H. R. 4546
One Hundred Seventh Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Wednesday,
the twenty-third day of January, two thousand and two
An Act
To authorize appropriations for fiscal year 2003 for military activities of the Depart-
ment of Defense, for military construction, and for defense activities of the Depart-
ment of Energy, to prescribe personnel strengths for such fiscal year for the
Armed Forces, and for other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; FINDINGS.
(a) SHORT TITLE.—This Act may be cited as the ‘‘Bob Stump
National Defense Authorization Act for Fiscal Year 2003’’.
(b) FINDINGS.—Congress makes the following findings:
(1) Representative Bob Stump of Arizona was elected to
the House of Representatives in 1976 for service in the 95th
Congress, after serving in the Arizona legislature for 18 years
and serving as President of the Arizona State Senate from
1975 to 1976, and he has been reelected to each subsequent
Congress.
(2) A World War II combat veteran, Representative Stump
entered service in the United States Navy in 1943, just after
his 16th birthday, and served aboard the USS LUNGA POINT
and the USS TULAGI, which participated in the invasions
of Luzon, Iwo Jima, and Okinawa.
(3) Representative Stump was elected to the Committee
on Armed Services in 1978 and has served on nearly all of
its subcommittees and panels during 25 years of distinguished
service on the committee. He has served as chairman of the
committee during the 107th Congress and has championed
United States national security as the paramount function of
the Federal Government.
(4) Also serving on the Committee on Veterans’ Affairs
of the House of Representatives, chairing that committee from
1995 to 2000, and serving on the Permanent Select Committee
on Intelligence of the House of Representatives, including
service as the ranking minority member in 1985 and 1986,
Representative Stump has dedicated his entire congressional
career to steadfastly supporting America’s courageous men and
women in uniform both on and off the battlefield.
(5) Representative Stump’s tireless efforts on behalf of those
in the military and veterans have been recognized with
numerous awards for outstanding service from active duty and
reserve military, veterans’ service, military retiree, and
industry organizations.
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(6) During his tenure as chairman of the Committee on
Armed Services of the House of Representatives, Representative
Stump has—
(A) overseen the largest sustained increase to defense
spending since the Reagan administration;
(B) led efforts to improve the quality of military life,
including passage of the largest military pay raise since
1982;
(C) supported military retirees, including efforts to
reverse concurrent receipt law and to save the Armed
Forces Retirement Homes;
(D) championed military readiness by defending mili-
tary access to critical training facilities such Vieques,
Puerto Rico, expanding the National Training Center at
Ft. Irwin, California, and working to restore balance
between environmental concerns and military readiness
requirements;
(E) reinvigorated efforts to defend America against
ballistic missiles by supporting an increase in fiscal year
2002 of nearly 50 percent above the fiscal year 2001 level
for missile defense programs; and
(F) honored America’s war heroes by expanding
Arlington National Cemetery, establishing a site for the
Air Force Memorial, and assuring construction of the World
War II Memorial.
(7) In recognition of his long record of accomplishments
in enhancing the national security of the United States and
his legislative victories on behalf of active duty service mem-
bers, reservists, guardsmen, and veterans, it is altogether fit-
ting and proper that this Act be named in honor of Representa-
tive Bob Stump of Arizona, as provided in subsection (a).
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.
(a) DIVISIONS.—This Act is organized into three divisions as
follows:
(1) Division A—Department of Defense Authorizations.
(2) Division B—Military Construction Authorizations.
(3) Division C—Department of Energy National Security
Authorizations and Other Authorizations.
(b) TABLE OF CONTENTS.—The table of contents for this Act
is as follows:
Sec. 1. Short title; findings.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.
DIVISION A—DEPARTMENT OF DEFENSE
AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical Agents and Munitions Destruction, Defense.
Sec. 107. Defense health programs.
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Subtitle B—Army Programs
Sec. 111. Pilot program on sales of manufactured articles and services of certain
Army industrial facilities without regard to availability from domestic
sources.
Sec. 112. Report on impact of Army aviation modernization plan on the Army Na-
tional Guard.
Sec. 113. Family of Medium Tactical Vehicles.
Subtitle C—Navy Programs
Sec. 121. Extension of multiyear procurement authority for DDG–51 class destroy-
ers.
Sec. 122. Sense of Congress on scope of conversion program for Ticonderoga-class
cruisers.
Sec. 123. Continuation of contract for operation of Champion-class T–5 fuel tanker
vessels.
Subtitle D—Air Force Programs
Sec. 131. Multiyear procurement authority for C–130J aircraft program.
Sec. 132. Pathfinder programs.
Sec. 133. Leases for tanker aircraft under multiyear aircraft-lease pilot program.
Subtitle E—Other Programs
Sec. 141. Destruction of existing stockpile of lethal chemical agents and munitions.
Sec. 142. Report on unmanned aerial vehicle systems.
Sec. 143. Global Information Grid system.
TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
Subtitle A—Authorization of Appropriations
Sec. 201. Authorization of appropriations.
Sec. 202. Amount for defense science and technology.
Sec. 203. Defense health programs.
Subtitle B—Program Requirements, Restrictions, and Limitations
Sec. 211. RAH–66 Comanche aircraft program.
Sec. 212. Extension of requirements relating to management responsibility for
naval mine countermeasures programs.
Sec. 213. Revised requirements for plan for Manufacturing Technology Program.
Sec. 214. Advanced SEAL Delivery System.
Sec. 215. Army experimentation program regarding design of the objective force.
Sec. 216. Program to provide Army with self-propelled Future Combat Systems
non-line-of-sight cannon indirect fire capability for the objective force.
Sec. 217. Prohibition on transfer of Medical Free Electron Laser program.
Sec. 218. Littoral combat ship program.
Subtitle C—Ballistic Missile Defense
Sec. 221. Report requirements relating to ballistic missile defense programs.
Sec. 222. Responsibility of Missile Defense Agency for research, development, test,
and evaluation related to system improvements of programs transferred
to military departments.
Sec. 223. Limitation on obligation of funds for Theater High Altitude Area Defense
Program pending submission of required life-cycle cost information.
Sec. 224. Provision of information on flight testing of Ground-based Midcourse Na-
tional Missile Defense system.
Sec. 225. References to new name for Ballistic Missile Defense Organization.
Sec. 226. One-year limitation on use of funds for nuclear armed interceptors.
Subtitle D—Improved Management of Department of Defense Test and
Evaluation Facilities
Sec. 231. Department of Defense Test Resource Management Center.
Sec. 232. Objective for institutional funding of test and evaluation facilities.
Sec. 233. Uniform financial management system for Department of Defense test
and evaluation facilities.
Sec. 234. Test and evaluation workforce improvements.
Sec. 235. Compliance with testing requirements.
Subtitle E—Other Matters
Sec. 241. Pilot programs for revitalizing Department of Defense laboratories.
Sec. 242. Technology Transition Initiative.
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Sec. 243. Defense Acquisition Challenge Program.
Sec. 244. Encouragement of small businesses and nontraditional defense contrac-
tors to submit proposals potentially beneficial for combating terrorism.
Sec. 245. Vehicle fuel cell program.
Sec. 246. Defense nanotechnology research and development program.
Sec. 247. Activities of the Defense Experimental Program to Stimulate Competitive
Research.
Sec. 248. Four-year extension of authority of DARPA to award prizes for advanced
technology achievements and additional authority of military depart-
ments and Defense Agencies to award prizes for achievements in pro-
moting education.
Sec. 249. Plan for five-year program for enhancement of measurement and signa-
tures intelligence capabilities of the United States through incorporation
of results of basic research on sensors.
TITLE III—OPERATION AND MAINTENANCE
Subtitle A—Authorization of Appropriations
Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Grant to National Guard Youth Foundation.
Subtitle B—Environmental Provisions
Sec. 311. Enhancement of authority on cooperative agreements for environmental
purposes.
Sec. 312. Single point of contact for policy and budgeting issues regarding
unexploded ordnance, discarded military munitions, and munitions con-
stituents.
Sec. 313. Authority to carry out construction projects for environmental responses.
Sec. 314. Procurement of environmentally preferable procurement items.
Sec. 315. Incidental taking of migratory birds during military readiness activities.
Subtitle C—Commissaries and Nonappropriated Fund Instrumentalities
Sec. 321. Authority for each military department to provide base operating support
to Fisher Houses.
Sec. 322. Use of commissary stores and MWR retail facilities by members of Na-
tional Guard serving in national emergency.
Sec. 323. Uniform funding and management of morale, welfare, and recreation pro-
grams.
Sec. 324. Rebate agreements under the special supplemental food program.
Subtitle D—Workplace and Depot Issues
Sec. 331. Notification requirements in connection with required studies for conver-
sion of commercial or industrial type functions to contractor perform-
ance.
Sec. 332. Temporary authority for contractor performance of security-guard func-
tions to meet increased requirements since September 11, 2001.
Sec. 333. Repeal of obsolete provision regarding depot-level maintenance and repair
workloads that were performed at closed or realigned military installa-
tions.
Sec. 334. Exclusion of certain expenditures from limitation on private sector per-
formance of depot-level maintenance.
Subtitle E—Defense Dependents Education
Sec. 341. Assistance to local educational agencies that benefit dependents of mem-
bers of the Armed Forces and Department of Defense civilian employees.
Sec. 342. Housing benefits for unaccompanied teachers required to live at Guanta-
namo Bay Naval Station, Cuba.
Sec. 343. Options for funding dependent summer school programs.
Sec. 344. Impact aid eligibility for local educational agencies affected by privatiza-
tion of military housing.
Sec. 345. Comptroller General study of adequacy of compensation provided for
teachers in the Department of Defense Overseas Dependents’ Schools.
Subtitle F—Information Technology
Sec. 351. Annual submission of information regarding information technology cap-
ital assets.
Sec. 352. Policy regarding acquisition of information assurance and information as-
surance-enabled information technology products.
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Sec. 353. Installation and connection policy and procedures regarding Defense
Switch Network.
Subtitle G—Other Matters
Sec. 361. Distribution of monthly reports on allocation of funds within operation
and maintenance budget subactivities.
Sec. 362. Continuation of arsenal support program initiative.
Sec. 363. Extension of work safety demonstration program.
Sec. 364. Condition on authority of Defense Security Service to impose fees on fee-
for-service basis.
Sec. 365. Logistics support and services for weapon systems contractors.
Sec. 366. Training range sustainment plan, Global Status of Resources and Train-
ing System, and training range inventory.
Sec. 367. Engineering study and environmental analysis of road modifications in vi-
cinity of Fort Belvoir, Virginia.
Sec. 368. Reauthorization of warranty claims recovery pilot program.
Sec. 369. Expanded eligibility for loan, gift, or exchange of documents, historical ar-
tifacts, and condemned or obsolete combat materiel.
TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS
Subtitle A—Active Forces
Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.
Sec. 403. Expanded authority for administrative increases in statutory active-duty
end strengths.
Sec. 404. General and flag officer management.
Sec. 405. Extension of certain authorities relating to management of numbers of
general and flag officers in certain grades.
Sec. 406. Increase in authorized strengths for Marine Corps officers on active duty
in the grade of colonel.
Subtitle B—Reserve Forces
Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2003 limitation on non-dual status technicians.
Subtitle C—Authorization of Appropriations
Sec. 421. Authorization of appropriations for military personnel.
TITLE V—MILITARY PERSONNEL POLICY
Subtitle A—Officer Personnel Policy
Sec. 501. Extension of good-of-the-service waiver authority for officers appointed to
a Reserve Chief or Guard Director position.
Sec. 502. Exclusion of certain officers from limitation on authority to grant a waiv-
er of required completion or sequencing for joint professional military
education.
Sec. 503. Extension and codification of authority for recall of retired aviators to ac-
tive duty.
Sec. 504. Grades for certain positions.
Sec. 505. Reinstatement of authority to reduce three-year time-in-grade require-
ment for retirement in grade for officers in grades above major and lieu-
tenant commander.
Sec. 506. Authority to require that an officer take leave pending review of a rec-
ommendation for removal by a board of inquiry.
Subtitle B—Reserve Component Management
Sec. 511. Reviews of National Guard strength accounting and management and
other issues.
Sec. 512. Courts-martial for the National Guard when not in Federal service.
Sec. 513. Fiscal year 2003 funding for military personnel costs of reserve compo-
nent Special Operations Forces personnel engaged in humanitarian as-
sistance activities relating to clearing of landmines.
Sec. 514. Use of Reserves to perform duties relating to defense against terrorism.
Sec. 515. Repeal of prohibition on use of Air Force Reserve AGR personnel for Air
Force base security functions.
Subtitle C—Reserve Component Officer Personnel Policy
Sec. 521. Eligibility for consideration for promotion to grade of major general for
certain reserve component brigadier generals who do not otherwise
qualify for consideration for promotion under the one-year rule.
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Sec. 522. Authority for limited extension of medical deferment of mandatory retire-
ment or separation of reserve component officers.
Subtitle D—Enlistment, Education, and Training Programs
Sec. 531. Enlistment incentives for pursuit of skills to facilitate national service.
Sec. 532. Authority for phased increase to 4,400 in authorized strengths for the
service academies.
Sec. 533. Enhancement of reserve component delayed training program.
Sec. 534. Review of Armed Forces programs for preparation for, participation in,
and conduct of athletic competitions.
Sec. 535. Repeal of bar to eligibility of Army College First program participants for
benefits under student loan repayment program.
Subtitle E—Decorations, Awards, and Commendations
Sec. 541. Waiver of time limitations for award of Army Distinguished-Service Cross
to certain persons.
Sec. 542. Option to convert award of Armed Forces Expeditionary Medal awarded
for Operation Frequent Wind to Vietnam Service Medal.
Sec. 543. Korea Defense Service Medal.
Sec. 544. Commendation of military chaplains.
Subtitle F—Administrative Matters
Sec. 551. Staffing and funding for Defense Prisoner of War/Missing Personnel Of-
fice.
Sec. 552. Three-year freeze on reductions of personnel of agencies responsible for
review and correction of military records.
Sec. 553. Authority for acceptance of voluntary services of individuals as proctors
for administration of Armed Services Vocational Aptitude Battery test.
Sec. 554. Extension of temporary early retirement authority.
Subtitle G—Matters Relating to Minorities and Women in the Armed Forces
Sec. 561. Surveys of racial and ethnic issues and of gender issues in the Armed
Forces.
Sec. 562. Annual report on status of female members of the Armed Forces.
Sec. 563. Wear of abayas by female members of the Armed Forces in Saudi Arabia.
Subtitle H—Benefits
Sec. 571. Department of Defense support for persons participating in military fu-
neral honors details.
Sec. 572. Emergency leave of absence program.
Sec. 573. Enhanced flexibility in medical loan repayment program.
Sec. 574. Destinations authorized for Government paid transportation of enlisted
personnel for rest and recuperation absence upon extending duty at des-
ignated locations overseas.
Sec. 575. Vehicle storage in lieu of transportation when member is ordered to a
nonforeign duty station outside continental United States.
Subtitle I—Reports
Sec. 581. Quadrennial quality of life review.
Sec. 582. Report on desirability and feasibility of consolidating separate courses of
basic instruction for judge advocates.
Sec. 583. Reports on efforts to resolve status of Captain Michael Scott Speicher,
United States Navy.
Sec. 584. Report on volunteer services of members of the reserve components in
emergency response to the terrorist attacks of September 11, 2001.
TITLE VI—COMPENSATION AND OTHER PERSONNEL BENEFITS
Subtitle A—Pay and Allowances
Sec. 601. Increase in basic pay for fiscal year 2003.
Sec. 602. Basic allowance for housing in cases of low-cost or no-cost moves.
Sec. 603. Rate of basic allowance for subsistence for enlisted personnel occupying
single Government quarters without adequate availability of meals.
Subtitle B—Bonuses and Special and Incentive Pays
Sec. 611. One-year extension of certain bonus and special pay authorities for re-
serve forces.
Sec. 612. One-year extension of certain bonus and special pay authorities for cer-
tain health care professionals.
Sec. 613. One-year extension of special pay and bonus authorities for nuclear offi-
cers.
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Sec. 614. One-year extension of other bonus and special pay authorities.
Sec. 615. Increase in maximum rates for certain special pays, bonuses, and finan-
cial assistance for health care professionals.
Sec. 616. Assignment incentive pay.
Sec. 617. Increase in maximum rates for prior service enlistment bonus.
Sec. 618. Retention incentives for health care professionals qualified in a critical
military skill.
Subtitle C—Travel and Transportation Allowances
Sec. 621. Extension of leave travel deferral period for members performing consecu-
tive overseas tours of duty.
Sec. 622. Transportation of motor vehicles for members reported missing.
Subtitle D—Retired Pay and Survivor Benefits
Sec. 631. Permanent reduction from eight to six in number of years of reserve serv-
ice required for eligibility for retired pay for non-regular service.
Sec. 632. Increased retired pay for enlisted Reserves credited with extraordinary
heroism.
Sec. 633. Elimination of possible inversion in retired pay cost-of-living adjustment
for initial COLA computation.
Sec. 634. Technical revisions to so-called ‘‘forgotten widows’’ annuity program.
Sec. 635. Expansion of authority of Secretary of Defense to waive time limitations
on claims against the Government for military personnel benefits.
Sec. 636. Special compensation for certain combat-related disabled uniformed serv-
ices retirees.
Subtitle E—Montgomery GI Bill
Sec. 641. Time limitation for use of Montgomery GI Bill entitlement by members
of the Selected Reserve.
Sec. 642. Repayment requirements under Reserve Component Montgomery GI Bill
arising from failure to participate satisfactorily in military service to be
considered debts owed to the United States.
Sec. 643. Technical adjustments to authority for certain members to transfer edu-
cational assistance under Montgomery GI Bill to dependents.
Subtitle F—Other Matters
Sec. 651. Payment of interest on student loans.
Sec. 652. Additional authority to provide assistance for families of members of the
Armed Forces.
Sec. 653. Repeal of authority for acceptance of honoraria by personnel at certain
Department of Defense schools.
Sec. 654. Addition of definition of continental United States in title 37.
TITLE VII—HEALTH CARE PROVISIONS
Subtitle A—Health Care Program Improvements
Sec. 701. Elimination of requirement for TRICARE preauthorization of inpatient
mental health care for medicare-eligible beneficiaries.
Sec. 702. Continued TRICARE eligibility of dependents residing at remote locations
after departure of sponsors for unaccompanied assignments and eligi-
bility of dependents of reserve component members ordered to active
duty.
Sec. 703. Eligibility of surviving dependents for TRICARE dental program benefits
after discontinuance of former enrollment.
Sec. 704. Department of Defense Medicare-Eligible Retiree Health Care Fund.
Sec. 705. Approval of medicare providers as TRICARE providers.
Sec. 706. Technical corrections relating to transitional health care for members sep-
arated from active duty.
Sec. 707. Extension of temporary authority to enter into personal services contracts
for the performance of health care responsibilities at locations other
than military medical treatment facilities.
Sec. 708. Access to health care services for beneficiaries eligible for TRICARE and
Department of Veterans Affairs health care.
Sec. 709. Disclosure of information on Project 112 to Department of Veterans Af-
fairs.
Subtitle B—Reports
Sec. 711. Claims information.
Sec. 712. Comptroller General report on provision of care under the TRICARE pro-
gram.
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Sec. 713. Repeal of report requirement.
Subtitle C—Department of Defense-Department of Veterans Affairs Health
Resources Sharing
Sec. 721. Revised coordination and sharing guidelines.
Sec. 722. Health care resources sharing and coordination project.
Sec. 723. Report on improved coordination and sharing of health care and health
care resources following domestic acts of terrorism or domestic use of
weapons of mass destruction.
Sec. 724. Interoperability of Department of Veterans Affairs and Department of De-
fense pharmacy data systems.
Sec. 725. Joint pilot program for providing graduate medical education and training
for physicians.
Sec. 726. Repeal of certain limits on Department of Veterans Affairs resources.
TITLE VIII—ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND
RELATED MATTERS
Subtitle A—Acquisition Policy and Management
Sec. 801. Buy-to-budget acquisition of end items.
Sec. 802. Report to Congress on evolutionary acquisition of major defense acquisi-
tion programs.
Sec. 803. Spiral development under major defense acquisition programs.
Sec. 804. Improvement of software acquisition processes.
Sec. 805. Performance goals for procuring services pursuant to multiple award con-
tracts.
Sec. 806. Rapid acquisition and deployment procedures.
Sec. 807. Quick-reaction special projects acquisition team.
Subtitle B—Amendments to General Contracting Authorities, Procedures,
and Limitations
Sec. 811. Limitation period for task and delivery order contracts.
Sec. 812. One-year extension of program applying simplified procedures to certain
commercial items; report.
Sec. 813. Extension and improvement of personnel demonstration policies and pro-
cedures applicable to the civilian acquisition workforce.
Sec. 814. Past performance given significant weight in renewal of procurement
technical assistance cooperative agreements.
Sec. 815. Increased maximum amount of assistance for tribal organizations or eco-
nomic enterprises carrying out procurement technical assistance pro-
grams in two or more service areas.
Sec. 816. Extension of contract goal for small disadvantaged businesses and certain
institutions of higher education.
Sec. 817. Grants of exceptions to cost or pricing data certification requirements and
waivers of cost accounting standards.
Sec. 818. Timing of certification in connection with waiver of survivability and
lethality testing requirements.
Sec. 819. Contracting with Federal Prison Industries.
Sec. 820. Revisions to multiyear contracting authority.
Subtitle C—Acquisition-Related Reports and Other Matters
Sec. 821. Evaluation of training, knowledge, and resources regarding negotiation of
intellectual property arrangements.
Sec. 822. Independent technology readiness assessments.
Sec. 823. Extension and amendment of requirement for annual report on defense
commercial pricing management improvement.
Sec. 824. Assessment of purchases of products and services through contracts with
other Federal departments and agencies.
Sec. 825. Repeal of certain requirements and Comptroller General reviews of the
requirements.
Sec. 826. Multiyear procurement authority for purchase of dinitrogen tetroxide, hy-
drazine, and hydrazine-related products.
Sec. 827. Multiyear procurement authority for environmental services for military
installations.
Sec. 828. Report on effects of Army Contracting Agency.
Sec. 829. Authorization to take actions to correct the industrial resource shortfall
for radiation-hardened electronics.
TITLE IX—DEPARTMENT OF DEFENSE ORGANIZATION AND
MANAGEMENT
Subtitle A—Duties and Functions of Department of Defense Officers
Sec. 901. Under Secretary of Defense for Intelligence.
