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Sec. 3152. Requirement for plan to modify employment system used by Depart-
ment of Energy in defense environmental management pro-
grams.
Sec. 3153. Report on stockpile stewardship criteria.
TITLE XXXII—DEFENSE NUCLEAR FACILITIES SAFETY
BOARD
Sec. 3201. Authorization.
TITLE XXXIII—NATIONAL DEFENSE STOCKPILE
Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
TITLE XXXIV—NAVAL PETROLEUM RESERVES
Sec. 3401. Definitions.
Sec. 3402. Authorization of appropriations.
Sec. 3403. Price requirement on sale of certain petroleum during fiscal year
1999.
Sec. 3404. Disposal of Naval Petroleum Reserve Numbered 2.
Sec. 3405. Disposal of Naval Petroleum Reserve Numbered 3.
Sec. 3406. Disposal of Oil Shale Reserve Numbered 2.
Sec. 3407. Administration.
Sec. 3408. Treatment of State of California claim regarding Naval Petroleum
Reserve Numbered 1.
TITLE XXXV—PANAMA CANAL COMMISSION
Sec. 3501. Short title; references to Panama Canal Act of 1979.
Sec. 3502. Authorization of expenditures.
Sec. 3503. Purchase of vehicles.
Sec. 3504. Expenditures only in accordance with treaties.
Sec. 3505. Donations to the Commission.
Sec. 3506. Sunset of United States overseas benefits just before transfer.
Sec. 3507. Central Examining Office.
Sec. 3508. Liability for vessel accidents.
Sec. 3509. Panama Canal Board of Contract Appeals.
Sec. 3510. Technical amendments.
TITLE XXXVI—MARITIME ADMINISTRATION
Sec. 3601. Authorization of appropriations for fiscal year 1999.
Sec. 3602. Conveyance of NDRF vessel M/V BAYAMON.
Sec. 3603. Conveyance of NDRF vessels BENJAMIN ISHERWOOD and
HENRY ECKFORD.
Sec. 3604. Clearinghouse for maritime information.
Sec. 3605. Conveyance of NDRF vessel ex-USS LORAIN COUNTY.
SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.
For purposes of this Act, the term ‘‘congressional de-
fense committees’’ means—
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(1) the Committee on Armed Services and the
Committee on Appropriations of the Senate; and
(2) the Committee on National Security and the
Committee on Appropriations of the House of Rep-
resentatives.
DIVISION A—DEPARTMENT OF
DEFENSE AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of
Appropriations
SEC. 101. ARMY.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for procurement for the Army as follows:
(1) For aircraft, $1,420,759,000.
(2) For missiles, $1,232,285,000.
(3) For weapons and tracked combat vehicles,
$1,507,638,000.
(4) For ammunition, $1,053,455,000.
(5) For other procurement, $3,136,918,000.
SEC. 102. NAVY AND MARINE CORPS.
(a) NAVY.—Funds are hereby authorized to be appro-
priated for fiscal year 1999 for procurement for the Navy
as follows:
(1) For aircraft, $7,420,847,000.
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(2) For weapons, including missiles and tor-
pedoes, $1,192,195,000.
(3) 
For 
shipbuilding 
and 
conversion,
$5,992,361,000.
(4) For other procurement, $3,969,507,000.
(b) MARINE CORPS.—Funds are hereby authorized to
be appropriated for fiscal year 1999 for procurement for
the Marine Corps in the amount of $691,868,000.
(c) NAVY AND MARINE CORPS AMMUNITION.—Funds
are hereby authorized to be appropriated for procurement
of ammunition for the Navy and the Marine Corps in the
amount of $451,968,000.
SEC. 103. AIR FORCE.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for procurement for the Air Force as fol-
lows:
(1) For aircraft, $8,219,077,000.
(2) For missiles, $2,234,668,000.
(3) For ammunition, $383,627,000.
(4) For other procurement, $7,046,372,000.
SEC. 104. DEFENSE-WIDE ACTIVITIES.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for Defense-wide procurement in the
amount of $1,962,866,000.
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SEC. 105. RESERVE COMPONENTS.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for procurement of aircraft, vehicles, com-
munications equipment, and other equipment for the re-
serve components of the Armed Forces as follows:
(1) 
For 
the 
Army 
National 
Guard,
$50,000,000.
(2) For the Air National Guard, $50,000,000.
(3) For the Army Reserve, $50,000,000.
(4) For the Naval Reserve, $50,000,000.
(5) For the Air Force Reserve, $50,000,000.
(6) 
For 
the 
Marine 
Corps 
Reserve,
$50,000,000.
SEC. 106. DEFENSE INSPECTOR GENERAL.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for procurement for the Inspector General
of the Department of Defense in the amount of
$1,300,000.
SEC. 107. CHEMICAL DEMILITARIZATION PROGRAM.
There is hereby authorized to be appropriated for fis-
cal year 1999 the amount of $834,000,000 for—
(1) the destruction of lethal chemical agents
and munitions in accordance with section 1412 of
the Department of Defense Authorization Act, 1986
(50 U.S.C. 1521); and
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(2) the destruction of chemical warfare materiel
of the United States that is not covered by section
1412 of such Act.
SEC. 108. DEFENSE HEALTH PROGRAMS.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for the Department of Defense for pro-
curement for carrying out health care programs, projects,
and activities of the Department of Defense in the total
amount of $402,387,000.
SEC. 109. DEFENSE EXPORT LOAN GUARANTEE PROGRAM.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for the Department of Defense for carry-
ing out the Defense Export Loan Guarantee Program
under section 2540 of title 10, United States Code, in the
total amount of $1,250,000.
Subtitle B—Army Programs
SEC. 111. MULTIYEAR PROCUREMENT AUTHORITY FOR
LONGBOW HELLFIRE MISSILE PROGRAM.
Beginning with the fiscal year 1999 program year,
the Secretary of the Army may, in accordance with section
2306b of title 10, United States Code, enter into a
multiyear procurement contract for procurement of the
AGM–114 Longbow Hellfire missile.
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Authorization Act for Fiscal Year 1996 (Public Law 104–
106; 110 Stat. 214; 50 U.S.C. 1521(f)(2)).
(b) POST-DEMONSTRATION ACTIVITIES.—(1) The
program manager for the Assembled Chemical Weapons
Assessment program may carry out those activities nec-
essary to ensure that an alternative technology for the de-
struction of lethal chemical munitions may be imple-
mented immediately after—
(A) the technology has been demonstrated to be
successful;
(B) the Under Secretary of Defense for Acqui-
sition and Technology has submitted to Congress a
report on the demonstration; and
(C) a decision has been made to proceed with
the pilot-scale facility phase for an alternative tech-
nology.
(2) To prepare for the immediate implementation of
any such technology, the program manager may, during
fiscal years 1998 and 1999, take the following actions:
(A) Establish program requirements.
(B) Prepare procurement documentation.
(C) Develop environmental documentation.
(D) Identify and prepare to meet public out-
reach and public participation requirements.
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(E) Prepare to award a contract for the design,
construction, and operation of a pilot facility for the
technology to the provider team for the technology
not later than December, 1999.
(c) PLAN FOR PILOT PROGRAM.—If the Secretary of
Defense proceeds with a pilot program under section
152(f) of the National Defense Authorization Act for Fis-
cal Year 1996 (Public Law 104–106; 110 Stat. 214; 50
U.S.C. 1521(f)), the Secretary shall prepare a plan for
the pilot program and shall submit to Congress a report
on such plan (including information on the cost of, and
schedule for, implementing the pilot program).
(d) FUNDING.—Of the amount authorized to be ap-
propriated in section 107, $12,600,000 shall be available
for the Assembled Chemical Weapons Assessment pro-
gram for the following:
(1) Demonstration of alternative technologies
under the Assembled Chemical Weapons Assessment
program.
(2) Planning and preparation to proceed imme-
diately from demonstration of an alternative tech-
nology to the development of a pilot-scale facility for
the technology, including planning and preparation
for—
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(A) continued development of the tech-
nology leading to deployment of the technology;
(B) satisfaction of requirements for envi-
ronmental permits;
(C) demonstration, testing, and evaluation;
(D) initiation of actions to design a pilot
program;
(E) provision of support at the field office
or depot level for deployment of the technology;
and
(F) educational outreach to the public to
engender support for the development.
(3) An independent cost and schedule evalua-
tion of the Assembled Chemical Weapons Assembled
program, to be completed not later than December
30, 1999.
(e) ASSEMBLED CHEMICAL WEAPONS ASSESSMENT
PROGRAM DEFINED.—In this section, the term ‘‘Assem-
bled Chemical Weapons Assessment program’’ means the
program established in section 152(e) of the National De-
fense Authorization Act for Fiscal Year 1996 (Public Law
104–106; 110 Stat. 214; 50 U.S.C. 1521), and section
8065 of the Department of Defense Appropriations Act,
1997 (as contained in section 101 of Public Law 104–
208; 110 Stat. 3009–101), for identifying and dem-
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onstrating alternatives to the baseline incineration process
for the demilitarization of assembled chemical munitions.
TITLE II—RESEARCH, DEVELOP-
MENT, TEST, AND EVALUA-
TION
Subtitle A—Authorization of
Appropriations
SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for the use of the Department of Defense
for research, development, test, and evaluation as follows:
(1) For the Army, $4,791,997,000.
(2) For the Navy, $8,377,059,000.
(3) For the Air Force, $13,785,401,000.
(4) 
For 
Defense-wide 
activities,
$9,283,515,000, of which—
(A) $251,106,000 is authorized for the ac-
tivities of the Director, Test and Evaluation;
and
(B) $29,245,000 is authorized for the Di-
rector of Operational Test and Evaluation.
SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.
(a) FISCAL YEAR 1999.—Of the amounts authorized
to be appropriated by section 201, $4,208,978,000 shall
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be available for basic research and applied research
projects.
(b) BASIC RESEARCH AND APPLIED RESEARCH DE-
FINED.—For purposes of this section, the term ‘‘basic re-
search and applied research’’ means work funded in pro-
gram elements for defense research and development
under Department of Defense category 6.1 or 6.2.
Subtitle 
B—Program 
Require-
ments, Restrictions, and Limita-
tions
SEC. 211. MANAGEMENT RESPONSIBILITY FOR NAVY MINE
COUNTERMEASURES PROGRAMS.
Section 216(a) of the National Defense Authorization
Act for Fiscal Years 1992 and 1993 (Public Law 102–
190; 105 Stat. 1317, as amended) is amended by striking
out ‘‘through 1999’’ and inserting in lieu thereof ‘‘through
2003’’.
SEC. 212. FUTURE AIRCRAFT CARRIER TRANSITION TECH-
NOLOGIES.
Of the funds authorized to be appropriated under sec-
tion 201(2) for Carrier System Development (program ele-
ment 0603512N), $50,000,000 shall be available for re-
search, development, test, evaluation, and insertion into
the CVN–77 nuclear aircraft carrier program of tech-
nologies designed to transition to, demonstrate enhanced
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capabilities for, or mitigate cost and technical risks of, the
CV(X) aircraft carrier program.
SEC. 213. MANUFACTURING TECHNOLOGY PROGRAM.
(a) REQUIREMENTS RELATING TO COMPETITION.—
Section 2525(d)(1) of title 10, United States Code, is
amended—
(1) by inserting ‘‘(A)’’ after ‘‘(1)’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(B) For each grant awarded and each contract, co-
operative agreement, or other transaction entered into on
a cost-share basis under the program, the ratio of contract
recipient cost to Government cost shall be determined by
competitive procedures. For a project for which the Gov-
ernment receives an offer from only one offeror, the con-
tracting officer shall negotiate the ratio of contract recipi-
ent cost to Government cost that represents the best value
to the Government.’’.
(b) REQUIREMENTS RELATING
TO COST SHARE
WAIVERS.—Section 2525(d)(2) of such title is amended—
(1) by redesignating subparagraphs (A), (B),
and (C) as clauses (i), (ii), and (iii), respectively;
(2) by inserting ‘‘(A)’’ after ‘‘(2)’’; and
(3) by adding at the end the following new sub-
paragraphs:
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shall establish annual objectives to meet such
goal.’’.
(d) ADDITIONAL INFORMATION TO BE INCLUDED IN
FIVE-YEAR PLAN.—Section 2525(e)(1) of such title is
amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (A);
(2) by striking the period at the end of sub-
paragraph (B) and inserting ‘‘; and’’; and
(3) by inserting at the end the following new
subparagraph:
‘‘(C) the extent of cost sharing in the manufac-
turing technology program by companies in the pri-
vate sector, weapons system program offices and
other defense program offices, Federal agencies
other than the Department of Defense, nonprofit in-
stitutions and universities, and other sources.’’.
SEC. 214. SCIENCE AND TECHNOLOGY FUNCTIONS OF THE
DEPARTMENT OF DEFENSE.
(a) SENSE OF THE CONGRESS.—It is the sense of the
Congress that—
(1) to ensure sufficient financial resources are
devoted to emerging technologies, a goal of at least
10 percent of funds available under title II for each
of the Army, Navy, and Air Force should be dedi-
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cated to science and technology in each military de-
partment;
(2) management and funding for science and
technology for each military department should re-
ceive a level of priority and leadership attention
equal to the level received by program acquisition,
and the Secretary of each military department
should ensure that a senior member of the depart-
ment holds the appropriate title and responsibility to
ensure effective oversight and emphasis on science
and technology;
(3) to ensure an appropriate long-term focus
for investments, a sufficient percentage of science
and technology funds should be directed toward new
technology areas, and annual reviews should be con-
ducted for ongoing research areas to ensure that
those funded initiatives are either integrated into ac-
quisition programs or discontinued;
(4) the military departments should take appro-
priate steps to ensure that sufficient numbers of of-
ficers and civilian employees in each department
hold advanced degrees in technical fields; and
(5) of particular concern, the Secretary of the
Air Force should take appropriate measures to en-
sure that sufficient numbers of scientists and engi-
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neers are maintained to address the technological
challenges faced in the areas of air, space, and infor-
mation technology.
(b) STUDY.—
(1) REQUIREMENT.—The Secretary of Defense,
in cooperation with the National Research Council of
the National Academy of Sciences, shall conduct a
study on the technology base of the Department of
Defense.
(2) MATTERS COVERED.—The study shall—
(A) recommend the minimum requirements
to maintain a technology base that is sufficient,
based on both historical developments and fu-
ture projections, to project superiority in air
and space weapons systems, and information
technology;
(B) address the effects on national defense
and civilian aerospace industries and informa-
tion technology by reducing funding below the
goal described in paragraph (1) of subsection
(a); and
(C) recommend the appropriate level of
staff holding baccalaureate, masters, and doc-
torate degrees, and the optimal ratio of civilian
and military staff holding such degrees, to en-
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sure that science and technology functions of
the Department of Defense remain vital.
(3) REPORT.—Not later than 120 days after
the date on which the study required under para-
graph (1) is completed, the Secretary shall submit to
Congress a report on the results of the study.
SEC. 215. NEXT GENERATION INTERNET PROGRAM.
(a) FUNDING.—Of the funds authorized to be appro-
priated under section 201(4), $53,000,000 shall be avail-
able for the Next Generation Internet program.
(b) LIMITATION.—Notwithstanding the enactment of
any other provision of law after the date of the enactment
of this Act, amounts may be appropriated for fiscal year
1999 for research, development, test, and evaluation by
the Department of Defense for the Next Generation Inter-
net program only pursuant to the authorization of appro-
priations under section 201(4).
Subtitle C—Ballistic Missile
Defense
SEC. 231. NATIONAL MISSILE DEFENSE POLICY.
(a) FINDINGS.—Congress makes the following find-
ings:
(1) Threats posed by ballistic missiles and
weapons of mass destruction to the national terri-
tory of the United States continue to grow as the
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trend in ballistic missile proliferation and develop-
ment is toward longer range and increasingly sophis-
ticated missiles.
(2) Russian and Chinese sources continue to
proliferate missile and other advanced technologies.
(3) North Korea is developing the Taepo-Dong
2 missile, which would have a range sufficient to
strike Alaska and Hawaii, and other countries hos-
tile to the United States, including Iran, Libya, and
Iraq, have demonstrated an interest in acquiring or
developing ballistic missiles capable of reaching the
United States.
(4) Russia’s increased reliance on nuclear forces
to compensate for the decline of its conventional
forces and uncertainty regarding command and con-
trol of those nuclear forces increase the possibility of
an accidental or unauthorized launch of Russian bal-
listic missiles.
(5) The United States could be deterred from
effectively promoting or protecting its national inter-
ests around the world if any State or territory of the
United States is vulnerable to long-range ballistic
missiles deployed by nations hostile to the United
States.
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(b) SENSE
OF
THE CONGRESS CONCERNING NA-
TIONAL MISSILE DEFENSE POLICY.—It is the sense of the
Congress that—
(1) any national missile defense system de-
ployed by the United States must provide effective
defense against limited, accidental, or unauthorized
ballistic missile attack for all 50 States; and
(2) the territories of the United States should
be afforded effective protection against ballistic mis-
sile attack.
SEC. 232. LIMITATION ON FUNDING FOR THE MEDIUM EX-
TENDED AIR DEFENSE SYSTEM.
None of the funds appropriated for fiscal year 1999
for the Ballistic Missile Defense Organization may be obli-
gated for the Medium Extended Air Defense System
(MEADS) until the Secretary of Defense certifies to Con-
gress that the future-years defense plan includes sufficient
programmed funding for that system to complete the de-
sign and development phase. If the Secretary does not
submit such a certification by January 1, 1999, then (ef-
fective as of that date) the funds appropriated for fiscal
year 1999 for the Ballistic Missile Defense Organization
that are allocated for the MEADS program shall be avail-
able to support modification of the Patriot Advanced Ca-
pability–3, Configuration 3, so as to support the require-
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ment for mobile theater missile defense to be met by the
MEADS system.
SEC. 233. LIMITATION ON FUNDING FOR COOPERATIVE
BALLISTIC MISSILE DEFENSE PROGRAMS.
Of the funds appropriated for fiscal year 1999 for
the Russian-American Observational Satellite (RAMOS)
program, $5,000,000 may not be obligated until the Sec-
retary of Defense certifies to Congress that the Depart-
ment of Defense has received detailed information con-
cerning the nature, extent, and military implications of the
transfer of ballistic missile technology from Russian
sources to Iran.
SEC. 
234. 
LIMITATION 
ON 
FUNDING 
FOR
COUNTERPROLIFERATION SUPPORT.
None of the funds appropriated for fiscal year 1999
for counterproliferation support in Program Element
63160BR may be obligated until the Secretary of Defense
submits to Congress the report required by section 234
of the National Defense Authorization Act for Fiscal Year
1998 (Public Law 105–85; 111 Stat. 1664; 50 U.S.C.
2367) to be submitted not later than January 30, 1998.
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SEC. 235. BALLISTIC MISSILE DEFENSE PROGRAM ELE-
MENTS.
(a) BMD PROGRAM ELEMENTS.—(1) Chapter 9 of
title 10, United States Code, is amended by inserting after
section 222 the following new section:
‘‘§ 223. Ballistic missile defense programs
‘‘(a) PROGRAM ELEMENTS SPECIFIED.—In the budg-
et justification materials submitted to Congress in support
of the Department of Defense budget for any fiscal year
(as submitted with the budget of the President under sec-
tion 1105(a) of title 31), the amount requested for activi-
ties of the Ballistic Missile Defense Organization shall be
set forth in accordance with the following program ele-
ments:
‘‘(1) The Patriot system.
‘‘(2) The Navy Area system.
‘‘(3) The Theater High-Altitude Area Defense
system.
‘‘(4) The Navy Theater Wide system.
‘‘(5) The Medium Extended Air Defense Sys-
tem.
‘‘(6) Joint Theater Missile Defense.
‘‘(7) National Missile Defense.
‘‘(8) Support Technologies.
‘‘(9) Family of Systems Engineering and Inte-
gration.
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‘‘(10) Ballistic Missile Defense Technical Oper-
ations.
‘‘(11) Threat and Countermeasures.
‘‘(12) International Cooperative Programs.
‘‘(b) TREATMENT OF MAJOR DEFENSE ACQUISITION
PROGRAMS.—Amounts requested for Theater Missile De-
fense and National Missile Defense major defense acquisi-
tion programs shall be specified in individual, dedicated
program elements, and amounts appropriated for those
programs shall be available only for Ballistic Missile De-
fense activities.
‘‘(c) MANAGEMENT AND SUPPORT.—The amount re-
quested for each program element specified in subsection
(a) shall include requests for the amounts necessary for
the management and support of the programs, projects,
and activities contained in that program element.’’.
(2) The table of sections at the beginning of such
chapter is amended by inserting after the item relating
to section 222 the following new item:
‘‘223. Ballistic missile defense programs.’’.
(b) REPEAL OF SUPERSEDED PROVISION.—Section
251 of the National Defense Authorization Act for Fiscal
Year 1996 (Public Law 104–106; 10 U.S.C. 221 note) is
repealed.
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SEC. 236. RESTRUCTURING OF THEATER HIGH-ALTITUDE
AREA DEFENSE SYSTEM ACQUISITION STRAT-
EGY.
(a) ESTABLISHMENT
OF ALTERNATIVE CONTRAC-
TOR.—(1) The Secretary of Defense shall select an alter-
native contractor as a potential source for the development
and production of the interceptor missile for the Theater
High-Altitude Area Defense (THAAD) system within a
‘‘leader-follower’’ acquisition strategy.
(2) The Secretary shall take such steps as necessary
to ensure that the prime contractor for that system pre-
pares the selected alternative contractor so as to enable
the alternative contractor to be able (if necessary) to as-
sume the responsibilities for development or production of
an interceptor missile for that system.
(3) The Secretary shall select the alternative contrac-
tor as expeditiously as possible and shall use the authority
provided in section 2304(c)(2) of title 10, United States
Code, to expedite that selection.
(4) Of the amount authorized under section 201(4)
for the Theater High-Altitude Area Defense system, the
amount provided for the Demonstration/Validation phase
for that system is hereby increased by $142,700,000, of
which $30,000,000 shall be available for the purposes of
this subsection, and the amount provided for the Engi-
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neering and Manufacturing Development phase for that
system is hereby reduced by $142,700,000.
(b) COST SHARING ARRANGEMENT.—The Secretary
of Defense shall contractually establish an appropriate
cost sharing arrangement with the prime contractor as of
May 14, 1998, for the interceptor missile for the Theater
High-Altitude Area Defense system for flight test failures
of that missile beginning with flight test nine.
(c) ENGINEERING AND MANUFACTURING DEVELOP-
MENT PHASE FOR OTHER ELEMENTS OF THE THAAD
SYSTEM.—The Secretary of Defense shall proceed as ex-
peditiously as possible with the milestone approval process
for the Engineering and Manufacturing Development
phase for the Battle Management and Command, Control,
and Communications (BM/C3) element of the Theater
High-Altitude Area Defense system and for the Ground-
Based Radar (GBR) element for that system. That mile-
stone approval process for those elements shall proceed
without regard to the stage of development of the missile
interceptor for that system.
