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zation, as defined in section 637(a)(15) of title 15, United
States Code.
(TRANSFER OF FUNDS)
SEC. 8015. Funds appropriated in title III of this Act
for the Department of Defense Pilot Mentor-Protege Pro-
gram may be transferred to any other appropriation con-
tained in this Act solely for the purpose of implementing
a Mentor-Protege Program developmental assistance agree-
ment pursuant to section 831 of the National Defense Au-
thorization Act for Fiscal Year 1991 (Public Law 101–510;
10 U.S.C. 2301 note), as amended, under the authority of
this provision or any other transfer authority contained in
this Act.
SEC. 8016. None of the funds in this Act may be avail-
able for the purchase by the Department of Defense (and
its departments and agencies) of welded shipboard anchor
and mooring chain 4 inches in diameter and under unless
the anchor and mooring chain are manufactured in the
United States from components which are substantially
manufactured in the United States: Provided, That for the
purpose of this section manufactured will include cutting,
heat treating, quality control, testing of chain and welding
(including the forging and shot blasting process): Provided
further, That for the purpose of this section substantially
all of the components of anchor and mooring chain shall
be considered to be produced or manufactured in the United
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States if the aggregate cost of the components produced or
manufactured in the United States exceeds the aggregate
cost of the components produced or manufactured outside
the United States: Provided further, That when adequate
domestic supplies are not available to meet Department of
Defense requirements on a timely basis, the Secretary of the
service responsible for the procurement may waive this re-
striction on a case-by-case basis by certifying in writing
to the Committees on Appropriations that such an acquisi-
tion must be made in order to acquire capability for na-
tional security purposes.
SEC. 8017. None of the funds appropriated by this Act
available for the Civilian Health and Medical Program of
the Uniformed Services (CHAMPUS) or TRICARE shall
be available for the reimbursement of any health care pro-
vider for inpatient mental health service for care received
when a patient is referred to a provider of inpatient mental
health care or residential treatment care by a medical or
health care professional having an economic interest in the
facility to which the patient is referred: Provided, That this
limitation does not apply in the case of inpatient mental
health services provided under the program for persons with
disabilities under subsection (d) of section 1079 of title 10,
United States Code, provided as partial hospital care, or
provided pursuant to a waiver authorized by the Secretary
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of Defense because of medical or psychological circumstances
of the patient that are confirmed by a health professional
who is not a Federal employee after a review, pursuant to
rules prescribed by the Secretary, which takes into account
the appropriate level of care for the patient, the intensity
of services required by the patient, and the availability of
that care.
SEC. 8018. Notwithstanding any other provision of
law, during the current fiscal year, the Secretary of Defense
may, by executive agreement, establish with host nation
governments in NATO member states a separate account
into which such residual value amounts negotiated in the
return of United States military installations in NATO
member states may be deposited, in the currency of the host
nation, in lieu of direct monetary transfers to the United
States Treasury: Provided, That such credits may be uti-
lized only for the construction of facilities to support United
States military forces in that host nation, or such real prop-
erty maintenance and base operating costs that are cur-
rently executed through monetary transfers to such host na-
tions: Provided further, That the Department of Defense’s
budget submission for fiscal year 2004 shall identify such
sums anticipated in residual value settlements, and identify
such construction, real property maintenance or base oper-
ating costs that shall be funded by the host nation through
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such credits: Provided further, That all military construc-
tion projects to be executed from such accounts must be pre-
viously approved in a prior Act of Congress: Provided fur-
ther, That each such executive agreement with a NATO
member host nation shall be reported to the congressional
defense committees, the Committee on International Rela-
tions of the House of Representatives and the Committee
on Foreign Relations of the Senate 30 days prior to the
conclusion and endorsement of any such agreement estab-
lished under this provision.
SEC. 8019. None of the funds available to the Depart-
ment of Defense may be used to demilitarize or dispose of
M–1 Carbines, M–1 Garand rifles, M–14 rifles, .22 caliber
rifles, .30 caliber rifles, or M–1911 pistols.
SEC. 8020. No more than $500,000 of the funds appro-
priated or made available in this Act shall be used during
a single fiscal year for any single relocation of an organiza-
tion, unit, activity or function of the Department of Defense
into or within the National Capital Region: Provided, That
the Secretary of Defense may waive this restriction on a
case-by-case basis by certifying in writing to the congres-
sional defense committees that such a relocation is required
in the best interest of the Government.
