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(3) INCLUSION OF INFORMATION IN ANNUAL RE-
PORT
ON
ENVIRONMENTAL
RESTORATION
ACTIVI-
TIES.—The Secretary shall include the information
obtained pursuant to the review conducted under
paragraph (1) in the annual report on environmental
restoration activities submitted to Congress under sec-
tion 2706 of title 10, United States Code.
(4) FINAL REPORT.—The Secretary shall com-
plete the historical review required under paragraph
(1) and submit a final report on the findings of such
review in the annual report on environmental res-
toration activities submitted to Congress for fiscal
year 2009.
(b) IDENTIFICATION OF NAVIGATIONAL AND SAFETY
HAZARDS.—
(1) IDENTIFICATION
OF
HAZARDS.—The Sec-
retary of Defense shall provide available information
to the Secretary of Commerce to assist the National
Oceanic and Atmospheric Administration in pre-
paring nautical charts and other navigational mate-
rials for coastal waters that identify known or poten-
tial hazards posed by disposed military munitions to
private activities, including commercial shipping and
fishing operations.
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(2) CONTINUATION
OF
INFORMATION
ACTIVI-
TIES.—The Secretary of Defense shall continue activi-
ties to inform potentially affected users of the ocean
environment, particularly fishing operations, of the
possible hazards from contact with disposed military
munitions and the proper methods to mitigate such
hazards.
(c) RESEARCH.—
(1) IN GENERAL.—The Secretary of Defense shall
continue to conduct research on the effects on the
ocean environment and those who use it of military
munitions disposed of in coastal waters.
(2) SCOPE.—Research under paragraph (1) shall
include—
(A) the sampling and analysis of ocean wa-
ters and sea beds at or adjacent to military mu-
nitions disposal sites selected pursuant to para-
graph (3) to determine whether the disposed
military munitions have caused or are causing
contamination of such waters or sea beds;
(B) investigation into the long-term effects
of seawater exposure on disposed military muni-
tions, particularly effects on chemical munitions;
(C) investigation into the impacts any such
contamination may have on the ocean environ-
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ment and those who use it, including public
health risks;
(D) investigation into the feasibility of re-
moving or otherwise remediating the military
munitions; and
(E) the development of effective safety meas-
ures for dealing with such military munitions.
(3) RESEARCH CRITERIA.—In conducting the re-
search required by this subsection, the Secretary shall
ensure that the sampling, analysis, and investigations
are conducted at representative sites, taking into ac-
count factors such as depth, water temperature, na-
ture of the military munitions present, and relative
proximity to onshore populations. In conducting such
research, the Secretary shall select at least two rep-
resentative sites each in the areas of the Atlantic
coast, the Pacific coast (including Alaska), and the
Hawaiian Islands.
(4) AUTHORITY TO MAKE GRANTS AND ENTER
INTO COOPERATIVE AGREEMENTS.—In conducting re-
search under this subsection, the Secretary may make
grants to, and enter into cooperative agreements with,
qualified research entities.
(d) MONITORING.—If the historical review required by
subsection (a) or the research required by subsection (c) in-
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dicates that contamination is being released into the ocean
waters from disposed military munitions at a particular
site or that the site poses a significant public health or safe-
ty risk, the Secretary shall institute appropriate moni-
toring mechanisms at that site and report to the congres-
sional defense committees on any additional measures that
may be necessary to address the release or risk, as applica-
ble.
(e) DEFINITIONS.—In this section:
(1) The term ‘‘coastal waters’’ means that part
of the ocean extending from the coast line of the
United States to the outer boundary of the outer Con-
tinental Shelf.
(2) The term ‘‘coast line’’ has the meaning given
that term in section 2(c) of the Submerged Lands Act
(43 U.S.C. 1301(c)).
(3) The term ‘‘outer Continental Shelf’’ has the
meaning given that term in section 2(a) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1331(a)).
SEC. 334. CLARIFICATION OF MULTI-YEAR AUTHORITY TO
USE BASE CLOSURE FUNDS TO FUND COOP-
ERATIVE 
AGREEMENTS 
UNDER 
ENVIRON-
MENTAL RESTORATION PROGRAM.
Section 2701 of title 10, United States Code, is amend-
ed by adding at the end the following new sentence: ‘‘This
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two-year limitation does not apply to agreements funded
through the Department of Defense Base Closure Account
1990 or the Department of Defense Base Closure Account
2005 established by sections 2906 and 2906A, respectively,
of the Defense Base Closure and Realignment Act of 1990
(part A of title XXIX of Public Law 101–510; 10 U.S.C.
2687 note).’’.
SEC. 335. REIMBURSEMENT OF ENVIRONMENTAL PROTEC-
TION AGENCY FOR CERTAIN COSTS IN CON-
NECTION 
WITH 
MOSES 
LAKE 
WELLFIELD
SUPERFUND 
SITE, 
MOSES 
LAKE, 
WASH-
INGTON.
(a) AUTHORITY TO REIMBURSE.—(1) Using funds de-
scribed in subsection (b), the Secretary of Defense may
transfer not more than $111,114.03 to the Moses Lake
Wellfield Superfund Site 10–6J Special Account.
(2) The payment under paragraph (1) is to reimburse
the Environmental Protection Agency for its costs incurred
in overseeing a remedial investigation/feasibility study per-
formed by the Department of the Army under the Defense
Environmental Restoration Program at the former Larson
Air Force Base, Moses Lake Superfund Site, Moses Lake,
Washington.
(3) The reimbursement described in paragraph (2) is
provided for in the interagency agreement entered into by
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the Department of the Army and the Environmental Protec-
tion Agency for the Moses Lake Wellfield Superfund Site
in March 1999.
(b) SOURCE OF FUNDS.—Any payment under sub-
section (a) shall be made using funds authorized to be ap-
propriated by section 301(17) for operation and mainte-
nance for Environmental Restoration, Formerly Used De-
fense Sites.
(c) USE OF FUNDS.—The Environmental Protection
Agency shall use the amount transferred under subsection
(a) to pay costs incurred by the Agency at the Moses Lake
Wellfield Superfund Site.
Subtitle D—Reports
SEC. 351. COMPTROLLER GENERAL REPORT ON READINESS
OF THE GROUND FORCES OF THE ARMY AND
THE MARINE CORPS.
