National Defense Authorization Act, Fiscal Year 1989
PL 100-456 (H.R.4481), enacted 09/29/1988

102 STAT. 1918 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Public Law 100-456 
100th Congress 
An Act 
Sept. 29, 1988 
[H.R. 4481] 
National 
Defense 
Authorization 
Act, Fiscal Year 
1989. 
To authorize appropriations for fiscal year 1989 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 
'National Defense Authorization 
This Act may be cited as the 
Act, Fiscal Year 1989". 
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS 
This Act is oi^anized into two divisions as follows: 
(1) Division A—Department of Defense and other National 
Defense Authorizations. 
(2) Division B—Military Construction Authorizations. 
SEC. 3. TABLE OF CONTENTS 
The table of contents for this Act is as follows: 
Sec. 1. Short title. 
Sec. 2. Organization of Act into divisions. 
Sec. 3. Table of contents. 
Sec. 4. Statutory construction. 
DIVISION A—DEPARTMENT OF DEFENSE AND OTHER NATIONAL 
DEFENSE AUTHORIZATIONS 
TITLE I—PROCUREMENT 
PART A—FUNDING AUTHORIZATIONS 
Sec. 101. Army. 
Sec. 102. Navy and Marine Corps. 
Sec. 103. Air Force. 
Sec. 104. Defense Agencies. 
Sec. 105. Chemical demilitarization program. 
Sec. 106. Reserve components. 
Sec. 107. Authorized multiyear contracts. 
PART B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS 
Sec. 111. Army pn^ams. 
Sec. 112. Naw programs. 
Sec. 113. Air Force programs. 
Sec. 114. Interim infantry anti-tank weapon. 
Sec. 115. Source selection authority for the palletized loading system. 
Sec. 116. BIGEYE binary chemical bomb. 
Sec. 117. Management of certain defense procurement programs. 
Sec. 118. Modifications in chemical demilitarization progrsun. 
Sec. 119. Report on Navy aircraft requirements. 
TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION 
PART A—AUTHORIZATIONS AND FUNDING FX)R SPECIFIC PROGRAMS 
Sec. 201. Authorization of appropriations. 
Sec. 202. Funding for ICBM modernization prt^ams. 
Sec. 203. D A R P A nuclear monitoring program. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1919 
Sec. 204. Grant for semiconductor cooperative research program. 
Sec. 205. Airship program. 
Sec. 206. Extended air defense. 
Sec. 207. Product evaluation activity. 
Sec. 208. Chemical weapons convention compliance monitoring program. 
Sec. 209. Optoelectronics Materials Center. 
PART B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS 
Sec. 211. Trident II missile program. 
Sec. 212. Balanced Technology Initiative. 
Sec. 213. Advanced Tactical Aircraft and Advanced Tactical Fighter programs. 
Sec. 214. Air-to-air missile project office. 
Sec. 215. Training in advanced manufacturing technologies. 
Sec. 216. Prohibition on obligation of funds for cancelled antisatellite weapon 
program. 
Sec. 217. Long-range conventional cruise missile. 
Sec. 218. Seek Spinner Missile program. 
Sec. 219. Depressed-trajectory ballistic missiles. 
Sec. 220. Requirement of competition for award of grants and contracts to colleges 
and universities for certain purposes. 
PART C—STRATEGIC DEFENSE INITIATIVE 
Sec. 221. Funding for the Strategic Defense Initiative for fiscal year 1989. 
Sec. 222. Report on allocation of SDI funding for fiscal year 1989. 
Sec. 223. Development and testing of antiballistic missile systems or components. 
Sec. 224. Accidental launch protection. 
PART D—STRATEGIC PROGRAMS 
Sec. 231. B-IB Bomber program. 
Sec. 232. Advanced Technology B-2 Bomber program. 
Sec. 233. Sense of Congress on strategic missile modernization programs. 
PART E—OTHER PROGRAMS 
Sec. 241. Advanced Submarine Technology Program. 
Sec. 242. Prohibition on testing electromagnetic pulse in Chesapeake Bay. 
Sec. 243. Report on space control capabilities. 
Sec. 244. Report on competition for development of Advanced Tactical Reconais-
sance System. 
TITLE III—OPERATION AND MAINTENANCE 
PART A—AUTHORIZATIONS OF APPROPRIATIONS 
Sec. 301. Operation and maintenance funding. 
Sec. 302. Working capital funds. 
Sec. 303. Humanitarian assistance. 
Sec. 304. Tripler Army Medical Center. 
Sec. 305. Assistance to the 1990 Goodwill Games. 
Sec. 306. Inauguration assistance. 
Sec. 307. Enhancement of capability to combat fraud, waste, and abuse. 
PART B—LIMITATIONS 
Sec. 311. Prohibition on financing certain activities by direct appropriations. 
Sec. 312. Prohibition on joint use of Dobbins Air Force Base with civil aviation. 
Sec. 313. Prohibition on purchase of Toshiba products for resale in military ex-
change stores. 
Sec. 314. Limitation on funding for United States Southern Command airlift. 
Sec. 315. One-year extension of limitation on Army depot maintenance funding. 
Sec. 316. Operation of SR-71 depot rework facility. 
Sec. 317. Management of civilian personnel during fiscal years 1989 and 1990. 
Sec. 318. Limitation on operation of existing Poseidon class submarines U.S.S. 
James Monroe and U.S.S. Henry Clay. 
PART C—PERMANENT LAW CHANGES 
Sec. 321. Limitation on private operation of commissary stores. 
Sec. 322. Allowable costs with respect to certain service contracts performed over-
seas. 
Sec. 323. Authority to continue support of scouting activities overseas. 
Sec. 324. Transfers and exchanges of certain documents, historical artifacts, and 
condemned and obsolete combat materiel. 
102 STAT. 1920 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Sec. 325. Qualifications for head of auditing function in military departments. 
Sec. 326. Prohibition on certain depot maintenance workload competitions. 
Sec. 327. Report on mampower, mobility, sustainability, and equipment. 
Sec. 328. Lease of aircraft for Fleet Electronic Warfare Support Group activities. 
PART D—CONTRACTING OUT 
Sec. 331. Requirements for certain circular A-76 procedures. 
Sec. 332. Performance of flrefighting and security guard functions at Amchitka, 
Alaska. 
PART E—DEFENSE SUPPUES SECURITY AND CONTROL 
Sec. 341. Defense supply mtmagement studies and modernization plan. 
Sec. 342. Supply security and control improvements. 
Sec. 343. Inventory investigations. 
Sec. 344. Reports to the Secretary of the Treasury of losses of munitions. 
PART F—STUDIES AND REPORTS 
Sec. 351. Study of Department of Defense safety standards for transportation of 
hazardous materials. 
Sec. 352. Report on the use of degradable plastic items by Department of Defense. 
Sec. 353. Navy participation in feasibility study of Sunset Harbor Project, Califor-
nia. 
TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS 
PART A—ACTIVE FORCES 
Sec. 401. End strengths for active forces. 
Sec. 402. Repeal of mandatory reductions in strength of active duty officer corps. 
Sec. 403. Temporary reduction in number of Air Force colonels. 
PART 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. Clarification of applicability of prior amendments relating to number of 
members in certain grades authorized to be on active duty in support of 
the Reserves. 
PART C—MILITARY TRAINING 
Sec. 421. Authorization of training student loads. 
PART D—AUTHORIZATION OF APPROPRIATIONS 
Sec. 431. Authorization of appropriations for military personnel for fiscal year 1989. 
TITLE V—MILITARY PERSONNEL POLICY 
PART A—OFFICER PERSONNEL POUCY 
Sec. 501. Selection boards. 
Sec. 502. Removal from promotion list. 
Sec. 503. Selective early retirement for certain pre-DOPMA Navy and Marine 
Corps officers. 
Sec. 504. Technical revision of section 638 of title 10, United States Code. 
PART B—JOINT OFFICER PERSONNEL POUCY 
Sec. 511. Waiver authority with respect to selection of officers for the joint 
specialty. 
Sec. 512. Joint specialty officers in critical joint duty assignments. 
Sec. 513. Promotion policy objectives for officers with the joint specialty. 
Sec. 514. Length of joint duty assignments. 
Sec. 515. Additional transition provisions for implementation of prerequisite for 
promotion to initial flag and general officer grade. 
Sec. 516. Extension of transition to joint duty assignment staffing requirements. 
Sec. 517. Counting of officers with critical occupational specialty involving combat 
operations for purposes of joint duty assignment staffing and tour 
lengths. 
Sec. 518. Service by captains and Navy lieutenants in joint duty assignment to be 
counted for all officer personnel laws concerning such service. 
Sec. 519. Technical amendments. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1921 
PART C—MISCELLANEOUS 
Sec. 521. Testing of new entrants for drug and alcohol abuse. 
Sec. 522. Requirement to accept persons enlisting in the Air Force on gender-free 
basis. 
Sec. 523. Military education for Army National Guard civilian technicians. 
Sec. 524. Expansion of military spouse employment preference. 
Sec. 525. Manpower estimates for megor defense acquisition programs. 
TITLE VI—COMPENSATION AND OTHER PERSONNEL BENEFITS 
PART A—PAY AND ALLOWANCES 
Sec. 601. Military pay raise for fiscal year 1989. 
Sec. 602. Allowance for transportation of household goods. 
PART B—SPECIAL PAY POR CRmcAL PERSONNEL 
Sec. 611. Aviator retention bonus. 
Sec. 612. Medical officer retention bonus. 
Sec. 613. Special pay for critically short wartime health specialists in the Selected 
Reserve. 
PART C—OTHER PERSONNEL BENEFITS 
Sec. 621. Housing lease indemnity program. 
Sec. 622. Retired pay inversions resulting from court-martial punishment. 
Sec. 623. Travel and transportation allowances for emergency travel. 
Sec. 624. Travel and transportation allowances incident to voluntary extension of 
overseas tours of duty. 
Sec. 625. Civilian clothing allowance. 
PART D—BENEFTTS RELATING TO INCAPACITATION OF CERTAIN RESERVE MEMBERS IN 
LINE OF DUTY 
Sec. 631. Compensation for certain Reserve members. 
Sec. 632. Travel for dependents of certain members. 
Sec. 633. Injury, disability, and death compensation coverage for ROTC cadets 
during military training activities. 
PART E—HEALTH CARE MANAGEMENT PROVISIONS 
Sec. 641. Requirement to submit end strengths and manpower report for medical 
personnel. 
Sec. 642. Requirements with respect to certain Navy medical personnel. 
Sec. 643. Provisions relating to Navy health profession personnel. 
Sec. 644. Sharing of health-care resources between the Department of Defense and 
the Veterans' Administration. 
Sec. 645. Extension of termination date for former Public Health Service hospitals 
and requirement that such hospitals be cost effective. 
Sec. 646. Eligibility of certain institutions to receive reimbursement under CHAM-
PUS. 
PART F—MISCELLANEOUS 
Sec. 651. Limited extension of certain medical benefits for former spouses. 
Sec. 652. Technical correction to Survivor Benefit Plan coverage of former spouses. 
Sec. 653. Annuity for certain surviving spouses. 
Sec. 654. Report on definition of dependent for certain purposes. 
TITLE VII—DEPARTMENT OF DEFENSE ORGANIZATION AND 
MANAGEMENT 
PART A—ORGANIZATION 
Sec. 701. Authority to establish position of Assistant Secretary of Defense for Intel-
ligence. 
Sec. 702. Designation in each military department of Assistant Secretary with 
responsibility for financial maneigement. 
Sec. 703. General Counsels of military departments. 
Sec. 704. Deferral of retirement date for Chairman of the Joint Chiefs of Staff. 
PART B—FORCE STRUCTURE 
Sec. 711. Assignment of combatant forces. 
Sec. 712. Responsibility and authority of Commander of Special Operations Com-
mand. 
102 STAT. 1922 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Sec. 7l3. Strategic air defense alert mission. 
Sec. 714. Reports on budgets for unifled and specified commands. 
Sec. 715. Report on initial review of unified command plan and initial review of 
service roles and missions. 
PART C—PERSONNEL-RELATED PROVISIONS 
Sec. 721. Regulations for delivery of military personnel to civil authorities when 
charged with certain offenses. 
Sec. 722. Annuities for judges of United States Ck)urt of Military Appeals. 
PART D—OTHER 
Sec. 731. Annual net assessments. 
Sec. 732. Link£ige of national military strategy amd weapon acquisition programs. 
Sec. 733. Report on funding for the ammunition production base. 
Sec. 734. Sense of Congress concerning declassification of classified information. 
Sec. 735. Advance payment of administrative claims. 
Sec. 736. Energy efficiency incentive. 
TITLE VIII-ACQUISITION POLICY AND MANAGEMENT 
PART A—ACQUISITION MANAGEMENT 
Sec. 801. Integrated financing policy. 
Sec. 802. Competitive prototype strategies. 
Sec. 803. Delegation of authority to approve certain contract justifications. 
Sec. 804. Evaluation of contracts for professional and technical services. 
Sec. 805. Procurement of critical aircraft and ship spare parts. 
Sec. 806. Incentives for innovation. 
Sec. 807. Regulations on use of fixed-price development contracts. 
Sec. 808. Department of Defense advisory panel on government-industry relations. 
Sec. 809. Report on simplification and streamlining of acquisition procedures. 
PART B—DEFENSE INDUSTRIAL BASE 
Sec. 821. Maintenance and improvement of the defense industrial base. 
Sec. 822. Source for procurement of certain valves and machine tools. 
Sec. 823. Critical technologies plan. 
Sec. 824. Defense memoranda of understanding. 
Sec. 825. Department of Defense offset policy. 
Sec. 826. Allowability of costs to promote the export of defense products. 
PART C—POUCIES RELATING TO DEFENSE CONTRACTORS 
Sec. 831. Additional prohibitions on persons convicted of felonies related to defense 
contracts. 
Sec. 832. Limitation on allowability of costs of contractors incurred in certain pro-
ceedings. 
Sec. 833. Air travel expenses of defense contractor personnel. 
Sec. 834. Standards for contractor inventory accounting systems. 
Sec. 835. Equal employment opportunities relating to an Army contract. 
PART D—MISCELLANEOUS 
Sec. 841. Procurement Technical Assistance Cooperative Agreement Program. 
Sec. 842. Product evaluation. 
Sec. 843. Contract goal for minorities in printing-related services. 
Sec. 844. Extension of contract goal for small and disadvantaged businesses. 
Sec. 845. Deadline for certain small business regulations. 
Sec. 846. Safeguarding of military whistleblowers. 
TITLE IX—MATTERS RELATING TO ARMS CONTROL 
Sec. 901. Sense of Congress on expanding confidence-building measures. 
Sec. 902. Sense of Congress on START talks. 
Sec. 903. Sense of Congress concerning role of Congress in arms control and defense 
policies. 
Sec. 904. Sense of Congress on the five-year ABM Treaty review. 
Sec. 905. Revision of annual report on Soviet compliance with arms control commit-
ments. 
Sec. 906. Annual report on arms control strategy. 
Sec. 907. Report on antiballistic missile capabilities and activities of the Soviet 
Union. 
Sec. 908. Analysis of alternative strategic nuclear force postures for the United 
States under a potential START Treaty. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1923 
Sec. 909. On-Site Inspection Agency. 
Sec. 910. Coordination of verification policy smd research and development activi-
ties. 
TITLE X—MATTERS RELATING NATO COUNTRIES AND OTHER ALLIES 
Sec. 1001. Increase in annual dollar limitation on acquisition and cross-servicing 
agreements with allied countries. 
Sec. 1002. Authority to waive surcharges on certain sales to North Atlantic Treaty 
Organization. 
Sec. 1003. Authority of military departments to loan and borrow from foreign coun-
tries materials, supplies, and equipment for research and development 
purposes. 
Sec. 1004. Sense of Congress on need for modernization of theater nuclear capabili-
ties of NATO. 
Sec. 1005. Report on NATO Defense Program for fiscal year 1990. 
Sec. 1006. Improvement in defense research and procurement liaison with Israel. 
Sec. 1007. Modification of requirement concerning designation of major non-NATO 
allies. 
Sec. 1008. Call for continued defense burdensharing discussions with allies. 
Sec. 1009. Contributions by Japan to global stability. 
TITLE XI—DRUG INTERDICHON AND LAW ENFORCEMENT SUPPORT 
Sec. 1101. Annual guidelines to the military departments. 
Sec. 1102. Lead agency for detection. 
Sec. 1103. Communications Network. 
Sec. 1104. Enhanced drug interdiction and law enforcement assistance by the 
Department of Defense. 
Sec. 1105. Enhanced drug interdiction and enforcement role for the National 
Guard. 
Sec. 1106. Funding of activities related to drug interdiction. 
Sec. 1107. Reports. 
. 
TITLE XII—GENERAL PROVISIONS 
PART A—FINANCIAL AND BUDGET MATTERS 
Sec. 1201. Transfer authority. 
Sec. 1202. Increase in fiscal year 1988 defense funds transfer authorization. 
PART B—FISCAL YEAR 1988 UNAUTHORIZED APPROPRIATIONS 
Sec. 1211. Authority for obligation of certain unauthorized fiscal year 1988 defense 
appropriations. 
Sec. 1212. Limitation on obligation for certain unauthorized appropriations. 
Sec. 1213. Repeal of certain appropriations general provisions. 
PART C—NAVAL VESSELS AND SHIPYARDS 
Sec. 1221. Naming of Trident submarine the U.S.S. Melvin Price. 
Sec. 1222. Naming a Navy ship the U.S.S. Bob Hope. 
Sec. 1223. Rate of progress payments on naval ship repair contracts. 
Sec. 1224. Limitation on repair of naval vessels in foreign shipyards. 
Sec. 1225. Competition between public and private shipyards for overhaul of naval 
vessels. 
Sec. 1226. Depot-level maintenance of ships. 
Sec. 1227. Report on effects of naval shipbuilding plans on maritime industries. 
Sec. 1228. Report on encouragement of construction in United States shipyards of 
combatant vessels fot allies. 
Sec. 1229. Report on small patrol boats of Navy. 
PART D—MISCELLANEOUS 
Sec. 1231. Report on susceptibility of defense computer assets to computer viruses. 
Sec. 1232. Reassessment of Soviet electronic espionage capability from Mount Alto 
embassy site. 
Sec. 1233. Technical and clerical amendments. 
Sec. 1234. References to the Canal Zone. 
TITLE XIII—FOREIGN RELATIONS MATTERS 
Sec. 1301. Sense of Congress concerning the Panama Canal and the United States 
Southern' Command. 
Sec. 1302. Limitation on assistance to Panamanian Defense Force. 
102 STAT. 1924 
PUBLIC LAW 100-456-SEPT. 29, 1988 
Sec. 1303. Sense of Congress concerning indictment of General Noriega of Panama 
on drug-related charges. 
Sec. 1304. Sense of Congress on introduction of Armed Forces into Nicaragua for 
combat. 
Sec. 1305. Human rights violations by the government of Poland. 
Sec. 1306. Conditions for sale or other transfer of F-15 aircraft to Saudi Arabia. 
Sec. 1307. Restriction on sale of defense articles to certain nations. 
Sec. 1308. United States bases in the Republic of the Philippines. 
Sec. 1309. Annual assessment of security at United States bases in the Philippines. 
Sec. 1310. Economic sanctions against Ethiopia. 
TITLE XIV-DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS 
PART A—NATIONAL SECURITY PROGRAMS AUTHORIZATIONS 
Sec. 1401. Operating expenses. 
Sec. 1402. Plant and capital equipment. 
Sec. 1403. Funding limitations. 
PART B—RECURRING GENERAL PROVISIONS 
Sec. 1421. Reprogramming. 
Sec. 1422. Limits on general plant projects. 
Sec. 1423. Limits on construction projects. 
Sec. 1424. Fund transfer authority. 
Sec. 1425. Authority for construction design. 
Sec. 1426. Authority for emergency construction design. 
Sec. 1427. Funds available for all national security programs of the Department of 
Energy. 
Sec. 1428. Availability of funds. 
PART C—MISCELLANEOUS PROVISIONS 
Sec. 1431. Review of the inertial confinement fusion program. 
Sec. 1432. Assistance to communities affected by closing of N Reactor. 
Sec. 1433. Review of waste isolation pilot plant in New Mexico. 
Sec. 1434. Authority to loan personnel and facilities to community development 
organizations near Hanford Reservation. 
Sec. 1435. New production reactor. 
Sec. 1436. Nuclear test ban readiness program. 
PART D—DOE DEFENSE NUCLEAR FACILITIES SAFETY OVERSIGHT BOARD 
Sec. 1441. E^stablishment of Defense Nuclear Facilities Safety Board. 
Sec. 1442. Transfer. 
TITLE XV—NATIONAL DEFENSE STOCKPILE 
Sec. 1501. Authorized disposals. 
Sec. 1502. Authorization of acquisitions. 
Sec. 1503. Technical and clarifying amendments. 
TITLE XVI—CIVIL DEFENSE 
Sec. 1601. Authorization of appropriation. 
DIVISION B—MILITARY CONSTRUCTION AUTHORIZATIONS 
Sec. 2001. Short title. 
TITLE XXI—ARMY 
Sec. 2101. Authorized construction and land acquisition projects. 
Sec. 2102. Family housing. 
Sec. 2103. Improvements to military family housing units. 
Sec. 2104. Defense access roads. 
Sec. 2105. Authorization of appropriations. Army. 
Sec. 2106. Extension of certain prior year authorizations. 
TITLE XXII—NAVY 
Sec. 2201. Authorized construction and land acquisition projects. 
Sec. 2202. Family housing. 
Sec. 2203. Improvements to military family housing units. 
Sec. 2204. Defense access roads. 
Sec. 2205. Authorization of appropriations, Navy. 
Sec. 2206. Acquisition of housing at certain naval air stations. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1925 
TITLE XXIII-AIR FORCE 
Sec. 2301. Authorized construction and Isuid acquisition projects. 
Sec. 2302. Family housing. 
Sec. 2303. Improvement to military family housing units. 
Sec. 2304. Authorization of appropriations, Air Force. 
Sec. 2305. Extension of certain previous authorizations. 
TITLE XXIV—DEFENSE AGENQES 
Sec. 2401. Authorized construction and land acquisition projects. 
Sec. 2402. Ffunily housing. 
Sec. 2403. Improvements to military family housing units. 
Sec. 2404. AFCENT School. 
Sec. 2405. Conforming storage facilities. 
Sec. 2406. Defense access roads. 
Sec. 2407. Authorization of appropriations. Defense Agencies. 
Sec. 2408. Resiting of overseas contingency medical facility. 
Sec. 2409. Extension of certain previous authorizations. 
Sec. 2410. Reynolds Army Community Hospital, Fort Sill, Oklahoma, and Seoul 
Army Community Hospital, Seoul, Korea. 
TITLE XXV—NORTH ATLANTIC TREATY ORGANIZATION 
INFRASTRUCTURE 
Sec. 2501. Authorized construction and land acquisition projects. 
Sec. 2502. Authorization of appropriations, NATO. 
TITLE XXVI-GUARD AND RESERVE FACILITIES 
Sec. 2601. Authorized Guard and Reserve construction and land acquisition 
projects. 
Sec. 2602. Aircraft parking ramp/holding pad at Yeager Airport, Charleston, West 
Virginia. 
Sec. 2603. Construction of replacement facilities at O'Hare Air Reserve forces 
facility, Illinois. 
TITLE XXVn—EXPIRATION OF AUTHORIZATIONS; EFFECTIVE DATE 
Sec. 2701. Expiration of authorizations and amounts required to be specified by law. 
Sec. 2702. Effective date. 
TITLE XXVm-GENERAL PROVISIONS 
PART A—PROGRAM CHANGES 
Sec. 2801. Long-term facilities contracts. 
Sec. 2802. Increase in foreign housing leasii^ authority. 
Sec. 2803. Reports on real property transactions. 
Sec. 2804. Notification requirement relating to acquisition of interest in land. 
Sec. 2805. Planning assistance for impacted communities. 
PART B—MISCELLANEOUS 
Sec. 2811. Prohibition of funding for certain military construction contracts on 
Gusun. 
Sec. 2812. Brooke Army Medical Center. 
Sec. 2813. Community planning assistance. 
Sec. 2814. Fort DeRussy, Hfcwaii. 
Sec. 2815. Wurtsmith Air Force Base, Michigan. 
Sec. 2816. Location of hazardous waste storage facility at Pearl Harbor Navsd Ship-
yard. 
Sec. 2817. Solicitation for proposals for office space for Navy. 
Sec. 2818. Third Infantry Division Memorial. 
Sec. 2819. Commission on alternative utilization of military facilities. 
PART C—REAL PROPERTY TRANSACTHONS 
Sec. 2821. Land exchange, Alameda County, California. 
Sec. 2822. Lsuid conveyance, Lompoc, California. 
Sec. 2823. Land easement. Orange County, California. 
Sec. 2824. Land exchsuige, San Diego, California. 
Sec. 2825. Land transfer, Washington, District of Columbia. 
Sec. 2826. Land conveyance, Okaloosa County, Florida. 
Sec. 2827. Transfer of land, Suitland Federal Center, Maryland. 
Sec. 2828. Air Force plant at Columbus, Ohio. 
Sec. 2829. Land conveyance. Fort Jackson, South Carolina. 
102 STAT. 1926 
PUBLIC LAW 100-456—SEPT. 29, 1988 
SEC. 4. STATUTORY CONSTRUCTION 
(a) ORDER OF ENACTMENT WITH APPROPRIATIONS ACT.—In applying 
any rule of statutory construction, the provisions of this Act shall be 
deemed to have been enacted before the provisions of the Depart-
ment of Defense Appropriations Act, 1989 (regardless of the actual 
dates of enactment concerned). 
(b) TERMINATION OF REFERENCED AUTHORIZATION PROVISION.—If 
this Act is enacted after the Department of Defense Appropriations 
Act, 1989— 
(1) section 10001 of that Act shall cease to be effective upon 
the enactment of this Act; and 
(2) subject to subsection (a), this Act shall be deemed for all 
purposes to have been enacted on the date of the enactment of 
such Act. 
DIVISION A—DEPARTMENT OF DEFENSE 
AND OTHER NATIONAL DEFENSE AU-
THORIZATIONS 
TITLE I—PROCUREMENT 
PART A—FUNDING AUTHORIZATIONS 
SEC. 101. ARMY 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for procurement for the Army as follows: 
(1) For aircraft, $2,883,700,000. 
(2) For missiles, $2,605,200,000. 
(3) For weapons and tracked combat vehicles, $2,915,100,000. 
(4) For ammunition, $2,064,036,000. 
(5) For other procurement, $4,580,346,000, of which— 
(A) $872,671,000 is for tactical and support vehicles; 
(B) $2,811,727,000 is for communications and electronics 
equipment; and 
(C) $895,948,000 is for other support equipment. 
SEC. 102. NAVY AND MARINE CORPS 
(a) AIRCRAFT.—Funds are hereby authorized to be appropriated for 
fiscal year 1989 for procurement of aircraft for the Navy in the 
amount of $9,259,253,000. 
(b) WEAPONS.—Funds are hereby authorized to be appropriated for 
fiscal year 1989 for procurement of weapons (including missiles and 
torpedoes) for the Navy in the amount of $5,972,181,000. Amounts 
authorized under the preceding sentence are available as follows: 
(1) For ballistic missile programs, $1,872,538,000. 
(2) For other missile programs, $3,203,737,000. 
(3) For torpedo programs, $700,054,000 as follows: 
For the MK-48 torpedo program, $431,014,000. 
For the MK-50 toipedo program, $198,547,000. 
For the Vertical Launched ASROC program, $17,552,000. 
For the modification of torpedoes and related equipment, 
$3,289,000. 
For the torpedo support equipment program, $25,988,000. 
For the antisubmarine warfare range support program, 
$22,664,000. 
*-fi^». 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1927 
(4) For other weapons, $108,440,000, of which— 
(A) $19,449,000 is for the MK-15 close-in weapon system; 
and 
(B) $54,557,000 is for the close-in weapon system modifica-
tion program. 
(5) For spares and repair parts, $87,412,000. 
(c) SHIPBUILDING AND CONVERSION.—Funds are hereby authorized 
to be appropriated for fiscal year 1989 for shipbuilding and conver-
sion for the Navy in the amount of $9,056,100,000. Amounts au-
thorized under the preceding sentence are available as follows: 
For the Trident submarine program, $1,368,100,000. 
For the 
SSN-688 nuclear 
attack submarine 
program, 
$1,493,600,000. 
For 
the 
SSN-21 nuclear 
attack 
submarine 
program, 
$1,488,000,000. 
For the aircraft carrier service life extension program (SLEP), 
$135,400,000. 
For 
the 
DDG-51 
guided 
missile 
destroyer 
program, 
$2,207,300,000. 
For 
the 
LHD-1 
amphibious 
assault 
ship 
program, 
$737,500,000. 
For the MHC coastal minehunter program, $197,200,000. 
For the TAO-187 fleet oiler program, $284,900,000. 
For the AO (Jumbo) conversion program, $84,900,000. 
For 
the 
TAGrOS 
ocean 
surveillance 
ship 
program, 
$159,600,000. 
For the AOE fast combat support ship program, $363,900,000. 
For 
the 
landing 
craft, 
air 
cushion 
(LCAC) program, 
$192,600,000. 
For outfitting and post delivery, $343,100,000. 
(d) OTHER PROCUREMENT, NAVY.—Funds are hereby authorized to 
be appropriated for fiscal year 1989 for other procurement for the 
Navy in the amount of $4,817,750,000. Amounts authorized under 
the preceding sentence are available as follows: 
(1) For the ship support equipment program, $649,740,000. 
(2) For the communications and electronics equipment pro-
gram, $1,548,164,000. 
(3) For aviation support equipment, $550,692,000. 
(4) 
For 
the 
ordnance 
support 
equipment 
program, 
$1,135,671,000. 
(5) For civil engineering support equipment, $109,061,000. 
(6) For supply support equipment, $126,495,000. 
(7) For 
personnel 
and 
command 
support 
equipment, 
$470,731,000. 
(8) For spares and repair parts, $227,196,000. 
(e) MARINE CORPS.—Funds are hereby authorized to be appro-
priated for fiscal year 1989 for procurement for the Marine Corps in 
the amount of $1,297,265,000. 
SEC. 103. AIR FORCE 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for procurement for the Air Force as follows: 
(1) For aircraft, $16,125,024,000. 
(2) For missiles, $7,716,533,000. 
(3) For other procurement, $8,196,782,000, of which— 
(A) $605,087,000 is for munitions and associated support 
equipment; 
102 STAT. 1928 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(B) $279,768,000 is for vehicular equipment; 
(C) $1,893,245,000 is for electronics and telecommuni-
cations equipment; and 
(D) $5,418,682,000 is for other base maintenance and sup-
port equipment. 
SEC. 104. DEFENSE AGENCIES 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for procurement for the Defense Agencies in the amount of 
$1,205,100,000. 
SEC. 105. CHEMICAL DEMILITARIZATION PROGRAM 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for the chemical demilitarization program under section 1412 
of the Department of Defense Authorization Act, 1986 (50 U.S.C. 
1521) in the amount of $179,500,000, of which— 
(1) $44,300,000 is for procurement; 
(2) $17,900,000 is for research, development, test, and evalua-
tion; and 
(3) $117,300,000 is for operation and maintenance. 
SEC. 106. RESERVE COMPONENTS 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for procurement of aircraft, vehicles, communications equip-
ment, and other miscellaneous equipment for the reserve compo-
nents of the Armed Forces as follows: 
For the Army National Guard, $240,000,000. 
For the Air National Guard, $216,500,000. 
For the Army Reserve, $30,000,000. 
For the Naval Reserve, $75,000,000. 
For the Air Force Reserve, $232,000,000. 
For the Marine Corps Reserve, $50,000,000. 
SEC. 107. AUTHORIZED MULTIYEAR CONTRACTS 
(a) ARMY.—Subject to subsections (d) and (e), the Secretary of the 
Army may enter into multiyear contracts in accordance with section 
2306(h) of title 10, United States Code, for procurement of the 
following: 
(1) CH-47D helicopter modification. 
(2) Multiple Launch Rocket System (MLRS). 
(3) T-700 helicopter engine. 
(4) AH-64 Apache helicopters. 
(5) Ml Abrams tanks for 3,000 tanks. 
(b) NAVY AND MARINE CORPS.—Subject to subsections (d) and (e), 
the Secretary of the Navy may enter into multiyear contracts in 
accordance with section 2306(h) of title 10, United States Code, for 
procurement of the following: 
(1) AV-8B aircraft. 
(2) UHF Follow-On Satellite System. 
(c) AIR FORCE.—Subject to subsections (d) and (e), the Secretary of 
the Air Force may enter into multiyear contracts in accordance with 
section 2306(h) of title 10, United States Code, for procurement of 
the following: 
(1) F-16 aircraft. 
(2) Defense Meteorological Satellite Program (DMSP). 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1929 
(d) CONDITIONS.—A multiyear contract authorized by this section 
may not be entered into unless each of the following conditions is 
satisfied: 
(1) The Secretary of Defense certifies to Congress that the 
current five-year defense program fully funds the support costs 
associated with the multiyear program. 
(2) The proposed multiyear contract provides for production 
at not less than minimum economic rates given the existing 
tooling and facilities. 
(3) The proposed multiyear contract— 
(A) achieves a 10 percent savings £is compared to the cost 
of current negotiated contracts, adjusted for changes in 
quantity and for inflation; or 
(B) achieves a 12 percent savings as compared to annual 
contracts if no recent contract experience exists. 
(e) NEGOTIATED PRICED OPTIONS.—The Secretary of Defense may 
instruct the Secretary of the military department concerned to 
incorporate into a proposed multiyear contract under this section 
negotiated priced options for varying the quantities of end items to 
be procured over the period of the contract. 
PART B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS 
SEC. 111. ARMY PROGRAMS 
(a) ADATS AIR DEFENSE WEAPON.—(1) The Secretary of the Army 
may obligate funds appropriated for fiscal year 1989 for procure-
ment of the ADATS Air Defense Weapon system in the amount of 
$85,000,000 for production of five fire units and 60 missiles to be 
used specifically for production qualification testing and operational 
testing. Funds may be obligated for such purpose only after the 
Director of Operational Test and Evaluation of the Department of 
Defense certifies to the Committees on Armed Services of the Senate 
and House of Representatives that he has approved the plan for the 
qualification testing and operational testing for such system. 
(2) The Secretary of the Army may obligate funds for procurement 
and advanced procurement for such system for any fiscal year after 
fiscal year 1989 only after— 
(A) the operational tests for such system are completed; 
(B) the Secretary of Defense certifies to the Committees on 
Armed Services of the Senate and House of Representatives 
that the system meets or exceeds the operationed performance 
criteria of the Army; 
(C) the Director of Operational Test and Evaluation of the 
Department of Defense provides to those Committees his 
evaluation of the performance of the system; and 
(D) the Comptroller General of the United States provides to 
those Committees his evaluation of the performance of the 
system. 
(h) MORTARS.—The Secretary of the Army may not obligate funds 
appropriated for fiscal year 1989 for procurement of 120-millimeter 
mortars or 4.2-inch mortars (or for procurement of ammunition for 
either such mortar) until the Secretary does each of the following: 
(1) Submits to Congress a new master plan for Army mortars, 
including a description of the status of 4.2-inch mortars (and the 
ammunition for such mortars) and the status of any proposed 
upgrade of such mortar or ammunition. 
102 STAT. 1930 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) Certifies to Congress that the current Five-Year Defense 
Program provides for funding for the initiatives set forth in 
such master plan. 
(3) Completes the analysis (referred to as an "Arsenal Act 
analysis") of the cost-effectiveness of using domestic sources (as 
provided under section 4532 of title 10, United States CJode) for 
manufacture of 120-millimeter mortars that was specified in 
section 122(aX2) of Public Law 99-661. 
(c) 155-MiLUMETER BASE BURN A
S
S
E
M
B
L
Y UNITS.—(1) If the con-
tractor for low-rate initial production of base burn eissembly units 
for the 155-millimeter M864 artillery projectile certifies to the Sec-
retary of the Army that the contractor is willing to finance the 
expenses of preparing facilities and equipment at (and otherwise 
"facilitizing") a Govemmentowned contractor-operated Army 
ammunition plant for production of such base bum assembly units, 
the Secretary shall contract with that contractor for production of 
not less than 96,000 of such units with funds appropriated for such 
program for each of fiscal years 1989 and 1990 (for a production rate 
of not less than 8,000 units per month under the program for those 
fiscal years). 
(2) In canning out the program for production of such base bum 
assembly units, the Secretary of the Army, through the use of 
competitive procedures, shall select a second source producer for 
such base bum assembly units during fiscal year 1989. 
SEC. 112. NAVY PROGRAMS 
(a) AH-IW GROUND SUPPORT EQUIPMENT.—Of the amount appro-
priated pursuant to section 102 for the Navy for procurement, 
$55,000,000 may be obligated only for the procurement of AH-IW 
ground support equipment. 
(b) TRIDENT II MISSILE PROGRAM.—(1) Of the amounts appro-
priated pursuant to section 102 for the Navy for the procurement of 
missiles for fiscal year 1989, $1,865,609,000 may be obligated only for 
the Trident II missile program. 
(2) In achieving any undistributed reduction required to be made 
in programs, projects, or activities for which funds have been appro-
priated to the Department of Defense for fiscal year 1989, no 
reduction may be made in the amount of funds available for the 
IVident II missile program. 
(c) DDG-51 DESTROYER PROGRAM COMPETITION.—Notwithstanding 
the proviso to the item relating to the DDG-51 destroyer program in 
the paragraph under the heading "SHIPBUILDING AND CONVERSION, 
NAVY" in title III of the Department of Defense Appropriations Act, 
1988 (as contained in section 101(b) of Public Law 100-202), the 
Secretary of the Navy may limit competition for the shipbuilding 
portion of the DDG-51 destroyer program for any fiscal year to the 
two shipyard contractors to which such competition was limited on 
Deceml^r 21, 1987 (the day before the date of the enactment of 
Public Law 100-202), if the Secretary certifies to the Committees on 
Armed Services of the Senate and House of Representatives that the 
limitation of such competition to those contractors either— 
(1) would likely result in a lower total cost to the United 
States for the fiscal year 1989 program than would result from 
including other shipyard contractors in the competition; or 
(2) is necessary to meet the cost, schedule, or performance 
requirements of the Navy or such other requirements of the 
Navy as may be determined by the Secretary. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1931 
(d) USE OF PRIOR YEAR FUNDS FOR D D G - 5 1 DESTROYER PRO-
GRAM.—(1) There are hereby authorized to be transferred to the 
shipbuilding and conversion program for the Navy for fiscal year 
1988, to the extent provided in appropriation Acts, amounts that 
were appropriated for the Department of Defense for fiscal year 
1988 or any prior fiscal year that remain available for obligation 
and that are no longer required for the purpose for which originally 
appropriated. The total amount transferred pursuant to the author-
ity of this section may not exceed $730,000,000. Amounts transferred 
pursuant to this section shall be used for the procurement of one 
DDG-51 class guided missile destroyer. 
(2) The authority to transfer amounts under this subsection is in 
addition to any other authority to transfer amounts provided in this 
or any other Act. 
(3) A transfer pursuant to the authority provided by this section 
shall not extend the period of availability for obligation of the 
amounts so transferred. 
(e) MARINE CORPS TACTICAL RADIOS.—Amounts previously appro-
priated to the Navy for procurement of TSEC/KY-67 (Bancroft) 
radios and that are available for obligation may be obligated only 
for procurement of SINCGARS radios. 
(f) 5-INCH SEMIACTIVE LASER-GUIDED PROJECTILE PROGRAM.—Of 
the funds appropriated or otherwise made available for other 
procurement for the Navy for fiscal year 1989, the Secretary of the 
Navy shall make available such funds as necessary for the 5-inch 
semiactive laser-guided projectile program in order to complete 
production qualification of 150 of such projectiles, with 50 such 
projectiles to be produced by each of the three established competi-
tive sources. 
SEC. 113. AIR FORCE PROGRAMS 
(a) AIR NATIONAL GUARD USE OF CERTAIN AIRCRAFT.—The Sec-
retary of the Air Force may authorize the Air National Guard to use 
the eight C-130 aircraft (and support equipment related to such 
aircraft) that are in long-term storage at Air Force plant #6, 
Marietta, Georgia. Of funds appropriated for the Air Force for fiscal 
year 1989 for modification of C-130 aircraft, $17,500,000 shall be 
available only to refurbish such aircraft for full operational use. 
(b) AIR FORCE LAUNCH FACIUTY.—Funds appropriated or other-
wise made available to the Air Force for fiscal year 1989 may not be 
obligated or expended in connection with the launch facility at 
Vandenberg Air Force Base, California (designed for the launch of 
Titan IV expendable launch vehicles), identified as the SLC-7 
Launch Facility. 
SEC. 114. INTERIM INFANTRY ANTI-TANK WEAPON 
(a) DETERMINATION OF INTERIM INFANTRY ANTI-TANK WEAPON.— 
The Secretary of the Army shall select an interim infantry anti-tank 
weapon from among the Milan II weapon, the Bofors Bill weapon. 
Dragon Generation II weapon, and the Marine Corps Dragon 
Generation III weapon. The selection shall be based on the Sec-
retary's determination of which of such weapons is the most effec-
tive weapon on the basis of all of the operational testing and 
evaluation of those weapons conducted as of June 1, 1989. The 
Secretary shall manage the program for the weapon selected so that 
such weapon is ready to enter into low-rate initial production during 
fiscal year 1990. 
102 STAT. 1932 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(b) OT&E ASSESSMENT.—The Director of Operational Test and 
Evaluation of the Department of Defense shall conduct an independ-
ent eissessment of the operational tests and evaluations referred to 
Reports. 
in subsection (a). The Director shall submit a report on such assess-
ment to the Committees on Armed Services of the Senate and House 
of Representatives not later than June 1,1989. 
SEC. 115. SOURCE SELECTION AUTHORITY FOR THE PALLETIZED LOAD-
ING SYSTEM 
Section 259(b) of the National Defense Authorization Act for 
Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 1068) is 
amended by striking out "The Under Secretary of Defense for 
Acquisition" at the beginning of the second sentence and inserting 
in lieu thereof "The Acquisition Executive for the Department of 
the Navy". 
SEC. 116. BIGEYE BINARY CHEMICAL BOMB 
(a) AUTHORIZED PROCUREMENT FOR TESTING.—(1) Except as pro-
vided in paragraph (2), funds appropriated or otherwise made avail-
able to the Department of Defense for fiscal years before fiscal year 
1989 for procurement under the BIGEYE binary chemical bomb 
program may be obligated or expended in connection with such 
program only for procurement of production-configured bombs. Any 
bombs procured under the preceding sentence may be used only in 
conducting required follow-on operational testing scheduled to be 
performed during fiscal years 1989 and 1990. 
(2) Any such funds not obligated for the purpose described in 
paragraph (1) may be used for the purpose of maintaining program 
continuity for the BIGEYE bomb program. 
(3) None of the funds referred to in paragraphs (1) and (2) may be 
used for low-rate initial production. 
(b) CONDITIONS FOR OBUGATION OF FUNDS FOR PROCUREMENT.— 
Except as provided in subsection (f), funds appropriated or otherwise 
made available to the Department of Defense after the date of the 
enactment of this Act may not be obligated or expended for procure-
ment of the BIGEYE binary chemical bomb, or for any component of 
such bomb or the assembly of such bomb, until the reports required 
by subsections (c) and (d) have been submitted in accordance with 
those subsections and only then if neither of those reports includes a 
certification that one or more of the production certification condi-
tions has not been met. 
Reports. 
(c) CERTIFICATION B
Y DIRECTOR, OT&E.—Upon the Completion of 
operational and developmental tests conducted in connection with 
the BIGEYE binary chemical bomb program, the Director of Oper-
ational Test and Evaluation of the Department of Defense shall 
submit to Congress a report certifying, with respect to each of the 
production certification conditions, whether or not, in the judgment 
of the Director, such condition has been met. 
Reports. 
(d) CERTIFICATION B
Y COMPTROLLER GENERAL.—Upon the Submis-
sion of the report under subsection (c), the Comptroller General of 
the United States shall submit to Congress a report certifying, with 
respect to each of the production certification conditions, whether or 
not, in the judgment of the Comptroller General, such condition has 
been met. 
(e) PRODUCTION CERTIFICATION CONDITIONS.—For purposes of this 
section, the term "production certification conditions" means, with 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1933 
respect to the operational and developmental tests of the BIGEYE 
bomb, each of the following: 
(1) That the operational and developmental tests conducted in 
connection with such program after the date of the enactment 
of this Act were realistic and adequate. 
(2) That the plan and objectives for those tests were clear, well 
defined, and properly quantifiable. 
(3) That the design of those tests supports a valid statistical 
analysis of data. 
(4) That the criteria for a no-test were adequately defined in 
the plan for those tests. 
(5) That the performance of such bomb in those tests met or 
exceeded the standards established for the tests. 
(6) That the BIGEYE bomb program is otherwise ready to 
proceed into full-scale production. 
(f) FISCAL YEAR 1989 AUTHORIZED AcnviriES.—Of amounts appro-
priated or otherwise made available to the Department of Defense 
for fiscal year 1989, $15,000,000 may be obligated or expended for 
procurement for the BIGEYE program without regard to the limita-
tions contained elsewhere in this section, but only for the purposes 
of maintaining program continuity, maintaining the subcontractor 
base, and procuring piece parts and components. Such funds may 
not be obligated or expended for low-rate initial production or for 
final assembly. 
SEC. 117. MANAGEMENT OF CERTAIN DEFENSE PROCUREMENT PRO- 10 USC 2431 
GRAMS 
note. 
(a) STRETCHOUT IMPACT STATEMENT.—The Secretary of Defense 
shall submit to Congress, at the same time the budget for any fiscal 
year is submitted to Congress under section 1105 of title 31, United 
States Code, a statement of what the effect would be during the 
fiscal year for which the budget is submitted of the stretchout of a 
major defense acquisition program if either of the following applies 
with respect to that program: 
(1) The final year of procurement scheduled for the program 
at the time the statement is submitted is more than two years 
later than the final year of procurement for the program as 
specified in the most recent annual Selected Acquisition Report 
for that program. 
(2) The proposed procurement quantity for that fiscal year is 
less than 90 percent of the procurement quantity proposed for 
the same fiscal year in the most recent annual Selected Acquisi-
tion Report for that program. 
0)) CHANGES IN CERTAIN COSTS TO BE INCLUDED.—A statement 
under subsection (a) with respect to a major defense acquisition 
program shall contain an estimate of the projected increase in unit 
cost and the projected increase in total program cost for the system 
being procured under the program compared to the program speci-
fied in the most recent annual Selected Acquisition Report for that 
program. 
(c) IDENTIFICATION OF STRETCHED OUT PROGRAMS.—The Secretary 
shall include in a statement under subsection (a) identification of all 
major acquisition programs for which the proposed procurement 
quantity for that fiscal year is less than 80 percent of the baseline 
production rate for that fiscal year, as defined by section 
2432(cX3XCXi) of title 10, United States Code, and an explanatory 
statement for the lower procurement rate for each program. 
io^io>i r» Qi i>„ i o 
Q
f
t . rki 9 
102 STAT. 1934 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(d) LIMITATIONS.—(1) Subsection (a) shall apply only for major 
defense acquisition programs for which procurement is proposed at 
a rate of six or more units per year. 
(2) Subsection (a) shall not apply if the total procurement quantity 
has been increased, compared to the program specified in the most 
recent annual Selection Acquisition Report for that program, and 
subsection (aX2) does not apply. 
(e) REPORT ON ESTABUSHING MAXIMUM PRODUCTION RATES.—Not 
later than March 15, 1989, the Secretary of Defense shall submit to 
the Committees on Armed Services of the Senate and the House of 
Representatives a report on the feasibility and effect of establishing 
meiximum production rates by December 1990 for certain major 
defense acquisition programs. The report shall identify and discuss 
ten programs, of which seven shall be programs for the procurement 
of conventional, tactical, or dual-capable systems. 
(f) DEFINITION.—For purposes of this section, the term "major 
defense acquisition program" has the meaning given that term in 
section 2430 of title 10, United States Code. 
SEC. 118. MODIFICATIONS IN CHEMICAL DEMILITARIZATION PROGRAM 
(a) 
EXTENSION OF DEADUNE FOR COMPLETION OF PROGRAM.— 
Subsection 0)) of section 1412 of the Department of Defense 
50 use 1521. 
Authorization Act, 1986 (50 U.S.C. 1512(b)) is amended— 
(1) by striking out "September 30,1994" in paragraphs (1) and 
(3)(A) and inserting in lieu thereof "the stockpile elimination 
deadline"; 
(2) in paragraph (3XB), by striking out "within 30 days" and 
all that follows in that paragraph and inserting in lieu thereof 
"not later than the earlier of (A) 30 days after the date on which 
the decision to defer is made, or (B) 30 days before the stockpile 
elimination deadline."; and 
(3) by adding at the end the following new paragraphs: 
"(4) If the Secretary determines at any time that there will be a 
delay in meeting the requirement in paragraph (1) for the comple-
tion of the destruction of chemical weapons by the stockpile elimi-
nation deadline, the Secretary shall immediately notify the Commit-
tees on Armed Services of the Senate and House of Representatives 
of that projected delay. 
"(5) For purposes of this section, the term 'stockpile elimination 
deadline' means April 30,1997.". 
(b) REQUIREMENT FOR SUCCESSFUL COMPLETION OF OPERATIONAL 
VERIFICATION.—Such section is further amended by striking out 
subsection (k) and inserting in lieu thereof the following: 
"(k) OPERATIONAL VERIFICATION.—(1) Until the Secretary of the 
Army successfully completes (through the prove-out work to be 
conducted at Johnston Atoll) operational verification of the tech-
nology to be used for the destruction of live chemical agents and 
munitions under this section, the Secretary may not conduct any 
activity for equipment prove out and systems test before live chemi-
cal agents are introduced at a facility (other than the Johnston Atoll 
facility) at which the destruction of chemical £igent and munitions 
weapons is to take place under this section. The limitation in the 
preceding sentence shall not apply with respect to the Chemical 
.^ent Munition Disposal System in Tooele, Utah. 
Reports. 
"(2) Upon the successful completion of the prove out of the 
equipment and facility at Johnston Atoll, the Secretary of Defense 
shall submit to the Committees on Armed Services of the Senate and 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1935 
House of Representatives a report certifying that the prove out is 
completed. 
"(3) If the Secretary determines at any time that there will be a 
delay in meeting the deadline of December 31, 1990, scheduled by 
the Department of Defense for completion of the operational ver-
ification at Johnston Atoll referred to in paragraph (1), the Sec-
retary shall immediately notify the Committees of that projected 
delay.". 
SEC. 119. REPORT ON NAVY AIRCRAFT REQUIREMENTS 
Not later than December 1, 1988, the Secretary of Defense shall 
submit to Congress a detailed report on the current and projected 
requirements of the Navy for aircraft. The Secretary shall include in 
such report the following information: 
(1) The plans of the Department of Defense to alleviate exist-
ing shortfalls of Navy aircraft. 
(2) The plans of the Department of Defense to maintain or 
reduce the current average age of Navy combat aircraft. 
(3) The plans of the Department of Defense to modify Navy 
aircraft to make such aircraft effective against current and 
projected threats. 
(4) The level of funding required to carry out the plans 
referred to in paragraphs (1), (2), and (3) during fiscal years 1990 
through 1994. 
TITLE 
II—RESEARCH, 
DEVELOPMENT, 
TEST, 
AND 
EVALUATION 
PART A—AUTHORIZATIONS AND FUNDING FOR SPECIFIC PROGRAMS 
SEC. 201. AUTHORIZATION OF APPROPRIATIONS 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for the use of the Armed Forces for research, development, test, 
and evaluation, in amounts as follows: 
For the Army, $5,198,444,000. 
For the Navy (mcluding the Marine Corps), $9,383,162,000. 
For the Air Force, $14,680,825,000. 
For the Defense Agencies, $8,707,727,000, of which— 
(1) $155,900,000 is authorized for the activities of the 
Deputy Under Secretary of Defense, Test and Evaluation; 
and 
(2) $123,400,000 is authorized for the Director of Oper-
ational Test and Evaluation. 
SEC. 202. FUNDING FOR ICBM MODERNIZATION PROGRAMS 
(a) PROGRAM FUNDS.—Of the funds appropriated pursuant to sec-
tion 201 for the Air Force, the amount of $890,000,000 shall be 
available for ICBM modernization programs. 
(b) ALLOCATION.—Of the amounts specified in subsection (a)— 
(1) $40,000,000 shall be available for continued development 
and flight testing of the MX missile; 
(2) $250,000,000 shall be available for the small ICBM pro-
gram; and 
(3) $600,000,000 shall be available for the MX Rail-Garrison 
program. 
102 STAT. 1936 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(c) LIMITATION ON OBLIGATION.—Of the amount specified in subsec-
tion (bX3), the amount obligated before February 15, 1989, may not 
exceed $250,000,000. 
(d) PRESIDENTIAL REPORT.—During the period beginning on Janu-
ary 21, 1989, and ending on February 15, 1989, the President 
shall submit to the Committees on Armed Services and the Commit-
tees on Appropriations of the Senate and House of Representatives a 
report on— 
(1) anticipated obligations for the remainder of fiscal year 
1989 for the small ICBM program, the MX Rail-Garrison pro-
gram, and other ICBM modernization programs; and 
(2) the purposes those obligations are intended to accomplish. 
SEC. 
2
0
3
. 
DARPA 
NUCLEAR 
MONITORING 
PROGRAM 
Of the amount appropriated pursuant to section 201 for Defense 
Agencies, $37,600,000 shall be available only to the Defense 
Advanced Research Projects Agency for the nuclear monitoring 
program. 
SEC. 204. GRANT 
FOR 
SEMICONDUCTOR 
COOPERATIVE RESEARCH 
PROGRAM 
Of the amount appropriated pursuant to section 201 for Defense 
Agencies, $100,000,000 shall be available only to make grants under 
section 272 of Public Law 100-180. 
SEC. 205. AIRSHIP PROGRAM 
Of the amounts appropriated pursuant to section 201, the Sec-
retary of Defense may make available an amount not to exceed 
$25,000,000 for the Airship Program. 
SEC. 206. EXTENDED AIR DEFENSE 
Of the amount appropriated pursuant to section 201 for Defense 
Agencies, $25,000,000 may be obligated only upon approval of the 
Director of Defense Research and Engineering for the purpose of 
research £uid development in connection with anti-tactical missile 
systems. If any such funds are made available to a firm in an allied 
country, those funds may not be obligated until the Secretary of 
Defense enters into a cooperative program with that country for 
that purpose. 
SEC. 207. PRODUCT EVALUATION ACTIVITY 
Of the amounts appropriated pursuant to section 201, $17,500,000 
shall be available only for the product evaluation activity provided 
for under section 2369 of title 10, United States Code, as added by 
section 842 of this Act. 
SEC. 208. CHEMICAL WEAPONS CONVENTION COMPLIANCE MONITORING 
PROGRAM 
Of the amounts appropriated pursuant to section 201, $6,800,000 
shall be available only to conduct a program to develop and dem-
onstrate compliance monitoring capabilities in support of the 
Convention on the Prohibition of Chemical Weapons proposed by 
the United States in the Conference on Disarmament. 
SEC. 209. OPTOELECTRONICS MATERIALS CENTER 
Of the amounts appropriated pursuant to section 201 for Defense 
Agencies, $14,500,000 shall be available only for the establishment 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1937 
of an Optoelectronics Materials Center at a university in the United 
States and for the acquisition of associated facilities. 
PART B—PROGRAM REQUIREMENTS, RESTRICTIONS, AND LIMITATIONS 
SEC. 211. TRIDENT II MISSILE PROGRAM 
(a) TRIDENT II MISSILE.—Of the amount appropriated pursuant to 
section 201 for the Navy, $580,889,000 may be obligated only for the 
Trident II missile program. 
(b) UNDISTRIBUTED REDUCTION.—In achieving any undistributed 
reduction required to be made in programs, projects, or activities for 
which funds have been appropriated to the Department of Defense 
for fiscal year 1989, no reduction may be made in the amount of 
funds available for the Trident II missile program. 
SEC. 212. BALANCED TECHNOLOGY INITIATIVE 
(a) AMOUNTS AUTHORIZED.—Of the amounts appropriated pursu-
ant to section 201— 
(1) $263,000,000 may be obligated only for research and devel-
opment in connection with those programs, projects, and activi-
ties initiated pursuant to section 222 of the Department of 
Defense Authorization Act for Fiscal Year 1987 (Public Law 
99-661; 100 Stat. 3845) or section 215 of the National Defense 
Authorization Act for Fiscal Years 1988 and 1989 (Public Law 
100-180; 100 Stat. 1050); and 
(2) $50,000,000 may be obligated only for research and devel-
opment under the Balanced Technology Initiative and only for 
new and innovative programs, projects, and activities that have 
not been designated for funding under a provision of law re-
ferred to in clause (1). 
(b) DETERMINATION OF SOURCE OF FUNDS.—The Director of Defense 
Research and Engineering shall determine the amount of the funds 
appropriated to the Army, Navy, Air Force, and Defense Agencies 
pursuant to section 201 that are to be allocated (as provided in 
subsection (a)) for the Balanced Technology Initiative. The Director 
shall make such determination on the merits of the programs, 
projects, and activities referred to in section 215(b) of the National 
Defense Authorization Act for Fiscal Years 1988 and 1989 that are 
carried out by the Army, Navy, Air Force, and Defense Agencies, 
taking into consideration ongoing technology research and exploi-
tation opportunities. 
(c) PROHIBITION REGARDING UNDISTRIBUTED REDUCTIONS.—No por-
tion of any undistributed reduction may be applied against the 
funds allocated under subsection (a) or against any funds made 
available for the Balanced Technology Initiative that are in addition 
to the funds specified in subsection (a). 
(d) PROHIBITION ON USE OF FUNDS FOR SDI.—None of the funds 
allocated under subsection (a) may be used in connection with any 
program, project, or activity in support of the Strategic Defense 
Initiative. 
(e) REPORT.—Not later than 90 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit to the 
Committees on Armed Services and the Committees on Appropria-
tions of the Senate and House of Representatives a report on the 
implementation of this section. The report shall include the 
following: 
102 STAT. 1938 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(1) The amount allocated under subsection (a) for each pro-
gram, project, or activity and the identification of the source of 
such amount. 
(2) Identification of other ongoing research and development 
projects not provided for under this section that should be 
included in the Balanced Technology Initiative in order to 
improve conventional defense capabilities. 
(3) For each program, project, or activity for which funds have 
been allocated under subsection (a) or which is identified under 
paragraph (2), a five-year funding plan that is sufficient to 
maintain significant progress in research and development 
under such program, project, or activity, including a description 
of the m£gor milestones for each such program, project, or 
activity and the projected dates for achieving those milestones. 
SEC. 213. ADVANCED TACTICAL AIRCRAFT AND ADVANCED TACTICAL 
FIGHTER PROGRAMS 
(a) ADVANCED TACTICAL AIRCRAFT, NAVY.—Of the amounts made 
available to the Department of Defense pursuant to section 201 for 
the Advanced Tactical Aircraft p n ^ a m of the Navy, not more than 
50 percent of such amounts may be obligated or expended unless the 
Secretary of Defense certifies to Congress that the Navy has budg-
eted sufficient funds for fiscal years 1990 through 1994 to participate 
in the demonstration and validation program (including source 
selection) for the Advanced Tactical Fighter of the Air Force. 
flt)) ADVANCED TACTICAL FIGHTER, AIR FORCE.—Of the amounts 
appropriated pursuant to section 201, not more than $350,000,000 
may be obligated or expended for the Advanced Tactical Fighter 
program of the Air Force unless the Secretary of Defense certifies to 
Congress that the Air Force has budgeted sufficient funds for fiscal 
years 1990 through 1994 to participate in the full scale development 
of the Advanced Tactical Aircraft of the Navy. 
SEC. 214. AIR-TO-AIR MISSILE PROJECT OFFICE 
(a) LIMITATION.—Subject to subsection Q3), amounts appropriated 
pursuant to section 201— 
(1) may not be obligated in excess of $20,000,000 for the 
Advanced Air-to-Air Missile (AAAM) program; and 
(2) may not be obligated in excess of $10,000,000 for the 
Advanced 
Medium-Range 
Air-to-Air 
Missile 
(AMRAAM) 
program. 
(b) JOINT PROGRAM OFFICE.—Subsection (a) shall cease to apply 
upon the establishment by the Secretary of the Navy and the 
Secretary of the Air Force of a joint program office, to operate under 
the guidance of the Office of the Secretary of Defense, for co-
development of the Advanced Air-to-Air Missile and the product 
improved Advanced Medium-Range Air-to-Air Missile. 
SEC. 215. TRAINING IN ADVANCED MANUFACTURING TECHNOLOGIES 
(a) FUNDS FOR PURCHASE AND INSTALLATION OF EQUIPMENT.—Of 
the amounts appropriated pursuant to section 201, not more than 
$15,000,000 may be obligated for the purchase of high technology 
manufacturing equipment and the installation of such equipment in 
a private, nonprofit center for advanced technologies for the purpose 
of training, in a production facility, machine tool operators in skills 
critical to the defense technology base to build, operate, and main-
tain such equipment. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1939 
(b) REQUIREMENTS.—Funds may not be obligated for the purpose 
described in subsection (a) until— 
(1) the Secretary of Defense, the Secretary of Commerce, the 
Secretary of Labor, and the Secretary of Education enter into a 
memorandum of understanding concerning the participation of 
their respective departments in a project to demonstrate the 
training of machine technicians in a production facility; 
(2) the Secretary of Defense approves the obligation of such 
funds for such purpose; and 
(3) a period of 60 days elapses after the Secretary of Defense Reports. 
submits to the Committees on Armed Services of the Senate and 
House of Representatives a report that sets forth— 
(A) a detailed explemation of proposed Federal expendi-
tures, 
(B) a description of the cost-sharing arrangements be-
tween the Government agencies concerned and the private 
sector, and 
(C) a description of how the proposed program furthers 
the industrial and technologiced goals of the Department of 
Defense. 
(c) CONFORMING AMENDMENT.—Section 21903) of Public Law 100-
180 is repealed. 
loi Stat. 1054. 
SEC. 216. PROHIBITION ON OBLIGATION OF FUNDS FOR CANCELLED 
ANTISATELLITE WEAPON PROGRAM 
(a) PROHIBITION.—Residual fiscal year 1988 ASAT funds may not 
be obligated for the ASAT program. 
(\}) RESIDUAL FISCAL YEAR 1988 ASAT FUNDS DEFINED.—For pur-
poses of this section, the term "residual fiscal year 1988 ASAT 
funds" means funds in the amount of $16,000,000 which were appro-
priated to the Department of Defense for fiscal year 1988 for re-
search, development, test, and evaluation for the Air Force which— 
(1) were originally made available for the ASAT program; and 
(2) which remain available for obligation following cancella-
tion of that program by the Secretary of Defense. 
(c) ASAT PROGRAM DEFINED.—For purposes of subsections (a) and 
Ot)), the term "ASAT program" means the program of the Air Force 
to develop an F-15 launched miniature homing vehicle antisatellite 
weapon. 
SEC. 217. LONG-RANGE CONVENTIONAL CRUISE MISSILE 
(a) REPORT.—Not later than December 31, 1988, the Secretary of 
Defense shall submit to the Committees on Armed Services of the 
Senate and House of Representatives a report on the plans and 
projected expenditures for the Long-Range Conventional Cruise Mis-
sile program of the Department of Defense. 
(b) CONTENT OF REPORT.—The Secretary shall include in such 
report the following: 
(1) The 5-year funding plan for the program. 
(2) A discussion of how the program might be carried out 
under a joint entity of the military services. 
(3) A discussion of the military missions that a long-range 
conventional cruise missile would be designed to fulfill. 
(4) A list of the validated military requirements prescribed for 
a long-range conventional cruise missile. 
(5) An estimate of when a long-range conventional cruise 
missile system incorporating the most recent advances in guid-
102 STAT. 1940 
PUBLIC LAW 100-456—SEPT. 29, 1988 
ance, propulsion, mission planning, and munitions technologies 
would be ready for full-scale engineering development and test-
ing of initial operating capability. 
SEC. 218. SEEK SPINNER MISSILE PROGRAM 
Funds appropriated or otherwise made available to the Depart-
ment of Defense pursuant to this Act or any Act enacted after the 
date of the enactment of this Act may not be obligated or expended 
for the Seek Spinner Missile progfram in any configuration. 
SEC. 219. DEPRESSED-TRAJECTORY BALLISTIC MISSILES 
(a) EJsTABUSHMENT OF DEFINITION.—Not later than April 1, 1989, 
the Secretary of Defense shall prescribe a definition of what con-
stitutes a depressed trajectory for a strategic ballistic missile. The 
definition shall be prescribed in coordination with the Director of 
Central Intelligence. The Secretary shall prescribe such definition 
in specific quantitative terms so as to clearly distinguish ballistic 
missile trajectories which are depressed from other ballistic missile 
trajectories, including minimum-energy ballistic missile trggectories, 
so that if the United States and the Soviet Union mutually observe a 
policy of non-flight testing of depressed-trajectory strategic ballistic 
missiles, the observance of that policy— 
(1) would, to the maximum possible degree, reduce the poten-
tial for a short-time-of-flight attack on strategic aircraft or other 
strategic assets the survivability or effectiveness of which de-
pends on timely receipt of adequate warning of attack, but 
(2) would not significantly affect present or planned practices 
of the United States for the testing of ballistic missiles that 
are not intended for development of a depressed-trajectory 
capability. 
(b) REPORT.—Not later than April 1,1989, the Secretary of Defense 
shall submit to Congress a report on depressed-trajectory strategic 
ballistic missiles (as defined under subsection (a)), which shall be 
prepared in coordination with the Director of Central Intelligence. 
The report shall set forth the definition prescribed under subsection 
(a) and shall include each of the following: 
(1) An evaluation of the ability of the United States to mon-
itor flight tests by the Soviet Union of depressed-trajectory 
strategic ballistic missiles (as defined under subsection (a)) on 
dedicated or nondedicated test ranges. 
(2) A description of any past flight test of a ballistic missile by 
the United States or by the Soviet Union that would qualify as a 
test of a depressed-trajectory strategic ballistic missile as de-
fined under subsection (a). 
(3) An evaluation of the possibility that the Soviet Union 
could deploy depressed-trajectory ballistic missiles (as defined 
under subsection (a)) with sufficient confidence in the reliability 
of those missiles for use in an attack on the United States 
without further flight testing. 
SEC. 220. REQUIREMENT OF COMPETITION FOR AWARD OF GRANTS AND 
CONTRACTS TO COLLEGES AND UNIVERSITIES FOR CERTAIN 
PURPOSES 
(a) REQUIREMENT OF COMPETITION.—Chapter 139 of title 10, United 
States Code, is amended by inserting after section 2360 the following 
new section: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1941 
"§ 2361. Award of grants and contracts to colleges and universities: 
requirement of competition 
"(a) The Secretary of Defense may not make a grant or award a 
contract to a college or university for the performance of research 
and development, or for the construction of any research or other 
facility, unless the grant or contract is made or awarded using 
competitive procedures. 
"(b) A provision of law enacted after the date of the enactment of 
this section may not be construed as modifying or superseding the 
provisions of subsection (a) unless that provision of law specifically 
refers to this section and specifically states that such provision of 
law modifies or supersedes the provisions of this section.'. 
(b) CLERICAL AMENDMENT.—The table of sections at the beginning 
of such chapter is amended by inserting after the item relating to 
section 2360 the following new item: 
"2361. Award of grants and contracts to colleges and universities: requirement of 
competition.". 
(c) EFFECTIVE DATE.—The limitation specified in section 2361(a) of 
title 10, United States Code (as added by subsection (a)), on the 
authority of the Secretary of Defense to make grants and award 
contracts shall take effect on October 1,1989. 
PART C—STRATEGIC DEFENSE INITIATIVE 
SEC. 221. FUNDING FOR THE STRATEGIC DEFENSE INITIATIVE FOR 
FISCAL YEAR 1989 
(a) AMOUNTS AUTHORIZED.—Of the amounts appropriated pursu-
ant to section 201 or otherwise made available to the Department of 
Defense for research, development, test and evaluation for fiscal 
year 1989, not more than $3,738,000,000 may be obligated for the 
Strategic Defense Initiative. 
(b) RESTRICTION ON USE OF FUNDS.—Amounts appropriated to or 
for the use of the Department of Defense for fiscal year 1989 may 
not be used to establish a Strategic Defense System Operational Test 
and Evaluation activity. 
(c) REPORT BY SECRETARY OF DEFENSE.—Before the adjournment 
sine die of the second session of the One Hundredth Congress, the 
Secretary of Defense shall submit to the Committees on Armed 
Services and the Committees on Appropriations of the Senate and 
House of Representatives a report on the Space-Based Interceptor 
(SBI) program of the Strategic Defense Initiative. The report shall 
include a discussion of the following matters with respect to the SBI 
program: 
(1) Role of SBI in the Phase One architecture. 
(2) SBI performance in the current system concept. 
(3) SBI cost projections. 
(4) Technology progress and plans. 
(5) Launch requirements. 
(6) Other programmatic details. 
SEC. 222. REPORT ON ALLOCATION OF SDI FUNDING FOR FISCAL YEAR 
1989 
(a) REPORT.—The Secretary of Defense shall submit to the 
Committees on Armed Services and the Committees on Appropria-
tions of the Senate and the House of Representatives a report on the 
allocation of funds appropriated or otherwise made available for the 
102 STAT. 1942 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Strategic Defense Initiative for fiscal year 1989, The report shall 
specify the amount of such funds allocated for each program, 
project, or activity of the Strategic Defense Initiative within each 
appropriation account. 
(b) DEADUNE FOR REPORT.—The report required by subsection (a) 
shall be submitted not later than 90 days after the date of the 
enactment of this Act. 
