings given those terms in section 3 of the
Food Stamp Act of 1977 (7 U.S.C. 2012).
‘‘(3) The term ‘food stamp program’ means the
program established pursuant to section 4 of the Food
Stamp Act of 1977 (7 U.S.C. 2013).
‘‘(h) TERMINATION OF AUTHORITY.—No supplemental
subsistence allowance may be made under this section after
September 30, 2006.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
402 the following:
‘‘402a. Supplemental subsistence allowance for low-income members with depend-
ents.’’.
(b) EFFECTIVE DATE.—Section 402a of title 37,
United States Code, as added by subsection (a), shall take
effect on the first day of the first month that begins not
less than 180 days after the date of the enactment of this
Act.
SEC. 604. CALCULATION OF BASIC ALLOWANCE FOR HOUS-
ING FOR INSIDE THE UNITED STATES.
(a) 
SECRETARY
OF
DEFENSE
TO
PRESCRIBE
RATES.—Paragraph (2) of section 403(b) of title 37, United
States Code, is amended to read as follows:
170
‘‘(2) The Secretary of Defense shall prescribe the
monthly amount of the basic allowance for housing for a
member of a uniformed service who is entitled to the allow-
ance in a military housing area in the United States at
a rate based upon the costs of adequate housing in the area
determined under paragraph (1).’’.
(b) MINIMUM
ANNUAL
AMOUNT
AVAILABLE
FOR
HOUSING ALLOWANCES.—Paragraph (3) of such section is
amended to read as follows:
‘‘(3) The total amount that may be paid for a fiscal
year for the basic allowance for housing under this sub-
section may not be less than the product of—
‘‘(A) the total amount authorized to be paid for
such allowance for the preceding fiscal year; and
‘‘(B) a fraction—
‘‘(i) the numerator of which is the index of
the national average monthly cost of housing for
June of the preceding fiscal year; and
‘‘(ii) the denominator of which is the index
of the national average monthly cost of housing
for June of the second preceding fiscal year.’’.
(c) REPEAL OF REQUIRED ADJUSTMENT.—Paragraph
(5) of such section is repealed.
(d) BASIS
FOR REDUCTION
IN MEMBER’S ALLOW-
ANCE.—Paragraph (6) of such section is amended by strik-
171
ing ‘‘, changes in the national average monthly cost of hous-
ing,’’.
(e) EXTENSION
OF TRANSITION PERIOD.—Section
603(b) of the National Defense Authorization Act for Fiscal
Year 1998 (Public Law 105–85; 37 U.S.C. 403 note) is
amended by striking ‘‘six years’’ and inserting ‘‘eight
years’’.
(f) READJUSTMENT OF ALLOWANCE FOR CERTAIN PE-
RIOD.—A member of the uniformed services who was enti-
tled to the basic allowance for housing for a military hous-
ing area in the United States during the period that began
on January 1, 2000, and ended on March 1, 2000, shall
be paid the allowance at a monthly rate not less than the
rate in effect on December 31, 1999, in that area for mem-
bers serving in the same pay grade and with the same de-
pendency status as the member.
SEC. 605. EQUITABLE TREATMENT OF JUNIOR ENLISTED
MEMBERS IN COMPUTATION OF BASIC AL-
LOWANCE FOR HOUSING.
(a) DETERMINATION OF COSTS OF ADEQUATE HOUS-
ING.—Subsection (b)(1) of section 403 of title 37, United
States Code, is amended by adding at the end the following
new sentence: ‘‘In determining what constitutes adequate
housing for members, the Secretary may not differentiate
172
between members with dependents in pay grades E–1
through E–4.’’.
(b) SINGLE RATE; MINIMUM.—Subsection (b) of such
section, as amended by section 604(c) of this Act, is further
amended by inserting after paragraph (4) the following new
paragraph:
‘‘(5) The Secretary shall establish a single monthly
rate for members of the uniformed services with dependents
in pay grades E–1 through E–4 in the same military hous-
ing area. The rate shall be consistent with the rates paid
to members in pay grades other than pay grades E–1
through E–4 and shall be based on the following:
‘‘(A) The average cost of a two-bedroom apart-
ment in that military housing area.
‘‘(B) One-half of the difference between the aver-
age cost of a two-bedroom townhouse in that area and
the amount determined in subparagraph (A).’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on July 1, 2001.
SEC. 606. BASIC ALLOWANCE FOR HOUSING AUTHORIZED
FOR ADDITIONAL MEMBERS WITHOUT DE-
PENDENTS WHO ARE ON SEA DUTY.
(a) PAYMENT AUTHORIZED.—Subsection (f)(2)(B) of
section 403 of title 37, United States Code, is amended by
173
striking ‘‘E–5’’ both places it appears and inserting ‘‘E–
4 or E–5’’.
(b) CONFORMING AMENDMENT.—Subsection (m)(1)(B)
of such section is amended by striking ‘‘E–4’’ and inserting
‘‘E–3’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2001.
SEC. 607. PERSONAL MONEY ALLOWANCE FOR SENIOR EN-
LISTED MEMBERS OF THE ARMED FORCES.
(a) AUTHORITY.—Section 414 of title 37, United
States Code, is amended by adding at the end the following
new subsection:
‘‘(c) ALLOWANCE FOR SENIOR ENLISTED MEMBERS.—
In addition to other pay or allowances authorized by this
title, a noncommissioned officer is entitled to a personal
money allowance of $2,000 a year while serving as the Ser-
geant Major of the Army, the Master Chief Petty Officer
of the Navy, the Chief Master Sergeant of the Air Force,
the Sergeant Major of the Marine Corps, or the Master Chief
Petty Officer of the Coast Guard.’’.
(b) STYLISTIC AMENDMENTS.—Such section is further
amended—
(1) in subsection (a), by inserting ‘‘ALLOWANCE
FOR OFFICERS SERVING IN CERTAIN RANKS OR POSI-
TIONS.—’’ after ‘‘(a)’’; and
174
(2) in subsection (b), by inserting ‘‘ALLOWANCE
FOR CERTAIN NAVAL OFFICERS.—’’ after ‘‘(b)’’.
(b) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2000.
SEC. 608. ALLOWANCE FOR OFFICERS FOR PURCHASE OF
REQUIRED UNIFORMS AND EQUIPMENT.
(a) INITIAL ALLOWANCE
FOR OFFICERS.—Section
415(a) of title 37, United States Code, is amended by strik-
ing ‘‘$200’’ and inserting ‘‘$400’’.
(b) ADDITIONAL ALLOWANCE.—Section 416(a) of such
title is amended by striking ‘‘$100’’ and inserting ‘‘$200’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2000.
SEC. 609. INCREASE IN MONTHLY SUBSISTENCE ALLOW-
ANCE FOR MEMBERS OF PRECOMMISSIONING
PROGRAMS.
(a) MINIMUM AND MAXIMUM RATES.—Subsection (a)
of section 209 of title 37, United States Code, is amended—
(1) by inserting ‘‘(1)’’ before ‘‘Except’’;
(2) by striking ‘‘subsistence allowance of $200 a
month’’ and inserting ‘‘monthly subsistence allowance
at a rate prescribed under paragraph (2)’’;
(3) by striking ‘‘Subsistence’’ and inserting the
following:
‘‘(3) A subsistence’’; and
175
(4) by inserting after the first sentence the fol-
lowing:
‘‘(2) The Secretary of Defense shall prescribe by regula-
tion the monthly rates for subsistence allowances provided
under this section. The rate may not be less than $250 per
month, but may not exceed $600 per month.’’.
(b) CONFORMING AMENDMENTS.—(1) Subsection (b) of
such section is amended by striking ‘‘in the amount pro-
vided in subsection (a)’’ and inserting ‘‘at a rate prescribed
under subsection (a)(2)’’.
(2) Subsection (d) of such section is amended by strik-
ing ‘‘the same rate as that prescribed by subsection (a),’’
and inserting ‘‘the monthly rate prescribed under subsection
(a)(2)’’.
(c) STYLISTIC AMENDMENTS.—Such section is further
amended—
(1) in subsection (a), by inserting ‘‘SENIOR
ROTC MEMBERS IN ADVANCED TRAINING.—’’ after
‘‘(a)’’;
(2) in subsection (b), by inserting ‘‘SENIOR
ROTC MEMBERS APPOINTED IN RESERVES.—’’ after
‘‘(b)’’;
(3) in subsection (c), by inserting ‘‘PAY WHILE
ATTENDING TRAINING OR PRACTICE CRUISE.—’’ after
‘‘(c)’’ the first place it appears; and
176
(4) in subsection (d), by inserting ‘‘MEMBERS OF
MARINE CORPS OFFICER CANDIDATE PROGRAM.—’’
after ‘‘(d)’’.
(d) EFFECTIVE DATE.—The amendments made by
subsections (a) and (b) shall take effect October 1, 2001.
SEC. 610. ADDITIONAL AMOUNT AVAILABLE FOR FISCAL
YEAR 2001 INCREASE IN BASIC ALLOWANCE
FOR HOUSING INSIDE THE UNITED STATES.
In addition to the amount determined by the Secretary
of Defense under section 403(b)(3) of title 37, United States
Code (as amended by section 604(b)), to be the total amount
to be paid during fiscal year 2001 for the basic allowance
for housing for military housing areas inside the United
States, $30,000,000 of the amount authorized to be appro-
priated by section 421 for military personnel shall be used
by the Secretary to further increase the total amount avail-
able for the basic allowance for housing for military housing
areas inside the United States.
Subtitle B—Bonuses and Special
and Incentive Pays
SEC. 611. EXTENSION OF CERTAIN BONUSES AND SPECIAL
PAY AUTHORITIES FOR RESERVE FORCES.
(a) SPECIAL PAY FOR HEALTH PROFESSIONALS IN
CRITICALLY
SHORT
WARTIME
SPECIALTIES.—Section
302g(f) of title 37, United States Code, is amended by strik-
177
ing ‘‘December 31, 2000’’ and inserting ‘‘December 31,
2001’’.
(b) SELECTED RESERVE REENLISTMENT BONUS.—
Section 308b(f) of such title is amended by striking ‘‘Decem-
ber 31, 2000’’ and inserting ‘‘December 31, 2001’’.
(c) SELECTED RESERVE ENLISTMENT BONUS.—Sec-
tion 308c(e) of such title is amended by striking ‘‘December
31, 2000’’ and inserting ‘‘December 31, 2001’’.
(d) SPECIAL PAY FOR ENLISTED MEMBERS ASSIGNED
TO CERTAIN HIGH PRIORITY UNITS.—Section 308d(c) of
such title is amended by striking ‘‘December 31, 2000’’ and
inserting ‘‘December 31, 2001’’.
(e) SELECTED RESERVE AFFILIATION BONUS.—Sec-
tion 308e(e) of such title is amended by striking ‘‘December
31, 2000’’ and inserting ‘‘December 31, 2001’’.
(f) READY RESERVE ENLISTMENT AND REENLISTMENT
BONUS.—Section 308h(g) of such title is amended by strik-
ing ‘‘December 31, 2000’’ and inserting ‘‘December 31,
2001’’.
(g) PRIOR SERVICE ENLISTMENT BONUS.—Section
308i(f) of such title is amended by striking ‘‘December 31,
2000’’ and inserting ‘‘December 31, 2001’’.
(h) REPAYMENT OF EDUCATION LOANS FOR CERTAIN
HEALTH PROFESSIONALS WHO SERVE IN THE SELECTED
RESERVE.—Section 16302(d) of title 10, United States
178
Code, is amended by striking ‘‘January 1, 2001’’ and in-
serting ‘‘January 1, 2002’’.
SEC. 612. EXTENSION OF CERTAIN BONUSES AND SPECIAL
PAY AUTHORITIES FOR NURSE OFFICER CAN-
DIDATES, REGISTERED NURSES, AND NURSE
ANESTHETISTS.
(a) NURSE OFFICER CANDIDATE ACCESSION PRO-
GRAM.—Section 2130a(a)(1) of title 10, United States Code,
is amended by striking ‘‘December 31, 2000’’ and inserting
‘‘December 31, 2001’’.
(b) ACCESSION BONUS FOR REGISTERED NURSES.—
Section 302d(a)(1) of title 37, United States Code, is
amended by striking ‘‘December 31, 2000’’ and inserting
‘‘December 31, 2001’’.
(c) INCENTIVE SPECIAL PAY
FOR NURSE ANES-
THETISTS.—Section 302e(a)(1) of title 37, United States
Code, is amended by striking ‘‘December 31, 2000’’ and in-
serting ‘‘December 31, 2001’’.
SEC. 613. EXTENSION OF AUTHORITIES RELATING TO PAY-
MENT OF OTHER BONUSES AND SPECIAL
PAYS.
(a) AVIATION OFFICER RETENTION BONUS.—Section
301b(a) of title 37, United States Code, is amended by strik-
ing ‘‘December 31, 2000,’’ and inserting ‘‘December 31,
2001,’’.
179
(b) REENLISTMENT BONUS FOR ACTIVE MEMBERS.—
Section 308(g) of such title is amended by striking ‘‘Decem-
ber 31, 2000’’ and inserting ‘‘December 31, 2001’’.
(c) ENLISTMENT BONUS FOR PERSONS WITH CRIT-
ICAL SKILLS.—Section 308a(d) of such title is amended by
striking ‘‘December 31, 2000’’ and inserting ‘‘September 30,
2001’’.
(d) ARMY ENLISTMENT BONUS.—Section 308f(c) of
such title is amended by striking ‘‘December 31, 2000’’ and
inserting ‘‘September 30, 2001’’.
(e) SPECIAL PAY FOR NUCLEAR-QUALIFIED OFFICERS
EXTENDING PERIOD OF ACTIVE SERVICE.—Section 312(e)
of such title is amended by striking ‘‘December 31, 2000’’
and inserting ‘‘December 31, 2001’’.
(f) NUCLEAR CAREER ACCESSION BONUS.—Section
312b(c) of such title is amended by striking ‘‘December 31,
2000’’ and inserting ‘‘December 31, 2001’’.
(g) NUCLEAR CAREER ANNUAL INCENTIVE BONUS.—
Section 312c(d) of such title is amended by striking ‘‘De-
cember 31, 2000’’ and inserting ‘‘December 31, 2001’’.
SEC. 614. CONSISTENCY OF AUTHORITIES FOR SPECIAL PAY
FOR RESERVE MEDICAL AND DENTAL OFFI-
CERS.
(a) CONSISTENT DESCRIPTIONS OF ACTIVE DUTY.—
Section 302(h)(1) of title 37, United States Code, is amend-
180
ed by inserting before the period at the end the following:
‘‘, including active duty in the form of annual training,
active duty for training, and active duty for special work’’.
(b) RELATION TO OTHER SPECIAL PAY AUTHORI-
TIES.—Subsection (d) of section 302f of such title is amend-
ed to read as follows:
‘‘(d) EXCEPTION.—While a reserve medical or dental
officer receives a special pay under section 302 or 302b of
this title by reason of subsection (a), the officer shall not
be entitled to special pay under section 302(h) or 302b(h)
of this title.’’.
SEC. 615. SPECIAL PAY FOR COAST GUARD PHYSICIAN AS-
SISTANTS.
Section 302c(d)(1) of title 37, United States Code, is
amended by inserting ‘‘an officer in the Coast Guard or
Coast Guard Reserve designated as a physician assistant,’’
after ‘‘nurse,’’.
SEC. 616. SPECIAL DUTY ASSIGNMENT PAY FOR ENLISTED
MEMBERS.
(a) INCREASE IN MONTHLY RATE.—Subsection (a) of
section 307 of title 37, United States Code, is amended by
striking ‘‘$275’’ and inserting ‘‘$600’’.
(b) ELIMINATION OF SEPARATE RATE FOR RECRUIT-
ERS.—Such subsection is further amended by striking the
last sentence.
181
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2001, and shall apply
with respect to months beginning on or after that date.
SEC. 617. REVISION OF CAREER SEA PAY.
(a) IN GENERAL.—Section 305a of title 37, United
States Code, is amended by striking subsections (a), (b),
and (c) and inserting the following new subsections:
‘‘(a) AVAILABILITY OF SPECIAL PAY.—A member of a
uniformed service who is entitled to basic pay is also enti-
tled, while on sea duty, to career sea pay at a monthly rate
prescribed by the Secretary concerned, but not to exceed
$750 per month.
‘‘(b) ELIGIBILITY FOR PREMIUM.—A member of a uni-
formed service entitled to career sea pay under subsection
(a) who has served 36 consecutive months of sea duty is
also entitled to a career sea pay premium for the 37th con-
secutive month and each subsequent consecutive month of
sea duty served by the member. The monthly amount of the
premium shall be prescribed by the Secretary concerned, but
may not exceed $350 per month.
‘‘(c) REGULATIONS.—The Secretaries concerned shall
prescribe regulations to carry out this section. Regulations
prescribed by the Secretary of a military department shall
be subject to the approval of the Secretary of Defense.’’.
182
(b) STYLISTIC AMENDMENT.—Subsection (d) of such
section is amended by striking ‘‘(d)’’ and inserting ‘‘(d)
DEFINITION OF SEA DUTY.—’’.
(c) EFFECTIVE DATE.—The amendments made by sub-
section (a) shall take effect on October 1, 2001, and shall
apply with respect to months beginning on or after that
date.
SEC. 618. REVISION OF ENLISTMENT BONUS AUTHORITY.
(a) BONUS AUTHORIZED.—(1) Title 37, United States
Code, is amended by inserting after section 308i the fol-
lowing new section:
‘‘§ 309. Special pay: enlistment bonus
‘‘(a) BONUS AUTHORIZED; BONUS AMOUNT.—A per-
son who enlists in an armed force for a period of at least
two years may be paid a bonus in an amount not to exceed
$20,000. The bonus may be paid in a single lump sum or
in periodic installments.
‘‘(b) REPAYMENT OF BONUS.—(1) A member of the
armed forces who voluntarily, or because of the member’s
misconduct, does not complete the term of enlistment for
which a bonus was paid under this section, or a member
who is not technically qualified in the skill for which the
bonus was paid, if any (other than a member who is not
qualified because of injury, illness, or other impairment not
the result of the member’s misconduct), shall refund to the
183
United States that percentage of the bonus that the unex-
pired part of member’s enlistment is of the total enlistment
period for which the bonus was paid.
‘‘(2) An obligation to reimburse the United States im-
posed under paragraph (1) is for all purposes a debt owed
to the United States.
‘‘(3) A discharge in bankruptcy under title 11 that is
entered less than five years after the termination of an en-
listment for which a bonus was paid under this section does
not discharge the person receiving the bonus from the debt
arising under paragraph (1).
‘‘(c) RELATION TO PROHIBITION ON BOUNTIES.—The
enlistment bonus authorized by this section is not a bounty
for purposes of section 514(a) of title 10.
‘‘(d) REGULATIONS.—This section shall be adminis-
tered under regulations prescribed by the Secretary of De-
fense for the armed forces under the jurisdiction of the Sec-
retary of Defense and by the Secretary of Transportation
for the Coast Guard when the Coast Guard is not operating
as a service in the Navy.
‘‘(e) DURATION OF AUTHORITY.—No bonus shall be
paid under this section with respect to any enlistment in
the armed forces made before October 1, 2001, or after De-
cember 31, 2001.’’.
184
(2) The table of sections at the beginning of chapter
5 of such title is amended by inserting after the item relat-
ing to section 308i the following new item:
‘‘309. Special pay: enlistment bonus.’’.
(b) REPEAL OF SUPERSEDED ENLISTMENT BONUS
AUTHORITIES.—(1) Sections 308a and 308f of title 37,
United States Code, are repealed.
(2) The table of sections at the beginning of chapter
5 of such title is amended by striking the items relating
to sections 308a and 308f.
(c) EFFECTIVE DATE.—The amendments made by sub-
section (b) shall take effect on October 1, 2001.
SEC. 619. AUTHORIZATION OF RETENTION BONUS FOR
MEMBERS OF THE ARMED FORCES QUALIFIED
IN A CRITICAL MILITARY SKILL.
(a) BONUS AUTHORIZED.—(1) Chapter 5 of title 37,
United States Code, is amended by adding at the end the
following new section:
‘‘§ 323. Special pay: retention incentives for members
qualified in a critical military skill
‘‘(a) RETENTION BONUS AUTHORIZED.—An officer or
enlisted member of the armed forces who is serving on active
duty and is qualified in a designated critical military skill
may be paid a retention bonus as provided in this section
if—
185
‘‘(1) in the case of an officer, the member exe-
cutes a written agreement to remain on active duty
for at least one year; or
‘‘(2) in the case of an enlisted member, the mem-
ber reenlists or voluntarily extends the member’s en-
listment for a period of at least one year.
‘‘(b) DESIGNATION OF CRITICAL SKILLS.—(1) A des-
ignated critical military skill referred to in subsection (a)
is a military skill designated as critical by the Secretary
of Defense, or by the Secretary of Transportation with re-
spect to the Coast Guard when it is not operating as a serv-
ice in the Navy.
‘‘(2) The Secretary of Defense, and the Secretary of
Transportation with respect to the Coast Guard when it
is not operating as a service in the Navy, shall notify Con-
gress, in advance, of each military skill to be designated
by the Secretary as critical for purposes of this section. The
notice shall be submitted at least 90 days before any bonus
with regard to that critical skill is offered under subsection
(a) and shall include a discussion of the necessity for the
bonus, the amount and method of payment of the bonus,
and the retention results that the bonus is expected to
achieve.
186
‘‘(c) PAYMENT METHODS.—A bonus under this section
may be paid in a single lump sum or in periodic install-
ments.
‘‘(d) MAXIMUM BONUS AMOUNT.—A member may
enter into an agreement under this section, or reenlist or
voluntarily extend the member’s enlistment, more than once
to receive a bonus under this section. However, a member
may not receive a total of more than $200,000 in payments
under this section.
‘‘(e) CERTAIN MEMBERS INELIGIBLE.—A retention
bonus may not be provided under subsection (a) to a mem-
ber of the armed forces who—
‘‘(1) has completed more than 25 years of active
duty; or
‘‘(2) will complete the member’s 25th year of ac-
tive duty before the end of the period of active duty
for which the bonus is being offered.
‘‘(f) RELATIONSHIP TO OTHER INCENTIVES.—A reten-
tion bonus paid under this section is in addition to any
other pay and allowances to which a member is entitled.
‘‘(g) REPAYMENT OF BONUS.—(1) If an officer who has
entered into a written agreement under subsection (a) fails
to complete the total period of active duty specified in the
agreement, or an enlisted member who voluntarily or be-
cause of misconduct does not complete the term of enlist-
187
ment for which a bonus was paid under this section, the
Secretary of Defense, and the Secretary of Transportation
with respect to members of the Coast Guard when it is not
operating as a service in the Navy, may require the member
to repay the United States, on a pro rata basis and to the
extent that the Secretary determines conditions and cir-
cumstances warrant, all sums paid under this section.
‘‘(2) An obligation to repay the United States imposed
under paragraph (1) is for all purposes a debt owed to the
United States.
‘‘(3) A discharge in bankruptcy under title 11 that is
entered less than five years after the termination of a writ-
ten agreement entered into under subsection (a) does not
discharge the member from a debt arising under paragraph
(2).
‘‘(h) ANNUAL REPORT.—Not later than February 15
of each year, the Secretary of Defense and the Secretary
of Transportation shall submit to Congress a report—
‘‘(1) analyzing the effect, during the preceding
fiscal year, of the provision of bonuses under this sec-
tion on the retention of members qualified in the crit-
ical military skills for which the bonuses were offered;
and
188
‘‘(2) describing the intentions of the Secretary re-
garding the continued use of the bonus authority dur-
ing the current and next fiscal years.
‘‘(i) TERMINATION OF BONUS AUTHORITY.—No bonus
may be paid under this section with respect to any reenlist-
ment, or voluntary extension of an enlistment, in the armed
forces entered into after December 31, 2001, and no agree-
ment under this section may be entered into after that
date.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘323. Special pay: retention incentives for members qualified in critical military
skill.’’.
