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104th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     104-863
_______________________________________________________________________
MAKING APPROPRIATIONS FOR THE DEPARTMENT OF DEFENSE FOR THE FISCAL YEAR 
           ENDING SEPTEMBER 30, 1997, AND FOR OTHER PURPOSES
                                _______
               September 28, 1996.--Ordered to be printed
_______________________________________________________________________
    Mr. Livingston, from the committee of conference, submitted the 
                               following
                           CONFERENCE REPORT
                        [To accompany H.R. 3610]
      The committee of conference on the disagreeing votes of 
the two Houses on the amendment of the Senate to the bill (H.R. 
3610) ``making appropriations for the Department of Defense for 
the fiscal year ending September 30, 1997, and for other 
purposes,'' having met, after full and free conference, have 
agreed to recommend and do recommend to their respective Houses 
as follows:
      That the House recede from its disagreement to the 
amendment of the Senate, and agree to the same with an 
amendment, as follows:
      In lieu of the matter stricken and inserted by said 
amendment, insert:
                               division a
That the following sums are appropriated, out of any money in 
the Treasury not otherwise appropriated, for the several 
departments, agencies, corporations and other organizational 
units of the Government for the fiscal year 1997, and for other 
purposes, namely:
  AN ACT Making appropriations for the Department of Defense for the 
     fiscal year ending September 30, 1997, and for other purposes
                                TITLE I
                           MILITARY PERSONNEL
                                TITLE II
                       OPERATION AND MAINTENANCE
                    Operation and Maintenance, Army
                  Former Soviet Union Threat Reduction
      For assistance to the republics of the former Soviet 
Union, including assistance provided by contract or by grants, 
for facilitating the elimination and the safe and secure 
transportation and storage of nuclear, chemical and other 
weapons; for establishing programs to prevent the proliferation 
of weapons, weapons components, and weapon-related technology 
and expertise; for programs relating to the training and 
support of defense and military personnel for demilitarization 
and protection of weapons, weapons components and weapons 
technology and expertise; $327,900,000, to remain available 
until expended.
                               TITLE III  PROCUREMENT
          TITLE IV--RESEARCH, DEVELOPMENT, TEST AND EVALUATION
          Research, Development, Test and Evaluation, Air Force
      For expenses necessary for basic and applied scientific 
research, development, test and evaluation, including 
maintenance, rehabilitation, lease, and operation of facilities 
and equipment; $14,499,606,000, to remain available for 
obligation until September 30, 1998: Provided, That not less 
than $1,000,000 of the funds appropriated in this paragraph 
shall be made available only to assess the budgetary, cost, 
technical, operational, training, and safety issues associated 
with a decision to eliminate development of the F-22B two-seat 
training variant of the F-22 advanced tactical fighter: 
Provided further, That the assessment required by the preceding 
proviso shall be submitted, in classified and unclassified 
versions, by the Secretary of the Air Force to the 
congressional defense committees not later than February 15, 
1997: Provided further, That of the funds made available in 
this paragraph, $10,000,000 shall be only for development of 
reusable launch vehicle technologies.
        Research, Development, Test and Evaluation, Defense-Wide
      For expenses of activities and agencies of the Department 
of Defense (other than the military departments), necessary for 
basic and applied scientific research, development, test and 
evaluation; advanced research projects as may be designated and 
determined by the Secretary of Defense, pursuant to law; 
maintenance, rehabilitation, lease, and operation of facilities 
and equipment; $9,362,800,000, to remain available for 
obligation until September 30, 1998: Provided, That not less 
than $304,171,000 of the funds appropriated in this paragraph 
shall be made available only for the Sea-Based Wide Area 
Defense (Navy Upper-Tier) program.
                TITLE V--REVOLVING AND MANAGEMENT FUNDS
             TITLE VI--OTHER DEPARTMENT OF DEFENSE PROGRAMS
           Chemical Agents and Munitions Destruction, Defense
      For expenses, not otherwise provided for, necessary for 
the destruction of the United States stockpile of lethal 
chemical agents and munitions in accordance with the provisions 
of section 1412 of the Department of Defense Authorization Act, 
1986 (50 U.S.C. 1521), and for the destruction of other 
chemical warfare materials that are not in the chemical weapon 
stockpile, $758,447,000, of which $478,947,000 shall be for 
Operation and maintenance, $191,200,000 shall be for 
Procurement to remain available until September 30, 1999, and 
$88,300,000 shall be for Research, development, test and 
evaluation to remain available until September 30, 1998: 
Provided, That of the funds made available under this heading, 
$1,000,000 shall be available until expended only for a 
Johnston Atoll off-island leave program: Provided further, That 
notwithstanding any other provision of law, the Secretaries 
concerned may, pursuant to uniform regulations prescribe travel 
and transportation allowances for travel by participants in the 
off-island leave program.
         Drug Interdiction and Counter-Drug Activities, Defense
                     (including transfer of funds)
      For drug interdiction and counter-drug activities of the 
Department of Defense, for transfer to appropriations available 
to the Department of Defense for military personnel of the 
reserve components serving under the provisions of title 10 and 
title 32, United States Code; for Operation and maintenance; 
for Procurement; and for Research, development, test and 
evaluation; $807,800,000: Provided, That the funds appropriated 
by this paragraph shall be available for obligation for the 
same time period and for the same purpose as the appropriation 
to which transferred: Provided further, That the transfer 
authority provided in this paragraph is in addition to any 
transfer authority contained elsewhere in this Act.
                      TITLE VII--RELATED AGENCIES
   Central Intelligence Agency Retirement and Disability System Fund
      For payment to the Central Intelligence Agency Retirement 
and Disability System Fund, to maintain proper funding level 
for continuing the operation of the Central Intelligence Agency 
Retirement and Disability System; $196,400,000.
               Intelligence Community Management Account
      For necessary expenses of the Intelligence Community 
Management Account; $129,146,000: Provided, That of the funds 
appropriated under this heading, $27,000,000 shall be 
transferred to the Department of Justice for the National Drug 
Intelligence Center to support the Department of Defense's 
counterdrug monitoring and detection responsibilities.
                     TITLE VIII--GENERAL PROVISIONS
      Sec. 8010. Within the funds appropriated for the 
operation and maintenance of the Armed Forces, funds are hereby 
appropriated pursuant to section 401 of title 10, United States 
Code, for humanitarian and civic assistance costs under chapter 
20 of title 10, United States Code. Such funds may also be 
obligated for humanitarian and civic assistance costs 
incidental to authorized operations and pursuant to authority 
granted in section 401 of chapter 20 of title 10, United States 
Code, and these obligations shall be reported to Congress on 
September 30 of each year: Provided, That funds available for 
operation and maintenance shall be available for providing 
humanitarian and similar assistance by using Civic Action Teams 
in the Trust Territories of the Pacific Islands and freely 
associated states of Micronesia, pursuant to the Compact of 
Free Association as authorized by Public Law 99-239: Provided 
further, That upon a determination by the Secretary of the Army 
that such action is beneficial for graduate medical education 
programs conducted at Army medical facilities located in 
Hawaii, the Secretary of the Army may authorize the provision 
of medical services at such facilities and transportation to 
such facilities, on a nonreimbursable basis, for civilian 
patients from American Samoa, the Commonwealth of the Northern 
Mariana Islands, the Marshall Islands, the Federated States of 
Micronesia, Palau, and Guam.
      Sec. 8037. (a) None of the funds appropriated in this Act 
are available to establish a new Department of Defense 
(department) federally funded research and development center 
(FFRDC), either as a new entity, or as a separate entity 
administrated by an organization managing another FFRDC, or as 
a nonprofit membership corporation consisting of a consortium 
of other FFRDCs and other non-profit entities.
      (b) Limitation on Compensation.--No member of a Board of 
Directors, Trustees, Overseers, Advisory Group, Special Issues 
Panel, Visiting Committee, or any similar entity of a defense 
FFRDC, and no paid consultant to any defense FFRDC, may be 
compensated for his or her services as a member of such entity, 
or as a paid consultant, except under the same conditions, and 
to the same extent, as members of the Defense Science Board: 
Provided, That a member of any such entity referred to 
previously in this subsection shall be allowed travel expenses 
and per diem as authorized under the Federal Joint Travel 
Regulations, when engaged in the performance of membership 
duties.
      (c) Notwithstanding any other provision of law, none of 
the funds available to the department from any source during 
fiscal year 1997 may be used by a defense FFRDC, through a fee 
or other payment mechanism, for charitable contributions, for 
construction of new buildings, for payment of cost sharing for 
projects funded by government grants, or for absorption of 
contract overruns.
      (d) Notwithstanding any other provision of law, of the 
funds available to the department during fiscal year 1997, not 
more than 5,975 staff years of technical effort (staff years) 
may be funded for defense FFRDCs: Provided, That of the 
specific amount referred to previously in this subsection, not 
more than 1,088 staff years may be funded for the defense 
studies and analysis FFRDCs.
      (e) Notwithstanding any other provision of law, the 
Secretary of Defense shall control the total number of staff 
years to be performed by defense FFRDCs during fiscal year 1997 
so as to reduce the total amounts appropriated in titles II, 
III, and IV of this Act by $52,286,000: Provided, That the 
total amounts appropriated in titles II, III, and IV of this 
Act are hereby reduced by $52,286,000 to reflect savings from 
the use of defense FFRDCs by the department.
      (f) Within 60 days after enactment of this Act, the 
Secretary of Defense shall submit to the Congressional defense 
committees a report presenting the specific amounts of staff 
years of technical effort to be allocated by the department for 
each defense FFRDC during fiscal year 1997: Provided, That, 
after the submission of the report required by this subsection, 
the department may not reallocate more than five percent of an 
FFRDC's staff years among other defense FFRDCs until 30 days 
after a detailed justification for any such reallocation is 
submitted to the Congressional defense committees.
      (g) The Secretary of Defense shall, with the submission 
of the department's fiscal year 1998 budget request, submit a 
report presenting the specific amounts of staff years of 
technical effort to be allocated for each defense FFRDC during 
that fiscal year.
      (h) The total amounts appropriated to or for the use of 
the department in titles II, III, and IV of this Act are hereby 
further reduced by $102,286,000 to reflect savings from the 
decreased use of non-FFRDC consulting services by the 
department.
      (i) No part of the reductions contained in subsections 
(e) and (h) of this section may be applied against any budget 
activity, activity group, subactivity group, line item, program 
element, program, project, subproject or activity which does 
not fund defense FFRDC activities or non-FFRDC consulting 
services within each appropriation account.
      (j) Not later than 90 days after enactment of this Act, 
the Secretary of Defense shall submit to the congressional 
defense committees a report listing the specific funding 
reductions allocated to each category listed in subsection (i) 
above pursuant to this section.
      Sec. 8038. None of the funds in this or any other Act 
shall be available for the preparation of studies on--
            (a) the feasibility of removal and transportation 
        of unitary chemical weapons or agents from the eight 
        chemical storage sites within the continental United 
        States to Johnston Atoll: Provided, That this 
        prohibition shall not apply to General Accounting 
        Office studies requested by a Member of Congress or a 
        Congressional Committee; and
            (b) the potential future uses of the nine chemical 
        disposal facilities other than for the destruction of 
        stockpile chemical munitions and as limited by section 
        1412(c)(2), Public Law 99-145: Provided, That this 
        prohibition does not apply to future use studies for 
        the CAMDS facility at Tooele, Utah.
      Sec. 8056. None of the funds appropriated by this Act for 
programs of the Central Intelligence Agency shall remain 
available for obligation beyond the current fiscal year, except 
for funds appropriated for the Reserve for Contingencies, which 
shall remain available until September 30, 1998.
      Sec. 8057. Notwithstanding any other provision of law, 
funds made available in this Act for the Defense Intelligence 
Agency may be used for the design, development, and deployment 
of General Defense Intelligence Program intelligence 
communications and intelligence information systems for the 
Services, the Unified and Specified Commands, and the component 
commands.
      Sec. 8065. Notwithstanding section 142 of H.R. 3230, the 
National Defense Authorization Act for Fiscal Year 1997, as 
passed by the Senate on September 10, 1996, of the funds 
provided in title VI of this Act, under the heading ``Chemical 
Agents and Munitions Destruction, Defense'', $40,000,000 shall 
only be available for the conduct of a pilot program to 
identify and demonstrate not less than two alternatives to the 
baseline incineration process for the demilitarization of 
assembled chemical munitions: Provided, That the Under 
Secretary of Defense for Acquisition and Technology shall, not 
later than December 1, 1996, designate a program manager who is 
not, nor has been, in direct or immediate control of the 
baseline reverse assembly incineration demilitarization program 
to carry out the pilot program: Provided further, That the 
Under Secretary of Defense for Acquisition and Technology shall 
evaluate the effectiveness of each alternative chemical 
munitions demilitarization technology identified and 
demonstrated under the pilot program to demilitarize munitions 
and assembled chemical munitions while meeting all applicable 
Federal and State environmental and safety requirements: 
Provided further, That the Under Secretary of Defense for 
Acquisition and Technology shall transmit, by December 15 of 
each year, a report to the congressional defense committees on 
the activities carried out under the pilot program during the 
preceding fiscal year in which the report is to be made: 
Provided further, That section 142(f)(3) of H.R. 3230, the 
National Defense Authorization Act for Fiscal Year 1997, as 
passed by the Senate on September 10, 1996, is repealed: 
Provided further, That no funds may be obligated for the 
construction of a baseline incineration facility at the 
Lexington Blue Grass Army Depot or the Pueblo Depot activity 
until 180 days after the Secretary of Defense has submitted to 
the congressional defense committees a report detailing the 
effectiveness of each alternative chemical munitions 
demilitarization technology identified and demonstrated under 
the pilot program and its ability to meet the applicable safety 
and environmental requirements: Provided further, That none of 
the funds in this or any other Act may be obligated for the 
preparation of studies, assessments, or planning of the removal 
and transportation of stockpile assembled unitary chemical 
weapons or neutralized chemical agent to any of the eight 
chemical weapons storage sites within the continental United 
States.
      Sec. 8066. (a) None of the funds made available by this 
Act may be obligated for design, development, acquisition, or 
operation of more than 47 Titan IV expendable launch vehicles, 
or for satellite mission-model planning for a Titan IV 
requirement beyond 47 vehicles.
      (b) $59,600,000 made available in this Act for Research, 
Development, Test and Evaluation, Air Force, may only be 
obligated for development of a new family of medium-lift and 
heavy-lift expendable launch vehicles evolved from existing 
technologies.
      Sec. 8067. None of the funds available to the Department 
of Defense in this Act may be used to establish additional 
field operating agencies of any element of the Department 
during fiscal year 1997, except for field operating agencies 
funded within the National Foreign Intelligence Program: 
Provided, That the Secretary of Defense may waive this section 
by certifying to the House and Senate Committees on 
Appropriations that the creation of such field operating 
agencies will reduce either the personnel and/or financial 
requirements of the Department of Defense.
      Sec. 8068. Notwithstanding section 303 of Public Law 96-
487 or any other provision of law, the Secretary of the Navy is 
authorized to lease real and personal property at Naval Air 
Facility, Adak, Alaska, pursuant to 10 U.S.C. 2667(f), for 
commercial, industrial or other purposes.
      Sec. 8074. None of the funds appropriated or otherwise 
made available in this Act may be obligated or expended for 
assistance to the Democratic People's Republic of North Korea 
unless specifically appropriated for that purpose.
      Sec. 8076. Funds appropriated in this Act for operation 
and maintenance of the Military Departments, Unified and 
Specified Commands and Defense Agencies shall be available for 
reimbursement of pay, allowances and other expenses which would 
otherwise be incurred against appropriations for the National 
Guard and Reserve when members of the National Guard and 
Reserve provide intelligence support to Unified Commands, 
Defense Agencies and Joint Intelligence Activities, including 
the activities and programs included within the General Defense 
Intelligence Program and the Consolidated Cryptologic Program: 
Provided, That nothing in this section authorizes deviation 
from established Reserve and National Guard personnel and 
training procedures.
      Sec. 8080. (a) None of the funds available to the 
Department of Defense for any fiscal year for drug interdiction 
or counter-drug activities may be transferred to any other 
department or agency of the United States except as 
specifically provided in an appropriations law.
      (b) None of the funds available to the Central 
Intelligence Agency for any fiscal year for drug interdiction 
and counter-drug activities may be transferred to any other 
department or agency of the United States except as 
specifically provided in an appropriations law.
      Sec. 8097. (a) None of the funds appropriated or 
otherwise made available in this Act may be used to transport 
or provide for the transportation of chemical munitions or 
agents to the Johnston Atoll for the purpose of storing or 
demilitarizing such munitions or agents.
      (b) The prohibition in subsection (a) shall not apply to 
any obsolete World War II chemical munition or agent of the 
United States found in the World War II Pacific Theater of 
Operations.
      (c) The President may suspend the application of 
subsection (a) during a period of war in which the United 
States is a party.
      Sec. 8098. None of the funds provided in title II of this 
Act for ``Former Soviet Union Threat Reduction'' may be 
obligated or expended to finance housing for any individual who 
was a member of the military forces of the Soviet Union or for 
any individual who is or was a member of the military forces of 
the Russian Federation.
      Sec. 8116. Notwithstanding any other provision of law, 
none of the funds appropriated in this Act may be used to 
purchase, install, replace, or otherwise repair any lock on a 
safe or security container which protects information critical 
to national security or any other classified materials and 
which has not been certified as passing the security lock 
specifications contained in regulation FF-L-2740 dated October 
12, 1989, and has not passed all testing criteria and 
procedures established through February 28, 1992: Provided, 
That the Director of Central Intelligence may waive this 
provision, on a case-by-case basis only, upon certification 
that the above cited locks are not adequate for the protection 
of sensitive intelligence information.
      Sec. 8132. The Secretary of Defense shall complete a 
cost/benefit analysis on the establishment of a National 
Missile Defense Joint Program Office: Provided, That the 
Secretary of Defense shall submit a report on this analysis to 
the congressional defense committees not later than March 31, 
1997: Provided further, That the Department of Defense shall 
take no action to establish any National Missile Defense Joint 
Program Office, to reassign service National Missile Defense 
roles and missions under any National Missile Defense Joint 
Program Office strategy or to relocate people under such a 
strategy prior to March 31, 1997.
      Sec. 8136. (a) In addition to any other reductions 
required by this Act, the following funds are hereby reduced 
from the following accounts in title IV of this Act in the 
specified amounts:
            ``Research, Development, Test and Evaluation, 
        Army'', $101,257,000;
            ``Research, Development, Test and Evaluation, 
        Navy'', $164,179,000;
            ``Research, Development, Test and Evaluation, Air 
        Force'', $289,992,000;
            ``Research, Development, Test and Evaluation, 
        Defense-Wide'', $119,483,000; and
            Developmental Test and Evaluation, Defense'', 
        $5,641,000.
      (b) The reductions taken pursuant to subsection (a) shall 
be applied on a pro-rata basis by subproject within each R-1 
program element as modified by this Act, except that no 
reduction may be taken against the funds made available to the 
Department of Defense for Ballistic Missile Defense.
      (c) Unless expressly exempted by subsection (b), each 
program element, program, project, subproject, and activity 
funded by title IV of this Act shall be allocated a pro-rata 
share of any of the reductions made by this section.
      (d) Not later than 60 days after enactment of this Act, 
the Secretary of Defense shall submit to the Congressional 
defense committees a report listing the specific funding 
reductions allocated to each category listed in subsection (c) 
above pursuant to this section.
      Sec. 8137. In addition to amounts appropriated or 
otherwise made available in this Act, $230,680,000 is hereby 
appropriated to the Department of Defense for anti-terrorism, 
counter-terrorism, and security enhancement programs and 
activities, as follows:
            ``Operation and Maintenance, Army'', $15,249,000;
            ``Operation and Maintenance, Navy'', $23,956,000;
            ``Operation and Maintenance, Marine Corps'', 
        $600,000;
            ``Operation and Maintenance, Air Force'', 
        $10,750,000;
            ``Operation and Maintenance, Defense-Wide'', 
        $29,534,000;
            ``Operation and Maintenance, Navy Reserve'', 
        $517,000;
            ``Other Procurement, Army'', $5,252,000;
            ``Other Procurement, Air Force'', $101,472,000;
            ``Procurement, Defense-Wide'', $35,350,000;
            ``Research, Development, Test and Evaluation, 
        Defense-Wide'', $8,000,000:
Provided, That such amounts in their entirety are designated by 
Congress as an emergency requirement pursuant to section 
251(b)(2)(D)(i) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended: Provided further, That funds 
appropriated in this section, or made available by transfer of 
such funds, for programs and activities of the Central 
Intelligence Agency shall remain available until September 30, 
1997: Provided further, That funds appropriated in this 
section, or made available by transfer of such funds, to any 
intelligence agency or activity of the United States Government 
shall be deemed to be specifically authorized by the Congress 
for purposes of section 504 of the National Security Act of 
1947 (50 U.S.C. 414).
      Sec. 8138. Of the amounts provided in Titles I though 
VIII of this Act, $230,680,000 are permanently canceled: 
Provided, That the Secretary of Defense shall allocate the 
amount of budgetary resources canceled by this section on a 
pro-rata basis among each budget activity, activity group and 
subactivity group and each program, project or activity within 
each appropriations account.