SEC. 223. DEVELOPMENT AND TESTING OF ANTIBALLISTIC MISSILE 
SYSTEMS OR COMPONENTS 
(a) USE OF FUNDS.—(1) Funds appropriated to the Department of 
Defense for fiscal year 1989, or otherwise made available to the 
Department of Defense from any funds appropriated for fiscal year 
1989 or for any fiscal year before 1989, shall be subject to the 
limitations prescribed in paragraph (2). 
(2) The funds described in paragraph (1) may not be obligated or 
expended— 
(A) for any development or testing of antiballistic missile 
systems or components except for development and testing 
consistent with the development and testing described in the 
March 1988 SDIO Report; or 
(B) for the acquisition of any material or equipment (includ-
ing any long lead materials, components, piece parts, test equip-
ment, or any modified space launch vehicle) required or to be 
used for the development or testing of antiballistic missile 
systems or components, except for material or equipment re-
quired for development or testing consistent with the develop-
ment and testing described in the March 1988 SDIO Report. 
(3) The limitation under paragraph (2) shall not apply to funds 
transferred to or for the use of the Strategic Defense Initiative for 
fiscal year 1989 if the transfer is made in accordance with section 
1201 of this Act. 
(b) DEFINITION.—As used in this section, the term "March 1988 
SDIO Report" means the report entitled, "Report to Congress on the 
Strategic Defense Initiative", dated March 23,1988, prepared by the 
Strategic Defense Initiative Organization and submitted to certain 
committees of the Senate and House of Representatives pursuant to 
section 1102 of the Department of Defense Authorization Act, 1985 
(Public Law 98-525; 10 U.S.C. 2431 note). 
SEC. 224. ACCIDENTAL LAUNCH PROTECTION 
(a) FINDINGS.—Congress msikes the following findings: 
(1) The United States is a signatory to the 1972 Anti-Ballistic 
Missile Treaty. 
(2) The Soviet Union has deployed approximately 1,400 land-
based intercontinental ballistic missiles and approximately 900 
sea-based ballistic missiles. 
(3) There have been several accidents involving ballistic mis-
siles, including the loss of a submarine of the Soviet Union due 
to inadvertent missile ignition and the inadvertent landing in 
China of a test missile of the Soviet Union. 
(4) Proliferation of ballistic missile technology, such as the 
action of the People's Republic of China in providing ballistic 
missiles to Saudi Arabia, raises the possibility of future nuclear 
threats. 
(b) SENSE OF CONGRESS.—It is the sense of (Dongress— 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1943 
(1) that the Secretary of Defense should direct the Strategic 
Defense Initiative Organization to give priority to development 
of technologies and systems for a system capable of protecting 
the United States from the accidental launch of a strategic 
ballistic missile against the continental United States; and 
(2) that such development of an accidental launch protection 
system should be carried out with an objective of ensuring that 
such system is in compliance with the 1972 Anti-Ballistic Mis-
sile Treaty. 
(c) REPORT.—Not later than March 1, 1989, the Secretary of 
Defense shall submit to Congress a report on the status of planning 
for development of a deployment option for such an accidental 
launch protection system. 
PART D—STRATEGIC PROGRAMS 
SEC. 231. B-IB BOMBER PROGRAM 
(a) CONDITION ON OBUGATION OF FUNDS.—The Secretary of De- Reports. 
fense may not obligate funds appropriated for fiscal year 1989 for 
enhancements or mission-specific equipment or modifications for 
the B-IB aircraft until the Secretary submits to the Committees on 
Armed Services of the Senate and House of Representatives the 
report required by section 243(eX3) of Public Law 100-180 (101 Stat. 
1064). After that report is submitted, funds may be obligated for 
such purposes only as specifically authorized by law. 
O
t
>
) REPORT ON ENHANCEMENT PROGRAM.—(1) The Secretary of 
Defense shall submit to the Committees on Armed Services of the 
Senate and House of Representatives a report setting forth— 
(A) the total cost— 
(i) of fixing any discrepancies in the baseline; and 
(ii) of the enhancements planned or programmed for the 
B-IB aircraft; and 
(B) a description of each type of such fix or enhancement. 
(2) Such report shall be submitted in conjunction with the submis-
sion of the President's budget for fiscal year 1990 pursuant to 
section 1105 of title 31, United States Code. 
(c) EXPLORATION OF ALTERNATIVE ELECTRONIC WARFARE SYS-
TEMS.—Of the amounts appropriated to the Air Force pursuant to 
section 201, the sum of $15,000,000 shall be available only for the 
purpose of conducting a preliminary evaluation of whether existing 
electronic warfare systems could be used to replace portions of the 
ALQ-161 system of the B-IB aircraft in the event that the current 
plan of the Air Force for recovery of that system fails to achieve the 
desired results. 
SEC. 
2
3
2
. 
ADVANCED 
TECHNOLOGY 
B-2 
BOMBER 
PROGRAM 
(a) PROGRAM MANAGEMENT INITIATIVE.—The Secretary of Defense 
shall require that the cost, performance, and management initiative 
for the Advanced Technology B-2 Bomber program established 
pursuant to section 121 of Public Law 100-180 (101 Stat. 1040) 
include the creation of a full performance matrix. 
0^) GAO COST REVIEW.—(1) The Comptroller General of the United 
States shall review the costs of the Advanced Technology Bomber 
program. In reviewing such costs, the Comptroller General shall act 
independently of the Department of Defense. 
(2XA) The Secretary of Defense shall ensure that the Comptroller 
General is given direct, full, and timely access to all information and 
102 STAT. 1944 
PUBLIC LAW 100-456—SEPT. 29, 1988 
materials specified in subparagraph (B) in order for the Comptroller 
General to carry out the cost review required by paragraph (1). 
(B) Information and materials referred to in subparagraph (A) are 
information and materials that are held by, or otherwise available 
to, the Department of Defense (including the Department of the Air 
Force) or any contractor for the Advanced Technology Bomber 
program (including any subcontractor) and that are required by the 
Secretary of the Air Force for the purpose of performing the re-
quired Independent Cost Analysis of the Advanced Technology 
Bomber program and by the Secretary of Defense for the purpose of 
performing the Cost Analysis Improvement Group review of that 
program. 
Reports. 
(3) The Comptroller General shall submit a report on the program 
cost review under this subsection to the Armed Services Committees 
not later than March 1,1989. 
(c) REPORT ON TOTAL PROGRAM COST.—The Secretary of Defense 
shall submit to Congress a report setting forth the total program 
cost, in constant and in current dollars, of the Advanced Technology 
B-2 Bomber program. Such report shall be submitted not later than 
March 1,1989. 
(d) COST MONITORING AND TRACKING.—The Secretary of Defense, 
acting through the Under Secretary of Defense for Acquisition, shall 
conduct an evaluation of the current system for monitoring and 
tracking costs for the Advanced Technology Bomber program and 
Reports. 
shall prepare an assessment of that system. Not later than March 1, 
1989, the Secretary shall submit to the Armed Services Committees 
a report setting forth the Secretary's findings, based upon such 
evaluation and assessment, with respect to that system and any 
recommendations of the Secretary for improving that system. 
(e) DEFINITION.—For purposes of this section, the term "Armed 
Services Committees" meeuis the Committees on Armed Services of 
the Senate and House of Representatives. 
SEC. 233. SENSE OF CONGRESS ON STRATEGIC MISSILE MODERNIZATION 
PROGRAMS 
It is the sense of Congress that the authorization of funds in this 
Act for research and development for both the small interconti-
nental ballistic missile system (the so-called Midgetman system) and 
for the rail-garrison MX system does not constitute a commitment 
or express an intent by Congress to provide funds to procure and 
deploy the Midgetman missile or to deploy any MX missiles in a 
rail-garrison basing mode or both. 
PART E—OTHER PROGRAMS 
SEC. 
2
4
1
. 
ADVANCED 
SUBMARINE 
TECHNOLOGY 
PROGRAM 
(a) FISCAL YEAR 1989 FUNDING.—(1) Of the amount appropriated 
pursuant to section 201 for Defense Agencies, the Secretary of 
Defense shall make $65,000,000 available only for the purpose of 
continuing the Advanced Submarine Technology Program initiated 
in section 211 of Public Law 100-180 (101 Stat. 1048). Amounts 
appropriated for such purpose for fiscal year 1989 may be used only 
for that program. 
(2) The Secretary of Defense may use funds appropriated for fiscal 
year 1989 for such program only— 
(A) for submarine hull, mechanical, and electrical tech-
nologies; and 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1945 
(B) for nonnuclear propulsion technologies. 
(3) Funds appropriated for fiscal year 1989 for such prc^am may 
be used for research relating to the effect on submarine design of 
weapons, sensors, or communications equipment, but may not be 
used for research on weapons, sensors, or 
communications 
equipment. 
(4) Funds appropriated for fiscal year 1989 for such program may 
be used only for exploratory development, advanced technology 
^ 
development, and (as necessary) basic research to support the over-
all objectives of the program. 
(Jb) PURPOSE OF PROGRAM.—(1) Congress established the Advanced 
Submarine Technology Program in light of the large amount of 
activity by the Soviet Union in the area of naval submarines and the 
declining advantage of the United States in submarine technology. 
(2) The purpose of the Advanced Submarine Technology Program 
is to explore innovative state-of-the-art technologies for advanced 
submarines and to augment the existing United States submarine 
technology base in order to establish a sound and increasing sub-
marine technolc^y base. 
(3) Congress recognizes that research and development activities 
with respect to submarine weapons and sensors and high density 
innovative and advanced nuclear plant systems are necessary and 
important. However, in light of the purpose of the program to 
augment the submarine technology base, Congress has in this sec-
tion provided separate authorization for funding to augment the 
technology base for submarine hull, mechanical, and electrical 
systems. 
(4) Section 211(a) of Public Law 100-180 is amended— 
lOi Stat. 1048. 
(A) by striking out the second and third sentences of para-
graph (1); and 
(B) by striking out paragraph (2). 
(c) MANAGEMENT OF PROGRAM BY DARPA.—In carrying out 
the 
provisions of section 211(a) of Public Law 100-180 that the Advanced 
Submarine Technology Program be carried out through the Direc-
tor, Defense Advanced Research Projects Agencies (DARPA), the 
Secretary of Defense shall provide that the overall management of 
the execution of such program, including the administration of 
funds appropriated for the program, be vested in the Director. In 
managing such program, the Director shall take into consideration 
the advice of the advisory board established pursuant to congres-
sional direction as part of the fiscal year 1988 budget process. 
(d) FIVE-YEAR PLAN.—(1) Not later than October 31, 1988, the Reports. 
Secretary of Defense shall submit to the Committees on Armed 
Services of the Senate and House of Representatives a report setting 
forth a detailed five-year plan for the Advanced Submarine Tech-
nology Program. The plan shall update the report submitted pursu-
ant to section 21103X1) of Public Law 100-180. 
(2) The report under paragraph (1) shall include the following: 
(A) Identification of each of the technologies to be studied or 
developed under the program. 
(B) With respect to each of the technologies to be developed— 
(i) identification of responsibility for the execution of the 
program and the management of the program; and 
(ii) milestones for obligating funds under the program 
and for major program reviews under the program. 
(3) Section 21103X2) of Public Law 100-180 is repealed. 
102 STAT. 1946 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(e) ANNUAL REPORTS.—Not later than December 1 of each of the 
years 1989 through 1994, the Secretary of Defense shall submit to 
the Committees on Armed Services of the Senate and House of 
Representatives a report on the Advanced Submarine Technology 
Program. Each report shall describe— 
(1) the activities carried out under the program during the 
preceding fiscal year; 
(2) the obligation of funds for the program during that fiscal 
year; 
(3) activities accomplished under the program during that 
fiscal year; 
(4) ongoing activities under the program; and 
(5) major decisions made by the Director of the Defense 
Advanced Research Projects Agency that were not supported by 
the advice of the advisory board referred to in subsection (c) and 
the reasons why the decisions were so made. 
Each such report shall also describe how the matters set forth in 
paragraphs (1) through (4) meet the criteria established in the five-
year plan for the program set out in the report under subsection (d). 
(f) PROGRAM DURATION.—In providing funds under this section for 
the Advanced Submarine Technology Program for fiscal year 1989, 
Congress expects that the program will be continued in the five-year 
defense plan of the Secretary of Defense and that the management 
of the program will continue to be executed through the Defense 
Advanced Research Projects Agency for an additional three-to-five 
years. 
(g) PROHIBITION ON CONTRACTOR MANAGEMENT.—The Director, 
Defense Advanced Research Projects Agency, may not carry out the 
Advanced Submarine Technology Program through obligation of all 
funding to a single contractor or through the use of management by 
a single public or private shipyard. The Director, in allocating funds 
under the program and in light of the purposes of the program, shall 
seek to obligate funds to a wide variety of recipients. 
SEC. 242. PROHIBITION ON TESTING ELECTROMAGNETIC PULSE IN 
CHESAPEAKE BAY 
The Secretary of the Navy may not carry out an electromagnetic 
pulse program in the Chesapeake Bay area in connection with the 
Electromagnetic Pulse Radiation Environment Simulator Program 
for Ships (EMPRESS II). 
SEC. 
243. 
REPORT 
ON 
SPACE 
CONTROL 
CAPABILITIES 
(a) REPORT.—Not later than the date on which the President 
submits the budget for fiscal year 1990 to Congress under section 
1105 of title 31, United States Code, the Secretary of Defense shall 
submit to the Committees on Armed Services of the Senate and the 
House of Representatives a comprehensive report on space control 
capabilities of the Armed Forces. 
(b) CONTENT OF REPORT.—The report shall include the following 
matters: 
(1) A description of requirements for space control capabilities 
related to deterrence and warfighting objectives, including 
space surveillance and anti-satellite capabilities, that have been 
validated by the Chairman of the Joint Chiefs of Staff and 
transmitted to the commander of the United States Space 
Command. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1947 
(2) A net assessment of the space control capabilities of the 
United States and the Soviet Union. 
(3) An assessment of current deficiencies in United States 
space control capabilities and recommendations for overcoming 
those deficiencies. 
(4) A 5-year plan for improving ground- and space-based 
surveillance systems and their associated command, control, 
and communications systems and the cost and schedule for 
implementing the plan. 
SEC. 244. REPORT ON COMPETITION FOR DEVELOPMENT OF ADVANCED 
TACTICAL RECONNAISSANCE SYSTEM 
Not later than 90 days after the date of the enactment of this Act, 
the Secretary of the Air Force shall submit to Congress a report 
outlining the plans of the Secretary for establishing, to the maxi-
mum extent practicable, competition in the development and 
Production of components for the Advance Tactical Reconnaissance 
ystem. 
TITLE III—OPERATION AND MAINTENANCE 
PART A—AUTHORIZATIONS OF APPROPRIATIONS 
SEC. 301. OPERATION AND MAINTENANCE FUNDING 
(a) IN GENERAL.—Funds are hereby authorized to be appropriated 
for fiscal year 1989 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: 
For the Army, $22,103,900,000. 
For the Navy, $24,852,100,000. 
For the Marine Corps, $1,817,000,000. 
For the Air Force, $21,855,600,000. 
For the Defense Agencies, $7,685,400,000. 
For the Army Reserve, $794,900,000. 
For the Naval Reserve, $979,200,000. 
For the Marine Corps Reserve, $77,500,000. 
For the Air Force Reserve, $1,033,900,000. 
For the Army National Guard, $1,801,200,000. 
For the Air National Guard, $1,971,000,000. 
For the National Board for the Promotion of Rifle Practice, 
$4,300,000. 
For the Court of Military Appeals, $3,500,000. 
For Environmental Restoration, Defense, $500,000,000. 
For Humanitarian Assistance, $13,000,000. 
O
t
>
) GENERAL AUTHORIZATION FOR CONTINGENCIES.—There are 
au-
thorized to be appropriated for fiscal year 1989, in addition to the 
amounts authorized to be appropriated in subsection (a), such sums 
as may be necessary— 
(1) for unbudgeted increases in fuel costs; and 
(2) for unbudgeted increases as the result of inflation in the 
cost of activities authorized by subsection (a). 
SEC. 302. WORKING CAPITAL FUNDS 
Funds are hereby authorized to be appropriated for fiscal year 
1989 for the use of the Armed Forces and other activities and 
102 STAT. 1948 
PUBLIC LAW 100-456—SEPT. 29, 1988 
gigencies of the Department of Defense for providing capital for 
working-capital funds in amounts as follows: 
For the Army Stock Fund, $291,900,000. 
For the Navy Stock Fund, $184,700,000. 
For the Air Force Stock Fund, $186,900,000. 
For the Defense Stock Fund, $25,000,000. 
SEC. 303. HUMANITARIAN ASSISTANCE 
(a) PURPOSE.—The amount authorized in section 301 for humani-
tarian assistance shall be used for the purpose of providing transpor-
tation for humanitarian relief for persons displaced or who are 
refugees because of the invasion of Afghanistan by the Soviet Union. 
Of the amount authorized in such section for such purpose, not more 
than $3,000,000 may be used for distribution of humanitarian relief 
supplies to the non-Communist resistance organization at or near 
the border between Thailand and Cambodia. 
(b) AUTHORITY TO TRANSFER FUNDS.—The Secretary of Defense 
may transfer to the Secretary of State not more than $3,000,000 of 
the funds appropriated pursuant to the authorization in section 301 
for humanitarian assistance to provide for (1) pajdng for administra-
tive costs of providing the transportation describBd in subsection (a), 
and (2) the purchase or other acquisition of transportation assets for 
the distribution of relief supplies in the country of destination. 
(c) TRANSPORTATION UNDER DIRECTION OF THE SECRETARY OF 
STATE.—Transportation provided with funds appropriated pursuant 
to the authorization in section 301 for humanitarian assistance shall 
be under the direction of the Secretary of State. 
(d) MEANS OF TRANSPORTATION TO BE USED.—Transportation for 
humanitarian relief provided with funds appropriated pursuant to 
the authorization in section 301 for humanitarian assistance shall 
be by the most economical commercial or military means available, 
unless the Secretary of State determines that it is in the national 
interest of the United States to use means other than the most 
economical means available. Such means may include the use of 
aircraft and personnel of the reserve components of the Armed 
Forces. 
(e) AVAILABILITY OF FUNDS.—Amounts appropriated pursuant to 
the authorization in section 301 for humanitarian assistance shall 
remain available until expended, to the extent provided in appro-
priation Acts. 
(£) REPORTS.—The Secretary of Defense shall submit to the 
Committees on Armed Services and Foreign Relations of the Senate 
and the Committees on Armed Services and Foreign Affairs of the 
House of Representatives a report not later than 60 days after the 
date of the enactment of this Act. The Secretary shall also submit a 
report to those committees not later than June 1,1989, and not later 
th£ui June 1 of each year thereafter, until all funds available under 
this section have been obligated. Each such report shall contain 
(as of the date on which the report is submitted) the following 
information: 
(A) The total amount of funds obligated for humanitarian 
relief under the humanitarian relief laws specified in paragraph 
(2). 
(B) The number of scheduled and completed flights for pur-
poses of providing humanitarian relief under the humanitarian 
relief laws specified in paragraph (2). 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1949 
(C) A description of any transfer (including to whom the 
transfer is made) of excess nonlethal supplies of the Department 
of Defense made available for humanitarian relief purposes 
under section 2547 of title 10, United States Code. 
(2) The humanitarian relief laws referred to in paragraph (1) are 
the following: 
(A) This section. 
(B) Section 331 of the National Defense Authorization Act for 
Fiscal Year 1987 (Public Law 99-661; 100 Stat. 3856). 
(C) Section 331 of the National Defense Authorization Act for 
Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 1078). 
SEC. 304. TRIPLLR ARMY MEDICAL CENTER 
The Secretary of the Army shall establish, during fiscal year 1989, 
a video teleconferencing center at the Tripler Army Medical Center, 
Hawaii. 
SEC. 305. ASSISTANCE TO THE 1990 GOODWILL GAMES 
(a) AUTHORITY TO PROVIDE ASSISTANCE.—The Secretary of Defense 
may provide logistical support and personnel services to Federal, 
State, and local governmental entities in connection with the 1990 
Goodwill Games to be held at Seattle, Washington. Except as pro-
vided in subsection (b), such support and services shall be provided 
by the Secretary on a reimbursable basis. 
(b) REIMBURSEMENT WAIVER.—(1) The Secretary may waive the 
requirement for reimbursement for logistical support and personnel 
services provided under this section to ensure the security of persons 
and property in connection with such games if— 
(A) the Attorney General of the United States certifies to the 
Secretary that there are significant potential threats to the 
security of persons or property, or both, at such games and that 
other Federal entities and the State and local entities concerned 
do not have the capability to deal adequately with such poten-
tial threats; and 
(B) the Attorney General recommends that the requirement 
for reimbursement for assistance under this section be waived 
because— 
(i) such assistance is necessary to provide the degree of 
security that is essential in the national interest; and 
(ii) unusual circumstances for such assistance make it 
impractical for other Federal entities or the State or local 
entities concerned to reimburse the Secretary for such 
assistance. 
(2) Waivers under paragraph (1) shall be made by the Secretary on 
a case-by-case basis. 
(c) AUTHORIZATION.—There is authorized to be appropriated for 
fiscal year 1989 the amount of $5,000,000 for the purpose of carrying 
out this section. 
(d) RESTRICTION ON FUNDS.—Funds made available to or for the 
use of the Department of Defense may not be used to provide 
logistical support or personnel services in connection with the Good-
will Geunes referred to in subsection (a) unless such funds have been 
specifically appropriated for such purpose. 
(e) COMPUTATION OF AMOUNTS.—In computing the amount that 
has been expended in carrying out the provisions of this section, the 
Secretary shall include the pay and allowances of members of 
reserve components of the Armed Forces called or ordered to active 
Hawaii. 
Washington. 
102 STAT. 1950 
PUBLIC LAW 100-456—SEPT. 29, 1988 
duty (including active duty for training) to provide support for the 
Goodwill Games referred to in subsection (a), but shall exclude 
the pay and nontravel related allowances of other members of 
the Armed Forces serving on active duty. 
SEC. 306. INAUGURATION ASSISTANCE 
(a) FURNISHING OF MATERIAUS, SUPPUES, AND SERVICES.—During 
fiscal year 1989, the Secretary of Defense may, as the Secretary 
determines to be appropriate and under such conditions as the 
Secretary may prescribe, lend materials or supplies and provide 
materials, supplies, or services of personnel to the Inaugural 
Committee established under the first section of the Presidential 
Inaugural Ceremonies Act (36 U.S.C. 721 et seq.) or to the joint 
committee described in section 9 of that Act. 
(b) ADDITIONAL AUTHORITY.—The authority provided by subsection 
(a) is in addition to the authority provided by section 2543 of title 10, 
United States Code. 
SEC. 307. ENHANCEMENT OF CAPABILITY TO COMBAT FRAUD, WASTE, 
AND ABUSE 
In order to enhance the capability of the Department of Defense 
to combat fraud, waste, and abuse and to assist in restoring public 
confidence in the defense acquisition process, the Secretary of De-
fense, not later than September 30,1989, shall— 
(1) increase the number of audit and support personnel as-
signed within the Office of the Inspector General of the Depart-
ment of Defense to the Assistant Inspector General for Audit 
from 550 personnel (as assumed in the President's amended 
budget request for fiscal year 1989) to not less than 657; and 
(2) increase the number of audit and support personnel as-
signed to the Defense Contract Audit Agency from 6,439 (as 
assumed in the President's amended budget request for fiscal 
year 1989) to not less than 7,007. 
PART B—LIMITATIONS 
SEC. 311. PROHIBITION ON FINANCING CERTAIN ACTIVITIES BY DIRECT 
APPROPRIATIONS 
(a) PROHIBITION.—During fiscal year 1989, the Secretary of the 
Navy may not take any action with respect to converting or plan-
ning the conversion of the operation of an activity specified in 
subsection (b) from operation as an activity financed by the Naval 
Industrial Fund (as authorized by section 2208 of title 10, United 
States C!ode) to operation as an activity finsmced by direct appro-
priations. 
(b) ACTIVITIES (DOVERED.—An activity referred to in subsection (a) 
is any of the following: 
(1) Naval Avionics Center, Indianapolis, Indiana. 
(2) Naval Civil Engineering Laboratory, Port Hueneme, 
California. 
(3) Naval Air Engineering Center, Lakehurst, New Jersey. 
SEC. 312. PROHIBITION ON JOINT USE OF DOBBINS AIR FORCE BASE 
WITH CIVIL AVIATION 
The Secretary of the Air Force may not enter into an agreement 
that would provide for or permit the joint use of Dobbins Air Force 
Base, Marietta, Georgia, by the Air Force and civil aircraft. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1951 
SEC. 313. PROHIBITION ON PURCHASE OF TOSHIBA PRODUCTS FOR 
50 USC app. 
RESALE IN MILITARY EXCHANGE STORES 
2410a note. 
(a) PROHIBITION.—During the three-year period beginning on the 
date of the enactment of this Act, no product manufactured or 
assembled by Toshiba America, Incorporated, or Toshiba Corpora-
tion (or any of its affiliates or subsidiaries) may be purchased by the 
Department of Defense for the purpose of resale of such product in a 
military exchange store or in any other morale, welfare, recreation, 
or resale activity operated by the Department of Defense (either 
directly or by concessionaire). 
(b) EXCEPTION.—The prohibition in subsection (a) shall not apply 
to microwave ovens manufactured or assembled in the United 
States. 
SEC. 314. LIMITATION ON FUNDING FOR UNITED STATES SOUTHERN 
COMMAND AIRLIFT 
Funds appropriated for operation and maintenance for the Air 
Force for fiscal year 1989 may not be obligated or expended in 
connection with any contract for aircraft with short takeoff and 
landing capability until— 
(1) the Secretary of Defense approves a requirements docu-
ment and an acquisition plan, including costs and schedule 
information, for an aircraft with short takeoff and landing 
capability for the United States Southern Command; and 
(2) the Secretary of Defense submits both the document and 
the plan to the Committees on Armed Services of the Senate 
and the House of Representatives. 
SEC. 315. ONE-YEAR EXTENSION OF LIMITATION ON ARMY DEPOT 
MAINTENANCE FUNDING 
(a) ONE-YEAR EXTENSION.—Section 314 of the National Defense 
Authorization Act for Fiscal Years 1988 and 1989 (Public Law 
100-180; 101 Stat. 1074) is amended— 
(1) in subsection (a), by striking out "fiscal year 1988" and 
inserting in lieu thereof "fiscal year 1989"; and 
(2) in subsection (bXlXC), by striking out "fiscal year 1989" 
and inserting in lieu thereof "fiscal year 1990". 
OD) EFFECTIVE DATE.—The amendments made by subsection (a) 
shall take effect on October 1,1988. 
SEC. 316. OPERATION OF SR-71 DEPOT REWORK FACILITY 
The Secretary of the Air Force shall ensure that the facility used 
for depot support and rework for the SR-71 fleet of aircraft at 
Palmdale, California, shall remain operational through Septem-
ber 30,1989. 
SEC. 317. MANAGEMENT OF CIVILIAN PERSONNEL DURING FISCAL 
YEARS 1989 AND 1990 
(a) 
PROHIBITION ON MANAGEMENT BY END-STRENGTH.—During 
fiscal years 1989 and 1990, the civilian personnel of the Department 
of Defense may not be managed on the basis of any end-strength or 
any similar or related methodology, and the management of such 
personnel during that fiscal year shall not be subject to any con-
straint or limitation (known as an "end-strength") on the number of 
such personnel who may be employed on the last day of such fiscal 
year. 
California. 
102 STAT. 1952 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(b) WAIVER OF CIVIUAN PERSONNEL CEIUNGS.—Section 115(b)(2) of 
title 10, United States Code, shall not apply with respect to fiscal 
years 1989 and 1990 or with respect to the appropriation of funds for 
that year. 
(c) SEMIANNUAL REPORTS.—The Secretary of Defense shall submit 
to the Cllommittees on Armed Services of the Senate and House of 
Representatives semiannual reports on the obligation of funds 
appropriated for civilian personnel of the Department of Defense for 
fiscal years 1989 and 1990. Each report shall include— 
(1) for each appropriation account, the amounts authorized 
and appropriated for such personnel for fiscal years 1989 and 
1990; and 
(2) for each appropriation account and for the entire Depart-
ment— 
(A) the actual number of such personnel employed, and 
the amount of funds obligated for such personnel, as of the 
end of each six-month period described in the report; and 
(B) the projected number of such personnel to be 
employed, and amount of funds that will be obligated for 
such personnel, as of the end of each of fiscal years 1989 
and 1990. 
SEC. 318. LIMITATION ON OPERATION OF EXISTING POSEIDON CLASS 
SUBMARINES U.S.S. JAMES MONROE AND U.S.S. HENRY CLAY 
Effective as of September 1, 1989, no funds appropriated to the 
Department of Defense for fiscal year 1989 or a prior year may be 
obligated or expended— 
(1) to overhaul, operate, or deploy the U.S.S. Henry Clay 
(SSBN 625), except that such funds may be obligated or 
expended after such date for the operation of such vessel (A) for 
crew training in port, and (B) for a short underway trial before 
such vessel proceeds to the inactivating port; or 
(2) to overhaul, operate, maintain, or deploy the U.S.S. James 
Monroe (SSBN 622). 
PART C—PERMANENT LAW CHANGES 
Contracts. 
SEC. 321. LIMITATION ON PRIVATE OPERATION OF COMMISSARY STORES 
Section 2482 of title 10, United States Code, is amended by adding 
at the end the following new sentences: "A contract with a private 
person for the operation of any commissary store may not require or 
permit the contractor to carry out functions for the procurement of 
products to be sold in the store or to engage in functions relating to 
the overall m£inagement of a commissary system or the manage-
ment of any such store. Such functions shall be carried out by 
personnel of the Department of Defense under regulations approved 
by the Secretary of Defense.". 
SEC. 322. ALLOWABLE COSTS WITH RESPECT TO CERTAIN SERVICE CON-
TRACTS PERFORMED OVERSEAS 
(a) CERTAIN SEVERANCE PAY COSTS NOT ALLOWABLE.—Section 
2324(eXl) of title 10, United States Code, is amended by adding at 
the end the following new subparagraph: 
"(M) Costs of severance pay paid by the contractor to foreign 
nationals employed by the contractor under a service contract 
performed outside the United States, to the extent that the 
amount of severance pay paid in any case exceeds the amount 
-•ps^t: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1953 
paid in the industry involved under the customary or prevailing 
practice for firms in that industry providing similar services in 
the United States, as determined under regulations prescribed 
by the Secretary of Defense.", 
(b) EFFECTIVE DATE.—Subparagraph (M) of section 2324(eXl) of 
lo use 2324 
title 10, United States Code, as added by subsection (a), shall apply note. 
with respect to any contract entered into after the end of the 180-
day period b^inning on the date of the enactment of this Act. 
SEC. 323. AUTHORITY TO CONTINUE SUPPORT OF SCOUTING ACTIVITIES 
OVERSEAS 
(a) AUTHORITY.—Chapter 155 of title 10, United States Code, is 
smiended by adding at the end the following new section: 
"§2606. Scouting: cooperation and assistance in foreign areas 
"(a) Subject to subsection 0)), the Secretary concerned may 
cooperate with and assist qualified scouting organizations in 
establishing and providing facilities and services for members of the 
armed forces and their dependents, and civilian employees of the 
Department of Defense and their dependents, at locations outside 
the United States. 
"(b) Cooperation and assistance under subsection (a) shall be Regulations. 
provided under r^ulations prescribed by the Secretary of Defense 
and may be provided only if the President determines that such 
cooperation and assistance is necessary in the interest of the morale, 
welfare, and recreation of members of the armed forces. 
"(c) Personnel of a qualified scouting organization, including offi-
cials certified by that organization as representing that organiza-
tion, who are performing duties in connection with cooperation and 
assistance provided under subsection (a) may be furnished— 
"(1) transportation at the expense of the United States while 
traveling to and from, and while performing, such duties in the 
same manner as civilism employees of the United States; and 
"(2) available office space (including space for recreational 
activities for Boy Scouts and Girl Scouts), warehousing, utilities, 
and a means of communication, without charge. 
"(d) Supplies of a qualified scouting organization may be trans-
ported at the expense of the United States if the Secretary con-
cerned determines, under regulations prescribed under subsection 
(b), that the supplies are necessary to the cooperation and assistance 
provided under this section. 
"(e) The Secretary concerned may reimburse a qualified scouting 
organization for all or part of the pay of an employee of that 
organization for any period during which the employee was perform-
ing services under subsection (a). Any such reimbursement may not 
be made from appropriated funds and shall be made under regula-
tions prescribed under subsection (b). 
"(f) For the purposes of this section, employees of a qualified 
scouting organization performing services under subsection (a) may 
not be considered to be employees of the United States. 
"(g) In this section, the term 'qualified scouting organization' 
means the Girl Scouts of the United States of America smd the Boy 
Scouts of America.". 
(b) C!!LERICAL AMENDMENT.—The table of sections at the beginning 
of such chapter is amended by adding at the end the following new 
item: 
"2606. Scouting: cooperation and assistance in foreign areas.". 
102 STAT. 1954 
PUBLIC LAW 100-456—SEPT. 29, 1988 
SEC. 324. TRANSFERS AND EXCHANGES OF 
CERTAIN DOCUMENTS, 
HISTORICAL ARTIFACTS, AND CONDEMNED AND OBSOLETE 
COMBAT MATERIEL 
(a) AUTHORITY.—Section 2572 of title 10, United States Code, is 
amended to read as follows: 
*'§ 2572. Documents, historical artifacts, and condemned or obso-
lete combat materiel: loan, gift, or exchange 
"(a) The Secretary concerned may lend or give items described in 
subsection (c) that are not needed by the military department 
concerned (or by the Coast Guard, in the case of the Secretary of 
Transportation), to any of the following: 
"(1) A municipal corporation. 
"(2) A soldiers' monument association. 
"(3) A museum, historical society, or historical institution of a 
State or a foreign nation. 
"(4) An incorporated museum that is operated and main-
tained for educational purposes only and the charter of which 
denies it the right to operate for profit. 
"(5) A post of the Veterans of Foreign Wars of the United 
States or of the American Legion or a unit of any other recog-
nized war veterans' association. 
"(6) A local or national unit of any war veterans' association 
of a foreign nation which is recognized by the national govern-
ment of that nation (or by the government of one of the prin-
cipal political subdivisions of that nation). 
"(7) A post of the Sons of Veterans Reserve. 
"(bXD Subject to paragraph (2), the Secretary concerned may 
exchange items described in subsection (c) that are not needed by 
the armed forces for similar items held by any individual, organiza-
tion, institution, gigency, or nation. 
"(2) The Secretary concerned may not make an exchange under 
paragraph (1) unless the monetary value of property transferred to 
the United States under the exchsmge is not less than the value of 
the property transferred by the United States. The Secretary con-
cerned may waive the limitation in the preceding sentence in any 
case in which the Secretary determines that the item to be received 
by the United States in the exchange will significantly enhance the 
historical collection of the property administered by the Secretary. 
"(c) This section applies to the following t3T)es of property held by 
a military department or the Coast Guard: books, manuscripts, 
works of art, historical artifacts, drawings, pl£uis, models, and con-
demned or obsolete combat materiel. 
"(dXD A loan or gift made under this section shall be subject to 
regulations prescribed by the Secretary concerned and to regula-
tions under section 205 of the Federal Property and Administrative 
Services Act of 1949 (40 U.S.C. 486). 
"(2) The United States may not incur any expense in connection 
with a loan or gift under subsection (a).". 
(b) CLERICAL AMENDMENT.—The item relating to such section in 
the table of sections at the beginning of chapter 153 of such title is 
amended to read as follows: 
"2572. Documents, historical artifacts, and condemned or obsolete combat materiel: 
loan, gift, or exchange.". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1955 
SEC. 325. QUALIFICATIONS FOR HEAD OF AUDITING FUNCTION IN MILI-
TARY DEPARTMENTS 
(a) DEPARTMENT OF THE ARMY.—Section 3014(c) of title 10, United 
States Code, is amended by adding at the end the following new 
paragraph: 
"(5) The head of the office or other entity established or des-
ignated by the Secretary to conduct the auditing function shall have 
at least five years of professional experience in accounting or audit-
ing. The position shall be considered to be a career reserved position 
as defined in section 3132(aX8) of title 5.". 
(b) DEPARTMENT OF THE NAVY.—Section 5014(c) of title 10, United 
States Code, is amended by adding at the end the following new 
paragraph: 
"(5XA) The head of the office or other entity established or 
designated by the Secretary to conduct the auditing function shall 
have at least five years of professional experience in accounting or 
auditing. The position shall be considered to be a career reserved 
position as defined in section 3132(aX8) of title 5. 
"(B) The position of regional director within such office or entity, 
and any other position within such office or entity the primary 
responsibilities of which are to carry out supervisory functions, may 
not be held by a member of the armed forces on active duty.". 
(c) DEPARTMEJ^ OF THE AIR FORCE.—Section 8014(c) of title 10, 
United States Code, is amended by adding at the end the following 
new paragraph: 
"(5) The head of the office or other entity established or des-
ignated by the Secretary to conduct the auditing function shall have 
at least five years of professioned experience in accounting or audit-
ing. The position shall be considered to be a career reserved position 
as defined in section 3132(aX8) of title 5.". 
(d) EFFECTIVE DATES.—(1) The requirements of sections 3014(cX5), lo use 5014 
5014(cX5XA), and 8014(cX5) of title 10, United States Code (as added note. 
by subsections (a), (b), and (c), respectively), shall apply with respect 
to any person appointed on or after the date of the enactment of this 
Act as the head of the office or other entity designated for conduct-
ing the auditing function in a military department. 
(2) Subparagraph (B) of section 5014(cX5) of title 10, United States 
Code (as added by subsection (b)), shall take effect at the end of the 
one-year period beginning on the date of the enactment of this Act. 
SEC. 326. PROHIBITION ON CERTAIN DEPOT MAINTENANCE WORKLOAD 
COMPETITIONS 
(a) IN GENERAL.—Chapter 146 of title 10, United States Code, is 
amended by adding at the end the following new section: 
"§2466. Prohibition on certain depot maintenance workload 
competitions 
"The Secretary of Defense may not require the Secretary of the 
Army or the Secretary of the Air Force, in selecting an entity to 
perform any depot maintenance workload, to carry out a competi-
tion for such selection— 
"(1) between or among maintenance activities of the Depart-
ment of the Army and the Department of the Air Force; or 
"(2) between a maintenance activity of either such depart-
ment and a private contractor.". 
102 STAT. 1956 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(b) CLERICAL AMENDMENT.—^The table of sections at the b a n n i n g 
of such chapter is amended by adding at the end the following new 
item: 
"2466. Prohibition on certain depot maintenance workload competitions.". 
SEC. 327. REPORT ON MANPOWER, MOBIUTY. SUSTAINABILITY, AND 
EQUIPMENT 
(a) REPORT REQUIREMENT.—The Secretary of Defense shall submit 
to the Committees on Armed Services of the Senate and House of 
Representatives a comprehensive report on the readiness of the 
Araied Forces, in terms of manpower, mobility, sustainability, and 
equipment, to perform their assigned missions. The report shall be 
based on the manpower and other resources planned for the Armed 
Forces in the 1990-1991 biennial budget for the Department of 
Defense. 
(b) MATTERS TO BE INCLUDED IN REPORT.—The Secretary shall 
include the following in the report required by subsection (a): 
(1) A detailed analysis of trends in readiness and sustain-
ability of the military forces of the United States over the five-
year period 1985 to 1989 and, based on the current Five-Year 
Defense Program or other planning document approved by the 
Secretary, a projection of such trends over the succeeding five-
year period. 
(2) A detailed evaluation of the readiness and sustainability of 
the unified combatant commands and the specified combatant 
commands of the Armed Forces. 
(3) A discussion of— 
(A) the readiness and sustainability of the military forces 
of the United States in terms of the standards approved by 
the Secretary of Defense; 
(B) the readiness and sustainability of allied forces of the 
United States; and 
(C) the readiness and sustainability of potential enemy 
forces. 
(4) A list of all improvements that need to be made in the 
readiness and sustainability of the manpower, mobility, and 
equipment of the Armed Forces to correct major shortfalls of 
the unified combatant commands and the specified combatant 
commands, the relative priority of each such improvement, and 
the estimated cost of each such improvement. 
(5) Such other information regarding the readiness of the 
Armed Forces, in terms of manpower, mobility, sustainability, 
and equipment, as the Secretary considers appropriate. 
(c) PRIORFTY FOR IMPROVEMENTS.—The relative priority of the 
improvements referred to in subsection 0>X4) shall be determined by 
the Secretary on the basis of the improvements necessary to ensure 
the ability of the Armed Forces to perform their assigned missions 
and the ability of the United States to meet its military commit-
ments. 
(d) REPORT DEADLINE.—The Secretary shall submit the report 
required by subsection (a), together with such comments and rec-
ommendations as the Secretary considers appropriate, not later 
then February 15,1989. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1957 
SEC. 328. LEASE OF AIRCRAFT FOR FLEET ELECTRONIC WARFARE SUP-
PORT GROUP ACTIVITIES 
The Secretary of the Navy may lease aircraft for Fleet Electronic 
Warfare Support Group activities in accordsince with section 2401 of 
title 10, United States Code, if the cost of such a leeise is less than 
the cost of operating and maintaining the same number of existing 
aircraft of the Navy for that purpose. 
PART D—CONTRACTING OUT 
SEC. 331. REQUIREMENTS FOR CERTAIN CIRCULAR A-76 PROCEDURES 
(a) IN GENERAL.—Chapter 146 of title 10, United States Code, as 
amended by section 326, is further amended by adding at the end 
the following new section: 
"§ 2467. Cost comparisons: requirements with respect to retirement 
costs and consultation with employees 
"(a) REQUIREMENT TO INCLUDE RETIREMENT COSTS.—(1) In 
any 
comparison conducted by the Department of Defense under Office of 
Management and Budget Circular A-76 (or any successor adminis-
trative regulation or policy) of the cost of performing commercial 
activities by Department of Defense personnel and the cost of 
performing such activities by contractor personnel, the Secretary of 
Defense shall include retirement system costs (as described in para-
graphs (2) and (3)) of both the Department of Defense and the 
contractor. 
"(2) The retirement system costs of the Department of Defense 
shall include (to the extent applicable) the following: 
"(A) The cost of the Federal Employees' Retirement System, 
valued by using the normal-cost percentage (as defined by sec-
tion 8401(23) of title 5, United States Code). 
"(B) The cost of the Civil Service Retirement System under 
subchapter III of chapter 83 of such title 5. 
"(C) The cost of the thrift savings plan under subchapter III of 
chapter 84 of such title 5. 
"(D) The cost of the old age, survivors, and disability insur-
ance taxes imposed under section 3111(a) of the Internal Reve-
nue Code of 1986. 
"(3) The retirement system costs of the contractor shall include 
the cost of the old age, survivors, and disability insurance taxes 
imposed under section 3111(a) of the Internal Revenue Code of 1986, 
the cost of thrift or other retirement savings plans, and other 
relevant retirement costs. 
"(b) REQUIREMENT TO CONSULT D O D EMPLOYEES.—(1) Each officer 
or employee of the Department of Defense responsible for determin-
ing under Office of Management and Budget Circular A-76 whether 
to convert to contractor performance any commercial activity of the 
Department— 
"(A) shall, at least monthly during the development and 
preparation of the performance work statement and the 
management efficiency study used in making that determina-
tion, consult with civilian employees who will be affected by 
that determination and consider the views of such employees on 
the development and preparation of that statement and that 
study; and 
102 STAT. 1958 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(B) may consult with such employees on other matters relat-
ing to that determination. 
"(2XA) In the case of employees represented by a labor organiza-
tion accorded exclusive recognition under section 7111 of title 5, 
United States Code, consultation with representatives of that labor 
organization shall satisfy the consultation requirement in para-
graph (1). 
"(B) In the case of employees other than employees referred to in 
subparagraph (A), consultation with appropriate representatives of 
those employees shall satisfy the consultation requirement in para-
graph (1). 
Regulations. 
"(3) The Secretary of Defense shall prescribe regulations to carry 
out this subsection. The regulations shall include provisions for the 
selection or designation of appropriate representatives of employees 
referred to in paragraph (2XB) for purposes of consultation required 
by paragraph (1).". 
(b) CLERICAL AMENDMENT.—The table of sections at the beginning 
of such chapter is amended by adding at the end the following new 
item: 
"2467. Cost comparisons: requirements with respect to retirement costs and consul-
tation with employees.". 
SEC. 332. PERFORMANCE OF FIREFIGHTING AND SECURITY GUARD FUNC-
TIONS AT AMCHITKA, ALASKA 
(a) AUTHORITY TO CONTRACT.—The Secretary of the Navy may 
contract for the performsmce of firefighting and security guard 
functions required by the Navy at the over-the-horizon radar site at 
Amchitka, Alaska. 
(b) INAPPUCABILITY OF LIMITATION ON USE OF FUNDS.—Section 
2693 of title 10, United States Code, shall not apply with respect to 
the authority provided in subsection (a). 
PART E—DEFENSE SUPPUES SECURITY AND CONTROL 
10 use 2891 
SEC. 341. DEFENSE SUPPLY MANAGEMENT STUDIES AND MODERNIZA-
note. 
XION PLAN 
(a) DEFENSE INVENTORY SECURITY AND CONTROL ENHANCEMENT 
STUDY.—(1) The Secretary of Defense shall carry out a study to 
determine the effectiveness of Department of Defense procedures for 
ensuring security and control of supplies at Department of Defense 
depots. 
Reports. 
(2XA) Not later than 18 months after the date of the enactment of 
this Act, the Secretary of Defense shall submit to the Committees on 
Armed Services of the Senate and the House of Representatives a 
report on the results of the study. The Secretary may submit the 
report in both classified and unclassified forms if the Secretary 
considers it necessary to do so in the interest of national security. 
(B) The Secretary of Defense, at the same time as the Secretary 
submits the report to Congress under subparagraph (A), shall trans-
mit a copy of the report to the Comptroller General of the United 
States. 
(3) The Comptroller General shall— 
(A) review the report transmitted by the Secretary of Defense 
under paragraph (2XB); and 
(B) submit to the Committees on Armed Services of the 
Senate and the House of Representatives, within 90 days after 
the date on which the Comptroller General receives such report, 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1959 
any findings and recommendations on procedures for ensuring 
the security and control of supplies at Department of Defense 
depots that the Comptroller General considers appropriate. 
(b) ^ALYSis OF SALES OF SURPLUS MUNITIONS.—The Secretary of 
Defense shall— 
(1) conduct a cost-benefit analysis of the practice of selling 
surplus Department of Defense munitions to the public and to 
licensed dealers; and 
(2) submit to the Committees on Armed Services of the Senate 
and the House of Representatives, not later than 180 days after 
the date of the enactment of this Act, a report containing a 
description and discussion of each such practice. 
(c) 
SUPPLY 
TRACEABILITY ENHANCEMENT.—The Secretary 
of 
Defense shall— 
(1) develop improved methods for the identification of and 
accounting for individual items of ammunition, explosives, and 
other Department of Defense supplies that are susceptible to 
pilferage; and 
(2) submit to the Committees on Armed Services of the Senate 
and the House of Representatives, not later than one year after 
the date of the enactment of this Act, a report containing a 
description and discussion of each such method. 
(d) SUPPLY SYSTEM MODERNIZATION PLAN.—The Secretary of 
Defense shall— 
(1) prepare a plan for the modernization of the supply facili-
ties and supply distribution procedures of each of the military 
departments and Defense Agencies of the Department of 
Defense; and 
(2) not later than one year after the date of the enactment of 
this Act, transmit a copy of such plan to the Committees on 
Armed Services of the Senate and the House of Representatives. 
SEC. 342. SUPPLY SECURITY AND CONTROL IMPROVEMENTS 
(a) SECURITY AND CONTROL OF SUPPUES: REPORTS, FUNDING, PROCE-
DURES.—(1) Part rV of subtitle A of title 10, United States Code, is 
amended by adding at the end the following new chapter: 
"CHAPTER 
171—SECURITY 
AND 
CONTROL 
OF 
SUPPLIES 
Reports. 
Reports. 
"Sec. 
"2891. Security and control of supplies: annual report. 
"2892. Miscellaneous procedures. 
**§ 2891. Security and control of supplies: annual report 
"(a) The Secretary of Defense shall submit to the Committees on 
Armed Services of the Senate and House of Representatives a report 
for each of fiscal years 1989, 1990, and 1991 on security and control 
of Department of Defense supplies. Each such report shall be 
submitted not later than four months after the end of the fiscal year 
for which the report is submitted. 
"(b) E^ch report shall include the following: 
"(1) A summary of each of the physical inventory program 
plans of the Department of Defense, the Defense Logistics 
Agency, and the military departments for the fiscal year in 
which the report is submitted. 
102 STAT. 1960 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(2) A discussion of the deficiencies, if any, in the security and 
control of Department of Defense supplies in the fiscal year 
preceding the year in which the report is submitted and a 
discussion of the extent to which such deficiencies have been 
corrected. 
"(3) A discussion of— 
"(A) research and development projects carried out by the 
Department of Defense in such preceding fiscal year for the 
improvement of the inventory and recordkeeping capabili-
ties of the Department; 
"(B) any proposals for expeditious application of any new 
technology resulting from such projects; and 
"(C) the budget needs for research and development for 
such purpose in the fiscal year in which the report is 
submitted and any subsequent fiscal year for which the 
budget needs have been determined. 
"(4) The budget authority made available to the Department 
of Defense for inventory control functions in the fiscal year in 
which the report is submitted and in each of the five fiscal years 
preceding such fiscal year. 
"(5) The budget authority proposed for such purpose in the 
budget submitted to Congress under section 1105 of title 31 for 
the fiscal year following the fiscal year in which the report is 
submitted. 
"(6) The budget authority needed for such purpose in each of 
the five fiscal years following the fiscal year for which such 
budget is submitted. 
"(7) An evaluation of the effectiveness of supply inventory 
control in the fiscal year preceding the fiscal year in which the 
report is submitted, the criteria used by the Secretary to make 
such evaluation, and the information considered by the Depart-
ment in making the evaluation, including the value of supplies 
lost or stolen or for which accountability has otherwise been 
lost. 
"(8) The aggregate statistics for all incidents of theft, fraud, or 
breach of security involving Department of Defense supplies 
that were investigated by military or civilian law enforcement 
agencies during the fiscal year preceding the fiscal year in 
which the report is submitted (including incidents involving 
munitions), a summary description of all such incidents (includ-
ing the circumstances under which the incidents occurred), and 
the lessons learned by the Department of Defense from such 
incidents. 
"§ 2892. Miscellaneous procedures 
"(a) The Secretary of Defense shall require an investigation of 
each discrepancy in an accounting for supplies of the Department of 
Defense involving an amount exceeding the amount determined 
under procedures prescribed by the Secretary. The Secretary shall 
prescribe procedures that provide for random investigation of phys-
ical inventory discrepancies, regardless of the value of the property 
involved in the discrepancy. 
"(b) The Secretary shall, to the extent feasible, require that the 
job function of supply ordering and the job function of supply 
receiving be performed by different offices and individuals. 
"(c) The Secretary shall ensure— 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1961 
"(1) that the employees of the Department of Defense and 
members of the armed forces assigned to manage Department of 
Defense supplies are skilled in the management of such sup-
plies; and 
"(2) that no employee of the Department of Defense and no 
member of the armed forces is assigned to perform such func-
tion for disciplinary reasons.". 
(2) The tables of chapters at the beginning of such part and such 
subtitle are each amended by adding at the end the following new 
item: 
"171. Security and Control of Supplies 
2891". 
(b) REPORT EXCEPTION.—The Secretary of Defense may omit in the lo use 2891 
report for any fiscal year under section 2891 of title 10, United 
^°^-
States Code, as added by subsection (a), the information relating to 
any of fiscal years 1983 through 1988, described in subsection 03)(4) 
of such section, for which the Secretary determines that there are 
inadequate records. 
SEC. 343. INVENTORY INVESTIGATIONS 
10 USC 2891 
(a) UNDERCOVER INVESTIGATIONS.—(1) Congress finds that the use 
"° ^ 
of undercover investigative techniques by the Department of 
Defense enhances the ability of the Department of Defense to detect 
and investigate theft of Government property (including munitions) 
from the Department of Defense supply system. 
(2) The Secretary of Defense is urged to continue to conduct 
undercover investigations to detect and investigate thefts referred to 
in paragraph (1). 
(b) INVENTORY SECURITY INCIDENT REPOSITORY.—The Secretary of 
Defense shall establish and maintain a centralized computer system 
for recording £uid organizing information on theft, fraud, and breach 
of security and incidents involving the loss of Department of 
Defense supplies (including munitions). 
SEC. 344. REPORTS TO THE SECRETARY OF THE TREASURY OF LOSSES OF 
MUNITIONS 
(a) IN GENERAL.—Chapter 161 of title 10, United States CJode, is 
amended by adding at the end the following new section: 
"§2722. Theft or loss of ammunition, destructive devices, and 
explosives: report to Secretary of the Treasury 
"(a) IN GENERAL.—The Secretary of Defense shall report the theft 
or other loss of any ammunition, destructive device, or explosive 
material from the stocks of the Department of Defense to the 
Secretary of the Treasury within 72 hours, if possible, after the 
discovery of such theft or loss. 
"Ot)) EXCLUSION FOR CERTAIN ITEMS.—The Secretary of Defense 
may exclude from the reporting requirement under subsection (a) 
any item referred to in that subsection if— 
"(1) the Secretary determines that the item represents a low 
risk of danger to the public and would be of minimal utility to 
any person who may illegally receive such item; and 
"(2) the exclusion of such item is specified as being excluded 
from the reporting requirement in a memorandum of agree-
ment between the Secretary of Defense and the Secretary of the 
Treasury. 
"(c) DEFINITIONS.—In this section: 
102 STAT. 1962 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(1) The term 'explosive material' means explosives, blasting 
agents, and detonators. 
"(2) The terms 'destructive device' and 'ammunition' have the 
meanings given those terms by paragraphs (4) and (17), respec-
tively, of section 921 of title 18.". 
(b) CLERICAL AMENDMENTS.—(1) Chapter 161 of such title is fur-
ther amended— 
(A) by striking out the chapter heading at the beginning and 
inserting in lieu thereof the following: 
"CHAPTER 161—PROPERTY RECORDS AND 
REPORT OF THEFT OR LOSS OF CERTAIN 
PROPERTY" 
and 
(B) by adding at the end of the table of sections at the 
beginning of such chapter the following new item: 
"2722. Theft or loss of ammunition, destructive devices, and explosives: report to 
Secretary of the Treasury.". 
(2) The tables of chapters at the beginning of part A, and at the 
beginning of part IV of part A, of such title are each amended by 
striking out the item relating to chapter 161 and inserting in lieu 
thereof the following: 
"16L Property Records and Report of Theft or Loss of Certain Property 
2721". 
10 use 2722 
(c) EFFECTIVE DATE.—The amendment made by subsection (a) shall 
^°^- 
take effect with respect to thefts and losses discovered more than 
180 days after the date of the enactment of this Act. 
PART F—STUDIES AND REPORTS 
SEC. 351. STUDY OF DEPARTMENT OF DEFENSE SAFETY STANDARDS FOR 
TRANSPORTATION OF HAZARDOUS MATERIALS 
Not later thsui one year after the date of the enactment of this 
Act, the Secretary of Defense shall submit to Congress a report on 
the adequacy of Department of Defense safety standards for the 
transportation of hazardous materials. 
SEC. 352. REPORT ON THE USE OF DEGRADABLE PLASTIC ITEMS BY 
DEPARTMENT OF DEFENSE 
(a) STUDY.—The Secretary of Defense shall conduct a study of the 
use of disposable plastic items by the Department of Defense during 
fiscal year 1989 in order to identify the types of such items used by 
the Department of Defense and to determine the approximate quan-
tity of those items used annually by the Department of Defense and 
to identify which of those items are degradable and which are not 
degradable. 
(b) REPORT.—Not later than March 1, 1990, the Secretary shall 
submit to the Committees on Armed Services of the Senate and 
House of Representatives a report on the results of the study 
required by subsection (a). The report shall include— 
(1) recommendations of the Secretary concerning the feasibil-
ity of substituting degradable plastic items for nondegradable 
plastic items identified in the study that are needed by the 
Department of Defense; and 
(2) a description of— 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1963 
(A) the availability of degradable plastic items that are 
suitable substitutes for the nondegradable plastic items 
identified; and 
(B) any additional cost to the United States that would 
result from conversion to the use of such degradable plastic 
items over the cost of continued use of the nondegradable 
plastic items. 
SEC. 353. NAVY PARTICIPATION IN FEASIBILITY STUDY OF SUNSET 
HARBOR PROJECT, CALIFORNIA 
(a) REQUIRED FUNDING.—The Secretary of the Navy shall obligate 
not less than $100,000 £is the contribution by the Department of the 
Navy to the feasibility study by the Army Corps of Engineers of the 
Sunset Harbor Project, California, which was authorized by Public 
Law 99-662. 
Ot)) SOURCE OF FUNDS.—For the purpose described in subsection (a), 
the Secretary of the Navy may use operation and maintenance 
funds appropriated to or for the use of the Department of the Navy 
for fiscal year 1989. 
TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS 
PART A—ACTIVE FORCES 
SEC. 401. END STRENGTHS FOR ACTIVE FORCES 
The Armed Forces are authorized end strengths for active duty 
personnel as of September 30, 1989, as follows: 
(1) The Army, 771,800, of which not more than 106,927 may be 
officers. 
(2) The Navy, 593,200, of which not more than 72,610 may be 
officers. 
(3) The Marine Corps, 197,200, of which not more than 20,120 
may be officers. 
(4) The Air Force, 575,100, of which not more than 105,038 
may be officers. 
SEC. 402. REPEAL OF MANDATORY REDUCTIONS IN STRENGTH OF ACTIVE 
DUTY OFFICER CORPS 
(a) PuBuc LAW 99-661.—Section 403 of the National Defense 
Authorization Act for Fiscal Year 1987 (Public Law 99-661; 100 Stat. 
3859) is amended by striking out the last line (relating to September 
lo USC 521 note. 
30, 1989) in the table in subsection (a). 
Ot)) PuBUC LAW 100-180.—Section 402(c) of the National Defense 
Authorization Act for Fiscal Years 1988 and 1989 (Public Law 
100-180; 101 Stat. 1081) is repealed. 
10 usc r,2l note. 
(c) LIMITATIONS FOR FISCAL YEAR 1990.—(1) The number of officers 
lo use 52i note. 
serving on active duty (excluding officers in categories specified in 
paragraph (2)) as of September 30, 1990, may not exceed— 
(A) in the case of the Army, 106,427; and 
(B) in the case of the Air Force, 102,438. 
(2) Officers in the categories described in section 403(b) of the 
National Defense Authorization Act for Fiscal Year 1987 shall be 
excluded in counting officers under this subsection. 
SEC. 403. TEMPORARY REDUCTION IN NUMBER OF AIR FORCE COLONELS 
10 USC 523 note 
The number of officers that (but for this section) would be 
authorized under section 523 of title 10, United States Code, and 
102 STAT. 1964 
PUBLIC LAW 100-456—SEPT. 29, 1988 
other applicable provisions of law to be serving on active duty in the 
Air Force in the grade of colonel during fiscal year 1989 is hereby 
reduced by 125, and the number of such officers that (but for this 
section) would be so authorized to be serving on active duty during 
fiscal year 1990 is hereby reduced by 250. 
PART B—RESERVE FORCES 
SEC. 
4
1
1
. 
END 
STRENGTHS 
FOR 
SELECTED 
RESERVE 
10 use 261 note. 
(a) AUTHORIZATION.—^The Armed Forces are authorized strengths 
for Selected Reserve personnel of the reserve components as of 
September 30,1989, as follows: 
(1) The Army National Guard of the United States, 457,300. 
(2) The Army Reserve, 320,600. 
(3) The Naval Reserve, 152,600. 
(4) The Marine Corps Reserve, 43,600. 
(5) The Air National Guard of the United States, 115,200. 
(6) The Air Force Reserve, 83,600. 
(7) The Coast Guard Reserve, 13,000. 
db) CONFORMING AMENDMENTS.—(1) Section 411(c) of the National 
Defense Authorization Act for Fiscal Years 1988 and 1989 (Public 
10 use 261 note. Law 100-180; 101 Stat. 1082) is amended by striking out "or subsec-
tion (b)" and inserting in lieu thereof "or section 411(a) of the 
National Defense Authorization Act, Fiscal Year 1989". 
(2) Section 411(d) of such Act is amended by striking out "subsec-
tions (a) and (b)" and inserting in lieu thereof "subsection (a) and by 
section 411(a) of the National Defense Authorization Act, Fiscal 
Year 1989". 
SEC. 4
1
2
. 
END 
STRENGTHS 
FOR 
RESERVES 
ON 
ACTIVE 
DUTY 
IN 
SUPPORT 
OF 
THE RESERVES 
Within the strengths prescribed in section 411, the reserve compo-
nents of the Armed Forces are authorized, as of September 30,1989, 
the following number of Reserves to be serving on full-time active 
duty or, in the case of members of the National Guard, full-time 
National Guard duty for the purpose of organizing, administering, 
recruiting, instructing, or training the reserve components: 
(1) The Army National Guard of the United States, 25,725. 
(2) The Army Reserve, 13,329. 
(3) The Naval Reserve, 21,991. 
(4) The Marine Corps Reserve, 1,945. 
(5) The Air National Guard of the United States, 7,948. 
(6) The Air Force Reserve, 657. 
SEC. 413. CLARIFICATION OF APPLICABILITY OF PRIOR AMENDMENTS 
RELATING TO NUMBER OF MEMBERS IN CERTAIN GRADES 
AUTHORIZED TO BE ON ACTIVE DUTY IN SUPPORT OF THE 
RESERVES 
The provisions of section 5 of the National Defense Authorization 
Act for Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 
1020) may not be construed as applying to the amendments made by 
subsections (aX2) and (bX2) of section 413 of such Act. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1965 
PARTC—MILITARY TRAINING 
SEC. 421. AUTHORIZATION OF TRAINING STUDENT LOADS 
(a) IN GENERAL.—For fiscal year 1989, the components of the 
Armed Forces are authorized average military training student 
loads as follows: 
(1) The Army, 80,281. 
(2) The Navy, 65,925. 
(3) The Marine Corps, 18,064. 
(4) The Air Force, 36,857. 
(5) The Army National Guard of the United States, 19,561. 
(6) The Army Reserve, 17,190. 
(7) The Naval Reserve, 3,136. 
(8) The Marine Corps Reserve, 3,459. 
(9) The Air National Guard of the United States, 2,868. 
(10) The Air Force Reserve, 1,827. 
0)) ADJUSTMENTS.—The average military student loads authorized 
in subsection (a) shall be a4justed consistent with the end strengths 
authorized in parts A and B. The Secretary of Defense shall pre-
scribe the manner in which such adjustment shall be apportioned. 
PART D—AUTHORIZATION OP APPROPRIATIONS 
SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSON. 
NEL FOR FISCAL YEAR 1989 
There is hereby authorized to be appropriated to the Secretary of 
Defense for military personnel for fiscal year 1989 a total of 
$78,461,000,000. The authorization in the preceding sentence super-
sedes any other authorization of appropriations (definite or indefi-
nite) for such purpose for fiscal year 1989. 
TITLE V—MILITARY PERSONNEL POLICY 
PART A—OFFICER PERSONNEL POUCY 
SEC. 501. SELECTION BOARDS 
(a) INFORMATION FURNISHED TO BOARDS.—Section 615 of title 10, 
United States Code, is amended— 
(1) in subsection (a), by striking out clause (4) and inserting in 
lieu thereof the following: 
"(4) information or guidelines relating to the needs of the 
armed force concerned for officers having particular skills, 
including guidelines or information relating to the need for 
either a minimum number or a maximum number of officers 
with particular skills within a competitive category;"; and 
(2) by adding at the end the following new subsection: 
"(c) Information or guidelines furnished to a selection board under Reports. 
subsection (a) may not be modified, withdrawn, or supplemented 
after the board submits the report to the Secretary of the military 
department concerned pursuant to section 617(a) of this title, except 
that, in the case of a report returned to a board pursuant to section 
618(aX2) of this title for further proceedings because of a determina-
tion by the Secretary of the military department concerned that the 
board acted contrary to law, regulation, or guidelines, the Secretary 
may modify, withdraw, or supplement such information or guide-
19-194 O—91—Part t.
ai • QT. 9
102 STAT. 1966 
PUBLIC LAW 100-456-SEPT. 29, 1988 
lines as part of a written explanation to the board as provided in 
that section.". 
(b) RECOMMENDATIONS FOR PROMOTION.—Section 616(a) of such 
10 use 616. 
title is amended by inserting "(as noted in the guidelines or informa-
tion furnished the board under section 615(a) of this title)" after 
"particular skills". 
(c) REPORTS OF SELECTION BOARD.—Section 617(aK2) of such title 
is amended by inserting "(as noted in the guidelines or information 
furnished the board under section 615(a) of this title)" after 
"concerned". 
(d) ACTION ON REPORTS.—(1) Subsection (a) of section 618 of such 
title is amended to read as follows: 
"(aXD Upon receipt of the report of a selection board submitted to 
him under section 617(a) of this title, the Secretary of the military 
department concerned shall review the report to determine whether 
the board has acted contrary to law or regulation or to guidelines 
furnished the board under section 615(a) of this title. Following such 
review, unless the Secretary concerned makes a determination as 
described in paragraph (2), the Secretary shall submit the report as 
required by subsection (b) or (c), as appropriate. 
"(2) If, on the basis of a review of the report under paragraph (1), 
the Secretary of the military department concerned determines that 
the board acted contrary to law or regulation or to guidelines 
furnished the board under section 615(a) of this title, the Secretary 
shall return the report, together with a written explanation of the 
basis for such determination, to the board for further proceedings. 
Upon receipt of a report returned by the Secretary concerned under 
this paragraph, the selection board (or a subsequent selection board 
convened under section 611(a) of this title for the same grade £ind 
competitive category) shall conduct such proceedings as may be 
necessary in order to revise the report to be consistent with law, 
regulation, and such guidelines and shall resubmit the report, as 
revised, to the Secretary in accordance with section 617 of this 
title.". 
(2) Subsection (cXD of such section is amended— 
(A) by striking out ", modification,"; and 
(B) by adding at the end the following: "If the authority of the 
President under this paragraph to approve or disapprove the 
report of a selection board is delegated to the Secretary of 
Defense, it may not be redelegated except to an official in the 
Office of the Secretary of Defense.". 
10 use 615 note. 
(e) EFFECTIVE DATE.—The amendments made by this section shall 
take effect 60 days after the date of the enactment of this Act and 
shall apply with respect to selection boards convened under section 
611(a) of title 10, United States Code, on or after that effective date. 
SEC. 502. REMOVAL FROM PROMOTION LIST 
(a) AUTHORFTY To REMOVE.—The first sentence of section 5905(a) 
of title 10, United States Code, is amended to read as follows: "The 
President may remove the name of any reserve officer from a 
promotion list established under this chapter.". 
President of U.S. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
10 use 5905 
shall apply to removal actions taken by the President on or after the 
"°*®- 
date of the enactment of this Act. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1967 
SEC. 503. SELECTIVE EARLY RETIREMENT FOR CERTAIN PRE-DOPMA 
NAVY AND MARINE CORPS OFFICERS 
(a) CONFORMANCE TO A R M Y AND AlR FORCE PROVISIONS.—SubseC-
tion (aX2) of section 613 of the Defense Officer Personnel Manage-
ment Act (Public Law 96-513; 10 U.S.C. 611 note) is amended— 
(1) by striking out "or" at the end of clause (B); 
(2) by striking out the period at the end of clause (C) and 
inserting in lieu thereof "; or"; and 
(3) by adding at the end the following new clause: 
"(D) selected for early retirement under section 638 of title 10, 
United States Code.". 
O
t
)
) TECHNICAL AMENDMENTS.—Such section is further amended— 
(1) by striking out "on the effective date of this Act" in the 
matter in subsection (aXD preceding clause (A) and inserting in 
lieu thereof "on September 15,1981"; and 
(2) by striking out "on the day before the effective date of this 
Act" each place it appears in such section and inserting in lieu 
thereof "on September 14,1981". 
SEC. 504. TECHNICAL REVISION OF SECTION 638 OF TITLE 10, UNITED 
STATES CODE 
Subsection (a) of section 638 of title 10, United States (Dode, is 
amended to read as follows: 
"(aXD A regular officer on the active-duty list of the Army, Navy, 
Air Force, or Marine Corps may be considered for selective early 
retirement by a selection board convened under section 6110)) of this 
title if the officer is described in any of subparagraphs (A) through 
(D) as follows: 
"(A) An officer holding the regular grade of lieutenant colonel 
or commander who has failed of selection for promotion to the 
grade of colonel or, in the case of an officer of the Navy, captain 
two or more times and whose name is not on a list of officers 
recommended for promotion. 
"(B) An officer holding the regular grade of colonel or, in the 
case of an officer of the Navy, captain who has served at least 
four years of active duty in that grade and whose name is not on 
a list of officers recommended for promotion. 
"(C) An officer holding the regular grade of brigadier general 
or rear admiral (lower half) who has served at least three and 
one-half years of active duty in that grade and whose name is 
not on a list of officers recommended for promotion. 
"(D) An officer holding the regular grade of major general or 
rear admiral who has served at least three and one-half years of 
active duty in that grade. 
"(2) The Secretary of the military department concerned shall 
specify the number of officers described in paragraphs (IXA) and 
(IXB) which a selection board convened under section 611(b) of this 
title may recommend for early retirement. Such number may not be 
more than 30 percent of the number of officers considered in each 
grade in each competitive category.". 