(a) REPORT REQUIRED.—
(1) IN GENERAL.—Not later than March 1, 2007,
the Comptroller General of the United States shall
submit to the congressional defense committees a re-
port on the readiness of the active component and re-
serve component ground forces of the Army and the
Marine Corps.
(2) ONE
OR
MORE
REPORTS.—In complying
with the requirements of this section, the Comptroller
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General may submit a single report addressing all the
elements specified in subsection (b) or two or more re-
ports addressing any combination of such elements. If
the Comptroller General submits more than one report
under this section, all such reports shall be submitted
not later than the date specified in paragraph (1).
(b) ELEMENTS.—The elements specified in this sub-
section include the following:
(1) An analysis of the current readiness status of
each of the active component and reserve component
ground forces of the Army and the Marine Corps, in-
cluding a description of any major deficiency identi-
fied, an analysis of the trends in readiness of such
forces during not less than the ten years preceding the
report, and a comparison of the current readiness in-
dicators of such ground forces with historical pat-
terns.
(2) An assessment of the ability of the Army and
the Marine Corps to provide trained and ready forces
for ongoing operations as well as other commitments
assigned to the Army and the Marine Corps in de-
fense planning documents.
(3) An analysis of the availability of equipment
for training by units of the Army and the Marine
Corps in the United States in configurations com-
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parable to the equipment being used by units of the
Army and the Marine Corps, as applicable, in ongo-
ing operations.
(4) An analysis of the current and projected re-
quirement for repair or replacement of equipment of
the Army and the Marine Corps due to ongoing oper-
ations, and the impact of such required repair or re-
placement of equipment on the availability of equip-
ment for training.
(5) An assessment of the current personnel tempo
of Army and Marine Corps forces, including—
(A) a comparison of such tempos to histor-
ical trends;
(B) an identification of particular occupa-
tional specialties that are experiencing unusually
high or low deployment rates; and
(C) an analysis of retention rates in the oc-
cupational specialties identified under subpara-
graph (B).
(6) An assessment of the efforts of the Army and
the Marine Corps to mitigate the impact of high oper-
ational tempos, including cross-leveling of personnel
and equipment or cross training of personnel or units
for new or additional mission requirements.
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(7) A description of the current policy of the
Army and the Marine Corps with respect to the mobi-
lization of reserve component personnel, together with
an analysis of the number of reserve component per-
sonnel in each of the Army and the Marine Corps
that are projected to be available for deployment
under such policy.
(c) FORM OF REPORT.—Any report submitted under
subsection (a) shall be submitted in both classified and un-
classified form.
SEC. 352. NATIONAL ACADEMY OF SCIENCES STUDY ON
HUMAN 
EXPOSURE 
TO 
CONTAMINATED
DRINKING WATER AT CAMP LEJEUNE, NORTH
CAROLINA.
(a) STUDY REQUIRED.—
(1) IN GENERAL.—Not later than 60 days after
the date of the enactment of this Act, the Secretary of
Navy shall enter into an agreement with the National
Academy of Sciences to conduct a comprehensive re-
view and evaluation of the available scientific and
medical evidence regarding associations between pre-
natal, child, and adult exposure to drinking water
contaminated with trichloroethylene (TCE) and
tetrachloroethylene (PCE) at Camp Lejeune, North
Carolina, as well as other pre-natal, child, and adult
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exposures 
to 
levels 
of 
trichloroethylene 
and
tetrachloroethylene similar to those experienced at
Camp Lejeune, and birth defects or diseases and any
other adverse health effects.
(2) ELEMENTS.—In conducting the review and
evaluation, the Academy shall review and summarize
the scientific and medical evidence and assess the
strength of that evidence in establishing a link or as-
sociation between exposure to trichloroethylene and
tetrachloroethylene and each birth defect or disease
suspected to be associated with such exposure. For
each birth defect or disease reviewed, the Academy
shall determine, to the extent practicable with avail-
able scientific and medical data, whether—
(A) a statistical association with such con-
taminant exposures exists; and
(B) there exist plausible biological mecha-
nisms or other evidence of a causal relationship
between contaminant exposures and the birth de-
fect or disease.
(3) SCOPE OF REVIEW.—In conducting the re-
view and evaluation, the Academy shall include a re-
view and evaluation of—
(A) the toxicologic and epidemiologic lit-
erature on adverse health effects of trichloro-
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ethylene and tetrachloroethylene, including epi-
demiologic and risk assessment reports from gov-
ernment agencies;
(B) recent literature reviews by the Na-
tional Research Council, Institute of Medicine,
and other groups;
(C) the completed and on-going Agency for
Toxic Substances Disease Registry (ATSDR)
studies 
on 
potential 
trichloroethylene 
and
tetrachloroethylene exposure at Camp Lejeune;
and
(D) published meta-analyses.
(4) PEER REVIEW.—The Academy shall obtain
the peer review of the report prepared as a result of
the review and evaluation under applicable Academy
procedures.
(5) SUBMITTAL.—The Academy shall submit the
report prepared as a result of the review and evalua-
tion to the Secretary and Congress not later than 18
months after entering into the agreement for the re-
view and evaluation under paragraph (1).
(b) NOTICE ON EXPOSURE.—
(1) NOTICE REQUIRED.—Upon completion of the
current epidemiological study by the Agency for Toxic
Substances Disease Registry, known as the Exposure
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to Volatile Organic Compounds in Drinking Water
and Specific Birth Defects and Childhood Cancers,
United States Marine Corps Base Camp Lejeune,
North Carolina, the Commandant of the Marine
Corps shall take appropriate actions, including the
use of national media such as newspapers, television,
and the Internet, to notify former Camp Lejeune resi-
dents and employees who may have been exposed to
drinking water impacted by trichloroethylene and
tetrachloroethylene of the results of the study.
(2) ELEMENTS.—The information provided by
the Commandant of the Marine Corps under para-
graph (1) shall be prepared in conjunction with the
Agency for Toxic Substances Disease Registry and
shall include a description of sources of additional in-
formation relating to such exposure, including, but
not be limited to, the following:
(A) A description of the events resulting in
exposure to contaminated drinking water at
Camp Lejeune.
(B) A description of the duration and ex-
tent of the contamination of drinking water at
Camp Lejeune.
