Military Construction Appropriations Act, 1999
PL 105-237 (H.R.4059), enacted 09/20/1998

PUBLIC LAW 105-237—SEPT. 20, 1998 
112 STAT. 1553 
Public Law 105-237 
105th Congress 
An Act 
Making appropriations for military construction, family housing, and base 
c 
* on IQQR 
realignment and closure for the Department of Defense for the fiscal year ending 
?£_: 
; 
September 30, 1999, and for other purposes. 
[H.R. 4059] 
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That the 
following sums are appropriated, out of any money in the Treasury 
not otherwise appropriated, for military construction, family hous-
ing, and base realignment and closure functions administered by 
the Department of Defense, for the fiscal year ending September 
30, 1999, and for other purposes, namely: 
MILITARY CONSTRUCTION, ARMY 
For acquisition, construction, installation, and equipment of 
temporary or permanent public works, military installations, facili-
ties, and real property for the Army as currently authorized by 
law, including personnel in the Army Corps of Engineers and other 
personal services necessary for the purposes of this appropriation, 
and for construction and operation of facilities in support of the 
functions of the Commander in Chief, $868,726,000, to remain 
available until September 30, 2003: Provided, That of this amount, 
not to exceed $64,269,000 shall be available for study, planning, 
design, architect and engineer services, and host nation support, 
as authorized by law, unless the Secretary of Defense determines 
that additional obligations are necessary for such purposes and 
notifies the Committees on Appropriations of both Houses of Con-
gress of his determination and the reasons therefor. 
MILITARY CONSTRUCTION, N A \ T 
For acquisition, construction, installation, and equipment of 
temporary or permanent public works, naval installations, facilities, 
and real property for the Navy as currently authorized by law, 
including personnel in the Naval Facilities En^fineering Command 
and other personal services necessary for the pu]*poses of this appro-
priation, $604,593,000, to remain available until September 30, 
2003: Provided, That of this amount, not to exceed $60,846,000 
shall be available for study, planning, design, architect and engineer 
services, as authorized by law, unless the Secretary of Defense 
determines that additional obligations are necessary for such pur-
poses and notifies the Committees on Appropriations of both Houses 
of Congress of his determination and the reasons therefor. 
Military 
Construction 
Appropriations 
Act, 1999. 
112 STAT. 1554 
PUBLIC LAW 105-237—SEPT. 20, 1998 
MILITARY CONSTRUCTION, AIR FORCE 
For acquisition, construction, installation, and equipment of 
temporary or permanent public works, military installations, facili-
ties, and real property for the Air Force as currently authorized 
by law, $615,809,000, to remain available until September 30, 2003: 
Provided, That of this amount, not to exceed $38,092,000 shall 
be available for study, planning, design, architect and engineer 
services, as authorized by law, unless the Secretary of Defense 
determines that additional obligations are necessary for such pur-
poses and notifies the Committees on Appropriations of both Houses 
of Congress of his determination and the reasons therefor. 
MILITARY CONSTRUCTION, DEFENSE-WIDE 
(INCLUDING TRANSFER OF FUNDS) 
For acquisition, construction, installation, and equipment of 
temporary or permanent public works, installations, facilities, and 
real property for activities and agencies of the Department of 
Defense (other than the military departments), as currently author-
ized by law, $553,114,000, to remain available until September 
30, 2003: Provided, That such amounts of this appropriation as 
may be determined by the Secretary of Defense may be transferred 
to such appropriations of the Department of Defense available for 
military construction or family housing as he may designate, to 
be merged with and to be available for the same purposes, and 
for the same time period, as the appropriation or fund to which 
transferred: Provided further. That of the amount appropriated, 
not to exceed $26,005,000 shall be available for study, plgmning, 
design, architect and engineer services, as authorized by law, unless 
the Secretary of Defense determines that additional obligations 
are necessary for such purposes and notifies the Committees on 
Appropriations of both Houses of Congress of his determination 
and the reasons therefor. 
DEPARTMENT OF DEFENSE MILITARY UNACCOMPANIED HOUSING 
IMPROVEMENT FUND 
(RESCISSION OF FUNDS) 
Of the funds appropriated for "Department of Defense Military 
Unaccompanied Housing Improvement Fund" under Public Law 
104-196, $5,000,000 is hereby rescinded. 
MILITARY CONSTRUCTION, ARMY NATIONAL GUARD 
For construction, acquisition, expansion, rehabilitation, and 
conversion of facilities for the training and administration of the 
Army National Guard, and contributions therefor, as authorized 
by chapter 1803 of title 10, United States Code, and Military 
Construction Authorization Acts, $142,403,000, to remain available 
until September 30, 2003. 