      Titles I through VIII of this Act may be cited as the 
``Department of Defense Appropriations Act, 1997''
TITLE IX--FISCAL YEAR 1996 SUPPLEMENTAL APPROPRIATIONS AND RESCISSIONS 
    FOR ANTI-TERRORISM, COUNTER-TERRORISM, AND SECURITY ENHANCEMENT 
                               ACTIVITIES
      The following sums are appropriated, out of any money in 
the Treasury not otherwise appropriated, to provide emergency 
supplemental appropriations for the Department of Defense for 
the fiscal year ending September 30, 1996, namely:
                    DEPARTMENT OF DEFENSE--MILITARY
                           Military Personnel
                        military personnel, army
      For an additional amount for ``Military Personnel, 
Army'', $4,800,000: Provided, That such amount is designated by 
Congress as an emergency requirement pursuant to section 
251(b)(2)(D)(i) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended.
                     military personnel, air force
      For an additional amount for ``Military Personnel, Air 
Force'', $4,000,000: Provided, That such amount is designated 
by Congress as an emergency requirement pursuant to section 
251(b)(2)(D)(i) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended.
                       Operation and Maintenance
                    operation and maintenance, army
      For an additional amount for ``Operation and Maintenance, 
Army'', $21,200,000, to remain available until September 30, 
1997: Provided, That such amount is designated by Congress as 
an emergency requirement pursuant to section 251(b)(2)(D)(i) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
as amended.
                  operation and maintenance, air force
      For an additional amount for ``Operation and Maintenance, 
Air Force'', $67,400,000, to remain available until September 
30, 1997: Provided, That such amount is designated by Congress 
as an emergency requirement pursuant to section 251(b)(2)(D)(i) 
of the Balanced Budget and Emergency Deficit Control Act of 
1985, as amended: Provided further, That these funds may be 
used to liquidate obligations incurred by the Air Force during 
fiscal year 1996 for costs incurred under the authority of the 
Feed and Forage Act (41 U.S.C. 11).
                              Procurement
                        other procurement, army
      For an additional amount for ``Other Procurement, Army'', 
$11,600,000, to remain available until September 30, 1998: 
Provided, That such amount is designated by Congress as an 
emergency requirement pursuant to section 251(b)(2)(D)(i) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
as amended.
                      other procurement, air force
      For an additional amount for ``Other Procurement, Air 
Force'', $13,600,000, to remain available until September 30, 
1998: Provided, That such amount is designated by Congress as 
an emergency requirement pursuant to section 251(b)(2)(D)(i) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
as amended.
                           General Provisions
      Sec. 9002. Funds appropriated by this title, or made 
available by transfer of such funds, for programs and 
activities of the Central Intelligence Agency shall remain 
available until September 30, 1997: Provided, That funds 
appropriated by this title, or made available by transfer of 
such funds, to any intelligence agency or intelligence activity 
of the United States Government shall be deemed to be 
specifically authorized by the Congress for purposes of section 
504 of the National Security Act of 1947 (50 U.S.C. 414).
      (c) For programs, projects or activities in the Foreign 
Operations, Export Financing, and Related Programs 
Appropriations Act, 1997, provided as follows, to be effective 
as if it had been enacted into law as the regular 
appropriations Act:
    AN ACT Making appropriations for the foreign operations, export 
 financing, and related programs for the fiscal year ending September 
                    30, 1997, and for other purposes
               TITLE I--EXPORT AND INVESTMENT ASSISTANCE
                TITLE II--BILATERAL ECONOMIC ASSISTANCE
                  Funds Appropriated to the President
  assistance for the new independent states of the former soviet union
      (a) For necessary expenses to carry out the provisions of 
chapter 11 of part I of the Foreign Assistance Act of 1961 and 
the FREEDOM Support Act, for assistance for the new independent 
states of the former Soviet Union and for related programs, 
$625,000,000, to remain available until September 30, 1998: 
Provided, That the provisions of such chapter shall apply to 
funds appropriated by this paragraph.
      (b) None of the funds appropriated under this heading 
shall be transferred to the Government of Russia--
            (1) unless that Government is making progress in 
        implementing comprehensive economic reforms based on 
        market principles, private ownership, negotiating 
        repayment of commercial debt, respect for commercial 
        contracts, and equitable treatment of foreign private 
        investment; and
            (2) if that Government applies or transfers United 
        States assistance to any entity for the purpose of 
        expropriating or seizing ownership or control of 
        assets, investments, or ventures.
      (c) Funds may be furnished without regard to subsection 
(b) if the President determines that to do so is in the 
national interest.
      (d) None of the funds appropriated under this heading 
shall be made available to any government of the new 
independent states of the former Soviet Union if that 
government directs any action in violation of the territorial 
integrity or national sovereignty of any other new independent 
state, such as those violations included in the Helsinki Final 
Act: Provided, That such funds may be made available without 
regard to the restriction in this subsection if the President 
determines that to do so is in the national security interest 
of the United States: Provided further, That the restriction of 
this subsection shall not apply to the use of such funds for 
the provision of assistance for purposes of humanitarian, 
disaster and refugee relief.
      (e) None of the funds appropriated under this heading for 
the new independent states of the former Soviet Union shall be 
made available for any state to enhance its military 
capability: Provided, That this restriction does not apply to 
demilitarization or nonproliferation programs.
      (f) Funds appropriated under this heading shall be 
subject to the regular notification procedures of the 
Committees on Appropriations.
      (g) Funds made available in this Act for assistance to 
the new independent states of the former Soviet Union shall be 
subject to the provisions of section 117 (relating to 
environment and natural resources) of the Foreign Assistance 
Act of 1961.
      (h)(1) Of the funds appropriated under title II of this 
Act, including funds appropriated under this heading, not less 
than $10,000,000 shall be available only for assistance for 
Mongolia, of which amount not less than $6,000,000 shall be 
available only for the Mongolian energy sector.
      (2) Funds made available for assistance for Mongolia may 
be made available in accordance with the purposes and utilizing 
the authorities provided in chapter 11 of part I of the Foreign 
Assistance Act of 1961.
      (i) Funds made available in this Act for assistance to 
the New Independent States of the former Soviet Union shall be 
provided to the maximum extent feasible through the private 
sector, including small- and medium-size businesses, 
entrepreneurs, and others with indigenous private enterprises 
in the region, intermediary development organizations committed 
to private enterprise, and private voluntary organizations: 
Provided, That grantees and contractors should, to the maximum 
extent possible, place in key staff positions specialists with 
prior on the ground expertise in the region of activity and 
fluency in one of the local languages.
      (j) In issuing new task orders, entering into contracts, 
or making grants, with funds appropriated under this heading or 
in prior appropriations Acts, for projects or activities that 
have as one of their primary purposes the fostering of private 
sector development, the Coordinator for United States 
Assistance to the New Independent States and the implementing 
agency shall encourage the participation of and give 
significant weight to contractors and grantees who propose 
investing a significant amount of their own resources 
(including volunteer services and in-kind contributions) in 
such projects and activities.
      (k) Off the funds made available under this heading, not 
less than $225,000,000 shall be made available for Ukraine, of 
which funds not less than $25,000,000 shall be made available 
to carry out United States decommissioning obligations 
regarding the Chornobyl plant made in the Memorandum of 
Understanding between the Government of Ukraine and the G-7 
Group: Provided, That not less than $35,000,000 shall be made 
available for agricultural projects, including those undertaken 
through the Food Systems Restructuring Program, which leverage 
private sector resources with United States Government 
assistance: Provided further, That $5,000,000 shall be 
available for a small business incubator project: Provided 
further, That $5,000,000 shall be made available for screening 
and treatment of childhood mental and physical illnesses 
related to Chornobyl radiation: Provided further, That 
$5,000,000 shall be available only for a land and resource 
management institute to identify nuclear contamination at 
Chornobyl: Provided further, That $15,000,000 shall be 
available for the legal restructuring necessary to support a 
decentralized market-oriented economic system, including 
enactment of necessary substantive commercial law, 
implementation of reforms necessary to establish an independent 
judiciary and bar, legal education for judges, attorneys, and 
law students, and education of the public designed to promote 
understanding of a law-based economy.
      (l) Of the funds made available for Ukraine, under this 
Act and Public Law 104-107, not less than $50,000,000 shall be 
made available to improve safety at nuclear reactors: Provided, 
that of this amount $20,000,000 shall be provided for the 
purchase and installation of, and training for, safety 
parameter display or control systems at all operational nuclear 
reactors: Provided further, That of this amount, $20,000,000 
shall be made available for the purchase, construction, 
installation and training for Full Scope and Analytical/
Engineering simulators: Provided further, That of this amount 
funds shall be made available to conduct Safety Analysis 
Reports at all operational nuclear reactors.
      (m) Of the funds made available by this Act, not less 
than $95,000,000 shall be made available for Armenia.
      (n) Funds appropriated under this heading or in prior 
appropriations Acts that are or have been made available for an 
Enterprise Fund may be deposited by such Fund in interest-
bearing accounts prior to the disbursement of such funds by the 
Fund for program purposes. The Fund may retain for such program 
proposes any interest earned on such deposits without returning 
such interest to the Treasury of the United States and without 
further appropriation by the Congress. Funds made available for 
Enterprise Funds shall be expended at the minimum rate 
necessary to make timely payment for projects and activities.
      (o)(1) None of the funds appropriated under this heading 
may be made available for Russia unless the President 
determines and certifies in writing to the Committees on 
Appropriations that the Government of Russia has terminated 
implementation of arrangements to provide Iran with technical 
expertise, training, technology, or equipment necessary to 
develop a nuclear reactor or related nuclear research 
facilities or programs.
      (2) Paragraph (1) shall not apply if the President 
determines that making such funds available is important to the 
national security interest of the United States. Any such 
determination shall cease to be effective six months after 
being made unless the President determines that its 
continuation is important to the national security interest of 
the United States.
      (p) Of the funds made available under this heading, not 
less than $10,000,000 shall be made available for a United 
States contribution to the Trans-Caucasus Enterprise Fund: 
Provided, That to further the development of the private sector 
in the Trans-Caucasus, such amount and amounts appropriated for 
purposes of subsection (t) under the heading ``Assistance for 
the New Independent States of the Former Soviet Union'' in 
Public Law 104-107 may be invested in a Trans-Caucasus 
Enterprise Fund or, notwithstanding the provisions of such 
subsection, invested in other funds established by public or 
private organizations, or transferred to the Overseas Private 
Investment Corporation to be available, subject to the 
requirements of the Federal Credit Reform Act, to subsidize the 
costs of direct and guaranteed loans.
      (q)(1) Funds appropriated under this heading may not be 
made available for the Government of Ukraine if the President 
determines and reports to the Committees on Appropriations that 
the Government of Ukraine is engaged in military cooperation 
with the Government of Libya.
      (2) Paragraph (1) shall not apply if the President 
determines that making such funds available is important to the 
national security interest of the United States. Any such 
determination shall cease to be effective six months after 
being made unless the President determines that its 
continuation is important to the national security interest of 
the United States.
      (r) Of the funds appropriated under this heading, not 
less than $15,000,000 should be available only for a family 
planning program for the New Independent States of the former 
Soviet Union comparable to the family planning program 
currently administered by the Agency for International 
Development in the Central Asian Republics and focusing on 
population assistance which provides an alternative to 
abortion.
      (s) Funds made available under this Act or any other Act 
(other than assistance under title V of the FREEDOM Support Act 
and section 1424 of the ``National Defense Authorization Act 
for Fiscal Year 1997'') may not be provided for assistance to 
the Government of Azerbaijan until the President determines, 
and so reports to the Congress, that the Government of 
Azerbaijan is taking demonstrable steps to cease all blockades 
and other offensive uses of force against Armenia and Nagorno-
Karabakh.
      (t) Of the funds appropriated under this heading, not 
less than $2,500,000 shall be made available for the American-
Russian Center.
    nonproliferation, anti-terrorism, demining and related programs
      For necessary expenses for nonproliferation, anti-
terrorism and related programs and activities, $133,000,000, to 
carry out the provisions of chapter 8 of part II of the Foreign 
Assistance Act of 1961 for anti-terrorism assistance, section 
504 of the FREEDOM Support Act for the Nonproliferation and 
Disarmament Fund, section 23 of the Arms Export Control Act for 
demining activities, notwithstanding any other provision of 
law, including activities implemented through nongovernmental 
and international organizations, section 301 of the Foreign 
Assistance Act of 1961 for a voluntary contribution to the 
International Atomic Energy Agency (IAEA) and a voluntary 
contribution to the Korean Peninsula Energy Development 
Organization (KEDO), and for the acquisition and provision of 
goods and services, or for grants to Israel necessary to 
support the eradication of terrorism in and around Israel: 
Provided, That of this amount not to exceed $15,000,000, to 
remain available until expended, may be made available for the 
Nonproliferation and Disarmament Fund, notwithstanding any 
other provision of law, to promote bilateral and multilateral 
activities relating to nonproliferation and disarmament: 
Provided further, That such funds may also be used for such 
countries other than the new independent states of the former 
Soviet Union and international organizations when it is in the 
national security interest of the United States to do so: 
Provided further, That such funds shall be subject to the 
regular notification procedures of the Committees on 
Appropriations: Provided further, That funds appropriated under 
this heading may be made available for the International Atomic 
Energy Agency only if the Secretary of State determines (and so 
reports to the Congress) that Israel is not being denied its 
right to participate in the activities of that Agency: Provided 
further, That not to exceed $25,000,000 may be made available 
to the Korean Peninsula Energy Development Organization (KEDO) 
only for the administrative expenses and heavy fuel oil costs 
associated with the Agreed Framework: Provided further, That 
such funds may be obligated to KEDO only if, prior to such 
obligation of funds, the President certifies and so reports to 
Congress that (1)(A) of the United States is taking steps to 
assure that progress is made on the implementation of the 
January 1, 1992, Joint Declaration on the Denuclearization of 
the Korean Peninsula and the implementation of the North-South 
dialogue, and (B) North Korea is complying with the other 
provisions of the Agreed Framework between North Korea and the 
United States and with the Confidential Minute; (2) North Korea 
is cooperating fully in the canning and safe storage of all 
spent fuel from its graphite-moderated nuclear reactors and 
that such canning and safe storage is scheduled to be completed 
by the end of fiscal year 1997; and (3) North Korea has not 
significantly diverted assistance provided by the United States 
for purposes for which it was not intended: Provided further, 
That the President may waive the certification requirements of 
the preceding proviso if the President determines that it is 
vital to the national security interests of the United States: 
Provided further, That no funds may be obligated for KEDO until 
30 calendar days after submission to Congress of the waiver 
permitted under the preceding proviso: Provided further, That 
before obligating any funds for KEDO, the President shall 
report to Congress on (1) the cooperation of North Korea in the 
process of returning to the United States the remains of United 
States military personnel who are listed as missing in action 
as a result of the Korean conflict (including conducting joint 
field activities with the United States); (2) violations of the 
military armistice agreement of 1953; (3) the actions which the 
United States is taking to assure that North Korea is 
consistently taking steps to implement the Joint Declaration on 
Denuclearization of the Korean Peninsula and engage in North-
South dialogue; and (4) all instances of non-compliance with 
the Agreed Framework between North Korea and the United States 
and the Confidential Minute, including diversion of heavy fuel 
oil: Provided further, That the obligation of such funds shall 
be subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That the 
Secretary of State shall submit to the appropriate 
congressional committees an annual report (to be submitted with 
the annual presentation for appropriations) providing a full 
and detailed accounting of the fiscal year request for the 
United States contribution to KEDO, the expected operating 
budget of the Korean Peninsula Energy Development Organization, 
to include proposed annual costs associated with heavy fuel oil 
purchases and other related activities, and the amount of funds 
pledged by other donor nations and organizations to support 
KEDO activities on a per country basis.
                     TITLE III--MILITARY ASSISTANCE
                      TITLE V--GENERAL PROVISIONS
                 prohibition on financing nuclear goods
      Sec. 506. None of the funds appropriated or made 
available (other than funds for ``Nonproliferation, 
Antiterrorism, Demining and Related Programs'') pursuant to 
this Act, for carrying out the Foreign Assistance Act of 1961, 
may be used, except for purposes of nuclear safety, to finance 
the export of nuclear equipment, fuel, or technology.
        prohibition against direct funding for certain countries
      Sec. 507. None of the funds appropriated or otherwise 
made available pursuant to this Act shall be obligated or 
expended to finance directly any assistance or reparations to 
Cuba, Iraq, Libya, North Korea, Iran, Sudan, or Syria: 
Provided, That for purposes of this section, the prohibition on 
obligations or expenditures shall include direct loans, 
credits, insurance and guarantees of the Export-Import Bank or 
its agents.
                              north korea
      Sec. 585. Ninety days after the date of enactment of this 
Act, and every 180 days thereafter, the Secretary of State, in 
consultation with the Secretary of Defense, shall provide a 
report in a classified or unclassified form to the Committee on 
Appropriations including the following information:
            (a) a best estimate on fuel used by the military 
        forces of the Democratic People's Republic of Korea 
        (DPRK);
            (b) the deployment position and military training 
        and activities of the DPRK forces and best estimate of 
        the associated costs of these activities;
            (c) steps taken to reduce the DPRK level of forces; 
        and
            (d) cooperation, training, or exchanges of 
        information, technology or personnel between the DPRK 
        and any other nation supporting the development or 
        deployment of a ballistic missile capability.
                                TITLE VI
               NATO ENLARGEMENT FACILITATION ACT OF 1996
SEC. 601. SHORT TITLE.
      This title may be cited as the ``NATO Enlargement 
Facilitation Act of 1996''.
SEC. 602. FINDINGS.
      The Congress makes the following findings:
            (1) Since 1949, the North Atlantic Treaty 
        Organization (NATO) has played an essential role in 
        guaranteeing the security, freedom, and prosperity of 
        the United States and its partners in the Alliance.
            (2) The NATO Alliance is, and has been since its 
        inception, purely defensive in character, and it poses 
        no threat to any nation. The enlargement of the NATO 
        Alliance to include as full and equal members emerging 
        democracies in Central and Eastern Europe will serve to 
        reinforce stability and security in Europe by fostering 
        their integration into the structures which have 
        created and sustained peace in Europe since 1945. Their 
        admission into NATO will not threaten any nation. 
        America's security, freedom, and prosperity remain 
        linked to the security of the countries of Europe.
            (3) The sustained commitment of the member 
        countries of NATO to a mutual defense has made possible 
        the democratic transformation of Central and Eastern 
        Europe. Members of the Alliance can and should play a 
        critical role in addressing the security challenges of 
        the post-Cold War era and in creating the stable 
        environment needed for those emerging democracies in 
        Central and Eastern Europe to successfully complete 
        political and economic transformation.
            (4) The United States continues to regard the 
        political independence and territorial integrity of all 
        emerging democracies in Central and Eastern Europe as 
        vital to European peace and security.
            (5) The active involvement by the countries of 
        Central and Eastern Europe has made the Partnership for 
        Peace program an important forum to foster cooperation 
        between NATO and those countries seeking NATO 
        membership.
            (6) NATO has enlarged its membership on 3 different 
        occasions since 1949.
            (7) Congress supports the admission of qualified 
        new members to NATO and the European Union at an early 
        date and has sought to facilitate the admission of 
        qualified new members into NATO.
            (8) Lasting security and stability in Europe 
        requires not only the military integration of emerging 
        democracies in Central and Eastern Europe into existing 
        European structures, but also the eventual economic and 
        political integration of these countries into existing 
        European structures.
            (9) As new members of NATO assume the 
        responsibilities of Alliance membership, the costs of 
        maintaining stability in Europe should be shared more 
        widely. Facilitation of the enlargement process will 
        require current members of NATO, and the United States 
        in particular, to demonstrate the political will needed 
        to build on successful ongoing programs such as the 
        Warsaw Initiative and the Partnership for Peace by 
        making available the resources necessary to supplement 
        efforts prospective new members are themselves 
        undertaking.
            (10) New members will be full members of the 
        Alliance, enjoying all rights and assuming all the 
        obligations under the North Atlantic Treaty, signed at 
        Washington on April 4, 1949 (hereafter in this Act 
        referred to as the ``Washington Treaty'').
            (11) In order to assist emerging democracies in 
        Central and Eastern Europe that have expressed interest 
        in joining NATO to be prepared to assume the 
        responsibilities of NATO membership, the United States 
        should encourage and support efforts by such countries 
        to develop force structures and force modernization 
        priorities that will enable such countries to 
        contribute to the full range of NATO missions, 
        including, most importantly, territorial defense of the 
        Alliance.
            (12) Cooperative regional peacekeeping initiatives 
        involving emerging democracies in Central and Eastern 
        Europe that have expressed interest in joining NATO, 
        such as the Baltic Peacekeeping Battalion, the Polish-
        Lithuanian Joint Peacekeeping Force, and the Polish-
        Ukrainian Peacekeeping Force, can make an important 
        contribution to European peace and security and 
        international peacekeeping efforts, can assist those 
        countries preparing to assume the responsibilities of 
        possible NATO membership, and accordingly should 
        receive appropriate support from the United States.
            (13) NATO remains the only multilateral security 
        organization capable of conducting effective military 
        operations and preserving security and stability of the 
        Euro-Atlantic region.
