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OTHER PROCUREMENT, AIR FORCE
For procurement and modification of equipment (in-
cluding ground guidance and electronic control equipment,
and ground electronic and communication equipment),
and supplies, materials, and spare parts therefor, not oth-
erwise provided for; the purchase of not to exceed 385 pas-
senger motor vehicles for replacement only; and expansion
of public and private plants, Government-owned equip-
ment and installation thereof in such plants, erection of
structures, and acquisition of land, for the foregoing pur-
poses, and such lands and interests therein, may be ac-
quired, and construction prosecuted thereon, prior to ap-
proval of title; reserve plant and Government and contrac-
tor-owned equipment layaway; $6,508,425,000, to remain
available for obligation until September 30, 1998.
PROCUREMENT, DEFENSE-WIDE
For expenses of activities and agencies of the Depart-
ment of Defense (other than the military departments)
necessary for procurement, production, and modification
of equipment, supplies, materials, and spare parts there-
for, not otherwise provided for; the purchase of not to ex-
ceed 451 passenger motor vehicles, of which 447 shall be
for replacement only; expansion of public and private
plants, equipment, and installation thereof in such plants,
erection of structures, and acquisition of land for the fore-
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going purposes, and such lands and interests therein, may
be acquired, and construction prosecuted thereon prior to
approval of title; reserve plant and Government and con-
tractor-owned equipment layaway; $2,187,085,000, to re-
main available for obligation until September 30, 1998.
NATIONAL GUARD AND RESERVE EQUIPMENT
For procurement of aircraft, missiles, tracked combat
vehicles, ammunition, other weapons, and other procure-
ment for the reserve components of the Armed Forces;
$908,125,000, to remain available for obligation until Sep-
tember 30, 1998: Provided, That of the funds appro-
priated in this paragraph, $138,125,000 shall not be obli-
gated or expended until authorized by law.
TITLE IV
RESEARCH, DEVELOPMENT, TEST AND
EVALUATION
RESEARCH, DEVELOPMENT, TEST AND EVALUATION,
ARMY
For expenses necessary for basic and applied sci-
entific research, development, test and evaluation, includ-
ing maintenance, rehabilitation, lease, and operation of fa-
cilities 
and 
equipment, 
as 
authorized 
by 
law;
$4,742,150,000, to remain available for obligation until
September 30, 1997.
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RESEARCH, DEVELOPMENT, TEST AND EVALUATION,
NAVY
For expenses necessary for basic and applied sci-
entific research, development, test and evaluation, includ-
ing maintenance, rehabilitation, lease, and operation of fa-
cilities 
and 
equipment, 
as 
authorized 
by 
law;
$8,715,481,000, to remain available for obligation until
September 30, 1997: Provided, That none of the funds
appropriated in this paragraph may be obligated or ex-
pended to develop or purchase equipment for an Aegis de-
stroyer variant (commonly known as ‘‘Flight IIA’’) whose
initial operating capability is budgeted to be achieved prior
to the initial operating capability of the Ship Self-Defense
program, nor to develop sensor, processor, or display capa-
bilities which duplicate in any way those being developed
in the Ship Self-Defense program: Provided further, That
funds appropriated in this paragraph for development of
the LPD–17 ship may not be obligated unless the baseline
design of the ship includes cooperative engagement capa-
bility and sufficient own-ship self-defense capability
against advanced sea-skimming antiship cruise missiles in
the baseline design to achieve an estimated probability of
survival from attack by such missiles at a level no less
than any other Navy ship: Provided further, That funds
appropriated in this paragraph which are available for the
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V–22 may be used to meet unique requirements of the
Special Operations Forces: Provided further, That of the
funds appropriated in this paragraph, $189,972,000 shall
not be obligated or expended until authorized by law.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION,
AIR FORCE
For expenses necessary for basic and applied sci-
entific research, development, test and evaluation, includ-
ing maintenance, rehabilitation, lease, and operation of fa-
cilities 
and 
equipment, 
as 
authorized 
by 
law;
$13,110,335,000, to remain available for obligation until
September 30, 1997: Provided, That of the funds made
available in this paragraph, $50,000,000 shall be only for
development of reusable launch vehicle technologies.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION,
DEFENSE-WIDE
For expenses of activities and agencies of the Depart-
ment of Defense (other than the military departments),
necessary for basic and applied scientific research, devel-
opment, test and evaluation; advanced research projects
as may be designated and determined by the Secretary
of Defense, pursuant to law; maintenance, rehabilitation,
lease, and operation of facilities and equipment, as author-
ized by law; $9,029,666,000, to remain available for obli-
gation until September 30, 1997: Provided, That not less
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than $170,000,000 of the funds appropriated in this para-
graph shall be made available only for the Sea-Based Wide
Area Defense (Navy Upper-Tier) program.
DEVELOPMENTAL TEST AND EVALUATION, DEFENSE
For expenses, not otherwise provided for, of inde-
pendent activities of the Director, Test and Evaluation in
the direction and supervision of developmental test and
evaluation, including performance and joint developmental
testing and evaluation; and administrative expenses in
connection therewith; $259,341,000, to remain available
for obligation until September 30, 1997: Provided, That
of the funds appropriated in this paragraph, $20,000,000
shall not be obligated or expended until authorized by law.
OPERATIONAL TEST AND EVALUATION, DEFENSE
For expenses, not otherwise provided for, necessary
for the independent activities of the Director, Operational
Test and Evaluation in the direction and supervision of
operational test and evaluation, including initial oper-
ational test and evaluation which is conducted prior to,
and in support of, production decisions; joint operational
testing and evaluation; and administrative expenses in
connection therewith; $22,587,000, to remain available for
obligation until September 30, 1997.
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TITLE V
REVOLVING AND MANAGEMENT FUNDS
DEFENSE BUSINESS OPERATIONS FUND
For 
the 
Defense 
Business 
Operations 
Fund;
$1,573,800,000: 
Provided, 
That 
of 
this 
amount,
$695,100,000 shall be available only for the liquidation
of prior year accumulated operating losses of the Depart-
ment of the Navy: Provided further, That of the funds ap-
propriated in this paragraph, $695,100,000 shall not be
obligated or expended until authorized by law.
NATIONAL DEFENSE SEALIFT FUND
For National Defense Sealift Fund programs,
projects, and activities, and for expenses of the National
Defense Reserve Fleet, as established by section 11 of the
Merchant Ship Sales Act of 1946 (50 U.S.C. App 1744);
$974,220,000, to remain available until expended: Pro-
vided, That none of the funds provided in this paragraph
shall be used to award a new contract that provides for
the acquisition of any of the following major components
unless such components are manufactured in the United
States: auxiliary equipment, including pumps, for all ship-
board services; propulsion system components (that is; en-
gines, reduction gears, and propellers); shipboard cranes;
and spreaders for shipboard cranes: Provided further, That
the exercise of an option in a contract awarded through
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the obligation of previously appropriated funds shall not
be considered to be the award of a new contract: Provided
further, That the Secretary of the military department re-
sponsible for such procurement may waive this restriction
on a case-by-case basis by certifying in writing to the
Committees on Appropriations of the House of Represent-
atives and the Senate, that adequate domestic supplies are
not available to meet Department of Defense requirements
on a timely basis and that such an acquisition must be
made in order to acquire capability for national security
purposes.
TITLE VI
OTHER DEPARTMENT OF DEFENSE PROGRAMS
DEFENSE HEALTH PROGRAM
For expenses, not otherwise provided for, for medical
and health care programs of the Department of Defense,
as authorized by law; $10,205,158,000, of which
$9,917,125,000 shall be for Operation and maintenance,
of which $288,033,000, to remain available for obligation
until September 30, 1998, shall be for Procurement: Pro-
vided, That the Department shall continue to competi-
tively contract during fiscal year 1996 for mail service
pharmacy for at least two multi-state regions in addition
to the ongoing solicitations for Florida, South Carolina,
Georgia, Delaware, New Jersey, Pennsylvania, and Ha-
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waii, as well as each base closure area not supported by
an at-risk managed care plan; that such services shall be
procured independent of any other Department managed
care contracts; that one multi-state region shall include
the State of Kentucky and that one multi-state region
shall include the State of New Mexico: Provided, That of
the funds appropriated in this paragraph, $40,600,000
shall not be obligated or expended until authorized by law.
CHEMICAL AGENTS AND MUNITIONS DESTRUCTION,
DEFENSE
For expenses, not otherwise provided for, necessary
for the destruction of the United States stockpile of lethal
chemical agents and munitions in accordance with the pro-
visions of section 1412 of the Department of Defense Au-
thorization Act, 1986 (50 U.S.C. 1521), and for the de-
struction of other chemical warfare materials that are not
in the chemical weapon stockpile, $746,698,000, of which
$393,850,000 shall be for Operation and maintenance,
$299,448,000 shall be for Procurement to remain avail-
able until September 30, 1998, and $53,400,000 shall be
for Research, development, test and evaluation to remain
available until September 30, 1997.