SEC. 8021. (a) In addition to the funds provided else-
where in this Act, $8,000,000 is appropriated only for in-
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centive payments authorized by section 504 of the Indian
Finance Act of 1974 (25 U.S.C. 1544) to defense contractors
at any tier which make subcontract awards to subcontrac-
tors or suppliers owned by entities defined pursuant to 25
U.S.C. 1544 and 4221(9); and
(b) Section 8022 of the Department of Defense Appro-
priation Act (Public Law 106–259) is amended by striking
out the period and adding ‘‘: Provided further, That not-
withstanding 41 U.S.C. § 430, this section shall be applica-
ble to any acquisition for goods and services, including a
contract and subcontracts for procurement of commercial
items whenever the prime contract amount is over $500,000
and involves the expenditure of funds appropriated by this
or any other Act.’’.
SEC. 8022. None of the funds appropriated by this Act
shall be available to perform any cost study pursuant to
the provisions of OMB Circular A–76 if the study being
performed exceeds a period of 24 months after initiation
of such study with respect to a single function activity or
48 months after initiation of such study for a multi-func-
tion activity.
SEC. 8023. Funds appropriated by this Act for the
American Forces Information Service shall not be used for
any national or international political or psychological ac-
tivities.
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SEC. 8024. Notwithstanding any other provision of
law or regulation, the Secretary of Defense may adjust wage
rates for civilian employees hired for certain health care
occupations as authorized for the Secretary of Veterans Af-
fairs by section 7455 of title 38, United States Code.
SEC. 8025. (a) Of the funds for the procurement of sup-
plies or services appropriated by this Act, qualified non-
profit agencies for the blind or other severely handicapped
shall be afforded the maximum practicable opportunity to
participate as subcontractors and suppliers in the perform-
ance of contracts let by the Department of Defense.
(b) During the current fiscal year, a business concern
which has negotiated with a military service or defense
agency a subcontracting plan for the participation by small
business concerns pursuant to section 8(d) of the Small
Business Act (15 U.S.C. 637(d)) shall be given credit to-
ward meeting that subcontracting goal for any purchases
made from qualified nonprofit agencies for the blind or
other severely handicapped.
(c) For the purpose of this section, the phrase ‘‘quali-
fied nonprofit agency for the blind or other severely handi-
capped’’ means a nonprofit agency for the blind or other
severely handicapped that has been approved by the Com-
mittee for the Purchase from the Blind and Other Severely
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Handicapped under the Javits-Wagner-O’Day Act (41
U.S.C. 46–48).
SEC. 8026. During the current fiscal year, net receipts
pursuant to collections from third party payers pursuant
to section 1095 of title 10, United States Code, shall be
made available to the local facility of the uniformed services
responsible for the collections and shall be over and above
the facility’s direct budget amount.
SEC. 8027. During the current fiscal year, the Depart-
ment of Defense is authorized to incur obligations of not
to exceed $350,000,000 for purposes specified in section
2350j(c) of title 10, United States Code, in anticipation of
receipt of contributions, only from the Government of Ku-
wait, under that section: Provided, That upon receipt, such
contributions from the Government of Kuwait shall be cred-
ited to the appropriations or fund which incurred such obli-
gations.
SEC. 8028. Of the funds made available in this Act,
not less than $21,188,000 shall be available for the Civil
Air Patrol Corporation, of which $19,688,000 shall be
available for Civil Air Patrol Corporation operation and
maintenance to support readiness activities which includes
$1,500,000 for the Civil Air Patrol counterdrug program:
Provided, That funds identified for ‘‘Civil Air Patrol’’
under this section are intended for and shall be for the ex-
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clusive use of the Civil Air Patrol Corporation and not for
the Air Force or any unit thereof.
SEC. 8029. (a) None of the funds appropriated in this
Act are available to establish a new Department of Defense
(department) federally funded research and development
center (FFRDC), either as a new entity, or as a separate
entity administrated by an organization managing another
FFRDC, or as a nonprofit membership corporation con-
sisting of a consortium of other FFRDCs and other non-
profit entities.
(b) No member of a Board of Directors, Trustees, Over-
seers, Advisory Group, Special Issues Panel, Visiting Com-
mittee, or any similar entity of a defense FFRDC, and no
paid consultant to any defense FFRDC, except when acting
in a technical advisory capacity, may be compensated for
his or her services as a member of such entity, or as a paid
consultant by more than one FFRDC in a fiscal year: Pro-
vided, That a member of any such entity referred to pre-
viously in this subsection shall be allowed travel expenses
and per diem as authorized under the Federal Joint Travel
Regulations, when engaged in the performance of member-
ship duties.