            (14) NATO is an important diplomatic forum and has 
        played a positive role in defusing tensions between 
        members of the Alliance and, as a result, no military 
        action has occurred between two Alliance member states 
        since the inception of NATO in 1949.
            (15) The admission to NATO of emerging democracies 
        in Central and Eastern Europe which are found to be in 
        a position to further the principles of the Washington 
        Treaty would contribute to international peace and 
        enhance the security of the region. Countries which 
        have become democracies and established market 
        economies, which practice good neighborly relations, 
        and which have established effective democratic 
        civilian control over their defense establishments and 
        attained a degree of interoperability with NATO, should 
        be evaluated for their potential to further the 
        principles of the Washington Treaty.
            (16) Democratic civilian control of defense forces 
        is an essential element in the process of preparation 
        for those states interested in possible NATO 
        membership.
            (17) Protection and promotion of fundamental 
        freedoms and human rights is an integral aspect of 
        genuine security, and in evaluating requests for 
        membership in NATO, the human rights records of the 
        emerging democracies in Central and Eastern Europe 
        should be evaluated according to their commitments to 
        fulfill in good faith the human rights obligations of 
        the Charter of the United Nations, the principles of 
        the Universal Declaration on Human Rights, and the 
        Helsinki Final Act.
            (18) A number of Central and Eastern European 
        countries have expressed interest in NATO membership, 
        and have taken concrete steps to demonstrate this 
        commitment, including their participation in 
        Partnership for Peace activities.
            (19) The Caucasus region remains important 
        geographically and politically to the future security 
        of Central Europe. As NATO proceeds with the process of 
        enlargement, the United States and NATO should continue 
        to examine means to strengthen the sovereignty and 
        enhance the security of United Nations recognized 
        countries in that region.
            (20) In recognition that not all countries which 
        have requested membership in NATO will necessarily 
        qualify at the same pace, the accession date for each 
        new member will vary.
            (21) The provision of additional NATO transition 
        assistance should include those emerging democracies 
        most ready for closer ties with NATO and should be 
        designed to assist other countries meeting specified 
        criteria of eligibility to move forward toward eventual 
        NATO membership.
            (22) The Congress of the united States finds in 
        particular that Poland, Hungary, and the Czech Republic 
        have made significant progress toward achieving the 
        criteria set forth in section 203(d)(3) of the NATO 
        Participation Act of 1994 and should be eligible for 
        the additional assistance described in this Act.
            (23) The evaluation of future membership in NATO 
        for emerging democracies in Central and Eastern Europe 
        should be based on the progress of those nations in 
        meeting criteria for NATO membership, which require 
        enhancement of NATO's security and the approval of all 
        NATO members.
            (24) The process of NATO enlargement entails the 
        consensus agreement of the governments of all 16 NATO 
        members and ratification in accordance with their 
        constitutional procedures.
            (25) Some NATO members, such as Spain and Norway, 
        do not allow the deployment of nuclear weapons on their 
        territory although they are accorded the full 
        collective security guarantees provided by Article 5 of 
        the Washington Treaty. There is no a priori requirement 
        for the stationing of nuclear weapons on the territory 
        of new NATO members, particularly in the current 
        security climate. However, NATO retains the right to 
        alter its security posture at any time as circumstances 
        warrant.
SEC. 603. UNITED STATES POLICY.
      It is the policy of the United States--
            (1) to join with the NATO allies of the United 
        States to adapt the role of the NATO Alliance in the 
        post-Cold War world;
            (2) to actively assist the emerging democracies in 
        Central and Eastern Europe in their transition so that 
        such countries may eventually qualify for NATO 
        membership;
            (3) to support the enlargement of NATO in 
        recognition that enlargement will benefit the interests 
        of the United States and the Alliance and to consider 
        these benefits in any analysis of the costs of NATO 
        enlargement;
            (4) to ensure that all countries in Central and 
        Eastern Europe are fully aware of and capable of 
        assuming the costs and responsibilities of NATO 
        membership, including the obligation set forth in 
        Article 10 of the Washington Treaty that new members be 
        able to contribute to the security of the North 
        Atlantic area; and
            (5) to work to define a constructive and 
        cooperative political and security relationship between 
        an enlarged NATO and the Russian Federation.
SEC. 604. SENSE OF THE CONGRESS REGARDING FURTHER ENLARGEMENT OF NATO.
      It is the sense of the Congress that in order to promote 
economic stability and security in Slovakia, Estonia, Latvia, 
Lithuania, Romania, Bulgaria, Albania, Moldova, and Ukraine--
            (1) the United States should continue and expand 
        its support for the full and active participation of 
        these countries in activities appropriate for 
        qualifying for NATO membership;
            (2) the United States Government should use all 
        diplomatic means available to press the European Union 
        to admit as soon as possible any country which 
        qualifies for membership;
            (3) the United States Government and the North 
        Atlantic Treaty Organization should continue and expand 
        their support for military exercises and peacekeeping 
        initiatives between and among these nations, nations of 
        the North Atlantic Treaty Organization, and Russia; and
            (4) the process of enlarging NATO to include 
        emerging democracies in Central and Eastern Europe 
        should not be limited to consideration of admitting 
        Poland, Hungary, the Czech Republic, and Slovenia as 
        full members of the NATO Alliance.
SEC. 605. SENSE OF THE CONGRESS REGARDING ESTONIA, LATVIA AND 
                    LITHUANIA.
      In view of the forcible incorporation of Estonia, Latvia, 
Lithuania into the Soviet Union in 1940 under the Molotov-
Ribbentrop Pact and the refusal of the United States and other 
countries to recognize that incorporation of over 50 years, it 
is the sense of the Congress that--
            (1) Estonia, Latvia, and Lithuania have valid 
        historical security concerns that must be taken into 
        account by the United States; and
            (2) Estonia, Latvia, and Lithuania should not be 
        disadvantaged in seeking to join NATO by virtue of 
        their forcible incorporation into the Soviet Union.
SEC. 606. DESIGNATION OF COUNTRIES ELIGIBLE FOR NATO ENLARGEMENT 
                    ASSISTANCE.
      (a) In General.--The following countries are designated 
as eligible to receive assistance under the program established 
under section 203(a) of the NATO Participation Act of 1994 and 
shall be deemed to have been so designated pursuant to section 
203(d)(1) of such Act: Poland, Hungary, and the Czech Republic.
      (b) Designation of Slovenia.--Effective 90 days after the 
date of enactment of this Act, Slovenia is designated as 
eligible to receive assistance under the program established 
under section 203(a) of the NATO Participation Act of 1994, and 
shall be deemed to have been so designated pursuant to section 
203(d) of such Act, unless the President certifies the Congress 
prior to such effective date that Slovenia fails to meet the 
criteria under section 203(d)(3) of such Act.
      (c) Designation of Other Countries.--The President shall 
designate other emerging democracies in Central and Eastern 
Europe as eligible to receive assistance under the program 
established under section 203(a) of such Act if such 
countries--
            (1) have expressed a clear desire to join NATO;
            (2) have begun an individualized dialogue with NATO 
        in preparation for accession;
            (3) are strategically significant to an effective 
        NATO defense; and
            (4) meet the other criteria outlined in section 
        203(d)(3) of the NATO Participation Act of 1994 (title 
        II of Public Law 103-447; 22 U.S.C. 1928 note).
      (d) Rule of Construction.--Nothing in this section 
precludes the designation by the President of Estonia, Latvia, 
Lithuania, Romania, Slovakia, Bulgaria, Albania, Moldova, 
Ukraine, or any other emerging democracy in Central and Eastern 
Europe pursuant to section 203(d) of the NATO Participation Act 
of 1994 as eligible to receive assistance under the program 
established under section 203(a) of such Act.
SEC. 607. AUTHORIZATION OF APPROPRIATIONS FOR NATO ENLARGEMENT 
                    ASSISTANCE.
      (a) In General.--There are authorized to be appropriated 
$60,000,000 for fiscal year 1997 for the program established 
under section 203(a) of the NATO Participation Act of 1994.
      (b) Availability.--Of the funds authorized to be 
appropriated by subsection (a)--
            (1) not less than $20,000,000 shall be available 
        for the cost, as defined in section 502(5) of the 
        Credit Reform Act of 1990, of direct loans pursuant to 
        the authority of section 203(c)(4) of the NATO 
        Participation Act of 1994 (relating to the ``Foreign 
        Military Financing Program'');
            (2) not less than $30,000,000 shall be available 
        for assistance on a grant basis pursuant to the 
        authority of section 203(c)(4) of the NATO 
        Participation Act of 1994 (relating to the ``Foreign 
        Military Financing Program''); and
            (3) not more than $10,000,000 shall be available 
        for assistance pursuant to the authority of section 
        203(c)(3) of the NATO Participation Act of 1994 
        (relating to international military education and 
        training).
      (c) Rule of Construction.--Amounts authorized to be 
appropriated under this section are authorized to be 
appropriated in addition to such amounts as otherwise may be 
available for such purposes.
SEC. 608. REGIONAL AIRSPACE INITIATIVE AND PARTNERSHIP FOR PEACE 
                    INFORMATION MANAGEMENT SYSTEM.
      (a) In General.--To the extent provided in advance in 
appropriations acts for such purposes, funds described in 
subsection (b) are authorized to be made available to support 
the implementation of the Regional Airspace Initiative and the 
Partnership for Peace Information Management System, 
including--
            (1) the procurement of items in support of these 
        programs; and
            (2) the transfer of such items to countries 
        participating in these programs.
      (b) Funds Described.--Funds described in this subsection 
are funds that are available--
            (1) during any fiscal year under the NATO 
        Participation Act of 1994 with respect to countries 
        eligible for assistance under that Act; or
            (2) during fiscal year 1997 under any Act to carry 
        out the Warsaw Initiative.
SEC. 609. EXCESS DEFENSE ARTICLES.
      (a) Priority Delivery.--Notwithstanding any other 
provision of law, the delivery of excess defense articles under 
the authority of section 203(c) (1) and (2) of the NATO 
Participation Act of 1994 and section 516 of the Foreign 
Assistance Act of 1961 shall be given priority to the maximum 
extent feasible over the delivery of such excess defense 
articles to all other countries except those countries referred 
to in section 541 of the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act, 1995 (Public Law 103-
306; 108 Stat. 1640).
      (b) Cooperative Regional Peacekeeping Initiatives.--The 
Congress encourages the President to provide excess defense 
articles and other appropriate assistance to cooperative 
regional peacekeeping initiatives involving emerging 
democracies in Central and Eastern Europe that have expressed 
an interest in joining NATO in order to enhance their ability 
to contribute to European peace and security and international 
peacekeeping efforts.
SEC. 610. MODERNIZATION OF DEFENSE CAPABILITY.
      The Congress endorses efforts by the United States to 
modernize the defense capability of Poland, Hungary, the Czech 
Republic, Slovenia, and any other countries designated by the 
President pursuant to section 203(d) of the NATO Participation 
Act of 1994, by exploring with such countries options for the 
sale or lease to such countries of weapons systems compatible 
with those used by NATO members, including air defense systems, 
advanced fighter aircraft, and telecommunications 
infrastructure.
SEC. 611. TERMINATION OF ELIGIBILITY.
      (a) Termination of Eligibility.--The eligibility of a 
country designated pursuant to subsection (a) or (b) of section 
606 or pursuant to section 203(d) of the NATO Participation Act 
of 1994 may be terminated upon a determination by the President 
that such country does not meet the criteria set forth in 
section 203(d)(3) of the NATO Participation Act of 1994.
      (b) Notification.--At least 15 days before terminating 
the eligibility of any country pursuant to subsection (a), the 
President shall notify the congressional committees specified 
in section 634A of the Foreign Assistance Act of 1961 in 
accordance with the procedures applicable to reprogramming 
notifications under that section.
SEC. 612. CONFORMING AMENDMENTS TO THE NATO PARTICIPATION ACT.
      The NATO Participation Act of 1994 (title II of Public 
Law 103-447; 22 U.S.C. 1928 note) is amended in sections 
203(a), 203(d)(1), and 203(d)(2) by striking ``countries 
emerging from communist domination'' each place it appears and 
inserting ``emerging democracies in Central and Eastern 
Europe''.
                      TITLE V--GENERAL PROVISIONS
 AN ACT Making appropriations for the Treasury Department, the United 
   States Postal Service, the Executive Office of the President, and 
certain Independent Agencies, for the fiscal year ending September 30, 
                      1997, and for other purposes
                  TITLE I--DEPARTMENT OF THE TREASURY
          Treasury Buildings and Annex Repair and Restoration
                      including transfer of funds
    For the repair, alteration, and improvement of the Treasury 
Building and Annex, $28,213,000, to remain available until 
expended: Provided, That funds previously made available under 
this title for the Secret Service Headquarter's building shall 
be transferred to the Secret Service Acquisition, Construction, 
Improvement and Related Expenses appropriation.
                  Financial Crimes Enforcement Network
                        salaries and expenses
    For necessary expenses of the Financial Crimes Enforcement 
Network, including hire of passenger motor vehicles; travel 
expenses of non-Federal law enforcement personnel to attend 
meetings concerned with financial intelligence activities, law 
enforcement, and financial regulation; not to exceed $14,000 
for official reception and representation expenses; and for 
assistance to Federal law enforcement agencies, with or without 
reimbursement; $22,387,000: Provided, That notwithstanding any 
other provision of law, the Director of the Financial Crimes 
Enforcement Network may procure up to $500,000 in specialized, 
unique, or novel automatic data processing equipment, ancillary 
equipment, software, services, and related resources from 
commercial vendors without regard to otherwise applicable 
procurement laws and regulations and without full and open 
competition, utilizing procedures best suited under the 
circumstances of the procurement to efficiently fulfill the 
agency's requirements: Provided further, That funds 
appropriated in this account may be used to procure personal 
services contracts.
                                          Secret Service
     acquisition, construction, improvement, and related expenses
                     (including transfer of funds)
    For necessary expenses of construction, repair, alteration, 
and improvement of facilities, $37,365,000, of which $8,200,000 
shall be available for the Rowley Secret Service Training 
Center, to remain available until expended: Provided, That 
funds previously provided under the title, ``Treasury Buildings 
and Annex Repair and Restoration,'' for the Secret Service's 
Headquarters Building, shall be transferred to this account: 
Provided further, That funds for the Rowley Secret Service 
Training Center shall not be available until a prospectus 
authorizing such facilities is approved in accordance with the 
Public Buildings Act of 1959, as amended, except that funds may 
be expended for required expenses in connection with the 
development of a proposed prospectus.
                      TITLE VI--GENERAL PROVISIONS
    Sec. 619. Notwithstanding section 1346 of title 31, United 
States Code, or section 613 of this Act, funds made available 
for fiscal year 1997 by this or any other Act shall be 
available for the interagency funding of national security and 
emergency preparedness telecommunications initiatives which 
benefit multiple Federal departments, agencies, or entities, as 
provided by Executive Order Numbered 12472 (April 3, 1984).
    Sec. 620. (a) None of the funds appropriated by this or any 
other Act may be obligated or expended by any Federal 
department, agency, or other instrumentality for the salaries 
or expenses of any employee appointed to a position of a 
confidential or policy-determining character excepted from the 
competitive service pursuant to section 3302 of title 5, United 
States Code, without a certification to the Office of Personnel 
Management from the head of the Federal department, agency, or 
other instrumentality employing the Schedule C appointee that 
the Schedule C position was not created solely or primarily in 
order to detail the employee to the White House.
    (b) The provisions of this section shall not apply to 
Federal employees or members of the armed services detailed to 
or from--
            (1) the Central Intelligence Agency;
            (2) the National Security Agency;
            (3) the Defense Intelligence Agency;
            (4) the offices within the Department of Defense 
        for the collection of specialized national foreign 
        intelligence through reconnaissance programs;
            (5) the Bureau of Intelligence and Research of the 
        Department of State;
            (6) any agency, office, or unit of the Army, Navy, 
        Air Force, and Marine Corps, the Federal Bureau of 
        Investigation and the Drug Enforcement Administration 
        of the Department of Justice, the Department of 
        Transportation, the Department of the Treasury, and the 
        Department of Energy performing intelligence functions; 
        and
            (7) the Director of Central Intelligence.
                  FUNDS APPROPRIATED TO THE PRESIDENT
                                   CHAPTER 7
                   INTERNATIONAL SECURITY ASSISTANCE
    nonproliferation, anti-terrorism, demining and related programs
      For an additional amount for nonproliferation, anti-
terrorism and related programs and activities, $18,000,000, to 
carry out the provisions of chapter 8 of part II of the Foreign 
Assistance Act of 1961 for anti-terrorism assistance.
                   foreign military financing program
      For an additional amount for grants to enable the 
President to carry out the provisions of section 23 of the Arms 
Export Control Act, $60,000,000.
                        peacekeeping operations
      For necessary expenses to carry out the provisions of 
section 551 of the Foreign Assistance Act of 1961, $65,000,000: 
Provided, That none of the funds appropriated under this 
paragraph shall be obligated or expended except as provided 
through the regular notification procedures of the Committees 
on Appropriations.
                               CHAPTER 8
                           GENERAL PROVISIONS
      Sec. 5801. Of the amounts made available in Title IV of 
the Department of Defense Appropriations Act, 1997, under the 
heading ``Research, Development, Test and Evaluation, Defense-
Wide'', $56,232,000 shall be made available only for the Corps 
Surface-to-Air Missile (CORPS SAM) program.
DIVISION C--ILLEGAL IMMIGRATION REFORM AND IMMIGRANT RESPONSIBILITY ACT 
                                OF 1996
SEC. 107. REPORT ON BORDER STRATEGY.
    (a) Evaluation of Strategy.--The Comptroller General of the 
United States shall track, monitor, and evaluate the Attorney 
General's strategy to deter illegal entry in the United States 
to determine the efficacy of such strategy.
    (b) Cooperation.--The Attorney General, the Secretary of 
State, and the Secretary of Defense shall cooperate with the 
Comptroller General of the United States in carrying out 
subsection (a).
    (c) Report.--Not later than one year after the date of the 
enactment of this Act, and every year thereafter for the 
succeeding 5 years, the Comptroller General of the United 
States shall submit a report to the Committees on the Judiciary 
of the House of Representatives and of the Senate on the 
results of the activities undertaken under subsection (a) 
during the previous year. Each such report shall include an 
analysis of the degree to which the Attorney General's strategy 
has been effective in reducing illegal entry. Each such report 
shall include a collection and systematic analysis of data, 
including workload indicators, related to activities to deter 
illegal entry and recommendations to improve and increase 
border security at the border and ports of entry.
 TITLE II--ENHANCED ENFORCEMENT AND PENALTIES AGAINST ALIEN SMUGGLING; 
                             DOCUMENT FRAUD
 Subtitle A--Enhanced Enforcement and Penalties Against Alien Smuggling
SEC. 201. WIRETAP AUTHORITY FOR INVESTIGATIONS OF ALIEN SMUGGLING OR 
                    DOCUMENT FRAUD.
    Section 2516(1) of title 18, United States Code, is 
amended--
            (1) in paragraph (c), by striking ``or section 1992 
        (relating to wrecking trains)'' and inserting ``section 
        1992 (relating to wrecking trains), a felony violation 
        of section 1028 (relating to production of false 
        identification documentation), section 1425 (relating 
        to the procurement of citizenship or nationalization 
        unlawfully), section 1426 (relating to the reproduction 
        of naturalization or citizenship papers), section 1427 
        (relating to the sale of naturalization or citizenship 
        papers), section 1541 (relating to passport issuance 
        without authority), section 1542 (relating to false 
        statements in passport applications), section 1543 
        (relating to forgery or false use of passports), 
        section 1544 (relating to misuse of passports), or 
        section 1546 (relating to fraud and misuse of visas, 
        permits, and other documents)'';
            (2) by striking ``or'' at the end of paragraph (l);
            (3) by redesignating paragraphs (m), (n), and (o) 
        as paragraphs (n), (o), and (p), respectively; and
            (4) by inserting after paragraph (l) the following 
        new paragraph:
            ``(m) a violation of section 274, 277, or 278 of 
        the Immigration and Nationality Act (8 U.S.C. 1324, 
        1327, or 1328) (relating to the smuggling of 
        aliens);''.
SEC. 205. UNDERCOVER INVESTIGATION AUTHORITY.
    (a) In General.--Title II is amended by adding at the end 
the following new section:
                  ``undercover investigation authority
    ``Sec. 294. (a) In General.--With respect to any undercover 
investigative operation of the Service which is necessary for 
the detection and prosecution of crimes against the United 
States--
            ``(1) sums appropriated for the Service may be used 
        for leasing space within the United States and the 
        territories and possessions of the United States 
        without regard to the following provisions of law:
                    ``(A) section 3679(a) of the Revised 
                Statutes (31 U.S.C. 1341),
                    ``(B) section 3732(a) of the Revised 
                Statutes (41 U.S.C. 11(a)),
                    ``(C) section 305 of the Act of June 30, 
                1949 (63 Stat. 396; 41 U.S.C. 255),
                    ``(D) the third undesignated paragraph 
                under the heading `Miscellaneous' of the Act of 
                March 3, 1877 (19 Stat. 370; 40 U.S.C. 34),
                    ``(E) section 3648 of the Revised Statutes 
                (31 U.S.C. 3324),
                    ``(F) section 3741 of the Revised Statutes 
                (41 U.S.C. 22), and
                    ``(G) subsections (a) and (c) of section 
                304 of the Federal Property and Administrative 
                Services Act of 1949 (63 Stat. 395; 41 U.S.C. 