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Sec. 902. Reorganization of Office of Secretary of Defense for administration of du-
ties relating to homeland defense and combating terrorism.
Subtitle B—Space Activities
Sec. 911. Oversight of acquisition for defense space programs.
Sec. 912. Report regarding assured access to space for the United States.
Subtitle C—Reports
Sec. 921. Report on establishment of United States Northern Command.
Sec. 922. Time for submittal of report on Quadrennial Defense Review.
Sec. 923. National defense mission of Coast Guard to be included in future Quad-
rennial Defense Reviews.
Sec. 924. Report on establishment of a Joint National Training Complex and joint
opposing forces.
Subtitle D—Other Matters
Sec. 931. Authority to accept gifts for National Defense University.
Sec. 932. Western Hemisphere Institute for Security Cooperation.
Sec. 933. Conforming amendment to reflect disestablishment of Department of De-
fense Consequence Management Program Integration Office.
Sec. 934. Increase in number of Deputy Commandants of the Marine Corps.
TITLE X—GENERAL PROVISIONS
Subtitle A—Financial Matters
Sec. 1001. Transfer authority.
Sec. 1002. Authorization of supplemental appropriations for fiscal year 2002.
Sec. 1003. United States contribution to NATO common-funded budgets in fiscal
year 2003.
Sec. 1004. Development and implementation of financial management enterprise
architecture.
Sec. 1005. Accountable officials in the Department of Defense.
Sec. 1006. Uniform standards throughout Department of Defense for exposure of
personnel to pecuniary liability for loss of Government property.
Sec. 1007. Improvements in purchase card management.
Sec. 1008. Improvements in travel card management.
Sec. 1009. Clearance of certain transactions recorded in Treasury suspense ac-
counts and resolution of certain check issuance discrepancies.
Sec. 1010. Authorization of funds for ballistic missile defense programs or com-
bating terrorism programs of the Department of Defense.
Sec. 1011. Reduction in overall authorization due to inflation savings.
Subtitle B—Naval Vessels and Shipyards
Sec. 1021. Number of Navy combatant surface vessels in active and reserve service.
Sec. 1022. Annual long-range plan for the construction of naval vessels.
Sec. 1023. Assessment of the feasibility of the expedited equipping of a Navy ship
with a version of the 155-millimeter Advanced Gun System.
Sec. 1024. Report on initiatives to increase operational days of Navy ships.
Sec. 1025. Ship combat system industrial base.
Sec. 1026. Sense of Congress concerning aircraft carrier force structure.
Sec. 1027. Conveyance, Navy drydock, Portland, Oregon.
Subtitle C—Strategic Matters
Sec. 1031. Strategic force structure plan for nuclear weapons and delivery systems.
Sec. 1032. Annual report on weapons to defeat hardened and deeply buried targets.
Sec. 1033. Report on effects of nuclear earth-penetrator weapon and other weapons.
Subtitle D—Reports
Sec. 1041. Repeal and modification of various reporting requirements applicable to
the Department of Defense.
Sec. 1042. Requirement that Department of Defense reports to Congress be accom-
panied by electronic version.
Sec. 1043. Annual report on the conduct of military operations conducted as part
of Operation Enduring Freedom.
Sec. 1044. Report on efforts to ensure adequacy of fire fighting staffs at military
installations.
Sec. 1045. Report on designation of certain Louisiana highway as Defense Access
Road.
Subtitle E—Extension of Expiring Authorities
Sec. 1051. Extension of authority for Secretary of Defense to sell aircraft and air-
craft parts for use in responding to oil spills.
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Sec. 1052. Six-month extension of expiring Governmentwide information security
requirements; continued applicability of expiring Governmentwide infor-
mation security requirements to the Department of Defense.
Sec. 1053. Two-year extension of authority of the Secretary of Defense to engage
in commercial activities as security for intelligence collection activities
abroad.
Subtitle F—Other Matters
Sec. 1061. Time for transmittal of annual defense authorization legislative pro-
posal.
Sec. 1062. Technical and clerical amendments.
Sec. 1063. Use for law enforcement purposes of DNA samples maintained by De-
partment of Defense for identification of human remains.
Sec. 1064. Enhanced authority to obtain foreign language services during periods
of emergency.
Sec. 1065. Rewards for assistance in combating terrorism.
Sec. 1066. Provision of space and services to military welfare societies.
Sec. 1067. Prevention and mitigation of corrosion of military equipment and infra-
structure.
Sec. 1068. Transfer of historic DF–9E Panther aircraft to Women Airforce Service
Pilots Museum.
Sec. 1069. Increase in amount authorized to be expended for Department of De-
fense program to commemorate 50th anniversary of the Korean War.
TITLE XI—DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL
Sec. 1101. Eligibility of Department of Defense nonappropriated fund employees for
long-term care insurance.
Sec. 1102. Extension of Department of Defense authority to make lump-sum sever-
ance payments.
Sec. 1103. Continuation of Federal Employee Health Benefits Program eligibility.
Sec. 1104. Certification for Department of Defense professional accounting posi-
tions.
TITLE XII—MATTERS RELATING TO OTHER NATIONS
Sec. 1201. Authority to provide administrative services and support for coalition li-
aison officers.
Sec. 1202. Authority to pay for certain travel of defense personnel of countries par-
ticipating in NATO Partnership for Peace program.
Sec. 1203. Limitation on funding for Joint Data Exchange Center in Moscow.
Sec. 1204. Support of United Nations-sponsored efforts to inspect and monitor Iraqi
weapons activities.
Sec. 1205. Comprehensive annual report to Congress on coordination and integra-
tion of all United States nonproliferation activities.
Sec. 1206. Report requirement regarding Russian proliferation to Iran and other
countries of proliferation concern.
Sec. 1207. Monitoring of implementation of 1979 agreement between the United
States and China on cooperation in science and technology.
Sec. 1208. Extension of certain counterproliferation activities and programs.
Sec. 1209. Semiannual report by Director of Central Intelligence on contributions
by foreign persons to efforts by countries of proliferation concern to ob-
tain weapons of mass destruction and their delivery systems.
Sec. 1210. Report on feasibility and advisability of senior officer exchanges between
the Armed Forces of the United States and the military forces of Tai-
wan.
Sec. 1211. Report on United States force structure in the Pacific.
TITLE XIII—COOPERATIVE THREAT REDUCTION WITH STATES OF THE
FORMER SOVIET UNION
Sec. 1301. Specification of Cooperative Threat Reduction programs and funds.
Sec. 1302. Funding allocations.
Sec. 1303. Prohibition against use of funds until submission of reports.
Sec. 1304. Report on use of revenue generated by activities carried out under Coop-
erative Threat Reduction programs.
Sec. 1305. Prohibition against use of funds for second wing of fissile material stor-
age facility.
Sec. 1306. Limited waiver of restrictions on use of funds for threat reduction in
states of the former Soviet Union.
TITLE XIV—HOMELAND SECURITY
Sec. 1401. Transfer of technology items and equipment in support of homeland se-
curity.
H. R. 4546—11
Sec. 1402. Comprehensive plan for improving the preparedness of military installa-
tions for terrorist incidents.
Sec. 1403. Additional Weapons of Mass Destruction Civil Support Teams.
Sec. 1404. Report on the role of the Department of Defense in supporting homeland
security.
Sec. 1405. Sense of Congress on Department of Defense assistance to local first re-
sponders.
TITLE XV—AUTHORIZATION OF APPROPRIATIONS FOR THE WAR ON
TERRORISM
Sec. 1501. Authorization of appropriations for continued operations for the war on
terrorism.
Sec. 1502. Mobilization and personnel.
Sec. 1503. Operations.
Sec. 1504. Equipment replacement and enhancement.
Sec. 1505. Classified activities.
Sec. 1506. Procurement of munitions.
Sec. 1507. Discretionary restoration of authorizations of appropriations reduced for
management efficiencies.
Sec. 1508. General provisions applicable to transfers.
DIVISION B—MILITARY CONSTRUCTION
AUTHORIZATIONS
Sec. 2001. Short title.
TITLE XXI—ARMY
Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 2002 projects.
Sec. 2106. Modification of authority to carry out certain fiscal year 2001 project.
TITLE XXII—NAVY
Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 2002 projects.
TITLE XXIII—AIR FORCE
Sec. 2301. Authorized Air Force construction and land acquisition projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Authority for use of military construction funds for construction of public
road near Aviano Air Base, Italy, to replace road closed for force protec-
tion purposes.
TITLE XXIV—DEFENSE AGENCIES
Sec. 2401. Authorized Defense Agencies construction and land acquisition projects.
Sec. 2402. Improvements to military family housing units.
Sec. 2403. Energy conservation projects.
Sec. 2404. Authorization of appropriations, Defense Agencies.
Sec. 2405. Modification of authority to carry out certain fiscal year 2000 project.
Sec. 2406. Modification of authority to carry out certain fiscal year 1999 project.
Sec. 2407. Modification of authority to carry out certain fiscal year 1997 project.
TITLE XXV—NORTH ATLANTIC TREATY ORGANIZATION SECURITY
INVESTMENT PROGRAM
Sec. 2501. Authorized NATO construction and land acquisition projects.
Sec. 2502. Authorization of appropriations, NATO.
TITLE XXVI—GUARD AND RESERVE FORCES FACILITIES
Sec. 2601. Authorized Guard and Reserve construction and land acquisition
projects.
TITLE XXVII—EXPIRATION AND EXTENSION OF AUTHORIZATIONS
Sec. 2701. Expiration of authorizations and amounts required to be specified by
law.
H. R. 4546—12
Sec. 2702. Extension of authorizations of certain fiscal year 2000 projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1999 projects.
TITLE XXVIII—GENERAL PROVISIONS
Subtitle A—Military Construction Program and Military Family Housing
Changes
Sec. 2801. Lease of military family housing in Korea.
Sec. 2802. Modification of alternative authority for acquisition and improvement of
military housing.
Sec. 2803. Pilot housing privatization authority for acquisition or construction of
military unaccompanied housing.
Sec. 2804. Repeal of source requirements for family housing construction overseas.
Sec. 2805. Availability of energy cost savings realized at military installations.
Subtitle B—Real Property and Facilities Administration
Sec. 2811. Agreements to limit encroachments and other constraints on military
training, testing, and operations.
Sec. 2812. Conveyance of surplus real property for natural resource conservation
purposes.
Sec. 2813. Modification of demonstration program on reduction in long-term facility
maintenance costs.
Sec. 2814. Expanded authority to transfer property at military installations to be
closed to persons who construct or provide military family housing.
Subtitle C—Land Conveyances
PART I—ARMY CONVEYANCES
Sec. 2821. Transfer of jurisdiction, Fort McClellan, Alabama, to establish Mountain
Longleaf National Wildlife Refuge.
Sec. 2822. Land conveyances, lands in Alaska no longer required for National
Guard purposes.
Sec. 2823. Land conveyance, Sunflower Army Ammunition Plant, Kansas.
Sec. 2824. Land conveyances, Bluegrass Army Depot, Richmond, Kentucky.
Sec. 2825. Land conveyance, Fort Campbell, Kentucky.
Sec. 2826. Land conveyance, Army Reserve Training Center, Buffalo, Minnesota.
Sec. 2827. Land conveyance, Fort Monmouth, New Jersey.
Sec. 2828. Land conveyance, Fort Bliss, Texas.
Sec. 2829. Land conveyance, Fort Hood, Texas.
Sec. 2830. Land conveyances, Engineer Proving Ground, Fort Belvoir, Virginia.
PART II—NAVY CONVEYANCES
Sec. 2831. Land conveyance, Marine Corps Air Station, Miramar, San Diego, Cali-
fornia.
Sec. 2832. Modification of authority for land transfer and conveyance, Naval Secu-
rity Group Activity, Winter Harbor, Maine.
Sec. 2833. Land conveyance, Westover Air Reserve Base, Massachusetts.
Sec. 2834. Land conveyance, Naval Station, Newport, Rhode Island.
Sec. 2835. Land exchange and boundary adjustments, Marine Corps Base,
Quantico, and Prince William Forest Park, Virginia.
PART III—AIR FORCE CONVEYANCES
Sec. 2841. Modification of land conveyance, Los Angeles Air Force Base, California.
Sec. 2842. Land exchange, Buckley Air Force Base, Colorado.
Sec. 2843. Land conveyances, Wendover Air Force Base Auxiliary Field, Nevada.
Subtitle D—Other Matters
Sec. 2851. Master plan for use of Navy Annex, Arlington, Virginia.
Sec. 2852. Sale of excess treated water and wastewater treatment capacity, Marine
Corps Base, Camp Lejeune, North Carolina.
Sec. 2853. Conveyance of real property, Adak Naval Complex, Alaska, and related
land conveyances.
Sec. 2854. Special requirement for adding military installation to closure list.
H. R. 4546—13
DIVISION C—DEPARTMENT OF ENERGY NATIONAL SE-
CURITY AUTHORIZATIONS AND OTHER AUTHORIZA-
TIONS
TITLE XXXI—DEPARTMENT OF ENERGY NATIONAL SECURITY
PROGRAMS
Subtitle A—National Security Programs Authorizations
Sec. 3101. National Nuclear Security Administration.
Sec. 3102. Defense environmental management.
Sec. 3103. Other defense activities.
Sec. 3104. Defense nuclear waste disposal.
Subtitle B—Program Authorizations, Restrictions, and Limitations
Sec. 3141. Annual assessments and reports to the President and Congress regard-
ing the condition of the United States nuclear weapons stockpile.
Sec. 3142. Plans for achieving enhanced readiness posture for resumption by the
United States of underground nuclear weapons tests.
Sec. 3143. Requirements for specific request for new or modified nuclear weapons.
Sec. 3144. Database to track notification and resolution phases of Significant Find-
ing Investigations.
Sec. 3145. Defense environmental management cleanup reform program.
Sec. 3146. Limitation on obligation of funds for Robust Nuclear Earth Penetrator
program pending submission of report.
Subtitle C—Proliferation Matters
Sec. 3151. Transfer to National Nuclear Security Administration of Department of
Defense’s Cooperative Threat Reduction program relating to elimination
of weapons grade plutonium production in Russia.
Sec. 3152. Repeal of requirement for reports on obligation of funds for programs on
fissile materials in Russia.
Sec. 3153. Expansion of annual reports on status of nuclear materials protection,
control, and accounting programs.
Sec. 3154. Testing of preparedness for emergencies involving nuclear, radiological,
chemical, or biological weapons.
Sec. 3155. Cooperative program on research, development, and demonstration of
technology regarding nuclear or radiological terrorism.
Sec. 3156. Matters relating to the International Materials Protection, Control, and
Accounting program of the Department of Energy.
Sec. 3157. Accelerated disposition of highly enriched uranium.
Sec. 3158. Strengthened international security for nuclear materials and security of
nuclear operations.
Sec. 3159. Export control programs.
Sec. 3160. Plan for accelerated return of weapons-usable nuclear materials.
Sec. 3161. Sense of Congress on amendment of Convention on Physical Protection
of Nuclear Materials.
Sec. 3162. Sense of Congress on program to secure stockpiles of highly enriched
uranium and plutonium.
Subtitle D—Other Matters
Sec. 3171. Indemnification of Department of Energy contractors.
Sec. 3172. Support for public education in the vicinity of Los Alamos National Lab-
oratory, New Mexico.
Sec. 3173. Worker health and safety rules for Department of Energy nuclear facili-
ties.
Sec. 3174. Extension of authority to appoint certain scientific, engineering, and
technical personnel.
Sec. 3175. One-year extension of panel to assess the reliability, safety, and security
of the United States nuclear stockpile.
Sec. 3176. Report on status of environmental management initiatives to accelerate
the reduction of environmental risks and challenges posed by the legacy
of the Cold War.
Subtitle E—Disposition of Weapons-Usable Plutonium at Savannah River,
South Carolina
Sec. 3181. Findings.
Sec. 3182. Disposition of weapons-usable plutonium at Savannah River Site.
Sec. 3183. Study of facilities for storage of plutonium and plutonium materials at
Savannah River Site.
H. R. 4546—14
TITLE XXXII—DEFENSE NUCLEAR FACILITIES SAFETY BOARD
Sec. 3201. Authorization.
TITLE XXXIII—NATIONAL DEFENSE STOCKPILE
Sec. 3301. Authorized uses of National Defense Stockpile funds.
TITLE XXXIV—NAVAL PETROLEUM RESERVES
Sec. 3401. Authorization of appropriations.
TITLE XXXV—MARITIME ADMINISTRATION
Sec. 3501. Authorization of appropriations for fiscal year 2003.
Sec. 3502. Authority to convey vessel USS SPHINX (ARL–24).
Sec. 3503. Independent analysis of title XI insurance guarantee applications.
Sec. 3504. Preparation as artificial reefs and scrapping of obsolete vessels.
TITLE XXXVI—ATOMIC ENERGY DEFENSE PROVISIONS
Sec. 3601. Short title.
Subtitle A—[Reserved]
Subtitle B—Department of Energy National Security Authorizations
General Provisions
Sec. 3620. Definitions.
Sec. 3621. Reprogramming.
Sec. 3622. Minor construction projects.
Sec. 3623. Limits on construction projects.
Sec. 3624. Fund transfer authority.
Sec. 3625. Conceptual and construction design.
Sec. 3626. Authority for emergency planning, design, and construction activities.
Sec. 3627. Scope of authority to carry out plant projects.
Sec. 3628. Availability of funds.
Sec. 3629. Transfer of defense environmental management funds.
Sec. 3630. Transfer of weapons activities funds.
Sec. 3631. Funds available for all national security programs of the Department of
Energy.
SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.
For purposes of this Act, the term ‘‘congressional defense
committees’’ means—
(1) the Committee on Armed Services and the Committee
on Appropriations of the Senate; and
(2) the Committee on Armed Services and the Committee
on Appropriations of the House of Representatives.
DIVISION A—DEPARTMENT OF
DEFENSE AUTHORIZATIONS
TITLE I—PROCUREMENT
Subtitle A—Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical Agents and Munitions Destruction, Defense.
Sec. 107. Defense health programs.
Subtitle B—Army Programs
Sec. 111. Pilot program on sales of manufactured articles and services of certain
Army industrial facilities without regard to availability from domestic
sources.
Sec. 112. Report on impact of Army aviation modernization plan on the Army Na-
tional Guard.
H. R. 4546—15
Sec. 113. Family of Medium Tactical Vehicles.
Subtitle C—Navy Programs
Sec. 121. Extension of multiyear procurement authority for DDG–51 class destroy-
ers.
Sec. 122. Sense of Congress on scope of conversion program for Ticonderoga-class
cruisers.
Sec. 123. Continuation of contract for operation of Champion-class T–5 fuel tanker
vessels.
Subtitle D—Air Force Programs
Sec. 131. Multiyear procurement authority for C–130J aircraft program.
Sec. 132. Pathfinder programs.
Sec. 133. Leases for tanker aircraft under multiyear aircraft-lease pilot program.
Subtitle E—Other Programs
Sec. 141. Destruction of existing stockpile of lethal chemical agents and munitions.
Sec. 142. Report on unmanned aerial vehicle systems.
Sec. 143. Global Information Grid system.
Subtitle A—Authorization of
Appropriations
SEC. 101. ARMY.
Funds are hereby authorized to be appropriated for fiscal year
2003 for procurement for the Army as follows:
(1) For aircraft, $2,186,296,000.
(2) For missiles, $1,152,299,000.
(3) 
For 
weapons 
and 
tracked 
combat 
vehicles,
$2,276,751,000.
(4) For ammunition, $1,229,533,000.
(5) For other procurement, $5,857,814,000.
SEC. 102. NAVY AND MARINE CORPS.
(a) NAVY.—Funds are hereby authorized to be appropriated
for fiscal year 2003 for procurement for the Navy as follows:
(1) For aircraft, $8,979,275,000.
(2) For weapons, including missiles and torpedoes,
$2,375,349,000.
(3) For shipbuilding and conversion, $9,111,023,000.
(4) For other procurement, $4,494,754,000.
(b) MARINE CORPS.—Funds are hereby authorized to be appro-
priated for fiscal year 2003 for procurement for the Marine Corps
in the amount of $1,355,491,000.
(c) NAVY AND MARINE CORPS AMMUNITION.—Funds are hereby
authorized to be appropriated for fiscal year 2003 for procurement
of ammunition for the Navy and the Marine Corps in the amount
of $1,170,750,000.
SEC. 103. AIR FORCE.
Funds are hereby authorized to be appropriated for fiscal year
2003 for procurement for the Air Force as follows:
(1) For aircraft, $12,676,505,000.
(2) For missiles, $3,504,139,000.
(3) For ammunition, $1,290,764,000.
(4) For other procurement, $10,846,048,000.
H. R. 4546—16
SEC. 104. DEFENSE-WIDE ACTIVITIES.
Funds are hereby authorized to be appropriated for fiscal year
2003 
for 
Defense-wide 
procurement 
in 
the 
amount 
of
$3,691,604,000.
SEC. 105. DEFENSE INSPECTOR GENERAL.
Funds are hereby authorized to be appropriated for fiscal year
2003 for procurement for the Inspector General of the Department
of Defense in the amount of $2,000,000.
SEC. 
106. 
CHEMICAL 
AGENTS 
AND 
MUNITIONS 
DESTRUCTION,
DEFENSE.
There is hereby authorized to be appropriated for fiscal year
2003 the amount of $1,490,199,000 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
(2) the destruction of chemical warfare materiel of the
United States that is not covered by section 1412 of such
Act.
SEC. 107. DEFENSE HEALTH PROGRAMS.
Funds are hereby authorized to be appropriated for fiscal year
2003 for the Department of Defense for procurement for carrying
out health care programs, projects, and activities of the Department
of Defense in the total amount of $278,742,000.
Subtitle B—Army Programs
SEC. 111. PILOT PROGRAM ON SALES OF MANUFACTURED ARTICLES
AND SERVICES OF CERTAIN ARMY INDUSTRIAL FACILI-
TIES 
WITHOUT 
REGARD 
TO 
AVAILABILITY 
FROM
DOMESTIC SOURCES.
(a) EXTENSION OF PROGRAM.—Subsection (a) of section 141 of
the National Defense Authorization Act for Fiscal Year 1998 (Public
Law 105–85; 10 U.S.C. 4543 note) is amended by striking ‘‘through
2002’’ in the first sentence and inserting ‘‘through 2004’’.