(c) Notwithstanding any other provision of law, none
of the funds available to the department from any source
during fiscal year 2003 may be used by a defense FFRDC,
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through a fee or other payment mechanism, for construction
of new buildings, for payment of cost sharing for projects
funded by Government grants, for absorption of contract
overruns, or for certain charitable contributions, not to in-
clude employee participation in community service and/or
development.
(d) Notwithstanding any other provision of law, of the
funds available to the department during fiscal year 2003,
not more than 6,300 staff years of technical effort (staff
years) may be funded for defense FFRDCs: Provided, That
of the specific amount referred to previously in this sub-
section, not more than 1,029 staff years may be funded for
the defense studies and analysis FFRDCs.
(e) The Secretary of Defense shall, with the submission
of the department’s fiscal year 2004 budget request, submit
a report presenting the specific amounts of staff years of
technical effort to be allocated for each defense FFRDC dur-
ing that fiscal year.
(f) Notwithstanding any other provision of this Act,
the total amount appropriated in this Act for FFRDCs is
hereby reduced by $91,600,000.
SEC. 8030. None of the funds appropriated or made
available in this Act shall be used to procure carbon, alloy
or armor steel plate for use in any Government-owned facil-
ity or property under the control of the Department of De-
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fense which were not melted and rolled in the United States
or Canada: Provided, That these procurement restrictions
shall apply to any and all Federal Supply Class 9515,
American Society of Testing and Materials (ASTM) or
American Iron and Steel Institute (AISI) specifications of
carbon, alloy or armor steel plate: Provided further, That
the Secretary of the military department responsible for the
procurement may waive this restriction on a case-by-case
basis by certifying in writing to the Committees on Appro-
priations of the House of Representatives and the Senate
that adequate domestic supplies are not available to meet
Department of Defense requirements on a timely basis and
that such an acquisition must be made in order to acquire
capability for national security purposes: Provided further,
That these restrictions shall not apply to contracts which
are in being as of the date of the enactment of this Act.
SEC. 8031. For the purposes of this Act, the term ‘‘con-
gressional defense committees’’ means the Armed Services
Committee of the House of Representatives, the Armed Serv-
ices Committee of the Senate, the Subcommittee on Defense
of the Committee on Appropriations of the Senate, and the
Subcommittee on Defense of the Committee on Appropria-
tions of the House of Representatives.
SEC. 8032. During the current fiscal year, the Depart-
ment of Defense may acquire the modification, depot main-
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tenance and repair of aircraft, vehicles and vessels as well
as the production of components and other Defense-related
articles, through competition between Department of De-
fense depot maintenance activities and private firms: Pro-
vided, That the Senior Acquisition Executive of the military
department or defense agency concerned, with power of dele-
gation, shall certify that successful bids include comparable
estimates of all direct and indirect costs for both public and
private bids: Provided further, That Office of Management
and Budget Circular A–76 shall not apply to competitions
conducted under this section.
SEC. 8033. (a)(1) If the Secretary of Defense, after con-
sultation with the United States Trade Representative, de-
termines that a foreign country which is party to an agree-
ment described in paragraph (2) has violated the terms of
the agreement by discriminating against certain types of
products produced in the United States that are covered by
the agreement, the Secretary of Defense shall rescind the
Secretary’s blanket waiver of the Buy American Act with
respect to such types of products produced in that foreign
country.
(2) An agreement referred to in paragraph (1) is any
reciprocal defense procurement memorandum of under-
standing, between the United States and a foreign country
pursuant to which the Secretary of Defense has prospec-
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tively waived the Buy American Act for certain products
in that country.
(b) The Secretary of Defense shall submit to the Con-
gress a report on the amount of Department of Defense pur-
chases from foreign entities in fiscal year 2003. Such report
shall separately indicate the dollar value of items for which
the Buy American Act was waived pursuant to any agree-
ment described in subsection (a)(2), the Trade Agreement
Act of 1979 (19 U.S.C. 2501 et seq.), or any international
agreement to which the United States is a party.