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DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES,
DEFENSE
(INCLUDING TRANSFER OF FUNDS)
For drug interdiction and counter-drug activities of
the Department of Defense, for transfer to appropriations
available to the Department of Defense for military per-
sonnel of the reserve components serving under the provi-
sions of title 10 and title 32, United States Code; for Op-
eration and maintenance; for Procurement; and for Re-
search, development, test and evaluation; $688,432,000:
Provided, That the funds appropriated by this paragraph
shall be available for obligation for the same time period
and for the same purpose as the appropriation to which
transferred: Provided further, That the transfer authority
provided in this paragraph is in addition to any transfer
authority contained elsewhere in this Act: Provided fur-
ther, That of the funds appropriated in this paragraph,
$8,000,000 shall not be obligated or expended until au-
thorized by law.
OFFICE OF THE INSPECTOR GENERAL
For expenses and activities of the Office of the In-
spector General in carrying out the provisions of the In-
spector General Act of 1978, as amended; $178,226,000,
of which $177,226,000 shall be for Operation and mainte-
nance, of which not to exceed $400,000 is available for
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emergencies and extraordinary expenses to be expended on
the approval or authority of the Inspector General, and
payments may be made on his certificate of necessity for
confidential military purposes; and of which $1,000,000
to remain available until September 30, 1998, shall be for
Procurement.
TITLE VII
RELATED AGENCIES
CENTRAL INTELLIGENCE AGENCY RETIREMENT AND
DISABILITY SYSTEM FUND
For payment to the Central Intelligence Agency Re-
tirement and Disability System Fund, to maintain proper
funding level for continuing the operation of the Central
Intelligence Agency Retirement and Disability System;
$213,900,000.
NATIONAL SECURITY EDUCATION TRUST FUND
(RESCISSION)
Of the funds made available under this heading in
Public Law 102–172, Public Law 103–50, Public Law
103–139, and Public Law 103–335, $78,100,000 are re-
scinded: Provided, That the balance of funds in the Na-
tional Security Education Trust Fund (established pursu-
ant to section 804 of the David L. Boren National Secu-
rity Education Act of 1991 (50 U.S.C. 1904)), other than
such amount as is necessary for obligations made before
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the date of the enactment of this Act, is hereby reduced
to zero: Provided further, That no outlay may be made
from the Fund after the date of the enactment of this Act
other than to liquidate an obligation made before such
date and upon liquidation of all such obligations made be-
fore such date, the Fund shall be closed: Provided further,
That no obligation may be made from the Fund after the
date of the enactment of this Act.
INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT
For necessary expenses of the Intelligence Commu-
nity Management Account; $75,683,000.
TITLE VIII
GENERAL PROVISIONS
SEC. 8001. No part of any appropriation contained
in this Act shall be used for publicity or propaganda pur-
poses not authorized by the Congress.
SEC. 8002. During the current fiscal year, provisions
of law prohibiting the payment of compensation to, or em-
ployment of, any person not a citizen of the United States
shall not apply to personnel of the Department of Defense:
Provided, That salary increases granted to direct and indi-
rect hire foreign national employees of the Department of
Defense funded by this Act shall not be at a rate in excess
of the percentage increase authorized by law for civilian
employees of the Department of Defense whose pay is
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computed under the provisions of section 5332 of title 5,
United States Code, or at a rate in excess of the percent-
age increase provided by the appropriate host nation to
its own employees, whichever is higher: Provided further,
That this section shall not apply to Department of De-
fense foreign service national employees serving at United
States diplomatic missions whose pay is set by the Depart-
ment of State under the Foreign Service Act of 1980.
SEC. 8003. No part of any appropriation contained
in this Act shall remain available for obligation beyond
the current fiscal year, unless expressly so provided herein.
SEC. 8004. No more than 20 per centum of the ap-
propriations in this Act which are limited for obligation
during a single fiscal year shall be obligated during the
last two months of such fiscal year: Provided, That this
section shall not apply to obligations for support of active
duty training of reserve components or summer camp
training of the Reserve Officers’ Training Corps.
(TRANSFER OF FUNDS)
SEC. 8005. Upon determination by the Secretary of
Defense that such action is necessary in the national inter-
est, he may, with the approval of the Office of Manage-
ment and Budget, transfer not to exceed $2,000,000,000
of working capital funds of the Department of Defense
or funds made available in this Act to the Department
of Defense for military functions (except military con-
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struction) between such appropriations or funds or any
subdivision thereof, to be merged with and to be available
for the same purposes, and for the same time period, as
the appropriation or fund to which transferred: Provided,
That such authority to transfer may not be used unless
for higher priority items, based on unforeseen military re-
quirements, than those for which originally appropriated
and in no case where the item for which funds are re-
quested has been denied by Congress: Provided further,
That only for valid Ship Cost Adjustments related to the
Shipbuilding and Construction, Navy Appropriation such
authority to transfer may be used to transfer funds made
available in this or any previous Department of Defense
Appropriations Act subject to the same conditions re-
quired elsewhere in this paragraph: Provided further, That
the Secretary of Defense shall notify the Congress prompt-
ly of all transfers made pursuant to this authority or any
other authority in this Act.
(TRANSFER OF FUNDS)
SEC. 8006. During the current fiscal year, cash bal-
ances in working capital funds of the Department of De-
fense established pursuant to section 2208 of title 10,
United States Code, may be maintained in only such
amounts as are necessary at any time for cash disburse-
ments to be made from such funds: Provided, That trans-
fers may be made between such funds and the ‘‘Foreign
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Currency Fluctuations, Defense’’ and ‘‘Operation and
Maintenance’’ appropriation accounts in such amounts as
may be determined by the Secretary of Defense, with the
approval of the Office of Management and Budget, except
that such transfers may not be made unless the Secretary
of Defense has notified the Congress of the proposed
transfer. Except in amounts equal to the amounts appro-
priated to working capital funds in this Act, no obligations
may be made against a working capital fund to procure
or increase the value of war reserve material inventory,
unless the Secretary of Defense has notified the Congress
prior to any such obligation.
SEC. 8007. Using funds available by this Act or any
other Act, the Secretary of the Air Force, pursuant to a
determination under section 2690 of title 10, United
States Code, may implement cost-effective agreements for
required 
heating 
facility 
modernization 
in 
the
Kaiserslautern Military Community in the Federal Repub-
lic of Germany: Provided, That in the City of
Kaiserslautern such agreements will include the use of
United States anthracite as the base load energy for mu-
nicipal district heat to the United States Defense installa-
tions: Provided further, That at Landstuhl Army Regional
Medical Center and Ramstein Air Base, furnished heat
may be obtained from private, regional or municipal serv-
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ices, if provisions are included for the consideration of
United States coal as an energy source.
SEC. 8008. Funds appropriated by this Act may not
be used to initiate a special access program without prior
notification 30 calendar days in session in advance to the
congressional defense committees.
SEC. 8009. None of the funds contained in this Act
available for the Civilian Health and Medical Program of
the Uniformed Services shall be available for payments to
physicians and other non-institutional health care provid-
ers in excess of the amounts allowed in fiscal year 1995
for similar services, except that: (a) for services for which
the Secretary of Defense determines an increase is justi-
fied by economic circumstances, the allowable amounts
may be increased in accordance with appropriate economic
index data similar to that used pursuant to title XVIII
of the Social Security Act; and (b) for services the Sec-
retary determines are overpriced based on allowable pay-
ments under title XVIII of the Social Security Act, the
allowable amounts shall be reduced by not more than 15
percent (except that the reduction may be waived if the
Secretary determines that it would impair adequate access
to health care services for beneficiaries). The Secretary
shall solicit public comment prior to promulgating regula-
tions to implement this section. Such regulations shall in-
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clude a limitation, similar to that used under title XVIII
of the Social Security Act, on the extent to which a pro-
vider may bill a beneficiary an actual charge in excess of
the allowable amount.
SEC. 8010. None of the funds provided in this Act
shall be available to initiate (1) a multiyear contract that
employs economic order quantity procurement in excess of
$20,000,000 in any one year of the contract or that in-
cludes an unfunded contingent liability in excess of
$20,000,000, or (2) a contract for advance procurement
leading to a multiyear contract that employs economic
order quantity procurement in excess of $20,000,000 in
any one year, unless the congressional defense committees
have been notified at least thirty days in advance of the
proposed contract award: Provided, That no part of any
appropriation contained in this Act shall be available to
initiate a multiyear contract for which the economic order
quantity advance procurement is not funded at least to
the limits of the Government’s liability: Provided further,
That no part of any appropriation contained in this Act
shall be available to initiate multiyear procurement con-
tracts for any systems or component thereof if the value
of the multiyear contract would exceed $500,000,000 un-
less specifically provided in this Act: Provided further,
That no multiyear procurement contract can be termi-
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nated without 10-day prior notification to the congres-
sional defense committees: Provided further, That the exe-
cution of multiyear authority shall require the use of a
present value analysis to determine lowest cost compared
to an annual procurement.
Funds appropriated in title III of this Act may be
used for multiyear procurement contracts as follows:
E–2C aircraft;
AV–8B aircraft remanufacture;
T–45 aircraft.