(d) REQUIREMENT
BEFORE
PROCUREMENT
OF
UOES MISSILES.—The Secretary of Defense may not ob-
ligate any funds for acquisition of User Operational Eval-
uation System (UOES) missiles for the Theater High-Alti-
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tude Area Defense system until there have been two suc-
cessful tests of the interceptor missile for that system.
(e) LIMITATION ON ENTERING ENGINEERING AND
MANUFACTURING DEVELOPMENT PHASE.—The Secretary
of Defense may not approve the commencement of the En-
gineering and Manufacturing Development phase for the
interceptor missile for the Theater High-Altitude Area De-
fense system until there have been three successful tests
of that missile.
(f) SUCCESSFUL TEST DEFINED.—For purposes of
this section, a successful test of the interceptor missile of
the Theater High-Altitude Area Defense system is a body-
to-body intercept by that missile of a ballistic missile tar-
get.
TITLE III—OPERATION AND
MAINTENANCE
Subtitle A—Authorization of
Appropriations
SEC. 301. OPERATION AND MAINTENANCE FUNDING.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for the use of the Armed Forces and other
activities and agencies of the Department of Defense for
expenses, not otherwise provided for, for operation and
maintenance, in amounts as follows:
(1) For the Army, $16,339,700,000.
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(2) For the Navy, $21,839,328,000.
(3) For the Marine Corps, $2,539,703,000.
(4) For the Air Force, $18,816,108,000.
(5) 
For 
Defense-wide 
activities,
$10,354,216,000.
(6) For the Army Reserve, $1,197,622,000.
(7) For the Naval Reserve, $948,639,000.
(8) 
For 
the 
Marine 
Corps 
Reserve,
$116,993,000.
(9) For the Air Force Reserve, $1,747,696,000.
(10) 
For 
the 
Army 
National 
Guard,
$2,464,815,000.
(11) 
For 
the 
Air 
National 
Guard,
$3,096,933,000.
(12) For the Defense Inspector General,
$130,764,000.
(13) For the United States Court of Appeals
for the Armed Forces, $7,324,000.
(14) For Environmental Restoration, Army,
$377,640,000.
(15) For Environmental Restoration, Navy,
$281,600,000.
(16) For Environmental Restoration, Air Force,
$379,100,000.
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(17) For Environmental Restoration, Defense-
wide, $26,091,000.
(18) For Environmental Restoration, Formerly
Used Defense Sites, $195,000,000.
(19) For Overseas Humanitarian, Disaster, and
Civic Aid programs, $47,311,000.
(20) For Drug Interdiction and Counter-drug
Activities, Defense-wide, $727,582,000.
(21) For the Kaho’olawe Island Conveyance,
Remediation, and Environmental Restoration Trust
Fund, $15,000,000.
(22) 
For 
Defense 
Health 
Program,
$9,663,035,000.
(23) Former Soviet Union Threat Reduction
programs, $417,400,000.
(24) For Overseas Contingency Operations
Transfer Fund, $746,900,000.
SEC. 302. WORKING CAPITAL FUNDS.
Funds are hereby authorized to be appropriated for
fiscal year 1999 for the use of the Armed Forces and other
activities and agencies of the Department of Defense for
providing capital for working capital and revolving funds
in amounts as follows:
(1) For the Defense Working Capital Funds,
$1,076,571,000.
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(2) For the National Defense Sealift Fund,
$669,566,000.
SEC. 303. ARMED FORCES RETIREMENT HOME.
There is hereby authorized to be appropriated for fis-
cal year 1999 from the Armed Forces Retirement Home
Trust Fund the sum of $70,745,000 for the operation of
the Armed Forces Retirement Home, including the United
States Soldiers’ and Airmen’s Home and the Naval Home.
SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCK-
PILE TRANSACTION FUND.
(a) TRANSFER AUTHORITY.—To the extent provided
in appropriations Acts, not more than $150,000,000 is au-
thorized to be transferred from the National Defense
Stockpile Transaction Fund to operation and maintenance
accounts for fiscal year 1999 in amounts as follows:
(1) For the Army, $50,000,000.
(2) For the Navy, $50,000,000.
(3) For the Air Force, $50,000,000.
(b) TREATMENT OF TRANSFERS.—Amounts trans-
ferred under this section—
(1) shall be merged with, and be available for
the same purposes and the same period as, the
amounts in the accounts to which transferred; and
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(2) may not be expended for an item that has
been denied authorization of appropriations by Con-
gress.
(c) RELATIONSHIP TO OTHER TRANSFER AUTHOR-
ITY.—The transfer authority provided in this section is in
addition to the transfer authority provided in section
1001.
SEC. 305. REFURBISHMENT OF M1–A1 TANKS.
Of the amount authorized to be appropriated pursu-
ant to section 301(1) for operation and maintenance for
the Army, $31,000,000 shall be available only for the re-
furbishment of up to 70 M1–A1 tanks under the AIM-
XXI program.
SEC. 306. OPERATION OF PREPOSITIONED FLEET, NA-
TIONAL TRAINING CENTER, FORT IRWIN,
CALIFORNIA.
Of the amount authorized to be appropriated pursu-
ant to section 301(1) for operation and maintenance for
the Army, $60,200,000 shall be available only to pay costs
associated with the operation of the prepositioned fleet of
equipment during training rotations at the National
Training Center, Fort Irwin, California.
SEC. 307. RELOCATION OF USS WISCONSIN.
Of the amount authorized to be appropriated pursu-
ant to section 301(2) for operation and maintenance for
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the Navy, $6,000,000 may be available for the purpose
of relocating the USS WISCONSIN, which is currently
in a reserve status at the Norfolk Naval Shipyard, Vir-
ginia, to a suitable location in order to increase available
berthing space at the shipyard.
SEC. 308. FISHER HOUSE TRUST FUNDS.
Funds are hereby authorized to be appropriated for
fiscal year 1999, out of funds in Fisher House Trust
Funds not otherwise appropriated, for the operation of
Fisher houses described in section 2221(d) of title 10,
United States Code, as follows:
(1) From the Fisher House Trust Fund, De-
partment of the Army, $250,000 for Fisher houses
that are located in proximity to medical treatment
facilities of the Army.
(2) From the Fisher House Trust Fund, De-
partment of the Navy, $150,000 for Fisher houses
that are located in proximity to medical treatment
facilities of the Navy.
(3) From the Fisher House Trust Fund, De-
partment of the Air Force, $150,000 for Fisher
houses that are located in proximity to medical
treatment facilities of the Air Force.
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Subtitle B—Information
Technology Issues
SEC. 311. ADDITIONAL INFORMATION TECHNOLOGY RE-
SPONSIBILITIES OF CHIEF INFORMATION OF-
FICERS.
(a) IN GENERAL.—(1) Chapter 131 of title 10,
United States Code, is amended by adding at the end the
following new section:
‘‘§ 2223. Information technology: additional respon-
sibilities of Chief Information Officers
‘‘(a) ADDITIONAL RESPONSIBILITIES.—In addition
to the responsibilities provided for in chapter 35 of title
44 and in section 5125 of the Clinger-Cohen Act of 1996
(40 U.S.C. 1425)—
‘‘(1) the Chief Information Officer of the De-
partment of Defense, with respect to the elements of
the Department of Defense other than the military
departments, shall—
‘‘(A) review and provide recommendations
to the Secretary of Defense on Department of
Defense budget requests for information tech-
nology and national security systems;
‘‘(B) ensure the interoperability of infor-
mation technology and national security sys-
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tems throughout the Department of Defense;
and
‘‘(C) ensure that information technology
and national security systems standards that
will apply throughout the Department of De-
fense are prescribed; and
‘‘(2) the Chief Information Officer of each mili-
tary department, with respect to the military depart-
ment concerned, shall—
‘‘(A) review budget requests for all infor-
mation technology and national security sys-
tems;
‘‘(B) ensure that information technology
and national security systems are in compliance
with standards of the Government and the De-
partment of Defense;
‘‘(C) ensure that information technology
and national security systems are interoperable
with other relevant information technology and
national security systems of the Government
and the Department of Defense;
‘‘(D) provide for the elimination of dupli-
cate information technology and national secu-
rity systems within and between the military
departments and Defense Agencies; and
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‘‘(E) coordinate with the Joint Staff with
respect to information technology and national
security systems.
‘‘(b) DEFINITIONS.—In this section:
‘‘(1) The term ‘Chief Information Officer’
means the senior official designated by the Secretary
of Defense or a Secretary of a military department
pursuant to section 3506 of title 44.
‘‘(2) The term ‘information technology’ has the
meaning given that term by section 5002 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
‘‘(3) The term ‘national security system’ has
the meaning given that term by section 5142 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1452).’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘2223. Information technology: additional responsibilities of Chief Information
Officers.’’.
(b) EFFECTIVE DATE.—Section 2223 of title 10,
United States Code, as added by subsection (a), shall take
effect on October 1, 1998.
SEC. 312. DEFENSE-WIDE ELECTRONIC MALL SYSTEM FOR
SUPPLY PURCHASES.
(a) ELECTRONIC MALL SYSTEM.—In this section, the
term ‘‘electronic mall system’’ means an electronic system
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for displaying, ordering, and purchasing supplies and ma-
teriel available from sources within the Department of De-
fense and from the private sector.
(b) DEVELOPMENT AND MANAGEMENT.—Using ex-
isting systems and technology available in the Department
of Defense, the Defense Logistics Agency shall develop a
single, defense-wide electronic mall system. The Defense
Logistics Agency shall be responsible for the management
of the resulting electronic mall system. The Secretary of
each military department and the head of each Defense
Agency shall provide to the Defense Logistics Agency the
necessary and requested data to support the development
and operation of the electronic mall system.
(c) IMPLEMENTATION DATE.—The electronic mall
system shall be operational and available throughout the
Department of Defense not later than June 1, 1999. After
that date, a military department or Defense Agency (other
than the Defense Logistics Agency) may not develop or
operate an electronic mall system.
SEC. 313. PROTECTION OF FUNDING PROVIDED FOR
CERTAIN INFORMATION TECHNOLOGY AND
NATIONAL SECURITY PROGRAMS.
(a) USE
FOR
SPECIFIED
PURPOSES.—Of the
amounts authorized to be appropriated to the Department
of Defense for fiscal years 1999, 2000, and 2001 for infor-
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mation technology and national security programs of the
Department of Defense, not less than the amount specified
in subsection (b) shall be available for each such fiscal
year for the purposes of the information technology and
national security programs described in such subsection,
unless an alternative use of the funds is specifically ap-
proved by a law enacted after the date of the enactment
of the law originally authorizing the funds.
(b) COVERED PROGRAMS AND AMOUNTS.—The infor-
mation technology and national security programs referred
to in subsection (a), and the amounts to be available for
each program, are the following:
(1) The Force XXI program of the Army,
$360,000,000.
(2) The Information Technology for the 21st
Century programs of the Navy, $472,000,000.
(3) The Communications Infrastructure pro-
grams of the Air Force, $228,500,000.
(4) The Telecom and Computing Infrastructure
programs of the Marine Corps, $93,000,000.
(c) DEFINITIONS.—In this section:
(1) The term ‘‘information technology’’ has the
meaning given that term in section 5002 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
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(2) The term ‘‘national security system’’ has
the meaning given that term in section 5142 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1452).
SEC. 314. PRIORITY FUNDING TO ENSURE YEAR 2000 COM-
PLIANCE OF MISSION CRITICAL INFORMA-
TION TECHNOLOGY AND NATIONAL SECU-
RITY SYSTEMS.
(a) FUNDS FOR COMPLETION OF YEAR 2000 CON-
VERSION.—(1) Of the amounts authorized to be appro-
priated pursuant to this Act for information technology
and national security systems of the Department of De-
fense designated as mission critical, not more than 25 per-
cent may be used to fund activities unrelated to ensuring
that the awareness, assessment, and renovation phases of
year 2000 conversion for such information technology and
national security systems are completed.
(2) Of the amounts authorized to be appropriated
pursuant to this Act for information technology and na-
tional security systems of the Department of Defense
(other than information technology and national security
systems covered by paragraph (1)), not less than
$1,000,000,000 shall be available only for transfer to sup-
port activities to ensure that the awareness, assessment,
renovation, and validation phases of year 2000 conversion
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for information technology and national security systems
covered by paragraph (1) are completed.
(b) EXCEPTIONS.—(1) This section does not apply to
or affect funding for information technology and national
security programs identified in section 313(b).
(2) The Secretary of Defense may authorize expendi-
tures in excess of the 25 percent limitation specified in
subsection (a)(1) if the Secretary determines that addi-
tional expenditures are required to prevent the failure of
the information technology or national security system
and provides prior notice to Congress of the reasons for
the additional expenditures.
(c) TERMINATION.—(1) On the date on which the
Secretary of Defense determines that the year 2000 ren-
ovation phase has been completed for a particular infor-
mation technology or national security system covered by
paragraph (1) of subsection (a), such paragraph shall
cease to apply to that information technology or national
security system.
(2) Paragraph (2) of such subsection shall cease to
apply on the date on which the Secretary of Defense deter-
mines that all of the information technology and national
security systems covered by paragraph (1) of such sub-
section are fully funded through the validation phase of
year 2000 conversion, have an established contingency
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plan, and have completed a point of origin to point of exe-
cution evaluation.
(d) COMPTROLLER GENERAL REVIEW.—Not later
than January 30, 1999, the Comptroller General shall
submit to Congress a briefing containing the following:
(1) Separate lists of each information tech-
nology and national security system of the Depart-
ment of Defense covered by subsection (a)(1) for
which the renovation phase of year 2000 conversion
is not completed by December 30, 1998.
(2) A evaluation of the effect of subsection (a)
on the year 2000 conversion success rate.
(3) A list of each information technology and
national security system covered by subsection (a)(1)
that will not achieve year 2000 compliance by Sep-
tember 30, 1999.
(4) An explanation of how the military depart-
ments, the Joint Chiefs of Staff, and Defense Agen-
cies are applying the definition of mission critical.
(5) Recommendations regarding the manner in
which funding could best be allocated to achieve year
2000 compliance for the greatest number of infor-
mation technology and national security systems cov-
ered by subsection (a)(1).
(e) DEFINITIONS.—In this section:
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lated year 2000 as part of the military exercises described
in subsection (b) in order to evaluate, in an operational
environment, the extent to which information technology
and national security systems involved in the exercises will
successfully operate, including the ability of the systems
to access and transmit information from point of origin
to point of termination, during the actual year 2000.
(b) COVERED MILITARY EXERCISES.—A military ex-
ercise referred to in subsection (a) is a military exercise
conducted by the Department of Defense, during the pe-
riod beginning on January 1, 1999, and ending on Sep-
tember 30, 1999—
(1) under the training exercises program known
as the ‘‘CJCS Exercise Program’’;
(2) at the Naval Strike and Air Warfare Cen-
ter, the Army National Training Center, or the Air
Force Air Warfare Center; or
(3) as part of Naval Carrier Group fleet train-
ing or Marine Corps Expeditionary Unit training.
(c) ELEMENTS OF REPORT.—The report under sub-
section (a) shall include the following:
(1) A list of all military exercises described in
subsection (b) to be conducted during the period
specified in such subsection.
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(2) A description of the manner in which the
year 2000 will be simulated for information tech-
nology and national security systems involved in
each military exercise.
(3) The duration of the year 2000 simulation in
each military exercise.
(4) The methodology to be used in turning over
the information technology and national security sys-
tems to the year 2000 in order to best identify those
systems that fail to operate reliably during the mili-
tary exercise.
(5) A list of the information technology and na-
tional security systems excluded from the plan under
subsection (d)(1), including how the military exercise
will utilize an excluded system’s year 2000 contin-
gency plan.
(6) A list of the exercises and information tech-
nology and national security systems excluded from
the plan under subsection (d)(2), and a description
of the effect that continued year 2000 noncompli-
ance of the systems would have on military readi-
ness.
(d) EXCLUSIONS.—(1) Subsection (a) shall not apply
to an information technology or national security system
if the Secretary of Defense determines that the system will
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be incapable of performing reliably during the year 2000
simulation portion of the military exercise. In the case of
each excluded system, the system may not be used during
the period of the year 2000 simulation. Instead, the ex-
cluded system shall be replaced by the year 2000 contin-
gency plan for the system.
(2) If the mission of a military exercise will be seri-
ously hampered by the number of information technology
and national security systems covered by paragraph (1),
the Secretary of Defense may exclude the entire exercise
from the requirements of subsection (a).
(3) Subsection (a) shall not apply to an information
technology or national security system with cryptological
applications.
(4) If the decision to exclude a military exercise or
information technology or national security system is
made under paragraph (1) or (2) after the date of the
submission of the report required by subsection (a), the
Secretary of Defense shall notify Congress of the exclusion
not later than two weeks before commencing the military
exercise. The notification shall include the information re-
quired under paragraph (5) or (6) of subsection (c), de-
pending on whether the exclusion covers the entire exercise
or particular information technology and national security
systems.
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(e) COMPTROLLER GENERAL REVIEW.—Not later
than January 30, 1999, the Comptroller General shall re-
view the report and plan submitted under subsection (a)
and submit to Congress a briefing evaluating the meth-
odology to be used under the plan to simulate the year
2000, describing the potential information that will be col-
lected as a result of implementation of the plan, and de-
scribing the impact that the plan will have on military
readiness.
(f) DEFINITIONS.—In this section:
(1) The term ‘‘information technology’’ has the
meaning given that term in section 5002 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
(2) The term ‘‘national security system’’ has
the meaning given that term in section 5142 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1452).
Subtitle C—Environmental
Provisions
SEC. 321. AUTHORIZATION TO PAY NEGOTIATED SETTLE-
MENT FOR ENVIRONMENTAL CLEANUP AT
FORMER DEPARTMENT OF DEFENSE SITES IN
CANADA.
(a) AUTHORIZATION.—To the extent provided in ap-
propriations Acts, the Secretary of Defense may pay an
amount to the Government of Canada of not more than
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$100,000,000 (in fiscal year 1996 constant dollars), for
purposes of implementing the October 1996 negotiated
settlement between the United States and Canada relating
to environmental cleanup at various sites in Canada that
were formerly used by the Department of Defense.
(b) METHOD OF PAYMENT.—The amount authorized
by subsection (a) shall be paid in 10 annual payments,
with the first payment made from amounts appropriated
for fiscal year 1998.
(c) FISCAL YEAR 1998 PAYMENT.—The payment
under this section for fiscal year 1998 shall be made from
amounts appropriated pursuant to section 301(5) of the
National Defense Authorization Act for Fiscal Year 1998
(Public Law 105–85; 111 Stat. 1669).
(d) FISCAL YEAR 1999 PAYMENT.—The payment
under this section for fiscal year 1999 shall be made from
amounts appropriated pursuant to section 301(5).
(e) LIMITATION.—The authorization provided in this
section shall not be construed as setting a precedent for
payment under a treaty of an environmental claim made
by another nation, unless the Senate has given its consent
to the ratification of the treaty.
SEC. 322. REMOVAL OF UNDERGROUND STORAGE TANKS.
Of the amount authorized to be appropriated pursu-
ant to section 301(18) (relating to environmental restora-
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tion of formerly used defense sites), the Secretary of the
Army may use not more than $150,000 for the removal
of underground storage tanks at the Authorities Allied In-
dustrial Park, Macon, Georgia.
Subtitle D—Defense Infrastructure
Support Improvement
SEC. 331. REPORTING AND STUDY REQUIREMENTS BEFORE
CHANGE OF COMMERCIAL AND INDUSTRIAL
TYPE FUNCTIONS TO CONTRACTOR PER-
FORMANCE.
(a) IN GENERAL.—Section 2461 of title 10, United
States Code, is amended—
(1) by redesignating subsection (c) as sub-
section (h) and transferring such subsection to ap-
pear after subsection (g); and
(2) by striking out subsections (a) and (b) and
inserting in lieu thereof the following new sub-
sections:
‘‘(a) REPORTING
AND STUDY REQUIREMENTS
AS
PRECONDITION TO CHANGE IN PERFORMANCE.—A com-
mercial or industrial type function of the Department of
Defense that, as of October 1, 1980, was being performed
by Department of Defense civilian employees may not be
changed to performance by a private contractor or
changed to procurement through a private contractor until
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on the grounds that the report required under paragraph
(1) as a precondition for the study does not contain the
certification required by subparagraph (E) of such para-
graph. The objection may be raised at any time during
the course of the study, shall be in writing, and shall be
submitted to the Secretary of Defense. If the Secretary
determines that the certification was omitted, the commer-
cial or industrial type function covered by the study may
not be the subject of request for proposal or award of a
contract until a certification is made that fully complies
with paragraph (1)(E) and the other requirements of this
section are satisfied.
‘‘(c) NOTIFICATION OF DECISION.—(1) If, as a result
of the completion of a study under subsection (b)(3), a
decision is made to change the commercial or industrial
type function that was the subject of the study to perform-
ance by a private contractor or to procurement through
a private contractor, the Secretary of Defense shall submit
to Congress a report describing that decision. The report
shall—
‘‘(A) indicate that the study under subsection
(b)(3) has been completed;
‘‘(B) certify that the Government calculation
for the cost of performance of the function by De-
partment of Defense civilian employees is based on
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an estimate of the most efficient and cost effective
organization for performance of the function by De-
partment of Defense civilian employees;
‘‘(C) certify that the comparison required by
subsection (b)(3)(A) (or alternatively by subsection
(b)(4)) as part of the study demonstrates that the
performance of the function by a private contractor
or procurement of the function through a private
contractor will result in savings to the Government
over the life of the contract;
‘‘(D) certify that the entire comparison is avail-
able for examination; and
‘‘(E) contain a timetable for completing change
of the function to contractor performance.
‘‘(2) The actual change of the function to contractor
performance may not begin until after the submission of
the report required by this subsection.’’.
(b) CONFORMING AMENDMENTS.—(1) Subsections
(e)(2) and (f)(1) of such section are amended by striking
out ‘‘converted’’ and inserting in lieu thereof ‘‘changed’’.
(2) Subsection (f)(2) of such section is amended by
striking out ‘‘conversion’’ and inserting in lieu thereof
‘‘change’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall take effect on the date of the enactment
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of this Act but shall not apply with respect to conversion
of a function of the Department of Defense to perform-
ance by a private contractor concerning which the Sec-
retary of Defense provided to Congress, before the date
of the enactment of this Act, a notification under para-
graph (1) of section 2461(a) of title 10, United States
Code, as in effect on the day before the date of the enact-
ment of this Act.
SEC. 332. CLARIFICATION OF REQUIREMENT TO MAINTAIN
GOVERNMENT-OWNED 
AND 
GOVERNMENT-
OPERATED CORE LOGISTICS CAPABILITY.