(b) EFFECTIVE DATE.—Section 323 of title 10, United
States Code, as added by subsection (a), shall take effect
on October 1, 2000.
SEC. 620. ELIMINATION OF REQUIRED CONGRESSIONAL NO-
TIFICATION BEFORE IMPLEMENTATION OF
CERTAIN SPECIAL PAY AUTHORITY.
(a) RETENTION SPECIAL PAY FOR OPTOMETRISTS.—
(1) Section 302a(b)(1) of title 37, United States Code, is
amended by striking ‘‘an officer described in paragraph (2)
may be paid’’ and inserting ‘‘the Secretary concerned may
pay an officer described in paragraph (2) a’’.
189
(2) Section 617 of the National Defense Authorization
Act for Fiscal Year 1991 (Public Law 101–510; 104 Stat.
1578) is amended by striking subsection (b).
(b) SPECIAL PAY FOR OFFICERS IN NURSING SPECIAL-
TIES.—(1) Section 302e(b)(2)(A) of title 37, United States
Code, is amended by striking ‘‘the Secretary’’ and inserting
‘‘the Secretary of the military department concerned’’.
(2) Section 614 of the National Defense Authorization
Act for Fiscal Year 1991 (Public Law 101–510; 104 Stat.
1577) is amended by striking subsection (c).
Subtitle C—Travel and
Transportation Allowances
SEC. 631. ADVANCE PAYMENTS FOR TEMPORARY LODGING
OF MEMBERS AND DEPENDENTS.
(a) SUBSISTENCE EXPENSES.— Section 404a of title
37, United States Code, is amended—
(1) by redesignating subsections (b) and (c) as
subsections (d) and (e), respectively; and
(2) by striking subsection (a) and inserting the
following:
‘‘(a) PAYMENT OR REIMBURSEMENT OF SUBSISTENCE
EXPENSES.—(1) Under regulations prescribed by the Secre-
taries concerned, a member of a uniformed service who is
ordered to make a change of permanent station described
in paragraph (2) shall be paid or reimbursed for subsistence
190
expenses of the member and the member’s dependents for
the period (subject to subsection (c)) for which the member
and dependents occupy temporary quarters incident to that
change of permanent station.
‘‘(2) Paragraph (1) applies to the following:
‘‘(A) A permanent change of station from any
duty station to a duty station in the United States
(other than Hawaii or Alaska).
‘‘(B) A permanent change of station from a duty
station in the United States (other than Hawaii or
Alaska) to a duty station outside the United States
or in Hawaii or Alaska.
‘‘(C) In the case of an enlisted member who is
reporting to the member’s first permanent duty sta-
tion, the change from the member’s home of record or
initial technical school to that first permanent duty
station.
‘‘(b) PAYMENT IN ADVANCE.—The Secretary concerned
may make any payment for subsistence expenses to a mem-
ber under this section in advance of the member actually
incurring the expenses. The amount of an advance payment
made to a member shall be computed on the basis of the
Secretary’s determination of the average number of days
that members and their dependents occupy temporary quar-
191
ters under the circumstances applicable to the member and
the member’s dependents.
‘‘(c) MAXIMUM PAYMENT PERIOD.—(1) In the case of
a change of permanent station described in subparagraph
(A) or (C) of subsection (a)(2), the period for which subsist-
ence expenses are to be paid or reimbursed under this sec-
tion may not exceed 10 days.
‘‘(2) In the case of a change of permanent station de-
scribed in subsection (a)(2)(B)—
‘‘(A) the period for which such expenses are to be
paid or reimbursed under this section may not exceed
five days; and
‘‘(B) such payment or reimbursement may be
provided only for expenses incurred before leaving the
United States (other than Hawaii or Alaska).’’.
(b) PER DIEM.—Section 405 of such title is amended
to read as follows:
‘‘§ 405. Travel and transportation allowances: per
diem while on duty outside the United
States or in Hawaii or Alaska
‘‘(a) PER DIEM AUTHORIZED.—Without regard to the
monetary limitation of this title, the Secretary concerned
may pay a per diem to a member of the uniformed services
who is on duty outside of the United States or in Hawaii
or Alaska, whether or not the member is in a travel status.
192
The Secretary may pay the per diem in advance of the ac-
crual of the per diem.
‘‘(b) DETERMINATION OF PER DIEM.—In determining
the per diem to be paid under this section, the Secretary
concerned shall consider all elements of the cost of living
to members of the uniformed services under the Secretary’s
jurisdiction and their dependents, including the cost of
quarters, subsistence, and other necessary incidental ex-
penses. However, dependents may not be considered in de-
termining the per diem allowance for a member in a travel
status.
‘‘(c) TREATMENT
OF HOUSING COST
AND ALLOW-
ANCE.—Housing cost and allowance may be disregarded in
prescribing a station cost of living allowance under this sec-
tion.’’.
(c) STYLISTIC AMENDMENTS.—Section 404a of such
title is further amended—
(1) in subsection (d), as redesignated by sub-
section (a), by striking ‘‘(d)’’ and inserting ‘‘(d)
DAILY SUBSISTENCE RATES.—’’; and
(2) in subsection (e), as redesignated by sub-
section (a), by striking ‘‘(e)’’ and inserting ‘‘(e) MAX-
IMUM DAILY PAYMENT.—’’.
193
SEC. 632. ADDITIONAL TRANSPORTATION ALLOWANCE RE-
GARDING BAGGAGE AND HOUSEHOLD EF-
FECTS.
(a) PET QUARANTINE FEES.—Section 406(a)(1) of
title 37, United States Code, is amended by adding at the
end the following new sentence: ‘‘The Secretary concerned
may also reimburse the member for mandatory pet quar-
antine fees for household pets, but not to exceed $275 per
change of station, when the member incurs the fees incident
to such change of station.’’.
(b) EFFECTIVE DATE.—The amendment made by sub-
section (a) shall take effect October 1, 2000.
SEC. 633. EQUITABLE DISLOCATION ALLOWANCES FOR JUN-
IOR ENLISTED MEMBERS.
Section 407(c)(1) of title 37, United States Code, is
amended by inserting before the period the following: ‘‘, ex-
cept that the Secretary concerned may not differentiate be-
tween members with dependents in pay grades E–1 through
E–5’’.
SEC. 634. AUTHORITY TO REIMBURSE MILITARY RECRUIT-
ERS, SENIOR ROTC CADRE, AND MILITARY EN-
TRANCE PROCESSING PERSONNEL FOR CER-
TAIN PARKING EXPENSES.
(a) REIMBURSEMENT AUTHORITY.—(1) Chapter 7 of
title 37, United States Code, is amended by inserting after
section 411h the following new section:
194
‘‘§ 411i. Travel and transportation allowances: park-
ing expenses
‘‘(a) REIMBURSEMENT AUTHORITY.—The Secretary of
Defense may reimburse a member of the Army, Navy, Air
Force, or Marine Corps described in subsection (b) for ex-
penses incurred by the member in parking a privately
owned vehicle being used by the member to commute to the
member’s place of duty.
‘‘(b) ELIGIBLE MEMBERS.—A member referred to in
subsection (a) is a member who is—
‘‘(1) assigned to duty as a recruiter for any of
the armed forces;
‘‘(2) assigned to duty with a military entrance
processing facility of the armed forces; or
‘‘(3) detailed for instructional and administra-
tive duties at any institution where a unit of the Sen-
ior Reserve Officers’ Training Corps is maintained.
‘‘(c) INCLUSION OF CERTAIN CIVILIAN EMPLOYEES.—
The Secretary of Defense may extend the reimbursement au-
thority provided by subsection (a) to civilian employees of
the Department of Defense whose employment responsibil-
ities include performing activities related to the duties spec-
ified in subsection (b).’’.
195
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
411h the following new item:
‘‘411i. Travel and transportation allowances: parking expenses.’’.
(b) EFFECTIVE DATE.—The amendments made by this
section shall take effect on October 1, 2000.
SEC. 635. EXPANSION OF FUNDED STUDENT TRAVEL FOR
DEPENDENTS.
Section 430 of title 37, United States Code, is
amended—
(1) in subsections (a)(3) and (b)(1), by striking
‘‘for the purpose of obtaining a secondary or under-
graduate college education’’ and inserting ‘‘for the
purpose of obtaining a formal education’’; and
(2) in subsection (f)—
(A) by striking ‘‘In this section, the term’’
and inserting the following:
‘‘In this section:
‘‘(1) The term’’; and
(B) by adding at the end the following new
subparagraph:
‘‘(2) The term ‘formal education’ means the fol-
lowing:
‘‘(A) A secondary education.
‘‘(B) An undergraduate college education.
196
‘‘(C) A graduate education pursued on a
full-time basis at an institution of higher edu-
cation (as defined in section 101 of the Higher
Education Act of 1965 (20 U.S.C. 1001)).
‘‘(D) Vocational education pursued on a
full-time basis at a post-secondary vocational in-
stitution (as defined in section 102(c) of the
Higher Education Act of 1965 (20 U.S.C.
1002(c))).’’.
Subtitle D—Retirement and
Survivor Benefit Matters
SEC. 641. INCREASE IN MAXIMUM NUMBER OF RESERVE RE-
TIREMENT POINTS THAT MAY BE CREDITED
IN ANY YEAR.
Section 12733(3) of title 10, United States Code, is
amended by striking ‘‘but not more than’’ and all that fol-
lows and inserting ‘‘but not more than—
‘‘(A) 60 days in any one year of service be-
fore the year of service that includes September
23, 1996;
‘‘(B) 75 days in the year of service that in-
cludes September 23, 1996, and in any subse-
quent year of service before the year of service
that includes the date of the enactment of the Na-
197
tional Defense Authorization Act for Fiscal Year
2001; and
‘‘(C) 90 days in the year of service that in-
cludes the date of the enactment of the National
Defense Authorization Act for Fiscal Year 2001
and in any subsequent year of service.’’.
SEC. 642. RESERVE COMPONENT SURVIVOR BENEFIT PLAN
SPOUSAL CONSENT REQUIREMENT.
(a) ELIGIBLE PARTICIPANTS.—Subsection (a)(2)(B) of
section 1448 of title 10, United States Code, is amended
to read as follows:
‘‘(B) RESERVE-COMPONENT
ANNUITY
PAR-
TICIPANTS.—A person who (i) is eligible to par-
ticipate in the Plan under paragraph (1)(B),
and (ii) is married or has a dependent child
when he is notified under section 12731(d) of
this title that he has completed the years of serv-
ice required for eligibility for reserve-component
retired pay, unless the person elects (with his
spouse’s concurrence, if required under para-
graph (3)) not to participate in the Plan before
the end of the 90-day period beginning on the
date on which he receives that notification.’’.
(b) SUBSEQUENT ELECTION TO PARTICIPATE.—Sub-
section (a)(3)(B) of such section is amended—
198
(1) by striking ‘‘who elects to provide’’ and in-
serting ‘‘who is eligible to provide’’;
(2) by redesignating clauses (i) and (ii) as
clauses (iii) and (iv), respectively; and
(3) by inserting before clause (iii) (as so redesig-
nated) the following new clauses:
‘‘(i) not to participate in the Plan;
‘‘(ii) to designate under subsection
(e)(2) the effective date for commencement of
annuity payments under the Plan in the
event that the member dies before becoming
60 years of age to be the 60th anniversary
of the member’s birth (rather than the day
after the date of the member’s death);’’.
(c) CONFORMING AMENDMENTS.—Such section is fur-
ther amended—
(1) in subsection (a)(2), by striking ‘‘described in
clauses (i) and (ii)’’ in the sentence following sub-
paragraph (B) (as amended by subsection (a)) and
all that follows through ‘‘that clause’’ and inserting
‘‘who elects under subparagraph (B) not to partici-
pate in the Plan’’;
(2) in subsection (a)(4)—
(A) by striking ‘‘not to participate in the
Plan’’ in subparagraph (A); and
199
(B) by striking ‘‘to participate in the Plan’’
in subparagraph (B); and
(3) in subsection (e), by striking ‘‘making such
election’’.
(d) EFFECTIVE DATE.—The amendments made by this
section apply only with respect to a notification under sec-
tion 12731(d) of title 10, United States Code, made after
January 1, 2001, that a member of a reserve component
has completed the years of service required for eligibility
for reserve-component retired pay.
Subtitle E—Other Matters
SEC. 651. PARTICIPATION IN THRIFT SAVINGS PLAN.
For purposes of subtitle F of title VI of the National
Defense Authorization Act for Fiscal Year 2000 (Public
Law 106–65; 113 Stat. 670), both of the conditions under
section 663(b)(1) of such Act shall be considered met on
July 15, 2001 (unless earlier met).
200
TITLE VII—HEALTH CARE
PROVISIONS
Subtitle A—Health Care Services
SEC. 701. TWO-YEAR EXTENSION OF AUTHORITY FOR USE
OF CONTRACT PHYSICIANS AT MILITARY EN-
TRANCE PROCESSING STATIONS AND ELSE-
WHERE OUTSIDE MEDICAL TREATMENT FA-
CILITIES.
Section 1091(a)(2) of title 10, United States Code, is
amended by striking ‘‘December 31, 2000’’ in the second
sentence and inserting ‘‘December 31, 2002’’.
SEC. 702. MEDICAL AND DENTAL CARE FOR MEDAL OF
HONOR RECIPIENTS.
(a) IN GENERAL.—(1) Chapter 55 of title 10, United
States Code, is amended by inserting after section 1074g
the following new section:
‘‘§ 1074h. Medical and dental care: medal of honor re-
cipients; dependents
‘‘(a) MEDAL OF HONOR RECIPIENTS.—A former mem-
ber of the armed forces who is a Medal of Honor recipient
and who is not otherwise entitled to medical and dental
benefits under this chapter may, upon request, be given
medical and dental care provided by the administering Sec-
retaries in the same manner as if entitled to retired pay.
201
‘‘(b) DEPENDENTS.—A person who is a dependent of
a Medal of Honor recipient and who is not otherwise enti-
tled to medical and dental benefits under this chapter may,
upon request, be given medical and dental care provided
by the administering Secretaries in the same manner as
if the Medal of Honor recipient were, or (if deceased) was
at the time of death, entitled to retired pay.
‘‘(c) DEFINITIONS—In this section:
‘‘(1) The term ‘Medal of Honor recipient’ means
a member or former member of the armed forces who
has been awarded a medal of honor under section
3741, 6241, or 8741 of this title or section 491 of title
14.
‘‘(2) The term ‘dependent’ has the meaning given
that term in subparagraphs (A), (B), (C), and (D) of
section 1072(2) of this title.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
1074g the following new item:
‘‘1074h. Medical and dental care: medal of honor recipients; dependents.’’.
(b) EFFECTIVE DATE.—Section 1074h of title 10,
United States Code, shall apply with respect to medical and
dental care provided on or after the date of the enactment
of this Act.
202
SEC. 703. PROVISION OF DOMICILIARY AND CUSTODIAL
CARE FOR CHAMPUS BENEFICIARIES AND
CERTAIN FORMER CHAMPUS BENEFICIARIES.
(a) IN GENERAL.—Section 703(a) of the National De-
fense Authorization Act for Fiscal Year 2000 (Public Law
106–65; 113 Stat. 682; 10 U.S.C. 1077 note) is amended
by adding at the end the following:
‘‘(4) The Secretary may provide payment for domi-
ciliary or custodial care services provided to an eligible ben-
eficiary for which payment was discontinued by reason of
section 1086(d) of title 10, United States Code, and subse-
quently reestablished under other legal authority. Such pay-
ment is authorized for the period beginning on the date of
discontinuation of payment for domiciliary or custodial
care services and ending on the date of reestablishment of
payment for such services.’’.
(b) COST LIMITATION FOR INDIVIDUAL CASE MANAGE-
MENT PROGRAM.—(1) Section 1079(a)(17) of title 10,
United States Code, is amended—
(A) by inserting ‘‘(A)’’ after ‘‘(17)’’; and
(B) by adding at the end the following:
‘‘(B) The total amount expended under subpara-
graph (A) for a fiscal year may not exceed
$100,000,000.’’.
203
(2) Section 703 of the National Defense Authorization
Act for Fiscal Year 2000 is amended by adding at the end
the following:
‘‘(e) COST LIMITATION.—The total amount paid for
services for eligible beneficiaries under subsection (a) for a
fiscal year (together with the costs of administering the au-
thority under that subsection) shall be included in the ex-
penditures limited by section 1079(a)(17)(B) of title 10,
United States Code.’’.
(3) The amendments made by paragraphs (1) and (2)
shall apply to fiscal years after fiscal year 1999.
SEC. 704. DEMONSTRATION PROJECT FOR EXPANDED AC-
CESS TO MENTAL HEALTH COUNSELORS.
(a) REQUIREMENT TO CONDUCT DEMONSTRATION
PROJECT.—The Secretary of Defense shall conduct a dem-
onstration project under which licensed and certified profes-
sional mental health counselors who meet eligibility require-
ments for participation as providers under the Civilian
Health and Medical Program of the Uniformed Services
(hereinafter in this section referred to as ‘‘CHAMPUS’’) or
the TRICARE program may provide services to covered
beneficiaries under chapter 55 of title 10, United States
Code, without referral by physicians or adherence to super-
vision requirements.
204
(b) DURATION AND LOCATION OF PROJECT.—The Sec-
retary shall conduct the demonstration project required by
subsection (a)—
(1) during the 2-year period beginning October
1, 2001; and
(2) in one established TRICARE region.
(c) REGULATIONS.—The Secretary shall prescribe reg-
ulations regarding participation in the demonstration
project required by subsection (a).
(d) PLAN FOR PROJECT.—Not later than March 31,
2001, the Secretary shall submit to the Committees on
Armed Services of the Senate and the House of Representa-
tives a plan to carry out the demonstration project. The
plan shall include, but not be limited to, a description of
the following:
(1) The TRICARE region in which the project
will be conducted.
(2) The estimated funds required to carry out the
demonstration project.
(3) The criteria for determining which profes-
sional mental health counselors will be authorized to
participate under the demonstration project.
(4) The plan of action, including critical mile-
stone dates, for carrying out the demonstration
project.
205
(e) REPORT.—Not later than February 1, 2003, the
Secretary shall submit to Congress a report on the dem-
onstration project carried out under this section. The report
shall include the following:
(1) A description of the extent to which expendi-
tures for reimbursement of licensed or certified profes-
sional mental health counselors change as a result of
allowing the independent practice of such counselors.
(2) Data on utilization and reimbursement re-
garding non-physician mental health professionals
other than licensed or certified professional mental
health 
counselors 
under 
CHAMPUS 
and 
the
TRICARE program.
(3) Data on utilization and reimbursement re-
garding physicians who make referrals to, and super-
vise, mental health counselors.
(4) A description of the administrative costs in-
curred as a result of the requirement for documenta-
tion of referral to mental health counselors and super-
vision activities for such counselors.
(5) For each of the categories described in para-
graphs (1) through (4), a comparison of data for a
one-year period for the area in which the demonstra-
tion project is being implemented with corresponding
206
data for a similar area in which the demonstration
project is not being implemented.
(6) A description of the ways in which allowing
for independent reimbursement of licensed or certified
professional mental health counselors affects the con-
fidentiality of mental health and substance abuse
services for covered beneficiaries under CHAMPUS
and the TRICARE program.
(7) A description of the effect, if any, of chang-
ing reimbursement policies on the health and treat-
ment of covered beneficiaries under CHAMPUS and
the TRICARE program, including a comparison of
the treatment outcomes of covered beneficiaries who
receive mental health services from licensed or cer-
tified professional mental health counselors acting
under physician referral and supervision, other non-
physician mental health providers recognized under
the program, and physicians, with treatment out-
comes under the demonstration project allowing inde-
pendent practice of professional counselors on the
same basis as other non-physician mental health pro-
viders.
(8) The effect of policies of the Department of
Defense on the willingness of licensed or certified pro-
fessional mental health counselors to participate as
207
health care providers in CHAMPUS and the
TRICARE program.
(9) Any policy requests or recommendations re-
garding mental health counselors made by health care
plans and managed care organizations participating
in CHAMPUS or the TRICARE program.
SEC. 705. TELERADIOLOGY DEMONSTRATION PROJECT.
(a) REQUIREMENT TO CONDUCT PROJECT.—(1) The
Secretary of Defense shall conduct a demonstration project
for the purpose of increasing efficiency of operations with
respect to teleradiology at a military medical treatment fa-
cility and supporting remote clinics and increasing coordi-
nation with respect to teleradiology between such facility
and clinics. Under the project, a military medical treat-
ment facility and each clinic supported by such facility
shall be linked by a digital radiology network through
which digital radiology X-rays may be sent electronically
from clinics to the military medical treatment facility.
(2) The demonstration project shall be conducted at a
multi-specialty tertiary-care military medical treatment fa-
cility affiliated with a university medical school, that is
supported by at least five geographically dispersed remote
clinics of the Departments of the Army, Navy, and Air
Force, and clinics of the Department of Veterans Affairs
and the Coast Guard.
208
(b) DURATION OF PROJECT.—The Secretary shall con-
duct the project during the two-year period beginning on
the date of the enactment of this Act.
Subtitle B—TRICARE Program
SEC. 711. ADDITIONAL BENEFICIARIES UNDER TRICARE
PRIME REMOTE PROGRAM IN THE CONTI-
NENTAL UNITED STATES.
(a) COVERAGE OF OTHER UNIFORMED SERVICES.—
(1) Section 1074(c) of title 10, United States Code, is
amended—
(A) by striking ‘‘armed forces’’ each place it ap-
pears, except in paragraph (3)(A), and inserting
‘‘uniformed services’’;
(B) in paragraph (1), by inserting after ‘‘mili-
tary department’’ in the first sentence the following:
‘‘, the Department of Transportation (with respect to
the Coast Guard when it is not operating as a service
in the Navy), or the Department of Health and
Human Services (with respect to the National Oce-
anic and Atmospheric Administration and the Public
Health Service)’’;
(C) in paragraph (2), by adding at the end the
following:
209
‘‘(C) The Secretary of Defense shall consult with the
other administering Secretaries in the administration of
this paragraph.’’; and
(D) in paragraph (3)(A), by striking ‘‘The Sec-
retary of Defense may not require a member of the
armed forces described in subparagraph (B)’’ and in-
serting ‘‘A member of the uniformed services described
in subparagraph (B) may not be required’’.
(2)(A) Subsections (b), (c), and (d)(3) of section 731
of the National Defense Authorization Act for Fiscal Year
1998 (Public Law 105–85; 111 Stat. 1811; 10 U.S.C. 1074
note) are amended by striking ‘‘Armed Forces’’ and insert-
ing ‘‘uniformed services’’.
(B) Subsection (b) of such section is further amended
by adding at the end the following:
‘‘(4) The Secretary of Defense shall consult with the
other administering Secretaries in the administration of
this subsection.’’.
(C) Subsection (f) of such section is amended by add-
ing at the end the following:
‘‘(3) The terms ‘uniformed services’ and ‘admin-
istering Secretaries’ have the meanings given those
terms in section 1072 of title 10, United States
Code.’’.
210
(3) Section 706(b) of the National Defense Authoriza-
tion Act for Fiscal Year 2000 (Public Law 106–65; 113
Stat. 684) is amended by striking ‘‘Armed Forces’’ and in-
serting ‘‘uniformed services (as defined in section 1072(1)
of title 10, United States Code)’’.
(b) COVERAGE OF IMMEDIATE FAMILY.—(1) Section
1079 of title 10, United States Code, is amended by adding
at the end the following:
‘‘(p)(1) Subject to such exceptions as the Secretary of
Defense considers necessary, coverage for medical care under
this section for the dependents referred to in subsection (a)
of a member of the uniformed services referred to in section
1074(c)(3) of this title who are residing with the member,
and standards with respect to timely access to such care,
shall be comparable to coverage for medical care and stand-
ards for timely access to such care under the managed care
option of the TRICARE program known as TRICARE
Prime.