SEC. 8011. Within the funds appropriated for the op-
eration and maintenance of the Armed Forces, funds are
hereby appropriated pursuant to section 401 of title 10,
United States Code, for humanitarian and civic assistance
costs under chapter 20 of title 10, United States Code.
Such funds may also be obligated for humanitarian and
civic assistance costs incidental to authorized operations
and pursuant to authority granted in section 401 of chap-
ter 20 of title 10, United States Code, and these obliga-
tions shall be reported to Congress on September 30 of
each year: Provided, That funds available for operation
and maintenance shall be available for providing humani-
tarian and similar assistance by using Civic Action Teams
in the Trust Territories of the Pacific Islands and freely
associated states of Micronesia, pursuant to the Compact
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of Free Association as authorized by Public Law 99–
239.
SEC. 8012. (a) During fiscal year 1996, the civilian
personnel of the Department of Defense may not be man-
aged on the basis of any end-strength, and the manage-
ment of such personnel during that fiscal year shall not
be subject to any constraint or limitation (known as an
end-strength) on the number of such personnel who may
be employed on the last day of such fiscal year.
(b) The fiscal year 1997 budget request for the De-
partment of Defense as well as all justification material
and other documentation supporting the fiscal year 1997
Department of Defense budget request shall be prepared
and submitted to the Congress as if subsections (a) and
(b) of this provision were effective with regard to fiscal
year 1997.
(c) Nothing in this section shall be construed to apply
to military (civilian) technicians.
SEC. 8013. Notwithstanding any other provision of
law, none of the funds made available by this Act shall
be used by the Department of Defense to exceed, outside
the fifty United States, its territories, and the District of
Columbia, 125,000 civilian workyears: Provided, That
workyears shall be applied as defined in the Federal Per-
sonnel Manual: Provided further, That workyears ex-
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pended in dependent student hiring programs for dis-
advantaged youths shall not be included in this workyear
limitation.
SEC. 8014. None of the funds made available by this
Act shall be used in any way, directly or indirectly, to in-
fluence congressional action on any legislation or appro-
priation matters pending before the Congress.
SEC. 8015. None of the funds appropriated for the
Department of Defense during the current fiscal year and
hereafter shall be obligated for the pay of any individual
who is initially employed after the date of enactment of
this Act as a technician in the administration and training
of the Army Reserve and the maintenance and repair of
supplies issued to the Army Reserve unless such individual
is also a military member of the Army Reserve troop pro-
gram unit that he or she is employed to support. Those
technicians employed by the Army Reserve in areas other
than Army Reserve troop program units need only be
members of the Selected Reserve.
SEC. 8016. Notwithstanding any other provision of
law, during the current fiscal year and hereafter the Sec-
retaries of the Army and Air Force may authorize the re-
tention in an active status until age sixty of any person
who would otherwise be removed from an active status and
who is employed as a National Guard or Reserve techni-
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cian in a position in which active status in a reserve com-
ponent of the Army or Air Force is required as a condition
of that employment.
SEC. 8017. (a) None of the funds appropriated by
this Act shall be used to make contributions to the Depart-
ment of Defense Education Benefits Fund pursuant to
section 2006(g) of title 10, United States Code, represent-
ing the normal cost for future benefits under section
1415(c) of title 38, United States Code, for any member
of the armed services who, on or after the date of enact-
ment of this Act—
(1) enlists in the armed services for a period of
active duty of less than three years; or
(2) receives an enlistment bonus under section
308a or 308f of title 37, United States Code,
nor shall any amounts representing the normal cost of
such future benefits be transferred from the Fund by the
Secretary of the Treasury to the Secretary of Veterans
Affairs pursuant to section 2006(d) of title 10, United
States Code; nor shall the Secretary of Veterans Affairs
pay such benefits to any such member: Provided, That,
in the case of a member covered by clause (1), these limi-
tations shall not apply to members in combat arms skills
or to members who enlist in the armed services on or after
July 1, 1989, under a program continued or established
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by the Secretary of Defense in fiscal year 1991 to test
the cost-effective use of special recruiting incentives in-
volving not more than nineteen noncombat arms skills ap-
proved in advance by the Secretary of Defense: Provided
further, That this subsection applies only to active compo-
nents of the Army.
(b) None of the funds appropriated by this Act shall
be available for the basic pay and allowances of any mem-
ber of the Army participating as a full-time student and
receiving benefits paid by the Secretary of Veterans Af-
fairs from the Department of Defense Education Benefits
Fund when time spent as a full-time student is credited
toward completion of a service commitment: Provided,
That this subsection shall not apply to those members who
have reenlisted with this option prior to October 1, 1987:
Provided further, That this subsection applies only to ac-
tive components of the Army.
SEC. 8018. Funds appropriated for the Department
of Defense during the current fiscal year and hereafter
shall be available for the payment of not more than 75
percent of the charges of a postsecondary educational in-
stitution for the tuition or expenses of an officer in the
Ready Reserve of the Army National Guard or Army Re-
serve for education or training during his off-duty periods,
except that no part of the charges may be paid unless the
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officer agrees to remain a member of the Ready Reserve
for at least four years after completion of such training
or education.
SEC. 8019. None of the funds appropriated by this
Act shall be available to convert to contractor performance
an activity or function of the Department of Defense that,
on or after the date of enactment of this Act, is performed
by more than ten Department of Defense civilian employ-
ees until a most efficient and cost-effective organization
analysis is completed on such activity or function and cer-
tification of the analysis is made to the Committees on
Appropriations of the House of Representatives and the
Senate: Provided, That this section shall not apply to a
commercial or industrial type function of the Department
of Defense that: (1) is included on the procurement list
established pursuant to section 2 of the Act of June 25,
1938 (41 U.S.C. 47), popularly referred to as the Javits-
Wagner-O’Day Act; (2) is planned to be converted to per-
formance by a qualified nonprofit agency for the blind or
by a qualified nonprofit agency for other severely handi-
capped individuals in accordance with that Act; or (3) is
planned to be converted to performance by a qualified firm
under 51 percent Native American ownership.
(TRANSFER OF FUNDS)
SEC. 8020. Funds appropriated in title III of this Act
for the Department of Defense Pilot Mentor-Protege Pro-
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gram may be transferred to any other appropriation con-
tained in this Act solely for the purpose of implementing
a Mentor-Protege Program developmental assistance
agreement pursuant to section 831 of the National De-
fense Authorization Act for Fiscal Year 1991 (Public Law
101–510; 10 U.S.C. 2301 note), as amended, under the
authority of this provision or any other transfer authority
contained in this Act.
SEC. 8021. For the purposes of the Balanced Budget
and Emergency Deficit Control Act of 1985 (Public Law
99–177) as amended by the Balanced Budget and Emer-
gency Deficit Control Reaffirmation Act of 1987 (Public
Law 100–119) and by the Budget Enforcement Act of
1990 (Public Law 101–508), the term program, project,
and activity for appropriations contained in this Act shall
be defined as the most specific level of budget items identi-
fied in the Department of Defense Appropriations Act,
1996, the accompanying House and Senate Committee re-
ports, the conference report and accompanying joint ex-
planatory statement of the managers of the Committee of
Conference, the related classified annexes and reports, and
the P–1 and R–1 budget justification documents as subse-
quently modified by Congressional action: Provided, That
the following exception to the above definition shall apply:
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For the Military Personnel and the Operation and
Maintenance accounts, the term ‘‘program, project, and
activity’’ is defined as the appropriations accounts con-
tained in the Department of Defense Appropriations Act:
Provided further, That at the time the President submits
his budget for fiscal year 1997, the Department of De-
fense shall transmit to the congressional defense commit-
tees budget justification document to be known as the ‘‘O–
1’’ which shall identify, at the budget activity, activity
group, and subactivity group level, the amounts requested
by the President to be appropriated to the Department
of Defense for operation and maintenance in any budget
request, or amended budget request, for fiscal year 1997.