(b) USE OF OVERHEAD FUNDS MADE SURPLUS BY SALES.—Such
section is further amended—
(1) by striking subsection (d);
(2) by redesignating subsection (c) as subsection (d); and
(3) by inserting after subsection (b) the following new sub-
section (c):
‘‘(c) TRANSFER OF CERTAIN SUMS.—For each Army industrial
facility participating in the pilot program that sells manufactured
articles and services in a total amount in excess of $20,000,000
in any fiscal year, the amount equal to one-half of one percent
of such total amount shall be transferred from the sums in the
Army Working Capital Fund for unutilized plant capacity to appro-
priations available for the following fiscal year for the demilitariza-
tion of conventional ammunition by the Army.’’.
(c) UPDATE OF INSPECTOR GENERAL’S REVIEW.—The Inspector
General of the Department of Defense shall review the experience
under the pilot program carried out under such section 141 and,
not later than July 1, 2003, submit to Congress a report on the
results of the review. The report shall contain the views, informa-
tion, and recommendations called for under subsection (d) of such
H. R. 4546—17
section (as redesignated by subsection (b)(2)). In carrying out the
review and preparing the report, the Inspector General shall take
into consideration the report submitted to Congress under such
subsection (as so redesignated).
SEC. 112. REPORT ON IMPACT OF ARMY AVIATION MODERNIZATION
PLAN ON THE ARMY NATIONAL GUARD.
(a) REPORT
BY CHIEF
OF
THE NATIONAL GUARD BUREAU.—
The Chief of the National Guard Bureau shall submit to the Chief
of Staff of the Army a report on the requirements for Army National
Guard aviation. The report shall include the following:
(1) An analysis of the impact of the Army Aviation Mod-
ernization Plan on the ability of the Army National Guard
to conduct its aviation missions.
(2) The plan under that aviation modernization plan for
the transfer of aircraft from the active component of the Army
to the Army reserve components, including a timeline for those
transfers.
(3) The progress, as of January 1, 2003, in carrying out
the transfers under the plan referred to in paragraph (2).
(4) An evaluation of the suitability and cost effectiveness
of existing Commercial Off The Shelf light utility helicopters
for performance of Army National Guard utility aviation mis-
sions.
(b) COMMENTS
AND RECOMMENDATIONS
BY CHIEF
OF STAFF
OF
THE ARMY.—Not later than February 1, 2003, the Chief of
Staff of the Army shall submit to the Committee on Armed Services
of the Senate and the Committee on Armed Services of the House
of Representatives the report received under subsection (a), together
with any comments and recommendations that the Chief of Staff
considers appropriate on the matters covered in the report.
SEC. 113. FAMILY OF MEDIUM TACTICAL VEHICLES.
(a) MULTIYEAR PROCUREMENT AUTHORITY.—Beginning with the
fiscal year 2003 program year, the Secretary of the Army may,
in accordance with section 2306b of title 10, United States Code,
enter into a multiyear contract for the procurement of vehicles
under the Family of Medium Tactical Vehicles program, subject
to subsection (b).
(b) LIMITATION.—The Secretary of the Army may not enter
into a multiyear contract for the procurement of vehicles in the
Family of Medium Tactical Vehicles authorized by subsection (a)
until the Secretary submits to the congressional defense committees
a written certification that—
(1) all key performance parameters required in the initial
operational test and evaluation for that program have been
met; and
(2) the total cost through the use of such multiyear contract
of the procurement of the number of vehicles to be procured
under such contract is at least 10 percent less than the total
cost of the procurement of the same number of such vehicles
through the use of successive one-year contracts.
(c) WAIVER AUTHORITY.—The Secretary of Defense may waive
subsection (b)(2) if the Secretary—
(1) determines that using a multiyear contract for the
procurement of vehicles under the Family of Medium Tactical
Vehicles program is in the national security interests of the
United States;
H. R. 4546—18
(2) certifies that the Army cannot achieve the savings speci-
fied in subsection (b)(2); and
(3) submits to the congressional defense committees, in
writing, a notification of the waiver together with a report
describing the reasons why the use of a multiyear contract
for such procurement is in the national security interests of
the United States and why the Army cannot achieve a 10
percent savings of the total anticipated costs of carrying out
the program through a multiyear contract.
Subtitle C—Navy Programs
SEC. 121. EXTENSION OF MULTIYEAR PROCUREMENT AUTHORITY FOR
DDG–51 CLASS DESTROYERS.
Section 122(b) of the National Defense Authorization Act for
Fiscal Year 1997 (Public Law 104–201; 110 Stat. 2446), as amended
by section 122 of Public Law 106–65 (113 Stat. 534) and section
122(a) of the Floyd D. Spence National Defense Authorization Act
for Fiscal Year 2001 (as enacted into law by Public Law 106–
398; 114 Stat. 1654A–24), is further amended by striking ‘‘October
1, 2005’’ in the first sentence and inserting ‘‘October 1, 2007’’.
SEC. 122. SENSE OF CONGRESS ON SCOPE OF CONVERSION PROGRAM
FOR TICONDEROGA-CLASS CRUISERS.
It is the sense of Congress that the Secretary of the Navy
should maintain the scope of the conversion program for the Ticon-
deroga class of cruisers so that the program—
(1) covers all 27 ships in that class of cruisers; and
(2) provides for modernizing each of those ships to include
an appropriate mix of upgrades to ships’ capabilities for theater
missile defense, naval fire support, and air dominance.
SEC. 123. CONTINUATION OF CONTRACT FOR OPERATION OF CHAM-
PION-CLASS T–5 FUEL TANKER VESSELS.
The Department of the Navy contract in effect on the date
of the enactment of this Act for the operation of five Champion-
class T–5 fuel tanker vessels shall continue in effect with respect
to the operation of each such vessel until the completion of the
term of the contract or, if sooner for any such vessel, until the
vessel is no longer used for purposes of the Military Sealift Com-
mand or any other Navy purpose.
Subtitle D—Air Force Programs
SEC. 131. MULTIYEAR PROCUREMENT AUTHORITY FOR C–130J AIR-
CRAFT PROGRAM.
(a) MULTIYEAR AUTHORITY.—Beginning with the fiscal year
2003 program year, the Secretary of the Air Force may, in accord-
ance with section 2306b of title 10, United States Code, enter
into a multiyear contract for procurement of up to 40 C-130J aircraft
in the CC–130J configuration and up to 24 C–130J aircraft in
the KC–130J configuration. Notwithstanding subsection (k) of such
section, such a contract may be for a period of six program years.
(b) LIMITATION.—The Secretary of the Air Force may not enter
into a contract authorized by subsection (a) until—
H. R. 4546—19
(1) testing of the CC–130J aircraft for qualification for
use in assault operations has been completed by the Air Force
Flight Test Center; and
(2) Block 5.3 software upgrades have been installed on
all C–130J and CC–130J aircraft in the inventory of the Air
Force.
SEC. 132. PATHFINDER PROGRAMS.
(a) PATHFINDER PROGRAMS.—Not later than February 1, 2003,
the Secretary of the Air Force shall submit to the congressional
defense committees a list of Air Force programs that the Secretary
has designated as acquisition reform pathfinder programs (herein-
after in this section referred to as ‘‘pathfinder programs’’).
(b) OVERSIGHT OF PATHFINDER PROGRAMS.—The Secretary of
Defense shall ensure that the Under Secretary of Defense for
Acquisition, Technology and Logistics, the Director of Operational
Test and Evaluation, and the Joint Requirements Oversight Council
maintain oversight over each pathfinder program that qualifies
as a major defense acquisition program under section 2430 of title
10, United States Code.
(c) REPORT
ON PATHFINDER PROGRAMS.—(1) Not later than
March 15, 2003, the Secretary of the Air Force shall submit to
the congressional defense committees a report on pathfinder pro-
grams. For each such program, the report shall include a description
of the following:
(A) The management approach for that program and how
that approach will result in a disciplined, affordable and well-
managed acquisition program.
(B) The acquisition strategy for that program and how
that acquisition strategy responds to approved operational
requirements.
(C) The test and evaluation plan for that program and
how that plan will provide adequate assessment of each path-
finder program.
(D) The manner in which the acquisition plan for that
program considers cost, schedule, and technical risk.
(E) The manner in which any innovative business practices
developed as a result of participation in the program could
be applied to other acquisition programs, and any impediments
to application of such practices to other programs.
(2) For each such program, the report shall also set forth
the following:
(A) The manner in which the Under Secretary of Defense
for Acquisition, Technology, and Logistics will be involved in
the development, oversight, and approval of the program’s
management approach, acquisition strategy, and acquisition
approach.
(B) The manner in which the Director of Operational Test
and Evaluation will be involved in the development, oversight,
and approval of the program’s test and evaluation plan.
(C) The manner in which an independent cost estimate
for the program will be developed by the Office of the Secretary
of Defense.
(d) APPLICABILITY OF SPIRAL DEVELOPMENT SECTION.—Nothing
in this section shall be construed to exempt any pathfinder program
from the application of any provision of section 803(c).
H. R. 4546—20
SEC. 133. LEASES FOR TANKER AIRCRAFT UNDER MULTIYEAR AIR-
CRAFT-LEASE PILOT PROGRAM.
The Secretary of the Air Force may not enter into a lease
for the acquisition of tanker aircraft for the Air Force under section
8159 of the Department of Defense Appropriations Act, 2002 (divi-
sion A of Public Law 107–117; 115 Stat. 2284; 10 U.S.C. 2401a
note) until—
(1) the Secretary submits the report specified in subsection
(c)(6) of such section; and
(2) either—
(A) authorization and appropriation of funds necessary
to enter into such lease are provided by law; or
(B) a new start reprogramming notification for the
funds necessary to enter into such lease has been submitted
in accordance with established procedures.
Subtitle E—Other Programs
SEC. 141. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL CHEM-
ICAL AGENTS AND MUNITIONS.
(a) PROGRAM MANAGEMENT.—The Secretary of Defense shall
ensure that the program for destruction of the United States stock-
pile of lethal chemical agents and munitions is managed as a
major defense acquisition program (as defined in section 2430 of
title 10, United States Code) in accordance with the essential ele-
ments of such programs as may be determined by the Secretary.
(b) REQUIREMENT FOR UNDER SECRETARY OF DEFENSE (COMP-
TROLLER) ANNUAL CERTIFICATION.—Beginning with respect to the
budget request for fiscal year 2004, the Under Secretary of Defense
(Comptroller) shall submit to the congressional defense committees
on an annual basis a certification that the budget request for
the chemical agents and munitions destruction program has been
submitted in accordance with the requirements of section 1412
of the Department of Defense Authorization Act, 1986 (50 U.S.C.
1521).
SEC. 142. REPORT ON UNMANNED AERIAL VEHICLE SYSTEMS.
(a) REPORT.—Not later than January 1, 2003, the Secretary
of Defense shall submit to Congress a report on unmanned aerial
vehicle systems of the Department of Defense.
(b) MATTERS TO BE INCLUDED CONCERNING UNMANNED AERIAL
VEHICLE SYSTEMS.—The Secretary shall include in the report under
subsection (a) the following, shown for each system referred to
in that subsection:
(1) A description of the infrastructure that the Department
of Defense has (or is planning) for the system.
(2) A description of the operational requirements document
(ORD) for the system.
(3) A description of the physical infrastructure of the
Department for training and basing.
(4) A description of the manner in which the Department
is interfacing with the industrial base.
(5) A description of the acquisition plan for the system.
(6) A description of the process by which the Department
will ensure that any unmanned aerial vehicle program pro-
ceeding past the science and technology stage does so only
H. R. 4546—21
as part of an integrated, overall Office of the Secretary of
Defense strategy for acquisition of unmanned aerial vehicles,
such as that provided in the approved Office of the Secretary
of Defense unmanned aerial vehicle roadmap.
(c) SUGGESTIONS FOR CHANGES IN LAW.—The Secretary shall
also include in the report under subsection (a) such suggestions
as the Secretary considers appropriate for changes in law that
would facilitate the way the Department acquires unmanned aerial
vehicle systems.
SEC. 143. GLOBAL INFORMATION GRID SYSTEM.
None of the funds authorized to be appropriated by this Act
for the Department of Defense system known as the Global Informa-
tion Grid may be obligated until the Secretary of Defense submits
to the congressional defense committees a plan to provide that,
as part of the bandwidth expansion efforts for the system, the
system will be designed and configured so as to ensure that informa-
tion transmitted within the system is secure and protected from
unauthorized access.
TITLE II—RESEARCH, DEVELOPMENT,
TEST, AND EVALUATION
Subtitle A—Authorization of Appropriations
Sec. 201. Authorization of appropriations.
Sec. 202. Amount for defense science and technology.
Sec. 203. Defense health programs.
Subtitle B—Program Requirements, Restrictions, and Limitations
Sec. 211. RAH–66 Comanche aircraft program.
Sec. 212. Extension of requirements relating to management responsibility for
naval mine countermeasures programs.
Sec. 213. Revised requirements for plan for Manufacturing Technology Program.
Sec. 214. Advanced SEAL Delivery System.
Sec. 215. Army experimentation program regarding design of the objective force.
Sec. 216. Program to provide Army with self-propelled Future Combat Systems
non-line-of-sight cannon indirect fire capability for the objective force.
Sec. 217. Prohibition on transfer of Medical Free Electron Laser program.
Sec. 218. Littoral combat ship program.
Subtitle C—Ballistic Missile Defense
Sec. 221. Report requirements relating to ballistic missile defense programs.
Sec. 222. Responsibility of Missile Defense Agency for research, development, test,
and evaluation related to system improvements of programs transferred
to military departments.
Sec. 223. Limitation on obligation of funds for Theater High Altitude Area Defense
Program pending submission of required life-cycle cost information.
Sec. 224. Provision of information on flight testing of Ground-based Midcourse Na-
tional Missile Defense system.
Sec. 225. References to new name for Ballistic Missile Defense Organization.
Sec. 226. One-year limitation on use of funds for nuclear armed interceptors.
Subtitle D—Improved Management of Department of Defense Test and
Evaluation Facilities
Sec. 231. Department of Defense Test Resource Management Center.
Sec. 232. Objective for institutional funding of test and evaluation facilities.
Sec. 233. Uniform financial management system for Department of Defense test
and evaluation facilities.
Sec. 234. Test and evaluation workforce improvements.
Sec. 235. Compliance with testing requirements.
Subtitle E—Other Matters
Sec. 241. Pilot programs for revitalizing Department of Defense laboratories.
H. R. 4546—22
Sec. 242. Technology Transition Initiative.
Sec. 243. Defense Acquisition Challenge Program.
Sec. 244. Encouragement of small businesses and nontraditional defense contrac-
tors to submit proposals potentially beneficial for combating terrorism.
Sec. 245. Vehicle fuel cell program.
Sec. 246. Defense nanotechnology research and development program.
Sec. 247. Activities of the Defense Experimental Program to Stimulate Competitive
Research.
Sec. 248. Four-year extension of authority of DARPA to award prizes for advanced
technology achievements and additional authority of military depart-
ments and Defense Agencies to award prizes for achievements in pro-
moting education.
Sec. 249. Plan for five-year program for enhancement of measurement and signa-
tures intelligence capabilities of the United States through incorporation
of results of basic research on sensors.
Subtitle A—Authorization of
Appropriations
SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
Funds are hereby authorized to be appropriated for fiscal year
2003 for the use of the Department of Defense for research, develop-
ment, test, and evaluation as follows:
(1) For the Army, $7,158,256,000.
(2) For the Navy, $13,244,164,000.
(3) For the Air Force, $18,337,078,000.
(4) For Defense-wide activities, $17,970,653,000, of which
$311,554,000 is authorized for the Director of Operational Test
and Evaluation.
SEC. 202. AMOUNT FOR DEFENSE SCIENCE AND TECHNOLOGY.
(a) FISCAL YEAR 2003.—Of the amounts authorized to be appro-
priated by section 201, $10,384,658,000 shall be available for the
Defense Science and Technology Program, including basic research,
applied research, and advanced technology development projects.
(b) BASIC RESEARCH, APPLIED RESEARCH, AND ADVANCED TECH-
NOLOGY DEVELOPMENT DEFINED.—For purposes of this section, the
term ‘‘basic research, applied research, and advanced technology
development’’ means work funded in program elements for defense
research and development under Department of Defense category
6.1, 6.2, or 6.3.
SEC. 203. DEFENSE HEALTH PROGRAMS.
Funds are hereby authorized to be appropriated for fiscal year
2003 for the Department of Defense for research, development,
test, and evaluation for carrying out health care programs, projects,
and activities of the Department of Defense in the total amount
of $67,214,000.
Subtitle B—Program Requirements,
Restrictions, and Limitations
SEC. 211. RAH–66 COMANCHE AIRCRAFT PROGRAM.
(a) REPORTS REQUIRED.—Not later than the end of each fiscal
quarter of fiscal year 2003, the Secretary of the Army shall submit
to the Committee on Armed Services of the Senate and the Com-
mittee on Armed Services of the House of Representatives a report
H. R. 4546—23
on the progress of the restructured engineering and manufacturing
development phase of the RAH–66 Comanche aircraft program.
(b) CONTENT.—The report shall include, at a minimum, the
information relating to the program that the program manager
provides to the Assistant Secretary of the Army for Acquisition,
Logistics, and Technology with respect to—
(1) cost, including funding and contracts;
(2) schedule;
(3) performance;
(4) which goals are being met and which are not being
met;
(5) milestones events accomplished; and
(6) significant events accomplished.
SEC. 212. EXTENSION OF REQUIREMENTS RELATING TO MANAGEMENT
RESPONSIBILITY FOR NAVAL MINE COUNTERMEASURES
PROGRAMS.
(a) IN
GENERAL.—Section 216 of the National Defense
Authorization Act for Fiscal Years 1992 and 1993 (Public Law
102–190; 105 Stat. 1317), as most recently amended by section
211 of the Strom Thurmond National Defense Authorization Act
for Fiscal Year 1999 (Public Law 105–261; 112 Stat. 1946), is
amended—
(1) in subsection (a), by striking ‘‘through 2003’’ and
inserting ‘‘through 2008’’;
(2) in subsection (b)—
(A) by striking ‘‘and’’ at the end of paragraph (2);
(B) by redesignating paragraph (3) as paragraph (4);
and
(C) by inserting after paragraph (2) the following new
paragraph:
‘‘(3) the responsibilities of the Joint Requirements Over-
sight Council under subsections (b) and (d) of section 181 of
title 10, United States Code, have been carried out with respect
to the updated mine countermeasures master plan, the budget
resources for mine countermeasures for that fiscal year, and
the future years defense program for mine countermeasures;
and’’; and
(3) by adding at the end the following new subsection:
‘‘(c) NOTIFICATION
OF PROPOSED CHANGES.—Upon certifying
under subsection (b) with respect to a fiscal year, the Secretary
may not carry out any change to the naval mine countermeasures
master plan or the budget resources for mine countermeasures
with respect to that fiscal year until after the Under Secretary
of Defense for Acquisition, Technology, and Logistics submits to
the congressional defense committees a notification of the proposed
change. Such notification shall describe the nature of the proposed
change, the effect of the proposed change on the naval mine counter-
measures program or related programs with respect to that fiscal
year, and the effect of the proposed change on the validity of
the decision to certify under subsection (b) with respect to that
fiscal year.’’.
(b) 
TECHNICAL
AMENDMENTS.—Such 
section 
is 
further
amended—
(1) in subsection (a), by striking ‘‘Under Secretary of
Defense for Acquisition and Technology’’ and inserting ‘‘Under
H. R. 4546—24
Secretary of Defense for Acquisition, Technology, and Logistics’’;
and
(2) in subsection (b)(2)—
(A) by striking ‘‘multiyear’’ and inserting ‘‘future
years’’; and
(B) by striking ‘‘section 114a’’ and inserting ‘‘section
221’’.
SEC. 213. REVISED REQUIREMENTS FOR PLAN FOR MANUFACTURING
TECHNOLOGY PROGRAM.
(a) STREAMLINED CONTENTS OF PLAN.—Subsection (e) of section
2521 of title 10, United States Code, is amended by striking ‘‘pre-
pare a five-year plan’’ in paragraph (1) and all that follows through
the end of subparagraph (B) of paragraph (2) and inserting the
following: ‘‘prepare and maintain a five-year plan for the program.
‘‘(2) The plan shall establish the following:
‘‘(A) The overall manufacturing technology objectives, mile-
stones, priorities, and investment strategy for the program.
‘‘(B) The specific objectives of, and funding for the program
by, each military department and each Defense Agency partici-
pating in the program.’’.
(b) BIENNIAL REPORT.—Such subsection is further amended
in paragraph (3)—
(1) by striking ‘‘annually’’ and inserting ‘‘biennially’’; and
(2) by striking ‘‘for a fiscal year’’ and inserting ‘‘for each
even-numbered fiscal year’’.
SEC. 214. ADVANCED SEAL DELIVERY SYSTEM.
(a) TRANSFER OF FUNDS.—To the extent provided in appropria-
tions Acts, the amount described in subsection (b) shall be trans-
ferred to amounts available for fiscal year 2003 for research,
development, test, and evaluation, Defense-Wide, and shall be avail-
able only for research, development, test, and evaluation relating
to the Advanced SEAL Delivery System.
(b) AMOUNT TO BE TRANSFERRED.—The amount referred to
in subsection (a) is the amount of $13,700,000 that was authorized
and appropriated for fiscal year 2002 for procurement of the
Advanced SEAL Delivery System within amounts for Procurement,
Defense-Wide.
(c) TRANSFER AUTHORITY IN ADDITION TO OTHER AUTHORITY.—
The transfer authority provided by this section is in addition to
any other transfer authority provided by law.
SEC. 215. ARMY EXPERIMENTATION PROGRAM REGARDING DESIGN
OF THE OBJECTIVE FORCE.
(a) REQUIREMENT FOR REPORT.—Not later than March 31, 2003,
the Secretary of the Army shall submit to Congress a report on
the experimentation program regarding design of the objective force
that is required by subsection (g) of section 113 of the Floyd D.
Spence National Defense Authorization Act for Fiscal Year 2001,
as added by section 113 of the National Defense Authorization
Act for Fiscal Year 2002 (Public Law 107–107; 115 Stat. 1029).
(b) BUDGET DISPLAY.—Amounts provided for the experimen-
tation program in the budget for fiscal year 2004 that is submitted
to Congress under section 1105(a) of title 31, United States Code,
shall be displayed as a distinct program element in that budget
and in the supporting documentation submitted to Congress by
the Secretary of Defense.
H. R. 4546—25
SEC. 216. PROGRAM TO PROVIDE ARMY WITH SELF-PROPELLED
FUTURE COMBAT SYSTEMS NON-LINE-OF-SIGHT CANNON
INDIRECT FIRE CAPABILITY FOR THE OBJECTIVE FORCE.