(C) The known and suspected health effects
of exposure to the drinking water impacted by
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trichloroethylene 
and 
tetrachloroethylene 
at
Camp Lejeune.
SEC. 353. REPORT ON AERIAL TRAINING AIRSPACE RE-
QUIREMENTS OF THE DEPARTMENT OF DE-
FENSE.
(a) FINDINGS.—Congress makes the following findings:
(1) Access to and use of available and unfettered
aerial training airspace is critical for preserving air-
crew warfighting proficiency and the ability to test,
evaluate, and improve capabilities of both personnel
and equipment within the most realistic training en-
vironments possible.
(2) The growth of civilian and commercial avia-
tion traffic and the rapid expansion of commercial
and general air traffic lanes across the continental
United States has left few remaining areas of the
country available for realistic air combat training or
expansion of existing training areas.
(3) Many Military Operating Areas (MOAs)
originally established in what was once open and
uncongested airspace are now encroached upon by a
heavy volume of commercial and general air traffic,
making training more difficult and potentially haz-
ardous.
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(4) Some aerial training areas in the upper
great plains, western States, and Gulf coast remain
largely free from encroachment and available for in-
creased use, expansion, and preservation for the fu-
ture.
(b) SENSE OF CONGRESS.—It is the sense of Congress
that the Department of Defense should—
(1) establish a policy to identify military aerial
training areas that are projected to remain viable
and free from encroachment well into the 21st cen-
tury;
(2) determine aerial training airspace require-
ments to meet future training and airspace require-
ments of current and next generation military air-
craft; and
(3) undertake all necessary actions in a timely
manner, including coordination with the Federal
Aviation Administration, to preserve and, if nec-
essary, expand those areas of airspace to meet present
and future training requirements.
(c) REPORT.—Not later than 120 days after the date
of the enactment of this Act, the Secretary of Defense shall
submit to the congressional defense committees a report set-
ting forth a proposed plan to preserve and, if necessary,
expand available aerial training airspace to meet the pro-
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jected needs of the Department of Defense for such airspace
through 2025.
SEC. 354. REPORT ON ACTIONS TO REDUCE DEPARTMENT
OF DEFENSE CONSUMPTION OF PETROLEUM-
BASED FUEL.
(a) REPORT REQUIRED.—Not later than one year
after the date of the enactment of this Act, the Secretary
of Defense shall submit to the Committees on Armed Serv-
ices of the Senate and the House of Representatives a report
on the actions taken, and to be taken, by the Department
of Defense to reduce the consumption by the Department
of petroleum-based fuel.
(b) ELEMENTS.—The report shall include the status of
implementation by the Department of the requirements of
the following:
(1) The Energy Policy Act of 2005 (Public Law
109–58).
(2) The Energy Policy Act of 1992. (Public Law
102–486)
(3) Executive Order 13123.
(4) Executive Order 13149.
(5) Any other law, regulation, or directive relat-
ing to the consumption by the Department of petro-
leum-based fuel.
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SEC. 355. REPORTS ON WITHDRAWAL OR DIVERSION OF
EQUIPMENT FROM RESERVE UNITS FOR SUP-
PORT OF RESERVE UNITS BEING MOBILIZED
AND OTHER UNITS.
(a) FINDINGS.—Congress makes the following findings:
(1) The National Guard continues to provide in-
valuable resources to meet national security, home-
land defense, and civil emergency mission require-
ments.
(2) Current military operations, transnational
threats, and domestic emergencies will increase the
use of the National Guard for both military support
to civilian authorities and to execute the military
strategy of the United States.
(3) To meet the demand for certain types of
equipment for continuing United States military op-
erations, the Army has required Army National
Guard Units to leave behind many items for use by
follow-on forces.
(4) The Governors of every State and 2 Terri-
tories expressed concern in February 2006 that units
returning from deployment overseas without adequate
equipment would have trouble carrying out their
homeland security and domestic disaster duties.
(5) The Department of Defense estimates that it
has directed the Army National Guard to leave over-
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seas more than 75,000 items valued at approximately
$1,760,000,000 to support Operation Enduring Free-
dom and Operation Iraqi Freedom.
(6) Department of Defense Directive 1225.6 re-
quires a replacement and tracking plan be developed
within 90 days for equipment of the reserve compo-
nents of the Armed Forces that is transferred to the
active components of the Armed Forces.
(7) In October 2005, the Government Account-
ability Office found that the Department of Defense
can only account for about 45 percent of such equip-
ment and has not developed a plan to replace such
equipment.
(8) The Government Accountability Office also
found that without a completed and implemented
plan to replace all National Guard equipment left
overseas, Army National Guard units will likely face
growing equipment shortages and challenges in re-
gaining readiness for future missions.
(b) REPORTS
ON WITHDRAWAL
OR DIVERSION
OF
EQUIPMENT FROM RESERVE UNITS FOR SUPPORT OF RE-
SERVE UNITS BEING MOBILIZED AND OTHER UNITS.—
(1) IN
GENERAL.—Chapter 1007 of title 10,
United States Code, is amended by inserting after sec-
tion 10208 the following new section:
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‘‘§ 10208a. Mobilization: reports on withdrawal or di-
version of equipment from Reserve units
for support of Reserve units being mobi-
lized and other units
‘‘(a) REPORT REQUIRED ON WITHDRAWAL OR DIVER-
SION OF EQUIPMENT.—Not later than 90 days after with-
drawing or diverting equipment from a unit of the Reserve
to a unit of the Reserve being ordered to active duty under
section 12301, 12302, or 12304 of this title, or to a unit
or units of a regular component of the armed forces, for
purposes of the discharge of the mission of such unit or
units, the Secretary concerned shall submit to the Secretary
of Defense a status report on the withdrawal or diversion
of equipment.
‘‘(b) ELEMENTS.—Each status report under subsection
(a) on equipment withdrawn or diverted shall include the
following:
‘‘(1) A plan to recapitalize or replace such
equipment within the unit from which withdrawn or
diverted.
‘‘(2) If such equipment is to remain in a theater
of operations while the unit from which withdrawn or
diverted returns to the United States, a plan to pro-
vide such unit with recapitalized or replacement
equipment appropriate to ensure the continuation of
the readiness training of such unit.