SEC. 8022. Of the funds appropriated to the Army,
$147,900,000 shall be available only for the Reserve Com-
ponent Automation System (RCAS): Provided, That none
of these funds can be expended—
(1) except as approved by the Chief of the Na-
tional Guard Bureau;
(2) unless RCAS resource management func-
tions are performed by the National Guard Bureau;
(3) to pay the salary of an RCAS program
manager who has not been selected and approved by
the Chief of the National Guard Bureau and char-
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tered by the Chief of the National Guard Bureau
and the Secretary of the Army;
(4) unless the Program Manager (PM) charter
makes the PM accountable to the Chief of the Na-
tional Guard Bureau and fully defines his authority,
responsibility, reporting channels and organizational
structure;
(5) to pay the salaries of individuals assigned to
the RCAS program management office unless such
organization is comprised of personnel chosen jointly
by the Chiefs of the National Guard Bureau and the
Army Reserve;
(6) to pay contracted costs for the acquisition
of RCAS unless RCAS is an integrated system con-
sisting of software, hardware, and communications
equipment and unless such contract continues to
preclude the use of Government furnished equip-
ment, operating systems, and executive applications
software; and
(7) unless RCAS performs its own classified in-
formation processing:
Provided further, That notwithstanding any other provi-
sion of law, none of the funds appropriated shall be avail-
able for procurement of computers for the Army Reserve
Component which are used to network or expand the capa-
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bilities of existing or future information systems or dupli-
cate functions to be provided under the RCAS contract
unless the procurement meets the following criteria: (A)
at sites scheduled to receive RCAS equipment prior to
September 30, 1995, RCAS ADP equipment may be pro-
cured and only in the numbers and types allocated by the
RCAS program to each site; and at sites scheduled to re-
ceive RCAS equipment after September 30, 1995, RCAS
ADP equipment or ADP equipment from a list of RCAS
compatible equipment approved by the Chief of the Na-
tional Guard Bureau or his designee, may be procured and
only in the numbers and types allocated by the RCAS pro-
gram to each site; (B) the requesting organizational ele-
ment has insufficient ADP equipment to perform adminis-
trative functions but not to exceed the number of work
stations determined by the RCAS program for that site;
(C) replacement equipment will not exceed the minimum
required to maintain the reliability of existing capabilities;
(D) replacement will be justified on the basis of cost and
feasibility of repairs and maintenance of present ADP
equipment as compared to the cost of replacement; and
(E) the procurement under this policy must be approved
by the Chief of the National Guard Bureau or his des-
ignee, provided that the procurement is a one for one re-
placement action of existing equipment.
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SEC. 8023. None of the funds in this Act may be
available for the purchase by the Department of Defense
(and its departments and agencies) of welded shipboard
anchor and mooring chain 4 inches in diameter and under
unless the anchor and mooring chain are manufactured
in the United States from components which are substan-
tially manufactured in the United States: Provided, That
for the purpose of this section manufactured will include
cutting, heat treating, quality control, testing of chain and
welding (including the forging and shot blasting process):
Provided further, That for the purpose of this section sub-
stantially all of the components of anchor and mooring
chain shall be considered to be produced or manufactured
in the United States if the aggregate cost of the compo-
nents produced or manufactured in the United States ex-
ceeds the aggregate cost of the components produced or
manufactured outside the United States: Provided further,
That when adequate domestic supplies are not available
to meet Department of Defense requirements on a timely
basis, the Secretary of the service responsible for the pro-
curement may waive this restriction on a case-by-case
basis by certifying in writing to the Committees on Appro-
priations that such an acquisition must be made in order
to acquire capability for national security purposes.
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(TRANSFER OF FUNDS)
SEC. 8024. Notwithstanding any other provision of
law, the Department of Defense may transfer prior year,
unobligated balances and funds appropriated in this Act
to the operation and maintenance appropriations for the
purpose of providing military technician and Department
of Defense medical personnel pay and medical programs
(including CHAMPUS) the same exemption from seques-
tration set forth in the Balanced Budget and Emergency
Deficit Control Act of 1985 (Public Law 99–177) as
amended by the Balanced Budget and Emergency Deficit
Control Reaffirmation Act of 1987 (Public Law 100–119)
and by the Budget Enforcement Act of 1990 (Public Law
101–508) as that granted the other military personnel ac-
counts: Provided, That any transfer made pursuant to any
use of the authority provided by this provision shall be
limited so that the amounts reprogrammed to the oper-
ation and maintenance appropriations do not exceed the
amounts sequestered under the Balanced Budget and
Emergency Deficit Control Act of 1985 (Public Law 99–
177) as amended by the Balanced Budget and Emergency
Deficit Control Reaffirmation Act of 1987 (Public Law
100–119) and by the Budget Enforcement Act of 1990
(Public Law 101–508): Provided further, That the author-
ity to make transfers pursuant to this section is in addi-
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tion to the authority to make transfers under other provi-
sions of this Act: Provided further, That the Secretary of
Defense may proceed with such transfer after notifying
the Appropriations Committees of the House of Rep-
resentatives and the Senate twenty calendar days in ses-
sion before any such transfer of funds under this provi-
sion.
SEC. 8025. None of the funds appropriated by this
Act available for the Civilian Health and Medical Program
of the Uniformed Services (CHAMPUS) shall be available
for the reimbursement of any health care provider for in-
patient mental health service for care received when a pa-
tient is referred to a provider of inpatient mental health
care or residential treatment care by a medical or health
care professional having an economic interest in the facil-
ity to which the patient is referred: Provided, That this
limitation does not apply in the case of inpatient mental
health services provided under the program for the handi-
capped under subsection (d) of section 1079 of title 10,
United States Code, provided as partial hospital care, or
provided pursuant to a waiver authorized by the Secretary
of Defense because of medical or psychological cir-
cumstances of the patient that are confirmed by a health
professional who is not a Federal employee after a review,
pursuant to rules prescribed by the Secretary, which takes
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into account the appropriate level of care for the patient,
the intensity of services required by the patient, and the
availability of that care.
SEC. 8026. Funds available in this Act may be used
to provide transportation for the next-of-kin of individuals
who have been prisoners of war or missing in action from
the Vietnam era to an annual meeting in the United
States, under such regulations as the Secretary of Defense
may prescribe.
SEC. 8027. Notwithstanding any other provision of
law, during the current fiscal year, the Secretary of De-
fense may, by Executive Agreement, establish with host
nation governments in NATO member states a separate
account into which such residual value amounts negotiated
in the return of United States military installations in
NATO member states may be deposited, in the currency
of the host nation, in lieu of direct monetary transfers to
the United States Treasury: Provided, That such credits
may be utilized only for the construction of facilities to
support United States military forces in that host nation,
or such real property maintenance and base operating
costs that are currently executed through monetary trans-
fers to such host nations: Provided further, That the De-
partment of Defense’s budget submission for fiscal year
1997 shall identify such sums anticipated in residual value
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settlements, and identify such construction, real property
maintenance or base operating costs that shall be funded
by the host nation through such credits: Provided further,
That all military construction projects to be executed from
such accounts must be previously approved in a prior Act
of Congress: Provided further, That each such Executive
Agreement with a NATO member host nation shall be re-
ported to the congressional defense committees thirty days
prior to the conclusion and endorsement of any such
agreement established under this provision.
SEC. 8028. None of the funds available to the De-
partment of Defense in this Act shall be used to demili-
tarize or dispose of more than 310,784 unserviceable M1
Garand rifles and M1 Carbines.
SEC. 8029. Notwithstanding any other provision of
law, none of the funds appropriated by this Act shall be
available to pay more than 50 percent of an amount paid
to any person under section 308 of title 37, United States
Code, in a lump sum.
SEC. 8030. None of the funds appropriated by this
Act may be used by the Department of Defense to assign
a supervisor’s title or grade when the number of people
he or she supervises is considered as a basis for this deter-
mination: Provided, That savings that result from this
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provision are represented as such in future budget propos-
als.
SEC. 8031. None of the funds appropriated by this
Act shall be available for payments under the Department
of Defense contract with the Louisiana State University
Medical Center involving the use of cats for Brain Missile
Wound Research, and the Department of Defense shall
not make payments under such contract from funds obli-
gated prior to the date of the enactment of this Act, except
as necessary for costs incurred by the contractor prior to
the enactment of this Act: Provided, That funds necessary
for the care of animals covered by this contract are al-
lowed.
SEC. 8032. None of the funds provided in this Act
or any other Act shall be available to conduct bone trauma
research at any Army Research Laboratory until the Sec-
retary of the Army certifies that the synthetic compound
to be used in the experiments is of such a type that its
use will result in a significant medical finding, the re-
search has military application, the research will be con-
ducted in accordance with the standards set by an animal
care and use committee, and the research does not dupli-
cate research already conducted by a manufacturer or any
other research organization.
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SEC. 8033. No more than $50,000 of the funds ap-
propriated or made available in this Act shall be used for
any single relocation of an organization, unit, activity or
function of the Department of Defense into or within the
National Capital Region: Provided, That the Secretary of
Defense may waive this restriction on a case-by-case basis
by certifying in writing to the Committees on Appropria-
tions of the House of Representatives and Senate that
such a relocation is required in the best interest of the
Government.
SEC. 8034. During the current fiscal year, funds ap-
propriated or otherwise available for any Federal agency,
the Congress, the judicial branch, or the District of Co-
lumbia may be used for the pay, allowances, and benefits
of an employee as defined by section 2105 of title 5 or
an individual employed by the government of the District
of Columbia, permanent or temporary indefinite, who—
(1) is a member of a Reserve component of the
Armed Forces, as described in section 261 of title
10, or the National Guard, as described in section
101 of title 32;
(2) performs, for the purpose of providing mili-
tary aid to enforce the law or providing assistance
to civil authorities in the protection or saving of life
or property or prevention of injury—
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(A) Federal service under section 331,
332, 333, 3500, or 8500 of title 10, or other
provision of law, as applicable, or
(B) full-time military service for his State,
the District of Columbia, the Commonwealth of
Puerto Rico, or a territory of the United States;
and
(3) requests and is granted—
(A) leave under the authority of this sec-
tion; or
(B) annual leave, which may be granted
without regard to the provisions of sections
5519 and 6323(b) of title 5, if such employee
is otherwise entitled to such annual leave:
Provided, That any employee who requests leave under
subsection (3)(A) for service described in subsection (2)
of this section is entitled to such leave, subject to the pro-
visions of this section and of the last sentence of section
6323(b) of title 5, and such leave shall be considered leave
under section 6323(b) of title 5.