Section 2464 of title 10, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(c) RULE
OF CONSTRUCTION.—The requirement
under subsection (a) that the Department of Defense
maintain a core logistics capability that is Government-
owned and Government-operated is not satisfied when a
core logistics workload is converted to contractor perform-
ance even though the actual performance of the workload
will be carried out in a Government-owned, Government-
operated facility of the Department of Defense as a sub-
contractor of the private contractor. Nothing in section
2474 of this title or section 337 of the National Defense
Authorization Act for Fiscal Year 1995 (Public Law 103–
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337; 108 Stat. 2717) authorizes the use of subcontracts
as a means to provide workloads to Government-owned,
Government-operated facilities of the Department of De-
fense in order to satisfy paragraph (4) of subsection (a).’’.
SEC. 333. OVERSIGHT OF DEVELOPMENT AND IMPLEMEN-
TATION 
OF 
AUTOMATED 
IDENTIFICATION
TECHNOLOGY.
(a) SMARTCARD PROGRAM DEFINED.—In this sec-
tion, the term ‘‘smartcard program’’ means an automated
identification technology program, including any pilot pro-
gram, employing one or more of the following technologies:
(1) Magnetic stripe.
(2) Bar codes, both linear and two-dimensional
(including matrix symbologies).
(3) Smartcard.
(4) Optical memory.
(5) Personal computer memory card inter-
national association carriers.
(6) Other established or emerging automated
identification technologies, including biometrics and
radio frequency identification.
(b) 
OVERSIGHT
RESPONSIBILITY.—(1) 
The
Smartcard Technology Office established in the Defense
Human Resources Field Activity of the Department of De-
fense shall be responsible for—
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(A) overseeing the development and implemen-
tation of all smartcard programs in the Department;
and
(B) coordinating smartcard programs with the
Joint Staff, the Secretaries of the military depart-
ments, and the directors of the Defense Agencies.
(2) After the date of the enactment of this Act, funds
appropriated for the Department of Defense may not be
obligated for a smartcard program unless the program is
reviewed and approved by the Smartcard Technology Of-
fice. The review and approval before that date of a
smartcard program by the Office is sufficient to satisfy
the requirements of this paragraph.
(c) TYPES OF OVERSIGHT.—As part of its oversight
responsibilities, the Smartcard Technology Office shall es-
tablish standards designed—
(1) to ensure the compatibility and interoper-
ability of smartcard programs in the Department of
Defense; and
(2) to identify and terminate redundant,
unfeasible, or uneconomical smartcard programs.
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SEC. 334. CONDITIONS ON EXPANSION OF FUNCTIONS PER-
FORMED 
UNDER 
PRIME 
VENDOR 
CON-
TRACTS.
(a) PRIME VENDOR CONTRACT DEFINED.—For pur-
poses of this section, the term ‘‘prime vendor contract’’
means an innovative contract that gives a defense contrac-
tor the responsibility to manage, store, and distribute in-
ventory, manage and provide services, or manage and per-
form research, on behalf of the Department of Defense
on a frequent, regular basis, for users within the Depart-
ment on request. The term includes contracts commonly
referred to as prime vendor support contracts, flexible
sustainment contracts, and direct vendor delivery con-
tracts.
(b) CONDITIONS ON EXPANDED USE.—If the Sec-
retary of Defense or the Secretary of a military depart-
ment proposes to enter into a prime vendor contract for
a hardware system, including the performance or manage-
ment of depot-level maintenance and repair (as defined in
section 2460 of title 10, United States Code) or logistics
management responsibilities, the Secretary may not enter
into the prime vendor contract until the end of the 60-
day period beginning on the date on which the Secretary
submits to Congress a report, specific to that proposal,
that—
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(1) describes the competitive procedures to be
used to award the prime vendor contract;
(2) evaluates the effect of the prime vendor con-
tract on working-capital funds in the Department of
Defense; and
(3) contains a cost/benefit analysis that dem-
onstrates that use of the prime vendor contract will
result in savings to the Government over the life of
the contract.
(c) COMPTROLLER GENERAL REVIEW.—During the
waiting period provided in subsection (b) for a proposed
prime vendor contract, the Comptroller General shall re-
view the report submitted under subsection (b) with re-
spect to that contract and submit to Congress a report
regarding—
(1) whether the cost savings to the Government
identified in the report submitted under subsection
(b) are achievable; and
(2) whether use of a prime vendor contract will
comply with the requirements of chapter 146 of title
10, United States Code, applicable to depot-level
maintenance and repair.
(d) RELATIONSHIP TO OTHER LAWS.—Nothing in
this section shall be construed to exempt a prime vendor
contract from the requirements of section 2461 of title 10,
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United States Code, or any other provision of chapter 146
of such title.
SEC. 335. CLARIFICATION OF DEFINITION OF DEPOT-LEVEL
MAINTENANCE AND REPAIR.
Section 2460(a) of title 10, United States Code, is
amended by inserting before the period at the end of the
first sentence the following: ‘‘or the location at which the
maintenance or repair is performed’’.
SEC. 336. CLARIFICATION OF COMMERCIAL ITEM EXCEP-
TION TO REQUIREMENTS REGARDING CORE
LOGISTICS CAPABILITIES.
Section 2464(a)(5) of title 10, United States Code,
is amended—
(1) by inserting ‘‘(A)’’ after ‘‘(5)’’;
(2) by adding at the end of subparagraph (A),
as so designated, the following: ‘‘The determination
of whether a modification is minor shall be based on
a comparison of only the critical systems of the ver-
sion sold in the commercial marketplace and the ver-
sion purchased by the Government, and a modifica-
tion may not be considered to be minor unless at
least 90 percent of the total content by component
value remains identical.’’; and
(3) by adding at the end the following new sub-
paragraph:
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‘‘(B) In this paragraph, the term ‘substantial quan-
tities’ means, with respect to determining whether an item
is a commercial item, that purchases and leases of the
item to the general public constitute the majority of all
transactions involving the item at the time the exception
under paragraph (3) is proposed to be exercised.’’.
SEC. 337. DEVELOPMENT OF PLAN FOR ESTABLISHMENT
OF 
CORE 
LOGISTICS 
CAPABILITIES 
FOR
MAINTENANCE AND REPAIR OF C–17 AIR-
CRAFT.
(a) FINDINGS.—Congress finds the following:
(1) The C–17 aircraft, which is replacing the
C–141 aircraft, will serve as the cornerstone of
heavy airlift capability of the Armed Forces.
(2) The C–17 aircraft achieved initial oper-
ational capability in January 1995 and will complete
the significant fourth year of its operational capabil-
ity in January 1999.
(3) As provided in section 2464(a)(3) of title
10, United States Code, the C–17 aircraft is a weap-
on system that is ‘‘necessary to enable the armed
forces to fulfill the strategic and contingency plans
prepared by the Chairman of the Joint Chiefs of
Staff’’.
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(4) The depot-level maintenance and repair of
such a weapon system must be performed at Govern-
ment-owned, Government-operated facilities of the
Department of Defense in order to maintain the core
logistics capabilities of the Department of Defense,
as required under such section 2464.
(5) The sole-source contract entered into in
January 1998 regarding the depot-level maintenance
and repair of C–17 aircraft and related tasks, known
as the Interim Contract for the C–17 Flexible
Sustainment Program, does not meet the require-
ments of law.
(b) PLAN REQUIRED.—Not later than March 1,
1999, the Secretary of the Air Force shall submit to Con-
gress a plan for the establishment of the core logistics ca-
pabilities for the C–17 aircraft consistent with the require-
ments of section 2464 of title 10, United States Code.
(c) EFFECT ON EXISTING CONTRACT.—After March
1, 1999, the Secretary of the Air Force may not extend
the Interim Contract for the C–17 Flexible Sustainment
Program until after the end of the 60-day period begin-
ning on the date the plan required by subsection (b) is
received by Congress.
(d) COMPTROLLER GENERAL REVIEW.—During the
period specified in subsection (c), the Comptroller General
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shall review the plan required under subsection (b) and
submit to Congress a report evaluating the merits of the
plan.
SEC. 338. CONTRACTOR-OPERATED CIVIL ENGINEERING
SUPPLY STORES PROGRAM.
(a) DEFINITIONS.—In this section:
(1) The term ‘‘contractor-operated civil engi-
neering supply store’’ means a Government-owned
facility that, as of the date of the enactment of this
Act, is operated by a contractor under the contrac-
tor-operated 
civil 
engineering 
supply 
store
(COCESS) program of the Department of the Air
Force for the purpose of—
(A) maintaining inventories of civil engi-
neering supplies on behalf of a military depart-
ment; and
(B) furnishing such supplies to the depart-
ment as needed.
(2) The term ‘‘civil engineering supplies’’ means
parts and supplies needed for the repair and mainte-
nance of military installations.
(b) FINDINGS.—Congress finds the following:
(1) In 1970, the Strategic Air Command of the
Air Force began to use contractor-operated civil en-
gineering supply stores to improve the efficiency and
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effectiveness of materials management and relieve
the Air Force from having to maintain large inven-
tories of civil engineering supplies.
(2) Contractor-operated civil engineering supply
stores are designed to support the civil engineering
and public works efforts of the Armed Forces
through the provision of quality civil engineering
supplies at competitive prices and within a reason-
able period of time.
(3) Through the use of a contractor-operated
civil engineering supply store, a guaranteed inven-
tory level of civil engineering supplies is maintained
at a military installation, which ensures that ur-
gently needed civil engineering supplies are available
on site.
(4) The contractor operating the contractor-op-
erated civil engineering supply store is an independ-
ent business organization whose customer is a mili-
tary department and the Armed Forces and who is
subject to all the rules of private business and the
regulations of the Government.
(5) The use of contractor-operated civil engi-
neering supply stores ensures the best price and best
buy for the Government.
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(6) Ninety-five percent of the cost savings real-
ized through the use of contractor-operated civil en-
gineering supply stores is due to savings in the cost
of actually procuring supplies.
(7) In the past 30 years, private contractors
have never lost a cost comparison conducted pursu-
ant to the criteria set forth in Office of Management
and Budget Circular A–76 for the provision of civil
engineering supplies to the Government.
(c) 
CONDITIONS
ON
MULTI-FUNCTION
CON-
TRACTS.—A civil engineering supplies function that is per-
formed, as of the date of the enactment of this Act, by
a contractor-operated civil engineering supply store may
not be combined with another supply function or any serv-
ice function, including any base operating support func-
tion, for purposes of competition or contracting, until—
(1) the Secretary of Defense submits to Con-
gress a report—
(A) notifying Congress of the proposed
combined competition or contract; and
(B) explaining why a combined competition
or contract is the best method by which to
achieve cost savings and efficiencies to the Gov-
ernment; and
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(2) the Comptroller General reviews the report
and submits to Congress a briefing regarding wheth-
er the cost savings and efficiencies identified in the
report are achievable.
(d) RELATIONSHIP TO OTHER LAWS.—If a civil engi-
neering supplies function covered by subsection (c) is pro-
posed for combination with a supply or service function
that is subject to the study and reporting requirements
of section 2461 of title 10, United States Code, the Sec-
retary of Defense may include the report required under
subsection (c) as part of the report under such section.
SEC. 339. REPORT ON SAVINGS AND EFFECT OF PERSON-
NEL REDUCTIONS IN ARMY MATERIEL COM-
MAND.
(a) REPORT REQUIRED.—Not later than March 31,
1999, the Comptroller General shall submit to the con-
gressional defense committees a report concerning—
(1) the effect that the proposed personnel re-
ductions in the Army Materiel Command will have
on workload and readiness if implemented; and
(2) the likelihood that the cost savings pro-
jected to occur from such reductions will actually be
achieved.
(b) DELAY IN IMPLEMENTATION OF REDUCTIONS
PENDING REPORT.—During the period specified in sub-
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section (c), the Secretary of Defense and the Secretary
of the Army may not commence personnel reductions
based on the guidelines contained in the May 1997 report
of the Quadrennial Defense Review (including the Na-
tional Defense Panel) prepared pursuant to subtitle B of
title IX of the National Defense Authorization Act for Fis-
cal Year 1997 (Public Law 104-201; 10 U.S.C. 111 note)
at any Army Material Command facility that provides
depot-level maintenance and repair or at any Army Arse-
nal.
(c) DURATION OF DELAY.—Subsection (b) applies
only during the period beginning on the date of the enact-
ment of this Act and ending on the earlier of the following:
(1) March 31, 1999.
(2) The date on which the report required by
subsection (a) is submitted.
SEC. 340. BEST COMMERCIAL INVENTORY PRACTICES FOR
MANAGEMENT 
OF 
SECONDARY 
SUPPLY
ITEMS.
(a) DEVELOPMENT
AND SUBMISSION
OF SCHED-
ULE.—Not later than 180 days after the date of the enact-
ment of this Act, the Secretary of each military depart-
ment shall develop and submit to Congress a schedule for
implementing within the military department, for second-
ary supply items managed by that military department,
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inventory practices identified by the Secretary as being the
best commercial inventory practices for the acquisition
and distribution of such supply items consistent with mili-
tary requirements. The schedule shall provide for the im-
plementation of such practices to be completed not later
than five years after the date of the enactment of this Act.
(b) DEFINITION.—For purposes of this section, the
term ‘‘best commercial inventory practice’’ includes cel-
lular repair processes, use of third-party logistics provid-
ers, and any other practice that the Secretary of the mili-
tary department determines will enable the military de-
partment to reduce inventory levels and holding costs
while improving the responsiveness of the supply system
to user needs.
(c) GAO REPORTS ON MILITARY DEPARTMENT AND
DEFENSE LOGISTICS AGENCY SCHEDULES.—(1) Not
later than 240 days after the date of the enactment of
this Act, the Comptroller General shall submit to Congress
a report evaluating the extent to which the Secretary of
each military department has complied with the require-
ments of this section.
(2) Not later than 18 months after the date on which
the Director of the Defense Logistics Agency submits to
Congress a schedule for implementing best commercial in-
ventory practices under section 395 of the National De-
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fense Authorization Act for Fiscal Year 1998 (Public Law
105–85; 111 Stat. 1718; 10 U.S.C. 2458 note), the Comp-
troller General shall submit to Congress an evaluation of
the extent to which best commercial inventory practices
are being implemented in the Defense Logistics Agency
in accordance with that schedule.
Subtitle E—Commissaries and Non-
appropriated Fund Instrumen-
talities
SEC. 341. CONTINUATION OF MANAGEMENT AND FUNDING
OF 
DEFENSE 
COMMISSARY 
AGENCY
THROUGH THE OFFICE OF THE SECRETARY
OF DEFENSE.
Section 192 of title 10, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(d) SPECIAL RULE
FOR DEFENSE COMMISSARY
AGENCY.—Notwithstanding the results of the periodic re-
view required under subsection (c) with regard to the De-
fense Commissary Agency, the Secretary of Defense may
not transfer to the Secretary of a military department the
responsibility to manage and fund the provision of services
and supplies provided by the Defense Commissary Agency
unless the transfer of the management and funding re-
sponsibility is specifically authorized by a law enacted
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after the date of the enactment of the National Defense
Authorization Act for Fiscal Year 1999.’’.
SEC. 342. EXPANSION OF CURRENT ELIGIBILITY OF RE-
SERVES FOR COMMISSARY BENEFITS.
(a) DAYS
OF ELIGIBILITY
FOR READY RESERVE
MEMBERS WITH 50 CREDITABLE POINTS.—Section 1063
of title 10, United States Code, is amended—
(1) by striking out subsection (b); and
(2) in subsection (a)—
(A) by striking out ‘‘(1)’’;
(B) by striking out ‘‘12 days of eligibility’’
and inserting in lieu thereof ‘‘24 days of eligi-
bility’’; and
(C) by striking out ‘‘(2) Paragraph (1)’’
and inserting in lieu thereof ‘‘(b) EFFECT OF
COMPENSATION
OR
TYPE
OF
DUTY.—Sub-
section (a)’’.
(b) DAYS OF ELIGIBILITY FOR RESERVE RETIREES
UNDER AGE 60.—Section 1064 of such title is amended
by striking out ‘‘for 12 days each calendar year’’ and in-
serting in lieu thereof ‘‘for 24 days each calendar year’’.
(c) ELIGIBILITY OF MEMBERS OF NATIONAL GUARD
SERVING IN FEDERALLY DECLARED DISASTER.—Chapter
54 of such title is amended by inserting after section 1063
the following new section:
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‘‘§ 1063a. Use of commissary stores and MWR retail
facilities: members of National Guard
serving in federally declared disaster
‘‘(a) ELIGIBILITY OF MEMBERS.—A member of the
National Guard who, although not in Federal service, is
called or ordered to duty in response to a federally de-
clared disaster shall be permitted to use commissary stores
and MWR retail facilities during the period of such duty
on the same basis as members of the armed forces on ac-
tive duty.
‘‘(b) ELIGIBILITY OF DEPENDENTS.—A dependent of
a member of the National Guard who is permitted under
subsection (a) to use commissary stores and MWR retail
facilities shall be permitted to use such stores and facili-
ties, during the same period as the member, on the same
basis as dependents of members of the armed forces on
active duty.
‘‘(c) DEFINITIONS.—In this section:
‘‘(1) FEDERALLY
DECLARED
DISASTER.—The
term ‘federally declared disaster’ means a disaster or
other situation for which a Presidential declaration
of major disaster is issued under section 401 of the
Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5170).
‘‘(2) MWR RETAIL
FACILITIES.—The term
‘MWR retail facilities’ means exchange stores and
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other revenue-generating facilities operated by non-
appropriated fund activities of the Department of
Defense for the morale, welfare, and recreation of
members of the armed forces.’’.
(d) SECTION HEADINGS.—(1) The heading of section
1063 of such title is amended to read as follows:
‘‘§ 1063. Use of commissary stores: members of Ready
Reserve 
with 
at 
least 
creditable
points’’.
(2) The heading of section 1064 of such title is
amended to read as follows:
‘‘§ 1064. Use of commissary stores: persons qualified
for retired pay under chapter 1223 but
under age 60’’.
(e) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 54 of such title is amended
by striking out the items relating to sections 1063 and
1064 and inserting in lieu thereof the following items:
‘‘1063. Use of commissary stores: members of Ready Reserve with at least 50
creditable points.
‘‘1063a. Use of commissary stores and MWR retail facilities: members of Na-
tional Guard serving in federally declared disaster.
‘‘1064. Use of commissary stores: persons qualified for retired pay under chap-
ter 1223 but under age 60.’’.
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SEC. 343. REPEAL OF REQUIREMENT FOR AIR FORCE TO
SELL TOBACCO PRODUCTS TO ENLISTED
PERSONNEL.
(a) REPEAL.—Section 9623 of title 10, United States
Code, is repealed.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 939 of such title is amended
by striking out the item relating to section 9623.
SEC. 344. RESTRICTIONS ON PATRON ACCESS TO, AND PUR-
CHASES IN, OVERSEAS COMMISSARIES AND
EXCHANGE STORES.
(a) AUTHORITY TO IMPOSE RESTRICTIONS; LIMITA-
TIONS ON AUTHORITY.—Chapter 147 of title 10, United
States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 2491. Overseas commissary and exchange stores:
access and purchase restrictions
‘‘(a) GENERAL AUTHORITY.—The Secretary of De-
fense may establish restrictions on the ability of eligible
patrons of commissary and exchange stores located out-
side of the United States to purchase certain merchandise
items (or the quantity of certain merchandise items) oth-
erwise included within an authorized merchandise category
if the Secretary determines that such restrictions are nec-
essary to prevent the resale of such merchandise in viola-
tion of host nation laws or treaty obligations of the United
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States. In establishing a quantity or other restriction, the
Secretary shall ensure that the restriction is consistent
with the purpose of the overseas commissary and exchange
system to provide reasonable access for eligible patrons to
purchase merchandise items made in the United States.
‘‘(b) CONTROLLED ITEM LISTS.—For each location
outside the United States that is served by the commissary
system or the exchange system, the Secretary of Defense
may maintain a list of controlled merchandise items, ex-
cept that, after the date of the enactment of the National
Defense Authorization Act for Fiscal Year 1999, the Sec-
retary may not change the list to add a merchandise item
unless, before making the change, the Secretary submits
to Congress a notice of the proposed addition and the rea-
sons for the addition of the item.
‘‘(c) SPECIAL RULES FOR KOREA.—(1) The Sec-
retary of Defense may not prohibit a dependent who re-
sides in Korea, is at least 21 years of age, and is otherwise
eligible to use the commissary and exchange system, from
purchasing alcoholic beverages through the commissary
and exchange system. Quantity restrictions on the pur-
chase of alcoholic beverages may be imposed, and any such
restriction may be enforced through the use of an issued
ration control device, but a dependent may not be required
to sign for any purchase. A quantity restriction on malt
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beverages may not restrict purchases to fewer than eight
cases, of 24-units per case, per month. Daily or weekly
restrictions on malt beverage purchases may not be im-
posed. The purchase of malt beverages may be recorded
on a ration control device, but eligible patrons may not
be required to sign for any purchase.
‘‘(2) A dependent residing in Korea who is at least
18 years of age and otherwise eligible to use the com-
missary and exchange system may purchase tobacco prod-
ucts on the same basis as other eligible patrons of the
commissary and exchange system.
‘‘(3) Eligible patrons of the commissary and exchange
system who are traveling through a military air terminal
in Korea shall be authorized to the purchase sundry items,
including tobacco products, on a temporary basis during
the normal operating hours of commissary and exchange
stores operated in connection with the terminal.
‘‘(4) In applying restrictions to dependents of mem-
bers of the armed forces, the Secretary of Defense may
not differentiate between a dependent whose movement to
Korea was authorized at the expense of the United States
under section 406 of title 37 and other dependents resid-
ing in Korea.
‘‘(d) REPORTING REQUIREMENTS.—The Secretary of
Defense shall submit to Congress an annual report de-
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scribing the host nation laws and the treaty obligations
of the United States, and the conditions within host na-
tions, that necessitate the use of quantity or other restric-
tions on purchases in commissary and exchange stores lo-
cated outside the United States.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of such chapter is amended by adding
at the end the following new item:
‘‘2491. Overseas commissary and exchange stores: access and purchase restric-
tions.’’.
SEC. 345. EXTENSION OF DEMONSTRATION PROJECT FOR
UNIFORM FUNDING OF MORALE, WELFARE,
AND RECREATION ACTIVITIES.
Section 335 of the National Defense Authorization
Act for Fiscal Year 1996 (Public Law 104–106; 10 U.S.C.
2241 note) is amended—
(1) in subsection (c), by striking out ‘‘not later
than September 30, 1998’’ and inserting in lieu
thereof ‘‘on September 30, 1999’’; and
(2) in subsection (e)(2), by striking out ‘‘a final
report on the results’’ and inserting in lieu thereof
‘‘an additional report on the progress’’.
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SEC. 346. PROHIBITION ON CONSOLIDATION OR OTHER OR-
GANIZATIONAL CHANGES OF DEPARTMENT
OF DEFENSE RETAIL SYSTEMS.
(a) DEFENSE RETAIL SYSTEMS DEFINED.—For pur-
poses of this section, the term ‘‘defense retail systems’’
means the defense commissary system and exchange
stores and other revenue-generating facilities operated by
nonappropriated fund activities of the Department of De-
fense for the morale, welfare, and recreation of members
of the Armed Forces.