(a) PROGRAM REQUIRED.—The Secretary of Defense shall carry
out a program to provide the Army, not later than fiscal year
2008, with a self-propelled Future Combat Systems non-line-of-
sight cannon indirect fire capability to equip the objective force.
(b) REPORT.—(1) The Secretary shall submit to the congres-
sional defense committees, at the same time that the President
submits the budget for a fiscal year referred to in paragraph (2)
to Congress under section 1105(a) of title 31, United States Code,
a report on the investments proposed to be made with respect
to non-line-of-sight indirect fire programs for the Army. The report
shall—
(A) identify the amount proposed for expenditures for the
Crusader artillery system program for that fiscal year in the
future-years defense program that was submitted to Congress
in 2002 under section 221 of title 10, United States Code;
and
(B) specify—
(i) the manner in which the amount provided in that
budget would be expended for improved non-line-of-sight
indirect fire capabilities for the Army; and
(ii) the extent to which expending such amount in
such manner would improve such capabilities for the Army.
(2) The requirement to submit a report under paragraph (1)
shall apply with respect to budgets for fiscal years 2004, 2005,
2006, 2007, and 2008.
(c) OBJECTIVE FORCE DEFINED.—In this section, the term ‘‘objec-
tive force’’ has the meaning given such term in section 113(f)(2)
of the Floyd D. Spence National Defense Authorization Act for
Fiscal Year 2001 (as enacted into law by Public Law 106–398;
114 Stat. 1654A–24).
(d) FUNDING.—Of the amount authorized to be appropriated
by section 201(1) for the Army for research, development, test,
and evaluation, $368,500,000 shall be used only to develop and
field a self-propelled Future Combat Systems non-line-of-sight
cannon indirect fire artillery system and a resupply vehicle with
respect to such system.
SEC. 217. PROHIBITION ON TRANSFER OF MEDICAL FREE ELECTRON
LASER PROGRAM.
The Medical Free Electron Laser Program (PE 0602227D8Z)
may not be transferred from the Department of Defense to the
National Institutes of Health, or to any other department or agency
of the Federal Government.
SEC. 218. LITTORAL COMBAT SHIP PROGRAM.
(a) AMOUNT FOR PROGRAM.—Of the amount authorized to be
appropriated by section 201(2) for research, development, test, and
evaluation, Navy, $4,000,000 may be available in program element
0603563N, relating to Ship Concept Advanced Design, for require-
ments development for the littoral combat ship.
(b) LIMITATION ON OBLIGATION OF FUNDS.—The Secretary of
the Navy may not obligate any funds for the construction of a
littoral combat ship until after the Secretary submits the report
required by subsection (c).
H. R. 4546—26
(c) REPORT ON MILESTONE A PLAN AND SCHEDULE.—(1) The
Secretary of the Navy shall submit to the congressional defense
committees, at the same time that the President submits the budget
for fiscal year 2004 to Congress under section 1105(a) of title
31, United States Code, a report on development of the littoral
combat ship.
(2) The report shall address the plan and schedule for fulfilling
the requirements of Department of Defense Instruction 5000-series
for a major defense acquisition Milestone A decision for initiation
of concept and technology development for the littoral combat ship,
including the following such requirements:
(A) Consideration of technology issues.
(B) Market research.
(C) Validated mission need statement.
(D) Analysis of multiple concepts.
(E) Test and evaluation master plan (evaluation strategy
only).
(F) Exit criteria.
(G) Acquisition decision memorandum.
(3) The report shall include a discussion of the Secretary’s
acquisition strategy for development of the littoral combat ship.
(d) REQUIREMENTS FOR ACQUISITION STRATEGY.—The Secretary
shall ensure that the acquisition strategy for development of the
littoral combat ship includes the following:
(1) A concept and technology demonstration phase that
is robust and, in a manner and on a schedule that will inform
the Navy’s decisions on the concepts, technologies, and capabili-
ties to be incorporated into the initial design of the littoral
combat ship and into follow-on designs, capitalizes upon ongoing
and planned experiments, demonstrations, and evaluations of—
(A) existing, prototype, and experimental hull forms
and platforms, including the hull forms and platforms
relating to—
(i) the Coastal Waters Interdiction Platform;
(ii) the Hybrid Deep Vee Demonstrator;
(iii) the Littoral Support Craft (Experimental);
(iv) the High Speed Vessel;
(v) surface effects ships;
(vi) Research Vessel Triton;
(vii) the SLICE ship;
(viii) other existing, prototype, and experimental
craft that the Secretary considers to be appropriate;
and
(ix) other existing ships capable of carrying the
desired payload packages;
(B) ship and combat systems components;
(C) command, control, and communications systems;
(D) intelligence, surveillance, and reconnaissance sys-
tems;
(E) weapons systems; and
(F) support systems.
(2) A description of the experiments, demonstrations, and
evaluations that are needed for support of design and develop-
ment decisionmaking for mission modules to be employed on
the littoral combat ship, including the mission modules for—
(A) anti-submarine warfare;
(B) mine countermeasures;
H. R. 4546—27
(C) anti-ship defense; and
(D) any other missions that may be envisioned for
the ship.
(3) An identification of the experiments, demonstrations,
and evaluations that would need to be accomplished during
the concept and technology demonstration phase and those
that would need to be accomplished during the system develop-
ment and demonstration phase (after a major defense acquisi-
tion Milestone B decision to enter that phase).
(4) A description of the potential trade-offs between pro-
gram requirements and capabilities, and the methodology
(including life cycle cost as an independent variable, speed
as an independent variable, and other applicable program
attributes), needed to arrive at a design for a littoral combat
ship that can be approved (pursuant to a major defense acquisi-
tion Milestone B decision) for entry into the system development
and demonstration phase.
(5) An analysis of the adequacy of existing and planned
platforms to test the littoral ship concept prior to construction
of a littoral combat ship.
Subtitle C—Ballistic Missile Defense
SEC. 221. REPORT REQUIREMENTS RELATING TO BALLISTIC MISSILE
DEFENSE PROGRAMS.
(a) ANNUAL SUBMISSION OF CURRENT PERFORMANCE GOALS AND
DEVELOPMENT BASELINES.—(1) The Secretary of Defense shall
submit to the congressional defense committees each year the
performance goals and development baselines—
(A) for those ballistic missile defense systems under
development by the Missile Defense Agency that could be
fielded; and
(B) for any other ballistic missile defense program or project
that has been designated by Congress as a special interest
item.
(2) Such performance goals and development baselines shall
be provided for each block of each such system.
(3) The performance goals and development baselines under
paragraph (1) shall be included annually with the defense budget
justification materials submitted in support of the President’s
budget submitted to Congress under section 1105 of title 31, United
States Code.
(b) RDT&E BUDGET JUSTIFICATION MATERIALS.—The budget
justification materials submitted to Congress for any fiscal year
in support of a request for the authorization and appropriation
of funds for research, development, test, and evaluation for ballistic
missile defense systems shall include a funding profile for each
block of each such system that could be fielded that reflects the
development baseline submitted pursuant to subsection (a) for that
fiscal year.
(c) REVIEW
OF MDA CRITERIA
IN RELATION
TO MILITARY
REQUIREMENTS.—(1) The Joint Requirements Oversight Council
established under section 181 of title 10, United States Code, shall
review cost, schedule, and performance criteria for missile defense
programs of the Missile Defense Agency in order to assess the
validity of those criteria in relation to military requirements.
H. R. 4546—28
(2) The Secretary shall include the results of such review with
the first annual statement of program goals submitted to the
congressional defense committees under section 232(c) of the
National Defense Authorization Act for Fiscal Year 2002 (Public
Law 107–107; 10 U.S.C. 2431 note) after the date of the enactment
of this Act.
SEC. 222. RESPONSIBILITY OF MISSILE DEFENSE AGENCY FOR
RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
RELATED TO SYSTEM IMPROVEMENTS OF PROGRAMS
TRANSFERRED TO MILITARY DEPARTMENTS.
Section 224(e) of title 10, United States Code, is amended—
(1) by striking ‘‘before a’’ and inserting ‘‘for each’’;
(2) by striking ‘‘is’’; and
(3) by striking ‘‘roles and responsibilities’’ and all that
follows through the period at the end and inserting ‘‘responsi-
bility for research, development, test, and evaluation related
to system improvements for that program remains with the
Director.’’.
SEC. 223. LIMITATION ON OBLIGATION OF FUNDS FOR THEATER HIGH
ALTITUDE AREA DEFENSE PROGRAM PENDING SUBMIS-
SION OF REQUIRED LIFE-CYCLE COST INFORMATION.
(a) LIMITATION PENDING SUBMISSION OF CERTIFICATION.—Not
more than 85 percent of the amount specified in subsection (b)
may be obligated until the Secretary of Defense submits to the
congressional defense committees the estimated total life-cycle cost
of the Theater High Altitude Area Defense (THAAD) program as
required for programs in engineering and manufacturing develop-
ment by section 232(d) of the National Defense Authorization Act
for Fiscal Year 2002 (Public Law 107–107; 10 U.S.C. 2431 note).
(b) FUNDS SUBJECT TO LIMITATION.—Subsection (a) applies to
the amount authorized to be appropriated for fiscal year 2003
for the Missile Defense Agency for the Theater High Altitude Area
Defense (THAAD) program.
SEC. 224. PROVISION OF INFORMATION ON FLIGHT TESTING OF
GROUND-BASED 
MIDCOURSE 
NATIONAL 
MISSILE
DEFENSE SYSTEM.
(a) INFORMATION
TO
BE
FURNISHED
TO
CONGRESSIONAL
COMMITTEES.—The Director of the Missile Defense Agency shall
provide to the congressional defense committees information on
the results of each flight test of the Ground-based Midcourse
national missile defense system.
(b) CONTENT.—Information provided under subsection (a) on
the results of a flight test shall include the following matters:
(1) A thorough discussion of the content and objectives
of the test.
(2) For each such test objective, a statement regarding
whether or not the objective was achieved.
(3) For any such test objective not achieved—
(A) a thorough discussion describing the reasons that
the objective was not achieved; and
(B) a discussion of any plans for future tests to achieve
that objective.
H. R. 4546—29
SEC. 225. REFERENCES TO NEW NAME FOR BALLISTIC MISSILE
DEFENSE ORGANIZATION.
(a) IN GENERAL.—Any reference to the Ballistic Missile Defense
Organization in any provision of law, regulation, map, document,
record, or other paper of the United States shall be considered
to be a reference to the Missile Defense Agency.
(b) CONFORMING AMENDMENTS.—(1) Title 10, United States
Code, is amended as follows:
(A) Sections 203, 223, and 224 are each amended by
striking ‘‘Ballistic Missile Defense Organization’’ each place
it appears and inserting ‘‘Missile Defense Agency’’.
(B)(i) The heading for section 203 is amended to read
as follows:
‘‘§ 203. Director of Missile Defense Agency’’.
(ii) The item relating to section 203 in the table of sections
at the beginning of subchapter II of chapter 8 is amended
to read as follows:
‘‘203. Director of Missile Defense Agency.’’.
(2) The National Defense Authorization Act for Fiscal Year
2002 (Public Law 107–107) is amended as follows:
(A) Sections 232 (115 Stat. 1037; 10 U.S.C. 2431 note),
233 (115 Stat. 1039), and 235 (115 Stat. 1041) are each amended
by striking ‘‘Ballistic Missile Defense Organization’’ each place
it appears and inserting ‘‘Missile Defense Agency’’.
(B) The heading for section 232 is amended to read as
follows:
‘‘SEC. 232. PROGRAM ELEMENTS FOR MISSILE DEFENSE AGENCY.’’.
(3) Section 3132 of the Floyd D. Spence National Defense
Authorization Act for Fiscal Year 2001 (as enacted into law by
Public Law 106–398; 114 Stat. 1654A–455; 10 U.S.C. 2431 note)
is amended—
(A) by striking ‘‘Ballistic Missile Defense Organization’’
each place it appears and inserting ‘‘Missile Defense Agency’’;
(B) in subsection (c), by striking ‘‘BMDO’’ and inserting
‘‘MDA’’; and
(C) by amending the heading to read as follows:
‘‘SEC. 3132. ENHANCED COOPERATION BETWEEN NATIONAL NUCLEAR
SECURITY ADMINISTRATION AND MISSILE DEFENSE
AGENCY.’’.
(4) The following provisions are each amended by striking
‘‘Ballistic Missile Defense Organization’’ each place it appears and
inserting ‘‘Missile Defense Agency’’:
(A) Section 233 of the National Defense Authorization Act
for Fiscal Year 1998 (Public Law 105–85; 10 U.S.C. 223 note).
(B) Section 243 of the National Defense Authorization Act
for Fiscal Year 1994 (Public Law 103–160; 10 U.S.C. 2431
note).
SEC. 226. ONE-YEAR LIMITATION ON USE OF FUNDS FOR NUCLEAR
ARMED INTERCEPTORS.
(a) LIMITATION.—None of the funds described in subsection
(b) may be obligated for research, development, test, or evaluation,
or for procurement, of a nuclear armed interceptor as a component
of a missile defense system.
H. R. 4546—30
(b) COVERED FUNDS.—Subsection (a) applies to funds made
available to the Department of Defense pursuant to an authorization
of appropriations in this title or title I or to the Department of
Energy pursuant to an authorization of appropriations in title XXXI.
Subtitle D—Improved Management of De-
partment of Defense Test and Evaluation
Facilities
SEC. 231. DEPARTMENT OF DEFENSE TEST RESOURCE MANAGEMENT
CENTER.
(a) ESTABLISHMENT.—(1) Subchapter I of chapter 8 of title
10, United States Code, is amended by adding at the end the
following new section:
‘‘§ 196. Department of Defense Test Resource Management
Center
‘‘(a) ESTABLISHMENT
AS
DEPARTMENT
OF
DEFENSE
FIELD
ACTIVITY.—The Secretary of Defense shall establish within the
Department of Defense under section 191 of this title a Department
of Defense Test Resource Management Center (hereinafter in this
section referred to as the ‘Center’). The Secretary shall designate
the Center as a Department of Defense Field Activity.
‘‘(b) DIRECTOR AND DEPUTY DIRECTOR.—(1) At the head of the
Center shall be a Director, selected by the Secretary from among
commissioned officers of the armed forces on active duty. The
Director, while so serving, holds the grade of lieutenant general
or, in the case of an officer of the Navy, vice admiral.
‘‘(2) There shall be a Deputy Director of the Center, selected
by the Secretary from among senior civilian officers and employees
of the Department of Defense who have substantial experience
in the field of test and evaluation. The Deputy Director shall act
for, and exercise the powers of, the Director when the Director
is disabled or the position of Director is vacant.
‘‘(c) DUTIES OF DIRECTOR.—The Director shall have the fol-
lowing duties:
‘‘(1) To review and provide oversight of proposed Depart-
ment of Defense budgets and expenditures for—
‘‘(A) the test and evaluation facilities and resources
of the Major Range and Test Facility Base of the Depart-
ment of Defense; and
‘‘(B) all other test and evaluation facilities and
resources within and outside of the Department of Defense.
‘‘(2) To complete and maintain the strategic plan required
by subsection (d).
‘‘(3) To review proposed budgets under subsection (e) and
submit reports and certifications required by such subsection.
‘‘(4) To administer the Central Test and Evaluation Invest-
ment Program and the program of the Department of Defense
for test and evaluation science and technology.
‘‘(d) STRATEGIC PLAN FOR DEPARTMENT OF DEFENSE TEST AND
EVALUATION RESOURCES.—(1) Not less often than once every two
fiscal years, the Director, in coordination with the Director of Oper-
ational Test and Evaluation, the Secretaries of the military depart-
ments, and the heads of Defense Agencies with test and evaluation
H. R. 4546—31
responsibilities, shall complete a strategic plan reflecting the needs
of the Department of Defense with respect to test and evaluation
facilities and resources. Each such strategic plan shall cover the
period of ten fiscal years beginning with the fiscal year in which
the plan is submitted under paragraph (3). The strategic plan
shall be based on a comprehensive review of the test and evaluation
requirements of the Department and the adequacy of the test and
evaluation facilities and resources of the Department to meet those
requirements.
‘‘(2) The strategic plan shall include the following:
‘‘(A) An assessment of the test and evaluation requirements
of the Department for the period covered by the plan.
‘‘(B) An identification of performance measures associated
with the successful achievement of test and evaluation objec-
tives for the period covered by the plan.
‘‘(C) An assessment of the test and evaluation facilities
and resources that will be needed to meet such requirements
and satisfy such performance measures.
‘‘(D) An assessment of the current state of the test and
evaluation facilities and resources of the Department.
‘‘(E) An itemization of acquisitions, upgrades, and improve-
ments necessary to ensure that the test and evaluation facilities
and resources of the Department are adequate to meet such
requirements and satisfy such performance measures.
‘‘(F) An assessment of the budgetary resources necessary
to implement such acquisitions, upgrades, and improvements.
‘‘(3) Upon completing a strategic plan under paragraph (1),
the Director shall submit to the Secretary of Defense a report
on that plan. The report shall include the plan and a description
of the review on which the plan is based.
‘‘(4) Not later than 60 days after the date on which the report
is submitted under paragraph (3), the Secretary of Defense shall
transmit to the Committee on Armed Services and Committee on
Appropriations of the Senate and the Committee on Armed Services
and Committee on Appropriations of the House of Representatives
the report, together with any comments with respect to the report
that the Secretary considers appropriate.
‘‘(e) CERTIFICATION OF BUDGETS.—(1) The Secretary of Defense,
acting through the Under Secretary of Defense (Comptroller), shall
require that the Secretary of each military department, the Director
of Operational Test and Evaluation, and the head of each Defense
Agency with test and evaluation responsibilities transmit such Sec-
retary’s, Director’s, or head’s proposed budget for test and evalua-
tion activities for a fiscal year to the Director of the Center for
review under paragraph (2) before submitting such proposed budget
to the Under Secretary of Defense (Comptroller).
‘‘(2)(A) The Director of the Center shall review each proposed
budget transmitted under paragraph (1) and shall, not later than
January 31 of the year preceding the fiscal year for which such
budgets are proposed, submit to the Secretary of Defense a report
containing the comments of the Director with respect to all such
proposed budgets, together with the certification of the Director
as to whether such proposed budgets are adequate.
‘‘(B) The Director shall also submit, together with such report
and such certification, an additional certification as to whether
such proposed budgets provide balanced support for such strategic
plan.
H. R. 4546—32
‘‘(3) The Secretary of Defense shall, not later than March 31
of the year preceding the fiscal year for which such budgets are
proposed, submit to Congress a report on those proposed budgets
which the Director has not certified under paragraph (2)(A) to
be adequate. The report shall include the following matters:
‘‘(A) A discussion of the actions that the Secretary proposes
to take, together with any recommended legislation that the
Secretary considers appropriate, to address the inadequacy of
the proposed budgets.
‘‘(B) Any additional comments that the Secretary considers
appropriate regarding the inadequacy of the proposed budgets.
‘‘(f) SUPERVISION
OF DIRECTOR
BY UNDER SECRETARY.—The
Director of the Center shall be subject to the supervision of the
Under Secretary of Defense for Acquisition, Technology, and Logis-
tics. The Director shall report directly to the Under Secretary,
without the interposition of any other supervising official.
‘‘(g) ADMINISTRATIVE SUPPORT OF CENTER.—The Secretary of
Defense shall provide the Director with administrative support
adequate for carrying out the Director’s responsibilities under this
section. The Secretary shall provide the support out of the head-
quarters activities of the Department or any other activities that
the Secretary considers appropriate.
‘‘(h) DEFINITION.—In this section, the term ‘Major Range and
Test Facility Base’ means the test and evaluation facilities and
resources that are designated by the Director of Operational Test
and Evaluation as facilities and resources comprising the Major
Range and Test Facility Base.’’.
(2) The table of sections at the beginning of such subchapter
is amended by adding at the end the following new item:
‘‘196. Department of Defense Test Resource Management Center.’’.
(b) FIRST STRATEGIC PLAN.—The first strategic plan required
to be completed under subsection (d)(1) of section 196 of title 10,
United States Code (as added by subsection (a)), shall be completed
not later than six months after the date of the enactment of this
Act.
(c) ADMINISTRATION OF CTEIP AND DOD T&E S&T PROGRAMS.—
The duty of the Director of the Department of Defense Test Resource
Management Center to administer the programs specified in sub-
section (c)(4) of section 196 of title 10, United States Code (as
added by subsection (a)), shall take effect, and such programs
shall be placed under control of such Director, upon the beginning
of the first fiscal year that begins after the report on the first
strategic plan referred to subsection (b) is transmitted to the
congressional committees required by subsection (d)(4) of such sec-
tion 196.
SEC. 232. OBJECTIVE FOR INSTITUTIONAL FUNDING OF TEST AND
EVALUATION FACILITIES.
(a) FUNDING OBJECTIVE.—The Secretary of Defense shall estab-
lish the objective of ensuring that, by fiscal year 2006—
(1) the institutional and overhead costs of a facility or
resource of a military department or Defense Agency that is
within the Major Range and Test Facility Base are fully funded
through the major test and evaluation investment accounts
of the military department or Defense Agency, the account
of the Central Test and Evaluation Investment Program of
H. R. 4546—33
the Department of Defense, and other appropriate accounts
of the military department or Defense Agency; and
(2) the charge to an element of the Department of Defense
for a use by that element of such a facility or resource for
testing under a particular program is not more than the amount
equal to the direct costs of such use by that element.
(b) DEFINITIONS.—In this section:
(1) The term ‘‘Major Range and Test Facility Base’’ means
the test and evaluation facilities and resources that are des-
ignated by the Director of Operational Test and Evaluation
as facilities and resources comprising the Major Range and
Test Facility Base.
(2) The term ‘‘institutional and overhead costs’’, with
respect to a facility or resource within the Major Range Test
and Facility Base—
(A) means the costs of maintaining, operating,
upgrading, and modernizing the facility or resource; and
(B) does not include any incremental cost of operating
the facility or resource that is attributable to the use of
the facility or resource for testing under a particular pro-
gram.
(3) The term ‘‘direct costs’’, with respect to a facility or
resource within the Major Range and Test Facility Base, means
those costs that are directly attributable to the use of the
facility or resource for testing under a particular program,
over and above the institutional and overhead costs with respect
to the facility or resource.
SEC. 233. UNIFORM FINANCIAL MANAGEMENT SYSTEM FOR DEPART-
MENT OF DEFENSE TEST AND EVALUATION FACILITIES.