(c) For purposes of this section, the term ‘‘Buy Amer-
ican Act’’ means title III of the Act entitled ‘‘An Act mak-
ing appropriations for the Treasury and Post Office De-
partments for the fiscal year ending June 30, 1934, and
for other purposes’’, approved March 3, 1933 (41 U.S.C.
10a et seq.).
SEC. 8034. Appropriations contained in this Act that
remain available at the end of the current fiscal year as
a result of energy cost savings realized by the Department
of Defense shall remain available for obligation for the next
fiscal year to the extent, and for the purposes, provided in
section 2865 of title 10, United States Code.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8035. Amounts deposited during the current fis-
cal year to the special account established under 40 U.S.C.
485(h)(2) and to the special account established under 10
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U.S.C. 2667(d)(1) are appropriated and shall be available
until transferred by the Secretary of Defense to current ap-
plicable appropriations or funds of the Department of De-
fense under the terms and conditions specified by 40 U.S.C.
485(h)(2)(A) and (B) and 10 U.S.C. 2667(d)(1)(B), to be
merged with and to be available for the same time period
and the same purposes as the appropriation to which trans-
ferred.
SEC. 8036. The President shall include with each budg-
et for a fiscal year submitted to the Congress under section
1105 of title 31, United States Code, materials that shall
identify clearly and separately the amounts requested in the
budget for appropriation for that fiscal year for salaries
and expenses related to administrative activities of the De-
partment of Defense, the military departments, and the de-
fense agencies.
SEC. 8037. Notwithstanding any other provision of
law, funds available for ‘‘Drug Interdiction and Counter-
Drug Activities, Defense’’ may be obligated for the Young
Marines program.
(INCLUDING TRANSFER OF FUNDS)
SEC. 8038. During the current fiscal year, amounts
contained in the Department of Defense Overseas Military
Facility Investment Recovery Account established by section
2921(c)(1) of the National Defense Authorization Act of
1991 (Public Law 101–510; 10 U.S.C. 2687 note) shall be
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available until expended for the payments specified by sec-
tion 2921(c)(2) of that Act.
SEC. 8039. (a) IN GENERAL.—Notwithstanding any
other provision of law, the Secretary of the Air Force may
convey at no cost to the Air Force, without consideration,
to Indian tribes located in the States of North Dakota,
South Dakota, Montana, and Minnesota relocatable mili-
tary housing units located at Grand Forks Air Force Base
and Minot Air Force Base that are excess to the needs of
the Air Force.
(b) PROCESSING OF REQUESTS.—The Secretary of the
Air Force shall convey, at no cost to the Air Force, military
housing units under subsection (a) in accordance with the
request for such units that are submitted to the Secretary
by the Operation Walking Shield Program on behalf of In-
dian tribes located in the States of North Dakota, South
Dakota, Montana, and Minnesota.
(c) RESOLUTION OF HOUSING UNIT CONFLICTS.—The
Operation Walking Shield program shall resolve any con-
flicts among requests of Indian tribes for housing units
under subsection (a) before submitting requests to the Sec-
retary of the Air Force under subsection (b).
(d) INDIAN TRIBE DEFINED.—In this section, the term
‘‘Indian tribe’’ means any recognized Indian tribe included
on the current list published by the Secretary of the Interior
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under section 104 of the Federally Recognized Indian Tribe
Act of 1994 (Public Law 103–454; 108 Stat. 4792; 25
U.S.C. 479a–1).
SEC. 8040. During the current fiscal year, appropria-
tions which are available to the Department of Defense for
operation and maintenance may be used to purchase items
having an investment item unit cost of not more than
$100,000: Provided, That the $100,000 limitation shall not
apply to amounts appropriated in this Act under the head-
ing ‘‘Operation and Maintenance, Defense-Wide’’ for ex-
penses related to certain classified activities.
SEC. 8041. (a) During the current fiscal year, none
of the appropriations or funds available to the Department
of Defense Working Capital Funds shall be used for the pur-
chase of an investment item for the purpose of acquiring
a new inventory item for sale or anticipated sale during
the current fiscal year or a subsequent fiscal year to cus-
tomers of the Department of Defense Working Capital
Funds if such an item would not have been chargeable to
the Department of Defense Business Operations Fund dur-
ing fiscal year 1994 and if the purchase of such an invest-
ment item would be chargeable during the current fiscal
year to appropriations made to the Department of Defense
for procurement.