                254 (a) and (c));
            ``(2) sums appropriated for the Service may be used 
        to establish or to acquire proprietary corporations or 
        business entities as part of an undercover operation, 
        and to operate such corporations or business entities 
        on a commercial basis, without regard to the provisions 
        of section 304 of the Government Corporation Control 
        Act (31 U.S.C. 9102);
            ``(3) sums appropriated for the Service, and the 
        proceeds from the undercover operation, may be 
        deposited in banks or other financial institutions 
        without regard to the provisions of section 648 of 
        title 18, United States Code, and of section 3639 of 
        the Revised Statutes (31 U.S.C. 3302); and
            ``(4) the proceeds from the undercover operation 
        may be used to offset necessary and reasonable expenses 
        incurred in such operation without regard to the 
        provisions of section 3617 of the Revised Statutes (31 
        U.S.C. 3302).
The authority set forth in this subsection may be exercised 
only upon written certification of the Commissioner, in 
consultation with the Deputy Attorney General, that any action 
authorized by paragraph (1), (2), (3), or (4) is necessary for 
the conduct of the undercover operation.
    ``(b) Disposition of Proceeds No Longer Required.--As soon 
as practicable after the proceeds from an undercover 
investigative operation, carried out under paragraphs (3) and 
(4) of subsection (a), are no longer necessary for the conduct 
of the operation, the proceeds or the balance of the proceeds 
remaining at the time shall be deposited into the Treasury of 
the United States as miscellaneous receipts.
    ``(c) Disposition of Certain Corporations and Business 
Entities.--If a corporation or business entity established or 
acquired as part of an undercover operation under paragraph (2) 
of subsection (a) with a net value of over $50,000 is to be 
liquidated, sold, or otherwise disposed of, the Service, as 
much in advance as the Commissioner or Commissioner's designee 
determines practicable, shall report the circumstances to the 
Attorney General, the Director of the Office of Management and 
Budget, and the Comptroller General. The proceeds of the 
liquidation, sale, or other disposition, after obligations are 
met, shall be deposited in the Treasury of the United States as 
miscellaneous receipts.
    ``(d) Financial Audits.--The Service shall conduct detailed 
financial audits of closed undercover operations on a quarterly 
basis and shall report the results of the audits in writing to 
the Deputy Attorney General.''.
    (b) Clerical Amendment.--The table of contents is amended 
by inserting after the item relating to section 293 the 
following:
``Sec. 294. Undercover investigation authority.''.
      Subtitle D--Changes in Removal of Alien Terrorist Provisions
SEC. 354. TREATMENT OF CLASSIFIED INFORMATION.
    (a) Limitation on Provision of Summaries; Use of Special 
Attorneys in Challenges to Classified Information.--
            (1) No provision of summary in certain cases.--
        Section 504(e)(3)(D) (8 U.S.C. 1534(e)(3)(D)) is 
        amended--
                    (A) in clause (ii), by inserting before the 
                period at the end the following: ``unless the 
                judge makes the findings under clause (iii)'', 
                and
                    (B) by adding at the end the following new 
                clause:
                            ``(iii) Findings.--The findings 
                        described in this clause are, with 
                        respect to an alien, that--
                                    ``(I) the continued 
                                presence of the alien in the 
                                United States would likely 
                                cause serious and irreparable 
                                harm to the national security 
                                or death or serious bodily 
                                injury to any person, and
                                    ``(II) the provision of the 
                                summary would likely cause 
                                serious and irreparable harm to 
                                the national security or death 
                                or serious bodily injury to any 
                                person.''.
            (2) Special challenge procedures.--Section 
        504(e)(3) (8 U.S.C. 1534(e)(3)) is amended by adding at 
        the end the following new subparagraphs:
                    ``(E) Continuation of hearing without 
                summary.--If a judge makes the findings 
                described in subparagraph (D)(iii)--
                            ``(i) if the alien involved is an 
                        alien lawfully admitted for permanent 
                        residence, the procedures described in 
                        subparagraph (F) shall apply; and
                            ``(ii) in all cases the special 
                        removal hearing shall continue, the 
                        Department of Justice shall cause to be 
                        delivered to the alien a statement that 
                        no summary is possible, and the 
                        classified information submitted in 
                        camera and ex parte may be used 
                        pursuant to this paragraph.
                    ``(F) Special procedures for access and 
                challenges to classified information by special 
                attorneys in case of lawful permanent aliens.--
                            ``(i) In general.--The procedures 
                        described in this subparagraph are that 
                        the judge (under rules of the removal 
                        court) shall designate a special 
                        attorney to assist the alien--
                                    ``(I) by reviewing in 
                                camera the classified 
                                information on behalf of the 
                                alien, and
                                    ``(II) by challenging 
                                through an in camera proceeding 
                                the veracity of the evidence 
                                contained in the classified 
                                information.
                            ``(ii) Restrictions on 
                        disclosure.--A special attorney 
                        receiving classified information under 
                        clause (i)--
                                    ``(I) shall not disclose 
                                the information to the alien or 
                                to any other attorney 
                                representing the alien, and
                                    ``(II) who discloses such 
                                information in violation of 
                                subclause (I) shall be subject 
                                to a fine under title 18, 
                                United States Code, imprisoned 
                                for not less than 10 years nor 
                                more than 25 years, or both.''.
            (3) Appeals.--Section 505(c) (8 U.S.C. 1535(c)) is 
        amended--
                    (A) in paragraph (1), by striking ``The 
                decision'' and inserting ``Subject to paragraph 
                (2), the decision'';
                    (B) in paragraph (3)(D), by inserting 
                before the period at the end the following: ``, 
                except that in the case of a review under 
                paragraph (2) in which an alien lawfully 
                admitted for permanent residence was denied a 
                written summary of classified information under 
                section 504(c)(3), the Court of Appeals shall 
                review questions of fact de novo'';
                    (C) by redesignating paragraphs (2) and (3) 
                as paragraphs (3) and (4), respectively; and
                    (D) by inserting after paragraph (1) the 
                following new paragraph:
            ``(2) Automatic appeals in cases of permanent 
        resident aliens in which no summary provided.--
                    ``(A) In general.--Unless the alien waives 
                the right to a review under this paragraph, in 
                any case involving an alien lawfully admitted 
                for permanent residence who is denied a written 
                summary of classified information under section 
                504(e)(3) and with respect to which the 
                procedures described in section 504(e)(3)(F) 
                apply, any order issued by the judge shall be 
                reviewed by the Court of Appeals for the 
                District of Columbia Circuit.
                    ``(B) Use of special attorney.--With 
                respect to any issue relating to classified 
                information that arises in such review, the 
                alien shall be represented only by the special 
                attorney designated under section 
                504(e)(3)(F)(i) on behalf of the alien.''.
            (4) Establishment of panel of special attorneys.--
        Section 502 (8 U.S.C. 1532) is amended by adding at the 
        end the following new subsection:
    ``(e) Establishment of Panel of Special Attorneys.--The 
removal court shall provide for the designation of a panel of 
attorneys each of whom--
            ``(1) has a security clearance which affords the 
        attorney access to classified information, and
            ``(2) has agreed to represent permanent resident 
        aliens with respect to classified information under 
        section 504(e)(3) in accordance with (and subject to 
        the penalties under) this title.''.
            (5) Definition of special attorney.--Section 501 (8 
        U.S.C. 1531) is amended--
                    (A) by striking ``and'' at the end of 
                paragraph (5),
                    (B) by striking the period at the end of 
                paragraph (6) and inserting ``; and'', and
                    (C) by adding at the end the following new 
                paragraph:
            ``(7) the term `special attorney' means an attorney 
        who is on the panel established under section 
        502(e).''.
    (b) Other Provisions Relating to Classified Information.--
            (1) Introduction of classified information.--
        Section 504(e) (8 U.S.C. 1534(e)) is amended--
                    (A) in paragraph (1)--
                            (i) by inserting after ``(A)'' the 
                        following: ``the Government is 
                        authorized to use in a removal 
                        proceedings the fruits of electronic 
                        surveillance and unconsented physical 
                        searches authorized under the Foreign 
                        Intelligence Surveillance Act of 1978 
                        (50 U.S.C. 1801 et seq.) without regard 
                        to subsections (c), (e), (f), (g), and 
                        (h) of section 106 of that Act and'', 
                        and
                            (ii) by striking ``the Foreign 
                        Intelligence Surveillance Act of 1978 
                        (50 U.S.C. 1801 et seq.)'' and 
                        inserting ``such Act''; and
                    (B) by striking the period at the end of 
                paragraph (3)(A) and inserting the following: 
                ``and neither the alien nor the public shall be 
                informed of such evidence or its sources other 
                than through reference to the summary provided 
                pursuant to this paragraph. Notwithstanding the 
                previous sentence, the Department of Justice 
                may, in its discretion and, in the case of 
                classified information, after coordination with 
                the originating agency, elect to introduce such 
                evidence in open session.''.
            (2) Maintenance of confidentiality of classified 
        information in arguments.--Section 504(f) (8 U.S.C. 
        1534(f)) is amended by adding at the end the following: 
        ``The judge may allow any part of the argument that 
        refers to evidence received in camera and ex parte to 
        be heard in camera and ex parte.''.
            (3) Maintenance of confidentiality of classified 
        information in orders.--Section 504(j) (8 U.S.C. 
        1534(j)) is amended by adding at the end the following: 
        ``Any portion of the order that would reveal the 
        substance or source of information received in camera 
        and ex parte pursuant to subsection (e) shall not be 
        made available to the alien or the public.''.
SEC. 355. EXCLUSION OF REPRESENTATIVES OF TERRORISTS ORGANIZATIONS.
    Section 212(a)(3)(B)(i)(IV) (8 U.S.C. 
1182(a)(3)(B)(i)(VI)), as inserted by section 411(1)(C) of 
Public Law 104-132, is amended by inserting ``which the alien 
knows or should have known is a terrorist organization'' after 
``219,''.
SEC. 356. STANDARD FOR JUDICIAL REVIEW OF TERRORIST ORGANIZATION 
                    DESIGNATIONS.
    Section 219(b)(3) (8 U.S.C. 1189(b)(3)), as added by 
section 302(a) of Public Law 104-132, is amended--
            (1) by striking ``or'' at the end of subparagraph 
        (B),
            (2) by striking the period at the end of 
        subparagraph (C) and inserting a semicolon, and
            (3) by adding at the end the following:
                    ``(D) lacking substantial support in the 
                administrative record taken as a whole or in 
                classified information submitted to the court 
                under paragraph (2), or
                    ``(E) not in accord with the procedures 
                required by law.''.
SEC. 357. REMOVAL OF ANCILLARY RELIEF FOR VOLUNTARY DEPARTURE.
    Section 504(k) (8 U.S.C. 1534(k)) is amended--
            (1) by redesignating paragraphs (4) and (5) as 
        paragraphs (5) and (6), and
            (2) by inserting after paragraph (3) the following 
        new paragraph:
            ``(4) voluntary departure under section 244(e);''.
SEC. 358. EFFECTIVE DATE.
    The amendments made by this subtitle shall be effective as 
if included in the enactment of subtitle A of title IV of the 
Antiterrorism and Effective Death Penalty Act of 1996 (Public 
Law 104-132).
                         DEPARTMENT OF COMMERCE
            National Oceanic and Atmospheric Administration
                  operations, research and facilities
                    NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION--FISCAL YEAR 1997 BUDGET                    
                                             [Dollars in thousands]                                             
----------------------------------------------------------------------------------------------------------------
                                                Fiscal year                   Fiscal year 1997--                
                                                    1996     ---------------------------------------------------
                                               appropriation    Request       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
                                              ==================================================================
  NATIONAL ENVIRONMENTAL SATELLITE, DATA, AND                                                                   
 INFORMATION SERVICE:                                                                                           
    Satellite Observing Systems:                                                                                
        Polar spacecraft and launching.......      174,765       147,644      147,300      147,644      147,300 
        Polar convergence/IPO................       39,500        78,200       19,000       29,000       29,000 
        Geostationary spacecraft and                                                                            
         launching...........................      153,106       205,922      171,480      191,922      171,480 
        Ocean remote sensing.................        4,000         1,552   ...........       6,000        4,000 
        Environmental observing services.....       49,000        53,615       49,000       52,600       51,000 
                                              ------------------------------------------------------------------
            Total, Satellite Observing                                                                          
             Systems.........................      430,371       486,933      386,780      427,166      402,780 
                                              ==================================================================
    Environmental Data Management Systems....       29,865        30,098       30,002       27,515       30,002 
        Data and Information Services........       11,300        14,800       14,800       11,300       14,800 
                                              ------------------------------------------------------------------
            Total, EDMS......................       41,165        44,898       44,802       38,815       44,802 
                                              ------------------------------------------------------------------
    Undistributed Reduction..................  .............  ...........      (5,685)  ...........  ...........
        TOTAL, NESDIS........................      471,536       531,831      425,897      465,981      447,582 
                                              ==================================================================
Direct Obligations...........................    1,892,927     2,061,539    1,839,176    2,013,476    1,938,043 
                                              ==================================================================
APPROPRIATION, ORF...........................    1,792,677     1,971,215    1,735,200    1,930,700    1,851,067 
----------------------------------------------------------------------------------------------------------------
\1\ Funding for this item previously appeared under Marine Services in Program Support.                         
\2\ Funding for this item appears under Acquisition of Data in NOS, NMFS, and OAR.                              
     national environmental satellite, data and information service
      The conference agreement includes $447,582,000 for NOAA's 
satellite and data management programs.
      The conference agreement includes $44,802,000 for 
environmental data management systems within the amount 
provided for NESDIS in accordance with the recommendations 
included in the House report.
      The conference agreement includes $29,000,000 for the 
interagency program office to converge the NOAA and Department 
of Defense (DOD) polar satellite convergence programs. The 
funding level provided meets the revised estimate of need for 
this fiscal year and was agreed upon jointly by NOAA and DOD. 
The conferees continue to assume that NOAA and DOD will share 
equally the costs for all common activities for this program. 
Further, the conferees expect NOAA to report to them should any 
additional revisions to the program be contemplated.
      In addition, the conferees encourage NESDIS to work 
closely with the national coastal data center discussed under 
the National Ocean Service.
           TITLE IV--DEPARTMENT OF STATE AND RELATED AGENCIES
                            RELATED AGENCIES
                   Arms Control and Disarmament Activities
      The conference agreement includes $41,500,000 for the 
Arms Control and Disarmament Agency (ACDA), instead of 
$38,495,000, as proposed in the House bill, and instead of 
$30,000,000 as proposed in the Senate-reported bill. To the 
maximum extent possible, reductions from the current year 
operating level should be taken from administrative functions, 
rather than from programmatic staff involved in technical 
aspects of ACDA's activities, including monitoring functions.
                             section 101(b)
             Department of Defense Appropriations Act, 1997
      The conference agreement on the Department of Defense 
Appropriations Act, 1997, incorporates some of the provisions 
of both the House and Senate versions of the bill. The language 
and allocations set forth in House Report 104-617 and Senate 
Report 104-286 should be complied with unless specifically 
addressed in the accompanying bill and statement of the 
managers to the contrary.
              definition of program, project, and activity
      The conferees agree that for the purposes of the Balanced 
Budget and Emergency Deficit Control Act of 1985 (Public Law 
99-177) as amended by the Balanced Budget and Emergency Deficit 
Control Reaffirmation Act of 1987 (Public Law 100-119) and by 
the Budget Enforcement Act of 1990 (Public Law 101-508), the 
term program, project, and activity for appropriations 
contained in this Act shall be defined as the most specific 
level of budget items identified in the Department of Defense 
Appropriations Act, 1997, the accompanying House and Senate 
Committee reports, the conference report and accompanying joint 
explanatory statement of the mangers of the Committee of 
Conference, the related classified annexes and reports, and the 
P-1 and R-1 budget justification documents as subsequently 
modified by Congressional action. The following exception to 
the above definition shall apply:
      For the Military Personnel and the Operation and 
Maintenance accounts, the term ``program, project, and 
activity'' is defined as the appropriations accounts contained 
in the Department of Defense Appropriations Act. At the time 
the President submits his budget for fiscal year 1998, the 
conferees direct the Department of Defense to transmit to the 
congressional defense committees a budget justification 
document to be known as the ``O-1'' which shall identify, at 
the budget activity, activity group, and subactivity group 
level, the amounts requested by the President to be 
appropriated to the Department of Defense for operation and 
maintenance in any budget request, or amended budget request, 
for fiscal year 1998.
                  TITLE II--OPERATION AND MAINTENANCE
      A summary of the conference agreement on the items 
addressed by either the House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                   Budget           House            Senate         Conference  
----------------------------------------------------------------------------------------------------------------
    295FORMER SOVIET UNION THREAT                  327,900          302,900          327,900          327,900   
        REDUCTION                                                                                               
                                           ---------------------------------------------------------------------
    29850    GRAND TOTAL, O&M.                  78,462,166       80,555,383       78,956,595       79,163,222   
----------------------------------------------------------------------------------------------------------------
                     chemical-biological equipment
      The conferees direct the Secretary of Defense to provide 
the congressional defense committees with a report on the 
actual and projected status of execution of funds appropriated 
to each of the services in support of chemical-biological 
protective training and equipment for fiscal years 1996 and 
1997, not later than March 1, 1997.
                    Operation and Maintenance, Army
      The conference agreement on items addressed by either the 
House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                   Budget           House            Senate         Conference  
----------------------------------------------------------------------------------------------------------------
     1  OPERATION AND MAINTENANCE, ARMY                                                                         
    24  BUDGET ACTIVITY 4: ADMIN &                                                                              
       SERVICEWIDE ACTIVITIES                                                                                   
    24  SECURITY PROGRAMS                                                                                       
    25SECURITY PROGRAMS                            364,270          352,770          364,270          352,770   
                                           ---------------------------------------------------------------------
    3450    TOTAL, BUDGET ACTIVITY 4             5,109,539        5,159,439        5,177,576        5,102,736   
                                           =====================================================================
    35CLASSIFIED PROGRAMS UNDISTRIBUTED     ...............           6,600   ...............           7,800   
                                           ---------------------------------------------------------------------
    4350    TOTAL, OPERATION AND                18,031,145       18,365,679       17,700,859       17,519,340   
             MAINTENANCE, ARMY                                                                                  
    4400        TRANSFER                           (83,334)         (50,000)         (50,000)         (50,000)  
                                           =====================================================================
    4450        TOTAL FUNDING AVAILABLE        (18,114,479)     (18,415,679)     (17,750,859)     (17,569,340)  
----------------------------------------------------------------------------------------------------------------
                    adjustments to budget activities
      Adjustments to the budget activities are as follows:
  Budget Activity 4: Administration and Servicewide 
    Activities:
    2500  Security Programs...................................   -11,500
  Undistributed:
    3550  Classified (Undistributed)..........................     7,800
    4260  Chem-Bio Equipment Support..........................    10,200
                               hunter uav
      Until the Tactical Unmanned Aerial Vehicle (TUAV) is 
fielded in the fiscal year 1998 or 1999 time frame, the Hunter 
UAV is the only system available for tactical warfighters. The 
Army has several additional Hunter systems but these are 
currently in storage. These systems have already been procured 
and are currently consuming resources without providing any 
return. These assets could contribute by providing warfighters 
the opportunity to refine doctrine, gain tactical experience, 
fulfill contingency requirements, and work on critical issues 
such as airspace management and command and control. Therefore, 
the conferees agree to provide $12,000,000 to remove three 
Hunter systems from storage to provide a capability to further 
develop UAV concepts of operation. The conferees' action is not 
to be interpreted as authority to upgrade or further develop 
the Hunter UAV system.
                    Operation and Maintenance, Navy
      The conference agreement on items addressed by either the 
House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
     45  OPERATION AND MAINTENANCE, NAVY                                                                        
     54  COMBAT OPERATION/SUPPORT                                                                               
     56SPACE SYSTEM AND SURVEILLANCE                  144,806         144,806         144,806         144,806   
     57OPERATIONAL METEOROLOGY AND                    212,854         212,854         212,854         212,854   
        OCEANOGRAPHY                                                                                            
                                               -----------------------------------------------------------------
     6450    TOTAL, BUDGET ACTIVITY 1              13,877,210      14,035,110      14,113,626      13,994,968   
                                               =================================================================
     87  LOGISTICS OPERATIONS AND TECHNICAL                                                                     
        SUPPORT                                                                                                 
     90SPACE AND ELECTRONIC WARFARE SYSTEMS            72,540          72,540          72,540          72,540   
     92  SECURITY PROGRAMS                                                                                      
     92SECURITY PROGRAMS                              555,721         552,721         555,721         552,721   
                                               -----------------------------------------------------------------
     9500    TOTAL, BUDGET ACTIVITY 4               3,577,273       3,562,673       3,550,777       3,523,037   
                                               =================================================================
     95CLASSIFIED PROGRAMS UNDISTRIBUTED        ..............          4,600            -900           5,204   
                                               =================================================================
    10350    TOTAL, OPERATION AND MAINTENANCE,     20,112,864      20,390,397      20,241,517      20,061,961   
              NAVY                                                                                              
    104TRANSFER                                       (83,333)        (50,000)        (50,000)        (50,000)  
                                               -----------------------------------------------------------------
    10450    TOTAL FUNDING AVAILABLE              (20,196,197)    (20,440,397)    (20,291,517)    (20,111,961)  
----------------------------------------------------------------------------------------------------------------
                    adjustments to budget activities
      Adjustments to the budget activities are as follows:
  Budget Activity 1: Operating Forces:of dollars]
    5900  NAF Adak............................................    10,000
  Budget Activity 4: Administration and Servicewide 
    Activities:
    8500  Servicewide Communications-Challenge Athena.........     7,000
    9250  Security Program....................................    -3,000
  Undistributed:
    9550   Classifed (Undistributed)..........................     5,204
                            Challenge athena
      Last year, the Navy requested and the conferees provided 
$27,000,000 for Challenge Athena and directed the Department to 
include this requirement in future budget submissions (S. 