(a) REQUIREMENT FOR SYSTEM.—The Secretary of Defense shall
implement a single financial management and accounting system
for all test and evaluation facilities of the Department of Defense.
The Secretary shall implement such system as soon as practicable,
and shall establish the objective that such system be implemented
not later than September 30, 2006.
(b) SYSTEM FEATURES.—The system required by subsection (a)
shall be designed to achieve, at a minimum, the following functional
objectives:
(1) Enable managers within the Department of Defense
to compare the costs of carrying out test and evaluation activi-
ties in the various facilities of the military departments.
(2) Enable the Secretary of Defense—
(A) to make prudent investment decisions; and
(B) to reduce the extent to which unnecessary costs
of owning and operating test and evaluation facilities of
the Department of Defense are incurred.
(3) Enable the Department of Defense to track the total
cost of test and evaluation activities.
(4) Comply with the financial management architecture
established by the Secretary.
SEC. 234. TEST AND EVALUATION WORKFORCE IMPROVEMENTS.
(a) REPORT ON CAPABILITIES.—Not later than March 15, 2003,
the Under Secretary of Defense for Acquisition, Technology, and
Logistics shall submit to Congress a report on the capabilities
of the test and evaluation workforce of the Department of Defense.
The Under Secretary shall consult with the Under Secretary of
H. R. 4546—34
Defense for Personnel and Readiness and the Director of Oper-
ational Test and Evaluation in preparing the report.
(b) REQUIREMENT FOR PLAN.—(1) The report shall contain a
plan for taking the actions necessary to ensure that the test and
evaluation workforce of the Department of Defense is of sufficient
size and has the expertise necessary to timely and accurately iden-
tify issues of military suitability and effectiveness of Department
of Defense systems through testing of the systems.
(2) The plan shall set forth objectives for the size, composition,
and qualifications of the workforce, and shall specify the actions
(including recruitment, retention, and training) and milestones for
achieving the objectives.
(c) ADDITIONAL MATTERS.—The report shall also include the
following matters:
(1) An assessment of the changing size and demographics
of the test and evaluation workforce, including the impact of
anticipated retirements among the most experienced personnel
over the period of five fiscal years beginning with fiscal year
2003, together with a discussion of the management actions
necessary to address the changes.
(2) An assessment of the anticipated workloads and respon-
sibilities of the test and evaluation workforce over the period
of ten fiscal years beginning with fiscal year 2003, together
with the number and qualifications of military and civilian
personnel necessary to carry out such workloads and respon-
sibilities.
(3) The Under Secretary’s specific plans for using the dem-
onstration authority provided in section 4308 of the National
Defense Authorization Act for Fiscal Year 1996 (Public Law
104–106; 10 U.S.C. 1701 note) and other special personnel
management authorities of the Under Secretary to attract and
retain qualified personnel in the test and evaluation workforce.
(4) Any recommended legislation or additional special
authority that the Under Secretary considers appropriate for
facilitating the recruitment and retention of qualified personnel
for the test and evaluation workforce.
(5) Any other matters that are relevant to the capabilities
of the test and evaluation workforce.
SEC. 235. COMPLIANCE WITH TESTING REQUIREMENTS.
(a) ANNUAL OT&E REPORT.—Subsection (g) of section 139 of
title 10, United States Code, is amended by inserting after the
fourth sentence the following: ‘‘The report for a fiscal year shall
also include an assessment of the waivers of and deviations from
requirements in test and evaluation master plans and other testing
requirements that occurred during the fiscal year, any concerns
raised by the waivers or deviations, and the actions that have
been taken or are planned to be taken to address the concerns.’’.
(b) REORGANIZATION OF PROVISION.—Subsection (g) of such sec-
tion, as amended by subsection (a), is further amended—
(1) by inserting ‘‘(1)’’ after ‘‘(g)’’;
(2) by designating the second sentence as paragraph (2);
(3) by designating the third sentence as paragraph (3);
(4) by designating the matter consisting of the fourth and
fifth sentences as paragraph (4); and
(5) by designating the sixth sentence as paragraph (5).
H. R. 4546—35
Subtitle E—Other Matters
SEC. 241. PILOT PROGRAMS FOR REVITALIZING DEPARTMENT OF
DEFENSE LABORATORIES.
(a) ADDITIONAL PILOT PROGRAM.—(1) The Secretary of Defense
may carry out a pilot program to demonstrate improved efficiency
in the performance of research, development, test, and evaluation
functions of the Department of Defense.
(2) Under the pilot program, the Secretary of Defense shall
provide the director of one science and technology laboratory, and
the director of one test and evaluation laboratory, of each military
department with authority for the following:
(A) To use innovative methods of personnel management
appropriate for ensuring that the selected laboratories can—
(i) employ and retain a workforce appropriately
balanced between permanent and temporary personnel and
among workers with appropriate levels of skills and experi-
ence; and
(ii) effectively shape workforces to ensure that the
workforces have the necessary sets of skills and experience
to fulfill their organizational missions.
(B) To develop or expand innovative methods of entering
into and expanding cooperative relationships and arrangements
with private sector organizations, educational institutions
(including primary and secondary schools), and State and local
governments to facilitate the training of a future scientific
and technical workforce that will contribute significantly to
the accomplishment of organizational missions.
(C) To develop or expand innovative methods of establishing
cooperative relationships and arrangements with private sector
organizations and educational institutions to promote the
establishment of the technological industrial base in areas crit-
ical for Department of Defense technological requirements.
(D) To waive any restrictions not required by law that
apply to the demonstration and implementation of methods
for achieving the objectives set forth in subparagraphs (A),
(B), and (C).
(3) The Secretary may carry out the pilot program under this
subsection at each selected laboratory for a period of three years
beginning not later than March 1, 2003.
(b) RELATIONSHIP TO FISCAL YEARS 1999 AND 2000 REVITALIZA-
TION PILOT PROGRAMS.—The pilot program under this section is
in addition to, but may be carried out in conjunction with, the
fiscal years 1999 and 2000 revitalization pilot programs.
(c) REPORTS.—(1) Not later than January 1, 2003, the Secretary
shall submit to Congress a report on the experience under the
fiscal years 1999 and 2000 revitalization pilot programs in exer-
cising the authorities provided for the administration of those pro-
grams. The report shall include a description of—
(A) barriers to the exercise of the authorities that have
been encountered;
(B) the proposed solutions for overcoming the barriers;
and
(C) the progress made in overcoming the barriers.
(2) Not later than September 1, 2003, the Secretary of Defense
shall submit to Congress a report on the implementation of the
H. R. 4546—36
pilot program under subsection (a) and the fiscal years 1999 and
2000 revitalization pilot programs. The report shall include, for
each such pilot program, the following:
(A) Each laboratory selected for the pilot program.
(B) To the extent practicable, a description of the innovative
methods that are to be tested at each laboratory.
(C) The criteria to be used for measuring the success of
each method to be tested.
(3) Not later than 90 days after the expiration of the period
for the participation of a laboratory in a pilot program referred
to in paragraph (2), the Secretary of Defense shall submit to Con-
gress a final report on the participation of that laboratory in the
pilot program. The report shall include the following:
(A) A description of the methods tested.
(B) The results of the testing.
(C) The lessons learned.
(D) Any proposal for legislation that the Secretary rec-
ommends on the basis of the experience at that laboratory
under the pilot program.
(d) EXTENSION OF AUTHORITY FOR OTHER REVITALIZATION PILOT
PROGRAMS.—(1) Section 246(a)(4) of the Strom Thurmond National
Defense Authorization Act for Fiscal Year 1999 (Public Law 105–
261; 112 Stat. 1956; 10 U.S.C. 2358 note) is amended by striking
‘‘a period of three years’’ and inserting ‘‘up to six years’’.
(2) Section 245(a)(4) of the National Defense Authorization
Act for Fiscal Year 2000 (Public Law 106–65; 113 Stat. 553; 10
U.S.C. 2358 note) is amended by striking ‘‘a period of three years’’
and inserting ‘‘up to five years’’.
(e) PARTNERSHIPS UNDER PILOT PROGRAM.—(1) The Secretary
of Defense may authorize one or more laboratories and test centers
participating in the pilot program under subsection (a) or in one
of the fiscal years 1999 and 2000 revitalization pilot programs
to enter into a cooperative arrangement (in this subsection referred
to as a ‘‘public-private partnership’’) with entities in the private
sector and institutions of higher education for the performance
of work.
(2) A competitive process shall be used for the selection of
entities outside the Government to participate in a public-private
partnership.
(3)(A) Not more than one public-private partnership may be
established as a limited liability company.
(B) An entity participating in a limited liability company as
a party to a public-private partnership under the pilot program
may contribute funds to the company, accept contributions of funds
for the company, and provide materials, services, and use of facili-
ties for research, technology, and infrastructure of the company,
if it is determined under regulations prescribed by the Secretary
of Defense that doing so will improve the efficiency of the perform-
ance of research, test, and evaluation functions of the Department
of Defense.
(f) FISCAL YEARS 1999 AND 2000 REVITALIZATION PILOT PRO-
GRAMS DEFINED.—In this section, the term ‘‘fiscal years 1999 and
2000 revitalization pilot programs’’ means—
(1) the pilot programs authorized by section 246 of the
Strom Thurmond National Defense Authorization Act for Fiscal
Year 1999 (Public Law 105–261; 112 Stat. 1955; 10 U.S.C.
2358 note); and
H. R. 4546—37
(2) the pilot programs authorized by section 245 of the
National Defense Authorization Act for Fiscal Year 2000 (Public
Law 106–65; 113 Stat. 552; 10 U.S.C. 2358 note).
SEC. 242. TECHNOLOGY TRANSITION INITIATIVE.
(a) ESTABLISHMENT AND CONDUCT.—(1) Chapter 139 of title
10, United States Code, is amended by inserting after section 2359
the following new section:
‘‘§ 2359a. Technology Transition Initiative
‘‘(a) INITIATIVE REQUIRED.—The Secretary of Defense, acting
through the Under Secretary of Defense for Acquisition, Technology,
and Logistics, shall carry out an initiative, to be known as the
Technology Transition Initiative (hereinafter in this section referred
to as the ‘Initiative’), to facilitate the rapid transition of new tech-
nologies from science and technology programs of the Department
of Defense into acquisition programs of the Department for the
production of such technologies.
‘‘(b) OBJECTIVES.—The objectives of the Initiative are as follows:
‘‘(1) To accelerate the introduction of new technologies into
operational capabilities for the armed forces.
‘‘(2) To successfully demonstrate new technologies in rel-
evant environments.
‘‘(c) MANAGEMENT
OF INITIATIVE.—(1) The Under Secretary
shall designate a senior official of the Department of Defense
(hereinafter in this section referred to as the ‘Manager’) to manage
the Initiative.
‘‘(2) In managing the Initiative, the Manager shall—
‘‘(A) report directly to the Under Secretary; and
‘‘(B) obtain advice and other assistance from the Technology
Transition Council established under subsection (g).
‘‘(3) The Manager shall—
‘‘(A) in consultation with the Technology Transition Council
established under subsection (g), identify promising technology
transition projects that can contribute to meeting Department
of Defense technology goals and requirements;
‘‘(B) identify potential sponsors in the Department of
Defense to manage such projects; and
‘‘(C) provide funds under subsection (f) for those projects
that are selected under subsection (d)(2).
‘‘(d) SELECTION OF PROJECTS.—(1) The science and technology
and acquisition executives of each military department and each
appropriate Defense Agency and the commanders of the unified
and specified combatant commands may nominate technology
transition projects for implementation under subsection (e) and
shall submit a list of the projects so nominated to the Manager.
‘‘(2) The Manager, in consultation with the Technology Transi-
tion Council established under subsection (g), shall select projects
for implementation under subsection (e) from among the projects
on the lists submitted under paragraph (1).
‘‘(e) IMPLEMENTATION OF PROJECTS.—For each project selected
under subsection (d)(2), the Manager shall designate a military
department or Defense Agency to implement the project.
‘‘(f) FUNDING OF PROJECTS.—(1) From funds made available
to the Manager for the Initiative, the Manager shall, subject to
paragraphs (2) and (3), provide funds for each project selected
H. R. 4546—38
under subsection (d)(2) in an amount determined by mutual agree-
ment between the Manager and the acquisition executive of the
military department or Defense Agency concerned.
‘‘(2) The amount of funds provided to a project under paragraph
(1) shall be not less than the amount equal to 50 percent of the
total cost of the project.
‘‘(3) A project shall not be provided funds under this subsection
for more than four fiscal years.
‘‘(g) TECHNOLOGY TRANSITION COUNCIL.—(1) There is a Tech-
nology Transition Council in the Department of Defense. The
Council is composed of the following members:
‘‘(A) The science and technology executive of each military
department and each Defense Agency.
‘‘(B) The acquisition executive of each military department.
‘‘(C) The members of the Joint Requirements Oversight
Council.
‘‘(2) The duty of the Council shall be to provide advice and
assistance to the Manager under this section.
‘‘(3) The Council shall meet not less often than semiannually
to carry out its duty under paragraph (2).
‘‘(h) REPORT.—Not later than March 31 of each year, the Under
Secretary shall submit to the Committee on Armed Services and
the Committee on Appropriations of the Senate and the Committee
on Armed Services and the Committee on Appropriations of the
House of Representatives a report on the activities carried out
by the Initiative during the preceding fiscal year.
‘‘(i) DEFINITION.—In this section, the term ‘acquisition execu-
tive’, with respect to a military department or Defense Agency,
means the official designated as the senior procurement executive
for that military department or Defense Agency for the purposes
of section 16(3) of the Office of Federal Procurement Policy Act
(41 U.S.C. 414(3)).’’.
(2) The table of sections at the beginning of such chapter
is amended by inserting after the item relating to section 2359
the following new item:
‘‘2359a. Technology Transition Initiative.’’.
(b) AUTHORIZATION
OF
APPROPRIATIONS.—Of the amount
authorized to be appropriated under section 201(4), $25,430,000
may be available in program element 0603826D8Z for technology
transition activities of the Department of Defense, including the
Technology Transition Initiative required by section 2359a of title
10, United States Code (as added by subsection (a)), the Defense
Acquisition Challenge Program required by section 2359b of title
10, United States Code (as added by section 243), and Quick Reac-
tion Special Projects.
SEC. 243. DEFENSE ACQUISITION CHALLENGE PROGRAM.
(a) IN GENERAL.—Chapter 139 of title 10, United States Code,
is amended by inserting after section 2359a (as added by section
242) the following new section:
‘‘§ 2359b. Defense Acquisition Challenge Program
‘‘(a) PROGRAM REQUIRED.—(1) The Secretary of Defense, acting
through the Under Secretary of Defense for Acquisition, Technology,
and Logistics, shall carry out a program to provide opportunities
H. R. 4546—39
for the increased introduction of innovative and cost-saving tech-
nology in acquisition programs of the Department of Defense.
‘‘(2) The program, to be known as the Defense Acquisition
Challenge Program (hereinafter in this section referred to as the
‘Challenge Program’), shall provide any person or activity within
or outside the Department of Defense with the opportunity to
propose alternatives, to be known as challenge proposals, at the
component, subsystem, or system level of an existing Department
of Defense acquisition program that would result in improvements
in performance, affordability, manufacturability, or operational
capability of that acquisition program.
‘‘(b) PANELS.—The Under Secretary shall establish one or more
panels of highly qualified scientists and engineers (hereinafter in
this section referred to as ‘Panels’) to provide preliminary evalua-
tions of challenge proposals under subsection (c).
‘‘(c) PRELIMINARY EVALUATION BY PANELS.—(1) Under proce-
dures prescribed by the Under Secretary, a person or activity within
or outside the Department of Defense may submit challenge pro-
posals to a Panel, through the unsolicited proposal process or in
response to a broad agency announcement.
‘‘(2) The Under Secretary shall establish procedures pursuant
to which appropriate officials of the Department of Defense may
identify proposals submitted through the unsolicited proposal
process as challenge proposals. The procedures shall provide for
the expeditious referral of such proposals to a Panel for preliminary
evaluation under this subsection.
‘‘(3) The Under Secretary shall issue on an annual basis not
less than one such broad agency announcement inviting interested
parties to submit challenge proposals. Such announcements may
also identify particular technology areas and acquisition programs
that will be given priority in the evaluation of challenge proposals.
‘‘(4) Under procedures established by the Under Secretary, a
Panel shall carry out a preliminary evaluation of each challenge
proposal submitted in response to a broad agency announcement,
or submitted through the unsolicited proposal process and identified
as a challenge proposal in accordance with paragraph (2), to deter-
mine each of the following:
‘‘(A) Whether the challenge proposal has merit.
‘‘(B) Whether the challenge proposal is likely to result
in 
improvements 
in 
performance, 
affordability,
manufacturability, or operational capability at the component,
subsystem, or system level of an acquisition program.
‘‘(C) Whether the challenge proposal could be implemented
in the acquisition program rapidly, at an acceptable cost, and
without unacceptable disruption to the acquisition program.
‘‘(5) The Under Secretary may establish procedures to ensure
that the Challenge Program does not become an avenue for the
repetitive submission of proposals that have been previously
reviewed and found not to have merit.
‘‘(6) If a Panel determines that a challenge proposal satisfies
each of the criteria specified in paragraph (4), the person or activity
submitting that challenge proposal shall be provided an opportunity
to submit such challenge proposal for a full review and evaluation
under subsection (d).
‘‘(d) FULL REVIEW AND EVALUATION.—(1) Under procedures pre-
scribed by the Under Secretary, for each challenge proposal sub-
mitted for a full review and evaluation as provided in subsection
H. R. 4546—40
(c)(6), the office carrying out the acquisition program to which
the proposal relates shall, in consultation with the prime system
contractor carrying out such program, conduct a full review and
evaluation of the proposal.
‘‘(2) The full review and evaluation shall, independent of the
determination of a Panel under subsection (c)(4), determine each
of the matters specified in subparagraphs (A), (B), and (C) of such
subsection. The full review and evaluation shall also include—
‘‘(A) an assessment of the cost of adopting the challenge
proposal and implementing it in the acquisition program; and
‘‘(B) consideration of any intellectual property issues associ-
ated with the challenge proposal.
‘‘(e) ACTION UPON FAVORABLE FULL REVIEW AND EVALUATION.—
(1) Under procedures prescribed by the Under Secretary, each chal-
lenge proposal determined under a full review and evaluation to
satisfy each of the criteria specified in subsection (c)(4) with respect
to an acquisition program shall be considered by the office carrying
out the applicable acquisition program and the prime system con-
tractor for incorporation into the acquisition program as a new
technology insertion at the component, subsystem, or system level.
‘‘(2) The Under Secretary shall encourage the adoption of each
challenge proposal referred to in paragraph (1) by providing suitable
incentives to the office carrying out the acquisition program and
the prime system contractor carrying out such program.
‘‘(f) ACCESS TO TECHNICAL RESOURCES.—(1) Under procedures
established by the Under Secretary, the technical resources of the
laboratories, research, development, and engineering centers, test
and evaluation activities, and other elements of the Department
may be called upon to support the activities of the Challenge
Program.
‘‘(2) Funds available to carry out this program may be used
to compensate such laboratories, centers, activities, and elements
for technical assistance provided to a Panel pursuant to paragraph
(1).
‘‘(g) ELIMINATION OF CONFLICTS OF INTEREST.—In carrying out
each preliminary evaluation under subsection (c) and full review
under subsection (d), the Under Secretary shall ensure the elimi-
nation of conflicts of interest.
‘‘(h) LIMITATION
ON USE
OF FUNDS.—Funds made available
for the Challenge Program may be used only for activities author-
ized by this section, and not for implementation of challenge pro-
posals.
‘‘(i) ANNUAL REPORT.—The Under Secretary shall submit an
annual report on the Challenge Program to Congress. The report
shall be submitted at the same time as the President submits
the budget for a fiscal year to Congress under section 1105(a)
of title 31, and shall cover the conduct of the Challenge Program
for the preceding fiscal year. The report shall include the number
and scope of challenge proposals submitted, preliminarily evaluated,
subjected to full review and evaluation, and adopted. No report
is required for a fiscal year in which the Challenge Program is
not carried out.
‘‘(j) TERMINATION OF AUTHORITY.—The Secretary may not carry
out the Challenge Program under this section after September
30, 2007.’’.
H. R. 4546—41
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of such chapter is amended by inserting after the item relating
to section 2359a (as added by section 242) the following new item:
‘‘2359b. Defense Acquisition Challenge Program.’’.
SEC. 244. ENCOURAGEMENT OF SMALL BUSINESSES AND NONTRADI-
TIONAL DEFENSE CONTRACTORS TO SUBMIT PROPOSALS
POTENTIALLY 
BENEFICIAL 
FOR 
COMBATING 
TER-
RORISM.
(a) ESTABLISHMENT
OF OUTREACH PROGRAM.—During fiscal
years 2003, 2004, and 2005, the Secretary of Defense, acting through
the Under Secretary of Defense for Acquisition, Technology, and
Logistics, shall carry out a program of outreach to small businesses
and nontraditional defense contractors for the purpose set forth
in subsection (b).
(b) PURPOSE.—The purpose of the outreach program is to pro-
vide a process for reviewing and evaluating research activities
of, and new technologies being developed by, small businesses and
nontraditional defense contractors that have the potential for
meeting a defense requirement or technology development goal
of the Department of Defense that relates to the mission of the
Department of Defense to combat terrorism.
(c) GOALS.—The goals of the outreach program are as follows:
(1) To increase efforts within the Department of Defense
to survey and identify research activities and new technologies
described in subsection (b).
(2) To provide the Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics with a source of expert advice
on new technologies for combating terrorism.
(3) To increase efforts to educate nontraditional defense
contractors on Department of Defense acquisition processes,
including regulations, procedures, funding opportunities, mili-
tary needs and requirements, and technology transfer so as
to encourage such contractors to submit proposals regarding
research activities and new technologies described in subsection
(b).
(4) To increase efforts to provide timely response by the
Department of Defense to acquisition proposals (including
unsolicited proposals) submitted to the Department by small
businesses and by nontraditional defense contractors regarding
research activities and new technologies described in subsection
(b), including through the use of electronic transactions to
facilitate the processing of such proposals.
(d) REVIEW PANEL.—(1) The Secretary shall appoint, under
the outreach program, a panel for the review and evaluation of
acquisition proposals described in subsection (c)(4).
(2) The panel shall be composed of qualified personnel from
the military departments, relevant Defense Agencies, industry, aca-
demia, and other private sector organizations.