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(b) The fiscal year 2004 budget request for the Depart-
ment of Defense as well as all justification material and
other documentation supporting the fiscal year 2004 De-
partment of Defense budget shall be prepared and submitted
to the Congress on the basis that any equipment which was
classified as an end item and funded in a procurement ap-
propriation contained in this Act shall be budgeted for in
a proposed fiscal year 2004 procurement appropriation and
not in the supply management business area or any other
area or category of the Department of Defense Working
Capital Funds.
SEC. 8042. None of the funds appropriated by this Act
for programs of the Central Intelligence Agency shall re-
main available for obligation beyond the current fiscal year,
except for funds appropriated for the Reserve for Contin-
gencies, which shall remain available until September 30,
2004: Provided, That funds appropriated, transferred, or
otherwise credited to the Central Intelligence Agency Cen-
tral Services Working Capital Fund during this or any
prior or subsequent fiscal year shall remain available until
expended: Provided further, That any funds appropriated
or transferred to the Central Intelligence Agency for agent
operations and for covert action programs authorized by the
President under section 503 of the National Security Act
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of 1947, as amended, shall remain available until Sep-
tember 30, 2004.
SEC. 8043. Notwithstanding any other provision of
law, funds made available in this Act for the Defense Intel-
ligence Agency may be used for the design, development, and
deployment of General Defense Intelligence Program intel-
ligence communications and intelligence information sys-
tems for the Services, the Unified and Specified Commands,
and the component commands.
SEC. 8044. Of the funds appropriated to the Depart-
ment of Defense under the heading ‘‘Operation and Mainte-
nance, Defense-Wide’’, not less than $10,000,000 shall be
made available only for the mitigation of environmental
impacts, including training and technical assistance to
tribes, related administrative support, the gathering of in-
formation, documenting of environmental damage, and de-
veloping a system for prioritization of mitigation and cost
to complete estimates for mitigation, on Indian lands re-
sulting from Department of Defense activities.
SEC. 8045. Of the funds made available in this Act,
not less than $68,900,000 shall be available to maintain
an attrition reserve force of 18 B–52 aircraft, of which
$3,700,000 shall be available from ‘‘Military Personnel, Air
Force’’, $40,000,000 shall be available from ‘‘Operation and
Maintenance, Air Force’’, and $25,200,000 shall be avail-
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able from ‘‘Aircraft Procurement, Air Force’’: Provided,
That the Secretary of the Air Force shall maintain a total
force of 94 B–52 aircraft, including 18 attrition reserve air-
craft, during fiscal year 2003: Provided further, That the
Secretary of Defense shall include in the Air Force budget
request for fiscal year 2004 amounts sufficient to maintain
a B–52 force totaling 94 aircraft.
SEC. 8046. (a) None of the funds appropriated in this
Act may be expended by an entity of the Department of
Defense unless the entity, in expending the funds, complies
with the Buy American Act. For purposes of this subsection,
the term ‘‘Buy American Act’’ means title III of the Act
entitled ‘‘An Act making appropriations for the Treasury
and Post Office Departments for the fiscal year ending June
30, 1934, and for other purposes’’, approved March 3, 1933
(41 U.S.C. 10a et seq.).
(b) If the Secretary of Defense determines that a person
has been convicted of intentionally affixing a label bearing
a ‘‘Made in America’’ inscription to any product sold in
or shipped to the United States that is not made in Amer-
ica, the Secretary shall determine, in accordance with sec-
tion 2410f of title 10, United States Code, whether the per-
son should be debarred from contracting with the Depart-
ment of Defense.
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(c) In the case of any equipment or products purchased
with appropriations provided under this Act, it is the sense
of the Congress that any entity of the Department of De-
fense, in expending the appropriation, purchase only Amer-
ican-made equipment and products, provided that Amer-
ican-made equipment and products are cost-competitive,
quality-competitive, and available in a timely fashion.
SEC. 8047. None of the funds appropriated by this Act
shall be available for a contract for studies, analysis, or
consulting services entered into without competition on the
basis of an unsolicited proposal unless the head of the activ-
ity responsible for the procurement determines—
(1) as a result of thorough technical evaluation,
only one source is found fully qualified to perform the
proposed work;
(2) the purpose of the contract is to explore an
unsolicited proposal which offers significant scientific
or technological promise, represents the product of
original thinking, and was submitted in confidence
by one source; or
(3) the purpose of the contract is to take advan-
tage of unique and significant industrial accomplish-
ment by a specific concern, or to insure that a new
product or idea of a specific concern is given finan-
cial support:
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Provided, That this limitation shall not apply to contracts
in an amount of less than $25,000, contracts related to im-
provements of equipment that is in development or produc-
tion, or contracts as to which a civilian official of the De-
partment of Defense, who has been confirmed by the Senate,
determines that the award of such contract is in the interest
of the national defense.