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‘‘(3) A signed memorandum of understanding be-
tween the active or reserve component to which with-
drawn or diverted and the reserve component from
which withdrawn or diverted that specifies—
‘‘(A) how such equipment will be tracked;
and
‘‘(B) when such equipment will be returned
to the component from which withdrawn or di-
verted.’’.
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 1007 of such title is
amended by inserting after the item relating to sec-
tion 10208 the following new item:
‘‘10208a. Mobilization: reports on withdrawal or diversion of equipment from Re-
serve units for support of Reserve units being mobilized and
other units.’’.
SEC. 356. PLAN TO REPLACE EQUIPMENT WITHDRAWN OR
DIVERTED FROM THE RESERVE COMPONENTS
OF THE ARMED FORCES FOR OPERATION
IRAQI FREEDOM OR OPERATION ENDURING
FREEDOM.
(a) PLAN REQUIRED.—Not later than 90 days after
the date of the enactment of this Act, the Secretary shall
submit to the congressional defense committees a plan to
replace equipment withdrawn or diverted from units of the
reserve components of the Armed Forces for use in Oper-
ation Iraqi Freedom or Operation Enduring Freedom.
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(b) ELEMENTS.—The plan required by subsection (a)
shall—
(1) identify the equipment to be recapitalized or
acquired to replace the equipment described in sub-
section (a);
(2) specify a schedule for recapitalizing or ac-
quiring the equipment identified under paragraph
(1), which schedule shall take into account applicable
depot workload and acquisition considerations, in-
cluding production capacity and current production
schedules; and
(3) specify the funding to be required to recapi-
talize or acquire the equipment identified under para-
graph (1).
SEC. 357. PLAN TO REPLACE EQUIPMENT WITHDRAWN OR
DIVERTED FROM THE RESERVE COMPONENTS
OF THE ARMED FORCES FOR OPERATION
IRAQI FREEDOM OR OPERATION ENDURING
FREEDOM.
(a) PLAN REQUIRED.—Not later than 90 days after
the date of the enactment of this Act, the Secretary shall
submit to the congressional defense committees a plan to
replace equipment withdrawn or diverted from units of the
reserve components of the Armed Forces for use in Oper-
ation Iraqi Freedom or Operation Enduring Freedom.
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(b) ELEMENTS.—The plan required by subsection (a)
shall—
(1) identify the equipment to be recapitalized or
acquired to replace the equipment described in sub-
section (a);
(2) specify a schedule for recapitalizing or ac-
quiring the equipment identified under paragraph
(1), which schedule shall take into account applicable
depot workload and acquisition considerations, in-
cluding production capacity and current production
schedules; and
(3) specify the funding to be required to recapi-
talize or acquire the equipment identified under para-
graph (1).
SEC. 358. REPORT ON VEHICLE-BASED ACTIVE PROTECTION
SYSTEMS 
FOR 
CERTAIN 
BATTLEFIELD
THREATS.
(a) INDEPENDENT ASSESSMENT.—The Secretary of
Defense shall enter into a contract with an appropriate en-
tity independent of the United States Government to con-
duct an assessment of various foreign and domestic techno-
logical approaches to vehicle-based active protection systems
for defense against both chemical energy and kinetic energy
top-attack and direct fire threats, including anti-tank mis-
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siles and rocket propelled grenades, mortars, and other
similar battlefield threats.
(b) REPORT.—
(1) REPORT REQUIRED.—The contract required
by subsection (a) shall require the entity entering in
to such contract to submit to the Secretary of Defense,
and to the congressional defense committees, not later
than 180 days after the date of the enactment of this
Act, a report on the assessment required by that sub-
section.
(2) ELEMENTS.—The report required under
paragraph (1) shall include—
(A) a detailed comparative analysis and as-
sessment of the technical approaches covered by
the assessment under subsection (a), including
the feasibility, military utility, cost, and poten-
tial short-term and long-term development and
deployment schedule of such approaches; and
(B) any other elements specified by the Sec-
retary in the contract under subsection (a).
SEC. 359. REPORT ON HIGH ALTITUDE AVIATION TRAINING
SITE, EAGLE COUNTY, COLORADO.
(a) REPORT REQUIRED.—Not later than December 15,
2006, the Secretary of the Army shall submit to the congres-
sional defense committees a report on the High Altitude
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Aviation Training Site (HAATS) in Eagle County, Colo-
rado.
(b) ELEMENTS.—The report required by subsection (a)
shall include the following:
(1) A description of the type of high altitude
aviation training being conducted at the High Alti-
tude Aviation Training Site, including the number of
pilots who receive such training on an annual basis
and the types of aircraft used in such training.
(2) A description of the number and type of heli-
copters required at the High Altitude Aviation Train-
ing Site to provide the high altitude aviation training
needed to sustain the war strategies contained in the
2006 Quadrennial Defense Review, assuming that
priority is afforded in the provision of such training
to commanders, instructor pilots, aviation safety offi-
cers, and deploying units.
(3) A thorough evaluation of accident rates for
deployed helicopter pilots of the Army who receive
high altitude aviation training at the High Altitude
Aviation Training Site, and accident rates for de-
ployed Army helicopter pilots who did not receive
such training, including the following:
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(A) An estimate (set forth as a range) of the
number of accidents attributable to power man-
agement.
(B) The number of accidents occurring in a
combat environment.
(C) The number of accidents occurring in a
non-combat environment.
(4) An evaluation of the inventory and avail-
ability of Army aircraft for purposes of establishing
an appropriate schedule for the assignment of a CH–
47 aircraft to the High Altitude Aviation Training
Site, if the Chief of Staff of the Army determines
there is value in conducting such training at the
HAATS.
(5) A description of the status of any efforts to
ensure that all helicopter aircrews deployed to the
area of responsibility of the Central Command
(CENTCOM AOR) are qualified in mountain flight
and power management prior to deployment, includ-
ing the locations where such training occurred, with
particular focus on the status of such efforts with re-
spect to aircrews to be deployed in support of Oper-
ation Enduring Freedom.
(c) TRACKING SYSTEM.—The Secretary shall imple-
ment a system for tracking those pilots that have attended
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a school with an established program of instruction for high
altitude aviation operations training. The system should,
if practical, utilize an existing system that permits the
query of pilot flight experience and training.