102 STAT. 1968 
PUBLIC LAW 100-456—SEPT. 29, 1988 
PART B—JOINT OFFICER PERSONNEL POLICY 
SEC. 511. WAIVER AUTHORITY WITH RESPECT TO SELECTION OF OFFI-
CERS FOR THE JOINT SPECIALTY 
The last sentence of section 661(cX3XD) of title 10, United States 
Code, is amended— 
(1) by inserting "for officers in the same pay grade" after 
"under this paragraph"; 
(2) by striking out "5 percent" and inserting in lieu thereof 
"10 percent"; and 
(3) by inserting "in that pay grade" after "number of 
officers'. 
SEC. 512. JOINT SPECIALTY OFFICERS IN CRITICAL JOINT DUTY ASSIGN-
MENTS 
(a) FLEXIBIUTY FOR CRITICAL JOINT DUTY ASSIGNMENT POSITIONS.— 
Section 661(dX2) of title 10, United States Code, is amended— 
(1) by inserting "(A)" after "(2)"; 
(2) by striking out the last sentence; and 
(3) by adding at the end the following: 
"(B) Until January 1, 1994, at least 80 percent of the positions 
designated by the Secretary under subparagraph (A) shall be held at 
all times by officers who have the joint specialty. On and after 
January 1, 1994, each position so designated may (subject to 
subparagraph (C)) be held only by an officer who has the joint 
specialty. 
"(C) The Secretary of Defense may, on a case-by-case basis, waive 
the requirement in the second sentence of subparagraph (B) with 
respect to a particular assignment of an officer to a position des-
ignated as a critical joint duty assignment position. The authority of 
the Secretary to make such a waiver may be delegated only to the 
Chairman of the Joint Chiefs of Staff. 
Reports. 
"(D) During the period beginning on October 1, 1992, and ending 
on January 1, 1993, the Secretary of Defense shall submit to Con-
gress a report on the operation, to the date of the report, of the first 
sentence of subparagraph (B) and on the Secretary's projection for 
the use of the waiver authority provided under subparagraph (C), 
including the Secretary's estimate of the average annual number of 
waivers to be provided under subparagraph (C).". 
Ot)) REVISION OF ANNUAL REPORT.—Section 667 of such title is 
amended— 
(1) by redesignating paragraph (16) as paragraph (17); and 
(2) inserting 
after 
paragraph 
(15) the 
following 
new 
paragraph: 
"(16) During the period of the applicability of the first sen-
tence of subparagraph (B) of section 661(dX2) of this title, 
information on critical positions not filled by officers with the 
joint specialty, including— 
"(A) a listing by organization of the joint duty sissignment 
positions which were not filled by officers with the joint 
specialty; 
"(B) an explanation of the reasons such positions were 
not filled by officers with the joint specialty, described by 
the categories of such reasons; and 
"(C) the percentage of critical joint duty gissignment posi-
tions held by officers who have the joint specialty.". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1969 
SEC. 513. PROMOTION POLICY OBJECTIVES FOR OFFICERS WITH THE 
JOINT SPECIALTY 
Section 662(a) of title 10, United States Code, is amended by 
inserting "to the next higher gfrade" in paragraphs (1) and (3) after 
"promoted". 
SEC. 514. LENGTH OF JOINT DUTY ASSIGNMENTS 
Section 664 of title 10, United States Code, is amended as follows: 
(1) Subsection (a) is amended— 
(A) by striking out "three years" in paragraph (1) and 
inserting in lieu thereof "two years"; and 
(B) by striking out "three and one-half years" in para-
graph (2) and inserting in lieu thereof "three years". 
(2) Subsection (cXD is amended— 
(A) by striking out "has been" and inserting in lieu 
thereof "is"; and 
(B) by striking out "before such assignment begins". 
(3) Subsection (dX2) is amended by inserting "which is less 
than the applicable standard prescribed in subsection (a)" after 
"Hawau". 
(4) Subsection (f) is amended— 
(A) by striking out "or" at the end of paragraph (2); 
(B) by striking out the period at the end of paragraph (3) 
and inserting in lieu a semicolon; and 
(C) by adding at the end the following new paragraphs: 
"(4) a joint duty assignment outside the United States or in Alaska. 
Alaska or Hawaii for which the normal accompanied-by-depend- Hawaii. 
ents tour of duty is prescribed by r^ulation to be at least two 
years in length, if the officer serves in the assignment for a 
period equivalent to the accompanied-by-dependents tour length 
(except that not more than 6 percent of all joint duty assign-
ments may be considered to be under this paragraph at any 
time); or 
"(5) a joint duty assignment with respect to which the Sec-
retary of Defense has granted a waiver under subsection (b), but 
only in a case in which the Secretary determines that the 
service completed by that officer in that duty assignment shall 
be considered to be a full tour of duty in a joint duty 
assignment.". 
(5) Subsection (gX3) is amended by striking out "shall be 
excluded—" and all that follows in that subsection and insert-
ing in lieu thereof "shall be excluded if the officer served less 
than 10 months in that assignment.". 
(6) Such section is further amended by adding at the end the 
following new subsection: 
"(h) (CONSTRUCTIVE CREDIT,—(1) The Secretary of Defense may 
accord constructive credit in the case of an officer (other than a 
general or flag officer) who, for reasons of military necessity, is 
reassigned from a joint duty assignment within 60 days of meeting 
the tour length criteria prescribed in subsection (fXD, (f)(2), (fK4), or 
(gX2). The amount of constructive service that may be credited to 
such officer shall be the amount sufficient for the completion of the 
applicable tour of duty requirement, but in no case more than 60 
days. 
(2) For the purpose of computing under subsection (e) the average 
length of joint duty assignments during a fiscal year, the amount of 
any constructive service credited under this subsection with respect 
102 STAT. 1970 
PUBLIC LAW 100-456—SEPT. 29, 1988 
10 use 619 note. 
10 use 619 note. 
to a joint duty assignment to be counted in that computation shall 
be excluded. 
"(3) This subsection shall not apply in the case of an officer who 
serves less than 10 months in the joint duty assignment.". 
SEC. 515. ADDITIONAL TRANSITION PROVISIONS FOR IMPLEMENTATION 
OF PREREQUISITE FOR PROMOTION TO INITIAL FLAG AND 
GENERAL OFFICER GRADE 
(a) NAVY NUCLEAR PROPULSION OFFICERS.—(1) Section 619(e) of 
title 10, United States Code, is amended— 
(A) by striking out "January 1, 1992" in the second sentence 
of paragraph (1) and inserting in lieu thereof "January 1, 1994"; 
and 
(B) by adding at the end the following new paragraph: 
Reports. 
''(5) NQ^- i^ter than March 1 of each year from 1989 through 1994, 
the Secretary of Defense shall submit to the Committees on Armed 
Services of the Senate and House of Representatives a report on the 
implementation during the preceding calendar year of the transi-
tion plan developed by the Secretary pursuant to section 1305(b) of 
Public Law 100-180 (101 Stat. 1173) with respect to service by 
qualified nuclear propulsion officers in joint duty assignments.". 
(2) Section 13050)) of Public Law 100-180 is amended by striking 
out "January 1, 1992" each place it appears and inserting in lieu 
thereof "January 1, 1994". 
(3) The Secretary of Defense, after consultation with the Chair-
man of the Joint Chiefs of Staff, shall revise the transition plan 
developed pursuant to section 13050t)) of Public Law 100-180 to take 
Reports. 
account of the amendments made by paragraphs (1) and (2). The 
Secretary shall include with the first report of the Secretary under 
section 619(e)(5) of title 10, United States Code, as added by para-
graph (IXB), a report on the actions of the Secretary in revising such 
transition plan. 
(b) WAIVER AUTHORITY.—(1) Paragraph (2) of section 619(e) of title 
10, United States Code, is amended— 
(A) by striking out "and" at the end of subparagraph (C); and 
(B) by striking out subpareigraph (D) and inserting in lieu 
thereof the following: 
"(D) in the case of an officer who served in a joint duty 
assignment that began before January 1, 1987, if the officer 
served in that assignment for a period of sufficient duration 
(which may not be less than 12 months) for his service to have 
been considered a full tour of duty under the policies and 
regulations in effect on September 30,1986; and 
"(E) until January 1, 1994, in the case of an officer who— 
"(i) served in an assignment (other than a joint duty 
assignment) that began before October 1, 1986, and that 
involved significant experience in joint matters (as deter-
mined by the Secretary) if the officer served in that assign-
ment for a period of sufficient duration (which may not be 
less than 12 months) for his service to have been considered 
a full tour of duty under the policies and regulations in 
effect on September 30,1986; or 
"(ii) served in a joint duty assignment for not less than 
two years during which the officer is selected for promotion 
to the grade of brigadier general or rear admiral (lower 
half).". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1971 
(2) Paragraph (3XC) of such section is amended by striking out 
"paragraph (2XB), (2XC), or (2XD)" and inserting in lieu thereof 
"paragraph (2) (other than under subparagraph (A) of that para-
graph)". 
SEC. 516. EXTENSION OF TRANSITION TO JOINT DUTY ASSIGNMENT 
STAFFING REQUIREMENTS 
(a) GENERAL EXTENSION.—Subsection (a) of section 406 of the 
Goldwater-Nichols Department of Defense Reorganization Act of 
1986 (Public Law 99-433; 100 Stat. 1033) is amended to read as lo use 661 note. 
follows: 
"(a) JOINT DUTY ASSIGNMENTS.—(1) Section 661(d) of title 10, 
United States Code, shall be implemented as rapidly as possible and 
(except as provided under paragraph (2)) not later than October 1, 
1989 
"(2) The first sentence of section 661(dX2XB) of such title shall 
apply with respect to positions designated under the first sentence of 
section 661(dX2XA) of that title as critical joint duty assignment 
positions which become vacant after January 1,1989.". 
(b) TRANSITION.—Subsection 03X1XB) of such section is amended by 
striking out clauses (ii) and (iii) and inserting in lieu thereof the 
following: 
"(ii) waive the requirement for the length of a joint duty 
assignment in the case of a joint duty assignment begun by 
an officer before January 1, 1987, if the officer served in 
that assignment for a period of sufficient duration (which 
may not be less than 12 months) to have been considered a 
full tour of duty under the policies and regulations in effect 
on September 30, 1986; or 
"(iii) consider as a joint duty assignment any tour of duty 
begun by an officer before October 1, 1986, that involved 
significant experience in joint matters (as determined by 
the Secretary) if the officer served in that assignment for a 
period of sufficient duration (which may not be less than 12 
months) for his service to have been considered a full tour 
of duty under the policies and regulations in effect on 
September 30,1986.". 
(c) DEADUNE FOR INITIAL SELECTION OF OFFICERS FOR THE JOINT 
SPECIALTY.—Subsection (bX3) of such section is amended by striking 
out "two years after the date of the enactment of this Act" and 
inserting in lieu thereof "on October 1,1989". 
SEC. 517. COUNTING OF OFFICERS WITH CRITICAL OCCUPATIONAL SPE-
CIALTY INVOLVING COMBAT OPERATIONS FOR PURPOSES OF 
JOINT DUTY ASSIGNMENT STAFFING AND TOUR LENGTHS 
(a) STAFFING.—Section 661(dX4) of title 10, United States Code, is 
amended by striking out "one-third" and inserting in lieu thereof 
"25 percent". 
Oa) TOUR LENGTHS.—Section 664(eX2) of such title is amended by 
striking out "10 percent" and inserting in lieu thereof "I2V2 
percent". 
SEC. 518. SERVICE BY CAPTAINS AND NAVY LIEUTENANTS IN JOINT DUTY 
ASSIGNMENT TO BE COUNTED FOR ALL OFFICER PERSONNEL 
LAWS CONCERNING SUCH SERVICE 
Section 661 of title 10, United States Code, is amended by adding 
at the end the following new subsection: 
102 STAT. 1972 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(f) TREATMENT OP CERTAIN SERVICE.—Any service by an officer in 
the grade of captain or, in the case of the Navy, lieutenant in a joint 
duty assignment shall be considered to be service in a joint duty 
assignment for purposes of all laws (including section 619(eXl) of 
this title) establishing a requirement or condition with respect to an 
officer's service in a joint duty assignment". 
SEC. 519. TECHNICAL AMENDMENTS 
(a) AMENDMENTS RELATING TO JOINT DUTY ASSIGNMENTS.—(1) Sec-
tion 154(bXlXB) of title 10, United States Code, is amended by 
striking out "served in at least one joint duty assignment (as defined 
under section 668(b) of this title)" and inserting in lieu thereof 
"completed a full tour of duty in a joint duty assignment (as defined 
in section 664(f) of this title)". 
(2) Section 164(aXl)(B) of such title is sunended by striking out 
"served in at least one joint duty assignment (as defined under 
section 668(b) of this title)" and inserting in lieu thereof "completed 
a full tour of duty in a joint duty assignment (as defined in section 
664(f) of this title)". 
(3) 
Sections 
3033(aX2XB), 
5033(aX2XB), 
5043(aX2XB), 
and 
8033(aX2)(B) of such title are amended by striking out "joint duty 
assignment" and inserting in lieu thereof "full tour of duty in a joint 
duty assignment (as defined in section 664(f) of this title)". 
(b) CORRECTION OF ERRONEOUS SUBSECTION DESIGNATION.—Section 
668 of such title is amended by redesignating subsection (f) as 
subsection (c). 
PART CJ—MISCELLANEOUS 
SEC. 521. TESTING OF NEW ENTRANTS FOR DRUG AND ALCOHOL ABUSE 
(a) REVISION OF MANDATORY TESTING PROGRAM.—(1) Section 978 of 
title 10, United States Code, is amended to read as follows: 
'*§978. Drug and alcohol abuse and dependency: testing of new 
entrants 
"(aXD Except as provided in paragraph (2), the Secretary con-
cerned shall require each member of the armed forces under the 
Secretary's jurisdiction, within 72 hours after the member's initial 
entry on active duty after enlistment or appointment, to— 
"(A) undergo testing (by practicable, scientifically supported 
means) for drug and alcohol use; and 
"(B) be evaluated for drug and alcohol dependency. 
"(2) The Secretary concerned shall require an applicant for 
appointment as a cadet or midshipman to undergo the testing and 
evaluation described in paragraph (1) during the physical examina-
tion given the applicant before such appointment. The Secretary 
concerned shall require a person to whom a commission is offered 
under section 2106 of this title following completion of the program 
of advanced training under the Reserve Officers' Training Corps 
program to undergo such testing and evaluation during the 
precommissioning ph3rsical examination given such person. 
"(b) A person who refuses to consent to testing and evaluation 
required by subsection (a) may not be retained in the armed forces, 
and any original appointment of such person as an officer shall be 
terminated, unless that person consents to such testing and 
evaluation. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1973 
"(cXD The enlistment or appointment of a person who is deter-
mined, as a result of an evaluation conducted under subsection 
(aXlXB), to be dependent on drugs or alcohol at the time of such 
enlistment or appointment shall be void. 
"(2) A person whose enlistment or appointment is voided under 
paragraph (1) shall be referred to a civilian treatment facility. 
"(d) The testing and evaluation required by subsection (a) shall be Regulations. 
carried out under regulations prescribed by the Secretary of Defense 
in consultation with the Secretary of Transportation. Those regula-
tions shall apply uniformly throughout the armed forces. 
"(e) In time of war, or time of emergency declared by Congress or 
the President, the President may suspend the provisions of subsec-
tion (a).". 
(2) The item relating to that section in the table of sections at the 
beginning of chapter 49 of such title is amended to read as follows: 
"978. Drug and alcohol abuse and dependency: testing of new entrants.". 
(b) REGULATIONS.—The Secretary of Defense shall prescribe regu- lo use 978 note. 
lations for the implementation of section 978 of title 10, United 
States Code, as-amended by subsection (a), not later than 60 days 
after the date of the enactment of this Act. 
(c) EFFECTIVE DATE.—The testing and evaluation program pre- lo use 978 note. 
scribed by that section shall be implemented not later than 
October 1,1989. 
(d) CONFORMING AMENDMENT.—Section 513(bX2) of the National 
Defense Authorization Act for Fiscal Years 1988 and 1989 (Public 
Law 100-180; 101 Stat. 1091) is repealed. 
l
O use 978 note. 
SEC. 522. REQUIREMENT TO ACCEPT PERSONS ENLISTING IN THE AIR 
FORCE ON GENDER-FREE BASIS 
(a) REQUIREMENT.—(1) Chapter 833 of title 10, United States Code, 
is amended by inserting after section 8251 the following new section: 
"§8252. Regrular Air Force: gender-free basis for acceptance of 
original enlistments 
"(a) Except as provided in subsection (b), in accepting persons for 
original enlistment in the Regular Air Force, the Secretary of the 
Air Force may not— 
"(1) set a minimum or maximum percentage of persons who 
may be accepted for such an enlistment according to gender for 
skill categories or jobs; or 
"(2) in any other way base the acceptance of a person for such 
an enlistment on gender. 
"(b) Subsection (a) shall not apply with respect to an enlistment Women. 
specified as being for training leading to designation in a skill 
category involving duty assignments to which, under section 8549 of 
this title, female members of the Air Force may not be assigned.". 
(2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 8251 the 
following new item: 
"8252. Regular Air Force: gender-free basis for acceptance of original enlistments.". 
(b) IMPLEMENTATION.—The Secretary of the Air Force shall de- . lo use 8252 
velop a methodology for implementing section 8252 of title 10, "ote. 
United States Code, as added by sul^ection (a), not later than 
October 1,1989. 
102 STAT. 1974 
PUBLIC LAW 100-456—SEPT. 29, 1988 
10 use 8252 
(c) EFFECTIVE DATE.—Such section shall apply with respect to 
note. 
persons accepted for original enlistment in the Regular Air Force 
after September 30,1989. 
(d) REPEAL OF FY 89 REQuraEMENT FOR SPECIFIED PERCENTAGE OF 
Am FORCE ENUSTEES To BE WOMEN.—Section 551(a) of the Depart-
ment of Defense Authorization Act, 1985 (10 U.S.C. 8251 note), is 
repealed. 
32 u s e 709 note. SEC. 523. MILITARY EDUCATION FOR ARMY NATIONAL GUARD CIVILIAN 
TECHNICIANS 
(a) PHASE-OUT OF PROGRAM REQUIRING OUT-OF-STATE TRAINING.— 
A civilian technician of the Army National Guard whose military 
occupational specialty has been approved by the Secretary of the 
Army in accordance with subsection (b) for training under the 
Reserve Component Noncommissioned Officers Education Program 
by an appropriate National Guard school (£is defined in subsection 
(0) shall, if such technician is not already qualified in that military 
occupational specialty, receive military trsuning in that military 
occupational specialty through that school rather than through the 
Military Education Program. 
(b) APPROVAL OF STATE COURSES.—(1) Each Nationgd Guard school 
which receives from the Department of the Army a training pro-
gram for National Guard training for a military occupational spe-
cialty as part of the Reserve Component Noncommissioned Officers 
Education Program shall implement that training program by the 
end of the 45-day period beginning on the receipt of such program by 
the school or as soon thereafter as feasible. The Secretary of the 
Army shall, not later than 45 days sifter any such school notifies the 
Secretary that it has implemented such a training program, deter-
mine whether or not such school has properly implemented such 
program. Upon the approval by the Secretary of the implementation 
of such program by such school, subsection (a) shall apply with 
respect to military education of civilian technicians of the Army 
National Guard of that State in the applicable military occupational 
specialty. 
(2) In the case of a National Guard school for which a prc^am has 
not been approved under paragraph (1) with respect to a military 
occupational specialty, the Secretary of the Army may, subject to 
subsection (d), require a civilian technician of the Army National 
Guard in that State with that military occupational specialty to 
receive training through the Military Education Program. 
(c) SPECIAL RULE FOR LEADERSHIP TRAINING.—A civilian techni-
cian of the Army National Guard who is required by the National 
Guard Bureau to receive leadership training through courses known 
as Primary Leadership Development courses shall receive such 
training through the appropriate State National Guard school. 
(d) TRANSITION.—In the case of a civilian technician of the Army 
National Guard for whose military occupational specialty there is 
not, as of the date of the enactment of this Act, a program of 
training approved under subsection (b) for an appropriate National 
Guard school, the technician shall, at his request, be given the Skill 
Qualification Test appropriate for his military occupational spe-
cialty and skill level. If the technician passes the test and, if 
necessary for his military occupational specialty, successfully 
completes the Army National Guard Battle Skills Course for the 
appropriate grade, the Secretary of the Army may not require the 
technician to receive training through the existing Military 
•^•Tf;/^-.s i^^-^'.v^^'t^ ,^. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1975 
Education Program and may not reduce the technician in military 
grade, or deny the technician a military promotion, by reason of 
failure to receive training through the Military Education Program. 
(e) REPORT.—The Secretary of the Army shall submit to the 
Committees on Armed Services of the Senate and House of Rep-
resentatives a report on the implementation of the Reserve Compo-
nent Noncommissioned Officers Education Program. The report 
shall discuss the implementation of such program at each State 
National Guard school and shall explain, in any case in which the 
implementation of a training program has not been approved under 
subsection (b), the reasons for the withholding of such approval. 
Such report shall be submitted not later than December 31, 1988. 
(f) DEFINITIONS.—For purposes of this section: 
(1) The term "National Guard school", with respect to a 
civilian technician, means a National Guard school of that 
technician's State, or (2) a regional National Guard school 
designated by the Secretary of the Army for the region includ-
ing that technician's State. 
(2) The term "State" includes the District of Columbia and 
any commonwealth, territory, or possession of the United 
States. 
SEC. 524. EXPANSION OF MILITARY SPOUSE EMPLOYMENT PREFERENCE 
Section 806(bX2) of the Military Family Act of 1985 (10 U.S.C. 113 
note) is amended— 
(1) by striking out "hiring" the first place it appears; 
(2) by inserting "civilian" before "position" the first place it 
appears; and 
(3) by striking out "above Grade GS-1 (or its equivalent)". 
SEC. 525. MANPOWER ESTIMATES FOR MAJOR DEFENSE ACQUISITION 
PROGRAMS 
Section 2434 of title 10, United States Code, is amended— 
(1) in subsection (aX2), by striking out "90 days" and inserting 
in lieu thereof "30 days"; 
(2) by redesignating subsection (b) as subsection (c) and in 
paragraph (3XA) of that subsection striking out "both in total 
personnel and" and inserting in lieu thereof "in total personnel 
or in"; and 
(3) by inserting after subsection (a) the following new subsec-
tion (b): 
"Ot)) EXCEPTIONS.—(1) Subsection (aX2) shall not apply during time 
of war or during a national emergency declared by Congress or the 
President. 
"(2) The 30-day period specified in subsection (aX2) shall be re-
duced to 10 days in the case of a major defense acquisition program 
if the manpower estimate submitted by the Secretary of Defense 
under subsection (aX2) with respect to that program indicates that 
no increase in military or civilian personnel end strengths described 
in subsection (cX3XB) will be required.". 
102 STAT. 1976 
PUBLIC LAW 100-456—SEPT. 29, 1988 
TITLE VI—COMPENSATION AND OTHER PERSONNEL 
BENEFITS 
37 use 1009 
note. 
Effective date. 
Effective date. 
37 use 403 note. 
Effective date. 
Regulations. 
PART A—PAY AND ALLOWANCES 
SEC. 601. MILITARY PAY RAISE FOR FISCAL YEAR 1989 
(a) WAIVER OF SECTION 1009 ADJUSTMENT.—Any adjustment re-
quired by section 1009 of title 37, United States Code, in elements of 
compensation of members of the uniformed services to become 
effective during fiscal year 1989 shall not be made. 
0)) INCREASE IN BASIC PAY AND BAS.—The rates of basic pay and 
basic allowance for subsistence of members of the uniformed serv-
ices are increased by 4.1 percent effective on January 1, 1989. 
(c) INCREASE IN BAQ.—(1) The rates of basic allowance for quar-
ters for members of the uniformed services are increased by 7 
percent effective on January 1,1989. 
(2) The President may allocate the increase in the rates of basic 
allowance for quarters provided in paragraph (1) among pay grades 
and dependency categories so that the resulting rates of basic 
allowance for quarters, expressed in the c£ise of each such rate as a 
percentage determined under paragraph (3), are as nearly as prac-
ticable the same. 
(3) The percentage of the rate of basic allowance for quarters for 
any pay grade and dependency status to be applied for the purpose 
of paragraph (2) is the percentage that results from dividing such 
rate by the national median cost of housing (as determined by the 
Secretary of Defense) for members of that pay grade and depend-
ency status. 
(4) An allocation under paragraph (2) may not reduce the rate of 
basic allowance for quarters for members in any pay grade and 
dependency status below the rate in effect with respect to such 
members on December 31,1988. 
(5) The Secretary of Defense may establish separate rates of basic 
allowance for quarters for commissioned officers credited with over 
four years of active service as enlisted members or warrant officers. 
(d) INCREASE IN CADET AND MIDSHIPMAN PAY.—Effective January 
1, 1989, section 203(cXl) of title 37, United States Code, is amended 
by striking out "$504.30" and inserting in lieu thereof "$525". 
SEC. 602. ALLOWANCE FOR TRANSPORTATION OF HOUSEHOLD GOODS 
(a) ALLOWANCE.—Section 4060t)Xl) of title 37, United States Code, 
is amended— 
(1) by striking out "within such weight allowances prescribed 
by the Secreteries concerned" in subparagraph (A) and insert-
ing in lieu thereof "within the weight allowances listed in 
subparagraph (C)"; and 
(2) by adding at the end the following new subparagraph: 
"(C) Under regulations prescribed by the Secretary of Defense, the 
weight allowance to which a member is entitled under subpara-
graph (A) is determined in accordance with the following table: 
'Pay Grade 
Without 
Depend-
ents 
O-lOtoO-6 
18,000 
0-5 
16,000 
0-4 
14,000 
With 
Depend-
ents 
18,000 
17,500 
17,000 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1977 
Without 
With 
"Pay Grade 
Depend- 
Depend-
ents 
ents 
0-3 
13,000 
14,500 
0-2 
12,500 
13,500 
0-1 
10,000 
12,000 
W-4 
14,000 
17,000 
W-3 
13,000 
14,500 
W-2 
12,500 
13,500 
W-1 
10,000 
12,000 
E-9 
12,000 
14,500 
E-8 
11,000 
13,500 
E-7 
10,500 
12,500 
E-6 
8,000 
11,000 
E-5 
7,000 
9,000 
E-4 » 
7,000 
8,000 
E-42 
3,500 
7,000 
E-3 
2,000 
5,000 
E-2 
1,500 
5,000 
E-1 
1,500 
5,000 
' Member with more than two years of service computed under section 205 of this title. 
* Member with less than two years of service computed under section 205 of this title". 
(b) EFFECTIVE DATE.—The weight allowances in section 406(b)(lXC) 
of title 37, United States Code (as added by subsection (a)), shall 
apply with respect to transportation of baggage and household 
effects occurring after June 30,1989. 
37 u s e 406 note. 
PART B—SPECIAL PAY FOR CRITICAL PERSONNEL 
SEC. 611. AVIATOR RETENTION BONUS 
(a) BONUS AUTHORIZED.—(1) An aviation officer described in 
subsection 0^) who, during the period beginning on January 1, 1989, 
and ending on September 30, 1989, executes a written agreement to 
remain on active duty in aviation service for at legist one year may, 
upon the acceptance of the written agreement by the Secretary 
concerned, be paid a retention bonus as provided in this section. 
(2) The amount of such bonus shall be not more than— 
(A) $12,000 for each year covered by the agreement, if the 
officer agrees to remain on active duty to complete 14 years of 
commissioned service; or 
(B) $6,000 for each year covered by the agreement, if the 
officer agrees to remain on active duty for one or two years. 
(3) The term of the agreement and the amount of payment may be 
prorated as long as an agreement under this section does not extend 
beyond the date on which the officer would complete 14 years of 
commissioned service. 
(4) Upon the officer's acceptance of the agreement, the total 
amount payable becomes fixed and may be paid in either a lump 
sum or in installments. 
03) COVERED OFFICERS.—(1) This section applies to an officer of a 
uniformed service who— 
(A) is entitled to aviation career incentive pay under section 
301a of title 37, United States Code; 
(B) is in a pay grade below pay grade 0-6; 
(C) is qualified to perform operational flying duty; 
(D) has completed at least six but less than 13 years of active 
duty; 
37 u s e 301b 
note. 
Contracts. 
102 STAT. 1978 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(E) hgis completed any active duty service commitment in-
curred for undergraduate aviator training; and 
(F) is in an aviation specialty designated by the Secretary 
concerned, and approved by the Secretary of Defense or by the 
Secretary of Transportation with respect to the Coast Guard 
when it is not operating as a service in the Navy, as critical. 
(2) For purposes of paragraph (IXF), an aviation specialty shall be 
considered subject to designation as critical when there exists a 
current shortage of officers in that specialty. 
(c) ADDITIONAL PAY.—A retention bonus under this section is in 
addition to any other pay and allowances to which an officer is 
entitled. 
Contracts. 
(d) REFUNDS.—(1) Refunds shall be required, on a pro rata basis, of 
sums paid under this section if the officer who has received the 
payment fails to complete the total period of active duty specified in 
the agreement, as conditions and circumstances warrant. 
(2) An obligation to reimburse the United States imposed under 
paragraph (1) is for all purposes a debt owed to the United States. 
(3) A discharge in bankruptcy under title 11, United States Code, 
that is entered less than 5 years after the termination of an agree-
ment under this section does not discharge the member signing such 
agreement from a debt arising under such agreement or under 
Effective date. 
paragraph (1). This paragraph applies to any case commenced under 
title 11, United States Code, after January 1,1989. 
(e) CERTAIN PAY AGREEMENTS PROHIBITED.—An agreement 
for 
special pay under section 301b of title 37, United States Code, may 
not be accepted by the Secretary of Defense after December 31,1988. 
(0 REGULATIONS.—This section shall be administered under regu-
lations prescribed by the Secretaries concerned and approved by 
the Secretary of Defense or the Secretary of Transportation, as 
appropriate. 
(g) DEFINITIONS.—In this section: 
(1) The term "aviation service" means the service performed 
by an officer holding an aeronautical rating or designation 
(except a flight surgeon or other medical officer). 
(2) The term "aviation specialty" means a community of 
pilots or other designated aeronautical officers identified by 
type of aircraft or weapon sjrstem. 
(3) The term "operational fl3dng duty" has the meaning given 
such term by clause (6) of section 301a(a) of title 37, United 
States Code. 
(4) The terms "grade", "member", "pay", "Secretary con-
cerned", and "uniformed services" have the meanings given 
those terms by section 101 of title 37, United States Code. 
(h) REPORTS.—(1) Not later than November 15, 1988, the Secretary 
of Defense shall submit to the Committees on Armed Services of the 
Senate and the House of Representatives a report describing the 
manner in which the authority provided in this section is to be used. 
The report shall include a description of the relative level of pay-
ments between officers with various amounts of aviation service by 
aviation specialty. 
(2) Not later than December 1,1988, the Secretary of Defense shall 
submit to the Committees on Armed Services of the Senate and 
House of Representatives a comprehensive report on the retention 
of aviators in the Armed Forces. The report shall include, at a 
minimum, the following: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1979 
(A) An analysis of aviator requirements and inventories (cur-
rent and projected) of the Armed Forces by grade and years of 
service, including a list of those aviators who are assigned to 
duty other than operational flying duty and a justification for 
such assignments. 
(B) An analysis of current and projected aviator retention 
rates in the Armed Forces and of those current and projected 
retention rates actually needed to meet the requirements of the 
Armed Forces. 
(C) Such recommendations £is the Secretary considers appro-
priate regarding— 
(i) the initial active duty service commitment of aviators; 
(ii) the integration of the aviator career incentive pay 
under section 301a of title 37, United States Code, and the 
retention bonus under this section into a structure that 
more efficiently supports the retention requirements for 
aviators in the Armed Forces; and 
(iii) changes in the aviator management policies of the 
Armed Forces that would eliminate the disincentives cited 
by aviators as retention detractors. 
(D) Specific proposals for such legislation as the Secretary 
considers necessary to retain on active duty the aviators re-
quired to meet the needs of the Armed Forces. 
(i) LIMITATION ON OBUGATIONS.—The total amount of payments 
made to officers of the Air Force during fiscal year 1989 under this 
section may not exceed $36,200,000. 
(j) TERMINATION OF AUTHORITY.—If both reports required by para-
graphs (1) and (2) of subsection (h) are not received by the commit-
tees named in such paragraphs by the respective dates specified in 
such paragraphs, the authority to make payments under this section 
shall terminate effective December 2,1988. 
SEC. 612. MEDICAL OFFICER RETENTION BONUS 
37 USC 302 note. 
(a) BONUS AUTHORIZED.—(1) A medical officer described in subsec-
tion 0)) who, during the period beginning on January 1, 1989, and 
ending on September 30, 1989, executes a written agreement to 
remain on active duty for at least two years after completion of any 
other active-duty service commitment may, upon acceptance of the 
written agreement by the Secretary concerned, be paid a retention 
bonus as provided in this section. 
(2) The amount of such retention bonus shall be not more than 
$20,000 for each year covered by the agreement. 
OJ) COVERED OFFICERS.—This section applies to an officer of a 
uniformed service who— 
(1) is an officer of the Medical Corps of the Army or the Navy 
or an officer of the Air Force designated as a medical officer; 
(2) is in a pay grade below pay grade 0-7; 
(3) has at least eight years of creditable service (computed as 
described in section 302(g) of title 37, United States (Dode); and 
(4) has completed any active-duty service commitment in-
curred for medical education and training (or will have com-
pleted any such commitment before October 1,1991). 
(c) LIMITATION ON TOTAL COMPENSATION.—The Secretary of 
De-
fense shall ensure that no officer receives pay under this section 
which, when added to all other pay and allowances such officer 
receives pursuant to titles 10 and 37, United States C!ode, results in 
such officer receiving total compensation in an amount that exceeds 
102 STAT. 1980 
PUBLIC LAW 100-456—SEPT. 29, 1988 
the total compensation paid to comparable physicians (considering 
age, education, experience, certification, training, and other appro-
priate criteria), as determined by the Secretary, who are civilian 
physicians employed in the private sector in employment other than 
self-employment. The Secretary shall target payments under this 
section to officers in categories in which the most severe shortages 
exist in the Department of Defense. 
(d) ADMINISTRATION AND IMPLEMENTATION.—The provisions of 
subsections (a) and (b) of section 303a of title 37, United States Code, 
shall apply to the administration of this section as if a reference to 
this section were included in the list of sections referred to in such 
subsections. 
Contracts. 
(e) REFUNDS.—(1) Refunds shall be required, on a pro rata basis, of 
sums paid under this section if the officer who has received the 
payment fails to complete the total period of active duty specified in 
the agreement, as conditions and circumstances warrant. 
(2) An obligation to reimburse the United States imposed under 
paragraph (1) is for all purposes a debt owed to the United States. 
(3) A discharge in bankruptcy under title 11, United States Code, 
that is entered less than 5 years after the termination of an agree-
ment under this section does not discharge the member signing such 
agreement from a debt arising under such agreement or under 
Effective date. 
paragraph (1). This paragraph applies to any case commenced under 
title 11, United States Code, after January 1, 1989. 
(f) DEFINITIONS.—In this section, the terms "grade", ''member", 
"pay", "Secretary concerned", and "uniformed services" have the 
meanings given thise terms by section 101 of title 37, United States 
Code. 
(g) REPORTS.—(1) Not later than November 15, 1988, the Secretary 
of Defense shall submit to the Committees on Armed Services of the 
Senate and the House of Representatives a report describing the 
manner in which the authority provided in this section is to be used. 
The report shall include a description of the relative level of pay-
ments between officers in various categories. 
(2XA) Not later than December 1, 1988, the Secretary of Defense 
shall submit to the Committees on Armed Services of the Senate and 
the House of Representatives a report containing the following: 
(i) An analysis of current and projected requirements of the 
Armed Forces for health professionals by speciality and years of 
service, including a list of requirements for physicians who are 
£issigned to duties other than duties consisting primarily of 
providing patient care and a justification for those require-
ments. 
(ii) The Secretary's assessment of the adequacy of the existing 
compensation system for such health care professionals. 
(iii) Such recommendations for legislation as the Secretary 
considers necessary to attract and retain on active duty the 
health care professionals needed to meet the needs of the 
Armed Forces. 
(B) The Secretary shall include in his report a draft of legislation 
which, if enacted, would establish either— 
(i) a compensation system which provides total compensation 
that is competitive with the compensation paid comparable 
health care professionals (considering age, education, experi-
ence, certification, training, and other appropriate criteria) who 
are health care professionals employed in the private sector in 
employment other than self-employment; or 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1981 
(ii) a single military health care professional incentive com-
pensation program (in lieu of special pay provided under chap-
ter 5 of title 37, United States Code) which provides incentive 
compensation in sufficient amounts to ensure that the total 
amount of such compensation to which such health care profes-
sionals are entitled under the provisions of titles 10 and 37, 
United States Code, is competitive with the compensation paid 
comparable health care professionals (considering age, edu-
cation, experience, certification, training, and other appropriate 
criteria) who are health care professionals employed in the 
private sector in emplojnnent other than self-emplo3anent. 
(h) LIMITATION ON OBUGATIONS.—The total amount of payments 
made during fiscal year 1989 under this section may not exceed 
$30,000,000. 
(i) TERNUNATION OF AUTHORITY.—If both reports required by para-
graphs (1) and (2) of subsection (g) are not received by the commit-
tees named in such paragraphs by the respective dates specified in 
such paragraphs, the authority to make payments under this section 
shall terminate effective December 2,1988. 
SEC. 613. SPECIAL PAY FOR CRITICALLY SHORT WARTIME HEALTH 
37 USC 302 note. 
SPECIALISTS IN THE SELECTED RESERVE 
(a) IN GENERAL.—(1) An officer of a reserve component of the Contracts. 
Armed Forces described in paragraph (2) who executes a written 
agreement under which the officer agrees to serve in the Selected 
Reserve of an armed force for a period of not less than one year nor 
more than three years, beginning on the date the officer accepts the 
award of special pay under this section, may be paid special pay at 
an annual rate not to exceed $10,000. 
(2) An officer referred to in paragraph (1) is an officer in a health 
care profession who is qualified in a specialty designated by regula-
tions as a critically short wartime specialty. 
(3) Special pay under this section shall be paid annually at the 
beginning of each twelve-month period for which the officer has 
agreed to serve. 
(b) REFUND REQUIREMENT.—An officer who voluntarily terminates 
service in the Selected Reserve of an armed force before the end of 
the period for which a payment was made to such officer under this 
section shall refund to the United States the full amount of the 
payment made for the period on which the payment was based. 
(c) INAPPUCABIUTY OF DISCHARGE IN BANKRUPTCY.—A discharge 
Contracts. 
in bankruptcy under title 11, United States C!ode, that is entered 
less than 5 years after the termination of an agreement under this 
section does not discharge the person receiving such special pay 
from the debt arising under the agreement. 
(d) 
TERMINATION OF AGREEMENT AUTHORFFY.—No agreement 
under this section may be entered into after September 30, 1990. 
(e) PURPOSE OF PROGRAM.—The authority provided under this 
section shall be used only for the purpose of establishing and 
conducting a pilot test program to determine the effect that the 
pr(^am provided for in this section has on the retention of officers 
who are qualified in specialties designated by regulation as critically 
short wartime specialties. 
(f) REGULATIONS.—(1) This section shall be administered under 
regulations prescribed by the Secretary concerned and approved by 
the Secretary of Defense. 
102 STAT. 1982 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) As used in paragraph (1), the term "Secretary concerned" has 
the same meaning as provided in section 101(5) of title 37, United 
States Code. 
(g) LIMITATIONS ON OBUGATIONS.—The total amount of payments 
made during fiscal year 1989 as the result of agreements entered 
into under this section may not exceed $4,000,000. 
(h) REPORT.—(1) Not later than September 1,1988, the Secretary of 
Defense shall submit to the Committees on Armed Services of the 
Senate and the House of Representatives a report containing a 
description of the manner in which the pilot test progrsun provided 
for in this section is to be structured, including the minimum 
periods of service to be required for various levels of special pay 
under this section. 
(2) Not later than February 1, 1990, the Secretary also shall 
submit to such committees an evaluation of the effectiveness of the 
program and recommendations for its continuation or modification. 
Contracts; 
(i) EFFECTIVE DATE.—The authority to enter into agreements 
under this section shall take effect 30 days after the date on which 
the committees referred to in subsection (hXl) receive the report 
required by such subsection. 
PART C—OTHER PERSONNEL BENEFITS 
SEC. 621. HOUSING LEASE INDEMNITY PROGRAM 
(a) IN GENERAL.—(1) Chapter 53 of title 10, United States Code, is 
amended by adding at the end the following new section: 
"§ 1055. Waiver of security deposits for members renting private 
housing; authority to indemnify landlord 
"(a) The Secretary of Defense may carry out a program under 
which the Secretary of a military department agrees to indemnify a 
landlord who leases a rental unit to a member of the armed forces 
against a breach of the lease by the member or for damage to the 
rental unit caused by the member. In exchange for agreement for 
such indemnification by the Secretary, the landlord shall be re-
quired to WEiive any requirement for payment by the member of a 
security deposit that the landlord would otherwise require. 
"Ot)Xl) For purposes of carr3dng out a program authorized by 
subsection (a), the Secretary of a military department, to the extent 
funds are provided in advance in appropriation Acts, may enter into 
an agreement with any landlord who agrees to waive the require-
ment for a security deposit in connection with the lease of a rental 
unit to a member of the armed forces under the jurisdiction of the 
Secretary. An agreement tinder this paragraph shall provide that— 
"(A) the term of the agreement shall remain in effect during 
the term of the member's lease and during any lease renewal 
periods with the lessor; 
"(B) the member shall not pay a security deposit; 
"(C) the Secretary (except as provided in subparagraphs (D) 
and (E)) shall compensate the landlord for breach of the lease by 
the member and for damage to the rental unit caused by the 
member or by a guest or dependent of the member; 
"(D) the total liability of the Secretary for a breach of the 
lease or for damage described in subparagraph (C) may not 
exceed an amount equal to the amount that the Secretary 
determines would have been required by the landlord as a 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1983 
security deposit in the absence of an agreement authorized in 
this paragraph; 
"(E) the Secretary may not compensate the landlord for any 
claim for breach of the lease or for damage described in 
subparagraph (C) until the landlord exhausts any remedies 
available to the landlord (including submission to binding ar- 
/ 
bitration by a panel composed of military personnel and persons 
from the private sector) against the member for the breach or 
damage; and 
"(F) the Secretary shall be subrogated to the rights of the 
landlord in any case in which the Secretary compensates the 
landlord for breach of the lease or for damage described in 
subpargigraph (C). 
"(2) Any authority of the Secretary of a military department 
Regulations. 
under this section shall be'exercised under regulations prescribed by 
the Secretary of Defense. 
"(cXD The Secretary of a military department who compensates a 
landlord under subsection (b) for a breach of a lease or for damage 
described in subsection (b)(lXC) may issue a special order under 
section 1007 of title 37 to authorize the withholding from the pay of 
the member of an amount equal to the amount paid by the Sec-
retary to the landlord as compensation for the breach or damage. 
"(2) Before the Secretary of a military department issues a special Records. 
order under section 1007 of title 37 to authorize the withholding of 
any amount from the pay of a member for a breach or damage 
referred to in paragraph (1), the Secretary concerned shall provide 
the member with the same notice and opportunity for hearing and 
record inspection as provided an individual under section 5514(aX2) 
of title 5. The Secretary concerned shall prescribe regulations, Regulations. 
subject to the approval of the President, to carry out this paragraph. 
Such regulations shall be as uniform for the military departments 
as practicable. 
"(d) In this section, the term 'landlord' means a person who leases 
a rental unit to a member of the armed forces.". 
(2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"1055. Waiver of security deposits for members renting private housing; authority to 
indemnify landlord.". 
(b) EFFECTIVE DATE.—Section 1055 of title 10, United States Code, lo use 1055 
as added by subsection (a), shall take effect on October 1, 1988. note. 
SEC. 622. RETIRED PAY INVERSIONS RESULTING FROM COURT-MARTIAL 
PUNISHMENT 
(a) IN GENERAL.—Section 1401a(f) of title 10, United States Code, is 
amended by inserting after the second sentence the following: "How-
ever, in the case of a member who, after initially becoming eligible 
for retired pay, is reduced in grade pursuant to a sentence of a court-
martial, such computation may not be based on a grade higher than 
the grade in which the member is retired.". 
Ot)) EFFECTIVE DATE.—The amendment made by subsection (a) 
shall take effect on the first day of the first month that begins after 
the date of the enactment of this Act and shall apply to the 
computation of the retired or retainer pay of members who initially 
become entitled to such pay on or after such effective date. 
10 u s e 1401a 
note. 
102 STAT. 1984 
PUBLIC LAW 100-456—SEPT. 29, 1988 
SEC. 623. TRAVEL AND TRANSPORTATION ALLOWANCES FOR EMER-
GENCY TRAVEL 
(a) IN GENERAL.—Section 411e(a) of title 37, United States Code, is 
amended by striking out "incident to the serious illness or injury or 
the death of a dependent of the member" and inserting in lieu 
thereof "incident to a personal emergency of the member". 
37 use 41 le 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
note. 
shall apply with respect to travel performed after September 30, 
1988. 
SEC. 624. TRAVEL AND TRANSPORTATION ALLOWANCES INCIDENT TO 
VOLUNTARY EXTENSION OF OVERSEAS TOURS OF DUTY 
(a) CHANGE FROM MANDATORY TO PERMISSIVE.—Section 411g(a) of 
title 37, United States Code, is amended by striking out "is entitled" 
and inserting in lieu thereof "may be paid . 
37USC4iig 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
note. 
shall apply with respect to agreements to extend overseas tours of 
duty made on and after the date of the enactment of this Act. 
SEC. 625. CIVILIAN CLOTHING ALLOWANCE 
Section 419 of title 37, United States Code, is amended— 
(1) by striking out "member" each place it appears and 
inserting in lieu thereof "officer"; 
(2) by striking out "is entitled" and inserting in lieu thereof 
"may be paid"; and 
(3) by striking out "member's" and inserting in lieu thereof 
"officer's". 
PART D—BENEFITS RELATING TO INCAPACITATION OF CERTAIN 
RESERVE MEMBERS IN LINE OF DUTY 
SEC. 63 L COMPENSATION FOR CERTAIN RESERVE MEMBERS 
(a) AUTHORIZATION OF COMPENSATION.—Subsections (g) and (h) of 
section 204 of title 37, United States Code, are amended to read as 
follows: 
"(g)(1) A member of a reserve component of a uniformed service is 
entitled to the pay and allowances provided by law or regulation for 
a member of a regular component of a uniformed service of cor-
responding grade and length of service whenever such member is 
physically disabled as the result of an injury, illness, or disease 
incurred or aggravated— 
"(A) in line of duty while performing active duty; 
"(B) in line of duty while performing inactive-duty training 
(other than work or study in connection with a correspondence 
course of an armed force or attendance in an inactive status at 
an educational institution under the sponsorship of an armed 
force or the Public Health Service); or 
"(C) while traveling directly to or from such duty or training. 
"(2) In the case of a member who receives earned income from 
nonmilitary employment or self-employment performed in any 
month in which the member is otherwise entitled to pay and 
allowances under paragraph (1), the total pay and allowances shall 
be reduced by the amount of such income. In calculating earned 
income for the purpose of the preceding sentence, income from an 
income protection plan, vacation pay, or sick leave which the 
member elects to receive shall be considered. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1985 
"(hXD A member of a reserve component of a uniformed service 
who is physically able to perform his military duties, is entitled, 
upon request, to a portion of the monthly pay and allowances 
provided by law or regulation for a member of a regular component 
of a uniformed service of corresponding grade and length of service 
for each month for which the member demonstrates a loss of earned 
income from nonmilitary employment or self-employment as a 
result of an injury, illness, or disease incurred or aggravated— 
"(A) in line of duty while performing active duty; 
"(B) in line of duty while performing inactive-duty training 
(other than work or study in connection with a correspondence 
course of an armed force or attendance in an inactive status at 
an educational institution under the sponsorship of an armed 
force or the Public Health Service); or 
"(C) while traveling directly to or from such duty or training. 
"(2) The monthly entitlement may not exceed the member's dem-
onstrated loss of earned income from nonmilitary or self-employ-
ment. In calculating such loss of income, income from an income 
protection plan, vacation pay, or sick leave which the member elects 
to receive shall be considered.". 
(b) LIMIT ON TOTAL COMPENSATION.—Such section is further 
amended by redesignating subsection (i) as subsection (j) and by 
inserting after subsection (h) the following new subsection (i): 
"(iXD The total amount of pay and allowances paid under subsec-
tions (g) and (h) and compensation paid under section 206(a) of this 
title for any period may not exceed the amount of pay and allow-
ances provided by law or regulation for a member of a regular 
component of a uniformed service of corresponding grade and length 
of service for that period. 
"(2) Pay and allowances may not be paid under subsection (g) or 
(h) for a period of more than six months. The Secretary concerned 
may extend such period in any case if the Secretary determines that 
it is in the interests of fairness and equity to do so. 
"(3) A member is not entitled to benefits under subsection (g) or 
(h) if the injury, illness, disease, or aggravation of an injury, illness, 
or disease is the result of the gross negligence or misconduct of the 
member. 
"(4) Regulations with respect to procedures for pajdng pay and Regulations. 
allowances under subsections (g) and (h) shall be prescribed— 
"(A) by the Secretary of Defense for the armed forces under 
the jurisdiction of the Secretary; and 
"(B) by the Secretary of Transportation for the Coast Guard 
when the Coast Guard is not operating as a service in the 
Navy.". 
(c) CONFORMING AMENDMENT FOR INACTIVE-DUTY TRAINING.—Sec-
tion 206(a) of such title is amended by striking out "for a period of 30 
37 USC 206. 
days or less" in paragraph (3XAXi). 
(d) EFFECTIVE DATE.—The amendments made by this section shall 
37 USC 204 note. 
apply with respect to persons who, after the date of enactment of 
this Act, incur or aggravate an injury, illness, or disease, or who die 
as the result of incurring or aggravating an injury, illness, or 
disease. 
SEC. 632. TRAVEL FOR DEPENDENTS OF CERTAIN MEMBERS 
(a) TRAVEL AUTHORIZED.—Parsigraph (2) of section 411h(a) of title 
37, United States Code, is amended to read as follows: 
102 STAT. 1986 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(2) A member referred to in paragraph (1) is a member of the 
uniformed services who— 
"(A) is serving on active duty or is entitled to pay and 
allowances under section 204(g) of this title (or would be so 
entitled were it not for offsetting earned income described in 
that section); 
"(B) is seriously ill or seriously injured; and 
"(C) is hospitalized in a medical facility in or outside the 
United States.". 
37 use 411. 
(b) TRAVEL TO BURIAL CEREMONIES.—Section 411fl[a) of such title is 
amended by striking out "for a period of 30 days or more in order 
to" and inserting in lieu thereof or inactive duty in order that such 
dependents may . 
37 use 4iif 
(c) EFFECTIVE DATE.—The amendments made by this section shall 
note. 
take effect on October 1,1988. 
SEC. 633. INJURY, DISABILITY, AND DEATH COMPENSATION COVERAGE 
FOR ROTC CADETS DURING MILITARY TRAINING ACTIVITIES 
(a) AUTHORITY TO PRESCRIBE TRAINING.—(1) Subsection (a) of sec-
tion 2109 of title 10, United States Code, is amended to read as 
follows: 
"(a) For the further practical instruction of members of, and 
designated applicants for membership in, the program, the Sec-
retary of the military department concerned may prescribe and 
conduct practical military training, in addition to field training and 
practice cruises prescribed under section 21040t)X6) of this title. The 
Secretary concerned may require that some or all of the training 
prescribed under this subsection must be completed by a member 
before the member is commissioned.". 
(2) Subsection Ot)) of such section is amended— 
(A) by striking out "may—" and inserting in lieu thereof ", 
with respect to practical military training prescribed under this 
section and field training and practice cruises prescribed under 
section 21040t))(6) of this title, may—"; and 
(B) by striking out "field training" each place it appears and 
inserting in lieu thereof "such training". 
(3XA) The heading of such section is amended to read as follows: 
"§ 2109. Practical military training". 
(B) The item relating to such section in the table of sections at the 
beginning of chapter 103 of such title is amended to read as follows: 
"2109. Practical military training.". 
(b) COVERAGE FOR INJURY, DISABILITY, AND DEATH.—Section 8140 
of title 5, United States C!ode, is amended— 
(1) in subsection (a)— 
(A) by striking out "disability or death from an injury" 
and inserting in lieu thereof "an injury, disability, or 
death"; and 
(B) by striking out "field" before "training"; 
(2) in subsection (f), by striking out "while attending field 
training or a practice cruise under chapter 103 of title 10" and 
inserting in lieu thereof "by a military department in a facility 
of a military department"; and 
(3) by adding at the end thereof the following new subsection: 
"(g) For purposes of this section, the term 'applicant for member-
ship includes a student enrolled, during a semester or other enroll-
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1987 
ment term, in a course which is part of Reserve Officers' Training 
Corps instruction at an educational institution.". 
(c) TRAINING INCLUDED WITHIN CERTAIN DEFINITIONS.—(1) Para-
graph (22XD) of section 101 of title 38, United States Code, is 
amended— 
(A) by striking out "field"; and 
(B) by inserting "for a period of not less than four weeks and 
which must be completed by the member before the member is 
commissioned" after "title 10". 
(2) Paragraph (23) of such section is amended— 
(A) by striking out "and" at the end of clause (A); 
(B) by striking out the period at the end of clause (B) and 
inserting in lieu thereof "; and"; and 
(C) by inserting after clause (B) the follovring new clause: 
"(C) training (other than active duty for training) by a 
member of, or applicant for membership (as defined in section 
8140(g) of title 5) in, the Senior Reserve Officers' Training Corps 
prescribed under chapter 103 of title 10.". 
(d) PAY STATUS WHILE IN CERTAIN TRAINING.—Section 209(c) of 
title 37, United States C!ode, is amended by striking out "field 
training or practice cruises under section 2109 of title 10" and 
inserting in lieu thereof "training or practice cruises under chapter 
103 of title 10 if the training or cruise is of at leeist four weeks 
duration and must be completed before the cadet or midshipman is 
commissioned.". 
(e) EFFECTIVE DATE.—The amendments made by this section shall 
lo use 2109 
apply only with respect to training performed after September 30, note. 
1988. 
PART E—HEALTH CARE MANAGEMENT PROVISIONS 
SEC. 
6
4
1
. 
REQUIREMENT 
TO 
SUBMIT 
END 
STRENGTHS 
AND 
MANPOWER 
REPORT 
FOR 
MEDICAL 
PERSONNEL 
(a) END STRENGTH REQUIREMENT.—Section 115(bXl) of title 10, 
United States Code, is amended by adding at the end the following 
new subparagraph: 
"(D) At the same time the President submits the budget for any 
fiscal year to C>)ngress pursuant to section 1105 of title 31, the 
Secretary of Defense shall submit to (Ilongress recommendations for 
the end strength levels for medical personnel for each component of 
the armed forces as of the end of that fiscal year. For purposes of 
this subparagraph, the term 'medical personnel' includes— 
"(i) in the Army, members of the Medical Corps, Dental 
Corps, Nurse Corps, Medical Service Corps, Veterinary Cjrps, 
and Army Medical Specialist CJorps; 
"(ii) in the Air Force, members designated as medical officers, 
1 
dental officers. Air Force nurses, medical service officers, and 
biomedical science officers; 
"(iii) in the Navy, members of the Medical Ck)rps, Dental 
Corps, Nurse (Dorps, and Medical Service Corps; 
"(iv) enlisted personnel engsiged in or supporting medically-
related activities; and 
"(v) such other personnel as the Secretary considers appro-
priate.". 
(b) MANPOWER REPORT REQUIREMENT.—Section 115(bX3)(B) of such 
title is amended— 
(1) by striking out "and" at the end of clause (ii); 
102 STAT. 1988 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) by striking out the period at the end of clause (iii) and 
inserting in lieu thereof "; and"; and 
(3) by adding at the end the following new clause: 
"(iv) the m8inpower required to perform the medical missions 
of the armed forces and the Department of Defense.". 
SEC. 642. REQUIREMENTS WITH RESPECT TO CERTAIN NAVY MEDICAL 
PERSONNEL 
Of the amount appropriated for operation and maintenance for 
the Navy for fiscal year 1989, $15,000,000 shall be available only for 
the pay and allowances of those civilian employees of the Navy— 
(1) hired after September 30, 1988, to perform duties in sup-
port of Navy medical treatment facilities; and 
(2) only to the extent that the number of such employees 
hired after that date results in a greater number of such 
employees performing those duties for the Navy than were 
performing those duties for the Navy on September 30, 1988. 
SEC. 643. PROVISIONS 
RELATING 
TO 
NAVY 
HEALTH PROFESSION 
PERSONNEL 
(a) REPEAL.—Section 723 of the National Defense Authorization 
Act for Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 
1116) is repealed. 
(b) MINIMUM REQUIREMENTS.—(1) Of the total number of officers 
authorized to be serving on active duty in the Navy as of 
September 30, 1989, under section 401(2), 11,940 shall be available 
only for assignment to duties in health profession specialties. 
(2) Of the total number of officers authorized to be serving on 
active duty in the Navy as of September 30, 1990, 12,240 shall be 
available only for assignment to duties in health profession 
specialties. 
(3) Of the total number of officers authorized to be serving on 
active duty in the Navy as of September 30, 1991, 12,510 shall be 
available only for assignment to duties in health profession 
specialties. 
SEC. 644. SHARING 
OF 
HEALIH-CARE 
RESOURCES 
BETWEEN THE 
I 
DEPARTMENT OF DEFENSE AND THE VETERANS' ADMINIS-
\ 
TRATION 
Of the total amount appropriated for operation and maintenance 
for the Department of Defense for fiscal year 1989, $20,000,000 shall 
\ 
be available only for sharing health-care resources between the 
Department of Defense and the Veterans' Administration under 
section 5011 of title 38, United States Code, or under section 1535 of 
title 31, United States Code. 
SEC. 645. EXTENSION OF TERMINATION DATE FOR FORMER PUBLIC 
HEALTH SERVICE HOSPITALS AND REQUIREMENT THAT SUCH 
HOSPITALS BE COST EFFECTIVE 
Section 1252(e) of the Department of Defense Authorization Act, 
1984 (42 U.S.C. 248d(e)), is amended— 
(1) by striking out "1988" in the first sentence and inserting 
in lieu thereof '1990"; 
(2) by striking out "which identifies" in the second sentence 
and all that follows through the end of that sentence and 
inserting in lieu thereof the following: "which (1) identifies the 
facility whose status is being terminated, (2) specifies the date 
. 
^•^^i^^'^i^^^^^t^/^^ye^^tf-'^ 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1989 
on which such status is being terminated, and (3) certifies that 
more cost-effective medical and dental care for members and 
former members of the uniformed services or their dependents 
is available elsewhere in the same geographic area."; and 
(3) by inserting after the third sentence the following: "Each 
such copy of the order shall include a copy of the certification 
required in clause (3) of the second sentence of this subsection 
and shall contain cost data substantiating the termination deci-
sion and identifying how more cost-effective care could be pro-
vided to the affected individuals.". 
SEC. 646. ELIGIBILITY OF CERTAIN INSTITUTIONS TO RECEIVE RE-
IMBURSEMENT UNDER CHAMPUS 
(a) AcnvE-DuTY DEPENDENTS.—(1) Section 1079(b) of title 10, 
United States Code, is amended by adding at the end of paragraph 
(1) the following: "The Secretary of Defense may exempt a patient 
from paying such amount if the hospital to wnich the patient is 
admitted does not impose a legal obligation on any of its patients to 
pay for inpatient care.". 
(2) Section 1079 of such title is further amended by adding at the 
end the following new subsection: 
"(mXD Subject to paragraph (2), the Secretary of Defense may. Claims. 
upon request, make pajnnents under this section for a charge for 
services for which a claim is submitted under a plan contracted for 
under subsection (a) to a hospital that does not impose a legal 
obligation on any of its patients to pay for such services. 
"(2) A payment under paragraph (1) may not exceed the average 
amount paid for comparable services in the geographic area in 
which the hospital is located or, if no comparable services are 
available in that area, in an area similar to the area in which the 
hospital is located. 
"(3) The Secretary of Defense shall periodically review the billing 
practices of each hospital the Secretary approves for pa3rment under 
this subsection to ensure that the hospital's practices of not billing 
patients for payment are not resulting in increased costs to the 
Government. 
"(4) The Secretary of Defense may require each hospital the 
Secretary approves for payment under this subsection to provide 
evidence that it has sources of revenue to cover unbilled costs.". 
Qy) RETIREES AND THEIR DEPENDENTS.—(1) Section 1086(b) of title 
10, United States Code, is amended in paragraph (3) by adding at the 
end the following: "The Secretary of Defense may exempt a patient 
from pa3dng such charges if the hospital to which the patient is 
admitted does not impose a legal obligation on any of its patients to 
pay for inpatient care.". 
(2) Section 1086 of such title is further amended by adding at the 
end the following new subsection: 
"(hXD Subject to paragraph (2), the Secretary of Defense may. Claims. 
upon request, make payments under this section for a charge for 
services for which a claim is submitted under a plan contracted for 
under subsection (a) to a hospital that does not impose a legal 
obligation on any of its patients to pay for such services. 
"(2) A payment under paragraph (1) may not exceed the average 
amount paid for comparable services in the geographic area in 
which the hospital is located or, if no comparable services are 
available in that area, in an area similar to the area in which the 
hospital is located. 
102 STAT. 1990 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(3) The Secretary of Defense shall periodically review the billing 
practices of each hospital the Secretary approves for pajmient under 
this subsection to ensure that the hospital's practices of not billing 
patients for payment are not resulting in increased costs to the 
Grovernment. 
"(4) The Secretary of Defense may require each hospital the 
Secretary approves for pajonent under this subsection to provide 
evidence that it has sources of revenue to cover unbilled costs.". 
10 use 1079 
(c) EFFECTIVE DATE.—The amendments made by subsections (a) 
note. 
and (b) shall apply with respect to medical care received after 
September 30,1988. 
PART F—MISCELLANEOUS 
SEC. 651. LIMITED EXTENSION OF CERTAIN MEDICAL BENEFITS FOR 
FORMER SPOUSES 
(a) MEDICAL COVERAGE.—Section 1076 of title 10, United States 
Code, is amended by adding at the end the following new subsection: 
"(fKD A person described in paragraph (2) shall be considered a 
dependent for purposes of this section for a period of one year after 
the date of the person's final decree of divorce, dissolution, or 
annulment. In addition, if such a person purchases a conversion 
health policy within the one-year period referred to in the preceding 
sentence,'^uch person shall be entitled, upon request, to medical and 
dental care prescribed by section 1077 of this title for a period of one 
year after the purchase of the policy for any condition of the person 
that existed on the date on which coverage under the policy begins 
and for which care is not provided under that policy. 
"(2) A person referred to in paragraph (1) is a person who would 
qualify as a dependent under section 1072(2XG) but for the fact that 
the person's final decree of divorce, dissolution, or annulment is 
dated on or after April 1,1985. 
"(3) In this subsection, the term 'conversion health policy' means a 
health insurance plan with a private insurer, developed through 
negotiations between the Secretary of Defense and a private insurer, 
that is available for purchase by or for the use of persons described 
in paragraph (2).". 
Effective date. 
O
b
) CONFORMING AMENDMENT.—Section 645(c) of the Department 
of Defense Authorization Act, 1985 (10 U.S.C. 1072 note) is repealed 
effective as of the effective date of section 1076(f) of title 10, United 
States Code (as added by subsection (a)). 
10 use 1076 
(c) TRANSITION.—Any person who qualified as a dependent under 
note. 
section 645(c) of the Department of Defense Authorization Act, 1985, 
as in effect before its repeal by subsection (b), shall remain qualified 
as a dependent as specified in that section and shall become eligible 
for benefits in accordance with section 1076(f) of title 10, United 
States Code (as added by subsection (a)), when no longer qualified as 
a dependent pursuant to such section 645(c). 
10 use 1076 
(d) EFFECTIVE DATE.—Section 1076(f) of title 10, United States 
note. 
Code, as added by subsection (a), shall take effect on the date of 
enactment of this Act or 30 days after the Secretary of Defense first 
makes available a conversion health policy (as defined in such 
section), whichever is later. Such section shall apply to persons 
whose decree of divorce, dissolution, or annulment becomes final 
after the date of the enactment of this Act. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1991 
SEC. 652. TECHNICAL CORRECTION TO SURVIVOR BENEFIT PLAN COV-
ERAGE OF FORMER SPOUSES 
(a) INCLUSION OF FORMER SPOUSES IN SAVINGS PROVISION.—Section 
1451(e)(1) of title 10, United States Code, is amended— 
(1) by striking out "widow or widower" in subparagraph (A) 
and inserting in lieu thereof "widow, widower, or former 
spouse"; and 
(2) by inserting "or former spouse" in subparagraph (B) after 
"A spouse". 
(b) EFFECTIVE DATE.—The amendments made by subsection (a) lo use 1451 
shall apply to payments under the Survivor Benefit Plan established "°*®-
under subchapter II of chapter 73 of title 10, United States Code, for 
periods after February 28,1986. 
SEC. 653. ANNUITY FOR CERTAIN SURVIVING SPOUSES 
10 USC 1448 
(a) ANNUITY.—(1) The Secretary concerned shall pay an annuity to 
the qualified surviving spouse of each member of the uniformed 
services who— 
(A) died before November 1,1953; and 
(B) w£is entitled to retired or retainer pay on the date of 
death. 
(2) A qualified surviving spouse for purposes of this section is a 
surviving spouse who has not remarried and who is eligible for an 
annuity under section 4 of Public Law 92-425 (10 U.S.C. 1448 note). 
(b) AMOUNT OF ANNUITY.—(1) An annuity payable under this 
section shall be paid at the rate of $165 per month, as adjusted from 
time to time under subsection (c). 
(2) An annuity paid to a surviving spouse under this section shall 
be reduced by the amount of dependency and indemnity compensa-
tion (DIC) to which the surviving spouse is entitled under section 
411(a) of title 38, United States Code. 
(c) COST-OF-LIVING INCREASES.—Whenever retired or retainer pay 
is increased under section 1401a(b)(2) of title 10, United States Code, 
each annuity that is payable under this section shall be increased at 
the same time and by the same total percent. The amount of the 
increase shall be based on the monthly annuity payable before any 
reduction under this section. 
(d) RELATIONSHIP TO OTHER PROGRAMS.—An annuity paid to a 
surviving spouse under this section is in addition to any pension to 
which the surviving spouse is entitled under subchapter III of 
chapter 15 of title 38, United Staces Code, or section 306 of the 
Veterans' and Survivors' Pension Improvement Act of 1978 (38 
U.S.C. 521 note), and any payment made under the provisions of 
section 4 of Public Law 92-425. An annuity paid under this section 
shall not be considered as income for the purposes of eligibility for 
any such pension. 
(e) DEFINITIONS.—For purposes of this section: 
(1) The terms "uniformed services" and "Secretary con-
cerned" have the meanings given those terms in section 101 of 
title 37, United States Code. 
(2) The term "surviving spouse" has the meaning given the 
terms "widow" and "widower" in paragraphs (3) and (4), respec-
tively, of section 1447 of title 10, United States Code. 
(f) EFFECTIVE DATE.—Annuities under this section shall be paid for 
months beginning after the month in which this Act is enacted. No 
benefit shall accrue to any person by reason of the enactment of this 
section for any period biefore the first month referred to in the 
102 STAT. 1992 
PUBLIC LAW 100-456—SEPT. 29, 1988 
preceding sentence. No benefit shall be paid to any person under 
this section unless an application for such benefit has been filed 
with the Secretary concerned by or on behalf of such person. 
SEC. 654. REPORT ON DEFINITION OF DEPENDENT FOR CERTAIN 
PURPOSES 
(a) REPORT.—The Secretary of Defense shall submit to the 
Committees on Armed Services of the Senate and House of Rep-
resentatives a report on the desirabihty of providing in law a more 
uniform and consistent definition of the term "dependent" for the 
purpose of determining the eligibility of a person, based upon the 
relationship of such person to a member or former member of the 
uniformed services, for various rights and benefits provided by law, 
including the following: 
(1) Pay and allowances under title 37, United States Code. 
(2) Rights and benefits (including eligibility for travel and 
commissary store privil^es) under chapters 53 and 54 of title 
10, United States Code. 
(3) Medical and dental care under chapter 55 of title 10, 
United States Code. 
Ooi) DEADLINE FOR REPORT.—The Secretary shall submit the report 
required by subsection (a) not later than March 15, 1989, together 
with such comments and recommendations for l^islation as he 
considers appropriate. 
TITLE VH—DEPARTMENT OF DEFENSE ORGANIZATION 
AND MANAGEMENT 
PART A—ORGANIZATION 
SEC. 701. AUTHORITY TO ESTABLISH POSITION OF ASSISTANT SEC-
RETARY OF DEFENSE FOR INTELLIGENCE 
Paragraph (3) of section 136(b) of title 10, United States Code, is 
amend^ to read as follo^^: 
"(3XA) One of the Assistant Secretaries shall be the Assistant 
Secretary of Defense for C!ommand, Control, Communications, and 
Intelligence. He shall have as his principal duty the overall super-
vision of command, control, communications, and intelligence 
affairs of the Department of Defense. 
"(B) Notwithstanding subparagraph (A), one of the Assistant Sec-
retaries established by the Secretary of Defense may be an Assistant 
Secretary of Defense for Intelligence, who shall have as his principal 
duty the overall supervision of intelligence affairs of the Depart-
ment of Defense. 
"(C) If the Secretary of Defense establishes an Assistant Secretary 
of Defense for Intelligence, the Assistant Secretary provided for 
under subparagraph (A) shall be the Assistant Secretary of Defense 
for C!ommand, Control, and Conununications and shall have as his 
principal duty the overall supervision of command, control, and 
communications affairs of the Department of Defense.". 