(b) PROHIBITION.—The operation and administra-
tion of the defense retail systems may not be consolidated
or otherwise changed, and a study or review may not be
commenced regarding the need for or merits of such a con-
solidation or change, unless the consolidation, change,
study, or review is specifically authorized by a law enacted
after the date of the enactment of this Act.
(c) EFFECT ON EXISTING STUDY.—Nothing in this
section shall be construed to prohibit the study of defense
retail systems, known as the ‘‘Joint Exchange Due Dili-
gence Study’’, which is underway on the date of the enact-
ment of this Act pursuant to a contract awarded by the
Department of the Navy on April 21, 1998, except that
any recommendation contained in the completed study re-
garding the operation or administration of the defense re-
tail systems may not be implemented unless implementa-
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tion of the recommendation is specifically authorized by
a law enacted after the date of the enactment of this Act.
SEC. 347. AUTHORIZED USE OF APPROPRIATED FUNDS FOR
RELOCATION OF NAVY EXCHANGE SERVICE
COMMAND.
The Navy Exchange Service Command is not re-
quired to reimburse the United States for appropriated
funds allotted to the Navy Exchange Service Command
during fiscal years 1994, 1995, and 1996 to cover costs
incurred by the Navy Exchange Service Command to relo-
cate to Virginia Beach, Virginia, and to lease headquarters
space in Virginia Beach.
SEC. 348. EVALUATION OF MERIT OF SELLING MALT BEV-
ERAGES AND WINE IN COMMISSARY STORES
AS EXCHANGE SYSTEM MERCHANDISE.
(a) PATRON SURVEY.—(1) The Secretary of Defense
shall enter into a contract with a commercial survey firm
to conduct a survey of eligible patrons of the commissary
store system to determine patron interest in having com-
missary stores sell malt beverages and wine as exchange
store merchandise.
(2) The survey shall be conducted at not less than
three military installations in the United States of each
of the Armed Forces (other than the Coast Guard).
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results of the demonstration project. The report shall in-
clude a description of patron views, the impact on com-
missary sales, the impact on exchange sales, and the im-
pact, if any, on dividends for morale, welfare, and recre-
ation activities.
(2) The report shall be submitted not later than
March 1, 2000.
(d) LIMITATION.—Nothing in this section shall be
construed to authorize the sale of malt beverages and wine
in commissary stores as commissary store inventory.
Subtitle F—Other Matters
SEC. 361. ELIGIBILITY REQUIREMENTS FOR ATTENDANCE
AT DEPARTMENT OF DEFENSE DOMESTIC DE-
PENDENT ELEMENTARY AND SECONDARY
SCHOOLS.
(a) DEPENDENTS OF MEMBERS RESIDING IN CER-
TAIN AREAS.—Subsection (a) of section 2164 of title 10,
United States Code, is amended—
(1) by inserting ‘‘(1)’’ before ‘‘If’’;
(2) by designating the second sentence as para-
graph (2); and
(3) by adding at the end of paragraph (2) (as
so designated) the following new sentence: ‘‘If a
member of the armed forces is assigned to a remote
location or is assigned to an unaccompanied tour of
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duty, a dependent of the member who resides, on or
off a military installation, in a territory, common-
wealth, or possession of the United States, as au-
thorized by the member’s orders, may be enrolled in
an educational program provided by the Secretary
under this subsection.’’.
(b) WAIVER OF FIVE-YEAR ATTENDANCE LIMITA-
TION.—Subsection (c)(2) of such section is amended by
striking out subparagraph (B) and inserting in lieu there-
of the following new subparagraph:
‘‘(B) At the discretion of the Secretary, a dependent
referred to in subparagraph (A) may be enrolled in the
program for more than five consecutive school years if the
dependent is otherwise qualified for enrollment, space is
available in the program, and the Secretary will be reim-
bursed for the services provided. Any such extension shall
cover only one school year at a time.’’.
SEC. 362. SPECIFIC EMPHASIS OF PROGRAM TO INVES-
TIGATE FRAUD, WASTE, AND ABUSE WITHIN
DEPARTMENT OF DEFENSE.
Section 392 of the National Defense Authorization
Act for Fiscal Year 1998 (Public Law 105–85; 10 U.S.C.
113 note) is amended by inserting before the period the
following: ‘‘and any fraud, waste, and abuse occurring in
connection with overpayments made to vendors by the De-
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partment of Defense, including overpayments identified
under section 354 of the National Defense Authorization
Act for Fiscal Year 1996 (Public Law 104–106; 10 U.S.C.
2461 note)’’.
SEC. 363. REVISION OF INSPECTION REQUIREMENTS RE-
LATING TO ARMED FORCES RETIREMENT
HOME.
Section 1518 of the Armed Forces Retirement Home
Act of 1991 (24 U.S.C. 418) is amended to read as fol-
lows:
‘‘SEC. 1518. INSPECTION OF RETIREMENT HOME.
‘‘(a) PERIODIC INSPECTION.—The Inspector Gen-
erals of the military departments shall conduct, at three-
year intervals, an inspection of the Retirement Home and
the records of the Retirement Home. Each inspection
under this subsection shall be performed by a single In-
spector General on an alternating basis.
‘‘(b) REPORT.—The Inspector General of a military
department who performs an inspection of the Retirement
Home under subsection (a) shall submit to the Retirement
Home Board, the Secretary of Defense, and Congress a
report describing the results of the inspection and contain-
ing such recommendations as the Inspector General con-
siders appropriate.’’.
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SEC. 364. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES
THAT BENEFIT DEPENDENTS OF MEMBERS
OF THE ARMED FORCES AND DEPARTMENT
OF DEFENSE CIVILIAN EMPLOYEES.
(a) CONTINUATION OF DEPARTMENT OF DEFENSE
PROGRAM FOR FISCAL YEAR 1999.—Of the amount au-
thorized to be appropriated pursuant to section 301(5) for
operation and maintenance for Defense-wide activities—
(1) $30,000,000 shall be available only for the
purpose of providing educational agencies assistance
(as defined in subsection (d)(1)) to local educational
agencies; and
(2) $5,000,000 shall be available only for the
purpose of making educational agencies payments
(as defined in subsection (d)(2)) to local educational
agencies.
(b) NOTIFICATION.—Not later than June 30, 1999,
the Secretary of Defense shall—
(1) notify each local educational agency that is
eligible for educational agencies assistance for fiscal
year 1999 of that agency’s eligibility for such assist-
ance and the amount of such assistance for which
that agency is eligible; and
(2) notify each local educational agency that is
eligible for an educational agencies payment for fis-
cal year 1999 of that agency’s eligibility for such
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payment and the amount of the payment for which
that agency is eligible.
(c) DISBURSEMENT OF FUNDS.—The Secretary of
Defense shall disburse funds made available under para-
graphs (1) and (2) of subsection (a) not later than 30
days after the date on which notification to the eligible
local educational agencies is provided pursuant to sub-
section (b).
(d) DEFINITIONS.—In this section:
(1) The term ‘‘educational agencies assistance’’
means assistance authorized under section 386(b) of
the National Defense Authorization Act for Fiscal
Year 1993 (Public Law 102–484; 20 U.S.C. 7703
note).
(2) The term ‘‘educational agencies payments’’
means payments authorized under section 386(d) of
the National Defense Authorization Act for Fiscal
Year 1993 (Public Law 102–484; 20 U.S.C. 7703
note).
(3) The term ‘‘local educational agency’’ has
the meaning given that term in section 8013(9) of
the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7713(9)).
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SEC. 365. STRATEGIC PLAN FOR EXPANSION OF DISTANCE
LEARNING INITIATIVES.
(a) DEVELOPMENT OF PLAN.—The Secretary of De-
fense shall develop a strategic plan for guiding and ex-
panding distance learning initiatives in the Department of
Defense. The strategic plan shall cover the five-year period
beginning on October 1, 1999.
(b) ELEMENTS OF PLAN.—The strategic plan re-
quired by this section shall contain at a minimum the fol-
lowing elements:
(1) Measurable goals and objectives, including
outcome-related performance indicators, for develop-
ing distance learning initiatives in the Department
that would be consistent with the principles of the
Government Performance and Results Act of 1993
(section 306 of title 5 and sections 1115 through
1119, 9703, and 9704 of title 31).
(2) A description of the manner in which dis-
tance learning initiatives will be developed and man-
aged in the Department.
(3) An estimate of the costs and benefits associ-
ated with developing and maintaining an infrastruc-
ture in the Department to support distance learning
initiatives and a statement of planned expenditures
for investments necessary to build and maintain the
infrastructure.
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(4) A description of mechanisms that will be
used to oversee the development and coordination of
distance learning initiatives in the Department.
(c) CONSIDERATION OF CURRENT EFFORT.—In de-
veloping the strategic plan required by this section, the
Secretary of Defense may recognize the collaborative dis-
tance learning effort of the Department of Defense and
other Federal agencies and private industry (known as the
Advanced Distribution Learning initiative), but the strate-
gic plan shall be specific to the goals and objectives of
the Department.
(d) SUBMISSION OF PLAN.—Not later than March 1,
1999, the Secretary of Defense shall submit to Congress
the completed strategic plan required by this section.
SEC. 366. PUBLIC AVAILABILITY OF OPERATING AGREE-
MENTS BETWEEN MILITARY INSTALLATIONS
AND FINANCIAL INSTITUTIONS.
With respect to an agreement between the com-
mander of a military installation in the United States (or
the designee of an installation commander) and a financial
institution that permits, allows, or otherwise authorizes
the provision of financial services by the financial institu-
tion on the military installation, nothing in the terms or
nature of such an agreement shall be construed to exempt
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the agreement from the provisions of sections 552 and
552a of title 5, United States Code.
SEC. 367. DEPARTMENT OF DEFENSE READINESS REPORT-
ING SYSTEM.
(a) ESTABLISHMENT OF SYSTEM.—(1) Chapter 2 of
title 10, United States Code, is amended by inserting after
section 116 the following new section:
‘‘§ 117. Readiness reporting system: establishment; re-
porting to congressional committees
‘‘(a) REQUIRED READINESS REPORTING SYSTEM.—
The Secretary of Defense shall establish a comprehensive
readiness reporting system for the Department of Defense.
The readiness reporting system shall measure in an objec-
tive, accurate, and timely manner the capability of the
armed forces to carry out—
‘‘(1) the National Security Strategy prescribed
by the President in the most recent annual national
security strategy report under section 108 of the
National Security Act of 1947 (50 U.S.C. 404a);
‘‘(2) the defense planning guidance provided by
the Secretary of Defense pursuant to section 113(g)
of this title; and
‘‘(3) the National Military Strategy prescribed
by the Chairman of the Joint Chiefs of Staff.
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‘‘(b) READINESS REPORTING SYSTEM CHARACTERIS-
TICS.—In establishing the readiness reporting system, the
Secretary shall ensure—
‘‘(1) that the readiness reporting system is ap-
plied uniformly throughout the Department of De-
fense;
‘‘(2) that information in the readiness reporting
system is continually updated, with any change in
the overall readiness status of a unit, of an element
of the training establishment, or an element of de-
fense infrastructure that is required to be reported
as part of the readiness reporting system shall be re-
ported within 24 hours of the event necessitating the
change in readiness status; and
‘‘(3) that sufficient resources are provided to
establish and maintain the system so as to allow re-
porting of changes in readiness status as required by
this section.
‘‘(c) CAPABILITIES.—The readiness reporting system
shall have the capability to do the following:
‘‘(1) Measure the capability of units (both as
elements of their respective armed force and as ele-
ments of joint forces) to conduct their assigned war-
time missions.
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‘‘(2) Measure the capability of training estab-
lishments to provide trained and ready forces for
wartime missions.
‘‘(3) Measure the capability of defense installa-
tions and facilities and other elements of Depart-
ment of Defense infrastructure, both in the United
States and abroad, to provide appropriate support to
forces in the conduct of their wartime missions.
‘‘(4) Measure critical warfighting deficiencies in
unit capability, training establishments, and defense
infrastructure.
‘‘(5) Measure the level of current risk based
upon the readiness reporting system relative to the
capability of forces to carry out their wartime mis-
sions.
‘‘(6) Measure such other factors relating to
readiness as the Secretary prescribes.
‘‘(d) PERIODIC JOINT READINESS REVIEW.—The
Chairman of the Joint Chiefs of Staff shall periodically,
and not less frequently than monthly, conduct a joint
readiness review. The Chairman shall incorporate into
each such review the current information derived from the
readiness reporting system and shall assess the capability
of the armed forces to execute their wartime missions
based upon their posture at the time of the review. The
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Chairman shall submit to the Secretary of Defense the re-
sults of each review, including the deficiencies in readiness
identified during that review.
‘‘(e) SUBMISSION
TO
CONGRESSIONAL
COMMIT-
TEES.—The Secretary shall each month submit to the
Committee on Armed Services and the Committee on Ap-
propriations of the Senate and the Committee on National
Security and the Committee on Appropriations of the
House of Representatives a report in writing containing
the complete results of each review under subsection (d)
during the preceding month, including the current infor-
mation derived from the readiness reporting system. Each
such report shall be submitted in unclassified form and
may, as the Secretary determines necessary, also be sub-
mitted in classified form.
‘‘(f) REGULATIONS.—The Secretary shall prescribe
regulations to carry out this section. In those regulations,
the Secretary shall prescribe the units that are subject to
reporting in the readiness reporting system, what type of
equipment is subject to such reporting, and the elements
of the training establishment and of defense infrastructure
that are subject to such reporting.’’.
(2) The table of sections at the beginning of such
chapter is amended by inserting after the item relating
to section 116 the following new item:
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‘‘117. Readiness reporting system: establishment; reporting to congressional
committees.’’.
(b) IMPLEMENTATION.—The Secretary of Defense
shall establish and implement the readiness reporting sys-
tem required by section 117 of title 10, United States
Code, as added by subsection (a), so as to ensure that
the capabilities required by subsection (c) of that section
are attained not later than July 1, 1999.
(c) IMPLEMENTATION PLAN.—Not later than March
1, 1999, the Secretary of Defense shall submit to Congress
a report setting forth the Secretary’s plan for implementa-
tion of section 117 of title 10, United States Code, as
added by subsection (a).
(d) REPEAL
OF QUARTERLY READINESS REPORT
REQUIREMENT.—Effective July 1, 1999, or the date on
which the first report of the Secretary of Defense is sub-
mitted under section 117(d) of title 10, United States
Code, as added by subsection (a), whichever is later—
(1) section 482 of title 10, United States Code,
is repealed; and
(2) the table of sections at the beginning of
chapter 23 of such title is amended by striking out
the item relating to that section.
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SEC. 368. TRAVEL BY RESERVISTS ON CARRIERS UNDER
CONTRACT WITH GENERAL SERVICES ADMIN-
ISTRATION.
(a) RESERVE USE OF FEDERAL SUPPLY TRANSPOR-
TATION.—Chapter 1217 of title 10, United States Code,
is amended by adding at the end the following new section:
‘‘§ 12603. Travel: use of carriers under contract with
General Services Administration
‘‘A member of a reserve component who requires
transportation in order to perform inactive duty training
may use a carrier under contract with the General Serv-
ices Administration to provide the transportation. The
transportation shall be provided by the carrier in the same
manner as transportation is provided to members of the
armed forces and civilian employees who are traveling at
Government expense, except that the Reserve is respon-
sible for the cost of the travel at the contract rate. The
Secretary concerned may require the Reserve to use a
Government approved travel card to ensure that the trans-
portation is procured for the purpose of performing inac-
tive duty training.’’.
(b) CLERICAL AMENDMENT.—The table of sections
for such chapter is amended by adding at the end the fol-
lowing new item:
‘‘12603. Travel: use of carriers under contract with General Services Adminis-
tration.’’.
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Subtitle G—Demonstration of Com-
mercial-Type Practices To Im-
prove Quality of Personal Prop-
erty Shipments
SEC. 381. DEMONSTRATION PROGRAM REQUIRED.
(a) IN GENERAL.—The Secretary of Defense shall
conduct a demonstration program, to be known as the
‘‘Commercial-Like Activities for Superior Quality Dem-
onstration Program’’, pursuant to this subtitle to test
commercial-style practices to improve the quality of per-
sonal property shipments within the Department of De-
fense.
(b) DEFINITIONS.—In this subtitle:
(1) The term ‘‘CLASS Demonstration Pro-
gram’’ means the Commercial-Like Activities for Su-
perior Quality Demonstration Program required by
subsection (a).
(2) The term ‘‘affiliated’’ means an entity that
is owned and controlled by another entity or an
independently owned entity whose day-to-day busi-
ness operations are controlled by another entity.
(3) The term ‘‘best value CLASS score’’ means
a weighted score that reflects an eligible provider’s
past performance rating score and the schedules of
charges for services provided.
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(4) The term ‘‘broker’’ means an entity, de-
scribed in section 13102(2) of title 49, United
States Code, that conducts operations on behalf of
the Military Traffic Management Command and
possesses appropriate authority from the Depart-
ment of Transportation or an appropriate State reg-
ulatory agency to arrange for the transportation of
personal property in interstate, intrastate, or foreign
commerce.
(5) The term ‘‘freight forwarder’’ means an en-
tity that provides the services described in section
13102(8) of title 49, United States Code, in inter-
state, intrastate, or foreign commerce and possesses
the authority to provide such services from the De-
partment of Transportation or an appropriate State
regulatory agency.
(6) The term ‘‘motor carrier’’ means an entity
that uses motor vehicles to transport personal prop-
erty in interstate, intrastate, or foreign commerce
and possesses the authority to provide such services
from the Department of Transportation or an appro-
priate State regulatory agency.
(7) The term ‘‘motor vehicles’’ has the meaning
given such term in section 13102(14) of title 49,
United States Code.
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(8) The term ‘‘move management services pro-
vider’’ means an entity that provides certain services
in connection with the shipment of the household
goods of a member of the Armed Forces, such as ar-
ranging, coordinating, and monitoring the shipment.
(9) The term ‘‘test plan’’ means the plan pre-
pared under section 384 for the conduct of the
CLASS Demonstration Program.
SEC. 382. GOALS OF DEMONSTRATION PROGRAM.
The goals of the CLASS Demonstration Program are
to—
(1) adopt commercial-style practices to improve
the quality of Department of Defense personal prop-
erty shipments within the United States and to for-
eign locations;
(2) adopt simplified acquisition procedures for
the selection of contractors qualified to provide var-
ious types of personal property shipping services and
for the award of individual orders to such contrac-
tors;
(3) assure ready access of the Department of
Defense to a sufficient number of qualified providers
of personal property shipping to permit timely ship-
ments during periods of high demand for such serv-
ices;
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(4) assure maximum practicable opportunities
for small business concerns to participate as prime
contractors rather than subcontractors;
(5) empower Installation Transportation Offi-
cers to assure that the personal property shipping
needs of individual members of the Armed Forces
are met in a timely manner by quality contractors
who minimize opportunities for damage; and
(6) provide for the expedited resolution of
claims for damaged or lost property through direct
settlement negotiations between the service provider
and the member of the Armed Forces who sustains
the loss, with commercial-like arbitration available to
the member with the assistance of the military de-
partment concerned.
SEC. 383. PROGRAM PARTICIPANTS.
(a) ELIGIBLE SERVICE PROVIDERS.—(1) Any motor
carrier, freight forwarder, or broker regularly providing
personal property shipping services that is approved by the
Military Traffic Management Command to provide such
services to the Department of Defense is eligible to partici-
pate in the CLASS Demonstration Program. A motor car-
rier providing domestic personal property shipping serv-
ices shall not be precluded from providing such services
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to international destinations through an affiliated freight
forwarder.
(2) If a motor carrier is affiliated with another motor
carrier or freight forwarder that also seeks qualification
to participate in the CLASS Demonstration Program, the
affiliate must demonstrate that it also conducts independ-
ent regular motor carrier operations using motor vehicles
or independent freight forwarding services described in
subparagraph (A), (B), or (C) of section 13102(8) of title
49, United States Code. If a freight forwarder is affiliated
with another freight forwarder or motor carrier that also
seeks qualification to participate in the program, the affili-
ate must demonstrate that it also conducts regular inde-
pendent operations.
(b) MOVE MANAGEMENT SERVICES PROVIDERS.—
The test plan may provide for the participation of a broker
providing move management services. A move manage-
ment service provider shall be compensated for providing
such services solely by the Department of Defense. The
test plan shall prohibit a move management services pro-
vider from obtaining a commission (or similar type of pay-
ment however denominated) from a motor carrier or
freight forwarder providing the personal property shipping
services.
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(c) DEMONSTRATION PROGRAM PARTICIPANTS.—Eli-
gible service providers shall be offered participation in the
CLASS Demonstration Program on the basis of their best
value CLASS score. Each eligible service provider’s best
value CLASS score shall be computed in a manner that
assigns 70 percent of the weighted average to the provid-
er’s past performance rating and 30 percent to the provid-
er’s offered prices.
SEC. 384. TEST PLAN.
(a) IN GENERAL.—The CLASS Demonstration Pro-
gram shall be conducted pursuant to a test plan.
(b) COMPONENTS OF THE TEST PLAN.—In addition
to such other matters as the Secretary of Defense consid-
ers appropriate, the test plan shall include the following
components:
(1) RATING PAST PERFORMANCE.—A past per-
formance rating score shall be developed for each eli-
gible service provider based on—
(A) evaluations from service members who
have received personal property shipping serv-
ices during a specified six-month rating period
prior to the commencement of the CLASS
Demonstration Program; or
(B) a rating of comparable personal prop-
erty shipping services provided to non-Depart-
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ment of Defense customers during the same
rating period, if an eligible provider did not
make a sufficient number of military personal
property shipments during the rating period to
be assigned a rating pursuant to subparagraph
(A).
(2) PARTICIPATION BY QUALITY SERVICE PRO-
VIDERS.—A minimum best value CLASS score shall
be established for participation in the CLASS Dem-
onstration Program. In establishing the minimum
score for participation, consideration shall be given
to assuring access to sufficient numbers of service
providers to meet the needs of members of the
Armed Forces during periods of high demand for
such personal property shipping services.
(3) SIMPLIFIED
ACQUISITION
PROCEDURES.—
The CLASS Demonstration Program shall make use
of simplified acquisition procedures similar to those
provided in section 2304(g)(1)(A) of title 10, United
States Code.
(4) PRICING.—The test plan shall specify pric-
ing policies to be met by the CLASS Demonstration
Program participants. The pricing policies shall re-
flect the following:
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(A) Domestic pricing shall be based on the
contemporary Household Goods Carriers Com-
mercial Tariff 400–M, or subsequent reissues
thereof, applicable to commercial domestic ship-
ments with discounts and adjustments for
States outside the continental United States.
(B) So-called single factor rates for inter-
national shipments.
(C) Full value protection for a shipment
based on the actual cash value of the contents
of the shipment with liability limited on a per
pound basis as well as a total-value basis.