SEC. 360. REPORT ON AIR FORCE SAFETY REQUIREMENTS
FOR AIR FORCE FLIGHT TRAINING OPER-
ATIONS AT PUEBLO MEMORIAL AIRPORT,
COLORADO.
(a) REPORT REQUIRED.—Not later than February 15,
2007, the Secretary of the Air Force shall submit to the con-
gressional defense committees a report on Air Force safety
requirements for Air Force flight training operations at
Pueblo Memorial Airport, Colorado.
(b) ELEMENTS.—The report required by subsection (a)
shall include the following:
(1) A description of the Air Force flying oper-
ations at Pueblo Memorial Airport.
(2) An assessment of the impact of Air Force op-
erations at Pueblo Memorial Airport on non-Air
Force activities at the airport.
(3) A description of the requirements necessary
at Pueblo Memorial Airport to ensure safe Air Force
flying operations, including continuous availability of
fire protection, crash rescue, and other emergency re-
sponse capabilities.
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(4) An assessment of the necessity of providing
for a continuous fire-fighting capability at Pueblo
Memorial Airport.
(5) A description and analysis of alternatives for
Air Force flying operations at Pueblo Memorial Air-
port, including the cost and availability of such alter-
natives.
(6) An assessment of whether Air Force funding
is required to assist the City of Pueblo, Colorado, in
meeting Air Force requirements for safe Air Force
flight operations at Pueblo Memorial Airport, and if
required, the Air Force plan to provide the funds to
the city.
SEC. 360A. REPORT ON USE OF ALTERNATIVE FUELS BY
THE DEPARTMENT OF DEFENSE.
(a) STUDY.—The Secretary of Defense shall conduct a
study on the use of alternative fuels by the Armed Forces
and the Defense Agencies, including any measures that can
be taken to increase the use of such fuels by the Department
of Defense and the Defense Agencies.
(b) ELEMENTS.—The study shall address each matter
set forth in paragraphs (1) through (7) of section 357(b)
of the National Defense Authorization Act for Fiscal Year
2006 (Public Law 109–163; 119 Stat. 3207) with respect
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to alternative fuels (rather than to the fuels specified in such
paragraphs).
(c) REPORT.—
(1) IN GENERAL.—Not later than 180 days after
the date of the enactment of this Act, the Secretary
shall submit to the Committees on Armed Services of
the Senate and the House of Representatives a report
on the study conducted under this section.
(2) MANNER
OF
SUBMITTAL.—The report re-
quired by this subsection may be incorporated into, or
provided as an annex to, the study required by sec-
tion 357(c) of the National Defense Authorization Act
for Fiscal Year 2006.
(d) ALTERNATIVE FUELS DEFINED.—In this section,
the term ‘‘alternative fuels’’ means biofuels, biodiesel, re-
newable diesel, ethanol that contain less than 85 percent
ethyl alcohol, and cellulosic ethanol.
Subtitle E—Workplace and Depot
Issues
SEC. 361. MINIMUM CAPITAL INVESTMENT LEVELS FOR
PUBLIC DEPOTS SERVICED BY WORKING CAP-
ITAL FUNDS.
(a) MINIMUM INVESTMENT LEVELS.—Section 2208 of
title 10, United States Code, is amended by adding at the
end the following new subsection:
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‘‘(s) MINIMUM CAPITAL INVESTMENT FOR PUBLIC DE-
POTS SERVICED BY WORKING CAPITAL FUNDS.—(1) Each
public depot that is serviced by a working capital fund shall
invest in its capital budget each fiscal year an amount
equal to not less than six percent of the actual total revenue
of the public depot for the previous fiscal year.
‘‘(2) The Secretary of Defense may waive the require-
ment in paragraph (1) with respect to a particular public
depot for a fiscal year if the Secretary determines that the
waiver is necessary for reasons of national security and no-
tifies the congressional defense committees of the reasons for
the waiver.
‘‘(3)(A) Each year, not later than 45 days after the
President submits to Congress the budget for a fiscal year
under section 1105 of title 31, the Secretary shall submit
to the congressional defense committees budget justification
documents summarizing the level of capital investment at
each public depot serviced by working capital funds as of
the end of the previous fiscal year.
‘‘(B) Each report under this paragraph shall include
the following:
‘‘(i) A specification of the statutory, regulatory,
or operational impediments, if any, to achieving the
requirement in paragraph (1) with respect to each
public depot described in that paragraph.
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‘‘(ii) A description of the benchmarks established
by each public depot and working capital fund for
capital investment and the relationship of the bench-
marks to applicable performance measurement meth-
ods used in the private sector.
‘‘(iii) If the requirement set out in paragraph
(1) is not met for any public depot in the previous
fiscal year, a statement of the reasons why and a
plan of actions to meet the requirement for such pub-
lic depot in the fiscal year beginning in the year in
which such report is submitted.
‘‘(4) In this subsection, the terms ‘total revenue’ and
‘capital budget’ have the meaning given such terms in De-
partment of Defense Financial Management Regulation
7000.14–R of June 2004.’’.
(b) EFFECTIVE DATE.—The amendment made by this
section shall take effect on the date of the enactment of this
Act, and shall apply with respect to fiscal years beginning
on or after that date.
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SEC. 362. PERMANENT EXCLUSION OF CERTAIN CONTRACT
EXPENDITURES FROM PERCENTAGE LIMITA-
TION ON THE PERFORMANCE OF DEPOT-
LEVEL MAINTENANCE.
Section 2474(f)(1) of title 10, United States Code, is
amended by striking ‘‘entered into during fiscal years 2003
through 2009’’.
SEC. 363. ADDITIONAL EXCEPTION TO PROHIBITION ON
CONTRACTOR 
PERFORMANCE 
OF 
FIRE-
FIGHTING FUNCTIONS.
Section 2465(b) of title 10, United States Code, is
amended by adding at the end the following new paragraph:
‘‘(5) A contract for the performance of fire-
fighting functions to—
‘‘(A) fight wildland fires such as range or
forest fires; and
‘‘(B) perform wildland fire management,
including the conduct of hazardous fuels treat-
ments to reduce wildland fire risks (including
prescribed fire and mechanical treatments).’’.
SEC. 364. TEMPORARY SECURITY GUARD SERVICES FOR
CERTAIN WORK CAUSED BY REALIGNMENT OF
MILITARY INSTALLATIONS UNDER THE BASE
CLOSURE LAWS.