‘‘(2) The Secretary of Defense shall enter into arrange-
ments with contractors under the TRICARE program or
with other appropriate contractors for the timely and effi-
cient processing of claims under this subsection.
‘‘(3) The Secretary of Defense shall consult with the
other administering Secretaries in the administration of
this subsection.’’.
211
(2) Section 731(b) of the National Defense Authoriza-
tion Act for Fiscal Year 1998 (Public Law 105–85; 111
Stat. 1811; 10 U.S.C. 1074 note) is amended—
(A) in paragraph (1), by adding at the end the
following: ‘‘A dependent of the member, as described
in subparagraph (A), (D), or (I) of section 1072(2) of
title 10, United States Code, who is residing with the
member shall have the same entitlement to care and
to waiver of charges as the member.’’; and
(B) in paragraph (2), by inserting ‘‘or depend-
ent of the member, as the case may be,’’ after ‘‘(2) A
member’’.
(c) EFFECTIVE DATE.—(1) The amendments made by
subsection (a)(2), with respect to members of the uniformed
services, and the amendments made by subsection (b)(2),
with respect to dependents of members, shall take effect on
the date of the enactment of this Act and shall expire with
respect to a member or the dependents of a member, respec-
tively, on the later of the following:
(A) The date that is one year after the date of
the enactment of this Act.
(B) The date on which the amendments made by
subsection (a)(1) or (b)(1) apply with respect to the
coverage of medical care for and provision of such
care to the member or dependents, respectively.
212
(2) Section 731(b)(3) of Public Law 105–85 does not
apply to a member of the Coast Guard, the National Oce-
anic and Atmospheric Administration, or the Commis-
sioned Corps of the Public Health Service, or to a dependent
of a member of a uniformed service.
SEC. 712. ELIMINATION OF COPAYMENTS FOR IMMEDIATE
FAMILY.
(a) NO COPAYMENT FOR IMMEDIATE FAMILY.—Sec-
tion 1097a of title 10, United States Code, is amended—
(1) by redesignating subsection (e) as subsection
(f); and
(2) by inserting after subsection (d) the following
new subsection (e):
‘‘(e) NO COPAYMENT FOR IMMEDIATE FAMILY.—No co-
payment shall be charged a member for care provided under
TRICARE Prime to a dependent of a member of the uni-
formed services described in subparagraph (A), (D), or (I)
of section 1072(2) of this title.’’.
(b) EFFECTIVE DATE.—The amendments made by sub-
section (a) shall take effect on October 1, 2000, and shall
apply with respect to care provided on or after that date.
213
SEC. 713. MODERNIZATION OF TRICARE BUSINESS PRAC-
TICES AND INCREASE OF USE OF MILITARY
TREATMENT FACILITIES.
(a) REQUIREMENT TO IMPLEMENT INTERNET-BASED
SYSTEM.—Not later than October 1, 2001, the Secretary of
Defense shall implement a system to simplify and make ac-
cessible through the use of the Internet, through commer-
cially available systems and products, critical administra-
tive processes within the military health care system and
the TRICARE program. The purpose of the system shall
be to enhance efficiency, improve service, and achieve com-
mercially recognized standards of performance.
(b) REQUIREMENTS OF SYSTEM.—The system required
by subsection (a) —
(1) shall comply with patient confidentiality and
security requirements, and incorporate data require-
ments, that are currently widely used by insurers
under medicare and commercial insurers;
(2) shall be designed to achieve improvements
with respect to—
(A) the availability and scheduling of ap-
pointments;
(B) the filing, processing, and payment of
claims;
(C) marketing and information initiatives;
214
(D) the continuation of enrollments without
expiration; and
(E) the portability of enrollments nation-
wide; and
(3) may be implemented through a contractor
under TRICARE Prime.
(c) AREAS OF IMPLEMENTATION.—The Secretary shall
implement the system required by subsection (a) in at least
one region under the TRICARE program.
(d) PLAN
FOR IMPROVED PORTABILITY
OF BENE-
FITS.—Not later than March 15, 2001, the Secretary of De-
fense shall submit to the Committees on Armed Services of
the Senate and the House of Representatives a plan to pro-
vide portability and reciprocity of benefits for all enrollees
under the TRICARE program throughout all TRICARE re-
gions.
(e) INCREASE OF USE OF MILITARY MEDICAL TREAT-
MENT FACILITIES.—The Secretary shall initiate a program
to maximize the use of military medical treatment facilities
by improving the efficiency of health care operations in
such facilities.
(f) DEFINITION.—In this section the term ‘‘TRICARE
program’’ shall have the meaning given such term in section
1072 of title 10, United States Code.
215
SEC. 714. CLAIMS PROCESSING IMPROVEMENTS.
Beginning on the date of the enactment of this Act,
the Secretary of Defense shall take all necessary actions to
implement the following improvements with respect to proc-
essing of claims under the TRICARE program:
(1) Use of the TRICARE encounter data infor-
mation system rather than the health care service
record in maintaining information on covered bene-
ficiaries under chapter 55 of title 10, United States
Code.
(2) Elimination of all delays in payment of
claims to health care providers that may result from
the development of the health care service record or
TRICARE encounter data information.
(3) Require all health care providers under the
TRICARE program that the Secretary determines are
high-volume providers to submit claims electronically.
(4) Process 50 percent of all claims by health
care providers and institutions under the TRICARE
program by electronic means.
(5) Authorize managed care support contractors
under the TRICARE program to require providers to
access information on the status of claims through the
use of telephone automated voice response units.
216
SEC. 715. PROHIBITION AGAINST REQUIREMENT FOR PRIOR
AUTHORIZATION FOR CERTAIN REFERRALS;
REPORT ON NONAVAILABILITY-OF-HEALTH-
CARE STATEMENTS.
(a) PROHIBITION REGARDING PRIOR AUTHORIZATION
FOR REFERRALS.—(1) Chapter 55 of title 10, United States
Code, is amended by inserting after section 1095e the fol-
lowing new section:
‘‘§ 1095f. TRICARE program: referrals for specialty
health care
‘‘The Secretary of Defense shall provide that no con-
tract for managed care support under the TRICARE pro-
gram shall require a managed care support contractor to
require a primary care provider or specialty care provider
to obtain prior authorization before referring a patient to
a specialty care provider that is part of the network of
health care providers or institutions of the contractor.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by inserting after the item relating to section
1095e the following new item:
‘‘1095f. TRICARE program: referrals for specialty health care.’’.
(b) REPORT.—Not later than February 1, 2001, the
Comptroller General shall submit to Congress a report on
the financial and management implications of eliminating
the requirement to obtain nonavailability-of-health-care
217
statements under section 1080 of title 10, United States
Code.
(c) EFFECTIVE DATE.—Section 1095f of title 10,
United States Code, as added by subsection (a), shall apply
with respect to a managed care support contract entered
into by the Department of Defense after the date of the en-
actment of this Act.
SEC. 716. AUTHORITY TO ESTABLISH SPECIAL LOCALITY-
BASED REIMBURSEMENT RATES; REPORTS.
(a) IN GENERAL.—Section 1079(h) of title 10, United
States Code, is amended by adding at the end the following
new paragraph:
‘‘(5) To assure access to care for all covered bene-
ficiaries, the Secretary of Defense, in consultation with the
other administering Secretaries, shall designate specific
rates for reimbursement for services in certain localities if
the Secretary determines that without payment of such
rates access to health care services would be severely im-
paired. Such a determination shall be based on consider-
ation of the number of providers in a locality who provide
the services, the number of such providers who are
CHAMPUS participating providers, the number of covered
beneficiaries under CHAMPUS in the locality, the avail-
ability of military providers in the location or a nearby
218
location, and any other factors determined to be relevant
by the Secretary.’’.
(b) REPORTS.—(1) Not later than March 31, 2001, the
Secretary of Defense shall submit to the Committees on
Armed Services of the House of Representatives and the
Senate and the General Accounting Office a report on ac-
tions taken to carry out section 1079(h)(5) of title 10,
United States Code (as added by subsection (a)) and section
1097b of such title.
(2) Not later than May 1, 2001, the Comptroller Gen-
eral shall submit to Congress a report analyzing the utility
of—
(A) increased reimbursement authorities with re-
spect to ensuring the availability of network providers
and nonnetwork providers under the TRICARE Pro-
gram to covered beneficiaries under chapter 55 of such
title; and
(B) requiring a reimbursement limitation of 70
percent of usual and customary rates rather than 115
percent of maximum allowable charges under the Ci-
vilian Health and Medical Program of the Uniformed
Services.
219
SEC. 717. REIMBURSEMENT FOR CERTAIN TRAVEL EX-
PENSES.
(a) IN GENERAL.—Chapter 55 of title 10, United
States Code, is amended by inserting after section 1074h
(as added by section 702) the following new section:
‘‘§ 1074i. Reimbursement for certain travel expenses
‘‘In any case in which a covered beneficiary is referred
by a primary care physician to a specialty care provider
who provides services more than 100 miles from the location
in which the primary care provider provides services to the
covered beneficiary, the Secretary shall provide reimburse-
ment for reasonable travel expenses for the covered bene-
ficiary.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the item relating to section 1074h the following new item:
‘‘1074i. Reimbursement for certain travel expenses.’’.
SEC. 718. REDUCTION OF CATASTROPHIC CAP.
(a) IN GENERAL.—Chapter 55 of title 10, United
States Code, is amended in section 1095d by adding at the
end the following new subsection:
‘‘(c) REDUCTION OF CATASTROPHIC CAP.—The Sec-
retary shall reduce the catastrophic cap for covered bene-
ficiaries under TRICARE Standard and TRICARE Extra
to $3,000.’’.
220
(b) CLERICAL AMENDMENTS.—(1) The heading of such
section is amended to read as follows:
‘‘§ 1095d. 
TRICARE 
program: 
waiver 
of 
certain
deductibles; 
reduction 
of 
catastrophic
cap’’.
(2) The item relating to section 1095d in the table of
sections at the beginning of such chapter 55 is amended to
read as follows:
‘‘1095d. TRICARE program: waiver of certain deductibles; reduction of cata-
strophic cap.’’.
SEC. 719. REPORT ON PROTECTIONS AGAINST HEALTH
CARE PROVIDERS SEEKING DIRECT REIM-
BURSEMENT FROM MEMBERS OF THE UNI-
FORMED SERVICES.
Not later than January 31, 2001, the Secretary of De-
fense shall submit to the Committees on Armed Services of
the House of Representatives and the Senate a report recom-
mending practices to discourage or prohibit health care pro-
viders under the TRICARE Program from inappropriately
seeking direct reimbursement from members of the uni-
formed services or their dependents for health care received
by such members or dependents.
SEC. 720. DISENROLLMENT PROCESS FOR TRICARE RE-
TIREE DENTAL PROGRAM.
Section 1076c of title 10, United States Code, is
amended—
221
(1) by redesignating subsection (i) as subsection
(j); and
(2) by inserting after subsection (h) the following
new subsection (i):
‘‘(i) DISENROLLMENT PROCESS FOR TRICARE RE-
TIREE DENTAL PROGRAM.—With respect to the provision
of dental care to a retired member of the uniformed services
or the dependent of such a member under the TRICARE
program, the Secretary of Defense—
‘‘(A) shall require that any TRICARE dental in-
surance contract allow for a period of up to 30 days,
beginning on the date of the submission of an appli-
cation for enrollment by the member or dependent,
during which the member or dependent may disenroll;
‘‘(B) shall provide for limited circumstances
under which disenrollment shall be permitted during
the 24-month initial enrollment period, without jeop-
ardizing the fiscal integrity of the dental program.
‘‘(2) The circumstances described in paragraph (1)(B)
shall include—
‘‘(A) a case in which a retired member or de-
pendent who is also a Federal employee is assigned
to a location overseas which prevents utilization of
dental benefits in the United States;
222
‘‘(B) a case in which such a member or depend-
ent provides medical documentation with regard to a
diagnosis of a serious or terminal illness which pre-
cludes the member or dependent from obtaining dental
care;
‘‘(C) a case in which severe financial hardship
would result; and
‘‘(D) any other instances which the Secretary
considers appropriate.
‘‘(3) A retired member or dependent described in para-
graph (1)—
‘‘(A) shall make any initial requests for
disenrollment under this subsection to the TRICARE
dental insurance contractor; and
‘‘(B) may appeal a decision by the contractor, or
policies with respect to the provision of dental care to
retirees and their dependents under the TRICARE
program, to the TRICARE Management Activity.
‘‘(4) In a case of an appeal described in paragraph
(3)(B) the contractor shall refer all relevant information
collected by the contractor to the TRICARE Management
Activity.’’.
223
Subtitle C—Health Care Programs
for 
Medicare-Eligible 
Depart-
ment of Defense Beneficiaries
SEC. 721. IMPLEMENTATION OF TRICARE SENIOR PHAR-
MACY PROGRAM.
Section 723 of the Strom Thurmond National Defense
Authorization Act for Fiscal Year 1999 (Public Law 105–
261; 112 Stat. 2068; 10 U.S.C. 1073 note) is amended—
(1) in subsection (a)—
(A) by striking ‘‘October 1, 1999’’ and in-
serting ‘‘April 1, 2001’’; and
(B) by striking ‘‘who reside in an area se-
lected under subsection (f)’’;
(2) by amending subsection (b) to read as fol-
lows:
‘‘(b) PROGRAM REQUIREMENTS.—The same coverage
for pharmacy services and the same procedures for cost
sharing and reimbursement as are applicable under section
1086 of title 10, United States Code, shall apply with re-
spect to the program required by subsection (a).’’;
(3) in subsection (d)—
(A) by striking ‘‘December 31, 2000’’ and
inserting ‘‘December 31, 2001’’; and
(B) by striking ‘‘December 31, 2002’’ and
inserting ‘‘December 31, 2003’’;
224
(4) in subsection (e)—
(A) in paragraph (1)—
(i) in subparagraph (B), by inserting
‘‘and’’ after the semicolon;
(ii) in subparagraph (C), by striking
‘‘; and’’ and inserting a period; and
(iii) by striking subparagraph (D);
and
(B) in paragraph (2), by striking ‘‘at the
time’’ and all that follows through ‘‘facility’’ and
inserting ‘‘before April 1, 2001, has attained the
age of 65 and did not enroll in the program de-
scribed in such paragraph’’; and
(5) by striking subsection (f).
SEC. 722. STUDY ON HEALTH CARE OPTIONS FOR MEDI-
CARE-ELIGIBLE MILITARY RETIREES.
(a) REQUIREMENT TO CONDUCT STUDY.—The Sec-
retary of Defense shall enter into an agreement with a feder-
ally funded research and development center for the purpose
of having such center conduct an independent study on al-
ternatives for providing continued health care benefits for
medicare-eligible military retirees.
(b) MATTERS TO BE INCLUDED.—(1) The study shall
consider the possibility of providing health care to such re-
tirees through at least the following alternatives, either indi-
225
vidually or in combination, and shall include an analysis
of the mandatory and discretionary funding requirements
for implementation of each alternative for each year of a
ten-year period:
(A) The use of mandatory enrollments in any
health care option.
(B) The creation, integration, and coordination
of a Department of Defense-Medicare supplemental
plan that—
(i) includes benefits similar to those covered
under a standard medicare supplemental health
insurance policy; and
(ii) requires participation in, and coordina-
tion with, available medicare prescription drug
benefits.
(C) Space-available health care in military med-
ical treatment facilities and participation in the
standard prescription drug plan under the TRICARE
program.
(D) Increased participation in, and coordination
with, managed care programs of the Veterans Health
Administration.
(2) The study shall consider—
(A) the findings and recommendations in all re-
ports prepared by the Comptroller General on dem-
226
onstration programs of the Department of Defense in-
volving medicare-eligible military retirees; and
(B) the existence of multiple overlapping benefits
for such retirees, including benefits available through
the Veterans Health Administration, medicare, and
private insurance.
(c) INDEPENDENT ADVISORY COMMITTEE.—(1) The
Secretary shall establish an independent advisory com-
mittee to assist the federally funded research and develop-
ment center described in subsection (a) in conducting the
study required by this section. The Secretary shall appoint
the members of the committee from among individuals
who—
(A) are not members of the uniformed services or
civilian employees of the Department of Defense;
(B) possess expertise in health insurance matters,
including matters regarding medigap plans and
TRICARE supplemental insurance policies;
(C) are representative of nongovernmental orga-
nizations and associations that represent the views
and interests of covered beneficiaries under chapter 55
of title 10, United States Code;
(D) are knowledgeable regarding the medicare
system, the military health care system, and the Vet-
erans’ Health Administration; and
227
(E) represent associations of major health care
providers and institutions.
(2) Members of the committee shall be appointed for
the life of the committee.
(3)(A) Each member of the committee who is not an
employee of the Government shall be paid at a rate equal
to the daily equivalent of the annual rate of basic pay pre-
scribed for level IV of the Executive Schedule under section
5315 of title 5, United States Code, for each day (including
travel time) during which such member is engaged in per-
forming the duties of the committee.
(B) Members of the committee may travel on aircraft,
vehicles, or other conveyances of the Armed Forces when
travel is necessary in the performance of a duty of the com-
mittee except when the cost of commercial transportation
is less expensive.
(C) The members of the committee may be allowed
travel expenses, including per diem in lieu of subsistence,
at rates authorized for employees of agencies under sub-
chapter I of chapter 57 of title 5, United States Code, while
away from their homes or regular places of business in the
performance of services for the committee.
(D)(i) A member of the committee who is an annuitant
otherwise covered by section 8344 or 8468 of title 5, United
States Code, by reason of membership on the committee
228
shall not be subject to the provisions of such section with
respect to such membership.
(ii) A member of the committee who is a member or
former member of a uniformed service shall not be subject
to the provisions of subsections (b) and (c) of section 5532
of such title with respect to membership on the committee.
(4) The committee shall terminate 60 days after the
date on which the final report is submitted under subsection
(d).
(d)(1) DEADLINE FOR COMPLETION.—Not later than
September 30, 2002, the federally funded research and de-
velopment center described in subsection (a) shall submit
to the Secretary a report on the study, including its find-
ings and conclusions concerning each of the matters de-
scribed in subsection (b).
(2) Not later than December 31, 2002, the Secretary
shall submit the report, together and any comments of the
Secretary, to Congress, the Secretary of Veterans Affairs,
and the Secretary of Health and Human Services.
(e) COOPERATION BY DEPARTMENT OF DEFENSE.—
The Secretary shall require that all components of the De-
partment of Defense cooperate fully with the federally fund-
ed research and development center carrying out the study.
229
SEC. 723. EXTENDED COVERAGE UNDER FEDERAL EMPLOY-
EES HEALTH BENEFITS PROGRAM.
(a) EXPANSION OF COVERAGE FOR RETIREES OVER
AGE 65.—Section 1108 of title 10, United States Code, is
amended by adding at the end the following:
‘‘(m) EXPANSION OF COVERAGE FOR RETIREES OVER
AGE 65.—(1) Eligible beneficiaries referred to in subsection
(b)(1) shall be permitted to enroll, or to extend a previous
enrollment entered into under subsection (d)(2), during a
period of open enrollment for the year 2003 (conducted in
the fall of 2002).
‘‘(2) Subject to paragraphs (2) and (3) of subsection
(f), the period of enrollment, or extension of enrollment, of
an eligible beneficiary under paragraph (1) shall be one
year unless the beneficiary disenrolls before the termination
of the demonstration project.’’.
(b) EXTENSION OF PROJECT PERIOD.—(1) Subsection
(d) of such section is amended—
(A) in paragraph (1), by striking ‘‘three contract
years’’ and inserting ‘‘four contract years’’; and
(B) in paragraph (2), by striking ‘‘December 31,
2002’’ in the second sentence and inserting ‘‘December
31, 2003’’.
(2) Subsection (f)(1) of such section is amended by
striking ‘‘three’’ and inserting ‘‘four’’.
230
(3) Subsection (k) of such section is amended by strik-
ing ‘‘December 31, 2002’’ and inserting ‘‘December 31,
2003’’.
(4) Subsection (l)(2) of such section is amended by
striking ‘‘36 months’’ and inserting ‘‘48 months’’.
(c) ADDITIONAL AREAS OF COVERAGE.—Subsection (c)
of such section is amended—
(1) by striking ‘‘, but not more than ten,’’; and
(2) by striking the third sentence and inserting
the following: ‘‘In establishing the areas, the Secretary
and the Director of the Office of Personnel Manage-
ment shall include an area that includes the
catchment area of one or more military medical treat-
ment facilities, an area that is not located in the
catchment area of a military medical treatment facil-
ity, an area in which there is a Medicare Subvention
Demonstration project area under section 1896 of title
XVIII of the Social Security Act (42 U.S.C. 1395ggg),
and one area for each TRICARE region.’’.
SEC. 724. EXTENSION OF TRICARE SENIOR SUPPLEMENT
PROGRAM.
Section 722(a)(2) of the Strom Thurmond National
Defense Authorization Act for Fiscal Year 1999 (Public
Law 105–261; 112 Stat. 2065; 10 U.S.C. 1073 note) is
231
amended by striking ‘‘December 31, 2002’’ and inserting
‘‘December 31, 2003’’.
SEC. 725. EXTENSION OF TRICARE SENIOR PRIME DEM-
ONSTRATION PROJECT.
(a) EXTENSION OF PROJECT.—Section 1896 of the So-
cial Security Act (42 U.S.C. 1395ggg) is amended in sub-
section (b)(4) by striking ‘‘3-year period beginning on Jan-
uary 1, 1998’’ and inserting ‘‘period beginning on January
1, 1998, and ending on December 31, 2003’’;
(b) IMPLEMENTATION OF UTILIZATION REVIEW PRO-
CEDURES.—Subsection (b) of such section is further amend-
ed by adding at the end the following:
‘‘(6) UTILIZATION
REVIEW
PROCEDURES.—The
Secretary of Defense shall develop and implement pro-
cedures to review utilization of health care services by
medicare-eligible military retirees and dependents
under this section in order to enable the Secretary of
Defense to more effectively manage the use of military
medical treatment facilities by such retirees and de-
pendents.’’.
(c) REPORTS.—(1) Such section 1896 is further
amended in subsection (k)(1)—
(1) by striking ‘‘31⁄2 years’’ and inserting ‘‘41⁄2
years’’; and
232
(2) by adding at the end the following new sub-
paragraphs:
‘‘(P) Which interagency funding mecha-
nisms would be most appropriate if the project
under this section is made permanent.
‘‘(Q) The ability of the Department of De-
fense to operate an effective and efficient man-
aged care system for medicare beneficiaries.
‘‘(R) The ability of the Department of De-
fense to meet the managed care access and qual-
ity of care standards under medicare.
‘‘(S) The adequacy of the data systems of
the Department of Defense for providing timely,
necessary, and accurate information required to
properly manage the demonstration project.’’.
(2) Section 724 of the Strom Thurmond National De-
fense Authorization Act for Fiscal Year 1999 (Public Law
105–261; 10 U.S.C. 1108 note) is amended by inserting ‘‘the
demonstration project conducted under section 1896 of the
Social Security Act (42 U.S.C. 1395ggg),’’ after ‘‘section
722,’’.
233
Subtitle D—Other Matters
SEC. 731. TRAINING IN HEALTH CARE MANAGEMENT AND
ADMINISTRATION.
(a) EXPANSION OF PROGRAM.—Section 715(a) of the
National Defense Authorization Act for Fiscal Year 1996
(Public Law 104–106; 110 Stat 375; 10 U.S.C. 1073 note)
is amended—
(1) in paragraph (1)—
(A) by inserting ‘‘, deputy commander, and
managed care coordinator’’ after ‘‘commander’’;
and
(B) by inserting ‘‘and any other person’’
after ‘‘Defense’’;
(2) by redesignating subsection (b) as subsection
(c); and
(3) by inserting after subsection (a) the following
new subsection:
‘‘(b) LIMITATION ON ASSIGNMENT UNTIL COMPLETION
OF TRAINING.—No person may be assigned as the com-
mander, deputy commander, or managed care coordinator
of a military medical treatment facility or as a TRICARE
lead agent or senior member of the staff of a TRICARE
lead agent office until the Secretary of the military depart-
ment concerned submits a certification to the Secretary of
234
Defense that such person has completed the training de-
scribed in subsection (a).’’.