Report 104-124). Despite this direction and the Department's 
claims that this program is the Navy's number one C4I priority, 
the Navy once again failed to include Challenge Athena in its 
budget request. Because of the critical importance of this 
project to the morale and well-being of deployed fleet sailors, 
the conferees hereby provide an additional $7,000,000 in 
servicewide communications.
                Operation and Maintenance, Marine Corps
      The conference agreement on items addressed by either the 
House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
                                               =================================================================
    125CLASSIFIED PROGRAMS                      ..............  ..............           5,300           2,900  
      ----------------------------------------------------------------------------------------------------------
    12800    TOTAL, OPERATION AND MAINTENANCE,       2,203,777       2,465,077       2,275,977       2,254,119  
              MARINE CORPS                                                                                      
----------------------------------------------------------------------------------------------------------------
                    Adjustments to Budget Activities
      Adjustments to the budget activities are as follows:
  Undistributed:
    12550  Classified Programs................................     2,900
                  Operation and Maintenance, Air Force
      The conference agreement on items addressed by either the 
House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                   Budget           House            Senate         Conference  
----------------------------------------------------------------------------------------------------------------
    129  OPERATION AND MAINTENANCE, AIR                                                                         
        FORCE                                                                                                   
    130  BUDGET ACTIVITY 1: OPERATING                                                                           
        FORCE                                                                                                   
    137TACTICAL INTEL AND OTHER SPECIAL            216,743          210,043          216,743          216,743   
        ACTIVITIES                                                                                              
    138  SPACE OPERATIONS                                                                                       
    138LAUNCH FACILITIES                           237,508          237,508          237,508          237,508   
    139LAUNCH VEHICLES                             106,266          106,266          106,266          106,266   
    139SPACE CONTROL SYSTEMS                       311,304          311,304          311,304          311,304   
    140SATELLITE SYSTEMS                            44,301           44,301           44,301           44,301   
    140OTHER SPACE OPERATIONS                      101,723          101,723          101,723          101,723   
    140DOD SPACE ARCHITECT                  ...............  ...............           2,399            2,400   
    141BASE SUPPORT                                291,242          291,242          291,242          291,421   
    141MAINTENANCE OF REAL PROPERTY                109,736          109,736          118,336          109,736   
                                           ---------------------------------------------------------------------
    14200    TOTAL, BUDGET ACTIVITY 1            9,385.609        9,400,709        9,115,563        9,047,115   
                                           ---------------------------------------------------------------------
                                           =====================================================================
    157  BUDGET ACTIVITY 4: ADMIN &                                                                             
        SERVICEWIDE ACTIVITIES                                                                                  
    161  SERVICEWIDE ACTIVITIES                                                                                 
    164ARMS CONTROL                                 28,814           28,814           28,814           28,814   
    164OTHER SERVICEWIDE ACTIVITIES                482,192          482,192          482,192          482,192   
    167  SECURITY PROGRAMS                                                                                      
    167SECURITY PROGRAMS                           550,240          548,340          550,240          548,340   
                                           ---------------------------------------------------------------------
    16900    TOTAL, BUDGET ACTIVITY 4            4,262,025        4,241,425        4,259,475        4,213,069   
                                           =====================================================================
    169CLASSIFIED PROGRAMS UNDISTRIBUTED    ...............         -24,700           -5,000          -23,476   
                                           =====================================================================
    17650    TOTAL, OPERATION AND               17,830,122       17,938,755       17,331,309       17,263,193   
              MAINTENANCE, AIR FORCE                                                                            
    177TRANSFER                                    (83,333)         (50,000)         (50,000)         (50,000)  
                                           ---------------------------------------------------------------------
    17750    TOTAL FUNDING AVAILABLE           (17,913,455)     (17,988,755)     (17,381,309)     (17,313,193)  
----------------------------------------------------------------------------------------------------------------
                    adjustments to budget activities
      Adjustments to the budget activities are as follows:
  Budget Activity 1: Operating Forces:of dollars]
    13100  SR-71..............................................    30,000
    13300  RIVET JOINT Communication Installations............    13,000
    13500  AWACS EXTEND SENTRY................................     7,100
    13500  JSAS...............................................     3,200
    13600  Reverse Osmosis Desalinators.......................     1,500
    14055  DoD Space Architect................................     2,400
    16750  Security Programs..................................    -1,900
  Undistributed:
    16950  Classified (Undistributed).........................   -23,476
                Operation and Maintenance, Defense-Wide
      The conference agreement on items addressed by either the 
House or the Senate is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
    178  OPERATION AND MAINTENACE, DEFENSE-                                                                     
        WIDE                                                                                                    
    178  BUDGET ACTIVITY 1: OPERATING FORCES                                                                    
    179SPECIAL OPERATIONS COMMAND                      962,319         985,119         977,619         978,119  
    179SOCOM RPM                                ..............  ..............           2,000           2,000  
                                               -----------------------------------------------------------------
    18000    TOTAL, BUDGET ACTIVITY 1                1,426,518       1,550,018       1,448,818       1,489,318  
                                               =================================================================
    183SPECIAL OPERATIONS COMMAND                       35,500          35,500          35,500          35,500  
                                               -----------------------------------------------------------------
    18400    TOTAL, BUDGET ACTIVITY 3                  135,917         135,917         125,917         120,917  
                                               =================================================================
    184  BUDGET ACTIVITY 4: ADMIN &                                                                             
        SERVICEWIDE ACTIVITIES                                                                                  
    186CLASSIFIED AND INTELLIGENCE                   3,384,576       3,384,093       3,333,876       3,382,376  
    187DEFENSE INVESTIGATIVE SERVICE                   193,232         193,232         193,232         193,232  
    189DEFENSE MAPPING AGENCY                          741,157         768,257         721,157         758,257  
    189DEFENSE NUCLEAR AGENCY                           85,083          85,083          88,083          85,083  
    191DEFENSE SUPPORT ACTIVITIES                      125,269         125,269         125,269         125,269  
    192DEFENSE TECHNOLOGY SECURITY                      10,504          10,504          10,504          10,504  
        ADMINISTRATION                                                                                          
    194ON SITE INSPECTION AGENCY                       109,030          87,030          95,030          87,030  
    195SPECIAL OPERATIONS COMMAND                       55,200          55,200          55,200          55,200  
                                               -----------------------------------------------------------------
    19600    TOTAL, BUDGET ACTIVITY 4                8,572,091       8,435,608       8,271,965       8,359,423  
                                               =================================================================
    200EMERGENCY PREPAREDNESS AND RESPONSE      ..............  ..............           5,000           4,000  
    201UNDISTRIBUTED REDUCTION (NUNN-LUGAR)     ..............  ..............        -138,000  ..............  
    201CONTINGENCY OPERATIONS TRANSFER DEFENSE- ..............  ..............  ..............         -66,000  
        WIDE                                                                                                    
    201DEFENSE AGAINST WEAPONS OF MASS          ..............  ..............         138,000  ..............  
        DESTRUCTION                                                                                             
                                               =================================================================
    20200    TOTAL, OPERATION AND MAINTENANCE,      10,156,468      10,212,985       9,953,142      10,044,200  
              DEFENSE-WIDE                                                                                      
----------------------------------------------------------------------------------------------------------------
                    adjustments to budget activities
      Adjustments to the budget activities are as follows:
  Budget Activity 1: Operating Forces:of dollars]
    17950  Intell Support to Naval Special Ops Training.......       500
    17950  SOCOM OPTEMPO/DLRs.................................    10,300
    17955  Real Property Maintenance (SOCOM)..................     2,000
  Budget Activity 4: Administration and Servicewide 
    Activities:
    18600  Classified and Intell..............................    -2,200
    19350  Seismic System Communication Links.................       400
    19450  Security Programs-On Site Inspection Agency........   -22,000
                         defense mapping agency
      The conferees concur in the House direction that the 
Defense Mapping Agency's private contracting be conducted in 
compliance with the normal qualifications based selection 
process found in 40 U.S.C. 541 and 10 U.S.C. 2855. These 
provisions in Federal law provide the authority for agencies to 
use the qualifications based selection process, including 
selection of surveying and mapping firms, for all services 
described therein, not just those related to construction. The 
conferees agree that these provisions regarding private 
contracting apply only to mapping, charting and geodetic 
activities.
                  Former Soviet Union Threat Reduction
      The conferees agree to provide $327,900,000, for the 
Former Soviet Union Threat Reduction program.
                         Title III--Procurement
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                 Budget       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
                            SUMMARY                                                                             
  ARMY:                                                                                                         
    AIRCRAFT................................................      970,815    1,308,709    1,283,815    1,348,434
    MISSILES................................................      766,329      988,567      982,829    1,041,867
    WEAPONS, TRACKED COMBAT VEHICLES........................    1,102,014    1,500,414    1,449,714    1,470,286
    AMMUNITION..............................................      853,428    1,150,128    1,118,329    1,127,149
    OTHER...................................................    2,627,440    2,899,040    3,295,486    3,172,485
                                                             ---------------------------------------------------
      TOTAL, ARMY...........................................    6,320,026    7,846,858    8,130,173    8,160,221
                                                             ===================================================
  NAVY:                                                                                                         
    AIRCRAFT................................................    5,881,952    6,896,552    7,239,704    7,027,010
    WEAPONS.................................................    1,400,363    1,384,408    1,500,154    1,389,913
    AMMUNITION..............................................  ...........      341,689  ...........      289,695
    SHIPS...................................................    4,911,930    4,469,930    6,193,330    5,613,665
    OTHER...................................................    2,714,195    2,889,591    2,944,519    3,067,944
    MARINE CORPS............................................      555,507      623,973      660,507      569,073
                                                             ---------------------------------------------------
      TOTAL, NAVY...........................................   15,463,947   16,606,143   18,538,214   17,957,300
                                                             ===================================================
  AIR FORCE:                                                                                                    
    AIRCRAFT................................................    5,779,228    7,274,628    6,630,370    6,404,980
    MISSILES................................................    2,733,877    2,279,500    2,713,944    2,297,145
    AMMUNITION..............................................  ...........      272,177  ...........      293,153
    OTHER...................................................    5,998,819    6,078,539    5,577,787    5,944,680
                                                             ---------------------------------------------------
      TOTAL, AIR FORCE......................................   14,511,924   15,904,844   14,922,101   14,939,958
                                                             ===================================================
DEFENSE-WIDE................................................    1,841,212    2,247,812    1,773,794    1,978,005
NATIONAL GUARD AND RESERVE EQUIPMENT........................  ...........      908,000      759,800      780,000
                                                             ---------------------------------------------------
      TOTAL PROCUREMENT.....................................   38,137,109   43,513,657   44,124,082   43,815,484
----------------------------------------------------------------------------------------------------------------
    gps and flight data recorders and passenger safety modifications
      The conferees agree with the language included under 
these headings in their respective House and Senate committee 
reports. The conferees agree with the Secretary of Defense that 
military passenger aircraft should be modified with modern 
safety-related equipment such as global positioning system 
receivers, flight data recorders, cockpit voice recorders, 
ground proximity warning systems, and traffic collision and 
avoidance systems. The conferees direct the Department of 
Defense to evaluate using commercial equipment to meet these 
requirements. The conferees direct that House and Senate 
reporting requirements be combined, and that no fiscal year 
1997 funds be obligated until these reports are provided to the 
congressional defense committees.
                      information systems security
      The conferees are concerned about the potential for 
unauthorized entry into Department of Defense information 
systems. The intelligence community believes that numerous 
foreign countries are developing ``information warfare'' 
capabilities designed to exploit the accessibility of computer 
and communications systems. Department of Defense personnel 
must understand how they are impacted by this threat as well as 
what their roles and responsibilities are as key implementors 
of the Department's information protection strategy. 
Consequently, effective information security training is an 
essential component of countering this threat. The conferees 
recommend that services and defense agencies which have not yet 
developed computer security procedures should consider the 
procurement of commercial-off-the-shelf computer security 
training and training management software such as the Air 
Force's Safeware.
                       Aircraft Procurement, Army
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
  AIRCRAFT PROCUREMENT, ARMY                                                                                    
ARL (TIARA)....................................       24,742       35,242       24,742  ...........       29,942
GUARDRAIL COMMON SENSOR (TIARA)................        1,081       11,081        1,081  ...........        5,000
----------------------------------------------------------------------------------------------------------------
                                    EXPLANATION OF PROJECT LEVEL ADJUSTMENTS                                    
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                 Budget       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
Airborne Avionics...........................................       40,819       60,919       40,819       48,319
    GPS-Blackhawk and Chinook...............................  ...........       15,000            0        7,500
    GPS-passenger carrying aircraft.........................  ...........        5,100            0            0
----------------------------------------------------------------------------------------------------------------
                       Missile Procurement, Army
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
MISSILE PROCUREMENT, ARMY:                                                                                      
  PATRIOT SYSTEM SUMMARY (MYP).................        2,862  ...........        2,862  ...........  ...........
  PATRIOT MODS.................................       11,464       21,464       23,464  ...........       23,464
----------------------------------------------------------------------------------------------------------------
                         patriot modifications
      The conferees agree to provide $23,464,000 for Patriot 
modifications. The additional funds are provided for the GEM +/
- upgrade and the Integrated Diagnostic Support System and may 
be distributed between the two programs at the discretion of 
the Army.
                        Other Procurement, Army
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
OTHER PROCUREMENT, ARMY:                                                                                        
  SMART-T (SPACE)..............................       45,427       34,727       45,427  ...........       34,727
  SCAMP (SPACE)................................       23,555       14,455       23,555  ...........       14,455
  TSEC--INFORMATION SYSTEM SECURITY............       10,678       30,078       10,678  ...........       20,000
  INFORMATION SYSTEMS..........................       24,668       24,668       53,668  ...........       48,668
  FT CARSON COMMUNICATIONS.....................  ...........          200  ...........  ...........          200
  GENERAL DEFENSE INTELL PROG (GDIP)...........       12,649       16,649       26,349  ...........       22,849
  ITEMS LESS THAN $2.0M (INTEL SPT)--TIARA.....        2,151        9,051        2,151  ...........        9,051
  ALL SOURCE ANALYSIS SYS (ASAS) (TIARA).......       12,297       12,297       23,997  ...........       12,297
  JTT/CIBS-M (TIARA)...........................       14,010       19.010       14,010           58       19,010
  TROJAN (TIARA)...............................        2,603        4,203        2,603  ...........        4,203
  COUNTERINTELLIGENCE/SECURITY COUNTERMEASURES.        1,642        1,642        8,142  ...........        1,642
  INTEGRATED MET SYS SENSORS (IMETS)--TIARA....        3,144        5,144        3,144            6        3,144
----------------------------------------------------------------------------------------------------------------
                       Aircraft Procurement, Navy
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
AIRCRAFT PROCUREMENT, NAVY:                                                                                     
  P-3 SERIES...................................      128,560      201,960      200,760  ...........      180,760
  REEF POINT...................................  ...........  ...........       55,000  ...........  ...........
----------------------------------------------------------------------------------------------------------------
                                    EXPLANATION OF PROJECT LEVEL ADJUSTMENTS                                    
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
EP-3 Series.....................................          35,429          45,429          36,429          36,429
    Sensor upgrade..............................  ..............         +10,000  ..............  ..............
    LESPA.......................................  ..............  ..............          +1,000          +1,000
P-3 Series......................................         128,560         201,960         200,760         180,760
    Additional AIP kits.........................  ..............         +87,000         +87,000         +61,000
    Additional SRP kits.........................  ..............          +4,000  ..............          +4,000
    LESPA.......................................  ..............  ..............          +2,800          +2,800
    Digital USH-42..............................  ..............  ..............  ..............          +2,000
    roll on/off intell..........................  ..............         -17,600         -17,600         -17,600
----------------------------------------------------------------------------------------------------------------
                        Other Procurement, Navy
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
OTHER PROCUREMENT, NAVY:                                                                                        
  TADIX-B......................................        4,243       15,243        4,243  ...........       15,243
  SATCOM SHIP TERMINALS (SPACE)................      115,837      115,837      145,837  ...........      140,837
  SATCOM SHORE TERMINALS (SPACE)...............       24,653       24,653       29,653  ...........       29,653
  PREDATOR UAV (DARP)..........................  ...........  ...........       65,791  ...........      115,791
  PIONEER UAV (DARP)...........................  ...........  ...........  ...........  ...........       25,567
  TACTICAL UAV.................................  ...........  ...........       12,588  ...........  ...........
----------------------------------------------------------------------------------------------------------------
                predator unmanned aerial vehicle system
      The conferees agree with the House recommendation to 
provide an additional $50,000,000 only for the procurement of 
additional Predator UAV systems. The conferees fully support 
the Joint Chiefs of Staff requirement for sixteen systems. The 
UAV Joint Program Office has a contract in place that was 
developed for interim production which will be used as the 
basis for full production.
      The Predator system concept of operations was developed 
by the Combatant Commander, CINCUSACOM, using a Forward Control 
Element (FCE) concept. The conferees have no objection to the 
Services operating and maintaining the Predator System for 
joint use as long as the FCE concept is maintained.
                       Procurement, Marine Corps
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty      Conferences
----------------------------------------------------------------------------------------------------------------
PROCUREMENT, MARINE CORPS:                                                                                      
  INTELLIGENCE SUPPORT EQUIPMENT...............       26,372       40,572       26,372  ...........       32,172
  MOD KITS (INTEL).............................       11,955       13,080       11,955  ...........       13,080
  ITEMS LESS THAN $2M (INTELL).................  ...........          425  ...........  ...........          425
----------------------------------------------------------------------------------------------------------------
                    Aircraft Procurement, Air Force
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
AIRCRAFT PROCUREMENT, AIR FORCE:                                                                                
  GPS/FDR......................................  ...........      139,200  ...........  ...........  ...........
  AIRBORNE RECONNAISSANCE (MANNED).............  ...........  ...........      268,066  ...........      279,786
  DARP.........................................       66,186      409,186  ...........  ...........  ...........
  MISC PRODUCTION CHARGES......................      210,654      210,654      185,948  ...........      194,654
  DARP.........................................      150,742      150,742  ...........  ...........  ...........
  AIRBORNE RECONNAISSANCE SUPPORT (DARP).......  ...........  ...........      150,742  ...........      150,742
----------------------------------------------------------------------------------------------------------------
                           rc-135 rivet joint
      The conferees recognize the importance of a robust Rivet 
Joint program and have increased funds to obtain two aircraft, 
re-engine four aircraft and perform sensor upgrades on the 
fleet.
                     Missile Procurement, Air Force
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                               Budget     House    Senate      Qty    Conference
----------------------------------------------------------------------------------------------------------------
MISSILE PROCUREMENT, AIR FORCE:                                                                                 
    GLOBAL POSITIONING (MYP) SPACE..........................   171,135   181,235   171,135         3    171,135 
    SPACE BOOSTERS SPACE....................................   489,606   405,806   388,306  ........    432,606 
    MEDIUM LAUNCH VEHICLE SPACE.............................   135,361   131,361   135,361         3    135,361 
    MEDIUM LAUNCH VEHICLE SPACE (AP-CY).....................    40,238    30,538    40,238  ........     40,238 
    DEFENSE SUPPORT PROGRAM (MYP) SPACE.....................    70,967    45,967    70,967  ........     70,967 
    DEFENSE SATELLITE COMM SYSTEM SPACE.....................    22,729    25,529    22,729  ........     25,529 
    SPECIAL UPDATE PROGRAMS.................................   301,368   301,368   251,535  ........    259,535 
    SPECIAL PROGRAMS........................................   774,800   604,000   803,900  ........    618,500 
----------------------------------------------------------------------------------------------------------------
                      Other Procurement, Air Force
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                        Budget       House      Senate        Qty     Conference
----------------------------------------------------------------------------------------------------------------
OTHER PROCUREMENT, AIR FORCE:                                                                                   
    INTELLIGENCE DATA HANDLING SYS..................      14,009      14,009      20,309  ..........      14,009
    SPACE BASED IR SENSOR PROG SPACE................      25,939      25,939  ..........  ..........  ..........
    INTELLIGENCE PRODUCTION ACTIVITY................      64,977      76,997      64,377  ..........      64,377
    DARP............................................      77,074      77,074  ..........  ..........  ..........