SEC. 702. DESIGNATION IN EACH MILITARY DEPARTMENT OF ASSISTANT 
SECRETARY WITH RESPONSIBILITY FOR FINANCIAL MANAGE 
MENT 
(a) DEPARTMENT OF THE ARMY.—(1) Section 3016(b) of title 10, 
United States Code, is amended by adding at the end the following 
new paragraph: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1993 
"(4) One of the Assistant Secretaries shall be the Assistant Sec-
retary of the Army for Financi£il Management. The Assistant Sec-
retary shall have as his principal responsibility the exercise of the 
comptroller functions of the Department of the Army, including 
hnancial management functions. The Assistant Secretary shall be 
responsible for all financial management activities and operations of 
the Department of the Army and shall advise the Secretary of the 
Army on financial management.". 
(2) Chapter 303 of such title is amended by adding at the end the 
following new section: 
"§ 3022. Financial management 
10 use 3022 
"(a) The Secretary of the Army shall provide that the Assistant 
Secretary of the Army for Financial Management shall direct and 
manage financial management activities and operations of the 
Department of the Army, including ensuring that financial manage-
ment systems of the Department of the Army comply with subsec-
tion (b). The authority of the Assistant Secretary for such direction 
and memagement shall include the authority to— 
"(1) supervise and direct the preparation of budget estimates 
of the Department of the Army and otherwise carry out, with 
respect to the Department of the Army, the functions specified 
for the Comptroller of the Department of Defense in section 
137(c) of this title; 
"(2) approve and supervise any project to design or enhance a 
financial maneigement system for the Department of the Army; 
and 
"(3) approve the establishment and supervise the operation of 
any asset management system of the Department of the Army, 
including— 
"(A) systems for cash management, credit management, 
and debt collection; and 
"(B) systems for the accounting for the quantity, location, 
and cost of property and inventory. 
"(bXD Financial management systems of the Department of the 
Army (including accounting systems, internal control systems, and 
financial reporting systems) shall be established and maintained in 
conformance with— 
"(A) the accounting and financial reporting principles, stand-
ards, and requirements established by the Comptroller General 
under section 3511 of title 31; and 
"(B) the internal control standards established by the 
Comptroller General under section 3512 of title 31. 
"(2) Such systems shall provide for— 
"(A) complete, reliable, consistent, and timely information 
which is prepared on a uniform basis and which is responsive to 
the financial information needs of department management; 
"(B) the development and reporting of cost information; 
"(C) the integration of accounting and budgeting information; 
and 
"(D) the systematic measurement of performance. 
"(c) The Assistant Secretary shall maintain a five-year plan 
describing the activities the Department of the Army proposes to 
conduct over the next five fiscal years to improve financial manage-
ment. Such plan shall be revised annually. 
"(d) The Assistant Secretary of the Army for Financial Manage- Reports. 
ment shall transmit to the Secretary of the Army a report each year 
102 STAT. 1994 
PUBLIC LAW 100-456—SEPT. 29, 1988 
on the activities of the Assistant Secretary during the preceding 
year. Each such report shall include a description and analysis of 
the status of Department of the Army financial management.". 
(3) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"3022. Financial management.". 
10 use 5016. 
(b) DEPARTMENT OF THE NAVY.—Section 5016(b) of such title is 
amended by adding at the end the following new paragraph: 
"(3) One of the Assistant Secretaries shall be the Assistant Sec-
retary of the Navy for Financial Management. The Assistant Sec-
retary shall have as his principal responsibility the exercise of the 
comptroller functions of the Department of the Navy, including 
financial management functions. The Assistant Secretary shall be 
responsible for all financial management activities and operations of 
the Department of the Navy and shall advise the Secretary of the 
Navy on financial management.". 
(2) Chapter 503 of such title is amended by adding at the end the 
following new section: 
10 use 5025. 
"§ 5025. Financial management 
"(a) The Secretary of the Navy shall provide that the Assistant 
Secretary of the Navy for Financial Management shall direct and 
manage financial management activities and operations of the 
Department of the Navy, including ensuring that financial manage-
ment systems of the Department of the Navy comply with subsec-
tion (b). The authority of the Assistant Secretary for such direction 
and management shall include the authority to— 
"(1) supervise and direct the preparation of budget estimates 
of the Department of the Navy and otherwise carry out, with 
respect to the Department of the Navy, the functions specified 
for the Comptroller of the Department of Defense in section 
137(c) of this title; 
"(2) approve and supervise any project to design or enhance a 
financial management system for the Department of the Navy; 
and 
"(3) approve the establishment and supervise the operation of 
any asset management system of the Department of the Navy, 
including— 
"(A) systems for cash management, credit management, 
and debt collection; and 
"(B) sjrstems for the accounting for the quantity, location, 
and cost of property and inventory. 
"(bXD Financial management systems of the Department of the 
Navy (including accounting systems, internal control systems, and 
financial reporting systems) shall be established and maintained in 
conformance with— 
"(A) the accounting and financial reporting principles, stand-
ards, and requirements established by the Comptroller General 
under section 3511 of title 31; and 
"(B) the internal control standards established by the 
Comptroller General under section 3512 of title 31. 
"(2) Such systems shall provide for— 
"(A) complete, reliable, consistent, and timely information 
which is prepared on a uniform basis and which is responsive to 
the financisd information needs of department management; 
"(B) the development and reporting of cost information; 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1995 
"(C) the integration of accounting and budgeting information; 
and 
"(D) the systematic measurement of performance. 
"(c) The Assistant Secretary shall maintain a five-year plan 
describing the activities the Department of the Navy proposes to 
conduct over the next five fiscal years to improve financial manage-
ment. Such plan shall be revised annually. 
"(d) The Assistant Secretary of the Navy for Financial Manage- Reports. 
ment shall transmit to the Secretary of the Navy a report each year 
on the activities of the Assistant Secretary during the preceding 
year. Each such report shall include a description and analysis of 
the status of Department of the Navy financial management.". 
(3) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"5025. Financial management.". 
(c) DEPARTMENT OF THE AIR FORCE.—Section 8016(b) of such title is lO use 8016. 
amended by adding at the end the following new paragraph: 
"(3) One of the Assistant Secretaries shall be the Assistant Sec-
retary of the Air Force for Financial Management. The Assistant 
Secretary shall have as his principal responsibility the exercise of 
the comptroller fimctions of the Department of the Air Force, 
including financial management functions. The Assistant Secretary 
shall be responsible for all financial management activities and 
operations of the Department of the Air Force and shall advise the 
Secretary of the Air Force on financial management.". 
(2) Chapter 803 of such title is amended by adding at the end the 
following new section: 
"§ 8022. Financial management 
lO use 8022. 
"(a) The Secretary of the Air Force shall provide that the Assist-
ant Secretary of the Air Force for Financial Management shall 
direct and manage financial management activities and operations 
of the Department of the Air Force, including ensuring that finan-
cial management systems of the Department of the Air Force 
comply with subsection (b). The authority of the Assistant Secretary 
for such direction and management shall include the authority to— 
"(1) supervise and direct the preparation of budget estimates 
of the Department of the Air Force and otherwise carry out, 
with respect to the Department of the Air Force, the functions 
specified for the Comptroller of the Department of Defense in 
section 137(c) of this title; 
"(2) approve and supervise any project to design or enhance a 
financial management system for the Department of the Air 
Force; and 
"(3) approve the establishment and supervise the operation of 
any asset management system of the Department of the Air 
Force, including— 
"(A) systems for cash management, credit management, 
and debt collection; and 
"(B) systems for the accounting for the quantity, location, 
and cost of property and inventory. 
"(bXD Financial management systems of the Department of the 
Air Force (including accounting systems, internal control systems, 
and financial reporting systems) shall be established and main-
tained in conformance with— 
102 STAT. 1996 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(A) the accounting and financial reporting principles, stand-
ards, and requirements established by the Comptroller General 
under section 3511 of title 31; and 
"(B) the internal control standards established by the 
Comptroller General under section 3512 of title 31. 
"(2) Such systems shall provide for— 
"(A) complete, reliable, consistent, and timely information 
which is prepared on a uniform basis and which is responsive to 
the financial information needs of department management; 
"(B) the development and reporting of cost information; 
"(C) the integration of accounting and budgeting information; 
and 
"(D) the systematic measurement of performance. 
"(c) The Assistant Secretary shall maintain a five-year plan 
describing the activities the Department of the Air Force proposes to 
conduct over the next five fiscal years to improve financial manage-
ment. Such plan shall be revised annually. 
Reports. 
"(d) The Assistant Secretary of the Air Force for Financial 
Management shall transmit to the Secretary of the Air Force a 
report each year on the activities of the Assistant Secretary during 
the preceding year. Each such report shall include a description and 
analysis of the status of Department of the Air Force financial 
management.". 
(3) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"8022. Financial management.". 
(d) NUMBER OF ASSISTANT SECRETARIES IN THE DEPARTMENT OF THE 
10 use 8016. 
AIR FORCE.—Section 8016(a) of such title is amended by striking out 
"three" and inserting in lieu thereof "four". 
10 use 3016 
(e) EFFECTIVE DATES.—(1) The amendments made by subsections 
note. 
(a) and (b) shall take effect on January 20,1989. 
10 use 8016 
(2) The amendments made by subsections (c) and (d) shall take 
note. 
effect on July 1, 1989, except that such amendments shall take effect 
on such earlier date, but not before January 21, 1989, as may be 
prescribed by the President in advance by Executive order. 
SEC. 703. GENERAL COUNSELS OF MILITARY DEPARTMENTS 
(a) REQUIREMENT FOR ADVICE AND CONSENT OF SENATE.—Sections 
3019, 5019, and 8019 of title 10, United States Code, are each 
amended by inserting ", by and with the advice and consent of the 
Senate" after "President". 
5 use 5316 note. 
0^) PAY GRADE.—Notwithstanding section 5316 of title 5, United 
States Code, the General Counsel of each of the military depart-
ments shall be paid at the highest rate of basic pay payable under 
section 5382 of title 5, United States Code, to a member of the Senior 
Executive Service. 
10 use 3019 
(c) APPUCABIUTY.—The amendments made by this section shall 
note. 
apply to appointments made under sections 3019, 5019, and 8019, 
respectively, of title 10, United States Code, on and after the date of 
the enactment of this Act. 
10 use 1251 
SEC. 704. DEFERRAL OF RETIREMENT DATE FOR CHAIRMAN OF THE 
note. 
JOINT CHIEFS OF STAFF 
Notwithstanding the limitation contained in the first sentence of 
subsection (b) of section 1251 of title 10, United States Code, the 
President may defer until October 1, 1989, the retirement of the 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1997 
officer serving as Chairman of the Joint Chiefs of Staff for the term 
which b^an on October 1,1987. 
PART B—FORCE STRUCTURE 
SEC. 711. ASSIGNMENT OF COMBATANT FORCES 
Section 162(a) of title 10, United States Code, is amended— 
(1) in paragraph (1), by inserting "or to the United States 
element of the North American Air Defense Command" in the 
^rst sentence after "combatant commands"; 
(2) in paragraph (2), by inserting "or to the United States 
element of the North American Air Defense Conmiand" after 
"combatant commands"; and 
(3) in paragraph (3), by inserting "or to the United States 
element of the North American Air Defense Conmiand" £Lfter 
"combatant command". 
SEC. 712. RESPONSIBILITY AND AUTHORITY OF COMMANDER OF SPECIAL 
OPERATIONS COMMAND 
Section 167(e) of title 10, United States Code, is amended— 
(1) by striking out "activities, including the following func-
tions:" and inserting in lieu thereof "activities, 
"(2) The commander of such command shall be responsible for, 
and shall have the authority to conduct, the following functions 
relating to special operations activities (whether or not relating to 
the special operations command):"; 
(2) by strikinjg out subparagraphs (F) and (G); 
(3) by redesignating subparagraphs (B) through (E) as sub-
paragraphs (D) throi^h (G), respectively; 
(4) by inserting after subparagraph (A) the following new 
subparagraphs: 
"(B) Preparing and submitting to the Secretary of Defense 
program recommendations and budget proposals for special 
operations forces and for other forces assigned to the special 
operations command. 
"(C) Exercising authority, direction, and control over the 
expenditure of funds— 
"(i) for forces assigned to the special operations command; 
and 
"(ii) for special operations forces assigned to unified 
combatant commands other than the special operations 
command, with respect to all matters covered by paragraph 
(4) and, with respect to a matter not covered by paragraph 
(4), to the extent directed by the Secretary of Defense."; 
(5) by striking out paragraph (2) (as in effect immediately 
before the enactment of tlus Act) and inserting in lieu thereof 
the following: 
"(3) The commander of the special operations command shall be 
responsible for— 
"(A) ensuring the combat readiness of forces assigned to the 
special operations command; and 
"(B) monitoring the preparedness to carry out assigned mis-
sions of special operations forces assigned to unified combatant 
commands other than the special operations command. 
"(4XA) The commander of the special operations command shall 
be responsible for, and shall have the authority to conduct, the 
following: 
102 STAT. 1998 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(i) Development and acquisition of special operations-
peculiar equipment. 
"(ii) Acquisition of special operations-peculiar material, sup-
plies, and services."; 
(6) by striking out "(3) Subject to" and inserting in lieu 
thereof "(B) Subject to"; 
(7) by striking out "paragraph (IXG)" and inserting in lieu 
thereof "subparagraph (A)"; and 
(8) by designating the sentence beginning "The staff of the 
commander" as subparagraph (C). 
SEC. 713. STRATEGIC AIR DEFENSE ALERT MISSION 
National Guard. 
(a) LIMITATION.—Except as provided in subsection (bX2), the Sec-
retary of the Air Force may not make any change in the alert status 
of any Air National Guard unit in the strategic air defense mission 
in the northern portion of the United States, or in the deployment of 
units assigned to that mission, from that status and deployment as 
in effect on April 10,1988. 
OD) REPORT.—(1) After the North Warning System and the Over-
the-Horizon Backscatter Radar System are deployed and in oper-
ation as replacements for the Distant Early Warning (DEW line) 
system, the Secretary of Defense, acting through the Chairman of 
the Joint Chiefs of Staff, shall submit to Congress a report on those 
systems. The report shall— 
(A) describe the implementation of those systems and their 
operational capability and effectiveness as demonstrated up to 
the time of the report; 
(B) describe plans, in light of those new systems, for the 
forward deployment of the interceptor aircraft from United 
States bases during periods of heightened international tension; 
and 
(C) clarify the alert status in the strategic air defense mission, 
under those new systems, of elements of the Air Force (includ-
ing elements of the reserve components) at Air Force bases in 
the northern portions of the United States. 
(2) The limitation in subsection (a) shall cease to apply 180 days 
after the date on which Congress receives the report required by 
paragraph (1). 
(c) INTERIM REPORT.—Not later than February 1, 1989, the Sec-
retary of Defense, acting through the Chairman of the Joint Chiefs 
of Staff, shall submit to Congress a report setting forth in detail 
each of the following: 
(1) A description of the radar surveillance system and the 
alert cuid non-alert interceptor aircraft which will be available 
during each of fiscal years 1989, 1990, and 1991 along the 
northern border of the United States to carry out the strategic 
air defense mission. 
(2) A description of the specific contributions to the strategic 
air defense mission expected to be made by the units identified 
in subsection (a) during each of those fiscal years. 
(3) A specific recommendation as to whether the limitation in 
subsection (b) should be renewed and made permanent after 
fiscal year 1989. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 1999 
SEC. 714. REPORTS ON BUDGETS FOR UNIFIED AND SPECIFIED COM-
MANDS 
(a) REPORTS BY COMMANDERS OF COMBATANT COMMANDS.—(1) The 
commander of each of the unified and specified commands shall, not 
later than April 1, 1989, prepare an independent report on the 
implementation of the resource allocation provisions of title 10, 
United States Code, enacted by the Goldwater-Nichols Department 
of Defense Reorganization Act of 1986 (Public Law 99-433) that are 
specified in paragraph (2) and any other resource allocation provi-
sion enacted by that Act which the commander concerned considers 
appropriate. 
(2) The sections of title 10, United States Code, referred to in 
paragraph (1) are the following: 
(A) Section 153(aX4) (A), (B), (O, and (D), relating to advice on 
requirements, pn^ams, and budget. 
(B) Section 163(bX2), relating to the role of the Chairman as 
spokesman for the conunanders of the uniHed and specified 
combatant commands. 
(C) Section 166, relating to budget proposals for such com-
mands. 
Qy) MATTERS TO BE INCX.UDED.—Each report required by subsection 
(a) shall address the following matters: 
(1) The status of implementation of each of the provisions 
referred to in subsection (aX2) and any other related resource 
allocation provisions. 
(2) For any provision referred to in subsection (aX2) that is not 
fiilly implemented and for which the commander is responsible 
or shares responsibility, the date estimated by the commander 
concerned for final implementation of such provisions. 
(3) An evaluation of the effect that each provision referred to 
in subsection (aX2) has had or will have on (A) improving 
decisions within the Department of Defense with respect to the 
allocation of resources, and (B) improving the implementation 
of such decisions. 
(4) With respect to section 166 of title 10, United States Code, 
the assessment by the commander, supported by actual exam-
ples, of what the effect would be of a small budget (in an annuad 
amount of not more than $50,0(K),000) that would be managed 
by the Chairman of the Joint Chiefs of Staff but which would be 
controlled for execution by the commander and that would be 
available for activities to which the commander assigns a high 
priority, such as— 
(A) JC!!S/non-JCJS exercises (including foreign country 
participation); 
(B) on-going contingencies; 
(C) command and control; 
(D) training; and 
(E) selected operations. 
(5) The views of the commander on the optimum role of the 
unified and specified commands in resource allocation decision-
making and execution within the Department of Defense. 
(6) The assessment of the commander concerning the d^ree 
to which that optimum role is played, as of the time of the 
preparation of the report, by his command. 
102 STAT. 2000 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(7) The assessment of the commander of whether current law, 
r^^ations, policies, and procedures provide the latitude for his 
command to play that optimum role. 
(c) REPORT BY CHAIRBHAN OF JOINT CHIEFS OF STAFF.—<1) 
The 
Chairman of the Joint Chiefs of Staff shall, not later than April 1, 
1989, prepare a report on the implementation of the resource alloca-
tion provisions of title 10, United States Code, enacted by the 
Goldwater-Nichols Department of Defense Reorganization Act of 
1986 (Public Law 99-433) that are specified in paragraph (2) and any 
other resource allocation provision enacted by that Act which the 
Chairman considers appropriate. 
(2) The sections of title 10, United States Code, referred to in 
paragraph (1) are the following: 
(A) Section 113(g), relating to annual guidance by the 
Secretary of Defense to the heads of Department of Defense 
components. 
(B) Section 153(aX2XA), relating to the preparation of s t r a t ^ c 
plans. 
(C) Section 153(aX3XC), relating to the preparation and review 
of contingency plans. 
(D) Section 153(aX4), relating to advice by the Chairman to the 
Secretary of Defense concerning the requirements, pr<^ams, 
and budget of the Department of Defense. 
4^) Section 163(bX2), relating to the role of the Chairman as 
spokesman for the commanders of the unified and speciHed 
combatant commands. 
(F) Section 166, relating to budget proposals for such 
commands. 
(d) MATTERS TO BE INCLUDED.—The report required by subsection 
(c) shall address the following matters: 
(1) The status of implementation of each of the provisions 
referred to in subsection (cX2) and any other related resource 
allocation provisions. 
(2) For any provision referred to in subsection (cX2) that is not 
fully implemented, the date estimated by the Chairman for 
final implementation of such provisions. 
(3) An evaluation of the effect that each provision referred to 
in subsection (cX2) has had or will have on (A) improving 
decisions within the Department of Defense with respect to the 
allocation of resources, and (B) improving the implementation 
of such decisions. 
(4) The views of the Chairman on the optimum role of the 
unified and specified commands, the Joint Staff, and the Chair-
man in resource allocation decisionmaking and execution 
within the Department of Defense . 
(5) The assessment of the Chairman concerning the degree to 
which those optimum roles are played, as of the time of the 
preparation of the report, by the unified and specified com-
mands, the Joint Staff, and the Chairman. 
(6) The assessment of the Chsdrman of whether current law, 
r^ulations, policies, and procedures provide the latitude for the 
unified and specified commands, the Joint Staff, and the Chair-
man to play those optimum roles. 
(e) SUBMISSION OF REPORTS.—The commanders of the unified and 
specified conunands shall each submit the report required by subsec-
tion (a) to the Secretary of Defense. The Chairman of the Joint 
Chiefs of StafT shall submit the report required by subsection (c) to 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2001 
the Secretary. The Secretary shall transmit those reports, without 
change, to the Committees on Armed Services of the Senate and 
House of Representatives not later than April 1,1989, together with 
such comments on the reports and such recommendations as the 
Secretary considers appropriate. 
SEC. 715. REPORT ON INITIAL REVIEW OF UNIFIED COMMAND PLAN AND 
INITIAL REVIEW OF SERVICE ROLES AND MISSIONS 
(a) REPORT REQUIREMENT.—Not later than April 1, 1989, the Sec-
retary of Defense shall submit to the Committees on Armed Services 
of the Senate and House of Representatives a report on the im-
plementation of sections 153(b) and 161(b) of title 10, United States 
Code. 
(b) INITIAL REVIEW OF SERVICE ROLES AND MISSIONS.—With respect 
to the initial report of the Chairman of the Joint Chiefs of Staff to 
the Secretary of Defense under such section 153(b) (relating to the 
assignment of functions (or roles and missions) to the Armed 
Forces), the report under subsection (a) shall particularly describe 
how such report addressed each of the matters that the Chairman 
was required (under the second sentence of such section) to consider 
in preparing the report. 
(c) INITIAL REVIEW OF THE UNIFIED COMMAND PLAN.—With respect 
to the initial review of the Chairman under such section 161(b) 
(relating to the missions, responsibilities, and force structures of the 
unified and specified combatant commands), the report under 
subsection (a) shall particularly describe how such review took into 
consideration each of the matters specified in paragraphs (1) 
through (10) of section 212(a) of the Goldwater-Nichols Department 
of Defense Reorganization Act of 1986 (Public Law 99-433; 100 Stat. 
1017). 
(d) MATTERS TO BE INCLUDED.—The report under subsection (a) 
shall describe, with respect to the reports referred to in subsections 
(b) and (c)— 
(1) the Secretary's evaluation of each of the findings and 
conclusions of the Chairman in each such report; 
(2) how the Secretary has implemented (or proposes to imple-
ment) each of the recommendations in each such report; and 
(3) such recommendations for further legislative and adminis-
trative action £is the Secretary considers appropriate based on 
his review of the reports. 
PART C—PERSONNEL-RELATED PROVISIONS 
SEC. 721. REGULATIONS FOR DELIVERY OF MILITARY PERSONNEL TO 
10 USC 814 note. 
CIVIL 
AUTHORITIES 
WHEN 
CHARGED 
WITH 
CERTAIN 
OFFENSES 
(a) Not later than 90 days after the date of enactment of this Act, 
the Secretary of Defense shall ensure that the Secretaries of the 
military departments have issued uniform regulations pursuant to 
section 814 of title 10, United States Code, to provide for the delivery 
of members of the Armed Forces to civilian authority when such 
members have been accused of offenses against civil authority. Such 
regulations shall specifically provide for the delivery of such mem-
bers to civilian authority, in appropriate cases, when such members 
are accused of parental kidnapping and other similar offenses, 
including criminal contempt arising from such offenses and from 
child custody matters, and shall specifically address the special 
102 STAT. 2002 
PUBLIC LAW 100-456—SEPT. 29, 1988 
needs for the exercise of the authority contained in section 814 of 
title 10, United States Code, when members of the Armed Forces 
assigned overseas are accused of offenses by civilian authorities, 
(b) Not later than 120 days after the enactment of this Act, the 
Secretary of Defense shall transmit to the Committees on Armed 
Services of the Senate and House of Representatives a copy of all 
regulations promulgated under section 814 of title 10, United States 
Code, as a result of this section and any recommendations that the 
Secretary may have concerning the need for additional legislation 
related to the amenability of members of the Armed Forces to civil 
authority. 
SEC. 722. ANNUITIES FOR JUDGES OF UNITED STATES COURT OF MILI-
TARY APPEALS 
(a) IN GENERAL.—Section 867 of title 10, United States Code 
(article 67 of the Uniform Code of Military Justice), is amended by 
adding at the end the following new subsection: 
"(iXD A judge of the United States Court of Military Appeals who 
is separated from civilian service in the Federal Government after 
completing the term of service for which he was appointed as a 
judge of the court is eligible for an annuity under this subsection. 
An individual who is a former judge of the court who is separated 
from civilian service in the Federal Government and who completed 
the term of service on the court for which he was appointed is 
eligible for an annuity under this subsection. A judge or former 
judge who is eligible for an annuity under this subsection shall be 
paid that annuity if he elects, at the time he becomes eligible to 
receive that annuity, to receive that annuity in lieu of any other 
annuity for which he may be eligible at the time of such election 
(whether an immediate or a deferred annuity) under subchapter III 
of chapter 83 or chapter 84 of title 5 or any other retirement system 
for civilian employees of the Federal Government. Such an election 
may not be revoked. 
"(2) The annuity of a judge or former judge under this subsection 
is 80 percent of the rate of pay for a judge in active service on the 
United States Court of Military Appeals as of the date on which the 
judge or former judge is separated from civilian service. 
"(3) Nothing in this subsection affects any right of a judge or 
former judge to participate in the thrift savings plan under sub-
chapter III of chapter 84 of title 5. 
Regulations. 
"(4) The Secretary of Defense shall prescribe by regulation a 
program to provide annuities for survivors and former spouses of 
judges and former judges who receive an annuity under this subsec-
tion. That program shall, to the maximum extent practicable, pro-
vide benefits and establish terms and conditions that are similar to 
those provided under survivor and former spouse annuity programs 
under retirement systems for civilian employees of the Federal 
Government. The program may include provisions for the reduction 
in the annuity paid the judge or former judge as a condition for the 
annuity. An election by a judge or former judge to receive an 
annuity under this subsection terminates any right or interest 
which any individual may have to an annuity under any other 
retirement system for civilian employees of the Federal Government 
based on the service of the judge or former judge. 
"(5) The Secretary of Defense shall periodically increase annuities 
and survivor annuities paid under this subsection in order to take 
Regulations. 
account of changes in the cost of living. The Secretary shall pre-
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2003 
scribe by regulation procedures for increases in annuities under this 
subsection. Such system shall, to the maximum extent appropriate, 
provide cost-of-living adjustments that are similar to those that are 
provided under other retirement systems for civilian employees of 
the Federal Government. 
"(6) A retired judge or former judge of the court who is receiving 
an annuity under this subsection and who is appointed to a position 
in the Federal Government shall, during the period of such retired 
judge's or former judge's service in such position, be entitled to 
receive only the annuity under this subsection or the pay for that 
position, whichever is paid at the higher rate. 
"(7) A retired judge or former judge who is entitled to an annuity 
under this subsection and who later is appointed £is a justice or 
judge of the United States to hold office during good behavior and 
who retires from that office, or from regular active service in that 
office, shall be paid either (A) the annuity under this subsection, or 
(B) the annuity or salary to which he is entitled by reason of his 
service £is such a justice or judge of the United States, as determined 
by an election by the judge or former judge at the time of such 
retirement from the office, or from regular active service in the 
office, of justice or judge of the United States. Such an election may 
not be revoked. 
"(8) Annuities and survivor annuities paid under this subsection 
shall be paid out of the Department of Defense Military Retirement 
Fund.". 
(b) DEADUNE FOR ESTABUSHMENT OF SURVIVOR PROGRAM.—The lo use 867 note. 
Secretary of Defense shall establish the program required by para-
graph (4) of section 867(i) of title 10, United States Code, £is added by 
subsection (a), not later than one year after the date of the enact-
ment of this Act. 
(c) TECHNICAL AMENDMENT.—Section 867(aX4) of title 10, United 
States Code, is amended by inserting "or an annuity under subsec-
tion (i) or subchapter III of chapter 83 or chapter 84 of title 5" after 
"retired pay" both places it appears. 
(d) EFFECTIVE DATE.—Subsection (i) of section 867 of title 10, 10 use 867 note. 
United States Code, as added by subsection (a), shall apply with 
respect to judges of the United States Court of Military Appeals 
whose term of service on such court ends on or after the date of the 
enactment of this Act and to the survivors of such judges. 
PART D—OTHER 
SEC. 731. ANNUAL NET ASSESSMENTS 
Section 113(j) of title 10, United States Code, is amended— 
(1) by inserting "(1)" after "(j)"; 
(2) by striking out the second sentence; and 
(3) by adding at the end the following: 
"(2) Each such report shall— 
Reports. 
"(A) include a comparison of the defense capabilities and 
programs of the armed forces of the United States and its allies 
with the armed forces of potential adversaries of the United 
States and allies of the United States; 
"(B) include an examination of the trends experienced in 
those capabilities and programs during the five years imme-
diately preceding the year in which the report is transmitted 
and an examination of the expected trends in those capabilities 
102 STAT. 2004 
PUBLIC LAW 100-456-SEPT. 29, 1988 
and programs during the five years covered by the Five-Year 
Defense Program submitted to Congress during that year pursu-
ant to section 114(g) of this title; 
"(C) reflect, in the overall assessment and in the strategic and 
regional assessments, the defense capabilities and programs of 
the armed forces of the United States specified in the budget 
submitted to Congress under section 1105 of title 31 in the year 
in which the report is submitted and in the five-year defense 
program submitted in such year; and 
"(D) identify the deficiencies in the defense capabilities of the 
armed forces of the United States in such budget and such five-
year defense program. 
Reports. 
"(3) The Secretary shall transmit to Congress the report required 
for each year under pareigraph (1) at the same time that the 
President submits the budget to Congress under section 1105 of title 
Classified 
31 in that year. Such report shsdl be transmitted in both classified 
information. 
and unclassified form.". 
Public 
information. 
gEC. 732. LINKAGE OF NATIONAL MILITARY STRATEGY AND WEAPON 
ACQUISITION PROGRAMS 
(a) FINDINGS.—Congress makes the following findings: 
(1) The Final Report to the President by the President's Blue 
Ribbon Commission on Defense Management (the "Packard 
Commission"), the Defense Acquisition Study of the Center for 
Strategic and International Studies, and the Report of the 
Commission on Integrated Long-Term Strategy (referred to as 
"Discriminate Deterrence") have separately identified signifi-
cant deficiencies in the integration of weapon acquisition pro-
grams of the Department of Defense with national military 
strategy. 
(2) TTiere is no established process involving the Office of the 
Secretary of Defense and the Joint Staff in which strategy, 
policy, operational concepts, and resource constraints are fully 
debated, coordinated, and translated into weapon acquisition 
programs. The dominant role of setting requirements for new 
weapon systems remains with the headquarters staffs of the 
military departments, and the requirements developed by those 
departments often do not appear to have been rigorously evalu-
ated in terms of their overall contribution to national military 
strategy. 
(3) The requirements and planning process of the Department 
of Defense is not constrained by realistic projections of future 
defense budgets. Consequently, the process is fiscally unrealistic 
and, therefore, largely ignored in the subsequent planning and 
budgeting process. This process often results in disparate plans 
that do not optimize the potential contribution of the acquisi-
tion programs of each military department to the objectives of 
national military strategy. 
(b) SENSE OF CONGRESS.—In light of the findings in subsection (a), 
it is the sense of Congress that— 
(1) to ensure that the United States develops and acquires the 
proper mix of weapon systems to support national military 
strategy most effectively and efficiently, the Office of the Sec-
retary of Defense and the Joint Staff should better define the 
links between national military strategy and specific acquisition 
programs; 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2005 
(2) the Office of the Secretary of Defense, the Joint Staff, and 
the headquarters of the unified and specified combatant com-
mands should more clearly define the necessary operational 
capabilities and concepts of operations as part of the require-
ments process and should explicitly consider alternative acquisi-
tion programs based on probable levels of resources likely to be 
approved by Congress and trade-offs among the acquisition 
programs of the military departments; 
(3) the Secretary of Defense should ensure that resulting 
acquisition programs clearly reflect the objectives of national 
military strategy; and 
(4) the Secretary of Defense should commission an independ-
ent study to assess the degree to which the development and 
acquisition of weapon systems is currently linked to and deter-
mined by the national military strategy and to recommend 
improvements where necessary or desirable. 
SEC. 733. REPORT ON FUNDING FOR THE AMMUNITION PRODUCTION 
BASE 
(a) SENSE OF CONGRESS.—It is the sense of Congress— 
(1) that the maintenance of the inactive portion of the 
Government-owned ammunition production base is critical to 
the defense of the United States; and 
(2) that sufficient funding should be provided to maintain this 
base to meet surge requirements and mobilization requirements 
of the military departments. 
(b) STUDY OF ALTERNATIVES.—The Secretary of Defense shall study 
alternatives to the current method of providing funds for mainte-
nance of the ammunition production base in order to determine if 
there are methods other than the current one which would better 
ensure that appropriate levels of funds are used for the maintenance 
of that production base. 
(c) REPORT.—The Secretary shall submit to the Committees on 
Armed Services of the Senate and the House of Representatives a 
report on the alternative methods considered by the Secretary 
under subsection (b) for providing funds for the simmunition produc-
tion base. The Secretary shall include in the report such comments 
and recommendations with respect to such methods, including rec-
ommendations for legislation, as the Secretary considers appro-
priate. The report shall be submitted not later than December 1, 
1988. 
SEC. 734. SENSE OF CONGRESS CONCERNING DECLASSIFICATION OF 
CLASSIFIED INFORMATION 
It is the sense of Congress that the Secretary of Defense should 
take all reasonable measures to declassify classified material under 
the control of the Department of Defense that the Secretary deter-
mines to be no longer required in the interest of national security to 
be protected from unauthorized disclosure. 
SEC. 735. ADVANCE PAYMENTS OF ADMINISTRATIVE CLAIMS 
(a) INCREASE IN MAXIMUM PAYMENT.—Subsection (a) of section 
2736 of title 10, United States Code, is amended to read as follows: 
"(aXD In the case of a person who is injured or killed, or whose 
property is damaged or lost, under circumstances for which the 
Secretary of a military department is authorized by law to allow a 
claim, the Secretary of the military department concerned may 
102 STAT. 2006 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Regulations. 
10 u s e 2736 
note. 
Contracts. 
42 use 8287 
note. 
make a pajonent to or for the person, or the l^al representatives of 
the person, in advance of the submission of such a claim or, if such a 
claim is submitted, in advance of the final settlement of the claim. 
The amount of such a payment may not exceed $100,000. 
"(2) Payments imder this subsection are limited to pa3rments 
which would otherwise be payable under section 2733 or 2734 of this 
title or section 715 of title 32. 
"(3) The Secretary of a military department may delegate the 
authority to make payments under this subsection to the Judge 
Advocate General of an armed force imder the jurisdiction of the 
Secretary. The Secretary may delegate such authority to any other 
officer or employee under the jurisdiction of the Secretary, but only 
with respect to the payment of amounts of $25,000 or less. 
"(4) Payments under this subsection shall be made under regu-
lations prescribed by the Secretary of the military depaitment 
concerned.". 
Ob) EFFECTIVE DATE.—^The amendment made by subsection (a) 
shall apply to any claim which would otherwise be payable under 
section 2733 or 2734 of title 10, United States Code, or under section 
715 of title 32, United States Code, and which has not been finally 
settled on or before the date of the enactment of this Act. 
SEC. 736. ENERGY EFFICIENCY INCENTIVE 
(a) ENERGY CONSERVATION INCENTIVE.—In order to provide addi-
tional incentive for the Secretary of a military department to enter 
into contracts under title VIII of the National Energy Conservation 
Policy Act (42 U.S.C. 8287 et seq.), the Secretary may use the first-
year energy cost savings (as defined in subsection (d)) realized under 
any such contract in the manner provided in subsection (b). The 
amount of savings available for use under subsection (b) shall be 
determined as provided in subsection (c) and shall remain available 
for obligation until expended. 
(b) AUTHORIZED USES OF SAVINGS.—First-year energy cost savings 
may be used as follows: 
(1) One-half of the amount of such savings may be used for the 
acquisition of energy conserving measures at a military installa-
tion in addition to any such energy conserving measures pro-
vided for that installation under a contract entered into under 
title Vin df the National Conservation Energy Policy Act. 
(2) One-half of the amount of such savings may be used for 
any morale, welfare, or recreation facility or service that is 
normally provided with appropriated funds, or for any minor 
military construction project (as defined in section 2805(a) of 
title 10, United States Code), that wiU enhance the quality of 
life of members of the Armed Forces at the military installation 
at which the energy cost savings were realized. 
(c) DETERMINATION OF AMOUNT OF SAVINGS.—Not more than 90 
days after the end of the first year during which energy savings 
measures have been in operation under a contract entered into by 
the Secretary of a military department under title VIII of the 
National Energy Conservation Policy Act, the Secretary of the 
military department concerned shall determine the amount of first-
year energy cost savings realized under the terms of the contract 
during that year by the military department concerned by reason of 
the energy savings measures acquired and installed at that installa-
tion pursuant to that contract. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2007 
(d) DEFINITION.—For purposes of this section, the term "first-year 
energy cost savings" means the savings realized by the United 
States during the first year of a contract entered into by the 
Secretary of a military department under title VIII of the National 
Energy Conservation Policy Act. 
TITLE VIIl—ACQUISITION POLICY AND MANAGEMENT 
PART A—ACQUISITION MANAGEMENT 
SEC. 801. INTEGRATED FINANCING POLICY 
(a) IN GENERAL.—(1) Chapter 137 of title 10, United States Code, is 
amended by adding at the end the following new section: 
"§ 2330. integrated financing policy 
"(a) PLAN.—(1) The Secretary of Defense shall develop and keep 
current a plan that ensures that Department of Defense policies 
referred to in paragraph (2) are structured to meet the long-term 
needs of the Department of Defense for industrial resources and 
technology innovation. 
"(2) This section applies to the following policies applicable to 
Department of Defense contracts: 
"(A) Policies relating to progress pa3niients or other financing 
by the Department of Defense under such contracts. 
"(B) Policies relating to the return on contractor investment 
under such contracts. 
"(C) Policies relating to the allocation of contract risk be-
tween the Department of Defense and a contractor. 
"(b) MATTERS TO TAKE INTO CONSIDERATION.—In developing the 
plan under subsection (a) and keeping such plan current, the Sec-
retary shall take into consideration the following: 
"(1) The Five-Year Defense Program submitted to Congress 
under section 114(g) of this title each year. 
"(2) Department of Defense mobilization plans. 
"(3) The different characteristics of separate segments and 
tiers of private industry. 
"(4) The profitability of contracts negotiated by the Depart-
ment of Defense in each fiscal year. 
"(c) REVIEW.—Each year the Secretary of Defense shall review the 
plan developed under subsection (a) and shall report the results of 
such review to the (Committees on Armed Services of the Senate and 
the House of Representatives in conjunction with the submission of 
the Five-Year Defense Program in such year. 
"(d) USE OF INFORMATION ON PROFITABILITY.—The Secretary of 
Defense, in negotiating any contract, shall use the most current 
information on profitability developed or obtained by the Secretary 
of Defense. The Secretary shall submit a report to CJongress each 
year in conjunction with the submission of the Five-Year Defense 
Program on the extent to which contracts n^otiated during the 
preceding fiscal year have prevented excessive contractor profits, 
determined on the basis of information obtained by the Secretary of 
Defense.". 
(2) The table of sections at the b^inning of such chapter is 
amended by adding at the end the following: 
"2330. Integrated financing policy.". 
Business and 
industry. 
Science and 
technology. 
Contracts. 
Reports. 
102 STAT. 2008 
PUBLIC LAW 100-456—SEPT. 29, 1988 
10 use 2330 
(b) ADVISORY COMMIITEE ON STUDY METHODOLOGY.—(1) The Sec-
"ote- 
retary of Defense shall appoint, in accordance with paragraph (3), an 
advisory committee consisting of five members for the purpose of 
recommending to the Secretary a financial analysis methodology for 
any return on investment study conducted by the Secretary. 
(2) In recommending a financial analysis methodology under para-
graph (1), the advisory committee shall provide recommendations on 
the desirability of using separate calculations for— 
(A) the return on sissets; 
(B) the return on sales; 
(C) capital-to-labor ratios; 
(D) asset turnover; 
(E) total investment in research and development; and 
(F) such other measures of rate of return on investment £is the 
Secretary determines to be appropriate. 
(3) Not later than 90 days after the date of the enactment of this 
Act, the Secretary of Defense shall appoint the members of the 
committee, with representation from both the public and private 
sectors. 
(4) The Federal Advisory Committee Act (5 U.S.C. App.) shall not 
apply to the advisory committee appointed under this subsection. 
Reports. 
(5) Not later than November 1,1989, the advisory committee shall 
submit to the Secretary of Defense a report containing the financial 
analysis methodology recommended for use in the conduct of the 
study referred to in paragraph (1). The committee shall cease to 
exist 90 days after submission of its report. 
Reports. 
(6) Not later than 90 days after receipt of the report from the 
advisory committee, the Secretary of Defense shall transmit the 
report to Congress, together with the Secretary's views on the 
committee's report. 
SEC. 802. COMPETITIVE PROTOTYPE STRATEGIES 
Section 2365 of title 10, United States Code, is amended by adding 
at the end the following new subsection: 
"(e) TERMINATION.—This section shall cease to be effective on 
September 30,1991.". 
SEC. 803. DELEGATION OF AUTHORITY TO APPROVE CERTAIN CONTRACT 
JUSTIFICATIONS 
Section 2304(f) of title 10, United States Code, is amended— 
(1) in pargigraph (IXBXii), by striking out "or a delegate" and 
all that follows through the semicolon and inserting in lieu 
thereof "(or the head of the procuring activity's delegate des-
ignated pursuant to paragraph (6XA));"; 
(2) in paragraph (IXBXiii), by inserting "or in the case of the 
Under Secretary of Eiefense for Acquisition, acting in his capac-
ity as the senior procurement executive for the Department of 
Defense,' the Under Secretary's delegate designated pursuant to 
paragraph (6XB)" after "(without further delegation) ; and 
(3) by adding at the end the following: 
"(6XA) The authority of the head of a procuring activity under 
paragraph (IXBXii) may be delegated only to an officer or employee 
who— 
"(i) if a member of the armed forces, is a general or flag 
officer; or 
"(ii) if a civilian, is serving in a position with a grade under 
the General Schedule (or any other schedule for civilian officers 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2009 
or employees) that is comparable to or higher than the grade of 
brigadier general or rear admiral (lower half). 
"(B) The authority of the Under Secretary of Defense for Acquisi-
tion under paragraph (lXB)(iii) may be delegated only to— 
"(i) an Assistant Secretary of Defense; or 
"(ii) with respect to the element of the Department of Defense 
(as specified in section 111(b) of this title), other than a military 
department, carrying out the procurement action concerned, an 
officer or employee serving in or assigned or detailed to that 
element who— 
"(I) if a member of the armed forces, is serving in a grade 
above brigadier general or rear admiral (lower half); or 
"(II) if a civilian, is serving in a position with a grade 
under the General Schedule (or any other schedule for 
civilian officers or employees) that is comparable to or 
higher than the grade of major general or rear admiral.". 
SEC. 804. EVALUATION OF CONTRACTS FOR PROFESSIONAL AND TECH- 10 USC 2304 
NICAL SERVICES 
note. 
(a) EsTABUSHMENT OF CRITERIA.—Within 120 days after the date of 
the enactment of this Act, the Secretary of Defense shall establish 
criteria to ensure that proposals for contracts for professional and 
technical services are evaluated on a beisis which does not encourage 
contractors to propose mandatory uncompensated overtime for 
professional and technical employees. In establishing such criteria, 
the Secretary shall consider the recommendations of the advisory 
committee established under subsection (b). The Secretary shall. Reports. 
before implementing such criteria, transmit to the Committees on 
Armed Services of the Senate and House of Representatives a report 
containing such criteria and the recommendations made by the 
advisory committee. 
(b) ADVISORY COMMITTEE.—(1) Within 30 days after the date of the 
enactment of this Act, the Secretary of Defense shall establish an 
advisory committee to make recommendations on the criteria to 
be adopted by the Secretary. The advisory committee shall be 
composed, at a minimum, of such representatives as the Secretary 
considers appropriate from the Office of the Under Secretary of 
Defense for Acquisition, the Office of the Comptroller of the 
Department of Defense, the Acquisition Executives of the military 
departments, the Defense Contract Audit Agency, the Office of the 
Inspector (Jeneral of the Department of Defense, and professional 
and techniced services industries. 
(2) In developing the recommendations, the advisory committee 
shall address the following issues: 
(A) How the Department of Defense can best be assured that 
it receives the best quality services for the amounts expended 
and that the contractors supplying such services follow sound 
personnel management practices and observe established labor-
management policies and regulations. 
(B) Whether contract competitions should be structured in a 
manner that requires offerors to compete on the basis of factors 
other than the number of hours per week its professional and 
technical employees of similar annual salaries work. 
(C) Whether the Department of Defense can allow contractors 
to maintain different accounting systems (for example, 40-hour 
work week, full time accounting) and still allow the Department 
102 STAT. 2010 
PUBLIC LAW 100-456—SEPT. 29, 1988 
to evaluate proposals on the basis of a work rate of 40 hours per 
week and 2,080 hours per year. 
SEC. 805. PROCUREMENT OF CRITICAL AIRCRAFT AND SHIP SPARE PARTS 
(a) IN GENERAL.—(1) Chapter 141 of title 10, United States Code, is 
£imended by inserting after section 2382 the following: 
"§2383. Procurement of critical aircraft and ship spare parts: 
quality control 
"(a) In procuring any spare or repair part that is critical to the 
operation of an aircraft or ship, the Secretary of Defense shall 
require the contractor suppl)dng such part to provide a part that 
meets all appropriate qualification and contractual quality require-
ments as may be specified and made available to prospective 
offerors. In establishing the appropriate qualification requirements, 
the Secretary of Defense shall utilize those requirements, if avail-
able, which were used to qualify the original production part, unless 
the Secretary of Defense determines in writing that any or all such 
requirements are unnecessary. 
10 use 2383 
"(b) In this section, the term 'spare or repsdr part' has the 
^°^- 
meaning given such term by section 2323(f) of this title.". 
(2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 2382 the 
following new item: 
"2383. Procurement of critical aircraft and ship spare parts: quality control.". 
Ot)) EFFECTIVE DATE.—Section 2383 of title 10, United States Code, 
as added by subsection (a), shall apply with respect to contracts 
entered into after the end of the 180-day period beginning on the 
date of the enactment of this Act. 
SEC. 806. INCENTIVES FOR INNOVATION 
(a) IN GENERAL.—(1) Section 2305(d) of title 10, United States 
Code, is amended by adding at the end the following: 
"(4XA) Whenever the head of an agency requires that proposals 
described in paragraph (IXB) or (2XB) be submitted by an offeror in 
its offer, the offeror shall not be required to provide a proposal that 
enables the United States to acquire competitively in the future an 
identical item if the item was developed exclusively at private 
expense unless the head of the agency determines that— 
"(i) the original supplier of such item will be unable to satisfy 
program schedule or delivery requirements; or 
"(ii) proposals by the original supplier of such item to meet 
the mobilization requirements are insufficient to meet the agen-
cy's mobilization needs. 
"(B) In considering offers in response to a solicitation requiring 
proposals described in paragraph (IXB) or (2XB), the head of an 
agency shall base any evaluation of items developed exclusively at 
private expense on an analysis of the total value, in terms of 
innovative design, life-cycle costs, and other pertinent factors, of 
incorporating such items in the system.". 
(2) Section 2305(dX3) of such title is amended by adding at the end 
the following: "Such objectives may not impair the rights of prospec-
tive contractors or subcontractors otherwise provided by law.". 
(b) CLARIFYING AMENDMENT.—Paragraphs (IXB) and (2XB) of sec-
tion 2305(d) of such title are each amended by striking out "The 
proposals" and all that follows through "contract are" and inserting 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2011 
in lieu thereof "Proposals referred to in the first sentence of 
subparagraph (A) are". 
SEC. 807. REGULATIONS ON USE OF FIXED-PRICE DEVELOPMENT 
CONTRACTS 
(a) IN GENERAL.—(1) Not later than 120 days after the date of the lo use 2304 
enactment of this Act, the Secretary of Defense shall revise the note. 
Department of Defense r^ulations that provide for the use of fixed-
price type contracts in a development program. The r^ulations 
shall provide that a fixed-price contract may be awarded in such a 
pr(^am only if— 
(A) the level of program risk permits realistic pricing; and 
(B) the use of a fixed-price contract permits sui equitable and 
sensible allocation of program risk between the United States 
and the contractor. 
(2XA) The regulations also shall provide that if a contract for 
development of a major system is to be awarded in an amount 
greater than $10,000,000, the contract may not be a firm fixed-price 
contract. 
(B) A waiver of the requirement prescribed in regulations under 
subparagraph (A) may be granted by the Secretary of Defense, 
acting through the Under Secretary of Defense for Acquisition, but 
only if the Secretary determines and states in writing that the 
award is consistent with the criteria specified in clauses (A) and (B) 
of paragraph (1) and the r^ulations prescribed under such para-
graph. The Secretary may del^ate the authority in the preceding 
sentence only to a person who holds a position in the Office of the 
Secretary of Defense at or above the level of Assistant Secretary of 
Defense. 
(b) DEFINITIONS.—In this section, the term "major system" has the 
meaning given such term by section 2302(5) of such title. 
(c) EXPIRATION.—Paragraph (2) of subsection (a) shall cease to be 
effective two years after the date of the enactment of this Act. 
SEC. 808. DEPARTMENT OF DEFENSE ADVISORY PANEL ON GOVERN-
MENT-INDUSTRY RELATIONS 
(a) EJsTABLiSHMENT OF ADVISORY PANEL.—Not later than 30 days 
after the date of the enactment of this Act, the Secretary of Defense 
shall establish an advisory panel to study and make recommenda-
tions to the Secretary on ways to enhance cooperation between the 
Department of Defense and industry r^arding matters of mutual 
interest, including— 
(1) procedures governing the debarment and suspension of 
contractors from doing business with the Department of 
Defense; 
(2) the role of self-governing oversight programs established 
by defense contractors; 
(3) expanded use of alternative dispute resolution procedures; 
and 
(4) the desirability of establishing a permanent advisory panel 
on government-industry relations. 
Ot)) MEMBERSHIP OF ADVISORY PANEL.—The Secretary of Defense 
shall appoint persons to the advisory panel who are especially 
qualified to serve on such panel by virtue of their education, train-
ing, and experience in defense acquisition matters. The Secretary 
shall include on the membership of such panel an appropriate 
102 STAT. 2012 
PUBLIC LAW 100-456—SEPT. 29, 1988 
balance of persons from government, private industry, 
and 
academia. 
(c) REPORT DEADUNE.—(1) The Secretary shall require the ad-
visory panel to submit its findings and recommendations to him not 
later than 180 days after the date on which the panel is appointed. 
(2) The Secretary shall transmit a copy of the report of the 
advisory panel to Congress, together with such comments and rec-
ommendations thereon as the Secretary determines appropriate, 
within 30 days after the date on which the report is submitted to the 
Secretary. 
SEC. 809. REPORT ON SIMPLIFICATION AND STREAMLINING OF ACQUISI-
TION PROCEDURES 
(a) 
REPORT ON ACQUISITION SIMPUFICATION 
PROGRAMS.—The 
Under Secretary of Defense for Acquisition shall submit to" Congress 
a report on the current programs of the Under Secretary regarding 
simplification of procedures governing the acquisition process of the 
Department of Defense. The report shall include an assessment of 
the results of those programs. 
(h) MATTERS TO BE INCLUDED.—The report under subsection (a) 
shall include the following: 
(1) A timetable to effectuate regulation reform measures 
based on the lessons learned from the conduct of the programs 
referred to in subsection (a). 
(2) In the case of a program referred to in subsection (a) which 
has not been completed— 
(A) the methodology to be used in evaluating such pro-
gram; and 
(B) a timetable for completing an assessment of the re-
sults of the program. 
(3) A comprehensive analysis of the effects that existing laws, 
regulations, and guidelines applicable to procurement by the 
Department of Defense have on the capability of the Depart-
ment of Defense efficiently and effectively to meet the national 
defense needs of the United States, including any recommenda-
tions for legislation that the Under Secretary considers appro-
priate to improve that capability. 
(4) A description of the results of the studies undertaken by 
the Under Secretary in conjunction with the Inspector General 
of the Department of Defense and the Comptroller of the 
Department of Defense regarding the responsibilities of the 
Under Secretary under section 133(d) of title 10, United States 
Code, to prescribe policies for the prevention of duplicative 
audit and oversight of contractor activities by different ele-
ments of the Department of Defense. 
(5) A discussion of the feasibility and desirability of each of 
the following: 
(A) Structuring the audit and oversight of a contractor by 
the Department of Defense in a manner that reasonably 
relates to the extent of the risk assumed by the contractor 
in the type of contract that is subject to the audit and 
oversight. 
(B) Granting authority to a senior official of the Depart-
ment of Defense to receive and promptly resolve complaints 
of acquisition officials and contractors of the Department of 
Defense regarding allegations of duplicative oversight 
activities. 
^*SBi««^f 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2013 
(C) Establishing a formal independent means within the 
Department of Defense to ensure quality, integrity, and 
professionalism in the performance of audit and oversight 
activities. 
(D) Establishing and implementing a policy that prohibits 
an organization within the Department of Defense with 
responsibility for oversight of contractor activities from 
conducting an audit or review of an activity in the Depart-
ment of Defense if another such oversight organization of 
the Department of Defense has conducted an audit or 
review of that activity within a fixed period of time preced-
ing the proposed audit or review, unless the audit or review 
proposed to be conducted is substantially different in type 
and scope from the prior audit or review and there is a 
compelling reason not to rely on the prior audit or review. 
(c) DEADUNE FOR REPORT.—The report required by subsection (a) 
shall be submitted not later than December 1,1988. 
(d) COORDINATION OF ANNUAL AUDIT PLANS BY AUDIT AND OVER-
SIGHT ELEMENTS OF DOD.—Section 133(dXl) of title 10, United States 
Code, is amended by adding at the end the following new sentence: 
"Such policies shall provide for coordination of the annual plans 
developed by each such element for the conduct of audit and over-
sight functions within each contracting activity.". 
PART B—DEFENSE INDUSTRIAL BASE 
SEC. 821. MAINTENANCE AND IMPROVEMENT OF THE DEFENSE INDUS-
TRIAL BASE 
(a) FINDINGS.—Congress finds the following: 
lo use 2501 
(1) A strong defense industrial base in the United States is note. 
essential to the national security and significantly enhances the 
capability of United States manufacturers and producers— 
(A) to develop technologically superior defense material 
rapidly and to produce such material efficiently in cost-
effective quantities during peacetime; and 
(B) to expand productive capacity rapidly to meet the 
demands of a national emergency. 
(2) A strong and responsive defense industrial base is a basic 
deterrent to aggression and, thus, helps to preserve peace. 
(3) Studies conducted over a 10-year period by Congress, the 
General Accounting Office, the Department of Defense, and 
others have consistently shown a steady, unchecked erosion of 
the defense industrial base in the United States. 
(4) Despite the uniformly adverse findings contained in the 
reports on such studies, the United States still lacks a coherent 
industrial base policy that is directly linked to national security 
strategy. 
(5) Reliable methods for assessing the weaknesses and 
strengths of the defense industrial base have not been utilized. 
(6) The development and implementation of an effective pro-
gram for the restoration and maintenance of the defense indus-
trial base is unlikely to occur without improved centralized 
policy direction and management. 
(7) Existing programs and authorities designed to restore and 
maintain the defense industrial base have received inconsistent 
and, frequently, 
inadequate allocations of resources and 
102 STAT. 2014 
PUBLIC LAW 100-456—SEPT. 29, 1988 
management attention from the military departments and the 
Defense Agencies because the Office of the Secretary of Defense 
has not exercised strong leadership in defense industrial base 
management. 
(8) Procurement policies, regulations, and practices of the 
Department of Defense do not sufficiently encourage— 
(A) investment in advanced manufacturing technology 
and 
modernization 
of 
manufacturing 
facilities 
and 
equipment; 
(B) the entry of efficient commercial producers into the 
defense procurement market; and 
(C) continued participation of efficient producers in de-
fense procurement competitions. 
(b) AMENDMENTS TO TITLE 10.—(1) Chapter 148 of title 10, United 
States Code, is amended— 
(A) by redesignating sections 2501 and 2502 as sections 2506 
and 2507, respectively; and 
(B) by striking out the chapter heading and the table of 
sections and inserting in lieu thereof the following: 
"CHAPTER 
148—DEFENSE 
INDUSTRIAL 
BASE 
"Coo 
"2501. Centralized guidance, analysis, and planning. 
"2502. Policies relating to defense industrial base. 
"2503. Defense industrial base office. 
"2504. Defense memoranda of understanding. 
"2505. Offset policy; notification. 
"2506. Limitation on use of funds: procurement of goods which are other than 
American goods. 
"2507. Miscellaneous procurement limitations. 
'*§ 2501. Centralized guidance, analysis, and planning 
"The Secretary of Defense, acting through the Under Secretary of 
Defense for Acquisition, shall— 
"(1) provide overall policy guidance and direction to the mili-
tary departments and the Defense Agencies on matters relating 
to the maintenance, expansion, and readiness of the defense 
industrial base of the United States; 
"(2) analyze the capabQities of the defense industrial base of 
the United States to fulfill the requirements of national defense 
strat^iy in time of peace and the expanded requirements of 
national defense strat^y in time of war or national emergency; 
"(3) develop clear standards for assessing military mobiliza-
tion requirements and the manner in which those requirements 
will be met; 
"(4) develop and direct the implementation of plans, pro-
grams, and policies that promote the ability of the defense 
industrial base of the United States to fulfill the requirements 
of the Department of Defense; and 
"(5) identify and plan for the procurement of items of supply 
that— 
"(A) are suitable substitutes for military standard items 
of supply, or suitable substitutes for subsjrstems or compo-
nents of military standard items of supply, that are antici-
pated to be unavailable from existing sources in quantities 
that are sufficient to meet planned requirements in time of 
war or national emergency; and 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2015 
"(B) are commercially available from domestic sources. 
"§ 2502. Policies relating to defense industrial base 
"(a) ACQUISITION POUCIES.—The Secretary of Defense, acting 
through the Under Secretary of Defense for Acquisition, shall estab-
lish and implement policies requiring— 
"(1) for each major defense acquisition program, an analysis 
of the capabilities of the defense industrial base to develop, 
produce, maintain, and support such program; 
"(2) the consideration of requirements for efficient manufac-
ture during the design and production of the systems to be 
procured under the major defense acquisition program; 
"(3) the use of advanced manufacturing technology, processes, 
and systems during the research and development and produc-
tion phases of the acquisition of a weapon system under a major 
defense acquisition program; 
"(4) to the maximum extent practicable for each major de-
fense acquisition program, the development of an acquisition 
plan that provides for contract solicitations which encourage 
competing offerors to acquire, for use in the performance of the 
contract, modern technology, production equipment, and 
production systems (including hardware and software) that in-
crease the productivity of the offerors and reduce life-cycle 
costs; 
"(5) the encoureigement of domestic source investment in 
advanced manufacturing technology production equipment and 
processes through— 
"(A) recognition of the contractor's investment in ad-
vanced manufacturing technology production equipment 
and processes in the development of the contract objective; 
and 
"(B) increased emphasis in source selections to the effi-
ciency of production; 
"(6) the expanded use of commercial manufacturing processes 
rather than processes specified by the Department of Defense; 
"(7) elimination of barriers to, and facilitation of, the in-
tegrated manufacture of commercial items and items being 
produced under defense contracts; and 
"(8) the expanded use of commercial products as set forth in 
section 2325 of tjjis title. 
"(b) ANALYSIS.—(1; In the conduct of any analysis required under 
subsection (a)(1), the following factors, as appropriate, may be 
considered: 
"(A) The availability of essential raw materials, special alloys, 
and composite materials. 
"(B) The availability of components, subsystems, production 
equipment, and facilities that are essential for— 
"(i) the sustained production of a system that is fully 
capable of performing its purpose; 
"(ii) the uninterrupted maintenance and repair of such 
system; and 
"(iii) the sustained operation of such system. 
"(C) The availability of required special tooling and produc-
tion test equipment. 
"(D) The identification of components or subsystems that are 
available solely from sources outside the United States. 
102 STAT. 2016 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(E) Planned alternatives, if appropriate, for 
fulfilling 
requirements that during peacetime are fulfilled by sources 
outside the United States. 
"(2) In the conduct of the analjrsis required under subsection (aXD, 
the Under Secretary shall minimize the paperwork burden on the 
contractor, its subcontractors, and suppliers. 
"(c) ASSESSMENTS.—(1) The Secretary of Defense, acting through 
the Under Secretary of Defense for Acquisition, shall ensure that, 
for each major defense acquisition program— 
"(A) the capability of the domestic defense industrial base to 
meet requirements for that program has been assessed by the 
military department or Defense Agency carrying out such pro-
gram; and 
"(B) the capability of the domestic defense industrial base to 
meet the aggregate requirements for all such programs has 
been assessed in the Office of the Secretary of Defense. 
"(2) For purposes of this subsection, the term 'domestic defense 
industrial base' means firms engaged in production in the United 
States and Canada. 
"§ 2503. Defense industrial base ofHce 
"The Under Secretary of Defense for Acquisition may establish 
within the Office of the Under Secretary of Defense for Acquisition 
a defense industrial base office to be the principal office in the 
Department of Defense for the development of policies and plans 
regarding the conduct of programs for the improvement of the 
defense industrial base of the United States. Such an office shall, at 
a minimum— 
"(1) develop and propose plans and programs for the msdnte-
nance and fostering of defense industrial readiness in the 
United States; 
"(2) develop and propose plans and programs to encourage the 
use by the defense industries of the United States of advanced 
manufacturing technology and processes and investment in 
improved productivity; 
"(3) propose, consistent with existing law, the repeal or 
amendment of the regulations of the Department of Defense 
prescribed as part of the Federal Acquisition Regulation (the 
single sjrstem of Government-wide procurement regulation as 
defined in section 4(4) of the Office of Federal Procurement 
Policy Act) and such other regulations and policies as may be 
necessary to eliminate any adverse effect that the regulations 
and policies may have on investment in improved productivity; 
and 
"(4) evaluate and propose for testing innovative ideas for 
improving defense industrial readiness in the United States, 
including ideas for improving— 
"(A) manufacturing processes; and 
"(B) the acquisition procedures of the Department of 
Defense.". 
(2) The items relating to chapter 148 in the tables of chapters at 
the beginning of part IV of subtitle A of title 10, United States Code, 
and at the beginning of such subtitle, are each amended to read as 
follows: 
"148. Defense Industrial Base 
2501". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2017 
10 u s e 2502 
note. 
Reports. 
(c) ANALYSIS OF DEFENSE INDUSTRIAL BASE CAPABIUTY.—(1) The 
Under Secretary of Defense for Acquisition shall require the Sec-
retary of each military department to provide to the Under Sec-
retary at least one analysis of the type described in section 2502(aXl) 
of title 10, United States CJode (as added by subsection (b)) for an 
acquisition program carried out by such department. The Under 
Secretary shall compile and analyze the data obtained from such 
analysis in order to ascertain whether the industrial base is capable 
of supporting each such program. 
(2) A program may not be selected for an analysis under this 
subsection if production of the system to be acquired under such 
program has begun. 
(3) All analyses required under this subsection shall be completed 
not later than September 30,1990. 
(4) Not later than February 1, 1991, the Under Secretary of 
Defense for Acquisition shall submit to the C!ommittees on Armed 
Services of the Senate and the House of Representatives a report on 
the analyses required under this subsection. 
SEC. 822. SOURCE FOR PROCUREMENT 
OF CERTAIN VALVES AND 
MACHINE TOOLS 
Section 2507 of title 10, United States Code, as redesignated by 
section 821, is amended by adding at the end the following new 
subsection: 
"(d) VALVES AND MACHINE TOOLS.—(1) During fiscal years 1989, 
1990, and 1991, funds appropriated or otherwise made available to 
the Department of Defense may not be used to enter into a contract 
for the procurement of items described in paragraph (2) that are not 
manufactured in the United States or Canada. 
"(2) Items covered by paragraph (1) are the following: 
"(A) Powered and non-powered valves in Federal Supply 
Classes 4810 and 4820 used in piping for naval surface ships £uid 
submarines. 
"(B) Machine tools in the Federal Supply Classes for metal-
working machinery numbered 3405, 3408, 3410 through 3419, 
3426, 3433, 3438, 3441 through 3443, 3445, 3446, 3448, 3449, 3460. 
and 3461. 
"(3) The Secretary of Defense may waive the requirement of 
paragraph (1) with respect to the procurement of an item if the 
Secretary determines that any of the following apply with respect to 
that item: 
"(A) The restriction would cause unresisonable costs or delays 
to be incurred. 
"(B) United States producers of the item would not be jeopard-
ized by competition from a foreign country and that country 
does not discriminate against defense items produced in the 
United States to a greater degree than the United States 
discriminates against defense items produced in that country. 
"(C) Satisfactory quality items manufactured in the United Canada. 
States or Canada are not available. 
"(D) The restriction would impede cooperative programs 
entered into between the Department of Defense and a foreign 
country and that country does not discriminate £igainst defense 
items produced in the United States to a greater degree than 
the United States discriminates against defense items produced 
in that country. 
102 STAT. 2018 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Arms and 
munitions. 
Classified 
information. 
Public 
information. 
"(E) The procurement is for an amount less than $25,000 and 
simplified small purchase procedures are being used. 
"(F) The restriction would result in the existence of only one 
United States or Canadian source for the item. 
"(4) The provisions of this section may be renewed with respect to 
any item by the Secretary of Defense at the end of fiscal year 1991 
for an additional two fiscal years if the Secretary determines that 
a continued restriction on that item is in the national security 
interest.". 
SEC. 823. CRITICAL TECHNOLOGIES PLAN 
(a) IN GENERAL.—(1) Chapter 139 of title 10, United States Code, is 
amended by adding at the end the following new section: 
"§ 2368. Critical technologies plan 
"(a) ANNUAL PLAN.—(1) Not later than March 15 of each year, the 
Under Secretary of Defense for Acquisition, in consultation with the 
Assistant Secretary of Energy for Defense Programs, shall submit to 
the Committees on Armed Services of the Senate and the House of 
Representatives a plan for developing the 20 technologies considered 
by the Secretary of Defense and the Secretary of Energy to be the 
technologies most essential to develop in order to ensure the long-
term qualitative superiority of United States weapon systems. 
"(2) In selecting the technologies to be included in the plan, the 
Secretary of Defense and the Secretary of Energy shall consider 
both product technologies and process technologies. 
"(3) Such plan shall be submitted in both classified and unclassi-
fied form. 
"(b) CONTENT OF PLAN.—Each plan submitted under subsection (a) 
shall include, with respect to each technology included in the plan, 
the following matters: 
"(1) The reasons for selecting such technology. 
"(2) The milestone goals for the development of such 
technology. 
"(3) The amounts contained in the budgets of the Department 
of Defense, the Department of Energy, and other departments 
and agencies for the support of the development of such tech-
nology for the fiscal year beginning in the year in which the 
plan is submitted. 
"(4) A comparison of the positions of the United States and 
the Soviet Union in the development of such technology. 
"(5) The potential contributions that the allies of the United 
States can make to meet the needs of the alliance for such 
technology. 
"(6) With respect to the development of such technology, a 
comparison of the relative positions of the United States and 
other industrialized countries that are prominent in the devel-
opment of such technology and the extent to which the United 
States should depend on other countries for the development of 
such technology. 
"(7) The potential contributions that the private sector can be 
expected to make from its own resources in connection with 
development of civilian applications for such technology.". 
(2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"2368. Critical technologies plan.". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2019 
(b) FIRST REPORT.—The first report under section 2368 of title 10, lo use 2368 
United States Code (as added by subsection (a)), shall be submitted 
note. 
in 1989. 
SEC. 824. DEFENSE MEMORANDA OF UNDERSTANDING 
Chapter 148 of title 10, United States Code, as amended by section 
821, is further amended by inserting after section 2503 the following 
new section: 
*'§ 2504. Defense memoranda of understanding 
"In the n^otiation and renegotiation of each memorandum of 
understanding between the Secretary of Defense, acting on behalf of 
the United States, and one or more foreign countries (or any 
instrumentality of a foreign country) relating to research, develop-
ment, or production of defense equipment, the Secretary of Defense 
shaU— 
"(1) consider the effect of such proposed memorandum of 
understanding on the defense industrial base of the United 
States; and 
"(2) r^ularly solicit and consider information or rec-
ommendations from the Secretary of (Ilommerce with respect to 
the effect on the United States industrial base of such memo-
randum of understanding.". 
SEC. 
8
2
5
. 
DEPARTMENT 
OF 
DEFENSE 
OFFSET 
POLICY 
(a) FINDINGS.—CV)ngress makes the following findings: 
lO use 2505 
(1) Many contracts entered into by United States firms for the note. 
supply of weapon systems or defense-related items to foreign 
countries and foreign firms are subject to contractual arrange-
ments under which United States firms must agree— 
(A) to have a specified percentage of work under, or 
monetary amount of, the contract performed by one or 
more foreign firms; 
(B) to purchase a specified amount or quantity of unre-
lated goods or services from domestic sources of such for-
eign countries; or 
(C) to invest a specified amount in domestic businesses of 
such foreign countries. 
Such contractual arrangements, known as "offsets", are a 
component of international trade and could have an impact on 
United States defense industry opportunities in domestic and 
foreign markets. 
(2) Some United States contractors and subcontractors may be 
adversely affected by such contractual arrangements. 
(3) Many contracts which provide for or are subject to offset 
arrangements require, in connection with such arrangements, 
the transfer of United States technology to foreign firms. 
(4) The use of such transferred technology by foreign firms in 
conjunction with foreign trade practices permitted under the 
trade policies of the countries of such firms can give foreign 
firms a competitive advantage against United States firms in 
world markets for products using such technology. 