(3) Under procedures prescribed by the Under Secretary of
Defense for Acquisition, Technology, and Logistics, a small business
or nontraditional defense contractor may submit acquisition pro-
posals for consideration under the program through the unsolicited
proposal process or in response to a broad agency announcement.
The Under Secretary shall issue on an annual basis not less than
one such broad agency announcement inviting parties to submit
proposals.
H. R. 4546—42
(4) Under procedures prescribed by the Under Secretary, the
panel shall review and evaluate acquisition proposals selected by
the panel. An acquisition proposal shall be selected for review
and evaluation if the panel determines that the acquisition proposal
may present a unique and valuable approach for meeting a defense
requirement or technology development goal of the Department
of Defense that relates to the mission of the Department of Defense
to combat terrorism. In carrying out its duties under this paragraph,
the panel may act through representatives designated by the panel.
(5) The panel shall—
(A) not later than 60 days after the date on which the
panel receives an acquisition proposal described in subsection
(c)(4), transmit to the small business or nontraditional defense
contractor that submitted the proposal a notification regarding
whether the acquisition proposal has been selected under para-
graph (4) for review and evaluation;
(B) to the maximum extent practicable, complete the review
and evaluation of each selected acquisition proposal not later
than 120 days after the date on which such proposal is selected
under paragraph (4); and
(C) after completing the review and evaluation of an
acquisition proposal, transmit the results of that review and
evaluation to the small business or nontraditional defense con-
tractor that submitted the proposal.
(6) The Secretary shall ensure that the panel, in reviewing
and evaluating acquisition proposals under this subsection, has
the authority to obtain assistance, to a reasonable extent, from
the appropriate technical resources of the laboratories, research,
development, and engineering centers, test and evaluation activi-
ties, and other elements of the Department of Defense.
(7) If, after completing review and evaluation of an acquisition
proposal, the panel determines that such proposal represents a
unique and valuable approach for meeting a defense requirement
or technology development goal of the Department of Defense that
relates to the mission of the Department of Defense to combat
terrorism, the panel shall submit that determination to the Under
Secretary of Defense for Acquisition, Technology, and Logistics,
together with any recommendations that the panel considers appro-
priate regarding such proposal.
(8) The Under Secretary of Defense for Acquisition, Technology,
and Logistics may provide funding for acquisition proposals with
respect to which the panel has submitted a determination under
paragraph (7) through appropriate accounts of the military depart-
ments, Defense Agencies, the Small Business Innovative Research
program, or any other acquisition program.
(9) The Secretary of Defense shall ensure that a member of
the panel has no conflict of interest with respect to the review
and evaluation of an acquisition proposal by the panel.
(e) NONTRADITIONAL DEFENSE CONTRACTOR DEFINED.—In this
section, the term ‘‘nontraditional defense contractor’’ means an
entity that has not, for at least one year prior to the date of
the enactment of this Act, entered into, or performed with respect
to, any contract described in paragraph (1) or (2) of section 845(e)
of the National Defense Authorization Act for Fiscal Year 1994
(10 U.S.C. 2371 note).
H. R. 4546—43
SEC. 245. VEHICLE FUEL CELL PROGRAM.
(a) PROGRAM REQUIRED.—The Secretary of Defense shall carry
out a program for the development of vehicle fuel cell technology.
(b) GOALS AND OBJECTIVES.—The goals and objectives of the
program shall be as follows:
(1) To identify and support technological advances that
are necessary for the development of fuel cell technology for
use in vehicles of types to be used by the Department of
Defense.
(2) To ensure that critical technology advances are shared
among the various fuel cell technology programs within the
Federal Government.
(3) To maximize the leverage of Federal funds that are
used for the development of fuel cell technology.
(c) CONTENT OF PROGRAM.—The program shall include—
(1) development of vehicle propulsion technologies and fuel
cell auxiliary power units, together with pilot projects for the
demonstration of such technologies, as appropriate; and
(2) development of technologies necessary to address critical
issues with respect to vehicle fuel cells, such as issues relating
to hydrogen storage and hydrogen fuel infrastructure.
(d) COOPERATION WITH INDUSTRY.—(1) The Secretary shall
carry out the program in cooperation with companies selected by
the Secretary. The Secretary shall select such companies from
among—
(A) companies in the automobile and truck manufacturing
industry;
(B) companies in the business of supplying systems and
components to that industry; and
(C) companies in any other industries that the Secretary
considers appropriate.
(2) The Secretary may enter into a cooperative agreement with
one or more companies selected under paragraph (1) to establish
an entity for carrying out activities required by subsection (c).
(3) The Secretary shall ensure that companies referred to in
paragraph (1) collectively contribute, in cash or in kind, not less
than one-half of the total cost of carrying out the program under
this section.
(e) COORDINATION WITH OTHER FEDERAL AGENCIES.—The Sec-
retary shall carry out the program using a coordinating mechanism
for sharing information and resources with the Department of
Energy and other Federal agencies.
(f) INTIAL FUNDING.—Of the funds authorized to be appro-
priated by section 201(4), $10,000,000 shall be available for the
program required by this section.
SEC. 246. DEFENSE NANOTECHNOLOGY RESEARCH AND DEVELOP-
MENT PROGRAM.
(a) ESTABLISHMENT.—The Secretary of Defense shall carry out
a defense nanotechnology research and development program.
(b) PURPOSES.—The purposes of the program are as follows:
(1) To ensure United States global superiority in
nanotechnology necessary for meeting national security require-
ments.
(2) To coordinate all nanoscale research and development
within the Department of Defense, and to provide for inter-
agency cooperation and collaboration on nanoscale research
H. R. 4546—44
and development between the Department of Defense and other
departments and agencies of the United States that are
involved in nanoscale research and development.
(3) To develop and manage a portfolio of fundamental and
applied nanoscience and engineering research initiatives that
is stable, consistent, and balanced across scientific disciplines.
(4) To accelerate the transition and deployment of tech-
nologies and concepts derived from nanoscale research and
development into the Armed Forces, and to establish policies,
procedures, and standards for measuring the success of such
efforts.
(5) To collect, synthesize, and disseminate critical informa-
tion on nanoscale research and development.
(c) ADMINISTRATION.—In carrying out the program, the Sec-
retary shall act through the Director of Defense Research and
Engineering, who shall supervise the planning, management, and
coordination of the program. The Director, in consultation with
the Secretaries of the military departments and the heads of partici-
pating Defense Agencies and other departments and agencies of
the United States, shall—
(1) prescribe a set of long-term challenges and a set of
specific technical goals for the program;
(2) develop a coordinated and integrated research and
investment plan for meeting the long-term challenges and
achieving the specific technical goals that builds upon the
Department’s increased investment in nanotechnology research
and development and the National Nanotechnology Initiative;
and
(3) develop memoranda of agreement, joint funding agree-
ments, and other cooperative arrangements necessary for
meeting the long-term challenges and achieving the specific
technical goals.
(d) ANNUAL REPORT.—Not later than March 1 of each of 2004,
2005, 2006, and 2007, the Director of Defense Research and
Engineering shall submit to the congressional defense committees
a report on the program. The report shall contain the following
matters:
(1) A review of—
(A) the long-term challenges and specific technical
goals of the program; and
(B) the progress made toward meeting those challenges
and achieving those goals.
(2) An assessment of current and proposed funding levels,
including the adequacy of such funding levels to support pro-
gram activities.
(3) A review of the coordination of activities within the
Department of Defense, with other departments and agencies,
and with the National Nanotechnology Initiative.
(4) An assessment of the extent to which effective tech-
nology transition paths have been established as a result of
activities under the program.
(5) Recommendations for additional program activities to
meet emerging national security requirements.
H. R. 4546—45
SEC. 247. ACTIVITIES OF THE DEFENSE EXPERIMENTAL PROGRAM TO
STIMULATE COMPETITIVE RESEARCH.
Subsection (c) of section 257 of the National Defense Authoriza-
tion Act for Fiscal Year 1995 (Public Law 103–337; 10 U.S.C.
2358 note) is amended—
(1) in paragraph (1), by striking ‘‘research grants’’ and
inserting ‘‘grants for research and instrumentation to support
such research’’; and
(2) by adding at the end the following new paragraph:
‘‘(3) Any other activities that are determined necessary
to further the achievement of the objectives of the program.’’.
SEC. 248. FOUR-YEAR EXTENSION OF AUTHORITY OF DARPA TO AWARD
PRIZES FOR ADVANCED TECHNOLOGY ACHIEVEMENTS
AND ADDITIONAL AUTHORITY OF MILITARY DEPART-
MENTS AND DEFENSE AGENCIES TO AWARD PRIZES FOR
ACHIEVEMENTS IN PROMOTING EDUCATION.
(a) EXTENSION.—Section 2374a(f) of title 10, United States
Code, is amended by striking ‘‘September 30, 2003’’ and inserting
‘‘September 30, 2007’’.
(b) REPORT ON ADMINISTRATION OF PROGRAM.—(1) Not later
than December 31, 2002, the Director of the Defense Advanced
Research Projects Agency shall submit to the congressional defense
committees a report on the proposal of the Director for the adminis-
tration of the program to award prizes for advanced technology
achievements under section 2374a of title 10, United States Code.
(2) The report shall include the following:
(A) The results of consultations by the Director with offi-
cials of the military departments regarding the technology areas
for which competitive prizes would be established.
(B) A description of the proposed goals of the competitions
that would be established under the program, including the
technology areas to be promoted by the competitions and the
relationship of such areas to military missions of the Depart-
ment of Defense.
(C) The proposed rules for the competitions that would
be established under the program and a description of the
proposed management of the competitions.
(D) A description of the manner in which the amounts
of the cash prizes awarded and claimed under the program
would be allocated among the accounts of the Defense Advanced
Research Projects Agency for recording as obligations and
expenditures.
(E) For each competition that would be established under
the program, a statement of the reasons why the competition
is a preferable means of promoting basic, advanced, and applied
research, advanced technology development, or prototype
projects, rather than other means of promoting such activities,
including contracts, grants, cooperative agreements, and other
transactions.
(c) ADDITIONAL AUTHORITY TO AWARD CASH PRIZES FOR PRO-
MOTING EDUCATION IN SUPPORT OF DOD MISSIONS.—(1) Chapter
139 of title 10, United States Code, is amended by adding at
the end the following new section:
H. R. 4546—46
‘‘§ 2374b. Prizes for achievements in promoting science,
mathematics, engineering, or technology edu-
cation
‘‘(a) AUTHORITY.—The Secretaries of the military departments
and the heads of defense agencies may each carry out a program
to award cash prizes in recognition of outstanding achievements
that are designed to promote science, mathematics, engineering,
or technology education in support of the missions of the Depart-
ment of Defense.
‘‘(b) COMPETITION REQUIREMENTS.—Each program under sub-
section (a) shall use a competitive process for the selection of
recipients of cash prizes.
‘‘(c) LIMITATION.—For any single program under subsection (a),
the total amount made available for award of cash prizes in a
fiscal year may not exceed $1,000,000.
‘‘(d) RELATIONSHIP TO OTHER AUTHORITY.—The program under
subsection (a) may be carried out in conjunction with or in addition
to the exercise of any other authority to acquire, support, or stimu-
late basic and applied research, advanced technology development,
or prototype development projects.
‘‘(e) ANNUAL REPORT.—Promptly after the end of each fiscal
year, each Secretary of a military department and each head of
a defense agency carrying out a program under subsection (a)
shall submit to the Committees on Armed Services of the Senate
and the House of Representatives a report on the administration
of that program for that fiscal year.
‘‘(f) PERIOD
OF AUTHORITY.—The authority to award prizes
under subsection (a) shall terminate at the end of September 30,
2006.’’.
(2) The table of sections at the beginning of such chapter
is amended by adding at the end the following new item:
‘‘2374b. Prizes for achievements in promoting science, mathematics, engineering, or
technology education.’’.
SEC. 249. PLAN FOR FIVE-YEAR PROGRAM FOR ENHANCEMENT OF
MEASUREMENT 
AND 
SIGNATURES 
INTELLIGENCE
CAPABILITIES OF THE UNITED STATES THROUGH INCOR-
PORATION OF RESULTS OF BASIC RESEARCH ON SEN-
SORS.
(a) CONGRESSIONAL FINDING.—Congress finds that the national
interest will be served by the rapid exploitation of basic research
on sensors for purposes of enhancing the measurement and signa-
tures intelligence (MASINT) capabilities of the United States.
(b) PLAN FOR RESEARCH PROGRAM.—(1) Not later than March
31, 2003, the Secretary of Defense shall submit to Congress a
plan for a five-year program of research intended to provide for
the incorporation of the results of basic research on sensors into
the measurement and signatures intelligence systems of the United
States, to the extent the results of such research is applicable
to such systems. Such program shall include the review and assess-
ment of basic research on sensors for purpose of such incorporation,
including both basic research on sensors conducted by the Govern-
ment and basic research on sensors conducted by non-governmental
entities.
(2) The plan submitted under paragraph (1) shall provide that
the activities to be carried out under the program provided for
H. R. 4546—47
in the plan shall be carried out by a consortium consisting of
such governmental and non-governmental entities as the Secretary
considers appropriate for purposes of incorporating the broadest
practicable range of sensor capabilities into the systems referred
to in paragraph (1). The consortium may include national labora-
tories, universities, and private sector entities.
(3) The plan shall include a proposal for the funding of activities
under the five-year program provided for in the plan, including
cost-sharing by non-governmental participants in the consortium
under paragraph (2).
TITLE III—OPERATION AND
MAINTENANCE
Subtitle A—Authorization of Appropriations
Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Grant to National Guard Youth Foundation.
Subtitle B—Environmental Provisions
Sec. 311. Enhancement of authority on cooperative agreements for environmental
purposes.
Sec. 312. Single point of contact for policy and budgeting issues regarding
unexploded ordnance, discarded military munitions, and munitions con-
stituents.
Sec. 313. Authority to carry out construction projects for environmental responses.
Sec. 314. Procurement of environmentally preferable procurement items.
Sec. 315. Incidental taking of migratory birds during military readiness activities.
Subtitle C—Commissaries and Nonappropriated Fund Instrumentalities
Sec. 321. Authority for each military department to provide base operating support
to Fisher Houses.
Sec. 322. Use of commissary stores and MWR retail facilities by members of Na-
tional Guard serving in national emergency.
Sec. 323. Uniform funding and management of morale, welfare, and recreation pro-
grams.
Sec. 324. Rebate agreements under the special supplemental food program.
Subtitle D—Workplace and Depot Issues
Sec. 331. Notification requirements in connection with required studies for conver-
sion of commercial or industrial type functions to contractor perform-
ance.
Sec. 332. Temporary authority for contractor performance of security-guard func-
tions to meet increased requirements since September 11, 2001.
Sec. 333. Repeal of obsolete provision regarding depot-level maintenance and repair
workloads that were performed at closed or realigned military installa-
tions.
Sec. 334. Exclusion of certain expenditures from limitation on private sector per-
formance of depot-level maintenance.
Subtitle E—Defense Dependents Education
Sec. 341. Assistance to local educational agencies that benefit dependents of mem-
bers of the Armed Forces and Department of Defense civilian employees.
Sec. 342. Housing benefits for unaccompanied teachers required to live at Guanta-
namo Bay Naval Station, Cuba.
Sec. 343. Options for funding dependent summer school programs.
Sec. 344. Impact aid eligibility for local educational agencies affected by privatiza-
tion of military housing.
Sec. 345. Comptroller General study of adequacy of compensation provided for
teachers in the Department of Defense Overseas Dependents’ Schools.
Subtitle F—Information Technology
Sec. 351. Annual submission of information regarding information technology cap-
ital assets.
H. R. 4546—48
Sec. 352. Policy regarding acquisition of information assurance and information as-
surance-enabled information technology products.
Sec. 353. Installation and connection policy and procedures regarding Defense
Switch Network.
Subtitle G—Other Matters
Sec. 361. Distribution of monthly reports on allocation of funds within operation
and maintenance budget subactivities.
Sec. 362. Continuation of arsenal support program initiative.
Sec. 363. Extension of work safety demonstration program.
Sec. 364. Condition on authority of Defense Security Service to impose fees on fee-
for-service basis.
Sec. 365. Logistics support and services for weapon systems contractors.
Sec. 366. Training range sustainment plan, Global Status of Resources and Train-
ing System, and training range inventory.
Sec. 367. Engineering study and environmental analysis of road modifications in vi-
cinity of Fort Belvoir, Virginia.
Sec. 368. Reauthorization of warranty claims recovery pilot program.
Sec. 369. Expanded eligibility for loan, gift, or exchange of documents, historical ar-
tifacts, and condemned or obsolete combat materiel.
Subtitle A—Authorization of
Appropriations
SEC. 301. OPERATION AND MAINTENANCE FUNDING.
Funds are hereby authorized to be appropriated for fiscal year
2003 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, $23,922,251,000.
(2) For the Navy, $29,264,939,000.
(3) For the Marine Corps, $3,559,636,000.
(4) For the Air Force, $27,419,488,000.
(5) For Defense-wide activities, $14,145,310,000.
(6) For the Army Reserve, $1,985,110,000.
(7) For the Naval Reserve, $1,233,759,000.
(8) For the Marine Corps Reserve, $189,532,000.
(9) For the Air Force Reserve, $2,160,604,000.
(10) For the Army National Guard, $4,155,067,000.
(11) For the Air National Guard, $4,104,810,000.
(12) For the Defense Inspector General, $155,165,000.
(13) For the United States Court of Appeals for the Armed
Forces, $9,614,000.
(14) For Environmental Restoration, Army, $395,900,000.
(15) For Environmental Restoration, Navy, $256,948,000.
(16) 
For 
Environmental 
Restoration, 
Air 
Force,
$389,773,000.
(17) 
For 
Environmental 
Restoration, 
Defense-wide,
$23,498,000.
(18) For Environmental Restoration, Formerly Used
Defense Sites, $252,102,000.
(19) For Overseas Humanitarian, Disaster, and Civic Aid
programs, $58,400,000.
(20) For Drug Interdiction and Counter-drug Activities,
Defense-wide, $859,907,000.
(21) For the Kaho’olawe Island Conveyance, Remediation,
and Environmental Restoration Trust Fund, $25,000,000.
(22) For Defense Health Program, $14,123,038,000.
(23) 
For 
Cooperative 
Threat 
Reduction 
programs,
$416,700,000.
H. R. 4546—49
(24) For Support for International Sporting Competitions,
Defense, $19,000,000.
(25) For overseas contingency operations transfer fund,
$17,844,000.
SEC. 302. WORKING CAPITAL FUNDS.
Funds are hereby authorized to be appropriated for fiscal year
2003 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, $387,156,000
(2) For the National Defense Sealift Fund, $934,129,000.
(3) For the Defense Commissary Agency Working Capital
Fund, $969,200,000.
(4) For the Pentagon Reservation Maintenance Revolving
Fund, $328,000,000.
SEC. 303. ARMED FORCES RETIREMENT HOME.
There is hereby authorized to be appropriated for fiscal year
2003 from the Armed Forces Retirement Home Trust Fund the
sum of $69,921,000 for the operation of the Armed Forces Retire-
ment Home.
SEC. 304. GRANT TO NATIONAL GUARD YOUTH FOUNDATION.
Of the amount authorized to be appropriated by section 301(5)
for administrative and service-wide activities for civil-military pro-
grams, the Secretary of Defense may use up to $2,500,000 to make
a grant to the National Guard Youth Foundation to support the
efforts of the Foundation to mobilize individuals, groups, and
organizations to build and strengthen the character and competence
of youth in the United States.
Subtitle B—Environmental Provisions
SEC. 311. ENHANCEMENT OF AUTHORITY ON COOPERATIVE AGREE-
MENTS FOR ENVIRONMENTAL PURPOSES.
Section 2701(d) of title 10, United States Code, is amended—
(1) in paragraph (1), by striking ‘‘paragraph (2)’’ and
inserting ‘‘paragraph (3)’’;
(2) by redesignating paragraphs (2) and (3) as paragraphs
(3) and (4), respectively; and
(3) by inserting after paragraph (1) the following new para-
graph (2):
‘‘(2) CROSS-FISCAL YEAR AGREEMENTS.—An agreement with
an agency under paragraph (1) may be for a period that begins
in one fiscal year and ends in another fiscal year so long
as the period of the agreement does not exceed two years.’’.
SEC. 312. SINGLE POINT OF CONTACT FOR POLICY AND BUDGETING
ISSUES 
REGARDING 
UNEXPLODED 
ORDNANCE, 
DIS-
CARDED 
MILITARY 
MUNITIONS, 
AND 
MUNITIONS
CONSTITUENTS.
Section 2701 of title 10, United States Code, is amended by
adding at the end the following new subsection:
‘‘(k) UXO PROGRAM MANAGER.—(1) The Secretary of Defense
shall establish a program manager who shall serve as the single
H. R. 4546—50
point of contact in the Department of Defense for policy and budg-
eting issues involving the characterization, remediation, and
management of explosive and related risks with respect to
unexploded ordnance, discarded military munitions, and munitions
constituents at defense sites (as such terms are defined in section
2710 of this title) that pose a threat to human health or safety.
‘‘(2) The authority to establish the program manager may be
delegated to the Secretary of a military department, who may
delegate the authority to the Under Secretary of that military
department. The authority may not be further delegated.
‘‘(3) The program manager may establish an independent
advisory and review panel that may include representatives of
the National Academy of Sciences, nongovernmental organizations
with expertise regarding unexploded ordnance, discarded military
munitions, or munitions constituents, the Environmental Protection
Agency, States (as defined in section 2710 of this title), and tribal
governments. If established, the panel shall report annually to
Congress on progress made by the Department of Defense to address
unexploded ordnance, discarded military munitions, or munitions
constituents at defense sites and make such recommendations as
the panel considers appropriate.’’.
SEC. 313. AUTHORITY TO CARRY OUT CONSTRUCTION PROJECTS FOR
ENVIRONMENTAL RESPONSES.
(a) RESTATEMENT AND MODIFICATION OF AUTHORITY.—Chapter
160 of title 10, United States Code, is amended—
(1) by redesignating section 2707 as section 2700 and
transferring such section to appear immediately after the table
of sections at the beginning of such chapter; and
(2) by inserting after section 2706 the following new section
2707:
‘‘§ 2707. Environmental restoration projects for environ-
mental responses
‘‘(a) ENVIRONMENTAL RESTORATION PROJECTS AUTHORIZED.—
The Secretary of Defense or the Secretary of a military department
may carry out an environmental restoration project if that Secretary
determines that the project is necessary to carry out a response
under this chapter or CERCLA.