MILITARY CONSTRUCTION, AIR NATIONAL GUARD 
For construction, acquisition, expansion, rehabilitation, and 
conversion of facilities for the training and administration of the 
Air National Guard, and contributions therefor, as authorized by 
PUBLIC LAW 105-237—SEPT. 20, 1998 
112 STAT. 1555 
chapter 1803 of title 10, United States Code, and Military Construc-
tion Authorization Acts, $169,801,000, to remain available until 
September 30, 2003. 
MILITARY CONSTRUCTION, ARMY RESERVE 
For construction, acquisition, expansion, rehabilitation, and 
conversion of facilities for the training and administration of the 
Army Reserve as authorized by chapter 1803 of title 10, United 
States 
Code, and Military Construction 
Authorization 
Acts, 
$102,119,000, to remain available until September 30, 2003. 
MILITARY CONSTRUCTION, NAVAL RESERVE 
For construction, acquisition, expansion, rehabilitation, and 
conversion of facilities for the training and administration of the 
reserve components of the Navy and Marine Corps as authorized 
by chapter 1803 of title 10, United States Code, and Military 
Construction Authorization Acts, $31,621,000, to remain available 
until September 30, 2003. 
MILITARY CONSTRUCTION, AIR FORCE RESERVE 
For construction, acquisition, expansion, rehabilitation, and 
conversion of facilities for the training and administration of the 
Air Force Reserve as authorized by chapter 1803 of title 10, United 
States 
Code, and 
Military Construction 
Authorization 
Acts, 
$34,371,000, to remain available until September 30, 2003. 
NORTH ATLANTIC TREATY ORGANIZATION 
SECURITY INVESTMENT PROGRAM 
For the United States share of the cost of the North Atlantic 
Treaty Organization Security Investment Program for the acquisi-
tion and construction of military facilities and installations (includ-
ing international military headquarters) and for related expenses 
for the collective defense of the North Atlantic Treaty Area as 
authorized in Military Construction Authorization Acts and section 
2806 of title 10, United States Code, $154,000,000, to remain avail-
able until expended. 
FAMILY HOUSING, ARMY 
For expenses of family housing for the Army for construction, 
including acquisition, replacement, addition, expansion, extension 
and alteration and for operation and maintenance, including debt 
pa3anent, leasing, minor construction, principal and 
interest 
charges, and insurance premiums, as authorized by law, as follows: 
for Construction, $135,290,000, to remain available until September 
30, 2003; for Operation and Maintenance, and for debt payment, 
$1,094,697,000; in all $1,229,987,000. 
FAMILY HOUSING, NAVY AND MARINE CORPS 
For expenses of family housing for the Navj^ and Marine Corps 
for construction, including acquisition, replacement, addition. 
112 STAT. 1556 
PUBLIC LAW 105-237—SEPT. 20, 1998 
expansion, extension and alteration and for operation and mainte-
nance, including debt payment, leasing, minor construction, prin-
cipal and interest charges, and insurance premiums, as authorized 
by law, as follows: for Construction, $295,590,000, to remain avail-
able until September 30, 2003; for Operation and Maintenance, 
and for debt payment, $912,293,000; in all $1,207,883,000. 
FAMILY HOUSING, AIR FORCE 
For expenses of family housing for the Air Force for construc-
tion, including acquisition, replacement, addition, expansion, exten-
sion and alteration and for operation and maintenance, including 
debt payment, leasing, minor construction, principal and interest 
charges, and insurance premiums, as authorized by law, as follows: 
for Construction, $280,965,000, to remain available until September 
30, 2003; for Operation and Maintenance, and for debt payment, 
$783,204,000; in all $1,064,169,000. 
FAMILY HOUSING, DEFENSE-WIDE 
For expenses of family housing for the activities and agencies 
of the Department of Defense (other than the military departments) 
for construction, including acquisition, replacement, 
addition, 
expansion, extension and alteration, and for operation emd mainte-
nance, leasing, and minor construction, as authorized by law, as 
follows: for Construction, $345,000, to remain available until 
September 30, 2003; for Operation and Maintenance, $36,899,000; 
in all $37,244,000. 
DEPARTMENT OF DEFENSE FAMILY HOUSING IMPROVEMENT FUND 
For the Department of Defense Family Housing Improvement 
Fund, $2,000,000, to remain available until expended, as the sole 
source of funds for planning, administrative, and oversight costs 
incurred by the Housing Revitalization Support Office relating to 
military family housing initiatives undertaken pursuant to 10 
U.S.C. 2883, pertaining to alternative means of acquiring and 
improving military family housing and supporting facilities. 