(5) A purchase of defense equipment pursuant to an offset 
arrangement may increase the cost of the defense equipment to 
the purchasing country and may reduce the amount of defense 
equipment that a country may purchase. 
102 STAT. 2020 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(6) The exporting of defense equipment produced in the 
United States is important to maintain the defense industrial 
base of the United States, lower the unit cost of such equipment 
to the Department of Defense, and encourage the standardized 
utilization of United States equipment by the allies of the 
United States. 
(b) AMENDMENT TO TITLE 10.—Chapter 148 of title 10, United 
States Code, as amended by sections 821 and 824, is further amended 
by inserting sifter section 2504 the following new section: 
President of U.S. 
"§ 2505. Offset poHcy; notification 
"(a) ESTABUSHMENT OF OFFSET POUCY.—The President shall estab-
lish, consistent with the requirements of this section, a comprehen-
sive policy with respect to contractual offset arrangements in 
connection with the purchase of defense equipment or supplies 
which addresses the following: 
"(1) Transfer of technology in connection with offset arrange-
ments. 
"(2) Application of offset arrangements, including cases in 
which United States funds are used to finance the purchase by a 
foreign government. 
"(3) Effects of offset arrangements on specific subsectors of 
the industrial base of the United States and for preventing or 
ameliorating any serious adverse effects on such subsectors. 
"(b) TECHNOLOGY TRANSFER.—(1) No official of the United States 
may enter into a memorandum of understanding or other agree-
ment with a foreign government that would require the transfer of 
United States defense technology to a foreign country or a foreign 
firm in connection with a contract that is subject to an offset 
arrangement if the implementation of such memorandum or agree-
ment would significantly and adversely affect the defense industrial 
base of the United States and would result in a substantial financial 
loss to a United States firm. 
"(2) Paragraph (1) shall not apply in the case of a memorandum of 
understan^g or agreement described in paragraph (1) if the Sec-
retary of Defense, in consultation with the Secretary of Commerce 
and the Secretary of State, determines that a transfer of United 
States defense technology pursuant to such understanding or agree-
ment will result in strengthening the national security of the 
United States and so certifies to Congress. 
"(3) If a United States firm is required under the terms of a 
memorandum of understanding, or other agreement entered into by 
the United States with a foreign countn^, to transfer defense tech-
nology to a foreign country, the United States firm may protest the 
determination to the Secretary of Defense on the grounds that the 
transfer of such technology would adversely affect the defense 
industrial base of the United States and would result in substantial 
Claims. 
financial loss to the protesting firm. The Secretary of Defense, in 
consultation with the Secretary of Commerce and the Secretary of 
State, shall make the final determination of the validity of the 
protesting firm's claim. 
"(c) NOTIFICATION REGARDING OFFSETS.—If at any time a United 
States firm enters into a contract for the sale of a weapon system or 
defense-related item to a foreign country or foreign firm and such 
contract is subject to an offset arrangement exceeding $50,000,000 in 
value, such firm shall notify the Secretary of Defense of the pro-
Regulations, 
posed sale. Notification shall be made under this subsection in 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2021 
accordance with r^ulations prescribed by the Secretary of Defense 
in consultation with the Secretary of C!ommerce. 
"(d) DEFINITIONS.—In this section: 
"(1) The term 'United States firm' means a business entity 
that performs substantially all of its manufacturing, produc-
tion, and research and development activities in the United 
States. 
"(2) The term 'foreign firm' means a business entity other 
than a United States firm.". 
(c) NEGOTIATIONS.—(1) The President shall enter into negotiations 
with foreign countries that have a policy of requiring an offset 
arrangement in connection with the purchase of defense equipment 
or suppUes from the United States. The negotiations should be 
conducted with a view to achieving an agreement with the countries 
concerned that would limit the adverse effects that such arrange-
ments have on the defense industrial base of each such country. 
(2) Elvery effort shall be made to achieve such agreements within 
two years after the date of the enactment of this Act. 
(d) REPORTS.—(1) Not later than November 15,1988, the President 
shall submit to Congress a comprehensive report on contractual 
offset arrangements required of United States firms for the supply 
of weapon systems or defense-related items to foreign countries or 
foreign firms. Such report shall include, at a minimum, the 
following: 
(A) An analysis of the amount and type of contractual offsets 
required of United States firms by the governments of foreign 
countries or by foreign firms. 
(B) An assessment of the benefits for and costs to United 
States manufacturers of defense products at all tiers that result 
from requirements of foreign governments for contractual offset 
arrangements in the case of products procured from United 
States firms. 
(C) An assessment of the benefits for and the costs to United 
States manufacturers of defense products at all tiers that would 
result from restriction of the abUity of foreign governments or 
foreign firms to require contractual offsets in the case of defense 
products procured from United States firms. 
(D) An assessment of the benefits and costs of a United States 
policy that requires reciprocal offsets in the procurement of 
defense products from those countries whose governments have 
a policy of requiring contractual offsets in the case of defense 
products procured from United States firms. 
(E) An assessment of the impact that elimination of contrac-
tual offset requirements in international sales of defense prod-
ucts would have on the national security of the United States. 
(F) Recommendations for a national policy with respect to 
contractual offset arrangements. 
(G) A preliminary discussion of the actions referred to in 
paragraph (2). 
(2) Not later than March 15,1990, the President shall transmit to 
Congress a report containing a discussion of appropriate actions to 
be taken by the United States with respect to purchases from 
United States firms by a foreign country (or a firm of that country) 
when that country or firm requires an offset arrangement in connec-
tion with the purchase of defense equipment or supplies in favor of 
such country. The report shall include a discussion of the following 
possible actions: 
President of U.S. 
10 u s e 2505 
note. 
President of U.S. 
102 STAT. 2022 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Regulations. 
10 use 2324 
note. 
10 use 2324 
note. 
(A) A requirement for an offset in favor of the United States 
or United States firms in any case in which the Department of 
Defense or any other department or agency of the United States 
purchases goods from such foreign country or a firm of such 
country. 
(B) A demand for offset credits from such foreign country to 
be used, to the extent practicable, to meet offset obligations of 
United States firms to such foreign country or to a firm of such 
country. 
(C) A reduction in assistance furnished such foreign country 
by the United States. 
(D) A requirement for alternative equivalent advantages in 
the case of any such foreign country or a firm of such country if 
the United States does not purchase a sufficient volume of goods 
from such country or firm for a requirement described in 
subparagraph (A) to be effective. 
(3) The President shall report to Congress at least once each year, 
for a period of 4 years, on the pr(^ess of the negotiations referred to 
in subsection (c). The first such report shall be submitted not later 
than one year after the date of the enactment of this Act. 
(4) In this subsection, the terms "United States firm" and "foreign 
firm" have the same meanings as are provided in section 2505(d) of 
title 10, United States Code, as added by subsection O
t
>
)
. 
SEC. 826. ALLOWABILITY OF COSTS TO PROMOTE THE EXPORT OF 
DEFENSE PRODUCTS 
(a) IN GENERAL.—Section 2324(f) of title 10, United States Code, is 
amended by adding at the end the following new paragraph: 
"(5) The r^ulations shall provide that costs to promote the export 
of products of the United States defense industry, including costs of 
exhibiting or demonstrating products, shall be allowable to the 
extent that such costs— 
"(A) are allocable, reasonable, and not otherwise unallowable; 
"(B) with respect to the activities of the business segment to 
which such costs are being allocated, are determined by the 
Secretary of Defense to be likely to result in future cost advan-
tages to the United States; and 
"(C) with respect to a business segment which allocates to 
Department of Defense contracts $2,500,000 or more of such 
costs in any fiscal year of such business segment, are not in 
excess of the amount equal to 110 percent of such costs incurred 
by such business segment in the previous fiscal year.". 
(b) REGULATIONS.—The Secretary of Defense shall prescribe final 
regulations under paragraph (5) of section 2324(f) of title 10, United 
States Code (as added by subsection (a)), not later than 90 days after 
the date of the enactment of this Act. Such regulations shall apply 
with respect to costs referred to in such paragraph that are incurred 
by a Department of Defense contractor (or a subcontractor of such a 
contractor) on or after the first day of the contractor's (or sub-
contractor's) first fiscal year that begins on or after the date on 
which such final regulations are prescribed. 
(c) REPORT.—Not later than two years after the date of the enact-
ment of this Act, the Comptroller General of the United States and 
the Inspector General of the Department of Defense shall each 
submit to the Committees on Armed Services of the Senate and 
House of Representatives a report that includes the following: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2023 
(1) An assessment of whether the regulations required by 
section 2324(fX5) of title 10, United States Code (as added by 
subsection (a)), provide the appropriate incentives to stimulate 
exports by the United States defense industry and provide cost 
savings to the United States. 
(2) An assessment of whether such regulations provide appro-
priate criteria to ensure that costs allowed are reasonably likely 
to provide future cost savings to the United States. 
(d) TERMINATION.—Section 2324(f)(5) of title 10, United States Code 
(as added by subsection (a)), shall cease to be effective three years 
after the date of the enactment of this Act. 
10 use 2324 
note. 
PART C—POUCIES RELATING TO DEFENSE CONTRACTORS 
SEC. 831. ADDITIONAL PROHIBITIONS ON PERSONS CONVICTED OF FELO-
NIES RELATED TO DEFENSE CONTRACTS 
(a) IN GENERAL.—Section 2408(a) of title 10, United States Code, is 
amended to read as follows: 
"(a) PROHIBITION.—(1) An individual who is convicted of fraud or 
any other felony arising out of a contract with the Department of 
Defense shall be prohibited from each of the following: 
"(A) Working in a management or supervisory capacity on 
any defense contract, 
"(B) Serving on the board of directors of any defense contrac-
tor. 
"(C) Serving as a consultant to any defense contractor. 
"(D) Being involved in any other way, as determined under 
regulations prescribed by the Secretary of Defense, with a 
defense contract. 
"(2) Except as provided in paragraph (3), the prohibition in para-
graph (1) shall apply for a period, as determined by the Secretary of 
Defense, of not less than five years after the date of the conviction. 
"(3) The prohibition in paragraph (1) may apply with respect to an 
individual for a period of less than five years if the Secretary 
determines that the five-year period should be waived in the 
interests of national security. If the five-year period is waived, the 
Secretary shall submit to Congress a report stating the reasons for 
the waiver.". 
(b) EFFECTIVE DATE.—Section 2408(a) of title 10, United States 
Code, as amended by subsection (a), shall apply with respect to 
individuals convicted after the date of the enactment of this Act. 
SEC. 832. LIMITATION ON ALLOWABILITY OF COSTS OF CONTRACTORS 
INCURRED IN CERTAIN PROCEEDINGS 
(a) LIMIT ON COSTS.—Section 2324(e) of title 10, United States 
Code, is amended— 
(1) by adding at the end of paragraph (1), as amended by 
section 322(a), the following: 
"(N) Except as provided in paragraph (2), costs incurred in 
connection with any civil, criminal, or administrative action 
brought by the United States that results in a determination 
that a contractor has violated or failed to comply with any 
Federal law or regulation if the action results in any of the 
following: 
"(i) In the case of a criminal action, a conviction (includ-
ing a conviction pursuant to a plea of nolo contendere). 
Fraud. 
Regulations. 
Reports. 
10 use 2408 
note. 
Law 
enforcement and 
102 STAT. 2024 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(ii) In the case of a civil or administrative action, (I) a 
determination by the Secretary of Defense that the viola-
tion or failure to comply was knowing or willful, and (II) the 
imposition of a monetary penalty. 
"(iii) A final decision by an appropriate official of the 
Department of Defense to debar or suspend the contractor 
or to rescind, void, or terminate a contract awarded to such 
contractor if such decision is based on a determination by 
the Secretary of Defense that the violation or failure to 
comply was knowing or willful."; 
(2) by redesignating paragraph (2) as paragraph (3); and 
(3) by inserting after paragraph (1) (as amended by paragraph 
(D) the following: 
"(2) If a civil, criminal, or administrative action referred to in 
paragraph (IXN) is resolved by consent or compromise pursuant to 
an agreement entered into by a contractor and the United States, 
the contractor's costs that are otherwise not allowable under 
paragraph (IXN) may be allowed to the extent provided in such 
agreement.", 
10 use 2324 
(b) REGULATIONS.—The Secretary of Defense shall prescribe regu-
note. 
lations to implement section 2324(eXlXN) of title 10, United States 
Code, as added by subsection (a), not later than 90 days after the 
date of the enactment of this Act. 
1
0 
use 
2
3
2
4 
SEC. 8
3
3
. 
AIR 
TRAVEL 
EXPENSES 
OF 
DEFENSE 
CONTRACTOR 
PERSONNEL 
(a) AIR FARE DISCOUNT AGREEMENTS.—The Administrator of Gen-
eral Services shall enter into negotiations with commercial air 
carriers with a view to achieving agreements that permit personnel 
of contractors who are traveling solely in the performance of cov-
ered contracts to be transported by such carriers at the same 
discount air passenger transportation rates as such carriers charge 
for travel by Federal Government employees traveling at (Jovern-
ment expense. 
Regulations. 
(b) Aux)WABLE CosTS.—Not later than 120 days after the first 
agreement goes into effect between the Administrator of General 
Services and a commercial air carrier under subsection (a), the 
Secretary of Defense shall prescribe regulations that provide that 
costs for travel by commercial air carrier by an employee of a 
defense contractor that exceed the air passenger transportation 
rates established under the agreement are not allowable costs under 
section 2324 of title 10, United States Code, under a covered contract 
if— 
(1) the rate was available; and 
(2) travel could have reasonably been performed imder the 
conditions required by the air carrier to qualify for such rate. 
(c) COVERED CONTRACT.—In this section, the term "covered con-
tract" has the meaning given such term by section 2324(k) of title 10, 
United States Code. 
(d) EXPIRATION.—This section shall cease to be effective three 
years after the date of the enactment of this Act. 
SEC. 8
3
4
. 
STANDARDS FOR CONTRACTOR INVENTORY ACCOUNTING 
SYSTEMS 
(a) IN GENERAL.—(1) CJhapter 141 of title 10, United States Code, is 
amended by adding at the end the following new section: 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2025 
10 use 2410b 
note. 
*
*
§ 2410b. Contractor inventory accounting systems: standards 
Regulations. 
"The Secretary of Defense shall prescribe in regulations— 
"(1) standards for inventory accounting systems used by con-
tractors under contract with the Department of Defense; and 
"(2) appropriate certification and enforcement requirements 
with respect to such standards.". 
(2) The table of sections at the b a n n i n g of such chapter is 
amended by adding at the end the following new item: 
"2410b, Contractor inventory accounting systems: standards.". 
Ot)) REGULATIONS.—(1) The Secretary of Defense shall prescribe the 
r^ulations required by paragraph (1) of section 2410b of title 10, 
United States Code, as added by subsection (a), not later than 30 
days after the date of the enactment of this Act. 
(2) The Secretary of Defense shall prescribe the regulations 
required by paragraph (2) of section 2410b of title 10, United States 
Code, as added by subsection (a), not later than 180 days after the 
date of the enactment of this Act. 
SEC. 835. EQUAL EMPLOYMENT OPPORTUNITIES RELATING TO AN ARMY 
CONTRACT 
No funds appropriated pursuant to any authorization in this Act 
or in any previous Act may be expended or obligated for the 
performance of contract number DA AJ09-88-C-A093 by a contrac-
tor outside the United States unless the Secretary of the Army 
secures a commitment from the contractor that it will support equal 
employment opportunities for all individuals irrespective of race, 
color, religion, sex, or national origin in its employment practices. 
PARTD—MISCELLANEOUS 
SEC. 841. PROCUREMENT TECHNICAL ASSISTANCE COOPERATIVE AGREE-
MENT PROGRAM 
(a) LIMITATION.—Section 2414 of title 10, United States Code, is 
amended to read as follows: 
"§ 2414. Limitation 
"(a) IN GENERAL.—The value of the assistance furnished by the 
Secretary to any eligible entity to carry out a procurement tecmiical 
assistance program under a cooperative agreement under this chap-
ter during any fiscal year may not exceed— 
"(1) in the case of a program operating on a Statewide basis, 
$300,000; or 
"(2) in the case of a program operating on less than a State-
wide basis, $150,000. 
"(Jb) DETERMINATIONS ON SCOPE OF OPERATIONS.—A determination 
Regulations. 
of whether a procurement technical assistance program is operating 
on a Statewide basis or on less than a Statewide basis shall be made 
in accordance with regulations prescribed by the Secretary of 
Defense.". 
Ot)) PROCUREMENT TECHNICAL ASSISTANCE FOR INDIAN TRIBAL 
ORGANIZATIONS.—(1) Section 807(aX2) of the National Defense 
Authorization Act for Fiscal Years 1988 and 1989 (Public Law 100-
180; 101 Stat. 1128) is amended bv striking out "for fiscal year 1988," 
and inserting in lieu thereof 
for fiscal years 1988 and 1989,". 
(2) Section 2411(1XD) of title 10, United States Code, is amended by 
striking out the period at the end and inserting in lieu thereof 
State and local 
governments. 
102 STAT. 2026 
PUBLIC LAW 100-456—SEPT. 29, 1988 
", whether or not such economic enterprise is organized for-profit, 
or nonprofit purposes.". 
SEC. 842. PRODUCT EVALUATION 
(a) IN GENERAL.—Chapter 139 of title 10, United States Code, as 
amended by section 823, is further amended by adding at the end 
the following new section: 
"§ 2369. Product evaluation activity 
"(a) ESTABLISHMENT.—The Secretary of Defense, acting through 
the Under Secretary of Defense for Acquisition, shall establish a 
program for the supervision and coordination of product evaluation 
activities within the Department of Defense. 
"(b) CONDUCT OF PRODUCT EVALUATION.—(1) The Secretary of each 
military department and the head of each Defense Agency may, 
subject to supervision and coordination by the Under Secretary of 
Defense for Acquisition, establish and conduct appropriate product 
evaluation activities. 
"(2) The purpose of each product evaluation activity established 
under paragraph (1) is to evaluate products developed by private 
industry independent of any contract or other arrangement with the 
United States in order to determine the utility of such products to 
the Department of Defense. 
'(c) COST SHARING.—As a condition to conducting an evaluation of 
any product under this section, the producer of the product shall be 
required to pay one half of the cost of conducting such evaluation. 
For product development proposed by a small business concern 
(within the meaning of section 3 of the Small Business Act (15 U.S.C 
632)), the Secretary of Defense may pay up to 85 percent of the cost 
of product evaluation if the small business concern agrees to a not-
for-profit contract.". 
(b) CLERICAL AMENDMENT.—The table of sections at the beginning 
of such chapter, as amended by section 823, is further amended by 
adding at the end the following new item: 
"2:^69 Product evaluation activity ". 
SEC 843. CONTRACT GOAL FOR MINORITIES IN PRINTING-RELATED 
SERVICES 
44 use 502 note. 
(a) TEST PROGRAM.—The Public Printer shall establish and, during 
fiscal years 1989 and 1990, carry out a test program for increasing 
its award of contracts to small and disadvantaged businesses for the 
printing, binding, and related services needed by the Department of 
Defense. The program shall have a goal of procuring in each such 
fiscal year from such businesses printing, binding, and related 
services equivalent to not more than 5 percent of the value of the 
printing, binding, and related services which were procured in the 
preceding fiscal year by the Government Printing Office from non-
Government sources for the Department of Defense. The Public 
Printer may use such procurement procedures as he considers nec-
essary to facilitate achievement of such goal 
(b) COVERED ENTITIES.—In this section, the term "small and dis-
advantaged businesses" means the small business concerns, histori-
cally Black colleges and universities, and minority institutions 
described in section 1207(a) of the National Defense Authorization 
Act for Fiscal Year 1987 (Public Law 99-661; 100 Stat. 3973). 
(c) ENFORCEMENT.—Any person who, for the purpose of securing a 
contract under subsection (a), misrepresents the status of any con-
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2027 
cem or person as a small business concern referred to in subsection 
(b), is subject to the penalties set forth in section 1207(f) of the 
National Defense Authorization Act for Fiscal Year 1987 (Public 
Law 99-661; 100 Stat. 3974). 
(d) SECTION 1207 GOALS.—For the purpose of determining whether 
the Department of Defense has attained the goals set forth in 
section 1207 of the National Defense Authorization Act for Fiscal 
Year 1987 (Public Law 99-661; 100 Stat 3973), the Secretary of 
Defense may count any procurements by the Public Printer in the 
program established under subsection (a). 
SEC. 8
4
4
. EXTENSION OF CONTRACT GOAL FOR SMALL AND DISADVAN-
TAGED 
BUSINESSES 
Section 1207 of the National Defense Authorization Act for Fiscal 
Year 1987 (Public Law 99-661; 100 Stat. 3973) is amended in subsec- lo use 2301 
tions (a) and (h) by striking out "and 1989" and inserting in lieu note. 
thereof "1989, and 1990". 
SEC. 845. DEADLINE FOR CERTAIN SMALL BUSINESS REGULATIONS 
Section 3(aX4XC) of the Small Business Act (15 U.S.C. 632) is 
amended by inserting at the end the following: "Such regulations 
shall apply with respect to contracts entered into on or after 
October 1,1988.". 
SEC. 846. SAFEGUARDING OP MILITARY WHISTLEBLOWERS 
(a) MILITARY WHISTLEBLOWER PROTECTION.—(1) Section 1034 of 
title 10, United States Code, is amended to read as follows: 
*
*
§ 1034. Communicating with a Member of Congress or Inspector 
General; prohibition of retaliatory personnel actions 
"(a) RESTRICTING COMMUNICATIONS WITH MEMBERS OF (DONGRESS 
AND INSPECTOR GENERAL PROHIBITED.—(1) No person may restrict a 
member of the armed forces in communicating with a Member of 
Congress or an Inspector General. 
"(2) Paragraph (1) does not apply to a communication that is 
unlawful. 
"(b) 
PROHIBITION OF RETALIATORY PERSONNEL ACTIONS.—No 
person may take (or threaten to take) an unfavorable personnel 
action, or withhold (or threaten to withhold) a favorable personnel 
action, as a reprisal against a member of the armed forces for 
making or preparing a communication to a Member of (Dongress or 
an Inspector General that (under subsection (a)) may not be re-
stricted. Any action prohibited by the preceding sentence (including 
the threat to take any action and the withholding or threat to 
withhold any favorable action) shall be considered for the purposes 
of this section to be a personnel action prohibited by this subsection. 
"(c) 
INSPECTOR GENERAL INVESTIGATION OF CERTAIN ALLEGA-
TIONS.—(1) If a member of the armed forces submits to the Inspector 
General of the Department of Defense (or the Inspector CJeneral of 
the Department of Transportation, in the case of a member of the 
CJoast Guard) an allegation that a personnel action prohibited by 
subsection (b) has been taken (or threatened) against the member 
with respect to a communication described in paragraph (2), the 
Inspector General shall expeditiously investigate the allegation. 
"(2) A communication described in this paragraph is a commu-
nication to a Member of Congress or an Inspector Greneral that 
(under subsection (a)) may not be restricted in which the member of 
102 STAT. 2028 
PUBLIC LAW 100-456—SEPT. 29, 1988 
the armed forces meikes a complaint or discloses information that 
the member reasonably believes constitutes evidence of— 
"(A) a violation of a law or regulation; or 
"(B) mismanagement, a gross waste of funds, an abuse of 
authority, or a substantial and specific danger to public health 
or safety. 
"(3) The Inspector General is not required to make an investiga-
tion under paragraph (1) in the case of an allegation made more 
than 60 days after the date on which the member becomes aware of 
the personnel action that is the subject of the allegation. 
"(4) If the Inspector General has not already done so, the Inspec-
tor General shall commence a separate investigation of the informa-
tion that the member believes evidences wrongdoing as described in 
subparagraph (A) or (B) of paragraph (2). The Inspector General is 
not required to make such an investigation if the information that 
the member believes evidences wrongdoing relates to actions which 
took place during combat. 
Reports. 
"(5) Not later than 30 days after completion of an investigation 
under this subsection, the Inspector General shall submit a report 
on the results of the investigation to the Secretary of Defense and 
the member of the armed forces concerned. In the copy of the report 
submitted to the member, the Inspector General may exclude any 
information that would not otherwise be available to the member 
under section 552 of title 5. 
"(6) If, in the course of an investigation of an allegation under this 
section, the Inspector (Jeneral determines that it is not possible to 
submit the report required by paragraph (5) within 90 days after the 
date of receipt of the allegation being investigated, the Inspector 
General shall provide to the Secretary of Defense and to the 
member making the allegation a notice— 
"(A) of that determination (including the reasons why the 
report may not be submitted within that time); and 
"(B) of the time when the report will be submitted. 
"(7) The report on the results of the investigation shall contain a 
thorough review of the facts and circumstances relevant to the 
allegation and the complaint or disclosure and shall include docu-
ments acquired during the course of the investigation, including 
summaries of interviews conducted. The report may include a rec-
ommendation as to the disposition of the complaint. 
"(d) CORRECTION OP RECORDS WHEN PROHIBITED ACTION TAKEN.— 
(1) A board for the correction of military records acting under 
section 1552 of this title, in resolving an application for the correc-
tion of records made by a member or former member of the armed 
forces who has alleged a personnel action prohibited by subsection 
(b), on the request of the member or former member or otherwise, 
may review the matter. 
"(2) In resolving an application described in paragraph (1), a 
correction board— 
"(A) shall review the report of the Inspector General submit-
ted under subsection (cX5); 
"(B) may request the Inspector General to gather further 
evidence; and 
"(C) may receive oral argument, examine and cross-examine 
witnesses, take depositions, and, if appropriate, conduct an 
evidentiary hearing. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2029 
"(3) If the board elects to hold an administrative hearing, the 
member or former member who filed the application described in 
paragraph (1)— 
"(A) may be provided with representation by a judge advocate 
if— 
"(i) the Inspector General, in the report under subsection 
(cX5), finds that there is probable cause to believe that a 
personnel action prohibited by subsection (b) has been 
taken (or threatened) against the member with respect to a 
communication described in subsection (cX2); 
"(ii) the Judge Advocate General concerned determines 
that the case is unusually complex or otherwise requires 
judge advocate assistance to ensurejM*oper presentation of 
the legal issues in the ceise; and 
"(iii) the member is not represented by outside counsel 
chosen by the member; and 
"(B) may examine witnesses through deposition, serve inter-
rogatories, and request the production of evidence, including 
evidence contained in the investigatory record of the Inspector 
General but not included in the report submitted under subsec-
tion (cX5). 
"(4) The Secretary concerned shall issue a final decision with 
respect to an application described in paragraph (1) within 180 days 
after the application is filed. If the Secretary fails to issue such a 
final decision within that time, the member or former member shall 
be deemed to have exhausted the member's or former member's 
administrative remedies under section 1552 of this title. 
"(5) The Secretary concerned shall order such action, consistent 
with the limitations contained in sections 1552 and 1553 of this title, 
as is necessary to correct the record of a personnel action prohibited 
by subsection (b). 
"(6) If the Board determines that a personnel action prohibited by 
subsection (b) has occurred, the Board may recommend to the 
Secretary concerned that the Secretary take appropriate discipli-
nary action against the individual who committed such personnel 
action. 
"(e) REVIEW BY SECRETARY OF DEFENSE.—Upon the completion of 
all administrative review under subsection (d), the member or 
former member of the armed forces who made the allegation 
referred to in subsection (cXD, if not satisfied with the disposition of 
the matter, may submit the matter to the Secretary of Defense. The 
Secretary shall make a decision to reverse or uphold the decision of 
the Secretary of the military department concerned in the matter 
within 90 days after receipt of such a submittal. 
"(f) POST-DISPOSITION INTERVIEWS.—After disposition of any case 
under this section, the Inspector General shall, whenever possible, 
conduct an interview with the person making the allegation to 
determine the views of that person on the disposition of the matter. 
"(g) REGULATIONS.—The Secretary of Defense, and the Secretary 
of Transportation with respect to the Coast Guard when it is not 
operating as a service in the Navy, shall prescribe regulations to 
carry out this section. 
"(h) DEFINITIONS.—In this section: 
"(1) The term 'Member of Congress' includes any Delegate or 
Resident Commissioner to Congress. 
"(2) The term 'Inspector General' means— 
o« . r»T Q 
102 STAT. 2030 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(A) an Inspector General appointed under the Inspector 
General Act of 1978; and 
"(B) an officer of the armed forces assigned or detailed 
under regulations of the Secretary concerned to serve as an 
Inspector General at any command level in one of the 
armed forces.". 
(2) The item relating to such section in the table of sections at the 
b^inning of chapter 53 of such title is amended to read as follows: 
"1034. Communicating with a Member of Congress or Inspector General; prohibition 
of retaliatory personnel actions.". 
10 use 1034 
(b) DEADLINE FOR REGULATIONS.—The Secretary of Defense and 
'^°*®- 
the Secretary of Transportation shall prescribe the regulations 
required by subsectic^(g) of section 1034 of title 10, United States 
Code, as amended by subsection (a), not later than 180 days after the 
date of the enactment of this Act. 
10 use 1034 
(c) REPORT.—(1) The Inspector General of the Department of 
note. 
Defense (and the Inspector General of the Department of Transpor-
tation with respect to the Coast Guard) shall submit to 0)ngress a 
report on the activities of the Inspector General under section 1034 
of title 10, United States Code, as amended by subsection (a). The 
report shall include, in the case of each case handled by the Inspec-
tor General under that section, a description of— 
(A) the nature of the allegation described in subsection (c) of 
that section; 
(B) the evaluation and recommendation of the Inspector Gen-
eral with respect to the allegation; 
(C) any action of the appropriate board for the correction of 
military records with respect to the allegation; 
(D) if the allegation is determined to be meritorious, any 
corrective action taken; and 
(E) the views of the member or former member of the armed 
forces making the all^ation (determined on the basis of the 
interview under subsection (f) of that section) on the disposition 
of the case. 
(2) The Inspector General shall include with the report under this 
subsection copies of the individual case reports for each such 
all^ation. 
(3) The report under this subsection shall be submitted not later 
than February 1,1990. 
10 use 1034 
(d) EFFECTIVE DATE.—The amendment to section 1034 of title 10, 
note. 
United States CJode, made by subsection (aXD, shall apply with 
respect to any personnel action taken (or threatened to be taken) on 
or after the date of the enactment of this Act as a reprisal prohibited 
by subsection (b) of that section. 
TITLE IX—MATTERS RELATING TO ARMS CONTROL 
SEC. 901. SENSE OF CONGRESS ON EXPANDING CONFIDENCE-BUILDING 
MEASURES 
(a) FINDINGS.—Ojngress makes the following findings: 
(1) Approximately two years have passed since the (Conference 
on Confidence- and Security-Building Measures and Disar-
mament in Europe (CDE) adjourned in Stockholm following the 
adoption of measures designed to increase openness and predict-
ability of military activities in Europe. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2031 
(2) To date, there have been seven formal observations and 
challenge inspections which have been conducted in accordance 
with the Stockholm agreements. 
(3) The military leaders of the North Atlantic Treaty 
Organization have concluded that the Stockholm observations 
and inspections have positively contributed to an improved 
understanding of Warsaw Pact forces and capabilities. 
(4) The Conventional Stability Talks (CST), which may begin 
before the end of 1988, will likely require careful and poten-
tially prolonged negotiation. 
(5) New negotiations will also begin under the auspices of the 
Conference on Security and Cooperation in Europe (CSCE) as a 
follow-on to the Stockholm conference. 
(6) The confidence-building measures established at Stock-
holm could, if expanded, contribute significantly to the success 
of the CDE follow-on conference and also to the establishment of 
a procedural framework for verifjdng a future CST agreement. 
(b) SENSE OF CONGRESS.—It is the sense of Congress that the 
President should give high priority to developing, in coordination 
with the North Atlantic Treaty Organization allies of the United 
States, stabilizing and verifiable proposals for expanding the regime 
of confidence-building measures in conjunction with the follow-on to 
the Conference on Confidence- and Security-Building Measures and 
Disarmament in Europe (CDE) ana the new Conventional Stability 
Talks (CST). 
SEC. 902. SENSE OF CONGRESS ON START TALKS 
It is the sense of Congress that any agreement negotiated by the 
President to achieve a reduction and limitation on strategic arms 
(through the strategic arms reduction talks in (Jeneva or other-
wise)— 
(1) should not prevent the United States from deploying a 
force structure under the agreement which emphasizes surviv-
able strategic systems and, in particular, should not in any way 
compromise the security of the United States ballistic-missile 
carrying submarine force, and 
(2) should not prohibit or limit the deployment of non-nuclear 
cruise missiles. 
SEC. 903. SENSE OF CONGRESS CONCERNING ROLE OF CONGRESS IN 
ARMS CONTROL AND DEFENSE POLICIES 
It is the sense of Congress— 
(1) that Congress, in exercising its authority under the Con-
stitution "to raise and support Armies" and "provide and main-
tain Navies" and, in the case of the Senate, to advise and 
consent to the ratification of treaties, has a role to play in 
formulating arms control and defense policies of the United 
States, but 
(2) that Congress, in exercising that authority, should not 
usurp, undermine, or interfere with the authority of the Presi-
dent under the Constitution to negotiate and implement trea-
ties, especially in the case of treaties which affect arms control 
and defense policies of the United States. 
SEC. 904. SENSE OF CONGRESS ON THE FIVE-YEAR ABM TREATY REVIEW 
(a) FINDINGS.—Congress makes the following findings: 
102 STAT. 2032 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(1) The Treaty Between the United States of America and the 
Union of Soviet Socialist Republics on the Limitation of Anti-
Ballistic Missile Systems, With Associated Protocol (hereinafter 
in this section referred to as the "ABM Treaty" or the "Treaty") 
in Article XIV, Paragraph 2, reads as follows: "Five years after 
entry into force of this Treaty, and at five-year intervals there-
after, the Parties shall t<^ether conduct a review of this 
Treaty.". 
(2) Such Treaty entered into force on October 3, 1972, and the 
third five-year anniversary date specified for the conduct of the 
review contemplated in the Treaty, therefore, was October 3, 
1987. 
(3) As a fundamental principle of the canons of legal construc-
tion, a specified number of years after a specific and determin-
able date means the specified anniversary of such date and 
therefore the third five^ear review of the ABM Treaty should 
have begun on or about October 3,1987. 
(4) The Parties to the Treaty have not met as required by the 
Treaty because the United States refused to meet on the date 
specified in the Treaty for such meeting (October 3, 1987) and 
hias refused since such date to propose a date for the meeting. 
(b) SENSE OF CONGRESS.—In light of the findings in subsection (a), 
it is the sense of Congress that the President should, without any 
further delay, propose an early date to conduct the overdue five-year 
President of U.S. 
review of the ABM Treaty. The President shall inform CJongress of 
the results of that review immediately after it takes place. 
President of U.S. 
SEC. 905. REVISION OF ANNUAL REPORT ON SOVIET COMPLIANCE WITH 
ARMS CONTROL COMMITMENTS 
(a) AMENDMENT TO PUBUC LAW 99-145.—The text of section 1002 
of the Department of Defense Authorization Act, 1986 (22 U.S.C. 
2592a), is amended to read as follows: 
"(a) ANNUAL REPORT.—Not later than December 1 of each year, 
the President shall submit to Congress a report containing the 
findings of the President with respect to the compliance of the 
Soviet Union with its arms control commitments and any additional 
information necessary to keep Congress currently informed. 
"(b) MATTERS TO BE INCLUDED.—The President shall specifically 
include in each such report the following: 
"(1) A summary of the current status of all arms control 
agreements in effect between the United States and the Soviet 
Union. 
"(2) An assessment of all violations by the Soviet Union of 
such agreements and the risks such violations pose to the 
national security of the United States and its allies. 
"(3) A net assessment of the aggregate military significance of 
all such violations. 
"(4) A statement of the compliance policy of the United States 
with respect to violations by the Soviet Union of those 
agreements. 
"(5) What actions, if any, the President has taken or proposes 
to take to bring the Soviet Union into compliance with its 
commitments under those agreements. 
"(c) CONTINGENT ADDITIONAL INFORMATION.—If the President in 
any second consecutive report submitted to C!ongress under this 
section reports that the Soviet Union is not in full compliance with 
all arms control agreements between the United States and the 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2033 
Soviet Union, the President shall include in such report an £issess-
ment of what actions are necessary to compensate for such 
violations. 
"(d) CLASSIFICATION OF REPORTS.—Each report under this section 
shall be submitted in both classified and unclassified versions.". 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 22 use 2592a 
shall take effect beginning with the report to be submitted under note. 
section 1002 of the Department of Defense Authorization Act, 1986, 
in 1990. 
SEC. 906. ANNUAL REPORT ON ARMS CONTROL STRATEGY 
President of U.S. 
(a) IN GENERAL.—The President shall submit to Congress each 
year, not later than December 1, a report containing a comprehen-
sive discussion and analysis of the arms control strategy of the 
United States. The President shall include in each such report the 
following: 
(1) A description of the nature and sequence of the future 
arms control efforts of the United States. 
(2) A net assessment of the current effects of arms control 
agreements on the status of, and trends in, the military balance 
between the United States and the Soviet Union and between 
the North Atlantic Treaty Organization (NATO) and the 
Warsaw Pact. 
(3) A comprehensive data base on the military balance of 
forces of the United States and the Soviet Union, and the 
balance of forces of NATO and the Warsaw Pact countries, that 
are affected by arms control agreements in existence as of the 
time of the report between the United States and the Soviet 
Union and between NATO and the Warsaw Pact, including an 
explanation of the methodology used to analyze the effects on 
such forces. 
(4) A net assessment of the effect that proposed arms control 
agreements between the United States and the Soviet Union 
and between NATO and the Warsaw Pact would likely have on 
United States force plans and contingency plans, including an 
assessment of the effect that such proposed agreements would 
have on the risks and costs to the United States. 
(5) An assessment of the effect that proposed treaty sub-
ceilings, asymmetries, and other factors or qualifications affect-
ing a treaty or arms control proposal would have on the 
military balance between the United States and the Soviet 
Union and between NATO and the Warsaw Pact, including an 
assessment of how such factors increase deterrence and reduce 
the risk and cost of war. 
(6) A statement of the strategy the United States and NATO 
will use to verify and deter noncompliance with proposed arms 
control treaties between the United States and the Soviet Union 
and between NATO and the Warsaw Pact. 
(7) A discussion of the extent to which and the manner in 
which the United States intends to consult with its allies 
regarding proposed arms control agreements between the 
United States and the Soviet Union and between NATO and the 
Warsaw Pact. 
(8) A discussion of how the United States proposes to tailor its 
defense structure in order to ensure that the national security 
can be preserved with or without arms control agreements. 
102 STAT. 2034 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(b) EXPLANATION OF METHODOLOGY.—In reporting on the current 
effect of arms control agreements on the status of, and trends in, the 
military balance of power between the United States and the Soviet 
Union and between NATO and the Warsaw Pact (required under 
paragraphs (2) and (3) of subsection (a)), the President shall— 
(1) specify the methodology used in analyzing the military 
balance between the United States and the Soviet Union and 
express the results of such analyses in terms of (A) static 
comparisons, and (B) comparisons that include dynamic factors; 
and 
(2) discuss all major scenarios, assumptions, and contin-
gencies, including political confrontation, full-scale war, and 
serious confrontations not involving full-scale war. 
(c) FORM OF REPORT.—The President shall submit such report in 
both classified and unclassified form. 
President of U.S. 
SEC. 907. REPORT ON ANTIBALLISTIC MISSILE CAPABILITIES AND 
ACTIVITIES OF THE SOVIET UNION 
(a) STUDY.—The President shall conduct a study regarding the 
antiballistic missile capability and activities of the Soviet Union. 
In conducting the study, the President shall assess each of the 
following: 
(1) The military capabilities and significance of the extensive 
network of large-phased array radars of the Soviet Union. 
(2) Whether the Soviet Union is developing or producing 
mobile or transportable engagement radars in violation of the 
1972 Antiballistic Missile Treaty. 
(3) The ability of the Soviet Union to develop an effective 
exoatmospheric antiballistic missile defense without using wide-
spread deployments of traditional engagement radars. 
(4) The ability of air defense interceptor missiles of the Soviet 
Union, now and in the future, to destroy warheads of ballistic 
missiles in fiight. 
(5) Whether silos or other hardened facilities of the Soviet 
Union located outside of the existing antiballistic missile site 
permitted near Moscow under the terms of the 1972 Antiballis-
tic Missile Treaty are or could be associated with antiballistic 
missile defenses not permitted under that Treaty. 
(6) Whether the Soviet Union is developing terminal anti-
ballistic missile defenses. 
(7) Whether the existing antiballistic missile site near Moscow 
that is permitted under the terms of that Treaty conceals or 
could conceal development, testing, or deployment by the Soviet 
Union of a widespread antiballistic missile system. 
(8) Activities of the Soviet Union regarding boost-phase inter-
cepts of ballistic missiles. 
(9) The status of laser programs, particle-beam programs, and 
other advanced technology programs of the Soviet Union com-
parable to programs conducted by the United States under the 
Strategic Defense Initiative. 
(10) The consequences for the United States of a successful 
effort by the Soviet Union to deploy cm effective nationwide or 
limited antiballistic missile system. 
(b) ASSESSMENT OF ABILITY OF UNITED STATES TO COUNTER A 
SOVIET ABM SYSTEM.—In conducting the study required by subsec-
tion (a), the President shall also assess the ability of the United 
States to counter effectively an effective antiballistic missile system 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2035 
deployed by the Soviet Union. Such assessment shall consider both 
the deployment by the Soviet Union of a nationwide, and of a 
limited, antiballistic missile system. In assessing the ability of the 
United States to counter effectively such a system, the President— 
(1) shall consider the ability of the United States to modify (A) 
existing strategic offensive forces (including modifications 
involving the development of additional penetration aids), and 
(B) current strategic doctrine and tactics; and 
(2) shall consider whether the actions of the United States 
described in paragraph (1) could be accomplished over the same 
period of time that the Soviet Union would require to deploy 
such an antiballistic missile system. 
(c) REPORT.—Not later than January 1, 1989, the President shall 
submit to Congress a report, in both a classified and an unclassified 
version, specifying the results of the study conducted pursuant to 
this section. The report shall include such recommendations as the 
President considers appropriate, including recommendations with 
r ^ a r d to maintaining the deterrent value of the strategic forces of 
the United States in light of the antiballistic missile capability and 
activities of the Soviet Union described in the report. 
SEC. 908. ANALYSIS OF ALTERNATIVE STRATEGIC NUCLEAR FORCE POS-
TURES FOR THE UNITED STATES UNDER A POTENTIAL START 
TREATY 
(a) FINDINGS.—Congress makes the following findings: 
(1) The United States and the Soviet Union are currently 
engaged in talks regarding the reduction of strategic nuclear 
arms. 
(2) Such talks could result in a treaty requiring deep reduc-
tions in the strategic forces of the United States. 
(3) Any such Strategic Arms Reduction Treaty (START) 
cannot be ratified without the advice and consent of the Senate. 
(4) Any such START Treaty should result in a stable balance 
of strategic forces between the United States and the Soviet 
Union which enhances the security of the United States. 
(5) Congress should provide funds for the forces permitted 
under such a treaty that are required to ensure the stability of 
the force balance under such a treaty. 
(6) (Dongress faces critical resource choices for fiscal year 1989 
and subsequent fiscal years, and the resource choices made by 
Congress for those years could substantially influence the 
strategic force posture of the United States in the period after 
such a treaty goes into effect. 
(b) PRESIDENTIAL REPORT.—Before entering into any Strategic 
Arms Reduction Treaty or other agreement with the Soviet Union 
for the reduction of strategic arms, but not later than September 15, 
1988, the President shall submit to Congress a comprehensive report 
on the implications such a treaty or agreement might have on the 
strategic force postures of the United States during the 1990s. The 
report shall include the following: 
(1) A description of alternative force postures that might be 
permitted for the United States under such an arms reduc-
tion agreement, including the posture recommended by the 
President. 
(2) The estimated costs, over at least a seven-year period, 
associated with each alternative force posture. 
Classified 
information. 
Public 
information. 
102 STAT. 2036 
PUBLIC LAW 100-456—SEPT. 29, 1988 
President of 
Classified 
information. 
Public 
information. 
Classified 
information. 
Public 
information. 
(3) The damage limitation capability, the survivability, and 
the retaliatory potential of such force posture, and the implica-
tions for strategic stability, assessed with regard to the likely 
force postures of the Soviet Union under such an agreement and 
the first-strike potential of such force postures. 
(4) The likely effect of a breakout by the Soviet Union from 
such an arms control agreement on the survivability and of the 
force posture of the United States under such an agreement 
recommended by the President under paragraph (1). 
U.S. 
(c) FORM OF REPORT.—The President shall submit the report under 
subsection (b) in both classified and uncleissified form. 
SEC. 909. ON-SITE INSPECTION AGENCY 
(a) REPORT REQUIREMENTS.—(1) Not later than six months after 
the date of the enactment of this Act, the officers named in para-
graph (2) shall each submit to the Committee on Armed Services, 
the Committee on Foreign Affairs, and the Permanent Select 
Committee on Intelligence of the House of Representatives and the 
Committee on Armed Services, the Committee on Foreign Relations, 
and the Select Committee on Intelligence of the Senate an unclassi-
fied report, with classified annexes as necessary, on the responsibil-
ity of each such officer for the monitoring and verification of arms 
control agreements. Each such report— 
(A) shall address specifically any responsibility the officer 
submitting the report has with respect to on-site inspections 
(whether inspections of facilities of the United States or inspec-
tions of facilities of another party to the agreement); and 
(B) shall set forth the organizational elements of each depart-
ment or agency over which the officer submitting the report has 
jurisdiction which have functions related to the monitoring or 
verification of arms control agreements. 
(2) Officers referred to in paragraph (1) are the following: 
(A) The Secretary of Defense. 
(B) The Secretary of State. 
(C) The Director of Central Intelligence. 
(D) The Director of the United States Arms Control and 
Disarmament Agency. 
(b) MATTERS TO BE INCLUDED.—Each report under subsection (a) 
shall— 
(1) describe in detail the monitoring and verification activities 
carried out with respect to the INF Treaty, 
(2) evaluate the effectiveness with which these functions have 
been implemented, and 
(3) include recommendations for any future organizational or 
policy changes that may be necessary in view of the experience 
of implementing the INF Treaty. 
(c) INF TREATY DEFINED.—For purposes of subsection (b), the term 
"INF Treaty" means the Treaty Between the United States of 
America and the Union of Soviet Socialist Republics on the Elimi-
nation of Their Intermediate-Range and Shorter-Range Missiles 
(signed at Washington on December 9,1987). 
(d) BUDGET REQUESTS.—Any request submitted to (Dongress by the 
Executive Branch for authorization of appropriations for the On-Site 
Inspection Agency for any fiscal year shall, as a separate activity, 
provide details of all funding and of all military and civilian person-
nel requested for that Agency for that fiscal year, including the 
number of such personnel of the Department of Defense and other 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2037 
agencies that will be assi^ed to on-site inspection activities and to 
support such activities during that fiscal year. 
SEC. 910. COORDINATION OF VERIFICATION POLICY AND RESEARCH AND 
DEVELOPMENT ACTIVITIES 
' 
(a) REPORT.—Not later than June 30, 1989, the President shall 
President of U.S. 
submit to Congress a report reviewing the relationship of arms 
control objectives of the United States with research and develop-
ment of improved monitoring systems for arms control verification. 
The review shall include the participation of the Secretaries of 
Defense, State, and Energy, the Director of Central Intelligence, and 
the Director of the United States Arms Control and Disarmament 
Agency. 
(b) FINDINGS AND RECOMMENDATIONS.—The report shall include 
the findings of the President, and such recommendations for 
improvements as the President considers appropriate, with respect 
to the following: 
(1) The status of coordination among the officers named in 
subsection (a) in the formulation of the policy of the United 
States regarding arms control verification. 
(2) The status of efforts to ensure that such policy is formu-
lated in a manner which takes into account available monitor-
ing technology. 
(3) The status of efforts to ensure that research and develop-
ment on monitoring technology evolves concurrently with such 
policy. 
TITLE X—MATTERS RELATING TO NATO COUNTRIES AND 
OTHER ALLIES 
SEC. 1001. INCREASE IN ANNUAL DOLLAR LIMITATION ON ACQUISITION 
AND CROSS-SERVICING AGREEMENTS WITH ALLIED COUN-
TRIES 
Section 2347(aXl) of title 10, United States Code, is amended by 
striking 
out 
"$100,000,000" 
and 
inserting 
in 
lieu 
thereof 
"$150,000,000". 
SEC. 1002. AUTHORITY TO WAIVE SURCHARGES ON CERTAIN SALES TO 
NORTH ATLANTIC TREATY ORGANIZATION 
Section 21(e) of the Arms Export Control Act (22 U.S.C. 2761(e)) is 
amended by adding at the end the foUowing: 
"(3XA) Tlie President may waive the charges for administrative 
services that would otherwise be required by paragraph (IXA) in 
connection with any sale to the Maintenance and Supply Agency of 
the North Atlantic Treaty Organization in support of— 
"(i) a weapon system partnership agreement; or 
"(ii) a NATO/SHAPE project. 
"(B) The Secretary of Defense may reimburse the fund established 
to carry out section 43(b) of this Act in the amount of the charges 
waived under subparagraph (A) of this paragraph. Any such 
reimbursement may be made from any funds available to the 
Department of Defense. 
(C) As used in this paragraph— 
"(i) the term 'weapon system partnership agreement' means 
an agreement between two or more member countries of the 
Maintenance and Supply Agency of the North Atlantic Treaty 
Organization that— 
102 STAT. 2038 
PUBLIC LAW 100-456—SEPT. 29, 1988 
22 use 2796d. 
Gifts and 
property. 
Contracts. 
"(I) is entered into pursuant to the terms of the charter of 
that organization; and 
"(Q) is for the common logistic support of a specific 
weapon system common to the participating countries; and 
"(ii) the term 'NATO/SHAPE project' means a common-
funded project supported by allocated credits from North Atlan-
tic Treaty Organization bodies or by host nations with NATO 
Infrastructure funds.". 
SEC. 1003. AUTHORITY OF MILITARY DEPARTMENTS TO LOAN AND 
BORROW FROM CERTAIN ALLIES MATERIALS, SUPPLIES, AND 
EQUIPMENT FOR RESEARCH AND DEVELOPMENT PURPOSES 
(a) IN GENERAL.—Chapter 6 of the Arms Export Control Act (22 
U.S.C. 2796c) is amended by adding at the end the following new 
section: 
"SEC. 
65. LOAN OF MATERIALS, SUPPUES, AND EQUIPMENT FOR 
RESEARCH AND DEVELOPMENT PURPOSES.—(aXD Except as provided 
in subsection (c), the Secretary of Defense may loan to a country 
that is a NATO or major non-NATO ally materials, supplies, or 
equipment for the purpose of carrying out a program of cooperative 
research, development, testing, or evaluation. The Secretary may 
accept as a loan or a gift from a country that is a NATO or major 
non-NATO ally materials, supplies, or equipment for such purpose. 
"(2) Each loan or gift transaction entered into by the Secretary 
under this section shall be provided for under the terms of a written 
agreement between the Secretary and the country concerned. 
"(3) A program of testing or evaluation for which the Secretary 
may loan materials, supplies, or equipment under this section 
includes a program of testing or evaluation conducted solely for the 
purpose of standardization, interchangeability, or technical evalua-
tion if the country to which the materials, supplies, or equipment 
are loaned agrees to provide the results of the testing or evaluation 
to the United States without charge. 
"(b) The materials, supplies, or equipment loemed to a country 
under this section may be expended or otherwise consumed in 
connection with any testing or evaluation program without a 
requirement for reimbursement of the United States if the 
Secretary— 
"(1) determines that the success of the research, development, 
test, or evaluation depends upon expending or otherwise 
consuming the materials, supplies, or equipment loaned to the 
country; and 
"(2) approves of the expenditure or consumption of such 
materials, supplies, or equipment. 
"(c) The Secretary of Defense may not loan to a country under this 
section any material if the material is a strategic and critical 
material and if, at the time the loan is to be made, the quantity of 
the material in the National Defense Stockpile (provided for under 
section 3 of the Strategic and Critical Materials Stock Piling Act (50 
U.S.C. 98b)) is less than the quantity of such material to be stock-
piled, as determined by the President under section 3(a) of such Act. 
'Xd) For purposes of this section, the term 'NATO or major non-
NATO ally means a member country of the North Atlantic Treaty 
Organization (other than the United States) or a foreign country 
other than a member nation of NATO designated as a major non-
NATO ally under section 1105 of the National Defense Authoriza-
tion Act for Fiscal Year 1987 (22 U.S.C. 2767a).". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2039 
(b) CLERICAL AMENDMENT.—The heading for such chapter is 
amended to read as follows: 
"CHAPTER 
6—LEASES 
OF 
DEFENSE 
ARTICLES 
AND LOAN 
AUTHORITY 
FOR 
COOPERATIVE 
RESEARCH 
AND 
DEVEL-
OPMENT 
PURPOSES". 
SEC. 1004. SENSE OF CONGRESS ON NEED FOR MODERNIZATION OF THEA- 
22 USC 1928 
TER NUCLEAR CAPABILITIES OF NATO 
note. 
(a) FINDINGS.—Congress makes the following findings: 
(1) The security of the North Atlantic Treaty Organization 
(NATO) alliance will continue for the foreseeable future to rely 
on a modern and credible nuclear deterrent. 
(2) NATO should make every effort to achieve the goal of 
raising the threshold for the use of nuclear weapons in the 
event of a conflict in Europe. 
(3) While recognizing that there is a critical need for improve-
ments in conventional forces, Congress also recognizes that the 
United States will have to devote defense resources in the 
future to the continuing modernization of the theater nuclear 
capabilities of NATO. 
(4) The modernization of the theater nuclear capabilities of 
NATO is a continuing process and stems from the 1983 
Montebello decision by NATO to reduce the stockpile of nuclear 
weapons in Europe while taking steps to ensure that the 
remaining nuclear weapons of the alliance are responsive, 
survivable, and effective. 
(5) Programs to modernize theater nuclear forces, which had a 
high priority for NATO before the ratification of the Intermedi-
ate-range Nuclear Forces (INF) Treaty, are at least as impor-
tant following the ratification of that treaty in May 1988. 
(6) The NATO Nuclear Planning Group recently reaffirmed 
its endorsement of development by the United States of a new 
missile for delivery of theater nuclear weapons as a follow-on to 
the current Lance missile, with a view toward an eventual 
decision on deployment of such a follow-on missile. 
(b) SENSE OF CONGRESS.—In light of the findings in subsection (a), 
it is the sense of Congress that— 
(1) modernization of the theater nuclear capabilities of the 
North Atlantic Treaty Organization is essentisd to the deter-
rence strategy of the NATO alliance, particularly in light of 
the requirements of the Intermediate-range Nuclear Forces 
(INF) Treaty for the destruction of intermediate-range nuclear 
weapons; 
(2) continued modernization by the United States of theater 
nuclear capabilities should be undertaken in close consultation 
with other NATO member nations; and 
(3) the United States should proceed with ongoing activities to 
meet the identified requirement of the NATO alliance for devel-
opment of a new missile for delivery of theater nuclear weapons 
as a follow-on to the Lance missile. 
SEC. 1005. REPORT ON NATO DEFENSE PROGRAM FOR FISCAL YEAR 1990 
(a) REPORT.—The Secretary of Defense shall submit to Congress a 
report setting forth in detail the programs of the Department of 
Defense in support of the North Atlantic Treaty Organization 
102 STAT. 2040 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(referred to as the "NATO Defense Program") for fiscal year 1990. 
The report shall include— 
(1) an identification of each such program by program ele-
ment; and 
(2) a description of each such program and the level of fund-
ing requested by the President for each such program in the 
budget for fiscal year 1990. 
(b) SUBMISSION OF REPORT.—The report under subsection (a) shall 
be submitted in conjunction with the submission to Congress of the 
President's budget for fiscal year 1990 pursuant to section 1105 of 
title 31, United States Code. 
10 u s e 133 note. 
SEC. 1006. IMPROVEMENT IN DEFENSE RESEARCH AND PROCUREMENT 
LIAISON WITH ISRAEL 
The Secretary of Defense, in consultation with the Under Sec-
retary of Defense for Acquisition, shall designate for duty in Israel 
an individual or individuals to serve as the primary liaison between 
the procurement and research and development activities of the 
United States Armed Forces and those of the State of Israel. 
SEC. 1007. MODIFICATION OF REQUIREMENT CONCERNING DESIGNATION 
OF MAJOR NON-NATO ALLIES 
Section 1105(0 of the National Defense Authorization Act for 
Fiscal Year 1987 (22 U.S.C. 2767a) is amended— 
(1) by striking out "Not later than January 1 of each year, the 
Secretary" and inserting in lieu thereof "The Secretary"; 
(2) by inserting ", whenever they consider such action to be 
warranted," after "Secretary of State"; and 
(3) by inserting "to be added to or deleted from the existing 
designation of countries" in paragraph (1) after "countries". 
SEC. 1008. CALL FOR CONTINUED DEFENSE BURDENSHARING DISCUS-
SIONS WITH ALLIES 
It is the sense of Congress that the President should continue the 
discussions (called for by Congress in section 1254(bXl) of Public Law 
100-204) with countries which participate in mutual defense alli-
ances with the United States, esp|ecially the member nations of the 
North Atlantic Treaty Organization and Japan, for the purpose of 
reaching an agreement for a more equitable distribution of the 
burden of financial support for the alliances. 
SEC. 1009. CONTRIBUTIONS BY JAPAN TO GLOBAL STABILITY 
(a) FINDINGS.—The Congress makes the following findings: 
(1) As noted by Congress in section 1012(aXl) of Public Law 
100-180 and in section 812(aXl) of Public Law 99-93, the alli-
ance of the United States and Japan is the foundation for the 
security of Japan and peace in the Far East and is a major 
contributing factor to the democratic freedoms and the eco-
nomic prosperity enjoyed by both the United States and Japan. 
(2) In keeping with the declaration made at the 1983 meeting 
in Williamsburg, Virginia, of the leaders of the leading industri-
alized democracies that "the security of our countries is indivis-
ible and must be approached on a global basis", the Government 
of Japan, in actions welcomed by the United States— 
(A) continues to fulfill the pledge made by the Prime 
Minister of Japan in May 1981 to develop the capabilities to 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2041 
defend the territory of Japan and the airspace and sealanes 
around Japan to a distance of 1,000 nautical miles by 1990, 
(B) has increased the amount of assistance provided to 
other countries during fiscal year 1988 by 6.5 percent over 
the amount of such assistance provided during fiscal year 
1987, and 
(C) is, according to recent reports, actively involved in 
increasing its contributions to the stability of the Republic 
of the Philippines. 
(3) Japan could, because of its recent history and economic 
status, best fulfill a politically acceptable and significant role in 
maintaining the security of the leading industrialized democ-
racies by increasing spending for its Official Development 
Assistance program in the manner described by Congress in 
section 10120a) of Public Law 100-180. 
(4) The failure of the United States and Japan to agree on the 
appropriate level of the contribution by Japan to maintaining 
the security of the leading industrialized democracies could 
weaken the long-term vitality, effectiveness, and cohesion of the 
alliance between the United States and Japan. 
Oa) ANNUAL REPORT.—The Secretary of Defense shall include with 
22 use 1928 
the annual report submitted pursuant to section 1003 of Public Law 
^°^-
98-525 (22 U.S.C. 1928 note) a report on the Official Development 
Assistance program of the Government of Japan. Such report shall 
be prepared each year in coordination with the Secretary of State 
and the Administrator of the Agency for International Development 
and shall include a description of the amount and nature of spend-
ing under such program by recipient, including distinguishing 
between grant aid, loans, and credits. 
(c) PoucY ON DISCUSSIONS WITH JAPAN.—It is the sense of Con-
gress that in the discussions with Japan referred to in section 1008 
for the purpose of reaching a more equitable distribution of the 
burden of financial support for the security of the leading industri-
alized democracies, the objective of such discussions should include 
the establishment of a schedule for increases in spending under 
Japan's Official Development Assistance program and its defense 
programs so that, by 1992, the level of spending on those programs 
(stated as a percentage of gross national product) will approximate 
the average of the levels of spending by the member nations of the 
North Atlantic Treaty Organization on official development assist-
ance and defense programs (stated as a percentage of their respec-
tive gross national products). 
(d) REPORT.—Not later than 180 days after the date of the enact- President of U.S. 
ment of this Act, the President shall submit to Congress a report on 
the progress of the discussions described in subsection (c) with 
respect to Japan. 
(e) FURTHER CONGRESSIONAL ACTION.—It is the sense of Congress 
that if, in the judgment of Congress, the report of the President 
under subsection (d) does not reflect substantial progress toward a 
more equitable distribution of the burden of maintaining the secu-
rity of the leading industrialized democracies. Congress should 
review the extent of the distribution of the mutual security burden 
between the United States and Japan and should consider whether 
additional legislation is appropriate. 
102 STAT. 2042 
PUBLIC LAW 100-456—SEPT. 29, 1988 
TITLE XI—DRUG INTERDICTION AND LAW ENFORCEMENT 
SUPPORT 
SEC. 1101. ANNUAL GUIDELINES TO THE MILITARY DEPARTMENTS 
Section 113 of title 10, United States Code, is amended by adding 
to the end the following new subsection: 
"(1) The Secretary of Defense, with the advice and assistance of 
the Chairman of the Joint Chiefs of Staff, shall provide annually to 
the Secretaries of the military departments and to the commanders 
of the combatant commands written guidelines to direct the effec-
tive detection and monitoring of all potential aerial and maritime 
threats to the national security of the United States. Those guide-
lines shall include guidance on the specific force levels and specific 
supporting resources to be made available for the period of time for 
which the guidelines are to be in effect.". 
10 use 113 note. SEC. 1102. LEAD AGENCY FOR DETECTION 
(a) DEPARTMENT OF DEFENSE TO SERVE AS LEAD AGENCY.—The 
Department of Defense shall serve as the single lead agency of the 
Federal Government for the detection and monitoring of aerial and 
maritime transit of illegal drugs into the United States. 
(b) PRESIDENTIAL DETERMINATION.—Not later than 15 days after 
the date of the enactment of this Act, the President may designate 
an agency other than the Department of Defense as the single lead 
Reports. 
agency for the purpose stated in subsection (a). Before making such 
a designation, the President shall notify the Committees on Armed 
Services of the Senate and House of Representatives of the proposed 
designation and shall submit to those committees a detailed report 
setting forth the reasons for such designation. 
SEC. 1103. COMMUNICATIONS NETWORK 
(a) INTEGRATION OF C3I ASSETS.—(1) The President shall direct 
that command, control, communications, and technical intelligence 
assets of the United States that are dedicated to the interdiction of 
illegal drugs be integrated by the Secretary of Defense into an 
effective communications network. 
(2) Not later than 90 days after the date of the enactment of this 
Act, the President shall submit to Congress a report setting forth 
the plan of the President for the integration of assets by the 
Secretary of Defense under paragraph (1). 
Reports. 
(b) PLAN FOR RESPONSIBILITY FOR OPERATING C3I NETWORK.—Not 
later than 120 days after submission of the report required by 
subsection (aX2), the President shall develop a plan for the assign-
ment of responsibility for operating the communications network 
described in subsection (aXD and shall submit to Congress a report 
on such plan. The plan shall ensure that assignment of the respon-
sibility for operating the communications network referred to in 
subsection (aXD is made not later than 60 days after the date on 
which the report required by this subsection is submitted to 
Congress. 
SEC. 1104. ENHANCED DRUG INTERDICTION AND LAW ENFORCEMENT 
SUPPORT BY THE DEPARTMENT OF DEFENSE 
(a) REVISION OF SUPPORT FOR CIVIUAN LAW ENFORCEMENT AGEN-
CIES.—Chapter 18 of title 10, United States Code, is amended to read 
as follows: 
President of U.S. 
10 use 374 note. 
Reports. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2043 
"CHAPTER 8—MILITARY SUPPORT FOR CIVILIAN 
state and locai 
governments. 
LAW ENFORCEMENT AGENCIES 
"Sec. 
"371. Use of information collected during military operations. 
"372. Use of military equipment and facilities. 
"373. Training and advising civilian law enforcement officials. 
"374. Maintenance and operation of equipment. 
"375. Restriction on direct participation by military personnel. 
"376. Support not to affect adversely military preparedness. 
"377. Reimbursement. 
"378. Nonpreemption of other law. 
"379. Assignment of C!oast Guard personnel to naval vessels for law enforcement 
purposes. 
"380. Enhancement of cooperation with civilian law enforcement officials. 
"§371. Use of information collected during military operations 
"(a) The Secretary of Defense may, in accordance with other 
applicable law, provide to Federal, State, or local civilian law 
enforcement officials any information collected during the normal 
course of military training or operations that may be relevant to a 
violation of any Federal or State law within the jurisdiction of such 
officials. 
"(b) The needs of civilian law enforcement officials for informa-
tion shall, to the maximum extent practicable, be taken into account 
in the planning and execution of military training or operations. 
"(c) The Secretary of Defense shall ensure, to the extent consistent 
with national security, that intelligence information held by the 
Department of Defense and relevant to drug interdiction or other 
civilian law enforcement matters is provided promptly to appro-
priate civilian law enforcement officieds. 
"§ 372. Use of military equipment and facilities 
"The Secretary of Defense may, in accordance with other 
applicable law, make available any equipment (including associated 
supplies or spare parts), base facility, or research facility of the 
Department of Defense to any Federal, State, or local civilian law 
enforcement official for law enforcement purposes. 
"§373. Training and advising civilian law enforcement ofHcials 
"The Secretary of Defense may, in accordance with other 
applicable law, make Department of Defense personnel available— 
"(1) to train Federal, State, and local civilian law enforcement 
officials in the operation and maintenance of equipment, includ-
ing equipment made available under section 372 of this title; 
and 
"(2) to provide such law enforcement officials with expert 
advice relevant to the purposes of this chapter. 
"§ 374. Maintenance and operation of equipment 
"(a) The Secretary of Defense may, in accordance with other 
applicable law, make Department of Defense personnel available for 
the maintenance of equipment for Federed, State, and local civilian 
law enforcement officials, including equipment made available 
under section 372 of this title. 
"(bXD Subject to paragraph (2) and in accordance with other 
applicable law, the Secretary of JDefense may, upon request from the 
head of a Federal law enforcement agency, make Department of 
102 STAT. 2044 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Defense personnel available to operate equipment (including equip-
ment made available under section 372 of this title) with respect 
to— 
"(A) a criminal violation of a provision of law specified in 
paragraph (4XA); or 
"(B) assistance that such agency is authorized to furnish to a 
State, local, or foreign government which is involved in the 
enforcement of similar laws. 
Aircraft and air 
"(2) Department of Defense personnel made aveiilable to a civilian 
carriers. 
1^^ enforcement agency imder this subsection may operate equip-
Mantime affairs, nient for the following purposes: 
"(A) Detection, monitoring, and communication of the move-
ment of air and sea traffic. 
"(B) Aerial reconnaissance. 
"(CJ) Interception of vessels or aircraft detected outside the 
land area of the United States for the purposes of communicat-
ing with such vessels and aircraft to direct such vessels and 
aircraft to go to a location designated by appropriate civilian 
officials. 
"(D) Operation pf equipment to facilitate communications in 
connection with law enforcement pr(^ams specified in para-
graph (4XA). 
"(E) Subject to joint approval by the Secretary of Defense, the 
Attorney (Jenergd, and^ the Secretary of State, in connection 
with a law enforcement operation outside the land area of the 
United States— 
"(i) the transportation of civilian law enforcement person-
nel; and 
"(ii) the operation of a base of operations for civilian law 
enforcement personnel. 
Maritime affairs. 
"(3) Department of Defense personnel made available to operate 
Aircraft and air 
equipment for the purpose stated in paragraph (2XC) may continue 
earners. 
^ operate such equipment into the land area of the United States in 
cases involving the pursuit of vessels or aircraft where the detection 
b ^ a n outside such land area. 
(4) In this subsection: 
"(A) The term 'Federal law enforcement agency' means an 
agency with jurisdiction to enforce any of the following: 
"(i) The Ck)ntrolled Substances Act (21 U.S.C. 801 et seq.) 
or the Controlled Substances Import and Export Act (21 
U.S.C. 951 et seq.). 
"(ii) Any of sections 274 through 278 of the Immigration 
and NationaUty Act (8 U.S.C. 1324-1328). 
"(iii) A law relating to the arrival or departure of mer-
chandise (as defined in section 401 of the Tariff Act of 1930 
(19 U.S.C. 1401) into or out of the customs territory of the 
United States (as defined in general headnote 2 of the Tariff 
Schedules of the United States) or any other territory or 
possession of the United States. 
"(iv) The Maritime Drug Law Enforcement Act (46 U.S.C. 
App. 1901 et seq.). 
"(B) The term 'land area of the United States' includes the 
land area of any territory, commonwealth, or possession of the 
United States. 
"(c) The Secretary of Defense may, in accordance with other 
applicable law, make Department of Defense personnel available to 
any Federal, State, or local civilian law enforcement agency to 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2045 
operate equipment for purposes other than described in paragraph 
(2) only to the extent that such support does not involve direct 
participation by such personnel in a civilian law enforcement oper-
ation unless such direct participation is otherwise authorized by 
law. 
"§375. Restriction on direct participation by military personnel Regulations. 
"The Secretary of Defense shall prescribe such regulations as may 
be necessary to ensure that the provision of any support (including 
the provision of any equipment or facility or the assignment or 
detail of any personnel) to any civilian law enforcement official 
under this chapter does not include or permit direct participation by 
a member of the Army, Navy, Air Force, or Marine Clorps in a 
search and seizure, an arrest, or other similar activity unless partici-
pation in such activity by such member is otherwise authorized by 
law. 
"§ 376. Support not to affect adversely military preparedness 
"Support (including the provision of any equipment or facility or 
the assignment or detail of any personnel) may not be provided to 
any civilian law enforcement official under this chapter if the 
provision of such support will adversely affect the military 
preparedness of the United States. The Secretary of Defense shall Regulations. 
prescribe such regulations as may be necessary to ensure that the 
provision of any such support does not adversely affect the military 
preparedness of the United States. 