(b) REPORT REQUIREMENT.—(1) Not later than six
months after the date of the enactment of this Act, the Sec-
retary of Defense shall submit to Congress a report on
progress in meeting the requirements in such section regard-
ing implementation of a professional educational program
to provide appropriate training in health care management
and administration.
(2) The report required by paragraph (1) shall include,
but shall not be limited to, the following:
(A) A survey of professional civilian certifi-
cations and credentials which demonstrate achieve-
ment of the requirements of such section.
(B) A description of the continuing education
activities required to obtain initial certification and
periodic required recertification.
(C) A description of the prominence of such cre-
dentials or certifications among senior civilian health
care executives.
SEC. 732. STUDY OF ACCRUAL FINANCING FOR HEALTH
CARE FOR MILITARY RETIREES.
(a) STUDY REQUIRED.—The Secretary of Defense shall
carry out a study to assess the feasibility and desirability
of financing the military health care program for retirees
235
of the uniformed services on an accrual basis. The study
shall be conducted by one or more Department of Defense
organizations designated by the Secretary.
(b) REPORT.—Not later than February 8, 2001, the
Secretary shall submit to Congress a report on the study,
including any comments on the matters studied that the
Secretary considers appropriate.
SEC. 733. TRACKING PATIENT SAFETY IN MILITARY MED-
ICAL TREATMENT FACILITIES.
(a) CENTRALIZED TRACKING PROCESS.—The Sec-
retary of Defense shall implement a centralized process for
the reporting, compiling, and analysis of errors in the pro-
vision of health care in military medical treatment facili-
ties that endanger patients beyond the normal risks associ-
ated with the care and treatment of the patients.
(b) SAFETY INDICATORS, STANDARDS, AND PROTO-
COLS.—The process shall include such indicators, stand-
ards, and protocols as the Secretary of Defense considers
necessary for the establishment and administration of an
effective process.
SEC. 
734. 
PHARMACEUTICAL 
IDENTIFICATION 
TECH-
NOLOGY.
(a) BAR CODE IDENTIFICATION TECHNOLOGY.—The
Secretary of Defense shall develop a system for the use of
bar codes for the identification of pharmaceuticals in order
236
to provide for the safest use possible of such pharma-
ceuticals.
(b) USE
IN
NATIONAL
MAIL
ORDER
PHARMA-
CEUTICALS
DEMONSTRATION
PROJECT.—The Secretary
shall implement the use of bar code identification of phar-
maceuticals in the administration of the mail order phar-
maceutical demonstration project being carried out under
section 702 of the National Defense Authorization Act for
Fiscal Year 1993 (Public Law 102–484; 106 Stat. 2431;
10 U.S.C. 1079 note).
SEC. 735. MANAGEMENT OF VACCINE IMMUNIZATION PRO-
GRAM.
(a) IN GENERAL.—(1) Chapter 55 of title 10, United
States Code, is amended by adding at the end the following
new section:
‘‘§ 1110. Policies and procedures for immunization
program
‘‘(a) SYSTEM AND PROCEDURES FOR TRACKING SEPA-
RATIONS.—(1) The Secretary of each military department
shall establish a system for tracking, recording, and report-
ing separations of members of the armed forces that result
from procedures initiated as a result of a refusal to partici-
pate in the anthrax vaccine immunization program.
‘‘(2) The Secretary of Defense shall consolidate the in-
formation recorded under the system described in para-
237
graph (1) and shall submit to the Committees on Armed
Services of the House of Representatives and the Senate on
an annual basis a report on such information. Such reports
shall include a description of—
‘‘(A) the number of personnel separated, cat-
egorized by military department, rank, and active-
duty or reserve status; and
‘‘(B) any other information determined appro-
priate by the Secretary.
‘‘(b) EMERGENCY ESSENTIAL CIVILIAN PERSONNEL.—
The Secretary of Defense shall—
‘‘(1) prescribe regulations for the purpose of en-
suring that any civilian employee of the Department
of Defense who is determined to be an emergency es-
sential employee and who is required to participate
in the anthrax vaccination program is notified of the
requirement to participate in the program and the
consequences of a decision not to participate; and
‘‘(2) ensure that any individual who is being
considered for a position as such an employee is noti-
fied of the obligation to participate in the program
before being offered employment in such position.
‘‘(c) PROCEDURES FOR MEDICAL AND ADMINISTRA-
TIVE EXEMPTIONS.—(1) The Secretary of Defense shall es-
tablish uniform procedures under which members of the
238
armed forces may be exempted from participating in the
anthrax vaccination program for either administrative or
medical reasons.
‘‘(2) The Secretaries of the military departments shall
provide for notification of all members of the armed forces
of the procedures described in paragraph (1).
‘‘(d) SYSTEM
FOR
MONITORING
ADVERSE
REAC-
TIONS.—(1) The Secretary of Defense shall establish a sys-
tem for monitoring adverse reactions of members of the
armed forces to the anthrax vaccine which shall include the
following:
‘‘(A) Independent review of Vaccine Adverse
Event Reporting System reports.
‘‘(B) Periodic surveys of personnel to whom the
vaccine is administered.
‘‘(C) A continuing longitudinal study of a pre-
identified group of members of the armed forces (in-
cluding men and women and members from all serv-
ices).
‘‘(D) Active surveillance of a sample of members
to whom the anthrax vaccine has been administered
that is sufficient to identify, at the earliest oppor-
tunity, any patterns of adverse reactions, the dis-
covery of which might be delayed by reliance solely on
the Vaccine Adverse Event Reporting System.
239
‘‘(2) The Secretary may extend or expand any ongoing
or planned study or analysis of trends in adverse reactions
of members of the armed forces to the anthrax vaccine in
order to meet any of the requirements in paragraph (1).
‘‘(3) The Secretary shall establish guidelines under
which members of the armed forces who are determined by
an independent expert panel to be experiencing unexplained
adverse reactions may obtain access to a Department of De-
fense Center of Excellence treatment facility for expedited
treatment and follow up.
‘‘(e) VACCINE DEVELOPMENT AND PROCUREMENT.—
(1) The Secretary of Defense shall develop a plan, including
milestones, for modernizing all vaccines used or anticipated
to be used as part of the protection strategy for members
of the armed forces.
‘‘(2) The Secretary—
‘‘(A) shall, to the maximum extent possible, be
the sole purchaser of a vaccine to immunize members
of the armed forces and employees of all Federal agen-
cies;
‘‘(B) shall, to the maximum extent possible, pro-
cure such a vaccine from more than one manufac-
turer; and
‘‘(C) in any case in which the Secretary deter-
mines that sole source procurement of such a vaccine
240
is necessary, may not enter into a contract to pur-
chase such vaccine until 30 days after providing noti-
fication to the Committees on Armed Services of the
House of Representatives and the Senate that the Sec-
retary intends to enter into a sole source contract for
the vaccine.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘1110. Policies and procedures for immunization program.’’.
(b) COMPTROLLER GENERAL REPORTS.—(1)(A) Not
later than April 1, 2002, the Comptroller General shall sub-
mit to the Committees on Armed Service of the House of
Representatives and the Senate a report on the impact of
the anthrax vaccination program on the recruitment and
retention of active duty and reserve military personnel and
civilian personnel of the Armed Forces. The study shall
cover the period beginning on the date of the enactment of
this Act and ending on December 31, 2001.
(B) The Comptroller General shall include in the re-
port required by paragraph (1) a description of any per-
sonnel actions (including transfer, termination, or reassign-
ment of any personnel) taken as a result of the refusal of
any civilian employee of the Department of Defense to par-
ticipate in the anthrax vaccination program.
(2) Not later than March 1 of each of years 2001
through 2004, the Comptroller General shall review and
241
submit to the Committees on Armed Service of the House
of Representatives and the Senate a report on the financial
operations of the manufacturer of the anthrax vaccine ad-
ministered through the anthrax vaccine immunization pro-
gram of the Department of Defense. Under such review, the
Comptroller General shall—
(A) consider the findings and observations of any
other Federal or State reports relating to such finan-
cial operations;
(B) examine the compliance of the Department of
Defense and its contractors with the Federal Acquisi-
tion Regulation; and
(C) make recommendations for improving the fi-
nancial stability of the manufacturer.
(c) DOD REPORTS ON MANAGEMENT OF ANTHRAX
VACCINE IMMUNIZATION PROGRAM.—(1) Not later than
April 1 of each of years 2001 through 2004, the Secretary
of Defense shall submit to the Committees on Armed Service
of the House of Representatives and the Senate a report de-
scribing, with respect to each contract relating to the an-
thrax vaccination program, the costs incurred by, and pay-
ments made to, each contractor or other entity engaged in
the production, storage, distribution, or marketing of the
anthrax vaccine administered by the Department of De-
fense.
242
(B) The first report submitted under subparagraph (A)
shall include the following:
(i) An estimate of the life-cycle cost for the an-
thrax vaccination program.
(ii) A description of the acquisition strategy for
the program, including the applicable acquisition cat-
egory.
(iii) An assessment of the Governmentwide re-
quirements with respect to the anthrax vaccine and
the financial and manufacturing ability of the manu-
facturer of the anthrax vaccine to meet such require-
ments.
(iv) A description of the status of supplements to
the anthrax vaccine licenses of the contractors and
whether the Food and Drug Administration has ap-
proved or is anticipated to approve all anthrax vac-
cine doses manufactured.
(v) A summary of all audits by the Defense Con-
tract Audit Agency or the Inspector General of the
Department of Defense of anthrax vaccine contracts of
the Department of Defense and a description of any
actions taken or planned to be taken in response to
recommendations regarding such audits.
(vi) A review of all actions taken by the Depart-
ment of Defense to coordinate with other Federal
243
agencies to ensure the facility of a manufacturer of
the anthrax vaccine is compliant with all Federal re-
quirements.
SEC. 736. STUDY ON FEASIBILITY OF SHARING BIOMEDICAL
RESEARCH FACILITY.
(a) STUDY REQUIRED.—The Secretary of the Army
shall conduct a study on the feasibility of the Tripler Army
Medical Center, Hawaii, sharing a biomedical research fa-
cility with the Department of Veterans Affairs and the
School of Medicine at the University of Hawaii for the pur-
pose of making more efficient use of funding for biomedical
research. Such facility would include a clinical research
center and facilities for educational, academic, and labora-
tory research.
(b) REPORT.—Not later than March 1, 2001, the Sec-
retary of the Army shall submit to the Committees on
Armed Services of the House of Representatives and the
Senate a report on the study conducted under this section.
SEC. 737. CHIROPRACTIC HEALTH CARE FOR MEMBERS ON
ACTIVE DUTY.
(a) PLAN REQUIRED.—(1) Not later than March 31,
2001, the Secretary of Defense shall complete development
of a plan to provide chiropractic health care services and
benefits, as a permanent part of the Defense Health Pro-
gram (including the TRICARE program), for all members
244
of the uniformed services who are entitled to care under sec-
tion 1074(a) of title 10, United States Code.
(2) The plan shall provide for the following:
(A) Direct access, at designated military medical
treatment facilities, to the scope of chiropractic serv-
ices as determined by the Secretary, which includes,
at a minimum, care for neuro-musculoskeletal condi-
tions typical among military personnel on active
duty.
(B) A detailed analysis of the projected costs of
fully integrating chiropractic health care services into
the military health care system.
(C) An examination of the proposed military
medical treatment facilities at which such services
would be provided.
(D) An examination of the military readiness re-
quirements for chiropractors who would provide such
services.
(E) An examination of any other relevant factors
that the Secretary considers appropriate.
(F) Phased-in implementation of the plan over a
five-year period, beginning on October 1, 2001.
(b) CONSULTATION REQUIREMENTS.—The Secretary of
Defense shall consult with the other administering Secre-
taries described in section 1073 of title 10, United States
245
Code, and the oversight advisory committee established
under section 731 of the National Defense Authorization Act
for Fiscal Year 1995 (Public Law 103–337; 10 U.S.C. 1092
note) regarding the following:
(1) The development and implementation of the
plan required under subsection (a).
(2) Each report that the Secretary is required to
submit to Congress regarding the plan.
(3) The selection of the military medical treat-
ment facilities at which the chiropractic services de-
scribed in subsection (a)(2)(A) are to be provided.
(c) CONTINUATION OF CURRENT SERVICES.—Until the
plan required under subsection (a) is implemented, the Sec-
retary shall continue to furnish the same level of chiro-
practic health care services and benefits under the Defense
Health Program that is provided during fiscal year 2000
at military medical treatment facilities that provide such
services and benefits.
(d) REPORT REQUIRED.—Not later than January 31,
2001, the Secretary of Defense shall submit a report on the
plan required under subsection (a), together with appro-
priate appendices and attachments, to the Committees on
Armed Services of the Senate and the House of Representa-
tives.
246
(e) GAO REPORTS.—The Comptroller General shall
monitor the development and implementation of the plan
required under subsection (a), including the administration
of services and benefits under the plan, and periodically
submit to the committees referred to in subsection (d) writ-
ten reports on such development and implementation.
(f) FUNDING.—The Secretary of Defense shall transfer
$3,000,000 from the Foreign Currency Fluctuations, De-
fense account to the Defense Health Program account, which
amount shall only be available for purposes of carrying out
this section.
SEC. 738. VA-DOD SHARING AGREEMENTS FOR HEALTH
SERVICES.
(a) PRIMACY OF SHARING AGREEMENTS.—The Sec-
retary of Defense shall—
(1) give full force and effect to any agreement
into which the Secretary or the Secretary of a mili-
tary department entered under section 8111 of title
38, United States Code, or under section 1535 of title
31, United States Code, which was in effect on Sep-
tember 30, 1999; and
(2) ensure that the Secretary of the military de-
partment concerned directly reimburses the Secretary
of Veterans Affairs for any services or resources pro-
vided under such agreement in accordance with the
247
terms of such an agreement, including terms pro-
viding for reimbursement from funds available for
that military department.
(b) MODIFICATION OR TERMINATION.—Any agreement
described in subsection (a) shall remain in effect in accord-
ance with such subsection unless, during the 12-month pe-
riod following the date of the enactment of this Act, such
agreement is modified or terminated in accordance with the
terms of such agreement.
TITLE VIII—ACQUISITION POL-
ICY, ACQUISITION MANAGE-
MENT, AND RELATED MAT-
TERS
SEC. 801. EXTENSION OF AUTHORITY FOR DEPARTMENT OF
DEFENSE ACQUISITION PILOT PROGRAMS;
REPORTS REQUIRED.
(a) IN GENERAL.—Notwithstanding section 5064(d) of
the Federal Acquisition Streamlining Act of 1994 (Public
Law 103–355; 10 U.S.C. 2430 note), the special authorities
provided under section 5064(c) of such Act shall continue
to apply with respect to programs designated under section
5064(a) of such Act through September 30, 2005.
(b) JDAM PILOT PROGRAM.—The Secretary of De-
fense may award Joint Direct Attack Munition contracts
and modifications on the same terms and conditions as con-
248
tained in the Joint Direct Attack Munition contract
F08626–94–C–0003.
(c) REPORTS REQUIRED.—(1) Not later than January
1, 2001, the Secretary of Defense shall submit to the Com-
mittees on Armed Services of the House of Representatives
and the Senate a report on the acquisition pilot programs
of the Department of Defense. Such report shall include a
description of the following with respect to each acquisition
program participating in the pilot program:
(A) Each quantitative measure and goal estab-
lished for each item described in paragraph (2),
which of such goals have been achieved, and the extent
to which the use of the authorities in section 809 of
the National Defense Authorization Act for Fiscal
Year 1991 (Public Law 101–510; 10 U.S.C. 2430
note) and section 5064 of the Federal Acquisition
Streamlining Act of 1994 (Public Law 103–355; 10
U.S.C. 2430 note) were a factor in achieving each of
such goals.
(B) Each of the regulations and statutes waived,
as authorized under such sections, in order to achieve
such goals.
(C) Recommended revisions to statutes or the
Federal Acquisition Regulation as a result of partici-
pation in the pilot program.
249
(D) Any other acquisition programs which could
benefit from participation in the pilot program, and
the reasons why such programs could benefit from
such participation.
(E) Any innovative business practices developed
as a result of participation in the pilot program,
whether such business practices could be applied to
other acquisition programs, and any impediments to
application of such practices to other programs.
(F) Technological changes to the program, and to
what extent those changes affected the items in para-
graph (2).
(G) Any other information determined appro-
priate by the Secretary.
(2) The items under this paragraph are, with respect
to defense acquisition programs, the following:
(A) The acquisition management costs.
(B) The unit cost of the items procured.
(C) The acquisition cycle.
(D) The total cost of carrying out the contract.
(E) Staffing necessary to carry out the program.
SEC. 802. TECHNICAL DATA RIGHTS FOR ITEMS DEVELOPED
EXCLUSIVELY AT PRIVATE EXPENSE.
(a) AMENDMENTS TO TITLE 10.—Section 2320(a)(2)
of title 10, United States Code, is amended—
250
(1) in subparagraph (C)—
(A) by amending clause (iii) to read as fol-
lows:
‘‘(iii) is necessary for normal operation
(other than detailed manufacturing or processing
data), maintenance, installation, or training
when such services are to be provided by an enti-
ty other than the contractor or its subcon-
tractor;’’;
(B) by redesignating clause (iv) as (v); and
(C) by inserting after clause (iii) the fol-
lowing new clause (iv):
‘‘(iv) is necessary for critical operation,
maintenance, installation of deployed equipment,
or training, when such services are to be pro-
vided by an entity other than the contractor or
its subcontractor; or’’;
(2) in subparagraph (F)(i)—
(A) in subclause (I)—
(i) by inserting ‘‘clause (i), (ii), (iv),
or (v) of’’ before ‘‘subparagraph (C)’’; and
(ii) by striking ‘‘or’’ at the end; and
(B) by adding at the end the following new
subclause:
251
‘‘(III) under the conditions described
in subsection (a)(2)(C)(iii), reaching agree-
ment in negotiations concerning provision
of the rights involved may not be required
as a condition of being responsive to a solic-
itation, but may be a condition for the
award of a contract; or’’; and
(3) by adding at the end the following new sub-
paragraphs:
‘‘(H) In a case described in subparagraph
(C)(iii), the provision of the rights involved shall be
subject to negotiations between the Government and
the contractor or contractors involved.
‘‘(I) A description of the difference between ‘nor-
mal operation’ and ‘critical operation’, as such terms
are used in subparagraph (C).’’.
(b) DEADLINE FOR PROPOSAL OF CERTAIN REGULA-
TIONS.—The Secretary of Defense shall propose, before initi-
ating notice and opportunity for public comment, initial
regulations regarding section 2320(a)(2)(I) of title 10,
United States Code (as added by subsection (a)(3)), not
later than 60 days after the date of the enactment of this
Act.
252
SEC. 803. MANAGEMENT OF ACQUISITION OF MISSION-ES-
SENTIAL SOFTWARE FOR MAJOR DEFENSE
ACQUISITION PROGRAMS.
(a) DESIGNATION OF DIRECTOR OF MISSION-ESSEN-
TIAL SOFTWARE MANAGEMENT.—Chapter 4 of title 10,
United States Code, is amended by adding at the end the
following new section:
‘‘§ 144. Director of Mission-Essential Software Man-
agement
‘‘(a) The Under Secretary of Defense for Acquisition,
Technology, and Logistics shall designate within the Office
of the Under Secretary of Defense for Acquisition, Tech-
nology, and Logistics a Director of Mission-Essential Soft-
ware Management.
‘‘(b) The Director of Mission-Essential Software Man-
agement shall provide effective oversight of, and shall seek
to improve mechanisms for, the management, development,
and maintenance of mission-essential software for major de-
fense acquisition programs described in subsection (c).
‘‘(c) For purposes of this section, mission-essential soft-
ware for major defense acquisition programs is software—
‘‘(1) that is an integral part of software-inten-
sive major defense acquisition programs; and
‘‘(2) that is physically part of, dedicated to, or
essential to the mission performance of a weapons
system.
253
‘‘(d) The Director of Mission-Essential Software Man-
agement shall be responsible for—
‘‘(1) reviewing the policies and practices of the
military departments and Defense Agencies for devel-
oping software described in subsection (c);
‘‘(2) reviewing planning and progress in the
management of such software; and
‘‘(3) recommending goals and plans to improve
management with respect to such software.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by adding at the
end the following new item:
‘‘144. Director of Mission-Essential Software Management.’’.
SEC. 804. EXTENSION OF WAIVER PERIOD FOR LIVE-FIRE
SURVIVABILITY TESTING FOR MH–47E AND
MH–60K HELICOPTER MODIFICATION PRO-
GRAMS.
(a) EXISTING WAIVER PERIOD NOT APPLICABLE.—
Section 2366(c)(1) of title 10, United States Code, shall not
apply with respect to survivability and lethality tests for
the MH–47E and MH–60K helicopter modification pro-
grams. Except as provided in the previous sentence, the pro-
visions and requirements in section 2366(c) of such title
shall apply with respect to such programs, and the certifi-
cation required by subsection (b) shall comply with the re-
quirements in paragraph (3) of such section.
254
(b) EXTENDED PERIOD FOR WAIVER.—With respect to
the MH–47E and MH–60K helicopter modification pro-
grams, the Secretary of Defense may waive the application
of the survivability and lethality tests described in section
2366(a) of title 10, United States Code, if the Secretary,
before full materiel release of the MH–47E and MH–60K
helicopters for operational use, certifies to Congress that
live-fire testing of the programs would be unreasonably ex-
pensive and impracticable.
(c) CONFORMING AMENDMENT.—Section 142(a) of the
National Defense Authorization Act for Fiscal Year 1993
(Public Law 102–484; 106 Stat. 2338) is amended by strik-
ing ‘‘and survivability testing’’ in paragraphs (1) and (2).
SEC. 805. THREE-YEAR EXTENSION OF AUTHORITY OF DE-
FENSE 
ADVANCED 
RESEARCH 
PROJECTS
AGENCY TO CARRY OUT CERTAIN PROTOTYPE
PROJECTS.
Section 845(c) of the National Defense Authorization
Act for Fiscal Year 1994 (10 U.S.C. 2371 note) is amended
by striking ‘‘September 30, 2001’’ and inserting ‘‘September
30, 2004’’.
255
SEC. 806. CERTIFICATION OF MAJOR AUTOMATED INFOR-
MATION SYSTEMS AS TO COMPLIANCE WITH
CLINGER-COHEN ACT.
(a) MILESTONE APPROVAL.—(1) During fiscal years
2001, 2002, and 2003, a major automated information sys-
tem may not receive Milestone I approval, Milestone II ap-
proval, or Milestone III approval within the Department
of Defense until the Chief Information Officer certifies, with
respect to that milestone, that the system is being developed
in accordance with the Clinger-Cohen Act of 1996 (40
U.S.C. 1401 et seq.). The Chief Information Officer may
require additional certifications, as appropriate, with re-
spect to any such system.
(2) The Chief Information Officer shall provide the
congressional defense committees notification of each certifi-
cation under paragraph (1). Each such notification shall
be submitted not later than 10 days after the date of the
Milestone approval to which the certification relates and
shall include, at a minimum, the funding baseline and
milestone schedule for the system covered by the certification
and confirmation that the following steps have been taken
with respect to the system:
(A) Business process reengineering.
(B) An analysis of alternatives.
(C) An economic analysis that includes a cal-
culation of the return on investment.
256
(D) Performance measures.
(E) An information assurance strategy con-
sistent with the Department’s Command, Control,
Communications, Computers, Intelligence, Surveil-
lance, and Reconnaissance (C4ISR) Architecture
Framework.