(5) ALLOCATION OF ORDERS.—Orders to pro-
vide personal property shipping services shall be allo-
cated by the appropriate Installation Transportation
Officer taking into consideration—
(A) the service provider’s best value
CLASS score;
(B) maximum practicable utilization of
small business service providers;
(C) exceptional performance of a CLASS
Demonstration Program participant; and
(D) other criteria necessary to advance the
goals of the CLASS Demonstration Program,
except that carrier selection by a member of the
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Armed Forces using the CLASS Demonstration
Program shall be honored if the selection does
not conflict with subparagraph (A) or (B) and
the need to maintain adequate capacity.
(6) PERFORMANCE EVALUATION DURING THE
TERM
OF
THE
DEMONSTRATION
PROGRAM.—The
CLASS Demonstration Program shall provide for
procedures for evaluation of the Demonstration Pro-
gram participants by the members of the Armed
Forces furnished personal property shipping services
and by Installation Transportation Officers. To the
maximum extent practicable, such evaluations shall
be objective and quantifiable. The program partici-
pant shall be accorded the opportunity to review and
make comment on a performance evaluation pro-
vided by an individual in a manner that will not
deter candid evaluations by the individual. The re-
sults of this evaluation may be used in developing
future best value CLASS scores.
(7) 
MODERN
CUSTOMER
SERVICE
TECH-
NIQUES.—The 
CLASS 
Demonstration 
Program
shall maximize the testing of modern customer serv-
ice techniques, such as in-transit tracking of ship-
ments and service member communication with the
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service provider by means of toll-free telephone num-
bers.
(8) 
DIRECT
CLAIMS
SETTLEMENT
TECH-
NIQUES.—The 
CLASS 
Demonstration 
Program
shall provide for settlement of claims for personal
property lost or damaged directly with the firm pro-
viding the services. The procedures shall provide
for—
(A) acknowledgment of a claim by the
service provider within 30 days of receipt;
(B) provision of a settlement offer within
120 days;
(C) filing of a claim within nine months,
with appropriate extensions for extenuating cir-
cumstances relating to war or national emer-
gency that impair the ability of a member of
the Armed Forces to file a timely claim; and
(D) referring of an unsettled claim by the
member of the Armed Forces to a designated
claims officer for assistance in resolving the
claim or seeking commercial-like arbitration of
the claim, or both, if considered appropriate by
the claims officer.
(9) CRITERIA FOR EVALUATION OF THE OVER-
ALL
DEMONSTRATION
PROGRAM.—The 
CLASS
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Demonstration Program shall include the develop-
ment of criteria to evaluate the overall performance
and effectiveness of the CLASS demonstration pro-
gram.
(c) DEVELOPMENT IN COLLABORATION WITH IN-
DUSTRY.—In developing the test plan, the Secretary of
Defense shall maximize collaboration with representatives
of associations that represent all segments of the affected
industries. Special efforts shall be made to actively involve
those associations that represent small business providers
of personal property shipping services.
(d) OPPORTUNITY FOR PUBLIC COMMENT ON PRO-
POSED TEST PLAN.—Notice of the availability of the test
plan shall be published in the Federal Register and given
by other means likely to result in the notification of eligi-
ble service providers and associations that represent them.
Copies of the proposed test plan may be made available
in a printable electronic format. The public shall be af-
forded 60 days to comment on the proposed test plan.
SEC. 385. OTHER METHODS OF PERSONAL PROPERTY SHIP-
PING.
The CLASS Demonstration Program shall not impair
the access of a member of the Armed Forces to the ship-
ment of personal property through the programs known
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as the Do-It-Yourself Program or the Direct Procurement
Method Program.
SEC. 386. DURATION OF DEMONSTRATION PROGRAM.
The CLASS Demonstration Program shall commence
on the first day of the fiscal year quarter after the
issuance of the test plan in final form and terminate on
the last day of the fiscal year quarter after eight fiscal
year quarters of operation. The CLASS Demonstration
Program shall take the place of the re-engineering pilot
solicitation of the Military Traffic Management Command
identified as DAMTO1–97–R–3001.
SEC. 387. EVALUATION OF DEMONSTRATION PROGRAM.
(a) IN GENERAL.—The Secretary of Defense shall
provide for the evaluation the CLASS Demonstration Pro-
gram throughout the term of the program pursuant to the
evaluation criteria included in the test plan.
(b) INTERIM REPORTS.—The Secretary of Defense
shall issue such interim reports relating to the implemen-
tation of the CLASS Demonstration Program as may be
appropriate.
(c) FINAL REPORT.—The Secretary of Defense shall
issue a final report on the CLASS Demonstration Pro-
gram within 180 days before the termination date of the
program. The report may include recommendations for
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further implementation of the CLASS Demonstration Pro-
gram.
(d) CONGRESSIONAL RECIPIENTS.—The reports re-
quired by this section shall be furnished to the congres-
sional defense committees and the Committee on Small
Business of the Senate and the House of Representatives.
(e) PUBLIC AVAILABILITY.—The Secretary of De-
fense shall provide public notice of the availability of cop-
ies of the reports submitted to the congressional recipients
through a notice in the Federal Register and such other
means as may be appropriate. Copies of the reports may
be made available in a printable electronic format or in
a printed form.
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, 1999, as follows:
(1) The Army, 484,800.
(2) The Navy, 376,423.
(3) The Marine Corps, 173,922.
(4) The Air Force, 371,577.
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SEC. 402. REVISION IN PERMANENT END STRENGTH LEV-
ELS.
(a) REVISED END STRENGTH FLOORS.—Subsection
(b) of section 691 of title 10, United States Code, is
amended—
(1) in paragraph (1), by striking out ‘‘495,000’’
and inserting in lieu thereof ‘‘484,800’’;
(2) in paragraph (2), by striking out ‘‘390,802’’
and inserting in lieu thereof ‘‘376,423’’; and
(3) in paragraph (3), by striking out ‘‘174,000’’
and inserting in lieu thereof ‘‘173,922’’.
(b) REVISION TO FLEXIBILITY AUTHORITY FOR THE
ARMY.—Subsection (e) of such section is amended by
striking out ‘‘or, in the case of the Army, by not more
than 1.5 percent’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall take effect on October 1, 1998.
SEC. 403. DATE FOR SUBMISSION OF ANNUAL MANPOWER
REQUIREMENTS REPORT.
Section 115a(a) of title 10, United States Code, is
amended—
(1) by striking out ‘‘, not later than February
15 of each fiscal year,’’ in the first sentence; and
(2) by striking out ‘‘The report shall be in writ-
ing and’’ in the second sentence and inserting in lieu
thereof ‘‘The report shall be submitted each year not
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later than 30 days after the date on which the budg-
et for the next fiscal year is transmitted to Congress
pursuant to section 1105 of title 31, shall be in writ-
ing, and’’.
SEC. 404. EXTENSION OF AUTHORITY FOR CHAIRMAN OF
THE JOINT CHIEFS OF STAFF TO DESIGNATE
UP TO 12 GENERAL AND FLAG OFFICER POSI-
TIONS TO BE EXCLUDED FROM GENERAL
AND FLAG OFFICER GRADE LIMITATIONS.
Section 526(b)(2) of title 10, United States Code, is
amended by striking out ‘‘October 1, 1998’’ and inserting
in lieu thereof ‘‘October 1, 2001’’.
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
components as of September 30, 1999, as follows:
(1) The Army National Guard of the United
States, 357,000.
(2) The Army Reserve, 209,000.
(3) The Naval Reserve, 90,843.
(4) The Marine Corps Reserve, 40,018.
(5) The Air National Guard of the United
States, 106,991.
(6) The Air Force Reserve, 74,242.
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(7) The Coast Guard Reserve, 8,000.
(b) ADJUSTMENTS.—The end strengths prescribed by
subsection (a) for the Selected Reserve of any reserve com-
ponent 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
Reserve of such reserve component shall be proportion-
ately increased by the total authorized strengths of such
units and by the total number of such individual members.
SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE
DUTY IN SUPPORT OF THE RESERVES.
Within the end strengths prescribed in section
411(a), the reserve components of the Armed Forces are
authorized, as of September 30, 1999, the following num-
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ber of Reserves to be serving on full-time active duty or
full-time duty, in the case of members of the National
Guard, for the purpose of organizing, administering, re-
cruiting, instructing, or training the reserve components:
(1) The Army National Guard of the United
States, 21,763.
(2) The Army Reserve, 12,804.
(3) The Naval Reserve, 15,590.
(4) The Marine Corps Reserve, 2,362.
(5) The Air National Guard of the United
States, 10,930.
(6) The Air Force Reserve, 991.
SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS
(DUAL STATUS).
The minimum number of military technicians (dual
status) as of the last day of fiscal year 1999 for the re-
serve components of the Army and the Air Force (notwith-
standing section 129 of title 10, United States Code) shall
be the following:
(1) For the Army Reserve, 5,395.
(2) For the Army National Guard of the United
States, 23,125.
(3) For the Air Force Reserve, 9,761.
(4) For the Air National Guard of the United
States, 22,408.
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SEC. 414. INCREASE IN NUMBER OF MEMBERS IN CERTAIN
GRADES AUTHORIZED TO SERVE ON ACTIVE
DUTY IN SUPPORT OF THE RESERVES.
(a) OFFICERS.—The table in section 12011(a) of title
10, United States Code, is amended to read as follows:
‘‘Grade
Army
Navy
Air
Force
Marine
Corps
Major or Lieutenant Commander ...........................................
3,219
1,071
776
140
Lieutenant Colonel or Commander .........................................
1,524
520
672
Colonel or Navy Captain .........................................................
438
188
274
30’’.
(b) SENIOR ENLISTED MEMBERS.—The table in sec-
tion 12012(a) of such title is amended to read as follows:
‘‘Grade
Army
Navy
Air
Force
Marine
Corps
E–9 ..........................................................................................
623
202
388
E–8 ..........................................................................................
2,585
429
979
94’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall take efffect on October 1, 1998.
Subtitle C—Authorization of
Appropriations
SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILI-
TARY PERSONNEL.
There is hereby authorized to be appropriated to the
Department of Defense for military personnel for fiscal
year 1999 a total of $70,697,086,000. The authorization
in the preceding sentence supersedes any other authoriza-
tion of appropriations (definite or indefinite) for such pur-
pose for fiscal year 1999.
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TITLE V—MILITARY PERSONNEL
POLICY
Subtitle A—Officer Personnel
Policy
SEC. 501. CODIFICATION OF ELIGIBILITY OF RETIRED OFFI-
CERS AND FORMER OFFICERS FOR CONSID-
ERATION BY SPECIAL SELECTION BOARDS.
(a) PERSONS NOT CONSIDERED
BY PROMOTION
BOARDS DUE TO ADMINISTRATIVE ERROR.—Subsection
(a) of section 628 of title 10, United States Code, is
amended—
(1) by striking out paragraph (1) and inserting
in lieu thereof the following:
‘‘(a) PERSONS NOT CONSIDERED
BY PROMOTION
BOARDS DUE TO ADMINISTRATIVE ERROR.—(1) If the
Secretary of the military department concerned deter-
mines that because of administrative error a person who
should have been considered for selection for promotion
by a promotion board was not so considered, the Secretary
shall convene a special selection board under this sub-
section to determine whether that person (whether or not
then on active duty) should be recommended for pro-
motion.’’;
(2) in paragraph (2), by striking out ‘‘the offi-
cer as his record’’ in the first sentence and inserting
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in lieu thereof ‘‘the person whose name was referred
to it for consideration as that record’’; and
(3) in paragraph (3), by striking out ‘‘an officer
in a grade’’ and all that follows through ‘‘the offi-
cer’’ and inserting in lieu thereof ‘‘a person whose
name was referred to it for consideration for selec-
tion for appointment to a grade other than a general
officer or flag officer grade, the person’’.
(b) PERSONS CONSIDERED BY PROMOTION BOARDS
IN UNFAIR MANNER.—Subsection (b) of such section is
amended—
(1) by striking out paragraph (1) and inserting
in lieu thereof the following:
‘‘(b) PERSONS CONSIDERED BY PROMOTION BOARDS
IN UNFAIR MANNER.—(1) If the Secretary of the military
department concerned determines, in the case of a person
who was considered for selection for promotion by a pro-
motion board but was not selected, that there was material
unfairness with respect to that person, the Secretary may
convene a special selection board under this subsection to
determine whether that person (whether or not then on
active duty) should be recommended for promotion. In
order to determine that there was material unfairness, the
Secretary must determine that—
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‘‘(A) the action of the promotion board that
considered the person was contrary to law or in-
volved material error of fact or material administra-
tive error; or
‘‘(B) the board did not have before it for its
consideration material information.’’;
(2) in paragraph (2), by striking out ‘‘the offi-
cer as his record’’ in the first sentence and inserting
in lieu thereof ‘‘the person whose name was referred
to it for consideration as that record’’; and
(3) in paragraph (3)—
(A) by striking out ‘‘an officer’’ and insert-
ing in lieu thereof ‘‘a person’’; and
(B) by striking out ‘‘the officer’’ and in-
serting in lieu thereof ‘‘the person’’.
(c) CONFORMING AMENDMENTS.—(1) Subsection (c)
of such section is amended—
(A) by inserting ‘‘REPORTS
OF BOARDS.—’’
after ‘‘(c)’’;
(B) by striking out ‘‘officer’’ both places it ap-
pears in paragraph (1) and inserting in lieu thereof
‘‘person’’; and
(C) in paragraph (2), by adding the following
new sentence at the end: ‘‘However, in the case of
a board convened under this section to consider a
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warrant officer or former warrant officer, the provi-
sions of sections 576(d) and 576(f) of this title
(rather than the provisions of section 617(b) and
618 of this title) apply to the report and proceedings
of the board in the same manner as they apply to
the report and proceedings of a selection board con-
vened under section 573 of this title.’’.
(2) Subsection (d)(1) of such section is amended—
(A) by inserting ‘‘APPOINTMENT OF PERSONS
SELECTED BY BOARDS.—’’ after ‘‘(d)’’;
(B) by striking out ‘‘an officer’’ and inserting
in lieu thereof ‘‘a person’’;
(C) by striking out ‘‘such officer’’ and inserting
in lieu thereof ‘‘that person’’;
(D) by striking out ‘‘the next higher grade’’ the
second place it appears and inserting in lieu thereof
‘‘that grade’’;
(E) by adding at the end the following: ‘‘How-
ever, in the case of a board convened under this sec-
tion to consider a warrant officer or former warrant
officer, if the report of that board, as approved by
the Secretary concerned, recommends that warrant
officer or former warrant officer for promotion to
the next higher grade, that person shall, as soon as
practicable, be appointed to the next higher grade in
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accordance with provisions of section 578(c) of this
title (rather than subsections (b), (c), and (d) of sec-
tion 624 of this title).’’.
(3) Subsection (d)(2) of such section is amended—
(A) by striking out ‘‘An officer who is pro-
moted’’ and inserting in lieu thereof ‘‘A person who
is appointed’’;
(B) by striking out ‘‘such promotion’’ and in-
serting in lieu thereof ‘‘that appointment’’; and
(C) by adding at the end the following new sen-
tence: ‘‘In the case of a person who is not on the
active-duty list when appointed to the next higher
grade, placement of that person on the active-duty
list pursuant to the preceding sentence shall be only
for purposes of determination of eligibility of that
person for consideration for promotion by any subse-
quent special selection board under this section.’’.
(d) APPLICABILITY TO DECEASED PERSONS.—Sub-
section (e) of such section is amended to read as follows:
‘‘(e) DECEASED PERSONS.—If a person whose name
is being considered for referral to a special selection board
under this section dies before the completion of proceed-
ings under this section with respect to that person, this
section shall be applied to that person posthumously.’’.
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(e) RECODIFICATION
OF
ADMINISTRATIVE
MAT-
TERS.—Such section is further amended by adding at the
end the following::
‘‘(f) CONVENING OF BOARDS.—A board convened
under this section—
‘‘(1) shall be convened under regulations pre-
scribed by the Secretary of Defense;
‘‘(2) shall be composed in accordance with sec-
tion 612 of this title or, in the case of board to con-
sider a warrant officer or former warrant officer, in
accordance with section 573 of this title and regula-
tions prescribed by the Secretary of the military de-
partment concerned; and
‘‘(3) shall be subject to the provisions of section
613 of this title.
‘‘(g) PROMOTION BOARD DEFINED.—In this section,
the term ‘promotion board’ means a selection board con-
vened by the Secretary of a military department under sec-
tion 573(a) or 611(a) of this title.’’.
(f) RATIFICATION
OF CODIFIED PRACTICE.—The
consideration by a special selection board convened under
section 628 of title 10, United States Code, before the date
of the enactment of this Act of a person who, at the time
of consideration, was a retired officer or former officer of
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the Armed Forces (including a deceased retired or former
officer) is hereby ratified.
SEC. 502. COMMUNICATION TO PROMOTION BOARDS BY OF-
FICERS UNDER CONSIDERATION.
Section 614(b) of title 10, United States Code, is
amended by striking out ‘‘his case’’ and inserting in lieu
thereof ‘‘enhancing his case for selection for promotion’’.
SEC. 503. PROCEDURES FOR SEPARATION OF REGULAR OF-
FICERS FOR SUBSTANDARD PERFORMANCE
OF DUTY OR CERTAIN OTHER REASONS.
(a) ELIMINATION OF REQUIREMENT FOR A BOARD
OF REVIEW.—Section 1182(c) of title 10, United States
Code, is amended by striking out ‘‘it shall send the record
of its proceedings to a board of review convened under
section 1183 of this title’’ and inserting in lieu thereof
‘‘it shall report that determination to the Secretary con-
cerned’’;
(b) REPEAL OF BOARD OF REVIEW.—(1) Section
1183 of such title is repealed.
(2) The table of sections at the beginning of chapter
60 of such title is amended by striking out the item relat-
ing to section 1183.
(c) CONFORMING AMENDMENTS.—(1) Section 1184
of such title is amended by striking out ‘‘board of review
convened under section 1183 of this title’’ and inserting
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in lieu thereof ‘‘board of inquiry convened under section
1182 of this title’’.
(2) The heading of such section and the item relating
to such section in the table of sections at the beginning
of chapter 60 of such title are amended by striking out
the last two words.
(d) ELIMINATION
OF 30-DAY NOTICE REQUIRE-
MENT.—Section 1185(a)(1) of such title is amended by
striking out ‘‘, at least 30 days before the hearing of his
case by a board of inquiry,’’.
SEC. 504. POSTHUMOUS COMMISSIONS AND WARRANTS.
Section 1521 of title 10, United States Code, is
amended—
(1) by inserting ‘‘(whether before or after the
member’s death)’’ in subsection (a)(3) after ‘‘ap-
proved by the Secretary concerned’’; and
(2) by adding at the end of subsection (b) the
following new sentence: ‘‘In the case of a member to
whom subsection (a)(3) applies who dies before ap-
proval by the Secretary concerned of the appoint-
ment or promotion, the commission shall issue as of
the date of death.’’.
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SEC. 505. TENURE OF CHIEF OF THE AIR FORCE NURSE
CORPS.
Section 8069(b) of title 10, United States Code, is
amended by striking out ‘‘, but not for more than three
years, and may not be reappointed to the same position’’
in the last sentence.
Subtitle B—Reserve Component
Matters
SEC. 511. COMPOSITION OF SELECTIVE EARLY RETIRE-
MENT BOARDS OF RESERVE GENERAL AND
FLAG OFFICERS OF THE NAVY AND MARINE
CORPS.
Section 14705(b) of title 10, United States Code, is
amended to read as follows:
‘‘(b) BOARDS.—(1) If the Secretary of the Navy de-
termines that consideration of officers for early retirement
under this section is necessary, the Secretary shall convene
a continuation board under section 14101(b) of this title
to recommend an appropriate number of officers for early
retirement.
‘‘(2) In the case of such a board convened to consider
officers in the grade of rear admiral or major general—
‘‘(A) the Secretary may appoint the board with-
out regard to section 14102(b) of this title; and
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‘‘(B) each member of the board must be serving
in a grade higher than the grade of rear admiral or
major general.’’.
SEC. 512. ACTIVE STATUS SERVICE REQUIREMENT FOR
PROMOTION CONSIDERATION FOR ARMY AND
AIR FORCE RESERVE COMPONENT BRIGA-
DIER GENERALS.
Section 14301 of title 10, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(g) A reserve component brigadier general of the
Army or the Air Force who is in an inactive status is eligi-
ble (notwithstanding subsection (a)) for consideration for
promotion to major general by a promotion board con-
vened under section 14101(a) of this title if the officer—
‘‘(1) has been in an inactive status for less than
one year as of the date of the convening of the pro-
motion board; and
‘‘(2) had continuously served for at least one
year on the reserve active status list or the active
duty list (or a combination of both) immediately be-
fore the officer’s most recent transfer to an inactive
status.’’.
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SEC. 513. REVISION TO EDUCATIONAL REQUIREMENT FOR
PROMOTION OF RESERVE OFFICERS.
(a) EXTENSION FOR ARMY OCS GRADUATES.—Sec-
tion 12205(b)(4) of title 10, United States Code, is
amended by inserting after ‘‘October 1, 1995’’ the follow-
ing: ‘‘, or in the case of an officer commissioned through
the Army Officer Candidate School, October 1, 2000’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect as of October 1, 1995.
Subtitle C—Military Education and
Training
SEC. 521. REQUIREMENTS RELATING TO RECRUIT BASIC
TRAINING.
(a) ARMY.—(1) Chapter 401 of title 10, United
States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 4319. Recruit basic training: separate platoons and
separate housing for male and female re-
cruits
‘‘(a) SEPARATE PLATOONS.—The Secretary of the
Army shall require that during basic training—
‘‘(1) male recruits shall be assigned to platoons
consisting only of male recruits; and
‘‘(2) female recruits shall be assigned to pla-
toons consisting only of female recruits.
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‘‘(b) SEPARATE HOUSING FACILITIES.—The Sec-
retary of the Army shall require that during basic training
male and female recruits be housed in separate barracks
or other troop housing facilities.
‘‘(c) INTERIM AUTHORITY FOR HOUSING RECRUITS
ON SEPARATE FLOORS.—(1) If the Secretary of the Army
determines that it is not feasible, during some or all of
the period beginning on April 15, 1999, and ending on
October 1, 2001, to comply with subsection (b) at any par-
ticular installation at which basic training is conducted be-
cause facilities at that installation are insufficient for such
purpose, the Secretary may grant a waiver of subsection
(b) with respect to that installation. Any such waiver may
not be in effect after October 1, 2001, and may only be
in effect while the facilities at that installation are insuffi-
cient for the purposes of compliance with subsection (b).
‘‘(2) If the Secretary grants a waiver under para-
graph (1) with respect to an installation, the Secretary
shall require that male and female recruits in basic train-
ing at that installation during any period that the waiver
is in effect not be housed on the same floor of a barracks
or other troop housing facility.
‘‘(d) BASIC TRAINING DEFINED.—In this section, the
term ‘basic training’ means the initial entry training pro-
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gram of the Army that constitutes the basic training of
new recruits.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘4319. Recruit basic training: separate platoons and separate housing for male
and female recruits.’’.