(a) AUTHORITY
FOR TEMPORARY SERVICES.—Not-
withstanding section 2465 of title 10, United States Code,
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the Secretary of the military department concerned may,
for a period not to exceed one year at any single military
installation, contract for security guard services at military
installations approved for realignment under a base closure
law when such services are required for the safe and secure
relocation of either of the following:
(1) Military munitions and munitions-related
equipment.
(2) High-value items in temporary storage areas.
(b) DEFINITIONS.—In this section:
(1) The term ‘‘base closure law’’ has the meaning
given such term in section 101(a)(17) of title 10,
United States Code.
(2) The term ‘‘military munitions’’ has the
meaning given such term in section 101(e)(4) of title
10, United States Code.
(c) EXPIRATION.—The authority to enter into a con-
tract under subsection (a) shall expire on September 15,
2011.
Subtitle F—Other Matters
SEC. 371. RECYCLING OF MILITARY MUNITIONS.
(a) IN GENERAL.—Chapter 443 of title 10, United
States Code, is amended by adding at the end the following
new section:
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‘‘§ 4690. Sale of recyclable munitions materials
‘‘(a) AUTHORITY FOR PROGRAM.—(1) The Secretary
of the Army may carry out a program to—
‘‘(A) sell recyclable munitions materials result-
ing from the demilitarization of conventional mili-
tary munitions; and
‘‘(B) use the proceeds of sale for reclamation, re-
cycling, and reuse of conventional military muni-
tions.
‘‘(2) The program authorized by this section may be
known as the ‘Military Munitions Recycling Program’.
‘‘(b) GEOGRAPHIC LIMITATION.—The program author-
ized by subsection (a) may only be carried out in the United
States and its possessions.
‘‘(c) METHOD OF SALE.—(1) Except as provided in
paragraph (2), the Secretary shall use competitive proce-
dures to sell recyclable munitions materials under the pro-
gram authorized by this section.
‘‘(2) The Secretary may use procedures other than
competitive procedures to sell recyclable munitions mate-
rials under the program authorized by this section in any
case in which the Secretary determines there is only one
potential buyer of the items being offered for sale.
‘‘(3) The provisions of title 40 concerning disposal of
property are not applicable to sales of materials under the
program authorized by this section.
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‘‘(d) USE OF PROCEEDS.—(1) Proceeds from the sale
of recyclable munitions materials under the program au-
thorized by this section shall be credited to the Ammunition
Demilitarization Account within the Procurement of Am-
munition, Army, Account.
‘‘(2) Amounts credited to the Ammunition Demili-
tarization Account under paragraph (1) shall be available
solely for purposes of reclamation, recycling, and reuse of
conventional military munitions, including for research
and development for such purposes and for the procurement
of equipment for such purposes.
‘‘(3) Funds credited to the Ammunition Demilitariza-
tion Account under paragraph (1) in a fiscal year shall
be available for obligation under paragraph (2) during the
fiscal year in which the funds are so credited and for three
fiscal years thereafter.
‘‘(4) Funds credited to the Ammunition Demilitariza-
tion Account under paragraph (1) that are not obligated
under paragraph (2) within the period of availability
under paragraph (3) shall, at the end of such period, be
deposited into the Treasury as miscellaneous receipts.
‘‘(e) REGULATIONS.—The Secretary shall prescribe
regulations on the operation of the program authorized by
this section. The regulations shall be consistent with the
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Solid Waste Disposal Act (42 U.S.C. 6901 et seq.) and any
regulations prescribed thereunder.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of chapter 443 of such title is amended by
adding at the end the following new item:
‘‘4690. Sale of recyclable munitions materials.’’.
SEC. 372. INCENTIVES CLAUSES IN CHEMICAL DEMILI-
TARIZATION CONTRACTS.
(a) IN GENERAL.—
(1) AUTHORITY TO INCLUDE CLAUSES IN CON-
TRACTS.—The Secretary of Defense may, for the pur-
pose specified in paragraph (2), authorize the inclu-
sion of an incentives clause in any contract for the
destruction of the United States stockpile of lethal
chemical agents and munitions carried out pursuant
to section 1412 of the Department of Defense Author-
ization Act, 1986 (50 U.S.C. 1521).
(2) PURPOSE.—The purpose of a clause referred
to in paragraph (1) is to provide the contractor for
a chemical demilitarization facility an incentive to
accelerate the safe elimination of the United States
chemical weapons stockpile and to reduce the total
cost of the Chemical Demilitarization Program by
providing incentive payments for the early completion
of destruction operations and the closure of such facil-
ity.
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(b) INCENTIVES CLAUSES.—
(1) IN GENERAL.—An incentives clause under
this section shall permit the contractor for the chem-
ical demilitarization facility concerned the oppor-
tunity to earn incentive payments for the completion
of destruction operations and facility closure activi-
ties within target incentive ranges specified in such
clause.
(2) LIMITATION ON INCENTIVE PAYMENTS.—The
maximum incentive payment under an incentives
clause with respect to a chemical demilitarization fa-
cility may not exceed amounts as follows:
(A) In the case of an incentive payment for
the completion of destruction operations within
the target incentive range specified in such
clause, $110,000,000.
(B) In the case of an incentive payment for
the completion of facility closure activities with-
in the target incentive range specified in such
clause, $55,000,000.
(3) TARGET RANGES.—An incentives clause in a
contract under this section shall specify the target in-
centive ranges of costs for completion of destruction
operations and facility closure activities, respectively,
as jointly agreed upon by the contracting officer and
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the contractor concerned. An incentives clause shall
require a proportionate reduction in the maximum
incentive payment amounts in the event that the con-
tractor exceeds an agreed-upon target cost if such ex-
cess costs are the responsibility of the contractor.
(4) CALCULATION
OF
INCENTIVE
PAYMENTS.—
The amount of the incentive payment earned by a
contractor for a chemical demilitarization facility
under an incentives clause under this section shall be
based upon a determination by the Secretary on how
early in the target incentive range specified in such
clause destruction operations or facility closure activi-
ties, as the case may be, are completed.