SEC. 8035. None of the funds appropriated by this
Act shall be available to perform any cost study pursuant
to the provisions of OMB Circular A–76 if the study being
performed exceeds a period of twenty-four months after
initiation of such study with respect to a single function
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activity or forty-eight months after initiation of such study
for a multi-function activity.
SEC. 8036. Funds appropriated by this Act for the
American Forces Information Service shall not be used for
any national or international political or psychological ac-
tivities.
SEC. 8037. Notwithstanding any other provision of
law or regulation, the Secretary of Defense may adjust
wage rates for civilian employees hired for certain health
care occupations as authorized for the Secretary of Veter-
ans Affairs by section 7455 of title 38, United States
Code.
SEC. 8038. None of the funds appropriated or made
available in this Act shall be used to reduce or disestablish
the operation of the 53rd Weather Reconnaissance Squad-
ron of the Air Force Reserve, if such action would reduce
the WC–130 Weather Reconnaissance mission below the
levels funded in this Act.
SEC. 8039. (a) Of the funds for the procurement of
supplies or services appropriated by this Act, qualified
nonprofit agencies for the blind or other severely handi-
capped shall be afforded the maximum practicable oppor-
tunity to participate as subcontractors and suppliers in the
performance of contracts let by the Department of De-
fense.
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(b) During the current fiscal year, a business concern
which has negotiated with a military service or defense
agency a subcontracting plan for the participation by
small business concerns pursuant to section 8(d) of the
Small Business Act (15 U.S.C. 637(d)) shall be given
credit toward meeting that subcontracting goal for any
purchases made from qualified nonprofit agencies for the
blind or other severely handicapped.
(c) For the purpose of this section, the phrase ‘‘quali-
fied nonprofit agency for the blind or other severely handi-
capped’’ means a nonprofit agency for the blind or other
severely handicapped that has been approved by the Com-
mittee for the Purchase from the Blind and Other Severely
Handicapped under the Javits-Wagner-O’Day Act (41
U.S.C. 46–48).
SEC. 8040. During the current fiscal year, net re-
ceipts pursuant to collections from third party payers pur-
suant to section 1095 of title 10, United States Code, shall
be made available to the local facility of the uniformed
services responsible for the collections and shall be over
and above the facility’s direct budget amount.
SEC. 8041. During the current fiscal year, the De-
partment of Defense is authorized to incur obligations of
not to exceed $350,000,000 for purposes specified in sec-
tion 2350j(c) of title 10, United States Code, in anticipa-
HR 2126 RH
tion of receipt of contributions, only from the Government
of Kuwait, under that section: Provided, That, upon re-
ceipt, such contributions from the Government of Kuwait
shall be credited to the appropriation or fund which in-
curred such obligations.
SEC. 8042. (a) Funds appropriated in this Act to fi-
nance activities of Department of Defense (DoD) Feder-
ally 
Funded 
Research 
and 
Development 
Centers
(FFRDCs) may not be obligated or expended for a
FFRDC if a member of its Board of Directors or Trustees
simultaneously serves on the Board of Directors or Trust-
ees of a profit-making company under contract to the De-
partment of Defense unless the FFRDC has a DoD ap-
proved conflict of interest policy for its members.
(b) LIMITATION ON COMPENSATION.—No employee
or executive officer of a defense FFRDC may be com-
pensated at a rate exceeding Executive Schedule Level I
by that FFRDC.
(c) LIMITATION ON COMPENSATION.—No member of
a Board of Directors, Trustees, Overseers, Advisory
Group, Special Issues Panel, Visiting Committee, or any
similar entity of a defense FFRDC may be compensated
for his or her services as a member of such entity except
under the same conditions, and to the same extent, as
members of the Defense Science Board: Provided, That
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a member of any such entity shall be allowed travel ex-
penses and per diem as authorized under the Federal
Joint Travel Regulations, when engaged in the perform-
ance of membership duties.
(d) Notwithstanding any other provision of law, of
the amounts available to the Department of Defense dur-
ing fiscal year 1996, not more than $1,252,650,000 may
be obligated for financing activities of defense FFRDCs:
Provided, That in addition to any other reductions re-
quired by this section, the total amounts appropriated in
titles II, III, and IV of this Act to finance activities carried
out by defense FFRDCs and other entities providing con-
sulting services, studies and analyses, systems engineering
and technical assistance, and technical engineering and
management support are hereby reduced by $90,097,000.
SEC. 8043. None of the funds appropriated or made
available in this Act shall be used to procure carbon, alloy
or armor steel plate for use in any Government-owned fa-
cility or property under the control of the Department of
Defense which were not melted and rolled in the United
States or Canada: Provided, That these procurement re-
strictions shall apply to any and all Federal Supply Class
9515, American Society of Testing and Materials (ASTM)
or American Iron and Steel Institute (AISI) specifications
of carbon, alloy or armor steel plate: Provided further,
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That the Secretary of the military department responsible
for the procurement may waive this restriction on a case-
by-case basis by certifying in writing to the Committees
on Appropriations of the House of Representatives and the
Senate that adequate domestic supplies are not available
to meet Department of Defense requirements on a timely
basis and that such an acquisition must be made in order
to acquire capability for national security purposes: Pro-
vided further, That these restrictions shall not apply to
contracts which are in being as of the date of enactment
of this Act.
SEC. 8044. None of the unobligated balances avail-
able in the National Defense Stockpile Transaction Fund
during the current fiscal year may be obligated or ex-
pended to finance any grant or contract to conduct re-
search, development, test and evaluation activities for the
development or production of advanced materials, unless
amounts for such purposes are specifically appropriated
in a subsequent appropriations Act.
SEC. 8045. For the purposes of this Act, the term
‘‘congressional defense committees’’ means the Commit-
tees on Appropriations of the Senate and the House of
Representatives, the subcommittee on National Security of
the Committee on Appropriations and the Committee on
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National Security of the House of Representatives, and
the Committee on Armed Services of the Senate.
SEC. 8046. Notwithstanding any other provision of
law, during the current fiscal year, the Department of De-
fense may acquire the modification, depot maintenance
and repair of aircraft, vehicles and vessels as well as the
production of components and other Defense-related arti-
cles, through competition between Department of Defense
depot maintenance activities and private firms: Provided,
That the Senior Acquisition Executive of the military de-
partment or defense agency concerned, with power of dele-
gation, shall certify that successful bids include com-
parable estimates of all direct and indirect costs for both
public and private bids: Provided further, That Office of
Management and Budget Circular A–76 shall not apply
to competitions conducted under this section.
SEC. 8047. (a)(1) If the Secretary of Defense, after
consultation with the United States Trade Representative,
determines that a foreign country which is party to an
agreement described in paragraph (2) has violated the
terms of the agreement by discriminating against certain
types of products produced in the United States that are
covered by the agreement, the Secretary of Defense shall
rescind the Secretary’s blanket waiver of the Buy Amer-
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ican Act with respect to such types of products produced
in that foreign country.
(2) An agreement referred to in paragraph (1) is any
reciprocal defense procurement memorandum of under-
standing, between the United States and a foreign country
pursuant to which the Secretary of Defense has prospec-
tively waived the Buy American Act for certain products
in that country.
(b) The Secretary of Defense shall submit to Con-
gress a report on the amount of Department of Defense
purchases from foreign entities in fiscal year 1996. Such
report shall separately indicate the dollar value of items
for which the Buy American Act was waived pursuant to
any agreement described in subsection (a)(2), the Trade
Agreement Act of 1979 (19 U.S.C. 2501 et seq.), or any
international agreement to which the United States is a
party.
(c) For purposes of this section, the term ‘‘Buy
American Act’’ means title III of the Act entitled ‘‘An Act
making appropriations for the Treasury and Post Office
Departments for the fiscal year ending June 30, 1934,
and for other purposes’’, approved March 3, 1933 (41
U.S.C. 10a et seq.).
SEC. 8048. Notwithstanding any other provision of
law, the Secretary of Defense may, when he considers it
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in the best interest of the United States, cancel any part
of an indebtedness, up to $2,500, that is or was owed to
the United States by a member or former member of a
uniformed service if such indebtedness, as determined by
the Secretary, was incurred in connection with Operation
Desert Shield/Storm: Provided, That the amount of an in-
debtedness previously paid by a member or former mem-
ber and cancelled under this section shall be refunded to
the member.
SEC. 8049. Appropriations contained in this Act that
remain available at the end of the current fiscal year as
a result of energy cost savings realized by the Department
of Defense shall remain available for obligation for the
next fiscal year to the extent, and for the purposes, pro-
vided in section 2865 of title 10, United States Code.
SEC. 8050. During the current fiscal year and there-
after, voluntary separation incentives payable under 10
U.S.C. 1175 may be paid in such amounts as are nec-
essary from the assets of the Voluntary Separation Incen-
tive Fund established by section 1175(h)(1).