(3) The Secretary of the Army shall implement sec-
tion 4319 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
(b) NAVY AND MARINE CORPS.—(1) Part III of sub-
title C of title 10, United States Code, is amended by in-
serting after chapter 601 the following new chapter:
‘‘CHAPTER 602—TRAINING GENERALLY
‘‘Sec.
‘‘6931. Recruit basic training: separate small units and separate housing for
male and female recruits.
‘‘§ 6931. Recruit basic training: separate small units
and separate housing for male and fe-
male recruits
‘‘(a) SEPARATE SMALL UNIT ORGANIZATION.—The
Secretary of the Navy shall require that during basic
training—
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‘‘(1) male recruits in the Navy shall be assigned
to divisions, and male recruits in the Marine Corps
shall be assigned to platoons, consisting only of male
recruits; and
‘‘(2) female recruits in the Navy shall be as-
signed to divisions, and female recruits in the Ma-
rine Corps shall be assigned to platoons, consisting
only of female recruits.
‘‘(b) SEPARATE HOUSING.—The Secretary of the
Navy shall require that during basic training male and fe-
male recruits be housed in separate barracks or other
troop housing facilities.
‘‘(c) INTERIM AUTHORITY FOR HOUSING RECRUITS
ON SEPARATE FLOORS.—(1) If the Secretary of the Navy
determines that it is not feasible, during some or all of
the period beginning on April 15, 1999, and ending on
October 1, 2001, to comply with subsection (b) at any par-
ticular installation at which basic training is conducted be-
cause facilities at that installation are insufficient for that
purpose, the Secretary may grant a waiver of subsection
(b) with respect to that installation. Any such waiver may
not be in effect after October 1, 2001, and may only be
in effect while the facilities at that installation are insuffi-
cient for the purposes of compliance with subsection (b).
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‘‘(2) If the Secretary grants a waiver under para-
graph (1) with respect to an installation, the Secretary
shall require that male and female recruits in basic train-
ing at that installation during any period that the waiver
is in effect not be housed on the same floor of a barracks
or other troop housing facility.
‘‘(d) BASIC TRAINING DEFINED.—In this section, the
term ‘basic training’ means the initial entry training pro-
grams of the Navy and Marine Corps that constitute the
basic training of new recruits.’’.
(2) The tables of chapters at the beginning of subtitle
C, and at the beginning of part III of subtitle C, of such
title are amended by inserting after the item relating to
chapter 601 the following new item:
‘‘602. Training Generally ................................................................. 6931’’.
(3) The Secretary of the Navy shall implement sec-
tion 6931 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
(c) AIR FORCE.—(1) Chapter 901 of title 10, United
States Code, is amended by adding at the end the follow-
ing new section:
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‘‘§ 9319. Recruit basic training: separate flights and
separate housing for male and female re-
cruits
‘‘(a) SEPARATE FLIGHTS.—The Secretary of the Air
Force shall require that during basic training—
‘‘(1) male recruits shall be assigned to flights
consisting only of male recruits; and
‘‘(2) female recruits shall be assigned to flights
consisting only of female recruits.
‘‘(b) SEPARATE HOUSING.—The Secretary of the Air
Force shall require that during basic training male and
female recruits be housed in separate dormitories or other
troop housing facilities.
‘‘(c) INTERIM AUTHORITY FOR HOUSING RECRUITS
ON SEPARATE FLOORS.—(1) If the Secretary of the Air
Force determines that it is not feasible, during some or
all of the period beginning on April 15, 1999, and ending
on October 1, 2001, to comply with subsection (b) at any
particular installation at which basic training is conducted
because facilities at that installation are insufficient for
such purpose, the Secretary may grant a waiver of sub-
section (b) with respect to that installation. Any such
waiver may not be in effect after October 1, 2001, and
may only be in effect while the facilities at that installation
are insufficient for the purposes of compliance with sub-
section (b).
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‘‘(2) If the Secretary grants a waiver under para-
graph (1) with respect to an installation, the Secretary
shall require that male and female recruits in basic train-
ing at that installation during any period that the waiver
is in effect not be housed on the same floor of a dormitory
or other troop housing facility.
‘‘(d) BASIC TRAINING DEFINED.—In this section, the
term ‘basic training’ means the initial entry training pro-
gram of the Air Force that constitutes the basic training
of new recruits.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘9319. Recruit basic training: separate flights and separate housing for male
and female recruits.’’.
(3) The Secretary of the Air Force shall implement
section 9319 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
SEC. 522. AFTER-HOURS PRIVACY FOR RECRUITS DURING
BASIC TRAINING.
(a) PURPOSE.—The purpose of this section is to en-
sure that military recruits are provided some degree of pri-
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vacy during basic training when in their barracks after
completion of the normal training day.
(b) ARMY.—(1) Chapter 401 of title 10, United
States Code, is amended by adding after section 4319, as
added by section 521(a)(1), the following new section:
‘‘§ 4320. Recruit basic training: privacy
‘‘The Secretary of the Army shall require that access
by drill sergeants and other training personnel to a bar-
racks floor on which recruits are housed during basic
training shall be limited after the end of the training day,
other than in the case of an emergency or other exigent
circumstance, to drill sergeants and other training person-
nel who are of the same sex as the recruits housed on
that floor.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding after the item relating to
section 4319, as added by section 521(a)(2), the following
new item:
‘‘4320. Recruit basic training: privacy.’’.
(3) The Secretary of the Army shall implement sec-
tion 4320 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
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(c) NAVY.—(1) Chapter 602 of title 10, United
States Code, as added by section 521(b)(1), is amended
by adding at the end the following new section:
‘‘§ 6932. Recruit basic training: privacy
‘‘The Secretary of the Navy shall require that access
by recruit division commanders and other training person-
nel to a barracks floor on which Navy recruits are housed
during basic training shall be limited after the end of the
training day, other than in the case of an emergency or
other exigent circumstance, to recruit division command-
ers and other training personnel who are of the same sex
as the recruits housed on that floor.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘6932. Recruit basic training: privacy.’’.
(3) The Secretary of the Navy shall implement sec-
tion 6932 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
(d) AIR FORCE.—(1) Chapter 901 of title 10, United
States Code, is amended by adding after section 9319, as
added by section 521(c)(1), the following new section:
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‘‘§ 9320. Recruit basic training: privacy
‘‘The Secretary of the Air Force shall require that
access by drill sergeants and other training personnel to
a dormitory floor on which recruits are housed during
basic training shall be limited after the end of the training
day, other than in the case of an emergency or other exi-
gent circumstance, to drill sergeants and other training
personnel who are of the same sex as the recruits housed
on that floor.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding after the item relating to
section 9312, as added by section 521(c)(2), the following
new item:
‘‘9320. Recruit basic training: privacy.’’.
(3) The Secretary of the Air Force shall implement
section 9320 of title 10, United States Code, as added by
paragraph (1), as rapidly as feasible and shall ensure that
the provisions of that section are applied to all recruit
basic training classes beginning not later than the first
such class that enters basic training on or after April 15,
1999.
SEC. 523. EXTENSION OF REPORTING DATES FOR COMMIS-
SION ON MILITARY TRAINING AND GENDER-
RELATED ISSUES.
(a) FIRST REPORT.—Subsection (e)(1) of section 562
of the National Defense Authorization Act for Fiscal Year
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1998 (Public Law 105–85; 111 Stat. 1754) is amended
by striking out ‘‘April 15, 1998’’ and inserting in lieu
thereof ‘‘October 15, 1998’’.
(b) FINAL REPORT.—Subsection (e)(2) of such sec-
tion is amended by striking out ‘‘September 16, 1998’’
and inserting in lieu thereof ‘‘March 15, 1999’’.
SEC. 524. IMPROVED OVERSIGHT OF INNOVATIVE READI-
NESS TRAINING.
(a) IN GENERAL.—Section 2012 of title 10, United
States Code, is amended by adding at the end the follow-
ing new subsection:
‘‘(j) OVERSIGHT AND COST ACCOUNTING.—The Sec-
retary of Defense shall establish a program to improve the
oversight and cost accounting of training projects con-
ducted in accordance with this section. The program shall
include measures to accomplish the following:
‘‘(1) Ensure that each project that is proposed
to be conducted in accordance with this section (re-
gardless of whether additional funding from the Sec-
retary of Defense is sought) is requested in writing,
reviewed for full compliance with this section, and
approved in advance of initiation by the Secretary of
the military department concerned and, in the case
of a project that seeks additional funding from the
Secretary of Defense, by the Secretary of Defense.
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‘‘(2) Ensure that each project that is conducted
in accordance with this section is required to pro-
vide, within a specified period following completion
of the project, an after-action report to the Sec-
retary of Defense.
‘‘(3) Require that each application for a project
to be conducted in accordance with this section in-
clude an analysis and certification that the proposed
project would not result in a significant increase in
the cost of training (as determined in accordance
with procedures prescribed by the Secretary of De-
fense).
‘‘(4) Determine the total program cost for each
project, including both those costs that are borne by
the military departments from their own accounts
and those costs that are borne by defense-wide ac-
counts.
‘‘(5) Provide for oversight of project execution
to ensure that a training project under this section
is carried out in accordance with the proposal for
that project as approved.’’.
(b) IMPLEMENTATION.—The Secretary of Defense
may not initiate any project under section 2012 of title
10, United States Code, after October 1, 1998, until the
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program required by subsection (i) of that section (as
added by subsection (a)) has been established.
Subtitle D—Decorations, Awards,
and Commendations
SEC. 531. STUDY OF NEW DECORATIONS FOR INJURY OR
DEATH IN LINE OF DUTY.
(a) DETERMINATION OF CRITERIA FOR NEW DECO-
RATION.—(1) The Secretary of Defense shall determine
the appropriate name, policy, award criteria, and design
for two possible new decorations.
(2) The first such decoration would, if implemented,
be awarded to members of the Armed Forces who, while
serving under competent authority in any capacity with
the Armed Forces, are killed or injured in the line of duty
as a result of noncombat circumstances occurring—
(A) as a result of an international terrorist at-
tack against the United States or a foreign nation
friendly to the United States;
(B) while engaged in, training for, or traveling
to or from a peacetime or contingency operation; or
(C) while engaged in, training for, or traveling
to or from service outside the territory of the United
States as part of a peacekeeping force.
(3) The second such decoration would, if imple-
mented, be awarded to civilian nationals of the United
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States who, while serving under competent authority in
any capacity with the Armed Forces, are killed or injured
in the line of duty under circumstances which, if they were
members of the Armed Forces, would qualify them for
award of the Purple Heart or the medal described in para-
graph (2).
(b) LIMITATION ON IMPLEMENTATION.—Any such
decoration may only be implemented as provided by a law
enacted after the date of the enactment of this Act.
(c) RECOMMENDATION
TO CONGRESS.—Not later
than July 31, 1999, the Secretary shall submit to Con-
gress a legislative proposal that would, if enacted, estab-
lish the new decorations developed pursuant to subsection
(a). The Secretary shall include with that proposal the
Secretary’s recommendation concerning the need for, and
propriety of, each of the decorations.
(d) COORDINATION.—The Secretary shall carry out
this section in coordination with the Secretaries of the
military departments and the Secretary of Transportation
with regard to the Coast Guard.
SEC. 532. WAIVER OF TIME LIMITATIONS FOR AWARD OF
CERTAIN DECORATIONS TO SPECIFIED PER-
SONS.
(a) WAIVER OF TIME LIMITATION.—Any limitation
established by law or policy for the time within which a
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recommendation for the award of a military decoration or
award must be submitted shall not apply in the case of
awards of decorations described in subsection (b), the
award of each such decoration having been determined by
the Secretary of the military department concerned to be
warranted in accordance with section 1130 of title 10,
United States Code.
(b) DISTINGUISHED FLYING CROSS.—Subsection (a)
applies to awards of the Distinguished Flying Cross for
service during World War II or Korea (including multiple
awards to the same individual) in the case of each individ-
ual concerning whom the Secretary of the Navy (or an
officer of the Navy acting on behalf of the Secretary) sub-
mitted to the Committee on National Security of the
House of Representatives and the Committee on Armed
Services of the Senate, before the date of the enactment
of this Act, a notice as provided in section 1130(b) of title
10, United States Code, that the award of the Distin-
guished Flying Cross to that individual is warranted and
that a waiver of time restrictions prescribed by law for
recommendation for such award is recommended.
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SEC. 533. COMMENDATION OF THE NAVY AND MARINE
CORPS PERSONNEL WHO SERVED IN THE
UNITED STATES NAVY ASIATIC FLEET FROM
1910–1942.
(a) FINDINGS.—Congress makes the following find-
ings:
(1) The United States established the Asiatic
Fleet of the Navy in 1910 to protect American na-
tionals, policies, and possessions in the Far East.
(2) The sailors and Marines of the Asiatic Fleet
ensured the safety of United States citizens and for-
eign nationals, and provided humanitarian assistance
in that region during the Chinese civil war, the
Yangtze Flood of 1931, and the outbreak of Sino-
Japanese hostilities.
(3) In 1940, due to deteriorating political rela-
tions and increasing tensions between the United
States and Japan, a reinforced Asiatic Fleet began
concentrating on the defense of the Philippines and
engaged in extensive training to ensure maximum
operational readiness for any eventuality.
(4) Following the declaration of war against
Japan in December 1941, the warships, submarines,
and aircraft of the Asiatic Fleet singly or in task
forces courageously fought many battles against a
superior Japanese armada.
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(5) The Asiatic Fleet directly suffered the loss
of 22 vessels, 1,826 men killed or missing in action,
and 518 men captured and imprisoned under the
worst of conditions, with many of them dying while
held as prisoners of war.
(b) CONGRESSIONAL COMMENDATION.—Congress—
(1) commends the Navy and Marine Corps per-
sonnel who served in the Asiatic Fleet of the United
States Navy between 1910 and 1942; and
(2) honors those who gave their lives in the line
of duty while serving in the Asiatic Fleet.
SEC. 534. APPRECIATION FOR SERVICE DURING WORLD
WAR I AND WORLD WAR II BY MEMBERS OF
THE NAVY ASSIGNED ON BOARD MERCHANT
SHIPS AS THE NAVAL ARMED GUARD SERV-
ICE.
(a) FINDINGS.—Congress makes the following find-
ings:
(1) The Navy established a special force during
both World War I and World War II, known as the
Naval Armed Guard Service, to protect merchant
ships of the United States from enemy attack by
stationing members of the Navy and weapons on
board those ships.
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(2) Members of the Naval Armed Guard Service
served on 6,236 merchant ships during World War
II, of which 710 were sunk by enemy action.
(3) Over 144,900 members of the Navy served
in the Naval Armed Guard Service during World
War II as officers, gun crewmen, signalmen, and ra-
diomen, of whom 1,810 were killed in action.
(4) The efforts of the members of the Naval
Armed Guard Service played a significant role in the
safe passage of United States merchant ships to
their destinations in the Soviet Union and various
locations in western Europe and the Pacific Theater.
(5) The efforts of the members of the Navy who
served in the Naval Armed Guard Service have been
largely overlooked due to the rapid disbanding of the
service after World War II and lack of adequate
records.
(6) Recognition of the service of the naval per-
sonnel who served in the Naval Armed Guard Serv-
ice is highly warranted and long overdue.
(b) SENSE OF THE CONGRESS.—Congress expresses
its appreciation, and the appreciation of the American peo-
ple, for the dedicated service performed during World War
I and World War II by members of the Navy assigned
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as gun crews on board merchant ships as part of the Naval
Armed Guard Service.
SEC. 535. SENSE OF THE CONGRESS REGARDING THE HER-
OISM, SACRIFICE, AND SERVICE OF THE MILI-
TARY FORCES OF SOUTH VIETNAM, OTHER
NATIONS, AND INDIGENOUS GROUPS IN CON-
NECTION WITH THE UNITED STATES ARMED
FORCES DURING THE VIETNAM CONFLICT.
(a) FINDINGS.—Congress finds the following:
(1) South Vietnam, Australia, South Korea,
Thailand, New Zealand, and the Philippines contrib-
uted military forces, together with the United
States, during military operations conducted in
Southeast Asia during the Vietnam conflict.
(2) Indigenous groups, such as the Hmong,
Nung, Montagnard, Kahmer, Hoa Hao, and Cao Dai
contributed military forces, together with the United
States, during military operations conducted in
Southeast Asia during the Vietnam conflict.
(3) The contributions of these combat forces
continued through long years of armed conflict.
(4) As a result, in addition to the United States
casualties exceeding 210,000, this willingness to par-
ticipate in the Vietnam conflict resulted in the
death, and wounding of more than 1,000,000 mili-
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tary personnel from South Vietnam and 16,000 from
other allied nations.
(5) The service of the Vietnamese, indigenous
groups, and other allied nations was repeatedly
marked by exceptional heroism and sacrifice, with
particularly noteworthy contributions being made by
the Vietnamese airborne, commando, infantry and
ranger units, the Republic of Korea marines, the
Capital and White Horse divisions, the Royal Thai
Army Black Panther Division, the Royal Australian
Regiment, the New Zealand ‘‘V’’ force, and the 1st
Philippine Civic Action Group.
(b) SENSE OF THE CONGRESS.—Congress recognizes
and honors the members and former members of the mili-
tary forces of South Vietnam, the Republic of Korea,
Thailand, Australia, New Zealand, and the Philippines, as
well as members of the Hmong, Nung, Montagnard,
Kahmer, Hoa Hao, and Cao Dai, for their heroism, sac-
rifice and service in connection with United States Armed
Forces during the Vietnam conflict.
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SEC. 536. SENSE OF THE CONGRESS REGARDING THE HER-
OISM, SACRIFICE, AND SERVICE OF FORMER
SOUTH VIETNAMESE COMMANDOS IN CON-
NECTION 
WITH 
UNITED 
STATES 
ARMED
FORCES DURING THE VIETNAM CONFLICT.
(a) FINDINGS.—Congress finds the following:
(1) South Vietnamese commandos were re-
cruited by the United States as part of OPLAN 34A
or its predecessor or OPLAN 35 from 1961 to 1970.
(2) The commandos conducted covert oper-
ations in North Vietnam during the Vietnam con-
flict.
(3) Many of the commandos were captured and
imprisoned by North Vietnamese forces, some for as
long as 20 years.
(4) The commandos served and fought proudly
during the Vietnam conflict.
(5) Many of the commandos lost their lives
serving in operations conducted by the United States
during the Vietnam conflict.
(6) Many of the Vietnamese commandos now
reside in the United States.
(b) SENSE OF THE CONGRESS—Congress recognizes
and honors the former South Vietnamese commandos for
their heroism, sacrifice, and service in connection with
United States armed forces during the Vietnam conflict.
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Subtitle 
E—Administration 
of
Agencies Responsible for Re-
view and Correction of Military
Records
SEC. 541. PERSONNEL FREEZE.
(a) LIMITATION.—During fiscal years 1999, 2000,
and 2001, the Secretary of a military department may not
carry out any reduction in the number of military and ci-
vilian personnel assigned to duty with the service review
agency for that military department below the baseline
number for that agency until—
(1) the Secretary submits to Congress a report
that describes the reduction proposed to be made,
provides the Secretary’s rationale for that reduction,
and specifies the number of such personnel that
would be assigned to duty with that agency after the
reduction; and
(2) a period of 90 days has elapsed after the
date on which such report is submitted.
(b) BASELINE NUMBER.—The baseline number for a
service review agency under this section is—
(1) for purposes of the first report with respect
to a service review agency under this section, the
number of military and civilian personnel assigned to
duty with that agency as of October 1, 1997; and
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(2) for purposes of any subsequent report with
respect to a service review agency under this section,
the number of such personnel specified in the most
recent report with respect to that agency under this
section.
(c) SERVICE REVIEW AGENCY DEFINED.—In this
section, the term ‘service review agency’ means—
(1) with respect to the Department of the
Army, the Army Review Boards Agency;
(2) with respect to the Department of the
Navy, the Board for Correction of Naval Records;
and
(3) with respect to the Department of the Air
Force, the Air Force Review Boards Agency.
SEC. 542. PROFESSIONAL STAFF.
(a) IN GENERAL.—(1) Chapter 79 of title 10, United
States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 1555. Professional staff
‘‘(a) The Secretary of each military department shall
assign to the staff of the service review agency of that
military department at least one attorney and at least one
physician. Such assignments shall be made on a perma-
nent, full-time basis and may be made from members of
the armed forces or civilian employees.
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‘‘(b) Personnel assigned pursuant to subsection (a)—
‘‘(1) shall work under the supervision of the di-
rector or executive director (as the case may be) of
the service review agency; and
‘‘(2) shall be assigned duties as advisers to the
director or executive director or other staff members
on legal and medical matters, respectively, that are
being considered by the agency.
‘‘(c) In this section, the term ‘service review agency’
means—
‘‘(1) with respect to the Department of the
Army, the Army Review Boards Agency;
‘‘(2) with respect to the Department of the
Navy, the Board for Correction of Naval Records;
and
‘‘(3) with respect to the Department of the Air
Force, the Air Force Review Boards Agency.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘1555. Professional staff.’’.
(b) EFFECTIVE DATE.—Section 1555 of title 10,
United States Code, as added by subsection (a), shall take
effect 180 days after the date of the enactment of this
Act.
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SEC. 543. EX PARTE COMMUNICATIONS.
(a) IN GENERAL.—(1) Chapter 79 of title 10, United
States Code, is amended by adding after section 1555, as
added by section 542(a)(1), the following new section:
‘‘§ 1556. Ex parte communications prohibited
‘‘(a) IN GENERAL.—The Secretary of each military
department shall ensure that an applicant seeking correc-
tive action by the Army Review Boards Agency, the Air
Force Review Boards Agency, or the Board for Correction
of Naval Records, as the case may be, is provided a copy
of all correspondence and communications (including sum-
maries of verbal communications) to or from the agency
or board, or a member of the staff of the agency or board,
with an entity or person outside the agency or board that
pertain directly to the applicant’s case or have a material
effect on the applicant’s case.
‘‘(b) EXCEPTIONS.—Subsection (a) does not apply to
the following:
‘‘(1) Classified information.
‘‘(2) Information the release of which is other-
wise prohibited by law or regulation.
‘‘(3) Any record previously provided to the ap-
plicant or known to be possessed by the applicant.
‘‘(4) Any correspondence that is purely admin-
istrative in nature.
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‘‘(5) Any military record that is (or may be)
provided to the applicant by the Secretary of the
military department or other source.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding after the item relating to
1555, as added by section 542(a)(2), the following new
item:
‘‘1556. Ex parte communications prohibited.’’.
(b) EFFECTIVE DATE.—Section 1556 of title 10,
United States Code, as added by subsection (a), shall
apply with respect to correspondence and communications
made 60 days or more after the date of the enactment
of this Act.
SEC. 544. TIMELINESS STANDARDS.