(5) 
CONSISTENCY
WITH
EXISTING
OBLIGA-
TIONS.—The provisions of any incentives clause
under this section shall be consistent with the obliga-
tion of the Secretary of Defense under section
1412(c)(1)(A) of the Department of Defense Author-
ization Act, 1986 to provide for maximum protection
for the environment, the general public, and the per-
sonnel who are involved in the destruction of the le-
thal chemical agents and munitions.
(6) ADDITIONAL
TERMS
AND
CONDITIONS.—In
negotiating the inclusion of an incentives clause in a
contract under this section, the Secretary may include
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in such clause such additional terms and conditions
as the Secretary considers appropriate.
(c) ADDITIONAL LIMITATION ON PAYMENTS.—
(1) PAYMENT CONDITIONAL ON PERFORMANCE.—
No payment may be made under an incentives clause
under this section unless the Secretary determines
that the contractor concerned has satisfactorily per-
formed its duties under such incentives clause.
(2) 
PAYMENT
CONTINGENT
ON
APPROPRIA-
TIONS.—An incentives clause under this section shall
specify that the obligation of the Government to make
payment under such incentives clause is subject to the
availability of appropriations for that purpose.
Amounts appropriated for Chemical Agents and Mu-
nitions Destruction, Defense, shall be available for
payments under incentives clauses under this section.
SEC. 373. EXTENSION OF DEPARTMENT OF DEFENSE TELE-
COMMUNICATIONS BENEFIT PROGRAM.
(a) TERMINATION AT END OF CONTINGENCY OPER-
ATION.—Subsection (c) of section 344 of the National De-
fense Authorization Act for Fiscal Year 2004 (Public Law
108–136; 117 Stat. 1449), as amended by section 341 of
the Ronald W. Reagan National Defense Authorization Act
for Fiscal Year 2005 (Public Law 108–375; 118 Stat.
1857), is further amended by striking ‘‘terminate on Sep-
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tember 30, 2006’’ and inserting ‘‘terminate with respect to
a contingency operation on the date that is 60 days after
the date on which the Secretary determines that the contin-
gency operation has ended’’.
(b) APPLICATION
TO OTHER CONTINGENCY OPER-
ATIONS.—Such section is further amended—
(1) in subsection (a), by striking ‘‘Operation
Iraqi Freedom and Operation Enduring Freedom’’
and inserting ‘‘a contingency operation’’; and
(2) by adding at the end the following new sub-
section:
‘‘(g) CONTINGENCY OPERATION DEFINED.—In this
section, the term ‘contingency operation’ has the meaning
given that term in section 101(a)(13) of title 10, United
States Code. The term includes Operation Iraqi Freedom
and Operation Enduring Freedom.’’.
(c) EXTENSION TO HOSPITALIZED MEMBERS.—Sub-
section (a) of such section is further amended—
(1) by striking ‘‘As soon as possible after the
date of the enactment of this Act, the’’ and inserting
‘‘The’’; and
(2) by adding at the end the following new sen-
tence: ‘‘As soon as possible after the date of the enact-
ment of the National Defense Authorization Act for
Fiscal Year 2007, the Secretary shall extend such tele-
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communications benefit to members of the Armed
Forces who, although no longer covered by the pre-
ceding sentence, are hospitalized as a result of wounds
or other injuries incurred while serving in direct sup-
port of a contingency operation.’’.
(d) REPORT ON IMPLEMENTATION OF MODIFIED BEN-
EFITS.—Not later than 90 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit to
the congressional defense committees a report describing the
status of the efforts of the Department of Defense to imple-
ment the modifications of the Department of Defense tele-
communications benefit required by section 344 of the Na-
tional Defense Authorization Act for Fiscal Year 2004 that
result from the amendments made by this section.
SEC. 374. EXTENSION OF AVAILABILITY OF FUNDS FOR
COMMEMORATION 
OF 
SUCCESS 
OF 
THE
ARMED FORCES IN OPERATION ENDURING
FREEDOM AND OPERATION IRAQI FREEDOM.
Section 378(b)(2) of the National Defense Authoriza-
tion Act for Fiscal Year 2006 (Public Law 109–163; 119
Stat. 3214) is amended by striking ‘‘fiscal year 2006’’ and
inserting ‘‘fiscal years 2006 and 2007’’.
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SEC. 375. ENERGY EFFICIENCY IN WEAPONS PLATFORMS.
(a) POLICY.—It shall be the policy of the Department
of Defense to improve the fuel efficiency of weapons plat-
forms, consistent with mission requirements, in order to—
(1) enhance platform performance;
(2) reduce the size of the fuel logistics systems;
(3) reduce the burden high fuel consumption
places on agility;
(4) reduce operating costs; and
(5) dampen the financial impact of volatile oil
prices.
(b) REPORT REQUIRED.—
(1) IN GENERAL.—Not later than one year after
the date of the enactment of this Act, the Secretary of
Defense shall submit to the congressional defense com-
mittees a report on the progress of the Department of
Defense in implementing the policy established by
subsection (a).
(2) ELEMENTS.—The report shall include the fol-
lowing:
(A) An assessment of the feasibility of desig-
nating a senior Department of Defense official to
be responsible for implementing the policy estab-
lished by subsection (a).
(B) A summary of the recommendations
made as of the time of the report by—
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(i) the Energy Security Integrated
Product Team established by the Secretary
of Defense in April 2006;
(ii) the Defense Science Board Task
Force on Department of Defense Energy
Strategy established by the Under Secretary
of Defense for Acquisition, Technology and
Logistics on May 2, 2006; and
(iii) the January 2001 Defense Science
Board Task Force report on Improving Fuel
Efficiency of Weapons Platforms.
(C) For each recommendation summarized
under subparagraph (B)—
(i) the steps that the Department has
taken to implement such recommendation;
(ii) any additional steps the Depart-
ment plans to take to implement such rec-
ommendation; and
(iii) for any recommendation that the
Department does not plan to implement, the
reasons for the decision not to implement
such recommendation.
(D) An assessment of the extent to which the
research, development, acquisition, and logistics
guidance and directives of the Department for
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weapons platforms are appropriately designed to
address the policy established by subsection (a).
(E) An assessment of the extent to which
such guidance and directives are being carried
out in the research, development, acquisition,
and logistics programs of the Department.
(F) A description of any additional actions
that, in the view of the Secretary, may be needed
to implement the policy established by subsection
(a).