(b) NOTICE OF DESIGNATION OF SYSTEMS AS SPECIAL
INTEREST MAJOR TECHNOLOGY INITIATIVES.—(1) When-
ever during fiscal year 2001, 2002, or 2003 the Chief Infor-
mation Officer designates a major automated information
system of the Department of Defense as a ‘‘special interest
major technology initiative’’, the Chief Information Officer
shall notify the congressional defense committees of such
designation. Such notice shall be provided not later than
30 days after the date of the designation. Any such notice
shall include the rationale for the decision to make the des-
ignation and a description of the program management
oversight that will be implemented for the system so des-
ignated.
(2) Not later than 60 days after the date of the enact-
ment of this Act, the Chief Information Officer shall submit
to the congressional defense committees a report specifying
each information system of the Department of Defense cur-
rently designated as a ‘‘special interest major technology
initiative’’. The report shall include for each such system
257
the information specified in the third sentence of paragraph
(1).
(c) DEFINITIONS.—For purposes of this section:
(1) The term ‘‘Chief Information Officer’’ means
the senior official of the Department of Defense des-
ignated by the Secretary of Defense pursuant to sec-
tion 3506 of title 44, United States Code.
(2) The term ‘‘major automated information sys-
tem’’ has the meaning given that term in Department
of Defense Directive 5000.1.
SEC. 807. LIMITATIONS ON PROCUREMENT OF CERTAIN
ITEMS.
Section 2534 of title 10, United States Code, is
amended—
(1) in subsection (a), by adding at the end the
following new paragraph:
‘‘(6) POLYACRYLONITRILE
CARBON
FIBER.—
Polyacrylonitrile carbon fiber in accordance with sub-
part 225.71 of part 225 of the Defense Federal Acqui-
sition Regulation Supplement, as in effect on April 1,
2000.’’; and
(2) in subsection (c)—
(A) by striking paragraph (2)(C) and in-
serting the following:
258
‘‘(C)(i) Subsection (a)(4)(B), subparagraph (B),
and this clause shall cease to be effective on October
1, 1996.
‘‘(ii) Subsection (a)(4)(A), subparagraph (A),
and this clause shall cease to be effective on October
1, 2003.’’;
(B) by striking paragraph (3);
(C) by redesignating paragraph (4) as
paragraph (3); and
(D) by adding at the end the following new
paragraph (4):
‘‘(4) POLYACRYLONITRILE CARBON FIBER.—Sub-
section (a)(6) and this paragraph shall cease to be ef-
fective on October 1, 2003.’’.
SEC. 808. MULTIYEAR SERVICES CONTRACTS.
(a) IN GENERAL.—Chapter 137 of title 10, United
States Code, is amended—
(1) in section 2306(g), by striking paragraph (3)
and inserting the following:
‘‘(3) Additional provisions regarding mulityear con-
tracts for the purchase of services are provided in section
2306b of this title.’’;
(2) in section 2306b—
(A) in the heading, by inserting ‘‘or serv-
ices’’ after ‘‘property’’;
259
(B) in subsection (a)—
(i) in the matter following the sub-
section heading, by striking ‘‘for the pur-
chase of property’’;
(ii) in paragraph (2), by inserting ‘‘or
services’’ after ‘‘property’’; and
(iii) in paragraph (4)—
(I) by striking ‘‘That’’ and insert-
ing ‘‘In the case of a contract for the
purchase of property, that’’; and
(II) by inserting ‘‘or services’’
after ‘‘property’’ the last place such
term appears; and
(C) in subsection (f)(2), by inserting ‘‘or
services’’ after ‘‘property’’; and
(3) by amending the item relating to section
2306b in the table of sections at the beginning of such
chapter to read as follows:
‘‘2306b. Multiyear contracts: acquisition of property or services.’’.
(b) APPLICABILITY.—The amendments made by this
section shall apply with respect to a contract entered into
after the date the enactment of this Act.
260
SEC. 809. STUDY ON IMPACT OF FOREIGN SOURCING OF
SYSTEMS ON LONG-TERM MILITARY READI-
NESS 
AND 
RELATED 
INDUSTRIAL 
INFRA-
STRUCTURE.
(a) STUDY REQUIRED.—The Secretary of Defense shall
conduct a study analyzing in detail—
(1) the amount and source of parts, components,
and materials of the systems described in subsection
(b) that are obtained—
(A) from domestic sources; and
(B) from foreign sources;
(2) the impact of obtaining such parts, compo-
nents, and materials from foreign sources on the long-
term readiness of the Armed Forces and on the eco-
nomic viability of the industrial infrastructure of the
United States that supports defense needs;
(3) the impact on military readiness that would
result from the loss of the ability to obtain parts, com-
ponents, and materials identified pursuant to para-
graph (1) from foreign sources; and
(4) the availability of domestic sources for parts,
components, and materials identified as being ob-
tained from foreign sources pursuant to paragraph
(1).
(b) SYSTEMS.—The systems referred to in subsection
(a) are the following:
261
(1) AH–64D Apache helicopter.
(2) F/A–18 E/F aircraft.
(3) M1A2 Abrams tank.
(4) AIM–120 AMRAAM missile.
(5) Patriot missile ground station.
(6) Hellfire missile.
(7) M–16 A3 rifle.
(8) AN/VPS–2 radar.
(c) SOURCE OF INFORMATION.—The Secretary shall
collect information to be analyzed under the study from
prime contractors and first and second tier subcontractors.
(d) REQUIREMENT TO CREATE DATABASE.—The Sec-
retary shall create an interactive database for the purpose
of compiling, analyzing, and updating data gathered for
the study required by this section.
(e) REPORT REQUIRED.—Not later than 9 months
after the date of the enactment of this Act, the Secretary
shall submit to Congress a report describing the results of
the study required by this section.
(f) FOREIGN SOURCE DEFINED.—In this section, the
term ‘‘foreign source’’ means a country other than the
United States.
262
SEC. 810. PROHIBITION AGAINST USE OF DEPARTMENT OF
DEFENSE FUNDS TO GIVE OR WITHHOLD A
PREFERENCE TO A MARKETER OR VENDOR
OF FIREARMS OR AMMUNITION.
(a) IN GENERAL.—No funds authorized to be appro-
priated for the Department of Defense may be used to give
or withhold a preference to a marketer or vendor of firearms
or ammunition based on whether the manufacturer or ven-
dor is a party to a covered agreement.
(b) COVERED AGREEMENT DEFINED.—For purposes of
this section, the term ‘‘covered agreement’’ means any agree-
ment requiring a person engaged in a business licensed
under chapter 44 of title 18, United States Code, to abide
by a designated code of conduct, operating practice, or prod-
uct design respecting importing, manufacturing, or dealing
in firearms or ammunition.
SEC. 811. STUDY AND REPORT ON PRACTICE OF CONTRACT
BUNDLING 
IN 
MILITARY 
CONSTRUCTION
CONTRACTS.
(a) STUDY REQUIRED.—The Comptroller General of
the United States shall conduct a study regarding the use
of the practice known as ‘‘contract bundling’’ with respect
to military construction contracts.
(b) REPORT.—Not later than February 1, 2001, the
Comptroller General shall submit to the congressional de-
263
fense committees a report on the results of the study con-
ducted under subsection (a).
TITLE 
IX—DEPARTMENT 
OF
DEFENSE 
ORGANIZATION
AND
MANAGEMENT
SEC. 901. CHANGE OF TITLE OF CERTAIN POSITIONS IN THE
HEADQUARTERS, MARINE CORPS.
(a) INSTITUTION
OF POSITIONS
AS DEPUTY COM-
MANDANTS.—Section 5041(b) of title 10, United States
Code, is amended—
(1) by striking paragraphs (3) through (5) and
inserting the following:
‘‘(3) The Deputy Commandants.’’; and
(2) by redesignating paragraphs (6) and (7) as
paragraphs (4) and (5), respectively.
(b) DESIGNATION
OF DEPUTY COMMANDANTS.—(1)
Section 5045 of such title is amended to read as follows:
‘‘§ 5045. Deputy Commandants
‘‘There are in the Headquarters Marine Corps, not
more than five Deputy Commandants, detailed by the Sec-
retary of the Navy from officers on the active-duty list of
the Marine Corps.’’.
264
(2) The item relating to section 5045 in the table of
sections at the beginning of chapter 506 of such title is
amended to read as follows:
‘‘5045. Deputy Commandants.’’.
(c) CONFORMING AMENDMENT.—Section 1502(7)(D) of
the Armed Forces Retirement Home Act of 1991 (24 U.S.C.
401) is amended to read as follows:
‘‘(D) the Deputy Commandant of the Ma-
rine Corps with responsibility for personnel mat-
ters.’’.
SEC. 902. FURTHER REDUCTIONS IN DEFENSE ACQUISI-
TION AND SUPPORT WORKFORCE.
(a) REDUCTION OF DEFENSE ACQUISITION AND SUP-
PORT WORKFORCE.—The Secretary of Defense shall accom-
plish reductions in defense acquisition and support per-
sonnel positions during fiscal year 2001 so that the total
number of such personnel as of October 1, 2001, is less than
the total number of such personnel as of October 1, 2000,
by at least 13,000.
(b) IMPLEMENTATION PLAN.—(1) The Secretary of De-
fense shall develop an implementation plan for reshaping,
recruiting, and sustaining the defense acquisition and sup-
port workforce in the future.
(2) Not later than May 1, 2001, the Secretary shall
submit to the Committee on Armed Services of the Senate
and the Committee on Armed Services of the House of Rep-
265
resentatives a report setting forth the plan developed under
paragraph (1). The Secretary shall include in the report
a proposal for any recommended changes in law that are
necessary to implement the plan.
(c) DEFENSE ACQUISITION WORKFORCE DEFINED.—
For purposes of this section, the term ‘‘defense acquisition
and support workforce’’ has the meaning given that term
in section 931(d) of the Strom Thurmond National Defense
Authorization Act for Fiscal Year 1999 (Public Law 105–
261; 112 Stat. 2106).
SEC. 903. CLARIFICATION OF SCOPE OF INSPECTOR GEN-
ERAL AUTHORITIES UNDER MILITARY WHIS-
TLEBLOWER LAW.
(a) CLARIFICATION
OF
RESPONSIBILITIES.—Sub-
section (c)(3)(A) of section 1034 of title 10, United States
Code, is amended by inserting ‘‘, in accordance with regula-
tions prescribed under subsection (h),’’ after ‘‘shall expedi-
tiously determine’’.
(b) REDEFINITION OF INSPECTOR GENERAL.—Sub-
section (i)(2) of such section is amended—
(1) by inserting ‘‘any of’’ in the matter pre-
ceding subparagraph (A) after ‘‘means’’;
(2) by striking subparagraphs (C), (D), (E), (F)
and (G); and
266
(3) by inserting after subparagraph (B) the fol-
lowing new subparagraph (C):
‘‘(C) Any officer of the armed forces or employee
of the Department of Defense who is assigned or de-
tailed to serve as an Inspector General at any level
in the Department of Defense.’’.
SEC. 904. REPORT ON NUMBER OF PERSONNEL ASSIGNED
TO LEGISLATIVE LIAISON FUNCTIONS.
(a) REPORT.—Not later than December 1, 2000, the
Secretary of Defense shall submit to the Committee on
Armed Services of the Senate and the Committee on Armed
Services of the House of Representatives a report setting
forth the number of personnel of the Department of Defense
performing legislative liaison functions as of April 1, 2000.
(b) MATTERS TO BE INCLUDED.—The report shall in-
clude the following:
(1) The number of military and civilian per-
sonnel of the Department of Defense assigned to full-
time legislative liaison functions, shown by organiza-
tional entity and by pay grade.
(2) The number of military and civilian per-
sonnel of the Department not covered by paragraph
(1) (other than personnel described in subsection (d))
who perform legislative liaison functions as part of
267
their assigned duties, shown by organizational entity
and by pay grade.
(c) LEGISLATIVE LIAISON FUNCTIONS.—For purposes
of this section, a legislative liaison function is a function
(regardless of how characterized within the Department of
Defense) that has been established or designated to prin-
cipally provide advice, information, and assistance to the
legislative branch on Department of Defense policies, plans,
and programs.
(d) ORGANIZATIONAL ENTITIES.—The display of in-
formation under subsection (b) by organizational entity
shall be for the Department of Defense and for each military
department as a whole and separately for each organization
at the level of major command or Defense Agency or higher.
(e) PERSONNEL NOT COVERED.—Subsection (b)(2)
does not apply to civilian officers appointed by the Presi-
dent, by and with the advice and consent of the Senate,
or to general or flag officers.
SEC. 905. JOINT REPORT ON ESTABLISHMENT OF NA-
TIONAL 
COLLABORATIVE 
INFORMATION
ANALYSIS CAPABILITY.
(a) REPORT.—The Secretary of Defense and the Direc-
tor of Central Intelligence shall submit to the congressional
defense committees and the congressional intelligence com-
mittees a joint report assessing alternatives for the estab-
268
lishment of a national collaborative information analysis
capability. The report shall include the following:
(1) An assessment of alternative architectures to
establish a national collaborative information anal-
ysis capability to conduct data mining and profiling
of information from a wide array of electronic data
sources.
(2) Identification, from among the various archi-
tectures assessed under paragraph (1), of the preferred
architecture and a detailed description of that archi-
tecture and of a program to acquire and implement
the capability that would be provided through that
architecture.
(b) COMPLETION AND USE OF ARMY LAND INFORMA-
TION WARFARE ACTIVITY.—The Secretary of Defense—
(1) shall ensure that the data mining, profiling,
and analysis capability of the Army’s Land Informa-
tion Warfare Activity is completed and is fully oper-
ational as soon as possible; and
(2) shall make maximum use of that capability
to provide intelligence support to the Department of
Defense, the military services, the Intelligence Com-
munity, and other agencies of the Government until
a national collaborative information analysis capa-
bility is operational.
269
(c) FUNDING RESTRICTION FOR A NATIONAL COLLABO-
RATIVE INFORMATION ANALYSIS CAPABILITY.—No funds
available to the Department of Defense may be expended
to establish, support, or implement a program to establish
a national, multi-agency data mining and analysis capa-
bility until such a program is specifically authorized by
law.
SEC. 906. ORGANIZATION AND MANAGEMENT OF CIVIL AIR
PATROL.
(a) IN GENERAL.—Chapter 909 of title 10, United
States Code, is amended to read as follows:
‘‘CHAPTER 909—CIVIL AIR PATROL
‘‘Sec.
‘‘9441.
Status as federally chartered corporation; purposes.
‘‘9442.
Status as volunteer civilian auxiliary of the Air Force.
‘‘9443.
Activities not performed as auxiliary of the Air Force.
‘‘9444.
Activities performed as auxiliary of the Air Force.
‘‘9445.
Funds appropriated for the Civil Air Patrol.
‘‘9446.
Miscellaneous personnel authorities.
‘‘9447.
Board of Governors.
‘‘9448.
Regulations.
‘‘§ 9441. Status as federally chartered corporation;
purposes
‘‘(a) STATUS.—(1) The Civil Air Patrol is a nonprofit
corporation that is federally chartered under section 40301
of title 36.
‘‘(2) Except as provided in section 9442(b)(2) of this
title, the Civil Air Patrol is not an instrumentality of the
Federal Government for any purpose.
270
‘‘(b) PURPOSES.—The purposes of the Civil Air Patrol
are set forth in section 40302 of title 36.
‘‘§ 9442. Status as volunteer civilian auxiliary of the
Air Force
‘‘(a) VOLUNTEER CIVILIAN AUXILIARY.—The Civil Air
Patrol is a volunteer civilian auxiliary of the Air Force
when the services of the Civil Air Patrol are used by any
department or agency in any branch of the Federal Govern-
ment.
‘‘(b) USE BY AIR FORCE.—(1) The Secretary of the
Air Force may use the services of the Civil Air Patrol to
fulfill the noncombat programs and missions of the Depart-
ment of the Air Force.
‘‘(2) The Civil Air Patrol shall be deemed to be an
instrumentality of the United States with respect to any
act or omission of the Civil Air Patrol, including any mem-
ber of the Civil Air Patrol, in carrying out a mission as-
signed by the Secretary of the Air Force.
‘‘§ 9443. Activities not performed as auxiliary of the
Air Force
‘‘(a) SUPPORT
FOR STATE
AND LOCAL AUTHORI-
TIES.—The Civil Air Patrol may, in its status as a feder-
ally chartered nonprofit corporation and not as an auxil-
iary of the Air Force, provide assistance requested by State
or local governmental authorities to perform disaster relief
271
missions and activities, other emergency missions and ac-
tivities, and nonemergency missions and activities. Mis-
sions and activities carried out under this section shall be
consistent with the purposes of the Civil Air Patrol.
‘‘(b) USE OF FEDERALLY PROVIDED RESOURCES.—(1)
To perform any mission or activity authorized under sub-
section (a), the Civil Air Patrol may use any equipment,
supplies, and other resources provided to it by the Air Force
or by any other department or agency of the Federal Gov-
ernment or acquired by or for the Civil Air Patrol with
appropriated funds, without regard to whether the Civil Air
Patrol has reimbursed the Federal Government source for
the equipment, supplies, other resources, or funds, as the
case may be.
‘‘(2) The use of equipment, supplies, or other resources
under paragraph (1) is subject to—
‘‘(A) the terms and conditions of the applicable
agreement entered into under chapter 63 of title 31;
and
‘‘(B) the laws and regulations that govern the
use by nonprofit corporations of federally provided
assets or of assets purchased with appropriated funds,
as the case may be.
‘‘(c) AUTHORITY NOT CONTINGENT ON REIMBURSE-
MENT.—The authority for the Civil Air Patrol to provide
272
assistance under subsections (a) and (b) is not contingent
on the Civil Air Patrol being reimbursed for the cost of pro-
viding the assistance. If the Civil Air Patrol requires reim-
bursement for the provision of assistance under such sub-
sections, the Civil Air Patrol may establish the reimburse-
ment rate at a rate less than the rates charged by private
sector sources for equivalent services.
‘‘(d) LIABILITY INSURANCE.—The Secretary of the Air
Force may provide the Civil Air Patrol with funds for pay-
ing the cost of liability insurance for missions and activities
carried out under this section.
‘‘§ 9444. Activities performed as auxiliary of the Air
Force
‘‘(a) AIR FORCE SUPPORT FOR ACTIVITIES.—The Sec-
retary of the Air Force may furnish to the Civil Air Patrol
in accordance with this section any equipment, supplies,
and other resources that the Secretary determines necessary
to enable the Civil Air Patrol to fulfill the missions assigned
by the Secretary to the Civil Air Patrol as an auxiliary
of the Air Force.
‘‘(b) FORMS OF AIR FORCE SUPPORT.—The Secretary
of the Air Force may, under subsection (a)—
‘‘(1) give, lend, or sell to the Civil Air Patrol
without regard to the Federal Property and Adminis-
trative Services Act of 1949 (40 U.S.C. 471 et seq.)—
273
‘‘(A) major items of equipment (including
aircraft, motor vehicles, computers, and commu-
nications equipment) that are excess to the mili-
tary departments; and
‘‘(B) necessary related supplies and train-
ing aids that are excess to the military depart-
ments;
‘‘(2) permit the use, with or without charge, of
services and facilities of the Air Force;
‘‘(3) furnish supplies (including fuel, lubricants,
and other items required for vehicle and aircraft oper-
ations) or provide funds for the acquisition of sup-
plies;
‘‘(4) establish, maintain, and supply liaison offi-
cers of the Air Force at the national, regional, State,
and territorial headquarters of the Civil Air Patrol;
‘‘(5) detail or assign any member of the Air
Force or any officer, employee, or contractor of the
Department of the Air Force to any liaison office at
the national, regional, State, or territorial head-
quarters of the Civil Air Patrol;
‘‘(6) detail any member of the Air Force or any
officer, employee, or contractor of the Department of
the Air Force to any unit or installation of the Civil
274
Air Patrol to assist in the training programs of the
Civil Air Patrol;
‘‘(7) authorize the payment of travel expenses
and allowances, at rates not to exceed those paid to
employees of the United States under subchapter I of
chapter 57 of title 5, to members of the Civil Air Pa-
trol while the members are carrying out programs or
missions specifically assigned by the Air Force;
‘‘(8) provide funds for the national headquarters
of the Civil Air Patrol, including—
‘‘(A) funds for the payment of staff com-
pensation and benefits, administrative expenses,
travel, per diem and allowances, rent, utilities,
other operational expenses of the national head-
quarters; and
‘‘(B) to the extent considered necessary by
the Secretary of the Air Force to fulfill Air Force
requirements, funds for the payment of com-
pensation and benefits for key staff at regional,
State, or territorial headquarters;
‘‘(9) authorize the payment of expenses of plac-
ing into serviceable condition, improving, and main-
taining equipment (including aircraft, motor vehicles,
computers, and communications equipment) owned or
leased by the Civil Air Patrol;
275
‘‘(10) provide funds for the lease or purchase of
items of equipment that the Secretary determines nec-
essary for the Civil Air Patrol;
‘‘(11) support the Civil Air Patrol cadet pro-
gram by furnishing—
‘‘(A) articles of the Air Force uniform to ca-
dets without cost; and
‘‘(B) any other support that the Secretary
of the Air Force determines is consistent with
Air Force missions and objectives; and
‘‘(12) provide support, including appropriated
funds, for the Civil Air Patrol aerospace education
program to the extent that the Secretary of the Air
Force determines appropriate for furthering the ful-
fillment of Air Force missions and objectives.
‘‘(c) ASSISTANCE BY OTHER AGENCIES.—(1) The Sec-
retary of the Air Force may arrange for the use by the Civil
Air Patrol of such facilities and services under the jurisdic-
tion of the Secretary of the Army, the Secretary of the Navy,
or the head of any other department or agency of the United
States as the Secretary of the Air Force considers to be need-
ed by the Civil Air Patrol to carry out its mission.
‘‘(2) An arrangement for use of facilities or services
of a military department or other department or agency
under this subsection shall be subject to the agreement of
276
the Secretary of the military department or head of the
other department or agency, as the case may be.
‘‘(3) Each arrangement under this subsection shall be
made in accordance with regulations prescribed under sec-
tion 9448 of this title.
‘‘§ 9445. Funds appropriated for the Civil Air Patrol
‘‘Funds appropriated for the Civil Air Patrol shall be
available only for the exclusive use of the Civil Air Patrol.
‘‘§ 9446. Miscellaneous personnel authorities
‘‘(a) USE OF RETIRED AIR FORCE PERSONNEL.—(1)
Upon the request of a person retired from service in the
Air Force, the Secretary of the Air Force may enter into
a personal services contract with that person providing for
the person to serve as an administrator or liaison officer
for the Civil Air Patrol. The qualifications of a person to
provide the services shall be determined and approved in
accordance with regulations prescribed under section 9448
of this title.
‘‘(2) To the extent provided in a contract under para-
graph (1), a person providing services under the contract
may accept services on behalf of the Air Force and commit
and obligate appropriated funds as necessary to perform
the services.
‘‘(3) A person, while providing services under a con-
tract authorized under paragraph (1), may receive the per-
277
son’s retired pay and an additional amount for such serv-
ices that is not less than the amount equal to the excess
of—
‘‘(A) the pay and allowances that the person
would be entitled to receive if ordered to active duty
in the grade in which the person retired from service
in the Air Force, over
‘‘(B) the amount of the person’s retired pay.
‘‘(4) A person, while providing services under a con-
tract authorized under paragraph (1), may not be consid-
ered to be on active duty or inactive-duty training for any
purpose.
‘‘(b) USE OF CIVIL AIR PATROL CHAPLAINS.—The
Secretary of the Air Force may use the services of Civil Air
Patrol chaplains in support of the Air Force active duty
and reserve component forces to the extent and under condi-
tions that the Secretary determines appropriate.
‘‘§ 9447. Board of Governors
‘‘(a) GOVERNING BODY.—The Board of Governors of
the Civil Air Patrol is the governing body of the Civil Air
Patrol.