"§ 377. Reimbursement 
"(a) To the extent otherwise required by section 1535 of title 31 
(popularly known as the 'Economy Act') or other applicable law, the 
Secretary of Defense shall require a civilian law enforcement agency 
to which support is provided under this chapter to reimburse the 
Department of Defense for that support. 
"(b) An agency to which support is provided under this chapter is 
not required to reimburse the Department of Defense for such 
support if such support— 
"(1) is provided in the normal course of military training or 
operations; or 
"(2) results in a benefit to the element of the Department of 
Defense providing the support that is substantially equivalent 
to that which would otherwise be obtained from military oper-
ations or training. 
*'§ 378. Nonpreemption of other law 
"Nothing in this chapter shall be construed to limit the authority 
of the executive branch in the use of military personnel or equip-
ment for civilian law enforcement purposes beyond that provided by 
law before December 1,1981. 
"§ 379. Assignment of Coast Guard personnel to naval vessels for 
law enforcement purposes 
"(a) The Secretary of Defense and the Secretary of Transportation 
shall provide that there be assigned on board every appropriate 
surface naval vessel at sea in a drug-interdiction area members of 
the Coast Guard who are trained in law enforcement and have 
powers of the Coast Guard under title 14, including the power to 
make arrests and to carry out searches and seizures. 
102 STAT. 2046 
PUBLIC LAW 100-456—SEPT. 29, 1988 
"(b) Members of the Coast Guard assigned to duty on board naval 
vessels under this section shall perform such law enforcement func-
tions (including drug-interdiction functions)— 
"(1) as may be agreed upon by the Secretary of Defense and 
the Secretary of Transportation; and 
"(2) as are otherwise within the jurisdiction of the Coast 
Guard. 
"(c) No fewer than 500 active duty personnel of the CJoast Guard 
shall be assigned each fiscal year to duty under this section. How-
ever, if at any time the Secretary of Transportation, after consulta-
tion with the Secretary of Defense, determines that there are 
insufficient naval vessels available for purpcKses of this section, such 
personnel may be assigned other duty involving enforcement of laws 
listed in section 374(bX4XA) of this title. 
"(d) In this section, the term 'drug-interdiction area' means an 
area outside the land area of the United States (as defined in section 
374fl[)X4)(B) of this title) in which the Secretary of Defense (in 
consultation with the Attorney General) determines that activities 
involving smuggling of drugs into the United States are ongoing, 
"§ 380. Enhancement of cooperation with civilian law enforcement 
officials 
' 
"(a) The Secretary of Defense, in cooperation with the Attorney 
(Jeneral, shall conduct an annual briefing of law enforcement 
personnel of each State (including law enforcement personnel of the 
political subdivisions of each State) regarding information, training, 
technical support, and equipment and facilities available to civilian 
law enforcement personnel from the Department of Defense. 
"(b) Each briefing conducted under subsection (a) shall include the 
following: 
"(1) An explanation of the procedures for civilian law enforce-
ment officials— 
"(A) to obtain information, equipment, training, expert 
advice, and other personnel support under this chapter; and 
"(B) to obtain surplus military equipment. 
"(2) A description of the types of information, equipment and 
facilities, and training and advice available to civilian law 
enforcement officials from the Department of Defense. 
"(3) A current, comprehensive list of military equipment 
which is suitable for law enforcement officials from the Etepart-
ment of Defense or available as surplus property from the 
Administrator of Greneral Services. 
"(c) The Attorney General and the Administrator of General 
Services shall— 
"(1) establish or designate an appropriate office or offices to 
maintain the list described in subsection (bX3) and to furnish 
information to civilian law enforcement officials on the avail-
ability of surplus military equipment; and 
Communications 
"(2) make avEiilable to civilian law enforcement personnel 
and telecom- 
nationwide, tollfree telephone communication with such office 
munications. 
^^ offices.". 
(b) CLERICAL AMENDMENT.—The item relating to such chapter in 
the tables of chapters at the beginning of subtitle A, and at the 
beginning of part I of subtitle A, of title 10, United States C!ode, is 
amended to read as follows: 
"18. Military Support for Civilian Law Enforcement Aj^encies 
371". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2047 
SEC. 1105. ENHANCED DRUG INTERDICTION AND ENFORCEMENT ROLE State and local 
FOR THE NATIONAL GUARD 
f 
°X®™™!,"*^ 
10 u s e 374 note. 
(a) FUNDING ASSISTANCE.—(1) The Secretary of Defense may pro-
vide to the Governor of a State who submits a plan to the Secretary 
under paragraph (2) sufficient funds for the pay, allowances, cloth-
ing, subsistence, gratuities, travel, and related expenses of personnel 
of the National Guard of such State used— 
(A) for the purpose of drug interdiction and enforcement 
operations; and 
(B) for the operation and maintenance of the equipment and 
facilities of the National Guard of such State used for such 
purposes. 
(2) The Secretary may provide funds under paragraph (1) to the 
Governor of a State who submits to the Secretary a plan specifying 
how personnel of the National Guard of that State are to be used in 
drug enforcement and interdiction operation by a National Guard of 
a State if— 
(A) such operations are conducted at a time when personnel of 
the National Guard of the State are under the command and 
control of State authority and are not in Federal service; and 
(B) participation by a National Guard personnel in such 
operations is service in addition to annual training required 
under section 502 of title 32, United States Code. 
(3) Before funds are provided to the Governor of a State under this 
section, the Secretary of Defense shall consult with the Attorney 
General of the United States regarding the adequacy of the plan 
submitted by the Governor to the Secretary. 
(4) Of the amounts appropriated pursuant to section 1106, the 
Secretary shall, for the purposes of paragraph (1), make available— 
(A) not more than $30,000,000 for operations and maintenance 
for the National Guard, and 
(B) not more than $30,000,000 for National Guard personnel. 
(5) Nothing in this subsection shall be construed as a limitation on 
the authority of any unit of the National Guard of a State, when 
such unit is not in Federal service, to perform law enforcement 
functions authorized to be performed by the National Guard by the 
laws of the State concerned. 
(b) TRAINING CRITERIA.—The Secretary of Defense shall prescribe 
and enforce training criteria for the National Guard to enhance the 
capability of the National Guard to assist in drug abuse control 
activities. 
(c) PRESIDENTIAL REPORT.—Not later than 120 days after the date 
of the enactment of this Act, the President shall submit to Congress 
a report on the past effectiveness of using members of the National 
Guard for drug interdiction efforts, consistent with applicable law, 
along the borders and at the ports of entry of the United States and 
on the potential for the effective use of such members for such 
purpose in the future. 
SEC. 1106. FUNDING OF ACTIVITIES RELATED TO DRUG INTERDICTION 
(a) AUTHORIZATION OF APPROPRIATIONS.—(1) In addition to 
the 
amounts otherwise authorized to be appropriated by this Act, there 
is hereby authorized to be appropriated to the Department of De-
fense for fiscal year 1989 the sum of $210,000,000. Amounts appro-
priated pursuant to the preceding sentence shall be available only 
for trsmsfer to other appropriations available to the Department of 
102 STAT. 2048 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Reports. 
President of U.S. 
President of U.S. 
Drugs and drug 
abuse. 
Defense and may be used only for the purposes stated in paragraph 
(2). 
(2) Funds transferred under paragraph (1) may be used only for 
the mission of the Department of Defense ^et forth in section 113(1) 
of title 10, United States Code, as added by section 1101, for the 
activities of the Department of Defense under section 1103, and for 
National Guard drug interdiction activities described in section 
1105. Such funds shall be available for obligation for the same 
period, and for the same purpose, as the appropriation to which 
transferred. 
(b) TRANSFER OF FISCAL YEAR 1987 FUNDS.—Of the amounts appro-
priated for the Navy for procurement of aircraft for fiscal year 1987, 
and which remain unobligated on the date of the enactment of this 
Act, the sum of $90,000,000 shall be available only for the purposes 
set forth in subsection (aX2). Such amount may be transferred to any 
appropriation made for the Department of Defense for fiscal year 
1989 and shall be merged with, and be available for the same 
purpose as, the appropriation to which transferred. The period of 
the availability for obligation of any amount so transferred shall not 
be extended as a result of such transfer. 
(c) NOTICE TO CONGRESS.—(1) The Secretary of Defense may not 
transfer any funds appropriated pursuant to subsection (a) to an-
other appropriation fof obligation pursuant to this section and may 
not transfer or obligate any funds made available under subsection 
Ot)) until— 
(A) the Secretary submits to the Committees on Armed Serv-
ices of the Senate and the House of Representatives a report 
with respect to that transfer described in paragraph (2); and 
(B) a period of 60 days elapses after the report is received by 
those committees. 
(2) A report under paragraph (1) with respect to a transfer of 
funds shall set forth in detail the Secretary's proposal for the 
obligation of such funds, including a statement of the following: 
(A) The appropriation account or accounts to which the funds 
are proposed to be transferred. 
(B) The activities proposed to be undertaken using those 
funds. 
(C) The relationship between those activities and the drug 
interdiction strategy of the United States. 
SEC. 1107. REPORTS 
(a) PROPOSALS.—Not later than December 1, 1988, the President 
shall submit to Congress a report containing— 
(1) legislative proposals to enhance the capability of the 
Department of Defense to perform the functions provided for in 
this title and in the amendments made by this title; and 
(2) estimates of the amounts necessary to carry out such 
proposals. 
O
t
)
) RADAR COVERAGE AND SOUTHERN BORDER.—(1) The President 
shall submit to the Committees on Armed Services of the Senate and 
the House of Representatives a report assessing the potential effect 
on drug interdiction and on the drug abuse problem in the United 
States of— 
(A) carrying out radar coverage along the southern border of 
the United States; and 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2049 
(B) pursuing drug smugglers detected by such radar coverage 
with rotor-wing and fix«l-wing aircraft of the Department of 
Defense and of civilian law enforcement agencies. 
(2) The President shall include in such report an assessment of the 
relative effectiveness— 
(A) of carrying out the operations described in clauses (A) and 
(B) of paragraph (1) on a full-time basis; 
(B) of carrying out such operations only during the hours of 
darkness; and 
(C) the feasibility and cost of carrying out such operations 
under each of the conditions specified in clauses (A) and (B). 
(3) The report under paragraph (1) shall be submitted not later 
than 30 days after the date of the enactment of this Act. 
(c) PURSUIT BY AIRCRAFT.—(1) Not later than 15 days after the date 
of the enactment of this Act, the Secretary of Defense shall submit 
to the Committees on Armed Services of the Senate and the 
House of Representatives a report containing the 
following 
information: 
(A) The total number of times suspected drug smugglers 
flying aircraft into the United States have been pursued by 
aircraft operated by or with the support of personnel of the 
Department 
of Defense 
under the authority 
of section 
374(cX2XB) of title 10, United States Code, as in effect on the day 
before the date of the enactment of this Act. 
(B) The number of times civilian law enforcement officials 
were present at the location and at the time the suspected drug 
smugglers were forced to land their aircraft in the United 
States as a result of the pursuit of the aircraft operated by or 
with the support of Department of Defense personnel. 
(C) The number of times such officials were not present at the 
location and at the time such suspected smugglers were forced 
to land their aircraft in the United States. 
(2) Not later than one year after the date of the enactment of this 
Act, the Secretary of Defense shall submit to such committees a 
report containing the following information: 
(A) The total number of times suspected drug smugglers 
described in paragraph (1) have been pursued into the United 
States by aircraft operated by or with the support of Depart-
ment of Defense personnel under the authority of section 
374(bX2XC) of title 10, as amended by section 1104. 
(B) The number of times civilian law enforcement officials 
were present at the location and at the time the suspected drug 
smugglers were forced to land their aircraft in the United 
States as a result of the pursuit of the aircraft operated by or 
with the support of Department of Defense personnel. 
(C) The number of times such officials were not present at the 
location and at the time such suspected smugglers were forced 
to land their aircrsift in the United States as a result of the 
pursuit of the aircraft operated by or with the support of 
Department of Defense personnel. 
(D) Such other information and such recommendations as the 
Secretary considers appropriate regarding the use of Depart-
ment of Defense personnel for purposes authorized in section 
37403) of title 10, United States Code, as amended by section 
1104. 
102 STAT. 2050 
PUBLIC LAW 100-456—SEPT. 29, 1988 
TITLE XII—GENERAL PROVISIONS 
PART A—FINANCIAL AND BUDGET MATTERS 
SEC. 1201. TRANSFER AUTHORITY 
(a) AUTHORITY TO TRANSFER AUTHORIZATIONS.—(1) Upon deter-
mination by the Secretary of Defense that such action is necessary 
in the national interest, the Secretary may transfer amounts of 
authorizations made available to the Department of Defense in title 
I, II, or III for any fiscal year between any such authorizations for 
that fiscal year (or any subdivisions thereof). Amounts of authoriza-
tions so transferred shall be merged with and be available for the 
same purposes as the authorization to which transferred. 
(2) The total amount of authorizations for any fiscal year that the 
Secretary of Defense may transfer under the authority of this 
section may not exceed $3,000,000,000. 
(\}) LIMITATIONS.—The authority provided by this section to trans-
fer authorizations— 
(1) may only be used to provide authority for items that have 
a higher priority than the items from which authority is trans-
ferred; and 
(2) may not be used to provide authority for an item that has 
been denied authorization by Congress. 
(c) NOTICE TO CONGRESS.—The Secretary of Defense shall promptly 
notify Congress of transfers made under the authority of this 
section. 
SEC. 1202. INCREASE IN FISCAL YEAR 1988 DEFENSE FUNDS TRANSFER 
AUTHORIZATION 
Section 1201 of the National Defense Authorization Act for 
Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 1153) is 
amended— 
(1) in subsection (a)— 
(A) by inserting "of this Act or any prior defense 
authorization Act' in paragraph (1) before for any fiscal 
year"; and 
(B) by striking out "$2,000,000,000" in paragraph (2) and 
inserting in lieu thereof "$4,000,000,000"; and 
(2) by striking out subsection (d) and inserting in lieu thereof 
the following: 
"(d) SPECIFIED PURPOSES.—In determining the purposes for which 
the authority provided by subsection (a) will be used, the Secretary 
of Defense shall ensure that to the extent that the total dollar 
amount of transfers under such authority exceeds $2,000,000,000, an 
appropriate portion of that authority is used to transfer to military 
personnel accounts and operation and maintenance accounts of the 
Department of Defense for fiscal year 1988 (1) funds for depot 
maintenance activities in amounts sufficient to reduce service back-
logs which would otherwise occur, (2) funds for pay of civilian 
personnel in amounts sufficient to reduce furloughs, reductions-in-
force, or release of on-call employees into a nonpay status which 
would otherwise be required due to insufficient funding for civilian 
personnel of the Department of Defense for fiscal year 1988, and (3) 
funds for pay of military personnel. 
"(e) NOTICE TO CONGRESS.—The Secretary of Defense shall submit 
to Congress notice of each transfer made under the authority of this 
! 
section. After the total dollar amount of such transfers equals or 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2051 
exceeds $2,000,000,000, the notice required by the preceding sen-
tence with respect to any transfer shedl be submitted not less than 
15 days before the transfer is made, and any such notice shall then 
include identification of specific actions that the Secretary is taking 
in order to ensure that the transfer is made in compliance with 
subsection (f)-
"(f) CONTROL OF OUTLAYS.—In the case of any transfer under the 
authority of this section after the total dollar amount of such 
transfers equals or exceeds $2,000,000,000, the Secretary of Defense 
may carry out such tremsfer only to the extent that such transfer, 
and the expenditure of funds so trsuisferred, do not result in an 
increase in outlays by the Department of Defense during fiscal year 
1988.". 
PART B—FISCAL YEAR 1988 UNAUTHORIZED APPROPRIATIONS 
SEC. 1211. AUTHORITY FOR OBLIGATION OF CERTAIN UNAUTHORIZED 
FISCAL YEAR 1988 DEFENSE APPROPRIATIONS 
(a) AUTHORITY.—The amounts described in subsection Q)), totaling 
$10,624,600,000, may be obUgated and expended for programs, 
projects, and activities of the Department of Defense in accordance 
with fiscal year 1988 defense appropriations except as otherwise 
provided in section 1212. 
Ob) COVERED AMOUNTS.—The amounts referred to in subsection (a) 
are the smiounts provided for programs, projects, and activities of 
the Department of Defense in fiscal year 1988 defense appropria-
tions that are in excess of the amounts provided for such programs, 
projects, and activities in fiscal year 1988 defense authorizations. 
(c) DEFINFTIONS.—For the purposes of this part: 
(1) FISCAL YEAR 1988 DEFENSE APPROPRIATIONS.—The term 
"fiscal year 1988 defense appropriations" means amounts 
appropriated or otherwise made available to the Department of 
Etefense for fiscal year 1988 in the Department of Defense 
Appropriations Act, 1988 (as contained in section 101(b) of 
Public Law 100-202). 
(2) FISCAL YEAR 1988 DEFENSE AUTHORIZATIONS.—The term 
"fiscal year 1988 defense authorizations" means amounts 
authorized to be appropriated for the Department of Defense for 
fiscal year 1988 in the National Defense Authorization Act for 
Fiscal Years 1988 and 1989 (Public Law 100-180). 
SEC. 1212. LIMITATION ON OBLIGATION FOR CERTAIN UNAUTHORIZED 
APPROPRIATIONS 
(a) 
PROGRAMS 
NOT 
AVAILABLE 
FOR OBUGATION.—Amounts 
described in section 121 lOt)) may not be obligated or expended for the 
following programs, projects, and activities of the Department of 
Defense (for which amounts were provided in fiscal year 1988 
defense appropriations): 
(1) Satellite Systems Survivability program under research, 
development, test, and evaluation for the Air Force in the 
amount of $5,300,000. 
(2) Maxicube Cargo System under research, development, test, 
and evaluation for the Army in the amount of $10,000,000. 
(3) Coastal Defense Augmentation in the amount of 
$20,000,000. 
102 STAT. 2052 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(4) Defense Meteorological Satellite program under research, 
development, test, and evaluation for the Navy in the amount of 
$40,000,000. 
(5) P-3C aircraft under procurement of National Guard and 
Reserve equipment in the amount of $193,800,000. 
(6) AN/SQR-17 Acoustic Processors for the Mobile Inshore 
Undersea Warfare group under procurement of National Guard 
and Reserve equipment in the amount of $10,000,000. 
O
o
) LIMITATION ON CERTAIN PROGRAMS.— 
(1) FORWARD AREA AIR DEFENSE HEAVY SYSTEM.—Funds appro-
priated or otherwise made available for the Army for procure-
ment of missiles for fiscal year 1988 may not be obligated for 
advance procurement for the Forward Area Air Defense Line-of-
Sight Forward-Heavy (LOS-F-H) system until— 
(A) the Secretary of Defense certifies to the Committees 
on Armed Services of the Senate and House of Representa-
tives that it is responsible to obligate funds for such purpose 
before operational testing of such system; and 
(B) the Director of Operational Test and Evaluation of the 
Department of Defense certifies to those committees that 
he has approved the issues and criteria associated with the 
operational testing of such system. 
(2) A-6 AIRCRAFT CONFIGURATION.—None of the funds appro-
priated for the procurement of aircraft for the Navy for fiscal 
year 1988 or 1989 may be obligated or expended for procure-
ment of any A-6 aircraft configured in the F model configura-
tion (as described in connection with the A-6E/A-6F aircraft 
program in the Selected Acquisition report submitted to Con-
gress for the quarter ending December 31,1986). 
(3) TANK PROCUREMENT.—Funds appropriated for procure-
ment of weapons and tracked combat vehicles for the Army for 
modification of M60 tanks in the amount of $90,000,000 may be 
used only for procurement or modification of Ml Abrams tanks, 
of which $30,000,000 shall be used for facilitization of Anniston 
Army Depot and initiation of the retrograde and modification 
programs for Ml tanks. 
(c) PROGRAM LIMITATIONS.—All limitations and requirements set 
forth in division A of the National Defense Authorization Act for 
Fiscal Years 1988 and 1989 (Public Law 100-180) shall apply to the 
obligation of funds authorized by section 1211(a) in the same manner 
as if the funds made available for obligation by such section had 
been authorized in that Act. 
(d) TRANSFER AUTHORITY.—For the purposes of section 1201 of the 
National Defense Authorization Act for Fiscal Years 1988 and 1989, 
authorizations in section 1211(a) shall be deemed to have been made 
available to the Department of Defense in such Act. 
(e) For purposes of section 1201 of the National Defense Authoriza-
tion Act for Fiscal Years 1988 and 1989 (Public Law 100-180; 101 
Stat. 1153), the amount of $279,100,000 (the sum of the amounts 
described in subsection (a) of this section) shall be deemed to have 
been authorized by such Act in equal amounts for the Army, Navy, 
and Air Force for the following purposes: 
(1) Depot maintenance activities in amounts sufficient to 
reduce service backlogs which would otherwise occur. 
(2) Pay of civilian personnel in cunounts sufficient to reduce 
furloughs, reductions-in-force, or release of on-call employees 
into a nonpay status which would otherwise be required due to 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2053 
insufficient funding for civilian personnel of the Department of 
Defense for fiscal year 1988. 
(3) Pay of military personnel in amounts sufficient to provide 
necessary costs of maintaining authorized end strengths. 
SEC. 1213. REPEAL OF CERTAIN APPROPRIATIONS GENERAL PROVISIONS 
Sections 8040,8098, and 8122 of the Department of Defense Appro-
priations Act, 1988 (as contained in section 1010)) of Public Law 100-
202), are repealed. 
lOi Stat. 
1329-69, 
P A R T C — N A V A L VESSELS AND SHIPYARDS 
i94note/ 
SEC 1221. NAMING OF TRIDENT SUBMARINE THE U.S.S. MELVIN PRICE 
(a) FINDINGS.—The Congress finds that— 
(1) the late Honorable Melvin Price served the people of the 
United States and the 21st Congressional District of Illinois as a 
Member of the House of Representatives for 44 consecutive 
years with loyalty, dedication, and warm personal friendship 
until his death on April 22,1988; 
(2) Melvin Price served as a member of the Committee on 
Armed Services of the House of Representatives for 40 years 
and did so with total dedication to the goal of maintaining a 
strong national defense; 
(3) in 1964, Melvin Price became the first chsdrman of the 
Research and Development Subcommittee of the Committee on 
Armed Services of the House of Representatives, and in 1975 
became the first military veteran to serve as chairman of that 
committee, a position he held for 10 years; 
(4) Melvin Price was a member of the Joint Committee on 
Atomic Energy from its establishment in 1946 until 1977 and 
served as the first chairman of that committee; 
(5) Melvin Price played a major role in successfully advocat-
ing the peaceful use of nuclear energy and the military applica-
tion of nuclear power for Navy ships and submsuines; and 
(6) Melvin Price has left an indelible mark on the history of 
the Nation as a result of his 44 years of unselfish efforts to 
maintain the strengfth and readiness of the Armed Forces. 
(b) SENSE OP CONGRESS.—In light of the findings expressed in 
subsection (a), it is the sense of Congress that the Secretary of the 
Navy should name the next Trident ballistic missile submarine to be 
named after the enactment of this Act the U.S.S. Melvin Price. 
SEC. 1222. NAMING A NAVY SHIP THE U.S.S. BOB HOPE 
(a) FINDINGS.—The Congress finds that— 
(1) Bob Hope has unselfishly dedicated his time and efforts for 
over 50 years to the morale and welfare of the men and women 
of the Armed Forces; 
(2) Bob Hope has served his Nation in three wars by enter-
taining members of the Armed Forces aboard ships at sea and 
in combat zones ashore; 
(3) Bob Hope has during peacetime entertained the men and 
women of the Armed Forces in all regions of the world and at 
every season of the year; 
(4) Bob Hope has placed his own safety and convenience 
second to that of improving the morale of the members of the 
Armed Forces; and 
102 STAT. 2054 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(5) Bob Hope has earned the undying respect and fond esteem 
of all of his countrymen for his dedicated and patriotic endeav-
ors. 
(b) SENSE OF C!ONGRESS.—In light of the findings expressed in 
subsection (a), it is the sense of Congress that the Secretary of the 
Navy should name an appropriate ship of the United States Navy 
the U.S.S. Bob Hope. 
SEC. 1223. RATE OF PROGRESS PAYMENTS ON NAVAL SHIP REPAIR 
CONTRACTS 
Section 7312(a) of title 10, United States Code, is amended by 
inserting "not less than" after "shall be". 
SEC. 1224. LIMITATION ON REPAIR OF NAVAL VESSELS IN FOREIGN SHIP-
YARDS 
(a) IN GENERAL.—Section 7309 of title 10, United States Code, is 
amended by adding at the end the following new subsection: 
"(cXD A naval vessel (or any other vessel under the jurisdiction of 
the Secretary of the Navy) the homeport of which is in the United 
States may not be overhauled, repaired, or maintained in a shipyard 
outside the United States. 
"(2) Paragraph (1) does not apply in the case of voyage repairs.". 
(b) CLERICAL AMENDMENTS.—(1) The heading of that section is 
amended to read as follows: 
"§ 7309. Restrictions on construction or repair of vessels in foreign 
shipyards". 
(2) The item relating to such section in the table of sections at the 
beginning of chapter 633 of such title is amended to read as follows: 
"7309. Restrictions on construction or repair of vessels in foreign shipyards.". 
Contracts. 
(c) EFFECTIVE DATE.—Subsectiou (c) of section 7309 of title 10, 
10 ^SC 7309 
United States Code, as added by subsection (a), shall apply with 
respect to any contract for overhaul, repair, or maintenance of a 
vessel that is entered into after the end of the 30-day period begin-
ning on the date of the enactment of this Act. 
SEC. 1225. COMPETITION BETWEEN PUBLIC AND PRIVATE SHIPYARDS 
FOR OVERHAUL OF NAVAL VESSELS 
(a) IN GENERAL.—(1) Chapter 633 of title 10, United States Code, is 
amended by adding at the end the following new section: 
"§ 7313. Overhaul of naval vessels: competition between public and 
private shipyards 
"The Secretary of the Navy should ensure, in any case in which 
the Secretary awards a project for repair, alteration, overhaul, or 
conversion of a naval vessel following competition between public 
and private shipyards, that each of the following criteria is met: 
"(1) The bid of any public shipyard for the award includes— 
"(A) the full costs to the United States associated with 
future retirement benefits of civilian employees of that 
shipyard consistent with computation methodology estab-
lished by Office of Management and Budget Circular A-76; 
and 
"(B) in a case in which equal access to the Navy supply 
system is not allowed to public and private shipyards, a pro 
rata share of the costs of the Navy supply system. 
note. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2055 
"(2) Ck)sts applicable to oversight of the contract by the appro-
priate Navy supervisor of shipbuilding, conversion, and repair 
are added to the bid of any private shipyard for the purpose of 
comparability analysis. 
"(3) The award is made using the results of the comparability 
analysis.". 
(2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item: 
"7313. Overhaul of naval vessels: competition between public and private ship-
yards.". 
(b) EFFECTIVE DATE.—Section 7313 of title 10, United States Code, lo use 7313 
as added by subsection (a), applies to any award by the Secretary of note. 
the Navy made after the end of the 30-day period beginning on the 
date of the enactment of this Act for repair, alteration, overhaul, or 
conversion of a naval vessel following competition between public 
and private shipyards. 
SEC. 1226. DEPOT-LEVEL MAINTENANCE OF SHIPS 
10 USC 7291 
(a) REQUIREMENT THAT CERTAIN WORK BE CARRIED OUT IN THE 
UNITED STATES.—The Secretary of the Navy shall require that, to 
the extent feasible and consistent with policies of the Navy regard-
ing family separations, not less than one-half of the depot-level 
maintenance work described in subsection (b) (measured in cost) 
shall be carried out in the United States. 
Ot)) WORK COVERED.—Depot-level maintenance work referred to in 
subsection (a) is depot-level maintenance work for naval vessels that 
is scheduled as of October 1, 1988, to be carried out in Japan during 
fiscal years 1989,1990, and 1991. 
SEC. 1227. REPORTS ON EFFECTS OF NAVAL SHIPBUILDING PLANS ON 10 USC 7291 
MARITIME INDUSTRIES 
note. 
(a) ANNUAL REPORT.—The Secretary of Defense shall submit to 
Congress in 1989, 1990, and 1991 a report on how, under the current 
Five-Year Defense Program of the Department of Defense, programs 
for naval shipbuilding and conversion, for naval vessel repair, and 
for procurement of support equipment for naval vessels could be 
expected to affect the private-sector shipbuilding and ship repair 
industries of the United States in terms of the effectiveness and 
preparedness of those industries for mobilization in their role in the 
sealift component of the conventional deterrent of the United 
States. 
(b) TIME FOR SUBMISSION.—The report under subsection (a) for any 
year shall be submitted to Congress at the same time that the 
Secretary submits his annual report to Congress for that year under 
section 113(c) of title 10, United States Clode. 
SEC. 1228. REPORT ON ENCOURAGEMENT OF CONSTRUCTION IN UNITED 
STATES SHIPYARDS OF COMBATANT VESSELS FOR ALLIES 
(a) REPORT REQUIREMENT.—The Secretary of the Navy shall 
submit to the Committees on Armed Services of the Senate and 
House of Representatives a report on— 
(1) the manner in which the Secretary has complied, as of the 
date of the report, with the provisions of section 1455 of the 
Department of Defense Authorization Act, 1986 (Public Law 99-
145; 99 Stat. 761); and 
(2) plans of the Secretary for such compliance in the future. 
102 STAT. 2056 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(b) MATTERS TO BE INCLUDED.—The report shall include informa-
tion regarding the following: 
(1) Instances in which the Secretary has encouraged United 
States shipyards to construct combatant vessels for nations 
friendly to the United States. 
(2) Steps taken by the Secretary to ensure that no effort has 
been made by any element of the Department of the Navy to 
inhibit, delay, or halt the provision of any United States naval 
system which has been approved for export to an allied nation. 
(3) Instances in which the Secretary has encouraged United 
States firms to participate in construction programs outside of 
the United States in shipyards of allied nations. 
(4) Future plans of the Secretary for compljdng with the 
requirements of each of subsections (aXD through (aX3) of that 
section. 
(c) SUBMISSION OF REPORT.—The report required by subsection (a) 
shall be submitted not later than 90 days after the date of the 
enactment of this Act. 
SEC. 
1
2
2
9
. 
REPORT 
ON 
SMALL 
PATROL 
BOATS 
OF 
NAVY 
(a) REPORT REQUIREMENT.—The Secretary of the Navy shall 
submit to the Committees on Armed Services of the Senate and 
House of Representatives a report regarding the capability of the 
Navy to carry out missions requiring the use of small patrol boats. 
The Secretary shall include in the report— 
(1) a cQscussion of the contingencies that would require the 
use of small patrol boats rather than larger warships; 
(2) an evaluation of the existing capability of the Navy to 
carry out missions requiring the use of small patrol boats; 
(3) a discussion of any plans the Navy has for eliminating the 
Navy's shortage of such boats; and 
(4) such recommendations as the Secretary considers appro-
priate to strengthen the capabilities of the Navy to carry out 
effectively missions that would require the use of such boats. 
Oa) SMALL PATROL BOAT DEFINED.—For purposes of this section, a 
small patrol boat is a patrol boat that is less than 150 feet in length. 
(c) DEADUNE FOR SUBMISSION OF REPORT.—The report required by 
subsection (a) shall be submitted not later than 90 days after the 
date of the enactment of this Act. 
PART D—MISCELLANEOUS 
SEC. 1231. REPORT ON SUSCEPTIBILITY OF DEFENSE COMPUTER ASSETS 
TO COMPUTER VIRUSES 
The Secretary of Defense shall submit to Congress a report on the 
susceptibility of vital Department of Defense computer systems to 
so-called computer viruses and shall describe the steps which have 
been taken and are planned to be taken to protect the Department 
of Defense computer systems and records against computer viruses. 
Such report shall be submitted not later than March 1, 1989, in 
classified and unclassified form. 
District of 
SEC. 1232. REASSESSMENT 
OF 
SOVIET 
ELECTRONIC 
ESPIONAGE 
Columbia. 
CAPABILITY FROM MOUNT ALTO EMBASSY SITE 
(a) FINDING.—The Congress finds that the report submitted by the 
Secretary of Defense pursuant to section 1122 of the National 
/ 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2057 
Defense Authorization Act for Fiscal Years 1988 and 1989 (Public 
Law 100-180)— 
(1) contains insufficient detail (even in the classified portion) 
for a review and assessment of the present and potential 
capabilities of the Government of the Soviet Union to intercept 
United States communications involving diplomatic, military, 
and intelligence matters from facilities on Mount Alto in the 
District of Columbia, as required by subsection (a) of that 
section; and 
(2) does not contain a determination of the Secretary of 
Defense as to whether or not the present and proposed occupa-
tion of facilities on Mount Alto by the Soviet Union is consistent 
with the national security of the United States, £is required by 
subsection (b) of that section. 
(b) SUBMISSION OF NEW REPORT.—Not later than 60 days after the President of U.S. 
date of the enactment of this Act, the President shall submit a 
report to Congress which meets the requirements of section 1122 of 
the National Defense Authorization Act for Fiscal Years 1988 and 
1989. 
SEC. 1233. TECHNICAL AND CLERICAL AMENDMENTS 
(a) REPEAL OF OBSOLETE REFERENCE.—Section 1552 of title 10, 
United States Code, is amended— 
(1) in subsection Ot)), by striking out "therefor before October 
26, 1961, or within three years after he discovers the error or 
injustice, whichever is later" and inserting in lieu thereof "for 
the correction within three years after he discovers the error or 
injustice"; and 
(2) in subsection (c), by striking out "The department con-
cerned" and inserting in lieu thereof "The Secretary con-
cerned". 
(b) DATE OF ENACTMENT REFERENCES.—(1) Section 305a(dX2) of 
title 37, United States Code, is amended by striking out "on or after 
the effective date specified in section 621(eXl) of the National 
Defense Authorziation Act for Fiscal Year 1988" and inserting in 
lieu thererof "after December 31,1988,". 
(2) Section 3(cXl) of the Strategic and Critical Materials Stock 
Piling Act (50 U.S.C. 98b(cXl)) is amended by striking out "the date 
of the enactment of the National Defense Stockpile Amendments of 
1987" and inserting in lieu thereof "December 4,1987". 
(c) CORRECTION OF MISSPELLED WORD.—The table in section 14060t)) 
of title 10, United States Code, is amended by striking out "satisfac-
tory" in the matter in the second column relating to section 1331 
and inserting in lieu thereof "satisfactorily". 
(d) REPEAL OF SURPLUS WORD.—Section 23430t>) of title 10, United 
States (Dode, is amended by striking out "section" before "2306a". 
(e) PUNCTUATION CORRECTIONS.—(1) Section 1101(c) of title 10, 
United States Code, is amended by striking out "(1)" after "REGULA-
TIONS.—". 
(2) Paragraph (3) of section 7430(b) of such title is amended— 
(A) by aligning the paragraph flush to the margin; and 
(B) by striking out the comma at the end and inserting in lieu 
thereof a period. 
(f) CAPFIAUZATION CORRECTIONS.—(1) Section 801(1) of title 10, 
United States Code, is amended by striking out "judge" and insert-
ing in lieu thereof "Judge". 
102 STAT. 2058 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) Section 101(5) of title 37, United States Code, is amended by 
striking out "secretary" and inserting in lieu thereof "Secretary". 
(g) CROSS-REFERENCE AMENDMENTS.—(1) Section 401(c)(2) of title 
10, United States Code, is amended by striking out "subsection (a)" 
and inserting in lieu thereof "paragraph (1)". 
(2) Section 2133(bXl) of title 10, United States Code, is amended by 
striking out "section 1431(e)" and inserting in lieu thereof "section 
1431(0". 
(3) Section 7427 of title 10, United States Code, is amended by 
striking out "section 17(j)" and "30 U.S.C. 226(j)" and inserting in 
lieu thereof "section 17(m)" and "30 U.S.C. 226(m)", respectively. 
(4) Section 1013 of title 37, United States Code, is amended by 
striking out "section 1051" and inserting in lieu thereof "section 
1032". 
(h) REPEAL OF EXPIRED REPORTING REQUIREMENT.—Section 179 of 
title 10, United States Code, is amended by striking out subsection 
(e). 
(i) SECTION HEADINGS.—(IXA) The heading of section 3965 of title 
10, United States Code, is amended to read as follows: 
"§ 3965. Restoration to former grade: retired warrant offlcers and 
enlisted members". 
(B) The item relating to that section in the table of sections at the 
beginning of chapter 369 of such title is amended to read as follows: 
"3965. Restoration to former grade: retired warrant officers and enlisted members.". 
(2XA) The heading of section 8965 of title 10, United States Code, 
is amended to read as follows: 
"§ 8965. Restoration to former grade: retired warrant officers and 
enlisted members". 
(B) The item relating to that section in the table of sections at the 
beginning of chapter 869 of such title is amended to read as follows: 
"8965. Restoration to former grade: retired warrant officers and enlisted members.". 
0') SUBSECTION HEADING.—Section 2329(d) of title 10, United States 
Code, is amended by inserting after "(d)" the following: "TREATMENT 
OF CERTAIN COSTS AS DIRECT COSTS.—". 
(k) DEFINITIONS.—(1) Section 2141(c) of title 10, United States 
Code, is amended by inserting "the term" after "In this chapter,". 
(2) Section 9511(1) of such title is amended by striking out "The 
term" and inserting in lieu thereof "The terms". 
(1) AMENDMENTS TO PUBUC LAW 100-180.—(1) Section 623(a) of the 
National Defense Authorization Act for Fiscal Years 1988 and 1989 
37 use 301c. 
(Public Law 100-180; 101 Stat. 1101) is amended by inserting "in 
paragraphs (1) and (2)" before "and inserting". 
10 use 8855. 
(2) Section 717(c) of such Act (101 Stat. 1114) is amended by 
striking out "on" in the quoted matter in paragraph (2) and insert-
ing in lieu thereof "upon". 
10 use 2366. 
(3) Paragraph (1) of section 802(a) of such Act (101 Stat. 1123) is 
amended by inserting end quotation marks and a period after 
"section." at the end. 
10 use 2435. 
(4) Section 803(a) of such Act (101 Stat. 1125) is amended by 
inserting "the first place it appears" before "and inserting". 
10 use 2366 
(5) The amendments made by this subsection shall apply as if 
^°^- 
included in the enactment of Public Law 100-180. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2059 
SEC. 1234. REFERENCES TO THE CANAL ZONE 
(a) TITLE 10.—Title 10, United States Code, is amended as follows: 
(1) Sections 101(3), 101(10), 101(12), 269(g), 281, 5940a), 672(d), 
771a(c), 802(aXll), 802(aX12), 936(a), 1002(c), 3040(a), 3218, 3225, 
3259, 3352(a), 3363(b), 3390(a), 3392, 3500 (first sentence), 3501(a), 
350ia», 3845, 3848(cXl), 3851(a), 3851(dXl), 3852(a), 4301(c), 8218, 
8225, 8259, 8352(a), 83600)), 8363(a), 8381(a), 8392, 8500 (first 
sentence), 8501(a), 8501(b), 8845, 8851(a), 8852(a), and 9301(c) are 
each amended by striking out "the Canal Zone," each place it 
appears. 
(2) Sections 270(c) and 672(b) are each amended by striking out 
", Puerto Rico, or the Canal Zone," and inserting in lieu thereof 
"or Puerto Rico". 
(3) Sections 312(aX2), 3500, and 8500 are each amended by 
striking out "Puerto Rico, and the Canal Zone" and inserting in 
lieu thereof "and Puerto Rico". 
(4) Sections 3364(g) and 3364(j) are each amended by striking 
out ", Puerto Rico, the Canal Zone," and inserting in lieu 
thereof "or Puerto Rico". 
(5) Section 337(Kd) is amended by striking out "Puerto Rico, 
the Canal Zone" and inserting in lieu thereof "or Puerto Rico". 
(6) Section 7308(aX2) is amended by striking out "or the Canal 
Zone". 
(b) TITLE 32.—Title 32, United States Code, is amended as follows: 
(1) Sections 101(4), 101(6), 103, 104(c), 104(d), 107(b), 109, 304, 
314(a), 314(d), 315(a), 3150)), 333, 5010)), 5030)), 5040)), 7020)), 
702(c), 702(d), 703, 704, 708(d), 710, 711, and 712 are each 
amended by striking out "the Canal Zone,". 
(2) Section 104(a) is amended by striking out "Each State and 
Territory, Puerto Rico, and the Canal Zone" and inserting in 
lieu thereof "Each State or Territory and Puerto Rico". 
(3) Section 331 is amended by striking out "the governor of 
the State or Territory, Puerto Rico, or the Canal Zone," and 
inserting in lieu thereof "the Governor of the State or territory 
or Puerto Rico,". 
(4) Sections 327(a), 505(a), and 702(a) are each amended by 
striking out "Territory, Puerto Rico, or the Canal Zone," and 
inserting in lieu thereof "Territory or Puerto Rico". 
(5) Section 314(b) is amended— 
(A) by striking out ", the Canal Zone," in the first sen-
tence; and 
(B) by striking out "or the Canal Zone" in the second 
sentence. 
(6) Sections 324(b) and 325(a) are each amended by striking 
out", the Canal Zone,". 
TITLE XIII—FOREIGN RELATIONS MATTERS 
SEC. 1301. SENSE OF CONGRESS CONCERNING THE PANAMA CANAL AND 
THE UNITED STATES SOUTHERN COMMAND 
(a) FINDINGS.—The Congress finds that— 
(1) the security of, and the free flow of shipping through, the 
Panama Canal are vital interests of the United States; and 
(2) the continued ability of the United States Southern Com-
mand (which currently has its headquarters in the Republic of 
Panama) to carry out assigned missions, especially the mission 
102 STAT. 2060 
PUBLIC LAW 100-456—SEPT. 29, 1988 
President of U.S. 
22 use 2151 
note. 
Manuel Noriega. 
of defense of the Panama Canal, is essential to protecting and 
promoting the interests of the United States, 
(b) SENSE OF CONGRESS.—In light of the findings in subsection (a), 
it is the sense of Congress that the President should take all steps 
necessary to ensure the continued ability of the United States 
Southern Command (or any successor command) to carry out as-
signed missions, especially the mission of defense of the Pan£una 
Canal. 
SEC 1302. LIMITATION ON ASSISTANCE TO PANAMANIAN DEFENSE 
FORCE 
(a) LIMITATION.—^The President may not use any funds appro-
priated to or for the use of any department, agency, or other entity 
of the United States for the purpose of providing assistance to the 
Panamanian Defense Force. The limitation in the preceding sen-
tence shall cease to apply upon the submission by the President to 
Congress of a certification by the President— 
(1) that no armed forces of the Soviet Union, the Republic of 
Cuba, or the Republic of Nicaragua are present in the Republic 
of Panama (other than military attach^ accredited to the 
Republic of Panama); and 
(2) that General Manuel Noriega has relinquished command 
of the Panamanian Defense Force and no longer holds any 
official position of leadership (either military or civilian) in the 
Republic of Panama. 
(b) CLARIFICATION.—Subsection (a) does not prohibit the President 
from obligating or expending any fimds necessary for— 
(1) the defense of the Panama Canal, 
(2) the collection of intelligence, 
(3) the maintenance of United States Armed Forces in the 
Republic of Panama, or 
(4) the protection of United States interests in the Republic of 
Panama. 
(c) REPORT.—Not later than 30 days after the date of the enact-
ment of tills Act, the President shall submit to Congress a detailed 
report, in both classified and unclassified form, indicating— 
(1) whether (and to what extent) military, paramilitary, or 
intelligence personnel of the Soviet Union, Cuba, or Nicaragua 
are present in the Republic of Panama; and 
(2) whether (and to what extent) the Panamanian Defense 
Force has coordinated with, cooperated with, supported, or 
received support from, any such personnel. 
SEC. 1303. SENSE OF CONGRESS CONCERNING INDICTMENT OF GENERAL 
NORIEGA OF PANAMA ON DRUG-RELATED CHARGES 
(a) FINDINGS.—The Congress finds that— 
(1) General Manuel Noriega, the commander of the Panama-
nian Defense Force, was indicted on February 5, 1988, in the 
United States District C!ourts for the Southern District and for 
the Middle District of Florida on a number of serious drug-
related charges against the laws of the United States, including 
charges involving trafficking in ill^al drugs, protecting and 
supporting drug traffickers, and laundering of drug-related 
money; and 
(2) there have been reports in the news media and from other 
sources that discussions between officials of the United States 
and (General Noriega may have occurred concerning arrange-
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2061 
ments under which Greneral Noriega would give up political 
power and leave the Republic of Panama in exchange for which 
the United States would file a motion to dismiss the indictments 
referred to in paragraph (1). 
(b) SENSE OF CONGRESS.—It is the sense of Congress-
C
D that the United States should not conduct or authorize any 
negotiations or discussions, and should not make any arrange-
ments, with General Manuel Noriega which would involve any 
effort by the United States to dismiss the indictments referred 
to in subsection (aXD; and 
(2) that any such negotiation, discussion, or arrangement— 
(A) would be incompatible with the high priority that the 
United States places on the war on drugs; 
(B) would not further the prospects for restoring 
noncorrupt, democratic government to the Republic of 
Panama; and 
(C) would not serve the interests of the United States. 
SEC. 1304. SENSE OF CONGRESS ON INTRODUCTION OF ARMED FORCES 
INTO NICARAGUA FOR COMBAT 
Congress hereby reaffirms the sense of Congress expressed in the 
first session of the 99th Congress (in section 1451 of the Department 
of Defense Authorization Act, 1986 (Public Law 99-145; 99 Stat. 
760)), that United States Armed Forces should not be introduced 
into or over Nicaragua for combat. However, nothing in this section 
shall be construed as affecting the authority and responsibility of 
the President or Congress under the Constitution, statutes, or trea-
ties of the United States in force. 
SEC. 1305. HUMAN RIGHTS VIOLATIONS BY THE GOVERNMENT OF 
POLAND 
(a) FINDINGS.—Congress makes the following findings: 
(1) The government of Poland, headed by General Wojciech 
Wojciech 
Jaruzelski, has violated internationally recognized human 
Jaruzelski. 
rights of the people of Poland, including the right to peaceably 
assemble, the right to strike, the right to freely associate, and 
the right to due process. 
(2) The Jaruzelski government has retaliated against the 
justified, peaceful protests of workers at Nowa Huta, Poland, 
through the use of violence and force. 
(3) The Jaruzelski government has prosecuted and imprisoned 
a number of persons for politically related offenses. 
(4) The Jaruzelski government has to date refused to take 
steps which would guarantee the right of the people of Poland 
to participate in the management of the economy of Poland and 
has refused to accept the principle of pluralism in the national 
life of Poland. 
(b) SENSE OF CONGRESS.—It is, therefore, the sense of Congress— 
(1) that the use of force against the workers of Nowa Huta 
and intimidation against other strikers in Poland should be 
condemned; and 
(2) that improvement in relations betv/een the United States 
and Poland must be predicated on an improvement in inter-
nationally recognized human rights in Poland, including the 
release of political prisoners, steps toward trade union plural-
ism and the rights of independent trade unions to organize, and 
steps toward genuine national reconciliation and dialogue. 
i<uic)A n—ai—Pow- 9!
102 STAT. 2062 
PUBLIC LAW 100-456—SEPT. 29, 1988 
SEC. 1306. CONDITIONS FOR SALE OR OTHER TRANSFER OF F-15 AIR-
CRAFT TO SAUDI ARABIA 
(a) Notwithstanding any other provision of law, any sale or other 
transfer to Saudi Arabia by the United States of F-15 aircraft shall 
be subject to the following conditions: 
(1) Any such F-15 aircraft sold or otherwise transferred to 
Saudi Arabia shall be limited to models A, B, C, and D. 
(2) The United States shall not sell or otherwise transfer to 
Saudi Arabia the F-15-E with a ground attack capability and 
shall not upgrade existing Saudi aircraft to that capabiUty. 
(3) Saudi Arabia shall not possess more than 60 F-15 aircraft 
at any time, except that additional replacement F-15 aircrsift 
may be held in the United States, at the expense of Saudi 
Arabia, for shipment to Saudi Arabia only after the President 
notifies CJongress that the existing inventory of F-15 aircraft 
held by Saudi Arabia is less than 60 and, then, only on a one-for-
one replacement basis as each F-15 aircraft is totally removed 
from the inventory of Saudi Arabia. 
(b) The President may waive subsection (a) if the President cer-
tifies to Congress that such action is in the national interest. 
SEC. 1307. RESTRICTION ON SALE OF DEFENSE ARTICLES TO CERTAIN 
NATIONS 
People's 
(a) RESTRICTION.—During fiscal year 1989, the United States may 
Republic of 
not make any sale of defense articles subject to section 36(b) of the 
^h^"^ 
Arms Export Control Act (22 U.S.C. 2776(b)) to any nation which has 
acquired intermediate-range ballistic missiles made by the People's 
Republic of China. 
(b) PREsroENTiAL CERTIFICATION.—(1) The restriction in subsection 
(a) shall cease to apply with respect to any nation which has 
acquired such missiles upon certification by the President to Con-
gress that that nation does not have chemical, biol(^cal, or nuclear 
warheads for those missiles. 
(2) If the President makes a certification under paragraph (1) in 
the case of any nation, the President shall notify Congress promptly 
of any evidence that, after the date of such certification, such nation 
has acquired chemical, biological, or nuclear warheads for those 
missiles. 
SEC. 1308. UNITED STATES BASES IN THE REPUBLIC OF THE PHILIPPINES 
(a) CONGRESSIONAL FINDINGS.—Ck)ngress makes the following 
findings: 
(1) The United States has maintained military bases in the 
Philippines since 1947 pursuant to the United States-Philippine 
Military Bases Agreement and maintained military bases 
in the Philippines for many years before that under other 
arrangement^. 
(2) Clark Air Force Base, Subic Bay Naval Base, and the other 
United States military installations in the Philippines signifi-
cantly promote the mutual interests of the United States and 
the Philippines and contribute to r ^ o n a l and global security. 
(3) These installations are also important to the development 
of democratic institutions and to economic progress in the 
Western Pacific and Southeast Asia. 
(4) The United States military installations in the Philippines 
employ a loyal and highly skilled cadre of Filipinos and make a 
substantial contribution to the Philippine economy. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2063 
(5) The MUitary Bases Agreement as currently in effect has a 
fixed term lasting until September 16, 1991, after which it 
continues in effect subject to termination by either party on one 
year's notice. 
(6) Pursuant to a 1979 amendment to that agreement, the 
President of the United States pledged to the Government of the 
Republic of the Philippines to undertake "best efforts" to obtain 
security assistance for the Philippines, and such pledge was 
reiterated by the President of the United States in 1983 £is part 
of a five-year review of the agreement. 
(7) The United States and the Republic of the Philippines are 
currently engaged in a second five-year review of the Military 
Bases Agreement. 
(8) Officials of the Government of the Republic of the Phil-
ippines have indicated to officials of the United States that 
the United States should significantly increase compensation 
for the use by the United States of military bases in the 
Philippines. 
(9) The provision of multilateral economic assistance to the 
Republic of the Philippines should be considered separately 
from the provision of security assistance by the United States to 
the Republic of the Philippines in return for United States 
basing rights in the Philippines. 
(b) REPORT ON FACILITIES.—(1) The Secretary of Defense shall 
submit to Congress a report on the existing United States military 
facilities in the Republic of the Philippines. The report shsJl include 
analysis of the following: 
(A) The costs and benefits of maintaining those facilities, 
including the costs to the United States of the operation and 
maintenance of those facilities and any other costs associated 
with those facilities and the economic and social benefits and 
other benefits of those facilities to the Republic of the 
Philippines. 
(B) Potential alternative locations for those facilities. 
(C) The strategic value to the United States of having military 
facilities located in the Philippines and of having such facilities 
at the potential alternative locations considered. 
(D) The costs and benefits of relocating those facilities to the 
potential alternative locations, including— 
(i) the cost to the United States of operation and mainte-
nance and other costs, 
(ii) the economic, social, and other costs to the Phil-
ippines, and 
(iii) the economic, social, and other benefits to the govern-
ment and community at each alternative location. 
(E) The availability of skilled indigenous personnel at the 
potential alternative locations and the cost of training such 
personnel to work at such installations. 
(2) The report shall be prepared in consultation with the Secretary 
of State and shall be submitted to Congress not later than six 
months after the date of the enactment of this Act. 
SEC. 1309. ANNUAL ASSESSMENT OF SECURITY AT UNITED STATES BASES 
10 USC 113 note. 
IN THE PHILIPPINES 
The Secretary of Defense shall submit to Congress an annual 
Reports. 
report assessing security at United States military facilities in the 
Republic of the Philippines. Each such report shall include an 
102 STAT. 2064 
PUBLIC LAW 100-456—SEPT. 29, 1988 
assessment of the cooperation provided by the Philippine Govern-
ment, at both the national and local level, in improving such 
security. The report required by this subsection shall be submitted 
to Ck)ngress not later than May 1 each year. 
Human rights. 
SEC. 1310. ECONOMIC SANCTIONS AGAINST ETHIOPIA 
(a) STATEMENTS OF POUCY.—The Congress— 
(1) condemns the Government of Ethiopia for its blatant 
disregard for human life as demonstrated by its use of food as a 
weapon, its forced resettlement program, and its human rights 
record; 
(2) in the strongest terms possible, urges the Government of 
Ethiopia to allow foreign relief personnel to return to the north 
and to allow the international relief campaign to resume oper-
ations at its own risk, while retaining full control over its assets 
and having access to adequate aircraft and fuel; 
(3) in the strongest terms possible, urges rebel groups to cease 
attacks upon relief vehicles and relief distribution points and to 
respect the impartiality of the international relief campaign; 
(4) urges the President and the Secretary of State (through 
direct representations to the Government of Ethiopia and cer-
tain rebel groups and through sustained multilateral initiatives 
involving other Western donors, the United Nations, and the 
Organization of African Unity) to focus world pressure and 
opinion upon the combatants in northern Ethiopia, to press for 
an "open roads/own risk" policy that will facilitate the resump-
tion of international relief efforts in the north, to press the 
Government of Ethiopia and the rebel groups to reach a prag-
matic, enduring political settlement, and to press the Govern-
ment of Ethiopia to implement genuine and effective reform of 
its failed agricultural policies; and 
(5) urges the President and the Secretary of State to engage in 
direct discussion with the Soviet Union in order that the peace-
ful resolution of the crisis in northern Ethiopia becomes a high 
priority of the Soviet Union and that the approach of the Soviet 
Union is consistent with that of the West. 
President of U.S. 
(b) SANCTIONS.—(1) Notwithstanding any other provision of law, 
the President is authorized to, and is hereby strongly urged to, 
impose such economic sanctions upon Ethiopia as the President 
determines to be appropriate (subject to paragraphs (2) and (3)) if, at 
any time after the date of the enactment of this Act, the Govern-
ment of Ethiopia eng£iges in any of the following outrages: 
(A) Forced resettlement. 
(B) Forced confinement in any resettlement camp. 
(C) Diversion of international relief to the military. 
(D) Denial of international relief to any persons at risk 
because of famine. 
(E) Seizure of international relief assets provided by the 
United States. 
(F) Prohibition of end-use monitoring of food distribution by 
international relief personnel. 
(2) In imposing sanctions pursu£int to paragraph (1) on imports 
from Ethiopia, the President shall give priority consideration to 
those products which constitute major imports from Ethiopia, unless 
the President determines that sanctions against such products 
would have an adverse effect on economic interests of the United 
States. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2065 
(3) If a sanction imposed pursuant to paragraph (1) involves the 
prohibition or curtailment of exports to Ethiopia, that sanction may 
only be imposed under the authority and subject to the require-
ments of section 6 of the Export Administration Act of 1979. 
(c) REPORTS TO CONGRESS.—Not more than 15 days after the date 
President of U.S. 
of the enactment of this Act and at the end of each 90Hday period 
thereafter, the President shall submit to Congress a report stating 
whether or not, during the 90-day period preceding the date of the 
report, the Grovernment of Ethiopia engaged in any conduct 
described in subsection (b). Each such report shall describe the 
response of the United States to any such conduct. 
(d) REGULATION AUTHORITY.—The President shall issue such regu- President of U.S. 
lations, licenses, and orders as are necessary to implement any 
sanction imposed under this section. 
(e) EXPIRATION.—The authority provided by subsection 0?) shall 
expire on June 1,1990. 
TITLE XIV—DEPARTMENT OF ENERGY NATIONAL 
SECURITY PROGRAMS 
PART A—NATIONAL SECURITY PROGRAMS AUTHORIZATIONS 
SEC. 1401. OPERATING EXPENSES 
Funds are authorized to be appropriated to the Department of 
Energy for fiscal year 1989 for operating expenses incurred in 
carrying out national security programs (including scientific re-
search and development in support of the Armed Forces, strategic 
and critical materials necessary for the common defense, and mili-
tary applications of nuclear energy and related management and 
support activities) as follows: 
(1) For weapons activities, $3,567,629,000, to be allocated as 
follows: 
(A) For research and development, $1,052,546,000. 
(B) For weapons testing, $524,238,000. 
(C) For production and surveillance, $1,909,445,000. 
(D) For program direction, $81,400,000. 
(2) For defense nuclear materials production, $1,556,772,000 to 
be £dlocated as follows: 
(A) For uranium 
enrichment 
for naval 
reactors, 
$169,000,000. 
(B) For production reactor operations, $587,976,000. 
(C) For processing of defense nuclear materials, including 
naval reactors fuel, $511,717,000, of which $72,300,000 shall 
be used for special isotope separation. 
(D) For supporting services, $259,679,000. 
(E) For program direction, $28,400,000. 
(3) For environmental restoration and management of defense 
waste and transportation, $739,624,000, to be allocated as 
follows: 
(A) For environmental restoration, $170,925,000. Such 
funds may also be used for plant and capital equipment. 
(B) For waste operation and projects, $532,042,000. 
(C) For waste research and development, $58,460,000. 
(D) For hazardous waste process planning, $8,377,000. 
(E) For transportation management, $9,720,000. 
(F) For program direction, $3,100,000. 
102 STAT. 2066 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(4) For verification and control technology, $146,200,000. 
(5) For nuclear materials safeguards and security technology 
development program, $75,400,000. 
(6) For security investigations, $40,000,000. 
(7) For naval reactors development, $555,400,000. 
SEC. 1402. PLANT AND CAPITAL EQUIPMENT 
Funds are authorized to be appropriated to the Department of 
Energy for fiscal year 1989 for plant and capital equipment (includ-
ing maintenance, restoration, planning, construction, acquisition, 
modification of facilities, and the continuation of projects authorized 
in prior years, land acquisition related thereto, and acquisition and 
fabrication of capital equipment not related to construction) nec-
essary for national security programs as follows: 
(1) For weapons activities: 
Project 89-D-lOl, general plant projects, various loca-
tions, $26,500,000. 
Project 89-D-121, general plant projects, various loca-
tions, $29,194,000. 
Project 89-D-122, production waste storage facilities, 
Y-12 Plant, Oak Ridge, Tennessee, $2,000,000. 
Project 89-D-125, plutonium 
recovery 
modification 
project. Rocky Flats Plant, Golden, Colorado, $4,000,000. 
Project 89-D-126, environmental, safety, and health up-
grade. Phase n. Mound Plant, Miamisburg, Ohio, $800,000. 
Project 88-D-102, sanitary wastewater systems consolida-
tion, Los Alamos National Laboratory, Los Alamos, New 
Mexico, $7,600,000. 
Project 88-D-103, seismic upgrade. Building 111, Law-
rence Livermore National Laboratory, Livermore, Califor-
nia, $5,400,000. 
Project 88-D-104, safeguards and security uj^ade. 
Phase n, Los Alamos National Laboratory, Los Alamos, 
New Mexico, $7,300,000. 
Project 88-D-105, special nuclear materials research and 
development laboratory replacement, Los Alamos National 
Laboratory, Los Alamos, New Mexico, $22,000,000. 
Project 88-D-106, nuclear weapons research, develop-
ment, and testing facilities revitalization. Phase II, V£u-ious 
locations, $72,352,000. 
Project 88-D-122, facilities capability assurance program, 
various locations, $79,341,000. 
Project 88-D-12i3, security enhancements, Pantex Plant, 
^marillo, Texas, $7,500,000. 
Project 88-D-124, fire protection uj^rade, various loca-
tions, $6,500,000. 
Project 88-D-125, high explosive machining facility, 
Pantex Plant, Amarillo, Texas, $13,000,000. 
Project 88-D-126, personnel radiological monitoring lab-
oratories, various locations, $5,000,000. 
Project 87-D-104, saf^uards and security enhancement. 
Phase n, Lawrence Livermore National Laboratory, Liver-
more, California, $8,500,000. 
Project 87-D-122, short-rai^e attack missile II (SRAM II) 
warhead 
production 
facilities, 
various 
locations, 
$26,000,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2067 
Project 86-D-103, decontamination and waste treatment 
facility, Lawrence Livermore National Laboratory, Liver-
more,_California, $12,000,000. 
Project 86-D-104, strategic defenses facility, Sandia Na-
tional Laboratories, Albuquerque, New Mexico, $3,237,000. 
Project 86-D-123, environmental hazards elimination, 
various locations, $5,203,000. 
Project 86-D-130, tritium loading facility replacement. 
Savannah River Plant, Aiken, South Carolina, $31,800,000. 
Project 85-D-102, nuclear weapons research, develop-
ment, and testing facilities revitalization, Phase I, various 
locations, $6,800,000. 
Project 85-D-105, combined device assembly facility, 
Nevada Test Site, Nevada, $12,200,000. 
Project 85-D-112, enriched uranium recovery improve-
ments, Y-12 Plant, Oak Ridge, Tennessee, $1,281,000. 
Project 84-D-124, environmental improvements, Y-12 
Plant, Oak Ridge, Tennessee, $4,775,000. 
Project 84-D-211, safeguards and site security upgrading, 
Y-12 Plant, Oak Ridge, Tennessee, $2,775,000. 
(2) For materials production: 
Project 89-D-140, additional separations safeguards. 
Savannah River, South Carolina, $5,300,000. 
Project 89-D-141, M-area waste disposal. Savannah 
River, South Carolina, $3,600,000. 
Project 89-D-142, reactor effluent cooling water thermal 
mitigation. Savannah River, South Carolina, $1,000,000. 
Project 89-D-146, general plant projects, various loca-
tions, $35,260,000. 
Project 89-D-148, improved reactor confinement system, 
design only. Savannah River, South Carolina, $2,000,000. 
Project 88-D-153, additional reactor safeguards. Savan-
nah River, South Carolina, $5,700,000. 
Project 88-D-154, new production reactor, design only, 
site to be determined, $35,000,000. 
Project 87-D-152, environmental protection plantwide, 
Savannah River, South Carolina, $2,224,000. 
Project 87-D-159, environmental, health, and safety 
improvements, Phases I, II, and III, Feed Materials Produc-
tion Center, Fernald, Ohio, $50,000,000. 
Project 86-D-148, special isotope separation project, 
Idaho Falls, Idaho, $28,000,000. 
Project 86-D-149, productivity retention program. Phases 
I, II, III, and IV, various locations, $72,140,000. 
Project 86-D-152, reactor electrical distribution system. 
Savannah River, South Carolina, $6,000,000. 
Project 86-D-156, plantwide safeguards systems. Savan-
nah River, South Carolina, $12,800,000. 
Project 85-D-139, fuel processing restoration, Idaho Fuels 
Processing Facility, Idaho National Engineering Labora-
tory, Idaho, $65,000,000. 
Project 84-D-134, safeguards and security improvements, 
plantwide. Savannah River, South Carolina, $11,584,000. 
Project 82-D-124, restoration of production capabilities. 
Phases II, III, IV, and V, various locations, $5,879,000. 
(3) For defense waste and environmental restoration: 
102 STAT. 2068 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Project 89-D-170, general plant projects, waste oper-
ations and projects, and waste research and development, 
various locations, $28,000,000. 
Project 89-D-171, Idaho National Engineering Labora-
tory road renovation, Idaho, $4,000,000. 
Project 89-D-172, Hanford environmental compliance, 
Richland, Washington, $12,000,000. 
Project 89-D-173, tank farm ventilation upgrade, Rich-
land, Washington, $1,800,000. 
Project 89-D-174, replacement high level waste evapo-
rator. Savannah River, South Carolina, $3,520,000. 
Project 89-D-175, hazardous waste/mixed waste disposal 
facility. Savannah River, South Carolina, $3,500,000. 
Project 88-D-173, Hanford waste vitrification plant, Rich-
land, Washington, $22,500,000. 
Project 87-D-173, 242-A evaporator crystallizer upgrade, 
Richland, Washington, $1,944,000. 
Project 87-D-177, test reactor area liquid radioactive 
waste cleanup system, Phase III, Idaho National Engineer-
ing Laboratory, Idaho, $911,000. 
Project 87-I)-180, burial ground expansion. Savannah 
River, South Carolina, $2,068,000. 
Project 87-D-181, diversion box and pump pit contain-
ment 
buildings. 
Savannah 
River, 
South 
Carolina, 
$6,371,000. 
Project 86-D-175, Idaho National Engineering Labora-
tory security upgrade, Idaho, $2,084,000. 
Project 
83-D-148, 
nonradioactive 
hazardous 
waste 
management. Savannah River, South Carolina, $13,000,000. 
Project 81-T-105, defense waste processing facility. 
Savannah River, South Carolina, $92,462,000. 
(4) For naval reactors development: 
Project 89-N-lOl, general plant projects, various loca-
tions, $7,000,000. 
Project 89-N-102, heat transfer test facility. Knolls 
Atomic 
Power 
Laboratory, 
Niskajruna, 
New 
York, 
$2,800,000. 
Project 89-N-103, advanced test reactor modifications. 
Test Reactor Area, Idaho National Engineering Laboratory, 
Idaho, $1,600,000. 
Project 89-N-104, power system upgrade, Naval Reactors 
Facility, Idaho, $600,000. 
Project 88-N-102, expended core facility receiving sta-
tion. Naval Reactors Facility, Idaho, $5,900,000. 
Project 88-N-103, material handling and storage modi-
fications. Knolls Atomic Power Laboratory, Niskayuna, 
New York, $2,700,000. 
Project 88-N-104, prototype availability facilities. Knolls 
Atomic Power Laboratory, Kesselring Site, West Milton, 
New York, $6,000,000. 
(5) For capital equipment not related to construction: 
(A) For weapons activities, $272,254,000, including 
$8,240,000 for the defense inertial confinement fusion pro-
gram. 
(B) For materials production, $102,500,000. 
(C) For defense waste and environmental restoration, 
$52,716,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2069 
(D) For verification and control technology, $8,400,000. 
(E) For nuclear safeguards and security, $4,800,000. 
(F) For naval reactors development, $48,000,000. 
SEC. 1403. FUNDING LIMITATIONS 
(a) PROGRAMS, PROJECTS, AND ACTIVITIES OF THE DEPARTMENT OF 
ENERGY RELATING TO THE STRATEGIC DEFENSE INITIATIVE.—Of the 
funds appropriated to the Department of Energy for fiscal year 1989 
for operating expenses and plant and capital equipment, not more 
than $262,000,000 may be obligated or expended for programs, 
projects, and activities of the Department of Energy relating to the 
Strategic Defense Initiative. 
(b) INERTIAL CONFINEMENT FUSION.—Of the funds appropriated to 
the Department of Energy for fiscal year 1989 for operating ex-
penses and plant and capital equipment, $163,770,000 shall be obli-
gated or expended for the defense inertial confinement fusion 
program. 
(c) SRAM II.—Funds appropriated to the Department of Energy 
for fiscal year 1989 for facilities for production of the warhead for 
the short-range attack missile II (SRAM II) (project 87-D-122) may 
be obligated only— 
(1) for facilities which are suitable for production of a war-
head compatible with both the SRAM-A and the SRAM II; and 
(2) after the Nuclear Weapons Council certifies that the 
design of the warhead is compatible with both the SRAM-A and 
the SRAM II. 
(d) SPECIAL ISOTOPE SEPARATION PROJECT.—Funds appropriated or 
otherwise made available to the Department of Energy for the 
special isotope separation project, Idaho Falls, Idaho, may not be 
obligated or expended for site preparation for such project before 
March 1,1989. 
(e) PLUTONIUM RECOVERY MODIFICATION PROJECT.—Funds appro-
priated or otherwise made available for the plutonium recovery 
modification project (project 89-D-125), Rocky Flats Plant, Golden, 
Colorado, may not be obligated or expended until the later of— 
(1) 60 days after the President submits the report (relating to President of U.S. 
modernization of the nuclear weapons complex) required by Reports. 
section 3132 of the Department of Energy National Security and 
Military Applications of Nuclear Energy Authorization Act of 
1988 (title I of division C of Public Law 100-180; 101 Stat. 1239); 
or 
(2) February 15,1989. 
PART B—RECURRING GENERAL PROVISIONS 
SEC. 1421. 
R E P R O G R A M M I N G 
(a) NOTICE TO CONGRESS.—(1) Except as otherwise provided in this 
part— 
(A) no amount appropriated pursuant to this title may be used 
for any program in excess of the lesser of— 
(i) 105 percent of the amount authorized for that program 
by this title; or 
(ii) $10,000,000 more than the amount authorized for that 
program by this title; and 
(B) no amount appropriated pursuant to this title may be used 
for any program which has not been presented to, or requested 
of, the Ck)ngress. 
102 STAT. 2070 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) An action described in paragraph (1) may be taken after a 
period of 30 calendar days (not including any day on which either 
House of Congress is not in session because of adjournment of more 
than three calendar days to a day certain) has passed after receipt 
by the Committees on Armed Services and on Appropriations of the 
Senate and House of Representatives of notice from the Secretary of 
Energy containing a full and complete statement of the action 
proposed to be taken and the facts and circumstances relied upon in 
support of such proposed action. 