SEC. 8048. (a) Except as provided in subsections (b)
and (c), none of the funds made available by this Act may
be used—
(1) to establish a field operating agency; or
(2) to pay the basic pay of a member of the
Armed Forces or civilian employee of the department
who is transferred or reassigned from a headquarters
activity if the member or employee’s place of duty re-
mains at the location of that headquarters.
(b) The Secretary of Defense or Secretary of a military
department may waive the limitations in subsection (a),
on a case-by-case basis, if the Secretary determines, and cer-
tifies to the Committees on Appropriations of the House of
Representatives and Senate that the granting of the waiver
will reduce the personnel requirements or the financial re-
quirements of the department.
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(c) This section does not apply to field operating agen-
cies funded within the National Foreign Intelligence Pro-
gram.
SEC. 8049. Notwithstanding section 303 of Public Law
96–487 or any other provision of law, the Secretary of the
Navy is authorized to lease real and personal property at
Naval Air Facility, Adak, Alaska, pursuant to 10 U.S.C.
2667(f), for commercial, industrial or other purposes: Pro-
vided, That notwithstanding any other provision of law, the
Secretary of the Navy may remove hazardous materials
from facilities, buildings, and structures at Adak, Alaska,
and may demolish or otherwise dispose of such facilities,
buildings, and structures.
(RESCISSIONS)
SEC. 8050. Of the funds appropriated in Department
of Defense Appropriations Acts, the following funds are
hereby rescinded from the following accounts and programs
in the specified amounts:
‘‘Procurement of Ammunition, Army, 2001/
2003’’, $4,000,000;
‘‘Other 
Procurement, 
Army, 
2001/2003’’,
$8,000,000;
‘‘Other 
Procurement, 
Navy, 
2001/2003’’,
$21,200,000;
‘‘Missile 
Procurement, 
Army, 
2002/2004’’,
$9,300,000;
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‘‘Procurement of Ammunition, Army, 2002/
2004’’, $23,000,000;
‘‘Other 
Procurement, 
Army, 
2002/2004’’,
$26,200,000;
‘‘Aircraft Procurement, Air Force, 2002/2004’’,
$23,500,000;
‘‘Missile Procurement, Air Force, 2002/2004’’,
$18,000,000;
‘‘Research, Development, Test and Evaluation,
Air Force, 2002/2003’’, $32,000,000; and
‘‘Research and Development, Defense-Wide, 2002/
2003’’, $25,500,000.
SEC. 8051. None of the funds available in this Act may
be used to reduce the authorized positions for military (ci-
vilian) technicians of the Army National Guard, the Air
National Guard, Army Reserve and Air Force Reserve for
the purpose of applying any administratively imposed ci-
vilian personnel ceiling, freeze, or reduction on military (ci-
vilian) technicians, unless such reductions are a direct re-
sult of a reduction in military force structure.
SEC. 8052. None of the funds appropriated or other-
wise made available in this Act may be obligated or ex-
pended for assistance to the Democratic People’s Republic
of North Korea unless specifically appropriated for that
purpose.
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SEC. 8053. During the current fiscal year, funds ap-
propriated in this Act are available to compensate members
of the National Guard for duty performed pursuant to a
plan submitted by a Governor of a State and approved by
the Secretary of Defense under section 112 of title 32,
United States Code: Provided, That during the performance
of such duty, the members of the National Guard shall be
under State command and control: Provided further, That
such duty shall be treated as full-time National Guard duty
for purposes of sections 12602(a)(2) and (b)(2) of title 10,
United States Code.
SEC. 8054. Funds appropriated in this Act for oper-
ation and maintenance of the Military Departments, Com-
batant Commands and Defense Agencies shall be available
for reimbursement of pay, allowances and other expenses
which would otherwise be incurred against appropriations
for the National Guard and Reserve when members of the
National Guard and Reserve provide intelligence or coun-
terintelligence support to Combatant Commands, Defense
Agencies and Joint Intelligence Activities, including the ac-
tivities and programs included within the National Foreign
Intelligence Program (NFIP), the Joint Military Intel-
ligence Program (JMIP), and the Tactical Intelligence and
Related Activities (TIARA) aggregate: Provided, That noth-
ing in this section authorizes deviation from established Re-
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serve and National Guard personnel and training proce-
dures.