(INCLUDING TRANSFER OF FUNDS)
SEC. 8051. Amounts deposited during the current fis-
cal year to the special account established under 40 U.S.C.
485(h)(2) and to the special account established under 10
U.S.C. 2667(d)(1) are appropriated and shall be available
until transferred by the Secretary of Defense to current
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applicable appropriations or funds of the Department of
Defense under the terms and conditions specified by 40
U.S.C. 
485(h)(2) 
(A) 
and 
(B) 
and 
U.S.C.
2667(d)(1)(B), to be merged with and to be available for
the same time period and the same purposes as the appro-
priation to which transferred.
SEC. 8052. During the current fiscal year, appropria-
tions available to the Department of Defense may be used
to reimburse a member of a reserve component of the
Armed Forces who is not otherwise entitled to travel and
transportation allowances and who occupies transient gov-
ernment housing while performing active duty for training
or inactive duty training: Provided, That such members
may be provided lodging in kind if transient government
quarters are unavailable as if the member was entitled to
such allowances under subsection (a) of section 404 of title
37, United States Code: Provided further, That if lodging
in kind is provided, any authorized service charge or cost
of such lodging may be paid directly from funds appro-
priated for operation and maintenance of the reserve com-
ponent of the member concerned.
SEC. 8053. None of the funds available in this Act
may be used to support in any manner, including travel
or other related expenses, the ‘‘Tailhook Association’’.
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SEC. 8054. The President shall include with each
budget for a fiscal year submitted to the Congress under
section 1105 of title 31, United States Code, materials
that shall identify clearly and separately the amounts re-
quested in the budget for appropriation for that fiscal year
for salaries and expenses related to administrative activi-
ties of the Department of Defense, the military
departments, and the Defense Agencies.
SEC. 8055. During the current fiscal year, amounts
contained in the Department of Defense Overseas Military
Facility Investment Recovery Account established by sec-
tion 2921(c)(1) of the National Defense Authorization Act
of 1991 (Public Law 101–510; 10 U.S.C. 2687 note) shall
be available until expended for the payments specified by
section 2921(c)(2) of that Act.
SEC. 8056. During the current fiscal year and there-
after, annual payments granted under the provisions of
section 4416 of the National Defense Authorization Act
for Fiscal Year 1993 (Public Law 102–428; 106 Stat.
2714) shall be made from appropriations which are avail-
able for the pay of reserve component personnel.
SEC. 8057. Of the funds appropriated or otherwise
made available by this Act, not more than $119,200,000
shall be available for payment of the operating costs of
NATO Headquarters.
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SEC. 8058. During the current fiscal year, appropria-
tions which are available to the Department of Defense
for operation and maintenance may be used to purchase
items having an investment item unit cost of not more
than $50,000.
SEC. 8059. During the current fiscal year and there-
after, appropriations available for the pay and allowances
of active duty members of the Armed Forces shall be avail-
able to pay the retired pay which is payable pursuant to
section 4403 of Public Law 102–484 (10 U.S.C. 1293
note) under the terms and conditions provided in section
4403.
SEC. 8060. (a) During the current fiscal year, none
of the appropriations or funds available to the Defense
Business Operations Fund shall be used for the purchase
of an investment item for the purpose of acquiring a new
inventory item for sale or anticipated sale during the cur-
rent fiscal year or a subsequent fiscal year to customers
of the Defense Business Operations Fund if such an item
would not have been chargeable to the Defense Business
Operations Fund during fiscal year 1994 and if the pur-
chase of such an investment item would be chargeable dur-
ing the current fiscal year to appropriations made to the
Department of Defense for procurement.
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(b) The fiscal year 1997 budget request for the De-
partment of Defense as well as all justification material
and other documentation supporting the fiscal year 1997
Department of Defense budget shall be prepared and sub-
mitted to the Congress on the basis that any equipment
which was classified as an end item and funded in a pro-
curement appropriation contained in this Act shall be
budgeted for in a proposed fiscal year 1997 procurement
appropriation and not in the supply management business
area or any other area or category of the Defense Business
Operations Fund.
SEC. 8061. None of the funds provided in this Act
shall be available for use by a Military Department to
modify an aircraft, weapon, ship or other item of equip-
ment, that the Military Department concerned plans to
retire or otherwise dispose of within five years after com-
pletion of the modification: Provided, That this prohibition
shall not apply to safety modifications: Provided further,
That this prohibition may be waived by the Secretary of
a Military Department if the Secretary determines it is
in the best national security interest of the United States
to provide such waiver and so notifies the congressional
defense committees in writing.
SEC. 8062. No part of the funds in this Act shall
be available to prepare or present a request to the Com-
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mittees on Appropriations for reprogramming of funds,
unless for higher priority items, based on unforeseen mili-
tary requirements, than those for which originally appro-
priated and in no case where the item for which
reprogramming is requested has been denied by the Con-
gress.
SEC. 8063. None of the funds appropriated by this
Act shall be available for payment of the compensation
of personnel assigned to or serving in the National For-
eign Intelligence Program in excess of 92 percent of such
personnel actually assigned to or serving in the National
Foreign Intelligence Program on September 30, 1992:
Provided, That in making any reduction in the number
of such personnel that may be required pursuant to this
section, the percentage of reductions to Senior Intelligence
Service positions shall be equal to or exceed the percentage
of reductions to non-Senior Intelligence Service positions:
Provided further, That in making any reduction in the
number of such personnel that may be required pursuant
to this section, the percentage of reductions to positions
in the National Capital Region shall be equal to or exceed
the percentage of reductions to positions outside of the
National Capital Region.
SEC. 8064. None of the funds provided by this Act
may be used to pay the salaries of any person or persons
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who authorize the transfer of obligated and deobligated
appropriations into the Reserve for Contingencies of the
Central Intelligence Agency.
SEC. 8065. None of the funds appropriated by this
Act for programs of the Central Intelligence Agency shall
remain available for obligation beyond the current fiscal
year, except for funds appropriated for the Reserve for
Contingencies, which shall remain available until Septem-
ber 30, 1997.
SEC. 8066. The classified Annex prepared by the
Committee on Appropriations to accompany the report on
the Department of Defense Appropriations Act, 1996 is
hereby incorporated into this Act: Provided, That the
amounts specified in the classified Annex are not in addi-
tion to amounts appropriated by other provisions of this
Act: Provided further, That the President shall provide for
appropriate distribution of the classified Annex, or of ap-
propriate portions of the classified Annex, within the exec-
utive branch of the Government.
SEC. 8067. Notwithstanding any other provision of
law, funds made available in this Act for the Defense In-
telligence Agency may be used for the design, develop-
ment, and deployment of General Defense Intelligence
Program intelligence communications and intelligence in-
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formation systems for the Services, the Unified and Speci-
fied Commands, and the component commands.
SEC. 8068. Notwithstanding any other provision of
law, funds appropriated in this Act for the High Perform-
ance Computing Modernization Program shall be made
available only for the acquisition and sustainment of oper-
ations, including maintenance of the supercomputing and
related networking capability at (1) the DOD Science and
Technology sites under the cognizance of the DDR&E, (2)
the DOD Test and Evaluation centers under the Director,
Test and Evaluation, OUSD (A&T), and (3) the Ballistic
Missile Defense Organization: Provided, That the con-
tracts, contract modifications, or contract options are
awarded competitively solely upon the requirements of the
users.
SEC. 8069. Amounts collected for the use of the fa-
cilities of the National Science Center for Communications
and Electronics during the current fiscal year pursuant
to section 1459(g) of the Department of Defense Author-
ization Act, 1986 and deposited to the special account es-
tablished under subsection 1459(g)(2) of that Act are ap-
propriated and shall be available until expended for the
operation and maintenance of the Center as provided for
in subsection 1459(g)(2).
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SEC. 8070. None of the funds appropriated in this
Act may be used to fill the commander’s position at any
military medical facility with a health care professional
unless the prospective candidate can demonstrate profes-
sional administrative skills.
SEC. 8071. (a) None of the funds appropriated in this
Act may be expended by an entity of the Department of
Defense unless the entity, in expending the funds, com-
plies with the Buy American Act. For purposes of this
subsection, the term ‘‘Buy American Act’’ means title III
of the Act entitled ‘‘An Act making appropriations for the
Treasury and Post Office Departments for the fiscal year
ending June 30, 1934, and for other purposes’’, approved
March 3, 1933 (41 U.S.C. 10a et seq.).
(b) If the Secretary of Defense determines that a per-
son has been convicted of intentionally affixing a label
bearing a ‘‘Made in America’’ inscription to any product
sold in or shipped to the United States that is not made
in America, the Secretary shall determine, in accordance
with section 2410f of title 10, United States Code, wheth-
er the person should be debarred from contracting with
the Department of Defense.