BASE REALIGNMENT AND CLOSURE ACCOUNT, PART III 
For deposit into the Department of Defense Base Closure 
Account 1990 established by section 2906(a)(1) of the Department 
of Defense 
Authorization 
Act, 
1991 (Public Law 
101-510), 
$427,164,000, to remain available until expended: Provided, That 
not more than $271,800,000 of the funds appropriated herein shall 
be available solely for environmental restoration, unless the Sec-
retary of Defense determines that additional obligations are 
necessary for spch purposes and notifies the Committees on Appro-
priations of both Houses of Congress of his determination and 
the reasons therefor. 
BASE REALIGNMENT AND CLOSURE ACCOUNT, PART IV 
For deposit into the Department of Defense Base Closure 
Account 1990 established by section 2906(a)(1) of the Department 
of Defense 
Authorization 
Act, 
1991 (Public Law 
101-510), 
$1,203,738,000, to remain avsdlable until expended: Provided, That 
PUBLIC LAW 105-237—SEPT. 20, 1998 
112 STAT. 1557 
not more than $426,036,000 of the funds appropriated herein shall 
be available solely for environmental restoration, unless the Sec-
retary of Defense determines that additional obligations are 
necessary for such purposes and notifies the Committees on Appro-
priations of both Houses of Congress of his determination and 
the reasons therefor. 
GENERAL PROVISIONS 
SEC. 101. None of the funds appropriated in Military Construc-
tion Appropriations Acts shall be expended for payments under 
a cost-plus-a-fixed-fee contract for construction, where cost esti-
mates exceed $25,000, to be performed within the United States, 
except Alaska, without the specific approval in writing of the Sec-
retary of Defense setting forth the reasons therefor. 
SEC. 102. Funds appropriated to the Department of Defense 
for construction shall be available for hire of passenger motor 
vehicles. 
SEC. 103. Funds appropriated to the Department of Defense 
for construction may be used for advances to the Federal Highway 
Administration, Department of Trsinsportation, for the construction 
of access roads as authorized by section 210 of title 23, United 
States Code, when projects authorized therein are certified as 
important to the national defense by the Secretary of Defense. 
SEC. 104. None of the funds appropriated in this Act may 
be used to begin construction of new bases inside the continental 
United States for which specific appropriations have not been made. 
SEC. 105. No part of the funds provided in Military Construction 
Appropriations Acts shall be used for purchase of land or land 
easements in excess of 100 percent of the value as determined 
by the Army Corps of Engineers or the Naval Facilities Engineering 
Command, except: (1) where there is a determination of value 
by a Federal court; (2) purchases negotiated by the Attorney General 
or his designee; (3) where the estimated value is less than $25,000; 
or (4) as otherwise determined by the Secretary of Defense to 
be in the public interest. 
SEC. 106. None of the funds appropriated in Military Construc-
tion Appropriations Acts shall be used to: (1) acquire laind; (2) 
provide for site preparation; or (3) install utilities for any family 
housing, except housing for which funds have been made available 
in annual Military Construction Appropriations Acts. 
SEC. 107. None of the funds appropriated in Military Construc-
tion Appropriations Acts for minor construction may be used to 
transfer or relocate any activity from one base or installation to 
another, without prior notification to the Committees on Appropria-
tions. 
SEC. 108. No part of the funds appropriated in Military 
Construction Appropriations Acts may be used for the procurement 
of steel for any construction proje'ct or activity for which American 
steel producers, fabricators, and manufacturers have been denied 
the opportunity to compete for such steel procurement. 
SEC. 109. None of the funds available to the Department of 
Defense for military construction or family housing during the 
current fiscal year may be used to pay real property taxes in 
any foreign nation. 
SEC. 110. None of the funds appropriated in Military Construc-
tion Appropriations Acts may be used to initiate a new installation 
59-194 O - 98 - 22 : QL 3 Part 2 
112 STAT. 1558 
PUBLIC LAW 105-237—SEPT. 20, 1998 
Notification. 
overseas without prior notification to the Committees on Appropria-
tions. 
SEC. 111. None of the funds appropriated in Military Construc-
tion Appropriations Acts may be obligated for architect and engineer 
contracts estimated by the Government to exceed $500,000 for 
projects to be accomplished in Japan, in any NATO member country, 
or in countries bordering the Arabian Gulf, unless such contracts 
are awarded to United States firms or United States firms in 
joint venture with host nation firms. 