‘‘(b) COMPOSITION.—The Board of Governors is com-
posed of 11 members as follows:
‘‘(1) Four members appointed by the Secretary
of the Air Force, who may be active or retired officers
278
of the Air Force (including reserve components of the
Air Force), employees of the United States, or private
citizens.
‘‘(2) Four members of the Civil Air Patrol, elect-
ed from among the members of the Civil Air Patrol
in the manner provided in regulations prescribed
under section 9448 of this title.
‘‘(3) Three members appointed or selected as pro-
vided in subsection (c) from among personnel of any
Federal Government agencies, public corporations,
nonprofit associations, and other organizations that
have an interest and expertise in civil aviation and
the Civil Air Patrol mission.
‘‘(c) APPOINTMENTS FROM INTERESTED ORGANIZA-
TIONS.—(1) Subject to paragraph (2), the members of the
Board of Governors referred to in subsection (b)(3) shall
be appointed jointly by the Secretary of the Air Force and
the National Commander of the Civil Air Patrol.
‘‘(2) Any vacancy in the position of a member referred
to in paragraph (1) that is not filled under that paragraph
within 90 days shall be filled by majority vote of the other
members of the Board.
‘‘(d) CHAIRPERSON.—(1) The Chairperson of the
Board of Governors shall be chosen by the members of the
Board of Governors from among the members of the Board
279
eligible for selection under paragraph (2) and shall serve
for a term of two years.
‘‘(2) The position of Chairperson shall be held on a
rotating basis, first by a member of the Board selected from
among those appointed by the Secretary of the Air Force
under paragraph (1) of subsection (b) and then by a mem-
ber of the Board selected from among the members elected
by the Civil Air Patrol under paragraph (2) of that sub-
section. Upon the expiration of the term of a Chairperson
selected from among the members referred to in one of those
paragraphs, the selection of a successor to that position shall
be made from among the members who are referred to in
the other paragraph.
‘‘(e) POWERS.—(1) The Board of Governors shall, sub-
ject to paragraphs (2) and (3), exercise the powers granted
under section 40304 of title 36.
‘‘(2) Any exercise by the Board of the power to amend
the constitution or bylaws of the Civil Air Patrol or to
adopt a new constitution or bylaws shall be subject to ap-
proval by a majority of the members of the Board.
‘‘(3) Neither the Board of Governors nor any other
component of the Civil Air Patrol may modify or terminate
any requirement or authority set forth in this section.
‘‘(f) PERSONAL LIABILITY FOR BREACH OF A FIDU-
CIARY DUTY.—(1) The Board of Governors shall, subject to
280
paragraph (2), take such action as is necessary to eliminate
or limit the personal liability of a member of the Board
of Governors to the Civil Air Patrol or to any of its mem-
bers for monetary damages for a breach of fiduciary duty
while serving as a member of the Board.
‘‘(2) The Board may not eliminate or limit the liabil-
ity of a member of the Board of Governors to the Civil Air
Patrol or to any of its members for monetary damages for
any of the following:
‘‘(A) A breach of the member’s duty of loyalty to
the Civil Air Patrol or its members.
‘‘(B) Any act or omission that is not in good
faith or that involves intentional misconduct or a
knowing violation of law.
‘‘(C) Participation in any transaction from
which the member directly or indirectly derives an
improper personal benefit.
‘‘(3) Nothing in this subsection shall be construed as
rendering section 207 or 208 of title 18 inapplicable in any
respect to a member of the Board of Governors who is a
member of the Air Force on active duty, an officer on a
retired list of the Air Force, or an employee of the United
States.
‘‘(g) PERSONAL LIABILITY FOR BREACH OF A FIDU-
CIARY DUTY.—(1) Except as provided in paragraph (2),
281
no member of the Board of Governors or officer of the Civil
Air Patrol shall be personally liable for damages for any
injury or death or loss or damage of property resulting from
a tortious act or omission of an employee or member of the
Civil Air Patrol.
‘‘(2) Paragraph (1) does not apply to a member of the
Board of Governors or officer of the Civil Air Patrol for
a tortious act or omission in which the member or officer,
as the case may be, was personally involved, whether in
breach of a civil duty or in commission of a criminal of-
fense.
‘‘(3) Nothing in this subsection shall be construed to
restrict the applicability of common law protections and
rights that a member of the Board of Governors or officer
of the Civil Air Patrol may have.
‘‘(4) The protections provided under this subsection are
in addition to the protections provided under subsection (f).
‘‘§ 9448. Regulations
‘‘(a) AUTHORITY.—The Secretary of the Air Force
shall prescribe regulations for the administration of this
chapter.
‘‘(b) REQUIRED REGULATIONS.—The regulations shall
include the following:
‘‘(1) Regulations governing the conduct of the ac-
tivities of the Civil Air Patrol when it is performing
282
its duties as a volunteer civilian auxiliary of the Air
Force under section 9442 of this title.
‘‘(2) Regulations for providing support by the
Air Force and for arranging assistance by other agen-
cies under section 9444 of this title.
‘‘(3) Regulations governing the qualifications of
retired Air Force personnel to serve as an adminis-
trator or liaison officer for the Civil Air Patrol under
a personal services contract entered into under section
9446(a) of this title.
‘‘(4) Procedures and requirements for the election
of members of the Board of Governors under section
9447(b)(2) of this title.
‘‘(c) APPROVAL BY SECRETARY OF DEFENSE.—The
regulations required by subsection (b)(2) shall be subject to
the approval of the Secretary of Defense.’’.
(b) CONFORMING AMENDMENTS.—(1) Section 40302 of
title 36, United States Code, is amended—
(A) by striking ‘‘to—’’ in the matter preceding
paragraph (1) and inserting ‘‘as follows:’’;
(B) by inserting ‘‘To’’ after the paragraph des-
ignation in each of paragraphs (1), (2), (3), and (4);
(C) by striking the semicolon at the end of para-
graphs (1)(B) and (2) and inserting a period;
283
(D) by striking ‘‘; and’’ at the end of paragraph
(3) and inserting a period; and
(E) by adding at the end the following:
‘‘(5) To assist the Department of the Air Force
in fulfilling its noncombat programs and missions.’’.
(2)(A) Section 40303 of such title is amended—
(i) by inserting ‘‘(a) MEMBERSHIP.—’’ before
‘‘Eligibility’’; and
(ii) by adding at the end the following:
‘‘(b) GOVERNING BODY.—The Civil Air Patrol has a
Board of Governors. The composition and responsibilities
of the Board of Governors are set forth in section 9447 of
title 10.’’.
(B) The heading for such section is amended to read
as follows:
‘‘§ 40303. Membership and governing body’’.
(C) The item relating to such section in the table of
sections at the beginning of chapter 403 of title 36, United
States Code, is amended to read as follows:
‘‘40303. Membership and governing body.’’.
(c) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect on the date of
the enactment of this Act.
SEC. 907. REPORT ON NETWORK CENTRIC WARFARE.
(a) REPORT REQUIRED.—Not later than October 1,
2001, the Secretary of Defense shall submit to the congres-
284
sional defense committees a report describing the Depart-
ment’s views on Network Centric Warfare (NCW) and the
role of Network Centric Warfare in the strategy of the De-
partment of Defense for military transformation. The Sec-
retary of Defense shall prepare the report in consultation
with the Chairman of the Joint Chiefs of Staff.
(b) CONTENT OF REPORT.—The report shall include
the following:
(1) A definition of Network Centric Warfare.
(2) A discussion of the theory, nature, and prin-
ciples of Network Centric Warfare and how they re-
late to the revolution in military affairs.
(3) A discussion of the conceptual, doctrinal, and
operational concepts related to Network Centric War-
fare.
(4) A discussion of how the concept of Network
Centric Warfare is related to the strategy of the De-
partment of Defense for military transformation as
outlined in the document entitled ‘‘Joint Vision 2010’’
and other key strategy documents.
(5) The current and planned acquisition pro-
grams of the Department of Defense that relate to
Network Centric Warfare and the extent to which
those programs are interoperable with each other.
285
(6) The experimentation activities inside the
joint experimentation program and the service experi-
mentation programs, if any, which are designed to ex-
plore and evaluate the emerging concepts of Network
Centric Warfare.
SEC. 908. DEFENSE INSTITUTE FOR HEMISPHERIC SECU-
RITY COOPERATION.
(a) AUTHORITY FOR INSTITUTE.—(1) Chapter 108 of
title 10, United States Code, is amended by adding at the
end the following new section:
‘‘§ 2166. Defense Institute for Hemispheric Security
Cooperation
‘‘(a) AUTHORITY.—The Secretary of Defense may oper-
ate an education and training facility known as the ‘De-
fense Institute for Hemispheric Security Cooperation’. The
Secretary of Defense may designate the Secretary of the
Army as the Department of Defense executive agent for car-
rying out the responsibilities of the Secretary of Defense
under this section.
‘‘(b) PURPOSE.—(1) The Institute shall be operated for
the purpose of providing education and training to mili-
tary, law enforcement, and civilian personnel of nations of
the Western Hemisphere in defense and security matters.
‘‘(2) For purposes of paragraph (1), defense and secu-
rity matters include—
286
‘‘(A) professional military education;
‘‘(B) leadership development;
‘‘(C) counter-drug operations;
‘‘(D) peace support operations; and
‘‘(E) disaster relief.
‘‘(c) CURRICULUM.—The education and training pro-
grams provided by the Institute shall include (for each per-
son attending the Institute under subsection (b)) instruction
totaling not less than eight hours relating to each of the
following subjects:
‘‘(1) Human rights.
‘‘(2) The rule of law.
‘‘(3) Due process.
‘‘(4) Civilian control of the military.
‘‘(5) The role of the military in a democratic so-
ciety.
‘‘(d) BOARD OF VISITORS.—(1) There is a Board of
Visitors for the Institute. The Board shall be composed of
members appointed by the Secretary of Defense (or the Sec-
retary of the Army as the Secretary’s designee). In selecting
members of the Board, the Secretary shall consider rec-
ommendations by—
‘‘(A) the Speaker and the minority leader of the
House of Representatives;
287
‘‘(B) the majority leader and the minority leader
of the Senate;
‘‘(C) the Secretary of State;
‘‘(D) the commander of the unified command
with geographic responsibility for Latin America;
and
‘‘(E) representatives from academic institutions,
religious institutions, and human rights organiza-
tions.
‘‘(2) Members shall serve for two years and shall meet
at least annually.
‘‘(3)(A) The Board shall inquire into—
‘‘(i) the curriculum, instruction, physical equip-
ment, fiscal affairs, academic methods, and other
matters relating to the Institute that the Board de-
cides to consider; and
‘‘(ii) any other matters relating to the Institute
that the Secretary considers appropriate.
‘‘(B) The Board shall review the curriculum of the In-
stitute to ensure that the curriculum—
‘‘(i) complies with applicable United States law
and regulations;
‘‘(ii) is consistent with United States policy
goals toward Latin America and the Caribbean; and
‘‘(iii) adheres to current United States doctrine.
288
‘‘(4)(A) Not later than 60 days after its annual meet-
ing, the Board shall submit to the Secretary a written re-
port of its action and of its views and recommendations
pertaining to the Institute.
‘‘(B) Within 30 days of receipt of the Board’s report
for any year, the Secretary shall transmit the report, with
the Secretary’s comments, to Congress.
‘‘(5) While performing duties as a member of or ad-
viser to the Board, each member of the Board and each ad-
viser shall be reimbursed for travel expenses under Govern-
ment travel regulations. Board members shall not be com-
pensated by reason of service on the Board.
‘‘(e) SOURCE OF FUNDS.—The fixed costs of operating
and maintaining the Institute may be paid from funds
available for operation and maintenance.
‘‘(f) TUITION.—Tuition fees charged for persons who
attend the Institute may not include the fixed costs of oper-
ating and maintaining the Institute.’’.
(2) The table of sections at the beginning of such chap-
ter is amended by adding at the end the following new item:
‘‘2166. Defense Institute for Hemispheric Security Cooperation.’’.
(b) TRANSITION FROM UNITED STATES ARMY SCHOOL
OF THE AMERICAS.—(1) The Secretary of Defense shall take
such steps as necessary to ensure that the Secretary of the
Army provides for the transition of the United States Army
School of the Americas located at Fort Benning, Georgia,
289
into the Defense Institute for Hemispheric Security Co-
operation established pursuant to section 2166 of title 10,
United States Code, as added by subsection (a).
(2)(A) Section 4415 of title 10, United States Code,
is repealed.
(B) The table of sections at the beginning of chapter
407 of such title is amended by striking the item relating
to section 4415.
SEC. 909. DEPARTMENT OF DEFENSE REGIONAL CENTERS
FOR SECURITY STUDIES.
(a) IN GENERAL.—Chapter 7 of title 10, United States
Code, is amended by adding at the end the following new
section:
‘‘§ 184. Regional Centers for Security Studies
‘‘(a) IN GENERAL.—(1) Subject to paragraph (2), the
Secretary of Defense may operate in the Department of De-
fense regional centers for security studies, each of which is
established for a specified geographic region of the world.
Any such regional center shall serve as a forum for bilateral
and multilateral communication and military and civilian
exchanges with nations in the region for which the center
is established. A regional center may, as the Secretary con-
siders appropriate, use professional military education, ci-
vilian defense education, and related academic and other
activities to pursue such communication and exchanges.
290
‘‘(2) After the date of the enactment of this section,
a regional center for security studies as described in para-
graph (1) may not be established in the Department of De-
fense until at least 90 days after the date on which the Sec-
retary of Defense submits to Congress a notification of the
intent of the Secretary to establish the center. The notifica-
tion shall contain a description of the mission and func-
tions of the proposed center and a justification for the pro-
posed center.
‘‘(b) EMPLOYMENT
AND
COMPENSATION
OF
FAC-
ULTY.—Section 1595 of this title provides authority for the
Secretary of Defense to employ certain civilian personnel
at certain Department of Defense regional center for secu-
rity studies without regard to certain provisions of title 5.
‘‘(c) ACCEPTANCE
OF FOREIGN GIFTS
AND DONA-
TIONS.—Section 2611 of this title provides authority for the
Secretary of Defense to accept foreign gifts and donations
in order to defray the costs of, or enhance the operations
of, certain Department of Defense regional centers for secu-
rity studies.
‘‘(d) ANNUAL REPORT TO CONGRESSIONAL COMMIT-
TEES.—The Secretary shall submit to the Committee on
Armed Services of the Senate and the Committee on Armed
Services of the House of Representatives an annual report
on the status, objectives, and operations of the Department
291
of Defense regional centers for security studies. Each such
report shall include information on international partici-
pation in the programs of the centers and on foreign gifts
and donations accepted under section 2611 of this title.
‘‘(e) PROVISIONS RELATING SPECIFICALLY TO MAR-
SHALL CENTER.—(1) The Secretary of Defense may waive
reimbursement of the costs of conferences, seminars, courses
of instruction, or similar educational activities of the
George C. Marshall European Center for Security Studies
for military officers and civilian officials of cooperation
partner states of the North Atlantic Cooperation Council
or the Partnership for Peace if the Secretary determines
that attendance by such personnel without reimbursement
is in the national security interest of the United States.
Costs for which reimbursement is waived pursuant to this
paragraph shall be paid from appropriations available for
the Center.
‘‘(2)(A) Notwithstanding any other provision of law,
the Secretary of Defense may authorize participation by a
European or Eurasian nation in Marshall Center programs
if the Secretary determines, after consultation with the Sec-
retary of State, that such participation is in the national
interest of the United States.
‘‘(B) Not later than January 31 of each year, the Sec-
retary shall submit to Congress a report setting forth the
292
names of the foreign nations permitted to participate in
programs of the Marshall Center during the preceding year
under paragraph (1). Each such report shall be prepared
by the Secretary with the assistance of the Director of the
Marshall Center.’’.
(b) ACCEPTANCE
OF FOREIGN GIFTS
AND DONA-
TIONS.—(1) Subsection (a) of section 2611 of such title is
amended to read as follows:
‘‘(a) AUTHORITY TO ACCEPT FOREIGN GIFTS AND DO-
NATIONS.—(1) Subject to subsection (b), the Secretary of
Defense may accept foreign gifts or donations in order to
defray the costs of, or enhance the operation of, one of the
specified defense regional centers for security studies.
‘‘(2) For purposes of this section, a specified defense
regional center for security studies is any of the following:
‘‘(A) The Asia-Pacific Center for Security Stud-
ies.
‘‘(B) The George C. Marshall European Center
for Security Studies.’’.
(2) Subsection (d) of such section is amended—
(A) in the first sentence, by striking ‘‘the Asia-
Pacific Center’’ and inserting ‘‘the regional center in-
tended to benefit from the gift or donation of such
funds’’; and
293
(B) in the second sentence, by striking ‘‘the Asia-
Pacific Center’’ and inserting ‘‘such regional center’’.
(3) Subsection (e) of such section is amended by insert-
ing ‘‘with respect to a defense regional center for security
studies’’ after ‘‘in any fiscal year’’.
(c) REPEAL OF CODIFIED PROVISIONS RELATING TO
THE MARSHALL CENTER.—(1) Section 1306 of the National
Defense Authorization Act for Fiscal Year 1995 (Public
Law 103–337; 108 Stat. 2892) is repealed.
(2) Section 1065 of the National Defense Authorization
Act for Fiscal Year 1997 (Public Law 104–201; 110 Stat.
2653) is amended—
(A) by striking subsections (a) and (b) and in-
serting the following:
‘‘(a) DEFINITION.—In this section, the term ‘Marshall
Center Board of Visitors’ means the Board of Visitors of
the George C. Marshall European Center for Security Stud-
ies’’; and
(B) by redesignating subsection (c) as subsection
(b).
(d) CLERICAL AMENDMENTS.—(1) The table of sections
at the beginning of chapter 7 of such title is amended by
adding at the end the following new item:
‘‘184. Regional Centers for Security Studies.’’.
(2)(A) The heading of section 2611 of such title is
amended to read as follows:
294
‘‘§ 2611. Regional centers for security studies: accept-
ance of foreign gifts and donations’’.
(B) The item relating to section 2611 in the table of
sections at the beginning of chapter 155 of such title is
amended to read as follows: .
‘‘2611. Regional centers for security studies: acceptance of foreign gifts and dona-
tions.’’.
SEC. 910. CHANGE IN NAME OF ARMED FORCES STAFF COL-
LEGE TO JOINT FORCES STAFF COLLEGE.
(a) CHANGE IN NAME.—The Armed Forces Staff Col-
lege of the Department of Defense is hereby renamed the
‘‘Joint Forces Staff College’’.
(b) CONFORMING AMENDMENT.—Section 2165(b)(3) of
title 10, United States Code, is amended by striking
‘‘Armed Forces Staff College’’ and inserting ‘‘Joint Forces
Staff College’’.
(c) REFERENCES.—Any reference to the Armed Forces
Staff College in any law, regulation, map, document,
record, or other paper of the United States shall be consid-
ered to be a reference to the Joint Forces Staff College.
TITLE X—GENERAL PROVISIONS
Subtitle A—Financial Matters
SEC. 1001. TRANSFER AUTHORITY.
(a) AUTHORITY TO TRANSFER AUTHORIZATIONS.—(1)
Upon determination by the Secretary of Defense that such
action is necessary in the national interest, the Secretary
295
may transfer amounts of authorizations made available to
the Department of Defense in this division for fiscal year
2001 between any such authorizations for that fiscal year
(or any subdivisions thereof). Amounts of authorizations so
transferred shall be merged with and be available for the
same purposes as the authorization to which transferred.
(2) The total amount of authorizations that the Sec-
retary may transfer under the authority of this section may
not exceed $2,000,000,000.
(b) LIMITATIONS.—The authority provided by this sec-
tion to transfer authorizations—
(1) may only be used to provide authority for
items that have a higher priority than the items from
which authority is transferred; and
(2) may not be used to provide authority for an
item that has been denied authorization by Congress.
(c) EFFECT ON AUTHORIZATION AMOUNTS.—A trans-
fer made from one account to another under the authority
of this section shall be deemed to increase the amount au-
thorized for the account to which the amount is transferred
by an amount equal to the amount transferred.
(d) NOTICE
TO
CONGRESS.—The Secretary shall
promptly notify Congress of each transfer made under sub-
section (a).
296
SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.
(a) STATUS OF CLASSIFIED ANNEX.—The Classified
Annex prepared by the Committee on Armed Services of the
House of Representatives to accompany its report on the
bill H.R. 4205 of the One Hundred Sixth Congress and
transmitted to the President is hereby incorporated into this
Act.
(b) CONSTRUCTION WITH OTHER PROVISIONS
OF
ACT.—The amounts specified in the Classified Annex are
not in addition to amounts authorized to be appropriated
by other provisions of this Act.
(c) LIMITATION ON USE OF FUNDS.—Funds appro-
priated pursuant to an authorization contained in this Act
that are made available for a program, project, or activity
referred to in the Classified Annex may only be expended
for such program, project, or activity in accordance with
such terms, conditions, limitations, restrictions, and re-
quirements as are set out for that program, project, or activ-
ity in the Classified Annex.
(d) DISTRIBUTION
OF
CLASSIFIED
ANNEX.—The
President shall provide for appropriate distribution of the
Classified Annex, or of appropriate portions of the annex,
within the executive branch of the Government.
297
SEC. 
1003. 
AUTHORIZATION 
OF 
EMERGENCY 
SUPPLE-
MENTAL APPROPRIATIONS FOR FISCAL YEAR
2000.
(a) ADJUSTMENT OF FISCAL YEAR 2000 AUTHORIZA-
TIONS TO REFLECT SUPPLEMENTAL APPROPRIATIONS.—
Subject to subsections (b) and (c), amounts authorized to
be appropriated to the Department of Defense for fiscal year
2000 in the National Defense Authorization Act for Fiscal
Year 2000 (Public Law 106–65) are hereby adjusted, with
respect to any such authorized amount, by the amount by
which appropriations pursuant to such authorization were
increased (by a supplemental appropriation) or decreased
(by a rescission), or both, in the 2000 Emergency Supple-
mental Appropriations Act.
(b) LIMITATION.—(1) In the case of a pending defense
contingent emergency supplemental appropriation, an ad-
justment may be made under subsection (a) in the amount
of an authorization of appropriations by reason of that sup-
plemental appropriation only if, and to the extent that, the
President transmits to Congress an official amended budget
request for that appropriation that designates the entire
amount requested as an emergency requirement for the spe-
cific purpose identified in the 2000 Emergency Supple-
mental Appropriations Act as the purpose for which the
supplemental appropriation was made.
298
(2) For purposes of this subsection, the term ‘‘pending
defense contingent emergency supplemental appropriation’’
means a contingent emergency supplemental appropriation
for the Department of Defense contained in the 2000 Emer-
gency Supplemental Appropriations Act for which an offi-
cial budget request that includes designation of the entire
amount of the request as an emergency requirement has not
been transmitted to Congress as of the date of the enactment
of this Act.
(3) For purposes of this subsection, the term ‘‘contin-
gent emergency supplemental appropriation’’ means a sup-
plemental appropriation that—
(A) is designated by Congress as an emergency
requirement pursuant to section 251(b)(2)(A) of the
Balanced Budget and Emergency Deficit Control Act
of 1985; and
(B) by law is available only to the extent that
the President transmits to the Congress an official
budget request for that appropriation that includes
designation of the entire amount of the request as an
emergency requirement.
(c) EXCEPTION.—No adjustment may be made under
subsection (a) by reason of any appropriation under the
provisions contained in sections 2207 through 2211 of the
299
2000 Emergency Supplemental Appropriations Act, as
passed the House of Representatives on March 30, 2000.
SEC. 1004. CONTINGENT REPEAL OF CERTAIN PROVISIONS
SHIFTING CERTAIN OUTLAYS FROM ONE FIS-
CAL YEAR TO ANOTHER.