(a) IN GENERAL.—Chapter 79 of title 10, United
States Code, is amended by adding after section 1556, as
added by section 543(a)(1), the following new section:
‘‘§ 1557. Timeliness standards for disposition of cases
before Corrections Boards
‘‘(a) TEN-MONTH CLEARANCE PERCENTAGE.—Of
the cases accepted for consideration by a Corrections
Board during a period specified in the following table, the
percentage on which final action must be completed within
10 months of receipt (other than for those cases consid-
ered suitable for administrative correction) is as follows:
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The percentage on which final
‘‘For cases accepted
action must be completed
during—
within 10 months of receipt
is—
the period of fiscal years 2001 and 2002 ................................
the period of fiscal years 2003 and 2004 ................................
the period of fiscal years 2005, 2006, and 2007 .....................
the period of fiscal years 2008, 2009, and 2010 .....................
the period of any fiscal year after fiscal year 2010 .................
90.
‘‘(b) CLEARANCE DEADLINE FOR ALL CASES.—Ef-
fective October 1, 2002, final action on all cases accepted
for consideration by a Corrections Board (other than those
cases considered suitable for administrative correction)
shall be completed within 18 months of receipt.
‘‘(c) WAIVER AUTHORITY.—The Secretary of the
military department concerned may exclude an individual
case from the timeliness standards prescribed in sub-
sections (a) and (b) if the Secretary determines that the
case warrants a longer period of consideration. The au-
thority of the Secretary of a military department under
this subsection may not be delegated.
‘‘(d) REPORTS ON FAILURE TO MEET TIMELINESS
STANDARDS.—The Secretary of the military department
concerned shall submit to the Committee on Armed Serv-
ices of the Senate and the Committee on National Security
of the House of Representatives a report not later than
June 1 following any fiscal year during which the Correc-
tions Board of that Secretary’s military department was
unable to meet the timeliness standards in subsections (a)
and (b). The report shall specify the reasons why the
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standard could not be met and the corrective actions initi-
ated to ensure compliance in the future. The report shall
also specify the number of waivers granted under sub-
section (c) during that fiscal year.
‘‘(e) CORRECTIONS BOARD DEFINED.—In this sec-
tion, the term ‘Corrections Board’ means—
‘‘(1) with respect to the Department of the
Army, the Army Board for Correction of Military
Records;
‘‘(2) with respect to the Department of the
Navy, the Board for Correction of Naval Records;
and
‘‘(3) with respect to the Department of the Air
Force, the Air Force Board for Correction of Mili-
tary Records.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of such chapter is amended by adding
after the item relating to section 1556, as added by section
543(a)(2), the following new item:
‘‘1557. Timeliness standards for disposition of cases before Corrections
Boards.’’.
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Subtitle F—Other Matters
SEC. 551. ONE-YEAR EXTENSION OF CERTAIN FORCE DRAW-
DOWN TRANSITION AUTHORITIES RELATING
TO PERSONNEL MANAGEMENT AND BENE-
FITS.
(a) EARLY RETIREMENT AUTHORITY FOR ACTIVE
DUTY MEMBERS.—Section 4403(i) of the National De-
fense Authorization Act for Fiscal Year 1993 (Public Law
102–484; 10 U.S.C. 1293 note) is amended by striking
out ‘‘October 1, 1999’’ and inserting in lieu thereof ‘‘Octo-
ber 1, 2000’’.
(b) 
SSB 
AND
VSI.—Sections 
1174a(h) 
and
1175(d)(3) of title 10, United States Code, are amended
by striking out ‘‘September 30, 1999’’ and inserting in
lieu thereof ‘‘September 30, 2000’’.
(c) SELECTIVE EARLY RETIREMENT BOARDS.—Sec-
tion 638a(a) of such title is amended by striking out ‘‘dur-
ing the nine-year period beginning on October 1, 1990’’
and inserting in lieu thereof ‘‘during the period beginning
on October 1, 1990, and ending on September 30, 2000’’.
(d) TIME-IN-GRADE REQUIREMENT FOR RETENTION
OF GRADE UPON VOLUNTARY RETIREMENT.—Section
1370(a)(2)(A) of such title is amended by striking out
‘‘during the nine-year period beginning on October 1,
1990’’ and inserting in lieu thereof ‘‘during the period be-
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ginning on October 1, 1990, and ending on September 30,
2000’’.
(e) LENGTH OF COMMISSIONED SERVICE FOR VOL-
UNTARY
RETIREMENT
AS
AN
OFFICER.—Sections
3911(b), 6323(a)(2), and 8911(b) of such title are amend-
ed by striking out ‘‘during the nine-year period beginning
on October 1, 1990’’ and inserting in lieu thereof ‘‘during
the period beginning on October 1, 1990, and ending on
September 30, 2000’’.
(f) RETIREMENT OF CERTAIN LIMITED DUTY OFFI-
CERS OF THE NAVY AND MARINE CORPS.—(1) Sections
633 and 634 of such title are amended by striking out
‘‘October 1, 1999’’ in the last sentence and inserting in
lieu thereof ‘‘October 1, 2000’’.
(2) Section 6383 of such title is amended—
(A) in subsection (a)(5), by striking out ‘‘Octo-
ber 1, 1999’’ and inserting in lieu thereof ‘‘October
1, 2000’’; and
(B) in subsection (k), by striking out ‘‘October
1, 1999’’ in the last sentence and inserting in lieu
thereof ‘‘October 1, 2000’’.
(g) TRAVEL
AND TRANSPORTATION ALLOWANCES
AND STORAGE OF BAGGAGE AND HOUSEHOLD EFFECTS
FOR CERTAIN MEMBERS BEING INVOLUNTARILY SEPA-
RATED.—Sections 
404(c)(1)(C), 
404(f)(2)(B)(v),
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406(a)(2)(B)(v), and 406(g)(1)(C) of title 37, United
States Code, and section 503(c) of the National Defense
Authorization Act for Fiscal Year 1991 (Public Law 101–
510; 37 U.S.C. 406 note) are amended by striking out
‘‘during the nine-year period beginning on October 1,
1990’’ and inserting in lieu thereof ‘‘during the period be-
ginning on October 1, 1990, and ending on September 30,
2000’’.
(h) EDUCATIONAL LEAVE RELATING TO CONTINU-
ING PUBLIC AND COMMUNITY SERVICE.—Section 4463(f)
of the National Defense Authorization Act for Fiscal Year
1993 (Public Law 102–484; 10 U.S.C. 1143a note) is
amended by striking out ‘‘September 30, 1999’’ and in-
serting in lieu thereof ‘‘September 30, 2000’’.
(i) TRANSITIONAL HEALTH, COMMISSARY, AND FAM-
ILY HOUSING BENEFITS.—
(1) HEALTH CARE.—Section 1145 of title 10,
United States Code, is amended—
(A) in subsections (a)(1) and (c)(1), by
striking out ‘‘during the nine-year period begin-
ning on October 1, 1990’’ and inserting in lieu
thereof ‘‘during the period beginning on Octo-
ber 1, 1990, and ending on September 30,
2000’’; and
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(B) in subsection (e), by striking out ‘‘dur-
ing the five-year period beginning on October 1,
1994’’ and inserting in lieu thereof ‘‘during the
period beginning on October 1, 1994, and end-
ing on September 30, 2000’’.
(2) COMMISSARY AND EXCHANGE BENEFITS.—
Section 1146 of such title is amended—
(A) by striking out ‘‘during the nine-year
period beginning on October 1, 1990’’ and in-
serting in lieu thereof ‘‘during the period begin-
ning on October 1, 1990, and ending on Sep-
tember 30, 2000’’; and
(B) by striking out ‘‘during the five-year
period beginning on October 1, 1994’’ and in-
serting in lieu thereof ‘‘during the period begin-
ning on October 1, 1994, and ending on Sep-
tember 30, 2000’’.
(3) USE
OF
MILITARY
HOUSING.—Section
1147(a) of such title is amended—
(A) in paragraph (1), by striking out ‘‘dur-
ing the nine-year period beginning on October
1, 1990’’ and inserting in lieu thereof ‘‘during
the period beginning on October 1, 1990, and
ending on September 30, 2000’’; and
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(B) in paragraph (2), by striking out ‘‘dur-
ing the five-year period beginning on October 1,
1994’’ and inserting in lieu thereof ‘‘during the
period beginning on October 1, 1994, and end-
ing on September 30, 2000’’.
(j) ENROLLMENT OF DEPENDENTS IN DEFENSE DE-
PENDENTS’ EDUCATION SYSTEM.—Section 1407(c)(1) of
the Defense Dependents’ Education Act of 1978 (20
U.S.C. 926(c)(1)) is amended by striking out ‘‘during the
nine-year period beginning on October 1, 1990’’ and in-
serting in lieu thereof ‘‘during the period beginning on Oc-
tober 1, 1990, and ending on September 30, 2000’’.
(k) FORCE REDUCTION TRANSITION PERIOD DEFI-
NITION.—Section 4411 of the National Defense Author-
ization Act for Fiscal Year 1993 (10 U.S.C. 12681 note)
is amended by striking out ‘‘September 30, 1999’’ and in-
serting in lieu thereof ‘‘September 30, 2000’’.
(l) TEMPORARY SPECIAL AUTHORITY FOR FORCE
REDUCTION PERIOD RETIREMENTS.—Section 4416(b)(1)
of the National Defense Authorization Act for Fiscal Year
1993 (10 U.S.C. 12681 note) is amended by striking out
‘‘October 1, 1999’’ and inserting in lieu thereof ‘‘October
1, 2000’’.
(m) RETIRED PAY FOR NON-REGULAR SERVICE.—
(1) Section 12731(f) of title 10, United States Code, is
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amended by striking out ‘‘September 30, 1999’’ and in-
serting in lieu thereof ‘‘September 30, 2000’’.
(2) Section 12731a of such title is amended in sub-
sections (a)(1)(B) and (b), by striking out ‘‘October 1,
1999’’ and inserting in lieu thereof ‘‘October 1, 2000’’.
(n) AFFILIATION
WITH
GUARD
AND
RESERVE
UNITS; WAIVER
OF
CERTAIN
LIMITATIONS.—Section
1150(a) of such title is amended by striking out ‘‘during
the nine-year period beginning on October 1, 1990’’ and
inserting in lieu thereof ‘‘during the period beginning on
October 1, 1990, and ending on September 30, 2000’’.
(o) RESERVE
MONTGOMERY
GI BILL.—Section
16133(b)(1)(B) of such title is amended by striking out
‘‘September 30, 1999’’ and inserting in lieu thereof ‘‘Sep-
tember 30, 2000’’.
SEC. 552. LEAVE WITHOUT PAY FOR ACADEMY CADETS AND
MIDSHIPMEN.
(a) AUTHORITY FOR LEAVE WITHOUT PAY.—Section
702 of title 10, United States Code, is amended by adding
at the end the following new subsection:
‘‘(c)(1) The Secretary concerned may place an acad-
emy cadet or midshipman on involuntary leave without
pay if, under regulations prescribed by the Secretary con-
cerned, the Superintendent of the Academy at which the
cadet or midshipman is admitted—
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‘‘(A) has recommended that the cadet or mid-
shipman be dismissed or discharged;
‘‘(B) has directed the cadet or midshipman re-
turn to the Academy to repeat an academic semester
or year;
‘‘(C) has otherwise recommended to the Sec-
retary for good cause that the cadet or midshipman
be placed on involuntary leave without pay.
‘‘(2) In this subsection, the term ‘academy cadet or
midshipman’ means—
‘‘(A) a cadet of the United States Military
Academy;
‘‘(B) a midshipman of the United States Naval
Academy;
‘‘(C) a cadet of the United States Air Force
Academy; or
‘‘(D) a cadet of the United States Coast Guard
Academy.’’.
(b) EFFECTIVE DATE.—Subsection (c) of section 702
of title 10, United States Code, as added by subsection
(a), shall apply with respect to academy cadets and mid-
shipmen (as defined in that subsection) who are placed
on involuntary leave after the date of the enactment of
this Act.
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SEC. 553. PROVISION FOR RECOVERY, CARE, AND DISPOSI-
TION OF THE REMAINS OF ALL MEDICALLY
RETIRED MEMBERS.
(a) IN GENERAL.—Section 1481(a) of title 10,
United States Code, is amended—
(1) in paragraph (1), by striking out ‘‘, or
member of an armed force without component,’’; and
(2) in paragraph (7)—
(A) by striking out ‘‘United States’’; and
(B) by striking out ‘‘for a period of more
than 30 days,’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a)(2) apply with respect to persons dying on
or after the date of the enactment of this Act.
SEC. 554. CONTINUED ELIGIBILITY UNDER VOLUNTARY
SEPARATION 
INCENTIVE 
PROGRAM 
FOR
MEMBERS WHO INVOLUNTARILY LOSE MEM-
BERSHIP IN A RESERVE COMPONENT.
(a) CONTINUED ELIGIBILITY.—Section 1175(a) of
title 10, United States Code, is amended by inserting be-
fore the period at the end ‘‘, or for the period described
in section 1175(e)(1) of this section if the member be-
comes ineligible for retention in an active or inactive sta-
tus in a reserve component because of age, years of serv-
ice, failure to select for promotion, or medical disqualifica-
tion, so long as such ineligibility does not result from de-
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liberate action on the part of the member with the intent
to avoid retention in an active or inactive status in a re-
serve component.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) applies with respect to any person provided
a voluntary separation incentive under section 1175 of
title 10, United States Code (whether before, on, or after
the date of the enactment of this Act).
SEC. 555. DEFINITION OF FINANCIAL INSTITUTION FOR DI-
RECT DEPOSIT OF PAY.
(a) SERVICEMEMBERS REIMBURSEMENT
FOR EX-
PENSES DUE TO GOVERNMENT ERROR.—Paragraph (1)
of section 1053(d) of title 10, United States Code, is
amended to read as follows:
‘‘(1) The term ‘financial institution’ means a
bank, savings and loan association, or similar insti-
tution or a credit union chartered by the United
States or a State.’’.
(b) CIVILIAN EMPLOYEES REIMBURSEMENT FOR EX-
PENSES DUE TO GOVERNMENT ERROR.—Paragraph (1)
of section 1594(d) of such title is amended to read as fol-
lows:
‘‘(1) The term ‘financial institution’ means a
bank, savings and loan association, or similar insti-
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tution or a credit union chartered by the United
States or a State.’’.
SEC. 556. INCREASE IN MAXIMUM AMOUNT FOR COLLEGE
FUND PROGRAM.
(a) INCREASE IN MAXIMUM RATE FOR ACTIVE COM-
PONENT
MONTGOMERY
GI BILL
KICKER.—Section
3015(d) of title 38, United States Code, is amended—
(1) by inserting ‘‘, at the time the individual
first becomes a member of the Armed Forces,’’ after
‘‘Secretary of Defense, may’’; and
(2) by striking out ‘‘$400’’ and all that follows
through ‘‘that date’’ and inserting in lieu thereof
‘‘$950 per month’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect on October 1, 1999, and
shall apply with respect to individuals who first become
members of the Armed Forces on or after that date.
SEC. 557. CENTRAL IDENTIFICATION LABORATORY, HA-
WAII.
(a) SENSE OF THE CONGRESS.—It is the sense of the
Congress that the Central Identification Laboratory, Ha-
waii, of the Department of the Army is an important ele-
ment of the Department of Defense and is critical to the
full accounting of members of the Armed Forces who have
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been classified as POW/MIAs or are otherwise unac-
counted for.
(b) REQUIRED STAFFING LEVEL.—The Secretary of
Defense shall provide sufficient personnel to fill all author-
ized personnel positions of the Central Identification Lab-
oratory, Hawaii, Department of the Army. Those person-
nel shall be drawn from members of the Army, Navy, Air
Force, and Marine Corps and from civilian personnel, as
appropriate, considering the proportion of POW/MIAs
from each service.
(c) JOINT MANNING PLAN.—The Secretary of De-
fense shall develop and implement, not later than March
31, 2000, a joint manning plan to ensure the appropriate
participation of the four services in the staffing of the
Central Identification Laboratory, Hawaii, as required by
subsection (b).
(d) LIMITATION ON REDUCTIONS.—The Secretary of
the Army may not carry out any personnel reductions (in
authorized or assigned personnel) at the Central Identi-
fication Laboratory, Hawaii, until the joint manning plan
required by subsection (c) is implemented.
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SEC. 558. HONOR GUARD DETAILS AT FUNERALS OF VETER-
ANS.
(a) IN GENERAL.—(1) Chapter 75 of title 10, United
States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 1491. Honor guard details at funerals of veterans
‘‘(a) AVAILABILITY.—The Secretary of a military de-
partment shall, upon request, provide an honor guard de-
tail (or ensure that an honor guard detail is provided) for
the funeral of any veteran.
‘‘(b) COMPOSITION OF HONOR GUARD DETAILS.—
The Secretary of each military department shall ensure
that an honor guard detail for the funeral of a veteran
consists of not less than three persons and (unless a bugler
is part of the detail) has the capability to play a recorded
version of Taps.
‘‘(c) PERSONS
FORMING
HONOR
GUARDS.—An
honor guard detail may consist of members of the armed
forces or members of veterans organizations or other orga-
nizations approved for purposes of this section under regu-
lations prescribed by the Secretary of Defense. The Sec-
retary of a military department may provide transpor-
tation, or reimbursement for transportation, and expenses
for a person who participates in an honor guard detail
under this section and is not a member of the armed forces
or an employee of the United States.
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‘‘(d) REGULATIONS.—The Secretary of Defense shall
by regulation establish a system for selection of units of
the armed forces and other organizations to provide honor
guard details. The system shall place an emphasis on bal-
ancing the funeral detail workload among the units and
organizations providing honor guard details in an equi-
table manner as they are able to respond to requests for
such details in terms of geographic proximity and available
resources. The Secretary shall provide in such regulations
that the armed force in which a veteran served shall not
be considered to be a factor when selecting the military
unit or other organization to provide an honor guard detail
for the funeral of the veteran.
‘‘(e) ANNUAL REPORT.—The Secretary of Defense
shall submit to the Committee on Armed Services of the
Senate and the Committee on National Security of the
House of Representatives a report not later than January
31 of each year beginning with 2001 and ending with
2005 on the experience of the Department of Defense
under this section. Each such report shall provide data
on the number of funerals supported under this section,
cost for that support, shown by manpower and other cost
factors, and the number and costs of funerals supported
by each participating organization. The data in the report
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shall be presented in a standard format, regardless of mili-
tary department or other organization.
‘‘(f) VETERAN DEFINED.—In this section, the term
‘veteran’ has the meaning given that term in section
101(2) of title 38, United States Code.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘1491. Honor guard details at funerals of veterans.’’.
(b) TREATMENT
OF
PERFORMANCE
OF
HONOR
GUARD FUNCTIONS BY RESERVES.—(1) Chapter 1215 of
title 10, United States Code, is amended by adding at the
end the following new section:
‘‘§ 12552. Funeral honor guard functions: prohibition
of treatment as drill or training
‘‘Performance by a Reserve of honor guard functions
at the funeral of a veteran may not be considered to be
a period of drill or training otherwise required.’’.
(2) The table of sections at the beginning of such
chapter is amended by adding at the end the following
new item:
‘‘12552. Funeral honor guard functions: prohibition of treatment as drill or
training.’’.
(c) REPEAL OF LIMITATION ON AVAILABILITY OF
FUNDS FOR HONOR GUARD FUNCTIONS BY NATIONAL
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GUARD.—Section 114 of title 32, United States Code, is
amended—
(1) by striking out ‘‘(a)’’; and
(2) by striking out subsection (b).
(d) APPLICABILITY.—The amendments made by this
section shall apply to burials of veterans that occur on
or after October 1, 1999.
(e) STUDY.—The Secretary of Defense, in coordina-
tion with the Secretary of Veterans Affairs, shall study
alternative means for the provision of honor guard details
at funerals of veterans. Not later than March 31, 1999,
the Secretary shall submit to the Committee on Armed
Services of the Senate and the Committee on National Se-
curity of the House of Representatives a report setting
forth the results of the study and the Secretary’s views
and recommendations.
(f) CONSULTATION WITH VETERANS SERVICE ORGA-
NIZATIONS.—Before prescribing the initial regulations
under section 1491 of title 10, United States Code, as
added by subsection (a), the Secretary of Defense shall
consult with veterans service organizations to determine
the views of those organizations regarding methods for
providing honor guard details at funerals for veterans,
suggestions for organizing the system to provide those de-
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tails, and estimates of the resources that those organiza-
tions could provide for honor guard details for veterans.
SEC. 559. APPLICABILITY TO ALL PERSONS IN CHAIN OF
COMMAND OF POLICY REQUIRING EXEM-
PLARY CONDUCT BY COMMANDING OFFI-
CERS AND OTHERS IN AUTHORITY IN THE
ARMED FORCES.
(a) IN GENERAL.—(1) Chapter 3 of title 10, United
States Code, is amended by inserting after section 121 the
following new section:
‘‘§ 121a. Requirement of exemplary conduct by civil-
ians in chain of command
‘‘The President, as Commander in Chief, and the
Secretary of Defense are required (in the same manner
that commanding officers and others in authority in the
Armed Forces are required)—
‘‘(1) to show in themselves a good example of
virtue, honor, and patriotism and to subordinate
themselves to those ideals;
‘‘(2) to be vigilant in inspecting the conduct of
all persons who are placed under their command;
‘‘(3) to guard against and to put an end to all
dissolute and immoral practices and to correct, ac-
cording to the laws and regulations of the armed
forces, all persons who are guilty of them; and
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‘‘(4) to take all necessary and proper measures,
under the laws, regulations, and customs of the
armed forces, to promote and safeguard the morale,
the physical well-being, and the general welfare of
the officers and enlisted persons under their com-
mand or charge.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of such chapter is amended by inserting
after the item relating to section 121 the following new
item:
‘‘121a. Requirement of exemplary conduct by civilians in chain of command.’’.
SEC. 560. REPORT ON PRISONERS TRANSFERRED FROM
UNITED STATES DISCIPLINARY BARRACKS,
FORT LEAVENWORTH, KANSAS, TO FEDERAL
BUREAU OF PRISONS.
(a) REPORT.—Not later than 90 days after the date
of the enactment of this Act, the Secretary of Defense
shall submit to Congress a report, to be prepared by the
General Counsel of the Department of Defense, concern-
ing the decision of the Secretary of the Army in 1994 to
transfer approximately 500 prisoners from the United
States Disciplinary Barracks, Fort Leavenworth, Kansas,
to the Federal Bureau of Prisons.
(b) MATTERS TO BE INCLUDED.—The Secretary
shall include in the report the following:
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(1) A description of the basis for the selection
of prisoners to be transferred, particularly in light of
the fact that many of the prisoners transferred are
minimum or medium security prisoners, who are
considered to have the best chance for rehabilitation,
and whether the transfer of those prisoners indicates
a change in Department of Defense policy regarding
the rehabilitation of military prisoners.
(2) A comparison of the historical recidivism
rates of prisoners released from the United States
Disciplinary Barracks and the Federal Bureau of
Prisons, together with a description of any plans of
the Army to track the parole and recidivism rates of
prisoners transferred to the Federal Bureau of Pris-
ons and whether it has tracked those factors for pre-
vious transferees.