SEC. 8072. None of the funds appropriated by this
Act shall be available for a contract for studies, analyses,
or consulting services entered into without competition on
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the basis of an unsolicited proposal unless the head of the
activity responsible for the procurement determines—
(1) as a result of thorough technical evaluation,
only one source is found fully qualified to perform
the proposed work, or
(2) the purpose of the contract is to explore an
unsolicited proposal which offers significant sci-
entific or technological promise, represents the prod-
uct of original thinking, and was submitted in con-
fidence by one source, or
(3) the purpose of the contract is to take ad-
vantage of unique and significant industrial accom-
plishment by a specific concern, or to insure that a
new product or idea of a specific concern is given fi-
nancial support:
Provided, That this limitation shall not apply to contracts
in an amount of less than $25,000, contracts related to
improvements of equipment that is in development or pro-
duction, or contracts as to which a civilian official of the
Department of Defense, who has been confirmed by the
Senate, determines that the award of such contract is in
the interest of the national defense.
SEC. 8073. Funds appropriated by this Act for intel-
ligence activities are deemed to be specifically authorized
by the Congress for purposes of section 504 of the Na-
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tional Security Act of 1947 (50 U.S.C. 414) during fiscal
year 1996 until the enactment of the Intelligence Author-
ization Act for fiscal year 1996.
SEC. 8074. (a) None of the funds made available by
this Act may be obligated for design, development, acquisi-
tion, or operation of more than 47 Titan IV expendable
launch vehicles, or for satellite mission-model planning for
a Titan IV requirement beyond 47 vehicles.
(b) $115,226,000 made available in this Act for Re-
search, Development, Test and Evaluation, Air Force,
may only be obligated for development of a new family
of medium-lift and heavy-lift expendable launch vehicles
evolved from existing technologies.
SEC. 8075. No funds available to the Department of
Defense in this Act may be used to establish additional
field operating agencies of any element of the Department
during fiscal year 1996, except for field operating agencies
funded within the National Foreign Intelligence Program.
SEC. 8076. Notwithstanding any other provision of
law, for resident classes entering the war colleges after
September 30, 1996, the Department of Defense shall re-
quire that not less than 20 percent of the total of United
States military students at each war college shall be from
military departments other than the hosting military de-
partment: Provided, That each military department will
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recognize the attendance at a sister military department
war college as the equivalent of attendance at its own war
college for promotion and advancement of personnel.
SEC. 8077. None of the funds provided in this Act
may be obligated for payment on new contracts on which
allowable costs charged to the government include pay-
ments for individual compensation at a rate in excess of
$250,000 per year.
SEC. 8078. None of the funds available in this Act
may be used to reduce the authorized positions for mili-
tary (civilian) technicians of the Army National Guard,
the Air National Guard, Army Reserve and Air Force Re-
serve for the purpose of applying any administratively im-
posed civilian personnel ceiling, freeze, or reduction on
military (civilian) technicians, unless such reductions are
a direct result of a reduction in military force structure.
SEC. 8079. During the current fiscal year, funds ap-
propriated in this Act are available to compensate mem-
bers of the National Guard for duty performed pursuant
to a plan submitted by a Governor of a State and approved
by the Secretary of Defense under section 112 of title 32,
United States Code: Provided, That during the perform-
ance of such duty, the members of the National Guard
shall be under State command and control: Provided fur-
ther, That such duty shall be treated as full-time National
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Guard duty for purposes of sections 12602 (a)(2) and
(b)(2) of title 10, United States Code.
SEC. 8080. Funds appropriated in this Act for oper-
ation and maintenance of the Military Departments, Uni-
fied and Specified Commands and Defense Agencies shall
be available for reimbursement of pay, allowances and
other expenses which would otherwise be incurred against
appropriations for the National Guard and Reserve when
members of the National Guard and Reserve provide intel-
ligence support to Unified Commands, Defense Agencies
and Joint Intelligence Activities, including the activities
and programs included within the General Defense Intel-
ligence Program and the Consolidated Cryptologic Pro-
gram: Provided, That nothing in this section authorizes
deviation from established Reserve and National Guard
personnel and training procedures.
SEC. 8081. (a) No project for the construction of any
facility, or improvement to any facility, having an esti-
mated Federal cost in excess of $750,000, may be under-
taken in any fiscal year unless specifically identified as
a separate item in the President’s annual fiscal year budg-
et request or otherwise specifically authorized and appro-
priated if such facility or improvement would be used pri-
marily by personnel of the intelligence community.
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(b) As used in this section, the term ‘‘intelligence
community’’ has the same meaning given that term in sec-
tion 3(4) of the National Security Act of 1947 (50 U.S.C.
401a(4)).
SEC. 8082. The Secretary of Defense, from within
funds provided in this Act, may obligate not to exceed
$75,000 to fulfill Department of Defense obligations
under the Educational Loan Repayment Programs for
State-sponsored student loan programs not covered under
title IV, part B or E of the Higher Education Act of 1965
(title 20 U.S.C. 1071–1087).
SEC. 8083. All refunds or other amounts collected in
the administration of the Civilian Health and Medical Pro-
gram of the Uniformed Services (CHAMPUS) shall be
credited to current year appropriations.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8084. None of the funds appropriated in this
Act may be transferred to or obligated from the Pentagon
Reservation Maintenance Revolving Fund, unless the Sec-
retary of Defense certifies that the total cost for the plan-
ning design, construction and installation of equipment for
the renovation of the Pentagon Reservation will not exceed
$1,218,000,000.
SEC. 8085. (a) None of the funds available to the
Department of Defense for any fiscal year for drug inter-
diction or counter-drug activities may be transferred to
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any other department or agency of the United States ex-
cept as specifically provided in an appropriations law.
(b) None of the funds available to the Central Intel-
ligence Agency for any fiscal year for drug interdiction
and counter-drug activities may be transferred to any
other department or agency of the United States except
as specifically provided in an appropriations law.
(TRANSFER OF FUNDS)
SEC. 8086. Appropriations available in this Act under
the heading ‘‘Operation and Maintenance, Defense-Wide’’
for increasing energy and water efficiency in Federal
buildings may, during their period of availability, be trans-
ferred to other appropriations or funds of the Department
of Defense for projects related to increasing energy and
water efficiency, to be merged with and to be available
for the same general purposes, and for the same time pe-
riod, as the appropriation or fund to which transferred.
SEC. 8087. Funds in the amount of $61,300,000 re-
ceived during fiscal year 1996 by the Department of the
Air Force pursuant to the ‘‘Memorandum of Agreement
between the National Aeronautics and Space Administra-
tion and the United States Air Force on Titan IV/Centaur
Launch Support for the Cassini Mission,’’ signed Septem-
ber 8, 1994, and September 23, 1994, and Attachments
A, B and C to the Memorandum, shall be merged with
appropriations available for research, development, test
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and evaluation and procurement for fiscal year 1996, and
shall be available for the same time period as the appro-
priation with which merged, and shall be available for obli-
gation only for those Titan IV vehicles and Titan IV-relat-
ed activities under contract as of the date of enactment
of this Act, as well as on the follow-on launch services and
program sustaining support contract to be awarded in fis-
cal year 1996.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8088. In addition to amounts appropriated or
otherwise made available by this Act, $44,000,000 is here-
by appropriated to the Department of Defense and shall
be available only for transfer to the United States Coast
Guard for activities relating to national security.
SEC. 8089. The total amount appropriated in title II,
III, and IV of this Act is hereby reduced by $30,000,000
for savings through improved management of contractor
automatic data processing costs charged through indirect
rates on Department of Defense acquisition contracts.
SEC. 8090. (a) None of the funds appropriated in
title III of this Act may be obligated by the Department
of Defense for acquisition or advance procurement of any
system or end item using incremental funding.
(b) For purposes of this section, the term ‘‘incremen-
tal funding’’ has the meaning provided in paragraph (3)
of section 114(f) of title 10, United States Code, as added
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by section 1007 of H.R. 1530 of the One Hundred Fourth
Congress (the National Defense Authorization Act for Fis-
cal Year 1996), as passed by the House of Representatives
on June 15, 1995.
(c) This section does not apply to an obligation that
is classified as an advance procurement for a system or
end item that is to be procured on a full funding basis.
SEC. 8091. None of the funds in this Act may be
used to purchase any supercomputer which is not manu-
factured in the United States, unless the Secretary of De-
fense certifies to the congressional defense committees
that such an acquisition must be made in order to acquire
capability for national security purposes that is not avail-
able from United States manufacturers.
SEC. 8092. None of the funds appropriated in this
Act to the Department of the Army may be obligated for
procurement of 120mm mortars or 120mm mortar ammu-
nition manufactured outside of the United States.
SEC. 8093. The Department of Defense shall release
all funds appropriated and available for the HAVE GAZE
program to the Department of the Air Force for obligation
under existing contractual arrangements.