(a) CONTINGENT REPEAL.—Subject to subsection (b)—
(1) sections 305 and 306 of H.R. 3425 of the
106th Congress, as enacted into law by section
1000(a)(5) of Public Law 106–113, are repealed;
(2) section 1001(a) of Public Law 106–113 is
amended, effective immediately after the enactment of
such Public Law, by striking ‘‘paragraph 4 of sub-
section 1000(a)’’ and inserting ‘‘paragraph (5) of sec-
tion 1000(a), and the provisions of titles V, VI, and
VII of the legislation enacted in this division by ref-
erence in such paragraph (5),’’; and
(3) sections 8175 and 8176 of the Department of
Defense Appropriations Act, 2000 (Public Law 106–
79), as amended by sections 214 and 215, respec-
tively, of H.R. 3425 of the 106th Congress (113 Stat.
1501A–297), 
as 
enacted 
into 
law 
by 
section
1000(a)(5) of Public Law 106–113, are repealed.
(b) CONTINGENCY.—The provisions of subsection (a)
shall be effective only to the extent provided in an appro-
priations Act that is enacted after this Act.
300
SEC. 1005. LIMITATION ON FUNDS FOR BOSNIA AND
KOSOVO PEACEKEEPING OPERATIONS FOR
FISCAL YEAR 2001.
(a) LIMITATION.—Of the amounts authorized to be ap-
propriated by section 301(24) for the Overseas Contingency
Operations Transfer Fund—
(1) no more than $1,387,800,000 may be obli-
gated for incremental costs of the Armed Forces for
Bosnia peacekeeping operations; and
(2) no more than $1,650,400,000 may be obli-
gated for incremental costs of the Armed Forces for
Kosovo peacekeeping operations.
(a) PRESIDENTIAL
WAIVER.—The President may
waive the limitation in subsection (a)(1), or the limitation
in subsection (a)(2), after submitting to Congress the fol-
lowing:
(1) The President’s written certification that the
waiver is necessary in the national security interests
of the United States.
(2) The President’s written certification that ex-
ercising the waiver will not adversely affect the readi-
ness of United States military forces.
(3) A report setting forth the following:
(A) The reasons that the waiver is necessary
in the national security interests of the United
States.
301
(B) The specific reasons that additional
funding is required for the continued presence of
United States military forces participating in,
or supporting, Bosnia peacekeeping operations,
or Kosovo peacekeeping operations, as the case
may be, for fiscal year 2001.
(C) A discussion of the impact on the mili-
tary readiness of United States Armed Forces of
the continuing deployment of United States mili-
tary forces participating in, or supporting, Bos-
nia peacekeeping operations, or Kosovo peace-
keeping operations, as the case may be.
(4) A supplemental appropriations request for
the Department of Defense for such amounts as are
necessary for the additional fiscal year 2001 costs as-
sociated with United States military forces partici-
pating in, or supporting, Bosnia or Kosovo peace-
keeping operations peacekeeping operations.
(c) PEACEKEEPING OPERATIONS DEFINED.—For the
purposes of this section:
(1) The term ‘‘Bosnia peacekeeping operations’’
has the meaning given such term in section 1004(e)
of the Strom Thurmond National Defense Authoriza-
tion Act for Fiscal Year 1999 (Public Law 105–261;
112 Stat. 2112).
302
(2) 
The 
term 
‘‘Kosovo 
peacekeeping
operations’’—
(A) means the operation designated as Op-
eration Joint Guardian and any other operation
involving the participation of any of the Armed
Forces in peacekeeping or peace enforcement ac-
tivities in and around Kosovo; and
(B) includes, with respect to Operation
Joint Guardian or any such other operation,
each activity that is directly related to the sup-
port of the operation.
Subtitle B—Naval Vessels and
Shipyards
SEC. 1011. NATIONAL DEFENSE FEATURES PROGRAM.
Section 2218(k) of title 10, United States Code, is
amended—
(1) in paragraph (1), by adding at the end the
following new sentence: ‘‘As consideration for a con-
tract with the Secretary of Defense or the Secretary
of a military department under this subsection, the
company entering into the contract shall agree with
the Secretary to make any vessel covered by the con-
tract available to the Secretary, fully crewed and
ready for sea, at any time at any port determined by
303
the Secretary, and for whatever duration the Sec-
retary determines necessary.’’; and
(2) by adding at the end of paragraph (2) the
following new subparagraph:
‘‘(E) Payments of such sums as the Government
would otherwise expend, if the vessel were placed in
the Ready Reserve Fleet, for maintaining the vessel in
the status designated as ‘ROS–4 status’ in the Ready
Reserve Fleet for 25 years.’’.
Subtitle C—Counter-Drug Activities
SEC. 1021. REPORT ON DEPARTMENT OF DEFENSE EXPEND-
ITURES TO SUPPORT FOREIGN COUNTER-
DRUG ACTIVITIES.
Not later than January 1, 2001, the Secretary of De-
fense shall submit to the congressional defense committees
a report detailing the expenditure of funds by the Secretary
during fiscal year 2000 in direct or indirect support of the
counter-drug activities of foreign governments. The report
shall include the following for each foreign government:
(1) The total amount of assistance provided to,
or expended on behalf of, the foreign government.
(2) A description of the types of counter-drug ac-
tivities conducted using the assistance.
(3) An explanation of the legal authority under
which the assistance was provided.
304
SEC. 1022. REPORT ON TETHERED AEROSTAT RADAR SYS-
TEM.
(a) REPORT REQUIRED.—Not later than May 1, 2001,
The Secretary of Defense shall submit to Congress a report
on the status of the Tethered Aerostat Radar System used
to conduct counter-drug detection and monitoring and bor-
der security and air sovereignty operations. The report shall
include the following:
(1) The status and operational availability of
each of the existing sites of the Tethered Aerostat
Radar System.
(2) A discussion of any plans to close, during the
next 5 years, currently operational sites, including a
review of the justification for each proposed closure.
(3) A review of the requirements of other agen-
cies, especially the United States Customs Service, for
data derived from the Tethered Aerostat Radar Sys-
tem.
(4) An assessment of the value of the Tethered
Aerostat Radar System in the conduct of counter-drug
detection and monitoring and border security and air
sovereignty operations.
(5) The costs associated with the planned stand-
ardization of the Tethered Aerostat Radar System
and the Secretary’s analysis of that standardization.
305
(b) CONSULTATION.—The Secretary of Defense shall
prepare the report in consultation with the Commissioner
of Customs.
Subtitle D—Other Matters
SEC. 1031. FUNDS FOR ADMINISTRATIVE EXPENSES UNDER
DEFENSE EXPORT LOAN GUARANTEE PRO-
GRAM.
(a) AUTHORITY TO USE OPERATION AND MAINTE-
NANCE FUNDS ON AN INTERIM BASIS.—Section 2540c(d)
of title 10, United States Code, is amended—
(1) by inserting ‘‘(1)’’ after ‘‘FEES.—’’; and
(2) by adding at the end the following new para-
graph:
‘‘(2)(A) If for any fiscal year amounts in the special
account established under paragraph (1) are not available
(or are not anticipated to be available) in a sufficient
amount for administrative expenses of the Department of
Defense for that fiscal year that are directly attributable
to the administration of the program under this subchapter,
the Secretary may use amounts currently available for op-
erations and maintenance for Defense-wide activities, not
to exceed $500,000 in any fiscal year, for those expenses.
‘‘(B) The Secretary shall, from funds in the special ac-
count established under paragraph (1), replenish operations
and maintenance accounts for amounts expended under
306
subparagraph (A) as soon as the Secretary determines prac-
ticable.’’.
(b) EFFECTIVE DATE.—Paragraph (2) of section
2540c(d) of title 10, United States Code, as added by sub-
section (a), shall take effect on October 1, 2000.
SEC. 1032. TECHNICAL AND CLERICAL AMENDMENTS.
(a) TITLE 10, UNITED STATES CODE.—Title 10,
United States Code, is amended as follows:
(1) Section 628(c)(2) is amended by striking
‘‘section’’ in the second sentence after ‘‘the provisions
of’’ and inserting ‘‘sections’’.
(2) Section 702(b)(2) is amended by striking
‘‘section 230(c)’’ and inserting ‘‘section 203(c)’’.
(3) Section 706(c) is amended—
(A) by striking ‘‘(1)’’ after ‘‘(c)’’; and
(B) by striking paragraph (2).
(4) Section 1074g is amended—
(A) in subsection (a)(6), by striking ‘‘as
part of the regulations established’’ and inserting
‘‘in the regulations prescribed’’;
(B) in subsection (a)(7), by striking ‘‘not
included on the uniform formulary, but,’’ and
inserting ‘‘that are not included on the uniform
formulary but that are’’;
307
(C) in subsection (b)(1), by striking ‘‘re-
quired by’’ in the last sentence and inserting
‘‘prescribed under’’;
(D) in subsection (d)(2), by striking ‘‘Not
later than’’ and all that follows through ‘‘utilize’’
and inserting ‘‘Effective not later than April 5,
2000, the Secretary shall use’’;
(E) in subsection (e)—
(i) by striking ‘‘Not later than April 1,
2000, the’’ and inserting ‘‘The’’; and
(ii) by inserting ‘‘in’’ before ‘‘the
TRICARE’’ and before ‘‘the national’’;
(F) in subsection (f)—
(i) by striking ‘‘As used in this sec-
tion—’’ and inserting ‘‘In this section:’’;
(ii) by striking ‘‘the’’ at the beginning
of paragraphs (1) and (2) and inserting
‘‘The’’; and
(iii) by striking ‘‘; and’’ at the end of
paragraph (1) and inserting a period; and
(G) in subsection (g), by striking ‘‘promul-
gate’’ and inserting ‘‘prescribe’’.
(5) Section 1109(b) is amended by striking ‘‘(1)’’
before ‘‘The Secretaries’’.
308
(6) Section 1448(b)(3)(E)(ii) is amended by
striking the second comma after ‘‘October 16, 1998’’.
(7) Section 2401(b)(1)(B) is amended by striking
‘‘Committees on Appropriations’’ and inserting
‘‘Committee on Appropriations’’.
(8) Section 5143(c)(2) is amended by striking
‘‘has a grade’’ and inserting ‘‘has the grade of’’.
(9) Section 5144(c)(2) is amended by striking
‘‘has a grade’’ and inserting ‘‘has the grade of’’.
(10) Section 10218 is amended—
(A) in subsections (a)(1), (b)(1), (b)(2)(A),
and (b)(2)(B)(ii), by striking ‘‘the date of the en-
actment of this section’’ each place it appears
and inserting ‘‘October 5, 1999,’’;
(B) 
in 
subsections 
(a)(3)(B)(i) 
and
(b)(2)(B)(i), by striking ‘‘the end of the one-year
period beginning on the date of the enactment of
this subsection’’ and inserting ‘‘October 5, 2000’’;
(C) in subsection (b)(1), by striking ‘‘six
months after the date of the enactment of this
section’’ and inserting ‘‘April 5, 2000’’; and
(D) in subsection (b)(3), by striking ‘‘with-
in six months of the date of the enactment of this
section’’ and inserting ‘‘during the period begin-
309
ning on October 5, 1999, and ending on April 5,
2000,’’.
(11) Section 12552 is amended by inserting a
period at the end.
(b) TITLE 37, UNITED STATES CODE.—Title 37,
United States Code, is amended as follows:
(1) Section 301b(j)(2) is amended by striking
‘‘section 
301a(a)(6)(A)’’ 
and 
inserting 
‘‘section
301a(a)(6)(B)’’.
(2) Section 404(b)(2) is amended by striking
‘‘section 402(e)’’ and inserting ‘‘section 403(f)(3)’’.
(3) The table of sections at the beginning of
chapter 7 is amended by inserting after the item re-
lating to section 434 the following new item:
‘‘435. Funeral honors duty: allowance.’’.
(4) The section 435 added by section 586(b) of
the National Defense Authorization Act for Fiscal
Year 2000 (Public Law 106–65; 113 Stat. 638) is re-
designated as section 436, and the item relating to
that section in the table of sections at the beginning
of chapter 7 is revised to conform to such redesigna-
tion.
(5) Section 1012 is amended by striking ‘‘section
402(b)(3)’’ and inserting ‘‘section 402(e)’’.
(c) PUBLIC LAW 106–65.—Effective as of October 5,
1999, and as if included therein as enacted, section 601(c)
310
of the National Defense Authorization Act for Fiscal Year
2000 (Public Law 106–65; 113 Stat. 645) is amended—
(1) in the first table, relating to commissioned
officers, by striking ‘‘$12,441.00’’ in footnote 2 and
inserting ‘‘$12,488.70’’; and
(2) in the fourth table, relating to enlisted mem-
bers, by striking ‘‘$4,701.00’’ in footnote 2 and insert-
ing ‘‘$4,719.00’’.
(d) PUBLIC LAW 105–261.—Effective as of October 17,
1998, and as if included therein as enacted, the Strom
Thurmond National Defense Authorization Act for Fiscal
Year 1999 (Public Law 105–261; 112 Stat. 1920 et seq.)
is amended as follows:
(1) Section 503(b)(1) (112 Stat. 2003) is amend-
ed by inserting ‘‘its’’ after ‘‘record of’’ in the first
quoted matter therein.
(2) Section 645(b) (112 Stat. 2050) is amended
by striking ‘‘a member’’ and inserting ‘‘member’’ in
the quoted matter therein.
(3) Section 701 (112 Stat. 2056) is amended—
(A) in subsection (a), by inserting ‘‘(1)’’ be-
fore ‘‘Section 1076a(b)(2)’’; and
(B) in subsection (b), by inserting ‘‘of such
title’’ after ‘‘1076a’’.
311
(4) Section 802(b) (112 Stat. 2081) is amended
by striking ‘‘Administrative’’ in the first quoted mat-
ter therein and inserting ‘‘Administration’’.
(5) Section 1101(e)(2)(C) (112 Stat. 2140; 5
U.S.C. 3104 note) is amended by striking ‘‘subsection
(c)(1)’’ and inserting ‘‘subsection (c)(2)’’.
(e) PUBLIC LAW 105–85.—The National Defense Au-
thorization Act for Fiscal Year 1998 (Public Law 105–85)
is amended as follows:
(1) Section 602(d)(1)(A) (111 Stat. 1773; 37
U.S.C. 402 note) is amended by striking ‘‘of’’ the first
place it appears in the matter preceding clause (ii).
(2) Section 1221(a)(3) (22 U.S.C. 1928 note), as
amended by section 1233(a)(2)(A) of Public Law
105–261 (112 Stat. 2156), is amended by striking the
second close parenthesis after ‘‘relief efforts’’.
(f) OTHER LAWS.—
(1) Section 834(e) of the National Defense Au-
thorization Act for Fiscal Years 1990 and 1991 (15
U.S.C. 637 note) is amended by striking the second
period after ‘‘2000’’.
(2) Section 2905(b)(4) of the Defense Base Clo-
sure and Realignment Act of 1990 (part A of title
XXIX of Public Law 101–510; 10 U.S.C. 2687 note)
is amended by transferring subparagraph (G) so as to
312
appear immediately before subparagraph (H), as
added by section 2821(a) of the National Defense Au-
thorization Act for Fiscal Year 2000 (Public Law
106–65; 113 Stat. 853).
(3) Section 686(b) of title 14, United States
Code, is amended—
(A) in paragraph (1), by striking ‘‘section
403(b)’’ and inserting ‘‘section 403(e)’’; and
(B) in paragraph (2), by striking ‘‘a basic
allowance for quarters under section 403 of title
37, and, if in a high housing cost area, a vari-
able housing allowance under section 403a of
that title’’ and inserting ‘‘a basic allowance for
housing under section 403 of title 37’’.
(4) Section 405(f)(6)(B) of the Departments of
Labor, Health and Human Services, and Education,
and Related Agencies Appropriations Act, 1999 (as
contained in section 101(f) of division A of Public
Law 105–277; 112 Stat. 2681–430), is amended by
striking ‘‘Act of title’’ in the first quoted matter there-
in and inserting ‘‘Act or title’’.
(5) Section 1403(c)(6) of the Defense Dependents’
Education Act of 1978 (20 U.S.C. 922(c)(6)) is
amended by striking ‘‘the’’ before ‘‘Assistant Secretary
of Defense’’.
313
(6) Effective as of October 5, 1999, section 224
b. of the Atomic Energy Act of 1954 (42 U.S.C.
2274(b)) is amended by striking ‘‘$500,000’’ and in-
serting ‘‘$50,000’’.
SEC. 1033. TRANSFER OF VIETNAM ERA TA–4 AIRCRAFT TO
NONPROFIT FOUNDATION.
(a) AUTHORITY TO CONVEY.—The Secretary of the
Navy may convey, without consideration, to the nonprofit
Collings Foundation of Stow, Massachusetts (in this section
referred to as the ‘‘foundation’’), all right, title, and interest
of the United States in and to one surplus TA–4 aircraft
that is flyable or that can be readily restored to flyable con-
dition. The conveyance shall be made by means of a condi-
tional deed of gift.
(b) CONDITION OF AIRCRAFT.—The Secretary may not
convey ownership of an aircraft under subsection (a) until
the Secretary determines that the foundation has altered the
aircraft in such manner as the Secretary determines nec-
essary to ensure that the aircraft does not have any capa-
bility for use as a platform for launching or releasing muni-
tions or any other combat capability that it was designed
to have. The Secretary is not required to repair or alter
the condition of the aircraft before conveying ownership of
the aircraft.
314
(c) REVERTER UPON BREACH OF CONDITIONS.—The
Secretary shall include in the instrument of conveyance of
the aircraft—
(1) a condition that the foundation not convey
any ownership interest in, or transfer possession of,
the aircraft to any other party without the prior ap-
proval of the Secretary;
(2) a condition that the foundation operate and
maintain the aircraft in compliance with all applica-
ble limitations and maintenance requirements im-
posed by the Administrator of the Federal Aviation
Administration; and
(3) a condition that if the Secretary determines
at any time that the foundation has conveyed an
ownership interest in, or transferred possession of, the
aircraft to any other party without the prior ap-
proval of the Secretary, or has failed to comply with
the condition set forth in paragraph (2), all right,
title, and interest in and to the aircraft, including
any repair or alteration of the aircraft, shall revert
to the United States, and the United States shall have
the right of immediate possession of the aircraft.
(d) CONVEYANCE
AT NO COST
TO
THE UNITED
STATES.—The conveyance of the aircraft under subsection
(a) shall be made at no cost to the United States. Any costs
315
associated with the conveyance, costs of determining compli-
ance with subsection (b), and costs of operation and mainte-
nance of the aircraft conveyed shall be borne by the founda-
tion.
(e) ADDITIONAL TERMS AND CONDITIONS.—The Sec-
retary may require such additional terms and conditions
in connection with a conveyance under this section as the
Secretary considers appropriate to protect the interests of
the United States.
(f ) CLARIFICATION OF LIABILITY.—Notwithstanding
any other provision of law, upon the conveyance of owner-
ship of a TA–4 aircraft to the foundation under subsection
(a), the United States shall not be liable for any death, in-
jury, loss, or damage that results from any use of that air-
craft by any person other than the United States.
SEC. 1034. TRANSFER OF 19TH CENTURY CANNON TO MU-
SEUM.
(a) DONATION REQUIRED.—The Secretary of the Army
shall convey, without consideration, to the Cannonball
House Museum located in Macon, Georgia (in this section
referred to as the ‘‘recipient’’), all right, title, and interest
of the United States in and to a 12-pounder Napoleon can-
non bearing the following markings:
(1) On the top ‘‘CS’’,
316
(2) On the face of the muzzle: ‘‘Macon Arsenal,
1864/No.41/1164 ET’’.
(3) On the right trunnion: ‘‘Macon Arsenal
GEO/1864/No.41/WT.1164/E.T.’’.
(b) CONDITIONS
ON CONVEYANCE.—The Secretary
shall include in the instrument of conveyance of the cannon
under subsection (a)—
(1) a condition that the recipient not convey any
ownership interest in, or transfer possession of, the
cannon to any other party without the prior approval
of the Secretary; and
(2) a condition that if the Secretary determines
at any time that the recipient has conveyed an owner-
ship interest in, or transferred possession of, the can-
non to any other party without the prior approval of
the Secretary, all right, title, and interest in and to
the cannon shall revert to the United States, and the
United States shall have the right of immediate pos-
session of the cannon.
(c) ADDITIONAL TERMS AND CONDITIONS.—The Sec-
retary may require such additional terms and conditions
in connection with the conveyance under subsection (a) as
the Secretary considers appropriate to protect the interests
of the United States.
317
(d) ACQUISITION
OF REPLACEMENT MACON CAN-
NON.—The Secretary shall seek to acquire, by donation or
purchase with funds made available for this purpose, one
or more cannons documented as having been manufactured
in Macon, Georgia, during the Civil War in order to replace
in the Army’s inventory the cannon conveyed under sub-
section (a).
SEC. 1035. EXPENDITURES FOR DECLASSIFICATION ACTIVI-
TIES.
(a) IDENTIFICATION
IN
BUDGET
MATERIALS
OF
AMOUNTS
FOR DECLASSIFICATION ACTIVITIES.—Section
230 of title 10, United States Code, is amended—
(1) by striking ‘‘, as a budgetary line item’’; and
(2) by adding at the end the following new sen-
tence: ‘‘Identification of such amounts in such budget
justification materials shall be in a single display
that shows the total amount for the Department of
Defense and the amount for each military department
and Defense Agency.’’.
(b) 
LIMITATION
ON
EXPENDITURES.—The 
total
amount expended by the Department of Defense during fis-
cal year 2001 to carry out declassification activities under
the provisions of sections 3.4, 3.5, and 3.6 of Executive
Order 12958 (50 U.S.C. 435 note) and for special searches
318
(including costs for document search, copying, and review
and imagery analysis) may not exceed $30,000,000.
(c) COMPILATION AND ORGANIZATION OF RECORDS.—
The Department of Defense may not be required, when con-
ducting a special search, to compile or organize records that
have already been declassified and placed into the public
domain.
(d) SPECIAL SEARCHES.—For the purpose of this sec-
tion, the term ‘‘special search’’ means the response of the
Department of Defense to any of the following:
(1) A statutory requirement to conduct a declas-
sification review on a specified set of agency records.
(2) An Executive order to conduct a declassifica-
tion review on a specified set of agency records.
(3) An order from the President or an official
with delegated authority from the President to con-
duct a declassification review on a specified set of
agency records.
SEC. 1036. AUTHORITY TO PROVIDE LOAN GUARANTEES TO
IMPROVE 
DOMESTIC 
PREPAREDNESS 
TO
COMBAT CYBERTERRORISM.
(a) AUTHORITY.—Subject to subsection (b), the Sec-
retary of Defense may guarantee the repayment of any loan
made to a qualified commercial firm to fund, in whole or
in part, any of the following activities:
319
(1) The improvement of the protection of the
critical infrastructure of that commercial firm.
(2) The refinancing of improvements previously
made to the protection of the critical infrastructure of
that commercial firm.
(b) SUBJECT TO APPROPRIATIONS OF BUDGET AU-
THORITY.—Loan guarantees under this section may not be
committed except to the extent that appropriations of budg-
et authority to cover their costs are made in advance, as
required by section 504 of the Federal Credit Reform Act
of 1990 (2 U.S.C. 661c).
(c) LOAN LIMITS.—The maximum amount of loan
principal guaranteed during a fiscal year under this section
may not exceed $10,000,000, with respect to all borrowers.
(d) QUALIFIED COMMERCIAL FIRMS.—For purposes of
this section, a qualified commercial firm is a company or
other business entity (including a consortium of such com-
panies or other business entities, as determined by the Sec-
retary) that the Secretary determines—
(1) conducts a significant level of its research,
development, engineering, and manufacturing activi-
ties in the United States;
(2) is a company or other business entity the
majority ownership or control of which is by United
States citizens or is a company or other business of
320
a parent company that is incorporated in a country
the government of which—
(A) encourages the participation of firms so
owned or controlled in research and development
consortia to which the government of that coun-
try provides funding directly or provides funding
indirectly through international organizations or
agreements; and
(B) affords adequate and effective protection
for the intellectual property rights of companies
incorporated in the United States;
(3) provides technology products or services crit-
ical to the operations of the Department of Defense;
and
(4) meets standards of prevention of
cyberterrorism applicable to the Department of
Defense.