(b) LIMITATION ON AMOUNT OBUGATED.—In no event may the total 
amount of funds obligated pursuant to this title exceed the total 
amount authorized to be appropriated by this title. 
SEC. 1422. LIMITS ON GENERAL PLANT PROJECTS 
(a) IN GENERAL.—The Secretary may carry out any construction 
project under the general plant projects provisions authorized by 
this title if the total estimated cost of the construction project does 
not exceed $1,200,000. 
(b) REPORT TO CONGRESS.—If at any time during the construction 
of any general plant project authorized by this title, the estimated 
cost of the project is revised because of unforeseen cost variations 
and the revised cost of the project exceeds $1,200,000, the Secretary 
shaU immediately furnish a complete report to the Committees on 
Armed Services and on Appropriations of the Senate and House oif 
Representatives explaining the reasons for the cost variation. 
SEC. 1423. LIMITS ON CONSTRUCTION PROJECTS 
(a) IN GENERAL.—(1) Except as provided in paragraph (2), construc-
tion on a construction project may not be staurted or additional 
obligations incurred in connection with the project above the total 
estimated cost, whenever the current estimated cost of the construc-
tion project, which is authorized by section 1402 of this title, or 
which is in support of national security programs of the Department 
of Energy and was authorized by any previous Act, exceeds by more 
than 25 percent the higher of— 
(A) the amount authorized for the project; or 
(B) the amount of the total estimated cost for the project as 
shown in the most recent budget justification data submitted to 
Congress. 
(2) An action described in paragraph (1) may be taken after a 
period of 30 calendar days (not including any day on which either 
House of Congress is not in session because of adjournment of more 
than three calendar days to a day certain) has passed after receipt 
by the Committees on Armed Services and on Appropriations of the 
Senate and House of Representatives of notice from the Secretary of 
Energy containing a full and complete statement of the action 
proposed to be taken and the facts and circumstances relied upon in 
support of such proposed action. 
(b) EJXCEPTION.—Subsection (a) shall not apply to any construction 
project which has a current estimated cost of less than $5,000,000. 
SEC. 1424. FUND TRANSFER AUTHORITY 
(a) IN GENERAL.—Funds appropriated pursuant to this title may 
be transferred to other agencies of the Government for the perform-
ance of the work for which the funds were appropriated, and funds 
so transferred may be merged with the appropriations of the agency 
to which the funds are transferred. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2071 
(h) SPECIFIC TRANSFER.—The Secretary of Defense may transfer to 
the Secretary of Energy not more than $100,000,000 of the funds 
appropriated for fiscal year 1989 to the Department of Defense for 
research, development, test, and evaluation for the Defense Agen-
cies for the performance of work on the Strategic Defense Initiative. 
Funds so transferred— 
(1) may be used only for research, development, and testing 
for nuclear directed energy weapons, including plant and cap-
ital equipment related thereto; 
(2) shall be merged with the appropriations of the Department 
of Energy; and 
(3) may not be included in calculating the amount of funds 
obligated or expended for purposes of the funding limitation in 
section 1403(a). 
SEC. 1425. AUTHORITY FOR CONSTRUCTION DESIGN 
(a) IN GENERAL.—(1) Within the amounts authorized by this title 
for plant engineering and design, the Secretary may carry out 
advance planning and construction designs (including architectural 
and engineering services) in connection with any proposed construc-
tion project if the total estimated cost for such planning and design 
does not exceed $2,000,000. 
(2) In any case in which the total estimated cost for such planning 
and design exceeds $300,000, the Secretary shall notify the Commit-
tees on Armed Services and on Appropriations of the Senate and 
House of Representatives in writing of the details of such project at 
least 30 days before any funds are obligated for design services for 
such project. 
(b) SPECIFIC AUTHORITY REQUIRED.—In any case in which the total 
estimated cost for advance planning and construction design in 
connection with any construction project exceeds $2,000,000, funds 
for such design must be specifically authorized by law. 
SEC. 1426. AUTHORITY FOR EMERGENCY CONSTRUCTION DESIGN 
In addition to the advance planning and construction design 
authorized by section 1402, the Secretary may perform planning and 
design utilizing available funds for any Department of Energy 
defense activity construction project whenever the Secretary deter-
mines that the design must proceed expeditiously in order to meet 
the needs of national defense or to protect property or human life. 
SEC. 1427. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS 
OF THE DEPARTMENT OF ENERGY 
Subject to the provisions of appropriation Acts and section 1421, 
amounts appropriated pursuant to this title for management and 
support activities and for general plant projects are available for 
use, when necessary, in connection with all national security pro-
grams of the Department of Energy. 
SEC. 1428. AVAILABILITY OF FUNDS 
When so specified in an appropriation Act, amounts appropriated 
for operating expenses or for plant and capital equipment may 
remain available until expended. 
102 STAT. 2072 
PUBLIC LAW 100-456—SEPT. 29, 1988 
PART C—^MISCELLANEOUS PROVISIONS 
SEC. 1431. REVIEW OF THE INERTIAL CONFmEMENT FUSION PROGRAM 
(a) EJsTABLiSHMENT.—(1) Within 30 days after the date of the 
enactment of this Act, the Secretary of Energy shall establish a 
review body to be known as the Program Review Group on Inertial 
Confinement Fusion (hereafter in this section referred to as the 
"Review Group"). 
(2) It shall be the function of the Review Group to review thor-
oughly the accomplishments, management, goals, and anticipated 
contributions of the defense inertial confinement fusion program, 
for both the civilian and military sectors. Such review shall 
include— 
(A) an assessment of the most promising technologies for 
continuation of the pn^ram; and 
(B) an assessment of the jpotential contributions of the pro-
gram imder a prohibition of underground nuclear testing and 
under a limitation of undei^ound nuclear testing to levels of 1 
kiloton, 5 kilotons, and 10 kilotons. 
(3) The Secretary of Energy shall appoint to serve on the Review 
Group only persons who, because of experience in the scientific 
disciplines associated with the development and testing of nuclear 
weapons, are most qualified to make findings of fact and rec-
ommendations to Congress and the Secretary concerning that 
program. 
(b) REPORTS.—The Review Group shall submit to the Secretary 
and the Committees on Armed Services and on Appropriations of 
the Senate and House of Representatives an interim report and a 
final report containing the results of its review, together with such 
recommendations r^arding priorities for future work in the inertial 
confinement fusion pn^ram as it determines appropriate. The in-
terim report shall be submitted before January 15, 1990, and the 
final report shall be submitted before September 15,1990. 
(c) REVIEW AND COMMENT BY THE SECRETARY.—(1) The Secretary of 
Energy shall review both the interim and final reports of the Review 
Group and submit to the Committees on Armed Services and on 
Appropriations of the Senate and House of Representatives the 
following: 
(A) An assessment of the budgetary priority, under current 
and anticipated budget restraints, that should be given to the 
inertial confinement fusion pn^ram of the Department of 
Energy in relation to the budgetary priority that should be 
given to core defense research and development programs of 
the Department to carry out the defense missions of the 
Department. 
(B) Such additional comments r^arding such reports as the 
Secretary considers appropriate. 
(2) The Secretary shall submit his assessment and comments on 
each report referred to in subsection (b) not later than 30 days after 
receiving such report. 
(d) TERMINATION.—Upon the submission of its final report, the 
Review Group shall cease to exist. 
SEC. 1432. ASSISTANCE TO COMMUNITIES AFFECTED BY CLOSING OF N 
REACTOR 
Grants. 
The Secretary of Defense may make grants, conclude cooperative 
Washington. 
agreements, and supplement funds made available under Federal 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2073 
programs administered by agencies other than the Department of 
Defense in order to assist the State of Washington and local commu-
nities near Hanford Reservation, Washington, in planning commu-
nity adjustments required by the closure of the N Reactor. 
SEC. 1433. REVIEW OF WASTE ISOLATION PILOT PLANT IN NEW MEXICO 
(a) CONTRACT REQUIREMENT.—The Secretary of Energy shall enter 
into a contract with the New Mexico Institute of Mining and 
Technology (hereafter in this section referred to as the "Institute") 
to conduct independent reviews and evaluations of the design, 
construction, and operations of the Waste Isolation Pilot Plant in 
New Mexico (hereafter in this section referred to as the "WIPP") as 
they relate to the protection of the public health and safety and the 
environment. The contract shall be for a period of one year, begin-
ning on March 31, 1989, and shall be renewable for four additional 
one-year periods with the consent of the Institute and subject to the 
authorization and appropriation of funds for such purpose. 
(b) CONTENT OF CONTRACT.—A contract entered into under subsec-
tion (a) shall require the following: 
(1) The President of the Institute shall appoint a Director and 
Deputy Director, who shall be scientists of national eminence in 
the field of nuclear waste disposal, shall be free from any biases 
related to the activities of the WIPP, and shall be widely known 
for their integrity and scientific expertise. The Director shall 
carry out the work under the contract through a group known 
as the Environmental Evaluation Group and shall report di-
rectly to the President of the Institute. 
(2) The Director shall appoint staff. The professional staff 
shall consist of scientists and engineers of recognized integrity 
and scientific expertise who represent scientific and engineering 
disciplines needed for a thorough review of the WIPP, including 
such disciplines as geology, hydrology, health physics, environ-
mental engineering, probability risk analysis, mining engineer-
ing, and radiation chemistry. The disciplines represented in the 
staff shall change as may be necessary to meet changed needs in 
carrying out the contract for expertise in any certain scientific 
or engineering discipline. Scientists employed under the con-
tract shall have qualifications and experience equivalent to the 
qualifications and experience required for scientists employed 
by the Federal Government in grades GS-13 through GS-16. 
(3) Scientists employed under the contract shall have an 
appropriate support staff 
(4) The Director and Deputy Director shall each be appointed 
for a term of 5 years, subject to contract renewal, and may be 
removed only for misconduct or incompetence. The staff shall be 
appointed for such terms as the Director considers appropriate. 
(5) The rates of pay of professional staff and the procedures 
for increasing the rates of pay of professional staff shall be 
equivalent to those rates and procedures provided for the Gen-
eral Schedule pay system under chapter 53 of title 5, United 
States Code. The fringe benefits available to the professional 
staff of the Institute shall also be available to professional staff 
under the contract. 
(6) To the maximum extent practicable, preference in the 
hiring of staff for the Environmental Evaluation Group shall be 
given to persons involved in the scientific evaluation group for 
WIPP immediately before the date of the enactment of this Act. 
Energy. 
Safety. 
Environmental 
protection. 
Science and 
technology. 
Reports. 
102 STAT. 2074 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Public 
information. 
Contracts. 
Energy. 
Washington. 
(7) Offices of the Environmental Evaluation Group shall be 
established in Carlsbad, New Mexico, and in Albuquerque, New 
Mexico, for carrying out the contract. The Director shall des-
ignate one of the offices as the administrative headquarters for 
carrying out the contract. 
(8) The results of reviews and evaluations carried out under 
the contract shall be published. 
(c) ADMINISTRATION.—TTie contract entered into under subsection 
(a) shall be administered under the direction of the President of the 
Institute. Such President shall establish general policies and guide-
lines to be used by the Director in carrying out the work under the 
contract. The Director shall be solely responsible for determining 
reviews and evaluations to be conducted by the Environmental 
Ehraluation Group. 
(d) FUNDING.—Funding for the contract shall be from amounts 
appropriated under section 1401. The amount of the initial one-year 
contract shall be not less than $1,060,000. 
(e) CONSTRUCTION.—Nothing in this section shall be construed as 
affecting actions undertaken before the date of the enactment of this 
Act in furtherance of the requirements of this section. 
SEC. 1434. AUTHORITY TO LOAN PERSONNEL AND FACILITIES TO COMMU-
NITY 
DEVELOPMENT 
ORGANIZATIONS 
NEAR 
HANFORD 
RESERVATION 
(a) AUTHORITY TO LOAN PERSONNEL.—(1) The Secretary of Energy 
shall allow each contractor and subcontractor of the Department of 
Energy carrying out operating, engineering, research and develop-
ment, or construction management at the Hanford Reservation, 
Washington, to loan personnel in accordance with this section to the 
community development organization known as the Tri City Indus-
trial Development Council serving Benton and Franklin counties, 
Washington. Any such loan shall be for the purpose of assisting in 
the diversification of the local economy by reducing reliance by local 
communities on national security programs at Hanford Reservation. 
(2) A contractor shall continue to compensate any personnel 
loaned by the contractor under paragraph (1). Any such compensa-
tion shall be allowed as a cost for which the Department of Energy 
may reimburse the contractor under the contract. 
(3) The Secretary of Energy may not obligate or expend more than 
$500,000 in each of fiscal years 1989 and 1990 for loans of personnel 
under this section. The amount of such obligations or expenditures 
shall be measured by the cost of compensation paid to such person-
nel by the contractor and reimbursed by the Department of Energy. 
Ot)) AUTHORITY TO LOAN FACILTTIES.—The Secretary of Energy may 
loan facilities of the Federal Government being used by contractors 
of the Department of Energy at Hanford Reservation, Washington, 
to any community-based organization. However, any loan of a facil-
ity under this subsection may be made only if use of the facility by 
such an organization would not adversely affect Department of 
Energy prc^ams, as determined by the Secretary. 
(c) DURATION OF PROGRAM.—The authority to loan personnel and 
facilities under this section, and the loan of any personnel or 
facilities pursuant to such authority, shall terminate on Septem-
ber 30,1990. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2075 
SEC. 1435. NEW PRODUCTION REACTOR 
Reports. 
(a) RECOMMENDATIONS REGARDING NEW PRODUCTION REACTOR.— 
Not later than July 31,1988, the Secretary of Energy shall submit to 
the Committees on Armed Services of the Senate and House of 
Representatives a report containing the Secretary's recommenda-
tion for the site for construction of a new production reactor and the 
Secretary's recommendation for the preferred technology for a new 
production reactor. 
(b) 
REPORT CONTAINING INFORMATION PERTAINING TO NEW 
PRODUCTION REACTOR.—At the same time the budget for fiscal year 
1990 is submitted to Congress pursuant to section 1105 of title 31, 
United States Code, the Secretary of Energy shall submit to the 
Committees on Armed Services of the Senate and House of Rep-
resentatives a report containing— 
(1) a discussion of the administrative and legislative changes 
that would be necessary to shorten the time period necessary to 
attain the initial operational date of a new production reactor; 
and 
(2) any recommendations for such additional action that the 
Secretary considers appropriate. 
SEC. 1436. NUCLEAR TEST BAN READINESS PROGRAM 
42 USC 2121 
(a) FINDINGS.—The Congress makes the following 
findings: 
"°*®' 
(1) On September 17, 1987, the United States and the Soviet 
Union announced that they would resume full-scale, stage-by-
stage negotiations on issues relating to nuclear testing, includ-
ing further intermediate limitations on nuclear testing leading 
to the ultimate objective of a comprehensive nuclear test ban. 
(2) It was agreed that the first step in these negotiations 
would be to reach agreement on verification measures that will 
make possible the ratification of the Threshold Test Ban Treaty 
of 1974 and the Peaceful Nuclear Explosions Treaty of 1976. 
(3) To achieve the agreement on verification measures, the 
United States and the Soviet Union have agreed to design and 
conduct a Joint Verification Experiment at the test sites of each 
country during the summer of 1988. 
(4) At the Moscow summit in May 1988, President Reagan and 
General Secretary Gorbachev reaffirmed their commitment to 
negotiations on "effective verification measures which will 
make it possible to ratify the Threshold Test Ban Treaty of 1974 
and Peaceful Nuclear Explosions Treaty of 1976, and proceed to 
negotiating further intermediate limitations on nuclear testing 
leading to the ultimate objective of the complete cessation of 
nuclear testing as part of an effective disarmament process". 
Ot)) EsTABUSHMENT OF PROGRAM.—The Secretary of Energy shall 
Safety. 
establish and support a program to assure that the United States is 
in a position to maintain the reliability, safety, and continued 
deterrent effect of its stockpile of existing nuclear weapons designs 
in the event that a low-threshold or comprehensive ban on nuclear 
explosives testing is negotiated and ratified within the framework 
agreed to by the United States and the Soviet Union. 
(c) PURPOSES OF PROGRAM.—The purposes of the program under 
Safety. 
subsection Qj) shall be the following: 
(1) To assure that the United States maintains a vigorous 
program of stockpile inspection and non-explosive testing so 
that, if a low-threshold or comprehensive test ban is entered 
into, the United States remains able to detect and identify 
102 STAT. 2076 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Research and 
development. 
Public 
information. 
Classified 
information. 
potential problems in stockpile reliability and safety in existing 
designs of nuclear weapons. 
(2) To assure that the specific materials, components, proc-
esses, and personnel needed for the remanufacture of existing 
nuclear weapons or the substitution of alternative nuclear war-
heads are available to support such remanufacture or substi-
tution if such action becomes necessary in order to satisfy 
reliability and safety requirements under a low-threshold or 
comprehensive test ban agreement. 
(3) To assure that a vigorous program of research in areas 
related to nuclear weapons science and engineering is supported 
so that, if a low-threshold or comprehensive test ban agreement 
is entered into, the United States is able to maintain a base of 
technical knowledge about nuclear weapons design and nuclear 
weapons effects. 
(d) CONDUCT OF PROGRAM.—The Secretary of Energy shall carry 
out the prt^ram provided for in subsection (b). The program shall be 
carried out with the participation of representatives of the Depart-
ment of Defense, the nuclear weapons production facilities, and the 
national nuclear weapons laboratories. 
(e) ANNUAL REPORT.—The Secretary of Energy shall submit to 
Congress each year an unclassified report (with a classified annex as 
necessary) that describes the progress made to the date of the report 
in achieving the purposes of the pr(^am required to be established 
under subsection (b). 
PART D—DOE DEFENSE NUCLEAR FACILITIES SAFETY OVERSIGHT 
BOARD 
SEC. 1441. ESTABUSHMENT OF DEFENSE NUCLEAR FACILITIES SAFETY 
BOARD 
(a) ESTABLISHMENT.—(1) The Atomic Energy Act of 1954 (42 U.S.C. 
2011 et seq.) is amended by adding at the end the following new 
chapter: 
"CHAPTER 21. DEFENSE NUCLEAR FACIUTIES SAFETY 
BOARD 
42 use 2286. 
"SEC. 311. ESTABUSHMENT. 
"(a) ECTABUSHMENT.—^There is hereby established an independent 
establishment in the executive branch, to be known as the ^Defense 
Nuclear Facilities Safety Board' (hereafter in this chapter referred 
to as the 'Board'). 
President of U.S. 
"(b) MEMBERSHIP.—(1) The Board shall be composed of five mem-
bers appointed from civilian life by the President, by and with the 
advice and consent of the Senate, from among United States citizens 
who are respected experts in the field of nuclear safety with a 
demonstrated competence and knowledge relevant to the independ-
ent investigative and oversight functions of the Board. Not more 
than three members of the Board shall be of the same political 
party. 
"(2) Any vacancy in the membership of the Board shall be filled in 
the same manner in which the original appointment was made. 
"(3) No member of the Board may be an employee of, or have any 
significant financial relationship with, the Department of Energy or 
any contractor of the Department of Enei^. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2077 
President of U.S. 
Reports. 
42 use 2286. 
"(4) Not later than 180 days after the date of the enactment of this 
chapter, the President shall submit to the Senate nominations for 
appointment to the Board. In the event that the President is unable 
to submit the nominations within such 180-day period, the President 
shall submit to the Committees on Armed Services and on Appro-
priations of the Senate and to the Speaker of the House of Rep-
resentatives a report describing the reasons for such inability and a 
plan for submitting the nominations within the next 90 days. If the 
President is unable to submit the nominations within that 90-day 
geriod, the President shall again submit to such committees and the 
peaker such a report and plan. The President shall continue to 
submit to such committees and the Speaker such a report and plan 
every 90 days until the nominations are submitted. 
"(c) CHAIRMAN AND VICE CHAIRMAN.—(D The President shall President of u.s 
designate a Chairman and Vice Chairman of the Board from among 
members of the Board. 
"(2) The Chairmem shall be the chief executive officer of the Board 
and, subject to such policies as the Board may establish, shall 
exercise the functions of the Board with respect to— 
"(A) the appointment and supervision of employees of the 
Board; 
"(B) the organization of any administrative units established 
by the Board; and 
"(C) the use and expenditure of funds. 
"(3) The Chairman may delegate any of the functions under this 
paragraph to any other member or to any appropriate officer of the 
Board. 
"(4) The Vice Chairman shall act as Chairman in the event of the 
absence or incapacity of the Chairman or in case of a vacancy in the 
office of Chairman. 
"(d) TERMS.—(1) Except as provided under paragraph (2), the 
members of the Board shall serve for terms of five years. Members 
of the Board may be reappointed. 
"(2) Of the members first appointed— 
"(A) one shall be appointed for a term of one year; 
"(B) one shall be appointed for a term of two years; 
"(C) one shall be appointed for a term of three years; 
"(D) one shall be appointed for a term of four years; and 
"(E) one shall be appointed for a term of five years, 
as designated by the President at the time of appointment. 
"(3) Any member appointed to fill a vacancy occurring before the 
expiration of the term of office for which such member's predecessor 
was appointed shall be appointed only for the remainder of such 
term. A member may serve after the expiration of that member's 
term until a successor has taken office. 
"(e) QUORUM.—Three members of the Board shall constitute a 
quorum, but a lesser number may hold hearings. 
"SEC. 312. FUNCTIONS OF THE BOARD. 
42 USC 2286a. 
"The Board shall perform the following functions: 
"(1) REVIEW AND EVALUATION OF STANDARDS.—The Board shall 
review and evaluate the content and implementation of the 
standards relating to the design, construction, operation, and 
decommissioning of defense nuclear facilities of the Department 
of Energy (including all applicable Department of Energy 
orders, regulations, and requirements) at each Department of 
Energy defense nuclear facility. The Board shall recommend to 
102 STAT. 2078 
PUBLIC LAW 100-456—SEPT. 29, 1988 
the Secretary of Energy those specific measures that should be 
adopted to ensure that public health and safety are adequately 
protected. The Board shedl include in its recommendations nec-
essary changes in the content and implementation of such 
standards, as well as matters on which additional data or 
additional research is needed. 
"(2) INVESTIGATIONS.—(A) The Board shall investigate any 
event or practice at a Department of Energy defense nuclear 
facility which the Board determines has adversely affected, or 
may adversely affect, pubhc health and safety. 
"(B) The purpose of any Board investigation under subpara-
graph (A) shall be— 
"(i) to determine whether the Secretary of Energy is 
adequately implementing the standards described in para-
graph (1) of the Department of Energy (including all ap-
plicable Department of Energy orders, regulations, and 
requirements) at the facility; 
"(ii) to ascertain 
information 
concerning the 
cir-
cumstances of such event or practice and its implications 
for such standards; 
"(iii) to determine whether such event or practice is 
related to other events or practices at other Department of 
Energy defense nuclear facilities; and 
"(iv) to provide to the Secretary of Energy such rec-
ommendations for changes in such standards or the im-
plementation of such standards (including Department of 
Energy orders, regulations, and requirements) and such 
recommendations relating to data or research needs as may 
be prudent or necessary. 
"(3) ANALYSIS OF DESIGN AND OPERATIONAL DATA.—The Board 
shall have access to and may systematically analyze design and 
operational data, including s^ety analysis reports, from any 
Department of Energy defense nuclear facility. 
"(4) 
REVIEW OP FACILITY DESIGN AND CONSTRUCTION.—The 
Boaj!^ shall review the design of a new Department of Energy 
defense nuclear facility before construction of such facility 
begins and shall recommend to the Secretary, within a reason-
able time, such modifications of the design as the Board consid-
ers necessary to ensure adequate protection of public health and 
safety. During the construction of any such facility, the Board 
shall periodically review and monitor the construction and shall 
submit to the Secretary, within a reasonable time, such rec-
onmiendations relating to the construction of that facility as the 
Board considers necessary to ensure adequate protection of 
public health and safety. An action of the Board, or a failure to 
act, under this paragraph may not delay or prevent the Sec-
retary of Energy from canying out the construction of such a 
facility. 
"(5) RECOMMENDATIONS.—The Board shall make such rec-
ommendations to the Secretary of Energy with respect to 
Department of Energy defense nuclear facilities, including oper-
ations of such facilities, standards, and research needs, as the 
Board determines are necessary to ensure adequate protection 
of public health and safety. In making its recommendations the 
Board shall consider the technical and economic feasibility of 
implementing the recommended measures. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2079 
"SEC. 313. POWERS OF BOARD. 
42 USC 2286b. 
"(a) HEARINGS.—(1) The Board or a member authorized by the 
Board may, for the purpose of carrying out this chapter, hold such 
hearings and sit and act at such times and places, and require, by 
subpoena or otherwise, the attendance and testimony of such wit-
nesses and the production of such evidence as the Board or an 
authorized member may find advisable. 
"(2XA) Subpoenas may be issued only under the signature of the 
Chairman or any member of the Board designated by him and shall 
be served by any person designated by the Chairman, any member, 
or any person as otherwise provided by law. The attendance of 
witnesses and the production of evidence may be required from any 
place in the United States at any designated place of hearing in the 
United States. 
"(B) Any member of the Board may administer oaths or affirma-
tions to witnesses appearing before the Board. 
"(C) If a person issued a subpoena under paragraph (1) refuses to 
obey such subpoena or is guilty of contumacy, any court of the 
United States within the judicial district within which the hearing 
is conducted or within the judicial district within which such person 
is found or resides or transacts business may (upon application by 
the Board) order such person to appear before the Board to produce 
evidence or to give testimony relating to the matter under investiga-
tion. Any failure to obey such order of the court may be punished by 
such court as a contempt of the court. 
"(D) The subpoenas of the Board shall be served in the manner 
provided for subpoenas issued by a United States district court 
under the Federal Rules of Civil Procedure for the United States 
district courts. 
"(E) All process of any court to which application may be made 
under this section may be served in the judicial district in which the 
person required to be served resides or may be found. 
"(b) STAFF.—The Board may, for the purpose of performing its 
responsibilities under this chapter— 
"(1) hire such staff as it considers necessary to perform the 
functions of the Board, but not more than the equivalent of 100 
full-time employees; and 
"(2) procure the temporary and intermittent services of 
experts and consultants to the extent authorized by section 
3109(b) of title 5, United States Code, at rates the Board deter-
mines to be reasonable. 
"(c) REGULATIONS.—The Board may prescribe regulations to carry 
out the responsibilities of the Board under this chapter. 
"(d) REPORTING REQUIREMENTS.—The Board may establish report-
ing requirements for the Secretary of Energy which shall be binding 
upon the Secretary. The information which the Board may require 
classified 
the Secretary of Energy to report under this subsection may include 
information. 
any information designated as classified information, or any 
information designated as safeguards information and protected 
from disclosure under section 147 or 148 of this Act. 
"(e) USE OF GOVERNMENT FACILITIES, ETC.—The Board may, for 
the purpose of carrying out its responsibilities under this chapter, 
use any facility, contractor, or employee of any other department or 
agency of the Federal Grovernment with the consent of and under 
appropriate support arrangements with the head of such depart-
102 STAT. 2080 
PUBLIC LAW 100-456—SEPT. 29, 1988 
42 use 2286b. 
42 use 2286c. 
eontracts. 
42 use 2286d. 
Federal 
Register, 
publication. 
ment or agency and, in the case of a contractor, with the consent of 
the contractor. 
"(0 ASSISTANCE FROM CERTAIN AGENCIES OF THE FEDERAL (JOVERN-
MENT.—With the consent of and under appropriate support arrange-
ments with the Nuclear Regulatory Commission, the Board may 
obtain the advice and recommendations of the staff of the Commis-
sion on matters relating to the Board's responsibilities and may 
obtain the advice and recommendations of the Advisory Committee 
on Reactor Safeguards on such matters. 
"(g) 
ASSISTANCE FROM ORGANIZATIONS OUTSIDE THE FEDERAL 
GOVERNMENT.—The Board may enter into an agreement with the 
National Research Council of the National Academy of Sciences or 
any other appropriate group or organization of experts outside the 
Federal Government chosen by the Board to assist the Board in 
canying out its responsibilities under this chapter. 
"(h) RESIDENT INSPECTORS.—The Board may assign staff to be 
stationed at any Department of Energy defense nuclear facility to 
carry out the functions of the Board. 
"(i) SPECIAL STUDIES.—The Board may conduct special studies 
pertaining to adequate protection of public health and safety at any 
Department of E n e i ^ defense nuclear facility. 
0) EVALUATION OF INFORMATION.—The Board may evaluate 
information received from the scientific and industrial communities, 
and from the interested public, with respect to— 
"(1) events or practices at any Depsirtment of Energy defense 
nuclear facility; or 
"(2) suggestions for specific measures to improve the content 
of standards described in section 312(1), the implementation of 
such standards, or research relating to such standards at 
Department of Energy defense nuclear facilities. 
"SEC. 314. RESPONSIBILITIES OF THE SECRETARY OF ENERGY. 
"(a) COOPERATION.—The Secretary of Energy shall fully cooperate 
with the Board and provide the Board with ready access to such 
facilities, personnel, and information as the Board considers nec-
essary to carry out its responsibilities under this chapter. Each 
contractor operating a Department of Energy defense nuclear facil-
ity under a contract awarded by the Secretary shall, to the extent 
provided in such contract or otherwise with the contractor's consent, 
fully cooperate with the Board and provide the Board with ready 
access to such facilities, personnel, ai\d information of the contrac-
tor as the Board considers necessary to carry out its responsibilities 
under this chapter. 
"(b) ACCESS TO INFORMATION.—The Secretary of Energy may deny 
access to information provided to the Board to any person who— 
"(1) has not been granted an appropriate security clearance or 
access authorization by the Secretary of Energy; or 
"(2) does not need such access in connection with the duties of 
such person. 
"SEC. 315. BOARD RECOMMENDATIONS. 
"(a) PuBuc AVAILABILITY AND COMMENT.—Subject to subsections 
(g) and (h) and after receipt by the Secretary of Energy of any 
recommendations from the Board under section 312, the Board 
promptly shall make such recommendations available to the public 
in the Department of Energy's regional public reading rooms and 
shall publish in the Federal Register such recommendations and a 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2081 
request for the submission to the Board of public comments on such 
recommendations. Interested persons shall have 30 days after 
the date of the publication of such notice in which to submit 
comments, data, views, or arguments to the Board concerning the 
recommendations. 
"(b) RESPONSE BY SECRETARY.—(1) The Secretary of Energy shall 
transmit to the Board, in writing, a statement on whether the 
Secretary accepts or rejects, in whole or in part, the recommenda-
tions submitted to him by the Board under section 312, a description 
of the actions to be taken in response to the recommendations, and 
his views on such recommendations. The Secretary of Energy shall 
transmit his response to the Board within 45 days after the date of 
the publication, under subsection (a), of the notice with respect to 
such recommendations or within such additional period, not to 
exceed 45 days, as the Board may grant. 
"(2) At the same time as the Secretary of Energy transmits his 
response to the Board under paragraph (1), the Secretary, subject to 
subsection (h), shall publish such response, together with a request 
for public comment on his response, in the Federal Register. 
"(3) Interested persons shall have 30 days after the date of the 
publication of the Secretary of Energy's response in which to submit 
comments, data, views, or arguments to the Board concerning the 
Secretary's response. 
"(4) The Board may hold hearings for the purpose of obtaining 
public comments on its recommendations and the Secretary of 
Energy's response. 
"(c) PROVISION OF INFORMATION TO SECRETARY.—The Board shall 
furnish the Secretary of Energy with copies of all comments, data, 
views, and arguments submitted to it under subsection (a) or (b). 
"(d) FINAL DECISION.—If the Secretary of Energy, in a response 
under subsection (b)(1), rejects (in whole or part) any recommenda-
tion made by the Board under section 312, the Board shall either 
reaffirm its original recommendation or make a revised rec-
ommendation and shall notify the Secretary of its action. Within 30 
days after receiving the notice of the Board's action under this 
subsection, the Secretary shall consider the Board's action and make 
a final decision on whether to implement all or part of the Board's 
recommendations. Subject to subsection (h), the Secretary shall 
publish the final decision and the reasoning for such decision in the 
Federal Register and shall transmit to the Committees on Armed 
Services and on Appropriations of the Senate and to the Speaker of 
the House of Representatives a written report containing that deci-
sion and reasoning. 
"(e) IMPLEMENTATION PLAN.—The Secretary of Energy shall pre-
pare a plan for the implementation of each Board recommendation, 
or part of a recommendation, that is accepted by the Secretary in his 
final decision. The Secretary shall transmit the implementation 
plan to the Board within 90 days after the date of the publication of 
the Secretary's final decision on such recommendation in the Fed-
eral Register. The Secretary may have an additional 45 days to 
transmit the plan if the Secretary submits to the Board and to the 
Committees on Armed Services and on Appropriations of the Senate 
and to the Speaker of the House of Representatives a notification 
setting forth the reasons for the delay and describing the actions the 
Secretary is taking to prepare an implementation plan under this 
subsection. The Secretary may implement any such recommenda-
tion (or part of any such recommendation) before, on, or after the 
Federal 
Register, 
publication. 
Federal 
Register, 
publication. 
Reports. 
102 STAT. 2082 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Reports. 
Reports. 
Safety. 
President of U.S. 
Public 
information. 
President of U.S. 
42 u s e 2286e. 
date on which the Secretary transmits the implementation plan to 
the Board under this subsection. 
"(f) IMPLEMENTATION.—(1) Subject to paragraph (2), not later than 
one year after the date on which the Secretary of Energy transmits 
an implementation plan with respect to a recommendation (or part 
thereof) under subsection (e), the Secretary shall carry out and 
complete the implementation plan. If complete implementation of 
the plan takes more than 1 year, the Secretary of Energy shall 
submit a report to the Committees on Armed Services and on 
Appropriations of the Senate and to the Speaker of the House of 
Representatives setting forth the reasons for the delay and when 
implementation will be completed. 
(2) If the Secretary of Energy determines that the implementa-
tion of a Board recommendation (or part thereof) is impracticable 
because of budgetary considerations, or that the implementation 
would affect the Secretary's ability to meet the annual nuclear 
weapons stockpile requirements established pursuant to section 91 
of this Act, the Secretary shall submit to the President, to the 
Committees on Armed Services and on Appropriations of the 
Senate, and to the Speaker of the House of Representatives a report 
containing the recommendation and the Secretary's determination. 
"(g) IMMINENT OR SEVERE THREAT.—(1) In any case in which the 
Board determines that a recommendation submitted to the Sec-
retary of Energy under section 312 relates to an imminent or severe 
threat to public health and safety, the Board and the Secretary of 
Energy shall proceed under this subsection in lieu of subsections (a) 
through (d). 
"(2) At the same time that the Board transmits a recommendation 
relating to an imminent or severe threat to the Secretary of Energy, 
the Board shall also transmit the recommendation to the President 
and for information purposes to the Secretary of Defense. The 
Secretary of Energy shall submit his recommendation to the Presi-
dent. The President shall review the Secretary of Energy's rec-
ommendation and shall make the decision concerning acceptance or 
rejection of the Board's recommendation. 
"(3) After receipt by the President of the recommendation from 
the Board under this subsection, the Board promptly shall make 
such recommendation available to the public and shall transmit 
such recommendation to the Committees on Armed Services and on 
Appropriations of the Senate and to the Speaker of the House of 
Representatives. The President shall promptly notify such commit-
tees and the Speaker of his decision and the reasons for that 
decision. 
"(h) LIMITATION.—Notwithstanding any other provision of this 
section, the requirements to make information available to the 
public under this section— 
"(1) shall not apply in the case of information that is classi-
fied; and 
"(2) shall be subject to the orders and regulations issued by 
the Secretary of Energy under sections 147 and 148 of this Act 
to prohibit dissemination of certain information. 
"SEC. 316. REPORTS. 
"(a) BOARD REPORT.—(1) The Board shall submit to the Commit-
tees on Armed Services and on Appropriations of the Senate and to 
the Speaker of the House of Representatives each year, at the same 
time that the President submits the budget to Congress pursuant to 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2083 
section 1105(a) of title 31, United States Code, a written report 
42 use 2286e. 
concerning its activities under this chapter, including all rec-
ommendations made by the Board, during the year preceding the 
year in which the report is submitted. The Board may also issue 
periodic unclassified 
reports on matters within the Board's 
responsibilities. 
"(2) The annual report under paragraph (1) shall include an 
assessment of— 
"(A) the improvements in the safety of Department of Energy 
defense nuclear faciUties during the period covered by the 
report; 
"(B) the improvements in the safety of Department of Energy 
defense nuclear facilities resulting from actions taken by the 
Board or taken on the basis of the activities of the Board; and 
"(C) the outstanding safety problems, if any, of Department of 
Energy defense nuclear facilities. 
"(b) DOE REPORT.—The Secretary of Energy shall submit to the 
Committees on Armed Services and on Appropriations of the Senate 
and to the Speaker of the House of Representatives each year, at the 
same time that the President submits the budget to (Dongress pursu-
ant to section 1105(a) of title 31, United States Code, a written report 
concerning the activities of the Department of Energy under this 
chapter during the year preceding the year in which the report is 
submitted. 
"SEC. 317. JUDICIAL REVIEW. 
42 USC 2286f. 
"(Dhapter 7 of title 5, United States CJode, shall apply to the 
activities of the Board under this chapter. 
"SEC. 318. DEFINITION. 
42 USC 2286g. 
"As used in this chapter, the term 'Department of Energy defense 
nuclear facility* means any of the following: 
"(1) A production facility or utilization facility (as defined in 
section 11 of this Act) that is under the control or jurisdiction of 
the Secretary of Energy and that is operated for national 
security purposes, but the term does not include— 
"(A) any facility or activity covered by Executive Order 
No. 12344, dated February 1, 1982, pertaining to the Naval 
nuclear propulsion program; 
"(B) any facility or activity involved with the assembly or 
testing of nuclear explosives or with the transportation of 
nuclear explosives or nuclear material; or 
"(C) any facility that does not conduct atomic energy 
defense activities. 
"(2) A nuclear waste storage facility under the control or 
jurisdiction of the Secretary of Energy, but the term does not 
include a facility developed pursuant to the Nuclear Waste 
Policy Act of 1982 (42 U.S.C. 10101 et seq.) and licensed by the 
Nuclear R^ulatory Commission. 
"SEC 319. CONTRACT AUTHORITY SUBJECT TO APPROPRIATIONS. 
42 USC 2286h. 
"The authority of the Board to enter into contracts under this 
chapter is efiTective only to the extent that appropriations (includ-
ing transfers of appropriations) are provided in advance for such 
purpose. 
102 STAT. 2084 
PUBLIC LAW 100-456—SEPT. 29, 1988 
42 u s e 2286i. 
"SEC. 320. ANNUAL AUTHORIZATION OF APPROPRIATIONS. 
"Authorizations of appropriations for the Board for fiscal years 
beginning after fiscal year 1989 shall be provided annually in 
authorization Acts.". 
(2) The table of contents at the beginning of the Atomic Energy 
Act of 1954 is amended by adding at the end the following: 
"CHAPTER 21. DEFENSE NUCLEAR FACILITIES SAFETY BOARD 
"Sec. 311. Establishment. 
"Sec. 312. Functions of the Board. 
"Sec. 313. Powers of Board. 
"Sec. 314. Responsibilities of the Secretary of Energy. 
"Sec. 315. Board recommendations. 
"Sec. 316. Reports. 
"Sec. 317. Judicial review. 
"Sec. 318. Definition. 
"Sec. 319. Contract authority subject to appropriations. 
"Sec. 320. Annual authorization of appropriations.". 
(b) SALARY FOR BOARD MEMBERS AT EXECUTIVE SCHEDULE LEVEL 
III.—Section 5314 of title 5, United States Code, is amended by 
inserting after "Members, Nuclear Regulatory Commission." the 
following: 
"Members, Defense Nuclear Facilities Safety Board.". 
42 u s e 2286e 
(c) REQUIREMENTS FOR FiRST ANNUAL REPORT.—(1) Before SUbmis-
note. 
sion of the first annual report by the Defense Nuclear Facilities 
Safety Board under section 316(a) of the Atomic Energy Act of 1954 
(as added by subsection (a)), the Board shall conduct a study on 
whether nuclear facilities of the Department of Energy that are 
excluded from the definition of "Department of Energy defense 
nuclear facility" in section 318(1XC) of such Act (hereafter in this 
subsection referred to as "non-defense nuclear facilities") should be 
subject to independent external oversight. The Board shall include 
in such first annual report the results of such study and the 
recommendation of the Board on whether non-defense nuclear facili-
ties should be subject to independent external oversight. 
(2) If the Board recommends in the report that non-defense 
nuclear facilities should be subject to such oversight, the report 
shall include a discussion of alternative mechanisms for implement-
ing such oversight, including mechanisms such £is a separate execu-
tive agency and oversight as a part of the Board's responsibilities. 
The discussion of alternative mechanisms of oversight also shall 
include considerations of budgetary costs, protection of the security 
of sensitive nuclear weapons information, and the similarities and 
differences in the design, construction, operation, and decommis-
sioning of defense and non-defense nuclear facilities of the Depart-
ment of Energy. 
(d) REQUIREMENTS FOR FIFTH ANNUAL REPORT.—The fifth annual 
report submitted by the Defense Nuclear Facilities Safety Board 
under section 316(a) of the Atomic Energy Act of 1954 (as added by 
subsection (a)) shall include— 
(1) an assessment of the degree to which the overall adminis-
tration of the Board's activities are believed to meet the objec-
tives of Congress in establishing the Board; 
(2) recommendations for continuation, termination, or modi-
fication of the Board's functions and programs, including 
recommendations for transition to some other independent 
oversight arrangement if it is advisable; and 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2085 
\ (3) recommendations for appropriate transition requirements 
in the event that modifications are recommended. 
SEC. 1442. TRANSFER 
The Secretary of Energy, to the extent provided in appropriations 
Acts, shall transfer to the Defense Nuclear Facilities Safety Board 
established by section 311 of the Atomic Energy Act of 1954 (as 
added by section 1441) from sums available for obligation for 
national security programs such sums as may be necessary, as 
determined by such Board, for the operation of the Board during 
fiscal year 1989, but in no case may more than $7,000,000 be 
transferred for such purpose. Sums transferred shall be available to 
such Board to carry out its responsibilities under chapter 21 of the 
Atomic Energy Act of 1954 (as added by section 1441) and shall 
remain available until expended. 
TITLE XV—NATIONAL DEFENSE STOCKPILE 
SEC. 1501. AUTHORIZED DISPOSALS 
50 USC 98d note. 
(a) AUTHORITY.—Notwithstanding section 5(b) of the Strategic and 
Critical Materials Stock Piling Act (50 U.S.C. 98d(b)) but subject to 
subsection (c), the President may during fiscal year 1989 dispose of 
materials in the National Defense Stockpile in accordance with this 
section. The value of the materials disposed of may not exceed 
$180,000,000 and may only be made as specified in subsection (b). 
(b) MATERIALS AUTHORIZED TO BE DISPOSED.—Any disposal pursu-
ant to the authority in subsection (a) shall be made from materials 
in the National Defense Stockpile previously authorized for disposal 
by law and from the following materials in the National Defense 
Stockpile, such materials having been determined to be excess to 
stockpile requirements: 
Material 
Quantities 
Asbestos, chrysotile 
2,100 short tons 
Asbestos, crocidolite 
36 short tons 
Celestite 
13,500 short dry tons 
Iodine 
772,000 pounds 
Kyanite 
1,200 short dry tons 
Manganese dioxide, battery grade, natural ore 
65,000 short dry tons 
Mercury 
7,500 flasks 
Mica, muscovite block (S&L) 
181,000 pounds 
Mica, muscovite splittings 
750,000 pounds 
Mica, phlogopite splittings 
589,000 pounds 
Quartz 
1,249,000 pounds 
Silicon Carbide 
44,000 short tons 
Talc, block and lump 
990 short tons 
Talc, ground 
1,100 short tons 
Thorium nitrate 
6,520,000 pounds 
Tin 
5,000 metric tons 
Tungsten ores and concentrates 
1,000,000 pounds 
Vegetable tannin chestnut 
3,500 long tons 
V^etable tannin quebracho 
77,000 long tons. 
(c) DISPOSALS DURING FISCAL YEAR 1989.—The President may 
dispose of materials under this section during fiscal year 1989 only 
to the extent that the total amount received (or to be received) from 
such disposals does not exceed the amount expended from the 
National Defense Stockpile Transaction Fund during fiscal year 
1989 for purposes authorized under section 9(bX2) of such Act. 
102 STAT. 2086 
PUBLIC LAW 100-456—SEPT. 29, 1988 
President of U.S. 
Reports. 
SEC. 1502. AUTHORIZATION OF ACQUISITIONS 
(a) ACQUISITIONS.—During fiscal year 1989, the President shall 
obligate $180,000,000 out of the funds of the National Defense 
Stockpile Transaction Fund (subject to such limitations as may be 
provided in appropriations Acts) for the following purposes: 
(1) The acquisition of strategic £uid critical materials under 
section 6(aXl) of the Strategic and Critical Materials Stock 
Piling Act (50 U.S.C. 98e(aXl)). 
(2) Transportation, storage, and other incidental expenses 
related to such acquisition. 
(3) The upgrading of stockpile materials under section 6(aX3) 
of such Act (50 U.S.C. 98e(aX3)) and evaluations, tests, and other 
incidental expenses related to such ui^ades. 
(4) Other authorized uses of such funds under section 90^X2) of 
such Act (50 U.S.C. 98h(bX2)). 
(b) NEW UPGRADE PROGRAMS.—Of the amount specified in subsec-
tion (a), at least $20,000,000 shall be obligated to initiate new 
programs for upgrading stockpile materials. The Stockpile Manager 
shall submit to Congress by October 1, 1988, a report containing a 
plan for the use of such $20,000,000 for upgrading stockpile 
materials. 
SEC. 1503. TECHNICAL AND CLARIFYING AMENDMENTS 
(a) SEMI-ANNUAL REPORT.—Section 11(a) of the Strategic and Criti-
cal Materials Stock Piling Act (50 U.S.C. 98h-2(a)) is amended— 
(1) by redesignating paragraphs (3) and (4) as paragraphs (5) 
and (6), respectively; and 
(2) by inserting after paragraph (2) the following new 
paragraphs: 
"(3) information Avith respect to the activities by the Stockpile 
Manager to encourage the conservation, substitution, and devel-
opment of strategic and critical materials within the United 
States; 
"(4) information with respect to the research and develop-
ment activities conducted under sections 2 and 8;". 
(b) ANNUAL MATERIALS PLAN.—Section 11(b) of such Act (50 U.S.C. 
98h-20t))) is amended— 
(1) in the first sentence, by striking out "such fiscal year" and 
inserting in lieu thereof "the next Hscal year"; 
(2) in the second sentence, by striking out "planned" and all 
that follows through "critical materials" and inserting in lieu 
thereof "all planned expenditures from the National Defense 
Stockpile Transaction Fund"; and 
(3) by adding at the end the following new sentence: "Any 
proposed expenditure or disposal detailed in the annual mat^ 
rials plan for any such fiscal year, and any expenditure or 
disposal proposed in connection with any transaction submitted 
for such fiscal year to the appropriate committees of Congress 
pursuant to section 5(aX2), that is not obligated or executed in 
that fiscal year may not be obligated or executed until such 
proposed expenditure or disposal is resubmitted in a subsequent 
annual materials plan or is resubmitted to the appropriate 
committees of Congress in accordance with section 5(aX2), as 
appropriate.". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2087 
TITLE XVI—CIVIL DEFENSE 
SEC. 1601. AUTHORIZATION OF APPROPRIATION 
There is hereby authorized to be appropriated $147,893,000 for 
fiscal year 1989 for the purpose of canying out the Federal Civil 
Defense Act of 1950 (50 U.S.C. App. 2251 et seq.). 
DIVISION B—MILITARY CONSTRUCTION 
Sr^ction 
Authorization 
AUTHORIZATIONS 
SEC. 2001. SHORT TITLE. 
This division may be cited as the "Military Construction 
Authorization Act, 1989". 
TITLE XXI—ARMY 
SEC. 2101. AUTHORIZED 
CONSTRUCTION 
AND 
LAND 
ACQUISITION 
PROJECTS 
(a) INSIDE THE UNITED STATES.—The Secretary of the Army may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations inside the United States: 
ALABAMA 
Anniston Army Depot, $6,000,000. 
Fort McClellan, $7,900,000. 
Redstone Arsenal, $14,800,000. 
Fort Rucker, $2,110,000. 
ALASKA 
Fort Wainwright, $29,740,000. 
Fort Richardson, $6,250,000. 
ARIZONA 
Fort Huachuca, $1,200,000. 
ARKANSAS 
Pine Bluff Arsenal, $7,500,000. 
CAUFORNIA 
Fort Ord, $13,050,000. 
Sierra Army Depot, $380,000. 
COLORADO 
Pueblo Army Depot, $3,200,000. 
DISTRICT OF COLUMBIA 
Walter Reed Army Medical Center, $1,600,000. 
Act, 1989. 
102 STAT. 2088 
PUBLIC LAW 100-456—SEPT. 29, 1988 
GEORGIA 
Fort Benning, $24,350,000. 
HAWAII 
Fort Shafter, $7,200,000. 
Schofield Barracks, $8,500,000. 
ILUNOIS 
Rock Island Arsenal, $10,980,000. 
Savanna Army Depot, $2,270,000. 
Fort Sheridan, $3,280,000. 
KENTUCKY 
Fort Campbell, $20,500,000. 
Lexington-Bluegrass Depot, $770,000. 
MARYLAND 
Aberdeen Proving Ground, $17,000,000. 
Fort Detrick, $6,500,000. 
Fort Ritchie, $9,100,000. 
NEW JERSEY 
Fort Dix, $6,200,000. 
NEW YORK 
United States Military Academy, West Point, $11,150,000. 
NORTH CAROUNA 
Fort Bragg, $36,602,000. 
OKLAHOMA 
Fort Sill, $3,700,000. 
OREGON 
Umatilla Army Depot, $3,600,000. 
PENNSYLVANIA 
Letterkenny Army Depot, $1,900,000. 
TEXAS 
Fort Bliss, $3,800,000. 
Corpus Christi Army Depot, $7,400,000. 
Fort Hood, $15,900,000. 
Red River Army Depot, $88,400,000. 
Fort Sam Houston, $3,250,000. 
UTAH 
Dugway Proving Ground, $12,800,000. 
Tooele Army Depot, $92,300,000. 
VIRGINIA 
Fort A.P. Hill, $9,900,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2089 
Fort Eustis, $5,000,000. 
Fort Lee, $4,800,000. 
Fort Pickett, $4,000,000. 
Vint Hill Farms Station, $800,000. 
WASHINGTON 
Fort Lewis, $19,800,000. 
WISCONSIN 
Fort McCoy, $2,100,000. 
VARIOUS LOCATIONS 
Oassified Locations, $3,600,000. 
db) OUTSIDE T
H
E UNITED STATES.—^The Secretary of the Army may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following instsdlations 
and locations outside the United States: 
GERMANY 
Ansbach, $15,000,000. 
Friedberg, $1,300,000. 
Giessen, $6,300,000. 
Grafenwoehr Training Area, $7,000,000. 
Hohenfels Training Area, $36,960,000. 
Karlsruhe, $2,550,000. 
Mainz, $19,550,000. 
Mannheim, $14,400,000. 
Rheinberg, $12,400,000. 
Schwemfurt, $9,700,000. 
Stuttgart, $3,350,000. 
Vilseck, $44,600,000. 
Wiesbaden, $13,900,000. 
Worms, $1,300,000. 
Wuerzburg, $33,650,000. 
Various Locations, $18,000,000. 
HONDURAS 
Site 5, $3,050,000. 
ITALY 
Various Locations, $1,250,000. 
JAPAN 
Various Locations, $7,900,000. 
Various Locations, $5,300,000. 
KOREA 
Camp Casey, $3,700,000. 
Camp Gary Owen, $1,150,000. 
Camp Greaves, $1,540,000. 
Camp Hovey, $3,200,000. 
Camp Kittyhawk, $1,350,000. 
Camp Libby, $1,150,000. 
102 STAT. 2090 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Camp Page, $670,000. 
Camp Sears, $1,100,000. 
Camp Stanley, $1,200,000. 
Camp Stanton, $1,400,000. 
K-16 Army Airfield, $670,000. 
Taegu, $990,000. 
Yongsan, $1,400,000. 
Various Locations, $6,200,000. 
Various Locations, $9,200,000. 
KWAJALEIN 
Kwajalein, $15,490,000. 
VARIOUS LOCATIONS 
Various Locations, $9,750,000. 
SEC. 2102. FAMILY HOUSING 
(a) CONSTRUCTION AND ACQUISITION.—The Secretary of the Army 
may, using amounts appropriated pursuant to section 2105(a)(6XA), 
construct or acquire family housing units (including land acquisi-
tion) at the following installations in the number of units shown, 
and in the amount shown, for each installation: 
Fort Wainwright, Alaska, one hundred and fifty units, 
$27,000,000. 
Fort Irwin, California, two hundred and sixty-three units, 
$24,000,000. 
Helemano, Hawaii, one hundred units, $11,400,000. 
Schofield Barracks, Hawaii, forty units, $4,450,000. 
Fort Leavenworth, Kansas, two hundred and seventy-two 
units, $20,000,000. 
Fort Drum, New York, one hundred units, $10,000,000. 
Fort Bliss, Texas, one hundred and eight units, $9,100,000. 
Augsburg, Germany, thirty-four units, as described in section 
2103(b). 
Hohenfels, Germany, eighty-eight units, $8,400,000. 
(b) PLANNING AND DESIGN.—The Secretary of the Army may, 
using amounts appropriated pursuant to section 2105(a)(6)(A), carry 
out architectural and engineering services and construction design 
activities with respect to the construction or improvement of family 
housing units in an amount not to exceed $10,628,000. 
SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS 
(a) IN GENERAL.—Subject to section 2825 of title 10, United States 
Code, the Secretary of the Army may, using amounts appropriated 
pursuant to section 2105(aX6XA), improve existing military family 
housing units in an amount not to exceed $72,300,000. 
(b) WAIVER OF MAXIMUM PER COST FOR CERTAIN IMPROVEMENT 
PROJECTS.—Notwithstanding the maximum amount per unit for an 
improvement project under section 2825(b) of title 10, United States 
Code, the Secretary of the Army may carry out projects to improve 
existing military family housing units at the following installations 
in the number of units shown, and in the amount shown, for each 
installation: 
Pearl Harbor, Hawaii, eight units, $550,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2091 
Augsburg, Germany, convert unused attic space and upgrade 
fourteen units into forty-eight adequate units, as authorized in 
section 2102(a), $3,360,000. 
Taegu, Korea, ninety-six units, $4,450,000. 
SEC. 2104. DEFENSE ACCESS ROADS 
The Secretary of the Army may, using amounts appropriated 
pursuant to section 2105(aX4), make advances to the Secretary of 
Transportation for the construction of defense access roads under 
section 210 of title 23, United States Code, at Fort Belvoir, Virginia, 
in the amount of $1,000,000. 
SEC. 2105. AUTHORIZATION OF APPROPRIATIONS, ARMY 
(a) IN GENERAL.—Funds are hereby authorized to be appropriated 
for fiscal years beginning after September 30, 1988, for military 
construction, land acquisition, and military family housing func-
tions of the Department of the Army in the total amount of 
$2,417,701,000 as follows: 
(1) For military construction projects inside the United States 
authorized by section 2101(a), $463,182,000. 
(2) For military construction projects outside the United 
States authorized by section 2101(b), $299,620,000. 
(3) For unspecified minor construction projects under section 
2805 of title 10, United States Code, $16,200,000. 
(4) For advances to the Secretary of Transportation for 
construction of defense access roads under section 210 of title 
23, United States Code, $1,000,000. 
(5) For architectural and engineering services and construc-
tion design under section 2807 of title 10, United States (Hode, 
$98,328,000. 
(6) For military family housing functions— 
(A) for construction and acquisition of military family 
housing facilities, $197,278,000; 
(B) for support of military family housing (including the 
functions described in section 2833 of title 10, United States 
Code), $1,340,093,000, of which not more than $52,190,000 
may be obligated or expended for the leasing of military 
family housing in the United States, the Commonwealth of 
Puerto Rico, and Guam, and not more than $183,600,000 
may be obligated or expended for the leasing of military 
family housing units in foreign countries; and 
(C) for 
the 
Homeowners 
Assistance 
Program 
as 
authorized by section 2832 of title 10, United States Ck)de, 
$2,000,000, to remain in effect until expended. 
(b) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS.—Not-
withstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by 
law, the total cost of all projects carried out under section 2101 of 
this Act may not exceed— 
(1) the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a); and 
(2) $78,000,000 (the balance of the amount authorized for the 
construction of the Central Distribution Center, Red River 
Army Depot, Texas). 
102 STAT. 2092 
PUBLIC LAW 100-456—SEPT. 29, 1988 
SEC. 2106. EXTENSION OF CERTAIN PRIOR YEAR AUTHORIZATIONS 
(a) EXTENSION OF AUTHORIZATION OF CERTAIN FISCAL YEAR 
1985 
PROJECTS.—Notwithstanding the provisions of section 607(a) of the 
Military Construction Authorization Act, 1985 (Public Law 98-407, 
98 Stat. 1515), authorizations for the following projects authorized in 
section 101 of that Act, as extended by section 2107(a) of the Military 
Construction Authorization Act, 1987 (division B of Public Law 
99-661) and section 2105(a) of the Military (Construction Authoriza-
tion Act, 1988 and 1989 (division B of Public Law 100-180) shall 
remain in effect until October 1,1989, or the date of enactment of an 
Act authorizing funds for military construction for fiscal year 1990, 
whichever is later: 
(1) Barracks modernization in the amount of $660,000 at 
Aigyroupolis, Greece. 
(2) Barracks modernization in the amount of $660,000 at 
Perivolaki, Greece. 
(3) Barracks with dining facility in the £unount of $11,400,000 
at Presidio of San Francisco, (California. 
(b) ElXTENSION OF AUTHORIZATION OF CERTAIN FiSCAL Y E A R 1986 
PROJECTS.—Notwithstanding the provisions of section 603(a) of the 
Militaiy Construction Authorization Act, 1986 (Public Law 99-167), 
authorizations for the following projects authorized in sections 101 
and 102 of that Act as extended by section 2105(b) of the Military 
(Construction Authorization Act, 1988 and 1989 (division B of Public 
Law 99-180), shall remain in effect untU October 1,1989, or the date 
of enactment of an Act authorizing funds for military construction 
for Hscal year 1990, whichever is later: 
(1) (Child care center in the amount of $470,000 at Karlsruhe, 
Germany. 
(2) Modified record fire range in the amount of $2,850,000 at 
Nuernberg, (jermany. 
(3) Flight simulator building in the amoimt of $2,900,000 at 
Wiesbaden, (Jermany. 
(4) Air conditioning upgrade in the amount of $5,900,000 at 
Schofield Barracks, Hawaii. 
(5) (Child care center in the amount of $1,350,000 at Camp 
Darby, Italy. 
(6) Dining facility modernization in the amount of $4,350,000 
at Fort Leavenworth, Kansas. 
(7) Family housing, new construction, 6 units, in the amount 
of $596,000 at Fort Myer, Virginia. 
(C) EbCTENSION OF AUTHORIZATION OF (CERTAIN FiSCAL Y E A R 1987 
PROJECTS.—Notwithstanding the provisions of section 2701(a) of the 
Military (Construction Authorization Act, 1987, (division B of Public 
Law 99-661), authorizations for the following projects authorized in 
sections 2101, 2102, and 2103 of that Act shall remain in effect until 
October 1, 1989, or the date of the enactment of an Act authorizing 
funds for military construction for fiscal year 1990, whichever is 
later: 
(1) Primary water supply connection in the amount of 
$2,150,000 at Fort Riley, Kansas. 
(2) Material test facility in the amount of $9,700,000 at 
Dugway Proving Ground, Utah. 
(3) Barracks modernization in the amount of $3,700,000 at 
foreign various location 276. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2093 
(4) Dining facility in the amount of $2,100,000 at Giessen, 
Germany. 
(5) Aircraft maintenance hangar in the amount of $7,100,000 
at Hanau, Germany. 
(6) Seventy manufactured home spaces in the amount of 
$1,100,000 at Aberdeen Proving Ground, Maryland. 
(7) Family housing, new construction, 40 units in the amount 
of $4,100,000 at Crailsheim, Germany. 
TITLE XXII—NAVY 
SEC. 2201. AUTHORIZED 
CONSTRUCTION 
AND LAND 
ACQUISITION 
PROJECTS 
(a) INSIDE THE UNITED STATES.—The Secretary of the Navy may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations inside the United States: 
ALABAMA 
Naval Station, Mobile, $19,700,000. 
ALASKA 
David 
Taylor 
Research 
Center 
Detachment, 
Ketchikan, 
$12,000,000. 
Naval Air Station, Adak, $29,000,000. 
ARIZONA 
Marine Corps Air Station, Yuma, $11,770,000. 
CAUFORNIA 
Marine Corps Air-Ground Combat Center, Twentynine Palms, 
$26,630,000. 
Marine Corps Air Station, Camp Pendleton, $9,450,000. 
Marine Corps Air Station, El Toro, $3,970,000. 
Marine Corps Air Station, Tustin, $10,990,000. 
Marine Corps Base, Camp Pendleton, $64,460,000. 
Marine Corps Logistics Base, Barstow, $1,190,000. 
Mountain Warfare Training Center, Bridgeport, $3,200,000. 
Naval Air Station, Moffett Field, $650,000. 
Naval Air Station, North Island, $6,150,000. 
Naval Amphibious Base, Coronado, $870,000. 
Naval Amphibious School, San Diego, $10,100,000. 
Naval Aviation Depot, Alameda, $8,290,000. 
Naval Aviation Depot, North Island, $2,110,000. 
Naval Construction Battalion Center, Port Hueneme, $7,000,000. 
Naval Construction Training Center, Port Hueneme, $10,080,000. 
Naval Hospital, Lemoore, $2,160,000. 
Naval Ocean Systems Center, San Diego, $8,660,000. 
Naval Post Graduate School, Monterey, $3,140,000. 
Naval Civil Engineer Corps Officers School, Port Hueneme, 
$7,420,000. 
Naval Security Group Detachment, San Diego, $1,950,000. 
Naval Shipyard, Mare Island, $6,450,000. 
Naval Space Surveillance Field Station, San Diego, $3,760,000. 
102 STAT. 2094 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Naval Station, Treasure Island, San Francisco, $5,000,000. 
Naval Submarine Base, San Diego, $3,150,000. 
Naval Supply Center, Oakland, $1,550,000. 
Naval Supply Center, San Diego Annex, North Island, $1,695,000. 
Naval Training Center, San Diego, $7,980,000. 
Naval Weapons Center, China Lake, $12,260,000. 
Naval Weapons Station, Seal Beach, $13,890,000. 
Navy Public Works Center, San Diego, $500,000. 
Navy Public Works Center, San Francisco, $15,810,000. 
Pacific Missile Test Center, Point Mugu, $20,470,000. 
Personnel Support Activity, San Diego, $1,180,000. 
Shore Intermediate Maintenance Activity, San Diego, $10,720,000. 
Submarine Training Facility, San Diego, $10,301,000. 
CONNECTICUT 
Naval Security Group Activity, Groton, $1,170,000. 
Naval Submarine Base, New London, $6,660,000. 
DISTRICT OF COLUMBIA 
Commandant, Naval District Washington, $38,100,000. 
Naval Research Laboratory, Washington, $19,800,000. 
FLORIDA 
Naval Air Station, Cecil Field, $340,000. 
Naval Air Station, Jacksonville, $8,810,000. 
Naval Air Station, Key West, $850,000. 
Naval Air Station, Pensacola, $25,600,000. 
Naval Aviation Depot, Jacksonville, $14,180,000. 
Naval Hospital, Pensacola, $2,250,000. 
Naval Legal Service Office, Mayport, $1,450,000. 
Naval Station, Mayport, $3,060,000. 
Naval Supply Center, Pensacola, $2,640,000. 
Naval Technical Training Center, Pensacola, $2,840,000. 
Naval Training Center, Orlando, $23,810,000. 
GEORGIA 
Marine Corps Logistics Base, Albany, $5,740,000. 
Naval Submarine Base, Kings Bay, $56,330,000. 
HAWAII 
Marine Corps Air Station, Kaneohe Bay, $24,270,000. 
Naval Legal Service Office, Pearl Harbor, $2,380,000. 
Naval Station, Pearl Harbor, $8,370,000. 
Naval Submarine Base, Pearl Harbor, $11,250,000. 
Naval Submarine Training Center, Pacific, Pearl 
Harbor, 
$1,780,000. 
Naval Supply Center, Pearl Harbor, $8,350,000. 
Navy Public Works Center, Pearl Harbor, $3,760,000. 
ILUNOIS 
Naval Training Center, Great Lakes, $3,440,000. 
Naval Public Works Center, Great Lakes, $1,930,000. 
PUBLIC LAW 100-456—SEPT. 29,1988 
102 STAT. 2095 
\ 
KENTUCKY 
Naval Ordnance Station, Louisville, $19,000,000. 
LOUISIANA 
Naval station, Lake Charles, $3,700,000. 
MAINE 
Naval Air Station, Brunswick, $530,000. 
ICABTLAND 
David Taylor Naval Ship Research Development Center, 
Annapolis, $1,860,000. 
Naval Academy, Annapolis, $540,000. 
Naval Air Test Center, Patuxent River, $1,250,000. 
Naval Explosive Ordnance Disposal Technology Center, Indian 
Head, $7,380,000. 
Naval 
Litelligence 
Command 
Headquarters, 
Suitland, 
$114,000,000. 
Naval Medical Data Services Center, Bethesda, $5,930,000. 
Naval Ordnance Station, Indian Head, $1,270,000. 
Naval Surface Warfare Center Detachment, White Oak, 
$2,540,000. 
MISSISSIPPI 
Naval Air Station, Meridian, $3,100,000. 
Naval Construction Training Center, Gul^rt, $4,070,000. 
Naval Station, Pascagoula, $25,700,000. 
Supervisor of Shiiri[>uilding, Pascagoula, $6,000,000. 
NEVADA 
Naval Air Station, Fallon, $9,470,000. 
NEW JERSEY 
Naval Weapons Station, Earle, $30,400,000. 
NEW MEXICO 
Naval Ordnance Missile Test Station, White Sands, $8,090,000. 
NEW YORK 
Naval Station, New York, $23,395,000. 
NORTH CAROLINA 
Marine Corps Air Station, Cherry Point, $32,380,000. 
Marine Corps Air Station, New River, $8,400,000. 
Marine Corps Base, Camp Lejeune, $23,450,000. 
OKLAHOMA 
Naval Air Detachment, Tinker Air Force Base, $38,080,000. 
102 STAT. 2096 
PUBLIC LAW 100-456—SEPT. 29, 1988 
PENNSYLVANIA 
Naval Air Development Center, Warminster, $1,270,000. 
Naval Shipyard, Philadelphia, $10,300,000. 
Navy Aviation Supply Office, Philadelphia, $1,400,000. 
Navy Ships Parts Control Center, Mechanicsburg, $2,050,000. 
RHODE ISLAND 
Naval Education and Training Center, Newrport, $11,560,000. 
Naval Justice School, Newport, $2,060,000. 
Surface Warfare Officers School Command, Newport, $4,750,000. 
SOUTH CAROUNA 
Naval Hospital, Beaufort, $2,260,000. 
Naval Shipyard, Charleston, $640,000. 
Naval Supply Center, Charleston, $1,090,000. 
Naval Weapons Station, Charleston, $22,250,000. 
TENNESSEE 
Naval Air Station, Memphis, $10,090,000. 
TEXAS 
Naval Station, Galveston, $8,110,000. 
Naval Station, Ingleside, $31,850,000. 
VIRGINIA 
Atlantic Fleet Headquarters Support Activity, Norfolk, $1,700,000. 
Fleet Combat Training Center, Atlantic, Dam Neck, $4,700,000. 
Marine 
Corps 
Combat 
Development 
Commemd, 
Quantico, 
$14,290,000. 
Marine Corps Detachment, Camp Elmore, $1,690,000. 
Marine Environmental Systems Facility, Dam Neck, $5,000,000. 
Naval Air Station, Oceana, $2,690,000. 
Naval Amphibious Base, Little Creek, $8,270,000. 
Naval Amphibious School, Little Creek, $640,000. 
Naval Aviation Depot, Norfolk, $8,950,000. 
Naval Guided Missiles School, Dam Neck, $4,450,000. 
Naval Legal Service Office, Norfolk, $1,080,000. 
Naval Medical Clinic, Norfolk, $2,470,000. 
Naval Ophthalmic Support and Training Activity, Yorktown, 
$1,970,000. 
Naval 
Security 
Group 
Activity, 
Northwest, 
Chesapeake, 
$5,400,000. 
Naval Supply Center, Norfolk, $6,660,000. 
Naval Supply Center, Williamsburg, $3,300,000. 
Naval Surface Warfare Center, Dahlgren, $25,442,000. 
Naval Weapons Station, Yorktown, $12,360,000. 
Navy Public Works Center, Norfolk, $4,410,000. 
WASHINGTON 
Naval Air Station, Whidbey Island, $11,010,000. 
Naval Station, Everett, $38,400,000. 
Naval Supply Center, Bremerton, $5,740,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2097 
Strategic Weapons Facility, Pacific, Silverdale, $15,060,000. 
Trident Refit Facility, Bangor, $990,000. 
VARIOUS LOCATIONS 
Land Acquisition, $36,895,000. 
(b) OUTSIDE THE UNITED STATES.—The Secretary of the Navy may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations outside the United States: 
ANTIGUA 
Naval Support Facility, $6,470,000. 
GUAM 
Fleet Surveillance Support Group, $20,972,000. 
Naval Security Group Detachment, $400,000. 
Naval Supply Depot, $7,660,000. 
Navy Public Works Center, $6,720,000. 
ICELAND 
Naval Air Station, Keflavik, $12,000,000. 