SEC. 376. CHEMICAL DEMILITARIZATION PROGRAM CON-
TRACTING AUTHORITY.
(a) MULTIYEAR CONTRACTING AUTHORITY.—The Sec-
retary of Defense may carry out responsibilities under sec-
tion 1412(a) of the Department of Defense Authorization
Act, 1986 (Public Law 99–145; 50 U.S.C. 1521(a)) through
multiyear contracts entered into before the date of the enact-
ment of this Act.
(b) AVAILABILITY OF FUNDS.—Contracts entered into
under subsection (a) shall be funded through annual appro-
priations for the destruction of chemical agents and muni-
tions.
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SEC. 377. UTILIZATION OF FUEL CELLS AS BACK-UP POWER
SYSTEMS IN DEPARTMENT OF DEFENSE OP-
ERATIONS.
The Secretary of Defense shall consider the utilization
of fuel cells as replacements for current back-up power sys-
tems in a variety of Department of Defense operations and
activities, including in telecommunications networks, pe-
rimeter security, and remote facilities, in order to increase
the operational longevity of back-up power systems and
stand-by power systems in such operations and activities.
SEC. 378. PREPOSITIONING OF DEPARTMENT OF DEFENSE
ASSETS TO IMPROVE SUPPORT TO CIVILIAN
AUTHORITIES.
(a) PREPOSITIONING AUTHORIZED.—The Secretary of
Defense may provide for the prepositioning of prepackaged
or preidentified basic response assets, such as medical sup-
plies, food and water, and communications equipment, in
order to improve Department of Defense support to civilian
authorities.
(b) REIMBURSEMENT.—To the extent required by sec-
tion 1535 of title 31, United States Code (popularly known
as the ‘‘Economy Act’’), or other applicable law, the Sec-
retary shall require reimbursement of the Department of
Defense for costs incurred in the prepositioning of basic re-
sponse assets under subsection (a).
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(c) LIMITATION.—Basic response assets may not be
prepositioned under subsection (a) if the prepositioning of
such assets will adversely affect the military preparedness
of the United States.
(d) PROCEDURES AND GUIDELINES.—The Secretary
may develop procedures and guidelines applicable to the
prepositioning of basic response assets under this section.
SEC. 379. RECOVERY AND AVAILABILITY TO CORPORATION
FOR THE PROMOTION OF RIFLE PRACTICE
AND FIREARMS SAFETY OF CERTAIN FIRE-
ARMS, AMMUNITION, AND PARTS.
(a) IN GENERAL.—Subchapter II of chapter 407 of
title 36, United States Code, is amended by inserting after
the item relating to section 40728 the following new section:
‘‘§ 40728A. Recovery and availability of excess fire-
arms, ammunition, and parts granted to
foreign countries
‘‘(a) RECOVERY.—The Secretary of the Army may re-
cover from any country to which a grant of rifles, ammuni-
tion, repair parts, or other supplies described in section
40731(a) of this title is made under section 505 of the For-
eign Assistance Act of 1961 (22 U.S.C. 2314) any such ri-
fles, ammunition, repair parts, or supplies that are excess
to the needs of such country.
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‘‘(b) COST OF RECOVERY.—(1) Except as provided in
paragraph (2), the cost of recovery of any rifles, ammuni-
tion, repair parts, or supplies under subsection (a) shall
be treated as incremental direct costs incurred in providing
logistical support to the corporation for which reimburse-
ment shall be required as provided in section 40727(a) of
this title.
‘‘(2) The Secretary may require the corporation to pay
costs of recovery described in paragraph (1) in advance of
incurring such costs. Amounts so paid shall not be subject
to the provisions of section 3302 of title 31, but shall be
administered in accordance with the last sentence of section
40727(a) of this title.
‘‘(c) AVAILABILITY.—Any rifles, ammunition, repair
parts, or supplies recovered under subsection (a) shall be
available for transfer to the corporation in accordance with
the provisions of section 40728 of this title under such addi-
tional terms and conditions as the Secretary shall prescribe
for purposes of this section.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of chapter 407 of such title is amended by
inserting after the item relating to section 40728 the fol-
lowing new item:
‘‘40728A. Recovery and availability of excess firearms, ammunition, and
parts granted to foreign countries.’’.
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TITLE IV—MILITARY PERSONNEL
AUTHORIZATIONS
Subtitle A—Active Forces
SEC. 401. END STRENGTHS FOR ACTIVE FORCES.
The Armed Forces are authorized strengths for active
duty personnel as of September 30, 2007, as follows:
(1) The Army, 512,400.
(2) The Navy, 340,700.
(3) The Marine Corps, 180,000.
(4) The Air Force, 334,200.
SEC. 402. REPEAL OF REQUIREMENT FOR PERMANENT END
STRENGTH LEVELS TO SUPPORT TWO MAJOR
REGIONAL CONTINGENCIES.
(a) REPEAL.—Section 691 of title 10, United States
Code, is repealed.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of chapter 39 of such title is amended by
striking the item relating to section 691.
Subtitle B—Reserve Forces
SEC. 411. END STRENGTHS FOR SELECTED RESERVE.
(a) IN GENERAL.—The Armed Forces are authorized
strengths for Selected Reserve personnel of the reserve com-
ponents as of September 30, 2007, as follows:
(1) The Army National Guard of the United
States, 350,000.
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(2) The Army Reserve, 200,000.
(3) The Navy Reserve, 71,300.
(4) The Marine Corps Reserve, 39,600.
(5) The Air National Guard of the United
States, 107,000.
(6) The Air Force Reserve, 74,900.
(7) The Coast Guard Reserve, 10,000.
(b) ADJUSTMENTS.—The end strengths prescribed by
subsection (a) for the Selected Reserve of any reserve compo-
nent shall be proportionately reduced by—
(1) the total authorized strength of units orga-
nized to serve as units of the Selected Reserve of such
component which are on active duty (other than for
training) at the end of the fiscal year; and
(2) the total number of individual members not
in units organized to serve as units of the Selected
Reserve of such component who are on active duty
(other than for training or for unsatisfactory partici-
pation in training) without their consent at the end
of the fiscal year.
Whenever such units or such individual members are re-
leased from active duty during any fiscal year, the end
strength prescribed for such fiscal year for the Selected Re-
serve of such reserve component shall be increased propor-