    AIRBORNE RECONNAISSANCE PROJECTS (DARP).........  ..........  ..........      77,074  ..........      77,074
    COMMON IMAGERY GROUND SURFACE SYSTEM (CIGSS)....  ..........  ..........      90,988  ..........  ..........
    SELECTED ACTIVITIES.............................   4,661,580   4,758,580   4,066,752  ..........   4,573,561
    SPECIAL UPDATE PROGRAM..........................     176,455     113,255     175,402  ..........     175,402
----------------------------------------------------------------------------------------------------------------
                       Procurement, Defense-Wide
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                               Budget     House    Senate      Qty    Conference
----------------------------------------------------------------------------------------------------------------
PROCUREMENT, DEFENSE-WIDE:                                                                                      
    MAJOR EQUIPMENT, OSD....................................   136,218   219,718   136,218  ........    186,218 
    HIGH SECURITY LOCKS.....................................  ........  ........    20,000  ........  ..........
    COMMON DISSEM & GROUND STATION SYSTEMS (DARP)...........   168,867   248,867  ........  ........     93,011 
    CORPORATE INFORMATION MANAGEMENT........................  ........  ........     5,000  ........  ..........
    INFORMATION RESOURCES MANAGEMENT........................  ........    35,000  ........  ........     20,000 
    CLASSIFIED EQUIPMENT....................................  ........  ........    23,746  ........  ..........
    DEFENSE AIRBORNE RECONNAISSANCE PROGRAM.................    13,746    13,746  ........  ........     13,746 
    INFORMATION SYSTEMS SECURITY............................    17,136    43,136    17,136  ........     30,136 
    AUTOMATIC DOCUMENT CONVERSION SYSTEM....................  ........    38,800  ........  ........     10,000 
    C-130 MODIFICATIONS.....................................    86,677   104,777   110,477  ........    104,577 
    PC, CYCLONE CLASS.......................................  ........  ........  ........  ........      6,000 
AMMUNITION PROGRAMS:                                                                                            
    SELECTABLE LIGHTWEIGHT ATTACK MUNITION (SLAM)...........  ........     1,500     5,000  ........      3,000 
    TIMES RELAY FIRING DEVICES..............................  ........  ........     8,000  ........      4,000 
OTHER PROCUREMENT PROGRAMS:                                                                                     
    MARITIME EQUIPMENT MODIFICATIONS........................    4,,833     4,833     4,833  ........     10,833 
    COMM EQUIPMENT & ELECTRONICS............................    26,617    26,617    39,617  ........     36.017 
    SOF INTELLIGENCE SYSTEMS................................    19,833    19,833    24,333  ........     20,833 
    SPECIAL WARFARE EQUIPMENT...............................     5,030     5,030       579  ........        579 
    MISCELLANEOUS EQUIPMENT.................................     3,030     3,030    15,230  ........     15,230 
    ADVANCED SEAL DELIVERY SYSTEM (ASDS)....................  ........     2,800     4,400  ........      4,400 
CHEMICAL/BIOLOGICAL DEFENSE:                                                                                    
    CBDP--INDIVIDUAL PROTECTION.............................    53,785   140,085    53,785  ........     93,785 
    JOINT BIO DEFENSE PROGRAM...............................    60,619    60,619    60,619  ........     53,219 
    CLASSIFIED PROGRAMS.....................................   399,638   434,239   399,638  ........    427,238 
----------------------------------------------------------------------------------------------------------------
                explanation of project level adjustments
                             [In thousands]                             
------------------------------------------------------------------------
                                 Budget     House    Senate   Conference
------------------------------------------------------------------------
Major Equipment, OSD..........   136,218   219,718   136,218    186,218 
    Enhanced strategic                                                  
     mobility.................  ........    25,000  ........     10,000 
    Natural gas vehicles......  ........    10,000  ........     10,000 
    Mentor protege program....  ........    10,000  ........     10,000 
    Army high performance                                               
     computing research ctr.                                            
     (AHPCRC).................  ........    38,500  ........     20,000 
  Special Operations Command                                            
 Aviation programs                                                      
    C-130 Modifications.......    86,777   104,777   110,477    104,577 
    Modification of 2 EC-130J                                           
     for Air National Guard...  ........    18,100  ........  ..........
    Special operations mode...  ........  ........    23,800     17,900 
  Shipbuilding                                                          
    PC Cyclone Class GFE......  ........  ........  ........      6,000 
  Ammunition programs                                                   
    Selectable Lightweight                                              
     Attack Munition (SLAM)...  ........     1,500     5,000      3,000 
    Times Relay Firing Devices  ........  ........     8,000      4,000 
  Other Procurement                                                     
    Maritime Equipment Mode        4,833     4,833     4,833     10,833 
        PC-Cyclone self                                                 
         defense weapons                                                
         upgrades [Note: The                                            
         Conferees direct that                                          
         $6,000,000 is                                                  
         available only for PC-                                         
         Cyclone self defense                                           
         weapons upgrades.]...  ........  ........  ........      6,000 
Miscellaneous Equipment.......     3,030     3,030    15,230     15,230 
    Wireless intercom systems.  ........  ........     4,100      4,100 
    Active noise reduction for                                          
     fixed wing assets........  ........  ........     6,600      6,600 
    Body armor................  ........  ........     1,500      1,500 
------------------------------------------------------------------------
                chemical and biological defense programs
                         individual protection
      The conferees reiterate the concerns raised in the House 
report about long-standing and continuing shortages of chemical 
and biological defense equipment, including such basic items as 
protective suits. The conferees note that the GAO has 
criticized the Assistant Secretary of Defense (Atomic Energy) 
(Chemical and Biological Matters) for failure to deliver timely 
work products that prioritize chemical and biological defense 
research efforts and modernization plans. The conferees urge 
the Secretary to take appropriate steps to expedite necessary 
actions. The conference agreement provides an increase of 
$40,000,000 only for the purchase of improved protective suits 
to meet identified shortfalls. These funds shall be used to 
purchase additional Joint Service Lightweight Integrated Suits 
(JSLIST) beyond the number of units budgeted in fiscal year 
1997. The conferees stress that the JSLIST program should not 
be structured as a static program in which further improvements 
in fabric or garment technologies cannot be incorporated into 
near term follow-on procurements. The conferees fully support 
actions to expedite the evaluation of recently developed fabric 
and garment technologies and expected that the JSLIST program 
will be able to swiftly accommodate such improvements.
                defense airborne reconnaissance program
      The conferees agree that airborne reconnaissance programs 
should be coordinated with the Defense Airborne Reconnaissance 
Office, but remain concerned that inconsistencies exist in the 
way procurement funds are aligned between service and defense-
wide accounts. Therefore, the conferees concur with the Senate 
position to transfer the funding for procurement programs to 
the Service accounts, while maintaining their identities under 
the DARP. Program management shall remain within the Services; 
however, consultation with the Defense Airborne Reconnaissance 
Office is required prior to making significant changes to 
existing programs.
          TITLE IV--RESEARCH, DEVELOPMENT, TEST AND EVALUATION
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
                  RECAPITULATION                                                                                
RDTE, ARMY......................................       4,320,640       4,874,537       5,107,283       5,062,763
RDTE, NAVY......................................       7,334,734       8,399,357       8,067,543       8,208,946
RDTE, AIR FORCE.................................      14,417,456      14,869,573      14,778,540      14,499,606
RDTE, DEFENSE-WIDE..............................       8,398,836       9,068,558       9,190,092       9,362,800
DEVELOPMENTAL TEST AND EVALUATION...............         252,038         272,038         269,038         282,038
OPERATIONAL TEST AND EVALUATION.................          21,968          26,968          21,968          24,968
                                                 ---------------------------------------------------------------
      GRAND TOTAL, RDTE.........................      34,745,672      37,511,031      37,434,464      37,441,121
----------------------------------------------------------------------------------------------------------------
            Research, Development, Test and Evaluation, Army
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
RESEARCH DEVELOPMENT TEST & EVAL ARMY;         
  TRACTOR ROSE..................................           2,131           3,131           2,131           3,131
  TRACTOR HIP...................................           8,152           9,152           8,152           8,152
  NAUTILUS/THEL.................................  ..............  ..............          55,000          45,000
  TRACTOR HIKE..................................          17,176          22,176          17,176          17,176
  TRACTOR RED...................................           5,125           8,625           5,125           8,625
  TRACTOR ROSE..................................           5,078           6,778           5,078           5,078
  ARMY MISSILE DEFENSE SYSTEMS INTEGRATION (DEM/                                                                
   VAL).........................................           2,884           2,884          29,884          22,884
  TACTICAL ELECTRONIC SUPPORT SYSTEMS--ADV DEV..           2,025           9,825           2,025           4,025
  ALL SOURCE ANALYSIS SYSTEM....................          36,200          36,200          38,200          40,200
  ARMY KWAJALEIN ATOLL..........................         136,864         136,864         146,864         146,864
  DOD HIGH ENERGY LASER TEST FACILITY...........           2,967          91,700          24,667          30,667
  AEROSTAT JOINT PROJECT OFFICE.................          38,940          38,940          31,940          26,940
  MISSILE/AIR DEFENSE PRODUCT IMPROVEMENT                                                                       
   PROGRAM......................................          30,959          50,959          85,959          65,959
  SPECIAL ARMY PROGRAM..........................          10,185          13,485          10,185          11,185
  CLASSIFIED PROGRAM............................  ..............  ..............  ..............           2,000
----------------------------------------------------------------------------------------------------------------
                                    EXPLANATION OF PROJECT LEVEL ADJUSTMENTS                                    
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
Command, Control, Communications Advanced                                                                       
 Technology.....................................          23,120         23,120          35,620          30,120 
    Wavenet technology..........................  ..............  ..............          4,000           2,000 
    Space Applications Technology Program.......  ..............  ..............          3,500               0 
    Field Laser Radar Demo Data Analysis Center.  ..............  ..............          5,000           5,000 
Global Surveillance/Air Defense/Precision Strike                                                                
 Demonstration..................................          40,258         40,258          25,258          22,658 
    Survivable armed reconnaissance on the                                                                      
     digital battlefield........................  ..............              0         -15,000         -17,600 
Tactical Electronic Support Sys--Adv Dev........           2,025          9,825           2,025           4,025 
    ASIS-IFAD...................................  ..............          7,800               0               0 
    (Note: Transferred to All Source Analysis                                                                   
     Systems.)                                                                                                  
Integrated battlespace intell server............  ..............              0               0           2,000 
    (Note: Transferred from All Source Analysis                                                                 
     Systems)                                                                                                   
All Source Analysis System......................          36,200         36,200          38,200          40,200 
    Integrated battlespace intell server........  ..............              0           2,000               0 
    (Note: Transferred to Tactical Electronic                                                                   
     Support Systems--Adv Dev)                                                                                  
    ASAS-IFAD...................................  ..............              0               0           4,000 
    (Note: Transferred from Tactical Electronic                                                                 
     Support System)                                                                                            
    HELSTF......................................  ..............         21,733          21,700          21,700 
    THEL/NAUTILUS...............................  ..............         55,000               0               0 
    High energy solid state laser development...  ..............         12,000               0           6,000 
Aerostat Joint Project Office...................          38,940         38,940          31,940          26,940 
    Risk reduction program......................  ..............              0          -3,000          -3,000 
    Management office and support...............  ..............              0          -4,000          -4,000 
    Program reduction...........................  ..............              0               0          -5,000 
Missile/Air Defense Product Improvement.........          30,959         50,959          85,959          65,959 
    Patriot anti-cruise missile upgrade.........  ..............         20,000          40,000          35,000 
    Starstreak evaluation.......................  ..............              0          15,000               0 
----------------------------------------------------------------------------------------------------------------
            Research, Development, Test and Evaluation, Navy
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                 Budget       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
  RESEARCH DEVELOPMENT TEST & EVAL NAVY                                                                         
  UNDERSEA SURVEILLANCE WEAPON TECHNOLOGY...................       49,580       49,580       50,080       50,080
  RETRACT MAPLE.............................................       83,809      114,009       83,809       83,809
  LINK PLUMERIA.............................................       26,433       28,933       41,433       35,933
  RETRACT ELM...............................................       24,993       30,793       30,143       24,993
  P-3 MODERNIZATION PROGRAM.................................        2,074       14,074        2,074        8,074
  AEGIS COMBAT SYSTEM ENGINEERING...........................       89,279       93,279      103,279       92,279
  JSTARS NAVY...............................................  ...........       10,000  ...........  ...........
  DISTRIBUTED SURVEILLANCE SYSTEM...........................       35,194       70,194       35,194       55,194
  MARINE CORPS COMMUNICATIONS SYSTEMS.......................       56,687       61,242       56,687       61,242
  DEFENSE METEOROLOGICAL SATELLITE PROGRAM (SPACE)..........        1,195        1,195       16,195       13,695
  TACTICAL UNMANNED AERIAL VEHICLE..........................  ...........  ...........       66,808  ...........
  PREDATOR..................................................  ...........  ...........        6,099  ...........
  CLASSIFIED PROGRAMS.......................................      501,598      669,598      501,598      575,298
----------------------------------------------------------------------------------------------------------------
         Research, Development, Test and Evaluation, Air Force
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                    Budget       House      Senate    Conference
----------------------------------------------------------------------------------------------------------------
RESEARCH DEVELOPMENT TEST & EVAL AF:                                                                            
    SPACE AND MISSILE ROCKET PROPULSION.........................      15,740      25,740      15,740      23,240
    ADVANCED SPACECRAFT TECHNOLOGY..............................      39,367      70,637      89,637      76,637
    ADVANCED WEAPONS TECHNOLOGY.................................      41,895      66,895      61,895      56,895
    ADVANCED MILSATCOM (SPACE)..................................      31,643      31,643      16,543      31,643
    POLAR ADJUNCT (SPACE).......................................      62,387      22,387      62,387      62,387
    NATIONAL POLAR-ORBITING OPERATIONAL ENVIRONMENTAL SATE......      34,024      19,024      29,000      29,000
    SPACE BASED INFRARED ARCHITECTURE (SPACE)--DEM/VAL..........     120,151     249,151     254,151     249,151
    EVOLVED EXPENDABLE LAUNCH VEHICLE PROGRAM (SPACE)--DEM......      44,457      44,457      74,457      44,457
    SPACE ARCHITECT OFFICE......................................      15,000      15,000      10,601      11,601
    COMBAT INTELLIGENCE SYSTEM--EMD.............................       1,943       2,943       1,943       2,943
    SPACE BASED INFRARED ARCHITECTURE (SPACE)--EMD..............     173,290     173,290     199,190     199,190
    JOINT TACTICAL INFORMATION DISTRIBUTION SYSTEM (JTIDS)......      11,075      30,875      11,075      30,875
    JOINT SURVEILLANCE/TARGET ATTACK RADAR SYSTEM (JSTARS)......     207,284     203,784     207,284     203,784
    ROCKET SYSTEMS LAUNCH PROGRAM (SPACE).......................       8,152       8,152      33,252      33,252
    SPECIAL EVALUATION PROGRAM..................................      53,495      53,495      37,195      37,195
    THEATER BATTLE MANAGEMENT (TBM) C4I.........................      30,915      30,915      35,915      34,415
    THEATER MISSILE DEFENSES....................................      22,285      22,285      34,285      31,285
    TECHNICAL EVALUATION SYSTEM.................................     114,603     114,603     102,603     114,603
    SPECIAL EVALUATION SYSTEM...................................      41,776      53,476      41,776      41,776
    DEFENSE SATELLITE COMMUNICATIONS SYSTEM (SPACE).............      24,527      28,127      24,527      28,127
    MILSTAR SATELLITE COMMUNICATIONS SYSTEM (SPACE).............      26,962      26,962      20,348      20,348
    SELECTED ACTIVITIES.........................................       3,000  ..........       3,000  ..........
    SATELLITE CONTROL NETWORK (SPACE)...........................      89,960      86,960      89,960      86,960
    TITAN SPACE LAUNCH VEHICLES (SPACE).........................     105,472     102,472     105,472     102,472
    ARMS CONTROL IMPLEMENTATION.................................      26,786      31,386      26,786      29,086
    DEFENSE METEOROLOGICAL SATELLITE PROGRAM (SPACE)............      17,964      17,964      15.664      15,664
    NAVSTAR GLOBAL POSITIONING SYSTEM (USER EQUIPMENT) (SP).....      32,450      24,950      37,450      31,250
    SPACETRACK (SPACE)..........................................      18,867      18,867      33,867      33,867
    DEFENSE SUPPORT PROGRAM (SPACE).............................      29,397      26,397      29,397      26,397
    SUPPORT SYSTEMS DEVELOPMENT.................................       5,405       5,405       5,405       8,405
    AIRBORNE RECONNAISSANCE GROUND STATION......................  ..........  ..........       2,419  ..........
    DISTRIBUTED COMMON GROUND STATION...........................  ..........  ..........       5,116  ..........
    ADVANCED SENSOR DEVELOPMENT.................................  ..........  ..........      66,367  ..........
    ADVANCED TECHNOLOGY AND SENSORS.............................  ..........  ..........      17,523  ..........
    COMMON DATA LINK............................................  ..........  ..........      22,931  ..........
    U-2.........................................................  ..........  ..........      28,918  ..........
    COMMON IMAGERY GROUND SURFACE SYSTEM........................  ..........  ..........      55,280  ..........
    CLASSIFIED PROGRAMS.........................................   4,844,501   4,862,501   4,702,927   4,576,857
    COBRA BALL (FLD)............................................  ..........  ..........       5,000       5,000
----------------------------------------------------------------------------------------------------------------
                explanation of project level adjustments
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                 Budget       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
Phillips Lab Exploratory Development.........................     121,107     148,007      135,607      153,507 
    IHRPT....................................................  ..........       7,000        7,000        5,000 
    RSLP.....................................................  ..........       9,800   ...........       9,800 
    Mightysat................................................  ..........      10,100   ...........      10,100 
    High Frequency Active Auroral Research Program...........  ..........  ...........       7,500        7,500 
Electronic Combat Technology.................................      25,202      30,102       25,202       27,602 
    Laser IR Countermeasures.................................  ..........       5,000   ...........       2,400 
Space and Missile Rocket Propulsion..........................      15,740      25,740       15,740       23,240 
    IHRPT....................................................  ..........       5,000   ...........       2,500 
    Pentaborane is Disposal..................................  ..........       2,000   ...........       2,000 
    Low Cost EELV............................................  ..........       3,000   ...........       3,000 
Advanced Spacecraft Technology...............................      39,637      70,637       89,637       76,637 
    Reusable Launch Vehicles.................................  ..........      25,000   ...........      10,000 
    MSTI.....................................................  ..........       3,000   ...........       2,000 
    Power Storage Technology.................................  ..........       2,000   ...........  ...........
    Clementine II............................................  ..........  ...........      50,000       25,000 
Advanced Weapons Technology..................................      41,895      66,895       61,895       56,895 
    Space Laser Imaging Technology...........................  ..........      15,000       10,000       10,000 
    Laser Induced Microwave Emissions........................  ..........      10,000       10,000        5,000 
Space Based Infrared Architecture............................     120,151     249,151      254,151      249,151 
    SMTS.....................................................  ..........     134,000      134,000      134,000 
    Program Support..........................................  ..........      -5,000   ...........      -5,000 
Space Architect Office.......................................      15,000      15,000       10,601       11,601 
    O&M Transfer/Studies.....................................  ..........  ...........      -3,399       -2,399 
    Studies..................................................  ..........  ...........      -1,000       -1,000 
Theater Battle Management (TBM) C41..........................      30,915      30,915       35,915       34,415 
    TBM Core Systems.........................................  ..........  ...........       5,000        3,500 
Theater Missile Defense......................................      22,285      22,285       34,285       31,285 
    UH-1N Simulator for TACCSF...............................  ..........  ...........       9,000        7,000 
    TACCSF Adv distributed simulation connection.............  ..........  ...........       3,000        2,000 
Arms Control Implementation..................................      26,786      31,386       26,786       29,086 
    Seismic Research.........................................  ..........       4,600   ...........       2,300 
Navstar GPS (User Equipment).................................      32,450      24,950       37,450       31,250 
    Program Reduction........................................  ..........      -7,500   ...........      -3,700 
    GPS Protection...........................................  ..........  ...........       5,000        2,500 
Spce Track...................................................      18,867      18,867       33,867       33,867 
    AEOS.....................................................  ..........  ...........       8,500        8,500 
    AMOS.....................................................  ..........  ...........       6,500        6,500 
  (Note: The conferees direct that $1,700,000 of the AEOS                                                       
 increase shall be available to continue development of the                                                     
 AEOS spectrograph)                                                                                             
Industrial Preparedness......................................      49,969      51,969       69,969       52,969 
    General Increase.........................................  ..........       2,000       11,400        3,000 
    SPARES...................................................  ..........  ...........       5,400   ...........
    Hazmat Pats..............................................  ..........  ...........       3,200   ...........