SEC. 112. None of the funds appropriated in Military Construc-
tion Appropriations Acts for military construction in the United 
States territories and possessions in the Pacific and on Kwajalein 
Atoll, or in countries bordering the Arabian Gulf, may be used 
to award any contract estimated by the Government to exceed 
$1,000,000 to a foreign contractor: Provided, That this section shall 
not be applicable to contract awards for which the lowest responsive 
and responsible bid of a United States contractor exceeds the lowest 
responsive and responsible bid of a foreign contractor by greater 
than 20 percent: Provided further. That this section shall not apply 
to contract awards for military construction on Kwajalein Atoll 
for which the lowest responsive and responsible bid is submitted 
by a Marshallese contractor. 
SEC. 113. The Secretary of Defense is to inform the appropriate 
committees of Congress, including the Committees on Appropria-
tions, of the plans and scope of any proposed military exercise 
involving United States personnel 30 days prior to its occurring, 
if amounts expended for construction, either temporary or perma-
nent, are anticipated to exceed $100,000. 
SEC. 114. Not more than 20 percent of the appropriations 
in Military Construction Appropriations Acts which are limited 
for obligation during the current fiscal year shall be obligated 
during the last 2 months of the fiscal year. 
10 u s e 2860 
note. 
(TRANSFER OF FUNDS) 
SEC. 115. Funds appropriated to the Department of Defense 
for construction in prior years shall be available for construction 
authorized for each such military department by the authorizations 
enacted into law during the current session of Congress. 
SEC. 116. For military construction or family housing projects 
that are being completed with funds otherwise expired or lapsed 
for obligation, expired or lapsed funds may be used to pay the 
cost of associated supervision, inspection, overhead, engineering 
and design on those projects and on subsequent claims, if any. 
SEC. 117. Notwithstanding any other provision of law, any 
funds appropriated to a military department or defense agency 
for the construction of military projects may be obligated for a 
military construction project or contract, or for any portion of such 
a project or contract, at any time before the end of the fourth 
fiscal year after the fiscal year for which funds for such project 
were appropriated if the funds obligated for such project: (1) are 
obligated from funds available for military construction projects; 
and (2) do not exceed the amount appropriated for such project, 
plus any amount by which the cost of such project is increased 
pursuant to law. 
PUBLIC LAW 105-237—SEPT. 20, 1998 
112 STAT. 1559 
(TRANSFER OF FUNDS) 
SEC. 118. During the 5-year period after appropriations avail-
able to the Department of Defense for military construction and 
family housing operation and maintenance and construction have 
expired for obligation, upon a determination that such appropria-
tions will not be necessary for the liquidation of obligations or 
for making authorized adjustments to such appropriations for 
obligations incurred during the period of availability of such appro-
priations, unobligated balances of such appropriations may be trans-
ferred into the appropriation "Foreign Currency Fluctuations, 
Construction, Defense" to be merged with and to be available for 
the same time period and for the same purposes as the appropria-
tion to which transferred. 
SEC. 119. The Secretary of Defense is to provide the Committees 
on Appropriations of the Senate and the House of Representatives 
with an annual report by February 15, containing details of the 
specific actions proposed to be taken by the Department of Defense 
during the current fiscal year to encourage other member nations 
of the North Atlantic Treaty Organization, Japan, Korea, and 
United States allies bordering the Arabian Gulf to assume a greater 
share of the common defense burden of such nations and the United 
States. 
10 u s e 2860 
note. 
Reports. 
Deadline. 
(TRANSFER OF FUNDS) 
SEC. 120. During the current fiscal year, in addition to any 
other transfer authority available to the Department of Defense, 
proceeds deposited to the Department of Defense Base Closure 
Account established by section 207(a)(1) of the Defense Authoriza-
tion Amendments and Base Closure and Realignment Act (Public 
Law 100-526) pursuant to section 207(a)(2)(C) of such Act, may 
be transferred to the account established by section 2906(a)(1) of 
the Department of Defense Authorization Act, 1991, to be merged 
with, and to be available for the same purposes and the same 
time period as that account. 
SEC. 121. No funds appropriated pursuant to this Act may 
be expended by an entity unless the entity agrees that in expending 
the assistance the entity will comply with sections 2 through 4 
of the Act of March 3, 1933 (41 U.S.C. 10a-10c, popularly known 
as the "Buy American Act"). 