SEC. 8094. Notwithstanding any other provision of
law, (a) funds available to the Navy in the Operation and
Maintenance appropriation for refueling overhauls and
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defueling inactivations of nuclear-powered warships are
available to transport the shipments of naval spent nuclear
fuel to the Idaho National Engineering Laboratory needed
for examination and storage to avoid threats to the na-
tional security; and (b) the Secretary of the Navy is hereby
authorized to immediately commence and accomplish such
transportation: Provided, That the Secretary of Defense
shall make the determination as to what shipments are
required for that purpose and shall ensure that the ship-
ments are made in accordance with the practices and re-
quirements applied to previous container shipments of
naval spent fuel to the Idaho National Engineering Lab-
oratory: Provided further, That the authority in this sec-
tion shall expire on September 30, 1996 or upon the vaca-
tion or stay of the current or any subsequent injunction
issued by the United States District Court for the District
of Idaho which enjoins such shipments, whichever occurs
first: Provided further, That the authority in this section
may not be used unless the Secretary of Defense certifies
in writing to the congressional defense committees that a
good-faith agreement between the State of Idaho and the
United States Government was attempted but could not
be reached concerning interim shipments of spent nuclear
fuel enjoined by any such injunction based on national se-
curity reasons.
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SEC. 8095. None of the funds appropriated by this
Act shall be available to lease or charter a vessel on a
long-term basis used to transport fuel or oil for the De-
partment of Defense in those instances where the leases
involve the construction of new ships unless the Secretary
of Defense requires that the vessel be constructed in the
United States with a double hull under the long term lease
or charter authority provided in section 2401 note of title
10, United States Code: Provided, That this limitation
shall not apply to contracts in force on the date of enact-
ment of this Act: Provided further, That by 1997 at least
20 percent of annual leases and charters must be for ships
of new construction: Provided further, That the Military
Sealift Command shall plan to achieve the goal of elimi-
nating single hull ship leases by the year 2015.
SEC. 8096. None of the funds appropriated or made
available in this Act to the Department of the Navy shall
be used to develop or procure main propulsion engines for
the LPD–17 class of ships unless such equipment is pow-
ered by a diesel engine manufactured in the United States
by a domestically operated entity: Provided, That the Sec-
retary of Defense may waive this restriction on a case-
by-case basis by certifying in writing to the Committees
on Appropriations of the House of Representatives and the
Senate that adequate domestic supplies are not available
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to meet Department of Defense requirements on a timely
basis and that such an acquisition must be made in order
to acquire capability for national security purposes or
there exists a significant cost or quality difference.
SEC. 8097. None of the funds appropriated or made
available in this Act to the Department of the Navy shall
be used to develop or procure an emergency generator set
for the New Attack Submarine unless such equipment is
powered by a diesel engine manufactured in the United
States by a domestically operated entity: Provided, That
the Secretary of Defense may waive this restriction on a
case-by-case basis by certifying in writing to the Commit-
tees on Appropriations of the House of Representatives
and the Senate that adequate domestic supplies are not
available to meet Department of Defense requirements on
a timely basis and that such an acquisition must be made
in order to acquire capability for national security pur-
poses or there exists a significant cost or quality dif-
ference.
SEC. 8098. The Army shall use George Air Force
Base as the interim airhead for the National Training
Center at Fort Irwin until Barstow-Daggett reaches Ini-
tial Operational Capability as the permanent airhead: Pro-
vided, That within funds appropriated for ‘‘Operation and
Maintenance, Army’’ in this Act, not less than $2,000,000
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shall be available only to operate the National Training
Center’s rotational airhead at the now closed George Air
Force Base: Provided further, That the Secretary of the
Army shall provide the congressional defense committees
with a report assessing the Army’s compliance with the
terms of this provision not later than March 31, 1996:
Provided further, That not later than April 30, 1996, the
Department of the Army shall complete planning and de-
sign of the Barstow-Daggett airfield as the permanent
airhead in support of training rotations at the National
Training Center.
(TRANSFER OF FUNDS)
SEC. 8099. During the current fiscal year, the Sec-
retary of Defense may carry out transfers of funds of not
to exceed $200,000,000, as provided in section 127a(c) of
title 10, United States Code, as amended by section 1003
of the National Defense Authorization Act for Fiscal Year
1996 (H.R. 1530): Provided, That the transfer authority
provided in this paragraph is in addition to any transfer
authority contained elsewhere in this Act.
SEC. 8100. The sum of $77,500,000 appropriated in
title I and the sum of $564,300,000 appropriated in title
II for additional incremental costs associated with the op-
erations of the Department of Defense designated, as of
June 1, 1995, as Operation Southern Watch and Oper-
ation Provide Comfort—
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SEC. 8102. (a) LIMITATION ON PARTICIPATION IN
CERTAIN OPERATIONS.—None of the funds available to
the Department of Defense for the current fiscal year shall
be obligated or expended for costs incurred by United
States Armed Forces units serving in an operation de-
scribed in subsection (b) unless the President engages in
consultations with the bipartisan leadership of Congress
and the congressional committees named in subsection (e)
regarding such operation in accordance with subsection
(c)(1).
(b) COVERED OPERATIONS.—(1) This section applies
to the following:
(A) Any international peacekeeping or peace-en-
forcement operation that is not underway as of the
date of the enactment of this Act and that is author-
ized by the Security Council of the United Nations
under chapter VI or VII of the Charter of the Unit-
ed Nations.
(B) Any other international peacekeeping or
peace-enforcement operation that is not underway as
of the date of the enactment of this Act.
(C) Any deployment after the date of the enact-
ment of this Act of United States ground forces in
the territory of the former Yugoslavia above the level
of such forces so deployed as of such date of enact-
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(A) The goals of the operation and the mission
of any United States Armed Forces units involved in
the operation.
(B) The United States interests that will be
served by the operation.
(C) The estimated cost of the operation.
(D) The strategy by which the President pro-
poses to fund the operation, including possible sup-
plemental appropriations or payments from inter-
national organizations, foreign countries, or other
donors.
(E) The extent of involvement of armed forces
and other contributions of personnel from other na-
tions.
(F) The anticipated duration and scope of the
operation.
(3) Such consultations shall continue on a periodic
basis throughout the period of the deployment.
(d) REQUESTS
FOR EMERGENCY SUPPLEMENTAL
APPROPRIATIONS.—Whenever there is a deployment of
United States Armed Forces to perform an international
humanitarian, peacekeeping, or peace-enforcement oper-
ation, the President should seek emergency supplemental
appropriations to meet the incremental costs to the De-
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partment of Defense of that deployment not later than 90
days after the date on which such deployment commences.
(e) COMMITTEES TO BE INCLUDED IN CONSULTA-
TIONS.—The committees referred to in subsection (a) are
the following:
(1) The congressional defense committees.
(2) The Committee on Foreign Relations of the
Senate and the Committee on International Rela-
tions of the House of Representatives.
(3) The Select Committee on Intelligence of the
Senate and the Permanent Select Committee on In-
telligence of the House of Representatives.
SEC. 8103. (a) LIMITATION ON TRANSFER OF DE-
FENSE ARTICLES AND SERVICES.—Notwithstanding any
other provision of law, none of the funds available to the
Department of Defense for the current fiscal year may be
obligated or expended to transfer to another nation or an
international organization any defense articles or services
(other than intelligence services) for use in the activities
described in subsection (b) unless the congressional de-
fense committees are notified 15 days in advance of such
transfer.
(b) COVERED ACTIVITIES.—(1) This section applies
to—
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(A) any international peacekeeping or peace-en-
forcement operation under the authority of chapter
VI or chapter VII of the United Nations Charter
under the authority of a United Nations Security
Council resolution; and
(B) any other international peacekeeping,
peace-enforcement, humanitarian, or disaster relief
operation.
(c) REQUIRED NOTICE.—A notice under subsection
(a) shall include the following:
(1) A description of the equipment, supplies, or
services to be transferred.
(2) A statement of the value of the equipment,
supplies, or services to be transferred.
(3) In the case of a proposed transfer of equip-
ment or supplies—
(A) a statement of whether the inventory
requirements of all elements of the Armed
Forces (including the reserve components) for
the type of equipment or supplies to be trans-
ferred have been met; and
(B) a statement of whether the items pro-
posed to be transferred will have to be replaced
and, if so, how the President proposes to pro-
vide funds for such replacement.
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SEC. 8104. None of the funds available to the De-
partment of Defense shall be obligated or expended for
the purposes of deploying United States Armed Forces to
participate in the implementation of a negotiated peace
settlement in Bosnia-Herzegovina, unless such deployment
is previously authorized by law.
SEC. 8105. Except as expressly authorized by law or
provided for specifically in an Act making appropriations
for the Department of Defense, none of the funds available
to the Department of Defense after December 1, 1995,
for the current fiscal year or any fiscal year hereafter shall
be available to support or otherwise provide funds for any
program or activity (other than an intelligence program
or activity) for which another Federal department or agen-
cy has primary responsibility or which is a type of pro-
gram or activity for which funds are customarily provided
in appropriations available to another Federal department
or agency. The limitation in the preceding sentence does
not apply with respect to funds made available to another
department or agency in accordance with section 1535 of
title 31, United States Code.
SEC. 8106. None of the funds available to the De-
partment of Defense shall be obligated or expended to
make a financial contribution to the United Nations for
the cost of an United Nations peacekeeping activity
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(whether pursuant to assessment or a voluntary contribu-
tion) or for payment of any United States arrearage to
the United Nations.
‘‘This Act may be cited as the Department of Defense
Appropriations Act, 1996’’.
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