(3) A description of the projected future flow of
prisoners into the new United States Disciplinary
Barracks being constructed at Fort Leavenworth,
Kansas, and whether the Secretary of the Army
plans to automatically send new prisoners to the
Federal Bureau of Prisons without serving at the
United States Disciplinary Barracks if that Bar-
racks is at capacity and whether the Memorandum
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of Understanding between the Federal Bureau of
Prisons and the Army covers that possibility.
(4) A description of the cost of incarcerating a
prisoner in the Federal Bureau of Prisons compared
to the United States Disciplinary Barracks and the
assessment of the Secretary as to the extent to
which the transfer of prisoners to the Federal Bu-
reau of Prisons by the Secretary of the Army is
made in order to shift a budgetary burden.
(c) MONITORING.—During fiscal years 1999 through
2003, the Secretary of the Army shall track the parole
and recidivism rates of prisoners transferred from the
United States Disciplinary Barracks, Fort Leavenworth,
Kansas, to the Federal Bureau of Prisons.
SEC. 561. REPORT ON PROCESS FOR SELECTION OF MEM-
BERS FOR SERVICE ON COURTS-MARTIAL.
(a) REPORT REQUIRED.—Not later than April 15,
1999, the Secretary of Defense shall submit to Congress
a report on the method of selection of members of the
Armed Forces to serve on courts-martial.
(b) MATTERS TO BE CONSIDERED.—In preparing
the report, the Secretary shall—
(1) direct the Secretaries of the military depart-
ments to develop a plan for random selection of
members of courts-martial , subject to the provisions
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relating to service on courts-martial specified in sec-
tion 825(d)(2) of title 10, United States Code (arti-
cle 25(d)(2) of the Uniform Code of Military Jus-
tice), as a possible replacement for the current sys-
tem of selection by the convening authority; and
(2) obtain the views of the members of the com-
mittee referred to in section 946 of such title
(known as the ‘‘Code Committee’’).
SEC. 562. STUDY OF REVISING THE TERM OF SERVICE OF
MEMBERS OF THE UNITED STATES COURT OF
APPEALS FOR THE ARMED FORCES.
Not later than April 15, 1999, the Secretary of De-
fense shall submit to Congress a report on the desirability
of revising the term of appointment of judges of the
United States Court of Appeals for the Armed Forces so
that the term of a judge on that court is for a period of
15 years or until the judge attains the age of 65, which-
ever is later. In preparing the report, the Secretary shall
obtain the view of the members of the committee referred
to in section 946 of title 10, United States Code, (known
as the ‘‘Code Committee’’).
SEC. 563. STATUS OF CADETS AT THE MERCHANT MARINE
ACADEMY.
(a) STATUS OF CADETS.—Any citizen of the United
States appointed as a cadet at the United States Merchant
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Marine Academy shall be considered to be a member of
the United States Naval Reserve.
(b) ELIGIBILITY.—The Secretary of Defense shall
provide that cadets of the United States Merchant Marine
Academy shall be issued an identification card (referred
to as a ‘‘military ID card’’) and shall be entitled to all
rights and privileges in accordance with the same eligi-
bility criteria as apply to other members of the Ready Re-
serve of the reserve components of the Armed Forces.
(c) COORDINATION WITH SECRETARY OF TRANSPOR-
TATION.—The Secretary of Defense shall carry out this
section in coordination with the Secretary of Transpor-
tation.
TITLE VI—COMPENSATION AND
OTHER PERSONNEL BENEFITS
Subtitle A—Pay and Allowances
SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 1999.
(a) WAIVER OF SECTION 1009 ADJUSTMENT.—Ex-
cept as provided in subsection (b), the adjustment, to be-
come effective during fiscal year 1999, required by section
1009 of title 37, United States Code, in the rate of month-
ly basic pay authorized members of the uniformed services
by section 203(a) of such title shall not be made.
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(b) INCREASE IN BASIC PAY.—Effective on January
1, 1999, the rates of basic pay of members of the uni-
formed services shall be increased by the greater of—
(1) 3.6 percent; or
(2) the percentage increase determined under
subsection (c) of section 1009 of title 37, United
States Code, by which the monthly basic pay of
members would be adjusted under subsection (a) of
that section on that date in the absence of sub-
section (a) of this section.
SEC. 602. BASIC ALLOWANCE FOR HOUSING OUTSIDE THE
UNITED STATES.
(a) PAYMENT OF CERTAIN EXPENSES RELATED TO
OVERSEAS HOUSING.—Section 403(c) of title 37, United
States Code, is amended by adding at the end the follow-
ing new paragraph:
‘‘(3)(A) In the case of a member of the uniformed
services authorized to receive an allowance under para-
graph (1), the Secretary concerned may make a lump-sum
payment to the member for required deposits and advance
rent, and for expenses relating thereto, that are—
‘‘(i) incurred by the member in occupying pri-
vate housing outside of the United States; and
‘‘(ii) authorized or approved under regulations
prescribed by the Secretary concerned.
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‘‘(B) Expenses for which a member may be reim-
bursed under this paragraph may include losses relating
to housing that are sustained by the member as a result
of fluctuations in the relative value of the currencies of
the United States and the foreign country in which the
housing is located.
‘‘(C) The Secretary concerned shall recoup the full
amount of any deposit or advance rent payments made
by the Secretary under subparagraph (A), including any
gain resulting from currency fluctuations between the time
of payment and the time of recoupment.’’.
(b) CONFORMING AMENDMENT.—Section 405 of title
37, United States Code, is amended by striking out sub-
section (c).
(c) RETROACTIVE APPLICATION.—The reimburse-
ment authority provided by section 403(c)(3)(B) of title
37, United States Code, as added by subsection (a), ap-
plies with respect to losses relating to housing that are
sustained, on or after July 1, 1997, by a member of the
uniformed services as a result of fluctuations in the rel-
ative value of the currencies of the United States and the
foreign country in which the housing is located.
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SEC. 603. BASIC ALLOWANCE FOR SUBSISTENCE FOR RE-
SERVES.
(a) IN GENERAL.—Section 402 of title 37, United
States Code, is amended—
(1) by redesignating subsections (e) and (f) as
subsections (f) and (g), respectively; and
(2) by inserting after subsection (d) the follow-
ing new subsection:
‘‘(e) SPECIAL RULE FOR CERTAIN ENLISTED RE-
SERVE MEMBERS.—Unless entitled to basic pay under
section 204 of this title, an enlisted member of a reserve
component may receive, at the discretion of the Secretary
concerned, rations in kind, or a part thereof, when the
member’s instruction or duty periods, as described in sec-
tion 206(a) of this title, total at least eight hours in a
calendar day. The Secretary concerned may provide an en-
listed member who could be provided rations in kind under
the preceding sentence with a commutation when rations
in kind are not available.’’.
(b) APPLICATION DURING TRANSITIONAL PERIOD.—
Section 602(d)(1) of the National Defense Authorization
Act for Fiscal Year 1998 (Public Law 105–85; 37 U.S.C.
402 note) is amended by adding at the end the following
new subparagraph:
‘‘(D) SPECIAL
RULE
FOR
CERTAIN
EN-
LISTED RESERVE MEMBERS.—Unless entitled to
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basic pay under section 204 of title 37, United
States Code, an enlisted member of a reserve
component (as defined in section 101(24) of
such title) may receive, at the discretion of the
Secretary concerned (as defined in section
101(5) of such title), rations in kind, or a part
thereof, when the member’s instruction or duty
periods (as described in section 206(a) of such
title) total at least eight hours in a calendar
day. The Secretary concerned may provide an
enlisted member who could be provided rations
in kind under the preceding sentence with a
commutation when rations in kind are not
available.’’.
Subtitle B—Bonuses and Special
and Incentive Pays
SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUSES
AND SPECIAL PAY AUTHORITIES FOR RE-
SERVE FORCES.
(a) SPECIAL PAY FOR HEALTH PROFESSIONALS IN
CRITICALLY
SHORT
WARTIME
SPECIALTIES.—Section
302g(f) of title 37, United States Code, is amended by
striking out ‘‘September 30, 1999’’ and inserting in lieu
thereof ‘‘September 30, 2000’’.
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(b) SELECTED RESERVE REENLISTMENT BONUS.—
Section 308b(f) of title 37, United States Code, is amend-
ed by striking out ‘‘September 30, 1999’’ and inserting
in lieu thereof ‘‘September 30, 2000’’.
(c) SELECTED RESERVE ENLISTMENT BONUS.—Sec-
tion 308c(e) of title 37, United States Code, is amended
by striking out ‘‘September 30, 1999’’ and inserting in
lieu thereof ‘‘September 30, 2000’’.
(d) SPECIAL PAY
FOR ENLISTED MEMBERS AS-
SIGNED TO CERTAIN HIGH PRIORITY UNITS.—Section
308d(c) of title 37, United States Code, is amended by
striking out ‘‘September 30, 1999’’ and inserting in lieu
thereof ‘‘September 30, 2000’’.
(e) SELECTED RESERVE AFFILIATION BONUS.—Sec-
tion 308e(e) of title 37, United States Code, is amended
by striking out ‘‘September 30, 1999’’ and inserting in
lieu thereof ‘‘September 30, 2000’’.
(f) READY RESERVE ENLISTMENT AND REENLIST-
MENT BONUS.—Section 308h(g) of title 37, United States
Code, is amended by striking out ‘‘September 30, 1999’’
and inserting in lieu thereof ‘‘September 30, 2000’’.
(g) PRIOR SERVICE ENLISTMENT BONUS.—Section
308i(f) of title 37, United States Code, is amended by
striking out ‘‘September 30, 1999’’ and inserting in lieu
thereof ‘‘September 30, 2000’’.
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(h) REPAYMENT OF EDUCATION LOANS FOR CER-
TAIN HEALTH PROFESSIONALS WHO SERVE IN THE SE-
LECTED RESERVE.—Section 16302(d) of title 10, United
States Code, is amended by striking out ‘‘October 1,
1999’’ and inserting in lieu thereof ‘‘October 1, 2000’’.
SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUSES
AND SPECIAL PAY AUTHORITIES FOR NURSE
OFFICER CANDIDATES, REGISTERED NURSES,
AND NURSE ANESTHETISTS.
(a) NURSE OFFICER CANDIDATE ACCESSION PRO-
GRAM.—Section 2130a(a)(1) of title 10, United States
Code, is amended by striking out ‘‘September 30, 1999’’
and inserting in lieu thereof ‘‘September 30, 2000’’.
(b) ACCESSION BONUS FOR REGISTERED NURSES.—
Section 302d(a)(1) of title 37, United States Code, is
amended by striking out ‘‘September 30, 1999’’ and in-
serting in lieu thereof ‘‘September 30, 2000’’.
(c) INCENTIVE SPECIAL PAY
FOR NURSE ANES-
THETISTS.—Section 302e(a)(1) of title 37, United States
Code, is amended by striking out ‘‘September 30, 1999’’
and inserting in lieu thereof ‘‘September 30, 2000’’.
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SEC. 613. ONE-YEAR EXTENSION OF AUTHORITIES RELAT-
ING TO PAYMENT OF OTHER BONUSES AND
SPECIAL PAYS.
(a) AVIATION OFFICER RETENTION BONUS.—Sec-
tion 301b(a) of title 37, United States Code, is amended
by striking out ‘‘September 30, 1999,’’ and inserting in
lieu thereof ‘‘September 30, 2000,’’.
(b) REENLISTMENT
BONUS
FOR
ACTIVE
MEM-
BERS.—Section 308(g) of title 37, United States Code, is
amended by striking out ‘‘September 30, 1999’’ and in-
serting in lieu thereof ‘‘September 30, 2000’’.
(c) ENLISTMENT BONUSES
FOR MEMBERS WITH
CRITICAL SKILLS.—Sections 308a(c) and 308f(c) of title
37, United States Code, are each amended by striking out
‘‘September 30, 1999’’ and inserting in lieu thereof ‘‘Sep-
tember 30, 2000’’.
(d) SPECIAL PAY FOR NUCLEAR QUALIFIED OFFI-
CERS EXTENDING PERIOD OF ACTIVE SERVICE.—Section
312(e) of title 37, United States Code, is amended by
striking out ‘‘September 30, 1999’’ and inserting in lieu
thereof ‘‘September 30, 2000’’.
(e) NUCLEAR CAREER ACCESSION BONUS.—Section
312b(c) of title 37, United States Code, is amended by
striking out ‘‘September 30, 1999’’ and inserting in lieu
thereof ‘‘September 30, 2000’’.
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(f) 
NUCLEAR
CAREER
ANNUAL
INCENTIVE
BONUS.—Section 312c(d) of title 37, United States Code,
is amended by striking out ‘‘October 1, 1999’’ and insert-
ing in lieu thereof ‘‘October 1, 2000’’.
SEC. 614. AVIATION CAREER INCENTIVE PAY AND AVIATION
OFFICER RETENTION BONUS.
(a) DEFINITION OF AVIATION SERVICE.—(1) Section
301a(a)(6) of title 37, United States Code, is amended—
(A) by redesignating subparagraphs (A), (B),
and (C) as subparagraphs (B), (C), and (D), respec-
tively; and
(B) by inserting before subparagraph (B) (as so
redesignated) the following new subparagraph:
‘‘(A) The term ‘aviation service’ means service
performed by an officer (except a flight surgeon or
other medical officer) while holding an aeronautical
rating or designation or while in training to receive
an aeronautical rating or designation.’’.
(2) Section 301b(j) of such title is amended by strik-
ing out paragraph (1) and inserting in lieu thereof the
following new paragraph:
‘‘(1) The term ‘aviation service’ means service
performed by an officer (except a flight surgeon or
other medical officer) while holding an aeronautical
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rating or designation or while in training to receive
an aeronautical rating or designation.’’.
(b) AMOUNT OF INCENTIVE PAY.—Subsection (b) of
section 301a of such title is amended to read as follows:
‘‘(b)(1) A member who satisfies the requirements de-
scribed in subsection (a) is entitled to monthly incentive
pay as follows:
‘‘Years of aviation service (including
Monthly
flight training) as an officer:
rate
2 or less ..............................................................................................
$125
Over 2 ................................................................................................
$156
Over 3 ................................................................................................
$188
Over 4 ................................................................................................
$206
Over 6 ................................................................................................
$650
Over 14 ..............................................................................................
$840
Over 22 ..............................................................................................
$585
Over 23 ..............................................................................................
$495
Over 24 ..............................................................................................
$385
Over 25 ..............................................................................................
$250
‘‘(2) An officer in a pay grade above O–6 is entitled,
until the officer completes 25 years of aviation service, to
be paid at the rates set forth in the table in paragraph
(1), except that—
‘‘(A) an officer in pay grade O–7 may not be
paid at a rate greater than $200 a month; and
‘‘(B) an officer in pay grade O–8 or above may
not be paid at a rate greater than $206 a month.
‘‘(3) For a warrant officer with over 22, 23, 24, or
25 years of aviation service who is qualified under sub-
section (a), the rate prescribed in the table in paragraph
(1) for officers with over 14 years of aviation service shall
continue to apply to the warrant officer.’’.
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(c) REFERENCES TO AVIATION SERVICE.—(1) Sec-
tion 301a of such title is further amended—
(A) in subsection (a)(4)—
(i) by striking out ‘‘22 years of the offi-
cer’s service as an officer’’ and inserting in lieu
thereof ‘‘22 years of aviation service of the offi-
cer’’; and
(ii) by striking out ‘‘25 years of service as
an officer (as computed under section 205 of
this title)’’ and inserting in lieu thereof ‘‘25
years of aviation service’’; and
(B) in subsection (d), by striking out ‘‘sub-
section (b)(1) or (2), as the case may be, for the
performance of that duty by a member of cor-
responding years of aviation or officer service, as ap-
propriate,’’ and inserting in lieu thereof ‘‘subsection
(b) for the performance of that duty by a member
with corresponding years of aviation service’’.
(2) Section 301b(b)(5) of such title is amended by
striking out ‘‘active duty’’ and inserting in lieu thereof
‘‘aviation service’’.
(d) CONFORMING AMENDMENT.—Section 615 of the
National Defense Authorization Act for Fiscal Year 1998
(Public Law 105–85; 111 Stat. 1787) is repealed.
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SEC. 615. SPECIAL PAY FOR DIVING DUTY.
Section 304(a) of title 37, United States Code, is
amended—
(1) by inserting ‘‘or’’ at the end of paragraph
(1);
(2) in paragraph (2), by striking out ‘‘by fre-
quent and regular dives; and’’ and inserting in lieu
thereof a period; and
(3) by striking out paragraph (3).
SEC. 616. SELECTIVE REENLISTMENT BONUS ELIGIBILITY
FOR RESERVE MEMBERS PERFORMING AC-
TIVE GUARD AND RESERVE DUTY.
Section 308(a)(1)(D) of title 37, United States Code,
is amended to read as follows:
‘‘(D) reenlists or voluntarily extends the mem-
ber’s enlistment for a period of at least three years
in a regular component, or in a reserve component
if the member is performing active Guard and Re-
serve duty (as defined in section 101(d)(6) of title
10), of the service concerned;’’.
SEC. 617. REMOVAL OF TEN PERCENT RESTRICTION ON SE-
LECTIVE REENLISTMENT BONUSES.
Section 308(b) of title 37, United States Code, is
amended—
(1) by striking out ‘‘(1)’’ after ‘‘(b)’’; and
(2) by striking out paragraph (2).
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SEC. 618. INCREASE IN MAXIMUM AMOUNT OF ARMY EN-
LISTMENT BONUS.
Section 308f(a) of title 37, United States Code, is
amended by striking out ‘‘$4,000’’ and inserting in lieu
thereof ‘‘$6,000’’.
SEC. 619. EQUITABLE TREATMENT OF RESERVES ELIGIBLE
FOR SPECIAL PAY FOR DUTY SUBJECT TO
HOSTILE FIRE OR IMMINENT DANGER.
Section 310(b) of title 37, United States Code, is
amended—
(1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and
(2) by adding at the end the following new
paragraph:
‘‘(2) A member of a reserve component who is eligible
for special pay under this section for a month shall receive
the full amount authorized in subsection (a) for that
month regardless of the number of days during that
month on which the member satisfies the eligibility criteria
specified in such subsection.’’.
SEC. 620. HARDSHIP DUTY PAY.
(a) DUTY
FOR WHICH PAY AUTHORIZED.—Sub-
section (a) of section 305 of title 37, United States Code,
is amended by striking out ‘‘on duty at a location’’ and
all that follows and inserting in lieu thereof ‘‘performing
duty in the United States or outside the United States
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that is designated by the Secretary of Defense as hardship
duty.’’.
(b) REPEAL OF EXCEPTION FOR MEMBERS RECEIV-
ING CAREER SEA PAY.—Subsection (c) of such section is
repealed.
(c) CONFORMING AMENDMENTS.—(1) Subsections
(b) and (d) of such section are amended by striking out
‘‘hardship duty location pay’’ and inserting in lieu thereof
‘‘hardship duty pay’’.
(2) Subsection (d) of such section is redesignated as
subsection (c).
(3) The heading for such section is amended by strik-
ing out ‘‘location’’.
(4) Section 907(d) of title 37, United States Code,
is amended by striking out ‘‘duty at a hardship duty loca-
tion’’ and inserting in lieu thereof ‘‘hardship duty’’.
(d) CLERICAL AMENDMENT.—The item relating to
section 305 in the table of sections at the beginning of
chapter 5 of such title is amended to read as follows:
‘‘305. Special pay: hardship duty pay.’’.
Subtitle C—Travel and
Transportation Allowances
SEC. 631. EXCEPTION TO MAXIMUM WEIGHT ALLOWANCE
FOR BAGGAGE AND HOUSEHOLD EFFECTS.
Section 406(b)(1)(D) of title 37, United States Code,
is amended in the second sentence by inserting before the
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period the following: ‘‘, unless the additional weight allow-
ance in excess of such maximum is intended to permit the
shipping of consumables that cannot be reasonably ob-
tained at the new station of the member’’.
SEC. 632. TRAVEL AND TRANSPORTATION ALLOWANCES
FOR TRAVEL PERFORMED BY MEMBERS IN
CONNECTION WITH REST AND RECUPER-
ATIVE LEAVE FROM OVERSEAS STATIONS.
(a) PROVISION OF TRANSPORTATION.—Section 411c
of title 37, United States Code, is amended by striking
out subsection (b) and inserting in lieu thereof the follow-
ing new subsection:
‘‘(b) When the transportation authorized by sub-
section (a) is provided by the Secretary concerned, the
Secretary may use Government or commercial carriers.
The Secretary concerned may limit the amount of pay-
ments made to members under subsection (a).’’.
(b) CLERICAL AMENDMENTS.—(1) The heading of
such section is amended to read as follows:
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‘‘§ 411c. Travel and transportation allowances: travel
performed in connection with rest and
recuperative leave from certain stations
in foreign countries’’.
(2) The item relating to such section in the table of
sections at the beginning of chapter 7 of such title is
amended to read as follows:
‘‘411c. Travel and transportation allowances: travel performed in connection
with rest and recuperative leave from certain stations in for-
eign countries.’’.
SEC. 633. STORAGE OF BAGGAGE OF CERTAIN DEPEND-
ENTS.
Section 430(b) of title 37, United States Code, is
amended—
(1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and
(2) by adding at the end the following new
paragraph:
‘‘(2) At the option of the member, in lieu of the trans-
portation of baggage of a dependent child under para-
graph (1) from the dependent’s school in the continental
United States, the Secretary concerned may pay or reim-
burse the member for costs incurred to store the baggage
at or in the vicinity of the school during the dependent’s
annual trip between the school and the member’s duty sta-
tion. The amount of the payment or reimbursement may
not exceed the cost that the Government would incur to
transport the baggage.’’.
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Subtitle D—Retired Pay, Survivor
Benefits, and Related Matters
SEC. 641. EFFECTIVE DATE OF FORMER SPOUSE SURVIVOR
BENEFIT COVERAGE.
(a) 
COORDINATION
OF
PROVISIONS.—Section
1448(b)(3)(C) of title 10, United States Code, is amended
by inserting after ‘‘the Secretary concerned’’ in the second
sentence the following: ‘‘, except that, in the case of an
election made by a person described in section
1450(f)(3)(B) of this title, such an election is effective on
the first day of the first month which begins after the date
of the court order or filing involved (in the same manner
as provided under section 1450(f)(3)(D) of this title)’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall apply to elections under section
1448(b)(3) of title 10, United States Code, that are re-
ceived by the Secretary concerned on or after the date of
the enactment of this Act.
SEC. 642. REVISION TO COMPUTATION OF RETIRED PAY
FOR ENLISTED MEMBERS WHO ARE RE-
DUCED IN GRADE BEFORE RETIREMENT.
(a) PRE-SEPTEMBER 8, 1980 MEMBERS.—Section
1406(i) of title 10, United States Code, is amended—
(1) by redesignating paragraph (2) as para-
graph (3); and