SEC. 122. (a) In the case of any equipment or products that 
may be authorized to be purchased with financial assistance 
provided under this Act, it is the sense of the Congress that entities 
receiving such assistance should, in expending the assistance, pur-
chase only American-made equipment and products. 
(b) In providing financial assistance under this Act, the Notice. 
Secretary of the Treasury shall provide to each recipient of the 
assistance a notice describing the statement made in subsection 
(a) by the Congress. 
(TRANSFER OF FUNDS) 
SEC. 123. Subject to 30 days prior notification to the Commit-
tees on Appropriations, such additional amounts as may be deter-
mined by the Secretary of Defense may be transferred to the Depart-
ment of Defense Family Housing Improvement Fund from amounts 
appropriated for construction in "Family Housing" accounts, to 
112 STAT. 1560 
PUBLIC LAW 105-237—SEPT. 20, 1998 
Deadline. 
Notice. 
be merged with and to be available for the same purposes and 
for the same period of time as amounts appropriated directly to 
the Fund: Provided, That appropriations made available to the 
Fund shall be available to cover the costs, as defined in section 
502(5) of the Congressional Budget Act of 1974, of direct loans 
or loan guarantees issued by the Department of Defense pursuant 
to the provisions of subchapter IV of chapter 169, title 10, United 
States Code, pertaining to alternative means of acquiring and 
improving military family housing and supporting facilities. 
SEC. 124. None of the funds appropriated or made available 
by this Act may be obligated for Partnership for Peace Programs 
or to provide support for non-NATO countries. 
SEC. 125. Pajnnents received by the Secretary of the Navy 
pursuant to subsection (b)(1) of section 2842 of the National Defense 
Authorization Act, 1993 (Public Law 102-484) are appropriated 
and shall be available for the purpose authorized in subsection 
(d) of that section. 
SEC. 126. (a) Not later than 60 days before issuing any solicita-
tion for a contract with the private sector for military family housing 
the Secretary of the military department concerned shall submit 
to the congressional defense committees the notice described in 
subsection (b). 
(b)(1) A notice referred to in subsection (a) is a notice of any 
guarantee (including the making of mortgage or rental pajonents) 
proposed to be made by the Secretary to the private party under 
the contract involved in the event of— 
(A) the closure or realignment of the installation for which 
housing is provided under the contract; 
(B) a reduction in force of units stationed at such 
installation; or 
(C) the extended deployment overseas of units stationed 
at such installation. 
(2) Each notice under this subsection shall specify the nature 
of the guarantee involved and assess the extent and likelihood, 
if any, of the liability of the Federal Government with respect 
to the guarantee. 
(c) In this section, the term "congressional defense committees" 
means the following: 
(1) The Committee on Armed Services and the Military 
Construction Subcommittee, Committee on Appropriations of 
the Senate. 
(2) The Committee on National Security and the Military 
Construction Subcommittee, Committee on Appropriations of 
the House of Representatives. 
(TRANSFER OF FUNDS) 
SEC. 127. During the current fiscal year, in addition to any 
other transfer authority available to the Department of Defense, 
amounts may be transferred from the account established by section 
2906(a)(1) of the Department of Defense Authorization Act, 1991, 
to the fund established by section 1013(d) of the Demonstration 
Cities and Metropolitan Development Act of 1966 (42 U.S.C. 3374) 
to pay for expenses associated with the Homeowners Assistance 
Program. Any amounts transferred shall be merged with and be 
available for the same purposes and for the same time period 
as the fund to which transferred. 
PUBLIC LAW 105-237—SEPT. 20, 1998 
112 STAT. 1561 
SEC. 128. It is the sense of the Congress that the Secretary 
of the Army should name the "All American Parkway" at Fort 
Bragg, North Carolina, as the "W.G. 'Bill' Hefner All American 
Parkway". 
This Act may be cited as the "Military Construction Appropria-
tions Act, 1999". 
Approved September 20, 1998. 
LEGISLATIVE HISTORY—H.R. 4059 (S. 2160): 
HOUSE REPORTS: Nos. 105-578 (Comm. on Appropriations) and 105-647 (Comm. 
of Conference). 
SENATE REPORTS: No. 105-213 accompanying S. 2160' (Comm. on Appropria-
tions). 
CONGRESSIONAL RECORD, Vol. 144 (1998): 
June 22, considered and passed House. 
June 25, considered and passed Senate, amended, in lieu of S. 2160. 
July 29, House agreed to conference report. 
Sept. 1, Senate agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 34 (1998): 
Sept. 20, Presidential statements.