Productivity, Reliability, Availability, Maintain, Program...      13,564      16,564       18,064       16,564 
    Blade Repair Program Modeling............................  ..........       3,000        4,500        3,000 
Support Systems Development..................................       5,405       5,405        5,405        8.405 
    SPARES...................................................  ..........  ...........  ...........       3,000 
  [Note: SPARES program transferred from Industrial                                                             
 Preparedness program element]                                                                                  
Cobra Ball...................................................  ..........  ...........      +5,000       +5,000 
    FLD advanced airborne sensor.............................  ..........  ...........      +5,000       +5,000 
----------------------------------------------------------------------------------------------------------------
      intercontinental ballistic missile--demonstration/validation
      The conferees agree to add $17,700,000 to this program 
element and direct that these funds may be used to develop both 
Global Positioning System (GPS) range safety modifications and 
improved accuracy capabilities for conventional ICBM precision 
strike.
            evolved expendable launch vehicle (EELV) Program
      The conferees do not agree to the Senate provision which 
directed that the use of the Centaur Processing Facility at 
Cape Canaveral Air Force Station be included in the baseline 
specifications and requirements of the EELV family of space 
boosters.
                                 awacs
      The conferees agree to provide $82,559,000 for AWACS, an 
increase of $25,000,000 only for an AWACS reengining program. 
The conferees direct the Air Force to provide a detailed report 
to the Committee on Appropriations on the schedule, technical 
risks, annual and total program costs, and acquisition strategy 
not later than April 1, 1997. The Air Force is further directed 
to consult with the Committees on Appropriations well in 
advance of selecting an acquisition strategy involving the 
leasing of engines.
                      arms control implementation
      The Air Force requested $26,786,000 for arms control 
implementation. The conferees recommend $29,086,000, an 
increase of $2,300,000. This increase provides a total of 
$8,800,000 for CTBT monitoring research. Of this amount 
$7,100,000 shall be available only for peer-reviewed basic 
research in the field of explosion seismology, and $1,700,000 
shall be available for research efforts in complementary 
disciplines, such as hydroacoustics, infrasound and 
radionuclide analyses. The conferees direct the Department to 
maintain its successful collaboration with the external 
research community and to continue to award these funds through 
a competitive peer panel review process, which includes non-
governmental reviewers from the external research community as 
panel members.
      The conferees direct that the $8,800,000 for nuclear test 
monitoring research can be used only to support documented Air 
Force operational monitoring requirements. Further, the 
conferees direct the Department to provide sufficient funding 
in future year budget requests to provide for a stable and 
robust seismic research program.
      The conferees also commend the nuclear test monitoring 
work of the Air Force Phillips Laboratory and are concerned 
that a reorganization of these activities may adversely impact 
vital nuclear test monitoring efforts. The conferees direct 
that the Department report to Congress 60 days before 
implementing any reorganization impacting Phillips Laboratory 
seismic research activities and personnel.
                      podded reconnaissance system
      The conferees direct the Office of the Secretary of 
Defense to strongly consider conducting a competitive fly-off 
of industry provided equipment for the second sensor to be 
provided under the Tactical Airborne Reconnaissance System pre-
planned product improvement effort. A report on the results of 
these considerations as to the advantages and disadvantages of 
such an acquisition strategy, including the impact of such a 
strategy on inter-service interoperability and commonality of 
systems and imagery products and cost effectiveness of current 
and leading-edge technologies, shall be submitted to the 
Committees on Appropriations not later than April 15, 1997.
        Research, Development, Test and Evaluation, Defense-Wide
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
RESEARCH DEVELOPMENT TEST & EVAL DEFWIDE:                                                                       
    CEMICAL AND BIOLOGICAL DEFENSE PROGRAM......          28,739          30,939          28,739          29,939
    ASAT PROGRAM................................  ..............  ..............          75,000          50,000
    CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM.....          65,273          65,273          73,173          69,273
    COUNTERPROLIFERATION SUPPORT--ADV DEV.......          54,142          54,142          61,610          58,610
    DARPA CLASSIFIED PROGRAMS...................  ..............  ..............         220,638         180,638
    THEATER HIGH-ALTITUDE AREA DEFENSE SYSTEM--                                                                 
     TMD--DEM/..................................         269,000         409,000         304,000         344,000
    CORPS SURFACE-TO-AIR MISSILE--TMD--DEM/VAL..          56,232  ..............          56,200          30,000
    BOOST PHASE INTERCEPT THEATER MISSILE                                                                       
     DEFENSE ACQUISITION........................  ..............  ..............          24,300          24,300
    NATIONAL MISSLE DEFENSE--DEM/VAL............         508,437         858,437         808,437         833,437
    OTHER THEATER MISSILE DEFENSE/FOLLOW-ON TMD                                                                 
     ACTIVITIES.................................         520,111         520,111         515,743         525,511
    CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM--DEM/                                                               
     VAL........................................          54,511          54,511          47,511          49,511
    ENDURANCE UNMANNED AERIAL VEHICLES..........  ..............  ..............         175,247  ..............
    GENERAL REDUCTION--BMD......................  ..............         -15,000  ..............  ..............
    CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM--EMD          89,915          97,115          89,915          99,515
    THEATER HIGH-ALTITUDE AREA DEFENSE SYSTEM--                                                                 
     TMD--EMD...................................         212,798         212,798         317,798         277,798
    TECHNICAL STUDIES, SUPPORT ANALYSIS.........          35,101  ..............          31,248          31,248
    TECHNICAL ASSISTANCE........................           4,785  ..............           4,785  ..............
    CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM.....          16,708          22,708          16,708          16,708
    DEFENSE SUPPORT ACTIVITIES..................          13,796          13,796          16,796          16,796
    MANAGEMENT HEADQUARTERS (RESEARCH AND                                                                       
     DEVELOPMENT)...............................          36,369          32,643          36,369          34,469
    DMA MAPPING, CHARTING, AND GEODESY (MC&G)                                                                   
     PRODUCTION.................................         100,997          90,997         100,997          90,997
    DEFENSE AIRBORNE RECONNAISSANCE PROGRAM.....         438,559         562,059  ..............         487,059
    DEFENSE RECONNAISSANCE SUPPORT ACTIVITIES                                                                   
     (SPACE)....................................          55,911          55,911          92,511          87,511
    SPECIAL OPERATIONS TECHNOLOGY DEVELOPMENT...           4,083           6,083           4,083           6,083
    SPECIAL OPERATIONS TACTICAL SYSTEMS                                                                         
     DEVELOPMENT................................          83,923          89,323          98,074          97,874
    SPECIAL OPERATIONS INTELLIGENCE SYSTEMS                                                                     
     DEVELOPMENT................................           1,315           2,315           1,315           2,315
    SOF OPERATIONAL ENHANCEMENTS................          23,216          28,716          23,216          30,216
    CLASSIFIED PROGRAMS.........................       1,202,794       1,323,132       1,231,794       1,238,794
    DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION.  ..............  ..............          12,000  ..............
----------------------------------------------------------------------------------------------------------------
                explanation of project level adjustments
                                                 [In thousands]                                                 
----------------------------------------------------------------------------------------------------------------
                                                                 Budget       House        Senate     Conference
----------------------------------------------------------------------------------------------------------------
Chemical and Biological Defense Program......................      65,273      65,273       73,173       69,273 
    Safeguard................................................  ..........  ...........      +7,900       +4,000 
Defense Nuclear Agency.......................................     195,131     218,131      195,593      195,593 
    Bioenvironmental hazards research........................  ..........      +5,000       +5,000       +5,000 
    Counter-terrorist explosive research.....................  ..........      +8,000   ...........      +4,000 
    Thermionics..............................................  ..........     +10,000   ...........      +3,000 
    Deep digger..............................................  ..........  ...........      +3,000       +2,000 
    TOPAZ international program..............................  ..........  ...........     -15,538      -15,538 
    Johnston Island remediation..............................  ..........  ...........      +8,000       +2,000 
  [Note: The conferees direct that up to $4,800,000 shall be                                                    
 made available only to terminate the Topaz space nuclear                                                       
 reactor program.]                                                                                              
Counterproliferation Support.................................      54,142      54,142       61,610       58,610 
    High frequency active auroral research program...........  ..........  ...........      +7,500       +7,500 
    Alternative agent defeat concept.........................  ..........  ...........      -3,032       -3,032 
    Surgical strike vehicle..................................  ..........  ...........      +3,000   ...........
Support Technologies/Follow-on Technologies..................     132,319     172,319      272,319      262,319 
    RAMOS....................................................  ..........  ...........      20,000      +10,000 
    Advanced Interceptor Technology..........................  ..........      40,000       40,000      +40,000 
    Advanced technology development (seekers, interceptors,                                                     
     photon laser spacecraft, scorpius, directed energy etc.)  ..........  ...........      80,000      +10,000 
    Space-based laser........................................  ..........  ...........  ...........     +70,000 
Sensors and guidance technology..............................     101,477  ...........      94,477      110,977 
    Guidance technology program..............................  ..........  ...........      10,499       10,499 
    Air defense initiative...................................  ..........  ...........      21,777       21,777 
    Sensor and exploitation systems..........................  ..........  ...........      69,201       69,201 
    Large millimeter wave telescope..........................  ..........  ...........      +3,000       +1,500 
    Semiautomated IMINT processing...........................  ..........  ...........     -10,000       -5,000 
DARPA classified programs....................................     170,638     170,638      220,638      180,638 
    Classified programs......................................  ..........  ...........     170,638     +170,638 
    Classified DARPA initiative..............................  ..........  ...........      50,000      +10,000 
Advanced Sensor Applications Program.........................      24,001      26,501       28,001       25,501 
    Ocean remote sensing.....................................  ..........      +2,500   ...........       2,500 
    Submarine detection system competition...................  ..........  ...........     +10,000        5,000 
    LGA physics..............................................  ..........  ...........      -6,000       -6,000 
    Ocean remote sensing.....................................  ..........      (5,000)  ...........      (4,000)
Other Theater Missile Defense/Follow-on TMD..................     520,111     520,111      515,743      525,511 
    ARROW deployability project..............................      31,300  ...........      +3,700       +3,700 
    TMD existing systems modifications--EAGLE................  ..........  ...........     -19,766      -19,766 
    U.S./Israel boost phase intercept........................  ..........  ...........      -9,300       -9,300 
    Advanced Research Center.................................  ..........  ...........      +7,000       +7,000 
    Cooperative engagement capability integration............  ..........  ...........      +5,000       +4,000 
    Airborne sensors for ballistic missile tracking..........  ..........  ...........     +19,766      +19,766 
    Kauai test facility at PMRF..............................  ..........  ...........      (5,000)      (5,000)
    General program reduction................................  ..........  ...........     -10,768   ...........
Endurance Unmanned Aerial Vehicles...........................  ..........  ...........     175,247   ...........
    Endurance UAV--common....................................  ..........  ...........      71,642   ...........
    Low observable-high altitude UAV.........................  ..........  ...........      17,428   ...........
    HAE-conventional UAV.....................................  ..........  ...........      71,428   ...........
    Tier III Minus UAV.......................................  ..........  ...........      14,749   ...........
General Reduction............................................  ..........     -15,000   ...........  ...........
    HNSC general reduction...................................  ..........     -15,000   ...........  ...........
Chemical and Biological Defense Program--EMD.................      89,915      97,115       89,915       99,515 
    Biological warfare countermeasures.......................  ..........      +7,200   ...........      +4,200 
    Bio medical (transferred from procurement, defense-wide).  ..........  ...........  ...........      +5,400 
Defense Airborne Reconnaissance Program......................     438,559     562,059   ...........     487,059 
                                                               ..........    +123,500     -438,559   ...........
    Darkstar.................................................  ..........  ...........  ...........     +28,500 
    Global Hawk..............................................  ..........  ...........  ...........     -10,000 
    CIGSS....................................................  ..........  ...........  ...........      +7,500 
    EO Framing...............................................  ..........  ...........  ...........     +10,000 
    VTOL.....................................................  ..........  ...........  ...........     +15,000 
    MSAG.....................................................  ..........  ...........  ...........      +4,000 
    CDL......................................................  ..........  ...........  ...........      -6,500 
Defense Reconnaissance Support Activities (Space)............      55,911      55,911       92,511       87,511 
    Application of DoD satellites to national needs Pacific                                                     
     Disaster Center [Note: The conferees direct that the                                                       
     disaster-related modeling and simulation efforts utilize                                                   
     the existing high performance computing capabilities                                                       
     available in the Pacific, including parallel processing                                                    
     and advanced storage technology, to decrease the time                                                      
     needed to render and display these models.].............  ..........  ...........                          
                                                                           ...........     +28,600              
                                                                                            +8,000      +23,600 
                                                                                                         +8,000 
Special Operations Tactical Systems Development..............      83,923      89,323       98,074       97,874 
    Advanced seal delivery system............................  ..........      +4,400   ...........      +2,800 
    Full authority digital control...........................  ..........      +1,000   ...........      +1,000 
    Rigid hull inflatable boat...............................  ..........  ...........      +4,451       +4,451 
    Special operations command integration center............  ..........  ...........      +4,000   ...........
    Penetration augmented munitions..........................  ..........  ...........      +3,800       +3,800 
    Integrated night/day observation/fire control device                                                        
     (INOD)..................................................  ..........  ...........      +1,900       +1,900 
SOF Operational Enhancements.................................      23,216      28,716       23,216       30,216 
    Counterproliferation/wmd.................................  ..........      +5,500   ...........      +4,000 
    Advanced special warfare craft [Note: The conferees                                                         
     direct that $3,000,000 is only for the advanced special                                                    
     warfare craft.].........................................  ..........  ...........  ...........      +3,000 
Classified Programs..........................................   1,202,794   1,323,132    1,231,794    1,238,794 
    Increases to classified programs.........................  ..........    +120,338      +29,000      +36,000 
----------------------------------------------------------------------------------------------------------------
              other theater missile defense/follow-on tmd
      The conferees agree with the Senate direction that the 
Under Secretary of Defense (Acquisition and Technology) 
(USD(A&T)) provide a plan for developing an airborne sensor 
capability for tracking ballistic missiles. The conferees 
further believe that analyses to develop this plan should 
consider the opportunity to use the Airborne Laser sensors to 
perform this mission. The conferees direct that operational 
user requirements and perspectives and total program cost be 
given priority consideration in selecting a system to provide 
this capability. Because of the urgent need to deliver such a 
system, the conferees direct that the USD(A&T) provide a plan 
not later than January 19, 1997, for developing this capability 
and allocating the appropriated funds. The conferees further 
direct that DoD may obligate up to one-third of the 
appropriated funds prior to the delivery of the plan to the 
congressional defense committees. The conferees further direct 
that any funds obligated prior to delivery of the required plan 
shall be divided fairly between the AWACS EAGLE program and the 
Rivet Joint Technology Transfer program.
               u.s.-israel boost phase intercept program
      The conferees endorse the joint effort between the United 
States and Israel to develop a kinetic energy boost phase 
interception system based on an unmanned aerial vehicle. This 
technological approach contains great promise for intercepting 
ballistic missiles over enemy territory and complements other 
ongoing U.S. and Israeli TMD efforts. It is the expectation of 
the conferees that, to make greatest use of the investment and 
technological progress already made by our allies, the U.S.-
Israel joint effort will be based upon Israel's boost phase 
intercept (IBIS) concept.
                        national missile defense
      The conferees direct the Ballistic Missile Defense 
Organization to provide $23,000,000 for the Air Force National 
Missile Defense (NMD) initiative. The conferees express their 
support for development and test activities which allow the 
Defense Department to fully explore the Air Force concept, to 
include utilizing the test facilities which provide a realistic 
and representative test scenario. The conferees direct that the 
Secretary of Defense shall concurrently inform the 
congressional defense committees on the report required under 
section 245 of the National Defense Authorization Act for 
Fiscal Year 1997.
                           optical correlator
      The conferees are aware that recent advances in optical 
correlators make them practical for several key military and 
civilian applications. One is the rapid processing of images 
and information for real-time automatic target recognition to 
support precision-guided weapons and target cueing for 
surveillance systems; another is the rapid and detailed 
processing of data collected by medical instruments to detect 
and locate a variety of previously difficult-to-detect objects 
in the body; and, within the criminal justice system, its 
ability to rapidly scan and match massive amounts of data, such 
as fingerprints.
      The conferees are encouraged by the recently increased 
interest expressed by DoD in optical correlators, particularly 
for the F/A-18 and several guided missile programs. Therefore 
the conferees direct the military services and DoD program 
offices seeking to develop or procure automatic target 
recognition (ATR) or cueing capabilities to immediately 
leverage this unique dual use technology and provide additional 
funds, within current program appropriations, to accelerate the 
introduction of optical correlators into their weapon 
inventories. The Secretary of Defense shall provide a report on 
this effort to the congressional defense committees by January 
31, 1997.
                  Advanced sensor applications program
      The conferees have provided $10,000,000 for a technology 
evaluation of systems performing selected non-acoustic 
antisubmarine warfare missions. The conferees direct that other 
concepts be given an opportunity to be evaluated. In 
particular, the conferees are aware of a system which should be 
included in this competition which takes advantage of the 
collection and processing of hyperspectral data. The conferees 
further direct that a variety of specific test scenarios be 
utilized under this competition.
                defense airborne reconnaissance program
      The conferees agree with the House concern that the 
Defense Airborne Reconnaissance Program (DARP) currently has 
extraordinary latitude to realign funds with little 
congressional oversight. Therefore the conferees direct that 
five DARP program elements for RDT&E projects be created as 
defined in House Report 104-286 and these program elements be 
reflected in future budget submissions, beginning with the 
fiscal year 1998 request. Further, in line with policy 
direction regarding DARP acquisition programs contained in 
Title III of this report, the conferees direct that when an 
RDT&E program achieves Milestone III, funding and program 
responsibility is to be transferred to the appropriate service. 
The conferees also agree with the House recommendation to cap 
the fiscal year 1997 budget for DARP Integration and Support 
and DARO operations at $19,841,000.
      The conferees agree to provide an additional $10,000,000 
only for the development of the existing CA-260/261 EO framing 
sensors.
           Chemical Agents and Munitions Destruction, Defense
      The conference agreement is as follows:
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                    Budget       House        Senate        Qty       Conference
----------------------------------------------------------------------------------------------------------------
CHEM AGENTS & MUNITIONS DESTRUCTION, DEF:                                                                       
  CHEM DEMILITARIZATION--O&M...................      477,947      477,947      478,947  ...........      478,947
  CHEM DEMILITARIZATION--PROC..................      273,600      273,600      191,200  ...........      191,200
  CHEM DEMILITARIZATION--RDTE..................       48,300       48,300       88,300  ...........       88,300
----------------------------------------------------------------------------------------------------------------
                          alternative methods
      The conferees recommend that the Department of Defense in 
its alternative technology studies evaluate a non-thermal 
chemical mixing neutralization process that does not depend on 
the use or application of an external heat source. The 
conferees suggest that this process be a batch process which 
will render chemical weapons harmless in a period of two hours 
or less and have a resident temperature below that of boiling 
water at sea level.
      Furthermore, the conferees recommend that the Department 
of Defense include the use of plasma electric waste convertor 
technology in its analysis of alternative methods.
                   mobile munitions assessment system
      The conferees agree that of the funds available for 
Research, Development, Test and Evaluation, $3,000,000 is only 
for the development of advanced sensors for the Army's Mobile 
Munitions Assessment System.
                      TITLE VII--RELATED AGENCIES
      The conferees agree to the following amounts for Related 
Agencies:
----------------------------------------------------------------------------------------------------------------
                                                      Budget           House          Senate        Conference  
----------------------------------------------------------------------------------------------------------------
Central Intelligence Agency Retirement and                                                                      
 Disability System Fund.........................     196,400,000     196,400,000     184,200,000     196,400,000
Intelligence Community Management Account.......      91,739,000     149,555,000      94,739,000     129,164,000
                                                 ---------------------------------------------------------------
  Total, Related Agencies.......................     303,239,000     355,955,000     294,039,000     340,664,000
----------------------------------------------------------------------------------------------------------------
                     TITLE VIII--GENERAL PROVISIONS
      The conference agreement incorporates general provisions 
of the House and Senate versions of the bill which were not 
amended. Those general provisions that were amended in 
conference follow:
      The conferees agree to a general provision (Section 8037) 
governing the activities of defense federally funded research 
and development centers (FFRDC's).
      The conferees recognize the preference by the Department 
of Defense to limit the activities of defense FFRDC's through 
the use of ceilings on the number of staff years of technical 
effort (staff years). Therefore, for fiscal year 1997, the 
conferees agree to statutory ceilings on defense FFRDC staff 
years (5,975 overall and 1,088 for studies and analysis 
FFRDC's).
      The conferees, however, are concerned that the allocation 
of staff years not obscure the budgetary impacts of funding the 
FFRDC's. The conferees direct that the reports identifying the 
staff years of technical effort allocated to each defense FFRDC 
for fiscal years 1997 and 1998 also include the dollar amounts 
required to fund each FFRDC's staff year allocations for each 
fiscal year.
      The conferees direct that, during fiscal year 1997, 
should the institutional arrangements and agreements between 
any defense FFRDC and the department, or the organization and 
structure of any defense FFRDC, undergo a significant change, 
the Secretary of Defense shall provide the Congressional 
defense committees with a detailed report addressing the 
effects of such a change on the staff years to be allocated for 
that defense FFRDC under the statutory ceilings.