(e) GOALS AND STANDARDS.—The Secretary shall pre-
scribe regulations setting forth goals for the use of the loan
guarantees provided under this section and standards for
evaluating whether those goals are met by each entity re-
ceiving such loan guarantees.
(f) FEES.—(1) The Secretary shall prescribe regula-
tions to assess a fee for providing a loan guarantee under
this section. The amount of such fee shall be not less than
321
75 percent of the amount incurred by the Secretary to pro-
vide the loan guarantee. Such fees shall be credited to a
special account in the Treasury. Amounts in the special ac-
count shall be available, to the extent and in amounts pro-
vided in appropriations Acts, for paying the costs of admin-
istrative expenses of the Department of Defense that are at-
tributable to the loan guarantee program under this section.
(2)(A) If for any fiscal year amounts in the special
account established under paragraph (1) are not available
(or are not anticipated to be available) in a sufficient
amount for administrative expenses of the Department of
Defense for that fiscal year that are directly attributable
to the administration of the program under this section,
the Secretary may use amounts currently available for op-
erations and maintenance for Defense-wide activities, not
to exceed $500,000 in any fiscal year, for those expenses.
(B) The Secretary shall, from funds in the special ac-
count established under paragraph (1), replenish operations
and maintenance accounts for amounts expended under
subparagraph (A) as soon as the Secretary determines prac-
ticable.
(g) ADMINISTRATION.—(1) The Secretary shall enter
into one or more agreements, each with an appropriate Fed-
eral or private entity, under which such entity shall, under
this section—
322
(A) process applications for loan guarantees;
(B) guarantee repayment of loans; and
(C) provide any other services to the Secretary to
administer this section.
(2) The cost of such agreements shall be considered, for
purposes of the special account established under subsection
(f)(1), to be costs of administrative expenses of the Depart-
ment of Defense that are attributable to the loan guarantee
program under this section.
(h) REPORTS.—
(1) BY RECIPIENTS.—The Secretary shall require
each recipient of a loan guarantee under this section,
as a condition of receiving that loan guarantee, to
submit to the Secretary a report on the results of the
improvements carried out pursuant to the loan guar-
antee.
(2) BY SECRETARY.—Not later than March 1 of
each year in which a guarantee issued under this sec-
tion is in effect, the Secretary shall submit to Con-
gress a report specifying the amounts of loans guar-
anteed under this section during the preceding cal-
endar year. The report shall include an evaluation of
the success of the loan guarantees, an assessment of
the program as it relates to the support of the Depart-
ment’s Critical Infrastructure Protection Program,
323
and any other information that the Secretary con-
siders appropriate.
(i) DEFINITIONS.— In this section:
(1) The term ‘‘critical infrastructure’’ means
telecommunications systems, information systems,
and facilities, the loss of which would have a debili-
tating effect on the ability of the commercial firm to
deliver technology products or services to the Depart-
ment of Defense.
(2) The term ‘‘cyberterrorism’’ means the com-
mission of any of the following acts with respect to
protected computers (as defined in section 1030(e)(2)
of title 18, United States Code):
(A) Knowing transmission of a program,
information, code, or command, that as a result
of such conduct, intentionally causes damage
without authorization, to a protected computer.
(B) Intentional access of a protected com-
puter without authorization, that as a result of
such conduct, recklessly causes damage.
(C) Intentional access of a protected com-
puter without authorization, that as a result of
such conduct, causes damage.
(j) AUTHORIZATION
OF APPROPRIATIONS.—Of the
amount authorized to be appropriated for Defense-wide ac-
324
tivities by section 201(4), $500,000 shall be available only
for the purpose of providing loan guarantees under this sec-
tion.
SEC. 1037. V–22 COCKPIT AIRCRAFT VOICE AND FLIGHT
DATA RECORDERS.
The Secretary of Defense shall require that all
V–22 Osprey aircraft be equipped with a state-of-the-art
cockpit voice recorder and a state-of-the-art flight data re-
corder each of which meets, at a minimum, the standards
for such devices recommended by the National Transpor-
tation Safety Board.
TITLE XI—DEPARTMENT OF
DEFENSE CIVILIAN PERSONNEL
SEC. 1101. EMPLOYMENT AND COMPENSATION PROVISIONS
FOR EMPLOYEES OF TEMPORARY ORGANIZA-
TIONS ESTABLISHED BY LAW OR EXECUTIVE
ORDER.
(a) IN GENERAL.—Chapter 31 of title 5, United States
Code, is amended by adding at the end the following new
subchapter:
325
‘‘SUBCHAPTER 
IV—EMPLOYMENT 
AND 
COM-
PENSATION 
FOR 
EMPLOYEES 
OF 
TEM-
PORARY ORGANIZATIONS IN THE EXECUTIVE
BRANCH ESTABLISHED BY LAW OR EXECU-
TIVE ORDER
‘‘§ 3161. Temporary organizations established by law
or Executive order
‘‘(a) DEFINITION OF TEMPORARY ORGANIZATION.—
For the purposes of this subchapter, the term ‘temporary
organization’ means an organization such as a commission,
committee, or board that is established by law in the legisla-
tive or executive branches, or by Executive order in the exec-
utive branch, for a specific period, which shall not exceed
5 years, for the purpose of performing specific projects or
studies.
‘‘(b) HIRING AUTHORITY.—Notwithstanding the provi-
sions of chapter 51, the head of a temporary organization
may employ such numbers and types of employees as re-
quired to perform the functions required of the temporary
organization. Employees may be appointed for a period of
5 years or the life of the temporary organization, whichever
is less.
‘‘(c) STATUS OF POSITIONS AND APPOINTMENTS.—Po-
sitions of employment in a temporary organization are ex-
cepted from the competitive service.
326
‘‘(d) COMPENSATION.—(1) The basic pay of an em-
ployee of a temporary organization may be set without re-
gard to the provisions of chapter 51 or subchapter III of
chapter 53, except that—
‘‘(A) basic pay for an executive level position
(such as a chairperson, member, or executive or staff
director), and, in exceptional cases, for senior staff
shall be capped at the maximum rate of basic pay es-
tablished for the Senior Executive Service under sub-
chapter VIII of chapter 53; and
‘‘(B) basic pay for other staff may not exceed the
maximum rate of basic pay for GS–15 of the General
Schedule.
‘‘(2) An employee whose rate of basic pay is set under
paragraph (1) shall be entitled to locality-based com-
parability payments, as provided under section 5304.
‘‘(e) TRAVEL EXPENSES.—An employee of a tem-
porary organization, whether employed on a full-time or
part-time basis, may be entitled to travel and transpor-
tation allowances, including per diem allowances, author-
ized for employees under subchapter I of chapter 57, while
traveling away from the regular place of business of the em-
ployee in the performance of services for the temporary or-
ganization.
327
‘‘(f) RETURN RIGHTS.—An employee serving under a
career or career-conditional appointment, or the equivalent,
who transfers to or converts to an appointment in a tem-
porary organization with the consent of the head of the
agency (or the designee of the agency head) in which the
employee was serving is entitled to be returned to a position
of like seniority, status, and pay (without grade or pay re-
tention) as the former position in the agency from which
employed immediately preceding employment with the tem-
porary organization if—
‘‘(1) the employee is being separated from the
temporary organization for reasons other than mis-
conduct, neglect of duty, or malfeasance; and
‘‘(2) the employee applies for return rights not
later than 30 days before the end of the employment
in the temporary organization, or the termination of
the temporary organization, whichever is earlier.
‘‘(g) PROCUREMENT OF TEMPORARY AND INTERMIT-
TENT SERVICES.—The head of the temporary organization
may procure temporary and intermittent services under
section 3109(b).
‘‘(h) ACCEPTANCE OF VOLUNTEER SERVICES.—(1) The
head of a temporary organization may accept volunteer
services relating to the duties of the temporary organization
without regard to section 1342 of title 31, including service
328
as advisers, experts, members, or in other capacities deter-
mined appropriate by the head of the temporary organiza-
tion. The head of the temporary organization—
‘‘(A) shall assure that all persons accepted as
volunteers are notified of the scope of the voluntary
services accepted;
‘‘(B) shall supervise volunteers to the same extent
as employees receiving compensation for similar serv-
ices; and
‘‘(C) shall ensure that volunteers have appro-
priate credentials or are otherwise qualified to per-
form in the capacities for which they are accepted.
‘‘(2) A person providing volunteer services under
this subsection shall be considered an employee of the
Federal Government for the purposes of chapters 73
and 81, chapter 171 of title 28, chapter 11 of title 18,
and part 2635 of title 5 of the Code of Federal regula-
tions.
‘‘(i) DETAILEES.—Upon request of the head of the tem-
porary organization, the head of any department or agency
of the United States may detail, on a nonreimbursable
basis, any personnel of the department or agency to the tem-
porary organization to assist in carrying out its duties.’’.
329
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of such chapter is amended by inserting after
the items relating to subchapter III the following:
‘‘SUBCHAPTER IV—EMPLOYMENT AND COMPENSATION FOR EM-
PLOYEES OF TEMPORARY ORGANIZATIONS ESTABLISHED BY
LAW OR EXECUTIVE ORDER
‘‘3161. Temporary organizations established by law or Executive order.’’.
SEC. 1102. RESTRUCTURING THE RESTRICTION ON DEGREE
TRAINING.
Section 4107 of title 5, United States Code, is
amended—
(1) in subsection (a), by striking ‘‘subsection (b)’’
and inserting ‘‘subsections (b) and (c)’’;
(2) in subsection (b)(1), by striking ‘‘subsection
(a)’’ and inserting ‘‘subsections (a) or (c)’’; and
(3) by adding at the end the following new sub-
section:
‘‘(c) With respect to an employee of the Department
of Defense—
‘‘(1) this chapter does not authorize, except as
provided in subsection (b) of this section, the selection
and assignment of the employee for training, or the
payment or reimbursement of the costs of training,
for—
‘‘(A) the purpose of providing an oppor-
tunity to the employee to obtain an academic de-
gree in order to qualify for appointment to a
330
particular position for which the academic de-
gree is a basic requirement; or
‘‘(B) the sole purpose of providing an op-
portunity to the employee to obtain one or more
academic degrees, unless such opportunity is
part of a planned, systematic, and coordinated
program of professional development endorsed by
the Department of Defense; and
‘‘(2) any course of post-secondary education de-
livered through classroom, electronic, or other means
shall be administered or conducted by an institution
recognized under standards implemented by a na-
tional or regional accrediting body, except in a case
in which such standards do not exist or would not be
appropriate.’’.
SEC. 1103. CONTINUATION OF TUITION REIMBURSEMENT
AND TRAINING FOR CERTAIN ACQUISITION
PERSONNEL.
Section 1745(a)(2) of title 10, United States Code, is
amended by striking ‘‘September 30, 2001’’ and inserting
‘‘September 30, 2005’’.
331
SEC. 1104. EXTENSION OF AUTHORITY FOR CIVILIAN EM-
PLOYEES OF THE DEPARTMENT OF DEFENSE
TO PARTICIPATE VOLUNTARILY IN REDUC-
TIONS IN FORCE.
Section 3502(f)(5) of title 5, United States Code, is
amended by striking ‘‘September 30, 2001’’ and inserting
‘‘September 30, 2005’’.
SEC. 1105. EXPANSION OF DEFENSE CIVILIAN INTEL-
LIGENCE PERSONNEL SYSTEM POSITIONS.
(a) AUTHORITY FOR SENIOR DOD INTELLIGENCE PO-
SITIONS THROUGHOUT DEPARTMENT OF DEFENSE.—Sec-
tion 1601(a)(1) of title 10, United States Code, is
amended—
(1) by striking ‘‘in the intelligence components of
the Department of Defense and the military depart-
ments’’ and inserting ‘‘in the Department of Defense’’;
and
(2) by striking ‘‘of those components and depart-
ments’’ and inserting ‘‘of the Department’’.
(b) CONFORMING AMENDMENT FOR PERSONS ELIGI-
BLE FOR POSTEMPLOYMENT ASSISTANCE.—Section 1611 of
such title is amended—
(1) in subsection (a)(1), by striking ‘‘intelligence
component of the Department of Defense’’ and insert-
ing ‘‘defense intelligence position’’;
(2) in subsection (b)—
332
(A) by striking ‘‘sensitive position in an in-
telligence component of the Department of De-
fense’’ in the matter preceding paragraph (1)
and inserting ‘‘sensitive defense intelligence posi-
tion’’; and
(B) by striking ‘‘with the intelligence com-
ponent’’ in paragraphs (1) and (2) and inserting
‘‘in a defense intelligence position’’;
(3) in subsection (d), by striking ‘‘an intelligence
component of the Department of Defense’’ and insert-
ing ‘‘in a defense intelligence position’’; and
(4) by striking subsection (f).
(c) CONFORMING AMENDMENT FOR DEFINITION OF
DEFENSE INTELLIGENCE POSITION.—Section 1614(1) of
such title is amended by striking ‘‘of an intelligence compo-
nent of the Department of Defense or of a military depart-
ment’’ and inserting ‘‘of the Department of Defense’’.
SEC. 1106. PILOT PROGRAM FOR REENGINEERING THE
EQUAL EMPLOYMENT OPPORTUNITY COM-
PLAINT PROCESS.
(a) PILOT PROGRAM.—(1) The Secretary of the Navy
may carry out a pilot program to improve processes for
the resolution of equal employment opportunity complaints
by civilian employees of the Department of the Navy. Com-
plaints processed under the pilot program shall be subject
333
to the procedural requirements established for the pilot pro-
gram and shall not be subject to the procedural require-
ments of 29 CFR part 1614 or other regulations or direc-
tives of the Equal Employment Opportunity Commission.
(2) The pilot program shall include procedures to re-
duce processing time and eliminate redundancy with re-
spect to processes for the resolution of equal employment
opportunity complaints, reinforce local management and
chain-of-command accountability, and provide the parties
involved with early opportunity for resolution.
(3) The Secretary may waive any regulatory restric-
tions prescribed by the Equal Employment Opportunity
Commission in carrying out the pilot program.
(4) The Secretary may carry out the pilot program
for a period of 5 years, beginning on January 1, 2001.
(5) Participation in the pilot program shall be vol-
untary on the part of the complainant. Complainants who
participate in the pilot program shall retain the right to
appeal a final agency decision to the Equal Employment
Opportunity Commission and to file suit in district court.
The Equal Employment Opportunity Commission shall not
reverse a final agency decision on the grounds that the agen-
cy did not comply with the regulatory requirements pro-
mulgated by the Commission. This paragraph applies to all
cases currently pending before the Equal Employment Op-
334
portunity Commission or hereinafter filed with the Com-
mission.
(b) REPORT.—Not later than 90 days following the end
of the second and fourth full or partial fiscal years during
which the pilot program is implemented, the Comptroller
General shall submit to Congress a report on the pilot pro-
gram. Such reports shall contain the following:
(1) A description of the processes tested by the
pilot program.
(2) The results of such testing.
(3) Recommendations for changes to the processes
for the resolution of equal employment opportunity
complaints as a result of such pilot program.
(4) A comparison of the processes used under the
pilot program to traditional and alternative dispute
resolution processes used in the government or private
industry.
TITLE XII—MATTERS RELATING
TO OTHER NATIONS
SEC. 1201. SUPPORT OF UNITED NATIONS-SPONSORED EF-
FORTS TO INSPECT AND MONITOR IRAQI
WEAPONS ACTIVITIES.
(a) LIMITATION ON AMOUNT OF ASSISTANCE IN FIS-
CAL YEAR 2001—The total amount of the assistance for fis-
cal year 2001 that is provided by the Secretary of Defense
335
under section 1505 of the Weapons of Mass Destruction
Control Act of 1992 (22 U.S.C. 5859a) as activities of the
Department of Defense in support of activities under that
Act may not exceed $15,000,000.
(b) EXTENSION OF AUTHORITY TO PROVIDE ASSIST-
ANCE.—Subsection (f) of section 1505 of the Weapons of
Mass Destruction Control Act of 1992 (22 U.S.C. 5859a)
is amended by striking ‘‘2000’’ and inserting ‘‘2001’’.
SEC. 1202. ANNUAL REPORT ASSESSING EFFECT OF CON-
TINUED OPERATIONS IN THE BALKANS RE-
GION ON READINESS TO EXECUTE THE NA-
TIONAL MILITARY STRATEGY.
Section 1035 of the National Defense Authorization
Act for Fiscal Year 2000 (Public Law 106–65; 113 Stat.
753) is amended—
(1) in subsection (a), by striking ‘‘Not later than
180 days after the date of the enactment of this Act’’
and inserting ‘‘Not later than April 1 each year’’;
(2) in subsection (b), by striking ‘‘The report’’ in
the matter preceding paragraph (1) and inserting
‘‘Each report’’; and
(3) in subsection (d), by striking ‘‘the report’’
and inserting ‘‘a report’’.
336
SEC. 1203. SITUATION IN THE BALKANS.
(a) ESTABLISHMENT
OF NATO BENCHMARKS
FOR
WITHDRAWAL OF FORCES FROM KOSOVO.—The President
shall develop, not later than May 31, 2001, militarily sig-
nificant benchmarks for conditions that would achieve a
sustainable peace in Kosovo and ultimately allow for the
withdrawal of the United States military presence in
Kosovo. Congress urges the President to seek concurrence
among member nations of the North Atlantic Treaty Orga-
nization in the development of those benchmarks.
(b) COMPREHENSIVE
POLITICAL-MILITARY
STRAT-
EGY.—The President shall develop a comprehensive polit-
ical-military strategy for addressing the political, economic,
humanitarian, and military issues in the Balkans and shall
establish near-term, mid-term, and long-term objectives in
the region. In developing such strategy and such objectives,
the President shall take into consideration the benchmarks
relating to Kosovo developed as described in subsection (a)
and the benchmarks relating to Bosnia that were detailed
in the report accompanying the certification by the Presi-
dent to Congress on March 3, 1998 (printed as House Docu-
ment 105–223), with respect to the continued presence of
United States Armed Forces, after June 30, 1998, in Bosnia
and Herzegovina, submitted to Congress pursuant to section
7 of Public Law 105–74. Such strategy and objectives shall
337
be developed in consultation with appropriate regional and
international entities.
(c) SEMIANNUAL REPORT ON COMPREHENSIVE STRAT-
EGY.—Not later than June 30, 2001, and six months there-
after so long as United States forces are in the Balkans,
the President shall submit to Congress a report on the
progress being made in developing and implementing a
comprehensive political-military strategy as described in
subsection (b).
(d) SEMIANNUAL REPORT
ON BENCHMARKS.—Not
later than June 30, 2001, and every six months thereafter,
the President shall submit to Congress a report on the
progress made in achieving the conditions established by
those benchmarks.
SEC. 1204. LIMITATION ON NUMBER OF MILITARY PER-
SONNEL IN COLOMBIA.
(a) LIMITATION.—None of the funds available to the
Department of Defense may be used to support or maintain
more than 500 members of the Armed Forces on duty in
the Republic of Colombia at any time.
(b) EXCEPTIONS.—There shall be excluded from count-
ing for the purposes of the limitation in subsection (a) the
following:
(1) A member of the Armed Forces in the Repub-
lic of Colombia for the purpose of rescuing or retriev-
338
ing United States military or civilian Government
personnel, except that the period for which such a
member may be so excluded may not exceed 30 days
unless expressly authorized by law.
(2) A member of the Armed Forces assigned to
the United States Embassy in Colombia as an
attache´, as a member of the security assistance office,
or as a member of the Marine Corps security contin-
gent.
(3) A member of the Armed Forces in Colombia
to participate in relief efforts in responding to a nat-
ural disaster.
(4) Nonoperational transient military personnel.
TITLE 
XIII—COOPERATIVE
THREAT 
REDUCTION 
WITH
STATES OF THE FORMER SO-
VIET UNION
SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT RE-
DUCTION PROGRAMS AND FUNDS.
(a) SPECIFICATION OF CTR PROGRAMS.—For pur-
poses of section 301 and other provisions of this Act, Coop-
erative Threat Reduction programs are the programs speci-
fied in section 1501(b) of the National Defense Authoriza-
tion Act for Fiscal Year 1997 (Public Law 104–201; 110
Stat. 2731; 50 U.S.C. 2362 note).
339
(b) FISCAL YEAR 2001 COOPERATIVE THREAT REDUC-
TION FUNDS DEFINED.—As used in this title, the term ‘‘fis-
cal year 2001 Cooperative Threat Reduction funds’’ means
the funds appropriated pursuant to the authorization of ap-
propriations in section 301 for Cooperative Threat Reduc-
tion programs.
(c) AVAILABILITY
OF FUNDS.—Funds appropriated
pursuant to the authorization of appropriations in section
301 for Cooperative Threat Reduction programs shall be
available for obligation for three fiscal years.
SEC. 1302. FUNDING ALLOCATIONS.
(a) FUNDING
FOR
SPECIFIC
PURPOSES.—Of the
$433,400,000 authorized to be appropriated to the Depart-
ment of Defense for fiscal year 2001 in section 301(23) for
Cooperative Threat Reduction programs, not more than the
following amounts may be obligated for the purposes speci-
fied:
(1) For strategic offensive arms elimination in
Russia, $162,800,000.
(2) For strategic nuclear arms elimination in
Ukraine, $34,100,000.
(3) For activities to support warhead dismantle-
ment processing in Russia, $9,300,000.
(4) For weapons transportation security in Rus-
sia, $14,000,000.
340
(5) For planning, design, and construction of a
storage 
facility 
for 
Russian 
fissile 
material,
$57,400,000.
(6) For weapons storage security in Russia,
$89,700,000.
(7) For development of a cooperative program
with the Government of Russia to eliminate the pro-
duction of weapons grade plutonium at Russian reac-
tors, $32,100,000.
(8) For biological weapons proliferation preven-
tion activities in Russia, $12,000,000.
(9) For activities designated as Other Assess-
ments/Administrative Support, $13,000,000.
(10) 
For 
defense 
and 
military 
contacts,
$9,000,000.
(b) REPORT ON OBLIGATION OR EXPENDITURE OF
FUNDS FOR OTHER PURPOSES.—No fiscal year 2001 Coop-
erative Threat Reduction funds may be obligated or ex-
pended for a purpose other than a purpose listed in para-
graphs (1) through (10) of subsection (a) until 30 days after
the date that the Secretary of Defense submits to Congress
a report on the purpose for which the funds will be obligated
or expended and the amount of funds to be obligated or ex-
pended. Nothing in the preceding sentence shall be construed
as authorizing the obligation or expenditure of fiscal year
341
2001 Cooperative Threat Reduction funds for a purpose for
which the obligation or expenditure of such funds is specifi-
cally prohibited under this title or any other provision of
law.
(c) LIMITED
AUTHORITY
TO
VARY
INDIVIDUAL
AMOUNTS.—(1) Subject to paragraphs (2) and (3), in any
case in which the Secretary of Defense determines that it
is necessary to do so in the national interest, the Secretary
may obligate amounts appropriated for fiscal year 2001 for
a purpose listed in any of the paragraphs in subsection (a)
in excess of the amount specifically authorized for such pur-
pose.
(2) An obligation of funds for a purpose stated in any
of the paragraphs in subsection (a) in excess of the specific
amount authorized for such purpose may be made using
the authority provided in paragraph (1) only after—
(A) the Secretary submits to Congress notifica-
tion of the intent to do so together with a complete
discussion of the justification for doing so; and
(B) 15 days have elapsed following the date of
the notification.
(3) The Secretary may not, under the authority pro-
vided in paragraph (1), obligate amounts for the purposes
stated in any of paragraphs (4), (5), (7), (9), or (10) of