SEC. 8055. During the current fiscal year, none of the
funds appropriated in this Act may be used to reduce the
civilian medical and medical support personnel assigned to
military treatment facilities below the September 30, 2002
level: Provided, That the Service Surgeons General may
waive this section by certifying to the congressional defense
committees that the beneficiary population is declining in
some catchment areas and civilian strength reductions may
be consistent with responsible resource stewardship and
capitation-based budgeting.
SEC. 8056. (a) LIMITATION ON PENTAGON RENOVA-
TION COSTS.—Not later than the date each year on which
the President submits to Congress the budget under section
1105 of title 31, United States Code, the Secretary of De-
fense shall submit to Congress a certification that the total
cost for the planning, design, construction, and installation
of equipment for the renovation of wedges 2 through 5 of
the Pentagon Reservation, cumulatively, will not exceed
four times the total cost for the planning, design, construc-
tion, and installation of equipment for the renovation of
wedge 1.
(b) ANNUAL ADJUSTMENT.—For purposes of applying
the limitation in subsection (a), the Secretary shall adjust
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the cost for the renovation of wedge 1 by any increase or
decrease in costs attributable to economic inflation, based
on the most recent economic assumptions issued by the Of-
fice of Management and Budget for use in preparation of
the budget of the United States under section 1104 of title
31, United States Code.
(c) EXCLUSION OF CERTAIN COSTS.—For purposes of
calculating the limitation in subsection (a), the total cost
for wedges 2 through 5 shall not include—
(1) any repair or reconstruction cost incurred as
a result of the terrorist attack on the Pentagon that
occurred on September 11, 2001;
(2) any increase in costs for wedges 2 through 5
attributable to compliance with new requirements of
Federal, State, or local laws; and
(3) any increase in costs attributable to addi-
tional security requirements that the Secretary of De-
fense considers essential to provide a safe and secure
working environment.
(d) CERTIFICATION COST REPORTS.—As part of the
annual certification under subsection (a), the Secretary
shall report the projected cost (as of the time of the certifi-
cation) for—
(1) the renovation of each wedge, including the
amount adjusted or otherwise excluded for such wedge
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under the authority of paragraphs (2) and (3) of sub-
section (c) for the period covered by the certification;
and
(2) the repair and reconstruction of wedges 1
and 2 in response to the terrorist attack on the Pen-
tagon that occurred on September 11, 2001.
(e) DURATION OF CERTIFICATION REQUIREMENT.—
The requirement to make an annual certification under
subsection (a) shall apply until the Secretary certifies to
Congress that the renovation of the Pentagon Reservation
is completed.
SEC. 8057. Notwithstanding any other provision of
law, that not more than 35 percent of funds provided in
this Act for environmental remediation may be obligated
under indefinite delivery/indefinite quantity contracts with
a total contract value of $130,000,000 or higher.
SEC. 8058. (a) None of the funds available to the De-
partment of Defense for any fiscal year for drug interdic-
tion or counter-drug activities may be transferred to any
other department or agency of the United States except as
specifically provided in an appropriations law.
(b) None of the funds available to the Central Intel-
ligence Agency for any fiscal year for drug interdiction and
counter-drug activities may be transferred to any other de-
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partment or agency of the United States except as specifi-
cally provided in an appropriations law.
(TRANSFER OF FUNDS)
SEC. 8059. Appropriations available in this Act under
the heading ‘‘Operation and Maintenance, Defense-Wide’’
for increasing energy and water efficiency in Federal build-
ings may, during their period of availability, be transferred
to other appropriations or funds of the Department of De-
fense for projects related to increasing energy and water ef-
ficiency, to be merged with and to be available for the same
general purposes, and for the same time period, as the ap-
propriation or fund to which transferred.
SEC. 8060. None of the funds appropriated by this Act
may be used for the procurement of ball and roller bearings
other than those produced by a domestic source and of do-
mestic origin: Provided, That the Secretary of the military
department responsible for such procurement may waive
this restriction on a case-by-case basis by certifying in writ-
ing to the Committees on Appropriations of the House of
Representatives and the Senate, that adequate domestic
supplies are not available to meet Department of Defense
requirements on a timely basis and that such an acquisition
must be made in order to acquire capability for national
security purposes: Provided further, That this restriction
shall not apply to the purchase of ‘‘commercial items’’, as
defined by section 4(12) of the Office of Federal Procure-
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ment Policy Act, except that the restriction shall apply to
ball or roller bearings purchased as end items.