      The conferees further direct that this report shall be 
submitted not later than 60 days before the change is to occur 
and shall contain information regarding: (1) the department's 
ability to obtain services which had been provided by that 
defense FFRDC, including whether the department intends to 
obtain these services in the future under competitive or non-
competitive contracts, agreements, or procedures; (2) the cost, 
budget, contractual, legal, and policy implications of the 
change, including the impact of the change on the competitive 
environment for the acquisition of such services; (3) the 
disposition of any property--including real and personal 
property, hardware, software, and intellectual property--
developed or obtained by the FFRDC through the payment of any 
fee or other financing mechanism paid by the Federal 
government, and whether the Federal government shall receive 
the fair market value for any such property the ownership of 
which may be transferred as a result of any significant change; 
(4) whether any officers or employees of a defense FFRDC which 
is involved in any such significant change shall receive any 
salary or other compensation increase, or any bonus, as a 
result of such a change, and the amount of any such increase or 
bonus for each officer or employee; and (5) whether any such 
significant change shall result in any liability for the 
federal government with respect to personnel costs for the 
defense FFRDC.
      The conferees further agree to statutory language 
reducing funds for defense FFRDC's and for non-FFRDC consulting 
services used by the department.
      The conferees included a general provision (Section 8038) 
which prohibits funds from being used for studies on the 
removal and transportation of chemical weapons or agents to 
Johnston Atoll.
      The conferees included a general provision (Section 8064) 
which amends House language authorizing intelligence 
activities.
      The conferees included a general provision (Section 8065) 
which amends the Senate language providing $40,000,000 and 
specific directions for the conduct of an alternative 
destruction program for the stockpile chemical weapons. The 
conferees also included language prohibiting the expenditure of 
any appropriated funds in this or any other Act for the study, 
assessment, or planning of the removal and transportation of 
stockpile assembled unitary chemical weapons or neutralized 
chemical agent to any of the eight chemical weapons storage 
sites within the continental United States. The conferees agree 
that this prohibition of funding for studies, assessments or 
planning does not apply to studies of the transportation of the 
end-product of an alternative technology treatment process to 
locations other than the stockpile chemical weapons storage 
sites.
      The conferees included a general provision (Section 8068) 
which amends Senate language allowing the Secretary of the Navy 
to lease real or personal property at Naval Air Facility, Adak, 
Alaska.
                          rescission of funds
      The conferees agree to rescind excess prior year funds, 
as presented in the following table:
----------------------------------------------------------------------------------------------------------------
                                                               House              Senate           Conference   
----------------------------------------------------------------------------------------------------------------
                     FISCAL YEAR 1996                                                                           
                                                        ========================================================
MISSILE PROCUREMENT, AIR FORCE                                                                                  
    Defense support program excess funds...............                  0        -31,900,000        -31,900,000
                                                        --------------------------------------------------------
      Subtotal.........................................                  0        -31,900,000        -31,900,000
                                                        ========================================================
      Total fiscal year 1995...........................                  0        -31,900,000        -59,500,000
                                                        ========================================================
                                                        ========================================================
                                                        ========================================================
MISSILE PROCUREMENT, AIR FORCE:                                                                                 
    Space boosters/Titan IV excess funds...............                  0        -20,000,000        -20,000,000
                                                        --------------------------------------------------------
      Subtotal.........................................                  0        -20,000,000        -20,000,000
                                                        ========================================================
OTHER PROCUREMENT, AIR FORCE:                                                                                   
    Classified program.................................                  0                  0        -26,000,000
                                                        --------------------------------------------------------
      Subtotal.........................................                  0                  0        -26,000,000
                                                        ========================================================
                                                        ========================================================
RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE:                                                          
    Classified program.................................                  0        -75,000,000                  0
                                                        --------------------------------------------------------
      Subtotal.........................................                  0        -75,000,000                  0
                                                        ========================================================
      Total fiscal year 1996...........................                  0        -95,000,000        -77,608,000
                                                        ========================================================
      Grand total......................................                  0       -126,900,000       -137,108,000
----------------------------------------------------------------------------------------------------------------
      The conferees included a general provision (Section 8128) 
which amends Senate language providing funds for defense 
against weapons of mass destruction. The conferees agree to 
provide $100,000,000 for defense against weapons of mass 
destruction, including domestic preparedness, interdiction of 
weapons of mass destruction and related materials, control and 
disposition of weapons of mass destruction and related 
materials threatening the United States, coordination of policy 
and countermeasures against proliferation of weapons of mass 
destruction, and miscellaneous related programs, projects, and 
activities. The funds are available for transfer to, and merger 
with, funds appropriated elsewhere in this Act.
      Domestic preparedness against terrorist threats, 
especially chemical or biological attacks against U.S. civilian 
targets, is of paramount importance to the nation. Terrorist 
organizations have shown the willingness and capability to 
operate within the continental United States, and a terrorist 
chemical attack in the Tokyo subway system has already 
occurred.
      While the armed services have developed capabilities to 
evaluate chemical/biological threats, respond to such threats, 
and protect and treat affected personnel, these capabilities 
have been developed primarily to protect military personnel in 
operational situations. The conferees believe much can and 
should be done to transfer existing military chemical/
biological warfare expertise and technology to our civilian 
``first responders'' in charge of protecting the civilian 
population.
      The conferees applaud the first small step in this 
direction with the establishment of the ``Chemical-Biological 
Incident Response Force'' in the Marine Corps which has rapid 
deployment capability. Coupled with its unique civilian 
advisory group, the CBIRF will become the nation's first 
completely self-contained chemical and biological response 
force. The bill includes $10,000,000 to upgrade the equipment 
of this unit, including funds for prepositioned equipment at 
key domestic locations. However, there is no doubt that much 
more needs to be done to properly train and equip ``first 
responders'' around the country.
      The conferees direct the Secretary, in conjunction with 
the Director of the Central Intelligence Agency, the Attorney 
General, the Secretary of Energy, the Administrator of the 
Federal Emergency Management Agency, and other pertinent 
federal, state and local officials, to submit a report to 
Congress (in both classified and unclassified forms) that:
            (1) assesses the types and characteristics of 
        chemical and biological threats against U.S. citizens 
        and Government assets in the U.S. and the capability of 
        civilian agencies to respond to these threats;
            (2) identifies the unmet training, equipment, and 
        other requirements of civilian first responders 
        necessary to provide a basic capability to respond to a 
        domestic chemical or biological attack;
            (3) identifies DoD chemical/biological warfare 
        information, expertise, and equipment that could be 
        adapted to civilian application to help meet identified 
        requirements; and
            (4) presents a detailed plan for DoD assistance in 
        equipping, training and providing other necessary 
        assistance for first responders to such incidents. The 
        conferees believe that the best approach for 
        implementing this effort may be a regional pilot 
        program to demonstrate and test the best methods to 
        upgrade the training and equipment of first responders.
      The conferees also believe the National Guard is well 
suited for having a leading role in implementing a plan to 
provide training, technology and other DoD capabilities to 
local first responders. The conferees endorse the directive in 
the House Report (H. Rpt. 104-617, pp. 138-9) to review the 
Department's ability to provide assistance in this regard and 
direct that the report outlined by the House be incorporated 
into this comprehensive review effort. The Secretary shall 
submit this report to the congressional defense committees by 
not later than May 1, 1997.
      The conferees included a new general provision (Section 
8132) that requires the Secretary of Defense to submit a report 
on the establishment of the National Missile Defense Joint 
Program Office.
      The conferees included a general provision (Section 8135) 
which makes a technical correction to the National Defense 
Authorization Act for Fiscal Year 1997 regarding the ``Mike 
O'Callaghan Military Hospital''.
      The conferees included a general provision (Section 8136) 
which makes a general reduction to Research, Development, Test 
and Evaluation appropriations accounts with the exception of 
funds appropriated for Ballistic Missile Defense.
      The conferees have included two general provisions 
(Sections 8137 and 8138), as well as a new title (Title IX), in 
order to provide full funding of the President's request of 
September 12, 1996, for additional Department of Defense 
programs and initiatives relating to anti-terrorism, counter-
terrorism, and security enhancements.
      Foreign Operations, Export Financing, and Related Programs 
                        Appropriations Act, 1997
                TITLE II--BILATERAL ECONOMIC ASSISTANCE
  Assistance for the New Independent States of the Former Soviet Union
      The conference agreement appropriates $625,000,000 
instead of $590,000,000 as proposed by the House and 
$640,000,000 as proposed by the Senate. The agreement also 
inserts House language applying the waiver authority of Sec. 
498B(j) of the Foreign Assistance Act to funds appropriated 
under this heading, but the managers share the Senate concern 
that such waivers of existing law should be utilized 
infrequently.
Russia-Iran
      Obligation of funds for Russia is made contingent on a 
determination by the President that the Government of Russia 
has terminated implementation of arrangements to provide Iran 
with certain goods and services related to nuclear programs in 
Iran. The managers also include a provision allowing the 
President to waive the provisions of the paragraph on national 
security grounds. The Senate had no similar waiver provision.
Ukraine
      The conference agreement earmarks $225,000,000 for 
Ukraine. Within this earmark, the managers have included a 
number of sub-earmarks designed to support critical socio-
economic and political needs. Programs to improve nuclear 
safety, small business development, agricultural productivity 
and legal reforms continue to be high priorities. Support for 
initiatives in these areas strengthen prospects for Ukraine's 
economic prosperity and political independence, which in turn, 
contribute to regional stability, a key concern to the United 
States.
      The conference has included Senate language terminating 
assistance to the Government of Ukraine if the President 
determines and reports to the Committees that the Government of 
Ukraine is engaged in military cooperation with the Government 
of Libya. There was no similar House provision. The managers 
have also included a Presidential waiver based on national 
security findings.
Belarus
      Little space remains for political dissent in Belarus, 
and the failing economy is rapidly moving toward complete state 
control. Under these circumstances, which have led to 
Belaurussian leaders of the opposition seeking asylum in the 
United States, the managers do not expect that any funds made 
available under this heading will be used to support the 
current Government of Belarus.
    nonproliferation, anti-terrorism, demining and related programs
      The conference agreement appropriates $151,000,000 for 
``Nonproliferation, Anti-terrorism, Demining and Related 
Programs'' instead of $140,000,000 as proposed by the Senate 
and $135,000,000 as proposed by the House.
            korean peninsula energy development organization
      The conference agreement also inserts language which 
provides that not to exceed $25,000,000 may be made available 
to the Korean Peninsula Energy Development Organization (KEDO) 
only for administrative expenses and heavy fuel oil costs 
associated with the Agreed Framework. The conference agreement 
further provides that before obligating funds to KEDO the 
President must certify to the Congress that: the U.S. is taking 
steps to assure progress is being made on the implementation of 
the denuclearization agreement and the North-South Dialogue; 
North Korea is complying with the other provisions of the 
Agreed Framework; North Korea is cooperating fully in the 
canning and storage of spent fuel; and North Korea has not 
significantly diverted assistance. These certification 
requirements may be waived by the President if he deems it 
vital to the national security interests of the United States 
and no funds may be obligated until 30 days after submission of 
the waiver. The agreement further provides that before 
obligating any funds for KEDO the President shall submit a 
report to Congress on: North Korean cooperation with United 
States on the return of the remains of Korean War MIAs; 
violations of the Armistice agreement; actions which the U.S. 
is taking to assure that North Korea is implementing the 
denuclearization agreement and engaging in the North-South 
dialogue; and, all instances of non-compliance with the Agreed 
Framework, including diversion of heavy fuel oil. The 
conference agreement provides that the obligation of such funds 
shall be subject to the regular notification procedures of the 
Committees on Appropriations. The conference agreement inserts 
language which requires the Secretary of State to submit to the 
appropriate congressional committees an annual report (to be 
submitted with the annual presentation for appropriations) 
detailing the expected operating budget of the Korean Peninsula 
Energy Development Organization, to include proposed annual 
costs associated with heavy fuel oil purchases and other 
related activities, and the amount of funds raised from other 
donor nations to support KEDO activities on a per country 
basis. The managers agree that none of the funds in this bill 
that are made available for KEDO in fiscal year 1997 may be 
used to contribute to the light-water nuclear reactors being 
provided to North Korea under the terms of the Agreed 
Framework.
                     TITLE III--MILITARY ASSISTANCE
            Foreign military financing program (grant program)
      The conference agreement deletes Senate language which 
provides that Poland, Hungary, and the Czech Republic shall be 
designated as eligible to participate under the NATO 
Participation Act of 1994. Similar language is included in 
Title VI.
      The conference agreement provides that not less than 
$30,000,000 shall be made available for Poland, Hungary, and 
the Czech Republic to carry out title II of Public Law 103-477 
(The NATO Participation Act) and section 585 (The NATO 
Participation Act Amendments of 1995) of Public Law 104-107.
      The conference agreement amends Senate language which 
provides that up to $20,000,000 may be transferred from 
``Assistance for Eastern Europe and the Baltic States'' and 
``Assistance for the New Independent States of the Former 
Soviet Union'' to this account to provide support for NATO 
expansion and the Warsaw Initiative, notwithstanding any other 
provision of law. The conference agreement retains the Senate 
language and provides that up to $7,000,000 may be transferred 
under this authority.
      The managers note the success of the Partnership for 
Peace (PFP) and the Warsaw Initiative which receive funds from 
this account. PFP is doing an excellent job preparing nations 
for possible membership in NATO as well as providing a 
framework for other nations to develop a closer security 
relationship with NATO. The managers instruct the Secretary of 
State, in consultation with the Secretary of Defense, to 
provide to the Committees on Appropriations, no later than 
March 15, 1997, a report detailing the activities of PFP, the 
types and extent of PFP programs, the nations participating in 
PFP, the resources being contributed by current NATO members 
participating in PFP, and a detailed description of the PFP 
budget. In addition, the report should contain an estimate of 
the possible costs to the United States associated with 
membership in NATO of Poland, Hungary, the Czech Republic or 
Slovenia. The report should also include a separate section on 
the feasibility of an enhanced PFP which would place greater 
emphasis on Combined Joint Task Forces as well as 
recommendations on how to enhance the consultation process, 
especially the crisis management mechanism, between NATO and 
PFP members. The report may include a classified annex if 
deemed necessary by the Secretary of State.
      The conference agreement also appropriates $60,000,000 as 
proposed by the Senate for the subsidy cost of direct loans 
instead of $35,000,000 as proposed by the House. The conference 
agreement provides that these funds are available to support 
$540,000,000 in direct loans as proposed by the Senate instead 
of $323,815,000 as provided by the House.
      The conference agreement earmarks $20,000,000 for Poland, 
Hungary, and the Czech Republic.
      The conference agreement retains the Senate proposed 
levels of $122,500,000 and $175,000,000 as ceilings on FMF 
loans to Greece and Turkey respectively instead of $103,471,000 
and $147,816,000 as proposed by the House.
                      TITLE V--GENERAL PROVISIONS
                         Sec. 585--North Korea
      The conference agreement inserts language proposed by the 
Senate which requires the Secretary of State, in consultation 
with the Secretary of Defense, to submit semiannual reports to 
the Committees on Appropriations on the following information: 
estimate of fuel used by the North Korean military; scope and 
cost of training and deployment of those forces; steps taken to 
reduce their size; and cooperation between North Korea and 
other nations in support of development or deployment of a 
ballistic missile capability. The House bill did not contain a 
similar provision.
                  Sense of Congress Regarding Croatia
      The conference agreement deletes sense of the Congress 
language proposed by the Senate regarding Croatia and possible 
NATO membership. The issue of future NATO membership is 
addressed in Title VI, the NATO Enlargement and Facilitation 
Act of 1996. The managers note that Croatia is in the process 
of joining the Partnership for Peace program. Accordingly, the 
managers recommend that the United States support the active 
participation of Croatia in activities appropriate for 
qualifying for NATO membership, provided that Croatia adheres 
fully to the Dayton Peace Accords and makes progress toward 
establishing democratic institutions, a free market and the 
rule of law.
               Romania's Progress Toward NATO Membership
      The conference agreement deletes sense of the Congress 
language proposed by the Senate regarding Romania and possible 
NATO membership. The issue of future NATO membership is 
addressed in Title VI, the NATO Enlargement and Facilitation 
Act of 1996. The managers note that Romania emerged from 
decades of brutal communist dictatorship in 1989 and that 
multi-party democratic elections have been held at the local, 
parliamentary, and presidential levels. Romania was the first 
former Eastern Bloc country to join NATO's Partnership for 
Peace program, is the second largest country in Eastern Europe 
in terms of territory and population and is therefore 
strategically significant. The managers recognize that Romania 
has contributed forces to the NATO Implementation Force in 
Bosnia. Accordingly, the managers believe Romania should be 
evaluated for membership in the NATO Participation Act's 
transition assistance program and that the United States should 
work closely with Romania and other countries working toward 
NATO membership to ensure that every opportunity is provided to 
advance their entry into NATO.
      Delivery by China of Cruise Missiles and Missile Technology
      The conference agreement deletes sections 593 and 594 
which express the sense of the Senate regarding missile 
transfers by China to Iran and Syria. The managers are deeply 
concerned about continued reports that the People's Republic of 
China has delivered cruise missiles to Iran and ballistic 
missile technology to Syria. Both recipient nations are known 
sponsors of international terrorism which directly threatens 
U.S. citizens and interests in regional peace and stability.
      The managers urge the Administration to take steps to 
assure the People's Republic of China honors its obligations 
under the Missile Technology Control Regime and join 
international efforts to restrict access by terrorist states to 
weapons and technology of mass destruction. The managers note 
that under the Iran-Iraq Non-Proliferation Act of 1992, the 
President is required to impose sanctions against any foreign 
government delivering missiles to Iran. The managers expect the 
Administration to use all available legal and diplomatic means 
to assure no transactions occur which enhance the military 
capabilities of terrorist states.
          TITLE VI--NATO ENLARGEMENT FACILITATION ACT OF 1996
      The conference agreement includes language proposed by 
the Senate which is similar to HR 3564, the ``NATO Enlargement 
Facilitation Act of 1996,'' which was passed by the House of 
Representatives on July 23 by a vote of 353-65. The conference 
agreement expresses Congress' support for the admission of 
qualified new members to NATO and the European Union at an 
early date. The conference agreement designates Poland, 
Hungary, the Czech Republic and Slovenia as countries eligible 
to receive assistance under the NATO Participation Act of 1994. 
Slovenia's designation is effective 90 days after the date of 
enactment of this Act. The conference agreement also authorizes 
$60,000,000 for fiscal year 1997 for the transition program 
established by the NATO Facilitation Act of 1994, of which 
$20,000,000 is earmarked for FMF loans and $30,000,000 for FMF 
grants, and of which ``not more than'' $10,000,000 is made 
available for IMET.
      Funds described in section 608(b) are authorized to be 
made available to the extent provided in advance in 
appropriations acts to support implementation of the Regional 
Airspace Initiative (RAI) and the Partnership for Peace 
Information Management System. The conferees believe Foreign 
Military Financing funds may be made available to support RAI 
and PIMS since Title III of this legislation makes funds 
available for these purposes and serves as the necessary 
advance provision in an appropriation act.
                  TITLE I--DEPARTMENT OF THE TREASURY
                  Financial Crimes Enforcement Network
      The conferees provide $22,387,000 for the Financial 
Crimes Enforcement Network, the same as the House-passed and 
the Senate committee levels.
                    Violent Crime Reduction Programs
                      including transfer of funds
      The conference agreement provides $97,000,000. This 
amount is to be used as follows:
Bureau of Alcohol, Tobacco and Firearms:
    Training & Equipment Initiative.....................     $29,133,000
    GREAT Administration................................       3,000,000
    CEASEFIRE Program...................................       3,662,000
    Project LEAD........................................         800,000
                    --------------------------------------------------------
                    ____________________________________________________
    Subtotal ATF........................................      36,595,000
                    ========================================================
                    ____________________________________________________
    GREAT Program.......................................       8,000,000
Secret Service:
    White House Security................................       8,000,000
    Child Exploitation..................................       3,000,000
    TRIP................................................       1,000,000
    Counterfeiting......................................       5,000,000
    Financial Institutions Fraud........................       3,000,000
                    --------------------------------------------------------
                    ____________________________________________________
    Subtotal Secret Service.............................      20,000,000
                    ========================================================
                    ____________________________________________________
Financial Crimes Enforcement Network: Cybercash 
    Initiative..........................................       1,000,000
Office of National Drug Control Policy: High Intensity 
    Drug Trafficking Areas Program......................      13,105,000
Departmental Offices: Taggant Study.....................      18,300,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total.............................................      97,000,000
                      United States Secret Service
      acquisition, construction, improvement, and related expenses
      The conference agreement provides $37,365,000; of this 
amount, $8,200,000 has been made available for activities 
related to the design and construction of the new Classroom 
Building at the Rowley Secret Service Training Center in 
Beltsville, Maryland. The conferees have funded replacement of 
the mainframe computer and related software systems in the 
Salaries and Expenses Account.
 TITLE VII--SUPPLEMENTAL APPROPRIATIONS AND RESCISSIONS FOR THE FISCAL 
                     YEAR ENDING SEPTEMBER 30, 1996
                               CHAPTER 7
                        Peacekeeping Operations
      The conference agreement appropriates $65,000,000 for 
peacekeeping operations.
    Nonproliferation, Anti-terrorism, Demining and Related Programs
      The conference agreement appropriates $18,000,000 for 
anti-terrorism assistance which includes an additional 
$2,000,000 for anti-terrorism assistance as requested by the 
President on September 12, 1996.
      



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