‘‘(b) TREATMENT OF PROJECT.—Any construction, development,
conversion, or extension of a structure, and any installation of
equipment, that is included in an environmental restoration project
under this section may not be considered military construction
(as that term is defined in section 2801(a) of this title).
‘‘(c) SOURCE OF FUNDS.—Funds authorized for deposit in an
account established by section 2703(a) of this title shall be the
only source of funds to conduct an environmental restoration project
under this section.
‘‘(d) ENVIRONMENTAL RESTORATION PROJECT DEFINED.—In this
section, the term ‘environmental restoration project’ includes any
construction, development, conversion, or extension of a structure,
or installation of equipment, in direct support of a response.’’.
(b) REPEAL OF SUPERSEDED PROVISION.—Section 2810 of such
title is repealed.
(c) CONFORMING AMENDMENTS.—Chapter 160 of such title is
further amended—
(1) in section 2700 (as redesignated by subsection (a))—
H. R. 4546—51
(A) by redesignating paragraphs (1) and (2) as para-
graphs (2) and (3), respectively; and
(B) by inserting after ‘‘In this chapter:’’ the following
new paragraph:
‘‘(1) The term ‘CERCLA’ means the Comprehensive
Environmental Response, Compensation, and Liability Act of
1980 (42 U.S.C. 9601 et seq.).’’; and
(2) in section 2701(a)(2), by striking ‘‘the Comprehensive
Environmental Response, Compensation, and Liability Act of
1980 (hereinafter in this chapter referred to as ‘CERCLA’)
(42 U.S.C. 9601 et seq.)’’ and inserting ‘‘CERCLA’’.
(d) CLERICAL AMENDMENTS.—(1) The table of sections at the
beginning of chapter 160 of such title is amended—
(A) by inserting before the item relating to section 2701
the following new item:
‘‘2700. Definitions.’’;
and
(B) by striking the item relating to section 2707 and
inserting the following new item:
‘‘2707. Environmental restoration projects for environmental responses.’’.
(2) The table of sections at the beginning of chapter 169 of
such title is amended by striking the item relating to section 2810.
SEC. 
314. 
PROCUREMENT 
OF 
ENVIRONMENTALLY 
PREFERABLE
PROCUREMENT ITEMS.
(a) TRACKING SYSTEM.—The Secretary of Defense shall develop
and implement an effective and efficient tracking system to identify
the extent to which the Defense Logistics Agency procures environ-
mentally preferable procurement items or procurement items made
with recovered material. The system shall provide for the separate
tracking, to the maximum extent practicable, of the procurement
of each category of procurement items that, as of the date of
the enactment of this Act, has been determined to be environ-
mentally preferable or made with recovered material.
(b) ASSESSMENT OF TRAINING AND EDUCATION.—The Secretary
of Defense shall assess the need to establish a program, or enhance
existing programs, for training and educating Department of
Defense procurement officials to ensure that they are aware of
any Department requirements, preferences, or goals for the procure-
ment of environmentally preferable procurement items or procure-
ment items made with recovered material.
(c) REPORTING REQUIREMENT.—Not later than March 1, 2004,
and each March 1 thereafter through 2007, the Secretary of Defense
shall submit to the Committee on Armed Services of the Senate
and the Committee on Armed Services of the House of Representa-
tives a report detailing the results obtained from the tracking
system developed under subsection (a).
(d) RELATION TO OTHER LAWS.—Nothing in this section shall
be construed to alter the requirements of the Solid Waste Disposal
Act (40 U.S.C. 6901 et seq.).
(e) DEFINITIONS.—In this section:
(1) The term ‘‘environmentally preferable’’, in the case of
a procurement item, means that the item has a lesser or
reduced effect on human health and the environment when
compared with competing products that serve the same purpose.
H. R. 4546—52
The comparison may consider raw materials acquisition,
production, manufacturing, packaging, distribution, reuse, oper-
ation, maintenance, or disposal of the product.
(2) The terms ‘‘procurement item’’ and ‘‘recovered material’’
have the meanings given such terms in section 1004 of the
Solid Waste Disposal Act (40 U.S.C. 6903).
SEC. 315. INCIDENTAL TAKING OF MIGRATORY BIRDS DURING MILI-
TARY READINESS ACTIVITIES.
(a) INTERIM AUTHORITY FOR INCIDENTAL TAKINGS.—During the
period described in subsection (c), section 2 of the Migratory Bird
Treaty Act (16 U.S.C. 703) shall not apply to the incidental taking
of a migratory bird by a member of the Armed Forces during
a military readiness activity authorized by the Secretary of Defense
or the Secretary of the military department concerned.
(b) IDENTIFICATION
OF MEASURES
TO MINIMIZE IMPACT
OF
ACTIVITIES.—During the periods described in subsections (c) and
(d), the Secretary of Defense shall, in consultation with the Sec-
retary of the Interior, identify measures—
(1) to minimize and mitigate, to the extent practicable,
any adverse impacts of authorized military readiness activities
on affected species of migratory birds; and
(2) to monitor the impacts of such military readiness activi-
ties on affected species of migratory birds.
(c) PERIOD
OF APPLICATION
FOR INTERIM AUTHORITY.—The
period described in this subsection is the period beginning on the
date of the enactment of this Act and ending on the date on
which the Secretary of the Interior publishes in the Federal Register
a notice that—
(1) regulations authorizing the incidental taking of migra-
tory birds by members of the Armed Forces have been pre-
scribed in accordance with the requirements of subsection (d);
(2) all legal challenges to the regulations and to the manner
of their promulgation (if any) have been exhausted as provided
in subsection (e); and
(3) the regulations have taken effect.
(d) INCIDENTAL TAKINGS AFTER INTERIM PERIOD.—(1) Not later
than the expiration of the one-year period beginning on the date
of the enactment of this Act, the Secretary of the Interior shall
exercise the authority of that Secretary under section 3(a) of the
Migratory Bird Treaty Act (16 U.S.C. 704(a)) to prescribe regula-
tions to exempt the Armed Forces for the incidental taking of
migratory birds during military readiness activities authorized by
the Secretary of Defense or the Secretary of the military department
concerned.
(2) The Secretary of the Interior shall exercise authority under
paragraph (1) with the concurrence of the Secretary of Defense.
(e) LIMITATION ON JUDICIAL REVIEW.—An action seeking judicial
review of regulations prescribed pursuant to this section or of
the manner of their promulgation must be filed in the appropriate
Federal court by not later than the expiration of the 120-day period
beginning on the date on which such regulations are published
in the Federal Register. Upon the expiration of such period and
the exhaustion of any legal challenges to the regulations pursuant
to any action filed in such period, there shall be no further judicial
review of such regulations or of the manner of their promulgation.
H. R. 4546—53
(f) MILITARY READINESS ACTIVITY.—(1) In this section the term
‘‘military readiness activity’’ includes—
(A) all training and operations of the Armed Forces that
relate to combat; and
(B) the adequate and realistic testing of military equip-
ment, vehicles, weapons, and sensors for proper operation and
suitability for combat use.
(2) The term does not include—
(A) the routine operation of installation operating support
functions, such as administrative offices, military exchanges,
commissaries, water treatment facilities, storage facilities,
schools, housing, motor pools, laundries, morale, welfare, and
recreation activities, shops, and mess halls;
(B) the operation of industrial activities; or
(C) the construction or demolition of facilities used for
a purpose described in subparagraph (A) or (B).
Subtitle C—Commissaries and
Nonappropriated Fund Instrumentalities
SEC. 321. AUTHORITY FOR EACH MILITARY DEPARTMENT TO PROVIDE
BASE OPERATING SUPPORT TO FISHER HOUSES.
Section 2493(f) of title 10, United States Code, is amended
to read as follows:
‘‘(f) BASE OPERATING SUPPORT.—The Secretary of a military
department may provide base operating support for Fisher Houses
associated with health care facilities of that military department.’’.
SEC. 322. USE OF COMMISSARY STORES AND MWR RETAIL FACILITIES
BY 
MEMBERS 
OF 
NATIONAL 
GUARD 
SERVING 
IN
NATIONAL EMERGENCY.
(a) ADDITIONAL BASIS FOR AUTHORIZED USE.—Section 1063a
of title 10, United States Code, is amended—
(1) in subsection (a), by inserting ‘‘or national emergency’’
after ‘‘federally declared disaster’’; and
(2) in subsection (c), by adding at the end the following
new paragraph:
‘‘(3) NATIONAL EMERGENCY.—The term ‘national emergency’
means a national emergency declared by the President or Con-
gress.’’.
(b) CLERICAL AMENDMENTS.—(1) The heading of such section
is amended to read as follows:
‘‘§ 1063a. Use of commissary stores and MWR retail facilities:
members of National Guard serving in federally
declared disaster or national emergency’’.
(2) The table of sections at the beginning of chapter 54 of
such title is amended by striking the item relating to section 1063a
and inserting the following new item:
‘‘1063a. Use of commissary stores and MWR retail facilities: members of National
Guard serving in federally declared disaster or national emergency.’’.
SEC. 323. UNIFORM FUNDING AND MANAGEMENT OF MORALE, WEL-
FARE, AND RECREATION PROGRAMS.
(a) IN GENERAL.—Chapter 147 of title 10, United States Code,
is amended by adding at the end the following new section:
H. R. 4546—54
‘‘§ 2494. Uniform funding and management of morale, wel-
fare, and recreation programs
‘‘(a) AUTHORITY FOR UNIFORM FUNDING AND MANAGEMENT.—
Under regulations prescribed by the Secretary of Defense, funds
appropriated to the Department of Defense and available for morale,
welfare, and recreation programs may be treated as non-
appropriated funds and expended in accordance with laws applicable
to the expenditures of nonappropriated funds. When made available
for morale, welfare, and recreation programs under such regula-
tions, appropriated funds shall be considered to be nonappropriated
funds for all purposes and shall remain available until expended.
‘‘(b) CONDITIONS ON AVAILABILITY.—Funds appropriated to the
Department of Defense may be made available to support a morale,
welfare, or recreation program only if the program is authorized
to receive appropriated fund support and only in the amounts
the program is authorized to receive.
‘‘(c) CONVERSION
OF EMPLOYMENT POSITIONS.—(1) The Sec-
retary of Defense may identify positions of employees in morale,
welfare, and recreation programs within the Department of Defense
who are paid with appropriated funds whose status may be con-
verted from the status of an employee paid with appropriated
funds to the status of an employee of a nonappropriated fund
instrumentality.
‘‘(2) The status of an employee in a position identified by
the Secretary under paragraph (1) may, with the consent of the
employee, be converted to the status of an employee of a non-
appropriated fund instrumentality. An employee who does not con-
sent to the conversion may not be removed from the position because
of the failure to provide such consent.
‘‘(3) The conversion of an employee from the status of an
employee paid by appropriated funds to the status of an employee
of a nonappropriated fund instrumentality shall be without a break
in service for the concerned employee. The conversion shall not
entitle an employee to severance pay, back pay or separation pay
under subchapter IX of chapter 55 of title 5, or be considered
an involuntary separation or other adverse personnel action enti-
tling an employee to any right or benefit under such title or any
other provision of law or regulation.
‘‘(4) In this subsection, the term ‘an employee of a non-
appropriated fund instrumentality’ means an employee described
in section 2105(c) of title 5.’’.
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of such chapter is amended by adding at the end the following
new item:
‘‘2494. Uniform funding and management of morale, welfare, and recreation pro-
grams.’’.
SEC. 324. REBATE AGREEMENTS UNDER THE SPECIAL SUPPLEMENTAL
FOOD PROGRAM.
(a) APPLICABILITY TO NAVY EXCHANGE MARKETS.—Paragraph
(1)(A) of section 1060a(e) of title 10, United States Code, is amended
by inserting ‘‘or Navy Exchange Markets’’ after ‘‘commissary stores’’.
(b) INCREASED MAXIMUM PERIOD OF AGREEMENT.—Paragraph
(3) of such section is amended by striking ‘‘subsection may not
exceed one year’’ in the first sentence and inserting ‘‘subsection,
including any period of extension of the contract by modification
H. R. 4546—55
of the contract, exercise of an option, or other cause, may not
exceed three years’’.
Subtitle D—Workplace and Depot Issues
SEC. 331. NOTIFICATION REQUIREMENTS IN CONNECTION WITH
REQUIRED STUDIES FOR CONVERSION OF COMMERCIAL
OR INDUSTRIAL TYPE FUNCTIONS TO CONTRACTOR
PERFORMANCE.
Subsection (c) of section 2461 of title 10, United States Code,
is amended to read as follows:
‘‘(c) SUBMISSION OF ANALYSIS RESULTS.—(1) Upon the comple-
tion of an analysis of a commercial or industrial type function
described in subsection (a) for possible change to performance by
the private sector, the Secretary of Defense shall submit to Congress
a report containing the results of the analysis, including the results
of the examinations required by subsection (b)(3).
‘‘(2) The report shall also contain the following:
‘‘(A) The date when the analysis of the function was com-
menced.
‘‘(B) The Secretary’s certification that the Government cal-
culation of the cost of performance of the function by Depart-
ment of Defense civilian employees is based on an estimate
of the most cost effective manner for performance of the function
by Department of Defense civilian employees.
‘‘(C) The number of Department of Defense civilian
employees who were performing the function when the analysis
was commenced and the number of such employees whose
employment was or will be terminated or otherwise affected
by changing to performance of the function by the private
sector or by implementation of the most efficient organization
of the function.
‘‘(D) The Secretary’s certification that the factors considered
in the examinations performed under subsection (b)(3), and
in the making of the decision regarding changing to perform-
ance of the function by the private sector or retaining perform-
ance in the most efficient organization of the function, did
not include any predetermined personnel constraint or limita-
tion in terms of man years, end strength, full-time equivalent
positions, or maximum number of employees.
‘‘(E) A statement of the potential economic effect of imple-
menting the decision regarding changing to performance of
the function by the private sector or retaining performance
in the most efficient organization of the function on each
affected local community, as determined in the examination
under subsection (b)(3)(B)(ii).
‘‘(F) A schedule for completing the change to performance
of the function by the private sector or implementing the most
efficient organization of the function.
‘‘(G) In the case of a commercial or industrial type function
performed at a Center of Industrial and Technical Excellence
designated under section 2474(a) of this title or an Army
ammunition plant, a description of the effect that the manner
of performance of the function, and administration of the
resulting contract if any, will have on the overhead costs of
the center or ammunition plant, as the case may be.
H. R. 4546—56
‘‘(H) The Secretary’s certification that the entire analysis
is available for examination.
‘‘(3)(A) If a decision is made to change the commercial or
industrial type function that was the subject of the analysis to
performance by the private sector, the change of the function to
contractor performance may not begin until after the submission
of the report required by paragraph (1).
‘‘(B) Notwithstanding subparagraph (A), in the case of a
commercial or industrial type function performed at a Center of
Industrial and Technical Excellence designated under section
2474(a) of this title or an Army ammunition plant, the change
of the function to contractor performance may not begin until at
least 60 days after the submission of the report.’’.
SEC. 332. TEMPORARY AUTHORITY FOR CONTRACTOR PERFORMANCE
OF SECURITY-GUARD FUNCTIONS TO MEET INCREASED
REQUIREMENTS SINCE SEPTEMBER 11, 2001.
(a) CONTRACT AUTHORITY.—The Secretary of Defense or the
Secretary of a military department may enter into a contract for
any increased performance of security-guard functions at a military
installation or facility under the jurisdiction of the Secretary under-
taken in response to the terrorist attacks on the United States
on September 11, 2001, and may waive the prohibition under section
2465(a) of title 10, United States Code, with respect to such contract,
if—
(1) without the contract, members of the Armed Forces
are or would be used to perform the increased security-guard
functions; and
(2) the Secretary concerned determines that—
(A) the recruiting and training standards for the per-
sonnel who are to perform the security-guard functions
at the installation or facility under the contract are com-
parable to the recruiting and training standards for the
personnel of the Department of Defense who perform secu-
rity-guard functions at military installations and facilities
under the jurisdiction of the Secretary;
(B) the contractor personnel performing such functions
under the contract will be effectively supervised, reviewed,
and evaluated; and
(C) the performance of such functions by the contractor
personnel will not result in a reduction in the security
of the installation or facility.
(b) INCREASED PERFORMANCE DEFINED.—In this section, the
term ‘‘increased performance’’, with respect to security-guard func-
tions at a military installation or facility, means—
(1) in the case of an installation or facility where no secu-
rity-guard functions were performed as of September 10, 2001,
the entire scope or extent of the performance of security-guard
functions at the installation or facility after such date; and
(2) in the case of an installation or facility where security-
guard functions were performed within a lesser scope of require-
ments or to a lesser extent as of September 10, 2001, than
after such date, the increment of the performance of security-
guard functions at the installation or facility that exceeds such
lesser scope of requirements or extent of performance.
(c) EXPIRATION OF AUTHORITY.—The authority for contractor
performance of security-guard functions under this section shall
H. R. 4546—57
terminate at the end of the three-year period beginning on the
date of the enactment of this Act. The term of any contract entered
into using the authority provided by this section may not extend
beyond the end of such period.
(d) NEEDS ASSESSMENT AND PLAN.—Not later than 180 days
after the date of the enactment of this Act, the Secretary of Defense
shall—
(1) identify any requirements for the performance of secu-
rity-guard functions at military installations and facilities
under the jurisdiction of the Secretary or the Secretary of
a military department that are expected to continue for more
than three years after the date of the enactment of this Act
and, in the absence of further action by the Secretary or Con-
gress, would otherwise be performed by members of the Armed
Forces; and
(2) submit to the congressional defense committees a plan
for meeting those requirements on a long-term basis.
SEC. 333. REPEAL OF OBSOLETE PROVISION REGARDING DEPOT-
LEVEL MAINTENANCE AND REPAIR WORKLOADS THAT
WERE PERFORMED AT CLOSED OR REALIGNED MILITARY
INSTALLATIONS.
(a) REPEAL.—Section 2469a of title 10, United States Code,
is repealed.
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of chapter 146 of such title is amended by striking the item
relating to section 2469a.
SEC. 334. EXCLUSION OF CERTAIN EXPENDITURES FROM LIMITATION
ON PRIVATE SECTOR PERFORMANCE OF DEPOT-LEVEL
MAINTENANCE.
Section 2474(f) of title 10, United States Code, is amended—
(1) in paragraph (1), by striking ‘‘Amounts expended out
of funds described in paragraph (2) for the performance of
a depot-level maintenance and repair workload by non-Federal
Government personnel at a Center of Industrial and Technical
Excellence’’ and inserting ‘‘Amounts expended for the perform-
ance of a depot-level maintenance and repair workload by non-
Federal Government personnel at a Center of Industrial and
Technical Excellence under any contract entered into during
fiscal years 2003 through 2006’’;
(2) by striking paragraph (2); and
(3) by redesignating paragraph (3) as paragraph (2).
Subtitle E—Defense Dependents Education
SEC. 341. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BEN-
EFIT DEPENDENTS OF MEMBERS OF THE ARMED FORCES
AND DEPARTMENT OF DEFENSE CIVILIAN EMPLOYEES.
(a) CONTINUATION OF DEPARTMENT OF DEFENSE PROGRAM FOR
FISCAL YEAR 2003.—Of the amount authorized to be appropriated
pursuant to section 301(5) for operation and maintenance for
Defense-wide activities, $30,000,000 shall be available only for the
purpose of providing educational agencies assistance to local edu-
cational agencies.
H. R. 4546—58
(b) NOTIFICATION.—Not later than June 30, 2003, the Secretary
of Defense shall notify each local educational agency that is eligible
for educational agencies assistance for fiscal year 2003 of—
(1) that agency’s eligibility for the assistance; and
(2) the amount of the assistance for which that agency
is eligible.
(c) DISBURSEMENT OF FUNDS.—The Secretary of Defense shall
disburse funds made available under subsection (a) not later than
30 days after the date on which notification to the eligible local
educational agencies is provided pursuant to subsection (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 ‘‘local educational agency’’ has the meaning
given that term in section 8013(9) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 7713(9)).
SEC. 342. HOUSING BENEFITS FOR UNACCOMPANIED TEACHERS
REQUIRED TO LIVE AT GUANTANAMO BAY NAVAL STA-
TION, CUBA.
Section 7 of the Defense Department Overseas Teachers Pay
and Personnel Practices Act (20 U.S.C. 905) is amended by adding
at the end the following new subsection:
‘‘(f)(1) A teacher assigned to teach at Guantanamo Bay Naval
Station, Cuba, who is not accompanied at such station by any
dependent shall be offered for lease any available military family
housing at such station that is suitable for occupancy by the teacher
and is not needed to house members of the armed forces and
dependents accompanying them or other civilian personnel and
any dependents accompanying them.
‘‘(2) For any period for which military family housing is leased
under paragraph (1) to a teacher described in such paragraph,
the teacher shall receive a quarters allowance in the amount deter-
mined under subsection (b). The teacher is entitled to such quarters
allowance without regard to whether other Government furnished
quarters are available for occupancy by the teacher without charge
to the teacher.’’.
SEC. 343. OPTIONS FOR FUNDING DEPENDENT SUMMER SCHOOL PRO-
GRAMS.
Section 1402(d)(2) of the Defense Dependents’ Education Act
of 1978 (20 U.S.C. 921(d)(2)) is amended to read as follows:
‘‘(2) The Secretary shall provide any summer school program
under this subsection on the same financial basis as programs
offered during the regular school year, except that the Secretary
may charge reasonable fees for all or portions of such summer
school programs to the extent that the Secretary determines appro-
priate.’’.
SEC. 344. IMPACT AID ELIGIBILITY FOR LOCAL EDUCATIONAL AGEN-
CIES 
AFFECTED 
BY 
PRIVATIZATION 
OF 
MILITARY
HOUSING.
Section 8003(b)(2) of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 7703(b)(2)) is amended by adding at the
end the following:
H. R. 4546—59
‘‘(H) ELIGIBILITY FOR HEAVILY IMPACTED LOCAL EDU-
CATIONAL AGENCIES AFFECTED BY PRIVATIZATION OF MILI-
TARY HOUSING.—
‘‘(i) ELIGIBILITY.—For any fiscal year beginning
with fiscal year 2003, a heavily impacted local edu-
cational agency that received a basic support payment
under subparagraph (A) for the prior fiscal year, but
is ineligible for such payment for the current fiscal
year under subparagraph (B) or (C), as the case may
be, by reason of the conversion of military housing
units to private housing described in clause (iii), shall
be deemed to meet the eligibility requirements under
subparagraph (B) or (C), as the case may be, for the
period during which the housing units are undergoing
such conversion.