SEC. 8061. Notwithstanding any other provision of
law, funds available to the Department of Defense shall be
made available to provide transportation of medical sup-
plies and equipment, on a nonreimbursable basis, to Amer-
ican Samoa, and funds available to the Department of De-
fense shall be made available to provide transportation of
medical supplies and equipment, on a nonreimbursable
basis, to the Indian Health Service when it is in conjunc-
tion with a civil-military project.
SEC. 8062. None of the funds in this Act may be used
to purchase any supercomputer which is not manufactured
in the United States, unless the Secretary of Defense cer-
tifies to the congressional defense committees that such an
acquisition must be made in order to acquire capability for
national security purposes that is not available from
United States manufacturers.
SEC. 8063. Notwithstanding any other provision of
law, the Naval shipyards of the United States shall be eligi-
ble to participate in any manufacturing extension program
financed by funds appropriated in this or any other Act.
SEC. 8064. Notwithstanding any other provision of
law, each contract awarded by the Department of Defense
during the current fiscal year for construction or service
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performed in whole or in part in a State (as defined in
section 381(d) of title 10, United States Code) which is not
contiguous with another State and has an unemployment
rate in excess of the national average rate of unemployment
as determined by the Secretary of Labor, shall include a
provision requiring the contractor to employ, for the pur-
pose of performing that portion of the contract in such State
that is not contiguous with another State, individuals who
are residents of such State and who, in the case of any craft
or trade, possess or would be able to acquire promptly the
necessary skills: Provided, That the Secretary of Defense
may waive the requirements of this section, on a case-by-
case basis, in the interest of national security.
SEC. 8065. None of the funds made available in this
or any other Act may be used to pay the salary of any
officer or employee of the Department of Defense who ap-
proves or implements the transfer of administrative respon-
sibilities or budgetary resources of any program, project,
or activity financed by this Act to the jurisdiction of an-
other Federal agency not financed by this Act without the
express authorization of Congress: Provided, That this limi-
tation shall not apply to transfers of funds expressly pro-
vided for in Defense Appropriations Acts, or provisions of
Acts providing supplemental appropriations for the De-
partment of Defense.
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SEC. 8066. (a) LIMITATION ON TRANSFER OF DE-
FENSE ARTICLES AND SERVICES.—Notwithstanding any
other provision of law, none of the funds available to the
Department of Defense for the current fiscal year may be
obligated or expended to transfer to another nation or an
international organization any defense articles or services
(other than intelligence services) for use in the activities de-
scribed in subsection (b) unless the congressional defense
committees, the Committee on International Relations of
the House of Representatives, and the Committee on For-
eign Relations of the Senate are notified 15 days in advance
of such transfer.
(b) COVERED ACTIVITIES.—This section applies to—
(1) any international peacekeeping or peace-en-
forcement operation under the authority of chapter VI
or chapter VII of the United Nations Charter under
the authority of a United Nations Security Council
resolution; and
(2) any other international peacekeeping, peace-
enforcement, or humanitarian assistance operation.
(c) REQUIRED NOTICE.—A notice under subsection (a)
shall include the following:
(1) A description of the equipment, supplies, or
services to be transferred.
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(2) A statement of the value of the equipment,
supplies, or services to be transferred.
(3) In the case of a proposed transfer of equip-
ment or supplies—
(A) a statement of whether the inventory re-
quirements of all elements of the Armed Forces
(including the reserve components) for the type
of equipment or supplies to be transferred have
been met; and
(B) a statement of whether the items pro-
posed to be transferred will have to be replaced
and, if so, how the President proposes to provide
funds for such replacement.
SEC. 8067. To the extent authorized by subchapter VI
of chapter 148 of title 10, United States Code, the Secretary
of Defense may issue loan guarantees in support of United
States defense exports not otherwise provided for: Provided,
That the total contingent liability of the United States for
guarantees issued under the authority of this section may
not exceed $15,000,000,000: Provided further, That the ex-
posure fees charged and collected by the Secretary for each
guarantee shall be paid by the country involved and shall
not be financed as part of a loan guaranteed by the United
States: Provided further, That the Secretary shall provide
quarterly reports to the Committees on Appropriations,