ITALY 
Naval Air Station, Sigonella, $7,950,000. 
Naval Support Activity, Naples, $4,750,000. 
JAPAN 
Marine Corps Air Station, Futenma, Okinawa, $3,280,000. 
Marine Corps Base, Camp Butler, Okinawa, $2,840,000. 
PHIUPPINES 
Navy Public Works Center, Subic Bay, $28,340,000. 
SPAIN 
Naval Communication Station, Rota, $400,000. 
VARIOUS LOCATIONS 
Classified Location, $4,990,000. 
Host Nation Infrastructure Support, $500,000. 
SEC. 2202. FAMILY HOUSING 
(a) CONSTRUCTION AND ACQUISITION.—The Secretary of the Navy 
may, using amounts appropriated pursuant to section 2205(a)(6)(A), 
construct or acquire family housing units (including land acquisi-
tion), at the following installations in the number of units shown, 
and in the amount shown, for each installation: 
Marine Corps Air-Ground Combat Center, Twentynine Palms, 
California, one hundred units, $9,470,000. 
Marine Corps Air Station, El Toro, California, one hundred 
units and eighty mobile home spaces, $10,120,000. 
102 STAT. 2098 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Marine Corps Base, Camp Pendleton, California, three hun-
dred and thirty-two units and access roads, $28,510,()00. 
Naval Station, Long Beach, California, three hundred units, 
$26,110,000. 
Naval Public Works Center, San Diego, California, three 
hundred and fifty-six units, $31,830,000. 
Navy Public Works Center, San Francisco, California, three 
hundred units, $35,736,000. 
Naval Submarine Base, Kings Bay, Georgia, two hundred and 
fifty units, $19,860,000. 
Naval Air Station, Glenview, Illinois, two hundred and sixty 
units, $23,000,000. 
Naval Station, New York, New York, one hundred and fifty 
units, $14,900,000. 
Naval District Washington, District of Columbia, two units at 
2,100 square feet each, $330,000. 
flt>) PLANNING AND DESIGN.—The Secretary of the Navy may carry 
out architectural and engineering services and construction design 
activities, using 
amounts 
appropriated 
pursuant 
to 
section 
2205(aX6XA), with respect to the construction or improvement of 
military family housing units in an amount not to exc^d $2,315,000. 
SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS 
(a) IN GENERAL.—Subject to section 2825 of title 10, United States 
Code, the Secretary of the Navy may, using amoimte appropriated 
pursuant to section 2205(aX6XA), improve existing military family 
housing imits in an amount not to exceed $61,589,000. 
(b) WAIVER OF MAXIMUM PER UNIT COST FOR CERTAIN IMPROVE-
MENT PROJECTS.—Notwithstanding the maximum amount per unit 
for an improvement project under section 28250t)) of title 10, United 
States Code, the Secretary of the Navy may carry out projects to 
improve existing military family housing units at the following 
installations in the number of units shown, and in the amount 
shown, for each installation: 
Navy Public Works Center, San Di^o, California, six units, 
$284,400. 
Navy Public Works Center, Pensacola, Florida, one unit, 
$34,900. 
Navy Public Works Center, Great Lakes, Illinois, three hun-
dred and fifty-six units, $17,214,000. 
Navy Public Works Center, Great Lakes, Illinois, one hundred 
and two units, $6,181,200. 
Naval Security Group Activity, Winter Harbor, Maine, thirty 
units, $2,920,600. 
Naval Security Group Activity, Winter Harbor, Maine, 
twenty units, $920,000. 
Naval Air Station, Fallon, Nevada, one hundred and six units, 
$8,129,300. 
Marine Corps Air Station, Cherry Point, North Carolina, two 
units, $94,300. 
Marine Corps Air Station, Cherry Point, North Carolina, two 
hundred and eighty-two units, $11,957,200. 
Navy Ships Parts Control Center, Mechanicsburg, Pennsylva-
nia, seventy-five units, $5,415,500. 
Naval Air Station, Whidbey Island, Washington, eleven units, 
$632,600. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2099 
Navy Public Works Center, Guam, two hundred and twelve 
units, $18,473,800. 
SEC. 2204. DEFENSE ACCESS ROADS 
The Secretary of the Navy may, using amounts appropriated 
pursuant to section 2205(aX5), make advances to the Secretary of 
Transportation for the construction of defense access roads under 
section 210 of title 23, United States Code, at the following locations 
and in the following amounts: 
Marine Corps Air Ground Center, Twentynine Palms, Califor-
nia, $2,900,000. 
Navy Public Works Center, San Diego, California, $719,000. 
Navy Public Works Center, San Francisco, California, 
$800,000. 
Naval Station, Everett, Washington, $4,400,000. 
Naval Submarine Base, Kings Bay, Georgia, $3,000,000. 
SEC. 2205. AUTHORIZATION OF APPROPRIATIONS, NAVY 
(a) IN GENERAL.—Funds are hereby authorized to be appropriated 
for fiscal years beginning after September 30, 1988, for military 
construction, land acquisition, and military family housing func-
tions of the Department of the Navy in the total amount of 
$2,369,875,000 as follows: 
(1) For military construction projects inside the United States 
authorized by section 2201(a), $1,296,450,000. 
(2) For military construction projects outside the United 
States authorized by section 2201(b), $101,272,000. 
(3) For unspecified minor construction projects under section 
2805 of title 10, United States Code, $16,300,000. 
(4) For architectural and engineering services and construc-
tion design under section 2807 of title 10, United States C!ode, 
$138,276,000. 
(5) For advances to the Secretary of Transportation for 
construction of defense access roads under section 210 of title 
23, United States Code, $11,819,000. 
(6) For military family housing functions— 
(A) for construction and acquisition of military family 
housing and facilities, $250,770,000; and 
(B) for support of military housing (including functions 
described in section 2833 of title 10, United States Code), 
$554,988,000 of which not more than $18,434,000 may be 
obligated or expended for the leasing of military family 
housing in the United States, the Commonwealth of Puerto 
Rico, and Guam, and not more than $23,982,000 may be 
obligated or expended for the leasing of military family 
housing units in foreign countries. 
(b) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS.—Not-
withstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by 
law, the total cost of all projects carried out under section 2201 of 
this Act may not exceed— 
(1) the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a); and 
(2) $55,048,000 (the balance of the amount authorized for the 
construction of the Headquarters Building, Naval Intelligence 
Command Headquarters, Suitland, Maryland). 
102 STAT. 2100 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(c) RESTRICTION ON CERTAIN FUNDING.—None of the funds appro-
priated pursuant to subsection (aXD may be obligated for use or 
expended at Hunters Point Annex, Naval Station, Treasure Island, 
San Francisco, California, until the Secretary of the Navy has 
\ . 
transmitted to the Committees on Armed Services of the Senate and 
the House of Representatives a report containing (1) a description of 
the activities planned by the Department of the Navy at such 
location during fiscal years 1989 through 1993, and (2) a statement 
explaining the environmental impact of such activities, especially 
with respect to the planned porting of ships and the development of 
the land at such location during such fiscal years. 
SEC. 2206. ACQUISITION OF HOUSING AT CERTAIN NAVAL AIR STATIONS 
(a) AUTHORITY TO ACQUIRE.—(1) The Secretary of the Navy may, 
using funds appropriated pursuant to section 2205(aX6XA), acquire 
all right, title, and interest in and to 264 family housing units 
situated on the Naval Air Station at Glenview, Illinois, and con-
structed in 1956 with financing provided under title VIII of the 
National Housing Act. 
Reports. 
(2) The Secretary of the Navy may, using funds that remain 
available from savings realized in carrying out military family 
housing projects of the Department of the Navy during any fiscal 
year before fiscal year 1990, acquire all right, title, and interest in 
and to 72 family housing units at Sunnjrvale, California, near the 
Naval Air Station, Moffett Field, which were constructed in 1952 
with financing provided under title VIII of the National Housing 
Act, except that no such funds may be obligated for such purpose 
until the expiration of 30 days after the date on which the Secretary 
transmits to the Committees on Armed Services and on Appropria-
tions of the Senate and the House of Representatives a report on the 
proposed obligation of such funds. 
(3) The Secretary may also acquire the leasehold interests in the 
housing units referred to in paragraphs (1) and (2) which are held in 
private ownership. 
(4) The amount paid by the Secretary for such units and leasehold 
interests may not exceed an amount equal to the fair market value 
of such units and interests. 
(5) The authority to acquire the housing units referred to in 
paragraphs (1) and (2) shall include the authority to acquire other 
real property improvements related to such units. 
(b) OCCUPANCY CHARGES.—(1) Notwithstanding any other provi-
sion of law and except as provided in paragraph (2), a charge may be 
made against the basic allowances for quarters of any member of 
the Armed Forces to whom a housing unit referred to in subsection 
(a) is leased after the acquisition of the privately held leasehold 
interest in such unit by the Secretary. Such a charge may not exceed 
an amount equal to 75 percent of the amount of the basic allowances 
for quarters to which the member is entitled. 
(2) A member of the Armed Forces who, on the date on which the 
privately held leasehold interest referred to in subsection (a) is 
acquired by the Secretary, has in effect an unexpired lease on one of 
the housing units described in subsection (a) shall be charged rent 
on such unit (after such acquisition) in accordance with the terms of 
the lease until the lease expires. 
(c) EXPIRATION OF ACQUISITION AUTHORITY.—The authority under 
this section for the Secretary to acquire the leeisehold interests 
referred to in subsection (a) shall expire on October 1, 1994. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2101 
TITLE XXIII—AIR FORCE 
SEC 2301. AUTHORIZED 
CONSTRUCTION 
AND 
LAND 
ACQUISITION 
PROJECTS 
(a) INSIDB THE UNITED STATES.—The Secretary of the Air Force 
may acquire real property and may carry out military construction 
projects in the amounts shown for each of the installations and 
locations inside the United States: 
ALABAMA 
Gunter Air Force Base, $8,150,000. 
Maxwell Air Force Base, $17,800,000. 
ALASKA 
Eielson Air Force Base, $7,650,000. 
Elmendorf Air Force Base, $20,540,000. 
King Salmon Airport, $2,850,000. 
Shemya Air Force Base, $14,860,000. 
ARIZONA 
Davis-Monthan Air Force Base, $980,000. 
Luke Air Force Base, $4,550,000. 
Williams Air Force Base, $11,130,000. 
ARKANSAS 
Blytheville Air Force Base, $2,150,000. 
Little Rock Air Force Base, $4,550,000. 
CALIFORNIA 
Beale Air Force Base, $8,900,000. 
Castle Air Force Base, $20,400,000. 
Edwards Air Force Base, $5,200,000. 
George Air Fort» Base, $23,550,000. 
March Air Force Base, $4,900,000. 
Mather Air Force Base, $2,740,000. 
McOellan Air Force Base, $3,080,000. 
Qnizuka Air Force Base, $4,300,000. 
Travis Air Force Base, $10,400,000. 
Vandenbeig Air Force Base, $8,550,000. 
CX>LORADO 
Buckley Air National Guard Base, $25,800,000. 
Cheyenne Mountain Complex, $6,500,000. 
Lowry Air Force Base, $12,000,000. 
Peterson Air Force Base, $13,300,000. 
United States Air Force Academy, $10,240,000. 
DELAWARE 
Dover Air Force Base, $1,000,000. 
FLORIDA 
Avon P^u^ $3,700,000. 
102 STAT. 2102 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Cape Canaveral Air Force Station, $19,380,000. 
Eglin Air Force Base, $11,020,000. 
Eglin Air Force Base, Auxiliary Field 9, $27,400,000. 
Homestead Air Force Base, $6,200,000. 
MacDill Air Force Base, $4,580,000. 
Patrick Air Force Base, $1,126,000. 
Tyndall Air Force Base, $6,000,000. 
GEORGIA 
Moody Air Force Base, $800,000. 
Robins Air Force Base, $31,500,000. 
HAWAII 
Hickam Air Force Base, $4,250,000. 
IDAHO 
Mountain Home Air Force Base, $1,400,000. 
ILUNOIS 
Chanute Air Force Base, $6,500,000. 
Scott Air Force Base, $14,500,000. 
INDIANA 
Grissom Air Force Base, $1,850,000. 
KANSAS 
McConnell Air Force Base, $680,000. 
LOUISIANA 
Barksdale Air Force Base, $7,300,000. 
England Air Force Base, $3,100,000. 
MAINE 
Loring Air Force Base, $3,000,000. 
MARYLAND 
Andrews Air Force Base, $2,550,000. 
MASSACHUSETTS 
Hanscom Air Force Base, $12,400,000. 
MICHIGAN 
Wurtsmith Air Force Base, $10,690,000. 
MISSISSIPPI 
Columbus Air Force Base, $2,950,000. 
Keesler Air Force Base, $4,550,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2103 
MISSOURI 
Whiteman Air Force Base, $64,300,000. 
MONTANA 
Malmstrom Air Force Base, $19,470,000. 
NEBRASKA 
Offutt Air Force Base, $2,450,000. 
NEVADA 
Indian Springs, $3,150,000. 
Nellis Air Force Base, $6,700,000. 
NEW HAMPSHIRE 
New Boston Air Force Station, $4,500,000. 
Pease Air Force Base, $10,950,000. 
NEW JERSEY 
McGuire Air Force Base, $3,550,000. 
NEW MEXICO 
Cannon Air Force Base, $4,100,000. 
Holloman Air Force Base, $2,900,000. 
Kirtland Air Force Base, $13,000,000. 
NEW YORK 
Griffiss Air Force Base, $700,000. 
NORTH CAROUNA 
Se3anour Johnson Air Force Base, $3,050,000. 
NORTH DAKOTA 
Grand Forks Air Force Base, $13,290,000. 
Minot Air Force Base, $6,250,000. 
OHIO 
Wright-Patterson Air Force Base, $11,455,000. 
OKLAHOMA 
Altus Air Force Base, $2,300,000. 
Tinker Air Force Base, $12,650,000. 
SOUTH CAROUNA 
Charleston Air Force Base, $5,000,000. 
SOUTH DAKOTA 
Ellsworth Air Force Base, $8,650,000. 
102 STAT. 2104 
PUBLIC LAW 100-456—SEPT. 29, 1988 
TENNESSEE 
Arnold Ehigineermg Development Center, $213,800,000. 
TEXAS 
Beigstrom Air Force Base, $2,800,000. 
Brooks Air Force Base, $2,750,000. 
Carswell Air Force Base, $3,500,000. 
Dyess Air Force Base, $3,470,000. 
Goodfellow Air Force Base, $2,350,000. 
Kelly Air Foice Base, $29,300,000. 
Lackland Air Force Base, $14,039,000. 
Laugfalin Air Force Base, $1,910,000. 
Randolph Air Force Base, $6,150,000. 
Reese Air Force Base, $990,000. 
Sheppaid Air Force Base, $10,700,000. 
UTAH 
Hill Air Force Base, $10,740,000. 
WASHINGTON 
Fairchild Air Force Base, $17,580,000. 
McChord Air Force Base, $13,100,000. 
WYOMING 
F.E. Warren Air Force Base, $6,000,000. 
VARIOUS LOCATIONS 
Base 80, $987,000. 
Base 81, $2,800,000. 
aassified, $4,000,000. 
(b) OUTSIDE THE UNITED STATES.—^The Secretary of the Air Force 
may acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations outside the United States: 
BELGIUM 
Kleine Brogel, $1,900,000. 
CANADA 
Forward Operation Locations, $600,000. 
GERMANY 
Bitburg Air Base, $1,060,000. 
Einsiedlerhof Air Base, $1,500,000. 
Hahn Air Base, $16,650,000. 
Hessich-Oldendorf Air Station, $740,000. 
Norvenich Air Base, $2,300,000. 
Pruem Air Station, $620,000. 
Ramstein Air Base, $6,000,000. 
Rhein-Main Air Base, $5,000,000. 
Sembach Air Base, $3,550,000. 
Spangdahlem Air Base, $10,270,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2105 
Wenigerath Air Base, $1,700,000. 
Zweibrucken Air Base, $1,300,000. 
GREENLAND 
Sondrestrom Air Base, $5,950,000. 
Thule Air Base, $1,830,000. 
GUAM 
Anderson Air Force Base, $900,000. 
ICELAND 
Naval Air Station, Keflavik, $1,100,000. 
ITALY 
Aviano Air Base, $7,600,000. 
JAPAN 
Kadena Air Base, $1,850,000. 
Misawa Air Base, $4,550,000. 
Yokota Air Base, $500,000. 
KOREA 
Camp Humphreys, $3,350,000. 
Kunsan Air Base, $17,330,000. 
Osan Air Base, $10,750,000. 
NETHERLANDS 
Camp New Amsterdam, $10,300,000. 
Volkel Air Base, $2,300,000. 
OMAN 
Masirah Air Base, $2,800,000. 
Seeb Air Base, $7,100,000. 
PANAMA 
Howard Air Force Base, $2,600,000. 
PHILIPPINES 
Clark Air Base, $28,940,000. 
PORTUGAL 
Lajes Field, $4,850,000. 
TURKEY 
Incirlik Air Base, $9,590,000. 
Pirinclik Air Station, $1,500,000. 
UNITED KINGDOM 
RAF Alconbury, $2,650,000. 
RAF Bentwaters, $5,430,000. 
RAF Feltwell, $500,000. 
RAF Lakenheath, $10,170,000. 
102 STAT. 2106 
PUBLIC LAW 100-456—SEPT. 29, 1988 
RAF Mildenhall, $7,150,000. 
RAF Upper Heyford, $3,830,000. 
RAF Welford, $3,720,000. 
VARIOUS LOCATIONS 
Base 30, $3,850,000. 
Base 79, $1,900,000. 
Base 82, $2,800,000. 
Classified Locations, $16,473,000. 
SEC. 2302. FAMILY HOUSING 
(a) CONSTRUCTION AND ACQUISITION.—The Secretary of the 
Air 
Force may, using amounts appropriated pursuant to section 
2304(a)(5)(A), construct or acquire two hundred sixty family housing 
units (including land acquisition) at Clark Air Base, Philippines, in 
the amount of $19,920,000. 
(b) PLANNING AND DESIGN.—The Secretary of the Air Force may, 
using amounts appropriated pursuant to section 2304(a)(5)(A), carry 
out architectural and engineering services and construction design 
activities with respect to the construction or improvement of mili-
tary family housing units in an amount not to exceed $7,000,000. 
SEC. 2303. IMPROVEMENT TO MILITARY FAMILY HOUSING UNITS 
(a) IN GENERAL.—Subject to section 2825 of title 10, United States 
Code, the Secretary of the Air Force may, using amounts appro-
priated pursuant to section 2304(a)(5)(A), improve existing military 
family housing units in an amount not to exceed $153,765,000. 
OD) WAIVER OF MAXIMUM PER UNIT COST FOR CERTAIN IMPROVE-
MENT PROJECTS.—Notwithstanding the maximum amount per unit 
for an improvement project under section 2825(b) of title 10, United 
States Code, the Secretary of the Air Force may carry out projects to 
improve existing military family housing units at the following 
installations in the number of units shown, and in the amount 
shown, for each installation: 
Gunter Air Force Station, Alabama, twenty-three units, 
$1,136,000. 
Maxwell Air Force Base, Alabama, fifty units, $2,722,000. 
Eielson Air Force Base, Alaska, ninety-six units, $7,943,000. 
Elmendorf 
Air 
Force 
Base, Alaska, 
forty-eight 
units, 
$3,818,000. 
Davis-Monthan Air Force Base, Arizona, one unit, $60,000. 
Luke Air Force Base, Arizona, one hundred and fifty-two 
units, $5,975,000. 
McClellan Air Force Base, California, thirty units, $3,207,000. 
Peterson Air Force Base, Colorado, one unit, $74,000; eighty 
units, $3,527,000. 
Boiling Air Force Base, District of Columbia, one hundred and 
ten units, $4,018,000. 
Eglin Air Force Base, Florida, fifty units, $2,138,000. 
MacDill Air Force Base, Florida, four units, $279,000. 
Robins Air Force Base, Georgia, one hundred and sixty units, 
$6,861,000. 
Scott Air Force Base, Illinois, four units, $184,000. 
Grissom Air Force Base, Indiana, one hundred and eighty-six 
units, $6,788,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2107 
Barksdale Air Force Base, Louisiana, two units, $185,000; one 
hundred and fourteen units, $6,200,000. 
England Air Force Base, Louisiana, one hundred and six 
units, $5,830,000. 
Andrews Air Force Base, Maryland, five units, $338,000. 
Pease Air Force Beise, New Hampshire, one unit, $121,000. 
McGuire Air Force Beise, New Jersey, one hundred units, 
$4,921,000. 
Kirtland Air Force Base, New Mexico, four units, $240,000; 
one hundred and fifteen units, $4,894,000. 
Plattsburgh Air Force Base, New York, one hundred and 
seventy-four units, $10,600,000. 
Minot Air Force Base, North Dakota, one unit, $65,000. 
Shaw Air Force Base, South Carolina, one hundred and thirty 
units, $4,703,000. 
Carswell Air Force Base, Texgis, one hundred and eighty-one 
units, $7,869,000; sixteen units, $600,000. 
Dyess Air Force Base, Texsis, one unit, $64,000. 
Kelly Air Force Base, Texas, one hundred and one units, 
$3,381,000. 
Randolph Air Force Base, Texas, two units, $199,000. 
Reese Air Force Base, Texas, one hundred and eighty-eight 
units, $6,816,000. 
Ramstein Air Base, Germany, two hundred and forty units, 
$16,000,000; eight units, $706,000; nine units, $1,039,000. 
Andersen Air Force Base, Guam, one unit, $167,000; one 
hundred and twenty units, $8,000,000. 
Misawa Air Base, Japan, one hundred and eighty units, 
$8,707,000. 
Yokota Air Base, Japan, eighty-one units, $5,629,000. 
Osan Air Base, Korea, ten units, $447,000. 
Clark Air Base, Philippines, eighty-two units, $4,203,000. 
RAF 
Alconbury, 
United 
Kingdom, 
twenty-five 
units, 
$1,119,000. 
RAF Greenham Common, United Kingdom, one hundred and 
nineteen units, $5,588,000. 
SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE 
(a) IN GENERAL.—Funds are hereby authorized to be appropriated 
for fiscal years beginning after September 30, 1988, for military 
construction, land acquisition, and military family housing func-
tions of the Department of the Air Force in the total amount of 
$2,143,981,000, as follows: 
(1) For military construction projects inside the United States 
authorized by section 2301(a), $855,877,000. 
(2) For military construction projects outside the United 
States authorized by section 2301(b), $229,353,000. 
(3) For unspecified minor construction projects under section 
2805 of title 10, United States Code, $16,500,000. 
(4) For architectural and engineering services and construc-
tion design under section 2807 of title 10, United States Code, 
$119,800,000. 
(5) For military family housing functions— 
(A) for construction and acquisition of military family 
housing and facilities, $180,685,000; and 
(B) for support of military housing (including functions 
described in section 2833 of title 10, United States Code), 
102 STAT. 2108 
PUBLIC LAW 100-456—SEPT. 29, 1988 
$741,766,000 of which not more than $16,612,500 may be 
obligated or expended for leasing of military family housing 
units in the United States, the Commonwealth of Puerto 
Rico, and Guam; and not more than $74,268,500 may be 
obligated or expended for the leasing of military family 
housing units in foreign countries. 
O
t
)
) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS.—Not-
withstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by 
law, the total cost of all projects carried out under section 2301 of 
this Act may not exceed— 
(1) the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a); and 
(2) $133,000,000 (the balance of the amount authorized for the 
construction of the J-6 facility, Arnold Engineering Develop-
ment Center, Tennessee). 
(c) RESTRICTION ON CERTAIN FUNDING.—None of the funds appro-
priated pursuant to subsection (aX2) may be obligated for use or 
expended in Panama until the Secretary of Defense transmits to the 
Committees on Armed Services of the Senate and the House of 
Representatives a copy of the plans of the activities to be carried out 
by the Department of Defense in Panama during the five-year 
period beginning on the date of the enactment of this Act. 
SEC. 2305. EXTENSION OF CERTAIN PREVIOUS AUTHORIZATIONS 
Notwithstanding the provisions of section 2301(a) of the Military 
Construction Authorization Act, 1987, (division B of Public Law 
99-661), authorizations for the following projects authorized in sec-
tions 2301 and 2302 of that Act shall remain in effect until October 
1,1989, or the date of the enactment of an Act authorizing funds for 
military construction for fiscal year 1990, whichever is later: 
(1) KC-135 CPT Simulator facility, in the amount of $890,000 
at Minot Air Force Base, North Dakota. 
(2) Add to and alter Avionics Maintenance Shop, in the 
amount of $1,150,000 at Pease Air Force Base, New Hampshire. 
(3) KC-135 CPT Simulator facilities in the amount of $660,000 
at Robins Air Force Base, (Jeorgia. 
(4) Land acquisition in the amount of $230,000 at the United 
States Air Force Academy, Colorado Springs, Colorado. 
(5) Land acquisition Auxiliary Field in the amount of 
$3,700,000, at Laughlin Air Force Base, Texas. 
(6) KC-135 CPT Simulator facility in the amount of 
$3,500,000, at Beale Air Force Base, California. 
(7) KC-135 CPT Simulator facility in the amount of $3,000,000 
at Plattsburgh Air Force Base, New York. 
(8) Bitburg, Germany, three hundred and thirty-two units of 
family housing, $26,414,000. 
(9) La Junta, Colorado, forty units of family housing 
$4,000,000. 
(10) GEODSS Site 5, Portugal, Composite Support Facility in 
the amount of $2,250,000 and Spacetrack Observation Facility 
in the amount of $12,400,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2109 
TITLE XXIV—DEFENSE AGENCIES 
SEC. 2401. AUTHORIZED 
CONSTRUCTION 
AND 
LAND 
ACQUISITION 
PROJECTS 
(a) INSIDE THE UNITED STATES.—The Secretary of Defense may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations inside the United States: 
DEFENSE COMMUNICATIONS AGENCY 
Arlington Service Center, Virginia, $742,000. , 
DEFENSE LOGISTICS AGENCY; 
Defense Fuel Support Point, Adak, Alaska, $19,000,000. 
Defense Depot, Tracy, California, $590,000. 
Defense Fuel Support, Pearl City, Hawaii, $1,900,000. 
Defense Reutilization and Marketing Office, Fort Campbell, 
Kentucky, $1,600,000. 
Defense Reutilization and Marketing Office, Offutt Air Force 
Base, Nebraska, $430,000. 
Defense Depot, Mechanicsburg, Pennsylvania, $460,000. 
Defense Reutilization and Marketing Office, Carswell Air Force 
Base, Texas, $350,000. 
Defense Depot, Ogden, Utah, $6,000,000 
Cheatham Annex, Virginia, $450,000. 
DEFENSE MAPPING AGENCY 
Hydrographic/Topographic 
Center, 
Brookmont, 
Maryland, 
$5,209,000. 
DEFENSE MEDICAL FACIUTIES OFFICE 
Marine Corps Base, Camp Pendleton, California, $5,000,000. 
March Air Force Base, California, $3,000,000. 
Naval Station, North Island, California, $7,200,000. 
Naval Station, Treasure Island, California, $11,000,000. 
Tyndall Air Force Base, Florida, $800,000. 
Fort Benning, Georgia, $700,000. 
Robins Air Force Base, Georgia, $3,600,000. 
Fort Leonard Wood, Missouri, $1,450,000. 
Kirtland Air Force Base, New Mexico, $2,550,000. 
Seymour Johnson Air Force Base, North Carolina, $3,700,000. 
Fort Sill, Oklahoma, $54,000,000. 
Marine Corps Recruit Depot, Parris Island, South Carolina, 
$4,100,000. 
Corpus Christi, Texas, $6,100,000. 
Dyess Air Force Base, Texas, $950,000. 
NATIONAL DEFENSE UNIVERSITY 
Fort McNair, District of Columbia, $28,000,000. 
NATIONAL SECURITY AGENCY 
Fort Meade, Maryland, $2,230,000. 
Classified Locations, $20,000,000. 
102 STAT. 2110 
PUBLIC LAW 100-456—SEPT. 29, 1988 
OFFICE OF THE SECRETARY OF DEFENSE 
Fort Belvoir, Virginia, $3,000,000. 
Classified Location, $4,200,000. 
STRATEGIC DEFENSE INITIATIVE ORGANIZATION 
Falcon Air Force Station, Colorado, $65,000,000. 
(b) OUTSIDE THE UNITED STATES.—The Secretary of Defense may 
acquire real property and may carry out military construction 
projects in the amounts shown for each of the following installations 
and locations outside the United States: 
DEFENSE COMMUNICATIONS AGENCY 
Yokota Air Base, Japan, $785,000. 
DEFENSE LOGISTICS AGENCY 
Defense Reutilization and Marketing Office, Bitburg, Germany, 
$800,000. 
Defense Reutilization and Marketing Office, Kaiserslautern, Ger-
many, $500,000. 
DEFENSE MEDICAL FACILITIES OFFICE 
Downs Barracks, Germany, $4,200,000. 
Geilenkirchen Air Base, Germany, $450,000. 
Hahn Air Base, Germany, $18,500,000. 
Patch Barracks, Germany, $4,700,000. 
Rhein-Main Air Base, Germany, $14,200,000. 
Smith Barracks, Germany, $5,100,000. 
Spangdahlem Air Base, Germany, $1,250,000. 
Wildflecken, Germany, $4,800,000. 
Camp Howze 2nd Infantry Division, Korea, $780,000. 
Seoul, Korea, $55,000,000. 
Taegu Air Base, Korea, $4,400,000. 
Royal Air Force, High Wycombe, United Kingdom, $720,000. 
Royal Air Force, Lakenheath, United Kingdom, $41,000,000. 
Base 54, $12,800,000. 
Classified Locations, $19,500,000. 
DEFENSE NUCLEAR AGENCY 
Headquarters, Field Command, Johnston Island, $2,644,000. 
DEPARTMENT OF DEFENSE DEPENDENT SCHOOLS 
Aschaffenburg, Germany, $8,151,000. 
Bad Kissingen, Germany, $1,620,000. 
Baumholder, Germany, $1,940,000. 
Erlangen, Germany, $3,890,000. 
Gelnhausen, Germany, $1,482,000. 
Giessen, Germany, $7,627,000. 
Wildflecken, Germany, $2,752,000. 
Keflavik, Iceland, $5,434,000. 
Aviano, Italy, $9,450,000. 
Pusan, Korea, $1,980,000. 
Seoul, Korea, $7,332,000. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2111 
Brunssum, the Netherlands, $8,863,000. 
DEPARTMENT OF DEFENSE SECTION VI SCHOOLS 
Fort Buchanan, Puerto Rico, $9,110,000. 
NATIONAL SECURITY AGENCY 
aassified Locations, $11,250,000. 
STRATEGIC DEFENSE INITIATIVE ORGANIZATION 
Pacific Missile Range, Kwajalein, $16,000,000. 
SEC. 2402. FAMILY HOUSING 
The Secretary of Defense may, using amounts appropriated pursu- Classified 
ant to section 2407(aX10XA), construct or acquire three family hous- information. 
ing units (including land acquisition) at classified locations in the 
total amount not to exceed $400,000. 
SEC. 2403. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS 
Subject to section 2825 of title 10, United States Code, the Sec-
retary of Defense may, using amounts appropriated pursuant to 
section 2407(aX10XA), improve existing nulitary family housing 
units in an amount not to exceed $113,000. 
SEC. 2404. AFCENT SCHOOL 
The Secretary of Defense may, using amounts appropriated pursu-
ant to section 2407(aX2), contribute funds in the amount of 
$8,863,000 to the Government of the Netherlands (in its capacity as 
construction agent) for the United States share of the cost of the 
International Elementary and High School project in Brunssum, the 
Netherlands. 
SEC. 2405. CONFORMING STORAGE FACILITIES 
Section 2404(a) of the Military Construction Authorization Act, 
1987 (division B of Public Law 99-661), is amended to read as follows: 
"(a) AuTHORFFY TO CONSTRUCT.—The Secretary of Defense may, 
using not more than $10,000,000 appropriated for fiscal year 1987, 
not more than $5,000,000 appropriated for fiscal year 1988, and not 
more than $9,300,000 appropriated for fiscal year 1989, carry out 
military construction projects not otherwise authorized by law for 
conforming storage facilities.". 
SEC. 2406. DEFENSE ACCESS ROADS 
The Secretary of Defense may, using amounts appropriated pursu-
ant to section 2407(aX5), make advances to the Secretary of 
Transportation for the construction of defense access roads under 
section 210 of title 23, United States Code, at Fort Meade, Maryland, 
in the amount of $12,000,000. 
SEC 2407. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES 
(a) IN GENERAL.—Funds are hereby authorized to be appropriated 
for fiscal years b^inning after September 30, 1988, for military 
construction, land acquisition, and miUtary family housing func-
tions of the Department of Defense (other than the military depart-
ments), in the total amount of $711,550,000, as follows: 
(1) For military construction projects inside the United States 
authorized by section 2401(a), $236,311,000. 
102 STAT. 2112 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(2) For military construction projects outside the United 
States authorized by section 2401(b), $262,010,000. 
(3) For military construction projects at Fort Sam Houston, 
Texas, authorized by section 2401(a) of the Military Construc-
tion Authorization Act, 1987, $23,000,000. 
(4) For military construction projects at Fort Lewis, Washing-
ton, authorized oy section 101(a) of the Military Construction 
Authorization Act, 1985, $72,000,000. 
(5) For advances to the Secretary of Transportation for 
construction of defense access roads under section 210 of title 
23, United States Code, $12,000,000. 
(6) For unspecified minor construction projects under section 
2805 of title 10, United States Code, $6,000,000. 
(7) For contingency construction projects of the Secretary of 
Defense under section 2804 of title 10, United States Code, 
$8,000,000. 
(8) For architectural and engineering services and for 
construction design under section 2807 of title 10, United States 
Code, $62,229,000. 
(9) For conforming storage facilities constructed under the 
authority 
of section 
2404 of the Military 
Construction 
Authorization Act, 1987, $9,300,000. 
(10) For military family housing functions— 
(A) for construction and acquisition of military family 
housing and facilities, $513,000; and 
(B) for support of military housing (including functions 
described in section 2833 of title 10, United States Code), 
$20,187,000, of which not more than $17,179,000 may be 
obligated or expended for the leasing of military family 
housing units in foreign countries. 
(b) LIMITATION OF TOTAL COST OF CONSTRUCTION PROJECTS.—Not-
withstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variations authorized by 
law, the total cost of all projects carried out under section 2401 may 
not exceed— 
(1) the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a); 
(2) $27,000,000 (the balance of the amount authorized under 
section 2401(a) for the construction of a medical facility at Fort 
Sill, Oklahoma); and 
(3) $27,500,000 (the balance of the amount authorized under 
section 2401(b) for the construction of a medical facility at 
Seoul, Korea). 
(c) RESTRICTION ON CERTAIN FUNDING.—Of the amounts appro-
priated pursuant to this section or otherwise made available to the 
Department of Defense for fiscal year 1989, not more than 
$65,000,000 may be obligated or expended for use in planning and 
construction of a National Test Facility for the Strategic Defense 
Initiative at Falcon Air Force Base, Colorado. 
SEC. 2408. RESITING OF OVERSEAS CONTINGENCY MEDICAL FACILITY 
Section 2141(b) of the Military Construction Authorization Act, 
1988 and 1989 (division B of Public Law 100-180; 101 Stat. 1201) is 
amended by striking out "RAF Wethersfield, United Kingdom, 
$740,000." under the heading "DEFENSE MEDICAL FACIUTIES OFFICE" 
and inserting in lieu thereof "Boscombe Downs, United Kingdom, 
$740,000.". 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2113 
SEC. 2409. EXTENSION OF CERTAIN PREVIOUS AUTHORIZATIONS 
Notwithstanding the provisions of section 2401(a) of the Military 
Construction Authorization Act, 1987 (division B of Public Law 99-
661), authorizations for the following project authorized in section 
2401 of that Act shall remain in effect until October 1, 1989, or the 
date of the enactment of an Act authorizing appropriations for 
military construction for fiscal year 1990, whichever is later: 
DECCO Computer Center and Administrative Facility in the 
amount of $7,600,000 at Scott Air Force Base, Illinois. 
SEC. 2410. REYNOLDS ARMY COMMUNITY HOSPITAL, FORT SILL, OKLA-
HOMA, AND SEOUL ARMY COMMUNITY HOSPITAL, SEOUL, 
KOREA 
Subject to section 2401, the Secretary of Defense may enter into Contracts. 
one or more contracts, in advance of appropriations therefor, for the 
construction of the military construction projects authorized by 
section 2401 at Reynolds Army Community Hospital, Fort Sill, 
Oklahoma, and the Seoul Army Community Hospital, Seoul, Korea, 
if each such contract limits the amount of pa3rments that the 
Federal Government is obligated to make under such contracts to 
the amount of appropriations available, at the time such contract is 
entered into, for obligation under such contract. 
TITLE XXV—NORTH ATLANTIC TREATY ORGANIZATION 
INFRASTRUCTURE 
SEC. 2501. AUTHORIZED 
CONSTRUCTION 
AND 
LAND 
ACQUISITION 
PROJECTS 
The Secretary of Defense may make contributions for the North 
Atleintic Treaty Organization Infrastructure Program as provided in 
section 2806 of title 10, United States Code, in an amount not to 
exceed the sum of the amount authorized to be appropriated for this 
purpose in section 2502 and the amount collected from the North 
Atlantic Treaty Organization as a result of construction previously 
financed by the United States. 
SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO 
Funds are hereby authorized to be appropriated for fiscal years 
beginning after September 30, 1988, for contributions by the Sec-
retary of Defense under section 2806 of title 10, United States CJode, 
for the share of the United States of the cost of projects for the 
North Atlantic Treaty Orgemization Infrastructure Program, as 
authorized by section 2501, in the amount of $492,000,000. 
TITLE XXVI—GUARD AND RESERVE FACILITIES 
SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
ACQUISITION PROJECTS 
There are authorized to be appropriated for fiscal years beginning 
after September 30, 1988, for the costs of acquisition, architecture 
and engineering services, and construction of facilities for the Guard 
and Reserve Forces, and for contributions therefor, under chapter 
133 of title 10, United States Code (including the cost of acquisition 
of land for those facilities), the following amounts: 
(1) For the Department of the Army— 
102 STAT. 2114 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Reports. 
Real property. 
Public buildings 
and grounds. 
(A) for the Army National Guard of the United States, 
$203,859,000; and 
(B) for the Army Reserve, $84,411,000. 
(2) For the Department of the Navy, for the Naval and Marine 
Ck)rps Reserves, $54,900,000. 
(3) For the Department of the Air Force— 
(A) for the Air National Guard of the United States, 
$154,758,000; and 
(B) for the Air Force Reserve, $63,600,000. 
SEC. 2602. AIRCRAFT PARKING RAMP/HOLDING PAD AT YEAGER AIR-
PORT, CHARLESTON, WEST VIRGINIA 
There is authorized to be constructed, with funds remaining 
available as the result of savings on construction projects of the Air 
National Guard of the United States for which funds were appro-
priated for fiscal year 1987, an aircraft parking ramp/holding pad 
for the Air National Guard of the United States at Yeager Airport 
at Charleston, West Virginia, in the amount of $3,300,000, except 
that no such funds may be obligated for such purpose until the 
expiration of 30 days after the date on which the Secretary of the 
Air Force transmits to the Committees on Armed Services and on 
Appropriations of the Senate and the House of Representatives a 
report on the proposed obligation of such funds. 
SEC. 2603. CONSTRUCTION OF REPLACEMENT FACILITIES AT O'HARE AIR 
RESERVE FORCES FACILITY, ILLINOIS 
(a) GENERAL RULE.—(1) The Secretary of the Air Force may use 
funds received from the transaction described in paragraph (3) for 
the construction of reserve component facilities on land under the 
jurisdiction of the Department of Defense at O'Hare International 
Airport, Chicago, Illinois. 
(2) The Secretary may provide for the construction of such reserve 
component facilities with funds received from the transaction 
referred to in paragraph (1) or may permit the City of Chicago to 
construct such facilities and, upon completion of the construction, 
have the ownership of such facilities transferred to the United 
States. 
(3) The transaction referred to in paragraph (1) is an exchange of 
lands and facilities owned by the United States and under the 
jurisdiction of the Department of Defense at O'Hare International 
Airport, Chicago, Illinois, for interests in lands owned by the City of 
Chicago, Illinois, at such airport. The market value of the interest in 
lemds and the amount of funds received by the United States in such 
transaction shall be at least equal to the market value of the lands 
and facilities conveyed by the United States in such transaction. 
(b) ADDITIONAL USE OF FUNDS.—The Secretary may also use the 
funds from the transaction referred to in subsection (aXD to meet 
expenses, other than construction expenses, incurred by the Sec-
retary in connection with the construction of the facilities referred 
to in such subsection. 
(c) EXCESS FUNDS.—Funds received from the transaction described 
in subsection (aX3) and not expended for purposes specified in this 
section shall be paid into the miscellaneous receipts of the Treasury. 
(d) REPORTING REQUIREMENT.—The Secretary shall transmit a 
report to the Committees on Armed Services of the Senate and the 
House of Representatives at least 21 days before taking any action 
under paragraph (1) or (2) of subsection (a) or under subsection (b). 
' 
" 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2115 
Such report shall contain a description of the action which the 
Secretary plans to take under such paragraph or subsection. 
(e) ADDITIONAL TERMS AND CONDITIONS.—The Secretary 
may 
require such additional terms and conditions as the Secretary 
considers appropriate to protect the interest of the United States 
with respect to any action carried out under this section. 
TITLE XXVII—EXPIRATION OF AUTHORIZATIONS; 
EFFECTIVE DATE 
SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED 
TO BE SPECIFIED BY LAW 
(a) EXPIRATION OF AUTHORIZATIONS AFTER TWO YEARS.—Except £is 
provided in subsection (b), all authorizations contained in titles XXI, 
XXII, XXIII, XXIV, and XXV for military construction projects, 
land acquisition, family housing projects and facilities, and contribu-
tions to the NATO Infrastructure Program (and authorizations of 
appropriations therefor) shall expire on October 1, 1990, or the date 
of the enactment of an Act authorizing funds for military construc-
tion for fiscal year 1991, whichever is later. 
(b) EXCEPTION.—The provisions of subsection (a) do not apply to 
authorizations for military construction projects, land acquisition, 
family housing projects and facilities, and contributions to the 
NATO Infrastructure Program (and authorizations of appropria-
tions therefor), for which appropriated funds have been obligated 
before October 1, 1990, or the date of the enactment of an Act 
authorizing funds for military construction for fiscal year 1991, 
whichever is later, for construction contracts, land acquisition, 
family housing projects and facilities, or contributions to the NATO 
Infrastructure Program. 
SEC. 2702. EFFECTIVE DATE 
10 USC 2391 
Except as otherwise specifically provided, this division shall take 
effect on October 1, 1988, or the date of enactment of this Act, 
whichever is later. 
TITLE XXVIII—GENERAL PROVISIONS 
PART A—PROGRAM CHANGES 
SEC. 2801. LONG-TERM FACILITIES CONTRACTS 
Section 2809(aX3) of title 10, United States Code, is amended by 
striking out "20 years" and inserting in lieu thereof "32 years . 
SEC. 2802. INCREASE IN FOREIGN HOUSING LEASING AUTHORITY 
Section 2828(eX2) of title 10, United States Code, is amended bv 
striking out "36,000" and inserting in lieu thereof "38,000". 
SEC. 2803. REPORTS ON REAL PROPERTY TRANSACTIONS 
Subsections (a), (b), and (e) of section 2662 of title 10, United States 
Code, are amended by striking out "$100,000" each place it appears 
and inserting in lieu thereof "$200,000". 
SEC. 2804. NOTIFICATION REQUIREMENT RELATING TO ACQUISITION OF 
INTEREST IN LAND 
Section 2672 of title 10, United States Code, is amended— 
102 STAT. 2116 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Grants. 
Contracts. 
State and local 
governments. 
Public 
information. 
Public 
information. 
Contracts. 
Employment 
and 
unemployment. 
Reports. 
(1) in subsection (aXl), by striking out "Subject to subsection 
0>), the" and inserting in lieu thereof "The"; 
(2) by striking out subsection (b); and 
(3) by redesignating subsection (c) as subsection (b). 
SEC. 2805. PLANNING ASSISTANCE FOR IMPACTED COMMUNITIES 
(a) MODIFICATION OF AUTHORITY.—Paragraph (1) of section 2391(b) 
of title 10, United States Code, is amended to read as follows: 
"(1) The Secretary of Defense may make grants, conclude coopera-
tive agreements, and supplement funds available under Federal 
programs administered by agencies other than the Department of 
Defense in order to assist State and local governments in plemming 
community acijustments and economic diversification required (A) 
by the proposed or actual establishment, realignment, or closure of a 
inilitaiy installation, (B) by the cancellation or termination of a 
Department of Defense contract or the failure to proceed with an 
approved major weapon system program, (C) by a publicly-
announced planned m£gor reduction in Department of Defense 
spending that would directly and adversely affect a community, or 
(D) by the encroachment of a civilian community on a military 
installation, if the Secretary determines that an action described in 
clause (A), (B), or (C) is likely to have a direct and significantly 
adverse consequence on the affected community or, in the case of an 
action described in clause (D), if the Secretary determines that the 
encroachment of the civilian community is likely to impair the 
continued operational utility of the military installation.". 
flt>) CONDITION ON ASSISTANCE.—Section 23910)) of such title is 
further amended— 
(1) by redesignating paragraphs (4) and (5) as paragraphs (5) 
and (6), respectively; and 
(2) by inserting after paragraph (3) the following new 
paragraph: 
"(4) In the case of a publicly-announced planned major reduction 
in Department of Defense spending that wUl directly and adversely 
affect a community, assistance may be made under paragraph (1) 
only if the publicly-announced planned major reduction will resiilt 
in the loss of 1,000 or more full-time Department of Defense and 
contractor employee positions over a five-year period in the locality 
of the affected community.". 
PART B—MISCELLANEOUS 
SEC. 2811. PROHIBITION 
OF 
FUNDING 
FOR 
CERTAIN 
MILITARY 
CONSTRUCTION CONTRACTS ON GUAM 
(a) IN GENERAL.—Except as provided in subsection (b\ no funds 
appropriated pursuant to authorizations made by this division may 
be obligated or expended with respect to any contract for a militaiy 
construction project on Guam if any work is carried out on such 
project by any person who is a nonimmigrant alien described in 
section 101(aX15XHXii) of the Immigration and Nationality Act (8 
U.S.C. 1101(aX15XHXii)). 
(b) EXCEPTION.—In any case in which there is no acceptable bid 
made in response to a solicitation by the Secretary of a military 
department for bids on a contract for a military construction project 
on Guam and the Secretary concerned makes a determination that 
the prohibition contained in subsection (a) is a significant deterrent 
to obtaining bids on such contract, the Secretary concerned may 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2117 
make another solicitation for bids on such contract and the prohibi-
tion contained in subsection (a) shall not apply to such contract after 
the 2lHday period beginning with the date on which the Secretary 
concerned transmits a report concerning such contract to the 
Committees on Armed Services of the Senate and the House of 
Representatives. 
(c) EFFECTIVE DATE.—The provisions of this section shall apply to 
contracts entered into, amended, or otherwise modified on or after 
the date of the enactment of this Act. 
SEC. 2812. BROOKE ARMY MEDICAL CENTER 
(a) INCREASE IN PROJECT AUTHORITY.—(1) Section 2401(a) of the 
Military Construction Authorization Act, 1987 (division B of Public 
Law 99-661; 100 Stat. 4034), is amended by striking 
out 
"$241,000,000" in the item relating to Fort Sam Houston, Texas, 
under the heading relating to Defense Medical Facilities Office and 
inserting in lieu thereof "$275,000,000". 
(2) The limitation on the total cost of projects carried out under 
section 2401 of such Act is hereby increased by $34,000,000. 
(b) CONFORMING AMENDMENT.—Section 2403(aX2) of such Act is 
amended by striking out ", but the" and all that follows through 
"beds". 
SEC. 2813. COMMUNITY PLANNING ASSISTANCE 
^ 
(a) ADDITIONAL AUTHORITY.—In addition to the authority under 
any other provision of law, the Secretary of Defense may provide 
community planning assistance under section 2391(b) of title 10, 
United States Code, in the following amounts: 
(1) Not to exceed $350,000 for communities located near newly 
established light infantry division posts. 
(2) Not to exceed $250,000 for communities located near newly 
established Navy strategic dispersal program homeports. 
(3) Not to exceed $150,000 for communities located near 
Whiteman Air Force Base, Knob Noster, Missouri. 
(b) EXPIRATION OF AUTHORITY.—The authority to provide commu-
nity planning assistance under subsection (a) expires on Septem-
ber 30,1991. 
SEC. 2814. FORT DERUSSY, HAWAII 
(a) USE.—The Secretary of the Army shall administer Fort 
Recreation. 
DeRussy, Hawaii, as the primary rest and recreation area for mem-
bers of the Armed Forces in the Pacific. 
(b) PROHIBITION.—Notwithstanding any other provision of law, 
funds appropriated or otherwise available to the Department of 
Defense may not be used in any way, directly or indirectly, for the 
purpose of selling, leasing, renting, excessing, or otherwise disposing 
of any portion of the land constituting Fort DeRussy, Hawaii (as 
constituted on the date of the enactment of this Act). 
(c) IMPLEMENTATION OF PLAN.—(1) Section 2740(d) of the Militery 
Construction Authorization Act, 1987 (division B of Public Law 
99-661; 100 Stat. 4051), is amended— 
(A) by striking out "PAYMENT OF EXCESS INTO TREASURY" in 
the subsection heading and inserting in lieu thereof "EXCESS 
AMOUNT"; and 
(B) by striking out "shall deposit" and all that follows through 
the period and inserting in lieu thereof "may use such amount 
for the implementation of the plan established by the Secretary 
102 STAT. 2118 
PUBLIC LAW 100-456—SEPT. 29, 1988 
of the Army on March 1, 1988, for the future use and develop-
ment of Fort DeRussy, Hawaii, except that such amount may 
not be used to pay for the construction of nonappropriated-fund 
projects identified in such plan. The Secretary shall deposit any 
part of such amount not used for such purpose at the end of the 
ten-year period beginning on the date of the enactment of the 
Military Construction Authorization Act, 1989, into the Treas-
ury as miscellaneous receipts.". 
(2) Section 2332(d) of the Military Construction Authorization Act, 
1988 and 1989 (division B of Public Law 100-180; 100 Stat. 1223), is 
amended— 
(A) by striking out "PAYMENT OF EXCESS INTO TREASURY" in 
the subsection heading and inserting in lieu thereof "EXCESS 
AMOUNT"; and 
(B) by striking out "shall deposit" and all that follows through 
the period and inserting in lieu thereof "may use such amount 
for the implementation of the plan established by the Secretary 
of the Army on March 1, 1988, for the future use and develop-
ment of Fort DeRussy, Hawaii, except that such amount may 
not be used to pay for the construction of nonappropriated-fund 
projects identified in such plan. The Secretary shall deposit any 
amount not used for such purpose at the end of the ten-year 
period beginning on the date of the enactment of the Military 
Construction Authorization Act, 1989, into the Treasury as 
miscellaneous receipts.". 
Public buildings 
SEC. 2815. WURTSMITH AIR FORCE BASE, MICHIGAN 
groun s. 
^j^^ library building located on the Wurtsmith Air Force Base, 
Michigan, is hereby designated as the "General Earl T. O'Loughlin 
Library". Any reference to such building in a law, rule, map, 
document, record, or other paper of the United States shall be 
considered to be a reference to the "General Earl T. O'Loughlin 
Library". 
SEC. 2816. LOCATION OF HAZARDOUS WASTE STORAGE FACILITY AT 
PEARL HARBOR NAVAL SHIPYARD 
The Secretary of the Navy may not construct a hazardous waste 
storage facility for the Pearl Harbor Naval Shipyard at a location 
closer than 600 feet to a public school. 
SEC. 2817. SOLICITATION FOR PROPOSALS FOR OFFICE SPACE FOR NAVY 
(a) IN GENERAL.—The Administrator of (Jeneral Services, in 
coordination with the Secretary of the Navy, shall issue a solicita-
tion for proposals for the acquisition of such office and related space 
within the National Capital Region as the Secretary determines 
necessary to meet the needs of the Navy within such region. 
(b) REPORT.—The Secretary, after consultation with the Adminis-
trator, shall submit to the Committees on Armed Services of the 
Senate and the House of Representatives a report regarding the 
proposals received in response to the solicitation issued pursuant to 
subsection (a). Such report shall include a comparative cost analysis 
of meeting the office and related space needs of the Navy within the 
National Capital Region by means of lease, lesise-purchase, and 
military construction, respectively. The report shall identify, and 
include recommendations for meeting, the current and long-term 
office and related space needs of the Navy within the National 
Capital Region. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2119 
(c) DEADLINE FOR REPORT.—The report required by subsection (b) 
shall be submitted not later than 90 days after the date established 
by the Administrator for receiving responses to the solicitation for 
proposals issued pursuant to subsection (a). 
SEC. 2818. THIRD INFANTRY DIVISION MEMORIAL 
Public buildings 
(a) IN GENERAL.—^The Society of the Third Infantry Division may 
establish, on grounds in Arlington National Cemetery selected 
pursuant to subsection (bXD, a memorial in honor and in commemo-
ration of the members of the "Rock of the Mame" of the Third 
Infantry Division, United States Army, who bravely served their 
country in World War I, World War II, and the Korean conflict. 
Ot)) ADMINISTRATIVE PROVISIONS.—(1) TTie Secretary of the Army 
may select a suitable site on grounds in Arlington National Ceme-
tery upon which may be established the memorial authorized in 
subsection (a). 
(2) The design and plans for such memorial shall be subject to the 
approval of the Secretary of the Army, the American Battle Monu-
ments Commission, the National Capital Pleuining Commission, and 
the Commission of Fine Arts. 
(3) The United States shall not be liable for any expense in 
connection with the construction of the memorial authorized by 
subsection (a). 
(4) The maintenance and care of the memorial authorized under 
this section shall be the responsibility of the Secretary of the Army. 
(c) EJxpiRATiON OF AUTHORITY.—The authority provided in tWs 
section shall expire at the end of the 5-year period beginning on the 
date of the enactment of this Act unless— 
(1) construction of the memorial authorized in subsection (a) is 
commenced within such period; and 
(2) before construction of the memoried begins, the Society of 
the Third Infantry Division certifies to the Secretary of the 
Army the amount available for the construction of the memo-
rial and the Secretary determines that such amount is sufficient 
to complete the memorial. 
SEC. 2819. COMMISSION ON ALTERNATIVE UTILIZATION OF MILITARY 
10 USC 2391 
FACILITIES 
note. 
(a) EJsTABLJSHMENT OF COMMISSION.—^Within 30 days after the date 
of the enactment of this Act, the President shall establish a Com-
mission on Alternative Utilization of Military Facilities. The 
Commission shall be composed of representatives from the Depart-
ment of Defense, the Bureau of Prisons of the Department of 
Justice, the National Institute on Drug Abuse of the Department of 
Health and Human Services, and the General Services Administra-
tion. 
Ot)) REPORT REQUIREMENTS.—The Commission shall, on a biannual 
basis— 
(1) prepare a report listing active and nonactive military 
facilities that the Secretary of Defense has identified as subjects 
for closure, as being underutilized in whole or part, or as being 
excess to the needs of the Department of Defense; 
(2) identify those facilities, or parts of facilities, that could be 
effectively utilized or renovated to serve as minimum security 
facilities for nonviolent prisoners; 
102 STAT. 2120 
PUBLIC LAW 100-456—SEPT. 29, 1988 
Drugs and drug 
(3) identify those facilities, or parts of facilities, that could be 
abuse. 
effectively utilized or renovated to serve as drug treatment 
facilities for nonviolent drug abusers; and 
(4) transmit a list of such facilities to the President and to the 
Congress, 
(c) DEADUKE FOR REPORTS.—The first report required by subsec-
tion 0>) shall be submitted to the President and Congress not later 
than October 1, 1988. Subsequent reports under such subsection 
shall be submitted not later than September 1 of every second year 
after submission of the first report through fiscal year 1996. 
PART C—REAL PROPERTY TRANSACTIONS 
SEC. 2821. LAND EXCHANGE, ALAMEDA COUNTY, CALIFORNIA 
State and local 
(a) IN GENERAL.—(1) Subject to subsections (b) through (d), the 
governments. 
Secretary of the Army may convey to the County of Alameda, 
California, and to the City of Dublin, California, the real properties 
referred to in paragraph (2) in exchange for conveyance to the 
United States of approximately 445 acres of real property, together 
with improvements thereon, of the property described in paragraph 
(3). 
(2) The properties authorized to be conveyed by the Secretary are 
as follows: 
(A) Approximately 35 acres of real property, together with 
improvements thereon, at the Reserve Forces Training Center, 
County of Alameda, California, to the County of Alameda, 
California. 
(B) Approximately 12 acres of real property, together with 
improvements thereon, at such center to the City of Dublin, 
California. 
(3) The property to be conveyed to the United States is a parcel of 
land consisting of approximately 445 acres, together with improve-
ments thereon, located in the County of Alameda, California, which 
is under the jurisdiction of the East Bay Regional Park District, 
County of Alameda, California, and which was conveyed to such 
district by the United States by a deed dated February 2, 1973. 
(4) The instrument of conveyance conveying the property referred 
to in paragraph (3) to the United States may, at the option of the 
East Bay Regional Park District— 
(A) include a right of reversion on behalf of such district in 
the event that the property conveyed to the United States is no 
longer needed by the Department of the Army (as determined 
by the Secretary of the Army); and 
(B) reserve to such district an easement consisting of not more 
th£in 25 acres along the most eastern boundary of the property 
for use by such district as a part of the Regional Trail System of 
such district. 
O
t
>
) ADDITIONAL CONSIDERATION.—If the fair market value of the 
properties conveyed by the United States pursuant to subsection (a) 
exceeds the fair market value of the property conveyed to the 
United States pursuant to such subsection, the County of Alameda, 
California, the City of Dublin, California, or the East Bay Regional 
Park District, as appropriate, shall pay the difference to the United 
States. Any such payment shall be covered into the Treasury as 
miscellaneous receipts. 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2121 
(c) LEGAL DESCRIPTION AND SURVEYS.—The exact acreage and legal 
description of the real property to be conveyed pursuant to this 
section (including the easement referred to in subsection (a)(4)) shall 
be determined by surveys that are satisfactory to the Secretary. The 
cost of such surveys shall be borne by the County of Alameda or the 
City of Dublin. 
(d) ADDITIONAL TERMS AND CONDITIONS.—Tlie Secretary may 
require such additional terms and conditions in connection with the 
conveyances made pursuant to this section as the Secretary consid-
ers appropriate to protect the interests of the United States. 
SEC. 2822. LAND CONVEYANCE, LOMPOC, CALIFORNIA 
(a) IN GENERAL.—Subject to subsections (b) through (d), the Sec-
retary of the Army may convey, without reimbursement, to the City 
of Lompoc, California, all right, title, and interest of the United 
States in and to a tract of real property (including improvements 
thereon) of approximately 100 acres located adjacent to the real 
property conveyed to the City pursuant to section 834 of the Military 
Construction Authorization Act, 1985 (Public Law 98-407; 98 Stat. 
1526). 
(b) USE OF PROPERTY.—(1) The conveyance authorized by subsec-
tion (a) shall be subject to the condition that the real property 
conveyed shall be used only for educational purposes or the purposes 
provided in section 834 of the Military Construction Authorization 
Act, 1985 (Public Law 98-407; 98 Stat. 1526), or both. 
(2) If the property conveyed pursuant to subsection (a) is not used 
for the purposes described in paragraph (1), all right, title, and 
interest in and to such property shall revert to the United States, 
which shall have the right of immediate entry thereon. 
(c) LEGAL DESCRIPTION AND SURVEYS.—The exact acreage and legal 
description of the property to be conveyed under subsection (a) shall 
be determined by surveys that are satisfactory to the Secretary. The 
cost of any such survey shall be borne by the City. 
(d) OTHER TERMS AND CONDITIONS.—The Secretary may require 
such other terms and conditions with respect to the conveyance 
under this section as the Secretary considers appropriate to protect 
the interests of the United States. 
SEC. 2823. LAND EASEMENT, ORANGE COUNTY, CALIFORNIA 
Flood control, f 
(a) IN GENERAL.—Subject to subsections Ot)) through (e), the Sec-
retary of the Navy may grant an easement to Orange County, 
California, for the construction and maintenance of flood control 
improvements (hereafter in this section referred to as "county 
improvements") on a tract of land owned by the United States, 
consisting of approximately 32 acres, located at the northern bound-
ary of the Marine Corps Air Station, El Toro, California, and may 
grant such temporary rights to Orange County as the Secretary 
determines necessary for the construction of such improvements. 
(b) CONSIDERATION.—(1) In consideration for the conveyance by the 
Secretary under subsection (a). Orange County shall convey to the 
United States a parcel of real property consisting of approximately 
one and one-half acres located adjacent to the Marine Corps Air 
Station, Tustin, California. 
(2) The United States shall also be entitled to such flood control 
improvements at the Marine Corps Air Station, El Toro, California, 
as the Secretary and Orange County shall agree upon. 
102 STAT. 2122 
PUBLIC LAW 100-456—SEPT. 29, 1988 
(3) The county improvements and additional flood control 
improvements shall be constructed at no cost to the United States. 
(c) PAYMENT OF EXCESS INTO TREASURY.—If the fair market value 
of the easement described in subsection (a) exceeds the fair market 
value of the real property conveyed to the United States under 
subsection (b), Orange County shall pay the difference to the United 
States. Any such pa3mient shall be covered into the Treasury as 
miscellaneous receipts. 
(d) LEGAL DESCRIPTION OF PROPERTY.—The exact acreages and 
legal descriptions of the real property to be conveyed under this 
section shall be determined by surveys which are satisfactory to the 
Secretary. The cost of any such survey shgJl be borne by Orange 
County. 
(e) ADDITIONAL TERMS AND CONDITIONS.—The Secretary may 
require such additional terms and conditions in connection with the 
tr£insaction authorized by this section as the Secretary considers 
appropriate to protect the interests of the United States. 
SEC. 2824. LAND EXCHANGE, SAN DIEGO, CALIFORNIA 
(a) EXCHANGE AUTHORIZED.—Subject to subsections (b) through (e), 
the Secretary of the Navy may convey to the San Diego Unified Port 
District of San Diego, California, such real property under the 
jurisdiction of the Navy in the City of San Diego, California, as the 
Secretary determines appropriate in exchange for one or more 
parcels of land, together with improvements thereon and consisting 
of approximately 32 acres, located adjacent to the San Diego Naval 
Station, San Diego, California, and owned by the San Diego Unified 
Port District. 
(b) LIMITATION ON VALUE OF PROPERTY EXCHANGED.—The fair 
market value of the real property conveyed by the Secretary under 
subsection (a) may not exceed the fair market value of the real 
property received by the Secretary under such subsection, as deter-
mined by the Secretary. 
(c) NOTICE TO COMMITTEES.—The Secretary may not enter into an 
exchange under this section until the Secretary has notified the 
Committees on Armed Services and on Appropriations of the Senate 
and the House of Representatives of the details of the proposed 
exchange and a period of 21 days has elapsed following the day on 
which the committees receive the notification. 
(d) LEGAL DESCRIPTION OF PROPERTY.—The exact acreages and 
legal descriptions of the real property to be conveyed under this 
section shall be determined by surveys which are satisfactory to the 
Secretary. The cost of any such survey shall be borne by San Diego 
Unified Port District. 
(e) ADDITIONAL TERMS AND CONDITIONS.—The Secretary may 
require such additional terms and conditions in connection with the 
transaction authorized by this section as the Secretary considers 
appropriate to protect the interests of the United States. 
SEC. 2825. LAND TRANSFER, WASHINGTON, DISTRICT OF COLUMBIA 
(a) IN GENERAL.—The Administrator of General Services shall 
transfer, without consideration, to the Secretary of the Navy 
approximately 6 acres of real property (including Building 197 
located thereon) located at a site referred to as the Southeast 
Federal Center near the Washington Navy Yard, Washington, D.C., 
and bounded on the east by Isaac Hull Avenue, on the north by 
PUBLIC LAW 100-456—SEPT. 29, 1988 
102 STAT. 2123 
Tingey Street, on the west by Buildings 116 and 118, and on the 
south by property owned by the Department of the Navy. 
(b) DESIGN OF BUILDING.—The Secretary of the Navy shall use not 
more than $9,200,000 of the amount appropriated pursuant to sec-
tion 2205(a)(4) to initiate the redesign of Building 197 referred to in 
subsection (a). 
SEC. 
2
8
2
6
. 
LAND 
CONVEYANCE, 
OKALOOSA 
COUNTY, 
FLORIDA 
Section 809(c) of the Military Construction Authorization Act, 
1979 (Public Law 95-356; 92 Stat. 587), is amended by inserting 
before the period the following: "and a third parcel containing forty-
two acres". 
SEC. 2827. TRANSFER OF LAND, SUITLAND FEDERAL CENTER, MARYLAND 
The Administrator of General Services shall transfer, without 
consideration, to the Secretary of the Navy such parcel of vacant 
land located at the Suitland Federal Center, Suitland, Maryland, 
as the Administrator, after consultation with the Secretary, 
determines— 
(1) to be excess to the present and anticipated future needs of 
the General Services Administration at the Suitland Federsil 
Center; and 
(2) adequate to accommodate the needs of the Navy for the 
construction and operation of a facility to serve as the Naval 
Intelligence Command Headquarters authorized by section 
2201. 
SEC. 2828. AIR FORCE PLANT AT COLUMBUS, OHIO 
(a) IN GENERAL.—The Secretary of the Air Force may sell or lease, 
or issue a permit to another agency within the Department of 
Defense for use of, all or any portion of Air Force Plant No. 85 
located in Columbus, Ohio. Any such action shall be carried out in 
accordance with applicable law except to the extent that such law is 
inconsistent with this section. 
(b) AUTHORITY OF SECRETARY.—(1) The Secretary shall provide 
that each deed entered into for the transfer of such property shall 
contain a covenant warranting that all remedial action necessary to 
protect human health and the environment with respect to any 
environmental contamination at the plant at the time of the sale, 
including any remedial action found to be necessary with respect to 
such contamination after the date of such transfer, has been or will 
be conducted by the United States. Such covenant shall be in lieu of 
any other covenant or other action required by any applicable law 
with respect to environmental restoration to be taken by the Fed-
eral Government at the plant before such transfer. 
(2) In any case in which the Secretary provides a permit to 
another agency within the Department of Defense to use any por-
tion of the plant, the Secretary may provide for the environmental 
restoration of such portion by such other agency with funds 
available to the Department of the Air Force for environmental 
restoration. 
(3) To the extent that the Secretary decides to take remedial 
action with respect to environmental contamination in any portion 
of the plant before the sale or lease of such portion, the Secretary 
may use funds provided by the purchaser or lessor for such purpose. 
(c) DEDUCTION OF EXPENSE FROM PROCEEDS OF SALE OR LEASE.— 
The Secretary may use the proceeds of any sale or lease of the 
Contracts. 
Safety. 
Environmental 
protection. 
102 STAT. 2124 
PUBLIC LAW 100-456—SEPT. 29, 1988 
property described in subsection (a) to credit the accounts from 
which funds were expended by the Secretary for reasonable and 
necessary expenses, other than for environmental restoration, 
incurred in connection with the sale or lease. The Secretary may 
also use the proceeds of such sale or lease directly for the purpose of 
environmental restoration at the plant. The remaining proceeds of 
the sale or lease shall be credited to the general fund of the 
Treasury. 
(d) ADDITIONAL TERMS.—The Secretary may require such addi-
tional terms and conditions in connection with any sale or lease 
entered into under this section as the Secretary considers appro-
priate to protect the interests of the United States. 
SEC. 2829. LAND CONVEYANCE, FORT JACKSON, SOUTH CAROLINA 
(a) AUTHORITY TO SELL.—Subject to subsections (b) through (e), the 
Secretary of the Army may sell and convey all right, title, and 
interest of the United States in and to a parcel of land, consisting of 
a total of approximately 32 acres, that comprises a portion of Fort 
Jackson, South Carolina, and is excess to the needs of the Army. 
(b) COMPETITIVE BID REQUIREMENT; MINIMUM SALE PRICE.—(1) The 
Secretary shall use competitive procedures for the sale of land 
referred to in subsection (a). 
(2) In no event may any of the land referred to in subsection (a) be 
sold for less than the fair market value of the land, as determined by 
the Secretary. 
(c) USE OF PROCEEDS OF SALE.—(1) The Secretary may use the 
proceeds from the sale of the land referred to in subsection (a) for 
the rehabilitation of military family housing at Fort Jackson, South 
Carolina. 
(2) Any proceeds of the sale not used for such purpose shall be 
covered into the Treasury as miscellaneous receipts. 
(d) LEGAL DESCRIPTION OF LANDS.—The exact acreage and legal 
description of the property to be conveyed under subsection (a) shall 
be determined by a survey that is satisfactory to the Secretary. 
(e) ADDITIONAL TERMS AND CONDITIONS.—The Secretary 
may 
require such additional terms and conditions in connection with any 
transaction authorized by this section as the Secretary considers 
appropriate to protect the interests of the United States. 
Approved September 29, 1988. 
LEGISLATIVE HISTORY—H.R. 4481: 
HOUSE REPORTS: No. 101-735, Pt. 1 (Coram, on Armed Services); Ft. 2 (Comm. on 
Government Operations); Pt. 3 (Comm. on Merchant Marine and 
Fisheries); and Pt. 4 (Comm. on Rules), and No. 100-989 (Comm. 
of Conference). 
CONGRESSIONAL RECORD, Vol. 134 (1988): 
July 7, 12, considered and passed House. 
Sept. 15, considered and passed Senate, amended. 
Sept. 28, House and Senate agreed to conference report.