‘‘(ii) AMOUNT OF PAYMENT.—The amount of a pay-
ment to a heavily impacted local educational agency
for a fiscal year by reason of the application of clause
(i), and calculated in accordance with subparagraph
(D) or (E) (as the case may be), shall be based on
the number of children in average daily attendance
in the schools of such agency for the fiscal year.
‘‘(iii) CONVERSION OF MILITARY HOUSING UNITS TO
PRIVATE HOUSING DESCRIBED.—For purposes of clause
(i), ‘conversion of military housing units to private
housing’ means the conversion of military housing
units to private housing units pursuant to subchapter
IV of chapter 169 of title 10, United States Code,
or pursuant to any other related provision of law.’’.
SEC. 345. COMPTROLLER GENERAL STUDY OF ADEQUACY OF COM-
PENSATION PROVIDED FOR TEACHERS IN THE DEPART-
MENT OF DEFENSE OVERSEAS DEPENDENTS’ SCHOOLS.
(a) ADDITIONAL CONSIDERATION FOR STUDY.—Subsection (b) of
section 354 of the National Defense Authorization Act for Fiscal
Year 2002 (Public Law 107–107; 115 Stat. 1064) is amended by
inserting after paragraph (2) the following new paragraph:
‘‘(3) Whether the process for setting teacher compensation
is efficient and cost effective.’’.
(b) EXTENSION OF TIME FOR REPORTING.—Subsection (c) of such
section is amended by striking ‘‘May 1, 2002’’ and inserting
‘‘December 12, 2002’’.
Subtitle F—Information Technology
SEC. 
351. 
ANNUAL 
SUBMISSION 
OF 
INFORMATION 
REGARDING
INFORMATION TECHNOLOGY CAPITAL ASSETS.
(a) REQUIREMENT TO SUBMIT INFORMATION.—Not later than
30 days after the date on which the President submits the budget
for a fiscal year to Congress pursuant to section 1105 of title
31, United States Code, the Secretary of Defense shall submit
to Congress information on the following information technology
capital assets, including information technology capital assets that
are a national security system, of the Department of Defense:
H. R. 4546—60
(1) Information technology capital assets not covered by
paragraph (2) that have an estimated total cost for the fiscal
year for which the budget is submitted in excess of $10,000,000.
(2) Information technology capital assets that have an esti-
mated total cost for the fiscal year for which the budget is
submitted in excess of $30,000,000 and an estimated total
life cycle cost (as computed in fiscal year 2003 constant dollars)
in excess of $120,000,000.
(b) REQUIRED INFORMATION FOR LOW-THRESHOLD ASSETS.—
With respect to each information technology capital asset described
in subsection (a)(1), the Secretary of Defense shall include the
following information:
(1) The name of the information technology capital asset.
(2) The function of the asset.
(3) The total cost of the asset for the fiscal year for which
the budget is submitted, the current fiscal year, and the pre-
ceding fiscal year.
(c) REQUIRED INFORMATION FOR HIGH-THRESHOLD ASSETS.—
With respect to each information technology capital asset described
in subsection (a)(2), the Secretary of Defense shall include the
following information:
(1) The name and identifying acronym of the information
technology capital asset.
(2) The date of initiation of the asset.
(3) A summary of performance measurements and metrics.
(4) The total amount of funds, by appropriation account,
appropriated and obligated for prior fiscal years, with a specific
breakout of such information for the two preceding fiscal years.
(5) The funds, by appropriation account, requested for the
next fiscal year.
(6) The name of each prime contractor and the work to
be performed.
(7) Program management and management oversight
information.
(8) The original baseline cost and most current baseline
information.
(9) Information regarding compliance with the provisions
of law enacted or amended by the Government Performance
Results Act of 1993 (Public Law 103–62; 107 Stat. 285) and
the Clinger–Cohen Act of 1996 (divisions D and E of Public
Law 104–106; 110 Stat. 642).
(d) TOTAL COST DETERMINATIONS.—In estimating the total cost
for a fiscal year or total life cycle cost of an information technology
capital asset, the Secretary of Defense shall consider research and
development costs, procurement costs, and operation and mainte-
nance costs related to the information technology capital asset.
(e) DEFINITIONS.—In this section:
(1) The term ‘‘information technology’’ has the meaning
given that term in section 11101 of title 40, United States
Code.
(2) The term ‘‘capital asset’’ has the meaning given that
term in Office of Management and Budget Circular A–11.
(3) The term ‘‘national security system’’ has the meaning
given that term in section 11103 of title 40, United States
Code.
H. R. 4546—61
SEC. 352. POLICY REGARDING ACQUISITION OF INFORMATION ASSUR-
ANCE 
AND 
INFORMATION 
ASSURANCE-ENABLED
INFORMATION TECHNOLOGY PRODUCTS.
(a) ESTABLISHMENT OF POLICY.—The Secretary of Defense shall
establish a policy to limit the acquisition of information assurance
and information assurance-enabled information technology products
to those products that have been evaluated and validated in accord-
ance with appropriate criteria, schemes, or programs.
(b) WAIVER.—As part of the policy, the Secretary of Defense
shall authorize specified officials of the Department of Defense
to waive the limitations of the policy upon a determination in
writing that application of the limitations to the acquisition of
a particular information assurance or information assurance-
enabled information technology product would not be in the national
security interest of the United States.
(c) IMPLEMENTATION.—The Secretary of Defense shall ensure
that the policy is uniformly implemented throughout the Depart-
ment of Defense.
SEC. 353. INSTALLATION AND CONNECTION POLICY AND PROCEDURES
REGARDING DEFENSE SWITCH NETWORK.
(a) ESTABLISHMENT OF POLICY AND PROCEDURES.—Not later
than 180 days after the date of the enactment of this Act, the
Secretary of Defense shall establish clear and uniform policy and
procedures, applicable to the military departments and Defense
Agencies, regarding the installation and connection of telecom
switches to the Defense Switch Network.
(b) ELEMENTS OF POLICY AND PROCEDURES.—The policy and
procedures shall address at a minimum the following:
(1) Clear interoperability and compatibility requirements
for procuring, certifying, installing, and connecting telecom
switches to the Defense Switch Network.
(2) Current, complete, and enforceable testing, validation,
and certification procedures needed to ensure the interoper-
ability and compatibility requirements are satisfied.
(c) EXCEPTIONS.—(1) The Secretary of Defense may specify cer-
tain circumstances in which—
(A) the requirements for testing, validation, and certifi-
cation of telecom switches may be waived; or
(B) interim authority for the installation and connection
of telecom switches to the Defense Switch Network may be
granted.
(2) Only the Assistant Secretary of Defense for Command,
Control, Communications, and Intelligence may approve a waiver
or grant of interim authority under paragraph (1). The authority
to approve such a waiver or grant of interim authority may not
be delegated.
(3) The Assistant Secretary of Defense for Command, Control,
Communications, and Intelligence shall consult with the Chairman
of the Joint Chiefs of Staff before approving a waiver or grant
of interim authority under paragraph (1).
(d) INVENTORY OF DEFENSE SWITCH NETWORK.—The Secretary
of Defense shall prepare and maintain an inventory of all telecom
switches that, as of the date on which the Secretary issues the
policy and procedures—
(1) are installed or connected to the Defense Switch Net-
work; but
H. R. 4546—62
(2) have not been tested, validated, and certified by the
Defense Information Systems Agency (Joint Interoperability
Test Center).
(e) INTEROPERABILITY RISKS.—On an ongoing basis, the Sec-
retary of Defense shall—
(1) identify and assess the interoperability risks that are
associated with the installation or connection of uncertified
switches to the Defense Switch Network and the maintenance
of such switches on the Defense Switch Network; and
(2) develop and implement a plan to eliminate or mitigate
such risks as identified.
(f) TELECOM SWITCH DEFINED.—In this section, the term
‘‘telecom switch’’ means hardware or software designed to send
and receive voice, data, or video signals across a network that
provides customer voice, data, or video equipment access to the
Defense Switch Network or public switched telecommunications
networks.
Subtitle G—Other Matters
SEC. 361. DISTRIBUTION OF MONTHLY REPORTS ON ALLOCATION OF
FUNDS WITHIN OPERATION AND MAINTENANCE BUDGET
SUBACTIVITIES.
(a) DESIGNATION OF RECIPIENTS.—Subsection (a) of section 228
of title 10, United States Code, is amended by striking ‘‘to Congress’’
and inserting ‘‘to the congressional defense committees’’.
(b) CONGRESSIONAL
DEFENSE
COMMITTEES
DEFINED.—Sub-
section (e) of such section is amended—
(1) by striking ‘‘(e) O&M BUDGET ACTIVITY DEFINED.—
For purposes of this section, the’’ and inserting the following:
‘‘(e) DEFINITIONS.—In this section:
‘‘(1) The’’; and
(2) by adding at the end the following new paragraph:
‘‘(2) The term ‘congressional defense committees’ means
the Committee on Armed Services and the Committee on Appro-
priations of the Senate and the Committee on Armed Services
and the Committee on Appropriations of the House of Rep-
resentatives.’’.
SEC. 362. CONTINUATION OF ARSENAL SUPPORT PROGRAM INITIA-
TIVE.
(a) EXTENSION THROUGH FISCAL YEAR 2004.—Subsection (a)
of section 343 of the Floyd D. Spence National Defense Authoriza-
tion Act for Fiscal Year 2001 (as enacted into law by Public Law
106–398; 114 Stat. 1654A–65) is amended by striking ‘‘and 2002’’
and inserting ‘‘through 2004’’.
(b) REPORTING REQUIREMENTS.—Subsection (g) of such section
is amended—
(1) in paragraph (1), by striking ‘‘2002’’ and inserting
‘‘2004’’; and
(2) in paragraph (2), by striking the first sentence and
inserting the following new sentence: ‘‘Not later than July
1, 2003, the Secretary of the Army shall submit to the congres-
sional defense committees a report on the results of the dem-
onstration program since its implementation, including the Sec-
retary’s views regarding the benefits of the program for Army
H. R. 4546—63
manufacturing arsenals and the Department of the Army and
the success of the program in achieving the purposes specified
in subsection (b).’’.
SEC. 363. EXTENSION OF WORK SAFETY DEMONSTRATION PROGRAM.
(a) EXTENSION.—Section 1112 of the Floyd D. Spence National
Defense Authorization Act for Fiscal Year 2001 (as enacted into
law by Public Law 106–398; 114 Stat. 1654A–313) is amended—
(1) in subsection (d), by striking ‘‘September 30, 2002’’
and inserting ‘‘September 30, 2003’’; and
(2) in subsection (e)(2), by striking ‘‘December 1, 2002’’
and inserting ‘‘December 1, 2003’’.
(b) REVISION OF REPORTING REQUIREMENTS.—Subsection (e)(2)
of such section is further amended by striking ‘‘fiscal year 2002’’
both places it appears and inserting ‘‘fiscal years 2002 and 2003’’.
SEC. 364. CONDITION ON AUTHORITY OF DEFENSE SECURITY SERVICE
TO IMPOSE FEES ON FEE-FOR-SERVICE BASIS.
The Secretary of Defense may not authorize the Defense Secu-
rity Service to impose fees on a fee-for-service basis for the inves-
tigative services provided by the Defense Security Service unless
the Secretary certifies in advance to the Committee on Armed
Services of the House of Representatives and the Committee on
Armed Services of the Senate that the Defense Security Service
has the financial systems in place to determine accurately the
cost of such services.
SEC. 365. LOGISTICS SUPPORT AND SERVICES FOR WEAPON SYSTEMS
CONTRACTORS.
(a) AUTHORITY.—The Secretary of Defense may make available
logistics support and logistics services to a contractor in support
of the performance by the contractor of a contract for the construc-
tion, modification, or maintenance of a weapon system that is
entered into by an official of the Department of Defense.
(b) SUPPORT CONTRACTS.—Any logistics support and logistics
services to be provided under this section to a contractor in support
of the performance of a contract described in subsection (a) shall
be provided under a separate contract that is entered into by
the Director of the Defense Logistics Agency with that contractor.
The requirements of section 2208(h) of title 10, United States Code,
and the regulations prescribed pursuant to such section shall apply
to the contract between the Director of the Defense Logistics Agency
and the contractor.
(c) SCOPE OF SUPPORT AND SERVICES.—The logistics support
and logistics services that may be provided under this section
in support of the performance of a contract described in subsection
(a) are the distribution, disposal, and cataloging of materiel and
repair parts necessary for the performance of that contract.
(d) LIMITATIONS.—(1) The number of contracts described in
subsection (a) for which the Secretary of Defense makes logistics
support and logistics services available under the authority of this
section may not exceed five contracts. The total amount of the
estimated costs of all such contracts for which logistics support
and logistics services are made available under this section may
not exceed $100,000,000.
(2) No contract entered into by the Director of the Defense
Logistics Agency under subsection (b) may be for a period in excess
H. R. 4546—64
of five years, including periods for which the contract is extended
under options to extend the contract.
(e) REGULATIONS.—Before exercising the authority under this
section, the Secretary of Defense shall prescribe in regulations
such requirements, conditions, and restrictions as the Secretary
determines appropriate to ensure that logistics support and logistics
services are provided under this section only when it is in the
best interests of the United States to do so. The regulations shall
include, at a minimum, the following:
(1) A requirement for the authority under this section
to be used only for providing logistics support and logistics
services in support of the performance of a contract that is
entered into using competitive procedures (as defined in section
4 of the Office of Federal Procurement Policy Act (41 U.S.C.
403)).
(2) A requirement for the solicitation of offers for a contract
described in subsection (a), for which logistics support and
logistics services are to be made available under this section,
to include—
(A) a statement that the logistics support and logistics
services are to be made available under the authority of
this section to any contractor awarded the contract, but
only on a basis that does not require acceptance of the
support and services; and
(B) a description of the range of the logistics support
and logistics services that are to be made available to
the contractor.
(3) A requirement for the rates charged a contractor for
logistics support and logistics services provided to a contractor
under this section to reflect the full cost to the United States
of the resources used in providing the support and services,
including the costs of resources used, but not paid for, by
the Department of Defense.
(4) With respect to a contract described in subsection (a)
that is being performed for a department or agency outside
the Department of Defense, a prohibition, in accordance with
applicable contracting procedures, on the imposition of any
charge on that department or agency for any effort of Depart-
ment of Defense personnel or the contractor to correct defi-
ciencies in the performance of such contract.
(5) A prohibition on the imposition of any charge on a
contractor for any effort of the contractor to correct a deficiency
in the performance of logistics support and logistics services
provided to the contractor under this section.
(f) RELATIONSHIP TO TREATY OBLIGATIONS.—The Secretary shall
ensure that the exercise of authority under this section does not
conflict with any obligation of the United States under any treaty
or other international agreement.
(g) TERMINATION OF AUTHORITY.—(1) The authority provided
in this section shall expire on September 30, 2007.
(2) The expiration of the authority under this section does
not terminate—
(A) any contract that was entered into by the Director
of the Defense Logistics Agency under subsection (b) before
the date specified in paragraph (1) or any obligation to provide
logistics support and logistics services under that contract; or
H. R. 4546—65
(B) any authority to enter into a contract described in
subsection (a) for which a solicitation of offers was issued
in accordance with the regulations prescribed pursuant to sub-
section (e)(2) before the date specified in paragraph (1) or
to provide logistics support and logistics services to the con-
tractor with respect to that contract in accordance with this
section.
SEC. 366. TRAINING RANGE SUSTAINMENT PLAN, GLOBAL STATUS OF
RESOURCES AND TRAINING SYSTEM, AND TRAINING
RANGE INVENTORY.
(a) PLAN REQUIRED.—(1) The Secretary of Defense shall develop
a comprehensive plan for using existing authorities available to
the Secretary of Defense and the Secretaries of the military depart-
ments to address training constraints caused by limitations on
the use of military lands, marine areas, and airspace that are
available in the United States and overseas for training of the
Armed Forces.
(2) As part of the preparation of the plan, the Secretary of
Defense shall conduct the following:
(A) An assessment of current and future training range
requirements of the Armed Forces.
(B) An evaluation of the adequacy of current Department
of Defense resources (including virtual and constructive training
assets as well as military lands, marine areas, and airspace
available in the United States and overseas) to meet those
current and future training range requirements.
(3) The plan shall include the following:
(A) Proposals to enhance training range capabilities and
address any shortfalls in current Department of Defense
resources identified pursuant to the assessment and evaluation
conducted under paragraph (2).
(B) Goals and milestones for tracking planned actions and
measuring progress.
(C) Projected funding requirements for implementing
planned actions.
(D) Designation of an office in the Office of the Secretary
of Defense and in each of the military departments that will
have lead responsibility for overseeing implementation of the
plan.
(4) At the same time as the President submits to Congress
the budget for fiscal year 2004, the Secretary of Defense shall
submit to Congress a report describing the progress made in imple-
menting this subsection, including—
(A) the plan developed under paragraph (1);
(B) the results of the assessment and evaluation conducted
under paragraph (2); and
(C) any recommendations that the Secretary may have
for legislative or regulatory changes to address training con-
straints identified pursuant to this section.
(5) At the same time as the President submits to Congress
the budget for each of fiscal years 2005 through 2008, the Secretary
shall submit to Congress a report describing the progress made
in implementing the plan and any additional actions taken, or
to be taken, to address training constraints caused by limitations
on the use of military lands, marine areas, and airspace.
H. R. 4546—66
(b) READINESS REPORTING IMPROVEMENT.—Not later than June
30, 2003, the Secretary of Defense, using existing measures within
the authority of the Secretary, shall submit to Congress a report
on the plans of the Department of Defense to improve the Global
Status of Resources and Training System to reflect the readiness
impact that training constraints caused by limitations on the use
of military lands, marine areas, and airspace have on specific units
of the Armed Forces.
(c) TRAINING RANGE INVENTORY.—(1) The Secretary of Defense
shall develop and maintain a training range inventory for each
of the Armed Forces—
(A) to identify all available operational training ranges;
(B) to identify all training capacities and capabilities avail-
able at each training range; and
(C) to identify training constraints caused by limitations
on the use of military lands, marine areas, and airspace at
each training range.
(2) The Secretary of Defense shall submit an initial inventory
to Congress at the same time as the President submits the budget
for fiscal year 2004 and shall submit an updated inventory to
Congress at the same time as the President submits the budget
for fiscal years 2005 through 2008.
(d) GAO EVALUATION.—The Secretary of Defense shall transmit
copies of each report required by subsections (a) and (b) to the
Comptroller General. Within 60 days after receiving a report, the
Comptroller General shall submit to Congress an evaluation of
the report.
(e) ARMED FORCES DEFINED.—In this section, the term ‘‘Armed
Forces’’ means the Army, Navy, Air Force, and Marine Corps.
SEC. 367. ENGINEERING STUDY AND ENVIRONMENTAL ANALYSIS OF
ROAD MODIFICATIONS IN VICINITY OF FORT BELVOIR,
VIRGINIA.
(a) STUDY AND ANALYSIS.—(1) The Secretary of the Army shall
conduct a preliminary engineering study and environmental anal-
ysis to evaluate the feasibility of establishing a connector road
between Richmond Highway (United States Route 1) and Telegraph
Road in order to provide an alternative to Beulah Road (State
Route 613) and Woodlawn Road (State Route 618) at Fort Belvoir,
Virginia, which were closed as a force protection measure.
(2) It is the sense of Congress that the study and analysis
should consider as one alternative the extension of Old Mill Road
between Richmond Highway and Telegraph Road.
(b) CONSULTATION.—The study required by subsection (a) shall
be conducted in consultation with the Department of Transportation
of the Commonwealth of Virginia and Fairfax County, Virginia.
(c) REPORT.—The Secretary shall submit to Congress a sum-
mary report on the study and analysis required by subsection
(a). The summary report shall be submitted together with the
budget justification materials in support of the budget of the Presi-
dent for fiscal year 2006 that is submitted to Congress under
section 1105(a) of title 31, United States Code.
(d) FUNDING.—Of the amount authorized to be appropriated
by section 301(a)(1) for the Army for operation and maintenance,
$5,000,000 may be made available for the study and analysis
required by subsection (a).
H. R. 4546—67
SEC. 368. REAUTHORIZATION OF WARRANTY CLAIMS RECOVERY PILOT
PROGRAM.
Section 391 of the National Defense Authorization Act for Fiscal
Year 1998 (Public Law 105–85; 10 U.S.C. 2304 note), as amended
by section 364 of Public Law 107–107 (115 Stat. 1068), is further
amended—
(1) in subsection (f), by striking ‘‘September 30, 2003’’ and
inserting ‘‘September 30, 2004’’; and
(2) by striking subsection (g).
SEC. 369. EXPANDED ELIGIBILITY FOR LOAN, GIFT, OR EXCHANGE
OF DOCUMENTS, HISTORICAL ARTIFACTS, AND CON-
DEMNED OR OBSOLETE COMBAT MATERIEL.
Section 2572(a)(3) of title 10, United States Code, is amended
by inserting before the period the following: ‘‘or a nonprofit military
aviation heritage foundation or association incorporated in a State’’.
TITLE IV—MILITARY PERSONNEL
AUTHORIZATIONS
Subtitle A—Active Forces
Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.
Sec. 403. Expanded authority for administrative increases in statutory active-duty
end strengths.
Sec. 404. General and flag officer management.
Sec. 405. Extension of certain authorities relating to management of numbers of
general and flag officers in certain grades.
Sec. 406. Increase in authorized strengths for Marine Corps officers on active duty
in the grade of colonel.
Subtitle B—Reserve Forces
Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2003 limitation on non-dual status technicians.
Subtitle C—Authorization of Appropriations
Sec. 421. Authorization of appropriations for military personnel.
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, 2003, as follows:
(1) The Army, 480,000.
(2) The Navy, 375,700.
(3) The Marine Corps, 175,000.
(4) The Air Force, 359,000.
SEC. 402. REVISION IN PERMANENT END STRENGTH MINIMUM LEVELS.
(a) REVISED END STRENGTH FLOORS.—Subsection (b) of section
691 of title 10, United States Code, is amended—
(1) in paragraph (2), by striking ‘‘376,000’’ and inserting
‘‘375,700’’;
(2) in paragraph (3), by striking ‘‘172,600’’ and inserting
‘‘175,000’’; and
(3) in paragraph (4), by striking ‘‘358,800’’ and inserting
‘‘359,000’’.